10) Provisions and Contingent Liabilitiesi. Provisions:

A Provision is recorded when the Company has a present legal or constructive obligation as a result of past events and it is probable that an outflow of resources will be required to settle the obligation and the amount can be reasonably estimated.

ii. Contingent Liabilities:

Whenever there is possible obligation that arises from past events and whose existence will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the entity or a present obligation that arises from past events but is not recognised because (a) it is not probable that an outflow of resources embodying economic benefits will be required to settle the obligation; or (b) the amount of the obligation cannot be measured with sufficient reliability are considered as contingent liability. Following are the Contingent Liablities which are not accounting for in books of account.

11) Earnings Per Share:

The company presents the basic and diluted EPS data. Basic and diluted EPS is computed by dividing the profit for the period attributable to the shareholders of the company by the weighted average number of shares outstanding during the period.

12) Cash and Cash Equivalents and Cash Flow Statement:

Statement of Cash Flow is prepared segregating the Cash Flow into Operating, Investing And Financing Activities. Cash Flow from Operating Activity is reported using Indirect Method adjusting the net profit for the effects of

i) Changes during the period in inventories and operating receivables/ payables transactions of non-cash nature.

ii) Non-cash items such as depreciation, provision, deferred tax unrealized foreign currency gains and losses and undistributed profits of associates.

iii) All other items for which cash effects are investing and financing cash flows.

13) Segment Reporting:

Segment have been identified on the basis of Accounting Standard on Segment Reporting AS -17

14) Borrowing Costs:

Borrowing costs directly attributable to the acquisition, construction or production of a qualifying asset are capitalized during the period of time that is necessary to complete and prepare the asset for its intended use or sale. Other borrowing costs are expensed in the period in which they are incurred under finance costs.

III) Significant Management Judgement in applying accounting policies and estimation of uncertainty

(1) Significant Management Judgement

The preparation of financial statements in conformity with the recognition and measurement principles of Ind AS requires management to make judgements, estimates and assumptions that affect the reported balances of revenues, expenses, assets and liabilities and the accompanying disclosures, and the disclosure of contingent liabilities. 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.

(2) Estimation of Uncertainty

IThe 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 hereinafter. The Company based its assumptions and estimates on parameters available when the financial statements were prepared. Existing circumstances and assumptions about future developments, may however effect changes 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. Estimates and judgments are regularly revisited. Estimates are based on historical experience and other factors, including futuristic reasonable information that may have a financial impact on the company.

a. Useful Lives of Depreciable Assets

The Company reviews the useful lives of Property, Plant and Equipment and Investment properties at the end of each reporting period. This reassessment may result in change in depreciation expense in future periods.

b. Provisions and contingent liabilities

A provision is recognised when the Company has a present obligation as a result of past event and it is probable that an outflow of resources will be required to settle the obligation, in respect of which the reliable estimate can be made. Provisions (excluding retirement benefits and compensated absences) are not discounted to its present value and are determined based on best estimate required to settle the obligation at the balance sheet date. These are reviewed at each balance sheet date adjusted to reflect the current best estimates. Contingent liabilities are not recognised in the financial statements. A contingent asset is neither recognised nor disclosed in the financial statements.

c) Taxes

"The Company’s tax jurisdictions are in India. Significant judgments are involved in determining the provision for income taxes, tax credits including the amount expected to be paid or refunded. Deferred tax assets are recognized for unused tax losses to the extent that it is probable that future taxable profit will be available against which the losses can be utilized. Significant management judgement is required to determine the amount of deferred tax assets that can be recognized, based upon the likely timing and the level of future taxable profits together with future tax planning strategies."

5.2 During the current financial year and the preceding financial year, there are no Intangible assets under evelopment which is overdue for completion or exceeded its cost compared to its original plan.

7 Impairment of property, plant and equipment, other intangible assets and right to use of assets

"At the end of each reporting year, the Company reviews the carrying amounts of its property, plant and equipment, other intangible assets and right to use of assets to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss (if any). Where it is not possible to estimate the recoverable amount of an individual asset, the Company estimates the recoverable amount of the cash-generating unit to which the asset belongs. Where a reasonable and consistent basis of allocation can be identified, corporate assets are also allocated to individual cash-generating units, or otherwise they are allocated to the smallest group of cash-generating units for which a reasonable and consistent allocation basis can be identified.

Intangible assets with indefinite useful lives and intangible assets not yet available for use are tested for impairment at least annually, and whenever there is an indication that the asset may be impaired.

Recoverable amount is the higher of fair value less costs to sell and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted. If the recoverable amount of an asset (or cash-generating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in the Statement of Profit and Loss.

Company for the year ended March 31, 2024, has not carried out a specific exercise to determine the impairment losses if any since in the opinion of the management, given the growth phase the Company is expecting on the basis of subsequent business orders on hand, there exist no impairment losses."

Note : The company has a vendor registration process of obtaining confirmation from suppliers regarding their registration / notification under Micro, Small and Medium Enterprises Development Act, 2006. The above information has been determined based on vendors identified by the Company and confirmed by the vendors, which has been relied upon by the auditors. The delayed payments is on account delayed submission of invoices by the vendors and therefore no interest is due on such payments.

