m. Provisions and contingent liabilities

Provisions are recognised when the Company has a
present obligation (legal or constructive) as a result of
a past event, it is probable that an outflow of resources
embodying economic benefits will be required to settle
the obligation and a reliable estimate can be made of
the amount of the obligation. When the Company
expects some or all of a provision to be reimbursed,
for example, under an insurance contract, the
reimbursement is recognised as a separate asset, but
only when the reimbursement is virtually certain. The
expense relating to a provision is presented in the
statement of profit and loss net of any reimbursement.

If the effect of the time value of money is material,
provisions are discounted using a current pre-tax rate
that reflects, when appropriate, the risks specific to the
liability. When discounting is used, the increase in the
provision due to the passage of time is recognised as a
finance cost.

A provision for onerous contracts is recognised when
the expected benefits to be derived by the Company
from a contract are lower than the unavoidable cost of
meeting its obligations under the contract. The
provision is measured at the present value of the lower
of the expected cost of terminating the contract and
the expected net cost of continuing with the contract.
Before a provision is established, the Company
recognises any impairment loss on the assets associated
with that contract.

A contingent liability is a possible obligation that arises
from past events whose existence will be confirmed by
the occurrence or non-occurrence of one or more
uncertain future events beyond the control of the
Company or a present obligation that is not recognized
because it is not probable that an outflow of resources
will be required to settle the obligation. A contingent
liability also arises in extremely rare cases where there
is a liability that cannot be recognized because it cannot
be measured reliably. The Company does not recognize
a contingent liability but discloses its existence in the
standalone financial statements.

Provisions and contingent liabilities are reviewed at each
balance sheet date.

n. Retirement and other employee benefits

Retirement benefit in the form of provident fund,
pension fund and superannuation fund are defined
contribution schemes. The Company has no obligation,
other than the contribution payable. The Company
recognizes contribution payable to provident fund,
pension fund and superannuation fund as expenditure,
when an employee renders the related service. If the
contribution payable to the scheme for service received
before the balance sheet reporting date exceeds the
contribution already paid, the deficit payable to the
scheme is recognized as a liability after deducting the
contribution already paid. If the contribution already paid
exceeds the contribution due for services received before
the balance sheet date, then excess is recognized as an
asset to the extent that the pre-payment will lead to, for
example, a reduction in future payment or a cash refund.

Accumulated leave, which is expected to be utilized
within the next twelve months, is treated as short-term
employee benefit. The Company measures the expected
cost of such absences as the additional amount that it
expects to pay as a result of the unused entitlement
that has accumulated at the reporting date.

The Company treats accumulated leave expected to be
carried forward beyond twelve months, as long-term
employee benefit for measurement purposes. Such
long-term compensated absences are provided for
based on the actuarial valuation using the projected
unit credit method at the year-end.

The Company presents the leave as a current liability in
the standalone balance sheet, to the extent it does not
have an unconditional right to defer its settlement for
twelve months after the reporting date.

The cost of providing benefits under the defined benefit
plan is determined using the projected unit credit
method using actuarial valuation to be carried out at
each balance sheet date.

In case of funded plans, the fair value of the plan assets
is reduced from the gross obligation under the defined
benefit plans to recognise the obligation on a net basis.

Re-measurements, comprising of actuarial gains and
losses, the effect of the asset ceiling, excluding amounts
included in net interest on the net defined benefit
liability and the return on plan assets (excluding
amounts included in net interest on the net defined
benefit liability), are recognised immediately in the
standalone balance sheet with a corresponding debit
or credit to retained earnings through OCI in the period
in which they occur. Re-measurements are not
reclassified to the statement of profit and loss in
subsequent periods.

Past service costs are recognised in the statement of
profit and loss on the earlier of:

a. The date of the plan amendment or curtailment,
and

b. The date that the Company recognises related
restructuring costs

Net interest is calculated by applying the discount rate
to the net defined benefit liability or asset. The Company
recognises the following changes in the net defined
benefit obligation as an expense in the statement of
profit and loss:

a. Service costs comprising current service costs,
past-service costs, gains and losses on curtailments
and non-routine settlements;and

b. Net interest expense or income.

>. Financial instruments

Financial assets and financial liabilities are recognised
when the Company becomes a party to the contract
embodying the related financial instruments. All
financial assets, financial liabilities and financial
guarantee contracts are initially measured at transaction
cost and where such values are different from the fair
value, at fair value. Transaction costs that are directly

attributable to the acquisition or issue of financial assets
and financial liabilities (other than financial assets and
financial liabilities at fair value through profit and loss)
are added to or deducted from the fair value measured
on initial recognition of financial asset or financial
liability. Transaction costs directly attributable to the
acquisition of financial assets and financial liabilities at
fair value through profit and loss are immediately
recognised in the statement of profit and loss. In case
of interest free or concession loans/debentures/
preference shares given to subsidiaries, associates and
joint ventures, the excess of the actual amount of the
loan over initial measure at fair value is accounted as
an equity investment. On de-recognition of such
financial instruments in its entirety, the difference
between the carrying amount measured at the date of
de-recognition and the consideration received is
adjusted with equity component of the investments.

The Company has made an irrevocable election to
measure investments in equity instruments issued by
subsidiaries, associates and joint ventures at Fair Value
Through Other Comprehensive Income (FVTOCI).
Amounts recognised in Other Comprehensive Income
are not subsequently reclassified to the statement of
profit and loss.

Investment in preference shares/ debentures of the
subsidiaries are treated as equity instruments if the
same are convertible into equity shares or are
redeemable out of the proceeds of equity instruments
issued for the purpose of redemption of such
investments. Investment in preference shares/
debentures not meeting the aforesaid conditions are
classified as debt instruments at amortised cost.

Effective interest method

The effective interest method is a method of calculating
the amortised cost of a financial instrument and of
allocating interest income or expense over the relevant
period. The effective interest rate is the rate that exactly
discounts future cash receipts or payments through the
expected life of the financial instrument, or where
appropriate, a shorter period.

(a) Financial assets

• Measurement and valuation

1. Financial assets at amortised cost

Financial assets are subsequently
measured at amortised cost if these
financial assets are held within a business
model whose objective is to hold these
assets in order to collect 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.

2. Financial assets measured at fair value

Financial assets are measured atfairvalue
through other comprehensive income if
these financial assets are held within a
business model whose objective is to
hold these assets in order to collect
contractual cash flows or to sell these
financial assets 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.

Financial asset not measured at
amortised cost or at fair value through
other comprehensive income is carried
at fair value through the statement of
profit and loss.

For financial assets maturing within one
year from the balance sheet date, the
carrying amounts approximate fair value
due to the short maturity of these
instruments.

• Impairment of financial assets

Loss allowance for expected credit losses is
recognised for financial assets measured at
amortised cost and fair value through other
comprehensive Income.

The Company recognises impairment loss on
trade receivables using expected credit loss
model, which involves use of provision matrix
constructed on the basis of historical credit
loss experience as permitted underlnd AS 109
-Impairment loss on investments.

For financial assets whose credit risk has not
significantly increased since initial recognition,
loss allowance equal to twelve months
expected credit losses is recognised. Loss
allowance equal to the lifetime expected
credit losses is recognised if the credit risk on
the financial instruments has significantly
increased since initial recognition.

• De-recognition of financial assets

The Company de-recognises a financial asset
only when the contractual rights to the cash
flows from the financial asset expire, or it
transfers the financial asset and the transfer
qualifies for de-recognition underlnd AS 109.

If the Company neither transfers nor retains
substantially all the risks and rewards of

ownership and continues to control the
transferred asset, the Company recognises its
retained interest in the assets and an
associated liability for amounts it may have
to pay.

If the Company retains substantially all the
risks and rewards of ownership of a
transferred financial asset, the Company
continues to recognise the financial asset and
also recognises a collateralised borrowing for
the proceeds received.

On de-recognition of a financial asset in its
entirety, the difference between the carrying
amounts measured at the date of de¬
recognition and the consideration received is
recognised in standalone statement of profit
and loss.

For trade and other receivables maturing
within one year from the balance sheet date,
the carrying amounts approximate fair value
due to the short maturity of these instruments.

(b) Financial liabilities and equity instruments

• Classification as debt or equity

Financial liabilities and equity instruments
issued by the Company are classified
according to the substance of the contractual
arrangements entered into and the definitions
of a financial liability and an equity instrument.

• Measurement and valuation

1. Equityinstruments

An equity instrument is any contract that
evidences a residual interest in the assets
of the Company after deducting all of its
liabilities. Equity instruments are
recorded at the proceeds received, net
of direct issue costs.

2. Financial liabilities

Financial liabilities are initially measured
atfairvalue, net of transaction costs, and
are subsequently measured at amortised
cost, using the effective interest rate
method where the time value of money
is significant. Interest bearing bank loans,
overdrafts and issued debt are initially
measured at fair value and are
subsequently measured at amortised
cost using the effective interest rate
method. Any difference between the
proceeds (net of transaction costs) and
the settlement or redemption of
borrowings is recognised over the term
of the borrowings in the statement of
profit and loss.

For trade and other payables maturing
within one year from the balance sheet
date, the carrying amounts approximate
fair value due to the short maturity of
these instruments.

• Financial guarantee contracts

Financial guarantee contracts issued by the
Company are those contracts that require a
payment to be made to reimburse the holder
for a loss it incurs because the specified debtor
fails to make a payment when due in
accordance with the terms of a debt
instrument. Financial guarantee contracts are
recognised initially as a liability at fair value,
adjusted for transaction costs that are directly
attributable to the issuance of the guarantee.
Subsequently, the liability is measured at the
higher of the amount of loss allowance
determined as per impairment requirements
of Ind AS 109 and the amount recognised less
cumulative amortisation.

• De-recognition

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 de-recognition
of the original liability and the recognition of
a new liability. The difference in the respective
carrying amounts is recognised in the
statement of profit and loss.

(c) Off-setting of financial instruments

Financial assets and financial liabilities are offset
and the net amount is reported in the standalone
balance sheet if there is a currently enforceable
legal right to offset the recognised amounts and
there is an intention to settle on a net basis, to
realise the assets and settle the liabilities
simultaneously.

>. Convertible preference shares/ debentures

Convertible preference shares/debentures are
separated into liability and equity components based
on the terms of the contract.

On issuance of the convertible preference shares/
debentures, the fair value of the liability component is
determined using a market rate for an equivalent non-

convertible instrument. This amount is classified as a
financial liability measured at amortised cost (net of
transaction costs) until it is extinguished on conversion
or redemption.

The remainder of the proceeds is allocated to the
conversion option that is recognised and included in
equity since conversion option meets Ind AS 32 criteria
for conversion right. Transaction costs are deducted
from equity, net of associated income tax. The carrying
amount of the conversion option is not re-measured in
subsequent years.

