(n) Provisions

A provision is recognized when the Company has a present obligation Legal or Constructive that is reasonably
estimatable and it is probable that an outflow of economic benefits will be required to settle the obligation. These
estimates are reviewed at each Balance Sheet date and adjusted to reflect the current best estimates.

If the effect of the time value of money is material, provisions are discounted using a current pre-tax rate that reflects,
when appropriate, the risks specific to the liability. When discounting is used, the increase in the provision due to the
passage of time is recognized as a finance cost.

(o) Segment Reporting

The Company manufactures and sells ABS and SAN which belong to the same product group i.e. “Highly Specialized
Engineering Thermoplastics” alongwith Trading in raw materials used for manufacturing of ABS and SAN. The product
has the same risks and returns, which are predominantly governed by market conditions, namely demand and supply
position. Thus, in the context of Ind AS 108 “Operating Segment”, issued by the Institute of Chartered Accountants of
India, there is only one identified reportable segment.

(p) Earnings per Share

Basic earnings per share are calculated by dividing the net profit/ loss for the period attributable to equity shareholders
by the weighted average number of equity shares outstanding during the year

For the purpose of calculating diluted earnings per share, the net profit for the period attributable to equity shareholders
and the weighted average number of shares outstanding during the period are adjusted for the effects of diluted potential
equity shares, if any.

(q) Contingent Liabilities and Assets

A contingent liability is a possible obligation that arises from past events whose existence will be confirmed by the
occurrence or non-occurrence of one or more uncertain future events beyond the control of the Company or a present
obligation that is not recognized because it is not probable that an outflow of resources will be required to settle the
obligation. A contingent liability also arises in extremely rare cases where there is a liability that cannot be recognized
because it cannot be measured reliably. The Company does not recognize a contingent liability but discloses its
existence in the financial statements. Contingent Assets are not disclosed in the Financial Statements.

(r) Cash and cash equivalents

For the purpose of the statement of cash flows, cash and cash equivalents consist of cash on hand, short-term deposits
with an original maturity of three months or less, other short term, highly liquid investments with original maturities of
three months or less that are readily convertible to known amounts of cash and which are subject to an insignificant risk
of changes in value.

Financial assets and liabilities are recognised when the Company becomes a party to the contractual provisions of the
instruments.

Financial Assets

Initial recognition and measurement:

All financial assets are initially recognised at fair value. Transaction costs of acquisition of financial assets carried at
Fair value through profit or loss are expensed in the Statement of profit and loss. Financial assets are classified, at
initial recognition and subsequent measurements, as financial assets at fair value or as financial assets measured at
amortised cost.

A financial asset is measured at amortised cost less impairment, if the objective of the Company’s business model is to
hold the financial asset to collect the contractual cash flows.

Impairment of financial assets:

All financial assets are initially recognised at fair value. Transaction costs of acquisition of financial assets carried at fair
value through profit and loss are expensed in the Statement of Profit and Loss.

Amortised cost: Assets that are held for collection of contractual cash flows where those cash flows represent solely
payments of principal and interest are measured subsequently at amortised cost. Interest income from these financial
assets is included in Other income using the effective interest rate method.

In accordance with Ind-AS 109, the Company uses “Expected Credit Losses (ECL)” model, for evaluating impairment
of Financial Assets other than those measured at Fair Value Through Profit and Loss (FVTPL).

Expected credit losses are measured through as loss allowance at an amount equal to:

The 12-months expected credit losses (expected credit losses that result from those default events on the financial
instruments that are possible within 12 months after the reporting date); or

Full lifetime expected credit losses (expected losses that result from all possible default events over the life of the
financial instrument)

The credit loss is difference between all contractual cash flow that are due to an entity in accordance with the contract
and all the cash flows that the entity expects to receive (i.e. all cash shortfalls), discounted at the original effective interest
rate. This is assessed on an individual or collective basis after considering all reasonable factors including that which are
forward-looking.

