KYC is one time exercise with a SEBI registered intermediary while dealing in securities markets (Broker/ DP/ Mutual Fund etc.). | No need to issue cheques by investors while subscribing to IPO. Just write the bank account number and sign in the application form to authorise your bank to make payment in case of allotment. No worries for refund as the money remains in investor's account.   |   Prevent unauthorized transactions in your account – Update your mobile numbers / email ids with your stock brokers. Receive information of your transactions directly from exchange on your mobile / email at the EOD | Filing Complaint on SCORES - QUICK & EASY a) Register on SCORES b) Mandatory details for filing complaints on SCORE - Name, PAN, Email, Address and Mob. no. c) Benefits - speedy redressal & Effective communication   |   BSE Prices delayed by 5 minutes... << Prices as on Jul 25, 2025 >>  ABB India 5645.7  [ -0.97% ]  ACC 1847.65  [ -2.27% ]  Ambuja Cements 613.35  [ -1.10% ]  Asian Paints Ltd. 2335.65  [ -0.70% ]  Axis Bank Ltd. 1086.9  [ -0.76% ]  Bajaj Auto 8064.05  [ -2.70% ]  Bank of Baroda 243.45  [ -1.36% ]  Bharti Airtel 1937.6  [ 0.05% ]  Bharat Heavy Ele 240.15  [ -4.28% ]  Bharat Petroleum 332.8  [ -2.55% ]  Britannia Ind. 5593.4  [ -1.45% ]  Cipla 1531.1  [ 2.95% ]  Coal India 380.85  [ -1.19% ]  Colgate Palm. 2215.1  [ -1.98% ]  Dabur India 511.25  [ -0.27% ]  DLF Ltd. 825.7  [ -0.39% ]  Dr. Reddy's Labs 1277.6  [ 1.01% ]  GAIL (India) 183.55  [ -2.32% ]  Grasim Inds. 2708.45  [ -0.88% ]  HCL Technologies 1489.9  [ -1.13% ]  HDFC Bank 2004.5  [ -0.47% ]  Hero MotoCorp 4229.35  [ -1.68% ]  Hindustan Unilever L 2415.1  [ -0.89% ]  Hindalco Indus. 692.85  [ -0.52% ]  ICICI Bank 1476.6  [ -0.41% ]  Indian Hotels Co 745.65  [ -1.10% ]  IndusInd Bank 823.7  [ -2.78% ]  Infosys L 1515.6  [ -2.44% ]  ITC Ltd. 409.35  [ -0.16% ]  Jindal St & Pwr 999.9  [ 0.01% ]  Kotak Mahindra Bank 2124.95  [ -0.77% ]  L&T 3443.35  [ -1.00% ]  Lupin Ltd. 1950.95  [ 0.39% ]  Mahi. & Mahi 3246.5  [ -0.43% ]  Maruti Suzuki India 12400.25  [ -1.23% ]  MTNL 47.54  [ -3.75% ]  Nestle India 2275  [ -1.95% ]  NIIT Ltd. 120.05  [ -0.46% ]  NMDC Ltd. 71.65  [ -1.46% ]  NTPC 333.25  [ -1.65% ]  ONGC 240.2  [ -1.88% ]  Punj. NationlBak 108.35  [ -2.08% ]  Power Grid Corpo 291.8  [ -2.49% ]  Reliance Inds. 1392.1  [ -0.75% ]  SBI 806.5  [ -1.15% ]  Vedanta 443.45  [ -1.77% ]  Shipping Corpn. 219  [ -1.66% ]  Sun Pharma. 1698.6  [ 0.38% ]  Tata Chemicals 942  [ -0.49% ]  Tata Consumer Produc 1054.65  [ -1.77% ]  Tata Motors 687.3  [ -1.90% ]  Tata Steel 161.4  [ -1.25% ]  Tata Power Co. 395.45  [ -1.29% ]  Tata Consultancy 3134.35  [ -0.50% ]  Tech Mahindra 1461.8  [ -2.44% ]  UltraTech Cement 12254.2  [ -0.36% ]  United Spirits 1309.4  [ -1.94% ]  Wipro 259.35  [ -0.97% ]  Zee Entertainment En 123.75  [ -4.29% ]  

Company Information

Indian Indices

  • Loading....

