KEEP RIDING PURE

Eicher Motors Limited

Annual Report 2018-19

CONTENTS

01 38
Corporate Review Management Review
04 Eicher Motors Limited 40 Management
06 Financial Position – Discussion & Analysis
Consolidated
07 Operational Highlights –
Consolidated
08 Message to the

51
Statutory Reports
Shareholders
52 Business Responsibility
12 Pure Motorcycling with
Report
IfpXc<eÔ\c[
63 Directors’ Report
14 The oldest Motorcycle Brand
88 Corporate Governance
in Continuous Production
Report
16 Key Highlights for the year
18 Financial Position –
Standalone
19 Operational Highlights –

107
Financial Statements
Standalone
108 Standalone Financial
20 The Twins are Here!
Statements
28 Spreading Footprint in
175 Consolidated Financial
South East Asia
Statements
30 Recreating Authentic
Inspirations from Royal
<eÔ\c[ËjDfkfiZpZc\
Pedigree

243
32 >ifn`e^k_\IfpXc<eÔ\c[ Review of Subsidiary
Community 244 Performance Highlights
34 IfpXc<eÔ\c[:ljkfd 246 Business Highlights and
Programme Future Prospects
36 Driving Manufacturing
Excellence to Meet Global 252 Notice
Aspirations

Forward - looking statement

Certain statements used in this Report regarding the Company’s business operations,
industry, objectives, business strategy, management plans and expectations may be forward-
cffb`e^jkXk\d\ekj%K_\j\jkXk\d\ekjZXeY\`[\ek`Ô\[YpljX^\f]nfi[jjlZ_XjY\c`\m\j#
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related information in the report
j`d`cXid\Xe`e^`eZfee\Zk`fen`k_X[`jZljj`fef]]lkli\fg\iXk`e^fiÔeXeZ`Xcg\i]fidXeZ\%

Forward-looking statements are necessarily dependent on assumptions, data or methods that

J_fnjpfln_\i\pflZXeÔe[
more information at
www.eichermotors.com
may be incorrect or imprecise and hence may be incapable of being realised. These statements
are not intended to be a guarantee of future results, but constitute our current expectations
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those projected in any forward-looking statements due to various events, risks, uncertainties
and other factors. The Company does not assume any obligation nor intend to update or
revise any forward-looking statements, whether as a result of new information, future events
fiÀfk_\in`j\%

To view the report online or to download visit

www.eichermotors.com/annual-reports
Eicher Motors Limited (EML) CONSOLIDATED
fnejk_\`Zfe`ZIfpXc<eÔ\c[ FINANCIAL
brand, the global leader in HIGHLIGHTS*
middleweight motorcycles and it Period of comparison
has been making its distinctive 1.4.2018 - 31.3.2019
1.4.2017 - 31.3.2018
motorcycles since 1901. Royal
<eÔ\c[fg\iXk\j`e@e[`X#Xe[
Net Revenue from Operations (Rs. Crores)
over 50 countries around the
world. EML also has a joint 2018-19 9,797

venture with Sweden’s 2017-18 8,965

AB Volvo - VE Commercial
9.3%
Vehicles Limited (VECV) -
Earnings Before Interest, Depreciation
which is driving modernisation KXo<9@;K8 Y\]fi\j_Xi\f]gifÔk
of Joint Ventures (%)
`e@e[`XjZfdd\iZ`Xcm\_`Zc\
jgXZ\#Xe[`efk_\i[\m\cfg`e^ 2018-19 29.6

countries. VECV has a

2017-18 31.3
Zfdgc\k\iXe^\f]kilZbj
Xe[Ylj\j]ifd Operating Margin (EBIT) before
3.5-49 tonnes. j_Xi\f]gifÔkf]Af`ekM\ekli\j (%)

2018-19 26.6

2017-18 28.8

J_Xi\f]gifÔkf]Af`ek
Venture - VECV (Rs. Crores)

2018-19 258

2017-18 257

0.7%
Total Comprehensive income
`eZcl[`e^j_Xi\f]gifÔkjf]Af`ek
Venture (Rs. Crores)

2018-19 2,214

2017-18 2,190

1.1%
* Excluding discontinued operation of Eicher Polaris
Private Limited
TO ENCOURAGE,
ENABLE AND
KICKSTART
THE ACTIVE,
LIFELONG
PURSUIT OF
EXPLORATION
We believe that pure motorcycling unlocks
this pursuit, that’s why - we keep riding pure
RIDE Invite people to
the world of pure
motorcycling

RIDE MORE Inspire owners

to increase their
participation in this
wonderful pursuit

RIDE PURE Ally with riders

for whom pure
motorcycling becomes
life’s pursuit
04
CORPORATE REVIEW
EICHER MOTORS LIMITED
Eicher Motors Limited (EML), listed on
the Bombay Stock Exchange (BSE)
and the National Stock Exchange
EJ< #`jk_\fne\if]k_\`Zfe`Z
IfpXc<eÔ\c[YiXe[%8^cfYXcc\X[\i
`ed`[$j`q\[dfkfiZpZc\j\^d\ek#
IfpXc<eÔ\c[`jk_\fc[\jkdfkfiZpZc\
YiXe[`eZfek`elfljgif[lZk`fej`eZ\
(0'(%N`k_`kj[`jk`eZk`m\iXe^\f]
j`dgc\p\k\e^X^`e^Xe[XZZ\jj`Yc\
motorcycles, exhilarating community
riding events and an ecosystem that
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gli\dfkfiZpZc`e^#IfpXc<eÔ\c[_Xj
\mfcm\[`ekfXe\og\i`\ek`XcYiXe[%
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that combine modern-day elements
with the brand’s heritage, garners
immense enthusiasm amongst
^cfYXcdfkfiZpZc`jk%@k_Xjdf[\ie
gif[lZk[\m\cfgd\ekZ\eki\jXk
Leicestershire, UK and Chennai,
@e[`Xn_\i\\og\ikk\Z_e`ZXck\Xd
ZfeZ\gklXc`j\e\ok$^\e\iXk`fe
dfkfiZpZc\j%IfpXc<eÔ\c[Xcjf_Xj
k_i\\jkXk\$f]$k_\$XikdXel]XZkli`e^
]XZ`c`k`\jXifle[:_\eeX`kfd\\k
global demand.
EML’s joint venture VE Commercial
Vehicles (VECV) with Sweden’s AB
Mfcmf#\e^X^\j`ek_\dXel]XZkli\
f]_`^_$k\Z_efcf^pYlj\jXe[kilZbj
]ifd*%,$+0kfee\j%@k_Xjg`fe\\i\[
df[\ie`jXk`fef]Zfdd\iZ`Xc
m\_`Zc\j`e@e[`XXe[fk_\i[\m\cfg`e^
Zfleki`\j%M<:MËj`ek\^iXk\[gcXek`e
G`k_Xdgli#DX[_pXGiX[\j_`jX^cfYXc
_lY]fid\[`ld[lkpÔm\$Xe[\`^_k$
c`ki\\e^`e\j]fik_\Mfcmf>iflg%
EICHER MOTORS LIMITED
BUSINESS SEGMENTS
Motorcycles
IfpXc<eÔ\c[
8,22,724
motorcycles sold
96%
DXib\kj_Xi\`e@e[`XËjd`[$j`q\
(250cc-750cc) motorcycles
segment
IfpXc<eÔ\c[
World’s oldest motorcycle brand
in continuous production
Focussed on mid-size
motorcycles (250 cc-750 cc)
Products sold in India and 50
countries globally through
exclusive stores and dealers
Portfolio
Motorcycles – Bullet, Classic,
Thunderbird, Himalayan,
Interceptor 650, Continental
>KÀ-,'
Apparel – Protective riding
apparel, urban casual wear and
personal accessories
Motorcycle accessories - touring
seats, protective engine and
leg gaurds, luggage solutions
Xe[ÀZfekifcj
Commercial vehicles
VE Commercial Vehicles (VECV)
72,969
commercial vehicles sold
29.4%
Commercial vehicles market share
in domestic light-to-medium duty
(3.5 to 15 tonnes) segment
VE Commercial
Vehicles (VECV)
Designs, manufactures and markets
i\c`XYc\#]l\c$\øZ`\ekkilZbjXe[
buses
Portfolio
Eicher branded 3.5-4.9 tonnes,
Light Medium Duty Trucks (5-15
tonnes), Heavy Duty Trucks (16-
49 tonnes) and buses
Volvo Trucks
Engineering components and
aggregates
Assembly of Euro-VI Compliant
Medium Duty engines for
MfcmfÀ>iflg
 05

ROYAL ENFIELD: GEOGRAPHIC FOOTPRINT

3 3 42
DXel]XZkli`e^]XZ`c`k`\j`e@e[`XXk Fully-owned subsidiaries – Royal <oZclj`m\IfpXc<eÔ\c[jkfi\jXZifjj
Thiruvottiyur, Oragadam and Vallam <eÔ\c[Efik_8d\i`ZXLJ8 #IfpXc UK, Colombia, USA, Mexico, UAE,
MX[X^Xce\Xi:_\eeX`#@e[`X <eÔ\c[9iXq`cXe[IfpXc<eÔ\c[ =iXeZ\#JgX`e#@e[fe\j`X#K_X`cXe[#
Thailand G_`c`gg`e\j#8ljkiXc`X#E\nQ\XcXe[#
Gfikl^Xc#DXcXpj`X#9iXq`c#M`\keXd
and Argentina.

2 915
Technology Centers at Leicestershire, <oZclj`m\jkfi\j`e@e[`X
LBXe[:_\eeX`#@e[`X

SHAREHOLDING PATTERN (As on March 31, 2019)

Foreign Domestic
Institutional Institutional
Promoter Group Investors Investors Others
49.32% 32.49% 4.55% 13.64%

0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%

Eicher Motors Limited

Volvo Group Business Unit of Eicher
Motors Limited
45.6%
54.4%

IfpXc<eÔ\c[I<
VE Commercial
Vehicles (VECV)
Royal IfpXc<eÔ\c[
IfpXc<eÔ\c[
<eÔ\c[Efik_
Thailand Ltd. Brasil Comercio de
America Ltd. Motorcicletas Ltda

Motorcycles Business
Royal
<eÔ\c[
Canada Ltd.

ANNUAL REPORT 2018-19

06
CORPORATE REVIEW

FINANCIAL POSITION – CONSOLIDATED

BALANCE SHEET
(Rs. Crores)
31.03.2019 31.03.2018 31.03.2017 31.03.2016
Net Fixed Assets (Property plant & equipment, 2,324.32 1,834.90 1,246.55 888.64
Intangibles, CWIP and Investment property)
Investment in joint venture 1,943.92 1,764.27 1,745.82 1,558.44
@em\jkd\ek`edlklXc]le[j#Yfe[jÔo\[[\gfj`kj 5,896.60 4,925.51 3,241.31 1,825.24
Other non-current assets 198.53 204.85 278.07 200.80
Current assets
Inventories 633.38 394.64 335.90 308.39
Debtors 90.34 68.00 50.04 32.64
:Xj_Xe[9Xeb9XcXeZ\j\oZcl[`e^Ôo\[[\gfj`kj 47.29 103.06 25.06 49.17
Other current assets 252.45 227.00 86.33 75.69
Total assets 11,386.83 9,522.23 7,009.08 4,939.01
Equity share capital 27.28 27.26 27.21 27.16
Other equity 8,891.44 7,002.81 5,317.86 3,625.93
Net worth 8,918.72 7,030.07 5,345.07 3,653.09
Non-current liabilities 370.01 226.92 134.26 73.60
Current liabilities 2,098.10 2,265.24 1,529.75 1,212.32
Total equity and liabilities 11,386.83 9,522.23 7,009.08 4,939.01
No. of Shares 2,72,82,570 2,72,55,549 2,72,10,249 2,71,61,183
Book Value per Share (Rs.) 3,269.02 2,579.32 1,964.36 1,344.97
Market Value per Share (Rs.) 20,547.70 28,372.65 25,587.50 19,180.60
Market Value to Book Value per Share 6.3:1 11:1 13:1 14.3:1
Market Capitalisation (Rs. Crores) 56,059.41 77,331.22 69,624.22 52,096.78

Net Fixed Assets Net Worth Book Value Per Share Market Capitalisation
(Rs. Crores) (Rs. Crores) (Rs.) (Rs. Crores)

2018-19 2,324.32 2018-19 8,918.72 2018-19 3,269.02 2018-19 56,059.41

2017-18 1,834.90 2017-18 7,030.07 2017-18 2,579.32 2017-18 77,331.22

2016-17 1,246.54 2016-17 5,345.07 2016-17 1,964.36 2016-17 69,624.22

2015-16 888.64 2015-16 3,653.09 2015-16 1,344.97 2015-16 52,096.78

EICHER MOTORS LIMITED

 07

OPERATIONAL HIGHLIGHTS – CONSOLIDATED

PROFIT AND LOSS ACCOUNT
(Rs. Crores)
2018-19 2017-18 2016-17 2015-16
Apr'18 - Mar'19 Apr'17 - Mar'18 Apr'16 - Mar'17 Apr'15 - Mar'16
Sales Volume :
Commercial Vehicles (Nos.) 72,969 65,932 58,604 51,888
Motorcycles (Nos.) 8,22,724 8,20,121 6,66,135 5,07,548
Net Revenue from operations - motorcycles 9,797.06 8,964.96 7,033.36 5,210.74
Manufacturing and other expenses 6,893.95 6,157.33 4,859.41 3,769.77
Earnings before interest, depreciation & tax (EBIDTA) 2,903.11 2,807.63 2,173.95 1,440.97
EBIDTA to Net Revenue (%) 29.6% 31.3% 30.9% 27.7%
Depreciation 300.28 223.30 153.81 118.03
Earnings before interest & tax (EBIT) 2,602.83 2,584.33 2,020.14 1,322.94
EBIT to Net Revenue (%) 26.6% 28.8% 28.7% 25.4%
Finance Cost 7.33 5.34 3.56 1.57
Other Income 443.39 280.10 227.33 147.99
J_Xi\f]gifÔkf]af`ekm\ekli\$M<:M 258.40 256.56 189.47 172.16
GifÔkY\]fi\kXo 3,297.29 3,115.65 2,433.38 1,641.52
Provision for taxation 1,077.04 935.93 720.30 459.02
GifÔkX]k\ikXoXk`feG8K 2,220.25 2,179.72 1,713.08 1,182.50
Share of loss of Joint venture from discontinued -17.52 -220.05 -46.00 -38.89
operation - EPPL*
E\kGifÔkX]k\ikXo 2,202.73 1,959.67 1,667.08 1,143.61
Other comprehensive income -6.20 9.97 -2.43 -0.98
Total Comprehensive income 2,196.53 1,969.64 1,664.65 1,142.63
Total Comprehensive income including share of 22.6% 24.4% 24.3% 22.7%
gifÔkj]ifdAf`ekM\ekli\]ifdZfek`el`e^fg\iXk`fe
to Net Revenue (%)
Basic Earnings per Share (Rs.) 807.76 719.69 613.12 421.30
Diluted Earnings per Share (Rs.) 806.86 718.33 611.44 419.76
!K_\fg\iXk`fejf]<`Z_\iGfcXi`jGi`mXk\C`d`k\[<GGC nXj[`jZfek`el\[n`k_\ù\Zk]ifdDXiZ_0#)'(/

Net Revenue from KfkXc:fdgi\_\ej`m\`eZfd\`eZcl[`e^j_Xi\f]gifÔkj

Operations EBITDA ]ifdAf`ekM\ekli\]ifdZfek`el`e^fg\iXk`fe!!
(Rs. Crores) (Rs. Crores) (Rs. Crores)

2018-19 9,797.06 2018-19 2,903.11 2018-19 2,214.05

2017-18 8,964.96 2017-18 2,807.63 2017-18 2,189.69

2016-17 7,033.36 2016-17 2,173.95 2016-17 1,710.65

2015-16 5,210.74 2015-16 1,440.97 2015-16 1,181.52

** Total comprehensive income excludes exceptional item for 2017-18 and 2018-19

ANNUAL REPORT 2018-19

08
CORPORATE REVIEW

MESSAGE TO THE
SHAREHOLDERS

Dear Shareholders,
I’m writing to you after what’s been a fairly tough year
for the Indian automotive industry and your company.
The latter half of 2018-19 was very challenging for
the industry in India with a slowing economy, coupled
with price increases driven by a number of regulatory
changes, weakening demand across the industry.

EICHER MOTORS LIMITED


After several years of double-digit sales
growth, we recorded flat sales volumes
XkIfpXc<eÔ\c[Xjjcfn`e^\Zfefd`Z
growth along with price increases
brought on by regulatory changes
Xù\Zk\[[\dXe[%M<:MnXjXcjf
Xù\Zk\[Ypk_\\Zfefd`Zjcfn[fne#
liquidity crisis and an all-time high
discounting across the commercial
vehicles industry.
We believe our fundamentals are
robust, and that we have built
outstanding capabilities for our next
phase of growth and evolution. The
trend of premiumisation continues to
j_fnj`^e`ÔZXekgfk\ek`Xc]fiIfpXc
<eÔ\c[`e@e[`XXe[dXepgXikjf]k_\
world. For the CV industry, we continue
to believe that we can be the catalyst to
drive the modernisation of commercial
transportation in India and other
developing markets.
IfpXc<eÔ\c[
In the year ended March 2019, EML’s
consolidated net revenue from
operations (reflecting the business
f]IfpXc<eÔ\c[dfkfiZpZc\j nXjlg
by 9% to Rs. 9,797 crores, compared
to Rs. 8,965 crores recorded for the
year ended March 2018; Consolidated
EBITDA was Rs. 2,903 crores, up by 3%
ZfdgXi\[kfIj)#/'/Zifi\j2GifÔk
After Tax rose to Rs. 2,203 crores from
Rs. 1,960 crores in the same period
cXjkÀÀp\Xi%
IfpXc<eÔ\c[jfc[/#))#.)+dfkfiZpZc\j
in the year, largely flat from 8,20,121
motorcycles sold last year. In 2018-19,
we added 90 dealers in India and the
IfpXc<eÔ\c[e\knfibjki\e^k_nXj0(,
dealerships as of March 2019. We now
have 42 exclusive stores outside of India,
spread across 19 countries and we just
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exclusive store in Seoul.
In June 2018, we introduced the limited
edition Pegasus at the Imperial War
09
Museum in Duxford, U.K. Inspired by the entire ownership experience for
the RE/WD motorcycle, lovingly known our riders. We have various initiatives
as the Flying Flea, which played a underway that will give our riders more
pivotal role in World War 2, only 1,000 jlggfikXe[ZfeÔ[\eZ\`efliYiXe[%
motorcycles were available across the
world. We sold all the 250 motorcycles As I look ahead into the longer term,
meant for India in just 178 seconds via I see that we are in the perfect space
an online sale! We also successfully in the motorcycle industry globally. I
introduced Anti-lock Braking Systems believe the trend for premiumisation
(ABS) on all our motorcycles, well ahead of most product categories, including
of the regulatory deadline, starting motorcycles, in India and developing
with the Signals, inspired by our long markets will continue for the next
association with the Indian armed few decades; and we are very well
forces. positioned for that. In addition to
outstanding and distinctive premium
2018-19 will be remembered as the motorcycles, our brand experience,
jkXe[flkp\Xi]fiIfpXc<eÔ\c[Ëj distribution, and organisational
global ambitions, with the fantastic approach are all upmarket - creating
650 Twins going on sale. Launching to a unique and desirable positioning in
stellar reviews and winnings dozens of people’s minds. In developed markets,
awards including the Indian Motorcycle there is a trend towards down-sizing
of the Year and other motorcycle of
the year awards in India and 'Best
Modern Classic Middle-Weight’ in
Thailand, the Interceptor 650 and
Continental GT 650 have emerged as
serious contenders for riders across the
world, looking for simple yet charming,
engaging and fun to ride motorcycles. IfpXc<eÔ\c[
We have been making steady progress
in International markets with the 24.9%
success of the Himalayan, and more Market share in 125cc+ motorcycle
so since the Twins went on sale around j\^d\ek`e@e[`X
the world. The Twins have only had a few
months of sales in 2018-19, and in our
key priority markets such as Thailand
and Brazil, we are now expanding our
distribution. We have also formed our
wholly-owned subsidiary in Thailand,
where the customer response to our
products has been fantastic.
Eicher Motors
To transform RE into an experiential
brand, selling a motorcycle has to be
seen only as a start of the relationship 29.6%
with our customer. Our ambition is to :fejfc`[Xk\[<9@K;8DXi^`e
become #1 in customer satisfaction in
2019-20 (we ranked #2 last year for
customer satisfaction by JD Power) and
to maintain that position over time. To
22.5%
:fejfc`[Xk\[E\kGifÔkDXi^`e
do so, we need to dramatically change
ANNUAL REPORT 2018-19
10
CORPORATE REVIEW
Xe[j`dgc`ÔZXk`fe$Xe[X^X`e#n\Xi\
on the right end of that!
Our 2030 goal is to catalyse the global
motorcycle market towards mid-size
motorcycles, by making aspirational
motorcycles and a world of pure
motorcycling experiences that are still
accessible. We will also create symbiotic
products and a world of deeply
engaging and frictionless experiences
delivered by us, our partners and the
ecosystem that we harness.
To achieve our ambitious goal, which
n`ccdXb\IfpXc<eÔ\c[@e[`XËjÔijk
premium global consumer brand, I
strongly believe that we need a leader
with a fresh perspective and approach.
I am absolutely delighted that Vinod K.
Dasari has joined us as the new Chief
<o\Zlk`m\FøZ\if]IfpXc<eÔ\c[%
I cannot think of a better person
kfc\X[IfpXc<eÔ\c[`ekf`kje\ok
phase of evolution to a global brand.
Vinod will also join the EML board as
<o\Zlk`m\ÀÀ;`i\Zkfi%
Vinod Dasari needs no introduction
to most of you. He’s amongst the top
few CEOs in India. This is not just my
opinion; he has won many accolades
for his leadership including “CEO of the
Year” from Business Today and Business
Standard in the recent past.
I have observed him in his previous
role, and he has really shown courage,
innovation and drive, as well as
reshaped many of the dynamics of what
is usually a slow-moving industry.
While that proves his credentials as a
CEO and a leader, it’s much more than
k_Xk%M`ef[#ÔijkXe[]fi\dfjk#`jX
people’s person. His real strength, as I
see it, is in guiding, supporting, enabling,
and encouraging people and teams to
perform their best. He moves around a
EICHER MOTORS LIMITED
lot, and is good at getting the pulse of 8kM<:M#n\_Xm\Zc\Xicp`[\ek`Ô\[k_Xk
the organisation, customers, dealers, our brand promise of “ensuring the
suppliers, and the ecosystem - and then best uptime in the industry” will be a
acting on that. b\p[`ù\i\ek`Xkfi]filj#Xe[n\e\\[
to ensure that we create a customer
I am convinced that Vinod’s leadership experience that is truly best in class.
combined with the fantastic team at While we have made good progress with
IfpXc<eÔ\c[n`ccZi\Xk\dX^`Zkf^\k_\i building a wide distribution network and
for our next phase of growth. strong aftermarket support, creating
a superior customer experience by
VECV ensuring industry best uptime and
At VECV, while we saw strong demand retail excellence is critical for our long
`ek_\Ôijk_Xc]f]k_\p\Xi#jXc\j k\idÀÀjlZZ\jj%
slowed considerably in the second
half. A slowing economy, a tightening The coming year is critical for the
of credit from Non Banking Financial industry with the run-up to the
Companies (NBFCs) and new axle implementation of BS-VI emission
loading regulations led to a drop in norms from April 1, 2020. At VECV, we
demand. All-time high discounting see this transition as a big opportunity.
XZifjjk_\`e[ljkip_likgifÔkXY`c`kp% We have had a fantastic experience with
M<:M_Xj]fZlj\[fegifÔkXYc\^ifnk_ this technology and we have produced
and as a result, and has been disciplined tens of thousands of Euro 6 engines
in discounting.
In the year ended March 2019, VECV’s
total revenue from operations was up
by 15% to Rs. 11,600 crores, compared
to Rs. 10,049 crores in the previous
year; EBITDA was Rs. 972.59 crores,
up by 9% compared to Rs. 905 crores;
GifÔk8]k\iKXoifj\kfIj%+.,Zifi\j
from Rs. 472 crores in the same period
last year.
VECV sold 72,969 trucks and buses
in the year, an increase of 11% from
65,932 units in the previous year.
We produced 39,827 Medium-Duty
engines (84% of which were exported),
an increase of 14% from 34,805 engines VE Commercial Vehicles
in the year ended in March 2018. Our
exports rose 11% to 10,010 commercial
vehicles from 9,001 units a year
11%
earlier, and we began manufacturing growth in Commercial Vehicle Volume
trucks for the Indonesia and South
African markets under the UD brand,
n_\i\n\k_`ebk_\i\ËjXj`^e`ÔZXek 15%
^ifnk_ÀÀgfk\ek`Xc% growth in Consolidated Net Revenue
]ifdFg\iXk`fej

for some time now - for export to Volvo
globally. I’m sure that we will be well
prepared to seize the opportunity that
this transition gives us.
This year, we will be aiming to
sustainably grow our market share and
XZ_`\m\gifÔkXYc\^ifnk_\jg\Z`XccpYp
breaking through in the HD segment
where uptime is of supreme importance.
Our Pro 6000 series is gaining in
i\glkXk`feXjk_\[\Ôe`k`m\Y\eZ_dXib
in the value truck segment, and this
segment could possibly become the
mainstay post BS-VI. Based on the new
axle norms in the 48-ton and 55-ton
segments, we have expanded our
product portfolio by adding new models.
We will continue to enhance our LMD
portfolio with an increased range of
products such as our recently launched
Pro 2000 platform. In our endeavour
to drive modernisation of commercial
transportation, we have also introduced
\c\Zki`ZYlj\jXe[`e[ljkip$Ôijk
7-speed transmission. We will continue
to press on with our commitment to
build products that deliver industry
leading mileage and performance.
By April 2020, we plan to complete
construction of our new plant in Bhopal
with a capacity to produce an additional
40,000 units a year. When completed,
our overall capacity will be 130,000
units a year.
I’m also delighted to share that Vinod
Aggarwal, VECV's Chief Executive
FøZ\i#_Xjaf`e\[k_\YfXi[f]<`Z_\i
DfkfijCk[\ù\Zk`m\]ifd8gi`c(jk#)'(0%
Looking ahead
At EML, we have created a business
model that has enabled us to achieve
a strong and sustained growth over
the years. While the short term looks
challenging, we believe that the long
k\idgfk\ek`Xc]fiYfk_IfpXc<eÔ\c[
11
and VECV is extremely robust. We will
continue to focus on building products
- motorcycles and commercial vehicles
- that will keep our customers delighted.
IfpXc<eÔ\c[Ëje\nk\Z_efcf^pZ\eki\
in Chennai is nearly complete and part
of the Product Development team has
already moved in with the rest of the
teams due to move in the course of the
Zlii\ekÔeXeZ`Xcp\Xi%N\Xi\XcjfZcfj\
to commencing production at phase
2 of the Vallam Vadagal plant with the
construction of the building having
been completed and the installation of
equipment will commence soon.
We are committed to being a company
that provides Pure Motorcycling
experiences to riders and travellers, and
we are looking for new ways to engage
with people outside of just selling them
a motorcycle. We are going to step
lgfli\ùfikj`ei`[\j#\m\ekj#Xe[
community building - so that these
act as catalysts for more people to
enter the amazing world of motorcycle
adventures and journeys, in India and
around the world.
I would like to thank all our stakeholders
for their resolute faith in us. We
are well poised to capitalize on the
opportunities coming our way, and to
create new ones, to take EML to a new
orbit of growth and success.
Siddhartha Lal
Managing Director
Eicher Motors Limited
ANNUAL REPORT 2018-19
12
CORPORATE REVIEW

PURE
MOTORCYCLING
WITH ROYAL
ENFIELD

EICHER MOTORS LIMITED

 13

@[feËknXekkfjg\e[dpc`]\`e]ifekf]XjZi\\e%
@nXekkf_Xm\Xm`\nf]k_`jnfic[k_Xk`jY\kk\i
k_Xek_Xkf]Xepg\ek_flj\%@[feËknXekkfjg\e[
dpc`]\i\X[`e^XYflkk_\\og\i`\eZ\jf]fk_\ij%@
nXekkf_Xm\dpfne%@nXekkf]fccfnk_\aflie\p
Xe[efkk_\[\jk`eXk`fe%<m\ipk`d\@i`[\flk#
it makes me realise that there is no greater

PURE
gc\Xjli\fi]\\c`e^k_Xek_\]\\c`e^f]fe\e\jj
with my motorcycle, with the road below, and
k_\k\iiX`ek_ifl^_n_`Z_@i`[\%@_Xm\]fle[ 8]le[Xd\ekXc\og\i`\eZ\f]c`]\ÆXlk_\ek`ZXe[
XnXpf]c`]\k_XkÔccjd\n`k_i\Xc#Xlk_\ek`Z real. Connecting at a sensorial level with your
`ee\idfjkj\c]Xe[pflijliifle[`e^j%EfkY\`e^
\og\i`\eZ\j%@ZXcck_`jgli\dfkfiZpZc`e^%
[\g\e[\ekfeXggifmXcfi\e[fij\d\ek]ifdfk_\ij%
Jk\\i`e^Zc\Xif]k_\Xik`ÔZ`Xc#k_\jlg\iÔZ`Xc#k_\
jlg\i]clfljXe[k_\Zfeki`m\[%

MOTORCYCLING
Motorcycling includes riding, owning, maintaining, caring
Xe[nfibdXej_`gXjXeXZk`m\glijl`k%=fZljj`e^fek_\
\jj\ek`XcjXe[efkk_\\oZ\jj%EfkkiXej]fid`e^#Ylk
i\Zfee\Zk`e^n`k_k_\gli`kpf]\og\i`\eZ\%<e^X^\d\ek
with machine and terrain.

ANNUAL REPORT 2018-19

 14
CORPORATE REVIEW

THE OLDEST MOTORCYCLE BRAND

1891 1893 1898 1900
R.W. Smith and Albert EMCL becomes Royal R. W. Smith designs a IfpXc<eÔ\c[\ek\ij
Eadie take over the <eÔ\c[ÆÊIfpXcËY\`e^ gifkfkpg\dfkfi`j\[ dfkfijgfikn_\efe\
Kfnej\e[:pZc\:fdgXep kXb\e]ifdk_\IfpXc hlX[i`ZpZc\#X]fli$ f]`kjhlX[i`ZpZc\j
in Redditch, UK, renamed JdXcc8idj:fdgXep%K_\ wheeled bicycle using a enters a 1000 Mile
`kkf<eÔ\c[DXel]XZkli`e^ trademark ‘Made like a gifgi`\kXip((&)_g;\ Trial. The event does
:fdgXepC`d`k\[<D:C  gun’ is introduced. ;`fe\e^`e\% dlZ_kfg\ijlX[\
Xe[Zfdd\eZ\[jlggcp`e^ k_\9i`k`j_glYc`Z
gi\Z`j`fedXZ_`e\gXikj XYflkk_\m`XY`c`kpf]
kfk_\IfpXc<eÔ\c[JdXcc dfkfi`j\[kiXejgfik%
8idj=XZkfip`e<eÔ\c[#
Middlesex.

1924 1926 1928

:fek`elflj[\m\cfgd\ek 8dXafiÔi\Yi\Xbjflk IfpXc<eÔ\c[i\gcXZ\j
i\jlckj`eXiXe^\f]/ at the 18-acre Redditch flkdf[\[]cXkkXebj
models. This includes news ]XZkfip%K_\:fdgXepËjfne with saddle tanks and
cXleZ_\jf]k_\Jgfikj Ôi\Yi`^X[\dXeX^\jkf Y\Zfd\jfe\f]k_\Ôijk
Df[\c*,(#k_\ÔijkIfpXc Ô^_k]cXd\jk_Xkk_i\Xk\e\[ dXel]XZkli\ijkfZ_Xe^\
<eÔ\c[*,'ZZF?M+$jkifb\ kf\e^lc]k_\\ek`i\gcXek% `kj]ifek]fibjpjk\d]ifd
dfkfiZpZc\n`k_]ffk$ X;il`[[\j`^ekfZ\eki\$
fg\iXk\[^\Xi#gfn\i\[Yp jgile^^`i[\i]fibj%
a JAP engine and a 225cc
)$jkifb\jk\gk_ifl^_
‘Ladies Model’.

1939 1948 1949

IfpXc<eÔ\c[gif[lZ\jcXi^\ K_\*,'ZZ9lcc\kgifkfkpg\# The new 350cc Bullet and
hlXek`k`\jf]dfkfiZpZc\j with radical swinging 500cc Twin models are
and bicycles during the Xidi\Xijljg\ej`fe`j launched in the UK, both
Nfic[NXi@@n_`Z_`eZcl[\j gi\m`\n\[`ek_\:fcdfi\ having the same frame,
the most iconic military :lgKi`Xcf]DXiZ_(0+/% swinging arm suspension,
model, the 125cc 2-stroke Knf9lcc\kj]fidgXikf]k_\ telescopic front forks and
‘Airborne’ motorcycle – victorious British team in gearbox. K. R. Sundaram Iyer
=cp`e^=c\X%@kZflc[Y\cfX[\[ k_\(0+/@J;K@ek\ieXk`feXc launches Madras Motors to
`ekfXjg\Z`Xccp]XYi`ZXk\[ J`o;XpKi`Xc #_\c[`e@kXcp% import British motorcycles
gXiXZ_lk\ZiX[c\Xe[ Both their riders win gold into India. Besides Norton
[ifgg\[n`k_gXiXkiffg\ij medals. and Matchless machines, he
behind enemy lines. j\ccjIfpXc<eÔ\c[j%

1957 1964 1967 1970

Johnny Brittain wins the K_\`Zfe`Z:fek`e\ekXc>K
JZfkk`j_J`o;XpjKi`XcfeX ZX]„iXZ\i`jcXleZ_\[kf
9lcc\k]fik_\j\Zfe[k`d\ ^i\XkXZZcX`dn_\eXk\Xdf]
Xe[XcjfÔe`j_\jkfgf]k_\ g_fkfaflieXc`jkji`[\`k]ifd
9i`k`j_Ki`Xcj:_Xdg`fej_`g% Af_eÊf>ifXkjkfCXe[j<e[
The 250cc Crusader model in under 24 hours, by way
is launched in Britain. f].cXgjXkk_\J`cm\ijkfe\
Gif[lZ`e^(*Y_g#`k]\Xkli\j Z`iZl`k%K_\>K]\Xkli\jX
a unit construction engine iXZ`e^g\kifckXeb#Zc`g$fe
and alternator electrics with handlebars, rear sets, a
coil ignition. _ldg\[iXZ\j\Xk#i\mZflek\i
Xe[Xjn\gk$YXZb\o_Xljk%
N`k_fecpknfdf[\cjc\]k K_\<eÔ\c[:pZc\
`egif[lZk`feÆk_\),'ZZ :fdgXep`ek_\LB^f\j
:fek`e\ekXc>KXe[k_\ flkf]Ylj`e\jj%K_\
.*-ZZ@ek\iZ\gkfiÆIfpXc i\dX`e`e^@ek\iZ\gkfi
<eÔ\c[ËjI\[[`kZ_]XZ`c`kp engines are sold to the
Zcfj\j%Gif[lZk`fef]k_\ Rickman Brothers and
@ek\iZ\gkfiZfek`el\jXk Ôk`egifgi`\kXipD\k`jj\
<eÔ\c[Ëjle[\i^ifle[ ]iXd\j%8ggifo`dXk\cp
]XZ`c`kp`e9iX[]fi[fe8mfe% 0'f]k_\j\dXZ_`e\j
are built. Production in
@e[`XZfek`el\jn`k_flk
`ek\iilgk`fe%

1994 1997 1999 2001

K_\<`Z_\i>iflgXZhl`i\j =fikpIfpXc<eÔ\c[ Utilising the design skills K_\;Xi\[\m`cj#k_\
<eÔ\c[@e[`XC`d`k\[Xe[ motorcycles tour Khardung f]8ljki`Xe\og\ikj8MC# dfkfiZpZc\[`jgcXp
i\eXd\[`kIfpXc<eÔ\c[ La, the world’s highest gif[lZk`fef]Xi\m`j\[ k\Xdf]k_\@e[`Xe
Motors Limited. dfkfiXYc\gXjj#j\kk`e^X 350cc all-aluminium lean 8idp:figjf]
gi\Z\[\ek]fi\g`Zi`[\j`e burn Bullet engine, known J`^eXcj#AXYXcgli#
jfd\f]k_\nfic[Ëjdfjk as the A350, begins at a ]fidjX_ldXe
[`øZlckk\iiX`e% e\nIfpXc<eÔ\c[gcXeke\Xi gpiXd`[f])'(d\e
AX`gli#IXaXjk_Xe% fek\e*,'ZZ<eÔ\c[
motorcycles, riding a
[`jkXeZ\f]fm\i)''
metres.

2005 2008 2009

IfpXc<eÔ\c[Z\c\YiXk\j`kj IfpXc<eÔ\c[Y\^`ej The 500cc UCE engine
,'k_Xee`m\ijXip`e@e[`X% \ogfik`e^k_\:cXjj`Z# `jcXleZ_\[`e@e[`X%K_\
@e[`XËjÔijk,''ZZ<=@#<lif retro-styled Classic version
@@@Zfdgc`XekdfkfiZpZc\# achieves cult status
kf<lifg\XedXib\kj%K_\ immediately and sales grow
K_le[\iY`i[Kn`ejgXib`j iXg`[cp%
launched with the new Unit
Construction Engine (UCE)
`e@e[`X%

2014 2015 2015

IfpXc<eÔ\c[`ekif[lZ\jX IfpXc<eÔ\c[XZhl`i\j IfpXc<eÔ\c[j\kjlg`kjÔijk
e\ni\kX`c\og\i`\eZ\n`k_ erstwhile collaborators direct distribution subsidiary
k_\fg\e`e^f]k_\Ôijk$f]$ ?Xii`jG\i]fidXeZ\f] flkj`[\@e[`X#`eEfik_
its-kind exclusive gear store the UK, a motorcycle 8d\i`ZXn`k__\X[hlXik\ij
XkB_XeDXib\k#E\n;\c_`% \e^`e\\i`e^Xe[[\j`^eÔid# in Milwaukee, Wisconsin.
to enhance its engineering
Xe[gif[lZk[\j`^e
ZXgXY`c`k`\j%

EICHER MOTORS LIMITED

 15

IN CONTINUOUS PRODUCTION
1901 1909 1914
K_\ÔijkIfpXc<eÔ\c[ IfpXc<eÔ\c[ËjÔijkM$kn`e IfpXc<eÔ\c[ËjÔijk
dfkfiZpZc\`jgif[lZ\[% is launched at the Stanley 2-stroke motorcycle goes
;\j`^e\[YpI%N%Jd`k_ Cycle Show, having a `ekf]lccgif[lZk`fe%8j
and Frenchman Jules )(&+_g\e^`e\dX[\ 9i`kX`e^\kj[\\gcp`emfcm\[
>fk`\k#`k_XjX((&)_g Ypk_\Jn`jjZfdgXep# `eNfic[NXi@#gif[lZk`fe
Minerva engine mounted in Motosacoche. f]Xccfk_\iIfpXc<eÔ\c[
]ifekf]k_\jk\\i`e^_\X[% motorcycles ceases
K_\ÔeXc[i`m\`jXkk_\i\Xi barring this machine and
n_\\cYpd\Xejf]Xcfe^ k_\:fdgXepËjY`^^\jk
rawhide belt. motorcycle, the 770 cc
-_gM$kn`e%

1930 1932 1933 1935

Df[\ciXe^\\ogXe[j K_\c\^\e[XipÈ9lcc\kÉ Knfp\Xij]fccfn`e^k_\ Cecil Barrow, riding a 500cc
kf((#]ifdk_\)),ZZ dfkfiZpZc\`jYfieXe[Ôijk [\d`j\f]8cY\ik<X[`\# 9lcc\kXkk_\@jc\f]DXe
2-stroke Model A to [`jgcXp\[`eEfm\dY\i(0*) ]fle[`e^gXike\iI%N%Jd`k_ KK#Ôe`j_\j`e/k_gcXZ\
the 976cc V-twin Xkk_\`dgfikXek<Xicj:flik gXjj\jXnXp%DXafi=iXeb Xm\iX^`e^.+dg_%@k`j
Model K. New 350 Motorcycle Show in London. Smith assumes control at IfpXc<eÔ\c[ËjcXjk]XZkfip
and 500cc side-valve Three versions: 250, 350 <eÔ\c[% jgfejfi\[\ekip`ek_\\m\ek%
and overhead valve and 500cc are available, all K_\i\X]k\i#k_\,''ZZ9lcc\k
dXZ_`e\jn`k_[ip$jldg n`k_`eZc`e\[Êjcfg\iË\e^`e\j# is radically changed with the
lubrication are also kn`e$gfik\[Zpc`e[\i i\c\Xj\f]Xe\njgfik`e^
gif[lZ\[% _\X[j#]ffk^\XiXe[_`^_ version, the Model JF,
Zfdgi\jj`feg`jkfej% ]\Xkli`e^X+$mXcm\Zpc`e[\i
head.

1952 1955 1956

Madras Motors receives an K_\I\[[`kZ_ZfdgXep K_\K`ilmfkk`pli]XZkfip
fi[\i]ifdk_\@e[`Xe8idp gXike\ijDX[iXjDfkfij`e fg\iXk`feXc`j\jn`k_k_\
]fi/''*,'ZZ9lcc\kj%K_\ @e[`Xkf]fidÊ<eÔ\c[@e[`XË% dXel]XZkli\f]c`Z\ej\[
dfkfiZpZc\jXii`m\]ifd Work commences on the 9lcc\kj%<Xicpgif[lZk`fe
Redditch in early 1953 ZfejkilZk`fef]Xgligfj\$ is based on assembling
Xe[gifm\kfY\X^i\Xk Yl`ck]XZkfipXkK`ilmfkk`pli# machines that come in kit
success, being both hardy near Madras. ]fid]ifd<e^cXe[%(-*
and easy to maintain. Bullets are built during
Johnny Brittain wins the the year.
gi\jk`^`fljJZfkk`j_J`o
;XpjKi`Xcfe_`j*,'ZZ
9lcc\k#È?EG**(É%

1977 1989 1993

IfpXc<eÔ\c[@e[`XY\^`ej 8e\n)+Y_g,''ZZ9lcc\k <eÔ\c[@e[`Xgif[lZ\j
\ogfik`e^k_\*,'ZZ9lcc\k `ji\c\Xj\[#gi`dXi`cpX`d\[ k_\nfic[ËjÔijkdXjj$
kfk_\LBXe[<lifg\% Xk\ogfikdXib\kj#n_\i\ dXel]XZkli\[[`\j\c
JXc\j^ifniXg`[cpXjk_\ it is available in Classic, dfkfiZpZc\Æk_\<eÔ\c[
Y`b\j[\m\cfgX]fccfn`e^ ;\clo\Xe[Jlg\ijkXiki`d ;`\j\c_Xm`e^_`^_cp]l\c$
amongst classic British along with the 350. \øZ`\ek*),ZZgfn\ile`k
motorcycle enthusiasts. installed in the standard
Bullet rolling chassis.

2002 2004
The Thunderbird, a stylish K_\<c\ZkiXO#Xe\ogfik
lean burn cruiser is launched Bullet with a 500cc version
`e@e[`X%@k]\Xkli\jk_\Ôijk f]k_\Xcc$Xccfpc\XeYlie
,$jg\\[^\XiYfolj\[feX engine, goes on sale.
IfpXc<eÔ\c[j`eZ\(0-,`e The retrostyled ‘Bullet
Redditch. Over 1000 Royal Machismo’ is rated the ‘No.1
<eÔ\c[dfkfiZpZc\jf]Xcc Cruiser’ in a TNS Autocar
ages descend on Redditch survey.
]fik_\IfpXc<eÔ\c[Fne\ij
Club Redditch Revisited
event.

2011 2012 2013

2013
K_\:fdgXepcXleZ_\j IfpXc<eÔ\c[cXleZ_\j`kj IfpXc<eÔ\c[Zfdd\eZ\j
=fikp$\`^_kp\XijX]k\i
`kjÔijkXeelXcÊFe\I`[\Ë# Ôijk_`^_nXpZil`j\i#k_\ dXel]XZkli`e^Xk`kjj\Zfe[
[\m\cfg`e^k_\nfic[Ëj
n_\i\IfpXc<eÔ\c[i`[\ij all-black Thunderbird 500. ]XZ`c`kp`eFiX^X[Xd#KXd`c
ÔijkZX]„iXZ\i#IfpXc
globally are encouraged Work on the new Oragadam Nadu. With increased
<eÔ\c[ifccjflkk_\Xcc$e\n
kf^f]fiXi`[\fek_\Ôijk ]XZkfipZfek`el\jYi`jbcp ZXgXZ`kp#k_\jkXk\$f]$
:fek`e\ekXc>K%IfZb\ij#
Jle[Xp`e8gi`c%IfpXc while the Tiruvottiyur k_\$Xik]XZkfipn`ccY\k_\
critics and riders agree that
<eÔ\c[XZhl`i\j,'XZi\j gcXekj\kje\ngif[lZk`fe elZc\ljf]k_\:fdgXepËj
`k`jk_\dfjk]lefe\Zflc[
f]cXe[XkFiX^X[Xde\Xi records. global ambitions in the
ever have on a motorcycle.
:_\eeX`]fi`kje\ngcXek% ]lkli\%
8]XZkfipfi^Xe`j\[ki`g
crosses the border with
ÊKflif]E\gXcË%

2016 2017 2018 2019

IfpXc<eÔ\c[[\Ylkj IfpXc<eÔ\c[dfm\j`ekf IfpXc<eÔ\c[lem\`c\[ IfpXc<eÔ\c[cXleZ_\j
`kjÔijkgligfj\$Yl`ck `kjjkXk\$f]$k_\$XikK\Z_ `kjÔijkdf[\ie-+/ZZ `kjÔijkkn`e$Zpc`e[\i
motorcycle, the Centre at Leicestershire, UK X`i$Zffc\[gXiXcc\ckn`e motorcycles in 50 years
?`dXcXpXe%N`k_k_\ kf[\j`^eXe[[\m\cfge\n cylinder engine, designed n`k_k_\Xcce\n@ek\iZ\gkfi
all-new LS410 engine dfkfiZpZc\gcXk]fidj]fi kffù\ii`^_kYXcXeZ\ @EK-,'Xe[:fek`e\ekXc
and terrain-tested global market. Y\kn\\egfn\iXe[ >K-,'Xd`[jk^cfYXc
jljg\ej`fe#`kgifd`j\j kfihl\kfgifm`[\jdffk_ enthusiasm.
k_\i`[\f]Xc`]\k`d\fe i`[`e^\og\i`\eZ\n`k_flk
all roads and no roads. ]i\hl\ek^\Xij_`]kj%

ANNUAL REPORT 2018-19

16
CORPORATE REVIEW
KEY HIGHLIGHTS FOR THE YEAR
Quarter 1
(April 2018 – June 2018)
Planned a capex of Rs. 800 crores
for 2018-19 towards construction
of Phase-II manufacturing facility
at Vallam Vadagal, construction of
technology centre in Chennai and
product development.
Launched the Limited Edition ‘Classic
500 Pegasus’ motorcycles across the
globe. Conceived as a tribute to the
legendary World War II motorcycle
RE/WD 125 Flying Flea, the Pegasus
has attracted enthusiasts and
connoisseurs across the globe. Only
1,000 such motorcycles were sold
globally out of which, only 250 were
sold in India via an online sale. All 250
motorcycles were sold in a record
time of 178 seconds!
EICHER MOTORS LIMITED
Quarter 2
(July 2018 – September 2018)
CXleZ_Xe[k_\Ôijk>cfYXcD\[`X
i`[\f]k_\IfpXc<eÔ\c[-,'Kn`ej
- the INT and the GT. The 650 Twins
gcXk]fid`jIfpXc<eÔ\c[jÔijkkn`e$
cylinder motorcycle platform in 50
years. The motorcycles received
excellent reviews across the world,
from media and experts alike. Royal
<eÔ\c[fg\e\[Yffb`e^jXe[k\jk
rides across USA.
Launched the Classic 350 Signals
XjXki`Ylk\kfIfpXc<eÔ\c[Ëj
65-year-old heritage with the Indian
armed forces along with dedicated
collection of apparel and motorcycle
accessories. The motorcycles were
introduced in two colours - Airborne
Blue and Stormrider Sand colours.
K_\:cXjj`ZJ`^eXcj*,'nXjk_\Ôijk
IfpXc<eÔ\c[df[\c`e@e[`Xn`k_89J%
 17

=cX^^\[$fùk_\(,k_\[`k`fef]IfpXc
<eÔ\c[?`dXcXpXeF[pjj\p#n_\i\
60 riders (including 10 women)
embarked on a 2200 km, 18 days
journey, traversing through some of
the toughest terrains and highest
mountain passes in the world.

Raced the custom-built Bonneville

Racer at the Bonneville Salt Flats
in Utah, USA at a record speed of
157.053 mph, demonstrating the
ZXgXY`c`k`\jf]IfpXc<eÔ\c[Ëjkn`e
cylinder engine and strengthening
IfpXc<eÔ\c[dfkfiZpZc\jË
reputation as a perfect canvas for
customisation.

Organised the second edition of

REUNION in Colombia at Quindio.

Quarter 3
(October 2018 – December 2018)
=`ijk$\m\iglYc`Z[`jgcXpf]k_\Ôijk
full-production versions of the highly
anticipated twin-cylinder motorcycles
– the Interceptor INT 650 and the
Continental GT 650 – made to
enthusiasts in Europe at EICMA 2018,
Milan. This was followed by initiation
of bookings and inquiries across
dealerships in Europe and UK.
Developed ‘Concept Kx’ prototype,
a V-Twin motorcycle inspired by
IfpXc<eÔ\c[Ëjfi`^`eXcDf[\cBOf]
the 1930s, from scratch in under six
months and showcased it at EICMA
2018.
India media ride and price launch
of the 650 Twins at Goa. Event
attended by automotive and business
publications across India. Display and
bookings open nationally across 120
dealerships in 14 key cities.
Witnessed record participation from
IfpXc<eÔ\c[Zfddle`kpXkI`[\i
Mania, Goa – the largest gathering
f]IfpXc<eÔ\c[\ek_lj`Xjkj%K_\
customers thoroughly enjoyed the
new spread out venue at the Vagator.
Scores of customers took the test
rides for the Interceptor 650 and the
Continental GT 650 at the specially
created experience zone.
Quarter 4
(January 2019 – March 2019)
Launched the Bullet Trials Works
Replica 2019 motorcycle as a
celebration of Bullet's 87-year
heritage, the world's oldest
motorcycle brand in continuous
production since 1932. It
Zfdd\dfiXk\jIfpXc<eÔ\c[j9lcc\k
Trials motorcycle of 1949 and is a
ki`Ylk\kfk_\c\^\e[XipIfpXc<eÔ\c[
factory riders’ team and to Trials
Wizard Johnny Brittain who rode it to
win various Trials Championship
The 650 Twins
launched in India, at
Goa, and across 120
dealerships in 14 key
metro and mini metro
cities of India

ANNUAL REPORT 2018-19

18
CORPORATE REVIEW

FINANCIAL POSITION – STANDALONE

BALANCE SHEET
(Rs. Crores)
31.03.2019 31.03.2018 31.03.2017 31.03.2016
Net Fixed Assets (Property plant & equipment, 2,320.55 1,830.49 1,243.82 887.54
Intangibles, CWIP and Investment property)
Investment in subsidiaries & Joint ventures 67.93 49.43 300.42 243.81
@em\jkd\ek`edlklXc]le[j#Yfe[jÔo\[[\gfj`kj 5,896.60 4,925.50 3,241.31 1,825.24
Other non-current assets 199.75 207.17 277.96 200.78
Current assets
Inventories 605.34 379.23 322.45 300.36
Debtors 112.65 78.02 48.94 46.13
:Xj_Xe[9Xeb9XcXeZ\j\oZcl[`e^Ôo\[[\gfj`kj 22.07 99.88 20.61 44.52
Other current assets 252.52 224.95 84.75 75.53
Total assets 9,477.41 7,794.67 5,540.26 3,623.91
Equity share capital 27.28 27.26 27.21 27.16
Other equity 7,099.17 5,344.97 3,895.38 2,309.25
Net worth 7,126.45 5,372.23 3,922.59 2,336.41
Non-current liabilities 372.58 227.81 135.71 78.57
Current liabilities 1,978.38 2,194.63 1,481.96 1,208.93
Total equity and liabilities 9,477.41 7,794.67 5,540.26 3,623.91

Investments in Mutual
Net Fixed Assets Net Worth Funds, Bonds & Fixed
(Rs. Crores) (Rs. Crores) Deposits (Rs. Crores)

2018-19 2,320.55 2018-19 7,126.45 2018-19 5,896.60

2017-18 1,830.49 2017-18 5,372.23 2017-18 4,925.50

2016-17 1,243.82 2016-17 3,922.59 2016-17 3,241.31

2015-16 887.54 2015-16 2,336.41 2015-16 1,825.24

EICHER MOTORS LIMITED

 19

OPERATIONAL HIGHLIGHTS – STANDALONE

PROFIT AND LOSS ACCOUNT
(Rs. Crores)
2018-19 2017-18 2016-17 2015-16
Apr'18 - Mar'19 Apr'17 - Mar'18 Apr'16 - Mar'17 Apr'15 - Mar'16
Sales Volume :
Motorcycles (Nos.) 8,23,828 8,20,492 6,66,493 5,08,099
Net Revenue from operations 9,794.48 8,957.51 7,037.97 5,223.47
Manufacturing and other expenses 6,850.10 6,104.31 4,832.16 3,763.32
Earnings before interest, depreciation & tax (EBIDTA) 2,944.38 2,853.20 2,205.81 1,460.15
EBIDTA to Net Revenue (%) 30.1% 31.9% 31.3% 28.0%
Depreciation 298.93 222.34 153.34 118.20
Earnings before interest & tax (EBIT) 2,645.45 2,630.86 2,052.47 1,341.95
EBIT to Net Revenue (%) 27.0% 29.4% 29.2% 25.7%
Finance Cost 2.99 3.04 2.79 1.57
Other Income 508.04 332.43 227.31 212.59
GifÔkY\]fi\\oZ\gk`feXc`k\dXe[kXo 3,150.50 2,960.25 2,276.99 1,552.97
Exceptional item (Discontinued operation-EPPL)* 17.52 311.98 - -
GifÔkY\]fi\kXo 3,132.98 2,648.27 2,276.99 1,552.97
Provision for taxation 1,078.54 935.36 716.97 463.94
GifÔkX]k\ikXoXk`feG8K 2,054.44 1,712.91 1,560.02 1,089.04
Other comprehensive income -5.77 10.85 -0.08 -0.83
Total Comprehensive income 2,048.67 1,723.76 1,559.94 1,088.20
Total Comprehensive income excluding exceptional 21.1% 22.7% 22.2% 20.8%
item to Net Revenue (%)
Dividend for 2015-16, paid in 2015-16 - - - 271.61
Dividend for 2016-17, paid in 2017-18 - - 272.22 -
Dividend for 2017-18, paid in 2018-19 - 299.93 - -
Dividend proposed for 2018-19 341.03 - - -
Basic Earnings per Share (Rs.) 753.37 629.07 573.75 401.20
Diluted Earnings per Share (Rs.) 752.54 627.88 572.17 399.73
!K_\Fg\iXk`fejf]<`Z_\iGfcXi`jGi`mXk\c`d`k\[<GGC nXj[`jZfek`el\[n`k_\ù\Zk]ifdDXiZ_0#)'(/

Net Revenue from Total Comprehensive

Operations EBITDA @eZfd\! Equity Dividend
(Rs. Crores) (Rs. Crores) (Rs. Crores) (%)

2018-19 9,794.48 2018-19 2,944.38 2018-19 2,066.19 2018-19 1,250.0%

2017-18 8,957.51 2017-18 2,853.20 2017-18 2,035.74 2017-18 1,100.0%

2016-17 7,037.97 2016-17 2,205.81 2016-17 1,559.94 2016-17 1,000.0%

2015-16 5,223.47 2015-16 1,460.15 2015-16 1,088.20 2015-16 1,000.0%

* Total comprehensive income excludes exceptional item for 2017-18 & 2018-19

ANNUAL REPORT 2018-19

20
CORPORATE REVIEW

THE TWINS ARE HERE!

IfpXc<eÔ\c[#k_\^cfYXcc\X[\i`ek_\
mid-sized motorcycle segment, opened
the latest chapter in its storied 117-year
motorcycle production history with the
initial outing of its highly anticipated twin
cylinder motorcycles - the Interceptor
650 and the Continental GT 650. The
motorcycles were launched in the presence
of senior motorcycling journalists and
editors of leading automotive and lifestyle
publications across the world in the sun-
drenched, surf loving city of Santa Cruz,
California, USA in September 2018. With
k_\j\dfkfiZpZc\j#IfpXc<eÔ\c[`jj\kkf
disrupt this segment by bringing back ‘Twin
=leËn`k_`kjÔijkkn`e$Zpc`e[\idfkfiZpZc\j
in 50 years. Inspired by its iconic
motorcycles in the 1960’s, the 650 Twins
powered by an all new 648cc air-cooled
kn`eZpc`e[\i\e^`e\Xi\IfpXc<eÔ\c[ËjÔijk
truly global motorcycles.

EICHER MOTORS LIMITED


The Continental GT 650 and
Interceptor INT 650 are Royal
<eÔ\c[ËjÔijkkilcp^cfYXcc`e\
of products and will usher the
e\okj\kf]IfpXc<eÔ\c[fne\ij
across the globe.
THE 650 TWINS - BRINGING BACK FUN IN
MID-SIZED MOTORCYCLING
K_\Ôijkkn`eZpc`e[\idfkfiZpZc\jkfY\
gif[lZ\[YpIfpXc<eÔ\c[j`eZ\(0.'#
these two new motorcycles recall a
golden era for the marque that began
`e(0+/n`k_k_\Xii`mXcf]`kjÔijk,''ZZ
twin cylinder motorcycle that evolved
into several famed high-performance
models ultimately leading to the original
Interceptor of 1960. The Continental GT
was a much-loved café racer motorcycle
`ek_\LBXe[<lifg\Xe[k_\ÔijkdXjj
produced café racer at that time.
The 650 Twins are entirely new set of
motorcycles developed ground up jointly
YpIfpXc<eÔ\c[Ëj[\m\cfgd\ekk\Xdj
in India and UK . They combine classic
looks with modern engineering to inspire
ZfeÔ[\eZ\`ee\ni`[\ijXe[\oZ`k\
experienced motorcyclists. They are air-
cooled to simplify maintenance, produce
a gorgeous twin-cylinder exhaust note
and retain true heritage design. Built for
real world riding, the 650 Twins come
with ample torque, making light work of
Z`kpkiXøZ#Xe[n`k_jløZ`\ekgfn\ikf
\ùfikc\jjcpZil`j\fek_\fg\eifX[%
All about an easy yet fun
riding experience
N_`c\k_\-,'Kn`efù\idfi\k_Xe
adequate 47 horsepower, their 'ride-
ability' secret lies in seamless torque
delivery from low in the rev range – 80%
of the peak 52Nm torque delivered at
2500rpm. This ensures smooth and
steady progress without constant gear
changing. This when combined with an
extremely agile chassis developed at
IfpXc<eÔ\c[jLBK\Z_efcf^p:\eki\`e
conjunction with legendary design and
\e^`e\\i`e^Ôid?Xii`jG\i]fidXeZ\#k_\
secret of their all-round competence
begins to reveal.
Evocative, simple and
timeless design language
The 650 Twins are beautifully executed
and thoughtfully detailed motorcycles.
Their intricately-designed engines,
21
perfectly replicate the classic look, while
touches such as forged handlebars,
DfeqX]l\cZXgjXe[ZXi\]lccpÔe`j_\[
ancillaries echo the quality to be found
inside and out. These motorcycles
i\jfeXk\n`k_IfpXc<eÔ\c[ËjYiXe[
ethos of tapping the growing popularity
of classically-influenced, modern-day
motorcycling and match the diverse
persona of the riders across the world.
K_\-,'Kn`eji\]c\ZkIfpXc<eÔ\c[Ëj
respect for longevity by being the
[\Ôe`k`fef]knf$n_\\c\[jljkX`eXY`c`kp
in a world where short-term trends,
conspicuous consumption and
disposable products are fast losing
their appeal. They are intended to be
machines that deliver the growing needs
of today’s motorcyclists who see the
machines as extensions of themselves;
which they can make their own and ride
throughout the adventure of life.
The Continental GT 650, with its
committed riding stance, optional single
seat, sculpted fuel tank, rearset footrests
and race-style clip-on handlebars
appeals especially to sporting riders.
Perfect for enjoying high-speed blasts
on twisting backroads, its ergonomics
also make it a comfortable stylish city
bike, for tackling highway or weekend
escapes to the wilds.
The Interceptor INT 650, harks back
to the historic inspired model with its
distinctive teardrop tank with traditional
knee recesses, comfortable, quilted
dual seat and wide, braced handlebars
redolent of the 60’s California street
style scrambler. Providing comfortable
and commanding riding position, it is
both fun and practical on all types of
terrain, from curving coastal roads to
the urban jungle, for heading out of town
two-up or for cruising down to the beach.
ANNUAL REPORT 2018-19
22
CORPORATE REVIEW

EICHER MOTORS LIMITED

 23

Canvas for customisation

With individuality becoming a key
]fidf[\ie[Xpi`[\ij#IfpXc<eÔ\c[
focusses on providing diverse retro
customisation to the 650 Twins. From
special paint colours and pin stripes to
retro-cool bar-end mirrors, optional
]cpjZi\\ejXe[Xck\ieXk`m\Ôe`j_\j
for wheels, lights and suspension
Zfdgfe\ekj#IfpXc<eÔ\c[jk\gj$lgk_\
style quotient to woo customers.
A means of self-expression
with motorcycle with
motorcycle apparel and
accessories
The 650 Twins come with a range of
IfpXc<eÔ\c[^\Xi#XggXi\cXe[^\el`e\
motorcycle accessories. The gear and
apparel are inspired by the 60’s, reflecting
the cuts and silhouettes from the cultural
contexts and the motorcycles’ era. The
range of gear includes Clymer and Spirit
jackets, a curated range of t-shirts,
helmets, boots, ankle-high sneakers, and
covert Cordura jeans and Streetborn
gloves, which aesthetically fuse classic
styling with contemporary functionality.
The accessories are designed to provide
comfort, styling and protection in addition
to being a means of self expression
for the rider. The range comprises new
functional and protective accessories
such as engine guards, lifting handle,
pannier mounts and an auxiliary electrical
port, and styling accessories such as
chrome and stainless-steel silencer slip
ons, acrylic fly screen, single and twin seat
cowls, and soft canvas panniers.
GLOBAL LAUNCH IN
THE GOLDEN STATE OF
CALIFORNIA, USA
IfpXc<eÔ\c[Ëj@ek\iZ\gkfi-,'Xe[
the Continental GT 650 motorcycles
are redolent of the heydays of
motorcycling's golden era of the 1950’s
and 60's. It began in 1948 with the
ÔijkIfpXc<eÔ\c[,''ZZkn`eZpc`e[\i
motorcycle which evolved into its famed
high-performance models – the Meteor,
Super Meteor and, ultimately, the original
Interceptor of 1960. The motorcycle
sold mainly in the USA and Canada and
the 700cc Interceptor and its 750cc
successor quickly became a part of
California’s sun-drenched culture. It
served as two-wheeled expression of fun,
excitement, freedom and optimism in the
form of fast and stylish road bikes and
as successful competition machines for
scrambles, desert races and flat track.
Inspired by this deep historic link of
twin-cylinders with the Golden State of
California, Santa Cruz was the most ideal
[\jk`eXk`fe]fik_\^cfYXccXleZ_Xe[Ôijk
global media ride of the much-awaited
650 Twins, as well as marking the revival
of the twin-cylinder production. This
was one of the biggest launch events by
IfpXc<eÔ\c[Xe[`kjXnk_\gXik`Z`gXk`fe
of more than 120 journalists from
13 countries across the globe. The
journalists rode the Interceptor 650
and the Continental GT 650 extensively
k_ifl^_Ôm\[XpjXifle[k_\GXZ`ÔZ
Coast Highway and the Redwood forests
and were left highly impressed.

The Twins will play

a strategic role in
expanding the global The Interceptor INT 650 is intended to appeal to the
middle-weight segment novice (or experienced) rider who wants to return
market. to the simple and fun days of motorcycling without
breaking the bank. It’s got a combination of retro-cool
authenticity and modern day approachability that just
might be one of the game-changers the motorcycle
industry needs right now.
- Cycle World, USA

ANNUAL REPORT 2018-19

24
CORPORATE REVIEW

650 TWINS LAUNCHED IN EUROPE,

AUSTRALIA AND SOUTH EAST ASIA

IfpXc<eÔ\c[cXleZ_\[k_\-,'Kn`ejXZifjj<lifg\Xk<@:D8
DfkfiJ_fn`eD`cXe#@kXcp`eEfm\dY\i)'(/%K_\Ôijk]lcc$
production version of the all-new 650 Twins were displayed
kfk_\^\e\iXcglYc`ZXkk_\IfpXc<eÔ\c[dXihl\\Xk<@:D8
show. The Continental GT 650 café racer and Interceptor INT
650 roadster were displayed in standard, custom, and chrome
ZfcflinXpj%IfpXc<eÔ\c[Xcjfj_fnZXj\[`kjn`[\iXe^\f]føZ`Xc
>\el`e\DfkfiZpZc\8ZZ\jjfi`\j#jg\Z`ÔZXccp[\j`^e\[]fik_\
650 Twins, garnering a great response from the Europe-based
automotive publications and enthusiasts.

Following the public display of the 650 Twins in EICMA, Royal

<eÔ\c[`e`k`Xk\[Yffb`e^jXe[\ehl`i`\jXZifjj[\Xc\ij_`gj`e
<lifg\Xe[LBjkXik`e^d`[$Efm\dY\i)'(/%9\`e^k_\Ôijkkilcp
^cfYXcc`e\f]dfkfiZpZc\j`ek\e[\[kflj_\iIfpXc<eÔ\c[fne\ij
^cfYXccp#k_\i\^`fenXjZ_fj\eXjk_\Ôijkn_\i\Zljkfd\ij
could place orders. The evocative line-up of Continental GT 650
Twin and Interceptor INT 650 Twin were put on display across
dealerships starting January 2019 giving enthusiasts a chance to
experience them.

IfpXc<eÔ\c[Ëje\n-,'ZZ@ek\iZ\gkfi
and Continental GT retros are looking
good. sweet handling and well made.
And we’re expecting them to be of
stupendous value. Time to put an Indian-
made bike in your garage? This bike that
we are riding will surely be the world's
biggest selling bike of 2019.
- Bike Magazine, UK

KXb`e^]finXi[`kj^cfYXcXdY`k`fej#IfpXc<eÔ\c[cXleZ_\[k_\-,'
twin motorcycles at the Melbourne Motor Show held in November
)'(/%K_\j\dfkfiZpZc\jfù\iXg\i]\ZkYc\e[f]Xlk_\ek`Z
appeal, contemporary fun ride experience and accessibility, for
motorcyclists in Australia.

EICHER MOTORS LIMITED

 25

ANNUAL REPORT 2018-19

 26
CORPORATE REVIEW

650 TWINS LAUNCHED

IN INDIA

The much-awaited Interceptor 650 and

the Continental GT 650’s were launched
in India at Goa in mid-November,
)'(/%IfpXc<eÔ\c[XeefleZ\[k_\
beginning of test rides, retail availability
and bookings along with the price. The
motorcycles were received extremely
well by the Indian automotive journalists
and amongst the customers who test
if[\k_\j\dfkfiZpZc\j]fik_\Ôijk
time at Rider Mania. The price launch
and media ride was attended by a huge
majority of journalists from across
all leading publications and media
houses in India. The motorcycles also
made their debut at Rider Mania 2018
- India’s largest gathering of Royal
<eÔ\c[i`[\ij]ifdXZifjjk_\nfic[%
Participants at Rider Mania had an
opportunity to pre-book test ride seats
for these motorcycles at Goa and place
k_\`iÀÀYffb`e^j%

The 650 Twins will not only

appeal to a newer breed of
motorcycling enthusiasts
who were longing for
a more powerful Royal
<eÔ\c[dfkfiZpZc\Ylk
also enable more than
3.5 million+ of its existing
customers in India to
own the next expression
of pure, simple and fun
motorcycling by moving
up towards the top end An extremely astute motorcycle that straddles
of the middle-weight the twin goals of being accessible to many and a
segment. dfkfiZpZc\k_XkYi`e^jIfpXc<eÔ\c[ji\Ôe\d\ek
and quality levels at par with anything on the market
kf[Xp%?fcpnfn#k_XkjX^Xd\Z_Xe^\i
Overdrive, India

EICHER MOTORS LIMITED


TWINS STUN GLOBAL MOTORCYCLE
ENTHUSIASTS
20-years testing and
23-years racing means
I ride a lot of bikes. It’s
maybe once per year
that a new model sticks
out so quickly. Ultra
smooth. Balanced.
Torquey. Sounds sweet.
Fun.
Bike Review, Australia
27
At its core, with great retro looks, nice engine, and a
respectable chassis, the INT 650 should be getting
some attention, and, with the aggressive pricing
jkilZkli\#IfpXc<eÔ\c[`jXYflkXjj\i`fljXjpflZXe
get about shifting the tide.
Ultimate Motorcycling, USA
The Interceptor 650
has exceeded my
expectations by far. I
like its stable handling
that comes along with
a nice combination of
sportiness. The Engine
is very flexible and
at low revs it’s quite
smooth. I have ridden
a lot of big twins in the
past like Ducati and
Ki`ldg_Ylkfm\iXcc@m\
found Interceptor to be
smoother and superior.
Peter Radau, owner of
Interceptor 650 Chrome
in Australia
ANNUAL REPORT 2018-19
28
CORPORATE REVIEW

SPREADING FOOTPRINT IN
SOUTH EAST ASIA

Globally, the motorcycle

enthusiasts are increasingly
looking to own machines
that can provide them
individuality, introduce
them to the world of pure
motorcycling and give them
a chance to own a piece
f]À_`jkfip%

IfpXc<eÔ\c[`jjk\X[`cp\ogXe[`e^`kj
presence in the international markets
to cater to these enthusiasts with its
evocative and accessible motorcycles
that mix historical roots with
df[\ieÀk\Z_efcf^p%

@e)'(/$(0#IfpXc<eÔ\c[Zfek`el\[
n`k_`kj\ùfikjkf\e_XeZ\gi\j\eZ\
in the South East Asian markets. The
Company added new stores in Malaysia
and Thailand taking the number of our
exclusive stores to 9 in South-East
Asian region for the year. The countries
in South East Asia are largely commuter
segment driven but have strong
motorcycling culture. Their regions have
several amazing terrains, country roads,
mountain passes, naturally preserved
landscapes, and scenic highways
making them an ideal location for rides
feIfpXc<eÔ\c[ËjdfkfiZpZc\j%

To deepen its association with the

motorcycling community in the South-
East Asian region and to encourage
and enable its customers in the
lifelong pursuit of exploration, Royal
<eÔ\c[fi^Xe`j\[k_\Ôijk\m\iKflif]
Indonesia and the second edition of the
Tour of Thailand. Both the rides received
tremendous response from customers
and the motorcycling community in
their respective countries.

EICHER MOTORS LIMITED


Interceptor 650 won the
prestigious ‘Best Modern Classic
Middle-Weight’ a prestigious
category award at the Thailand
Bike of the Year 2019 awards.
PAVING A NEW CHAPTER IN THAILAND
IfpXc<eÔ\c[dfkfiZpZc\j_Xm\
received an overwhelming response
in Thailand, ever since its entry three
years back. Having a motorcycling
Zlckli\#Zljkfd\ij`ek_\ZflekipÔe[
IfpXc<eÔ\c[Ëjdf[\ieZcXjj`ZjXjk_\
perfect machines that are brilliant for
long rides on the highway and perfect
]fiZ`kpkiXøZZfddlk`e^#c\X[`e^kf
its tremendous demand. Thailand’s
robust leisure riding culture and massive
segment of commuters ready to
upgrade to more premium motorcycles,
fù\ijj`^e`ÔZXek^ifnk_fggfikle`k`\j%
IfpXc<eÔ\c[`jZ_Xee\c`j`e^`kj\ùfikj
to become a part of the fabric of its rich
motorcycling culture. It has established
a wholly-owned subsidiary in Bangkok,
`kjÔijk`ek_\8j`X$GXZ`ÔZi\^`fe%K_`j
localisation strategy is driven by the
intent to serve customers at a closer
and more intimate level.
29
K_X`cXe[`jIfpXc<eÔ\c[Ëjk_`i[_fd\
after its origins in UK and success in
India. It is because of this importance
that Thailand was chosen as one of
k_\ÔijkdXib\kj`eJflk_\Xjk8j`X
where the 650 Twins were unveiled
in December, 2018 at in Bangkok
with more than 120 automotive and
business journalists in attendance.
Post the commencement of retail
availability in December 2018, Royal
<eÔ\c[_Xji\Z\`m\[Xj`^e`ÔZXek
number of bookings and in February
)'(0#IfpXc<eÔ\c[[\c`m\i\[(''f]k_\
650 Twin motorcycles to customers
on a single day. The Interceptor 650
Xe[k_\:fek`e\ekXc-,'Xi\`[\XckfÔcc
the gap in the underserved mid-weight
motorcycle segment in the country.
IfpXc<eÔ\c[_XjX^^i\jj`m\gcXej
to strengthen its standalone dealers
and authorised service centre network
across Bangkok and the Greater
Bangkok area, Phuket, Pattaya and
Chiang Mai.
ANNUAL REPORT 2018-19
30
CORPORATE REVIEW
RECREATING AUTHENTIC
INSPIRATIONS FROM ROYAL ENFIELD’S
MOTORCYCLE PEDIGREE
IfpXc<eÔ\c[Ëj_`jkfip`j[\\gcpjk\\g\[`edfkfiZpZc`e^g\[`^i\\Xe[`k_Xjjfd\`Zfe`Z
motorcycles that have been revered by enthusiasts across generations. In 2018-19, Royal
<eÔ\c[`ekif[lZ\[k_i\\e\nmXi`Xekj#`ejg`i\[Ypk_\`i\Xic`\iXmXkXij%
Gone in 178 seconds!
IfpXc<eÔ\c[jfc[),'le`kjf]
its limited edition ‘Classic 500
Pegasus’ in India on its website in
under three minutes.
THE CLASSIC 500 PEGASUS
Made like a gun, conceived as a tribute to the legendary
World War II RE/WD 125 Flying Flea
The ‘Classic 500 Pegasus’ motorcycle
`j`ejg`i\[YpIfpXc<eÔ\c[Ëjc\^XZpf]
‘Made Like a Gun’, a pedigree of making
resilient enduring motorcycle since
1901. It is a tribute to the legendary
lightweight World War II era RE/WD
125 Flying Flea motorcycle which
was an invaluable asset to the elite
soldiers of the Parachute Regiment,
being deployed extensively as a
frontline combat machine. The Flying
=c\XY\ZXd\k_\ÔijkdfkfiZpZc\kf
be dropped behind enemy lines from
EICHER MOTORS LIMITED
aircraft. On the ground, it was used
for reconnaissance, communications
and transporting soldiers into battle.
These motorcycles have a legacy
of witnessing action in some of the
greatest battles including the D-Day
Xe[k_\9Xkkc\f]ÀÀ8ie_\d%
Inspired by this rich military heritage,
the ‘Classic 500 Pegasus’ was produced
`eføZ`XcXjjfZ`Xk`fen`k_k_\9i`k`j_
Army’s Parachute Regiment as a
collector’s edition motorcycle.
THE CLASSIC
350 SIGNALS
8ef[\kfk_\<eÔ\c[j`e
army service and to the
armed personnel riding
them
IfpXc<eÔ\c[`jk_\gi\]\ii\[
motorcycle of the Indian Armed Forces,
and has been associated with them
since the early 1950’s and continues
to be their largest suppliers of given its
reputation of making resilient, reliable
and versatile motorcycles. As a tribute
kfk_`j-,$p\Xi_\i`kX^\#IfpXc<eÔ\c[
introduced the Classic Signals 350
motorcycles that is inspired by the
<eÔ\c[j`ej\im`Z\#Xe[k_\d\eXe[
women who ride them.
The motorcycle is launched in two
colourways – Airborne Blue and
Stormrider Sand, inspired by coveted
units of Indian Armed Forces. It
i\gi\j\ekjIfpXc<eÔ\c[Ëjgi`[\f]
partnering with the men and women
guarding the country’s skies and land.
The motorcycle, equipped with dual
channel anti-lock braking system
(ABS), stands-out complimented by
its blacked-out scheme on the engine,
silencer, and wheels and a dark tan seat.
It sports a distinctive stencilled number
representing its production number
on the tank, making it exclusive and
one-of-its-kind. The motorcycle comes
with an array of celebrated motorcycle
legacy inspired Gear ranging from
shirts, t-shirts, caps, lapel, pins, bags
Xe[ÀÀ_\cd\k%

BULLET TRIALS WORKS REPLICA
@ejg`i\[YpIfpXc<eÔ\c[Ëjc\^XZpXkKi`Xcj:_Xdg`fej_`g
IfpXc<eÔ\c[_XjXcfe^Xe[gifl[
history of building resilient and enduring
motorcycles, with its iconic and
legendary Bullet having the reputation
of being the most rugged and the oldest
(87 years) motorcycle in continuous
production, globally. In this long
history, the Bullet Trials motorcycle
ridden by Johnny Brittain is the most
unforgettable for its prowess over
challenging terrains and Trials pedigree
of winning over 50 championships
between 1948-1965. Introducing the
Ôijk$\m\ijn`e^`e^Xidjljg\ej`fen`k_
oil damped shock absorbers in 1949,
this model was also a tribute to Royal
<eÔ\c[Ëjj\d`eXc[\j`^eXe[\e^`e\\i`e^
expertise; it changed the course of
motorcycle design forever.
The history of Trials Championship
can be traced back to the 1920's
when motorcycle manufacturers used
‘reliability trials’ to demonstrate their
machines’ tractability, manoeuvrability,
and overall endurance, in the UK and
across Europe.
Paying tribute to this rich history, to
k_\c\^\e[XipIfpXc<eÔ\c[]XZkfip
i`[\ijËk\XdXe[kfk_\gifc`ÔZKi`Xcj
N`qXi[Af_eep9i`kkX`e#IfpXc<eÔ\c[
introduced the Bullet Trials 2019. This
model, with its distinctive design and
functional features, perfectly captures
the look-and-feel of the early 1950’s
models and is redolent of the heyday
of classic trials competitions. It packs
modern features such as block tread
gXkk\iekpi\j]fi`dgifm\[fùifX[
grip, reinforced handlebar with cross-
brace, raised silencer for improved
ground clearance and a dual channel
ABS. It has trimmed mudguards, a
single seat, luggage carrier and is made
XmX`cXYc\n`k_Xj\kf]Ôm\jg\Z`ÔZ
dfkfiZpZc\ÀÀXZZ\jjfi`\j%
31
ROYAL ENFIELD
INTRODUCES ANTI-
LOCK BRAKING
SYSTEM (ABS) IN ITS
MOTORCYCLES
Riding to more safety
With Central Motor Vehicles Rules
(CMVR) Regulation in India mandating
Xccm\_`Zc\jXYfm\(),ZZkfY\Ôkk\[
with ABS (anti-lock braking system),
IfpXc<eÔ\c[]fZljj\[feX[fgk`e^k_`j
technology to enhance rider safety. The
ABS technology helps prevent wheel-
locking under sudden application of
brakes while maintaining traction with the
road surface. It also decreases stopping
distances in low friction conditions.
Undertaking a major transition in its
gif[lZkc`e\j#IfpXc<eÔ\c[`ekif[lZ\[
ABS equipped motorcycles in 2018-19
X_\X[f]jZ_\[lc\%@kfù\ij;lXc:_Xee\c
ABS (two separate braking circuits
with independent sensors for each
wheel, unlike single channel ABS) in its
dfkfiZpZc\j]fiY\kk\iYiXb`e^\øZ`\eZp%
ANNUAL REPORT 2018-19
32
CORPORATE REVIEW

GROWING THE ROYAL ENFIELD

COMMUNITY

8kIfpXc<eÔ\c[#k_\
vision is to create a brand
that surpasses the usual
manufacture and retail
mould and to become more
experiential in conjoining
the global riding community.
8e[IfpXc<eÔ\c[[f\j
this with its marquee rides
and events to deepen its
engagement. We have
conducted events across the
globe to nurture and grow
the riding community.

RIDER MANIA

The world’s largest

^Xk_\i`e^f]IfpXc<eÔ\c[
enthusiasts
Rider Mania 2018 re-ignited its
gfj`k`feXjIfpXc<eÔ\c[Ëjdfjk
[\Ôe`k`m\dfkfiZpZc\]\jk`mXcXd`[jk
an amalgamation of experiences and
youthful vigour, bringing together
enthusiasts from across the world for
an action-packed three days of music,
mates and motorcycling. This year’s
festival notched up the fun factor with
a plethora of events designed to test
the riders' skills with the motorcycle or
fù`k%GXik`Z`gXekjZflc[kXb\gXik`ek_\
events or cheer their mates or just kick
YXZbXe[jfXb`ek_\IfpXc<eÔ\c[m`Y\%

EICHER MOTORS LIMITED

 33

MOTO HIMALAYA 2018

IfpXc<eÔ\c[fi^Xe`j\[k_\k_`i[\[`k`fe
of Moto Himalaya - the marquee ride
for its international customers. The ride
saw 24 participants from 9 countries
across the globe from countries like
the UK, Australia, Thailand, Indonesia
and Colombia coming together to
enjoy a ride of their lifetime. A bucket
list item for any motorcyclist, a ride
in the Himalayas was held in August
2018. The riders rode to Leh, making
way to the beautiful Nubra Valley and
also rode around the pristine Pangong
and Tso Moriri lakes. The bond, banter
and bravado between the riders was
\o\dgcXipXjk_\p]XZ\[[`ù\i\eki`[`e^
terrains, challenges, temperatures,
altitudes - all as one team. A truly
international perspective to riding in
k_\ÀÀ?`dXcXpXj%

TOUR OF INDONESIA 2019

K_\Ôijk\[`k`fef]IfpXc<eÔ\c[Kflif]@e[fe\j`XnXj_\c[]ifdDXiZ_(/kf))%=cX^^\[fù]ifdAXbXikXXe[ZfeZcl[`e^Xk9Xc`#
the riders covered 1,400 kilometres riding through Java region (Jakarta, Bandung, Tasikmalaya, Yogyakarta, Malang, Probolinggo)
Xe[i\XZ_\[9Xc`%K_\i`[\ij\og\i`\eZ\ji`[`e^k_\`iIfpXc<eÔ\c[dfkfiZpZc\jk_ifl^_XmXi`\kpf]k\iiX`ejXe[cXe[jZXg\j#
enjoying the experience all through.

ANNUAL REPORT 2018-19

34
CORPORATE REVIEW

ROYAL ENFIELD CUSTOM PROGRAMME

IfpXc<eÔ\c[dfkfiZpZc\j#n`k_
their simple and uncomplicated
design, have always been a medium
of self-expression for riders and
customisers, inspiring motorcycle
sculptors to explore new frontiers
f]Zljkfd`jXk`fe%IfpXc<eÔ\c[Ëj
technical team continues to dig
IfpXc<eÔ\c[Ëj`Zfe`Z_`jkfipXe[
combine them with new technology
to express their creativeness on
these timeless machines.

THE BONNEVILLE RACER

Setting new benchmark with the pursuit of speed and excellence

The Bonneville Racer by Royal Performance brought in their chassis ZfeÔ[\eki`[\iÆ:XpcXI`mXj%K_\IXZ\i

<eÔ\c[`jfe\f]`kjdfjk`eefmXk`m\
customisation initiatives. Designed
in collaboration with S&S Cycle and
Harris Performance, the custom
dfkfiZpZc\`jÔkk\[n`k_IfpXc<eÔ\c[Ëj
all-new 650 Twin engine. While S&S
Cycle contributed with engine design,
and expertise in tuning motors and
racing them at the Salt Flats, Harris
[\j`^e`e^\og\ik`j\Xe[IfpXc<eÔ\c[Ëj
design team gave the brief.
The extraordinary custom hit a top
speed of 157.053 mph at the Bonneville
Salt Flats in Utah, USA, highlighting the
twin-cylinder engine’s game-changing
capabilities. The extraordinary feat
was achieved by the dynamic and
initially hit record speed of 132 mph
without nitrous, but with the engine’s
capabilities urged the team to push for
more. Undertaking progressive gear
ratio changes, wheelbase adjustment
Xe[fk_\ie`gjXe[klZbj#k_\ÔeXckfg
speed reached 159 mph, with a record
return average at 157.053 mph.

EICHER MOTORS LIMITED

 35

THE MOTORCYCLING WAY OF SELF EXPRESSION AT WHEELS AND WAVES 2018

K_\IfpXc<eÔ\c[dXihl\\nXjXYlqqXkk_\j\m\ek_\[`k`fef]N_\\cjXe[NXm\jXj`k_fjk\[k_\lem\`c`e^k_i\\f]`kjcXk\jk
custom build motorcycles developed on its yet-to-be-launched twin-cylinder platform. Wheels and Waves is Europe's landmark
XeelXcjliÔe^Xe[dfkfiZpZc`e^]\jk`mXc#_\c[`e9`Xii`kq#=iXeZ\%

IfpXc<eÔ\c[jkXp`e^kil\kfk_\]\jk`mXcËjjg`i`k#`ccljkiXk\[`kjÊGli\DfkfiZpZc`e^Ë\ogi\jj`fen`k_`kjk_i\\Zljkfdi\e[`k`fejÆK_\
Lock Stock, Rohini, and Interceptor on its new 650 Twin motorcycles.

CfZbJkfZbÆIfpXc<eÔ\c[ Rohini satellites. The concept is a pure Concept Kx prototype

Base: Continental GT 650 Twin
The Lock Stock celebrates the re-birth
of the twins, in the form of a factory
built, speed-machine. It is developed in
collaboration with Harris Performance
and S&S Cycles, who bring in their
expertise to unravel the true capability
of the 650 motor, using it as a base and
spinning it into an 865cc engine with
nitrous injection.
Rohini – By Young Guns
Speed Shop
Base: Continental GT 650 Twin
Rohini by Young Guns Customs’ was
inspired by their interpretation of
IfpXc<eÔ\c[Xe[`kjYiXe[`dX^\#
and in a creative twist, an inspiration
from India’s space programme and its
café racer – referencing the iconic
Rickman's fairings. Its build has a hidden
surprise. In the dark, a layer of reflective
paint transforms the classic lines into a
riot of Razzle Dazzle light, blurring the
lines between being beautifully retro
and wildly modern - the consummate
Café Racer meets satellite.
The ‘Interceptor’ – By Old
Empire Motorcycles
Base: Interceptor 650
This custom strips Interceptor 650 to
its core and removes anything that's
strictly not necessary, while hiding the
essentials, exemplifying the old school
customisation ethos. Its lowered stance
and blacked motor hint at aggression
_`[[\ele[\ik_\i\Ôe\[\ok\i`fi%
Showcasing creativity, design
and development capabilities
with a perfect blend of innovative
technologies and traditional
craftsmanship
IfpXc<eÔ\c[#[\j`^eXe[\e^`e\\i`e^
teams in India and UK showcased the
remarkable ‘Concept Kx’ prototype,
a V-Twin motorcycle at the EICMA
Motorcycle Show in Milan, Italy in
November 2018.
@ejg`i\[YpIfpXc<eÔ\c[Ëjfi`^`eXc(0*/
Df[\cBOÆXd`^_kp(#(+'ZZj`[\mXcm\
machine that was advertised as 'the last
word in luxury motorcycling'.
The Kx prototype developed reflects
the popularity of 'retro-modern'
motorcycles. The new prototype
]\Xkli\jfi`^`eXcBOËj^`i[\i]fib[\j`^e
(re-imagined in a high-tech 'blade' set-
up) and a classic, pre-war headlamp
casquette (revived in a modern way).
The prototype emulates the 'negative
space' of pre-war motorcycles for a
clean, uncluttered look. The frame
Xe[X`iYfoZfeÔ^liXk`fej\im\jXjX
stressed member of the machine and
the seat unit is of a cantilever design.

The Concept Kx 2018 was a successful

prototype development, taking the
pride of place at the very front of Royal
<eÔ\c[Ëj\ok\ej`m\jkXe[Xk<@:D8%

ANNUAL REPORT 2018-19

36
CORPORATE REVIEW

DRIVING MANUFACTURING EXCELLENCE

TO MEET GLOBAL ASPIRATIONS

Manufacturing excellence is
Zfi\kfIfpXc<eÔ\c[gif[lZ`e^
world-class products. Every
motorcycle that rolls out of the
plant is an uncompromising
blend of technology with
traditional craftsmanship. Royal
<eÔ\c[dfkfiZpZc\jXi\Yl`ckkf
be resilient, accessible and to
create timeless stories

EICHER MOTORS LIMITED

 37

Embarking on Phase-II of
Vallam Vadagal plant
Within 12 months of commissioning of
the Vallam Vadagal facility in August
2017, the Company commenced
construction of Phase-II of the
facility in 2018-19. With construction
progressing well, the unit is expected
to operationalise in H2 2019-20. Once
fully commissioned, it will take Royal
<eÔ\c[ËjdXel]XZkli`e^ZXgXZ`kpkf
fm\i(d`cc`fedfkfiZpZc\jXÀp\Xi%

India technology centre

IfpXc<eÔ\c[Ëj@e[`Xk\Z_efcf^p
centre at Chennai is progressing
at a good pace. The Phase-I of the
]XZ`c`kp`jlgn`k_Xcc\hl`gd\ek`eÔeXc
commissioning stage. The facility
has already commenced product
development activities in collaboration
with the UK technology centre. Royal
<eÔ\c[k\Z_e`ZXck\Xdj]ifddlck`gc\
facilities in and around Chennai have
started shifting into this facility.

ANNUAL REPORT 2018-19

38-50
MANAGEMENT
DISCUSSION
AND ANALYSIS
40
MANAGEMENT REVIEW

MANAGEMENT DISCUSSION
AND ANALYSIS

In the Management Discussion and Analysis, all the numbers IfpXc<eÔ\c[g\i]fidXeZ\

pertaining to Eicher Motors Limited ("EML") refer to
consolidated numbers.
BUSINESS REVIEW
Two-Wheeler Industry performance
Momentum of a strong growth in the two-wheeler industry in
)'(.$(/Zfek`el\[`ek_\ÔijkhlXik\if])'(/$(0%K_\fm\iXcc
knf$n_\\c\i`e[ljkip^i\nYp(-`ek_\hlXik\i\e[\[Ale\
30, 2018 as compared to the corresponding period in the
gi\m`fljp\Xi%9pk_\\e[f]Ôijk_Xc]f]k_\ÔeXeZ`Xcp\Xi
)'(/$(0#k_\`e[ljkipY\^Xe\og\i`\eZ`e^_\X[n`e[jgi`dXi`cp
on account of regulatory changes associated with insurance
and safety norms which dampened consumer sentiment.
K_\j\Zfek`el\[k_ifl^_k_\\e[f]k_\ÔeXeZ`Xcp\Xi%
@e[`XZfek`el\[kfi\dX`eIfpXc<eÔ\c[Ëjgi`dXipdXib\kn`k_
0/f]k_\kfkXcmfcld\Y\`e^Zfeki`Ylk\[Yp@e[`XXe[k_\
i\dX`e`e^Y\`e^\ogfik\[kffm\i,'Zfleki`\j%Pfli:fdgXepËj
kfkXcmfcld\`eZcl[`e^\ogfikj`eZi\Xj\[Yp'%*]ifd/#)'#()(
le`kj`e)'(.$(/kf/#))#.)+le`kj`e)'(/$(0%
@e@e[`X#pfli:fdgXepnXjefk`ddle\kfk_\`e[ljkip_\X[n`e[j
Xe[n\XbZfejld\ij\ek`d\ekj%K_\j\]XZkfij#Zflgc\[n`k_
i\^lcXk`fe$[i`m\egi`Z\`eZi\Xj\jXe[]cff[j`e`kjcXi^\jkdXib\k
B\iXcX`e8l^ljk)'(/#i\jlck\[`e@e[`Xmfcld\^ifn`e^Yp'%)
]ifd/#'(#)*'`e)'(.$(/kf/#'*#''*`e)'(/$(0%
Chart 1 // Motorcycle Industry Volume
and Growth
13.7%

;\jg`k\k_`j#k_\fm\iXccknf$n_\\c\i`e[ljkipmfcld\`e@e[`X
13.6
12.6

i\XZ_\[XeXcc$k`d\_`^_f])(%)d`cc`fe`e)'(/$(0#X^ifnk_
11.1

f],fm\i)'%)d`cc`fe`e)'(.$(/%;i`m\eYpX^ifnk_`e
motorcycles with engine displacement of up to 150cc, the 7.8%
dfkfiZpZc\j\^d\ekmfcld\^i\nYp/]ifd()%-d`cc`fe`e
)'(.$(/kf(*%-d`cc`fe`e)'(/$(0%@eZfekiXjk#X]k\ifm\iX
decade of consistent growth, the scooter segment recorded 3.7%
2018-19
2016-17

2017-18

X'%*[\Zc`e\p\Xi$fe$p\Xin`k_kfkXcmfcld\i\dX`e`e^Xk
XYflk-%.d`cc`fe`e)'(/$(0%

Motorcycle (million) Motorcycle growth (%)

Source - SIAM

EICHER MOTORS LIMITED

 41

Chart 2 // IfpXc<eÔ\c[jDXib\kJ_Xi\
in India in motorcyles 8,03,003
@e[`XdfkfiZpZc\jjXc\j`e)'(/$(0
801 6.4%

803
Gi\d`ld`jXk`fe_XjY\\efe\f]k_\b\pki\e[j`edfkfiZpZc\
,%0 ,%0 `e[ljkipXe[pfli:fdgXep_XjY\\ek_\[i`m`e^]fiZ\f]k_`j
651

ki\e[fm\ik_\gXjk[\ZX[\%IfpXc<eÔ\c[Zfek`el\jkfkfgk_\
Zfej`[\iXk`fej\kn_\eZljkfd\ijXi\cffb`e^kflg^iX[\k_\`i
\o`jk`e^dfkfiZpZc\%Fm\ik_\p\Xij#pfli:fdgXep_XjY\\e
jk\X[`cp`em\jk`e^`ejki\e^k_\e`e^`kjgif[lZk[\m\cfgd\ek
and manufacturing capabilities to enhance customer
2018-19
2016-17

2017-18

IfpXc<eÔ\c[@e[`XMfcld\'''
IfpXc<eÔ\c[DXib\kJ_Xi\ gXikf]k_\`ic`]\jkpc\#IfpXc<eÔ\c[Zfek`el\jkfkXb\jki`[\j
Source - SIAM
@e)'(/$(0#k_\`e[ljkipmfcld\]fidfkfiZpZc\jn`k_\e^`e\
[`jgcXZ\d\ekf]XYfm\(),ZZ^i\nYp/#[i`m\eYpjkife^
^ifnk_f])+`ek_\ZXk\^fipXYfm\(),ZZkf(,'ZZ#gi`dXi`cp
feXZZflekf]e\ncXleZ_\jXe[[`jZflekj%IfpXc<eÔ\c[Ëj
dXib\kj_Xi\`ek_\XYfm\(),ZZdfkfiZpZc\j\^d\ek[\Zc`e\[
]ifd).%'`e)'(.$(/kf)+%0`e)'(/$(0%?fn\m\i#`kjdXib\k
j_Xi\`eXYfm\(,'ZZdfkfiZpZc\j\^d\ek`dgifm\[]ifd+)%/
\og\i`\eZ\%@k_XjXcjfY\\ejk\X[`cp\ogXe[`e^`kj[`jki`Ylk`fe
]ffkgi`ekkfdXb\IfpXc<eÔ\c[XZZ\jj`Yc\Y\pfe[k_\D\kifj
Xe[K`\i$(Z`k`\j`e@e[`XXjn\ccXjZfleki`\jXifle[k_\nfic[%
8jZljkfd\ij`eZi\Xj`e^cpkXb\lggli\dfkfiZpZc`e^XjX
in maintaining its thought leadership in the segment and by
fù\i`e^dfkfiZpZc\jk_XkXi\j`dgc\#\mfZXk`m\#\e^X^`e^Xe[
great fun to ride.
Chart 4 // IfpXc<eÔ\c[jMXib\kShare
in 250cc+ Segment in motorcyles
0-
0, 0,

836
`e)'(.$(/kf+*%)`e)'(/$(0%
847

Chart 3 // IfpXc<eÔ\c[jMXib\kShare
683

in 125cc+ Segment in motorcyles

27.0%
2018-19
2016-17

2017-18

)+%0
3,228

24.0%
)#0.)
2,715

JXc\f]dfkfiZpZc\jf]<e^`e\:XgXZ`kp),'ZZ"'000)
IfpXc<eÔ\c[DXib\kJ_Xi\

Source - SIAM
2018-19
2016-17

2017-18

Product enhancements and Portfolio expansion

JXc\f]DfkfiZpZc\jf]<e^`e\:XgXZ`kp(),ZZ"'''
IfpXc<eÔ\c[DXib\kJ_Xi\
Source - SIAM
K_\`e[ljkipmfcld\]fidfkfiZpZc\jn`k_\e^`e\[`jgcXZ\d\ek
f]XYfm\),'ZZ[\Zc`e\[Yp(fep\Xi$fe$p\XiYXj`j%IfpXc
<eÔ\c[Zfek`el\jkfdX`ekX`e`kj[fd`eXeZ\`ek_`jj\^d\ek
n`k_dfi\k_Xe0,dXib\kj_Xi\%8jXk\jkXd\ekf]IfpXc
<eÔ\c[ËjZfddXe[`e^gfj`k`fe`egi\d`lddfkfiZpZc\dXib\k
`e@e[`X#k_\`ekif[lZk`fef]k_\-,'Kn`ejdfkfiZpZc\j
`eZi\Xj\[k_\`e[ljkipmfcld\f]XYfm\,''ZZj\^d\ekYp
Xcdfjk.']ifd-#.''`e)'(.$(/kf((#),.`e)'(/$(0%
;li`e^k_\p\Xi#IfpXc<eÔ\c[kiXej`k`fe\[`kj\ek`i\gif[lZk
gfik]fc`fkf8ek`$CfZb9iXb`e^Jpjk\dÈ89JÉ #dXe[Xkfi`cp
i\hl`i\[]ifd8gi`c(#)'(0`eXccdfkfiZpZc\j`e\oZ\jjf]
(),ZZ%Pfli:fdgXepjkXik\[k_`jkiXej`k`fen\ccX_\X[f]k`d\
n`k_Xjk\X[pdfm\f]`kjgfik]fc`fÔijkkf[`jZYiXb\Xe[k_\e
kf89Jn`k_k_\cXleZ_f]IfpXc<eÔ\c[:cXjj`ZJ`^eXcj*,'`e
August 2018.
)'(/$(0XcjfjXnIfpXc<eÔ\c[\ok\e[`kjgif[lZkfù\i`e^j
n`k_k_\cXleZ_f]k_\e\n-,'Kn`edfkfiZpZc\j$@ek\iZ\gkfi
-,'Xe[:fek`e\ekXc>K-,'#n_`Z_n\i\lem\`c\[Xkk_\
<@:D8DfkfiJ_fn`eEfm\dY\i)'(.%K_\j\dfkfiZpZc\j
n\i\ZfeZ\gklXc`j\[#[\j`^e\[Xe[[\m\cfg\[\ek`i\cp`e
k_\IfpXc<eÔ\c[LBK\Z_efcf^p:\eki\Xe[fù\i\[n`k_X
dedicated set of 40 accessory options. (Refer pages 42 and
+*]fi]lik_\iÀ[\kX`cj%

ANNUAL REPORT 2018-19

42
MANAGEMENT REVIEW
Eld\ifljYXZbjkfi`\j_Xm\[\Ôe\[IfpXc<eÔ\c[fm\ik_\
past century. Drawing from a rich legacy of such inspiring
jkfi`\j#pfli:fdgXepcXleZ_\[j\m\iXcmXi`Xekjf]`kj
\o`jk`e^fù\i`e^jn_`Z_^Xm\k_\Zljkfd\ijXefggfikle`kpkf
associate with this legacy and a rich heritage. (Refer pages
*'Xe[*(]fi]lik_\i[\kX`cj%
;\Xc\ij_`gE\knfib<ogXej`fe
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X[[\[0'jkfi\j[li`e^k_\p\Xi#`eZi\Xj`e^k_\kfkXcZflekkf
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<eÔ\c[`jdXb`e^`eifX[jkfk_\e\n\idXib\kjXe[\ogXe[`e^
its footprints beyond these cities. During the year, your
:fdgXepfg\e\[dfi\k_Xe.'f]k_\e\njkfi\j`ejdXcc
cities and towns.
:ljkfd\ij#\m\e`ek_\_`ek\icXe[j#Xi\`eZi\Xj`e^cpY\Zfd`e^
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include introducing new smaller-sized store formats. While
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n`k_pfli:fdgXepËjYiXe[i\kX`c`[\ek`kp#`k`j\og\Zk\[kfY\
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\og\i`\eZ\kfk_\Zljkfd\ij#n_`Z_n`cc\e_XeZ\Zljkfd\i
satisfaction, help strengthen loyalty, relationships and spread
k_\gfj`k`m\nfi[f]dflk_%
After-Sales Service
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\og\i`\eZ\kf`kjZljkfd\ij_Xji\jlck\[`ekfpfli:fdgXep
Y\`e^iXeb\[J\Zfe[`ek_\:ljkfd\iJXk`j]XZk`fe@e[\o
2018#Xjg\iA%;%Gfn\ijlim\p#fe\f]k_\Zfm\k\[jlim\pj`e
automobile industry.
:fek`el`e^n`k_k_\\e[\Xmflikf\e_XeZ\j\im`Z\i\XZ_Xe[
hlXc`kp#pfli:fdgXeple[\ikffbj\m\iXc`e`k`Xk`m\j[li`e^
k_\p\Xi%K_\j\iXe^\XZifjjXn`[\jg\Zkildf]XZk`m`k`\j
jlZ_XjXmX`cXY`c`kpf]j\im`Z\e\knfibXk[ffijk\gjXe[]cff[
Xù\Zk\[i\^`fejXe[dflekX`efljk\iiX`ejkf_Xm`e^X[`^`kXc
catalogue of parts across dealerships.
EICHER MOTORS LIMITED
N`k_X]fZljfegifm`[`e^cXjk$d`c\j\im`Z\i\XZ_#[li`e^
k_\p\Xi#pfli:fdgXepcXleZ_\[Xe\ngif^iXdd\
ÈService on 2 wheelsÉ%Le[\ik_`jgif^iXdd\#dfY`c\
j\im`Z\dfkfiZpZc\jXi\]XYi`ZXk\[kfY\XYc\kfg\i]fid
^\e\iXcj\im`Z\Xe[d`efii\gX`ijXkk_\Zljkfd\ij
doorstep.
Displaying its commitment towards the riding community
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Xù\Zk\[i\j`[\ekjn`k_i\_XY`c`kXk`feXe[i\c`\]d\Xjli\j
X]k\ik_\]cff[j`eB\iXcX`e8l^ljk)'(/%IfpXc<eÔ\c[
also launched a mega campaign to help its customers
kfYi`e^k_\`im\_`Zc\jYXZbkfi`[`e^Zfe[`k`fe#]i\\f]
charge.
A ride to Leh, the highest motorable location in the
world, epitomises the ultimate challenge, both for man
Xe[dXZ_`e\%Kfjlggfikk_\i`[\ij[li`e^k_\C\_i`[`e^
j\Xjfe#pfli:fdgXepgifm`[\[ifle[$k_\$ZcfZb
j\im`Z\XkX_\`^_kf]((#''']\\k#n_`Z_Y\e\Ôk\[dfi\
than 1,500 riders.
 @eXb\p[`^`kXc`e`k`Xk`m\#[li`e^k_\p\Xi#pfli:fdgXep
introduced an electronic parts catalogue across all
product lines at all dealerships across India. A timely
Xe[XZZliXk\`e]fidXk`fe_Xj_\cg\[`dgifm\jkfZb`e^
\øZ`\eZ`\jXe[gXikjXmX`cXY`c`kpk_\i\Yp`dgifm`e^
customer satisfaction.
Motorcycle Accessories
With an aim to proliferate the desire for personalisation
Xe[f]]\igif[lZkjn_`Z_\eXYc\Zljkfd\ijc`m\k_\YiXe[
\og\i`\eZ\f]È Ride More and Ride Pure É\m\e`ek_\`i[X`cp
Zfddlk\#pfli:fdgXepj\kflkkfYl`c[k_\dfkfiZpZc\
XZZ\jjfi`\jYlj`e\jj`e)'(-$(.%@ek_`jj_fikYlk\oZ`k`e^
aflie\p#pfli:fdgXep_Xj\ogXe[\[`kjf]]\i`e^jkffm\i
80 products across its motorcycle accessory portfolio.
Kf\e_XeZ\Zljkfd\i\og\i`\eZ\Xe[\eXYc\Zljkfd\ij#
IfpXc<e]`\c[`ekif[lZ\[efkfecpe\nXe[\oZ`k`e^
products for customers to choose from, but also
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kfm`iklXccpXZZ\jjfi`j\k_\`idfkfiZpZc\j%
 =fik_\]`ijkk`d\XkIfpXc<e]`\c[#[\j`^eXe[
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motorcycles commenced alongside that of the
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Zf$[\m\cfg\[Xcfe^n`k_k_\kn`edfkfiZpZc\jn_`Z_
enabled better design compatibility.
 K f[i`m\\e^X^\d\ekXdfe^Zljkfd\ij#Xe`e[ljkip
leading motorcycle configurator was introduced
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m`iklXcdfkfiZpZc\`eXepXmX`cXYc\ZfcfliXe[X[[
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for the 650cc twins in the initial phase and is planned
kfY\\ogXe[\[XZifjjXccIfpXc<e]`\c[gif[lZk
f]]\i`e^jfm\ik_\e\ok()$(/dfek_j%

 8
 cck_\e\ncXleZ_\j`eZcl[`e^-,'Kn`ej#J`^eXcj#
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[\[`ZXk\[XZZ\jjfi`\j#n_`Z_#`eX[[`k`fekfgifm`[`e^
comfort, styling, functionality and protection, also
c\e[XjXd\Xejkfj\c]$\ogi\jj`fe]fik_\i`[\i%
 8
 jgXikf]IfpXc<e]`\c[Ëj`e`k`Xk`m\jkfnXi[j[`^`kXc
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k_\nnn%ifpXc\e]`\c[%ZfdXcfe^n`k_X]c`g$Yffb
catalogue and image-rich content on products,
features and benefits.
Fek_\jlggcpj`[\#pfli:fdgXepZfek`el\[kf
jki\e^k_\ejfliZ`e^Yp[\m\cfg`e^Xe[\e_XeZ`e^k_\
m\e[fiYXj\#n`k_X[\\g]fZljfehlXc`kp#ZfjkXe[
[\c`m\ip%
Apparel
@ejg`i\[YpXdfkfiZpZc`e^nXpf]c`]\#IfpXc<eÔ\c[8ggXi\c
comprises riding gear, apparel and lifestyle accessories, which
\eXYc\i`[\ij\ogcfi\Xe[\ogi\jjk_\dj\cm\j#feXe[fùk_\
motorcycle.
;li`e^k_\p\Xi#IfpXc<eÔ\c[cXleZ_\[dlck`gc\iXe^\Xe[
collections - some celebrating the heritage stories of Royal
<eÔ\c[Xe[jfd\`ejg`i\[Ypk_\dfkfiZpZc\cXleZ_\jXe[
kiXm\cjkfi`\j%
 @efi[\ikf\ogXe[`kjXZZ\jj`Y`c`kp#pfli:fdgXep_Xj
forayed into online retail landscape through its own
online store and third-party online retail channels.
;li`e^k_\p\Xi#pfli:fdgXepXcjf\ogXe[\[`kjfùc`e\
]ffkgi`ekk_ifl^_k_\J_fg$`e$J_fgdf[\cXkÈ:\ekiXcÉ
$X[\gXikd\ekjkfi\Z_X`eXZifjj@e[`X%Pfli:fdgXep
gcXejkf]lik_\i\ogXe[`kj[`jki`Ylk`fe]ffkgi`ekYp
partnering with leading retail chains and through omni-
Z_Xee\ce\knfibj%
 @eXe\e[\XmflikfdXb\k_\iXe^\dfi\g\ijfeXckfk_\
Zfejld\ij#IfpXc<eÔ\c[`ekif[lZ\[XZljkfd`jXk`fe
fù\i`e^ZXcc\[ÈDXb\PfliFneÉ%K_`jg\ijfeXc`jXk`fe
]\Xkli\fù\ijZljkfd\ijkfZfeÔ^li\[\ZXcj#j_\ccYXj\
Zfcfli#Ôe`j_#m`jfi\kZ%`eX[[`k`fekfX[[`e^k\ok%K_`j`j
Zlii\ekcpXmX`cXYc\]fi_\cd\kjXe[n`ccY\\ok\e[\[kf
other categories this year.
8jdfi\Xe[dfi\Zljkfd\ijXi\kXb`e^lgk_\i`[`e^Zlckli\#
IfpXc<eÔ\c[8ggXi\c`jX`[`e^k_\dXZZ\eklXk\k_\`ic`]\jkpc\
Xe[j\c]\ogi\jj`fe%
International Business
Kf\jkXYc`j_IfpXc<e]`\c[XjX^cfYXcYiXe[Xe[c\X[
the middle-weight motorcycle segment in international
dXib\kj#pfli:fdgXep`jYl`c[`e^ZXgXY`c`k`\jXe[YiXe[
43
\hl`kpXZifjjb\p^\f^iXg_`\j%;\m\cfg`e^nfic[$ZcXjj
gif[lZkjn_`Z_Xi\j`dgc\Xe[]lekfi`[\#\ogXe[`e^
[`jki`Ylk`fee\knfibXe[`dgc\d\ek`e^Ê9iXe[C\[>ifnk_Ë
`e`k`Xk`m\jXi\_\cg`e^pfli:fdgXepdXb\`eifX[jkf
[\m\cfg\[Xe[[\m\cfg`e^nfic[Xc`b\%@ek\ieXk`feXcjXc\j
mfcld\^i\nYp+]ifd(/#/0(`e)'(.$(/kf(0#.)(`e
)'(/$(0%
Chart 5 // IfpXc<eÔ\c[<ogfikMfcld\
19.7
(/%0
15.0
2017-18
2015-16
2016-17
<ogfikMfcld\'''
Pfli:fdgXep`jjk\X[`cpdfm`e^]ifdXe\ogfik$YXj\[df[\c
kfYl`c[`e^X[\[`ZXk\[`ek\ieXk`feXcYlj`e\jj#n`k_XdXib\k
]fZljXggifXZ_%N`k_XeX`dkfle[\ijkXe[dXib\k$jg\Z`ÔZ
customer preferences and also foster a deeper customer
engagement, a distributor and dealership led footprint is also
Y\`e^Zfdgc\d\ek\[Yp_Xm`e^dXib\k`e^jlYj`[`Xi`\j`eb\p
gi`fi`kpdXib\kj%;li`e^k_\p\Xi#IfpXc<eÔ\c[jki\e^k_\e\[
`kj[`jki`Ylk`fee\knfibflkj`[\@e[`XYp`eZi\Xj`e^`kj\oZclj`m\
jkfi\Zflekkf+)Xe[`kjDlck`9iXe[Flkc\kjkfdfi\k_Xe-''%
8e\ogXe[`e^^cfYXc]ffkgi`ek`ji\hl`i\[kfY\jlggc\d\ek\[
by the right product and also commitments to the region.
CXleZ_f]k_\-,'ZZKn`ej`e)'(/$(0Xe[i\jgfej\kf
k_\?`dXcXpXefm\ik_\gXjk()dfek_j`e[`ZXk\k_XkIfpXc
<eÔ\c[efnefkfecp_XjifYljkgif[lZk[\m\cfgd\ek
ZXgXY`c`k`\jn_`Z_ZXele`]fidcpZXk\ikfi\hl`i\d\ekjXZifjj
geographies, but also it is steadily positioning itself as a
credible global player.
The 650 Twins - The Global Opportunity
@ek\i\jk`ek_\-,'ZZKn`ej_X[Y\\e_`^_Xdfe^dfkfiZpZc\
\ek_lj`Xjkjj`eZ\`kjlem\`c`e^Xkk_\<@:D8DfkfiJ_fn`e
D`cXe`e)'(.%Fm\ik_\]fccfn`e^dfek_j#k_\Kn`ejn\i\
cXleZ_\[XZifjjb\pdXib\kj`e<lifg\#8J<8E#CXk`e8d\i`ZX
Xe[8j`X$GXZ`ÔZ%K_\Kn`ejXi\XcjfY\`e^gifdfk\[XZifjj
dXib\kjk_ifl^_XZfdY`eXk`fef]flk$f]$jkfi\k\jki`[\jYp
nXpf]gXik`Z`gXk`fe`eeXk`feXcXe[i\^`feXci`[\\m\ekjXjn\cc
as multiple-city tours, auto shows and custom programmes.
K_\`ek\i\jk`eXe[i\jgfej\kfk_\Kn`ejXZifjjdXib\kj
flkj`[\f]@e[`X_XjY\\em\ipgfj`k`m\%8jpfli:fdgXep
Zfdd\eZ\[[\c`m\i`\jf]k_\Kn`ej#`k_XjXcjfY\\eiXdg`e^
up production to cater to this demand.
ANNUAL REPORT 2018-19
44
MANAGEMENT REVIEW
Himalayan - Gaining Traction
K_\9J$@M?`dXcXpXe`jY\`e^n`[\cpXZZ\gk\[`eefkfecp
\mfcm\[dfkfiZpZc\dXib\kjf]k_\LJ#LB#<lifg\YlkXcjf
large commuter dominated two-wheeler regions such as
South East Asia and Latin America. It has gained acceptance
XjXe\Xjp#Z`kpY`b\Yl`ck]fiXccifX[j`eZcl[`e^efifX[jXe[
Xccj\Xjfej%8m\ipjlZZ\jj]lcgi\jji`[\#d\[`XZfm\iX^\#
gfj`k`m\i\m`\njXe[gXik`Z`gXk`fe`edfkfiZpZc\j_fnjXe[
\m\ekj^\e\iXk\[Xe\oZ`k\d\ekXdfe^k_\Zljkfd\ijXYflk
?`dXcXpXe%K_\dfkfiZpZc\ËjjlZZ\jj_XjkiXejcXk\[`ekf
[\Xc\ij_`g\ehl`i`\j]ifdcXi^\gfk\ek`XcYlj`e\jjgXike\ijn_f
are also the dealers of premium and well established brands.
South East Asia- A Promising Opportunity
Distinct classic styling, the ease of customisation, accessible
Yifk_\i_ff[Zflgc\[n`k_XeXkkiXZk`m\gi`Z\gf`ek_Xj
dX[\k_\IfpXc<eÔ\c[YiXe[^X`e^ff[XZZ\gkXeZ\`eb\p
dXib\kj`ek_\Jflk_<Xjk8j`Xi\^`fe%J`eZ\`kj]fiXp`ekf
k_\i\^`feXifle[k_i\\p\XijYXZb#ifpXc_XjY\\ejk\X[`cp
increasing its store presence, supplementing its community
Yl`c[`e^#dXib\k`e^Xe[YiXe[`e^`e`k`Xk`m\j%;li`e^)'(/$(0#
pfli:fdgXep\ogXe[\[`kjjkfi\Zflek`eK_X`cXe[#fe\f]
k_\dfjkgifd`e\ekknf$n_\\c\idXib\kj`ek_\i\^`feXe[
fg\e\[`kjÔijk\oZclj`m\jkfi\`eDXcXpj`X%
=fiX[\\g\iZljkfd\i\e^X^\d\ekXe[kXi^\k\[YiXe[
gifdfk`feXe[dXib\k`e^XZk`m`k`\j#IfpXc<eÔ\c[j\klgX
n_fccp$fne\[jlYj`[`Xip`eK_X`cXe[`e)'(/$(0%=lik_\i`e^
Chart 6 // Net Revenue - CAGR 18%
9,797
/#0-,
7,033
2018-19
2016-17
2017-18
E\kI\m\el\(in Rs. crores)
Chart 7 // Net Revenue from India
Business - CAGR 18%
9,418
8,684
6,816
2018-19
2016-17
2017-18
E\kI\m\el\]ifd;fd\jk`Z9lj`e\jj(in Rs. crores)
:8>I$:fdgle[\[8eelXc>ifnk_IXk\
EICHER MOTORS LIMITED
`kjZfdd`kd\ekkfk_\i\^`fe#pfli:fdgXep_XjgcXejkf
\jkXYc`j_Xjj\dYcpfg\iXk`fej`eK_X`cXe[k_ifl^_XcfZXc
Xjj\dYc\i%:ljkfd\ij`ek_\i\^`feXkcXi^\n`ccjffeY\XYc\
kfi`[\k_\`i]Xmfli`k\IfpXc<eÔ\c[DfkfiZpZc\jXjj\dYc\[
within the region.
FINANCIAL REVIEW
KfkXci\m\el\]ifdfg\iXk`fej`eZi\Xj\[Yp0]ifdIj%À/#0-,
Zifi\j`e)'(.$(/kfIj%0#.0.Zifi\j`e)'(/$(0%@e[`X
dfkfiZpZc\jXc\j^i\nYp/kfIj%0#+(/Zifi\j`e)'(/$(0
from Rs. 8,684 crores in 2017-18. Increase in realisation due
to increase in prices for addition of safety features and better
gif[lZkd`ojlggfik\[k_\^ifnk_`ei\m\el\%I\m\el\]ifd
`ek\ieXk`feXcYlj`e\jj^i\nYp*,[li`e^k_\p\XikfIj%*.0
Zifi\j`e)'(/$(0]ifdIj%)/(Zifi\j`e)'(.$(/fek_\YXZb
f]jkife^i\jgfej\]ifd[\m\cfg\[dXib\kj`eZcl[`e^<lifg\#
LBXe[LJ%
IfpXc<eÔ\c[`jXZk`m\cp]fZljj`e^fek_\8ggXi\cXe[>\el`e\
DfkfiZpZc\8ZZ\jjfi`\jYlj`e\jjj\^d\ek%Pfli:fdgXep
fù\ijXn`[\mXi`\kpf]XggXi\cXe[XZZ\jjfi`\j#k_ifl^_
both online and in-store spaces. Spare parts opportunity is
also building up with the increase in customer base and your
:fdgXep`jXcjfnfib`e^\ok\ej`m\cpkfgifdfk\k_\lj\f]
>\el`e\jgXi\j%I\m\el\]ifdXggXi\cXe[XZZ\jjfi`\j#
kf^\k_\in`k_jgXi\jXe[j\im`Z\j^i\nYp)+`ek_\p\Xikf
Ij%(#'*0Zifi\j`e)'(/$(0]ifdIj%/+(Zifi\j`e)'(.$(/%
Chart 8 // Net Revenue from International
Business - CAGR 32%
379
281
217
2018-19
2016-17
2017-18
E\kI\m\el\]ifd@ek\ieXk`feXc9lj`e\jj(in Rs. crores)
Chart 9 // Net Revenue from Sale of Spare
Parts, Apparel and Services - CAGR 34%
1,039
841
,.0
2018-19
2016-17
2017-18
E\kI\m\el\]ifdJXc\f]JgXi\GXikj#8ggXi\cXe[
J\im`Z\j(in Rs. crores)
 45

<Xie`e^jY\]fi\@ek\i\jk#KXo#;\gi\Z`Xk`feXe[
8dfik`jXk`fe<9@K;8 f]pfli:fdgXep`eZi\Xj\[Yp
*]ifdIj%)#/'/Zifi\j`e)'(.$(/kfIj%)#0'*Zifi\j
`e)'(/$(0%;li`e^k_\p\Xi#pfli:fdgXepZfek`el\[
kf`em\jk`eYl`c[`e^ZXgXY`c`k`\jk_ifl^_k_\X[[`k`fe
f]i\jfliZ\jXe[\ogXe[`e^ZXgXZ`kp#Xe[Xcjffe
gifdfk`feXc\og\ej\jfee\ncXleZ_\j%<9@K;8dXi^`e
[\Zc`e\[]ifd*(%*`e)'(.$(/kf)0%-`e)'(/$(0
dX`ecp[l\kf]cXkmfcld\jXe[gifdfk`feXcjg\e[fee\n
launches.
Chart 10 // Earnings Before Interest,
Depreciation and Tax (EBITDA) and Margin
31.3%
*'%0
)0%-
2,903
Pfli:fdgXepZfek`el\[kf^\e\iXk\X_\Xck_pZXj_]cfn
with cash generated from operations being Rs. 1,573 crores
`e)'(/$(0%Pfli:fdgXep`eZlii\[XZXg`kXc`em\jkd\ek
of about Rs. 800 crores during the year, primarily on
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Key Financial Ratios
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ratios:

Particulars UOM Standalone Consolidated

2,808

2018-19 2017-18 2018-19 2017-18

@em\ekfip K`d\j 10.6 13.6 10.1 13.1
2,174

Kliefm\iIXk`f
:lii\ekIXk`f K`d\j 2.2 1.2 2.1 1.1
Fg\iXk`e^ % 27.0 )0%+ 26.6 28.8
GifÔkDXi^`e
2018-19
2016-17

2017-18

E\kGifÔk % 21.0 (0%( 22.5 )(%0

Margin
Return on % 32.8 37.1 27.5 31.8
<9@K;8(Rs. in crores) <9@K;8DXi^`e E\kNfik_
Debtors K`d\j *%0 6.1 4.7 6.6
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of loss relating to winding down of operations of Eicher
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which resulted in an increase in current assets leading to
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Chart 11 // E\kGifÔk8]k\iKXoXe[DXi^`e Jkfi\j;\gXikd\ek]fi@e[`XeXid\[]fiZ\jXe[\ogfikjkf
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Xm\iX^\[\Ykfij%
2,203
(#0-'

OPERATIONS REVIEW
1,667

Production and Construction update of

Phase-2 Manufacturing Facility at Vallam
Vadagal
2018-19
2016-17

2017-18

Within a year of commencement of commercial operations

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E\kGifÔk(in Rs. crores) E\kGifÔkDXi^`e k_\À]XZ`c`kp%

ANNUAL REPORT 2018-19

46
MANAGEMENT REVIEW
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assembly line is being set-up and will also facilitate smooth
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the total production from all the three plants was ~8,42,000
motorcycles.
Building Product Development Capabilities -
R&D and Technology Focus
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feet facility is the hub for product research, strategy, design
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EICHER MOTORS LIMITED
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and is now fully operational.
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geographical boundaries.