For trade receivable company applies ‘Simplified approach’ which requires expected lifetime losses to be recognised
from initial recognition of the receivables. The Company uses historical default rates to determine impairment loss on
the portfolio of trade receivables. At every reporting date these historical default rates are reviewed and changes in the
forward looking estimates are analysed.

For other assets, the Company uses 12 months ECL to provide for impairment loss where there is no significant increase
in credit risk. If there is significant increase in credit risk full lifetime ECL is used.

Other Financial Assets mainly consist of Unsecured Loans, Loans to employees, Security Deposit, other deposit, interest
accrued on Fixed Deposits, other receivables and advances measured at amortized cost.

1) Initial recognition and measurement

The Company classifies all financial liabilities as subsequently measured at amortised cost, except for financial
liabilities at fair value through profit or loss. Such liabilities, including derivatives that are liabilities, shall be
subsequently measured at fair value.

2) Subsequent measurement

Financial liabilities are carried at amortised cost using the effective interest method. For trade and other payables
maturing within one year from the balance sheet date, the carrying amounts approximate fair value due to the short
maturity of these instruments.

3) Derivative Financial Instruments

Derivative financial liabilities are measured at fair value through Profit and loss.

Derecognition of Financial Instruments:

The Company derecognises a financial asset when the contractual rights to the cash flows from the Financial Asset
expire or it transfers the Financial Asset and the transfer qualifies for derecognition under Ind AS 109. A Financial Liability
(or part of Financial Liability) is derecognised from the Company’s Balance Sheet when the obligation specified in the
contract is discharged or cancelled or expires.

Offsetting of financial instruments

Financial assets and financial liabilities are offsetted and the net amount is reported in the balance sheet if there is a
currently enforceable legal right to offset the recognized amounts and there is an intention to settle on a net basis, to
realize the assets and settle the liabilities simultaneously.

(t) Fair Value Measurement of Financial Instruments

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction
between market participants at the measurement date. The fair value measurement is based on the presumption that
the transaction to sell the asset or transfer the liability takes place either:

• In the principal market for the asset or liability, or

• In the absence of a principal market, in the most advantageous market for the asset or liability The principal or the
most advantageous market must be accessible by the Company.

The fair value of an asset or a liability is measured using the assumptions that market participants would use when
pricing the asset or liability, assuming that market participants act in their economic best interest.

A fair value measurement of a non-financial asset takes into account a market participant’s ability to generate economic
benefits by using the asset in its highest and best use or by selling it to another market participant that would use the
asset in its highest and best use.

The Company uses valuation techniques that are appropriate in the circumstances and for which sufficient data are
available to measure fair value, maximizing the use of relevant observable inputs and minimizing the use of unobservable
inputs. All assets and liabilities for which fair value is measured or disclosed in the financial statements are categorized
within the fair value hierarchy, described as follows, based on the lowest level input that is significant to the fair value
measurement as a whole:

Level 1 — Quoted (unadjusted) market prices in active markets for identical assets or liabilities

Level 2 — Valuation techniques for which the lowest level input that is significant to the fair value measurement is directly
or indirectly observable.

Level 3 — Valuation techniques for which the lowest level input that is significant to the fair value measurement is
unobservable. For assets and liabilities that are recognized in the financial statements on a recurring basis, the Company
determines whether transfers have occurred between levels in the hierarchy by re-assessing categorization (based on
the lowest level input that is significant to the fair value measurement as a whole) at the end of each reporting year.

(u) Research and Development Expenditure

Revenue expenditure on Research and Development is charged to the Statement of Profit and Loss in the year in which
it is incurred and Capital Expenditure are included in Property, Plant and Equipment.

