Annual Report 2016-17

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163

Independent Auditors’ Report

To The Members of

Persistent Systems Limited

Report on the Consolidated Ind AS Financial Statements

:e have audited the accompanying consolidated Ind AS onancial statements of

Persistent Systems Limited

(hereinafter referred to as “the Parent”) and its subsidiaries (the Parent and its subsidiaries together referred to as “the

Group”) and its associate, comprising the Consolidated Balance Sheet as at March 31, 2017, the Consolidated Statement

of Proot and /oss including other comprehensive income, the Consolidated Cash Flow Statement, the Consolidated

Statement of Changes in Equity, for the year then ended, and a summary of the signiocant accounting policies and

other e[planatory information (hereinafter referred to as “the consolidated Ind AS onancial statements”).

Management’s Responsibility for the Consolidated Ind AS Financial Statements

The Parent’s Board of Directors is responsible for the preparation of these consolidated Ind AS onancial statements in

terms of the requirements of the Companies Act, 2013 (hereinafter referred to as “the Act”) that give a true and fair

view of the consolidated onancial position, consolidated onancial performance including other comprehensive income,

consolidated cash pows and statement of changes in equity of the Group including its associate in accordance with

the accounting principles generally accepted in India, including the Indian Accounting Standards (Ind AS) prescribed

under Section 133 of the Act. The respective Board of Directors of the companies included in the Group and of its

associate are responsible for maintenance of adequate accounting records in accordance with the provisions of the

Act for safeguarding the assets of the Group and its associate and for preventing and detecting frauds and other

irregularities the selection and application of appropriate accounting policies making judgments and estimates that

are reasonable and prudent and the design, implementation and maintenance of adequate internal onancial controls,

that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to

the preparation and presentation of the onancial statements that give a true and fair view and are free from material

misstatement, whether due to fraud or error, which have been used for the purpose of preparation of the consolidated

Ind AS onancial statements by the Directors of the Parent, as aforesaid.

Auditors’ Responsibility

Our responsibility is to e[press an opinion on these consolidated Ind AS onancial statements based on our audit. In

conducting our audit, we have taken into account the provisions of the Act, the accounting and auditing standards

and matters which are required to be included in the audit report under the provisions of the Act and the Rules made

thereunder.

:e conducted our audit in accordance with the Standards on Auditing specioed under Section 143(10) of the Act. Those

Standards require that we comply with ethical requirements and plan and perform the audit to obtain reasonable

assurance about whether the consolidated Ind AS onancial statements are free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and the disclosures in the

consolidated Ind AS onancial statements. The procedures selected depend on the auditors’ judgment, including the

assessment of the risks of material misstatement of the consolidated Ind AS onancial statements, whether due to fraud

or error. In making those risk assessments, the auditor considers internal onancial control relevant to the Parent’s

preparation of the consolidated Ind AS onancial statements that give a true and fair view in order to design audit

procedures that are appropriate in the circumstances. An audit also includes evaluating the appropriateness of the

accounting policies used and the reasonableness of the accounting estimates made by the Parent’s Board of Directors,

as well as evaluating the overall presentation of the consolidated Ind AS onancial statements.

:e believe that the audit evidence obtained by us, is sufocient and appropriate to provide a basis for our audit opinion

on the consolidated Ind AS onancial statements.