cyient.com

24th Annual Report 2014-15

Formerly Infotech Enterprises cyient.com enabling futuresuccess. Sustaining rapid growth. 24 th AnnualReport |2014-15 Annual Report 2014-15 cyient.com and governance practices adoptedbythe company. Governance for 2014was presented to Cyient inrecognition ofthehighestlevels oftransparency The Institute ofCompany Secretaries of (ICSI) NationalAward for Excellence inCorporate in Corporate Governance winsICSICyient National Award for Excellence www.kalajyothi.com 1 Annual Report 2014-15 cyient.com OUR OBJECTIVES future growth. develop innovative solutions to solve complex problems we willbecome more profitable andwell-positioned for ‘Designing Tomorrow Together’. By reinforcing ourlongstandingcommitment to working closely withthemto Such astrategy ismadepossiblebyournew positioninginthemarket asacompany whohelpsourclients in process positionanddifferentiate Cyient asanend-to-end “concept to solution” partner. We believe thatS3willresonate anddeliver value atmany levels across ourstakeholder community and inthe Systems, andSolutions to various clientsacross industries. aspiration for thenext five years around ourS3Strategy ofoffering arobust andevolving mix ofServices, To buildonourstrong heritageofDesignEngineering,Networks, Operations and Data,we are basingourgrowth 2 Annual Report 2014-15 cyient.com Contents etn 52 60 Directors’ Report 43 Meeting 37 Notice ofAnnualGeneral 28 47 Corporate Social Responsibility Quality andInnovation 40 Human Resource Management Strategy Update Operations Overview ofOperating Units: 6 8 Message 14 Lead IndependentDirector’s Message 11 4 Managing Director &CEO’s Chairman’s Overview 3 Senior Leaders Board ofDirectors & Business Highlights Corporate Information PoutRaiain 23 -Data, Networks and -Product Realization - 16 rx om 221 219 217 214 Proxy Form Attendance Slip ECS Mandate Slip 213 Global Presence 212 204 209 Route Map to AGMVenue Share Price Movements 200 199 Shareholder Handbook Signi Ratio Analysis Financial Analysis 129 Historical Data 69 Statements 147 Consolidated Financial 87 Financial Statements Standalone Abridged Governance 106 Report onCorporate & Analysis Report Management Discussion Report Business Responsibility fi cn ietns 206 cant Milestones 3 Annual Report 2014-15 cyient.com Oval O Ernst &YoungLLP Internal Auditors Tel: +914040312600 Secunderabad –500003 ‘Gowra Grand’,SardarPatelRoad 1-8-384 and385,3rdFloor Deloitte Haskins&Sells Auditors Tel: +914067161562 –500032 Financial District,Gachibowil, Karvy Selenium,TowerB,PlotNo31&32 Karvy ComputersharePrivateLimited Registrar &ShareTransferAgents Tel: +914023540822 Hyderabad –500033 Banjara Hills HUDA Layout,RoadNo.2 ‘Cyber Heights’,PlotNo.13 Flat No.603,6thFloor G.P. Associates Tax Advisors Tel: +914067362000 Madhapur, Hyderabad–500081 Corporate Information ffi ce, 18,iLabsCenter, Tel: +914067641322 Madhapur, Hyderabad–500081 Software UnitsLayout,Infocity 4th Floor,‘A’Wing,PlotNo.11 Sudheendhra Putty Compliance O Company Secretary& Tel: +914027704935 Secunderabad –500003 Sarojini DeviRoad 9-1-129/1, ‘OxfordPlaza’ Oriental BankofCommerce Tel: +914040005720 Secunderabad –500003 Sardar PatelRoad ‘Queens Plaza’,1stFloor Citibank N.A. Tel: +914066162077 Hyderabad –500082 Somajiguda 6-3-1107 &1108,RajBhavanRoad Corporation Limited The HongkongandShanghaiBanking Bankers ffi cer 4 Annual Report 2014-15 cyient.com Business Highlights Softential, aCyient company, was named • Rangsons Electronics, aCyient company, • Mr. B.V.R. Mohan Reddy,• Founder and Cyient isnow partofthe‘Achilles • Awarded the‘NationalAward for • Received the‘Silver BoeingPerformance • Recognized with‘Excellence in • Successfully transitioned from Infotech • Robust growth across allindustry • Conference inLasVegas at theIBMPartner World Leadership for ITService Management Innovation the winnerof2015IBMBeacon Award IESA Technovation Awards, 2014 ServicesCompany’ at was recognized asthe‘BestElectronics 2015-16 Companies (NASSCOM) for theyear Association ofSoftware andServices elected astheChairmanofNational Executive ChairmanofCyient, was supplier database’ asaquali Secretaries ofIndia(ICSI) 2014’ bytheInstitute ofCompany Excellence inCorporate Governance, consecutive year since2010 Excellence Award’ for the Aerospace andDefense Awards, 2015 Aerospace Exports’attheSAP Media Together’ brand promise -‘DesigningTomorrow Cyient to e Enterprises to ournew brand identity segments andgeographies ff ectively articulateour fi ed rail signaling fi fth Experience >2 year 2014 -2015 68% 12,929 Associates 41 DNO Engineering New Hires 3,877 Attrition Level 26 19.7% Clients Added Duringthe 67 Year 2014 -2015 Experience <1 year 32% 5 Annual Report 2014-15 cyient.com ` 2013 -2014 2014 -2015 2012 -2013 ` 02-21 2014-2015 2012 -2013 18,731 3,258 02-21 03-21 2014-2015 2013-2014 2012 -2013 Revenue andOperating Pro 3,805 14.7 2014-2015 Operating Margin Cash Pro eeu Operating Pro Revenue EBITDA (Million) ` ` 2013 -2014 22,064 4,101 4,272 fi t (Million) 2,946 % 3,380 fi t (Million) ` ` fi 5,226 t 4,245 27,359 4,013 02-21 03-21 2014-2015 2013-2014 2012 -2013 2012 -2013 2013 -2014 2014 -2015 18,330 02-21 03-21 2014-2015 2013-2014 2012 -2013 13,222 Net Worth (Million) Exports (Million) Pro PAT Growth fi t AfterTax (Million) 21,552 15,883 2,311

2,660 25,913 18,441

3,533 43.2% 15.1% 32.8% 2014 -2015 2012 -2013 2013 -2014 6 Annual Report 2014-15 cyient.com Board ofdirectors Non-Executive Director B.V.R. MOHANREDDY Independent Director Independent Director K. RAMACHANDRAN Executive Chairman ANDREA BIERCE THOMAS PRETE 2009 |A,L,R&I 2014 |C&L 2013 |A&L 1991 |R&I Managing Director &CEO SHANKAR NARAYANAN Non-Executive Director KRISHNA BODANAPU Independent Director Independent Director JOHN PATERSON HARSH MANGLIK 2012 |C&S 2014 |C&S 2014 |R&I 2013 when they have beenontheboard. Note: Year indicatesthetimesince Strategy : Committee S CSR Committee : R Leadership, NominationAnd : L Stakeholder : Engagement I Customer : Engagement C Audit And RiskManagement : A Legend: Non-Executive Remuneration Committee Committee Committee Committee Independent Director Independent Director M.M. MURUGAPPAN ALAIN DETAEYEALAIN 2010 |C&S SOM MITTAL 2014 |S&A 1997 |A&L

Director 7 Annual Report 2014-15 cyient.com Senior Leaders RAJENDRA VELAGAPUDI SUNIL KUMARMAKKENA Network andOperations A Data Transformation, President, Corporate ff airs &Infrastructure Sr. VicePresident, Sr. VicePresident, B. ASHOK REDDY TOM EDWARDS President, NAM Engineering Sr. VicePresident, Strategy & ANAND PARAMESWARAN Corporate Development Global BusinessSupport Chief Financial O Human Resources & Business Excellence AJAY AGGARWAL Sr. VicePresident, Sr. VicePresident, BRIAN WYATT NJ JOSEPH ffi cer North AmericaSales SANJAY KRISHNAA Sr. VicePresident, Sr. VicePresident, JOHN RENARD KATIE COOK President, EMEA APAC 8 Annual Report 2014-15 cyient.com Envisioning theFuture I’d like to take this opportunity to re Dear Shareholders, our leadership teamandre-de strategic initiatives, strengthened theboard and organized ourbusinessto better alignto our number ofareas: we rebranded ourselves, re- It was asuccessfulyear for thecompany ina year andshare my visionfor thefuture. key initiatives andachievements over thepast and stakeholder. brand resonates withevery function,geography international brand team to ensure thatthenew Tomorrow Together”. We have alsoformed an articulated ournew brand promise of “Designing achievements. Through therebrand initiative we year 14-15,Itake immenseprideinour Looking backonthesuccessesof three key acquisitions. and long-termstrategy roadmap andconcluded fi ned ourshort fl ect onour fi nancial Executive Chairman B.V.R. MOHANREDDY further strengthen our diverse board, strengthen appointed two new independentdirectors to We reconstituted ourboard during2014.We and accelerate decision-making. our operating council withaview to strengthen and future aspirations. We alsohave regrouped excellent understanding oftheCyient business USA andEurope, inadditionto Indiaandhasan has worked inmultiplegeographies includingthe roles andresponsibilities withinthecompany. He has astrong track record inhandling challenging has beenassociatedwithCyient since2001and as CEO andManaging Director of Cyient. Krishna unanimous inappointingMr. KrishnaBodanapu During theyear, theboard ofdirectors were empowered organization. decentralize decision-makingandcreate amore reporting structure. The key driver for thiswas to reporting structure to afunction-based our businessfrom avertical businessunit During the fi nancial year, we alsoreorganized 9 Annual Report 2014-15 cyient.com design andmanufacturing, andprecision Rangsons Electronics for electronics system Insights for datascience andanalytics, and management andassurance solutions, Invati acquisitions inthelastyear: Softential for service are partoftheplan.We concluded three being executed, andourrecent acquisitions A numberofactionsfrom our strategic planare network operations. operational supportsystems andmanage We canalsoplananddesignnetworks, build realization andprovide aftermarket support. the ability to designsystems, enable product across ourfocus industries. At Cyient, we have are examples ofexecuting ourS3strategy Design-Build-Maintain and Plan-Build-Operate ful global execution skills, ourvalue proposition is our domainknowledge, core competencies and networks, operations anddata.By leveraging our strong heritage around designengineering, Services, Systems, Solutions—which buildson is de Our growth aspiration over thenext of Company Secretaries ofIndia(ICSI). Corporate Governance’ for 2014bytheInstitute we won the‘NationalAward for Excellence in investors. Asare leaders, industryveterans, thoughtleaders and composition includesajudiciousmixofbusiness The board hassixindependentdirectors. This foreign directors, andseven are Indiandirectors. the board has11members, ofwhomfour are Industrial Power Systems at Rolls-Royce Plc. Now the recently retired President ofMarine and Gupton Marrs InternationalandJohnPaterson, directors are Andrea Bierce, Managing Director of spirit andambitionsofthecompany. The new corporate governance andre fi lling clientneedsacross theS3continuum. fi ned andarticulatedbyourS3Strategy— fl ection ofthisnew alignment, fl ect theglobal fi ve years potential to change thefuture andwillcreate Industry 4.0,etc.These technologieshave high Things, Machine to Machine , in ourindustry:3Dprinting,BigData,Internetof a numberofdisruptive technologiesidenti business. Duringlastfew years, there have been to identifyany opportunities orchallenges for our growth, we are alsowatching theindustrytrends While we are very passionately pursuing our provider landscape. of thefactors reshaping thenetwork service growing shiftstowards smartgridsare some networks, theriseofdigitalconsumer, and The convergence ofvoice, videoanddata industry andwillcreate numerous opportunities. trends thatare reshaping this (DNO) businesshasbeenwitnessingnew Similarly, ourData,Networks &Operations localization, andenhancement. engineering for new product development, overcome challenges byadoptingrobust product OEMs to capitalize onopportunities and technology adoptioncycle. This trend isforcing competition, market expansion, andashorter global nature ofbusinessisresulting inrising For theengineeringbusiness, theincreasingly business challengesofitsclients. transformative andinnovative solutions to the is well-positioned to provide leading-edge realization anddataanalytics, your company data. Withnewly addedcapabilitiesinproduct leader indesignengineering,networks, and future. Cyient hasbeenanacknowledged global Let menow share somethoughtsonthe newly addedcapabilities. integrating theseacquisitionsto leverage the machining. We are already intheprocess of fi ed 10 Annual Report 2014-15 cyient.com Policy, DigitalIndiaandSmart Cities. We including: Make inIndia,Defence Procurement identi launched bythegovernment, andwe have There are multipleinitiatives thathave been Delhi hasbetter engagementwithindustry. government. The new central government in that happenedinIndiancentral andstate During theyear, there were several changes Pratt &Whitney. includes aPW4090aircraft engineprovided by installed atthisexperience centerthatalso devices across multipleindustrieshave been A numberofindustrialproducts andelectronics Design (CAD) to thephysical outcome. seamless transition from Computer Aided plastic andmetalcomponents ensures a and table-top machinescapableofproducing Numerical Control (CNC) machines, 3Dprinters Prototyping ofpartswithadvanced Computer experiment andimprove designsbyprototyping. ‘Innovation @Cyient’ whichhelpsusexplore we design.The ExperienceCentre focuses on and learnaboutproducts andcomponents that clients andprospects theability to see,touch Hyderbad, Indiawhichgives ourengineers, a state-of-the-art ‘ExperienceCentre’ in coming years. Aspartofthis, we inaugurated areas thatwilldrive innovation andgrowth inthe andhave startedinvesting innew We have beenclosely watching these play abiggerrole intransforming theindustry. enormous opportunities for technology fi ed several opportunities for Cyient fi rms to Founder &Executive Chairman B.V.R. MohanReddy Warm Regards, for many more years to come. support inFY15,andIlookforward to thesame I would like to thankyou for your trustand covered innext few sections ofthisreport. achievements duringthe There are many more activities and centres. through theNational DigitalLiteracy Mission and thedigitalempowerment ofneighborhoods employable at19tiertwo engineeringcolleges by making3000+fresh engineers more related to a Eye Institute where we are supportinginnovation innovation alignedto businessneedsatLV Prasad initiative at13government schools;social to educationthrough our“Support aSchool” many years. Ourkey focus areas are—support actively working onvarious socialchallengesfor our CSR activity. At Cyient, we have been We continue to give backto thesociety through in thecoming years. All these,Ibelieve, willhelpaccelerate ourgrowth these initiatives andourpreparedness for both. leverage thelatesttechnology inimplementing technologies, government’s willingnessto have emerging opportunities created bynew are atavery interesting juncture, where we ff ordable eye care; skilldevelopment fi nancial year whichare 11 Annual Report 2014-15 cyient.com the It gives meimmensepleasure to writeto you for Dear Shareholders, Creating SharedValue I would market needs. as buildinguponnew onesto address changing continue fostering thesecommitments aswell we enterinto the25thyear ofoperations, Iwill clients, associates, shareholders andsociety. As our focus oncreating value for all stakeholders— and Transparency de values ofFairness, Integrity, Respect, Sincerity two importantrespects—commitment to our philosophy andconduct have never wavered in changed quitesigni organization anditsenvironment have both Over nearly two andhalfdecades, our your company. 31, 2015(FY15),theconsolidated revenue was for thepastyear. For the fi rst timeastheChiefExecutive O fi rst like to comment onthe fi cantly. Butourguiding fi ned asValues FIRST; and fi scal year endedMarch fi nancials ffi cer of Managing Director &CEO KRISHNA BODANAPU Earnings perShare (EPS) alsogrew 32%to year onyear to down 2.1%year on year, netpro margins. While operating pro reduced utilization allcontributed to lower fl 14.7% compared to 18.6%lastyear. Currency growth, ouroperating margin hascome down to While we delivered industry-leading revenue results. in salesandmarketing are yieldinganticipated alignment ofsalesbygeography andinvestments followed byEMEAandAPAC. We believe thatthe geographies. NorthAmericaledgrowth at31% see growth across allindustrysegmentsand by 24.3%year onyear. Itisvery satisfyingto our revenues inconstant currency increased cross-currency movements duringtheyear, over thelast was $446.9Mn,whichisanincrease of23% the previous year. InUSdollars, ourrevenue ` uctuations, increased onsitedemand,and 27,360Mn,whichisanincrease of24%from fi nancial year. Despitesigni ` 3,533Mn.Consequently, our fi t at fi t grew 32.8% ` 4,013 Mn was 4,013Mnwas fi cant ` 31.5. 12 Annual Report 2014-15 cyient.com client’s value chain—from product ideationand space, S3helpsaddress andcapture more ofthe instance, intheengineering andmanufacturing to becoming a“concept-to-solution” partner. For supports ourtransition from pure servicesplay S3 strategy ofServices, Systems andSolutions create aplatform for accelerated growth. The articulate adi development exercise thathashelpedus comprehensive, organization-wide strategy Last year Cyient alsocompleted a coming years. is akey focus area for theorganization inthe forward. Buildingaproactive leadership pipeline right guidanceandtraining to helptake Cyient potential individuals andproviding themwiththe and we are therefore focused onidentifyinghigh- leaders to emerge from withintheorganization, deliver onourgoals, we willneedanumberofnew programs across functionsandgeographies. To functional training andleadership development make signi term growth plans, we have continued to To supportstrategy execution andlong- compared to 25%lastyear. of netpro (160% offace value). This represents 30%payout company paidatotal dividend of at theupcoming annualgeneral meeting,the ` returns, Cyient declared aninterimdividend of With acommitment to increase shareholder available cashstandsat the three acquisitionscompleted lastyear, accounting for long-terminvestments including increased by35.8%to to improve itscashposition.Free cash capital expenditure allowed your company A strong focus oncollections andoptimizing 3pershare. Uponapproval of fi t to shareholders ofthecompany fi cant investments intechnicaland ff erentiated value proposition and ` 2,968Mn.After ` 6,565Mn. fi nal dividend ` 8pershare fl ow ow Media Aerospace andDefense Awards atAero “Excellence inAerospace Exports”attheSAP their 2014GSPR ratings. Your company won machinery andenergy segmentsbyZinnov in for aerospace, , construction, heavy We continued to berated intheleadership zone various awards andrecognitions duringtheyear. to deliver stakeholder value were re Cyient’s industry leadership, brand andability the years to come. execute ourS3strategy anddrive ourgrowth in the Cyient brand positionsuseven better to associates hasbeenvery positive, andIbelieve fi level andwillcontinue to dosointhecurrent building visibility andbrand awareness ataglobal brand. Your company invested signi stakeholders understand andidentifywiththe period, we worked diligently to helpallour of DesigningTomorrow Together. Duringthis our new name,Cyient, andthebrand promise One year haspassedsincewe o Internet ofThings. space ofDataAnalytics and theIndustrial capabilities to o and operations expertise withdatascience Cyient Insightscombines engineering,networks partner around complex, high-value electronics; value proposition asa“designto manufacturing” industry; Rangsons Electronics expands our Operate” partnerfor thecommunications repositions Cyient asa“Network Designto service management/assurance expertise examples oftheS3strategy inaction:Softential’s Our three acquisitionslastyear are positive the next 3to 5years. will result intransformational growth for usover to aftermarket services. Ibelieve theS3strategy design engineering,through product realization nancial year. The feedback from ourmarket and ff er new solutionsintheevolving ffi cially adopted fi fl cantly in ected in 13 Annual Report 2014-15 cyient.com prospects over thecoming quarters. give megreat con synergies we are leveraging from ouracquisitions improve pro revenue andcontrolling discretionary spendto operational e Your company isputting great emphasison Investor satisfaction index increased to 5.32 • The associateengagementindex was lower • The clientsatisfaction index hasremained • Last year’s auditresults show that: levels withourclients, associates, andinvestors. audits to measure engagementandsatisfaction stakeholder value andconduct annualthird-party At Cyient, we focus oncontinuously improving delivery performance, etc. like technology innovation, process innovation, numerous awards from clientsondiverse aspects by Greentech Foundation. Additionally, we have ‘Innovation inEmployee Retention Strategies’ (ICSI). We alsoreceived theGoldenAward for by theInstitute ofCompany Secretaries ofIndia for Excellence inCorporate Governance’ for 2014 India 2015.We were awarded the‘NationalAward con across allparameters, re on aseven-point scale,withimproved scores organization. programs to develop into abest-in-class and executing anumberofassociatefocused of peergroup, your company isdesigning at 55%.Whilestillwithintheaverage range re outcome-based engagementmodelsthatare and cost arbitrage towards solutionsand continuously pushingusto thinkbeyond scale peers. Increasing clientexpectations are constant at47%,andisin-linewithindustry performance, andmanagementteam. fl ected intheS3strategy. fi dence inyour company’s strategy, fi tability. Ourrobust pipelineandthe ffi ciencies, enhancingthequality of fi dence about ourgrowth fl ecting greater has setanaspiration ofsigni Looking beyond FY16,themanagementteam Managing Director &CEO Krishna Bodanapu brand promise ofDesigningTomorrow Together. realize ourlong-term ambitionanddeliver onour the future andgrateful to have you onboard aswe accelerated growth journey. We are excited about continued supportandtrust aswe embarkonan My managementteam andIlookforward to your Companies (NASSCOM). the NationalAssociationofSoftware Services that Mr. Reddy isnow electedastheChairmanof also amatter ofgreat pridefor theorganization strategic insightsas Executive Chairman,itis we continue to bene associates andbackto shareholders. While and deliver extraordinary results to clients, in apro the company enabledhimto grow thebusiness The trustourshareholders hadplaced inhimand for performance, transparency andgovernance. Reddy. Hebuiltacompany thatisabenchmark Managing Director andCEO Mr. B.V.R. Mohan vision andexceptional execution ofourfounding immensely bene Over thelast24years, allourstakeholders have Ourcommitment, consistency and • Executing actionsfrom thestrategy exercise • Delivering onourcommitments to all • and thekeys to successwillbe: growth for thecompany. Ibelieve itisachievable, our success;thisisattitude to win collaboration witheachotherwilldetermine our business;thisisplanto win allows usto proactively andpragmatically grow the reason for ourexistence stakeholders gives ustherightto win;thisis fi table, sustainableandde-risked manner fi tted from theextraordinary fi t from hisguidanceand fi cant acceleration in 14 Annual Report 2014-15 cyient.com Lead IndependentDirector Re in openconversations, bothcollectively and enabled theindependent directors to engage This positive and conducive environment has the rightspirit. meetings. Such advice istaken seriously andin conversations duringandoutsideof board enables independentdirectors to engage in with theleadership teamaswell. This has always valued continuous dialogue discussions amongstboard members and been very opento encourage free andfrank The Chairman,Mr. B.V.R. Mohan Reddy has leadership team. Managing Director &CEO, andthesenior providing therequisite supportto theChairman, in thevarious sectors Cyient operates inand to understand businesstrends across theworld also gonethrough anevolution, always seeking new opportunities. Consequently, theboard has engagement withitsclientsandalsoharnessing and transformed itselfinto seekinggreater Over thelastdecade,company hasrenewed Dear Shareholders, fl ections of Independent Director M.M. MURUGAPPAN Independent Director M .M.Murugappan committees andtheir recommendations. board takes fullresponsibility for thework ofits an importantaidto the board process. The development, ethicsandgovernance constitute business strategy, to theboard. The committees’ views on the year. Board committees report periodically charters thatwere reviewed andupdatedduring directors. The committees have comprehensive All board committees are headedbyindependent outside offormal meetings. address issuesraised attheboard andalso team promptly, congenially ande Director &CEO, theCFO, andtheleadership importance to Cyient. The Chairman,Managing in addressing key issuesthatare ofstrategic least twice ayear to review thee of thecompany meet‘incamera’ formally at to theChairman.The independentdirectors individually andprovide aconstructive feedback fi nancial reporting, leadership ff ff ectiveness ectively ectively 15 Annual Report 2014-15 cyient.com Experience Center inHyderabad A panoramic view ofthePW4090aircraft engine,installedatthe 16 Annual Report 2014-15 cyient.com Initsannualengineeringservicesindustry • We received clientrecognition for our • We acquired multi-milliondollarcontracts • highlights: and recognitions. Given below are somekey an eventful year comprising many milestones respectively. Despitethesechallenges, 2015was o major engineeringprograms, andtheonsite- changes inclientbusinesses, completion of This was dueto lower resource utilization rates, challenges inachieving ourgross margin target. growth over thelastyear. We faced signi USD 264.8Mninrevenues, a14.7percent Our EngineeringOperations Unit(OU) achieved Performance Highlights Engineering ff shore mixof60percent and40percent segments. transportation, heavy engineering,andenergy R&D Services’inaerospace anddefense, as a‘LeaderinGlobalEngineering and survey, Zinnov Consulting recognized us Excellence inAerospace ExportsAward - Silver BoeingPerformance Excellence Award - Alstom’s BestSupplier Award - Strategic Partner Award for emerging - Supplier Innovation Award from Pratt & - awards include: outstanding value creation. Some ofthese innovation, continuous improvement, and maintained ourclientsatisfaction index scores. added 26new clientsduringtheyear and semiconductor clients. Furthermore, we from aerospace anddefense aswell as leading industrymagazine from SAP Media Aerospace andDefense, a from Boeingfor the markets from RioTinto Whitney America fi fth consecutive year fi cant 127 Hours Savings in Optimization (Hours) 2014-15 Annual E 443,506 K Papers Published New Clients 2013-14 2013-14 ff 2013-14 ort ort 230.9 44 17 USD 357,523 Added 26 Revenue (Million) solutions design 40 patentable

2014-15 264.8 Patents Filed USD 2014-15 Improved Engineering 56 26 2013-14

Productivity 3% 6372 in Dollars Led Savings Innovation 2014-15 5% K 17 Annual Report 2014-15 cyient.com help companies adaptthelatesttechnologies addition, through ourtechnology roadmap we instrumentation andsoftware engineering.In embedded software andelectronics, aswell as in industrialdesign,mechanical,electrical, integrates multi-disciplinaryengineering Our globalcollaborative engineeringmodel Multi-discipline Engineering Our UniqueValue Proposition: competitive advantage. products andservices thathelpclientsachieve our goalisto deliver reliable andinnovative expertise, andstreamlined processes. At Cyient, engineering andpartnerecosystem, functional arm ofourclientsbyleveraging ourrobust Our teamactsastheextended engineering management, andsustenanceengineering. technical publications, obsolescence product healthmonitoring, reliability engineering, aftermarket revenue. These solutionsinclude service engineeringsolutionsthatenhance to prototype development. We alsoo product engineering solutions, from concept co-developed patents, we deliver comprehensive With over two decadesofexperience and60 development, enhancementandlocalization. engineering plays acrucialrole innew product adoption cycle. Consequently, product up new markets, andshortenedthetechnology Globalization hasincreased competition, opened Ourinnovation labsare getting ready to • We inaugurated the15,000sq.ft.Experience • level engineeringto ourclients. technologies to deliver highervalue, system adopt thelatestCAD/CAE software andnew houses the112”fan PW4090engine. Center inManikonda, Hyderabad, which ff er client Strong and sustainedinnovation-driven • The only Indiancompany to have DOEand • Focus onbuildinglong-termrelationships –the • End-to-end solutionsthatcover product, • Pure-play engineeringservicesprovider with • The Cyient EngineeringAdvantage unparalleled value creation. clients’ products andtechnology trends, drives combined withadeepunderstanding ofour clients’ sub-systems. Ourintegrated engineering complete product development lifecycle ofour engineering. We alsodesignandmanagethe services andintegrated system-level At Cyient, we provide bothdiscrete technical • Solutions: Systems andsub-systems: • • Services: components: services isbuiltaround thefollowing three key for itsproducts. OurS3strategy for engineering enhancement, andcost savings culture emphasizing IPcreation, productivity technology from theU.S. DAE approvals for import/export ofnuclear clients standsat9.5years average engagementperiodwithourtop 10 and compliance) mechatronics, mechanicalsystems, quality, and product realization (electronics and process, manufacturing engineering 23 years ofdomainexpertise across industries delivers complete solutions well asend-to-end process management manufacturing andaftermarket support,as and certifyingsub-systems electronics for designing,prototyping, testing engineering, embeddedsoftware, and disciplinary capabilitiesacross mechanical services Discrete technicalengineering System-level engineeringwith Integrated multi- 18 Annual Report 2014-15 cyient.com transportation suchasrolling stock, signaling than adecadeacross various areas ofrail We provide engineeringsolutionsfor more Rail Transport productivity by3-5percent annually. and have beenableto improve engineering co-created over 40patentabledesignsolutions time andwithinbudgets. Our engineers have skills to deliver large system level designson- design automation and program management combines domainexpertise, process rigor, Our collaborative engineeringapproach monitoring. technical documentation,andperformance streams suchasrepair andreliability engineering, and interiors. We manageaftermarket value across engines, structures, avionics, systems, to quali aerospace engineering solutionsfrom concept e require innovative technology to increase Globally, aerospace anddefense companies Aerospace andDefense heavy engineeringindustries. semiconductor, energy, rail transportation, and the aerospace anddefense, consumer, medical, We provide leadingengineeringsolutionsfor Accelerating Innovation Across Industries Uniquecapability to helpclientslocalize • • Greater engagement Solution delivery through innovative business • ffi ciency andpromote greater agility. We deliver engineering product development costs through value products for Asianmarkets andreduce models integrated tightly withclients’needs development, andrevenue andrisk-sharing business modelssuchas fi cation withownership atasystem level fl exibility withvaried fi xed price,co- has strong experience inGreen support to nuclearwaste treatment. Ourteam covering theentire life cycle from licensing presence innuclear power plantengineering, natural resources industry. We have astrong power, oilandgasminingintheenergy and At Cyient, we focus onthree key segments– Energy andNatural Resources London asahighly commendable supplierinrail. We were alsorecognized bytheTransport for most advanced signalingsystems intheworld. our engineers are capableofworking withthe Quali globally. millions ofdollars insavings andwinmajorbids our holisticsolutionshave helpedclientsachieve hours ofend-to-end rail engineeringexpertise, locomotive programs. By leveraging over 9.5Mn metros, high-speedtrains, lightrail, freight, and such asrolling stock andsignalingfor various over 200majorglobalprojects across areas the top tenglobalrail OEMs andhave delivered software andelectronics. We work withseven of industrial products. We designend-to-end andmaterialhandling equipment)and (construction, farm andforestry, aswell as This industrycomprises o Heavy Engineering mining plants. brown industry, andwork withEPCs ongreen the cost ofminingoperations inthemining We improve equipmentproductivity andreduce recovery and solidto liquidfuelconversion plants. the latestindustrytrends suchasenhancedoil majors, rigoperators, andEPCs, to address with various stakeholders includingequipment engineering. Intheoilandgasdomain,we work and telecommunication, electri fi ed withIRSE andARTC accreditation, fi eld projects for upgrading andbuilding ff -highway fi fi eld plant cation, and fi eld and 19 Annual Report 2014-15 cyient.com greater e comprehensive engineeringprocesses thatbuild instruments for thespine andtrauma orthopedic delivers engineeringsolutionsfor implantsand requirements. Ourmedicalpractice also surgical, life sciences, cardiology, andorthopedic devices for radiology anddiagnostics, hospital, to-end development ofcutting-edge medical cater to thisdemandbysupportingtheend- innovative anda Emerging markets are inurgent needof Medical Devices medical, andInternetofThings (IoT). markets suchasautomotive, transportation, end-to-end solutionsacross various vertical software andelectronics enablesusto provide technologies. Ourexpertise inembedded (SOC) using14nanometers (nm)and16nm silicon successinallareas ofsystem-on-chip industries. Inaddition,we design veri development in‘full-chipsilicon’ design, We alsosupportapplication-speci layout, andmixed analog/digital veri in thenicheareas ofphysical design,custom (IP) for clientsbyleveraging strong capabilities At Cyient, we develop intellectual property Semiconductor emission norms. programs designedto comply withTier IV our portfolio includesover 15engineintegration and materialhandlingequipment’list.Moreover, that are now ranked inthe‘top 100construction contributed signi several oftheworld’s top OEMs. We have also over 25product development programs for competencies andexperience, we have delivered needs atlower product costs. By leveraging our localize theirproducts to suitemerging market development life cycle. We helpourclients fi cation, andimplementationacross ffi ciency across thecomplete product ff ordable medicalcare. We fi cantly to developing products fi rst-pass fi c system fi cation. manufacturing andenergy-e addition, we designcreative solutionsfor green innovative new products andeightpatents. In lighting companies, we have launchedover partnering withtop consumer applianceand innovative products atlower costs. By by applying advanced technology to design We engineerhomeandkitchenappliances Consumer quicker return oninvestment (ROI). faster thantheindustrystandard), enablea solutions andrapid timeto market (25percent for large medicalinstruments. Ourtailored market, aswell assystem-level value engineering driven aftermarket solutions. a strong demandfor innovative andtechnology manufacturing engineering. We alsowitnessed on cost reduction, product optimization and utilization. There was alsoanincreased focus drop signi phase. This causedtheengineeringvolume to entered thecerti industry, mostaerospace programs have each industry. Intheaerospace anddefense diverse macro-economic factors thatimpacted During this business growth across theindustrysegments. the aftermarket segmentsto increase focus on for software andelectronics, manufacturing, and unit. We alsocreated competency delivery units segments to form theEngineeringoperating by integrating theerstwhile aerospace andHTH we implementedmajororganizational changes During theinitialpartoflast Key ChallengesandOpportunities Responding to Change: leveraging our strong technicalcapabilities. fi cantly, thereby impactingresource fi nancial year, we hadto address the fi cation andserialproduction ffi cient products by fi nancial year, fi fty 20 Annual Report 2014-15 cyient.com last address several challengesfaced duringthe The organizational restructuring hashelped Our Response to Change Beating theOdds: margins. required to execute theprojects impactgross the signi However, high-cost pressures, inadditionto localization andvalue engineeringprojects. a positive outlookwithincreased focus on The consumer andmedicalindustryhashad resources. short ramp-up for high-level semiconductor semiconductor clients, requiring signi there hasbeenstrong demandfrom Asian lower utilization ofonsiteresources. However, during theintegration process resulted in required to bedeployed. Slower decisionmaking change intools, technologiesandcompetencies semiconductor clientsresulted inadrastic and acquisitions(M&A) withinoneofourkey positive duringthelast The semiconductor industryhasbeenmostly on theaftermarket. Energy companies are alsoincreasing theirfocus engineering costs anddelayed new projects. energy companies initiateddrastic cutsintheir Due to thesigni and processes. required thedevelopment ofnew competencies -based signalingsolutions, changes intherail signalingindustry, suchas and availability ofproject inputs. Technology resource utilization, approval ofprojects, in thestartofmajorprojects, whichimpacted In therail transportation sector, there was adelay fi nancial year byenablinge fi cantly higherengineeringcapability fi cant drop inoilprices, most fi nancial year. Merger ffi cient use of fi cantly certi Project managementtraining and to serve leadingaerospace anddefense clients. security clearances andbecamefully operational Center, intheU.S., received therequired IT semiconductor market. OurDallasEngineering centers inTaiwan to addresses itsmature New delivery centers: low-cost products inemerging markets. helped address theirneedfor localization and heavy engineeringclients. These solutions medical, consumer, industrialautomation, and engineering solutionsto aerospace anddefense, and delivered several outcome-based value the last Outcome basedvalue engineering: include: respond to thedynamic businessenvironment life cycle. Some key strategies adoptedto challenges associatedwithourclients’program and manufacturing engineeringto address product localization, value engineeringprojects, resources. We have increased ourfocus on accountability. project managementandestablishedclear manager. These initiatives enabledimproved number ofassociatesreport to eachproject reporting structure to ensure thatauniform project managers. Also, we modi (PMP) training and certi conducted project managementprofessional margins attheproject level. Furthermore, we programs withafocus onimproving gross project management skillsdevelopment accordingly. We alsolaunchedaprogram/ requirements andconduct training for resources to capture their shortandmediumterm fi cations: fi nancial year, ourteamsengaged We engagedwithclients We openednew delivery fi cations for mid-level fi ed thepyramid During 21 Annual Report 2014-15 cyient.com products. them to thedevelopment ofnext-generation competencies innew technologiesandapplying Additionally, we are committed to developing and allows usto move upthevalue chain. alignment withthischangingclientexpectation systems, and solutions (S3) strategy isin business models. Ourintegrated services, based system level engineeringusingnew is morphinginto demand for IPorco-innovation Demand for high-quality low-cost engineering Client expectations are rapidly changing. Strategies for Long-Term Success Ahead: Looking management capabilitiesbyacquiringSoftential. Also, we enhancedourserviceassurance/ through theacquisitionofRangsons Electronics. and electronics manufacturing capabilities Invati Insights, andimproved product realization analytics capabilitiesthrough theacquisitionof strengthened ourtest engineeringanddata acquisitions over thelastyear. Moreover, we engineering capabilitiesthrough several strategic Capability enhancements: engine andaerospace OEMrespectively. and diagnostics analytics solutionsfor anaero OEM intheU.S. We alsodelivered aftermarket predictive healthmonitoring for ano expertise, we delivered successfulprojects in combining ourdomainanddataanalytics appreciated byouraerospace clients. By co-creation ofIP, whichwas recognized and smart tooling. Italsoresulted inthe additive manufacturing, dataanalytics, and strengthen itsfocus onnew technologiessuchas technology roadmap initiative. This enabledusto and technology trends withthehelpofour in alignmentwithclients’speci identi Technology roadmap development: fi ed new technologiesandprojects We enhancedour fi c industry ff We We -highway Leveraging dataanalytics: • Engineeringto manufacturing solutions: • Implementationofthe technology • Competency development framework: • we planto focus onthefollowing key areas: programs duringFY16.To achieve thisobjective, system andsolutionslevel engineeringprojects/ We willfocus onincreasing revenue from result inlarger programs. manufacturing capabilitiesare expected to on enhancingourcurrent aftermarket and analytics projects undertaken withafocus manufacturing capabilitiesto o We willleverage ourimproved electronic clients. level ofengagementwithourexisting top 20 large multi-year dealsthatrequire ahigher clients. These programs are expected to be system andsolutionlevel engineering for our and thoughtleadership. deliverables, innovative solutions, patents, team to deliver consistently high-quality associates. This willenableourtechnical while ensuringcareer progression for our the current stateanddeepentechnicalskills competency framework thatwillhelpassess experienced resources. We planto develop a requires advanced competencies andmore High value, system-level engineering and industrytrends. technologies inalignmentwithclientneeds develop new competencies andadaptto new collaboration withourclients. This willhelpus the last (PoC) innew technologies, identi roadmap: fi nancial, willbeimplementedin Projects andProof ofConcepts The initialdata ff er integrated fi ed during

22 Annual Report 2014-15 cyient.com or scantheQRcode to watch thisvideo. Visit j.mp/next-gen-engine engines. them intheirgoalto improve fuelburn,cutcarbonemissions anddesignquieter Engine. Watch thisvideotoday to understand ourpartnership withPratt &Whitney andhow we help This videohighlightsourcontribution to thegame-changingPurePower PW1000GGeared Turbofan Quieter Enginesfor CalmerJourneys 23 Annual Report 2014-15 cyient.com Product Realization Collaborating withrenowned globalplayers for • Conducting teardown analysis and • Participation inmajorconferences andevents • Successfully progressing towards buildinga • Designinganddeveloping ahome • Developing avending machinefrom the • include: Techno Tools. Some oftheotherhighlights Rangsons Electronics alongwithitssubsidiary, highlight oftheyear was theacquisitionof for sustainedbusiness inthefuture. Asigni realization for them,thereby buildingaplatform few clientsinthe segment.We enabledproduct build ourbusiness, we were ableto acquire a objective ofleveraging clientrelationships to company objectives. Insync withthede and margins were competitive andinlinewith realization was lower thanthesettarget. Costs its development phase,hencetherevenue USD 2Mn.In USD9.2 Mninrevenues, asagainstthetargeted Our Product Realization businessachieved Business Performance Highlights Creating jointvalue proposition -designled • Building ourcore product • certi industrial printer a cost reduction program for an such asBoeingSummit andDefTech2014 realization lab world classproduct chain health care device for India’s leadinghospital FMCG company conceptual stagefor aglobal product realization realization team fi cation/quali fi scal 2015,theunitwas stillin fi cation fi ned fi cant prototyping, testing,certi conceptualization, system engineering, building capabilitiesthatsupportproduct Our Product Realization unitfocuses on Realization Driving Sustainable Growth through Product partnerships withOEMclients. By leveraging us to expand our capabilities andstrengthen our a highgrowth area, product realization willenable realization for clientsandprospects. Identi Generating traction for specialpurpose • Developing traction for ‘designto product’ • Partnering withIITHyderabad to develop the • Buildingpartnerships withstrategic partners for • Partnering withDeakinUniversity to work in • as the‘BestElectronics Manufacturing ServicesCompany’ Rangsons Electronics, aCyient company, was recognized machinery –mechatronics systems production partnership exploration clients visitedRangsons for design-led proposition -someofourmajoraerospace potential for futuristic technologies EMI/EMC andothertestingservices composites Manufacturing” andstudy ofcomplex advanced the area ofadvanced technologiesof“Additive Technovation Awards 2014 IESA fi cation, andhigh-value fi ed as 24 Annual Report 2014-15 cyient.com Fig.1: Ourvisionfor future growth and Solutions (CSS). prospective portfolio company -Cyient Systems Electronics willbeintegrated withour The unitalongwithrecently acquired Rangsons Services, Systems andSolutions (S3) framework. product realization impactfor ourclientswith and expertise, we aimto create signi our award winningdesignpractices, knowledge Fig.2: Scope ofactivities performed bytheProduct Realization businessunit Today -2014 Our Visionfor futuregrowth industries Moving towards becoming aprovider ofsolutions Cyient Systems &SolutionsFuture -2017 % ofCyient Revenue % ofRangsons Benchmarking Rcadmapping Tear-down Product to supporttheentire life cycle ofprograms Revenue ocp ein&Dv I&Test Design&DevS Concept 0 20% 80% Architechure 0 10% 90% Prototyping System Rapid PoC fi Management & in chosen cant Management Integration Build to Support Vendor Project Print Design Led Realization Product customization for emerging markets. Fig. 2 accelerated product development andproduct clients through subsystem partnerships, create designledproduct realization for our Our System andSolutions businessaimsto of thebilliondollareliteclubcompanies. shown inFig.1). By 2017,we aimto become apart and command amajorshare inthesegment(as Our visionisto bealeadingplayer intheS3space Enabling Innovation andBusinessGrowth Infrastructure Management System Test System Test 0 20% 30% Services Assurance Design Low Volume Component Engineering Production; Systems DFx Design Led Realization 50% Product Maintenance After narket, NPI &NPR Design Tomorrow -2020 Solutions Mfg Build to Print 25 Annual Report 2014-15 cyient.com RFQs/RFIs. visits whichledto thegeneration ofseveral production. We alsoentertainednumerous client programs spanningconcept to prototyping and global companies for few product realization realization. This ledto partnerships withtop researchers andanalysts withrespect to product impact amongourpeers, competitors, Our initiatives created substantialandnoticeable workshops, sessionsandcollaterals. was created byshowcasing thebene among ourinternalandexternal stakeholders several awareness creation programs. Interest strong core businessteam,we hadto implement leadership across di Realization. From getting thebuy-in oftop awareness ofthebusinessbene However, we faced adauntingtaskofgenerating internally andexpanding ourreach externally. created withatwo-fold theaimofgrowing The Product Realization businessunitwas Key ChallengesandOpportunities Machines. Train andTransportation andSpecial Purpose Defense, Strategic Defense Electronics, Medical, areas for thebusinessincludeAerospace and innovative businesssolutions. The mainfocus and boostmargins andbusinessgrowth through followed byCSS isto enhanceclientrevenue, The goalofthenew businessmodelto be launch designmaintenance. conceptualization andmanufacturing to after by theProduct Realization businessunit,from illustrates theend-to-end activities performed ff erent functionsto buildinga fi ts ofProduct fi ts through business. Moving forward, we believe that2015- that helpedshapeoursystem andsolutions FY2014-15 was aneventful andrewarding year Fiscal 2016 The Road Ahead:Key Strategic Initiatives for conferences, summits, andforums. various nationalandinternationalindustrylevel among ourstakeholders, we have engagedin Furthermore, to promote the businessidea among ourexisting andprospective clients. the value proposition ofproduct realization teams have beengenerating awareness about Go-to-market team: and system integration. prototyping, testing,sourcing, manufacturing expanded andstrengthened ourcapabilitiesin India’s largest EMScompanies. The acquisition 2015, we acquired Rangsons Electronics, oneof EMS Acquisition: to grow andnurture thenew businessunit. members withunique capabilitiesandapassion capability. We builtacore teamcomprising helped usexpand ourproduct andservices business teamcoupled withinorganic growth Building acore team: adopted include: stakeholders. Some ofthekey strategies several sessionsto in go-to-market (GTM) strategy andconducted Boston Consulting Group (BCG) to develop our during the2015 initiatives helpedaddress several challenges helm asalongwithorganizational restructuring A strong leadership teamwithourCEO atthe Challenges Paving theRoad to Success: Overcoming fi nancial year. We engagedthe During thelastquarterof fl Our go-to-market (GTM) uence ourinternal A strong andcapable fi scal 26 Annual Report 2014-15 cyient.com We are augmentingourteam’s strength to • A100day integration planisunderway and • include: objectives. Some ofourkey initiatives 2016 potential for synergy to furtherourbusiness our portfolio, we hopeto leverage theresulting expand. WithRangsons’ capabilitiesaddedto 16 willbringforth new opportunities to grow and 3D Printing Facility atCyient Gachibowli Campus, Hyderabad our chosenverticals. grow andbuildclient-speci bring inmore nicheSMEs whowillhelpus objectives. integrate andalignwithcommon business will enableboth organizations to seamlessly fi c solutionsfor capacities across theglobefor thecompany. enhancements both intermsofcapabilitiesand is poisedto bringforth signi Our Systems andSolutions businessunit Amajorawareness program championedby • strategy. proposition to ourclientswithawinningGTM Our mainimpetus isto bringajointvalue associates withCSS’ enhancedcapabilities. will helpapprisealloursalesanddelivery within theorganization. The programs our salesandfunctionalheadsisunderway fi cant future 27 Annual Report 2014-15 cyient.com or scantheQRcode to watch thisvideo. Visit j.mp/signaling-systems easier travel ontheLondon Underground duringthe2012 Olympics andbeyond. Watch thisvideoonhow SiemensandCyient worked together to help commuters experience Better SignalingSystems for BetterRailTravel 28 Annual Report 2014-15 cyient.com Data, Networks andOperations 107% ontheplannedbudget. Ouroperating contributed to 77%oftheoverall revenues and 15.7%. , MiddleEast andAfrica(EMEA) of 99.6%onbudgets, and aYoY increase of revenue ofUSD50.0Mn,anachievement Our DataTransformation businessposted client baseto create amore balancedportfolio. beyond we are creating plans to furtherwidenour for theCommunications unit.This and approximately 55.8%oftheoverall revenues for 78.5%ofoverall revenues for theUtilities unit 94.9% oftheoverall revenues. They accounted Our top traction inthefourth quarter. were stablefor mostoftheyear butsaw higher of theoverall revenues. Ouroperating margins of 50.9%.NorthAmericacontributed to 38% budgets, andayear-over-year (YoY) increase USD 70.6Mn,anachievement of94.5%on business achieved revenues of On theotherhand,ourCommunications site project ramp-up challenges. revenues. Ourmargins were impacteddueto on- revenues and achieved 126%ofthebudgeted North Americacontributed to 72%oftheoverall and ayear-over-year (YoY) increase of26.8%. 48.4 Mn,anachievement of98.6%onbudgets, Our Utilitiesbusinessachieved revenues ofUSD Revenues the year. Here are someofthekey highlights: client acquisitionacross othersegmentsduring we witnessedsigni Despite aminorsetbackinourUtilitiessegment, Performance Highlights fi ve clientscontributed to approximately fi cant growth inrevenues and fi scal year and 70.6 Million No ofquality improvements: 354 USD 338 Hours Savings in 312 Revenue from top 5clients omncto tlt Data Utility Communication New Clients Added 41 K Revenue (Million) 2014 -2015 48.4 Million USD

3583 in Dollars Led Savings Innovation 2013-14 2014-15 50.0 Million Utilities 78.5% Communications 55.8% USD K 29 Annual Report 2014-15 cyient.com improvement andoutstandingvalue creation. markets, basedonourinnovation, continuous clients astheir‘Strategic Partner’ inemerging We were recognized byoneofourmajormining Recognition between USD30,000and400,000. clients inFY2014-15withdealsizes ranging The DataTransformation group acquired 11new based businessdeals. for thenext year aswe anticipatelarge annuity- optimistic aboutthesetwo new servicelines helped furtherstrengthen ourpotential. We are capabilities andCyient’s strong brand presence management, andassurance. Softential’s mobile workforce management(MWM),service traction for ournew andincubatedserviceson 250,000 andUSD3Mn.We saw increased the dealsinthissegmentvaried between USD Communications businessunit.The size of We alsoacquired 15new clients inthe the dealwas annuity based. achievement asthenature ofwork was new, and from USD75to 100Mn.This was animportant with anabove-average revenue size ranging including key dealsintheNorthAmericanmarket We acquired 15new clientsintheUtilitiesunit Clients of processed datafor ourclients. enabled 30%cost savings withrapid turnaround Furthermore, ourdatamanagementservices strong lastquarterwithagrowth rate of9%. from annuity clients. The group witnesseda margins were very good,driven byhighvolumes capitalize ontheirstrengths. sectors enable industryplayers to successfully solutions across UtilitiesandCommunications Deep Domain Knowledge: • Experience inSmart Grid/Meter Deployment: • Recognized System Integrator: • Comprehensive View ofSpatial Data: • other distinctadvantages thatwe o from theconvergence ofIT/OT. Some ofthe ability to caterto theevolving needsemerging One ofourkey di Our UniqueValue Proposition Our datatransformation andindustry-speci Helping Industry Players Operate Smarter New Solutionfor FieldOperations • pilots inSouth-East . deployment ofsmartmeterandgrid o We APAC region. solutions industryfor large Utilitiesinthe recognized nameinthesystems integrator their network assets. accurate picture ofspatialdatarepresenting we helpUtilitiesgainacomprehensive and in utility distributioninfrastructure solutions, Drawing uponour15Mnhours ofexperience time, facilitating timely delivery ofprojects. reduce operational expenses andturnaround through anintegrated approach. Italsohelps streamline andautomate Management System (FOMS)—helps —The Next Generation Field Operations Automation: USA andseveral tier1utilitiesinAustralia. fi bring deepdomainknowledge, having served ve ofthetop 10largest electricutilitiesinthe ff er thebene Our new solutioncalledFOMS ff erentiators inthemarket isour fi t ofourexperience inthe fi eld operations Our specialists We are a ff er include: fi c 30 Annual Report 2014-15 cyient.com regulatory changes, andnew energy consumers three majorenablers: technology, policyand (prosumers). This transition istriggered by end consumers are producers themselves linear supply-demand modelto onewhere The Utilitiesecosystem isshiftingfrom a for Utilities Improving BusinessOutcomes standardization Con conversion, - migration, Data management Management Data and upgrades implementations Smallworld GIS ESRI and and upgrades implementations PowerOn systems cartographic previously rigid creation from Geo-schematic multiple systems integration with modi structural data validation & Data quality fl ation & fi cation for Operations and Grid Control implementation systems DMS/OMS testing Performance DMS/OMS support of Maintenance & operations for real-time network modelling & distribution Transmission system and otherUtility of DMS/OMS/GIS System integration grid injections into the renewable analysis for Power systems Management Asset Condition monitoring asset condition solutions for Analytics-based management and wood pole Pole loading asset maintenance solutions-Physical engineering Field mobile optimization GIS to drive asset integration with Smart meter optimization pipeline asset UG cableand challenges. We o to helpUtilitiesaddress theseindustry Our suiteofservicesandsolutionsare designed improve theiroperational e Smart Gridworld where Utilitiesare striving to of ITandOT, ade (prosumers). This hasnecessitatedconvergence Awareness Operational engineering Planning and awareness Strom awareness regulatory Customer and and management Field control presentations dashboard Ad Hod ff fi er ning trend intheevolving fi ve majorservicelines: ffi ciency signi Solutions Communications Utility support and operations Global 24x7systems electric utility infrastructure inthe communications design supporting service and Consulting system knowledge of communications conditions asaresult operational re Dashboards fl ecting fi cantly. 31 Annual Report 2014-15 cyient.com service managementand assurance. application management andsustenance, life cycle management, system design, operations management,telecom infrastructure (with mobileworkforce management),business inventory solutions, humaninventory solutions Information Systems(GIS), physical andlogical Network planninganddesign, Geographic encompasses thefollowing: o We Service Providers Boosting Revenues for Communications Provide reliable andquality power • Facilitate consumer participationinenergy • Ensure optimal usageofenergy resources • Utilities withthefollowing: customer satisfaction, andreduce costs. We help designed to drive operational e Our technology servicesandsolutionsare Establishing asingle‘source oftruth’ across - Enablingcohesive interaction between DMS, - Modeling, consulting andintegrating real- - Smart pluganddevice development - - Mobile Utility bigdataanalytics to generate - management Smarter up-to-date electricnetwork - Systems optimization to ensure high - Power analysis for extensions planning, - network the enterprisefor auni OMS, andGIS management time systems datafor e increasing e actionable insightsattheconsumer level models builtseamlessly into theGISengine reliability andsafety quality renewables injectionandpower supply ff er afullrange ofservicesfor CSPs that fi eld operations managementfor ffi ciencies fi ed view ofthe ffi cient network ffi ciency, facilitate Network parameter con • • In-building solutions • Transmission planning Accessnetwork planning • Planning &Design Network Design &Engineering Custom applicationdevelopment • Applicationanddatamigration • Enterprise-wideoperational systems • Serviceandnetwork ful • Solutions deployment androad maps • Businessprocess consulting • • Ful OSS Services Physical inventory bestpractices • Dataquality augmentation • Inventory datamaintenance • • Data con • Data modelling • Data conversion • Data migration OSS deployment andsynchronization • Custom applicationdevelopment • Solutions implementationandintegration • Network Inventory Management Service Ful recognized TMF-e TOM model Services structured around thewidely • Design (DAT) • Provisioning NOC(L1&L2) • Operations andmaintenance • Acceptance testing • Network integration RFbenchmarking(pre-launch) • • Pre-launch optimization Installationandcommissioning • Deployment Servicequality management • integration fi lment andassurance services fi fl lment &Assurance ation fi fi lment solutions gurations 32 Annual Report 2014-15 cyient.com Overcome legacyinfrastructure challenges • Roll outnext generation networks through • Lower order fallout by50% • Reduce provisioning workload by40% • • E Shortentime-to-market for new products and • Improve theirnetwork visibility through • Enhancequality, speedandeconomics of • Reliably manageCSP businessservices • Our services helpCSPs Field Engineering Competitor network benchmarking • • Radio optimization • Proactive maintenance • Fault Recommendation ofexpansion plan • Clusteroptimization drive testing • Sitesurveys andaudits • Radio network interference analysis • Servicequality management • RFsitesurvey • • Model tuning • CW test Wi-Max/ATM/SDH/MPLS GSM/CDMA, EVDO/WCDMA/LTE/ Wireless Technology • Post-launch optimization • RF benchmarking Dataquality augmentation • • Backlog posting using cutting edgeengineeringand experience leveraging ourdeepdomainknowledge and careful network planninganddesignby achieving accuracy ofover 98% services planning andexpansion decisions customized dashboard capability for superior designing networks investments incapital andoperational expenses services solutionswithout theneedfor huge ffi ciently managenetwork inventory, fi xing fi eld eld segments we caterto include: or outputsspeci data, transforming itinto structured databases We process multi-source andmulti-format maintenance. integration, aswell asGISimplementationand update, applicationcustomization andsystem of services. These includedatacreation and Data Transformation unito accurate datafor informed decisionmaking. Our that ourclient’s geologistshave complete and geological andgeoscienti upstream stages. Ourteamprocesses services, especially for theexploration and industries byproviding domain-baseddata Also, we supporttheOil&GasandMining enhanced customer satisfaction. and applicationofgeospatialinformation for and GISservicesto improve thequality, insights We alsocombine leadingtechnology platforms to several hundred kilometers above theearth. The sensors are deployed ontheground andup high dataaccuracy, ranging from 5cmto 50cm. sensors, we deliver superioruserexperience and collating andprocessing spatialdatafrom various interpret earthimagery andgeospatialdata.By and geospatialclientstransform, manageand two decadesofexperience, we helpcontent As aleadinggeospatialcompany withover mapping, 3DmodelingandRail GISservices. Rail sectors through servicessuchasAirport In additionto this, we supportAerospace and tool development andapplicationmaintenance. update services. We alsoo company, we provide road mapdata TomTom, anavigation andmappingmultinational Leveraging ourlong-termrelationship with Satisfaction Transforming Datafor Superior Customer Data Transformation fi c to eachclient.Some ofthe fi c datato ensure ff ff er ITservicessuchas ers awiderange 33 Annual Report 2014-15 cyient.com worldwide. Ourclientsare ableto gain by governments andprivate organizations These canbeusedfor varied applications accurate classi from various sources to produce highquality, di Geospatial: management services. with thehelpofourcomprehensive miningdata making more e clients minimized environmental damage by interpreted information. Inaddition,ourmining this byproviding easy andquickaccessto reducing theiroperational expenses. We enabled this industryhave increased theirsavings by Energy &Natural Resources: movements, andreduces pollution. driver errors, eliminateswasteful vehicular leveraging accurate mapcontent thatminimizes navigation solutionsenableagreener planetby destination safely andquickly. Ourroad information, enabling peopleto reach their 100 countries withthelatestroad element we updatetheroad navigation datainover Transport &Navigation: • Remote sensing • LiDAR • Enterprise GIS • Photogrammetry Concept &Geospatialproviders Datamanagementservices • • Geospatial services • Geoscienti Energy &Natural Resources Location basedservices • • GIS Navigational databasegeneration • Navigation datamapping • Transport &Navigation ff erent types ofgeospatialdata streaming in We create processes andupdate fi c services fi ff ed mapdata,and3Dmodels. ective exploration decisions For thissegment, Our clientsin and o current challenges, strengthen ourcapabilities, we undertook various initiatives to address Smart Meter/Meter DataManagement domain, With several additionalplayers enteringthe Beating theOdds intheUtilitiesSector through new initiatives andstrategies. We responded to thechallengesacross sectors Turning Challengesinto Opportunities. satisfaction, anddesired time-to-market. of increased savings, enhancedstakeholder measurable businessbene and have generated alot ofinterest. have beendemonstrated to potentialaccounts analytics andmobility. These new methodologies o domains, we alsodeveloped methodologiesto our core strengths across geospatial,ITandOT address business-speci are translated into solutionsorframeworks to concepts (PoCs) where inputsfrom ourclients solution approach. This helpsbuildproof of target segments, we adoptedanew problem- and demandfor speci To keep pacewithrapid servicecommoditization (DMS) spaceintheEMEAregion. deals intheDistributionManagement Systems of theseinitiatives, we were ableto acquire large challenges ofcredibility andcapability. Asaresult building thoughtleadership to address the internal collaterals and saleskits, apartfrom vendors, asaconsortium. We are alsobuilding was doneinpartnership withvarious product in theSmart Grid/Smart Metering domain.This the MiddleEast andtheother inSouth East Asia, to provide proposals for two large deals, onein develop proposals. Consequently, we were able Management MDMarea withtheability to We hired new resources intheMeter Data ff er assetmanagementprograms driven by ff er di ff erentiated services. fi c solutionsinthe fi c challenges. Leveraging fi ts intheform 34 Annual Report 2014-15 cyient.com Leveraging Softential’s Capabilities: • EnhancingIn-houseCapabilities: • • Developing O following initiatives: We addressed theserequirements through the mobile workforce managementspace. across theservicemanagement, assurance, and position thecompany againstleadingplayers portfolio ofservices. Also, we were seekingto support system (OSS) to buildacomprehensive extended capabilitiesacross theoperational ful helped buildsigni our new acquisition, Softential Inc.The merger We alsowanted to ensure asmoothtransition for infrastructure managementcompanies. as apartnerofchoiceto CSPs andtelecom during FY14-15andpositionedourcompany and design,we focused onnew growth areas With astrong presence innetwork engineering SectorCommunications Addressing theChallengesin deals andisincreasingly enablingusto gain acquisition helpedourcompany win10key of revenue intheyears to come. our addedcapabilitieswillactasamajorsource major MWMwinsduring2014-15.We believe being considered andvalidated, given oursix investments inMWMasamajorserviceline are combined go-to-market campaigns. Potential Equipment Manufacturers (OEMs) to develop partnered withsomeofthemajorOriginal management technologies. We also certifying ourresources inmobileworkforce built organic capabilitiesbytraining and systems for CSPs. engineering aspectsofoperational support together theplan-build-operate and integrated framework onI-PBOFthatbinds workforce management.We developed an management andassurance, andmobile develop o fi llment arena. We neededto leverage our ff erings intwo crucialareas—service ff erings: fi cant capabilitiesintheservice We worked tirelessly to We We fi eld The for eachoftheidenti technologies andassignedacompetency lead development framework team,identi In additionto this, we alsosetupacompetency our portfolio. three key industriesandhelpaddnew clientsto teams willensure dedicatedfocus oneachofthe managers alongwith ourrestructured sales newly recruited salesandbusinessdevelopment services onthekey growth areas identi go-to-market planwillenableusto focus our business growth. The execution ofthisstrategic our focus areas andkey servicesandensure business atthestartof sustaining andgrowing thedataandgeospatial no strongly articulatedstrategic planfor Even thoughbusinesswas good,there was Geospatial Sector Crossing theRoadblocks intheDataand a comprehensive strategic exercise to de To respond to thesechallenges, we undertook other technologies. technology involved anditsrelationship with that required in-depthunderstanding ofthe to address technology-focused opportunities key industrysectors. To expand, we needed such asNorthAmericaandAPAC -across few sales reach was limitedinafew geographies opportunities withcon leverage theexisting expertise to pursue new help develop strong technology capabilities and major opportunity thatmightarise.This will with acore teamto evangelize andsupportany proof ofconcepts for theirtechnology, along Lead isresponsible for developing expertise and signi reducing ourcost ofsalesinthelongrunand see large, multi-year dealsgoingforward, assurance. Bothserviceslinesare likely to traction inbothservicemanagementand fi cantly addingto ourmargins. fi ed technologies. Each fi dence. fi nancial year. Our fi ed key fi ed. Our fi ne 35 Annual Report 2014-15 cyient.com business unit. This provides furtherimpetus to grow our infrastructure to buildtheirmodelsmartcities. globe are investing heavily incommunications Governments andregional councils across the forms thebackboneofsmartcity initiatives. technologies: Building smart-cities withcommunications Investing inKey Competencies: • Leveraging analytics asakey service area: • Increasing growth through acquisition • Enhancingrelationships withpartner • • Looking for Looking growth inemerging markets: • Targeting growth from new service lines: • achieve ourgoalsfor FY16include: Key initiatives thatwe have chalked outto helpus targeted growth. Operations, OT andSmart Grid-to attain the invest inournew servicelines-Technology and for ahighgrowth rate duringFY16andplanto Scaling New HeightsinUtilities: sectors. Here isalookatourplansfor eachofthethree Key Strategic Initiatives for FY16 products. domains, processes, systems, technology and continue investing incompetencies across o a setofkey accounts around two service in theUtilitiesvertical, where we planto target We planto useanalytics for growth, especially synergies and businesspartners. alliances: South East Asiaregions. will befocusing ontheMiddleEast, Africaand leveraging acquisition synergies. engagement, buildingreferenceability, and will bedonebycontinuing to improve client ff erings. These alliancesincludetechnology The Communications industry We are aiming We will This We We as well asprospective clients. will beshowcased inthemarket to bothexisting responsible for developing proof ofconcepts that created to lookinto boththeseareas. They willbe indoor maps. Dedicatedteamshave been photogrammetry skillsto generate and maintain decades ofstrong navigation mapcreation and mapping, where we intendto leverage ourtwo Another potentialarea ofgrowth isIndoor Analytics solutions. geospatial strength to develop various Spatial Spatial Analytics. We planto leverage ourexisting primary focus areas goingforward isgoingto be of growth. Basedonthisexercise, oneofthe with consultants to identifypotential areas internally aswell asexternally, inpartnership conducted various market studies, both of ourstrategic planninginitiatives, we have supplemented byarobust pipeline.Aspart relationships withour current clients, further in FY2015-2016basedonourlong-standing business. We are con than 90%ofourrevenues come from repeat Foraying into new businessareas indata: integral partofoursmartcitiessolutions. Management servicesandsolutionsthatform an Softential Inc.helpedusaddnew ITService competition. Additionally, ouracquisitionof new opportunities, giving usanedgeover the innovative serviceo into e services for thisnew paradigm thatiscoming strategy for thenext companies. We have therefore designeda CSPs andtelecom infrastructure management Term Evolution (LTE), anticipates majorinvestments in4G,Long At Cyient, ourCommunications businessunit ff ect across theglobe.We are introducing ff erings alignedwiththese fi fi fi ve years to provide dent ofperforming well ber plananddesignfrom More More 36 Annual Report 2014-15 cyient.com or scantheQRcode to watch thisvideo. Visit j.mp/smarter-navigation across theglobe. better understand thework we doto helpourclientmaproads andkey interest points people worldwide to drive safely ande This videospeaksto ourlong-standingpartnership withTomTom, andhow ourcollaboration helps Smarter Navigation for E ff ortlessly to theplacesthey needto go. Watch thisvideoto ffi cient Driving 37 Annual Report 2014-15 cyient.com articulated as next 3to 5years. This aspiration isde prepare ground for accelerated growth inthe development exercise withanobjective to Cyient undertook acomprehensive strategy Over thecourse ofFinancial Year 14-15, through ourS3Strategy Transforming Growth Cyient’s acquired Over thepasttwo andahalfdecades, we have relevance andvalue intheeyes ofourclients. We believe thiswillsubstantially increase our realization and testingto aftermarket services. their designandengineering,from product ideation ofproduct andsystem concepts to We canprovide servicesandsolutionsfrom the to meetclientneedsacross theS3continuum. unique value proposition we o engaged pure servicesplayer to becoming a strategy spearheadsourtransition from beinga as a Our underlying aimisto di Building Deeper Engagement networks, andoperations. of engineeringdesign,datatransformation, data, we have builtover thepast24years intheareas The strategy isbasedontherobust foundation investors. we seethebestvalue for clients, employees and plan to address thepartofvalue chainwhere business modelvalue chain byindustryandour S3 strategy isourarticulationoftechnology and Solutions). ‘concept to solution’ deep domainknowledge systems andsolutionspartner. The S3 Strategy S3 ff partner. The S3 (Services, Systems, erentiate ourselves ff er isourability in thecore more deeply fi ned and been ourareas offocus: the To create more value from S3,we are targeting Sharpening OurIndustry Focus analytics. around theInternet of Things (IoT) anddata services andsolutionswithnew trends evolving We hopeto ful and needswillhelpusstay aheadinthemarket. a muchbroader range ofbusinessproblems aspects ofourclients’value chain.Addressing new capabilities, we are poisedto supportmore strong assetsandsupplementingthemwith global delivery model.By leveraging these competencies andestablishedawell-tested a range ofengineeringandtechnology industries we serve. We have alsodeveloped Connect fi ve industryclusters that have traditionally Test Operate fi ll thisobjective byaligningour Build Analyse Engineer Maintain Design Ideate 38 Annual Report 2014-15 cyient.com Geographic Information System (GIS) market. continues to drive ourleadership intheclassical around whichourcompany was initially founded Geospatial: technology vertical thatalignswell withS3. health market withourrapidly evolving medical Digital health: infrastructure) space. natural resources andheavy equipment(or Our company isactive intheenergy and Energy, natural resources, andinfrastructure: semiconductor sector. markets worldwide, andalsocaterto the presence inthecommunications andutilities Networks andtechnology: transportation industry. market leaderandavalued partnerintheglobal Global transportation: Energy, Natural Transportation Infrastructure Mining, Heavy Resources & Aerospace, Equipment Oil &Gas Global The core geospatialcompetence Rail We are alsoexploring thedigital Geospatial Segments Multiple We are anacknowledged We have astrong Semiconductor Technology Network & Technology Comms, Utilities Digital Medical Health sharing risks, andassuring outcomes. solutions, lowering total cost ofownership, taking responsibility for complex domain-speci and sustainablerelationships withclientsby Delighting ourclients: value for eachoftheminuniqueways. growth story. S3resonates withthem,creating Our stakeholders play avitalrole inscriptingour OurFutureCharting Together of S3. re Communications andUtilitiesclients. This network andserviceoperation centers for build operational supportsystems andmanage with ouracquisitionofSoftential, allows usto record innetwork plananddesignthatcombined Operations space,we have anexcellent track Plan-Build-Operate: industries. aftermarket (Maintain) servicesfor clientsacross capabilities withproduct realization (Build)and combine ourstrong engineering(Design) engineering andmanufacturing space,we Design-Build-Maintain: strategy: The following two approaches exemplify ourS3 fl ects asthePlan-Build-Operate articulation Design Plan In theNetworks and Build Build S3 allows usto builddeep In theproduct Operate Maintain fi c 39 Annual Report 2014-15 cyient.com innovative, industry-changing technologies. also ableto engagewithnew clientsaswell as avenues for skillsacquisition.Ourassociatesare growth, openupnew leadership roles andprovide create innovative opportunities for individual ‘One Cyient’ globalculture andS3Strategy, we Ensuring employee success: quality ofearningsfor ourinvestors. growth, increased return oninvestment andhigh e and buildleadership inourfocus verticals, these we apply ournew strategy to scale,di Further strengthening investor con ff orts helpusdeliver accelerated, non-linear Supported byour fi dence: ff erentiate, As over thenext S3 willunderpinCyient’s growth andsustenance Growth Achieving Leadership through Aggressive di will beagamechanger, empowering usto achieve Tomorrow Together 2020 visionandachieve ourgoalof focus andcommitment, we seekto realize our con ff erentiation andmarket leadership with fi dence. By executing thestrategy withclear fi ve years. We with ourstakeholders. fi rmly believe thatit Designing 40 Annual Report 2014-15 cyient.com Human Resource Management Changesininternalhiringprocesses have • Asinglefunctionalunitcalled‘Business • Aspartofourtalentacquisitioninitiative, in • Year 2014-15 Major initiatives Implemented DuringtheFiscal and nurturing high-quality talent. Together’ works towards attracting, retaining, the company visionof‘DesigningTomorrow employer ofchoice.OurHRteam,insync with We strive to maintainourpositionasthe Workforce Becoming theEmployer ofChoice for aGlobal Ourinitiative to provide seamless • Inthelast • increase ofover 5%ininternalful issues). Based onthis, we have seenan (provided there are noclientcon boosted thelateral movement ofpeople person withtheright opportunity. now better ableto matchthemostskilled retraining, andredeployment e deployment. By aligningourrecruitment, learning anddevelopment, andtalent HR functionssuchastalentacquisition, Ful broader community. and alsocreate apositive impactonour attract thebest- for hiringmanagers. The program aimsto FY14-15, we launchedacerti senior managementand frontline associates. with enthusiasticparticipation from boththe our enterprisesocialplatform was asuccess, communication across globalteamsthrough levels ofpeoplemanagementresponsibility. launched for managers entrustedwithhigh improving teammanagementcapability was fi llment’ was created integrating various fi scal year, aninitiative for fi t peopleto the organization fi cation program ff orts, we are fi dentiality fi llment. needs andtheenvironment, softskilltraining Based onclientfeedback, changingbusiness practices andprocesses, work ethicsandvalues. induction training to understand organizational the timeofonboarding, associatesundergo Promoting continuous learning: areas ofgrowth. this approach, enablingthemto focus onspeci team. We evaluated thetop 85leaders through the leadership capability ofourmanagement approach, we create actionableplans to improve implementing the360-degree feedback Ensuring 360-degree feedback: Organization Initiatives to Foster Centric aLearning our peoplepractices across theglobe. platform andlaunch initiatives complementing to bringtogether ourglobalteamsonauni associates. Asalways ourprimarypriority willbe opportunities to retain ourmostvaluable client engagementaswell ascreate growth to deliver optimalclientsolutions, enhance During FY15-16,ourkey prioritieswillbe HR Initiatives for FY2015-16 leads to improved clientexperience andsuccess. with highemployee engagementthat,inturn, Our continued focus isto create anenvironment providing new learningandgrowth opportunities. HR functions, from recruiting thebesttalentto healthy talentmanagementpractices across all From ourinception,we have triedto incorporate Practices Realizing ourBusinessGoalsthrough Best By By Right from fi ed fi c 41 Annual Report 2014-15 cyient.com through theinternal jobpostings. 78%. Ofthetotal associates, 2.6%were rotated of Engineeringemployees was 72%andDNO fi and performance. During the2014-15 productivity andenhancedemployee satisfaction Our initiatives andprograms ledto improved Performance Initiatives for EnhancingProductivity and technologies are alsoconducted periodically. subject matter experts onemerging skillsand solutions. Additionally, training sessionswith innovation anddevelopment ofhigh-quality functions andgeographies. This facilitates work together onareas ofimprovement across associates collaborate, share knowledge and Creating collaborative learningplatform: pollination ofideas. is alsomonitored closely to promote cross- technical training courses. Internaljobrotation provided accessto onlineleadership andother process leaders. Additionally, associates are also of knowledge through training sessionswith and frequent context-based learningandtransfer addressed through speci time. Employee capability enhancementis sessions are alsoconducted from time-to- nancial year, thetotal utilization percentage Utilization Engineering 72 % were rotated through internal jobposting 2.6% fi c learninginitiatives 78 Utilization DNO % Our presently standsat19.7%. experience. The attrition level inthecompany (68%) were peoplewithmore thantwo years with lessthanoneyear ofexperience and2,645 was 3,877ofwhich1,231(32%)were employees The total numberofnew hires inthecompany Sta structured leadership development program. of assessments, thetop 85leaders gothrough a Business LeaderProgram (BLP).Oncompletion team inmiddlemanagementisinductedinto the Leadership Program (ELP).The highpotential process, andare inductedinto theEmerging identi program. Associateswithhighpotentialare role, undergo theFirst Time Manager (FTM) individual contributor to teamleader/manager At Cyient, associatestransitioning from leaders. classroom training, andguidancefrom senior planning, learning-in-action,e-learning, at Cyient constitute individual development and future needs. The Leadership programs establishing arobust talentpipelinefor present Our leadership development program focuses on Building theLeaders ofTomorrow Experience >2 year 68% 2014 -2015 ffi ng Trends for FY2014-15 fi ed early onthrough arigorous selection New Hires 3,877 Attrition Level 19.67% 2014 -2015 Experience <1 year 32% 42 Annual Report 2014-15 cyient.com revised methodology. managers were trained andcerti assessment practices. Over 400interviewing Overall, theprocess improved andstandardized and behavioral competency assessment. competency-based interviewing for technical candidate. Additionally, we introduced organization, location,androle processes byemphasizing factors suchas We strengthened andimproved ourrecruitment Improved Recruitment Processes Learning andDevelopment CenteratCyient Gachibowli Campus, Hyderabad fi t ofeach fi ed onthe 21 At Cyient we are committed to equalopportunity. Opportunity Reiterating to OurCommitment Equal Associates Women % 11 Nationality Non-Indian % 43 Annual Report 2014-15 cyient.com Quality AndInnovation The Aerospace BusinessUnit,basedin • Management Systems). as well asISO27001:2005(Information Security ISO 9001:2008(Quality Management Systems), We are alsoBVCI certi Management) for the 18001:2007 (Occupational HealthandSafety 2004 (Environmental Management) andOHSAS Pvt. Ltd. (BVCI) for compliance withISO14001: certi Our Melbourne, o Quality Certi Attract, train, andretain talentedprofessionals • Achieve continuous process improvement and • Provide industryleadingsolutionsandservices • Establish delivery excellence focused on • and sta following quality objectives leadourorganization processes andresult inclientdelight.The provide innovative solutionsthatdeploy robust pro client expectations andimprove business engineering servicesandsolutionsthatexceed We are committed to creating anddelivering Quality Strategy Ensuring ClientDelight withaComprehensive (Aerospace Quality Management Systems). DQS Inc.for compliance withAS 9100Rev C Hyderabad andBangalore, iscerti through active employee engagement operational excellence and methodologies by leveraging cutting edgetools, technologies, ensuring clientdelight fi tability. Ourquality strategy aimsto fi ed byBureau Veritas Certi ff : fi cations andCompliance fi fi rst time. ed for compliance with ffi ce has been fi cation (India) fi ed byUL engagement ofmanagers, SMEs, and associates. that promotes innovation through theproactive We strive to buildanenterprise-wideculture Our Innovation Roadmap andCulture the Quality Operating System ofUTC. software development solutions. ACEserves as o Technology Corporation (UTC). UTCdivision Excellence (ACE) GoldLevel’ byourclient,United at thehighestlevel –‘Achieving Competitive except UTAS-ESSE group have beenassessed All ofouroperating groups underUTCdivision Ourbusinessoperating system, BESt • The company’s software development, • The Communications Division, basedin • The Medical Division inHyderabad iscerti • The Rail Division inHyderabad andBangalore • ff ers various engineeringservices, andIT and continual process improvement. quality tools andpractices for problem solving and pro framework encourages continual improvement Best-in-class level (highestlevel). The BESt 51% oftheidenti has beendeployed across thecompany. Over (Business Excellence andStandardization), CMMI Dev. 1.3modelatLevel 3. Noida, andBangalore have beenappraised with projects oftheITdivisions atHyderabad, veri standard). compliant withTL9000R5.0(Telecom Hyderabad andParagould, AK(USA) is Devices Quality Management System). for compliance withISO13485:2003(Medical (International Railway IndustryStandard). is certi fi cation andvalidation andmaintenance fi ed for compliance withIRISRev2 fi table growth, usingstandardized fi ed cellsare atAdvance or fi ed 44 Annual Report 2014-15 cyient.com us arrive atthisgoal. management tool across theorganization helped activity for implementingane partners. Deploying theLeapfrog innovation external experts, andourcoveted technology universities, localstartups, industryassociations, government R&D agencies, leadingresearch Our stakeholders includeourclients, associates, level innovation involving various stakeholders. have madereal progress ininitiatingecosystem innovation atCyient duringthis We have alsoachieved new heightsindriving ideas. to improvements aswell as sparkgroundbreaking framework thatinspires associatesto contribute year. We believe inourorganizational innovation per person, upfrom 17%intheprevious in a24%increase ofnew implementableideas problem identi continuous focus ondriving aculture ofproactive person peryear’ goalthatwe setlastyear. Our progress inimplementingour‘one ideaper This and future business. systematic innovation thatimpactourcurrent productivity gains, process improvements, and active IP/patents portfolio withakeen focus on Our primaryobjective isto create ahealthy and fi nancial year, we have madesigni 2013-2014 17 Per Person New ImplementableIdeas fi cation andideationhasresulted % 24 2014-2015 ff ective innovation fi nancial year. We % fi cant fi nancial Developed enterprise-wideInnovation Index • Appliedfor in-houseR&D recognition from • Impactofourinnovation initiatives amongour • • Annual e fi indigenous IP. Some ofourkey achievements this technology deployment projects basedonour establish anactive portfolio ofover 12internal steadfast focus oninnovation hasenabledusto as aplatform for e house ‘IdeaManagement Application’ thatserves business challenges. We alsodeveloped anin- our key accounts to helpourclientssolve their We establishedinnovation councils for 25of Notable Initiatives andAchievements nancial year include: the organization parameters and activities across allteams in of various innovation-related operational calculator for continuous measurement beyond signi Research, (DSIR)Govt. ofIndiafor gaining Department ofScienti last year associates: 61%compared to 38.88%inthe as opposedto 357,523inthelastyear Associates Activities on Innovation Impact of fi Annual E cant taxadvantages for FY2015-16and 2013-2014 357,523 ff ort optimization inhours: 4,43,506 ff ort Optimization (Hours) ff ective ideageneration. Our fi c andIndustrial 2014-2015 443,506 38.8% 61% 2013-2014 2014-2015 45 Annual Report 2014-15 cyient.com include: for whichwe have our IPportfolio. Afew key ideasandsolutions evaluate furtherpossiblecommercialization of additive manufacturing. We have alsobegunto designing hollow turbomachinery bladesfor automated process thathasbeendevised for One ofourkey patentapplicationsisfor aunique assets were co-created withourclients. were submitted independently byuswhilenineIP This Patents Portfolio Ensuring aRobust Intellectual Property & Winneroftheprestigious EngineeringServices • • We were Air quality monitoring inastaticautomobile Information Systems data andcoverage analysis inGeographical A system andmethodfor importationofraster solution GIS product version upgrades management in aircrafts A system andmethodfor explosive detection Independent filings industrial SCADA security technology domain with theprimaryheavy engineeringon global patentrightstransfer process initiated one ofourclients)for thethird time.Our OEM Supplier Innovation Award (given outby Innovation Award 2014 fi scal year, we fi 9 co-created withourclients 17 submitted independently byCyient 26 nalists attheCIIIndustrial PATENTS FILED fi led patentsthis fi led 26patents. Ofthese,17 fi scal year fi rst 100 150 200 250 300 350 400 of theLastTwo FinancialYears Showcasing Performance: AComparison 100000 200000 300000 400000 500000 1. Productivity aids/paper publicationsand 2. People participationininnovation 50 lifting tool Engineering-Aerospace &Defense A novel designofanaftpressure bulkhead Side BogiesFrame -EngineeringRolling Stock computations inRail -Transfers Frame and A software program for bendingstress Co- 0 patent application projects vs. productivity gains 0 No. ofProductivity 338 fi Improvements lings 4,666 People Participation 354 7,510 fi 44 o fPpr No. ofPatents No. ofPapers led 56 03-21 2014-2015 2013 -2014 03-21 2014-2015 2013 -2014 357,523 Revenue Saved (Hours) 17 443,406 26 46 Annual Report 2014-15 cyient.com 3. Innovation-led productivity gainsin and BoeingResearch andTechnology group. collaboration withalocalstart-up, IITHyderabad, technology R&D consortium isbeingplanned in applications for speci great ideasfrom associatesto develop custom The challengewas launchedto encourage Unmanned Aerial Vehicle (UAV) Organizational Innovation Challenge: environment. while simultaneously creating amapofthe software to track thefull3Dmotionofadevice devices contain customized hardware and capabilities onProject Tango. Project Tango for developing technology demonstration We have initiatedaninternalinnovation project Mapping Service Capabilities Project Tango Challengeto Incubate Indoor Other NotableInitiatives e ff Saving inHours for FY2014-15 ort hours 312K Generated New Ideas N DNO ENG Globally 130 439K fi c problems. Adrone 127K vy 4. Innovation-led productivity gains now beingdeveloped asabetasolution. other from Engineering.The top nineideasare two top ideas-onewas from ourDNO unitand rounds ofeliminationsbefore we arrived atthe Engineering, Utilities, andmore. There were two These ideashave come from Aerospace, Heavy the organization from various geographies. reality. Intotal, 130ideaswere generated across solve problems ofourclientsusingaugmented innovation challengeto come upwith ideasto Associates ofourcompany undertook an Augmented Reality Organizational Innovation Challenge: emerging technology space. and enableusto startanew servicelineinthis may soongenerate traction withour clients and external innovation campaignthatwe ran be used.We believe thatasuccessfulinternal associates invarious areas where UAVs can our engineeringandbusinessdevelopment We alsoprepared apositionpaperto educate in USD Saving inUSDfor FY2014-15 3,583K N DNO ENG 9,955K 6,372K 47 Annual Report 2014-15 cyient.com Responsibility (CSR) CorporateCYIENT Social the environment, andhealthcare systems. about sustainablechanges through education, to creating andsupportingprograms thatbring the community around usbystaying committed Achieving long-term,holisticdevelopment of Mission development projects. social innovation, andinvest inenvironmental participate inprojects withbusinessaligned To facilitate accessto quality education, Vision attendance, retention andpassoutrate. initiative, we aimto increase student enrolment, teaching aids, teachingsta brick andmortarbuildings, libraries, laboratories, provide infrastructural support thatincludes preferred placeoflearning.To achieve this, we Government schoolswe have adopteda self-reliant people.Ourgoalisto make the level for building asustainablesociety with or administrative supportattheinstitutional We understand theneedfor basicorganizational Strategy during thecurrent year. initiatives. The CSR spendwas increased to 2% over 1%ofitsnetpro philosophy was thebasisfor CYIENTspending businesses thatexist withinthatcommunity. This the society isvitalto thesustainedgrowth of We believe thatcontinued development of fi ts inthepasttowards CSR ff , etc.Through this Training moduleshave been developed in • 3000community members, onefrom each • Cyient’s NationalDigitalLiteracy Mission • Digital Literacy Drive • Contributed • Contributed • Spent • Spent • Funded • Contributed Cumulative expenditure of • 2014-15 CSR Highlights association withNASSCOM. Internet. or adigitaldevice suchasatablet,andusethe family, willbetrained to operate acomputer citizen services. facilitate deployment ofdigitally-enabled communities through digitalliteracy and (NDLM) aimsto empower neighborhood at improving theiremployability skills training ofengineeringgraduates aimed for thecommunity Digital Literacy Mission,anITliteracy initiative education intheschoolsadopted being intheschoolsadoptedbyus innovative initiatives atLV Prasad Eye Institute of total support for heartpatients sanitation initiatives inthecommunity, and (AP) ChiefMinister’s Relief Fund for fi nancial year ` ` 8.14Mninimproving quality of 5.76Mntowards hygiene andwell- ` ` 25Mncontribution towards 5Mntowards our5year commitment ` ` ` 6.91Mntowards knowledge and 3.07Mnto supporttheNational 6.7Mntowards Andhra Pradesh ` 35.58Mninthe fl ood relief, 48 Annual Report 2014-15 cyient.com The foundation hasidenti • The Cyient Foundation (formerly Infotech • Supporting Employability The training program willbedeployed infour • Students will alsobeo • relevant skills. students andequipsthemwithindustry- Development initiative grooms engineering Enterprises CharitableTrust) through itsSkill phases. The programs willbeprovided. of Hyderabad where specialized training from 19engineering colleges inthevicinity phase. opportunities atCyient attheendoffourth advanced technicaltraining. communication andlife skillsalongwith fi rst phasewillfocus on providing ff ered employment fi ed 3,500students Cyient Foundation hasalsoadoptedthe • Since2007,we have adopted13schoolsinand • Cyient hasbeenworking towards improving • Empowering the Future ofIndia We are alsoleveraging ourengineering • The foundation hascommitted • The Cyient Foundation supportsthe • Improvement Business Innovation to Support Societal students every year. employment opportunities to meritorious 2,000 diplomastudents. We alsoprovide Andhra Polytechnic College supportingover through to high school. 10,000 children from thepre-primary stage around ourfacilities, supportingmore than adoption ofgovernment schoolsandcolleges. the quality ofeducationinIndiathrough the products for diagnosingeye diseases. capabilities to supportdevelopment ofnew the eye institute. ` and capabilitiesinthe research, development ofnew practices, tools, We provide infrastructure supportto facilitate Innovation Centre atLV Prasad Eye Institute. 25 Mnover aperiodof5years to fi eld ofOphthalmology. 49 Annual Report 2014-15 cyient.com More than 2000enthusiasticCyient CSR • The Cyient Foundation activities alsohelped • 52%ofourstudents are girls, outofthetotal • Whilethedrop outpercentage hasdecreased • volunteers contribute towards realizing the community where ourschoolsare located. generate employment opportunities inthe enrolled atCyient schoolsasof2014-15. whopping 82.7%. rate hasalsoimproved from amere 28%to a when theactivity started.The overall passout has increased to 23%from the13%in2007, from 15%to 4%,therate ofnew admissions furniture for thesta towards furniture thatincluded60dualdesksand Gachibowli, Hyderabad anddonatedEuros 3,050 visited Cyient Foundation Adopted Schoolat VolkerWessels Telecom seniormanagement Cyient CSR Activities Client Support towards impact onachild’s future. community abouteducation,anditssocial awareness amongstparents andthe local dreams ofthesechildren. They helpraise ff . 50 Annual Report 2014-15 cyient.com New Admissions(%) No. ofChildren Supported No. ofSchoolsSupported 5010,000 7500 21 2012-13 Drop Outs 2012-13 4 % %