3 Critical Accounting Judgements and Key Sources of Estimation Uncertainty

The Preparation of Company’s financial Statements requires management to make judgements, estimates and assumptions
that affect the reported amount of revenue, expenses, assets and liabilities and the accompanying disclosures. Uncertainty
about these assumptions and estimates could result in outcomes that require a material adjustments to the carrying amount
of assets or liabilities affected in next financial years.

a. Determination of the estimated useful lives of Property, Plant and Equipment and Intangible Assets:

Estimates are involved in determining the cost attributable to bringing the assets to the location and condition necessary
for it to be capable of operating in the manner intended by the management. Property, Plant and Equipment/Intangible
Assets are depreciated/ amortised over their estimated useful life, after taking into account estimated residual value.
Management reviews the estimated useful life and residual values of the assets annually in order to determine the
amount of depreciation/amortisation to be recorded during any reporting period. The useful life and residual values
are based on the Company’s historical experience with similar assets and take into account anticipated technological
changes. The depreciation/ amortisation for further period is revised if there are significant changes from previous
estimates.

b. Recoverability of Trade Receivables:

Judgements are required in assessing the recoverability of overdue trade receivables and determining whether a
provision against those receivables is required or not. Factors considered include the credit rating of the counterparty,
the amount and timing of anticipated future payments and any possible actions that can be taken to mitigate the risk of
non-payment.

c. Provisions:

Provisions and liabilities are recognized in the period when it becomes probable that there will be a future outflow of
funds resulting from past operations or events and the amount of cash outflow can be reliably estimated. The timing of
recognition and quantification of the liability requires the application of judgements to existing facts and circumstances,
which can be subject to change. The carrying amount of provisions and liabilities are reviewed regularly and revised to
take account of changing facts and circumstances.

d. Recognition Defined benefit plans:

The obligation arising from defined benefit plan is determined on the basis of actuarial assumptions. Key actuarial
assumptions include discount rate, trends in salary escalation, actuarial rates and life expectancy. The discount rate is
determined by reference to market yields at the end of the reporting period on government bonds. The period to maturity
of the underlying bonds correspond to the probable maturity of the post-employment benefit obligations.

e. Application of Discount rates:

Estimates of rates of discounting are done for measurement of fair values of certain financial assets and liabilities, which
are based on prevalent bank interest rates and the same are subject to change.

f. Current versus non-current classification:

All the assets and liabilities have been classified as current or non-current as per the Company’s normal operating cycle
of twelve months and other criteria set out in Schedule III to the Companies Act, 2013.

g. Impairment of financial assets:

The impairment provisions for financial assets are based on assumptions about risk of default and expected cash
loss rates. The Company uses judgement in making these assumptions and selecting the inputs to the impairment
calculation, based on Company’s past history, existing market conditions as well as forward looking estimates at the
end of each reporting period.

h. Impairment of non-financial assets:

The impairment provisions for financial assets are based on assumptions about risk of default and expected cash
loss rates. The Company uses judgement in making these assumptions and selecting the inputs to the impairment
calculation, based on Company’s past history, existing market conditions as well as forward looking estimates at the
end of each reporting period. The impairment provision for non-financial assets company estimates asset’s recoverable
amount, which is higher of an asset’s or Cash Generating Units (CGU’s) fair value less costs of disposal and its value
in use. In assessing value in use, the estimated future cash flows are discounted to their present value using pre-tax
discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. In
determining fair value less costs of disposal, recent market transactions are taken into account, if no such transactions
can be identified, an appropriate evaluation model is used.

i. Recognition of Deferred Tax Assets and Liabilities:

Deferred tax assets and liabilities are recognised for deductible temporary differences and unused tax losses for which
there is probability of utilisation against the future taxable profit. The Company uses judgement to determine the amount
of deferred tax that can be recognised, based upon the likely timing and the level of future taxable profits and business
developments.

j. 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. For 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 leaseback transactions,
applicable to the Company w.e.f. April 1,2024. The Company has reviewed the new pronouncements and based on its
evaluation has determined that it does not have any significant impact in its financial statements.

