1.16. Provisions, contingent liabilities and contingent assets

A provision is created when there is a 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. 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. Contingent assets are neither
recognised nor disclosed in the financial statements. However, contingent assets are assessed
continually and if it is virtually certain that an inflow of economic benefits will arise, the asset
and related income are recognised in the period in which the change occurs.

1.17. Contingencies

Provision in respect of loss contingencies relating to claims, litigation, assessment, fines,
penalties, etc. are recognised when it is probable that a liability has been incurred, and the
amount can be estimated reliably.

1.18. Cash and cash equivalents

Cash and cash equivalents comprise cash and cash deposits with banks. The Company considers
all highly liquid investments with an original maturity at a date of purchase of three months or
less and that are readily convertible to known amounts of cash to be cash equivalents.

1.19. Cash Flow Statement

Cash flows are reported using indirect method, whereby net profit/loss before tax is adjusted
for the effects of transactions of a non-cash nature, any deferrals or accruals of past or future
operating cash receipts or payments and item of income or expenses associated with investing
or financing cash flows. The cash flows from operating, investing and financing activities of the
Company are segregated.

♦There is no transaction with the relatives of Key Managerial personnel during the FY 2024-25.

Note: The Company has not paid/deposited any contribution to Provident Fund or any other fund
created for the benefit of its Employees, for the Related Parties as mentioned above.

Note: The remuneration to Key Managerial Personnel (KMP), Directors and other related parties
excludes the provisions made for Gratuity and leave encashment as it is determined on the basis of an
actuarial report for the Company as a whole.

29. Employee benefits

Defined benefit plan

In accordance with the Payment of Gratuity Act, 1972, the company provides for gratuity, as
defined benefit plan. The gratuity plan provides for a lump sum payment to the employees at
the time of separation from the service on completion of vested year of employment i.e five
years. The liability of gratuity plan is provided based on actuarial valuation at the end of the
financial year.

Gratuity: The Present value of obligation is determined based on actuarial valuation using the
Projected Unit Credit Method. This method considers each period of service as giving rise to
an additional unit of benefit entitlement and measures each unit separately to build up the
final obligation.

Interest Cost: It is the increase in the Plan liability over the accounting period resulting from
the operation of the actuarial assumption of the interest rate.

Service Cost: This is the discounted present value of benefits attributed by the plan benefit
formula to service rendered by employees during the accounting period. It is measured using
an assumption as to future pay levels.

Actuarial Gain or Loss: It occurs when the experience of the Plan differs from that anticipated
from the actuarial assumptions. It could also occur due to changes made in the actuarial
assumptions.

The obligation for defined benefit plan remains with the company.

(i) The changes in the present value of defined benefits obligations representing
reconciliation of opening and closing balances thereof are as follows:

(v!) Principal Actuarial assumptions as at Balance Sheet date are as follow:

(a) Economic Assumptions: The principal assumptions are the discount rate &
salary growth rate. The discount rate is generally based upon the market
yields available on Government bonds at the accounting date relevant to
currency of benefit payments for a term that matches the liabilities. Salary
growth rate is company's long term best estimate as to salary increases &
takes account of inflation, seniority, promotion, business plan, HR policy
and other relevant factors on long term basis as provided in relevant
accounting standard. These valuation assumptions are as follows & have
been received as input from you.

The estimates of rate of escalation in salary considered in actuarial valuation, take into account
inflation, seniority, promotion and other relevant factors including supply and demand in the
employment market. The above information is certified by the actuary.

*AII figures related to previous financial years are accounted during current financial year, as no
actuarial valuation for employee benefit was done for the previous financial years.

# During the current financial year, the company recognized a gratuity liability that was not previously
accounted for in the prior financial year. The amount of the liability as of 31¹¹ March 2025 is 20.02
Lakhs which has resulted in an adjustment to the current year's profit and loss. This adjustment also
affects the retained earnings balance, which has been updated as of 31^st March 2025. The company
has determined that the prior year financial statements were not impacted significantly, and no
restatement of the prior period figures is required. Gratuity provision is made for the first time based
on the certified actuary.

30. Segment Reporting

The Company has considered the business segment as the primary reporting segment on the basis
that the risk and returns of the Company is primarily determined by the nature of products and
services. Consequently, the geographical segment has been considered as a secondary segment. The
business segment has been identified on the basis of the nature of products and services, the risks and

returns, internal organisation and management structure and the internal performance reporting
systems. The Business segment comprises of manufacturing and trading of Cashew Kernels.