Transaction costs are apportioned between the liability
and equity components of the convertible preference
shares/debentures based on the allocation of proceeds
to the liability and equity components when the
instruments are initially recognised.

q. Cash and cash equivalents

Cash and cash equivalent in the standalone balance
sheet comprise cash at banks and on hand and short¬
term deposits with an original 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 as they are considered an integral part of
the Company's cash management.

r. Foreign currencies

In preparing the financial statements, transactions in
the currencies other than the Company's functional
currency are recorded at the rates of exchange
prevailing on the date of transaction. At the end of each
reporting period, monetary items denominated in the
foreign currencies are re-translated at the rates
prevailing at the end of the reporting period. Non¬
monetary items carried at fair value that are
denominated in foreign currencies are retranslated at
the rates prevailing on the date when the fair value
was determined. Non-monetary items that are
measured at historical cost in a foreign currency are
not retranslated.

Exchange differences arising on translation of long term
foreign currency monetary items recognised in the

standalone financial statements before the beginning
of the first Ind AS financial reporting period in respect
of which the Company has elected to recognise such
exchange differences in equity or as part of cost of
assets as allowed underlnd AS 101-"First time adoption
of Indian Accounting Standard" are recognised directly
in equity or added/ deducted to/ from the cost of assets
as the case may be. Such exchange differences
recognised in equity or as part of cost of assets is
recognised in the statement of profit and loss on a
systematic basis.

Exchange differences arising on the retranslation or
settlement of other monetary items are included in the
statement of profit and loss for the year.

s. Earnings per share

Basic earnings per share is calculated by dividing the
net profit or loss for the year attributable to equity
shareholders (after deducting attributable taxes) by the
weighted average number of equity shares outstanding
during the year. The weighted average number of equity
shares outstanding during the year is adjusted for
events including a bonus issue.

For the purpose of calculating diluted earnings per
share, the net profit or loss for the period attributable
to equity shareholders and the weighted average
number of shares outstanding during the period are
adjusted for the effects of all dilutive potential equity
shares. Potential ordinary shares shall be treated as
dilutive when, and only when, their conversion to
ordinary shares would decrease earnings per share or
increase loss per share from continuing operations.

t. Exceptional items

An item of income or expense which due to its size,
type or incidence requires disclosure in order to
improve an understanding of the performance of the
Company is treated as an exceptional item and the same
is disclosed in the standalone financial statements.

u. Corporate social responsibility ('CSR') expenditure

The Company charges its CSR expenditure during the
year if any, to the statement of profit and loss.

2 The Company together with GMR Consulting Services Limited ('GCSL') has invested in GMR Energy Limited ('GEL') amounting
to ? 2,820.67 Crore (March 31, 2025: ? 1,190.38 Crore) and has outstanding loan (including accrued interest) amounting to ? Nil
(March 31, 2025: ? 1,997.52 Crore) in GEL as at March 31, 2026. GEL has certain underlying subsidiaries/ associates/joint
ventures which are engaged in energy sector as further detailed in note 5(3), 5(4), 5(5) and 5(6) below which have accumulated
losses resulting in substantial erosion in their net worth. Based on management's internal assessment with regard to future
operations and valuation assessment by an external expert, the management of the Company has fair valued its investments
and for reasons as detailed in 5(3), 5(4), 5(5) and 5(6) below, the management is of the view that the fair values of the Company's
investments in GEL are appropriate.

3 GMR Warora Energy Limited ('GWEL'), a subsidiary of GEL, entered into a Power Purchase Agreement ('PPA') with Maharashtra
State Electricity Distribution Company Limited ('MSEDCL') for sale of power for an aggregate contracted capacity of 200 MW,
wherein power was required to be scheduled from power plant's bus bar. MSEDCL disputed place of evacuation of power with
Maharashtra Electricity Regulatory Commission ('MERC'), wherein MERC has directed GWEL to construct separate lines for
evacuation of power through State Transmission Utility ('STU') though GWEL was connected to Central Transmission Utility
('CTU'). Aggrieved by the MERC Order, GWEL preferred an appeal with APTEL.

APTEL vide its interim Order dated February 11, 2014 directed GWEL to start scheduling the power from GWEL's bus bar and
bear transmission charges of inter-state transmission system towards supply of power. GWEL in terms of the interim order
scheduled the power from its bus bar from March 17, 2014 and paid inter-state transmission charges. APTEL vide its final Order
dated May 08, 2015 upheld GWEL's contention of scheduling the power from bus bar and directed MSEDCL to reimburse the
inter-state transmission charges hitherto borne by GWEL as per its interim order. Accordingly, GWEL had raised claims of
? 616.33 Crore towards reimbursement of transmission charges from March 17, 2014 till November 30, 2020.

MSEDCL paid the aforementioned claim amount and preferred an appeal with the Hon'ble Supreme Court of India and the
matter is pending conclusion. Pursuant to notification No. L-1/250/2019/CERC, the transmission charges (other than the deviation
charges) are being directly billed to the respective customers (DISCOMS) by Power Grid Corporation of India Limited ('PGCIL')
and accordingly, GWEL had not received transmission charges (other than the deviation charges) related invoices for the period
from December 2020 to March 2026. The final obligation towards the transmission charges will be decided based on the order
ofthe Hon'ble Supreme Court oflndia as stated above.

In view of the favorable Order from APTEL, receipt of aforementioned claim amount towards reimbursement of transmission
charges and also considering the legal opinion received from legal counsel that GWEL has tenable case with respect to the
appeal filed by MSEDCL against the said Order which is pending before the Hon'ble Supreme Court of India, GWEL had
consequentially accounted for the reimbursement of transmission charges of? 616.33 Crore relating to the period from March
17, 2014 to November 30, 2020 in its books of accounts during the previous years. Further the cost of transmission charges as
stated with effect from December 2020 has been directly invoiced by PGCIL to DISCOMS and such amount together with

aforesaid reimbursement has been disclosed as contingent liability in the financials of GWEL pending the final outcome of the
matter in the Hon'ble Supreme Court of India.

Further, GWEL has generated profit after tax of? 313.05 Crore (March 31, 2025:187.75 Crore) during the year ended March 31,
2026 and the management of GWEL expects that the plant will generate sufficient profits in the future years and will be able to
recover the receivables and based on business plans and valuation assessment by an external expert during the year ended
March 31, 2026, considering key assumptions such as capacity utilization of plant in future years based on current levels of
utilization including merchant sales and sales through other long term PPA's, the management is of the view that the carrying
value of the investments in GWEL as at March 31, 2026 is appropriate.

4 GMR Kamalanga Energy Limited ('GKEL'), a subsidiary of GEL, is engaged in development and operation of 3*350 MW under
Phase I and 1*350 MW under Phase II, coal-based power project in Kamalanga village, Orissa and has commenced commercial
operation of Phase I of the project. GKEL has accumulated losses of ? 283.81 Crore as at March 31, 2026 due to operational
difficulties faced during the early stage of its operations. GKEL has generated profit after tax amounting to ? 506.24 Crore
(March 31, 2025: 301.70 Crore) during the year ended March 31, 2026.

Further, GKEL has trade receivables (including unbilled revenue) of ? 270.08 Crore as at March 31, 2026, towards tariff
determination petition, plant availability factor and other claims in case of GRIDCO Limited (customer) under the PPA. GKEL has
filed petitions with various regulatory authorities for settlement of such claims in its favour. GKEL from time to time has been
receiving certain favorable interim regulatory orders with regard to the above mentioned petitions against which GRIDCO has
filed review petitions with various regulatory authorities which are pending adjudication.

Based on internal assessment and external consultant opinion, the management is confident of a favorable outcome towards
the outstanding receivables of GKEL from other customers. Accordingly, the management is of the view that the carrying value
ofthe outstanding trade receivables (including unbilled revenue) as at March 31, 2026 is appropriate.

In view of these matters explained above, business plans of GKEL and valuation of GKEL and GEL performed by an external
expert using the discounted future cash flows method which is significantly dependent on the achievement of certain key
assumptions such as expansion and optimal utilization of existing plant capacity, timing and amount of settlement of disputes
with customers which are outstanding as on March 31, 2026, the management is of the view that the carrying value of the
investments in GKEL as at March 31, 2026 is appropriate.

5 GKEL had entered an agreement with SEPCO in 2008 for the construction and operation of coal fired thermal power plant.
There were certain disputes between the parties in relation to the delays in construction and various technical issues relating to
the construction and operation of the plant. SEPCO served a notice of dispute to GKEL in March 2015 and initiated arbitration
proceedings.

The Arbitral Tribunal has issued an opinion (the Award) on September 07, 2020 against GKEL. Since there were computation/
clerical/ typographical errors in the Award, both parties (GKEL and SEPCO) immediately applied for correction of the award
under Section 33 ofthe Arbitration & Conciliation Act 1996 (as amended). The Arbitral Tribunal considered the applications of
both the parties and has pronounced the corrected award on November 17, 2020. GKEL already accounted for the aforementioned
liability as per the award pertaining to the retention money, unpaid invoices and the Bank Guarantee revoked. GKEL had
challenged the award and the final award under section 34 of the Arbitration and Conciliation Act, 1996 before the Hon'ble
High Court of Orissa on February 15, 2021 and December 31, 2021 respectively.

The Hon'ble High Court of Orissa vide itsjudgement and order dated June 17, 2022 has dismissed the petition filed by GKEL on
February 15, 2021 to put aside the Final Award on the basis that impugned award does not fall under the category which
warrants interference under Section 34 of the Arbitration Act. GKEL has challenged judgement by filing special leave petition
('SLP') before the Hon'ble Supreme Court of India on grounds;a) Violation of Principles of Natural Justice, b) Judgement is in
violation ofthe guidelines laid by the Hon'ble Supreme Court oflndia for timely pronouncing of judgements c) Violation of due
process of law and others.

The Hon'ble Supreme Court of India in the hearing on July 25, 2022 has issued notice and stayed the operation of the Section
34 Judgement. The Hon'ble Supreme Court of India vide its order dated May 15, 2023, has disposed of SLP and allowed GKEL
to approach the Commercial Appellate Division Bench, as constituted by the Hon'ble High Court of Orissa by way of an appeal
under Section 37 of the Arbitration Act with liberty to raise all grounds and contentions. It had further directed that the
aforesaid stay shall continue till June 30, 2023.

In furtherance ofthe order ofthe Hon'ble Supreme Court oflndia, GKEL has filed an appeal under Section 37 ofthe Arbitration
Act before the Hon'ble High Court of Orissa on June 09, 2023, challenging Section 34 judgement and the Award. The Hon'ble
High Court of Orissa pronounced itsjudgement on September 27, 2023 wherein it has allowed the Section 37 appeal and set
aside Section 34 judgement and the Award.

