1 Corporate information

Bodhtree Consulting Limited is an IT and IT Enabling Services (ITES) provider. The company is headquartered in India and provides technology consulting services to various companies and SMEs across the globe. With a primary focus on Cloud CRM and Analytics, Bodhtree provides a range of services including solution design, development, implementation, integration, maintenance and support for customers in the healthcare & life sciences, hi-tech manufacturing, education and government verticals.

2 FIRST-TIME ADOPTION OF INDIAN ACCOUNTING STANDARD (IND AS)

These standalone financial statements of Bodhtree Consulting Limited for the year ended 31st March, 2018 have been prepared in accordance with Ind AS. For the purpose of transition to Ind AS, the Company has followed the guidance prescribed in Ind AS 101-First time adoption of Indian Accounting Standards, with April 1, 2016 as the transition date and IGAAP as the previous GAAP.

The transition to Ind AS has resulted in changes in the presentation ofthe standalone financial statements, disclosures in the notes thereto and accounting policies and principles. The accounting policies set out in Note 2 have been applied in preparing the standalone financial statements for the year ended 31st March, 2018 and the comparative information. An explanation of how the transition from previous GAAP to Ind AS has affected the standalone Balance Sheet and Statement of Profit and Loss, is set out in notes given below.

Rights, Preferences and Restrictions attached to Shares:

Equity Shares

The Company has only one class of equity shares having a par value of Rs. 10 per share. Each Shareholder is eligible for one vote per share. The dividend proposed if any by the Board of Directors is subject to the approval of shareholders, except in case of interim dividend. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company, after distribution of all preferential amounts, in proportion of their shareholding.

Note: 3

Earnings per Share:

The following is computation of earnings per share and a reconciliation of the equity shares used in the computation of basic and diluted earnings per equity share.

Note: 4

Balances of Trade Receivables, Trade Payables, Loans & Advances are subject to confirmation and reconciliations, if any.

Note: 5

Segment Reporting

Based on the internal reporting provided to the Chief Operating Decision Maker, the standalone financial results relates to “Software and related products” as the only reportable primary segment of the Company.

Note: 6

Employee Benefits

(i) Defined benefit plans

The Company provides for gratuity, a defined benefit plan to its employees. The gratuity plan provides a lump sum payment to eligible employees at retirement or termination of employment ba sed o n the respective e m ployees la st d rawn salary and years of employment with the Company as governed by the Payment of Gratuity Act, 1972 .

(ii) In respect of Defined contribution plan (Provident Fund), an amount of Rs.7,120,240 (31 March 2017: Rs.6,801,424) has been recognised in the Statement of Profit and Loss.

Note: 7

The Company has taken various premises under cancellable operating lease agreements. Company intends to renew such leases in the normal course of business. Total rental expenses under cancellable operating leases amounted to Rs.1,18,46,377 (previous year: Rs. 1,22,92,454). The same are grouped under Rent in other expenses in the Statement of Profit and Loss. The Company has no non-cancellable operating leases during the year ended 31 March 2018.

Note: 8

Transition to Ind AS

These financial statements, for the year ended March 31, 2018, are the Company’s first financial statements prepared in accordance with Ind AS. The accounting policies set out in Note 2 have been applied in preparing the financial statements for the year ended March 31, 2018, the comparative information presented in these financial statements for the year ended March 31, 2017 and in preparation ofan opening Ind AS balance sheet at April 1, 2016 (the Company’s date of transition).

In preparing its opening Ind AS balance sheet, the Company has adjusted the amounts reported previously in financial statements prepared in accordance with the accounting standards notified under the Companies (Accounting Standards) Rules, 2006 (as amended) and other relevant provision of The Companies Act. (Previous GAAP or Indian GAAP).

This note provides an explanation of the how transition from previous GAAP to Ind AS has affected the company’s financial position as on 1st April 2016 and 31st Mar 2017 and financial performance for the year ended 31st March 2017.

Note: 9

Related Party Disclosures

Holding Company : Bodhtree Solutions Inc (Upto 29/05/2016)

Subsidiary Company : Bodhtree Human Capital Pvt Limited

Fellow Subsidiaries : Bodhtree Solutions Pte Limited (Upto 29/05/2016)

Associate Company : Pressmart Media Limited

Learnsmart (India) Private Limited

Key Management Personnel : Mr. L.N.Ramakrishna, Managing Director

Enterprises controlled or significantly influenced by individual / relatives: : Kepler Information Systems Pvt Ltd

Sreeven Infocom Ltd Skyline Ventures India Ltd

Note: 10

Previous year figures have been regrouped / re arranged / re-classified wherever considered necessary to conform to the classification/disclosure of the current year.