1.3.13 - Provisions, Contingencies and commitments: -

Provisions are recognised when the Company has a present obligation (legal or
constructive) as a result of a past event, and it is probable that the Company will be
required to settle the obligation, and a reliable estimate can be made of the amount of the
obligation.

The amount recognised as a provision is the best estimate of the consideration required to
settle the present obligation at the end of the reporting period, taking into account the
risks and uncertainties surrounding the obligation. When a provision is measured using
the cash flows estimated to settle the present obligation, its carrying amount is the present
value of those cash flows (when the effect of the time value of money is material).

When some or all of the economic benefits required to settle a provision are expected to
be recovered from a third party, a receivable is recognised as asset if it is virtually certain
that reimbursement will be received and the amount of the receivable can be measured
reliably.

A disclosure for contingent liabilities is made when there is

(a) a possible obligation that arises from past events and whose existence will be
confirmed only by the occurrence or non-occurrence of one or more uncertain
future events not wholly within the control of the entity; or

(b) a present obligation that arises from past events but is not recognized because:

(i) it is not probable that an outflow of resources embodying economic benefits
will be required to settle the obligation; or

(ii) the amount of the obligation cannot be measured with sufficient reliability.

A contingent asset is a possible asset that arises from past events and whose existence will
be confirmed only by the occurrence or non-occurrence of one or more uncertain future
events not wholly within the control of the entity.

Commitments include the amount of purchase order (net of advances) issued to parties for
completion of assets.

Provisions, contingent liabilities, contingent assets and commitments are reviewed at each
reporting period.

Provisions for onerous contracts are recognized when the expected benefits to be derived
by the Company from a contract are lower than the unavoidable costs of meeting the
future obligations under the contract.

1.3.14 - Financial instruments: -

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

Financial assets and financial liabilities are initially measured at fair value. Transaction
costs that are directly attributable to the acquisition or issue of financial assets and
financial liabilities (other than financial assets and financial liabilities at fair value through
profit or loss) are added to or deducted from the fair value of the financial assets or
financial liabilities, as appropriate, on initial recognition. Transaction costs directly
attributable to the acquisition of financial assets or financial liabilities at fair value through
profit or loss are recognised immediately in profit or loss.

Financial Assets

Financial assets are recognised when the Company becomes a party to the contractual
provisions of the instruments. Financial assets other than trade receivables are initially
recognised at fair value plus transaction costs for all financial assets not carried at fair
value through profit or loss. Financial assets carried at fair value through profit or loss are
initially recognised at fair value, and transaction costs are expensed in the Statement of
Profit and Loss.

Financial assets, other than equity instruments, are subsequently measured at amortised
cost, fair value through other comprehensive income or fair value through profit or loss on
the basis of both:

(a) the entity's business model for managing the financial assets and

(b) the contractual cash flow characteristics of the financial asset.

Classification of financial assets

Debt instruments that meet the following conditions are subsequently measured at
amortised cost (except for debt instruments that are designated as at fair value through
profit or loss on initial recognition):

• the asset is held within a business model whose objective is to hold assets in order to
collect contractual cash flows; and

• the contractual terms of the instrument give rise on specified dates to cash flows that are
solely payments of principal and interest on the principal amount outstanding.

Debt instruments that meet the following conditions are subsequently measured at fair
value through other comprehensive income (except for debt instruments that are
designated as at fair value through profit or loss on initial recognition):

• the asset is held within a business model whose objective is achieved both by collecting
contractual cash flows and selling financial assets; and

• the contractual terms of the instrument give rise on specified dates to cash flows that are
solely payments of principal and interest on the principal amount outstanding.

All other financial assets are subsequently measured at fair value.

Effective interest method

The effective interest method is a method of calculating the amortised cost of a debt
instrument and of allocating interest income over the relevant period. The effective
interest rate is the rate that exactly discounts estimated future cash receipts (including all
fees and points paid or received that form an integral part of the effective interest rate,
transaction costs and other premiums or discounts) through the expected life of the debt
instrument, or, where appropriate, a shorter period, to the net carrying amount on initial
recognition.

Income is recognised on an effective interest basis for debt instruments other than those
financial assets classified as at FVTPL. Interest income is recognised in profit or loss and is
included in the “Other income” line item.

Impairment of financial assets

The Company recognises a loss allowance for Expected Credit Losses (ECL) on financial
assets that are measured at amortised cost and at FVOCI. The credit loss is difference
between all contractual cash flows 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 and supportable including that which is
forward-looking.