On September 26, 2025, the Hon'ble Supreme Court of India pronounced itsjudgement on the SLP filed by SEPCO. The Hon'ble
Supreme Court upheld the Hon'ble High Court of Orissa's decision dated September 27, 2023, which had set aside both the
Section 34 judgement and the Arbitration Award. As a result, the arbitration award dated September 07, 2020 stands nullified,
and GKEL has no liability towards SEPCO under the said award. As per the legal opinion obtained by the management, this
judgement resolves the dispute in GKEL's favor and the management believes there shall be no cash outflows related to the
above dispute with SEPCO.

Hence, the management of GKEL, during the year ended March 31, 2026, reversed the liability payable to SEPCO amounting to
? 1,147.30 Crore and has performed the fair valuation of the investments after giving the impact of the Hon'ble Supreme Court
of India Judgement as mentioned above and has recognized the corresponding fair value gain in Other Comprehensive Income
as per Ind AS 109 amounting to ? 894.00 Crore.

The matter relating to the interest and cost on the SEPCO liability was pending before the Hon'ble Delhi High Court and was
disposed of in favour of GKEL on December 23, 2025. Consequently, GKEL has reversed an amount of? 240.90 Crore during the
current year and the company has performed fair valuation of the investment after giving the effect to the said reversal.
Accordingly, the fairvalue gain has been recognised in the other comprehensive income.

6 GKEL also had litigations related to coal allocation and various "change in law" events with its customers under the respective
PPA's. Against such litigations, GKEL had filed petition with various regulatory authorities and received certain favorable orders
at various stages. Against these orders, Haryana Discom and GRIDCO (collectively referred to as 'Discoms') had filed an appeal
before the Hon'ble Supreme Court of India.

During the year ended March 31, 2026, the Hon'ble Supreme Court of India, in itsjudgement dated September 08, 2025,
dismissed the appeals filed by Discoms and upheld itsjudgement in the favour of GKEL. Against the aforesaid order, Haryana
Discom had requested the Hon'ble Supreme Court of India for additional clarifications. The Hon'ble Supreme Court of India
passed its Order on November 14, 2025, maintaining its earlier position on the matter upholding that Linkage Coal would be
allocated on a pro rata basis.

Accordingly, GKEL has invoiced its claim to Haryana Discom which has been paid by Haryana Discom during the year ended
March 31, 2026. On the basis of the above order GKEL has re-estimated the value of its claims against the Discoms and has
accounted for an adjustment to the carrying value of its claims amounting to ' 414.34 Crore. Accordingly, the fairvalue of GKEL
has been adjusted and consequential loss has been recognised in the other comprehensive income.

7 On April 13, 2025, the Company, GMR Energy Limited ("GEL"), GMR Rajam Solar Power Private Limited ('GRSPPL'), GMR Corporate
Services Limited ('GASL') and GMR Generation Assets Limited ("GGAL"), ('subsidiaries of the Company') have signed a framework
agreement with Synergy Investments Holding Limited ("Synergy") for the divestment of their respective stakes in:

(a) GMR Bajoli Holi Hydropower Private Limited ("GBHHPL"), engaged in operation of 180 MW hydro-electric power project,

(b) GMRVemagiri Power Generation Limited ("GVPGL"), engaged in operation of 388 MW natural gas-based combined cycle
power plant, and

(c) GMR Rajahmundry Energy Limited ("GREL"), engaged in operation of 768 MW natural gas-based combined cycle power
plant.

Pursuant to the Framework Agreement;

(i) GEL has transferred:

(a) 79.86% of equity stake in GBHHPL in two stages (70% initially and 9.86% subsequently) and

(b) 51% of equity stake in GVPGL to Synergy.

(ii) The Company, GRSPPL and GASL has transferred 100% compulsorily convertible debentures (CCD) issued by GBHHPL to
Synergy and

(iii) GGAL has transferred 51% of GREL's equity stake to Synergy following the release of shares pledge and corporate guarantee
from the lenders.

The combined value for the transfer of securities for all three entities under the Framework Agreement is? 653.00 Crore, subject
to adjustments based on net working capital and other factors at closing. The transaction for all three entities upon meeting
necessary conditions and receiving requisite approvals is completed. Accordingly, the Company has classified investment in
GBHHPL as non current assets held for sale in accordance with Ind AS 105 'Non-current Assets Held for Sale and Discontinued
Operations 'during the previous year ending March 31, 2025. Further, during the year ended March 31, 2026, GEL has transferred
its 70% equity stake in GBHHPL as mentioned in (i)(a) and the Company, GRSPPL and GASL, has also transferred their respective
stakes in CCD's as mentioned in (ii) above.

8 i) During the year ended March 31, 2026 ;

a) The Company has invested in 1,070,000 equity shares of ? 10 each issued by GGEL for cash at par on Rights basis.

b) The Company has purchased 17,828,008, 0.01% unsecured non convertible debentures of? 10 each of GWEL from
one of the lender of GWEL

c) The Company and GASL has mutually agreed to convert 10,000,000, 0.001% CCDs of ? 100/- each in GASL into

100.000. 000, 0.01% OCDs offace value of? 10/- each. Subsequently, GASL has redeemed such OCD's.

d) The Company has invested in 367,000,000, 0.01% unlisted, unrated, unsecured, optionally convertible debentures of
? 10 each issued by GASL.

e) The Company and GRSPPL has mutually agreed to convert loan (including interest) of ? 86.49 Crore to GRSPPL into
86,490,000 0.001% unsecured, unrated, unlisted, optionally convertible debentures (OCDs) of ? 10 each.

f) The GRSPPL has redeemed 640,000, 0.001% unsecured optionally convertible debentures of? 10 each at parvalue.

g) The Company has purchased 8,476, senior, secured, unlisted, redeemable, freely - transferable, non-convertible
debentures of face value of ? 10,00,000 each at ? 14,77,142.86 each of GCSL from Credit Solutions India Trust.

h) The Company and GCSL has mutually agreed for conversions of 8,476, senior, secured, unlisted, redeemable, freely -
transferable, non-convertible debentures of face value of ? 14,77,142.86 each in GCSL into 1,181,920,000, 0.001%
unsecured, unrated, unlisted optionally convertible debentures (OCDs) of? 10 each.

i) GCSL has redeemed 823,200,000, 0.001% unsecured, unrated, unlisted optionally convertible debentures (OCDs) of
? 10 each at par value in various tranches during the year.

j) The Company and GSEDPL has agreed for conversion of 195,680,000, 0.001% compulsory convertible debentures of
? 10 each into equal number of 0.001% unsecured optionally convertible debentures (OCDs) of ? 10 each issued by
GSEDPL.

k) The Company and GSEDPL has mutually agreed for conversion of loan of ? 100 Crore provided to GSEDPL into

10.000. 000, 0.001% unsecured optionally convertible debentures (OCDs) of ? 10 each.

l) The Company has invested in 350,930,000, 0.001% unsecured optionally convertible debentures (OCDs) of? 10 each
issued by GSEDPL.

m) GSEDPL has redeemed 236,660,000, 0.001% unsecured optionally convertible debentures (OCDs) of? 10 each at par
value.

n) The Company has invested in 113,782,000, 0.01% unsecured, unrated, unlisted, optionally convertible debentures
(OCDs) of ? 10 each issued by GGAL.

o) The Company has invested in 3,210,000, 9% optionally convertible debentures of ? 10 each issued by GGEL.

p) The Company and GREL has mutually agreed for conversion of loan of? 94.92 Crore provided to GREL into 94,922,000,
unsecured, unrated, unlisted, 18% compulsorily convertible debentures (CCDs) of? 10 each.

ii) During the year ended March 31, 2025 ;

a) The Company and GRSPPL has mutually agreed for conversion 585,340,100, 0.001% Compulsory Convertible Debentures
(CCD) held in GRSPPL into 585,340,100, 0.001% Optionally Convertible Debentures (OCD) of ? 10 each.

b) GRSPPL has agreed to redeem 440,000,000, 0.001% Optionally Convertible Debentures (OCD) of ? 10 each.

c) GRSPPL has redeemed 440,000,000, 0.001% Optionally Convertible Debentures (OCD) of? 10 each, in consideration GRSPPL
has transferred Inter Corporate Deposits and Other Financial Assets recoverable from GBHHPL. Subsequently, GBHHPL has
converted such Inter Corporate Deposits and Other Financial Assets into 440,000,000, 0.01% Compulsory Convertible
Debentures (CCD) of? 10 each.

d) On April 13, 2025, the Company, GEL, GRSPPL, GASL and GGAL, ('subsidiaries of the Company') have signed a framework
agreement with Synergy Investments Holding Limited ("Synergy") for the divestment of their respective stakes in GBHHPL,
engaged in operation of 180 MW hydro-electric power project. Accordingly, the Company has shown its investment in

440,000,000, 0.01% Compulsory Convertible Debentures (CCD) in GBHHPL as Assets classified as held for sale. (Also refer
note 43).

e) The Company has purchased 17,860,000, 0.01% unsecured Non-Convertible Debentures (NCD) of? 10/- each of GWEL
from one of the lender of GWEL.

f) The Company has purchased 18,302,625, 0.01% unsecured Optionally-Convertible Debentures (OCD) of ? 10/- each of
GWEL from one of the lender of GWEL.

g) The Company has sold 30,000 equity shares of GCRPL during the year.

h) The Company and GEL has mutually agreed for conversion of loan to GEL of? 440 Crore into 440,000,000, 0.001% Compulsory
Convertible Debentures (CCD) of face value of ? 10/- each.

i) GMR Consulting Services Limited has redeemed 2,000, 15% unsecured, unlisted, subordinated, redeemable, freely
transferable, non-convertible debentures of'10,00,000 each.

j) The Company has invested in 164,840,000, 0.001% Compulsory Convertible Debentures (CCD) of face value of? 10/ each
of GSEDPL.

k) The Company has invested in 200,000,000, 0.001% Unsecured Unrated Unlisted Compulsorily Convertible Debentures of
face value of ? 10/- each of GCSL.

l) The Company and GCSL has mutually agreed for conversion of loan (including interest receivable) amounting to ? 175.00
Crore into 175,000,000, 0.001% Compulsory Convertible Debentures (CCD) offace value of? 10/- each.

m) The Company and GSEDPL has mutually agreed for conversion of loan (including interest receivable) amounting to ? 30.84
Crore into 30,840,000, 0.001% Compulsory Convertible Debentures (CCD) of face value of ? 10/- each.

