o) Provisions, Contingent Liabilities and
Contingent Assets

Provisions are recognised when the Company
has a present legal or constructive obligation as
a result of a past event and 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. Such provisions are
determined based on management estimate of
the amount required to settle the obligation at the
balance sheet date. When the Company expects
some or all of a provision to be reimbursed, the
reimbursement is recognised as a standalone
asset only when the reimbursement is virtually
certain.

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.

Contingent liabilities are disclosed on the basis
of judgment of management. These are reviewed
at each balance sheet date and are adjusted to
reflect the current management estimate.

Contingent assets are not recognized but are
disclosed in the financial statements when inflow
of economic benefits is probable.

p) Impairment of non-financial assets - property,
plant and equipment and intangible assets

The Company assesses at each reporting date
as to whether there is any indication that any
property, plant and equipment and intangible
assets or group of assets, called cash generating
units (CGU) may be impaired. If any such
indication exists the recoverable amount of an
asset or CGU is estimated to determine the extent
of impairment, if any. When it is not possible to
estimate the recoverable amount of an individual
asset, the Company estimates the recoverable
amount of the CGU to which the asset belongs.

An impairment loss is recognised in the Statement
of Profit and Loss to the extent, asset's carrying
amount exceeds its recoverable amount. The
recoverable amount is higher of an asset's fair
value less cost of disposal and value in use. Value
in use is based on the estimated future cash
flows, discounted to their present value using
pre-tax discount rate that reflects current market
assessments of the time value of money and risk
specific to the assets.

The impairment loss recognised in prior
accounting period is reversed if there has been a
change in the estimate of recoverable amount.

q) Share capital and share premium

Ordinary shares are classified as equity.
Incremental costs directly attributable to the issue
of new shares are shown in equity as a deduction,
net of tax, from the proceeds.

Par value of the equity share is recorded as share
capital and the amount received in excess of the
par value is classified as share premium.

Treasury shares held in the Trust are deducted
from the equity.

r) Financial Instruments

i) Financial Assets

A. Initial recognition and measurement

All financial assets and liabilities
are initially recognized at fair value.
Transaction costs that are directly
attributable to the acquisition or issue
of financial assets and financial liabilities,
which are not at fair value through profit
or loss, are adjusted to the fair value on
initial recognition. Purchase and sale of
financial assets are recognised using
trade date accounting.

B. Subsequent measurement

Financial assets carried at amortised cost

A financial asset is measured at amortised
cost if it is held within a business model
whose objective is to hold the asset 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.

Financial assets at fair value through
other comprehensive income (FVTOCI)

A financial asset is measured at FVTOCI if
it is held within a business model whose
objective is achieved by both collecting
contractual cash flows and selling
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 assets at fair value through
profit or loss (FVTPL)

A financial asset which is not classified in
any of the above categories are measured
at FVTPL.

C. Investment in subsidiaries, Associates
and Joint Ventures

The Company has accounted for its
investments in subsidiaries, associates
and joint venture at cost.

D. Other Equity Investments

All other equity investments are

measured at fair value through Other
Comprehensive Income with value
changes recognised therein.

E. Impairment of financial assets

In accordance with Ind AS 109, the
Company uses 'Expected Credit Loss'
(ECL) model, for evaluating impairment
of financial assets other than those
measured at fair value through OCI.

Expected credit losses are measured
through a loss allowance at an amount
equal to:

- The 12-months expected credit losses

(expected credit losses that result
from those default events on the
financial instrument that are possible
within 12 months after the reporting
date); or

- Full lifetime expected credit losses

(expected credit losses that result
from all possible default events over
the life of the financial instrument).

For trade receivables Company applies
'simplified approach' which requires
expected lifetime losses to be recognised
from initial recognition of the receivables.
The Company uses historical default
rates to determine impairment loss on
the portfolio of trade receivables. At every
reporting date these historical default
rates are reviewed and changes in the
forward looking estimates are analysed.

ii) Financial Liabilities

A. Initial recognition and measurement

All financial liabilities are recognized at fair
value and in case of loans, net of directly
attributable cost. Fees of recurring nature
are directly recognised in the Statement
of Profit and Loss as finance cost.