The Company trade receivables or contract revenue receivables do not contain significant
financing component and loss allowance on trade receivables is measured at an amount
equal to life time expected losses i.e. expected cash shortfall, being simplified approach for
recognition of impairment loss allowance.

Under simplified approach, the Company does not track changes in credit risk. Rather it
recognizes impairment loss allowance based on the lifetime ECL at each reporting date
right from its initial recognition. The Company uses a provision matrix to determine
impairment loss allowance on the portfolio of trade receivables.

The provision matrix is based on its historically observed default rates over the expected
life of the trade receivable and is adjusted for forward looking estimates. At every
reporting date, the historical observed default rates are updated and changes in the
forward-looking estimates are analysed.

The impairment losses and reversals are recognised in Statement of Profit and Loss. For
equity instruments and financial assets measured at FVTPL, there is no requirement for
impairment testing.

Derecognition of financial assets

The Company derecognises a financial asset when the contractual rights to the cash flows
from the asset expire, or when it transfers the financial asset and substantially all the risks
and rewards of ownership of the asset to another party. If the Company neither transfers
nor retains substantially all the risks and rewards of ownership and continues to control
the transferred asset, the Company recognises its retained interest in the asset and an
associated liability for amounts it may have to pay. If the Company retains substantially all
the risks and rewards of ownership of a transferred financial asset, the Company
continues to recognise the financial asset and also recognises a collateralised borrowing
for the proceeds received.

On derecognition of a financial asset in its entirety, the difference between the asset's
carrying amount and the sum of the consideration received and receivable and the
cumulative gain or loss that had been recognised in other comprehensive income and
accumulated in equity is recognised in profit or loss if such gain or loss would have
otherwise been recognised in profit or loss on disposal of that financial asset.

For financial assets other than trade receivables, the Company recognises 12-month
expected credit losses for all originated or acquired financial assets if at the reporting date
the credit risk of the financial asset has not increased significantly since its initial
recognition. The expected credit losses are measured as lifetime expected credit losses if
the credit risk on financial asset increases significantly since its initial recognition. If, in a
subsequent period, credit quality of the instrument improves such that there is no longer
significant increase in credit risks since initial recognition, then the Company reverts to
recognizing impairment loss allowance based on 12 months ECL.

On derecognition of a financial asset other than in its entirety (e.g. when the Company
retains an option to repurchase part of a transferred asset), the Company allocates the
previous carrying amount of the financial asset between the part it continues to recognise
under continuing involvement, and the part it no longer recognises on the basis of the
relative fair values of those parts on the date of the transfer. The difference between the
carrying amount allocated to the part that is no longer recognised and the sum of the
consideration received for the part no longer recognised and any cumulative gain or loss
allocated to it that had been recognised in other comprehensive income is recognised in
profit or loss if such gain or loss would have otherwise been recognised in profit or loss on
disposal of that financial asset. A cumulative gain or loss that had been recognised in other
comprehensive income is allocated between the part that continues to be recognised and
the part that is no longer recognised on the basis of the relative fair values of those parts.

Non Current Assets Held for Sale

The Company recognized some Non Current Assets held for sale, As per the Indian
Accounting Standards 105 the company has present a non current assets classified as held
for sale separately from other assets in the balance sheet. That asset has not been offset.
The company has classified noncurrent assets as held for sale Rs. 32,35,778.00 on that
cumulative depreciation amount Rs 2,53,152.87 Company has disclosed these non current
assets classified as held for sale is at book value.

As per Ind AS 105, assets being carried forward as assets held for sale from 2018-19
onwards have to complete the sale transaction in one year. The delay may have been
caused by events or circumstances that are beyond the control of the entity. The
management of the company was not in a position to sell the transaction in the last

financial year due to market conditions and COVID-19 pandemic, now the sale transaction
may be completed within the next one year considering the improvement in the market.

1.3.15 - Financial liabilities and equity instruments: -

Classification as debt or equity

Debt and equity instruments issued by the Company are classified as either financial
liabilities or as equity in accordance with the substance of the contractual arrangements
and the definitions of a financial liability and an equity instrument.

Equity instruments

An equity instrument is any contract that evidences a residual interest in the assets of an
entity after deducting all of its liabilities. Equity instruments issued by the company are
recognised at the proceeds received, net of direct issue costs.

