n. Provisions and contingencies

Provisions are recognised only when:

a. the Company has a present obligation (legal or constructive) as a result of a past event; and

b. it is probable that an outflow of resources embodying economic benefits will be required to settle the
obligation; and

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

Provision is measured using the cash flows estimated to settle the present obligation and when the effect of
time value of money is material, the carrying amount of the provision is the present value of those cash flows.
Reimbursement expected in respect of expenditure required to settle a provision is recognised only when it is
virtually certain that the reimbursement will be received.

Contingent liability is disclosed in case of:

- a present obligation arising from past events, when it is not probable that an outflow of resources will be
required to settle the obligation.

- present obligation arising from past events, when no reliable estimate is possible

- a possible obligation arising from past events where the probability of outflow of resources is not remote.

Contingent asset is not recognised in the financial statements. A contingent asset is disclosed, where an inflow
of economic benefits is probable.

Provisions, contingent liabilities and contingent assets are reviewed at each balance sheet date.

Provision for onerous contracts: Where the unavoidable costs of meeting the obligations under the contract
exceed the economic benefits expected to be received under such contract, the present obligation under the
contract is recognised and measured as a provision for onerous contract/foreseeable losses.

o. Earnings per share (EPS)

Basic EPS is calculated by dividing the profit for the year attributable to equity holders of the Company by the
weighted average number of equity shares outstanding during the financial year.

Diluted Earnings per share is calculated by dividing net profit attributable to the equity shareholders of the
Company with the weighted average number of shares outstanding during the financial year, adjusted for effects
of diluting potential equity shares towards ESOP plan.

p. Financial instruments

A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or
equity instrument of another entity.

Financial assets

Initial recognition and measurement:

All financial assets are initially measured at fair value. However, trade receivables that do not contain a significant
financing component are measured at transaction price. In case of financial assets not recorded at fair value
through profit or loss (FVTPL), transaction cost is attributed to the acquisition value of the financial asset.
Transaction cost of financial assets carried at FVTPL is expensed in the statement of profit and loss.

Subsequent measurement:

For subsequent measurement, the Company classifies its financial assets in the following measurement
categories:

Financial assets measured at amortised cost.

Financial assets measured at fair value (either through OCI, or through profit or loss);

The classification depends on the Company's business model for managing the financial assets and the
contractual terms of cash flows.

i. Financial assets measured at amortised cost

A financial asset is measured at the amortised cost if both the following conditions are met:

a. The Company's business model objective for managing the financial asset is to hold financial assets to
collect contractual cash flows, and

b. The contractual terms of the financial asset give rise on specified dates to cash flows that are solely
payments of principal and interest on the principal amount outstanding.

This category applies to cash and bank balances, trade receivables, loans and other financial assets of the
Company (Refer note 37 for further details). Such financial assets are subsequently measured at amortised
cost using the effective interest method. The effect of the amortisation under effective interest method
is recognised as interest income over the relevant period of the financial asset under other income in the
Statement of Profit and Loss. The amortised cost of a financial asset is also adjusted for loss allowance, if
any.

ii. Financial assets measured at fair value through other comprehensive income (FVTOCI)

A financial asset is measured at FVTOCI if both of the following conditions are met:

a. The Company's business model objective for managing the financial asset is achieved both by collecting
contractual cash flows and selling the financial assets, and

b. The contractual terms of the financial asset give rise on specified dates to cash flows that are solely
payments of principal and interest on the principal amount outstanding.

This category applies to certain investments in debt instruments (Refer note 37 for further details). Such
financial assets are subsequently measured at fair value at each reporting date. Fair value changes are
recognised in the Other Comprehensive Income (OCI). However, the Company recognises interest income
and impairment losses and its reversals in the Statement of Profit and Loss.

On derecognition of such financial assets, cumulative gain or loss previously recognised in OCI is reclassified
from equity to Statement of Profit and Loss.

Further, the Company, through an irrevocable election at initial recognition, may measure certain investments
in equity instruments at FVTOCI (Refer note 37 for further details). The Company has made such election on
an instrument-by-instrument basis. These equity instruments are neither held for trading nor are contingent
consideration recognised under a business combination. Pursuant to such irrevocable election, subsequent
changes in the fair value of such equity instruments are recognised in OCI. However, the Company recognises
dividend income from such instruments in the Statement of Profit and Loss when the right to receive
payment is established, it is probable that the economic benefits will flow to the Company and the amount
can be measured reliably. On derecognition of such financial assets, cumulative gain or loss previously
recognised in OCI is not reclassified from the equity to Statement of Profit and Loss. However, the Company
may transfer such cumulative gain or loss into retained earnings within equity.

iii. Financial assets measured at fair value through profit or loss (FVTPL)

A financial asset is measured at FVTPL unless it is measured at amortised cost or at FVTOCI as explained
above. This is a residual category applied to all other investments of the Company excluding investments in
subsidiary and associate companies (Refer note 37 for further details).