Supply Chain Management
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phased manner and accomplished seamlessly with a highly
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chain partners.
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products and becoming future-ready, fully ground-up,
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standards.
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Product Quality
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processes and systems to sales and after-sales.
Introduction of the ÊJ_fb`Ipl[fBXei`ËgifZ\jjnXjXb\p
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at the initial build itself to identify and eliminate design and
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stage during the manufacturing operations stage, it is an
intense process with a focus on eliminating chances of defect
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Facility
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47
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('[XpjY\kn\\e=\YilXip(*#)'(0Xe[=\YilXip))#)'(0
caused a loss of production of 3,200 motorcycles.
BRAND BUILDING, CUSTOMER EXPERIENCE
AND ENGAGEMENT
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across dimensions of product, heritage, digital interface,
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The 650 Twins - Double the Fun
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Brand-Led Growth initiatives
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special bond with the armed forces and last year as well,
Royal Enfield paid tribute to the machines and the gallant
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Royal Enfield followed up on this success with the launch of
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graphics schemes ensuing an increase in brand salience.
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trimmed mudguards and luggage carrier.
ANNUAL REPORT 2018-19
48
MANAGEMENT REVIEW
Re-casting the Web
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to the nnn%ifpXc\eÔ\c[%Zfd more for all motorcycling
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the product with his or her preferred choice of accessories.
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Building and Fostering Communities
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\og\i`\eZ\j%IfpXc<eÔ\c[Zfek`el\jkf^`m\mXjk\ogfjli\
to user-generated content and encourage the community
EICHER MOTORS LIMITED
to create more, with 70% of the content on social media and
30% of the content on the website being curated from the
community.
New Ride Formats
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c`]\k`d\\og\i`\eZ\#IfpXc<eÔ\c[`ekif[lZ\[e\ni`[\]fidXkj
n_`Z_\eXYc\[i`[\ij\og\i`\eZ\k_\X[m\ekli\`e\oki\d\
terrains. In the N_`k\Flkji`[\#((_`^_cpjb`cc\[i`[\ijif[\
fm\i0''bdj]ifdJ_`dcX`eZfe[`k`fejf]jefn#YcXZb`Z\#
dirt and tarmac. In the After Darki`[\#i`[\ij\og\i`\eZ\[k_\
X[m\ekli\f]i`[`e^le[\ijkXic`kfg\ejb`\jfejXe[[le\j#]cXk
cXe[Xe[kXidXZj%K_`ji`[\Zfdd\eZ\[]ifdAf[_gliXe[jXn
participation from 12 riders.
I`[\iDXe`X$@e[`XËjDfjk;\Ôe`k`m\
Motorcycling Festival
In the continuous journey towards building a meaningful
and engaging brand going beyond the transactional,
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/#'''\ek_lj`XjkjgXik`Z`gXk\[`ek_\\m\ekXe[dfi\k_Xe
,#''#'''g\fgc\m`\n\[k_\Zfek\ekc`m\#n`ke\jj`e^XeXZk`m\
community engagement and passion.
RISK MANAGEMENT FRAMEWORK
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\mXclXk\[le[\iXZfdgi\_\ej`m\i`jbdXeX^\d\ek
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strategies put in place.
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kfmXi`fljZXk\^fi`\jf]i`jbj]ifdk`d\kfk`d\%B\pi`jbjXi\
summarised below:
Evolving industry landscape and customer
preferences
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growth, the less than 150cc segment witnessed strong growth
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scooters and premium motorcycles, after a decade of growth
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functionalities that add to safety and comfort. It also continues
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engage with potential customers. It also continues a deep and
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Regulatory
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9J$M@\d`jj`feefidjn_`Z_Zfd\`ekf\ù\Zk]ifd8gi`c)')'%
Financing
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K`\i$(Xe[)Z`k`\j%
49
INTERNAL CONTROL SYSTEMS AND THEIR
ADEQUACY
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Planning ("ERP") system based on SAP platform enabling
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out internal audit of functions and processes in accordance
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:fdd`kk\\i\m`\njk_\X[\hlXZpf]i\jfliZ`e^#jkXøe^Xe[
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:fdd`kk\\`ei\jg\Zkf]X[\hlXZpf]`ek\ieXcZfekifcjpjk\dj
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instances of fraud and wrongdoings while ensuring protection
]ifdm`Zk`d`jXk`feXe[i\gi`jXcj%
CREATING A UNIQUE ROYAL ENFIELD
CULTURE - EMPOWERED, COLLABORATIVE
AND PASSIONATE TO DELIVER BUSINESS
RESULTS
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n`[\jgi\X[\ogfjli\k_ifl^_c\Xie`e^Xe[afYifkXk`fej
across the organisation.
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nurture relationships that further powers its commitment to
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aligned with its strategic goals.
INFORMATION TECHNOLOGY
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technology and digitising a lot of processes to support and
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("PLM") journey forward from last year, an 'Electronic Parts
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gXikjXe[j\im`Z\`e]fidXk`fen`k_IfpXc<eÔ\c[ËjeXk`feXcXe[
international dealer community.
ANNUAL REPORT 2018-19
50
MANAGEMENT REVIEW
;li`e^k_\p\Xi#pfli:fdgXepd`^iXk\[k_\<IGjpjk\d
]ifdJ8G<::kfJ8GJ+?8E8#k_\;`^`kXcZfi\%K_`jjpjk\d
with its inbuilt SAP mobility functionality enables on-the-go
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platform to integrate with trending technologies. Also, the
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business community to get faster access to data for
[\Z`j`fe$dXb`e^%
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jkXikf]Xg`cfkifccflkf]X[\m`Z\$X^efjk`ZdfY`c\$]i`\e[cp
:ljkfd\iI\cXk`fej_`gDXeX^\d\ekÈ:IDÉ &;\Xc\i
DXeX^\d\ekJpjk\dÈ;DJÉ #n_`Z_`dgifm\jk_\Zljkfd\i
\og\i`\eZ\Xkk_\[\Xc\ij_`gYfk_fek_\jXc\jXe[
j\im`Z\gifZ\jj\j%
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digital technologies and data analytics to manage customer
i\cXk`fej_`gj#XZ_`\m\fg\iXk`feXc\oZ\cc\eZ\#Ylj`e\jj
`ek\cc`^\eZ\Xe[[i`m\[\Z`j`fe$dXb`e^%
ENVIRONMENT AND HEALTH AND SAFETY
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]fZljj\jfe`dgifm`e^`kjfnedXel]XZkli`e^gifZ\jj\jfe
continuous basis to reduce material use and wastage per
motorcycle, optimise use of natural resources with emphasis
fei\ZpZc`e^Xe[i\lj`e^Xe[kfk_\\ok\ekgfjj`Yc\#X[fgk
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recyclability of products at the end of life.
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organisation as well as the employees.
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:fdgXep_XjXq\if$nXk\i[`jZ_Xi^\gfc`Zpn_\i\XccnXk\i
consumption and water treatment are handled in a manner
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[fe\kfi\Z_Xi^\k_\^ifle[%:fdgXepXcjf\dg_Xj`j\jfe
planting more and more trees inside the manufacturing plants
towards carbon neutrality. All emissions and waste generated
Yppfli:fdgXep[li`e^k_\p\Xin\i\n`k_`ek_\g\id`jj`Yc\
EICHER MOTORS LIMITED
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Pfli:fdgXepfù\ij`kj\dgcfp\\j^ff[nfib`e^Zfe[`k`fej#
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:fdgXepgifm`[\jX[\hlXk\kiX`e`e^j#fù\iji\nXi[Xe[
i\Zf^e`k`fegif^iXdd\jXe[`em\jkj`eZXi\\i[\m\cfgd\ek
programmes for its employees. A training department has
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employees.
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related issues that emerge within the organisation. Safety
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training organised as per the annual safety calendar to ensure
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`e9IIt
CAUTIONARY STATEMENT
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@em\jkfijj_flc[Y\Xik_\XYfm\`ed`e[%
 51

51-106
STATUTORY
REPORTS

ANNUAL REPORT 2018-19

52
STATUTORY REPORTS
BUSINESS RESPONSIBILITY REPORT
Incorporated in 1982, Eicher Motors Limited (EML) is the
flagship Company of Eicher Group. We operate in two distinct
business verticals – Motorcycles and Commercial Vehicles. We
gif[lZ\k_\`Zfe`ZIfpXc<eÔ\c[dfkfiZpZc\jXe[Xi\^cfYXc
leaders in the mid-size (250cc-750cc) motorcycle segment.
The motorcycles are manufactured in state-of-the-art
facilities in Tamil Nadu and marketed with the support of an
extensive network of dealers across India and across the world.
Globally, EML has a presence in over 55 countries. We are
committed to provide each and every customer with quality
motorcycles and related accessories, as well as customer
experience. In addition to motorcycles, we have a subsidiary
VE Commercial Vehicles Limited, which is a joint venture with
Sweden’s AB Volvo, to manufacture trucks and buses.
EML has witnessed phenomenal growth in recent years. We
recorded our highest ever total income from operations
SECTION A: GENERAL INFORMATION
A-1 Corporate Identity Number (CIN) of the
Company
A-2 Name of the Company
A-3 Registered address
A-4 Website
A-5 E-mail id
A-6 Financial Year reported
A-7 Sector(s) that the Company is engaged in
A-8 List three key products/ services that the
Company manufactures/ provides
A-9 Total number of locations where business
activity is undertaken by the Company:
i. Number of International Locations
ii. Number of National Locations
A-10 Markets served by the Company
EICHER MOTORS LIMITED
`e=PÀ)'(/$(0%<DC`jc`jk\[fek_\9J<C`d`k\[9J< Xe[
National Stock Exchange of India Ltd. (NSE) and is part of the
NSE’s benchmark Nifty 50 Index.
While business excellence is a key objective, ensuring
a positive impact on society and environment is a very
important goal for EML. The company has embedded various
initiatives on sustainability across operations. We undertake
initiatives to reduce the impacts of our operations on the
environment, health and safety, and ensure the development
of local communities.
The disclosures contained in this Business Responsibility
Report (BRR) illustrate the endeavour of EML in adopting
responsible business practices and creating lasting value for
our stakeholders.
: L34102DL1982PLC129877
: Eicher Motors Limited
: 3rd Floor, Select Citywalk, A-3, District Centre, Saket,
New Delhi-110 017
: www.eichermotors.com
: investors@eichermotors.com
: April 1, 2018 to March 31, 2019 (FY 2018-19)
: Manufacture of motorcycles (Code 3091 of National
@e[ljki`Xc:cXjj`ÔZXk`fe)''/#>fm\ied\ekf]@e[`X %
: Motorcycles
EML has subsidiaries in North America, Brazil, Thailand and
Canada and a technology centre in the United Kingdom.
We have 42 exclusive stores across the UK, USA, Mexico,
Colombia, Brazil, Argentina, France, Spain, Indonesia,
Thailand, Philippines, Vietnam, Austria, Portugal, Australia,
New Zealand and UAE.
Š I\^`jk\i\[føZ\1E\n;\c_`#@e[`X
Š :figfiXk\føZ\1>lil^iXd#?XipXeX#@e[`X
Š DXel]XZkli`e^cfZXk`fej1K_`ilmfkk`pli#FiX^X[XdXe[
Vallam Vadagal in Tamil Nadu, India.
Š Technical centres at Chennai, India
EXk`feXc18jfeDXiZ_*(#)'(0#k_\i\Xi\0(,IfpXc<eÔ\c[
stores in India.
@ek\ieXk`feXc1<DC_XjXdXib\kgi\j\eZ\`e,/Zfleki`\j#
including USA, Japan, UK, European and Latin American
countries, Middle East and South Asia.
 53

SECTION B: FINANCIAL DETAILS OF THE COMPANY

B-1 Paid up Capital (INR) 1 27,28,25,700
B-2 Total Turnover (INR) 1 9,794.48 crore
B-3 KfkXcgifÔkX]k\ikXo\j@EI 1 2054.44 crore
B-4 Total Spending on Corporate Social 1 EML spent INR 45.39 crores on CSR activities during FY
I\jgfej`Y`c`kp:JI Xjg\iZ\ekX^\f]gifÔk )'(/$(0%K_`jnXj)f]k_\Xm\iX^\e\kgifÔkjf]k_\
X]k\ikXo :fdgXep]ficXjkk_i\\ÔeXeZ`Xcp\Xij
B-5 C`jkf]XZk`m`k`\j`en_`Z_\og\e[`kli\`e+XYfm\ 1 Š Rural Development
has been incurred: Š Livelihood Development
Š Road Safety
Š Disaster Relief etc.

SECTION C: OTHER DETAILS

C-1 Does the Company have any Subsidiary 1 Yes, as at March 31st, 2019, the subsidiaries of the
Company/ Companies? :fdgXepn\i\1
Š VE Commercial Vehicles Ltd.
Š IfpXc<eÔ\c[9iXj`c:fd„iZ`f[\DfkfZ`Zc\kXjCk[X
Š IfpXc<eÔ\c[Efik_8d\i`ZXC`d`k\[
Š Eicher Group Foundation
Š IfpXc<eÔ\c[K_X`cXe[ Ck[%

Step Down Subsidiaries

C-2 Do the Subsidiary Company/ Companies
participate in the BR Initiatives of the parent
company? If yes, then indicate the number of
such subsidiary company(s)
C-3 Do any other entity/entities (e.g. suppliers,
distributors, etc.) that the Company does
business with; participate in the BR initiatives
of the Company? If yes, then indicate the
percentage of such entity/ entities?
Š IfpXc<eÔ\c[:XeX[XCk[%
Š VECV Lanka (Private) Limited
Š VECV South Africa (PTY) Ltd.
1 <`Z_\i>iflg=fle[Xk`feXefk$]fi$gifÔkZfdgXep
registered under Section 8 of the Companies Act 2013)
has been incorporated by Eicher Motors Limited and its
subsidiary VE Commercial Vehicles Limited, with the purpose
f]`dgc\d\ek`e^k_\>iflgËj:JIgfc`Zp%Fk_\i\ek`k`\jk_Xk
the company does business with do not participate in BR
initiatives of the Company.
1 Suppliers and distributors are independent businesses that
are within the circle of influence of EML, but function as
independent entities.
EML’s suppliers and distributors are not involved in our BR
initiatives.

SECTION D: BR INFORMATION
D-1 Details of Director/Directors responsible for BR
 ;\kX`cjf]k_\;`i\Zkfi&;`i\Zkfiji\jgfej`Yc\]fi`dgc\d\ekXk`fef]k_\9Igfc`Zp&gfc`Z`\jXe[[\kX`cjf]9I?\X[1
The Corporate Social Responsibility (CSR) committee is the BR head at EML. The composition of CSR committee is
d\ek`fe\[Y\cfn1

S. No. Name Designation DIN Number

1. Mr. S. Sandilya Chairman, Non-executive and Independent Director DIN 00037542
2. Mr. Siddhartha Lal Managing Director DIN 00037645
3. Mr. Inder Mohan Singh Non-executive and Independent Director DIN 07114750

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STATUTORY REPORTS

D-2 Principle-wise (as per NVGs) BR Policy/policies (Reply in Y/N)

S. No. Questions P1 P2 P3 P4 P5 P6 P7 P8 P91

1. Do you have a policy/policies for....2 Y Y Y Y Y Y Y Y Note 1
2. ?Xjk_\gfc`ZpY\`e^]fidlcXk\[`eZfejlckXk`fe Y Y Y Y Y Y Y Y Note 1
with the relevant stakeholders?
3. Does the policy conform to any national / Y Y Y Y Y Y Y Y Note 1
international standards? If yes, specify?3
4. ?Xjk_\gfc`ZpY\`e^Xggifm\[Ypk_\9fXi[6@]p\j# Y Y Y Y Y Y Y Y Note 1
_Xj`kY\\ej`^e\[YpD;&fne\i&:<F&Xggifgi`Xk\
Board Director?
5. ;f\jk_\ZfdgXep_Xm\Xjg\Z`Ô\[Zfdd`kk\\ Y Y Y Y Y Y Y Y Note 1
f]k_\9fXi[&;`i\Zkfi&FøZ`Xckffm\ij\\k_\
implementation of the policy?
6. Indicate the link for the policy to be viewed online? G(1_kkg1&&nnn%\`Z_\i%`e&Zf[\j$Xe[$gfc`Z`\j
G)1GlYc`j_\[`ek_\`ekiXe\kXe[kfXccZfekiXZkfij
G*1GlYc`j_\[`ek_\`ekiXe\k
G+1_kkg1&&nnn%\`Z_\i%`e&lgcfX[j&(,*'(-,','V<`Z_\iV
:figfiXk\VJfZ`XcVI\jgfej`Y`c`kpVGfc`Zp%g[]
G,1GlYc`j_\[`ek_\`ekiXe\k
G-1GlYc`j_\[`ek_\`ekiXe\k
G.1_kkg1&&nnn%\`Z_\i%`e&Zf[\j$Xe[$gfc`Z`\j
G/1_kkg1&&nnn%\`Z_\i%`e&Zf[\j$Xe[$gfc`Z`\j
7. ?Xjk_\gfc`ZpY\\e]fidXccpZfddle`ZXk\[kfXcc Y Y Y Y Y Y Y Y Note 1
relevant internal and external stakeholders?
8. Does the company have in-house structure to Y Y Y Y Y Y Y Y Note 1
implement the policy/policies?
9. Does the Company have a grievance redressal Y Y Y Y Y Y Y Y Note 1
mechanism related to the policy/policies to
address stakeholders’ grievances related to the
policy/policies?
10. ?Xjk_\ZfdgXepZXii`\[flk`e[\g\e[\ekXl[`k& Y Y Y Y Y Y Y Y Note 1
evaluation of the working of this policy by an
internal or external agency?
1
Although EML does not have a board approved policy on customer engagement, systems and processes have been
established for addressing issues pertaining to customer satisfaction.
2
The policies laid out by Eicher Motors Limited are mapped to each principle in following table.
3
All our policies are in line with the National requirements and also incorporates international leading practices as
appropriate.

Principle Applicable policies

Principle 1: Businesses should conduct and govern
themselves with Ethics, Transparency and Accountability
Š Code of Conduct for Directors and Senior Management
Š Whistle Blower Policy
Š Policy for Determining Materiality of Events and
Information
Š Policy for Determining Material Subsidiaries
Š Code of Practices and Procedures for Fair Disclosure
of Unpublished Price Sensitive Information and Code
of Conduct for Regulating, Monitoring, and Reporting
trading by Insider
Š Terms of Appointment of Independent Directors

EICHER MOTORS LIMITED

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Principle 2: Businesses should provide goods and services Š Environmental Policy

that are safe and contribute to sustainability throughout Š Quality Policy
their life cycle
Principle 3: Businesses should promote the wellbeing of all Š Safety Policy
employees Š Employee Welfare Policy
Š Gi\m\ek`fef]J\olXc?XiXjjd\ek
Principle 4: Businesses should respect the interests of, and Š Corporate Social Responsibility Policy
be responsive towards all stakeholders, especially those who
are disadvantaged, vulnerable and marginalized
Principle 5: Businesses should respect and promote Š Employee Welfare Policy
human rights Š Gi\m\ek`fef]J\olXc?XiXjjd\ek
Principle 6: Business should respect, protect, and make Š Environmental Policy
\ùfikjkfi\jkfi\k_\\em`ifed\ek
Principle 7: Businesses, when engaged in influencing public Š Code of Conduct
and regulatory policy, should do so in a responsible manner
Principle 8: Businesses should support inclusive growth Š Corporate Social Responsibility Policy
and equitable development
Principle 9: Businesses should engage with and provide Š EML has an extensive programme for engaging with its
value to their customers and consumers in a responsible customer, handling customer grievance and improving
manner customer experience.

;$)X@]k_\Xejn\ikfJ%Ef%;$(X^X`ejkXepgi`eZ`gc\#`jÊEfË#gc\Xj\\ogcX`en_p1K`Zblgkf)fgk`fej

S. No. Questions P1 P2 P3 P4 P5 P6 P7 P8 P9
1. The company has not understood the Principles Not applicable
2. K_\ZfdgXep`jefkXkXjkX^\n_\i\`kÔe[j`kj\c]`e Not applicable
a position to formulate and implement the policies
fejg\Z`Ô\[gi`eZ`gc\j
3. K_\ZfdgXep[f\jefk_Xm\ÔeXeZ`XcfidXegfn\i Not applicable
resources available for the task
4. It is planned to be done within next 6 months Not applicable
5. It is planned to be done within the next 1 year Not applicable
6. Any other reason (please specify) P9: At EML, customer satisfaction is of the upmost priority.
Detailed systems and processes have been implemented
by the Company for handling customer grievance and
improving customer experience.

D-3 Governance related to BR

Indicate the frequency with which the Board of 1 K_\DXeX^`e^;`i\Zkfi#:_`\]<o\Zlk`m\FøZ\iXe[k_\

;`i\Zkfij#:fdd`kk\\f]k_\9fXi[fi:<FkfXjj\jjk_\ Senior Management of EML review the BR vision, strategy
BR performance of the Company. Within 3 months, 3-6 and performance of the company annually.
months, Annually, More than 1 year.

Does the Company publish a BR or a Sustainability
Report? What is the hyperlink for viewing this report?
?fn]i\hl\ekcp`k`jglYc`j_\[6
1 EML has been publishing annual BR Report since FY 2015-16.
K_\i\gfikjZXeY\m`\n\[Xk1
=P)'(,$(-1_kkg1&&nnn%\`Z_\i%`e&lgcfX[j&(,*'(---'0V
9IIV=PV)'(,$(-%g[]
=P)'(-$(.1_kkg1&&nnn%\`Z_\i%`e&lgcfX[j&(,*'(---'0V9IIV
=PV)'(-$(.%g[]
=P)'(.$(/1_kkg1&&nnn%\`Z_\i%`e&lgcfX[j&(,*)0,*)*-V9IIV
=PV)'(.$(/%g[]

ANNUAL REPORT 2018-19

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STATUTORY REPORTS

SECTION E: PRINCIPLE-WISE PERFORMANCE

Principle 1: Business Ethics, Transparency & Accountability

<DC_Xjn\cc$[\Ôe\[gfc`Z`\jXe[Zf[\jf]XZZ\gkXYc\Zfe[lZkXe[Y\_Xm`fli Coverage of policies relating to ethics,

for employees and management. These policies ensure adherence to ethical, bribery and corruption
professional and legal standards, and transparency and accountability mechanisms
n`k_`e<DCXe[`eXccYlj`e\jjdXkk\ij%Jfd\f]k_\gfc`Z`\j`ek_`ji\^Xi[Xi\1
Š Code of Conduct for Directors & Senior Management – This policy has been
glk`ekfgcXZ\kfjX]\^lXi[ZfeÔ[\ek`Xc`e]fidXk`fe#[`jZcfj\gfk\ek`XcZfe]c`Zkj
of interest, and to ensure compliance with all applicable laws, regulations and
Company’s policies, including anti-bribery and corruption laws.
Š Whistle Blower Policy – K_`jgfc`Zpfù\ijXd\Z_Xe`jdk_XkXccfnj;`i\Zkfij#
employees, dealers and vendors to report any wrongdoing or malpractice in the
Company, without any reprisals or victimisation.
Š Policy for Determining Materiality of Events and Information – This
policy determines whether an event or information is material or not as per the
provisions of SEBI Regulations, 2015, while ensuring timely, accurate, uniform and
transparent disclosure.
Š Policy for Determining Material Subsidiaries – This policy guides EML
in determining material subsidiaries of the company and making necessary
compliance relating to the same.
Š Code of Practices and Procedures for Fair Disclosure of Unpublished
Price Sensitive Information and Code of Conduct for Regulating,
Monitoring and Reporting trading by Insider – The key objective of these
policies is to ensure timely and adequate disclosure of unpublished price sensitive
information and prohibition of insider trading.
Š Terms of appointment of Independent Directors – It lays down the code
of conduct, responsibilities and other terms of appointment for Independent
Directors of EML.
Š 8k_fifl^_`ek\ieXcXe[\ok\ieXcd\Z_Xe`jd`j`egcXZ\kfi\jgfe[kf
investor grievances in a timely and appropriate manner.
Policies of Eicher Motors Limited can be accessed online at
_kkg1&&nnn%\`Z_\i%`e&Zf[\j$Xe[$gfc`Z`\j

The Code of Conduct for Directors & Senior Management, Policy for Determining
Materiality of Events and Information and Code of Practices and Procedures for
Fair Disclosure of Unpublished Price Sensitive Information extend to the Company’s
subsidiary and joint venture companies as well. Several subsidiaries and joint venture
ZfdgXe`\jXcjf_Xm\ZfdgXepjg\Z`ÔZn_`jkc\$Ycfn\igiXZk`Z\j`egcXZ\%

In FY 2018-19, EML received 58 complaints from stakeholders. EML successfully Stakeholder's complaints redressal
resolved 56 complaints during the year which include 4 complaints pertaining to
previous period. The resolution of complaints is reviewed by EML’s Stakeholder’s
Relationship Committee which looks into the redressal of complaints received from
shareholders and investors. The Committee is comprised of three non-executive
independent directors as its members. The Managing Director and the Chief
=`eXeZ`XcFøZ\iXi\`em`k\[kfk_\Zfdd`kk\\d\\k`e^jXji\hl`i\[%K_\>\e\iXc
Counsel and Company Secretary acts as the Secretary to the Stakeholder’s
relationship committee.

EICHER MOTORS LIMITED

 57

Principle 2: Product Responsibility

At Eicher Motors Limited, environmental and social concerns are an integral part of Social or environmental concerns and
its product development policy. Aspects like raw material, energy, water and waste their importance in product design
are taken into consideration during the product design and manufacturing process.
At the product development stage, material recyclability of the motorcycles is also a
critical factor from a product life-cycle perspective.

At EML, motorcycles are primarily manufactured using recyclable materials. A

majority of the materials used in manufacturing can be recycled at the end of its life
(up to 85%), while the remaining materials consist of consumables. All motorcycles
manufactured by the Company are complaint to End-of-Life Vehicles (ELV)
regulations.
EML is dedicated towards reducing its energy footprint, with energy saving initiatives Consumption of energy, water, raw
being regularly undertaken at manufacturing sites. In order to reduce direct energy material etc.
Zfejldgk`fe[li`e^gifZ\jj_\Xk`e^#n\_Xm\dfm\[]ifd?`^_Jg\\[;`\j\c?J; 
kfZc\Xe\i]l\cjc`b\C`hl\Ô\[G\kifc\ld>XjCG> %8jXi\jlck#]l\c\øZ`\eZp_Xj
increased by 80%. At the same time, greenhouse gas emissions have reduced
Yp+,%Fli\e\i^p`ek\ej`kp]fi=P)'(/$(0`j'%-->A&dfkfiZpZc\gif[lZ\[#`j
marginally higher by 0.07 GJ/motorcycle produced compared to last year. This can
be attributed to the scaling-up of operations at our new manufacturing plant at
Vallam Vadagal, Tamil Nadu.
In addition, we have put processes in place to minimise the generation of hazardous
waste and its proper management and disposal. Aluminium and steel scrap
generated during the manufacturing processes are recovered and sold to industry
for recycling. All plants operated by EML have a closed-loop water recycling design
to ensure minimal discharge of water. Despite the marked increase in production of
motorcycles, our water use intensity (kl/motorcycles produced) has only marginally
increased.

EML focuses on indigenisation of components and local sourcing. A predominant Sustainable sourcing and Procurement
section of our supplier base is located within a 100-kilometer radius of our from local and small producers
manufacturing sites. We source 98.1% by value of our raw materials from within India,
translating to procurement of roughly INR 4,959 crores from indigenous suppliers
in FY 2018-19. This helps in optimising cost, increasing productivity, and reducing
environmental footprint associated with logistics. It also creates employment
opportunities for the local community.
We also strive to integrate sustainability into our in-bound supply chain. Towards
k_`j\e[#n\_Xm\kXb\e`e`k`Xk`m\jkfj`^e`ÔZXekcp\c`d`eXk\k_\lj\f]gXZbX^`e^
materials through use of bins, pallets, and reusable trolleys. For export of
motorcycles, especially the popular 650 twins, we use the Chennai port, which is
close to our manufacturing sites for reducing transportation related emissions.

EML had established a New Supplier Assessment process in FY 2017-18, for

assessing suppliers based on select social indicators amongst other standard
criteria. In FY 2018-19, several suppliers were assessed for their social impacts.

ANNUAL REPORT 2018-19

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STATUTORY REPORTS

8ccfli\o`jk`e^Xe[e\ndf[\cjf]IfpXc<eÔ\c[dfkfiZpZc\jXi\Zfdgc`Xekn`k_k_\ Recycling products and waste

m\_`Zc\<CMi\^lcXk`fej%?\Xck_Xe[jX]\kpf]fliZljkfd\ij`jf]lkdfjk`dgfikXeZ\
to us. Therefore, we ensure that all the motorcycles are free of hazardous
substances like Lead, Cadmium, Mercury, and Chromium.
Almost 85% percent of paint and metal used in our motorcycles can be recycled at
the end of their life.
EML also places emphasis on the recovery of waste generated during the
manufacturing process and recycling. Some of the key materials recycled are
d\ek`fe\[Y\cfn1
Š Almost 55% of the hazardous waste generated at our sites is sent for co-
processing to the cement industry, where it is used as a fuel in kilns. Used oil and
spent solvents are sent to authorised recyclers.
Š Aluminum and steel scrap is converted into briquettes and is also sold to
recyclers. Scrap is also directly delivered to the melting sources for recycling,
n_`Z_\c`d`eXk\jdlck`gc\gifZ\jj`e^n_`c\`dgifm`e^i\jfliZ\\øZ`\eZp%

Principle 3: Employee Wellbeing

A committed and productive workforce is the backbone of EML. As on 31st March Manpower resources including women
)'(0#k_\kfkXcnfib]fiZ\n`k_k_\:fdgXepnXj(+#,-/%Flkf]k_`j#n\_Xm\+'/) employees
g\idXe\ekjkXùXe[\o\Zlk`m\jfefligXpifcc%I\jkf]k_\nfib]fiZ\jZfdgi`j\jf]
engineers, workmen, trainees, casual and contract workmen.

EML is an equal opportunity employer and does not discriminate among employees
on the basis of gender, caste, creed, religion, or any other characteristic. We are also
committed to increasing the representation of women across our workforce. Women
account for 6% of full-time employees in our company. They also accounted for
((f]e\n_`i\j`e=P)'(/$(0%N\XcjfdXb\Xe\ùfikkf`eZcl[\g\fgc\n`k_jg\Z`Xc
needs as part of our workforce.

Recognising the right to collective bargaining of our employees, we have Employee association and its
established internal and independent labour unions at our Thiruvottiyur plant. All membership
the permanent employees at the plant are members of this union. The union follows
all statutory requirements. We also undertake wage settlements with the employee
union once in three years.

The Company has developed systems and processes to eliminate the presence Child labour, forced labour, sexual
of child labour, forced labour, involuntary labour, and sexual harassment in its harassment
operations. We also conduct various programmes to build awareness of employees
on these issues. In line with the statutory requirements, EML doesn’t employ anyone
c\jjk_Xe(/p\Xijf]X^\%;li`e^k_\ÔeXeZ`Xcp\Xile[\ii\m`\n#:fdgXepi\Z\`m\[
one complaints of sexual harassment which was investigated and appropriately
dealt with as per the statutory provisions.

EML provides regular trainings to its employees for the upgradation of their skills Safety, training and upskilling
and knowledge, and safety related issues. Training is provided by in-house experts
and external agencies according to an annual calendar. In FY 2018-19, 77% of
the permanent employees and 87% of women employees received training on
the above-mentioned aspects. We also trained our contractual and temporary
employees on safety and other relevant aspects.

EICHER MOTORS LIMITED

 59

Principle 4: Stakeholder Engagement

<DC_Xj`[\ek`Ô\[`ek\ieXcXe[\ok\ieXcjkXb\_fc[\ijk_XkXi\`dgXZk\[Ypk_\ Internal and external stakeholders

company’s operations and inversely, have the potential to impact the company as
n\cc%K_\dXafijkXb\_fc[\i^iflgjXi\d\ek`fe\[Y\cfn1
Š Employees and their families
Š Consumers
Š Suppliers and dealers
Š Bankers
Š Investors
Š Government and regulatory bodies
Š Local community
Š Peers and industry ecosystem
<DC_Xj`[\ek`Ô\[]fccfn`e^knfZXk\^fi`\jf]jkXb\_fc[\ijXj[`jX[mXekX^\[# Disadvantaged, vulnerable &
mlce\iXYc\Xe[dXi^`eXc`j\[1 marginalised stakeholders and
Company's initiative toward them
Š Certain sections of local community around our areas of operation;

Š Socio-economically disadvantaged sections of the society.

@ec`e\n`k_fli:JIgfc`Zp#n\_Xm\`[\ek`Ô\[YifX[Xi\Xjf]`ek\im\ek`fe]fik_\
local communities. These include road safety, environmental sustainability, children’s
education, healthcare, local area development, and livelihood development. Key
`e`k`Xk`m\jle[\ikXb\e[li`e^=P)'(/$(0n\i\1
Š Education: EML is committed to improving the access to quality education in
k_\Zflekip%FlidXafi`ek\im\ek`fej`ek_`jXi\X`eZcl[\[\m\cfgd\ekf]jZ_ffc
`e]iXjkilZkli\#gifm`[`e^ÔeXeZ`Xcjlggfikkfd\\kk_\fg\iXk`feXc\og\ej\j
of schools, renovation of anganwadis, transit schools for drop-outs, computer
education, and scholarships. These initiatives were implemented in Rajasthan and
Tamil Nadu.
Š Livelihood Development: In order to improve employment opportunities, we
fù\ijb`cckiX`e`e^gif^iXdd\j]fijZ_ffc[ifgflkj`eXe[Xifle[:_\eeX`Xe[
>lil^iXd%N\Xcjffù\imfZXk`feXckiX`e`e^j]fic\jj\[lZXk\[#\Zfefd`ZXccp
YXZbnXi[pflk_Xe[[`ù\i\ekcpXYc\[Z_`c[i\e%
Š Disaster Relief: Several social development projects are being implemented
Yp<DC`eKXd`cEX[lXe[e\`^_Yfli`e^jkXk\j%K_ifl^_fli[`jXjk\ii\c`\]\ùfikj
around Chennai and Kerala, we are providing access to healthcare, sanitation,
and safe drinking water; as well as eradicating hunger, poverty and malnutrition.
Š Road Safety: We also initiated a project in Leh district of Jammu and Kashmir,
Xe[CX_XlcXe[Jg`k`[`jki`Zkf]?`dXZ_XcGiX[\j_kfZi\Xk\ifX[jX]\kp
awareness and provide emergency and trauma care. We are also developing a
trauma care system on the Manali-Leh route.
Š Local Area Development: Through our village upgradation program around
flidXel]XZkli`e^le`kjXkK_`ilmfkk`pli#FiX^X[XdXe[MXccXdMX[X^Xc#n\
revived lakes/ ponds, established a multi-disciplinary training centre, provided
_\Xck_ZXi\]XZ`ck`\j#Xe[gifdfk\[nfd\eËj\dgfn\id\ekk_ifl^_J\c]$?\cg
Groups. We also established mobile learning labs in Andhra Pradesh through
J\c]$?\cg>iflgj2Xe[iliXc\c\Zki`ÔZXk`fe`eCX[Xb_i\^`fe%

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STATUTORY REPORTS

EMPOWER:IliXc<c\Zki`ÔZXk`fe`eCX[Xb_
<DC`dgc\d\ek\[k_\<DGFN<Igifa\Zk`eCX[Xb_i\^`fekf]XZ`c`kXk\
holistic development of the community and empower the local
population. With our support, solar micro-grids were setup in remote
m`ccX^\jf]k_\i\^`fe%N`k_k_\jlggfikf]>cfYXc?`dXcXpXe<og\[`k`fe#
B_Xe^iXc#9XkXdY`jLgg\i#D`[[c\#Cfn\i #Xe[?XeXdlim`ccX^\jn\i\
`[\ek`Ô\[]fi\c\Zki`ÔZXk`fe%

Š Projects Undertaken:Fm\i-#,''Zcfk_\jn\i\[`jki`Ylk\[[li`e^k_\Zcfk_\j
[`jki`Ylk`fe[i`m\XkBXj_d`i#LkkXiXb_Xe[#A_Xib_Xe[Xe[?`dXZ_XcGiX[\j_#
helping more than 5,000 families with clean and warm clothes.

Principle 5: Human Rights

EML is committed to upholding the leading standards of integrity and accountability Human rights policies and stakeholder
across our operations. In line with our commitment, we have laid down policies/ complaints
codes like Code of Conduct for Directors and Senior Management, Policy on
Gi\m\ek`fef]J\olXc?XiXjjd\ek#<dgcfp\\N\c]Xi\Gfc`Z`\j#:JIGfc`Zp#\kZ%8ccfli
subsidiaries and joint venture companies are also covered under Company’s Policies
and/or have their own Policies of similar nature.

;li`e^k_\ÔeXeZ`Xcp\Xile[\ii\m`\n#:fdgXepi\Z\`m\[fe\ZfdgcX`ekjf]j\olXc
harassment which was investigated and appropriately dealt with as per the statutory
provisions.

Principle 6: Environment

EML’s Environment Policy showcases our commitment to implement initiatives Coverage of environmental policies
i\cXk\[kfi\jfliZ\\øZ`\eZp#Zc\Xe\igif[lZk`fe#Xe[nXjk\i\[lZk`feXe[ and practices and strategies to
management; awareness generation; and training of employees on environmental address environmental issues
issues. At present, the Company’s environment policy does not cover Group/Joint
M\ekli\j&Jlggc`\ij&:fekiXZkfij&E>Fj%?fn\m\i#n\\eZfliX^\XccflijkXb\_fc[\ij
to implement robust environmental practices across their operations.

Recognizing the risks posed by environmental issues such as climate change on Initiatives on clean technology, energy
their businesses and on the society, EML has been implementing initiatives to reduce \øZ`\eZp\kZ
k_\ZXiYfe]ffkgi`ek%N\_Xm\le[\ikXb\e\ùfikjkfcfn\ifli\e\i^pZfejldgk`fe
in manufacturing units and shop floors. Through our energy saving measures, we
_Xm\jXm\[)#((0DN_f]\e\i^pn_`Z_`j\hl`mXc\ekkf)#'.+Kfee\jf]:F)\%
We also use recycled water in our production processes. Almost 90% of the water
used in manufacturing is recycled. Water from the Sewage Treatment Plant (STP)
`jXcjflj\[]fi^Xi[\e`e^#X`i$_Xe[c`e^le`kj8?L #Yf`c\ij#Zffc`e^kfn\ij#Xe[`e
toilets. Additionally, rain water harvesting systems set up at all the plants help in
ground water recharge.

EML has a formal risk management framework in place to assess potential risks and Environmental risk assessment and
take appropriate measures to mitigate them. The Risk Management Committee, development mechanism
overseen by MD, is responsible for the implementation of this framework. Regular
meetings with various internal departments, as well as external associations and
industry bodies are conducted to identify emerging risks. All processes are analysed
with ASPECT-IMPACT analysis to ensure that the impact on environment is reduced
feXZfek`elfljYXj`jk_ifl^_fg\iXk`feXcZfekifcgifZ\[li\jF:G %

EICHER MOTORS LIMITED

 61

<DC[f\jeËk_Xm\Xepgifa\Zkji\cXk\[kf:c\Xe;\m\cfgd\ekD\Z_Xe`jd%?fn\m\i#
j\m\iXc`e`k`Xk`m\jkf`dgifm\\e\i^p\øZ`\eZp_Xm\Y\\e`dgc\d\ek\[`efli
dXel]XZkli`e^le`kj#c\X[`e^kfj`^e`ÔZXeki\[lZk`fe`edXel]XZkli`e^ZfjkjXjn\cc
greenhouse gas emissions from our operations.

EML has laid down procedures to ensure statutory compliance with the Central Emission control and violations, if any
Pollution Control Board/ State Pollution Control Board on emissions, air and
noise quality, and waste generation. We conduct regular ambient air and noise
quality tests through laboratories accredited by National Accreditation Board for
Testing and Calibration Laboratories (NABL) and submit reports to the Tamil Nadu
Pollution Control Board (TNPCB). We have also installed an online monitoring
jpjk\d]fiMfcXk`c\Fi^Xe`Z:fdgfle[jMF: %K_`j`jZfee\Zk\[kfk_\KEG:9
Care Air Centre to monitor any fluctuations in the permissible limits. We also ensure
proper segregation, recycling and disposal of hazardous and non-hazardous waste
generated at the site.
During the FY 2018-19, all emissions and waste generated by EML were within the
permissible limits given by CPCB and TNPCB and no show cause or legal notices were
received.

Principle 7: Advocacy and Public Policy

EML is a member of the Confederation of Indian Industry (CII), Federation of Industry associations and advocacy
Indian Chambers of Commerce and Industry (FICCI), Society of Indian Automobile
Manufacturers (SIAM) and Society of Automotive Fitness and Environment (SIAM
SAFE). Participation in such associations provides us a platform to engage with
other automotive companies on relevant issues. We aim to contribute to the
development of policies and regulations, implementation plans, etc. through regular
engagement with the Government of India. We also interact regularly with the
Bureau of Indian Standards (BIS) to suggest inputs for new regulations for vehicles,
new standards and their feasibility, etc.

Principle 8: Inclusive Growth and Equitable Development

EML has a clearly articulated CSR policy in line with the Companies Act, 2013 Jg\Z`ÔZgif^iXdd\j&`e`k`Xk`m\j&
Xe[k_\Ilc\jdX[\k_\i\le[\i%FliYifX[Xi\Xjf]`ek\im\ek`feXe[[\kX`cjfe projects in pursuit of the policy related
initiatives implemented in FY 2018-19 are described under Principle 4. to Principle 8

In FY 2018-19, EML spent INR 45.39 crores on CSR activities under the broad Contribution to community
themes of rural development, livelihood development disaster relief and road safety. development projects and
N\ZfccXYfiXk\n`k_i\glk\[E>FgXike\ijkf\ejli\\øZ`\ek`dgc\d\ekXk`fe implementation
and quality outcomes. These programmes are regularly managed and monitored
by an in-house CSR Committee facilitated by Eicher Group Foundation. The CSR
committee assesses the progress and impacts of the programmes, provides
valuable insights and suggests course correction and improvement in the existing
programmes.
A participatory approach is adopted by EML for developing and implementing
the community development initiatives, which address the unmet needs of the
community. This helps in on-boarding community members from the very beginning
of the programme, ensuring greater ownership and successful implementation.
FliÔ\c[k\XdjZfek`elfljcp`ek\iXZkn`k_Zfddle`kpd\dY\ij[li`e^k_\
implementation period.

ANNUAL REPORT 2018-19

62
STATUTORY REPORTS

Principle 9: Customer Engagement

EML is committed to provide world-class quality products and services to its Displaying product information on the
Zljkfd\ijYfk_eXk`feXccpXe[`ek\ieXk`feXccp%Fligif[lZkjZfdgcpn`k_Xcci\hl`j`k\ product label
Zf[\j#jg\Z`ÔZXk`fejXe[`e[ljkipi\^lcXk`feji\c\mXekkfk_\XlkfdfY`c\`e[ljkip%
They also comply with statutory safety norms of India as well as export markets. All the
product literature, including safety information is disclosed to the customers through
user manuals, media platforms, and company’s website. The dealers also orient the
customers on products’ features and performance during pre-sales interactions and
product delivery. In addition, the Company regularly uses various media and non-
media platforms to communicate the importance of safe driving to its customers.
K_\:fdgXep_XjX]fidXcXe[n\cc$[\Ôe\[gifZ\jj`egcXZ\]fiX[[i\jj`e^ Pending customers complaints
Zljkfd\i^i`\mXeZ\j%:fdgcX`ekjÔc\[YpZljkfd\ik_ifl^_jfZ`Xcd\[`Xfik_\
central command centre are documented with the Dealer Management System
(DMS). Dedicated teams analyse these complaints to provide timely resolutions.
There is an escalation matrix built into the system to ensure any delays in resolution
Xi\efk`Ô\[kfk_\j\e`fidXeX^\d\ek%;li`e^=P)'(/$(0#0+f]Zljkfd\i
complaints were resolved.
Customer satisfaction is critical to the growth of our business. We and/or our dealers Customer surveys
regularly undertake customer satisfaction surveys. In case of low satisfaction scores
(1-2), we take corrective actions and resolve them within 15 days. JD, a third-party
agency, had conducted surveys in 2017. As per the survey, EML is ranked No. 2.
There were no cases of litigation against the company regarding unfair trade practices,
`ii\jgfej`Yc\X[m\ik`j`e^Xe[&fiXek`$Zfdg\k`k`m\Y\_Xm`fli[li`e^k_\cXjkÔm\p\Xij%

EICHER MOTORS LIMITED

 63

DIRECTORS’ REPORT

To the Members of Eicher Motors Limited

The Directors have pleasure in presenting the Thirty Seventh Annual Report along with the Audited Financial Statements of your
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FINANCIAL RESULTS
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Ij%)0/%0*Zifi\j#gifÔkY\]fi\\oZ\gk`feXc`k\dXe[kXoXdflek\[kfIj%*#(,'%,'Zifi\j%

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Ij%*((%0/Zifi\jXe[Ij%(.%,)Zifi\j\oZ\gk`feXc`k\dj [li`e^k_\gi\m`fljp\XiXe[Zlii\ekp\Xii\jg\Zk`m\cp%

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Ij%`e:ifi\j
Particulars =fik_\ÔeXeZ`Xcp\Xi\e[\[ =fik_\ÔeXeZ`Xcp\Xi\e[\[
March 31, 2019 March 31, 2018
E\kI\m\el\]ifdfg\iXk`fej 9,794.48 /#0,.%,(
GifÔkY\]fi\[\gi\Z`Xk`feXe[`ek\i\jk 2,944.38 )#/,*%)'
Interest 2.99 *%'+
Depreciation 298.93 )))%*+
GifÔkY\]fi\fk_\i`eZfd\Xe[kXo 2,642.46 )#-).%/)
Other income 508.04 **)%+*
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<oZ\gk`feXc@k\dj 17.52 *((%0/
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- Diluted Ij% 752.54 -).%//

CHANGE IN THE NATURE OF BUSINESS, IF ANY DIVIDEND

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MATERIAL CHANGES AND COMMITMENTS
AFFECTING THE FINANCIAL POSITION OF THE
COMPANY THAT HAVE OCCURRED AFTER
MARCH 31, 2019 TILL THE DATE OF THIS
REPORT
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ANNUAL REPORT 2018-19

64
STATUTORY REPORTS
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AMOUNTS TRANSFERRED TO RESERVES
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BRIEF DESCRIPTION OF THE STATE
OF COMPANY’S AFFAIRS/ BUSINESS
PERFORMANCE
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MARKET AND FUTURE PROSPECTS
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ENERGY CONSERVATION, TECHNOLOGY
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DEPOSITS
The Company has not accepted any deposits from the
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DIRECTORS AND KEY MANAGERIAL
PERSONNEL
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COMPANY’S POLICY ON DIRECTORS’
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our practices ensure through the selection process that
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conflict of interest
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the Company
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ANNUAL EVALUATION OF BOARD,
COMMITTEES AND INDIVIDUAL DIRECTORS
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ANNUAL REPORT 2018-19
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STATUTORY REPORTS
A separate meeting of Independent Directors was also
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MEETINGS OF BOARD OF DIRECTORS
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the Corporate Governance Report which forms part of the
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DETAIL OF LOANS, GUARANTEES AND
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the Company during the year under review which are covered
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PARTICULARS OF RELATED PARTY
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associate Companies which may have a potential conflict with
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AUDIT COMMITTEE
The Audit Committee of the Company is constituted
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Sl. No. Name of Members
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EICHER MOTORS LIMITED
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DETAILS OF ESTABLISHMENT OF VIGIL
MECHANISM
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SUBSIDIARIES, ASSOCIATE AND JOINT
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The company has received approval to initiate trading
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The company is yet to commence trading operations as at
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VE Commercial Vehicles Limited
Overview of performance covered separately in the
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COMPANIES WHICH HAVE BECOME OR
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DURING THE FINANCIAL YEAR
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DETAILS OF SIGNIFICANT AND MATERIAL
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the going concern status of the Company and its future
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DETAILS IN RESPECT OF ADEQUACY OF
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CORPORATE SOCIAL RESPONSIBILITY
The Company has constituted a Corporate Social
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CONSOLIDATED FINANCIAL STATEMENTS
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(% M<:fdd\iZ`XcM\_`Zc\jCk[% L.+0'';C)''/GC:(.,'*) JlYj`[`Xip ,+%+ )/.
8[[i\jj1*rd]cffi#J\c\Zk:`kpnXcb#8$*#
;`jki`Zk:\eki\#JXb\k#E\n;\c_`$((''(.
)% M<:MCXebXGi`mXk\ C`d`k\[ GM0(0/, JlYj`[`Xip ,+%+ )/.
8[[i\jj1C\m\c(#K_\CXe[dXib9l`c[`e^#
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:fcfdYf$'*Ji`CXebX
*% M<:MJflk_8]i`ZXGKP Ck[% )'(-&''.'()&'. JlYj`[`Xip ,+%+ )/.
8[[i\jj1Le`k(,#:XdYi`[^\FøZ\GXib#
,9Xl_`e`XJki\\k#?`^_m\c[K\Z_efgXib#
:\ekli`fe#Jflk_8]i`ZX
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8[[i\jj1*rd]cffi#J\c\Zk:`kpnXcb#8$*#
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EICHER MOTORS LIMITED

 81

Sl. No. EXd\Xe[8[[i\jjf]k_\:fdgXep :@E&>CE&I\^%Ef% ?fc[`e^&JlYj`[`Xip& % of 8ggc`ZXYc\

8jjfZ`Xk\ shares held J\Zk`fe
.% <`Z_\i>iflg=fle[Xk`fe L.+0'';C)'(,EGC)/.,,( JlYj`[`Xip ,'`j_\c[Yp )/. 
J\Zk`fe/:fdgXep the Company
8[[i\jj1*rd]cffi#J\c\Zk:`kpnXcb#8$*# and remaining
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8[[i\jj1
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(,''#IfpXc:\eki\#G%F%9fo((((.
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Canada
0% IfpXc<eÔ\c[K_X`cXe[ C`d`k\[ '(',,-((-'+/, JlYj`[`Xip 00%00 )/.
8[[i\jj1
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GXk_ldnXe;`jki`Zk#
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IV. SHAREHOLDING PATTERN (Equity Share Capital Breakup as percentage of Total Equity)
 `  :Xk\^fip$n`j\J_Xi\_fc[`e^1

:Xk\^fipf]J_Xi\_fc[\ij Ef%f]J_Xi\j_\c[Xkk_\Y\^`ee`e^f]k_\p\Xi Ef%f]J_Xi\j_\c[Xkk_\\e[f]k_\p\Xi %

Xjfe8gi`c(#)'(/ XjfeDXiZ_*(#)'(0 :_Xe^\
Demat G_pj`ZXc Total % of Demat G_pj`ZXc Total % of [li`e^
total total the
shares shares p\Xi
8% Gifdfk\ij
 (  @e[`Xe
  X  @e[`m`[lXc&?L= -#)'#00/ - -#)'#00/ )%)/ *#(,#)+( - *#(,#)+( (%(- (%()
  Y  :\ekiXc>fmk - - - - - - - - -
  Z  JkXk\>fmkj - - - - - - - - -
  [  9f[`\j:fig% (,#(+* - (,#(+* '%'- (,#(+* - (,#(+* '%'- '%''
  \  9Xebj&=@ - - - - - - - - -
  ]  8epFk_\iKiljk (#),#(-#*,, - (#),#(-#*,, +,%0) (#),#(-#*,, - (#),#(-#*,, +,%// '%'+
 JlY$kfkXc8 ( 1,31,52,496 - 1,31,52,496 48.26 1,28,46,739 - 1,28,46,739 47.09 (1.17)
 )  =fi\`^e
  X  EI@j@e[`m`[lXcj -#'0#-// - -#'0#-// )%)+ -#'0#-// - -#'0#-// )%)* '%'(
  Y  Fk_\i@e[`m`[lXcj - - - - - - - - À$
  Z  9f[`\j:fig% - - - - - - - - À$
  [  9Xebj&=@ - - - - - - - - À$
  \  8epFk_\i - - - - - - - - À$
 JlY$kfkXc8 ) 6,09,688 - 6,09,688 2.24 6,09,688 - 6,09,688 2.23 (0.01)
 KfkXcj_Xi\_fc[`e^ 1,37,62,184 - 1,37,62,184 50.49 1,34,56,427 - 1,34,56,427 49.32 (1.17)
of Promoter
8 48 ( "8 )
À
9% GlYc`ZJ_Xi\_fc[`e^ À
 (% @ejk`klk`fej À
  X  DlklXc=le[&LK@ (,#*-#0-- +'' (,#*.#*-- ,%-+ ((#)*#00, - ((#)*#00, +%() (%,)
  Y  9Xebj&=@ -+#'.( ()( -+#(0) '%)+ *+#*(, 0, *+#+(' '%(* '%((
  Z  :\ekiXc>fmk% .#+0+ - .#+0+ '%'* )0#0.( - )0#0.( '%(( '%'/
  [  JkXk\>fmkj - - - - - - - - -
  \ M
 \ekli\:Xg`kXc - - - - - - - -
Funds

ANNUAL REPORT 2018-19

82
STATUTORY REPORTS

:Xk\^fipf]J_Xi\_fc[\ij Ef%f]J_Xi\j_\c[Xkk_\Y\^`ee`e^f]k_\p\Xi Ef%f]J_Xi\j_\c[Xkk_\\e[f]k_\p\Xi %

Xjfe8gi`c(#)'(/ XjfeDXiZ_*(#)'(0 :_Xe^\
Demat G_pj`ZXc Total % of Demat G_pj`ZXc Total % of [li`e^
total total the
shares shares p\Xi
  ] @ejliXeZ\ - - - - - - - - -
Companies
  ^  =@@j /+#+'#(-* - /+#+'#(-* *'%0. //#-,#,') - //#-,#,') *)%+0 (%,)
  _  = fi\`^eM\ekli\ - - - - - - - - -
Capital Funds
  ` F k_\ijjg\Z`]p
Alternate -#)-- - -#)-- '%') /'#/-0 - /'/-0 '%*' '%)/
Investment Fund
 JlY$kfkXc9 ( 1,00,54,960 521 1,00,55,481 36.90 1,01,34,652 95 1,01,34,747 37.15 0.25
 )% Efe$@ejk`klk`fej À À À À
  X  9f[`\j:fig%
   `  @e[`Xe ,#--#+)- )#00, ,#-0#+)( )%'0 +#)'#+++ (#*0, +#)(#/*0 (%,, '%,+
   ``  Fm\ij\Xj - - - - - - - - -
  Y  @e[`m`[lXcj
   `  @e[`m`[lXc (.#-(#,0. *#,(#.(. )#((*#*(+ .%.- (/#,)#('/ )#/-#+0'! )(#*/#,0/ .%/+ '%'/
shareholders
holding
nominal share
capital upto
Ij%(cXZ
   ``  @e[`m`[lXc )#,*#,,( - )#,*#,,( '%0* ,#+/#*+' - ,#+/#*+' )%'( (%'/
shareholders
holding
nominal share
capital in
\oZ\jjf]
Ij%(cXZ
  Z  Fk_\ijjg\Z`]p
   (  Kiljk ,+#'-' *#)'0 ,.#)-0 '%)( *+#,-) *#)'0 *.#..( '%(+ '%'.
   )  = fi\`^e (#*(/ - (*(/ '%'' - - - - '%''
EXk`feXcj
   *  E  feI\j`[\ek (#)+#0-) ,)#0). (#..#//0 '%-, (#+,#'0/ +.#-,/ (#0)#.,- '%.( '%'-
Indians
   +  F  m\ij\Xj - /+' /+' '%'' - (+' (+' '%'' '%''
Corporate
9f[`\j
   ,  :  c\Xi`e^ *(#(+0 - *(#(+0 '%(( (#'/#/./ - (#'/#/./ '%+' '%)0
D\dY\ij
   -  ?L= ,'#'). - ,'#'). '%(/ ,'#.(- - ,'#.(- '%(0 '%'(
   .  @<G= (#.(#,(/ - (#.(#,(/ '%-* (#//#'-. - (#//#'-. '%-0 '%'-
   /  = fi\`^e (* - (* '%'' (. - (. '%'' '%''
Gfik]fc`f
Investors
:Xk\^fip@@@ 
   0  E  9=:j - - - - )+* - )+* '%'' '%''
registered with
I9@
   ('  Fk_\ij ((#,., - ((#,., '%'+ +#0*+ - +#0*+ '%') '%')
 JlY$kfkXc9 ) 30,26,196 4,11,688 34,37,884 12.61 33,53,407 3,38,892 36,92,299 13.53 0.92
 KfkXcGlYc`ZJ_Xi\_fc[`e^ 1,30,81,156 4,12,209 1,34,93,365 49.51 1,34,88,059 3,38,987 1,38,27,046 50.68 1.17
9 49 ( "9 )
:% J_Xi\j_\c[Yp:ljkf[`Xe - - - - - - - - -
]fi>;Ij8;Ij
 >iXe[KfkXc8"9": 2,68,43,340 4,12,209 2,72,55,549 100.00 2,69,44,486 3,38,987 2,72,83,473* 100.00 -
!K_\kfkXcj_Xi\_fc[`e^i\gfik\[`eg_pj`ZXcdf[\le[\ik_\glYc`ZZXk\^fip_XjY\\eXjZ\ikX`e\[X]k\iX[[`e^0'*\hl`kpj_Xi\j_\c[Ypfe\
`e[`m`[lXc#glijlXekkffi[\if]k_\?fefliXYc\Jlgi\d\:flik%8eXggc`ZXk`fe`ei\jg\Zkf]k_\j\j_Xi\j`jY\`e^Ôc\[n`k_k_\?feYc\:flik%K_\
eldY\if]j_Xi\j`jjl\[Ypk_\:fdgXepXe[k_fj\_\c[Yp`e[`m`[lXcjdXpY\Xck\i\[[\g\e[`e^fek_\flkZfd\f]k_\:flikgifZ\\[`e^j%

EICHER MOTORS LIMITED

 83

 ``  J_Xi\_fc[`e^f]Gifdfk\iGifdfk\i>iflg1

Sl. J_Xi\_fc[\iËjEXd\ J_Xi\_fc[`e^Xkk_\Y\^`ee`e^f]k_\ J_Xi\_fc[`e^Xkk_\\e[f]k_\p\Xi Z_Xe^\

No. p\XiXjfe8gi`c(#)'(/ XjfeDXiZ_*(#)'(0 `ej_Xi\
No. of % of total % of Shares No. of % of total % of Shares _fc[`e^
Shares Shares gc\[^\[& Shares Shares gc\[^\[& [li`e^
of the \eZldY\i\[ of the \eZldY\i\[ k_\p\Xi
:fdgXep to total :fdgXep to total
shares shares
( Dj%J`diXeCXc *#(,#)+( (%(- - *#(,#)+( (%(- - '%''
) Dj%KXiXCXc *#(+#00+ (%(- - *#(+#00+ (%(, - '%'(
* Di%J`[[_Xik_XCXc )#0+#-0+ (%'/ - )#0+#-0+ (%'/ - '%''
+ The Simran Siddhartha Tara (#)'#*'#-+/ ++%(+ - (#)'#*'#-+/ ++%(' - '%'+
9\e\ÔkKiljk#Kiljk\\$
M`biXdCXc
, K_\9i`e[XCXcKiljk# +#/,#.'. (%./ - +#/,#.'. (%./ - '%''
Kiljk\\$M`biXdCXc
- BXimXejXiX`@em\jkd\ekj (,#(+* '%'- - (,#(+* '%'- - '%''
Gi`mXk\C`d`k\[
. Di%8ialeAfj_`^ (#'(#0(0 '%*. - - - - '%*.
/ Dj%E`_XiAfj_`^ (#'(#0(0 '%*. - - - - '%*.
0 Dj%J_feXiAfj_`^ (#'(#0(0 '%*. - - - - '%*.
Total 1,37,62,184 50.49 - 1,34,56,427 49.32 - (1.17)^*
!;\Zi\Xj\`e'%',j_Xi\_fc[`e^f]Gifdfk\iGifdfk\i>iflg`jfeXZZflekf]Xccfkd\ekf]\hl`kpj_Xi\jYpk_\:fdgXeple[\i`kj<dgcfp\\JkfZbFgk`fe
GcXe#)''-#[li`e^k_\=P)'(/$(0%

U;\Zi\Xj\YpXefk_\i(%()j_Xi\_fc[`e^f]Gifdfk\iGifdfk\i>iflg`jfeXZZflekf]i\$ZcXjj`ÔZXk`fef]Di%8ialeAfj_`#Dj%E`_XiAfj_`Xe[Dj%J_feXi
Afj_`XjglYc`Zj_Xi\_fc[\ij#[li`e^k_\ÔeXeZ`Xcp\Xile[\ii\m`\n#n`k_i\hl`j`k\XggifmXcj%

 ```  :_Xe^\`eGifdfk\ijJ_Xi\_fc[`e^1

Sl. Particulars J_Xi\_fc[`e^Xkk_\Y\^`ee`e^ :ldlcXk`m\J_Xi\_fc[`e^

No. f]k_\p\XiXjfe8gi`c(#)'(/ [li`e^k_\p\Xi
No. of shares % of total No. of shares % of total
shares of the shares of the
:fdgXep :fdgXep
Dj%J`diXeCXc
( 8kk_\Y\^`ee`e^f]k_\p\Xi *#(,#)+( (%(- *#(,#)+( (%(-
;Xk\n`j\@eZi\Xj\&;\Zi\Xj\`eGifdfk\ij Ef:_Xe^\
Shareholding during the year
8kk_\\e[f]k_\p\Xi`%\%XjfeDXiZ_*(#)'(0 *#(,#)+( (%(-
Ms. Tara Lal
) 8kk_\Y\^`ee`e^f]k_\p\Xi *#(+#00+ (%(- *#(+#00+ (%(-
;Xk\n`j\@eZi\Xj\&;\Zi\Xj\`eGifdfk\ij Ef:_Xe^\
Shareholding during the year
8kk_\\e[f]k_\p\Xi`%\%XjfeDXiZ_*(#)'(0 *#(+#00+ (%(,
Mr. Siddhartha Lal
* 8kk_\Y\^`ee`e^f]k_\p\Xi )#0+#-0+ (%'/ )#0+#-0+ (%'/
;Xk\n`j\@eZi\Xj\&;\Zi\Xj\`eGifdfk\ij Ef:_Xe^\
Shareholding during the year
8kk_\\e[f]k_\p\Xi`%\%XjfeDXiZ_*(#)'(0 )#0+#-0+ (%'/
K_\J`diXeJ`[[_Xik_XKXiX9\e\ÔkKiljk
+ 8kk_\Y\^`ee`e^f]k_\p\Xi (#)'#*'#-+/ ++%(+ (#)'#*'#-+/ ++%(+
;Xk\n`j\@eZi\Xj\&;\Zi\Xj\`eGifdfk\ij Ef:_Xe^\
Shareholding during the year
8kk_\\e[f]k_\p\Xi`%\%XjfeDXiZ_*(#)'(0 (#)'#*'#-+/ ++%('

ANNUAL REPORT 2018-19

84
STATUTORY REPORTS

Sl. Particulars J_Xi\_fc[`e^Xkk_\Y\^`ee`e^ :ldlcXk`m\J_Xi\_fc[`e^

No. f]k_\p\XiXjfe8gi`c(#)'(/ [li`e^k_\p\Xi
No. of shares % of total No. of shares % of total
shares of the shares of the
:fdgXep :fdgXep
K_\9i`e[XCXcKiljk
, 8kk_\Y\^`ee`e^f]k_\p\Xi +#/,#.'. (%./ +#/,#.'. (%./
;Xk\n`j\@eZi\Xj\&;\Zi\Xj\`eGifdfk\ij Ef:_Xe^\
Shareholding during the year
8kk_\\e[f]k_\p\Xi`%\%XjfeDXiZ_*(#)'(0 +#/,#.'. (%./
BXimXejXiX`@em\jkd\ekjGi`mXk\C`d`k\[
- 8kk_\Y\^`ee`e^f]k_\p\Xi (,#(+* '%'- (,#(+* '%'-
;Xk\n`j\@eZi\Xj\&;\Zi\Xj\`eGifdfk\ij Ef:_Xe^\
Shareholding during the year
8kk_\\e[f]k_\p\Xi`%\%XjfeDXiZ_*(#)'(0 (,#(+* '%'-

 `m  J_Xi\_fc[`e^GXkk\ief]kfgk\eJ_Xi\_fc[\ijfk_\ik_Xe;`i\Zkfij#Gifdfk\ijXe[?fc[\ijf]>;Ij
Xe[8;Ij 1

Sl. KfgK\eJ_Xi\_fc[\ij J_Xi\_fc[`e^Xkk_\Y\^`ee`e^ J_Xi\_fc[`e^Xkk_\\e[f]k_\

No. f]k_\p\XiXjfe8gi`c(#)'(/ p\XiXjfeDXiZ_*(#)'(0
No. of shares % of total No. of shares % of total
shares of the shares of the
:fdgXep :fdgXep
(%ÀÀÀÀ <lifgXZ`ÔZ>ifnk_=le[7 -#+-#'+0 )%*. +#.0#,'/ (%.-
)%ÀÀÀÀ Government of Singapore7 (#/,#/,, '%-/ *#-)#+,) (%**
*%ÀÀÀÀ Capital World Growth and Income Fund^^ - - *#,'#''' (%)/
+%ÀÀÀÀ DXkk_\nj@e[`X=le[7 )#--#,*0 '%0/ )#--#,*0 '%0/
,%ÀÀÀÀ Dfk`cXcFjnXcDfjk=fZlj\[Dlck`ZXg*,=le[7 (#/+#,.. '%-/ )#,-#,/' '%0+
-%ÀÀÀÀ N=8j`XeJdXcc\i:fdgXe`\j=le[C`d`k\[^^ (#(+#-./ '%+) )#*.#/'0 '%/.
.%ÀÀÀÀ MXe^lXi[<d\i^`e^DXib\kjJkfZb@e[\o=le[#8 )#)/#('. '%/+ )#('#0). '%..
j\i`\jf]MXe^lXi[@ek\ieXk`feXc<hl`kp@e[\o=le[7
/%ÀÀÀÀ MXe^lXi[KfkXc@ek\ieXk`feXcJkfZb@e[\o=le[7 (#.0#--/ '%-- )#'-#(0. '%.-
0%ÀÀÀÀ :Xik`ZX:Xg`kXcCk[7 )#.+#).) (%'( (#0+#.,. '%.(
('%ÀÀ @em\jkfi<[lZXk`feXe[Gifk\Zk`fe=le[8lk_fi`kp (#.(#,(/ '%-* (#//#'-. '%-0
D`e`jkipf]:figfiXk\8ùX`ij7
((%ÀÀ E\nNfic[=le[@E:! )#//#+'' (%'- ./#+'' '%)0
()%ÀÀ Jk\X[m`\n:Xg`kXcDXli`k`ljC`d`k\[! )#)/#0.* '%/+ (#*,#,., '%,'
Efk\1Dfi\k_Xe0/%,'f]k_\J_Xi\jf]k_\:fdgXepXi\_\c[`e[\dXk\i`Xc`j\[]fid#Xe[Xi\n`[\cpkiX[\[fe[X`cpYXj`j%K_\i\]fi\#k_\[Xk\n`j\`eZi\Xj\&
[\Zi\Xj\`ej_Xi\_fc[`e^`jefk`e[`ZXk\[%

78dfe^jkZfddfekfgk\eJ_Xi\_fc[\ijXjfe8gi`c(#)'(/Xe[DXiZ_*(#)'(0%

!8dfe^jkkfgk\eJ_Xi\_fc[\ijfecpXjfe8gi`c(#)'(/%

UU8dfe^jkkfgk\eJ_Xi\_fc[\ijfecpXjfeDXiZ_*(#)'(0%

 m  J_Xi\_fc[`e^f];`i\ZkfijXe[B\pDXeX^\i`XcG\ijfee\c1

J@% =fi\XZ_f]k_\;`i\ZkfiXe[BDG J_Xi\_fc[`e^Xkk_\Y\^`ee`e^f] :ldlcXk`m\J_Xi\_fc[`e^

No. k_\p\XiXjfe8gi`c(#)'(/ [li`e^k_\p\Xi
No. of Shares % of total No. of Shares % of total
shares of the shares of the
:fdgXep :fdgXep
(% Di%J`[[_Xik_XCXc#DXeX^`e^;`i\Zkfi
8kk_\Y\^`ee`e^f]k_\p\Xi )#0+#-0+ (%'/ )#0+#-0+ (%'/
;Xk\n`j\@eZi\Xj\&;\Zi\Xj\`eJ_Xi\_fc[`e^ Ef:_Xe^\
8kk_\\e[f]k_\p\Xi`%\%#DXiZ_*(#)'(0 )#0+#-0+ (%'/
)% Di%J%JXe[`cpX#:_X`idXeXe[Efe$<o\Zlk`m\@e[\g\e[\ek;`i\Zkfi
8kk_\Y\^`ee`e^f]k_\p\Xi ((#.-- '%'+ ((#.-- '%'+

EICHER MOTORS LIMITED

 85

J@% =fi\XZ_f]k_\;`i\ZkfiXe[BDG J_Xi\_fc[`e^Xkk_\Y\^`ee`e^f] :ldlcXk`m\J_Xi\_fc[`e^

No. k_\p\XiXjfe8gi`c(#)'(/ [li`e^k_\p\Xi
No. of Shares % of total No. of Shares % of total
shares of the shares of the
:fdgXep :fdgXep
;Xk\n`j\@eZi\Xj\&;\Zi\Xj\`eJ_Xi\_fc[`e^ Ef:_Xe^\
8kk_\\e[f]k_\p\Xi`%\%#DXiZ_*(#)'(0 ((#.-- '%'+
*% Di%CXc`kDXc`b#:_`\]=`eXeZ`XcFøZ\i
8kk_\Y\^`ee`e^f]k_\p\Xi )#/0( '%'( )#/0( '%'(
;Xk\n`j\@eZi\Xj\&;\Zi\Xj\`eJ_Xi\_fc[`e^
JXc\fejkfZb\oZ_Xe^\feFZkfY\i((#)'(/ )#.(, '%'( (.- '%''
8ccfkd\ekf]j_Xi\jle[\i<JFG#)''-fe +#''' '%'( +#(.- '%'(
Efm\dY\i()#)'(/
8kk_\\e[f]k_\p\Xi`%\%#DXiZ_*(#)'(0 +#(.- '%'(
+% Di%DXe_XiBXgffi#>\e\iXc:flej\c:fdgXepJ\Zi\kXip
8kk_\Y\^`ee`e^f]k_\p\Xi ' '%'' ' '%''
;Xk\n`j\@eZi\Xj\&;\Zi\Xj\`eJ_Xi\_fc[`e^
8ccfkd\ekf]j_Xi\jle[\i<JFG#)''-fe .'' '%'' .'' '%''
DXp0#)'(/
JXc\fejkfZb\oZ_Xe^\feDXp)+#)'(/ )+' '%'' +-' '%''
JXc\fejkfZb\oZ_Xe^\fe8l^ljk(-#)'(/ )/' '%'' (/' '%''
JXc\fejkfZb\oZ_Xe^\fe=\YilXip))#)'(0 (/' '%'' ' '%''
8kk_\\e[f]k_\p\Xi`%\%#DXiZ_*(#)'(0 ' '%''

V. INDEBTEDNESS
 @e[\Yk\[e\jjf]k_\:fdgXep`eZcl[`e^`ek\i\jkflkjkXe[`e^&XZZil\[Ylkefk[l\]figXpd\ek
8dflek`eIj%
J\Zli\[CfXej Lej\Zli\[ KiX[\GXpXYc\j$ ;\gfj`k Total
<oZcl[`e^;\gfj`kj CfXej 8ZZ\gkXeZ\j @e[\Yk\[e\jj
@e[\Yk\[e\jjXkk_\Y\^`ee`e^f]k_\
=`eXeZ`XcP\XiXjfe8gi`c(#)'(/
` Gi`eZ`gXc8dflek - - /,#0/#()#+(( - 85,98,12,411
`` @ek\i\jk[l\YlkefkgX`[ - - - - -
``` @ek\i\jkXZZil\[Ylkefk[l\ - - - - -
KfkXc`"``"``` - - /,#0/#()#+(( - 85,98,12,411
:_Xe^\`e`e[\Yk\[e\jj[li`e^k_\
Financial Year
Š Addition - ((#)*#*)#,-' ,#(,#.,#)*#,,, - 5,26,98,56,115

Š Reduction - - ,#*-#,/#(.#.,. - 5,36,58,17,757

E\k:_Xe^\ - ((#)*#*)#,-' )'#/)#0+#)') - (9,59,61,642)
@e[\Yk\[e\jjXkk_\\e[f]k_\
=`eXeZ`XcP\XiXjfeDXiZ_*(#)'(0
` Gi`eZ`gXc8dflek - ((#(*#.,#/+* -,#(,#(/#)'0 - 76,28,94,052
`` @ek\i\jk[l\YlkefkgX`[ - 0#,-#.(. - - 9,56,717
``` @ek\i\jkXZZil\[Ylkefk[l\ - - - - -
KfkXc`"``"``` - 11,23,32,560 65,15,18,209 - 76,38,50,769

ANNUAL REPORT 2018-19

86
STATUTORY REPORTS

VI. REMUNERATION OF DIRECTORS AND KEY MANAGERIAL PERSONNEL

 8% I<DLE<I8K@FEKFD8E8>@E>;@I<:KFI#N?FC<$K@D<;@I<:KFIJ8E;&FID8E8><I1
8dflek`eIj%
Sl. No. GXik`ZlcXijf]I\dle\iXk`fegX`[[li`e^k_\p\Xi EXd\f]D;&NK;&DXeX^\i KfkXc8dflek
Mr. Siddhartha Lal-
DXeX^`e^;`i\Zkfi
(% >ifjjjXcXip!
X  JXcXip *#./#.*#0** 3,78,73,933
Y  MXcl\f]g\ihl`j`k\j *#-)#.'#-(- 3,62,70,616
Z  GifÔkj`ec`\lf]jXcXip - -
)% JkfZbFgk`fe - -
*% Jn\Xk<hl`kp - -
+% Commission - -
$ Xjf]gifÔk - -
- others +#/'#''#''' 4,80,00,000
,% Fk_\ij#gc\Xj\jg\Z`]p - -
KfkXc8 ()#)(#++#,+0 12,21,44,549
:\`c`e^Xjg\ik_\8Zk 1,54,01,99,025
 !Di%J`[[_Xik_XCXc$DXeX^`e^;`i\Zkfi`jXEfe$i\j`[\ek@e[`Xe%?`jjXcXipXe[mXcl\f]g\ihl`j`k\jXjXYfm\`jZXcZlcXk\[Xjg\ik_\cXnjf]Le`k\[B`e^[fdn_\i\
_\gi\j\ekcpi\j`[\j%

 9% I<DLE<I8K@FEKFFK?<I;@I<:KFIJ1
8dflek`eIj%
Sl. Particulars of Name of Directors KfkXc8dflek
No. I\dle\iXk`fegX`[
[li`e^k_\p\Xi
(% Independent Directors Di%J% Di%Gi`pX Di%D%A% Di%GiXk\\b Dj%DXem` Di%@e[\i
Sandilya 9iXk# JlYYX`X_# AXcXe# Sinha Df_XeJ`e^_!
› =\\]fiXkk\e[`e^ +#)'#''' - - )#)'#''' *#*'#''' (#)'#''' 10,90,000
9fXi[&:fdd`kk\\
meetings
› :fdd`jj`fe ,*#)+#''' )#('#,*0 0#0/#''/ ))#-/#)'' 0#0/#''/ - 97,98,755
› Fk_\ij#gc\Xj\jg\Z`]p - - - - - - -
Total (1) 57,44,000 2,10,539 9,98,008 24,88,200 13,28,008 1,20,000 1,08,88,755
)% Fk_\iEfe$<o\Zlk`m\ -
Directors
› =\\]fiXkk\e[`e^ - - - - - - -
9fXi[&:fdd`kk\\
meetings
› :fdd`jj`fe - - - - - - -
› Fk_\ij#gc\Xj\jg\Z`]p - - - - - - -
Total (2) - - - - - - -
KfkXc9 4(") 57,44,000 2,10,539 9,98,008 24,88,200 13,28,008 1,20,000 1,08,88,755
KfkXcDXeX^\i`Xc 13,30,33,304
I\dle\iXk`fe8"9
Fm\iXcc:\`c`e^Xjg\ik_\8Zk((f]k_\e\kgifÔkjf]k_\:fdgXep# 3,38,84,37,855
Zfdglk\[Xjg\iJ\Zk`fe(0/f]k_\:fdgXe`\j8Zk#)'(*
#
Di%Gi`pX9iXk#Di%D%A%JlYYX`X_Xe[Di%GiXk\\bAXcXe#Efe$<o\Zlk`m\@e[\g\e[\ek;`i\Zkfiji\j`^e\[]ifdk_\9fXi[n%\%]Ale\(-#)'(.#DXiZ_*(#)'(/Xe[
FZkfY\i(*#)'(/i\jg\Zk`m\cp%
 !Di% @e[\i Df_Xe J`e^_ nXj Xggf`ek\[ Yp k_\ 9fXi[ Xj Xe X[[`k`feXc ;`i\Zkfi @e[\g\e[\ek  n%\%]% Efm\dY\i ()# )'(/# jlYa\Zk kf i\hl`j`k\ XggifmXc f] k_\
j_Xi\_fc[\ij%

EICHER MOTORS LIMITED

 87

:% I<DLE<I8K@FEKFB<PD8E8><I@8CG<IJFEE<CFK?<IK?8ED;&D8E8><I&NK;1

8dflek`eIj%
Sl. GXik`ZlcXijf]I\dle\iXk`fegX`[[li`e^k_\p\Xi B\pDXeX^\i`XcG\ijfee\c
No. :fdgXepJ\Zi\kXip CFO Total
(% Gross salary
X J  XcXipXjg\igifm`j`fejZfekX`e\[`eJ\Zk`fe(.(  0'#++#,-) (#/0#.-#--0 2,80,21,231
f]k_\@eZfd\$kXo8Zk#(0-(
Y M  Xcl\f]g\ihl`j`k\jl&j(.) @eZfd\$kXo8Zk#(0-( ,+#.00 )'#(,#/(/ 20,70,617
Z G  ifÔkj`ec`\lf]jXcXiple[\iJ\Zk`fe(.*  - - -
@eZfd\$kXo8Zk#(0-(
)% JkfZbFgk`fe (#'.#(+#,-/ )#,/#)+#*'' 3,65,38,868
*% Jn\Xk<hl`kp - - -
+% Commission - - -
,% Fk_\ij#gc\Xj\jg\Z`]p - - -
Total 1,98,13,929 4,68,16,787 6,66,30,716

VII. PENALTIES/PUNISHMENT/COMPOUNDING OF OFFENCES

 K_\i\n\i\efg\eXck`\j#gle`j_d\ekfiZfdgfle[`e^f]fù\eZ\j[li`e^k_\p\Xi\e[\[DXiZ_*(#)'(0le[\ik_\
:fdgXe`\j8Zk#)'(*%

ANNUAL REPORT 2018-19

88
STATUTORY REPORTS

CORPORATE GOVERNANCE
REPORT
1. THE COMPANY’S PHILOSOPHY ON CODE
OF CORPORATE GOVERNANCE
Corporate Governance continues to be a strong focus
area for the Company.
Our philosophy on Corporate Governance in Eicher
emanates from resolute commitment to protect
stakeholder’s rights and interest, proactively manage
risks and create long-term wealth and value. It
permeates in all aspects of working - workplace
management, marketplace responsibility, community
engagement and business decisions.
The Code of Conduct(s)/Company’s Policies and the
governance are based on the corporate principles and
strong emphasis laid on transparency, accountability,
integrity and compliance.
The governance processes of the Company include
creation of empowered sub-committees of the Board
to oversee the functions of executive management.
These sub-committees of the Board mainly comprise
Non-Executive Directors and Independent Directors,
which meet and deliberate regularly to discharge their
obligations.
In India, Corporate Governance standards for listed
companies are regulated by the Securities and Exchange
Board of India (Listing Obligations and Disclosure
Requirements) Regulations, 2015 [SEBI (LODR)
Regulations, 2015]. The Company has adopted best
practices contained in SEBI (LODR) Regulations, 2015.

2. BOARD OF DIRECTORS
2.1 Composition, Meetings, Attendance, Other Directorship, Chairmanship and Membership
  K_\9fXi[`ji\jgfej`Yc\]fik_\dXeX^\d\ekf]k_\XùX`ijf]k_\:fdgXep%8jfeDXiZ_*(#)'(0#k_\9fXi[jki\e^k_
consists of four directors comprising three Non-Executive Independent Directors of which one is a woman director
Xe[fe\<o\Zlk`m\;`i\Zkfi%=`m\9fXi[d\\k`e^jn\i\_\c[[li`e^k_\ÔeXeZ`Xcp\Xi\e[\[DXiZ_*(#)'(0#fe8gi`c)#
2018, May 9, 2018, August 9, 2018, November 12, 2018 and February 11, 2019. Details about attendance in the Board
meetings and other details of the directors are given below:

Sl. No. Name of the Category No. of Whether Number of Number of Committee
Director Board attended the Directorship Memberships /Chairmanships
Meetings 36th AGM held on held in other held in other Companies#
attended August 10, 2018 Companies#
Memberships* Chairmanships*
(1) (2) (3) (4) (5) (6) (7) (8)
1. Mr. S. Sandilya Chairman-Non-Executive 5 Yes 4 1 3
DIN: 00037542 Independent Director
2. Mr. Siddhartha Lal Promoter –Managing 5 Yes 1 - -
DIN: 00037645 Director
3. Ms. Manvi Sinha Non-Executive 5 Yes - - -
DIN: 07038675 Independent Director
4. Mr. Inder Mohan Singh^ Non-Executive 2 N.A. - - -
DIN: 07114750 Independent Director

Notes: * For the purpose of reckoning the limit, chairmanship(s)/

^ Mr. Inder Mohan Singh has been appointed by the
Board as Non-Executive Independent Director w.e.f.
November 12, 2018, for a period of 5 consecutive
years, subject to requisite approval of the shareholders
at the forthcoming AGM.
#
For the purpose of this disclosure public limited
companies, whether listed or not, are included and all
other companies including private limited companies,
foreign companies and companies registered under
Section 8 of the Companies Act, 2013 or Section 25 of
the Companies Act, 1956 are excluded.
membership(s) of the Audit Committee and the
Stakeholders' Relationship Committee alone
Xi\ÀZfej`[\i\[%
During the year under review, Mr. Prateek Jalan,
Non-Executive Independent Director of the company
resigned from the Board w.e.f. October 13, 2018, due
to personal reasons. He attended three meetings of
Board of Directors held on April 2, 2018, May 9, 2018
and August 9, 2018. He also attended 36th AGM of the
Company held on August 10, 2018.

EICHER MOTORS LIMITED


The Board at its meeting held on April 1, 2019,
appointed Mr. Vinod Kumar Dasari as Additional
Director (Whole-time) and Mr. Vinod Kumar Aggarwal
as Additional Director (Non-Executive) of the
:fdgXep#]fiXg\i`f[f]Ôm\Zfej\Zlk`m\p\Xij
w.e.f. April 1, 2019 subject to requisite approval of the
shareholders at the forthcoming AGM.
None of the director hold chairmanship of the Board
:fdd`kk\\j`e\oZ\jjf]k_\dXo`dldZ\`c`e^f]Ôm\
and membership in excess of the maximum ceiling of
k\eXjjg\Z`Ô\[le[\iI\^lcXk`fe)-f]J<9@CF;I 
Regulations, 2015. No Director of the Company is
related to any other director on the Board. Mr. Sandilya
is also a Non-Executive Independent Director in Mastek
Limited (Chairman), Rane Brake Lining Limited and
GMR Infrastructure Limited, all being listed companies.
No independent director serves as a Whole-time
Director/Managing Director in any other listed
company. Further, None of the Directors of the
Company, holds Directorship/Independent Directorship
in more than seven listed companies, as provided under
Regulation 17A of SEBI (LODR) Regulations, 2015.
Your Company’s Board has an optimum combination
of Executive, Non-Executive and Independent
Directors with one Independent woman Director, as
per the requirements of Regulation 17 of SEBI (LODR)
Regulations, 2015. The composition of the Board is
as per the requirements of SEBI (LODR) Regulations,
2015 and the Companies Act, 2013. In the opinion of
the Board, the Independent Directors of the company
d\\kXcck_\Zi`k\i`XXe[Zfe[`k`fejjg\Z`Ô\[YpJ<9@
(LODR) Regulations, 2015 and the Companies Act,
2013 and are Independent of the Management. None
of the Directors of the Company have been debarred
fi[`jhlXc`Ô\[]ifdY\`e^Xggf`ek\[fiZfek`el`e^Xj
directors of companies by SEBI or Ministry of Corporate
8ùX`ijfiXepfk_\ijlZ_Xlk_fi`kp%K_\:fdgXep_Xj
XcjffYkX`e\[XZ\ik`ÔZXk\f]k_\GiXZk`j`e^:fdgXep
Secretary in this regard.
The Company has appointed separate persons to the
gfjkf]k_\:_X`idXeXe[k_\:_`\]<o\Zlk`m\FøZ\i%
Mr S. Sandilya is the Chairman of the Board of Directors
and Mr. Siddhartha Lal is the Managing Director and
:_`\]<o\Zlk`m\FøZ\if]k_\:fdgXep%Di%JXe[`cpX`j
efki\cXk\[kfDi%J`[[_Xik_XCXcXjg\ik_\[\Ôe`k`fe
f]k_\k\idÈi\cXk`m\É[\Ôe\[le[\ik_\:fdgXe`\j
8Zk#À)'(*%
2.2. Appointment of Directors
Directors are appointed or re-appointed with the
approval of the shareholders and shall remain in
89
føZ\`eXZZfi[XeZ\n`k_k_\gifm`j`fejf]k_\
law and terms and conditions of appointment.
The Company has issued letter of appointment
to all the Independent Directors and the terms
and conditions of their appointment have
been disclosed on the Company’s website www.
eichermotors.com.
While formulating and approving policies
concerning appointment of directors and other
j\e`fiføZ\ij#YfXi[[`m\ij`kp#i\dle\iXk`feXe[
evaluation, the Board seeks to ensure business
continuity with due weightage to succession
planning.
2.3. Information supplied to the Board
The required information, including information as
enumerated under Regulation 17(7) read with Part
A of Schedule II of the SEBI (LODR) Regulations,
2015 is made available to the Board of Directors,
for discussions and consideration at the quarterly
Board Meetings.
2.4. Separate Meeting of Independent Directors
As stipulated by the Code of Independent Directors
under the Companies Act, 2013 and the SEBI
(LODR) Regulations, 2015, a separate meeting
of the Independent Directors of the Company
was held on May 9, 2018, without the attendance
of non-independent Director and members of
management to:
(a) review the performance of non-independent
Director and the Board as a whole;
(b) review the performance of the Chairperson of
the Company, taking into account the views
of Executive Director and Non-Executive
Directors;
(c) assess the quality, quantity and timeliness of
flow of information between the Company’s
management and the Board that is necessary
]fik_\9fXi[kf\ù\Zk`m\cpXe[i\XjfeXYcp
perform their duties.
2.5. Shareholding of Non-Executive Directors
As on March 31, 2019, Mr. S. Sandilya, Chairman
and Non-Executive Independent Director of the
Company holds 11,766 equity shares in the Company
and Mr. Vinod Kumar Aggarwal, appointed as an
8[[`k`feXc;`i\ZkfiEfe$<o\Zlk`m\ n`k_\ù\Zk
from April 1, 2019, holds 6,700 equity shares in the
Company. Other Non-Executive Directors viz. Mr.
Inder Mohan Singh and Ms. Manvi Sinha do not hold
any shares in the Company. The Company has not
issued any convertible instruments.
ANNUAL REPORT 2018-19
90
STATUTORY REPORTS
2.6. Familiarization Programme for Independent
Directors
The Company has a programme to familiarize
Independent Directors with regard to their roles,
rights, responsibilities in the Company, nature of
the industry in which the Company operates, the
business models of the Company, major statutory
updates etc. and the same is available on the
weblink http://www.eicher.in/familiarization-
program.
2.7. Skills/expertise/competencies of the Board
The Board recongnises certain skills/expertise/
competencies that are required by it to function
\ù\Zk`m\cp`ek_\Zfek\okf]Ylj`e\jjf]k_\
Company and which inter alia consist of experience
& knowledge of the automobile industry, technical
skills & specialist knowledge in various areas. Board
d\dY\ij_Xm\j`^e`ÔZXek\og\i`\eZ\Xe[\og\ik`j\
in the areas of corporate governance, strategy,
ÔeXeZ\#\e^`e\\i`e^#XlkfdfY`c\`e[ljkip#d\[`X
and public relations, law and general management.
The Company gains immensely from the strategic
vision and insights provided by Directors.
The Board is of the opinion that all Directors
possess personal attributes in addition to sound
professional knowledge and experience and
contribute to the collective skills expertise/
competencies that are required in the Company’s
industry and business environment.
3. AUDIT COMMITTEE
Composition and terms of reference of the Audit
Committee of Directors of the Company are in conformity
with the provisions of Section 177 of the Companies Act,
2013 and Regulation 18 of SEBI (LODR) Regulations, 2015,
n`k_Xccd\dY\ijY\`e^ÔeXeZ`Xccpc`k\iXk\Xe[dfjk_Xm`e^
XZZflek`e^fii\cXk\[ÔeXeZ`XcdXeX^\d\ek\og\ik`j\%
As on March 31, 2019, Audit Committee consists of two
Non-Executive Independent Directors and one Executive
Director. The role of the Audit Committee is inter alia to
provide directions to and oversee the internal audit and
i`jbdXeX^\d\ek]leZk`fej#i\m`\nf]ÔeXeZ`Xci\jlckj
Xe[XeelXcÔeXeZ`XcjkXk\d\ekj#`ek\iXZkn`k_jkXklkfip
auditors and carry out such other matters as are required
in terms of the Companies Act, 2013 and SEBI (LODR)
Regulations, 2015.
3.1 Major terms of reference
  `  Fm\ij`^_kf]k_\:fdgXepËjÔeXeZ`Xci\gfik`e^
gifZ\jjXe[k_\[`jZcfjli\f]`kjÔeXeZ`Xc
`e]fidXk`fekf\ejli\k_Xkk_\ÔeXeZ`Xc
jkXk\d\ek`jZfii\Zk#jløZ`\ekXe[Zi\[`Yc\2
(ii) Recommending the appointment and removal
f]\ok\ieXcXl[`kfij#ÔoXk`fef]Xl[`k]\\Xe[
also approval for payment for any other
services;
EICHER MOTORS LIMITED
(iii) Reviewing with the management the quarterly,
_Xc]p\XicpXe[XeelXcÔeXeZ`XcjkXk\d\ekj
and auditors’ report thereon before
submission to the Board for approval;
  `m  I\m`\n`e^k_\:fdgXepËjÔeXeZ`XcXe[i`jb
management policies;
(v) Review and monitor the Auditor’s
independence and performance, and
\ù\Zk`m\e\jjf]Xl[`kgifZ\jj2
  m`  8ggifmXcfiXepjlYj\hl\ekdf[`ÔZXk`fe
of transactions of the Company with related
parties;
(vii) Scrutiny of inter-corporate loans and
investments;
(viii) Valuation of assets of the company, whenever
it is necessary;
  `o  <mXclXk`fef]`ek\ieXcÔeXeZ`XcZfekifcjXe[
risk management systems;
(x) Reviewing, with the management, performance
of statutory and internal auditors, adequacy
of the internal control systems;
(xi) Reviewing the adequacy of internal audit
function, if any, including the structure
f]k_\`ek\ieXcXl[`k[\gXikd\ek#jkXøe^
Xe[j\e`fi`kpf]k_\føZ`Xc_\X[`e^k_\
department, reporting structure coverage and
frequency of internal audit;
(xii) Discussion with internal auditors of any
j`^e`ÔZXekÔe[`e^jXe[]fccfnlgk_\i\fe2
  o```  I\m`\n`e^k_\Ôe[`e^jf]Xep`ek\ieXc
investigations by the internal auditors into
matters where there is suspected fraud or
irregularity or a failure of internal control
systems of a material nature and reporting the
matter to the board;
(xiv) Discussion with statutory auditors before
the audit commences, about the nature
and scope of audit as well as post-audit
discussion to ascertain any area of concern;
(xv) To review the functioning of the whistle blower
mechanism;
(xvi) Reviewing the utilization of loans and/ or
advances to/investment in the subsidiary
company exceeding Rs. 100 crore or 10% of
the asset size of the subsidiary, whichever is
lower;
(xvii) Carrying out any other function as is
mentioned in the terms of reference of the
audit committee.
The Company has systems and procedures in place to
ensure that the Audit Committee mandatorily reviews:
 91

(i) management discussion and analysis of various measures and initiatives taken by the listed
ÔeXeZ`XcZfe[`k`feXe[i\jlckjf]fg\iXk`fej2 entity for reducing the quantum of unclaimed dividends
(ii) statement of related party transactions and ensuring timely receipt of dividend warrants/annual
submitted by management; reports/statutory notices, if any, by the shareholders of
the Company.
(iii) internal audit reports relating to internal
control weaknesses; 4.1 Meetings and Attendance
(iv) management letters/ letters of internal Four Meetings of the Stakeholders’ Relationship
control weaknesses issued by the statutory Committee of Directors were held during the
auditors, if any. Financial Year ended March 31, 2019 on May 9,
2018, August 9, 2018, November 12, 2018 and
3.2 Meetings and Attendance February 11, 2019. The name of the Member and
Five Meetings of the Audit Committee of Directors Chairperson of the Committee and attendance
were held during the Financial Year ended March 31, details are as under:
2019 on April 2, 2018, May 9, 2018, August 9, 2018,
November 12, 2018 and February 11, 2019. The
Sl. Name Chairperson/ No. of No. of
name of Members, Chairperson of the Committee No. Member meetings meetings
and their attendance details are as under: which the attended
member
was eligible
Sl. Name Chairman/ No. of No. of to attend
No. Member meetings meetings
1. Ms. Manvi Sinha Chairperson 4 4
which the attended
member 2. Mr. S. Sandilya Member 4 4
was eligible
to attend The Board at its meeting held on April 1, 2019,
1. Mr. S. Sandilya Chairman 5 5 has appointed Mr. Inder Mohan Singh, Non-
2. Mr. Siddhartha Lal Member 5 5 Executive Independent Director, as member of
3. Ms. Manvi Sinha* Member 2 2 the Stakeholders’ Relationship Committee of the
* The Board at its Meeting held on November 12, 2018, appointed Ms. Manvi Company, thereby increasing the total number of
Sinha, Non-Executive Independent Director as Member of the Audit members to 3 (three).
Committee

The Managing Director and the Chief Financial

During the year under review, Mr. Prateek Jalan,
FøZ\iXi\`em`k\[Xkk_\JkXb\_fc[\ijËI\cXk`fej_`g
Non-Executive Independent Director and a member
Committee meetings as required. Mr. Manhar
of the Audit Committee resigned from the Board
Kapoor, General Counsel & Company Secretary acts
w.e.f. October 13, 2018. He attended three meetings
as the Secretary to the Stakeholders’ Relationship
of the Audit Committee held on April 2, 2018, May
:fdd`kk\\%?\`jk_\Zfdgc`XeZ\føZ\if]k_\
9, 2018, and August 9, 2018.
Company.
  K_\:_`\]=`eXeZ`XcFøZ\i#k_\?\X[f]@ek\ieXc
Audit and the Statutory Auditors are invited for the 4.2 Status of Complaints
Audit Committee meetings as required. Mr. Manhar
Kapoor, General Counsel & Company Secretary acts Sl. No. Particulars Numbers
as the Secretary to the Audit Committee. 1. Complaints received 58
2. Complaints resolved 56*
4. STAKEHOLDERS’ RELATIONSHIP 3. Pending complaints 6
COMMITTEE ! Flkf]kfkXceldY\if]ZfdgcX`ekji\jfcm\[[li`e^k_\ÔeXeZ`Xcp\Xile[\i
In terms of Regulation 20 of the SEBI (LODR) i\m`\n#+ZfdgcX`ekjn\i\g\ikX`e`e^kfgi\m`fljÔeXeZ`Xcp\Xi%
Regulations, 2015, the Company has a Stakeholders’
Relationship Committee which, as on March 31, 2019, 5. NOMINATION & REMUNERATION
consists of two Non-Executive Independent Directors. COMMITTEE
The Committee looks into the redressal of Shareholders’ The Company has a Nomination & Remuneration
complaints relating to transfer/transmission of shares, Committee comprising three Directors, all being Non-
Non-receipt of Annual Report, Non-receipt of declared Executive Independent Directors as at March 31, 2019.
[`m`[\e[j#`jjl\f]e\n&[lgc`ZXk\Z\ik`ÔZXk\j#^\e\iXc The composition and the role of the Committee are
d\\k`e^j\kZ%#i\m`\nf]d\Xjli\jkXb\e]fi\ù\Zk`m\ in conformity with the provisions of Section 178 of
exercise of voting rights by shareholders, review of Companies Act, 2013 and Regulation 19 of the SEBI
adherence to the service standards adopted by the (LODR) Regulations, 2015.
Company in respect of various services being rendered
by the Registrar & Share Transfer Agent, review of the

ANNUAL REPORT 2018-19

92
STATUTORY REPORTS
5.1 Major terms of Reference
  `  @[\ek`]p`e^g\ijfejn_fXi\hlXc`Ô\[kfY\Zfd\
Directors and who may be appointed in senior
management in accordance with the criteria
laid down and recommending to the Board their
appointment, removal and all remuneration, in
whatever form, payable to senior management;
(ii) Laying down the evaluation criteria for
performance evaluation of Individual
Directors, Board as whole and its Committees;
(iii) Review the implementation and compliance
of the performance evaluation process in
k_\À:fdgXep2
(iv) To decide on whether to extend or continue the
term of appointment of the independent director,
on the basis of the report of performance
evaluation of independent Directors;
(v) Devising a policy on diversity of Board of Directors;
(vi) Formulating the criteria for determining
hlXc`ÔZXk`fej#gfj`k`m\Xkki`Ylk\jXe[
independence of a director and recommend
to the Board of Directors a Policy relating
to the Remuneration of the Directors, Key
Managerial Personnel and other employees.
(vii) To undertake and perform all such functions,
powers of administration and superintendence
of Employee Stock Option Plan – 2006
(ESOP), inter alia as contained under SEBI
J_Xi\9Xj\[<dgcfp\\9\e\Ôkj I\^lcXk`fej#
2014 including any amendments thereof;
(viii) To review and approve any other matter
relating to the aforesaid ESOP which may be
considered necessary and incidental thereto.
5.2 Meetings and Attendance
Five Meetings of the Nomination & Remuneration
Committee of Directors of the Company were
held during the Financial Year ended March 31,
2019 on April 2, 2018, May 9, 2018, August 9,
2018, November 12, 2018 and February 11, 2019.
The names of the Members, Chairperson of the
Committee and attendance details are as under:
Sl. Name Chairperson/ No. of No. of
No. Member meetings meetings
which the attended
member
was eligible
to attend
1. Ms. Manvi Sinha Chairperson^ 5 5
2. Mr. S. Sandilya Member 5 5
3. Mr. Inder Mohan Singh* Member 2 2
^appointed as Chairperson w.e.f. November 12, 2018.
*The Board at its meeting held on November 12, 2018, appointed Mr. Inder
Mohan Singh, Non- Executive Independent Director, as a member of the
Nomination and Remuneration Committee.
EICHER MOTORS LIMITED
During the year under review, Mr. Prateek Jalan,
Non-Executive Independent Director and Chairman
of the Nomination & Remuneration Committee
resigned from the Board w.e.f. October 13, 2018.
He attended three meetings of the Nomination &
Remuneration Committee held on April 2, 2018,
May 9, 2018 and August 9, 2018.
Mr. Manhar Kapoor, General Counsel & Company
Secretary acts as the Secretary to the Nomination
and Remuneration Committee.
5.3 Performance Evaluation Criteria for
Independent Directors
The Company has adopted an Evaluation policy to
evaluate performance of individual Directors, the
Board as a whole and its committees. Nomination
and Remuneration Committee of the Company
_Xjjg\Z`Ô\[k_\dXee\i]fi\ù\Zk`m\\mXclXk`fe
of performance of Board, its committees and
Individual Directors. Evaluation of Individual
Directors including Independent Directors is
carried out by the entire Board, amongst others,
in accordance with the provisions of Code for
Independent Directors as outlined under Schedule
IV, Section 134 & Section 178 of the Companies Act,
2013. Evaluation factors includes various criteria
including thought contribution, business insight,
applied knowledge, etc.
  ;li`e^k_\ÔeXeZ`Xcp\Xile[\ii\m`\n#]fidXc
annual evaluation of the Board, its committees,
the Chairman and individual Directors was carried
out pursuant to the Board Performance Evaluation
Policy on May 9, 2018.
6. CORPORATE SOCIAL RESPONSIBILITY
COMMITTEE
The Company has a Corporate Social Responsibility
Committee of Directors comprising two Non-Executive
Independent Directors and one Executive Director as
at March 31, 2019. The composition and the role of
the Committee are in conformity with the provisions of
Section 135 of Companies Act, 2013.
6.1 Major terms of Reference
(i) Formulating and recommending to the Board,
a Corporate Social Responsibility Policy which
shall indicate the activities to be undertaken
by the Company in the areas or subjects
jg\Z`Ô\[`eJZ_\[lc\M@@kfk_\:fdgXe`\j
Act, 2013.
(ii) Recommending the amount of expenditure
to be incurred on the activities referred to in
Company’s CSR policy.
(iii) Monitoring the CSR Policy of the Company
from time to time.
 93

6.2 Meetings and Attendance Major Terms of Reference:

Three meetings of the Corporate Social Responsibility (i) To assist the Board in formulating the Risk
Committee of the Company were held during the Management Plan and Practices.
Financial Year ended March 31, 2019, on May 9, 2018,
November 12, 2018 and February 11, 2019. The names (ii) To monitor and review risk management plan and
of the Members, Chairperson of the Committee and practices of the Company as approved by the Board.
their attendance details are as under:
8. SHARES COMMITTEE
The Shares Committee of the Company consists of three
Sl. Name of the Chairman/ No. of No. of
No. Member Member meetings meetings members i.e. Mr. Siddhartha Lal - Managing Director
which the attended Di%CXc`kDXc`b$:_`\]=`eXeZ`XcFøZ\iXe[Di%DXe_Xi
member Kapoor–General Counsel & Company Secretary to look
was eligible after and approve requests for transfer/transmission of
to attend
equity shares, dematerialization, issue of duplicate share
1. Mr. S. Sandilya Chairman 3 3
Z\ik`ÔZXk\j#\kZ%;li`e^k_\p\Xile[\ii\m`\n#XccmXc`[
2. Mr. Siddhartha Lal Member 3 3
requests for transfer & transmission of shares in physical
3. Mr. Inder Mohan Singh* Member 2 2
]fid#[lgc`ZXk\`jjl\f]j_Xi\Z\ik`ÔZXk\n\i\gifZ\jj\[
*The Board at its meeting held on November 12, 2018, appointed Mr. Inder within prescribed time.
Mohan Singh, Non-Executive Independent Director, as a member of the
Corporate Social Responsibility Committee.
 ;li`e^k_\ÔeXeZ`Xcp\Xi\e[\[DXiZ_*(#)'(0#(.
During the year under review, Mr. Prateek Jalan, Non- meetings of the Committee were held to approve transfer
Executive Independent Director and a member of the of 5,832 shares, name deletion for 1,126 shares, issue of
Corporate Social Responsibility Committee resigned [lgc`ZXk\j_Xi\Z\ik`ÔZXk\j]fi),#/-.j_Xi\j`eZcl[`e^
from the Board w.e.f. October 13, 2018. He attended j_Xi\Z\ik`ÔZXk\j`jjl\[fejgc`kf]*''j_Xi\j #
Corporate Social Responsibility Committee meeting held transmission of 18,526 shares and dematerialisation
on May 9, 2018. of 75,304 shares. This also includes duplicate share
Z\ik`ÔZXk\j`jjl\[]fi(,#.0*\hl`kpj_Xi\jn_`Z_n\i\
Mr. Manhar Kapoor, General Counsel & Company subsequently transferred and dematerialized for the
Secretary acts as the Secretary to the Corporate Social purpose of transfer to the Investor Education and
Responsibility Committee. Protection Fund Authority (IEPF Authority) pursuant to
the provisions of Section 124 and 125 of the Companies
7. RISK MANAGEMENT COMMITTEE Act, 2013 (Act) and Investor Education and Protection
In terms of Regulation 21 of the SEBI (LODR) Regulations, Fund Authority (Accounting, Audit, Transfer and Refund)
2015, the Company has a Risk Management Committee. Rules, 2016 (Rules).
The constitution of the Risk Management Committee is
in compliance with the above provisions. As on March 31, Further, the Committee approved transfer of 541 equity
2019, the Risk Management Committee consists of two shares of the Company lying in Company’s Suspense
;`i\ZkfijXe[k_\:_`\]=`eXeZ`XcFøZ\i#Xj]fccfnj1 Account and 615 equity shares held in demat accounts
of the shareholders to the IEPF Authority in terms of
Sl. Name Chairman/ Section 124 and 125 of the aforesaid Act and Rules.
No. Member
1. Mr. Siddhartha Lal (Managing Director) Chairman
2. Mr. S. Sandilya (Chairman and Non-Executive Member
Independent Director)
3. Di%CXc`kDXc`b:_`\]=`eXeZ`XcFøZ\i  Member

9. REMUNERATION OF DIRECTORS
9.1 Remuneration to Managing Director
  K_\i\dle\iXk`fef]k_\DXeX^`e^;`i\Zkfi`jÔo\[Ypk_\9fXi[f];`i\ZkfijXe[Xggifm\[Ypj_Xi\_fc[\ij`ek_\8eelXc
>\e\iXcD\\k`e^%K_\[\kX`cjf]i\dle\iXk`fef]DXeX^`e^;`i\Zkfi]fik_\ÔeXeZ`Xcp\Xi\e[\[DXiZ_*(#)'(0`jXjle[\i1
(Rs. in Crores)
Name of the Director Salary Commission Perquisites Service Contract
Tenure Notice period
Mr. Siddhartha Lal, 3.79 5.28 3.63 5 years (Members at their AGM held 3 months’ notice or salary in
Managing Director on June 18, 2016, approved re- lieu of notice for 3 months or for
appointment of Mr. Siddhartha Lal as such period which falls short of
Managing Director w.e.f. May 1, 2016 3 months
up to April 30, 2021)

ANNUAL REPORT 2018-19

94
STATUTORY REPORTS
Total remuneration paid as Salary, Allowances,
Perquisites and Commission is within the limits
approved by the shareholders pursuant to the
provisions of Section 197 read with Section 198
of the Companies Act, 2013 and the rules made
thereunder.
Factors such as industry standards, responsibilities
and performance assessment are considered while
determining the Quantum of Commission to be paid
to the Managing Director.
No sitting fee has been paid to Mr. Siddhartha Lal
and no stock option have been granted to him under
the Company’s Employees Stock Option Plan, 2006,
[li`e^k_\ÔeXeZ`Xcp\Xi\e[\[DXiZ_*(#)'(0%
9.2 Remuneration to Non-Executive and
Independent Directors
The remuneration comprising sitting fees and
commission to Non-Executive and Independent
;`i\Zkfij]fik_\ÔeXeZ`Xcp\Xi\e[\[DXiZ_*(#
2019 is as under:
(Amount in Rs. lacs)
Name of the Director Remuneration
Sitting fee Commission
Mr. S. Sandilya – Chairman and 4.20
Non-Executive Independent
Director
Mr. Prateek Jalan-Non-Executive 2.20
Independent Director^
Ms. Manvi Sinha - Non-Executive 3.30
Independent Director
Mr. Inder Mohan Singh - Non- 1.20
Executive Independent Director*
Total 10.90
^ Mr. Prateek Jalan, Non- executive Independent Director of the Company
resigned from the Board w.e.f. October 13, 2018.
* Board at its meeting held on November 12, 2018, appointed Mr. Inder Mohan
Singh as an Additional Director (Non-Executive Independent).
Criteria of making payment to Non-Executive
Directors: Remuneration paid to Non-Executive
and Independent Directors represents sitting
fees @ CÀ+'#'''&$]fiXkk\e[`e^\XZ_d\\k`e^
of the Board of Directors and @ CÀ)'#'''&$]fi
attending each meeting of the Audit Committee.
Sitting fees @ CÀ('#'''&$`jgX`[]fiXkk\e[`e^
each meeting of Nomination and Remuneration
Committee, Stakeholders’ Relationship Committee
and Corporate Social Responsibility Committee.
Amount of sitting fees as above is approved by the
Board of Directors of the Company.
Shareholders at their 33rd Annual General Meeting
held on March 20, 2015, approved payment of
remuneration by way of commission to the Non-
Executive Directors of the Company not exceeding
(f]k_\e\kgifÔkjf]k_\:fdgXep`e\m\ip
EICHER MOTORS LIMITED
ÔeXeZ`Xcp\Xi#ZXcZlcXk\[`eXZZfi[XeZ\n`k_k_\
provisions of the Companies Act, 2013, for a period
f]Ôm\p\Xijn%\%]%k_\ÔeXeZ`Xcp\Xi\e[\[;\Z\dY\i
31, 2014, in such proportion and in such manner as
may be determined by the Board of Directors.
The aforesaid annual commission approved by the
Board and payable to Non-Executive Independent
;`i\Zkfij`jjlYa\ZkkfXggifmXcf]XeelXcÔeXeZ`Xc
statements by the shareholders at the forthcoming
Annual General Meeting of the Company. Independent
Directors are not entitled to any stock options.
There has been no other material pecuniary
relationship or business transactions by the
Company with any of the Non-Executive and
Independent Director of the Company.
10. SUBSIDIARY COMPANIES
Subsidiary companies of the Company are managed by
their respective Board/ authorised representative having
the rights and obligations to manage such companies
in the best interest of their stakeholders. The Company
monitors performance of unlisted subsidiary companies,
inter alia, by the following means:
(i) Financial statements, in particular, the investments
made by the subsidiary companies are periodically
57.50
reviewed by the Audit Committee of the Company.
(ii) Minutes of Board meetings of subsidiary companies
17.95 are periodically placed before the Company’s
Board.
10.98
 ```  8ccj`^e`ÔZXekkiXejXZk`fejXe[XiiXe^\d\ekj
4.21 entered into by the subsidiary companies are
reviewed periodically by the Board of the Company.
90.64
Mr. Prateek Jalan, a Non-Executive Independent
Director of the Company was also occupying the
position of Director on the Board of VE Commercial
Vehicles Ltd, an unlisted material subsidiary
company (VECV)*, until his resignation on October
13, 2018 from both Company and VECV. Board of
VECV has at its meeting held on May 9, 2019 has
appointed Mr. Inder Mohan Singh, Independent
Director of the Company, as also Independent
Director in VECV.
The Company has also formulated a policy for
determining material subsidiary as required under
Regulation 16 of the SEBI (LODR) Regulations,
2015, and the same is disclosed on the Company’s
website and the web link for the same is
http://www.eicher.in/uploads/1554285869_policy-
for-determining-material-subsidiaries.pdf
*As per Indian Accounting Standards, VECV is considered
as a Joint Venture Company for the purpose of
gi\gXiXk`fef]ÔeXeZ`XcjkXk\d\ekjf]k_\:fdgXep%

