Transformative. Innovative.

Purpose-led Marico Limited Corporate Statutory Financial

Overview Reports Statements

Consolidated Balance Sheet Consolidated Statement of Profit and Loss

as at 31 March 2023
st (H in Crore) for the year ended 31st March 2023
(H in Crore)
As at As at
Particulars Notes Year ended Year ended
31st March, 2023 31st March, 2022 Particulars Notes
31st March, 2023 31st March, 2022
ASSETS
Revenue:
Non-current assets
Revenue from operations 19 9,764 9,512
Property, plant and equipment 3(a) 633 600
Capital work-in-progress 3(c) 67 39 Other income 20 144 98
Right of use assets 3(b) 175 178 Total Income 9,908 9,610
Investment properties 4 16 22 Expenses
Goodwill 5 862 654
Other intangible assets 5 560 306 Cost of materials consumed 21(a) 4,649 5,061
Financial assets Purchases of stock-in-trade 541 491
(i) Investments 6(a) 518 187 Changes in inventories of finished goods, stock-in-trade and work-in progress 21(b) 161 (116)
(ii) Loans 6(c) 4 4
Employee benefit expense 22 653 586
(iii) Other financial assets 6(f) 32 17
Deferred tax assets (net) 7 146 187 Finance costs 25 56 39
Non current tax assets (net) 17 67 57 Depreciation and amortization expense 23 155 139
Other non-current assets 8 46 30 Other expenses 24 1,950 1,809
Total non-current assets 3,126 2,281
Total expenses 8,165 8,009
Current assets
Inventories 9 1,225 1,412 Profit before tax 1,743 1,601
Financial assets Income tax expense
(i) Investments 6(a) 578 641 Current tax 26 377 343
(ii) Trade receivables 6(b) 1,015 652
(iii) Cash and cash equivalents 6(d) 207 276 Deferred tax charge/(credit) 26 44 3
(iv) Bank balances other than (iii) above 6(e) 549 303 Tax expense for the current year 421 346
(v) Loans 6(c) 4 5 Profit for the year (A) 1,322 1,255
(vi) Other financial assets 6(g) 4 2
Current Tax Asset (net) 17 2 1 Other comprehensive income
Other current assets 10 229 213 Items that will not be reclassified to profit or loss in subsequent periods
Assets classified as held for sale 11 7 0 Remeasurements gain on post employment benefit obligations 15 2 5
Total current assets 3,820 3,505 Income tax relating to items that will not be reclassified to profit or loss in subsequent
Total assets 6,946 5,786
periods
EQUITY AND LIABILITIES
Equity Remeasurements gain on post employment benefit obligations (0) (1)
Equity share capital 12(a) 129 129 Total 2 4
Share application money pending allotment 0 - Items that will be reclassified to profit or loss in subsequent periods
Other equity
Exchange differences on translation of foreign operations 12 (c) (34) 30
Reserves and surplus 12(b) 3,674 3,189
Other reserves 12(c) (4) 30 Change in fair value of hedging instruments 12 (c) (0) 1