Global Indices

  • Loading....

Forex

  • Loading....

ABBOTT INDIA LTD.

25 July 2025 | 12:00

Industry >> Pharmaceuticals

Select Another Company

ISIN No INE358A01014 BSE Code / NSE Code 500488 / ABBOTINDIA Book Value (Rs.) 1,992.14 Face Value 10.00
Bookclosure 25/07/2025 52Week High 37000 EPS 665.64 P/E 50.75
Market Cap. 71780.14 Cr. 52Week Low 25325 P/BV / Div Yield (%) 16.96 / 1.41 Market Lot 1.00
Security Type Other

ACCOUNTING POLICY

You can view the entire text of Accounting Policy of the company for the latest year.
Year End :2025-03 

2 SUMMARY OF MATERIAL ACCOUNTING
POLICIES

2.1 Statement of C ompliance

The financial statements are prepared in accordance
with the Indian Accounting Standards (Ind AS) notified
under the Companies (Indian Accounting Standards)
Rules, 2015 (as amended from time to time) and
presentation and disclosure requirements of division II
of Schedule III of the Companies Act, 2013.

2.2 Basis of preparation

The financial statements have been prepared on a
historical cost basis, except for certain financial assets
and liabilities measured at fair value.

The financial statements are presented in INR and
all values are rounded to the nearest Crores upto two
decimal, except when otherwise indicated.

The financial statements are approved for issue by the
Company’s Board of Directors on May 15,2025.

2.3 Summary of material accounting policies

a) Current and non-current classification

All assets and liabilities are presented in the Balance
Sheet based on current or non-current classification
as per the Company’s normal operating cycle
and other criteria set out in Schedule III of the
Companies Act, 2013. Based on the nature of
products and the time between the acquisition of
assets for processing and their realisation into cash
and cash equivalents, the Company has ascertained
its operating cycle as twelve months for the purpose

of current/non-current classification of assets and
liabilities. An asset is treated as current when it is :

• Expected to be realised or intended to be sold
or consumed in normal operating cycle

• Held primarily for the purpose of trading

• Expected to be realised within twelve months
after the reporting period

• Cash or cash equivalent unless restricted from
being exchanged or used to settle a liability
for at least twelve months after the reporting
period

All other assets are classified as non-current.

A liability is current when :

• It is expected to be settled in normal operating
cycle

• It is held primarily for the purpose of trading

• It is due to be settled within twelve months
after the reporting period

• There is no unconditional right to defer the
settlement of the liability for at least twelve
months after the reporting period

All other liabilities are classified as non-current.

Deferred tax assets and liabilities are classified as
non-current assets and liabilities.

b) Foreign currency translation

Functional and presentation currency

Items included in the financial statements of the
Company are measured using the currency of
the primary economic environment in which the
Company operates (‘the functional currency’). The
financial statements are presented in Indian Rupee
(INR), which is the Company’s functional and
presentation currency.

Transactions and balances

Transactions in foreign currencies are initially
recorded at the foreign exchange rate on the date
of the transaction. Monetary assets and liabilities
denominated in foreign currencies at the reporting
date are translated into the functional currency at
the exchange rate at that date. Exchange differences
arising on the settlement of monetary items or on
translating monetary items at rates different from
those at which they were translated on initial

recognition during the period or in previous period
are recognised in the Statement on Profit and loss
in the period.

Non-monetary assets and liabilities denominated in
a foreign currency and measured at historical cost
are translated at the exchange rate prevalent at the
date of the initial transaction.

c) Fair value measurement

The Company measures financial instruments such
as derivatives at fair value at each Balance Sheet
date. Fair value is the price that would be received
on sale of an asset or paid to transfer a liability in an
orderly transaction between market participants at
the measurement date. The fair value measurement
is based on the presumption that the transaction
to sell the asset or transfer the liability takes place
either :

• In the principal market for the asset or liability,
or

• In the absence of a principal market, in the
most advantageous market for the asset or
liability

The principal or the most advantageous market
must be accessible by the Company. The fair value
of an asset or a liability is measured using the
assumptions that market participants would use
when pricing the asset or liability, assuming that
market participants act in their economic best
interest.