13 Overall Pass (%) 8000 22 031 2014-15 2013-14 2013-14 % 2012-13 2013-14 2014-15 23 2014-15 79 81.2 82.7 % % % % 51 Annual Report 2014-15 cyient.com Pass %for Girls Enrollment %ofGirlStudents 2014-15 2013-14 2012-13 Teaching Sta 70 80 021 031 2014-15 2013-14 2012-13 51 01020304050 % ff 2012-13

70% 031 2014-15 2013-14 3 73.5% 73% 52 % 52.5 % 53

52 Annual Report 2014-15 cyient.com .Toconsiderandifthoughtfittopasswithorwithout 7. Special Business Toconsiderandif thoughtfittopasswithorwithout 6. ToappointaDirectorinplaceofMr.Shankar Narayanan 5. ToappointaDirectorinplace ofMr.ThomasW.Prete 4. ToappointaDirectorinplace ofMr.AlainDeTaeye, 3. Toconfirmtheinterimdividendpaidduringyear 2. Toreceive,considerandadopt: 1. Ordinary Business 032, Telangana,totransactthefollowingbusiness: Campus), PlotNo.2,ITPark,Manikonda,Hyderabad-500 16 July2015at2.30p.m.L&DCentre(Company's of theshareholderscompanywillbeheldonThursday, Notice isherebygiventhatthe24thAnnualGeneralMeeting Notice ofAnnualGeneralMeeting resolution modification(s), thefollowingresolution asanordinary and theauditors." agreed betweentheboardofdirectorscompany travelling andlivingexpenses,asmaybemutually remuneration plusservicetax,out-of-pocket, AGM oftheCompanytobeheldinyear2016atsuch (AGM), toholdofficeuntiltheconclusionof25th company, madeatthe23rdAnnualGeneralMeeting (Firm RegistrationNo.008072S)asauditorsofthe M/s. DeloitteHaskins&Sells,CharteredAccountants company herebyratifiestheappointmentof thereunder, asamendedfromtimetotime,the Companies Act,2013andtheRulesframed 139 andallotherapplicableprovisions,ifany,ofthe "RESOLVED thatpursuanttotheprovisionsofsection ordinary resolution modifications(s), thefollowingresolutionasan himself forre-appointment. (DIN 00219212),whoretiresbyrotationandoffers himself forre-appointment. (DIN 06634086),whoretiresbyrotationandoffers himself forre-appointment. (DIN 03015749),whoretiresbyrotationandoffers financial year2014-15. and declarefinaldividendonequitysharesforthe theauditedconsolidatedfinancialstatementsof (b) theauditedfinancialstatementsofcompany (a) auditors thereon. 31 March2015,togetherwiththereportof the companyforfinancialyearended directors andtheauditorsthereon together withthereportsofboard for thefinancialyearended31March2015 0 Toconsiderandifthoughtfittopasswithorwithout 10. .Toconsiderandif thoughtfittopasswithorwithout 9. Toconsiderandifthoughtfittopasswithorwithout 8. resolution modification(s), thefollowing resolutionasaspecial time totime." statutory orotherauthoritiesasmayberequiredfrom Benefits) Regulations,2014,andapprovalfromany Exchange BoardofIndia(ShareBasedEmployee whether inIndiaorabroadsubjecttoSecuritiesand company (hereinafterreferredtoas"Associates"), the nominalvalueof exceeding intheaggregate8,40,000equitysharesof Associate StockOptionPlan,2015(ASOP)not as maybedecidedbytheBoardunderCyient number ofnewequitysharesinoneormoretranches constituted forthepurpose)toissueandallotsuch which termshallincludeanycommitteeofdirectors the company(hereinafterreferredtoas"theBoard", be andisherebyaccordedtotheboardofdirectors and Debentures)Rules,2014,consentofthecompany being inforce)readwiththeCompanies(ShareCapital modification orre-enactmentthereof,forthetime Companies Act,2013(includinganystatutory section 62andotherapplicableprovisions,ifany,ofthe "RESOLVED THATpursuanttotheprovisionsof resolution modification(s), thefollowingresolutionasaspecial four yearswitheffectfrom16July2015." independent directorofthecompanyforaperiod appointment, beandisherebyappointedasan in section149(6)oftheActandwhoiseligiblefor who meetsthecriteriaforindependenceasprovided from timetotime,Ms.AndreaBierce(DIN06997266), 2014, readwithScheduleIVtotheAct,asamended (Appointment andQualificationofDirectors)Rules, the CompaniesAct,2013(Act)and 149, 152,160andotherapplicableprovisions,ifany,of "RESOLVED thatpursuanttotheprovisionsofsections resolution modification(s), thefollowingresolutionasanordinary four yearswitheffectfrom16July2015." independent directorofthecompanyforaperiod appointment, beandisherebyappointedasan in section149(6)oftheActandwhoiseligiblefor who meetsthecriteriaforindependenceasprovided from timetotime,Mr.JohnPaterson(DIN07102549), 2014, readwithScheduleIVtotheAct,asamended (Appointment andQualificationofDirectors)Rules, the CompaniesAct,2013(Act)and 149, 152,160andotherapplicableprovisions,ifany,of "RESOLVED thatpursuanttotheprovisionsofsections ` 5eachtotheassociatesof 53 53 Annual Report 2014-15 cyient.com 1 Toconsiderandifthoughtfittopasswithorwithout 11. .TheRegisterofMembers andtheShareTransferBooks 2. Ashareholderentitledtoattendandvote attheAnnual 1. Notes company shallberevisedasunder: Mr. B.V.R.MohanReddy,ExecutiveChairman)ofthe Corporate Affairs&Infrastructure(relativeof remuneration ofMr.B.AshokReddy,President- (Meetings ofBoardanditsPowers)Rules,2014,the the CompaniesAct,2013,readwith section 188andotherapplicableprovisions,ifany,of "RESOLVED THATpursuanttotheprovisionsof resolution modification(s), thefollowingresolutionasaspecial time totime." statutory orotherauthoritiesasmayberequiredfrom Benefits) Regulations,2014,andapprovalfromany Exchange BoardofIndia(ShareBasedEmployee whether inIndiaorabroadsubjecttoSecuritiesand associate (hereinafterreferredtoas"Associate"), subsidiaries ofthecompany,jointventureand the nominalvalueof exceeding intheaggregate3,60,000equitysharesof Associate StockOptionPlan,2015(ASOP)not as maybedecidedbytheBoardunderCyient number ofnewequitysharesinoneormoretranches constituted forthepurpose)toissueandallotsuch which termshallincludeanycommitteeofdirectors the company(hereinafterreferredtoas"theBoard", be andisherebyaccordedtotheboardofdirectors and Debentures)Rules,2014,consentofthecompany being inforce)readwiththeCompanies(ShareCapital modification orre-enactmentthereof,forthetime Companies Act,2013(includinganystatutory section 62andotherapplicableprovisions,ifany,ofthe "RESOLVED THATpursuanttotheprovisionsof of thecompanywillremainclosed from13July2015 person orshareholder. then suchproxyshallnotactasaforanyother share capitalofthecompanycarryingvotingrights, by ashareholderholdingmorethan10%ofthetotal company. Incaseaproxyisproposedtobeappointed more than10%ofthetotalsharecapital exceeding fifty(50)andholdingintheaggregatenot person canactasproxyonbehalfofshareholdersnot hours beforethecommencementofAGM.A the RegisteredOfficeofcompanynotlessthan48 elsewhere intheannualreport)shouldbedepositedat proxy neednotbeamember.Theform(available to attendandvoteonapollbehalfofhimthe General Meeting(AGM)isentitledtoappointaproxy ` 5eachtotheassociatesof Website: www.cyient.com Email: [email protected] Secretary Company CIN: L72200TGP1991PLC013134 Telangana Madhapur, Hyderabad500081 Software UnitsLayout,Infocity, 4th Floor,AWing,PlotNo.11, Registered Office 23April2015 : Date Hyderabad : Place .Final dividendof 4. .TheBoardofDirectorsthecompanyhaddeclared 3. .AnExplanatoryStatementpursuanttoprovisions of 5. 100% onfacevalueof said interimdividendistobeconfirmedattheAGM. 2014. Thesamewaspaidon29September of 60%onfacevalue an interimdividendof the AGMandforpurposeoffinaldividend. to 16July2015(bothdaysinclusive)inconnectionwith .Thepresentincreaseandanyfurtherrevisionin 4. Theremuneration willbegovernedbytheRules 3. .Totalremuneration(includingallallowances, 2. Theincreasedremunerationshalltakeeffectfrom 1. section 102oftheCompanies Act,2013(Act),is Dividend willbepaidon1August 2015. as atthecloseofbusinesshourson10July2015. names appearonthecompany'sRegisterofMembers at theAGM,willbepayabletothosememberswhose March 2015asrecommendedbytheBoard,ifdeclared regard, asapplicable". after obtainingallnecessaryapprovalsinthis the aboveremunerationwillbeeffectiveonly the companyfromtimetotime. applicable totheothernon-relativeassociatesof and Regulationsofthecompanyasmaybe a fouryearperiod. annum asperindustrytrendsandpractices,over (Rupees OneCroreandfortylakhsonly)per may progressivelygoupto annum forthefirstyearandremuneration than fund, superannuationetc.,)shallnotbeless benefits, amenities,facilities,gratuity,provident 1 April2015. ` 1,00,00,000/-(RupeesOneCroreonly)per ` 5.00persharei.e.,attherateof ` ` 3.00pershare 5each,fortheyearended31 ` 5each,on11September ByOrderoftheBoard Sudheendhra Putty ` 1,40,00,000/- i.e. , attherate 53

54 Annual Report 2014-15 cyient.com 2 InaccordancewiththeMCA's"GreenInitiative in 12. Thecertificatefromtheauditorsofcompanyunder 11. Shareholderswhowishtoclaimunclaimeddividends 10. ShareholdersarerequestedtooptforNECS(National 9. Shareholdersholdingsharesinphysicalformmaywrite 8. Shareholdersdesirousofobtaininganyinformation 7. Shareholders/proxiesarerequestedtobringtheir 6. annexed. Directors underItemNos.3,4,5,7and8abovearealso persons seekingappointment/re-appointmentas Agreements enteredwiththeStockExchanges,of details asrequiredbyClause49oftheListing heretofortheitemNos.7to11.Therelevant annexed Agreement withtheStockExchanges, thecompanyis mode andrelatedamendments totheListing documents withitsshareholders intheelectronic Corporate Governance"allowing companiestoshare shareholders attheAGM. amended, willbeavailableforinspectionbythe Stock PurchaseScheme)Guidelines,1999,as SEBI (EmployeesStockOptionSchemeandEmployees Protection Fund. 1956, betransferredtotheInvestorEducation provisions ofSection205AtheCompaniesAct, company's UnpaidDividendAccount,willasperthe claimed within7yearsfromthedateoftransferto requested tonotethatdividendsnotencashedor company's registeredoffice.Shareholdersare Mr. N.RaviKumar,DeputyCompanySecretary,atthe of thepastyears,arerequestedtocorrespondwith holding sharesinphysicalform. same maybeusedbythoseshareholderswhoare ECS isavailableelsewhereintheannualreport.The is costeffectiveandalsosavestime.Mandateformfor the dividendinahasslefreemanner.OptingforNECS details withtheirDepositoryParticipantsforreceiving Shareholders maypleaseupdatetheirbankaccount Electronic ClearanceService)forreceiptofdividend. their correctaddresses. enable thecompanytodispatchdividendwarrantsat to theirdepositoryparticipantsimmediatelysoas holding sharesinelectronicformmayinformthesame in theiraddressandbankmandates;shareholders to thecompany/company'sR&Tagentsforanychange requested maybemadeavailable. before thedateofAGM,sothatinformation registered officeofthecompanyatleastsevendays company arerequestedtosendtheirqueriesthe concerning theaccountsandoperationsof AGM. Copies oftheAnnualReportwillnotbeprovidedat attendance slipdulyfilledinforattendingtheAGM. copies oftheAnnualReporttoAGMand 4 Incompliancewiththeprovisionsofsection108 14. TheSecuritiesandExchangeBoardofIndia(SEBI)has 13. communications. their e-mailaddressesforreceivingelectronic support thisgreeninitiativebyregistering/updating to bytheshareholders.Shareholdersarerequested electronic mode,whereverthesamehasbeenagreed sharing alldocumentswithshareholdersinthe i Enterthelogincredentials(i.e.,user-id& ii) Openyourwebbrowserduringthevotingperiod i) follows: The procedureandinstructionsfore-votingareas and transparentmanner. Scrutineer toscrutinizethee-votingprocessinafair (Membership No.FCS3935)hasbeenappointedasthe Mr. S.Chidambaram,PractisingCompanySecretary respect ofallresolutionssetforthinthisNotice. provided byKarvyComputersharePrivateLimited,in vote electronically,throughthee-votingservices shareholders areprovidedwiththefacilitytocasttheir Rules, 2014andClause35Bofthelistingagreement, Act, theCompanies(ManagementandAdministration) details tothecompany/R&TAgents. holding sharesinphysicalformmaysubmittheirPAN maintaining theirdemataccounts.Shareholders their DepositoryParticipantswithwhomtheyare format, therefore,requestedtosubmittheirPAN market. Shareholdersholdingsharesinelectronic Number (PAN)byeveryparticipantinsecurities mandated thesubmissionofPermanentAccount User – ID For shar For User – ID Your folio/DPClientIDwillbeyourUser-ID. password) mentionedonthePostalBallotForm. and navigateto'https://evoting.karvy.com' ath Enter Captcha Password )IDForshareholdersholdingshares c) ForCDSL:-16digitsbeneficiary b) ForNSDL:-8CharacterDPID a) Demat Form:- security reasons. exact wayastheyaredisplayed for enter thelettersandnumbers inthe notice forwarded throughtheelectronic the PostalBallotForm/viaemail Your Uniquepasswordisprintedon in PhysicalForm:- followed by8DigitsClientID  the Verificationcode company Number registeredwiththe Event no.followedbyFolio eholders holdingsharesin i.e. , please 53 55 Annual Report 2014-15 cyient.com board shareholdersfortheapproval. as independentdirectorisnow beingplacedbeforethe with scheduleIVtotheAct, appointmentofMr.Paterson In compliancewiththeprovisions ofthesection149read director andtheyareindependentofthemanagement. Rules framedthereunderforappointmentasindependent Mr. PatersonfulfilstheconditionsspecifiedinActand section 149(6)oftheAct.Inopinionboard, he meetsthecriteriaofindependenceasprovidedunder Mr. JohnPatersonhasgivenadeclarationtotheboardthat the Act. of thecompanyon15October2014undersection161 Mr. JohnPatersonwasappointedasanadditionaldirector Independent Director Item No.7:AppointmentofMr.JohnPatersonas Explanatory StatementpursuanttoSection102oftheCompaniesAct,2013 i Incaseoffirstlogin,shareholdersholdingshares vi) Afterenteringthesedetailsappropriately,clickon v) Shareholderscancasttheirvoteonlinefrom iv) iii) utmost caretokeepyourpasswordconfidential. your passwordwithanyotherpersonandtake forget it.Itisstronglyrecommendednottoshare choice toretrieveyourpasswordincaseyou enter theSecretQuestionandanswerofyour mobile #,emailIDetconfirstlogin.Youmayalso password andupdateanycontactdetailslike platform. Systemwillpromptyoutochangeyour Karvy ComputersharePrivateLimitede-Voting provided thatCompanyoptsfore-votingthrough Company onwhichtheyareeligibletovote, holders forvotingresolutionofanyother note thatthispasswordcanbeusedbytheDemat numeric value(0-9)andaspecialcharacter.Kindly one uppercase(A-Z),lower(a-z), minimum eightcharactersconsistingofatleast new passwordfield.Thehastobe mandatorily changetheirloginpasswordinthe Change menuwhereintheyarerequiredto in Demat/PhysicalformwillnowreachPassword "LOGIN". electronically. cut-off dateof9July2015,maycasttheirvote either indematerializedorphysicalformasonthe shareholders ofthecompanyholdingshares July 2015(5.00PM). Monday, 13July2015(9.00AM)toWednesday,15 any furtherassistance/clarifications. Nukala, e-mail:[email protected] [email protected] /Mr.RaviKumar or mailtoMr.MohdMohsinUddin,e-mail: contacttollfreeNo.1-800-34-54-001 Please Duringthisperiod, Your Directorsrecommendthe resolutionforyourapproval. 7 oftheaccompanyingNotice. KMP isconcernedorinterested intheResolutionatItemNo. Managerial Personnel(KMP) or relativesofdirectorsand Except Mr.Paterson,noneoftheDirectorsorKey company duringnormalbusinesshours. are availableforinspectionattheregisteredofficeof appointment andtermsconditionsofthe Mr. Patersonisadirector/member,theletterof The namesofcompaniesandthecommitteesinwhich section. ` appointment ofMr.JohnPatersonalongwithadeposit from ashareholdersignifyinghisintentiontoproposethe Pursuant tosection160oftheAct,noticehasbeenreceived 1,00,000(Rupeesonelakh)asrequiredundertheaforesaid xiii) Onceyou'CONFIRM' yourvoteontheresolution, xii) Afterselectingtheresolutionyouhavedecided xi) Onthevotingpage,youwillseeResolution x) IfyouareholdingsharesinDematformandhad ix) Onsuccessful viii) againwiththenewcredentials. Youneedtologin vii) format "CorporateName_Eventno." beinthenaming the BoardResolutionshould [email protected] file/scannedimageof to [email protected] Board resolutiontotheScrutineerthroughe-mail required tosendscan(PDFformat)oftherelevant Fls/Flls/Trust/Mutual Funds/Banks,etc)are Corporate/Institutional Members(corporate/ you willnotbeallowedtomodifyyourvote. CANCEL "andaccordinglymodifyyourvote. click on"OK",elsetochangeyourvote," will bedisplayed.Ifyouwishtoconfirmyourvote, to voteon,clickon"SUBMIT".Aconfirmationbox 'ABSTAIN' shareholder doesnotwanttocast,select not exceedyourtotalshareholding.Ifthe number in'FOR/AGAINST'takentogethershould in 'FOR'andpartially'AGAINST',butthetotal alternatively youmaypartiallyenteranynumber votes) under'FOR/AGAINST/ABSTAIN'or number ofshares(whichrepresents 'FOR/AGAINST/ABSTAIN' forvoting.Enterthe Description andagainstthesameoption exsiting loginidandpasswordaretobeused. cast yourvoteearlierforanycompany,then logged onto"https://evoting.karvy.com"and the 'Event'i.e.,'CompanyName'. login, systemwillprompttoselect 53

56 Annual Report 2014-15 cyient.com Regulations, 2014areasfollows: Exchange BoardofIndia(ShareBasedEmployeeBenefits) Specific disclosuresasrequiredundertheSecurities& Stock OptionPlan,2015’. The companyproposestosetupanew‘CyientAssociate Item No.9&10:AssociateStockOptionPlan,2015 Your Directorsrecommendtheresolutionforyourapproval. the accompanyingNotice. concerned orinterestedintheResolutionatItemNo.8of Personnel (KMP)orrelativesofdirectorsandKMPis Except Ms.Bierce,noneoftheDirectorsorKeyManagerial normal businesshours. for inspectionattheregisteredofficeofcompanyduring and termsconditionsoftheappointmentareavailable Ms. Bierceisadirector/member,theletterofappointment The namesofcompaniesandthecommitteesinwhich section. ` appointment ofMs.AndreaBiercealongwithadeposit from ashareholdersignifyinghisintentiontoproposethe Pursuant tosection160oftheAct,noticehasbeenreceived the boardshareholdersforapproval. Bierce asindependentdirectorisnowbeingplacedbefore with scheduleIVtotheAct,appointmentofMs.Andrea In compliancewiththeprovisionsofsection149read management. independent directorandtheyareofthe the Rulesframedthereunderforappointmentas Andrea BiercefulfilstheconditionsspecifiedinActand section 149(6)oftheAct.Inopinionboard,Ms. he meetsthecriteriaofindependenceasprovidedunder Ms. AndreaBiercehasgivenadeclarationtotheboardthat the Act. of thecompanyon15October2014undersection161 Ms. AndreaBiercewasappointedasanadditionaldirector Independent Director Item No.8:AppointmentofMs.AndreaBierceas 1,00,000(Rupeesonelakh)asrequiredundertheaforesaid a Inordertoattractandretainqualified,talented (a) and abroad. subsidiaries, jointventuresand associatesinIndia granted totheassociatesof companyandit's allot equitysharesagainstthestockoptionstobe an appropriatenumberofsharesthereunderto (hereinafter knownas"Regulations")andreserved modifications thereinfromtimetotime) Benefits) Regulations,2014(includingany Exchange BoardofIndia(ShareBasedEmployee scheme") inaccordancewiththeSecurities& Option Plan(ASOP)(hereinaftercalled"the company hasinstitutedanAssociateStock and competentpersonnelintheCompany,your d VestingofOptionswillbeaspertheschedule (d) Allemployeesasdefinedunderthesaid (c) Thetotalnumberofoptionstobegrantedis (b) h Theoptionstobegrantedeligible associates (h) Thereshallbeaminimumgapofoneyear (g) Exercisepriceshallbethemarketasdefined (f) Themaximumperiodwithinwhichtheoptions (e) k Theschemewillbeimplementedand (k) Maximumquantumofbenefitsto beissuedper (j) Maximumnumberofoptionstobeissuedper (i) scheme. Committee ("committee")shalladministerthe The Leadership,Nominations&Remuneration eid% Period given below: Scheme. regulations shallbeentitledtoparticipateinthe in Indiaandabroad). of itssubsidiaries,jointventuresandassociates company and360,000optionsfortheassociates 840,000 optionsfortheassociatesof 12,00,000 totheassociatesofcompany( an appraisalprocessconsisting, shall bedeterminedbythecommitteebasedon accessible toeligibleemployees. available onthecompany'sinternalportaland channels. Thedetailedprocessforexerciseis of exercisepricehastobebynormalbanking period of5yearsfromthedategrant.Payment against theoptionsvestedwithinamaximum by makinganapplicationforissueofshares of vestingoptions.Optionscanbeexercised between thedateofgrantoptionsand in theRegulations. grant. 30% shall bevestedis36monthsfromthedateof 25% 20% 36 monthsfromthedateofGrant 15% 30 monthsfromthedateofGrant 10% 24 monthsfromthedateofGrant 18 monthsfromthedateofGrant 12 monthsfromthedateofGrant administered directlybythecompany. 60,000 peryear. employee underthescheme shallnotexceed 12,00,000 intheaggregate. employee peryearshallnotexceed60,000and committee fromtimetotime. other factorsasmaybedecidedbythe performance andpotential,conductsuch employee's grade,yearsofservice,present inter alia Options vesting , ofthe i.e. 53 57 Annual Report 2014-15 cyient.com fiduciary responsibilityvis-à-visthevarioussubsidiariesof infrastructure functionsinthecompany.Besides,hehas secretarial, corporatesocialresponsibility(CSR)and Infrastructure ofthecompany.Heheadslegaland Mr. B.AshokReddyisPresident-CorporateAffairsand Item No.11:Appointmenttoofficeorplaceofprofit Client IDnumbersorFolio foreaseofidentification. Shareholders whohavebeensent softcopiesofAnnualReportbye-mailarerequestedto showtheDPIDnumbersand You mayalsosendyourrequestsbyemailto Cell: +91-8978366227;Contact:Mr.N.Chowdary-Facilities Team. requested togetconfirmationthiseffectatthefollowing number: July 16,2015toenableyoureachthevenueofAGMcomfortably.Those whowishtoavailofthisfacilityare Your companywillbeprovidingtransportfacilityfromvarious strategiclocationsacrossthetwin-citiesat1.00p.m.on q TheCompanyherebydeclaresthatitshall (q) ThecompanyadoptstheIntrinsicvaluemethod (p) ThecompanyshallconformtotheAccounting (o) Thereisnosecondaryacquisition contemplated (n) Noloanwillbeprovidedforimplementationofthe (m) Theschemeinvolvesissueofnewsharesbythe (l) your approval. Your Directorsrecommendtheresolutionfor concerned intheresolutions. be grantedwilldeemedtointerestedor Personnel (KMP)towhomthestockoptionsmay accompanying Notice.TheKeyManagerial Resolutions atItemNos.9&10ofthe directors isconcernedorinterestedinthe None ofthedirectorsorrelativesother Section 62oftheCompaniesAct,2013. approval bywayofspecialresolutioninterms subsidiaries. Accordingly,theBoardseeksyour options totheemployeesofcompanyandits resolution ingeneralmeetingcaseofoffer The Regulationsprovideforaseparatespecial value ofstockoptions. been recognized,ifthecompanyhasusedfair employee compensationcostthatshallhave the Intrinsicvalueofstockoptionsand employee compensationcostcomputedusing the profitandonEPS,differencebetween disclose intheDirectors'Report,impacton for valuingthestockoptions. Policies specifiedinclause15oftheRegulations. under thescheme. scheme. company. Transport arrangementstoattendtheAnnual GeneralMeeting [email protected]. YourrequestsmustreachuslatestbyJuly13,2015. [email protected]. Website: www.cyient.com Email: [email protected] Secretary Company CIN: L72200TGP1991PLC013134 Telangana Madhapur, Hyderabad500081 Software UnitsLayout,Infocity, 4th Floor,AWing,PlotNo.11, Registered Office 23April2015 : Date Hyderabad : Place Your Directorsrecommendtheresolutionforyourapproval. accompanying Notice. interested intheResolutionatItemNo.11of or relativesofotherdirectorsandKMPisconcerned of theotherDirectorsorKeyManagerialPersonnel(KMP) Except Mr.B.V.R.MohanReddy,ExecutiveChairman,none for 2015. of theSouthernRegionConfederationIndianIndustry Mr. B.AshokReddyisChairman,SkillDevelopmentCouncil Prasad EyeInstitute,Hyderabad. Foundation isalsosupportingInnovationCentreatLV aligned initiativesaimedatgivingbacktothesociety,Cyient Polytechnic College,Kakinada.Asapartofitsbusiness education. ThefoundationhasalsoadoptedtheAndhra over 10,000childreninschoolsfromprimarytohighschool Foundation hasadopted13schoolsandpresentlysupports With Mr.AshokReddyatthehelmofaffairs,Cyient Corporate Governance. won the14thICSINationalAwardforExcellencein governance practices.Underhisleadership,thecompany and implementedrobust,effectivebestinclass Under Mr.Reddy'sstewardship,thecompanyhasdesigned global HRfunctioninthecompany. Company sinceJune1999anduntil2014,alsoheadedthe Infotech HALLimited.Mr.AshokReddyhasbeenwiththe director ontheboardofcompany'sBangalorebasedJV, the respectiveboards.Heisalsoa the companyandchairs ByOrderoftheBoard Sudheendhra Putty 53

58 Annual Report 2014-15 cyient.com Engineering. member oftheConnecticut AcademyofScienceand Engineering SeniorAdvisory Boardandisaninducted serves ontheUniversityof 'sSchoolof reputation oftheSchoolEngineering.Mr.Pretealso professional achievementsandadvancedthequality reserved foralumniwhohaveconsistentlydemonstrated School ofEngineeringAcademyDistinguishedEngineers, In 2008,hewasinductedintotheUniversityofConnecticut and J52engineeringorganizations. for outstandingmilitarycustomerserviceinleadingtheF100 business unit,hereceivedtheWilliamG.ChamberlainAward Section Engineering.WhilesupportingtheMilitaryEngines Global ServicesEngineeringandchiefengineerofHot chief engineerforOperationalMilitaryEngines,director Customer Service.Amonghisleadershiproles,heservedas held positionsofincreasingresponsibilityinEngineeringand Mr. PretejoinedPratt&Whitneyin1988andsincethenhas standard workanddevelopingtechnicalleadership. technologies, leadingcontinuousimprovementand requirements, advancingmarket-differentiating Engineering organization,withafocusoncustomer Mr. PreteisresponsibleforleadingPratt&Whitney'sglobal service ofaircraftenginesandauxiliarypowerunits. Whitney, aworldleaderinthedesign,manufactureand Mr. TomPrete Item No.4:Mr.ThomasW.Prete hours. at theRegisteredOfficeofcompanyduringbusiness De Taeye,isaDirector/Memberareavailableforinspection The namesofcompaniesandcommitteesinwhichMr.Alain Board ofTomTom. acquired byTomTomandAlainjoinedtheManagement and theAmsterdamStockExchanges.In2008TeleAtlaswas he successfullyintroducedTeleAtlasonboththeFrankfurt and asof1990AlainheadedTeleAtlas.Duringthisperiod In 1989I&MwasintegratedintotheDutchTeleAtlasgroup databases androuting. IT consultancy,hecontinuedhisworkondigitalmap Informatics &ManagementConsultants(I&M)wherenextto Business SchooloftheGentUniversity,hefounded research workinthefieldofOperationsResearchat architect fromtheUniversityofGent.Afterhavingdone Mr. AlainDeTaeye, Item No.3:Mr.AlainDeTaeye BRIEF PROFILESOFDIRECTORSSEEKINGAPPOINTMENT/RE-APPOINTMENT isvicepresidentofEngineeringatPratt& borninBelgium,graduatedasengineer- the graduatingclassinarea ofFinance&Accountingand Jamshedpur wherehewasaGold Medaliststandingfirstin Post GraduateDiplomain ManagementfromXLRI worked atCitibankinMumbai. Mr.Narayananreceiveda Prior toHathwayInvestments,Mr.ShankarNarayanan Directors ofalltheseCompanies. Infomedia andAFLLimitedservedontheBoardof Asianet SatelliteCommunications,PushpaPolymers,Tata including JohnsonTiles,ExideIndustries,HathwayCable, number ofprominentprivateequityinvestmentsinIndia, Director coveringSouthAsiaandIndia.Hewasinvolvedina Deutsche BankCapitalPartners,basedinHongKong,asa served asManagingDirectorandCEO.Hewasalsowith Hathway InvestmentsinMumbaiandduringthattime Prior tojoiningCarlyle,Mr.Narayananspentsixyearsat Mate Solutions,QuESTandSharekhan. Knowledge Works,FinancialSoftware&Systems,Learning managing thefund'sinvestmentsandexitsinNewgen Repco HomeFinance(IPO).Hewasalsoactivelyinvolvedin from TirumalaMilkProducts,CyberoamTechnologiesand Works. Mr.Narayananhasalsosuccessfullydeliveredexits Indian Bank,InfotechEnterprisesandNewgenKnowledge Housing Corporation,EdelweissFinancialServices,South Tirumala MilkProducts,VisenIndustries,ValueandBudget Lifesciences, ElitecoreTechnologies,RepcoHomeFinance, advised CarlyleonkeyinvestmentssuchasClaris Since joiningCarlylein2004,Mr.Narayananhasledand challenges acrossindustries. very practicalperspectiveofgrowthprospectsand experience acrossthecountrywhichallowshimtohavea companies asaCEO.Hehason-the-groundwork unique distinctionofhavingrunsometheinvestee Mr. Narayananhasbeeninprivateequitysince1993withthe Mumbai. Co-Head ofCarlyleAsiaGrowthPartners.Heisbasedin Mr. ShankarNarayanan Item No.5:Mr.ShankarNarayanan hours. the RegisteredOfficeofcompanyduringbusiness Prete, isaDirector/Memberareavailableforinspectionat The namesofcompaniesandcommitteesinwhichMr.Tom at HartfordandanMBAfromtheUniversityofConnecticut. Science degreeinmechanicalengineeringfromRensselaer engineering fromtheUniversityofConnecticut,aMaster He holdsaBachelorofSciencedegreeinmechanical isaManagingDirectorand 53 59 Annual Report 2014-15 cyient.com hours. at theRegisteredOfficeofcompanyduringbusiness Paterson, isaDirector/Memberareavailableforinspection The namesofcompaniesandcommitteesinwhichMr.John appointed ChiefOperatingOfficerofHAECOin2002. venture betweenRolls-Royce,HAECOandSIAEC.Hewas Manager HAESL(HongKongAeroEngineServices),ajoint Director, andthenin2000secondedasDirectorGeneral Kong AircraftEngineeringCompany)asCommercial In 1998hewasappointedtotheBoardofHAECO(Hong Hong Kong. the transitionofCathay'soperationstoNewAirportin responsible forallGroundServicesworldwideandincluded South EastAsia.InhislastroleinCathayPacifichewas had assignmentsintheUS,,UK,MiddleEastand majority ofthesewereforCathayPacificAirways,wherehe time hetookonanumberofmanagementroles.The He workedfortheSwireGroup25years,duringwhich John SwireandSonsasaManagementTrainee. a BA(Hons)inEngineeringScience1978,andthenjoined Mr. PatersonattendedOxfordUniversity,wherehereceived Officer ofHongKongAircraftEngineeringCompany. from TheSwireGroup,wherehewasChiefOperating as ManagingDirectorRepairandOverhaulinMarch2004 approximately fiveyears.Mr.PatersonjoinedRolls-Royce, Prior tothis,heservedasPresident-Marine,for the ReciprocatingbusinesseswithinRolls-Royce. Tognum, a50/50JointVenturewithDaimler,coveringall had responsibilityforchairingtheSupervisoryBoard,of Industrial PowerSystemsinRolls-Royce.Inthisrolehealso Mr. JohnPaterson Item No.7:Mr.JohnPaterson during businesshours. for inspectionattheRegisteredOfficeofcompany Mr. ShankarNarayanan,isaDirector/Memberareavailable The namesofcompaniesandcommitteesinwhich Indian InstituteofTechnology,NewDelhi. a BachelorofTechnologydegreeinCivilEngineeringfrom International headquartered in NewYorkCity.Withover international boutiqueconsulting firm,GuptonMarrs Ms. AndreaBierce Item No.8:Ms.AndreaBierce is currentlyManagingDirector withthe recently retiredasPresident-Marine& hours. at theRegisteredOfficeof companyduringbusiness Ms. Bierce,isaDirector/Member areavailableforinspection The namesofcompaniesandcommitteesinwhich Fuqua SchoolandUniversityofNorthCarolina,ChapelHill. taughtatbothDukeUniversity frequent speakerandhas Management ExecutiveEducationProgram.Sheisa University ofPennsylvaniaandattendedYaleSchool Ms. BiercereceivedherBachelorsofArtsfromthe Deutsche Bank,bothinNewYorkCity. Treasurer ofJCPenneyCo.,IncandAssistant She heldothercorporatepositionsastheformerAssistant and Employees. encompassing Shareholders,Investors,Customers,Clients and acomprehensivecommunicationsplanfortheCEO implemented multipleprogrammestoretaincustomers, world classcustomerservice.Duringthefinancialcrisis,she number ofbestpracticeswhichenhancedtheiralready Enterprise. Throughherleadership,theyimplementeda to leadCustomerExperienceandLoyaltyacrossthe Ms. BiercewasrecruitedtoWachoviaBank,nowWellsFargo, point, shewastheInterimChiefMarketingDirector. relating togrowth,clientandemployeeengagement.Atone development andwasaskedtoleadseveralfirminitiatives States. Shewasresponsibleforsignificantbusiness which wasthelargestclientinfinancialservicesUnited partner. ShewastheleadpartneronMorganStanleyglobally at KPMG,NewYorkofficewhereshewasaconsulting augment talent,and/orreducecosts.Andreaspent22years worked globallytransformingcompaniestofostergrowth, like. Shehasextensiveinternationalexperienceand reduction opportunities,gotomarketstrategiesandthe growth strategies,newproductandmarketstudies,cost beginning in2002conductingclientprojectsrelatingto Offshoring Practiceglobally.SheworkedextensivelyinIndia was aseniorpartnerrunningtheBusinessPractice Ms. BierceisaformerpartnerfromA.T.Kearney,whereshe Reporting. Enterprise andBusinessUnitGovernanceRegulatory Operational Risk,ComplianceStrategyandExecution, Compliance andReporting.Herworkhasfocusedon institutions onallaspectsofGovernance,EnterpriseRisk, she workswithsomeoftheworld'slargestfinancial thirty yearsofconsultingandfinancialindustryexperience, 53

60 Annual Report 2014-15 cyient.com FINANCIAL HIGHLIGHTS the financialyearended31March2015. Your directorshavepleasureinpresentingthe24thDirectors'Reportonbusinessandoperationsofyourcompany,for Dear Members, Directors’ Report Profit andLossAccount. to theGeneralReserveretaining Your directorshavevoluntarily transferred Transfer toReserves previous year. of profitaftertaxis39.5%ascomparedto24.9%inthe dividend (includingdistributiontax)asapercentage interim dividendwaspaidon29September2014.Total dividend distributiontax(gross)was per share(60%).Thetotalinterimdividendpaidincludingthe year, theboardalsodeclaredaninterimdividendof as against including dividenddistributiontax(gross)is share (100%)onparvalueof Your directorshaverecommendedafinaldividendof Dividend APPROPRIATIONS atclr 041 031 041 2013-14 2014-15 2013-14 2014-15 Particulars ale er'Tx2. . . - 763.1 1.3 648.7 707.6 3,967.3 1.3 618.1 50.2 (2.0) 1,036.0 4,053.6 720.0 24.0 1,024.2 4,271.7 712.8 57.6 5,255.9 Share ofprofitinassociate Deferred Tax MAT Credit Earlier Years'Tax Current Tax Profit BeforeTax Depreciation Finance Cost EBIDTA Income Total eevs1,7. 53341,4. 13,298.3 15,244.3 559.8 15,323.4 561.8 17,878.8 559.8 - 561.8 - - Reserves Paid upEquityShareCapital 22.4 Final dividendrecommended( Interim dividendpaid( Diluted Earningspershare( Basic Earningspershare( Profit AfterTax Share oflossattributabletoMinorityinterest ` 633.8millionforthepreviousyear.During ` hr)3.00 / Share) ` ` 14 38 41 22.81 24.17 23.80 31.48 ) opn 150.4 company 5pershare.Thetotaldividend ` 13 37 40 22.71 24.09 23.70 31.37 ) ` Sae .03.00 5.00 /Share) ` 5,683.1millioninthe ` 393.6million.The ` ` 217.1million 676.8million ` ` 5per 3.00 85702,3. 399512,769.2 13,969.5 22,233.7 28,577.0 ,5. ,3. ,3. 3,315.0 3,430.5 3,538.0 4,455.5 ,3. ,6. ,1. 2,549.1 2,711.6 2,660.0 3,532.0 exercise ofanequalnumber stockoptionsvestedinthem to theassociatesofcompany anditssubsidiariesupon Your companyhasallotted396,452 equitysharesof Allotment ofShares SHARE CAPITAL 31 March2015. no amountofprincipalorinterestwasoutstandingason Your companyhasnotacceptedanydepositsandassuch, FIXED DEPOSITS funds withscheduledbanksanddebtbasedmutualfunds. funds havebeeninvestedinshorttermdepositsandmutual against your companyhadliquidassetsof its operationsandstrategicobjectives.Asat31March2015, Your companymaintainssufficientcashreservestomeet LIQUIDITY osldtdStandalone Consolidated ` 6,208.3millionatthepreviousyearend.These 5. - - 152.0 77 202.8 12.0 (7.7) 37513.6 5.1 13.7 .030 2.00 3.00 2.00 . 20 - (2.0) 0.5 .03.00 5.00 ` (Amount in 4,760.6millionas ` ` Million) 5each 53 61 Annual Report 2014-15 cyient.com Equipment, Oil&Gas,Energy, Mining,Semiconductors, Aerospace &Defense,Transportation, Industrial through productrealizationto aftermarketservices,across support, fromproductideation anddesignengineering, This operatingunitprovidescompleteproducelifecycle Engineering contributed 45.1%.Numberofemployees-5,047 of 6.8%.Asapercentageoperatingrevenues,thisvertical as againstpreviousyear's This operatingunitgeneratedrevenuesof customers. across the"Plan-BuildOperate"lifecycleofour Operations groupprovidesspecializedservicesspanning Providers andUtilitiesasourcustomers,thisNetwork& With someoftheworld'slargestCommunicationService itself asanendtodatatransformationbusiness. data toalsodevelopinginsightsfromthedata,positioning Transformation grouphasmovedfromcreatingofspatial technology andmappingindustry.Overtheyears,thisData experience inprovidingvariedservicesthegeospatial In theDataTransformation,wehaveover2decadesof addressed. in theindustrywithmarquecustomerssectors enabled thecompanytoemergeasarenownedorganization ranging long-termcustomerengagements,thathas and Operations(DNO)grouphasbeenengagedinwide- customer's valuechain,theDataTransformation,Network With agoaltoprovidespecializedsolutionsacrossour DNO PERFORMANCE STATE OFAFFAIRS/COMPANY’S exercise. This namechangeispartofthecompany'sre-branding on 5May2014. was issuedbytheRegistrarofCompanies,AndhraPradesh of incorporationevidencing/approvingthechangename by theshareholdersofcompany.Thefreshcertificate done bymeansofaspecialresolutionpassedpostalballot 'Infotech EnterprisesLimited'to'CyientLimited'.Thiswas During theyear,companychangeditsnamefrom NAME CHANGEANDRE-BRANDING ` the companyincreasedfrom111,964,613equitysharesof In viewoftheaboveallotments,outstandingshares company. pursuant totheextantStockOptionSchemesof 5eachto112,361,065equitysharesof ` 5,463.9million,atagrowthrate ` 5each. ` 5,833.5million associates workinginNorthAmerica alone. offices acrosstheUSand ,withover1,000 engineering servicesinNorth America.Wehaveadditional Headquartered inEastHartford, Connecticut,CIprovides Inc.) Cyient Inc.(CI)(formerlyInfotechEnterprisesAmerica efficient projectmanagementinEurope. organization, wemaintainclientrelationshipsandensure Leveraging theglobalexecutioncapabilityofourparent We areanISO9001and27001certifiedorganization. managed attheDubaiOffice. the Beneluxregion,whileMiddleEastoperationsare Breda, theNetherlandsprovidessupporttoourbusinessin Cyient BeneluxBV(formerlyInfotechBV),basedin strong foundationoftrustandreliability. with severalofourpartnersandcustomersthathavebuilta commercial businesses.Weenjoylong-termrelationships 2 telcos,largeutilitycompanies,publicsectoragencies,and Our servicesaredesignedtocaterleadingtier-1andtier- became apartoftheInfotechGroupin1999. Incorporated inLondonasDataviewSolutions1992,it Enterprises EuropeLimited) Cyient EuropeLimited(CEL)(formerlyInfotech SUBSIDIARIES and customizingproductforemergingmarkets. systems partnerships,acceleratedproductdevelopment Led ProductRealizationforitscustomersbyprovidingsub Industrial, thisbusinessunitofthecompanyoffersDesign Focused onAerospace&Defense,Medical,Railand prospects. certification andhigh-valuerealizationforcustomers conceptualizing, systemengineering,prototyping,testing, business unitfocusesonbuildingcapabilitiesthatsupport has beenincubatedtoembarkonCyient'sS3journey.This This operatingunitisthelatestentryinCyientofferingsand Product Realization the totaloperatingrevenues.Numberofemployees-3,836 in anincreaseof5.1%.Thisverticalcontributed54.9% as againstlastyear'srevenuesof The operatingunitgeneratedrevenuesof engineering costsandimprovetimetomarket. want todesigninnovativeproductsfaster,optimizetheir Cyient positioningitselfasanidealpartnerforclientswho application knowhowandinnovativebusinessmodels, knowledge combinedwithengineeringexpertise, Consumer, andMedicalindustries.Withdeepdomain ` 6,764.6million,resulting ` 7,106.5million 53

62 Annual Report 2014-15 cyient.com IEITSPL isbasedinHyderabad andoffersinnovative Private Limited(IEITSPL) Infotech EnterprisesInformation TechnologyServices for geospatialservicesinthatregion. development intheMiddleEasthasledtoagrowingdemand and defence.Similarly,therapidpaceofinfrastructure resources; utilityinfrastructureplanningandmanagement; urban planning;environment,forestryandnatural opportunities inseveralareas.Theseinclude:landrecords; scale mappinginitiativesareunlockinggeospatial government's OpenMapPolicyandSurveyofIndia'slarge- opportunities inIndiaandtheMiddleEast.TheIndian IGIPL, basedinHyderabad,addressesgeospatialbusiness Infotech Geospatial(India)PrivateLimited(IGIPL) during theyear2015-16. Commercial operationsofthecompanywillcommence network operationsservicesforAsiaPacificregion. year 2014-15,CAPL,seekstoprovideengineering,dataand Headquartered inMelbourneandincorporatedduringthe Cyient AustraliaPtyLimited(CAPL) locally. maintaining clientrelationshipsandmanagingprojects We leveragetheglobaldeliverycapabilityofCyientKK,while sectors. to-end servicesandsolutionsacrossawidevarietyof engineering serviceproviderinJapan.Weprovideourend- Established in2008CentralTokyo,CKKisaleading Cyient KK(CKK)(formerlyInfotechEnterprisesJapanKK) management with offshorecostadvantageandonsiteproject we providehigh-qualityservicesandsolutionstoourclients Owing toourlargepoolofengineering,GIS,ITresources, our forayintootherserviceareaslikeGISandITsolutions. After becomingapartofCyientGroupin2000,weextended 3D CAD/CAM,e-solutionsoftwareandapplicationprovider. Graphics Software(AGS)inLeonberg,,1992-a solutions inGermany.ItwasestablishedasAdvanced Cyient GmbHoffersworld-classengineeringservicesand Cyient GmbH(CG)(formerlyInfotechEnterprisesGmbH) American region. while engagingclientsandexecutingprojectsinthe We leveragetheglobaldeliverycapabilityofCyientLimited of over$150M. federal governmentagencies,generatingannualrevenues companies tosmallorganizationsandlocal,state, We catertoabroadspectrumofclients,fromFortune500 meeting stringentindustryspecifications onaglobalscale. company's commitmenttowards customersatisfactionand NADCAP AC7120accreditation demonstratesthe international railwayindustry standard.Further,the further boostedwiththereceiptofIRIScertification,an REPL's strategicpositioningintheRailwayssegmentis Telecom, Automotive,RailwaysandIndustrialsegments. Manufacturing ServicesinMedical,Defense&Aerospace, market leaderinHigh-Mix,High-TechElectronic focus onQualityanddelivery,REPLisaimingtobethe Through adynamicteamofprofessionalswithrelentless customers inIndia,NorthAmerica,Europe,JapanandChina. REPL isoneofthefastestgrowingcompanieswith in February2015. customers globally.CyientacquiredamajoritystakeinREPL Services (EMS)andSystemIntegrationrequirementsfrom to supporttherequirementsforElectronicsManufacturing Karnataka, REPLoperatesworldclassproductionfacilities Established in1993andheadquarteredMysore, Rangsons ElectronicsPrivateLimited(REPL) executing projects. Transportation, andUtilitiesitsglobaldeliverymodelin such asAutoandHeavyEngineering,Aerospace, CIPL leveragesCyient'srelationshipsindifferentverticals model. add valuetocustomerswiththeprovenglobaldelivery machines anddevices,theunmatchedcommitmentto the vastamountofdatageneratedbysensorsembeddedin the uniqueapproachinacquiring,managingandanalyzing analytics andactionableintelligence.CIPLpridesitselfon deliver quantifiablebusinessresultsthroughsmartdata CIPL enablescustomersdrivebusinessinnovationand subsequently renamedCyientInsightsPrivateLimited. datasciences companyinOctober2014.Thewas Limited, aHyderabad,IndiaandTroy,Michigan,USAbased Cyient acquiredamajoritystakeinInvatiInsightsPrivate Insights PrivateLimited) Cyient InsightsPrivateLimited(CIPL)(formerlyInvati sector, includingmanufacturing,transportationandfinance. partners, wedevelopend-to-endsolutionsfortheretail solutions andservices.Withglobalsoftwaregiantsasour acumen, wedelivercutting-edgeandcost-effective Leveraging ourhugepoolofresourcesandtechnical including Internetande-commercetechnologies. We haveexpertiseinawideofvarietysoftwareplatforms, chain sectoracrosstheglobe. software solutionsandservicesfortheretailsupply 53 63 Annual Report 2014-15 cyient.com themselves withEthics,Transparency andAccountability. Principle 1:Businessesshould conductandgovern company arebrieflydescribedasfollows: The nineareasofbusinessresponsibilityadoptedbythe Corporate Affairs(MCA). Responsibilities ofBusiness'issuedbytheMinistry Guidelines onSocial,EnvironmentalandEconomical The companyhassuomotoadoptedthe'NationalVoluntary BUSINESS RESPONSIBILITYREPORT enclosed elsewhereinthisreport. statements ofcompany’ssubsidiariesinFormAOC-1is statement containingsalientfeaturesofthefinancial Pursuant toSection129(3)oftheCompaniesAct,2013,a program fromvariousoriginalequipmentmanufacturers. IHL iswellpositionedtoundertakeworkunderoffset aerospace domain. performance analysisandmaintenancemonitoringinthe publications, repairdesign,servicebulletins,testing, after marketengineeringandsupportservices,i.e.,technical Aeronautics Limited.IHLdeliversengineeringaswell IHL isajointventurebetweenCyientandHindustan development andsoftwareapplications. up, testingandanalysis,controlsystemdesign, dynamics, combustionstudies,preparationofdigitalmock and rotordynamicanalysis,aeronautics,computationalfluid thermo andmechanicaldesign,structural,stress,thermal offers designservicesinthefieldofaerospace,viz.,aero through ManufacturingProgrammeManagement.IHL systems andcomponents,prototypingsupplyofthese conceptual design,re-designandderivatesofmodules, IHL aimstoprovidecomprehensivesolutionsinvolving Infotech HALLimited(IHL)-JointVentureCompany applications. software developmentformilitary,industrialand including aerospaceengineering,mechanicaldesignand We alsoprovideengineeringandsupplychainservices, Cyient andPratt&Whitney,apioneerinflighttechnology. Power GenerationIndustries.IASIisaventurebetween other professionalservicestoDefense,Aerospace,and Services Inc.(IASI)providesengineeringoutsourcingand Established in2003PuertoRico,InfotechAerospace Company Infotech AerospaceServicesInc(IASI)-Associate JOINT VENTURE/ASSOCIATE Mr. JohnPatersonandMrs.Andrea Bierceareproposedto as additionaldirectorsofthecompany on15October2014. Mr. JohnPatersonandMrs.Andrea Biercewereappointed April 2014. appointed asManagingDirector&CEObytheboardon24 Chairman on12April2014.Mr.KrishnaBodanapuwas Mr. B.V.R.MohanReddywasappointedasExecutive Appointments with theStockExchanges. the provisionsofActorunderListingAgreement None ofthedirectorscompanyisdisqualifiedunder BOARD OFDIRECTORS&KEYMANAGERIALPERSONNEL Report isenclosedasAnnexure'B'. published elsewhereinthisannualreport.TheCSRAnnual through CyientFoundation.AnelaboratereportonCSRis creating businessimpact.TheCSRinitiativesareconducted it shouldtakeintoaccountitsimpactonsocietyasmuch beyond charityandbelievesthatasaresponsiblecompany needs ofallstakeholders.Thecompany'sCSRinitiativegoes Corporate SocialResponsibility(CSR)aimsatbalancingthe measure thatisproportionatetoitssuccessinbusiness. The companybelievesingivingbacktosocietysome CORPORATE SOCIALRESPONSIBILITY 'A'. The businessresponsibilityreportisenclosedasAnnexure to theircustomersandconsumersinaresponsiblemanner. Principle 9:Businessshouldengagewithandprovidevalue equitable development. Principle 8:Businessshouldsupportinclusivegrowthand regulatory policy,shoulddosoinaresponsiblemanner. Principle 7:Business,whenengagedininfluencingpublicand efforts torestoretheenvironment. Principle 6:Businessshouldrespect,protect,andmake rights Principle 5:Businessesshouldrespectandpromotehuman who aredisadvantaged,vulnerableandmarginalized. be responsivetowardsallstakeholders,especiallythose Principle 4:Businessesshouldrespecttheinterestsof,and employees. Principle 3:Businessesshouldpromotethewellbeingofall their lifecycle. that aresafeandcontributetosustainabilitythroughout shouldprovidegoodsandservices Principle 2:Businesses 53

64 Annual Report 2014-15 cyient.com accountability, evaluationofboard membershelpsin: performance andeffectiveness. Inadditiontogreaterboard directors toassesstheir individual andcollective company, evaluationsprovide anongoingmeansfor greater boardaccountabilityandeffectiveness.Forthe potentially effectivewaytorespondthedemandfor and oftheindividualdirectors,onanannualbasis,isa The companybelievesthatformalevaluationoftheboard Board evaluationandassessment governance. details ofwhichformpartthereportoncorporate During theyear,6meetingsofboardwereheld, Number ofboardmeetingsduringtheyear report, whichformspartofthedirectors'report. of theActhavebeendisclosedincorporategovernance remuneration andothermattersprovidedinsection178(3) The Company'spolicyondirectors'appointmentand other details Policy ondirectors'appointmentandremuneration managerial personnelduringtheyear. Except asstatedabove,thereisnochangeinthekey valuable contributionsduringtheirtenureasdirectors. their appreciationandgratitudetoeachofthemfor Prasad retiredbyrotation.Yourdirectorsplaceonrecord 2014, Mrs.B.Sucharitha,Mr.VikasSehgalandG.V. effect from12April2014.Atthe23rdAGMheldon17July Mrs. B.SucharithaceasedtobeWholeTimeDirectorwith Cessations annexure tothenoticeconveningAGM. proposed tobeappointed/re-appointedareprovidedasan Agreement, briefparticularsofthedirectorswhoare Pursuant totheprovisionsofClause49Listing AGM andofferthemselvesforre-appointment. and Mr.ShankarNarayananretirebyrotationattheensuing Companies Act,2013,Mr.ThomasPrete,AlainDeTaeye company andtheprovisionsofSection152 Pursuant toArticle56oftheArticlesAssociationyour Companies Act,2013. directors undertheprovisionsofsection149 Manglik andMr.SomMittalwereappointedasindependent Mr. M.M.Murugappan,K.Ramachandran,Harsh At the23rdAGMofcompanyheldon17July2014, Meeting (AGM). of theCompaniesAct,2013atensuingAnnualGeneral be appointedasdirectorsundertheprovisionofsection160 process coversthefollowingaspects: has overallstewardshipfortheprocess.Theevaluation The Leadership,Nomination&RemunerationCommittee board assessmentandevaluationprocessduring2014-15. improves. Inthisbackground,theboardundertookaformal and overalllevelofparticipationengagementalso performance, thecompanyensuresthatcommunication By focusingontheboardasateamanditsoverall contain anyqualifications,reservations oradverseremarks. The auditors'reportandsecretarial auditors'reportdonot REPORT AUDITORS' REPORTANDSECRETARIAL AGM. their appointmentatevery AGM tobeheldintheyear2019,subjectratificationof company heldon17July2014tilltheconclusionof28th company fromtheconclusionof23rdAGM Accountants, wereappointedasstatutoryauditorsofthe rules framedthereunder,DeloitteHaskins&Sells,Chartered Pursuant totheprovisionsofsection139Actand AUDITORS discussed andacteduponaccordinglyattheboard. provides feedbacktotheExecutiveChairman.Thesameis deliberations attheboard.TheLeadIndependentDirector strategy, riskmanagementandqualityofdiscussion also seeksfeedbackonboardandcommitteecharters, induction oftheboardtoeffectivenessandgovernance.It in ajudiciousmanner-rangingfromcompositionand responses fromthedirectors The evaluationprocesselicits ● ● ● ● ● ● ● ● ● of BoardCommittees Evaluation oftheperformanceandeffectiveness of theboard Evaluation oftheperformanceandeffectiveness Peer andself-evaluationofDirectors relations Improved Chairman-ManagingDirectorBoard responsibilities and Greater claritywithregardtomembers'rolesand Better collaborationandcommunication More effectiveboardprocesses Feedback onmanagementsupporttotheBoard the Chairman,and Feedback fromtheNon-ExecutiveDirectorsto 53 65 Annual Report 2014-15 cyient.com .theyhavelaiddowninternal financialcontrolstobe v. theyhavepreparedtheannualaccounts onagoing iv. iii. theyhaveselectedsuchaccountingpoliciesand ii. inthepreparationofannualaccounts, i. confirm that: board ofdirectors,tothebesttheirknowledgeandability, Pursuant toSection134(5)oftheCompaniesAct,2013, DIRECTORS' RESPONSIBILITYSTATEMENT is enclosedasAnnexure'F'. Agreement, areportonManagementDiscussion&Analysis Pursuant totheprovisionsofClause49Listing MANAGEMENT DISCUSSION&ANALYSIS These areenclosedasAnnexure'E'. EXCHANGE EARNINGSANDOUTGO DEVELOPMENT, TECHNOLOGYABSORPTION,FOREIGN CONSERVATION OFENERGY,RESEARCHAND Regulations, 2014isenclosedasAnnexure'D'. & ExchangeBoardofIndia(ShareBasedEmployeeBenefits) Disclosures pursuanttotheaboveGuidelinesandSecurities and EmployeeStockPurchaseScheme)Guidelines,1999. Exchange BoardofIndia(EmployeeStockOptionScheme owned subsidiaries,inaccordancewiththeSecurities options totheassociatesofcompanyanditswholly Associate StockOptionPlansinoperationforgrantingstock During theyearunderreport,companyhadInfotech EMPLOYEE STOCKOPTIONPLANS which formspartofthisreport(Annexure'C'). Report ofthesecretarialauditorisgivenasanannexure controls areadequateandoperating effectively; followed bythecompanyand suchinternalfinancial concern basis; preventing anddetectingfraudotherirregularities; safeguarding theassetsofcompanyandfor inaccordance withtheprovisionsofActfor maintenance ofadequateaccountingrecords they havetakenproperandsufficientcareforthe profit ofthecompanyforthatperiod; Company attheendoffinancialyearand a trueandfairviewofthestateaffairs estimates thatarereasonableandprudentsoastogive applied themconsistentlyandmadejudgments and therearenomaterialdepartures; applicable accountingstandardshavebeenfollowed .Theratiooftheremunerationeachdirectorto a. given below: Remuneration ofManagerialPersonnel)Rules,2014are with rule5(1)oftheCompanies(Appointmentand The informationrequiredunderSection197oftheActread PARTICULARS OFEMPLOYEES Annexure ‘H’. under theprovisionsofsection92Actisenclosedas The extractoftheannualreturninFormMGT9asrequired EXTRACT OFANNUALRETURN(MGT9) enclosed asAnnexure‘G’. (Accounts) Rules,2014aregiveninFormAOC-2andis 134(3)(h) oftheActreadwithrule8(2)Companies transactions withrelatedpartiespursuanttosection scope ofsection188(1)theAct.Informationon None ofthetransactionswithrelatedpartiesfallsunder RELATED PARTYTRANSACTIONS been disclosedinthefinancialstatements. The particularsofloans,guaranteesandinvestmentshave INVESTMENTS PARTICULARS OFLOANS,GUARANTEESAND theyhavedevisedpropersystemstoensure vi. Sincethisinformationisforpartoftheyear,same * nraBec*2.02 2.02 1.94 1.94 1.94 1.94 Andrea Bierce* John Paterson* 3.38 Harsh Manglik Som Mittal K. Ramachandran M.M. Murugappan Non -ExecutiveDirectors Krishna Bodanapu RatiotoMedian B Sucharitha* B VR Directors Executive Company for Company median remunerationoftheemployees effectively. and thatsuchsystemswereadequateoperating compliance withtheprovisionsofallapplicablelaws not comparable. Mohan Reddy the financialyear: remuneration 56.89 91.65 53

66 Annual Report 2014-15 cyient.com .Averagepercentileincreasealreadymadeinthesalariesofemployeesotherthanmanagerial personnelinthe i. .PercentageincreaseordecreaseinthemarketquotationsofsharesCompanycomparisontorateat h. Theexplanationontherelationshipbetweenaverage e. Thenumberofpermanentemployeesontherolls d. Thepercentageincreaseinthemedianremuneration c. Thepercentageincreaseinremunerationofeach b. One bonusshareissueforevery2sharesof Increase inthemanagerialremuneration fortheyearwas46%. 8%, afteraccountingforpromotionsandothereventbased compensationrevisions. The averageannualincreasewasaround8%.However,during thecourseofyear,totalincreaseisapproximately thereof andpointoutifthereareanyexceptionalcircumstances forincreaseinthemanagerialremuneration: last financialyearanditscomparisonwiththepercentile increase inthemanagerialremunerationandjustification Sub divided1shareof * Adjustedforcorporateaction(CA)1:1bonusissuein2002 and2010 Market Price(NSE) Market Price(BSE) Particulars which theCompanycameoutwithlastpublicoffer: is inlinewiththemarkettrendsrespective varying from1%to3%.Theincreaseinremuneration Employees outsideIndiareceivedwageincrease 4% to13%,basedonindividualperformance. of 8%inIndia.Theindividualincrementsvariedfrom On anaverage,employeesreceivedannualincrease increase inremunerationandCompanyperformance: Company: of employeesinthefinancialyear: 12% 10% Sudheendhra Putty Ajay Aggarwal Krishna Bodanapu* in the financial year B.V.R Secretary Officer andCompany % increase in Officer, Chief Directors, ChiefExecutive officer, companysecretaryinthefinancialyear: director, chiefexecutiveofficer,financial comparable. *Since thisinformationisforpartoftheyear,samenot oa ed 5.6% Mohan Reddy 10,399 Financial ` March 31, 2015 IPO Date/ IPO Price Adjusted IPO price by % Change % AdjustedIPOpriceby Price IPO 501.9 503.6 Date/ IPO March 31,2015 10into2sharesof 280.3% remuneration 8% first listing date considering CA * CA considering September 30,1998 September 25,1997 first listingdate ` ` 5in2006 5eachin2006 .Comparisonoftheremunerationkey f. g. Variations in the market capitalisation ofthe Variationsinthemarketcapitalisation g. ai 07 42 45.38 14.28 20.77 Ratio Price Earnings ( Capitalization Market Particulars ` lks 6,8.834707 54.60 364,780.70 563,980.18 lakhs) managerial personnel(KMP)inFY’15 Aggregate remunerationofkey Company: managerial personnelagainsttheperformanceof a frvne 0.9 Profit beforeTax(PBT) (as %ofrevenue) Remuneration ofKMPs Revenue an individual'sperformance. is alsolinkedtoorganizationperformance,apartfrom reflects companyperformance,theperformancepay countries. Inordertoensurethatremuneration a fPT 3.1 year: of thecurrentfinancialyearandprevious Company, priceearningsratioasattheclosingdate (as %ofPBT) Remuneration ofKMP 2.01.64745 6791 10.36 7.31 124.30 87.70 ac 1 ac 1 % Change March31, March 31, 052014 2015 ` 12,940,137,647 ` 3,430,460,583 ` 116,756,102 53 67 Annual Report 2014-15 cyient.com n. Affirmationthattheremunerationisasper m. Theratiooftheremunerationhighestpaid l. Thekeyparametersforanyvariablecomponentof k. ofthekeymanagerialpersonnelagainstperformance oftheCompany: Comparisonofeachremuneration j. copy ofthesamemaywriteto the CompanySecretary. Company. Anyshareholderinterestedinobtaininga open forinspectionattheRegisteredOfficeof In termsofSection136theAct,saidannexureis sent tothemembersexcludingaforesaidannexure. report. Further,thereportandaccountsarebeing provided inaseparateannexureformingpartofthis Remuneration ofManagerialPersonnel)Rules,2014,is Rule 5(2)oftheCompanies(Appointmentand required underSection197(12)oftheActreadwith The statementcontainingparticularsofemployeesas remuneration policyoftheCompany. The Companyaffirmsremunerationisasperthe remuneration policyoftheCompany: None. highest paiddirectorduringtheyear: directors butreceiveremunerationinexcessofthe director tothatoftheemployeeswhoarenot meetings. time spentonoperationalmattersotherthanat board andcertaincommitteemeetings,aswellthe based ontheirattendanceandcontributionatthe distributed amongstthenon-executivedirectors is decidedeachyearbytheboardofdirectorsand applicable provisionsoftheAct.Thesaidcommission net profitsoftheCompanyascomputedunder non-executive directorswithintheceilingof1% October 2014approvedpaymentofcommissiontothe The membersoftheCompanyvidepostalballotin remuneration availedbythedirectors: eeus04%02%01%0.01% 0.06% 0.10% 0.38% 0.27% 1.30% 0.44% 1.65% 12,940,137,647 Remuneration (as%ofPBT) Profit beforeTax(PBT) revenues Remuneration as%of Revenue Remuneration inFY15 ...MhnRdyKihaBaaauAa gawlSudheendhra Putty Aggarwal Ajay Boadanapu Krishna B.V.R. MohanReddy 3,430,460,583 671833,2,1 294131,890,162 12,914,163 35,227,616 56,751,883 xctv MD & Executive himnOfcrSecretary Officer Chairman investors/corporate-governance). on thewebsiteofCompany Policy ondealingwithrelatedpartytransactionsisavailable www.cyient.com/investors/corporate-governance). is availableonthewebsiteofCompany Policy fordeterminingmaterialsubsidiariesoftheCompany /www.cyient.com/investors/corporate-governance). directors areavailableonthewebsiteoftheCompany Details ofthefamiliarizationprogrammeindependent DISCLOSURE REQUIREMENTS governance isenclosedasAnnexure'I'. regarding complianceofconditionscorporate Clause 49oftheListingAgreement,Auditors'Certificate committees arealsoprovidedtherein.Asrequiredunder part oftheAnnualReport.Fulldetailsvariousboard the provisionsofClause49ListingAgreementforms practices. AreportonCorporateGovernancepursuantto Corporate Governanceandimplementthebestgovernance The Companywillcontinuetoupholdthetruespiritof CORPORATE GOVERNANCE analysis reportpublishedelsewhereintheannualreport. company ispublishedinthemanagementdiscussionand A moredetailedanalysisoftheriskmanagementin reviewed. mechanism hasbeenputinplaceandthesameisregularly controls. Acomprehensiveenterpriseriskmanagement additional oversightintheareaoffinancialrisksand ensuring itseffectiveness.Theauditcommitteehas responsible forreviewingtheriskmanagementplanand risk managementinthecompany.Thecommitteeis committee toidentify,evaluate,mitigateandmonitorthe The boardofdirectorshasformedariskmanagement RISK MANAGEMENT E Chief CEO Financial (http://www.cyient.com/ (Amount in Company (http:// (http:/ ` ) 53