B. Subsequent measurement

Financial liabilities are carried at amortized
cost using the effective interest method.
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.

iii) Derecognition of financial instruments

The Company derecognizes a financial asset
when the contractual rights to the cash
flows from the financial asset expire or it
transfers the financial asset and the transfer
qualifies for derecognition under Ind AS 109.
A financial liability (or a part of a financial
liability) is derecognized from the Company's
Balance Sheet when the obligation specified
in the contract is discharged or cancelled or
expires.

s) Earnings Per Share

Basic earnings per share are calculated by dividing
the net profit or loss for the period attributable to
equity shareholders by weighted average number
of equity shares outstanding during the period.
The weighted average number of equity shares
outstanding during the period are adjusted for
events of bonus issue; bonus element in a right
issue to existing shareholders.

For the purpose of calculating diluted earnings
per share, the net profit or loss for the year
attributable to equity shareholders and the
weighted average number of shares outstanding
during the year are adjusted for the effects of all
dilutive potential equity shares.

t) Dividend Distribution

Dividend distribution to the Company's
shareholders is recognised as a liability in the
company's financial statements in the period
in which the dividends are approved by the
Company's shareholders.

u) Statement of Cash Flows

i) Cash and Cash equivalents

For the purpose of presentation in the
statement of cash flows, cash and cash
equivalents includes cash on hand, deposits
held at call with financial institutions, other
short-term, highly liquid investments with
original maturities of three months or
less that are readily convertible to known
amounts of cash and which are subject to
an insignificant risk of changes in value, and
bank overdrafts. However for Balance Sheet
presentation, Bank overdrafts are classified
within borrowings in current liabilities.

ii) Statement of Cash Flows is prepared in
accordance with the Indirect Method

prescribed in the relevant Accounting
Standard.

v) Share Based Payment

Equity-settled share-based payments to
employees and others providing similar services
are measured at the fair value of the equity
instruments at the grant date. Details regarding
the determination of the fair value of equity-
settled share-based transactions are set out in
note 15(i).

The fair value determined at the grant date
of the equity-settled share-based payments is
expensed on a straight-line basis over the vesting
period, based on the Company's estimate of
equity instruments that will eventually vest, with
a corresponding increase in equity. At the end
of each reporting year, the Company revises its
estimate of the number of equity instruments
expected to vest. The impact of the revision
of the original estimates, if any, is recognised
in Statement of profit and loss such that the
cumulative expense reflects the revised estimate,
with a corresponding adjustment to the equity-
settled employee benefits reserve.

The dilutive effect of outstanding options is
reflected as additional share dilution in the
computation of diluted earnings per share.

w) Business Combination

Business combinations involving entities under
common control are accounted for using the
pooling of interests method as prescribed under
Appendix C to Ind AS 103. The assets, liabilities
and reserves of the transferor are recorded at
their existing carrying amounts. No fair value
adjustments are made. The difference between
the consideration transferred and the net assets
acquired is adjusted in equity.

2.3 KEY ACCOUNTING ESTIMATES AND
JUDGEMENTS

The preparation of the Company's financial statements
requires management to make judgement, estimates
and assumptions that affect the reported amount
of revenue, expenses, assets and liabilities and the
accompanying disclosures. 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.

a) Depreciation / amortisation and useful lives
of property plant and equipment / intangible
assets

Property, plant and equipment / intangible assets
are depreciated / amortised over their estimated
useful lives, after taking into account estimated
residual value. The estimated useful lives and
residual values of the assets are reviewed annually
in order to determine the amount of depreciation /
amortisation to be recorded during any reporting
period. The useful lives and residual values are
based on the Company's historical experience with
similar assets and take into account anticipated
technological changes and other related matters.
The depreciation / amortisation for future periods
is revised if there are significant changes from
previous estimates.

b) Recoverability of trade receivable

Judgements are required in assessing the
recoverability of overdue trade receivables and
determining whether a provision against those
receivables is required. Factors considered
include the period of overdues, the amount and
timing of anticipated future payments and the
probability of default.