A fair value measurement of a non-financial asset
takes into account a market participant’s ability to
generate economic benefits by using the asset in
its highest and best use or by selling it to another
market participant that would use the asset in its
highest and best use.

The Company uses valuation techniques that are
appropriate in the circumstances and for which
sufficient data are available to measure fair value,
maximising the use of relevant observable inputs
and minimising the use of unobservable inputs.
Where required/appropriate, external valuers are
involved.

All assets and liabilities for which fair value is
measured or disclosed in the financial statements
are categorised within the fair value hierarchy,
described as follows, based on the lowest level input
that is significant to the fair value measurement as a
whole :

• Level 1 — Quoted (unadjusted) prices in active
markets for identical assets or liabilities.

• Level 2 (if level 1 feed is not available/
appropriate) — Valuation techniques for which
the lowest level input that is significant to
the fair value measurement is directly or
indirectly observable.

• Level 3 (if level 1 and 2 feed is not available/
appropriate) — Valuation techniques for which
the lowest level input that is significant to the
fair value measurement is unobservable.

For financial assets and liabilities maturing within
one year from the Balance Sheet date and which
are not carried at fair value, the carrying amount
approximates fair value due to the short maturity
of these instruments.

For assets and liabilities that are recognised in
the financial statements on a recurring basis,
the Company determines whether transfers
have occurred between levels in the hierarchy
by re-assessing categorisation (based on the
lowest level input that is significant to the fair
value measurement as a whole) at the end of each
reporting period.

d) Property, plant and equipment

Property, plant and equipment are stated at cost
of acquisition less accumulated depreciation and
accumulated impairment losses, if any. Cost for
additions comprises the purchase price and any
other attributable cost of bringing the asset to its
working condition for its intended use.

The Company identifies and determines cost of
each component/part of the Property, plant and
equipment separately, if the component/part has a
cost which is significant to the total cost of the plant
and equipment and has useful life that is materially
different from that of the remaining plant and
equipment.

An item of Property, plant and equipment is
derecognised upon disposal or when no future
economic benefits are expected to arise from
the continued use of the asset. Gains or losses
arising from derecognition of Property, plant and
equipment are measured as the difference between
the net disposal proceeds and the carrying amount
of the asset and are recognised in the Statement of
Profit and Loss.

Depreciation of these assets commences when the
assets are ready for their intended use. Depreciation
is recognised on the cost of assets (other than
Capital work-in-progress) less their residual values
on straight-line method over their useful lives as
indicated in Part C of Schedule II of the Companies
Act, 2013 and based on technical parameters/
assessments. The management believes that
useful lives currently used fairly reflect its estimate
of the useful lives and residual values of Property,
plant and equipment, though these lives in certain
cases are different from lives prescribed under
Schedule II.

Leasehold improvements are depreciated over
period of the lease agreement or the useful life,
whichever is shorter.

* In respect of these assets, the management estimate of useful
lives, based on technical assessment is lower than the useful
life prescribed under part C of Schedule II to the Companies
Act, 2013.

The residual values, useful lives and methods of
depreciation of Property, plant and equipment are
reviewed at each financial year end and adjusted
prospectively, if appropriate.

Capital work in progress is stated at cost, net of
accumulated impairment loss, if any.

e) Intangible assets

Intangible assets that are acquired by the Company
and that have finite useful lives are measured at cost
less accumulated amortisation and accumulated
impairment losses, if any.

Amortisation is recognised on a straight-line basis
over the estimated useful lives of intangible assets.
Intangible assets that are not available for use are
amortised from the date they are available for use.