68 Annual Report 2014-15 cyient.com 49(V) ofthelistingagreementisenclosedAnnexure'K'. The CEO/CFOcertificationtotheboardpursuantclause company isenclosedasAnnexure'J'. affirmed compliancewiththeCodeofConduct and theseniormanagementpersonnelofcompanyhave of thecompanydeclaringthatallmembersboard Agreement, adeclarationbytheManagingDirector&CEO Pursuant totheprovisionsofclause49(II)(E)Listing CEO's DECLARATION the policyduring2014-15. under thispolicy.Therewerenocomplaintsreceived harassment. Allassociatesofthecompanyarecovered been setuptoredresscomplaintsreceivedregardingsexual Redressal) Act,2013.InternalComplaintsCommitteehas Women attheWorkplace(Prevention,Prohibitionand in linewiththerequirementsofSexualHarassment The companyhasinplaceanAnti-SexualHarassmentPolicy governance). (http://www.cyient.com/investors/corporate- Clause 49oftheListingAgreementswithstockexchanges provisions ofthesection177(9)Actandrevised concerns. Theprovisionsofthispolicyareinlinewiththe including directorsoftheCompanytoreportgenuine Blower PolicytoprovideVigilMechanismforemployees The CompanyhasformulatedandpublishedaWhistle Note: Exceptasotherwisestated,allthenumbersinDirectors’Reportareonstandalonebasis. For and on behalf of the Board the of behalf on and For of thecompanyatalllevels. appreciation forthecommittedservicesofassociates Your directorswishtoplaceonrecordtheirdeepsenseof and lookforwardtotheirsupportinallfutureendeavours. Exchange BoardofIndia,theStockExchangesandothers of CorporateAffairs/RegistrarCompanies,Securitiesand Ministry ofCommerce,theReserveBankIndia, Technology, theDirectandIndirecttaxauthorities, Department ofCommunicationandInformation Parks ofIndia,DevelopmentCommissioners-SEZ, State Governments,particularlytheSoftwareTechnology extended bythevariousDepartmentsofCentraland directors wouldliketomakeaspecialmentionofthesupport for theirsupporttothecompanyduringyear.Your company's customers,shareholders,vendorsandbankers The boardofdirectorsexpressesitsthankstothe ACKNOWLEDGMENTS ae:April23,2015 : Date Hyderabad : Place B.V.R. MohanReddy Executive Chairman (DIN-00058215) 53 69 Annual Report 2014-15 cyient.com Section A:GeneralInformationabouttheCompany Annual BusinessResponsibilityReport–2014-15 Institute ofCompanySecretariesIndia(ICSI). the GRIguidelinesandsalutaryguidanceprovidedby preparation oftheReport,companyhaslargelyfollowed Report asenvisagedunderthesaidguidelines.In What followshereunderistheBusinessResponsibility Government ofIndia,MinistryCorporateAffairs. Economic ResponsibilitiesofBusiness",issuedbythe "National VoluntaryGuidelinesonSocial,Environmentaland corporate citizen,thecompanyhas To thisendandindischargeofitsresponsibilitiesasagood in thelongterm. simultaneously toensureasmoothcontinuityofbusiness environmental sustainabilitymustbesatisfied sustainability canonlysucceedintheshortterm;socialand believes thatasinglemindedfocusoneconomic meet theneedsoffuturestakeholders.Thecompany communities andsoon)withoutcompromisingitsabilityto shareholders, associates,clients,pressuregroups, and indirectstakeholdersofthecompany(including For thecompany,itmeansmeetingneedsofdirect the social,culturalandeconomicenvironment. account everydimensionofhowthebusinessoperatesin towards thenaturalenvironment,butalsobytakinginto associate valuebynotonlycreatingagreenstrategyaimed is abusinessapproachthatcreateslongtermcustomerand It isthecredoofcompanythatcorporatesustainability Business ResponsibilityReport .Listthreekeyproducts/services thattheCompany 8. Sector(s)thattheCompanyisengagedin:Engineering, 7. FinancialYearreported:2014-15(1April 2014to31 6. E-mailid:[email protected] 5. Website:www.cyient.com 4. Registeredaddress:4thFloor,'A'Wing,PlotNo.11, 3. NameoftheCompany:CyientLimited(Formerly 2. CorporateIdentityNumber(CIN)oftheCompany 1. Engineering servicesaddressing solutionsinthe manufactures/provides (as inbalancesheet)- realization. geospatial servicesandsolutionsproduct March 2015) - 500081 Software UnitsLayout,Infocity,Madhapur,Hyderabad Infotech EnterprisesLimited) :L72200TG1991PLC013134 suo moto adopted the 4. 3. 2. 1. Section B:FinancialDetailsoftheCompany . Forthecompany,goodgovernanceisanintrinsicpart 1.1 with Ethics,TransparencyandAccountability. Businesses shouldconductandgovernthemselves Principle 1. 3. 2. 1. Section C:OtherDetails 0 MarketsservedbytheCompany-International 10. Totalnumberoflocationswherebusinessactivityis 9. (CSR) –( Total SpendingonCorporateSocialResponsibility Total profitaftertaxes( Total Turnover( Paid upCapital( disclosure. upon anethosoftransparency, accountabilityand Governance practicesinthecompany arepredicated operations andfairness to allstakeholders. accountability tostakeholders,transparencyin the company'sphilosophyoncorporategovernanceis on thetransparencyofoperations.Thecornerstone of itsfiduciaryresponsibility,andhence,emphasisis Yes-More than60% entities? [Lessthan30%,30-60%,More60%] If yes,thenindicatethepercentageofsuchentity/ with, participateintheBRinitiativesofCompany? distributors etc.)thattheCompanydoesbusiness Do anyotherentity/entities(e.g.suppliers, Yes; 8 indicate thenumberofsuchsubsidiarycompany(s)- the BRInitiativesofparentcompany?Ifyes,then Do theSubsidiaryCompany/Companiesparticipatein Companies? -Yes. Does theCompanyhaveanySubsidiaryCompany/ i NumberofNationalLocations -Hyderabad, ii. NumberofInternationalLocations:Fulllist i. undertaken bytheCompany-38locations. realization. segments, bothinpublicandprivaterealmproduct analytics servicestotheutilityandtransportation telecom sectors,aswelldatatransformationand verticals; geospatialservicestotheutilitiesand engineering, manufacturingandinfrastructure , Noida,KakinadaandVizag provided elsewhereintheAnnualReport ` ) 3.56crores ` ` ) 56.18crores ) 1,294crores ` ) 271crores Annexure-A 53

70 Annual Report 2014-15 cyient.com . Thecompanyhasdesignedandimplementedacode 1.3 Thecompany'svaluesoperateontheFIRSTprinciple- 1.2 dealing. Thereisamorestringent codeofconduct and confidentialityobligations, competitionandfair of conflictsinterests,legalcompliances, disclosures such mattersashonestandethical conduct,avoidance Fairness andPursuitofExcellence.Thecodecovers Teamwork, CustomerDelight,LeadershipbyExample, upholds andlivesby:IntegrityTransparency, encompasses thecorevaluesthatcompany of conductforitsassociates.Thecode company. clients andassociateshelpsbuildatrustworthy decision making.Encouragingfeedbackfromthe information requiredforcooperationandcollective processes andensuresavailabilityofrelevant to success.Thecompanybelievesinclearbilling believes thatafairandopencommunicationisthekey Transparency - ahead. commitments andpromisesstrivesforthesame utmost reliabilityandaccountabilityforallits realistic goals.Thecompanyhasalwaysdemonstrated and actingtrulyaboutthecompany'svision quality, costdeliveryandvaluesystemsspeaking which establishesprofessionalism,dedicationtowards Sincerity - performance. recognizes andrewardsthemfortheirhardwork and treatedwithrespectdignity;thecompany productive environmentiswhereassociatesarevalued Respect - customers. honesty andintegrityfromitsassociates organization andlawofthelandexpectssame committed tothemoralandethicalvaluesof and deliverswhatitpromises.Thecompanyis dimensions ofwork,alignsitsactionswithwords professional standardsandvalues.Thecompanyinall Integrity - objectives. associates tomeettheirpersonalandorganizational encouraging andmotivatingambiencewhichenables backgrounds. Thecompanybelievesinprovidingan environment, irrespectiveoftheircultural associates andcustomersexperienceanunbiased Fairness - continuous basis. company andallrelevantstakeholdersonaholistic Transparency. Thesearearticulatedacrossthe Fairness, Integrity,Respect,Sincerityand thecompanybelievesthatmost is acommitmenttopresentworkplace means equityandsolidaritywherethe cultivatesthedevelopmentofhigh isanopendoorpolicy.Thecompany . Thecompanyiscommittedtocontinuously improve 2.1 their lifecycle. are safeandcontributetosustainabilitythroughout Businesses shouldprovidegoodsandservicesthat Principle 2. . Inrecognition ofitsexemplaryandlaudablecorporate 1.7 Thecompanyrecognizesthatindividualshavean 1.6 Withaviewtoprovidinggreater non-financial 1.5 Thecompanyhasdesignedandimplementedavigil 1.4 below: Management Systemthroughprocessesdefined its SafetyStandards,SustainabilityandEnvironmental  of IndiainDecember,2014. Governance bytheInstituteofCompanySecretaries 14th NationalAwardforExcellenceinCorporate governance practices,thecompanywasawarded intended toachievenearlyuniversalcompliance. provides commoncorevalues,policiesandprocedures company anditssubsidiariesoperate.Thepolicy data privacyandsecurityrequirementsinwhichthe reinforce itscommitmenttocomplywithapplicable the companyintroducedaDataPrivacyPolicyto inappropriate useordisclosure.Infurtheranceofthis, dealing withthecompanywillbeprotectedfrom expectation thatpersonaldataprovidedduringtheir Non-Financial Disclosures. complies withtheguidancenoteissuedbyICSIon Company SecretariesofIndia(ICSI)andsubstantially secretarial standardsissuedbytheInstituteof disclosures, thecompanyhasvoluntarilyadopted good faith. from reprisalsorvictimizationforwhistleblowingin necessary safeguardsforprotectionofassociates communication. Further,thepolicyalsoprovides legal businessconductanditscommitmenttoopen the highestpossiblestandardsofethical,moraland concerns, inlinewiththeCompany'scommitmentto associates, customersandvendorsanavenuetoraise objective oftheWhistleBlowerPolicyistoprovide unethical behaviourandactualorsuspectedfraud.The of thecompanyandmakeprotectivedisclosuresabout including subsidiariestoapproachtheOmbudsperson formal mechanismforallassociatesofthecompany mechanism (whistleblowerpolicy)thatprovidesa policies onanti-briberyandcorruption. transparency. Besides,thecompanyalsohasinplace directors buttressingthesameprinciplesofethicsand applicable forseniormanagementandtheboardof chemicals andnaturalresources. Minimizing theconsumptionof electricalenergy, 53 71 Annual Report 2014-15 cyient.com . ThecompanyconductstrainingprogrammesonFirst 2.7 ThecompanydisposesthepaperwastetoITC,which 2.6 Thecompanyencouragestheusageofelectronic 2.5 Thecompanyhastiedupwithapollution controlboard 2.4 The companyhascanteen/pantryservicesatits 2.3 Thecompanyensuresthatthevarioussupport 2.2        emergency situationduringoffice hours.Evacuation [Emergency ResponseTeam] memberstohandle Aid andfirefightingtraining programtoERT products. is renownedforpreparationofrecyclingpaper paper isusedmeticulously. Every paperisusedtotheoptimumandone-sided and society,ingeneral)minimizestheuseofpaper. mode forallitsactivities(withassociates,customers Rules, 2011. compliance withtheE-WasteManagement&Handling agency tohandlethee-wastegeneratedbyitin certified electricalandelectronicwastedisposal pollution. environment friendlymannerwithnocontributionto food wasteisdisposedoffbythecontractorinan associates. Thesaidservicesareoutsourcedandthe various locationstocatertheneedsofits pollution byminimizingtransportation. entrepreneurship andreducingenvironmental of thecompany.Thishelpsinencouraginglocal sourced fromagenciesinthevicinityofoperations in asustainablemanner.Inparticular,theservicesare pantry, transportationareallsourcedandmaintained services suchashousekeeping,securityservices, aspects. other requirementsrelatedtoenvironmental Compliance toapplicablelegalrequirementsand sustainable resources. Encouraging useofrenewable/replenishable/ contractors. among alltheassociates,vendorsand Promoting environmentalandsafetyawareness environmental objectives&targets Setting, maintainingandmonitoringthe processes and non-hazardousmaterials,components Promotion &adoptionofenvironmentalfriendly Reduction ingenerationofidentifiedwastes. hazardous materialintheprocesses. applicable) andcontinuousreductionof using environmentfriendlychemicals(where Prevention ofpollutiontoair,waterandlandby . AtCyient,talentisakeycomponentofthecompany's 3.1 employees. Businesses shouldpromotethewellbeingofall Principle 3. . Associatesatisfactionlevelsplaysaprimeroleat 3.2 comprise thefollowing: business goals;andthehumanresourcepriorities importance ofaligningitshumanresourceswith most importantasset;thecompanyemphasizes strategy forsustainablegrowth.Peoplerepresentthe         keep theassociateengagementlevelshighatCyient. Cyient, therearenumerousactivitiestomeasureand leadership activelyparticipated. 2014-15, duringwhichallassociatesincludingsenior drills atallourlocationsareorganizedduringtheyear customers address theneedsofinternalandexternal Integration andprioritizationofapproachesto business needs through systemsandprocessalignedtostartegic Providing pro-activeHRServicedelivered empowering associatestoexcel Building highperformingtalentandteamsby the checkup'sdoneatoffice premises.There associates totakeouttheirprecious timeandget wellness activitiesareconducted everymonthfor Health &Wellnessinitiatives: challenges beingfacedbymanagers. workshops wereconductedtounderstandthe sessions coveringaround150managers.These capability workshopswerespreadacross12 basis theA-Satsurveywerearound22&Manager A-Sat survey.Onthebasisofinformalmeets of 86%,and10,737associatesrespondedtothe This year,theresponseratereceivedanewhigh working onthoseareasforeffectiveengagement. helps thecompanytoevaluatefeedbackandstart associates providetheirgenuinefeedback.This associate satisfactionsurveyisconductedwhere Associate satisfactionsurvey: initiatives Management andpersonaleffectiveness associate development. human resourcefunctioncontinuedtobe over 12,000associates,theprimeobjectiveof development andtrainingforacompanywith Nurturing astrongworkforcethroughleadership line withorganizationalobjectives Attracting, retainingandengagingassociatesin Lot ofhealthand Everyyear 53

72 Annual Report 2014-15 cyient.com    associates participatingvoluntarily intheevent. event wasahugesuccesswith morethan2000+ small /bigwishlistofpoorchildren true.This where associatescontributedtowardsturning wish listtolifeinthemonthofDecember2014 associates &anotheractivitywasBringaChild amount ofcloseto200000INR/-wasraisedby for visuallychallengedchildrenwhereawhopping challenged culturalteam.Thiswasafundraiser evening byVishwaDrukhFoundation-Visually CSR activity,onesucheventwasaMusical from theengagementwhichalsocoincidedwith CSR activity: and 40Womenparticipatinginthecontest. Women saw628associatesincluding588-Men associates. CyientPremierLeagueforMen& Rangoli, Kitesfestivalsawaparticipationof250+ spouses andchildren.Talenthunt,Antakshari, footfall of1000peopleincludingassociates’ activities suchasKidsdayatCyientwhichsawa festival, theyearsawhighestengagement Cyient Festival: utilized byclose7000+associates. same totheirsalaryaccount.Thetoolisbeing redeem theirawardswithproductsortransferthe were movedontheplatformforassociatesto company inago.Toenhanceitfurther,theawards concerns andreachouttothelargeaudienceat intranet platformforassociatestovoiceouttheir Recognition toolonmycyient:       are: of Cyientassociatestoo.Sometheinitiatives are someactivitiesextendedtofamilymembers associates availedthebenefit Eye check-upbyDr.Agarwals-1000+ are participatingintheaerobics. Aerobic sessions-About100+associates participating intheyogasession Yoga sessions-About75+associatesare conducted took thevaccinationatdrive Typhoid immunization-1000+associates the vaccination Hyderabad andotherlocationsinIndiatook subsidized cost-500+associatesacross location haveH1N1Vaccinedriveata Heart check-up-300+associatesatUppal benefited withthespecialcheck-up BMI Check-up-1000+associateshave Therewere2initiativesconducted UnderthebannerofCyient Acommon marginalized. those whoaredisadvantaged,vulnerableand responsive towardsallstakeholders,especially Businesses shouldrespecttheinterestsof,andbe Principle 4. . Withaviewtoenhancingshareholder democracy,the 4.5 Thecompanyproactivelyengageswithandrespondto 4.4 Thecompanyisconsciousoftheimpactitspolicies, 4.3 Thecompanyhascontinuousengagementwithits 4.2 Thecompanyvalues thesupportofitsstakeholders 4.1 Further, thecompanyrecognizes thefactthatall company extendse-votingas partofpostalballot. underdeveloped. attention tostakeholdersinareasthatare vulnerable andmarginalized.Itshallalsogivespecial those sectionsinthesocietythataredisadvantaged, welfare ofthestakeholders. actions whichadverselyaffectthehealth,safetyand operations onthestakeholdersandshallavoidsuch decisions, productsandservicesassociated same isanalysedforfurtherimprovement. the feedbackofrespectivestakeholdersand Satisfaction Surveyareconductedeachyeartogauge Associate EngagementSurveyandInvestor their requirements.CustomerSatisfactionSurvey, as documented/detailedelsewhere,caterstoeachof associates, investors,customersandthesociety importance andvalueofthefourkeystakeholders,viz., in aneffectivemanner.Thecompanyrecognizesthe assess theirrequirementsandrespondtoneeds various stakeholderstounderstandtheirconcernsand value-based servicestothestakeholders. towards it.Thecompanyanditsassociatesprovide and respectstheinterestsconcernstheyhave   Cyient. activities engagecloseto7000+associatesat celebrated allthesefestivalswithfun.These Ramzan, Dussera,DiwaliorChristmaswehave various festivalsacrossreligions,beitUgadi, here wehavetakenupthespiritfromall welcomed culturalandtraditionaldiversity, Festival celebrations: achievements atwork. presented withawardsandcertificatesfortheir work. Closeto88womenachieverswere we alsoappreciatewomenfortheireffortsat counselling. ThroughWomenAchieversAward conducted forfemaleassociatesaswellhealth health screeningfromYashodahospitalwas Special attentiontoWomenAssociates: Cyient hasalways Special 53 73 Annual Report 2014-15 cyient.com . TheCompanyshallresolvedifferenceswith 4.7 Asagoodgovernancepracticeandtoenhancethe 4.6 . Thecompany,withinitssphereofinfluence, promotes 5.5 Thecompanyrecognizestheindividualrightsof 5.4 Thecompanyrecognizesandrespectsthehuman 5.3 Thecompanyintegratesrespectforhumanrightsin 5.2 The companyappreciatesthathumanrightsare 5.1 rights Businesses shouldrespectandpromotehuman Principle 5. shareholders isnotreflectedinthesame. the requisitemajority,aholisticresponseof that theresolutionsproposedthereatarepassedwith Meeting (AGM)ofthecompanyanddespitefact shareholders donotattendtheAnnualGeneral stakeholders inajust,fairandequitablemanner. being implementedthisyeartoo. who donotattendandparticipateintheAGM.Thisis the companytoassessviewsofshareholders 2013 and2014respectively.Thisprocesswillenable included fortransactionatthe22ndand23rdAGMsin provide theirconsent/dissentontheresolutions internet asachannelforshareholderstoinformally introduced anon-mandatoryballotthroughthe levels ofcorporatedemocracy,thecompany its valuechain. the awarenessandrealization ofhumanrightsacross safeguards thesameinlinewithadataprivacypolicy. associates abouttheir"personalinformation"and whatsoever andisanequalopportunityemployer. discriminate againstpeopleonanygrounds marginalized groups.Assuch,thecompanydoesnot communities, consumersandvulnerable and beyondtheworkplace,includingthatof rights ofallrelevantstakeholdersandgroupswithin and actualorsuspectedfraud. make protectivedisclosuresaboutunethicalbehaviour approach theOmbudspersonofcompanyand associates ofthecompanyincludingsubsidiariesto has devisedawhistleblowermechanismtoenableall redressal mechanisms.Tothisextent,thecompany impacted bythebusinesshaveaccesstogrievance management systemsandensurethatallindividuals guidelines oftheInternationalBillHumanRights. strive toadherethehumanrightslawsand company's policiesandsystems.TheCompanyshall shall, asfarpracticable,beimbibedinallthe Principles ofStatePolicytheIndianConstitution nature. ThespiritofFundamentalRightsandDirective inherent, universal,indivisibleandinterdependentin . Thecompany focusesonhowtominimizenegative 6.4 Thecompanycomplieswithallapplicablelegal/ 6.3 Thecompanyisdeterminedtofocusitsattention to 6.2 Thecompanyhasapronouncedcommitmentto 6.1 to restoretheenvironment. Business shouldrespect,protect,andmakeefforts Principle 6. 5.6.1Internal ComplaintsCommittees,asrequiredtobe Policyonsexualharassment: 5.6 contaminated sites.Careistaken nottodisturbnatural process andhowtoimprove onpreviously impacts fromthedevelopment andconstruction sustainable development. protection, pollutioncontrolmanagementand regulatory requirementsrelatedtoenvironment resources toavoiddepletionofnaturalresources. is committedtoputeffortstowardsrenewable its operationsforsustainabledevelopment.Company achieve thegoalof"Reduce,ReuseandRecycle"inall natural resourcesandalsoman-maderesources. optimization andcontinualreductioninutilizationof commits itselftotakeallnecessaryinitiativestowards Environmentally responsiblecitizen,thecompany varied businessoperationsandactivities.Beingan objectives ofsustainabledevelopmentthroughits achieve economic,ecologicalandsocialresponsibility of allthelocationsinIndia. constituted undertheAct,havebeensetupinrespect Equality andtheEmpowermentofWomen). against Women(UnitedNationsEntityforGender on theEliminationofallFormsDiscrimination this policyalsomakesuscomplianttotheConvention complaints ofsexualharassment.Implementation place. Thepolicyfurtherprovidesfortheredressalof prevent andprohibitsexualharassmentatthework company hasadoptedandimplementedaPolicyto (Prevention, ProhibitionandRedressal)Act,2013,the Sexual HarassmentofWomenatWorkplace principles ofValuesFIRSTandcomplianceThe commitment totheadoptionofbestpractices, therefore, punishable.Inkeepingwithouravowed place ifinvolvingassociatesisagraveoffenceandis, Sexual harassmentattheworkplaceorotherthan with dignity. associates ofthecompany,haverighttobetreated harassment. Thecompanyalsobelievesthatall without fearofprejudice,genderbiasandsexual working environmentthatenablesemployeestowork provider andiscommittedtocreatingahealthy The companyisanequalemploymentopportunity 53

74 Annual Report 2014-15 cyient.com . Thecompanyisspeciallyfocusesonthereductionof 6.6 Regardingconservationofwater,thecompanyhas 6.5 . WithaviewtofocussingonachievingHighIndoor 6.7 . Thecompanypromotesthere-cyclingofwaste. 6.8 ● ● ● ● ● ● ● ● ● ● conservation measuresinclude: energy sourcesinitspremises.Thevarious energy usageandencouragestheofalternative potable water. resulted ina51%reductiontheusageofbaseline fixtures inwaterclosetsandwashbasins.Thishas sewage treatmentplantandusageoflowflowwater the vegetation.Othermeasuresincludeanonsite levels. Dripirrigationisalsoencouragedforirrigating Allamanda adapted plantspeciessuchas Effect. vegetated greensurfacetoreduceUrbanHeatIsland promotes bio-diversity.Parkingisallowedover Surplus openspaceisusedforvegetationand pooling andhasspecificsitesforparkingofpooledcars. reduction. Further,thecompanyencouragescar- place ofwork.Thishelpsinthesite-vehiclepollution that adequatebasicservicesareavailableneartothe to reducethecarbonfootprint,companyensures topography andnotcreatemuchhardscape.Inorder premises. Themeasuresinthisregardinclude: adequate freshairandUseofdaylightingatitsvarious Productivity ofOccupants,thecompanyprovidesfor Environment QualityandConditionsforEnhanced usage ofvirginmaterial.Thisincludes: usage ofre-cycledcontentmaterial soastoreducethe for sandfills.Thecompany actively promotesthe re-cyclable wasteissegregated andotherwasteissent well being&productivity ASHRAE 62.1&CO2monitoringforoccupants' Adequate supplyoffreshair-30%extrathan Reducing ODP&GWP Eco-Friendly Refrigerants Efficient supplyfans High performanceAirconditioningsystems. Occupancy sensorsinallthefeasibleareas. Energy Efficientlighting wellbeing &Productivity Outside Viewtothebuildingspacesforoccupants thermal comfort&productivity Temperature &RHcontrolsforoccupants Visual Comfort&Productivity Individual ControllabilityofLightingforoccupants thataidintheconservationofgroundwater Cyperusalternifolius and . Further,thesearesourcedfromlocalmanufacturers 6.9 . Thecompanyisanactivemember,interalia,ofthe 7.3 Incaseofanygrievancewith anylegislative/regulatory 7.2 AsaCorporateCitizen,thecompanyunderstandsits 7.1 manner. regulatory policy,shoulddosoinaresponsible Business, whenengagedininfluencingpublicand Principle 7. and pollutionisalsominimized. so thattheyareencouragedandtransportationcosts following bodies: policies containedintheCode. to policyadvocacyconsistentwiththeprinciplesand mandates, itshallseekredressalofthesameandresort benefit itselfaloneoraselectfewinpartisanmanner. good anddoesnotadvocateanypolicychangeto that policyadvocacymustpreserveandexpandpublic to thebusinessofcompany.Thecompanybelieves the policies,procedures,rulesandregulationsrelating applicable provisionsoflaws.Theyshallalsoabideby the legal/regulatoryframeworkandcomplywithall boundaries. Thecompanyanditsassociatesrespect provide forcertaindesirablerestrictionsand other regulators,whichguidetheirgrowthandalso policy frameworksprescribedbytheGovernmentand businesses operatewithinthespecifiedlegislativeand and theconstitutionalframework.Itrecognizesthat responsibility tofunctionwithinthedemocraticsetup ● ● ● ● ● ● ● ● ● .o Productswithrecycledcontent S.No. Falseceiling Vitrifiedtiles StructuralSteel 5 ACP 4 Glass 3 MDF 4 UltimaMineralFibreTile 3 2 1 International CorporateGovernance Network Association ofGeospatialIndustries National AerospaceLaboratories Indo-American chamberofcommerce Hyderabad ManagementAssociation National HRDNetwork of Commerce&Industry The FederationoftheAndhraPradeshChambers Companies (NASSCOM) National AssociationofSoftwareandServices Confederation ofIndianIndustry(CII) 53 75 Annual Report 2014-15 cyient.com 8.2.2The company’sChairmanhasbeenanactivechampion 8.2.2The goalistomaketheadoptedGovernmentschools 8.2.1The Strategy: 8.2 Detailsofcommunityinvestmentanddevelopment 8.1 equitable development. Business shouldsupportinclusivegrowthand Principle 8. Theseniormanagementofthecompanyisalso 7.5 Thecompanymaintainscordialrelationswithbodies 7.4 To facilitateaccesstoquality educationandto Vision: inspires themtowardssuccessinlife. to alltheadoptedschoolchildrenandmotivates offered includesnotebooks,schoolbagsanduniforms bringing equitableandinclusivegrowth.Support around theadoptedschoolshasgreatlyhelpedin and improvingthedigitalliteracyincommunities schools, adoptionofgovernmentpolytechniccolleges schemes suchasmid-daymealsandadoptingunaided of CSRinitiatives.Hisenthusiasticsupportfor society withself-reliantpeople. institutional leveltowardsbuildingasustainable organizational oradministrativeneedsatthe appreciates theneedforsupportingbasic retention andenhancedpassoutrate.Company aim toincreasestudentenrolment,attendance,and library, labs,teachingaidsandstaffwithan infrastructure supportlikebrickandmortarbuildings, the preferredplacetolearn.Toachievethis,weprovide business value. into accountitsimpactonsocietyasmuchcreating belief thatasaresponsiblecorporate,itshouldtake initiative goesbeyondcharityanditworkswiththe was setupon27March2002atHyderabad.CyientCSR business. InfotechEnterprisesCharitableTrust(IECT) measure thatisproportionatetoitssuccessin The companybelievesingivingbacktosocietya perspective: deployed andtheimpactofthisworkwithalongerterm work undertakenindicatingthefinancialresources Reddy istheChairmanofNASSCOMfor2015-16. The ExecutiveChairmanoftheCompany,Mr.Mohan constituted bythegovernmentonregulatorymatters. represented onvariouscommitteesandboards universities andeducationalinstitutions. and theInstituteofDirectors,besidesseveral of India,theInstituteCharteredAccountantsIndia School ofBusiness,InstituteCompanySecretaries such astheIndianInstituteofTechnology, 8.3.1Cyient Foundation(CF)firstfootprint:13thAug,2007, 8.3.1Cyient Program Implementation: 8.3 ● Cyient FoundationNDLMCenters: their diploma. Cyient Foundationsupports2000studentspursuing Polytechnic College,Kakinada.Throughthisadoption Cyient FoundationhadsignedMoUwithAndhra Adoption ofPolytechnicCollege:On25thApril'14, CFtookupinitiativesinprovidingvarious - PresentlyCFissupportingchildrenfromPre - SincethenCFhasbeenworkingtowards - School. Cyient signedanMOUforAdoptionofGachibowli care systems. changes througheducation,environmentandhealth and supportingprogramsthatbringaboutsustainable community aroundusbybeingcommittedtocreating Achieving long-term,holisticdevelopmentof Mission: projects. innovation andInvestinenvironmentaldevelopment participate inprojectswithbusinessalignedsocial Hyderabad. Cyient Foundationadoptedschools insuburban initial phaseoftheprogramwouldfocuson advantages forunder-servedcommunities.The generate social,culturalandeconomic youth andwomentheprogrammewould programmes. Engagingprimarilywithchildren, specialized inexecutingcommunitydevelopment Foundation willalsopartnerwithanNGO education, literacyandlivelihood.TheCyient NASSCOM, coveringcontentonhealth, would bedevelopedinassociationwith various e-governanceservices.Trainingmodules information, send/receiveemailsandaccess tablet), andusetheInternettosearchfor computer oradigitalaccessdevice(suchas from eachfamily,wouldbetrainedtooperatea programme, 3000communitymembers,one enabled citizenservices.Aspartofthe literacy, andfacilitatedeploymentofdigitally- empower neighborhoodcommunitieswithdigital National DigitalLiteracyMission(NDLM),aimsto amenities /facilitiesattheschools. Primary toHighSchooling. adoption ofGovt.Schools. improving thequalityofeducationthrough 53

76 Annual Report 2014-15 cyient.com ● ● ● ● ● ● ● ● ● ● ● CYIENT FOUNDATION-NDLMCENTERS Phase 3 Core Training in Product Design 240 176 In progress In 176 240 CoreTraininginProductDesign Social InnovationalignedtoBusinessInnovation: FoundationTraining in Phase 3 CommunicationSkillsTraining Phase 2 Phase 1 Training Phases CYIENT FOUNDATION-SKILLDEVELOPMENTDETAILS Cyient FoundationSkillDevelopmentInitiative: employability. This willensurestudentsenhancetheirskillswhiletheyarestillinthecolleges,therebyimprovingchancesfor specialized trainingprogramswillbeprovided. The foundationhasalreadyidentified3,500studentsfrom19engineeringcollegesinthevicinityofHyderabadwhere .o TrainingProgram S.No. .CyientFoundationNDLM 1. Cyient FoundationNDLMC 2 other companieswhomaybeinterestedinrecruitingthem. At theendofthisphaseCyientwillmakeofferstoaselectgroupstudentsandrestshallbemadeavailable training shallbeimpartedandfurtherliveprojectsassigned. Based onfurtherassessmentattheendofthisphaseasmallergroupwillbeshortlistedforwhomadvancedtechnical programme intechnicalskills. on theassessmentcarriedout,insecondphaseaselectgroupofstudentswouldundergoFoundation The firstphasewillfocusontrainingstudentsincommunicationandlifeskills.Attheendofbased are stillinthecollegesandthusenhancetheiremployability. be offeredwhichwillaugmenttheeffortsofcollegestoensurestudentsgetindustryorientationwhilethey The CyientFoundationhasidentifiedanumberofEngineeringcollegeswherespecializedtrainingprogrammeswill employability. This willensurestudentsenhancetheirskillswhiletheyarestillinthecolleges,therebyimprovingchancesfor where specializedtrainingprogrammeswillbeprovided. The foundationhasalreadyidentified3,500studentsfrom19engineeringcollegesinthevicinityofHyderabad high-quality trainingprogrammesaimedatequippingthemwithindustry-relevantskills. Cyient FoundationthroughitsSkillDevelopmentInitiativewillgroomengineeringstudentsonalargescale, disease management,therapy, andrehabilitationofvisionimpairedpatients. developing newproductsfor diagnosing eyediseasesandimagingtissues-products thatwillbehelpfulin Apart fromthismonetarysupport, Cyientwillalsoleverageitsengineeringcapabilities tosupportLVPEIin Cyient Foundationhascommittedtodonateanamountof capabilities inthefieldofOphthalmology,andalsoserveas an 'ideahub'forknowledgedissemination. The visionofthisInnovationCentreistoprovideinfrastructure tosupportresearch,developnewpractices,tools, Innovation CentreatLVPrasadEyeInstitute, As apartofourbusinessalignedinitiativesaimedatgiving backtothesociety,CyientFoundationissupporting period offiveyears. - Gachibowli - Khajaguda rga Studentsto Program rdc ein960 Product Design Center enter neg riigHoursofTraining training undergo yeaa 269 Hyderabad yeaa 242 Hyderabad oainBnfcaisStatus Beneficiaries Location 206 Completed 60 3260 ` 2,50,00,000(RupeesTwoCroresFiftyLakhs)overa Maximum No 0Completed 60 fStatus of L1 &L2Training L1 &L2Training Completed Completed 53 77 Annual Report 2014-15 cyient.com . CyientFoundation Activitiesinprovidingquality 8.6 CyientFoundationActivitiestoimprovethenew 8.5 EmpoweringUnderprivilegedChildren 8.4.2 Foundationhasmaderemarkableprogressby 8.4.1Cyient CyientFoundationProgressinsupporting 8.4 ● ● ● ● ● ● ● ● ● ● ● education: admissions andreducethedropouts: facilities inHyderabad,KakinadaandNoida. adopting 13schoolsintheneighbourhoodofits underprivileged children: challenges ineyehealth. and prototypingonsomeofthebiggest united forsevendaysofnonstopideageneration Innovation Workshop:Doctorsandengineers LVPEI-MIT-CYIENT EngineeringtheEye premises byproperfencingto avoidtrespassing Developed playareasandsecured theschool higher classesinadoptedSchools. Constructed sevenadditionalclassroomsfor 23% from13%. from 15%andtheNewAdmissionsimprovedto Results: TheoverallDropoutsreducedto4% classes tokeepthemagile. snacks tothechildrenwhoattendextra Providing nutritiousfoodsupplementsandsupply fellowships, grantsetc. their highereducationthroughScholarships, Providing assistancetotheneedycontinue children aftercompletingtheirSSC. to showsustainableearningsourcesthe Volunteers conductcareerguidanceprogrammes and itssocialimpactforachild'sfuture. community inbringingawarenessoneducation meetings withchildren,parentsandthelocal Cyient Associatesvolunteertoconductvarious benefit fromourinitiatives child educationtosecondaryschoolof Overall, morethan10,000childrenfromearly schools inourneighborhood underprivileged childrenacross13adopted Till date,wehavesupportedover8,000 Centre -Srujana,whichissupportedbyCYIENT. designs innovationseriesfromLVPEI'sInnovation Engineering theEyeWorkshop'aspartof Technology andDesign,inauguratedthe'Redx: with MITMediaLabandTataCentrefor LV PrasadEyeInstitute(LVPEI),incollaboration . CyientFoundationActivitiesinimprovingthenew 8.7 . Detailsofinnovativepractices,products andservices 8.8 ● ● ● ● ● ● ● ● ● ● ● ● admissions andpasspercentageofgirlstudents: from 28%. Results: Theoverallpassoutratehasimprovedto81% 82.7% from28%. Results: Theoverallpassoutratehasimprovedto the society resources tothepoorand marginalizedgroupsof that particularlyenhanceaccess andallocationof Our passion:Improvingeducationforgirls: Girl studentpass%hasimprovedfrom31%to73%. student enrollment%hasimprovedfrom20%to53%. Girl studentdropout%reducedto3%from13%. and encouragechildrenwithprizes. latent talentinchildrenasanongoingexercise writing, elocutionandpaintingtobringoutthe Conducting variouscompetitionslikeessay for everyacademicyear. & UniformsandTeachingAidstoschoolChildren Distributing NoteBooks,ExamKitsSchoolBags students. Conducting specialclassesfor9th&10thclass Mathematics andEnglishsubjects. Appointed 36qualifiedteachingstaffforScience, & ceilingfansforthecomfortofstudents. Restored powerconnectionandprovidedlights 31% to73.5%. Pass percentageofgirlstudentsimprovedfrom 53%. Enrollment ofgirlstudentsimprovedfrom20%to Girl studentdropoutsdecreasedfrom13%to4%. programs Recruitedqualifiedteachingstaff sessions andcareerguidancecounseling Female volunteersconductedparentalawareness etc. higher educationthroughScholarships,grants Provide assistancetotheneedycontinuetheir the girlchildrenaftercompletingtheirSSC. programs toshowsustainableearningsources Female Volunteersconductcareerguidance Provided qualityuniformstothegirlstudents. Cyient constructedseparatewashroomsforgirls. atmosphere. by publicthuscreatingacongenialschool 53

78 Annual Report 2014-15 cyient.com . Celebratesuccesses: 8.9 ● ● ● ● ● Education. Foundation CSRactivitiestoimprovethequalityof Local CommunityandGovernmentsupportinCyient Community Engagement: reaching thechildrenproperly. that theamountspentonqualityofeducationis resources. Surprisevisitsarealsoconductedtoensure monthly auditswereconductedbythededicatedCSR To havethelong-termsustainability,weeklyand Monitoring mechanismforQuality: purpose. from nearbyB.Ed.institutionswerehiredforthis company onmonthlybasis.Qualifiedteachingstaff and thesalariespaidtoteachingstaffby The trainingwasundertakenbythecompanydirectly Faculty augmentationandtraining: visitors. periodic trainingsessionsbytheexternalfacultyand partnered withvariousvoluntarygroups.Therewas Provided thebestoflearningmaterialand Training andCurriculum: to sendtheirchildrenschool. (with parentsandguardians)toencouragethem CSR initiatives,Cyientholdsmonthlymeetings children andthelocalcommunityaboutCyient To bringawarenessamongparentsofschool Parent meetsinCyientAdoptedSchools: Schools with additional classroomsin5oftheCyientAdopted support toCyientAdoptedSchoolsinbuilding25 Government ofAndhraPradeshextended requests raisedforadditionalClassRooms, With thefollowupofCyientFoundationon Events: Government participationinCyientFoundation creates anunderstandingofthe culturesofeach Additionally, thepublicityaround thesesuccesses sound corporateHRpractices toenablethem implementation ofCSRinitiatives,butalsoallows celebration ofthesesuccessesnotonlydrivesthe In therapidlyexpandingglobalworkplace, (Cyient CSRActivities)arealmeaning of theseinitiativesthatgivetheprogrammes the companyleadershipandhighlightsuccess programme, weinvolvetheactiveparticipationof To sustainthemomentumofourCSR ` 1.20Crores .0ShareandCommunicateCSRvaluetocompany 8.10 8.11 community: impacted. the societyatlargewhereourschoolsarelocated schools. WithCyientinvolvementthecommunityand imparted tounderprivilegedchildreninadopted Cyient aimsatimprovingthequalityofeducation Impact oftheCyientSchoolAdoptionProgramme: ● ● ● ● ● participates in,localissues company takesanactiveinterestin,and would knowthatinadditiontoprovidingjobs,the region withinthecompany.Thelocalpopulation distributing asoundcorporateresponsibilityplan designated CSRTeam,whichallowsfor platform (CorporateAffairs)andcreated Global workplace,createdmulti-functioningHR encourage andmaintainaclearcohesive Cohesive GlobalCSRPlatform-Inorderto programmes andfloorwalksmeetings vision andmissionthroughinduction enlighten theassociatesaboutcompanyCSR Training andDevelopment-Educate to buildmoreawareness. corporate newslettersandothermediareleases published bywayofemailannouncements, practices. Theseeventsareshowcasedand and encouragingcommunityinvolvement back forCSRVolunteers)charitablecontributions implementing rewardprogrammesfor(pat-on- Relations throughourHRteamincludes Community Relations-Encouraging parents tosendtheirdaughters toschool. volunteers havebeenputinplace toencourage sensitization campaignsthroughCyient one femaleteacherineachshiftandspecial designed girl-childpolicy,separatetoiletforgirls, girl childrenfromattendingschool.Specially attempt toovercomethechallengesthatprevent long. Throughaninbuiltstrategy,ourinitiatives children whohavebeendeprivedofeducationfor is speciallyintendedtoimparteducationgirl Special focusontheGirlChild:CyientFoundation and maximumenrolmentofgirlchildren. quality ofeducationimpartedtodisadvantaged the programmemainlyfocusesonimproving primarily instateswhereCyientoperatesIndia, reach outtothecommunity.Presentlyoperating Cyient AdoptedSchoolAdoptionisdrivento Reaching outtotheUnderprivileged: 53 79 Annual Report 2014-15 cyient.com .4Generation 8.14 8.13. ImpactonCommunity: ImpactonTeaching-Learning: 8.12 .5InnovativePracticesAdopted: 8.15 ● ● ● ● ● our schoolsarelocated: employment opportunitiesinthecommunitywhere The CyientCSRactivitiesalsohelpedingenerating ImpactonCommunity:Therehasbeenan - ReachingouttotheUnderprivileged:Cyient - teacher meetings,etc. and communitymembersinschoolevents,parent Cyient Volunteeringactivities,participationofparents that havebeencreatedbyouractivities,suchasthe participation becauseofthevariousconnectionpoints There hasbeenanincreasedparentandcommunity agents ofchangeinthesociety. experiential learninghelpingstudentsemergeas Cyient Activitiesfocusonholistic,conceptualand essay writing,paintingandelocution competitions. various countriesconductedthe learningsessionson spirit amongsttheschools.Infotech customersfrom Inter schoolcompetitionsto raisethecompetitive and continuousmonitoringbythevolunteersteam. Children weregivenaccesstothequalityofeducation School Children. conducted variouscomputerlearningsessionsforthe Schools. Thevolunteersfromthecompanyhave Implemented E-LearningfacilitiesinCyientAdopted earning sources. guidance programmestoshowsustainable children parents&localcommunity.Career Cyient CSRVolunteerstoconductmeetingswith increased parentandcommunityparticipation. amenities andfacilities. reach outtothecommunitybyprovidingvarious Foundation School/CollegeAdoptionisdrivento Uniforms arealsoprocuredfromlocalsuppliers. School Bags,NoteBooks,Examinationkits& students inourschools. community members,especiallyparentsof The Mid-DayMealSupplementvendorsare Hiring oflocalsasschoolwatchmenandcleaners. Hiring oflocalsasschoolmaids(caretakers) Adopted schools). maintain idealteachertostudentratioinCyient (Cyient Foundationappointedvidyavolunteersto Recruitment oflocalqualifiedyouthasteachers of Employment: their businessandthelivesof theircustomers. unique approachofworkingwith ourcustomerstoimprove our brandpromise.Thesethree simplewordsdescribeour Designing tomorrowtogether isourvisionandthebasisof Integrity, Respect,SincerityandTransparency. foundation ofour'ValuesFirst'philosophyFairness, All interactionswithourcustomersarebasedonastrong future facing,imaginativeandpracticalforourcustomers. We useourknowledgeandskillstocreatesolutionsthatare noisy. design oftheengineis14%morefuelefficientand50%less resulted infasterdevelopmentatlowercosts.Thefinal effort andproposedmorethan100designconcepts engine program.Wehavecontributedto27%ofthedesign we participatedindevelopmentofanext-generationaero Quieter andgreenerskies-Foroneofouraerospaceclients, systems throughwirelessnetwork. parameters, sendingthemtothepatienthealthrecords market thathasthecapacitytocapturevitalhealth markets -Developedane-healthproductfortheIndian Affordable healthtrackingsystemforcostsensitive Human Value: costs reduced fieldsurveycostsand40%savingsindeployment 300,000 homesin22citiesarecordtime,with70% exising ductroutes,wehaveenableddeliveryofFTThto cable routesforinfrastructureplacementsandutilizing the existingFTThdeploymentareas,optimizingfiber help theclientaddressdeploymentchallenges.Byanalyzing We haveimplementedaholisticplananddesignsolutionto FTTh marketneedsanddesignanoptimizedfibernetwork. provider inNetherlandswasfindingitdifficulttoanalyzethe Innovations innetworkplanningandDesign:Leadingservice Business Value: time. of theproductby30%whilecompletingprojectwithin optimizations, teamwassuccessfulinreducingtheweight in USA.Throughtheuseofalternatematerialsanddesign time frameandtomeetroadabilityrequirementsofallstates duty truckusedintheconstructionindustry,11month Product Costreduction-Partneredindevelopmentofheavy Technical Value: instances/case studies: perspectives: technical,businessandhuman.Afew customers. Welookateveryprojectfromthree focusedondeliveringvaluetoour We arecontinuously manner. their customersandconsumersinaresponsible Business shouldengagewithandprovidevalueto Principle 9. 53

80 Annual Report 2014-15 cyient.com .Thecompanybelievesinthephilosophyofreturning 1. lc yeaa (M Hyderabad : Place 23April2015 : Date TheCSRCommitteeconfirmsthattheimplementation andmonitoringoftheCSRPolicy,isincompliancewith CSR 7. Incasethecompanyhasfailedtospendtwopercentofaveragenetprofitlastthreefinancial years orany 6. .Skill 6. ITLiteracyto 5. Annual ReportonCSRActivities 4 Community 3. Improve Quality 2. Hygiene& 1. orActivity CSRProject No. Sl. (2) (1) TOTAL Initiative Development Literacy National Digital community - innovation business aligned to Social Innovation vision includes: charity andenhancesocialimpact.Thecompany'sCSR social responsibility(CSR)aimstoextendbeyond taken fromit.Inviewofthis,thecompany'scorporate to societyasameasureofgratitudeforwhatithas corporate-social-responsibility-csr   accessed at The CSRpolicy,projectsandprogrammesmaybe systems." sustainable changesthrougheducationandhealthcare and supportingprogrammesthatbringabout community aroundusbybeingcommittedtocreating Achieving long-term,holisticdevelopmentof The company'sCSRmissionis: objectives andPolicyofthecompany. part thereof,thecompanyshallprovidereasonsfornot spendingtheamountinitsBoardreport-NotApplicable Development adopted Schools Education in adopted Schools Wellbeing in identified innovation To participateinprojectswithbusinessaligned quality ofeducationand To helpunderprivilegedchildrentoaccessthe http://www.cyient.com/who-we-are/ Employability Graduates for Training toEngineering Knowledge andSkill FOUNDATIOM NASSCOM Mission Centers- National DigitalLiteracy FOUNDATION RESEARCH HYDERABAD EYE Health -LVPEI Heart Patientssupport Sanitation tocommunity, Minister ReliefFund, Donation APChief Flood Relief-Hudhud schools Foundation adopted Education -InCyient schools Foundation adopted Education -InCyient Project iscovered Sector inwhichthe (3) Districts: RangaReddy Telangana State: East Godavari Districts: RangaReddy& Pradesh Telangana &Andhra Districts: RangaReddy State: Telangana Districts: RangaReddy State: Telangana East Godavari Districts: RangaReddy& State: AndhraPradesh East Godavari Districts: RangaReddy& Pradesh State: Telangana&Andhra or programsundertaken and districtwhereprojects (2) Specifythestate (1) LocalAreaorOther Projects orprograms (4) ngn ietr&CO (Chairman-CSRCommittee) anaging Director&CEO) rsn oaauK.Ramachandran Krishna Bodanapu DN0313)(DIN-00193357) (DIN-05301037) ` ) Lakhs .DetailsofCSRspentduringthefinancialyear. 5. PrescribedCSRExpenditure(twopercentofthe 4. Averagenetprofitofthecompanyforlastthree 3. TheCSRcommitteeofthecompanyiscomprisedof: 2. 351.0 57.0 32.0 50.0 70.0 82.0 60.0 ( or programwise (budget) project Amount outlay (5) c Mannerinwhichtheamountspentduring (c) Amountunspent, ifany;Nil (b) Totalamounttobespentforthefinancialyear: (a) amount asinitem3above): financial years: Infrastructure isapermanentinviteetothecommittee. Mr. B.AshokReddy,President-CorporateAffairs& Mr. KrishnaBodanapu. Mr. B.V.R.MohanReddyand Mr. K.Ramachandran financial yearisdetailedbelow. ` 355.8Lakhs (2) Overheads:( on projectorprograms. (1) Directexpenditure Sub-heads: projects orprograms Amount spentonthe (6) ` 355.8 16,346.6 Lakhs 16,346.6 69.1 30.7 50.0 67.0 81.4 57.6 ` ) Lakhs 355.8 Lakhs ` 326.9Lakhs period ( reporting upto the expenditure Cumulative (7) 69.1 30.7 50.0 67.0 81.4 57.6 Annexure-B ` ) agency implementing through Direct or Amount Spent: (8) have beenspent All theamounts through the Foundation Cyient 53 81 Annual Report 2014-15 cyient.com v ThefollowingRegulationsandGuidelinesprescribed (v) ForeignExchangeManagementAct,1999and therules (iv) The DepositoriesAct,1996andtheRegulations (iii) (ii) TheCompaniesAct,2013(theAct)andtherulesmade (i) according totheprovisionsof: Company" forthefinancialyearendedon31stMarch,2015 returns filedandotherrecordsmaintainedby"the I haveexaminedthebooks,papers,minuteformsand to thereportingmadehereinafter: mechanism inplacetotheextent,mannerandsubject Company hasproperBoard-processesandcompliance- the statutoryprovisionslistedhereunderandalsothat the financialyearendedon31stMarch,2015compliedwith opinion, thecompanyhas,duringauditperiodcovering conduct ofsecretarialaudit,Iherebyreportthatinmy officers, agentsandauthorizedrepresentativesduringthe provided anddeclarationsmadebytheCompany,its maintained bythecompanyandalsoinformation minute books,formsandreturnsfiledotherrecords Based onmyverificationoftheCompany'sbooks,papers, thereon. conducts/statutory compliancesandexpressingmyopinion me areasonablebasisforevaluatingthecorporate Secretarial Auditwasconductedinamannerthatprovided Enterprises Limited)(hereinaftercalledthecompany). corporate practicesbyCyientLimited(formerlyInfotech applicable statutoryprovisionsandtheadherencetogood I haveconductedthesecretarialauditofcompliance (Formerly InfotechEnterprisesLimited) Cyient Limited The Members, To, (Appointment andRemunerationPersonnel)Rules,2014] [Pursuant tosection204(1)oftheCompaniesAct,2013andruleNo.9 FOR THEFINANCIALYEARENDED31STMARCH,2015 SECRETARIAL AUDITORS’REPORT a TheSecuritiesandExchangeBoardofIndia (a) 1992 ('SEBIAct'):- under theSecuritiesandExchangeBoardofIndiaAct, Investment andExternalCommercialBorrowings; Foreign DirectInvestment,Overseas and regulationsmadethereundertotheextentof Bye-laws framedthereunder; ('SCRA') andtherulesmadethereunder; The SecuritiesContracts(Regulation)Act,1956 thereunder; Regulations, 2011; (Substantial AcquisitionofShares andTakeovers) xv The (xiv) TheContractLabour(Regulation andAbolition)Act, (xiii) A.P.ShopsandEstablishmentAct, 1988; (xii) ServiceTaxAct,1994andrulesmadethereunder; (xi) IncomeTaxAct,1961andrulesmadethereunder; (x) TheContractLabour(RegulationandAbolition)Act, (ix) The (viii) TheEmployees?ProvidentFundsandMiscellaneous (vii) Employees'StateInsuranceAct,1948and (vi) i Secretarial StandardsissuedbyTheInstituteof (i) of thefollowing: I havealsoexaminedcompliancewiththeapplicableclauses Abolition) CentralRules,1971; 1970 andtheContractLabour(Regulation Abolition) CentralRules,1971; 1970 andtheContractLabour(Regulation Bonus Rules,1965; Funds Scheme,1952; Provisions Act,1952andTheEmployees'Provident State Insurance(General)Regulations,1950; Company SecretariesofIndia; thereunder; h TheSecuritiesandExchangeBoardofIndia (h) TheSecuritiesandExchangeBoardofIndia (g) TheSecuritiesandExchangeBoardofIndia (f) TheSecuritiesandExchangeBoardofIndia(Issue (e) TheSecuritiesandExchangeBoardofIndia (d) TheSecuritiesandExchangeBoardofIndia(Issue (c) TheSecuritiesandExchangeBoardofIndia (b) Special EconomicZonesAct,2005andrulesmade Payment ofBonusAct,1965andthe (Buyback ofSecurities)Regulations,1998; and (Delisting ofEquityShares)Regulations,2009; and dealingwithclient; Regulations, 1993regardingtheCompaniesAct (Registrars toanIssueandShareTransferAgents) and ListingofDebtSecurities)Regulations,2008; Stock PurchaseScheme)Guidelines,1999; (Employee StockOptionSchemeandEmployee Regulations, 2009; of CapitalandDisclosureRequirements) (Prohibition ofInsiderTrading)Regulations,1992; Annexure-C 53

82 Annual Report 2014-15 cyient.com the IndependentDirectors. the directorsandratifiedby meeting werecirculatedtoall through VideoConferenceandtheminutesofsaid Directors oftheCompanyhaveattendedsaidmeeting transact someurgentmattersandtheIndependent meeting wascalledatashorternoticetoconsiderand The BoardMeetingheldon11thSeptember,2014thesaid participation atthemeeting. andformeaningful on theagendaitemsbeforemeeting seeking andobtainingfurtherinformationclarifications sent atleastsevendaysinadvance,andasystemexistsfor Board Meetings,agendaanddetailednotesonwere adequate noticeisgiventoalldirectorsschedulethe Meetingheldon11.09.2014 Except incaseofBoard Act. were carriedoutincompliancewiththeprovisionsof Directors thattookplaceduringtheperiodunderreview Directors. ThechangesinthecompositionofBoard Directors, Non-ExecutiveDirectorsandIndependent is dulyconstitutedwithproperbalanceofExecutive I furtherreportthatTheBoardofDirectorstheCompany Guidelines, Standards,etc. with theprovisionsofAct,Rules,Regulations, During theperiodunderreviewCompanyhascomplied The ListingAgreementsenteredintobytheCompany (ii) Limited; with BSELimitedandNationalStockExchangeofIndia .TheBoardofDirectorstheCompanyattheir 3. TheCompanyhassetupawhollyownedsubsidiaryat 2. ThenameoftheCompanywaschangedfromInfotech 1. I furtherreportthatduringtheauditperiod: guidelines. compliance withapplicablelaws,rules,regulationsand operations ofthecompanytomonitorandensure processes inthecompanycommensuratewithsizeand I furtherreportthatthereareadequatesystemsand minutes. members' viewsarecapturedandrecordedaspartofthe Majority decisioniscarriedthroughwhilethedissenting ae:22.04.2015 : Date Hyderabad : Place from investments inRangsonsElectronicsPrivateLimited meeting heldon15thJanuary,2015haverevisedthe Australia -CyientPtyLtd. by theRegistrarofCompanies,AndhraPradesh. certificate ofincorporationdated5thMay,2014issued Enterprises LimitedtoCyientvidefresh ` 200croresto ` 300croresintheaggregate. Practicing CompanySecretary S. Chidambaram FCS No.3935 C PNo:2286 53 83 Annual Report 2014-15 cyient.com Details ofStockOptionspursuanttoSEBIregulations Infotech AssociateStockOptionPlans(InfotechASOPs) Sl.No. Description ASOP 2008 ASOP Description Sl.No. 3 Diluted EPSasper 13. 1 Totalno.ofoptionsexcercis Totalno.ofoptionsoutstandi 11. 10. 2 Employeewisedetailsofoptionsgrantedto 12. .Otosgatddrn h er105,000 MarketpriceasdefinedinSEBI MoneyrealizedbyexerciseofOptions( Variationoftermsoptions 9. Optionslapsed 8. Totalno.ofsharesarisingas 7. Optionsexercised 6. Optionsvested 5. 4. formula Pricing Options granted during the year 3. Numberofoptionsoutstandingat 2. 1. i n te mlyeworcie rn nayoeya fotosNil I iii) Anyotheremployeewhoreceivedagrantinanyoneyearofoptions ii) SeniorManagerialPersonnel: i) of thecompanyattimegrant: (excluding outstandingwarrantsandconversions) equal toorexceeding1%oftheissuedcapital amounting to5%ormoreofoptionsgrantedduringtheyear: Brain Wyatt Rajendra Velagapudi John Renard Anand Parmeswaran Sunil KumarMakenna Sanjay Krishnaa NJJoseph Tom Edwards Katie Cook Ajay Aggarwal dentified employeeswhoweregrantedoptions, Accounting Standard20 able attheendof a resultofexercise ng attheendof the beginingof ` 67,132,138 ) IR 24.09 (INR) tepro 432,195 theperiod the peri fotos396,452 of options the period during any d637,383 od n er Nil one year, (ESOS&ESPS) Guidelines,1999 Annexure-D 396,452 519,325 956,144 27,309 10,000 10,000 15,000 15,000 10,000 10,000 15,000 5,000 5,000 5,000 Nil 53

84 Annual Report 2014-15 cyient.com ae:April23,2015 : Date Hyderabad : Place 4 )Mto fcluaino mlye:TheCompanyhascalculatedtheemployee : Methodofcalculationemployee i) 14. )Dsrpino h ehdadsgiiat:TheBlackScholesoptionpricingmodelwasdevelopedfor : significant and method the of Description v) i Themainassumptions usedintheBlackScholesoption-pricingmodelduringyearwereasfollows: vi) v Weightedaverageexercisepriceandfairvalueofstockoptionsgranted: iv) i ifrnebtenteepoe opnain: Differencebetweentheemployeecompensation ii) iii) The Impact of this difference on profits and on : Profit After Tax (PAT) Tax After Profit : TheImpactofthisdifferenceonprofitsand iii) arvleo h pin,icuigtevestingrestrictionsandarefullytransferable.Sinceoption estimatingfair following weightedaverageinformation the including options, the of value fair assumptions usedduringtheyeartoestimate iiedyed():1.95% : 8.00% : Dividend yield(%) years 1-3 Expected volatili : Expected lifeofoptionsfromthedate(s)grant Risk freeinterestrate(%) tc pin egtdaeaeWihe vrg ClosingmarketpriceatNSE average Weighted average Weighted Options Stock opnaincs compensationcostusingtheintrinsicvalue ofthe cost compensation EPS of the company Less: Additional employee Additional Less: EPS ofthecompany if ithadusedthefairvalueofoptions compensation costthatshallhavebeenrecognized cost socomputedat(i)aboveandtheemployee rne nexerciseprice(in on granted 20/4340 2.0325.00 184.45 115.50 142.25 162.95 162.90 165.00 325.00 170.50 184.45 186.60 115.00 362.30 141.90 360.70 78.44 377.95 76.93 269.50 76.34 164.70 324.00 82.99 184.00 251.15 87.81 118.00 175.72 142.00 173.31 161.00 12/06/04 179.57 165.00 17/10/13 119.02 165.00 70.46 19/10/11 169.00 13/06/11 108.13 188.00 22/03/11 350.00 02/02/11 359.00 23/10/10 375.00 16/07/10 271.00 02/07/10 169.00 15/04/10 250.00 08/04/10 05/04/10 16/09/09 12/05/09 13/06/08 y():59.07% : ty (%) ` fairvalue(in ) reliable measureoffairvalueoptions. The optionpricingmodelsdonotnecessarilyprovidea changes therein changes therein pricing Adjusted EPS ` Adjusted PAT stock options fair value compensation costbasedon 4.49Million(increase) models requireuseofsubstantiveassumptions, value oftradedoptionsthathaveno ` can materiallyaffectfairvalueofoptions. onthedateofgrant(in ) On behalfoftheBoardDirectors ` ` ` ` B.V.R. MohanReddy Executive Chairman 771 million 2707.10 million 2711.59 24.05 (DIN-00058215) .9million 4.49 ` ) 53 85 Annual Report 2014-15 cyient.com .Research&DevelopmentandBenefitsthereon 2. ConservationofEnergy 1. EARNINGS ANDOUTGO ADAPTATION ANDINNOVATIONFOREIGNEXCHANGE CONSERVATION OFENERGYTECHNOLOGYABSORPTION, enhancing gridreliability. Analytics tominimizeutility operational costswhile utility coresystemssuchasGIS, SmartMeteringand This frameworkleveragesthe company's expertiseon Smart Gridvisionsofglobalutilities. components thatcanpotentiallyplayapartinthe of integratedapplications,electronicdevicesand Utilities, TelecomandEngineeringtodevelopavariety industry. Weareabletoleverageitsexpertiseacross a keyenablerofCyient'sinnovationsfortheUtilities Nature ofactivities:Thisfacilityisbeingleveragedas Smart CityLab R&Dprojects. stateof-the-art TechnologyCentreworkingonvarious Your companyhasamodernR&Dfacilitywith responsibility report. purpose. Moreinformationisavailableatthebusiness by resultinginusageoftheSTPwaterforplantation plant wasinstalledatourKakinada-SEZlocationthere In ordertoconservenaturalresources,anotherSTP conducted. save energy,energyauditatourlocationswas recycling ofpaperformakingrecycledproducts.To the paperwastefromourlocationsisgiventoITCfor As partoftheconservationournaturalresources, approved byPollutionControlBoards. disks, printers]relatedassetsaresoldtoafirm taken bythecompany,E-Waste[oldsystems,hard same atotherlocations.Also,aspartoftheinitiative the savingscompanywouldliketoreplicate would resultinconsiderablesavings.Afteranalysisof weekends andsendmailersonobservations.This continuous monitoringafterofficehoursandduring awareness toassociatesbysendingmailers, conventional lightingwithLEDlighting,creating the organization.Thisincludes,replacingexisting level andthishasresultedinconsiderablesavingsto implementing energysavingspracticesatorganization conservation, wehaveinitiatedtheprocessof power fortheManikondafacility.Also,aspartofenergy regard, companyisintheprocessofavailingsolar practices inareasofenergyconservationandthis It isourcontinuousendeavortoimplementthebest type ofindustrialrobot. laid downundercomputercontrol. A3Dprinterisa processes inwhichsuccessive layersofmaterialare electronic datasourceprimarily throughadditive object ofalmostanyshapefroma3Dmodelorother various processesformakingathree-dimensional strong focusareainourorganization.)Itinvolves manufacturing relatedrapidprototypingresearchisa experience centre,3DPrintingoradditive in thisfacility.RapidPrototypinglabisapartof centers areplannedforinitiatingseveralR&Dprojects and mappingcompanies&virtualrealitysimulation art co-innovationlabswithworldsleadingCAD/CAE platforms, Internet-of-thingslabsetup,state-of-the the nearfutureadvancedflyingindustrialdrone see, analyze,learnandexperimentwithnewideas.In actual productsdesignedbyCyienttohelpengineers (CAD) tophysicaloutcome.TheCenterwillexhibit seamless transitionfromComputerAidedDesign of producingplasticandmetalcomponentsensures machines, 3Dprintersandtable-topmachinescapable advanced ComputerNumericalControl(CNC) concept tofinaldesign.Prototypingofpartswith thereby acceleratingthedevelopmentcycletimefrom giving rapidprototypingcapabilitiestotheengineers, The facilityalsoenablesefficientproductrealization Cyient engineerstoprototypetheirdesignsbetter. Center focusesonInnovationatCyient,whichwillhelp Cyient tobuildthisfacility.TheExperience assembly. Aninvestmentof spaces forproductdisplay,prototyping,inspectionand campus isspreadovertwofloorswithdedicated ft., thenewfacilityatcompany'sHyderabad Cyient customers.Spanninganareaofover15,000sq. the finalproduct,resultinginashorterdesigncyclefor is toclosethegapbetweenengineersdesignand designs. ThepurposeoftheCyientExperienceCenter learn aboutproductsandcomponentsthecompany which givesitsengineerstheabilitytosee,touchand inaugurated astate-of-the-artExperienceCenter of DesigningTomorrowTogether,werecently Nature ofactivities:AspartCyient'scorporatevision Experience Centre costs. capacity, andreducedtruckrolls,thusminimizingtheir outages, effectiveplanningforimprovedfuture Some ofthekeybenefitstoutilityarereduced ` 50millionwasmadeby Annexure-E 53

86 Annual Report 2014-15 cyient.com .TechnologyAbsorption,AdaptationandInnovation 3. further strengthenedtheInformationtechnology management andhandlingintellectualproperty.We compliance cultureacrossinformationsecurity,Risk As anongoingendeavor,westrengthenedour protection technologies. information systemsavailabilityandendpoint software technologiesandsecuritydevicestoimprove facilitating growthandsafetyhadenhancedwithnew latest hardwareandsoftwaretechnologiesthat The state-of-theartITinfrastructurecomprisingof controlled andprovidedwhenneeded. information systemsareappropriatelyauthorised, control ontheinformationsystemsensuring information systemsplatformandbytakingcomplete speed ofservice"byestablishingreal-timebusiness IT resultsintermsofinnovation,cost,qualityand as businessenablerwithitsvisionof"Deliver"effective" Information technologycontinuedtoplayavitalrole oa eeu .1 0.11% 0.51% Nil 13.21 Total Revenue 51.82 percentage of 14.69 R&D Expenditureas Total R&D Capital Expenditure Revenue Expenditure Particulars Expenditure ac 1 05March31,2014 March 31,2015 ereddYearended Year ended 65 13.21 66.51 ( ` inmillion) ae:April23,2015 : Date Hyderabad : Place .ForeignExchangeEarningsandOutgo 4. Exchange EarningsandOutgoareasfollows: carried productpromotionactivities.DetailsofForeign your companyparticipatedinvariousexhibitionsand income. Inordertopromoteproductsalesandservices, year,export earningsaccountedfor94.7%ofthetotal of EngineeringandSoftwareServices.Duringthe Most ofyourcompany'searningsarefromtheexport solutions. strategies', encryptiontechnologiesandcloudbased absorbing latest'provisioninganddeployment environment fortheircontinuedavailabilityby information assetssecuritybystandardisingthe We furtherexpecttostrengthenITsystemsand a complianceenvironment. to alignwithourpartnersandsuppliersinmaintaining processes andsecurityculturethatmakeitpossible Foreign ExchangeEarning Foreign ExchangeOutgo

Particulars On behalfoftheBoardDirectors ac 1 05March31,2014 March 31,2015 ereddYearended Year ended 211212,169.8 12,181.2 ,8. 2,336.9 2,184.6 B.V.R. MohanReddy Executive Chairman (DIN-00058215) ( ` inmillion) 53 87 Annual Report 2014-15 cyient.com Engineering Research&Development(ER&D) Overview ofIndustry percent and3.8in20152016,respectively. Overall, globalgrowthisprojectedtoreachbetween3.5 output willprovidesufficientstimulustokick-startgrowth. spending inanumberofregions,andstrongertrendU.S. trend instockmarketvaluations,increasedinfrastructure significant currencyreliefformanycountries,therising combination oflowborrowingcosts,gasonlineprices, into 2016.Thisisbaseduponexpectationsthatthe profile willemergethroughthebalanceofyear2015and We continuetobelievethatanimprovingglobalgrowth large declineinoilprices. monetary policyacrossmajoreconomies,aswellthe sizable, reflectingchangingexpectationsaboutgrowthand Exchange ratemovementsinrecentmonthshavebeen in explainingthegrowthslowdownMiddleEast. exports. Also,increasedgeopoliticaltensionsplayedarole consumption supportedbyloweroilpricesandhighernet signs ofapickupinthethirdquarterandearly2015,with weaker thanexpectedinthemiddlepartof2014butshowed in 2014wasclosetozero.Intheeuroarea,activity 2014. InJapan,afteraweaksecondhalfoftheyear,growth averaging about4%annualizedinthelastthreequartersof Growth intheUnitedStateswasstrongerthanexpected, emerging marketanddevelopingeconomies. economies relativetothepreviousyearandaslowdownin percent, reflectingapickupingrowthadvanced and unevenpace.Globalgrowthin2014wasamodest3.4 The globaleconomyiscontinuingtoexpandatamoderate Overview ofEconomy MANAGEMENT DISCUSSIONANDANALYSIS Make inIndia,amajornewnational program,designedto offsets woulddriveER&Dspend inAerospacesectorIndia. government's focusonindigenization, self-relianceand at ~$1.3billion(9%share in totalER&Dspend).The currently estimatedatUSD14billionwithoutsourcedER&D from theselocations.IndianER&Dmarketisstillverysmall, local market-thisislikelytoseemoreER&Doutsourced China isemergingasbothamanufacturinghubandlarge is growingatover40%CAGRforlast5years.Asia,especially and thoughitaccountsforonly10%ofexportscurrently, Japan isprogressivelybecomingmoreopentooffshoring dominate withover80%oftheglobalengineeringspend, In termsofgeographies,NorthAmericaandEurope analytics, etc.) connected aircrafts,smartgrids,InternetofThings(IOT), technologies (fuelefficiencies)anddigital(connectedcars, ER&D, commonthemesemergingincludegreen USD 1.44trillion.Whileindustryspecifictrendsaredriving Global engineeringspendgrewbynearly3%in2014toreach develop innovative,affordableanddifferentiatedproducts. cycle engineering,digitalandanalyticstechnologiesto advantage ofitsrichexperienceincompleteproductlife- expected togrowdoubledigit.Cyientiswellplacedtake growth storyissettocontinue,withrevenueinFY2016 Indian engineeringandproductdevelopmentsegment's - acrossverticals. of analytics-bothdataandengineering level ofdata.Thisinturnisseeingthegrowingapplication implemented, givingunprecedentedaccesstodifferent based products,IoT,M2Mconnectivityetc.,arebeing Increasingly, digitaltechnologies-cloudplatforms, product andprocesslevels. engineering (end-to-endownership)andinnovationatboth portfolio iswitnessinggreateremphasisonproduct to be>25%by2020.Duethisshift,ER&Dservices Share ofhighcomplexityworkdonefromIndiaisexpected complexity work(prototyping,conceptdevelopment,etc.,). mid-complexity work(testing&validation,etc.,)toveryhigh clients arebecomingmoreopentooffshorebothlow-to are alsoinfluencingoutsourcingstrategies.Asaresult mover advantage),meetinggovernmentregulations,etc. emerging markets,loweringtime-to-market(gainingfirst factors aregainingprominence-innovatingproductsfor While costcontinuestobearelevantfactor,globallyother opportunity) businessesacrossIndia. infrastructure, willdrivegrowthinmanufacturing($8Billion development andbuildbest-in-classmanufacturing fosterinnovation,enhanceskill facilitate investment, (approximately 40%)inthe marketfollowedbyNorth Pacificholds themajorshare at $17billionin2015.Asia market. Marketfortelecomnetwork servicesisestimated Europe andNorthAmericaare themajorcontributorsin Telecom outsourcingisestimatedat$50billion(2014). Technology Convergenceandagingassets. operations; InformationTechnology&Operations inflows tothegrid;increasingroleofCommunicationsingrid Emergence ofAdvancedMeteringInfrastructure;renewable key trendswitnessedbythisindustryin2014,are rate of7%toamount$4.2billionin2016.Somethe valued at$3.6billionin2014andisexpectedtogrowa at $1.7billion.GlobalspendingonOperationalServicesis potential forPowerEngineeringanddesignworkestimated North Americanregions.Thesemarketsalsohavestrong services aredriving$2billionmarket,majorityinEuropeand managed servicesandMeterDataManagement(MDM) GIS services,estimatedat$1.2billionin2014.Smartgrid in Mobileworkforcerequirementsaredrivingthemarketfor $ 110billion(2014).EmergenceofSmartGridsandgrowth Global Utilitiesoutsourceablemarketisestimatedat Networks &Operations Annexure-F 53

88 Annual Report 2014-15 cyient.com markets. Additionally,government policieslikeElectronics (NOFN) etc.andrisingmanufacturing costsinalternate Knowledge Network(NKN), NationalOpticalNetwork government schemeslikedigitization policy,National market driversaresignificantlocaldemanddueto (ESDM) isexpectedtobe$94.2billionby2015.Thekey Indian's ElectronicsSystemsDesignandManufacturing adoption ofelectronics. aerospace sectorwillcontinuetogrowbasedonincreased defense sectorduetosequestrationofbudgets, $25.23 billionby2019.Eventhoughthereisadeclineinthe market expectedtogrowfrom$16.64billionin2014 Aerospace andDefenseaswellwithEMSrevenuesfromthis positive impactonEMS.Thereisincreaseddemandin (instruments) arefuelinggrowthforelectronicswhichhasa automotive (smartcars)andhealthcareindustries growth wasduetostrongdemandforsmartphones.The grown by5.1%inrevenue2014.Alotofthispositive The globalEMSmarketsizeis$436.7billion,thissectorhas Electronics ManufacturingServices(EMS) trends andopportunities. the companyinastrongpositiontocapitalizeonthese Cyient's deeprootsandexpertisearoundGeospatialputs indoor positioningandnavigation(IPIN)technologies. signals inindoorenvironmentshascreatedtheneedfor area isIndoorMapping:theinadequatestrengthofsatellite big dataanalyticsintheGISindustry.Anotherinteresting driver behavior,changedetectionetc.fuellingtheneedfor business challengessuchas:realtimevehicletracking, bytes ofspatialdatacanbeanalyzedforaddressingspecific amount ofgeospatialinformationavailable.Thesetera industry..Additionally, thereisanexponentialincreaseinthe city modeling,iscurrentlyabigtrendinthe systems whichareinturnusedforNavigationpurposes.3D 3D geospatialdatahasfueledtheuseofmobilemapping in 2014.Thegrowingdemandforaccuratehighresolution development, includingspatialanalyticsstoodat$26billion Geospatial InformationSystems(GIS)basedsoftware Mapping &Processing,3DModelingIndoorMapping, The CommercialGeospatialmarketincluding,SpatialData Commercial Geospatial clients intheUtilitiesandCommunicationsmarkets. to deliversignificantvalueandbusinessbenefitsits and technologyinvestments,Cyientisverywellpositioned engineering withitsdeepindustryknowledgeandresource Combining overtwodecadesofexperienceinnetwork connections, followedbyEurope(28%)andNorthAmerica. regional M2Mmarketaccountingfor42%ofglobal it isestimatedtoreach$54billionin2017.Asiathelargest Machine (M2M)marketisestimatedat$37billionin2014and expected togrowataCAGRof4%till2016.Machine services isexpectedtoreach$14Billionin2015and America. GlobalmarketforOperationalSupportSystems strengthening existingrelationships. attract topglobaltalentandwinnewclientswhile company continuestodeliverstrongfinancialresults, Long termstabilityandthegrowthmomentumof connectivity, ormorereliableGPSnavigation. automated signalingsystem,morerobustbroadband outcomes wehelptodelivercouldbeaquieterflight, further, resultinginabettertomorrow.Thevalueand the worldisenablingcompanytodomoreandreach networks. Theselong-termpartnershipswithclientsaround efficiency ormaximizethereturnoninvestmentintheir costs, andimprovetimetomarket,enhanceoperational innovative productsfaster,optimizetheirengineering makes Cyient,anidealpartnerforclientswhowanttodesign investments inpeople,processesandtechnologies.This unique combinationoflongstandingclientrelationshipsand expertise hasbeenbuiltoverthelast23yearsthrougha The breadthanddepthofCyient'sdomaintechnology semiconductor, telecom,utilitiesandgeospatialindustries. medical, oilandgas,mining,heavyequipment, expertise intheaerospace,railtransportation,energy, transformation andanalytics.Thecompanyprovides engineering, operationsmanagementandsupport,data development andlife-cyclesupport,processnetwork clients worldwide.Thecompany'ssolutionsincludeproduct engineering solutions,NetworkandOperationsolutionsto Cyient isaproviderofcompleteproductlifecycle Overview Business Overview solutions partner.Ourvalueproposition isreflectedinthe play tobecomingamoredeeply engagedsystemsand S3 givesustheopportunityto transitionfrompureservices value chain. with newcapabilities,Cyientcanaddressmoreofourclients' leveraging thesestrongassetsandcomplementingthem established awell-testedglobaldeliverymodel.By of engineeringandtechnologycompetencies domain knowledgeinourcoreindustries,developedarange Over thepasttwoandahalfdecades,wehaveacquireddeep clients, employees&investors. part ofthevaluechainwhereweseebestfor model valuechainbyindustryandourplantoaddressthe S3 strategyisourarticulationofTechnology&Business as theS3Strategy(Services,Systems,andSolutions). next 3to5years.Thisaspirationisdefinedandarticulated objective topreparegroundforacceleratedgrowthinthe a comprehensivestrategydevelopmentexercisewithan Over thecourseofFinancialYear14-15,Cyientundertook Strategy etc., arealsodrivingthisgrowth. Manufacturing ClusterSchemes,SkillDevelopmentScheme 53 89 Annual Report 2014-15 cyient.com and valuedpartnerforclientsworldwide. this valuepropositionandmakeusanevenmorerelevant partner. OuracquisitionsinFY15havehelpedtostrengthen differentiates thecompanyasa"concepttosolution" Cyient's S3strategyanditsimplementationpositions global footprint. flexibility withbusinessmodels,crossborderdeliveryand innovative andcollaborativeculture,customercentricity, competencies infocusindustrysegmentsalongwithan We believeourcompetitivestrengthsincludestrong Strengths re-define ourmarketleadership. the nextfiveyears.Webelieveitwillbegame-changingand S3 isvitallyimportanttoourgrowthandsustenanceover Design-Build-Maintain strategy. Electronic ManufacturingServicesandstrengthensour Realization spacewithwell-testedcapabilitiesaround Things.Rangsons ElectronicsputsusintheProduct space ofDataAnalyticsandtheIndustrialInternet science capabilitiestooffernewsolutionsintheevolving engineering, networksandoperationsexpertisewithdata portfolio. CyientInsights(formerlyInvatiInsights)combines award winningServiceManagement/Assurancesolutions Design toOperate"valuepropositionthatleveragesour extends ourCommunicationsplaybydeliveringa"Network further reinforcedourstrategyandexecution.Softential Cyient's acquisitionfocusduringthecourseofFY15has across moreoftheirvaluechain. client relationshipsbytakingresponsibilityandownership technologies. Italsoallowsustobuilddeepandresilient involved withinnovativeandindustry-changing avenues fornewskillsacquisitionandopportunitiestobe growth, opensupnewleadershiproles,andprovides S3 strategycreatesseveralnewopportunitiesforindividual problems andfulfillamuchbroaderrangeofclientneeds. Things anddataanalytics,Cyientcansolvebusiness services; andbyaligningtonewtrendsaroundInternetof engineering, throughproductrealizationtoaftermarket S3 continuum:fromproductideationanddesign materials, alternatefuels),localization ofproductsforend- Sustainability (improvingfuel efficiency, R&Donadvanced engineering. is shiftingfromdesigntomanufacturing andsustenance with fastertimetomarket.InsomeindustrysegmentsER&D which willenablethemtodesignmarketspecificproducts support servicestoowningcompleteproductresponsibility, solutions.Client's demandisshiftingfromlow-endtactical respectively, whichhighlightsclientneedforcomplete 58% growthinconceptdevelopmentandprototyping report, overthenextfiveyears,wewouldwitness86%and Based ontheNASSCOMIT-BPMstrategicreview2015 Opportunities Digital &Analytics. Cities, SmartGrids,completeproductlifecyclesupportand of Things/MachinetoMachinecommunication,Smart made alignverywellwithindustrytrendsincludingInternet Cyient'sS3 strategyandtheopportunitychoiceswehave environments, andlotsofanalytics. and matchingtomachinecommunication,digitizingthe in creatingandoperatingsmartgrids,increasingconnectivity technology etc.,whichagainopenswholelotofopportunities smart utilities,housing,mobility, infrastructure inthecountry.Thisrequiressmartdesign, efficient useofavailableassets,resourcesand mission intendstopromoteadoptionofsmartsolutionsfor Other governmentinitiativeofdeveloping100smartcities been providingforclientsacrosstheglobe. network anddigitizationsolutionsthatyourcompanyhas governance, electronicdeliveryofservices,etc.,involves Cyient. Creationofinfrastructure,providingdigital empowerment ofcitizens,offershugeopportunitiesto digital infrastructure,enablinggovernanceand The $7BillionDigitalIndiainitiativewithavisionofcreating Information, CommunicationandTechnology(ICT)sector. in Indiaisexpectedtobe$8Billionopportunityfor NASSCOM estimates,onlymanufacturingportionofMake in drivingdesignleadmanufacturingservices.Asper power etc.,whereyourcompanyhassignificantstrengths electronic systems,mining,railways,oil&gas,thermal program includingaviation,defensemanufacturing, In totalthereare25sectorsthatidentifiedforthis manufacturing, etc.,toencourageMakeinIndiaprogram. improved IPRapparatus,robustinfrastructurefor various changesinstandingpolicieslikeincreasedFDI, in localbusiness.TheIndiangovernmenthasbroughtabout into aleadingmanufacturinghubbyraisingglobalinterest The MakeinIndiaprogramisexpectedtotransform is drivingthegrowingapplicationofanalytics. unprecedented accesstodifferentlevelofdata.Thisinturn M2M connectivityarebeingimplemented,giving technologies, cloudplatforms,basedproducts,IoT, forER&Dfirms.Increasingly,digitization areas offocus user geographies,andminiaturizationcontinuetobekey growth inFY16aswell. Digital India,Cyientisconfident ofdeliveringbroadbased opportunities indomesticmarket likeMakeinIndiaand product developmentsegment andwiththenew improving, anticipateddoubledigitgrowthinER&Dand our chosenverticals.Withglobaleconomicoutlook superior financialperformanceandindustryleadershipin 24.3% Y-o-Y.Wewillcontinuetofocusondelivering acquisitions, wehavedeliveredstrongrevenuegrowthof engagement, deliveryexcellenceandsynergistic In FY15,duetoourcontinuedeffortsonclientandassociate Outlook 53

