p. Provisions and Contingent Liabilities

Provisions are recognised when the Company
has a present obligation (legal or constructive)
as a result of a past event, it is probable that
an outflow of resources embodying economic
benefits will be required to settle the obligation

and a reliable estimate can be made of the
amount of the obligation.

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
recognised as a finance cost.

Contingent liabilities are disclosed when
there is a possible obligation arising from
past events, the existence of which will be
confirmed only by the occurrence or non¬
occurrence of one or more uncertain future
events not wholly within the control of the
Company or a present obligation that arises
from past events where it is either not probable
that an outflow of resources will be required to
settle the obligation or a reliable estimate of
the amount cannot be made.

q. Government Grants

The Company recognizes government grants
only when there is reasonable assurance
that the conditions attached to them shall be
complied with and the grants will be received.
Grants related to assets are treated as
deferred income and are recognized as other
operating income in the Statement of profit
& loss on a systematic and rational basis over
the useful life of the asset. Grants related to
income are recognized on a systematic basis
over the periods necessary to match them
with the related costs which they are intended
to compensate and are deducted from the
expense in the statement of profit & loss.

When the Company receives grants of non¬
monetary assets, the asset and the grant are
recorded at fair value amounts and released to
profit or loss over the expected useful life in a
pattern of consumption of the benefit of the
underlying asset i.e. by equal annual instalments.

Exports entitlements are recognised when the
right to receive credit as per the terms of the
schemes is established in respect of the exports
made by the Company and when there is no
significant uncertainty regarding the ultimate
collection of the relevant export proceeds.

r. Earnings Per Share

Basic earnings per share is computed by
dividing the net profit for the period attributable
to the equity shareholders of the Company by
the weighted average number of equity shares
outstanding during the period. The weighted
average number of equity shares outstanding
during the period is adjusted for events such
as bonus issue, bonus element in a rights
issue, share split, and reverse share split
(consolidation of 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 for the
period attributable to equity shareholders
and the weighted average number of shares
outstanding during the period is adjusted for
the effects of all dilutive potential equityshares.

s. Current and non-current classification

Based on the time involved between the
acquisition of assets for processing and their
realization in cash and cash equivalents, the
Company has identified twelve months as
its operating cycle for determining current
and non-current classification of assets and
liabilities in the balance sheet.

t. Dividend

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.

u. Measurement of EBITDA

The Company presents Earnings before
Interest expense, Tax, Depreciation and
Amortisation (EBITDA) in the statement of
profit or loss; this is not specifically required
by Ind AS 1. The terms EBITDA are not defined
in Ind AS. Ind AS complaint Schedule III allows
companies to present Line items, sub-line
items and sub-totals shall be presented as
an addition or substitution on the face of the
Financial Statements when such presentation
is relevant to an understanding of the
company's financial position or performance or

to cater to industry/sector-specific disclosure
requirements or when required for compliance
with the amendments to the Companies Act or
under the Indian Accounting Standards.

Accordingly, the Company has elected to
present earnings before interest expense, tax,
depreciation and amortization (EBITDA) as a
separate line item on the face of the Statement
of Profit and Loss. The company measures
EBITDA on the basis of profit/ (loss) from
continuing operations. In its measurement,
the Company does not include depreciation
and amortization expense, finance costs and
tax expense, but includes other income.

v. Rounding of amounts

All amounts disclosed in the standalone
Financial Statements and notes have been
rounded off to the nearest Lakhs (with two
places of decimal) as per the requirement of
Schedule III, unless otherwise stated.

w. New and amendments standards

The Ministry of Corporate Affairs (MCA) has
notified Companies (Indian Accounting
Standards) Amendment Rules, 2024 to amend
the following Ind AS which are effective for
annual periods beginning on or after 1 April
2024. The Company has not early adopted any
standard, interpretation or amendment that
has been issued but is not yet effective.

(i) Ind AS 117 Insurance Contracts

The Ministry of Corporate Affairs (MCA)
notified the Ind AS 117, Insurance Contracts,
vide notification dated 12 August 2024,
under the Companies (Indian Accounting
Standards) Amendment Rules, 2024.

The amendments had no impact
on the Company's standalone
financial statements.

(ii) Amendments to Ind AS 116 Leases -
Lease Liability in a Sale and Leaseback

The MCA notified the Companies
(Indian Accounting Standards) Second

Amendment Rules, 2024, which amend
Ind AS 116, Leases, with respect to Lease
Liability in a Sale and Leaseback.

The amendments had no impact
on the Company's standalone
financial statements.

x. Standards notified but not yet effective

The new and amended standards and
interpretations that are issued, but not yet
effective, up to the date of issuance of the
Company's financial statements are disclosed
below. The Company will adopt this new and
amended standard, when it becomes effective.

Lack of exchangeability - Amendments to
Ind AS 21

The Ministry of Corporate Affairs notified
amendments to Ind AS 21 The Effects of
Changes in Foreign Exchange Rates to specify
how an entity should assesswhether a currency
is exchangeable and how it should determine
a spot exchange rate when exchangeability
is lacking. The amendments also require
disclosure of information that enables users
of its financial statements to understand how
the currency not being exchangeable into
the other currency affects, or is expected to
affect, the entity's financial performance,
financial position and cash flows.

The amendments are effective for annual
reporting periods beginning on or after 1 April
2025. When applying the amendments, an
entity cannot restate comparative information.

The amendments are not expected to
have a material impact on the Group's
financial statements.