Intangible assets are tested for impairment when
there are indications that the carrying value may
not be recoverable. Intangible assets are carried
at cost, net of accumulated amortisation and
accumulated impairment losses, if any.

Intangible assets are amortised over the useful
economic life and intangible assets are assessed
for impairment whenever there is an indication
that the intangible asset may be impaired. The
amortisation period and the amortisation method
for an intangible asset are reviewed at least at the
end of each reporting period with the effect of
any changes in estimate being accounted for on a
prospective basis. The amortisation expense on
intangible assets is recognised in the Statement of
Profit and Loss.

Intangible assets are de-recognised either on their
disposal or where no future economic benefits are
expected from their use. Gains or losses arising
from derecognition of such intangible assets
are measured as the difference between the net
disposal proceeds and the carrying amount of the
asset and are recognised in the Statement of Profit
and Loss.

f ) Asset held for sale

Property, plant and equipment are classified as
Asset held for sale, if their carrying amounts are
to be recovered principally through a sale rather
than through continuing use. The condition for
classification of held for sale is met when the non¬
current asset is available for immediate sale and the
same is highly probable of being completed within
one year from the date of clasification as held for
sale.

Property, plant and equipment retired from actual
use and held for disposal are stated at the lower of
their net book value and net realisable value and

are disclosed separately under ‘Current assets’.
Once classified as held for sale, these assets are not
depreciated.

g) Financial instruments

A financial instrument is any contract that
gives rise to a financial asset of one entity and a
financial liability or equity instrument of another
entity.

Financial assets

Recognition and measurement

All financial assets are recognised initially at fair
value , except for trade receivables plus, in the
case of financial assets not recorded at ‘Fair value
through profit or loss’, transaction costs that are
attributable to the acquisition of the financial
asset. Financial assets are classified, at initial
recognition, as financial assets measured at fair
value or as ‘Financial assets measured at amortised
cost’. However trade receivables that do not contain
a significant financing component are measured at
transaction price determine under Ind AS 115.

For purposes of subsequent measurement, financial
assets are classified in following categories :

• Financial assets at amortised cost

• Financial assets at fair value

A financial asset is measured at amortised cost net
of impairment, if the objective of the Company’s
business model is to hold the financial asset
to collect the contractual cash flows and the
contractual terms of the financial asset give rise
on specified dates to cash flows that are solely
payments of principal and interest on the principal
amount outstanding.

All other financial assets are measured at fair value
through Statement of Profit and Loss.

Derecognition

A financial asset (or, where applicable, a part of a
financial asset or part of a group of similar financial
assets) is primarily derecognised (i.e. removed
from the Company’s balance sheet) when :

• The contractual rights to receive cash flows
from the asset have expired, or

• The Company has transferred its rights
to receive contractual cash flows from the
asset or has assumed an obligation to pay the

received cash flows in full without material
delay to a third party under a ‘pass-through’
arrangement, and either (a) the Company has
transferred substantially all the risks and
rewards of the asset, or (b) the Company has
neither transferred nor retained substantially
all the risks and rewards of the asset, but has
transferred control of the asset.

On derecognition of a financial asset in its entirety,
the difference between the asset’s carrying
amount and the sum of the consideration receives
recognised in Statement of profit and loss.

Financial liabilities

Recognition and measurement

All financial liabilities are recognised initially at
fair value plus, in the case of financial liabilities
not recorded at ‘Fair value through profit or loss’,
transaction costs that are attributable to the
acquisition of the financial liabilities. Financial
liabilities are classified, at initial recognition, as
either ‘Financial liabilities at fair value through
profit or loss’ or ‘Other financial liabilities’.

For purposes of subsequent measurement, financial
liabilities are classified in following categories :

(a) Financial liabilities are classified as ‘Financial
liabilities at fair value through profit or loss’,
if they are held for trading or if they are
designated as financial liabilities at fair value
through profit or loss. These are measured
initially at fair value with subsequent changes
recognised in Statement of Profit and Loss.