11. OTHER DISCLOSURES
11.1 Related Party Transactions
In terms of Indian Accounting Standard-24
on “Related Party Disclosures”, as prescribed
under Section 133 of the Companies Act, 2013,
k_\:fdgXep_Xj`[\ek`Ô\[k_\i\cXk\[gXik`\j
and suitable disclosures relating to details of
transactions with such related parties have been
disclosed in Note No. 45 to the Standalone
Accounts forming part of this Annual Report.
All contracts/arrangements/ transactions entered
`ekfYpk_\:fdgXep[li`e^k_\ÔeXeZ`Xcp\Xi
with the Related Parties are in compliance with
the applicable provisions of the Companies Act,
2013 and SEBI (LODR) Regulations, 2015 and do
not have potential conflicts with the interest of
the Company. Related Party Transactions are also
placed in the Audit Committee Meeting(s) for its
prior approval, wherever required. Audit Committee
also reviews related party transactions entered
into by the Company on quarterly basis. There are
efdXk\i`Xccpj`^e`ÔZXeki\cXk\[gXikpkiXejXZk`fej
[li`e^k_\ÔeXeZ`Xcp\Xi\e[\[DXiZ_*(#)'(0%
The Company has also formulated a policy on
materiality of and dealing with Related Party
Transactions (RPT Policy). This RPT Policy
is available on the website of the Company
and the weblink for the same is http://www.
eicher.in/uploads/1554285759_policy-on-
materiality-of-and-dealing-with-related-party-
transactions-3-4-19.pdf. All the Related Party
Transactions are dealt with in accordance with the
provisions of the Companies Act, 2013, Regulation
23 of the SEBI (LODR) Regulations, 2015 and the
Company’s RPT Policy.
11.2 Compliances by the Company
The Company has complied with the requirements
of the Stock Exchanges, Regulations of SEBI and
other statutory authorities on all matters related
to capital markets during the last three years. No
penalties have been imposed on the Company by
the Stock Exchanges or SEBI or any other statutory
authorities relating to the above.
11.3 Code of Conduct for Directors and Senior
Management
The Board of Directors of the Company has
adopted a Code of Conduct for Directors and
Senior Management which is strictly adhered to
and the same is available on Company’s website
at www.eichermotors.com. All the Board Members
Xe[J\e`fiDXeX^\d\ekG\ijfee\c_Xm\Xøid\[
compliance with the said Code. This Report contains
X[\ZcXiXk`fekfk_`j\ù\Zkj`^e\[YpDXeX^`e^
;`i\Zkfi:_`\]<o\Zlk`m\FøZ\i%
95
  =lik_\i#k_\i\Xi\efdXk\i`Xc#ÔeXeZ`XcXe[
commercial transactions, where the Senior
Management have personal interest that may have
a potential conflict with the interest of the Company
at large.
11.4 Code on Prevention of Insider Trading
As per SEBI (Prohibition of Insider Trading)
Regulations, 2015, the Company, inter alia, adopted
a Code of Conduct for Regulating, Monitoring
and Reporting trading by an Insider (Code). All
Designated Persons of the Company and their
immediate relatives who could have access to
the unpublished price sensitive information of the
Company are governed by this code. The trading
window for dealing in securities of the Company is
closed as per the provisions of the above code.
((%, :<F&:=F:\ik`ÔZXk`fe
  K_\:<FXe[k_\:=Ff]k_\:fdgXep_Xm\Z\ik`Ô\[
to the Board with regard to the compliance in terms
of Regulation 17(8) of SEBI (LODR) Regulations,
)'(,Xe[k_Xkk_\Z\ik`ÔZXk\]fidjgXikf]k_\
Annual Report.
11.6 Status of compliance of Non-Mandatory
requirements under Regulation 27(1) of SEBI
(LODR) Regulations, 2015 read with Part E
of Schedule II thereto
The Company complies with the following non-
mandatory requirements:
1. The Non-Executive Chairman of the Company
`j\ek`kc\[kfdX`ekX`eX:_X`idXejføZ\
at the Company's expense and also allowed
reimbursement of expenses incurred in
performance of his duties.
  )% K_\8l[`kfij_Xm\\ogi\jj\[efhlXc`ÔZXk`fe
in their reports.
3. The Internal Auditor reports directly to the
Audit Committee on quarterly basis.
11.7 Accounting treatment in preparation of the
ÔeXeZ`XcjkXk\d\ekj
  K_\ÔeXeZ`XcjkXk\d\ekj_Xm\Y\\egi\gXi\[
`eXZZfi[XeZ\n`k_@e[8Jefk`Ô\[le[\ik_\
Companies (Indian Accounting Standards) Rules,
)'(,%K_\ÔeXeZ`XcjkXk\d\ekj_Xm\Y\\egi\gXi\[
on the historical cost basis except for certain
ÔeXeZ`Xc`ejkild\ekjk_XkXi\d\Xjli\[Xk]X`i
values at the end of each reporting period.
11.8 Vigil Mechanism/ Whistle Blower Policy
The Board of Directors of the Company has
adopted a Whistle Blower Policy to establish a
vigil mechanism for the Directors, employees,
vendors and dealers of the Company, to report
genuine concerns or grievances including instances
ANNUAL REPORT 2018-19
96
STATUTORY REPORTS
of leak or suspected leak of unpublished price
sensitive information pursuant to SEBI (Prohibition
of Insider Trading) Regulations, 2015 and the
same is available on Company’s website at www.
eichermotors.com. No person has been denied
access to the Audit Committee.
11.9 Dividend Distribution Policy
In Compliance with Regulation 43A of the SEBI
(LODR) Regulations, 2015, the Board of Directors of
the Company has adopted a Dividend Distribution
Policy of the Company. The Dividend Distribution
Policy, inter alia, includes the following:
(i) The circumstances under which the
shareholders may or may not expect
dividend
   K_\:fdgXepÔidcpY\c`\m\j`ek_\g_`cfjfg_p
of payment of Dividend at regular intervals,
n_\e\m\ik_\ÔeXeZ`Xcgfj`k`feXe[fk_\i
factors permit, in addition to creating long
term value for the shareholders of the
Company. The Board shall strive to strike a
balance between payment of dividend at
regular interval and long term wealth creation
for the shareholders.
The Company may decide not to recommend
Xep;`m`[\e[[li`e^XÔeXeZ`Xcp\Xi`e
circumstances where there are losses
fi`eX[\hlXZpf]gifÔkj#n_\i\fk_\i
suitable means are available to reward the
shareholders instead of dividend, where the
ZfdgXepe\\[jkfZfej\im\`kjgifÔkj&jligclj
funds for business plans and other exigencies,
where surplus cash and liquid funds are not
available, amongst others.
``  K_\ÔeXeZ`XcgXiXd\k\ijXe[`ek\ieXc
factors that shall be considered while
declaring dividend
   8dfe^jkfk_\ij#dXafiÔeXeZ`XcgXiXd\k\ij
and internal factors that shall be considered
Xi\E\kGifÔkj]fik_\:lii\ekÔeXeZ`Xc
p\Xi#jligclj`ek_\GifÔkCfjjXZZflek#
availability of Free Reserves, Cash Flow and
c`hl`[`kpgifa\Zk`fej]fie\okk_i\\ÔeXeZ`Xc
years, further Capital infusion requirement
in Company’s subsidiaries/ Joint Ventures,
other investment plans, Company/ Brand
acquisitions and declaration of dividend by
Company’s subsidiaries.
(iii) The external factors that shall be
considered while declaring dividend
External factors that shall be considered
are Economic Environment, Industry
outlook and performance of manufacturing
and other sectors having a bearing on
EICHER MOTORS LIMITED
Company’s performance, Government
policies and regulatory provisions, Industry’s
average Dividend payout and shareholder’s
expectation.
(iv) Utilization of retained earnings by the
Company
Retained earnings may be utilised by the
Company inter alia for business expansion and
upgradation (expansion and modernisation
of production facilities, product development,
market expansions etc.), payment of Dividend,
Buy back of shares etc. Investments and new
Ylj`e\jjfggfikle`k`\j#d\\k`e^ÔeXeZ`Xc
emergencies and other contingencies.
(v) Classes of shares in the Company
Issued, subscribed and paid-up share capital
of the Company consist of only Equity Shares
of face value of Rs. 10/- each. There is no
other class of shares.
The said Policy is available on the Company’s
website www.eichermotors.com
11.10 Sexual Harassment Of Women At Workplace
(Prevention, Prohibition And Redressal) Act,
2013
The Company has zero tolerance towards sexual
harassment at the workplace and towards this end,
has adopted a policy in line with the provisions
of Sexual Harassment of Women at Workplace
(Prevention, Prohibition and Redressal) Act,
2013 (“Act”) and the Rules made thereunder. All
employees (permanent, contractual, temporary,
trainees) are covered under the said policy. An
Internal Complaints’ Committee has also been
set up, in accordance with the aforesaid Act, to
redress complaints received on sexual harassment.
One complaint of sexual harassment was pending
Xkk_\Y\^`ee`e^f]k_\ÔeXeZ`Xcp\Xin_`Z_nXj
investigated and disposed of in the month of April
)'(/%=lik_\i#[li`e^k_\ÔeXeZ`Xcp\Xile[\ii\m`\n#
the Company received one complaint of sexual
harassment. The said complaints were investigated
and disposed of in accordance with the Act and the
Company’s Policy on Prevention, Prohibition and
Redressal of Sexual Harassment at workplace.
The Company also conducts various programs in
the organization on a continuous basis in order to
build awareness in this area. During the year under
review, a survey was also done for getting inputs
from women to understand their issues, challenges
and inviting suggestions.
11.11 The Company and its subsidiaries have paid a
total fees of Rs. 2.89 Crore excluding GST on a
Zfejfc`[Xk\[YXj`j[li`e^k_\ÔeXeZ`Xcp\Xi)'(/$
19 to M/s. S.R. Batliboi & Co., LLP, Statutory Auditors
 97

f]k_\:fdgXepXe[kf`kje\knfibÔidj#]fiXccb`e[ are required to be placed on the website of the

services rendered by them to the Company and to Company.
its subsidiaries.
(v) The following are displayed on the Website of the
Company i.e. www.eichermotors.com:
12. MEANS OF COMMUNICATION
(i) The consolidated quarterly and annual results Business of the Company
are generally published in the Business Standard
Terms and conditions of appointment of
(English) - All editions and Business Standard
Independent Directors
(Hindi), Delhi edition, having wide circulation. The
Standalone and Consolidated quarterly and annual Composition of various committees of the
results of the Company along with limited review Board
reports of the Auditors thereon and/or Auditors’
Whistle Blower Policy
Report are available on the Company’s website at
www.eichermotors.com. In addition, the Company Dividend Distribution Policy
sends standalone and consolidated quarterly and Annual Reports of the Company
annual results to all shareholders whose email ids
are registered with the Company. Policy on materiality of and dealing with
related party transactions
(ii) The Standalone and Consolidated quarterly
and annual results along with limited review Policy for determining material subsidiaries
reports/ Audit Reports of the Auditors thereon, Details of familiarization programmes for
Xi\gifdgkcpÔc\[n`k_k_\JkfZb<oZ_Xe^\j`e Independent Directors
terms of Regulation 30 and 33 of SEBI (LODR)
I\^lcXk`fej#ÀÀ)'(,% Shareholding Patterns

(iii) Public releases are also available on the Company’s  :fdgXepGifÔc\

website. Schedule of Analyst or institutional investor Press Releases
meetings and/or conference call information,
presentations made to them, if any, and the Code of Conduct for the Directors and Senior
transcripts of quarterly results calls are promptly Management
posted on the website of the Company. Contact information - for resolving any
(iv) The Company also disseminate on its website all investor’s queries
[`jZcfjli\jÔc\[n`k_k_\jkfZb\oZ_Xe^\jle[\i Other information as required under
Regulation 30 of SEBI (LODR) Regulations, 2015 Regulation 46 of SEBI (LODR)
and all other information and documents that I\^lcXk`fej#ÀÀ)'(,

13. GENERAL SHAREHOLDER INFORMATION

13.1 Day, date, time and venue of the : Thursday, August 1, 2019 at 10:00 A.M.
Annual General Meeting at Sri Sathya Sai International Centre, Pragati Vihar,
Lodhi Road, New Delhi – 110003
13.2 Financial Year
  K_\ÔeXeZ`Xcp\Xile[\ii\m`\n`jf]()kn\cm\ dfek_j]ifd8gi`c(#)'(/kfDXiZ_*(#)'(0
13.3 General Body Meetings

Year Date Day Time Location Whether passed any

Special Resolution
April 1, 2017 - March 31, 2018 10.08.2018 Friday 11.00 A.M. Sri Sathya Sai International No
(AGM) Centre, Pragati Vihar, Lodhi
Road, New Delhi-110 003
April 1, 2016 - March 31, 2017 08.08.2017 Tuesday 10.00 A.M. Sri Sathya Sai International No
(AGM) Centre, Pragati Vihar, Lodhi
Road, New Delhi-110 003
January 1, 2015- March 31, 2016 18.06.2016 Saturday 10.00 A.M. Shri Ram Centre, 4, Safdar No
(AGM) Hashmi Marg, New Delhi-110001

Notes:
1. No Special Resolutions were passed in the last 3 (three) Annual General Meetings.
2. No Special Resolution was passed through postal ballot last year. Also, no Special Resolutions are proposed to be
conducted through postal ballot.

ANNUAL REPORT 2018-19

98
STATUTORY REPORTS

13.4 Financial Calendar – 2018-2019

Adoption of Quarterly/ Annual Date of Board Date of publication Name of Newspapers

Results for the quarter/year ended Meetings
June 30, 2018 09/08/2018 10/08/2018 Business Standard- All Editions (English), and
(Quarterly Results) Business Standard (Hindi), Delhi Edition
September 30, 2018 12/11/2018 13/11/2018 Business Standard- All Editions (English), and
(Quarterly Results) Business Standard (Hindi), Delhi Edition
December 31, 2018 11/02/2019 12/02/2019 Business Standard- All Editions (English), and
(Quarterly Results) Business Standard (Hindi), Delhi Edition
March 31, 2019 10/05/2019 11/05/2019 Business Standard- All Editions (English), and
(Quarterly & Annual Results) (Proposed) Business Standard (Hindi), Delhi Edition (Proposed)

Tentative Financial Calendar – for the 13.8 Name of Depositories for dematerialisation
ÔeXeZ`Xcp\Xi\e[`e^DXiZ_*(#)')' of equity shares and stock code/symbol
Quarterly results for the quarters ending June 30,
2019, September 30, 2019, December 31, 2019
Name of the depository ISIN No.
and quarterly/annual results for the quarter/
year ending March 31, 2020 will be approved National Securities Depository Limited (NSDL) & INE 066A 01013
in the Board Meetings which will be tentatively Central Depository Services (India) Limited (CDSL)
held in the months of July 2019, November 2019,
February 2020 and May 2020 respectively The equity shares are quoted under the following Code/
jlYa\Zkkfk_\ÔeXc`jXk`fef][Xk\jYpk_\9fXi[ Symbol:
of Directors). Annual General Meeting for the
Financial Year 2019-20 will be tentatively held Stock Exchanges Code / Symbol
in between July-August 2020. The Consolidated BSE Limited, Mumbai (BSE) 505200
quarterly and annual results will likely be published National Stock Exchange of India Limited, EICHERMOT
in the Business Standard (English) in all Editions Mumbai (NSE)
and in Business Standard (Hindi), Delhi Edition.
The Standalone and Consolidated quarterly and 13.9 Registrar and Share Transfer Agent /
annual results will be submitted with the Stock Address for correspondence:
Exchanges. Additionally, the same will be posted Share transfer, transmission, transposition,
on Company’s website at www.eichermotors.com. dematerialisation and other communication
regarding change of address, dividends, share
13.5 Book Closure : July 26, 2019 to August 1, 2019 Z\ik`ÔZXk\j#`em\jkfiZfdgcX`ekj#\kZ%dXpY\
(both days inclusive) addressed to:

Link Intime India Pvt. Ltd.

13.6 Dividend payment date: Dividend, if declared
Registrar and Share Transfer Agent
by the members, will be paid on or before
Noble Heights, 1st Floor, Plot No. NH-2, C-1
August 30, 2019
Block LSC, Block,
13.7 Listing on Stock Exchanges: The equity shares Near Savitri Market,
of the Company are listed on the following Stock Janakpuri, New Delhi-110058
Exchanges: Phone No: +91 11 4141 0592
Fax No: +91 11 4141 0591
BSE Limited E-mail: delhi@linkintime.co.in
Phiroze Jeejeebhoy Towers, Dalal Street.
Members may write for any queries / information to
Mumbai - 400 001, www.bseindia.com
Mr. Manhar Kapoor, General Counsel and Company
Secretary at Eicher Motors Limited, 3rd Floor-
National Stock Exchange of India Ltd.
Select Citywalk, A-3 District Centre, Saket, New
Exchange Plaza, 5th Floor, Plot No. C/1, G Block
Delhi–110017, or at #96, Sector 32, Gurugram-
Bandra-Kurla Complex, Bandra (E)
122001, Haryana, or any query can be sent by email
Mumbai - 400 051, www.nseindia.com
to investors@eichermotors.com.
The annual listing fees has been paid to both the
jkfZb\oZ_Xe^\j]fik_\ÔeXeZ`Xcp\Xi)'(0$)'%

EICHER MOTORS LIMITED

 99

13.10 Market Price Data at BSE and NSE:

April 2018 to BSE NSE

March 2019 High Low Volume High Low Volume
(Rs. per share) (Rs. per share) (No. of Shares) (Rs. per share) (Rs. per share) (No. of Shares)
April 2018 32209.50 27800.00 77065 32236.70 27800.00 786562
May 2018 31424.65 29111.10 27071 31499.00 29100.05 795227
June 2018 30582.50 27736.50 77085 30650.00 27751.60 790678
July 2018 29067.90 26802.00 60503 29124.95 26761.10 1168677
August 2018 29440.00 26670.05 63964 29470.00 26601.00 1061376
September 2018 29799.95 23490.00 125271 29800.00 23523.70 1216209
October 2018 25010.05 20301.10 200799 24999.00 20001.15 2972333
November 2018 25300.00 21200.00 101981 25350.00 21196.75 2002567
December 2018 24349.55 21810.85 63911 24220.00 21800.00 1290278
January 2019 23320.00 18780.00 137299 23293.00 18800.00 3573725
February 2019 22000.00 19107.15 130078 21965.00 19076.05 2518589
March 2019 23341.15 19340.20 160706 23355.00 19320.00 2966363

Share Price Performance Eicher Motors Limited (EML) vs BSE Index

150

140

130

120

110

100

90

80

70

60

50
Apr-18 May-18 Jun-18 Jul-18 Aug-18 Sep-18 Oct-18 Nov-18 Dec-18 Jan-19 Feb-19 Mar-19

Months BSE EML

Note: Base 100 = 1st April 2018

Share Price Performance Eicher Motors Limited (EML) vs NSE Index

150

140

130

120

110

100

90

80

70

60

50
Apr-18 May-18 Jun-18 Jul-18 Aug-18 Sep-18 Oct-18 Nov-18 Dec-18 Jan-19 Feb-19 Mar-19

Months NSE EML

Note: Base 100 = 1st April 2018

ANNUAL REPORT 2018-19

100
STATUTORY REPORTS
13.11 Share transfer system
;li`e^k_\ÔeXeZ`Xcp\Xi\e[\[DXiZ_*(#)'(0#
shares of the Company have been transferred
through Link Intime India Private Limited, the
Registrar and Share Transfer Agent of the Company
and the Shares Committee of the Company approved
the said share transfers. All valid requests for transfer/
transmission of Equity shares held in physical form
are processed within a period of 15 days from the
[Xk\f]i\Z\`gkf]Zfdgc\k\[fZld\ekj&m\i`ÔZXk`fe
Xe[k_\j_Xi\Z\ik`ÔZXk\j[lcpkiXej]\ii\[Xi\
immediately returned to the transferee/lodger.
Details of total number of requests processed
for share transfer, transmission, duplicate share
Z\ik`ÔZXk\j#eXd\[\c\k`fe#[\dXk\i`Xc`qXk`fe
[li`e^k_\ÔeXeZ`Xcp\Xile[\ii\m`\nXi\gifm`[\[
under Clause 8 of this Report.
During the year under review, in terms of amended
provisions of Regulation 40 of the SEBI (Listing
Obligations & Disclosure Requirements) Regulations,
2015, read with National Stock Exchange of India
Limited circular NSE/CML/2018/26 dated July 9,
2018 and BSE circular LIST/COMP/15/2018-19
dated July 5, 2018 and subsequent circulars issued
`ek_`ji\^Xi[#k_\:fdgXepkffbjg\Z`Xc\ùfikj
through its Registrar and Share Transfer Agent by
sending letters including reminder letters to the
shareholders holding shares in physical mode,
advising them to dematerialise their shares on
fiY\]fi\k_\gi\jZi`Y\[[l\[Xk\jg\Z`Ô\[Yp
SEBI by opening a Demat account with any of
the Depository Participants and also sensitizing
them that transfer of shares shall not be allowed
in physical form on and after the prescribed due
date. In this regard the Company also published
newspaper advertisement dated October 18,
2018, in Business Standard, English (All Editions)
and Business Standard, Hindi (Delhi Edition). The
jX`[`e]fidXk`fe_XjXcjfY\\eÔc\[n`k_k_\jkfZb
exchanges and also made available on the website
of the Company www.eichermotors.com.
Accordingly, the Company has not been accepting
requests for transfer of shares held in physical form
13.13 Distribution of shareholding as on March 31, 2019
Category No. of shareholders
1-500 123346
501-1,000 332
1,001-2,000 212
2,001-3,000 100
3,001-4,000 69
4,001-5,000 38
5,001-10,000 111
10,001-50,000 143
50,001-1,00,000 25
1,00,001 and above 31
Total 124407
The Company has not issued any GDRs / ADRs, and there are no outstanding warrants or any convertible instruments.
EICHER MOTORS LIMITED
w.e.f. April 1, 2019 in terms of aforesaid provisions.
Any shareholder who is desirous of transferring
shares, which are held in physical form, after
April 1, 2019, can do so only after the shares are
dematerialised. Shareholders of the Company
may please note that the above amended
provisions are not applicable in case of requests for
transmission (i.e. transfer of title of shares by way of
inheritance/succession) and transposition (i.e. re-
arrangement / interchanging of the order of name
of shareholders).
In terms of provisions of SEBI circular SEBI/HO/
MIRSD/DOP1/CIR/P/2018/73 dated April 20, 2018,
the Company has completed dispatch of letters
including reminder letters to the shareholders
holding shares in physical mode whose PAN/
Bank account details were not registered with the
Company, requesting them to register the same.
Members holding shares in physical form are
requested to register and/or update their PAN/
Bank account details with the Company's Registrar
& Share Transfer Agent and those holding shares in
electronic form shall register/update such details
with their Depository Participants (DPs).
13.12 Dematerialization of shares and liquidity
As per SEBI’s circular dated February 21, 2000, the
Company’s equity shares are under the Compulsory
Demat Category and can only be traded in the
dematerialised form w.e.f. March 22, 2000.
Members are requested to avail the facility of the
depository system by opening of Demat account with
any of the Depository Participant (DP), namely, NSDL
and CDSL. Members who hold shares in dematerialised
form, should send all their communications
concerning rematerialisation of shares, transfers/
transmissions, dividends, change of address, change
in mandate, nominations, etc. to the concerned DPs
with whom they have opened Demat Account.
As on March 31, 2019, 2,69,44,486 shares
constituting 98.76% of the total paid up equity share
capital of the Company have been dematerialised
with NSDL and CDSL.
% holders No. of shares of face % Shareholding
value of Rs. 10/- each
99.15 2066741 7.58
0.27 238792 0.88
0.17 308675 1.13
0.08 245040 0.90
0.06 237460 0.87
0.03 171929 0.63
0.09 789613 2.89
0.11 3135651 11.49
0.02 1828386 6.70
0.02 18261186 66.93
100 27283473 100
 101

13.14 Transfer of Unclaimed / Unpaid Dividend to Investor Education and Protection Fund Authority
The Company shall be transferring the unclaimed/unpaid dividends as mentioned hereunder to the Investor Education
and Protection Fund Authority, established by the Central Government, in terms of the provisions of Section 124 &
125 of the Companies Act, 2013 read with the Investor Education and Protection Fund Authority (Accounting, Audit,
Transfer and Refund) Rules, 2016.

The tentative schedule for unclaimed dividend to be transferred to Investor Education and Protection Fund Authority is
as under:

For the Financial Year Due date for transfer to the Central Government
2012 (January to December) April 25, 2020
2013 (January to December) April 25, 2021
2014 (January to December) April 25, 2022
2015-16 (January to March)* April 18, 2023
2016-17 (April to March) September 12, 2024
2017-18 (April to March) September 14, 2025
*Interim Dividend declared by the Board of Directors on March 12, 2016.

  D\dY\ijn_f_Xm\efk\eZXj_\[k_\`i;`m`[\e[NXiiXekj]fik_\XYfm\ÔeXeZ`Xcp\Xij&g\i`f[dXpXggifXZ_k_\
Company’s Registrar & Share Transfer Agent for obtaining duplicate Dividend Warrants/Revalidation of Dividend Warrants.

13.15 Transfer of Shares to the Investor Education and Protection Fund Authority
In compliance with the provisions of Section 124 and 125 of the Companies Act, 2013 (“the Act”) read with the Investor
Education and Protection Fund Authority (Accounting, Audit, Transfer and Refund) Rules, 2016 (“the Rules”), as on
date the Company has transferred 1,88,467 (0.69%) equity shares of Rs. 10 each of the Company, on which dividend
remained unclaimed or unpaid for a period of seven consecutive years or more, belonging to 2,522 shareholders, to
the Investor Education and Protection Fund Authority (IEPF Authority).

  K_\jX`[i\hl`i\d\ek[f\jefkXggcpkfj_Xi\j`ei\jg\Zkf]n_`Z_k_\i\`jXjg\Z`ÔZfi[\if]:flik#Ki`YleXcfi
Statutory Authority, restraining any transfer of the shares.

Any person whose share(s)/ unpaid dividend has been transferred to the IEPF Authority may claim the share(s)/
dividend from it pursuant to the said Act and the Rules by submitting an online application in Form IEPF-5 available on
the website www.iepf.gov.in. Simultaneously, claimant shall be required to submit a copy of Form IEPF-5 submitted with
@<G=8lk_fi`kp[lcpj`^e\[Xe[XZZfdgXe`\[YpXcci\hl`j`k\[fZld\ekjkfk_\:fdgXepËjI\^`jk\i\[føZ\X[[i\jj`e
Xe\em\cfg\dXib\[XjÈ:cX`d]fii\]le[]ifd@<G=8lk_fi`kpÉ]fim\i`ÔZXk`fe%K_\D\dY\ij&:cX`dXekjZXeÔc\fecpfe\
Zfejfc`[Xk\[ZcX`d`eXÔeXeZ`Xcp\XiXjg\ik_\@<G=Ilc\j%J_Xi\_fc[\ijXi\i\hl\jk\[kf^fk_ifl^_k_\gifm`j`fejf]
said Act and the Rules and also the information provided on the website www.iepf.gov.in. Shareholders may also write to
k_\:fdgXepfi:fdgXepËjIK8]fiXep]lik_\i`e]fidXk`fe&ZcXi`ÔZXk`fe`ek_`ji\^Xi[%

13.16 Unclaimed Shares Suspense Account

In compliance with Regulation 39 of the SEBI (LODR) Regulations, 2015, the Company has maintained Eicher Motors
Limited - Unclaimed Suspense Account, in which unclaimed shares lying with the Company have been credited after
dematerialization thereof.

  K_\[\kX`cjn`k_i\jg\Zkkfk_\leZcX`d\[j_Xi\jf]k_\:fdgXep]fik_\ÔeXeZ`Xcp\Xi\e[\[DXiZ_*(#)'(0Xi\Xjle[\i1

Sl. Particulars No. of No. of

No. shareholders shares
(i) Aggregate number of shareholders and the outstanding shares in the Suspense Account lying at the 116 4,711
beginning of the year
(ii) Number of shareholders who approached the Company for transfer of shares from the Suspense 9 422
Account during the year
(iii) Number of shareholders to whom shares were transferred from the Suspense Account during the year 9 422
(iv) Number of shareholders whose shares were transferred to Investor Education and Protection Fund Authority in 12 541
compliance with the provisions of Section 124 & 125 of the Companies Act, 2013 and the rules framed thereunder
(v) Aggregate number of shareholders and the outstanding shares lying in the Suspense Account at the 95 3748
end of the year
The voting rights on shares in Suspense Account shall remain frozen till the rightful owner of such shares claims the shares.

ANNUAL REPORT 2018-19

102
STATUTORY REPORTS

13.17 Nomination facility 13.20 I\^`jk\i\[FøZ\

  Pfli:fdgXep`jgc\Xj\[kffù\ik_\]XZ`c`kpf] 3rd Floor- Select Citywalk
nomination to members. Pursuant to Section 72 A-3 District Centre, Saket
of the Companies Act, 2013, the members, who New Delhi- 110 017
hold shares in the physical form and wish to avail Tel. No. (011)-29563722
nomination facility, are requested to send the duly Website: www.eichermotors.com
complete nomination form, available on the website
of the Company www.eichermotors.com, to the 13.21 :figfiXk\FøZ\
Registrar and Share transfer Agent of the Company. #96, Sector 32,
The Members, who hold shares in the electronic form Gurugram- 122 001, Haryana.
and wish to avail nomination facility, are requested to Tel. No. (0124)-4415600
send separate request to their respective Depository Website: www.eichermotors.com
Participant(s) only.
13.22 Plant locations
13.18 Consolidation of folios and avoidance of (i) Thiruvottiyur High Road,
multiple mailing Thiruvottiyur, Chennai - 600 019
In order to enable the Company to reduce costs (Tamil Nadu)
Xe[[lgc`ZXk`fef]\ùfikj]fi`em\jkfij\im`Z`e^# (ii) A-19/1, SIPCOT Industrial Growth Centre,
members who may have more than one folio in Oragadam, Kanchipuram - 602 105
their individual name or jointly with other persons (Tamil Nadu)
mentioned in the same order, are requested to
consolidate all similar holdings under one folio. This (iii) G 121 & 122, Sipcot Industrial Park,
nflc[_\cg`edfe`kfi`e^k_\]fc`fjdfi\\ù\Zk`m\cp% Vallam Vadagal, Kanchipuram- 602105
Members may write to the Registrar and Share (Tamil Nadu)
Transfer Agent at the address given at Para 13.9,
indicating the folio numbers to be consolidated. This Corporate Governance Report of the Company
]fik_\ÔeXeZ`Xcp\Xi\e[\[DXiZ_*(#)'(0`j`e
13.19 National Electronic Clearing Services compliance with the requirements of Corporate
(NECS) Mandate Governance under SEBI (LODR) Regulations, 2015.
Members holding shares in dematerialised form Further, the Company has complied with all the
are requested to intimate all changes pertaining Xggc`ZXYc\i\hl`i\d\ekjjg\Z`Ô\[`eI\^lcXk`fej
to their bank details, National Electronic Clearing 17 to 27 and clause (b) to (i) of sub-regulation 2 of
Service (NECS), Electronic Clearing Service Regulation 46 of the said Regulations.
(ECS) mandates, nominations, power of attorney, This is to certify that the information given above is
change of address, change of name, e-mail true and correct.
address, contact numbers etc., to their respective
Depository Participant (DP). Changes intimated to
the DP will then be automatically reflected in the For Eicher Motors Limited
Company’s records which will help the Company and
the Company’s Registrar and Share Transfer Agent Siddhartha Lal S. Sandilya
kfgifm`[\\øZ`\ekXe[Y\kk\ij\im`Z\j%D\dY\ij Managing Director Chairman
holding shares in physical form are requested to DIN: 00037645 DIN: 00037542
intimate such changes to Company’s Registrar and
Share Transfer Agent. The Form for intimating Bank
and/or NECS mandate is available on the website of Place: Gurugram, Haryana
the Company www.eichermotors.com. Date: May 10, 2019

EICHER MOTORS LIMITED

 103

DECLARATION
As per Regulation 26(3) of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended, the Board
D\dY\ijXe[k_\J\e`fiDXeX^\d\ekG\ijfee\c_Xm\Xøid\[kfk_\Zfdgc`XeZ\n`k_k_\:f[\f]:fe[lZk]fi9fXi[f]
;`i\ZkfijXe[J\e`fiDXeX^\d\ek]fik_\ÔeXeZ`Xcp\Xi\e[\[DXiZ_*(#)'(0%

For Eicher Motors Limited

Siddhartha Lal
Managing Director
:_`\]<o\Zlk`m\FøZ\i
DIN: 00037645
Place: Gurugram, Haryana
Date: May 10, 2019

ANNUAL REPORT 2018-19

104
STATUTORY REPORTS

INDEPENDENT AUDITORS’ REPORT ON COMPLIANCE

WITH THE CONDITIONS OF CORPORATE GOVERNANCE
As per provisions of Chapter IV of Securities and Exchange Board of India (Listing Obligations and Disclosure
I\hl`i\d\ekj I\^lcXk`fej#À)'(,
THE MEMBERS OF
EICHER MOTORS LIMITED
1. The Corporate Governance Report prepared by Eicher Motors Limited (hereinafter the “Company”), contains details as
required by the provisions of Chapter IV of Securities and Exchange Board of India (Listing Obligations and Disclosure
Requirements) Regulations, 2015, as amended (“the Listing Regulations”) (‘Applicable criteria’) with respect to Corporate
Governance for the year ended March 31, 2019. This report is required by the Company for annual submission to the Stock
exchange and to be sent to the Shareholders of the Company.
Management's Responsibility
2. The preparation of the Corporate Governance Report is the responsibility of the Management of the Company including the
preparation and maintenance of all relevant supporting records and documents. This responsibility also includes the design,
implementation and maintenance of internal control relevant to the preparation and presentation of the Corporate Governance
Report.
3. The Management, along with the Board of Directors, is also responsible for ensuring that the Company complies with the
conditions of Corporate Governance as stipulated in the Listing Regulations, issued by the Securities and Exchange Board of India.
Auditor’s Responsibility
4. Pursuant to the requirements of the Listing Regulations, our responsibility is to express a reasonable assurance in the form
f]Xefg`e`fen_\k_\ik_\:fdgXep_XjZfdgc`\[n`k_k_\jg\Z`ÔZi\hl`i\d\ekjf]k_\C`jk`e^I\^lcXk`feji\]\ii\[kf`e
paragraph 3 above.
5. We conducted our examination of the Corporate Governance Report in accordance with the Guidance Note on Reports or
:\ik`ÔZXk\j]fiJg\Z`XcGligfj\jXe[k_\>l`[XeZ\Efk\fe:\ik`ÔZXk`fef]:figfiXk\>fm\ieXeZ\#Yfk_`jjl\[Ypk_\@ejk`klk\
f]:_Xik\i\[8ZZflekXekjf]@e[`XÈ@:8@É %K_\>l`[XeZ\Efk\feI\gfikjfi:\ik`ÔZXk\j]fiJg\Z`XcGligfj\ji\hl`i\jk_Xkn\
comply with the ethical requirements of the Code of Ethics issued by the Institute of Chartered Accountants of India.
6. We have complied with the relevant applicable requirements of the Standard on Quality Control (SQC) 1, Quality Control
for Firms that Perform Audits and Reviews of Historical Financial Information, and Other Assurance and Related Services
Engagements.
7. The procedures selected depend on the auditor’s judgement, including the assessment of the risks associated in compliance of
the Corporate Governance Report with the applicable criteria. Summary of key procedures performed include:
i. Reading and understanding of the information prepared by the Company and included in its Corporate Governance
Report;
 ``%  \i`Ô\[k_Xkk_\i\hl`i\d\ek]fik_\Zfdgfj`k`fef]k_\9fXi[f];`i\Zkfijn%i%k\o\Zlk`m\Xe[efe$\o\Zlk`m\[`i\Zkfij#
M
has been met throughout the reporting period;
 ```%  YkX`e\[Xe[i\X[k_\;`i\ZkfijI\^`jk\iXjfeDXiZ_*(#)'(0Xe[m\i`Ô\[k_XkXkc\Xjkfe\nfd\e[`i\ZkfinXjfek_\
F
Board during the year;
iv. Obtained and read the minutes of the following committee / meetings held from April 1, 2018 to March 31, 2019:
(a) Board of Directors meeting;
(b) Audit committee;
(c) Annual General meeting;
(d) Nomination and remuneration committee; and
(e) Stakeholders Relationship Committee;
v. Obtained necessary representations and declarations from directors of the Company including the independent directors; and
m`% G\i]fid\[e\Z\jjXip`ehl`i`\jn`k_k_\dXeX^\d\ekXe[XcjffYkX`e\[e\Z\jjXipjg\Z`ÔZi\gi\j\ekXk`fej]ifddXeX^\d\ek%

EICHER MOTORS LIMITED


The above-mentioned procedures include examining
evidence supporting the particulars in the Corporate
Governance Report on a test basis. Further, our scope of
work under this report did not involve us performing audit
tests for the purposes of expressing an opinion on the
]X`ie\jjfiXZZliXZpf]Xepf]k_\ÔeXeZ`Xc`e]fidXk`fefi
k_\ÔeXeZ`XcjkXk\d\ekjf]k_\:fdgXepkXb\eXjXn_fc\%
Opinion
8. Based on the procedures performed by us as referred
in paragraph 7 above, and according to the information
and explanations given to us, we are of the opinion
that the Company has complied with the conditions
of Corporate Governance as stipulated in the Listing
Regulations, as applicable for the year ended March 31,
2019, referred to in paragraph 3 above.
Other matters and Restriction on Use
9. This report is neither an assurance as to the future
m`XY`c`kpf]k_\:fdgXepefik_\\øZ`\eZpfi
\ù\Zk`m\e\jjn`k_n_`Z_k_\dXeX^\d\ek_XjZfe[lZk\[
k_\XùX`ijf]k_\:fdgXep%
105
10. This report is addressed to and provided to the members
of the Company solely for the purpose of enabling it to
comply with its obligations under the Listing Regulations
with reference to compliance with the relevant regulations
of Corporate Governance and should not be used by any
other person or for any other purpose. Accordingly, we do
not accept or assume any liability or any duty of care or
for any other purpose or to any other party to whom it is
shown or into whose hands it may come without our prior
consent in writing. We have no responsibility to update
this report for events and circumstances occurring after
the date of this report.
For S.R. Batliboi & Co. LLP
Chartered Accountants
ICAI Firm Registration Number: 301003E/E300005
per Sanjay Vij
Partner
Place of Signature: Gurugram Membership Number: 095169
Date: May 10, 2019 UDIN: 19095169AAAAAW1054
ANNUAL REPORT 2018-19
106
STATUTORY REPORTS

CERTIFICATION BY CHIEF EXECUTIVE OFFICER

AND CHIEF FINANCIAL OFFICER

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the best of our knowledge and belief:

(i) these statements do not contain any materially untrue statement or omit any material fact or contain statement that
might be misleading;

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accounting standards, applicable laws and regulations.

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31, 2019 are fraudulent, illegal or in violation of the Company’s Code of Conduct.

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k_\jk\gjn\_Xm\kXb\efigifgfj\kfkXb\kfi\Zk`]pk_\j\[\ÔZ`\eZ`\j%

d) We have indicated to the Auditors and the Audit Committee that:

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31, 2019;

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ÔeXeZ`Xci\gfik`e^%

Siddhartha Lal Lalit Malik

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:_`\]<o\Zlk`m\FøZ\i @:8@D\d%Ef%0)/0'
(DIN: 00037645)

Place: Gurugram, Haryana

Date: May 10, 2019

EICHER MOTORS LIMITED

107-242
FINANCIAL
STATEMENTS
108
FINANCIAL STATEMENTS (STANDALONE)

INDEPENDENT AUDITOR'S REPORT

To report. We are independent of the Company in accordance

The Members of
Eicher Motors Limited
REPORT ON THE AUDIT OF THE STANDALONE
IND AS FINANCIAL STATEMENTS
Opinion
We have audited the accompanying standalone Ind AS
ÔeXeZ`XcjkXk\d\ekjf]Eicher Motors Limited (“the
Company”), which comprise the Balance sheet as at March
*(#)'(0#k_\JkXk\d\ekf]GifÔkXe[Cfjj#`eZcl[`e^k_\
statement of Other Comprehensive Income, the Cash Flow
Statement and the Statement of Changes in Equity for the
p\Xik_\e\e[\[#Xe[efk\jkfk_\ÔeXeZ`XcjkXk\d\ekj#
`eZcl[`e^XjlddXipf]j`^e`ÔZXekXZZflek`e^gfc`Z`\jXe[
other explanatory information.
In our opinion and to the best of our information and
according to the explanations given to us, the aforesaid
jkXe[Xcfe\@e[8JÔeXeZ`XcjkXk\d\ekj^`m\k_\`e]fidXk`fe
required by the Companies Act, 2013, as amended (“the
Act”) in the manner so required and give a true and fair
view in conformity with the accounting principles generally
XZZ\gk\[`e@e[`X#f]k_\jkXk\f]XùX`ijf]k_\:fdgXepXj
XkDXiZ_*(#)'(0#`kjgifÔk`eZcl[`e^fk_\iZfdgi\_\ej`m\
income its cash flows and the changes in equity for the year
ended on that date.
Basis for Opinion
N\Zfe[lZk\[fliXl[`kf]k_\jkXe[Xcfe\@e[8JÔeXeZ`Xc
statements in accordance with the Standards on Auditing
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Our responsibilities under those Standards are further
described in the ‘Auditor’s Responsibilities for the Audit of
the Standalone Ind AS Financial Statements’ section of our
with the ‘Code of Ethics’ issued by the Institute of Chartered
Accountants of India together with the ethical requirements
k_XkXi\i\c\mXekkffliXl[`kf]k_\ÔeXeZ`XcjkXk\d\ekj
under the provisions of the Act and the Rules thereunder,
Xe[n\_Xm\]lcÔcc\[flifk_\i\k_`ZXci\jgfej`Y`c`k`\j`e
accordance with these requirements and the Code of Ethics.
We believe that the audit evidence we have obtained is
jløZ`\ekXe[Xggifgi`Xk\kfgifm`[\XYXj`j]fifliXl[`k
fg`e`fefek_\jkXe[Xcfe\@e[8JÔeXeZ`XcjkXk\d\ekj%
Key Audit Matters
Key audit matters are those matters that, in our professional
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jkXe[Xcfe\@e[8JÔeXeZ`XcjkXk\d\ekj]fik_\ÔeXeZ`Xcp\Xi
ended March 31, 2019. These matters were addressed in
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statements as a whole, and in forming our opinion thereon,
and we do not provide a separate opinion on these matters.
For each matter below, our description of how our audit
addressed the matter is provided in that context.
We have determined the matters described below to be the
key audit matters to be communicated in our report. We
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i\jgfej`Y`c`k`\j]fik_\Xl[`kf]k_\jkXe[Xcfe\@e[8JÔeXeZ`Xc
statements section of our report, including in relation to these
matters. Accordingly, our audit included the performance
of procedures designed to respond to our assessment of
the risks of material misstatement of the standalone Ind AS
ÔeXeZ`XcjkXk\d\ekj%K_\i\jlckjf]fliXl[`kgifZ\[li\j#
including the procedures performed to address the matters
below, provide the basis for our audit opinion on the
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Key audit matters
Intangibles assets capitalized or under development (Refer to the accounting estimates and judgements in Note 3 and
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The Company has various internally generated intangible
projects under development. Initial recognition of the
expenditure under these projects are based on assessing
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that needs to be met for capitalization. In addition, the
management also assess indication of impairment of
the carrying value of assets which requires management
al[^d\ekXe[Xjjldgk`fejXjXù\Zk\[Yp]lkli\dXib\kfi
economic developments.
How our audit addressed the key audit matter
Š Our audit procedures included reading Company's research
and development expenditure accounting policies to assess
compliance with Ind AS 38 “Intangible Assets”.
Š We performed test of control over management process of
identifying and capitalizing the development expenditure with
jg\Z`ÔZ]fZljfek_\XZZflek`e^gi`eZ`gc\jf]ZXg`kXc`qXk`fe
of expenditure on internally generated intangible assets as
per IND AS 38 such as technical feasibility of the project,
intention and ability to complete the intangible asset, ability
to use or sell the asset, generation of future economic
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EICHER MOTORS LIMITED


Key audit matters
Due to the materiality of the assets under development
recognized and the level of management judgement
involved, initial recognition and measurement of internally
generated intangible assets has been considered as a key
audit matter.
Revenue RecognitionI\]\ikfk_\XZZflek`e^gfc`Z`\j`eEfk\*kfk_\ÔeXeZ`XcjkXk\d\ekj
Revenue from the sale of goods is recognised upon the
transfer of control of the goods to the customer, usually on
delivery of goods. The Company uses a variety of shipment
terms across its operating markets and this has an impact
on the timing of revenue recognition. There is a risk that
revenue could be recognised in the incorrect period for
sales transactions occurring on and around the year end
k_\i\]fi\i\m\el\i\Zf^e`k`fe_XjY\\e`[\ek`Ô\[XjXb\p
audit matter.
Other Information
The Company’s Board of Directors is responsible for the
other information. The other information comprises the
information included in the Annual report, but does not
`eZcl[\k_\jkXe[Xcfe\@e[8JÔeXeZ`XcjkXk\d\ekjXe[fli
auditor’s report thereon.
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does not cover the other information and we do not express
any form of assurance conclusion thereon.
In connection with our audit of the standalone Ind AS
ÔeXeZ`XcjkXk\d\ekj#flii\jgfej`Y`c`kp`jkfi\X[k_\fk_\i
information and, in doing so, consider whether such other
`e]fidXk`fe`jdXk\i`Xccp`eZfej`jk\ekn`k_k_\ÔeXeZ`Xc
statements or our knowledge obtained in the audit or
otherwise appears to be materially misstated. If, based on the
work we have performed, we conclude that there is a material
misstatement of this other information, we are required to
report that fact. We have nothing to report in this regard.
Responsibilities of Management for the Standalone
Ind AS Financial Statements
The Company’s Board of Directors is responsible for the
dXkk\ijjkXk\[`ej\Zk`fe(*+, f]k_\8Zkn`k_i\jg\Zkkfk_\
109
How our audit addressed the key audit matter
Š We performed test of details of development expenditure
capitalized by challenging the key assumptions including the
authorization of the stage of the project in the development
phase and the accuracy of costs included and assessing
the useful economic life attributed to the asset. In addition,
we considered whether any indicators of impairment were
present by understanding the business rationale for projects.
Š We tested the disclosure relating to research and development
\og\e[`kli\`ek_\jkXe[Xcfe\@e[8JÔeXeZ`XcjkXk\d\ekj
Š Our audit procedures included reading the Company's
revenue recognition accounting policies to assess
compliance with Ind AS 115 “Revenue from contracts with
customers”.
Š We performed test of controls of management’s process
of recognizing the revenue from sales of goods and placed
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per the sales terms with the customers.
Š We performed test of details of the sales transactions testing
based on a representative sampling of the sales orders to test
that the related revenues and trade receivables are recorded
appropriately taking into consideration the terms and
conditions of the sale orders, including the shipping terms.
Š N
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deliveries occurring around the year end to supporting
documentation to establish that sales and corresponding
trade receivables are properly recorded in the correct period.
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k_Xk^`m\Xkil\Xe[]X`im`\nf]k_\ÔeXeZ`Xcgfj`k`fe#ÔeXeZ`Xc
performance including other comprehensive income, cash
flows and changes in equity of the Company in accordance
with the accounting principles generally accepted in India,
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under section 133 of the Act read with the Companies
(Indian Accounting Standards) Rules, 2015, as amended.
This responsibility also includes maintenance of adequate
accounting records in accordance with the provisions of
the Act for safeguarding of the assets of the Company and
for preventing and detecting frauds and other irregularities;
selection and application of appropriate accounting policies;
making judgments and estimates that are reasonable and
prudent; and the design, implementation and maintenance
f]X[\hlXk\`ek\ieXcÔeXeZ`XcZfekifcj#k_Xkn\i\fg\iXk`e^
\ù\Zk`m\cp]fi\ejli`e^k_\XZZliXZpXe[Zfdgc\k\e\jjf]
the accounting records, relevant to the preparation and
gi\j\ekXk`fef]k_\jkXe[Xcfe\@e[8JÔeXeZ`XcjkXk\d\ekj
that give a true and fair view and are free from material
misstatement, whether due to fraud or error.
@egi\gXi`e^k_\jkXe[Xcfe\@e[8JÔeXeZ`XcjkXk\d\ekj#
management is responsible for assessing the Company’s
ability to continue as a going concern, disclosing, as
ANNUAL REPORT 2018-19
110
FINANCIAL STATEMENTS (STANDALONE)

applicable, matters related to going concern and using the
going concern basis of accounting unless management
either intends to liquidate the Company or to cease
operations, or has no realistic alternative but to do so.
Those Board of Directors are also responsible for overseeing
k_\:fdgXepËjÔeXeZ`Xci\gfik`e^gifZ\jj%
Auditor’s Responsibilities for the Audit of the
Standalone Ind AS Financial Statements
Our objectives are to obtain reasonable assurance about
n_\k_\ik_\jkXe[Xcfe\@e[8JÔeXeZ`XcjkXk\d\ekjXjXn_fc\
are free from material misstatement, whether due to fraud
or error, and to issue an auditor’s report that includes our
opinion. Reasonable assurance is a high level of assurance,
but is not a guarantee that an audit conducted in accordance
with SAs will always detect a material misstatement when it
exists. Misstatements can arise from fraud or error and are
considered material if, individually or in the aggregate, they
could reasonably be expected to influence the economic
decisions of users taken on the basis of these standalone Ind
8JÔeXeZ`XcjkXk\d\ekj%
As part of an audit in accordance with SAs, we exercise
professional judgment and maintain professional skepticism
throughout the audit. We also:
Š Identify and assess the risks of material misstatement
f]k_\jkXe[Xcfe\@e[8JÔeXeZ`XcjkXk\d\ekj#
whether due to fraud or error, design and perform
audit procedures responsive to those risks, and obtain
Xl[`k\m`[\eZ\k_Xk`jjløZ`\ekXe[Xggifgi`Xk\
to provide a basis for our opinion. The risk of not
detecting a material misstatement resulting from fraud
is higher than for one resulting from error, as fraud
may involve collusion, forgery, intentional omissions,
misrepresentations, or the override of internal control.
Š Obtain an understanding of internal control relevant to
the audit in order to design audit procedures that are
Xggifgi`Xk\`ek_\Z`iZldjkXeZ\j%Le[\ij\Zk`fe(+**
(i) of the Act, we are also responsible for expressing our
opinion on whether the Company has adequate internal
ÔeXeZ`XcZfekifcjjpjk\d`egcXZ\Xe[k_\fg\iXk`e^
\ù\Zk`m\e\jjf]jlZ_Zfekifcj%
Š Evaluate the appropriateness of accounting policies
used and the reasonableness of accounting estimates
and related disclosures made by management.
Š Conclude on the appropriateness of management’s use
of the going concern basis of accounting and, based
on the audit evidence obtained, whether a material
uncertainty exists related to events or conditions
k_XkdXpZXjkj`^e`ÔZXek[flYkfek_\:fdgXepËj
ability to continue as a going concern. If we conclude
that a material uncertainty exists, we are required to
draw attention in our auditor’s report to the related
[`jZcfjli\j`ek_\ÔeXeZ`XcjkXk\d\ekjfi#`]jlZ_
disclosures are inadequate, to modify our opinion. Our
conclusions are based on the audit evidence obtained
up to the date of our auditor’s report. However, future
events or conditions may cause the Company to cease
to continue as a going concern.
Š Evaluate the overall presentation, structure and
Zfek\ekf]k_\jkXe[Xcfe\@e[8JÔeXeZ`XcjkXk\d\ekj#
including the disclosures, and whether the standalone
@e[8JÔeXeZ`XcjkXk\d\ekji\gi\j\ekk_\le[\icp`e^
transactions and events in a manner that achieves fair
presentation.
We communicate with those charged with governance
regarding, among other matters, the planned scope and
k`d`e^f]k_\Xl[`kXe[j`^e`ÔZXekXl[`kÔe[`e^j#`eZcl[`e^
Xepj`^e`ÔZXek[\ÔZ`\eZ`\j`e`ek\ieXcZfekifck_Xkn\`[\ek`]p
during our audit.
We also provide those charged with governance with a
statement that we have complied with relevant ethical
requirements regarding independence, and to communicate
with them all relationships and other matters that may
reasonably be thought to bear on our independence, and
where applicable, related safeguards.
From the matters communicated with those charged with
governance, we determine those matters that were of most
j`^e`ÔZXeZ\`ek_\Xl[`kf]k_\jkXe[Xcfe\@e[8JÔeXeZ`Xc
jkXk\d\ekj]fik_\ÔeXeZ`Xcp\Xi\e[\[DXiZ_*(#)'(0
and are therefore the key audit matters. We describe these
matters in our auditor’s report unless law or regulation
precludes public disclosure about the matter or when, in
extremely rare circumstances, we determine that a matter
should not be communicated in our report because the
adverse consequences of doing so would reasonably be
\og\Zk\[kfflkn\`^_k_\glYc`Z`ek\i\jkY\e\Ôkjf]jlZ_
communication.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor’s Report) Order,
2016 (“the Order”), issued by the Central Government
f]@e[`X`ek\idjf]jlY$j\Zk`fe(( f]j\Zk`fe(+*f]
the Act, we give in the “Annexure 1” a statement on the
dXkk\ijjg\Z`Ô\[`egXiX^iXg_j*Xe[+f]k_\Fi[\i%
)% 8ji\hl`i\[YpJ\Zk`fe(+** f]k_\8Zk#n\i\gfikk_Xk1
(a) We have sought and obtained all the information
and explanations which to the best of our
knowledge and belief were necessary for the
purposes of our audit;
(b) In our opinion, proper books of account as required
by law have been kept by the Company so far as it
appears from our examination of those books;
 Z  K_\9XcXeZ\J_\\k#k_\JkXk\d\ekf]GifÔkXe[Cfjj
including the Statement of Other Comprehensive
Income, the Cash Flow Statement and Statement
of Changes in Equity dealt with by this Report are in
agreement with the books of account;

EICHER MOTORS LIMITED

 111

(d) In our opinion, the aforesaid standalone Ind AS as amended in our opinion and to the best of our
ÔeXeZ`XcjkXk\d\ekjZfdgcpn`k_k_\8ZZflek`e^ information and according to the explanations
JkXe[Xi[jjg\Z`Ô\[le[\iJ\Zk`fe(**f]k_\8Zk# given to us:
read with Companies (Indian Accounting Standards)
i. The Company has disclosed the impact of
Rules, 2015, as amended;
g\e[`e^c`k`^Xk`fejfe`kjÔeXeZ`Xcgfj`k`fe
`e`kjjkXe[Xcfe\@e[8JÔeXeZ`XcjkXk\d\ekj
(e) On the basis of the written representations received
ÆI\]\iEfk\+'kfk_\jkXe[Xcfe\@e[8J
from the directors as on March 31, 2019 taken
ÔeXeZ`XcjkXk\d\ekj2
on record by the Board of Directors, none of the
[`i\Zkfij`j[`jhlXc`Ô\[XjfeDXiZ_*(#)'(0]ifd
ii. The Company did not have any long-term
being appointed as a director in terms of Section
contracts including derivative contracts for
(-+) f]k_\8Zk2
which there were any material foreseeable
losses;
(f) With respect to the adequacy of the internal
ÔeXeZ`XcZfekifcjfm\iÔeXeZ`Xci\gfik`e^f]k_\
iii. There has been no delay in transferring
Company with reference to these standalone
amounts, required to be transferred, to the
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Investor Education and Protection Fund by
\ù\Zk`m\e\jjf]jlZ_Zfekifcj#i\]\ikffli
the Company.
separate Report in “Annexure 2” to this report;
For S.R. Batliboi & Co. LLP
(g) In our opinion, the managerial remuneration for
Chartered Accountants
the year ended March 31, 2019 has been paid
ICAI Firm Registration Number: 301003E/E300005
/ provided by the Company to its directors in
accordance with the provisions of section 197 read
with Schedule V to the Act; per Sanjay Vij
Partner
(h) With respect to the other matters to be included in Membership Number: 095169
the Auditor’s Report in accordance with Rule 11 of Place of Signature: Gurugram
k_\:fdgXe`\j8l[`kXe[8l[`kfij Ilc\j#)'(+# Date: May 10, 2019

ANNUAL REPORT 2018-19

112
FINANCIAL STATEMENTS (STANDALONE)
ANNEXURE 1 REFERRED TO IN
PARAGRAPH 1 OF THE SECTION
“REPORT ON OTHER LEGAL AND
REGULATORY REQUIREMENTS”
OF OUR REPORT OF EVEN DATE
Re: Eicher Motors Limited (‘the Company’)
(i) (a) The Company has maintained proper records
showing full particulars, including quantitative
[\kX`cjXe[j`klXk`fef]Ôo\[Xjj\kj%
(b) Property, Plant and Equipment were physically
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`eXZZfi[XeZ\n`k_`kjgcXef]m\i`ÔZXk`fe`eX
phased manner and no material discrepancies were
`[\ek`Ô\[fejlZ_m\i`ÔZXk`fe%
(c) According to the information and explanations
given by the management the title deeds of
immovable properties included in property, plant
Xe[\hl`gd\ek&Ôo\[Xjj\kjXi\_\c[`ek_\eXd\f]
the company except the following:
Particulars Carrying value as Remarks
at March 31, 2019
(Rs. Crore)
Freehold land 0.74 Pending
located at Alwar, registration in
Rajasthan and the name of the
Jhajjar, Haryana Company
``  K_\dXeX^\d\ek_XjZfe[lZk\[g_pj`ZXcm\i`ÔZXk`fe
of inventory at reasonable intervals during the year
and no material discrepancies were noticed on such
g_pj`ZXcm\i`ÔZXk`fe%@em\ekfi`\jcp`e^n`k_k_`i[gXik`\j
_Xm\Y\\eZfeÔid\[Ypk_\d[li`e^k_\p\XiXe[ef
material discrepancies were noticed in respect of such
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(iii) According to the information and explanations
given to us, the Company has not granted any loans,
j\Zli\[filej\Zli\[kfZfdgXe`\j#]`idj#C`d`k\[
C`XY`c`kpGXike\ij_`gjfifk_\igXik`\jZfm\i\[`e
the register maintained under section 189 of the
Companies Act, 2013. Accordingly, the provisions
of clause 3(iii)(a), (b) and (c) of the Order are not
applicable to the Company and hence not
commented upon.
EICHER MOTORS LIMITED
(iv) In our opinion and according to the information and
explanations given to us, the Company has not advanced
loans to directors/to a company in which the Director is
interested in to which the provisions of section 185 of the
Companies Act, 2013 apply and hence not commented
upon. Further, in our opinion and according to the
information and explanations given to us, the provisions
of section 186 of the Companies Act, 2013 in respect
of loans and advances given, investments made and,
guarantees and securities given have been complied with
by the Company.
(v) The Company has not accepted any deposits within
the meaning of Sections 73 to 76 of the Act and the
:fdgXe`\j8ZZ\gkXeZ\f];\gfj`kj Ilc\j#)'(+Xj
amended). Accordingly, the provisions of clause 3(v) of
the Order are not applicable.
(vi) We have broadly reviewed the books of accounts
maintained by the Company pursuant to the rules made
by the Central Government for the maintenance of cost
i\Zfi[jle[\ij\Zk`fe(+/( f]k_\:fdgXe`\j8Zk#
2013, related to the manufacture of certain products of
the Company, and are of the opinion that prima facie,
k_\jg\Z`Ô\[XZZflekjXe[i\Zfi[j_Xm\Y\\edX[\
and maintained. We have not, however, made a detailed
examination of the same.
(vii) (a) The Company is generally regular in depositing with
appropriate authorities, undisputed statutory dues
including provident fund, employees’ state insurance,
income-tax, goods and service tax, customs duty,
cess and other statutory dues applicable to it.
(b) According to the information and explanations
given to us, no undisputed amounts payable
in respect of provident fund, employees’ state
insurance, income-tax, goods and service tax,
customs duty, cess and other statutory dues were
outstanding, at the year end, for a period
of more than six months from the date they
became payable.
 113

(c) According to the records of the Company, the dues of income-tax, sales-tax, service tax, duty of custom, duty of
excise, value added tax and cess on account of any dispute, are as follows:

Name of Statue Nature of Dues Forum where it is Period to which it Amount involved Amount unpaid
pending relates (Rs. crores) (Rs. crores)
Central Excise Act, Excise Duty Up to Commissioner 1995-96, 1996-97, 1.08 1.07
(0++ (Appeals)’s level )'(*$(+#)'(-$(.#
2017-18
Excise Duty CESTAT (0/*$/+kf (%++ 1.17
2000-01, 2012-13
to 2015-2016
Excise Duty Punjab and Haryana 1995-96 to 0.18 -
High Court 1998-99
The Central Sales Tax Sales Tax Commissioner of 1986-87 to 1987- 7.25 *%*+
Act, 1956 Sales Tax (Appeals) //#(00+$0,kf
)'')$'*#)''+$
05 to 2010-2011,
)'(*$(+#)'(+$(,#
2015-16
Sales Tax Sales Tax Appellate 1988-89, 1991- 0.89 0.70
Tribunal 92 to 1995-96,
1997-98 to 1999-
00, 2002-03 to
)''+$',#
2006-07
Sales Tax Allahabad High (0/+$/,#(0/,$ 0.83 0.39
Court, Madhya 86, 2000-01,
Pradesh High Court )''+$',
Tamil Nadu Value Value Added Commissioner of )'('$((#)'(*$(+ 0.76 '%+/
Added Tax Act, 2006 Tax Sales Tax (Appeals)
Bihar Finance Act, Sales Tax Commissioner of 2000-01 0.32 0.30
1981 Sales Tax (Appeals)
Sales Tax Patna High Court 2001-02 '%+- '%++
The Bihar Tax on Entry Tax Commissioner of )'(*$(+ 0.10 -
Entry of Goods into Sales Tax (Appeals)
CfZXc8i\Xj]fi
Consumption, Use
or Sale therein Act,
1993
Uttar Pradesh Sales Sales Tax / Commissioner of )'(*$(+ 0.02 -
KXo8Zk#(0+/# Value added Sales Tax (Appeals)
Uttar Pradesh VAT Tax
Act, 2008
Sales Tax / Appellate Tribunal (00($0)#(00*$0+ 0.22 0.19
Value added to 1995-96, 1999-
Tax 00, 2001-02
Sales Tax / Allahabad High Court 2000-01 '%+* 0.29
Value added
Tax

ANNUAL REPORT 2018-19

114
FINANCIAL STATEMENTS (STANDALONE)

Name of Statue Nature of Dues Forum where it is Period to which it Amount involved Amount unpaid
pending relates (Rs. crores) (Rs. crores)
Rajasthan Sales Tax Sales Tax / Commissioner of 1996-97, 2000- 0.28 0.22
8Zk#(00+#IXaXjk_Xe Value added Sales Tax (Appeals) 01, 2002-03,
Value Added Tax Act, Tax )'(+$(,
2003 Sales Tax / Sales Tax Appellate 1990-2000 0.05 0.05
Value added Tribunal
Tax
Sales Tax / Rajasthan High (00*$0+ 0.03 0.01
Value added Court
Tax
Sales Tax / Supreme Court of 1986-87 to 1988- 1.96 (%+(
Value added India 89, 1990-91, 1991-
Tax 92, 2001-02 to
)''*$'+
Delhi Sales Tax Act, Sales Tax Sales Tax Appellate 1991-92, 1992-93, 0.35 0.31
1975 Tribunal 2000-01, 2002-
03
The Madhya Pradesh Sales Tax / Commissioner of 2000-01, 2008- 0.02 0.02
General Sales Tax Value added Sales Tax (Appeals) 09
Act, 1958, The Tax
Madhya Pradesh Sales Tax / Appellate Tribunal )'')$'*#)''+$ 0.26 0.16
VAT Act, 2002 Value added 05
Tax
The Maharashtra Value Added Commissioner of 2012-13 '%'+ 0.03
Value Added Tax Act, Tax Sales Tax (Appeals)
2002
The Odisha Sales Value Added Commissioner of 2000-01 0.01 0.00
KXo8Zk#(0+. Tax Sales Tax (Appeals)
Goods and Service GST Commissioner of 2018-19 0.06 0.02
Tax Act 2017 GST (Appeals)
=`eXeZ\8Zk#(00+ Service Tax CESTAT 2006-07 to 0.39 0.36
2011-12
The Income Tax Act, Income Tax Commissioner )'(*$(+Xe[ 6.32 6.32
1961 of Income Tax )'(+$(,
(Appeals)
The Income Tax Act, Income Tax Income Tax 2012-13 0.19 0.19
1961 Appellate Tribunal

(viii) In our opinion and according to the information
and explanations given by the management, the
Company has not defaulted in repayment of loans
fiYfiifn`e^kfXÔeXeZ`Xc`ejk`klk`fefiXYXeb%
The Company did not have any outstanding loans
or borrowing dues in respect of the government or
dues to debenture holders during the year.
(ix) According to the information and explanations
given by the management, the Company has not
iX`j\[Xepdfe\pnXpf]`e`k`XcglYc`Zfù\i&]lik_\i
glYc`Zfù\i&[\Yk`ejkild\ekjXe[k\idcfXej
hence, reporting under clause (ix) is not applicable
to the Company and hence not commented upon.
(x) Based upon the audit procedures performed for
the purpose of reporting the true and fair view
f]k_\ÔeXeZ`XcjkXk\d\ekjXe[XZZfi[`e^kf
the information and explanations given by the
management, we report that no fraud by the
Company and no material fraud on the Company
Ypk_\føZ\ijXe[\dgcfp\\jf]k_\:fdgXep_Xj
been noticed or reported during the year.
(xi) According to the information and explanations
given by the management, the managerial
remuneration has been paid / provided in
accordance with the requisite approvals mandated
by the provisions of section 197 read with Schedule
V to the Companies Act, 2013.
(xii) In our opinion, the Company is not a nidhi company.
Therefore, the provisions of clause 3(xii) of the
order are not applicable to the Company and hence
not commented upon.

EICHER MOTORS LIMITED


(xiii) According to the information and explanations
given by the management, transactions
with the related parties are in compliance
with section 177 and 188 of Companies Act,
2013 where applicable and the details have
been disclosed in the notes to the financial
statements, as required by the applicable
accounting standards.
(xiv) According to the information and explanations
given to us and on an overall examination of the
balance sheet, the Company has not made any
preferential allotment or private placement of
shares or fully or partly convertible debentures
during the year under review and hence,
reporting requirements under clause 3(xiv)
are not applicable to the Company and, not
commented upon.
(xv) According to the information and explanations
given by the management, the Company has
115
not entered into any non-cash transactions with
directors or persons connected with him as referred
to in section 192 of Companies Act, 2013.
(xvi) According to the information and explanations
^`m\ekflj#k_\gifm`j`fejf]j\Zk`fe+,$@8f]k_\
I\j\im\9Xebf]@e[`X8Zk#(0*+Xi\efkXggc`ZXYc\
to the Company.
For S.R. Batliboi & Co. LLP
Chartered Accountants
ICAI Firm Registration Number: 301003E/E300005
per Sanjay Vij
Partner
Membership Number: 095169
Place of Signature: Gurugram
Date: May 10, 2019
ANNUAL REPORT 2018-19
116
FINANCIAL STATEMENTS (STANDALONE)
ANNEXURE 2 TO THE INDEPENDENT
AUDITOR’S REPORT OF EVEN DATE
ON THE STANDALONE FINANCIAL
STATEMENTS OF EICHER MOTORS
LIMITED
Report on the Internal Financial Controls under Clause
(i) of Sub-section 3 of Section 143 of the Companies
Act, 2013 (“the Act”)
N\_Xm\Xl[`k\[k_\`ek\ieXcÔeXeZ`XcZfekifcjfm\iÔeXeZ`Xc
i\gfik`e^f]<`Z_\iDfkfijC`d`k\[Èk_\:fdgXepÉ Xjf]
March 31, 2019 in conjunction with our audit of the standalone
ÔeXeZ`XcjkXk\d\ekjf]k_\:fdgXep]fik_\p\Xi\e[\[fe
that date.
Management’s Responsibility for Internal Financial
Controls
The Company’s Management is responsible for establishing
Xe[dX`ekX`e`e^`ek\ieXcÔeXeZ`XcZfekifcjYXj\[fek_\
`ek\ieXcZfekifcfm\iÔeXeZ`Xci\gfik`e^Zi`k\i`X\jkXYc`j_\[
by the Company considering the essential components of
internal control stated in the Guidance Note on Audit of
Internal Financial Controls Over Financial Reporting issued
by the Institute of Chartered Accountants of India. These
responsibilities include the design, implementation and
dX`ek\eXeZ\f]X[\hlXk\`ek\ieXcÔeXeZ`XcZfekifcjk_Xk
n\i\fg\iXk`e^\ù\Zk`m\cp]fi\ejli`e^k_\fi[\icpXe[
\øZ`\ekZfe[lZkf]`kjYlj`e\jj#`eZcl[`e^X[_\i\eZ\kf
the Company’s policies, the safeguarding of its assets, the
prevention and detection of frauds and errors, the accuracy
and completeness of the accounting records, and the timely
gi\gXiXk`fef]i\c`XYc\ÔeXeZ`Xc`e]fidXk`fe#Xji\hl`i\[le[\i
the Companies Act, 2013.
Auditor’s Responsibility
Our responsibility is to express an opinion on the Company's
`ek\ieXcÔeXeZ`XcZfekifcjfm\iÔeXeZ`Xci\gfik`e^n`k_
i\]\i\eZ\kfk_\j\jkXe[Xcfe\ÔeXeZ`XcjkXk\d\ekjYXj\[
on our audit. We conducted our audit in accordance with
the Guidance Note on Audit of Internal Financial Controls
Over Financial Reporting (the “Guidance Note”) and the
JkXe[Xi[jfe8l[`k`e^Xjjg\Z`Ô\[le[\ij\Zk`fe(+*(' 
of the Companies Act, 2013, to the extent applicable to an
Xl[`kf]`ek\ieXcÔeXeZ`XcZfekifcjXe[#Yfk_`jjl\[Ypk_\
Institute of Chartered Accountants of India. Those Standards
and the Guidance Note require that we comply with ethical
requirements and plan and perform the audit to obtain
reasonable assurance about whether adequate internal
ÔeXeZ`XcZfekifcjfm\iÔeXeZ`Xci\gfik`e^n`k_i\]\i\eZ\kf
k_\j\jkXe[Xcfe\ÔeXeZ`XcjkXk\d\ekjnXj\jkXYc`j_\[Xe[
dX`ekX`e\[Xe[`]jlZ_Zfekifcjfg\iXk\[\ù\Zk`m\cp`eXcc
material respects.
EICHER MOTORS LIMITED
Our audit involves performing procedures to obtain audit
\m`[\eZ\XYflkk_\X[\hlXZpf]k_\`ek\ieXcÔeXeZ`XcZfekifcj
fm\iÔeXeZ`Xci\gfik`e^n`k_i\]\i\eZ\kfk_\j\jkXe[Xcfe\
ÔeXeZ`XcjkXk\d\ekjXe[k_\`ifg\iXk`e^\ù\Zk`m\e\jj%Fli
Xl[`kf]`ek\ieXcÔeXeZ`XcZfekifcjfm\iÔeXeZ`Xci\gfik`e^
`eZcl[\[fYkX`e`e^Xele[\ijkXe[`e^f]`ek\ieXcÔeXeZ`Xc
Zfekifcjfm\iÔeXeZ`Xci\gfik`e^n`k_i\]\i\eZ\kfk_\j\
jkXe[Xcfe\ÔeXeZ`XcjkXk\d\ekj#Xjj\jj`e^k_\i`jbk_XkX
material weakness exists, and testing and evaluating the
[\j`^eXe[fg\iXk`e^\ù\Zk`m\e\jjf]`ek\ieXcZfekifcYXj\[
on the assessed risk. The procedures selected depend on the
auditor’s judgement, including the assessment of the risks of
dXk\i`Xcd`jjkXk\d\ekf]k_\ÔeXeZ`XcjkXk\d\ekj#n_\k_\i
due to fraud or error.
We believe that the audit evidence we have obtained is
jløZ`\ekXe[Xggifgi`Xk\kfgifm`[\XYXj`j]fifliXl[`k
fg`e`fefek_\`ek\ieXcÔeXeZ`XcZfekifcjfm\iÔeXeZ`Xc
i\gfik`e^n`k_i\]\i\eZ\kfk_\j\jkXe[Xcfe\ÔeXeZ`Xc
statements.
Meaning of Internal Financial Controls Over Financial
Reporting With Reference to these Financial
Statements
8ZfdgXepj`ek\ieXcÔeXeZ`XcZfekifcfm\iÔeXeZ`Xci\gfik`e^
n`k_i\]\i\eZ\kfk_\j\jkXe[Xcfe\ÔeXeZ`XcjkXk\d\ekj
is a process designed to provide reasonable assurance
i\^Xi[`e^k_\i\c`XY`c`kpf]ÔeXeZ`Xci\gfik`e^Xe[k_\
gi\gXiXk`fef]ÔeXeZ`XcjkXk\d\ekj]fi\ok\ieXcgligfj\j`e
accordance with generally accepted accounting principles. A
ZfdgXepj`ek\ieXcÔeXeZ`XcZfekifcfm\iÔeXeZ`Xci\gfik`e^
n`k_i\]\i\eZ\kfk_\j\jkXe[Xcfe\ÔeXeZ`XcjkXk\d\ekj
includes those policies and procedures that (1) pertain to the
maintenance of records that, in reasonable detail, accurately
and fairly reflect the transactions and dispositions of the
assets of the company; (2) provide reasonable assurance that
transactions are recorded as necessary to permit preparation
f]ÔeXeZ`XcjkXk\d\ekj`eXZZfi[XeZ\n`k_^\e\iXccpXZZ\gk\[
accounting principles, and that receipts and expenditures
of the company are being made only in accordance with
authorisations of management and directors of the company;
and (3) provide reasonable assurance regarding prevention
or timely detection of unauthorised acquisition, use, or
disposition of the company's assets that could have a material
\ù\Zkfek_\ÔeXeZ`XcjkXk\d\ekj%

Inherent Limitations of Internal Financial Controls
Over Financial Reporting With Reference to these
Standalone Financial Statements
9\ZXlj\f]k_\`e_\i\ekc`d`kXk`fejf]`ek\ieXcÔeXeZ`Xc
Zfekifcjfm\iÔeXeZ`Xci\gfik`e^n`k_i\]\i\eZ\kfk_\j\
jkXe[Xcfe\ÔeXeZ`XcjkXk\d\ekj#`eZcl[`e^k_\gfjj`Y`c`kp
of collusion or improper management override of controls,
material misstatements due to error or fraud may occur
and not be detected. Also, projections of any evaluation of
k_\`ek\ieXcÔeXeZ`XcZfekifcjfm\iÔeXeZ`Xci\gfik`e^n`k_
i\]\i\eZ\kfk_\j\jkXe[Xcfe\ÔeXeZ`XcjkXk\d\ekjkf]lkli\
g\i`f[jXi\jlYa\Zkkfk_\i`jbk_Xkk_\`ek\ieXcÔeXeZ`Xc
Zfekifcfm\iÔeXeZ`Xci\gfik`e^n`k_i\]\i\eZ\kfk_\j\
jkXe[Xcfe\ÔeXeZ`XcjkXk\d\ekjdXpY\Zfd\`eX[\hlXk\
because of changes in conditions, or that the degree of
compliance with the policies or procedures may deteriorate.
Opinion
In our opinion, the Company has, in all material respects,
X[\hlXk\`ek\ieXcÔeXeZ`XcZfekifcjfm\iÔeXeZ`Xci\gfik`e^
n`k_i\]\i\eZ\kfk_\j\jkXe[Xcfe\ÔeXeZ`XcjkXk\d\ekjXe[
117
jlZ_`ek\ieXcÔeXeZ`XcZfekifcjfm\iÔeXeZ`Xci\gfik`e^n`k_
i\]\i\eZ\kfk_\j\jkXe[Xcfe\ÔeXeZ`XcjkXk\d\ekjn\i\
fg\iXk`e^\ù\Zk`m\cpXjXkDXiZ_*(#)'(0#YXj\[fek_\
`ek\ieXcZfekifcfm\iÔeXeZ`Xci\gfik`e^Zi`k\i`X\jkXYc`j_\[
by the Company considering the essential components of
internal control stated in the Guidance Note on Audit of
Internal Financial Controls Over Financial Reporting issued by
the Institute of Chartered Accountants of India.
For S.R. Batliboi & Co. LLP
Chartered Accountants
ICAI Firm Registration Number: 301003E/E300005
per Sanjay Vij
Partner
Membership Number: 095169
Place of Signature: Gurugram
Date: May 10, 2019
ANNUAL REPORT 2018-19
118
FINANCIAL STATEMENTS (STANDALONE)

BALANCE SHEET
AS AT MARCH 31, 2019
8CC8DFLEKJ8I<@EIS%:IFI<JLEC<JJFK?<IN@J<JK8K<;

Particulars Note No. As at As at

March 31, 2019 March 31, 2018
ASSETS
Non-current assets
(a) Property, plant and equipment + 1,688.32 (#+,+%.-
(b) Capital work-in-progress 5 272.14 (+(%/0
(c) Investment property 6 3.51 3.86
(d) Intangible assets 7 178.98 38.66
(e) Intangible assets under development 8 177.60 191.32
(f) Investments in subsidiaries & joint ventures 9 67.93 +0%+*
(g) Financial assets
(i) Investments 10 2,509.79 3,183.16
  ``  Fk_\iÔeXeZ`XcXjj\kj 12 28.27 )+%//
(h) Non-current tax assets 25 18.44 (/%++
(i) Other non-current assets 17 153.04 163.85
Total non-current assets 5,098.02 5,270.25
Current assets
(a) Inventories 13 605.34 379.23
(b) Financial assets
(i) Investments 10 468.81 -**%+'
(ii) Trade receivables (+ 112.65 78.02
(iii) Cash and cash equivalents 15 701.76 89.28
(iv) Bank balances other than (iii) above 16 2,238.31 (#((0%,+
  m  CfXej 11 1.29 0.28
  m`  Fk_\iÔeXeZ`XcXjj\kj 12 73.26 33.71
(c) Other current assets 17 177.97 190.96
Total current assets 4,379.39 )#,)+%+)
Total assets 9,477.41 .#.0+%-.
EQUITY AND LIABILITIES
Equity
(a) Equity share capital 18 27.28 27.26
(b) Other equity 19 7,099.17 ,#*++%0.
Total equity 7,126.45 5,372.23
Liabilities
Non-current liabilities
(a) Financial liabilities
  `  Fk_\iÔeXeZ`Xcc`XY`c`k`\j 20 9.96 8.88
(b) Provisions 23 23.00 29.12
(c) Deferred tax liabilities (net) )+ 276.49 (+)%0.
(d) Other non-current liabilities 26 63.13 +-%/+
Total non-current liabilities 372.58 227.81
Current liabilities
(a) Financial liabilities
(i) Borrowings 21 76.38 85.98
(ii) Trade payables 22
Total outstanding dues of micro enterprises and small enterprises 19.28 27.15
Total outstanding dues of creditors other than micro and small enterprises 1,211.82 (#(+*%*)
  ```  Fk_\iÔeXeZ`Xcc`XY`c`k`\j 20 158.00 166.70
(b) Provisions 23 57.65 +.%)(
(c) Current tax liabilities 25 141.47 108.01
(d) Other current liabilities 26 313.78 616.26
Total current liabilities 1,978.38 )#(0+%-*
Total liabilities 2,350.96 )#+))%++
Total equity and liabilities 9,477.41 .#.0+%-.
J\\XZZfdgXep`e^efk\j]fid`e^gXikf]k_\ÔeXeZ`XcjkXk\d\ekj

As per our report of even date =fiXe[feY\_Xc]f]k_\9fXi[f];`i\Zkfijf]<`Z_\iDfkfijC`d`k\[

For S.R. Batliboi & Co. LLP
Chartered Accountants
ICAI Firm registration number: 301003E/E300005

per Sanjay Vij Manhar Kapoor Lalit Malik Vinod K. Dasari Siddhartha Lal
Partner Company Secretary :_`\]=`eXeZ`XcFøZ\i Whole-time Director & Managing Director
Membership No : 095169 :<Ff]IfpXc<eÔ\c[ ;@E1'''*.-+,
;@E1''*+,-,.

Inder Mohan Singh Manvi Sinha Vinod Aggarwal S. Sandilya

Director Director Director Chairman
;@E1'.((+.,' DIN: 07038675 DIN: 00038906 ;@E1'''*.,+)

Place: Gurugram Place: Gurugram

Date: May 10, 2019 Date: May 10, 2019

EICHER MOTORS LIMITED

 119

STATEMENT OF PROFIT AND LOSS

FOR THE YEAR ENDED MARCH 31, 2019
8CC8DFLEKJ8I<@EIS%:IFI<JLEC<JJFK?<IN@J<JK8K<;

Particulars Note No. For the year ended For the year ended
March 31, 2019 March 31, 2018
INCOME
Sale of products 9,715.16 9,167.73
Other operating income 79.32 ++%'/
Revenue from operations 27 9,794.48 9,211.81
Other income 28 508.04 **)%+*
Total Income 10,302.52 0#,++%)+
EXPENSES
Cost of materials consumed 29 5,055.89 +#,(,%-'
Purchases of traded goods 30 205.33 (,+%0.
 :_Xe^\`e`em\ekfi`\jf]Ôe`j_\[^ff[j#nfib$`e$gif^i\jjXe[kiX[\[^ff[j 31 (198.46) *(%+.
Excise duty on sale 27 - ),+%*'
 <dgcfp\\Y\e\Ôkj\og\ej\ 32 679.53 ,+.%/-
Finance costs 33 2.99 *%'+
Depreciation and amortisation expense *+ 298.93 )))%*+
Other expenses 35 1,107.81 917.35
Total Expenses 7,152.02 6,583.99
GifÔkY\]fi\\oZ\gk`feXc`k\djXe[kXo 3,150.50 2,960.25
Exceptional item 36 17.52 311.98
GifÔkY\]fi\kXo 3,132.98 )#-+/%).
Tax expense
Current tax 37 941.92 /..%*+
Deferred tax 37 136.62 58.02
Total tax expense 1,078.54 935.36
E\kgifÔkX]k\ikXo 2,054.44 1,712.91
Other comprehensive income/(expense)
@k\djk_XkdXpY\i\ZcXjj`Ô\[kfgifÔkficfjj1$
 <oZ_Xe^\[`ù\i\eZ\j`ekiXejcXk`e^k_\ÔeXeZ`XcjkXk\d\ekjf]]fi\`^e (7.47) 18.32
operations
 @eZfd\kXo\ù\Zk 37 2.61 (6.33)
(4.86) 11.99
@k\djk_Xkn`ccefkY\i\ZcXjj`Ô\[kfgifÔkficfjj1$
 I\$d\Xjli\d\ek^X`ej&cfjj\j fe[\Ôe\[Y\e\ÔkgcXej (1.40) (%.+
 @eZfd\kXo\ù\Zk 37 0.49 0.60
(0.91) (%(+
Total Comprehensive income for the year 2,048.67 1,723.76
Earnings per equity share of Rs. 10 each (in Rs.)
(a) Basic +* 753.37 629.07
(b) Diluted +* 752.54 627.88
J\\XZZfdgXep`e^efk\j]fid`e^gXikf]k_\ÔeXeZ`XcjkXk\d\ekj

As per our report of even date =fiXe[feY\_Xc]f]k_\9fXi[f];`i\Zkfijf]<`Z_\iDfkfijC`d`k\[

For S.R. Batliboi & Co. LLP
Chartered Accountants
ICAI Firm registration number: 301003E/E300005

per Sanjay Vij Manhar Kapoor Lalit Malik Vinod K. Dasari Siddhartha Lal
Partner Company Secretary :_`\]=`eXeZ`XcFøZ\i Whole-time Director & Managing Director
Membership No : 095169 :<Ff]IfpXc<eÔ\c[ ;@E1'''*.-+,
;@E1''*+,-,.

Inder Mohan Singh Manvi Sinha Vinod Aggarwal S. Sandilya

Director Director Director Chairman
;@E1'.((+.,' DIN: 07038675 DIN: 00038906 ;@E1'''*.,+)

Place: Gurugram Place: Gurugram

Date: May 10, 2019 Date: May 10, 2019

ANNUAL REPORT 2018-19

120
FINANCIAL STATEMENTS (STANDALONE)

STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED MARCH 31, 2019
8CC8DFLEKJ8I<@EIS%:IFI<JLEC<JJFK?<IN@J<JK8K<;

A EQUITY SHARE CAPITAL

Number of Shares Amount
Balance as at March 31, 2017 2,72,10,249 27.21
Changes in equity share capital during the year
  @jjl\f]\hl`kpj_Xi\jle[\i\dgcfp\\j_Xi\fgk`fegcXei\]\iefk\+/ +,#*'' 0.05
Balance as at March 31, 2018 2,72,55,549 27.26
Changes in equity share capital during the year
  @jjl\f]\hl`kpj_Xi\jle[\i\dgcfp\\j_Xi\fgk`fegcXei\]\iefk\+/ 27,021 0.02
Balance as at March 31, 2019 2,72,82,570 27.28

B OTHER EQUITY

Particulars Reserves and surplus Items of Total

OCI equity
Capital Capital Securities General Share Retained Foreign Total
reserve redemption premium reserve based earnings currency
reserve reserve payments translation
reserve reserve
Balance as at March 31, 2017 0.25 1.41 32.09 339.89 45.13 3,476.61 - 3,895.38
GifÔk]fik_\p\Xi - - - - - 1,712.91 - 1,712.91
Other comprehensive income for - - - - - (%(+ 11.99 10.85
the year, net of income tax
Total comprehensive income - - - - - 1,711.77 11.99 1,723.76
for the year
Share-based payments - - - - 18.11 - - 18.11
i\]\iefk\+/
Payment of dividend - - - - - (272.22) - (272.22)
Payment of dividend tax - - - - - ++%0' - (44.90)
Proceeds from issue of equity shares - - (0%++ - - - - 19.44
under employee share option plan
ESOP expense transferred to - - - - ,%+' - - 5.40
subsidiary company
Transfer to securities premium on - - /%/+ - /%/+ - - -
issue of shares
Balance as at March 31, 2018 0.25 1.41 60.37 339.89 59.80 4,871.26 11.99 5,344.97
GifÔk]fik_\p\Xi - - - - - )#',+%++ - 2,054.44
Other comprehensive income for - - - - - (0.91) +%/- (5.77)
the year, net of income tax
Total comprehensive income - - - - - 2,053.53 (4.86) 2,048.67
for the year
Share-based payments - - - - (-%+' - - 16.40
i\]\iefk\+/
Payment of dividend - - - - - (299.93) - (299.93)
Payment of dividend tax - - - - - +/%)* - (48.23)
Proceeds from issue of equity shares - - 36.11 - - - - 36.11
under employee share option plan
ESOP expense transferred to - - - - 1.18 - - 1.18
subsidiary company
Transfer to securities premium on - - 18.63 - (18.63) - - -
issue of shares
Balance as at March 31, 2019 0.25 1.41 115.11 339.89 58.75 6,576.63 7.13 7,099.17
J\\XZZfdgXep`e^efk\j]fid`e^gXikf]k_\ÔeXeZ`XcjkXk\d\ekj

As per our report of even date =fiXe[feY\_Xc]f]k_\9fXi[f];`i\Zkfijf]<`Z_\iDfkfijC`d`k\[

For S.R. Batliboi & Co. LLP
Chartered Accountants
ICAI Firm registration number: 301003E/E300005

per Sanjay Vij Manhar Kapoor Lalit Malik Vinod K. Dasari Siddhartha Lal
Partner Company Secretary :_`\]=`eXeZ`XcFøZ\i Whole-time Director & Managing Director
Membership No : 095169 :<Ff]IfpXc<eÔ\c[ ;@E1'''*.-+,
;@E1''*+,-,.

Inder Mohan Singh Manvi Sinha Vinod Aggarwal S. Sandilya

Director Director Director Chairman
;@E1'.((+.,' DIN: 07038675 DIN: 00038906 ;@E1'''*.,+)

Place: Gurugram Place: Gurugram

Date: May 10, 2019 Date: May 10, 2019

EICHER MOTORS LIMITED

 121

CASH FLOW STATEMENT

FOR THE YEAR ENDED MARCH 31, 2019
8CC8DFLEKJ8I<@EIS%:IFI<JLEC<JJFK?<IN@J<JK8K<;

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
A. CASH FLOW FROM/(USED IN) OPERATING ACTIVITIES
 GifÔkY\]fi\kXo 3,132.98 )#-+/%).
Adjustments for:
Depreciation and amortisation expenses 298.93 )))%*+
Gain on disposal of property, plant and equipment (0.17) (0.17)
Impairment loss in the value of investments (refer note 36) 17.52 311.98
Property, plant and equipment discarded 3.00 -
Rent income (0.26) (2.92)
CfjjfejXc\f]gifg\ikp#gcXekXe[\hl`gd\ek 1.12 1.00
Dividend from joint venture company (65.28) (51.68)
E\k^X`efeÔeXeZ`Xc`ejkild\ekjXk]X`imXcl\k_ifl^_gifÔkficfjj (288.68) (235.02)
@ek\i\jk`eZfd\i\Zf^e`j\[`egifÔkficfjj (130.32) (39.32)
Expenses recognised in respect of equity-settled share-based payments 14.21 18.11
I\$d\Xjli\d\ek^X`ej&cfjj\j fe[\Ôe\[Y\e\ÔkgcXej (1.40) (%.+
<oZ_Xe^\[`ù\i\eZ\feZfem\ij`fe (7.47) 18.32
=`eXeZ\Zfjkji\Zf^e`q\[`egifÔkficfjj 2.99 *%'+
Fg\iXk`e^gifÔkY\]fi\Z_Xe^\j`enfib`e^ZXg`kXc 2,977.17 2,892.21
Changes in working capital:
Adjustments for (increase) / decrease in non-current assets:
Fk_\iÔeXeZ`XcXjj\kj (4.45) (6.00)
Other assets 0.04 0.63
Adjustments for (increase) / decrease in current assets:
Inventories (226.11) (56.78)
Trade receivables (34.63) (29.08)
CfXej (1.01) 0.06
Fk_\iÔeXeZ`XcXjj\kj 3.10 5.29
Other assets 12.99 (115.25)
Adjustments for increase / (decrease) in non-current liabilities:
Fk_\iÔeXeZ`Xcc`XY`c`k`\j 1.08 1.72
Provisions (7.72) 1.30
Other liabilities 16.29 )*%-+
Adjustments for increase / (decrease) in current liabilities:
Trade payables 60.63 +',%0/
Fk_\iÔeXeZ`Xcc`XY`c`k`\j 13.84 7.33
Provisions 10.44 +%.'
Other liabilities (302.48) 186.73
Cash generated from operating activities 2,519.18 *#*))%+/
Direct taxes paid (908.46) (807.09)
Net cash flow from/(used in) operating activities (A) 1,610.72 2,515.39
B. CASH FLOW FROM/(USED IN) INVESTING ACTIVITIES
Payment for property, plant and equipment (786.81) .+,%'-
Proceeds from disposal of property, plant and equipment 0.08 1.60
Investment in subsidiary company (18.50) (15.91)
Investment in a joint venture company (30.00) (16.50)
@em\jkd\ek`e\hl`kpj_Xi\jf]XZfdgXepi\Zf^e`j\[Xk=MKGC (5.04) (0.09)
Proceeds from sale of investments 9,050.65 6,123.96
Purchases of investments (7,924.00) -#+-+%('
@em\jkd\ekj`eÔo\[[\gfj`k (3,696.00) (#)+*%0+
DXkli`kpgifZ\\[j]ifdÔo\[[\gfj`k 2,578.94 135.00

ANNUAL REPORT 2018-19

122
FINANCIAL STATEMENTS (STANDALONE)

CASH FLOW STATEMENT (CONTD.)

FOR THE YEAR ENDED MARCH 31, 2019
8CC8DFLEKJ8I<@EIS%:IFI<JLEC<JJFK?<IN@J<JK8K<;

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Dividend from joint venture company 65.28 51.68
Rent received 0.26 2.92
Interest received 89.92 11.98
Net cash flow from/(used in) investing activities (B) (675.22) )#(,/%+-
C. CASH FLOW FROM/(USED IN) FINANCING ACTIVITIES
Short term borrowings availed 322.06 +,0%-0
Re-payment of short term borrowings (342.89) ++(%(,
Interest paid (1.39) (1.35)
Proceeds from issue of equity share capital under ESOP Scheme (including security premium) 36.13 (0%+0
Dividend paid (299.93) (272.22)
Tax on dividend paid (48.23) ++%0'
E\kZXj_]cfn]ifd&lj\[`e ÔeXeZ`e^XZk`m`k`\j: (334.25) )/'%++
Net Increase/(decrease) in cash and cash equivalents (A)+(B)+(C) 601.25 .-%+0
Cash and cash equivalents at the beginning of the year 89.28 12.79
Cash and cash equivalents at the end of the year 690.53 89.28

Particulars As at As at
March 31, 2019 March 31, 2018
Components of cash and cash equivalents
Cash on hand 0.03 '%'+
Cheques/drafts on hand - 0.06
Balances with banks:
In current accounts 9.73 89.18
In deposit accounts with original maturity of less than three months 692.00 -
Cash and cash equivalents as per balance sheet (refer note 15) 701.76 89.28
Bank overdrafts (refer note 21) 11.23 -
Cash and cash equivalents as per statement of cash flows 690.53 89.28
J\\XZZfdgXep`e^efk\j]fid`e^gXikf]k_\ÔeXeZ`XcjkXk\d\ekj

As per our report of even date =fiXe[feY\_Xc]f]k_\9fXi[f];`i\Zkfijf]<`Z_\iDfkfijC`d`k\[

For S.R. Batliboi & Co. LLP
Chartered Accountants
ICAI Firm registration number: 301003E/E300005

per Sanjay Vij Manhar Kapoor Lalit Malik Vinod K. Dasari Siddhartha Lal
Partner Company Secretary :_`\]=`eXeZ`XcFøZ\i Whole-time Director & Managing Director
Membership No : 095169 :<Ff]IfpXc<eÔ\c[ ;@E1'''*.-+,
;@E1''*+,-,.

Inder Mohan Singh Manvi Sinha Vinod Aggarwal S. Sandilya

Director Director Director Chairman
;@E1'.((+.,' DIN: 07038675 DIN: 00038906 ;@E1'''*.,+)

Place: Gurugram Place: Gurugram

Date: May 10, 2019 Date: May 10, 2019

EICHER MOTORS LIMITED


NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED
1. CORPORATE INFORMATION
 <`Z_\iDfkfijC`d`k\[Èk_\:fdgXepÉ `jXglYc`Z
company domiciled and incorporated in India under
the provisions of the Companies Act, 1956. The
Company is engaged in the manufacturing and selling
of motorcycles, spare parts and related services. The
:fdgXep_Xj`kji\^`jk\i\[føZ\XkE\n;\c_`#@e[`X
Xe[`kjZfigfiXk\føZ\Xk>lil^iXd#?XipXeX#@e[`X%
The Company has its equity shares listed on the BSE
C`d`k\[Xe[EXk`feXcJkfZb<oZ_Xe^\f]@e[`XC`d`k\[%
K_\jkXe[Xcfe\ÔeXeZ`XcjkXk\d\ekjn\i\Xlk_fi`q\[
for issue in accordance with a resolution of the Board of
Directors on May 10, 2019.
2. BASIS OF PREPARATION AND
PRESENTATION
2.1 Statement of compliance
 K_\ÔeXeZ`XcjkXk\d\ekj_Xm\Y\\egi\gXi\[`e
accordance with Indian Accounting Standards
@e[8J efk`Ô\[le[\ij\Zk`fe(**f]k_\
Companies Act, 2013 read with Companies (Indian
Accounting Standards) Rules, 2015, as amended
and the presentation requirements of Division II
of Schedule III to the Companies Act, 2013, (Ind
AS compliant Schedule III), as applicable to the
ÔeXeZ`XcjkXk\d\ekj%
2.2 Accounting convention
 K_\ÔeXeZ`XcjkXk\d\ekj_Xm\Y\\egi\gXi\[fe
k_\_`jkfi`ZXcZfjkYXj`j\oZ\gk]fiZ\ikX`eÔeXeZ`Xc
instruments that are measured at fair values at
the end of each reporting period, as explained
in the accounting policies below. Historical
cost is generally based on the fair value of the
consideration given in exchange of goods and
j\im`Z\j%K_\ÔeXeZ`XcjkXk\d\ekjXi\gi\j\ek\[
in Indian Rupees and all values are rounded to the
nearest crore, except otherwise indicated.
2.3 Operating cycle
Based on the nature of products/ activities of the
Company and the normal time between acquisition
of assets and their realization in cash or cash
equivalents, the Company has determined its
operating cycle as 12 months for the purpose of
ZcXjj`ÔZXk`fef]`kjXjj\kjXe[c`XY`c`k`\jXjZlii\ek
and non-current.
3. SIGNIFICANT ACCOUNTING POLICIES
 *%( :lii\ekm\ijljefe$Zlii\ekZcXjj`ÔZXk`fe
The Company presents assets and liabilities in the
YXcXeZ\j_\\kfeZlii\ek&efe$Zlii\ekZcXjj`ÔZXk`fe%
An asset is treated as current when it is:
123
Š Expected to be realised or intended to be sold
or consumed in normal operating cycle
Š Held primarily for the purpose of trading
Š Expected to be realised within twelve months
after the reporting period, or
Š Cash or cash equivalent unless restricted
from being exchanged or used to settle a
liability for at least twelve months after the
reporting period
 8ccfk_\iXjj\kjXi\ZcXjj`Ô\[Xjefe$Zlii\ek%
A liability is current when:
Š It is expected to be settled in normal operating
cycle
Š It is held primarily for the purpose of trading
Š It is due to be settled within twelve months
after the reporting period, or
Š There is no unconditional right to defer the
settlement of the liability for at least twelve
months after the reporting period
 K_\:fdgXepZcXjj`Ô\jXccfk_\ic`XY`c`k`\jXjefe$
current.
 ;\]\ii\[kXoXjj\kjXe[c`XY`c`k`\jXi\ZcXjj`Ô\[Xj
non-current assets and liabilities.
3.2 Revenue from contract with customer
Revenue from contracts with customers is
recognised when control of the goods or services
are transferred to the customer at an amount that
reflects the consideration to which the Company
expects to be entitled in exchange for those goods
or services. The Company has generally concluded
that it is the principal in its revenue arrangements,
except for the agency services below, because it
typically controls the goods or services before
transferring them to the customer.
Sale of goods
Revenue from sale of goods is recognised at
the point in time when control of the goods is
transferred to the customer, generally on delivery
of the goods.
The Company considers whether there are other
promises in the contract that are separate
performance obligations to which a portion of
the transaction price needs to be allocated (e.g.,
warranties, Road Side Assistance, Free Service
ANNUAL REPORT 2018-19
124
FINANCIAL STATEMENTS (STANDALONE)
NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED
Coupons, etc.). In determining the transaction price
for the sale of goods, the Company considers the
\ù\Zkjf]mXi`XYc\Zfej`[\iXk`fe#k_\\o`jk\eZ\
f]j`^e`ÔZXekÔeXeZ`e^Zfdgfe\ekj#efe$ZXj_
consideration, and consideration payable to the
customer (if any).
Variable consideration
If the consideration in a contract includes a variable
amount, the Company estimates the amount of
consideration to which it will be entitled in exchange
for transferring the goods to the customer. The
variable consideration is estimated at contract
inception and constrained until it is highly probable
k_XkXj`^e`ÔZXeki\m\el\i\m\ijXc`ek_\Xdflek
of cumulative revenue recognised will not occur
when the associated uncertainty with the variable
consideration is subsequently resolved. Some
contracts for the sale of traded goods provide
customers with a right of return for which, the
consideration is estimated based on goods
expected to be returned. The rights of return give
rise to variable consideration. For goods that are
expected to be returned, instead of revenue, the
Company recognises a refund liability.
Warranty obligations
The Company typically provides warranties for
general repairs of defects that existed at the time
of sale, as required by law. These assurance-type
warranties are accounted for under Ind AS 37
Gifm`j`fej#:fek`e^\ekC`XY`c`k`\jXe[:fek`e^\ek
Assets. Refer to the accounting policy on warranty
provisions in section 3.15 Provisions.
The Company provides a one or two-year warranty
Y\pfe[Ôo`e^[\]\Zkjk_Xk\o`jk\[Xkk_\k`d\f]
sale. These service-type warranties are sold either
separately or bundled together with the sale of
goods. Contracts for bundled sales of goods and a
service-type warranty comprise two performance
obligations because the promises to transfer the
goods and to provide the service-type warranty
are capable of being distinct. Using the relative
stand-alone selling price method, a portion of the
transaction price is allocated to the service-type
warranty and recognised as a contract liability.
Revenue is recognised over the period in which the
service-type warranty is provided based on the
time elapsed.
EICHER MOTORS LIMITED
Agency services
In contracts where the Company acts as an agent,
the revenue is recorded at the net amount that the
Company retains for its agency services.
Trade receivables
A receivable represents the Company’s right to
an amount of consideration that is unconditional
(i.e., only the passage of time is required before
payment of the consideration is due). Refer to
XZZflek`e^gfc`Z`\jf]ÔeXeZ`XcXjj\kj`ej\Zk`fe
3.16 Financial instruments – initial recognition and
subsequent measurement.
Contract liabilities
A contract liability is the obligation to transfer
goods or services to a customer for which the
Company has received consideration (or an amount
of consideration is due) from the customer. If a
customer pays consideration before the Company
transfers goods or services to the customer, a
contract liability is recognised when the payment is
made or the payment is due (whichever is earlier).
Contract liabilities are recognised as revenue when
the Company performs under the contract.
Dividend and interest income
Dividend income from investments is recognised
when the shareholder's right to receive payment
has been established.
 @ek\i\jk`eZfd\]ifdXÔeXeZ`XcXjj\k`ji\Zf^e`j\[
n_\e`k`jgifYXYc\k_Xkk_\\Zfefd`ZY\e\Ôkjn`cc
flow to the Company and the amount of income can
be measured reliably. Interest income is accrued on,
time basis, by reference to the principal outstanding
Xe[Xkk_\\ù\Zk`m\`ek\i\jkiXk\Xggc`ZXYc\#n_`Z_
is the rate that exactly discounts estimated future
cash receipts through the expected life of the
ÔeXeZ`XcXjj\kkfk_XkXjj\kje\kZXiip`e^Xdflek
on initial recognition.
3.3 Leases
The determination of whether an arrangement is
(or contains) a lease is based on the substance
of the arrangement at the inception of the
lease. The arrangement is, or contains, a lease
`]]lcÔcd\ekf]k_\XiiXe^\d\ek`j[\g\e[\ek
fek_\lj\f]Xjg\Z`ÔZXjj\kfiXjj\kjXe[k_\
arrangement conveys a right to use the asset or
Xjj\kj#\m\e`]k_Xki`^_k`jefk\ogc`Z`kcpjg\Z`Ô\[
in an arrangement.

