1.11 Provisions and Contingent Liabilities

The Company creates a provision when there is present
obligation as a result of a past event that probably
requires an outflow of resources and a reliable estimate
can be made of the amount of the obligation such as
product warranty costs. A disclosure for a contingent
liability is made when there is a possible obligation or
a present obligation that may, but probably will not,
require an outflow of resources. When there is a possible
obligation or a present obligation in respect of which the
likelihood of outflow of resources is remote, no provision
or disclosure is made.

1.12 Operating lease including Investment Properties
As a Lessor

The company has leased out its assets and such leases
where the company has substantially retained all the risks
and rewards of ownership are classified as operating leases.
Lease income on such operating leases are recognised in
the statement of profit & loss on a straight line basis over
the lease term in a manner which is representative of the
time pattern in which benefit derived from the use of the
leased asset is diminished. Initial direct costs are recognised
as an expense in the statement of profit & loss in the period
in which they are incurred.

Under operating lease, the asset is capitalised within
property plant & equipment and depreciated over its
useful economic life. Therefore, Ind AS 116 does not have an
impact for leases where the company is the lessor.

As a Lessee

Ind AS 116 requires lessees to determine the lease term as
the non-cancellable period of a lease adjusted with any
option to extend or terminate the lease. The Company's
lease asset primarily consists of building. The company
assesses whether a contract contains a lease, at inception
of 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 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 lease contract for which the
underlying asset is of low value (low-value assets). For these
short-term, the Company recognizes the lease payments
as an operating expense on a straight-line basis over the
term of the lease.

The right-of-use assets are initially recognised at cost, which
comprises the initial measurement of the lease liability
adjusted plus any initial direct costs less any lease incentives.
They are subsequently measured at cost less accumulated
depreciation and impairment losses, if any. Right-of-use
assets are depreciated from the commencement date on
a straight-line basis over the shorter of the lease term and
useful life of the underlying asset.

The lease liability is initially measured at the present value
of the future lease payments. The lease payments are
discounted using the interest rate of cost of capital. The
lease liability is subsequently remeasured by increasing
the carrying amount to reflect interest on the lease
liability, reducing the carrying amount to reflect the
lease payments made.

In calculating the present value of lease payments, the
Company uses its incremental borrowing rate at the lease
commencement date because the interest rate implicit in
the lease is not readily determinable.

1.13 Government Grants

Grants and subsidies from the government are recognized
when there is reasonable assurance that

(i) the company will comply with the conditions attached
to them, and

(ii) the grant/subsidy will be received.

When the grant or subsidy relates to revenue, it is
recognized as income on a systematic basis in the
statement of Profit and Loss over the periods necessary
to match them with the related costs, which they are
intended to compensate. Where the grant relates to an
asset, it is recognized as deferred income and transfer
to income in equal amounts over the expected useful
life of the related asset.

Where the company receives non-monetary grants,
the asset is accounted for on the basis of its acquisition
cost. In case a non-monetary asset is given free of cost,
it is recognized at a nominal value.

1.14 Dividends

Provision is made for the amount of any dividend
declared, being appropriately authorised and no longer
at the discretion of the entity, on or before the end of the
reporting period but not distributed at the end of the
reporting period.

1.15 Cash and Cash Equivalents

For the purpose of presentation in the Statement of Cash
Flows, cash and cash equivalents includes cash on hand,
balance with banks.

1.16 Employee benefits

Employee benefits include salaries, wages, contribution
to provident fund, gratuity, leave encashment towards
un-availed leave, compensated absences, and other
terminal benefits.

(i) Gratuity

Payment for present liability of future payment of
gratuity is being made to approved gratuity fund,
which fully covers the same under Cash Accumulation
Policy and Debt fund of the Life Insurance Corporation
of India (LIC). However, any deficit in plan assets
managed by LIC as compared to the liability based
on an independent actuarial valuation is recognised
as a liability.

The liability or asset recognised in the Balance Sheet in
respect of defined benefit gratuity plans is the present
value of the defined benefit obligation at the end of
the reporting period less the fair value of plan assets.
The defined benefit obligation is calculated annually
by actuaries using the projected unit credit method
in conformity with the principles and manner of
computation specified in Ind AS 19.

Remeasurements, comprising of actuarial gains
and losses, the effect of the asset ceiling, excluding
amounts included in net interest on the net defined
benefit liability and the return on plan assets (excluding

amounts included in net interest on the net defined
benefit liability), are recognised immediately in the
Balance Sheet with a corresponding debit or credit to
retained earnings through OCI in the period in which
they occur. Remeasurements are not reclassified to
profit or loss in subsequent periods.