(b) Other financial liabilities, are subsequently
measured at amortised cost are determined
based on the Effective Interest Rate (EIR)
method. Interest expense that is not capitalised
as part of costs of an asset is included in the
‘Finance costs’ line item in the Statement of
Profit and Loss.

Derecognition

A financial liability is derecognised when the
obligation under the liability is discharged or
cancelled or expires. When an existing financial
liability is replaced by another from the same
lender on substantially different terms, or the terms
of an existing liability are substantially modified,
such an exchange or modification is treated as
the derecognition of the original liability and
the recognition of a new liability. The difference

between the carrying amount of the financial
liability derecognised and the consideration paid
and payable is recognised in profit or loss.

Offsetting of financial instruments

Financial assets and financial liabilities are offset
and the net amount is reported in the Balance Sheet
if there is a legally enforceable right to offset the
recognised amounts and there is an intention to
settle on a net basis or realise the assets and settle
the liabilities simultaneously.

h) Impairment
Financial assets

A financial asset is assessed at each reporting date to
determine whether there is any objective evidence
that it is impaired. A financial asset is considered
to be impaired, if objective evidence indicates that
one or more events have had a negative effect on the
estimated future cash flows of that asset.

In accordance with Ind AS 109, the Company
applies Expected Credit Loss (ECL) model for
measurement and recognition of impairment loss
on the following financial assets and credit risk
exposure:

a) Trade receivables or any contractual right to
receive cash or another financial asset that
result from transactions that are within the
scope of Ind AS 115.

b) Other financial assets which are measured at
amortised cost.

The Company follows simplified approach for
recognition of impairment loss allowance on Trade
receivables. The Company recognises impairment
loss allowance based on lifetime ECLs at each
reporting date, right from its initial recognition.

For recognition of impairment loss on other
financial assets and risk exposure, the Company
determines that whether there has been a
significant increase in the credit risk since initial
recognition. If credit risk has not increased
significantly, twelve month ECL is used to provide
for impairment loss. However, if credit risk has
increased significantly, lifetime ECL is used. If,
in a subsequent period, credit quality of the
instrument improves such that there is no longer
a significant increase in credit risk since initial
recognition, then the entity reverts to recognising
impairment loss allowance based on twelve
month ECL.

ECL are measured in a manner that they reflect
unbiased and probability weighted amounts
determined by a range of outcomes, taking into
account the time value of money and other
reasonable information available as a result of past
events, current conditions and forecasts of future
economic conditions.

Non-financial assets

The carrying amount of non-financial assets are
assessed at each reporting date to ascertain whether
there is any indication of impairment. If any such
indication exists or when annual impairment
testing for an asset is required, then the asset’s
recoverable amount is estimated. An impairment
loss is recognised, as an expense in the Statement
of Profit and Loss, for the amount by which the
asset’s carrying amount exceeds its recoverable
amount. The recoverable amount is the higher of an
asset’s fair value less cost to sell and value in use.
Value in use is ascertained through discounting of
the estimated future cash flows using a discount
rate that reflects the current market assessments of
the time value of money and the risk specific to the
assets. For the purpose of assessing impairment,
assets are grouped at the lowest levels into cash
generating units for which there are separately
identifiable cash flows.

An impairment loss recognised in prior years
are reversed if there has been a change in the
estimates used to determine the recoverable
amount. An impairment loss is reversed only to the
extent that the asset’s carrying amount does not
exceed the carrying amount that would have been
determined, net of depreciation or amortisation,
if no impairment had been recognised in previous
years.

i) Leases

The Company assesses at contract inception
whether a contract is, or contains, a lease. That is, if
the contract conveys the right to control the use of
an identified asset for a period of time in exchange
for consideration.