9 This includes value of investment represents investments in additional equity on account of financial guarantees.

10 The Company together with GMR Highway Limited ("GMRHL") a subsidiary of the Company, has invested in GMR Hyderabad
Vijayawada Expressways Private Limited ('GHVEPL'). GHVEPL, a step-down subsidiary of the Company, has been incurring
losses since the commencement of its commercial operations. These losses are primarily due to loss of revenue arising as a
result of drop in commercial traffic on account of bifurcation of State of Andhra Pradesh and ban imposed on sand mining in
the region. The management of the Group till March 31, 2024 based on its internal assessment and a legal opinion, believed
that these events constitute a Change in Law as per the Concession Agreement and GHVEPL was entitled to a claim for losses
suffered on account of the aforementioned reasons and accordingly filed its claim for the loss of revenue till the year ended
March 31, 2017 with National Highways Authority of India ('NHAI').

The claim of GHVEPL was rejected by NHAI and accordingly during the year ended March 31, 2018, GHVEPL had decided to
proceed with arbitration and accordingly Arbitral Tribunal was constituted and claims were filed.

The project was initially developed from existing 2 lanes to 4 lanes to be further developed to 6 laning subsequently (before
14th anniversary of the appointed date). If 6 laning was not carried out (if so required by NHAI/ desired by GHVEPL), concession
period would be restricted to 15 years as against 25 years. GHVEPL had been amortising intangible assets over the concession
period of 25 years.

The Arbitral Tribunal vide its order dated March 31, 2020, had pronounced the award unanimously, upholding GHVEPL's
contention. Further, the said tribunal order was also upheld by the Hon'ble High Court of Delhi and division bench of the
Hon'ble High Court of Delhi vide its Judgement dated May 07, 2024.

NHAI, upon receipt of Divisional Bench judgement, requested for conciliation of all the disputes amicably, which GHVEPL
accepted and accordingly a Conciliation Committee of Independent Expert was formed. Based on the meetings and discussions
of the issues at length, NHAI and GHVEPL reach an amicable settlement at ? 1,387.21 Crore along with early hand over of the
Project back to NHAI w.e.f. July 01, 2024. The Settlement Agreement dated June 13, 2024 was entered between NHAI and
GHVEPL. GHVEPL has settled the outstanding dues to the senior lenders out of the proceeds of compensation received from
NHAI.

Further, till the date of settlement, the Company determined the fair valued its investments in GHVEPL using Discounting Cash
flow method considering management intention to operate the highway project and receive ongoing claims. However, after
such settlement the management of the Company has reassessed the fair value of investment after considering the impact of
the settlement as explained above.

11 During the year ended March 31, 2025, the Company has entered into a joint venture agreement with other venturer. Both the
venturers have incorporated a Company viz, Portus Ventures Private Limited ('PVPL'). The Company has invested in 2,600 fully
paid up equity shares of face value of ? 10/- each issued by PVPL. The Company's share in joint venture is 26%.

12 This includes share held by others on behalf of the Company.

1. No trade or other receivables are due from directors or other officers of the Company either severally or jointly with any
other person. Nor any trade or other receivable are due from firms or private companies respectively in which any director
is a partner, a director or a member.

2. Trade receivables are non-interest bearing.

3. Includes retention money (net of impairment allowances) of ' 1.00 Crore (March 31, 2025: ' 0.83 Crore). These payments
are deducted by customerto ensure performance ofthe Company's obligations and hence are receivable on the completion
of contract or after the completion of defect liability period as defined in the respective contract and accordingly no
discounting has been done for the same.

4. Refer note 16 for information on trade receivables pledged as security against borrowings.

5. Payment is generally received from customers (excluding retention money) in due course as per agreed terms of contract
with customers which usually ranges from 0-30 days.

*0n July 10, 2024, the Company has converted US$ 275 million 7.5% Subordinated Foreign Currency Convertible Bonds (FCCBs)
into 111,241,666 number of equity shares of? 5/- each as per the agreed terms and basis receipt of a conversion notice from
the said FCCB holders. (Refer note 47)

**The Board of Directors of the Company, at its meeting held on December 17, 2025, approved the issuance of Equity Shares
and Convertible Warrants on a preferential basis to promoter and non-promoter entities. The same has been approved by the
shareholders at its meeting held on January 16, 2026. Accordingly, the Company has:

i. Allotted 66,181,335 Equity Shares of face value ' 5.00 each at an issue price of? 120.88 (including a premium of? 115.88),
on January 28, 2026 upon receipt of the full consideration in a single tranche.

ii. Allotted 33,090,668 Convertible Warrants of face value ' 5.00 each at an issue price of ' 120.88 (including a premium of
' 115.88), on January 28, 2026 upon receipt of 25% of the consideration. The Convertible Warrants are convertible into an
equivalent number of Equity Shares of face value ' 5.00 each, within 18 months from the allotment date, i.e., January 28,
2026, upon payment of the balance 75% consideration at the time of conversion.

Consequent to this allotment, the paid-up equity share capital of the Company has increased from ' 3,57,41,80,970 (714,836,194
fully paid-up equity shares of ' 5.00 each) to ' 3,90,50,87,645 (781,017,529 fully paid-up equity shares of ' 5.00 each).

During the year ended March 31, 2026, the Company has received ' 900.00 Crore against the above preferential allotment of
equity shares and Convertible Warrants.

b. Terms/rights attached to equity shares

The Company has only one class of equity shares having par value of ' 5 per share. Every member holding equity shares is
entitled to one vote per share. The Company declares and pays dividend in Indian rupees. The dividend proposed by the Board
of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting.

In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the
Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares
held by the equity shareholders.

f. Aggregate number of bonus shares issued, shares issued for consideration other than cash and shares bought back
during the period of five years immediately preceding the reporting date:

The Company has not made any buy-back of shares, nor has there been an issue of shares by way of bonus share without
payment being received in cash since the incorporation ofthe Company.

Pursuant to the composite scheme of arrangement, the Company on January 31, 2022 allotted 603,594,528 equity shares of
' 5/- each to the shareholders of GMR Airports Limited (formerly GMR Airports Infrastructure Limited) ('GAL'). These shares
were issued for consideration other than cash.

g. Shares reserved for issue under options

For details of shares reserved for issue under option, refer note 47 related to terms of conversion/ redemption of foreign
currency convertible bonds and optionally convertible debentures.

2. Indian rupee term loan from a financial institution of? 198.66 Crore ((March 31, 2025: ' 98 Crore) carries interest @ 12.75% p.a.
(March 31, 2025: 12.75% p.a.) payable on 3rd of every month. The loan is repayable after expiration of moratorium period of 4
quarters in 12 quarterly installments. The loan is secured by (i) First pledge over 26% of equity shares of GMR Smart Electricity
Distribution Private Limited ('GSEDPL') (ii) Exclusive mortgage over the immovable properties located at Bangalore owned by
Honeyflower Estates Private Limited ('HEPL') (iii) Lien marked on fixed deposit held by the Company of? 7.43 Crore.

3. Loan of ? 73.00 Crore (March 31, 2025: ? Nil) from its fellow subsidiary, GAL which carried interest @ 12.25% p.a (March 31,

2025: Nil) payable on yearly basis on every 27^th March. The principal is repayable on structured annual installments basis (30%

on March 27, 2027, 30% on March 27, 2028 and 40% on March 27, 2029). Also refer note 49.

4. Loan of? 44.87 Crore (March 31, 2025: ? 44.88 Crore) from a fellow subsidiary, GMR Airport Developers Limited (GADL) carries
interest @ 12.95% p.a. (March 31, 2025: 12.95% p.a.) payable after 2 years of moratorium i.e upto March 28, 2025 and all the
accrued interest till 3 years will be paid at the end of 3^rd year. Interest for 4^th, 5^th and 6^th year will be paid on yearly basis. Also,
the principal is having 48 months moratorium and the same is repayable on structured annual installments basis (30% at the
end of 48^th month, 30% at the end of 60^th month and final installment at the end of 72^th month).

5. Loan of ? 203.45 Crore (March 31, 2025: ? 203.45 Crore) from a fellow subsidiary, GAL carries interest @ 7.25% p.a (March 31,

2025: 7.25% p.a.) payable after 2 years of moratorium and all the accrued interest till 3 years will be paid at the end of 3^rd year.
Interest for 4th, 5th and 6th year will be paid on yearly basis. Also, the principal is having 48 months moratorium and the same
is repayable on structured annual installments basis (30% at the end of 48^th month, 30% at the end of 60^th month and final
installment at the end of 72^th month). Also refer note 49.

6. Loan of? 175.00 Crore (March 31, 2025: ? 175.00 Crore), from a fellow subsidiary, GMR Corporate Affairs Limited ('GCAL') which
carried interest @ 7.25% p.a. (March 31, 2025: 7.25% p.a.) payable after 2 years of moratorium, and all the accrued interest till
3 years will be paid at the end of 3^rd year. Interest for 4^th, 5^th and 6^th year will be paid on yearly basis. The principal is having 48
months moratorium and the same is repayable on structured annual installments basis (30% at the end of48^th month, 30% at
the end of 60^th month and final installment at the end of 72^th month).

7. Loan of? 216.00 Crore (March 31, 2025: ? 216.00 Crore) from its fellow subsidiary, GAL which carried interest @ 16% p.a (March
31, 2025:16% p.a) payable after 2 years of moratorium, and all the accrued interest till 3 years will be paid at the end of 3^rd year.
Interest for 4^th, 5^th and 6^th year will be paid on yearly basis. Also, the principal is having 48 months moratorium and the same is
repayable on structured annual installments basis (30% at the end of 48^th month, 30% at the end of 60^th month and final
installment at the end of 72^th month). Also refer note 49.

8. Loan of ? 225.00 Crore (March 31, 2025: ? 225.00 Crore) from its fellow subsidiary, GAL which carried interest @ 17.50% p.a
(March 31, 2025:17.50% p.a) payable after 2 years of moratorium, and all the accrued interest till 3 years will be paid at the end
of 3^rd year. Interest for 4^th, 5^th and 6^th year will be paid on yearly basis. Also, the principal is having 48 months moratorium and
the same is repayable on structured annual installments basis (30% at the end of 48^th month, 30% at the end of 60^th month and
final installment at the end of 72^th month). Also refer note 49.

9. Loan of ? 341.17 Crore (March 31, 2025: ? 341.17 Crore) from its fellow subsidiaries, GAL which carried interest @12.25% p.a
(March 31, 2025 :7.25% p.a) payable after 2 years of moratorium, all the accrued interest till 3 years will be paid at the end of 3rd
year. Interest for 4th, 5th and 6th year will be paid on yearly basis. The principal is having 48 months moratorium and the same
is repayable on structured annual installments basis (30% at the end of 48 month, 30% at the end of 60 month and final
installment at the end of 72 month). Also refer note 49.