* Includes amount of INR 119.86 due to capex suppliers which is included in Payable for purchase of
capital goods shown under other current liabilities.

Note: The information regarding Micro and Small enterprises has been determined to the extent such
parties have been identified on the basis of information available with the Company.

38. Transfer Pricing

As per the transfer pricing norms applicable in India, the Company is required to use certain specified
methods in computing arm's length price of transactions between the associated enterprises and
maintain prescribed information and documents related to such transactions. The appropriate method
to be adopted will depend on the nature of the transactions/class of transactions, class of associated
persons, functions performed and other factors, which have been prescribed. The Company is in the
process of updating the transfer pricing study for the current financial year. However, in the opinion of
the management the same would not have a material impact on these standalone financial
statements. __

Nature of CSR Activity

Donation made to Prime Minister's National Relief Fund (as specified in Schedule VII of the Companies

Act, 2013) on 28^lh March 2025.

41. Additional regulatory information required by Schedule III to the Companies Act, 2013

i. The Company does not have any benami property held in its name. No proceedings have been
initiated on or are pending against the Company for holding benami property under the
Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and Rules made thereunder.

ii. The Company has not been declared wilful defaulter by any bank or financial institution or
other lender or government or any government authority.

iii. The Company does not have any charges or satisfaction of charges which is yet to be registered
with Registrar of Companies beyond the statutory period.

iv. The Company has not traded or invested in Crypto currency or virtual currency during the year.

v. There is no income surrendered or disclosed as income during the year in tax assessments
under the Income-tax Act, 1961 (such as search or survey), that has not been recorded in the
books of account.

vi. The Company has not advanced or loaned or invested funds to any other person or entity,
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
Beneficiaries.

vii. The Company have not received any fund from any person or entity, 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 to or on behalf of the Ultimate
Beneficiaries.

viii. Basis the management's assessment, it has been concluded that the Company has made no
transactions with struck-off companies under Section 248 of the Companies Act, 2013 or
section 560 of the Companies Act, 1956. Further, there are no outstanding balances at balance
sheet date with struck-off companies.

44. Compliance with Approved schemes of Arrangements:

No scheme of Arrangements has been approved by the Competent Authority in terms of section 230
to 237 of the Companies Act,2013.

45. Changes in Accounting Estimates

There are no changes in accounting estimates made by the company during the year.

46. Changes in Accounting Policies

There are no changes in accounting policies made by the company during the year.

47. The Ministry of Corporate Affairs (MCA) has prescribed a new requirement for companies under
the proviso to Rule 3(1) of the Companies (Accounts) Rules, 2014, inserted by the Companies
(Accounts) Amendment Rules, 2021 requiring companies, which uses accounting software for
maintaining its books of accounts, shall use only such accounting software which has a feature of
recording audit trail of each and every transaction, creating an edit log of each change made in the
books of account along with the date when such changes were made and ensuring that the audit trail
cannot be disabled.

The Company has used an accounting software for maintaining its books of account. During the current
financial year, the audit trail (edit log) at the application level (entered from the frontend by users) for
the accounting software was enabled and operated for all relevant transactions recorded in the
software. The database of the said accounting software is hosted on cloud and is managed by a third-
party service provider. Company does not have any information with respect to the feature of audit
trail (edit log) at the database level of the said software.

48. The Company was converted from a private limited company to a public limited company on 8th
February 2025, in accordance with the applicable provisions of the Companies Act, 2013. Pursuant to
such conversion, the Company has reconstituted its Board of Directors to ensure compliance with the
requirements applicable to a public company, including the appointment of the requisite number of
independent directors, as mandated under Section 149 of the Companies Act, 2013 and relevant rules
thereof. The board of the company consist following members:-

49. The Company has not opted the Normal tax rate of the Income Tax Act, 1961. Hence, MAT assets
are not recognised.

50. Previous year figures have been re-grouped / recast, wherever necessary to confirm the current
year classification.

These are the notes to the financial statements referred to in our report of even date.

For P. K. Maheshwari & Co. For and on behalf of the Board of Directors of

Chartered Accountants Pajson Agro India Limited

Firm's Registration No.: 00097JN-—^ .

AnjaliJain

"Gtwjan Audichya / ' Chairman & Managing Director Whole Time Director

(Partner) ~^.^IN: 09323690 DIN: 09323689

Membership No. 555184 (Sf J\

UDIN^SSSSlg-t-B^J^tn^SroAiit Kumar Roopal Saxena

Date: - 0*3 - £)(&£ Chief Financial Officer Company Secretary \

Place: ^PAN ' BBAPK0349A M. No. 69189