Financial liabilities

However, financial liabilities that arise when a transfer of a financial asset does not qualify
for derecognition or when the continuing involvement approach applies, financial
guarantee contracts issued by the Company, and commitments issued by the Company to
provide a loan at below-market interest rate are measured in accordance with the specific
accounting policies set out below.

Financial liabilities at FVTPL

Financial liabilities are classified as at FVTPL when the financial liability is either
contingent consideration recognised by the Company as an acquirer in a business
combination to which Ind AS 103 applies or is held for trading or it is designated as at
FVTPL.

A financial liability is classified as held for trading if:

• it has been incurred principally for the purpose of repurchasing it in the near term; or

• on initial recognition it is part of a portfolio of identified financial instruments that the
Company manages together and has a recent actual pattern of short-term profit-taking; or

• it is a derivative that is not designated and effective as a hedging instrument.

A financial liability other than a financial liability held for trading or contingent
consideration recognised by the Company as an acquirer in a business combination to
which Ind AS 103 applies, may be designated as at FVTPL upon initial recognition if:

• Such designation eliminates or significantly reduces a measurement or recognition
inconsistency that would otherwise arise;

• the financial liability forms part of a company of financial assets or financial liabilities or
both, which is managed and its performance is evaluated on a fair value basis, in
accordance with the company documented risk management or investment strategy, and
information about the Companying is provided internally on that basis; or

• it forms part of a contract containing one or more embedded derivatives, and Ind AS 109
permits the entire combined contract to be designated as at FVTPL in accordance with Ind
AS 109.

Financial liabilities at FVTPL are stated at fair value, with any gains or losses arising on
measurement recognised in profit or loss. The net gain or loss recognised in profit or loss
incorporates any interest paid on the financial liability and is included in the 'Other
income' line item.

However, for non-held-for-trading financial liabilities that are designated as at FVTPL, the
amount of change in the fair value of the financial liability that is attributable to changes in
the credit risk of that liability is recognised in other comprehensive income, unless the
recognition of the effects of changes in the liability's credit risk in other comprehensive
income would create or enlarge an accounting mismatch in profit or loss, in which case
these effects of changes in credit risk are recognised in profit or loss. The remaining
amount of change in the fair value of liability is always recognised in profit or loss.
Changes in fair value attributable to a financial liability's credit risk that are recognised in
other comprehensive income are reflected immediately in retained earnings and are not
subsequently reclassified to profit or loss.

Gains or losses on financial guarantee contracts and loan commitments issued by the
Company that are designated by the Company as at fair value through profit or loss are
recognised in profit or loss.

Financial liabilities subsequently measured at amortised cost

Financial liabilities that are not held-for-trading and are not designated as at FVTPL are
measured at amortised cost at the end of subsequent accounting periods. The carrying
amounts of financial liabilities that are subsequently measured at amortised cost are
determined based on the effective interest method. Interest expense that is not capitalised
as part of costs of an asset is included in the 'Finance costs' line item.

The effective interest method is a method of calculating the amortised cost of a financial
liability and of allocating interest expense over the relevant period. The effective interest
rate is the rate that exactly discounts estimated future cash payments (including all fees
and points paid or received that form an integral part of the effective interest rate,
transaction costs and other premiums or discounts) through the expected life of the
financial liability, or (where appropriate) a shorter period, to the net carrying amount on
initial recognition.

Derecognition of financial liabilities

The Company derecognises financial liabilities when, and only when, the Company
obligations are discharged, cancelled or have expired. An exchange between with a lender
of debt instruments with substantially different terms is accounted for as an
extinguishment of the original financial liability and the recognition of a new financial
liability. Similarly, a substantial modification of the terms of an existing financial liability
(whether or not attributable to the financial difficulty of the debtor) is accounted for as an
extinguishment of the original financial liability and the recognition of a new financial
liability. The difference between the carrying amount of the financial liability derecognised
and the consideration paid and payable is recognised in profit or loss.

Reclassification of financial assets and liabilities

The Company determines classification of financial assets and liabilities on initial
recognition. After initial recognition, no reclassification is made for financial assets which
are equity instruments and financial liabilities. For financial assets which are debt
instruments, a reclassification is made only if there is a change in the business model for
managing those assets. Changes to the business model are expected to be infrequent. The
Company's senior management determines change in the business model as a result of
external or internal changes which are significant to the Company's operations. Such
change are evident to external parties. A change in the business model occurs when the
Company either begins or ceases to perform an activity that is significant to its operations.
If the Company reclassifies financial assets, it applies the reclassification prospectively
from the reclassification date which is the first day of the immediately next reporting
period following the change in the business model. The Company does not restate any
previously recognised gains, losses (including impairment gains or losses) or interest.