Company as a lessee

The Company applies a single recognition and
measurement approach for all leases, except for
short-term leases. The Company recognises lease
liabilities to make lease payments and Right-of-use
assets representing the right to use the underlying
assets.

i) Right-of-use assets

The Company recognises Right-of-use assets
at the commencement date of the lease (i.e.,
the date the underlying asset is available for
use). Right-of-use assets are measured at
cost, less any accumulated depreciation and
accumulated impairment losses, and adjusted
for any remeasurement of lease liabilities.
The cost of Right-of-use assets includes the
amount of lease liabilities recognised, initial
direct costs incurred, and lease payments
made at or before the commencement date
less any lease incentives received. Right-of-
use assets are depreciated on a straight-line
basis over the shorter of the lease term and the
estimated useful lives of the assets, as follows :

• Leasehold Land : Over lease period which
is 95 years

• Buildings : 2 to 9 years

• Furniture and Fixtures : 5 years

• Vehicles : 2 to 5 years

If ownership of the leased asset transfers to
the Company at the end of the lease term or
the cost reflects the exercise of a purchase
option, depreciation is calculated using the
estimated useful life of the asset.

The Right-of-use assets are also subject to
impairment. Refer to the accounting policies
in Note 2.3 (h) Impairment - non-financial
assets.

ii) Lease Liabilities

At the commencement date of the lease, the
Company recognises lease liabilities measured
at the present value of lease payments to
be made over the lease term. The lease
payments include fixed payments (including
in substance fixed payments) less any lease
incentives receivable. The lease payments
also include the exercise price of a purchase
option reasonably certain to be exercised
by the Company and payments of penalties
for terminating the lease, if the lease term
reflects the Company exercising the option to
terminate.

In calculating the present value of lease
payments, the Company uses its incremental
borrowing rate at the lease commencement

date because the interest rate implicit in the
lease is not readily determinable. After the
commencement date, the amount of lease
liabilities is increased to reflect the accretion
of interest and reduced for the lease payments
made. In addition, the carrying amount of
lease liabilities is remeasured if there is a
modification, a change in the lease term, a
change in the lease payments (e.g., changes to
future payments resulting from a change in
an index or rate used to determine such lease
payments) or a change in the assessment of an
option to purchase the underlying asset.

The Company’s lease liabilities are presented
within the Balance Sheet under Financial
Liabilities (Refer Note 5).

iii) Short-term leases

The Company applies the short-term lease
recognition exemption to its short-term leases
(i.e. those leases that have a lease term of twelve
months or less from the commencement date
and do not contain a purchase option). Lease
payments on short-term leases are recognised
as expense on straight line basis over lease
term.

Company as a lessor

Leases in which the Company does not
transfer substantially all the risks and rewards
incidental to ownership of an asset are
classified as operating leases. Rental income
arising is accounted for over the lease terms.
Initial direct costs incurred in negotiating
and arranging an operating lease are added to
the carrying amount of the leased asset and
recognised over the lease term on the same
basis as rental income.

j) Inventories

Inventories consists of raw materials, packing
materials, work-in-progress, stock-in-trade and
finished goods. Inventories are valued at lower of
cost and net realisable value. Cost is determined on
First-In-First-Out basis.

Cost of raw materials and packing materials
includes cost of purchase and other costs incurred
in bringing the inventories to their present location
and condition.

Cost of work-in-progress and finished goods
includes direct materials, labour and proportion
of manufacturing overheads based on the normal
operating capacity, wherever applicable. Cost of
finished goods further includes other costs incurred
in bringing the inventories to their present location
and condition.

Cost of stock-in-trade includes cost of purchase and
other costs incurred in bringing the inventories to
their present location and condition.

Net realisable value is the estimated selling price
in the ordinary course of business, less estimated
costs of completion and estimated costs necessary
to make the sale. However, materials and other
items held for use in the production of inventories
are not written down below cost if the finished
products in which they will be used are expected to
be sold at or above cost.

k) Cash and cash equivalents

Cash and cash equivalents in the Balance Sheet
comprise cash at banks and on hand and short-term
deposits with a maturity of three months or less,
which are subject to an insignificant risk of changes
in value.

For the purpose of the Statement of Cash Flows,
cash and cash equivalents consist of cash and short¬
term deposits, as defined above, net of outstanding
bank overdrafts, if any, as they are considered an
integral part of the Company’s cash management.