q) Provisions and Contingencies
Provision is recognised when the Company has a present obligation as a result of past events and it is probable that an outflow of resources will be required to settle the obligation in respect of which a reasonable estimate can be made. Contingent Liabilities are disclosed in the notes. Contingent Assets are not recognised in the financial statements.
r) Earnings per Share
The Basic earnings per share is computed by dividing the net profit / loss attributable to the Equity Shareholders for the year by the weighted average no of equity shares outstanding during the reporting year.
For the purpose of calculating diluted earnings per share the net profit/loss for the year attributable to equity shareholders and weighted average no of shares outstanding during the reporting year is adjusted for the effect of all dilutive potential equity shares. In considering whether potential equity shares are dilutive or antidilutive, each issue of series of potential equity shares is considered separately rather than aggregate.
s) Statement of Cash Flows
Statement of Cash Flows is prepared segregating the cash flows into operating, investing and financing activities. Cash flow from operating activities is reported using indirect method adjusting the net profit for the effects of:
a. changes during the period in operating receivables and payables transactions of a cash nature;
b. non-cash items such as depreciation, provisions, deferred taxes, unrealised foreign currency gains and losses, and undistributed profits of associates and joint ventures; and
c. all other items for which the cash effects are investing or financing cash flows
Cash and cash equivalents (including bank balances) shown in the Statement of Cash Flows exclude items which are not available for general use as on the date of Balance Sheet.
t) Dividend payable
Dividend is recognised at the time of payment to equity shareholders.
u) Prior Period omissions & errors
Income/Expenditure relating to earlier years which does not exceeds 0.50% of the turnover of the Company in each transactions are treated as income/expenditure of the current year.
30.1
(a) Demands against the Company not acknowledged as debts, amounting to Rs.19.82 Lakhs are pending at various courts/forums
(b) During the Financial Year 2023-2024, the Appeal has been disposed off by giving complete relief to the Company and a consequential order also has been passed giving effect to the appellate order.
(c) Service tax demands against the Company;
(i) The Company has deposited an amount of Rs. Rs.13.49 Lakhs as a condition precedent of hearing the appeal before The Commissioner (Appeals) in case of order dated 09.01.2017. However the appeal has been disposed off by the learned Commissioner (Appeals) in favour of Revenue on 21.05.2018. The Company has filed an appeal against the order passed by the Commission (Appeals) before CESTAT by depositing additional Pre-deposit of Rs.4.50 Lakhs on 01.08.2018
Note No.31
Provision for Taxation has been made after taking into account, the difference between depreciation in the accounts and the depreciation allowable as per the Income Tax Act, 1961 and other deductions / additions allowable/disallowable under the Income Tax Act, 1961.
The Company elected to exercise the option permitted under section 115BAA of the Income Tax Act, 1961 as introduced by the Taxation Laws (Amendment) Ordinance, 2019. Accordingly, the Company has recognised provision for Income Tax and remeasured its deferred tax assets and liabilities, basis the rate prescribed in the said section.
Note No.35 Segment Reporting 1. Business Segment:
(i) The business segment has been considered as the primary segment.
(ii) The Company's primary business segments are reflected based on principal business activities, the nature of service, the differing risks and returns, the organisation structure and the internal financial reporting system
(iii) The Company's primary business comprises of two business segments viz., Stock Broking & DP Operations and E-Governance Operations
(iv) Segment revenue, results, assets and liabilities include amounts identifiable to each segments allocated on a reasonable basis.
(v) The accounting policies adopted for segment reporting are in line with the accounting policies adopted for preparation of financial information
NOTE: The turnover ratios are calculated considering the company's nature of industry which is service-oriented. Explanations for change in the ratio by more than 25% as compared to the ratio of preceding year:
The change in the Debt-Equity ratio is due to increase in the debt and overall increase in Other equity.
The decrease in Debt-service coverage ratio is due to the decrease in the amounts of loan repayments during the year.
The change in Return on Equity (ROE) is due to the increase in the profit for the year and overall increase in Other Equity.
The change in Return on Capital employed is due to the increase in EBIT for the year and overall increase in Capital employed.
Note No.37
Previous Period figures have been regrouped/reclassified wherever necessary to confirm to the current year's classification/disclosures.
For RAO & KUMAR For STEEL CITY SECURITIES LIMITED
Chartered Accountants Firm Reg.No.003089S
CA C M RAVI PRASAD K SATYANARAYANA SATISH KUMAR ARYA
Partner EXECUTIVE CHAIRMAN MANAGING DIRECTOR
Membership NO.211322
UDIN:24211322BKBUJM9936 N RAMU M SRIVIDYA
PLACE: VISAKHAPATNAM CHIEF FINANCIAL OFFICER COMPANY SECRETARY
DATE : 16.05.2024
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