Such financial assets are subsequently measured at fair value at each reporting date. Fair value changes are
recognised in the Statement of Profit and Loss.

Derecognition

A financial asset is derecognised when the right to receive cash flows from the assets has expired, or has been
transferred, and the Company has transferred substantially all the risks and rewards of ownership.

I n cases where Company has neither transferred nor retained substantially all the risks and rewards of the
financial asset, but retains control of the financial asset, the Company continues to recognise such financial
asset to the extent of its continuing involvement in the financial asset. In that case, the Company also recognises
an associated liability. The financial asset and the associated liability are measured on a basis that reflects the
rights and obligations that the Company has retained.

Impairment of financial assets

The Company applies expected credit loss (ECL) model for measurement and recognition of impairment loss on
the assets carried at amortised cost and FVTOCI debt instruments. The impairment methodology applied depends
on whether there has been a significant increase in credit risk. Note 37 details how the Company determines
whether there has been a significant increase in credit risk.

For trade receivables alone, the Company applies the simplified approach permitted by 'Ind AS 109-Financial
instruments', which requires expected lifetime losses to be recognised from initial recognition of the receivables.

Non-derivative financial liabilities
Initial recognition and measurement

All non-derivative financial liabilities are initially measured at fair value. In case of non-derivative financial
liabilities not recorded at fair value through profit or loss (FVTPL), transaction cost is attributed to the acquisition
of the financial liability. Transaction cost of non-derivative financial liabilities carried at FVTPL is expensed in the
statement of profit and loss.

Subsequent measurement

All financial liabilities of the Company are subsequently measured at amortised cost using the effective interest
method (Refer note 37 for further details). The cumulative amortisation using the effective interest method of
the difference between the initial recognition amount and the maturity amount is added to the initial recognition
value (net of principal repayments, if any) of the financial liability over the relevant period of the financial liability to
arrive at the amortised cost at each reporting date. The corresponding effect of the amortisation under effective
interest method is recognised as interest expense under finance cost in the Statement of Profit and Loss.

Derecognition

A financial liability is derecognised when the obligation under the liability is discharged or cancelled or expired.
When an existing financial liability is replaced by another liability from the same lender on substantially different
terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated
as the derecognition of the original liability and the recognition of a new liability. The difference in the respective
carrying amounts is recognised in the statement of profit or loss.

Offsetting of financial assets and financial liabilities

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

Financial guarantee contracts

Financial guarantee contracts are recognised as a financial liability at the time the guarantee is issued. The
liability is initially measured at fair value and subsequently at the higher of the amount determined in accordance
with 'Ind AS 37-Provisions, contingent liabilities and contingent assets and the amount initially recognised less
cumulative amortisation, where appropriate.

The fair value of financial guarantees is determined as the present value of the difference in net cash flows
between the contractual payments under the debt instrument and the payments that would be required without
the guarantee, or the estimated amount that would be payable to a third party for assuming the obligations.

q. Cash and cash equivalents

Cash and cash equivalents in the balance sheet comprise cash at banks and on hand and short-term deposits
with an original maturity of three months or less, which are subject to an insignificant risk of changes in value.

r. Share-based payments

The fair value of equity-settled share-based payments (such as employee stock options) is measured at the grant
date and recognized as an employee benefit expense over the vesting period, with a corresponding increase in
equity (employee stock option reserve).

The vesting period is the time during which the employee must meet specific conditions to receive the award. At
each reporting date, the Company reviews and updates its estimate of the number of options expected to vest,
based on service and non-vesting conditions. Any changes in these estimates are reflected in the statement of
profit and loss, with a corresponding adjustment to equity.

s. Cash dividend to equity holders

The Company recognises a liability to make cash distributions to equity holders when the distribution is authorised,
and the distribution is no longer at the discretion of the Company. As per the Companies Act, 2013, a distribution
is authorised when it is approved by the shareholders. A corresponding amount is recognised directly in equity.

t. Exceptional items

An item of income or expense which by its size, nature or incidence requires disclosure in order to improve an
understanding of the performance of the Company is treated as an exceptional item and disclosed as such in the
financial statements.