c) Provisions

Provisions and liabilities are recognized in the
period when it becomes probable that there will
be a future outflow of resources resulting from
past operations or events and the amount of
cash outflow can be reliably estimated. The timing
of recognition and quantification of the liability
requires the application of judgement to existing
facts and circumstances. The carrying amounts
of provisions and liabilities are reviewed regularly
and revised to take account of changing facts and
circumstances.

d) Impairment of non-financial assets

The Company assesses at each reporting date
whether there is an indication that an asset may
be impaired. If any indication exists, the Company
estimates the asset's recoverable amount. An
asset's recoverable amount is the higher of an
asset's or Cash Generating Units (CGU's) fair
value less costs of disposal and its value in use.
It is determined for an individual asset, unless
the asset does not generate cash inflows that are
largely independent of those from other assets or

a groups of assets. Where the carrying amount of
an asset or CGU exceeds its recoverable amount,
the asset is considered impaired and is written
down to its recoverable amount.

In assessing value in use, the estimated future
cash flows are discounted to their present value
using pre-tax discount rate that reflects current
market assessments of the time value of money
and the risks specific to the asset. In determining
fair value less costs of disposal, recent market
transactions are taken into account, if no such
transactions can be identified, an appropriate
valuation model is used.

e) Measurement of defined benefit obligations

The measurement of defined benefit and other
post-employment benefits obligations 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, mortality
rates and future pension increases. 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.

f) Amortization of leasehold land

The Company's lease asset classes primarily
consist of leases for industrial land. The lease
premium is the fair value of land paid by the
Company to the state government at the time
of acquisition and there is no liability at the end
of lease term. The lease premium paid by the
company has been amortized over the lease
period on a systematic basis and classified under
Ind AS 16 and therefore, the requirements of both
Ind AS 116 and Ind AS 17 as to the period over
which, and the manner in which, the right of use
asset (under Ind AS 116) or the asset arising from
the finance lease (under Ind AS 17) amortized are
similar

g) Share based payments

The Company initially measures the cost of
cash-settled transactions with employees using
a binomial model to determine the fair value of
the liability incurred. Estimating fair value for
share-based payment transactions requires
determination of the most appropriate valuation
model, which is dependent on the terms and

conditions of the grant. This estimate also requires
determination of the most appropriate inputs to
the valuation model including the expected life
of the share option, volatility and dividend yield
and making assumptions about them. For cash-
settled share-based payment transactions, the
liability needs to be remeasured at the end of each
reporting period up to the date of settlement,
with any changes in fair value recognised in the
profit or loss. This requires a reassessment of
the estimates used at the end of each reporting
period.

h) Determining the lease term of contracts with
renewal and termination options - Company
as lessee

The Company determines the lease term as the
non-cancellable term of the lease, together with
any periods covered by an option to extend the
lease if it is reasonably certain to be exercised, or
any periods covered by an option to terminate the
lease, if it is reasonably certain not to be exercised.

The Company has only one lease contracts that
include extension and termination options.
The Company applies judgement in evaluating
whether it is reasonably certain whether or not
to exercise the option to renew or terminate the
lease. That is, it considers all relevant factors that
create an economic incentive for it to exercise
either the renewal or termination. After the
commencement date, the Company reassesses
the lease term if there is a significant event or
change in circumstances that is within its control
and affects its ability to exercise or not to exercise
the option to renew or to terminate.

The Company included the renewal period as
part of the lease term for leasehold properties
with longer non-cancellable periods (i.e., 5 years
to 29 years) are not included as part of the lease
term as these are not reasonably certain to be
exercised. Furthermore, the periods covered by
termination options are included as part of the
lease term only when they are reasonably certain
not to be exercised.

Leases - Estimating the incremental borrowing
rate

The Company cannot readily determine the
interest rate implicit in the lease, therefore, it uses
its incremental borrowing rate (IBR) to measure
lease liabilities. The IBR is the rate of interest
that the Company would have to pay to borrow

observable inputs (such as market interest rates)
when available and is required to make certain
entity-specific estimates.