10. Loan of ? 10.00 Crore (March 31, 2025: ? 10.00 Crore) from its fellow subsidiaries, GAL which carried interest @12.25% p.a
(March 31, 2025 :12.25%) payable after 2 years of moratorium, all the accrued interest till 3 years will be paid at the end of 3rd
year. Interest for 4th, 5th and 6th year will be paid on yearly basis. The principal is having 48 months moratorium and the same
is repayable on structured annual installments basis (30% at the end of 48 month, 30% at the end of 60 month and final
installment at the end of 72 month). Also refer note 49.

11. Loan of ? 58.80 Crore (March 31, 2025: ? 58.80 Crore) from its fellow subsidiaries, which carried interest @11% p.a. (March 31,
2025 : 11% p.a.) and is payable on yearly basis. The principal is repayable on August 21, 2026.

12. Loan of ? 148.75 Crore (March 31, 2025: ? 210.96 Crore) from its subsidiaries, which carried interest @ 8% p.a. to 12.25% p.a.
(March 31,2025 :12.25% p.a.) and is payable along with repayment of principal or on such intervals as may otherwise be agreed
upon by the parties.

13. Loan of? Nil Crore (March 31, 2025: ? 0.50 Crore) from its subsidiaries, which carried interest @ 7.10% (March 31, 2025 : 7.10%
p.a.) and is payable along with repayment of principal or on such intervals as may otherwise be agreed upon by the parties.

14. Loan of? 61.84 Crore (March 31, 2025: ? 48.84 Crore) from its subsidiaries, which carried interest @ 7.75% p.a. (March 31, 2025
: 10% p.a.) payable at the end of the term. The principal is repayable on March 30, 2027.

15. Loan of ? 140.77 Crore (March 31, 2025: ? 114.12 Crore) from its subsidiaries, which carried interest @ 10% to 12.50% p.a.
(March 31, 2025 :10% p.a. to 12.5% p.a.) payable at the end of the term. The principal is repayable within one year from date of
original and extended agreement as applicable.

16. Loan of? Nil Crore (March 31, 2025: ? 90.00 Crore) from its fellow subsidiaries, which carried interest @ 12.25% p.a. payable at
the end of the term along with the principal. The entire principal has been repaid during the year.

17. Loan of? 30.00 Crore (March 31, 2025: ? 30.00 Crore) from its fellow subsidiary, GAL which carried interest @ 17.00% p.a (March
31, 2025:17.00% p.a) payable after 2 years of moratorium, and all the accrued interest will be paid at the end of 3^rd year. Interest
for 4^th, 5^th and 6^th year will be paid on yearly basis. The principal is having 48 months moratorium and the same is repayable on
structured annual installments basis (30% at the end of 48^th month, 30% at the end of 60^th month and final installment at the
end of 72^th month). Also refer note 49.

18. (i) The outstanding bank overdrafts amounting to ? Nil are secured against the following securities as on March 31, 2026.

(I) Primary Security:

First charge on the Company's raw material, semi finished and finished goods, consumable stores & spares, other
movables including book debts, bills, outstanding monies receivables, all other movable assets of the Company
included but not limited to documents of title deeds of goods, o/s monies, receivables, machinery all present and
future.

(II) Collateral Security:

(1) Office premises at 7th Floor Naman Centre (including parking space), BKC, Mumbai, owned by GMR Energy
Limited (GEL), subsidiary, on pari passu first charge basiswith GEL.

(2) Charge on Land parcels admeasuring 133.55 acres located at Krishnagiri District, Tamil Nadu owned by GMR
Krishnagiri SIR Limited (GKSIR), subsidiary.

(3) Charge on land measuring 12 acres 11 gunthas located at Mamidpally Village, Saroornagar Revenue Mandal,
Ranga Reddy District, Telangana. The land stands in the name of Hyderabad Jabilli Properties Private Limited
(HJPPL), fellow subsidiary.

(III) Interim Security:

(1) Corporate guarantees to the extent of fair market value of the securities provided by the Companies;GEL, GKSIR
and HJPPL.

(2) The overdraft is secured by personal Guarantee ofthe director to the extent of? 15.31 Crore.

(3) Cash margin created as per sanction terms.

(ii) For the previous year ended March 31, 2025, out of the outstanding bank overdrafts amounting to ? 36.30 Crore are
secured against the following securities as on March 31, 2025.

(I) Primary Security:

First charge on the Company's raw material, semi finished and finished goods, consumable stores & spares, other
movables including book debts, bills, outstanding monies receivables, all other movable assets of the Company
included but not limited to documents of title deeds of goods, o/s monies, receivables, machinery all present and
future.

(II) Collateral Security:

(1) Office premises at 7th Floor Naman Centre (including parking space), BKC, Mumbai, owned by GMR Energy
Limited (GEL), on pari passu first charge basiswith GEL.

(2) Charge on Land parcels admeasuring 133.55 acres located at Krishnagiri District, Tamil Nadu owned by GMR
Krishnagiri SIR Limited (GKSIR), subsidiary.

(3) Charge on land measuring 12 acres 11 gunthas located at Mamidpally Village, Saroornagar Revenue Mandal,
Ranga Reddy District, Telangana. The land stands in the name of Hyderabad Jabilli Properties Private Limited
(HJPPL), fellow subsidiary.

(Ill) Interim Security:

(1) Corporate guarantees to the extent of fair market value of the securities provided by the Companies;GEL, GKSIR
and HJPPL.

(2) The overdraft is secured by personal Guarantee of the director to the extent of ' 15.31 Crore.

(3) Cash margin created as per sanction terms.

19. Detail of period and amount of delays;

March 31. 2026:

The Company has not delayed the payment of interest during the current year which are overdue for more than 90 days as at
the reporting date.

March 31. 2025:

The Company has delayed in payment of interest amounting to ' 1,175.75 Crore to bond holders which were overdue for more
than 90 days. All such delayed has been made good on July 10, 2024. Also refer note 47.

20. The following table shows a maturity analysis of the anticipated cash flows excluding interest obligations for the Company's
financial liabilities with respect to borrowings on an undiscounted basis, which therefore differ from both carrying value and
fair value.

Notes:

(i) During the year ended March 31, 2016, GAL had issued FCCB (attributable to the Demerged Undertaking stands Vested to the
company pursuant to the Demerger), however, the same has not been included in the calculation of diluted earnings per share
for year ended March 31, 2025, because they are anti-dilutive, (also refer note 47).

(ii) During the year ended March 31, 2026, the Company issued share warrants (potential equity shares). These have not been
considered in the calculation of diluted earnings per share as they are anti-dilutive (refer note 14(a)).

31 Significant accounting judgements, estimates and assumptions

The preparation of the Company's standalone financial statements requires management to make judgements, estimates and
assumptions that affect the reported amount of revenues, expenses, assets and liabilities and the accompanying disclosures, and the
disclosure of contingent liabilities. Actual results could differ from those estimates. Estimates and underlying assumptions are
reviewed on an ongoing basis. Uncertainty about these assumptions and estimates could result in outcomes that require a material
adjustment to the carrying amount of assets or liabilities affected in future periods.

The estimates and the underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised
in the period in which the estimate is revised and future periods affected.

Significant judgements and estimates relating to the carrying values of assets and liabilities include fair value measurement of
investments in subsidiaries, joint ventures and associates, provision for employee benefits and other provisions, recoverability of
deferred tax assets, commitments and contingencies and recognition of revenue on long term contracts.

Estimates and assumptions

The key assumptions concerning the future and other key sources of estimation uncertainty at the reporting date that have a
significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are
described below. The Company based its assumptions and estimates on parameters available when the Standalone Financial Statements
were prepared. Existing circumstances and assumptions about future developments, however, may change due to market changes
or circumstances arising that are beyond the control of the Company. Such changes are reflected in the assumptions when they
occur.

a. Taxes

Deferred tax assets are recognised for unused tax losses to the extent that it is probable that taxable profit will be available
against which the same can be utilised. Significant management judgement is required to determine the amount of deferred
tax assets that can be recognised, based upon the likely timing and the level of future taxable profits together with future tax
planning strategies. Refer note 10 and 29 for further disclosures.

b. Fair value measurement of financial instruments

When the fair values of financial assets and financial liabilities recorded in the balance sheet cannot be measured based on
quoted prices in active markets, their fair value is measured using valuation techniques including the DCF model. The inputs to
these models are taken from observable markets where possible, but where this is not feasible, a degree of judgement is
required in establishing fair values. The cash flow projections used in these models are based on estimates and assumptions
relating to conclusion of tariff rates, operational performance of the plants and coal mines, life extension plans, availability and
market prices of gas, coal and other fuels, restructuring of loans etc in case of investments in entities in the energy business,
estimation of vehicle traffic and rates and favourable outcomes of litigations etc. in the expressway business which are considered
as reasonable by the management. Fair value of investment in SEZ sector is determined based on available data for similar
immovable property/ investment or observable market prices less incremental cost for disposing of the immovable property/
investments. Judgements include considerations of inputs such as liquidity risk, credit risk and volatility, as applicable. Changes
in assumptions about these factors could affect the reported fair value of financial instruments. Refer note 5 and 36 for further
disclosures.

c. Contingencies

Contingent liabilities may arise from the ordinary course of business in relation to claims against the Company, including legal
and contractual claims. By their nature, contingencies will be resolved only when one or more uncertain future events occur or
fail to occur. The assessment of the existence, and potential quantum, of contingencies inherently involves the exercise of
significantjudgement and the use of estimates regarding the outcome offuture events.

In respect of financial guarantees provided by the Company to third parties, the Company considers that it is more likely than
not that such an amount will not be payable under the guarantees provided. Refer note 34 for further disclosure.

d. Revenue recognition

The Company recognises revenue from contracts with customers when it satisfies a performance obligation by transferring
promised good or service to a customer.

The Company uses the percentage of completion method in accounting for its fixed price contracts. Use of the percentage of
completion method requires the Company to estimate the costs incurred till date as a proportion of the total cost to be
incurred. Costs incurred have been used to measure progress towards completion as there is a direct relationship. Provision for
estimated losses, if any, on uncompleted contracts are recorded in the period in which such losses become probable based on
the expected contract estimates at the reporting date.

e. Defined benefit plans (gratuity benefits)

The cost of the defined benefit gratuity plan and the present value of the gratuity obligation are determined using actuarial
valuations. An actuarial valuation involves making various assumptions that may differ from actual developments in the future.
These include the determination of the discount rate, future salary increases and mortality rates. Due to the complexities
involved in the valuation and its long-term nature, a defined benefit obligation is highly sensitive to changes in these assumptions.
All assumptions are reviewed at each reporting date.