The following table shows various reclassifications and the how they are accounted for:

For assets and liabilities that are recognised 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 period.

For the purpose of fair value disclosures, the Company has determined classes of assets
and liabilities on the basis of the nature, characteristics and risks of the asset or liability
and the level of the fair value hierarchy as explained above.

1.3.16 Employee related Benefits

Defined Benefit Plans - General Description

Gratuity: Each employee rendering continuous service of 5 years or more is entitled to
receive gratuity amount equal to 15/26 of the monthly emoluments for every completed
year of service subject to maximum of 10 Lakhs at the time of separation from the
company.

Other long-term employee benefits - General Description

Leave Encashment: Each employee is entitled to get 15 earned leaves for each completed
year of service. Encashment of earned leaves is made at the end of the financial years.

The following tables summarise the components of net benefit expense recognised in the
statement of profit or loss and the funded status and amounts recognised in the balance
sheet for the respective plans:

Long term investments are stated at cost. In case, there is a decline other than temporary
in the value of the investment, a provision for same is made. Current investments are
valued at lower of cost or fair value.

1.4 Use of Estimates, Assumptions and Judgements

The preparation of the financial statements requires management to make judgments,
estimates and assumptions that affect the reported amounts of revenues, expenses, assets
and liabilities, and the accompanying disclosures including the disclosure of contingent
liabilities. Uncertainty about these assumptions and estimates could result in outcomes
that require an adjustment to the carrying amount of assets or liabilities in future periods.
Difference between actual results and estimates are recognised in the periods in which the
results are known / materialise. The Company has based its assumptions and estimates on
parameters available when the financial statements were prepared. Existing
circumstances and assumptions about future developments, however, may change due to
market changes or circumstances arising that are beyond the control of the Company. Such
changes are reflected in the assumptions when they occur.

The Company provides for tax considering the applicable tax regulations and based on
reasonable estimates. Management periodically evaluates positions taken in the tax
returns giving due considerations to tax laws and establishes provisions in the event if
required as a result of differing interpretation or due to retrospective amendments, if any.
The recognition of deferred tax assets is based on availability of sufficient taxable profits
in the Company against which such assets can be utilized. MAT (Minimum Alternate Tax)
is recognized as an asset only when and to the extent there is convincing evidence that the
Company will pay normal income tax and will be able to utilize such credit during the
specified period. In the year in which the MAT credit becomes eligible to be recognized as
an asset, the said asset is created by way of a credit to the Statement of Profit and loss and
is included in Deferred Tax Assets. The Company reviews the same at each balance sheet
date and if required, writes down the carrying amount of MAT credit entitlement to the
extent there is no longer convincing evidence to the effect that Company will be able to
absorb such credit during the specified period.

1.4.2 Useful life of Property, Plant and Equipment

The residual values, useful lives and methods of depreciation of property, plant and
equipment are reviewed at each financial year end and adjusted prospectively, if
appropriate.

1.4.3 Impairment of Non-financial assets

Non-financial assets are reviewed for impairment, whenever events or changes in
circumstances indicate that the carrying amount of such assets may not be recoverable. If
any such indication exists, the recoverable amount of the asset is estimated in order to
determine the extent of the impairment loss (if any).

1.4.4 Provision for decommissioning

In measuring the provision for ARO, the Company uses technical estimates to determine
the expected cost to dismantle and remove the infrastructure equipment from the site and
the expected timing of these costs. Discount rates are determined based on the risk
adjusted bank rate of a similar period as the liability.

1.4.5 Provisions and Contingent Liabilities

Provisions and contingent liabilities are reviewed at each balance sheet date and adjusted
to reflect the current best estimates.

Fair value of financial assets and financial liabilities

The management consider that the carrying amounts of non current and current financial
assets and liabilities recognised in the financial statements approximate their fair values.