90 Annual Report 2014-15 cyient.com Threats, RisksandConcerns compliance Anti-bribery and Operations risk M&A Integration risksin Pricing pressures Cost pressures uncertainty Global economic Currency volatility RISK addition topenalaction compliance canleadtoreputationlossin becoming morestringentworldwide.Non- Anti-bribery andcompliancelawsare and businessperformance continuity,etc., thatcanimpactreputation Fraud, securitybreaches,business Risks integraltobusinessoperationslike resultant synergyrevenues strategic objectivesoftheacquisitionand could resultinfailuretoachievethe integration. Ifnotaddressedattheearliest financial andsystems/technology Post-acquisition challengesincludecultural, impacting margins severe pressureonpriceincreases,thereby In thishighlycompetitiveenvironment, on margins operating expensesarecreatingpressures Increasing employeecostsandescalating services the demandforIT&Engineering economics likeUSandEuropecanimpact Economic uncertaintiesinleading translation exposure movements resultintransactionand So volatilityincurrencyexchange our expensesareinIndianrupees. foreign currenciesandsignificantportionof A majorportionofourrevenuesarein IMPACT ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● Focus ison management Control ontheemployeepyramidforcost Leveraging offshorewhereverpossible automation toolstoincreaseefficiencies Developing knowledgebasedengineering Continuous focusonincreasingproductivity Also, equalfocusonallindustriesforgrowth Aggressively focusingonnewmarkets meeting theirbusinessgoals would drivetheirefficienciesandhelp demonstrate ourvalueadditionandhowit Proactively workingwithclientsto manage thisriskappropriately Hedging strategyisreviewedperiodicallyto place Currency hedgingpoliciesandpracticesin and forregularmonitoring placefordue-diligence Mechanisms putin awareness Policies andguidelinesinplacetoincrease disruption toclientservicesduringdisasters management programtoensureminimum Have comprehensivebusinesscontinuity stringent securitymeasures ISO27001 certifiedandhaveimplemented responsible risktakingbytheorganization instituted tofacilitateinformedand Enterprise riskmanagementprogram mechanisms, enterpriseriskmanagement Developed operationalriskmanagement timely actions Periodic reviewoftheactivitiesandtaking monitoring ofthesame integration withwelllaidoutplansandclose Dedicated teammonitoringthePost-merger New businessmodels offering services Taking systemlevelownershipratherthan services providing highervalueanddifferentiated MITIGATION 53 91 Annual Report 2014-15 cyient.com of itskeyobservationsfromtimetotime. in thecompanyandkeepsboardofdirectorsinformed alia, theirviewsontheadequacyofinternalcontrolsystems meets thecompany'sstatutoryauditorstoascertain,inter implementation ofcorrectiveactions.Thecommitteealso considered andtheauditcommitteefollowsupon the internalauditors.Suggestionsforimprovementare Theauditcommitteereviewsreportssubmittedby corporate governancereport. Directors, thedetailsofwhichhavebeenprovidedin ThecompanyhasanauditcommitteeoftheBoard all significantareasofthecompany'sglobaloperations. review theadequacyofinternalcontrolchecksandcovers audit committee.Theinternalprocessisdesignedto statutory auditors(M/sDeloitteHaskins&Sells)andthe plan, whichisreviewedeachyearinconsultationwiththe audit infinancialyear2015-16basedonaninternal financial year2014-15andwillbeperformingtheinternal M/sErnst&YoungLLPcarriedouttheinternalauditfor align allitsprocessesandcontrolswithglobalbestpractices. for exchangeofinformation.Ithascontinueditseffortsto information purposes,whichconnectstodifferentlocations data foraccounting,consolidationandmanagement expenditure. ThecompanyusesanSAPsystemtorecord for delegationofauthorityapprovingrevenueand corporate policies.Thecompanyhasawell-definedmanual with properauthorizationandensuringcomplianceof from unauthorizeduseorlosses,executingtransactions complying withapplicablestatutes,safeguardingassets providing reliablefinancialandoperationalinformation, reasonable assurancewithregardtorecordingand operations. Thesehavebeendesignedtoprovide control commensuratewithitssizeandthenatureof hasinplaceadequatesystemsofinternal The company Internal Controls Since thattimewehaveworked hardtoensurethatallour 'Designing TomorrowTogether'. our wayofworking,themotto foreverythingwedo- Infotech Enterprises.Andwelaidoutourbrandpromise, contains anodtoourpastwiththeletters"IENT"from at onceforwardthinkingandrhymeswithclientbutalso We explainedhowwedecidedonthenameCyient,whichis competitor andshapethefutureofindustriesweserve. how wecanusethatexpertisetobecomeatrulyglobal business ofsolvingourclient'sproblemsfor20yearsand Duringtheseevents,wetalkedabouthowwe'vebeeninthe chapter inthejourneythatwehavebeenonsince1991. Europe, IndiaandNorthAmericawecollectivelybegananew Cyient brand.DuringlauncheventsacrossAsiaPacific, It hasnowbeenayearsinceweofficiallyadoptedthenew Re-branding helping itsclientsdesignanddeliverabettertomorrow. as aunique,globalandforward-lookingcompanythatis single-biggest drivingforcebehindCyientrealizingitsvision my clients.Theresponsetothisquestionwillbecomethe everyday -WhatIamdoingtoshapeabetterfuturewith encourage eachofourassociatestoaskthisquestion As wemoveintothesecondyearofbeingCyient, our keymarkets. invest inthebrandtoimproveoverallawareness stakeholders. Goingforwardwewillneedtocontinue Cyient brandflourishesanddeliversonitspromisetoallour realize thatwestillhavealongwaytogoensurethe services, systemsandsolutions.Butweremainhumble better positionsusasaforourS3strategyofproviding been positivefromboththemarketandourassociates the newbrandandclaimeditasourown.Thefeedbackhas momentum continuedtobuildovertheyearasweadopted While theexcitementatlaunchwaselectrifying, a newwebsite,Cyientbrandedgiveawaysandmuchmore. launched onlineads,airportbillboards,newsalescollateral, prospects understandandidentifywiththebrand.Wehave stakeholders frominvestorstoassociates,clients Shareholder ValueCreation portfolio. focus onawell-diversifiedbusinessandgeography revenue forthecompanyhasmorethandoubleddrivenby compounded annualgrowthrate(CAGR)of20%.The momentum inthelast5yearswithanimpressive The companyhassustainedrobustrevenuegrowth Revenue Growth increase by90%inlastyear. business performancealsoresultedinmarketcapitalization and prudentcapexstrategy.Theseimprovementsin of thefocusonreceivablesmanagement,taxoptimization free cashgenerationhasalsoimprovedsignificantlyinview improved overlast5yearsfrom8%to30%currently.The over thelast5years.Dividendpayouthassubstantially growth inrevenueandprofitof20%24%respectively creation overtheyears.Thishasresultedinsignificant The companyhasworkedtowardsshareholdervalue Revenue 53

92 Annual Report 2014-15 cyient.com sell opportunities. strategic customersandgeneratingmoreup-sellcross- to focusonimprovingrevenuepercustomerbyfocusing in FY'13to4attheendofFY'15.Thecompanywillcontinue US$ 20mnrevenueshasalsodoubledinlast3yearsfrom2 same period.Numberofcustomerscontributingmorethan customers as%ofrevenueisupfrom40%to50%forthe US$ 1.2MninFY'15andrevenuefromNon-Top10 per clientforthecompanyisupfromUS$0.8MninFY'10to initiatives toimproveitsclientminingcapabilities.Revenue business fromexistingclientsandhastakenspecific The companyunderstandsimportanceofgettingmore Better ClientMining strongly acrossallthegeographiesandindustrysegments. Operating Units(OU)andeachoftheunithavegrown The companyhadbeenoperatingbythreedifferent Revenue byOperatingUnits overall growthforthecompany. by (EMEA)andemergingmarkets(APACOthers)ledthe geographies. Largestgeobyrevenue(Americas),followed The companyhasdeliveredrobustgrowthacrossall Revenue byGeography improvement inDSO. stood 83Days.Thecompanyisconfidentofcontinued on bettercollectioncyclemanagementandDSOinFY'15 Days SalesOutstanding(DSO)inlast3yearsowingtofocus The companyhasdeliveredconsistentimprovementin Days SalesOutstanding + ChangesinWorkingCapital-Capex * FreeCashflowDefinition:PBT+DepreciationandAmortization investments inacquisitions. cash wasgenerated,thebalancelowerdueto and optimizingthecapitalexpenditure.Whilesubstantial improving dayssalesoutstanding,achievinglowertaxrate improvement wasdrivenbycompany'sspecificfocuson doubled from30%inFY'13to57%FY'15.FCF FY'13 at1,126Mn.Company'sFCFas%ofoperatingprofit FCF at2,968mnwhichisdoubledofthegeneratedin 3 years.InFY'15,thecompanygenerateditshighestever cash flow(FCF)generationcapabilitiesofthebusinessinlast The companyhasachievedsignificantimprovementinfree Business FreeCashFlowGeneration Net Profitgrewata5yearCAGRof24%. achieved significantgrowthonallmeasuresofprofitability. concomitant withbetterprofitability.Thecompany The companyfocusedonstrategyofrevenuegrowth Profits Trend 53 93 Annual Report 2014-15 cyient.com received fromoverseassubsidiaries * Excludingone-timeimpactofdividendtaxcrediton 3 years. The companyhasaddedcloseto~3,000peopleinSEZlast improved by260bpsfrom27.2%inFY'14to24.6%FY'15. in last3years.Effectivetaxratefortheorganizationhas strategy, thecompanyhasrealizedsubstantialtaxreduction Driven bySpecialEconomicZone(SEZ)deployment Tax Rate (Quarterly AnnualizedRevenue*90) * DSOCalculation:Totalreceivablesattheendofquarter/ buyback strategyandrobustinternalcapexcontrol. focus onanassetlightmodel,implementationofleaseand capex spendas%ofrevenuewhichisdrivenbycompany's ` The companyendedtheFY'15withcapitalexpenditureof Capex 737mn,whichis2.7%oftotalrevenue.Itthelowestever have improvedsignificantly. Market Capitalization:capitalizationofthecompany maintained. company expectsthecurrentdividendpayoutratiotobe up fromalowof12%inFY'11to30%recentyears.The increase individendpayoutratio.Dividendhasgone improved substantiallyinlast5years.Thereisa6fold Dividend: Dividendpaymenttrendforthecompanyhas toinvestors Return organic andinorganicinitiatives. profitable growthineachofthelastyears,drivenbyboth from Net worthofthecompanyhasgrownby80%inlast5years Net worth ` 10,293Mnto Market Capitalization ` 18,441Mn.Itcanbeattributedtothe Net Worth 53

94 Annual Report 2014-15 cyient.com increase intreasuryincome. due tohigherrealizedgain onforwardcontractsand compared to Other incomefortheyearwasat Other income grew acrossgeographiesandmajorverticals. The growthinconstantcurrencyis24.3%.company Analysis ofrevenuegrowth REVENUE .FINANCIALRESULTS A. financial statements. Significant accountingpoliciesusedforpreparationofthesefinancialstatementsaredisclosedinthenotestoconsolidated The discussionmentionedbelowrelatestoconsolidatedfinancialstatementsandthesamebereadtogetherwithsame. compliance withtheCompaniesAct,2013,andgenerallyacceptedaccountingprinciplesinIndia(IndianGAAP). The financialstatementsofCyientLimitedanditssubsidiaries,associatecompanyjointventure,arepreparedin FINANCIAL PERFORMANCEFORTHEYEAR2014-15(CONSOLIDATED) rc nrae0.00 24.3 % Total growth Impact ofexchange Price increase Volume growth Growth attributableto Particulars ercain7326703.3 0.1 0.7 - 720 14 152 - - 2.6 0.2 0.5 0.6 713 - 58 150 168 Profit fortheyear 1.1 Share oflossattributabletoMinorityinterest attributable tominorityinterest Profit aftertaxbeforeshareofprofit/(loss) Share ofprofitfromassociatecompany 291 associate companyandminorityinterest Profit aftertax,beforeshareofprofitin Tax expense and minorityinterest Profit beforetax,shareofprofitassociate Total expenses Depreciation Finance Costs Operating, administrationandotherexpenses work inprogress Changes ininventoriesoffinishedgoodsand Cost ofmaterialsconsumed Employee benefitsexpense Expenses Total income Other income Income fromoperations ` 169millionlastyear.Theincreasewasmainly ae(0.3) rate ` 1,218 millionas 24.0 4128. 86684.7 18,696 88.2 62.0 24,122 13,678 22,234 100.0 61.2 22,064 16,756 100.0 28,577 27,359 ,3 2926012.0 12.0 2,660 11.4 2,660 4.7 12.9 16.0 2,508 12.8 1,030 3,532 3,538 12.3 19.4 3,510 4.0 16.3 3,359 4,284 1,097 0.8 4,455 22.4 169 6,136 4.5 1,218 ` foreign exchangeimpact. in manpower,salaryincreases,impactofacquisitionsand ` Employee benefitsexpensehasincreasedby22.5%from Employee benefitsexpense follows : The movementofRupeeagainstmajorcurrencieswasas

13,678millionto B 24 85 98 95.51 99.85 80.55 98.57 82.58 60.15 77.52 92.46 60.10 67.51 61.14 62.59 GBP EUR USD il%ofRevenue Mill ac 1 05March31,2014 March 31,2015 201-- - 0.1 22 ` 16,756million,mainlyduetoincrease lsn vrg lsn Average Closing Average Closing EMrh21 YEMarch2014 YE March2015 ` Ml %ofRevenue Mill 53 95 Annual Report 2014-15 cyient.com the company increase isonaccountofissueASOPstoassociates March 31,2014to The profitaftertaxhasincreasedby32.8%from Profit aftertax ` Share ofprofitfromassociatecompanyhasdecreased Share ofprofitfromassociatecompany(IASI) of newbusinessinspecialeconomiczones. 24.6% in2015.Thereductionismainlyduetodeployment The effectivetaxratehasreducedfrom27.2%in2014to Tax expense million lastyearto The profitbeforetaxhasincreasedby25.9%from Profit beforetax percentage ofrevenueisat2.6%. to changesinCompaniesAct2013.Depreciationasa year to Operating, administrationandotherexpenses The paid-upcapitalhasincreasedfrom Share capital (CONSOLIDATED) FINANCIAL POSITIONASATMARCH31,2015 million lastyearto Depreciation hasdecreasedby1%from Depreciation subsidiaries. ` Finance costshaveincreasedfrom Finance costs compared to19.4%ofrevenuelastyear. revenues as Other operatingexpenseshavebeenhigherat22.4%of OA ,3 2442419.4 7.8 4,284 2.6 1,726 22.4 7.9 2.9 564 6,136 1.3 649 2,147 4.8 2.6 279 6.0 1,066 709 4.4 1.6 1,648 TOTAL Others 1,203 429 maintenance Repairs and charges Subcontracting Travel Rent 152millionlastyearto 58millionthisyear,mainlyonaccountofborrowingsin ` 713millionthisyear.Thisdecreaseismainlydue ` ` ` 3,532millionin2015. 4,456 millionincurrentyear. 562millionasatMarch31,2015.The ` ` ac 1 05March31,2014 March 31,2015 150millioninthisyear.

il% of Mill eeu Revenue ` 14millionlastyearto ` 560millionasat ` 720millionlast `

il%of Mill Revenue ` ` 2,660 3,538 An amountof account ofpremiumonissuenewshares. Securities premiumaccountincreasedby million ascomparedto Reserves andsurplusasatMarch31,2015stood Reserves andSurplus acquisitions. been investedinbankdeposits andalsoutilisedin utilization ofoverdraftfacilities,whichalsohelpscompany relates toshort-termborrowingsinoursubsidiaryand at March31,2014to The short-termborrowingsincreasedfrom Short termborrowings the year2014-2015. 2015, duetomovementinexchangeratesofcurrencies million asatMarch31,2014to Foreign currencytranslationreservedecreasedfrom ( on consolidationofsubsidiariesstoodat absorption ofsharelossattributabletominorityinterest Balance inprofitandloss,afterappropriationofdividend reserve fromcontingencyreserve. year. Anamountof reserve fromsurplusinprofitandlossaccountduringthe to funds, havereducedfrom Current investments,comprisingofinvestmentinmutual Current investments year 2014-15. account ofshareprofitfromassociatecompanyforthe Increase innon-currentinvestmentsof Non-current investments software andinfrastructurefacilities. of fixedassets.Theadditionsaremainlytowardscomputer There hasbeenanadditionof Fixed assets tax thereon)andprovisionforcurrenttaxes. due toprovisionforproposeddividend(including March 31,2014to Short termprovisionsincreasedfrom Short-term provisions is inlinewithincreasebusiness. 31, 2015( goods andservicesstoodat Trade payablesconsistoftowardspurchase Trade payables in interestarbitrage. ` 5,972 millionasatMarch31,2014). ` 336millionasatMarch31,2015.Thesaidfundshave ` 1,745millionasatMarch31,2014).Theincrease ` 217millionwastransferredtogeneral ` 956millionasatMarch31,2015,mainly ` ` 161millionwastransferedtogeneral 813millionasatMarch31,2015.This ` 15,323millionasatMarch31,2014. ` 400millionasatMarch31,2014 ` 737milliontothegrossblock ` 268millionasatMarch31, ` 2,754millionasatMarch ` ` 713millionasat 150millionison ` ` ` 8,181million 65millionon 58millionas ` 17,879 ` 455 53

96 Annual Report 2014-15 cyient.com necessary supporttotheassociatesonacontinuousbasis. skills. CompetencywiseSubjectMatterExpertsprovide associates undertakeaprojectwhichrequiresadditional requirement. Technicaltrainingisprovidedasandwhen based onclientfeedback,changingbusinessneedandrole and values.Softskilltrainingisprovidedtotheassociates across thefunctionstogaindeeperinsightsintoworkethos Cyient practicesandprocesses.Theyinteractwithleaders lateral hires)undergoinductiontrainingtounderstand the associatelevelsatCyient.Allnewassociates(freshand Learning &Developmentisidentifiedasafocusareaacross Leadership &Development Material DevelopmentsinHumanResources(HR) close watchonunbilledrevenue. due toincreaseinunbilledrevenue.Thecompanykeepsa at March31,2014to Other currentassetshaveincreasedfrom Other currentassets 31, 2015,mainlyduetoincreaseinderivativeassets. million asatMarch31,2014to Short-term loansandadvanceshaveincreasedfrom Short-term loansandadvances collection ofdues. days asatMarch31,2015,duetofocusedapproachin a reductioninDSOfrom87daysasatMarch31,2014to83 mainly duetoincreaseinbusiness.However,therehasbeen as atMarch31,2014to The tradereceivableshaveincreasedfrom Trade receivables The cashandbankbalanceshavedecreasedfrom Cash andbankbalances million asatMarch31,2014to Total cashandequivalents: 2015, mainlyduetoinvestmentintoacquisitions. OA ,6 7,313 400 6,565 6,913 336 6,229 TOTAL Mutual funds Investment in balances Cash andbank ` 1,834 millionasatMarch31,2015, ` ac 1 05March31,2014 March 31,2015 5,336millionasatMarch31,2015, ` 6229millionasatMarch31, ` 1,363millionasatMarch ` 1,625millionas ` 4,800million

` ( ` 6,913 Mill) ` 710 candidates. sourcingandscreeningthe Europe withtheIndiateam India forthesupportingtalentacquisitionteaminUSand We havealsostrengthenedoursharedservicescenterin boarding theseresourceswithinthesamefinancialyear. adhered toallthecommitmentsmadeoncampusby campuses andaslastfinancialyearhasensuredthatit graduates fromvarioustechnicalandnontechnical The companyhasalsocontinuedtohirefreshcollege on therevisedmethodologyandbeingcertified. assessment. Over250interviewingmanagersweretrained improved theobjectivenessandenabledpotential and behavioralcompetencies.Therefinedprocess based interviewingwasintroducedtoassessthetechnical candidates, alongwithRolefit.Further,thecompetency adequate emphasisonOrganizationandLocationfitofthe The talentacquisitionprocesshasbeenstrengthenedwith across theglobe. today hasassociatesfromover21nationalitiesworking APAC and584fromRangsonsacquisition.Thecompany year 2014-15.265ofthesenetadditionshavebeeninNAM, The companyhasadded872resourcesonanetbasisinthe Talent Acquisition transfer ofknowledge. teachers whichfacilitatescontextbasedlearningand expert. Leadersfrequentlyconducttrainingsessionsas classroom trainingandguidancefromaseniorleader/ Individual DevelopmentPlan,learning-in-action,e-learning, associates. TheleadershipprogramsatCyientcompriseof Accordingly, specificlearninginitiativesareproposedtothe completed theirassessmentsincludingthe360feedback. participated inthistraining.Inaddition,thetop85leaders Program (BLP).Over90highpotentialassociates Emerging LeadershipProgram(ELP)andBusinessLeader and juniormanagementparticipateinflagshipprogramsviz., programs. Highpotentialassociatesinmiddlemanagement Leader/Manager roles,undergoFirstTimeManager Associates progressingfromIndividualContributortoTeam robust talentpipelineforpresentandfutureneeds. Leadership development atCyient,focusesonestablishing Base Employee year F inancial Y1 Y1 Y2F1 Y1 FY 15 FY 14 FY13 FY12 FY 11 FY 10 6781 3415710412929 12094 10517 9334 8711 7637 53 97 Annual Report 2014-15 cyient.com .Detailsofmaterialcontractsorarrangementtransactionsatarm'slengthbasis 2. Detailsofcontractsorarrangementstransactionsnotatarm'slengthbasis 1. proviso thereto to insub-section(1)ofsection188theCompaniesAct,2013includingcertainarmslengthtransactionsunderthird Form fordisclosureofparticularscontracts/arrangementsenteredintobythecompanywithrelatedpartiesreferred (Pursuant toclause(h)ofsub-section(3)ofsection134theActandRule8(2)Companies(Accounts)Rules,2014) ae:April23,2015 : Date Hyderabad : Place a Name(s)oftherelatedpartyandnaturerelationship (a) arm’s lengthduringfinancialyear2014-15. The companyhasnotenteredintoanycontractorarrangementtransactionwithitsrelatedpartieswhichisat f Amount paidasadvances,ifany: (f) Date(s)ofapprovalbytheBoard,ifany: (e) Salienttermsofthecontracts orarrangementstransactionsincludingthevalue,ifany: (d) Durationofthecontracts/arrangements/transactions (c) Natureofcontracts/arrangements/transactions (b) Cyient KK(FormerlyInfotech Infotech HAL Limited Joint Venture Joint Subsidiary Step-down of thebusiness. The paymenttermsofeachprojectaspertheintercompany agreementsenteredwiththerespectivesubsidiaries. tripartite agreement. To provideITEnabledEngineeringServices&Geospatial totheclient/customerscompanyasa Subsidiary Step-down Subsidiary Step-down Intercompany agreementsenteredintowithsubsidiarycompanies,asamendedandongoing. IT EnabledEngineeringServices&GeospatialServices. * yettocommencecommercialoperations Subsidiary Step-down Infotech HALLimited Subsidiary Step-down Cyient AustraliaPty Techno ToolsPrecisionEngineeringPrivateLimited Rangsons ElectronicsPrivate Invati InsightsLLC Cyient InsightsPrivate Infotech EnterprisesInformationTechnologyServicesGmbH Infotech EnterprisesInformationTechnologyServices Infotech Geospatial(India)Private Subsidiary Step-down Cyient AB(FormerlyInfotechEnterprisesAB) Subsidiary Step-down Subsidiary Step-down Cyient GmbH(FormerlyInfotech Softential Inc. Cyient CanadaInc.,(FormerlyInfotechSoftwareSolutionsInc.) Cyient Inc.,(FormerlyInfotech Cyient SchweizGmbH(FormerlyInfotechEnterprisesGmbH) Cyient BeneluxBV(FormerlyInfotechEnterprisesBV) Cyient EuropeLimited(FormerlyInfotech Entity Limited* Limited Enterprises Japan Limited Enterprises America Enterprises GmbH) Nil Limited, (IGIL) Notapplicableastheseareatarmslengthbasisandintheordinary course Form No.AOC-2 Enterprises Europe K Subsidiary KK) n. Subsidiary Inc.) Private Limited Limited) (IEITS) Subsidiary Subsidiary Subsidiary Subsidiary Subsidiary Subsidiary Subsidiary Relationship For andonbehalfoftheBoard B.V.R. MohanReddy Executive Chairman Annexure-G (DIN-00058215) 53

98 Annual Report 2014-15 cyient.com Note: Theaboveincludesstep-down subsidiaries,whereverapplicable. PARTICULARSOFHOLDING, III. PRINCIPALBUSINESSACTIVITIESOFTHECOMPANY II. REGISTRATIONANDOTHERDETAILS: I. Rules, 2014] [Pursuant tosection92(3)oftheCompaniesAct,2013andrule12(1)(ManagementAdministration) @ yettocommencecommercial operations. o noprto Subsidiary/ Incorporation No. l aeo h opn onr fCIN/ of Country NameoftheCompany Sl. 1InfotechHAL 11 InfotechAerospaceServices 10 i hte itdcmayYes L72200TG1991PLC013134 Limited Private Computershare Karvy Limited) Enterprises Infotech (Formerly Limited Cyient Name,AddressandContact detailsof 4thFloor,A,Wing,PlotNo.11,SoftwareUnitsLayout,Infocity, vii) Whetherlistedcompany vi) Company CompanyLimitedbyshares/IndianNon-Government office Registered the of Address Company the v) of Category/Sub-Category NameoftheCompany iv) Registration iii) CIN ii) i) CyientEuropeLimited(Formerly 1 RangsonsElectronicsPrivate 9 InfotechGeospatial(India) 6 CyientAustraliaPtyLtd@ 5 CyientInsightsPrivateLimited 8 InfotechEnterprisesInformation 7 CyientKK(FormerlyInfotech 4 CyientGmbH(FormerlyInfotech 3 CyientInc.,(FormerlyInfotech 2 aeadDsrpino I oeo h rdc/evc % to total turnover NICCodeoftheProduct/service Software EnabledEngineeringand main products/services Name andDescriptionof Private Limited) (formerly InvatiInsights Japan Technology ServicesPvtLtd Private Limited(IGIL) Enterprises JapanKK) Not Enterprises GmbH) Enterprises AmericaInc.) U.K Infotech EnterprisesEuropeLimited) n otc eal Madhapur,Hyderabad500081,India. Limited Cyient Unit: Registrar andTransferAgent,ifany and contactdetails EXTRACT OFANNUALRETURNasonthefinancialyearended31March2015 iie India Limited ae28-Aug-91 Date IIS India (IEITS) n.USANot U.S.A Inc. iie ni U31909KA1993PTC014470 India Limited SUBSIDIARY ANDASSOCIATECOMPANIES I evcs720100 72200 GIS services utai Not Australia ni 720G03T072 Subsidiary U72200TG2013PTC087527 India Subsidiary U72200TG2006PTC049449 India Not Notapplicable Germany U.S.A Form No.MGT-9 Website: www.karvycomputershare.com E-mail: [email protected] Ph: 040-67161562 Contact Person:Mr.MohdMohsinUddin,Manager-CorporateRegistry Nanakramguda, Hyderabad–500032 Karvy SeleniumTowerB,Plot31-32,GachibowliFinancialDistrict, Tel: 040-67641322;Fax:040-66624368 E-mail: [email protected];Website:www.cyient.com U2900KA2007PLC043691 720G08T011 usday100% Subsidiary U72200TG2008PTC061416 Not applicable applicable applicable applicable applicable L Holding/ GLN Joint Venture 31 Associate usday100% Subsidiary usday74% Subsidiary soit 49% Associate usday100% Subsidiary usday100% Subsidiary 100% Subsidiary 100% Subsidiary xeto Appl Holding as Extent of 0 Sec.2(87) 50% 1 Sec.2(87) 51% Sec.2(87) 100% March 2015 of thecompany Annexure-H tSection at Sec. 2(87) Sec. 2(87) Sec. 2(87) Sec. 2(87) Sec. 2(87) Sec. 2(87) Sec. 2(87) Sec. 2(87) icable 53 99 Annual Report 2014-15 cyient.com V )SHAREHOLDINGPATTERN(EquityshareCapitalBreakupaspercentageofTotalEquity) i) IV. 2 ulc00000 0.00 0 0 0 0.00 0 0 0.00 0.00 0 0 0 0.00 0 0 0 0.00 0 0 0.00 0.00 0 0 0 0 0 0 0.00 0 0.00 0 0.00 0 0.00 0.00 0.00 0.00 0.00 0 0 0 0 0 0.00 -0.76 0.00 0.00 0 0 0 0 4.69 0.00 0.00 0 0 0 0.00 0 0 0 5266868 0 0 0 0 0.00 0.00 1500 0 0.00 0.00 0.00 0.00 0 0 0 0 0 0 0.00 0.02 0.00 0 0.00 5265368 0 0 0 Public 0 25867 0 -2.38 0 PromoterandGroup 0 0 0 5.45 (2) 0.00 0 0.00 (1) 0 35.64 0.00 0 Sharesheldbycustodians,againstwhich 0.00 6101957 0.00 0.00 0 0 0 (C) 40049323 0 0.00 0 0.00 0.00 200 0 0 0 1500 0.00 0 QualifiedForeignInvestor 0 (V) 0 25867 0 0.00 0 (d) 0 0 0 6100457 0 0 40049123 0 0 0 0.02 0.00 0 0 38.02 0 0 0 3270 0 0 Others 42569785 0 0.00 0.00 0.00 0 0 0 (c) 0 (V) 200 0 0 0 0 0 0 0 0 0 Individuals 0 BodiesCorporate 0 42569585 (b) 0.00 (VI) 0 NON-INSTITUTIONS (a) 0.00 0 3270 0 (2) 0 Others 0 0.00 (V) 0 QualifiedForeignInvestor 0 0 (i) ForeignVentureCapitalInvestors 0 (h) ForeignInstitutionalInvestors (g) 0 InsuranceCompanies 0 0 (f) 0 22.30 VentureCapitalFunds (e) CentralGovernment/StateGovernment(s) 0 (d) 24972026 FinancialInstitutions/Banks 0 (c) MutualFunds/UTI 0 (b) 0 INSTITUTIONS (a) 0 (V) PUBLICSHAREHOLDING (1) 0 (B) 0 Others 0 24972026 QualifiedForeignInvestor (e) Institutions (d) BodiesCorporate (c) Individuals(NRIs/ForeignIndividuals) (b) FOREIGN 0 (a) (2) Others FinancialInstitutions/Banks (e) BodiesCorporate (d) CentralGovernment/StateGovernment(s) (c) Individual/HUF (b) INDIAN (a) PROMOTERANDGROUP (1) (II) (A) (I) Categor Code (ii) Individuals holdingnominal oeg ois1123112316 -1.62 0 0.01 0.03 0 29771 0 0 -0.04 -0.05 0.33 14.95 0 29771 372590 16792960 16050 0 0.02 1.62 17497 356540 2.74 1812223 16792960 0.37 49.27 0 3179899 15.00 55355923 411554 16792960 200 417000 0 17497 38400 1812223 2762899 55355723 373154 46.52 16792960 52097199 200 Non ResidentIndians 0.00 Clearing Members Foreign Bodies 52096999 Foreign Collaborators 0 Foreign Nationals 0 Sub-Total B(1): 0 Total A=A(1)+A(2) Sub-Total A(2): Sub-Total A(1): Shareholder eoioyRcit aebe sud0000 0.00 0.14 0 162120 162120 0 0.14 0 162120 111964613 162120 1092000 0 34895388 0 110872613 1091800 33803588 Depository Receiptshavebeenissued Total (A+B): Total B=B(1)+B(2): Sub-Total B(2): Trusts GRAND TOTAL(A+B+C): Individualsholding nominalshare (i) share capitalinexcessof capital upto y of `

1 lakh `

1 lakh oo hr nN fsaei Total Noofsharein No ofsharein ea omPyia omsae ea omPyia omsae the year shares form Physical Dematform shares form Physical Demat form 1714205 enn fteya 1Arl21)endoftheyear(31March2015) begning oftheyear(1April2014) 4230193 No. 505719008928 77 605910208483 77 0.00 77.79 87408839 1002270 86406569 77.70 86992587 1092000 85900587 -0.09 22.21 24952226 0 -0.09 22.21 24952226 24952226 22.30 0 24972026 0 24952226 22.30 24972026 24972026 0 24972026 1821 020 1941 0.011575102012605100.00 112361065 1002270 111358795 100.00 111964613 1092000 110872613 fsae eda h No.ofsharesheldatthe of sharesheldatthe 544 544 .11203 58731.05.09 13.60 15280733 0 15280733 8.51 9524144 0 9524144 30 770 .918910189113 -0.27 1.32 1483901 0 1483901 1.59 1777205 63000 070439341 328 040476342 0.11 4.25 4777683 405400 4372283 4.14 4639973 409780 % oftotal 0.00 0 0 0 0 oo hr nN fsaei oa fttlduring total of % Total Noofsharein No ofsharein 0.011575102012605100 0.00 100.00 112361065 1002270 111358795 100.00 11 158610003021 85 -2.67 28.53 32052916 1002070 31050846 31.18 .62503470 172 .2-0.04 2.82 3167023 417000 2750023 2.86 .000000 0.00 0.00 0 0 0 0.00 0.00 0.00 0 0 0 0.00 452602922 22 -0.09 22.21 24952226 0 24952226 .00.00 0.00 0 0 0 % Change (VI) 53 100 Annual Report 2014-15 cyient.com l o Sh Sl. No. Note: i)Change iii) ShareholdingofPromoters ii) IV. l o NameofthePromoter No. Sl. CarolAnnReddy 6 D.NageswaraReddy 5 BodanapuSriVaishnavi 4 B.G.V.Krishna 3 B.Sucharitha 2 B.V.R. Mohan Reddy 1 .AhkRdy10 .010 0.00 1100 0.01 0.00 15600 1100 0.01 15600 B.Ashok Reddy 9 A. Amala 8 B.V.S. RatnaKumari 7 .AhkRdy10 .003000 0 0 0 0.00 0 300 0.01 0.01 0.03 0 0 3000 0 15600 38400 0 1.65 5.82 0 0 1.59 0 0 1850760 0.00 6541200 1790400 12.99 0.02 0.01 1100 0 0 0.03 14597366 0 22000 15600 38400 1.65 0 5.84 1.60 B.AshokReddy 1850760 6541200 B.V.S.RatnaKumari 9 13.04 1790400 A. AmalaReddy 8 CarolAnnReddy 7 D.NageswaraReddy 14597366 6 BodanapuSriVaishnavi 5 B.G.V.Krishna 4 B. Sucharitha 3 B.V.R.MohanReddy 2 1 exercise ofstockoptions. The decreasein%oftheindividual holdingisduetoincreaseoftotalsharecapitalupon allotmentofsharesdueto areholder's name nrae(erae uigteya i i i Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Increase/(Decrease) duringtheyear Nil Nil At theendof Nil Increase/(Decrease) duringtheyear Nil At theendof Nil Increase/(Decrease) duringtheyear Nil At theendof Nil Increase/(Decrease) duringtheyear At theendof Nil Increase/(Decrease) duringtheyear At theendof Increase/(Decrease) duringtheyear tteedo h er300.00 0.01 300 3000 Nil Nil Nil At theendofyear Increase/(Decrease) duringthe year At theendofyear Nil Increase/(Decrease) duringthe At theendof Increase/(Decrease) duringtheyear At theendof oa 47062.02922 22.21 24952226 22.30 24972026 Total in promoters’shareholding(Pl.specify,ifthereisnochange) ed 22000 Reddy h er150 0.10 1.59 115200 1.65 1790400 5.82 1850760 12.99 6541200 14597366 the year the year the year the year the year h er1600.01 0.03 15600 38400 the year the year o fsae fttl%o hrsN.o hrs%o oa % of shares % of total No.ofshares % of shares % of total No. ofshares er(90)00 000.01 3000 0.01 (19000) year hrhliga h einn Shareholdingatthe Shareholding atthebeginning 12001 12001 0 0.10 115200 0 0.10 115200 fteya 1Arl21)endoftheyear(31March2015) 2014) April (1 year the of o fsae fttlsae o fsae %oftotalshares No.ofshares %oftotalshares No. ofshares 49361.41576 13.04 14597366 13.04 14597366 700 .019401.60 1.65 1790400 5.84 1850760 1.60 6541200 1.65 1790400 5.84 1850760 6541200 einn fteya attheendofyear year the of beginning Shareholding at the Cumulative shareholding Cumulative Shareholding atthe 12001150 0.10 115200 0.1 115200 shares of the pledged/ shares of the pledged/ sharesofthe pledged/ shares ofthe 80 .33400.03 38400 0.03 38400 80 .0300.00 300 0.00 (800) opn nubrd encumbered Company fteCmayoftheCompany of theCompany ottlsae tototalshares to totalshares .22000.02 22000 0.02 Company encumbered 53 101 Annual Report 2014-15 cyient.com )ShareholdingofDirectors andKeymanagerialPersonnel v) Note: Noneoftheotherdirectorsholdanysharesincompany. v ShareholdingPatternoftoptenShareholders(otherthanDirectors,PromotersandHoldersGDRs iv) Note: Sl. No. Name of the Directors and KMP Shareholding at the Cumulative shareholding Cumulative the at Shareholding NameoftheDirectorsandKMP No. Sl. l o NameoftheTop10 No. Sl. 0ICICIPrudentialDynamic 10 .SdenhaPty(S 20 38 SudheendhraPutty(CS) 3. AjayAggarwal (CFO) 2. M.M.Murugappan (Di 1. RelianceCapitalTrustee 9 T.RowePriceInternational 8 OppenheimerInternational 7 AmansaCapitalPteLimited 6 DeutscheSecurities 5 ICICIPrudentialLife LavenderInvestmentsLimited 4 FirstCarlyleVenturesM 3 CarrierInternationalMauritius 2 1 ADRs): .Thedetailsofdatewiseincrease/decreasewillbeprovidedattherequest ofshareholder. 2. ThesharesoftheCompanyaretradedonadailybasisstockexchangesandhencedatewiseincrease/ 1. tteedo h er50 0.00 5900 0.00 0 0.00 21 At theendofyear 0 Increase/(Decrease) duringtheyear At theendof Increase/(Decrease) duringtheyear At theendof Increase/(Decrease) duringtheyear Co. LtdA/cRelianceequity Discovery Fund Small CompanyFund Amansa HoldingsPvt.Ltd. Mauritius Limited Insurance CompanyLtd A/C AmansaHoldings/ decrease inshareholdingisnotprovided. h er3000.27 30000 the year h er00.00 0 the year Shareholders* Shareholding at the Cumulative shareholding Cumulative Shareholdingatthe Shareholders* etr 30000 rector) auritius ln22451.99 2229445 Plan t 59901.61226 13.61 15292960 13.66 15292960 Ltd o fsae fttlsae o fsae %oftotalshares No.ofshares %oftotalshares No. ofshares o fsae fttlsae o fsae % oftotalshares No.ofshares %oftotalshares No. ofshares 194699 19469.88 11099416 9.91 11099416 einn fteya duringthe year beginning oftheyear 652 .522252.60 2.38 4.10 2921225 3.85 2673785 2.35 4.86 4603554 2.46 4.18 4326252 3.75 2635427 5456424 4.63 2756655 4694674 4201433 4.87 5185573 5.00 5456424 5595509 300 .743114.21 4732101 5.67 6350000 einn fteya attheendofyear year the of beginning 20)00 20)0.00 (2000) 0.00 (2000) 000 000.00 0.00 2000 3800 0.00 0.00 00 00 000 900.00 5900 0.00 00 fteCmayoftheCompany of theCompany fteCmayoftheCompany of theCompany .73000.27 30000 0.27 7931.42 979943 53 102 Annual Report 2014-15 cyient.com Sl.No. Sl.No. I REMUNERATIONOF DIRECTORSANDKEYMANAGERIALPERSONNEL VI. INDEBTEDNESS V. iiGV rsd 000 Nl10,000 Nil - 10,000 Prasad G.V. viii i ia egl 000- i 10,000 Nil - 10,000 Sehgal Vikas vii .OtherNon-ExecutiveDirectors 2. IndependentDirectors 1. .Ohr,pes pcf i i i Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil Nil 31,184,368 14,005,587 Others,pleasespecify 85,162 5. Commission SweatEquity 4. 17,093,619 Stock Options 3. 2. salary Gross 1. atclr fB.V Remuneratio Particulars of iAde ire 004 ,5,1 Nl1,281,880 1,260,000 Nil Nil 1,251,816 1,200,000 30,064 60,000 Bierce Andrea vi Mittal Som iv i hna aaaa o lie o lie Nil 1,270,000 Notclaimed Nil Notclaimed 1,200,000 Narayanan Shankar 70,000 iii Manglik Harsh iii onPtro 1,4 12186 i 1,271,761 Nil 1,251,816 19,945 Paterson John v iK aahnrn 1,0 12000 i 1,310,000 Nil 1,200,000 110,000 Ramachandran K. ii iM.AlnBokt o lie o lie Nil claimed Not claimed Not Mr.AllanBrockett ii ..Mrgpa 1000 ,0,0 Nl1,310,000 Nil 1,200,000 110,000 Murugappan M.M. i r li eTee 000 o lie Nl30,000 Nil Notclaimed 30,000 Mr.AlainDeTaeye i atclr fRmnrto board/committee Particulars ofRemuneration .Remunerationtootherdirectors: B. RemunerationtoManagingDirector,Whole-time Directorsand/orManager: A. Company hasnotavailedanyloansduringtheyearandisadebtfreecompany a Salaryasperprovisions (a) Overall Ceiling as per the Act 391,411,559 101,824,887 7,723,641 7,303,632 420,009 Overall CeilingaspertheAct Total ManagerialRemuneration Total (B)=(1+2) Nil Total (2) Nil (1) Total 52,585,521 17,528,507 Nil 355,828,690 177,914,345 Nil 177,914,345 Nil 177,914,345 35,057,014 Ceiling aspertheAct Total (A) Others,Specify (b) as%ofProfit (a) c Profitsinlieuofsalaryunder (c) Valueofperquisitesu/s (b) otie nscin1()NlNlNlNil Nil Nil Nil contained insection17(1) eto 73 noea i i i Nil Nil Nil 10,301,357 3,693,522 Nil 2,006,585 4,601,250 Act, 1961 section 17(3)Incometax Act,1961 Income-tax 17(2) of theIncome-taxAct,1961 ExecutiveChairman n R oa ed B. .R. MohanReddy Fee forattending meetings

67183 ,9,4 3,2,1 94,071,246 35,227,616 2,091,747 56,751,883 450,009 00030,000 30,000 Name ofMD/WTD/Manager hl ieDrco MD & CEO Whole TimeDirector (till 12 April 2014) (w.e.f 24 April 2014) April 24 (w.e.f (till12April2014) omsinO Commission 7,303,632 uhrtaKihaBdnp Total KrishnaBodanapu Sucharitha hr laeseiyTotal thers pleasespecify (Amount in (Amount in 7,753,641 ` ` ) ) 53 103