The parameter most subject to change is the discount rate. In determining the appropriate discount rate for plans operated in
India, the management considers the interest rates of government bonds.

The mortality rate is based on publicly available mortality tables for India. Those mortality tables tend to change only at interval
in response to demographic changes. Future salary increases and gratuity increases are based on expected future inflation
rates.

Further details about gratuity obligations are given in note 37.

f. Recoverability of advances/receivables

At each balance sheet date, based on historical default rates observed over expected life, the management assesses the expected
credit losses on outstanding receivables and advances.

Notes:

a. The Company has provided securities by way of pledge of investments for loans taken by certain companies.

b. The Holding Company has pledged certain shares held in the Company as security towards the borrowings of the Company
and related parties, (refer note 5)

c. Also refer note 5 on non-current investments.

d. Also refer note 16 for long term borrowings and short term borrowings as regards security given by related parties for loans
availed by the Company.

e. As the liability for gratuity and leave encashment is provided on actuarial basis for the Company as a whole, the amount
pertaining to the directors are not included.

f. In the opinion of the management, the transactions reported herein are on arms length basis.

g. The amount of the outstanding balances as shown above are unsecured and will be settled in due course.

Notes:

a) The Company has considered a threshold of 10% as significant transaction or balances of each class of related party
transaction for the purpose of this disclosure.

b) The Company has disclosed significant transaction values for the year ended March 31,2026 and March 31,2025 separately.

h) The Company has a process whereby periodically long term contracts are assessed for material foreseeable losses. At the year
end, the Company has reviewed and ensured that adequate provision as required under the law/accounting standards for the
material foreseeable losses on such long term contracts has been made in the books of accounts amounting to ' 0.51 Crore
(March 31, 2025: ' 2.09 Crore). Further, the Company does not have any derivative contracts at the end of the year.

i) The Company and SEW Infrastructure Limited ('SIL') had incorporated a Joint venture, GIL- SIL JV (the "JV") and entered into a
contract with Dedicated Freight Corridor Corporation of India Limited ("DFCCIL") in 2015 for execution of design and construction
of civil structures and track works for double line railway involving formation in embankments/ cuttings, ballast on formation,
track works, bridges, structures, buildings, yards, integration with existing railway system and testing and commissioning on

design-build lump sum basis for Mughalsarai-New Karchana Station (including) of Eastern Dedicated Freight Corridor Project
(Contract Package - 201) and New Karchana (excluding) - New Bhaupur Station (excluding) of Eastern Dedicated Freight
Corridor Project (Contract Package - 202) (hereinafter together referred as 'DFCC project') to the JV.

Subsequently the JV had sub-contracted a significant portion of such contract to the Company. During the execution of the
project, DFCCIL failed to fulfil its obligations in a timely manner and as a consequence of such non-fulfilment, the execution of
DFCC project got significantly delayed. In view of the aforementioned delay, the JV sought extensions as per Clause 8.4 of the
General Conditions to the Contract and DFCCIL had granted such extensions from time to time.

During the year ended March 31, 2023, the JV had submitted its claim against DFCCIL for the period of delay i.e. from January
2019 to December 31, 2021, DFCCIL has rejected such claim citing the amendments made in the contract, while granting the
extensions of time. JV has invoked the dispute resolution process and accordingly Dispute Adjudicating Board (DAB) is constituted.

On November 01, 2024 majority of the DAB members have awarded an amount of? 262.54 Crore for Contract Package 201 and
on November 21, 2024 for an amount of? 254.80 Crore for contract Package 202 for the claim period from January 21, 2019 to
September 30, 2022. Further, DAB members unanimously have rejected all the counter claims of DFCCIL for Contract Package
202 and 201.

However, JV and DFCCIL, being dissatisfied with the Award for Contract Package 201 & Contract Package 202 issued Notice of
Dissatisfaction and proceed for arbitration.

Arbitration Tribunal for Contract Package 201 held its first preliminary hearing on April 15, 2025 during which the schedule for
completion of the pleadings was fixed. JV filed its statement of claim on June 10, 2025 claiming ? 1,057.12 Crore along with
interest and applicable taxes and DFCCIL has filed its Statement of Defense and counter claim on August 17, 2025. JV has filed
its reply to counter claim on December 03, 2025, while DFCCIL filed its Rejoinder to Reply to Counter Claim on February 03,
2026. In response JV filed its Sur-Rejoinder to the Rejoinder to Reply to Counter Claim on March 12, 2026. Currently, the matter
is at the stage of filing of affidavits of evidence of their witnesses on June 15, 2026 and the next date of hearing is fixed for June
16, 2026.

Similarly, Arbitration Tribunal for Contract Package 202 held its first preliminary hearing on March 21, 2025 wherein for completion
of pleadings, the schedule was fixed. As per the schedule JV has filed its statement of claim on May 07, 2025 and claimed an
amount of? 1,266.50 Crore including pre-pendente lite interest.

DFCCIL filed its Statement of Defense on July 22, 2025 and Statement of counter claims on July 28, 2025. JV in response to
DFCCIL's Counter claim filed its reply to Counter claims on September 20, 2025. Both the parties have filed their affidavits of
evidence of their witness on December 04, 2025 and currently, the matter is at the stage of Cross examination of JV's witness.
The next date of hearing is fixed for July 20, 2026;July 21, 2026;August 1, 2026 to August 03, 2026 and September 01, 2026 to
September 02, 2026 for cross examination of JV's witnesses.

In addition to the aforementioned claim for January 21, 2019 to September 30, 2022 the JV has further filed the claims of
Prolongation Cost with DAB for the period October 01, 2022 till April 30, 2024 for Contract Package 202 and Contract Package
201 for ? 226.86 Crore and ? 278.28 Crore on June 19, 2024 and December 16, 2024 respectively. DFCCIL has submitted letters
for raising counter claims in Contract Package 202 and Contract Package 201 on November 20, 2024 and November 25, 2024
respectively which has been duly objected by the JV on December 20, 2024.

For Contract Package 201, arguments were concluded and DAB Award was received on January 03, 2026 wherein DAB has
rejected the claims made by JV. JV had invoked Arbitration vide its notice dated April 03, 2026 and DFCCIL has replied the same
on May 04, 2026. Both the parties consented to refer these fresh dispute to the same Hon'ble Tribunal (already seized of the
prolongation claims for the period beyond the completion date i.e. January 20, 2019, up to September 30, 2022 and other
claims) for adjudication. On May 15, 2026, the Arbitral Tribunal was duly notified about the parties consent for the appointment
of the same Arbitral Tribunal and requested to commence the arbitral proceedings.

For Contract Package 202, arguments were concluded and DAB award was received on March 10, 2025 without any adjudication
of monetary claims. JV had invoked arbitration vide its notice dated February 27, 2026. DFCCIL has rejected JV's notice by
stating that claim are premature.

Based on internal assessment and review of the technical and legal aspects by independent experts, the management of the JV
and the Company recognized such claim in its books of account and basis back-to-back agreement with the JV, the Company
has also included an incremental budgeted contract revenue of ? 506.15 Crore (out of total claim amount of ? 2,828.75 Crore)
for determination of the revenue recognition in accordance with Ind AS 115 and has recognized revenue during the previous
years and year ended March 31, 2026 out of the aforesaid claims as fully recoverable.

The management of the JV and the Company considers the unbilled revenue recognized amounting to ? 505.55 Crore as at
March 31, 2026 out of the aforesaid claims as fully recoverable. However, based on the legal opinion, the management of the

II Contingent liabilities

In the ordinary course of business, the Company faces claims and assertions by various parties. The Company assesses such
claims and assertions and monitors the legal environment on an ongoing basis with the assistance of external legal counsel,
wherever necessary. The Company records a liability for any claims where a potential loss is probable and capable of being
estimated and discloses such matters in its financial statements, if material. For potential losses that are considered possible,
but not probable, the Company provides disclosure in the Standalone Financial Statements but does not record a liability in its
accounts unless the loss becomes probable.

Litigations

The Company is involved in legal proceedings, both as plaintiff and as defendant. The Company believes the following claims
to be material nature.

Pursuant to Composite Scheme of Amalgamation and Arrangement ('the scheme') as sanctioned by the Hon'ble National

Company Law Tribunal, Bench at Mumbai vide its order dated December 22, 2021, the Company is in the process of executing

guarantee agreements with the lenders, giving effect to the transfer of guarantees from GAL to the Company as may be

applicable.(Refer note 49)

1. This includes, corporate guarantees jointly extended by GAL and the Company (sanctioned amount of ? 50.00 Crore and
outstanding amount of? 12.24 Crore) [March 31, 2025 : ' 50.00 Crore (outstanding amount of? 27.23 Crore)] in favour of
lenders of its subsidiaries and fellow subsidiaries.

2. Interest accrued, if any, and unpaid is not included above.

In addition to above table, following are the additional contingent liabilities:

1. During the year ended March 31, 2019, the erstwhile GMR Infrastructure Limited (demerged company) and its subsidiary
Company GGAL, had extended corporate guarantees amounting to ? 2,353.20 Crore in favour of IDBI Bank Limited (as the
Lead Bank) wherein the demerged company had guaranteed the obligations of unsustainable debt of GMR Rajahmundry
Energy Limited ('GREL'), an associate of the Company. Pursuant to the scheme of demerger approved on December 31,
2021, such corporate guarantee has been transferred to the Company. However, the demerged company had passed board
resolutions/ executed undertakings for aforementioned corporate guarantees jointly with the Company. (Refer note 49)

Further, during the year ended March 31, 2025, the consortium of lenders of GREL unanimously approved to accept the
One-time Settlement ('OTS') amount of ? 657.00 Crore towards the full and final settlement of all exposures. Pursuant to
such settlement, on March 29, 2025, GREL paid the first installment of ? 165.70 Crore. Further, during the year ended
March 31, 2026, GREL has paid the entire balance OTS payment of ? 491.30 Crore and settled with the consortium of
lenders for extinction of aforementioned exposures. (Also refer note 35)

2. There are numerous interpretative issues relating to the Supreme Court (SC) judgement on provident fund dated February
28, 2019. As a matter of caution, the Company has evaluated the same for provision on a prospective basis from the date
of the SC order and is of the view that no such provision is required. The Company will update its provision, on receiving
further clarity on the subject.

3. The Company has provided guarantee to Dedicated Freight Corridor Corporation of India Limited ('DFCCIL') on behalf
of GIL SIL JV and company's subsidiaries (including step down subsidiary) amounting to ? 380.00 Crore sanctioned (March
31, 2025 : ? 380.00 Crore) and outstanding balance of ? 337.21 Crore (March 31, 2025 : Outstanding Balance of ? 366.38
Crore).