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED
 C\Xj\jXi\ZcXjj`Ô\[XjÔeXeZ\c\Xj\jn_\e\m\ik_\
terms of the lease transfer substantially, all the risks
and rewards of ownership to the lessee. All other
c\Xj\jXi\ZcXjj`Ô\[Xjfg\iXk`e^c\Xj\j%
As a lessee
 C\Xj\j`en_`Z_Xj`^e`]`ZXekgfik`fef]k_\
risks and rewards of ownership are retained by
the lessor are classified as operating leases.
Payments made under operating leases are
Z_Xi^\[kfk_\JkXk\d\ekf]Gif]`kXe[Cfjjfe
a straight line basis over the period of the lease
in a manner which is representative of the time
pattern in which benefit derived from the use of
the leased asset is diminished.
As a lessor
The Company has leased out certain assets and
such leases where the Company has substantially
retained all the risks and rewards of ownership
Xi\ZcXjj`Ô\[Xjfg\iXk`e^c\Xj\j%C\Xj\`eZfd\
on such operating leases are recognised in the
JkXk\d\ekf]GifÔkXe[CfjjfeXjkiX`^_kc`e\
basis over the lease term in a manner which
is representative of the time pattern in which
Y\e\Ôk[\i`m\[]ifdk_\lj\f]k_\c\Xj\[Xjj\k`j
diminished. Initial direct costs are recognised as an
\og\ej\`ek_\JkXk\d\ekf]GifÔkXe[Cfjj`ek_\
period in which they are incurred.
3.4 Foreign currencies
 @K_\ÔeXeZ`XcjkXk\d\ekjXi\gi\j\ek\[`e@e[`Xe
Rupees, which is also the functional currency of
k_\:fdgXep%@egi\gXi`e^k_\ÔeXeZ`XcjkXk\d\ekj
of the Company, transactions in currencies other
than the Company's functional currency (foreign
currencies) are recognised at the rates of exchange
prevailing at the dates of the transactions.
At the end of each reporting period, monetary items
denominated in foreign currencies are retranslated
at the rates prevailing at that date.
Transactions in foreign currencies are initially
recorded by the foreign operation at the
functional currency spot rates at the date the
kiXejXZk`feÔijkhlXc`Ô\j]fii\Zf^e`k`fe%@e
respect of foreign operation, the assets and
liabilities are translated into INR at the rate of
exchange prevailing at the reporting date and their
jkXk\d\ekf]gifÔkXe[cfjjXkk_\iXk\jgi\mX`c`e^
on the date of the transactions. However, for
125
practical reasons, the Company uses an average
rate to translate the income and expense items, if
the average approximates the actual rate at the
date of the transaction.
 <oZ_Xe^\[`ù\i\eZ\jXi`j`e^fej\kkc\d\ekfi
translation of monetary items are recognised in
k_\JkXk\d\ekf]gifÔkficfjjn`k_k_\\oZ\gk`fe
of the following:
 <oZ_Xe^\[`ù\i\eZ\jXi`j`e^fedfe\kXip
items that forms part of a reporting entity’s net
investment in a foreign operation are initially
i\Zf^e`j\[`ek_\ÔeXeZ`XcjkXk\d\ekjf]k_\
Company in the other comprehensive income.
K_\j\\oZ_Xe^\[`ù\i\eZ\jXi\i\ZcXjj`Ô\[]ifd
equity (Foreign currency translation reserve) to
gifÔkficfjjfe[`jgfjXcf]k_\e\k`em\jkd\ek%
Tax charges and credits attributable to exchange
[`ù\i\eZ\jfek_fj\dfe\kXip`k\djXi\Xcjf
recorded in OCI.
3.5 Borrowing costs
Borrowing costs directly attributable to the'
acquisition, construction or production of qualifying
assets, which are assets that necessarily take a
substantial period of time to get ready for their
intended use or sale, are added to the cost of
those assets, until such time as the assets are
substantially ready for their intended use or sale.
 8ccfk_\iYfiifn`e^ZfjkjXi\i\Zf^e`j\[`egifÔkfi
loss in the period in which they are incurred.
3.6 Government grants
Government grants are not recognised until there
is reasonable assurance that the Company will
comply with the conditions attached to them and
that the grants will be received. When the grant
relates to an expense item, it is recognised as
income on a systematic basis over the periods
that the related costs, for which it is intended to
compensate, are expensed.
When the Company receives grant of non-
monetary assets, the asset and the grant are
recorded at fair value amounts and released to
k_\jkXk\d\ekf]gifÔkXe[cfjjfm\ik_\\og\Zk\[
useful life in a pattern of consumption of the
Y\e\Ôkf]k_\le[\icp`e^Xjj\k#`%\%#Yp\hlXc
annual instalments.
ANNUAL REPORT 2018-19
126
FINANCIAL STATEMENTS (STANDALONE)
NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED
In the case of Export Promotion Capital Goods
(‘EPCG’) grant, the Company recognise the grant
`ek_\jkXk\d\ekf]gifÔkXe[cfjjfeXjpjk\dXk`Z
basis over the useful life of the assets.
*%. I\k`i\d\ekXe[fk_\i\dgcfp\\Y\e\Ôkj
Provident fund
(i) The Company operates a scheme of provident
]le[]fi\c`^`Yc\\dgcfp\\j#n_`Z_`jX[\Ôe\[
Y\e\ÔkgcXe%9fk_k_\\dgcfp\\Xe[k_\
Company make monthly contributions to
k_\gifm`[\ek]le[gcXe\hlXckfXjg\Z`Ô\[
percentage of the covered employee’s
salary. The Company contributes a part of
the contributions to the “Eicher Executive
Provident Fund Trust”. The rate at which the
XeelXc`ek\i\jk`jgXpXYc\kfk_\Y\e\ÔZ`Xi`\j
by the trust is being administered by the
Government. The Company has an obligation
to make good the shortfall, if any, between the
return from the investments of the trust and
k_\efk`Ô\[`ek\i\jkiXk\%
  K _\Zfjkf]gifm`[`e^Y\e\Ôkjle[\iXYfm\
d\ek`fe\[[\Ôe\[Y\e\ÔkgcXe`j[\k\id`e\[
using the projected unit credit method with
actuarial valuations being carried out at each
balance sheet date, which recognizes each
period of service as giving rise to additional
le`kf]\dgcfp\\Y\e\Ôk\ek`kc\d\ekXe[
measures each unit separately to build up the
ÔeXcfYc`^Xk`fe%
(ii) The employees, who are not covered under the
scheme stated in 3.7 (i) above, are covered in
X[\Ôe\[Zfeki`Ylk`fejZ_\d\n_\i\`ek_\`i
portion of provident fund is contributed to the
government administered provident fund. The
Company has no obligation, other than the
contribution payable to the provident fund.
The Company recognizes contribution payable
to the provident fund scheme as expenditure,
when an employee renders the related service.
Gratuity
 K_\:fdgXepfg\iXk\jX[\Ôe\[Y\e\Ôk^iXkl`kp
plan, which requires contributions to be made to a
separately administered fund.
 =fi[\Ôe\[Y\e\ÔkgcXej#k_\Zfjkf]gifm`[`e^
Y\e\Ôkj`j[\k\id`e\[lj`e^k_\gifa\Zk\[le`k
credit method, with actuarial valuations being
EICHER MOTORS LIMITED
carried out at the end of each annual reporting
period.
Re-measurements, comprising actuarial gains and
losses and the return on plan assets (excluding net
interest), is reflected immediately in the balance
sheet with a charge or credit recognised in other
comprehensive income in the period in which they
occur. Re-measurements recognised in other
comprehensive income is reflected immediately in
i\kX`e\[\Xie`e^jXe[`jefki\ZcXjj`Ô\[kfgifÔk
or loss. Net interest is calculated by applying the
discount rate at the beginning of the period to the
e\k[\Ôe\[Y\e\Ôkc`XY`c`kpfiXjj\k%
 ;\Ôe\[Y\e\ÔkZfjkjXi\ZXk\^fi`j\[Xj]fccfnj1
Š service cost (including current service cost,
past service cost, as well as gains and losses or
curtailments and settlements);
Š net interest expense or income; and
Š re-measurement
Net interest is calculated by applying the discount
iXk\kfk_\e\k[\Ôe\[Y\e\Ôkc`XY`c`kpfiXjj\k%
 K_\:fdgXepgi\j\ekjk_\ÔijkknfZfdgfe\ekjf]
[\Ôe\[Y\e\ÔkZfjkj`egifÔkficfjj`ek_\c`e\`k\d
<dgcfp\\Y\e\Ôkj\og\ej\%
 K_\i\k`i\d\ekY\e\ÔkfYc`^Xk`fei\Zf^e`j\[`e
k_\YXcXeZ\j_\\ki\gi\j\ekjk_\XZklXc[\ÔZ`kfi
jligclj`ek_\:fdgXepËj[\Ôe\[Y\e\ÔkgcXej%
Any surplus resulting from this calculation is limited
kfk_\gi\j\ekmXcl\f]Xep\Zfefd`ZY\e\Ôkj
available in the form of refunds from the plan or
reductions in future contributions to the plans.
Short-term and other long-term employee
Y\e\Ôkj
 8c`XY`c`kp`ji\Zf^e`j\[]fiY\e\ÔkjXZZil`e^kf
employees in respect of wages and salaries, in
the period the related service is rendered at the
le[`jZflek\[Xdflekf]k_\Y\e\Ôkj\og\Zk\[kf
be paid in exchange for that service.
 C`XY`c`k`\ji\Zf^e`j\[`ei\jg\Zkf]j_fik$
k\id\dgcfp\\Y\e\ÔkjXi\d\Xjli\[Xkk_\
le[`jZflek\[Xdflekf]k_\Y\e\Ôkj\og\Zk\[kf
be paid in exchange for the related service.

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED
 C`XY`c`k`\ji\Zf^e`j\[`ei\jg\Zkf]fk_\icfe^$
k\id\dgcfp\\Y\e\ÔkjjlZ_XjXeelXcc\Xm\Xe[
sick leave are measured at the present value of
the estimated future cash outflows expected to
be made by the Company in respect of services
provided by employees up to the reporting date.
3.8 Share-based payment arrangements
Employees (including senior executives) of the
Company receive remuneration in the form of
share-based payments, whereby employees render
services as consideration for equity instruments
(equity-settled transactions).
Equity-settled share-based payments to
employees are measured at the fair value of the
equity instruments at the grant date. Details
regarding the determination of the fair value of
equity-settled share-based transactions are set
flk`eefk\ef%+/%
That cost is recognised, together with a
corresponding increase in share-based payment
(SBP) reserves in equity, over the period in which
the performance and/or service conditions
Xi\]lcÔcc\[`e\dgcfp\\Y\e\Ôkj\og\ej\%K_\
cumulative expense recognised for equity-
settled transactions at each reporting date until
the vesting date reflects the extent to which the
vesting period has expired and the Company’s
best estimate of the number of equity instruments
k_Xkn`cclck`dXk\cpm\jk%K_\jkXk\d\ekf]gifÔk
and loss expense or credit for a period represents
the movement in cumulative expense recognised
as at the beginning and end of that period and is
i\Zf^e`j\[`e\dgcfp\\Y\e\Ôkj\og\ej\%
 K_\[`clk`m\\ù\Zkf]flkjkXe[`e^fgk`fej`j
reflected as additional share dilution in the
computation of diluted earnings per share.
3.9 Taxation
Income tax expense represents the sum of the tax
currently payable and deferred tax.
Current tax
 K_\kXoZlii\ekcpgXpXYc\`jYXj\[fekXoXYc\gifÔk
]fik_\p\Xi%KXoXYc\gifÔk[`ù\ij]ifdgifÔkY\]fi\
kXoXji\gfik\[`ek_\jkXk\d\ekf]gifÔkXe[cfjj
because of items of income or expense that are
taxable or deductible in other years and items that
are never taxable or deductible. The Company's
127
current tax is calculated using tax rates and laws
that have been enacted or substantively enacted
by the end of the reporting period.
Current income tax relating to items recognised
flkj`[\gifÔkficfjj`ji\Zf^e`j\[flkj`[\gifÔk
or loss (either in other comprehensive income
or in equity). Current tax items are recognised in
correlation to the underlying transaction either in
OCI or directly in equity. Management periodically
evaluates positions taken in the tax returns with
respect to situations in which applicable tax
regulations are subject to interpretation and
establishes provisions where appropriate.
Deferred tax
Deferred tax is provided using the liability method
fek\dgfiXip[`ù\i\eZ\jY\kn\\ek_\kXoYXj\jf]
assets and liabilities and their carrying amounts for
ÔeXeZ`Xci\gfik`e^gligfj\jXkk_\i\gfik`e^[Xk\%
Deferred tax liabilities are recognised for all taxable
k\dgfiXip[`ù\i\eZ\j#\oZ\gk1
Š When the deferred tax liability arises from
the initial recognition of goodwill or an asset
or liability in a transaction that is not a
business combination and, at the time of the
kiXejXZk`fe#Xù\Zkje\`k_\ik_\XZZflek`e^
gifÔkefikXoXYc\gifÔkficfjj%
Š @ei\jg\Zkf]kXoXYc\k\dgfiXip[`ù\i\eZ\j
associated with investments in subsidiaries,
associates and interests in joint ventures,
when the timing of the reversal of the
k\dgfiXip[`ù\i\eZ\jZXeY\Zfekifcc\[Xe[`k
`jgifYXYc\k_Xkk_\k\dgfiXip[`ù\i\eZ\jn`cc
not reverse in the foreseeable future
Deferred tax assets are recognised for all deductible
k\dgfiXip[`ù\i\eZ\j#k_\ZXiip]finXi[f]lelj\[
tax credits and any unused tax losses. Deferred
tax assets are recognised to the extent that it is
gifYXYc\k_XkkXoXYc\gifÔkn`ccY\XmX`cXYc\X^X`ejk
n_`Z_k_\[\[lZk`Yc\k\dgfiXip[`ù\i\eZ\j#Xe[k_\
carry forward of unused tax credits and unused tax
losses can be utilised, except:
Š When the deferred tax asset relating to
k_\[\[lZk`Yc\k\dgfiXip[`ù\i\eZ\Xi`j\j
from the initial recognition of an asset
or liability in a transaction that is not a
business combination and, at the time of the
kiXejXZk`fe#Xù\Zkje\`k_\ik_\XZZflek`e^
gifÔkefikXoXYc\gifÔkficfjj%
ANNUAL REPORT 2018-19
128
FINANCIAL STATEMENTS (STANDALONE)
NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED
Š @ei\jg\Zkf][\[lZk`Yc\k\dgfiXip[`ù\i\eZ\j
associated with investments in subsidiaries,
associates and interests in joint ventures,
deferred tax assets are recognised only to the
extent that it is probable that the temporary
[`ù\i\eZ\jn`cci\m\ij\`ek_\]fi\j\\XYc\
]lkli\Xe[kXoXYc\gifÔkn`ccY\XmX`cXYc\
X^X`ejkn_`Z_k_\k\dgfiXip[`ù\i\eZ\jZXe
be utilised.
Deferred tax relating to items recognised outside
gifÔkficfjj`ji\Zf^e`j\[flkj`[\gifÔkficfjj
(either in other comprehensive income or in equity).
Deferred tax items are recognised in correlation
to the underlying transaction either in other
comprehensive income or directly in equity.
The carrying amount of deferred tax assets is
reviewed at the end of each reporting period and
reduced to the extent that it is no longer probable
k_XkjløZ`\ekkXoXYc\gifÔkjn`ccY\XmX`cXYc\kf
allow all or part of the asset to be recovered.
Deferred tax liabilities and assets are measured
at the tax rates that are expected to apply in the
period in which the liability is settled or the asset
realised, based on tax rates (and tax laws) that have
been enacted or substantively enacted by the end
of the reporting period.
The measurement of deferred tax liabilities and
assets reflects the tax consequences that would
follow from the manner in which the Company
expects, at the end of the reporting period, to
recover or settle the carrying amount of its assets
and liabilities.
Current and deferred tax for the year
 :lii\ekXe[[\]\ii\[kXoXi\i\Zf^e`j\[`egifÔk
or loss, except when they relate to items that
are recognised in other comprehensive income
or directly in equity, in which case, the current
and deferred tax are also recognised in other
comprehensive income or directly in equity
respectively.
3.10 Property, plant and equipment
Property, plant and equipment (including furniture,
Ôokli\j#m\_`Zc\j#\kZ% _\c[]filj\`ek_\gif[lZk`fe
or supply of goods or services, or for administrative
purposes, are stated in the balance sheet at cost
less accumulated depreciation and accumulated
EICHER MOTORS LIMITED
impairment losses. Cost of acquisition is inclusive of
freight, duties, taxes and other incidental expenses.
N_\ej`^e`ÔZXekgXikjf]gcXekXe[\hl`gd\ekXi\
required to be replaced at intervals, the Company
[\gi\Z`Xk\jk_\dj\gXiXk\cpYXj\[fek_\`ijg\Z`ÔZ
useful lives. Freehold land is not depreciated.
Properties in the course of construction for
production, supply or administrative purposes are
carried at cost, less any recognised impairment
loss. Cost includes items directly attributable to the
construction or acquisition of the item of property,
plant and equipment, and, for qualifying assets,
borrowing costs capitalised in accordance with the
Company's accounting policy. Such properties are
ZcXjj`Ô\[kfk_\Xggifgi`Xk\ZXk\^fi`\jf]gifg\ikp#
plant and equipment when completed and ready for
intended use. Depreciation of these assets, on the
same basis as other property assets, commences
when the assets are ready for their intended use.
 ;\gi\Z`Xk`fe`ji\Zf^e`j\[jfXjkfni`k\fùk_\
cost of assets (other than freehold land and
properties under construction) less their residual
values over their useful lives, using the straight-
line method. The estimated useful lives, residual
values and depreciation method are reviewed at
k_\\e[f]\XZ_i\gfik`e^g\i`f[#n`k_k_\\ù\Zk
of any changes in estimate accounted for on a
prospective basis.
Depreciation is charged on a pro-rata basis at the
straight line method over estimated economic
useful lives of its property, plant and equipment
generally in accordance with that provided in
the Schedule II to the Act as provided below and
except in respect of moulds and dies which are
depreciated over their estimated useful life of 1
to 7 years, wherein, the life of the said assets has
been assessed based on technical advice, taking
into account the nature of the asset, the estimated
usage of the asset, the operating conditions of
the asset, past history of replacement, anticipated
technological changes, manufacturers warranties
and maintenance support, etc.
An item of property, plant and equipment is
derecognised upon disposal or when no future
\Zfefd`ZY\e\ÔkjXi\\og\Zk\[kfXi`j\]ifd
the continued use of the asset. Any gain or loss
arising on the disposal or retirement of an item of
property, plant and equipment is determined as
 129

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

k_\[`ù\i\eZ\Y\kn\\ek_\jXc\jgifZ\\[jXe[k_\ Š the ability to use or sell the intangible asset;

carrying amount of the asset and is recognised in
Š how the intangible asset will generate probable
gifÔkficfjj%K_\lj\]lcc`m\j]fimXi`fljgifg\ikp#
]lkli\\Zfefd`ZY\e\Ôkj2
plant and equipment are given below:
Š the availability of adequate technical,
ÔeXeZ`XcXe[fk_\ii\jfliZ\jkfZfdgc\k\k_\
Particulars Useful life (in years) development and to use or sell the intangible
Buildings 30-60 asset; and
Plant and equipment 5-15
Š the ability to measure reliably the expenditure
=lie`kli\Xe[Ôokli\j 10 attributable to the intangible asset during its
FøZ\\hl`gd\ek 5 development.
Vehicles 5
The amount initially recognised for internally-
As part of transition from the previous GAAP, the generated intangible assets is the sum of the
Company had elected to continue with the carrying expenditure incurred from the date when the
value for all of its property, plant and equipment `ekXe^`Yc\Xjj\kÔijkd\\kjk_\i\Zf^e`k`feZi`k\i`X
and intangible assets recognised in the previous listed above. Where no internally-generated
GAAP as deemed cost at the transition date. intangible asset can be recognised, development
\og\e[`kli\`ji\Zf^e`j\[`ek_\jkXk\d\ekf]gifÔk
3.11 Intangible assets
and loss in the period in which it is incurred.
Intangible assets acquired separately
 @ekXe^`Yc\Xjj\kjn`k_Ôe`k\lj\]lcc`m\jk_XkXi\
Subsequent to initial recognition, internally-
acquired separately are carried at cost less
generated intangible assets are reported at cost
accumulated amortisation and accumulated
less accumulated amortisation and accumulated
impairment losses. Amortisation is recognised on
impairment losses, on the same basis as intangible
a straight-line basis over their useful economic
assets that are acquired separately.
life and assessed for impairment whenever there
is an indication that the intangible asset may be
Derecognition of intangible assets
impaired. The estimated useful life and amortisation
An intangible asset is derecognised on disposal,
method are reviewed at the end of each reporting
fin_\eef]lkli\\Zfefd`ZY\e\ÔkjXi\\og\Zk\[
g\i`f[#n`k_k_\\ù\Zkf]XepZ_Xe^\j`e\jk`dXk\
from use or disposal. Gains or losses arising from
being accounted for on a prospective basis.
derecognition of an intangible asset, measured as
@ekXe^`Yc\Xjj\kjn`k_`e[\Ôe`k\lj\]lcc`m\jk_XkXi\
k_\[`ù\i\eZ\Y\kn\\ek_\e\k[`jgfjXcgifZ\\[j
acquired separately and intangible assets not yet
and the carrying amount of the asset, and are
available for use are not amortised, but are tested
i\Zf^e`j\[`egifÔkficfjjn_\ek_\Xjj\k`j
for impairment annually, either individually or at the
derecognised.
cash-generating unit level.
Useful lives of intangible assets
Internally-generated intangible assets -
Intangible assets comprising of product design,
research and development expenditure
prototypes, etc., either acquired or internally
Expenditure on research activities is recognised as
developed are amortised over a period of 5 to 10
an expense in the period in which it is incurred.
years, the estimated minimum useful life of the
related products. Cost of software is amortised
An internally-generated intangible asset arising
over a period of 3 years or less depending on the
from development (or from the development phase
estimated useful life of asset. The useful lives for
of an internal project) is recognised if, and only if, all
intangible assets are given below:
of the following have been demonstrated:
Š the technical feasibility of completing the
intangible asset so that it will be available for Particulars Useful life (in years)
use or sale Product designs, 5 to 10
prototypes, etc.
Š the intention to complete the intangible asset
Computer software 3
and use or sell it;

ANNUAL REPORT 2018-19

130
FINANCIAL STATEMENTS (STANDALONE)
NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED
*%()@dgX`id\ekf]efe$ÔeXeZ`XcXjj\kj
At the end of each reporting period, the Company
assesses, whether there is any indication that an
asset may be impaired. If any such indication exists,
the recoverable amount of the asset is estimated
in order to determine the extent of the impairment
loss (if any). Recoverable amount is the higher of
fair value less costs of disposal and value in use.
When it is not possible to estimate the recoverable
amount of an individual asset, the Company
estimates the recoverable amount of the cash-
generating unit to which the asset belongs. When a
reasonable and consistent basis of allocation can
Y\`[\ek`Ô\[#ZfigfiXk\Xjj\kjXi\XcjfXccfZXk\[
to individual cash-generating units, or otherwise
they are allocated to the smallest group of
cash-generating units for which a reasonable and
Zfej`jk\ekXccfZXk`feYXj`jZXeY\`[\ek`Ô\[%
In assessing value in use, the estimated future
cash flows are discounted to their present value
using a pre-tax discount rate that reflects current
market assessments of the time value of money
Xe[k_\i`jbjjg\Z`ÔZkfk_\Xjj\k%@e[\k\id`e`e^
fair value less costs of disposal, recent market
transactions are taken into account. If no such
kiXejXZk`fejZXeY\`[\ek`Ô\[#XeXggifgi`Xk\
valuation model is used.
The Company bases its impairment calculation on
detailed budgets and forecast calculations, which
are prepared separately for each of the Company’s
cash generating unit (CGU).
If the recoverable amount of an asset (or cash-
generating unit) is estimated to be less than its
carrying amount, the carrying amount of the
asset (or cash-generating unit) is reduced to
its recoverable amount. An impairment loss is
i\Zf^e`j\[`dd\[`Xk\cp`egifÔkficfjj%N_\eXe
impairment loss subsequently reverses, the carrying
amount of the asset (or a cash-generating unit) is
increased to the revised estimate of its recoverable
amount, but so that the increased carrying amount
does not exceed the carrying amount that would
have been determined had no impairment loss been
recognised for the asset (or cash-generating unit)
in prior years. A reversal of an impairment loss is
i\Zf^e`j\[`dd\[`Xk\cp`egifÔkficfjj%
EICHER MOTORS LIMITED
 @ekXe^`Yc\Xjj\kjn`k_`e[\Ôe`k\lj\]lcc`m\jXe[
intangible assets not yet available for use are tested
for impairment at least annually, and whenever there
is an indication that the asset may be impaired. In
assessing value in use, the estimated future cash
flows are discounted to their present value using a
pre-tax discount rate that reflects current market
assessments of the time value of money and the
i`jbjjg\Z`ÔZkfk_\Xjj\k]fin_`Z_k_\\jk`dXk\jf]
future cash flows have not been adjusted.
3.13 Investment property
Investment property is a property held to earn
rentals and capital appreciation. Investment
property is measured initially at cost, including
transaction costs. Subsequent to initial
recognition, investment property is measured
in accordance with Ind AS 16’s requirements for
cost model. The Company depreciates building
component of investment property over 30 years
from the date of capitalisation.
Investment properties are derecognised either
when they have been disposed of or when they
are permanently withdrawn from use and no future
\Zfefd`ZY\e\Ôk`j\og\Zk\[]ifdk_\`i[`jgfjXc%
K_\[`ù\i\eZ\Y\kn\\ek_\e\k[`jgfjXcgifZ\\[j
and the carrying amount of the asset is recognised
`egifÔkficfjj`ek_\g\i`f[f][\i\Zf^e`k`fe%
3.14 Inventories
Inventories comprising Raw materials, work-in-
progress, stores and spares, loose tools, traded
^ff[jXe[Ôe`j_\[^ff[jXi\jkXk\[Xkk_\cfn\i
of cost and net realisable value. Cost includes cost
of purchase and other costs incurred in bringing
the inventories to its present location. Cost of
inventories is determined on a moving average.
Finished goods and work-in-progress include
appropriate proportion of manufacturing overheads
at normal capacity and where applicable, duty. Net
realisable value represents the estimated selling
price for inventories less all estimated costs of
completion and costs necessary to make the sale.
3.15 Provisions
Provisions are recognised when the Company
has a present obligation (legal or constructive)
as a result of a past event, it is probable that the
Company will be required to settle the obligation,

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED
and a reliable estimate can be made of the amount
of the obligation.
The amount recognised as a provision is the best
estimate of the consideration required to settle the
present obligation at the end of the reporting period,
taking into account the risks and uncertainties
surrounding the obligation. When a provision is
measured using the cash flows estimated to settle
the present obligation, its carrying amount is the
gi\j\ekmXcl\f]k_fj\ZXj_]cfnjn_\ek_\\ù\Zkf]
the time value of money is material).
Warranties
The estimated liability for product warranties is
recorded when products are sold. These estimates
are established using historical information on the
nature, frequency and average cost of warranty
claims and management estimates regarding
possible future incidence based on corrective
actions on product failures. The timing of outflows
will vary as and when warranty claim will arise.
3.16 Financial instruments
 8ÔeXeZ`Xc`ejkild\ek`jXepZfekiXZkk_Xk^`m\j
i`j\kfXÔeXeZ`XcXjj\kf]fe\\ek`kpXe[XÔeXeZ`Xc
liability or equity instrument of another entity.
 =`eXeZ`XcXjj\kjXe[ÔeXeZ`Xcc`XY`c`k`\jXi\
recognised when the Company becomes a party to
the contractual provisions of the instruments.
 =`eXeZ`XcXjj\kjXe[ÔeXeZ`Xcc`XY`c`k`\jXi\`e`k`Xccp
measured at fair value. Transaction costs that are
directly attributable to the acquisition or issue
f]ÔeXeZ`XcXjj\kjXe[ÔeXeZ`Xcc`XY`c`k`\jfk_\i
k_XeÔeXeZ`XcXjj\kjXe[ÔeXeZ`Xcc`XY`c`k`\jXk
]X`imXcl\k_ifl^_gifÔkficfjj Xi\X[[\[kffi
[\[lZk\[]ifdk_\]X`imXcl\f]k_\ÔeXeZ`XcXjj\kj
fiÔeXeZ`Xcc`XY`c`k`\j#XjXggifgi`Xk\#fe`e`k`Xc
recognition. Transaction costs directly attributable
kfk_\XZhl`j`k`fef]ÔeXeZ`XcXjj\kjfiÔeXeZ`Xc
c`XY`c`k`\jXk]X`imXcl\k_ifl^_gifÔkficfjjXi\
i\Zf^e`j\[`dd\[`Xk\cp`egifÔkficfjj%
3.17 Financial assets
 8cci\Zf^e`j\[ÔeXeZ`XcXjj\kjXi\jlYj\hl\ekcp
measured in their entirety at either amortised cost
fi]X`imXcl\k_ifl^_gifÔkXe[cfjjfi]X`imXcl\
through other comprehensive income, depending
fek_\ZcXjj`ÔZXk`fef]k_\ÔeXeZ`XcXjj\kj%
131
:cXjj`ÔZXk`fef]ÔeXeZ`XcXjj\kj
Debt instruments that meet the following conditions
are subsequently measured at amortised cost
(except for debt instruments that are designated
Xk]X`imXcl\k_ifl^_gifÔkficfjjfe`e`k`Xc
recognition):
Š the asset is held within a business model whose
objective is to hold assets in order to collect
contractual cash flows; and
Š the contractual terms of the instrument give
i`j\fejg\Z`Ô\[[Xk\jkfZXj_]cfnjk_XkXi\
solely payments of principal and interest on
the principal amount outstanding.
Debt instruments that meet the following conditions
are subsequently measured at fair value through
other comprehensive income (“FVTOCI”) (except for
debt instruments that are designated at fair value
k_ifl^_gifÔkficfjjfe`e`k`Xci\Zf^e`k`fe 1
Š the asset is held within a business model
whose objective is achieved both by collecting
ZfekiXZklXcZXj_]cfnjXe[j\cc`e^ÔeXeZ`Xc
assets; and
Š the contractual terms of the instrument give
i`j\fejg\Z`Ô\[[Xk\jkfZXj_]cfnjk_XkXi\
solely payments of principal and interest on
the principal amount outstanding.
 @ek\i\jk`eZfd\`ji\Zf^e`j\[`egifÔkficfjj]fi
FVTOCI debt instruments.
 8ccfk_\iÔeXeZ`XcXjj\kjXi\jlYj\hl\ekcp
measured at fair value.
<ù\Zk`m\`ek\i\jkd\k_f[
 K_\\ù\Zk`m\`ek\i\jkd\k_f[`jXd\k_f[f]
calculating the amortised cost of a debt instrument
and of allocating interest income over the relevant
g\i`f[%K_\\ù\Zk`m\`ek\i\jkiXk\`jk_\iXk\k_Xk
exactly discounts estimated future cash receipts
(including all fees and points paid or received that
]fidXe`ek\^iXcgXikf]k_\\ù\Zk`m\`ek\i\jkiXk\#
transaction costs and other premiums or discounts)
through the expected life of the debt instrument,
or, where appropriate, a shorter period, to the net
carrying amount on initial recognition.
 @eZfd\`ji\Zf^e`j\[feXe\ù\Zk`m\`ek\i\jkYXj`j
]fi[\Yk`ejkild\ekjfk_\ik_Xek_fj\ÔeXeZ`Xc
Xjj\kjZcXjj`Ô\[Xk=MKGC%@ek\i\jk`eZfd\`j
ANNUAL REPORT 2018-19
132
FINANCIAL STATEMENTS (STANDALONE)

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

i\Zf^e`j\[`egifÔkficfjjXe[`j`eZcl[\[`ek_\ The Company measures the loss allowance for a

"Other income" line item.
  =
 `eXeZ`XcXjj\kjXk]X`imXcl\k_ifl^_gifÔk
or loss (FVTPL)
 @em\jkd\ekj`e\hl`kp`ejkild\ekjXi\ZcXjj`Ô\[Xk
=MKGC#lec\jjk_\:fdgXep`ii\mfZXYcp\c\Zkjfe
initial recognition to present subsequent changes
in fair value in other comprehensive income for
investments in equity instruments which are not
held for trading.
Debt instruments that do not meet the amortised
cost criteria or FVTOCI criteria are measured at
=MKGC%@eX[[`k`fe#[\Yk`ejkild\ekjk_Xkd\\kk_\
amortised cost criteria or the FVTOCI criteria but
 K_\:fdgXep[\i\Zf^e`j\jXÔeXeZ`XcXjj\kn_\e
Xi\[\j`^eXk\[Xk=MKGCXi\d\Xjli\[Xk=MKGC%
 8ÔeXeZ`XcXjj\kk_Xkd\\kjk_\Xdfik`j\[Zfjk
criteria or debt instruments that meet the FVTOCI
Zi`k\i`XdXpY\[\j`^eXk\[Xk=MKGClgfe`e`k`Xc
recognition if such designation eliminates or
3.18 Financial liabilities and equity instruments
j`^e`ÔZXekcpi\[lZ\jXd\Xjli\d\ekfii\Zf^e`k`fe
inconsistency that would arise from measuring
assets or liabilities or recognising the gains and
cfjj\jfek_\dfe[`ù\i\ekYXj\j%
 =`eXeZ`XcXjj\kjXk=MKGCXi\d\Xjli\[Xk]X`imXcl\
at the end of each reporting period, with any gains
or losses arising on re-measurement recognised
`egifÔkficfjj%K_\e\k^X`eficfjji\Zf^e`j\[`e
gifÔkficfjj`eZfigfiXk\jXep[`m`[\e[fi`ek\i\jk
\Xie\[fek_\ÔeXeZ`XcXjj\kXe[`j`eZcl[\[`e
k_\Fk_\i`eZfd\c`e\`k\d%;`m`[\e[feÔeXeZ`Xc
Xjj\kjXk=MKGC`ji\Zf^e`j\[n_\ek_\:fdgXepj
right to receive the dividends is established, it is
 =`eXeZ`Xcc`XY`c`k`\jXk]X`imXcl\k_ifl^_gifÔkfi
gifYXYc\k_Xkk_\\Zfefd`ZY\e\ÔkjXjjfZ`Xk\[
with the dividend will flow to the entity, the dividend
does not represent a recovery of part of cost of
the investment and the amount of dividend can be
measured reliably.
Investments in subsidiaries and joint ventures are
ZXii`\[XkZfjk`ek_\j\gXiXk\ÔeXeZ`XcjkXk\d\ekj%
@dgX`id\ekf]ÔeXeZ`XcXjj\kj
The Company applies the expected credit
loss model for recognising impairment loss on
ÔeXeZ`XcXjj\kjd\Xjli\[XkXdfik`j\[Zfjk#
debt instruments at FVTOCI, trade receivables,
other contractual rights to receive cash or other
ÔeXeZ`XcXjj\k#Xe[ÔeXeZ`Xc^lXiXek\\jefk
[\j`^eXk\[Xk=MKGC%
ÔeXeZ`Xc`ejkild\ekXkXeXdflek\hlXckfk_\
lifetime expected credit losses if the credit risk on
k_XkÔeXeZ`Xc`ejkild\ek_Xj`eZi\Xj\[j`^e`ÔZXekcp
since initial recognition.
Further, for the purpose of measuring lifetime
expected credit loss allowance for trade
receivables, the Company has used a practical
expedient as permitted under Ind AS 109. This
expected credit loss allowance is computed based
on historical credit loss experience and adjustments
for forward looking information.
;\i\Zf^e`k`fef]ÔeXeZ`XcXjj\kj
the contractual rights to the cash flows from the
Xjj\k\og`i\#fin_\e`kkiXej]\ijk_\ÔeXeZ`Xc
asset and substantially all the risks and rewards of
ownership of the asset to another party.
:cXjj`ÔZXk`feXjÔeXeZ`Xcc`XY`c`kpfi\hl`kp
Debt and equity instruments issued by Company
Xi\ZcXjj`Ô\[Xj\`k_\iÔeXeZ`Xcc`XY`c`k`\jfiXj
equity in accordance with the substance of the
ZfekiXZklXcXiiXe^\d\ekjXe[k_\[\Ôe`k`fejf]X
ÔeXeZ`Xcc`XY`c`kpXe[Xe\hl`kp`ejkild\ek%
Equity instruments
An equity instrument is any contract that evidences
a residual interest in the assets of an entity after
deducting all of its liabilities.
Financial liabilities
cfjj`eZcl[\ÔeXeZ`Xcc`XY`c`k`\j_\c[]fikiX[`e^
Xe[ÔeXeZ`Xcc`XY`c`k`\j[\j`^eXk\[lgfe`e`k`Xc
i\Zf^e`k`feXjXk]X`imXcl\k_ifl^_gifÔkficfjj%
=`eXeZ`Xcc`XY`c`k`\jXi\ZcXjj`Ô\[Xj_\c[]fikiX[`e^`]
they are incurred for the purpose of repurchasing in
the near term.
Gains or losses on liabilities held for trading are
i\Zf^e`j\[`ek_\gifÔkficfjj%
Financial liabilities designated upon initial
i\Zf^e`k`feXk]X`imXcl\k_ifl^_gifÔkficfjjXi\
designated as such at the initial date of recognition,
Xe[fecp`]k_\Zi`k\i`X`e@e[8J('0Xi\jXk`jÔ\[%
=fic`XY`c`k`\j[\j`^eXk\[Xj=MKGC#]X`imXcl\^X`ej&
losses attributable to changes in own credit risk are

EICHER MOTORS LIMITED


NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED
recognized in the other comprehensive income.
These gains/ loss are not subsequently transferred
kfGC%?fn\m\i#k_\:fdgXepdXpkiXej]\ik_\
cumulative gain or loss within equity. All other
changes in fair value of such liability are recognised
`ek_\jkXk\d\ekf]gifÔkficfjj%
 K_\ZXiip`e^Xdflekjf]ÔeXeZ`Xcc`XY`c`k`\jk_Xk
are subsequently measured at amortised cost are
[\k\id`e\[YXj\[fek_\\ù\Zk`m\`ek\i\jkd\k_f[%
Interest expense that is not capitalised as part of
cost of an asset is included in the 'Finance costs'
line item.
 K_\\ù\Zk`m\`ek\i\jkd\k_f[`jXd\k_f[f]
ZXcZlcXk`e^k_\Xdfik`j\[Zfjkf]XÔeXeZ`Xcc`XY`c`kp
and of allocating interest expense over the relevant
g\i`f[%K_\\ù\Zk`m\`ek\i\jkiXk\`jk_\iXk\k_Xk
exactly discounts estimated future cash payments
(including all fees and points paid or received that
]fidXe`ek\^iXcgXikf]k_\\ù\Zk`m\`ek\i\jkiXk\#
transaction costs and other premiums or discounts)
k_ifl^_k_\\og\Zk\[c`]\f]k_\ÔeXeZ`Xcc`XY`c`kp%
 8ccÔeXeZ`Xcc`XY`c`k`\jXi\jlYj\hl\ekcpd\Xjli\[Xk
Xdfik`j\[Zfjklj`e^k_\\ù\Zk`m\`ek\i\jkd\k_f[
fiXk=MKGC%
;\i\Zf^e`k`fef]ÔeXeZ`Xcc`XY`c`k`\j
 K_\:fdgXep[\i\Zf^e`j\jÔeXeZ`Xcc`XY`c`k`\j
when, and only when, the Company’s obligations are
discharged, cancelled or have expired.
3.19 Cash and cash equivalent
Cash and cash equivalent in the balance sheet
comprise cash at banks and on hand and short-
term deposits with an original maturity of three
dfek_jfic\jj#n_`Z_Xi\jlYa\ZkkfXe`ej`^e`ÔZXek
risk of changes in value.
For the purpose of the statement of cash flows, cash
and cash equivalents consist of cash and short-
k\id[\gfj`kj#Xj[\Ôe\[XYfm\#e\kf]flkjkXe[`e^
bank overdrafts as they are considered an integral
part of the Company’s cash management.
3.20 Cash flow statement
Cash flows are reported using the indirect method,
n_\i\YpgifÔk&cfjj Y\]fi\kXo`jX[aljk\[]fik_\
\ù\Zkjf]kiXejXZk`fejf]efe$ZXj_eXkli\Xe[Xep
deferrals or accruals of past or future cash receipts
or payments. The cash flows from operating,
133
`em\jk`e^Xe[ÔeXeZ`e^XZk`m`k`\jf]k_\:fdgXep
are segregated based on the available information.
3.21 Earnings per share
Basic earnings per share is computed by dividing
k_\gifÔkX]k\ikXoYpk_\n\`^_k\[Xm\iX^\eldY\i
of equity shares outstanding during the year.
Diluted earnings per share is computed by dividing
k_\gifÔkX]k\ikXoXjX[aljk\[]fi[`m`[\e[#`ek\i\jk
and other charges to expense or income relating to
the dilutive potential equity shares, by the weighted
average number of equity shares considered for
deriving basic earnings per share and the weighted
average number of equity shares which could
have been issued on the conversion of all dilutive
potential equity shares.
3.22 Changes in accounting policies and
disclosures
Ind AS 115 Revenue from Contracts with
Customers
Ind AS 115 Revenue from Contracts with Customers,
mandatory for reporting periods beginning on
or after April 1, 2018, replaces existing revenue
recognition requirements. The Company has
Xggc`\[df[`Ô\[i\kifjg\Zk`m\XggifXZ_`e
X[fgk`e^k_\e\njkXe[Xi[%Le[\ik_\df[`Ô\[
i\kifjg\Zk`m\XggifXZ_#k_\i\Xi\efj`^e`ÔZXek
adjustments required to the retained earnings at
April 1, 2018. Also, the application of Ind AS 115 does
efk_Xm\Xepj`^e`ÔZXek`dgXZkfei\Zf^e`k`feXe[
measurement of revenue and related items in the
jkXe[Xcfe\ÔeXeZ`XcjkXk\d\ekj%
Appendix B to Ind AS 21 Foreign Currency
Transactions and Advance Considerations
 K_\Xgg\e[`oZcXi`Ô\jk_Xk#`e[\k\id`e`e^k_\jgfk
exchange rate to use on initial recognition of the
related asset, expense or income (or part of it)
on the derecognition of a non-monetary asset
or non-monetary liability relating to advance
consideration, the date of the transaction is the
date on which an entity initially recognises the
non-monetary asset or non-monetary liability
arising from the advance consideration. If there are
multiple payments or receipts in advance, then the
entity must determine the date of the transactions
for each payment or receipt of advance
consideration. This appendix does not have any
j`^e`ÔZXek`dgXZkfek_\ÔeXeZ`XcjkXk\d\ekj%
ANNUAL REPORT 2018-19
134
FINANCIAL STATEMENTS (STANDALONE)

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

4. PROPERTY, PLANT AND EQUIPMENT

Particulars Freehold Buildings Plant and Furniture FøZ\ Vehicles Total

land* equipment Xe[Ôokli\j equipments
Cost
At March 31, 2017 85.95 ))0%+' .0+%.0 13.92 67.77 ).%-+ (#)(0%+.
Additions - ),+%+' ,('%*+ 6.72 +(%.) 18.70 831.88
Disposals / Adjustments - - 3.30 0.07 '%'+ 1.86 5.27
At March 31, 2018 85.95 483.80 1,301.83 20.57 109.45 44.48 2,046.08
Additions - 161.00 293.08 .%+* 30.33 18.60 ,('%++
Disposals / Adjustments - (%+0 +/%)) 0.57 0.62 2.81 53.71
At March 31, 2019 85.95 643.31 1,546.69 27.43 139.16 60.27 2,502.81

Accumulated depreciation
At March 31, 2017 - 27.75 309.70 5.83 31.71 12.05 */.%'+
Charge for the year - 16.87 (-*%*+ 3.20 17.32 -%+' 207.13
Disposals / Adjustments - - (%*+ 0.03 '%'+ (%++ 2.85
At March 31, 2018 - 44.62 471.70 9.00 48.99 17.01 591.32
Charge for the year - 25.33 210.92 *%++ 23.71 0%+, 272.85
Disposals / Adjustments - 0.38 +-%0/ 0.25 0.37 1.70 +0%-/
At March 31, 2019 - 69.57 635.64 12.19 72.33 24.76 814.49

Carrying amount
At March 31, 2018 85.95 +*0%(/ 830.13 11.57 -'%+- ).%+. (#+,+%.-
At March 31, 2019 85.95 573.74 911.05 15.24 66.83 35.51 1,688.32

* Title deeds for land and other properties at Alwar and Jhajjar are pending for mutation in favour of the Company.

5. CAPITAL WORK-IN-PROGRESS

Particulars As at As at
March 31, 2019 March 31, 2018
Capital work-in-progress* 272.14 (+(%/0
272.14 (+(%/0

* Capital work in progress as at March 31, 2019 comprises expenditure for buildings, plant in the course of construction and
machineries yet to be installed.

EICHER MOTORS LIMITED

 135

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

6. INVESTMENT PROPERTY

Particulars Building Total

Cost
At March 31, 2017 10.12 10.12
Additions - -
Disposals - -
At March 31, 2018 10.12 10.12
Additions - -
Disposals - -
At March 31, 2019 10.12 10.12

Accumulated depreciation
At March 31, 2017 5.91 5.91
Charge for the year 0.35 0.35
Disposals - -
At March 31, 2018 6.26 6.26
Charge for the year 0.35 0.35
Disposals - -
At March 31, 2019 6.61 6.61

Carrying amount
At March 31, 2018 3.86 3.86
At March 31, 2019 3.51 3.51

Fair value of the Investment property

The fair value of the Company's investment properties as at March 31, 2018 and March 31, 2019 have been arrived at on
the basis of valuation carried out on the respective dates by Mr. Purshotam Khandelwal, independent valuer not related to
the Company. Mr. Purshotam Khandelwal is a registered valuer with the authority which governs the valuers in India, and they
_Xm\Xggifgi`Xk\hlXc`ÔZXk`fejXe[\og\i`\eZ\`ek_\mXclXk`fef]gifg\ik`\j`ek_\i\c\mXekcfZXk`fe%

For the building located in Jaipur, India, the fair value of structure as on March 31, 2018 and March 31, 2019 was determined
based on S.O. No.X-3/2015 dated 15/07/2015 of State P.W.D.B&R issued by Chief Engineer, PWD Building and Roads,
Government of Rajasthan, Jaipur with suitable adjustments for rise in cost index since July 2015 to average mean period of
construction. The items not covered under Standing Order No. X-3/2015 have been valued on the rates of State PWD BSR.

Detail of the investment properties and information about the fair value hierarchy as at March 31, 2019 and
March 31, 2018 are as follows :-

Particulars Level 2
Fair value as at Fair value as at
March 31, 2019 March 31, 2018
Building located at Jaipur, India 4.33 +%+(

ANNUAL REPORT 2018-19

136
FINANCIAL STATEMENTS (STANDALONE)

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Information regarding income and expenditure of Investment property

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Rental income derived from investment properties 0.26 2.92
Direct operating expenses - -
GifÔkXi`j`e^]ifd`em\jkd\ekgifg\ik`\jY\]fi\[\gi\Z`Xk`feXe[`e[`i\Zk\og\ej\j 0.26 2.92
C\jj1;\gi\Z`Xk`fe 0.35 0.35
GifÔk&cfjj Xi`j`e^]ifd`em\jkd\ekgifg\ik`\jY\]fi\`e[`i\Zk\og\ej\j (0.09) 2.57

7. INTANGIBLE ASSETS

Particulars Product designs, Computer Total

prototypes etc. softwares
Cost
At March 31, 2017 25.20 37.11 62.31
Additions 5.63 (+%+/ 20.11
Disposals / Adjustments - 0.02 0.02
At March 31, 2018 30.83 51.57 82.40
Additions (+,%'. 20.98 166.05
Disposals / Adjustments 0.06 0.11 0.17
At March 31, 2019 175.84 72.44 248.28

Accumulated depreciation
At March 31, 2017 9.20 19.70 28.90
Charge for the year 3.80 11.06 (+%/-
Disposals / Adjustments - 0.02 0.02
At March 31, 2018 13.00 30.74 43.74
Charge for the year 10.88 (+%/, 25.73
Disposals / Adjustments 0.01 0.16 0.17
At March 31, 2019 23.87 45.43 69.30

Carrying amount
At March 31, 2018 17.83 20.83 38.66
At March 31, 2019 151.97 27.01 178.98

8. INTANGIBLE ASSETS UNDER DEVELOPMENT

Particulars As at As at
March 31, 2019 March 31, 2018
Intangible assets under development* 177.60 191.32
177.60 191.32
* Intangible assets under development mainly consists of cost of new products under development.

EICHER MOTORS LIMITED

 137

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

9. INVESTMENTS IN SUBSIDIARIES & JOINT VENTURES

Particulars As at As at
March 31, 2019 March 31, 2018
Non-Current Non-Current
Unquoted Investments
(a) Investment in equity instruments of subsidiary companies (at cost)
 +.#(*#,-0DXiZ_*(#)'(/1+.#(*#,-0 j_Xi\jf]9iXj`c`XeI\Xc(\XZ_]lccpgX`[ 9.82 9.82
lgf]IfpXc<eÔ\c[9iXj`c:fd„iZ`f[\DfkfZ`Zc\kXjCk[X
 (#''#'''DXiZ_*(#)'(/1(#''#''' j_Xi\jf]IfpXc<eÔ\c[Efik_8d\i`ZX 34.17 *+%(.
C`d`k\[ef]XZ\mXcl\
1,67,50,000 (March 31, 2018 : Nil) shares of Thai Bhat 5 each fully paid up of 18.50 -
IfpXc<eÔ\c[K_X`cXe[ C`d`k\[
Sub-total (A) 62.49 +*%00

(b) Investment in equity instruments of joint venture companies (at cost)

 ,+#+'#'''DXiZ_*(#)'(/1,+#+'#''' <hl`kpj_Xi\jf]Ij%('\XZ_]lccpgX`[lg 5.44 ,%++
f]M<:fdd\iZ`XcM\_`Zc\jC`d`k\[
 *)#+,#''#'''DXiZ_*(#)'(/1)0#+,#''#''' <hl`kpj_Xi\jf]Ij%('\XZ_]lccp 324.50 )0+%,'
gX`[lgf]<`Z_\iGfcXi`jGi`mXk\C`d`k\[
 <`Z_\i>iflg=fle[Xk`feC`Z\ej\le[\iJ\Zk`fe/( f]k_\:fdgXe`\j8Zk#)'(* ! - -
Sub-total 329.94 )00%0+
 C\jj1@dgX`id\ek`emXcl\f]`em\jkd\ekj`e<`Z_\iGfcXi`jGi`mXk\C`d`k\[ (324.50) )0+%,'
(refer note 36)
Sub-total (B) 5.44 ,%++
Total (A+B) 67.93 +0%+*

*Cost of investment is stated as Rs. Nil as the same cannot be distributed to the members in the event of liquidation. Actual cost of
`em\jkd\ekf]Ij%)#,'#'''_XjY\\eZ_Xi^\[kfk_\JkXk\d\ekf]GifÔkXe[Cfjj`ek_\ÔeXeZ`Xcp\Xi)'(,$(-%

ANNUAL REPORT 2018-19

138
FINANCIAL STATEMENTS (STANDALONE)

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

FINANCIAL ASSETS :
10. INVESTMENTS

Particulars As at As at
March 31, 2019 March 31, 2018
Non-Current Current Non-Current Current
Unquoted Investments
(a) Investment in equity instruments of companies at fair value 0.09 - 0.09 -
k_ifl^_gifÔkficfjj=MKGC +#.,'DXiZ_*(#)'(/1+#.,' 
<hl`kpj_Xi\jf]JlipX[\m8ccfpjXe[Gfn\iGi`mXk\C`d`k\[

Sub-total (A) 0.09 - 0.09 -

Quoted Investments
Y  @em\jkd\ekj`edlklXc]le[jZXii`\[Xk]X`imXcl\k_ifl^_gifÔk 2,465.76 468.81 3,139.13 -**%+'
ficfjj=MKGC
Sub-total (B) 2,465.76 468.81 3,139.13 -**%+'

(c) Investment in bonds carried at amortised cost 43.94 - +*%0+ -

Sub-total (C) 43.94 - +*%0+ -
Total (A+B+C) 2,509.79 468.81 3,183.16 -**%+'

Aggregate carrying value of quoted investments 2,509.70 468.81 3,183.07 -**%+'

Aggregate market value of quoted investments 2,511.63 468.81 3,185.80 -**%+'
Aggregate carrying value of unquoted investments 0.09 - 0.09 -

:Xk\^fip$n`j\`em\jkd\ekj$Xjg\i@e[8J('0:cXjj`ÔZXk`fej
=`eXeZ`XcXjj\kjZXii`\[Xk]X`imXcl\k_ifl^_gifÔkficfjj
(FVTPL)
Unquoted
Investment in equity instruments 0.09 - 0.09 -
Quoted
Investment in mutual funds 2,465.76 468.81 3,139.13 -**%+'
Financial assets carried at amortized cost
Quoted
Investment in bonds 43.94 - +*%0+ -

EICHER MOTORS LIMITED

 139

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

11. LOANS

Particulars As at As at
March 31, 2019 March 31, 2018
Current
Unsecured, considered good
 CfXejkf\dgcfp\\j 1.29 0.28
Total 1.29 0.28

12. OTHER FINANCIAL ASSETS

Particulars As at As at
March 31, 2019 March 31, 2018
Non-current
Unsecured, considered good
Security deposits 26.89 ))%++
Others 1.38 )%++
Total 28.27 )+%//
Current
Unsecured, considered good
Insurance claim receivable 0.73 1.02
 @ek\i\jkXZZil\[feÔo\[[\gfj`kjXe[Yfe[j 70.08 29.68
Others 2.45 3.01
Total 73.26 33.71

13. INVENTORIES
(At lower of cost and net realisable value)

Particulars As at As at
March 31, 2019 March 31, 2018
Raw materials 166.09 (+*%++
R@eZcl[\j^ff[j`ekiXej`kf]Ij%+,%)*Zifi\jDXiZ_*(#)'(/1Ij%)/%.+Zifi\j T
Work in progress 21.68 18.01
Finished goods 359.71 188.68
Traded goods 40.39 16.63
Stores and spares 13.72 10.22
Cffj\kffcj 3.75 2.25
Total 605.34 379.23

 Ni`k\$[fnejf]`em\ekfi`\jkfe\ki\Xc`jXYc\mXcl\i\jlck\[`ee\kcfjjf]Ij%,%/*Zifi\jDXiZ_*(#)'(/1Ij%*%/+Zifi\j %
K_\j\n\i\i\Zf^e`j\[XjXe\og\ej\[li`e^k_\p\Xi`ek_\JkXk\d\ekf]GifÔkXe[Cfjj%
 K_\df[\f]mXclXk`fef]`em\ekfi`\j_XjY\\ejkXk\[`eefk\*%(+%

ANNUAL REPORT 2018-19

140
FINANCIAL STATEMENTS (STANDALONE)

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

14. TRADE RECEIVABLES

Particulars As at As at
March 31, 2019 March 31, 2018
Trade receivables 85.59 65.59
I\Z\`mXYc\j]ifdi\cXk\[gXik`\ji\]\iefk\+, 27.06 ()%+*
Total 112.65 78.02
Current
Considered good - secured 0.45 0.07
Considered good - unsecured 112.20 77.95
I\Z\`mXYc\jn_`Z__Xm\j`^e`ÔZXek`eZi\Xj\`eZi\[`ki`jb - -
Receivables - credit impaired 0.74 0.25
113.39 78.27
C\jj1Gifm`j`fe]fi[flYk]lci\Z\`mXYc\j (0.74) (0.25)
Total 112.65 78.02

EfkiX[\fifk_\ii\Z\`mXYc\Xi\[l\]ifd[`i\Zkfijfifk_\iføZ\ijf]k_\ZfdgXep\`k_\ij\m\iXccpfiaf`ekcpn`k_Xepfk_\i
g\ijfe%EfiXepkiX[\fifk_\ii\Z\`mXYc\Xi\[l\]ifdÔidjfigi`mXk\ZfdgXe`\ji\jg\Zk`m\cp`en_`Z_Xep[`i\Zkfi`jX
partner, a director or a member.
All domestic sales are on advance payment basis, except for sale to distributors and certain institutional sales which carries
credit period of maximum to 60 days.
<ogfikjXc\jZXii`\jZi\[`kg\i`f[f]'kf)+'[Xpj#[\g\e[`e^fek_\ZfekiXZklXck\idjn`k_i\jg\Zk`m\Zljkfd\ij%
=fik\idjXe[Zfe[`k`fe]fii\cXk\[gXikpjXc\ji\]\iefk\+,

15. CASH AND CASH EQUIVALENTS

Particulars As at As at
March 31, 2019 March 31, 2018
Cash on hand 0.03 '%'+
Cheques/drafts on hand - 0.06
Balances with banks:
In current accounts 9.73 89.18
In deposit accounts with original maturity of less than three months 692.00 -
Total 701.76 89.28

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 141

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

For the purpose of the statement of cash flows, cash and cash equivalents comprise the following:

Particulars As at As at
March 31, 2019 March 31, 2018
Cash on hand 0.03 '%'+
Cheques/drafts on hand - 0.06
Balances with banks:
In current accounts 9.73 89.18
In deposit accounts with original maturity of less than three months 692.00 -
Total 701.76 89.28
Bank overdrafts (refer note 21) 11.23 -
Total 690.53 89.28

:_Xe^\j`ec`XY`c`k`\jXi`j`e^]ifdÔeXeZ`e^XZk`m`k`\j

Particulars April 1, 2018 Net cash flows Others March 31, 2019
Short-term borrowings 85.98 (20.83) - 65.15
Interest accrued but not due - (1.39) 1.39 -
Dividend payable including tax on dividend - *+/%(- *+/%(- -
KfkXcc`XY`c`k`\j]ifdÔeXeZ`e^XZk`m`k`\j 85.98 (370.38) *+0%,, 65.15

16. OTHER BANK BALANCES

Particulars As at As at
March 31, 2019 March 31, 2018
In unpaid dividend accounts 12.31 10.60
On deposit accounts
- Original maturity between three and twelve months 1,221.00 ,*/%0+
- Original maturity greater than twelve months 1,005.00 570.00
Total 2,238.31 (#((0%,+

17. OTHER ASSETS

Particulars As at As at
March 31, 2019 March 31, 2018
Non-current
Unsecured, considered good
Capital advances 50.41 66.22
Share application money pending allotment 5.04 -
Balance with government authorities 7.98 .%+0
Prepayment land leases 87.24 88.25
Other prepayments 2.37 1.89
Total 153.04 163.85

ANNUAL REPORT 2018-19

142
FINANCIAL STATEMENTS (STANDALONE)

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Particulars As at As at
March 31, 2019 March 31, 2018
Current
Unsecured, considered good
Advance to suppliers 54.71 +,%+(
Advance to employees 5.66 +%/(
Prepaid expenses 17.98 11.06
Balance with government authorities:
Considered good 88.91 119.28
Considered doubtful 1.11 1.11
90.02 120.39
C\jj1Gifm`j`fe]fi[flYk]lcX[mXeZ\j (1.11) (1.11)
88.91 119.28
Gratuity fund (net) - '%+.
Prepayment land leases 0.95 0.89
Government grant receivable 8.95 8.36
Other prepayments 0.81 0.68
Total 177.97 190.96

18. SHARE CAPITAL

(a) Equity share capital

Particulars As at As at
March 31, 2019 March 31, 2018
Authorised Equity share capital
3,00,00,000 (March 31, 2018 : 3,00,00,000) Equity shares of Rs. 10 each 30.00 30.00
Total 30.00 30.00
Issued, subscribed and fully paid up
)#.)#/)#,.'DXiZ_*(#)'(/1)#.)#,,#,+0 <hl`kpj_Xi\jf]Ij%('\XZ_ 27.28 27.26
Total 27.28 27.26

The Company has only one class of equity shares having a par value of Rs. 10 per share. Each holder of equity shares is
entitled to one vote per share held. In the event of liquidation, the equity shareholders are eligible to receive the remaining
assets of the Company after distribution of all preferential amount, in proportion to their shareholding.

(i) Reconciliation of the number of shares and amount outstanding at the beginning and at the end of the
reporting year:

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Nos. Rs. in Crores Nos. Rs. in Crores
At the beginning of the year 2,72,55,549 27.26 )#.)#('#)+0 27.21
@jjl\[[li`e^k_\p\Xi$<JFGi\]\iefk\+/ 27,021 0.02 +,#*'' 0.05
Outstanding at the end of the year 2,72,82,570 27.28 )#.)#,,#,+0 27.26

EICHER MOTORS LIMITED

 143

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

(ii) Details of shareholders holding more than 5% equity shares in the Company:

Particulars As at As at
March 31, 2019 March 31, 2018
Nos. % holding in Nos. % holding in the
the class class
K_\J`diXeJ`[[_Xik_XKXiX9\e\ÔkKiljk 1,20,30,648 44.10% (#)'#*'#-+/ ++%(+

(iii) Share options granted under the Company's employee share option plan carry no rights to dividend and no voting rights.
=lik_\i[\kX`cjf]k_\\dgcfp\\j_Xi\fgk`fegcXeXi\gifm`[\[`eefk\+/%

(b) Preference share capital

Particulars As at As at
March 31, 2019 March 31, 2018
Authorised Preference share capital
1,01,000 (March 31, 2018 : 1,01,000) Redeemable preference shares of Rs. 100 each 1.01 1.01
Total 1.01 1.01

The Company has not issued any preference shares.

19. OTHER EQUITY

Particulars As at As at
March 31, 2019 March 31, 2018
Capital reserves 0.25 0.25
Capital redemption reserve 1.41 (%+(
Securities premium reserve 115.11 60.37
General reserves 339.89 339.89
Share based payments reserve 58.75 59.80
Foreign currency translation reserve 7.13 11.99
Retained earnings 6,576.63 +#/.(%)-
Total 7,099.17 ,#*++%0.

Particulars As at As at
March 31, 2019 March 31, 2018
A Capital reserve
Opening balance 0.25 0.25
 8[[&C\jj1Dfm\d\ek[li`e^k_\p\Xi - -
Closing balance 0.25 0.25

ANNUAL REPORT 2018-19

144
FINANCIAL STATEMENTS (STANDALONE)

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
B Capital redemption reserve
Opening balance 1.41 (%+(
 8[[&C\jj1Dfm\d\ek[li`e^k_\p\Xi - -
Closing balance 1.41 (%+(

The Capital redemption reserve was created at the time of buy back of shares. The Company can utilize the same for the purpose of issue of
fully paid-up bonus shares to its members.

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
C Securities premium reserve
Opening balance 60.37 32.09
Add : Proceeds from issue of equity shares 36.11 (0%++
Add : Transferred from share options outstanding account 18.63 /%/+
Closing balance 115.11 60.37

Securities premium reserve is used to record the premium on issue of shares. The reserve can be utilised only for limited purposes such as
issuance of bonus shares in accordance with the provisions of the Companies Act, 2013.

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
D General reserves
Opening balance 339.89 339.89
Add: Amount transferred from retained earnings - -
Closing balance 339.89 339.89

 K _\^\e\iXci\j\im\`jlj\[]ifdk`d\kfk`d\kfkiXej]\igifÔkj]ifdi\kX`e\[\Xie`e^j]fiXggifgi`Xk`fegligfj\j%8jk_\^\e\iXci\j\im\
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
^\e\iXci\j\im\n`ccefkY\i\ZcXjj`Ô\[jlYj\hl\ekcpkfgifÔkficfjj%

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
E Share-based payments reserve
Opening balance 59.80 +,%(*
Add : ESOP expense during the year 16.40 18.11
Add : ESOP expense transferred to subsidiary company 1.18 ,%+'
 C\jj1KiXej]\ii\[kfj\Zli`k`\jgi\d`ldfe`jjl\f]j_Xi\j 18.63 /%/+
Closing balance 58.75 59.80
The above reserve relates to share options granted by the Company to certain employees under its employee share option plan. Further
`e]fidXk`feXYflkj_Xi\$YXj\[gXpd\ekjkf\dgcfp\\j`jj\kflk`eefk\+/%   

EICHER MOTORS LIMITED

 145

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
F Foreign currency translation reserve
Opening balance 11.99 -
 8[[1<oZ_Xe^\[`ù\i\eZ\j`ekiXejcXk`fef]]fi\`^efg\iXk`fej (4.86) 11.99
Closing balance 7.13 11.99

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
G Retained earnings
Opening balance 4,871.26 *#+.-%-(
 8[[1GifÔk]fik_\p\Xi 2,054.44 1,712.91
Add: Other Comprehensive income: (0.91) (%(+
]ifdI\d\Xjli\d\ekf][\Ôe\[Y\e\ÔkfYc`^Xk`fee\kf]`eZfd\kXo
 C\jj1;`m`[\e[Xdflekg\ij_Xi\Ij%(('DXiZ_*(#)'(/1Ij%('' 299.93 272.22
 C\jj1KXofe[`m`[\e[ 48.23 ++%0'
Total appropriations 348.16 317.12
Balance at end of year 6,576.63 +#/.(%)-

FINANCIAL LIABILITIES :
20. OTHER FINANCIAL LIABILITIES

Particulars As at As at
March 31, 2019 March 31, 2018
Non-current
Security deposits received 9.96 8.88
Total 9.96 8.88
Current
Employee dues 73.00 59.16
Capital creditors 57.38 69.15
Unpaid dividend * 12.31 10.60
Provision for constructive obligation towards the discontinued operations of 5.00 (.%+/
a joint venture (refer note 36)
Others 10.31 10.31
Total 158.00 166.70

* Does not include any amounts outstanding which are required to be credited to Investor Education and Protection Fund.

21. BORROWINGS

Particulars As at As at
March 31, 2019 March 31, 2018
Unsecured
- From bank
Overdraft facility 11.23 -
  J_fik$k\idCfXe 65.15 85.98
Total 76.38 85.98
 Lej\Zli\[cfXeZXii`\j`ek\i\jk7/%+,g\iXeeldXjXkDXiZ_*(#)'(0%

ANNUAL REPORT 2018-19

146
FINANCIAL STATEMENTS (STANDALONE)

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

22. TRADE PAYABLES

Particulars As at As at
March 31, 2019 March 31, 2018
Total outstanding dues of micro enterprises and small enterprises
 ;l\jkfd`ZifXe[jdXcc\ek\igi`j\ji\]\iefk\+( 19.28 27.15
Sub-total (A) 19.28 27.15
Total outstanding dues of creditors other than micro enterprises and small enterprises
Acceptances 107.76 110.12
Other trade payables 1026.66 0-+%/+
KiX[\gXpXYc\jkfi\cXk\[gXik`\ji\]\iefk\+, 77.40 68.36
Sub-total (B) 1,211.82 (#(+*%*)
Total (A+B) 1,231.10 (#(.'%+.

 =fik\idjXe[Zfe[`k`fejg\ikX`e`e^kfi\cXk\[gXikp[l\j#i\]\iefk\+,

23. PROVISIONS

Particulars As at As at
March 31, 2019 March 31, 2018
Non-current
 <dgcfp\\Y\e\Ôkj$i\]\iefk\` Y\cfn
  Fk_\i\dgcfp\\Y\e\Ôkj 4.23 3.88
Warranties - refer note (ii) below 18.77 ),%)+
Total 23.00 29.12
Current
<dgcfp\\Y\e\Ôkj$i\]\iefk\` Y\cfn
Compensated absences 10.72 8.06
Fk_\i\dgcfp\\Y\e\Ôkj 0.08 '%'+
Sub-total (A) 10.80 8.10

Warranties - refer note (ii) below 46.85 39.11

Sub-total (B) 46.85 39.11
Total (A+B) 57.65 +.%)(

 `  K_\gifm`j`fe]fi\dgcfp\\Y\e\Ôkj`eZcl[\j\Xie\[c\Xm\#j`Zbc\Xm\Xe[m\jk\[cfe^j\im`Z\i\nXi[%
(ii) Movement in warranties provision

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Opening balance 64.35 55.21
Additions during the year 43.33 +.%*'
Amount utilised during the year 43.66 39.85
Unwinding of discount 1.60 1.69
Closing balance 65.62 -+%*,

The provision for warranty claims represents the present value of the management's best estimate of the future economic
costs that will be required under the Company's obligations for warranties. 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
Xù\Zk`e^gif[lZkhlXc`kp%

EICHER MOTORS LIMITED

 147

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

24. DEFERRED TAX LIABILITIES (NET)

Particulars As at As at
March 31, 2019 March 31, 2018
Deferred tax liabilities on
Property, plant and equipment and intangible assets 250.38 (,'%+/
 @em\jkd\ekjd\Xjli\[Xk=MKGC 46.25 11.88
Others 0.68 0.97
Sub-total (A) 297.31 163.33
Less: Deferred tax assets on
Accrued expenses deductible on payment 1.55 2.80
Deferred revenue 10.73 10.08
 Gifm`j`fe]fiZfdg\ejXk\[XYj\eZ\jXe[fk_\i\dgcfp\\Y\e\Ôkj 3.75 2.79
Provision for doubtful debts and advances 0.65 '%+.
Others 4.14 +%))
Sub-total (B) 20.82 20.36
Total (A-B) 276.49 (+)%0.

Movement of deferred tax liabilities/assets

For the year ended March 31, 2019

Particulars Opening Recognized in Recognized Closing balance

balance gifÔkficfjj in other
comprehensive
income
Deferred tax liabilities on
Property, plant and equipment and intangible assets (,'%+/ 99.90 - 250.38
 @em\jkd\ekjd\Xjli\[Xk=MKGC 11.88 *+%*. - +-%),
Others 0.97 (0.29) - 0.68
Sub-total (A) 163.33 133.98 - 297.31
Less: Deferred tax assets on
Accrued expenses deductible on payment 2.80 (1.25) - 1.55
Deferred revenue 10.08 0.65 - 10.73
Provision for compensated absences and other 2.79 0.96 3.75
\dgcfp\\Y\e\Ôkj
 < oZ_Xe^\[`ù\i\eZ\j`ekiXejcXk`e^k_\ÔeXeZ`Xc - (2.61) 2.61 -
statements of foreign operations
 I\d\Xjli\d\ekf][\Ôe\[Y\e\ÔkfYc`^Xk`fe - '%+0 '%+0 -
Provision for doubtful debts and advances '%+. 0.18 - 0.65
Others +%)) (0.08) - +%(+
Sub-total (B) 20.36 (2.64) 3.10 20.82
Total (A-B) 142.97 136.62 (3.10) 276.49

ANNUAL REPORT 2018-19

148
FINANCIAL STATEMENTS (STANDALONE)

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

For the year ended March 31, 2018

Particulars Opening balance Recognized in Recognized Closing balance

gifÔkficfjj in other
comprehensive
income
Deferred tax liabilities on
Property, plant and equipment and intangible assets 81.67 68.81 - (,'%+/
 @em\jkd\ekjd\Xjli\[Xk=MKGC 8.01 3.87 - 11.88
Others 1.09 (0.12) - 0.97
Sub-total (A) 90.77 72.56 - 163.33
Less: Deferred tax assets on
Accrued expenses deductible on payment 3.26 '%+- - 2.80
Deferred revenue - 10.08 - 10.08
Provision for compensated absences and other 3.60 (0.81) - 2.79
\dgcfp\\Y\e\Ôkj
 < oZ_Xe^\[`ù\i\eZ\j`ekiXejcXk`e^k_\ÔeXeZ`Xc - 6.33 (6.33) -
statements of foreign operations
 I\d\Xjli\d\ekf][\Ôe\[Y\e\ÔkfYc`^Xk`fe - (0.60) 0.60 -
Provision for doubtful debts and advances '%+. - - '%+.
Others +%)) - - +%))
Sub-total (B) 11.55 (+%,+ (5.73) 20.36
Total (A-B) 79.22 58.02 5.73 (+)%0.

25. CURRENT TAX LIABILITY / (ASSETS)

Particulars As at As at
March 31, 2019 March 31, 2018
Tax liabilities
Provision for current tax (net) 141.47 108.01
Total 141.47 108.01
Tax assets
Advance income tax (net) 18.44 (/%++
Total 18.44 (/%++

26. OTHER LIABILITIES

Particulars As at As at
March 31, 2019 March 31, 2018
Non-current
Deferred revenue arising from Government grant - refer note (i) below 62.66 +-%/+
Others 0.47 -
Total 63.13 +-%/+

EICHER MOTORS LIMITED

 149

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Particulars As at As at
March 31, 2019 March 31, 2018
Current
Contract liability 77.59 )/'%)+
Advance from customers 93.24 (+'%*.
Deferred revenue arising from Government grant - refer note (i) below 11.58 10.13
Deferred revenue 30.70 29.13
Statutory remittances (contributions to PF and ESIC, withholding taxes, GST, etc.) 89.38 (+,%+)
Others 11.29 10.97
Total 313.78 616.26

(i) The deferred revenue arises as a result of :

  X K _\Y\e\Ôki\Z\`m\[Ypk_\Le`k\[B`e^[fdLB 9iXeZ_f]k_\:fdgXep]ifdk_\>fm\ied\ekf]LB$;\gXikd\ek]fi
Business Innovation & Skills and Department for Her Majesty's Revenue & Customs.

  Y I
 \gi\j\ekj^fm\ied\ekXjj`jkXeZ\`ek_\]fidf]k_\[lkpY\e\ÔkXmX`c\[le[\i<ogfikGifdfk`fe:Xg`kXc>ff[j<G:> 
Scheme on purchase of property, plant and equipments accounted for as government grant.

   K_\j\^iXekjn`ccY\i\Zf^e`q\[`ejkXk\d\ekf]gifÔkXe[cfjjfeXjpjk\dXk`ZYXj`jfm\ik_\lj\]lcc`]\f]k_\i\cXk\[Ôo\[Xjj\kj%

27. REVENUE FROM OPERATIONS

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Revenue from operations
Sale of products
Manufactured goods (including excise duty)* 9,294.10 /#/+-%')
Traded goods 421.06 321.71
Sub-total (A) 9,715.16 9,167.73
Other operating revenue
Government grant (Export incentives)** 21.03 17.58
Scrap sale 24.99 22.15
Income from other operating revenues 33.30 +%*,
Sub-total (B) 79.32 ++%'/
Total (A+B) 9,794.48 9,211.81

!:fej\hl\ekkfk_\`ekif[lZk`fef]>ff[jXe[J\im`Z\jKXo>JK n`k_\ù\Zk]ifdAlcp(#)'(.#<oZ`j\;lkp#MXcl\8[[\[KXoM8K \kZ#_Xm\

been subsumed into GST. In accordance with Ind AS - 18 / Ind AS - 115 and Schedule III of the Companies Act, 2013, unlike Excise Duty, levies
c`b\>JKXi\efkZfej`[\i\[kfY\XgXikf]I\m\el\]ifdfg\iXk`fej%8ZZfi[`e^cp#k_\Ô^li\j]fik_\Ôijkk_i\\dfek_jf]k_\gi\m`fljp\Xi#
`%\#8gi`c)'(.kfAle\)'(.#`eZcl[\j<oZ`j\;lkpfejXc\j%<oZ`j\;lkpfejXc\jXdflek`e^kfIj%),+%*'Zifi\j_XjY\\e[`jZcfj\[j\g\iXk\cp
`ek_\jkXk\d\ekf]gifÔkXe[cfjj%
!!>fm\ied\ek^iXekj_Xm\Y\\ei\Z\`m\[]fik_\gliZ_Xj\f]Z\ikX`e`k\djf]gifg\ikp#gcXekXe[\hl`gd\ek%K_\i\Xi\efle]lcÔcc\[
conditions or contingencies attached to these grants.

ANNUAL REPORT 2018-19

150
FINANCIAL STATEMENTS (STANDALONE)

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Details of products sold
Manufactured goods
Two wheelers 8,692.07 /#*(+%(.
Spare parts and other components 602.03 531.85
Total 9,294.10 /#/+-%')
Traded goods
Accessories and other allied products 421.06 321.71
Total 421.06 321.71

28. OTHER INCOME

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
@ek\i\jk`eZfd\feÔeXeZ`XcXjj\kjZXii`\[XkXdfik`q\[Zfjk
Bank deposits and bonds 128.94 37.61
Others 1.38 1.71
130.32 39.32
Dividend income
Dividend from joint venture company 65.28 51.68
65.28 51.68

E\k^X`efeÔeXeZ`Xc`ejkild\ekjXk]X`imXcl\k_ifl^_gifÔkficfjj 288.68 235.02

Other non-operating income
Rent income (refer note 6) 0.26 2.92
Other income 22.80 1.75
 GifÔkfejXc\f]gifg\ikp#gcXekXe[\hl`gd\ek 0.17 0.17
Exchange gain (net) 0.53 1.57
23.76 -%+(
Total 508.04 **)%+*

29. COST OF MATERIALS CONSUMED

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Inventory at the beginning of the year 143.44 122.03
Add: Purchases 5,126.90 +#,0.%-*
5,270.34 +#.(0%--
C\jj1@em\ekfipXkk_\\e[f]k_\p\Xi 166.09 (+*%++
C\jj1DXk\i`XcZfjkf]m\_`Zc\jZXg`kXc`j\[ 2.10 1.71
5,102.15 +#,.+%,(
C\jj1JXc\f]iXndXk\i`Xcjkfjlggc`\ijfeZfjk$kf$ZfjkYXj`j 46.26 58.91
Total 5,055.89 +#,(,%-'

EICHER MOTORS LIMITED

 151

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

30. PURCHASES OF TRADED GOODS

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Accessories and other allied products 205.33 (,+%0.
Total 205.33 (,+%0.

31. CHANGE IN INVENTORIES OF FINISHED GOODS, WORK-IN-PROGRESS AND TRADED GOODS

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Inventories at the end of the year
Finished goods 359.71 188.68
Work-in-progress 21.68 18.01
Traded goods 40.39 16.63
A 421.78 223.32
Inventories at the beginning of the year/period
Finished goods 188.68 156.63
Work-in-progress 18.01 (+%0'
Traded goods 16.63 20.32
B 223.32 191.85
Net change (B-A) (198.46) *(%+.

32. EMPLOYEE BENEFITS EXPENSES

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Salaries, wages and bonus 585.67 +,+%,'
:feki`Ylk`fekfgifm`[\ekXe[fk_\i]le[ji\]\iefk\+) 29.45 22.11
J_Xi\$YXj\[gXpd\ekji\]\iefk\+/ 14.21 18.11
JkXùn\c]Xi\\og\ej\j 50.20 ,*%(+
Total 679.53 ,+.%/-

33. FINANCE COSTS

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Interest expense
On other borrowings 1.39 1.35
Unwinding of discount on provisions 1.60 1.69
Total 2.99 *%'+

ANNUAL REPORT 2018-19

152
FINANCIAL STATEMENTS (STANDALONE)

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

34. DEPRECIATION AND AMORTIZATION EXPENSES

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
;\gi\Z`Xk`fefegifg\ikp#gcXekXe[\hl`gd\eki\]\iefk\+ 272.85 207.13
Depreciation of investment property (refer note 6) 0.35 0.35
Amortization of intangible assets (refer note 7) 25.73 (+%/-
Total 298.93 )))%*+

35. OTHER EXPENSES

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Consumption of Stores and machinery spares (including loose tools and packing material) 169.52 (+0%('
;\Zi\Xj\f]\oZ`j\[lkpfeÔe`j_\[^ff[j - /%*+
CfjjfejXc\f]gifg\ikp#gcXekXe[\hl`gd\ekXe[`ekXe^`Yc\Xjj\kj 1.12 1.00
Property, plant and equipment discarded 3.00 -
Power and fuel 66.89 52.37
Insurance 11.58 10.51
Repairs and maintenance
Buildings 3.48 3.30
Plant and equipment 44.94 37.53
Others 45.02 )/%+(
Rates and taxes 5.38 5.76
Advertisement 26.11 ((%/+
Freight and handling charges 143.09 (*+%'(
Incentives 7.31 (-%+-
Warranty 43.33 +.%*'
Other selling and distribution expenses 194.22 173.68
Rent 45.74 36.50
C\^XcXe[gif]\jj`feXcZ_Xi^\j! 53.90 ).%+/
Travelling expenses 90.17 70.35
Development expenses 13.42 ('%+'
Corporate social responsibility expenditure (refer note 51) 45.39 30.85
Provision for doubtful debts and advances 0.49 -
Miscellaneous expenses 93.71 ./%/+
Total 1,107.81 917.35

* Including payment to auditors as below (excluding GST & Service tax) :

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
As auditors:
a) For Audit 0.25 0.25
Y  =fiC`d`k\[i\m`\njf]leXl[`k\[ÔeXeZ`Xci\jlckj 0.15 0.15
c) For other services 0.04 0.07
d) For reimbursement of expenses 0.03 0.03
Total 0.47 0.50
In other capacity:
a) For other services 0.11 0.06
Total 0.11 0.06

EICHER MOTORS LIMITED

 153

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

36. EXCEPTIONAL ITEMS

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Impairment loss in the value of investments
 $ <`Z_\iGfcXi`jGi`mXk\C`d`k\[ 17.52 311.98
Total 17.52 311.98

GlijlXekkfk_\[\Z`j`fef]k_\9fXi[f];`i\Zkfijf]k_\af`ekm\ekli\ZfdgXep#<`Z_\iGfcXi`jGi`mXk\C`d`k\[Xkk_\`id\\k`e^
_\c[feDXiZ_'0#)'(/kfn`e[[fnek_\fg\iXk`fejn`k_`dd\[`Xk\\ù\Zk#k_\:fdgXep_X[i\Zfi[\[Xe`dgX`id\ekcfjjf]
Ij%)0+%,'Zifi\jfek_\`em\jkd\ekXe[Ij%(.%+/Zifi\jkfnXi[j`kjj_Xi\f]Zfjkkfn`e[[fnek_\fg\iXk`fej#kfkXcc`e^kf
Rs. 311.98 crores in the previous year.
During the current year, it has further recorded an impairment loss of Rs. 12.52 crores and Rs. 5.00 crores towards share of cost
to wind down operations, totalling to Rs. 17.52 crores.

Cumulatively, the company has recorded total impairment loss of Rs. 329.50 crores till date. (refer note 9, 20).

37. INCOME TAX RECOGNISED IN STATEMENT OF PROFIT AND LOSS

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Current tax
In respect of the current year 941.92 /..%*+
Sub-total (A) 941.92 /..%*+
Deferred tax
 I\cXk`e^kffi`^`eXk`feXe[i\m\ijXcf]k\dgfiXip[`ù\i\eZ\j 136.62 58.02
Sub-total (B) 136.62 58.02
Total income tax expense recognized in the current year Total (A+B) 1,078.54 935.36

 K_\`eZfd\kXo\og\ej\]fik_\p\XiZXeY\i\ZfeZ`c\[kfk_\XZZflek`e^gifÔkXj]fccfnj1

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
GifÔkY\]fi\kXo 3,132.98 )#-+/%).
@eZfd\kXo\og\ej\ZXcZlcXk\[Xk*+%0++)'(.$(/1*+%-'/ 1,094.79 916.51
<ù\Zkfecfe^$k\idZXg`kXc^X`e]ifd`em\jkd\ek`edlklXc]le[j 1.04 (58.27)
<ù\Zkf]X[[`k`feXc[\[lZk`fef]i\j\XiZ_Xe[gif[lZk[\m\cfgd\ekZfjk (17.25) -%,+
<ù\Zkf]<JFG\og\ej\jefk[\[lZk`Yc\`e[\k\id`e`e^kXoXYc\gifÔkj 4.96 6.27
<ù\Zkf]`eZfd\\o\dgk]ifdkXoXk`fe (23.85) (18.92)
<ù\Zkf]efeZi\Xk`fef][\]\ii\[kXoXjj\kfe\oZ\gk`feXc`k\d 6.12 107.97
Others 12.73 (11.66)
1,078.54 935.36
@eZfd\kXo\og\ej\i\Zf^e`j\[`ejkXk\d\ekf]gifÔkXe[cfjj 1078.54 935.36
Income tax rate :
Basic rate 30.000% 30.000%
Surcharge - 12% (applied on basic rate) 3.600% 3.600%
:\jj$+DXiZ_*(#)'(/1* Xggc`\[feYXj`ZgcljjliZ_Xi^\ 1.344% 1.008%
34.944% *+%-'/

ANNUAL REPORT 2018-19

154
FINANCIAL STATEMENTS (STANDALONE)

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Income tax recognized in other comprehensive income

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
;\]\ii\[kXoZ_Xi^\&Y\e\Ôk
Arising on income and expenses recognized in other comprehensive income:
 <oZ_Xe^\[`ù\i\eZ\j`ekiXejcXk`e^k_\ÔeXeZ`XcjkXk\d\ekjf]]fi\`^efg\iXk`fej (2.61) 6.33
 I\d\Xjli\d\ekf][\Ôe\[Y\e\ÔkfYc`^Xk`fe (0.49) (0.60)
Total income tax recognized in other comprehensive income Total (3.10) 5.73
Bifurcation of the income tax recognised in other comprehensive income into:
 @k\djk_XkdXpY\i\ZcXjj`Ô\[kfgifÔkficfjj (2.61) 6.33
 @k\djk_Xkn`ccefkY\i\ZcXjj`Ô\[kfgifÔkficfjj (0.49) (0.60)
Total (3.10) 5.73

38. CAPITAL COMMITMENT

Estimated amount of contracts remaining to be executed on capital account and not provided for Rs. 290.85 crores
(March 31, 2018 : Rs. 273.00 crores).
The Company has other commitments, for purchase/sales orders which are issued after considering requirements per
fg\iXk`e^ZpZc\]figliZ_Xj\&jXc\f]^ff[jXe[j\im`Z\j#\dgcfp\\ËjY\e\Ôkj`eZcl[`e^le`feX^i\\d\ek`eefidXc
course of business. The Company does not have any long term commitments or material non-cancellable contractual
Zfdd`kd\ekj&ZfekiXZkj#n_`Z_d`^_k_Xm\dXk\i`Xc`dgXZkfek_\ÔeXeZ`XcjkXk\d\ekj%

39. RESEARCH AND DEVELOPMENT EXPENSES

 I\m\el\\og\e[`kli\fei\j\XiZ_Xe[[\m\cfgd\ek`eZlii\[Xe[\og\ej\[fù[li`e^k_\p\Xik_ifl^_k_\Xggifgi`Xk\
_\X[jf]XZZflekX^^i\^Xk\Ij%++%--Zifi\jDXiZ_*(#)'(/1Ij%*(%*/Zifi\j %K_\ZXg`kXc\og\e[`kli\`eZlii\[[li`e^k_\
year for research and development purposes aggregate Rs. 310.28 crores (March 31, 2018 : Rs. 206.18 crores).

40. CONTINGENT LIABILITIES NOT PROVIDED FOR

Particulars As at As at
March 31, 2019 March 31, 2018
a) In respect of the following:
- Excise duty matters 2.52 1.72
- Sales tax matters 6.50 6.38
- Service tax matters 0.39 0.39
- Customs duty matters 3.48 *%+/
b) Claims against the Company not acknowledged as debts 8.68 5.23
c) Guarantees given: 184.20 101.66
to bank/others for credit facility granted to 100% subsidiary Company
- Dues outstanding 110.37 -+%/-

All the above matters other than guarantee given by the Company are subject to legal proceedings in the ordinary course of business. The
c\^XcgifZ\\[`e^n_\elck`dXk\cpZfeZcl[\[n`ccefk#`ek_\fg`e`fef]dXeX^\d\ek#_Xm\XdXk\i`Xc\ù\Zkfek_\i\jlckf]fg\iXk`fejfik_\
ÔeXeZ`Xcgfj`k`fef]k_\:fdgXep%

There are numerous interpretation issues relating to the Supreme Court judgement on Provident Fund dated February 28, 2019. Given the
uncertainty of the impact of such matter, the Company will create a provision after receiving further clarity

EICHER MOTORS LIMITED

 155

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

41. DISCLOSURES REQUIRED UNDER SECTION 22 OF THE MICRO, SMALL AND MEDIUM
ENTERPRISES DEVELOPMENT ACT, 2006

Particulars As at As at
March 31, 2019 March 31, 2018
(i) Principal amount remaining unpaid to any supplier as at the end of the accounting year 18.95 26.95
(ii) Interest due thereon remaining unpaid to any supplier as at the end of the 0.01 -
accounting year
(iii) The amount of interest paid along with the amounts of the payment made to the 26.22 9.89
supplier beyond the appointed day
(iv) The amount of interest due and payable for the year 0.12 0.07
(v) The amount of interest accrued and remaining unpaid at the end of the accounting year 0.33 0.20
(vi) The amount of further interest due and payable even in the succeeding year, until - -
such date when the interest dues as above are actually paid

42. EMPLOYEE BENEFIT PLANS

 K_\[\kX`cjf]mXi`flj\dgcfp\\Y\e\Ôkjgifm`[\[kf\dgcfp\\jXi\Xjle[\i1
8% ;\Ôe\[:feki`Ylk`feGcXej

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
;\kX`cf]Xdfleki\Zf^e`q\[Xj\og\ej\]fi[\Ôe\[Zfeki`Ylk`fegcXej`j^`m\eY\cfn1
a) Provident fund* 20.06 15.56
b) Superannuation fund 0.49 '%+0
c) Employee State Insurance Corporation 4.67 +%..
d) Other funds 10.45 7.57
Total 35.67 28.39
 ! `eZcl[\jIj%(%*-Zifi\jDXiZ_*(#)'(/1Ij%'%('Zifi\ ZXg`kXc`q\[[li`e^k_\p\XiXe[Ij%+%/-Zifi\jDXiZ_*(#)'(/1Ij%-%(/Zifi\j 
considered in pre-operative expenditure (pending allocation).

 F
 lkf]k_\kfkXcZfeki`Ylk`fedX[\]fi\dgcfp\\jËgifm`[\ek]le[#Ij%+%.(Zifi\jDXiZ_*(#)'(/1Ij%*%,,Zifi\j `jdX[\kf<`Z_\i<o\Zlk`m\
Provident Fund Trust, while the remainder contribution has been made to government administered provident fund.

9% ;\Ôe\[9\e\ÔkGcXej1
 K_\;\Ôe\[Y\e\ÔkgcXef]k_\:fdgXep`eZcl[\j\ek`kc\d\ekf]^iXkl`kpXe[gifm`[\ek]le[jZ_\d\%

This plan typically expose the Company to actuarial risks such as: investment risk, interest rate risk , longevity risk and salary risk

Investment Risk K_\gi\j\ekmXcl\f]k_\[\Ôe\[Y\e\ÔkgcXec`XY`c`kp`jZXcZlcXk\[lj`e^X[`jZflekiXk\n_`Z_`j[\k\id`e\[Yp

reference to market yields at the end of the reporting period on government bonds.
Interest Risk 8[\Zi\Xj\`ek_\Yfe[`ek\i\jkiXk\n`cc`eZi\Xj\k_\gcXec`XY`c`kp2_fn\m\i#k_`jn`ccY\gXik`Xccpfùj\kYpXe`eZi\Xj\`e
the return on the plan's debt investments.
Cfe^\m`kpI`jb K_\gi\j\ekmXcl\f]k_\[\Ôe\[Y\e\ÔkgcXec`XY`c`kp`jZXcZlcXk\[Ypi\]\i\eZ\kfk_\Y\jk\jk`dXk\f]k_\dfikXc`kp
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 K_\gi\j\ekmXcl\f]k_\[\Ôe\[Y\e\ÔkgcXec`XY`c`kp`jZXcZlcXk\[Ypi\]\i\eZ\kfk_\]lkli\jXcXi`\jf]gcXe
participants. As such, an increase in the salary of the plan participants will increase the plan's liability.

 K _\dfjki\Z\ekXZklXi`XcmXclXk`fef]k_\gcXeXjj\kjXe[k_\gi\j\ekmXcl\f]k_\[\Ôe\[Y\e\ÔkfYc`^Xk`fen\i\ZXii`\[flkXjXk
DXiZ_*(#)'(0YpDi%B%B%;_Xie`=@8@D%Ef%''',( #=\ccfnf]k_\@ejk`klk\f]8ZklXi`\jf]@e[`X%K_\gi\j\ekmXcl\f]k_\[\Ôe\[Y\e\Ôk
obligation, and the related current service cost, were measured using the projected unit credit method.

ANNUAL REPORT 2018-19

156
FINANCIAL STATEMENTS (STANDALONE)

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Provident fund:
 K _\gifm`[\ek]le[`j^fm\ie\[Ypk_\Gifm`[\ek=le[8Zk#(0,)%Le[\ik_\[\Ôe\[Y\e\ÔkgcXe#k_\:fdgXepZfeki`Ylk\jkfk_\
"Eicher Executive Provident Fund Trust", for certain designation. The Company has an obligation to make good the shortfall, if any,
Y\kn\\ek_\i\klie]ifdk_\`em\jkd\ekjf]k_\kiljkXe[k_\efk`Ô\[`ek\i\jkiXk\%

The Actuary has provided a valuation for Provident Fund liabilities on the basis of guidance issued by Actuarial Society of India and based
on the assumptions provided below, the Company does not have additional obligation as at March 31, 2019.

The principal assumptions used for the purposes of the actuarial valuations were as follows:

Principal assumptions Provident fund

As at As at
March 31, 2019 March 31, 2018
Discount rate 7.80% 7.91%
Expected statutory interest rate on the ledger balance 8.65% 8.55%
Expected shortfall in interest earnings on the fund 0.05% 0.05%
Retirement age 58 years 58 years
Rate of withdrawal 3.00% 3.00%
In service mortality IALM @8CD
(2006-08) (2006-08)

Gratuity:
K_\^iXkl`kpgcXe`j^fm\ie\[Ypk_\GXpd\ekf]>iXkl`kp8Zk#(0.)%Le[\ik_\XZk#\dgcfp\\n_f_XjZfdgc\k\[Ôm\p\Xijf]j\im`Z\`j
\ek`kc\[kfjg\Z`ÔZY\e\Ôk%K_\c\m\cf]Y\e\Ôkjgifm`[\[[\g\e[jfek_\d\dY\iËjc\e^k_f]j\im`Z\Xe[jXcXipXki\k`i\d\ekX^\%K_\
fund has the form of a trust and it is governed by the Board of Trustees.

The principal assumptions used for the purposes of the actuarial valuations were as follows:

Principal assumptions Gratuity

As at As at
March 31, 2019 March 31, 2018
Discount rate 7.80% 7.90%
Future salary increase 7.50% 7.50%
Retirement age 58 years 58 years
Rate of withdrawal 2.00% 2.00%
In service mortality IALM @8CD
(2006-08) (2006-08)

EICHER MOTORS LIMITED

 157

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

 8dflekji\Zf^e`q\[`ejkXk\d\ekf]gifÔkXe[cfjj`ei\jg\Zkf]k_\j\[\Ôe\[Y\e\ÔkgcXejXi\Xj]fccfnj1$

Particulars Gratuity
For the year ended For the year ended
March 31, 2019 March 31, 2018
Service cost:
Current service cost 3.46 2.66
Net Interest expense (0.04) (0.02)
:fdgfe\ekjf][\Ôe\[Y\e\ÔkZfjkji\Zf^e`j\[`egifÔkficfjj 3.42 )%-+
I\d\Xjli\d\ekfek_\e\k[\Ôe\[Y\e\Ôkc`XY`c`kp1
Actuarial (gains)/ losses arising from experience adjustments 1.40 (%.+
:fdgfe\ekjf][\Ôe\[Y\e\ÔkZfjkji\Zf^e`q\[`efk_\iZfdgi\_\ej`m\ 1.40 (%.+
income
Total 4.82 +%*/

 K_\Xdflek`eZcl[\[`ek_\YXcXeZ\j_\\kXi`j`e^]ifdk_\\ek`kpjfYc`^Xk`fe`ei\jg\Zkf]`kj[\Ôe\[
Y\e\ÔkgcXej`jXj]fccfnj1

Particulars Gratuity
As at As at
March 31, 2019 March 31, 2018
Gi\j\ekMXcl\f]]le[\[[\Ôe\[Y\e\ÔkfYc`^Xk`fe 21.65 17.13
Fair value of plan assets 21.65 17.60
E\kc`XY`c`kpXi`j`e^]ifd[\Ôe\[Y\e\ÔkfYc`^Xk`fe - '%+.

 Dfm\d\ekj`ek_\gi\j\ekmXcl\f]k_\[\Ôe\[Y\e\ÔkfYc`^Xk`feXi\Xj]fccfnj1$

Particulars Gratuity
For the year ended For the year ended
March 31, 2019 March 31, 2018
Fg\e`e^[\Ôe\[fYc`^Xk`fe 17.13 13.32
Current service cost 3.46 2.66
Interest cost 1.35 1.00
Actuarial (gains)/ losses 1.13 (%,+
9\e\ÔkjgX`[ (1.42) (1.39)
:cfj`e^[\Ôe\[Y\e\ÔkfYc`^Xk`fe 21.65 17.13

Movements in the fair value of the plan assets are as follows:

Particulars Gratuity
For the year ended For the year ended
March 31, 2019 March 31, 2018
Opening fair value of plan assets@ 17.60 13.67
Interest income 1.39 1.02
Actuarial gains/ (losses) (0.27) (0.20)
Contribution 4.35 +%,'
9\e\ÔkgX`[ (1.42) (1.39)
Closing fair value of plan assets@ 21.65 17.60
@
=le[jdXeX^\[Yp<DC<dgcfp\\j:fdgXep>iXkl`kpJZ_\d\Kiljk %

ANNUAL REPORT 2018-19

158
FINANCIAL STATEMENTS (STANDALONE)

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

The major categories of plan assets maintained with the approved insurance companies for EML Trust are
as follows:
The Fair value of the plan assets at the end of reporting period for each category are as follows.

Particulars As at As at
March 31, 2019 March 31, 2018
Government securities 6.15 5.67
Debt instruments categorized by issuers' credit rating:
AAA 10.60 /%/+
AA+ 2.53 1.78
AA 1.31 0.91
Cash, deposits, etc. 1.06 '%+'
Total 21.65 17.60

The fair values of the above instruments are determined based on quoted market prices in active market. The actual return
on plan assets was Rs. 1.12 crores for the year ended March 31, 2019.

 J`^e`ÔZXekXZklXi`XcXjjldgk`fej]fik_\[\k\id`eXk`fef]k_\[\Ôe\[fYc`^Xk`feXi\[`jZflekiXk\#\og\Zk\[jXcXip`eZi\Xj\
and mortality. The sensitivity analysis below have been determined based on reasonable possible changes of the respective
assumptions occurring at the end of the reporting period, while holding all other assumptions constant.
 $ @]k_\[`jZflekiXk\`j,'YXj`jgf`ekj_`^_\icfn\i #k_\[\Ôe\[Y\e\ÔkfYc`^Xk`fenflc[[\Zi\Xj\YpIj%(%)'Zifi\j
`eZi\Xj\YpIj%(%*)Zifi\j RXjXkDXiZ_*(#)'(/1;\Zi\Xj\YpIj%'%/.Zifi\`eZi\Xj\YpIj%'%0,Zifi\ T%
 $ @]k_\\og\Zk\[jXcXip^ifnk_`eZi\Xj\j[\Zi\Xj\j Yp,'YXj`jgf`ekj#k_\[\Ôe\[Y\e\ÔkfYc`^Xk`fenflc[`eZi\Xj\Yp
Ij%(%*)Zifi\j[\Zi\Xj\YpIj%(%)(Zifi\j RXjXkDXiZ_*(#)'(/1@eZi\Xj\YpIj%'%0,Zifi\[\Zi\Xj\YpIj%'%/.Zifi\ T%

Sensitivities due to change in mortality rate and change in withdrawal rate are not material and hence impact of such
change is not calculated.

Sensitivity Analysis
K_\j\ej`k`m`kpXeXcpj`jgi\j\ek\[XYfm\dXpefkY\i\gi\j\ekXk`m\f]k_\XZklXcZ_Xe^\`ek_\[\Ôe\[Y\e\ÔkfYc`^Xk`feXj`k`j
unlikely that the change in assumptions would occur in isolation of one another as some of the assumptions may be correlated.

 =lik_\idfi\#`egi\j\ek`e^k_\XYfm\j\ej`k`m`kpXeXcpj`j#k_\gi\j\ekmXcl\f]k_\[\Ôe\[Y\e\ÔkfYc`^Xk`fe_XjY\\e
calculated using the projected unit credit method at the end of reporting period, which is same as that applied in calculating
k_\[\Ôe\[Y\e\ÔkfYc`^Xk`fec`XY`c`kpi\Zf^e`q\[`ek_\YXcXeZ\j_\\k%

There was no change in the methods and assumptions used in preparing the sensitivity analysis from prior years.

Other disclosures
 DXkli`kpgifÔc\f][\Ôe\[Y\e\ÔkfYc`^Xk`fe

Particulars As at As at
March 31, 2019 March 31, 2018
8m\iX^\[liXk`fef]k_\[\Ôe\[Y\e\ÔkfYc`^Xk`fe`ep\Xij 20.03 19.67

 K_\\jk`dXk\[Zfeki`Ylk`fe[li`e^e\okp\Xi`jIj%+%',Zifi\jDXiZ_*(#)'(/1Ij%*%(/Zfi\j kfk_\[\Ôe\[Y\e\ÔkgcXe%

EICHER MOTORS LIMITED

 159

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

43. EARNINGS PER SHARE

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Basic earnings per share (in Rs.) 753.37 629.07
Diluted earnings per share (in Rs.) 752.54 627.88
Basic earnings per share
The earnings and weighted average number of equity shares used in the calculation of
basic earnings per share are as follows.
GifÔk]fik_\p\Xi#g\ijkXk\d\ekf]gifÔkXe[cfjjIj%`eZifi\j 2,054.44 1,712.91
Weighted average number of equity shares for the purposes of basic earnings per share 2,72,69,904 )#.)#)0#*-+
Diluted earnings per share
The earnings and weighted average number of equity shares used in the calculation of
diluted earnings per share are as follows.
GifÔk]fik_\p\Xi#g\ijkXk\d\ekf]gifÔkXe[cfjjIj%`eZifi\j 2,054.44 1,712.91
Weighted average number of equity shares for the purposes of basic earnings per share 2,72,69,904 )#.)#)0#*-+
Shares deemed to be issued for no consideration in respect of :
- employee options 30,193 ,(#++/
Weighted average number of equity shares for the purposes of diluted earnings per share 2,73,00,097 2,72,80,812

44. SEGMENT REPORTING DISCLOSURE

The Company primarily operates in the automotive segment. The automotive segment includes all activities related to
development, design, manufacture, assembly and sale of two-wheelers as well as sale of related parts and accessories.
 8j[\Ôe\[`e@e[8J('/#k_\Z_`\]fg\iXk`e^[\Z`j`fedXb\i:F;D #\mXclXk\jk_\:fdgXepjg\i]fidXeZ\#XccfZXk\
resources based on the analysis of the various performance indicator of the Company as a single unit. Therefore, there is no
reportable segment for the Company as per the requirement of Ind AS 108 “Operating Segments”.

Geographical information
The "Geographical Segments" comprises of domestic segment which includes sales to customers located in India and the
overseas segment includes sales to customers located outside India.

Particulars Domestic Overseas Total

Revenue from operations
For the year ended March 31, 2019 9,418.06 376.42 9,794.48
For the year ended March 31, 2018 /#0*/%+* 273.38 9,211.81
Revenue from operations - External
For the year ended March 31, 2019 9,418.06 312.46 9,730.52
For the year ended March 31, 2018 /#0*/%+* )+0%-- 9,188.09
Non-current segment assets
As at March 31, 2019 2,175.25 384.71 2,559.96
As at March 31, 2018 1,752.73 *'0%+/ 2,062.21

a) Domestic segment includes sales and services to customers located in India.

b) Overseas segment includes sales and services rendered to customers located outside India.
c) Non-current segment assets include property, plant and equipment, investments in subsidiaries & joint ventures and
other non-current assets.
d) The accounting policies adopted for segment reporting are in conformity with the accounting policies adopted for the
:fdgXep%I\m\el\_Xm\Y\\e`[\ek`Ô\[kfj\^d\ekjfek_\YXj`jf]k_\`ii\cXk`fej_`gkfk_\fg\iXk`e^XZk`m`k`\jf]k_\
segment.
Information about major customers
No customer individually accounted for more than 10% of the revenue.

ANNUAL REPORT 2018-19

160
FINANCIAL STATEMENTS (STANDALONE)

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

45. RELATED PARTY DISCLOSURES UNDER IND AS 24

a. Related party disclosures:
Name of related parties and their relationship:
Name of related party Nature of Relationship
  IfpXc<eÔ\c[Efik_8d\i`ZXCk[% I<E8  JlYj`[`XipZfdgXep
  IfpXc<eÔ\c[:XeX[XCk[% I<:8  (''jlYj`[`XipZfdgXepf]I<E8
  IfpXc<eÔ\c[9iXj`c:fd\iZ`f[\DfkfZ`Zc\kXjCk[X I<9iXj`c  JlYj`[`XipZfdgXep
  IfpXc<eÔ\c[K_X`cXe[ Ck[%# (RET) Subsidiary company
  M<:fdd\iZ`XcM\_`Zc\jC`d`k\[ M<:MC  Af`ekm\ekli\ZfdgXep
  M<:MCXebXGi`mXk\ C`d`k\[ M<:MCXebX  JlYj`[`XipZfdgXepf]M<:MC
  M<:MJflk_8]i`ZXGKP Ck[% M<:M8]i`ZX  JlYj`[`XipZfdgXepf]M<:MC
  <`Z_\iGfcXi`jGi`mXk\C`d`k\[ <GGC  Af`ekm\ekli\ZfdgXep
Eicher Group Foundation (EGF) Joint venture company
  <`Z_\i>ff[\Xik_Gi`mXk\C`d`k\[ <>GC  <ek`kple[\ik_\Zfekifcf]k_\
key management personnel
  <`Z_\i>ff[\Xik_@e[`XGi`mXk\C`d`k\[! <>@GC  <ek`kple[\ik_\Zfekifcf]k_\
key management personnel
  E`ZfYXi;\j`^eGi`mXk\C`d`k\[ E;GC  <ek`kple[\ik_\Zfekifcf]k_\
key management personnel
  <`Z_\i<o\Zlk`m\Gifm`[\ek=le[ <<G=  Gfjk\dgcfpd\ekY\e\ÔkgcXe
  <`Z_\iKiXZkfij<o\Zlk`m\JkXùJlg\iXeelXk`fe=le[ <K<JJ=  Gfjk\dgcfpd\ekY\e\ÔkgcXe
  <`Z_\iDfkfijC`d`k\[<dgcfp\\j>iXkl`kpKiljk <DC<>K  Gfjk\dgcfpd\ekY\e\ÔkgcXe
  K_\J`diXeJ`[[_Xik_XKXiX9\e\ÔkKiljk JJK9K  J_Xi\_fc[\ij_fc[`e^dfi\k_Xe,\hl`kp
shares in the Company
Incorporated on September 18, 2018
#

*Incorporated on January 01, 2018

b. Key management personnel:

  Di%J`[[_Xik_XCXc  DXeX^`e^;`i\Zkfi 
  Di%M`ef[B%;XjXi`  N_fc\$k`d\;`i\Zkfi:_`\]<o\Zlk`m\FøZ\i
    f]IfpXc<eÔ\c[8ggf`ek\[n%\%]%8gi`c'(#)'(0
Mr. S. Sandilya Chairman
Mr. Priya Brat Independent director
(Resigned w.e.f. June 16, 2017)
Mr. M.J. Subbaiah Independent director
(Resigned w.e.f. March 31, 2018)
Mr. Prateek Jalan Independent director
(Resigned w.e.f. October 13, 2018)
Ms. Manvi Sinha Independent director
Mr. Inder Mohan Singh Independent director
(Appointed w.e.f. November 12, 2018)
Mr. Vinod Aggarwal Non-executive director
(Appointed w.e.f. April 01, 2019)
  Di%CXc`kDXc`b  :_`\]=`eXeZ`XcFøZ\i
Mr. Manhar Kapoor Company Secretary

EICHER MOTORS LIMITED

 161

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

c. Transactions with the key management personnel during the year:

Particulars Nature of transaction For the year ended For the year ended
March 31, 2019 March 31, 2018
Di%J`[[_Xik_XCXc Managerial remuneration
 J_fik$k\idY\e\Ôkj 12.69 10.12
 Gfjk$\dgcfpd\ekY\e\Ôkj 0.06 '%(+
 Fk_\icfe^$k\idY\e\Ôkj 0.06 0.05
12.81 10.31
Mr. S. Sandilya Sitting fees 0.04 0.03
Commission 0.59 0.53
Mr. Priya Brat Sitting fees - 0.01
Commission 0.02 -
Mr. M.J. Subbaiah Sitting fees - 0.02
Commission - 0.10
Mr. Prateek Jalan Sitting fees 0.02 0.03
Commission 0.25 0.23
Ms. Manvi Sinha Sitting fees 0.03 0.02
Commission 0.11 0.10
Mr. Inder Mohan Singh Sitting fees 0.01 -
Commission 0.25 -
Di%CXc`kDXc`b Remuneration
 J_fik$k\idY\e\Ôkj 4.68 2.06
 Gfjk$\dgcfpd\ekY\e\Ôkj 0.04 '%'+
 Fk_\icfe^$k\idY\e\Ôkj 0.03 -
4.75 2.10
Mr. Manhar Kapoor Remuneration
 J_fik$k\idY\e\Ôkj 1.98 0.88
 Gfjk$\dgcfpd\ekY\e\Ôkj 0.02 0.01
 Fk_\icfe^$k\idY\e\Ôkj 0.02 0.01
2.02 0.90

d. Transactions with the related parties:

Name of related party Nature of transaction For the year ended For the year ended
March 31, 2019 March 31, 2018
M<:fdd\iZ`XcM\_`Zc\jC`d`k\[ Purchase of raw materials and components / 172.28 (-'%(+
services
Expenses reimbursed 0.49 0.35
Corporate service charges paid 2.53 )%+*
Dividend income 65.28 51.68
<`Z_\iGfcXi`jGi`mXk\C`d`k\[ Investment in equity share capital 30.00 27.60
(including advance given in previous year)
Expenses recovered - 0.05
Rent income 0.26 2.92
<`Z_\i>ff[\Xik_Gi`mXk\C`d`k\[ Corporate service charges paid 1.16 0.88
Rent 4.69 *%+)
Brand fees - 16.02
Eicher Goodearth India Private Brand fees 24.42 6.31
C`d`k\[
IfpXc<eÔ\c[Efik_8d\i`ZXCk[ Investment in shares capital of subsidiary - 15.90
company

ANNUAL REPORT 2018-19

162
FINANCIAL STATEMENTS (STANDALONE)

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Name of related party Nature of transaction For the year ended For the year ended
March 31, 2019 March 31, 2018
Guarantee given / forex revaluation 60.13 -
Sale of products 56.89 ()%/+
Expenses recovered 1.18 5.58
Expenses reimbursed 21.29 0.66
IfpXc<eÔ\c[9iXj`c:fd\iZ`f[\ Guarantee given / forex revaluation 22.40 26.02
DfkfZ`Zc\kXjCk[X
Sale of products 6.99 10.88
Expenses recovered 0.41 -
IfpXc<eÔ\c[K_X`cXe[ Ck[ Investment in shares capital of subsidiary company 18.50 -
Sale of products 0.08 -
E`ZfYXi;\j`^eGi`mXk\C`d`k\[ Rent income 0.99 -
Eicher Group Foundation Corporate social responsibility expenditure 42.69 25.08
Eicher Executive Provident Fund Contribution to provident fund 4.71 3.55
<`Z_\iKiXZkfij<o\Zlk`m\JkXù Contribution to superannuation fund 0.33 0.31
Superannuation Fund
<`Z_\iDfkfijC`d`k\[<dgcfp\\j Contribution to gratuity fund 4.35 +%,'
Gratuity Trust
9\e\ÔkjgX`[ (1.42) (1.39)

Balance outstanding at the year end

Name of related party Nature As at As at

March 31, 2019 March 31, 2018
M<:fdd\iZ`XcM\_`Zc\jC`d`k\[ Trade payables 51.10 +,%-*
<`Z_\i>ff[\Xik_Gi`mXk\C`d`k\[ Trade payables - 16.29
Security deposits receivable 1.09 1.09
<`Z_\i>ff[\Xik_@e[`XGi`mXk\C`d`k\[ Trade payables 24.42 6.31
IfpXc<eÔ\c[Efik_8d\i`ZXCk[ Trade receivables 23.28 8.22
Fk_\iÔeXeZ`XcXjj\kj 3.77 ,%+'
Trade payables 1.88 '%(+
Guarantee given 135.78 75.65
IfpXc<eÔ\c[9iXj`c:fd\iZ`f[\ Trade receivables 3.70 +%)(
DfkfZ`Zc\kXjCk[X Guarantee given 48.42 26.02
IfpXc<eÔ\c[K_X`cXe[ Ck[ Trade receivables 0.08 -
Di%J`[[_Xik_XCXc Commission payable 5.28 +%/'
Non-executive and independent directors Commission payable 1.19 0.96

Terms and conditions of transactions with related parties

The sales to and purchases from related parties are made on terms equivalent to those that prevail in arm’s length
transactions. Outstanding balances at the year-end are unsecured and interest free and settlement occurs in cash. For the
year ended March 31, 2019, the Company has not recorded any impairment of receivables relating to amounts owed by
i\cXk\[gXik`\jDXiZ_*(#)'(/1Ij%E`c %K_`jXjj\jjd\ek`jle[\ikXb\e\XZ_ÔeXeZ`Xcp\Xik_ifl^_\oXd`e`e^k_\ÔeXeZ`Xc
position of the related party and the market in which the related party operates.

 K_\:fdgXepgifm`[\jXZi\[`kg\i`f[f]*'[Xpjkf)+'[Xpjn`k_i\jg\Zkkfi\Z\`mXYc\j]ifdI<K#I<E8Xe[I<9iXj`c#
respectively.

EICHER MOTORS LIMITED

 163

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

46. FINANCIAL INSTRUMENTS

Capital Management
The Company manages its capital to ensure that the Company will be able to continue as going concern while maximizing
k_\i\kliekfjkXb\_fc[\ijk_ifl^_\øZ`\ekXccfZXk`fef]ZXg`kXckfnXi[j\ogXej`fef]Ylj`e\jj#fgk`d`qXk`fef]nfib`e^
capital requirements and deployment of surplus funds into various investment options. The Company uses the operational
cash flows and equity to meet its capital requirements.

The Company is not subject to any externally imposed capital requirements.

The management of the Company reviews the capital structure of the Company on regular basis. As part of this review, the
management of the Company considers risks associated with the movement in the working capital.

The following table summarizes the capital of the Company:

Particulars As at As at
March 31, 2019 March 31, 2018
Borrowings (refer note 21) 76.38 85.98
C\jj1:Xj_Xe[ZXj_\hl`mXc\ekji\]\iefk\(, (701.76) (89.28)
Net debt* - -

Share capital 27.28 27.26

Other equity 7,099.17 ,#*++%0.
Total Equity 7,126.45 5,372.23
Gearing ratio - -
* Cash and cash equivalents for the current and previous year is greater than borrowings, hence net debt is considered as Nil.

+-%(:Xk\^fi`\jf]ÔeXeZ`Xc`ejkild\ekj

Particulars As at As at
March 31, 2019 March 31, 2018
=`eXeZ`XcXjj\kjXk]X`imXcl\k_ifl^_gifÔkficfjj
Non-current
Investments in equity 0.09 0.09
Investments in mutual funds 2,465.76 3,139.13
Current
Investments in mutual funds 468.81 -**%+'
Financial assets at amortised cost
Non-current
Investments in bonds 43.94 +*%0+
  Fk_\iÔeXeZ`XcXjj\kj 28.27 )+%//
Current
Trade receivables 112.65 78.02
Cash and bank balances 2,940.07 1,208.82
  CfXej 1.29 0.28
  Fk_\iÔeXeZ`XcXjj\kj 73.26 33.71
Financial liabilities at amortized cost
Non-current
  Fk_\iÔeXeZ`Xcc`XY`c`k`\j 9.96 8.88
Current
Borrowings 76.38 85.98
Trade payables 1,231.10 (#(.'%+.
  Fk_\iÔeXeZ`Xcc`XY`c`k`\j 158.00 166.70

ANNUAL REPORT 2018-19

164
FINANCIAL STATEMENTS (STANDALONE)

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

46.2 Fair value measurements

 K_\:fdgXeplj\jk_\]fccfn`e^_`\iXiZ_p]fi[\k\id`e`e^Xe[&fi[`jZcfj`e^k_\]X`imXcl\f]ÔeXeZ`Xc`ejkild\ekjYp
valuation techniques:
 K_\]fccfn`e^`jk_\YXj`jf]ZXk\^fi`q`e^k_\ÔeXeZ`Xc`ejkild\ekjd\Xjli\[Xk]X`imXcl\`ekfC\m\c(kfC\m\c*1$
 C\m\c(1K_`jc\m\c`eZcl[\jÔeXeZ`XcXjj\kjk_XkXi\d\Xjli\[Ypi\]\i\eZ\kfhlfk\[gi`Z\jleX[aljk\[ `eXZk`m\dXib\kj
for identical assets or liabilities.
 C\m\c)1K_`jc\m\c`eZcl[\jÔeXeZ`XcXjj\kjXe[c`XY`c`k`\j#d\Xjli\[lj`e^`eglkjfk_\ik_Xehlfk\[gi`Z\j`eZcl[\[n`k_`e
C\m\c(k_XkXi\fYj\imXYc\]fik_\Xjj\kfic`XY`c`kp#\`k_\i[`i\Zkcp`%\%#Xjgi`Z\j fi`e[`i\Zkcp`%\%#[\i`m\[]ifdgi`Z\j %
 C\m\c*1K_`jc\m\c`eZcl[\jÔeXeZ`XcXjj\kjXe[c`XY`c`k`\jd\Xjli\[lj`e^`eglkjk_XkXi\efkYXj\[fefYj\imXYc\dXib\k
data (unobservable inputs). Fair values are determined in whole or in part, using a valuation model based on assumptions
that are neither supported by prices from observable current market transactions in the same instrument nor are they based
on available market data.