Nature and Purpose of Reserves:

(i) Securities Premium

Securities premium account is created when shares are issued at premium. The Company may issue fully paid-up Bonus
shares to its members out of the Securities premium account. As per Section 52 (2) (e) of the Companies Act, 2013, Securities
premium account can be used for buy back of shares.

(ii) General Reserve

General Reserve is used from time to time to transfer profits from retained earnings for appropriation purposes. General
Reserve is created by a transfer from one component of equity to another and is not an item of other comprehensive income.

(iii) Retained Earning

Retained earning are the profits that the Company has earned till date, less any transfer to General Reserve, dividends or other
distributions paid to the shareholders.

37 SEGMENT REPORTING

The Company manufactures and sells ABS and SAN and Trading in Styrene which belong to the same product group i.e.

“Highly Specialized Engineering Thermoplastics” alongwith Trading in raw materials used for manufacturing ABS and SAN.

The product has the same risks and returns, which are predominantly governed by market conditions, namely demand and

supply position. Thus, in the context of Indian Accounting Standard - 108 “Segment Reporting”, issued by the Institute of

Chartered Accountants of India, there is only one identified reportable segment.

38 FAIR VALUE DISCLOSURES

38.1 The Company uses the following hierarchy for determining and disclosing the fair value of financial instruments

by valuation technique:

The categories used are as follows:

• Level 1: This hierarchy includes financial instruments measured using quoted prices. This includes listed equity
instruments, traded bonds, ETFs and mutual funds that have quoted price. ;

• Level 2: The fair value of financial instruments that are not traded in an active market is determined using valuation
techniques which maximize the use of observable market data and rely as little as possible on entity-specific estimates.
If all significant inputs required to fair value an instrument are observable, the instrument is included in level 2; and

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

39.1 Capital management

For the purpose of the Company’s capital management, capital includes issued equity capital, share premium and all other
equity reserves attributable to the equity holders of the Company. The primary objective of the Company’s capital management
is to maximise the shareholder value and to safeguard the companies ability to remain as a going concern.

The Company manages its capital structure and makes adjustments to it, in light of changes in economic conditions and the
requirements of the financial covenants. To maintain or adjust the capital structure, the Company may adjust the dividend
payment to shareholders, return capital to shareholders or issue new shares. The current capital structure of the Company is
equity based with no financing through borrowings. The Company is not subject to any externally imposed capital requirement.

No changes were made in the objectives, policies or processes during the year ended 31^st March, 2025 and 31^st March, 2024
respectively.

39.2 Financial Risk Management- Objectives And Policies

The Company’s activities exposes it to variety of financial risk viz. credit risk, liquidity risk and market risk. The Company
has various financial assets such as deposits, Loans & Advances, trade and other receivables and cash and bank balances
directly related to their business operations. The Company’s principal financial liabilities comprise of trade and other payables.
The Company’s senior management focus is to foresee the unpredictability and minimise the potential adverse effects on the
Company’s financial performance. The Company’s overall risk, management procedures to minimize the potential adverse
effect of the financial market on the company’s performance are as follows:

39.3 Credit Risk

Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer contract, leading
to a financial loss. The Company is exposed to credit risk primarily from trade receivables, cash and cash equivalents, and
financial assets measured at amortised cost.

A Trade Receivables:

Trade receivables of the Company are generally unsecured. The Company performs ongoing credit evaluations of its
customers’ financial conditions and monitors the creditworthiness of its customers to which it grants credit terms in the
normal course of business through internal evaluation. The allowance for impairment of trade receivables is created to
the extent and as and when required, based upon the expected collectability of accounts receivables. The Company has
no concentration of credit risk as the customer base is geographically distributed in India.

B Cash and cash equivalents and bank deposits

Credit risk related to cash and cash equivalents and bank deposits is managed by only accepting highly rated banks
and diversifying bank deposits and accounts in different banks across the country.