The indirect taxes under dispute against the Company primarily represent ongoing litigation related to the Service Tax matters.
These claims are mainly on account of ineligible input tax credit, reverse tax charge liability tax, etc. These matters are pending
before various indirect tax authorities and the Management including its tax advisors expect that its position will likely be upheld
on ultimate resolution and will not have a material adverse effect on the Company's financial position and results of operations.

It is not practicable for the Company to estimate the timings of cash outflows and the Company believes that none of the
contingencies described below would have a material adverse effect on the Company's financial condition, results of operations
or cash flows.

1 The Company has extended comfort letters to provide continued financial support to certain subsidiaries/joint ventures/
associates to ensure that these subsidiaries are able to meet their debts, commitments (including commitments towards
investee entities) and liabilities as they fall due and they continue as going concerns.

2 The Company has entered into agreements with the lenders of subsidiaries/joint ventures/ associates wherein it has
committed to hold directly or indirectly at all times at least 51% of the equity share capital of the subsidiaries/joint
ventures/ associates and not to sell, transfer, assign, dispose, pledge or create any security interest except pledge of shares
to the respective lenders as covered in the respective agreements with the lenders.

3 The Company has certain long term unquoted investments which have been pledged as security towards loan facilities
sanctioned to the Company and the investee companies.

35 On March 28, 2025, the consortium of lenders of GMR Rajahmundry Energy Limited ('GREL'), an associate of the Company,
unanimously approved to accept the One-time Settlement ('OTS') amount of? 657.00 Crore towards the full and final settlement
of all exposures, including Term Loan, Non-Convertible Debentures ('NCDs'), Compulsorily Redeemable Preference Shares
('CRPS'), Interest Payable, corporate guarantees issued by the Company and GGAL, Subsidiary of the Company, and transfer of
CRPS and Equity Shares of GREL held by consortium of lenders. GREL has accepted the proposal and paid the first installment
of ' 165.70 Crore towards the OTS on March 29, 2025.

During the current year, GREL has paid the entire balance OTS payment of? 491.30 Crore and settled with the consortium of
lenders for extinction of aforementioned exposures. Accordingly, the Company has considered the impact of the aforesaid OTS
transaction and reversed the liability for commitment of? 233.42 Crore in year ended March 31,2025 and ? 122.27 Crore in year
ended March 31, 2026 and disclosed the same as an exceptional item in the accompanying standalone financial statements.

36 Disclosures on Financial instruments

This section gives an overview of the significance of financial instruments for the Company and provides additional information
on balance sheet items that contain financial instruments.

The details of significant accounting policies, including the criteria for recognition, the basis of measurement and the basis on
which income and expenses are recognised in respect of each class of financial asset, financial liability and equity instrument
are disclosed in Note 2.2 (b) and 2.2 (o), to the standalone financial statements.

(a) Financial assets and liabilities

The following tables presents the carrying value and fair value of each category of financial assets and liabilities as at March 31,
2026 and March 31, 2025.

(i) Short-term financial assets and liabilities are stated at carrying value which is approximately equal to their fair value.

(ii) Management uses its best judgement in estimating the fair value of its financial instruments. However, there are inherent
limitations in any estimation technique. Therefore, for substantially all financial instruments, the fair value estimates presented
above are not necessarily indicative of the amounts that the Company could have realised or paid in sale transactions as of
respective dates. As such, fair value of financial instruments subsequent to the reporting dates may be different from the
amounts reported at each reporting date.

(iii) The fair values of the unquoted equity shares have been estimated using a discounted cash flow model except in case of
fair value of investment in SEZ sector which has determined based on available data for similar immovable property/
investment or observable market prices less incremental cost for disposing of the immovable property/ investments. The
valuation requires management to make certain assumptions about the model inputs, including forecast cash flows, discount
rate, credit risk and volatility. The probabilities of the various estimates within the range can be reasonably assessed and
are used in management's estimate of fair value for these unquoted equity investments. Based on the inputs provided by
the management the independent external valuer performs the valuation of Investments in subsidiaries, associates and
joint ventures.

(iv) There have been no transfers between Level 1, Level 2 and Level 3 for the year ended March 31, 2026 and March 31, 2025.

(v) Fair value of mutual funds is determined based on the net asset value of the funds.

In the course of its business, the Company is exposed primarily to fluctuations in foreign currency exchange rates, interest rates,
equity prices, liquidity and credit risk, which may adversely impact the fair value of its financial instruments. The Company has
a risk management policy which not only covers the foreign exchange risks but also other risks associated with the financial
assets and liabilities such as interest rate risks and credit risks. The risk management policy is approved by the Board of
Directors. The risk management framework aims to:

(i) create a stable business planning environment by reducing the impact of currency and interest rate fluctuations on the
Company's business plan.

(ii) achieve greater predictability to earnings by determining the financial value of the expected earnings in advance,

i) Market risk

Market risk is the risk of any loss in future earnings, in realisable fair values or in future cash flows that may result from a
change in the price of a financial instrument. The value of a financial instrument may change as a result of changes in
interest rates, foreign currency exchange rates, equity price fluctuations, liquidity and other market changes. Future specific
market movements cannot be normally predicted with reasonable accuracy.

(a) Market risk- Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of
changes in market interest rates. The Company's exposure to the risk of changes in market interest rates relates
primarily to the Company's long-term debt obligations with floating interest rates. The Company manages its interest
rate risk by having a balanced portfolio of fixed and variable rate loans and borrowings.

(b) Market risk- Foreign currency risk

Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of changes
in foreign exchange rates. The Company's exposure to the risk of changes in foreign exchange rates relates primarily
to the Company's investing and financing activities. The Company's exposure to foreign currency changes from
operating activities is not material.

ii) Credit risk

Credit risk is the risk of financial loss arising from counterpart's failure to repay or service debt according to the contractual
terms or obligations. Credit risk encompasses both the direct risk of default and the risk of deterioration of credit worthiness
as well as concentration risks. The Company has a policy of dealing only with credit worthy counter-parties and obtaining
sufficient collateral, where appropriate as a means of mitigating the risk of financial loss from defaults.

Financial instruments that are subject to credit risk and concentration thereof principally consist of trade receivables/
unbilled revenue, loans receivables, investments in debt securities of group companies, balances with bank, bank deposits,
derivatives and financial guarantees provided by the Company. None of the financial instruments of the Company result in
material concentration of credit risk except investment in preference shares/debentures made by the Company in its
group companies and loans provided to its group companies. The credit risk in respect of such investments in preference
shares/ debentures and loans are assessed on the basis of the fair value of the respective group companies determined
based on their business plans. Also refer note 32 for the details of such instruments.

The carrying value of financial assets represents the maximum credit risk. The maximum exposure to credit risk was
' 5,893.38 Crore as at March 31, 2026 (March 31, 2025: ' 4,568.25 Crore), being the total carrying value of investments,
loans, trade receivables, balances with bank, bank deposits and other financial assets.

Customer credit risk is managed by each business unit subject to the Company's established policy, procedures and
control relating to customer credit risk management. An impairment analysis is performed at each reporting date on an
individual basis for major customers. The Company does not hold collateral as security. Further, the top 5 customers of the
Company in the EPC segment contributes to more than 90% of the trade receivables during the year ended March 31,
2026 and March 31, 2025.

Credit risk from balances with bank and financial institutions is managed by the Company's treasury department in accordance
with the Company's policy. Investments of surplus funds are made only with approved counterparties and within credit
limits assigned to each counterparty. The limits are set to minimise the concentration of risks and therefore mitigate
financial loss through counterparty's potential failure to make payments.

In respect of financial guarantees provided by the Company to banks and financial institutions, the maximum exposure
which the Company is exposed to is the maximum amount which the Company would have to pay if the guarantee is called
upon. Based on the expectation at the end of the reporting period, the Company considers that it is more likely than not
that such an amount will not be payable under the guarantees provided.

The presumption under Ind AS 109 with reference to significant increases in credit risk since initial recognition (when
financial assets are more than 30 days past due), has been rebutted and is not applicable to the company as it is able to
collect a significant portion of its receivables that exceed the due date.

iii) Liquidity risk

Liquidity risk refers to the risk that the Company cannot meet its financial obligations. The objective of liquidity risk
management is to maintain sufficient liquidity and ensure that funds are available for use as per requirements. The Com¬
pany has obtained fund and non-fund based working capital lines from various banks. Furthermore, the Company has
access to funds from debt markets through commercial paper programs, non-convertible debentures and other debt
instruments. The Company invests its surplus funds in bank fixed deposit and in mutual funds, which carry no or low
market risk.

The Company monitors its risk of shortage of funds on a regular basis. The Company's objective is to maintain a balance
between continuity of funding and flexibility through the use of bank overdrafts, bank loans, debentures, preference
shares, sale of assets and strategic partnership with investors, etc.

The following table shows a maturity analysis of the anticipated cash flows (excluding interest obligations) for the Company's
financial liabilities on an undiscounted basis, which therefore differfrom both carrying value and fairvalue.

b) Defined benefit plan

The Company has a defined benefit gratuity plan. Every employee who has completed five years or more of service gets a
gratuity on departure at 15 days salary (based on last drawn basic) for each completed year of service.

The fund provides a capital guarantee of the balance accumulated and declares interest periodically that is credited to the fund
account. Although we know that the fund manager invests the funds as per products approved by Insurance Regulatory and
Development Authority of India and investment guidelines as stipulated under section 101 of Income Tax Act,1961 the exact
asset mix is unknown and not publicly available. The Trust assets managed by the fund manager are highly liquid in nature and
we do not expect any significant liquidity risks. The Trustees are responsible for the investment of the assets of the Trust as well
as the day to day administration of the scheme.

The following tables summarise the components of net benefit expense recognised in the standalone statement of profit or
loss and the funded status and amounts recognised in the standalone balance sheet for gratuity benefit.

Notes:

1. Plan assets are fully represented by balance with the Life Insurance Corporation of India.

2. The expected return on plan assets is determined considering several applicable factors mainly the composition of
the plan assets held, assessed risks of asset management, historical results of the return on plan assets and the
Company's policy for plan asset management.

3. The estimates of future salary increase in compensation levels, considered in actuarial valuation, take account of
inflation, seniority, promotion and other relevant factors, such as supply and demand in the employment market.