2.4 NEW AND AMENDED STANDARDS

The company has not early adopted any standards,
amendments that have been issued but are not yet
effective/notified.

b. Terms/rights attached to equity shares

The company has only one class of equity shares having a par value of T 1/- per share. Each holder of equity
shares is entitled to one vote per share. The company declares and pays dividends 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 the 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 shareholders.

c. Shares held by Subsidiaries and Associate companies

Out of equity shares issued by the company, shares held by its subsidiaries and associate companies are as below:

h. Apart from authorised equity share capital, the company is also having authorised preference share capital
consisting 3200000 preference shares of ? 10/- each as on 31.03.2026 and 31.03.2025.

i. Details of Employee Stock Option Plan:

Godawari Power & Ispat Limited Employees Stock Option Plan 2023 (""GPIL ESOP 2023"") was approved by the

shareholders of the Company on 12th December, 2023. The plan is designed to provide incentives to all the
employees of the Company and its Subsidiaries for their long association with the Company. Under the plan
the employees would be granted stock options which would carry the right to apply for equivalent number of
equity shares of the Company of the face value of ? 1 each at a price to be determined by the Nomination and
Remuneration Committee of the Company. The total number of options to be granted under the Scheme would be
140,00,000 Options convertible into equal number of equity shares of ? 1 each. The Options shall be vested after
one year from the date of grant in 3 annual tranches of 35%, 35% and 30% of the options granted. The options may
be exercised any time after vesting but before 3 years from the date of vesting. In accordance with the Scheme,
the Nomination and Remuneration Committee of the Company on 15/01/2024 and 18/03/2024 has granted
44,31,280 and 2,99,040 options respectively to certain eligible employees of the Company and its Subsidiaries. The
exercise price is fixed at ? 116.20 by the Nomination and Remuneration Committee for the Options granted above.
Further in accordance with the Scheme, the Nomination and Remuneration Committee of the Company on
25/08/2025 and 13/09/2025 has granted 2,19,858 and 59,348 options respectively to certain eligible employees
of the Company and its Subsidiaries. The exercise price is fixed at ? 156.00 by the Nomination and Remuneration
Committee for the Options granted above.

Notes:

a. Capital Reserve

During amalgamation, the excess of net assets acquired, over the cost of consideration paid is treated as capital
reserve.

b. Capital Redemption Reserve

On buy back of shares capital redemption reserve has been created. It is to be utilised in accordance with the
provisions of Companies Act, 2013.

c. Securities Premium

Securities Premium is used to record the premium received on issue of shares. It is to be utilised in accordance
with the provisions of Companies Act, 2013.

d. General Reserve

General Reserve is available for payment of dividend and buy back of equity shares as per the provisions of
Companies Act, 2013.

e. Retained earnings

Retained earnings are the profits/(loss) that the company has earned/incurred till date, less any transfers to general
reserve, dividends or other distributions paid to shareholders. Retained earnings include re-measurement loss /
(gain) on defined benefit plans, net of taxes that will not be reclassified to Statement of Profit and Loss.

f. Share Based Payment Reserve

The share options-based payment reserve is used to recognise the grant date fair value of option issued to
employees under Employee stock option plan.

g. Items of other comprehensive income

The cumulative gains and losses arising from fair value changes of equity investments measured at fair value
through other comprehensive income are recognised in fair value of financial assets. The balance of the reserve
represents such changes recognised net of amounts reclassified to retained earnings on disposal of such
investments.

Terms & conditions of secured loans:

i. Term loan from bank is secured by first pari-passu charge by way of equitable mortgage of land and building,
alongwith hypothecation of plant & machinery and other movable fixed assets including entire existing as well
as future fixed assets of the company including intangibles and goodwill and equitable mortgage of leasehold
land and building situated at Phase-I, Industrial Growth Centre, Siltara, Raipur The term loan is further secured by
second pari-passu charge on the entire current assets of the company both present and future.

ii. Term loan ?30000 lacs (Present outstanding ?26252.95 lacs) from Axis Bank is payable in 60 monthly installments
starting from October 2026.

Terms & Conditions of Secured Loans

1. The working capital facilities from Banks are secured by 1st Pari passu charge by the way of hypothecation with
consortium member bank on the entire existing as well as on future current assets of the company. The facilities
further secured by 1st Pari passu charge by the way of EM of land & building along with hypothecation of plant and
machineries, leasehold land and other movable fixed assets including entire existing as well as future fixed assets
of the company including intangibles/goodwill and EM of land and building at phase-I industrial area, Siltara,
Raipur, Chhattisgarh.