Equity attributable to owners 3,799 3,348 Income tax relating to items that will be reclassified to profit or loss in subsequent periods
Non-controlling interests 12(c) 157 57 Change in fair value of hedging instruments 12 (c) 0 (0)
Total equity 3,956 3,405
Liabilities Total (34) 31
Non-current liabilities Other comprehensive income for the year (B) (32) 35
Financial liabilities Total comprehensive income for the year (A+B) 1,290 1,290
(i) Borrowings 13(a) 2 -
(ii) Lease Liabilities 91 91 Net Profit attributable to:
(iii) Other financial liabilities 13(b) 266 - Owners 1,302 1,225
Provisions 4 1 Non-controlling interests 20 30
Employee benefit obligations (net) 15 20 27 1,322 1,255
Deferred tax liabilities (net) 16 178 109
Total non-current liabilities 561 228 Other comprehensive income attributable to:
Current liabilities Owners (32) 35
Financial liabilities Non-controlling interests 0 0
(i) Borrowings 13(a) 473 345
(ii) Trade payables 13(c) (32) 35
Total outstanding dues of micro enterprises and small enterprises 68 76 Total comprehensive income attributable to:
Total outstanding dues of creditors other than micro enterprises and small enterprises 1,384 1,268 Owners 1,270 1,260
(iii) Lease Liabilities 42 43
Non-controlling interests 20 30
(iv) Other financial liabilities 13(b) 40 45
Other current liabilities 18 217 224 1,290 1,290
Provisions 14 44 21 Earnings per equity share for profit attributable to owners: 36
Employee benefit obligations (net) 15 74 64 Basic earnings per share 10.08 9.50
Current tax liabilities (net) 17 87 67
Total current liabilities 2,429 2,153 Diluted earnings per share 10.05 9.49
Total liabilities 2,990 2,381 Significant accounting policies 1
Total equity and liabilities 6,946 5,786
Critical estimates and judgements 2
Significant accounting policies 1
Critical estimates and judgements 2
The above consolidated Balance Sheet should be read in conjunction with the accompanying notes. The above consolidated Balance Sheet should be read in conjunction with the accompanying notes.
As per our report of even date As per our report of even date
For B S R & Co. LLP For and on behalf of the Board of Directors For B S R & Co. LLP For and on behalf of the Board of Directors
Chartered Accountants Chartered Accountants
Firm Registration No. 101248W/W-100022 Firm Registration No. 101248W/W-100022
SADASHIV SHETTY HARSH MARIWALA SAUGATA GUPTA SADASHIV SHETTY HARSH MARIWALA SAUGATA GUPTA
Partner Chairman Managing Director and CEO Partner Chairman Managing Director and CEO
Membership No. 048648 [DIN 00210342] [DIN 05251806] Membership No. 048648 [DIN 00210342] [DIN 05251806]