25.1 Under the Income Tax Act, 1961, the company has neither surrendered nor disclosed any transactions as income that has not been recorded in the books of accounts during the tax assessments for this financial year. Accordingly, there are no undisclosed income to report for this financial year.

25.2 The Company has neither traded nor invested in crypto currency or virtual currency during the current financial year and the previous financial year. Accordingly, there are no gain/(loss) to disclose.

34 Fair value measurements

This section explains the judgements and estimates made in determining the fair value of the financial instruments that are measured at amortized cost and for which values are disclosed in the financial statements. The company does not have any financial instruments that need to be recognized and measured at fair value through other comprehensive income (FVOCI) or fair value through profit and loss (FVTPL).

Note -

Level 1: Level 1 hierarchy includes financial instruments measured using quoted prices in active markets.

Level 2: Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices).

Level 3: inputs for the asset or liability that are not based on observable market data (unobservable inputs).

The company’s policy is to recognize transfers into and transfers out of fair value hierarchy levels as at the end of the reporting period. The fair value of the above financial assets and liabilities are measured at amortized cost which is considered to be approximate to their fair values.

a) Credit Risk

Credit Risk is the risk that counter party will not meet its obligations under a financial instruments or customer contract leading to a financial loss. The Company is exposed to credit risk from its operating activities primarily trade receivables and from its financing activities including deposits with banks and financial institutions, foreign exchange transactions and other financial instruments.

Trade receivables

Credit risk is managed by each business unit subject to the Company’s established policy, procedures and control relating to customer credit risk management. Outstanding customer receivables are regularly monitored. The impairment analysis is performed at each reporting date on an individual basis for major clients. In addition, a large number of minor receivables are grouped into homogeneous groups and assessed for impairment collectively. The maximum exposure to credit risk at the reporting date is the carrying value of each class of financial assets. The Company does not hold collateral as security.

Deposits with banks

Credit risk is limited as the company generally invest in deposits with banks and financial institutions with high credit ratings assigned by international and domestic credit rating agencies. Investments primarily include investments in long and short term deposits. Counterparty credit limits are reviewed by the Company periodically and the limits are set to minimize the concentration of risks and therefore mitigate financial loss through counterparty’s potential failure to make payments.

b) Interest rate risk

Interest rate risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate due to changes in market interest rates. The Company’s borrowings of long term, short term and working capital are directly related to the cash in flow of the company and hence is not exposed to significant interest rate risk.

c) Liquidity risk

Liquidity risk is the risk that the company will encounter difficulty in meeting the obligations associated with its financial liabilities that are settled by delivering cash or another financial asset. The Company’s approach to manage liquidity 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, without incurring unacceptable losses or risk to the Company’s reputation.

d) Market 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 exchange risk arises from its foreign currency ('FC') revenues and expenses, (primarily in United States Dollars (‘USD’)). The Company’s exposure to the risk of changes in foreign exchange rates relates primarily to the Company’s operating activities (when revenue or expense is denominated in a foreign currency). Since few years company is selling its product in domestic market hence the risk of Foreign Currency is at minimal level

During the year, the company has not taken any hedging instruments to hedge its foreign currency exposures.

36 Capital Management

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

The Company determines the amount of capital required on the basis of annual operating plans and long-term product and other strategic investment plans. The funding requirements are met through equity and other longterm or short-term borrowings. The Company’s policy is aimed at combination of short-term and long-term borrowings. The Company monitors the capital structure on the basis of total debt to equity ratio and maturity profile of the overall debt portfolio of the Company.

Total borrowings includes all long and short-term borrowings as disclosed in note - 18 to the financial statements. Equity comprises all components excluding (profit)/loss on cash flow hedges. The following table summarises the capital of the Company: ... . . . ,

40 Loans due by directors or other officers of the company or any of them either severally or jointly with any other persons or amounts due by firms or private companies respectively in which any director is a partner or a director or a member in the current year is Rs. Nil (Previous year-Rs. Nil).

41 During the current financial year and the previous financial year, the company has not made any transactions with companies struck off under section 248 of the Companies Act, 2013 or section 560 of the erstwhile Companies Act, 1956.

42 As on the date of approval of the financial statements, the Company is not declared as a wilful defaulter by any bank or financial institution or other lender.

43 Details of charges or satisfaction yet to be registered with registrar of companies beyond the statutory period as on the balance sheet date is S Nil (Previous year: S Nil)

44 The company has not made any investments, accordingly disclosure requirements for compliance with the number of layers prescribed under clause (87) of section 2 of the Companies Act, 2013 read with Companies (Restriction on Number of Layers) Rules, 2017 is not applicable.

45 (i) During the current year as well as previous year, no funds have been advanced or loaned or invested (either

from borrowed funds or share premium or any other sources or kind of funds) by the Company to or in any other persons or entities, including foreign entities (“Intermediaries”), with the understanding, whether recorded in writing or otherwise, that the Intermediary shall, whether, 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 on behalf of the Ultimate Beneficiaries.

(ii) During the current year as well as previous year, no funds have been received by the Company from any persons or entities, including foreign entities (“Funding Parties”), with the understanding, whether recorded in writing or otherwise, that the Company shall, whether, 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 except as provided in books of accounts.

46 The previous year figures have been re-grouped/re-classified wherever necessary to conform to the current year classification to the extent of information available.