 =X`imXcl\f]k_\:fdgXepjÔeXeZ`XcXjj\kjk_XkXi\d\Xjli\[Xk]X`imXcl\feXi\Zlii`e^YXj`j1$
 K_\i\Xi\Z\ikX`e:fdgXepjÔeXeZ`XcXjj\kjn_`Z_Xi\d\Xjli\[Xk]X`imXcl\Xkk_\\e[f]\XZ_i\gfik`e^g\i`f[%=fccfn`e^
kXYc\^`m\j`e]fidXk`feXYflk_fnk_\]X`imXcl\jf]k_\j\ÔeXeZ`XcXjj\kjXi\[\k\id`e\[1$

Particulars Fair value as at March 31, 2019

Level 1 Level 2 Level 3
=`eXeZ`XcXjj\kjXk]X`imXcl\k_ifl^_gifÔkficfjj
Non-current
Investments in equity* - - 0.09
Investments in mutual funds 2,465.76 - -
Current
Investments in mutual funds 468.81 - -

Particulars Fair value as at March 31, 2018

C\m\c( C\m\c) C\m\c*
=`eXeZ`XcXjj\kjXk]X`imXcl\k_ifl^_gifÔkficfjj
Non-current
Investments in equity* - - 0.09
Investments in mutual funds 3,139.13 - -
Current
Investments in mutual funds -**%+' - -

* Investment in equity (level-3) has been valued using weighted average of value arrived using Discounted Cash Flow Method and Net Assets Method.

 =X`imXcl\f]k_\:fdgXepjÔeXeZ`XcXjj\kjXe[ÔeXeZ`Xcc`XY`c`k`\jk_XkXi\efkd\Xjli\[Xk]X`imXcl\Ylk
fair value disclosures are required)
 <oZ\gkXj[\kX`c\[flk`ek_\]fccfn`e^kXYc\#k_\dXeX^\d\ekZfej`[\ijk_Xkk_\ZXiip`e^Xdflekjf]ÔeXeZ`XcXjj\kjXe[
ÔeXeZ`Xcc`XY`c`k`\ji\Zf^e`q\[`ek_\jkXe[Xcfe\ÔeXeZ`XcjkXk\d\ekjXggifo`dXk\k_\`i]X`imXcl\j%

Particulars March 31, 2019 March 31, 2018

Carrying amount Fair value Carrying amount Fair value
(Level 1) C\m\c(
Financial assets at amortized cost
Non-current
Investments in bonds 43.94 45.87 +*%0+ +-%-.

EICHER MOTORS LIMITED

 165

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

 K_\]X`imXcl\f]k_\ÔeXeZ`XcXjj\kjXe[c`XY`c`k`\jXi\`eZcl[\[Xkk_\Xdflekk_Xknflc[Y\i\Z\`m\[kfj\ccXeXjj\kXe[
paid to transfer a liability in an orderly transaction between market participants. The following methods and assumptions
were used to estimate the fair values:
 $ @em\jkd\ekjkiX[\[`eXZk`m\dXib\kjXi\[\k\id`e\[Ypi\]\i\eZ\kfhlfk\j]ifdk_\ÔeXeZ`Xc`ejk`klk`fej2]fi\oXdgc\1
Net asset value (NAV) for investments in mutual funds declared by mutual fund house.
- The fair value of bonds is based on quoted prices and market observable inputs.
 $ K iX[\i\Z\`mXYc\j#ZXj_Xe[ZXj_\hl`mXc\ekj#fk_\iYXebYXcXeZ\j#cfXej#fk_\iZlii\ekÔeXeZ`XcXjj\kj#Zlii\ek
Yfiifn`e^j#kiX[\gXpXYc\jXe[fk_\iZlii\ekÔeXeZ`Xcc`XY`c`k`\j18ggifo`dXk\k_\`iZXiip`e^XdflekjcXi^\cp[l\kfk_\
short-term maturities of these instruments.
 $ D
 XeX^\d\eklj\j`kjY\jkal[^d\ek`e\jk`dXk`e^k_\]X`imXcl\f]`kjÔeXeZ`Xc`ejkild\ekj%?fn\m\i#k_\i\Xi\`e_\i\ek
c`d`kXk`fej`eXep\jk`dXk`fek\Z_e`hl\%K_\i\]fi\#]fijlYjkXek`XccpXccÔeXeZ`Xc`ejkild\ekj#k_\]X`imXcl\\jk`dXk\j
presented above are not necessarily indicative of all the amounts that the Company could have realized or paid in sale
kiXejXZk`fejXjf]i\jg\Zk`m\[Xk\j%8jjlZ_#k_\]X`imXcl\f]k_\ÔeXeZ`Xc`ejkild\ekjjlYj\hl\ekkfk_\i\jg\Zk`m\
i\gfik`e^[Xk\jdXpY\[`ù\i\ek]ifdk_\Xdflekji\gfik\[Xk\XZ_p\Xi\e[%
 $ K_\i\n\i\efkiXej]\ijY\kn\\eC\m\c(Xe[C\m\c)[li`e^k_\p\Xi%

47. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES

Financial risk management objectives
 K_\:fdgXepjdXeX^\d\ekdfe`kfijXe[dXeX^\jk_\ÔeXeZ`Xci`jbji\cXk`e^kfk_\fg\iXk`fejf]k_\:fdgXep%K_\j\
risks include market risk (including currency risk, interest rate risk and other price risk), credit risk and liquidity risk.
The management reviews cash resources, implements strategies for foreign currency exposures and ensuring market risk
limit and policies.
 K_\:fdgXep[f\jefk\ek\i`ekffikiX[\ÔeXeZ`Xc`ejkild\ekj#`eZcl[`e^[\i`mXk`m\ÔeXeZ`Xc`ejkild\ekj#]fijg\ZlcXk`m\
purposes.

Market risk
Market risk is the risk of any loss in future earnings, in realizable fair values or in future cash flows that may result from a
Z_Xe^\`ek_\gi`Z\f]XÔeXeZ`Xc`ejkild\ek%K_\:fdgXepjXZk`m`k`\j\ogfj\`kgi`dXi`cpkfk_\ÔeXeZ`Xci`jbjf]Z_Xe^\j
in foreign currency exchange rates and interest rates risk/ liquidity risk which impact returns on investments. Market risk
exposures are measured using sensitivity analysis.

Foreign currency risk management

The Company undertakes transactions denominated in foreign currencies; consequently, exposures to exchange rate
fluctuations arise. 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:
Rs. in Crores
Foreign currency exposure As at March 31, 2019 As at March 31, 2018
Foreign currency Foreign currency Foreign currency Foreign currency
monetary assets monetary liabilities monetary assets monetary liabilities
USD 0.56 0.27 0.35 0.23
EURO 0.61 0.18 0.35 0.03
GBP 0.18 0.14 0.09 0.08
JPY - 17.27 - 12.16
Others - 1.95 - 0.17

ANNUAL REPORT 2018-19

166
FINANCIAL STATEMENTS (STANDALONE)

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Foreign currency sensitivity

The company uses the sensitivity rate of 5% when reporting foreign currency risk internally to key management personnel
and represents management's assessment of the reasonably possible change in foreign exchange rates. The sensitivity
analysis includes only outstanding foreign currency denominated monetary items and adjusts their translation at the period
end for a 5% change in foreign currency rates. In the opinion of the management, the sensitivity of increase or decrease of
Ij%X^X`ejkk_\i\c\mXek]fi\`^eZlii\eZ`\j`jefkdXk\i`Xckfk_\ÔeXeZ`XcjkXk\d\ekj%

Credit risk management

 :i\[`ki`jbi\]\ijkfk_\i`jbk_XkXZflek\igXikpn`cc[\]Xlckfe`kjZfekiXZklXcfYc`^Xk`feji\jlck`e^`eÔeXeZ`Xccfjjkfk_\:fdgXep%
Financial instruments that are subject to concentrations of credit risk, principally consist of balance with banks, investments in debt
`ejkild\ekj&Yfe[j#kiX[\i\Z\`mXYc\j#cfXejXe[X[mXeZ\j%Efe\f]k_\ÔeXeZ`Xc`ejkild\ekjf]k_\:fdgXepi\jlck`edXk\i`Xc
concentrations of credit risks.

 9XcXeZ\jn`k_YXebjn\i\efkgXjk[l\fi`dgX`i\[XjXkk_\p\Xi\e[%@efk_\iÔeXeZ`XcXjj\kjk_XkXi\efkgXjk[l\jXe[efk
impaired, there were no indication of default in repayment as at the year end.

 K_\:fdgXep_Xjlj\[XgiXZk`ZXc\og\[`\ekYpZfdglk`e^k_\\og\Zk\[cfjjXccfnXeZ\]fiÔeXeZ`XcXjj\kjYXj\[fe_`jkfi`ZXc
credit loss experience and adjustments for forward looking information.

 Dfm\d\ek`ek_\\og\Zk\[Zi\[`kcfjjXccfnXeZ\f]ÔeXeZ`XcXjj\kj

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Balance at beginning of the year 0.25 0.25
Add: Provided during the year 0.49 -
Balance at end of the year 0.74 0.25

Other price risks including interest rate risk

 K_\:fdgXep_Xj[\gcfp\[`kjjligclj]le[j`ekfmXi`fljÔeXeZ`Xc`ejkild\ekj`eZcl[`e^le`kjf]dlklXc]le[j#Yfe[j#\kZ%
The Company is exposed to NAV (net asset value) price risks arising from investments in these funds. The value of these
investments is impacted by movements in interest rates , liquidity and credit quality of underlying securities.
NAV price sensitivity analysis
The sensitivity analysis below have been determined based on the exposure to NAV price risks at the end of the reporting
period. If NAV prices had been 1% higher/lower:
Š g
 ifÔk]fik_\p\Xi\e[\[DXiZ_*(#)'(0nflc[`eZi\Xj\&[\Zi\Xj\YpIj%)0%*,Zifi\j]fik_\p\Xi\e[\[DXiZ_*(#
2018: increase/decrease by Rs. 37.73 crores).

Interest rate risk

 @ek\i\jkiXk\i`jb`jk_\i`jbk_Xkk_\]X`imXcl\fi]lkli\ZXj_]cfnjf]XÔeXeZ`Xc`ejkild\ekn`cc]clZklXk\Y\ZXlj\f]Z_Xe^\j
`edXib\k`ek\i\jkiXk\%J`eZ\k_\:fdgXepjYfiifn`e^jn_`Z_Xi\Xù\Zk\[Yp`ek\i\jkiXk\]clZklXk`fe`jm\ip`ej`^e`ÔZXek
to the size and operations of the Company, therefore, a change in interest rate risk does not have a material impact on the
:fdgXepjÔeXeZ`XcjkXk\d\ekj`ei\cXk`fekf]X`imXcl\f]ÔeXeZ`Xc`ejkild\ekj%

Liquidity risk
The Company manages liquidity risk by maintaining adequate reserves, banking facilities and reserve borrowing facilities, by
Zfek`elfljcpdfe`kfi`e^]fi\ZXjkXe[XZklXcZXj_]cfnj#Xe[YpdXkZ_`e^k_\dXkli`kpgifÔc\jf]ÔeXeZ`XcXjj\kjXe[c`XY`c`k`\j%

EICHER MOTORS LIMITED

 167

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

 DXkli`kpgifÔc\f]ÔeXeZ`Xcc`XY`c`k`\j1

Particulars As at March 31, 2019

Less than 1 year 1 to 5 years >5 years Total
Efe$Zlii\ekFk_\iÔeXeZ`Xcc`XY`c`k`\j - - 9.96 9.96
Current
(i) Borrowings 76.38 76.38
(ii) Trade payables 1,231.10 - - 1,231.10
``` Fk_\iÔeXeZ`Xcc`XY`c`k`\j 158.00 - - 158.00

Particulars As at March 31, 2018

C\jjk_Xe(p\Xi 1 to 5 years >5 years Total
Efe$Zlii\ekFk_\iÔeXeZ`Xcc`XY`c`k`\j - - 8.88 8.88
Current
(i) Borrowings 85.98 - - 85.98
(ii) Trade payables (#(.'%+. - - (#(.'%+.
``` Fk_\iÔeXeZ`Xcc`XY`c`k`\j 166.70 - - 166.70

 K_\jligclj]le[jn`k_k_\:fdgXepXe[fg\iXk`feXcZXj_]cfnjn`ccY\jløZ`\ekkf[`jgfj\k_\ÔeXeZ`Xcc`XY`c`k`\jn`k_`ek_\
maturity period.

48. SHARE-BASED PAYMENTS

Employee share option plan of the Company
Pursuant to the approval accorded by shareholders at their Annual General Meeting held on 5th July 2006, the Nomination and
Remuneration Committee of the Company formulated ‘Eicher Employee Stock Option Plan 2006’ (ESOP Scheme 2006).

 <`Z_\i<dgcfp\\JkfZbFgk`feGcXe`jXggc`ZXYc\kfXccg\idXe\ekXe[]lcc$k`d\\dgcfp\\jXj[\Ôe\[`ek_\GcXe #
excluding promoters of the Company. The eligibility of employees to receive grants under the Plan has to be decided by the
Nomination and Remuneration Committee from time to time at its sole discretion.

Vesting of the options shall take place in the manner determined by the Nomination and Remuneration Committee at the
time of grant, provided, the vesting period shall not be less than 1 year from the date of grant.

Vesting of options shall be subject to the condition that the Grantee shall be in continuous employment with the Company
and such other conditions as provided under Company’s Employee Stock Option Plan, 2006.

The Exercise Price of each grant is determined by the Nomination and Remuneration Committee at the time of grant,
provided that the Exercise Price shall not be less than the closing market price of the shares of the Company on NSE/BSE on
the day preceding the date of grant of Options.

The options granted can be exercised at any time until completion of seven years from the date of vesting. Any options
remaining unexercised at the end of the exercise period shall lapse. At the time of exercise the participant may pay the
exercise price in the form of payment as approved by the Nomination and Remuneration Committee.

Each employee share option converts into one equity share of the Company on exercise. No amounts are paid or payable
by the recipient on receipt of the option. The options carry neither rights to dividends nor voting rights. Options may be
exercised at any time from the date of vesting to the date of their expiry.

ANNUAL REPORT 2018-19

168
FINANCIAL STATEMENTS (STANDALONE)

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Details of the employee share option plan of the company

The following share-based payment arrangements were in existence during the current and prior years :

Options series Number Grant date Vesting period Expiry date Exercise Price Fair value of options
at grant date
Rs. Rs.
(ii) 2,08,900 22-Oct-07 3 Years 21-Oct-17 +-)%'' )+*%0'
(iii) +'#''' 29-Apr-10 1 Year 28-Apr-18 695.00 (,+%-)
(iv) (,#+'' 8-Nov-10 3 Years 7-Nov-20 (#+((%'' )+*%0'
(v) 1,08,200 6-May-11 3-5 Years 5-May-21 1,162.00 -),%(+
(vi) ,#+'' 11-Feb-12 3-5 Years 10-Feb-22 1,770.00 967.06
(vii) 5,000 16-Dec-13 3-5 Years 15-Dec-23 +#0(,%'' 2,522.03
(viii) 16,000 (($8l^$(+ 3-5 Years ('$8l^$)+ /#+..%,' +#**-%**
(ix) ,#+'' ()$Efm$(+ 3-5 Years (($Efm$)+ 12,993.65 6,555.65
(x) 2,000 12-Jan-15 1 Year 11-Jan-25 (+#.*0%'' 7,626.61
(xi) 20,300 12-Jan-15 3-5 Years 11-Jan-25 (+#.*0%'' 7,393.91
(xii) +#,'' 20-Mar-15 3-5 Years 20-Mar-25 16,112.00 8,295.62
(xiii) 53,000 8-May-15 3-5 Years 7-May-25 (+#/'.%'' .#.+(%0-
(xiv) 6,590 21-Jul-15 3-5 Years 20-Jul-25 )(#)+/%'' 11,112.50
(xv) 7,800 6-Nov-15 3-5 Years 5-Nov-25 17,678.00 0#'('%+-
(xvi) +#)'' 5-Feb-16 3-5 Years +$=\Y$)- (-#/0+%'' 8,565.87
(xvii) )#+'' 27-Apr-16 3-5 Years 26-Apr-26 )'#(+/%'' 10,055.79
(xviii) 2,100 28-Jul-16 3-5 Years 27-Jul-26 )'#*+'%'' ('#+*.%'-
(xix) 3,000 28-Oct-16 3-5 Years 27-Oct-26 )+#+0)%'' 11,753.96
(xx) 1,800 1-Feb-17 3-5 Years 31-Jan-27 23,028.00 ('#/.,%-+
(xxi) 3,500 27-Mar-17 3-5 Years 26-Mar-27 )+#*,'%'' 11,601.21
(xxii) 1,350 9-Aug-17 3-5 Years 8-Aug-27 32,121.00 (+#0.*%,+
(xxiii) 1,500 (+$Efm$(. 3-5 Years 13-Nov-27 30,585.00 (+#,)'%//
(xxiv) 2,100 7-Feb-18 3-5 Years 6-Feb-28 27,579.00 ()#.)0%.+
(xxv) +#,'' 2-Apr-18 3-5 Years 1-Apr-28 28,373.00 ()#0*+%..
(xxvi) 1,250 9-May-18 3-5 Years 8-May-28 *'#+).%'' (+#'0(%0,
(xxvii) )#+'' 9-Aug-18 3-5 Years 8-Aug-28 ).#,0+%'' 12,887.07
(xxviii) 2,800 12-Nov-18 3-5 Years 11-Nov-28 ))#+0-%'' ('#+-0%+'
(xxix) 1,250 11-Feb-19 3-5 Years 10-Feb-29 )'#/+/%'' 0#-(,%+'

Fair value of share options granted in the year

 K_\n\`^_k\[Xm\iX^\]X`imXcl\f]k_\j_Xi\fgk`fej^iXek\[[li`e^k_\ÔeXeZ`Xcp\Xi`jIj%()#(*/%'*DXiZ_*(#)'(/1
Ij%(*#//+%+- %Fgk`fejn\i\gi`Z\[lj`e^9cXZbJZ_fc\jfgk`fejgi`Z`e^df[\c%N_\i\i\c\mXek#k_\\og\Zk\[c`]\lj\[
`ek_\df[\c_XjY\\eX[aljk\[YXj\[fedXeX^\d\ekjY\jk\jk`dXk\]fik_\\ù\Zkjf]efe$kiXej]\iXY`c`kp#\o\iZ`j\
restrictions (including the probability of meeting market conditions attached to the option), and behavioral considerations.
Expected Volatility was determined by taking the daily volatility of the share price on NSE, over a period prior to the date of
grant, corresponding to the expected life of the options for each vesting.

EICHER MOTORS LIMITED

 169

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Inputs into the Black Scholes options pricing model

Option series
Particulars (xxii) (xxiii) (xxiv) (xxv)
Grant date share price 32,121.00 30,585.00 27,579.00 28,373.00
Exercise price 32,121.00 30,585.00 27,579.00 28,373.00
Expected volatility 29.99%-31.89% 30.06%-31.37% 30.23%-30.97% *'%'-$*'%+,
Option life 10 Years 10 Years 10 Years 10 Years
Dividend yield 0.83% 0.83% 0.83% 0.83%
Risk-free interest rate 6.79%-6.88% 7.21%-7.29% 7.78%-7.96% 7.69%-7.75%

Particulars (xxvi) (xxvii) (xxviii) (xxix)

Grant date share price *'#+).%'' 27,593.15 ))#+0,%), )'#/+.%+'
Exercise price *'#+).%'' ).#,0+%'' ))#+0-%'' )'#/+/%''
Expected volatility *'%('$*'%)+ 30.01%-29.70% *'%-/$*'%'+ 31.16%-30.56%
Option life 10 Years 10 Years 10 Years 10 Years
Dividend yield 0.83% 0.78% 0.78% 0.78%
Risk-free interest rate 8.01%-8.11% 8.12%-8.19% 7.93%-7.98% 7.58%-7.70%

Movements in share options during the year

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Number of Weighted average Number of Weighted average
options exercise price options exercise price
Rs. Rs.
Balance at beginning of the year 1,14,224 16,056.89 (#,-#-.+ 12,236.35
Granted during the year 12,200 26,310.39 +#0,' )0#.)/%.+
Forfeited during the year (4,500) 22,700.67 (2,100) (-#/0+%''
Exercised during the year (27,021) 13,371.16 +,#*'' +#)0/%*.
Balance at end of the year 94,903 17,824.66 (#(+#))+ 16,056.89
Exercisable at the end of the year 12,471 13,813.83 +#-0+ 8,039.57

 <ù\Zkf]j_Xi\$YXj\[gXpd\ekkiXejXZk`fejfek_\\ek`kpËjGifÔkfiCfjj1

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Share-based payments* 14.21 18.11

* Excludes Rs. 2.19 crores of share-based payment capitalised in intangible assets under development.

ANNUAL REPORT 2018-19

170
FINANCIAL STATEMENTS (STANDALONE)

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Share options exercised during the year

The following share options were exercised during the year and previous year:

Option series Number exercised Exercise date Exercise price

Rs.
For the year ended March 31, 2019
(vii) Granted on December 16, 2013 666 02-Apr-18 +#0(,
m``` >iXek\[fe8l^ljk((#)'(+ 500 09-May-18 /#+./
(xiii) Granted on May 08, 2015 9,085 09-May-18 (+#/'.
(xii) Granted on March 20, 2015 500 09-May-18 16,112
m```  >iXek\[fe8l^ljk((#)'(+ 500 09-Aug-18 /#+./
(xiii) Granted on May 08, 2015 600 09-Aug-18 (+#/'.
(xiv) Granted on July 21, 2015 300 09-Aug-18 )(#)+/
m```  >iXek\[fe8l^ljk((#)'(+ )#+,' 12-Nov-18 /#+./
(xiii) Granted on May 08, 2015 +#*'' 12-Nov-18 (+#/'.
(xv) Granted on February 05, 2016 300 12-Nov-18 17,678
(vii) Granted on December 16, 2013 1,000 11-Feb-19 +#0(,
m```  >iXek\[fe8l^ljk((#)'(+ +,' 11-Feb-19 /#+./
`o  >iXek\[feEfm\dY\i()#)'(+ 370 11-Feb-19 ()#00+
(xi) Granted on January 12, 2015 6,000 11-Feb-19 (+#.*0
Total 27,021
Weighted average exercise price 13,371.16

For the year ended March 31, 2018

(vi) Granted on February 11, 2012 1,800 05-May-17 1,770
(iii) Granted on April 29, 2010 10,000 05-May-17 695
(ii) Granted on October 22, 2007 500 07-Aug-17 +-)
(iii) Granted on April 29, 2010 10,000 (+$Efm$(. 695
m``` >iXek\[fe8l^ljk((#)'(+ 3,830 (+$Efm$(. /#+./
`o  >iXek\[feEfm\dY\i()#)'(+ 329 (+$Efm$(. ()#00+
(iii) Granted on April 29, 2010 9,000 07-Feb-18 695
(vii) Granted on December 16, 2013 1,000 07-Feb-18 +#0(,
(x) Granted on January 12, 2015 2,000 07-Feb-18 (+#.*0
(xi) Granted on January 12, 2015 6,370 07-Feb-18 (+#.*0
`o  >iXek\[feEfm\dY\i()#)'(+ +.( 07-Feb-18 ()#00+
Total 45,300
Weighted average exercise price 4,298.37

Share options outstanding at end of the year

Options series Options outstanding Remaining contractual life Exercise price

As at As at As at As at Rs.
March 31, 2019 March 31, 2018 March 31, 2019 March 31, 2018
(ii) 22-Oct-07 - - - - +-)
(iii) 29-Apr-10 - - - - 695
(iv) 8-Nov-10 - - - - (#+((
(v) 6-May-11 - - - - 1,162
(vi) 11-Feb-12 - - - - 1,770
(vii) 16-Dec-13 668 )#**+ 4.71 5.71 +#0(,
(viii) (($8l^$(+ 8,270 12,170 5.37 6.37 /#+./
(ix) ()$Efm$(+ 1,230 1,600 5.62 6.62 ()#00+
(x) 12-Jan-15 - - 5.79 6.79 (+#.*0
(xi) 12-Jan-15 7,930 13,930 5.79 6.79 (+#.*0

EICHER MOTORS LIMITED

 171

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Options series Options outstanding Remaining contractual life Exercise price

As at As at As at As at Rs.
March 31, 2019 March 31, 2018 March 31, 2019 March 31, 2018
(xii) 20-Mar-15 1,000 1,500 5.98 6.98 16,112
(xiii) 8-May-15 34,465 +/#+,' 6.11 7.11 (+#/'.
(xiv) 21-Jul-15 6,290 6,590 6.31 7.31 )(#)+/
(xv) 6-Nov-15 7,500 7,800 6.61 7.61 17,678
(xvi) 5-Feb-16 2,100 2,100 6.85 7.85 (-#/0+
(xvii) 27-Apr-16 1,200 )#+'' 7.08 8.08 )'#(+/
(xviii) 28-Jul-16 2,100 2,100 7.33 8.33 )'#*+'
(xix) 28-Oct-16 3,000 3,000 7.58 8.58 )+#+0)
(xx) 1-Feb-17 - 1,800 7.84 /%/+ 23,028
(xxi) 27-Mar-17 2,000 3,500 7.99 8.99 )+#*,'
(xxii) 9-Aug-17 1,350 1,350 8.36 9.36 32,121
(xxiii) (+$Efm$(. 1,500 1,500 8.63 9.63 30,585
(xxiv) 7-Feb-18 2,100 2,100 8.86 9.86 27,579
(xxv) 2-Apr-18 4,500 - 9.01 - 28,373
(xxvi) 9-May-18 1,250 - 9.11 - *'#+).
(xxvii) 9-Aug-18 2,400 - 9.36 - ).#,0+
(xxviii) 12-Nov-18 2,800 - 9.62 - ))#+0-
(xxix) 11-Feb-19 1,250 - 9.87 - )'#/+/
94,903 (#(+#))+

49. DISCLOSURE IN RESPECT OF OPERATING LEASES:

(A) Assets taken on lease:
The Company has taken certain premises under various operating lease agreements. The total lease rental recognized
Xj\og\ej\X^^i\^Xk\kfIj%+,%.+Zifi\jDXiZ_*(#)'(/1Ij%*-%,'Zifi\j %
Future minimum lease payments under non-cancellable operating leases in the aggregate and for each of the
following year:

Particulars As at As at
March 31, 2019 March 31, 2018
Not later than one year 9.89 +%-/
CXk\ik_Xefe\p\XiXe[efkcXk\ik_XeÔm\p\Xij 14.85 +%()

(B) Assets given on lease:

The Company has given assets under operating lease agreement to its joint venture company "Eicher Polaris Private
C`d`k\[%K_\kfkXcc\Xj\i\ekXci\Zf^e`q\[Xj`eZfd\X^^i\^Xk\kfIj%'%)-Zifi\jDXiZ_*(#)'(/1Ij%)%0)Zifi\j %
Future minimum lease payments under non-cancellable operating leases in the aggregate and for each of the
following year:

Particulars As at As at
March 31, 2019 March 31, 2018
Not later than one year - 0.26
CXk\ik_Xefe\p\XiXe[efkcXk\ik_XeÔm\p\Xij - -
CXk\ik_XeÔm\p\Xij - -

 Efk\1C\Xj\X^i\\d\ekn`k_<`Z_\iGfcXi`jGi`mXk\C`d`k\[_XjY\\ek\id`eXk\[n`k_\ù\Zk]ifd8gi`c*'#)'(/%  

ANNUAL REPORT 2018-19

172
FINANCIAL STATEMENTS (STANDALONE)

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

50. CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

In the application of the Company accounting policies, which are described in note 3, the management of the Company are
required to make judgements, estimates and assumptions about the carrying amounts of assets and liabilities that are not
readily apparent from other sources. The estimates and associated assumptions are based on historical experience and
fk_\i]XZkfijk_XkXi\Zfej`[\i\[kfY\i\c\mXek%8ZklXci\jlckjdXp[`ù\i]ifdk_\j\\jk`dXk\j%
The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are
i\Zf^e`j\[`ek_\g\i`f[`en_`Z_k_\\jk`dXk\`ji\m`j\[`]k_\i\m`j`feXù\Zkjfecpk_Xkg\i`f[#fi`ek_\g\i`f[f]k_\i\m`j`fe
Xe[]lkli\g\i`f[j`]k_\i\m`j`feXù\ZkjYfk_Zlii\ekXe[]lkli\g\i`f[j%
The following are the areas of estimation uncertainty and critical judgements that the management has made in the process
f]Xggcp`e^k_\:fdgXepËjXZZflek`e^gfc`Z`\jXe[k_Xk_Xm\k_\dfjkj`^e`ÔZXek\ù\Zkfek_\Xdflekji\Zf^e`j\[`ek_\
ÔeXeZ`XcjkXk\d\ekj1$

Recoverability of intangible assets and intangible assets under development

The Company has various internally generated intangible assets either capitalised or under development. Initial recognition
f]k_\\og\e[`kli\le[\ik_\j\Xjj\kjXi\YXj\[feXjj\jj`e^\XZ_Xjj\k`ei\cXk`fekfk_\jg\Z`ÔZi\Zf^e`k`feZi`k\i`Xkf
be met for capitalisation, for e.g. technological and economic feasibility and the ability of the asset to generate economic
Y\e\Ôkj`ek_\]lkli\%@eX[[`k`fe#k_\dXeX^\d\ekXcjfXjj\jj\jXep`e[`ZXk`fejf]`dgX`id\ekf]k_\ZXiip`e^mXcl\f]
k_\Xjj\kj%K_`ji\hl`i\jk_\dXeX^\d\ekjal[^\d\ekXe[Xjjldgk`fej#n_`Z_Xi\Xù\Zk\[Yp]lkli\dXib\kfi\Zfefd`Z
[\m\cfgd\ekj%K_\dXeX^\d\ek_XjXeXcpj\[k_\i\Zf^e`k`feZi`k\i`XXe[]lkli\dXib\kZfe[`k`fejXe[`jZfeÔ[\ekk_Xk
these assets do not require any adjustments to their carrying value at the year end.

Provision and contingent liability

On an ongoing basis, Company reviews pending cases, claims by third parties and other contingencies. For contingent losses
k_XkXi\Zfej`[\i\[gifYXYc\#Xe\jk`dXk\[cfjj`ji\Zfi[\[XjXeXZZilXc`eÔeXeZ`XcjkXk\d\ekj%Cfjj:fek`e^\eZ`\jk_Xk
Xi\Zfej`[\i\[gfjj`Yc\Xi\efkgifm`[\[]fiYlk[`jZcfj\[Xj:fek`e^\ekc`XY`c`k`\j`ek_\ÔeXeZ`XcjkXk\d\ekj%:fek`e^\eZ`\j
k_\c`b\c`_ff[f]n_`Z_`ji\dfk\Xi\efk[`jZcfj\[`ek_\ÔeXeZ`XcjkXk\d\ekj%>X`eZfek`e^\eZ`\jXi\efki\Zf^e`q\[lek`c
the contingency has been resolved and amounts are received or receivable.

Useful lives of depreciable assets

Management reviews the useful lives of depreciable assets at each reporting period. As at March 31, 2019 management
Xjj\jj\[k_Xkk_\lj\]lcc`m\ji\gi\j\ekk_\\og\Zk\[lk`c`kpf]k_\Xjj\kjkfk_\:fdgXep%=lik_\i#k_\i\`jefj`^e`ÔZXek
change in the useful lives as compared to previous year.

Investment in equity instruments of subsidiary and joint venture companies

During the year, the Company assessed the investment in equity instrument of subsidiary and joint venture companies
carried at cost for impairment testing. Some of these companies are at early stage of their operations and are expected
to generate positive cash flows in the future years. For subsidiary and joint ventures, where the operations has been
discontinued, the company provides for impairment loss wherever considered necessary.

Share-based payments
"Estimating fair value for share-based payment transactions requires determination of the most appropriate valuation
model, which is dependent on the terms and conditions of the grant. This estimate also requires determination of the most
appropriate inputs to the valuation model including the expected life of the share option, volatility and dividend yield and
making assumptions about them. The assumptions and models used for estimating fair value for share-based payment
kiXejXZk`fejXi\[`jZcfj\[`eEfk\+/%

 @dgX`id\ekf]efe$ÔeXeZ`XcXjj\kj
Impairment exists when the carrying value of an asset or cash generating unit exceeds its recoverable amount, which is the
higher of its fair value less costs of disposal and its value in use. The fair value less costs of disposal calculation is based on
available data from binding sales transactions, conducted at arm’s length, for similar assets or observable market prices less
incremental costs for disposing of the asset. The value in use calculation is based on a DCF model.

EICHER MOTORS LIMITED

 173

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

51. EXPENDITURE ON CORPORATE SOCIAL RESPONSIBILITY (CSR)

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
(a) Gross amount required to be spent 45.39 30.85

(b) Amount spent:

(i) Construction/acquisition of any asset - -

(ii) On purpose other than (i) above 44.28 29.80

(c) Administrative expenses 1.11 1.05

52. Gi\m`fljp\XiËjÔ^li\j_Xm\Y\\ei\ZXjk&i\^iflg\[#n_\i\m\ie\Z\jjXipkfZfe]fidn`k_k_\Zlii\ekg\i`f[Ëjgi\j\ekXk`fe%

53. STANDARDS ISSUED BUT NOT YET EFFECTIVE

Ind AS 116 Leases
 @e[8J((-C\Xj\jnXjefk`Ô\[YpD:8feDXiZ_*'#)'(0Xe[`ki\gcXZ\j@e[8J(.C\Xj\j#`eZcl[`e^Xgg\e[`Z\jk_\i\kf%
@e[8J((-`j\ù\Zk`m\]fiXeelXcg\i`f[jY\^`ee`e^fefiX]k\i8gi`c'(#)'(0%@e[8J((-j\kjflkk_\gi`eZ`gc\j]fik_\
recognition, measurement, presentation and disclosure of leases and requires lessees to account for all leases under a
j`e^c\fe$YXcXeZ\j_\\kdf[\cj`d`cXikfk_\XZZflek`e^]fiÔeXeZ\c\Xj\jle[\i@e[8J(.%K_\jkXe[Xi[`eZcl[\jknf
recognition exemptions for lessees – leases of ‘low-value’ assets (e.g., personal computers) and short-term leases (i.e.,
leases with a lease term of 12 months or less). At the commencement date of a lease, a lessee will recognise a liability to
make lease payments (i.e., the lease liability) and an asset representing the right to use the underlying asset during the lease
k\id`%\%#k_\i`^_k$f]$lj\Xjj\k %C\jj\\jn`ccY\i\hl`i\[kfj\gXiXk\cpi\Zf^e`j\k_\`ek\i\jk\og\ej\fek_\c\Xj\c`XY`c`kp
and the depreciation expense on the right-of-use asset.

 C\jj\\jn`ccY\Xcjfi\hl`i\[kfi\d\Xjli\k_\c\Xj\c`XY`c`kplgfek_\fZZlii\eZ\f]Z\ikX`e\m\ekj\%^%#XZ_Xe^\`e
the lease term, a change in future lease payments resulting from a change in an index or rate used to determine those
payments). The lessee will generally recognise the amount of the remeasurement of the lease liability as an adjustment to
the right-of-use asset.

 C\jjfiXZZflek`e^le[\i@e[8J((-`jjlYjkXek`XccpleZ_Xe^\[]ifdkf[XpËjXZZflek`e^le[\i@e[8J(.%C\jjfijn`cc
Zfek`el\kfZcXjj`]pXccc\Xj\jlj`e^k_\jXd\ZcXjj`ÔZXk`fegi`eZ`gc\Xj`e@e[8J(.Xe[[`jk`e^l`j_Y\kn\\eknfkpg\jf]
c\Xj\j1fg\iXk`e^Xe[ÔeXeZ\c\Xj\j%

The Company intends to adopt these standards from April 01, 2019. As the Company does not have any material leases,
therefore the adoption of this standard is not likely to have a material impact on the Financial Statements.

Appendix C to Ind AS 12 Uncertainty over Income Tax Treatment

The Interpretation addresses the accounting for income taxes when tax treatments involve uncertainty that
affects the application of Ind AS 12 and does not apply to taxes or levies outside the scope of Ind AS 12, nor does
it specifically include requirements relating to interest and penalties associated with uncertain tax treatments. The
Interpretation specifically addresses the following:
Š Whether an entity considers uncertain tax treatments separately
Š The assumptions an entity makes about the examination of tax treatments by taxation authorities
Š How an entity determines taxable profit (tax loss), tax bases, unused tax losses, unused tax credits and tax rates
Š How an entity considers changes in facts and circumstances

ANNUAL REPORT 2018-19

174
FINANCIAL STATEMENTS (STANDALONE)

NOTES
FORMING PART OF THE FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

An entity has to determine whether to consider each uncertain tax treatment separately or together with one or
more other uncertain tax treatments. The approach that better predicts the resolution of the uncertainty should be
followed. In determining the approach that better predicts the resolution of the uncertainty, an entity might consider,
for example, (a) how it prepares its income tax filings and supports tax treatments; or (b) how the entity expects the
taxation authority to make its examination and resolve issues that might arise from that examination.

The interpretation is effective for annual reporting periods beginning on or after 1 April 2019, but certain transition
reliefs are available. The Company will apply the interpretation from its effective date. However, the Company does
not foresee a material impact on account of the same.

54. EVENTS AFTER THE REPORTING PERIOD

 K_\9fXi[f][`i\ZkfijXkk_\`id\\k`e^_\c[feDXp('#)'(0#Zfej`[\i\[Xe[i\Zfdd\e[\[XÔeXc[`m`[\e[X^^i\^Xk`e^
Ij%*+(%'*Zifi\j7Ij%(),g\ij_Xi\efd`eXcmXcl\Ij%('g\ij_Xi\ ]fik_\ÔeXeZ`Xcp\Xi)'(/$(0ÔeXc[`m`[\e[gX`[]fi
March 31, 2018 : Rs. 299.93 crores @ Rs. 110 per share).

As per our report of even date =fiXe[feY\_Xc]f]k_\9fXi[f];`i\Zkfijf]<`Z_\iDfkfijC`d`k\[

For S.R. Batliboi & Co. LLP
Chartered Accountants
ICAI Firm registration number: 301003E/E300005

per Sanjay Vij Manhar Kapoor Lalit Malik Vinod K. Dasari Siddhartha Lal
Partner Company Secretary :_`\]=`eXeZ`XcFøZ\i Whole-time Director & Managing Director
Membership No : 095169 :<Ff]IfpXc<eÔ\c[ ;@E1'''*.-+,
;@E1''*+,-,.

Inder Mohan Singh Manvi Sinha Vinod Aggarwal S. Sandilya

Director Director Director Chairman
;@E1'.((+.,' DIN: 07038675 DIN: 00038906 ;@E1'''*.,+)

Place: Gurugram Place: Gurugram

Date: May 10, 2019 Date: May 10, 2019

EICHER MOTORS LIMITED


INDEPENDENT AUDITOR'S REPORT
To
The Members of
Eicher Motors Limited
REPORT ON THE AUDIT OF THE CONSOLIDATED
IND AS FINANCIAL STATEMENTS
Opinion
We have audited the accompanying consolidated Ind
8JÔeXeZ`XcjkXk\d\ekjf]Eicher Motors Limited
(hereinafter referred to as “the Holding Company”), its
subsidiaries (the Holding Company and its subsidiaries
together referred to as “the Group”) and joint ventures
comprising of the consolidated Balance sheet as at March
*()'(0#k_\Zfejfc`[Xk\[JkXk\d\ekf]GifÔkXe[Cfjj#
including other comprehensive income, the consolidated
Cash Flow Statement and the consolidated Statement of
Changes in Equity for the year then ended, and notes to
k_\Zfejfc`[Xk\[@e[8JÔeXeZ`XcjkXk\d\ekj#`eZcl[`e^
XjlddXipf]j`^e`ÔZXekXZZflek`e^gfc`Z`\jXe[fk_\i
explanatory information (hereinafter referred to as “the
Zfejfc`[Xk\[@e[8JÔeXeZ`XcjkXk\d\ekjÉ %
In our opinion and to the best of our information and
according to the explanations given to us and based on
the consideration of reports of other auditors on separate
ÔeXeZ`XcjkXk\d\ekjXe[fek_\fk_\iÔeXeZ`Xc`e]fidXk`fef]
the subsidiaries and joint ventures, the aforesaid consolidated
@e[8JÔeXeZ`XcjkXk\d\ekj^`m\k_\`e]fidXk`fei\hl`i\[
by the Companies Act, 2013, as amended (“the Act”) in the
manner so required and give a true and fair view in conformity
with the accounting principles generally accepted in India,
f]k_\Zfejfc`[Xk\[jkXk\f]XùX`ijf]k_\>iflgXe[af`ek
m\ekli\jXjXkDXiZ_*(#)'(0#k_\`iZfejfc`[Xk\[gifÔk
including other comprehensive income, their consolidated
cash flows and the consolidated statement of changes in
\hl`kp]fik_\p\Xi\e[\[fek_Xk[Xk\%
Basis for Opinion
We conducted our audit of the consolidated Ind AS
ÔeXeZ`XcjkXk\d\ekj`eXZZfi[XeZ\n`k_k_\JkXe[Xi[jfe
8l[`k`e^J8j #Xjjg\Z`Ô\[le[\ij\Zk`fe(+*(' f]k_\
175
8Zk%Flii\jgfej`Y`c`k`\jle[\ik_fj\JkXe[Xi[jXi\]lik_\i
described in the ‘Auditor’s Responsibilities for the Audit of
the Consolidated Ind AS Financial Statements’ section of
flii\gfik%N\Xi\`e[\g\e[\ekf]k_\>iflg`eXZZfi[XeZ\
with the ‘Code of Ethics’ issued by the Institute of Chartered
Accountants of India together with the ethical requirements
k_XkXi\i\c\mXekkffliXl[`kf]k_\ÔeXeZ`XcjkXk\d\ekj
under the provisions of the Act and the Rules thereunder,
Xe[n\_Xm\]lcÔcc\[flifk_\i\k_`ZXci\jgfej`Y`c`k`\j`e
XZZfi[XeZ\n`k_k_\j\i\hl`i\d\ekjXe[k_\:f[\f]<k_`Zj%
We believe that the audit evidence we have obtained is
jløZ`\ekXe[Xggifgi`Xk\kfgifm`[\XYXj`j]fifliXl[`k
fg`e`fefek_\Zfejfc`[Xk\[@e[8JÔeXeZ`XcjkXk\d\ekj%
Key Audit Matters
Key audit matters are those matters that, in our professional
al[^d\ek#n\i\f]dfjkj`^e`ÔZXeZ\`efliXl[`kf]k_\
Zfejfc`[Xk\[@e[8JÔeXeZ`XcjkXk\d\ekj]fik_\ÔeXeZ`Xc
p\Xi\e[\[DXiZ_*(#)'(0%K_\j\dXkk\ijn\i\X[[i\jj\[`e
k_\Zfek\okf]fliXl[`kf]k_\Zfejfc`[Xk\[@e[8JÔeXeZ`Xc
statements as a whole, and in forming our opinion thereon,
Xe[n\[fefkgifm`[\Xj\gXiXk\fg`e`fefek_\j\dXkk\ij%
For each matter below, our description of how our audit
X[[i\jj\[k_\dXkk\i`jgifm`[\[`ek_XkZfek\ok%
We have determined the matters described below to be the
b\pXl[`kdXkk\ijkfY\Zfddle`ZXk\[`eflii\gfik%N\
_Xm\]lcÔcc\[k_\i\jgfej`Y`c`k`\j[\jZi`Y\[`ek_\8l[`kfiËj
responsibilities for the audit of the consolidated Ind AS
ÔeXeZ`XcjkXk\d\ekjj\Zk`fef]flii\gfik#`eZcl[`e^`e
i\cXk`fekfk_\j\dXkk\ij%8ZZfi[`e^cp#fliXl[`k`eZcl[\[
the performance of procedures designed to respond to our
assessment of the risks of material misstatement of the
Zfejfc`[Xk\[@e[8JÔeXeZ`XcjkXk\d\ekj%K_\i\jlckjf]
audit procedures performed by us and by other auditors of
components not audited by us, as reported by them in their
audit reports furnished to us by the management, including
those procedures performed to address the matters below,
provide the basis for our audit opinion on the accompanying
Zfejfc`[Xk\[@e[8JÔeXeZ`XcjkXk\d\ekj%
ANNUAL REPORT 2018-19
176
FINANCIAL STATEMENTS (CONSOLIDATED)
Key audit matters
Intangibles assets capitalized or under development (Refer to the accounting estimates and judgements in Note 3 and
Efk\/kfk_\Zfejfc`[Xk\[ÔeXeZ`XcjkXk\d\ekj
The Group has various internally generated intangible
gifa\Zkjle[\i[\m\cfgd\ekfiZXg`kXc`q\[%@e`k`Xc
recognition of the expenditure under these projects are
YXj\[feXjj\jj`e^\XZ_gifa\Zk`ei\cXk`fekfjg\Z`ÔZ
i\Zf^e`k`feZi`k\i`Xk_Xke\\[jkfY\d\k]fiZXg`kXc`qXk`fe%
In addition, the management also assess indication of
impairment of the carrying value of assets which requires
dXeX^\d\ekal[^d\ekXe[Xjjldgk`fejXjXù\Zk\[Yp
]lkli\dXib\kfi\Zfefd`Z[\m\cfgd\ekj%
Due to the materiality of the assets capitalized or under
development and the level of management judgement
involved, initial recognition and measurement and
valuation of internally generated intangible assets has
Y\\eZfej`[\i\[XjXb\pXl[`kdXkk\i%
Revenue RecognitionI\]\ikfk_\XZZflek`e^gfc`Z`\j`eEfk\*kfk_\Zfejfc`[Xk\[ÔeXeZ`XcjkXk\d\ekj
Revenue from the sale of goods is recognised upon the
transfer of control of the goods to the customer, usually
fe[\c`m\ipf]^ff[j%K_\>iflglj\jXmXi`\kpf]j_`gd\ek
terms across its operating markets and this has an impact
fek_\k`d`e^f]i\m\el\i\Zf^e`k`fe%K_\i\`jXi`jbk_Xk
revenue could be recognised in the incorrect period for
sales transactions occurring on and around the year end
and therefore revenue recognition has been considered as
Xb\pXl[`kdXkk\i%
Other Information
The Holding Company’s Board of Directors is responsible
]fik_\fk_\i`e]fidXk`fe%K_\fk_\i`e]fidXk`feZfdgi`j\j
the information included in the Annual report, but does not
`eZcl[\k_\Zfejfc`[Xk\[@e[8JÔeXeZ`XcjkXk\d\ekjXe[fli
Xl[`kfiËji\gfikk_\i\fe%
Flifg`e`fefek_\Zfejfc`[Xk\[@e[8JÔeXeZ`XcjkXk\d\ekj
does not cover the other information and we do not express
Xep]fidf]XjjliXeZ\ZfeZclj`fek_\i\fe%
EICHER MOTORS LIMITED
How our audit addressed the key audit matter
Š F liXl[`kgifZ\[li\j`eZcl[\[i\X[`e^k_\>iflgji\j\XiZ_
and development expenditure accounting policies to assess
Zfdgc`XeZ\n`k_@e[8J*/È@ekXe^`Yc\8jj\kjÉ%
Š We performed test of control over management process of
identifying and capitalizing the development expenditure
Xe[`dgX`id\ekk\jk`e^n`k_jg\Z`ÔZ]fZljfek_\XZZflek`e^
principles of capitalization of expenditure on internally
generated intangible assets as per IND AS 38 such as
technical feasibility of the project, intention and ability to
complete the intangible asset, ability to use or sell the asset,
^\e\iXk`fef]]lkli\\Zfefd`ZY\e\ÔkjXe[k_\XY`c`kpkf
d\Xjli\Zfjkji\c`XYcp%
Š We performed test of details of development expenditure
capitalized by challenging the key assumptions including the
authorization of the stage of the project in the development
phase and the accuracy of costs included and assessing
k_\lj\]lc\Zfefd`Zc`]\Xkki`Ylk\[kfk_\Xjj\k%@eX[[`k`fe#
we considered whether any indicators of impairment were
gi\j\ekYple[\ijkXe[`e^k_\Ylj`e\jjiXk`feXc\]figifa\Zkj%
We tested the disclosure relating to research and
Š
[\m\cfgd\ek\og\e[`kli\`ek_\Zfejfc`[Xk\[@e[8JÔeXeZ`Xc
statements
Š F
 liXl[`kgifZ\[li\j`eZcl[\[i\X[`e^k_\>iflgji\m\el\
recognition accounting policies to assess compliance with Ind
8J((,ÈI\m\el\]ifdZfekiXZkjn`k_Zljkfd\ijÉ%
Š We performed test of controls of management’s process
of recognizing the revenue from sales of goods and placed
jg\Z`ÔZXkk\ek`fefek_\k`d`e^f]k_\i\m\el\i\Zf^e`k`feXj
g\ik_\jXc\jk\idjn`k_k_\Zljkfd\ij%
Š We performed test of details of the sales transactions testing
based on a representative sampling of the sales orders to
ensure that the related revenues and trade receivables are
recorded appropriately taking into consideration the terms
Xe[Zfe[`k`fejf]k_\jXc\fi[\ij#`eZcl[`e^k_\j_`gg`e^k\idj%
Š N
 \Xcjfg\i]fid\[jXc\jZlkfùgifZ\[li\jYpX^i\\`e^
deliveries occurring around the year end to supporting
[fZld\ekXk`fe`eZcl[`e^[\Xc\ijËZfeÔidXk`fej#n_\i\
necessary, to establish that sales and corresponding trade
i\Z\`mXYc\jXi\gifg\icpi\Zfi[\[`ek_\Zfii\Zkg\i`f[%
In connection with our audit of the consolidated Ind AS
ÔeXeZ`XcjkXk\d\ekj#flii\jgfej`Y`c`kp`jkfi\X[k_\fk_\i
information and, in doing so, consider whether such other
information is materially inconsistent with the consolidated
ÔeXeZ`XcjkXk\d\ekjfiflibefnc\[^\fYkX`e\[`ek_\
Xl[`kfifk_\in`j\Xgg\XijkfY\dXk\i`Xccpd`jjkXk\[%@]#
based on the work we have performed, we conclude that
there is a material misstatement of this other information,
n\Xi\i\hl`i\[kfi\gfikk_Xk]XZk%N\_Xm\efk_`e^kf
i\gfik`ek_`ji\^Xi[%

Responsibilities of Management for the Consolidated
Ind AS Financial Statements
The Holding Company’s Board of Directors is responsible for
the preparation and presentation of these consolidated Ind
8JÔeXeZ`XcjkXk\d\ekj`ek\idjf]k_\i\hl`i\d\ekjf]k_\
8Zkk_Xk^`m\Xkil\Xe[]X`im`\nf]k_\Zfejfc`[Xk\[ÔeXeZ`Xc
gfj`k`fe#Zfejfc`[Xk\[ÔeXeZ`Xcg\i]fidXeZ\`eZcl[`e^
other comprehensive income, consolidated cash flows and
consolidated statement of changes in equity of the Group
including its joint ventures in accordance with the accounting
principles generally accepted in India, including the Indian
8ZZflek`e^JkXe[Xi[j@e[8J jg\Z`Ô\[le[\ij\Zk`fe
133 of the Act read with the Companies (Indian Accounting
JkXe[Xi[j Ilc\j#)'(,#XjXd\e[\[%K_\i\jg\Zk`m\9fXi[f]
Directors of the companies included in the Group and of its
joint ventures are responsible for maintenance of adequate
accounting records in accordance with the provisions of the
Act for safeguarding of the assets of the Group and of its
joint ventures and for preventing and detecting frauds and
other irregularities; selection and application of appropriate
accounting policies; making judgments and estimates that
are reasonable and prudent; and the design, implementation
Xe[dX`ek\eXeZ\f]X[\hlXk\`ek\ieXcÔeXeZ`XcZfekifcj#
k_Xkn\i\fg\iXk`e^\ù\Zk`m\cp]fi\ejli`e^k_\XZZliXZp
and completeness of the accounting records, relevant to
the preparation and presentation of the consolidated Ind AS
ÔeXeZ`XcjkXk\d\ekjk_Xk^`m\Xkil\Xe[]X`im`\nXe[Xi\]i\\
from material misstatement, whether due to fraud or error,
which have been used for the purpose of preparation of the
Zfejfc`[Xk\[@e[8JÔeXeZ`XcjkXk\d\ekjYpk_\;`i\Zkfijf]
k_\?fc[`e^:fdgXep#XjX]fi\jX`[%
@egi\gXi`e^k_\Zfejfc`[Xk\[ÔeXeZ`XcjkXk\d\ekj#k_\
respective Board of Directors of the companies included in the
Group and of its joint ventures are responsible for assessing
the ability of the Group and of its joint ventures to continue
as a going concern, disclosing, as applicable, matters related
to going concern and using the going concern basis of
accounting unless management either intends to liquidate the
Group or to cease operations, or has no realistic alternative
Ylkkf[fjf%
Those respective Board of Directors of the companies
included in the Group and of its joint ventures are also
i\jgfej`Yc\]fifm\ij\\`e^k_\ÔeXeZ`Xci\gfik`e^gifZ\jjf]
k_\>iflgXe[f]`kjaf`ekm\ekli\j%
Auditor’s Responsibilities for the Audit of the
Consolidated Ind AS Financial Statements
FlifYa\Zk`m\jXi\kffYkX`ei\XjfeXYc\XjjliXeZ\XYflk
n_\k_\ik_\Zfejfc`[Xk\[@e[8JÔeXeZ`XcjkXk\d\ekj
as a whole are free from material misstatement, whether
due to fraud or error, and to issue an auditor’s report that
`eZcl[\jflifg`e`fe%I\XjfeXYc\XjjliXeZ\`jX_`^_c\m\cf]
assurance, but is not a guarantee that an audit conducted
in accordance with SAs will always detect a material
d`jjkXk\d\ekn_\e`k\o`jkj%D`jjkXk\d\ekjZXeXi`j\]ifd
fraud or error and are considered material if, individually
177
or in the aggregate, they could reasonably be expected to
influence the economic decisions of users taken on the basis
f]k_\j\Zfejfc`[Xk\[@e[8JÔeXeZ`XcjkXk\d\ekj%
As part of an audit in accordance with SAs, we exercise
professional judgment and maintain professional skepticism
k_ifl^_flkk_\Xl[`k%N\Xcjf1
Š Identify and assess the risks of material misstatement
f]k_\Zfejfc`[Xk\[@e[8JÔeXeZ`XcjkXk\d\ekj#
whether due to fraud or error, design and perform audit
procedures responsive to those risks, and obtain audit
\m`[\eZ\k_Xk`jjløZ`\ekXe[Xggifgi`Xk\kfgifm`[\X
YXj`j]fiflifg`e`fe%K_\i`jbf]efk[\k\Zk`e^XdXk\i`Xc
misstatement resulting from fraud is higher than for
one resulting from error, as fraud may involve collusion,
forgery, intentional omissions, misrepresentations, or the
fm\ii`[\f]`ek\ieXcZfekifc%
Š F
 YkX`eXele[\ijkXe[`e^f]`ek\ieXcZfekifci\c\mXekkf
the audit in order to design audit procedures that are
Xggifgi`Xk\`ek_\Z`iZldjkXeZ\j%Le[\ij\Zk`fe(+**
(i) of the Act, we are also responsible for expressing our
opinion on whether the Holding Company has adequate
`ek\ieXcÔeXeZ`XcZfekifcjjpjk\d`egcXZ\Xe[k_\
fg\iXk`e^\ù\Zk`m\e\jjf]jlZ_Zfekifcj%
Š Evaluate the appropriateness of accounting policies
used and the reasonableness of accounting estimates
Xe[i\cXk\[[`jZcfjli\jdX[\YpdXeX^\d\ek%
Š Conclude on the appropriateness of management’s use
of the going concern basis of accounting and, based
on the audit evidence obtained, whether a material
uncertainty exists related to events or conditions that
dXpZXjkj`^e`ÔZXek[flYkfek_\XY`c`kpf]k_\>iflg
Xe[`kjaf`ekm\ekli\jkfZfek`el\XjX^f`e^ZfeZ\ie%@]
we conclude that a material uncertainty exists, we are
required to draw attention in our auditor’s report to the
i\cXk\[[`jZcfjli\j`ek_\Zfejfc`[Xk\[@e[8JÔeXeZ`Xc
statements or, if such disclosures are inadequate, to
df[`]pflifg`e`fe%FliZfeZclj`fejXi\YXj\[fek_\
audit evidence obtained up to the date of our auditor’s
i\gfik%?fn\m\i#]lkli\\m\ekjfiZfe[`k`fejdXpZXlj\
the Group and its joint ventures to cease to continue as
X^f`e^ZfeZ\ie%
Š Evaluate the overall presentation, structure and content
f]k_\Zfejfc`[Xk\[@e[8JÔeXeZ`XcjkXk\d\ekj#
including the disclosures, and whether the consolidated
@e[8JÔeXeZ`XcjkXk\d\ekji\gi\j\ekk_\le[\icp`e^
transactions and events in a manner that achieves fair
gi\j\ekXk`fe%
Š F
 YkX`ejløZ`\ekXggifgi`Xk\Xl[`k\m`[\eZ\i\^Xi[`e^
k_\ÔeXeZ`Xc`e]fidXk`fef]k_\\ek`k`\jfiYlj`e\jj
activities within the Group and its joint ventures of which
n\Xi\k_\`e[\g\e[\ekXl[`kfijXe[n_fj\ÔeXeZ`Xc
information we have audited, to express an opinion
fek_\Zfejfc`[Xk\[@e[8JÔeXeZ`XcjkXk\d\ekj%N\
are responsible for the direction, supervision and
ANNUAL REPORT 2018-19
178
FINANCIAL STATEMENTS (CONSOLIDATED)

g\i]fidXeZ\f]k_\Xl[`kf]k_\ÔeXeZ`XcjkXk\d\ekj
f]jlZ_\ek`k`\j`eZcl[\[`ek_\Zfejfc`[Xk\[ÔeXeZ`Xc
jkXk\d\ekjf]n_`Z_n\Xi\k_\`e[\g\e[\ekXl[`kfij%=fi
k_\fk_\i\ek`k`\j`eZcl[\[`ek_\Zfejfc`[Xk\[ÔeXeZ`Xc
statements, which have been audited by other auditors,
such other auditors remain responsible for the direction,
supervision and performance of the audits carried out by
k_\d%N\i\dX`ejfc\cpi\jgfej`Yc\]fifliXl[`kfg`e`fe%
We communicate with those charged with governance of
the Holding Company and such other entities included in the
Zfejfc`[Xk\[@e[8JÔeXeZ`XcjkXk\d\ekjf]n_`Z_n\Xi\k_\
independent auditors regarding, among other matters, the
gcXee\[jZfg\Xe[k`d`e^f]k_\Xl[`kXe[j`^e`ÔZXekXl[`k
Ôe[`e^j#`eZcl[`e^Xepj`^e`ÔZXek[\ÔZ`\eZ`\j`e`ek\ieXc
Zfekifck_Xkn\`[\ek`]p[li`e^fliXl[`k%
We also provide those charged with governance with a
statement that we have complied with relevant ethical
requirements regarding independence, and to communicate
with them all relationships and other matters that may
reasonably be thought to bear on our independence, and
n_\i\Xggc`ZXYc\#i\cXk\[jX]\^lXi[j%
From the matters communicated with those charged with
governance, we determine those matters that were of
dfjkj`^e`ÔZXeZ\`ek_\Xl[`kf]k_\Zfejfc`[Xk\[@e[8J
ÔeXeZ`XcjkXk\d\ekj]fik_\ÔeXeZ`Xcp\Xi\e[\[DXiZ_*(#
)'(0Xe[Xi\k_\i\]fi\k_\b\pXl[`kdXkk\ij%N\[\jZi`Y\
these matters in our auditor’s report unless law or regulation
precludes public disclosure about the matter or when, in
extremely rare circumstances, we determine that a matter
should not be communicated in our report because the
adverse consequences of doing so would reasonably be
\og\Zk\[kfflkn\`^_k_\glYc`Z`ek\i\jkY\e\Ôkjf]jlZ_
Zfddle`ZXk`fe%
Other Matter
N\[`[efkXl[`kk_\ÔeXeZ`XcjkXk\d\ekjXe[fk_\iÔeXeZ`Xc
`e]fidXk`fe#`ei\jg\Zkf]k_\jlYj`[`XipeXd\cp#IfpXc<eÔ\c[
9iXj`c:fd\iZ`f;\DfkfZ`Zc\kXjCk[X#n_fj\@e[8JÔeXeZ`Xc
jkXk\d\ekj`eZcl[\kfkXcXjj\kjf]Ij()%.'Zifi\jXjXk
DXiZ_*(#)'(0#Xe[kfkXci\m\el\jf]Ij(+%0*Zifi\jXe[
total loss after tax (including other comprehensive income)
f]Ij(0%)+Zifi\j]fik_\p\Xi\e[\[fek_Xk[Xk\%K_`j@e[
8JÔeXeZ`XcjkXk\d\ekXe[fk_\iÔeXeZ`Xc`e]fidXk`fe_Xj
Y\\eXl[`k\[Ypfk_\iXl[`kfij#n_`Z_ÔeXeZ`XcjkXk\d\ekj#
fk_\iÔeXeZ`Xc`e]fidXk`feXe[Xl[`kfiËji\gfik_XjY\\e
]lie`j_\[kfljYpk_\dXeX^\d\ek%K_\Zfejfc`[Xk\[@e[
8JÔeXeZ`XcjkXk\d\ekjXcjf`eZcl[\k_\>iflgËjj_Xi\f]e\k
cfjjf]Ij%('%.+Zifi\j]fik_\p\Xi\e[\[DXiZ_*(#)'(0#Xj
Zfej`[\i\[`ek_\Zfejfc`[Xk\[@e[8JÔeXeZ`XcjkXk\d\ekj#`e
respect of the jointly controlled entity Eicher Polaris Private
C`d`k\[Xe[k_\jlYj`[`Xi`\jf]k_\af`ekcpZfekifcc\[\ek`kpM<
:fdd\iZ`XcM\_`Zc\jC`d`k\[#eXd\cp#M<:MCXebXGi`mXk\ 
C`d`k\[Xe[M<:MJflk_8]i`ZXGKP C`d`k\[#n_fj\ÔeXeZ`Xc
jkXk\d\ekj#fk_\iÔeXeZ`Xc`e]fidXk`fe_Xm\Y\\eXl[`k\[Yp
other auditors and whose reports have been furnished to us
Ypk_\DXeX^\d\ek%Flifg`e`fefek_\Zfejfc`[Xk\[@e[8J
ÔeXeZ`XcjkXk\d\ekj#`ejf]XiXj`ki\cXk\jkfk_\XdflekjXe[
disclosures included in respect of the subsidiary, the jointly
controlled entity and the subsidiaries of the jointly controlled
entity, and our report in terms of sub-sections (3) of
J\Zk`fe(+*f]k_\8Zk#`ejf]XiXj`ki\cXk\jkfk_\X]fi\jX`[
subsidiary, the jointly controlled entity and the subsidiaries of
the jointly controlled entity, is based solely on the report(s) of
jlZ_fk_\iXl[`kfij%
The subsidiary and the subsidiaries of the jointly controlled
\ek`kpXi\cfZXk\[flkj`[\@e[`Xn_fj\ÔeXeZ`XcjkXk\d\ekj
Xe[fk_\iÔeXeZ`Xc`e]fidXk`fe_Xm\Y\\egi\gXi\[`e
accordance with accounting principles generally accepted
in their respective countries and which have been audited by
other auditors under generally accepted auditing standards
Xggc`ZXYc\`ek_\`ii\jg\Zk`m\Zfleki`\j%K_\:fdgXepËj
dXeX^\d\ek_XjZfem\ik\[k_\ÔeXeZ`XcjkXk\d\ekjf]jlZ_
subsidiary and subsidiaries of the jointly controlled entity
located outside India from accounting principles generally
accepted in their respective countries to accounting principles
^\e\iXccpXZZ\gk\[`e@e[`X%N\_Xm\Xl[`k\[k_\j\Zfem\ij`fe
X[aljkd\ekjdX[\Ypk_\:fdgXepËjdXeX^\d\ek%Fli
fg`e`fe`ejf]XiXj`ki\cXk\jkfk_\YXcXeZ\jXe[XùX`ijf]
such subsidiary and subsidiaries of the jointly controlled
entity located outside India is based on the report of other
auditors and the conversion adjustments prepared by the
dXeX^\d\ekf]k_\:fdgXepXe[Xl[`k\[Yplj%
Flifg`e`feXYfm\fek_\Zfejfc`[Xk\[@e[8JÔeXeZ`Xc
jkXk\d\ekj#Xe[flii\gfikfeFk_\iC\^XcXe[I\^lcXkfip
I\hl`i\d\ekjY\cfn#`jefkdf[`Ô\[`ei\jg\Zkf]k_\XYfm\
matters with respect to our reliance on the work done and the
i\gfikjf]k_\fk_\iXl[`kfijXe[k_\ÔeXeZ`XcjkXk\d\ekjXe[
fk_\iÔeXeZ`Xc`e]fidXk`feZ\ik`Ô\[Ypk_\DXeX^\d\ek%
Report on Other Legal and Regulatory Requirements
8ji\hl`i\[YpJ\Zk`fe(+** f]k_\8Zk#YXj\[fefliXl[`kXe[
on the consideration of report of the other auditors on separate
ÔeXeZ`XcjkXk\d\ekjXe[k_\fk_\iÔeXeZ`Xc`e]fidXk`fef]k_\
subsidiary, jointly controlled entity and subsidiaries of the jointly
controlled entity, as noted in the ‘other matter’ paragraph, we
i\gfik#kfk_\\ok\ekXggc`ZXYc\#k_Xk1
(a) We/the other auditors whose report we have relied
upon have sought and obtained all the information and
explanations which to the best of our knowledge and
belief were necessary for the purposes of our audit of the
X]fi\jX`[Zfejfc`[Xk\[@e[8JÔeXeZ`XcjkXk\d\ekj2
(b) In our opinion, proper books of account as required by
law relating to preparation of the aforesaid consolidation
f]k_\ÔeXeZ`XcjkXk\d\ekj_Xm\Y\\eb\gkjf]XiXj
it appears from our examination of those books and
reports of the other auditors;
(c) The Consolidated Balance Sheet, the Consolidated
JkXk\d\ekf]GifÔkXe[Cfjj`eZcl[`e^k_\JkXk\d\ek
f]Fk_\i:fdgi\_\ej`m\@eZfd\#k_\:fejfc`[Xk\[:Xj_
Flow Statement and Consolidated Statement of Changes

EICHER MOTORS LIMITED

 179

in Equity dealt with by this Report are in agreement :fdgXe`\j8l[`kXe[8l[`kfij Ilc\j#)'(+#XjXd\e[\[#

with the books of account maintained for the purpose in our opinion and to the best of our information and
f]gi\gXiXk`fef]k_\Zfejfc`[Xk\[@e[8JÔeXeZ`Xc according to the explanations given to us and based on
statements; the consideration of the report of the other auditors on
j\gXiXk\ÔeXeZ`XcjkXk\d\ekjXjXcjfk_\fk_\iÔeXeZ`Xc
(d) In our opinion, the aforesaid consolidated Ind AS information of the subsidiary, jointly controlled entity and
ÔeXeZ`XcjkXk\d\ekjZfdgcpn`k_k_\8ZZflek`e^ the subsidiaries of the jointly controlled entity, as noted in
JkXe[Xi[jjg\Z`Ô\[le[\iJ\Zk`fe(**f]k_\8Zk#i\X[ k_\ÊFk_\idXkk\iËgXiX^iXg_1
with Companies (Indian Accounting Standards) Rules,
 `% K_\Zfejfc`[Xk\[@e[8JÔeXeZ`XcjkXk\d\ekj
2015, as amended;
disclose the impact of pending litigations on its
Zfejfc`[Xk\[ÔeXeZ`Xcgfj`k`fef]k_\>iflg#`kj
\  Fek_\YXj`jf]k_\ni`kk\ei\gi\j\ekXk`feji\Z\`m\[
jointly controlled entities and the subsidiaries of
from the directors of the Holding Company as on March
its jointly controlled entity, in its consolidated Ind
31, 2019 taken on record by the Board of Directors of
8JÔeXeZ`XcjkXk\d\ekjÆI\]\iEfk\*0kfk_\
the Holding Company and the reports of the statutory
Zfejfc`[Xk\[@e[8JÔeXeZ`XcjkXk\d\ekj2
auditors who are appointed under Section 139 of the Act,
of its subsidiary companies, jointly controlled entities
 ``% K_\>iflg#`kjaf`ekcpZfekifcc\[\ek`k`\jXe[k_\
and subsidiaries of the jointly controlled entity, none of
subsidiaries of its jointly controlled entity, did not
the directors of the Group’s companies, jointly controlled
have any material foreseeable losses in long-term
entities or subsidiaries of its jointly controlled entity,
contracts including derivative contracts during the
`eZfigfiXk\[`e@e[`X`j[`jhlXc`Ô\[XjfeDXiZ_*(#)'(0
year ended March 31, 2019;
from being appointed as a director in terms of Section
(-+) f]k_\8Zk2
 ```% K_\i\_XjY\\eef[\cXp`ekiXej]\ii`e^Xdflekj#
required to be transferred, to the Investor
(f) With respect to the adequacy and the operating
Education and Protection Fund by the Holding
\ù\Zk`m\e\jjf]k_\`ek\ieXcÔeXeZ`XcZfekifcjfm\i
Company or its jointly controlled entities
ÔeXeZ`Xci\gfik`e^n`k_i\]\i\eZ\kfk_\j\Zfejfc`[Xk\[
incorporated in India during the year ended
@e[8JÔeXeZ`XcjkXk\d\ekjf]k_\?fc[`e^:fdgXepXe[
DXiZ_*(#)'(0%
its subsidiary companies, jointly controlled entities and
subsidiaries of the jointly controlled entity incorporated
For S.R. Batliboi & Co. LLP
in India, refer to our separate Report in “Annexure 1” to
Chartered Accountants
this report;
@:8@=`idI\^`jkiXk`feEldY\i1*'(''*<&<*'''',
^  K_\gifm`j`fejf]j\Zk`fe(0.i\X[n`k_JZ_\[lc\Mf]
the Act are not applicable to the Holding Company, per Sanjay Vij
its subsidiaries, its jointly controlled entities and the Partner
subsidiaries of the jointly controlled entity, incorporated D\dY\ij_`gEldY\i1'0,(-0
in India for the year ended March 31, 2019; GcXZ\f]J`^eXkli\1>lil^iXd
;Xk\1DXp('#)'(0
(h) With respect to the other matters to be included in
the Auditor’s Report in accordance with Rule 11 of the

ANNUAL REPORT 2018-19

180
FINANCIAL STATEMENTS (CONSOLIDATED)
ANNEXURE 1 TO THE INDEPENDENT
AUDITOR’S REPORT OF EVEN DATE
ON THE CONSOLIDATED FINANCIAL
STATEMENTS OF EICHER MOTORS
LIMITED
Report on the Internal Financial Controls under Clause
(i) of Sub-section 3 of Section 143 of the Companies
Act, 2013 (“the Act”)
@eZfealeZk`fen`k_fliXl[`kf]k_\Zfejfc`[Xk\[ÔeXeZ`Xc
jkXk\d\ekjf]<`Z_\iDfkfijC`d`k\[Xjf]Xe[]fik_\p\Xi
\e[\[DXiZ_*(#)'(0#n\_Xm\Xl[`k\[k_\`ek\ieXcÔeXeZ`Xc
Zfekifcjfm\iÔeXeZ`Xci\gfik`e^f]<`Z_\iDfkfijC`d`k\[
(hereinafter referred to as the “Holding Company”) and its
jointly controlled entities, which are companies incorporated
`e@e[`X#Xjf]k_Xk[Xk\%
Management’s Responsibility for Internal Financial
Controls
The respective Board of Directors of the Holding Company and
its jointly controlled entities, which are companies incorporated
in India, are responsible for establishing and maintaining
`ek\ieXcÔeXeZ`XcZfekifcjYXj\[fek_\`ek\ieXcZfekifcfm\i
ÔeXeZ`Xci\gfik`e^Zi`k\i`X\jkXYc`j_\[Ypk_\?fc[`e^:fdgXep
considering the essential components of internal control
stated in the Guidance Note on Audit of Internal Financial
:fekifcjFm\i=`eXeZ`XcI\gfik`e^`jjl\[Ypk_\@ejk`klk\f]
:_Xik\i\[8ZZflekXekjf]@e[`X%K_\j\i\jgfej`Y`c`k`\j`eZcl[\
the design, implementation and maintenance of adequate
`ek\ieXcÔeXeZ`XcZfekifcjk_Xkn\i\fg\iXk`e^\ù\Zk`m\cp]fi
\ejli`e^k_\fi[\icpXe[\øZ`\ekZfe[lZkf]`kjYlj`e\jj#
including adherence to the respective company’s policies,
the safeguarding of its assets, the prevention and detection
of frauds and errors, the accuracy and completeness of the
accounting records, and the timely preparation of reliable
ÔeXeZ`Xc`e]fidXk`fe#Xji\hl`i\[le[\ik_\8Zk%
Auditor’s Responsibility
Flii\jgfej`Y`c`kp`jkf\ogi\jjXefg`e`fefek_\ZfdgXepj
`ek\ieXcÔeXeZ`XcZfekifcjfm\iÔeXeZ`Xci\gfik`e^n`k_
i\]\i\eZ\kfk_\j\Zfejfc`[Xk\[ÔeXeZ`XcjkXk\d\ekjYXj\[
fefliXl[`k%N\Zfe[lZk\[fliXl[`k`eXZZfi[XeZ\n`k_
the Guidance Note on Audit of Internal Financial Controls
Fm\i=`eXeZ`XcI\gfik`e^k_\È>l`[XeZ\Efk\É Xe[k_\
Standards on Auditing, both, issued by Institute of Chartered
Accountants of India, and deemed to be prescribed under
j\Zk`fe(+*(' f]k_\8Zk#kfk_\\ok\ekXggc`ZXYc\kfXe
Xl[`kf]`ek\ieXcÔeXeZ`XcZfekifcj%K_fj\JkXe[Xi[jXe[
the Guidance Note require that we comply with ethical
requirements and plan and perform the audit to obtain
EICHER MOTORS LIMITED
reasonable assurance about whether adequate internal
ÔeXeZ`XcZfekifcjfm\iÔeXeZ`Xci\gfik`e^n`k_i\]\i\eZ\kf
k_\j\Zfejfc`[Xk\[ÔeXeZ`XcjkXk\d\ekjnXj\jkXYc`j_\[Xe[
dX`ekX`e\[Xe[`]jlZ_Zfekifcjfg\iXk\[\ù\Zk`m\cp`eXcc
dXk\i`Xci\jg\Zkj%
FliXl[`k`emfcm\jg\i]fid`e^gifZ\[li\jkffYkX`eXl[`k
\m`[\eZ\XYflkk_\X[\hlXZpf]k_\`ek\ieXcÔeXeZ`XcZfekifcj
fm\iÔeXeZ`Xci\gfik`e^n`k_i\]\i\eZ\kfk_\j\Zfejfc`[Xk\[
ÔeXeZ`XcjkXk\d\ekjXe[k_\`ifg\iXk`e^\ù\Zk`m\e\jj%Fli
Xl[`kf]`ek\ieXcÔeXeZ`XcZfekifcjfm\iÔeXeZ`Xci\gfik`e^
`eZcl[\[fYkX`e`e^Xele[\ijkXe[`e^f]`ek\ieXcÔeXeZ`Xc
Zfekifcjfm\iÔeXeZ`Xci\gfik`e^n`k_i\]\i\eZ\kfk_\j\
Zfejfc`[Xk\[ÔeXeZ`XcjkXk\d\ekj#Xjj\jj`e^k_\i`jbk_Xk
a material weakness exists, and testing and evaluating the
[\j`^eXe[fg\iXk`e^\ù\Zk`m\e\jjf]`ek\ieXcZfekifcYXj\[
fek_\Xjj\jj\[i`jb%K_\gifZ\[li\jj\c\Zk\[[\g\e[fek_\
auditor’s judgement, including the assessment of the risks of
dXk\i`Xcd`jjkXk\d\ekf]k_\ÔeXeZ`XcjkXk\d\ekj#n_\k_\i
[l\kf]iXl[fi\iifi%
We believe that the audit evidence we have obtained and
the audit evidence obtained by other auditors in terms of
k_\`ii\gfikji\]\ii\[kf`ek_\Fk_\iDXkk\ijgXiX^iXg_
Y\cfn#`jjløZ`\ekXe[Xggifgi`Xk\kfgifm`[\XYXj`j]fifli
Xl[`kfg`e`fefek_\`ek\ieXcÔeXeZ`XcZfekifcjfm\iÔeXeZ`Xc
i\gfik`e^n`k_i\]\i\eZ\kfk_\j\Zfejfc`[Xk\[ÔeXeZ`Xc
jkXk\d\ekj%
Meaning of Internal Financial Controls Over Financial
Reporting With Reference to these Consolidated
Financial Statements
8ZfdgXepj`ek\ieXcÔeXeZ`XcZfekifcfm\iÔeXeZ`Xci\gfik`e^
n`k_i\]\i\eZ\kfk_\j\Zfejfc`[Xk\[ÔeXeZ`XcjkXk\d\ekj
is a process designed to provide reasonable assurance
i\^Xi[`e^k_\i\c`XY`c`kpf]ÔeXeZ`Xci\gfik`e^Xe[k_\
gi\gXiXk`fef]ÔeXeZ`XcjkXk\d\ekj]fi\ok\ieXcgligfj\j`e
XZZfi[XeZ\n`k_^\e\iXccpXZZ\gk\[XZZflek`e^gi`eZ`gc\j%8
ZfdgXepj`ek\ieXcÔeXeZ`XcZfekifcfm\iÔeXeZ`Xci\gfik`e^
n`k_i\]\i\eZ\kfk_\j\Zfejfc`[Xk\[ÔeXeZ`XcjkXk\d\ekj
includes those policies and procedures that (1) pertain to the
maintenance of records that, in reasonable detail, accurately
and fairly reflect the transactions and dispositions of the
assets of the company; (2) provide reasonable assurance that

transactions are recorded as necessary to permit preparation
f]ÔeXeZ`XcjkXk\d\ekj`eXZZfi[XeZ\n`k_^\e\iXccpXZZ\gk\[
accounting principles, and that receipts and expenditures
of the company are being made only in accordance with
authorisations of management and directors of the company;
and (3) provide reasonable assurance regarding prevention
or timely detection of unauthorised acquisition, use, or
[`jgfj`k`fef]k_\ZfdgXepjXjj\kjk_XkZflc[_Xm\XdXk\i`Xc
\ù\Zkfek_\ÔeXeZ`XcjkXk\d\ekj%
Inherent Limitations of Internal Financial Controls
Over Financial Reporting With Reference to these
Consolidated Financial Statements
9\ZXlj\f]k_\`e_\i\ekc`d`kXk`fejf]`ek\ieXcÔeXeZ`Xc
Zfekifcjfm\iÔeXeZ`Xci\gfik`e^n`k_i\]\i\eZ\kfk_\j\
Zfejfc`[Xk\[ÔeXeZ`XcjkXk\d\ekj#`eZcl[`e^k_\gfjj`Y`c`kp
of collusion or improper management override of controls,
material misstatements due to error or fraud may occur
Xe[efkY\[\k\Zk\[%8cjf#gifa\Zk`fejf]Xep\mXclXk`fef]
k_\`ek\ieXcÔeXeZ`XcZfekifcjfm\iÔeXeZ`Xci\gfik`e^n`k_
i\]\i\eZ\kfk_\j\Zfejfc`[Xk\[ÔeXeZ`XcjkXk\d\ekjkf
]lkli\g\i`f[jXi\jlYa\Zkkfk_\i`jbk_Xkk_\`ek\ieXcÔeXeZ`Xc
Zfekifcfm\iÔeXeZ`Xci\gfik`e^n`k_i\]\i\eZ\kfk_\j\
Zfejfc`[Xk\[ÔeXeZ`XcjkXk\d\ekjdXpY\Zfd\`eX[\hlXk\
because of changes in conditions, or that the degree of
Zfdgc`XeZ\n`k_k_\gfc`Z`\jfigifZ\[li\jdXp[\k\i`fiXk\%
Opinion
In our opinion, the Holding Company and its jointly controlled
entities, which are companies incorporated in India, have,
maintained in all material respects, adequate internal
181
ÔeXeZ`XcZfekifcjfm\iÔeXeZ`Xci\gfik`e^n`k_i\]\i\eZ\kf
k_\j\Zfejfc`[Xk\[ÔeXeZ`XcjkXk\d\ekjXe[jlZ_`ek\ieXc
ÔeXeZ`XcZfekifcjfm\iÔeXeZ`Xci\gfik`e^n`k_i\]\i\eZ\
kfk_\j\Zfejfc`[Xk\[ÔeXeZ`XcjkXk\d\ekjn\i\fg\iXk`e^
\ù\Zk`m\cpXjXkDXiZ_*(#)'(0#YXj\[fek_\`ek\ieXcZfekifc
fm\iÔeXeZ`Xci\gfik`e^Zi`k\i`X\jkXYc`j_\[Ypk_\?fc[`e^
Company considering the essential components of internal
control stated in the Guidance Note on Audit of Internal
=`eXeZ`Xc:fekifcjFm\i=`eXeZ`XcI\gfik`e^`jjl\[Ypk_\
@ejk`klk\f]:_Xik\i\[8ZZflekXekjf]@e[`X%
Other Matters
Flii\gfikle[\iJ\Zk`fe(+** ` f]k_\8Zkfek_\X[\hlXZp
Xe[fg\iXk`e^\ù\Zk`m\e\jjf]k_\`ek\ieXcÔeXeZ`XcZfekifcj
fm\iÔeXeZ`Xci\gfik`e^n`k_i\]\i\eZ\kfk_\j\Zfejfc`[Xk\[
ÔeXeZ`XcjkXk\d\ekjf]k_\?fc[`e^:fdgXep#`ejf]XiXj`k
i\cXk\jkfk_\af`ekcpZfekifcc\[\ek`kpM<:fdd\iZ`XcM\_`Zc\j
C`d`k\[#n_`Z_`jXZfdgXep`eZfigfiXk\[`e@e[`X#`jYXj\[
on the corresponding report of the auditor of such jointly
Zfekifcc\[\ek`kp`eZfigfiXk\[`e@e[`X%
For S.R. Batliboi & Co. LLP
Chartered Accountants
@:8@=`idI\^`jkiXk`feEldY\i1*'(''*<&<*'''',
per Sanjay Vij
Partner
D\dY\ij_`gEldY\i1'0,(-0
GcXZ\f]J`^eXkli\1>lil^iXd
;Xk\1DXp('#)'(0
ANNUAL REPORT 2018-19
182
FINANCIAL STATEMENTS (CONSOLIDATED)

CONSOLIDATED BALANCE SHEET

AS AT MARCH 31, 2019
8CC8DFLEKJ8I<@EIS%:IFI<JLEC<JJFK?<IN@J<JK8K<;

Particulars Efk\Ef% As at As at
March 31, 2019 March 31, 2018
ASSETS
Non-current assets
(a) Property, plant and equipment + 1,692.07 (#+,0%(.
(b) Capital work-in-progress 5 272.14 (+(%/0
(c) Investment property 6 3.51 *%/-
(d) Intangible assets . 179.00 */%--
(e) Intangible assets under development 8 177.60 (0(%*)
(f) Investments in joint ventures 9 1,943.92 (#.-+%).
(g) Financial assets
(i) Investments 10 2,509.79 *#(/*%(.
  ``  Fk_\iÔeXeZ`XcXjj\kj 12 27.05 ))%,,
(h) Non-current tax assets 25 18.44 (/%++
 `  Fk_\iefe$Zlii\ekXjj\kj (. 153.04 (-*%/-
Total non-current assets 6,976.56 -#0/.%(0
Current assets
(a) Inventories 13 633.38 *0+%-+
(b) Financial assets
(i) Investments 10 468.81 -**%+'
(ii) Trade receivables (+ 90.34 -/%''
(iii) Cash and cash equivalents 15 726.98 0)%+-
(iv) Bank balances other than (iii) above 16 2,238.31 (#((0%,+
  m  CfXej 11 1.29 '%.'
  m`  Fk_\iÔeXeZ`XcXjj\kj 12 70.88 *'%.,
 Z  Fk_\iZlii\ekXjj\kj (. 180.28 (0,%,,
Total current assets 4,410.27 )#,*,%'+
Total assets 11,386.83 0#,))%)*
EQUITY AND LIABILITIES
Equity
(a) Equity share capital 18 27.28 ).%)-
 Y  Fk_\i\hl`kp 19 8,891.44 .#'')%/(
Total equity 8,918.72 .#'*'%'.
Liabilities
Non-current liabilities
(a) Financial liabilities
  `  Fk_\iÔeXeZ`Xcc`XY`c`k`\j 20 9.99 /%//
(b) Provisions 23 23.00 )0%()
(c) Deferred tax liabilities (net) )+ 273.89 (+)%'/
 [  Fk_\iefe$Zlii\ekc`XY`c`k`\j 26 63.13 +-%/+
Total non-current liabilities 370.01 ))-%0)
Current liabilities
(a) Financial liabilities
(i) Borrowings 21 186.76 (,'%/+
(ii) Trade payables 22
Total outstanding dues of micro enterprises and small enterprises 19.28 ).%(,
Total outstanding dues of creditors other than micro and small enterprises 1,214.77 (#(++%.(
  ```  Fk_\iÔeXeZ`Xcc`XY`c`k`\j 20 163.17 (.'%'(
(b) Provisions 23 57.65 +.%)(
(c) Current tax liabilities 25 141.48 ('/%')
 [  Fk_\iZlii\ekc`XY`c`k`\j 26 314.99 -(.%*'
Total current liabilities 2,098.10 )#)-,%)+
Total liabilities 2,468.11 )#+0)%(-
Total equity and liabilities 11,386.83 0#,))%)*
J\\XZZfdgXep`e^efk\j]fid`e^gXikf]k_\ÔeXeZ`XcjkXk\d\ekj

As per our report of even date =fiXe[feY\_Xc]f]k_\9fXi[f];`i\Zkfijf]<`Z_\iDfkfijC`d`k\[

For S.R. Batliboi & Co. LLP
Chartered Accountants
@:8@=`idi\^`jkiXk`feeldY\i1*'(''*<&<*'''',

per Sanjay Vij Manhar Kapoor Lalit Malik Vinod K. Dasari Siddhartha Lal
Partner Company Secretary :_`\]=`eXeZ`XcFøZ\i Whole-time Director & Managing Director
D\dY\ij_`gEf1'0,(-0 :<Ff]IfpXc<eÔ\c[ ;@E1'''*.-+,
;@E1''*+,-,.

Inder Mohan Singh Manvi Sinha Vinod Aggarwal S. Sandilya

Director Director Director Chairman
;@E1'.((+.,' ;@E1'.'*/-., ;@E1'''*/0'- ;@E1'''*.,+)

GcXZ\1>lil^iXd GcXZ\1>lil^iXd
;Xk\1DXp('#)'(0 ;Xk\1DXp('#)'(0

EICHER MOTORS LIMITED

 183

CONSOLIDATED STATEMENT OF
PROFIT AND LOSS
FOR THE YEAR ENDED MARCH 31, 2019
8CC8DFLEKJ8I<@EIS%:IFI<JLEC<JJFK?<IN@J<JK8K<;

Particulars Efk\Ef% For the year ended For the year ended
March 31, 2019 March 31, 2018
INCOME
Sale of products 9,717.44 0#(.,%(-
 Fk_\ifg\iXk`e^`eZfd\ 79.62 ++%('
Revenue from operations ). 9,797.06 0#)(0%)-
 Fk_\i`eZfd\ 28 443.39 )/'%('
Total Income 10,240.45 0#+00%*-
EXPENSES
Cost of materials consumed 29 5,055.89 +#,(,%-'
Purchases of traded goods 30 211.65 (-(%.-
 :_Xe^\`e`em\ekfi`\jf]Ôe`j_\[^ff[j#nfib$`e$gif^i\jjXe[kiX[\[^ff[j 31 (210.16) **%/.
Excise duty on sale ). - ),+%*'
 <dgcfp\\Y\e\Ôkj\og\ej\ 32 702.44 ,.*%-/
Finance costs 33 7.33 ,%*+
Depreciation and amortisation expense *+ 300.28 ))*%*'
 Fk_\i\og\ej\j 35 1,134.13 0+'%(-
Total Expenses 7,201.56 -#-+'%).
GifÔkY\]fi\j_Xi\f]gifÔkf]Af`ekm\ekli\Xe[kXo]ifdZfek`el`e^fg\iXk`fe 3,038.89 )#/,0%'0
J_Xi\f]gifÔkf]af`ekm\ekli\M<:fdd\iZ`XcM\_`Zc\jC`d`k\[ 258.40 ),-%,-
GifÔkY\]fi\kXoXe[X]k\ij_Xi\f]gifÔkf]Af`ekm\ekli\]ifdZfek`el`e^fg\iXk`fe 3,297.29 *#((,%-,
Tax expense
Current tax 36 941.94 /..%*,
Deferred tax 36 135.10 ,/%,/
Total tax expense 1,077.04 0*,%0*
E\kGifÔkX]k\ikXo\jXe[j_Xi\f]gifÔkf]Af`ekm\ekli\]ifdZfek`el`e^fg\iXk`fe 2,220.25 )#(.0%.)
Discontinued operation :
J_Xi\f]cfjjf]af`ekm\ekli\<`Z_\iGfcXi`jGi`mXk\C`d`k\[ i\]\iefk\0`` (17.52) ))'%',
E\kGifÔkX]k\ikXo 2,202.73 (#0,0%-.
Other comprehensive income/(expense) (including share of other
Zfdgi\_\ej`m\`eZfd\&\og\ej\ f]Af`ekm\ekli\j
@k\djk_XkdXpY\i\ZcXjj`Ô\[kfgifÔkficfjj1$
 <oZ_Xe^\[`ù\i\eZ\j`ekiXejcXk`e^k_\ÔeXeZ`XcjkXk\d\ekjf]]fi\`^efg\iXk`fej (8.02) (/%+(
 @eZfd\kXo\ù\Zk 36 2.80 -%*.
Share of other comprehensive income in joint ventures (net of tax) 0.50 '%(+
(4.72) 11.90
@k\djk_Xkn`ccefkY\i\ZcXjj`Ô\[kfgifÔkficfjj1$
 I\$d\Xjli\d\ek^X`ej&cfjj\j fe[\Ôe\[Y\e\ÔkgcXej (1.40) (%.+
 @eZfd\kXo\ù\Zk 36 0.49 '%-'
Share of other comprehensive income in joint ventures (net of tax) (0.57) '%.0
(1.48) (%0*
Total Comprehensive income for the year 2,196.53 (#0-0%-+
GifÔk]fik_\p\XiXkki`YlkXYc\kf1
- Equity holders of the parent 2,202.73 (#0,0%-.
- Non-controlling interests - -
Other comprehensive income for the year attributable to:
- Equity holders of the parent (6.20) 0%0.
- Non-controlling interests - -
Total comprehensive income for the year attributable to:
- Equity holders of the parent 2,196.53 (#0-0%-+
- Non-controlling interests - -
<Xie`e^jg\i\hl`kpj_Xi\f]Ij%('\XZ_`eIj%
=fi:fek`el`e^Fg\iXk`fej
(a) Basic +) 814.18 /''%,'
(b) Diluted +) 813.28 .0/%00
=fi;`jZfek`el\[Fg\iXk`fej
(a) Basic +) (6.42) /'%/(
(b) Diluted +) (6.42) /'%--
=fi:fek`el`e^Xe[;`jZfek`el\[Fg\iXk`fej
(a) Basic +) 807.76 .(0%-0
(b) Diluted +) 806.86 .(/%**
J\\XZZfdgXep`e^efk\j]fid`e^gXikf]k_\ÔeXeZ`XcjkXk\d\ekj

As per our report of even date =fiXe[feY\_Xc]f]k_\9fXi[f];`i\Zkfijf]<`Z_\iDfkfijC`d`k\[

For S.R. Batliboi & Co. LLP
Chartered Accountants
@:8@=`idi\^`jkiXk`feeldY\i1*'(''*<&<*'''',

per Sanjay Vij Manhar Kapoor Lalit Malik Vinod K. Dasari Siddhartha Lal
Partner Company Secretary :_`\]=`eXeZ`XcFøZ\i Whole-time Director & Managing Director
D\dY\ij_`gEf1'0,(-0 :<Ff]IfpXc<eÔ\c[ ;@E1'''*.-+,
;@E1''*+,-,.

Inder Mohan Singh Manvi Sinha Vinod Aggarwal S. Sandilya

Director Director Director Chairman
;@E1'.((+.,' ;@E1'.'*/-., ;@E1'''*/0'- ;@E1'''*.,+)

GcXZ\1>lil^iXd GcXZ\1>lil^iXd
;Xk\1DXp('#)'(0 ;Xk\1DXp('#)'(0
ANNUAL REPORT 2018-19
184
FINANCIAL STATEMENTS (CONSOLIDATED)

CONSOLIDATED STATEMENT OF
CHANGES IN EQUITY
FOR THE YEAR ENDED MARCH 31, 2019
8CC8DFLEKJ8I<@EIS%:IFI<JLEC<JJFK?<IN@J<JK8K<;
A EQUITY SHARE CAPITAL

Number of Shares Amount

Balance as at March 31, 2017 2,72,10,249 27.21
Changes in equity share capital during the year
  @jjl\f]\hl`kpj_Xi\jle[\i\dgcfp\\j_Xi\fgk`fegcXei\]\iefk\+. +,#*'' '%',
Balance as at March 31, 2018 2,72,55,549 27.26
Changes in equity share capital during the year
  @jjl\f]\hl`kpj_Xi\jle[\i\dgcfp\\j_Xi\fgk`fegcXei\]\iefk\+. ).#')( '%')
Balance as at March 31, 2019 2,72,82,570 27.28

B OTHER EQUITY

Reserves and surplus Items of Total

OCI equity
Particulars Capital Capital Securities General Share Retained Foreign Total
reserve redemption premium reserve based earnings currency
reserve reserve payments translation
reserve reserve
Balance as at March 31, 2017 0.25 1.41 32.09 339.89 45.13 4,898.35 0.74 5,317.86
GifÔk]fik_\p\Xi - - - - - (#0,0%-. - 1,959.67
Fk_\iZfdgi\_\ej`m\`eZfd\]fi - - - - - (%0* ((%0' 9.97
the year, net of income tax
Total comprehensive income - - - - - 1,957.74 11.90 1,969.64
for the year
Share-based payments - - - - )*%,( - - 23.51
i\]\iefk\+.
Payment of dividend - - - - - ).)%)) - (272.22)
Payment of dividend tax - - - - - ,,%+) - (55.42)
Proceeds from issue of equity shares - - (0%++ - - - - 19.44
under employee share option plan
Transfer to securities premium on - - /%/+ - /%/+ - - -
issue of shares
Balance as at March 31, 2018 0.25 1.41 60.37 339.89 59.80 6,528.45 12.64 7,002.81
GifÔk]fik_\p\Xi - - - - - )#)')%.* - 2,202.73
Fk_\iZfdgi\_\ej`m\`eZfd\]fi - - - - - (%+/ +%.) (6.20)
the year, net of income tax
Total comprehensive income - - - - - 2,201.25 (4.72) 2,196.53
for the year
Share-based payments - - - - (.%,/ - - 17.58
i\]\iefk\+.
Payment of dividend - - - - - )00%0* - (299.93)
Payment of dividend tax - - - - - -(%-- - (61.66)
Proceeds from issue of equity shares - - *-%(( - - - - 36.11
under employee share option plan
Transfer to securities premium on - - (/%-* - (/%-* - - -
issue of shares
Balance as at March 31, 2019 0.25 1.41 115.11 339.89 58.75 8,368.11 7.92 8,891.44
J\\XZZfdgXep`e^efk\j]fid`e^gXikf]k_\ÔeXeZ`XcjkXk\d\ekj

As per our report of even date =fiXe[feY\_Xc]f]k_\9fXi[f];`i\Zkfijf]<`Z_\iDfkfijC`d`k\[

For S.R. Batliboi & Co. LLP
Chartered Accountants
@:8@=`idi\^`jkiXk`feeldY\i1*'(''*<&<*'''',

per Sanjay Vij Manhar Kapoor Lalit Malik Vinod K. Dasari Siddhartha Lal
Partner Company Secretary :_`\]=`eXeZ`XcFøZ\i Whole-time Director & Managing Director
D\dY\ij_`gEf1'0,(-0 :<Ff]IfpXc<eÔ\c[ ;@E1'''*.-+,
;@E1''*+,-,.

Inder Mohan Singh Manvi Sinha Vinod Aggarwal S. Sandilya

Director Director Director Chairman
;@E1'.((+.,' ;@E1'.'*/-., ;@E1'''*/0'- ;@E1'''*.,+)

GcXZ\1>lil^iXd GcXZ\1>lil^iXd
;Xk\1DXp('#)'(0 ;Xk\1DXp('#)'(0

EICHER MOTORS LIMITED

 185

CONSOLIDATED CASH FLOW STATEMENT

FOR THE YEAR ENDED MARCH 31, 2019
8CC8DFLEKJ8I<@EIS%:IFI<JLEC<JJFK?<IN@J<JK8K<;

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
A. CASH FLOW FROM/(USED IN) OPERATING ACTIVITIES
 GifÔkY\]fi\kXoXe[X]k\ij_Xi\f]gifÔkf]Af`ekm\ekli\]ifd 3,297.29 *#((,%-,
continuing operation
 GifÔk&cfjj Y\]fi\kXo]ifd[`jZfek`el\[fg\iXk`fej (17.52) ))'%',
 GifÔkY\]fi\kXo 3,279.77 )#/0,%-'
Adjustments for:
J_Xi\f]gifÔkf]af`ekm\ekli\ (258.40) ),-%,-
Share of loss of joint venture from discontinued operation (refer note 9 (ii)) 17.52 ))'%',
Depreciation and amortisation expenses 300.28 ))*%*'
Gain on disposal of property, plant and equipment (0.20) '%)0
Property, plant and equipment discarded 3.00 '%'+
Rent income (0.26) )%0)
CfjjfejXc\f]gifg\ikp#gcXekXe[\hl`gd\ek 1.13 (%''
E\k^X`efeÔeXeZ`Xc`ejkild\ekjXk]X`imXcl\k_ifl^_gifÔkficfjj (288.68) )*,%')
@ek\i\jk`eZfd\i\Zf^e`j\[`egifÔkficfjj (130.36) *0%*-
Expenses recognised in respect of equity-settled share-based payments 15.39 )*%,(
I\$d\Xjli\d\ek^X`ej&cfjj\j fe[\Ôe\[Y\e\ÔkgcXej (1.40) (%.+
<oZ_Xe^\[`ù\i\eZ\feZfem\ij`fe (8.02) (/%+(
=`eXeZ\Zfjkji\Zf^e`q\[`egifÔkficfjj 7.33 ,%*+
Fg\iXk`e^gifÔkY\]fi\Z_Xe^\j`enfib`e^ZXg`kXc 2,937.09 )#/,(%*-
Changes in working capital:
Adjustments for (increase) / decrease in non-current assets:
Fk_\iÔeXeZ`XcXjj\kj (4.50) -%'0
Fk_\iXjj\kj 0.05 '%-)
Adjustments for (increase) / decrease in current assets:
Inventories (238.74) ,/%.+
Trade receivables (22.34) (.%0-
CfXej (0.59) '%*-
Fk_\iÔeXeZ`XcXjj\kj 0.27 ,%+)
Fk_\iXjj\kj 15.27 ((/%*0
Adjustments for increase / (decrease) in non-current liabilities:
Fk_\iÔeXeZ`Xcc`XY`c`k`\j 1.11 (%.)
Provisions (7.72) (%*'
Fk_\ic`XY`c`k`\j 16.29 )*%-+
Adjustments for increase / (decrease) in current liabilities:
Trade payables 62.18 +'-%,-
Fk_\iÔeXeZ`Xcc`XY`c`k`\j 14.93 /%)(
Provisions 10.44 +%.'
Fk_\ic`XY`c`k`\j (302.31) (/.%*/
Cash generated from operating activities 2,481.43 *#)/0%*.
Direct taxes paid (908.48) /'.%()
Net cash flow from/(used in) operating activities (A) 1,572.96 )#+/)%),
B. CASH FLOW FROM/(USED IN) INVESTING ACTIVITIES
Payment for property, plant and equipment (789.00) .+/%,'
Proceeds from disposal of property, plant and equipment 1.58 )%,+
Investment in a joint venture company (30.00) (-%,'
Investment in equity shares of a company (5.04) '%'0
Proceeds from sale of investments 9,050.65 -#()*%0-
Purchases of investments (7,924.00) -#+-+%((

ANNUAL REPORT 2018-19

186
FINANCIAL STATEMENTS (CONSOLIDATED)

CONSOLIDATED CASH FLOW

STATEMENT(CONTD.)
FOR THE YEAR ENDED MARCH 31, 2019
8CC8DFLEKJ8I<@EIS%:IFI<JLEC<JJFK?<IN@J<JK8K<;

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
@em\jkd\ekj`eÔo\[[\gfj`k (3,696.00) (#)+*%0+
DXkli`kpgifZ\\[j]ifdÔo\[[\gfj`k 2,578.94 (*,%''
Dividend from joint venture company 65.28 ,(%-/
Rent received 0.26 )%0)
Interest received 89.96 ()%')
Net cash flow from/(used in) investing activities (B) (657.37) )#(+,%')
C. CASH FLOW FROM/(USED IN) FINANCING ACTIVITIES
Short term borrowings availed 368.92 +0,%*/
Re-payment of short term borrowings (344.23) +,-%*0
Interest paid +%0- *%*.
GifZ\\[j]ifd`jjl\f]\hl`kpj_Xi\ZXg`kXcle[\i<JFGJZ_\d\`eZcl[`e^j\Zli`kpgi\d`ld 36.13 (0%+0
Dividend paid (299.93) ).)%))
Tax on dividend paid (48.23) ++%0'
E\kZXj_]cfn]ifd&lj\[`e ÔeXeZ`e^XZk`m`k`\j: (292.30) )-)%'(
Net Increase/(decrease) in cash and cash equivalents (A)+(B)+(C) 623.29 .,%))
Cash and cash equivalents at the beginning of the year 92.46 (.%)+
Cash and cash equivalents at the end of the year 715.75 0)%+-

Particulars As at As at
March 31, 2019 March 31, 2018
Components of cash and cash equivalents
Cash on hand 0.04 '%'-
Cheques/drafts on hand - '%'-
Balances with banks:
In current accounts 34.94 0)%*+
In deposit accounts with original maturity of less than three months 692.00 -
Cash and cash equivalents as per balance sheet (refer note 15) 726.98 0)%+-
Bank overdrafts (refer note 21) 11.23 -
Cash and cash equivalents as per statement of cash flows 715.75 0)%+-
J\\XZZfdgXep`e^efk\j]fid`e^gXikf]k_\ÔeXeZ`XcjkXk\d\ekj

As per our report of even date =fiXe[feY\_Xc]f]k_\9fXi[f];`i\Zkfijf]<`Z_\iDfkfijC`d`k\[

For S.R. Batliboi & Co. LLP
Chartered Accountants
@:8@=`idi\^`jkiXk`feeldY\i1*'(''*<&<*'''',

per Sanjay Vij Manhar Kapoor Lalit Malik Vinod K. Dasari Siddhartha Lal
Partner Company Secretary :_`\]=`eXeZ`XcFøZ\i Whole-time Director & Managing Director
D\dY\ij_`gEf1'0,(-0 :<Ff]IfpXc<eÔ\c[ ;@E1'''*.-+,
;@E1''*+,-,.