PAWAN AGRAWAL VINAY M A PAWAN AGRAWAL VINAY M A

Chief Financial Officer Company Secretary Chief Financial Officer Company Secretary
[Membership No. FCS 11362] [Membership No. FCS 11362]
Place : Mumbai Place : Mumbai Place : Mumbai Place : Mumbai
Date : May 05, 2023 Date : May 05, 2023 Date : May 05, 2023 Date : May 05, 2023

254 Integrated Annual Report 2022-23 Integrated Annual Report 2022-23 255
 A. Equity Share Capital

256
(H in Crore)

Balance as at April 01, 2022 Changes in equity share Restated balance as at Changes in equity share Balance as at
capital during the year due April 01, 2021 capital during the year* March 31, 2023
to prior period errors.
129 - 129 0 129

Balance as at April 01, 2021 Changes in equity share Restated balance as at Changes in equity share Balance as at
capital during the year due April 01, 2020 capital during the year* March 31, 2022
to prior period errors.
Transformative. Innovative. Purpose-led

129 - 129 0 129

* Refer note 12(a)
For the year ended 31st March, 2023

(H in Crore)
B. Other Equity
Attributable to owners

Integrated Annual Report 2022-23

Reserves and surplus Other reserves
Share based Effective Foreign
Particular Note Securities Retained General option Treasury Capital Weoma portion of currency Total Non-
Total
premium earnings reserve outstanding shares reduction reserve cash flow translation other controlling
equity
(note a) (note b) (note c) account (note e) (note h) (note e) hedge reserve Equity interests
(note d) (note f) (note g)
Balance as at April 01, 2021 431 3,038 299 29 (40) (724) 78 (0) 0 3,111 18 3,129
Profit for the year - 1,225 - - - - - - - 1,225 30 1,255
Other comprehensive income for the year - 4 - - - - - 1 30 35 0 35
Total comprehensive income for the year - - 1,229 - - - - - 1 30 1,260 30 1,290
Acqusitions through business combinations 12(c) - - - - - - - - - 35 35
(Purchase)/sale of treasury shares by the trust during the year (net) 12(b) - - - - (18) - - - - (18) - (18)
Income of the trust for the year 12(b) - - - - - - 10 - - 10 - 10
Exercise of employee stock options 12(b) 53 - - (12) - - - - - 41 - 41
Share based payment expense 12(b) - - - 10 - - - - - 10 - 10
Other adjustments 12(c) - - - - - - - - - - (4) (4)
Transactions with owners in their capacity as owners:
Dividends paid on equity shares 12(b) - (1,195) - - - - - - - (1,195) (22) (1,217)
Balance as at March 31, 2022 484 3,072 299 27 (58) (724) 88 0 30 3,219 57 3,276

Balance as at April 01, 2022 484 3,072 299 27 (58) (724) 88 0 30 3,219 57 3,276
Profit for the year - 1,302 - - - - - - - 1,302 20 1,322
Other comprehensive income for the year - 2 - - - - - (0) (34) (32) 0 (32)
Total comprehensive income for the year - - 1,304 - - - - - (0) (34) 1,270 20 1,290
Acqusitions through business combinations (refer note no. 42) 12(c) - - - - - - - - - - 104 104
Remeasurement changes arising on liability towrds obligation to 13(b) - (266) - - - - - - - (266) (266)
acquire non-controlling interest
(Purchase)/sale of treasury shares by the trust during the year (net) 12(b) - - - - (2) - - - - (2) - (2)
Income of the trust for the year 12(b) - - - - - - 6 - - 6 - 6
Exercise of employee stock options 12(b) 12 - - (3) - - - - - 9 - 9
Share based payment expense 12(c) - - - 19 - - - - - 19 - 19
Other adjustments - (2) - - - - - - - (2) 0 (2)
Transactions with owners in their capacity as owners:
Dividends paid on equity shares 12(b) - (582) - - - - - - - (582) (25) (607)
Consolidated Statement of Changes in Equity

Balance as at 31st March, 2023 496 3,526 299 43 (60) (724) 94 0 (4) 3,670 157 3,827
Marico Limited

Nature and purpose of reserves

a) Securities premium accounts

Securities premium account is used to record the premium on issue of shares. The reserve is utilised in accordance with the provisions of the Companies Act, 2013

b) Retained earnings

Retained earnings are the net profits and remeasurement of post-employment benefit obligations (net of tax) attributable to owners earned till date, less any transfers to general reserve, dividends or other distributions paid to
shareholders.

c) General Reserve

The general reserve is used from time to time to record transfer of profit from retained earnings for appropriation purposes. As general reserve is created by transfer from one component of equity to another and it is not an
item of other comprehensive income, item included in the general reserve will not be reclassified subsequently to profit or loss.

d) Share based option outstanding account

For the year ended 31st March, 2023

The Company has established various equity settled share based payment plans for certain category of employees of the group. Refer note 35 for further details of these plans.

e) WEOMA reserve and Treasury shares

The company has formed Welfare of Mariconions Trust (WEOMA trust) for implementation of the schemes that are notified or may be notified from time to time by the Company under the plan, providing share based payment
to its employees. WEOMA purchases shares of the Company out of funds borrowed from the Company. The Company treats WEOMA as its extension and shares held by WEOMA are treated as treasury shares. Profit on sale
of treasury shares (net of tax) and dividend earned on the same by WEOMA trust is recognised in WEOMA reserve.

