OREANDA-NEWS. India Globalization Capital, Inc. (NYSE MKT:IGC) announces financial results for the fiscal year ended March 31, 2016. 

Total revenue was approximately $6.37 million for the year ended March 31, 2016, as compared to approximately $7.68 million for the year ended March 31, 2015, a decrease of about 17.4%. In both fiscal years our main revenue driver was electronic component trading with revenue performance based on volume and product diversity.

Selling, general and administrative expenses were approximately $2.7 million for fiscal 2016 as compared to approximately $4.14 million for fiscal 2015, an improvement of 34.8%. The overall SG&A for fiscal 2016 consists primarily of (i) non-cash charges associated with ESOP and other share issuances; (ii) one-time expenses associated with the acquisition of Ultima; and (iii) R&D expenses for the development of phytocannabinoid-based therapies. Adjusted for these events, the SG&A for fiscal 2016 reflects a steep cut in expenses associated with a further realignment of resources with the current business plan

Loss from operations was approximately $2.9 million in fiscal year 2016, as compared to approximately $4.34 million in fiscal year 2015. The improvement in operating loss year over year is attributed to lower SG&A.

In fiscal year 2016, our investment in others was approximately $5.17 million and at March 31, 2015 it was about $0.031 million. The increase in investment stems from the acquisition of land in Nagpur India that was part of the settlement with Sricon. This is a reclassification from Investment in affiliates.

At the end of fiscal year 2016, the Company has approximately $1.49 million in cash and cash equivalents.  In fiscal 2016, the non-GAAP total cash burn after adjusting for non-cash items that include ESOPs, interest payments paid in stock, foreign exchange losses, one time acquisition related expenses, and other miscellaneous non-cash items, was approximately $0.856 million.  This is attributable largely to public company related expenses as our operating business was marginally profitable.

Our strategy in fiscal 2016 and fiscal 2017 is: (i) to develop an addressable market product portfolio of phytocannabinoid-based therapies for end of care and compassionate use; (ii) wind down the low margin electronic parts supply business; and (iii) re-focus on infrastructure and real estate development. 

Financial Tables to Follow

   
INDIA GLOBALIZATION CAPITAL, INC. AND SUBSIDIARIES  
CONSOLIDATED BALANCE SHEETS  
(Audited)  
   
All amounts in USD except share data   As of  
    31-March - 16     31-March - 15  
    (audited)     (audited)  
ASSETS            
Current assets:            
Cash and cash equivalents   $ 1,490,693     $ 824,492  
Accounts receivable, net of allowances     962,658       993,296  
Inventories     162,091       709,649  
Prepaid expenses and other current assets     1,226,507       1,950,295  
Total current assets   $ 3,841,949     $ 4,477,732  
Goodwill     1,180,951       982,782  
Intangible Assets     113,321       306,131  
Property, plant and equipment, net     7,074,437       7,784,447  
Investments in affiliates     609,148       5,997,058  
Investments-others     5,175,392       30,477  
Deferred Income taxes     356,684       318,548  
Other non-current assets     507,300       434,284  
Total long-term assets   $ 15,017,233     $ 15,853,727  
Total assets   $ 18,859,182     $ 20,331,459  
LIABILITIES AND STOCKHOLDERS' EQUITY                
Current liabilities:                
Short -term borrowings     27,762       1,280,356  
Trade payables     330,631       174,584  
Accrued expenses     300,111       422,252  
Loans - others     189,680       73,707  
Notes payable     1,800,000       -  
Other current liabilities     550,877       496,985  
Total current liabilities   $ 3,199,061     $ 2,447,884  
Long -term borrowings     801,467       323,904  
Notes payable     -       1,800,000  
Other non-current liabilities     910,583       1,009,889  
    $ 1,712,050     $ 3,133,793  
Total liabilities   $ 4,911,111     $ 5,581,677  
Stockholders' equity:                
Common stock — $.0001 par value; 150,000,000 shares authorized; 14,766,333 issued and outstanding as of March 31, 2015 and 23,265,531 issued and outstanding as of March 31, 2016.   $ 2,327     $ 1,477  
Additional paid-in capital     65,885,243       63,479,918  
Accumulated other comprehensive income     (2,269,357 )     (1,913,585 )
Retained earnings (Deficit)     (50,142,199 )     (47,333,955 )
Total equity attributable to Parent   $ 13,476,014     $ 14,233,855  
 Non-controlling interest   $ 472,057     $ 515,927  
Total stockholders' equity   $ 13,948,071     $ 14,749,782  
Total liabilities and stockholders' equity   $ 18,859,182     $ 20,331,459  
   
These financial statements should be read in connection with the accompanying notes on Form 10-K for fiscal 2016 filed with the SEC on July 14, 2016.  
INDIA GLOBALIZATION CAPITAL, INC. AND SUBSIDIARIES  
CONSOLIDATED STATEMENTS OF OPERATIONS  
(Audited)  
   
    All amounts in USD except share data  
    Year ended March 31,  
  2016     2015  
             
Revenues   $ 6,366,550     $ 7,680,257  
Cost of revenues (excluding depreciation)     (5,523,256 )     (7,100,568 )
Selling, general and administrative expenses     (2,702,753 )     (4,140,434 )
Depreciation     (728,741 )     (781,546 )
Loss on investments / associates /joint ventures     (317,510 )     -  
Operating income (loss)   $ (2,905,710 )   $ (4,342,291 )
Interest expense     (213,928 )     (286,332 )
Interest income     2,085       6,799  
Other income, net     284,186       (56,367 )
Income before income taxes and minority interest attributable to non-controlling interest   $ (2,833,367 )   $ (4,678,191 )
Income taxes benefit/ (expense)     (579 )     (5,157 )
Net income/(loss)   $ (2,833,946 )   $ (4,683,348 )
                 
Non-controlling interests in earnings of subsidiaries     (25,702 )     (69,165 )
Net income / (loss) attributable to common stockholders   $ (2,808,244 )   $ (4,614,183 )
Earnings/(loss) per share attributable to common stockholders:                
Basic   $ (0.17 )   $ (0.31 )
Diluted   $ (0.17 )   $ (0.31 )
Weighted-average number of shares used in computing earnings per share amounts:                
Basic     16,387,290       14,755,893  
Diluted     16,387,290       14,755,893  
                 
These financial statements should be read in connection with the accompanying notes on Form 10-K for fiscal 2016 filed with the SEC on July 14, 2016.