Annual Report 2014-15 cyient.com Sl.No. I.PENALTIES/PUNISHMENT/COMPOUNDINGOFOFFENCES: VII. opudn I I I I NIL NIL NIL NIL NIL NIL NIL NIL NIL NIL NIL NIL Sectionof Type NIL NIL NIL Compounding Punishment Penality opudn I I I I NIL NIL NIL NIL NIL NIL NIL NIL NIL NIL NIL NIL NIL NIL NIL NIL NIL NIL NIL NIL NIL NIL NIL NIL Compounding Sectionof NIL Punishment NIL NIL Penality Type NIL NIL NIL Compounding Punishment Penality yeSectionof Type atclr fRmnrto jyAgra uhedr ut Total SudheendhraPutty AjayAggarwal Particulars ofRemuneration tes laeseiyNlNlNIl NIl Nil Nil Nil Nil Others, pleasespecify 5 Commission SweatEquity 4 No.ofStockOptionsgrantedduring 3 2 Grosssalary 1 .RemunerationtoKeyManagerialPersonnelOtherthanManagingDirector,Whole-timeDirectorsand/or C. .DIRECTORS B. .OTHEROFFICERSINDEFAULT C. .COMPANY A. Total (A) Salaryasperprovisionscontained in (a) c Profitsinlieuofsalaryundersection17(3) (c) Valueofperquisitesu/s17(2) (b) b tes pcf i i NIl NIl Nil Nil Nil Nil Others,Specify (b) as%ofProfit (a) Manager: noetxAt16 i i NIl Nil Nil Incometax Act,1961 Income-tax Act,1961 section 17(1)oftheIncome-tax opne ecito uihetcmonig{DNL/if any {RD/NCLT/ punishment/compounding Description Companies opne ecito uihetcmonig{DNL/if any {RD/NCLT/ punishment/compounding Description Companies opne ecito uihetcmonig{DNL/if any {RD/NCLT/ punishment/compounding Description Companies c feesimposed feesimposed Act feesimposed Act Act h Brief the h Brief the h Brief the Act,1961 h er1,0 i NIl Nil 15,000 the year Chief Financial Officer Company Secretary Company Chief FinancialOfficer Details ofPenalty/ Details ofPenalty/ Details ofPenalty/ Name ofKMPotherthanMD/WTD/Manager 294131801214,804,325 1,890,162 12,914,163 175961693613,465,382 1,679,386 11,785,996 ,2,6 1,7 1,338,943 210,776 1,128,167 Authority Authority Authority OR}(givedetails) COURT} (givedetails) COURT} (givedetails) COURT} Appeal made, Appeal made, Appeal made, (Amount in ` ) 53 104 Annual Report 2014-15 cyient.com Company. an expressionofopiniononthefinancialstatements conditions ofCorporateGovernance.Itisneitheranauditnor by theCompanyforensuringcomplianceof limited toproceduresandimplementationthereof,adopted responsibility ofthemanagement.Ourexaminationwas The complianceofconditionsCorporateGovernanceisthe Agreement oftheCompanywithstockexchangesinIndia. March 31,2015,asstipulatedinClause49oftheListing Enterprises Limited)(the"Company"),fortheyearendedon Corporate GovernancebyCyientLimited(formerlyInfotech We haveexaminedthecomplianceofconditions Hyderabad (formerly InfotechEnterprisesLimited) Cyient Limited The Membersof To CEO's Declaration conditions ofCorporateGovernance Auditors' Certificateregardingcomplianceof ae:16April2015 : Date Hyderabad : Place affirmation ofcompliancewiththeCodeConductCompany,forfinancialyearended31March2015. Listing Agreement,allthemembersofBoardandSeniorManagementPersonnelCompanyhavefurnished their I, KrishnaBodanapu,ManagingDirector&CEOdoherebydeclarethatpursuanttotheprovisionsofClause49(II)(E) the Date : April 23, 2015 (Membership No. : 201193) : No. (Membership :April23,2015 Date : Place affairs oftheCompany. effectiveness withwhichthemanagementhasconducted the futureviabilityofCompanynorefficiencyor We statethatsuchcomplianceisneitheranassuranceasto Agreement. Governance asstipulatedintheabovementionedListing Company hascompliedwiththeconditionsofCorporate according totheexplanationsgivenus,wecertifythat In ouropinionandtothebestofinformation Secunderabad (Firm’s RegistrationNo.008072S) For Managing Director&CEO Deloitte Haskins&Sells Chartered Accountants Ganesh Balakrishnan For Krishna Bodanapu Annexure-J (DIN-05301037) Annexure-I Cyient Limited Partner 53 105 Annual Report 2014-15 cyient.com .WehaveindicatedtotheauditorsandAuditcommittee d. .Weacceptresponsibilityforestablishingandmaintaininginternalcontrolsfinancialreportingthatwehaveevaluate c. Thereare,tothebestofourknowledgeandbelief,notransactionsenteredintobycompanyduringyearwhichare b. Wehavereviewedfinancialstatementsandthecashflowstatementforyear2014-15thattobestofour a. This istocertifythat 16 April2015 Hyderabad. Cyient Limited The BoardofDirectors Clause 49(IX)oftheListingAgreement CEO/CFO Certificationpursuantto i.instancesofsignificantfraudwhichwehavebecomeawareandtheinvolvementtherein,ifany,management iii. significantchangesinaccountingpoliciesduringtheyearandthatsamehavebeendisclosednotesto ii. significantchangesininternalcontroloverfinancialreportingduringtheyear; i. are awareandthestepswehavetakenorproposetotakerectifythesedeficiencies. the auditorsandAuditCommittee,deficienciesindesignoroperationofsuchinternalcontrols,ifany,whichwe the effectivenessofinternalcontrolsystemscompanypertainingtofinancialreportingandwehavedisclosed fraudulent, illegalorviolativeofthecompany'scodeconduct. thesestatementstogetherpresentatrueandfairviewofthecompany'saffairsareincompliancewithexisting ii. thesestatements donotcontainanymateriallyuntruestatementoromitmaterialfactstatements i. knowledge andbelief: or anemployeehavingasignificantroleinthecompany'sinternalcontrolsystemoverfinancialreporting. financial statements;and accounting standards,applicablelawsandregulations. that mightbemisleading; Managing Director & CEO Chief Financial Officer Financial Chief Managing Director&CEO (Krishna Bodanapu) (Ajay Aggarwal) (Ajay (KrishnaBodanapu) (DIN-05301037) Sub: Certificate pursuanttoClause49(IX)oftheListingAgreement Annexure-K d 53 106 Annual Report 2014-15 cyient.com Report onCorporateGovernance include: and implements-voluntarilysomeofthemostrobust laudablegoodgovernancepracticesacrosstheboard.These The companyconstantlyraisesthebarinitsrelentlesspursuit ofcorporateandbusinessexcellence.Assuch,itadopts,adapt Best GovernancePractices The company'sphilosophyoncorporategovernanceiseffectivelycapturedbelow: Corporate governanceisintertwinedwiththebusinessofcompanyandprinciplesaredovetailedintoitsactivities. and hasthefollowingspecificaims: Corporate governanceinthecompanyispredicateduponanethosoftransparency,accountabilityandfairness.Itaimsat process bywhichthevalues,principles,managementpoliciesandproceduresofcompanyareinculcatedmanifested. effective, entrepreneurialandprudentmanagementthatcandeliverthelongtermsuccessofcompany.Itisacontinuous Corporate governanceisasystemofstructuring,operating,guidinganddirectingcompany;corporatefacilitates good practicesbeyondtherealmsoflaw. of thecompany.Itensuresadherencetomoralandethicalvalues,legalregulatoryframeworkadoption embraces goodgovernancepractices.Thecompanybelievesthatcorporateisanintegralmeansfortheexistence customers, vendors,regulatorsandshareholdersatalltimes.Itisinthisbackgroundthatthecompanywholeheartedly across thecompanytodelivervalueinallofitsdealingswithawidegroupstakeholdersencompassingassociates, Good corporategovernanceisaboutinternalizingandmanifestingafirmcommitmenttotheadoptionofethicalpractices Company's PhilosophyonCorporateGovernance Adherence toethicalstandards Compliance oflawinletterandspirit Application ofbestmanagementpractices Discharge ofsocialresponsibility Effective managementanddistributionofwealth Sustainable developmentofallstakeholders ● ● ● ● ● ●      Complying withallapplicablelawsandregulatoryrequirements Caring fortheenvironmentandlocalcommunity Taking careoftheinterestsassociates Maintaining excellentrelationswithcustomersandsuppliers Fulfilling long-termstrategicgoals Publication ofbusinessresponsibility report Policies andproceduresfordisclosure anddisseminationofinformationbythecompany Investor, vendorandassociate satisfactionsurveysconductedtoelicitfeedbackfromall stakeholders Secretarial auditbyapractisingcompanysecretary Following secretarialstandardsissuedbytheInstituteofCompany SecretariesofIndia and attheannualgeneralmeeting Leveraging technologytoincreasecompany-shareholderinterface byfacilitatinge-votingaspartofpostalballot its dealingswithstakeholders Ensuring fairness,integrity,respect,sincerityandtransparencyinall and maintainingthesocio-economicbalance Enhancing valuetoallstakeholdersbyappropriatecomplianceoflaw Excellence infunctioningpermeateseverylevelofthecompany entire societyandcontributingtoitswelfare Company takesaholisticapproachtostakeholdersbyincludingthe wealth creationcapabilitiestopromotesustainability created forprovidingmaximumbenefittoallstakeholders;itenhances Company maximizeswealthandjudiciouslydeploystheso sustainable basis Company ensuresthegrowthofallthoseassociatedwithitona s 53 107 Annual Report 2014-15 cyient.com transparent operations.Theseinclude: in allitsoperationsanddealings.Towardsthis,thecompanyhasadoptedseveralpoliciesguidelinesforethical and responsible manner.ThecompanylivesbytheethosofValuesFIRST-Fairness,Integrity,Respect,SincerityandTransparency The companyconstantlystrivestoconductitsbusinessandstrengthenrelationshipsinadignified,distinctive Good governancepolicies excellence. Venkatachalaiah, FormerChiefJusticeofIndia,willspurthecompanyontofocusmorerelentlesslyandstriveforfurther 19 December2014.Theaward,whichwasbasedontherecommendationsofaneminentjuryheadedbyJusticeM.N. The awardwaspresentedbyMr.D.V.SadanandaGowda,Hon'bleMinisterforLawandJustice,Govt.ofIndiaatNewDelhion are parexcellence. to thetopmanagement'scommitmentcreatingshareholdervalue,employeeempowermentandcustomerdelightthat recognition ofthehighestlevelstransparencyandgovernancepracticesadoptedbycompany.Italsobearstestimony the companywasawarded14thICSINationalAwardforExcellenceinCorporateGovernance.Theawardisanapt In recognitionoftheexemplarygovernancepracticesadopted,implementedandpractisedbycompanyoveryears, ICSI NationalAwardforExcellenceinCorporateGovernance )embodyhighstandardsofbusinessethicsandoversee theimplementationofcodesconductthat engendera c) monitorthe effectivenessofthecompany'sgovernancepractices, environmentalpractices,andsocial b) guide,reviewandapprovecorporatestrategyfinancialplanning,including majorcapitalexpenditures,acquisitions a) generating sustainablevalueoverthelongterm.Infulfilling theirroleeffectively,boardofdirectorsthecompany: At thecompany,boardisaccountabletoshareholders and relevantstakeholdersisresponsibleforprotecting and ensureitmeetsitsobligationstoshareholdersothers. necessary financialandhumanresourcesperformancereview. Theboardalsosetsthecompany'svaluesandstandards, The roleoftheboard,includesresponsibilitiesforentrepreneurial leadership,riskmanagement,strategy,securingthe benefit ofshareholders,whilehavingregardtoallrelevantstakeholders. The boardactsonaninformedbasisandinthebestinterestsofcompanywithgoodfaith,carediligence,for the Board ofDirectors ● ● ● ● ● ● ● ● ● ● ● ● ● ● corporate cultureofintegrity; adhere toapplicablelaws; and divestments; Policy onboarddiversity Lead independentdirectorandseparatemeetingsofdirectors All boardcommitteesheadedbyindependentdirectors Internal Auditconductedbyindependentprofessionals Whistle blowerpolicy/vigilmechanism Data privacypolicyand Policy onmaterialsubsidiaries Policy onrelatedpartytransactions Prevention ofsexualharassmentpolicy Code ofPractices&Proceduresfordisclosureunpublishedpricesensitiveinformation Code ofConductforpreventioninsidertrading Anti-corruption andbriberypolicy Code ofbusinessconductforallassociates Code ofconductforboarddirectorsandseniormanagement 53 108 Annual Report Name oftheDirector 2014-15 cyient.com r.B uhrta rmtr xctv e - - DIN 05218876 - Mr. Vikas DIN 03015749 - Mr. AlainDe DIN 00193357 Mr. K. Yes DIN 00057433 Mr. G.V.Prasad* 2 DIN 00170478 Mr. M.M.M 2 DIN 05301037 Mr. KrishnaBodanapu Executive Promoter, DIN 00709959 Mrs. B.Sucharitha* DIN 00058215 Mr. B.V.R.MohanReddy )Thenamesandcategoriesofthedirectorsonboard,theirattendanceatboardmeetingsgeneralmeetingheld a) their independencehasrequiredundertheprovisionsofCompaniesAct,2013andClause49ListingAgreement. regarding committeepositionshavebeenmadebythedirectors.Allindependentdirectorsprovidedanaffirmation of specified inclause49oftheListingAgreement),acrossallcompanieswhichhe/sheisadirector.Thenecessarydisclosures None ofthedirectorsonboardisamembermorethan10committeesorChairman5 (as governance arrangementstoensureitalwaysactsinawaythatwillgeneratesustainablevalueforthecompany. processes andsystemsinplaceassuchgeneratestrustsupportamongitsstakeholders.Itmaintainsrobust effectively toboarddiscussionsanddecisions.Thedemonstratesthatithasthenecessarygovernancepolicies, attendance. Boardmembersareawareofthebusiness,itsoperationsandseniormanagementwellenoughtocontribute The boardmeetsregularlytodischargeitsdutiesanddirectorsallocateadequatetimemeetingpreparation stakeholders asappropriate. The boardalsomakesavailablecommunicationchannelsforperiodicdialogueongovernancematterswithshareholdersand conductanobjectiveboardevaluationonaregularbasis,consistentlyseekingtoenhanceeffectiveness. j) alignCEOandseniormanagementremunerationwiththelongerterminterestsofcompanyitsshareholders; i) appointthechiefexecutiveofficer(CEO)anddevelopsuccessionplans; h) ensureaformal,fairandtransparentprocessfornomination,electionevaluationofdirectors; g) overseetheimplementationofeffectiveriskmanagementandproactivelyreviewapproach f) overseetheintegrityofcompany'saccountingandreportingsystems,itscompliancewithinternationallyaccepted e) overseethemanagementofpotentialconflictsinterest,suchasthosewhichmayarisearoundrelatedparty d) public companies as on 31 March 2015 are given herein below: public companiesason31March2015aregivenherein during theyearandnumberofdirectorshipscommitteechairmanships/membershipsheldbytheminother and policies annuallyorwithanysignificantbusinesschange; standards, theeffectivenessofitssystemsinternalcontrol,andindependenceexternalauditprocess; transactions; Ramachandran Sehgal* urugappan Taeye aeoyHl tedd Attended Held Category # $ o-xctv oN AN NA - NA - - NA - - NA NA 4 1 - No NA 4 - Yes NA 1 9 NA Yes 4 2 - No 6 6 Non-Executive Yes 1 6 Non-Executive Non-Independent, 4 2 Non-Executive Independent, 6 Non-Executive Independent, Non-Executive Independent, E D66Ys------1 - Independent, - Yes 3 6 - 6 Yes CEO &MD 6 6 Promoter, Executive Board Meetings attended AGM Last No. ofdirectorships himnDrco himnMember Chairman Director Chairman in otherpublic companies positions heldinother No. ofcommittee public companies (Contd.) 53 109 Annual Report 2014-15 cyient.com Name oftheDirector DIN 06997266 Mrs. AndreaBierce DIN 07102549 Mr. John DIN 06634086) Mr. ThomasPrete (Alternate Directorto DIN 06719021 Mr. Jayant DIN 00074842 to promoteinconductingitsbusiness.Inparticularit: board developsandpromotesitscollectivevisionofthecompany's purpose,itsculture,valuesandthebehaviouritwishes company withinaframeworkofprudentandeffectivecontrols whichenablesriskstobeassessedandmanaged.Aneffective represent andprotecttheinterestsofallstakeholders. Theboard'sroleistoprovideentrepreneurialleadershipofthe An effectiveboardisakeyfeatureofthegovernancejourney tobuildingasuccessfulcompany.Thedutyoftheboardis Board Effectiveness Meetingsheldduringthe financialyear2014-15: b) The companydoesnothaveany'materialnon-listedsubsidiarycompany'asdefinedunderClause49oftheListingAgreement. Shareholders/Investors GrievanceCommittees. Act, 2013andofcompaniesincorporatedoutsideIndia.Chairmanship/MembershipcommitteesincludeonlyAudit and private limitedcompanies,companiesincorporatedundersection25oftheCompaniesAct,1956or8 In theabovetablenumberofdirectorshipsdonotincludecompanyitself,alternatedirectorships, of Appointedasdirectorw.e.f.24April2014 # Appointedasdirectorw.e.f.15October2014. Ceasedtobedirectorw.e.f.17July2014. @ ExecutiveChairmanw.e.f12April2014 * $ Mr. SomMittal DIN 00219212 Mr. Shankar DIN 01461387 Mr. Harsh aur 1 oMrh'52Jan15andMarch31,2015 2014 24, April 2014 15, October July17andSep11,2014 ● ● 2 ● 1 1 2 No. (11September 2014meetingheldbyAudioVisualmeans) '15 March to '15 January October '14toDecember '14 September to '14 July April '14toJune Quarter Paterson@ the cultureandvaluesithasdefined forthecompany; demonstrates ethicalleadership, displaying-andpromotingthroughoutthecompanybehaviour consistentwith lays downstrategyandvision; provides directionformanagement; Manglik Sabnis Narayanan # Independent, @ aeoyHl tedd Attended Held Category o-xctv A------NA - - NA 2 1 - 2 3 - No 3 Non-Executive No 4 Non-Executive Independent, 5 6 6 Non-Executive Non-Independent, Non-Executive Independent, o-xctv o------No Yes 4 5 6 6 Non-Executive Non-Executive Independent, Non-Independent, Board Meetings fMeig Datesonwhichheld of Meetings attended AGM Last No. ofdirectorships himnDrco himnMember Chairman Director Chairman in otherpublic companies positions heldinother No. ofcommittee public companies 53 110 Annual Report 2014-15 cyient.com for theprocess.Theevaluationprocesscoversfollowing aspects: and evaluationprocessduring2014-15.TheLeadership,Nomination &RemunerationCommitteehasoverallstewardship level ofparticipationandengagementalsoimproves.Inthis background,theboardundertookaformalassessment By focusingontheboardasateamanditsoverallperformance, thecompanyensuresthatcommunicationandoverall to greaterboardaccountability,evaluationofmembershelpsin: provide anongoingmeansfordirectorstoassesstheirindividualandcollectiveperformanceeffectiveness.Inaddition effective waytorespondthedemandforgreaterboardaccountabilityandeffectiveness.Forcompany,evaluations The companybelievesthatformalevaluationoftheboardandindividualdirectors,onanannualbasis,isapotentially Board EvaluationandAssessment website ofthecompany. Details ofthefamiliarizationprogrammeforNon-ExecutiveDirectorsandtheirletterappointmentarepublishedon the on changesinpoliciesandprogrammes,lawsthegeneralbusinessenvironment. that investmentinboarddevelopmentstrengthenstheaswellindividualdirectors.Directorsareregularlyupdated The companyseesdirectorinductionasafirststepoftheboard'scontinuingimprovement.Itiscompany'sfirmbelief responsibilities. The companyensuresthatdirectorsareinductedthroughafamiliarizationprocesscomprising, details ofsubsidiariesandjointventures,boardproceduresprocessesmajorrisksriskmanagementstrategies. Non-executive directorswhoareinductedontheboardgivenanorientationaboutcompany,itsoperations,services, Training ofboardmembers years. Independent directorsareappointedforatermofupto5years.Aspercompanypolicy,theretirementageis70 Remuneration committee(LNR)considerstheappointment/re-appointmentofexecutiveandnon-executivedirectors. accordance withtheprovisionsofAct.TheboardonrecommendationsLeadership,Nominationand directors areappointedbytheshareholdersforaperiodoffiveyearsattime,but,theyeligiblere-appointmentin As pertheprovisionsofCompaniesAct,2013(Act)onethirdboardmembersretireeveryyear.Theexecutive Term ofBoardmembership checks andbalanceswhicheffectivegovernancedemands. chairman, whoseroleincorporategovernanceisfundamentalanditscollectiveabilitytoprovideboththeleadership The board'seffectivenessismeasuredbythewayinwhichmembersofboardasawholeworktogetherunder ● ● ● ● ● ● ● ● ● ● ● ● ● ● Greater claritywithregardtomembers'rolesandresponsibilities and Better collaborationandcommunication More effectiveboardprocesses thinks carefullyaboutitsgovernancearrangementsandembracesevaluationoftheireffectiveness. is accountable,particularlytothosethatprovidethecompany'scapital;and regulatory regimes; creates therightframeworkforhelpingdirectorsmeettheirstatutorydutiesunderrelevantand makes wellinformedandhighqualitydecisionsbasedonaclearlineofsightintothebusiness; destruction; creates aperformanceculturethatdrivesvaluecreationwithoutexposingthecompanytoexcessiveriskof Feedback onmanagementsupport totheBoard Feedback fromtheNon-Executive DirectorstotheChairman,and Evaluation oftheperformance andeffectivenessofBoardCommittees Evaluation oftheperformanceandeffectivenessboard Peer andself-evaluationofDirectors Improved Chairman-ManagingDirectorBoardrelations inter alia , theirrolesand 53 111 Annual Report 2014-15 cyient.com effectiveness. and recommendstheappointmentofnewdirectors.ThecommitteealsooverseesconductannualreviewBoard The Leadership,Nomination&RemunerationCommitteereviewsandassessesboardcompositiononbehalfofthe Board membershipcriteria the ExecutiveChairman.Thesameisdiscussedandacteduponaccordinglyatboard. management andqualityofdiscussiondeliberationsattheboard.TheLeadIndependentDirectorprovidesfeedbackto of theboardtoeffectivenessandgovernance.Italsoseeksfeedbackoncommitteecharters,strategy,risk The evaluationprocesselicitsresponsesfromthedirectorsinajudiciousmanner-rangingcompositionandinduction These include: of theboard.Thecompanyfollowsbestpracticesinconveningandconductingmeetingsboarditscommittees. of theboardenablediscussionsonmattersplacedbeforethemandfacilitatedecisionmakingbasedcollectivejudgment Decisions relatingtothepolicyandoperationsofcompanyarearrivedatmeetingsboardheldperiodically.Meetings agenda, conductingthemeetings,decisionmakingatadequacyofminutesandworkingboardcommittees. and controlofthecompany.Boardsystemsproceduresbroadlycompriseconveningmeetings,contents the The processesfacilitateandreinforcetheroles,responsibilitiesauthoritiesofboardingovernance,management follows. Ithasinplacerobustpracticesandprocessesthatcontributetotheeffectiveefficientperformanceofboard The companybelievesthattheeffectivenessofboardisreinforcedbyitsstructuresandprocessesprocedures it Board processes,proceduresandpractices internal controlsystems. significant risksitiswillingtotakeinachievingitsstrategicobjectives.Theboardalsomaintainssoundriskmanagement a required tobepresentedbystatutoryrequirements.Theboardisresponsiblefordeterminingthenatureandextentof responsibility extendstointerimandotherprice-sensitivepublicreportsregulatorsaswellinformation The boardpresentsafair,balancedandunderstandableassessmentofthecompany'spositionprospects.This Board accountability ● ● It strikesafinebalancebetween thereviewsofpastperformanceandforwardlookingissues. Theagendaisstructured Board agenda meetings. exceeding fourmonths.Meetingsofthecommitteesarealso plannedandscheduledtobeheldalongwiththeboard A minimumoffourboardmeetingsisheldeachyearwith thetimegapbetweenanytwosuccessivemeetingsnot Frequency ofmeetings Hyderabad. Attimes,somemeetingsarealsoheldattheother developmentcentresofthecompany. The meetingsoftheboarddirectorsareusuallyheldat theregisteredofficeorotherdevelopmentcentresin Meeting location well aswithinthecompanyitself.Further,itensuresthat boarddecisionscanbemeasuredagainstthecharter. committees andtheseniormanagement.Thishelpsinbetter management,governanceandcontrolwithintheboardas A boardcharterispreparedsettingouttherespectiveroles, responsibilitiesandauthoritiesoftheboard,various Board Charter time managementofandfortheboardbesidesaidingtheirefficiency. tasks arescheduledinadvancesothateveryoneconcernedcanplantheirworksystematically.Thisalsoenablesbetter The annualboardcalendarisdrawnupayearinadvancetogetherwithwellthoughtoutactionplannerfortheyear.All Annual Calendar against objectivecriteriaandwithdueregardforthebenefitsofdiversityonboard. In identifyingsuitablecandidatesforappointmenttotheboard,committeeconsidersonmerit to enableitdischargeitsdutiesandresponsibilitieseffectively. differences intheskills,regionalandindustryexperience,background,race,genderotherdistinctions,order In reviewingboardcomposition,thecommitteeconsidersbenefitsofallaspectsdiversityincluding, nd . 53 112 Annual Report 2014-15 cyient.com The followinginformation, good informationflowswithintheboardaswellbetween seniormanagementandnon-executivedirectors. its duties.Undertheadviceanddirectionofchairman, thecompanysecretary'sresponsibilityincludesensuring The boardissuppliedinatimelymannerwithinformation aformandofqualityappropriatetoenableitdischarge Availability ofinformationtotheboard board throughaudio-visualmeans. correspondence aretransactedintheelectronicmode.Aspermittedbylaw,companyalsoheldameetingof circulation ofnon-pricesensitiveagenda,circularresolutions,draftminutesandotherboard/committeerelated The companyleveragestechnologyandsynergizesitwiththegreeninitiativestooptimum.Noticesofmeetings, E-Initiatives and compriseafaircorrectsummaryoftheproceedingsconductedthereat. summarize thedeliberationsandrationalefortakingdecision.Theminutesaredraftedinunambiguousterms being abarerecordofdecisionsandfullaccountthediscussions.Theymentionbriefbackgroundproposal, The minutesofthemeetingsboardandcommitteesaredraftedsuchthattheystrikerightbalancebetween Board Minutes On acasetobasis,externalexpertsandconsultantsarealsoinvitedmakepresentationstheboardasrequired. meetings toprovidethebusinessperspective. Besides, headsofthebusinessunits,geographyandsubsidiaryheads,keyexecutivesalsoparticipateinboard On matterswhereadirectorisconcernedorinterested,he/shedoesnotparticipate. occasions, whereadirectorisnotphysicallypresent,thecompanyarrangesforteleconorWebextoenableparticipation. All thedirectorsparticipate,discussanddeliberate,threadbareproposalsmattersputuptoit.Onsome Directors’ participation items, inparticular,strategicissues. board andensuringitseffectiveness.Thechairmanensuresthatadequatetimeisavailablefordiscussionofallagenda The chairman'sroleinsecuringgoodcorporategovernanceiscrucial.chairmanresponsibleforleadershipofthe constructive relationsamongthedirectors.Constructivediscussionsarefacilitatedleadingtoeffectivedecisionmaking. The boardfollowsacultureofopennessanddebatebyfacilitatingeffectivecontributionalldirectorsensuring Decision makingprocess crisp andsuccinctfacilitatedecisionmaking. on howtoeffectivelyaddresstheissueandprovidemanagement'sviewwhatactiontake.Thebriefingpapersare an executivesummarywithfurtherdetailsannexedthereto.Thepaperspresenttheissuefordiscussion,offersolutions information ispresentedinanorderlymanner.Theboardpapersassociatedwithaparticularagendaitemaresetoutas grasp andfocusonthemoresignificantissuesinpreparationforboardmeetings.Relevantcomplete Board materials,includingthenotesonagendaaresummarizedandformattedinsuchawaythatdirectorscanreadily Briefing papers sufficiently inadvanceofthemeetings. of timeallocatedforeachitem.Theagendaismadeavailabletothedirectorsalongwithsupportingdocuments such thatroutineandadministrativemattersdonotconsumetoomuchboardtime.Theagendaalsoshowstheamount Fatalorseriousaccidents,dangerousoccurrences, andanymaterialeffluentorpollutionproblems o Showcause,demand,prosecutionnotices andpenaltynotices,whicharemateriallyimportant o Minutesof meetingsoftheauditcommitteeandothercommitteesboard o Company'sannual FinancialResults,Statements,Auditors'ReportandBoard's o Quarterly resultsofthecompanyanditsoperatingdivisionsorbusinesssegments o Annual operatingplansofbusinessesandbudgetsincludingcapitalanyupdates o interalia , isprovidedtothedirectorsofcompany: 53 113 Annual Report 2014-15 cyient.com DiversificationofthebusinessCompany o Buybackof securitiesbytheCompany o Borrowingofmonies,givingguarantees or providingsecurityinrespectofloans o Making ofloansandinvestmentsurplusfunds o Statusofbusiness riskexposures,itsmanagementandrelatedactionplans o Proposalsformajor investments,mergers,amalgamationsandreconstructions o AuditfindingsandExternalReports(throughtheCommittee) Internal o RecommendingappointmentofandfixingremunerationtheAuditors asrecommendedbytheAuditCommittee o Issueofsecurities o Statementofsignificanttransactions,relatedpartytransactionsandarrangements enteredbyunlistedsubsidiary o Takeoverofacompanyoracquisitioncontrollingsubstantialstake inanothercompany o Significantchangesinaccountingpoliciesandinternalcontrols o Quarterlysummaryofalllong-termborrowings made,bankguaranteesissuedandloansinvestmentsmade o Dividenddeclaration o Quarterly/Annual SecretarialAuditreportssubmittedbyAuditors o AppointmentofInternalAuditorsandSecretarial o AppointmentorremovaloftheKeyManagerial Personnel o Disclosureofdirectors'interestandtheirshareholding o Declarationofindependentdirectorsatthetimeappointment/annually o MinutesofBoardmeetingsunlistedsubsidiarycompanies o Termsofreferenceboardcommittees o Formation/reconstitutionofboardcommittees o Appointment,remunerationandresignationofdirectors o Non-complianceofanyregulatory,statutoryorlistingrequirements,andshareholders'service,suchasdividend o Quarterlydetailsofforeignexchangeexposures,andstepstakenbymanagementtolimitrisksadverseexchange o Saleofmaterialnatureinvestments,subsidiaries,assets,whicharenotinnormalcoursebusiness. o AnysignificantdevelopmentinHumanResources/IndustrialRelationsfrontlikeimplementationofVoluntary o Significantlabourproblemsandtheirproposedsolutions. o Transactionsthatinvolvesubstantialpaymenttowardsgoodwill,brandequityorintellectualproperty o Detailsofanyjointventureorcollaborationagreement o Anyissue,whichinvolvespossiblepublicorproductliabilityclaimsofsubstantialnature,includinganyjudgment o Anymaterialdefaultinfinancialobligationstoandbythecompany,orsubstantialnon-paymentforservicessold o companies non-payment, sharetransferdelay(ifany),amongothers rate movement,ifmaterial Retirement Scheme,etc. enterprise thatcanhavenegativeimplicationsonthecompany order, whichmayhavepassedstricturesontheconductofcompanyortakenanadverseviewregardinganother the company 53 114 Annual Report 2014-15 cyient.com director effectiveness.Theroleincludes: The chairmanrunstheboardandsetsagenda-heispivotal increatingtheconditionsforoverallboardandindividual expectations intermsofcultureandvalues,aswellthestyletoneboarddiscussions. lives andupholdsthehigheststandardsofintegrityprobityinsideoutsideboardroom,throughsetting clear The chairmanisresponsibleforleadershipoftheboardandensuringitseffectivenessonallaspectsrole. Role oftheChairman ● ● ● ● ● Mr. M.M.Murugappanisdesignatedtheleadindependentdirectorandhechairsmeetingsofdirectors. Lead IndependentDirector met twice(AprilandOctober2014). exchanging valuableviewsontheissuestoberaisedatboardmeetings.Duringyear,independentdirectors business relatedissuesandnewinitiatives.Thesemeetingsaffordanopportunitytotheindependentdirectorsfor The companyfacilitates/enablestheconductofseparatemeetingsindependentdirectorstoupdatethemonall Meetings ofIndependentDirectors circulation, affixingofcommonsealandboard'sreport. secretarial standardsondividend,registersandreturns,minutes,transmissionofshares,passingresolutionsby years. Further,thecompanyhasalsoasameasureofgoodgovernance,voluntarilyadoptedandcompliedwithICSI mandatory from1July2015,thecompanyhasvoluntarilyadoptedandcompliedwithstandardsforlastseveral corporate functioningandmanagement.Althoughthesecretarialstandardsonboardgeneralmeetingsare The InstituteofCompanySecretariesIndia(ICSI)hasissuedsecretarialstandardsonvariousimportantfacets Secretarial Standards systematically putuptotheboardatfollowingmeetingforitsinformation. various levelsinthecompany.Anactiontakenreportondecisionsofboardatitspreviousmeetingis The companyhasputinplaceMISprocessesforthepromptdisseminationofdecisionstakenbyboardto Action TakenReport implementation ofthesame. good faith.Ombudspersonshavebeennominatedforthevariousgeographiesandboardoversees policy providesnecessarysafeguardsforprotectionofassociatesfromreprisalsorvictimization,whistleblowingin of unethicalbehaviour,actualorsuspected,fraudviolationtheCompany'scodeconductpolicy.Further, the Ombudsperson/ChairmanofAuditCommitteeCompanyto, The companyhasformulatedaWhistleBlowerPolicywithviewtoprovidingmechanismforassociatesapproach Whistle blowerpolicy/VigilMechanism ReconciliationofShareCapitalAuditReportunderSEBI(DepositoriesandParticipants)Regulations,1996 o ComplianceCertificatecertifyingcompliancewithalllawsasapplicabletotheCompany o Briefonstatutorydevelopments,changesingovernmentpolicies,amongotherswithimpactthereof,Directors' o responsibilities arisingoutofanysuchdevelopments and oversightofsignificantrisks; boardroom -betweenthenon-executive directorsandexecutiveteam,inparticularwithregard totheidentification building effectiverelationships foundedonmutualrespectandopencommunication-both insideandoutsidethe skills, experience,knowledge and, whereappropriate,independence; encouraging theactiveengagementofallboardmembersin boardandcommitteemeetings,drawingfullyontheir are properlystructuredwithappropriatetermsofreference; making certainthataneffectivedecision-makingprocessis inplacetheboard,andthatboard'scommittees and extentofthesignificantrisksboardiswillingtoembrace intheimplementationofitsstrategy; ensuring thatissuesrelevanttothisobjectivearereservedfor boardconsideration,includingdeterminingthenature and valuecreation; setting aboardagendawhichisprimarilyfocusedonbusiness, strategy,accountability,competitiveperformance inter alia , reporttothemanagementinstances 53 115 Annual Report 2014-15 cyient.com committees thereof,theircontributions atthemeetingsorotherwise,andontheirposition invariousCommitteesofthe remuneration toNEDs.The remuneration paidtoNEDsislinkedtheirattendance atthemeetingsofBoardor Consistent withgloballyaccepted governancepractices,thecompanyhasusheredinflexibility inrespectofpayment company, aspertheresolution passedbytheshareholdersofcompanythroughpostal ballotonOctober30,2014. The non-executivedirectors(NEDs)areeligibleforcommission notexceedinganaggregateof1%thenetprofits shareholders attheirmeetings. statements. Theannualcompensationoftheexecutivedirectors isapprovedbytheboardwithinoveralllimitsset company successfully.Allboardlevelcompensationisapproved bytheshareholdersanddisclosedseparatelyinfinancial Levels ofremunerationaredeterminedsuchthattheyattract, retainandmotivatedirectorsofthequalityrequiredtorun Remuneration PolicyofDirectors 2014. discharges thefunctionsprescribedunderCompanies(Appointment andRemunerationofManagerialPersonnel)Rules, is responsibletotheBoardforensuringthatprocedures arecompliedwith.Inaddition,theCompanySecretary assisting withprofessionaldevelopment.Alldirectorshaveaccesstotheadviceandservicesofcompanysecretary who the boardanditscommittees,betweenseniormanagementnon-executivedirectors,aswellfacilitatinginduction and Under thedirectionofchairman,companysecretary'sresponsibilitiesincludeensuringgoodinformationflowswithin presentation ofboardinformationwhich-bybeingaccurate,clearandcomprehensiveassistshigh-qualitydecisionmaking. The companysecretaryhasakeyroletoplayinfacilitatingtheeffectivefunctioningofboardthroughtimely Role ofcompanysecretaryinoverallgovernanceprocess ● ● ● ● The LNRcommitteeisentrustedwiththetaskofsuccessionplanningforboard.Thisresponsiblefor: any businesschallengesthatmaybeencountered. appoint newdirectorsquicklyinastructuredmanner,andtheboardcancontinueitsbusinesswithoutdisruption,meeting identifying andsourcingpotentialboardmemberswhocanfulfillkeyrequirementsisessential.Thissuccessionplanhelps challenges ofgrowth,effectivelyandsuccessfully.Foraconsciousboard,successionplanthatprovidesguidance on The companyusessuccessionmanagementandplanningtoensurethatitidentifiesdevelopsfutureleadersface the Succession planningattheboard: Effective andgooddecision-makingattheboardisfacilitatedby: Decision makingattheboard ● ● ● Ensuring eachnewBoardmemberreceivesinductionandtraining. Recommending candidatestotheboardand Interviewing potentialcandidates Developing adatabaseofeligibleboardcandidatesoncontinuousbasis ● ● ● ● ● ● having regardtothebenefitsofdiversity; ensuring effectiveprocessesareestablishedrelatingtosuccessionplanningandthecompositionofboard, consulting theseniorindependentdirectoronboardmattersconsistentwithregulations; respecting executiveresponsibility; developing, inparticular,aproductiveworkingrelationshipwiththeCEO,providingsupportandadvicewhile providing clarityforexecutivesontheactionsrequired. achieving timelyclosureondecisionstaken;and allowing timefordebateandchallenge,especiallycomplex,contentiousorbusiness-criticalissues; ensuring thatdirectorsareaffordedadequatetimetoprepareformeetings; made awareoftheviewsmajorinvestors. ensuring effectivecommunicationwithshareholdersandotherstakeholdersthatalldirectorsare taking theleadonissuesofdirectordevelopmentandactingresultsboardevaluation; 53 116 Annual Report 2014-15 cyient.com Details ofremunerationtotheNon-ExecutiveDirectors@: separate actuarialvaluation/premiumpaidarenotavailableforthemanagingdirectorandwholetimedirector. The aboveamountsdonotincludeprovisionsforencashableleave,gratuityandpremiumpaidGroupHealthInsuranceas *ceased tobewholetimedirectorw.e.f12April2014;ceased17July2014 r hna aaaa *00 1,260,000 0 10,000 10,000 0 60,000 10,000 10,000 0 1,200,000 0* 0* 0* 0* non-executive directorholdsanyshares,convertibleinstruments orstockoptionsinthecompanyason31March2015. & CEOholds18,50,760equityshares.ExceptMr.M.M.Murugappan whoholds30,000equitysharesinthecompany,noother Mr. B.V.R.MohanReddy,ExecutiveChairman,holds145,97,366equitysharesandKrishnaBodanapu,ManagingDirector Shareholding oftheDirectorsinCompanyason31March2015 @ ExcludingServiceTax *not claimed Mrs. AndreaBierce Mr. JohnPaterson Mr. SomMittal Mr. ShankarNarayanan Mr. HarshManglik Mr. VikasSehgal Mr. G.V.Prasad Mr. AllanBrockett Mr. AlainDeTaeye Mr. K.Ramachandran Mr. M.M. Name ofthe Mr. KrishnaBodanapu Mrs. B.Sucharitha* the board'stimeandallowin-depthscrutinyfocusedattention. Thecompanyisoftheviewthatcommittees: work fordecisionmakingandreportatthesubsequentboard meetings.Further,committeesenablebettermanagementof specialized andtechnicallyorienteddiscussionsarerequired. Thecompanybelievesthatcommitteespreparetheground statutory aswellnon-statutory,ameansofimproving boardeffectivenessandefficiencywheremorefocused, Board committeesarepillarsofcorporategovernance.Inthis background,theboardhasconstitutedvariouscommittees, Board committees Mr. B.V.R.MohanReddy Name ofthe Details ofremunerationtotheExecutiveDirectors: approved bytheshareholdersofcompany. the company.Thecompanypaysremunerationbywayofsalary,perquisitesandallowancestoWholeTimeDirectoras commission (variablecomponent)toExecutiveChairmanandManagingDirector&CEOasapprovedbytheshareholdersof and othercommittees.Thecompanypaysremunerationbywayofsalary,perquisitesallowances(fixedcomponent) The companypayssittingfeesof the recommendationsofLNRcommittee. board, whetherasthatofChairmanorMember.Theboardapprovesthecommissionpaidtodirectorsindividually,basedon ● ● ● Murugappan Provide anobjectiveandindependent insightintoboard'sfunctioningandjudgment Manage issueswithgreaterefficiency byhavingexpertsfocusingonspecificmatters Review informationingreaterdetailbeforeitisplaced theboard Director Director 4055714,005,587 7036917,093,619 ,7,4 i ,0 ,0 2,091,747 9,000 7,200 Nil 2,075,547 ` 10,000permeetingtotheindependentdirectorsforattendingmeetingsofboard aayCmiso FSprnuto Total Superannuation PF Commission Salary 17,528,507 35,057,014 Commission ,5,1 0041,281,880 1,271,761 30,064 1,270,000 19,945 70,000 1,251,816 1,251,816 1,310,000 1,310,000 1,200,000 110,000 110,000 1,200,000 1,200,000 ,4,6 ,5,5 35,227,616 2,051,957 1,641,565 ,4,0 ,5,5 56,751,883 2,556,250 2,045,000 *3,0 30,000 30,000 0* Sitting Fee (Amount (Amount Total ` ) ` ) 53 117 Annual Report 2014-15 cyient.com During theyear2014-15,companyhad, mechanism totheboard. describes thepurposeofcommittee,itsmembershipcomposition,authority,majorareasresponsibilityandreporting terms ofreference/charterforeachcommitteesocreated.Thereferencecomprise,aclearstatementwhich The boardidentifiestherequirementsofcommitteetosupportitsworkandresponsibilities.Assuch,itlaysdown The specificcharterofthecommitteeis: 177 oftheCompaniesAct,2013andClause49ListingAgreementwithstockexchanges. The committeehasbeenconstitutedinaccordancewithandderivesthetermsofreferencefromprovisionssection committee isanefficientmechanismforfocusingonissuesrelevanttotheintegrityofcompany'sfinancialreporting. reporting. Thecommitteefunctionsasaliaisonbetweentheboardofdirectorsandauditors-internalexternal. confidence intheintegrityofprocesses,proceduresandpracticesrelatingtointernalcontrolscorporatefinancial The committeeisavitalcoginthewheelofgoodcorporategovernance.Ithasbeenestablishedwithaimenhancing Audit &RiskManagementCommittee: ● ● ● ● ● ● Reviewingwiththemanagement, theannualandquarterlyfinancialstatementsauditor's reportthereonbefore o Oversightofthecompany's financialreportingprocessandthedisclosureofits informationtoensure o Financial Review: Overseeing theintegrityofcompany'sgovernanceframeworkoperationalcontrolswithrespecttolegaland o Overseeingtherisk management,complianceandcontrolactivitiesofthecompany,includingbutnotlimitedto o Assessingandprovidingoversight tomanagementwithregardstheidentificationandevaluation,ofmajor o Risk Management: Summarizethefindingsofstatutoryauditreport;understandprocessgaps,mitigationplansimplementedto o Reviewthestatutoryauditscopeandplanforvariouslocations beforecommencementoftheaudit;provideinputs o Examineinternalauditreporttofocusonsignificantfindings,followupactionsinplace, internalinvestigations, o Revieweffectivenessofinternalauditfunction,reportingstructure,scope coverageandfrequencyofinternalaudit o Evaluatetheindependenceofauditorsandtheirareasun-resolvedconcerns ifany. o Recommendappointmentandremuneration; evaluateperformanceoftheauditorsandeffectivenessaudit o Audit: Corporate SocialResponsibilityCommittee Strategy Committee Customer EngagementCommittee Stakeholder EngagementCommittee Leadership, Nomination&RemunerationCommittee Audit &RiskManagementCommittee submission totheboardforapproval that thefinancialstatementis correct,sufficientandcredible; regulatory compliance the developmentandexecutionbymanagementofstrategies tomitigaterisks; control processeswithrespecttosuchrisks; strategic, operational,regulatory,informationandexternal risks inherentinthebusinessofCompanyand address thesame. and areasoffocusifany. highlight thesame. conclusions arrived,failuresorirregularitiesintheinternalcontrolsframeworkandreportssubmittedto process. interalia , thefollowingboardcommittees: 53 118 Annual Report 2014-15 cyient.com Mr. M.M. Mr. K.Ramachandran Name ofthe ● ● ● ● ● ● ● The compositionoftheCommitteeisasfollows: The roleofthecommittee, Leadership, Nomination&Remuneration(LNR)Committee: Representatives ofthestatutoryandinternalauditorsattendmeetingsauditcommittee. basis, theheadsofbusinessunits,HRandotherfunctionsarealsoinvitedattendmeetingscommittee. The ExecutiveChairman,ManagingDirector&CEOandCFOarepermanentinviteestothecommittee.Onacase case The ChairmanoftheAuditCommitteewaspresentat23rdAnnualGeneralMeeting(AGM). The companysecretaryactsasofthecommittee. $ inductedw.e.f.17July2014andvacatedofficeon15October @ inductedw.e.f.15October2014 # Vacatedofficew.e.f.17July2014 Mr. JayantSabnis$ Mr. SomM Mr. HarshManglik# Mr. K.Ramachandran Name oftheMember The compositionanddetailsofthemeetingsAuditCommitteeason31March2015arefollows: agreement. The committeealsodischargesfunctionsoftheriskmanagementascontemplatedunderclause49listing During theyearcommittee mettwice. All themembersofthiscommittee areindependentdirectors. Ms. Andrea Mr. M.M. Discussing andevaluatingbestpracticesinLeadershipDevelopment, SuccessionPlanningandExecutiveCompensation Review ofSuccessionPlanning Reviewing LeadershipDevelopmentprogrammes with thecriterialaiddown,andrecommendtoBoardtheirappointmentremoval. Identifying personswhoarequalifiedtobecomedirectorsandmaybeappointedinseniormanagementaccordance Devising andadministeringapolicyonBoarddiversity Formulation ofcriteriaforevaluationIndependentDirectorsandtheBoard to theBoardapolicy,relatingremunerationofdirectors,keymanagerialpersonnelandotheremployees Formulate thecriteriafordeterminingqualifications,positiveattributesandindependenceofadirectorrecommend ToreviewthefunctioningofWhistleBlowermechanism o Tolookintothereasonsforsubstantialdefaultsinpaymenttodepositors,debentureholders,shareholders o Valuationofundertakingsorassetsthecompany,whereveritisnecessary; o Scrutinyofinter-corporateloansandinvestments; o Approvaloranysubsequentmodificationoftransactionsthecompanywithrelatedparties; o M Murugappan (in caseofnon-paymentdeclareddividends)andcreditors; ta@Mme 1 1 Member ittal@ urugappan ireMember Bierce Member inter alia ebr11 1 4 1 2 4 Member Member Member Position himn44 4 Chairman , includesthefollowing: Chairman Position Member Meetings held during the year Meetings attended Meetings Meetings heldduringtheyear 53 119 Annual Report 2014-15 cyient.com break upisasfollows: A totalof111requests/complaintswerereceivedfromtheshareholdersandalldisposedduringyear.Their No. ofShareholdersComplaints/requestsreceivedduringtheyear2014-15: the complianceofficerinrespectofothermatters. Mr. SudheendhraPuttyisthedesignatedcomplianceofficerunderclause49oflistingagreement.N.RaviKumar is During theyear,committeemetonce. The Chairmanofthiscommitteeisanindependentdirector. Mr. Krishna Mr. B.V.R.Mohan Mr. K. Name ofthe The compositionofthisCommitteeason31March2015isfollows: dividend. ThecommitteealsooverseestheworkofR&Tagents. such astransferofshares,issueduplicatesharecertificates,non-receiptbalancesheetanddeclared 49 ofthelistingagreement,thiscommitteeisformedtointeralialookintoredressalshareholderandinvestorcomplai to assisttheboardinhandlingshareholders'grievancesandtheirimmediateredressal.Asperitscharter,derivedfromclause committee hasbeenconstitutedtohandleinvestorcorrespondence/grievances.Theprimaryfunctionofthe is Shareholders aretheultimateownersofcompanyandboardisaccountabletothem.Theshareholdersgrievance Stakeholder EngagementCommittee: and knowledgewhichtheBoardasawholerequirestobeeffective.Thecompanyalsohaspolicyonboarddiversity. are balancedappropriately.Allboardappointmentsmadeonmerit,inthecontextofskills,experience,independence between Directors.Thesedifferencesareconsideredindeterminingtheoptimumcompositionofboardandwhenpossible make gooduseofdifferencesintheskills,regionalandindustryexperience,background,race,genderotherdistinctions essential elementinmaintainingacompetitiveadvantage.Thecompanybelievesthattrulydiverseboardwillincludeand Cyient recognizesandembracesthebenefitsofhavingadiverseboard,seesincreasingdiversityatboardlevelasan Board Diversity considered bytheboardandappointmentismadeasawhole. the companytodischargetheirresponsibilitieseffectively.Therecommendationsofnominationscommitteeare strategy, performance,resourcesandstandardsofconduct.Thedirectorsarealsoexpectedtoallocatesufficienttime The specificcriteriaconsidered,include,interalia,theirabilitytobringanindependentjudgmentbearontheissuesof that thecalibreofindependentdirectorsissuchtheyenhanceandmaintainstandardscorporategovernance. objective criteriaandwithdueregardtothediversityofboard.Inparticular,committeehasaresponsibilityensu the board.Thesearchforboardappointeesisconducted,andappointmentsrecommended,basedonmerit,against The nominationscommitteeadoptsaformalandtransparentprocessfortheappointmentofnewindependentdirectorson Criteria forselectionandappointmentofindependentdirectors: Sl. No. Nature of Nature Sl. No. eus o C 303 14 6 20 02 50 09 03 14 6 07 20 02 50 09 07 Receiptofindemnity bonds forissueofduplicatedividendwarrants DividendWarrantsfor revalidation 8 NonReceiptofShare Certificates 7 Non ReceiptofAnnualReports 6 Change/Correctionof BankMandate 5 RequestforECS 4 NonReceiptofDividend Warrants 3 Change/Correctionof Address 2 1 Ramachandran OA 1 111 111 TOTAL Bodanapu Member ed Member Reddy Complaint Position Member Chairman eevdDisposed Received nts re 53 120 Annual Report 2014-15 cyient.com Inorganic GrowthStrategy Business Performance Strategy &Planning committee, A strategycommitteeoftheboardhasbeencreatedtoreviewandadviseonorganizationstrategy.Theobjectives Strategy Committee: invitee tothecommittee.AdetailedreportonCSRactivitiesispublishedelsewhereinannualreport. During theyear,committeemettwice.Mr.B.AshokReddy,President-CorporateAffairs&Infrastructureisapermanent Mr. Krishna Mr. B.V.R.Mohan Mr. K. Name ofthe The compositionofthecommitteeason31March2015isfollows: also recommendstheamountofexpendituretobeincurredonCSRandmonitorsimplementationpolicy. discharge ofthesocialresponsibilitiesbywayformulatingandimplementingCSRpolicycompany.Thecommittee (Corporate SocialResponsibility)Rules,2014.TheprimaryresponsibilityoftheCSRcommitteeistoassistboardinits The CompanyhassetupaCSRcommitteeinaccordancewiththeprovisionsofsection135ActreadCompanies Corporate SocialResponsibility(CSR)Committee: the endoffinancialyear. All thecomplaintswereresolvedtosatisfactionofshareholdersandtherearenosharetransferswhichpendingat with thecommittee.Thestrategy tomoveupthevaluechainusingproductrealizationas anchorwasalsodeliberatedon. the UTstrategy,specificallyM&Aplanstoexpandcapabilities inUT.Timelinesforotherverticalstrategieswerealsoshared All themembersofcommitteeareindependentdirectors. Thecommitteemetonceduringtheyearanddeliberatedupon            Ramachandran versus buydecisions Periodically reviewandprovidefeedbackonmanagement'sarticulation ofstrategicinorganicneeds,includingmake management analysisofperformance Periodically reviewcompany’sprofitabilityandgrowthbyservicelines,customersgeographies performance expectationsinthislandscape Periodically reviewcompany’scustomerandcompetitoranalyses,recommendmanagementdirection impact strategy,helptoreassessplanningandexecutioninthiscontext Provide inputsaroundexternalfactors(macroeconomicenvironment,geo-politicaldevelopments,etc.)thatcould guidance Conduct quarterlydiscussionsonthestrategy,achievements/gapsinexecutionplan,providefeedbackand Monitor keysuccessparameterstoassesseffectivenessofstrategyexecution Review andprovideinputsguidanceforcompany’sindustry-geography-levelstrategies Review andprovideinputsguidanceforcompany’sorganizationstrategy Evaluate anydivesturerecommendations areas, newindustryverticalsandgeographicmarkets supportfeedback/recommendationstotheBoard Periodically reviewmajorstrategicinvestmentproposalsdeveloped tosupportCyient'sentryintonewservice business andfinancialevaluation;adviseoncases developed byManagementforBoardapproval Periodically reviewcompany’sacquisitiontargetsagainststrategic needs;providefeedbackandguidancearound Bodanapu inter alia Member ed Member Reddy , include: Position Member Chairman 53 121 Annual Report 2014-15 cyient.com 2dAM-- o--23 ..o hrdy Nil Nil 2:30p.m.onThursday, 2:30p.m.onThursday, elsewhere intheannualreport. enable agreaternumberofshareholders toparticipateinthegeneralmeetingprocess. Detailsofthesamearepublished This isanadditionalfacilityprovided totheshareholdersvoteonAGMresolutionsin theelectronicmode.Thiswillal The companyisofferinganoption toitsshareholdersparticipateinanon-mandatory votingprocessthroughinternet. Auditorium, Bhaskara ---- do --- AGM 21st AGM 22nd Time, of Appointmnet 1. 2:30 p.m. on Thursday, L&DCentre(company'sCampus), 23rd AGM Venue Meeting Annual General The boardusestheannualgeneralmeetingasameanstocommunicatewithinvestorsandencouragetheirparticipation. General Meetings The committeewillreviewandproviderecommendationsonthefollowing: ensure thosestrategiesresultinsustainableandprofitablerevenuegrowth. and tacticstostrengthencompany’srelationshipswithexistingclients,developprospectiveclients The overallobjectiveoftheClientEngagementCommitteeistoprovideguidancemanagementteamaroundstrategies Customer EngagementCommittee During theyear,committeemettwice. Mr. Harsh Mr. AlainDe Mr. John Ms. Andrea Name ofthe       The compositionofthecommitteeisasfollows: defined clientprofiles. understanding theclientmindset,challengesandprioritiesworktoalignexperiencebenefits etc) andproviderecommendations. new initiativestostrengthenclientperformanceengagement(clientadvisoryboard,communitiesorforums, reporting, newsletters,socialmediaconnect,onboarding,etc.) the clientexperienceandCyient’scommunicationstrategy,touchpointsexecution(relationshiphealth expectations. thekey accountplanningprocessandrepresentativeplansrecommendmanagementdirectionperformance client satisfactionsurveymethodologyandresultsensurekeyinsightsaretakentranslatedtoaction. key successparameters(clientsatisfaction,revenuegrowth,profitability,relationshipdepth,etc) Paterson agi Member Manglik Bierce ay Member Taeye Member MBraMsu,Aas aa,July 18, 2012 Hyderabad -500063 Chairman Executive as BM BirlaMuseum,AdarshNagar, Mr.BVRMohanReddy July17,2014 Manikonda, Hyderabad-500032 Plot No.2,ITPark,Nanakramguda, Position Member Chairperson July 18,2013 Day & Date No. of special of No. Day &Date .Revisionofremuneration 3. Appointmentof 2. resolutions passed Non -ExecutiveDirectors by wayofcommissionto as ManagingDirectorandCEO Mr. KrishnaBodanapu so 53 122 Annual Report 2014-15 cyient.com ubro nai/eta otlblo om eevd12 1 Number ofinvalid/neutralpostalballotformsreceived intervals, certifyingthattheshare transferrequestscompleteinallrespectshavebeen processedandsharecertificates The companyobtainsaCertificate ofCompliancefromMr.S.Chidambaram,CompanySecretary inPractice,athalf-yearly document andaone-stop-shop forallqueriesoftheshareholders. The companyhasinplaceashareholderhandbookandthesame isavailableonthecompany'swebsite.Thisacomprehensive Handbook company isincompliancewiththissystem. web basedcomplaintsredressalsystem.Thesystemprocesses complaintsinacentralizedwebbasedmechanism.The The SecuritiesExchangeBoardofIndiahasinitiatedaplatform forredressingtheinvestorgrievancesthroughSCORES,a Scores in thecomingyears. company wishestoalignitselfbetterwithinvestorexpectations sothatitcandelivergreaterandpositivevaluetoitsinves The insightsbasedoninvestorsfeedbackwerepresentedtothemanagementandboard.BasedISATsurvey, Satisfaction (ISAT)viaayearlysurvey.Thecompanypartneredwithanindependentresearchfirm,forcarryingoutthis In thecompany'scontinuedquesttoimproveinvestorsatisfaction,itlaunchedanewinitiativeformallymeasureInvestor Investor SatisfactionSurvey interactions withinvestors. "Annual Investors'Day",focusoninvestorreturnmetrics,improveddisclosures,andincreasedfrequencyofmanagement pursuit ofaneffectivetwowaycommunicationchannelwithinvestors.Theseinitiativesinclude"InvestorSatisfactionSurvey", The companyhasbeentakingcontinuousinitiativestomeetinvestorexpectations,androlledoutseveral in interaction withthemanagementteam. regular conferencecalls,managementinterviews,facetoinvestormeetingsandannualgeneralensureadirect information intheformofannualreports,quarterlyearningsinvestorreleasesandpresentations.Additional on pillarsoftrustandtransparency.Toensure,informeddecisionsbyinvestors,thecompanyprovidescomprehensive The companyrecognizestheinvestorcommunityasakeystakeholderofbusiness,andaimstobuilditsrelations Investor Relations ubro ai otlblo om/-oe eevd15263 For 175 Number ofvotesagainst Number ofvotesinfavour Number ofvalidpostalballotforms/e-votesreceived Particulars Duringtheyear,companyconductedtwopostalballots-oneforchangeofnamefromInfotechEnterprisesLimited 1. Special Resolutionspassedthroughpostalballotduringtheyear2014-15: No Extra-OrdinaryGeneralMeetingoftheshareholderswasheldduringyear. accessing thewebsite:' of castingvotethroughphysicalpostalballot.ThiswasfacilitatedKarvyComputershareprivateLimitedandby providing e-votingfacilityasanalternativetoitsshareholders,enablethemcasttheirvoteelectronicallyinstead E-Voting: and theRulesmadethereunder. Company willconductthepostalballot,whererequired,inaccordancewithprovisionsofCompaniesAct,2013 Procedure forpostalballot: Mr. S.Chidambaram,CompanySecretaryinPracticewasappointedasscrutineerforboththepostalballots. ballot resultsisasfollows: to CyientLimitedandsecondforrationalizationofremunerationnon-executivedirectors.Asummarythepostal In pursuance ofClause35BtheListingAgreement,companyconductedabovepostalballotby In pursuance the Resolution of theResolution https://evoting.karvy.com ' fteCmayofNon-ExecutiveDirectors of the Company 8,497472,41,642 287,74,967 change of name Revision of remuneration of Revision change ofname 6946,894 66,974 tors ly 53 123 Annual Report 2014-15 cyient.com Disclosures to onpriority. [email protected]. In ordertofacilitatespeedierredressalofinvestors'grievances,thecompanyhasanexclusiveemailID with bothStockExchangeswherethecompany'ssharesarelisted. with transferendorsementshavebeenissuedbythecompanywithinstipulatedtimeperiods.Thiscertificateisalsofiled )Thewebsiteofthecompanygivescomprehensiveinformation aboutthemanagement,vision,mission,policies, f) ThecompanyalsoreleasesallpricesensitiveinformationsimultaneouslytoNSE/BSEandthemedia. e) )Apartfromthefinancialresults,allpressreleasesof companyandpresentationsmadetotheinstitutional d) Aquarterlyinvestorupdateissenttoalltheshareholdersinelectronicmode.Thisprovides aqualitative c) Statutoryadvertisementsandfinancialresultsofthecompany(Quarterly,Half-yearlyAnnual)arenormally b) Thecompanyhasa"CorporateDisclosurePolicy"withanobjectiveofensuringtimelyandadequatedisclosure a) Means ofCommunication Mrs.SucharithaisthespouseofMr.B.V.R. MohanReddy.Mr.KrishnaBodanapuistheirson. h) NopenaltiesorstrictureswereimposedonthecompanybyStockExchanges, SEBIorotherstatutoryauthorities g) Theboardregularlydiscussesthesignificantbusinessrisksidentifiedbymanagementandmitigationprocess f) Theboardofdirectorshaslaid-downa'CodeConduct'(Code)forallthemembersandseniormanagement e) AcompliancereportofallapplicablelawsandregulationsdulysignedbytheExecutiveChairman,ChiefFinancial d) TherewerenopecuniarytransactionswithanyoftheNon-ExecutiveDirectors,exceptpaymentsittingfeeand c) TherearenomateriallysignificantrelatedpartytransactionspleaserefernoteNo.39oftheconsolidatedfinancial b) TheManagingDirector&CEOandChiefFinancialOfficerhavegivenaCertificate totheBoardascontemplatedin a) pattern, informationrelatingto R&Tagentsandfrequentlyaskedquestionsfortheshareholders. on 'Investors'servestoinform theshareholders,bygivingcompletefinancialresults,press releases,shareholding corporate governance, sustainability,investorrelations,salesnetwork,updates andnews.Thesection investors andanalysts,ifany,areplacedonthecompany'swebsite: and variousotheroperationalmetrics. insight intothecompany'sperformance,financialandbusiness highlights,amessagefromthemanagement regional languagedailies(Telugu). published in'BusinessStandard',or'FinancialExpress'newspapers inEnglishand'AndhraPrabha'/'NavaTelangana' of mediumdisclosureanddissemination. and coordinatingdisclosure,respondingtomarketrumours,timelyreportingofchangesinshareholdingdetails information. Thispolicydealswithpromptdisclosureofpricesensitiveinformation,parametersforoverseeing relating totheabove. and AnalysisannexedtotheDirectors'Report. being takenup.AdetailednoteontheriskidentificationandmitigationisincludedinManagementDiscussion Clause 49oftheListingAgreement,ispublishedelsewhereinAnnualReport. from everyassociatecoveredbytheCode.ThedeclarationofManagingDirector&CEO,asrequiredunder personnel ofthecompanyandthisCodeispostedonwebsiteCompany.Annualdeclarationobtained pending beforethevariouscourts/judicialforumsisalsoputuptoboardonaquarterlybasis. the steps/actiontakenbycompanyinthisregard.Astatusreportofmateriallegalcasesanddisputedliabilities The boardconsidersmateriallyimportantshowcause/demandnoticesreceivedfromstatutoryauthoritiesand compliance ofalltheapplicablelawsandgivesappropriatedirectionswherevernecessary. Officer andtheCompanySecretaryisplacedatperiodicintervalsforreviewbyBoard.TheBoardreviews commission. statements, formingpartofthisAnnualReport Clause 49oftheListingAgreement.Thisispublishedelsewhereinannualreport. ShareholdersmaylodgetheirqueriesaddressedtothisemailIDwhichwouldbeattended www.cyient.com 53 124 Annual Report 2014-15 cyient.com General ShareholderInformation insider trading. The CompanyhasadoptedthecodeofinternalproceduresandconductforlistedcompaniesnotifiedbySEBIprohibiting Compliance ofInsiderTradingNorms internal controlandsystems,arediscussedinthesaidreport.Thereportalsocontainsasectiononriskmanagement. structure anddevelopments,opportunitiesthreats,segment/productwiseperformance,outlook,risksconcerns, The ManagementDiscussionandAnalysisReportformspartoftheDirectors'Report.Allmatterspertainingtoindustry Management DiscussionandAnalysisReport )SokCd S 532175 : BSE Marketpricedata:High/Lowduringeachmonthinthefinancialyear2014-15andperformancecomparisonto g) BSELtd. 1 April2014to31March2015 August 1, 2015 July13to16,2015(bothdaysinclusive) : : : : StockCode f) ListingonStockExchanges e) DividendPaymentDate d) Closure Book of Date Thursday,July16,2015at2.30p.m. c) Year Financial : b) AGM-Date,TimeandVenue a) h) Registrar and Transfer Agents : Karvy Computershare Private Limited Private Computershare Karvy : RegistrarandTransferAgents h) broad basedindicessuchasBSESensexandNiftyisfollows: erHg Low High & Year e 4578 9.52,0.42,6.2589 0.58669 7,961.35 8,626.95 500.25 488.00 578.90 26,469.42 516.50 574.90 28,809.64 507.00 560.00 494.95 592.80 Mar 15 577.85 Feb 15 427.25 Jan 15 422.00 512.20 Dec 14 483.00 Nov 14 Oct 14 Sep 14 Aug 14 July 14 June 14 348.90 May 14 April 14 Month 4.0454 8823 7795 4.0445 ,1.08,290.25 8,617.00 464.55 544.70 7,540.10 27,739.56 7,968.25 7,422.15 28,822.37 367.00 7,840.95 7,239.50 322.50 465.40 450.00 7,700.05 6,638.55 25,232.82 296.05 385.00 7,563.50 543.40 26,674.38 24,892.00 261.00 360.95 26,300.17 24,270.20 375.00 325.90 25,725.12 22,277.04 323.35 449.10 25,375.63 294.00 384.95 265.00 360.00 333.00 BSE ( ` 0.52,3.12,9.1389 0.06898 6,650.40 6,869.85 306.00 348.95 22,197.51 22,939.31 303.05 ESXNSE( SENSEX ) est www.karvycomputershare.com [email protected]; [email protected] +91-40-6716 1562 : : : Website Email Tel Gachibowli, FinancialDistrict, Nanakramguda, Hyderabad-500032. Plot No.KarvySeleniumTowerB,31-32, Unit: CyientLimited 0047 7284 7.0466 ,1.08,269.15 9,119.20 8,470.50 486.60 8,941.10 8,065.45 515.00 575.20 8,996.60 27,248.45 506.70 560.05 30,024.74 28,044.49 591.95 7,723.85 29,560.32 26,776.12 8,330.75 7,841.80 29,844.16 426.10 8,180.20 422.15 512.00 25,910.77 485.00 27,894.32 26,220.49 27,354.99 SN:INE136B01020 L72200TG1991PLC013134 : ISIN : CYIENT/EQ CIN : NSE National StockExchangeofIndiaLtd. Manikonda, Hyderabad500032,Telangana L &D.Centre,PlotNo.2,ITPark, ihLwHg o ihLow High Low High Low High ` NIFTY ) 53 125 Annual Report 2014-15 cyient.com )DistributionofShareholding j) ShareTransferSystem i) Sl. No. The DistributionofshareholdingtheCompanyasonMarch31,2015isfollows: Karvy ComputersharePrivateLimitedistheCommonR&TAgentforbothphysicalanddematerialisedmode. transfers areprocessedandapprovedintheelectronicformbyNSDL/CDSLthroughtheirdepositoryparticipants. pending formorethanafortnight.AstheCompany'ssharesarecurrentlytradedindematerializedform, the ShareTransferCommitteemeetsasoftenrequired.Adequatecareistakentoensurethatnotransfersare concerned withinaweekfromthedateofapprovaltransfersbyShareTransferCommittee.Forthispurpose, the documentsareclearandcompleteinallrespects.Thesharesdulytransferreddispatchedtoshareholders Shares lodgedforphysicaltransferareregisteredwithinaperiodof8daysasagainstservicestandard15days,if Shareholding pattern: Sl. No. 00 0006 .240600 0.84 94.79 0.25 0.32 4705670.00 532524015.00 0.49 1413390.00 0.97 1793360.00 0.97 0.78 0.42 0.21 2771320.00 1.56 0.33 5440705.00 4367535.00 0.72 146 8789330.00 2.53 63 4.22 31 50 90.60 ABOVE 108 & 100000 100001 - 380 50000 50001 634 - 8 40000 40001 13616 - 7 30000 30001 - 6 20000 20001 10000 - 5 5000 - 10001 4 5001 3 upto 2 1 4Tut 6100.14 162120 4 Trusts 14 ResidentIndividuals 13 CompanyPromoters 12 NonResidentIndians 11 MutualFunds 10 3 66 0.07 76766 0.33 239 0.31 0.02 372590 14.95 0.03 343940 25867 24 16792960 29771 205 4 2 47 BodiesCorporates H U F 9 ForeignPortfolioInvestors 8 ForeignNationals 7 Foreign InstitutionalInvestor 6 ForeignCollaborators 5 Employees 4 Clearing Members 3 Banks 2 1 OA 52 0.0510350 100.00 561805325.00 100.00 15028 TOTAL ecito ae Shares Cases Description aeoyCss%of Cases Category OA 52 1316 100.00 112361065 15028 TOTAL ae Amount Cases 39 807 5.20 5840878 13492 9 266 4.69 5266868 397 7 172 2.82 3167023 476 31203 13.60 0.44 15280733 489653 35.21 53 39559670 12 64 452622.21 24952226 9 % Amount % Equity 53 126 Annual Report 2014-15 cyient.com )Outstanding GDRs/ADRs/Warrantsoranyotherconvertibleinstruments,conversiondateandlikelyimpacton l) Dematerializationofsharesandliquidity k) are nooutstandingconvertibleinstrumentswhichwillimpact theequity. The CompanyhasnotissuedanyGDRs/ADRs/Warrants/convertible debenturesduringtheyear2014-15andthere equity the endofMarch31,2015,99.11%outstandingequity sharesofthecompanyareinelectronicform. Central DepositoryServices(India)Limited(CDSL)toestablish electronicconnectivityforscriplesstrading.Asat Accordingly, thecompanyhasenteredintoagreementswith NationalSecuritiesDepositoryLimited(NSDL)and As perSEBIguidelinesoninvestorprotection,theCompany's sharesaretobetradedonlyindematerializedmode. also totheStockExchanges. with NSDLandCDSL.Thisreconciliationisdoneonaquarterlybasisreportedtotheboardofdirectors agreement withthetotalnumberofsharesinphysicalformanddematerialisedheld the totalissued/paidupcapitalandlistedcapital.Theauditconfirmsthatisin with NationalSecuritiesDepositoryLimited(NSDL)andCentralServices(India)(CDSL) Mr. S.Chidambaram,CompanySecretaryinPracticecarriedoutanaudittoreconcilethetotaladmittedcapital Reconciliation ofShareCapital State InvestmentsICVC First StateAsiaPacificFundASubof National WestminsterBankPlcasDepositaryof Tele AtlasData'SHertogenbosch Franklin TempletonMutualFundA/C SBI MagnumTaxgai Bodanapu SriVaishnavi B GV T. RowePriceInternational Eequity OpportunitiesFund Reliance CapitalTrusteeCo.LtdA/CRelianc Amansa HoldingsPrivate Oppenheimer InternationalSmallCompany Name of the Shareholder No. of equity shares % of shareholding of % No. of equity shares ICICI PrudentialLifeInsurance Lavender InvestmentsLimited Deutsche SecuritiesMauritius B Sucharitha First CarlyleVentures BVR Mohan Carrier InternationalMauritius Name oftheShareholder Shareholders holdingmorethan1%ofshares: Krishna Reddy n Scheme Mauritius iie 365 3.85 4326252 Limited Discovery Fund Company Ltd Limited t 599013.61 15292960 Ltd 500 1.33 1500000 B V Franklin IndiaprimaFund ud40544.10 4603554 Fund 19469.88 12.99 11099416 14597366 394 1.25 1.41 1399043 1.59 1.65 1588297 2.60 1790400 1850760 2921225 600 1.42 2.38 1600000 4.18 2673785 4694674 720 4.21 4.86 5.82 4732101 5456424 6541200 53 127 Annual Report 2014-15 cyient.com )Equitysharesinthesuspenseaccount: o) )DevelopmentFacilities m) )Addressforcorrespondence andcontactpersonsforinvestors'queries n) Exchanges, theCompanyreportsfollowingdetailsinrespectofequityshareslyingsuspenseaccount: In accordancewiththerequirementofClause5A(I)and(II)ListingAgreementsenteredintoStock The CompanyhasSoftwareDevelopmentfacilities,theparticularsofwhichareasfollows: the rightfulownerofsuchsharesclaimsshares. The votingrightsonthesharesoutstandinginsuspense accountasonMarch31,2015shallremainfrozentill E-mail : Madhapur, Hyderabad-500081Tel:+91-40-2311-2296/6764-1322Fax:+91-40-6662-4368, Registered OfficeoftheCompanyat4thFloor,'A'Wing,PlotNo.11,SoftwareUnitsLayout,Infocity, PlotNo.11,Block"B",Sector63,NOIDA-201307 to thefinancialstatementsofCompanymaybeaddressedMr.AjayAggarwal,ChiefFinancialOfficerat 1. Investors' correspondencemaybeaddressedtoMr.SudheendhraPutty,companysecretaryandanyqueriesrelating Company's website. *Complete listofdevelopmentcentres,subsidiariesandotherofficesisavailableelsewhereintheAnnualReport/ Noida aiaaPlotNos. Kakinada Plot 1. Visakhapatnam Plot 1. Bangalore Hyderabad Development Facilit con uigteya 474 2 474 2 the suspenseaccountlyingas Aggregate numberofshareholdersandtheoutstandingshares in account duringtheyear Shareholders towhomsharesweretransferredfromthesuspense from suspenseaccountduringtheyear Shareholders whoapproachedtheCompanyfortransferofshares shares inthesuspenseaccountas Aggregate numberofshareholdersandtheoutstanding atclr shareholders Particulars [email protected] /[email protected]. e Location ies .PlotNo.7,NoidaDadriRoad,NOIDA-201305 2. Madhuravada (V),Visakhapatnam-530007 Survey No.410,Plot14,SEZUnits,Hill3,Rushikonda, 1stFloor,Wing-B,Block-9,PritechParkSEZ, 2. PlotNo.6,Survey1,IDAUppal,Hyderabad-500039 3. PlotNo.2,ITPark,Nanakramguda,Manikonda,Hyderabad-500032. 2. on 31March on 1April Sarjapur -MarthahalliRingRoad,Bellandur,Bangalore560103 Fire Station,HosurMainRoad,Bangalore-560100 Hyderabad -500081 1,2,3,4 &5A,APIICSEZ,Sarpavaram,Kakinada-533001 No.110 A&110B,Phase-I,ElectronicsCity,AdjacenttoE.City, No.8, 9,10&11,SoftwareUnitsLayout,Infocity,Madhapur, 051999,265 119 2015 041199,739 121 2014 ubro Numberof Number of equity shares 53 128 Annual Report 2014-15 cyient.com Sl.No. iaca erRt fDvdn iied(aeo G)the dividend Dividend(DateofAGM) RateofDividend Year Financial 2013-14 (Final) 60% July 17, 2014 August 23, 2021 23, August October28,2021 2020 24, August 2020 23, November implementation ofnon-mandatoryrequirementsClause49listingagreementisasfollows: September29,2014 2019 24, August July17,2014 The companycomplieswiththemandatoryrequirementsofclause49listingagreement.Status 2019 13, December Compliance ofMandatoryandNon-mandatoryrequirementsClause49listingagreement October17,2013 July18,2013 they aretransferredtotheIEPF. December3,2018 The companysendsreminderstotheshareholdersconcernedclaimunclaimedandunpaiddividendsbefore 60% 60% 2012 7, November forms withtheRegistrarofCompanies,Telangana. July18,2012 For thefinancialyear2006-07,companyhastransferredunclaimeddividendtoIEPFandfiledrelevant 40% 50% October 27,2011 (Interim) 2014-15 40% (Final) 2013-14 25% (Interim) 2013-14 25% 25% (Final) 2012-13 40% 2012-13(Interim) 30% (Final) 2011-12 24% (Interim) 2011-12 2010-2011 2009-2010 2008-2009 2007-2008 Details ofdividenddeclarationdatesandduetransfertoIEPF: TheInternalauditormay reportdirectlytothe 5 Thecompanymayappointseparatepersons 4 Companymaymovetowardsaregimeof 3 Ahalf-yearlydeclarationoffinancial 2 A non-executive chairmanmaybeentitledto 1 Audit Committee. Director/CEO. to thepostofChairmanandManaging unqualified financialstatements sent toeachhouseholdofshareholders. significant eventsinlastsixmonths,maybe performance includingsummaryofthe duties. expenses incurredinperformanceofhis expense andalsoallowedreimbursementof maintain achairman'sofficeatthecompany's Requirement aeo elrto fDue date to claim Date ofDeclaration July 20, 2011 August 26, 2018 26, August 2017 20, August 2016 07, August 2015 29, August July 20,2011 July 14,2010 July 01,2009 July 23,2008 committee The Internalauditordirectlyreportstotheaudit the ManagingDirector&CEO. Mr. B.V.R.MohanReddy.KrishnaBodanapuis The companyhasanExecutiveChairman- reports areall'cleanreports.' towards thisanduntilnowthecompany'saudit The companyhasconstantlyendeavoured electronic mode business andoperationsupdate.Thisissentin the shareholderscomprisingkeyfinancial, The companysendsaquarterlyinvestorupdateto chairman Not applicableasthecompanyhasanexecutive Status ofimplementation 53 129 Annual Report 2014-15 cyient.com April 23,2015 SECUNDERABAD i WehaveexaminedtheabridgedBalanceSheetof (i) (formerly InfotechEnterprisesLimited) CYIENT LIMITED TO MEMBERSOF THE ON ABRIDGEDFINANCIALSTATEMENTS INDEPENDENT AUDITORS'REPORT i)TheseabridgedfinancialstatementshavebeenpreparedbytheCompanyinaccordancewithFormAOC-3,pursuantto (ii) attached hereto. Companies Act,2013andcoveredbyourreportdatedApril23,2015tothemembersofCompany,whichis the yearendedMarch31,2015preparedinaccordancewithprovisionsofsub-section(1)Section136 Rule 10oftheCompanies(Accounts)Rules,2014andarebasedonauditedfinancialstatementsCompanyfor Management. then ended,togetherwiththenotesthereon.ThesefinancialstatementsareresponsibilityofCompany's as atMarch31,2015,theabridgedStatementofProfitandLossCashFlowforyear Cyient Limited (formerly InfotechEnterprisesLimited) For (Firm's RegistrationNo.008072S) DELOITTE HASKINS&SELLS (GANESH BALAKRISHNAN) (Membership No.201193) CharteredAccountants

('the Company') (Partner) 53 130 Annual Report 2014-15 cyient.com statements of We haveauditedtheaccompanyingstandalonefinancial Report ontheStandaloneFinancialStatements LIMITED CYIENT TO THEMEMBERSOF INDEPENDENT AUDITORS'REPORT requirements andplanperform theaudittoobtain Those Standardsrequirethat wecomplywithethical on Auditingspecifiedunder Section 143(10)oftheAct. We conductedourauditinaccordancewiththeStandards provisions oftheActandRulesmadethereunder. required tobeincludedintheauditreportunder accounting andauditingstandardsmatterswhichare We havetakenintoaccounttheprovisionsofAct, standalone financialstatementsbasedonouraudit. Our responsibilityistoexpressanopiniononthese Auditor's Responsibility due tofraudorerror. fair viewandarefreefrommaterialmisstatement,whether presentation ofthefinancialstatementsthatgiveatrueand the accountingrecords,relevanttopreparationand effectively forensuringtheaccuracyandcompletenessof adequate internalfinancialcontrols,thatwereoperating prudent; anddesign,implementationmaintenanceof making judgmentsandestimatesthatarereasonable selection andapplicationofappropriateaccountingpolicies; for preventinganddetectingfraudsotherirregularities; of theActforsafeguardingassetsCompanyand adequate accountingrecordsinaccordancewithprovision 2014. Thisresponsibilityalsoincludesmaintenanceof Act, readwithRule7oftheCompanies(Accounts)Rules, Accounting StandardsspecifiedunderSection133ofthe principles generallyacceptedinIndia,includingthe flows oftheCompanyinaccordancewithaccounting of thefinancialposition,performanceandcash standalone financialstatementsthatgiveatrueandfairview 2013 ("theAct")withrespecttopreparationofthese matters statedinSection134(5)oftheCompaniesAct, The Company'sBoardofDirectorsisresponsibleforthe Statements Management's ResponsibilityfortheStandaloneFinancial policies andotherexplanatoryinformation. then ended,andasummaryofthesignificantaccounting Profit andLosstheCashFlowStatementforyear the BalanceSheetasatMarch31,2015,Statementof ENTERPRISES LIMITED CYIENT LIMITED (formerlyInfotechEnterprisesLimited) ) ("theCompany"),whichcomprise (formerly INFOTECH .AsrequiredbySection143(3)oftheAct,wereport 2. Asrequired bytheCompanies(Auditor'sReport) 1. Report onOtherLegalandRegulatoryRequirements flows fortheyearendedonthatdate. Company asatMarch31,2015,anditsprofitcash generally acceptedinIndia,ofthestateaffairs and fairviewinconformitywiththeaccountingprinciples required bytheActinmannersoandgiveatrue standalone financialstatementsgivetheinformation according totheexplanationsgivenus,aforesaid In ouropinionandtothebestofinformation Opinion opinion. sufficient andappropriatetoprovideabasisforouraudit We believethattheauditevidencewehaveobtainedis overall presentationofthefinancialstatements. made bytheCompany'sDirectors,aswellevaluating used andthereasonablenessofaccountingestimates evaluating theappropriatenessofaccountingpolicies effectiveness ofsuchcontrols.Anauditalsoincludes controls systemoverfinancialreportingandtheoperating the Companyhasinplaceanadequateinternalfinancial but notforthepurposeofexpressinganopiniononwhether audit proceduresthatareappropriateinthecircumstances, statements thatgiveatrueandfairviewinordertodesign relevant totheCompany'spreparationoffinancial assessments, theauditorconsidersinternalfinancialcontrol whether duetofraudorerror.Inmakingthoserisk risks ofmaterialmisstatementthefinancialstatements, the auditor'sjudgment,includingassessmentof financial statements.Theproceduresselecteddependon evidence abouttheamountsanddisclosuresin An auditinvolvesperformingprocedurestoobtain statements arefreefrommaterialmisstatement. reasonable assuranceaboutwhetherthefinancial a Wehavesought and obtainedalltheinformation (a) that: 4 oftheOrder,toextentapplicable. statement onthemattersspecifiedinparagraphs3and Companies Act,2013,wegiveintheAnnexure,a Government intermsofSection143(11)the Order, 2015("theOrder")issuedbytheCentral purposes ofouraudit. knowledge andbeliefwere necessary forthe and explanationswhichto thebestofour 53 131 Annual Report 2014-15 cyient.com f Withrespecttotheothermattersbeincluded (f) Onthebasisofwrittenrepresentations (e) Inouropinion,theaforesaidstandalonefinancial (d) TheBalanceSheet,theStatementofProfitand (c) Inouropinion,properbooksofaccountas (b) 2014, inouropinionandtothebestof of theCompanies(AuditandAuditors)Rules, in theAuditor'sReportaccordancewithRule11 of Section164(2)theAct. 2015 frombeingappointedasadirectorinterms of thedirectorsisdisqualifiedasonMarch31, taken onrecordbytheBoardofDirectors,none received fromthedirectorsasonMarch31,2015 Rules, 2014. read withRule7oftheCompanies(Accounts) Standards specifiedunderSection133oftheAct, statements complywiththeAccounting account. this Reportareinagreementwiththebooksof Loss, andtheCashFlowStatementdealtwithby books. so farasitappearsfromourexaminationofthose required bylawhavebeenkepttheCompany EUDRBD(Partner) 201193) No. (Membership April 23,2015 SECUNDERABAD .Therehasbeennodelay in transferring c. TheCompanydidnothaveanymaterial b. TheCompanyhasdisclosedtheimpactof a. given tous: information andaccordingtotheexplanations the Company. Investors EducationandProtectionFundby amounts, requiredtobetransferred,the Refer Note25tothefinancialstatements. contracts includingderivative- foreseeable lossesrelatingtolong-term to thefinancialstatements. its financialstatements-ReferNote22.1(i) pending litigationsonitsfinancialpositionin For (Firm's RegistrationNo.008072S) DELOITTE HASKINS&SELLS (GANESH BALAKRISHNAN) CharteredAccountants 53 132 Annual Report 2014-15 cyient.com report onthestandalonefinancialstatementsofevendate) (Referred toinparagraph1under'ReportonOtherLegalandRegulatoryRequirements'sectionofour Financial Statements Annexure totheIndependentAuditors'ReportonStandalone v Accordingtotheinformationandexplanationsgivenusinrespectofstatutory dues: (v) Inouropinionandaccording totheinformationandexplanationsgivenus,thereisanadequateinternalcontrolsystem (iv) ii Accordingtotheinformation (iii) Inrespectofitsfixedassets: (ii) i HavingregardtothenatureofCompany'sbusinessduringyear,clauses(ii),(v),(vi),(viii),(ix)and(xi)par (i) )DetailsofduesSalesTax,ServiceTaxandValueAddedwhichhavenotbeendepositedasonMarch31, 2015 c) TherewerenoundisputedamountspayableinrespectofProvidentFund,Employees'StateInsurance,Income- b) TheCompanyhasgenerallybeenregularindepositingundisputed statutorydues,includingProvidentFund, a) weaknesses insuchinternalcontrolsystem. sale ofservicesandduringthecourseourauditwehavenotobservedanycontinuingfailuretocorrectmajor commensurate withthesizeofCompanyandnatureitsbusinessforpurchasefixedassets Thereisnooverdueamountremainingoutstandingasattheyear-end. b) Thereceiptsofprincipalamountsandinteresthavebeenasperstipulations. a) respect ofsuchloans: companies, firmsorotherpartiescoveredintheRegistermaintainedunderSection189ofCompaniesAct,2013.In 3 oftheOrderarenotapplicabletoCompany. )SomeofthefixedassetswerephysicallyverifiedduringyearbyManagementinaccordance witha b) TheCompanyhas generallymaintainedproperrecordsshowingparticulars,includingquantitativedetailsand a) on accountofdisputesaregivenbelow: Duty isnotapplicabletotheCompany. in arrearsasatMarch31,2015foraperiodofmorethansixmonthsfromthedatetheybecamepayable.Excise tax, SalesTax,WealthServiceCustomsDuty,ValueAddedCessandothermaterialstatutorydues to theCompany. Cess andothermaterialstatutoryduesapplicabletoitwiththeappropriateauthorities.ExciseDutyisnot Employees' StateInsurance,Income-tax,SalesTax,WealthServiceCustomsDuty,ValueAdded and discrepancies,ifany,notedwouldbedealtwithintheyearwhichsuchreconciliationiscompleted. intervals. Accordingtotheinformationandexplanationgivenus,Companyisinprocessofreconciliation programme ofverification,whichinouropinionprovidesforphysicalverificationallthefixedassetsatreasonable situation ofthefixedassets. eta ae ae a Sales Sales Tax Nature Central Sales Statute iac c,19 evc a Central Tax Service (including Sales Finance Act,1994 Tax Act,2005 ValueAddedTax Value Added (including Pradesh Andhra Tax Act,1956 icuigpnly and (including penalty) and explanationsgiventous,theCompanyhasgrantedloans,securedorunsecured, of Dues Forum where Period to which Amount involved Amount Period towhich where Forum of Dues eat)penalty) penalty) Appellate Tribunal rbnl2010-11 Tribunal ipt spnigteaon (in amount the Dispute ispending rbnl2009-10 Tribunal Service Tax a pelt 2005-06 2004-05 Tax Appellate Tax Appellate Excise 2012-13 2006-07 to relates o1,964,650 7,656,660 to to 127,221,068 `

) agraph 53 133 Annual Report 2014-15 cyient.com April 23,2015 SECUNDERABAD Tothebestofourknowledgeandaccordingtoinformationexplanationsgivenus,nofraudbyCompany (vii) Inouropinionandaccordingtotheinformationexplanationsgivenus,termsconditionsofguarantees (vi) and nomaterialfraudontheCompanyhasbeennoticedorreportedduringyear. the interestsofCompany. given bytheCompanyforloanstakenothersfrombanksandfinancialinstitutionsarenot,primafacie,prejudicialto TherearenoamountsthatduetobetransferredtheInvestorEducationandProtectionFundinaccordance d) with therelevantprovisionsofCompaniesAct,1956(11956)andRulesmadethereunder. on March31,2015.ExciseDutyisnotapplicabletotheCompany. no disputedduesofIncometax,WealthTax,CustomsDutyandCesswhichhavenotbeendepositedas There are For (Firm's RegistrationNo.008072S) DELOITTE HASKINS&SELLS DELOITTE (GANESH BALAKRISHNAN) (Membership No.201193) CharteredAccountants (Partner) 53 134 Annual Report 2014-15 cyient.com ()ASSETS (B) ANDLIABILITIES EQUITY (A) Abridged BalanceSheetasatMarch31,2015 Statement containingsalientfeaturesofBalanceSheetaspersection136(1)theCompaniesAct,2013 Ganesh Balakrishnan B.V.R. Mohan Reddy Krishna Bodanapu Krishna Execu B.V.R.MohanReddy Partner Balakrishnan Ganesh Chartered Accountants For In termsofourreportattachedonabridgedfinancialstatements abridged financialstatements See accompanyingnotesformingpartof ae:Arl2,21 ae:April23,2015 Date :April23,2015 Date : Place eoteHsis&SlsForand onbehalfoftheBoardDirectors Sells & Haskins Deloitte eerdtxast nt 5939612,162,855 2,664,468,290 400,359,602 703,354,105 10,537,649,994 1,058,878,016 5,807,910,084 1,447,043,088 961,557,913 9,719,046,156 1,131,968,713 5,923,976 2,983,916,788 336,076,496 842,531,828 4,424,552,331 1,104,392,459 4,460,291,860 Other currentassets Short-term loansandadvances Cash andcashequivalents receivables Trade investments Current Current assets Long -termloansandadvances Deferred taxassets(net) investments Non-current Fixed assets Non-current assets Current liabilities Non-current liabilities Share applicationmoneypendingallotment Reserves andsurplus Share capital Shareholders' funds Secunderabad nagbeast 484640441,625,161 25,961,712 2,687,663,394 3,164,250,216 438,416,490 8,999,949 346,577,249 23,754,427 2,647,686,377 3,118,857,243 1,003,539,286 488,546,565 8,999,949 2,013,893,497 Intangible assetsunderdevelopment 521,807,646 work-in-progress Capital 472,594,945 2,129,824,729 assets Intangible 850,489,578 777,176,286 assets Tangible 13,858,085,373 9,027,365,372 502,158,865 4,270,896,936 15,806,092,020 5,683,080,036 provisions Short-term 9,561,206,659 Other currentliabilities Trade payables Long-term provisions Surplus reserves Revenue Equity OA 848516416,219,984,169 18,408,511,694 TOTAL OA 18,408 TOTAL 6,0,2 559,823,065 561,805,325 jyAgra SudheendhraPutty Secretary Company (DIN–05301037) Chief FinancialOfficer Ajay Aggarwal (DIN –00058215) lc : Place ac 1 05March31,2014 March 31,2015 ieCara ManagingDirector &CEO Chairman tive Hyderabad sa Asat As at 516416,219,984,169 ,511,694 - 1,428,050 - (Amount in ` ) 53 135 Annual Report 2014-15 cyient.com ae:Arl2,21 ae:April23,2015 Date Bodanapu Krishna Execu B.V.R.MohanReddy :April23,2015 Date : Place Partner Balakrishnan Ganesh Chartered Accountants For In termsofourreportattachedonabridgedfinancialstatements 9,454,144,332 abridged financialstatements See accompanyingnotesformingpartof 10,538,999,835 Weighted averagenumberofequityshares 12,769,186,893 (Equity shares,parvalueof Earnings pershare 13,969,460,418 Profit fortheyear Tax expense Profit beforetax TOTAL EXPENSES EXPENSES TOTAL INCOME INCOME Abridged StatementofProfitandLossfortheyearendedMarch31,2015 Statement containingsalientfeaturesofProfitandLossaspersection136(1)theCompaniesAct,2013 eoteHsis&SlsForand onbehalfoftheBoardDirectors Sells & Haskins Deloitte ai 121217111,743,379 112,182,127 2,770,417 - 763,123,944 - 11,955,005 3,607,991 707,603,747 (2,009,229) 1,321,761 - Diluted 5,123,862 - Basic 648,661,957 - Diluted 5,716,488,511 - Basic 524,296,047 618,053,423 3,085,385,873 Deferred tax(net) 6,439,413,053 (d) MATcreditentitlement 1,029,322,771 (c) Taxpertainingtoearlieryears (b) tax Current 3,476,409,497 (a) Depreciation andamortisationexpense costs Finance Operating, administrationandotherexpenses Employee benefitsexpense Other income(net) Revenue fromoperations Secunderabad Income fromservices ` 5each) jyAgra SudheendhraPutty Secretary Company (DIN–05301037) Chief FinancialOfficer Ajay Aggarwal (DIN –00058215) lc : Place ieCara ManagingDirector &CEO Chairman tive Hyderabad o h ereddFortheyearended For theyearended ac 1 05March31,2014 March 31,2015 290176712,244,890,846 12,940,137,647 27159292,549,148,200 2,711,589,299 3,315,042,561 3,430,460,583 1,7,9 112,578,995 40 22.71 22.81 24.09 24.17 (Amount in 112,227,332 ` ) 53 136 Annual Report 2014-15 cyient.com ae:Arl2,21 ae:April23,2015 Date Bodanapu Krishna Execu B.V.R.MohanReddy :April23,2015 Date : Place Partner Balakrishnan Ganesh Chartered Accountants For In termsofourreportattachedonabridgedfinancialstatements See accompanyingnotesformingpartofAbridgedfinancial statements Particulars urnycs n aheuvlns 3,0,7 256,778,558 230,302,670 (472,291,563) 4,227,239,815 1,440,002,784 1,300,508,993 332,797,772 (723,773,622) 5,784,527,366 2,137,501,109 (1,618,986,919) (3,032,714,406) Cash andcashequivalentsattheendofyear(ReferNote(i)below) currency cashandequivalents Effect ofexchangedifferencesontranslationforeign Cash andcashequivalentsatthebeginningofyear Net (decrease)/increaseinCashandcashequivalents Net cashflow(usedin)financingactivities Net cash(usedin)/flowfrominvestingactivities Net cashflowfromoperatingactivities Abridged CashFlowfortheyearendedMarch31,2015 Statement containingsalientfeaturesofCashFlowaspersection136(1)theCompaniesAct,2013 eoteHsis&SlsForand onbehalfoftheBoardDirectors Sells & Haskins Deloitte ii Purchaseoffixedassetsincludes (iii) Theearmarkedaccountbalanceswithbankscanbeutilisedonlyforthespecificidentifiedpurposes. (ii) i Reconciliation ofCashandcashequivalentswiththe (i) Notes: Secunderabad OA 43583175,784,527,366 123,265,443 4,395,843,117 293,570 - 127,852 TOTAL Remittancesintransit (c) Balanceswithbanks (b) Cashonhand (a) *Comprises: Cash andcashequivalentsattheendofyear* has beenmadetotheextentidentified. of fixedassets.Adjustmentsforincrease/decreaseincurrentliabilitiesrelatingtotheacquisitionassets Cash and bank balances as per Balance Sheet 4,424,552,331 5,807,910,084 4,424,552,331 In Less: Cash andbankbalancesasperBalanceSheet Balance sheet (ii) In EEFC accounts 297,394,454 220,707,897 5,197,408,505 242,851,951 297,394,454 3,784,520,864 313,799,947 Indepositaccounts (iii) InEEFCaccounts (ii) Incurrentaccounts (i) o akgaate 2,2,0 19,132,260 4,250,458 21,623,908 7,085,306 for bankguarantees Balances heldasmarginmoney/security Unpaid dividendaccounts earmarked accounts(ReferNote(ii)below) payments foritemsincapitalwork-in-progressandadvancespurchase jyAgra SudheendhraPutty Secretary Company (DIN–05301037) Chief FinancialOfficer Ajay Aggarwal (DIN –00058215) lc : Place ieCara ManagingDirector &CEO Chairman tive Hyderabad o h ereddFortheyearended For theyearended ac 1 05March31,2014 March 31,2015 43583175,784,527,366 4,395,843,117 43583175,784,527,366 4,395,843,117 (Amount in ` ) 53 137 Annual Report 2014-15 cyient.com .RelatedPartyTransactions 2. CorporateInformation 1. Notes totheabridgedfinancialstatements the BoardofDirectorsandshareholdersthroughpostalballot. The CompanychangeditsnamefromInfotechEnterprisesLimitedtoCyientw.e.fMay7,2014,postapprovalof telecommunications, transportation&logistics,localgovernmentandfinancialservicesmarkets. analytics andimplementation.Cyientspecialisesinsoftwareservicessolutionsforthemanufacturing,utilities, engineering, reverseengineeringapplicationsoftwaredevelopment,productsconsulting, photogrammetry, computeraideddesign/engineering(CAD/CAE),designandmodelling,repairdevelopment Kingdom (UK),Germany,Japan,AustraliaandIndia.Cyient'srangeofservicesincludedigitisationdrawingsmaps, facilities inIndiaandservesaglobalcustomerbasethroughitssubsidiariesUnitedStatesofAmerica(USA), in geospatial,engineeringdesignITsolutionsanddataanalytics.TheCompanyhasitsheadquartersdevelopment Cyient Limited('Cyient'or'theCompany')isengagedinprovidingglobaltechnologyservicesandsolutionsspecialising (Refer toNoteNo.1ofthestandalonefinancialstatements) (i) (Refer toNoteNo.30ofthestandalonefinancialstatements) aeo h usdayCutyo xeto odn Extent ofholding Extentofholding of Country Name of the Subsidiary Subsidiaries: List ofrelatedpartiesonwhichtheCompanyisabletoexercisecontrol. evcsPiaeLmtd(ET)Ida10 100% 100% 100% 100% 100% India India 100% Cyient AustraliaPtyLimited(ReferNote Insights PrivateLimited)(R Cyient InsightsPrivateLimited(formerlyInvati Services PrivateLimited(IEITS) Japan Infotech EnterprisesInformationTechnology Cyient KK(formerlyInfotechEnterprisesJapanKK) (IGIL) (ReferNote(i)below) Infotech Geospatial(India)PrivateLimited, RfrNt i)blw ni 4 - 74% TheCompanyacquired74%stakeinRangsonsElectronicsPrivateLimited,Indiaanditswhollyowned (iv) India OnSeptember05,2014,theCompa (iii) TheCompanyacquired51%stakeinInvatiInsightsPrivateLimitedonOctober15,2014.acquisition (ii) W.e.f.,October23,2013,InfotechGeospatial(India)LimitedwasconvertedintoaprivatelimitedCompany (i) Note: 100% (Refer Note(iv)below) 100% Rangsons ElectronicsPrivateLimited 100% 100% UK Cyient GmbH(formerlyInfotechEnterprises USA Cyient Inc.(formerlyInfotechEnterprisesAmericaInc.) (formerly InfotechEnterprisesEuropeLimited) Cyient EuropeLimited executed throughasharepurchase agreementforaconsiderationof subsidiary, TechnoToolsPrecisionEngineeringPrivateLimited onFebruary04,2015.Theacquisitionwas are nofinancialstransactionsfortheyearendedMarch31,2015. in Melbourne,Australia.CyientAustraliaPtyLimitedisyetto commencecommercialoperationsandthere Limited. 2014. Consequenttotheacquisition,InvatiInsightsPrivate Limited wasrenamedtoCyientInsightsPrivate acquisition, InvatiInsightsPrivateLimitedacquired100%stake inInvatiInsightsLLC,USAonOctober16, was executedthroughasharepurchaseagreementforconsideration of and wasrenamedasInfotechGeospatial(India)PrivateLimited. frNt i)blw ni 1 - 51% India efer Note(ii)below) (iii) below) ny incorporatedawhollyownedsubsidiary,CyientAustraliaPty Limited, mH Germany GmbH) noprto % sa (%) as at (%) as at incorporation utai 0%- 100% Australia ac 1 05March31, 2014 March 31,2015 ` 2,925,310,754. 0%100% 100% ` 87,938,018.Subsequenttothe 53 138 Annual Report 2014-15 cyient.com aeo h usdayCutyo xeto odn Extent ofholding Extentofholding - of Country 100% 100% Extentofholding Extentofholding of Country 100% Name of the Subsidiary USA Subsidiary ofCyientGmbH(formerlyInfotechEnterprisesGmbH): 49% (formerly InfotechEnterprisesGm Cyient SchweizGmbH Canada (formerly InfotechEnterprisesBenelux 50% Extentofholding Cyient BeneluxBV Extentofholding 49% Name of the Subsidiary of Country Subsidiary ofCyientEuropeLimited(formerlyInfotechEnterprisesLimited): 50% Extentofholding subsidiary CyientInc.(formerlyInfotechEnterprisesAmericaInc.) Extentofholding * WitheffectfromApril01,2014,theCompanyacquired100%stakeinSoftentialInc,throughitswholly-owned USA Softential Inc.* of Country Solutions CanadaInc.) Cyient CanadaInc.(formerlyInfotechSoftware India Name of the Subsidiary Subsidiary ofCyientInc.(formerlyInfotechEnterprisesAmericaInc.,): Infotech AerospaceServicesInc. holding of Extent holding of Extent Name of the Associate of Country Associate: Infotech HALLimited Name oftheJointVentureCompany Joint Venture: aeo h usdayCutyo xeto odn Extent ofholding Extentofholding of Country Name of the Subsidiary Subsidiary ofInfotechEnterprisesInformationTechnologyServicesPrivateLimited: Cyient AB(formerlyInfotechEnterprises aeo h usdayCutyo xeto odn Extent ofholding Extentofholding of Country Name of the Subsidiary Subsidiary ofCyientInsightsPrivateLimited(formerlyInvati InsightsPrivateLimited): GmbH, Germanythroughitswhollyownedsubsidiary,IEITS. *On March23,2015,theCompanyacquired100%stakeinInfotech EnterprisesInformationTechnologyServices Technology Servic Infotech EnterprisesInformation naiIsgt L S 1 - 51% USA Invati InsightsLLC* es GmbH* H wteln 0%100% 100% bH) V ehrad 0%100% 100% BV) B wdn10 100% 100% AB) noprto (%) incorporation (%) incorporation (%) incorporation (%) incorporation (%) incorporation noprto (%) incorporation noprto (%) incorporation emn 0%- 100% Germany ac 1 05March31, 2014 March 31,2015 March31,2014 March 31,2015 March31,2014 March 31,2015 March31,2014 March 31,2015 ac 1 05March31, 2014 March 31,2015 ac 1 05March31,2014 March 31,2015 ac 1 05March31,2014 March 31,2015 sa (%)asat as at sa (%)asat as at sa (%)asat as at sa (%)asat as at (%)asat as at (%)asat as at (%)asat as at 53 139 Annual Report 2014-15 cyient.com i)Summaryofthetransactionsandbalanceswithaboverelated partiesareasfollows: (ii) aeo h usdayCutyo xeto odn Extentofholding Extentofholding of Country Name of the Subsidiary Subsidiary ofRangsonsElectronicsPrivateLimited: Invati InsightsLLC,USA. * OnOctober16,2014,CyientInsightsPrivateLimited(formerlyLimited)acquired100%stakein Techno ToolsPrecisionEngineeringPrivate aeDesignation Chairman&ManagingDirector(uptoApril11,2014) B V R Mohan Reddy Name Key ManagerialPersonnel: owned subsidiary,TechnoToolsPrecisionEngineeringPrivateLimited. *On February4,2015,theCompanyacquired74%stakeinRangsonsElectronicsPrivateLimitedanditswholly Nature of the Party name For the For the For the For President-CorporateAffairs name Party Revenue ChiefFinancialOfficer transaction Nature ofthe ManagingDirector&CEO(w.e.fApril24,2014) WholeTimeDirector(uptoApril12,2014) Transactions duringtheyear: B. Ashok Reddy Relative ofExecutiveChairman&ManagingDirectorCEO Aggarwal Ajay Bodanapu Krishna Sucharitha B Services PrivateLimited Infotech EnterprisesInformation Technology Infotech HALLim Japan KK) Cyient KK(formerlyInfotechEnterprises Infotech Geospatial(India)Private Software SolutionsCanada Cyient CanadaInc.(formerlyInfotech Cyient AB(formerlyInfotech Enterprises GmbH) Cyient GmbH(formerlyInfotech Enterprises GmbH) Cyient SchweizGmbH(formerlyInfotech Enterprises BeneluxBV) Cyient BeneluxBV(formerlyInfotech Enterprises Europe Cyient EuropeLimited(formerlyInfotech Softential I America Inc.) Cyient Inc.(formerlyInfotechEnterprises c 2,3,6 - 423,632,769 nc. td1,8,7 14,899,928 19,486,078 ited iie India Limited * iie)637437213,575,198 683,794,337 Limited) (Ceased tobedirectorw.e.f.17July2014) Executive Chairman(w.e.fApril12,2014) n. 119,879,611 Inc.) noprto % sa (%) as at (%) as at incorporation Enterprises AB) Limited ac 1 05March31,2014 March 31,2015 ac 1 05March31,2014 March 31,2015 ,8,4,8 1,596,298,993 1,081,549,687 ,8,0,3 2,641,925,084 2,587,602,236 ereddyearended year ended 1,0,1 65,271,854 114,201,113 4,6,0 61,273,648 149,465,507 5,3,1 215,656,689 257,232,214 174652,635,904 11,704,655 5234526,941,565 55,293,485 4 - 74% 1,576,090 - (Amount in 91,199,141 ` ) 53 140 Annual Report 2014-15 cyient.com on ie Infotech HALLi given Loans dac ie/InfotechGeospatial(India) (recovered) given/ Advance CyientInsightsPrivateLimited Subsidiaries in Investments Commitments bankers ie osbiir’ Enterpri CyientEuropeLimited(formerlyInfotech given tosubsidiary’s guarantee Corporate CyientInc.(formerlyInfotech Expenses of Reimbursement Nature of the Party name For the For the For the For charges name Party Subcontracting transaction Nature ofthe Transactions duringtheyear(Contd..) (formerly InvatiInsightsPrivate Cyient InsightsPrivateLimited Infotech HALLim Technology ServicesPrivateLim Infotech EnterprisesInformation Japan KK) Cyient KK(formerlyInfotechEnterprises Rangsons ElectronicsPrivateLim (formerly InvatiInsightsPrivate Financial supporttoa Enterprises GmbH) Cyient GmbH(formerlyInfotech America Inc.) Cyient Inc.(formerlyInfotechEnterprises Infotech Geospatial(India)Private Software SolutionsCanada Cyient CanadaInc.(formerlyInfotech Cyient AB(formerlyInfotech Enterprises GmbH) Cyient GmbH(formerlyInfotech Enterprises BeneluxBV) Cyient BeneluxBV(formerlyInfotech Infotech EnterprisesEurope Cyient EuropeLimited(formerly Enterprises AmericaInc.) Technology ServicesPrivateLim Infotech EnterprisesInformation (formerly InvatiInsightsPrivate Cyient InsightsPrivateLimited Infotech Geospatial(India)Private Software SolutionsCanada Cyient CanadaInc.(formerlyInfotech Cyient AB(formerlyInfotech Enterprises GmbH) Cyient GmbH(formerlyInfotech Enterprises BeneluxBV) Cyient BeneluxBV(formerlyInfotech Enterprises Europe Cyient EuropeLimited(formerlyInfotech Enterprises AmericaInc.) Cyient Inc.(formerlyInfotech Cyient KK(formerlyInfotechEnterprisesJapanKK) ses EuropeLim ie 3,750,000 - mited td28804240,471 2,898,094 ited iie)1,8,3 7,919,702 17,784,436 Limited) subsidiary td 180,229,250 - ited) rvt iie ( Private Limited n. ,8,3 - 1,880,238 Inc.) n. 11,307,678 Inc.) Lmtd ,1,0 9,274,782 2,717,003 Limited) Enterprises AB) Enterprises AB) Limited) Limited) Limited) td(08649 (53,961,414) (10,856,459) ited td1,8,9 16,206,809 19,686,196 ited td2953074- 2,925,310,754 ited iie 000- 10,000 Limited Limited ac 1 05March31,2014 March 31,2015 ereddyearended year ended 2,9,5)4,121,675 (20,591,059) 7,2,4 - 479,323,840 8,9,0 - 688,498,800 2,2,5 320,807,133 329,424,657 60000- 26,000,000 79808- 87,938,018 6793116,267,945 26,759,321 6777967,277,292 6,559,059 56,777,709 15,604,731 ,4,4 16,647,832 126,979 8,346,347 3,312,163 - 4,366,367 ,3,8 14,854,282 5,837,288 ,0,5 185,238 9,602,853 ,7,9 9,774,773 7,476,291 2,8)699,598 227,888) 2,5 - 821,959 363,352,000 - (Amount in 105,800,203 ` ) 53 141 Annual Report 2014-15 cyient.com b Balancesattheyear-end: (b) Nature of the Party name For the For the For the For InfotechHALLi Limited Private Insights Cyient Interest onLoansgiven name Party recovered Loans transaction Nature ofthe Transactions duringtheyear(Contd..) aac ac 1 05March31,2014 March31,2015 As at As at CyientInc.(formerlyInfotechEnterprises name Party Receivables Trade Balance Nature ofthe neetrcvrdB Ashok Interest recovered B by KMP Repayment ofLoan te noeInfotechHALLi B V Remuneration toKey Income Other from loantoKMP Managerial Personnel# iiedt M' B V Dividend toKMP's # Doesnotincludeprovisionforcompensatedabsences. CyientInc.(formerlyInfotech Subsidiaries from Dividend Infotech Geospatial(India)Private Cyient KK(formerlyInfotechEnterprisesJapanKK) (formerly InvatiInsightsPrivate Software SolutionsCanada Cyient CanadaInc.(formerlyInfotech Cyient AB(formerlyInfotech Enterprises GmbH) Cyient GmbH(formerlyInfotech Enterprises GmbH) Cyient SchweizGmbH(formerlyInfotech Enterprises BeneluxBV) Cyient BeneluxBV(formerlyInfotech Enterprises Europe Cyient EuropeLimited(formerlyInfotech America Inc.) Infotech HAL Services PrivateLimited Infotech EnterprisesInformation Technology Ajay Aggarwal B AshokReddy Ajay Aggarwal Krishna Bodanapu B Sucharitha Ajay Aggarwal Krishna Bodanapu B Sucharitha Enterprises GmbH) Cyient GmbH(FormerlyInfotech Enterprises AmericaInc.) Ashok Reddy R MohanReddy R MohanReddy ed 12,048 Reddy Limited ie ,1,0 937,500 2,812,500 mited ie 2,4 678,039 727,644 mited iie)35620747,816,028 395,602,017 Limited) n. 98,919,137 Inc.) Enterprises AB) Limited) Limited ac 1 05March31,2014 March 31,2015 ereddyearended year ended 9,9,5 283,545,015 199,190,355 4,2,2 489,540,960 343,120,321 311313,033,637 13,151,351 8203315,690,852 48,250,373 1954936,510,380 81,965,489 493909,801,055 88,489,862 14,983,950 96,377,382 6718353,748,110 56,751,883 2941311,476,213 9,264,128 12,914,163 35,227,616 7541665,688,147 87,584,196 114508,215,920 29,434,400 11,104,560 39,247,200 ,9,7 1,795,478 1,795,478 ,7,9 8,790,598 2,345,995 9,770,693 2,091,747 1,8 - 93,960 121,176 417,489 1,0 10,057,401 311,306 580- 25,800 466,159 - 166,866,665 233,584,601 - -