2. The overdraft facilities from bank are secured by pledge of fixed deposits with bank.

3. All the monthly returns submitted to banks are in agreement with books of account and there is no any material
differences between the books and returns submitted with bank.

33. Contingent Liabilities and capital commitments

Claims against the companies not acknowledged as debts:

i) Disputed liability of ? 765.05 lacs (Previous Year ? 702.71 lacs) on account of Service Tax against which the company
has preferred an appeal.

ii) Disputed liability of ? 590.46 lacs (Previous Year ? 240.80 lacs) on account of CENVAT against which the company
has preferred an appeal.

iii) Disputed liability of ? 1670.61 lacs (Previous Year ? 1957.36 lacs) on account of GST against which the company
has preferred an appeal.

iv) Disputed liability of ? 400.72 lacs (Previous year ? 263.68 lacs) on account of Sales Tax against which the company
has preferred an appeal.

v) Disputed liability of ? 46.50 lacs (Previous Year ? 10.00 lacs) on account of Custom Duty against which the company
has preferred an appeal.

vi) Disputed liability of ? 1184.94 lacs (Previous Year ? 1222.69 lacs) on account of Income Tax and TDS against which
the company has preferred an appeal.

vii) Disputed energy development cess demanded by the Chief Electrical Inspector Govt. of Chhattisgarh ?
11662.00 lacs (Previous Year ? 9193.70 lacs). The Hon'ble High Court of Chhattisgarh has held the levy of cess
as unconstitutional vide its order dated 20th June,2008. The State Govt. has filed a Special Leave Petition before
Hon'ble Supreme Court, which is pending for final disposal.

viii) Disputed demand of ? 192.66 lacs (Previous Year ? 192.66 lacs) from Chhattisgarh State Power Distribution
Company Limited relating to cross subsidy on power sold under open access during the financial year 2009-10.
The company has contested the demand and obtained stay from CSERC and expect a favourable decision in favour
of company.

ix) Disputed demand of ? 424.64 lacs (Previous Year ? 424.64 lacs) on account of Stamp Duty on Merger Scheme -
Applicability in case of Merger of 100% subsidiary against which the company has preferred an appeal with Board
of Revenue.

x) Disputed demand of ? 68.77 lacs (Previous Year ? 68.77 lacs) from Mining Department of Chhattisgarh against
which the company has preferred an appeal.

Guarantees excluding financial guarantees:

i) Counter Guarantees given to banks against Bank guarantees issued by the Company Banker aggregate to ? 6077
lacs (Previous Year ? 6565 lacs.).

ii) Corporate Guarantees given to lenders of subsidiary company aggregating to ? 14660 lacs (Previous Year ? 14660
lacs).

Capital Commitments:

i) Estimated amount of contracts remaining to be executed on capital accounts Rs.182498.06 lacs (Previous Year ?
19355.03 lacs).

34. DISCLOSURES AS REQUIRED BY INDIAN ACCOUNTING STANDARD (Ind AS) 19 EMPLOYEE BENEFITS:

a. Defined Contribution Plan:

The Company has certain defined contribution plans viz. provident fund . Contributions are made to provident
fund in India for employees at the rate of 12% of basic salary as per regulations. The contributions are made
to registered provident fund administered by the government. The obligation of the Company is limited to the
amount contributed and it has no further contractual nor any constructive obligation.

An amount of ? 1495.92 lacs (P.Y. ? 1199.09 lacs) is recognised as an expenses and included in employee benefit
expense as under the following defined contribution plans (Refer Note no 28).

b. Defined benefit plan:

Leave Obligations:

The Company provides for the encashment of leave or leave with pay subject to certain rules. The
employees are entitled to accumulate leave subject to certain limits, for future encashment. The
liability is provided based on the number days of unutilised leave at each balance sheet date on the
basis of year-end actuarial valuation using projected unit credit method. The scheme is unfunded.
Based on past experience and in keeping with Company's practice, the Company does not expect all employees
to take the full amount of accrued leave or require payment within the next 12 months and accordingly the total
year end provision determined on actuarial valuation, as aforesaid is classified between current and non current.