4. As per Indian Assured Lives Mortality (2006-08) (modified) Ultimate.

5. Plan Characteristics and Associated Risks:

The Gratuity scheme is a Defined Benefit Plan that provides for a lump sum payment made on exit either by way of
retirement, death, disability or voluntary withdrawal. The benefits are defined on the basis of final salary and the
period of service and paid as lump sum at exit. The Plan design means the risks commonly affecting the liabilities and
the financial results are expected to be:

a. Interest rate risk : The defined benefit obligation calculated uses a discount rate based on government bonds. If
bond yields fall, the defined benefit obligation will tend to increase.

b. Salary Inflation risk : Higher than expected increases in salary will increase the defined benefit obligation.

c. Demographic risk : This is the risk of variability of results due to unsystematic nature of decrements that include
mortality, withdrawal, disability and retirement. The effect of these decrements on the defined benefit obligation
is not straight forward and depends upon the combination of salary increase, discount rate and vesting criteria.
It is important not to overstate withdrawals because in the financial analysis the retirement benefit of a short
career employee typically costs less per year as compared to a long service employee.

The Company's capital management is intended to create value for shareholders by facilitating the meeting of long term and
short term goals of the Company.

The Company determines the amount of capital required on the basis of annual business plan coupled with long term and short
term strategic investment and expansion plans. The funding needs are met through equity, cash generated from operations
and sale of certain assets, long term and short term bank borrowings and issue of non-convertible debt securities and strategic
partnership with investors.

For the purpose of the Company's capital management, capital includes issued equity capital, convertible preference shares
and debentures, share premium and all other equity reserves attributable to the equity holders ofthe Company.

The Company manages its capital structure and makes adjustments in light of changes in economic conditions and the
requirements of the financial covenants. To maintain or adjust the capital structure, the Company may adjust the dividend
payment to shareholders, return capital to shareholders or issue new shares. The Company monitors capital using a gearing
ratio, which is total debt divided by total capital plus total debt. The Company's policy is to keep the gearing ratio at an
optimum level to ensure that the debt related covenant are complied with.

was 60 years from the date of allotment by GAL and the USD 275 million FCCBs outstanding in the Company if converted shall
account for 111,241,666 equity shares of the Company. The right of conversion of any or all of the FCCBs to equity shares of
GAL and/or GPUIL, will need to be simultaneously exercised in the equivalent ratio. The outstanding amount as at March 31,
2026 is ' Nil (March 31, 2025: ' Nil). Interest was payable on annual basis.

During the year ended March 31, 2025, USD 275 million 7.5% Subordinated Foreign Currency Convertible Bonds (FCCBs), have
been transferred by KIA to two eligible lenders i.e., Synergy Industrials Metals and Power Holdings Limited ("Synergy Holdings")
(USD 154 million) and to GRAM Limited ("GRAM") (USD 121 million). On July 10, 2024, the Company has converted 7.5% USD
275 million FCCBs into 111,241,666 number of equity shares of ' 5/- each, to the above FCCB holders, as per the agreed terms
and basis receipt of a conversion notice from the FCCB holders. As the FCCB holders are equity investors, and as a part of the
overall commercials between the Company and the FCCB holders, the FCCB holder waived off the outstanding accrued interest
on such FCCB's amounting ' 1,175.75 Crore. The Company has recognized gain on account of such waiver as an exceptional
gain in the statement of profit and loss for the year ended March 31, 2025.

44 On November 21, 2025, Government has consolidated 29 existing Labour legislations into a unified framework comprising 4
Labour Codes viz., Code on Wages, 2019, Code on Social Security, 2020, Industrial Relation Code, 2020 and Occupational
Safety, Health and Working Condition Code, 2020 (collectively referred to as the new Labour Codes). The Government of India,
vide its notification dated May 08, 2026 has notified the rules for aforementioned new Labour codes, however the states are yet
to finalise the new Labour codes.

Pursuant to changes in definition of wages under New Labour Codes and guidance provided by Institute of Chartered Accountants
of India, the Company had recorded additional provision of? 0.43 Crore towards gratuity and long-term compensated absences
on the basis of the actuarial valuation report as exceptional item in the standalone financial statements for the year ended
March 31, 2026. The Company continues to monitor the finalization of State Rules and clarifications from the Government on
other aspects of the Labour Code and would provide appropriate accounting effect if any, on the basis of such developments
as needed.

45 The Ministry of Corporate Affairs (MCA) has prescribed a requirement for companies under the proviso to Rule 3(1) of the
Companies (Accounts) Rules, 2014 inserted by the Companies (Accounts) Amendment Rules, 2021 requiring companies, which
uses accounting software for maintaining its books of account, shall use only such accounting software which has a feature of
recording audit trail of each and every transaction, creating an edit log of each change made in the books of account along with
the date when such changes were made and ensuring that the audit trail cannot be disabled.

The Company has used an accounting software for maintaining its books of account which has a feature of audit trail (edit log)
facility and the same has operated throughout the year for all relevant transactions recorded in the accounting software. The
audit trail has been preserved by the Company as per the statutory requirements for record retention.

46 Operating segments are reported in such a manner which is consistent with the internal reporting provided to the Chief
Operating Decision Maker ('CODM'). As per the evaluation carried out by CODM, the Company has only one reportable business
segment, viz., Engineering, Procurement and Construction ('EPC'). Accordingly, the amounts appearing in the standalone financial
statements relate to the single business segment.

47 GMR Airports Limited ('GAL') (formerly GMR Airports Infrastructure Limited) had issued 6 (six) Foreign Currency Convertible
Bonds (FCCBs) of USD 5,00,00,000 each, aggregating to USD 300 million due in 2075 to the Kuwait Investment Authority ("KIA")
on December 10, 2015. The National Company Law Tribunal (NCLT), Mumbai vide its order dated on December 22, 2021 had
approved the Composite Scheme of Amalgamation and Arrangement amongst GMR Power Infra Limited, GAL and the Company
("Scheme"). The Scheme inter-alia provides for Demerger of EPC and Urban Infra business of GAL into the Company. In accordance
with the requirements of Section 2(19AA) of the Income Tax Act, 1961, part of the liability pertaining to the outstanding FCCBs
of GAL attributable to the Demerged Undertaking stands vested to the Company pursuant to the Demerger. Thus upon
effectiveness of the Scheme, subject to necessary regulatory approval, FCCBs of USD 275 million stands vested to the Company.
To give effect to the split of FCCBs between GAL and the Company, the Company, GAL and KIA had entered into an agreement
on January 12, 2022 inter-alia for redenomination of the FCCBs into a total of 300 FCCBs, each having a face value of USD
10,00,000, from 6 FCCBs of USD 5,00,00,000 each and split of FCCBs between GAL and the Company such that GAL will retain
FCCBs of USD 25 million and remaining FCCBs of USD 275 million which stands vested to the Company. The tenure of FCCBs

# During the year ended March 31, 2025 USD 275 million 7.5% Subordinated Foreign Currency Convertible Bonds (FCCBs) have
been converted dated July 10, 2024, into 111,241,666 number of equity shares of ' 5/- each. Further the outstanding interest
payable on such FCCB's amounting to ' 1,175.75 Crore has been waived off. Also refer note 47.

Other adjustment of lease liabilities pertains to additions of ROU.

49 The Board of directors of GMR Airports Infrastructure Limited (GIL) in its meeting held on March 19, 2023 had approved, a
detailed Scheme of Merger of GMR Airports Limited (GAL) with GMR Infrastructure Developers Limited (GIDL) followed by
merger of GIDL with GIL referred herein after as Merger Scheme. Subsequent to year ended March 31, 2024, the Merger
Scheme has been approved by the Hon'ble National Company Law Tribunal, Chandigarh bench ("the Tribunal") vide its order
dated June 11, 2024 (Certified copy of the order received on July 02, 2024). The said Tribunal order was filed with the Registrar
of Companies by GAL, GIDL and GIL on July 25, 2024 thereby the Scheme becoming effective on that date. Accordingly, GAL
merged with GIDL and merged GIDL stands merged into GIL with an appointed date of April 01, 2023.After the scheme become
effective the resultant company is named as GMR Airports Limited (formerly GMR Airports Infrastructure Limited) (GAL).

Accordingly all the transactions and balances entered with GIL, GAL and GIDL has been clubbed as a single transaction entered
with resultant company GMR Airports Limited (formerly GMR Airports Infrastructure Limited) (GAL).

50 Additional disclosures pursuant to schedule III of Companies Act 2013

i) The Company does not have any Benami property, where any proceeding has been initiated or pending against the
company for holding any Benami property.

ii) The Company does not have any transactions/ balances with companies struck off under section 248 of Companies Act,
2013 to the best of knowledge of the management.

iii) The Company has not traded or invested funds in Crypto currency or Virtual currency.

iv) Except for the information given in the table below, the Company has not advanced or loaned or invested funds (either
borrowed funds or share premium or any other sources or kind of funds) to any other person(s) or entity(ies), including
foreign entities (Intermediaries) with the understanding that the Intermediary shall

a) directly or indirectly lend or invest in other persons or entities identified in any manner by or on behalf of the
Group(Ultimate Beneficiaries) or

b) provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries

The Management committee of the Board of directors of the company in its meeting held on July 02, 2022 has approved
promoter contribution/ support upto ' 160.00 Crore over the period of 4 years in the form of inter corporate loan/
convertible instrument as per resolution plan of GMR Warora Energy Limited in favour of the consortium banks led by
State Bank of India (lenders).

v) Except for information given in table below, the Company has not received any fund from any person(s) or entity(ies),
including foreign entities(Funding Party) with the understating (whether recorded in writing or otherwise) that the Group
shall:

a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of
the Funding Party (Ultimate Beneficiaries) or

b) provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

vi) The Company has used borrowings from banks and financial institutions for the specific purpose for which it was taken at
the balance sheet date.

vii) The Company has not been declared willful defaulter by any bank or financial institution or other lender.

viii) The Company has been sanctioned a working capital limit in excess of? 5.00 Crore, by banks on the basis of security of
current assets. Pursuant to the terms of the sanction letters, the Company is not required to file any quarterly return or
statementwith such banks.

ix) The Company does not have any such transaction which is not recorded in books of account that has been surrendered or
disclosed as income during the year in the tax assessments (such as, search or survey or any other relevant provisions)
under Income Tax Act, 1961.

x) The Company does not have any charges or satisfaction which is yet to be registered with ROC beyond the statutory
period.

xi) The Company has not granted any loans or advances in nature of loan, either repayable on demand or without specifying
any terms or period of repayment, to promoters, directors, KMPs and the related parties.

xii) The Company is in compliance with the requirement of Section 2(87) of the Companies Act, 2013 read with the Companies
(Restriction on number of Layers) Rules, 2017.

51 Certain amounts (currency value or percentages) shown in the various tables and paragraphs included in the standalone

financial statements have been rounded off or truncated as deemed appropriate by the management of the Company.

52 Previous year's figures have been regrouped/ reclassified, to conform to the classification adopted in the current year classification.

The impact of the same is not material to the users of the standalone financial statements.