f) Hedge Reserve

The Company uses forward and options contracts to hedge its risks associated with foreign currency transactions relating to certain firm commitments and forecasted transactions. The Company also uses Interest rates swap
contracts to hedge its interest rate risk exposure. The Company designates these as cash flow hedges. These contracts are marked to market as at the year end and resultant exchange differences, to the extent they represent
effective portion of the hedge, are recognized directly in hedge reserve. The ineffective portion of the same is recognized immediately in the Statement of Profit and Loss. Exchange differences taken to hedge reserve account
are recognized in the Statement of Profit and Loss upon crystallization of firm commitments or occurrence of forecasted transactions or upon discontinuation of hedge accounting resulting from expiry / sale / termination of
hedge instrument or upon hedge becoming ineffective.

g) Foreign currency translation reserve

Exchange differences arising on translation of the foreign operations are recognised in other comprehensive income as described in accounting policy and accumulated in a separate reserve within equity. The cumulative amount
is reclassified to profit or loss when the net investment is disposed-off.

h) Adjustment pursuant to the Scheme of Capital Reduction of MCCL

During the year ended March 31, 2014, Hon’ble High Court of Bombay had approved the Scheme of Capital Reduction vide its order dated June 21, 2013 in accordance with the provisions of Section 78 (read with Sections
100 to 103) of the Companies Act, 1956, pertaining in the Group’s wholly owned subsidiary, Marico Consumer Care Limited (MCCL). Pursuant to the Capital Reduction Scheme, intangible assets aggregating H 724 Crore,
were adjusted against the Share capital to the extent of H 54 Crore and securities premium to the extent of H 670 Crore. Consequently, in the consolidated financial statements of Marico Limited, intangible assets to the extent
of H 724 Crore were adjusted under Reserves and Surplus.
Overview
Corporate

The above consolidated statement of changes in equity should be read in conjunction with the accompanying notes.

The above consolidated Balance Sheet should be read in conjunction with the accompanying notes.
As per our report of even date
Reports
Statutory

For B S R & Co. LLP For and on behalf of the Board of Directors
Chartered Accountants
Firm Registration No. 101248W/W-100022
Integrated Annual Report 2022-23

SADASHIV SHETTY HARSH MARIWALA SAUGATA GUPTA

Partner Chairman Managing Director and CEO
Membership No. 048648 [DIN 00210342] [DIN 05251806]

PAWAN AGRAWAL VINAY M A

Chief Financial Officer Company Secretary
Financial
Statements

[Membership No. FCS 11362]

Place : Mumbai Place : Mumbai
Consolidated Statement of Changes in Equity

Date : May 05, 2023 Date : May 05, 2023

257
Transformative. Innovative. Purpose-led Marico Limited Corporate Statutory Financial
Overview Reports Statements

Consolidated statement of Cash Flows

For the year ended 31st March, 2023

(H in Crore) (H in Crore)
Year ended Year ended Year ended Year ended
Particulars 31st March, 2023 31st March, 2022 Particulars 31st March, 2023 31st March, 2022

A CASH FLOW FROM OPERATING ACTIVITIES C CASH FLOW FROM FINANCING ACTIVITIES
PROFIT BEFORE INCOME TAX 1,743 1,601 Proceeds from issuance of share capital 9 41
Purchase of investments by WEOMA trust (NET) 4 (8)
Adjustments for:
Other borrowings (repaid) / taken (NET) 128 (3)
Depreciation and amortization expense 155 139
Dividend paid to Non Controlling Interest (25) (22)
Finance costs 56 39 Interest paid Interest paid on borrowings (42) (28)
Interest income from financial assets (49) (59) Repayment of Prinicipal portion of lease liabilities (41) (64)
(Gain)/ Loss on disposal of property, plant and equipment and Right of Use Assets Interest paid on lease liabilities (11) (11)
(28) (0)
(NET) Dividends paid to company's shareholders (582) (1,195)
Net fair value changes in financial assets and profit on sale of investments (50) (29) NET CASH UTILISED IN FINANCING ACTIVITIES (C) (560) (1,290)
Employees stock option charge 19 10 D Effect of exchange difference on translation of foreign currency (D) (63) 2
Provision for doubtful debts 1 8 E NET INCREASE / (DECREASE) IN CASH & CASH EQUIVALENTS (A+B+C+D) (133) 153
1,847 1,709 F Cash and cash equivalents at the beginning of the financial year 276 109
Change in operating assets and liabilities: Cash and cash equivalents acquired on Business Combination (refer note 42) 64 14
G Cash and cash equivalents at end of the year (Refer note 6 (d)) 207 276
(Increase) / Decrease in inventories 191 (286)
(Increase) / Decrease in trade receivables (360) (272) The cash flow statement has been prepared under the indirect method as set out in Indian Accounting Standard (Ind AS 7) statement of cash flows.

