Exhibit 1 HAVELLS FINANCIAL STATEMENT (in millions of rupees) STATEMENT OF INCOME Year Ended March 31 2006 2005 2004 2003 Income (Projected) Sales 11,151 6,659 4,192 2,931 Other income 35 29 76 42 11,187 6,688 4,268 2,973 Expenditure Materials 5,821 3,327 2,031 1,369 Excise duty 1,114 834 563 106 Manufacturing 1,052 648 459 369 Office & administration 603 388 263 184 Selling & distribution 1,578 887 506 366 Financial 226 165 141 132 Managerial remuneration Income tax expense 153 127 52 Total costs and expenses 10,554 6,382 4.059 2,883 Profit After Tax 633 305 210 90 BALANCE SHEET Current Assets Cash and bank 83 82 66 56 Sundry debtors 1,282 1,636 1,128 377 Inventories 1,906 1,061 561 352 Loans and advances 445 260 188 112 Total current assets 3,716 3,039 1,944 1,397 Property and equipment, net 1,464 882 436 295 Capital work in progress 68 41 28 Investments 32 32 32 157 Deferred tax assets 28 22 11 3 Total Assets 5.308 4.016 2.449 1.858 Current Liabilities Current liabilities 2,123 1,182 681 390 Provisions 213 129 103 62 Total current liabilities 2,336 1,311 784 151 Deferred tax liability 123 96 54 51 Secured loans 1,085 1,421 935 851 Unsecured loans 13 321 83 95 Total Liabilities 3,558 3,150 1,856 1,448 Stockholders' Equity 1,750 866 594 410