(Amount in (Amount in 51,569,881 39,264 ` ` ) ) 53 142 Annual Report 2014-15 cyient.com aal oKPKrishna BVR Mohan payable toKMP Outstanding Balance InfotechHALLi loans Outstanding dac osbiire Cyient KK(formerlyInfotech subsidiaries to Advance ie osbiir' America CyientInc.(formerlyInfotechEnterprises given tosubsidiary's guarantee Corporate March31,2014 March31,2015 As at As at CyientInc.(formerlyInfotech payables Trade CyientInc.(formerlyInfotech name Party Revenue Unbilled Balance Nature ofthe Commitments bankers Balances attheyear-end:(Contd.) B. AshokReddy (formerly InvatiInsightsPrivate Cyient InsightsPrivateLimited Infotech HALLim Technology ServicesPrivateLim Infotech EnterprisesInformation Infotech Geospatial(India)Private Enterprises JapanKK) Infotech Geospatial(India)Private Enterprises GmbH) Cyient GmbH(formerlyInfotech Technology ServicesPrivateLim Infotech EnterprisesInformation (formerly InvatiInsightsPrivate Cyient InsightsPrivateLimited Enterprises JapanKK) Cyient KK(formerlyInfotech Enterprises GmbH) Cyient GmbH(formerlyInfotech Enterprises BeneluxBV) Cyient BeneluxBV(formerlyInfotech Infotech EnterprisesEurope Cyient EuropeLimited(formerly Enterprises AmericaInc.) Enterprises GmbH) Cyient GmbH(formerlyInfotech Infotech EnterprisesGmbH) Cyient SchweizGmbH(formerly Enterprises BeneluxBV) Cyient BeneluxBV(formerlyInfotech Infotech EnterprisesEurope Cyient EuropeLimited(formerly Enterprises AmericaInc.) Financial supporttoa Enterprises Europe Cyient EuropeLimited(formerlyInfotech Bodanapu n. 1,001,452, Inc.) Reddy ie 2,812,500 - mited td433651,509,008 4,383,665 ited iie)168866339,989,250 166,888,676 Limited) subsidiary Company Limite 1,019,668 69,311,851 Limited) Limited) Limited) td3611814,487,618 3,631,158 ited td367234,455,766 3,677,283 ited Limited Limited )-6,374,978 - d) 7,2,4 - 479,323,840 9,4,6 363,352,000 297,045,760 154,557,006 154,975,887 75857- 49,858,261 17,528,507 35,057,014 64749- 26,417,489 26328103,204,337 82,613,278 1374231,575,351 31,347,462 7473614,628,338 17,427,346 98,286,216 211,143,282 90,694,598 87,400,279 19,277,799 17,465,863 0000040,000,000 40,000,000 ,7,8 - 2,970,585 2,754,068 3,602,715 2,9 547,869 426,693 5,5 - 251,352 0 300,500,000 800 8,394,656 -

(Amount in ` ) 53 143 Annual Report 2014-15 cyient.com .Stock OptionPlans 5. SegmentInformation 4. EarningsPerShare(EPS) 3. .ContingentLiabilitiesandCommitments 6. Particulars (Refer toNoteNo.32ofthestandalonefinancialstatements) ASOP 2008 ASOP 2004 ASOP 2002 112,227,332 112,578,995 In 1998-99,theCompanysetupESOPplanandallotted80,900equitysharesof Infotech EmployeeStockOfferScheme1999(ESOPPlan) (Refer toNoteNo.36ofthestandalonefinancialstatements) (AS 17)onSegmentReportingasnotifiedundertheCompanies(AccountingStandards)Rules,2006. Segment informationhasbeenpresentedintheConsolidatedFinancialStatementsaspermittedbyAccountingStandard (Refer toNoteNo.29ofthestandalonefinancialstatements) Earnings PerShare( outstanding (includingdilution) Weighted averagenumberofequityshares options outstandi Effect ofpotentialequitysharesonemployeestock Diluted: Profit AfterTax( (ii) Guarantees (Refer Note (e) below) 1,505,387,236 1,043,841,250 1,505,387,236 Guarantees(ReferNote(e)below) (ii) Claims againsttheCompanynotacknowledgedasdebt (i) (Refer toNoteNo.22ofthestandalonefinancialstatements) Options Outstanding: 30% attheendofthirdyear. end ofthefirstyear,15%atoneandhalfyears,20%aftertwo25%years grant. Theseoptionsvestoveraperiodrangingfromonetothreeyearsthedateofgrant,startingwith10%at options willbeissuedtoemployeesatanexercisepricewhichshallnotlessthanthemarketondateof The CompanycurrentlyhasthreeASOPplans-2002,2004and2008.Undereachoftheseschemes, Associate StockOptionPlans(ASOPPlan) 2006-07 and2010-11respectively. the numberofoptionsandexercisepriceonaccountbonusissuestocksplitcumduring2002-03, transfers theequitysharesinnameofselectedemployees.TheCompanymodifiedESOPPlanandadjusted share totheInfotechESOPtrust.Thetrustonrecommendationofmanagementanduponreceiptfullpaymentupfront lnMrh3,21 March31,2014 March31,2015 March 31, 2014 March 31, 2015 Contingent liabilities(totheextentnotprovidedfor) Plan Number of shares outstanding at the year end 112,361,065 111,964,613 112,361,065 Earnings PerShare( Weighted averagesharesoutstanding Number ofsharesoutstandingattheyearend Basic: (Refer Note(a),(b),(c) ` ,1,8,9 2,549,148,200 2,711,589,299 ) g396,868 ng ` ` 40 22.71 22.81 24.09 24.17 ) ) d eo)363195396,821,168 356,391,935 & (d)below) ac 1 05March31,2014 March 31,2015 ereddYearended Year ended sa Asat As at Asat As at 1,8,2 112,182,127 3,8 956,144 637,383 ` 10eachatapremiumof –– ––

(Amount in (Amount in 111,743,379 ` 483,953 100per ` ` ) ) 53 144 Annual Report 2014-15 cyient.com i)TheCompanyacquired74%ofthesharecapitalRangsonsElectronicsPrivateLimitedonFebruary4,2015(Refer iii) i Financialsupporttoa ii) .TheCompanyreceivedan orderduringtheyearfromProvidentFund(PF)authoritiesregardingPFpaymenton d. TheCompanyhasdisputedvariousdemandsraisedbytheServiceTaxauthoritiesforfinancialyears2006-07 c. TheCompanyhasdisputedvariousdemandsraisedbytheSalesTaxauthoritiesforfinancialyears2004-05to b. TheCompanyhasdisputedvariousdemands(includingdraftnotice ofdemand)raisedbyIncomeTaxauthorities a. i) Commitments: Particulars .Corporateguaranteegiventosubsidiary's bankerstoobtainlineofcredit e. are currentlyplacedinanEscrowaccountwitharegisteredescrowagentasthecustodian. balance 26%ofthesharecapital,onorbeforesevenyearsfromdateacquisition.Theseshares Note 2(i).AccordingtoconditionsstipulatedinInvestmentAgreement,theCompanyhasanoptionacquire Note: Commitmenttowardsintangibleassetsincludesoftwareandrelatedpurchases ` appealed againsttheorderandsameispendingbeforeProvidentFundAppellateTribunal.TheCompanypaid certain allowancesgivenbytheCompanytoitsemployeesforyears2010-112012-13.The include showcausenoticesreceivedbytheCompany. ` appropriate authorities.Theaggregateamountofdisputedtaxnotprovidedforis to 2012-13(March31,2014-2006-072012-13).TheCompanyhasfiledappeals,whicharependingwiththe show causenoticesreceivedbytheCompany. ` appropriate authorities.Theaggregateamountofdisputedtaxnotprovidedforis 2009-10 (March31,2014-2004-05to2009-10).TheCompanyhasfiledappeals,whicharependingwiththe - various stagesofappeals.Theaggregateamountdisputedtaxnotprovidedforis for theassessmentyears1997-98to2010-11(March31,2014-2009-10).Theordersarependingat Intangible assets Tangible assets capital accountandnotprovidedfor(netofadvances) Estimated amountofcontractsremainingtobeexecutedon ` 5,136,244underprotest,being20%ofthetotaldemand 20,096,061).TheCompanyisconfidentthattheseappealswillbedecidedinitsfavour.abovedoesnotinclude 1,043,841,250). 172,263,324).TheCompanyisconfidentthattheseappealswillbedecidedinitsfavour.abovedoesnot ` 204,461,783).TheCompanyisconfidentthattheseappealswillbedecidedinitsfavour. subsidiary Company ` ac 1 05March31,2014 March 31,2015 25,681,216(March31,2014- sa Asat As at 7,2,4 - 479,323,840 13682 41,630,339 21,326,862 49,137,538 ` 1,505,387,236(March31,2014- ` ` 172,263,324(March31,2014- ` 20,096,061(March31,2014- 138,351,334(March31,2014 ` Nil). (Amount in 82,268,922 ` ) 53 145 Annual Report 2014-15 cyient.com .Employee benefitsexpense 9. BookvalueandMarketValueofQuotedInvestments: 8. Cash&BankBalances: 7. OA ,3,1,5 5,716,488,511 54,951,004 6,439,413,053 158,581,848 TOTAL Staff welfareexpenses Gratuity Particulars Social securityandotherbenefits aaisadbns5, As at As at Contribution toprovidentand Salaries andbonus Particulars (Refer toNoteNo.18ofthestandalonefinancialstatements) Aggregate marketvalueof Aggregate costofquoted Particulars (Refer toNoteNo.12ofthestandalonefinancialstatements) Balance withbanks Cash onhand The detailsofcashandbankbalancesattheyearendareasfollows: (Refer toNoteNo.14ofthestandalonefinancialstatements) In earmarkedaccounts OA ,2,5,3 5,807,910,084 4,424,552,331 Note: Cash FlowStatement and cashequivalentsasperAccountingStandard-3 Of theabove,balancesthatmeetdefinitionofcash TOTAL Remittance intransit In depositsaccounts(ReferNotei In EEFCaccounts In currentaccounts (Refer Note for bankguarantees In depositsheldasmarginmoney/security Unpaid dividend i Balanceswithbanksinclude depositsamountingto (i) i)Includes depositsplacedinlienforcreditfacilitiesavailedbyawhollyownedsubsidiary,InfotechGeospatial (ii) amounting (India) PrivateLimitedaggregating 12 monthsfromtheBalanceSheetDate. monies amountingto iblw 1639819,132,260 21,623,908 ii below) account ` 1,414,970(March31,2014- investments quoted investments other funds ` for overseasemployees 1,414,970(March31,2014- eo)3,784,520, below) ` 20,212,938(March31,2014- ` 601,250). ` ` 1,663,581(March31,2014- 630,250)whichhaveanoriginalmaturityofmorethan ac 1 05March31,2014 March 31,2015 ac 1 05March31,2014 March 31,2015 ac 1 05March31,2014 March 31,2015 ereddYearended Year ended 4,395,843,117 sa Asat As at 2,0,1 5,086,510,392 622,608,015 0,5,0 260,510,453 308,258,207 7,0,8 242,355,104 274,907,886 401,650,703 336,079,777 3,7,9 400,359,602 336,076,496 220,707,897 242,851,951 297,394,454 313,799,947 5070772,161,558 75,057,097 ,8,0 4,250,458 7,085,306 2,5 293,570 127,852 ` 6 5,197,408,505 864 18,531,010)andmarginmonies 123,265,443 - ` 54,176,286) andmargin 5,784,527,366 (Amount in (Amount in (Amount in ` ` ` ) ) ) 53 146 Annual Report 2014-15 cyient.com 2 Regrouping/Reclassification 12. Depreciation&amortisation 11. 10. classification/disclosures. Previous year'sfigureshavebeenregrouped/reclassifiedwherevernecessarytocorrespondwiththecurrent (Refer tonoteNo.43ofthestandalonefinancialstatements) The depreciationexpenseintheStatementofProfitandLossforyearislowerby opening SurplusbalanceintheStatementofProfitandLossunderReserves to beNilasonApril1,2014,andhasadjustedanamountof depreciated thecarryingvalueofassets,netresidualvalue,whereremainingusefullifeassetwasdetermined Pursuant tothetransitionprovisionsprescribedinScheduleIICompaniesAct,2013,Companyhasfully (Refer toNoteNo.41ofthestandalonefinancialstatements) Company's wholly-ownedsubsidiary,withitselfw.e.fApril01,2015. The BoardofDirectorstheCompanyapprovedmergerInfotechGeospatial(India)PrivateLimited, change intheusefullifeofassets. jyAgra SudheendhraPutty Secretary Company (DIN–05301037) Managing Director &CEO :April23, 2015 Date : Bodanapu Krishna Place Chief FinancialOfficer Ajay Aggarwal (DIN –00058215) Chairman Executive B.V.R. MohanReddy For andonbehalfoftheBoardDirectors ` 11,314,383(netofdeferredtax Hyderabad ` 52,919,089consequenttothe ` 5,716,126)againstthe 53 147 Annual Report 2014-15 cyient.com statements of We haveauditedtheaccompanyingconsolidatedfinancial Report ontheConsolidatedFinancialStatements CYIENT LIMITED TO THEMEMBERSOF INDEPENDENT AUDITORS'REPORT and matterswhicharerequired tobeincludedintheaudit provisions oftheAct,accounting andauditingstandards conducting theaudit,wehave takenintoaccountthe consolidated financialstatements basedonouraudit.While Our responsibilityistoexpressanopiniononthese Auditor's Responsibility Holding Company,asaforesaid. consolidated financialstatementsbytheDirectorsof been usedforthepurposeofpreparation misstatement, whetherduetofraudorerror,whichhave that giveatrueandfairviewarefreefrommaterial preparation andpresentationofthefinancialstatements and completenessoftheaccountingrecords,relevantto that wereoperatingeffectivelyforensuringtheaccuracy and maintenanceofadequateinternalfinancialcontrols, are reasonableandprudent;thedesign,implementation accounting policies;makingjudgmentsandestimatesthat irregularities; theselectionandapplicationofappropriate Group andforpreventingdetectingfraudsother provisions oftheActforsafeguardingassets adequate accountingrecordsinaccordancewiththe controlled entityareresponsibleformaintenanceof included intheGroupandofitsassociatejointly 2014. TherespectiveBoardofDirectorsthecompanies Act, readwithRule7oftheCompanies(Accounts)Rules, Accounting StandardsspecifiedunderSection133ofthe principles generallyacceptedinIndia,includingthe controlled entityinaccordancewiththeaccounting flows oftheGroupincludingitsassociateandJointly consolidated financialperformanceandcash true andfairviewoftheconsolidatedfinancialposition, Act, 2013(hereinafterreferredtoas"theAct")thatgivea statements intermsoftherequirementsCompanies for thepreparationoftheseconsolidatedfinancial The HoldingCompany'sBoardofDirectorsisresponsible Financial Statements Management's ResponsibilityfortheConsolidated referred toas"theconsolidatedfinancialstatements"). policies andotherexplanatoryinformation(hereinafter then ended,andasummaryofthesignificantaccounting Loss andtheConsolidatedCashFlowStatementforyear March 31,2015,theConsolidatedStatementofProfitand comprising oftheConsolidatedBalanceSheetasat Group"), itsassociateandjointlycontrolledentity Company anditssubsidiariestogetherreferredtoas"the Holding Company")anditssubsidiaries(the ENTERPRISES LIMITED CYIENT LIMITED (formerlyInfotechEnterprisesLimited) )(hereinafter referredtoas"the (formerly INFOTECH statements. Theconsolidated financialstatementsalso on thatdate,asconsideredin theconsolidatedfinancial cash flowsamountingto March 31,2015,totalrevenues of statements reflecttotalassetsof subsidiaries andajointlycontrolledentitywhosefinancial We didnotauditthefinancialstatementsofthirteen Other Matters date. their consolidatedcashflowsfortheyearendedonthat entity asatMarch31,2015,andtheirconsolidatedprofit affairs oftheGroup,itsassociateandjointlycontrolled generally acceptedinIndia,oftheconsolidatedstate and fairviewinconformitywiththeaccountingprinciples required bytheActinmannersoandgiveatrue consolidated financialstatementsgivetheinformation according totheexplanationsgivenus,aforesaid In ouropinionandtothebestofinformation Opinion opinion ontheconsolidatedfinancialstatements. is sufficientandappropriatetoprovideabasisforouraudit their reportsreferredintheOtherMattersparagraphbelow, audit evidenceobtainedbytheotherauditorsintermsof We believethattheauditevidenceobtainedbyusand financial statements. as evaluatingtheoverallpresentationofconsolidated made bytheHoldingCompany'sBoardofDirectors,aswell used andthereasonablenessofaccountingestimates evaluating theappropriatenessofaccountingpolicies effectiveness ofsuchcontrols.Anauditalsoincludes over financialreportinginplaceandtheoperating Company hasanadequateinternalfinancialcontrolssystem purpose ofexpressinganopiniononwhethertheHolding that areappropriateinthecircumstancesbutnotfor give atrueandfairviewinordertodesignauditprocedures preparation oftheconsolidatedfinancialstatementsthat internal financialcontrolrelevanttotheHoldingCompany's making thoseriskassessments,theauditorconsiders financial statements,whetherduetofraudorerror.In of therisksmaterialmisstatementconsolidated depend ontheauditor'sjudgment,includingassessment consolidated financialstatements.Theproceduresselected evidence abouttheamountsanddisclosuresin An auditinvolvesperformingprocedurestoobtain financial statementsarefreefrommaterialmisstatement. reasonable assuranceaboutwhethertheconsolidated requirements andplanperformtheaudittoobtain Those Standardsrequirethatwecomplywithethical on AuditingspecifiedunderSection143(10)oftheAct. We conductedourauditinaccordancewiththeStandards there under. report undertheprovisionsofActandRulesmade ` 424,207,419 fortheyearended ` 5,931,779,565andnet ` 7,314,289,915asat 53 148 Annual Report 2014-15 cyient.com .AsrequiredbySection143(3)oftheAct, wereport,to 2. AsrequiredbytheCompanies(Auditor'sReport) 1. Report onOtherLegalandRegulatoryRequirements the otherauditors. respect toourrelianceontheworkdoneandreportsof below, isnotmodifiedinrespectoftheabovematterswith our reportonOtherLegalandRegulatoryRequirements Our opinionontheconsolidatedfinancialstatements,and reports oftheotherauditors. controlled entityandassociate,isbasedsolelyonthe in sofarasitrelatestotheaforesaidsubsidiaries,jointly terms ofsub-section(3)and(11)Section143theAct, jointly controlledentityandassociate,ourreportin and disclosuresincludedinrespectofthesesubsidiaries, financial statements,insofarasitrelatestotheamounts by theManagementandouropiniononconsolidated by otherauditorswhosereportshavebeenfurnishedtous audited byus.Thesefinancialstatementshavebeen associate, whosefinancialstatementshavenotbeen consolidated financialstatements,inrespectofone the yearendedMarch31,2015,asconsideredin include theGroup'sshareofnetprofit )TheConsolidated BalanceSheet,the c) Inouropinion,properbooksofaccountas b) Wehavesoughtandobtainedalltheinformation a) the extentapplicable,that: to theextentapplicable. matters specifiedinparagraphs3and4oftheOrder, in India,wegivetheAnnexureastatementon companies andjointlycontrolledentityincorporated auditors' reportsoftheHoldingcompany,subsidiary Section 143oftheAct,basedoncommentsin Government ofIndiaintermssub-section(11) Order, 2015("theOrder"),issuedbytheCentral statements. preparation oftheconsolidatedfinancial books ofaccountmaintainedforthepurpose by thisReportareinagreementwiththerelevant the ConsolidatedCashFlowStatementdealtwith Consolidated StatementofProfitandLoss, other auditors. examination ofthosebooksandthereports been keptsofarasitappearsfromour aforesaid consolidatedfinancialstatementshave required bylawrelatingtopreparationofthe consolidated financialstatements. purposes ofouraudittheaforesaid knowledge andbeliefwerenecessaryforthe and explanationswhichtothebestofour ` 150,374,958for EUDRBD(Partner) 201193) No. (Membership April 23,2015 SECUNDERABAD )Onthebasisofwrittenrepresentations e) Inouropinion,theaforesaidconsolidatedfinancial d) iii. TheGroup,itsassociateandjointly ii. Theconsolidatedfinancialstatements i. Withrespecttotheothermattersbe f) in termsofSection164(2)theAct. March 31,2015frombeingappointedasadirector incorporated inIndiaisdisqualifiedason associate companyandjointlycontrolledentity none ofthedirectorsGroupcompanies,its jointly controlledentityincorporatedinIndia, subsidiary companies,associatecompanyand and thereportsofstatutoryauditorsits by theBoardofDirectorsHoldingCompany Company asonMarch31,2015takenrecord received fromthedirectorsofHolding Rules, 2014. read withRule7oftheCompanies(Accounts) Standards specifiedunderSection133oftheAct, statements complywiththeAccounting controlled entityincorporatedinIndia. companies, associatecompanyandjointly the HoldingCompanyanditssubsidiary Investor EducationandProtectionFundby amounts, requiredtobetransferred,the There hasbeennodelayintransferring 33 totheconsolidatedfinancialstatements. including derivativecontracts-ReferNote foreseeable lossesonlong-termcontracts controlled entitydidnothaveanymaterial consolidated financialstatements. entity -ReferNote31.1(i)tothe Group, itsassociateandjointlycontrolled the consolidatedfinancialpositionof disclose theimpactofpendinglitigationson us: and accordingtotheexplanationsgiven opinion andtothebestofourinformation (Audit andAuditor's)Rules,2014,inour accordance withRule11oftheCompanies included intheAuditor'sReport For (Firm's RegistrationNo.008072S) DELOITTE HASKINS&SELLS (GANESH BALAKRISHNAN) CharteredAccountants 53 149 Annual Report 2014-15 cyient.com report ontheconsolidatedfinancialstatementsofevendate) (Referred toinparagraph1under'ReportonOtherLegalandRegulatoryRequirements'sectionofour Financial Statements Annexure totheIndependentAuditor'sReportonConsolidated vii. Inouropinionandthe oftheotherauditorsandaccordingtoinformationexplanationsgivenus vi. Accordingtotheinformationandexplanations given tous,theHoldingCompanyandjointlycontrolledentity v. InrespectoftheinventoriessubsidiarycompaniesincorporatedinIndia: iv. InrespectofthefixedassetsHoldingCompany,subsidiarycompaniesandjointlycontrolledentityincorporated iii. Havingregardto the natureofbusinessHoldingCompany,subsidiarycompaniesandjointlycontrolledentity ii. OurreportingontheOrderincludesfivesubsidiarycompaniesandonejointlycontrolledentity,towhichis i. subsidiary companiesandjointly controlledentityincorporatedinIndia: According totheinformation andexplanationsgiventous,inrespectofstatutorydues oftheHoldingCompany, has beenobserved. of ourandtheotherauditorsauditnocontinuingfailureto correctmajorweaknessesinsuchinternalcontrolsystem their businessforthepurchaseofinventoryandfixedassets andforthesaleofgoodsservicesduringcourse jointly controlledentityincorporatedinIndia,commensurate withthesizeofrespectiveentitiesandnature the otherauditors,thereisanadequateinternalcontrolsystem intheHoldingCompany,subsidiarycompaniesand maintained underSection189oftheCompaniesAct,2013by therespectiveentities. India havenotgrantedanyloans,securedorunsecured,to companies, firmsorotherpartiescoveredintheRegisters According totheinformationandexplanationsgiven otherauditors,thesubsidiarycompaniesincorporatedin Thereisnooverdue amountremainingoutstandingasattheyear-end. b) Thereceiptsofprincipalamountsandinteresthavebeen asperstipulations. a) Registers maintainedunderSection189oftheCompaniesAct,2013byrespectiveentities.Inrespectsuchloans: incorporated inIndiahavegrantedloans,securedorunsecured,tocompanies,firmsotherpartiescoveredthe Intheopinionofotherauditorsandaccordingtoinformationexplanationsgiven to theotherauditors, c) Intheopinionofotherauditorsandaccordingtoinformationexplanationsgivenauditors, b) Asexplainedtotheotherauditors,inventorieswerephysicallyverifiedduringyearbyManagementof a) SomeofthefixedassetswerephysicallyverifiedduringyearbyManagementHoldingCompany b) Therespectiveentitieshavemaintainedproperrecordsshowingparticulars,includingquantitativedetailsand a) in India: companies andjointlycontrolledentityincorporatedinIndia. during theyear,clauses(v),(vi)and(viii)ofparagraph3OrderarenotapplicabletoHoldingCompany,subsidiary consolidated financialstatements. reports oftheotherauditors,toextentconsideredapplicableforreportingunderOrderincase applicable, whichhavebeenauditedbyotherauditorsandourreportinrespectoftheseentitiesisbasedsolelyonthe noticed onphysicalverification. the respectiveentitieshasmaintainedproperrecordsoftheirinventoriesandnomaterialdiscrepancieswere reasonable andadequateinrelationtothesizeofrespectiveentitiesnaturetheirbusiness. the proceduresofphysicalverificationinventoriesfollowedbyManagementrespectiveentitieswere the respectiveentitiesatreasonableintervals. verification. the informationandexplanationsgiventootherauditors,nomaterialdiscrepancieswerenoticedonsuch of theotherauditors,providesforphysicalverificationallfixedassetsatreasonableintervals.Accordingto controlled entityincorporatedinIndia,accordancewitharegularprogrammeofverificationwhich,theopinion The fixedassetswerephysicallyverifiedduringtheyearbyManagementofsubsidiarycompaniesandjointly which suchreconciliationiscompleted. the Companyisinprocessofreconciliationanddiscrepancies,ifany,notedwouldbedealtwithyear verification ofallthefixedassetsatreasonableintervals.Accordingtoinformationandexplanationgivenus, incorporated inIndia,accordancewithaprogrammeofverification,whichouropinionprovidesforphysical situation ofthefixedassets. 53 150 Annual Report 2014-15 cyient.com April 23,2015 SECUNDERABAD i Tothebest ofourknowledgeandaccordingtotheinformationexplanationsgivenusotherauditors,no xi. Intheopinionofotherauditorsandaccordingtoinformationexplanations giventotheotherauditors, x. Accordingtotheinformationandexplanationsgivenus,Holding Company,subsidiarycompaniesandjointly ix. Intheopinion viii. )DetailsofduesIncome-tax,SalesTax,ServiceTaxandValueAddedwhichhavenotbeendepositedason c) TherewerenoundisputedamountspayablebytherespectiveentitiesinrespectofProvidentFund,Employees' b) Therespectiveentitieshavegenerallybeenregularindepositingundisputedstatutory dues,includingProvident a) )Therearenoamountsthat areduetobetransferredbytheaforesaidentitiesInvestorEducationand d) noticed orreportedduringtheyear. fraud ontheHoldingCompany,itssubsidiarycompaniesand jointlycontrolledentityincorporatedinIndiahasbeen fraud bytheHoldingCompany,itssubsidiarycompaniesand jointly controlledentityincorporatedinIndiaandnomaterial year forthepurposeswhichtheywereobtained. term loanshavebeenappliedbythesubsidiarycompaniesand jointlycontrolledentityincorporatedinIndiaduringthe institutions. controlled entityincorporatedinIndiahavenotgivenguaranteesforloanstakenbyothersfrombanksandfinancial any debentures. banks. TheHoldingCompany,subsidiarycompaniesandjointlycontrolledentityincorporatedinIndiahavenotissued subsidiary companiesincorporatedinIndiahavenotdefaultedtherepaymentofduestofinancialinstitutionsand March 31,2015onaccountofdisputesbytheaforesaidentitiesaregivenbelow: the datetheybecamepayable. Cess andothermaterialstatutoryduesinarrearsasatMarch31,2015foraperiodofmorethansixmonthsfrom State Insurance,Income-tax,SalesTax,WealthServiceCustomsDuty,ExciseValueAdded authorities. Value AddedTax,Cessandothermaterialstatutoryduesapplicabletotherespectiveentitieswithappropriate Fund, Employees'StateInsurance,Income-tax,SalesTax,WealthServiceCustomsDuty,Excise iac c,SrieTxCentral (includingpenalty) ServiceTax Sales 1994 (including Sales Finance Act, Tax Act,2005 ValueAddedTax (including Value Added Sales Tax Pradesh Andhra Tax Act,1956 Nature Central Sales Statute 94ServiceTaxAppellate there under. Protection FundinaccordancewiththerelevantprovisionsofCompaniesAct,1956(11956)andRulesmade Central Incometax on March31,2015. There arenodisputedduesofExciseduty,WealthTax,CustomsDutyandCesswhichhavenotbeendepositedas ServiceTax Incometax 1994 Finance Act, Act, 1961 Income tax of theotherauditorsandaccordingtoinformationexplanationsgivenauditors, of Dues Forum where Period to which Amount involved Amount Periodtowhich where Forum of Dues eat)penalty) penalty) rbnl2010-11 Service Tax Tribunal rbnlTribunal Tribunal Tribunal ipt spnigteaon (in amount the Dispute ispending rbnl2009-10 Tribunal a pelt 2005-06 2004-05 Tax Appellate Tax Appellate xiead2006-07 Excise and Excise and pelt 2008-09 Appellate Appellate relates 2012-13 0121 592,349 2011-2012 2009-10 For (Firm's RegistrationNo.008072S) o1,964,650 7,656,660 to to o127,221,068 to o3,966,320 to DELOITTE HASKINS&SELLS (GANESH BALAKRISHNAN) (Membership No.201193) CharteredAccountants ` ) (Partner) 53 151 Annual Report 2014-15 cyient.com ()EQUITY &LIABILITIES (A) ae:Arl2,21 ae:April23,2015 Date :April23,2015 Date : Place Ganesh Balakrishnan B.V.R. Mohan Reddy Krishna Bodanapu Krishna Execu B.V.R.MohanReddy Partner Balakrishnan Ganesh Chartered Accountants For In termsofourreportattached of theConsolidatedfinancialstatements See accompanyingnotesformingpart accounting policies Corporate informationandsignificant ASSETS (B) Consolidated BalanceSheetasatMarch31,2015 eoteHsis&SlsForand onbehalfoftheBoardDirectors Sells & Haskins Deloitte te o-urn ses1 180802,082,582 4,799,793,634 73,535,744 6,912,704,788 400,359,602 525,040,374 710,057,850 14,447,755,971 1,068,425,022 23,291,076 1,624,840,097 15,703,069,544 1,833,802,279 1,840,800 5,335,859,590 21 17 6,228,505,537 65,238,912 18 336,076,496 675,415,332 1,362,762,093 1,358,959,361 19 4,263,450,299 20 16 Other currentassets Short-term loansandadvances Cash andbankbalances 15 receivables Trade Inventories 42.2 investments Current 14 13 Current assets 35 Other non-currentassets Long-term loansandadvances Deferred taxassets(net) investments Non-current Goodwill (onconsolidation) Fixed assets Non-current assets te ogtr iblte 31342- - 381,714,687 1,745,131,992 51,758,956 719,209,117 58,179,244 3,235,253,201 712,732,848 582,353,713 6,119,942,231 2,753,561,257 3,143,422 955,769,664 466,774,083 50,521,417 1,597,720,011 9 812,891,299 11 10 8 7 provisions Short-term 6 Other currentliabilities 5 payables Trade 42.2 borrowings Short-term Current liabilities provisions Long-term Other long-termliabilities Deferred taxliability(net) Long-term borrowings Non-current liabilities Minority Interest allotment Share applicationmoneypending hr aia 3 4 Reserves andsurplus Share capital Shareholders' funds Secunderabad OA 575616919,553,422,416 25,785,651,679 475,225,847 TOTAL 61,862,178 2,867,203,673 48 465,255,860 3,156,352,714 55,154,079 12B 12A 12C development Intangible assetsunder work-in-progress Capital assets Intangible assets Tangible OA 2,8,5,7 19,553,422,416 25,785,651,679 TOTAL 1 and2 oeA tAsat Asat Note 47 - 1,428,050 - 47 17,878,786,170 0,6,4 - 606,063,549 561,805,325 09478 ,1,7,3 899993,413,291,647 8,999,949 3,717,677,431 40,914,778 lc : Place jyAgra SudheendhraPutty Secretary Company (DIN–05301037) Chief FinancialOfficer Ajay Aggarwal (DIN –00058215) ac 1 05March31,2014 March 31,2015 ieCara ManagingDirector &CEO Chairman tive Hyderabad 84051451,2,4,5 15,883,267,522 15,323,444,457 18,440,591,495 123538- 122,325,318 559,823,065 (Amount in ` ) 53 152 Annual Report 2014-15 cyient.com d:Saeo osatiual oMnrt neet 23876- 152,049,600 - 13,670,423 150,374,958 Corporate informationandsignificantaccountingpolicies 22,388,776 - 57,558,151 (Equity shares,parvalueof Earnings pershare 719,982,916 167,536,224 of theCompany Profit fortheyearattributabletoshareholders 169,400,578 Add: ShareoflossattributabletoMinorityinterest 13,677,784,422 28 attributable tominorityinterest 4,284,268,457 Profit aftertaxbeforeshareofprofit/(loss) 28,576,987, 712,775,106 Share inprofitofassociatecompany 26 291,098,173 company andminorityinterest 22,064,327,615 16,756,048,085 1,217,657,735 Profit aftertax,beforeshareofprofitinassociate 6,136,430,253 22,064,327,615 12D 25 27,359,329,811 24 23 associate andminorityinterest Profit beforetax,shareofprofit 27 27,365,103,096 TOTAL EXPENSES Depreciation andamortisationexpense costs Finance Operating, administrationandotherexpenses work inprogress 22 Changes ininventoriesoffinishedgoodsand Cost ofmaterialsconsumed Employee benefitsexpense EXPENSES TOTAL INCOME Other income(Net) Revenue fromoperations(Net) Revenue fromoperations(Gross) Consolidated StatementofProfitandLossfortheyearendedMarch31,2015 Ganesh Balakrishnan B.V.R. Mohan Reddy Krishna Bodanapu Krishna Execu B.V.R.MohanReddy : Place Partner Balakrishnan Ganesh Chartered Accountants For In termsofourreportattached Consolidated financialstatements See accompanyingnotesformingpartofthe INCOME Weighted averagenumberofequityshares ae:Arl2,21 ae:April23,2015 Date :April23,2015 Date eoteHsis&SlsForand onbehalfoftheBoardDirectors Sells & Haskins Deloitte d eerdtx(e)4. 5,4,0 (7,719,859) 501,164 1,036,005,604 1,264,263 50,148,807 1,023,585,606 (1,427,883) 42.2 23,962,344 - 42.1 42.5 42.3 Deferredtax(net) 5,773,285 MATcreditentitlement (d) Taxpertainingtoearlieryears (c) Currenttax (b) (a) Tax expense: Less: Exciseduty - Diluted - Basic iue 3.723.70 31.37 Diluted - - Basic Secunderabad ` 5each) 1 and2 oeFrteya ne Fortheyearended Fortheyearended Note jyAgra SudheendhraPutty Secretary Company (DIN–05301037) : Place Chief FinancialOfficer Ajay Aggarwal (DIN –00058215) 41 ieCara ManagingDirector &CEO Chairman tive Hyderabad ac 1 05March31,2014 March 31,2015

411459218, 24,121,445,992 35206442,660,020,403 2,660,020,403 3,532,036,414 2,507,970,803 3,509,647,638 3,359,272,680 3,538,021,975 4,455,541,554 1,7,9 112,578,995 112,182,127 3.823.80 31.48 4 22,233,728,193 546 (Amount in 695,706,218 112,227,332 111,743,379 ` ) 53 153 Annual Report 2014-15 cyient.com .CASHFLOWFROMINVESTING ACTIVITIES B. A. CASH FLOWFROMOPERATINGACTIVITIES CASH A. Particulars Consolidated CashFlowStatementfortheyearendedMarch31,2015 scs n aheuvlns 483672 (2,944,029) 353,665,821 23,379,793 1,341,716 452,874,958 (498,326,792) 18,616,967 2,541,159 4,569,657 (765,565,924) (1,024,694,680) 15,133,645 (818,496,491) Net cashflowusedininvesting (1,171,468,538) as cashandequivalents 2,271,919,627 not considered Movement inBankbalances Rental incomefromoperating leases Dividend incomereceived received Interest 3,617,104,689 Purchase oflong-terminvestments Current investments Proceeds fromsaleoffixedassets advances (ReferNote(iii)below) Capital expenditureonfixedassets,includingcapital Net cashflowfromoperatingactivities(A) Net incometaxpaid Cash generatedfromoperations Adjustments forincrease/(decrease)inoperatingliabilities: Adjustments for(increase)/decreaseinoperatingassets: Changes inworkingcapital: Operating profitbeforeworkingcapitalchanges Adjustments for: Profit beforetax,shareofprofitassociateandminorityinterest usdais 4585236 - (1,971,416,352) 2,180,828,422 (4,518,552,376) (1,959,570,311) 2,023,853,418 - 23,880,198 (12,954,472) 578,461,650 117,311,945 194,883,067 (1,890,440) (212,696,330) 561,768,467 - Subsidiaries (406,465,617) 2,676,156 85,354,896 (927,405,686) - Proceedsfromsale - Purchased (27,104,337) 241,782 (95,183,209) (12,536,346) 43,486,078 45,406,068 (124,121,515) 1,822,325 (322,669,851) Long-term provisions Short-term provisions 13,670,423 41,252,715 Other long-termliabilities (389,788,120) Other currentliabilities (256,778,558) 32,766,314 338,331,306 payables Trade - (1,341,716) Inventories Other non-currentassets 57,558,151 (489,965,130) Other currentassets (230,302,670) Long-term loansandadvances (23,379,793) 82,441,827 (68,325,805) Short-term loansandadvances (54,637,202) Trade receivables (2,541,159) 1,241,474 719,982,916 (18,616,967) Unrealised forex(gain)/loss foreign currencycashandequivalents (86,585,256) Effect ofexchangedifferencesontranslation 712,775,106 Unrealised gainontranslationdifferences 652,572 Provision fordoubtfultradereceivables Bad debts/advanceswrittenoff Liabilities/provisions nolongerrequiredwrittenback Rental incomefromoperatingleases Dividend incomefromcurrentinvestments income Interest costs Finance Loss onsaleoffixedassetssold/written-off(net) Depreciation andamortisationexpense ciiis()activities (B) o h ereddFortheyearended For theyearended ac 1 05March31,2014 March 31,2015 (5,281,925,823) 44551543,538,021,975 4,455,541,554 47853273,296,614,307 4,788,573,227 3,965,317,412 4,453,884,938 0,4,4 - 200,948,748 (176,140,896) (Amount in ` ) 53 154 Annual Report 2014-15 cyient.com C. CASH FLOW FROM FINANCINGACTIVITIES CASH C. Ganesh Balakrishnan B.V.R. Mohan Reddy Krishna Bodanapu Krishna Execu B.V.R.MohanReddy : Place Partner Balakrishnan Ganesh Chartered Accountants For In termsofourreportattached Cash andcashequivalentsattheendofyear(ReferNote(i)below) Consolidated CashFlowStatement(Contd.) Net cash flow used in financing activities (C) (319,205,477) (427,372,525) 4,961,192,714 (319,205,477) ReconciliationofCashandcashequivalentswith 1,668,406,206 (i) 6,886,377,478 Notes: (1,984,026,611) Cash andcashequivalentsatthebeginningofyear Net (decrease)/increaseincashandequivalents(A+B+C) Net cashflowusedinfinancingactivities(C) See accompanyingnotesformingpartoftheConsolidated financialstatements Purchaseoffixedassetsincludes (iii) Theearmarkedaccountbalanceswithbankscanbeutilisedonlyforthespecificidentifiedpurposes. (ii) ae:Arl2,21 ae:April23,2015 Date :April23,2015 Date eoteHsis&SlsForand onbehalfoftheBoardDirectors Sells & Haskins Deloitte es In Less: usdaisdrn h er 7,9,9 - 256,778,558 (503,440,265) (17,423,093) (13,670,423) 571,197,898 - (669,507,255) 230,302,670 (114,846,593) (55,613,296) 1,428,050 54,981,470 50,751,736 Cash andcashequivalentsasperBalanceSheet(ReferNote19) the Balancesheet 409,713,252 - 45,344,327 foreign currencycash&equivalents 65,704,088 Effect ofexchangedifferencesontranslation subsidiaries duringtheyear Cash andcashequivalentsonacquisitionof Tax ondividendpaid paid Dividend Movement inlongtermborrowings(net) Movement inshorttermborrowings(net) costs Finance Share applicationmoneyreceived/(refunded) Proceeds fromissueofequityshares d hqe nHn -3,597,165 406,511 - 123,265,442 39,635,106 297,085 made totheextentidentified. fixed assets.Adjustmentsforincrease/decreaseincurrentliabilitiesrelatingtotheacquisitionofassetshasbeen 6,886,377,478 ChequesinHand Remittancesintransit (d) 5,703,851,435 (c) Balanceswithbanks Cash onhand (b) (a) *Comprises: Cash andcashequivalentsattheendofyear* Secunderabad naddvdn cons ,8,0 4,250,458 7,085,306 - - Unpaiddividendaccounts (ii) In EEFC accounts 334,722,030 264,603,763 5,299,173,872 1,195,330,725 334,722,030 3,790,671,247 1,538,525,967 Indepositaccounts (iii) InEEFCaccounts Incurrentaccounts (ii) (i) Balances heldasmarginmoney/securityforbankguarantees earmarked accounts(ReferNote(ii)below) payments foritemsincapitalwork-in-progressandadvancespurchaseof jyAgra SudheendhraPutty Secretary Company (DIN–05301037) : Place Chief FinancialOfficer Ajay Aggarwal (DIN –00058215) ieCara ManagingDirector &CEO Chairman tive Hyderabad o h ereddFortheyearended For theyearended ac 1 05March31,2014 March 31,2015 57381456,886,377,478 5,703,851,435 62855576,912,704,788 6,228,505,537 ,0,5,3 6 5,703,851,435 57587622,076,852 517,568,796 (Amount in ,886,377,478 ` ) 53 155 Annual Report 2014-15 cyient.com .Corporateinformation 1. Notes formingpartoftheConsolidatedfinancialstatements .Significantaccountingpolicies 2. shareholders throughpostalballot. 2014, postapprovaloftheBoardDirectorsand Enterprises LimitedtoCyientw.e.fMay7, The companychangeditsnamefromInfotech financial servicesmarkets. transportation &logistics,localgovernmentand for themanufacturing,utilities,telecommunications, Group specialisesinsoftwareservicesandsolutions consulting, analyticsandimplementation.Cyient development, softwareproducts engineering, reverseengineeringapplicationsoftware (CAD/CAE), designandmodelling,repairdevelopment photogrammetry, computeraideddesign/engineering of servicesincludedigitisationdrawingsandmaps, (UK), Germany,JapanandIndia.CyientGroup'srange in theUnitedStatesofAmerica(USA),Kingdom serves aglobalcustomerbasethroughitssubsidiaries its headquartersanddevelopmentfacilitiesinIndia automotive anddefenceindustries.TheCompanyhas and machiningofcomponentsforaerospace, and aerospaceapplications,includingmanufacturing industrial, automotive,telecommunications,defence manufacturing solutionsinthefieldsofmedical, operating intheareasoftotalelectronics analytics. Duringtheyear,grouphasalsostarted in geospatial,engineeringdesign,ITsolutionsanddata global technologyservicesandsolutionsspecialising referred toas'theGroup')isengagedinproviding subsidiaries, jointventureandassociate(collectively ('Cyient'or'theCompany')andits Cyient Limited . Basisofaccountingandpreparationthe 2.1 )ThefinancialstatementsoftheGrouphave i) consolidated financialstatements Limited. up tothesamereportingdate asatCyient companies usedinconsolidation aredrawn The financialstatementsofthesubsidiary the historicalcostconvention. have beenpreparedonaccrualbasisunder Act"), asapplicable.Thefinancialstatements 2013 Act")/CompaniesAct,1956("the provisions oftheCompaniesAct,2013("the (Accounts) Rules2014andtherelevant read withRule7oftheCompanies Section 133oftheCompaniesAct,2013, Accounting Standardsspecifiedunder India (IndianGAAP)tocomplywiththe Generally AcceptedAccountingPrinciplesin been preparedinaccordancewiththe . Principlesofconsolidation 2.2 v Minorityinterestinthenetassetsof iv) iii) Theconsolidatedfinancialstatements ii) Thefinancial statementsoftheCompany i) prepared onthefollowingbasis: The consolidatedfinancialstatementshavebeen TheAccountingpoliciesadoptedinthe ii) statements. is dulydisclosedintheconsolidatedfinancial effect alongwiththeimpactofsuchchange circumstances, detaileddisclosurestothat necessitated duetochanged Where achangeinaccountingpolicyis change inaccountingpolicyhithertouse. an existingaccountingstandardrequiresa standard isinitiallyadoptedorarevisionto except whereanewlyissuedaccounting Accounting policiesareconsistentlyapplied investment. of theequity,subsequentto thedatesof company andfuturemovements intheshare investments aremadeinthe subsidiary shareholders atthedateonwhich amount ofequityattributabletotheminority consolidated subsidiariesconsistsofthe financial statements. 'Reserves andSurplus'intheconsolidated Consolidation) andshownunderthehead recognised asCapitalReserve(on of theinvestmentGroup,itis the dateofinvestmentisinexcesscost of equityinthesubsidiarycompaniesason statements. Alternatively,wheretheshare being anassetintheconsolidatedfinancial recognised asGoodwill(onConsolidation), which theinvestmentsaremade,is over itsshareoftheequityatdateson investments initssubsidiarycompanies The excessofcosttotheGroupits is adjustedtothecostofinvestment. method asperwhichtheshareofprofit/loss company, whichareaccountedunderEquity include theshareofprofit/lossassociate losses havebeenfullyeliminated. transactions andunrealisedprofits expenses. Inter-companybalancesand items ofassets,liabilities,incomeand a line-bylinebasisbyaddingtogetherlike and itssubsidiarieshavebeencombinedon previous year. consistent withthosefollowedinthe preparation ofthefinancialstatementsare 53 156 Annual Report 2014-15 cyient.com . Revenuerecognition 2.4 Useofestimates 2.3 )Ondisposal ofasubsidiary,theattributable v) when theproducthasbeen delivered,in Revenue fromsaleofequipment isrecognised estimated. loss becomesprobableand can bereasonably engagements ismadeintheyearwhichsuch Provision forestimatedlossesonsuch year inwhichthechangebecomesknown. percentage ofworkcompletedisreflectedinthe impact ofanyrevisioninestimatesthe percentage completionmethod.Thecumulative recognised overthelifeofcontractusing contracts. Revenuefromsucharrangementsis days/man hoursspentaspertermsofthe specified milestonesand/oronthebasisofman- customers arebilled,basedoncompletionof fixed-price" arrangements,underwhich The Groupalsoperformsworkunder"Timebound when servicesareperformed. "time andmaterial"basisisrecognisedas Revenue fromsoftwareservicesperformedona price" basis. on "Timeandmaterial"oraboundfixed- arrangements withthecustomerwhichareeither Revenue recognitiondependsonthe Income fromServices: are disclosedinthefinancialstatements. period inwhichresultsareknownand,ifmaterial, are reflectedinthefinancialstatements The effectsofchangesinaccountingestimates Future resultscoulddifferfromthoseestimates. financial statementsareprudentandreasonable. estimates usedinpreparationoftheconsolidated discounts etc.Themanagementbelievesthatthe contingencies, provisionforwarranties/ assets, provisionsforimpairment,provision provision fortaxation,usefullivesofdepreciable doubtful debts,provisionforemployeebenefits, during theyear.Examplesincludeprovisionsfor reported amountsofincomeandexpenditure consolidated financialstatementsandthe contingent liabilitiesasatthedateof of assetsandliabilitiesdisclosuresrelatingto assumptions consideredinthereportedamounts requires theManagementtomakeestimatesand statements inconformitywithIndianGAAP The preparationoftheconsolidatedfinancial the profitandlossondisposal. goodwill isincludedinthedeterminationof . Inventories 2.5 benefits areaccountedonaccrualbasis. Export benefitsunderDEPBlicenseandexcise sales taxandvalueaddedtax. customers. Salesincludeexcisedutybutexclude generally coincideswiththedispatchofgoodsto and rewardsofownershiptothebuyer,which trade discounts,ontransferofsignificantrisks Revenue isrecognizednetofsalesreturnsand Sale ofProducts: end. manufacturing incomeisrecognizedasatyear- recorded atinvoicevalueandaccrued Manufacturing incomeandservicechargesare provision forestimatedlosses. estimated allowancesforuncertaintiesand in accordancewithcontracttermsandisnetof based onservicesperformedinadvanceofbillings Unbilled revenuerepresentsamountsrecognised performed arerecordedasunearnedrevenue. Amounts receivedorbilledinadvanceofservices of applicableindirecttaxes. based onthetermsofcontractsandalsonet incentives whichareestimatedandaccountedfor Revenue isnetofvolumediscounts/price service towhichitrelates. under revenuealongwithrecognitionofsale Reimbursement ofexpenditureisrecognised of thecontractinwhichservicesarerendered. contracts arerecognisedpro-rataovertheperiod Revenues fromfixed-pricemaintenance title istransferredtothecustomer. accordance withthesalescontractandwhen manufacturing overheads. material, labouranda proportion of necessary tomakethesale.Cost includesdirect costs ofcompletionand estimated costs in theordinarycourseofbusiness,lessestimated Net realizablevalueistheestimatedsellingprice Cost isdeterminedonaweightedaveragebasis. WorkinProcess&FinishedGoods-AtCost iii) StoresandSpares-AtCost. ii) RawMaterials&Consumables-At Costor i) Accounting Standardandareasunder: method ofvaluationprescribedunderthe Inventories arevaluedinaccordancewiththe or NetrealizableValuewhicheverisless. Net realizableValuewhicheverisless. 53 157 Annual Report 2014-15 cyient.com . Depreciation &amortisation 2.8 Fixedassets,intangibleassetsandcapitalwork-in-progress 2.7 Otherincome 2.6 technological changes,manufacturerswarrantiesandmaintenancesupport,etc.: the estimatedusageofasset,operatingconditionspasthistoryreplacement,anticipated life oftheassetshasbeenassessedasunderbasedontechnicaladvice,takingintoaccountnatureasset, in ScheduleIItotheCompaniesAct,2013exceptrespectoffollowingcategoriesassets,whosecase Depreciation ontangiblefixedassetshasbeenprovidedthestraight-linemethodasperusefullifeprescribed residual value. Depreciable amountforassetsisthecostofanasset,orothersubstitutedcost,lessitsestimated assets underdevelopmentwheresucharenotyetreadyfortheirintendeduse. Expenditure incurredtowardsdevelopment(ReferNote2.11)eligibleforcapitalizationarecarriedasintangible Intangible assetsunderdevelopment accumulated amortisationandimpairment. Intangible assetsarerecordedattheconsiderationpaidforacquisitionofsuchandcarriedcostless Intangible assets (CWIP). Asset underinstallationorconstructionasatBalancesheetdateareshownCapitalWorkinProgress and Loss. from thestatedvaluesandresultinggainslossesarerecognisedinConsolidatedStatementofProfit The costandtheaccumulateddepreciationforfixedassetssold,retiredorotherwisedisposedoffareremoved beyond thepreviousannouncedstandardsofperformances. after itspurchaseiscapitalisedonlyifsuchexpensesresultsinanincreasethefuturebenefitsfromassets expenses incurredtobringtheassetsitspresentlocationandcondition.Subsequentonfixed Fixed Assetsarestatedatactualcost,lessaccumulateddepreciationandnetofimpairment.Costincludesall Dividend incomeisrecognisedwhentheCompany'srighttoreceivedividendestablished. rate applicableinthetransaction. Income frominterestisrecognisedonatimeproportionbasistakingintoaccounttheamountoutstandingand otae3 3 years 5 years 28 10 years life Useful are fullydepreciatedintheyear ofacquisition. Overtheperiodofrespective project Depreciation ischargedonpro-rata basisfromthedateofcapitalisation.Individualassets costing Overtheleaseperiodof6-79years year andtheamortisationperiod isrevisedtoreflectthechangedpattern,ifany. The estimatedusefullifeoftheintangibleassetsandamortisation periodarereviewedattheendofeachfinancial Shorterofleaseperiodorestimatedusefullives Customer rights Software purchasedforuseintheprojects Software Intangible assetsareamortisedovertheirestimateduseful life onstraightlinemethodbasisasfollows: *Except asubsidiaryCompany Tools &Equipment Plant andEquipment* Improvements Leasehold Building Land Leasehold Type ofasset years years ` 5000orless 53 158 Annual Report 2014-15 cyient.com .1Researchand 2.11 Investments 2.10 Impairmentofassets 2.9 project isdemonstrated, future economic unless technicalandcommercial feasibilityofthe Development costsareexpensed asincurred Research costsareexpensed asincurred. Profit andLoss. is creditedtotheConsolidatedStatementof investments andanyreversalofsuchreduction reduction inthecarryingvalueoflong-term duties. Provisionismadetorecogniseany acquisition chargessuchasbrokerage,feesand such investment.Costofinvestmentsinclude diminution, otherthantemporary,inthevalueof cost lessprovisionmadetorecogniseany Long-term investmentsarecarriedindividuallyat individually atthelowerofcostandfairvalue. investment. Currentinvestmentsarecarried / Management'sintentatthetimeofmaking long-term basedontheirnature/holdingperiod Investments areeitherclassifiedascurrentor the carryingamountofeachassetinunit. other assetsoftheunitpro-rataonbasis goodwill allocatedtotheunitandthen allocated firsttoreducethecarryingamountof amount oftheunit,impairmentlossis the cashgeneratingunitislessthancarrying impairment annually.Iftherecoverableamountof which goodwillhasbeenallocatedaretestedfor synergies ofacquisition.Cash-generatingunitsto generating unitsexpectedtobenefitfromthe is allocatedtoeachoftheGroup'scash- For thepurposeofimpairmenttesting,goodwill the ConsolidatedStatementofProfitandLoss. such reversalofimpairmentlossisrecognisedin periods nolongerexistsormayhavedecreased, recognised foranassetinearlieraccounting When thereisindicationthatanimpairmentloss value ofmoneyandtheriskspecifictoasset. reflects thecurrentmarketassessmentoftime present valueusingapre-taxdiscountratethat asset andfromitsdisposalarediscountedtotheir flows expectedfromthecontinuinguseof assessing valueinuse,theestimatedfuturecash asset's netsellingpriceandvalueinuse.In loss. Recoverableamountisthehigherofan in ordertodeterminetheextentofimpairment the recoverableamountofassetisestimated assets wereimpaired.Ifanysuchindicationexists, determine whetherthereisanyindicationthose reviews thecarryingamountsofitsassetsto At eachbalancesheetdate,theManagement development .2Foreigncurrencytransactions/translations 2.12 making theassetreadyforitsintendeduse. consistent basistocreating,producingand attributed orallocatedonareasonableand comprises expenditurethatcanbedirectly expenditure iscapitalised.Theamountcapitalised costs aremeasurereliably,inwhichcasesuch and abilitytocompleteusetheasset benefits areprobable,theCompanyhasintention income orasexpensefortheperiod. forward exchangecontract isrecognisedas arising oncancellationorrenewal ofsucha change. Gain/Lossonsettlement oftransaction reporting periodinwhichtheexchangerates Consolidated StatementofProfitandLossinthe forward exchangecontractsarerecognisedinthe the contract.Exchangedifferencesonsuch is amortisedasexpenseorincomeoverthelifeof discount arisingattheinceptionofcontract hedge theforeigncurrencyrisk,premiumor commitment orahighlyprobableforecast)to forward exchangecontract(otherthanforafirm financial instrumentsthatisinsubstancea In caseofforwardexchangecontractoranyother not usethosefortradingorspeculationpurposes. risk orcosttotheCompanyanddoes foreign exchangeforwardcontractsreducesthe foreign exchangefluctuations.Theuseofthese contracts tohedgeitsexposuremovementsin The Companyusesforeignexchangeforward under foreigncurrencytranslationreserve. The netimpactofsuchchangeisaccumulated assets andliabilitiesareconvertedatclosingrate. expenses aretranslatedataverageratesandthe For thepurposesofconsolidation,incomeand those ofheadoffice. using thesameprinciplesandproceduresas statements ofthesebranchesaretranslated Company areintegralinnatureandthefinancial The operationsofforeignbranchesthe currency translationreserve. foreign operationareaccumulatedina an enterprise'snetinvestmentsinanon-integral a monetaryitemthat,insubstance,formpartof Profit andLoss.Exchangedifferencesarisingon recognised intheConsolidatedStatementof cost andtheexchangegainsorlossesare rate. Non-monetaryitemsarecarriedathistorical Sheet datearerestatedatyearendexchange derivative contracts)outstandingasatBalance Foreign currencymonetaryitems(otherthan rate prevalentonthedateoftransaction. by thecompanyareaccountedatexchange The transactionsinforeignexchangeenteredinto 53 159 Annual Report 2014-15 cyient.com .3Derivativeinstrumentsandhedgeaccounting 2.13 recognised intheStatementof ProfitandLoss. Unrealised gains,ifany,onsuch derivativesarenot dealt withintheStatementof ProfitandLoss. Sheet dateandtheunrealised losses,ifany,are market, whereeverrequired,asattheBalance cash flowhedgingrelationshiparemarkedto Derivative contractsthatarenotdesignatedina Profit andLoss. immediately transferredtotheStatementof recognised in"Hedgingreserveaccount"is expected tooccur,thenetcumulativegainorloss If theforecastedtransactionisnolonger retained untiltheforecastedtransactionoccurs. recognised inthe"Hedgingreserveaccount"is cumulative gainorlossonthehedginginstrument accounting. Forforecastedtransactions,any or exercised,nolongerqualifiesforhedge hedging instrumentexpiresorissold,terminated, Hedge accountingisdiscontinuedwhenthe forecasted transactionaffectsprofitandloss. Loss inthesameperiodsduringwhich are reclassifiedtotheStatementofProfitand accumulated inthe"Hedgingreserveaccount" the StatementofProfitandLoss.Amounts ineffective portionisrecognisedimmediatelyin applicable deferredincometaxesandthe account" underReservesandSurplus,netof recognised directlyinthe"Hedgingreserve effective ashedgesoffuturecashflowsare forward contractsthataredesignatedand Changes infairvalueoftheseforeignexchange stated atthefairvalueeachreportingdate. transactions. Thesederivativecontractsare commitments andhighlyprobableforecast currency fluctuationsrelatingtocertainfirm used tohedgeitsrisksassociatedwithforeign contracts, designatedinahedgingrelationship, issued byICAIinrespectofsuchderivative - RecognitionandMeasurement"(AS-30)as in AccountingStandard30"FinancialInstruments applying thehedgeaccountingprinciplessetout contracts inacashflowhedgingrelationshipby The Companydesignatessuchderivative instruments forspeculativepurposes. Company doesnotusederivativefinancial Company's riskmanagementstrategy.The financial derivativesconsistentwiththe by theCompany'spoliciesonuseofsuch foreign exchangeforwardcontractsisgoverned probable forecasttransactions.Theuseof relating tocertainfirmcommitmentsandhighly associated withforeigncurrencyfluctuations contracts (derivativecontracts)tohedgeitsrisks The Companyusesforeignexchangeforward .4Employeebenefits 2.14 entitlement. TheGroupmeasures theexpected renders theservicesthat increasethis absences intheperiodwhich theemployee Group recordsanobligation forcompensated unutilised accruedcompensatedabsence.The retirement orterminationofemploymentforthe periods orreceivecashcompensationat compensated absenceandutiliseitinfuture carry-forward aportionoftheunutilisedaccrued compensated absences.Theemployeescan The employeesoftheGroupareentitledto Compensated absences and Lossintheperiodwhichtheyoccur. losses arerecognisedintheStatementofProfit projected unitcreditmethod.Actuarialgainsand actuary asatthebalancesheetdatebasedon actuarial valuationmadebyanindependent accounts foritsliabilitytowardsGratuitybasedon benefits intheformofgratuity.TheCompany The Companyalsoprovidesforotherretirement Defined benefitplans Enterprises AmericaInc.). Directors ofCyientInc.,(formerlyInfotech the CompanyisatdiscretionofBoard plan isanexternalagency.Thecontributionfrom Enterprises AmericaInc.)whilethetrusteefor administered byCyientInc.(formerlyInfotech to allofitseligibleemployees.Theplanis Enterprises AmericaInc.)401(K)RetirementPlan benefit throughtheCyientInc.(formerlyInfotech America Inc.)providesadefinedcontributionplan Cyient Inc.(formerlyInfotechEnterprises rendered bytheemployees. required tobemadeandwhenserviceare an expensebasedontheamountofcontribution Insurance CorporationofIndiaandarechargedas to afundadministeredandmanagedbytheLife which isadefinedcontributionscheme,aremade Contributions underthesuperannuationplan when servicearerenderedbytheemployees. amount ofcontributionrequiredtobemadeand India andarechargedasanexpensebasedonthe administered andmanagedbytheGovernmentof contribution schemes,aremadetoafund Fund andPensionwhicharedefined Contributions inrespectofEmployeesProvident Defined contributionplans absences. scheme, gratuityfundandcompensated superannuation fund,employee'sstateinsurance Employee benefitsincludeprovidendfund, 53 160 Annual Report 2014-15 cyient.com .5TaxesonIncome 2.15 normal incometaxduringthe specified period.In convincing evidencethatthe Companywillpay as anassetonlywhenandto the extentthereis Minimum AlternateTax(MAT)credit isrecognised MAT credit date fortheirrealisability. tax assetsarereviewedateachbalancesheet legally enforceablerightforsuchsetoff.Deferred same governingtaxlawsandtheCompanyhasa items relatetotaxesonincomeleviedbythe Deferred taxassetsandliabilitiesareoffsetifsuch income willbeavailabletorealisetheassets. certainty existsthatsufficientfuturetaxable losses onlytotheextentthatreasonable unabsorbed depreciationandcarryforward for timingdifferencesofitemsotherthan differences. Deferredtaxassetsarerecognised Deferred taxliabilitiesarerecognisedforalltiming substantively enactedasatthereportingdate. using thetaxratesandlawsenactedor subsequent periods.Deferredtaxismeasured period andarecapableofreversalinoneormore and theaccountingincomethatoriginateinone being thedifferencebetweentaxableincome Deferred taxisrecognisedontimingdifference, deferred tax. expense forayearcomprisesofcurrenttaxand considering taxallowancesandexemptions.Tax annually, basedontaxliabilitycomputed,after regulations. Aprovisionismadeforincometax is calculatedinaccordancewiththerelevanttax For subsidiariesthecurrentchargeforincometax domiciled. applicable incountrieswheresuchoperationsare is determinedinaccordancewithtaxlaws 1961. Taxexpenserelatingtoforeignoperations rates andtheprovisionsofIncomeTaxAct, determined inaccordancewiththeapplicable jurisdictions. IncometaxpayableinIndiais on incomefromoperationsinIndiaandforeign Current incometaxexpensecomprisesoftaxes employee rendersservice. are recognisedduringtheperiodwhen exchange fortheservicesrenderedbyemployees performance incentivesexpectedtobepaidin overseas socialsecuritycontributionsand Other short-termemployeebenefits,including Other short-termemployeebenefits method. the balancesheetdateonprojectedunitcredit valuation madebyanindependentactuaryasat cost ofcompensatedabsencebasedonactuarial .8Earningspershare(EPS) 2.18 WarrantyCosts 2.17 Leases 2.16 and liabilityonnetbasis. jurisdiction andtheintentionistosettleasset income taxprovisionarisinginthesame Sheet afteroff-settingadvancetaxpaidand taxes arepresentedintheConsolidatedBalance Advance taxesandprovisionsforcurrentincome normal incometaxduringthespecifiedperiod. evidence totheeffectthatCompanywillpay to theextentthereisnolongerconvincing the carryingamountofMATCreditEntitlement same ateachBalanceSheetdateandwritesdown Credit Entitlement'.TheCompanyreviewsthe Statement ofProfitandLossshownas'MAT is createdbywayofacredittotheConsolidated Alternate Tax,issuedbytheICAI,saidasset Accounting forCreditAvailableunderMinimum the provisionscontainedinGuidanceNoteon to berecognisedasanasset,inaccordancewith the yearinwhichMATcreditbecomeseligible weighted averagenumber of equityshares effect ofextraordinaryitems, ifany)bythe the profit/(loss)aftertax(including thepost-tax Basic earningspershareiscomputed bydividing as andwhenrequired. are reviewedperiodicallyandrevisionsmade estimates usedforaccountingwarrantycosts Consolidated StatementofProfitandLoss.The recognition ofrevenueandisincludedinthe respect ofwarrantycostsintheyear Provision ismadefortheestimatedliabilityin technical evaluationandpastexperienceofcosts. estimated bytheManagementonbasisof Post-sales clientsupportandwarrantycostsare WheretheCompanyislessor- (b) WheretheCompanyislessee- (a) in thestatementofProfitandLoss. depreciation, arerecognisedasanexpense Loss overtheleaseperiod.Costs,including recognised inthestatementofProfitand incurred infixedassets.Leaseincomeis Assets subjecttooperatingleasesare term. Loss onastraight-linebasisoverthelease recognised intheStatementofProfitand rentals underoperatingleasesare recognised asoperatingleases.Lease substantially vestwiththelessor,are rewards incidentaltoownershipofanasset Lease arrangementswheretherisksand 53 161 Annual Report 2014-15 cyient.com .0Provisi 2.20 Associates 2.19 A provisionisrecognisedwhen theGrouphasa Contingent Assets Profit andLoss. to bechargedtheConsolidatedStatementof granted asabovethereisnocompensationcost value methodandconsideringthatalloptionsare employee stockoptionschemeusingtheintrinsic measures compensationcostrelatingto on thesaiddateisconsidered.TheCompany exchange wherethereishighesttradingvolume more thanonestockexchange,thenthe Company arelisted.Iftheshareslistedon on thestockexchangewhichsharesof in whichoptionsaregranted/sharesissued, the dateofmeetingBoardDirectors equals thelatestavailableclosingprice,priorto Guidelines fromtimetotime.i.e.marketprice is themarketpriceasdefinedinSEBI The exercisepriceundertheaforesaidschemes payments, issuedbyICAI. Accounting forEmployeeShare-Based Board ofIndiaandtheGuidancenoteon 1999, asamended,issuedbySecuritiesExchange Employee StockPurchaseScheme)Guidelines SEBI (EmployeeStockOptionSchemeand per theaccountingtreatmentprescribedunder established afterJune19,1999areevaluatedas Company undervariousStockOptionSchemes Stock optionsgrantedtotheassociatesof share splitsandbonusshares,asappropriate. equity sharesareadjustedforsharesplits/reverse The numberofequitysharesandpotentiallydilutive independently foreachperiodpresented. potential equitysharesaredetermined value oftheoutstandingshares).Dilutive actually issuedatfairvalue(i.e.averagemarket the proceedsreceivablehadsharesbeen dilutive potentialequitysharesareadjustedfor unless theyhavebeenissuedatalaterdate.The converted asatthebeginningofperiod, Dilutive potentialequitysharesaredeemed conversion ofalldilutivepotentialequityshares. equity shareswhichcouldhavebeenissuedonthe share andalsotheweightedaveragenumberof shares consideredforderivingbasicearningsper shares, bytheweightedaveragenumberofequity or incomerelatingtothedilutivepotentialequity dividend, interestandotherchargestoexpense extra ordinaryitems,ifany)asadjustedfor after tax(includingthepost-taxeffectofany share iscomputedbydividingtheprofit/(loss) outstanding duringtheyear.Dilutedearningsper ons, Contingentliabilities and Stock Options .4OperatingCycle 2.24 BorrowingCosts 2.23 Servicetaxinputcredit 2.22 Cashandcashequivalents(forthepurposeof 2.21 assets andliabilitiesascurrent andnon-current. 12 monthsforthepurposeof classificationof the grouphasdeterminedits operatingcycleas and theirrealisationincashor cashequivalents, the normaltimebetweenacquisition ofassets Based onthenatureofactivitiesgroupand of suchassetisaddedtothecostassets. of qualifyingassetsuptothedatecapitalisation occur. Borrowingcosts,allocatedtoacquisition Statement ofprofitandlossintheperiodthey acquisition ofqualifyingassetsarechargedtothe to theextentnotdirectlyrelated Costs inconnectionwiththeborrowingoffunds uncertainty inavailing/utilisingthecredits. rendered isaccountedandwhenthereno books intheperiodwhichunderlyingservice Service taxinputcreditisaccountedforinthe on theavailableinformation. activities ofthecompanyaresegregatedbased cash flowsfromoperating,investingandfinancing of pastorfuturecashreceiptspayments.The of non-cashnatureandanydeferralsoraccruals and taxisadjustedfortheeffectsoftransaction whereby profit/(loss)beforeextraordinaryitems Cash flowsarereportedusingindirectmethod, of changesinvalue. cash equivalentsaresubjecttoinsignificantrisk the dateofpurchase,tobecashequivalents.Such original maturitiesofthreemonthsorlessfrom which arereadilyconvertibleintocashandhave considers allhighlyliquidfinancialinstruments, demand depositswithbanks.TheCompany Cash comprisescashonhand,inbankand Consolidated CashFlowStatement) in theconsolidatedfinancialstatements. the Notes.Contingentassetsarenotrecognised estimates. Contingentliabilitiesaredisclosedin and adjustedtoreflectthecurrentbest These arereviewedateachbalancesheetdate settle theobligationatbalancesheetdate. determined basedonbestestimaterequiredto discounted toitspresentvalueandare (excluding retirementbenefits)arenot which reliableestimatecanbemade.Provisions required tosettletheobligation,inrespectof is probablethatanoutflowofresourceswillbe present obligationasaresultofpasteventandit 53 162 Annual Report 2014-15 cyient.com .Sharecapital 3. Note .Reconciliationofthenumbersharesandamountoutstandingatbeginningendyear: a. Notes: Equity sharesof Authorised capital: .Detailsofsharesheldbyeachshareholderholdingmorethan5%equity: c. Rights,preferencesandrestrictionsattachedtoequityshares: b. Equitysharesof paid-up capital: Issued andsubscribedfully opn iie Company Limited ICICI PrudentialLifeInsurance aedrIvsmnsLmtd4,732,101 Lavender InvestmentsLimited uhrta ,4,0 5. 6,541,200 11,099,416 B Sucharitha First CarlyleVenturesMauritius 1,808,230 Carrier InternationalMauritiusLimited BVR MohanReddy 361,646 558,014,835 Name oftheshareholder 1,982,260 111,602,967 559,823,065 396,452 equity shareholdersareeligibletoreceivetheremainingassetsofCompanyinproportiontheirshareholding. 111,964,613 shareholders intheensuingAnnualGeneralMeeting,exceptcaseofinterimdividend.Ineventliquidation, entitled toonevotepershare.ThedividendproposedbytheBoardofDirectorsissubjectapproval The Companyhasonlyoneclassofequityshareshavingaparvalue Closing balance exercise ofstockoptions Equity sharesallottedpursuantto balance Opening Equity shares Particulars ` ` 5ec 200000270,000,000 5each 5 each 112,361,065 5each hrshl sharesheld shares held 123105 6,0,2 119463559,823,065 111,964,613 561,805,325 112,361,065 ubro Amount in Number of Amount in Number of ubro ubro % Numberof % Number of 1,9,6 29% 4573613.04% 14,597,366 12.99% 14,597,366 522901.1 1,9,6 13.66% 15,292,960 13.61% 15,292,960 sa ac 1 05AsatMarch31,2014 As atMarch31,2015 sa ac 1 05AsatMarch31,2014 As atMarch31,2015 ,9,7 .8 589785.27% 5,899,708 4.18% 4,694,674 hrsshares shares shares shares ac 1 05AsatMarch31,2014 2015 31, March sa Asat As at 1,350,000, ,5,0,0 270,000,000 1,350,000,000 561, 561,805,325 805,325 .1 4.21% .8 9.88% ` 5pershare.Eachholderofequitysharesis 2 82% 0 1,350,000,000 000 ` ` 1,6,1 559,823,065 111,964,613 ubro Amount in Number of Amount in Number of 109469.91% 11,099,416 ,5,0 5.67% 6,350,000 ,4,0 5.84% 6,541,200 1,350,000,000 (Amount in 559,823,065 ` ` ` ) 53 163 Annual Report 2014-15 cyient.com .Detailsofsharesreservedforissue: f. .DetailsofsharesallottedunderAssociateStockOptionPlans(ReferNote46.1) e. Aggregatenumberandclassofsharesallottedasfullypaidupbywaybonusduring5yearsimmediately d. for issueunderAssociateStockOptions(ReferNote46.1). For detailsofsharesaggregating637,383and956,144asatMarch31,20152014respectively,reserved 685,259(AsatMarch31,2014-288,807)equity sharesof (v) 3,296,545(AsatMarch31,2014-3,296,545)equitysharesof (iv) (As atMarch31,2014-2,123,507)equitysharesof 2,123,507 (iii) (ii) 1,650,630 (As at March 31, 2014 - 1,650,630) equity sharesof (As atMarch31,2014-1,650,630) 1,650,630 (ii) 80,900(AsatMarch31,2014-80,900)equitysharesof (i) (Refer Note4 bonus sharesbycapitalisingfreereservesoftheCompanyduring5yearsimmediatelypreceedingsaiddates As atMarch31,2015-55,552,348(March201455,552,348)equitysharesof preceding theBalanceSheetdate: Company pursuanttotheAssociateStockOptionPlan-2008(ASOP2008) the CompanypursuanttoAssociateStockOptionPlan-2004(ASOP2004) the CompanypursuanttoAssociateStockOptionPlan-2002(ASOP2002) the CompanypursuanttoAssociateStockOptionPlan-2001(ASOP2001) pursuant totheInfotechEmployeeStockOfferScheme-1999(ESOP1999) 6.2). ` 10 eachfullypaid-upwasallotedtoInfotechESOPtrust ` 5 eachfullypaid-upwasallottedtoassociatesofthe ` ` ` 5 eachfullypaid-upwas allottedtoassociatesof 5 eachfullypaid-upwasallottedtoassociatesof 5 eachfullypaid-upwasallottedtoassociatesof ` 5eachasfullypaid-upbywayof 53 164 Annual Report 2014-15 cyient.com 4. Reserves andSurplus Reserves 4. Note: )SurplusinConsolidatedstatement e) Contingencyreserve d) )Securitiespremiumaccount a) )Generalreserve b) )Hedgingreserve(ReferNote33) c) )Capitalreserve g) Currencytranslationreserve f) i)TheBoardofDirectorsatitsmeetingheldonApril23, 2015,haverecommendedafinaldividendof (ii) Theamountrepresentsshareoflossattributable toMinorityInterestonconsolidationofasubsidiaryasabsorbedbythe Co (i) Balance at the end of the year - 161,000,000 - 207,993,639 4,153,640,704 161,000,000 459,585,048 5,972,309,590 Less: Depreciationontransitionto Balance atthebeginningofyear of ProfitandLoss 161,000,000 Balance attheendofyear Less: Transferredtogeneralreserve Balance atthebeginningofyear Balance attheendofyear Balance at the beginning of the year 3,744,508,666 3,691,644,410 3,744,508,666 Premiumonsharesissued Add: Balanceatthebeginningofyear Balance at the beginning of the year 4,780,292,065 4,525,292,065 4,780,292,065 Transferredfromsurplusin Add: Balance atthebeginningofyear Balance attheendof Consolidated StatementofProfitandLoss eev RfrNt 1 110000- 4,780,292,065 33,660,779 5,158,392,065 161,000,000 207,993,639 Changesinthefairvalueof Add: Balance atthebeginningofyear Balance attheendofyear Reserve (ReferNote51) Transferred fromContingency subject toshareholders'approval intheAnnualGeneralMeeting. Less: OA 788761015,323,444,457 17,878,786,170 454,726,230 5,972,309,590 267,576,052 95,660,557 359,065,673 8,180,960,195 TOTAL 454,726,230 (187,150,178) Balance attheendofyear Additions/(deletions) duringtheyear Balance atthebeginningofyear Balance attheendofyear es nei iied 3,9,6 223,366,738 - 336,397,269 3, Less: InterimDividend Appropriations: 23,904,059 Less: ShareoflossMinorityInterest Profitfortheyear Add: RfrNt 1 110000- 161,000,000 with Nilremainingusefullife Act, 2013ontangiblefixedassets Schedule IIoftheCompanies (Refer Note51) during theyear cashflow hedges(net) effective portionofoutstanding (Refer Note(ii)below) to equityshareholders Dividend proposedtobedistributed (Net ofdeferredtax)(ReferNote53) transactions duringtheyear(net) occurrence offorecastedhedge Statement ofProfitandLosson Transfer togeneralreserve Residual Divi 2012-13 (2013-14- received fromsubsidiariesfor to dividendtaxcrediton Tax ondividend[Netof mutaalbefraporain9, Amount availableforappropriation (Refer Note(i)below) LossestransferredtoConsolidated dend Tax er3,809, year ` 4,1,1) 12185327,004,357 172,198,503 47,417,311)] `