(Increase) / Decrease in other financials assets 13 3

(Increase) / Decrease in other non-current assets (4) (0) Reconciliation of the movements of liabilities to cash flows arising from financing activities
(Increase) / Decrease in other current assets (13) 11 (H in Crore)
(Increase) / Decrease in loans 1 1
Year ended 31st March, 2023 Year ended 31st March, 2022
(Decrease) / Increase in provisions 26 1
Particulars Lease Lease
(Decrease) / Increase in employee benefit obligations 5 (7) Borrowings Total Borrowings Total
Liabilities Liabilities
(Decrease) / Increase in other current liabilities (9) (3) Balance at April 1, 134 345 479 160 348 508
(Decrease) / Increase in trade payables 99 210 Changes from financing cash flows
(Decrease) / Increase in other financial liabilities (8) 0 Repayment of lease liabilities - principal portion (41) - (41) (64) - (64)
Changes in Working Capital (59) (342) Payment of interest on lease liabilities (11) - (11) (11) - (11)
Cash generated from operations 1,788 1,367 Other borrowings (repaid) / taken (net) - 128 128 - (3) (3)
Payment of interest on borrowings from banks and
Income taxes paid (net of refunds) (369) (351) - (42) (42) - (28) (28)
financial institutions
NET CASH GENERATED FROM OPERATING ACTIVITIES (A) 1,419 1,016
Total changes from financing cash flows (52) 87 35 (75) (31) (106)
B CASH FLOW FROM INVESTING ACTIVITIES Other changes
Payment for property, plant and equipment and intangible assets (182) (132) New leases net off closures/disposals 38 - 38 38 - 38
Acquisition of Subsidiary under Business Combination (refer note 42) (341) (55) Interest expense on lease liabilities 11 - 11 11 - 11
Proceeds from sale of property, plant and equipment 25 3 Interest expense on borrowings from banks and
- 46 46 - 28 28
(Payment for) / Proceeds from purchase/sale of investments (NET) (130) (146) financial institutions
(Purchase)/ Redemption of Inter-corporate deposits (NET) (90) 215 Other borrowing costs - - - - - -
Acqusitions through business combinations (refer
(Investment) /Redemption of bank deposits (having original maturity more than 3 - (2) (2) - 0 0
(259) 483 note no. 42)
months) (NET)
Total changes 49 44 93 49 28 77
Interest received 48 57
Balance at March 31, 2023 131 476 607 134 345 479
NET CASH GENERATED FROM / (UTILISED IN) INVESTING ACTIVITIES (B) (929) 425
The above consolidated Balance Sheet should be read in conjunction with the accompanying notes.
As per our report of even date
For B S R & Co. LLP For and on behalf of the Board of Directors
Chartered Accountants
Firm Registration No. 101248W/W-100022
SADASHIV SHETTY HARSH MARIWALA SAUGATA GUPTA
Partner Chairman Managing Director and CEO
Membership No. 048648 [DIN 00210342] [DIN 05251806]

PAWAN AGRAWAL VINAY M A

Chief Financial Officer Company Secretary
[Membership No. FCS 11362]
Place : Mumbai Place : Mumbai
Date : May 05, 2023 Date : May 05, 2023

258 Integrated Annual Report 2022-23 Integrated Annual Report 2022-23 259