B) Rights, preferences and restrictions attached to equity shares

The Company has only single class of Equity Shares having a par value of INR 10. Accordingly, all equity shares rank equally with regard to dividends and share in the Company’s residual assets. Each holder of equity shares is entitled to one vote per share. On winding up of the Company, the holders of equity shares will be entitled to receive the residual assets of the Company, remaining after distribution of all preferential amounts in proportion to the number of equity shares held.

C) 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.

There are no bonus shares issued, shares issued for consideration other than cash and shares bought back during the period of five years immediately preceding reporting date.

As per records of the Company, including its register of shareholders/ members and other declaration received from shareholders regarding beneficial interest, the above shareholding represent both legal and beneficial ownership of shares.

1. Basic EPS amounts are calculated by dividing the Net profit attributable to the equity shareholders of the Company by the Weighted average number of equity shares outstanding during the year.

2. Diluted EPS amounts are calculated by adjusting the Weighted average number of equity shares outstanding, for effects of all dilutive potential ordinary shares.

32. Financial risk management

The Company's principal financial liabilities comprise trade payables and other borrowings. The main purpose of these financial liabilities is to finance the Company's operations. The Company's principal financial assets include security deposits, trade & other receivables, unbilled revenue and cash and short-term deposits that derive directly from its operations.

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

- Credit risk

- Liquidity risk

- Market risk

This note presents information about the Company's exposure to each of the above risks, the Company's objectives, policies and processes for measuring and managing risk.

Credit risk

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its contractual obligations resulting in a financial loss to the Company. Credit risk arises principally from trade receivables, unbilled revenue, cash & cash equivalents and deposits with banks.

Trade receivables and unbilled revenue

The Company earns its revenue from customers by providing Rentals, Brokerage, Leasing of equipments and Other Services.

The Company's exposure to credit risk is influenced mainly by the individual characteristics of each customer. The Company performs ongoing credit evaluations of its customers' financial condition and limits the amount of credit extended when deemed necessary, but generally requires no collateral. The Company also maintains allowances for potential credit losses. In estimating the required allowances, the Company takes into consideration the overall quality and ageing of the receivable portfolio, the existence of a limited amount of credit insurance and specifically identified customer and vendor risks.

The Company limits its exposure to credit risk from trade receivables by establishing a maximum credit period of 45 days for its customers. An impairment analysis is performed at each reporting date on an individual basis for major customers. The calculation is based on historical data.

Based on the business environment in which the Company operates, management considers that there is significant increase in credit risk for trade receivables if the payments are more than 30 days past due and the trade receivables are in default (credit impaired) if the payments are more than 90 days past due. The Company has not experienced any significant impairment losses in respect of trade receivables in the past years.

Since the Company has its customers spread over around the world, geographically there is no concentration of credit risk.

Cash and cash equivalents and deposits with banks

The Company held cash and cash equivalents and bank deposits with scheduled/nationalised banks in India.

(i) Exposure to credit risk

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

(ii) Provision for expected credit losses:

(a) Financial assets for which loss allowance is measured using 12 month expected credit losses

The Company has assets where the counter- parties have sufficient capacity to meet the obligations and where the risk of default is low.

(b) Financial assets for which loss allowance is measured using life time expected credit losses

The Company has customers with strong capacity to meet the obligations and therefore the risk of default is negligible. On account of the adoption of Ind AS 109, the Company uses ECL model to assess the impairment loss. The Company uses a provision matrix to compute the ECL allowance for trade receivables. Below mentioned is the movement of impairment loss recognised on financial assets using lifetime expected credit loss method.

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 managing liquidity is to ensure, as far as possible, that it will have sufficient liquidity to meet its liabilities when they are due, under both normal and stressed conditions, without incurring unacceptable losses or risking damage to the Company’s reputation.

The Company’s finance team is responsible for liquidity and funding. In addition, processes and policies related to such risks are overseen by the senior management.

Maturities of financial liabilities

The following are the contractual maturities of non-derivative financial liabilities, based on contractual cash flows:

Market risk

Market risk is the risk that changes in market prices, such as foreign exchange rates and interest rates will affect the Company’s income. The objective of market risk management is to manage and control market risk exposures within acceptable parameters, while optimising the return.

Currency risk

The Company is not exposed to foreign currency risk as all transactions are denominated in a entity’s functional currency. Interest rate risk

The Company is not exposed to interest rate risk as the entity has not availed any loan from banks or financial institutions.

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

- Level 2: inputs other than quoted prices included in 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 fair value of financial assets and liabilities included in Level 3 is determined in accordance with generally accepted pricing models based on discounted cash flow analysis using prices from observable current market transactions and dealer quotes of similar instruments,

The finance department of the Company includes a team that performs the valuations of financial assets and liabilities required for financial reporting purposes, including level 3 fair values, This team reports directly to the chief financial officer (CFO) and the audit committee (AC), Discussions of valuation processes and results are held between the CFO, AC and the valuation team at least once every three months,

The carrying amounts of short term trade receivables, short term loans and advances and cash & cash equivalents, unbilled revenue, trade and other payables are considered to be the same as their fair values, due to their short-term nature/receivable or payable on demand,

The fair values for security deposits was calculated based on cash flows discounted using a current lending rate/borrowing rate, They are classified as level 3 fair values in the fair value hierarchy due to the use of unobservable market inputs,

Valuation technique used to determine fair value:

- Fair value of forward foreign exchange contracts is determined using forward exchange rates at the balance sheet date taken from respective banks,

- Discounted cash flow approach; appropriate market borrowing rate of the entity as of each balance sheet date used for discounting