Inder Mohan Singh Manvi Sinha Vinod Aggarwal S. Sandilya

Director Director Director Chairman
;@E1'.((+.,' ;@E1'.'*/-., ;@E1'''*/0'- ;@E1'''*.,+)

GcXZ\1>lil^iXd GcXZ\1>lil^iXd
;Xk\1DXp('#)'(0 ;Xk\1DXp('#)'(0

EICHER MOTORS LIMITED


NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED
1. CORPORATE INFORMATION
 <`Z_\iDfkfijC`d`k\[Èk_\?fc[`e^:fdgXepÉ `jX
public Company domiciled & incorporated under the
gifm`j`fejf]k_\:fdgXe`\j8Zk#(0,-%K_\?fc[`e^
Company and its subsidiaries (hereinafter referred to
as “the Group”) are engaged in the manufacturing
and selling of motor cycles, spare parts and related
j\im`Z\j%K_\?fc[`e^:fdgXep_Xj`kji\^`jk\i\[føZ\
XkE\n;\c_`#@e[`XXe[`kjZfigfiXk\føZ\Xk>lil^iXd#
?XipXeX#@e[`X%K_\>iflg`jXc\X[`e^knfn_\\c\i
manufacturer and has a dominant presence in domestic
dXib\k%K_\Zfejfc`[Xk\[ÔeXeZ`XcjkXk\d\ekjn\i\
authorized for issue in accordance with a resolution of
k_\9fXi[f];`i\ZkfijfeDXp('#)'(0%
2. BASIS OF PREPARATION AND
PRESENTATION
2.1 Statement of Compliance
  K _\ÔeXeZ`XcjkXk\d\ekj_Xm\Y\\egi\gXi\[`e
accordance with Indian Accounting Standards (Ind
8J efk`Ô\[le[\ij\Zk`fe(**f]k_\:fdgXe`\j
Act, 2013 read with Companies (Indian Accounting
Standards) Rules, 2015, as amended and the
presentation requirements of Division II of Schedule
III to the Companies Act, 2013, (Ind AS compliant
Schedule III), as applicable to the consolidated
ÔeXeZ`XcjkXk\d\ekj%
2.2 Accounting convention
  K _\Zfejfc`[Xk\[ÔeXeZ`XcjkXk\d\ekj_Xm\Y\\e
prepared on the historical cost basis except for
Z\ikX`eÔeXeZ`Xc`ejkild\ekjk_XkXi\d\Xjli\[
at fair values at the end of each reporting period,
Xj\ogcX`e\[`ek_\XZZflek`e^gfc`Z`\jY\cfn%
Historical cost is generally based on the fair
value of the consideration given in exchange for
^ff[jXe[j\im`Z\j%K_\Zfejfc`[Xk\[ÔeXeZ`Xc
statements are presented in Indian Rupees and all
values are rounded to the nearest crore, except
fk_\in`j\`e[`ZXk\[%
2.3 Operating Cycle
Based on the nature of products/ activities of the
Group and the normal time between acquisition
of assets and their realization in cash or cash
equivalents, the Group has determined its
operating cycle as 12 months for the purpose of
ZcXjj`ÔZXk`fef]`kjXjj\kjXe[c`XY`c`k`\jXjZlii\ek
Xe[efe$Zlii\ek%
187
3. SIGNIFICANT ACCOUNTING POLICIES
3.1 Basis of Consolidation
  K _\Zfejfc`[Xk\[ÔeXeZ`XcjkXk\d\ekj`eZfigfiXk\
k_\ÔeXeZ`XcjkXk\d\ekjf]k_\?fc[`e^:fdgXep
and entities jointly controlled by the Holding
:fdgXepXe[`kjjlYj`[`Xi`\j%:fekifc`jXZ_`\m\[
n_\ek_\:fdgXep1
Š has power over the investee;
Š is exposed, or has rights, to variable return
from its involvement with the investee; and
Š _
 Xjk_\XY`c`kpkflj\`kjgfn\ikfXù\Zk`kj
i\kliej%
The Group reassesses whether or not it controls
an investee if facts and circumstances indicate
that there are changes to one or more of the three
\c\d\ekjf]Zfekifcc`jk\[XYfm\%
When the Group has less than a majority of the
voting rights of an investee, it has power over the
`em\jk\\n_\ek_\mfk`e^i`^_kjXi\jløZ`\ekkf^`m\
it the practical ability to direct the relevant activities
f]k_\`em\jk\\le`cXk\iXccp%K_\>iflgZfej`[\ij
all relevant facts and circumstances in assessing
whether or not the Group’s voting rights in an
`em\jk\\Xi\jløZ`\ekkf^`m\`kgfn\i#`eZcl[`e^1
Š The size of the Group’s holding of voting rights
relative to the size and dispersion of holdings
f]k_\fk_\imfk\_fc[\ij%
Š Potential voting rights held by the Group,
other vote holders or other parties; rights
arising from other contractual arrangements;
and
Š Any additional facts and circumstances that
indicate that the Group has, or does not
have, the current ability to direct the relevant
activities at the time that decisions need to be
made, including voting patterns at previous
j_Xi\_fc[\ijd\\k`e^j%
Consolidation of a subsidiary begins when the Group
obtains control over the subsidiary and ceases
n_\ek_\>iflgcfj\jZfekifcf]k_\jlYj`[`Xip%
Jg\Z`ÔZXccp#`eZfd\Xe[\og\ej\jf]XjlYj`[`Xip
acquired or disposed of during the year are included
`ek_\Zfejfc`[Xk\[jkXk\d\ekf]gifÔkXe[cfjj
from the date the Group gains control until the date
n_\ek_\>iflgZ\Xj\jkfZfekifck_\jlYj`[`Xip%
ANNUAL REPORT 2018-19
188
FINANCIAL STATEMENTS (CONSOLIDATED)
NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED
  :
 fejfc`[Xk\[ÔeXeZ`XcjkXk\d\ekjXi\
prepared using uniform accounting policies
for like transactions and other events in similar
Z`iZldjkXeZ\j%@]Xd\dY\if]k_\^iflglj\j
accounting policies other than those adopted
`ek_\Zfejfc`[Xk\[ÔeXeZ`XcjkXk\d\ekj]fic`b\
transactions and events in similar circumstances,
appropriate adjustments are made to that group
d\dY\iËjÔeXeZ`XcjkXk\d\ekj`egi\gXi`e^k_\
Zfejfc`[Xk\[ÔeXeZ`XcjkXk\d\ekjkf\ejli\
Zfe]fid`kpn`k_k_\^iflgËjXZZflek`e^gfc`Z`\j%
  K _\ÔeXeZ`XcjkXk\d\ekjf]Xcc\ek`k`\jlj\[]fik_\
purpose of consolidation are drawn up to same
reporting date as that of the parent company,
`%\%#p\Xi\e[\[DXiZ_*(#)'(0%N_\ek_\\e[
f]k_\i\gfik`e^g\i`f[f]k_\gXi\ek`j[`ù\i\ek
from that of a subsidiary, the subsidiary prepares,
 *%(%(K_\]fccfn`e^jlYj`[`XipZfdgXe`\jXi\Zfej`[\i\[`ek_\Zfejfc`[Xk\[ÔeXeZ`XcjkXk\d\ekj1
Name of the Company
Incorporation
IfpXc<eÔ\c[Efik_8d\i`ZXC`d`k\[I<E8 
IfpXc<eÔ\c[9iXj`c:fd\iZ`f;\
DfkfZ`Zc\kXjCK;8
IfpXc<eÔ\c[:XeX[XC`d`k\[
(100% subsidiary Company of RENA)
(Incorporated on April 19, 2016)
IfpXc<eÔ\c[K_X`cXe[ C`d`k\[I<K 
(Incorporated on September 18, 2018)
 *%) @em\jkd\ek`eAf`ekm\ekli\j
A joint venture is a joint arrangement whereby the
parties that have joint control of the arrangement
have rights to the net assets of the joint
XiiXe^\d\ek%Af`ekZfekifc`jk_\ZfekiXZklXccp
agreed sharing an arrangement, which exists only
when decisions about the relevant activities require
leXe`dfljZfej\ekf]k_\gXik`\jj_Xi`e^Zfekifc%
The considerations made in determining whether
j`^e`ÔZXek`e]cl\eZ\fiaf`ekZfekifcXi\j`d`cXikf
those necessary to determine control over the
jlYj`[`Xi`\j%
The results, assets and liabilities of joint ventures
Xi\`eZfigfiXk\[`ek_\j\Zfejfc`[Xk\[ÔeXeZ`Xc
jkXk\d\ekjlj`e^k_\\hl`kpd\k_f[f]XZZflek`e^%
Le[\ik_\\hl`kpd\k_f[#Xe`em\jkd\ek`eXaf`ek
venture is initially recognised in the consolidated
balance sheet at cost and adjusted thereafter to
EICHER MOTORS LIMITED
]fiZfejfc`[Xk`fegligfj\j#X[[`k`feXcÔeXeZ`Xc
`e]fidXk`feXjf]k_\jXd\[Xk\Xjk_\ÔeXeZ`Xc
statements of the parent to enable the parent to
Zfejfc`[Xk\k_\ÔeXeZ`Xc`e]fidXk`fef]
k_\jlYj`[`Xip%
  G
 ifÔkficfjjXe[\XZ_Zfdgfe\ekf]fk_\i
comprehensive income are attributed to the owners
f]k_\>iflgXe[kfk_\efe$Zfekifcc`e^`ek\i\jkj%
Total comprehensive income of subsidiaries is
attributed to the owners of the Group and to the
non-controlling interests even if this results in the
efe$Zfekifcc`e^`ek\i\jkj_Xm`e^X[\ÔZ`kYXcXeZ\%
All intragroup assets and liabilities, equity, income,
expenses, and cash flows relating to transactions
between members of the Group are eliminated in
]lccfeZfejfc`[Xk`fe%
Country of Voting power held as at Mfk`e^gfn\i_\c[XjXk
March 31, 2019 March 31, 2018
L%J%8% 100% 100%
Brazil 00%00 00%00
Canada 100% 100%
Thailand 00%00 -
i\Zf^e`j\k_\>iflgjj_Xi\f]k_\gifÔkficfjjXe[
fk_\iZfdgi\_\ej`m\`eZfd\f]k_\af`ekm\ekli\%
Distributions received from a joint venture reduce
k_\ZXiip`e^Xdflekf]k_\`em\jkd\ek%N_\ek_\
>iflgjj_Xi\f]cfjj\jf]Xaf`ekm\ekli\\oZ\\[j
k_\>iflgj`ek\i\jk`ek_Xkaf`ekm\ekli\n_`Z_
includes any long-term interests that, in substance,
]fidgXikf]k_\>iflgje\k`em\jkd\ek`ek_\
joint venture), the Group discontinues recognising
`kjj_Xi\f]]lik_\icfjj\j%8[[`k`feXccfjj\jXi\
recognised only to the extent that the Group has
incurred legal or constructive obligations or made
gXpd\ekjfeY\_Xc]f]k_\af`ekm\ekli\%
After application of the equity method of
accounting, the Group determines whether there is
any objective evidence of impairment as a result of
one or more events that occurred after the initial
recognition of the net investment in a joint venture
 189

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

and that event (or events) has an impact on the estimated future cash flows from the net investment that can be reliably
\jk`dXk\[%@]k_\i\\o`jkjjlZ_XefYa\Zk`m\\m`[\eZ\f]`dgX`id\ek#k_\e`k`je\Z\jjXipkfi\Zf^e`j\`dgX`id\ekcfjj
n`k_i\jg\Zkkfk_\>iflgj`em\jkd\ek`eXaf`ekm\ekli\%

When necessary, the entire carrying amount of the investment (including goodwill) is tested for impairment in
accordance with Ind AS 36 Impairment of Assets as a single asset by comparing its recoverable amount (higher of
mXcl\`elj\Xe[]X`imXcl\c\jjZfjkjf][`jgfjXc n`k_`kjZXiip`e^Xdflek%8ep`dgX`id\ekcfjji\Zf^e`j\[]fidjgXikf]
k_\ZXiip`e^Xdflekf]k_\`em\jkd\ek%8epi\m\ijXcf]k_Xk`dgX`id\ekcfjj`ji\Zf^e`j\[`eXZZfi[XeZ\n`k_@e[8J*-
kfk_\\ok\ekk_Xkk_\i\Zfm\iXYc\Xdflekf]k_\`em\jkd\ekjlYj\hl\ekcp`eZi\Xj\j%

  K_\]fccfn`e^af`ekm\ekli\ZfdgXe`\jXi\Zfej`[\i\[`ek_\Zfejfc`[Xk\[ÔeXeZ`XcjkXk\d\ekj1

Name of the Company Country of Voting power held as at Mfk`e^gfn\i_\c[XjXk

Incorporation March 31, 2019 March 31, 2018
M<:fdd\iZ`XcM\_`Zc\jC`d`k\[ India ,+%+ ,+%+
<`Z_\iGfcXi`jGi`mXk\C`d`k\[ India ,'%' ,'%'

 *%* :lii\ekm\ijljefe$Zlii\ekZcXjj`ÔZXk`fe 3.4 Revenue Recognition

The Group presents assets and liabilities in
the balance sheet on current / non-current
ZcXjj`ÔZXk`fe%8eXjj\k`jki\Xk\[XjZlii\ek
n_\e`k`j1
 E
xpected to be realised or intended to be sold
or consumed in normal operating cycle
Š Held primarily for the purpose of trading
Š Expected to be realised within twelve months
after the reporting period, or
Š Cash or cash equivalent unless restricted
from being exchanged or used to settle a
liability for at least twelve months after the
reporting period
  8ccfk_\iXjj\kjXi\ZcXjj`Ô\[Xjefe$Zlii\ek%
  8c`XY`c`kp`jZlii\ekn_\e1
Š It is expected to be settled in normal
operating cycle
Š It is held primarily for the purpose of trading
Š It is due to be settled within twelve months
after the reporting period, or
Š There is no unconditional right to defer the
settlement of the liability for at least twelve
months after the reporting period
  K _\>iflgZcXjj`Ô\jXccfk_\ic`XY`c`k`\jXj
efe$Zlii\ek%
  ;
 \]\ii\[kXoXjj\kjXe[c`XY`c`k`\jXi\ZcXjj`Ô\[Xj
efe$Zlii\ekXjj\kjXe[c`XY`c`k`\j%
Revenue from contracts with customers is
recognised when control of the goods or services
are transferred to the customer at an amount
that reflects the consideration to which the Group
expects to be entitled in exchange for those goods
fij\im`Z\j%K_\>iflg_Xj^\e\iXccpZfeZcl[\[
that it is the principal in its revenue arrangements,
except for the agency services below, because it
typically controls the goods or services before
kiXej]\ii`e^k_\dkfk_\Zljkfd\i%
Sale of goods
Revenue from sale of goods is recognised at
the point in time when control of the goods is
transferred to the customer, generally on delivery
f]k_\^ff[j%
The Group considers whether there are other
promises in the contract that are separate
performance obligations to which a portion of
k_\kiXejXZk`fegi`Z\e\\[jkfY\XccfZXk\[\%^%#
warranties, Road Side Assistance, Free Service
:flgfej#\kZ% %@e[\k\id`e`e^k_\kiXejXZk`fe
price for the sale of goods, the Group considers
k_\\ù\Zkjf]mXi`XYc\Zfej`[\iXk`fe#k_\\o`jk\eZ\
f]j`^e`ÔZXekÔeXeZ`e^Zfdgfe\ekj#efe$ZXj_
consideration, and consideration payable to the
Zljkfd\i`]Xep %
Variable consideration
If the consideration in a contract includes a variable
amount, the Group estimates the amount of
consideration to which it will be entitled in exchange

ANNUAL REPORT 2018-19

190
FINANCIAL STATEMENTS (CONSOLIDATED)

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

]fikiXej]\ii`e^k_\^ff[jkfk_\Zljkfd\i%K_\ Contract liabilities

variable consideration is estimated at contract
inception and constrained until it is highly probable
k_XkXj`^e`ÔZXeki\m\el\i\m\ijXc`ek_\Xdflek
of cumulative revenue recognised will not occur
when the associated uncertainty with the variable
Zfej`[\iXk`fe`jjlYj\hl\ekcpi\jfcm\[%Jfd\
contracts for the sale of traded goods provide
customers with a right of return for which, the
consideration is estimated based on goods
\og\Zk\[kfY\i\klie\[%K_\i`^_kjf]i\klie^`m\
i`j\kfmXi`XYc\Zfej`[\iXk`fe%=fi^ff[jk_XkXi\
expected to be returned, instead of revenue, the
>iflgi\Zf^e`j\jXi\]le[c`XY`c`kp%
Warranty obligations
The Group typically provides warranties for general
repairs of defects that existed at the time of sale, as
i\hl`i\[YpcXn%K_\j\XjjliXeZ\$kpg\nXiiXek`\j
Xi\XZZflek\[]file[\i@e[8J*.Gifm`j`fej#
:fek`e^\ekC`XY`c`k`\jXe[:fek`e^\ek8jj\kj%I\]\i
to the accounting policy on warranty provisions in
j\Zk`fe*%(.Gifm`j`fej%
The Group provides a one or two-year warranty
Y\pfe[Ôo`e^[\]\Zkjk_Xk\o`jk\[Xkk_\k`d\f]
jXc\%K_\j\j\im`Z\$kpg\nXiiXek`\jXi\jfc[\`k_\i
separately or bundled together with the sale of
^ff[j%:fekiXZkj]fiYle[c\[jXc\jf]^ff[jXe[X
service-type warranty comprise two performance
obligations because the promises to transfer the
goods and to provide the service-type warranty
Xi\ZXgXYc\f]Y\`e^[`jk`eZk%Lj`e^k_\i\cXk`m\
stand-alone selling price method, a portion of the
transaction price is allocated to the service-type
nXiiXekpXe[i\Zf^e`j\[XjXZfekiXZkc`XY`c`kp%
Revenue is recognised over the period in which the
service-type warranty is provided based on the
k`d\\cXgj\[%
Agency services
In contracts where the Group acts as an agent, the
revenue is recorded at the net amount that the
>iflgi\kX`ej]fi`kjX^\eZpj\im`Z\j%
Trade receivables
A receivable represents the Group’s right to an
amount of consideration that is unconditional
`%\%#fecpk_\gXjjX^\f]k`d\`ji\hl`i\[Y\]fi\
gXpd\ekf]k_\Zfej`[\iXk`fe`j[l\ %I\]\ikf
XZZflek`e^gfc`Z`\jf]ÔeXeZ`XcXjj\kj`ej\Zk`fe
*%(/=`eXeZ`Xc`ejkild\ekjÆ`e`k`Xci\Zf^e`k`feXe[
jlYj\hl\ekd\Xjli\d\ek%
A contract liability is the obligation to transfer
goods or services to a customer for which the
Group has received consideration (or an amount
f]Zfej`[\iXk`fe`j[l\ ]ifdk_\Zljkfd\i%@]X
customer pays consideration before the Group
transfers goods or services to the customer, a
contract liability is recognised when the payment is
dX[\fik_\gXpd\ek`j[l\n_`Z_\m\i`j\Xic`\i %
Contract liabilities are recognised as revenue when
k_\>iflgg\i]fidjle[\ik_\ZfekiXZk%
Dividend and interest income
Dividend income from investments is recognised
n_\ek_\j_Xi\_fc[\iji`^_kkfi\Z\`m\gXpd\ek
_XjY\\e\jkXYc`j_\[%
  @ek\i\jk`eZfd\]ifdXÔeXeZ`XcXjj\k`ji\Zf^e`j\[
n_\e`k`jgifYXYc\k_Xkk_\\Zfefd`ZY\e\Ôkjn`cc
flow to the Group and the amount of income can be
d\Xjli\[i\c`XYcp%@ek\i\jk`eZfd\`jXZZil\[fe#
time basis, by reference to the principal outstanding
Xe[Xkk_\\ù\Zk`m\`ek\i\jkiXk\Xggc`ZXYc\#n_`Z_
is the rate that exactly discounts estimated future
cash receipts through the expected life of the
ÔeXeZ`XcXjj\kkfk_XkXjj\kje\kZXiip`e^Xdflek
fe`e`k`Xci\Zf^e`k`fe%
3.5 Leases
The determination of whether an arrangement is
(or contains) a lease is based on the substance of
k_\XiiXe^\d\ekXkk_\`eZ\gk`fef]k_\c\Xj\%K_\
XiiXe^\d\ek`j#fiZfekX`ej#Xc\Xj\`]]lcÔcd\ek
of the arrangement is dependent on the use of
Xjg\Z`ÔZXjj\kfiXjj\kjXe[k_\XiiXe^\d\ek
conveys a right to use the asset or assets,
\m\e`]k_Xki`^_k`jefk\ogc`Z`kcpjg\Z`Ô\[`eXe
XiiXe^\d\ek%
  C \Xj\jXi\ZcXjj`Ô\[XjÔeXeZ\c\Xj\jn_\e\m\ik_\
terms of the lease transfer substantially, all the risks
Xe[i\nXi[jf]fne\ij_`gkfk_\c\jj\\%8ccfk_\i
c\Xj\jXi\ZcXjj`Ô\[Xjfg\iXk`e^c\Xj\j%
As a lessee
  C \Xj\j`en_`Z_Xj`^e`ÔZXekgfik`fef]k_\i`jbj
and rewards of ownership are retained by the
c\jjfiXi\ZcXjj`Ô\[Xjfg\iXk`e^c\Xj\j%GXpd\ekj
made under operating leases are charged to the
JkXk\d\ekf]GifÔkXe[CfjjfeXjkiX`^_k$c`e\
basis over the period of the lease in a manner
which is representative of the time pattern in which

EICHER MOTORS LIMITED


NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED
Y\e\Ôk[\i`m\[]ifdk_\lj\f]k_\c\Xj\[Xjj\k
`j[`d`e`j_\[%
As a lessor
The Group has leased out certain assets and such
leases where the Group has substantially retained
Xcck_\i`jbjXe[i\nXi[jf]fne\ij_`gXi\ZcXjj`Ô\[
Xjfg\iXk`e^c\Xj\j%C\Xj\`eZfd\fejlZ_
operating leases are recognised in the Statement
f]GifÔkXe[CfjjfeXjkiX`^_kc`e\YXj`jfm\ik_\
lease term in a manner which is representative
f]k_\k`d\gXkk\ie`en_`Z_Y\e\Ôk[\i`m\[]ifd
k_\lj\f]k_\c\Xj\[Xjj\k`j[`d`e`j_\[%@e`k`Xc
direct costs are recognised as an expense in the
JkXk\d\ekf]GifÔkXe[Cfjj`ek_\g\i`f[`en_`Z_
k_\pXi\`eZlii\[%
3.6 Foreign currencies
  K _\ÔeXeZ`XcjkXk\d\ekjXi\gi\j\ek\[`e@e[`Xe
Rupees, which is also the functional currency of the
>iflg%@egi\gXi`e^k_\ÔeXeZ`XcjkXk\d\ekjf]k_\
Group, transactions in currencies other than the
^iflgj]leZk`feXcZlii\eZp]fi\`^eZlii\eZ`\j Xi\
recognised at the rates of exchange prevailing at
k_\[Xk\jf]k_\kiXejXZk`fej%
At the end of each reporting period, monetary items
denominated in foreign currencies are retranslated
Xkk_\iXk\jgi\mX`c`e^Xkk_Xk[Xk\%
Transactions in foreign currencies are initially
recorded by the foreign operations at the functional
currency spot rates at the date the transaction
ÔijkhlXc`Ô\j]fii\Zf^e`k`fe%@ei\jg\Zkf]]fi\`^e
operations, the assets and liabilities are translated
into INR at the rate of exchange prevailing at the
i\gfik`e^[Xk\Xe[k_\`ijkXk\d\ekf]gifÔkXe[
loss at the rates prevailing on the date of the
kiXejXZk`fej%?fn\m\i#]figiXZk`ZXci\Xjfej#k_\
Group uses an average rate to translate the income
and expense items, if the average approximates the
XZklXciXk\Xkk_\[Xk\f]k_\kiXejXZk`fe%
  <
 oZ_Xe^\[`ù\i\eZ\jXi`j`e^fej\kkc\d\ekfi
translation of monetary items are recognised in the
JkXk\d\ekf]gifÔkficfjjn`k_k_\\oZ\gk`fef]
k_\]fccfn`e^1
  <oZ_Xe^\[`ù\i\eZ\jXi`j`e^fedfe\kXip
items that forms part of a reporting entity’s net
investment in foreign operations are initially
i\Zf^e`j\[`ek_\ÔeXeZ`XcjkXk\d\ekjf]k_\
>iflg`ek_\fk_\iZfdgi\_\ej`m\`eZfd\%K_\j\
191
\oZ_Xe^\[`ù\i\eZ\jXi\i\ZcXjj`Ô\[]ifd\hl`kp
=fi\`^eZlii\eZpkiXejcXk`fei\j\im\ kfgifÔkfi
cfjjfe[`jgfjXcf]k_\e\k`em\jkd\ek%
Tax charges and credits attributable to exchange
[`ù\i\eZ\jfek_fj\dfe\kXip`k\djXi\Xcjf
i\Zfi[\[`eF:@%
3.7 Borrowing costs
Borrowing costs directly attributable to the
acquisition, construction or production of qualifying
assets, which are assets that necessarily take a
substantial period of time to get ready for their
intended use or sale, are added to the cost of
those assets, until such time that the assets are
jlYjkXek`Xccpi\X[p]fik_\`i`ek\e[\[lj\fijXc\%
  8
 ccfk_\iYfiifn`e^ZfjkjXi\i\Zf^e`j\[`egifÔkfi
cfjj`ek_\g\i`f[`en_`Z_k_\pXi\`eZlii\[%
3.8 Government grants
Government grants are not recognised until there
is reasonable assurance that the Group will
comply with the conditions attached to them and
k_Xkk_\^iXekjn`ccY\i\Z\`m\[%N_\ek_\^iXek
relates to an expense item, it is recognised as
income on a systematic basis over the periods
that the related costs, for which it is intended to
Zfdg\ejXk\#Xi\\og\ej\[%
When the Group receives grant of non-monetary
assets, the asset and the grant are recorded at
fair value amounts and released to the statement
f]gifÔkXe[cfjjfm\ik_\\og\Zk\[lj\]lcc`]\`e
XgXkk\ief]Zfejldgk`fef]k_\Y\e\Ôkf]k_\
le[\icp`e^Xjj\k#`%\%#Yp\hlXcXeelXc`ejkXcd\ekj%
In the case of Export Promotion Capital Goods
(‘EPCG’) grant, the Group recognise the grant in the
jkXk\d\ekf]gifÔkXe[cfjjfeXjpjk\dXk`ZYXj`j
fm\ik_\lj\]lcc`]\f]k_\Xjj\kj%
 *%0 I\k`i\d\ekXe[fk_\i\dgcfp\\Y\e\Ôkj
Provident fund
(i) The Group operates a scheme of provident
]le[]fi\c`^`Yc\\dgcfp\\j#n_`Z_`jX[\Ôe\[
Y\e\ÔkgcXe%9fk_k_\\dgcfp\\Xe[k_\
Group make monthly contributions to the
gifm`[\ek]le[gcXe\hlXckfXjg\Z`Ô\[
percentage of the covered employee’s
jXcXip%K_\>iflgZfeki`Ylk\jXgXikf]
the contributions to the “Eicher Executive
ANNUAL REPORT 2018-19
192
FINANCIAL STATEMENTS (CONSOLIDATED)
NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED
Gifm`[\ek=le[KiljkÉ%K_\iXk\Xkn_`Z_k_\
XeelXc`ek\i\jk`jgXpXYc\kfk_\Y\e\ÔZ`Xi`\j
by the trust is being administered by the
>fm\ied\ek%K_\>iflg_XjXefYc`^Xk`fekf
make good the shortfall, if any, between the
return from the investments of the trust and
k_\efk`Ô\[`ek\i\jkiXk\%
   K _\Zfjkf]gifm`[`e^Y\e\Ôkjle[\iXYfm\
d\ek`fe\[[\Ôe\[Y\e\ÔkgcXe`j[\k\id`e\[
using the projected unit credit method with
actuarial valuations being carried out at each
balance sheet date, which recognizes each
period of service as giving rise to additional
le`kf]\dgcfp\\Y\e\Ôk\ek`kc\d\ekXe[
measures each unit separately to build up the
ÔeXcfYc`^Xk`fe%
(ii) The employees, who are not covered under
k_\jZ_\d\jkXk\[`e*%0` XYfm\#Xi\
Zfm\i\[`eX[\Ôe\[Zfeki`Ylk`fejZ_\d\
wherein their portion of provident fund is
contributed to the government administered
gifm`[\ek]le[%K_\>iflg_XjeffYc`^Xk`fe#
other than the contribution payable to
k_\gifm`[\ek]le[%K_\>iflgi\Zf^e`q\j
contribution payable to the provident fund
scheme as expenditure, when an employee
i\e[\ijk_\i\cXk\[j\im`Z\%
Gratuity
  G
 Xpd\ekjkf[\Ôe\[Zfeki`Ylk`fegcXejXi\
recognised as an expense when employees have
i\e[\i\[j\im`Z\\ek`kc`e^k_\dkfk_\Zfeki`Ylk`fej%
  = fi[\Ôe\[Y\e\ÔkgcXej#k_\Zfjkf]gifm`[`e^
Y\e\Ôkj`j[\k\id`e\[lj`e^k_\gifa\Zk\[le`k
credit method, with actuarial valuations being
carried out at the end of each annual reporting
g\i`f[%I\$d\Xjli\d\ek#Zfdgi`j`e^XZklXi`Xc
gains and losses and the return on plan assets
(excluding net interest), is reflected immediately
in the balance sheet with a charge or credit
recognised in other comprehensive income in
k_\g\i`f[`en_`Z_k_\pfZZli%I\$d\Xjli\d\ek
recognised in other comprehensive income is
reflected immediately in retained earnings and
`jefki\ZcXjj`Ô\[kfgifÔkficfjj%E\k`ek\i\jk`j
calculated by applying the discount rate at the
Y\^`ee`e^f]k_\g\i`f[kfk_\e\k[\Ôe\[Y\e\Ôk
c`XY`c`kpfiXjj\k%
EICHER MOTORS LIMITED
  ;\Ôe\[Y\e\ÔkZfjkjXi\ZXk\^fi`j\[Xj]fccfnj1
Š service cost (including current service cost,
past service cost, as well as gains and losses or
curtailments and settlements);
Š net interest expense or income; and
Š re-measurement
Net interest is calculated by applying the discount
iXk\kfk_\e\k[\Ôe\[Y\e\Ôkc`XY`c`kpfiXjj\k%
  K _\>iflggi\j\ekjk_\ÔijkknfZfdgfe\ekjf]
[\Ôe\[Y\e\ÔkZfjkj`egifÔkficfjj`ek_\c`e\`k\d
Ê<dgcfp\\Y\e\Ôkj\og\ej\Ë%
  K _\i\k`i\d\ekY\e\ÔkfYc`^Xk`fei\Zf^e`j\[`e
k_\YXcXeZ\j_\\ki\gi\j\ekjk_\XZklXc[\ÔZ`kfi
jligclj`ek_\>iflgËj[\Ôe\[Y\e\ÔkgcXej%8ep
surplus resulting from this calculation is limited
kfk_\gi\j\ekmXcl\f]Xep\Zfefd`ZY\e\Ôkj
available in the form of refunds from the plan or
i\[lZk`fej`e]lkli\Zfeki`Ylk`fejkfk_\gcXej%
Short-term and other long-term employee
Y\e\Ôkj
  8
 c`XY`c`kp`ji\Zf^e`j\[]fiY\e\ÔkjXZZil`e^kf
employees in respect of wages and salaries, in
the period the related service is rendered at the
le[`jZflek\[Xdflekf]k_\Y\e\Ôkj\og\Zk\[kf
Y\gX`[`e\oZ_Xe^\]fik_Xkj\im`Z\%
  C `XY`c`k`\ji\Zf^e`j\[`ei\jg\Zkf]j_fik$
k\id\dgcfp\\Y\e\ÔkjXi\d\Xjli\[Xkk_\
le[`jZflek\[Xdflekf]k_\Y\e\Ôkj\og\Zk\[kf
Y\gX`[`e\oZ_Xe^\]fik_\i\cXk\[j\im`Z\%
  C `XY`c`k`\ji\Zf^e`j\[`ei\jg\Zkf]fk_\icfe^$k\id
\dgcfp\\Y\e\ÔkjjlZ_XjXeelXcc\Xm\Xe[j`Zb
leave are measured at the present value of the
estimated future cash outflows expected to be
made by the Group in respect of services provided
Yp\dgcfp\\jlgkfk_\i\gfik`e^[Xk\%
3.10 Share-based payment arrangements
Employees (including senior executives) of the
Group receive remuneration in the form of share-
based payments, whereby employees render
services as consideration for equity instruments
\hl`kp$j\kkc\[kiXejXZk`fej %

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED
Equity-settled share-based payments to
employees are measured at the fair value of the
\hl`kp`ejkild\ekjXkk_\^iXek[Xk\%;\kX`cj
regarding the determination of the fair value of
equity-settled share-based transactions are set
flk`eefk\ef%+.%
That cost is recognised, together with a
corresponding increase in share-based payment
(SBP) reserves in equity, over the period in which
the performance and/or service conditions
Xi\]lcÔcc\[`e\dgcfp\\Y\e\Ôkj\og\ej\%K_\
cumulative expense recognised for equity-settled
transactions at each reporting date until the
vesting date reflects the extent to which the vesting
period has expired and the Group’s best estimate of
the number of equity instruments that will ultimately
m\jk%K_\jkXk\d\ekf]gifÔkXe[cfjj\og\ej\fi
credit for a period represents the movement in
cumulative expense recognised as at the beginning
and end of that period and is recognised in
\dgcfp\\Y\e\Ôkj\og\ej\%
  K _\[`clk`m\\ù\Zkf]flkjkXe[`e^fgk`fej`j
reflected as additional share dilution in the
ZfdglkXk`fef][`clk\[\Xie`e^jg\ij_Xi\%
3.11 Taxation
Income tax expense represents the sum of the tax
Zlii\ekcpgXpXYc\Xe[[\]\ii\[kXo%
Current tax
  K _\kXoZlii\ekcpgXpXYc\`jYXj\[fekXoXYc\gifÔk
]fik_\p\Xi%KXoXYc\gifÔk[`ù\ij]ifdgifÔkY\]fi\
kXoXji\gfik\[`ek_\jkXk\d\ekf]gifÔkXe[cfjj
because of items of income or expense that are
taxable or deductible in other years and items that
Xi\e\m\ikXoXYc\fi[\[lZk`Yc\%K_\>iflgjZlii\ek
tax is calculated using tax rates and laws that have
been enacted or substantively enacted by the end
f]k_\i\gfik`e^g\i`f[%
Current income tax relating to items recognised
flkj`[\gifÔkficfjj`ji\Zf^e`j\[flkj`[\gifÔk
or loss (either in other comprehensive income
fi`e\hl`kp %:lii\ekkXo`k\djXi\i\Zf^e`j\[`e
correlation to the underlying transaction either in
F:@fi[`i\Zkcp`e\hl`kp%DXeX^\d\ekg\i`f[`ZXccp
evaluates positions taken in the tax returns with
respect to situations in which applicable tax
regulations are subject to interpretation and
\jkXYc`j_\jgifm`j`fejn_\i\Xggifgi`Xk\%
193
Deferred tax
Deferred tax is provided using the liability method
fek\dgfiXip[`ù\i\eZ\jY\kn\\ek_\kXoYXj\jf]
assets and liabilities and their carrying amounts for
ÔeXeZ`Xci\gfik`e^gligfj\jXkk_\i\gfik`e^[Xk\%
Deferred tax liabilities are recognised for all taxable
k\dgfiXip[`ù\i\eZ\j#\oZ\gk1
Š When the deferred tax liability arises from
the initial recognition of goodwill or an asset
or liability in a transaction that is not a
business combination and, at the time of the
kiXejXZk`fe#Xù\Zkje\`k_\ik_\XZZflek`e^
gifÔkefikXoXYc\gifÔkficfjj%
Š @ei\jg\Zkf]kXoXYc\k\dgfiXip[`ù\i\eZ\j
associated with investments in subsidiaries,
associates and interests in joint ventures,
when the timing of the reversal of the
k\dgfiXip[`ù\i\eZ\jZXeY\Zfekifcc\[Xe[`k
`jgifYXYc\k_Xkk_\k\dgfiXip[`ù\i\eZ\jn`cc
efki\m\ij\`ek_\]fi\j\\XYc\]lkli\%
Deferred tax assets are recognised for all deductible
k\dgfiXip[`ù\i\eZ\j#k_\ZXiip]finXi[f]lelj\[
kXoZi\[`kjXe[Xeplelj\[kXocfjj\j%;\]\ii\[
tax assets are recognised to the extent that it is
gifYXYc\k_XkkXoXYc\gifÔkn`ccY\XmX`cXYc\X^X`ejk
n_`Z_k_\[\[lZk`Yc\k\dgfiXip[`ù\i\eZ\j#Xe[k_\
carry forward of unused tax credits and unused tax
cfjj\jZXeY\lk`c`j\[#\oZ\gk1
Š When the deferred tax asset relating to
k_\[\[lZk`Yc\k\dgfiXip[`ù\i\eZ\Xi`j\j
from the initial recognition of an asset
or liability in a transaction that is not a
business combination and, at the time of the
kiXejXZk`fe#Xù\Zkje\`k_\ik_\XZZflek`e^
gifÔkefikXoXYc\gifÔkficfjj%
Š @ei\jg\Zkf][\[lZk`Yc\k\dgfiXip[`ù\i\eZ\j
associated with investments in subsidiaries,
associates and interests in joint ventures,
deferred tax assets are recognised only to the
extent that it is probable that the temporary
[`ù\i\eZ\jn`cci\m\ij\`ek_\]fi\j\\XYc\
]lkli\Xe[kXoXYc\gifÔkn`ccY\XmX`cXYc\
X^X`ejkn_`Z_k_\k\dgfiXip[`ù\i\eZ\jZXe
Y\lk`c`j\[%
Deferred tax relating to items recognised outside
gifÔkficfjj`ji\Zf^e`j\[flkj`[\gifÔkficfjj
ANNUAL REPORT 2018-19
194
FINANCIAL STATEMENTS (CONSOLIDATED)
NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED
\`k_\i`efk_\iZfdgi\_\ej`m\`eZfd\fi`e\hl`kp %
Deferred tax items are recognised in correlation
to the underlying transaction either in other
Zfdgi\_\ej`m\`eZfd\fi[`i\Zkcp`e\hl`kp%
The carrying amount of deferred tax assets is
reviewed at the end of each reporting period and
reduced to the extent that it is no longer probable
k_XkjløZ`\ekkXoXYc\gifÔkjn`ccY\XmX`cXYc\kf
XccfnXccfigXikf]k_\Xjj\kkfY\i\Zfm\i\[%
Deferred tax liabilities and assets are measured
at the tax rates that are expected to apply in the
period in which the liability is settled or the asset
realised, based on tax rates (and tax laws) that have
been enacted or substantively enacted by the end
f]k_\i\gfik`e^g\i`f[%
The measurement of deferred tax liabilities and
assets reflects the tax consequences that would
follow from the manner in which the Group
expects, at the end of the reporting period, to
recover or settle the carrying amount of its assets
Xe[c`XY`c`k`\j%
Current and deferred tax for the year
Current and deferred tax are recognised in
gifÔkficfjj#\oZ\gkn_\ek_\pi\cXk\kf`k\djk_Xk
are recognised in other comprehensive income
or directly in equity, in which case, the current
and deferred tax are also recognised in other
comprehensive income or directly in
\hl`kpi\jg\Zk`m\cp%
3.12 Property, plant and equipment
Property, plant and equipment (including furniture,
Ôokli\j#m\_`Zc\j#\kZ% _\c[]filj\`ek_\gif[lZk`fe
or supply of goods or services, or for administrative
purposes, are stated in the balance sheet at cost
less accumulated depreciation and accumulated
`dgX`id\ekcfjj\j%:fjkf]XZhl`j`k`fe`j`eZclj`m\f]
]i\`^_k#[lk`\j#kXo\jXe[fk_\i`eZ`[\ekXc\og\ej\j%
N_\ej`^e`ÔZXekgXikjf]gcXekXe[\hl`gd\ek
are required to be replaced at intervals, the Group
[\gi\Z`Xk\jk_\dj\gXiXk\cpYXj\[fek_\`ijg\Z`ÔZ
lj\]lcc`m\j%=i\\_fc[cXe[`jefk[\gi\Z`Xk\[%
Properties in the course of construction for
production, supply or administrative purposes are
carried at cost, less any recognised impairment
cfjj%:fjk`eZcl[\j`k\dj[`i\ZkcpXkki`YlkXYc\kfk_\
construction or acquisition of the item of property,
EICHER MOTORS LIMITED
plant and equipment, and, for qualifying assets,
borrowing costs capitalised in accordance with the
>iflgjXZZflek`e^gfc`Zp%JlZ_gifg\ik`\jXi\
ZcXjj`Ô\[kfk_\Xggifgi`Xk\ZXk\^fi`\jf]gifg\ikp#
plant and equipment when completed and ready for
`ek\e[\[lj\%;\gi\Z`Xk`fef]k_\j\Xjj\kj#fek_\
same basis as-other property assets, commences
n_\ek_\Xjj\kjXi\i\X[p]fik_\`i`ek\e[\[lj\%
  ;
 \gi\Z`Xk`fe`ji\Zf^e`j\[jfXjkfni`k\fùk_\
cost of assets (other than freehold land and
properties under construction) less their residual
values over their useful lives, using the straight-
c`e\d\k_f[%K_\\jk`dXk\[lj\]lcc`m\j#i\j`[lXc
values and depreciation method are reviewed at
k_\\e[f]\XZ_i\gfik`e^g\i`f[#n`k_k_\\ù\Zk
of any changes in estimate accounted for on a
gifjg\Zk`m\YXj`j%
Depreciation is charged on a pro-rata basis at the
straight line method over estimated economic
useful lives of its property, plant and equipment
generally in accordance with that provided in
the Schedule II to the Act as provided below and
except in respect of moulds and dies which are
depreciated over their estimated useful life of 1
kf.p\Xij#n_\i\`e#k_\c`]\f]k_\jX`[Xjj\kj_Xj
been assessed based on technical advice, taking
into account the nature of the asset, the estimated
usage of the asset, the operating conditions of
the asset, past history of replacement, anticipated
technological changes, manufacturers warranties
Xe[dX`ek\eXeZ\jlggfik#\kZ%
An item of property, plant and equipment is
derecognised upon disposal or when no future
\Zfefd`ZY\e\ÔkjXi\\og\Zk\[kfXi`j\]ifd
k_\Zfek`el\[lj\f]k_\Xjj\k%8ep^X`eficfjj
arising on the disposal or retirement of an item of
property, plant and equipment is determined as
k_\[`ù\i\eZ\Y\kn\\ek_\jXc\jgifZ\\[jXe[k_\
carrying amount of the asset and is recognised in
gifÔkficfjj%K_\lj\]lcc`m\j]fimXi`fljgifg\ikp#
gcXekXe[\hl`gd\ekXi\^`m\eY\cfn1
Particulars Useful life (in years)
Buildings 30-60
Plant and equipment 5-15
=lie`kli\Xe[Ôokli\j 10
FøZ\\hl`gd\ek 5
M\_`Zc\j 5

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED
As part of transition from the previous GAAP, the
Group had elected to continue with the carrying
value for all of its property, plant and equipment
and intangible assets recognised in the previous
>88GXj[\\d\[ZfjkXkk_\kiXej`k`fe[Xk\%
3.13 Intangible assets
Intangible assets acquired separately
  @ekXe^`Yc\Xjj\kjn`k_Ôe`k\lj\]lcc`m\jk_XkXi\
acquired separately are carried at cost less
accumulated amortisation and accumulated
`dgX`id\ekcfjj\j%8dfik`jXk`fe`ji\Zf^e`j\[fe
a straight-line basis over their useful economic
life and assessed for impairment whenever there
is an indication that the intangible asset may be
`dgX`i\[%K_\\jk`dXk\[lj\]lcc`]\Xe[Xdfik`jXk`fe
method are reviewed at the end of each reporting
g\i`f[#n`k_k_\\ù\Zkf]XepZ_Xe^\j`e\jk`dXk\
Y\`e^XZZflek\[]fifeXgifjg\Zk`m\YXj`j%
@ekXe^`Yc\Xjj\kjn`k_`e[\Ôe`k\lj\]lcc`m\jk_Xk
are acquired separately are not amortised, but are
tested for impairment annually, either individually or
at the cash-generating unit level
Internally-generated intangible assets -
research and development expenditure
Expenditure on research activities is recognised as
Xe\og\ej\`ek_\g\i`f[`en_`Z_`k`j`eZlii\[%
An internally-generated intangible asset arising
from development (or from the development phase
of an internal project) is recognised if, and only if, all
f]k_\]fccfn`e^_Xm\Y\\e[\dfejkiXk\[1
Š the technical feasibility of completing the
intangible asset so that it will be available for
lj\fijXc\%
Š the intention to complete the intangible asset
and use or sell it;
Š the ability to use or sell the intangible asset;
 *%(+@dgX`id\ekf]efe$ÔeXeZ`XcXjj\kj
Š how the intangible asset will generate probable
]lkli\\Zfefd`ZY\e\Ôkj2
  Š the availability of adequate technical,
ÔeXeZ`XcXe[fk_\ii\jfliZ\jkfZfdgc\k\k_\
development and to use or sell the intangible
asset; and
  Š the ability to measure reliably the expenditure
attributable to the intangible asset during its
[\m\cfgd\ek%
195
The amount initially recognised for internally-
generated intangible assets is the sum of the
expenditure incurred from the date when the
`ekXe^`Yc\Xjj\kÔijkd\\kjk_\i\Zf^e`k`feZi`k\i`X
c`jk\[XYfm\%N_\i\ef`ek\ieXccp$^\e\iXk\[
intangible asset can be recognised, development
\og\e[`kli\`ji\Zf^e`j\[`ek_\jkXk\d\ekf]gifÔk
ficfjj`ek_\g\i`f[`en_`Z_`k`j`eZlii\[%
Subsequent to initial recognition, internally-
generated intangible assets are reported at cost
less accumulated amortisation and accumulated
impairment losses, on the same basis as intangible
Xjj\kjk_XkXi\XZhl`i\[j\gXiXk\cp%
Derecognition of intangible assets
An intangible asset is derecognised on disposal,
fin_\eef]lkli\\Zfefd`ZY\e\ÔkjXi\\og\Zk\[
]ifdlj\fi[`jgfjXc%>X`ejficfjj\jXi`j`e^]ifd
derecognition of an intangible asset, measured as
k_\[`ù\i\eZ\Y\kn\\ek_\e\k[`jgfjXcgifZ\\[j
and the carrying amount of the asset, and are
i\Zf^e`j\[`ek_\jkXk\d\ekf]gifÔkficfjjn_\e
k_\Xjj\k`j[\i\Zf^e`j\[%
Useful lives of intangible assets
Intangible assets comprising of product design,
gifkfkpg\j#\kZ%#\`k_\iXZhl`i\[fi`ek\ieXccp
developed are amortised over a period of 5 to 10
years, the estimated minimum useful life of the
i\cXk\[gif[lZkj%:fjkf]jf]knXi\`jXdfik`j\[
over a period of 3 years or less depending on the
\jk`dXk\[lj\]lcc`]\f]Xjj\k%K_\lj\]lcc`m\j]fi
`ekXe^`Yc\Xjj\kjXi\^`m\eY\cfn1
Particulars Useful life (in years)
Product designs, 5 to 10
gifkfkpg\j#\kZ%
Computer software 3
At the end of each reporting period, the Group
assesses, whether there is any indication that an
Xjj\kdXpY\`dgX`i\[%@]XepjlZ_`e[`ZXk`fe\o`jkj#
the recoverable amount of the asset is estimated
in order to determine the extent of the impairment
cfjj`]Xep %I\Zfm\iXYc\Xdflek`jk_\_`^_\if]
]X`imXcl\c\jjZfjkjf][`jgfjXcXe[mXcl\`elj\%
When it is not possible to estimate the recoverable
amount of an individual asset, the Group estimates
ANNUAL REPORT 2018-19
196
FINANCIAL STATEMENTS (CONSOLIDATED)
NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED
the recoverable amount of the cash-generating
le`kkfn_`Z_k_\Xjj\kY\cfe^j%N_\eXi\XjfeXYc\
Xe[Zfej`jk\ekYXj`jf]XccfZXk`feZXeY\`[\ek`Ô\[#
corporate assets are also allocated to individual
cash-generating units, or otherwise they are
allocated to the smallest group of cash-generating
units for which a reasonable and consistent
XccfZXk`feYXj`jZXeY\`[\ek`Ô\[%
In assessing value in use, the estimated future
cash flows are discounted to their present value
using a pre-tax discount rate that reflects current
market assessments of the time value of money
Xe[k_\i`jbjjg\Z`ÔZkfk_\Xjj\k%@e[\k\id`e`e^
fair value less costs of disposal, recent market
kiXejXZk`fejXi\kXb\e`ekfXZZflek%@]efjlZ_
kiXejXZk`fejZXeY\`[\ek`Ô\[#XeXggifgi`Xk\
mXclXk`fedf[\c`jlj\[%
The Company bases its impairment calculation on
detailed budgets and forecast calculations, which
are prepared separately for each of the Company’s
ZXj_^\e\iXk`e^le`k:>L %
If the recoverable amount of an asset (or cash-
generating unit) is estimated to be less than its
carrying amount, the carrying amount of the
asset (or cash-generating unit) is reduced to
`kji\Zfm\iXYc\Xdflek%8e`dgX`id\ekcfjj`j
i\Zf^e`j\[`dd\[`Xk\cp`egifÔkficfjj%N_\eXe
impairment loss subsequently reverses, the carrying
amount of the asset (or a cash-generating unit) is
increased to the revised estimate of its recoverable
amount, but so that the increased carrying amount
does not exceed the carrying amount that would
have been determined had no impairment loss been
recognised for the asset (or cash-generating unit)
`egi`fip\Xij%8i\m\ijXcf]Xe`dgX`id\ekcfjj`j
i\Zf^e`j\[`dd\[`Xk\cp`egifÔkficfjj%
  @ekXe^`Yc\Xjj\kjn`k_`e[\Ôe`k\lj\]lcc`m\jXe[
intangible assets not yet available for use are
tested for impairment at least annually, and
whenever there is an indication that the asset
dXpY\`dgX`i\[%@eXjj\jj`e^mXcl\`elj\#k_\
estimated future cash flows are discounted to their
present value using a pre-tax discount rate that
reflects current market assessments of the time
mXcl\f]dfe\pXe[k_\i`jbjjg\Z`ÔZkfk_\Xjj\k
for which the estimates of future cash flows have
efkY\\eX[aljk\[%
EICHER MOTORS LIMITED
3.15 Investment property
Investment property is a property held to earn
i\ekXcjXe[ZXg`kXcXggi\Z`Xk`fe%@em\jkd\ek
property is measured initially at cost, including
kiXejXZk`feZfjkj%JlYj\hl\ekkf`e`k`Xc
recognition, investment property is measured in
accordance with Ind AS 16’s requirements for cost
df[\c%K_\>iflg[\gi\Z`Xk\jYl`c[`e^Zfdgfe\ek
of investment property over 30 years from the
[Xk\f]ZXg`kXc`jXk`fe%
Investment properties are derecognised either
when they have been disposed of or when they
are permanently withdrawn from use and no future
\Zfefd`ZY\e\Ôk`j\og\Zk\[]ifdk_\`i[`jgfjXc%
K_\[`ù\i\eZ\Y\kn\\ek_\e\k[`jgfjXcgifZ\\[j
and the carrying amount of the asset is recognised
`egifÔkficfjj`ek_\g\i`f[f][\i\Zf^e`k`fe%
3.16 Inventories
Inventories comprising Raw materials, work-in-
progress, stores and spares, loose tools, traded
^ff[jXe[Ôe`j_\[^ff[jXi\jkXk\[Xkk_\cfn\if]
ZfjkXe[e\ki\Xc`jXYc\mXcl\%:fjkjf]`em\ekfi`\j
Xi\[\k\id`e\[feXdfm`e^Xm\iX^\%
Finished goods and work-in-progress include
appropriate proportion of manufacturing overheads
XkefidXcZXgXZ`kpXe[n_\i\Xggc`ZXYc\#[lkp%E\k
realisable value represents the estimated selling
price for inventories less all estimated costs of
Zfdgc\k`feXe[Zfjkje\Z\jjXipkfdXb\k_\jXc\%
3.17 Provisions
Provisions are recognised when the Group has
a present obligation (legal or constructive) as a
result of a past event, it is probable that the Group
will be required to settle the obligation, and a
reliable estimate can be made of the amount of
k_\fYc`^Xk`fe%
The amount recognised as a provision is the
best estimate of the consideration required to
settle the present obligation at the end of the
reporting period, taking into account the risks
Xe[leZ\ikX`ek`\jjliifle[`e^k_\fYc`^Xk`fe%
When a provision is measured using the cash flows
estimated to settle the present obligation, its
carrying amount is the present value of those cash
]cfnjn_\ek_\\ù\Zkf]k_\k`d\mXcl\f]dfe\p
`jdXk\i`Xc %

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED
Warranties
The estimated liability for product warranties is
i\Zfi[\[n_\egif[lZkjXi\jfc[%K_\j\\jk`dXk\j
are established using historical information on the
nature, frequency and average cost of warranty
claims and management estimates regarding
possible future incidence based on corrective
XZk`fejfegif[lZk]X`cli\j%K_\k`d`e^f]flk]cfnj
n`ccmXipXjXe[n_\enXiiXekpZcX`dn`ccXi`j\%
3.18 Financial instruments
  8
 ÔeXeZ`Xc`ejkild\ek`jXepZfekiXZkk_Xk^`m\j
i`j\kfXÔeXeZ`XcXjj\kf]fe\\ek`kpXe[XÔeXeZ`Xc
c`XY`c`kpfi\hl`kp`ejkild\ekf]Xefk_\i\ek`kp%
  = `eXeZ`XcXjj\kjXe[ÔeXeZ`Xcc`XY`c`k`\jXi\
recognised when the Group becomes a party to the
ZfekiXZklXcgifm`j`fejf]k_\`ejkild\ekj%
  = `eXeZ`XcXjj\kjXe[ÔeXeZ`Xcc`XY`c`k`\jXi\`e`k`Xccp
d\Xjli\[Xk]X`imXcl\%KiXejXZk`feZfjkjk_XkXi\
directly attributable to the acquisition or issue
f]ÔeXeZ`XcXjj\kjXe[ÔeXeZ`Xcc`XY`c`k`\jfk_\i
k_XeÔeXeZ`XcXjj\kjXe[ÔeXeZ`Xcc`XY`c`k`\jXk
]X`imXcl\k_ifl^_gifÔkficfjj Xi\X[[\[kffi
[\[lZk\[]ifdk_\]X`imXcl\f]k_\ÔeXeZ`XcXjj\kj
fiÔeXeZ`Xcc`XY`c`k`\j#XjXggifgi`Xk\#fe`e`k`Xc
i\Zf^e`k`fe%KiXejXZk`feZfjkj[`i\ZkcpXkki`YlkXYc\
kfk_\XZhl`j`k`fef]ÔeXeZ`XcXjj\kjfiÔeXeZ`Xc
c`XY`c`k`\jXk]X`imXcl\k_ifl^_gifÔkficfjjXi\
i\Zf^e`j\[`dd\[`Xk\cp`egifÔkficfjj%
3.19 Financial assets
  8
 cci\Zf^e`j\[ÔeXeZ`XcXjj\kjXi\jlYj\hl\ekcp
measured in their entirety at either amortised cost
fi]X`imXcl\k_ifl^_gifÔkXe[cfjjfi]X`imXcl\
through other comprehensive income, depending
fek_\ZcXjj`ÔZXk`fef]k_\ÔeXeZ`XcXjj\kj
  :cXjj`ÔZXk`fef]ÔeXeZ`XcXjj\kj
Debt instruments that meet the following conditions
are subsequently measured at amortised cost
(except for debt instruments that are designated at
]X`imXcl\k_ifl^_gifÔkficfjjfe`e`k`Xci\Zf^e`k`fe 1
Š t
he asset is held within a business model whose
objective is to hold assets in order to collect
contractual cash flows; and
  Š t
he contractual terms of the instrument give
i`j\fejg\Z`Ô\[[Xk\jkfZXj_]cfnjk_XkXi\
solely payments of principal and interest on
k_\gi`eZ`gXcXdflekflkjkXe[`e^%
197
Debt instruments that meet the following conditions
are subsequently measured at fair value through
fk_\iZfdgi\_\ej`m\`eZfd\È=MKF:@É \oZ\gk]fi
debt instruments that are designated at fair value
k_ifl^_gifÔkficfjjfe`e`k`Xci\Zf^e`k`fe 1
  Š t
he asset is held within a business model
whose objective is achieved both by collecting
ZfekiXZklXcZXj_]cfnjXe[j\cc`e^ÔeXeZ`Xc
assets; and
  Š t
he contractual terms of the instrument give
i`j\fejg\Z`Ô\[[Xk\jkfZXj_]cfnjk_XkXi\
solely payments of principal and interest on
k_\gi`eZ`gXcXdflekflkjkXe[`e^%
  @ek\i\jk`eZfd\`ji\Zf^e`j\[`egifÔkficfjj]fi
=MKF:@[\Yk`ejkild\ekj%
  8
 ccfk_\iÔeXeZ`XcXjj\kjXi\jlYj\hl\ekcp
d\Xjli\[Xk]X`imXcl\%
  <ù\Zk`m\`ek\i\jkd\k_f[
  K _\\ù\Zk`m\`ek\i\jkd\k_f[`jXd\k_f[f]
calculating the amortised cost of a debt instrument
and of allocating interest income over the relevant
g\i`f[%K_\\ù\Zk`m\`ek\i\jkiXk\`jk_\iXk\k_Xk
exactly discounts estimated future cash receipts
(including all fees and points paid or received that
]fidXe`ek\^iXcgXikf]k_\\ù\Zk`m\`ek\i\jkiXk\#
transaction costs and other premiums or discounts)
through the expected life of the debt instrument,
or, where appropriate, a shorter period, to the net
ZXiip`e^Xdflekfe`e`k`Xci\Zf^e`k`fe%
  @eZfd\`ji\Zf^e`j\[feXe\ù\Zk`m\`ek\i\jkYXj`j
]fi[\Yk`ejkild\ekjfk_\ik_Xek_fj\ÔeXeZ`Xc
Xjj\kjZcXjj`Ô\[Xk=MKGC%@ek\i\jk`eZfd\`j
i\Zf^e`j\[`egifÔkficfjjXe[`j`eZcl[\[`ek_\
Fk_\i`eZfd\c`e\`k\d%
  = `eXeZ`XcXjj\kjXk]X`imXcl\k_ifl^_gifÔk
or loss (FVTPL)
  @em\jkd\ekj`e\hl`kp`ejkild\ekjXi\ZcXjj`Ô\[
Xk=MKGC#lec\jjk_\>iflg`ii\mfZXYcp\c\Zkjfe
initial recognition to present subsequent changes
in fair value in other comprehensive income for
investments in equity instruments which are not
_\c[]fikiX[`e^%
Debt instruments that do not meet the amortised
ZfjkZi`k\i`Xfi=MKF:@Zi`k\i`XXi\d\Xjli\[Xk
=MKGC%@eX[[`k`fe#[\Yk`ejkild\ekjk_Xkd\\kk_\
ANNUAL REPORT 2018-19
198
FINANCIAL STATEMENTS (CONSOLIDATED)
NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED
Xdfik`j\[ZfjkZi`k\i`Xfik_\=MKF:@Zi`k\i`XYlk
Xi\[\j`^eXk\[Xk=MKGCXi\d\Xjli\[Xk=MKGC%
  8
 ÔeXeZ`XcXjj\kk_Xkd\\kjk_\Xdfik`j\[Zfjk
Zi`k\i`Xfi[\Yk`ejkild\ekjk_Xkd\\kk_\=MKF:@
Zi`k\i`XdXpY\[\j`^eXk\[Xk=MKGClgfe`e`k`Xc
recognition if such designation eliminates or
j`^e`ÔZXekcpi\[lZ\jXd\Xjli\d\ekfii\Zf^e`k`fe
inconsistency that would arise from measuring
assets or liabilities or recognising the gains and
cfjj\jfek_\dfe[`ù\i\ekYXj\j%
  = `eXeZ`XcXjj\kjXk=MKGCXi\d\Xjli\[Xk]X`imXcl\
at the end of each reporting period, with any gains
or losses arising on re-measurement recognised
`egifÔkficfjj%K_\e\k^X`eficfjji\Zf^e`j\[`e
gifÔkficfjj`eZfigfiXk\jXep[`m`[\e[fi`ek\i\jk
\Xie\[fek_\ÔeXeZ`XcXjj\kXe[`j`eZcl[\[`e
k_\Fk_\i`eZfd\c`e\`k\d%;`m`[\e[feÔeXeZ`Xc
Xjj\kjXk=MKGC`ji\Zf^e`j\[n_\ek_\>iflgj
right to receive the dividends is established, it is
gifYXYc\k_Xkk_\\Zfefd`ZY\e\ÔkjXjjfZ`Xk\[
with the dividend will flow to the entity, the dividend
does not represent a recovery of part of cost of
the investment and the amount of dividend can be
d\Xjli\[i\c`XYcp%
  @dgX`id\ekf]ÔeXeZ`XcXjj\kj
The Group applies the expected credit loss model
]fii\Zf^e`j`e^`dgX`id\ekcfjjfeÔeXeZ`XcXjj\kj
measured at amortised cost, debt instruments
Xk=MKF:@#kiX[\i\Z\`mXYc\j#fk_\iZfekiXZklXc
i`^_kjkfi\Z\`m\ZXj_fifk_\iÔeXeZ`XcXjj\k#Xe[
ÔeXeZ`Xc^lXiXek\\jefk[\j`^eXk\[Xk=MKGC%
The Group measures the loss allowance for a
ÔeXeZ`Xc`ejkild\ekXkXeXdflek\hlXckfk_\
lifetime expected credit losses if the credit risk on
k_XkÔeXeZ`Xc`ejkild\ek_Xj`eZi\Xj\j`^e`ÔZXekcp
j`eZ\`e`k`Xci\Zf^e`k`fe%
Further, for the purpose of measuring lifetime
expected credit loss allowance for trade
receivables, the Group has used a practical
\og\[`\ekXjg\id`kk\[le[\i@e[8J('0%K_`j
expected credit loss allowance is computed based
on historical credit loss experience and adjustments
]fi]finXi[cffb`e^`e]fidXk`fe%
  ;\i\Zf^e`k`fef]ÔeXeZ`XcXjj\kj
  K _\>iflg[\i\Zf^e`j\jXÔeXeZ`XcXjj\kn_\ek_\
contractual rights to the cash flows from the asset
EICHER MOTORS LIMITED
\og`i\#fin_\e`kkiXej]\ijk_\ÔeXeZ`XcXjj\kXe[
substantially all the risks and rewards of ownership
f]k_\Xjj\kkfXefk_\igXikp%
3.20 Financial liabilities and equity instruments
  :cXjj`ÔZXk`feXjÔeXeZ`Xcc`XY`c`kpfi\hl`kp
Debt and equity instruments issued by Group are
ZcXjj`Ô\[Xj\`k_\iÔeXeZ`Xcc`XY`c`k`\jfiXj\hl`kp`e
accordance with the substance of the contractual
XiiXe^\d\ekjXe[k_\[\Ôe`k`fejf]XÔeXeZ`Xc
c`XY`c`kpXe[Xe\hl`kp`ejkild\ek%
Equity instruments
An equity instrument is any contract that evidences
a residual interest in the assets of an entity after
[\[lZk`e^Xccf]`kjc`XY`c`k`\j%
Financial liabilities
Financial liabilities that are not held-for-trading
Xe[Xi\efk[\j`^eXk\[XjXk=MKGCXi\d\Xjli\[
at amortised cost at the end of subsequent
XZZflek`e^g\i`f[j%K_\ZXiip`e^Xdflekjf]
ÔeXeZ`Xcc`XY`c`k`\jk_XkXi\jlYj\hl\ekcpd\Xjli\[
at amortised cost are determined based on the
\ù\Zk`m\`ek\i\jkd\k_f[%@ek\i\jk\og\ej\k_Xk
is not capitalised as part of cost of an asset is
`eZcl[\[`ek_\=`eXeZ\Zfjkjc`e\`k\d%
  K _\\ù\Zk`m\`ek\i\jkd\k_f[`jXd\k_f[f]
ZXcZlcXk`e^k_\Xdfik`j\[Zfjkf]XÔeXeZ`Xcc`XY`c`kp
and of allocating interest expense over the relevant
g\i`f[%K_\\ù\Zk`m\`ek\i\jkiXk\`jk_\iXk\k_Xk
exactly discounts estimated future cash payments
(including all fees and points paid or received that
]fidXe`ek\^iXcgXikf]k_\\ù\Zk`m\`ek\i\jkiXk\#
transaction costs and other premiums or discounts)
k_ifl^_k_\\og\Zk\[c`]\f]k_\ÔeXeZ`Xcc`XY`c`kp%
  8
 ccÔeXeZ`Xcc`XY`c`k`\jXi\jlYj\hl\ekcpd\Xjli\[Xk
Xdfik`j\[Zfjklj`e^k_\\ù\Zk`m\`ek\i\jkd\k_f[
fiXk=MKGC%
  ;\i\Zf^e`k`fef]ÔeXeZ`Xcc`XY`c`k`\j
  K _\>iflg[\i\Zf^e`j\jÔeXeZ`Xcc`XY`c`k`\j
when, and only when, the Group’s obligations are
[`jZ_Xi^\[#ZXeZ\cc\[fi_Xm\\og`i\[%
3.21 Cash and cash equivalent
Cash and cash equivalent in the balance sheet
comprise cash at banks and on hand and short-
term deposits with an original maturity of three
dfek_jfic\jj#n_`Z_Xi\jlYa\ZkkfXe`ej`^e`ÔZXek
i`jbf]Z_Xe^\j`emXcl\%

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED
For the purpose of the statement of cash flows,
cash and cash equivalents consist of cash and
j_fik$k\id[\gfj`kj#Xj[\Ôe\[XYfm\#e\kf]
outstanding bank overdrafts as they are considered
Xe`ek\^iXcgXikf]k_\>iflgËjZXj_dXeX^\d\ek%
3.22 Cash flow statement
Cash flows are reported using the indirect method,
n_\i\YpgifÔk&cfjj Y\]fi\kXo`jX[aljk\[]fik_\
\ù\Zkjf]kiXejXZk`fejf]efe$ZXj_eXkli\Xe[Xep
deferrals or accruals of past or future cash receipts
figXpd\ekj%K_\ZXj_]cfnj]ifdfg\iXk`e^#
`em\jk`e^Xe[ÔeXeZ`e^XZk`m`k`\jf]k_\>iflgXi\
j\^i\^Xk\[YXj\[fek_\XmX`cXYc\`e]fidXk`fe%
3.23 Earnings per share
Basic earnings per share is computed by dividing
k_\gifÔkX]k\ikXoYpk_\n\`^_k\[Xm\iX^\eldY\i
f]\hl`kpj_Xi\jflkjkXe[`e^[li`e^k_\p\Xi%
Diluted earnings per share is computed by dividing
k_\gifÔkX]k\ikXoXjX[aljk\[]fi[`m`[\e[#`ek\i\jk
and other charges to expense or income relating to
the dilutive potential equity shares, by the weighted
average number of equity shares considered for
deriving basic earnings per share and the weighted
average number of equity shares which could
have been issued on the conversion of all dilutive
gfk\ek`Xc\hl`kpj_Xi\j%
199
3.24 Changes in accounting policies and disclosures
Ind AS 115 Revenue from Contracts with
Customers
Ind AS 115 Revenue from Contracts with Customers,
mandatory for reporting periods beginning on
or after April 1, 2018, replaces existing revenue
i\Zf^e`k`fei\hl`i\d\ekj%K_\>iflg_XjXggc`\[
df[`Ô\[i\kifjg\Zk`m\XggifXZ_`eX[fgk`e^k_\
e\njkXe[Xi[%Le[\ik_\df[`Ô\[i\kifjg\Zk`m\
XggifXZ_#k_\i\Xi\efj`^e`ÔZXekX[aljkd\ekj
i\hl`i\[kfk_\i\kX`e\[\Xie`e^jXk8gi`c(#)'(/%
Also, the application of Ind AS 115 does not
_Xm\Xepj`^e`ÔZXek`dgXZkfei\Zf^e`k`feXe[
measurement of revenue and related items in the
Zfejfc`[Xk\[ÔeXeZ`XcjkXk\d\ekj%
Appendix B to Ind AS 21 Foreign Currency
Transactions and Advance Considerations
  K _\Xgg\e[`oZcXi`Ô\jk_Xk#`e[\k\id`e`e^k_\jgfk
exchange rate to use on initial recognition of the
related asset, expense or income (or part of it)
on the derecognition of a non-monetary asset
or non-monetary liability relating to advance
consideration, the date of the transaction is the
date on which an entity initially recognises the
non-monetary asset or non-monetary liability
Xi`j`e^]ifdk_\X[mXeZ\Zfej`[\iXk`fe%@]k_\i\
are multiple payments or receipts in advance,
then the entity must determine the date of the
transactions for each payment or receipt of
X[mXeZ\Zfej`[\iXk`fe%K_`jXgg\e[`o[f\jefk
_Xm\Xepj`^e`ÔZXek`dgXZkfek_\Zfejfc`[Xk\[
ÔeXeZ`XcjkXk\d\ekj%
ANNUAL REPORT 2018-19
200
FINANCIAL STATEMENTS (CONSOLIDATED)

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

4. PROPERTY, PLANT AND EQUIPMENT

Particulars Freehold Buildings Plant and Furniture FøZ\ Vehicles Total

land* equipment Xe[Ôokli\j equipments
Cost
At March 31, 2017 /,%0, ))0%,( .0,%*, (+%'. -/%(* )0%-- (#)))%-.
Additions - ),+%/+ ,('%/, .%'* +(%// )'%.0 /*,%*0
Disposals / Adjustments - - *%*' '%'0 '%'. )%/' -%)-
At March 31, 2018 85.95 484.35 1,302.90 21.01 109.94 47.65 2,051.80
Additions - (-(%'' )0*%(0 .%+. *'%*/ )'%,- ,()%-'
Disposals / Adjustments - (%+0 +/%)) '%,. '%-) +%-+ ,,%,+
At March 31, 2019 85.95 643.86 1,547.87 27.91 139.70 63.57 2,508.86

Accumulated depreciation
At March 31, 2017 - ).%.- *'0%/* ,%/- *(%.0 ()%*' */.%,+
Charge for the year - (-%0* (-*%,- *%), (.%+, -%/0 )'/%'/
Disposals / Adjustments - - (%*+ '%'+ '%'+ (%,. )%00
At March 31, 2018 - 44.69 472.05 9.07 49.20 17.62 592.63
Charge for the year - ),%** )((%+. *%,( )*%/) ('%'- ).+%(0
Disposals / Adjustments - '%*/ +.%', '%)+ '%*. (%00 ,'%'*
At March 31, 2019 - 69.64 636.47 12.34 72.65 25.69 816.79

Carrying amount
At March 31, 2018 /,%0, +*0%-- /*'%/, ((%0+ -'%.+ *'%'* (#+,0%(.
At March 31, 2019 85.95 574.22 911.40 15.57 67.05 37.88 1,692.07

 !K`kc\[\\[j]ficXe[Xe[fk_\igifg\ik`\jXk8cnXiXe[A_XaaXiXi\g\e[`e^]fidlkXk`fe`e]Xmflif]k_\>iflg%

5. CAPITAL WORK-IN-PROGRESS

Particulars As at As at
March 31, 2019 March 31, 2018
Capital work-in-progress* 272.14 (+(%/0
272.14 (+(%/0

* Capital work in progress as at March 31, 2019 comprises expenditure for buildings, plant in the course of construction and
dXZ_`e\i`\jp\kkfY\`ejkXcc\[%

EICHER MOTORS LIMITED

 201

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

6. INVESTMENT PROPERTY

Particulars Building Total

Cost
At March 31, 2017 ('%() ('%()
Additions - -
Disposals - -
At March 31, 2018 10.12 10.12
Additions - -
Disposals - -
At March 31, 2019 10.12 10.12

Accumulated depreciation
At March 31, 2017 ,%0( ,%0(
Charge for the year '%*, '%*,
Disposals - -
At March 31, 2018 6.26 6.26
Charge for the year '%*, '%*,
Disposals - -
At March 31, 2019 6.61 6.61

Carrying amount
At March 31, 2018 *%/- *%/-
At March 31, 2019 3.51 3.51

Fair value of the Investment property

 K_\]X`imXcl\f]k_\>iflgj`em\jkd\ekgifg\ik`\jXjXkDXiZ_*(#)'(/Xe[DXiZ_*(#)'(0_Xm\Y\\eXii`m\[Xkfek_\
YXj`jf]mXclXk`feZXii`\[flkfek_\i\jg\Zk`m\[Xk\jYpDi%Glij_fkXdB_Xe[\cnXc#`e[\g\e[\ekmXcl\iefki\cXk\[kfk_\
>iflg%Di%Glij_fkXdB_Xe[\cnXc`jXi\^`jk\i\[mXcl\in`k_k_\Xlk_fi`kpn_`Z_^fm\iejk_\mXcl\ij`e@e[`X#Xe[k_\p_Xm\
Xggifgi`Xk\hlXc`ÔZXk`fejXe[\og\i`\eZ\`ek_\mXclXk`fef]gifg\ik`\j`ek_\i\c\mXekcfZXk`fe%

 =fik_\Yl`c[`e^cfZXk\[`eAX`gli#@e[`X#k_\]X`imXcl\f]jkilZkli\XjfeDXiZ_*(#)'(/Xe[DXiZ_*(#)'(0nXj[\k\id`e\[
YXj\[feJ%F%Ef%O$*&)'(,[Xk\[(,&'.&)'(,f]JkXk\G%N%;%9I`jjl\[Yp:_`\]<e^`e\\i#GN;9l`c[`e^Xe[IfX[j#
>fm\ied\ekf]IXaXjk_Xe#AX`glin`k_jl`kXYc\X[aljkd\ekj]fii`j\`eZfjk`e[\oj`eZ\Alcp)'(,kfXm\iX^\d\Xeg\i`f[f]
ZfejkilZk`fe%K_\`k\djefkZfm\i\[le[\iJkXe[`e^Fi[\iEf%O$*&)'(,_Xm\Y\\emXcl\[fek_\iXk\jf]JkXk\GN;9JI%

Detail of the investment properties and information about the fair value hierarchy as at March 31, 2019 and
March 31, 2018 are as follows :-

Particulars Level 2
Fair value as at Fair value as at
March 31, 2019 March 31, 2018
9l`c[`e^cfZXk\[XkAX`gli#@e[`X 4.33 +%+(

ANNUAL REPORT 2018-19

202
FINANCIAL STATEMENTS (CONSOLIDATED)

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Information regarding income and expenditure of Investment property

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Rental income derived from investment properties 0.26 )%0)
Direct operating expenses - -
GifÔkXi`j`e^]ifd`em\jkd\ekgifg\ik`\jY\]fi\[\gi\Z`Xk`feXe[`e[`i\Zk\og\ej\j 0.26 )%0)
C\jj1;\gi\Z`Xk`fe 0.35 '%*,
GifÔk&cfjj Xi`j`e^]ifd`em\jkd\ekgifg\ik`\jY\]fi\`e[`i\Zk\og\ej\j (0.09) )%,.

7. INTANGIBLE ASSETS

Particulars Product designs, Computer Total

prototypes etc. softwares
Cost
At March 31, 2017 ),%)' *.%(, -)%*,
Additions ,%-* (+%+/ )'%((
Disposals / Adjustments - '%', '%',
At March 31, 2018 30.83 51.58 82.41
Additions (+,%'. )(%'( (--%'/
Disposals / Adjustments '%'- '%(( '%(.
At March 31, 2019 175.84 72.48 248.32

Accumulated amortisation
At March 31, 2017 0%)' (0%.( )/%0(
Charge for the year *%/' ((%'. (+%/.
Disposals / Adjustments - '%'* '%'*
At March 31, 2018 13.00 30.75 43.75
Charge for the year ('%// (+%/- ),%.+
Disposals / Adjustments '%'( '%(- '%(.
At March 31, 2019 23.87 45.45 69.32

Carrying amount
At March 31, 2018 (.%/* )'%/* */%--
At March 31, 2019 151.97 27.03 179.00

8. INTANGIBLE ASSETS UNDER DEVELOPMENT

Particulars As at As at
March 31, 2019 March 31, 2018
Intangible assets under development* 177.60 (0(%*)
177.60 (0(%*)
!@ekXe^`Yc\Xjj\kjle[\i[\m\cfgd\ekdX`ecpZfej`jkjf]Zfjkf]e\ngif[lZkjle[\i[\m\cfgd\ek%

EICHER MOTORS LIMITED

 203

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

9. INVESTMENTS IN JOINT VENTURES

Particulars As at As at
March 31, 2019 March 31, 2018
Unquoted Investments
VE Commercial Vehicles Limited :
,+#+'#'''DXiZ_*(#)'(/1,+#+'#''' <hl`kpj_Xi\jf]Ij%('\XZ_]lccpgX`[lg
Cost of investment 5.44 ,%++
>iflgjj_Xi\f]e\kXjj\kj 1,938.48 (#.,/%/*
Sub-total (A) 1,943.92 (#.-+%).

Eicher Polaris Private Limited :

*)#+,#''#'''DXiZ_*(#)'(/1)0#+,#''#''' <hl`kpj_Xi\jf]Ij%('\XZ_]lccpgX`[lg
Cost of investment 324.50 )0+%,'
>iflgjj_Xi\f]e\kXjj\kj (324.50) )0+%,'
Sub-total (B) - -
Total (A+B) 1,943.92 (#.-+%).

` @eX[[`k`fekfk_\XYfm\`em\jkd\ek#k_\>iflg_XjdX[\Xe`em\jkd\ekf]Ij%)#,'#'''`eXaf`ekm\ekli\\ek`kp#<`Z_\i
>iflg=fle[Xk`feC`Z\ej\le[\iJ\Zk`fe/( f]k_\:fdgXe`\j8Zk#)'(* n_`Z__XjY\\eZ_Xi^\[kfk_\JkXk\d\ek
f]GifÔkXe[Cfjj`ek_\ÔeXeZ`Xcp\Xi)'(,$(-%

``  GlijlXekkfk_\[\Z`j`fef]k_\9fXi[f];`i\Zkfijf]k_\af`ekm\ekli\ZfdgXep#<`Z_\iGfcXi`jGi`mXk\C`d`k\[Xk
k_\`id\\k`e^_\c[feDXiZ_0#)'(/kfn`e[[fnek_\fg\iXk`fejn`k_`dd\[`Xk\\ù\Zk#k_\le[\icp`e^Zfejfc`[Xk\[
ÔeXeZ`XcjkXk\d\ekj`eZcl[\XeXdflekf]Ij%))'%',Zifi\jf]\oZ\gk`feXceXkli\i\gi\j\ek`e^k_\>iflgËjj_Xi\f]
cfjj]fik_\p\Xi\e[\[DXiZ_*(#)'(/%K_`j`eZcl[\[XeXdflekf]Ij%(.%+/Zifi\ji\Zfi[\[Ypk_\>iflgkfnXi[j`kj
j_Xi\f]Zfjkkfn`e[[fnek_\fg\iXk`feji\]\iefk\)' %

 ;li`e^k_\Zlii\ekp\Xi#k_\>iflg_Xji\Zfi[\[Ij%(.%,)Zifi\jf]\oZ\gk`feXceXkli\i\gi\j\ek`e^k_\>iflgËjj_Xi\
f]cfjj]fik_\p\Xi\e[\[DXiZ_*(#)'(0%K_`j`eZcl[\jXeXdflekf]Ij%,%''Zifi\jkfnXi[j`kjj_Xi\f]Zfjkkfn`e[
[fnek_\fg\iXk`feji\]\iefk\)' %

iii) Information relating to interest in joint ventures

a) Details of material joint ventures

Name of the Principal Activity Place of Proportion of ownership interest and

Company incorporation voting rights held by the group
and prinicpal As at As at
place of business March 31, 2019 March 31, 2019
M<:fdd\iZ`XcM\_`Zc\j Manufacturing and sales of India 54.40% ,+%+'
C`d`k\[ :fdd\iZ`XcM\_`Zc\j
Eicher Polaris Private Manufacturing and sales of India 50.00% ,'%''
C`d`k\[ personal utility vehicles

   K_\XYfm\af`ekm\ekli\jXi\XZZflek\[]filj`e^k_\\hl`kpd\k_f[`ek_\j\Zfejfc`[Xk\[ÔeXeZ`XcjkXk\d\ekj%

ANNUAL REPORT 2018-19

204
FINANCIAL STATEMENTS (CONSOLIDATED)

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

  Y  JlddXi`j\[ÔeXeZ`Xc`e]fidXk`fe`ei\jg\Zkf]k_\>iflgjdXk\i`Xcaf`ekm\ekli\j%
  K _\jlddXi`j\[ÔeXeZ`Xc`e]fidXk`feY\cfni\gi\j\ekjXdflekjj_fne`ek_\af`ekm\ekli\jÔeXeZ`XcjkXk\d\ekj
gi\gXi\[`eXZZfi[XeZ\n`k_@e[8JX[aljk\[Ypk_\>iflg]fi\hl`kpXZZflek`e^gligfj\j%

VE Commercial Vehicles Limited As at As at

March 31, 2019 March 31, 2018
Non-current assets 3,093.55 )#.'+%/.
Current assets 4,696.58 +#*(*%**
Non-current liabilities 218.12 )((%(.
Current liabilities 3,998.63 *#,-*%/,

VE Commercial Vehicles Limited For the year ended For the year ended
March 31, 2019 March 31, 2018
Revenue from operations 11,599.94 ('#))*%*+
GifÔk]fik_\p\Xi 475.00 +.(%-)
Fk_\iZfdgi\_\ej`m\`eZfd\]fik_\p\Xi (0.13) (%.+
Total comprehensive income for the year 474.87 +-0%//
Dividends received from the joint venture during the year 65.28 ,(%-/

I\ZfeZ`c`Xk`fef]k_\XYfm\jlddXi`\[ÔeXeZ`Xc`e]fidXk`fekfk_\ZXiip`e^Xdflekf]k_\`ek\i\jk
`ek_\af`ekm\ekli\i\Zf^e`j\[`ek_\Zfejfc[`Xk\[ÔeXeZ`XcjkXk\d\ekj

VE Commercial Vehicles Limited As at As at

March 31, 2019 March 31, 2018
Net assets of the joint venture 3,573.38 *#)+*%(/
Gifgfik`fef]k_\>iflgjfne\ij_`g`ek\i\jk`ek_\af`ekm\ekli\ 1,943.92 (#.-+%).
:Xiip`e^Xdflekf]k_\>iflgj`ek\i\jk`ek_\af`ekm\ekli\ 1,943.92 (#.-+%).

Eicher Polaris Private Limited As at As at

March 31, 2019 March 31, 2018
Non-current assets 0.21 )/%,*
Current assets 43.35 (/%*.
Non-current liabilities - -
Current liabilities 14.54 -(%/-

Eicher Polaris Private Limited For the year ended For the year ended
March 31, 2019 March 31, 2018
Revenue from operations (1.30) ).%,-
GifÔk&cfjj ]fik_\p\Xi (16.03) +)'%('
Fk_\iZfdgi\_\ej`m\`eZfd\]fik_\p\Xi - -
Total comprehensive income for the year (16.03) +)'%('

EICHER MOTORS LIMITED

 205

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

I\ZfeZ`c`Xk`fef]k_\XYfm\jlddXi`\[ÔeXeZ`Xc`e]fidXk`fekfk_\ZXiip`e^Xdflekf]k_\`ek\i\jk
`ek_\af`ekm\ekli\i\Zf^e`j\[`ek_\Zfejfc`[Xk\[ÔeXeZ`XcjkXk\d\ekj

Eicher Polaris Private Limited As at As at

March 31, 2019 March 31, 2018
Net assets of the joint venture 29.02 (+%0-
Gifgfik`fef]k_\>iflgjfne\ij_`g`ek\i\jk`ek_\af`ekm\ekli\ 14.51 .%+/
C\jj1$8dflekf]`ek\i\jk`ek_\af`ekm\ekli\efkZfej`[\i\[]fi (14.51) -
consolidation *
8[[1Gifm`j`fe]fiZfejkilZk`m\fYc`^Xk`fe[`jZcfj\[XjFk_\i - .%+/
=`eXeZ`XcC`XY`c`k`\j!
:Xiip`e^Xdflekf]k_\>iflgj`ek\i\jk`ek_\af`ekm\ekli\ - -
(refer note 20)

* As at the year end, the joint venture is in the process of winding up and the net assets will be fully utilised towards such winding
lg%8ZZfi[`e^cp#e\kXjj\kjf]k_\af`ekm\ekli\_XjefkY\\eZfejfc`[Xk\[%

FINANCIAL ASSETS :
10. INVESTMENTS

Particulars As at As at
March 31, 2019 March 31, 2018
Non-Current Current Non-Current Current
Unquoted Investments
(a) Investment in equity instruments of companies at fair value
k_ifl^_gifÔkficfjj=MKGC
 +#.,'DXiZ_*(#)'(/1+#.,' <hl`kpj_Xi\jf]JlipX[\m8ccfpj 0.09 - '%'0 -
Xe[Gfn\iGi`mXk\C`d`k\[
Sub-total (A) 0.09 - 0.09 -
Quoted Investments
Y  @em\jkd\ekj`edlklXc]le[jZXii`\[Xk]X`imXcl\k_ifl^_gifÔk 2,465.76 468.81 *#(*0%(+ -**%+'
ficfjj=MKGC
Sub-total (B) 2,465.76 468.81 *#(*0%(+ -**%+'

(c) Investment in bonds carried at amortised cost 43.94 - +*%0+ -

Sub-total (C) 43.94 - +*%0+ -
Total (A+B+C) 2,509.79 468.81 *#(/*%(. -**%+'

Aggregate carrying value of quoted investments 2,509.70 468.81 *#(/*%'/ -**%+'

Aggregate market value of quoted investments 2,511.63 468.81 *#(/,%/( -**%+'
Aggregate carrying value of unquoted investments 0.09 - '%'0 -

ANNUAL REPORT 2018-19

206
FINANCIAL STATEMENTS (CONSOLIDATED)

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Particulars As at As at
March 31, 2019 March 31, 2018
Non-Current Current Non-Current Current

Category-wise investments - as per Ind AS 109

:cXjj`ÔZXk`fej
=`eXeZ`XcXjj\kjZXii`\[Xk]X`imXcl\k_ifl^_gifÔkficfjj
(FVTPL)
Unquoted
Investment in equity instruments 0.09 - 0.09 -
Quoted
Investment in mutual funds 2,465.76 468.81 *#(*0%(+ -**%+'
Financial assets carried at amortised cost
Quoted
Investment in bonds 43.94 - +*%0+ -

11. LOANS

Particulars As at As at
March 31, 2019 March 31, 2018
Current
Lej\Zli\[#Zfej`[\i\[^ff[
 CfXejkf\dgcfp\\j 1.29 '%.'
Total 1.29 '%.'

12. OTHER FINANCIAL ASSETS

Particulars As at As at
March 31, 2019 March 31, 2018
Non-current
Unsecured, considered good
Security deposits 27.05 ))%,,
Total 27.05 ))%,,
Current
Unsecured, considered good
Security deposits 0.02 -
Insurance claim receivable 0.73 (%')
 @ek\i\jkXZZil\[feÔo\[[\gfj`kjXe[Yfe[j 70.08 )0%-/
 Fk_\ij 0.05 '%',
Total 70.88 *'%.,

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 207

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

13. INVENTORIES
(At lower of cost and net realisable value)

Particulars As at As at
March 31, 2019 March 31, 2018
Raw materials 166.09 (+'%00
R@eZcl[\j^ff[j`ekiXej`kf]Ij%+,%)*Zifi\jDXiZ_*(#)'(/1Ij%)/%.+Zifi\j T
Work in progress 21.68 (/%'(
Finished goods 383.49 )'*%-'
Traded goods 44.65 (/%',
Stores and spares 13.72 ((%.+
Cffj\kffcj 3.75 )%),
Total 633.38 *0+%-+

 Ni`k\$[fnejf]`em\ekfi`\jkfe\ki\Xc`jXYc\mXcl\i\jlck\[`ee\kcfjjf]Ij%-%(.Zifi\jDXiZ_*(#)'(/1Ij%+%/(Zifi\j %
K_\j\n\i\i\Zf^e`j\[XjXe\og\ej\[li`e^k_\p\Xi`ek_\JkXk\d\ekf]GifÔkXe[Cfjj%   
 $K_\df[\f]mXclXk`fef]`em\ekfi`\j_XjY\\ejkXk\[`eefk\*%(-%

14. TRADE RECEIVABLES

Particulars As at As at
March 31, 2019 March 31, 2018
Current
Considered good - secured 0.45 '%'-
Considered good - unsecured 89.89 -.%0+
Receivables - credit impaired 0.74 '%),
91.08 -/%),
C\jj1Gifm`j`fe]fi[flYk]lci\Z\`mXYc\j (0.74) '%),
Total 90.34 -/%''

EfkiX[\fifk_\ii\Z\`mXYc\Xi\[l\]ifd[`i\Zkfijfifk_\iføZ\ijf]k_\>iflg\`k_\ij\m\iXccpfiaf`ekcpn`k_Xepfk_\i
g\ijfe%EfiXepkiX[\fifk_\ii\Z\`mXYc\Xi\[l\]ifdÔidjfigi`mXk\ZfdgXe`\ji\jg\Zk`m\cp`en_`Z_Xep[`i\Zkfi`jX
gXike\i#X[`i\ZkfifiXd\dY\i%
All domestic sales are on advance payment basis, except for sale to distributors and certain institutional sales which carries
Zi\[`kg\i`f[dXo`dldkf-'[Xpj%
<ogfikjXc\jZXii`\jZi\[`kg\i`f[f]'kf0'[Xpj#[\g\e[`e^fek_\ZfekiXZklXck\idjn`k_i\jg\Zk`m\Zljkfd\ij%

ANNUAL REPORT 2018-19

208
FINANCIAL STATEMENTS (CONSOLIDATED)

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

15. CASH AND CASH EQUIVALENTS

Particulars As at As at
March 31, 2019 March 31, 2018
Cash on hand 0.04 '%'-
Cheques/drafts on hand - '%'-
Balances with banks:
In current accounts 34.94 0)%*+
In deposit accounts with original maturity of less than three months 692.00 -
Total 726.98 0)%+-

For the purpose of the statement of cash flows, cash and cash equivalents comprise the following:

Particulars As at As at
March 31, 2019 March 31, 2018
Cash on hand 0.04 '%'-
Cheques/drafts on hand - '%'-
Balances with banks:
In current accounts 34.94 0)%*+
In deposit accounts with original maturity of less than three months 692.00 -
Total 726.98 0)%+-
Bank overdrafts (refer note 21) 11.23 -
Total 715.75 0)%+-

:_Xe^\j`ec`XY`c`k`\jXi`j`e^]ifdÔeXeZ`e^XZk`m`k`\j

Particulars April 1, 2018 Net cash flows Others March 31, 2019
Short term borrowings (,'%/+ )+%-0 - 175.53
Interest accured but not due '%-' +%0- ,%.* 1.37
Dividend payable including tax on dividend - *+/%(- *+/%(- -
KfkXcc`XY`c`k`\j]ifdÔeXeZ`e^XZk`m`k`\j (,(%++ *)/%+* *,*%/0 176.90

16. OTHER BANK BALANCES

Particulars As at As at
March 31, 2019 March 31, 2018
In unpaid dividend accounts 12.31 ('%-'
Fe[\gfj`kXZZflekj
$ Fi`^`eXcdXkli`kpY\kn\\ek_i\\Xe[kn\cm\dfek_j 1,221.00 ,*/%0+
$ Fi`^`eXcdXkli`kp^i\Xk\ik_Xekn\cm\dfek_j 1,005.00 ,.'%''
Total 2,238.31 (#((0%,+

EICHER MOTORS LIMITED

 209

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

17. OTHER ASSETS

Particulars As at As at
March 31, 2019 March 31, 2018
Non-current
Unsecured, considered good
Capital advances 50.41 --%))
Share application money pending allotment 5.04 -
Balance with government authorities 7.98 .%+0
Prepayment land leases 87.24 //%),
  Fk_\igi\gXpd\ekj 2.37 (%0'
Total 153.04 (-*%/-
Current
Unsecured, considered good
Advance to suppliers 54.96 +,%0(
Advance to employees 5.70 +%/(
Prepaid expenses 19.00 ((%.+
Balance with government authorities
Considered good 89.91 ())%-0
Considered doubtful 1.11 (%((
91.02 ()*%/'
C\jj1Gifm`j`fe]fi[flYk]lcYXcXeZ\ (1.11) (%((
89.91 ())%-0
Gratuity fund (net) - '%+.
Prepayment land leases 0.95 '%/0
Government grant receivable 8.95 /%*-
  Fk_\igi\gXpd\ekj 0.81 '%-/
Total 180.28 (0,%,,

18. SHARE CAPITAL

(a) Equity share capital

Particulars As at As at
March 31, 2019 March 31, 2018
Authorised Equity share capital
*#''#''#'''DXiZ_*(#)'(/1*#''#''#''' <hl`kpj_Xi\jf]Ij%('\XZ_ 30.00 *'%''
Total 30.00 *'%''
Issued, subscribed and fully paid up
)#.)#/)#,.'DXiZ_*(#)'(/1)#.)#,,#,+0 <hl`kpj_Xi\jf]Ij%('\XZ_ 27.28 ).%)-
Total 27.28 ).%)-

 K_\>iflg_Xjfecpfe\ZcXjjf]\hl`kpj_Xi\j_Xm`e^XgXimXcl\f]Ij%('g\ij_Xi\%<XZ__fc[\if]\hl`kpj_Xi\j`j\ek`kc\[
kffe\mfk\g\ij_Xi\_\c[%@ek_\\m\ekf]c`hl`[Xk`fe#k_\\hl`kpj_Xi\_fc[\ijXi\\c`^`Yc\kfi\Z\`m\k_\i\dX`e`e^Xjj\kjf]
k_\:fdgXepX]k\i[`jki`Ylk`fef]Xccgi\]\i\ek`XcXdflek#`egifgfik`fekfk_\`ij_Xi\_fc[`e^%

ANNUAL REPORT 2018-19

210
FINANCIAL STATEMENTS (CONSOLIDATED)

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

(i) Reconciliation of the number of shares and amount outstanding at the beginning and at the end of the
reporting year:

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Nos. Rs. in Crores Efj% Ij%`e:ifi\j
At the beginning of the year 2,72,55,549 27.26 )#.)#('#)+0 ).%)(
@jjl\[[li`e^k_\p\Xi$<JFGi\]\iefk\+. 27,021 0.02 +,#*'' '%',
FlkjkXe[`e^Xkk_\\e[f]k_\p\Xi 2,72,82,570 27.28 )#.)#,,#,+0 ).%)-

(ii) Details of shareholders holding more than 5% equity shares in the Company:

Particulars As at As at
March 31, 2019 March 31, 2018
Nos. % holding in Efj% % holding in the
the class class
K_\J`diXeJ`[[_Xik_XKXiX9\e\ÔkKiljk 1,20,30,648 44.10% (#)'#*'#-+/ ++%(+

(iii) J_Xi\fgk`fej^iXek\[le[\ik_\>iflgj\dgcfp\\j_Xi\fgk`fegcXeZXiipefi`^_kjkf[`m`[\e[Xe[efmfk`e^i`^_kj%
=lik_\i[\kX`cjf]k_\\dgcfp\\j_Xi\fgk`fegcXeXi\gifm`[\[`eefk\+.%

(b) Preference share capital

Particulars As at As at
March 31, 2019 March 31, 2018
Authorised Preference share capital
(#'(#'''DXiZ_*(#)'(/1(#'(#''' I\[\\dXYc\gi\]\i\eZ\j_Xi\jf]Ij%(''\XZ_ 1.01 (%'(
Total 1.01 (%'(

 K_\>iflg_Xjefk`jjl\[Xepgi\]\i\eZ\j_Xi\ZXg`kXc%

19. OTHER EQUITY

Particulars As at As at
March 31, 2019 March 31, 2018
Capital reserves 0.25 '%),
Capital redemption reserve 1.41 (%+(
Securities premium reserve 115.11 -'%*.
General reserves 339.89 **0%/0
Share based payments reserve 58.75 ,0%/'
Foreign currency translation reserve 7.92 ()%-+
Retained earnings 8,368.11 -#,)/%+,
Total 8,891.44 .#'')%/(

EICHER MOTORS LIMITED

 211

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
A Capital reserve
 Fg\e`e^YXcXeZ\ 0.25 '%),
 8[[&C\jj1Dfm\d\ek[li`e^k_\p\Xi - -
Closing balance 0.25 '%),

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
B Capital redemption reserve
 Fg\e`e^YXcXeZ\ 1.41 (%+(
 8[[&C\jj1Dfm\d\ek[li`e^k_\p\Xi - -
Closing balance 1.41 (%+(

 K _\:Xg`kXci\[\dgk`fei\j\im\nXjZi\Xk\[Xkk_\k`d\f]YlpYXZbf]j_Xi\j%K_\>iflgZXelk`c`q\k_\jXd\]fik_\gligfj\f]`jjl\f]
]lccpgX`[$lgYfeljj_Xi\jkf`kjd\dY\ij%

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
C Securities premium reserve
 Fg\e`e^YXcXeZ\ 60.37 *)%'0
 8[[1GifZ\\[j]ifd`jjl\f]\hl`kpj_Xi\j 36.11 (0%++
 8[[1KiXej]\ii\[]ifdj_Xi\fgk`fejflkjkXe[`e^XZZflek 18.63 /%/+
Closing balance 115.11 -'%*.

 J
 \Zli`k`\jgi\d`ldi\j\im\`jlj\[kfi\Zfi[k_\gi\d`ldfe`jjl\f]j_Xi\j%K_\i\j\im\ZXeY\lk`c`j\[fecp]fic`d`k\[gligfj\jjlZ_Xj
`jjlXeZ\f]Yfeljj_Xi\j`eXZZfi[XeZ\n`k_k_\gifm`j`fejf]k_\:fdgXe`\j8Zk#)'(*%

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
D General reserves
 Fg\e`e^YXcXeZ\ 339.89 **0%/0
 8[[18dflekkiXej]\ii\[]ifdi\kX`e\[\Xie`e^j - -
Closing balance 339.89 **0%/0

 K _\^\e\iXci\j\im\`jlj\[]ifdk`d\kfk`d\kfkiXej]\igifÔkj]ifdi\kX`e\[\Xie`e^j]fiXggifgi`Xk`fegligfj\j%8jk_\^\e\iXci\j\im\
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
^\e\iXci\j\im\n`ccefkY\i\ZcXjj`Ô\[jlYj\hl\ekcpkfgifÔkficfjj%

ANNUAL REPORT 2018-19

212
FINANCIAL STATEMENTS (CONSOLIDATED)

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
E Share-based payments reserve
 Fg\e`e^YXcXeZ\ 59.80 +,%(*
 8[[1<JFG\og\ej\[li`e^k_\p\Xi 17.58 )*%,(
 C\jj1KiXej]\ii\[kfj\Zli`k`\jgi\d`ldfe`jjl\f]j_Xi\j 18.63 /%/+
Closing balance 58.75 ,0%/'
 K _\XYfm\i\j\im\i\cXk\jkfj_Xi\fgk`fej^iXek\[Ypk_\:fdgXepkfZ\ikX`e\dgcfp\\jle[\i`kj\dgcfp\\j_Xi\fgk`fegcXe%=lik_\i
`e]fidXk`feXYflkj_Xi\$YXj\[gXpd\ekjkf\dgcfp\\j`jj\kflk`eefk\+.%  

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
F Foreign currency translation reserve
 Fg\e`e^YXcXeZ\ 12.64 '%.+
 8[[1$\oZ_Xe^\[`ù\i\eZ\j`ekiXejcXk`e^k_\ÔeXeZ`XcjkXk\d\ekjf]]fi\`^efg\iXk`fej (4.72) ((%0'
Closing balance 7.92 ()%-+

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
G Retained earnings
 Fg\e`e^YXcXeZ\ 6,528.45 +#/0/%*,
 8[[1GifÔk]fik_\p\Xi 2,202.73 (#0,0%-.
 8[[1Fk_\i:fdgi\_\ej`m\`eZfd\1 (1.48) (%0*
]ifdI\d\Xjli\d\ekf][\Ôe\[Y\e\ÔkfYc`^Xk`fee\kf]`eZfd\kXo
 C\jj1;`m`[\e[Xdflekg\ij_Xi\Ij%(('DXiZ_*(#)'(/1Ij%('' 299.93 ).)%))
 C\jj1KXofe[`m`[\e[ 61.66 ,,%+)
Total appropriations 361.59 *).%-+
Balance at end of year 8,368.11 -#,)/%+,

FINANCIAL LIABILITIES :
20. OTHER FINANCIAL LIABILITIES

Particulars As at As at
March 31, 2019 March 31, 2018
Non-current
Security deposits received 9.99 /%//
Total 9.99 /%//
Current
Employee dues 76.80 -(%/.
Capital creditors 57.38 -0%(,
 LegX`[[`m`[\e[! 12.31 ('%-'
Interest accrued but not due 1.37 '%-'
Provision for constructive obligation towards the discontinued operations of a joint 5.00 (.%+/
venture (refer note 9 (ii))
 Fk_\ij 10.31 ('%*(
Total 163.17 (.'%'(

 !;f\jefk`eZcl[\XepXdflekjflkjkXe[`e^n_`Z_Xi\i\hl`i\[kfY\Zi\[`k\[kf@em\jkfi<[lZXk`feXe[Gifk\Zk`fe=le[%

EICHER MOTORS LIMITED

 213

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

21. BORROWINGS

Particulars As at As at
March 31, 2019 March 31, 2018
Secured
J_fik$k\idCfXe# 110.38 -+%/-
Unsecured
- From bank
  Fm\i[iX]k]XZ`c`kp! 11.23 -
  J_fik$k\idCfXe 65.15 /,%0/
Total 186.76 (,'%/+

#
J\Zli\[j_fikk\idcfXejf]jlYj`[`XipZfdgXepm`q%#IfpXc<eÔ\c[Efik_8d\i`ZXCk[XjXkDXiZ_*(#)'(0f]Ij%.-%.0Zifi\jDXiZ_*(#
)'(/1Ij%+)%)/Zifi\j #ZXiip`e^`ek\i\jk7C@9FI")%),g%X%k`ccJ\gk\dY\i)'(.Xe[C@9FI"(%.'g%X%]ifdFZkfY\i)'(.#Xe[IfpXc
<eÔ\c[9iXj`c:fd\iZ`f[\DfkfZ`Zc\kXjCk[XXjXkDXiZ_*(#)'(0f]Ij%**%,0Zifi\jDXiZ_*(#)'(/1Ij%))%,/Zifi\j #ZXiip`e^`ek\i\jk7
+%)(g%XDXiZ_*(#)'(/1*%*0g%X %K_\j\cfXejXi\X^X`ejk:figfiXk\>lXiXek\\^`m\eYpk_\?fc[`e^:fdgXep#<`Z_\iDfkfijC`d`k\[%

 !Lej\Zli\[cfXeZXii`\j`ek\i\jk7/%+,g\iXeeldXjXkDXiZ_*(#)'(0%

22. TRADE PAYABLES

Particulars As at As at
March 31, 2019 March 31, 2018
Total outstanding dues of micro enterprises and small enterprises
 ;l\jkfd`ZifXe[jdXcc\ek\igi`j\ji\]\iefk\+' 19.28 ).%(,
Sub-total (A) 19.28 ).%(,
Total outstanding dues of creditors other than micro enterprises and small enterprises
Acceptances 107.76 (('%()
 Fk_\ikiX[\gXpXYc\j 1031.48 0--%*-
 KiX[\gXpXYc\jkfi\cXk\[gXik`\ji\]\iefk\++ 75.53 -/%)*
Sub-total (B) 1,214.77 (#(++%.(
Total (A+B) 1,234.05 (#(.(%/-

 =fik\idjXe[Zfe[`k`fejg\ikX`e`e^kfi\cXk\[gXikp[l\j#i\]\iefk\++

23. PROVISIONS

Particulars As at As at
March 31, 2019 March 31, 2018
Non-current
 <dgcfp\\Y\e\Ôkj$i\]\iefk\` Y\cfn
  Fk_\i\dgcfp\\Y\e\Ôkj 4.23 *%//
Warranties - refer note (ii) below 18.77 ),%)+
Total 23.00 )0%()

ANNUAL REPORT 2018-19

214
FINANCIAL STATEMENTS (CONSOLIDATED)

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Particulars As at As at
March 31, 2019 March 31, 2018
Current
<dgcfp\\Y\e\Ôkj$i\]\iefk\` Y\cfn
Compensated absences 10.72 /%'-
Fk_\i\dgcfp\\Y\e\Ôkj 0.08 '%'+
Sub-total (A) 10.80 /%('

Warranties - refer note (ii) below 46.85 *0%((

Sub-total (B) 46.85 *0%((
Total (A+B) 57.65 +.%)(

 `  K_\gifm`j`fe]fi\dgcfp\\Y\e\Ôkj`eZcl[\j\Xie\[c\Xm\#j`Zbc\Xm\Xe[m\jk\[cfe^j\im`Z\i\nXi[%
(ii) Movement in warranties provision

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Fg\e`e^YXcXeZ\ 64.35 ,,%)(
Additions during the year 43.33 +.%*'
Amount utilised during the year 43.66 *0%/,
Len`e[`e^f][`jZflek 1.60 (%-0
Closing balance 65.62 -+%*,

 K_\gifm`j`fe]finXiiXekpZcX`dji\gi\j\ekjk_\gi\j\ekmXcl\f]k_\dXeX^\d\ekjY\jk\jk`dXk\f]k_\]lkli\\Zfefd`Z
Zfjkjk_Xkn`ccY\i\hl`i\[le[\ik_\>iflgjfYc`^Xk`fej]finXiiXek`\j%K_\\jk`dXk\_XjY\\edX[\fek_\YXj`jf]
historical warranty trends and may vary as a result of new materials, altered manufacturing processes or other events
Xù\Zk`e^gif[lZkhlXc`kp%

24. DEFERRED TAX LIABILITIES (NET)

Particulars As at As at
March 31, 2019 March 31, 2018
Deferred tax liabilities on
Property, plant and equipment and intangible assets 250.38 (,'%+/
 @em\jkd\ekjd\Xjli\[Xk=MKGC 46.25 ((%//
 Fk_\ij 0.68 '%0.
Sub-total (A) 297.31 (-*%**
Less: Deferred tax assets on
Accrued expenses deductible on payment 1.55 )%/'
Deferred revenue 10.73 ('%'/
 Gifm`j`fe]fiZfdg\ejXk\[XYj\eZ\jXe[fk_\i\dgcfp\\Y\e\Ôkj 3.75 )%.0
Provision for doubtful debts and advances 0.65 '%+.
 Fk_\ij 6.74 ,%((
Sub-total (B) 23.42 )(%),
Total (A-B) 273.89 (+)%'/

EICHER MOTORS LIMITED

 215

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Movement of deferred tax liabilities/assets

For the year ended March 31, 2019

Particulars Opening Recognized in Recognized Closing balance

balance gifÔkficfjj in other
comprehensive
income
Deferred tax liabilities on
Property, plant and equipment and intangible assets (,'%+/ 00%0' - ),'%*/
 @em\jkd\ekjd\Xjli\[Xk=MKGC ((%// *+%*. - +-%),
 Fk_\ij '%0. '%)0 - '%-/
Sub-total (A) 163.33 133.98 - 297.31
Less: Deferred tax assets on
Accrued expenses deductible on payment )%/' (%), - (%,,
Deferred revenue ('%'/ '%-, - ('%.*
Provision for compensated absences and other )%.0 '%0- *%.,
\dgcfp\\Y\e\Ôkj
 < oZ_Xe^\[`ù\i\eZ\j`ekiXejcXk`e^k_\ÔeXeZ`Xc - )%/' )%/' -
statements of foreign operations
 I\d\Xjli\d\ekf][\Ôe\[Y\e\ÔkfYc`^Xk`fe - '%+0 '%+0 -
Provision for doubtful debts and advances '%+. '%(/ - '%-,
 Fk_\ij ,%(( (%-* - -%.+
Sub-total (B) 21.25 (1.12) 3.29 23.42
Total (A-B) 142.08 135.10 (3.29) 273.89

For the year ended March 31, 2018

Particulars Fg\e`e^YXcXeZ\ Recognized in Recognized Closing balance

gifÔkficfjj in other
comprehensive
income
Deferred tax liabilities on
Property, plant and equipment and intangible assets /(%-. -/%/( - (,'%+/
 @em\jkd\ekjd\Xjli\[Xk=MKGC /%'( *%/. - ((%//
 Fk_\ij (%)/ '%*( - '%0.
Sub-total (A) 0'%0- .)%*. - (-*%**
Less: Deferred tax assets on
Accrued expenses deductible on payment *%)- '%+- - )%/'
Deferred revenue - ('%'/ - ('%'/
Provision for compensated absences and other *%-' '%/( )%.0
\dgcfp\\Y\e\Ôkj
 < oZ_Xe^\[`ù\i\eZ\j`ekiXejcXk`e^k_\ÔeXeZ`Xc - -%*. -%*. -
statements of foreign operations
 I\d\Xjli\d\ekf][\Ôe\[Y\e\ÔkfYc`^Xk`fe - '%-' '%-' -
Provision for doubtful debts and advances '%+. - - '%+.
 Fk_\ij ,%/- '%.0 '%'+ ,%((
Sub-total (B) (*%(0 (*%.0 ,%.* )(%),
Total (A-B) ..%.. ,/%,/ ,%.* (+)%'/

 8kDXiZ_*(#)'(0#k_\i\nXjefi\Zf^e`j\[[\]\ii\[kXoc`XY`c`kpDXiZ_*(#)'(/1E`c ]fikXo\jk_Xknflc[Y\gXpXYc\fe
k_\lei\d`kk\[\Xie`e^jf]Z\ikX`ef]k_\>iflgËjaf`ekm\ekli\%K_\>iflg_Xj[\k\id`e\[k_Xkle[`jki`Ylk\[gifÔkjf]`kj
af`ekm\ekli\jn`ccefkY\[`jki`Ylk\[`ek_\]fi\j\\XYc\]lkli\%K_\>iflgËjaf`ekm\ekli\jn`ccefk[`jki`Ylk\`kjgifÔkjlek`c`k
fYkX`ejk_\Zfej\ek]ifdXccm\ekli\gXike\ij%

ANNUAL REPORT 2018-19

216
FINANCIAL STATEMENTS (CONSOLIDATED)

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

25. CURRENT TAX LIABILITY / (ASSETS)

Particulars As at As at
March 31, 2019 March 31, 2018
Tax liabilities
Provision for current tax (net) 141.48 ('/%')
Total 141.48 ('/%')
Tax assets
Advance income tax (net) 18.44 (/%++
Total 18.44 (/%++

26. OTHER LIABILITIES

Particulars As at As at
March 31, 2019 March 31, 2018
Non-current
Deferred revenue arising from Government grant - refer note (i) below 62.66 +-%/+
 Fk_\ij 0.47 -
Total 63.13 +-%/+
Current
Contract liability 77.79 )/'%*+
Advance from customers 93.24 (+'%.(
Deferred revenue arising from Government grant - refer note (i) below 11.58 ('%(*
Deferred revenue 30.70 )0%(*
JkXklkfipi\d`kkXeZ\jZfeki`Ylk`fejkfG=Xe[<J@:#n`k__fc[`e^kXo\j#>JK#\kZ% 90.39 (+-%')
Fk_\ij 11.29 ('%0.
Total 314.99 -(.%*'

`  K_\[\]\ii\[i\m\el\Xi`j\jXjXi\jlckf]1

  X K _\Y\e\Ôki\Z\`m\[Ypk_\Le`k\[B`e^[fdLB 9iXeZ_f]k_\:fdgXep]ifdk_\>fm\ied\ekf]LB$;\gXikd\ek]fi
9lj`e\jj@eefmXk`feJb`ccjXe[;\gXikd\ek]fi?\iDXa\jkpjI\m\el\:ljkfdj%

  Y I
 \gi\j\ekj^fm\ied\ekXjj`jkXeZ\`ek_\]fidf]k_\[lkpY\e\ÔkXmX`c\[le[\i<ogfikGifdfk`fe:Xg`kXc>ff[j<G:> 
JZ_\d\fegliZ_Xj\f]gifg\ikp#gcXekXe[\hl`gd\ekjXZZflek\[]fiXj^fm\ied\ek^iXek%

   K_\j\^iXekjn`ccY\i\Zf^e`q\[`ejkXk\d\ekf]gifÔkXe[cfjjfeXjpjk\dXk`ZYXj`jfm\ik_\lj\]lcc`]\f]k_\i\cXk\[Ôo\[Xjj\kj%

27. REVENUE FROM OPERATIONS

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Revenue from operations
Sale of products
Manufactured goods (including excise duty)* 9,295.67 /#/,)%.-
Traded goods 421.77 *))%+'
Sub-total (A) 9,717.44 0#(.,%(-

EICHER MOTORS LIMITED

 217

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Other operating revenue
Government grant (Export incentives)** 21.03 (.%,/
Scrap sale 24.99 ))%(.
Income from other operating revenues 33.60 +%*,
Sub-total (B) 79.62 ++%('
Total (A+B) 9,797.06 0#)(0%)-

!:fej\hl\ekkfk_\`ekif[lZk`fef]>ff[jXe[J\im`Z\jKXo>JK n`k_\ù\Zk]ifdAlcp(#)'(.#<oZ`j\;lkp#MXcl\8[[\[KXoM8K \kZ#_Xm\

Y\\ejlYjld\[`ekf>JK%@eXZZfi[XeZ\n`k_@e[8J$(/&@e[8J$((,Xe[JZ_\[lc\@@@f]k_\:fdgXe`\j8Zk#)'(*#lec`b\<oZ`j\;lkp#c\m`\j
c`b\>JKXi\efkZfej`[\i\[kfY\XgXikf]I\m\el\]ifdfg\iXk`fej%8ZZfi[`e^cp#k_\Ô^li\j]fik_\Ôijkk_i\\dfek_jf]k_\gi\m`fljp\Xi#
`%\#8gi`c)'(.kfAle\)'(.#`eZcl[\j<oZ`j\;lkpfejXc\j%<oZ`j\;lkpfejXc\jXdflek`e^kfIj%),+%*'Zifi\j_XjY\\e[`jZcfj\[j\g\iXk\cp
`ek_\jkXk\d\ekf]gifÔkXe[cfjj%
!!>fm\ied\ek^iXekj_Xm\Y\\ei\Z\`m\[]fik_\gliZ_Xj\f]Z\ikX`e`k\djf]gifg\ikp#gcXekXe[\hl`gd\ek%K_\i\Xi\efle]lcÔcc\[
Zfe[`k`fejfiZfek`e^\eZ`\jXkkXZ_\[kfk_\j\^iXekj%

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Details of products sold
Manufactured goods
Two wheelers 8,693.19 /#*))%'/
Spare parts and other components 602.48 ,*'%-/
Total 9,295.67 /#/,)%.-
Traded goods
Two wheelers - '%)-
Accessories and other allied products 421.77 *))%(+
Total 421.77 *))%+'

28. OTHER INCOME

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
@ek\i\jk`eZfd\feÔeXeZ`XcXjj\kjZXii`\[XkXdfik`q\[Zfjk
Bank deposits and bonds 128.98 *.%-+
 Fk_\ij 1.38 (%.)
130.36 *0%*-
E\k^X`efeÔeXeZ`Xc`ejkild\ekjXk]X`imXcl\k_ifl^_gifÔkficfjj 288.68 )*,%')
Other non-operating income
Rent income (refer note 6) 0.26 )%0)
 Fk_\i`eZfd\ 23.89 )%(+
 GifÔkfejXc\f]gifg\ikp#gcXekXe[\hl`gd\ek 0.20 '%)0
Exchange gain (net) - '%*.
24.35 ,%.)
Total 443.39 )/'%('

ANNUAL REPORT 2018-19

218
FINANCIAL STATEMENTS (CONSOLIDATED)

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

29. COST OF MATERIALS CONSUMED

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Inventory at the beginning of the year 140.99 ()(%,+
8[[1GliZ_Xj\j 5,129.35 +#,0,%-.
5,270.34 +#.(.%)(
C\jj1@em\ekfipXkk_\\e[f]k_\p\Xi 166.09 (+'%00
C\jj1DXk\i`XcZfjkf]m\_`Zc\jZXg`kXc`j\[ 2.10 (%.(
5,102.15 +#,.+%,(
C\jj1JXc\f]iXndXk\i`Xcjkfjlggc`\ijfeZfjkkfZfjkYXj`j 46.26 ,/%0(
Total 5,055.89 +#,(,%-'

30. PURCHASES OF TRADED GOODS

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Two wheelers - -%,.
Accessories and other allied products 211.65 (,,%(0
Total 211.65 (-(%.-

31. CHANGE IN INVENTORIES OF FINISHED GOODS, WORK-IN-PROGRESS AND TRADED GOODS

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Inventories at the end of the year
Finished goods 383.49 )'*%-'
Work-in-progress 21.68 (/%'(
Traded goods 44.65 (/%',
A 449.82 )*0%--
Inventories at the beginning of the year/period
Finished goods 203.60 (-/%).
Work-in-progress 18.01 (+%0'
Traded goods 18.05 ))%-)
B 239.66 )',%.0
Net change (B-A) (210.16) **%/.

32. EMPLOYEE BENEFITS EXPENSES

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Salaries, wages and bonus 604.06 +.)%0,
:feki`Ylk`fekfgifm`[\ekXe[fk_\i]le[ji\]\iefk\+( 32.03 )*%*0
J_Xi\$YXj\[gXpd\ekji\]\iefk\+. 15.39 )*%,(
JkXùn\c]Xi\\og\ej\j 50.96 ,*%/*
Total 702.44 ,.*%-/

EICHER MOTORS LIMITED

 219

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

33. FINANCE COSTS

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Interest expense
 FeY`ccj[`jZflek`e^ 0.48 '%)'
 Fefk_\iYfiifn`e^j 5.25 *%+,
5.73 *%-,
Len`e[`e^f][`jZflekfegifm`j`fej 1.60 (%-0
Total 7.33 ,%*+

34. DEPRECIATION AND AMORTIZATION EXPENSES

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
;\gi\Z`Xk`fefegifg\ikp#gcXekXe[\hl`gd\eki\]\iefk\+ 274.19 )'/%'/
Depreciation of investment property (refer note 6) 0.35 '%*,
8dfik`qXk`fef]`ekXe^`Yc\Xjj\kji\]\iefk\. 25.74 (+%/.
Total 300.28 ))*%*'

35. OTHER EXPENSES

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Consumption of Stores and machinery spares (including loose tools and packing material) 169.63 (+0%*-
;\Zi\Xj\f]\oZ`j\[lkpfeÔe`j_\[^ff[j - /%*+
CfjjfejXc\f]gifg\ikp#gcXekXe[\hl`gd\ekXe[`ekXe^`Yc\Xjj\kj 1.13 (%''
Property, plant and equipment discarded 3.00 '%'+
Power and fuel 66.96 ,)%+(
Insurance 13.24 ((%..
Repairs and maintenance
Buildings 3.48 *%*(
Plant and equipment 44.94 *.%,*
 Fk_\ij 45.44 )/%0'
Rates and taxes 6.07 -%*(
Advertisement 30.36 (-%+'
Freight and handling charges 143.61 (*+%*.
Incentives 7.31 (-%,'
Warranty 43.33 +.%*'
Fk_\ij\cc`e^Xe[[`jki`Ylk`fe\og\ej\j 196.01 (..%0)
Rent 48.69 *0%-'
C\^XcXe[gif]\jj`feXcZ_Xi^\j! 58.46 *'%.,
Travelling expenses 93.57 .*%-+
Development expenses 13.59 ('%,+
:figfiXk\jfZ`Xci\jgfej`Y`c`kp\og\e[`kli\i\]\iefk\+0 45.39 *'%/,
Provision for doubtful debts and advances 0.49 -
Exchange loss (net) 3.81 -
Miscellaneous expenses 95.62 /'%''
Total 1,134.13 940.16

ANNUAL REPORT 2018-19

220
FINANCIAL STATEMENTS (CONSOLIDATED)

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

* Including payment to auditors as below (excluding GST & Service tax) :

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
As auditors:
a) For Audit 0.25 '%),
Y  =fiC`d`k\[i\m`\njf]leXl[`k\[ÔeXeZ`Xci\jlckj 0.15 '%(,
c) For other services 0.04 '%'.
d) For reimbursement of expenses 0.03 '%'*
Total 0.47 '%,'
In other capacity:
a) For other services 0.11 '%'-
Total 0.11 '%'-

36. INCOME TAX RECOGNIZED IN STATEMENT OF PROFIT AND LOSS

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Current tax
In respect of the current year 941.94 /..%*,
Sub-total (A) 941.94 /..%*,
Deferred tax
 I\cXk`e^kffi`^`eXk`feXe[i\m\ijXcf]k\dgfiXip[`ù\i\eZ\j 135.10 ,/%,/
Sub-total (B) 135.10 ,/%,/
Total income tax expense recognized in the current year Total (A+B) 1,077.04 0*,%0*

 K_\`eZfd\kXo\og\ej\]fik_\p\XiZXeY\i\ZfeZ`c\[kfk_\XZZflek`e^gifÔkXj]fccfnj1

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
GifÔkY\]fi\kXoXe[X]k\ij_Xi\f]gifÔkf]Af`ekm\ekli\]ifdZfek`el`e^fg\iXk`fe 3,297.29 *#((,%-,
@eZfd\kXo\og\ej\ZXcZlcXk\[Xk*+%0++)'(.$(/1*+%-'/ 1,152.20 (#'./%).
<ù\Zkfecfe^$k\idZXg`kXc^X`e]ifd`em\jkd\ek`edlklXc]le[j 1.04 ,/%).
<ù\Zkf]X[[`k`feXc[\[lZk`fef]i\j\XiZ_Xe[gif[lZk[\m\cfgd\ekZfjk (17.25) -%,+
<ù\Zkf]<JFG\og\ej\jefk[\[lZk`Yc\`e[\k\id`e`e^kXoXYc\gifÔkj 4.96 -%).
<ù\Zkf]`eZfd\\o\dgk]ifdkXoXk`fe (1.04) (%'*
Deferred tax asset not created on carried forward business loss of subsidiary companies 14.85 (.%'-
@dgXZkf]j_Xi\f]gifÔkf]af`ekm\ekli\`eZcl[\[`egifÔkY\]fi\kXo (90.30) (88.79)
Fk_\ij 12.57 ((%'+
1,077.04 0*,%0*
@eZfd\kXo\og\ej\i\Zf^e`j\[`ejkXk\d\ekf]gifÔkXe[cfjj 1,077.04 0*,%0*
Income tax rate :
Basic rate 30.000% *'%'''
Surcharge - 12% (applied on basic rate) 3.600% *%-''
:\jj$+DXiZ_*(#)'(/1* Xggc`\[feYXj`ZgcljjliZ_Xi^\ 1.344% (%''/
34.944% *+%-'/

EICHER MOTORS LIMITED

 221

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Income tax recognized in other comprehensive income

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
;\]\ii\[kXoZ_Xi^\&Y\e\Ôk
8i`j`e^fe`eZfd\Xe[\og\ej\ji\Zf^e`q\[`efk_\iZfdgi\_\ej`m\`eZfd\1
 <oZ_Xe^\[`ù\i\eZ\j`ekiXejcXk`e^k_\ÔeXeZ`XcjkXk\d\ekjf]]fi\`^efg\iXk`fej (2.80) -%*.
 I\d\Xjli\d\ekf][\Ôe\[Y\e\ÔkfYc`^Xk`fe (0.49) '%-'
Total income tax recognized in other comprehensive income Total (3.29) ,%..
Bifurcation of the income tax recognised in other comprehensive income into:
 @k\djk_XkdXpY\i\ZcXjj`Ô\[kfgifÔkficfjj (2.80) -%*.
 @k\djk_Xkn`ccefkY\i\ZcXjj`Ô\[kfgifÔkficfjj (0.49) '%-'
Total (3.29) ,%..