Nil relating (207,993,639) 271000255,000,000 217,100,000 3,3,1 2,660,020,403 469,052,010 532,036,414 5,8,4 459,585,048 6,0,2 561,805,325 1,0,0 217,100,000 1,8,3 - 11,389,934 5198765,149,877 9,1 86,583 590,719 ac 1 05March31,2014 March 31,2015 sa Asat As at 2,614,267 5,4 3,744,508,666 658,543 6,813,661,107 (33,660,779) 207,993,639 335,893,839 255,000,000 52,864,256 ` 5eachpershare,whichis (Amount in 2,614,267 mpany. ` ) 53 165 Annual Report 2014-15 cyient.com .Long-termborrowings* 5. .Long-termliabilities 6. *Current maturitiesonlong-termborrowinghavebeendisclosedundertheheadOthercurrentliabilities(ReferNote10). OA ,4,2 - - 3,143,422 3,143,422 TOTAL Security Deposits - 466,774,083 TermsofRepayment (ii) NatureofSecurity- (i) Term Loans ofRangsonsElectronicsPrivateLimited: 5.1 TOTAL Term Loans . TermLoanofCyientInc.(formerlyInfotechEnterprisesAmericaInc.) 5.2 Limilted (formerlyInfotechEnterprisesLtd). by astandbyletterofcreditfromHSBCBank,Indiawhichin turn,issecuredbyacorporateguranteefromCyient charges payableonthistermloanhasbeenfixedat2.2825% perannum.ThisloanfromHSBCBank,USAissecured SWAP agreementwithHSBCBanktoconvertthefloatingrate intoafixedrate.Accordingly,theinterestandswap cover thefluctuationsinLIBOR,CyientInc.(formerlyInfotech EnterprisesAmericaInc.)hasenteredintoanInterest b. a. Guarantees:PersonalguaranteeofthreeDirectorstheSubsidiaryCompany. Collaterals:HypothecationonPlantandMachineryotherEquipments/Assets. iii. PrimaryCharge:Hypothecationover assetsacquiredoutofTermLoan. ii. i. Term LoansareborrowedfromStateBankofMysoreandsecuredby- Nature ofSecurity&TermsRepayment: Unsecured Secured Cyient Incavailedatermloanof c. monthly.Amount outstandingasonMarch31,2015 in quarterlyinstallmentsoveraperiodof4years.InterestRateonthetermLoanisLIBOR+1.25%p.apayable Rate ofinterest3.00%p.a.aboveBaseRate.OutstandingbalanceasatMarch31,2015is Repayable in48monthlyvariableinstallmentscommencingfromMay2011.LastinstallmentdueApril2015. Rate ofinterest3.00%p.a.aboveBaseRate.OutstandingbalanceasatMarch31,2015is Repayable in60monthlyvariableinstallmentscommencingfromMay2013.LastinstallmentdueApril2018. Term Loan- Term Loanof (Refer note5.2below) From otherparties From Banks(Refernote5.1below) Rate ofinterest3.00%p.a.aboveBaseRate.OutstandingbalanceasatMarch31,2015is Repayable in60monthlyinstallmentscommencingfromNovember2014.LastinstallmentdueNov2019. Term Loan- ` ` ` 55,000,000 90,000,000 60,000,000 ` 601,000,000(USD10,000,000)takenfromHSBCBankonApril1,2014repayable ac 1 05March31,2014 March 31,2015 ac 1 05March31,2014 March 31,2015 ` 508,543,750(USD8,125,000)(March31,2014: sa Asat As at sa Asat As at 3,6,5 - 434,368,750 24533- 32,405,333 ` ` ` 1,523,731 34,300,000 84,000,000 (Amount in (Amount in ` NIL).To ` ` ) ) 53 166 Annual Report 2014-15 cyient.com .Short-termborrowings 8. Long-termProvisions 7. . UnsecuredLoanofRangaonsElectronicsPrivateLimited: 8.3 8.2 Loan of Cyient Inc. (formerly InfotechEnterprisesAmericaInc.): Loan ofCyientInc. 8.2 8.1 (b)WorkingCapitalfacilityofCyientGmbH(formerlyInfotech EnterprisesGmbH): 812, HDFCBank: (ii) 582, StateBank ofMysore: (i) 8.1 (a)WorkingCapitalLoanofRangonsElectronicsPrivateLimited TOTAL Unsecured Secured TOTAL (Refer Note36.2(ii)) Provision forcompensatedabsences Provision forgratuity(net)( Provision foremployeebenefits Interest freeLoanfromDirectors oftheSubsidiaryCompanyisrepayableonorbeforeJuly 31,2015 (formerly InfotechEnterprisesLtd). by acorporateguaranteefrom CyientLimited ended March31,2014.Thisloan issecuredbyastandletterofcreditfromCitiBankIndia whichinturnissecured 31, 2015underalineofcreditarrangedwithCitiBankNAand nosuchloanswereborrowedduringthepreviousyear agrregating During thecurrentfinancialyearCyientInc.(formerlyInfotech EnterprisesAmericaInc.)borrowedShorttermloans Ltd). HSBC Indiawhichinturnissecuredbyacorporateguarantee fromCyientLimited(formerlyInfotechEnterprises Working CapitalFacilityoutstandingasonMarch31,2015is Guarantees:PersonalguaranteeofthreeDirectorsthesubsidiaryCompany. ii. PrimaryCharge:HypothecationbywayoffirstPari Passu chargeoncurrentassetsoftheCompanywith 58,179,244 i. Nature ofSecurity: Loan outstandingbalanceasonMarch31,2015is Guarantees:PersonalguaranteeofthreeDirectorstheSubsidiaryCompany. iii. Collaterals:HypothecationofPlantandMachineryequipments/assets. ii. 769,372,061 PrimaryCharge:Hypothecationover stocksofrawmaterials,work-in-progress,finishedgoods,packing i. Nature ofSecurity: Loan outstandingbalanceasonMarch31,2015is (Refer note8.3below) from otherparties (Refer note8.1below) Working capitalloans State BankofMysore. materials, bookdebts,exportreceivablesandassignmentofbills. ` 1,054,665,000(USD17,250,000)andrepaidthesamebefore theendoffinancialyearendedMarch Refer Note36.2(i)) 334047208,634,409 258,953,296 323,400,417 ` ` ac 1 05March31,2014 March 31,2015 March31,2014 March 31,2015 168,570,591 599,807,958 sa Asat As at Asat As at ` 993,512securedbyastandletterofcreditfrom 8,5,1 7,8,7 381,714,687 173,080,278 582,353,713 35928- 43,519,238 9,9 58,179,244 891,299 353,713 (Amount in (Amount in 381,714,687 ` ` ) ) 53 167 Annual Report 2014-15 cyient.com 0 Othercurrentliabilities 10. Tradepayables 9. 1 Short-termprovisions 11. OA ,9,2,1 [Net ofadvance Provision fortaxation 1,597,720,011 Provision -others: 77,502,317 - - 4,247,197 Provision foremployeebenefits 1,74 695,651,713 Note: TherearenoamountsdueandoutstandingtobecreditedInvestorEducationProtectionFund 7,031,045 1,944,855 2,753,561,257 TOTAL 193,998,731 Other payables Interest AccruedbutnotdueonBorrowings Unclaimed dividends(Refernotebelow) Unearned revenue Current maturitiesoflong-termdebt TOTAL Other thanacceptances(Refernote32) TOTAL (As atMarch31,2014: qiydvdn 15077757,085,158 115,027,787 4,097,989 335,893,839 64,069,990 180,101,796 116,031,806 561,805,325 5,578,782 8,678,801 157,641,592 145,834,118 11,807,474 equity dividend Provision fortaxonproposed 17,577,779 Provision forproposedequitydividend Provision forwarranty(ReferNote45) 4,802,777 (Refer Note 36.2(ii)) 61,495,847 72,547,328 Provision forcompensatedabsences (Refer Note36.2(i)) Provision forgratuity(net) 141,045,330 35,786,908 3,232,386 - Otherliabilities - Advancefromcustomers - Payablesonpurchaseoffixedassets - DerivativeLiability(ReferNote33.1) Statutory remittancesandothers(net) - ` 1,668,309,906 ` 1,656,991,684)] ac 1 05March31,2014 March 31,2015 March31,2014 March 31,2015 ac 1 05March31,2014 March 31,2015 sa Asat Asat As at As at sa Asat As at 2,753,561,257 5,6,6 712,732,848 955,769,664 1,1,7 115,716,178 1,2,6 477,159,848 514,226,266 1,745,131,992 (Amount in (Amount in (Amount in 719,209,117 135,554,066 5,131,992 ` ` ` ) ) ) 53 168 Annual Report 2014-15 cyient.com

12. FIXED ASSETS (Amount in `) GROSS BLOCK ACCUMULATED DEPRECIATION/AMORTISATION NET BLOCK

DESCRIPTION As at Acquisitions Additions Deletions/ Translation Balance As at Acquisitions Other adjustments/ For the Deletions/ Translation Balance As at As at April 1, 2014 through business during the year Adjustments exchange March 31, 2015 April 1, 2014 through business Transition adjustment year Adjustments exchange March 31, 2015 March 31, 2015 March 31, 2014 combination difference combination recorded against Surplus difference (Refer Note 35) (Refer Note 35) balance in Statement of Profit and Loss (Refer Note 53) A. Tangible Assets a. Land – Freehold (Refer Note (i) below) 15,571,954 – – – – 15,571,954 – – – – – – – 15,571,954 15,571,954 (15,571,954) (–) (–) (–) (–) (15,571,954) (–) (–) (–) (–) (–) (–) (–) (15,571,954) (15,571,954) – Leasehold (Refer Note (ii) below) 149,219,020 – – – – 149,219,020 31,573,969 – – 4,433,528 – – 36,007,497 113,211,523 117,645,051 (149,219,020) (–) (–) (–) (–) (149,219,020) (27,140,441) (–) (–) (4,433,528) (–) (–) (31,573,969) (117,645,051) (122,078,579) b. Buildings (Refer Note (iii) below) 1,877,457,204 – 69,726,362 2,245,035 – 1,944,938,531 353,361,762 – – 67,118,763 1,121,010 – 419,359,515 1,525,579,016 1,524,095,442 (1,840,085,137) (–) (37,372,067) (–) (–) (1,877,457,204) (284,287,459) (–) (–) (69,074,303) (–) (–) (353,361,762) (1,524,095,442) (1,555,797,678) c. Leasehold improvements 103,495,862 10,113,579 4,410,705 – 3,587,045 121,607,191 55,379,877 2,921,145 – 22,131,487 – 2,477,433 82,909,942 38,697,249 48,115,985 (97,618,929) (–) (704,046) (4,362,790) (9,535,677) (103,495,862) (46,950,946) (–) (–) (8,714,260) (4,362,790) (4,077,461) (55,379,877) (48,115,985) (50,667,983) d. Computers 1,643,611,327 28,263,070 136,032,187 24,101,007 726,469 1,784,532,046 1,410,711,551 21,562,551 – 129,600,178 13,448,550 1,141,243 1,549,566,973 234,965,073 232,899,776 (1,605,288,805) (–) (74,756,219) (53,747,637) (17,313,940) (1,643,611,327) (1,265,624,770) (–) (–) (183,416,894) (53,634,429) (15,304,316) (1,410,711,551) (232,899,776) (339,664,035) e. Plant and equipment 761,391,911 433,901,500 90,916,231 4,245,739 – 1,281,963,903 392,025,331 212,598,232 – 65,414,828 2,404,764 – 667,633,627 614,330,276 369,366,580 (707,890,785) (–) (55,605,767) (2,104,641) (–) (761,391,911) (327,663,268) (–) (–) (66,305,703) (1,943,640) (–) (392,025,331) (369,366,580) (380,227,517) f. Office equipment 439,992,620 14,716,553 65,299,823 (998,653) 1,104,736 522,112,385 288,642,634 5,731,779 17,106,060 52,614,473 (3,369,691) 3,289,384 370,754,021 151,358,364 151,349,986 (380,776,163) (–) (39,252,804) (4,456,001) (24,419,654) (439,992,620) (246,810,635) (–) (–) (24,767,681) (3,217,685) (20,282,003) (288,642,634) (151,349,986) (133,965,528) g. Furniture and fixtures* 431,552,587 55,740,603 46,877,592 4,244,722 1,338,424 531,264,484 239,985,271 17,751,593 – 48,649,269 4,238,658 1,164,071 303,311,546 227,952,938 191,567,316 (362,482,023) (–) (81,264,971) (19,764,102) (7,569,695) (431,552,587) (214,128,535) (–) (–) (38,464,222) (17,896,742) (5,289,256) (239,985,271) (191,567,316) (148,353,488) h. Electrical installations 398,580,281 19,727,196 21,491,836 326,709 153,576 439,626,180 185,278,306 7,963,999 – 36,884,991 318,103 49,555 229,858,748 209,767,432 213,301,975 (363,821,919) (–) (39,980,085) (5,543,355) (321,632) (398,580,281) (150,023,253) (–) (–) (38,340,636) (3,112,108) (26,525) (185,278,306) (213,301,975) (213,798,666) i. Vehicles 7,973,105 268,997 7,995,608 980,942 504 15,257,272 4,683,497 249,880 – 1,007,050 980,438 – 4,959,989 10,297,283 3,289,608 (13,371,099) (–) (–) (5,397,994) (–) (7,973,105) (8,520,021) (–) (–) (1,561,470) (5,397,994) (–) (4,683,497) (3,289,608) (4,851,078) j. Tools and Equipment – 48,127,071 816,092 883,028 – 48,060,135 – 32,756,025 – 1,254,752 572,248 – 33,438,529 14,621,606 – (–) (–) (–) (–) (–) (–) (–) (–) (–) (–) (–) (–) (–) (–) (–) k. Borewell – 150,813 – – – 150,813 – 127,999 – 22,814 – – 150,813 – – (–) (–) (–) (–) (–) (–) (–) (–) (–) (–) (–) (–) (–) (–) (–) TOTAL 5,828,845,871 611,009,382 443,566,436 36,028,529 6,910,754 6,854,303,914 2,961,642,198 301,663,203 17,106,060 429,132,133 19,714,080 8,121,686 3,697,951,200 3,156,352,714 2,867,203,673 (Previous year) (5,536,125,834) (–) (328,935,959) (95,376,520) (59,160,597) (5,828,845,871) (2,571,149,328) – (435,078,697) (89,565,388) (44,979,561) (2,961,642,198) (2,867,203,673) (2,964,976,506) B. Intangible Assets a. Computer software 2,024,867,806 21,194,452 268,621,832 (653,501) 255,050 2,315,592,641 1,600,352,939 18,702,681 – 262,344,984 (125,270) 1,462,260 1,882,988,134 432,604,507 424,514,867 (1,617,032,936) (–) (391,141,773) (563,668) (17,256,765) (2,024,867,806) (1,336,040,591) (–) (–) (250,941,141) (563,668) (13,934,875) (1,600,352,939) (424,514,867) (280,992,345) b. Other intangible assets 122,569,805 – 25,235,482 – – 147,805,287 71,858,825 – 25,235,482 18,059,627 – – 115,153,934 32,651,353 50,710,980 (147,805,287) (–) (–) (25,235,482) (–) (122,569,805) (66,202,580) (–) (–) (30,891,727) (25,235,482) (–) (71,858,825) (50,710,980) (81,602,707) TOTAL 2,147,437,611

21,194,452 293,857,314 (653,501) 255,050 2,463,397,928 1,672,211,764 18,702,681 25,235,482 280,404,611 (125,270) 1,462,260 1,998,142,068 465,255,860 475,225,847 (Previous year) (1,764,838,223) (–) (391,141,773) (25,799,150) (17,256,765) (2,147,437,611) (1,402,243,171) (–) (–) (281,832,868) (25,799,150) (13,934,875) (1,672,211,764) (475,225,847) (362,595,052) Grand Total 7,976,283,482 632,203,834 737,423,750 35,375,028 7,165,804 9,317,701,842 4,633,853,962 320,365,884 42,341,542 709,536,744 19,588,810 9,583,946 5,696,093,268 3,621,608,574 3,342,429,520 Previous year (7,300,964,057) (–) (720,077,732) (121,175,670) (76,417,363) (7,976,283,482) (3,973,392,499) (–) (–) (716,911,565) (115,364,538) (58,914,436) (4,633,853,962) (3,342,429,520) (3,327,571,558)

*Including Interior Work Notes: (i) Includes ` 3,947,700 (31.03.2014: ` 3,947,700) in respect of which land allocation letters have been received, pending completion of legal formalities relating to conveyance. (ii) Includes ` 9,283,720 (31.03.2014: ` 9,283,720) in respect of which land allocation letter has been received, pending completion of legal formalities relating to conveyance. (iii) Includes ` 779,663,326 (31.03.2014: ` 756,531,129) relating to Building constructed on leasehold land. (iv) Figures in brackets relate to the previous year As at As at For the year ended For the year ended March 31, 2015 March 31, 2014 March 31, 2015 March 31, 2014 C. Capital work-in-progress : D. Depreciation and amortisation expense: Construction related contracts 3,408,035 5,475,837 Depreciation and amortisation on Other fixed assets 51,746,044 56,386,341 Tangible assets and Intangible assets 709,536,744 716,911,565 TOTAL 55,154,079 61,862,178 Amortisation of goodwill on consolidation (Refer Note below). 3,238,362 3,071,351 TOTAL 712,775,106 719,982,916 Note: Include

` 167,011 goodwill on acquisition of Infotech Enterprises Information Technology Services GmbH fully amortised on consolidation (Refer Note 35). 53 169 Annual Report 2014-15 cyient.com 3 Non-CurrentInvestments-Trade 13. 4 Longtermloansandadvances 14. )Securitydeposits Capitaladvances, b) a) (Unsecured) InvestmentinAssociateCompany (a) Unquoted Investments b Otherentities (b) )Lasadavne oepoes 39296- 20,220,423 88,120,442 33,902,926 Advanceincometaxes(netof Prepaidexpenses,considered good e) Loansandadvancestoemployees d) c) Aggregate costofunquoted Note: )BalanceswithGovernmentauthorities g) MATcreditentitlement,considered f) Aggregate provisionfordiminution Add :Shareof each fullypaid) (March 31,2014:490sharesof$0.01 490 sharesof$0.01parvaluefullypaid-up Infotech AerospaceServicesInc.,USA OA 7,1,3 525, 675,415,332 TOTAL TrafficmasterPlc,UnitedKingdom (ii) Canesta,Inc(aCaliforniaCorporation) (i) es rvso o obfldpst 1,0,0 176652 6200094,228,408 16,200,000 117,636,512 provisions 16,200,000 Less: Provisionfordoubtfuldeposits od(ee oe4.) ,5,8 1,123,805 2,551,688 Considered good good (ReferNote42.5) oenmn uhrte 4259452,559 452,559 Authorities Governement Considered doubtful-Balanceswith (As atMarch31,2014: OA 1,35 TOTAL - BalanceswithGovernmentAuthorities Less :Provisionforotherdoubtful au fivsmn 65190 0,1 65190107,010 6,551,990 6,659,000 107,010 6,551,990 6,659,000 value ofinvestment Less:Provisionfordiminutionin GBP 1eachfullypaid) (March 31,2014:35,088sharesof each fullypaid-up 35,088 ordinarysharesofGBP1 $ 0.19275eachfullypaid) (March 31,2014:10,000sharesof each fullypaid-up 10,000 sharesof$0.19275parvalue Considered good Considered doubtful ` 2,806,816,516) profit considered good ` netet investments 1836596 418607357,793,378 461,876,077 1,823,605,976) 548518372,785,558 524,835,158 1,3,1 117,636,512 150,374,958 3,3,1 133,836,512 1,2,2 613,222,625 1,7,8 613,675,184 6200016,200,000 5,5 452,559 ac 1 05March31,2014 March 31,2015 ac 1 05March31,2014 March 31,2015 sa Asat As at sa Asat As at 7,1,1 675,210,116 613,222,625 452,559 585,985,132 452,559 613,222,625 675,415,332 41,649,091 6,551,990 8,959,36 9,0 98,206 98,206 1,068,425,022 1 152,049,600 110,428,408 585,985,132 586,437,691 94,228,408 16,200,000 (Amount in (Amount in 525,040,374 524,835,158 9,073,876 6,551,990 040,374 ` ` ) ) 53 170 Annual Report 2014-15 cyient.com Note: 16. Current Investments Current 16. Othernon-currentassets 15. 43,885 (31.03.2014-Nil)Unitsof 3,492,720 (31.03.2014-Nil)Unitsof 39,581 (31.03.2014-Nil)Unitsof 44,999 (31.03.2014-Nil)Unitsof OA 3,7,9 400,359,602 336,076,496 TOTAL 40,611 (31.03.2014-Nil)Unitsof 3,857,933 (31.03.2014-Nil)Unitsof OA ,4,0 2,082,582 Nil (31.03.2014-50,045)Unitsof 1,840,800 Nil (31.03.2014-39,552)Unitsof Nil (31.03.2014-4,707,294)Unitsof Nil (31.03.2014-3,000,000)Unitsof Investment inmutualfunds: (at lowerofcostandfairvalue) investments Quoted trade TOTAL Long-term Deposits,considered (Unsecured) Nil (31.03.2014-50,044)Unitsof Nil (31.03.2014-26,192)Unitsof 40,222 (31.03.2014-40,001)Unitsof 45,191 (31.03.2014-49,973)Unitsof Nil (31.03.2014-44,918)Unitsof grgt oto utdivsmns 3,7,9 400,359,602 401,650,703 336,076,496 336,079,777 Aggregate marketvalueofquoted investments Aggregate costofquotedinvestments lnADiyDvdn-R-netet 50000- 45,000,000 Plan ADailyDividend-Re-investment Baroda PioneerTreasuryAdvantageFund- Option Reinvestment Ultra Short-termFundRegularDailyDividend Reinvestment - Liquid Fund-ExistingPlanSuperInstiDailyDivi iudfn al iiedRivsmn ln 00169- - 40,041,669 Liquid fund-DailyDividendReinvestment Plan 40,239,009 Dividend Reinvestment Liquid Fund-CashPlanDailyDividendOption Liquidity Fund-DailyDividendOption(39) Series 28 - Regular - Growth - 30,000,000 50,068,662 - - Savings Plan-DailyDividendReinvestment 3006 /HDFCCashManagementFund- Series 28-RegularGrowth 6547/ HDFCFMP370DOctober2013(2) Tata Liquid Fund Plan A - Daily Dividend - 50,061,465 50,027,381 50,060,640 50,077,479 - 45,241,872 - - Dividend- (RegularPlan) Money ManagerFund-InvestmentPlanDaily Religare InvescoLiquidFund-DailyDividend Tata LiquidFundPlanA-DailyDividend Liquidity Fund-InstitutionalPlanDailyDividend Institutional Plan-DailyDividendReinvestment Templeton IndiaTreasuryManagementAccountSuper Liquid Fund-TreasuryPlanDailyDividendReinvestment Floating RateFund-DailyDividendReinvestmentPlan `

` ` ` ` ` ` ` ` od180802,082,582 1,840,800 good 1000 eachDSPBlackrock 1000eachL&T 1000eachL&T 1000each 1000each 1000eachTaurus 1000eachReliance 1000eachReliance 1000eachTLSD01 ` ` ` ` 10 each 10 each 10 ` ` 10eachJMHigh 10eachSundaram 1000eachIDFC 1000each ac 1 05March31,2014 March 31,2015 March31,2014 March 31,2015 sa Asat As at Asat As at 50640- - 35,056,430 45,010,820 52642- 45,246,472 0202440,240,224 - 40,040,988 40,012,084 - - (Amount in (Amount in 40,010,903 ` ` ) ) 53 171 Annual Report 2014-15 cyient.com 8 Tradereceivables 18. Inventories(Refernotebelow) 17. 9 Cashandcashequivalents 19. OA ,2,0,3 6,91 6,228,505,537 Accounting Standard-3Cash FlowStatement of cashandequivalentsas per Of theabove,balancesthatmeetdefinition TOTAL OA ,3,5,9 4,79 5,335,859,590 TOTAL hqe nhn -3,597,165 406,511 - 297,085 - Balances withbanks(ReferNote(i)below) Cheques onhand - Cash onhand 606,063,549 40,293,170 12,220,974 were dueforpayment exceeding sixmonthsfromthedatethey Trade receivablesoutstandingforaperiod (Unsecured) Note: TOTAL Consumables &Stores Finished Goods Work-In-Process Raw Materials es Provisi Less: In EEFC accounts 334,722,030 264,603,763 334,722,030 1, (Refer Note(iii)below) In earmarkedaccounts In depositaccounts(ReferNote(i)below) In EEFCaccounts In currentaccounts eitnei rni 3,3,0 123,265,442 39,635,106 Remittance intransit Considered good osdrddutu 192414126,485,153 119,234,124 doubtful Considered Other tradereceivables,consideredgood Inventories arecarriedatthelowerofCostandNetrealisablevalue. Unpaid dividendaccounts (Refer Note(ii)Below) security forbankguarantees Indepositsheldasmarginmoney/ on fordoubtfultraderecei alsvables ,9,7,4 5,299,173,872 3,790,671,247 538,525,967 8,9,8 483,899,683 0,3,0 603,133,807 1,6,9 517,568,796 119,234,124 ,8,0 7,085,306 ac 1 05March31,2014 March 31,2015 March31,2014 March 31,2015 ac 1 05March31,2014 March 31,2015 sa Asat As at Asat As at sa Asat As at 48199974,561,845,235 4,851,959,907 5,703,851,435 6,188,573,346 22,076,852 6,785,435,670 22,076,852 6,188,573,346 3,5,8 - 113,599,323 439,950,082 8,9,8 483,899,683 1,195,330,725 237,948,399 2,8,5 237,948,399 126,485,153 364,433,552 4,250,458 6,886,377,478 (Amount in (Amount in (Amount in 9,793,634 2,704,788 ` ` ` ) ) ) 53 172 Annual Report 2014-15 cyient.com 0 Short-termloansandadvances 20. 1 Othercurrent assets 21. Notes : i)Includesdepositsplacedinlienforcreditfacilitiesavailedbyawhollyownedsubsidary,InfotechGeospatial(India) (ii) ii Depositsinearmarked (iii) i Balanceswithbanksincludedepositsaggregatingto (i) euiydpst,cniee od 9,0 40,000 Less: Provisionfordoubtfulloansandadvances 190,000 Loans andadvancestoemployees Security deposits,consideredgood (Unsecured) OA 18382291,624,840,097 1,180,723,519 1,833,802,279 224,274,284 179,533,248 710,057,850 1,467,084,920 142,443,075 1,362,762,093 TOTAL Others Interest accruedondeposits revenue Unbilled TOTAL rpi xess osdrdgo 676675346,620,413 55,786,538 235,718 617,686,755 58,502,133 235,718 Other loansandadvances Balances withGovernmentauthorities, Derivative asset(ReferNote Prepaid expenses,consideredgood Less: Provisionfordoubtfuldebts (March 31,2014- Pvt. Limitedaggregating the BalanceSheetDate. amounting to equal amountofliabilityisalsorecognisedundertradepayables. Softential Inc.andtobereleasedthepromotersofonfulfillmentSPAtermsconditions.An of thepurchaseconsiderationpaidbyCyientInc.(formerlyInfotechEnterprisesAmericaInc.)towards osdrddutu 2578235,718 55,786,538 235,718 58,502,133 doubtful Considered good Considered osdrdgo 8,1,3 - 86,519,035 Considered good Considered good Considered doubtful ` 1,414,970(March31,2014- ` 601,250). accounts includesamountplacedinEscrow 31 462,817,433 33.1) ` 20,212,938(March31,2014- ` 630,250)whichhaveanoriginalmaturityofmorethan12monthsfrom 3,2,6 137,520,564 137,046,737 8778158,737,851 473,827 137,046,737 473,827 7,2 473,827 ac 1 05March31,2014 March 31,2015 ac 1 05March31,2014 March 31,2015 ` 1,663,581(March31,2014- ` sa Asat As at sa Asat As at 18,531,010)andmarginmoniesamounting ` 62,590,000(March31,2014- ` 54,176,286)andmarginmonies 56,022,256 27,543,759 27,069,932 473,827 473,827 ` Nil)beingpart (Amount in (Amount in 264,583,330 280,540,967 27,069,932 ` 1,414,970 ` ` ) ) 53 173 Annual Report 2014-15 cyient.com 4 Employeebenefitsexpenses 24. Otherincome(net) 23. RevenuefromOperations 22. es:Ecs uy ,7,8 - 22,064,327,615 - 27,359,329,811 5,773,285 22,064,327,615 16,058 27,365,103,096 - 577,607,394 TOTAL Less :Exciseduty Revenue fromOperations(Gross) Other operatingrevenues Sale ofproducts,ManufacturingIncomeandServiceCharges OA ,1,5,3 169,400,578 1,217,657,735 (354,252,590) 389,788,120 23,379,793 110,485,255 Othernon-operatingincomecomprises of: 596,869,391 ii. 489,965,130 18,616,967 112,206,247 Interest incomecomprisesof: i . Note: TOTAL Other non-operatingincome(ReferNote(ii)below) and translations(net)(Refernote33.2) Net gain/(loss)onforeigncurrencytransactions Dividend incomefromcurrentinvestments Interest income(Refernote(i)below) Sale ofservices Ls:Cptlzd 1,8,1)- 591,327,396 164,927,148 (13,287,312) 11,914,640,711 750,303,587 251,880,184 14,626,826,058 858,401,321 292,838,623 934,439,981 Less:Capitalized Staff welfareexpenses Gratuity Social securityandotherbenefitsforoverseasemployees Contributiontoprovidentandotherfunds Salaries andbonus tes ,7,8 786,865 55,747,811 1,341,716 110,485,255 (1,241,474) 389,788,120 - 2,174,787 23,732,404 112,206,247 2,541,159 489,965,130 (652,572) 54,637,202 389,001,255 16,420,497 471,369,846 86,585,256 Total othernon-operatingincome Rental Incomefromoperatinglease (Loss)/Profit onsaleoffixedassets(net) income Miscellaneous Liabilities/provisions nolongerrequiredwrittenback Total interestincome Others Interest onIncometaxrefund Interest frombanksondeposits TOTAL o h ereddFortheyearended For theyearended Fortheyearended For theyearended o h ereddFortheyearended For theyearended ac 1 05March31,2014 March 31,2015 March31,2014 March 31,2015 ac 1 05March31,2014 March 31,2015

26,787,479,644 676080513, 16,756,048,085 22,064,327,615 (Amount in (Amount in (Amount in 677,784,422 61,534,810 ` ` ` ) ) ) 53 174 Annual Report 2014-15 cyient.com 6 Changesininventoriesoffinishedgoods 26. Costofmaterialsconsumed 25. 7 Operating,administrationandotherexpenses 27. e ices)/dces 175624- 167,536,224 Net (increase)/decrease Power and fuel 228,280,674 221,513,438 210,089,011 33,883,718 - 228,280,674 185,660,693 649,157,027 - 80,687,811 40,053,549 1,065,725,932 - 1,647,505,952 3,340,522 90,111,004 1,203,026,108 7,580,656 278,643,023 Repairs andmaintenance 448,413 Advertisement expenses Marketing Power andfuel Printing andstationery 425,477,935 Communication Sub contractingcharges Travelling andconveyance Excise dutyonclosingstockoffinishedgoods(net) Consumables&storesconsumed Insurance Rates andtaxes Factory rent Rent includingleaserentals(ReferNote40) [Refer NoteNo.35(iii)] Stock onAcquisition Stock onAcquisition and work-in-progress d ucae 247506- - 254,735,076 439,950,082 Closing Stock: Less :Closingstock Add :Purchases tes 3740771,969,028 15,347,655 476,544,260 83,764,037 605,421,205 19,789,845 - Others Machinery - Buildings - iihdgos 1,9,2 - - 113,599,323 162,588,970 291, Work-in-progress Finished goods Work-in-progress Finished goods TOTAL [Refer NoteNo.35(iii)] 5,3,4 314877-- - 321,428,717 158,839,747 02310 5,9,9 -- - 153,892,493 40,293,170 o h ereddFortheyearended For theyearended Fortheyearended For theyearended o h ereddFortheyearended For theyearended ac 1 05March31,2014 March 31,2015 March31,2014 March 31,2015 ac 1 05March31,2014 March 31,2015 463319- 476,313,179 8,7,7 159,153,645 188,174,375 2869172,856,971 ,5,5 3,953,000 5,659,556 9,7 - 098,173 (Amount in (Amount in (Amount in 46,372,849 (Contd.) ` ` ` ) ) ) 53 175 Annual Report 2014-15 cyient.com 8 Financialcosts 28. OA 7581113,670,423 57,558,151 TOTAL rih uwrs ,0,6 - 6,136,430,2 261,444,400 39,800,420 41,272,295 114,559,407 269,019,833 2,084,504 2,707,363 41,752,330 44,248,701 308,535,098 32,294,202 819,358 37,380,304 i. Note: TOTAL Miscellaneousexpenses Purchase ofcomputersoftware Training anddevelopment expenses Recruitment Freight Outwards Auditors' remuneration(refernote(i)below) Loss ondiscardoffixedassets Less: Reversalofprovisionfordoubtful Trade receivableswrit Interest Expenseson 1,822,325 435,461,007 - - 494,979,911 35,578,562 Provision fordoubtful Bad debts/advanceswrittenoff Legal &Professionalcharges (Refer Note49) Expenditure forCorporateSocialResponsibility Directors remuneration: For servicesrenderedbyaffiliatesof tes 35417 - 23,534,167 78,261 17,964,293 16,059,691 Others Working Capitaldemandloans Term Loans 5,223,186 4,500,000 4,511,839 7,303,632 Directors sittingfees Non executivedirectorscommission As auditors - statutory audit 23,855,853 22,561,667 23,855,853 Total Auditors'remuneration As auditors-statutoryaudit Subsidiaries For otherservices As auditors-statutory Company Auditors' remuneration(netofservicetax)comprisesof: Reimbursement ofexpenses e f nt 9628510,789,944 89,692,855 ten off(net) et 82,441,827 debts ui 6,500,000 audit et 8,9,5)- - (89,692,855) debts tttr uiosstatutory auditors o h ereddFortheyearended For theyearended o h ereddFortheyearended For theyearended ac 1 05March31,2014 March 31,2015 ac 1 05March31,2014 March 31,2015 37,380,304 3,875,000 2,669,794 479,657 34,284,268,457 53 1,8,4)- (10,789,944) (Amount in (Amount in 32,294,202 32,766,314 13,592,162 5,500,000 3,216,920 700,000 315,615 ` ` ) ) 53 176 Annual Report 2014-15 cyient.com 0 ListofSubsidiaries,AssociateandJointVentureconsideredforConsolidation: 30. 29. .CyientSchweizGmbH(formerlyInfotech 3. .SoftentialInc. 6. .InfotechGeospatial(India)PrivateLimited(IGIL) 9. 0 yetK frel noehEtrrssJpnK)Jpn10 100% InfotechEnterprisesInformationTechnology 16. TechnoToolsPrecision EngineeringPrivateLimited 100% 15. InvatiInsightsLLC 13. CyientInsightsPrivateLimited(formerly Japan 12. InfotechEnterprisesInformationTechnology 11. CyientKK(formerlyInfotechEnterprisesJapanKK) 10. CyientCanadaInc.(formerlyInfotechSoftware 5. CyientInc.,(formerlyInfotech 4. @ Note: Incorporation Extentofholding Extentofholding of Country Name of the Company No. Sl. statutory authoritiesinaligntothenameofparentCompany following subsidiaryCompanieshavechangedtheirnamesuponreceiptofappropriateapprovalsfromrespective Subsequent tochangeinthenameofparentCompanyfromInfotechEnterprisesLimitedCyient 4 RangsonsElectronicsPrivateLimited 14. CyientAB(formerlyInfotechEnterprisesAB) CyientGmbH(formerlyInfotech 8. 7. .CyientBeneluxBV(formerlyInfotech 2. CyientEuropeLimited(formerlyInfotech 1. .InfotechHAL Limited 1. InfotechAerospaceServicesInc. 1. 1 subsidiary wasnotconsideredfor consolidation. is yettocommencecommercialoperations andtherearenofinancialtransactionsfortheyearended March31,2015.Thesaid naiIsgt rvt iie Cyient InsightsPrivateLimited CyientAB KK Cyient CyientGmbH Cyient Schweiz GmbH New Name CyientInc. Cyient Canada Inc. Cyient Benelux BV CyientEuropeLimited Invati InsightsPrivateLimited Infotech EnterprisesJapanKK Infotech EnterprisesAB Infotech EnterprisesGmbH Infotech SoftwareSolutionsCanadaInc. Infotech EnterprisesAmericaInc. Infotech EnterprisesGmbH Infotech EnterprisesBeneluxBV Infotech EnterprisesEuropeLimited Subsidiary Name Limited) Wholly ownedbyCyientLimitedthrough itswhollyownedsubsidiaryCyientEuropeLimited(formerlyInfotech EnterprisesEurope During theyear,Companyincorporated awhollyownedsubsidiary,CyientAustraliaPtyLimited, inAustralia,theCompany Enterprises GmbH) evcsPiaeLmtd(ET)Ida10 100% 100% India Services GmbH(IEITSGmbH) Invati InsightsPrivateLimited) Services PrivateLimited(IEITS) Solutions CanadaInc.) Enterprises AmericaInc.) nepie uoeLmtd . 0%100% 100% U.K Enterprises BeneluxBV) Enterprises EuropeLimited) Subsidiaries Joint Venture Associate @3 @6 @1 @10 @2 @1 @8 @6 Enterprises GmbH) @9 @7 @4 @5 @7 ehrad 0%100% 100% Netherlands wteln 0%100% 100% Switzerland emn 0%100% 100% Germany emn 0%- 100% Germany wdn10 100% 100% Sweden aaa10 100% 100% Canada .. 0%100% 100% U.S.A .. 9 49% 49% - U.S.A 51% U.S.A - 100% U.S.A ni 0 50% 50% - - - India 74% 74% 51% 100% India India India 100% India ac 1 05March31,2014 March 31,2015 % so (%)ason (%) ason 53 177 Annual Report 2014-15 cyient.com 1 ContingentLiabilitiesandCommitments 31. @ 11ContingentLiabilities 31.1 @ @ @ @ @ @ @ @ 10 9 8 7 6 5 4 3 2 Inc. (formerlyInfotechEnterprisesAmericaInc.)(Refernote36) with effectfromApril01,2014,theCompanyacquired100%stakeinSoftentialInc,throughitswholly-ownedsubsidiaryCyient Wholly ownedbyCyientLimitedthroughitswhollysubsidiaryInc.(formerlyInfotechEnterprisesAmericaInc.) Notes: ClaimsagainsttheCompanynotacknowledgedasdebt (i) Particulars group isincludedintherespectiveschedulestheseconsolidatedfinancialstatements.(ReferNote44). liabilities, incomesandexpensesofthejointventureasadjustedforeliminationfromtransactionswithvariouscompaniesin accordance withtheAccountingStandard27"FinancialReportingofInterestsinJointVentures".Cyient'sshareassets, The 50%intheJointVenturei.e.,InfotechHALLimitedhasbeenaccountedforusingproportionateconsolidationmethod for thethreemonthsendedMarch31,2014and2015. statements includeauditedfiguresoftheassociateforyearendedMarch31,2015aftermakingadjustmentsoperatio The Company'sassociateInfotechAerospaceServicesInc.followscalendaryearasitsreportingperiod.consolidatedfinanc commenced commercialoperationsasonMarch31,2015. shareholding inInfotechEnterprisesInformationTechnologyServicesGmbH,GermanyonMarch23,2015,whichhasnotyet Infotech EnterprisesInformationTechnologyServicesPrivateLimited,awhollyownedsubsidiaryoftheCompanyacquired100% 2015 forconvenienceastherewerenomaterialtransactionsbetweenFebruary01,&04,2015.(Refernote35) Tools PrecisionEngineeringPrivateLimited,India),onFebruary04,2015andthesamehasbeenconsolidatedfrom01, The Companyacquired74%shareholdinginRangsonsElectronicsPrivateLimited,India(anditswhollyownedsubsidiary,Techno have beenconsolidatedfromOctober16,2014. the acquisition,InvatiInsightsPrivateLimitedwasrenamedtoCyientLimited.(Refernote35).Theseentitie acquisition, InvatiInsightsPrivateLimitedacquired100%stakeinInsights,LLC,USAonOctober16,2014.Consequentt The Companyacquired51%shareholdinginInvatiInsightsPrivateLimited,IndiaonOctober15,2014.Subsequenttothe renamed asInfotechGeospatial(India)Privatelimited. with effectfromOctober23,2013,InfotechGeospatial(India)LimitedwasconvertedintoaprivatelimitedCompanyand Wholly ownedbyCyientthroughitswhollysubsidiaryGmbH(formerlyInfotechEnterprisesGmbH). i)Guarantees(ReferNote(f) (ii) ii Othermoneyforwhich (iii) .TheCompanyhasdisputedvariousdemandsraised bytheServiceTaxauthoritiesforfinancialyears c. .TheCompanyhasdisputedvariousdemandsraisedbytheSalesTaxauthorities forthefinancialyears b. .TheCompanyandhasdisputed various demands(includingdraftnoticeofdemand)raisedbyIncome a. (Refer Note(a),(b),(c), (Refer Note(g)bel 2014 -NotApplicable.ReferNote 31@7). financial years2011-12.Theaggregate amountofdisputedtaxnotprovidedforis A subsidiaryCompanyhasdisputed servicetaxdemandsraisedbytheServiceTaxauthorities forthe decided initsfavour.Theabove doesnotincludeshowcausenoticesreceivedbytheCompany. ` pending withtheappropriateauthorities.Theaggregateamount ofdisputedtaxnotprovidedforis 2006-07 to2012-13(March31,2014-2006-072012-13). TheCompanyhasfiledappeals,whichare in itsfavour.Theabovedoesnotincludeshowcausenotices receivedbytheCompany. ` pending withtheappropriateauthorities.Theaggregateamount ofdisputedtaxnotprovidedforis 2004-05 to2009-10(March31,2014-2009-10). TheCompanyhasfiledappeals,whichare ` assessment years2008-09to2009-10.Theaggregateamount ofdisputedtaxnotprovidedforis A subsidiaryCompanyhasdisputedincometaxliabilitiesraisedbyIncomeTaxauthoritiesforthe be decidedinitsfavour. for is The ordersarependingatvariousstagesofappeals.aggregateamountdisputedtaxnotprovided Tax authoritiesfortheassessmentyears1997-98to2010-11(March31,2014-2009-10). 172,263,324(March31,2014- 20,096,061(March31,2014- 3,966,320(March31,2014-NotApplicable.ReferNote30 @7). ` 138,351,334(March31,2014- w 3500023,500,000 23,500,000 ow) d,()blw 9,4,5 396,821,168 490,940,457 (d), (e)below) the Groupiscontingentlyliable eo)1,505,387, below) ` 20,096,061).TheCompanyisconfidentthattheseappealswill bedecided ` 172,263,324).TheCompanyisconfidentthattheseappeals willbe ` 204,461,783).TheCompanyisconfidentthattheseappealswill ac 1 05March31,2014 March 31,2015 sa Asat As at 3 1,043,841,250 236 ` 592,349(March31, (Amount in the ` ns ial ) o s 53 178 Annual Report 2014-15 cyient.com 2 Disclosures requiredunderSection22oftheMicro,SmallandMediumEnterprisesDevelopmentAct,2006: 32. 31.3 i)Teaon fitrs u n aal o h er-- - The amountoffurtherinterestdueandpayableeveninthe (vi) Theamountofinterestaccrued andremainingunpaidatthe (v) Theamountofinterestdueandpayablefortheyear (iv) Theamountof (iii) Interestduethereon remainingunpaidtoanysupplierasatthe (ii) i Principalamountremainingunpaidtoanysupplierasat theend (i) 12Commitments 31.2 ii Thecompanyacquired74%of (iii) time orobtainsextensionsasapplicable. 2014. TheManagementisconfidentofmeetingtheseobligations/commitmentswithinthestipulatedperiod The Companyhas/hadcertainoutstandingexportobligations/commitmentsasatMarch31,2015and sa bv r culypi ------es asaboveareactuallypaid succeeding year,untilsuchdate whentheinterestdu end oftheaccountingyear payment madetothesupplierbeyondappointedday end oftheaccountingyear i)Financialsupporttoa (ii) oftheaccounting i Estimatedamountofcontractsremainingtobeexecutedon (i) Particulars Particulars custodian. These balancesharesarecurrentlyplacedinanEscrowaccountwitharegisteredescrowagentasthe option toacquirethebalance26%ofsharecapital,onorbeforesevenyearsfromdateacquisition. (Refer Note35(iii)).AccordingtoconditionsstipulatedintheInvestmentAgreement,Companyhasan Note: Intangible assets Tangible assets capital accountandnotprovidedfor(netofadvances) .Corporateguaranteegiventosubsidiary'sbankersobtainlineofcredit f. DifferentialamountofCustomsDuty(excludinginterest)inasubsidiarycompanyrespectmachinery e. .TheCompanyreceivedanorderduringtheyearfromProvidentFund(PF)authoritiesregardingPF d. .Asubsidiarycompanyhassub-leaseditsleasedfacilitywitheffectfromFebruary1,2015tillJun30,2017, h. TheGroup hascertainobligationstowardsrevenueauthoritiesinasubsidiarycompany.Pendingfurther g. Refer Note30@7). imported undervariousexportpromotionschemes (March 31,2014-Nil). 2014 - Tribunal. Thecompanypaid 13. TheCompanyappealedagainsttheorderandsameispendingbeforeProvidentFundAppellate payment oncertainallowancesgivenbythecompanytoitsemployeesforyears2010-112012- rent totheoriginallandlord. based onatripartiteagreement.Intheeventoftenant'sdefault,companyshallbeliabletopay pertaining topre-acquisitionperiod,hasbeenprovided. the EscrowAgentundersharepurchaseagreementandavailableforadjustmentofanyliabilities evaluation, anamountof Commitmenttowardsintangibleassetsincludesoftwareandrelatedpurchases. interest paidalongwiththeamountsof ` 1,043,841,250).Theamountoutstandingagainstsuchguaranteesis er41180- 4,121,880 year subsidiary Company ` the sharecapitalofRangsonsElectronicsPrivateLimitedonFebruary4,2015 15,916,183,netof ` 5,136,244underprotest,being20%ofthetotaldemand ` 23,500,000retainedinanindemnityescrowaccountby ` 129,989,853.(March31,2014-NotApplicable. ac 1 05March31,2014 March 31,2015 ac 1 05March31,2014 March 31,2015 7,2,4 - 479,323,840 sa Asat As at sa Asat As at 5584782,268,922 41,630,339 25,588,497 60,179,835 ` 1,505,387,236(March31, ` 547,060,987. (Amount in (Amount in ` 25,681,216. ` ` ) ) 53 179 Annual Report 2014-15 cyient.com 3 DerivativeInstrumentsandHedging-Company 33. basis ofinformationcollectedbytheManagement.Thishasbeenrelieduponauditors Dues toMicroandSmallEnterpriseshavebeendeterminedtheextentsuchpartiesidentifiedon 33.1 33.2 ineffective underprinciplesofhedgingAS-30. gain aggregating outstanding contractsasonMarch31,2015,thatweredesignatedandeffectivehedgesofthefuturecashflows, to certainfirmcommitmentsandhighlyprobableforecasttransactions.Accordingly,inrespectofallsuch designated inahedgingrelationship,usedtohedgeitsrisksassociatedwithforeigncurrencyfluctuationsrelating Instruments -RecognitionandMeasurement"(AS-30)asissuedbyICAIinrespectofsuchderivativecontracts, The CompanyhasappliedthehedgeaccountingprinciplessetoutinAccountingStandard-30"Financial The fairvaluesofsuchderivativecontractsoutstandingare: Reserve account(ReferNote4c). of AS-30and U 666000351950Sl Rupees Rupees Rupees Sell Rupees Sell Sell 385,139,500 Sell 255,394,000 - Rupees Rupees 2,099,495,000 6,600,000 5,545,282,580 2,400,000 Rupees Sell Rupees Sell - 24,000,000 85,792,760 16 Sell 403,098,000 12 Sell 253,286,000 ` 22 34 Other incomefortheyearincludes - 2,006,300,000 7,200,000 5,590,020,000 AUD 2,400,000 72,547,328 GBP EURO 24,000,000 No of 3,232,386 85,000,000 USD - 12 12 280,540,967 Currency 12 Outstanding forwardexchangecontractsasonMarch31,2014: 462,817,433 26 AUD GBP EURO No of USD Currency Outstanding forwardexchangecontractsasonMarch31,2015: Non-current Current Particulars 586,511,680 (2013-14-loss ` Nil (2013-14-loss Contracts Contracts ` 459,585,048(net)(March31,2014- ` 487,109,303)towardsgainonsettlementofderivativecontracts underprinciples foreign currency foreign currency ` Nil(2013-14- muti Amount in Amount in Amount in Amount in ` 11,262,449)towardsreversaloflossonderivativecontracts considered ac 1 ac 1 ac 1 March31, March31, March31, March 31, Derivative Asset Derivative Liability Derivative Derivative Asset ` 7,993,550)towardslossonsettlementofderivativecontracts. 0521 052014 2015 2014 2015 ` 207,993,639)hasbeenrecognisedundertheHedging ` ` Buy/Sell Buy/Sell Cross currency Cross currency (Amount in ` ) 53 180 Annual Report 2014-15 cyient.com 33.3 As atMarch31,2015: Company: given below: The year-endforeigncurrencyexposuresthathavenotbeenhedgedbyaderivativeinstrumentorotherwiseare A 2,5)-(29,451) - 365,293 188,774 242,241 - - (29,451) - 3,734,230 - 603,504 (64,858) - (261,869) (350,913) - (45,000) - 614,245 - 287,241 148,279 56,985,586 232,343 (34,205) - 352,170 - - (1,950,844) 40,495 (25,190,869) (646,447) - 541,399 741,966,832 375,845 (21,831) 79,176,160 (7,385) - - - - 4,951,139 - - - 3,056,695 - (12,169) 430,151 - - 6,694,147 (203,924) - 3,338,541 - 268,789 (84,845) (928,276) - - 254,174 3,732,767 - - (7,590) - 186,533 7,750 2,346,661 7,497,865 - (28,576) TWD 31,617,044 398,419 46,761 (1,642,330) (14,100) 10,699 - 33,442,870 SAR 96,310 2,416,382 6,599,031 295,423 3,489,116 SEK 36,027 (264,218) 197,916 - 25,902 9,456,043 CHF 84,486 - 387,659 (2,326,736) 2,326,668 QAR 694,294,714 14,130 564,357 - 237,462 JPY (1,222,852) 22,862,237 544,009 22,633 292,979 - 2,018,484 NZD 6,615,198 6,448,093 35,094 - KRW 1,977,684 (14,100) (71,978) 277,687 5,297,847 SGD - 632,573 (150) MYR (18,194) 31,198 1,425,647 - (95,727) - NOK 48,475 101,128 216,344 EUR - (259,065) 2,186,189 GBP (150) 1,371,818 134,748 (90,862) 1,417,626 USD 496,527 - CAD - - 17,004,679 (191,960) - BND - 36,379,105 (738,210) (54,313) - AUD (618,941) (60,621) 247,080 294,814 (365,666) AED 879,987 (3,017,150) - - (143,053) - 15,501,754 (397,014) 22,511,165 Cash - (531,778) 8,844 - - - 1,416,247 - 8,405,255 Currency 68,089,153 1,074,854 (291,499) 309,339 6,544,474 243,743 5,603,275 (2,518,717) 18,865 - (33,424,138) - - 661,299 3,495,501 311,689 As atMarch31,2014: - 946,811 - 103,918,933 (74,720) - - 224,377 113,075 - - 4,694 - ` - 369,534 - 8,418,279 USD (36,357) TWD 25,902 781,351 (594,243) (19,145) 197,916 77,738 - SGD 78,487 (333,185) SEK 4,299,232 148,832 - (78,509) 10,217 232,096 SAR - - 5,138,253 773,081 1,229,763 QAR 258,912 7,395,526 PHP 253,374 - 2,390 2,642,910 NZD (624,317) - 373,453 798,462 - NOK - (3,303,175) 86,699 MYR 1,191,091 6,794,857 KRW - JPY 7,299 2,394,777 GBP 84,010 105,411 EUR DKK 47,276 2,027,973 CHF CAD BND AUD AED Cash Currency ` Equivalent Equivalent qiaet sesrcialsliabilities receivables assets equivalents liabilities receivables assets equivalents 8,2,6 1944555,941,875 11,924,475 84,321,862 2,6,2 0,4,6 6,1,7 ,5,2,5 382369 2,4,6)3,547,179,835 (23,444,762) (378,223,629) 2,450,529,456 668,512,575 406,840,967 422,965,228 3,994,940,517 (153,559,721) (438,602,471) 2,680,728,893 987,846,690 414,769,779 503,757,347 ahavne urn te aalscretTotal current Payables other current advances Cash Total current Payables other current advances Cash n Loans& and Loans& and Current andNon-current Current andNon-current te Tradeand Other Tradeand Other 300(81,709) 23,000 9,4,3)(6,1,0)(106,776,727) (163,717,008) (95,247,931) - rd Other Trade Other Trade 124,514 - (Amount) (Amount) 53 181 Annual Report 2014-15 cyient.com 4 Disclosurerequiredin termsofclause13.5AChapterXIIIonGuidelinesforpreferentialissue,SEBI 34. (Disclosure andInvestorProtection)Guidelines,2000. urnyR Currency Subsidiaries: G (2) 553 ------619,985,678 (72,723,903) (224,928,171) (5,543) (13,142,042) (370,870,325) (28,108,298) (523,055) (396,788,340) 6,209,183 - 80,926,756 (7,276,101) (24,418,457) 287,452,392 (3,714,282) 5,879,691 (1,183,179) (4,805,100) (413,300) (440,701,885) 8,531,628 18,317,436 636,096,914 (122) of (309,391,707) - (50,795,507) 8,096,805 4,782,917 (1,003,752) 2,724,000 Compulsorilyconvertiblepreferenceshares(CCPS) (170,385,734) (2,718,656) Particulars 529,349 (494,155,670) (7,041,001) (18,877,789) 7,703,123 269,337 (7,821,035) 153,308 (42,748,422) 6,499,309 (6,565,357) 334,284,609 (1,842,823) (7,319,697) (302,241) JPY 1,434,334 (294,253) SGD 434,048,676 - 23,714,557 (164,546) USD 3,675,854 SEK 5,340,795 840,040 NOK GBP EUR 6,429,360 159,459 DKK 369,645 CHF 77,336 AUD USD NOK GBP EUR DKK CHF AUD oa D ,7,7,6 987,522,551 1,178,172,963 (D) 242,522,539 (E)=(C)+(D) (C)= 242,522,539 (B) Short-Term Depositswithvarious banks Total Netbalance,represented by- Balance Net Total 5,750,000 Total Interest accruedbutnotreceived, 508,553,272 Interest receivedoninvestments(Net) Dividend receivedon Sale ofInvestmentin10%stake 5,750,000 Balance Total amountutilised 508,553,272 Investment inRangsonsElectronicsPvtLtd Mercantile BankLimited Repayment ofoutstandingTermLoanwithTamilnadu Investment in10%stake Information TechnologyPrivate Investment inwholly-ownedsubsidiaryTTMInstituteof Investment inwholly-ownedsubsidiaryTTM(India)PrivateLimited Investment inwholly-ownedsubsidiaryCyientInc. Payment offeeforincreasingauthorisedcapital Purchase offixedassets (A) Amounts utilisedoutoftheabove: Total amountreceivedonpreferentialissueofshares share issuedtoCarrierInternationalMauritius Investments inMutual 1,590,219,720 1,590,219,720 1,166,420 equitysharesof share issuedtoGAGlobalInvestmentsLimited,Cyprus (Refer Note (i) below) 980,640,000 980,640,000 980,640,000 4,417,277 equitysharesof (Refer Note(i)below) ` 360eachissuedtoGAGlobalInvestmentsLimited,Cyprus nFrincrec (Amount in in Foreigncurrency investments Pybe (Payable) ud - Funds eceivable/ ` ` Kalyani NetVenturesLim 5eachatapremiumof 5eachatpremiumof ac 1 05March31,2014 March 31,2015 Limited included above Kalyani NetVentures iie,MuiisLimited, Mauritius eevbe R Receivable/ Pybe (aal)(Payable) (Payable) (Payable) ` 355 per 355 ` 355per td2,6,0 26,065,000 26,065,000 ited (A) -(B) Limited ` i oeg urny(Amount in inForeigncurrency ) ac 1 05March31,2014 March 31,2015

,5,9,2 2,491,726,699 1,351,298,026 2,491,726,699 1,351,298,026 ,9,7,2 2,990,770,920 2,990,770,920 1,351,298,026 - 1,016,238,936 1,486,566,772 2,817,645,857 1,331,079,085 eceivable/ 8,9,5)(86,093,850) 3,4,0 228,224,428 1,504,204,148 231,145,706 173,125,063 662,833,608 419,911,200 6821116,882,171 16,882,171 40,742,353 40,742,353 0,0 100,000 100,000 Receivable/ 2,461,726,699 (Amount in 838,493,000 419,911,200 (96,077,048) 662,833,608 30,000,000 ` ) ` ) 53 182 Annual Report 2014-15 cyient.com 5 Goodwill(onconsolidation) 35. Particulars i)GoodwillarisingonacquisitionofCyientInsightsPrivateLimited(formerlyInvati PrivateLimted)and (ii) d:Acquisition Add: Opening Balance rs odil4, GoodwillarisingonacquisitionofSoftentialInc. (i) Net Goodwill Less: Amortisation Gross Goodwill Goodwill Less :100%ofnetassets Consideration paid Insights PrivateLimited.Thetotal costofacquisitionwas On October15,2014,theCyient Limited(formerlyInfotechEnterprisesLimited)acquired 51%stakeinInvati its whollyownedsubsidiaryInvatiInsightsLLC. otnilIc(ee oe()blw ,3,6,2 - 1,535,063,820 2, GmbH (ReferNot Infotech EnterprisesInformationTechnologyServices (Including goodwillonstepdownsubsidiary-ReferNote(iii)below) Rangsons ElectronicsPrivateLimited (Including goodwillonstepdownsubsidiary- Cyient InsightsPrivateLimited Softential Inc.(ReferNote(i)below) 100% stakeinSoftentialInc.Thetotalcostofacquisitionwas On April01,2014,thewhollyownedsubsidiaryCyientInc. (formerly InfotechEnterprisesAmericaInc.)acquired as follows: i)TheCompanydoesnotmaintainaseparatebankaccounttomanagethesefunds receivedonapreferential (ii) TheCompanyhadissued2,724,000CompulsorilyConvertiblePreferenceShares("CCPS")withafacevalue (i) Notes: Particulars Company allotted2,724,000equitysharesof GA GlobalinvestmentsexercisedtheoptiontoconvertCCPSandinpursuanceofthisexercise option isexercised,thesameshallbeautomaticallyconvertedintoequitysharesatendof18months. equity shareswithinaperiodof18monthsfromthedateallotmentatoptionAllotteeandifno of memberstheCompanyheldonJune23,2007.TheCCPSweretobeconvertedintoequalnumber the guidelinesissuedbySEBI,RBIetc.,andSpecialResolutionpassedinExtraordinaryGeneralMeeting to theprovisionsofAgreemententeredintobetweenAllotteeandCompany,datedJune28,2007, conditions oftheissuetheseCCPSincludingrighttoconvertintoEquitySharesweresubject basis. TheaboveallocationisbasedonManagement'sinformationsystems. through postalballot)onJune1,2010. the RegistrarofCompanies,AndhraPradesh,notifyingsaidalteration(asapprovedbymembers as thesaidCCPSwereissuedin2007andhavesincebeenconvertedintoequityshares.Form5wasfiledwith clauses pertainingtoCompulsorilyConvertiblePreferenceShares(CCPS).Thewerenolongerrelevant The CompanyalteredthecapitalclauseofMemorandumAssociationbydeletingreferenceto such, therearenopreferencesharesintheCompanypostaboveconversion. of ` 360onJuly6,2007toM/s.GAGlobalInvestmentsLimited("GA"or"theAllottee").Thetermsand e (iv)bel w1701- 167,011 ow as onApril 1, 2014 Refer Note(ii) ` 5 each,atapremiumof ` 87,938,018. Thegoodwillhas beendeterminedasfollows: eo)100914- 100,069,154 below) ` 1,503,404,833.Thegoodwillhasbeendetermined o h ereddFortheyearended For theyearended ac 1 05March31,2014 March 31,2015 ,6,5,9 23,291,076 4,263,450,299 6,8,6 26,362,427 266,688,661 0,9,0 - 608,097,600 3210626,362,427 23,291,076 ` ,3,6 3,071,351 3,238,362 355 eachonDecember9,2008.As 1,535,063,820 1,503,404,833 (Amount in (Amount in (31,658,987) ` ` ) ) 53 183 Annual Report 2014-15 cyient.com 6 Employeebenefits: 36. i)Goodwillarisingon (iv) ii Goodwill (iii) 36.1 Defined 36.1 The employeebenefitschemesareasunder: Goodwill acquisition was Limited acquired100%stakeinInfotechEnterprisesInformationTechnologyServicesGmbH.Thetotalcostof On March23,2015,thewhollyownedsubsidiaryInfotechEnterprisesInformationTechnologyServicesPrivate Engineering PrivateLimited,India.Goodwillonconsolidationofthisstepdownsubsidiaryamountedto On January06,2015,RangsonsElectronicsPrivateLimitedacquired100%stakeinTechnoToolsPrecision Goodwill i a Superannuationfund-India (a) ii. Less :100%ofnetassets Consideration paid Less :74%ofnetassets Consideration paid The totalcostofacquisitionwas Electronics PrivateLimitedanditswhollyownedsubsidiary,TechnoToolsPrecisionEngineeringLimited. On February04,2015,theCyientLimited(formerlyInfotechEnterprisesLimited)acquired74%stakeinRangsons Techno ToolsPrecisionEngineeringPrivateLimited. Less :51%ofnetassets Consideration paid in InvatiInsightsLLC,USA.Goodwillonconsolidationofthisstepdownsubsidiaryamountedto On October16,2014,CyientInsightsPrivateLimited(formerlyInvatiLimited)acquired100%stake Consequent toacquisition,InvatiInsightsPrivateLimitedwasrenamedCyientLimited. Goodwill Particulars .ProvidentFund: i. Particulars Particulars b Superannuation fund-Australia (b) ` they areincurred.Totalexpenserecognisedduringthe yearaggregated of India.ThemonthlycontributionsarechargedtotheConsolidated StatementofProfitandLossintheperiod fund thebenefits.ThesecontributionsaremadetoFund administeredandmanagedbytheGovernment subsidiaries andthejointventurearerequiredtocontributeaspecifiedpercentageofpayrollcosts defined contributionretirementbenefitplansforqualifyingemployees.Underthescheme,Company, The Companyandfiveofitssubsidiariesonejointventuremakesprovidentfundcontributionswhichare 247,929,253). arising onacquisitionofRangsonsElectronicsPrivateLimited(REPL)anditswhollyownedsubsidiary ` period theyareincurred.Total expenserecognisedduringtheyearaggregated Company's monthlycontributions arechargedtotheConsolidatedStatementofProfitand Lossinthe with varioussuperfunds.The Companycontributes9%ofthebasicsalaryemployee. The The employeesattheAustralia branchoftheCompanyarealsocoveredunderasuperannuation scheme incurred. Totalexpenserecognisedduringtheyearaggregated contributions arechargedtotheConsolidatedStatement ofProfitandLossintheperiodtheyare made toafundadministratedbyLifeInsuranceCorporation ofIndia.TheCompany'smonthly contribution inbetween5%to15%ofthebasicsalary coveredemployee.Thesecontributionsare defined contributionschemewhereintheemployeehas anoptiontochoosethepercentageof The qualifyingemployeesoftheCompanyreceivebenefit under aSuperannuationschemewhichis contribution plans 72,161,558). ` 1,837,118.Thegoodwillhasbeendeterminedasfollows acquisition ofInfotechEnterprisesInformationTechnologyServicesGmbH as onOctober as onFebruary as onMarch ` 2,925,310,754.Thegoodwillhasbeendeterminedasfollows: 23, 2015 15, 2014 4, 2015 ` 26,769,754(2013-14- ` 255,832,417(2013-14- ` 75,057,097 (2013-14 - ` 10,788,183. 2,577,794,454 2,925,310,754 ` (Amount in (Amount in (Amount in 26,633,378). 347,516,300 ` 89,280,971 (1,342,953) 30,303,146. 87,938,018 1,670,107 1,837,118 167,011 ` ` ` ) ) ) 53 184 Annual Report 2014-15 cyient.com 62DefinedBenefitPlans 36.2 *Includes impactofacquisitions madeduringtheyearRefernote30. The abovetableexcludesprovision forgratuitymadeatoverseassubsidiaries. Note: .Gratuity i. Actuarial (gain)/loss Interest cost Current servicecost (including onaccountofacquisitionsubsidiary- Projected benefitobligationatthebeginningofyear Change inbenefitobligation Net costrecognisedintheConsolidatedStatementofProfitand Loss atclr March Particulars trto % .0 70%17% IALM(2006-08) IALM(2006-08) 5.00%-17.00% 6.00%-8.00% -10.00% 5.00% table Mortality (%) Attrition Long termrateofcompensationincrease(%) Expected returnonplanassets Discount rate(%) Actuarial AssumptionsusedinaccountingfortheGratuity Plan Expected companycontributions forthe Expected returnonplan Interest cost Benefits pai atsriecs 1020- 120,230 Net actuarial(gain)/lossrecognised Current servicecost Cost ofemployeebenefitsfortheyear Liability recognisedinthe Plan assetsatthebeginningof Change inPlanassets Projected benefitobligationattheend Past servicecost Expected returnonplan (including onaccountofacquisitionsubsidiary- Fair valueofplanassetsattheend eeispyet 3,4,0)(24,905,504) (37,547,202) Projected benefitobligationat Amount recognisedinthebalancesheet Actual returnonplan Plan Assetsattheend Asset loss payment Benefits Employer contribution March 31,2014fortheCompanyanditssubsidiaryinIndia: The followingtablesetsouttheDefinedBenefitPlan-asperactuarialvaluationatMarch31,2015and Scheme" ofLifeInsuranceCorporationIndia. The gratuityplanisadministeredbytheCompany'sowntrustwhichhassubscribedto"GroupGratuity actuarial valuationandarechargedtotheConsolidatedStatementofProfitLossinperioddetermined. covering eligibleemployees.Liabilitieswithregardtosuchgratuityplanaredeterminedbyanindependent one jointventureofitssubsidiariesprovidesforgratuity,adefinedretirementbenefitplan(the'GratuityPlan') In accordancewiththe'PaymentofGratuityAct,1972'India,Companyandfiveitssubsidiaries Gratuity expensefortheGroupyearendedMarch31,2015is (37,144,749) d assets of theyear assets assets Balance Sheet the endof fteya (147, of theyear er7,5,4 79,550,143 year during theyear of theyear next year er473818325,173,176 467,338,108 year ` ` 9,531,924) 10,679,846) o h ereddFortheyearended For theyearended 7.80 %- 8.00% - ` 164,927,149(2013-14- 6,7,8 41,310,393 162,370,785 1,3,0 255,154,957 319,534,201 325,173,176 467,338,108 4,0,0 70,018,219 147,803,907 3,5,2 302,362,828 335,853,022 94964 (5,194,112) (9,449,664) 33887 1,211,347 (3,358,867) 2967360,761,565 72,936,753 92434 27,218,932 50,326,564 79,284,314 31,757,449 57,467,842 1774927,218,932 31,757,449 28499 50,326 82,874,909 57,188,091 9701939,825 99,710,169 1 05 March31,2014 31, 2015* ,9,9 6,405,459 6,090,797 ,4,6 5,194,112 9,449,664 0,0)(70,018,219) 803,907) liaeUltimate .1 9.00% 7.81% .0 9.25% 9.00% (Amount in ` (24,905,504) (29,829,644) (31,040,991) 61,534,810). 48,692,361 Ultimate ,564 ,903 ` ) 53 185 Annual Report 2014-15 cyient.com 7 401(K)benefitplan: 37. ` The amountpayabletowards 401(K)benefitplaninCyientInc.,(formerlyInfotechEnterprises AmericaInc.)was i )Compensatedabsences–India: a) ii. 15,370,941(March31,2014- rtiyM Gratuity Experience adjustments supin 40634(47693 7,0,4)(,7,6)12,905,568 (8,779,263) (75,703,649) wise compositionoftheplanassetsisnotavailable (14,706,973) Plan assetscompriseof100%insurermanagedfunds.FundisbyLICasperIRDAguidelines,category- 78,803,782 24,076,364 Composition ofplanassets estimated termoftheobligation. rate isbasedontheprevailingmarketyieldsofGovernmentIndiasecuritiesasatBalanceSheetdatefor seniority, promotionandotherrelevantfactorssuchasdemandsupplyintheemploymentmarket.Thediscount The estimatesoffuturesalaryincreasesconsideredintheactuarialvaluationtakeaccountpriceinflation, Total (gain)/loss Experience (gains)/losseson assumptions (Gains)/losses duetochangein on planassets Experience adjustments (Surplus)/deficit inthe end ofperiod Projected benefitobligation, end ofperiod Fair valueofplanassets, estimated termoftheobligation. rate isbasedontheprevailingmarketyieldsofGovernment ofIndiasecuritiesasatBalanceSheetdateforthe seniority, promotionandotherrelevantfactorssuchasdemand andsupplyintheemploymentmarket.Thediscount The estimatesoffuturesalaryincreasesconsideredinthe actuarialvaluationtakeaccountofpriceinflation, the perioddetermined. determined byanindependentactuarialvaluationandcharged totheConsolidatedStatementofProfitandLossin employees atyear-endasperCompany’spolicy.Thevalue ofsuchleavebalanceeligibleforcarryforward,is The accrualforunutilisedleaveisdeterminedtheentire availableleavebalancestandingtothecreditof CompensatedAbsences–OverseasBranchesandSubsidiaries: b) trto .0 5.00% 9.00% 5.00% 4.00% NA 17.00% 7.80% 5% 4.00%to6.00% 8% 9.00% 17.00% NA 5% 6.00%-8.00% 7.80% March 31,2014 Forthe year ended Fortheyearended 6.00%to8.00% March31,2015 NA Attrition escalation Salary Expected returnonplanassets Discount rate March31,2014 Forthe year ended absences compensated Fortheyearended long-term for assumptions Actuarial March31,2015 Leave availmentratio Attrition escalation Salary Expected returnonplanassets Discount rate absences compensated long-term for assumptions Actuarial ln336889251497236047205216254,966,584 270,552,136 253,670,467 255,154,957 313,618,809 plan ` 8,976,416). B 52836(51261 87625(,3,0)(5,771,633) (8,537,801) 28,716,265 (15,122,671) 55,238,376 PBO 5,5,5 008294,9,6 328243,233,273 258,199,857 293,820,370 23,268,234 302,362,828 325,173,176 48,692,361 466,313,228 70,018,219 150,156,159 (583,841) rh3,Mrh3,Mrh3,Mrh3,March31, March31, March31, March31, arch 31, 0521 0321 2011 2012 2013 2014 2015 2,2,4)(69734 1,1,6)7,133,935 (17,317,064) (46,987,384) (29,829,644) ,1,4 8,2 8366 (427,125) (863,656) 589,222 1,211,347 (Amount in ` ) 53 186 Annual Report 2014-15 cyient.com 8 SegmentInformation 38. I.ProductRealisation(PR) III. Engineering,Manufacturing,IndustrialProducts(EMI) II. Data&NetworkOperations(DNO) I. segment. The CyientGrouphasidentifiedbusinesssegmentsasitsprimarysegmentandgeographicsecondary Geographic segmentsoftheCyientGroupareIndia,NorthAmerica,EuropeandRestworld. segment andtherehasbeennoreclassificationonaccountofadditionthisnewsegment. During theyear,CompanyaddedanewsegmentProductRealisation(PR)toitsbusiness.Thisiscompletely (DNO). Therehasbeennoreclassificationonaccountofchangename. During theyear,CompanyrenameditsNetwork&ContentEngineering(N&CE)verticalasDataOperations specific requirementsofcustomersintheirrespectiveusersegments. (DNO), Engineering,Manufacturing,IndustrialProducts(EMI)andProductRealisation(PR).Thebusinessescatertothe The CyientGroupclassifiesitsoperationsintothreeverticallyorientedbusinesssegments:Data&NetworkOperations indicators bybusinessverticalsandgeographicalsegmentationofcustomers. Management evaluatesCyientGroup'sperformanceandallocatesresourcesbasedonananalysisofvarious Business Segment reasonable basishavebeenincludedunder"unallocablerevenue/expenses/assets/liabilities". Revenue, expenses,assetsandliabilitieswhichrelatetotheGroupasawholearenotallocablesegmentson /fair valuefactors. Inter-segment revenueisaccountedonthebasisoftransactionswhichareprimarilydeterminedbasedmarket on thebasisoftheirrelationshiptooperatingactivitiessegment. Segment revenue,segmentexpenses,assetsandliabilitieshavebeenidentifiedtosegments The accountingpoliciesadoptedforsegmentreportingareinlinewiththeofGroup. meaningful segregationoftheavailabledataisonerous. that itiscurrentlynotpracticabletoprovidesegmentdisclosuresrelatingtotalassetsandliabilitiessincea Fixed assetsusedintheCyientGrouparenotidentifiedtoanyofreportablesegmentsandmanagementbelieves Revenue inrelationtotheseverticalsiscategorizedbasedonitemsthatareindividuallyidentifiablevertical. components foraerospace,automotiveanddefenceindustries. automotive, telecommunications,defenceandaerospaceapplicationsincludingmanufacturemachiningof PR verticalservicesisengagedinprovidingelectronicmanufacturingsolutionsthefieldsofmedical,industrial, technical publicationsandotherstrategiccustomers. industrial andcommercialproducts,engineeringdesign,embeddedsoftware,ITSolutions,manufacturingsupport, EMI verticalservicescustomersinindustriessuchasaerospace,automotive,off-highwaytransportationand photogrammetry andITservices. The CyientGroupserviceofferingstotheDNOverticalincludedataconversion,maintenance, DNO verticalservicescustomersinindustriessuchaspower,gas,telecom,transportationandlocalgovernment. soit opn n ioiyitrs 3,359,272,680 - - Total - PR Profit fortheyear 1,880, 10,347, Minority interest(loss) - Share ofprofitin associate Companyandminority interest EMI Profit aftertaxbeforeshareofprofitin Tax expense Profit beforetax (net ofun-allocable Un-allocable income DNO Segment results Total revenue Less inter-segmentrevenues External revenue For theyearendedMarch31,2015 associate Company expenses) 03716991,4,3,1 7,5,6 27,359,329,811 571,850,167 16,440,332,715 10,347,146,929 4,2 640327551801727,359,329,811 571,850,167 16,440,332,715 146,929 0,9 ,0,4,9 637164,013,560,478 26,307,186 2,107,044,899 208,393 3,532,036,414 1,096,268,874 4,455,541,554 (Amount in 150,374,958 441,981,076 22,388,776 ` ) 53 187 Annual Report 2014-15 cyient.com o h ereddMrh3,21 N M RTotal PR EMI DNO For theyearendedMarch31,2014 OA 6,3,7 807,146,640 19,071,153 762,630,479 31,312,044 19,456,595,596 Yearended 2,213,342,531 21,456,962,468 13,062,095,007 Yearended 2,301,500,261 14,463,494,052 Asat 4, 22,064,327,615 4,708,964,798 TOTAL 4,890,414,505 27,359,329,811 Asat Rest ofWorld 5,015,455,817 Europe 1,038, 7,325,360,806 India Location Geographic Yearended Segment CapitalExpenditure March31,2014 TOTAL Yearended Rest ofWorld March31,2015 Europe North America India Location Geographic Segment Assets TOTAL Rest ofWorld Europe North America India Location Geographic Revenue Segment 7, 7, (net ofun-allocable Un-allocable expenses Segment results Total revenue Less inter-segmentrevenues External revenue soit opn n ioiyitrs 2,507,970,803 Geographic Segments The segmentdisclosuresforthepreviousyearhavebeenreclassifiedtoconformcurrentyear'spresentation. Profit fortheyear Share ofprofitin associate Companyandminorityinterest Profit aftertaxbeforeshareofprofitin Tax expense Profit beforetax associate Company income) ,7,6,5 ,8,4,8 4,056,807,438 - 2,185,146,886 1,871,660,552 7,7,0 4273720-22,064,327,615 - 14,287,357,210 776,970,405 8,5,3 4384449-22,090,000,873 - 14,308,444,439 781,556,434 ,8,2 10729-25,673,258 - 21,087,229 4,586,029 ac 1 05March31,2014 March 31,2015 March31,2014 March 31,2015 39009429,954,745,022 13,980,079,482 6,6,6 3,921,765,250 561,366,061 8,6,7 730,301,070 681,065,975 259,392,808 130,602,094 7747055,745,632 47,794,740 ,5,2 2,028,785 2,457,720 3,0 2,510,203,290 433,706 2,660,020,403 1,030,051,172 3,538,021,975 (518,785,463) (Amount in (Amount in (Amount in (Amount in 152,049,600 ` ` ` ` ) ) ) ) 53 188 Annual Report 2014-15 cyient.com 9 RelatedPartyTransactions 39. i Cyient Grouphastransactionswiththefollowingrelatedparties: (i) .JointVenture: a. a Transactionsduringtheyear: (a) KeyManagerialPersonnel: c. Associate: b. # Doesnotincludeprovisionfor compensatedabsences. B Rental expenses loan toKMP Interest recoveredfrom eueaint BVR Infotech HAL to Remuneration Other Income rnato March Fortheyear ended Fortheyearended Repayment ofLoanbyKMP Designation Aerospace Infotech name Party Advances given/(recovered) President-CorporateAffairs Associate Share ofProfitsfrom transaction Nature ofthe ChiefFinancialOfficer 49% (%) as at ManagingDirector &CEO(w.e.fApril24,2014) 50% WholeTimeDirector(uptoApril12,2014) Summary ofthetransactionsandbalanceswithaboverelatedpartiesareasfollows: Designation B. Ashok Reddy Name Chairman& ManagingDirector(uptoApril11,2014) (%) as at 49% Extentofholding Relative ofExecutiveChairman&ManagingDirectorCEO 50% Extentofholding Aggarwal Ajay Bodanapu Krishna incorporation Sucharitha B of Country B V R Mohan Reddy USA Extentofholding Name India Extentofholding Infotech AerospaceServicesInc., Associate of Country Name of the Infotech HALLimited Venture Company Name of the Joint iiedt M' B V Dividend toKMP's Infotech HAL Infotech HAL Loans recovered Loans given Key ManagerialPersonnel # Ajay Aggarwal Krishna Bodanapu B Sucharitha B. AshokReddy Ajay Aggarwal Krishna Bodanapu B Sucharitha Ajay Aggarwal B. AshokReddy Infotech HAL B AshokReddy Services Inc., Sucharitha R MohanReddy Mohan Reddy noprto (%) incorporation Lmtd7764678,039 727,644 Limited Lmtd28250937,500 2,812,500 Limited Limited iie ,9,9 240,471 2,898,094 Limited (Ceased tobedirectorw.e.f.17July2014) Executive Chairman(w.e.fApril12,2014) ac 1 05March31,2014 March 31,2015 ac 1 05March31,2014 March 31,2015 5,7,5 152,049,600 150,374,958 114508,215,920 29,434,400 11,104,560 39,247,200 7541665,688,147 87,584,196 2941311,476,213 9,264,128 12,914,163 35,227,616 6718353,748,110 56,751,883 ,7,9 8,790,598 2,345,995 9,770,693 2,091,747 ,1,0 5,734,416 6,019,200 1 05March31,2014 31, 2015 sa (%)asat as at 2,7 93,960 121,176 580- 25,800 20839,264 12,048 466,159 - 3,750,000 - (Amount in ` ) 53 189 Annual Report 2014-15 cyient.com 1 EarningsperShare(EPS) 41. 40. 2 Provisionfortaxation 42. Later than one year but not later than five years 686,974,896 551,179,321 686,974,896 Later thanfive Later thanoneyearbutnotlaterfiveyears Earnings pershare( (including d Weighted averagenumberofequitysharesoutstanding Effect ofpotentialequitysharesonemployeestockoptionsoutstanding Diluted: 21Current tax 42.1 Profit aftertaxation( Particulars Not laterthanone Maximum obligationsonlong-termnon-cancellableoperatingleases: Lease expensesincurredunderoperatingleasesaggregating Cyient Groupundernon-cancellableoperatingleasesareasfollows: recognised asanexpenseintheConsolidatedStatementofProfitandLoss.Thefutureminimumleasecommitments Number ofsharesoutstanding Basic: Earnings pershare( Weighted averagenumberof OA ,9,4,5 887,800,033 1,197,246,155 TOTAL the subsidiariesofCompany. An amountof Subsidiaries: for currenttaxtheyearneedstobemadeinrespect ofthesame. on professionaladvise,ithasdeterminedthattheprovision made currentlyisadequateandnoadditionalprovision operations takingintoaccounttherelevantrulesandregulations asapplicableintherespectivecountries.Based March 31,2015.Further,theManagementhasassessed Company'staxpositioninrespectofitsoverseas The Companyhasmadeprovisiontowardscurrenttaxinrespect ofitsdomesticoperationsfortheyearended Company: b Balancesattheyear-end: (b) usadn aac BVR balance Outstanding aal oKPKrishna payable toKMP aueo h at aeA tAs at March31, As at Infotech HAL Infotech HAL name Party Outstanding loans Advance receivable Balance Nature ofthe lto)125895112,227,332 112,578,995 ilution) er 137,677,482 years er372,593,776 year ` ` ` 316,563,205(2013-14- 13 23.70 23.80 31.37 31.48 ) ) ` ,3,3,1 2,660,020,403 3,532,036,414 ) equity shares at theyear B AshokReddy n 1,6,6 111,964,613 112,361,065 end Mohan Reddy ` 272,881,660)hasbeenincluded underCurrenttaxexpenseinrespectof Bodanapu iie ,8,6 1,509,008 4,383,664 Limited Limited ` 425,477,935(2013-14- ac 1 05March31,2014 March 31,2015 ac 1 05March31,2014 March 31,2015 ereddYearended Year ended 1,8,2 111,743,379 112,182,127 sa Asat As at 5070449,858,261 35,057,014 75857- 17,528,507 2,9 547,869 426,693 9,6 483,953 396,868 05March31,2014 2015 2,812,500 - ` 278,643,023)havebeen (Amount in (Amount in 237,037,975 99,582,737 ` ` ) ) 53 190 Annual Report 2014-15 cyient.com 22DeferredTaxes 42.2 25Minimum Al 42.5 Transfer pricing 42.4 Taxpertainingtoearlieryears 42.3 Company: i)Ohr 1,3,4)(51,758,956) (11,633,648) March Others (ii) Fixed (i) Deferredtax(liability) (A) Particulars Depreciation& (i) Deferredtax(liability) (A) Particulars i)Uasre ossaddpeito - Opening MATcredit Particulars - Fixed (iii) Unabsorbedlossesanddepreciation (ii) Employeebenefits (i) Deferredtaxasset (B) i)Ohr 4794236,316,846 24,709,472 Net Deferredtaxassets/(liability) Others (ii) Employeebenefits (i) Deferredtaxasset (B) Closing MATcredit The breakupofdeferredtaxassets/liabilitiesisasfollows: Subsidiaries: Note: d:md uigteya 20929- 2,009,229 Less: utilisedduri Add: madeduringtheyear i)Ohr 0289958,630,813 50,258,989 impact onthefinancialstatements,particularlytaxexpense andtheprovisionfortaxation. transactions areatarm'slengthmaintainedbytheCompany andthattheaforesaidlegislationwillnothaveany the opinionthatallnecessarydocumentsasprescribed bytheIncomeTaxAct,1961,toprovethatthese The Companyhasenteredintointernationaltransactionswith relatedparties.Inthisregard,theManagementisof tax assessmentsinIndiaanditssubsidiaries Tax pertainingtoearlieryearsrelatesadjustmentmade taxprovisionforearlieryeararisingfromtheIncome * IncludesDeferredTaxbalancesonaccountofacquisitionsmadeduringtheyear(ReferNote30). Net Deferredtaxassets/(liability) Sub-Total (B) Others (iv) Sub-Total (A) Sub-Total (B) Sub-Total (A) Deferred taxonimpactofchangeinusefullivescertainclassfixedassetsis Assets Assets ternate Tax(MAT)creditentitlement gteya 8,4 501,164 581,346 ng theyear entitlement mriain(173, Amortisation entitlement [(A) +(B)] [(A) +(B)] ` 23,962,344 (2013-14 ` 1,264,263). ac 1 05March31,2014 March 31,2015 ac 1 05March 31,2014 March 31,2015 131767 (167,250,379) (173,117,617) 5,2,1)(51,758,956) (50,521,417) 7,4,9 179,413,234 179,041,593 3,8,6)- (38,887,769) 5,3,2 143,096,388 154,332,121 sa Asat As at Asat As at 9349661,372,889 59,314,936 1 05 March31,2014 31, 2015* ,5,8 1,123,805 2,551,688 12,162,855 5,923,976 ,9,1 9,613,933 8,793,519 ,6,8 2,567,287 2,567,287 ,2,0 1,624,969 1,123,805 ,8,6 174,789 6,488,660 1,1)(167,250,379) 117,617) ` 5,716,126 (ReferNote53) (Amount in (Amount in (Amount in ` ` ` ) ) ) 53 191 Annual Report 2014-15 cyient.com 4 InvestmentinJointVenture:InfotechHALLimited 44. ResearchandDevelopmentExpenses-Company 43. 5 Detailsofprovisions 45. any deductiononeligibleR&Dexpenditureduringtheyear. Industrial Research(DSIR)forapprovalofR&Dcentresandthesameispendingapproval.TheCompanyhasnotclaimed Short-term loansand Statement ofProfitandloss: Other currentassets Particulars Particulars Particulars ` Revenue expenditurepertainingtoresearchanddevelopmentchargedtheStatementofProfitLossamounts Closing Bal Utilisation /Reverse 362,362 41,461 668,786 59,994 Incomefrom Long-term loansand Fixed assets Other currentliabilities Short-term borrowings Trade payables Long-term provisions Short-term provisions Reserves andsurplus Balance Sheet: following amountstowardsCyient'sshareintheJointVenture: The notesformingpartoftheConsolidatedBalanceSheetandStatementProfitLossinclude Additions duringthe Opening Balance the amountitestimatestoincurmeetsuchobligations,details ofwhicharegivenbelow: The Companyhasmadeprovisionforvariouscontractualobligations anddisputedliabilitiesbasedonitsassessmentof Tax Depreciation andAmortisation Finance costs Other expenses Employee benefitsexpense Other Income Cash andbank Trade recei 14,687,303(2013-14- ne558724,097,989 5,578,782 ance als1,4,3 3,623,669 10,740,638 vables services balances er6,326,595 year advances advances ` 13,212,331).TheCompanyhasmadeanapplicationtotheDepartmentofScientificand xes 11,083 expense ac 1 05March31,2014 March 31,2015 ac 1 05March31,2014 March 31,2015 ac 1 05March31,2014 March 31,2015 ereddYearended Year ended 1,1,8)(16,626,597) (13,315,089) sa Asat As at sa Asat As at 374379,215,488 13,754,317 857488,213,829 14,302,222 18,577,488 30,018,705 ,4,1 2,715,287 1,442,517 ,9,0 5,784,071 6,393,007 ,4,0 5,100,595 4,845,802 ,9,8 2,383,485 4,097,989 5,838,475 8,177,220 2,065,154 2,281,291 4,0 300,298 245,802 3,4 428,552 134,946 853104,638 194,188 98,503 33,750 265- 109,548 12,625 46,875 1,406,250 - (Amount in (Amount in (Amount in 6,815,099 14,202 ` ` ` ) ) ) 53 192 Annual Report 2014-15 cyient.com 46.1 AssociateStockOptionPlans As atMarch31,2015,1,650,630(March2014-1,650,630)equitysharesof years, 20%aftertwo25%attheendofandhalfyears30%thirdyear. from onetothreeyearsthedateofgrant,startingwith10%atendfirstyear,15%andhalf exercise price,whichshallnotbelessthanthemarketpriceondateofgrant.Theseoptionsvestoveraperiodranging account ofstocksplitcumbonusissueduring2006-07.UnderASOP2001,optionswillbeissuedtoemployeesatan employees underASOP.TheCompanymodifiedASOP2001andadjustedthenumberofoptionsexercisepriceon As atMarch31,2015&2014,80,900equitysharesof restriction onsellingsuchstocktotheTrust. been consideredasthevestingperiod.However,TrustandCompanyhaveadiscretionarypowertowaive allocated tosuchemployeestandstransferredtheTrustatapredeterminedprice.Hence,lock-in-periodhas it differsfromoffertooffer.WhentheemployeeleavesCompanybeforeexpiryoflock-in-periodoptions These equitysharesareunderlock-inperiod(i.e.,thedateoftransferfromTrusttoemployee)and price onaccountofbonusissueandstocksplitcumduring2002-03,2006-072010-11respectively. name ofselectedemployees.TheCompanymodifiedtheESOPPlanandadjustednumberoptionsexercise recommendation oftheManagementanduponreceiptfullpaymentupfronttransfersequitysharesin The CompanyinstitutedASOP2001inAprilandearmarked225,000equitysharesof Associate StockOptionPlan-2001(ASOP2001) Of theabove,followingamountsareexpectedtobeutilisedwithinayear: pin usadn tteedo er-- As at - As at There arenooutstandingoptions pertainingtoassociatesofsubsidiarycompanies. Options outstandingattheendofyear Exercised Forfeited Granted Options outstandingatthebeginning Particulars Changes innumberofoptionsoutstandingwereasfollows: of optionsduringtheyear. As theoptionsweregrantedtoemployeesatmarketpriceondateofgrantthereisnocostrelating years, 20%aftertwo25%attheendofandhalfyears30%thirdyear. from onetothreeyearsthedateofgrant,startingwith10%atendfirstyear,15%andhalf exercise price,whichshallnotbelessthanthemarketpriceondateofgrant.Theseoptionsvestoveraperiodranging account ofstocksplitcumbonusissueduring2006-07.UnderASOP2002,optionswillbeissuedtoemployeesatan employees underASOP.TheCompanymodifiedASOP2002andadjustedthenumberofoptionsexercisepriceon The CompanyinstitutedASOP2002inOctoberandearmarked575,000equitysharesof Associate StockOptionPlan-2002(ASOP2002) shares of under ASOP2001plan.Accordingly,options(netofcancellations)foratotalnumberNil(March31,2014-Nil)equity shares of In 1998-99,theCompanysetupInfotechEmployeeStockOfferScheme(ESOPPlan)andallotted80,900equity Infotech EmployeeStockOfferScheme1999(ESOPPlan) atclr sa As at As at Provision forw Particulars ` ` 5eachwereoutstandingasatMarch31,2015. 10eachatapremiumof arranty of theyear ` 100persharetothe"InfotechESOPTrust"("Trust").TheTrust,on ` 10eachhavebeenallottedtotheInfotechESOPtrust. ac 1 05March31,2014 March 31,2015 ac 1 05March31,2014 March 31,2015 ` 5eachhasbeenallottedtotheassociates ,7,8 4,097,989 5,578,782 158,220 - (158,220) -- - - ` ` 10eachforissuetothe 10eachforissuetothe (Amount in (Amount in ` ` ) ) 53 193 Annual Report 2014-15 cyient.com As atMarch31,2015,2,123,507(March2014-2,123,507)equitysharesof xrie 3642 (249,994) (396,452) 1,098,963 956,144 956,144) equitysharesof under ASOP2008plan.Accordingly,options(netofcancellations) foratotalnumberof637,383(March31,2014- As atMarch31,2014,685,259(March2014-288,807)equity sharesof - associates ofsubsidiarycompanies.Duringtheyearcompany hasgranted105,000optionstotheassociates. Out ofthetotaloutstandingoptions,125,000(March31, 2014 -90,000)optionspertaintograntedthe Options outstandingattheend Exercised Forfeited Granted - Options outstandingatthebeginningofyear Particulars The CompanyinstitutedASOP2008inJulyandearmarked1,000,000equitysharesof Associate StockOptionPlan-2008(ASOP2008) shares of under ASOP2004plan.Accordingly,options(netofcancellations)foratotalnumberNil(March31,2014-Nil)equity As atMarch31,2015,3,296,545(March2014-3,296,545)equitysharesof Options outstandingattheendofyear Exercised Forfeited Granted Options outstandingatthebeginning Particulars Changes innumberofoptionsoutstandingwereasfollows: of optionsduringtheyear. As theoptionsweregrantedtoemployeesatmarketpriceondateofgrantthereisnocostrelating and halfyears,20%aftertwo25%attheendofyears30%thirdyear. ranging fromonetothreeyearsthedateofgrant,startingwith10%atendfirstyear,15% exercise price,whichshallnotbelessthanthemarketpriceondateofgrant.Theseoptionsvestoveraperiod on accountofstocksplitcumbonusissueduring2006-07.UnderASOP2004,optionswillbeissuedtoemployeesatan the employeesunderASOP.TheCompanymodifiedASOP2004andadjustednumberofoptionsexerciseprice The CompanyinstitutedASOP2004inOctoberandearmarked1,150,000equitysharesof Associate StockOptionPlan-2004(ASOP2004) shares of under ASOP2002plan.Accordingly,options(netofcancellations)foratotalnumberNil(March31,2014-Nil)equity Changes innumberofoptionsoutstandingwereasfollows: of optionsduringtheyear. As theoptionsweregrantedtoemployeesatmarketpriceondateofgrantthereisnocostrelating 25% attheendoftwoandhalfyears30%thirdyear. the dateofgrant,startingwith10%atendfirstyear,15%oneandhalfyears,20%aftertwo less thanthemarketpriceondateofgrant.Theseoptionsvestoveraperiodrangingfromonetothreeyears employees underASOP.UnderASOP2008,optionswillbeissuedtoatanexerciseprice,whichshallnot ` ` 5eachwereoutstandingasatMarch31,2015. 5eachwereoutstandingasatMarch31,2015. ` 5 eachwereoutstanding as atMarch31,2015. of year of theyear ` ac 1 05March31,2014 March 31,2015 March31,2014 March 31,2015 5eachhasbeenallottedtotheassociates ` ` 5eachhasbeenallottedtotheassociates 5eachhasbeenallottedtotheassociates 2,0)(52,825) (27,309) 0,0 160,000 105,000 3,8 637,383 217,276 - (111,652) (105,624) - - - ` 5eachforissuetothe ` 10eachforissueto (Amount in (Amount in 956,144 ` ` ) ) 53 194 Annual Report 2014-15 cyient.com 7 Shareapplicationmoneypendingallotment 47. 46.2Bonus Grant Dateshareprice( Particulars .EarningsPerShare B. atclr lc-coe Black-Scholes Black-Scholes Particulars xetdtr i er)1 1- 3 8.50 - 9.00 1- 3 8.00 2004, theassumptionshavenotbeenchanged. As nograntsweremadeduringtheyearendedMarch31,2015and2014inrespectofASOP2002 During theyearcompanyhasgranted105,000optionstoassociatesinrespectofASOP2008 Expected term(inyears) Risk-free interest(%) iiedyed()19 2.44 1.95 Expected volatility Dividend yield(%) 2008. The shareapplicationmoneyrelatestoreceivedfrom associatespursuanttoAssociateStockOptionPlan(ASOP) outstanding optionsasatthedateofmember'sapproval. The Companyhasreceived share of The membersoftheCompanyduringfinancialyear2010-11 approvedtheBonusIssueatrateofoneequity Exercise price( ProfitAfterTax A. earnings persharewouldhavebeenasfollows: at thedateofgrantinaccordancewithBlackScholesmodel,proformaamountsCompany'snetprofitand Scheme) Guidelines,1999,hadthecompensationcostforStockOptionplansbeenrecognizedbasedonfairvalue In accordancewithSecuritiesExchangeBoardofIndia(EmployeeStockOptionSchemeandEmployeePurchase Proforma EPS The followingassumptionswereusedforcalculationoffairvaluegrants: EPS asreported( Weightedaveragenumber - - Basic Asreported( - EPSasreported( Weightedaveragenumber - - Diluted ProformaEPS( - ProformaEPS( - Proforma( - Issue ` 5eachforeveryoneequityshareof ` AO 04,AO 02 2 184 324 ) (ASOP2004),(ASOP2002) ()5.752 59.07 (%) ` ,2,4,7 2,650,304,660 3,527,549,277 ) ` ` ,3,3,1 2,660,020,403 3,532,036,414 ) AO 08 2.5184 325.05 ) (ASOP2008) ` ` 13 23.62 23.72 31.33 31.44 ) ) ` ` ` 13 23.70 23.80 31.37 31.48 ) ) Nil(March31,2014- fsae 1,8,2 111,743,379 112,182,127 of shares fsae 1,7,9 112,227,332 112,578,995 of shares ` 5eachheld.Theeffectofbonusissuehasbeenappliedto allthe ` 1,428,050)towardsshareapplicationmoneypendingallotment. ac 1 05March31,2014 March 31,2015 ac 1 05March31,2014 March 31,2015 ereddYearended Year ended oe Model Model 53 195 Annual Report 2014-15 cyient.com 53. 52. 51. 50. 49. Intangibleassetsunderdevelopment 48. b AmountsincurredbytheCompany'swhollyownedsubsidiarypursuanttoanagreementwithacustomertowards (b) consequent tothechangeinusefullifeofassets(ReferNote4). The depreciationexpenseintheConsolidatedStatementofProfitandLossforyearislowerby opening SurplusintheConsolidatedStatementofProfitandLossunderReservesSurplus. AmountsincurredbytheCompanypursuanttoanagreementwithacustomerreengineeranddesigncertain (a) Intangible assetsunderdevelopmentincludes: supply arrangements.SubsequenttothecompletionofprojectsamountswouldbecapitalisedasIntangibleassets. Intangible assetsunderdevelopmentincludeamountsincurredbytheCompanytoacquirerightuse/exclusive to beNilasonApril1,2014,andhasadjustedanamountof depreciated thecarryingvalueofassets,netresidualvalue,whereremainingusefullifeassetwasdetermined Pursuant tothetransitionprovisionsprescribedinScheduleIICompaniesAct,2013,Companyhasfully Company andSoftentialInc.withCyient(FormerlyInfotechEnterprisesAmericaInc.)w.e.fApril01,2015. The BoardofDirectorstheCompanyapprovedmergerInfotechGeospatial(India)PrivateLimitedwith as atMarch31,2015 ` from varioustaxappellateauthoritieswithrespecttoassessmentyears.Asaresult,theCompanytransferred Contingency reserverelatestocertaintaxliabilities.Duringthecurrentyear,Companyreceivedfavourableorders Limited) w.e.fNovember1,2014.Thistransactionhasnoimpactontheconsolidatedfinancialresults. Enterprises GmbH)situatedinUKwastransferredtoCyientEuropeLimited(formerlyInfotech During theyear,consequenttoaninternalreorganisation,BristolbranchofCyientGmbH(formerlyInfotech other socialprojects. been formedbythecompany.TheareasforCSRactivitiesarepromotingeducation,adoptionofschools,medicaland (formerly InfotechEnterprisesCharitableTrust).AsperSection135oftheCompaniesAct,2013,aCSRcommitteehas The CompanycontributestowardsCorporateSocialResponsibility(CSR)activitiesthroughitstrust,CyientFoundation 161,000,000fromcontingencyreservetogeneralreserve,basedonprofessionaladvise.Balancein efficiency improvementincertainequipmentonarisk/rewardsharingmodel customers overthecontractedperiod equipment forwhichtheCompanywouldacquirearighttoexclusivemanufactureandsupplyofcases ` Nil(March31,2014 ` 161,000,000). ` 8,999,949(March31,2014- ` 11,389,934(netofdeferredtax ` 8,999,949). ` 31,914,829(March31,2014- ` 5,741,806)againstthe ` 54,981,117 ` Nil) 53 196 Annual Report 2014-15 cyient.com 4 AdditionalinformationasrequiredbyParagraph2oftheGeneralInstructionsforPreparation 54. 5 Regrouping/Reclassification 55. InfotechEnterprisesInformationTechnology 2 InfotechGeospatialIndiaPrivate 1 CyientInsightsPrivateLimited(formerly 3 CyientInc.(formerlyInfotechEnterprises 1 MinorityInterestofRangsonsElectronicsPrivate 6 MinorityInterestofCyientInsightsPrivateLimited 5 RangsonsElectronicsPrivateLimited(Consolidated) 4 InfotechHALLimited 1 AerospaceServices Infotech 1 CyientEurporeLimited(formerlyInfotech 2 CyientKK(formerlyInfotechEnterprisesJapanKK) 4 CyientGmbH(formerlyInfotechEnterprisesGmbh) 3 Note 2:CyientAustraliaPtyLimitedhasnotbeenconsolidatedandhencedisclosedintheabovenote(Refer30). Note 1:Stepdownsubsidiaryfigureshavebeenconsolidatedwiththerespectivesubsidiaries. Name oftheentity(Refer Services PrivateLimited(Consolidated) Cyient Limited Parent Company Indian Subsidiaries Invati InsightsPrivateLimited)(Consolidated) Consolidated FinancialStatementstoScheduleIIIthe“CompaniesAct,2013 iie Cnoiae)-.6 (2,2,1)-.1 (224,996) - -0.01% (122,325,318) 0.00% -0.66% America Inc.)(Consolidated) Foreign (ReferNote2below) Limited (Consolidated) (Consolidated) (formerly InvatiInsightsPrivateLimited) Indian Joint Ventures(asperproportionateconsolidation) Foreign Associates (Investmentaspertheequitymethod) Enterprises EuropeLimited)(Consolidated) Cnoiae)36% 3.65% (Consolidated) classification/disclosures. Previous year'sfigureshavebeenregrouped/reclassifiedwherever necessarytocorrespondwiththecurrentyear's Note 1) n.35% 6,3,1 .6 150,374,958 4.26% 664,038,116 3.58% Inc. iie 01% 2,3,4)-.3 (8,004,872) -0.23% (29,438,246) -0.16% Limited consolidated jyAgra SudheendhraPutty Secretary Company (DIN–05301037) Managing Director &CEO :April23,2015 Date : Bodanapu Krishna Place Chief FinancialOfficer Ajay Aggarwal (DIN –00058215) Chairman Executive B.V.R. MohanReddy On behalfoftheBoardDirectors e ses rfto os(in profitorloss assets net s%o mutA fAmount As % of Amount As % of 35%83.59% 02% 4,7,4)-.1 (46,150,555) -1.31% (47,971,440) -0.26% 00% 1,1,8)00%3,328,361 0.09% (13,315,089) -0.07% 05% 9,9,7)01%4,627,999 0.13% (96,295,677) -0.52% .6 6,0,7 .6 9,114,087 0.26% 66,000,579 0.36% .1 244,010,262 1.31% .1 1,617,187,178 8.71% 0.46% 85,947,328 4.73% 167,020,081 4.73% 85,947,328 0.46% As at March 31, 2015 Year Ended March 31, 2015 31, March Ended Year As atMarch31,2015 Hyderabad e ses-Shareofprofitorloss- Net assets- 15,517,043,417 7,3,0 04%( -0.44% 678,035,701 (in ` consolidated ) 67%76.77% 50%15.07% .4 22,613,771 0.64% 865,369 0.02% 2,711,589,299 532,279,538 15,396,628) ` ) 53 197 Annual Report 2014-15 cyient.com

