(h) Provisions
A provision is recognized if, as a result of a past event, the Company has a present legal or constructive
obligation that can be estimated reliably, and it is probable that an outflow of economic benefits will be
required to settle the obligation. Provisions are determined by discounting the expected future cash
flows at a pre-tax rate that reflects current market assessments of the time value of money and the risks
specific to the liability.
Product warranty expenses: The estimated liability for product warranties is recorded when products are
sold. These estimates are established using historical information on the nature, frequency and average
cost of warranty claims and management estimates regarding possible future incidences based on
actions on product failures. The timing of outflows will vary as and when warranty claim will arise,
being typically up to four years.
(i) Foreign Currency
Transactions in foreign currencies are recorded at the exchange rate prevailing on the date of
transaction. Foreign currency denominated monetary assets and liabilities are re-measured into the
functional currency at the exchange rate prevailing on the balance sheet date.
Exchange differences are recognized in the Statement of Profit and Loss except to the extent, exchange
differences which are regarded as an adjustment to interest costs on foreign currency borrowings, are
capitalized as part of borrowing costs.
(j) Income Taxes
Income tax expense comprises current and deferred taxes. Income tax expense is recognized in the
Statement of Profit and Loss except when they relate to items that are recognized outside profit or loss
(whether in other comprehensive income or directly in equity), in which case tax is also recognized
outside profit or loss. Current income taxes are determined based on respective taxable income of
taxable entity.
Deferred tax assets and liabilities are recognized for the future tax consequences of temporary
differences between the carrying values of assets and liabilities and their respective tax bases, and
unutilized business loss and depreciation carry-forwards and tax credits. Such deferred tax assets and
liabilities are computed for the taxable entity. Deferred tax assets are recognized to the extent that it is
probable that future taxable income will be available against which the deductible temporary
differences, unused tax losses, depreciation carry-forwards and unused tax credits could be utilized.
Deferred tax assets and liabilities are measured based on the tax rates that are expected to apply in the
period when the asset is realized or the liability is settled, based on tax rates and tax laws that have been
enacted or substantively enacted by the balance sheet date.
Deferred tax assets and liabilities are offset when there is a legally enforceable right to set off current
tax assets against current tax liabilities and when they relate to income taxes levied by the same taxation
authority and the Company intends to settle its current tax assets and liabilities on a net basis.
(k) Earnings Per Share
Basic earnings per share has been computed by dividing profit/loss for the year by the weighted average
number of shares outstanding during the year.
Partly paid up shares are included as fully paid equivalents according to the fraction paid up. Diluted
earnings per share has been computed using the weighted average number of shares and dilutive
potential shares, except where the result would be anti-dilutive.
(l) Employee Benefits
i) Gratuity
Sybly Industries Limited have an obligation towards gratuity, a defined benefit retirement plan covering
eligible employees. The plan provides for a lump-sum payment to vested employees at retirement, death
while in employment or on termination of employment of an amount equivalent to 15 to 30 days salary
payable for each completed year of service. Vesting occurs upon completion of five years of service.
ii) Provident Fund and ESI
In accordance with Indian law, eligible employees of Sybly Industries Limited are entitled to receive
benefits in respect of provident fund and ESI, a defined contribution plan, in which both employees and
the Company make monthly contributions at a specified percentage of the covered employees’ salary.
The contributions, as specified under the law, are made to the provident fund and pension fund set up.
(m) Dividends
Any dividend declared or paid by Sybly Industries Limited for any financial year is based on the profits
available for distribution as reported in the statutory financial statements of Sybly Industries Limited
(Standalone) prepared in accordance with Generally Accepted Accounting Principles in India, or Indian
GAAP or Ind AS. Indian law permits the declaration and payment of dividend out of profits for the year
or previous financial year(s) as stated in the statutory financial statements of Sybly Industries Limited
(Standalone) prepared in accordance with Generally Accepted Accounting Principles in India, or Indian
GAAP or Ind AS after providing for depreciation in accordance with the provisions of Schedule II to the
Companies Act. However, in the absence of inadequacy of the said profits, it may declare dividend out
of free reserves, subject to certain conditions as prescribed under the Companies (Declaration and
payment of Dividend) Rules, 2014. Accordingly, in certain years the net income reported in these
financial statements may not be fully distributable.
