The second picture is important.
140cr is less than 1% default probability. Overall he expects 2.1% to be bad debts out of total debtors of 209.84cr. And it says Undisputed Trade Receivables – Considered Good, in Considered Doubtful the section is blank.
It is scarily presented by writing the words “Credit Impaired”, because only 1.08cr of debtors seems to be impaired at 96% default probability.
Rest of “credit impaired” debtors seem to have a much lower default probability rate.
He had also said in one of the concalls 2-3 qtrs ago that the working capital increase which has impacted cash flow will reverse in the coming FY, we should see positive OCF again in 6 monthly statement. Nevertheless we should ask about this in next concall to have 100% clarity. Hope this helps.
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