The net interest cost is calculated by applying the
discount rate to the net balance of the defined benefit
obligation and the fair value of plan assets. This
cost is included in employee benefit expense in the
Statement of Profit and Loss.

(ii) Provident fund contributions are made to Company's
Provident Fund . The contributions are accounted
for as defined benefit plans and the contributions
are recognised as employee benefit expense
when they are due.

(iii) Defined contribution to superannuation fund is
being made as per the scheme of the Company and
recognised as expense as and when due.

1.17 Power Generation Income

The Company having solar and wind power plants which
is separately shown in Note no. 2 for Property, Plant
and Equipment, primarily for the purpose of captive
consumption of electricity in its manufacturing and
operational processes. The power generated and consumed
internally is netted off against power and fuel expenses.

1.18 Earnings per Share

Basic earnings per share is calculated by dividing the
net profit or loss for the period attributable to equity
shareholders by the weighted average number of equity

shares outstanding during the period. Earnings considered
in ascertaining the Company's earnings per share is the
net profit for the period. The weighted average number of
equity shares outstanding during the period and all periods
presented is adjusted for events, such as bonus shares, other
than the conversion of potential equity shares, that have
changed the number of equity shares outstanding, without
a corresponding change in resources. For the purpose
of calculating diluted earnings per share, the net profit
or loss for the period attributable to equity shareholders
and the weighted average number of share outstanding
during the period is adjusted for the effects of all dilutive
potential equity shares.

1.19 Segment Reporting

The company is engaged mainly in the business of
automobile products. These, in the context of Indian
Accounting Standard 108 on Operating Segment, as
specified in the Companies (Indian Accounting Standards)
Rules, 2015, are considered to constitute one single primary
segment. Operating segments are reported in a manner
consistent with the internal reporting provided to the Core
Management Committee which includes the Managing
Director who is the Chief Operating Decision Maker.

1.20 Recent Pronouncements

Ministry of Corporate Affairs ("MCA") notifies new standards
or amendments to the existing standards under Companies
(Indian Accounting Standards) Rules as issued from time
to time. During the year ended 31^st March, 2025, MCA has
notified Ind AS 117 - Insurance Contracts and amendments
to Ind As 116 - Leases, relating to sale and lease back
transactions, applicable from April 1,2024. The amendment
notified by MCA is not applicable to the company.

20.3 Provision for Expected Credit Loss on Risk Sharing Arrangement 1.0

The company has entered into risk sharing arrangement with Cholamandalam Investment and Finance Co. Limited (""Chola"") for
sales of vehicle on finance. On account of this arrangement company has agreed to pay non-refundable delinquency fund ('Fund')
of ? 2000/- per vehicle to Chola towards each of the vehicle sold under this arrangement, irrespective of the loan granted on the said
vehicles which shall be used for setting off loss arising out of sale of vehicle repossessed/commission of default by customers.

In event of any vehicle financed under this arrangement is repossessed/surrendered due to non-payment of loan & default as per loan
agreement and on sale of vehicle or on making 100% provisioning towards loan accounts than AAL agrees to share loss with Chola
on the outstanding (principal & instalment) of loan accounts over and above 20% of such outstanding. Company has recognized the
provision based on Ind AS - 109 'Financial Instruments'.

NOTE - 41 EMPLOYEE BENEFITS

a. Gratuity

Payment for present liability of future payment of gratuity is being made to approved gratuity fund, which fully covers the same
under Cash Accumulation Policy of the Life Insurance Corporation of India (LIC).However, any deficit in plan assets managed by LIC as
compared to the liability on the basis of an independent actuarial valuation is recognised as a liability.

The liability or asset recognised in the Balance Sheet in respect of defined benefit gratuity plans is the present value of the defined
benefit obligation at the end of the reporting period less the fair value of plan assets. The defined benefit obligation is calculated
annually by actuaries using the projected unit credit method in conformity with the principles and manner of computation
specified in Ind AS 19.

The net interest cost is calculated by applying the discount rate to the net balance of the defined benefit obligation and the fair value
of plan assets. This cost is included in employee benefit expense in the Statement of Profit and Loss.

Sensitivity Analysis

The sensitivity analysis have been determined based on reasonably possible changes of the respective assumptions occurring at the
end of the reporting period, while holding all other assumptions constant.