34. Capital management

The company’s capital management objectives are:

a, to ensure the Company’s ability to continue as a going concern

b, to provide an adequate return to shareholders

c, maintain an optimal capital structure to reduce the cost of capital

Management assesses the Company’s capital requirements in order to maintain an efficient overall financing structure while avoiding excessive leverage, This takes into account the subordination levels of the company’s various classes of debt, The company manages the capital structure and makes adjustments to it in the light of changes in economic conditions and the risk characteristics of the underlying assets,

35. Events after the reporting period

The Company has evaluated subsequent event from the balance sheet date through May 28, 2024, the date at which financial statements were available to be issued and determined no event has occured that would require adjustment and disclosure in the financial statement,

37. Relationship with Struck off companies:

The Company did not enter into any transaction with Companies struck off from ROC records for the period ended 31 March 2024 and 31 March 2023.

38. a) 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 person(s) or entity(ies) 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 ,except as mentioned below

During the Year Company has advanced money to Tvisha Corporation advisors LLP to invest money in Capfin India Limited

b) No funds have been received by the company from or in any other person(s) or entity(ies) 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;

d) Terms and conditions of transactions with the related parties

Transactions with the related parties are made on commercial terms and conditions and at market rates.

Outstanding balances of related parties at the year-end are unsecured and not interest free and settlement occurs via banking channels , For the year ended 31 March 2024, the Company has not recorded any impairment of receivables relating to amounts owed by related parties (31 March 2023: 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,

41. Leases

The Ministry of Corporate Affairs ("MCA”) through Companies (Indian Accounting Standards) Amendment Rules, 2019 and Companies (Indian Accounting Standards) Second Amendment Rules, had notified Ind AS 116 - Leases which replaced the erstwhile standard and its interpretations, Ind AS 116 had outlined the principles for the recognition, measurement, presentation and disclosure of leases for both lessees and lessors thereby introducing a single, on-balance sheet lease accounting model for lessees,

The Company’s lease asset classes primarily consist of leases for office spaces, The Company assesses whether a contract contains a lease, at inception of a contract, A contract is, or contains, a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration, To assess whether a contract conveys the right to control the use of an identified asset, the Company assesses whether : (i) the contract involves the use of an identified asset (ii) the Company has substantially all of the economic benefits from use of the asset through the period of the lease and (iii) the Company has the right to direct the use of the asset,

At the date of commencement of the lease, the Company recognizes a right-of-use (ROU) asset and a corresponding lease liability for all lease arrangements in which it is a lessee, except for leases with a term of 12 months or less (short-term leases) and low value leases, For these short-term and low-value leases, the Company recognizes the lease payments as an operating expense on a straight-line basis over the term of the lease,

The lease liability is initially measured at amortized cost at the present value of the future lease payments, The lease payments are discounted using the interest rate implicit in the lease or, if not readily determinable, using the incremental borrowing rates in the country of domicile of these leases, Lease liabilities are remeasured with a corresponding adjustment to the related ROU asset if the Company changes its assessment of whether it will exercise an extension or a termination option,The incremental borrowing rate used was 8,85% depending on the amount involved and tenure of the lease agreement,

42. Dues to micro and small enterprises

The Ministry of Micro, Small and Medium Enterprises has issued an office memorandum dated 26 August 2008 which recommends that the Micro and Small Enterprises should mention in their correspondence with its customers the "Entrepreneurs Memorandum Number" as allocated after filing of the Memorandum. Accordingly, the disclosure in respect of the amounts payable to such enterprises as at 31 March 2019 has been made in the financial statements based on information received and available with the Company. Further in view of the management, the impact of interest, if any, that may be payable in accordance with the provisions of the Micro, Small and Medium Enterprises Development Act, 2006 ('the Act’) is not expected to be material. The Company has not received any claim for interest from any supplier in this regard.

Explanation for variance

1. Current Ratio; The ratio has been impacted due to increase in security deposits and trade receivables

2. Return on Equity; The ratio has been impacted due to profit of current year

3. Trade receivables Turnover Ratio; The ratio has been impacted due to increase in average trade receivables and turnover.

4. Trade payables turnover ratio; The ratio has been impacted due to increase in average trade payables and turnover.

5. Net Capital turnover ratio; The ratio has been impacted due to increase in turnover

6. Net Profit Ratio; The net profit is increased due to increase in turnover

7. Return on Capital Employed; The ratio has been impacted due to increase in profit

44. Additional Notes

a. The Parliament has approved the Code on Social Security, 2020 which may impact the contribution by the Company towards Provident Fund and Gratuity. The effective date from which the Code and its provisions would be applicable is yet to be notified and the rules which would provide the details based on which financial impact can be determined are yet to be notified after which the financial impact can be ascertained. The Company will complete its evaluation and will give appropriate impact in the financial statements following the Code becoming effective and the related rules to determine the financial impact being notified.

b. The Company has not been declared as Wilful defaulter by any lenders.

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

d. The provision related to number of layers as prescribed under section 2(87) of the Companies Act read with Companies (Restriction on number of Layers) Rules, 2017 is not applicable to Company.

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

f. The Company has not traded or invested in Crypto currency or Virtual Currency during the current financial year and any of the previous financial years.

45. Subsequent Event

The Company has evaluated subsequent event from the balance sheet date through May 28, 2024, the date at which financial statements

were available to be issued and determined no event has occurred that would require adjustment and disclosure in the financial statement.

46. Previous year comparatives

Previous year’s figures have been reclassified/rearranged/regrouped wherever necessary to conform to current

year’s presentation.