37. <jk`dXk\[Xdflekf]ZfekiXZkji\dX`e`e^kfY\\o\Zlk\[feZXg`kXcXZZflekXe[efkgifm`[\[]fiIj%)0'%/,Zifi\j
DXiZ_*(#)'(/1Ij%).*%''Zifi\j %
The Group has other commitments, for purchase/sales orders which are issued after considering requirements per operating
ZpZc\]figliZ_Xj\&jXc\f]^ff[jXe[j\im`Z\j#\dgcfp\\ËjY\e\Ôkj`eZcl[`e^le`feX^i\\d\ek`eefidXcZflij\f]Ylj`e\jj%
The Group does not have any long term commitments or material non-cancellable contractual commitments/contracts,
n_`Z_d`^_k_Xm\dXk\i`Xc`dgXZkfek_\ÔeXeZ`XcjkXk\d\ekj%

38. RESEARCH AND DEVELOPMENT EXPENSES

 I\m\el\\og\e[`kli\fei\j\XiZ_Xe[[\m\cfgd\ek`eZlii\[Xe[\og\ej\[fù[li`e^k_\p\Xik_ifl^_k_\Xggifgi`Xk\
_\X[jf]XZZflekX^^i\^Xk\Ij%++%--Zifi\jDXiZ_*(#)'(/1Ij%*(%*/Zifi\j %K_\ZXg`kXc\og\e[`kli\`eZlii\[[li`e^k_\
p\Xi]fii\j\XiZ_Xe[[\m\cfgd\ekgligfj\jX^^i\^Xk\Ij%*('%)/Zifi\jDXiZ_*(#)'(/1Ij%)'-%(/Zifi\j %

39. CONTINGENT LIABILITIES NOT PROVIDED FOR

Particulars As at As at
March 31, 2019 March 31, 2018
X  @ei\jg\Zkf]k_\]fccfn`e^1
- Excise duty matters 2.52 (%.)
- Sales tax matters 6.50 -%*/
- Service tax matters 0.39 '%*0
- Customs duty matters 3.48 *%+/
b) Claims against the Group not acknowledged as debts 8.68 ,%)*
c) Contingent liabilities arising from its interests in joint ventures 101.24 (*(%'-

 8cck_\XYfm\dXkk\ijXi\jlYa\Zkkfc\^XcgifZ\\[`e^j`ek_\fi[`eXipZflij\f]Ylj`e\jj%K_\c\^XcgifZ\\[`e^n_\e
lck`dXk\cpZfeZcl[\[n`ccefk#`ek_\fg`e`fef]dXeX^\d\ek#_Xm\XdXk\i`Xc\ù\Zkfek_\i\jlckf]fg\iXk`fejfik_\
ÔeXeZ`Xcgfj`k`fef]k_\>iflg%

There are numerous interpretation issues relating to the Supreme Court judgement on Provident Fund dated February 28,
)'(0%>`m\ek_\leZ\ikX`ekpf]k_\`dgXZkf]jlZ_dXkk\i#k_\:fdgXepn`ccZi\Xk\Xgifm`j`feX]k\ii\Z\`m`e^]lik_\iZcXi`kp%

ANNUAL REPORT 2018-19

222
FINANCIAL STATEMENTS (CONSOLIDATED)

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

40. DISCLOSURES REQUIRED UNDER SECTION 22 OF THE MICRO, SMALL AND MEDIUM
ENTERPRISES DEVELOPMENT ACT, 2006

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
(i) Principal amount remaining unpaid to any supplier as at the end of the accounting year 18.95 )-%0,
(ii) Interest due thereon remaining unpaid to any supplier as at the end of the 0.01 -
accounting year
(iii) The amount of interest paid along with the amounts of the payment made to the 26.22 0%/0
supplier beyond the appointed day
(iv) The amount of interest due and payable for the year 0.12 '%'.
(v) The amount of interest accrued and remaining unpaid at the end of the 0.33 '%)'
accounting year
(vi) The amount of further interest due and payable even in the succeeding year, until - -
such date when the interest dues as above are actually paid

41. EMPLOYEE BENEFIT PLANS

 K_\[\kX`cjf]mXi`flj\dgcfp\\Y\e\Ôkjgifm`[\[kf\dgcfp\\jXi\Xjle[\i1
8% ;\Ôe\[:feki`Ylk`feGcXej

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
;\kX`cf]Xdfleki\Zf^e`q\[Xj\og\ej\]fi[\Ôe\[Zfeki`Ylk`fegcXej`j^`m\eY\cfn1
a) Provident fund* 20.06 (,%,-
b) Superannuation fund 0.49 '%+0
c) Employee State Insurance Corporation 4.67 +%..
[  Fk_\i]le[j 13.03 /%/,
Total 38.25 )0%-.
 ! `eZcl[\jIj%(%*-Zifi\jDXiZ_*(#)'(/1Ij%'%('Zifi\ ZXg`kXc`q\[[li`e^k_\p\XiXe[Ij%+%/-Zifi\jDXiZ_*(#)'(/1Ij%-%(/Zifi\j 
Zfej`[\i\[`egi\$fg\iXk`m\\og\e[`kli\g\e[`e^XccfZXk`fe %

 F
 lkf]k_\kfkXcZfeki`Ylk`fedX[\]fi\dgcfp\\jËgifm`[\ek]le[#Ij%+%.(Zifi\jDXiZ_*(#)'(/1Ij%*%,,Zifi\j `jdX[\kf<`Z_\i<o\Zlk`m\
Gifm`[\ek=le[Kiljk#n_`c\k_\i\dX`e[\iZfeki`Ylk`fe_XjY\\edX[\kf^fm\ied\ekX[d`e`jk\i\[gifm`[\ek]le[%

9% ;\Ôe\[9\e\ÔkGcXej1
 K_\;\Ôe\[Y\e\ÔkgcXef]k_\>iflg`eZcl[\j\ek`kc\d\ekf]^iXkl`kpXe[gifm`[\ek]le[jZ_\d\%

 K_`jgcXekpg`ZXccp\ogfj\k_\>iflgkfXZklXi`Xci`jbjjlZ_Xj1`em\jkd\eki`jb#`ek\i\jkiXk\i`jb#cfe^\m`kpi`jbXe[jXcXipi`jb

Investment Risk K_\gi\j\ekmXcl\f]k_\[\Ôe\[Y\e\ÔkgcXec`XY`c`kp`jZXcZlcXk\[lj`e^X[`jZflekiXk\n_`Z_`j[\k\id`e\[Yp

i\]\i\eZ\kfdXib\kp`\c[jXkk_\\e[f]k_\i\gfik`e^g\i`f[fe^fm\ied\ekYfe[j%
Interest Risk 8[\Zi\Xj\`ek_\Yfe[`ek\i\jkiXk\n`cc`eZi\Xj\k_\gcXec`XY`c`kp2_fn\m\i#k_`jn`ccY\gXik`Xccpfùj\kYpXe`eZi\Xj\`e
k_\i\kliefek_\gcXej[\Yk`em\jkd\ekj%
Cfe^\m`kpI`jb K_\gi\j\ekmXcl\f]k_\[\Ôe\[Y\e\ÔkgcXec`XY`c`kp`jZXcZlcXk\[Ypi\]\i\eZ\kfk_\Y\jk\jk`dXk\f]k_\dfikXc`kp
f]gcXegXik`Z`gXekjYfk_[li`e^Xe[X]k\ik_\`i\dgcfpd\ek%8e`eZi\Xj\`ek_\c`]\\og\ZkXeZpf]k_\gcXegXik`Z`gXekj
n`cc`eZi\Xj\k_\gcXejc`XY`c`kp%
Salary Risk K_\gi\j\ekmXcl\f]k_\[\Ôe\[Y\e\ÔkgcXec`XY`c`kp`jZXcZlcXk\[Ypi\]\i\eZ\kfk_\]lkli\jXcXi`\jf]gcXe
gXik`Z`gXekj%8jjlZ_#Xe`eZi\Xj\`ek_\jXcXipf]k_\gcXegXik`Z`gXekjn`cc`eZi\Xj\k_\gcXejc`XY`c`kp%

 K _\dfjki\Z\ekXZklXi`XcmXclXk`fef]k_\gcXeXjj\kjXe[k_\gi\j\ekmXcl\f]k_\[\Ôe\[Y\e\ÔkfYc`^Xk`fen\i\ZXii`\[flkXjXk
DXiZ_*(#)'(0YpDi%B%B%;_Xie`=@8@D%Ef%''',( #=\ccfnf]k_\@ejk`klk\f]8ZklXi`\jf]@e[`X%K_\gi\j\ekmXcl\f]k_\[\Ôe\[Y\e\Ôk
fYc`^Xk`fe#Xe[k_\i\cXk\[Zlii\ekj\im`Z\Zfjk#n\i\d\Xjli\[lj`e^k_\gifa\Zk\[le`kZi\[`kd\k_f[%

EICHER MOTORS LIMITED

 223

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Provident fund:
 K _\gifm`[\ek]le[`j^fm\ie\[Ypk_\Gifm`[\ek=le[8Zk#(0,)%Le[\ik_\[\Ôe\[Y\e\ÔkgcXe#k_\>iflgZfeki`Ylk\jkfk_\<`Z_\i
<o\Zlk`m\Gifm`[\ek=le[Kiljk%K_\>iflg_XjXefYc`^Xk`fekfdXb\^ff[k_\j_fik]Xcc#`]Xep#Y\kn\\ek_\i\klie]ifdk_\`em\jkd\ekjf]
k_\kiljkXe[k_\efk`Ô\[`ek\i\jkiXk\%

The Actuary has provided a valuation for Provident Fund liabilities on the basis of guidance issued by Actuarial Society of India and based
fek_\Xjjldgk`fejgifm`[\[Y\cfn#k_\>iflg[f\jefk_Xm\X[[`k`feXcfYc`^Xk`feXjXkDXiZ_*(#)'(0%

The principal assumptions used for the purposes of the actuarial valuations were as follows:

Principal assumptions: Provident fund

As at As at
March 31, 2019 March 31, 2018
Discount rate 7.80% .%0(
Expected statutory interest rate on the ledger balance 8.65% /%,,
Expected short fall in interest earnings on the fund 0.05% '%',
Retirement age 58 years 58 years
Rate of withdrawal 3.00% *%''
In service mortality IALM @8CD
(2006-08) (2006-08)

Gratuity:
K_\^iXkl`kpgcXe`j^fm\ie\[Ypk_\GXpd\ekf]>iXkl`kp8Zk#(0.)%Le[\ik_\XZk#\dgcfp\\n_f_XjZfdgc\k\[Ôm\p\Xijf]j\im`Z\`j
\ek`kc\[kfjg\Z`ÔZY\e\Ôk%K_\c\m\cf]Y\e\Ôkjgifm`[\[[\g\e[jfek_\d\dY\iËjc\e^k_f]j\im`Z\Xe[jXcXipXki\k`i\d\ekX^\%K_\
]le[_Xjk_\]fidf]XkiljkXe[`k`j^fm\ie\[Ypk_\9fXi[f]Kiljk\\j%

The principal assumptions used for the purposes of the actuarial valuations were as follows :-

Principal assumptions: Gratuity

As at As at
March 31, 2019 March 31, 2018
Discount rate 7.80% .%0'
Future salary increase 7.50% .%,'
Retirement age 58 years 58 years
Rate of withdrawal 2.00% )%''
In service mortality IALM @8CD
(2006-08) (2006-08)

 8dflekji\Zf^e`q\[`ejkXk\d\ekf]gifÔkXe[cfjj`ei\jg\Zkf]k_\j\[\Ôe\[Y\e\ÔkgcXejXi\Xj]fccfnj1$

Particulars Gratuity
For the year ended For the year ended
March 31, 2019 March 31, 2018
J\im`Z\Zfjk1
Current service cost 3.46 )%--
Net Interest expense (0.04) '%')
:fdgfe\ekjf][\Ôe\[Y\e\ÔkZfjkji\Zf^e`q\[`egifÔkficfjj 3.42 )%-+
I\d\Xjli\d\ekfek_\e\k[\Ôe\[Y\e\Ôkc`XY`c`kp1
Actuarial (gains)/ losses arising from experience adjustments 1.40 (%.+
:fdgfe\ekjf][\Ôe\[Y\e\ÔkZfjkji\Zf^e`q\[`efk_\iZfdgi\_\ej`m\ 1.40 (%.+
income
Total 4.82 +%*/

ANNUAL REPORT 2018-19

224
FINANCIAL STATEMENTS (CONSOLIDATED)

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

 K_\Xdflek`eZcl[\[`ek_\YXcXeZ\j_\\kXi`j`e^]ifdk_\\ek`kpjfYc`^Xk`fe`ei\jg\Zkf]`kj[\Ôe\[
Y\e\ÔkgcXej`jXj]fccfnj1

Particulars Gratuity
As at As at
March 31, 2019 March 31, 2018
Gi\j\ekMXcl\f]]le[\[[\Ôe\[Y\e\ÔkfYc`^Xk`fe 21.65 (.%(*
Fair value of plan assets 21.65 (.%-'
E\kc`XY`c`kpXi`j`e^]ifd[\Ôe\[Y\e\ÔkfYc`^Xk`fe - '%+.

 Dfm\d\ekj`ek_\gi\j\ekmXcl\f]k_\[\Ôe\[Y\e\ÔkfYc`^Xk`feXi\Xj]fccfnj1$

Particulars Gratuity
For the year ended For the year ended
March 31, 2019 March 31, 2018
Fg\e`e^[\Ôe\[fYc`^Xk`fe 17.13 (*%*)
Current service cost 3.46 )%--
Interest cost 1.35 (%''
Actuarial (gains)/ losses 1.13 (%,+
9\e\ÔkjgX`[ (1.42) (%*0
:cfj`e^[\Ôe\[Y\e\ÔkfYc`^Xk`fe 21.65 (.%(*

Movements in the fair value of the plan assets are as follows:

Particulars Gratuity
For the year ended For the year ended
March 31, 2019 March 31, 2018
Fg\e`e^]X`imXcl\f]gcXeXjj\kj7 17.60 (*%-.
Interest income 1.39 (%')
Actuarial gains/ (losses) (0.27) '%)'
Contribution 4.35 +%,'
9\e\ÔkgX`[ (1.42) (%*0
Closing fair value of plan assets7 21.65 (.%-'
7
=le[jdXeX^\[Yp<DC<dgcfp\\j:fdgXep>iXkl`kpJZ_\d\Kiljk %

The major categories of plan assets maintained with the approved insurance companies for EML Trust are
as follows:
The Fair value of the plan assets at the end of reporting period for each category are as follows.

Particulars As at As at
March 31, 2019 March 31, 2018
Government securities 6.15 ,%-.
;\Yk`ejkild\ekjZXk\^fi`q\[Yp`jjl\ijZi\[`kiXk`e^1
AAA 10.60 /%/+
88" 2.53 (%./
AA 1.31 '%0(
:Xj_#[\gfj`kj#\kZ% 1.06 '%+'
Total 21.65 17.60

EICHER MOTORS LIMITED

 225

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

 K_\]X`imXcl\jf]k_\XYfm\`ejkild\ekjXi\[\k\id`e\[YXj\[fehlfk\[dXib\kgi`Z\j`eXZk`m\dXib\k%K_\XZklXci\klie
fegcXeXjj\kjnXjIj%(%()Zifi\j]fik_\p\Xi\e[\[DXiZ_*(#)'(0%

 J`^e`ÔZXekXZklXi`XcXjjldgk`fej]fik_\[\k\id`eXk`fef]k_\[\Ôe\[fYc`^Xk`feXi\[`jZflekiXk\#\og\Zk\[jXcXip`eZi\Xj\
Xe[dfikXc`kp%K_\j\ej`k`m`kpXeXcpj`jY\cfn_Xm\Y\\e[\k\id`e\[YXj\[fei\XjfeXYc\gfjj`Yc\Z_Xe^\jf]k_\i\jg\Zk`m\
Xjjldgk`fejfZZlii`e^Xkk_\\e[f]k_\i\gfik`e^g\i`f[#n_`c\_fc[`e^Xccfk_\iXjjldgk`fejZfejkXek%
 $ @]k_\[`jZflekiXk\`j,'YXj`jgf`ekj_`^_\icfn\i #k_\[\Ôe\[Y\e\ÔkfYc`^Xk`fenflc[[\Zi\Xj\YpIj%(%)'Zifi\j
`eZi\Xj\YpIj%(%*)Zifi\j RXjXkDXiZ_*(#)'(/1;\Zi\Xj\YpIj%'%/.Zifi\`eZi\Xj\YpIj%'%0,Zifi\ T%
 $ @]k_\\og\Zk\[jXcXip^ifnk_`eZi\Xj\j[\Zi\Xj\j Yp,'YXj`jgf`ekj#k_\[\Ôe\[Y\e\ÔkfYc`^Xk`fenflc[`eZi\Xj\Yp
Ij%(%*)Zifi\j[\Zi\Xj\YpIj%(%)(Zifi\j RXjXkDXiZ_*(#)'(/1@eZi\Xj\YpIj%'%0,Zifi\[\Zi\Xj\YpIj%'%/.Zifi\ T%

Sensitivities due to change in mortality rate and change in withdrawal rate are not material and hence impact of such
Z_Xe^\`jefkZXcZlcXk\[%

Sensitivity Analysis
K_\j\ej`k`m`kpXeXcpj`jgi\j\ek\[XYfm\dXpefkY\i\gi\j\ekXk`m\f]k_\XZklXcZ_Xe^\`ek_\[\Ôe\[Y\e\ÔkfYc`^Xk`feXj`k`j
lec`b\cpk_Xkk_\Z_Xe^\`eXjjldgk`fejnflc[fZZli`e`jfcXk`fef]fe\Xefk_\iXjjfd\f]k_\Xjjldgk`fejdXpY\Zfii\cXk\[%
 =lik_\idfi\#`egi\j\ek`e^k_\XYfm\j\ej`k`m`kpXeXcpj`j#k_\gi\j\ekmXcl\f]k_\[\Ôe\[Y\e\ÔkfYc`^Xk`fe_XjY\\e
calculated using the projected unit credit method at the end of reporting period, which is same as that applied in calculating
k_\[\Ôe\[Y\e\ÔkfYc`^Xk`fec`XY`c`kpi\Zf^e`q\[`ek_\YXcXeZ\j_\\k%
 K_\i\nXjefZ_Xe^\`ek_\d\k_f[jXe[Xjjldgk`fejlj\[`egi\gXi`e^k_\j\ej`k`m`kpXeXcpj`j]ifdgi`fip\Xij%

Other disclosures
 DXkli`kpgifÔc\f][\Ôe\[Y\e\ÔkfYc`^Xk`fe

Particulars As at As at
March 31, 2019 March 31, 2018
8m\iX^\[liXk`fef]k_\[\Ôe\[Y\e\ÔkfYc`^Xk`fe`ep\Xij 20.03 (0%-.

 K_\\jk`dXk\[Zfeki`Ylk`fe[li`e^e\okp\Xi`jIj%+%',Zifi\jDXiZ_*(#)'(/1Ij%*%(/Zfi\j kfk_\[\Ôe\[Y\e\ÔkgcXe%

42. EARNINGS PER SHARE

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
For Continuing Operations
 X  9Xj`Z`eIj% 814.18 /''%,'
 Y  ;`clk\[`eIj% 813.28 .0/%00
For Discontinued Operations
 X  9Xj`Z`eIj% (6.42) /'%/(
 Y  ;`clk\[`eIj% (6.42) /'%--
For Continuing and Discontinued Operations
 X  9Xj`Z`eIj% 807.76 .(0%-0
 Y  ;`clk\[`eIj% 806.86 .(/%**
Basic earnings per share
The earnings and weighted average number of equity shares used in the calculation of
YXj`Z\Xie`e^jg\ij_Xi\Xi\Xj]fccfnj%
E\kGifÔkX]k\ikXo\jXe[j_Xi\f]gifÔkf]Af`ekm\ekli\]ifdZfek`el`e^fg\iXk`fe 2,220.25 )#(.0%.)
J_Xi\f]cfjjf]Af`ekm\ekli\j]ifd[`jZfek`el\[fg\iXk`fe (17.52) ))'%',
E\kGifÔk]fik_\p\Xi 2,202.73 (#0,0%-.
Weighted average number of equity shares for the purposes of basic earnings per share 2,72,69,904 )#.)#)0#*-+

ANNUAL REPORT 2018-19

226
FINANCIAL STATEMENTS (CONSOLIDATED)

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Diluted earnings per share
The earnings and weighted average number of equity shares used in the calculation of
[`clk\[\Xie`e^jg\ij_Xi\Xi\Xj]fccfnj%
E\kGifÔkX]k\ikXo\jXe[j_Xi\f]gifÔkf]Af`ekm\ekli\]ifdZfek`el`e^fg\iXk`fe 2,220.25 )#(.0%.)
J_Xi\f]cfjjf]Af`ekm\ekli\j]ifd[`jZfek`el\[fg\iXk`fe (17.52) ))'%',
E\kGifÔk]fik_\p\Xi 2,202.73 (#0,0%-.
Weighted average number of equity shares for the purposes of basic earnings per share 2,72,69,904 )#.)#)0#*-+
J_Xi\j[\\d\[kfY\`jjl\[]fiefZfej`[\iXk`fe`ei\jg\Zkf]1
- employee options 30,193 ,(#++/
Weighted average number of equity shares for the purposes of diluted earnings per share 2,73,00,097 )#.)#/'#/()

43. SEGMENT REPORTING DISCLOSURE

 K_\>iflggi`dXi`cpfg\iXk\j`ek_\Xlkfdfk`m\j\^d\ek%K_\Xlkfdfk`m\j\^d\ek`eZcl[\jXccXZk`m`k`\ji\cXk\[kf
[\m\cfgd\ek#[\j`^e#dXel]XZkli\#Xjj\dYcpXe[jXc\f]knf$n_\\c\ijXjn\ccXjjXc\f]i\cXk\[gXikjXe[XZZ\jjfi`\j%
 8j[\Ôe\[`e@e[8J('/#k_\Z_`\]fg\iXk`e^[\Z`j`fedXb\i:F;D #\mXclXk\jk_\>iflgjg\i]fidXeZ\#XccfZXk\i\jfliZ\j
YXj\[fek_\XeXcpj`jf]k_\mXi`fljg\i]fidXeZ\`e[`ZXkfif]k_\>iflgXjXj`e^c\le`k%K_\i\]fi\#k_\i\`jefi\gfikXYc\
j\^d\ek]fik_\>iflgXjg\ik_\i\hl`i\d\ekf]@e[8J('/ÈFg\iXk`e^J\^d\ekjÉ%

Geographical information
The "Geographical Segments" comprises of domestic segment which includes sales to customers located in India and the
fm\ij\Xjj\^d\ek`eZcl[\jjXc\jkfZljkfd\ijcfZXk\[flkj`[\@e[`X%

Particulars Domestic Fm\ij\Xj Total

Revenue from operations
For the year ended March 31, 2019 9,418.07 378.99 9,797.06
For the year ended March 31, 2018 /#0*/%+0 )/'%.. 0#)(0%)-
Non-current segment assets
As at March 31, 2019 4,113.59 326.13 4,439.72
As at March 31, 2018 *#,((%+/ )-0%00 *#./(%+.

 X ;fd\jk`Zj\^d\ek`eZcl[\jjXc\jXe[j\im`Z\jkfZljkfd\ijcfZXk\[`e@e[`X%   
 Y Fm\ij\Xjj\^d\ek`eZcl[\jjXc\jXe[j\im`Z\ji\e[\i\[kfZljkfd\ijcfZXk\[flkj`[\@e[`X%
 Z  Efe$Zlii\ekj\^d\ekXjj\kj`eZcl[\gifg\ikp#gcXekXe[\hl`gd\ek#efe$Zlii\ekÔeXeZ`XcXjj\kjXe[fk_\i
efe$Zlii\ekXjj\kj%   
d) The accounting policies adopted for segment reporting are in conformity with the accounting policies adopted for
k_\>iflg%I\m\el\_Xm\Y\\e`[\ek`Ô\[kfj\^d\ekjfek_\YXj`jf]k_\`ii\cXk`fej_`gkfk_\fg\iXk`e^XZk`m`k`\jf]
k_\j\^d\ek%

Information about major customers

 EfZljkfd\i`e[`m`[lXccpXZZflek\[]fidfi\k_Xe('f]k_\i\m\el\%

EICHER MOTORS LIMITED

 227

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

44. RELATED PARTY DISCLOSURES UNDER IND AS 24

a. Related party disclosures:
  EXd\f]i\cXk\[gXik`\jXe[k_\`ii\cXk`fej_`g1
Name of related party Nature of Relationship
  M<:fdd\iZ`XcM\_`Zc\jC`d`k\[ M<:MC  Af`ekm\ekli\ZfdgXep
  M<:MCXebXGi`mXk\ C`d`k\[ M<:MCXebX  JlYj`[`XipZfdgXepf]M<:MC
  M<:MJflk_8]i`ZXGKP Ck[% M<:M8]i`ZX  JlYj`[`XipZfdgXepf]M<:MC
  <`Z_\iGfcXi`jGi`mXk\C`d`k\[ <GGC  Af`ekm\ekli\ZfdgXep
  <`Z_\i>iflg=fle[Xk`fe <>=  Af`ekm\ekli\ZfdgXep
  <`Z_\i>ff[\Xik_Gi`mXk\C`d`k\[ <>GC  <ek`kple[\ik_\Zfekifcf]k_\b\p 
management personnel
  <`Z_\i>ff[\Xik_@e[`XGi`mXk\C`d`k\[! <>@GC  <ek`kple[\ik_\Zfekifcf]k_\b\p 
management personnel
  E`ZfYXi;\j`^eGi`mXk\C`d`k\[ E;GC  <ek`kple[\ik_\Zfekifcf]k_\b\p 
management personnel
  <`Z_\i<o\Zlk`m\Gifm`[\ek=le[ <<G=  Gfjk\dgcfpd\ekY\e\ÔkgcXe
  <`Z_\iKiXZkfij<o\Zlk`m\JkXùJlg\iXeelXk`fe=le[ <K<JJ=  Gfjk\dgcfpd\ekY\e\ÔkgcXe
  <`Z_\iDfkfijC`d`k\[<dgcfp\\j>iXkl`kpKiljk <DC<>K  Gfjk\dgcfpd\ekY\e\ÔkgcXe
  K_\J`diXeJ`[[_Xik_XKXiX9\e\ÔkKiljk JJK9K  J_Xi\_fc[\ij_fc[`e^dfi\k_Xe,\hl`kp
shares in the Company
  !@eZfigfiXk\[feAXelXip'(#)'(/

b. Key management personnel:

  Di%J`[[_Xik_XCXc  DXeX^`e^;`i\Zkfi 
  Di%M`ef[B%;XjXi`  N_fc\$k`d\;`i\Zkfi:_`\]<o\Zlk`m\FøZ\i
    f]IfpXc<eÔ\c[8ggf`ek\[n%\%]%8gi`c'(#)'(0
  Di%J%JXe[`cpX  :_X`idXe 
  Di%Gi`pX9iXk  @e[\g\e[\ek[`i\Zkfi
    I\j`^e\[n%\%]%Ale\(-#)'(.
  Di%D%A%JlYYX`X_  @e[\g\e[\ek[`i\Zkfi
    I\j`^e\[n%\%]%DXiZ_*(#)'(/
  Di%GiXk\\bAXcXe  @e[\g\e[\ek[`i\Zkfi
    I\j`^e\[n%\%]%FZkfY\i(*#)'(/
  Dj%DXem`J`e_X  @e[\g\e[\ek[`i\Zkfi
  Di%@e[\iDf_XeJ`e^_  @e[\g\e[\ek[`i\Zkfi
    8ggf`ek\[n%\%]%Efm\dY\i()#)'(/
  Di%M`ef[8^^XinXc  Efe$\o\Zlk`m\[`i\Zkfi
    8ggf`ek\[n%\%]%8gi`c'(#)'(0
  Di%CXc`kDXc`b  :_`\]=`eXeZ`XcFøZ\i
  Di%DXe_XiBXgffi  :fdgXepJ\Zi\kXip

ANNUAL REPORT 2018-19

228
FINANCIAL STATEMENTS (CONSOLIDATED)

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

c. Transactions with the key management personnel during the year:

Particulars Nature of transaction For the year ended For the year ended
March 31, 2019 March 31, 2018
Di%J`[[_Xik_XCXc Managerial remuneration
 J_fik$k\idY\e\Ôkj 12.69 ('%()
 Gfjk$\dgcfpd\ekY\e\Ôkj 0.06 '%(+
 Fk_\icfe^$k\idY\e\Ôkj 0.06 '%',
12.81 ('%*(
Di%J%JXe[`cpX Sitting fees 0.04 '%'*
Commission 0.59 '%,*
Di%Gi`pX9iXk Sitting fees - '%'(
Commission 0.02 -
Di%D%A%JlYYX`X_ Sitting fees - '%')
Commission - '%('
Di%GiXk\\bAXcXe Sitting fees 0.02 '%'*
Commission 0.25 '%)*
Dj%DXem`J`e_X Sitting fees 0.03 '%')
Commission 0.11 '%('
Di%@e[\iDf_XeJ`e^_ Sitting fees 0.01 -
Commission 0.25 -
Di%CXc`kDXc`b Remuneration
 J_fik$k\idY\e\Ôkj 4.68 )%'-
 Gfjk$\dgcfpd\ekY\e\Ôkj 0.04 '%'+
 Fk_\icfe^$k\idY\e\Ôkj 0.03 -
4.75 )%('
Di%DXe_XiBXgffi Remuneration
 J_fik$k\idY\e\Ôkj 1.98 '%//
 Gfjk$\dgcfpd\ekY\e\Ôkj 0.02 '%'(
 Fk_\icfe^$k\idY\e\Ôkj 0.02 '%'(
2.02 '%0'
d. Transactions with the related parties:

Name of related party Nature of transaction For the year ended For the year ended
March 31, 2019 March 31, 2018
M<:fdd\iZ`XcM\_`Zc\jC`d`k\[ Purchase of raw materials and components / 172.28 (-'%(+
services
Expenses reimbursed 0.49 '%*,
Corporate service charges paid 2.53 )%+*
<`Z_\iGfcXi`jGi`mXk\C`d`k\[ Investment in equity share capital 30.00 ).%-'
(including advance given in previous year)
Expenses recovered - '%',
Rent income 0.26 )%0)
<`Z_\i>ff[\Xik_Gi`mXk\C`d`k\[ Corporate service charges paid 1.16 '%//
Rent 4.69 *%+)
Brand fees - (-%')
<`Z_\i>ff[\Xik_@e[`XGi`mXk\C`d`k\[ Brand fees 24.42 -%*(
E`ZfYXi;\j`^eGi`mXk\C`d`k\[ Rent income 0.99 -
Eicher Group Foundation Corporate social responsibility expenditure 42.69 ),%'/
Eicher Executive Provident Fund Contribution to provident fund 4.71 *%,,
<`Z_\iKiXZkfij<o\Zlk`m\JkXù Contribution to superannuation fund 0.33 '%*(
Superannuation Fund
<`Z_\iDfkfijC`d`k\[<dgcfp\\j Contribution 4.35 +%,'
Gratuity Trust
9\e\ÔkjgX`[ (1.42) (%*0

EICHER MOTORS LIMITED

 229

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Balance outstanding at the year end

Name of related party Nature As at As at

March 31, 2019 March 31, 2018
M<:fdd\iZ`XcM\_`Zc\jC`d`k\[ Trade payables 51.10 +,%-*
<`Z_\i>ff[\Xik_Gi`mXk\C`d`k\[ Trade payables - (-%)0
Security deposits receivable 1.09 (%'0
<`Z_\i>ff[\Xik_@e[`XGi`mXk\C`d`k\[ Trade payables 24.42 -%*(
Di%J`[[_Xik_XCXc Commission payable 5.28 +%/'
Non-executive and independent directors Commission payable 1.19 '%0-

Terms and conditions of transactions with related parties

The sales to and purchases from related parties are made on terms equivalent to those that prevail in arm’s length
kiXejXZk`fej%FlkjkXe[`e^YXcXeZ\jXkk_\p\Xi$\e[Xi\lej\Zli\[Xe[`ek\i\jk]i\\Xe[j\kkc\d\ekfZZlij`eZXj_%=fik_\
year ended March 31, 2019, the Group has not recorded any impairment of receivables relating to amounts owed by related
gXik`\jDXiZ_*(#)'(/1Ij%E`c %K_`jXjj\jjd\ek`jle[\ikXb\e\XZ_ÔeXeZ`Xcp\Xik_ifl^_\oXd`e`e^k_\ÔeXeZ`Xcgfj`k`fe
f]k_\i\cXk\[gXikpXe[k_\dXib\k`en_`Z_k_\i\cXk\[gXikpfg\iXk\j%

45. FINANCIAL INSTRUMENTS

Capital Management
The Group manages its capital to ensure that the Group will be able to continue as going concern while maximizing the
i\kliekfjkXb\_fc[\ijk_ifl^_\øZ`\ekXccfZXk`fef]ZXg`kXckfnXi[j\ogXej`fef]Ylj`e\jj#fgk`d`qXk`fef]nfib`e^ZXg`kXc
i\hl`i\d\ekjXe[[\gcfpd\ekf]jligclj]le[j`ekfmXi`flj`em\jkd\ekfgk`fej%K_\>iflglj\jk_\fg\iXk`feXcZXj_]cfnj
Xe[\hl`kpkfd\\k`kjZXg`kXci\hl`i\d\ekj%

 K_\>iflg`jefkjlYa\ZkkfXep\ok\ieXccp`dgfj\[ZXg`kXci\hl`i\d\ekj%   

 K_\dXeX^\d\ekf]k_\>iflgi\m`\njk_\ZXg`kXcjkilZkli\f]k_\>iflgfei\^lcXiYXj`j%8jgXikf]k_`ji\m`\n#k_\
dXeX^\d\ekf]k_\>iflgZfej`[\iji`jbjXjjfZ`Xk\[n`k_k_\dfm\d\ek`ek_\nfib`e^ZXg`kXc%

 K_\]fccfn`e^kXYc\jlddXi`q\jk_\ZXg`kXcf]k_\>iflg1

Particulars As at As at
March 31, 2019 March 31, 2018
9fiifn`e^ji\]\iefk\ef%)( 186.76 (,'%/+
C\jj1:Xj_Xe[ZXj_\hl`mXc\ekji\]\iefk\ef%(, (726.98) 0)%+-
Net debt* - ,/%*/

Share capital 27.28 ).%)-

Fk_\i\hl`kp 8,891.44 .#'')%/(
Total Equity 8,918.72 .#'*'%'.
Gearing ratio - '%/*
 !:Xj_Xe[ZXj_\hl`mXc\ekj]fik_\Zlii\ekp\Xi`j^i\Xk\ik_XeYfiifn`e^j#_\eZ\e\k[\Yk`jZfej`[\i\[XjE`c%

ANNUAL REPORT 2018-19

230
FINANCIAL STATEMENTS (CONSOLIDATED)

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

+,%(:Xk\^fi`\jf]ÔeXeZ`Xc`ejkild\ekj

Particulars As at As at
March 31, 2019 March 31, 2018
=`eXeZ`XcXjj\kjXk]X`imXcl\k_ifl^_gifÔkficfjj
Non-current
Investments in equity 0.09 '%'0
Investments in mutual funds 2,465.76 *#(*0%(+
Current
Investments in mutual funds 468.81 -**%+'
Financial assets at amortized cost
Non-current
Investments in bonds 43.94 +*%0+
  Fk_\iÔeXeZ`XcXjj\kj 27.05 ))%,,
Current
Trade receivables 90.34 -/%''
Cash and bank balances 2,965.29 (#)()%''
  CfXej 1.29 '%.'
  Fk_\iÔeXeZ`XcXjj\kj 70.88 *'%.,
Financial liabilities at amortized cost
Non-current
  Fk_\iÔeXeZ`Xcc`XY`c`k`\j 9.99 /%//
Current
Borrowings 186.76 (,'%/+
Trade payables 1,234.05 (#(.(%/-
  Fk_\iÔeXeZ`Xcc`XY`c`k`\j 163.17 (.'%'(

45.2 Fair value measurements

 K_\>iflglj\jk_\]fccfn`e^_`\iXiZ_p]fi[\k\id`e`e^Xe[&fi[`jZcfj`e^k_\]X`imXcl\f]ÔeXeZ`Xc`ejkild\ekjYp
mXclXk`fek\Z_e`hl\j1
 K_\]fccfn`e^`jk_\YXj`jf]ZXk\^fi`q`e^k_\ÔeXeZ`Xc`ejkild\ekjd\Xjli\[Xk]X`imXcl\`ekfC\m\c(kfC\m\c*1$
 C\m\c(1K_`jc\m\c`eZcl[\jÔeXeZ`XcXjj\kjk_XkXi\d\Xjli\[Ypi\]\i\eZ\kfhlfk\[gi`Z\jleX[aljk\[ `eXZk`m\dXib\kj
]fi`[\ek`ZXcXjj\kjfic`XY`c`k`\j%
 C\m\c)1K_`jc\m\c`eZcl[\jÔeXeZ`XcXjj\kjXe[c`XY`c`k`\j#d\Xjli\[lj`e^`eglkjfk_\ik_Xehlfk\[gi`Z\j`eZcl[\[n`k_`e
 C\m\c(k_XkXi\fYj\imXYc\]fik_\Xjj\kfic`XY`c`kp#\`k_\i[`i\Zkcp`%\%#Xjgi`Z\j fi`e[`i\Zkcp`%\%#[\i`m\[]ifdgi`Z\j
 C\m\c*1K_`jc\m\c`eZcl[\jÔeXeZ`XcXjj\kjXe[c`XY`c`k`\jd\Xjli\[lj`e^`eglkjk_XkXi\efkYXj\[fefYj\imXYc\dXib\k
[XkXlefYj\imXYc\`eglkj %=X`imXcl\jXi\[\k\id`e\[`en_fc\fi`egXik#lj`e^XmXclXk`fedf[\cYXj\[feXjjldgk`fej
that are neither supported by prices from observable current market transactions in the same instrument nor are they based
feXmX`cXYc\dXib\k[XkX%
 =X`imXcl\f]k_\>iflgjÔeXeZ`XcXjj\kjk_XkXi\d\Xjli\[Xk]X`imXcl\feXi\Zlii`e^YXj`j1$
 K_\i\Xi\Z\ikX`e>iflgjÔeXeZ`XcXjj\kjn_`Z_Xi\d\Xjli\[Xk]X`imXcl\Xkk_\\e[f]\XZ_i\gfik`e^g\i`f[%=fccfn`e^
kXYc\^`m\j`e]fidXk`feXYflk_fnk_\]X`imXcl\jf]k_\j\ÔeXeZ`XcXjj\kjXi\[\k\id`e\[1$

Particulars Fair value as at March 31, 2019

Level 1 Level 2 Level 3
=`eXeZ`XcXjj\kjXk]X`imXcl\k_ifl^_gifÔkficfjj
Non-current
Investments in equity* - - 0.09
Investments in mutual funds 2,465.76 - -
Current
Investments in mutual funds 468.81 - -

EICHER MOTORS LIMITED

 231

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Particulars Fair value as at March 31, 2018

C\m\c( C\m\c) C\m\c*
=`eXeZ`XcXjj\kjXk]X`imXcl\k_ifl^_gifÔkficfjj
Non-current
Investments in equity* - '%'0
Investments in mutual funds *#(*0%(+ - -
Current
Investments in mutual funds -**%+' - -

 !@em\jkd\ek`e\hl`kpc\m\c$* _XjY\\emXcl\[lj`e^n\`^_k\[Xm\iX^\f]mXcl\Xii`m\[lj`e^;`jZflek\[:Xj_=cfnD\k_f[Xe[E\k8jj\kjD\k_f[%

 =X`imXcl\f]k_\>iflgjÔeXeZ`XcXjj\kjXe[ÔeXeZ`Xcc`XY`c`k`\jk_XkXi\efkd\Xjli\[Xk]X`imXcl\Ylk]X`i
value disclosures are required)
 <oZ\gkXj[\kX`c\[flk`ek_\]fccfn`e^kXYc\#k_\dXeX^\d\ekZfej`[\ijk_Xkk_\ZXiip`e^Xdflekjf]ÔeXeZ`XcXjj\kjXe[
ÔeXeZ`Xcc`XY`c`k`\ji\Zf^e`q\[`ek_\ÔeXeZ`XcjkXk\d\ekjXggifo`dXk\k_\`i]X`imXcl\j%

Particulars March 31, 2019 March 31, 2018

Carrying amount Fair value Carrying amount Fair value
(Level 1) C\m\c(
Financial assets at amortized cost
Non-current
Investments in bonds 43.94 45.87 +*%0+ +-%-.

 K_\]X`imXcl\f]k_\ÔeXeZ`XcXjj\kjXe[c`XY`c`k`\jXi\`eZcl[\[Xkk_\Xdflekk_Xknflc[Y\i\Z\`m\[kfj\ccXeXjj\kXe[
gX`[kfkiXej]\iXc`XY`c`kp`eXefi[\icpkiXejXZk`feY\kn\\edXib\kgXik`Z`gXekj%K_\]fccfn`e^d\k_f[jXe[Xjjldgk`fej
n\i\lj\[kf\jk`dXk\k_\]X`imXcl\j1
 $ @em\jkd\ekjkiX[\[`eXZk`m\dXib\kjXi\[\k\id`e\[Ypi\]\i\eZ\kfhlfk\j]ifdk_\ÔeXeZ`Xc`ejk`klk`fej2]fi\oXdgc\1
E\kXjj\kmXcl\E8M ]fi`em\jkd\ekj`edlklXc]le[j[\ZcXi\[YpdlklXc]le[_flj\%
 $ K_\]X`imXcl\f]Yfe[j`jYXj\[fehlfk\[gi`Z\jXe[dXib\kfYj\imXYc\`eglkj%
 $ K iX[\i\Z\`mXYc\j#ZXj_Xe[ZXj_\hl`mXc\ekj#fk_\iYXebYXcXeZ\j#cfXej#fk_\iZlii\ekÔeXeZ`XcXjj\kj#Zlii\ek
Yfiifn`e^j#kiX[\gXpXYc\jXe[fk_\iZlii\ekÔeXeZ`Xcc`XY`c`k`\j18ggifo`dXk\k_\`iZXiip`e^XdflekjcXi^\cp[l\kfk_\
j_fik$k\iddXkli`k`\jf]k_\j\`ejkild\ekj%
 $ D
 XeX^\d\eklj\j`kjY\jkal[^d\ek`e\jk`dXk`e^k_\]X`imXcl\f]`kjÔeXeZ`Xc`ejkild\ekj%?fn\m\i#k_\i\Xi\`e_\i\ek
c`d`kXk`fej`eXep\jk`dXk`fek\Z_e`hl\%K_\i\]fi\#]fijlYjkXek`XccpXccÔeXeZ`Xc`ejkild\ekj#k_\]X`imXcl\\jk`dXk\j
presented above are not necessarily indicative of all the amounts that the Group could have realized or paid in sale
kiXejXZk`fejXjf]i\jg\Zk`m\[Xk\j%8jjlZ_#k_\]X`imXcl\f]k_\ÔeXeZ`Xc`ejkild\ekjjlYj\hl\ekkfk_\i\jg\Zk`m\
i\gfik`e^[Xk\jdXpY\[`ù\i\ek]ifdk_\Xdflekji\gfik\[Xk\XZ_p\Xi\e[%
 $ K_\i\n\i\efkiXej]\ijY\kn\\eC\m\c(Xe[C\m\c)[li`e^k_\p\Xi%

ANNUAL REPORT 2018-19

232
FINANCIAL STATEMENTS (CONSOLIDATED)

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

46. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES

Financial risk management objectives
 K_\>iflgjdXeX^\d\ekdfe`kfijXe[dXeX^\jk_\ÔeXeZ`Xci`jbji\cXk`e^kfk_\fg\iXk`fejf]k_\>iflg%K_\j\i`jbj
`eZcl[\dXib\ki`jb`eZcl[`e^Zlii\eZpi`jb#`ek\i\jkiXk\i`jbXe[fk_\igi`Z\i`jb #Zi\[`ki`jbXe[c`hl`[`kpi`jb%
The management reviews cash resources, implements strategies for foreign currency exposures and ensuring market risk
c`d`kXe[gfc`Z`\j%
 K_\>iflg[f\jefk\ek\i`ekffikiX[\ÔeXeZ`Xc`ejkild\ekj#`eZcl[`e^[\i`mXk`m\ÔeXeZ`Xc`ejkild\ekj#]fijg\ZlcXk`m\gligfj\j%

Market risk
Market risk is the risk of any loss in future earnings, in realizable fair values or in future cash flows that may result from a
Z_Xe^\`ek_\gi`Z\f]XÔeXeZ`Xc`ejkild\ek%K_\>iflgjXZk`m`k`\j\ogfj\`kgi`dXi`cpkfk_\ÔeXeZ`Xci`jbjf]Z_Xe^\j
`e]fi\`^eZlii\eZp\oZ_Xe^\iXk\jXe[`ek\i\jkiXk\ji`jb&c`hl`[`kpi`jbn_`Z_`dgXZki\kliejfe`em\jkd\ekj%DXib\ki`jb
\ogfjli\jXi\d\Xjli\[lj`e^j\ej`k`m`kpXeXcpj`j%

Foreign currency risk management

The Group undertakes transactions denominated in foreign currencies; consequently, exposures to exchange rate
]clZklXk`fejXi`j\%K_\ZXiip`e^Xdflekjf]k_\>iflgj]fi\`^eZlii\eZp[\efd`eXk\[dfe\kXipXjj\kjXe[dfe\kXip
c`XY`c`k`\jXkk_\\e[f]k_\i\gfik`e^g\i`f[Xi\Xj]fccfnj1
Ij%`e:ifi\j
Foreign currency exposure As at March 31, 2019 As at March 31, 2018
Foreign currency Foreign currency Foreign currency Foreign currency
monetary assets monetary liabilities monetary assets monetary liabilities
LJ; 0.30 1.92 '%() (%)/
<LIF 0.61 0.18 '%*, '%'*
GBP 0.18 0.14 '%'0 '%'/
AGP - 17.27 - ()%(-
Fk_\ij 8.72 2.98 '%*) '%),

Foreign currency sensitivity

The Group uses the sensitivity rate of 5% when reporting foreign currency risk internally to key management personnel and
i\gi\j\ekjdXeX^\d\ekjXjj\jjd\ekf]k_\i\XjfeXYcpgfjj`Yc\Z_Xe^\`e]fi\`^e\oZ_Xe^\iXk\j%K_\j\ej`k`m`kpXeXcpj`j
includes only outstanding foreign currency denominated monetary items and adjusts their translation at the period end
]fiX,Z_Xe^\`e]fi\`^eZlii\eZpiXk\j%@ek_\fg`e`fef]k_\dXeX^\d\ek#k_\j\ej`k`m`kpf]`eZi\Xj\fi[\Zi\Xj\f]Ij%
X^X`ejkk_\i\c\mXek]fi\`^eZlii\eZ`\j`jefkdXk\i`Xckfk_\ÔeXeZ`XcjkXk\d\ekj%

Credit risk management

 :i\[`ki`jbi\]\ijkfk_\i`jbk_XkXZflek\igXikpn`cc[\]Xlckfe`kjZfekiXZklXcfYc`^Xk`feji\jlck`e^`eÔeXeZ`Xccfjjkfk_\>iflg%

Financial instruments that are subject to concentrations of credit risk, principally consist of balance with banks, investments in
[\Yk`ejkild\ekj&Yfe[j#kiX[\i\Z\`mXYc\j#cfXejXe[X[mXeZ\j%Efe\f]k_\ÔeXeZ`Xc`ejkild\ekjf]k_\>iflgi\jlck`edXk\i`Xc
ZfeZ\ekiXk`fejf]Zi\[`ki`jbj%

 9XcXeZ\jn`k_YXebjn\i\efkgXjk[l\fi`dgX`i\[XjXkk_\p\Xi\e[%@efk_\iÔeXeZ`XcXjj\kjk_XkXi\efkgXjk[l\jXe[efk
`dgX`i\[#k_\i\n\i\ef`e[`ZXk`fef][\]Xlck`ei\gXpd\ekXjXkk_\p\Xi\e[%

 K_\>iflg_Xjlj\[XgiXZk`ZXc\og\[`\ekYpZfdglk`e^k_\\og\Zk\[cfjjXccfnXeZ\]fiÔeXeZ`XcXjj\kjYXj\[fe_`jkfi`ZXcZi\[`k
cfjj\og\i`\eZ\Xe[X[aljkd\ekj]fi]finXi[cffb`e^`e]fidXk`fe%

EICHER MOTORS LIMITED

 233

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

 Dfm\d\ek`ek_\\og\Zk\[Zi\[`kcfjjXccfnXeZ\f]ÔeXeZ`XcXjj\kj

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Balance at beginning of the year 0.25 '%),
8[[1Gifm`[\[[li`e^k_\p\Xi 0.49 -
Balance at end of the year 0.74 '%),

Other price risks including interest rate risk

 K_\>iflg_Xj[\gcfp\[`kjjligclj]le[j`ekfmXi`fljÔeXeZ`Xc`ejkild\ekj`eZcl[`e^le`kjf]dlklXc]le[j#Yfe[j#\kZ%K_\
>iflg`j\ogfj\[kfE8Me\kXjj\kmXcl\ gi`Z\i`jbjXi`j`e^]ifd`em\jkd\ekj`ek_\j\]le[j%K_\mXcl\f]k_\j\`em\jkd\ekj
`j`dgXZk\[Ypdfm\d\ekj`e`ek\i\jkiXk\j#c`hl`[`kpXe[Zi\[`khlXc`kpf]le[\icp`e^j\Zli`k`\j%

NAV price sensitivity analysis

 K_\j\ej`k`m`kpXeXcpj`jY\cfn_Xm\Y\\e[\k\id`e\[YXj\[fek_\\ogfjli\kfE8Mgi`Z\i`jbjXkk_\\e[f]k_\i\gfik`e^
g\i`f[%@]E8Mgi`Z\j_X[Y\\e(_`^_\i&cfn\i1
Š g
 ifÔk]fik_\p\Xi\e[\[DXiZ_*(#)'(0nflc[`eZi\Xj\&[\Zi\Xj\YpIj%)0%*,Zifi\j]fik_\p\Xi\e[\[DXiZ_*(#
)'(/1`eZi\Xj\&[\Zi\Xj\YpIj%*.%.*Zifi\j %

Interest rate risk

 @ek\i\jkiXk\i`jb`jk_\i`jbk_Xkk_\]X`imXcl\fi]lkli\ZXj_]cfnjf]XÔeXeZ`Xc`ejkild\ekn`cc]clZklXk\Y\ZXlj\f]Z_Xe^\j
`edXib\k`ek\i\jkiXk\%J`eZ\k_\>iflgjYfiifn`e^jn_`Z_Xi\Xù\Zk\[Yp`ek\i\jkiXk\]clZklXk`fe`jm\ip`ej`^e`ÔZXek
to the size and operations of the Group, therefore, a change in interest rate risk does not have a material impact on the
>iflgjÔeXeZ`XcjkXk\d\ekj`ei\cXk`fekf]X`imXcl\f]ÔeXeZ`Xc`ejkild\ekj%

Liquidity risk
The Group manages liquidity risk by maintaining adequate reserves, banking facilities and reserve borrowing facilities, by
Zfek`elfljcpdfe`kfi`e^]fi\ZXjkXe[XZklXcZXj_]cfnj#Xe[YpdXkZ_`e^k_\dXkli`kpgifÔc\jf]ÔeXeZ`XcXjj\kjXe[c`XY`c`k`\j%

 DXkli`kpgifÔc\f]ÔeXeZ`Xcc`XY`c`k`\j1

Particulars As at March 31, 2019

Less than 1 year 1 to 5 years >5 years Total
Efe$Zlii\ekFk_\iÔeXeZ`Xcc`XY`c`k`\j - - 9.99 9.99
Current
(i) Borrowings 186.76 186.76
(ii) Trade payables 1,234.05 - - 1,234.05
``` Fk_\iÔeXeZ`Xcc`XY`c`k`\j 163.17 - - 163.17

Particulars As at March 31, 2018

C\jjk_Xe(p\Xi 1 to 5 years >5 years Total
Efe$Zlii\ekFk_\iÔeXeZ`Xcc`XY`c`k`\j - - /%// /%//
Current
(i) Borrowings (,'%/+ - - (,'%/+
(ii) Trade payables (#(.(%/- - - (#(.(%/-
``` Fk_\iÔeXeZ`Xcc`XY`c`k`\j (.'%'( - - (.'%'(

 K_\jligclj]le[jn`k_k_\>iflgXe[fg\iXk`feXcZXj_]cfnjn`ccY\jløZ`\ekkf[`jgfj\k_\ÔeXeZ`Xcc`XY`c`k`\jn`k_`ek_\
dXkli`kpg\i`f[%

ANNUAL REPORT 2018-19

234
FINANCIAL STATEMENTS (CONSOLIDATED)

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

47. SHARE-BASED PAYMENTS

Employee share option plan of the Group
 GlijlXekkfk_\XggifmXcXZZfi[\[Ypj_Xi\_fc[\ijXkk_\`i8eelXc>\e\iXcD\\k`e^_\c[feAlcp,#)''-#k_\Efd`eXk`feXe[
I\dle\iXk`fe:fdd`kk\\f]k_\:fdgXep]fidlcXk\[Ê<`Z_\i<dgcfp\\JkfZbFgk`feGcXe)''-Ë<JFGJZ_\d\)''- %

 <`Z_\i<dgcfp\\JkfZbFgk`feGcXe`jXggc`ZXYc\kfXccg\idXe\ekXe[]lcc$k`d\\dgcfp\\jXj[\Ôe\[`ek_\GcXe #\oZcl[`e^
gifdfk\ijf]k_\:fdgXep%K_\\c`^`Y`c`kpf]\dgcfp\\jkfi\Z\`m\^iXekjle[\ik_\GcXe_XjkfY\[\Z`[\[Ypk_\Efd`eXk`fe
Xe[I\dle\iXk`fe:fdd`kk\\]ifdk`d\kfk`d\Xk`kjjfc\[`jZi\k`fe%

 M\jk`e^f]k_\fgk`fejj_XcckXb\gcXZ\`ek_\dXee\i[\k\id`e\[Ypk_\Efd`eXk`feXe[I\dle\iXk`fe:fdd`kk\\Xkk_\k`d\
f]^iXek#gifm`[\[#k_\m\jk`e^g\i`f[j_XccefkY\c\jjk_Xe(p\Xi]ifdk_\[Xk\f]^iXek%

 M\jk`e^f]fgk`fejj_XccY\jlYa\Zkkfk_\Zfe[`k`fek_Xkk_\>iXek\\j_XccY\`eZfek`elflj\dgcfpd\ekXe[jlZ_fk_\i
Zfe[`k`fejXjgifm`[\[le[\i<dgcfp\\JkfZbFgk`feGcXe#)''-%

The Exercise Price of each grant is determined by the Nomination and Remuneration Committee at the time of grant, provided
that the Exercise Price shall not be less than the closing market price of the shares of the Company on NSE/BSE on the day
gi\Z\[`e^k_\[Xk\f]^iXekf]Fgk`fej%

 K_\fgk`fej^iXek\[ZXeY\\o\iZ`j\[XkXepk`d\lek`cZfdgc\k`fef]j\m\ep\Xij]ifdk_\[Xk\f]m\jk`e^%8epfgk`fej
i\dX`e`e^le\o\iZ`j\[Xkk_\\e[f]k_\\o\iZ`j\g\i`f[j_XcccXgj\%8kk_\k`d\f]\o\iZ`j\k_\gXik`Z`gXekdXpgXpk_\\o\iZ`j\
gi`Z\`ek_\]fidf]gXpd\ekXjXggifm\[Ypk_\Efd`eXk`feXe[I\dle\iXk`fe:fdd`kk\\%

 <XZ_\dgcfp\\j_Xi\fgk`feZfem\ikj`ekffe\\hl`kpj_Xi\f]k_\:fdgXepfe\o\iZ`j\%EfXdflekjXi\gX`[figXpXYc\Yp
k_\i\Z`g`\ekfei\Z\`gkf]k_\fgk`fe%K_\fgk`fejZXiipe\`k_\ii`^_kjkf[`m`[\e[jefimfk`e^i`^_kj%Fgk`fejdXpY\\o\iZ`j\[
XkXepk`d\]ifdk_\[Xk\f]m\jk`e^kfk_\[Xk\f]k_\`i\og`ip%

Details of the employee share option plan of the company

 K_\]fccfn`e^j_Xi\$YXj\[gXpd\ekXiiXe^\d\ekjn\i\`e\o`jk\eZ\[li`e^k_\Zlii\ekXe[gi`fip\Xij1

Option series Number Grant date Vesting period Expiry date Exercise Price Fair value of options
at grant date
Rs. Rs.
(ii) 2,08,900 ))$FZk$'. *P\Xij )($FZk$(. +-)%'' )+*%0'
(iii) +'#''' 29-Apr-10 (P\Xi 28-Apr-18 -0,%'' (,+%-)
(iv) (,#+'' 8-Nov-10 *P\Xij .$Efm$)' (#+((%'' )+*%0'
(v) 1,08,200 6-May-11 *$,P\Xij 5-May-21 (#(-)%'' -),%(+
(vi) ,#+'' 11-Feb-12 *$,P\Xij 10-Feb-22 (#..'%'' 0-.%'-
(vii) 5,000 16-Dec-13 *$,P\Xij 15-Dec-23 +#0(,%'' )#,))%'*
(viii) 16,000 (($8l^$(+ *$,P\Xij ('$8l^$)+ /#+..%,' +#**-%**
(ix) ,#+'' ()$Efm$(+ *$,P\Xij (($Efm$)+ ()#00*%-, -#,,,%-,
(x) 2,000 ()$AXe$(, (P\Xi (($AXe$), (+#.*0%'' .#-)-%-(
(xi) 20,300 ()$AXe$(, *$,P\Xij (($AXe$), (+#.*0%'' .#*0*%0(
(xii) +#,'' 20-Mar-15 *$,P\Xij 20-Mar-25 (-#(()%'' /#)0,%-)
(xiii) 53,000 8-May-15 *$,P\Xij .$DXp$), (+#/'.%'' .#.+(%0-
(xiv) 6,590 )($Alc$(, *$,P\Xij )'$Alc$), )(#)+/%'' ((#(()%,'
(xv) .#/'' 6-Nov-15 *$,P\Xij 5-Nov-25 (.#-./%'' 0#'('%+-
(xvi) +#)'' 5-Feb-16 *$,P\Xij +$=\Y$)- (-#/0+%'' /#,-,%/.

EICHER MOTORS LIMITED

 235

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Option series Number Grant date Vesting period Expiry date Exercise Price Fair value of options
at grant date
Rs. Rs.
(xvii) )#+'' ).$8gi$(- *$,P\Xij 26-Apr-26 )'#(+/%'' ('#',,%.0
(xviii) 2,100 )/$Alc$(- *$,P\Xij ).$Alc$)- )'#*+'%'' ('#+*.%'-
(xix) 3,000 )/$FZk$(- *$,P\Xij ).$FZk$)- )+#+0)%'' ((#.,*%0-
(xx) 1,800 ($=\Y$(. *$,P\Xij *($AXe$). )*#')/%'' ('#/.,%-+
(xxi) 3,500 ).$DXi$(. *$,P\Xij )-$DXi$). )+#*,'%'' ((#-'(%)(
(xxii) 1,350 0$8l^$(. *$,P\Xij /$8l^$). *)#()(%'' (+#0.*%,+
(xxiii) 1,500 (+$Efm$(. *$,P\Xij (*$Efm$). *'#,/,%'' (+#,)'%//
(xxiv) 2,100 .$=\Y$(/ *$,P\Xij 6-Feb-28 ).#,.0%'' ()#.)0%.+
(xxv) +#,'' 2-Apr-18 *$,P\Xij 1-Apr-28 )/#*.*%'' ()#0*+%..
(xxvi) 1,250 9-May-18 *$,P\Xij 8-May-28 *'#+).%'' (+#'0(%0,
(xxvii) )#+'' 9-Aug-18 *$,P\Xij 8-Aug-28 ).#,0+%'' ()#//.%'.
(xxviii) 2,800 12-Nov-18 *$,P\Xij 11-Nov-28 ))#+0-%'' ('#+-0%+'
(xxix) 1,250 11-Feb-19 *$,P\Xij 10-Feb-29 )'#/+/%'' 0#-(,%+'

Fair value of share options granted in the year

 K_\n\`^_k\[Xm\iX^\]X`imXcl\f]k_\j_Xi\fgk`fej^iXek\[[li`e^k_\ÔeXeZ`Xcp\Xi`jIj%()#(*/%'*DXiZ_*(#)'(/1Ij%
(*#//+%+- %Fgk`fejn\i\gi`Z\[lj`e^9cXZbJZ_fc\jfgk`fejgi`Z`e^df[\c%N_\i\i\c\mXek#k_\\og\Zk\[c`]\lj\[`ek_\
df[\c_XjY\\eX[aljk\[YXj\[fedXeX^\d\ekjY\jk\jk`dXk\]fik_\\ù\Zkjf]efe$kiXej]\iXY`c`kp#\o\iZ`j\i\jki`Zk`fej
`eZcl[`e^k_\gifYXY`c`kpf]d\\k`e^dXib\kZfe[`k`fejXkkXZ_\[kfk_\fgk`fe #Xe[Y\_Xm`fiXcZfej`[\iXk`fej%<og\Zk\[
MfcXk`c`kpnXj[\k\id`e\[YpkXb`e^k_\[X`cpmfcXk`c`kpf]k_\j_Xi\gi`Z\feEJ<#fm\iXg\i`f[gi`fikfk_\[Xk\f]^iXek#
Zfii\jgfe[`e^kfk_\\og\Zk\[c`]\f]k_\fgk`fej]fi\XZ_m\jk`e^%

Inputs into the Black Scholes options pricing model model

Fgk`fej\i`\j
Particulars (xxii) (xxiii) (xxiv) (xxv)
Grant date share price *)#()(%'' *'#,/,%'' ).#,.0%'' )/#*.*%''
Exercise price *)#()(%'' *'#,/,%'' ).#,.0%'' )/#*.*%''
Expected volatility )0%00$*(%/0 *'%'-$*(%*. *'%)*$*'%0. *'%'-$*'%+,
Fgk`fec`]\ ('P\Xij ('P\Xij ('P\Xij ('P\Xij
Dividend yield '%/* '%/* '%/* '%/*
Risk-free interest rate -%.0$-%// .%)($.%)0 .%./$.%0- .%-0$.%.,

Particulars (xxvi) (xxvii) (xxviii) (xxix)

Grant date share price *'#+).%'' ).#,0*%(, ))#+0,%), )'#/+.%+'
Exercise price *'#+).%'' ).#,0+%'' ))#+0-%'' )'#/+/%''
Expected volatility *'%('$*'%)+ *'%'($)0%.' *'%-/$*'%'+ *(%(-$*'%,-
Fgk`fec`]\ ('P\Xij ('P\Xij ('P\Xij ('P\Xij
Dividend yield '%/* '%./ '%./ '%./
Risk-free interest rate /%'($/%(( /%()$/%(0 .%0*$.%0/ .%,/$.%.'

ANNUAL REPORT 2018-19

236
FINANCIAL STATEMENTS (CONSOLIDATED)

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Movements in share options during the year

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Number of Weighted average Number of Weighted average
options exercise price options exercise price
Rs. Ij%
Balance at beginning of the year 1,14,224 16,056.89 (#,-#-.+ ()#)*-%*,
Granted during the year 12,200 26,310.39 +#0,' )0#.)/%.+
Forfeited during the year (4,500) 22,700.67 (2,100) (-#/0+%''
Exercised during the year (27,021) 13,371.16 +,#*'' +#)0/%*.
Balance at end of the year 94,903 17,824.66 (#(+#))+ (-#',-%/0
Exercisable at the end of the year 12,471 13,813.83 +#-0+ /#'*0%,.

 <ù\Zkf]j_Xi\$YXj\[gXpd\ekkiXejXZk`fejfek_\\ek`kpËjGifÔkfiCfjj1

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
Share-based payments* 15.39 )*%,(

!<oZcl[\jIj%)%(0Zifi\jf]j_Xi\$YXj\[gXpd\ekZXg`kXc`j\[`e`ekXe^`Yc\Xjj\kjle[\i[\m\cfgd\ek%

Share options exercised during the year

 K_\]fccfn`e^j_Xi\fgk`fejn\i\\o\iZ`j\[[li`e^k_\p\XiXe[gi\m`fljp\Xi1

Option series Number exercised Exercise date Exercise price

Rs.
For the year ended March 31, 2019
(vii) Granted on December 16, 2013 666 02-Apr-18 +#0(,
m``` >iXek\[fe8l^ljk((#)'(+ 500 09-May-18 /#+./
(xiii) Granted on May 08, 2015 9,085 09-May-18 (+#/'.
(xii) Granted on March 20, 2015 500 09-May-18 16,112
m```  >iXek\[fe8l^ljk((#)'(+ 500 09-Aug-18 /#+./
(xiii) Granted on May 08, 2015 600 09-Aug-18 (+#/'.
o`m  >iXek\[feAlcp)(#)'(, 300 09-Aug-18 )(#)+/
m```  >iXek\[fe8l^ljk((#)'(+ )#+,' 12-Nov-18 /#+./
(xiii) Granted on May 08, 2015 +#*'' 12-Nov-18 (+#/'.
(xv) Granted on February 05, 2016 300 12-Nov-18 (.#-./
(vii) Granted on December 16, 2013 1,000 11-Feb-19 +#0(,
m```  >iXek\[fe8l^ljk((#)'(+ +,' 11-Feb-19 /#+./
`o  >iXek\[feEfm\dY\i()#)'(+ *.' 11-Feb-19 ()#00+
o`  >iXek\[feAXelXip()#)'(, 6,000 11-Feb-19 (+#.*0
Total 27,021
Weighted average exercise price 13,371.16

EICHER MOTORS LIMITED

 237

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Option series Number exercised Exercise date Exercise price

Rs.
For the year ended March 31, 2018
(vi) Granted on February 11, 2012 1,800 ',$DXp$(. (#..'
(iii) Granted on April 29, 2010 10,000 ',$DXp$(. 695
``  >iXek\[feFZkfY\i))#)''. 500 '.$8l^$(. +-)
(iii) Granted on April 29, 2010 10,000 (+$Efm$(. 695
m```  >iXek\[fe8l^ljk((#)'(+ 3,830 (+$Efm$(. /#+./
`o  >iXek\[feEfm\dY\i()#)'(+ 329 (+$Efm$(. ()#00+
(iii) Granted on April 29, 2010 9,000 '.$=\Y$(/ 695
(vii) Granted on December 16, 2013 1,000 '.$=\Y$(/ +#0(,
o  >iXek\[feAXelXip()#)'(, 2,000 '.$=\Y$(/ (+#.*0
o`  >iXek\[feAXelXip()#)'(, -#*.' '.$=\Y$(/ (+#.*0
`o  >iXek\[feEfm\dY\i()#)'(+ +.( '.$=\Y$(/ ()#00+
Total 45,300
Weighted average exercise price 4,298.37

Share options outstanding at end of the year

Options series Options outstanding Remaining contractual life Exercise price

As at As at As at As at Rs.
March 31, 2019 March 31, 2018 March 31, 2019 March 31, 2018
(ii) ))$FZk$'. - - - - +-)
(iii) 29-Apr-10 - - - - 695
(iv) 8-Nov-10 - - - - (#+((
(v) 6-May-11 - - - - 1,162
(vi) 11-Feb-12 - - - - (#..'
(vii) 16-Dec-13 668 )#**+ 4.71 ,%.( +#0(,
(viii) (($8l^$(+ 8,270 ()#(.' 5.37 -%*. /#+./
(ix) ()$Efm$(+ 1,230 1,600 5.62 -%-) ()#00+
(x) ()$AXe$(, - - 5.79 -%.0 (+#.*0
(xi) ()$AXe$(, 7,930 13,930 5.79 -%.0 (+#.*0
(xii) 20-Mar-15 1,000 1,500 5.98 -%0/ 16,112
(xiii) 8-May-15 34,465 +/#+,' 6.11 .%(( (+#/'.
(xiv) )($Alc$(, 6,290 6,590 6.31 .%*( )(#)+/
(xv) 6-Nov-15 7,500 .#/'' 6.61 .%-( (.#-./
(xvi) 5-Feb-16 2,100 2,100 6.85 .%/, (-#/0+
(xvii) ).$8gi$(- 1,200 )#+'' 7.08 /%'/ )'#(+/
(xviii) )/$Alc$(- 2,100 2,100 7.33 /%** )'#*+'
(xix) )/$FZk$(- 3,000 3,000 7.58 /%,/ )+#+0)
(xx) ($=\Y$(. - 1,800 7.84 /%/+ 23,028
(xxi) ).$DXi$(. 2,000 3,500 7.99 /%00 )+#*,'
(xxii) 0$8l^$(. 1,350 1,350 8.36 0%*- 32,121
(xxiii) (+$Efm$(. 1,500 1,500 8.63 0%-* 30,585
(xxiv) .$=\Y$(/ 2,100 2,100 8.86 0%/- ).#,.0
(xxv) 2-Apr-18 4,500 - 9.01 - )/#*.*
(xxvi) 9-May-18 1,250 - 9.11 - *'#+).
(xxvii) 9-Aug-18 2,400 - 9.36 - ).#,0+
(xxviii) 12-Nov-18 2,800 - 9.62 - ))#+0-
(xxix) 11-Feb-19 1,250 - 9.87 - )'#/+/
94,903 (#(+#))+

ANNUAL REPORT 2018-19

238
FINANCIAL STATEMENTS (CONSOLIDATED)

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

48. DISCLOSURE IN RESPECT OF OPERATING LEASES:

(A) Assets taken on lease:
  K _\^iflg_XjkXb\eZ\ikX`egi\d`j\jle[\imXi`fljfg\iXk`e^c\Xj\X^i\\d\ekj%K_\kfkXcc\Xj\i\ekXci\Zf^e`q\Xj
\og\ej\X^^i\^Xk\kfIj%+/%-0Zifi\jDXiZ_*(#)'(/1Ij%*0%-'Zifi\j %
Future minimum lease payments under non-cancellable operating leases in the aggregate and for each of the
]fccfn`e^p\Xi1

Particulars As at As at
March 31, 2019 March 31, 2018
Not later than one year 11.71 +%-/
CXk\ik_Xefe\p\XiXe[efkcXk\ik_XeÔm\p\Xij 17.21 +%()

(B) Assets given on lease:

The group has given assets under operating lease agreement to its joint venture company "Eicher Polaris Private
C`d`k\[%K_\kfkXcc\Xj\i\ekXci\Zf^e`q\Xj`eZfd\X^^i\^Xk\kfIj%'%)-Zifi\jDXiZ_*(#)'(/1Ij%)%0)Zifi\j %
Future minimum lease payments under non-cancellable operating leases in the aggregate and for each of the
]fccfn`e^p\Xi1

Particulars As at As at
March 31, 2019 March 31, 2018
Not later than one year - '%)-
CXk\ik_Xefe\p\XiXe[efkcXk\ik_XeÔm\p\Xij - -
CXk\ik_XeÔm\p\Xij - -

 Efk\1C\Xj\X^i\\d\ekn`k_<`Z_\iGfcXi`jGi`mXk\C`d`k\[_XjY\\ek\id`eXk\[n`k_\ù\Zk]ifd8gi`c*'#)'(/% 

49. EXPENDITURE ON CORPORATE SOCIAL RESPONSIBILITY (CSR)

Particulars For the year ended For the year ended

March 31, 2019 March 31, 2018
(a) Gross amount required to be spent 45.39 *'%/,

Y  8dflekjg\ek1

(i) Construction/acquisition of any asset - -

 ``  Fegligfj\fk_\ik_Xe` XYfm\ 44.28 )0%/'

(c) Administrative expenses 1.11 (%',

EICHER MOTORS LIMITED

 239

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

50. ADDITIONAL INFORMATION AS REQUIRED BY PARAGRAPH 2 OF THE GENERAL

INSTRUCTIONS FOR PREPARATION OF CONSOLIDATED FINANCIAL STATEMENTS TO
SCHEDULE III TO THE COMPANIES ACT, 2013

Name of the entity Share of net assets J_Xi\f]gifÔkficfjj

As at March 31, 2019 For the year ended March 31, 2019
As % of Rs. in crores As % of Rs. in crores
consolidated consolidated
net assets gifÔkficfjj
Parent
<`Z_\iDfkfijC`d`k\[ 79.10% 7,054.62 91.00% 2,004.29
Subsidiaries
Foreign
(% IfpXc<eÔ\c[Efik_8d\i`ZXC`d`k\[ -0.68% (60.57) -0.96% (21.04)
)% I
 fpXc<eÔ\c[9iXj`c:fd\iZ`f[\DfkfZ`Zc\kXjCk[X -0.31% (27.80) -0.87% (19.24)
*% IfpXc<eÔ\c[K_X`cXe[ C`d`k\[ 0.18% 16.07 -0.10% (2.16)
Af`ekM\ekli\j`em\jkd\ekXjg\ik_\\hl`kpd\k_f[
Indian
(% M<:fdd\iZ`XcM\_`Zc\jC`d`k\[ 21.71% 1,936.40 11.73% 258.40
)% <`Z_\iGfcXi`jgi`mXk\C`d`k\[ - - -0.80% (17.52)

Name of the entity Share of other comprehensive income Share of total comprehensive income
For the year ended March 31, 2019 For the year ended March 31, 2019
As % of Rs. in crores As % of Rs. in crores
consolidated consolidated
net assets gifÔkficfjj
Parent
<`Z_\iDfkfijC`d`k\[ 93.15% (5.77) 90.99% 1,998.52
Subsidiaries
Foreign
(% IfpXc<eÔ\c[Efik_8d\i`ZXC`d`k\[ 22.25% (1.38) -1.02% (22.42)
)% I
 fpXc<eÔ\c[9iXj`c:fd\iZ`f[\DfkfZ`Zc\kXjCk[X -19.42% 1.20 -0.82% (18.04)
*% IfpXc<eÔ\c[K_X`cXe[ C`d`k\[ 2.88% (0.18) -0.11% (2.34)
Af`ekM\ekli\j`em\jkd\ekXjg\ik_\\hl`kpd\k_f[
Indian
(% M<:fdd\iZ`XcM\_`Zc\jC`d`k\[ 1.14% (0.07) 11.76% 258.33
)% <`Z_\iGfcXi`jgi`mXk\C`d`k\[ - - -0.80% (17.52)

ANNUAL REPORT 2018-19

240
FINANCIAL STATEMENTS (CONSOLIDATED)

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

Name of the entity Share of net assets J_Xi\f]gifÔkficfjj

As at March 31, 2018 For the year ended March 31, 2018
As % of Ij%`eZifi\j As % of Ij%`eZifi\j
consolidated consolidated
net assets gifÔkficfjj
Parent
<`Z_\iDfkfijC`d`k\[ .,%.' ,#*)(%,' (''%-- (#0.)%+-
Subsidiaries
Foreign
(% IfpXc<eÔ\c[Efik_8d\i`ZXC`d`k\[ $'%,* *.%*. $(%.. *+%-0
)% IfpXc<eÔ\c[9iXj`c:fd\iZ`f[\DfkfZ`Zc\kXjCk[X $'%(, ('%+, $'%., (+%-(
Af`ekM\ekli\j`em\jkd\ekXjg\ik_\\hl`kpd\k_f[
Indian
(% M<:fdd\iZ`XcM\_`Zc\jC`d`k\[ )+%0/ (#.,-%*0 (*%'0 ),-%,-
)% <`Z_\iGfcXi`jGi`mXk\C`d`k\[ - - $((%)* ))'%',

Name of the entity Share of other comprehensive income Share of total comprehensive income
For the year ended March 31, 2018 For the year ended March 31, 2018
As % of Ij%`eZifi\j As % of Ij%`eZifi\j
consolidated consolidated
net assets gifÔkficfjj
Parent
<`Z_\iDfkfijC`d`k\[ ('/%0( ('%/- (''%-0 (#0/*%*)
Subsidiaries
Foreign
(% IfpXc<eÔ\c[Efik_8d\i`ZXC`d`k\[ $'%'0 '%'( $(%.- *+%.'
)% IfpXc<eÔ\c[9iXj`c:fd\iZ`f[\DfkfZ`Zc\kXjCk[X '%-. '%'. $'%.+ (+%,+
Af`ekM\ekli\j`em\jkd\ekXjg\ik_\\hl`kpd\k_f[
Indian
(% M<:fdd\iZ`XcM\_`Zc\jC`d`k\[ $0%+0 '%0, ()%0/ ),,%-(
)% <`Z_\iGfcXi`jGi`mXk\C`d`k\[ - - $((%(. ))'%',

51. Gi\m`fljp\XiËjÔ^li\j_Xm\Y\\ei\ZXjk&i\^iflg\[#n_\i\m\ie\Z\jjXipkfZfe]fidn`k_k_\Zlii\ekg\i`f[Ëjgi\j\ekXk`fe%

52. CRITICAL ACCOUNTING JUDGEMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

In the application of the Group accounting policies, which are described in note 3, the management of the Group are
required to make judgements, estimates and assumptions about the carrying amounts of assets and liabilities that are not
i\X[`cpXggXi\ek]ifdfk_\ijfliZ\j%K_\\jk`dXk\jXe[XjjfZ`Xk\[Xjjldgk`fejXi\YXj\[fe_`jkfi`ZXc\og\i`\eZ\Xe[
fk_\i]XZkfijk_XkXi\Zfej`[\i\[kfY\i\c\mXek%8ZklXci\jlckjdXp[`ù\i]ifdk_\j\\jk`dXk\j%

 K_\\jk`dXk\jXe[le[\icp`e^Xjjldgk`fejXi\i\m`\n\[feXefe^f`e^YXj`j%I\m`j`fejkfXZZflek`e^\jk`dXk\jXi\
i\Zf^e`j\[`ek_\g\i`f[`en_`Z_k_\\jk`dXk\`ji\m`j\[`]k_\i\m`j`feXù\Zkjfecpk_Xkg\i`f[#fi`ek_\g\i`f[f]k_\i\m`j`fe
Xe[]lkli\g\i`f[j`]k_\i\m`j`feXù\ZkjYfk_Zlii\ekXe[]lkli\g\i`f[j%

The following are the areas of estimation uncertainty and critical judgements that the management has made in the process
f]Xggcp`e^k_\>iflgËjXZZflek`e^gfc`Z`\jXe[k_Xk_Xm\k_\dfjkj`^e`ÔZXek\ù\Zkfek_\Xdflekji\Zf^e`j\[`ek_\
Zfejfc`[Xk\[ÔeXeZ`XcjkXk\d\ekj1$
Control over VE Commercial Vehicles Limited
 M<:fdd\iZ`XcM\_`Zc\jC`d`k\[M<:MC `jXaf`ekm\ekli\:fdgXepf]<`Z_\iDfkfijC`d`k\[<DC Xe[8bk`\YfcX^\k
MfcmfGL9C #Mfcmf89Mfcmf %<DC_fc[j,+%+`eM<:MC#_fn\m\i#k_\Zfdgfj`k`fef]k_\9fXi[f];`i\Zkfij]fik_\
dXeX^\d\ekf]M<:MC`jaf`ekcpZfekifcc\[YpYfk_k_\`em\jkfij`%\%<DCXe[89Mfcmf%=lik_\i#<DC`jXcjfefkd\\k`e^k_\
Zi`k\i`Xf]ZfekifcXj^`m\e`e@e[$8J(('#]fi\%^%<DC\ogfjli\&i`^_kkfmXi`XYc\i\kliej]ifd`kj`emfcm\d\ek`eM<:MC#XY`c`kp
kflj\`kjgfn\ifm\iM<:MkfXù\Zkk_\Xdflekf]i\kliej#\kZ%Xe[k_\i\]fi\#M<:MC`jZfej`[\i\[Xjaf`ekm\ekli\`ejk\X[
f]XjlYj`[`XipZfdgXep]fi<DC%

EICHER MOTORS LIMITED

 241

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

 K_\XiiXe^\d\ekj_XccY\ki\Xk\[XjXaf`ekXiiXe^\d\ekle[\i@e[8J(((ÈAf`ek8iiXe^\d\ekjÉ%
 @e[8J(((ZcXjj`Ô\jaf`ekXiiXe^\d\ekj`ekf1
Š A f`ekfg\iXk`fejn_\i\Ypk_\gXik`\j_Xm\af`ekZfekifcfm\ik_\i`^_kjXe[fYc`^Xk`fejf]k_\XiiXe^\d\ek%@kXcjf
`eZcl[\jXeXiiXe^\d\ekn_`Z_`jefkjkilZkli\[k_ifl^_Xj\gXiXk\m\_`Zc\%
Š Af`ekm\ekli\n_\i\Ypk_\gXik`\j_Xm\af`ekZfekifcfm\ik_\e\kXjj\kjf]k_\XiiXe^\d\ek%
 Af`ek:fekifc_XjY\\e[\jZi`Y\[kfY\\o`jk`e^fecpn_\e[\Z`j`fejXYflki\c\mXekXZk`m`k`\ji\hl`i\k_\leXe`dfljZfej\ek
f]k_\gXik`\jk_XkZfcc\Zk`m\cpZfekifck_\XiiXe^\d\ek%K_\ZfekiXZklXcXiiXe^\d\eki\hl`i\jXd`e`dldgifgfik`fef]k_\
mfk`e^i`^_kjkfdXb\i\c\mXek[\Z`j`fej%
 8jg\ik_\XYfm\[\jZi`gk`fe#k_\XiiXe^\d\ekY\kn\\e<DCXe[89Mfcmfj_XccY\ZcXjj`Ô\[XjXAf`ekM\ekli\Xj`k_Xj
Y\\ejkilZkli\[k_ifl^_Xj\gXiXk\m\_`Zc\`%\%M<:MC Xe[Xcjfk_\gXik`\j[fefk_Xm\Zfekifcfm\ijg\Z`ÔZi`^_kjXe[
fYc`^Xk`fejiXk_\ik_\p_Xm\af`ekZfekifcfm\ik_\e\kXjj\kj%
Recoverability of intangible assets and intangible assets under development
 K_\>iflg_XjmXi`flj`ek\ieXccp^\e\iXk\[`ekXe^`Yc\Xjj\kj\`k_\iZXg`kXc`j\[file[\i[\m\cfgd\ek%@e`k`Xci\Zf^e`k`fe
f]k_\\og\e[`kli\le[\ik_\j\Xjj\kjXi\YXj\[feXjj\jj`e^\XZ_Xjj\k`ei\cXk`fekfk_\jg\Z`ÔZi\Zf^e`k`feZi`k\i`Xkf
Y\d\k]fiZXg`kXc`jXk`fe#]fi\%^%k\Z_efcf^`ZXcXe[\Zfefd`Z]\Xj`Y`c`kpXe[k_\XY`c`kpf]k_\Xjj\kkf^\e\iXk\\Zfefd`Z
Y\e\Ôkj`ek_\]lkli\%@eX[[`k`fe#k_\dXeX^\d\ekXcjfXjj\jj\jXep`e[`ZXk`fejf]`dgX`id\ekf]k_\ZXiip`e^mXcl\f]
k_\Xjj\kj%K_`ji\hl`i\jk_\dXeX^\d\ekjal[^\d\ekXe[Xjjldgk`fej#n_`Z_Xi\Xù\Zk\[Yp]lkli\dXib\kfi\Zfefd`Z
[\m\cfgd\ekj%K_\dXeX^\d\ek_XjXeXcpj\[k_\i\Zf^e`k`feZi`k\i`XXe[]lkli\dXib\kZfe[`k`fejXe[`jZfeÔ[\ekk_Xk
k_\j\Xjj\kj[fefki\hl`i\XepX[aljkd\ekjkfk_\`iZXiip`e^mXcl\Xkk_\p\Xi\e[%   

Provision and contingent liability

 FeXefe^f`e^YXj`j#>iflgi\m`\njg\e[`e^ZXj\j#ZcX`djYpk_`i[gXik`\jXe[fk_\iZfek`e^\eZ`\j%=fiZfek`e^\ekcfjj\jk_Xk
Xi\Zfej`[\i\[gifYXYc\#Xe\jk`dXk\[cfjj`ji\Zfi[\[XjXeXZZilXc`eZfejfc`[Xk\[ÔeXeZ`XcjkXk\d\ekj%Cfjj:fek`e^\eZ`\j
k_XkXi\Zfej`[\i\[gfjj`Yc\Xi\efkgifm`[\[]fiYlk[`jZcfj\[Xj:fek`e^\ekc`XY`c`k`\j`ek_\Zfejfc`[Xk\[ÔeXeZ`Xc
jkXk\d\ekj%:fek`e^\eZ`\jk_\c`b\c`_ff[f]n_`Z_`ji\dfk\Xi\efk[`jZcfj\[`ek_\Zfejfc`[Xk\[ÔeXeZ`XcjkXk\d\ekj%>X`e
Zfek`e^\eZ`\jXi\efki\Zf^e`q\[lek`ck_\Zfek`e^\eZp_XjY\\ei\jfcm\[Xe[XdflekjXi\i\Z\`m\[fii\Z\`mXYc\%
Useful lives of depreciable assets
 DXeX^\d\eki\m`\njk_\lj\]lcc`m\jf][\gi\Z`XYc\Xjj\kjXk\XZ_i\gfik`e^g\i`f[%8jXkDXiZ_*(#)'(0dXeX^\d\ek
Xjj\jj\[k_Xkk_\lj\]lcc`m\ji\gi\j\ekk_\\og\Zk\[lk`c`kpf]k_\Xjj\kjkfk_\>iflg%=lik_\i#k_\i\`jefj`^e`ÔZXekZ_Xe^\
`ek_\lj\]lcc`m\jXjZfdgXi\[kfgi\m`fljp\Xi%
Share-based payments
Estimating fair value for share-based payment transactions requires determination of the most appropriate valuation
df[\c#n_`Z_`j[\g\e[\ekfek_\k\idjXe[Zfe[`k`fejf]k_\^iXek%K_`j\jk`dXk\Xcjfi\hl`i\j[\k\id`eXk`fef]k_\dfjk
appropriate inputs to the valuation model including the expected life of the share option, volatility and dividend yield and
dXb`e^Xjjldgk`fejXYflkk_\d%K_\Xjjldgk`fejXe[df[\cjlj\[]fi\jk`dXk`e^]X`imXcl\]fij_Xi\$YXj\[gXpd\ek
kiXejXZk`fejXi\[`jZcfj\[`eEfk\+.%
 @dgX`id\ekf]efe$ÔeXeZ`XcXjj\kj   
Impairment exists when the carrying value of an asset or cash generating unit exceeds its recoverable amount, which is the
_`^_\if]`kj]X`imXcl\c\jjZfjkjf][`jgfjXcXe[`kjmXcl\`elj\%K_\]X`imXcl\c\jjZfjkjf][`jgfjXcZXcZlcXk`fe`jYXj\[fe
available data from binding sales transactions, conducted at arm’s length, for similar assets or observable market prices less
`eZi\d\ekXcZfjkj]fi[`jgfj`e^f]k_\Xjj\k%K_\mXcl\`elj\ZXcZlcXk`fe`jYXj\[feX;:=df[\c%

53. STANDARDS ISSUED BUT NOT YET EFFECTIVE

Ind AS 116 Leases
 @e[8J((-C\Xj\jnXjefk`Ô\[YpD:8feDXiZ_*'#)'(0Xe[`ki\gcXZ\j@e[8J(.C\Xj\j#`eZcl[`e^Xgg\e[`Z\jk_\i\kf%
@e[8J((-`j\ù\Zk`m\]fiXeelXcg\i`f[jY\^`ee`e^fefiX]k\i8gi`c'(#)'(0%@e[8J((-j\kjflkk_\gi`eZ`gc\j]fik_\
recognition, measurement, presentation and disclosure of leases and requires lessees to account for all leases under a
j`e^c\fe$YXcXeZ\j_\\kdf[\cj`d`cXikfk_\XZZflek`e^]fiÔeXeZ\c\Xj\jle[\i@e[8J(.%K_\jkXe[Xi[`eZcl[\jknf
i\Zf^e`k`fe\o\dgk`fej]fic\jj\\jÆc\Xj\jf]Êcfn$mXcl\ËXjj\kj\%^%#g\ijfeXcZfdglk\ij Xe[j_fik$k\idc\Xj\j`%\%#

ANNUAL REPORT 2018-19

242
FINANCIAL STATEMENTS (CONSOLIDATED)

NOTES
FORMING PART OF THE CONSOLIDATED FINANCIAL STATEMENTS FOR THE YEAR ENDED MARCH 31, 2019
ALL AMOUNTS ARE IN RS. CRORES UNLESS OTHERWISE STATED

c\Xj\jn`k_Xc\Xj\k\idf]()dfek_jfic\jj %8kk_\Zfdd\eZ\d\ek[Xk\f]Xc\Xj\#Xc\jj\\n`cci\Zf^e`j\Xc`XY`c`kpkf
dXb\c\Xj\gXpd\ekj`%\%#k_\c\Xj\c`XY`c`kp Xe[XeXjj\ki\gi\j\ek`e^k_\i`^_kkflj\k_\le[\icp`e^Xjj\k[li`e^k_\c\Xj\
k\id`%\%#k_\i`^_k$f]$lj\Xjj\k %C\jj\\jn`ccY\i\hl`i\[kfj\gXiXk\cpi\Zf^e`j\k_\`ek\i\jk\og\ej\fek_\c\Xj\c`XY`c`kp
Xe[k_\[\gi\Z`Xk`fe\og\ej\fek_\i`^_k$f]$lj\Xjj\k%
 C\jj\\jn`ccY\Xcjfi\hl`i\[kfi\d\Xjli\k_\c\Xj\c`XY`c`kplgfek_\fZZlii\eZ\f]Z\ikX`e\m\ekj\%^%#XZ_Xe^\`e
the lease term, a change in future lease payments resulting from a change in an index or rate used to determine those
gXpd\ekj %K_\c\jj\\n`cc^\e\iXccpi\Zf^e`j\k_\Xdflekf]k_\i\d\Xjli\d\ekf]k_\c\Xj\c`XY`c`kpXjXeX[aljkd\ekkf
k_\i`^_k$f]$lj\Xjj\k%
 C\jjfiXZZflek`e^le[\i@e[8J((-`jjlYjkXek`XccpleZ_Xe^\[]ifdkf[XpËjXZZflek`e^le[\i@e[8J(.%C\jjfijn`cc
Zfek`el\kfZcXjj`]pXccc\Xj\jlj`e^k_\jXd\ZcXjj`ÔZXk`fegi`eZ`gc\Xj`e@e[8J(.Xe[[`jk`e^l`j_Y\kn\\eknfkpg\jf]
c\Xj\j1fg\iXk`e^Xe[ÔeXeZ\c\Xj\j%
 K_\>iflg`ek\e[jkfX[fgkk_\j\jkXe[Xi[j]ifd8gi`c'(#)'(0%8jk_\>iflg[f\jefk_Xm\XepdXk\i`Xcc\Xj\j#k_\i\]fi\
k_\X[fgk`fef]k_`jjkXe[Xi[`jefkc`b\cpkf_Xm\XdXk\i`Xc`dgXZk`e`kj:fejfc`[Xk\[=`eXeZ`XcJkXk\d\ekj%

Appendix C to Ind AS 12 Uncertainty over Income Tax Treatment

 K_\@ek\igi\kXk`feX[[i\jj\jk_\XZZflek`e^]fi`eZfd\kXo\jn_\ekXoki\Xkd\ekj`emfcm\leZ\ikX`ekpk_XkXù\Zkjk_\
Xggc`ZXk`fef]@e[8J()Xe[[f\jefkXggcpkfkXo\jfic\m`\jflkj`[\k_\jZfg\f]@e[8J()#efi[f\j`kjg\Z`ÔZXccp`eZcl[\
i\hl`i\d\ekji\cXk`e^kf`ek\i\jkXe[g\eXck`\jXjjfZ`Xk\[n`k_leZ\ikX`ekXoki\Xkd\ekj%K_\@ek\igi\kXk`fejg\Z`ÔZXccp
X[[i\jj\jk_\]fccfn`e^1
ŠWhether an entity considers uncertain tax treatments separately
ŠThe assumptions an entity makes about the examination of tax treatments by taxation authorities
Š?fnXe\ek`kp[\k\id`e\jkXoXYc\gifÔkkXocfjj #kXoYXj\j#lelj\[kXocfjj\j#lelj\[kXoZi\[`kjXe[kXoiXk\j
ŠHow an entity considers changes in facts and circumstances

An entity has to determine whether to consider each uncertain tax treatment separately or together with one or more
fk_\ileZ\ikX`ekXoki\Xkd\ekj%K_\XggifXZ_k_XkY\kk\igi\[`Zkjk_\i\jfclk`fef]k_\leZ\ikX`ekpj_flc[Y\]fccfn\[%@e
determining the approach that better predicts the resolution of the uncertainty, an entity might consider, for example, (a)
_fn`kgi\gXi\j`kj`eZfd\kXoÔc`e^jXe[jlggfikjkXoki\Xkd\ekj2fiY _fnk_\\ek`kp\og\Zkjk_\kXoXk`feXlk_fi`kpkf
dXb\`kj\oXd`eXk`feXe[i\jfcm\`jjl\jk_Xkd`^_kXi`j\]ifdk_Xk\oXd`eXk`fe%
 K_\`ek\igi\kXk`fe`j\ù\Zk`m\]fiXeelXci\gfik`e^g\i`f[jY\^`ee`e^fefiX]k\i8gi`c'(#)'(0#YlkZ\ikX`ekiXej`k`fei\c`\]j
Xi\XmX`cXYc\%K_\>iflgn`ccXggcpk_\`ek\igi\kXk`fe]ifd`kj\ù\Zk`m\[Xk\%?fn\m\i#k_\>iflg[f\jefk]fi\j\\XdXk\i`Xc
`dgXZkfeXZZflekf]k_\jXd\%

54. EVENTS AFTER THE REPORTING PERIOD

 K_\9fXi[f][`i\ZkfijXkk_\`id\\k`e^_\c[feDXp('#)'(0#Zfej`[\i\[Xe[i\Zfdd\e[\[XÔeXc[`m`[\e[X^^i\^Xk`e^
Ij%*+(%'*Zifi\j7Ij%(),g\ij_Xi\efd`eXcmXcl\Ij%('g\ij_Xi\ ]fik_\ÔeXeZ`Xcp\Xi)'(/$(0ÔeXc[`m`[\e[gX`[]fi
DXiZ_*(#)'(/1Ij%)00%0*Zifi\j7Ij%(('g\ij_Xi\ %

As per our report of even date =fiXe[feY\_Xc]f]k_\9fXi[f];`i\Zkfijf]<`Z_\iDfkfijC`d`k\[

For S.R. Batliboi & Co. LLP
Chartered Accountants
@:8@=`idi\^`jkiXk`feeldY\i1*'(''*<&<*'''',

per Sanjay Vij Manhar Kapoor Lalit Malik Vinod K. Dasari Siddhartha Lal
Partner Company Secretary :_`\]=`eXeZ`XcFøZ\i Whole-time Director & Managing Director
D\dY\ij_`gEf1'0,(-0 :<Ff]IfpXc<eÔ\c[ ;@E1'''*.-+,
;@E1''*+,-,.

Inder Mohan Singh Manvi Sinha Vinod Aggarwal S. Sandilya

Director Director Director Chairman
;@E1'.((+.,' ;@E1'.'*/-., ;@E1'''*/0'- ;@E1'''*.,+)

GcXZ\1>lil^iXd GcXZ\1>lil^iXd
;Xk\1DXp('#)'(0 ;Xk\1DXp('#)'(0

EICHER MOTORS LIMITED

 243-251
OVERVIEW OF PERFORMANCE

VE COMMERCIAL
VEHICLES LIMITED
A SUBSIDIARY OF THE COMPANY

ANNUAL REPORT 2018-19

244
REVIEW OF SUBSIDIARY

PERFORMANCE HIGHLIGHTS
OF VE COMMERCIAL VEHICLES LIMITED

Chart 1 // Eicher Commercial Vehicles Chart 2 // Eicher 3.5-15 Tonne Cargo Domestic
Xe[À>ifnk_ and Market Share

,+%*

*)%- *)%/
*(%, *(%*
71,743

)0%+
-+#/..
-(#,+-

33,010
,.#++(

30,131

37,706
)-#').
()%0
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20,316

2015-16 (15M)
2015-16 (15M)

$(%-
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2018-19
2018-19

)'(-$(.

)'(.$(/
)'(-$(.

)'(.$(/

)'(+
)'(+

<`Z_\i:fdd\iZ`XcM\_`Zc\jEfj% Growth (%) <`Z_\i*%,$(,Kfee\j:Xi^f;fd\jk`ZEfj% Market Share (%)

Efk\1MfcmfKilZbj;fd\jk`Z mfcld\j_fnej\gXiXk\cp`e:_Xik- !@e)'(,$(-#k_\`e[ljkipmfcld\]fi*%,$,Kj\^d\ek_XjY\\eZfej`[\i\[]fi

k_\g\i`f[n_\eM<:MZfdd\eZ\[jXc\j`ek_`jj\^d\ek%

Chart 3 // Eicher 16 Tonne and above Cargo Chart 4 // Eicher Exports: Cargo/Buses
Domestic and Market Share and Growth
,#/)+

.#,()

8,035

9,001

8,746 10,010

+%0

+%, .-%,
+%-
*%0
.#+',

*%-
13,281
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6,005
,#(/+
11,109
('#/-+

+#+-'

)0%'
5,629

()%'
2015-16 (15M)

2015-16 (15M)

.%' ((%)
2018-19

2018-19
)'(-$(.

)'(-$(.
)'(.$(/

)'(.$(/
2,030
2,328

1,596

(#)-+
(#*-+
)'(+

)'(+

<`Z_\i(-Kfee\Xe[XYfm\Efj% Market Share (%) Cargo Buses Growth (%)

EICHER MOTORS LIMITED

 245

Chart 5 // Eicher Buses Domestic and Chart 6 // Volvo Trucks Domestic and Growth
Market Share

-/%)

(-%/ (.%(
(,%*
(,%-
(+%0
13,038

(#+00
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).%(

1,226
10,746
('#+0+

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1,163

1,055
8,123

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2015-16 (15M)

2015-16 (15M)
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2018-19
)'(-$(.