2.3 Material accounting judgments, estimates and assumptions

The preparation of the standalone financial statements in conformity with Ind AS requires the management to make
certain judgments, estimates and assumptions. These judgments, estimates and assumptions affect the reported
amounts of revenue, expenses, current assets, non-current assets, current liabilities, non-current liabilities and
disclosure of the contingent liabilities at the end of each reporting period. Uncertainty about these assumptions and
estimates could result in outcomes that require a material adjustment to the carrying amount of assets or liabilities
effected in future periods.

Detailed information about each of these estimates and judgements is included in relevant notes.

The areas involving critical estimates and judgements are:

• Determining the revenue to be recognised in case of performance obligation satisfied over a period of time. Refer
note 29

• Determining the expected losses, which are recognised in the period in which such losses become probable
based on the expected total contract cost as at the reporting date. Refer note 29

• Determining the method to be applied to arrive at the variable consideration including variations and
claims(including liquidated damages) requiring an adjustment to the transaction price. Refer note 29

• Estimation of defined benefit obligation - Note 33

The cost of the defined benefit gratuity, and the present value of the gratuity obligation are determined using
actuarial valuations. An actuarial valuation involves making various assumptions that may differ from actual
developments in the future. Information about the various estimates and assumptions made in determining the
present value of defined benefit obligations are disclosed in note 32.

• Recognition of deferred tax assets - Note 26

The Company uses judgement based on the relevant rulings in the areas of allocation of revenue, costs, allowances
and disallowances in determining the provision for income tax. The Company exercises its judgement to reassess
the carrying amount of deferred tax assets at the end of each reporting period.

• Impairment of trade receivables - Note 38

The Company uses a simplified approach for recognising expected credit loss. The amount of provision depends
on certain parameters set by the Company in its provisioning policy. The setting up of parameters requires
significant judgement and estimation. The same is reviewed by the management at a regular frequency.

• Estimate of useful life of assets - Note 3

The Company determines, based on independent technical assessment, the estimated useful lives of its property,
plant and equipment and intangible assets for calculating depreciation and amortisation. This estimate is
determined after considering the expected usage of the asset or physical wear and tear. Management reviews
the residual value and useful lives periodically and future depreciation and amortisation charge would be adjusted
where the management believes the useful lives differ from previous estimates.

• Fair Value Measurement-Note 37

When the fair values of financial assets and financial liabilities recorded in the balance sheet cannot be measured
based on quoted prices in active markets, their fair value is measured using valuation techniques including the
DCF model. The inputs to these models are taken from observable markets where possible, but where this is not
feasible, a degree of assumption is required in establishing fair values. Assumptions include considerations of
inputs such as liquidity risk, credit risk and volatility. Changes in assumptions about these factors could affect the
reported fair value of financial instruments.

Estimation and underlying assumptions are reviewed on ongoing basis. Revisions to estimates are recognised
prospectively.

2.4 New and amended standards

The Company applied for the first-time certain standards and amendments, which are effective for annual periods
beginning on or after 1 April 2025. The Company has not early adopted any standard, interpretation or amendment that
has been issued but is not yet effective.

(i) Amendments to Ind AS 21 - Lack of exchangeability

The Ministry of Corporate Affairs (MCA) notified the Companies (Indian Accounting Standards) Amendment
Rules, 2025, which amend Ind AS 21, The Effects of Changes in Foreign Exchange Rates to specify how an entity
should assess whether a currency is exchangeable and how it should determine a spot exchange rate when
exchangeability is lacking.

The amendments do not have a material impact on the Company's financial statements.

(ii) Amendments to Ind AS 1-Classification of Liabilities as Current or Non-current and Non-current Liabilities with
Covenants

The amendments do not have a material impact on the Company's financial statements.

(iii) Amendments to Ind AS 7 and Ind AS 107-Supplier Finance Arrangements

In August 2025, the MCA notified amendments to Ind AS 7 Statement of Cash Flows and Ind AS 107 Financial
Instruments: Disclosures to clarify the characteristics of supplier finance arrangements and require additional
disclosure of such arrangements.

The amendments do not have a material impact on the Company's financial statements.