An amount of ? 259.52 lacs (P.Y. ? 324.87 lacs) is recognised as an expenses and included in employee benefit
expense as under the following defined contribution plans (Refer Note no 28).

Gratuity:

The Gratuity scheme is a final salary 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. Benefits provided under this plan is as per the
requirement of the Payment of Gratuity Act, 1972. The scheme was funded through Trust to LIC.

IX The Best Estimate Contribution for the Company during the next year would be INR 567.76 lacs.

Notes:

(i) The actuarial valuation of the defined obligation were carried out at 31st March, 2026. The present value of the
defined benefit obligation and the related current service cost and past service cost, were measured using the
projected Unit Credit Method.

(ii) Risk Exposure

Through its defined benefit plans, the Company is exposed to some risks, the most significant of which are
detailed below:

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.

Salary inflation risk :

Higher than expected increases in salary will increase the defined benefit obligation.

- Interest rate risk

- Currency risk

- Price risk

The Company's board of directors has overall responsibility for the establishment and oversight of the company's risk
management framework. This note presents information about the risks associated with its financial instruments, the
Company's objectives, policies and processes for measuring and managing risk, and the Company's management of
capital.

Credit Risk

The Company is exposed to credit risk as a result of the risk of counterparties non performance or default on their
obligations. The Company's exposure to credit risk primarily relates to investments, accounts receivable and cash and
cash equivalents. The Company monitors and limits its exposure to credit risk on a continuous basis. The Company's
credit risk associated with accounts receivable is primarily related to party not able to settle their obligation as agreed.
To manage this the Company periodically reviews the financial reliability of its customers, taking into account the
financial condition, current economic trends and analysis of historical bad debts and ageing of accounts receivables.

Trade receivables

Trade receivables represent the most significant exposure to credit risk and are stated after an allowance for impairment
and expected credit loss.

Loans

Financial assets in the form of loans are written off when there is no reasonable expectations of recovery. Where
recoveries are made, these are recognise as income in the statement of profit and loss. The company measures the
expected credit loss of dues based on historical trend, industry practices and the business environment in which the
entity operates. Loss rates are based on actual credit loss experience and passed trends. Based on historical data, loss
on collection of dues is not material hence no additional provisions considered.

Bank, Cash and cash equivalents

Bank, Cash and cash equivalents comprise cash in hand and deposits which are readily convertible to cash. These are
subject to insignificant risk of change in value or credit risk.

The carrying amount of financial assets represents the maximum credit exposure. The maximum exposure to credit
risk at the reporting date was:

The above loans were given for the business activities of the receipient and have been so utilised by them.

36. FINANCIAL RISK MANAGEMENT OBJECTIVE AND POLICIES

The Company's principal financial liabilities comprise of loans and borrowings, trade payables and other financial
liabilities. The main purpose of these financial liabilities is to finance the Company's operations. The Company's
principal financial assets include investments, loans, trade and other receivables, and cash and short-term deposits
that derive directly from its operations. The Company also enters into derivative contracts.

The Company is exposed to the following risks from its use of financial instruments:

- Credit risk

- Liquidity risk

The Company is exposed to liquidity risk related to its ability to fund its obligations as they become due. The Company
monitors and manages its liquidity risk to ensure access to sufficient funds to meet operational and financial
requirements. The Company has access to credit facilities and debt capital markets and monitors cash balances daily.
In relation to the Company's liquidity risk, the Company's policy is to ensure, as far as possible, that it will always have
sufficient liquidity to meet its liabilities when due, under both normal and stressed conditions as they fall due while
minimizing finance costs, without incurring unacceptable losses or risking damage to the Company's reputation.

Financing arrangements

The Company has access to following undrawn borrowing facilities at the end of the reporting period:

FOREX EXPOSURE RISK

The Company operates internationally and portion of the business is transacted in several currencies and
consequently the Company is exposed to foreign exchange risk through purchases from overseas suppliers in
various foreign currencies.

Foreign currency exchange rate exposure is partly balanced by hedging of exposure by forward contract of
purchasing of goods in the respective currencies.

The Company evaluates exchange rate exposure arising from foreign currency transactions and the Company
follows established risk management policies to foreign currency risk.