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<`Z_\i9lj\j;fd\jk`ZEfj% Market Share (%) MfcmfKilZbj;fd\jk`ZEfj% Growth (%)

Chart 8 // Earnings before Interest, Depreciation

Chart 7 // Net Revenue from operations and and Taxes and percentage to Net Revenue from
Total Comprehensive Income (Consolidated) Operations (Consolidated)

+.' +.,

0%'
386
/%) /%+
*+*
.%0
11,600

973
905

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('#'+0
9,309

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189
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383
2015-16 (15M)

2015-16 (15M)
2018-19

2018-19
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E\kI\m\el\]ifdFg\iXk`fej Total Comprehensive Income Earnings before Interest, Depreciation % to Net Revenue
:fejfc`[Xk\[ Ij%`e:ifi\j Ij%`e:ifi\j Xe[KXo\j:fejfc`[Xk\[ Ij%`e:ifi\j ]ifdFg\iXk`fej

ANNUAL REPORT 2018-19

246
REVIEW OF SUBSIDIARY
BUSINESS HIGHLIGHTS AND
FUTURE PROSPECTS
BRIEF DESCRIPTION OF THE STATE OF
:FDG8EPËJÀ8==8@IJ
K_\ÔeXeZ`Xcp\Xi)'(/$(0jkXik\[feXgifd`j`e^efk\Ylk
also threw some challenges due to sudden new axle load
norms and NBFC crises which adversely impacted sales in
)e[_Xc]f]k_\p\Xi%N`k_XeXcc$k`d\_`^_mfcld\f].)#0-0
kilZbjXe[Ylj\j#k_\ZfdgXep[`[n\ccYp^ifn`e^Xk('%.Xj
ZfdgXi\[kf-,#0*)f]cXjkp\Xi%
In the domestic market, the company sold 62,959 vehicles,
X^ifnk_f]('%-fm\igi\m`fljp\Xi%K_\ZfdgXep_Xj
achieved highest ever volumes in multiple categories in the
p\Xin`k_jXc\jf](+#,'.?\Xmp;lkpKilZbj#*.#.'-CD;
kilZbj#0#/+-CD;9lj\jXe[('#'('m\_`Zc\j`e<ogfikj%
The company also did well in HD Buses sales of 900 units in
[fd\jk`ZdXib\k%
During the year under review, the Company won several
gi\jk`^`fljXnXi[j%Jfd\f]k_\j\Xi\Xj]fccfnj1
 8k<G:Nfic[8nXi[j)'(0#M<:M^fkÈFlkjkXe[`e^
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 8kk_\8gfccf:MXnXi[j)'(0#M<:MYX^^\[+
gi\jk`^`fljXnXi[jm`q%#È:MDXef]k_\p\Xi^`m\ekf
M`ef[8^^XinXc#D;:<F#M<:M#È?:MKiXZkfif]k_\
p\Xi]fi<`Z_\iGif/'+0-o+ #ÈC:M:Xi^f:Xii`\if]
k_\p\Xi]fi<`Z_\iGif(',0OG(-$]\\k ÉXe[È?:M
K`gg\if]k_\p\Xi]fiMfcmf=D*/'/o+ É
 M<:MnfeÈ9\jkI`jbDXeX^\d\ek=iXd\nfibXe[
System Automotive and Auto Ancillary” award by ICICI
CfdYXi[Xe[:E9:KM$(/
 M<:MXcjfYX^^\[DXb`e^f];\m\cfg\[@e[`X8nXi[j
(Brand Excellence) by ET Now for “Brand Excellence in
Automobile Sector” and “Best use of Social Media in
DXib\k`e^Æ<`Z_\iEXp`JfZ_É
 M<:MXcjfnfek_\È:@@EXk`feXc?I<oZ\cc\eZ\8nXi[
)'(/É%
M<:MYX^^\[dlck`gc\XnXi[jXkÈ>cfYXc8nXi[j]fiI\kX`c
<oZ\cc\eZ\`e8lkfDXib\k`e^ÉYp<KEfnXj]fccfnj1
EICHER MOTORS LIMITED
X% 9\jkD:MK`gg\if]k_\p\XiÆ<`Z_\iGif-'),K
Y% 9\jk@:M:Xi^f:Xii`\if]k_\p\XiÆ<`Z_\iGif*'(+$
Super truck
Z% 9\jkD:M:Xi^ff]k_\p\XiÆ<`Z_\iGif*'(-$8DK
[% 9\jkKiXZkfi:Xi^ff]k_\p\XiÆ<`Z_\iGif-',,
\% 9\jkJfZ`XcD\[`X:XdgX`^eÆ?X?X?`^_nXpj
]% 9\jkDXib\k`e^:XdgX`^ef]k_\p\XiÆ<`Z_\iEXp`JfZ_
M<:MnfeÈDfjkGi\]\ii\[9iXe[Yp:fejkilZk`feI\Xc
<jkXk\Æ?\XmpM\_`Zc\jkilZbj ÉYpK`d\jE\knfib
M<:MYX^^\[+XnXi[jXkÈKXc\ekDXeX^\d\ekXe[
C\X[\ij_`g8nXi[jÉYp<KEfn]fi
X% 9\jkKXc\ekDXeX^\d\ekJkiXk\^p
Y% EXk`feXc9\jk<dgcfp\i9iXe[)'(/
Z% KXc\ekDXeX^\d\ek8nXi[Xk;i\Xd:fdgXe`\jkfnfib]fi
[% ('(?IJlg\i8Z_`\m\ij@e[`X 
M<:M^fkÈ9iXe[<oZ\cc\eZ\8nXi[`e:fdd\iZ`XcM\_`Zc\jÉ
and “Best use of Social Media in Marketing” at Brand
Excellence Awards by ABP
BUSINESSES, MARKET AND FUTURE PROSPECTS
Eicher Trucks and Buses (ETB)
Eicher Trucks and Buses (ETB) has achieved highest ever sales
f].(#.+*le`kj`ek_\ÔeXeZ`Xcp\Xi)'(/$(0XjZfdgXi\[
kf-+#/..le`kj`ek_\ÔeXeZ`Xcp\Xi)'(.$(/#n`k_X^ifnk_
f]('%-%@e[fd\jk`Z:MdXib\k#<K9_Xji\Zfi[\[jXc\j
f]-(#.**le`kj`e=P(/$(0XjZfdgXi\[kf,,#/.-le`kj#
i\gi\j\ek`e^^ifnk_f]('%,%Fek_\\ogfikj]ifek#<K9_Xj
recorded highest ever sales of 10,010 units as compared to
0#''(le`kj#n`k_X^ifnk_f]((%)%
CD;kilZbj*%,Æ(,K dXib\kj_Xi\[\Zc`e\[]ifd*(%*kf
)0%+`e=P(/$(0#?;kilZbjdXib\kj_Xi\jXnXdXi^`eXc
[ifg]ifd+%-kf+%,%@e9ljj\^d\ek#CD;Ylj\j`dgifm\[
`kjdXib\kj_Xi\]ifd(0%/kf)'%.Xe[n`k_`eZi\Xj\[]fZlj

`e?;Ylji\kX`cdXib\k#k_\mfcld\i\XZ_\[]ifd,'kf.,
Ylj\jg\idfek_Zfej`jk\ekcp%
ETB plant is continuing its journey to become a world class
:MdXel]XZkli\i`e@e[`X%:fek`elflj\ùfikjXi\Y\`e^dX[\
kfX[fgkMfcmfGif[lZk`feJpjk\dMGJ XZifjjk_\gcXek%
There is continuous focus on quality improvement through
k\Z_efcf^pX[fgk`feXe[XlkfdXk`fe%Kfd\\kdXib\k
demand, plant capacity has been increased to 90,000 per
Xeeld%E\n]XZ`c`k`\j]fi9f[pj_fg$Gif)'''#Gif/'''
Xe[9JM@Xi\`ejkXcc\[Xe[Zfdd`jj`fe\[jlZZ\jj]lccpXe[
9JM@gifa\Zki\XZ_\[kf`e[ljki`Xc`qXk`feg_Xj\XkG`k_Xdgli
gcXek%
Bhopal Plant
To enhance overall ETB capacity from 90,000 to 1,30,000,
9_fgXcgifa\Zkb`Zb\[fù`eFZkfY\i)'(/%Gifa\Zknfib`j
^f`e^fe`e]lccjn`e^%8cc\ùfikjXi\Y\`e^dX[\kfd\\k
jki`e^\ek[\X[c`e\f]g_Xj\(%CXe[[\m\cfgd\ek]fi`e[ljki`Xc
j_\[Xe[Yl`c[`e^]fle[Xk`fenfib`jfekiXZb%<oZXmXk`feXe[
]ffk`e^Zfdgc\k\[]fi\e^`e\Xjj\dYcpXe[lk`c`kpYl`c[`e^%
Fm\iXccgif^i\jj`jfekiXZb%
Volvo Trucks India (VTI)
KfkXc`e[ljkipmfcld\`eÔeXeZ`Xcp\Xi)'(/$(0i\^`jk\i\[X
jkife^^ifnk_f])-%,`ek_\_`^_\e[gi\d`ld?;KilZb
j\^d\ekXjZfdgXi\[kfÔeXeZ`Xcp\Xi)'(.$(/%K_\`e[ljkip
mfcld\^i\n]ifd(#(00le`kjcXjkÔeXeZ`Xcp\Xi(.$(/kf
(#,(.le`kj`eÔeXeZ`Xcp\Xi)'(/$(0%MK@jfc[(#))-kilZbj
`eÔeXeZ`Xcp\Xi)'(/$(0#n_`Z_`jX^ifnk_f](-%)Xj
ZfdgXi\[kf(#',,le`kjjfc[`eÔeXeZ`Xcp\Xi)'(.$(/%MK@
continues to maintain a strong leadership position in the
dXib\kn`k_/'%/dXib\kj_Xi\%Le[\ik_\e\ncpZfejk`klk\[
ZfejkilZk`feXe[`e]iXj\^d\ekMK@ZcfZb\[((.le`kjjXc\]fi
ÔeXeZ`Xcp\Xi)'(/$(0Xe[Zifjj\[),'kilZbjjXc\j`eZ\
`eZ\gk`fe%
DXib\kZfek`el\jkfjlggfikMK@Ëj^ifnk_XdY`k`fejXjZfXc
continues to be chief source of electricity with ~80% share in
^\e\iXk`fe%
Mfcld\j`eÔeXeZ`Xcp\Xi)'(0$)'Xi\\og\Zk\[kfi\XZ_
_`^_\ic\m\cjf]^ifnk_n`k_:@CkXb`e^lgXkXi^\kf]u.''
MT of coal production and a greater number of captive coal
blocks becoming active, though, uncertainties regarding retail
ÔeXeZ\Xe[e\n^fm\ied\ek]fidXk`fegi\mX`c`ek_\Ôijk
hlXik\i%K_\e\nZfejkilZk`fek`gg\iR=D*/'Tn`cc\eXYc\MK@
to make further inroads into segments like irrigation and road
ZfejkilZk`fe%
Eicher Engineering Components (EEC)
The year under review witnessed exports business doubled in
cXjk*p\Xij%;li`e^k_\p\Xile[\ii\m`\n#<<:i\Z\`m\[XnXi[j
]ifdB\p>cfYXcF<DZljkfd\ij]fi\oZ\cc\eZ\`eHlXc`kp#
;\c`m\ip#E\nGif[lZk;\m\cfgd\ekXe[:XgXZ`kpIXdglg%
Customer relationship management was also one of the key
[i`m\ijkfi\Z\`m\k_\j\XnXi[j%
The company is anticipating continued growth in business with
k_\b\pF<DZljkfd\ijk_ifl^_`eZi\Xj\[j_Xi\f]Ylj`e\jj#
acquisition of new customers and new businesses, introduction
247
of new parts and assemblies, focus on productivity
improvement, cost and working capital management and
meeting the increased requirements of domestic and global
F<DZljkfd\ij%
VE Powertrain (VEPT)
M<GK_Xjjfc[*0#/).\e^`e\j`ek_\ÔeXeZ`Xcp\Xi)'(/$(0
X^X`ejk*+#/',\e^`e\j`ek_\ÔeXeZ`Xcp\Xi)'(.$(/#k_lj
i\^`jk\i`e^X^ifnk_f](+%+%(#*-#'''"\e^`e\j_Xm\Y\\e
[\c`m\i\[kfZljkfd\ijj`eZ\`eZ\gk`fe%M<GKX`djkfY\Y\jk
partner and preferred supplier of Medium Duty engines and
gfn\ikiX`eXjj\dYc`\jkfMfcmf>iflg%
K_\ÔeXeZ`Xcp\Xi)'(0$)'`jc`b\cpkfn`ke\jj]lik_\i^ifnk_`e
jXc\jf]\e^`e\j%DX`e^ifnk_[i`m\in`ccY\`eZi\Xj\`ejlggc`\j
f]:9L\e^`e\j]fi<`Z_\iYiXe[m\_`Zc\jXe[L;YiXe[
m\_`Zc\j`eK_X`cXe[<l*Xggc`ZXk`fej %N`k_d`^iXk`fekf9JM@
emission, relentless cost reduction programs and high focus
fe`eZi\Xj\[]c\o`Y`c`kpXe[X^`c`kpf]k_\jlggcpZ_X`e#M<GK
X`djkfZXk\iXccZljkfd\ii\hl`i\d\ekjdfjk\øZ`\ekcp%
Bus Body and Application Manufacturing Plant (Bus
Body Plant)
9lj9f[pgcXekmfcld\_Xj^ifneYp*'%)kf.#)0/Ylj\j
[li`e^k_\ÔeXeZ`Xcp\Xi)'(/$(0XjX^X`ejk,#-',Ylj\j
[li`e^k_\ÔeXeZ`Xcp\Xi)'(.$(/n_`Z_`jk_\_`^_\jk\m\i
mfcld\ifcc\[flk%K_`j`eZcl[\j/)-Ylj\jjlggc`\[k_ifl^_
a new initiative of mass customization which has been well
XZZ\gk\[`ek_\dXib\k%K_\i\c\ekc\jjjkiXk\^pkf]fZljfe
in-house process cost reduction over last 2 years has started
p`\c[`e^i\jlckj%
N`k_k_\D`[[c\<XjkdXib\kfg\e`e^#k_\e\nC?;)'(,Ylj
Xe[k_\GifC?;9lj`ek_\g`g\c`e\#9lj9f[pGcXekn`ccY\
in a stronger position to deliver higher exports volume in the
Zfd`e^p\Xij%Kf\e_XeZ\9ljhlXc`kp#Xe\n`dgifm\d\ek
gif^iXdZXcc\[ÊLgk`d\@e`k`Xk`m\Ë_XjY\\ejkXik\[]fi
improvements in parts, process, irritant and quality impression
`ek_\Ô\c[%;\m\cfgd\ekf]\c\Zki`ZYlj\j_XjY\\ejkXik\[
Xe[YXkZ_gif[lZk`fe`j\og\Zk\[kfjkXik`ek_\ÔijkhlXik\if]
ÔeXeZ`Xcp\Xi)'(0$)'%
International Business
The company recorded the highest ever exports of 10,010
<`Z_\i9iXe[\[m\_`Zc\j[li`e^k_\ÔeXeZ`Xcp\Xi)'(/$(0Xj
X^X`ejk0#''(m\_`Zc\j`eÔeXeZ`Xcp\Xi)'(.$(/i\gi\j\ek`e^
X^ifnk_f]((%)%K_`j_XjcXi^\cpY\\e[i`m\eYpZfek`el\[
strong performance in South Asia and foray into ASEAN
i\^`fe%K_`jnXjXcjfjlggc\d\ek\[YpjgXi\gXikjXc\j^ifnk_
of 31% over last year supported by retail network expansion
which now stands at over 500 touch points across target
dXib\kj%
The new generation trucks of Pro 3000 and Pro 6000 series
have been introduced in several new markets with extremely
good customer feedback and increasing the addressable
jgXZ\`ek_\`e[ljkip_`k_\ikf[fd`eXk\[YpAXgXe\j\kilZbj%
K_\p\XiXcjfjXnjlZZ\jj]lc\o\Zlk`fef](jk\m\i<O@Dk\e[\i
of 350 units of HD trucks to Bangladesh for Bangladesh Road
KiXejgfik:figfiXk`fe9IK: %
ANNUAL REPORT 2018-19
248
REVIEW OF SUBSIDIARY

CONSOLIDATED BALANCE SHEET

VE COMMERCIAL VEHICLES LIMITED AS AT MARCH 31, 2019

Ij%`e:ifi\j
Particulars As at As at
March 31, 2019 March 31, 2018
ASSETS
Non-current assets
(a) Property, plant and equipment 1,674.72 (#-'-%00
(b) Capital work-in-progress 288.97 0-%+,
(c) Intangible assets 493.71 ,)'%/*
 [  À@ekXe^`Yc\Xjj\kjle[\i[\m\cfgd\ek 366.64 )*/%.)
(e) Financial assets
  ` À À@em\jkd\ekj 0.14 '%',
  `` À KiX[\i\Z\`mXYc\j - (%0.
  ``` À CfXej 2.01 )%(.
  `m  Fk_\iÔeXeZ`XcXjj\kj 33.64 *+%+*
 ]  Fk_\iXjj\kj 233.72 )'*%)-
Total non-current assets 3,093.55 )#.'+%/.
Current assets
(a) Inventories 1,285.77 0+/%00
(b) Financial assets
(i) Trade receivables 1,264.48 (#*0)%+.
(ii) Cash and cash equivalents 726.90 *+,%))
(iii) Bank balances other than (ii) above 994.98 (#)-,%,(
  `m  CfXej 3.67 (%,)
  m  Fk_\iÔeXeZ`XcXjj\kj 237.12 (0'%,-
 Z  Fk_\iXjj\kj 183.66 (-0%'-
Total current assets 4,696.58 +#*(*%**
Total assets 7,790.13 .#'(/%)'
EQUITY AND LIABILITIES
Equity
(a) Equity share capital 10.00 ('%''
 Y  Fk_\i\hl`kp 3,563.38 *#)**%(/
Total equity 3,573.38 *#)+*%(/
LIABILITIES
Non-current liabilities
(a) Financial liabilities
  `  Fk_\iÔeXeZ`Xcc`XY`c`k`\j 7.06 -%+)
(b) Provisions 124.29 (-'%/(
(c) Deferred tax liabilities (net) 83.25 +)%,)
 [  Fk_\ic`XY`c`k`\j 3.92 (%+)
Total non-current liabilities 218.52 )((%(.
Current liabilities
(a) Financial liabilities
(i) Borrowings 295.89 ),/%.+
(ii) Trade payables
   $ÀKfkXcflkjkXe[`e^[l\jf]d`Zif\ek\igi`j\jXe[jdXcc\ek\igi`j\j 102.06 .0%,,
- Total outstanding dues of creditors other than micro enterprises 2,904.19 )#,0+%**
and small enterprises
  ```  Fk_\iÔeXeZ`Xcc`XY`c`k`\j 301.76 )-,%'/
(b) Provisions 94.75 0(%'(
(c) Income tax liabilities (net) 26.51 (0%'.
 [  Fk_\ic`XY`c`k`\j 273.07 ),-%'.
Total current liabilities 3,998.23 *#,-*%/,
Total liabilities 4,216.75 *#..,%')
Total equity and liabilities 7,790.13 .#'(/%)'

Efk\1:fejfc`[Xk\[ÔeXeZ`XcjkXk\d\eki\gi\j\ekjÔeXeZ`XcjkXk\d\ekjf]M<:fdd\iZ`XcM\_`Zc\jC`d`k\[Xe[`kjJlYj`[`Xi`\j#m`q#M<:MCXebX
Gi`mXk\ C`d`k\[Xe[M<:MJflk_8]i`ZXGKP C`d`k\[

EICHER MOTORS LIMITED

 249

CONSOLIDATED STATEMENT OF
PROFIT AND LOSS
VE COMMERCIAL VEHICLES LIMITED FOR THE YEAR ENDED MARCH 31, 2019

Ij%`e:ifi\j
Particulars For the year ended For the year ended
March 31, 2019 March 31, 2018
INCOME
Revenue from operations 11,599.94 ('#))*%*+
 Fk_\i`eZfd\ 97.37 /)%--
Total Income 11,697.31 ('#*'-%''
EXPENSES
Cost of raw materials consumed 7,721.72 -#*)/%).
Purchases of stock-in-trade 1,467.21 (#*)+%(-
:_Xe^\`e`em\ekfi`\jf]Ôe`j_\[^ff[j#nfib$`e$gif^i\jjXe[jkfZb$`e$kiX[\ (387.05) ().%+'
Excise duty on sale of goods - (.*%0/
<dgcfp\\Y\e\Ôkj\og\ej\j 776.67 -//%,)
Finance costs 22.29 (-%),
Depreciation and amortisation expenses 374.04 *))%,)
Fk_\i\og\ej\j 1,048.80 0*'%*)
Total expenses 11,023.68 0#-,-%-)
GifÔkY\]fi\kXo 673.63 -+0%*/
Tax expense
Current tax 160.41 (,(%//
Tax adjustment relating to earlier years (2.57) .%)/
;\]\ii\[kXoZ_Xi^\&Y\e\Ôk 40.79 **%(-
Total tax expense 198.63 (..%.-

GifÔk]fik_\p\Xi 475.00 +.(%-)

Other comprehensive income

 @k\djk_Xkn`ccefkY\i\ZcXjj`Ô\[kfgifÔkficfjj1$
  I\$d\Xjli\d\ekcfjj\jfe[\Ôe\[Y\e\ÔkgcXej (1.61) )%)-
  @eZfd\kXoY\e\Ôk 0.56 '%./
E\kfk_\iZfdgi\_\ej`m\`eZfd\efkkfY\i\ZcXjj`Ô\[kfgifÔkficfjj (1.05) (%+/
 @k\djk_XkdXpY\i\ZcXjj`Ô\[kfgifÔkficfjj1$
  <
 oZ_Xe^\[`ù\i\eZ\j`ekiXejcXk`e^k_\ÔeXeZ`XcjkXk\d\ekjf]]fi\`^efg\iXk`fej 1.42 '%*0
  @eZfd\kXo\ù\Zk (0.50) '%(*
0.92 '%)-

E\kfk_\iZfdgi\_\ej`m\`eZfd\efkkfY\i\ZcXjj`Ô\[kfgifÔkficfjj (0.13) (%.+

Total Comprehensive income for the year, net of tax 474.87 +-0%//

<Xie`e^jg\ij_Xi\f]Ij%('\XZ_ `eIj%
Basic/diluted 475.00 +.(%-)

ANNUAL REPORT 2018-19

250
REVIEW OF SUBSIDIARY

CONSOLIDATED CASH FLOW STATEMENT

VE COMMERCIAL VEHICLES LIMITED FOR THE YEAR ENDED MARCH 31, 2019

Ij%`e:ifi\j
Particulars For the year ended For the year ended
March 31, 2019 March 31, 2018
A. CASH FLOW FROM OPERATING ACTIVITIES
 GifÔkX]k\ikXo 475.00 +.(%-)
 8[aljkd\ekj]fi1
Current tax 160.41 (,(%//
Tax adjustment relating to earlier years (2.17) .%)/
Deferred tax charge 40.39 **%(-
Depreciation and amortisation expenses 374.04 *))%,)
Property, plant and equipment and intangible assets discarded 2.63 -%-+
  CfjjfejXc\f]gifg\ikp#gcXekXe[\hl`gd\ek 1.52 )%-'
  <oZ_Xe^\[`ù\i\eZ\j`ekiXejcXk`e^k_\ÔeXeZ`XcjkXk\d\ekjf]]fi\`^efg\iXk`fej 1.42 '%*0
  I\$d\Xjli\d\ekcfjj\jfe[\Ôe\[Y\e\ÔkgcXej (1.61) )%)-
Interest income (81.89) -0%(0
Finance costs 22.29 (-%),
 Fg\iXk`e^gifÔkY\]fi\Z_Xe^\j`enfib`e^ZXg`kXc 992.03 0),%,,
Changes in working capital:
Adjustments for (increase) / decrease assets:
Non-current
Trade receivables 1.97 -%0*
   CfXej 0.16 '%)-
   Fk_\iÔeXeZ`XcXjj\kj (2.18) '%/,
   Fk_\iXjj\kj 10.80 (0%))
Current
Inventories (336.78) )/-%))
Trade receivables 127.99 *-)%/-
   CfXej (2.15) +%(.
   Fk_\iÔeXeZ`XcXjj\kj (51.32) ,'%./
   Fk_\iXjj\kj (14.60) (()%/-
Adjustments for increase / (decrease) in liabilities:
Non-current
   Fk_\iÔeXeZ`Xcc`XY`c`k`\j 0.64 '%'*
Provisions (36.52) *-%(0
   Fk_\ic`XY`c`k`\j 2.50 *-%()
Current
Trade payables 332.37 .,.%,.
Provisions 3.74 ,%(-
   Fk_\iÔeXeZ`Xcc`XY`c`k`\j (35.74) ,)%))
   Fk_\ic`XY`c`k`\j 17.00 -*%)*
Cash generated from operating activities 1,009.91 (#)'.%,+
Income taxes paid (150.40) (*-%'+
Net cash flow from operating activities (A) 859.51 (#'.(%,'

EICHER MOTORS LIMITED

 251

CONSOLIDATED CASH FLOW STATEMENT

VE COMMERCIAL VEHICLES LIMITED FOR THE YEAR ENDED MARCH 31, 2019

Ij%`e:ifi\j
Particulars For the year ended For the year ended
March 31, 2019 March 31, 2018

B. CASH FLOW FROM INVESTING ACTIVITIES

  GliZ_Xj\f]Ôo\[Xjj\kj`eZcl[`e^ZXg`kXcX[mXeZ\j (716.33) ,'+%')
  JXc\f]Ôo\[Xjj\kj 8.25 -%..
  @em\jkd\ek`eÔo\[[\gfj`kj 273.50 ,(.%/,
Investment in equity shares of non-subsidiary companies (0.09) -
Interest received 86.65 ,*%/0
Net cash flow from investing activities (B) (348.02) 0-(%)(

C. CASH FLOW FROM FINANCING ACTIVITIES

Increase in short-term borrowings (net) 37.15 ,+%.+
Interest paid (22.29) (-%),
Dividend paid (120.00) 0,%''
Tax on dividend (24.67) (0%*+
 E\kZXj_]cfn]ifdÔeXeZ`e^XZk`m`k`\j: (129.81) .,%/,
Net Increase in cash and cash equivalents (A)+(B)+(C) 381.68 *+%++
Cash and cash equivalents at the beginning of the year 345.22 *('%./
Cash and cash equivalents at the end of the year 726.90 *+,%))

Ij%`e:ifi\j
Particulars As at As at
March 31, 2019 March 31, 2018
Components of cash and cash equivalents
Cash on hand 0.22 '%((
Cheques/drafts on hand 37.94 *+%-.
Balances with banks:
In current accounts 130.72 +,%++
In deposit accounts 558.02 )-,%''
Total cash and cash equivalents (refer note no. 15) 726.90 *+,%))

ANNUAL REPORT 2018-19

252
NOTICE
NOTICE OF 37TH (THIRTY SEVENTH)
ANNUAL GENERAL MEETING
Notice is hereby given that the 37th (Thirty Seventh) Annual General Meeting of the members of Eicher Motors Limited is
scheduled to be held on Thursday, August 1, 2019 at Sri Sathya Sai International Centre, Pragati Vihar, Lodhi Road, New
Delhi-110003 at 10:00 AM to transact the following business:
ORDINARY BUSINESS:
1. To receive, consider and adopt the Audited Financial
JkXk\d\ekj`eZcl[`e^Zfejfc`[Xk\[ÔeXeZ`Xc
jkXk\d\ekj f]k_\:fdgXep]fik_\ÔeXeZ`Xcp\Xi\e[\[
March 31, 2019 together with the Reports of the Board of
Directors and the Auditors thereon.
2. To declare a dividend of Rs. 125/- per equity share for
k_\ÔeXeZ`Xcp\Xi\e[\[DXiZ_*(#)'(0%
3. To appoint Mr. Siddhartha Lal, who retires by rotation
Xe[Y\`e^\c`^`Yc\#fù\ij_`dj\c]]fii\$Xggf`ekd\ekXjX
Director.
SPECIAL BUSINESS:
4. To consider and ratify remuneration of Cost Auditor
gXpXYc\]fik_\ÔeXeZ`Xcp\Xi)'(/$(01
In this regard, it is proposed to consider and if thought
Ôk#kfgXjjk_\]fccfn`e^i\jfclk`feXjXeOrdinary
I\jfclk`fe1
“RESOLVED THAT pursuant to the provisions of Section
148 of the Companies Act, 2013, read with the Companies
(Cost Records and Audit) Rules, 2014 remuneration
payable to Mr. V Kalyanaraman, Cost Accountant
(Membership No. 778), appointed by the Board of
Directors as Cost Auditor of the Company to conduct
audit of the relevant cost records of the Company for
k_\ÔeXeZ`Xcp\Xi)'(/$(0#Xdflek`e^kfIj%)#,'#'''
Ilg\\jknfcXZjÔ]kpk_fljXe[fecp #gcljkXoXj
Xggc`ZXYc\Xe[i\`dYlij\d\ekf]flkf]gfZb\k\og\ej\j
incurred in connection with the aforesaid audit be and is
_\i\YpiXk`Ô\[Xe[ZfeÔid\[%É
,% KfXggf`ekDi%M`ef[BldXi;XjXi`XjN_fc\$
time Director of the Company and determine his
i\dle\iXk`fe1
In this regard, it is proposed to consider and if thought
Ôk#kfgXjjk_\]fccfn`e^i\jfclk`feXjXeOrdinary
I\jfclk`fe1
“RESOLVED THAT pursuant to the provisions of Sections
149 and 152 and other applicable provisions, if any, of
k_\:fdgXe`\j8Zk#)'(*Èk_\8ZkÉ #k_\ilc\j]iXd\[
thereunder including the Companies (Appointment and
HlXc`ÔZXk`fef];`i\Zkfij Ilc\j#)'(+Xe[k_\Xggc`ZXYc\
provisions of the SEBI (Listing Obligations and Disclosure
Requirements) Regulations, 2015 (including any
EICHER MOTORS LIMITED
jkXklkfipdf[`ÔZXk`fej fii\$\eXZkd\ekj k_\i\f]#
for the time being in force), Mr. Vinod Kumar Dasari (DIN:
00345657), who was appointed as an Additional Director
(Whole-time) by the Board in terms of Section 161 of the
8Zkn`k_\ù\Zk]ifd8gi`c(#)'(0Xe[n_f_fc[jføZ\lg
to the conclusion of this Annual General Meeting and
being eligible and in respect of whom the Company has
received a notice in writing from a Member under Section
(-'( f]k_\8Zkgifgfj`e^_`jZXe[`[Xkli\]fik_\føZ\
of Director of the Company, be and is hereby appointed
as a Director on the Board of the Company.
RESOLVED FURTHER THAT pursuant to the provisions
of Sections 196, 197 and 203 read with Schedule V and
other applicable provisions of the Companies Act, 2013
and the rules made thereunder including the Companies
(Appointment and Remuneration of Managerial
Personnel) Rules, 2014 (including any statutory
df[`ÔZXk`fej fii\$\eXZkd\ekj k_\i\f]#]fik_\k`d\
being in force) and subject to any other approval that
may be required, approval of the members be and is
hereby accorded for appointment of Mr. Vinod Kumar
Dasari (DIN: 00345657) as Whole-time Director of the
Company, not liable to retire by rotation, for a period of 5
Ôm\ p\Xijn`k_\ù\Zk]ifd8gi`c(#)'(0%
RESOLVED FURTHER THAT the Board of Directors of the
Company be and is hereby authorized to determine the
remuneration to be paid to Mr. Vinod Kumar Dasari (DIN:
00345657) in the capacity of Whole-time Director of
the Company during his current term of appointment of 5
years (until March 31, 2024) on the recommendations of
Nomination & Remuneration Committee of the Company,
provided the total remuneration payable to Mr. Vinod
BldXi;XjXi`]fiXepÔeXeZ`Xcp\Xij_Xccefk\oZ\\[k_i\\
g\iZ\ek* f]k_\e\kgifÔkjf]k_\:fdgXepZXcZlcXk\[`e
the manner provided under Section 197 read with Section
198 and subject to other provisions of the Companies
Act, 2013 and the rules made thereunder (including any
jkXklkfipdf[`ÔZXk`fej fii\$\eXZkd\ekj k_\i\f] %
RESOLVED FURTHER THAT the Board of Directors and
the Nomination & Remuneration Committee, be and are
_\i\YpXlk_fi`j\[kfj\kkc\Xephl\jk`fe#[`øZlckpfi
[flYk#k_XkdXpXi`j\`e^`m`e^\ù\Zkkfk_`ji\jfclk`fe
and to do all such acts, deeds and things as may be
e\Z\jjXip#\og\[`\ekXe[[\j`iXYc\]fik_\gligfj\f]
^`m`e^\ù\Zkkfk_`ji\jfclk`fe%É

6. To appoint Mr. Inder Mohan Singh as an
@e[\g\e[\ek;`i\Zkfif]k_\:fdgXep1
 @ek_`ji\^Xi[#`k`jgifgfj\[kfZfej`[\iXe[`]k_fl^_kÔk#kf
pass the following resolution as an Fi[`eXipI\jfclk`fe1
“RESOLVED THAT pursuant to the provisions of Sections
149 and 152 read with other applicable provisions, if any,
f]k_\:fdgXe`\j8Zk#)'(*Èk_\8ZkÉ #k_\ilc\j]iXd\[
thereunder including the Companies (Appointment
Xe[HlXc`ÔZXk`fef];`i\Zkfij Ilc\j#)'(+Xe[k_\
applicable provisions of the SEBI (Listing Obligations and
Disclosure Requirements) Regulations, 2015 (including
XepjkXklkfipdf[`ÔZXk`fej fii\$\eXZkd\ekj k_\i\f]#
for the time being in force), Mr. Inder Mohan Singh (DIN:
07114750), who was appointed as an Additional Director
(Independent) by the Board in terms of Section 161 of the
8Zkn`k_\ù\Zk]ifdEfm\dY\i()#)'(/Xe[n_f_fc[j
føZ\lgkfk_\ZfeZclj`fef]k_`j8eelXc>\e\iXcD\\k`e^
and being eligible and in respect of whom the Company
has received a notice in writing from a Member under
Section 160(1) of the Act proposing his candidature for
k_\føZ\f];`i\Zkfif]k_\:fdgXep#Y\Xe[`j_\i\Yp
appointed as an Independent Director on the Board of the
:fdgXep#kf_fc[føZ\]fiXg\i`f[f],Ôm\ Zfej\Zlk`m\
p\Xijn`k_\ù\Zk]ifdEfm\dY\i()#)'(/%
RESOLVED FURTHER THAT the Board of Directors and
the Nomination & Remuneration Committee, be and are
_\i\YpXlk_fi`j\[kfj\kkc\Xephl\jk`fe#[`øZlckpfi
[flYk#k_XkdXpXi`j\`e^`m`e^\ù\Zkkfk_`ji\jfclk`fe
and to do all such acts, deeds and things as may be
e\Z\jjXip#\og\[`\ekXe[[\j`iXYc\]fik_\gligfj\f]
^`m`e^\ù\Zkkfk_`ji\jfclk`fe%É
.% KfXggf`ekDi%M`ef[BldXi8^^XinXcXjEfe$
\o\Zlk`m\;`i\Zkfif]k_\:fdgXep1
 @ek_`ji\^Xi[#`k`jgifgfj\[kfZfej`[\iXe[`]k_fl^_kÔk#kf
pass the following resolution as an Fi[`eXipI\jfclk`fe1
“RESOLVED THAT pursuant to the provisions of Sections
149 and 152 and other applicable provisions, if any, of
k_\:fdgXe`\j8Zk#)'(*Èk_\8ZkÉ #k_\ilc\j]iXd\[
thereunder including the Companies (Appointment and
HlXc`ÔZXk`fef];`i\Zkfij Ilc\j#)'(+Xe[k_\Xggc`ZXYc\
provisions of the SEBI (Listing Obligations and Disclosure
Requirements) Regulations, 2015 (including any statutory
df[`ÔZXk`fej fii\$\eXZkd\ekj k_\i\f]#]fik_\
k`d\Y\`e^`e]fiZ\ #Di%ÀM`ef[BldXi8^^XinXc;@E1
00038906), who was appointed as an Additional Director
Efe$<o\Zlk`m\#Efe$@e[\g\e[\ek Ypk_\9fXi[`ek\idj
f]J\Zk`fe(-(f]k_\8Zkn`k_\ù\Zk]ifd8gi`c(#)'(0
Xe[n_f_fc[jføZ\lgkfk_\ZfeZclj`fef]k_`j8eelXc
General Meeting and being eligible and in respect of
whom the Company has received a notice in writing from
a Member under Section 160(1) of the Act proposing his
ZXe[`[Xkli\]fik_\føZ\f];`i\Zkfif]k_\:fdgXep#Y\
Xe[`j_\i\YpXggf`ek\[XjEfe$<o\Zlk`m\;`i\Zkfifek_\
Board of the Company, liable to retire by rotation, for a
g\i`f[f],Ôm\ p\Xijn`k_\ù\Zk]ifd8gi`c(#)'(0%
253
RESOLVED FURTHER THAT the Board of Directors and
the Nomination & Remuneration Committee, be and are
_\i\YpXlk_fi`j\[kfj\kkc\Xephl\jk`fe#[`øZlckpfi
[flYk#k_XkdXpXi`j\`e^`m`e^\ù\Zkkfk_`ji\jfclk`fe
and to do all such acts, deeds and things as may be
e\Z\jjXip#\og\[`\ekXe[[\j`iXYc\]fik_\gligfj\f]
^`m`e^\ù\Zkkfk_`ji\jfclk`fe%É
/% KfZfej`[\iXe[Xggifm\gXpd\ekf]i\dle\iXk`fe
by way of commission to Directors, other than
Managing Director(s) and Whole Time Director(s)
f]k_\:fdgXep1
 @ek_`ji\^Xi[#`k`jgifgfj\[kfZfej`[\iXe[`]k_fl^_kÔk#
to pass the following resolution as Jg\Z`XcI\jfclk`fe1
RESOLVED THAT pursuant to the provisions of Sections
197, 198 and all other applicable provisions of the
Companies Act, 2013 and the rules made thereunder
including Companies (Appointment and Remuneration
of Managerial Personnel) Rules, 2014 and SEBI (Listing
Obligations and Disclosure Requirements) Regulations,
)'(,#`eZcl[`e^XepjkXklkfipdf[`ÔZXk`fej fii\$
enactment(s) thereof, for the time being in force, approval
of the Company be and is hereby accorded for payment
f]i\dle\iXk`feYpnXpf]Zfdd`jj`feefk\oZ\\[`e^`e
X^^i\^Xk\fe\g\iZ\ekf]k_\XeelXce\kgifÔkjf]k_\
:fdgXep]fi\XZ_ÔeXeZ`Xcp\Xi#Zfdglk\[`ek_\dXee\i
laid down in the said Section 198 or any other applicable
provisions of the Companies Act, 2013, to the Non-
<o\Zlk`m\;`i\Zkfij#fk_\ik_Xek_\DXeX^`e^;`i\Zkfij 
and Whole-time Director(s) of the Company), or some
or any of them in such proportion and in such manner as
may be determined by the Board of Directors.
RESOLVED FURTHER THAT the above remuneration shall
Y\`eX[[`k`fekf]\\jgXpXYc\kfk_\Efe$<o\Zlk`m\
Director(s) for attending the meetings of the Board or
Committee thereof or for any other purpose whatsoever
as may be decided by the Board of Directors and
i\`dYlij\d\ekf]\og\ej\j]figXik`Z`gXk`fe`ek_\9fXi[
and other meetings.
RESOLVED FURTHER THAT the Board of Directors and
the Nomination & Remuneration Committee, be and are
_\i\YpXlk_fi`j\[kfj\kkc\Xephl\jk`fe#[`øZlckpfi
[flYk#k_XkdXpXi`j\`e^`m`e^\ù\Zkkfk_`ji\jfclk`fe
and to do all such acts, deeds and things as may be
e\Z\jjXip#\og\[`\ekXe[[\j`iXYc\]fik_\gligfj\f]
^`m`e^\ù\Zkkfk_`ji\jfclk`fe%É
0% KfZfej`[\iXe[Xggifm\gXpd\ekf]i\dle\iXk`fe
kfDi%ÀJ%JXe[`cpX#:_X`idXeEfe$<o\Zlk`m\
@e[\g\e[\ek;`i\Zkfi ]fik_\ÔeXeZ`Xcp\Xi)'(/$
(0#n_`Z_dXp\oZ\\[Ô]kpg\iZ\ekf]k_\kfkXc
i\dle\iXk`fegXpXYc\kfXcck_\Efe$<o\Zlk`m\
;`i\Zkfijf]k_\:fdgXep1
 @ek_`ji\^Xi[#`k`jgifgfj\[kfZfej`[\iXe[`]k_fl^_kÔk#
to pass the following resolution as Jg\Z`XcI\jfclk`fe1
ANNUAL REPORT 2018-19
254
NOTICE
“RESOLVED THAT pursuant to the provisions of
Regulation 17(6) and other applicable provisions, if any,
f]k_\J\Zli`k`\jXe[<oZ_Xe^\9fXi[f]@e[`XC`jk`e^
Obligations and Disclosure Requirements) Regulations,
)'(,`eZcl[`e^XepXd\e[d\ek#df[`ÔZXk`fe#mXi`Xk`fe
or re-enactment(s) thereof for the time being in force
and other applicable provisions, if any, of the Companies
Act, 2013, approval of the Members of the Company be
and is hereby accorded for payment of remuneration
to Mr. S. Sandilya (DIN: 00037542), Chairman (Non-
<o\Zlk`m\Xe[@e[\g\e[\ek;`i\Zkfi #]fik_\ÔeXeZ`Xc
p\Xi)'(/$(0#\oZ\\[`e^Ô]kpg\iZ\ekf]k_\kfkXc
i\dle\iXk`fek_XkdXpY\gXpXYc\kfXccEfe$<o\Zlk`m\
;`i\Zkfijf]k_\:fdgXep]fik_\ÔeXeZ`Xcp\Xi)'(/$(0%
RESOLVED FURTHER THAT the Board of Directors and
the Nomination & Remuneration Committee, be and are
_\i\YpXlk_fi`j\[kfj\kkc\Xephl\jk`fe#[`øZlckpfi
[flYk#k_XkdXpXi`j\`e^`m`e^\ù\Zkkfk_`ji\jfclk`fe
and to do all such acts, deeds and things as may be
e\Z\jjXip#\og\[`\ekXe[[\j`iXYc\]fik_\gligfj\f]
^`m`e^\ù\Zkkfk_`ji\jfclk`fe%É
('% KfXggifm\Xe[X[fgk<`Z_\iDfkfijC`d`k\[Ëj
I\jki`Zk\[JkfZbLe`kGcXe)'(0
 @ek_`ji\^Xi[#`k`jgifgfj\[kfZfej`[\iXe[`]k_fl^_kÔk#
to pass the following resolution as Jg\Z`XcI\jfclk`fe1
“RESOLVED THAT pursuant to the provisions of Section
62(1)(b) and other applicable provisions, if any, of the
Companies Act, 2013 and the Rules made thereunder
Xe[I\^lcXk`fe-( f]k_\J\Zli`k`\jXe[<oZ_Xe^\
9fXi[f]@e[`XJ_Xi\9Xj\[<dgcfp\\9\e\Ôkj 
I\^lcXk`fej#)'(+i\X[n`k_Z`iZlcXij#efk`ÔZXk`fej
issued thereunder (hereinafter referred as “SEBI SBEB
I\^lcXk`fejÉ #Xe[`eXZZfi[XeZ\n`k_k_\D\dfiXe[ld
of Association and the Articles of Association of the
Company, subject to such other approvals, permissions
and sanctions as may be necessary and subject to such
Zfe[`k`fejXe[df[`ÔZXk`fejXjdXpY\gi\jZi`Y\[fi
imposed pursuant to such approvals, permissions and
sanctions, the approval of the Company be and is hereby
accorded to the introduction of ‘Eicher Motors Limited -
I\jki`Zk\[JkfZbLe`kGcXe)'(0ËÈIJL)'(0ÉfiÈGcXeÉ 
authorising the Board of Directors of the Company
_\i\`eX]k\ii\]\ii\[kfXjk_\È9fXi[Én_`Z_k\idj_Xcc
be deemed to include any Committee, including the
Nomination and Remuneration Committee, pursuant to
Regulation 5 of SEBI SBEB Regulations) to formulate a
IJL)'(0Xe[kfZi\Xk\#`jjl\Xe[^iXek#efk\oZ\\[`e^
1% of the paid-up equity shares of the Company, from
k`d\kfk`d\#i\jki`Zk\[jkfZble`kjÈIJLjÉ `ek_\eXkli\
of employee stock options thereunder, in one or more
tranches, from time to time, to the eligible employees
including Directors of the Company whether whole-
k`d\fiefk#n_`Z_lgfe\o\iZ`j\j_Xcci\jlck`efe\e\n
\hl`kpj_Xi\kfY\`jjl\[Ypk_\:fdgXepefk\oZ\\[`e^
in aggregate 1% of the paid-up equity shares of the
EICHER MOTORS LIMITED
Company, from time to time, of face value of Rs. 10 each
fully paid-up, subject to such terms and conditions as
may be determined in accordance with the provisions of
the applicable laws including SEBI SBEB Regulations and
the provisions of the RSU 2019 as applicable from time
to time.
RESOLVED FURTHER THAT the equity shares so issued
and allotted as mentioned hereinbefore shall rank
gXi`gXjjln`k_k_\k_\e\o`jk`e^\hl`kpj_Xi\jf]
the Company and that the Board/ Nomination and
Remuneration Committee be and is hereby authorised
to take requisite steps for listing of the equity shares
Xccfkk\[le[\iIJL)'(0fek_\JkfZb<oZ_Xe^\j n_\i\
the equity shares of the Company are listed.
RESOLVED FURTHER THAT in case of any corporate
action(s) such as rights issues, bonus issues, change
in capital structure, merger, demerger, sale of division/
undertaking, or other reorganisation, the ceiling as
regards number of RSUs that can be issued, number
f]IJLjXe[k_\`i\o\iZ`j\gi`Z\`ei\cXk`fen`k_\XZ_
grantee, face value and number of equity shares to
Y\`jjl\[Xe[Xccfkk\[lgfe\o\iZ`j\f]IJLjj_Xcc
be adjusted to facilitate making a fair and reasonable
adjustment as determined by the Board/ Nomination
and Remuneration Committee as per provisions of SEBI
SBEB Regulations.
RESOLVED FURTHER THAT in case the face value of
equity shares of the Company is either sub-divided or
consolidated, then the ceiling as aforesaid of RSUs and
equity shares respectively to be issued and allotted,
Xe[kfk_\\ok\ekXccfn\[#\o\iZ`j\gi`Z\gXpXYc\Ypk_\
grantees under the RSU 2019 shall automatically stand
augmented or reduced, as the case may be, in the same
proportion as the present face value of Rs. 10 (Rupees
ten only) per equity share bears to the revised face
value of the equity shares of the Company after such
Zfejfc`[Xk`fefijlY$[`m`j`fe#n`k_flkXù\Zk`e^Xepfk_\i
rights or obligations of the said grantees.
RESOLVED FURTHER THAT the Board/ Nomination and
Remuneration Committee be and is hereby authorized at
any time to modify, change, vary, alter, amend, suspend
or terminate the RSU 2019 subject to the compliance
with the provisions of the applicable laws and with prior
XggifmXcf]k_\d\dY\ijf]k_\:fdgXepkfk_\\ok\ek
required under SEBI SBEB Regulation and to do all such
acts, deeds, matters and things as may at its discretion
[\\djÔk#]fijlZ_gligfj\Xe[Xcjfkfj\kkc\Xep`jjl\j#
hl\jk`fej#[`øZlck`\jfi[flYkjk_XkdXpXi`j\`ek_`j
i\^Xi[Xe[]lik_\ikf\o\Zlk\XccjlZ_[fZld\ekj#
writings and to give such directions and/or instructions
XjdXpY\e\Z\jjXipfi\og\[`\ekkf^`m\\ù\ZkkfjlZ_
df[`ÔZXk`fe#Z_Xe^\#mXi`Xk`fe#Xck\iXk`fe#Xd\e[d\ek#
suspension or termination of the RSU 2019 and do all
other things incidental and ancillary thereof.

RESOLVED FURTHER THAT the the Board/ Nomination
and Remuneration Committee be and is hereby
authorized to do all such acts, deeds, and things, as may,
at its absolute discretion, deems necessary including
authorizing or directing to appoint merchant bankers,
Yifb\ij#jfc`Z`kfij#i\^`jkiXij#Zfdgc`XeZ\føZ\i#
and other advisors, consultants or representatives,
Y\`e^`eZ`[\ekXckfk_\\ù\Zk`m\`dgc\d\ekXk`feXe[
administration of RSU 2019, as also to make applications
to the appropriate authorities, parties and the
institutions for their requisite approvals as also to initiate
all necessary actions for the preparation and issue of
glYc`ZXeefleZ\d\ekXe[Ôc`e^f]glYc`ZXeefleZ\d\ek#
`]i\hl`i\[#n`k_k_\J\Zli`k`\jXe[<oZ_Xe^\9fXi[
f]@e[`X&JkfZb<oZ_Xe^\j #Xe[Xccfk_\i[fZld\ekj
i\hl`i\[kfY\Ôc\[`ek_\XYfm\Zfee\Zk`feXe[kfj\kkc\
XccjlZ_hl\jk`fej#[`øZlck`\jfi[flYkjn_Xkjf\m\in_`Z_
may arise and take all such steps and decisions in this
i\^Xi[%É
((% KfXggifm\\ok\ej`fef]Y\e\Ôkjf]<`Z_\iDfkfij
C`d`k\[ËjI\jki`Zk\[JkfZbLe`kGcXe)'(0kfk_\
employees of subsidiary company(ies)
 @ek_`ji\^Xi[#`k`jgifgfj\[kfZfej`[\iXe[`]k_fl^_kÔk#
to pass the following resolution as Jg\Z`XcI\jfclk`fe1
“RESOLVED THAT, pursuant to the provisions of Section
62(1)(b) and other applicable provisions, if any, of the
Companies Act, 2013 and the Rules made thereunder
Xe[I\^lcXk`fe-* f]k_\J\Zli`k`\jXe[<oZ_Xe^\
9fXi[f]@e[`XJ_Xi\9Xj\[<dgcfp\\9\e\Ôkj 
I\^lcXk`fej#)'(+i\X[n`k_Z`iZlcXij#efk`ÔZXk`fej
issued thereunder (hereinafter referred as “SEBI SBEB
I\^lcXk`fejÉ #Xe[`eXZZfi[XeZ\n`k_k_\D\dfiXe[ld
of Association and the Articles of Association of the
Company and subject to approval of the ‘Eicher Motors
C`d`k\[$I\jki`Zk\[JkfZbLe`kGcXe)'(0ËÈIJL)'(0É
fiÈGcXeÉ #XggifmXcf]k_\:fdgXepY\Xe[`j_\i\Yp
accorded for authorising the Board of Directors of
k_\:fdgXep_\i\`eX]k\ii\]\ii\[kfXjk_\È9fXi[É
which term shall be deemed to include any Committee,
including the Nomination and Remuneration Committee,
pursuant to Regulation 5 of SEBI SBEB Regulations)
255
to create, issue and grant such number of restricted
jkfZble`kjÈIJLjÉ `ek_\eXkli\f]\dgcfp\\jkfZb
options under the Plan, in one or more tranches,
from time to time, to the eligible employees including
Directors whether whole-time or not of the subsidiary
company(ies) of the Company, whether in or outside
India, within the overall and individual limits of the Plan
as amended from time to time, where one RSU upon
\o\iZ`j\j_Xcc\ek`kc\k_\^iXek\\kffe\\hl`kpj_Xi\f]
face value of Rs. 10 each fully paid-up to be issued by the
Company, subject to such terms and conditions as may
be determined in accordance with the provisions of the
applicable laws including SEBI SBEB Regulations and the
provisions of the RSU 2019 as prevail from time to time.
RESOLVED FURTHER THAT the equity shares so issued
and allotted as mentioned hereinbefore shall rank
gXi`gXjjln`k_k_\k_\e\o`jk`e^\hl`kpj_Xi\jf]k_\
Company.
RESOLVED FURTHER THAT the Board/ Nomination and
Remuneration Committee shall have the same rights,
duties, authority and powers as to administration,
accounting, disclosure and other compliances in the
connection with RSUs granted to any eligible employee/
director of its subsidiary company(ies) as contemplated
`ek_\i\jfclk`fejj\\b`e^XggifmXcf]k_\IJL)'(0%É
By order of the Board of Eicher Motors Limited
Manhar Kapoor
General Counsel & Company Secretary
Place: Gurugram, Haryana Membership No. FCS 5564
Date: May 10, 2019
CIN: L34102DL1982PLC129877
I\^[%Fù1*i[=cffi$J\c\Zk:`kpnXcb
A-3 District Centre, Saket
New Delhi – 110017
Phone: 0124-4415600
Website: www.eichermotors.com
E-mail: investors@eichermotors.com
ANNUAL REPORT 2018-19
256
NOTICE

Notes:
1. K_\<ogcXeXkfipJkXk\d\ekglijlXekkfJ\Zk`fe(')f]k_\:fdgXe`\j8Zk#)'(*#n_`Z_j\kjflk[\kX`cji\cXk`e^kfJg\Z`Xc
9lj`e\jj\jkfY\kiXejXZk\[Xkk_\d\\k`e^#`jXee\o\[_\i\n`k_%

2. Appointment of Director:
Brief resume of the Director proposed to be re-appointed (item No. 3 of the Notice) is given hereunder:

Name Mr. Siddhartha Lal

DIN No.: 00037645
Age 45 Years
HlXc`ÔZXk`fe Mr. Siddhartha Lal is Graduate in Economics from St. Stephens College, Delhi University,
_fc[jGfjk$>iX[lXk\;`gcfdX`eD\Z_Xe`ZXc<e^`e\\i`e^]ifd:iXeÔ\c[Le`m\ij`kp#LB
and a Masters of Science in Automotive Engineering from the University of Leeds, UK.
<og\i`\eZ\`eZcl[`e^ Di%J`[[_Xik_XCXcgfjj\jjmXjk\og\i`\eZ\`e8lkfdfY`c\`e[ljkip%Gc\Xj\i\]\i
\og\ik`j\`ejg\Z`ÔZ]leZk`feXc :fdgXepËjn\Yj`k\1nnn%\`Z_\idfkfij%Zfd]fi[\kX`c\[gifÔc\%
area)/Brief Resume
;Xk\f]ÔijkXggf`ekd\ekfe May 1, 2006
the Board
Directorships held in other VE Commercial Vehicles Limited
companies (as per Section
165 of the Companies Act
)'(*#\oZcl[`e^gi`mXk\Xe[
Section 8 companies)
Memberships/ Chairmanships None
of committees of other
public companies [in terms
of Regulation 26 of the
SEBI (Listing Obligations &
Disclosure Requirements)
Regulations, 2015]
Number of Equity Shares held Mr. Siddhartha Lal holds 2,94,694 (1.08%) equity shares in the Company. He is part of
in the Company Promoter & Promoter Group of the Company which in aggregate holds 1,34,56,427 equity
shares in the Company constituting 49.32% of Company’s total equity share capital.
Relationship between None
Directors and other KMPs
inter-se
Number of meetings of the Mr. Siddhartha Lal attended 5 (Five) out of 5 (Five) Board Meetings held during the
Board attended during the ÔeXeZ`Xcp\Xi)'(/$(0%
cXjkÔeXeZ`Xcp\Xi
Remuneration last drawn =fii\dle\iXk`fe[\kX`cj#gc\Xj\i\]\ikf8ee\oli\,kfk_\9fXi[ËjI\gfikXe[:figfiXk\
Governance Report
Remuneration proposed to 8jg\i\o`jk`e^k\idjXe[Zfe[`k`fej
be paid
Terms and conditions Mr. Siddhartha Lal was appointed as Managing Director of the Company for a period of
of Appointment/Re- ,Ôm\ p\Xijn%\%]%DXp(#)'(-fek_\k\idjXe[Zfe[`k`fej`eZcl[`e^i\dle\iXk`fe#Xj
appointment approved by the shareholders at their Annual General Meetings held on June 18, 2016 and
August 8, 2017.

In terms of Section 152 of the Companies Act, 2013, Mr. Siddhartha Lal, Managing Director, retires by rotation at this
8eelXc>\e\iXcD\\k`e^Xe[Y\`e^\c`^`Yc\#fù\ij_`dj\c]]fii\$Xggf`ekd\ek%K_\9fXi[f];`i\Zkfijf]k_\:fdgXep
recommend his re-appointment. Mr. Siddhartha Lal is interested in the business item no. 3 of the Notice with regard to
_`ji\$Xggf`ekd\ek%JXm\Xe[\oZ\gkk_\XYfm\#efe\f]k_\;`i\Zkfij&B\pDXeX^\i`XcG\ijfee\cf]k_\:fdgXep&k_\`i
i\cXk`m\jXi\#`eXepnXp#ZfeZ\ie\[fi`ek\i\jk\[#ÔeXeZ`Xccpfifk_\in`j\#`ek_\Fi[`eXip9lj`e\jjj\kflkle[\iYlj`e\jj
item no. 3 of the Notice.

EICHER MOTORS LIMITED


*% 8D<D9<I<EK@KC<;KF8KK<E;8E;MFK<8K
K?<D<<K@E>@J<EK@KC<;KF8GGF@EK8GIFOP
KF8KK<E;8E;KFMFK<8K8GFCC@EJK<8;F=
?@DJ<C=&?<IJ<C=8E;K?8K8GIFOPE<<;EFK
9<8D<D9<IF=K?<:FDG8EP%GIFOP=FIDJ
@EFI;<IKF9<<==<:K@M<J?FLC;9<;<GFJ@K<;
8KK?<I<>@JK<I<;F==@:<F=K?<:FDG8EP#
;LCP:FDGC<K<#JK8DG<;8E;J@>E<;#EFK
C<JJK?8E+/?FLIJ9<=FI<K?<J:?<;LC<;
K@D<F=K?<D<<K@E>%89C8EBGIFOP=FID
@J<E:CFJ<;%8G<IJFE:8E8:K8JGIFOPFE
9<?8C=F=D<D9<IJEFK<O:<<;@E>=@=KP,' 
8E;?FC;@E>@EK?<8>>I<>8K<EFKDFI<
K?8EK<E(' F=K?<KFK8CJ?8I<:8G@K8CF=
K?<:FDG8EP%8D<D9<I?FC;@E>DFI<K?8E
K<EG<I:<EKF=K?<KFK8CJ?8I<:8G@K8CF=
K?<:FDG8EP:8IIP@E>MFK@E>I@>?KJD8P
8GGF@EK8J@E>C<G<IJFE8JGIFOP8E;JL:?
G<IJFEJ?8CCEFK8:K8JGIFOP=FI8EP
FK?<IG<IJFEFID<D9<I%
4. During the period beginning 24 hours before the time
Ôo\[]fik_\Zfdd\eZ\d\ekf]k_\d\\k`e^Xe[\e[`e^
with the conclusion of the meeting, members would be
\ek`kc\[kf`ejg\Zkk_\gifo`\jcf[^\[#XkXepk`d\[li`e^
the business hours of the Company, provided not less
than 3 days written notice is given to the Company in this
regard.
5. Corporates/ other entities intending to send their
respective authorized representative are requested to
issue appropriate resolutions/authority, as applicable,
authorizing such representative to attend and vote at
the Annual General Meeting.
6. Pursuant to the provisions of Section 91 of the
Companies Act, 2013 and SEBI (LODR) Regulations,
2015, the Register of Members and Share Transfer Books
of the Company will remain close from July 26, 2019 to
August 1, 2019 (both days inclusive).
7. Pursuant to SEBI (LODR) Regulations, 2015 and such
other provisions as may be applicable, the Board of
;`i\Zkfij_X[Ôo\[Alcp),#)'(0XjZlk$fù[Xk\]fi
determining the Members who shall be entitled to vote
through Remote e-voting or voting at the meeting. A
g\ijfen_f`jefkXd\dY\iXjfek_\Zlk$fù[Xk\j_Xcc
treat this notice for information purpose only.
/% The dividend, if approved by the shareholders shall be
paid in the following manner:
 X KfXcc9\e\ÔZ`XcFne\ij`ei\jg\Zkf]j_Xi\j_\c[`e
dematerialized form as per the data made available
by the National Securities Depository Limited
(NSDL) and the Central Depository Services (India)
Limited (CDSL) as of the close of business hours on
July 25, 2019;
257
b) To all Members in respect of shares held in
g_pj`ZXc]fidX]k\i^`m`e^\ù\ZkkfmXc`[kiXej]\i&
transmission in respect of transfer/transmission
requests properly lodged with the Company on or
before the close of business hours on July 25, 2019.
0% In case of joint holders attending the meeting, only such
joint holder who is higher in the order of names will be
entitled to vote.
('% a) The amount of dividend remaining unpaid or
unclaimed for a period of 7 (seven) years from the
due date is required to be transferred to the Investor
Education and Protection Fund Authority (IEPF
Authority), constituted by the Central Government.
The Company had, accordingly, transferred the
unpaid and unclaimed dividend amount pertaining to
ÔeXeZ`Xcp\Xi)'((AXelXipÆ;\Z\dY\i kfk_\@<G=
Authority within the stipulated time period.
Members who have not encashed their dividend
nXiiXekj]fik_\ÔeXeZ`Xcp\Xi)'()AXelXipÆ
December) and onwards are advised to write to
the Registrar immediately for claiming dividends
declared by the Company.
b) As at March 31, 2019, the Company has transferred
1,88,467 (0.69%) equity shares of Rs. 10 each of the
Company on which dividend remained unclaimed
or unpaid for a period of seven consecutive years
or more, belonging to 2,522 shareholders, to the
Investor Education and Protection Fund Authority
n`k_`ek_\jg\Z`Ô\[k`d\glijlXekkfk_\gifm`j`fej
of Sections 124 and 125 of the Companies Act,
)'(*Èk_\8ZkÉ i\X[n`k_@em\jkfi<[lZXk`feXe[
Protection Fund Authority (Accounting, Audit,
Transfer and Refund) Rules, 2016, as amended (“the
Ilc\jÉ %K_\jX`[i\hl`i\d\ek[f\jefkXggcpkf
j_Xi\j`ei\jg\Zkf]n_`Z_k_\i\`jXjg\Z`ÔZfi[\if]
Court, Tribunal or Statutory Authority, restraining any
transfer of the shares.
Any person whose share(s)/ unpaid dividend has been
transferred to the IEPF Authority may claim the share(s)/
dividend from the IEPF Authority pursuant to the said
Act and the Rules by submitting an online application
in Form IEPF-5 available on the website www.iepf.gov.in.
Simultaneously, claimant shall be required to submit a
copy of Form IEPF-5 submitted with IEPF Authority duly
signed and accompanied by all requisite documents to the
:fdgXepXk`kji\^`jk\i\[føZ\X[[i\jjXk*i[]cffi#J\c\Zk
Citywalk, A-3 District Centre, Saket, New Delhi- 110017, in an
\em\cfg\dXib\[XjÈ:cX`d]fii\]le[]ifd@<G=8lk_fi`kpÉ
]fim\i`ÔZXk`fe%K_\D\dY\ij&:cX`dXekjZXeÔc\fecpfe\
Zfejfc`[Xk\[ZcX`d`eXÔeXeZ`Xcp\XiXjg\ik_\@<G=Ilc\j%
Shareholders are requested to go through the provisions
of said Act and the Rules and also the information provided
on the website www.iepf.gov.in. Shareholders may also write
to the Company or Company’s Registrar for any further
`e]fidXk`fe&ZcXi`ÔZXk`fe`ek_`ji\^Xi[%
ANNUAL REPORT 2018-19
258
NOTICE
11. To prevent fraudulent transactions, members are advised
kf\o\iZ`j\[l\[`c`^\eZ\Xe[efk`]pk_\:fdgXepf]Xep
change in address of any member as soon as possible.
Members who are holding shares in physical forms are
requested to notify changes in their respective address/
Bank Mandate/ National Electronic Clearing Service
(NECS) details, if any, to Company’s Registrar i.e Link
Intime India Pvt. Ltd. at Noble Heights, 1st Floor, Plot
No. NH 2, LSC, C-1 Block, Near Savitri Market, Janakpuri,
E\n;\c_`$(('',/%9\e\ÔZ`Xcfne\ij_fc[`e^j_Xi\j
in electronic form are requested to intimate change in
address/ Bank Mandate/ National Electronic Clearing
Service (NECS) details, if any, to their respective
Depository Participants (DP). To support the “Green
@e`k`Xk`m\É#d\dY\ijXi\i\hl\jk\[kfi\^`jk\i&lg[Xk\
their e-mail addresses with the Registrar in case of
shares held in physical form and with their respective
Depository Participants in case shares are held in
electronic form.
12. K_\J\Zli`k`\jXe[<oZ_Xe^\9fXi[f]@e[`XJ<9@ m`[\
its Circular dated April 20, 2018 has mandated the
submission of Permanent Account Number (PAN) and
Bank account details by every participant in securities
market. Members holding shares in electronic form
are, therefore, requested to submit the PAN to their
Depository Participants with whom they are maintaining
their demat accounts. Members holding shares in
physical form are requested to submit their PAN and
Bank account details to the Registrar & Share Transfer
Agent of the Company along with folio details.
13. 8eelXcI\gfik]fik_\ÔeXeZ`Xcp\Xi)'(/$(0Xcfe^n`k_
the Notice of the 37th Annual General Meeting of the
:fdgXep`eZcl[`e^8kk\e[XeZ\Jc`gXe[Gifop=fid 
is being sent to all the members whose email IDs are
registered with the Registrar/Depository Participants(s)
through electronic mode unless any member has
requested for a hard copy of the same. For members who
have not registered their email address, physical copies
f]k_\8eelXcI\gfik]fik_\ÔeXeZ`Xcp\Xi)'(/$(0Xcfe^
with Notice of the 37th Annual General Meeting of the
:fdgXep`eZcl[`e^8kk\e[XeZ\Jc`gXe[Gifop=fid `j
being sent by other permissible modes. The process and
manner of e-voting is provided under para 20 below.
14. Members may also note that the Notice of the 37th
Annual General Meeting and the Annual Report for the
ÔeXeZ`Xcp\Xi)'(/$(0`jXmX`cXYc\fek_\:fdgXepËj
website www.eichermotors.com, for download. The
physical copies of the aforesaid documents will also be
XmX`cXYc\Xkk_\:fdgXepËjI\^`jk\i\[FøZ\`eE\n
Delhi for inspection during 11:00 A.M. to 5:00 P.M on any
working day (Monday-Friday). Even after registering
for e-communication, members are entitled to receive
such communication in physical form, upon making a
request for the same, by any permissible mode, free of
EICHER MOTORS LIMITED
cost. For any communication, the shareholders may
also write to the Company’s investor email id: investors@
eichermotors.com.
15. Pursuant to the provisions of Section 72 of the
Companies Act 2013, the member(s) holding shares in
physical form may nominate, in the prescribed manner,
a person to whom all the rights in the shares shall vest
in the event of death of the sole holder or all the joint
holders. Member(s) may write to the Company/ Registrar
for this facility. Member(s) holding shares in demat form
may contact their respective Depository Participant for
availing this facility.
16. Guidelines for attending the ensuing Annual General
Meeting of the Company:
a. Entry to the AGM Auditorium will be strictly against
entry coupon which will be issued at the attendance
Zflek\ijXkk_\m\el\Xe[X^X`ejkk_\\oZ_Xe^\f]
[lcpÔcc\[`e#j`^e\[Xe[mXc`[Xkk\e[XeZ\jc`g%K_\
j_Xi\_fc[\i&gifopn`ccY\i\hl`i\[kfj_fnXmXc`[
original photo identity proof such as PAN Card,
Passport, Driving License etc. at the attendance
counter.
b. Any briefcase/bags/eatables or such other articles
as may be ordered by the authorities are not
allowed inside the AGM Auditorium.
17. 8cc[fZld\ekji\]\ii\[kf`ek_\Efk`Z\Xe[\ogcXeXkfip
statement are open for inspection at the registered
føZ\f]k_\:fdgXepY\kn\\e((1''8DXe[,1''GDfe
all working day (Monday-Friday) up to the date of AGM.
(/% Members desirous of obtaining any information/
ZcXi`ÔZXk`fefek_\dXkk\ijgifm`[\[`ek_\8eelXc
Report are requested to submit their query in writing to
Di%;%J%D\_kX#K\XdDXeX^\i#Xkk_\I\^`jk\i\[FøZ\
of the Company at least 10 days before the date of the
Meeting along with their folio number/ client ID and DP ID
and other details.
(0% The Register of Directors and Key Managerial Personnel
and their shareholding, maintained under Section 170
of the Companies Act, 2013, Register of Contracts or
Arrangements in which directors are interested under
Section 189, copies of draft letter of appointment of
Efe$<o\Zlk`m\;`i\ZkfijXe[Xepfk_\i[fZld\ek
referred in the notice of the Annual General Meeting
will be made available for inspection by members of the
:fdgXepXkk_\d\\k`e^%:\ik`ÔZXk\]ifdk_\8l[`kfijf]
the Company certifying that Employee Stock Option Plan
2006 is being implemented in accordance with the SEBI
J_Xi\9Xj\[<dgcfp\\9\e\Ôkj I\^lcXk`fej#)'(+n`cc
also be available for inspection at the meeting.

)'% Voting through electronic means:
I. In compliance with provisions of Section 108 of the
Companies Act, 2013, Rule 20 of the Companies
(Management and Administration) Rules, 2014
as amended by the Companies (Management
and Administration) Amendment Rules, 2015 and
Regulation 44 of SEBI (LODR) Regulations, 2015,
the Company is pleased to provide members
]XZ`c`kpkf\o\iZ`j\k_\`ii`^_kkfmfk\fei\jfclk`fej
proposed to be considered at the 37th Annual
General Meeting (AGM) by electronic means and
the business may be transacted through e-Voting
Services. The facility of casting the votes by the
members using an electronic voting system from
a place other than venue of the AGM (“remote
\$mfk`e^É n`ccY\gifm`[\[YpEXk`feXcJ\Zli`k`\j
Depository Limited (NSDL).
II. The facility for voting through ballot process shall
be made available at the AGM and the members
attending the meeting who have not cast their vote
Ypi\dfk\\$mfk`e^j_XccY\XYc\kf\o\iZ`j\k_\`i
voting rights at the meeting through ballot process.
III. The members who have cast their vote by remote
e-voting prior to the AGM may also attend the AGM
but shall not be entitled to cast their vote again.
IV. The remote e-voting period commences on July
29, 2019 (9:00 am) and ends on July 31, 2019 (5:00
pm). During this period members of the Company,
holding shares either in physical form or in
[\dXk\i`Xc`q\[]fid#Xjfek_\Zlk$fù[Xk\f]Alcp
25, 2019, may cast their vote by remote e-voting.
The remote e-voting module shall be disabled by
NSDL for voting thereafter. Once the vote on a
resolution is cast by a member, the member shall
not be allowed to change it subsequently. A person
n_f`jefkXd\dY\iXjfek_\Zlk$fù[Xk\j_flc[
treat this notice for information purpose only.
V. The process and manner for remote e-voting are as
under:
?fn[f@mfk\\c\Zkife`ZXccplj`e^EJ;C
\$Mfk`e^jpjk\d6
The way to vote electronically on NSDL e-Voting
jpjk\dZfej`jkjf]ÈKnfJk\gjÉn_`Z_Xi\
mentioned below:
Step 1 : Log-in to NSDL e-Voting system at https://
www.evoting.nsdl.com/
Step 2 : Cast your vote electronically on NSDL
e-Voting system.
259
;\kX`cjfeJk\g(`jd\ek`fe\[Y\cfn1
?fnkfCf^$`ekfEJ;C\$Mfk`e^n\Yj`k\6
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
cXleZ_\[#Zc`Zbfek_\`ZfeÈCf^`eÉn_`Z_`j
available under ‘Shareholders’ section.
3. A new screen will open. You will have to enter
pfliLj\i@;#pfliGXjjnfi[Xe[XM\i`ÔZXk`fe
Code as shown on the screen.
Alternatively, if you are registered for NSDL
eservices i.e. IDEAS, you can log-in at https://
\j\im`Z\j%ej[c%Zfd&n`k_pfli\o`jk`e^@;<8J
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.
4. Your User ID details are given below:
(a) For Members who hold shares in demat
account with NSDL.
8 Character DP ID followed by 8 Digit
Client ID
    =fi\oXdgc\`]pfli;G@;`j@E*''!!!Xe[
:c`\ek@;`j()!!!!!!k_\epflilj\i@;`j
@E*''!!!()!!!!!!%
(b) For Members who hold shares in demat
account with CDSL.
    (-;`^`k9\e\ÔZ`Xip@;
    =fi\oXdgc\`]pfli9\e\ÔZ`Xip@;`j
()!!!!!!!!!!!!!!k_\epflilj\i@;`j
()!!!!!!!!!!!!!!
(c) For Members holding shares in Physical
Form.
EVEN Number followed by Folio Number
registered with the company.
    =fi\oXdgc\`]]fc`feldY\i`j''(!!!
and EVEN is 101456 then user ID is
('(+,-''(!!!
5. Your password details are given below:
a) If you are already registered for e-Voting,
k_\epflZXelj\pfli\o`jk`e^gXjjnfi[
to login and cast your vote.
b) If you are using NSDL e-Voting system
]fik_\Ôijkk`d\#pfln`cce\\[kf
retrieve the ‘initial password’ which was
communicated to you. Once you retrieve
your ‘initial password’, you need enter the
‘initial password’. The system will ask you
to change your password.
ANNUAL REPORT 2018-19
260
NOTICE
c) How to retrieve your ‘initial password’?
(i) If your email ID is registered in
your demat account or with the
company, your ‘initial password’ is
communicated to you by NSDL on
your email ID. Trace the email sent to
pfl]ifdEJ;C]ifdpflidX`cYfo%
Open the email and open the
XkkXZ_d\ek`%\%XÈ%g[]Ôc\É%Fg\ek_\
È%g[]Ôc\É%K_\gXjjnfi[kffg\ek_\
È%g[]Ôc\É`jpfli/[`^`kZc`\ek@;]fi
NSDL account, last 8 digits of client
ID for CDSL account or folio number
for shares held in physical form. The
È%g[]Ôc\ÉZfekX`ejpfliÊLj\i@;ËXe[
your ‘initial password’.
(ii) If your email ID is not registered,
your ‘initial password’ is
communicated to you on your
postal address by the Company.
6. If you are unable to retrieve or have not
i\Z\`m\[k_\È@e`k`XcgXjjnfi[Éfi_Xm\
forgotten your password:
a) Click on “Forgot User Details/
GXjjnfi[6É@]pflXi\_fc[`e^j_Xi\j`e
your demat account with NSDL or CDSL)
option available on www.evoting.nsdl.com.
b) Click on “Physical User Reset
GXjjnfi[6É@]pflXi\_fc[`e^j_Xi\j
in physical mode) option available on
www.evoting.nsdl.com.
c) If you are still unable to get the password
by aforesaid two options, you can send a
request at evoting@nsdl.co.in mentioning
your demat account number/folio
number, your PAN, your name and your
registered address.
d) Members can also use the OTP (One Time
Password) based login for casting the
votes on the e-Voting system of NSDL.
7. After entering your password, tick on Agree
kfÈK\idjXe[:fe[`k`fejÉYpj\c\Zk`e^fek_\
Z_\ZbYfo%
  /% Efn#pfln`cc_Xm\kfZc`ZbfeÈCf^`eÉYlkkfe%
  0% 8]k\ipflZc`Zbfek_\ÈCf^`eÉYlkkfe#?fd\
page of e-Voting will open.
  ;\kX`cjfeJk\g)`j^`m\eY\cfn1
  ?
 fnkfZXjkpflimfk\\c\Zkife`ZXccpfeEJ;C
\$Mfk`e^jpjk\d6
1. After successful login at Step 1, you will be able
to see the Home page of e-Voting. Click on
e-Voting. Then, click on Active Voting Cycles.
EICHER MOTORS LIMITED
2. After click on Active Voting Cycles, you will be
XYc\kfj\\Xcck_\ZfdgXe`\jÈ<M<EÉ`en_`Z_
you are holding shares and whose voting cycle
is in active status.
  *% J\c\ZkÈ<M<EÉf]<`Z_\iDfkfijC`d`k\[%
4. Now you are ready for e-Voting as the Voting
page opens.
5. Cast your vote by selecting appropriate
options i.e. assent or dissent, verify/modify
the number of shares for which you wish to
ZXjkpflimfk\Xe[Zc`ZbfeÈJlYd`kÉXe[Xcjf
È:feÔidÉn_\egifdgk\[%
  -% LgfeZfeÔidXk`fe#k_\d\jjX^\ÈMfk\ZXjk
jlZZ\jj]lccpÉn`ccY\[`jgcXp\[%
7. You can also take the printout of the votes
cast by you by clicking on the print option on
k_\ZfeÔidXk`fegX^\%
  /% FeZ\pflZfeÔidpflimfk\fek_\i\jfclk`fe#
you will not be allowed to modify your vote.
 >\e\iXc>l`[\c`e\j]fij_Xi\_fc[\ij
1. Institutional shareholders (i.e. other than
individuals, HUF, NRI etc.) are required to send
scanned copy (PDF/JPG Format) of the relevant
Board Resolution/ Authority letter etc. with
attested specimen signature of the duly authorized
signatory(ies) who are authorized to vote, to the
Scrutinizer by e-mail to vijaygupta.vkgn@gmail.com
with a copy marked to evoting@nsdl.co.in.
2. It is strongly recommended not to share your
password with any other person and take utmost
ZXi\kfb\\gpfligXjjnfi[ZfeÔ[\ek`Xc%Cf^`e
to the e-voting website will be disabled upon
Ôm\lejlZZ\jj]lcXkk\dgkjkfb\p`ek_\Zfii\Zk
password. In such an event, you will need to go
k_ifl^_k_\È=fi^fkLj\i;\kX`cj&GXjjnfi[6Éfi
ÈG_pj`ZXcLj\iI\j\kGXjjnfi[6Éfgk`feXmX`cXYc\
on www.evoting.nsdl.com to reset the password.
3. In case of any queries, you may refer the Frequently
Asked Questions (FAQs) for Shareholders and
e-voting user manual for Shareholders available
at the download section of www.evoting.nsdl.com
or call on toll free no.: 1800-222-990 or send a
request at evoting@nsdl.co.in.
4. The voting rights of members shall be in proportion
to their share in the paid up equity share capital of
k_\:fdgXepXjfek_\Zlk$fù[Xk\f]Alcp),#)'(0%
5. Any person, who acquires shares of the Company
and become member of the Company after
dispatch of the notice and holding shares as of the
Zlk$fù[Xk\`%\%Alcp),#)'(0#dXpfYkX`ek_\cf^`e
ID and password by sending a request at evoting@
nsdl.co.in and investors@eichermotors.com.

However, if a member is already registered with
NSDL eservices i.e. IDEAS, he can log-in at https://
\j\im`Z\j%ej[c%Zfd&n`k__`j\o`jk`e^@;<8Jcf^`e%@]
the member forgets his password, he can reset his
password by using above instructions for remote
e-voting.
6. A member may participate in the AGM even after
\o\iZ`j`e^_`ji`^_kkfmfk\k_ifl^_ i\dfk\
e-voting but shall not be allowed to vote again at
the AGM.
)(% N\YZXjkf]k_\>\e\iXcD\\k`e^1
The Shareholders are informed that the Company will
be providing a facility to view the live streaming of the
AGM proceedings on the NSDL website. You may access
the same at https://www.evoting.nsdl.com by using your
remote e-voting credentials. The link will be available in
shareholder login where the EVEN of Company will be
displayed.
The Webcast facility will be available from the time of
commencement of AGM till the time of conclusion of
AGM on August 1, 2019.
22. A person, whose name is recorded in the register
f]d\dY\ijfi`ek_\i\^`jk\if]Y\e\ÔZ`Xcfne\ij
dX`ekX`e\[Ypk_\[\gfj`kfi`\jXjfek_\Zlk$fù[Xk\
only shall be entitled to avail the facility of remote
e-voting or voting at the AGM through ballot process.
23. Member(s) can choose only one mode of voting, i.e.
either remote e-voting or voting through ballot process
at the AGM. In case a member casts its vote through
both the modes, voting done through remote e-voting
shall prevail and voting done at the meeting through
ballot process shall be treated as invalid.
24. Mr. Vijay Gupta, Chartered Accountant, or in his absence,
Ms. Navita Gupta, Chartered Accountant, shall act as the
Scrutinizer(s) to scrutinize the ballot voting and remote
e-voting process in a fair and transparent manner.
25. The Chairman shall, at the AGM, at the end of discussion
on the resolutions on which voting is to be held, allow
voting with the assistance of Scrutinizer, through “Ballot
GifZ\jjÉ]fiXcck_fj\d\dY\ijn_fXi\gi\j\ekXkk_\
261
AGM but have not cast their votes by availing the remote
e-voting facility.
26. The Scrutinizer shall after the conclusion of voting
Xkk_\8eelXc>\e\iXcD\\k`e^#n`ccÔijkZflekk_\
votes cast through ballot process at the meeting and
thereafter unblock the votes cast through remote
e-voting in the presence of at least two witnesses not
in the employment of the Company and shall make a
consolidated scrutinizer’s report within the prescribed
time of the total votes cast in favor or against, if any, and
submit the report to the Chairman or a person authorized
by him in writing, who shall countersign the same and
declare the result of the voting forthwith.
27. Results of voting (remote e-voting and voting through
ballot process at the AGM) shall be declared within
48 hours from the time of conclusion of the meeting.
The results along with the Scrutinizers’ report would be
[`jgcXp\[Xkk_\i\^`jk\i\[føZ\f]k_\:fdgXep#Xkk_\
ZfigfiXk\føZ\Xk0-#J\Zkfi*)#>lil^iXd())''(#
?XipXeXXe[j_XccY\`ek`dXk\[kfk_\JkfZb<oZ_Xe^\j
where securities of the Company are listed, Depositories
and Registrar & Share Transfer Agent and will be
displayed on the Company’s website
www.eichermotors.com and NSDL website
www.evoting.nsdl.com.
)/% Any query relating to voting including e-voting may
be addressed to Mr. D.S Mehta-Team Manager, at 96,
Sector 32, Gurugram-122001, Haryana (Contact No. +91
(124) 7102968, E-mail: investors@eichermotors.com).
By order of the Board of Eicher Motors Limited
Manhar Kapoor
General Counsel & Company Secretary
Place: Gurugram, Haryana Membership No. FCS 5564
Date: May 10, 2019
CIN: L34102DL1982PLC129877
I\^[%Fù1*i[=cffi$J\c\Zk:`kpnXcb
A-3 District Centre, Saket
New Delhi – 110017
Phone: 0124-4415600
Website: www.eichermotors.com
E-mail: investors@eichermotors.com
ANNUAL REPORT 2018-19
262
NOTICE
EXPLANATORY STATEMENT PURSUANT TO
SECTION 102 OF THE COMPANIES ACT, 2013
Item No. 4:
Pursuant to Section 148 of the Companies Act, 2013
and Companies (Cost Records and Audit) Rules, 2014,
remuneration payable to the Cost Auditors is required to be
iXk`Ô\[Ypk_\d\dY\ijf]k_\:fdgXep%9fXi[f];`i\Zkfijf]
the Company at its meeting held on August 9, 2018 approved
appointment of Mr. V Kalyanaraman, Cost Accountant, to
conduct audit of relevant cost records of the Company for the
ÔeXeZ`Xcp\Xi)'(/$(0%9fXi[f];`i\ZkfijXk`kjd\\k`e^_\c[
on May 10, 2019, decided to recommend to the shareholders
]fiiXk`ÔZXk`fe#gXpd\ekf]i\dle\iXk`fef]Ij%)#,'#'''&$
Ilg\\jknfcXZjÔ]kpk_fljXe[fecp gcljXggc`ZXYc\kXo\j
Xe[i\`dYlij\d\ekf]flkf]gfZb\k\og\ej\jkfDi%M
Kalyanaraman for audit of cost records of the Company
]fik_\ÔeXeZ`Xcp\Xi)'(/$(0%K_\9fXi[i\Zfdd\e[jXe[
therefore seeks shareholders’ approval through an Ordinary
Resolution as set out under business item no. 4 in the notice
of this meeting.
None of the Directors or Key Managerial Personnel of the
Company or their relatives is/are concerned or interested,
ÔeXeZ`Xccpfifk_\in`j\#`ek_\gifgfj\[i\jfclk`fe%
Item No. 5:
K_\9fXi[f];`i\Zkfijf]k_\:fdgXepÈk_\9fXi[É Xk
its meeting held on April 1, 2019, has appointed Mr. Vinod
Kumar Dasari (DIN: 00345657) as an Additional Director
n`k_\ù\Zk]ifd8gi`c(#)'(0`ek\idjf]gifm`j`fejf]J\Zk`fe
149, 152 and 161 of the Companies Act, 2013 and the rules
made thereunder. The Board at the aforesaid meeting
also appointed Mr. Dasari, subject to the approval of the
shareholders, as Whole-time Director of the Company
]fiXg\i`f[f],Ôm\ p\Xijn`k_\ù\Zk]ifd8gi`c(#)'(0
on the terms and conditions including remuneration as
recommended by the Nomination and Remuneration
Committee of the Company and approved by the Board as set
out under business item no. 5 in the notice of this meeting.
9i`\]gifÔc\f]Di%M`ef[BldXi;XjXi`1
Mr. Vinod K Dasari is amongst the top few CEOs in India with a
gifm\ekiXZbi\Zfi[f]dXeX^`e^Zfdgc\oYlj`e\jj\j^cfYXccp%
9\]fi\af`e`e^IfpXc<eÔ\c[#_\_\c[k_\gfj`k`fef]DXeX^`e^
Director & CEO, Ashok Leyland since 2011. He joined Ashok
C\pcXe[`e)'',Xjk_\:_`\]Fg\iXk`e^FøZ\i%Di%M`ef[
Dasari has held senior positions in Cummins India Limited,
where he served as the President and went on to become its
Joint Managing Director. He joined Timken Company, a world
leader in bearings and steel, after starting his career with
General Electric in 1986. He served as the Managing Director
of Timken India and thereafter as the President of its Global
Railroad business in USA. In his career, Mr. Dasari has received
several accolades for his leadership including the “CEO of
k_\P\XiÉYp9lj`e\jjKf[XpXe[dfi\i\Z\ekcp9lj`e\jj
Standard. He has also been honoured as the “CV Man of the
P\XiÉYp:MDX^Xq`e\Xe[È8lkfZXiGif]\jj`feXcf]k_\P\XiÉ%
EICHER MOTORS LIMITED
He has also served as the President of the Society of Indian
Automobile Manufacturers (SIAM) from 2015 to 2017 and as
President of Automotive Research Association of India (ARAI),
from 2013 to 2015. He holds a Masters degree in Engineering
Management from the McCormick School of Engineering and
a Master in Business Administration (MBA) from the Kellogg
School of Management. He earned a Bachelor’s degree in
Engineering from University of Louisville in 1988 and a dual
degree from Northwestern University.
Fk_\i`e]fidXk`feXYflkDi%M`ef[BldXi;XjXi`1
(i) Date of Birth: 28-06-1966, Age: 52 Years
(ii) No. of meetings of the Board attended during the last
ÔeXeZ`Xcp\Xi1Efk8ggc`ZXYc\
```  ;Xk\f]ÔijkXggf`ekd\ekfek_\9fXi[18gi`c(#)'(0
(iv) Remuneration last drawn by Mr. Dasari: Not Applicable
(v) Remuneration proposed to be paid: The overall
remuneration payable every year to Mr. Vinod Kumar
Dasari by way of salary, perquisites and allowances,
incentive / bonus / performance linked incentive,
i\dle\iXk`feYXj\[fee\kgifÔkj#\kZ%#Xjk_\ZXj\dXp
Y\#j_Xccefk\oZ\\[`ek_\X^^i\^Xk\k_i\\g\iZ\ek* 
f]k_\e\kgifÔkjf]k_\:fdgXepXjZfdglk\[`ek_\
manner laid down in Section 198 of the Companies Act,
)'(*Èk_\8ZkÉ fiXepjkXklkfipdf[`ÔZXk`fej fii\$
enactment(s) thereof.
(vi) Mr. Dasari’s appointment as Whole-time Director may
be terminated by the Company or by him by giving the
other 3 (three) months’ prior notice in writing or payment
of salary in lieu of notice for 3 months or such a period
which falls short of 3 months.
m``  Di%M`ef[B%;XjXi`_fc[jEfe$<o\Zlk`m\;`i\Zkfij_`gj
in Pidilite Industries Limited, Vishay Engineering and
Holdings Private Limited, Waycool Foods and Products
Private Limited and Lynks Logistics Limited. He is not
holding any committee position in any of the aforesaid
Companies in terms of Regulation 26 of the SEBI (Listing
Obligations & Disclosure Requirements) Regulations,
2015.
(viii) The appointment and remuneration of Mr. Vinod K.
Dasari is in compliance with the provisions of Sections
196, 197, the Rules made thereunder read with Schedule
V of the Act and other relevant and applicable provisions,
if any, of the Act and the Articles of Association of the
:fdgXep%?\`jefk[`jhlXc`Ô\[]ifdY\`e^Xggf`ek\[
as Director in terms of Section 164 of the Act and also
eligible to act as Whole-time Director of the Company
pursuant to applicable provisions of the Act. The
Company has received his consent to act as a Director
and also as Whole-time Director of the Company.
K_\Efk`Z\i\X[n`k_<ogcXeXkfipJkXk\d\ekj_flc[Y\
considered as written Memorandum setting out the terms of

appointment and remuneration of Mr. Vinod Kumar Dasari
as Whole-time Director as required under Section 190 of the
Companies Act, 2013. The Company has, in terms of Section
160(1) of the Act, received in writing a notice from Member,
gifgfj`e^_`jZXe[`[Xkli\]fik_\føZ\f];`i\Zkfi%
Mr. Vinod Kumar Dasari does not hold any shares in the Company.
Di%;XjXi`]fi_`dj\c]Xe[k_ifl^__`ji\cXk`m\j#kfk_\\ok\ek
of their shareholding in the Company, if any, may be deemed
kfY\ZfeZ\ie\[fi`ek\i\jk\[#ÔeXeZ`Xccpfifk_\in`j\#`ek_\
Resolution as set out under business item no. 5 of the notice.
Besides the remuneration proposed herein, Mr. Dasari, does
not have any other pecuniary relationship with the Company.
He is not related to any Director or Key Managerial Personnel
f]k_\:fdgXep%JXm\Xe[\oZ\gkk_\XYfm\#efe\f]k_\fk_\i
Directors, Key Managerial Personnel of the Company and/or their
i\cXk`m\jXi\`eXepnXpZfeZ\ie\[fi`ek\i\jk\[#ÔeXeZ`Xccpfi
otherwise in the said Resolution.
It is therefore proposed to seek shareholders’ approval for
the appointment of and remuneration payable to Mr. Vinod
Kumar Dasari as Whole-time Director of the Company
]fiXg\i`f[f],Ôm\ p\Xijn%\%]%8gi`c(#)'(0%K_\9fXi[
recommends the Resolution as set out under business
item no. 5 in the notice of this meeting for approval of the
Members by means of Ordinary Resolution.
Item No. 6:
Pursuant to the provisions of Sections 149, 152 and 161(1) of
k_\:fdgXe`\j8Zk#)'(*Èk_\8ZkÉ i\X[n`k_JZ_\[lc\@M
thereto and the Articles of Association of the Company, the
Board of Directors of the Company at its meeting held on
November 12, 2018, appointed Mr. Inder Mohan Singh as an
8[[`k`feXc;`i\Zkfi@e[\g\e[\ek f]k_\:fdgXepn`k_\ù\Zk
from November 12, 2018. The Nomination and Remuneration
Committee has recommended the appointment of Mr.
Inder Mohan Singh as an Additional Director and also as an
@e[\g\e[\ek;`i\Zkfif]k_\:fdgXep]fiXg\i`f[f],Ôm\ 
consecutive years w.e.f. November 12, 2018.
In terms of the provisions of Section 161(1) of the Act, Mr. Inder
Df_XeJ`e^_j_Xcc_fc[føZ\lgkfk_\[Xk\f]k_`j8eelXc
>\e\iXcD\\k`e^%Di%@e[\iDf_XeJ`e^_`jefk[`jhlXc`Ô\[]ifd
being appointed as a Director in terms of Section 164 of the Act
and has given his consent to act as a Director. The Company
has also received a declaration from Mr. Inder Mohan Singh
stating that he meets the criteria of independence as prescribed
under sub-section (6) of Section 149 of the Act and SEBI
(Listing Obligations and Disclosure Requirements) Regulations,
2015 ("SEBI Listing Regulations"). Mr. Singh holds Independent
Directorship in VE Commercial Vehicles Limited. He does not hold
any committee position in terms of Regulation 26 of the SEBI
(Listing Obligations & Disclosure Requirements) Regulations,
)'(,%@ek_\fg`e`fef]k_\9fXi[#Di%@e[\iDf_XeJ`e^_]lcÔccj
the conditions for his appointment as an Independent Director
Xjjg\Z`Ô\[`ek_\8Zk#k_\ilc\jdX[\k_\i\le[\iXe[k_\J<9@
Listing Regulations and is independent of the management of
the Company. The Company has, in terms of Section 160(1) of
263
the Act, received in writing a notice from Member, proposing his
ZXe[`[Xkli\]fik_\føZ\f];`i\Zkfi%
Mr. Inder Mohan Singh is a fellow member of the Institute
of Company Secretaries of India, a law graduate from Delhi
University and a postgraduate in Finance. Mr. Singh is a
Partner with Shardul Amarchand Mangaldas & Co., a leading
cXnÔidXe[jg\Z`Xc`j\j`emXi`fljgiXZk`Z\Xi\Xj`eZcl[`e^
General Corporate, Mergers & Acquisitions, Private Equity,
Corporate Governance and Education. Mr. Singh has vast
\og\i`\eZ\`ek_\XlkfdfY`c\`e[ljkip\jg\Z`Xccp`edXkk\ij
related to joint ventures, distribution networks, business
transfers and technology licensing issues. He has worked
across industries including cement, media and entertainment,
telecom, real estate and the education sector.
Fk_\i`e]fidXk`feXYflkDi%@e[\iDf_XeJ`e^_1
(i) Date of Birth: 21-09-1964, Age: 54 Years
(ii) No. of meetings of the Board attended during the last
ÔeXeZ`Xcp\Xi1Di%J`e^_Xkk\e[\[)knf d\\k`e^jflkf]
2 (two) meetings of the Board held during Financial Year
2018-19 after his being appointed as Director.
```  ;Xk\f]ÔijkXggf`ekd\ekfek_\9fXi[1Efm\dY\i()#
2018
(iv) Remuneration last drawn by Mr. Inder Mohan Singh:
Gc\Xj\i\]\i8ee\oli\,kf;`i\ZkfijI\gfikXe[
Corporate Governance Report.
(v) Remuneration proposed to be paid: Remuneration by
way of commission as may be decided by the Board
of Directors from time to time, which together with
Zfdd`jj`fegX`[kffk_\iEfe$<o\Zlk`m\;`i\Zkfijj_Xcc
efk\oZ\\[(fe\g\iZ\ek f]k_\e\kgifÔkjf]k_\
Company, calculated in accordance with the provisions
of the Companies Act, 2013 in addition to sitting fees for
attending Board/Committee meetings.
Copy of the draft letter of appointment of Mr. Inder Mohan
Singh as an Independent Director setting out the terms and
conditions is available for inspection by members at the
I\^`jk\i\[FøZ\f]k_\:fdgXepfeXccnfib`e^[Xpj#[li`e^
business hours, up to the date of the AGM.
Mr. Inder Mohan Singh does not hold any shares in the
Company. Mr. Singh for himself and through his relatives,
kfk_\\ok\ekf]k_\`ij_Xi\_fc[`e^`ek_\:fdgXep#`]Xep#
dXpY\[\\d\[kfY\ZfeZ\ie\[fi`ek\i\jk\[#ÔeXeZ`Xccpfi
otherwise, in the Resolution as set out under business item no.
6 of the notice. Mr. Singh, does not have any other pecuniary
relationship with the Company. He is also not related to
any Director or Key Managerial Personnel of the Company.
JXm\Xe[\oZ\gkk_\XYfm\#efe\f]k_\fk_\i;`i\Zkfij#
Key Managerial Personnel of the Company and/or their
i\cXk`m\jXi\`eXepnXpZfeZ\ie\[fi`ek\i\jk\[#ÔeXeZ`Xccpfi
otherwise in the said Resolution.
ANNUAL REPORT 2018-19
264
NOTICE
In the opinion of the Board, it will be in the best interest
of the Company to appoint Mr. Inder Mohan Singh as an
Independent Director of the Company, keeping in view the
\og\ik`j\befnc\[^\k_Xk_\gfjj\jj%K_\9fXi[XZZfi[`e^cp
recommends the Resolution as set out under business
item no. 6 in the notice of this meeting for approval by the
members as an Ordinary Resolution.
Item No. 7:
Pursuant to the provisions of Sections 149, 152 and 161(1)
f]k_\:fdgXe`\j8Zk#)'(*Èk_\8ZkÉ Xe[k_\8ik`Zc\jf]
Association of the Company, the Board of Directors of the
Company at its meeting held on April 1, 2019, appointed
Mr. Vinod Kumar Aggarwal as an Additional Director (Non-
<o\Zlk`m\#Efe$@e[\g\e[\ek f]k_\:fdgXepn`k_\ù\Zk]ifd
April 1, 2019. The Nomination and Remuneration Committee
has recommended the appointment of Mr. Vinod Kumar
8^^XinXcXjXe8[[`k`feXc;`i\ZkfiXe[XcjfXjEfe$<o\Zlk`m\
Director of the Company, liable to retire by rotation, for a
g\i`f[f],Ôm\ Zfej\Zlk`m\p\Xijn%\%]%8gi`c(#)'(0%
In terms of the provisions of Section 161(1) of the Act, Mr. Vinod
BldXi8^^XinXcj_Xcc_fc[føZ\lgkfk_\[Xk\f]k_`j8eelXc
>\e\iXcD\\k`e^%Di%M`ef[BldXi8^^XinXc`jefk[`jhlXc`Ô\[
from being appointed as a Director in terms of Section 164 of the
Act and has given his consent to act as a Director. Mr. Aggarwal
holds directorship in VE Commercial Vehicles Limited and Eicher
Group Foundation. He is not holding any committee position in
any of the aforesaid Companies in terms of Regulation 26 of the
SEBI (Listing Obligations & Disclosure Requirements) Regulations,
2015. In the opinion of the Board, Mr. Vinod Kumar Aggarwal
]lcÔccjk_\Zfe[`k`fej]fi_`jXggf`ekd\ekXjX;`i\Zkfi#Xj
jg\Z`Ô\[`ek_\8ZkXe[k_\J<9@I\^lcXk`fej%K_\:fdgXep_Xj#
in terms of Section 160(1) of the Act, received in writing a notice
]ifdD\dY\i#gifgfj`e^_`jZXe[`[Xkli\]fik_\føZ\f];`i\Zkfi%
Mr. Vinod Aggarwal is the Managing Director & CEO of VE
Commercial Vehicles Ltd (VECV), Eicher Motors’ joint venture
with Sweden’s AB Volvo. An industry veteran with over 40
p\Xijf]i`Z_\og\i`\eZ\`e^\e\iXcdXeX^\d\ek#ÔeXeZ\Xe[
operations, Mr. Aggarwal has been leading VE Commercial
Vehicles Limited since 2010, two years after it was formed. In
his long and successful career with Eicher Group, spanning
over 35 years, he has held several management positions
`eZcl[`e^k_\:_`\]=`eXeZ`XcFøZ\if]k_\<`Z_\i>iflg]ifd
2005- 2009. He has won several awards for his contribution
to the commercial vehicle industry including the “CV Man of
k_\P\XiÉkn`Z\`e)'(0Xe[)'(+%?\nXjXcjfi\Zf^e`j\[
Xjk_\È9\jk:<F$D\[`ldXe[?\Xmp;lkpkilZbdXb\ijÉ`e
)'(-YpNfic[8lkf=fildXe[k_\È?Xccf]=Xd\)'(,ÉYp
Manufacturing Today. He is presently the Treasurer of the
Society of Indian Automobile Manufacturers (SIAM). He is a
hlXc`Ô\[:_Xik\i\[8ZZflekXekXe[:fjk8ZZflekXek%
Fk_\i`e]fidXk`feXYflkDi%M`ef[B%8^^XinXc1
(i) Date of Birth: 09-07-1959, Age: 59 Years
(ii) No. of meetings of the Board attended during the last
ÔeXeZ`Xcp\Xi1Efk8ggc`ZXYc\
EICHER MOTORS LIMITED
```  ;Xk\f]ÔijkXggf`ekd\ekfek_\9fXi[18gi`c(#)'(0
(iv) Remuneration last drawn by Mr. Aggarwal: Not Applicable
(v) Remuneration proposed to be paid: None
Copy of the draft letter of appointment of Mr. Vinod Kumar
8^^XinXcXjEfe$<o\Zlk`m\;`i\Zkfij\kk`e^flkk_\k\idj
and conditions is available for inspection by members at the
I\^`jk\i\[FøZ\f]k_\:fdgXepfeXccnfib`e^[Xpj#[li`e^
business hours, up to the date of the AGM.
Mr. Vinod Kumar Aggarwal holds 6,700 (0.02%) equity shares in
the Company. Mr. Aggarwal for himself and through his relatives,
kfk_\\ok\ekf]k_\`ij_Xi\_fc[`e^`ek_\:fdgXep#dXpY\
[\\d\[kfY\ZfeZ\ie\[fi`ek\i\jk\[#ÔeXeZ`Xccpfifk_\in`j\#`e
the Resolution as set out under business item no. 7 of the notice.
Mr. Aggarwal, does not have any other pecuniary relationship with
the Company. He is not related to any Director or Key Managerial
G\ijfee\cf]k_\:fdgXep%JXm\Xe[\oZ\gkk_\XYfm\#efe\f]
the other Directors, Key Managerial Personnel of the Company
and/or their relatives are in any way concerned or interested,
ÔeXeZ`Xccpfifk_\in`j\`ek_\jX`[I\jfclk`fe%
In the opinion of the Board, it will be in the best interest
of the Company to appoint Mr. Vinod Kumar Aggarwal as
Efe$<o\Zlk`m\;`i\Zkfif]k_\:fdgXep#b\\g`e^`em`\nk_\
\og\ik`j\Xe[mXjkbefnc\[^\k_Xk_\gfjj\jj%8ggf`ekd\ek
f]Di%8^^XinXcXjEfe$<o\Zlk`m\;`i\Zkfif]k_\:fdgXep
does not fall within the purview of related party transaction
under Section 188 of the Act and SEBI (LODR) Regulations,
2015. The Board accordingly recommends Resolution as set
out under business item no. 7 in the notice of this meeting for
approval by the members as an Ordinary Resolution.
Item No. 8:
The members of the Company at their 33rd Annual General
Meeting held on March 20, 2015, had approved payment of
i\dle\iXk`feYpnXpf]Zfdd`jj`fekfk_\Efe$<o\Zlk`m\
Directors of the Company, (other than Managing or Whole-
time Director(s)), as may be decided by the Board of Directors
]ifdk`d\kfk`d\#efk\oZ\\[`e^(fe\g\iZ\ek f]k_\e\k
gifÔkjf]k_\:fdgXep]fi\XZ_ÔeXeZ`Xcp\Xi#ZXcZlcXk\[`e
accordance with the provisions of the Companies Act, 2013, for
Xg\i`f[f]Ôm\p\Xijn`k_\ù\Zk]ifdk_\ÔeXeZ`Xcp\Xi\e[\[
December 31, 2014.
SEBI (Listing Obligations and Disclosure Requirements)
Regulations, 2015, stipulates that all fees/compensation
\oZcl[`e^j`kk`e^]\\j #gX`[kfk_\Efe$<o\Zlk`m\;`i\Zkfij#
`eZcl[`e^`e[\g\e[\ek[`i\Zkfij#j_XccY\Ôo\[Ypk_\9fXi[f]
Directors and shall require previous approval of shareholders
in general meeting. Further, Section 197 of the Companies
Act, 2013 provides that the remuneration payable to Directors
who are neither Managing Directors nor Whole-Time Directors
j_Xccefk\oZ\\[(f]k_\e\kgifÔkjf]k_\ZfdgXep%
The commission will be paid to all or some of the Non-
<o\Zlk`m\;`i\Zkfij`ejlZ_dXee\iXe[gifgfik`feXjdXpY\
determined by the Board of Directors. The commission shall

be in addition to fee payable to the Directors for attending the
meetings of the Board or Committee thereof or for any other
purpose whatsoever as may be decided by the Board and
i\`dYlij\d\ekf]\og\ej\j]figXik`Z`gXk`fe`ek_\9fXi[Xe[
other meetings.
Accordingly, it is considered necessary to obtain approval of
the Members for payment of remuneration to Directors who
are neither Managing Directors nor Whole-Time Directors,
efk\oZ\\[`e^(fe\g\iZ\ek f]k_\XeelXce\kgifÔkjf]
k_\:fdgXep]fi\XZ_ÔeXeZ`Xcp\Xi%K_\9fXi[XZZfi[`e^cp
recommends Resolution as set out under business item no. 8
in the notice of this meeting for approval of the members as
Special Resolution.
All the Independent Directors other than the Managing
Director(s) and Whole-time Director(s) of the Company, and
k_\`ii\cXk`m\jkfk_\\ok\ekf]k_\`ij_Xi\_fc[`e^#`]Xep`ek_\
Company, may be deemed to be concerned or interested
`ek_\i\jfclk`fekfk_\\ok\ekf]i\dle\iXk`fek_XkjlZ_
[`i\ZkfidXpi\Z\`m\%JXm\Xe[\oZ\gkk_\XYfm\#efe\f]
the Key Managerial Personnel of the Company and/or their
i\cXk`m\jXi\`eXepnXpZfeZ\ie\[fi`ek\i\jk\[#ÔeXeZ`Xccpfi
otherwise in the said Resolution.
Item No. 9:
Pursuant to amended provisions of SEBI (Listing Obligations
and Disclosure Requirements) Regulations, 2015 (“Listing
I\^lcXk`fejÉ #\m\ipc`jk\[\ek`kp`ji\hl`i\[kffYkX`e
approval of Members of the Company by way of Special
Resolution for payment of remuneration to a single Non-
<o\Zlk`m\;`i\Zkfi\oZ\\[`e^Ô]kpg\iZ\ekf]k_\kfkXc
i\dle\iXk`fegXpXYc\kfXccEfe$<o\Zlk`m\;`i\Zkfijf]k_\
Company.
K_\gXpd\ekf]i\dle\iXk`fekfEfe$<o\Zlk`m\;`i\Zkfij#
(other than Managing or Whole-time Director(s)), was
approved by the Members in the 33rd Annual General Meeting
]fiXg\i`f[f]Ôm\p\Xijn`k_\ù\Zk]ifdÔeXeZ`Xcp\Xi\e[\[
December 31, 2014, as decided by the Board of Directors
]ifdk`d\kfk`d\#efk\oZ\\[`e^(f]k_\e\kgifÔkjf]k_\
:fdgXep]fi\XZ_ÔeXeZ`Xcp\Xi#ZXcZlcXk\[`eXZZfi[XeZ\
with the provisions of the Companies Act, 2013.
Di%J%JXe[`cpX_XjmXjk\og\i`\eZ\`ek_\XlkfdfY`c\`e[ljkip%
N`k__`j`e$[\gk_befnc\[^\`eXi\Xjf]ÔeXeZ\#k\Z_efcf^p#
general management and corporate governance he provides
strategic guidance to the Company and steers the Board
functioning in the Company’s best interests.
The remuneration payable to Mr. S. Sandilya for the
ÔeXeZ`Xcp\Xi)'(/$(0dXp\oZ\\[Ô]kpg\iZ\ekf]k_\
kfkXci\dle\iXk`fegXpXYc\kfXccEfe$<o\Zlk`m\;`i\Zkfij
of the Company and thus it is necessary to take approval
of shareholders by way of Special Resolution. Taking into
XZZflekk_\\og\i`\eZ\Xe[Zfeki`Ylk`fedX[\YpDi%J%
Sandilya, the Board recommends the Resolution as set out
265
under business item no. 9 in the notice of this meeting for the
approval of the members as Special Resolution. The details of
i\dle\iXk`fef]Di%J%JXe[`cpX]fik_\ÔeXeZ`Xcp\Xi)'(/$(0#
is given the Corporate Governance Report forming part of the
Annual Report.
Mr. S. Sandilya holds 11,766 (0.04%) equity shares in the
:fdgXep%Di%J%JXe[`cpX#:_X`idXeEfe$<o\Zlk`m\
@e[\g\e[\ek;`i\Zkfi Xe[_`ji\cXk`m\jkfk_\\ok\ekf]k_\`i
shareholding, if any, in the Company, may be deemed to be
ZfeZ\ie\[fi`ek\i\jk\[`ek_\i\jfclk`fekfk_\\ok\ekf]
i\dle\iXk`fek_Xk_\dXpi\Z\`m\%JXm\Xe[\oZ\gkk_\
above, none of the other Directors, Key Managerial Personnel
of the Company and/or their relatives is concerned or
`ek\i\jk\[#ÔeXeZ`Xccpfifk_\in`j\#`ek_\X]fi\jX`[i\jfclk`fe%
Item No. 10 & 11:
Equity based compensation is considered to be an integral
part of employee compensation across sectors which
enables alignment of personal goals of the employees with
fi^Xe`qXk`feXcfYa\Zk`m\j%@k`jk_fl^_k\og\[`\ekkfXkkiXZk#
retain and incentivize key management personnel including
Director(s) whether whole-time or not, of the Company
and of its subsidiary company(ies) (hereinafter referred
kfXjÈ<dgcfp\\jÉ n`k_Xm`\nkfXZ_`\m\Xe[dX`ekX`e
jljkX`e\[ZfigfiXk\^ifnk_Xe[gifÔkXY`c`kp%K_\:fdgXep
views the proposed Restricted Stock Units as instruments
that would while limiting dilution in the shareholding, also
enable the Employees to get a share in the value created
by the Company. With this in view, your Company intends to
implement ‘Eicher Motors Limited - Restricted Stock Unit
GcXe)'(0ËÈIJL)'(0É&ÈGcXeÉ n_`Z_`j`ek_\eXkli\f]Xe
\dgcfp\\jkfZbfgk`fegcXen`k_jXc`\ek]\Xkli\j\ogcX`e\[
below.
As per provisions of Regulation 6 of the SEBI (Share
9Xj\[<dgcfp\\9\e\Ôkj I\^lcXk`fej#)'(+ÈJ<9@J9<9
I\^lcXk`fejÉ #k_\:fdgXepj\\bjXggifmXcf]k_\d\dY\ijf]
the Company for the implementation of the Plan and grant of
RSUs to the eligible Employees.
The main features of the RSU 2019 are as under:
X 9i`\][\jZi`gk`fef]k_\IJL)'(01
The Company proposes to introduce RSU 2019 with a
m`\nkf^`m\Y\e\Ôkkf`kj\c`^`Yc\<dgcfp\\jYp^`m`e^
them equity shares in the Company. The RSU 2019
contemplates grant of restricted stock units (ÈIJLjÉ)
in the nature of employee stock options, at the face
mXcl\jlYa\Zkkf]lcÔcd\ekf]Z\ikX`eZfe[`k`fej Xj
[\k\id`e\[]ifdk`d\kfk`d\%;l\kf_`^_\iY\e\Ôk
potential per RSU and possibility of rationalization of
total accounting cost to the Company, it seems an
\ù\Zk`m\\hl`kpYXj\[gcXek_XkdXpgifk\Zk<dgcfp\\
Y\e\ÔkjX^X`ejkgi`Z\]clZklXk`fej_\cg`e^`e<dgcfp\\
retention and it also results in lesser equity dilution for
k_\\o`jk`e^j_Xi\_fc[\ij%
ANNUAL REPORT 2018-19
266
NOTICE

Every grant of RSU shall be followed by vesting. After Provided following category of persons are not entitled
vesting, the eligible Employees earn a right (but not for RSUs:
fYc`^Xk`fe kf\o\iZ`j\k_\m\jk\[IJLjn`k_`ek_\
a. An employee, who is a promoter or belongs to the
gi\[\Ôe\[\o\iZ`j\g\i`f[%<XZ_IJL`jZfem\ik`Yc\`ekf
promoter group;
one equity share of the Company upon vesting. The
:fdgXepj_Xcc`jjl\j_Xi\jlgfe\o\iZ`j\f]m\jk\[
b. A director, who either by himself or through his
IJLj#jlYa\Zkkf]lcÔcd\ekf]Z\ikX`eZfe[`k`fej 
relatives or through any-body corporate, directly or
jlYa\ZkkfgXpd\ekf]\o\iZ`j\gi`Z\Xe[jXk`j]XZk`fef]
indirectly holds more than 10% of the outstanding
Zfej\hl\ek`XckXofYc`^Xk`fej%
shares of the Company;

The Nomination and Remuneration Committee

c. An independent director within the meaning
È:fdd`kk\\É f]k_\:fdgXepj_XccX[d`e`jk\iIJL
of the Companies Act, 2013 and/or the SEBI
2019. All questions of interpretation of the RSU 2019
(Listing Obligations and Disclosure Requirements)
shall be determined by the Committee and such
Regulations, 2015.
[\k\id`eXk`fej_XccY\ÔeXcXe[Y`e[`e^lgfeXccg\ijfej
having an interest in RSU 2019. [ I\hl`i\d\ekjf]m\jk`e^Xe[g\i`f[f]m\jk`e^
`eZcl[`e^dXo`dldg\i`f[1
Y KfkXceldY\if]fgk`fej&IJLjkfY\^iXek\[1
RSUs granted under the Plan would vest on the basis
The total number of RSUs to be granted under RSU
of continuation of employment as on relevant date of
)'(0j_Xccefk\oZ\\[`eX^^i\^Xk\(f]k_\gX`[$lg
vesting as a pre-requisite condition. Additional vesting
equity shares of the Company, from time to time, which
conditions may be imposed based on individual or
lgfe\o\iZ`j\j_XccY\Zfem\ik`Yc\`ekfefk\oZ\\[`e^`e
corporate performance parameters as decided by the
aggregate 1% of the paid-up equity shares of the Company,
Committee at the time of grant of RSUs which shall be
from time to time, of face value of Rs. 10 each fully paid-up.
communicated to the individual Employees. Owing to
<dgcfp\\ji\jgfej`Yc\]fi[`ù\i\ek]leZk`fej`ek_\
RSUs lapsed or cancelled due to any reason including
:fdgXep#k_\m\jk`e^Zfe[`k`fejdXpY\[`ù\i\ek]fi
k_\i\Xjfef]cXgj\f]\o\iZ`j\g\i`f[fi[l\kf
[`ù\i\ek<dgcfp\\jfiXepZcXjjk_\i\f]%
severance of the Employee, would be available for re-
grant at a future date. The Committee is authorized to
RSUs granted under this Plan would vest not earlier than
re-grant such lapsed / cancelled RSUs as per the RSU
minimum vesting period of 1 (One) year but not later than
2019.
dXo`dldm\jk`e^g\i`f[f].J\m\e p\Xij]ifdk_\
[Xk\f]^iXekf]jlZ_IJLj%K_\\oXZkm\jk`e^jZ_\[lc\
Further, the SEBI SBEB Regulations require that in case
within this band of vesting shall be determined by the
of any corporate action(s) such as rights issue, stock
:fdd`kk\\Xe[j_XccY\jg\Z`Ô\[kfk_\<dgcfp\\jXk
split, bonus issue, merger and sale of division and others,
the time of grant of RSUs.
a fair and reasonable adjustment needs to be made to
the RSUs granted. In this regard, the Committee shall
\ <o\iZ`j\gi`Z\figi`Z`e^]fidlcX1
X[aljkk_\eldY\iXe[kfk_\\ok\ekXccfn\[#k_\gi`Z\
of the RSUs in such a manner that the total value of the  K_\\o\iZ`j\gi`Z\g\iIJLj_XccY\k_\]XZ\mXcl\f]
RSUs remains the same after any such corporate action. le[\icp`e^j_Xi\Xjfe[Xk\f]\o\iZ`j\f]jlZ_IJL%
Accordingly, if any additional RSUs are issued by the
] <o\iZ`j\g\i`f[Xe[k_\gifZ\jjf]\o\iZ`j\1
Company to the RSU grantees for making such fair and
reasonable adjustment, the ceiling of RSUs and shares In case of continuation of employment/ service, the
X]fi\jX`[j_XccY\[\\d\[kfY\df[`Ô\[XZZfi[`e^cp% \o\iZ`j\g\i`f[f]Xm\jk\[IJLj_XccY\XdXo`dldf]
7 (Seven) years from the date of vesting of such RSU,
Z @[\ek`ÔZXk`fef]ZcXjj\jf]<dgcfp\\j\ek`kc\[kf or such other lesser period as may be prescribed by the
gXik`Z`gXk\`eIJL)'(01 Committee at time of grant.
Following classes of Employees are entitled to participate
 K_\GcXe\em`jX^\jj_fik\i\o\iZ`j\g\i`f[jk_Xek_Xk
in RSU 2019:
jg\Z`Ô\[XYfm\`eZXj\f]j\gXiXk`fe]ifd\dgcfpd\ek&
(i) an employee of the Company working in India or j\im`Z\feXZZflekf]jg\Z`Ô\[i\Xjfej%@eZXj\f]
outside India; termination due to misconduct, there shall not be
(ii) a director of the Company, whether whole-time or Xep\o\iZ`j\g\i`f[XjXcck_\m\jk\[IJLjj_XcccXgj\
not; or forthwith.

(iii) an employee or a director, working in India or The vested RSUs, as permitted under the Plan, shall be
outside India (whether whole-time or not), of a \o\iZ`jXYc\Ypk_\<dgcfp\\jYpXni`kk\eXggc`ZXk`fe
Subsidiary Company, incorporated in India or kfk_\:fdgXep\ogi\jj`e^k_\`i[\j`i\kf\o\iZ`j\jlZ_
outside India. RSUs in such manner and in such format and in such

EICHER MOTORS LIMITED


numbers as may be prescribed by the Committee from
k`d\kfk`d\%K_\m\jk\[IJLjj_XcccXgj\#`]efk\o\iZ`j\[
n`k_`ek_\jg\Z`Ô\[\o\iZ`j\g\i`f[jlYa\Zkkf\oZ\gk`fej
as decided by the Committee.
^ GifZ\jj]fi[\k\id`e`e^k_\\c`^`Y`c`kpf]<dgcfp\\j
le[\iIJL)'(01
The eligible employees and / or eligibility criteria shall
be decided from time to time by the Committee. The
broad eligibility criteria may include parameters like
appointment to key managerial positions, tenure
of association with the Company/ its subsidiary,
performance during the previous years, contribution
towards strategic growth and such other parameters as
may be decided by the Committee from time to time.
_ DXo`dldeldY\if]fgk`fej&IJLjkfY\`jjl\[g\i
\dgcfp\\1
 K_\dXo`dldeldY\if]IJLjk_XkdXpY\^iXek\[
under RSU 2019 to any eligible Employee per grant and
in aggregate shall be less than 0.50% (half percent)
f]k_\gX`[$lg\hl`kpj_Xi\j\oZcl[`e^flkjkXe[`e^
warrants and conversions) of the Company at the time of
grant.
` DXo`dldhlXekldf]Y\e\ÔkjkfY\gifm`[\[g\i
\dgcfp\\le[\ik_\GcXe1
 EfY\e\Ôkfk_\ik_XeYpnXpf]^iXekf]IJLj`j
envisaged under the Plan.
a @dgc\d\ekXk`fefiX[d`e`jkiXk`fef]k_\IJL)'(01
RSU 2019 shall be implemented and administered
directly by the Company without forming or involving any
trust.
b JfliZ\f]XZhl`j`k`fef]j_Xi\jle[\ik_\IJL)'(01
RSU 2019 envisages issue of primary shares against
\o\iZ`j\f]m\jk\[IJLj%
c 8dflekf]cfXekfY\gifm`[\[]fi`dgc\d\ekXk`fe
f]k_\jZ_\d\j Ypk_\ZfdgXepkfk_\kiljk#`kj
k\eli\#lk`c`qXk`fe#i\gXpd\ekk\idj#\kZ1
RSU 2019 envisages direct implementation without
intervention of any trust and thus, this is not applicable.
d  DXo`dldg\iZ\ekX^\f]j\Zfe[XipXZhl`j`k`fe1
RSU 2019 envisages issue of primary shares and there is
no contemplation of secondary acquisition.
e 8ZZflek`e^Xe[;`jZcfjli\Gfc`Z`\j1
The Company shall follow the prevailing Indian
Accounting Standard IND-AS 102 for accounting of
\dgcfp\\j_Xi\$YXj\[gXpd\ekjXjefk`Ô\[Xe[
amended by the competent authorities from time to
time, including the disclosure requirements prescribed
267
therein. The Company shall conform to the accounting
gfc`Z`\jjg\Z`Ô\[`eI\^lcXk`fe(,f]J<9@J9<9
Regulations.
f D\k_f[f]fgk`fe&IJLmXclXk`fe1
The Company shall adopt ‘fair value method’ for
valuation of RSUs as prescribed under applicable
@e[`Xe8ZZflek`e^JkXe[Xi[efk`Ô\[Ypk_\Zfdg\k\ek
authorities from time to time.
g ;\ZcXiXk`fe1
 @eZXj\k_\:fdgXepfgkj]fi\og\ej`e^f]j_Xi\YXj\[
\dgcfp\\Y\e\Ôkjlj`e^k_\`eki`ej`ZmXcl\XkXep
time due to any regulatory or other requirement, the
[`ù\i\eZ\Y\kn\\ek_\\dgcfp\\Zfdg\ejXk`feZfjkjf
computed and the employee compensation cost that
shall have been recognized if it had used the fair value of
k_\IJLjXe[k_\`dgXZkf]k_`j[`ù\i\eZ\fegifÔkjXe[
on earning per share (EPS) of the Company shall also be
disclosed in the Directors’ report.
It is therefore considered necessary to obtain approval of the
members to the Restricted Stock Unit Plan 2019 for granting
RSUs, convertible into equity shares, to the eligible employees
of the Company and its subsidiary company(ies) pursuant to
Section 62(1)(b) and all other applicable provisions, if any,
of the Companies Act, 2013 read with Regulation 6 of the
SEBI SBEB Regulations. The Board accordingly recommends
Resolution as set out under business item nos. 10 & 11 in
the notice of this meeting for approval of the members as
Special Resolutions. A draft copy of RSU 2019 is available
]fi`ejg\Zk`feYpd\dY\ijXkk_\I\^`jk\i\[FøZ\f]k_\
Company on all working days, during business hours, up to the
date of the AGM.
None of the Director and/or Key Managerial Personnel of the
Company and/or their relatives are in any way concerned
fi`ek\i\jk\[#ÔeXeZ`Xccpfifk_\in`j\`ek_\jX`[i\jfclk`fej
\oZ\gkkfk_\\ok\ekf]k_\`i\ek`kc\d\ekj[\k\id`e\[cXn]lccp#
if any, under RSU 2019.
By order of the Board of Eicher Motors Limited
Manhar Kapoor
General Counsel & Company Secretary
Place: Gurugram, Haryana Membership No. FCS 5564
Date: May 10, 2019
CIN: L34102DL1982PLC129877
I\^[%Fù1*i[=cffi$J\c\Zk:`kpnXcb
A-3 District Centre, Saket
New Delhi – 110017
Phone: 0124-4415600
Website: www.eichermotors.com
E-mail: investors@eichermotors.com
ANNUAL REPORT 2018-19
 ATTENDANCE SLIP

Eicher Motors Limited

CIN: L34102DL1982PLC129877
I\^`jk\i\[FøZ\1*rd Floor-Select Citywalk, A-3 District Centre, Saket, New Delhi–110017
Phone: 0124-4415600
Website: www.eichermotors.com, Email: investors@eichermotors.com
DP ID* Client ID*/ Regd. Folio No. No. of Shares Name and Address of the Registered
Held Shareholders

@Y\`e^k_\i\^`jk\i\[J_Xi\_fc[\i&gifop]fik_\i\^`jk\i\[J_Xi\_fc[\if]k_\:fdgXep_\i\Ypi\Zfi[dpgi\j\eZ\Xkk_\
37th ANNUAL GENERAL MEETING of the Company on Thursday, August 1, 2019 at Sri Sathya Sai International Centre, Pragati
Vihar, Lodhi Road, New Delhi 110003 at 10:00 AM and at any adjournment(s) thereof.

____________________________________
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PROXY FORM
Eicher Motors Limited
CIN: L34102DL1982PLC129877
I\^`jk\i\[FøZ\1*rd Floor-Select Citywalk, A-3 District Centre, Saket, New Delhi–110017
Phone: 0124-4415600
Website: www.eichermotors.com, Email: investors@eichermotors.com

Form No. MGT-11

[Pursuant to section 105(6) of the Companies Act, 2013 and rule 19(3) of the Companies
(Management and Administration) Rules, 2014

Name of the Member(s) :

Regd. Address :
Email :
Folio No./DP ID/Client ID :

I/We, being the holder of ….............................. shares of the above named company, hereby appoint

1. Name: ……………………............................................................................. Address:………………............................................................................................

E-mail Id: ………………............................................................................. Signature:…………….............................................................., or failing him

2. Name: ……………...................................................................................... Address:………………............................................................................................

E-mail Id: …….......................................................................................... Signature:…………….............................................................., or failing him

3. Name: ……………...................................................................................... Address:………………............................................................................................

E-mail Id: ………………............................................................................. Signature:……………...........................................................................................

Xjdp&fligifopkfXkk\e[Xe[mfk\feXgfcc ]fid\&ljXe[fedp&fliY\_Xc]Xkk_\*.th Annual General Meeting of the
Company, to be held on Thursday, August 1, 2019 at Sri Sathya Sai International Centre, Pragati Vihar, Lodhi Road, New Delhi
110003 at 10:00 AM and at any adjournment thereof in respect of such resolutions as are stated below:
Ordinary Business:
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)% Kf[\ZcXi\X[`m`[\e[f]Ij%(),&$g\i\hl`kpj_Xi\]fik_\ÔeXeZ`Xcp\Xi\e[\[DXiZ_*(#)'(0%
*% KfXggf`ekDi%J`[[_Xik_XCXc#n_fi\k`i\jYpifkXk`feXe[Y\`e^\c`^`Yc\#fù\ij_`dj\c]]fii\$Xggf`ekd\ekXjX;`i\Zkfi#
liable to retire by rotation.
Special Business:
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5. To appoint Mr. Vinod Kumar Dasari as Whole-time Director of the Company and determine his remuneration.
6. To appoint Mr. Inder Mohan Singh as an Independent Director of the Company.
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8. To consider and approve payment of remuneration by way of commission to Directors, other than Managing Director(s) and
Whole Time Director(s) of the Company.
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]fik_\ÔeXeZ`Xcp\Xi)'(/$(0#n_`Z_dXp\oZ\\[Ô]kpg\iZ\ekf]k_\kfkXci\dle\iXk`fegXpXYc\kfXcck_\Efe$<o\Zlk`m\
Directors of the Company.
10. To approve and adopt Eicher Motors Limited’s Restricted Stock Unit Plan 2019.
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company(ies).

Signed this……................................... day of……...........................… 2019

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8øo
Revenue
Stamp of
Re. 1/-

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ROUTE MAP OF THE VENUE FOR ANNUAL GENERAL MEETING

Venue for 37th Annual General Meeting

Sri Sathya Sai International Centre
Pragati Vihar, Lodhi Road, New Delhi - 110 003
(Landmark: Dayal Singh College / JLN Stadium Metro Station)
NOTES
Eicher Motors Limited
I\^`jk\i\[FøZ\
3rd Floor-Select Citywalk, A-3 District Centre, Saket, New Delhi - 100 017
Tel: (011) 2956 3722

www.eichermotors.com