Statement containing salient features of the financial statement of subsidiaries/associate companies/joint ventures (Pursuant to first proviso to sub-section (3) of section 129 read with rule 5 of Companies (Accounts) Rules, 2014 - AOC I) Part "A": Subsidiaries (INR in Millions except % of shareholding)

Name of the subsidiary Cyient Inc., Cyient Europe Cyient GmbH Cyient KK Infotech Infotech Cyient Ransons limited Geospatial Enterprises Insights Electronics (India) Information Private Private Private Ltd technology Limited Limited services Private Limited Reporting period for the subsidiary April to March April to March April to March April to March April to March April to March April to March April to March concerned, if different from the holding company's reporting period Reporting currency and Exchange rate USD GBP EUR JPY INR INR INR INR as on the last date of the relevant 62.59 92.46 67.51 0.52 Financial year in the case of foreign Subsidiaries. Share capital 21,450,000 1,850,000 600,000 9,000,000 40,000,000 100,000 19,994,784 13,670,000 Reserves & surplus 24,228,109 1,233,578 11,233,802 (191,275,581) (56,549,903) 66,000,579 (69,309,177) 456,811,991 Total assets 96,355,426 22,692,696 25,050,787 278,323,766 34,000,281 122,616,235 23,987,628 2,004,066,359 Total Liabilities 50,677,317 19,609,118 13,216,985 460,599,347 56,515,657 73,302,021 1,533,584,368 Investments 1,928 1,949 ---- - Turnover 234,218,341 24,360,567 36,347,588 401,995,219 20,588,239 240,345,359 13,047,693 571,850,167 Profit before taxation 13,936,962 1,437,919 1,679,662 (26,724,443) (12,172,362) 10,647,619 (46,029,145) 1,332,529 Provision for taxation 5,203,737 200,718 534,288 7,000 (4,168,316) 1,245,439 121,140 467,160 Profit after taxation 8,733,225 1,237,201 1,145,375 (26,794,443) (8,004,046) 9,402,180 (46,150,555) 865,369 Proposed Dividend ------% of shareholding 100% 100% 100% 100% 100% 100% 51% 74% Notes : The following information shall be furnished at the end of the statement: 1. Cyient Australia Pty Ltd. was incorporated during the year 2014-15. It has not yet started commercial operations. 2. Names of subsidiaries which have been liquidated or sold during the year - None. 53 198 Annual Report 2014-15 cyient.com .Rao h h soit/on ANA Namesofassociatesorjointventureswhichhavebeenliquidatedsoldduring-None. 2. Namesofassociatesorjointventureswhichareyettocommenceoperations-None. 1. Profit/Lossfortheyear 6. Thereissignificantinfluenceto NA Networthattributableto 5. Thereisnosignificantinfluence March 31, 2015 Reasonwhytheassociate/joint 4. Description of how there is 3. March 31, 2015 Infotech HAL Limited , India InfotechAerospaceServicesInc.,USA SharesofAssociate/JointVentures 2. LatestauditedBalanceSheetDate 1. Venture Associate/Joint of Name Part "B":AssociatesandJointVentures i o osdrdi osldto i -i)- ii) - ii) Consolidation in Considered Not ii. ii ExtentofHolding% iii. infcn nlec theextentofshareholding 2,000,000 i. i) $27,870,020 ConsideredinConsolidation i. audited BalanceSheet Shareholding asperlatest 490 i) consolidated venture isnot ii) influence significant AmountofInvestmentin ii . No. i. held bythecompanyonyearend Associates/Joint Venture )4%ii 50% iii. 49% i) ` ` 103498i) 150,374,958 ii. 11,172,000 ` 13,369,823 ` ` 3,328,361 20,000,000 53 199 Annual Report 2014-15 cyient.com

A 10 Year Historical Prespective - Standalone (` Millions except per share data, other information and ratios) Particulars 2005-06 2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 2014-15 For the year Total Revenue 2,150.52 3,549.40 4,540.86 5,438.11 6,079.50 6,774.24 9,173.78 10,888.66 12,769.19 13,969.46 EBITDA 493.77 988.77 1,091.92 1,123.29 1,960.04 1,667.73 2,645.64 3,196.24 3,967.31 4,053.64 Financial charges 3.03 3.61 28.70 35.14 4.71 0.80 5.65 0.85 3.61 5.12 Depreciation & Amortization 139.34 222.69 343.03 426.64 407.07 375.48 411.59 563.23 648.66 618.05 Provision for Income Tax 65.00 100.08 94.30 110.00 125.70 125.78 714.59 699.14 763.12 706.92 Deferred Tax (7.88) (1.34) 25.02 (174.10) 154.92 9.76 (72.15) 71.45 2.77 11.96 Fringe Benefit Tax 10.51 13.27 15.29 17.00 ------Profit Before Exceptional item 283.76 650.45 585.57 708.62 1,267.65 1,155.91 1,585.96 1,861.56 2,549.15 2,711.59 Exceptional items - - - - - (22.89) - 18.12 - - Profit after tax from ordinary activities 283.76 650.45 585.57 708.62 1,267.65 1,178.80 1,585.96 1,843.45 2,549.15 2,711.59 Dividend 34.24 51.92 62.55 82.84 222.00 138.97 278.54 585.50 559.26 898.79 As at the end of the year Share capital 152.19 230.77 1,241.28 276.15 277.50 556.38 557.08 558.01 559.82 561.81 Reserves and surplus 1,963.58 2,504.56 5,014.97 6,622.86 7,760.85 8,523.12 9,792.34 11,108.27 13,298.26 15,244.29 Net Worth 2,115.78 2,735.33 6,256.25 6,899.01 8,038.35 9,079.50 10,349.42 11,666.28 13,858.09 15,806.09 Share application money pending allotment ------3.92 1.43 - Loan funds 2.31 151.74 380.54 186.67 ------Gross block 1,679.44 2,323.50 3,703.78 4,542.28 4,836.26 5,350.39 5,976.23 6,810.10 7,226.05 7,806.43 Capital investment 553.09 644.06 1,380.27 838.50 293.99 514.12 625.84 833.87 415.95 580.38 Net Curent assets 757.40 1,046.02 1,766.40 3,203.98 2,651.53 4,495.57 5,438.16 6,230.26 8,523.76 7,589.22 Debt - equity ratio 0.001 0.055 0.061 0.027 ------Market capitalization Per share data Bonus/Capital History 1:2 1:1 Basic earnings from ordinary activities (`) (EPS) 18.80 14.18 11.54 13.30 11.45 10.60 14.24 16.53 22.81 24.17 Dividend Per Share (`) (DPS) 2.25 1.13 1.20 1.50 2.00 1.25 2.50 4.50 5.00 8.00 Dividend (%) 22.5% 22.5% 24.0% 30.0% 40.0% 25.0% 50.0% 90.0% 100.0% 160.0% Dividend Pay-out (%) 12.1% 8.0% 10.7% 11.7% 17.5% 11.8% 17.6% 27.2% 21.9% 33.1% Book Value (`) 139 59 120 125 72 82 93 105 124 141 Face Value (`) 10555555555 The Revised Schedule VI has become effective from 1 April, 2011 for the preparation of financial statements. This has significantly impacted the disclosure and presentation made in the financial statements. Figures for FY 10-11 have been regrouped/reclassified wherever necessary to correspond with the current year's classification/disclosure. *The Company sub divided it ` 10 share into 2 shares of ` 5 each. Post that 1 Bonus share was issued for every 2 shares held. 53 200 Annual Report 2014-15 cyient.com

Financial Analysis – Standalone Balance Sheet (` Million and Percentage) 2014-15 % 2013-14 % 2012-13 % 2011-12 % 2010-11 % SOURCES OF FUNDS Shareholders' Funds Share Capital 561.81 3.45 559.82 3.94 558.01 4.65 557.08 5.19 556.38 5.91 Reserves and Surplus 15,244.29 93.65 13,298.26 93.61 11,108.27 92.53 9,792.34 91.21 8,523.12 90.60 Net worth 15,806.09 97.10 13,858.09 97.55 11,666.28 97.18 10,349.42 96.40 9,079.50 96.52 Share application money pending allotment - - 1.43 0.01 3.92 0.03 - - - - Loan Funds Secured ------Unsecured ------Total debt ------Long Term Liabilities 4.24 0.05 Long Term Provisions 472.59 2.90 346.58 2.44 334.94 2.79 386.41 3.60 323.35 3.44 TOTAL 16,278.69 100.00 14,206.09 100.00 12,005.14 100.00 10,735.83 100.00 9,407.09 100.00 APPLICATION OF FUNDS Fixed Assets Gross 7,806.43 57.95 7,226.05 50.87 6,810.10 56.73 5,976.23 55.67 5,350.39 56.88 Depreciation & Amortization 4,687.57 28.80 4,061.80 28.59 3,464.11 28.86 2,924.36 27.24 2,590.40 27.54 Net block 3,118.86 19.16 3,164.25 22.27 3,345.99 27.87 3,051.87 28.43 2,759.99 29.34 Non Current Investments 4,460.29 27.40 1,447.04 10.19 1,447.04 12.05 1,447.04 13.48 1,459.21 15.51 Deferred Tax Assets 5.92 0.04 12.16 0.09 14.93 0.12 86.38 0.80 14.23 0.15 Long Term loans & Advances 1,104.39 6.78 1,058.88 7.45 966.91 8.05 712.37 6.64 671.15 7.13 Other Non Current Assets ------6.95 0.07 Current Assets Current Investment 336.08 2.06 400.36 2.82 609.77 5.08 222.49 2.07 334.12 3.55 Trade Receivables 2,983.92 18.33 2,664.47 18.76 1,802.63 15.02 1,813.01 16.89 1,424.55 15.14 Cash & Cash Equivalents 4,424.55 27.18 5,807.91 40.88 4,248.05 35.39 3,908.31 36.40 2,938.63 31.24 Short Term Loans and Advances 842.53 5.18 703.35 4.95 590.89 4.92 251.88 2.35 330.37 3.51 Other Current Assets 1,131.97 6.95 961.56 6.77 814.06 6.78 477.50 4.45 293.29 3.12 Total Current assets 9,719.05 59.70 10,537.65 74.18 8,065.40 67.18 6,673.19 62.16 5,320.96 56.56 Less: Current Liabilities 2,129.82 13.08 2,013.89 14.18 1,835.14 15.29 1,235.03 11.50 825.39 8.77 Net current Assets 7,589.22 46.62 8,523.76 60.00 6,230.26 51.90 5,438.16 50.65 4,495.57 47.79 TOTAL 16,278.69 100.00 14,206.09 100.00 12,005.14 100.00 10,735.83 100.00 9,407.09 100.00 53 201 Annual Report 2014-15 cyient.com

Financial Analysis – Standalone

Profit and Loss Summary (` Million and Percentage) 2014-15 % 2013-14 % 2012-13 % 2011-12 % 2010-11 % INCOME Revenue from Operations 12,940.14 92.63 12,244.89 95.89 10,515.56 96.57 8,638.00 94.16 6,476.67 95.61 Other Income 1,029.32 7.37 524.30 4.11 373.10 3.43 535.79 5.84 297.57 4.39 Total Income 13,969.46 100.00 12,769.19 100.00 10,888.66 100.00 9,173.78 100.00 6,774.24 100.00 EXPENDITURE Employee Benefits Expense 6,439.41 46.10 5,716.49 44.77 4,994.72 45.87 4,247.76 46.30 3,320.94 49.02 Operating, Administration And Other Expenses 3,476.41 24.89 3,085.39 24.16 2,697.70 24.78 2,280.38 24.86 1,785.56 26.36 Finance Costs 5.12 0.04 3.61 0.03 0.85 0.01 5.65 0.06 0.80 0.01 Depreciation And Amortisation Expenses 618.05 4.42 648.66 5.08 563.23 5.17 411.59 4.49 375.48 5.54 Total Expenditure 10,539.00 75.44 9,454.14 74.04 8,256.51 75.83 6,945.39 75.71 5,482.79 80.94 Profit before exceptional items and tax 3,430.46 3,315.04 2,632.15 2,228.40 24.29 1,291.45 19.06 Exceptional items - - - - 18.12 0.17 - - (22.89) (0.34) Profit after exceptional items and before tax 3,430.46 24.56 3,315.04 25.96 2,614.03 24.01 2,228.40 24.29 1,314.34 19.40 Provision for Income Tax 706.92 5.60 763.12 5.98 699.14 6.42 714.59 7.79 125.78 1.86 Deferred Tax 11.96 0.09 2.77 0.02 71.45 0.66 (72.15) (0.79) 9.76 0.14 Fringe Benefit Tax ------PROFIT AFTER TAX 2,711.59 19.41 2,549.15 19.96 1,843.45 16.93 1,585.96 17.29 1,178.80 17.40 53 202 Annual Report 2014-15 cyient.com

Financial Analysis – Consolidated

Balance Sheet (` Million and Percentage) 2014-15 % 2013-14 % 2012-13 % 2011-12 % 2010-11 % SOURCES OF FUNDS Shareholders' Funds Share Capital 561.81 2.86 559.82 3.43 558.01 4.09 557.08 4.60 556.38 5.18 Reserves and Surplus 17,878.79 90.91 15,323.44 93.90 12,663.51 92.76 11,017.74 91.05 9,736.74 90.63 Net worth 18,440.59 93.77 15,883.27 97.33 13,221.53 96.85 11,574.81 95.65 10,293.12 95.81 Share application money pending allotment - - 1.43 0.01 3.92 0.03 - - - - Loan Funds Secured 466.77 ------Unsecured ------Total debt 466.77 2.37 ------Long term Liabilities 3.14 0.02 19.87 0.18 Long term Provisions 582.35 2.96 381.71 2.34 380.84 2.79 493.14 4.08 420.02 3.91 Minority Interest 122.33 0.62 ------Deferred Tax Liability 50.52 0.26 51.76 0.32 45.07 0.33 33.06 0.27 10.66 0.10 TOTAL 19,665.71 100.00 16,318.17 100.00 13,651.37 100.00 12,101.02 100.00 10,743.66 100.00 APPLICATION OF FUNDS Fixed Assets Gross 13,386.58 68.07 7,998.49 49.02 7,555.77 55.35 6,810.63 56.28 6,326.70 58.89 (Including Goodwill) Depreciation & Amortization 5,405.45 27.49 4,561.90 27.96 3,973.39 29.11 3,345.16 27.64 2,933.24 27.30 Net block 7,981.13 40.58 3,436.58 21.06 3,582.38 26.24 3,465.47 28.64 3,393.46 31.59 Non Current Investments 675.42 3.43 525.04 3.22 372.99 2.73 243.94 2.02 578.62 5.39 Deferred Tax Assets 65.24 0.33 73.54 0.45 38.40 0.28 63.22 0.52 25.31 0.24 Long term loans and advances 1,358.96 6.91 1,068.43 6.55 912.45 6.68 734.70 6.07 634.98 5.91 Other non-current assets 1.84 0.01 2.08 0.01 0.19 0.00 - 0.00 24.98 0.23 Current Assets Current Investment 336.08 1.71 400.36 2.45 609.77 4.47 222.49 1.84 334.12 3.11 Inventories 606.06 3.68 - - Trade Receivables 5,335.86 27.13 4,799.79 29.41 4,007.48 29.36 3,674.97 30.37 2,567.03 23.89 Cash and cash equivalents 6,228.51 31.67 6,912.70 42.36 4,983.51 36.51 4,559.85 37.68 3,507.49 32.65 Short-term loans and advances 1,362.76 6.93 710.06 4.35 589.25 4.32 352.57 2.91 372.76 3.47 Other current assets 1,833.80 9.32 1,624.84 9.96 1,003.57 7.35 719.24 5.94 414.31 3.86 Total Current Assets 15,703.07 79.85 14,447.76 88.54 11,193.58 82.00 9,529.12 78.75 7,195.70 66.98 Current Liabilities 6,119.94 31.12 3,235.25 19.83 2,448.63 17.94 1,935.44 15.99 1,109.38 10.33 Net current Assets 9,583.13 48.73 11,212.50 68.71 8,744.95 64.06 7,593.68 62.75 6,086.32 56.65 TOTAL 19,665.71 100.00 16,318.17 100.00 13,651.37 100.00 12,101.02 100.00 10,743.66 100.00 53 203 Annual Report 2014-15 cyient.com

Financial Analysis – Consolidated

Profit and Loss Summary (` Million and Percentage) 2014-15 % 2013-14 % 2012-13 % 2011-12 % 2010-11 % INCOME Revenues from Operations 27,359.33 95.74 22,064.33 99.24 18,730.63 98.01 15531.33 98.88 11,883.12 97.76 Other Income 1,217.66 4.26 169.40 0.76 381.10 1.99 175.30 1.12 271.70 2.24 Total Income 28,576.99 100.00 22,233.73 100.00 19,111.73 100.00 15,706.63 100.00 12,154.82 100.00 EXPENDITURE Employee Benefits Expenses 16,756.05 58.63 13,677.78 61.52 11,405.99 59.68 9525.70 60.65 7,413.11 60.99 Cost of materials consumed 291.10 1.02 Changes in inventories of finished goods and work in progress 167.54 0.59 Operating, Administration And Other Expenses 6,122.07 21.47 4,284.27 19.27 3,901.05 20.41 3314.56 21.10 2,671.45 21.98 Finance Costs 57.56 0.20 13.67 0.06 2.87 0.02 7.34 0.05 9.57 0.08 Depreciation And Amortisation Expenses 712.78 2.49 719.98 3.24 635.50 3.33 494.13 3.15 485.91 4.00 Total Expenditure 24,121.45 84.41 18,695.71 84.09 15,945.41 83.43 13,341.74 84.94 10,580.04 87.04 Profit before exceptional items and tax 4,455.54 15.59 3,538.02 15.91 3,166.33 16.57 2,364.90 15.06 1,574.78 12.96 Exceptional Items - 0.00 - 0.00 18.12 0.09 15.92 0.10 (22.89) -0.19 Profit after exceptional items and before tax 4,455.54 15.59 3,538.02 15.91 3,148.21 16.47 2,348.98 14.96 1,597.67 13.14 Provision for Income Tax 1,046.12 3.66 1,037.77 4.67 930.83 4.87 866.00 5.51 263.49 2.17 Deferred Tax 50.15 0.18 (7.72) -0.03 35.84 0.19 -30.67 -0.20 6.31 0.05 Fringe Benefit Tax ------0.00 Profit Before Extraordinary Item 3,359.27 11.76 2,507.97 11.28 2,181.54 11.41 1,513.66 9.64 1,327.87 10.92 Extraordinary item (OCD's) ------Share of Profit in Associate Company 150.37 0.53 152.05 0.68 129.05 0.68 100.09 0.64 70.05 0.58 Minority Interest 22.39 ------(1.03) -0.01 POST TAX PROFIT 3,532.04 12.36 2,660.02 11.96 2,310.59 12.09 1,613.75 10.27 1,396.89 11.49 53 204 Annual Report 2014-15 cyient.com e rft() .7 82 1.4 45 (7.01) (14.91) 34.54 58.64 16.24 11.43 20.81 23.96 38.28 35.42 24.83 27.84 6.37 - 18.69 2.18 17.83 6.45 17.27 80 0.68 15.28 14.42 - 5.40 9.40 33.37 12.66 2.53 0.83 7.37 77 4.39 - 21.74 3.16 0.84 7.27 5.23 63 16.45 48.31 - 3.40 0.85 8.81 32.01 Book value( 4.56 9.57 5.68 Cash Earningspershare( 79 45.03 34.51 3.92 0.81 9.24 Basic earningspershare( - 1.86 32.07 Per ShareData 39.01 24.62 30.69 (%) Profit 84 Net 4.45 8.22 26.75 (%) EBIDTA 7.79 17.40 45.48 15.10 28.84 35.81 (%) expenses Operating 23.02 (%) revenue Total 31.67 17.29 23.00 5.54 6.42 0.01 29.19 24.04 Revenue fromOperationsrevenue(%) 20.61 Ratios -Growth* 16.93 23.92 31.07 4.49 5.98 0.06 Assets Total Revenue/Average Total Assets Fixed Net Revenue/Average Total 19.96 26.00 29.02 4.39 (%) 5.17 block gross Depreciation/Average 75.38 5.06 0.01 49.02 Cash &cashequivalents/Totalrevenue(%) 19.41 23.16 5.84 Cash &cashequivalents/Totalassets(%) 71.16 5.08 26.36 0.03 46.30 ratio Current (Days) turnover 70.65 Debtors 3.43 24.86 45.87 4.42 0.04 ratio Debt-equity 95.61 68.93 Ratios- Balancesheet 24.78 44.77 4.11 (%) employed) capital (PBIT/Average ROCE 94.16 70.98 Net Profit(PAT)/Averagenetworth 24.16 46.10 2011 7.37 (%) revenues (PAT)/Total Profit Net 96.57 (%) revenue EBIDTA/Total 24.89 2012 (%) TAX/PBT 95.89 (%) revenue /Total Tax 2013 (%) revenue Charges/Total Financial 92.63 (%) revenue Depreciation/Total 2014 (%) revenue expenses/Total Operating (%) revenue expenses/Total Administration 2015 (%) revenue cost/Total Employee (%) revenue Income/Total Other (%) revenue Operations/Total from Revenue Ratio -FinancialPerformance Ratio analysisfortheyearendedMarch31 Ratio Analysis-Standalone rc Bo au n fya 35 26 16 16 1.98 160% 1.61 11.57 15.26 8.33 10.49 1.63 10.29 7.89 2.63 111.18 14.28 161.75 11.41 3.57 111.42 20.86 149.30 16.96 111.60 170.15 111.96 325.80 111.96 Dividend (%) 504.27 Dividend PerShare( No. ofShareOutstandingasonMarch31,(inMillions) Share priceasonMarch31(NationalStockExchange) Price /Bookvalue,endofyear Price/Cash Earning,endofyear year of end Price/Earning, ` * 4.7 2.7 0.3 28 81.67 92.89 104.53 123.77 141.17 ) ** ` 80 50 45 25 1.25 2.50 4.50 5.00 8.00 ) ` ` 2.4 85 2.6 79 13.98 17.93 21.56 28.56 29.74 ) 2.7 28 1.3 42 10.60 14.24 16.53 22.81 24.17 ) % 82 1.7 19.97 18.28 (%) 0%9%5%25.0% 50% 90% 100% 67 1.313.77 16.33 16.75 53 205 Annual Report 2014-15 cyient.com rc Bo au n fya 30 23 14 14 1.75 9.55 12.87 1.44 10.30 7.89 1.44 (18.25) (18.71) 8.21 15.52 6.45 38.45 2.30 43.18 13.69 32.74 10.79 3.07 35.40 reclassified wherevernecessary tocorrespondwiththecurrentyear'sclassification/disclosure. 24.68 15.12 16.02 impacted thedisclosureand presentation madeinthefinancialstatements.Figuresfor FY10-11havebeenregrouped/ 12.27 13.35 27.33 The RevisedScheduleVIhasbecomeeffectivefrom1April,2011 forthepreparationoffinancialstatements.Thishassignifica 30.70 32.78 - 1.03 22.34 6.49 19.80 20.60 96 3.63 1.20 4.92 17.16 - 17.80 4.53 99 28.11 1.24 4.57 24.00 Share priceasonMarch31(NationalStock - Price /Bookvalue,endofyear 5.32 1.24 4.47 95 Price/Cash Earning,endofyear year of end 31.61 Price/Earning, 9.47 32.41 6.29 1.21 2.57 - Book value( 16.89 87 30.45 Cash Earningspershare( 8.11 34.07 6.84 ( Basic earningspershare 35.56 26.08 11.49 Per ShareData 0.03 14.43 30.95 17.03 83 8.77 16.37 (%) Profit Net 30.71 31.09 10.27 (%) EBIDTA 14.76 35.35 18.25 21.70 9.14 (%) Expenses Operating 0.08 29.11 21.80 12.09 (%) Revenue Operating 18.64 24.15 19.91 25.56 6.61 Ratios -Growth* 24.60 0.05 11.96 Assets 18.28 Total Revenue/Average 19.21 2.24 24.41 Assets Fixed Net Revenue/Average 60.99 12.36 3.99 0.02 20.58 18.29 Depreciation &Amortization/Averagegrossblock(%) 26.30 1.12 Cash &Equivalents/TotalRevenue(%) 60.65 3.15 Cash &Equivalents/TotalAssets(%) 0.06 1.99 ratio Current 59.68 (Days) turnover Debtors 3.33 0.20 21.98 ratio 61.52 Debt-equity 0.76 2011 Ratios- Balancesheet 3.24 21.10 58.63 employed) capital (PBIT/Average ROCE 4.26 (%) Worth 2012 Net Profit/Average Net 20.41 2.49 (%) Revenue Profit/Total Net (%) Revenue 2013 EBIDTA/Total 19.27 (%) TAX/PBT (%) Revenue Charges/Total Financial 2014 21.42 Depreciation &Amortization/TotalRevenue(%) Operating &Administrationexpenses/TotalRevenue(%) 2015 (%) Revenue cost/Total Employee (%) Revenue Income/Total Other Ratio -FinancialPerformance Ratio analysisfortheyearendedMarch31 Ratio Analysis-Consolidated Per ShareDataforFY2008-09areon Dividend (%) ( Dividend PerShare Bonus Issue No. ofShareOutstandingasonMarch31,(in ` 141 118 184 138 92.58 103.89 118.47 141.86 164.12 ) ` 80 50 45 25 1.25 2.50 4.50 5.00 8.00 ) ` ` 3.8 01 2.0 89 16.93 18.92 26.40 30.19 37.78 ) 3.8 38 2.2 44 12.56 14.49 20.72 23.80 31.48 ) ` 5share xhne 504.3 Exchange) ilos 1.6119 1.0 1.2111.18 111.42 111.60 111.96 112.36 Millions) 6.0 0.0 00%5.0 25.00% 50.00% 90.00% 100.00% 160.00% 2. 7.5149.30 170.15 325.8 161.75 1:1 ntly 53 206 Annual Report 2014-15 cyient.com Significant MilestonesinthehistoryofCompany 2000 2000 1999 1998 1997 1995 1991 September September January December March August August May April January November October November September August July June October April for completionofaprestigiousGISprojectatBhartiTelenetLimitedinrecordtimefive Infotech EnterprisesearnedthecovetedFastTrackAwardfromSmallworldPte.Ltd.U.K. Infotech EnterprisesreceivesanISO9001foritssoftwaredevelopmentservices Infotech EnterprisesentersintoanagreementwithNavionicsItalytheworldleaderin Infotech Enterprisessignsabreak-throughcontracttoprovideGISconversion,Consulting Re-organized asapubliclimitedcompany;IPOofEquitysharesat The companyreceiveditsfirstISO9002certificationfromBVQiLondonforconversion Infotech Enterpriseswasincorporatedasaprivatelimitedcompany Infotech EnterprisesentersintoaMasterServicesAgreement withPratt&Whitney,a Merger ofCartographicScienceswiththeCompany sq.ft. areainInfocity-Hyderabad.Thestate-of-the-artdevelopment centrebuiltatan Inauguration ofthestate-of-the-artsoftwaredevelopment centre spreadacross130,000 group, FUGRO Infotech Enterpriseswinsamultimillion dollarGISprojectfromtheDutchmulti-national company specializingin3DCAD/CAM Software GmbH(AGS).AGSis nine-year-old mechanicalengineeringsoftwareandservices Infotech EnterprisesannouncestheacquisitionofaGerman company, AdvancedGraphics division ofUnitedTechnologiesCorporation,aFortune100company approximate costof of issue ofequity/optionallyconvertibledebenturesaggregatingto11,50,000equityshares Infotech EnterprisessignedashareholderagreementwithWaldenNikkoandGECapitalfor months Surveys Inc.-US Infotech EnterprisesacquiresCartographicSciencesPvt.Mumbai-IndiafromAnalytical the nexttwoyears cash paymentofUS$1.80millionandissuestockInfotechfor$1.80over company- DataviewSolutionsLimited.Thecompanyacquiredwithanupfront Infotech EnterprisesannouncesacquisitionofEuropebasedGISsoftwaresolution in thebusinessofsupplyingcomputersoftwareandrelatedservices in theUnitedstatesofAmericastateCalifornia.TheCorporationisprimarilyengaged Infotech EnterprisesestablishesawhollyownedsubsidiarySoftwareSolutionsInc. software servicesfromInfotechEnterprises Infotech andASIsignalongtermcontractfortosourceUS$33millioninconversion seamless marineelectronicchartsfordigitizationandConversionservices and MappingservicesworthUS$5.5milliontoAnalyticalSurveys,Inc.(ASI) developers, creatinganindependentprofitcentre Infotech EnterprisesdiversifiesintoBusinesssoftwaredevelopmentbyadding50 Partner inDevelopmentwithIBMfordevelopingEnterprisewideInformationSystem. of expertise the companyassets,customers,technologies,employeesandover500personyears services inOracleandVisualbasicclientserverenvironments.Theacquisitionbroughtinto Acquisition ofSRGInfotech,a16-year-oldlocalsoftwarecompanyproviding in allmajorstockexchangesIndia services ` 10eachatapriceof ` 12croreandcanaccommodate4,000softwareengineers ` 350each ` 20pershareandlisted 53 207 Annual Report 2014-15 cyient.com 2005 2004 2003 2002 2001 May September September September April December November August July June May April March September September July January April August April February Infotech EnterprisesbagsacontractworthUS$7milliontoprovidePhotogrammetryservice distributor inEurope of UnitedTechnologiesCorporation to provideEngineeringServicesinIndia Infotech Enterprisessignslongtermoutsourcingcontactwith BombardierTransportation Rico toprovideengineeringdesignservices Infotech EnterprisesannouncestheinaugurationofanewdevelopmentcenterinPuerto Version 1.1fortheSW/SE/SSdisciplines" Pradesh (2001-2002) (FAPCCI) AwardforBestInformationTechnology(IT)CompanyinthestateofAndhra Company bagstheFederationofAndhraPradeshChambersCommerce&Industry services. Division Infotech EnterprisesachievesSEICMMLevel5foritsSoftwareDevelopment&Services demonstrating longtermpartneringintentandendorsingInfotechBusinesscompetence facility inBangalore,India Infotech Enterprisesannouncestheopeningofstate-of-the-artEngineeringservices business byBVQiLondon Infotech EnterprisesreceivesISO9001:2000forSoftwareandEngineeringServiceslinesof development centreatInfocity,Hyderabad Infotech EnterprisesattainsthecovetedSEICMMLEVEL4certificationforitssoftware companies inIndiaandthefirstcompanyGISsector Infotech EnterprisesachievestheISO9001:2000fromBVQiandjoinslistoftopfew Manikonda, Hyderabad. Infotech Enterprisesacquires10-acresoflandtosetupasoftwaredevelopmentcampusat 2000-2001 Infotech Enterprisesranks5thamongTopTenExportersfromAndhraPradeshfortheYear to Triathlon,aleadingfullfledgedgeomaticscompanyinCanada Infotech Europe acquiresEuropeanGISdistributorMapCentric-aleadingindependent Infotech Europe strategic partnerwithpreferential allotmentofshares Infotech Enterprisesacquires Tele AtlasIndiaPvt.Ltd.(Netherlands)joinsasa Infotech EnterprisesconferredwithBS7799standards Infotech Enterprisesdivests51%ofitsstakeinAerospace ServicesInc.infavour Change inBusinessModel.Verticalizationbroughtintoplace Infotech EnterprisesacquiresVARGIS-aGISCompanyinthe US Infotech Enterprisesattainsthebestprocessimprovementmodel-"TheLevel5ofCMMi telecommunications companyintheNetherlands,toprovidespatialdatamanagement Infotech Enterprisesbags a majorGIScontractfromKPNTelecom,thelargest Infotech Enterprises’BoardrecommendsissueofBonusSharesat1:1ratio Division ofUTC.Pratt&Whitneytoparticipatewithup~18%equitystakeinInfotech, Infotech EnterprisesAnnouncesstrategicbusinessrelationshipwithPratt&Whitney 53 208 Annual Report 2014-15 cyient.com 2015 2014 2013 2013 2012 2011 2010 2009 2008 2007 2006 August July April March November September April January October October November May August January January December December October June December March October September July May January December October August May April March March Sundstrand the MinistryofDefence,atBangalore Set upInfotechHALLimited,aJointVentureCompanywithHAL,NavaratnaPSUunder Mauritius Limited Preferential allotmentofsharestoGAGlobalInvestmentsLimited&CarrierInternational (India) Limited Design AgreementwithAlstomTransport Infotech EnterprisesopensbranchofficeinMelbourne,Australia Infotech EnterprisesopensbranchofficeinSingapore Set upbranchinSouthAfrica Set upbranchinTaiwan Opened officeinSiliconValley Inaugurated NewDevelopmentCentreinSEZatKakinada Won GoldenPeacockAwardforexcellenceinCorporateGovernance Set upbranchinSouthKorea IGIL becomesawhollyownedsubsidiary Awarded ‘Supplieroftheyear’byBoeing Acquired WellscoInc.,USA(Stepdownsubsidiary) Acquired DaxconEngineeringInc.,USA(Stepdownsubsidiary) Infotech EnterprisessignsalongtermengineeringservicescontractwithHamilton Infotech EnterprisesopensbranchofficeinMalaysia Established whollyownedsubsidiaryinJapan Acquired TTM(India)PrivateLimitedandInc;madeforayintoHitechVertical Acquires 74%stakeinGeospatialIntegraandrenamedthecompanyasInfotech Infotech EnterprisesopensbranchofficeatCanada Signs amajorGIScontractwithGEforSwisscom Completed 5yearsofrelationshipwithPratt&Whitney Wins alandmarkGIScontractfromKPNTelecomandalsosigns5-yearmajorEngineering Infotech EnterprisesopensbranchofficeinDubai Inaugurated GeospatialproductionfacilityatFrostburg,Maryland,USA Acquired 74%stakeinRangsons ElectronicsPvt.Ltd.,Mysore Won the14thICSINationalAward forExcellenceinCorporateGovernance Set upsubsidiaryinAustralia. Acquired 51%stakeinInvatiInsightsPvt.Ltd.,Hyderabad Re-branding completed,newlogolaunchedandCompany’sname changedtoCyient Mr. KrishnaBodanapuappointedManagingDirector&CEO Commenced processfornamechangeandre-branding Acquired SoftentialInc., 53 209 Annual Report 2014-15 cyient.com are publishedelsewhereinthis AnnualReport. The companyisheadquarteredinHyderabad,Indiaandhasa globalpresenceacross38locations.Fulldetailsofthelocations Where isthecompanylocated? The companymadeitsmaidenpublicofferinMarch1997atapriceof When didtheCompanyhaveitsInitialPublicOffer(IPO)andatwhatprice? In May2014,thecompanychangeditsnamefromInfotechEnterprisesLimitedtoCyientLimited. Did thecompanyeverchangeitsname? The foundermembersofthecompanyare:Mr.B.V.R.MohanReddy,Mrs.B.Sucharitha,andK.RajanBabu. Who arethefoundermembersofcompany? (ISO) 9001:2008,InformationSecurity27001:2005,Aerospace(AS9100C),andMedicalDevices(ISO13485). industry bestpracticesandinternationallyrenownedstandardsframeworksincludingInternationalStandardsOrganization employ aframeworkofrobustinternalprocessestoensureIPsecurity,qualitysolutionandon-timedelivery.Wealign with In ordertocreateanddeliverservicesthatexceedclients'expectationsconsistentlyenhancetheirbusinessagility,we including 29oftheFortune500companies,tohelpdevelopsmartersolutionsforbusinessproblems. advantage toourclients.Wehavemorethan12,900associatesin36globallocationswhoworkcloselywithover310clients, Our goalistoprovideendengineering-focusedservicesandsolutionsthatdeliverbusinessagilitycompetitive medical, semiconductorandindustrialequipment. expertise spansmajorindustriesincludingaerospaceanddefense,utilities,communications,energy&naturalresources, operations servicesprovider,wedeliversolutionsquicklyandefficientlytohelpbusinessesadvance.Ourwide-rangingdomain across NorthAmerica,Europe,theMiddleEastandAsiaPacific.Asafullservice,top-tierglobalengineering,data,networks The companyhasbeenprovidinginnovative,technology-drivenengineeringservicesandsolutionsforthepasttwodecades What isthecompany'sareaofoperations? Company wasconvertedintoaPublicLimitedcompanyvideresolutiondated21April1995. The companywasincorporatedasaPrivateLimitedonAugust28th,1991undertheCompaniesAct,1956. When wasInfotechEnterprisesLimited(company)founded? Shareholder Handbook ● ● ● ● What aretheQualityObjectivesofcompany? To deliverinnovativesolutionsthatdelightcustomersthrough deploymentofrobustprocesses. What istheQualityPolicyofcompany? Provide thebesttechnologyservicesandsolutionstoIndustryGovernmentworldwide What istheMissionStatementofcompany? Delivering InnovativeSolutionstogetherforabetterfuture What istheVisionStatementofcompany? issue wasleadmanagedbyIndustrialDevelopmentBankofIndia(IDBI),Madras.Theoversubscribed1.56times. Continuous processimprovementandachieveoperationalexcellence. Deliver solutions/servicesbasedoncuttingedgetools,technologies andmethodologies. Attract, trainandretaintalentedprofessionalsthroughactive employeeengagement. Delight customersthroughdeliveryexcellence. ` 10eachforcashatapremiumof ` 10pershare.The & 53 210 Annual Report 2014-15 cyient.com (BSE: 532175). The company'sequitysharesarelistedinIndiaontheNational StockExchange(NSE:CYIENT)andtheBombay In whichstockexchangesarethecompany’sshareslistedand whatarethecodes? investors w.e.f.August28,2000. Exchange BoardofIndiahasissueddirectivesthattradinginthe scripoftheCompanywouldbeincompulsorydematformbyall 1:1 Transfer ofsharesinelectronicformareeffectedthrough your depositoryparticipant.PleasenotethattheSecuritiesand www.karvycomputershare.com [email protected];[email protected] : : +91-40-67161562 Website : Email Tel 1:2 Gachibowli, FinancialDistrict,Nanakramguda,Hyderabad- 500 032. Plot No.KarvySeleniumTowerB,31-32, Unit: CyientLimited Karvy ComputersharePrivateLimited 1:1 Registrars/the Company- To transfersharesinphysicalformandgeneralcorrespondenceregardingshares,shareholdersmaywritetotheCompany's How doesaShareholdergoabouttransferinghisshares/havingrelatedcorrespondence? 1: advised tomakeuseofthenominationfacility.Forfurtherdetails,investorsmaycontactR&TAgentsCompany. Yes. NominationfacilityisavailabletotheShareholdersundersection109AofCompaniesAct,1956. are Is nominationfacilityavailabletotheshareholders? 2010 OnApril23,2015,theBoardofDirectorsCompanyrecommendedafinaldividend100%forfinancialyear2014-15. :1 1 ^ 2009 On11 September2014theBoardofDirectorsCompanydeclaredandpaidaninterimdividend60%forfinancialyear 2008 * 1994-95 7 :5 Dividend (%) Year What istheDividendHistoryofCompany? ratio issue Bonus Year What isthehistoryofBonusissueSharesatCompany? Statutory Auditors:DeloitteHaskins&Sells Internal Auditors:Ernst&YoungLLP Who arethecompany’sauditors? The CompanyfollowsafinancialyearthatbeginsonApril1andendsMarch31. What isthecompany'sfinancialyear? Infocity, Madhapur,Hyderabad-500081,Telangana Plot No.11,SoftwareUnitsLayout, 4th Floor,'A'Wing The RegisteredOfficeofthecompanyislocatedat What istheaddressofcompany'sregisteredoffice? 2014-15 4 0 0 5 5 5 0 0 0 0 0 100% 60% 60% 40% 50% 40% 25% 25% 25% 40% 30% 24% 0121 0221 0321 0421*2015^ 2015* 2014 2014 2013 2013 2012 2012 2011 959 969 020 060 2010-11 2006-07 2002-03 1996-97 1995-96 Itrm Fnl Itrm Fnl Itrm Fnl Itrm (Final) (Interim) (Final) (Interim) (Final) (Interim) (Final) (Interim) 53 211 Annual Report 2014-15 cyient.com issues ofstorageandrisklosspapercertificatesbutalso ensureautomaticcreditingofdividendstoyourbankaccount. Also, youmightconsiderdematerializingyourholdingsthrough aDepositoryParticipant.Thiswouldnotonlyeliminatethe bank accountofyourchoice.Toavailthisfacility,give requesttoourR&Tagentinwriting. To avoidthisprobleminthefuture,youcanuseECSfacility inwhichthedividendamountisautomaticallycreditedto case ofdematerializedholdings.Afterverification,theywillissue afreshinstrument. Please writetoourR&TAgent,withdetailsoffolionumbers (in thecaseofphysicalholdings)orDPIDandClientint My dividendchequeislost/wasneverreceived/hasexpired.HowdoIgetafreshre-issued? for aconfirmationthattheirrecordsreflectthenewaddress. In thecaseofdematerializedholdings,pleasewritetoyourDepositoryParticipant(DP)intimatingthemchangeand ask change inourrecords. shares youowntoourR&Tagents.Anacknowledgementwillbesentyournewaddressconfirmingtheupdationof the For physicalholdings,pleasesendaletter,dulysignedbythefirstholder,statingnewaddressandfolionumbersof the How doesashareholderrecordchangeintheaddress? The Companydoesnotacceptfixeddeposits. Does thecompanyacceptfixeddepositsfrompublic? exchanges andappropriateadvertisementsarealsoissuedinthenewspapers. Information aboutthecompanyisavailableonitswebsite.Further,allinformationthatmaterialinnaturenotifiedtos How canashareholderaccessinformationaboutthecompany? that providesbrokerageservicesattheBSEorNSE. The company'ssharescanbepurchasedintheopenmarketIndiathrougheitherastockbrokeroranyfinancialinstitution How doesapersonbuythecompany'sshares? details ofthedate,timeandvenue,alongsideAnnualReport. page ofourwebsite,closertotheevent.Ifyouareashareholder,willreceiveformalnoticemeeting,containing The AnnualGeneralMeeting(AGM)istypicallyheldinmid-July.formalannouncementwillbepublishedontheInvestors When istheAGMheld? earnings release.Duringthisperiod,thecompany'smanagementrefrainsfromcommunicatingwithmarketparticipants. The quietperiodatthecompanybegins14daysbeforedateofboardmeetingandlastsuntildayafterquarter's Does thecompanyhaveaquietperiod?Whenisthat? and availableontheBSENSEwebsites. on ourwebsite.Thesedetailsarealsonotifiedtothestockexchangessamedayofannouncementdividend You canfindtherecorddate/paymentdateforlastannounceddividendinAnnouncementssectionofInvestorpage What istherecorddateandpaymentofinterim/finaldividend? As ofMarch31,2015,thecompanyhad112,361,065sharesoutstanding. How manysharesareoutstanding? Infotech Enterprises'ISINcodeisINE136B01020 What isthecompany'sISINcode? tock he Closing Price (INR) 10,000 15,000

5,000 share price ( in INR) - 100 200 300 400 500 600 700 0 53 212 Annual Report 2014-15 cyient.com Share PriceMovements E-mail: [email protected] Fax: +91-4066624368 Tel: +91-4067641322 Hyderabad -500081,India Infocity, Madhapur 4th Floor,‘A’Wing,PlotNo:11,SoftwareUnitsLayout, Cyient Limited Company Secretary Mr. SudheendhraPutty Shareholders Queriesmaybeaddressedto: potential futurestockpriceperformance. Company cautionsthatthestockpriceperformanceshown inthegraphsaboveshouldnotbetakentoindicativeof Stock PriceMovements-CyientClosing(BSE) Date Vs BSEITIndex01/04/14to31/03/15 Share PriceMovementsontheNSE from 01/04/14to31/03/15 ls Price Close S TIndex IT BSE Date Date E-mail: Ajay.Aggarwal@ Fax: +91-4066624368 Tel: +91-4023124004 Hyderabad -500081,India Infocity, Madhapur 4th Floor,‘A’Wing,PlotNo:11,SoftwareUnitsLayout, Cyient Chief FinancialOfficer Mr. AjayAggarwal may besentto: Queries relatingtofinancialstatementsoftheCompany oa rddQuantity Traded Total Cyient Limited cyient .com - 200,000 400,000 600,000 800,000 1,000,000 1,200,000 0 200 400 600 800

BSE IT Index Volume 53 213 Annual Report 2014-15 cyient.com Route MaptoAGMVenue

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ICICI Bank

Microsoft

ISB Wipro ISB R oad Old Mumbai Highway

IDBI IIIT Circle BANK

DLF

ORR

Gachibowli Miyapur Road

Gachibowli X Roads 53 214 Annual Report 2014-15 cyient.com Auckland 188 Quay Street Level 27,PWC Towers Cyient Ltd. (Virtual Offi Tel: +61894298812 Australia West Perth, WA 6005 45 Ventnor Avenue Cyient Ltd. Tel: +61288964338 Australia NSW -2153 Baulkham Hills, Sydney 4 Columbia Ct Level 5/Nexus Norwest Cyient Ltd. Tel: +61386054815 Australia Melbourne, Victoria 3000 Level 1,350Collins Street Cyient Ltd. Australia Queensland 4000 Brisbane Level 7,320AdelaideStreet Cyient Ltd. Australia APAC Tel: +914067641000 Telangana, India Hyderabad -500081 Infocity, Madhapur Software UnitsLayout Plot No. 11, Cyient Ltd. Global Headquarters Global Presence ce) Tel: +82237824936 Seoul 100-768, 136 Sejong-daero, Jung-gu 21 FSeoulFinance Centre Cyient Ltd. South Korea Tel: +63-2817-9704to 07 Philippines Makati City, 1227 Salcedo Village Tordesillas Street Corner 326 DeLaCosta Street Le Metropole Building Ground Floor Cyient Ltd. Philippines Tel: +60 322987321 59200 Kuala Lumpur Lingkaran Syed Putra Mid Valley City The Gardens South Tower Level 28 Cyient Ltd. Malaysia Tel: +81 335279825 Tokyo 103-0027Japan Chuo-Ku, 3-14-5, Nihonbashi Sho-Building 6F Cyient K.K. Japan Tel: +88636685522 Taiwan County 30264 Zhubei City Hsinchu St. No. 262,Zhuangjing6th Cyient Ltd. Tel: +6563372472 179094 High Street Centre #19-04/05 1 NorthBridgeRoad Cyient Ltd. Singapore 417 56Göteborg Lindholmspiren 3B Cyient AB Sweden Tel: +442074040640 London WC1V 6RL,UK 52-54 HighHolborn High HolbornHouse Cyient Europe Ltd. Tel: +44 1454809700 UK BS20 7AW Portishead, Bristol Marine View Offi 43/44 Martingale Way Cyient Europe Ltd. UK Tel: +31 765722966 The Netherlands Breda 4817 ZPBreda Oost, Minervum 7491 Cyient BeneluxBV Netherlands Tel: +41 313825082 Switzerland 3008 Bern Güterstrasse 22 Franzelli C/o AAAServicesMeier + Cyient Schweiz GmbH Switzerland EMEA ce Park 53 215 Annual Report 2014-15 cyient.com Tel: +1 8605285430 East Hartford CT 06108 Suite 102 330 Roberts Street Cyient, Inc. Tel: +13096975975 Peoria IL61615 Street 8001 NorthUniversity Cyient, Inc. United States ofAmerica North America Tel: +971506867045 Dubai, UAE P.O. Box 54713 (DAFZA) Authority Dubai AirportFree Zone Cyient Ltd. UAE South Africa Pretoria -0186 Kilnerpark 255 AnnaWilsonStreet Cyient Ltd. South Africa Tel: +33130611673 Saint-Germain-en-Laye 78100 18, RueSaintVincent Cyient GmbH France Tel: +49715294520 Germany 71229 Leonberg Mollenbachstr. 37 Cyient GmbH Germany Tel: +514489-0370 Québec, H4T1V6,Canada Suite 500St. Laurent, 7575 Trans-Canada Hwy. Cyient CanadaInc. Canada Tel: +18664763836 Reston, VA 20170,USA 607 HerndonPkwy Cyient, Inc. Erie PA 16501 1001 State St., Suite 602 Cyient, Inc. Tel: +18172689501 Arlington TX76011 Expressway 1401 NolanRyan Cyient, Inc. Tel: +19093213760 San DimasCA 91773 510 E.Foothill #201 Cyient, Inc. Tel: +18702361080 Paragould AR72450 1707 Linwood Drive Cyient, Inc. Tel: +91 8067727200 Bangalore -560103 Road, Bellandur Sarjapur Marthahalli Ring 1st Floor, Block9-B Pritech Park SEZ, Cyient Ltd. Tel: +918028522341 Bangalore -560100 Hosur Road Phase 1,Electronics City Plot No-110A&110B Infotech ITPark Cyient Ltd. India Tel: +91 8916693100 Andhra Pradesh Visakhapatnam Rushikonda, Madhurawada(V) Hill No:3, Plot No:14,SEZUnit Survey No:410 Cyient Ltd. Tel: +911206691000 Noida -201305U.P. No: 7,NoidaDadriRoad Cyient Ltd. Tel: +911204161000 Noida -201307U.P. B-11, Sector 63 Cyient Ltd. Tel: +918846661846 Andhra Pradesh Kakinada -533005 East Godavari District Kakinada Rural Mandal IT SEZ,Sarpavaram Plot No:1,2,3,4&5A Cyient Ltd. Tel: +914067043434 Telangana Hyderabad –500039 IDA Uppal, Plot No. 6,Survey No. 1 Block No. 1 Center NSL SEZArena Town Cyient Ltd. Tel: +914067489100 Telangana Hyderabad -500032 Gachibowli Nanakramguda, Plot No. 2,ITPark Cyient Ltd. 53 216 Annual Report 2014-15 cyient.com

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✄ Electronic Clearing Services (ECS) MandateFormat Electronic ClearingServices(ECS) ed ECS Ref.No. Only------Use Office ------For submitted toyourDepositoryParticipant. Note: Client Id DP. ID For sharesheldinelectronicform Folio No. Regd. For sharesheldinphysicalform Please TICK and inENGLISHONLY. FORM FORELECTRONICCLEARINGSERVICESPAYMENTOFDIVIDENDpleasefill-intheinformationinCAPITALLETTERS Dear Sir, Gachibowli, FinancialDistrict,Nanakramguda,Hyderabad-500032. Plot No.KarvySeleniumTowerB,31-32, Unit :CyientLimited Karvy ComputershareLimited To ✄ Branch Code Branch Name Bank Nam First Holder: Name of ae ______(SignatureofFirstholder) ______Date: ute netk oifr theCompanyanychangeinmyBank/branchand accountnumber. I furtherundertaketoinform held responsible.IagreetoavailtheECSfacilityprovidedby RBI, asandwhenimplementedbyRBI/Company. for reasonsofincompletenessorincorrectnessinformation suppliedasabove,KarvyComputershareLimited,willnotbe I herebydeclarethattheparticularsgivenabovearecorrectand complete.Ifanytransactionisdelayedornoteffectedatal Account type in thechequebook) A/c No.(asappearing Mandate Effective dateofthis Onde-materializationofexistingphysicalshares,forwhichyouhaveavailedECSfacility,thisformneedstobere- ______e ✓ code number. copy ofablankchequeyourbankdulycancelledforensuringaccuracythebanksname,branchnameand (9 DigitCodeNumberappearingontheMICRbandofchequesuppliedbyBank)Pleaseattachaphoto awhereverapplicable. ______(Infotech EnterprisesLimited) aig Current Savings ______Cash Credit l 53 218 Annual Report 2014-15 cyient.com

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✁Annual Report 2014-15 cyient.com oe 1. Note: Number ofsharesheld:______Or DP/ClientIDNo.______Regd. FolioNumber: Signature ofproxy:______Signature ofshareholder:______(to befilledinifproxyattends) Name oftheproxy:______(in blockletters) Name oftheattendingshareholder:______Centre, PlotNo.2,ITPark,Manikonda,Hyderabad-500032,India,or/anyadjournmentthereof. presence attheAnnualGeneralMeetingofCompanyheldonThursday,16thdayJuly,20152:30p.m.L&D I herebystatethatamaregisteredshareholder/proxyfortheshareholderofCompany.recordmy ✁ .Members areinformedthatnoduplicateattendanceslipswillbe issuedatthevenueofmeeting. 2. Regd. Office:4 come tothemeetingandhandthemoveratgate,affixing theirsignatureonthem. Shareholders/proxy holdersarerequestedtobringtheAttendance Slipswiththemdulycompletedwhenthey th Floor,AWing,PlotNo.11,SoftwareUnitsLayout,Infocity,Madhapur,Hyderabad500081 Website :www.cyient.com,Email:[email protected] 24th ANNUALGENERALMEETING Tel: 914067641322Fax:66624368 Cyient Limited (To bepresentedattheentrance) CIN :L72200TG1991PLC013134 ATTENDANCE SLIP 53 220 Annual Report 2014-15 cyient.com

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✁Annual Report 2014-15 cyient.com 9. ToappointMs.AndreaBierce(DIN06997266)asanindependentdirectorforaperiodoffouryears. 8. Toappoint Mr.JohnPaterson(DIN07102549)asanindependentdirectorforaperiodoffouryears. 7. ToratifytheappointmentofM/sDeloitteHaskins&Sells,CharteredAccountants(ICAIReg.No.008072S),asstatutory 6. ToappointaDirectorinplace ofMr.ShankarNarayanan(DIN00219212),whoretiresbyrotationandoffershimselffor 5. ToappointaDirectorinplaceofMr.ThomasW.Prete(DIN06634086),whoretiresbyrotationandoffershimselffor 4. ToappointaDirectorinplaceofMr.AlainDeTaeye, (DIN03015749),whoretiresbyrotationandoffershimselffor 3. Toconfirmtheinterimdividendpaidduringyearanddeclarefinalonequitysharesforfinancial 2. Toreceive,considerandadopt,theauditedstatement ofprofitandlossforthefinancialyearendedon31March2015 1. Ordinary Business: Hyderabad -500032,anyadjournmentthereofinrespectofsuchresolutionsasareindicatedbelow: company atThursday,16July20152.30p.m.L&DCentre(company'sCampus),PlotNo.2,ITPark,Manikonda, As my/ourproxytoattendandvote(onapoll)forme/usonbehalfatthe24thAnnualGeneralMeetingof the Name:...... Ema 3. Name:...... Ema 2. Folio No./ Name:...... Ema 1. I/We beingthemember(s)of...... Sha E-mail id:...... Name andAddressoftheShareholder(s)...... ✁ NOTE: Signature ofShareholder...... SignatureofProxyholder(s)...... Signed this...... day of...... 2015 ToapproverevisionofremunerationtoMr.B.AshokReddy, President-CorporateAffairs&Infrastructure,arelativeof 11. ToapprovetheCyientAssociateStockOptionPlan,2015 andcreatingapoolof3,60,000optionsforassociatesthe 10. auditors ofthecompany. re-appointment. re-appointment. re-appointment. 2014-15. the balancesheetasatthatdateandreportsofboarddirectorsauditorsthereon. Signature :...... Address :...... Or failinghim Signature :...... Address :...... Or failinghim Signature :...... Address :...... To approvetheCyientAssociateStockOptionPlan,2015andcreating apoolof8,40,000optionsforassociatesthecompany Mr. B.V.R.MohanReddy,ExecutiveChairmanofthecompany. company’s subsidiaries,jointventuresandassociates,whether inIndiaorabroad. The proxyformmustbedeposited attheRegisteredOfficeofCompanynotlessthan48 hoursbeforethemeeting. Regd. Office:4 (Pursuant toSection105(6)oftheCompaniesAct,2013andRule19(3) th Floor,AWing,PlotNo.11,SoftwareUnitsLayout,Infocity,Madhapur,Hyderabad500081 Website :www.cyient.com,Email:[email protected] (Management andAdministration)Rules,2014) Tel: 914067641322Fax:66624368 Cyient Limited CIN :L72200TG1991PLC013134 PROXY FORM Dpid &Clientid:...... il id:...... il id:...... il id:...... res ofCyientLimited,herebyappoint ...... Revenue Stamp Affix 53 222 Annual Report 2014-15 cyient.com

This page is intentionally left blank 53 223 Annual Report 2014-15 cyient.com Notes 53 224 Annual Report 2014-15 cyient.com Notes Annual Report 2014-15 cyient.com and governance practices adoptedbythe company. Governance for 2014was presented to Cyient inrecognition ofthehighestlevels oftransparency The Institute ofCompany Secretaries of India(ICSI) NationalAward for Excellence inCorporate in Corporate Governance winsICSICyient National Award for Excellence www.kalajyothi.com cyient.com

24th Annual Report 2014-15

Formerly Infotech Enterprises cyient.com enabling futuresuccess. Sustaining rapid growth. 24 th AnnualReport |2014-15