The sensitivity analysis presented above may not be representative of the actual change in the projected benefit obligation as it is
unlikely that the change in assumptions would occur in isolation of one another as some of the assumptions may be correlated.

Furthermore, in presenting the above sensitivity analysis, the present value of the projected benefit obligation has been calculated
using the projected unit credit method at the end of the reporting period, which is the same method as applied in calculating the
projected benefit obligation as recognised in the balance sheet. There was no change in the methods and assumptions used in
preparing the sensitivity analysis from prior years.

b. Provident Fund

Retirement benefit in the form of provident fund is a defined contribution scheme. The Company has no obligation, other than the
contribution payable to the provident fund. The Company recognizes contribution payable to the provident fund scheme as an
expenditure, when an employee renders the related service. If the contribution payable to the scheme for service received before the
balance sheet date exceeds the contribution already paid, the deficit payable to the scheme is recognized as a liability after deducting
the contribution already paid. If the contribution already paid exceeds the contribution due for services received before the balance
sheet date, then excess is recognized as an asset to the extent that the pre payment will lead to, for example, a reduction in future
payment or a cash refund. Amount recognised in statement of Profit & Loss is ' 419 lacs (Previous year '334 lacs).

NOTE - 43 FINANCIAL INSTRUMENTS

a. Capital Management

The Company manages its capital to ensure that the Company will be able to continue as going concern, while maximising the
return to stakeholders through efficient allocation of capital towards expansion of business, optimisation of working capital
requirements. The Company is currently utilizing term loan to meet long term requirements and have adequate sanctioned
limits available to meet its short term capital requirements. The Company is not subject to any externally imposed capital
requirements. The management of the Company reviews the capital structure of the Company on regular basis.

The following table summarises the capital of the Company:

NOTE - 44 FAIR VALUE MEASUREMENT

This section explains the judgements and estimates made in determining the fair value of the financial instruments that are (a)
recognized and measured at fair value and (b) measured at amortised cost and for which fair values are disclosed in the financial
statements. To provide an indication about the reliability of the inputs used in determining fair value, the company has classified its
financial instruments into the three levels prescribed the Indian accounting standards. Explanation of each level as follows :-

Level - 1 Hierarchy includes financial instruments measured using quoted price. This includes mutual funds & listed Equity shares that
have quoted price. The mutual funds are valued using the closing NAV.

Level - 2 The fair value of financial instruments that are not traded in an active market (for example trade bond, over-the-counter
derivatives) is determined using valuation technique which maximise the use of observable market data and rely as little as
possible on entity -specific estimates. If all significant inputs required to fair value of instrument are observable, the instrument is
included in Level-2.

Level - 3 If one or more of the significant inputs are not based on observable market data, the instrument is included in level 3.

During the year under consideration there is no transfer between level 1, level 2 and level 3 hierarchy.

Valuation Techniques used to Determine Fair Value

Mutual funds are valued at the price quoted in active market at the closing of reporting date.

Fair Value of Financial Assets and Liabilities Measured at Amortised Cost :-

The carrying amounts of trade receivables, trade payable, other financial assets/liabilities, loans and cash & cash equivalents are
considered to be the same as their fair values.

NOTE - 45 FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES

Financial risk management objectives

The Company's management monitors and manages the financial risks relating to the operations of the Company. These risks
include market risk (including currency risk, interest rate risk and other price risk), credit risk and liquidity risk. The Company's risk
management is done in close co-ordination with the board of directors and focuses on actively securing the Company's short, medium
and long-term cash flows by minimizing the exposure to volatile financial markets. The Company does not enter into or trade financial
instruments, including derivative financial instruments, for speculative purposes. The most significant risks to which the Company is
exposed are described below

a. Credit Risk

Credit Risk refers to the risk that a counterparty will default on its contractual obligations resulting in financial loss to the
Company. The company usually deals with creditworthy counterparties and obtain sufficient collateral, where appropriate, as a
means of mitigating the risk of financial loss from defaults. The exposure is continuously monitored.

(i) Trade Receivable

The Company applies the simplified approach to provide for expected credit losses prescribed by Ind AS 109, which permits
the use of the lifetime expected loss provision for all trade receivables. The Company has computed expected credit losses
based on a provision matrix which uses historical credit loss experience of the Company. Forward-looking information
(including macroeconomic information) has been incorporated into the determination of expected credit losses.

b. Liquidity Risk :-

The Company's principal sources of liquidity are 'cash and cash equivalents' and cash flows that are generated from operations.
The Company has no outstanding term borrowings. The Company believes that its working capital is sufficient to meet its current
requirements. Additionally, the Company has sizeable surplus funds given as Inter Corporated Deposit receivable on demand to
subsidiary companies ensuring safety of capital and availability of liquidity if and when required. Hence the Company does not
perceive any liquidity risk.