Interest rate risk

Interest rate risk is the risk that an upward movement in the interest rate would adversely effect the borrowing cost
of the company. The Company is exposed to long term and short-term borrowings, Commercial Paper Program. The
Company manages interest rate risk by monitoring its mix of fixed and floating rate instruments, and taking action as
necessary to maintain an appropriate balance.

PRICE RISK:

The entity is exposed to equity price risk, which arised out from FVTPL quoted equity shares and FVTOCI quoted
and unquoted equity shares including preference instrument. The management monitors the proportion of
equity securities in its investment portfolio based on market indices. Material investments within the portfolio are
managed on an individual basis and all buy and sell decisions are approved by the management. The primary goal
of the entity's investment strategy is to maximize investments returns.

Sensitivity Analysis for Price Risk:

Equity Investments carried at FVTOCI are not listed on the stock exchange. For preference investments, equity
investments held for trade and mutual funds classified as at FVTPL, the impact of a 2 % in the index at the reporting
date on profit & loss would have been an increase of T 175.02 lacs (2024-25: T 16.64 lacs); an equal change in the
opposite direction would have decreased profit and loss. For equity instruments classified as at FVTOCI, the impact

of a 2 % in the index at the reporting date on profit & loss would have been an increase of ? 0.11 lacs (2024-25: ?

0.14 lacs); an equal change in the opposite direction would have decreased profit and loss

37. CAPITAL MANAGEMENT

The Company's main objectives when managing capital are to:

- ensure sufficient liquidity is available (either through cash and cash equivalents, investments or committed credit
facilities) to meet the needs of the business;

- ensure compliance with covenants related to its credit facilities; and

- minimize finance costs while taking into consideration current and future industry, market and economic risks and
conditions.

- safeguard its ability to continue as a going concern

- to maintain an efficient mix of debt and equity funding thus achieving an optimal capital structure and cost of
capital.

The Board of Directors has the primary responsibility to maintain a strong capital base and reduce the cost of capital
through prudent management of deployed funds and leveraging opportunities in domestic and international financial
markets so as to maintain investor creditor and market confidence and to sustain future development of the business.

For the purpose of Company's capital management, capital includes issued capital and all other equity reserves. The
Company manages its capital structure in light of changes in the economic and regulatory environment and the
requirements of the financial covenants.

The Company manages its capital on the basis of net debt to equity ratio which is net debt (total borrowings including
lease liabilities, net of cash and cash equivalents) divided by total equity.

39. FINANCIAL INSTRUMENTS - ACCOUNTING CLASSIFICATIONS AND FAIR VALUE MEASUREMENTS

The following methods and assumptions were used to estimate the fair values:

1. Fair value of cash and short-term deposits, trade and other short term receivables, trade payables, other current
liabilities, short term loans from banks and other financial institutions approximate their carrying amounts largely
due to the short-term maturities of these instruments.

2. Financial instruments with fixed and variable interest rates are evaluated by the Company based on parameters
such as interest rates and individual credit worthiness of the counter party. Based on this evaluation, allowances
are taken to account for the expected losses of these receivables.

The Company uses the following hierarchy for determining and disclosing the fair value of financial instruments by
valuation technique:

Level 1 : quoted (unadjusted)prices in active markets for identical assets or liabilities

Level 2 : other techniques for which all inputs which have a significant effect on the recorded fair value are
observable, either directly of indirectly

Level 3 : techniques which use inputs that have a significant effect on the recorded fair value that are not based on
observable market data

iv) During the year and previous year, the company granted stock options to the Key Management Personnel under it's
ESOP Scheme at 'Market Price' [with in the meaning ofthe Securities Exchange Board of India (Share Based Employee
Benefits) Regulations, 2021]. The options excercised by the KMPs are disclosed above as ESOP perquisites. Further,
the outstanding options are not tradeable, no perquisites or benefits is immediately conferred upon the employee by
such grant options and accordingly, the said grant has not been considered as remuneration. However the company
has recorded employee benefits expense by way of Share Based Payment obligation, in accordance with Ind AS - 112 at
? 1138.30 lacs for the year ended 31st March, 2026 ( 2025: ? 2524.44 lacs), out of which ? 148.12 lacs (2025: ?
986.93 lacs) is attributable to Key Management Personnel.

v) Terms and conditions of transactions with related parties

All related party transactions entered during the year were in ordinary course of business and on arm's length
basis. Outstanding balances at the year-end are unsecured and will be settled in cash. There have been no
guarantees provided or received for any related party receivables or payables. For the year ended 31 March 2026,
the company has not recorded any impairment of receivables relating to amounts owed by related parties (31
March 2025: ? Nil). This assessment is undertaken each financial year through examining the financial position of
the related party and the market in which the related party operates.