C Other financial assets measured at amortised cost

Other financial assets measured at amortised cost includes loans and advances, security deposits and others. Credit
risk related to these other financial assets is managed by monitoring the recoverability of such amounts continuously
and is based on the credit worthiness of those parties.

D Investments

Investment in Joint Venture are measured at cost as per Ind AS 28, ‘Investment in Associates and Joint Ventures’ and
hence not presented here.

Provision for expected credit losses

a) Expected credit losses for financial assets other than trade receivables

The Company does not have any expected loss based impairment recognised on such assets considering their low
credit risk nature.

b) Expected credit loss for trade receivables under simplified approach

The Company recognizes lifetime expected credit losses on trade receivables using a simplified approach, wherein
Company has defined percentage of provision by analyzing historical trend of default and such provision percentage
determined have been considered to recognize life time expected credit losses on trade receivables (other than those
where default criteria are met in which case the full expected loss against the amount recoverable is provided for). Based
on such simplified approach,no allowance has been recognised.

39.4 Liquidity risk is the risk that the Company will not be able to meet its financial obligation as and when they fall due. Liquidity risk
arises because of the possibility that the Company could be required to pay its liabilities earlier than expected. Liquidity risk is
managed by monitoring on a regular basis that sufficient funds are available to meet any future commitments. The Company
manages its liquidity risk by maintaining sufficient bank balance .

39.5 Market Risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in
market prices. Market risk comprises three types of risk: interest rate risk, currency risk and other price risk, such as equity
price risk and commodity risk. The Company is not exposed to other price risk whereas the exposure to currency risk and
interest risk is given below:

A Foreign Currency Risk

Foreign currency risk is the risk that the value of financial instruments will fluctuate due to changes in foreign exchange rates.
It arises mainly where receivables and payables exist due to transactions entered in foreign currencies.

A.1 Foreign currency risk management

The Company undertakes transactions denominated in foreign currencies; consequently, exposures to exchange rate
fluctuations arise. Exchange rate exposures are managed within approved board policy parameters. Quarterly reports are
submitted to Board of Directors on the unhedged foreign currency exposures.

The carrying amounts of the Company’s foreign currency denominated monetary assets and monetary liabilities at the end
of the reporting period are as follows.

C Commodity price risk

The Company’s principal raw materials are variety of monomers which are primarily derivatives of crude oil. Company sources
its raw material requirement from across the globe. Domestic market prices generally remains in sync with the international
market prices.

Volatility in Crude Oil prices, Currency fluctuation of Rupee vis-a-vis other prominent currencies coupled with demand-supply
scenario in the world market, affect the effective price and availability of monomers for the Company. Company effectively
manages availability of material as well as price volatility by expanding its source base, having appropriate contracts and
commitments in place and planning its procurement and inventory strategy. The Company mitigated the risk of price volatility
by entering Long Term & Short term contracts for the Purchase of these commodities basis estimated annual requirements.

40 EMPLOYEE BENEFIT PLANS

40.1 Defined Contribution Plans :

(a) Providend fund

Contributions are made to employees provident fund organization in India for employees at the rate of 12% of basic
salary as per regulations. The contributions are made to registered provident fund administered by the Government.
The obligation of the Company is limited to the amount contributed and it has no further contractual or any constructive
obligation.

(b) Superannuation Fund

Contributions are made to Life Insurance Corporation of India for eligible employees at the rate of 15% of basic salary
as per superannuation scheme of the Company.

(c) Employee’s State Insurance

Contributions are made to ESI Corporation for all eligible employees at rate of 4.75% of ESI wage as per the definition
under the ESI Act.

Contribution to defined contribution plans, recognised in the Statement of profit and loss for the year under employee
benefits expense, are as under:

40.2 Defined Benefit Plans :

Gratuity

The Company has an obligation towards gratuity, a defined benefit retirement plan covering all employees. The plan provides
for lump sum payment to vested employees at retirement or at death while in employment or on termination of the employment
of an amount equivalent to 15 days salary, as applicable, payable for each completed year of service. Vesting occurs upon
completion of five years of service. The Company accounts for the liability for gratuity benefits payable in the future based on
an actuarial valuation.