(n) Segments
The company is engaged in business of manufacturing & trading of yarn and Fabrics, which is in same
business segment.
(o) Investments in Subsidiaries, Joint Ventures and Associates
Investments in Subsidiaries, Joint Ventures and Associates are measured at cost as per Ind AS 27 -
Separate Financial Statements. However, company has no Subsidiary, Joint Venture and Associates.
31.1. Confirmation of balances from some of parties appearing under the head current liabilities, sundry debtors,
loans and advances are awaited.
31.2. Company has revalued its Fixed Assets namely Land and Building on 31.03.2004. The value of aforesaid
assets has increased by Rs.590 Lakh as per Valuation Report dt.31.03.2004 from a qualified & authorized
firm of Engineers M/s. Universal Consultants, Meerut. The aforesaid amount has been credited to
Revaluation Reserve Account. During the year, Revaluation Reserve has also been reduced during the year
by Rs. 84.95 Lakh and has been brought to zero as all the land and building has been sold during the year.
31.3. The cost records for the financial year -2023 are under preparation and till the date of this Balance Sheet, the
same could not be finalized.
31.7. The company is in severe financial stress and on the basis of the financial ratios, doubtful about realisation of
financial assets including debtors, in the opinion of the Board of Directors, the company may not be capable
of meeting its liabilities existing at the date of balance sheet.
31.8. Company had written off 352.32 lakhs of its old unrealizable debtors and 15.60 lakhs of creditors resulting
net Rs. 336.72 lakh, which is debited to profit and loss account under the head Exceptional item.
31.9. During the year company had made a slump scrap sale of remaining fixed assets of the company and
impairment of fixed assets is debited under the head Exceptional item.
31.10. There is an Exceptional Loss of Rs.371.69 lakh. Accordingly, the Profits & EPS for the year do not reflect
the true figures.
Note : During the year company had not done any commercial activity while company had made a slump scrap
sale of remaining fixed assets of the company and impairment of fixed assets is debited under the head
Exceptional item due to these factors, the ratios may not accurately reflect the true state of the business and
have become incomparable in the present context.
31.21. There is no proceeding initiated or pending under the Benami Transactions (Prohibition) Act, 1988 for the
Benami Properties.
31.22. There are no working capital advances /loans from any bank or financial institution and company does not
hold any inventory.
31.23. Company has not revalued its Property Plant and Equipments (PPE) and Capital Work in Progress (CWIP)
during the year.
31.24. The company is not declared as a wilful defaulter by any bank or financial Institution.
31.25. The Company does not have any relationship with any struck off company.
31.26. Company does not own any immovable property as on 31st March, 2024.
31.27. Since the company does not hold any investments in other companies, it is not subject to the provisions
related to the number of layers as prescribed under clause (87) of section 2 of the Act read with Companies
(Restriction on number of Layers) Rules, 2017.
31.28. There is no pending registration of charges or pending satisfaction of charge with Registrar of Companies
(ROC) beyond statutory limits.
31.29. The Company has not undertaken any Scheme of the arrangement during the year.
31.30. The Company has not borrowed any funds from Bank/NBFCs, and its share are issued at face value and
therefore there is no share premium.
31.31. The Company has not surrendered or disclosed any transaction, as “not” recorded in the accounts, as income
in the tax assessment during the year.
31.32. Being company is loss, Corporate Social Responsibility (CSR) is not applicable to the company as per
section 135(1) of the Companies Act, 2013.
31.33. Company does not hold or transact in any Crypto Currency or Virtual Currency
31.34. There are no intangible assets under development in the company.
By the order of the Board
FOR SYBLY INDUSTRIES LIMITED
SD/ SD/
(MAHESH CHAND MITTAL) (RAMESH CHANDRA SHARMA)
Managing Director Director
(DIN : 00284866) (DIN : 00284981)
Flat No.603, OC-2, Orange County, 18, Vinay Park, Govind Puri,
Ahinsa Khand-1, Indirapuram, Modinagar, Ghaziabad - 201204 (U.P.)
Ghaziabad - 201014 (U.P.)
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