42. The company is in the business of manufacturing of Iron & Steel products and hence has only one reportable operating
segment i.e. Iron & Steel as per Ind AS 108 - Operating Segment.

43. The exceptional item includes gain on sale of investement held in associate company viz., Ardent Steel Private Limited
and written off of preoperative cost incurred for Thermal power project in erstwhile Godawari Energy Limited, dropped
during the year on account of shifting to Solar power

48. Leases:

Company as a lessee

The Company has lease contract for land for used in its operations. Leases of land have lease terms of 5 years to 29
years. The Company's obligations under its leases are secured by the lessor's title to the leased assets. Generally, the
Company is restricted from assigning and subleasing the leased assets.

Set out below are the carrying amounts of right-of-use assets recognised and the movements during the period:

The Company had total cash outflows for leases of ? 175.80 lacs in 31 March 2026 ( ? 70.06 lacs in 31 March 2025)
on account of expenses and cash addition to right-of-use assets ? 4644.84 lacs in 31 March 2026 ( ? 312.79 lacs in 31
March 2025). The Company also had non-cash additions to right-of-use assets and lease liabilities of ? 1655.75 lacs in
31 March 2026 (? 21.80 lacs in 31 March 2025).

49. The company has not undertaken any transactions with companies struck off under section 248 of the Companies Act
2013 or section 560 of Companies Act 1956 during the current year or in previous year.

50. All the transactions are recorded in the books of accounts and there was no income that has been surrendered
or disclosed as income during the year in the tax assessments under the Income Tax Act, 1961. Also there was no
previously unrecorded income and related assets which has been recorded in the books of account during the year

51. No proceedings have been initiated or pending against the company for holding any benami property under the
Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and rules made thereunder

52. The company has not advanced or loaned or invested funds to any other persons or entities, including foreign
entities (Intermediaries) with the understanding, whether recorded in writing or otherwise, that the Intermediary shall
directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf
of the company (Ultimate Beneficiaries) or provide any guarantee, security or the like to or on behalf of the Ultimate
Beneficiaries. Further, the company has not received any fund from any persons or entities, including foreign entities
(Funding Party) with the understanding , whether recorded in writing or otherwise, that the company shall 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 provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

53. The company has complied with the number of layers of companies prescribed under clause (87) of section 2 of the
Act read with the Companies (Restriction on number of Layers) Rules, 2017.

54. The company has neither traded nor invested in Crypto Currency or Virtual Currency during the financial year

55. The Government of India had announced the implementation of the four Labour Codes - The Code on Wages, 2019,
The Industrial Relations Code, 2020, The Code on Social Security, 2020 and The Occupational Safety, Health and

Working Conditions Code, 2020 (collectively referred to as 'the New Labour Codes') with effect from 21 November
2025, The Ministry of Labour & Employment had issued draft Central Rules and FAQs to facilitate assessment of the
financial impact arising from these regulatory changes. On the basis of information available and actuarial valuation,
the Company has assessed and accounted the impact of these changes, which is not significant.

56. Business Combination:

During the year, the scheme of merger of Godawari Energy Limited,a wholly owned subsidiary company has been
approved by NCLT vide Order dated 10.03.2026 wherein appointment date was 01.04.2025 and accordingly, the
business combination accounting has been done in accordance with Ind AS 103 under common control.

57. During the year the Company has received Rs.15027 lacs from preferential allotment of issue of warrants convertible
into equity shares and out of which some portion Converted into equity shares during the financial year Entire amount
has been invested in Godawari New Energy Private Limited, a wholly owned subsidiary for setting up of Battery Energy
Storage System Project.

58. Previous year figures have been regrouped or rearranged wherever necessary.