The Company’s liabilities towards gratuity and leave encashment, a defined benefit obligation, is accrued and provided for on
the basis of actuarial valuation, using the projected unit credit method as at the Balance Sheet date.

(K) Sensitivity Analysis

The Sensitivity analysis below has been determined based on reasonably possible change of the respective assumptions
occurring at the end of the reporting period, while holding all other assumptions constant. These sensitivities show the
hypothetical impact of a change in each of the laid assumptions in isolation. While each of these sensitivities holds all other
assumptions constant, in practice such assumptions rarely change in isolation and the asset value changes may offset
the impact to some extent. For presenting the sensitivities, the present value of the Defined Benefit Obligation has been
calculated using the projected unit credit method at the end of the reporting period, which is the same as that applied in
calculating the Defined Benefit Obligation presented above. There was no change in the methods and assumptions used in
the preparation of the Sensitivity Analysis from previous year.

43 ADDITIONAL REGULATORY INFORMATION REQUIRED BY SCHEDULE III OF COMPANIES ACT, 2013

43.1 Details of Benami property:

No proceeding have been initiated or are pending against the Company for holding any Benami property under the Benami
Transaction (Prohibition) Act,1988 (45 of 1988) and the rules made thereunder.

43.2 Utilisation of borrowed funds and share premium:

(a) 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:

i) directly or indirectly lend or invest in other person or entities identified in any manner whatsoever by or on behalf
of the Company (Ultimate Beneficiaries) or

ii) provide any guarantee,security or the like or on behalf of the ultimate beneficiaries.

43 ADDITIONAL REGULATORY INFORMATION REQUIRED BY SCHEDULE III OF COMPANIES ACT,2013 (CONTD.)

(b) The Company has 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:

i) directly or indirectly lend or invest in other person or entities identified in any manner whatsoever by or on behalf
of the Company (Ultimate Beneficiaries) or

ii) provide any guarantee,security or the like or on behalf of the ultimate beneficiaries.

43.3 Compliance with number of layers of companies:

The Company has complied with the number of layers prescribed under the Companies Act, 2013.

43.4 Compliance with approved scheme (s) of arrangements:

The Company has not entered into any scheme or arrangement which has an accounting impact on current or previous year.

43.5 Undisclosed income:

There is no income surrendered or disclosed as income during the current or previous year in the tax assessments under the
Income Tax Act, 1961, that has not been recorded in the books of account.

43.6 Details of crypto currency or virtual currency:

The Company has not traded or invested in crypto currency or virtual currency during the current or previous year.

43.7 Valuation of Property, Plant and Equipment:

The Company has not revalued its property, plant and equipment (including right-of-use-assets) or intangible assets or both
during the current or previous year.

43.8 Willful Defaulter:

The Company is not declared as willful defaulter by any bank or financial institution (as defined under the Companies Act,
2013) or consortium thereof or other lender in accordance with the guidelines on willful defaulters issued by the Reserve Bank
of India.

43.9 Details of Transaction with Struck of Companies:

There are no Transactions with Struck of Companies during the Current and Previous Year.

44 The previous year figures have been regrouped/ reclassified, wherever necessary to confirm to the current year presentation.

The accompanying notes are an integral part of the financial statements.

As per our report of even date attached For and on behalf of the Board of Directors

For and on behalf of
Azad Jain & Co

Chartered Accountants B. M. Bhansali

FR.No: 006251C Chairman & Managing Director

Rishabh Verdia Jayesh B. Bhansali Ashwin Patel

Partner Joint Managing Director cum CFO Company Secretary

M. No. 400600

Place : Mumbai Place : Mumbai

Dated : 26^th April, 2025 Dated : 26^th April, 2025

UDIN : 25400600BMOASE8813