Note:

(a) Refer Note No. 3.46 & 3.47 for information about fair value measurement and Note No. 3.66 for impairment
assessment of Investment in certain subsidiaries and associates.

(b) As at March 31, 2024, the Company had investments in equity shares of Brillare Science Limited ("Brillare")
(Wholly Owned Subsidiary) aggregating H 3,568.60 lacs. During the previous year, the Company had given loan to
Brillare which was in the nature of equity and had been classified under the head equity investment in subsidiary
aggregating H 942.90 lacs (including interest), as the loan (including interest) was convertible into fixed number
of equity shares of Brillare.

During the current year, the Company has further given loan amounting to H 500 lacs to Brillare. The Company has
converted its total receivable amounting to H 1,496.89 (including interest) into 1,49,69,958 equity shares of Brillare.

(c) As at March 31, 2024, the Company had investments in equity shares of Helios Lifestyle Limited ("Helios")
aggregating H 7,719.08 lacs (stake of 50.40%). As per the agreement, the Company also had right to further invest
in Helios as per the agreed valuation matrix.

During the current year, the Company has exercised the rights to further invest in equity shares of Helios and
purchased the remaining stake from the shareholders for a total consideration of H 18,437.89 lacs (including
value of option and transaction cost amounting to H 674.88 lacs) and consequently, it became a wholly owned
subsidiary of the Company. The Company further invested H 1,000 lacs in Helios in the form of equity.

As agreed in the Shareholder's agreement, the Company is required to pay the consideration in three tranches,
out of which two tranches of H 5,921 lacs each have been paid and the remaining consideration amounting to H
5,921 lacs has been credited to "Other Financial Liabilities" (Refer Note no. 3.27).

(d) During the year, the Company has converted 10,165 Compulsorily Convertible Preference Shares (CCPS) of H
687.27 lacs into 4,994 fully paid equity shares of the Cannis Lupus Services India Private Limited ("CLSIPL") as
per the agreed valuation matrix, which has resulted in an increase in the Company's stake in CLSIPL from 30%
to 47%. As at the year ended, considering the financial performance of CLSIPL, the Company has performed
impairment assessment and accounted for an impairment loss of H 748.28 lacs (March 31, 2024 - Nil) based on
valuation done by an external valuer and disclosed the same under "Other Expenses".

Also, during the current year, Emami has further invested in H 499.89 lacs (including loan of H 300 lacs converted
into CCPS) in CCPS of CLSIPL under shareholder agreement. As per the terms of the CCPS, the Company is
entitled to convert such CCPS into fully paid up equity shares during FY 2025-26, at a conversion rate to be
determined based on the formula stipulated in the agreement.

3.5 INVESTMENTS (Contd..)

(e) As at March 31, 2024, the Company had acquired 26% stake in each of 'Axiom Ayurveda Private Limited ("AAPL"),
Axiom Food & Beverages Private Limited ("AFBPL") and Axiom Packwell Private Limited ("APPL")' (Axiom)
aggregating H 10,956.14 lacs. Further the Company also has right to further invest in Axiom.

As at the year ended, considering the financial performance of Axiom, the Company has performed impairment
assessment and accounted for an impairment loss of H 269.64 lacs (March 31, 2024 - Nil) based on valuation done
by an external valuer and disclosed the same under "Other Expenses ".

(f) Equity instruments designated at fair value through OCI include investment in equity shares of Emami Paper Mill
Limited. The Company holds non-controlling interest in Emami Paper Mill Limited. This investment was irrevocably
designated at fair value through OCI as the Company considers this investment to be strategic in nature.

(a) Refer Note No. 3.24 for information on receivables secured against borrowings.

(b) No trade receivable are due from directors or other officers of the company either severally or jointly with any
other person. Further, no trade receivable are due from firms or private companies respectively in which any
director is a partner, a director or a member.

(c) Refer Note No. 3.52 for information about credit risk and forign currency risk

(d) Refer Note No. 3.54 for information on receivables from related parties.

(e) Trade receivables are non-interest bearing and are generally on terms of 30 to 90 days.

(f) There are no unbilled receivables, hence the same is not disclosed in the ageing schedule.

(b) Terms and Rights attached to equity shares

The Company has only one class of equity shares having a par value of H 1 per share. Each holder of equity shares
is entitled to one vote per share. The Company declares & pays dividend in Indian Rupees. The dividend proposed
by the board of directors is subject to the approval of the shareholders in the ensuing Annual General Meeting
and is accounted for in the year in which it is approved by the shareholders in the general meeting.

In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining
assets of the Company after distribution of all preferential amounts. The distribution will be in proportion to the
number of equity shares held by the shareholders.

(d) Equity shares movement during 5 years preceding March 31, 2025
Equity shares extinguished on buy-back

The Company bought back 46,50,000 equity shares for an aggregate amount of H 22,909.70 lacs being 1.05%
of the pre-buyback total paid up equity share capital at H 491.68 average cost per equity share. The Buyback
commenced on April 13, 2023 and got completed on July 06, 2023.

The Company bought back 33,63,740 equity shares for an aggregate amount of H 16,121.45 lacs being 0.76%
of the pre-buyback total paid up equity share capital at H 479.27 average cost per equity share. The Buyback
commenced on February 09, 2022 and got completed on March 21, 2022.

The Company bought back 94,21,498 equity shares for an aggregate amount of H 19,198.73 lacs being 2.08%
of the pre-buyback total paid up equity share capital at H 203.78 average cost per equity share. The Buyback
commenced on March 29, 2020 and got completed on July 09, 2020.