C. Market Risk

(i) Interest Risk

Company has obtained Term Loan from Exim Bank. Interest Risk refers to change in interest rate due to change in benchmark
interest rate in case of floating rate loan. During the year company has not used facility. Hence, there will be no impact on
the profitability of the company due to change in external benchmark interest rate.

(ii) Foreign Currency Risk

The Company operates, in addition to domestic markets, significantly in international markets through its exports and is
therefore exposed to foreign exchange risk arising from foreign currency transactions, primarily with respect to the US$.
Foreign exchange risk arises from highly probable forecast transactions and recognised assets and liabilities denominated
in a currency that is not the Company's functional currency (?).

NOTE - 47 OTHER REGULATORY NOTES

1. The Title deeds of the immovable properties (other than Common Approach Road As referred to Note No 2 & other properties
where the Company is the lessee and the lease agreements are duly executed in favour of the lessee) are held in the name
of the Company.

2. As per the Company's accounting policy, Property, Plant and Equipment (including Right of Use Assets) and intangible assets are
carried at historical cost (less accumulated depreciation & impairment, if any), hence the revaluation related disclosures required
as per Additional Regulatory Information of Schedule III (revised) to the Companies Act, is not applicable.

3. The Company has not granted Loans or Advances in the nature of loan to any promoters, Directors, KMPs and the related parties
(As per Companies Act, 2013) , which are repayable on demand or without specifying any terms or period of repayments.

4. 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 the rules made thereunder.

5. The Company has sanctioned facilities from banks on the basis of security of current assets. The deviations in Periodic returns
and the books of accounts are given in Note No 10.

6. The Company has adhered to debt repayment and interest service obligations on time. Wilful defaulter related disclosures
required as per Additional Regulatory Information of Schedule III (revised) to the Companies Act, is not applicable.

7. There are no transactions with the Companies whose name are struck off under Section 248 of The Companies Act, 2013 or
Section 560 of the Companies Act, 1956 during the year ended 31^st March 2025.

8. All applicable cases where registration of charges or satisfaction is required to be filed with Registrar of Companies have been
filed. No registration or satisfaction is pending at the year ended 31^st March 2025.

9. The Company has complied 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.

10. No scheme of arrangement has been approved by the competent authority in terms of Section 230 to 237 of the
Companies Act, 2013.

11. The Company has not advanced or loaned or invested funds to any other person(s) or entity(ies), including foreign entities
(Intermediaries) with the understanding that the Intermediary shall:

(a) 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

(b) provide any guarantee, security or the like to or on behalf of the ultimate beneficiary

12. The Company have not received any fund from any person(s) or entity(ies), including foreign entities (Funding Party) with the
understanding (whether recorded in writing or otherwise) that the Company shall:

(a) 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

(b) provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries

13. The Company has not operated in any crypto currency or Virtual Currency transactions.

14. During the year the Company has not disclosed or surrendered, any income other than the income recognised in the books of
accounts in the tax assessments under Income Tax Act, 1961.

Reasons for Variances :

* During the Current year there is a significant increase in Profits of the Company compared to previous year. Hence, debt coverage ratio of the
Company has improved.

** on account of increase in sales and reduction in material cost. Further, on account of increase in capacity utilisation the Company overall return on Rquity
and Capital Rmployed is increased. Hence, Return on equity,Return on Capital Employed and Net Profit Ratio has improved.

The accompanying notes are an integral part of these financial statements
As per our report of even date

For Maharishi & Co. For and on behalf of the Board of Directors

Chartered Accountants ATUL AUTO LIMITED

FRN 124872W

NEERAJ J CHANDRA MAHENDRA J PATEL

Managing Director Whole-time Director & CFO

DIN :00065159 DIN :00057735

KAPIL SANGHVI PARAS J. VIRAMGAMA

Partner Company Secretary & Compliance Officer

Membership No. 141168
UDIN : 25141168BMJHZI1992

Signed at Jamnagar on 10^th May, 2025 Signed at Bhayla (Dist. Ahmedabad) on 10^th May, 2025