Liquidity risk management

Ultimate responsibility for liquidity risk management rests with the board of directors,
which has established an appropriate liquidity risk management framework for the
management of the Company's short-term, medium-term and long-term funding and
liquidity management requirements. The Company manages liquidity risk by maintaining
adequate reserves, banking facilities and reserve borrowing facilities, by continuously
monitoring forecast and actual cash flows, and by matching the maturity profiles of
financial assets and liabilities.

a) Debt is defined as long-term and short-term borrowings (excluding derivative
and contingent consideration).

b) Net Equity is in Negative i.e -32,50,24,917/- Net Debt to equity ratio is not
calculated.

35. -Other Notes on Financials Statements.

All the balance shown under the heads Trade Receivables, Trade Payables, Loans and Advances,
Security Deposits, Other Current Assets, Other Current Liabilities and Unsecured Loans are subject
to confirmation and reconciliation.

a) Corporate Social Responsibility (CSR)

As the net worth of the company is below Rs. 500 Crores, Turnover is below Rs. 1000
Crores and net profit is below 5 Crores, provision of the section 135 of companies Act,
2013 are not applicable on the company.

b) Figures have been taken to nearest rupees. Previous year figures have been
regrouped / rearranged wherever considered necessary to make them
comparable with the Current Year figures.

c) Consumption of Raw Materials, Stores and Spares, Diesel, Furnace Oil,
Lubricants and Power etc. have been considered in the accounts as made
available by a Director of Company being technical in nature.

37. - Events after the reporting period:

In respect of the financial year ending March 31, 2025, no events are required to be
reported which occurred after the reporting period.

38. -Approval of financial statements:

The financial statements were approved for issue by the Board of Directors on 15^th May,
2025.

40. - 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. The Company operates in a competitive
environment and is exposed in the ordinary course of its business to risk related to
changes in foreign currency exchange rates, commodity prices and interest rates. The fair
value of future cash flows of sale of products manufactured and traded will depend upon
the demand and supply as well as import of raw material mainly from China which has
major effect on prices in local markets.

41. - Credit Risk

Credit risk refers to the risk that a counterparty will default on its contractual obligations
resulting in financial loss to the company. It encompasses of both, the direct risk of default
and the risk of deterioration of credit worthiness as well as concentration risks.
Company's credit risk arises principally from the trade receivable and advances.

Trade Receivables:

Customer credit risk is managed by the company through established policy, procedures
and controls relating to customer credit risk management. Credit quality of a customer is
assessed based on financial position, past performance, business/economic conditions,
market reputation, expected business etc. Based on that credit limits and credit terms are
decided. Outstanding customer receivables are regularly monitored.

Trade receivables consists of large number of customers spread across diverse segments
and geographical areas with no significant concentration of credit risk. The outstanding
trade receivables are regularly monitored and appropriate action is taken for collection of
overdue receivables.

The average credit period on sales of Pipes and PVC Tubes lignite is 60-180 days. Trade
receivables are disclosed below in the aged analysis and during the reporting period, the
Company has not recognized an allowance for doubtful debts because there has not been a
significant change in credit quality and the amounts are considered recoverable.

b) Income tax:

The Company have carry forward of losses therefore there is no income tax expense for the
year is recognized.

43.- Operating segment:

The Managing Director of the Company is Chief Operating Decision Maker (CODM) as
defined by Ind AS 108, Operating Segments. The CODM evaluates the Company's
performance and allocates resources based on an analysis of various performance
indicators, however only for Two segments viz. one is "Pipes includes DHPE/PVC Pipe,
irrigation System” and second one is Textile includes Mink Blanket. Hence the Company
considered business segment for reportable Segments as per Indian Accounting Standard
108 "Operating Segments".

44.- Earnings per share:

Basic EPS amounts are calculated by dividing the profit for the year attributable to equity
holders of the parent by the weighted average number of Equity shares outstanding
during the year.

Diluted EPS amounts are calculated by dividing the profit attributable to equity holders of
the parent (after adjusting for interest on the convertible preference shares) by the
weighted average number of Equity shares outstanding during the year plus the weighted
average number of Equity shares that would be issued on conversion of all the dilutive
potential Equity shares into Equity shares.

The following reflects the income and share data used in the basic and diluted EPS
computations:

As per our report of even date attached

For Amit Ramakant & Co. For and on behalf of the Board

Chartered Accountants
FRNo.009184C

CA. Amit Agrawal
Partner

M.No. 77407 Alok Jain Tijaria Vineet Jain Tijaria

Managing Director Whole-time Director & CFO
(DIN No.00114937) (DIN No.00115029)