(iv) International Tax Reform-Pillar Two Model Rules - Amendments to Ind AS 12

These amendments did not have any impact on the amounts recognised in current or prior periods and are not
expected to significantly affect the future periods.

Note :

- The write-down of inventories for the year amounts to ' 12.007 (March 31, 2025: ' 15.770). These write-downs have
been recognized as an expense during the year and are included under "Cost of materials consumed".

- Inventories are pledged as security against cash credit facilities availed by the Company for working capital purposes
from banks.

- Inventories include materials lying at project sites, warehouses and with third parties amounting to ' 386.925
(31 March 2025: ' 824.000), in the ordinary course of business.

b. Terms/ Rights attached to equity shares :

The Company has only one class of equity shares having a par value of ' 2 per share. Each holder of the equity
shares is entitled to one vote per share. The Company declares and 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.

In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets
of the company after distributing all preferential amounts.

c. Shares held by holding/ultimate holding company and/or their subsidiaries/associates :

The Company does not have any holding or ultimate holding Company.

d. Details of shareholders holding more than 5% shares in the company :

f. Shares reserved for issue under options :

For shares reserved for issue under the Employee Stock Option Plan (ESOP) please refer note 34.

g. There are no bonus shares issued, shares issued for consideration other than cash and shares bought back
during the period of five years immediately preceding the reporting date.

h. During the year ended 31 March 2026, the Company had paid the final dividend of ' 6.000 per equity share for the
year ended 31 March 2025 amounting to ' 1102.879.

The Board of directors, at their meeting held on 28 May 2026 recommended the final dividend of ' 3.60 per equity
share for the year ended 31 March 2026 subject to approval from shareholders. On approval, the total dividend
outflow is expected to be ' 661.727 based on number of shares outstanding as at 31 March 2026.

1. Capital Reserve - The company had recognised profit or loss on purchase, sale, issue or forfeiture/ cancellation of own
equity instrument to capital reserve.

2. Amalgamation Reserve - Amalgamation reserve represents reserve created on amalgamation under pooling of
interests method, representing the difference between consideration and net assets/share capital in past.

3. Capital Redemption Reserve - The Company had bought back its share in the past. In accordance with section 69 of the
Companies Act, 2013, Capital Redemption Reserve is created (which represent nominal value of share bought back).

4. Securities premium- Securities premium is used to record the premium on issue of shares. This reserve can be utilised
only in accordance with the provisions of the Companies Act, 2013.

5. Share option outstanding account - The Company has established equity-settled share based payment plans for
certain categories of executives.

6. General Reserve - The Company has transferred a portion of the net profit of the Company before declaring dividend to
general reserve pursuant to the earlier provisions of Companies Act 1956. Mandatory transfer to general reserve is not
required under the Companies Act 2013.

7. Debt instruments through Other Comprehensive Income - The Company has elected to recognize changes in the fair
value of certain investments in debt instruments in other comprehensive income. These changes are accumulated
within the debt instruments through other comprehensive income within equity.

8. Retained earnings - It includes profits/(loss) that the Company has earned/incurred till date, less any transfers to
general reserve, dividends or other distributions paid to shareholders. It also include re-measurement loss/(gain) on
defined benefit plans, net of taxes that will not be reclassified to Statement of Profit and Loss.

* The claims against the Company primarily relate to demands arising under Section 156 of the Income-Tax Act, 1961,
specifically involving the computation of interest for Assessment Year 2021-22. These matters are currently pending
before the Deputy Commissioner of Income Tax. Management believes that its position is likely to be sustained upon
final resolution and does not expect any material impact on the Company's financial position or results of operations.
** The Company has received GST demands in relation to a corporate guarantee for inter-company transactions
pertaining to financial years 2017-18 to 2022-23 and certain cases involving taxation of advances pertaining to
2020-21 and 2021-22 which are currently pending before the Appellate Authorities/Tribunal. Based on its assessment
and legal advice, Management expects its position to be sustained and does not anticipate any material impact on the
Company's financial position or results of operations.

As regular projects life cycle lasts 12-24 months, the company expects that significant portion of remaining
performance obligation, will be completed withing next two financial years.

Contract assets primarily relate to the Company's rights to consideration for work completed but not billed
at the reporting date. The Contract assets are transferred to Trade receivables on completion of milestones
and its related invoicing.

The Contract liabilities relate to unearned revenue and customer advances where performance obligations
are yet to be fulfilled as per the contracts. The fulfilment of the performance obligations will extinguish these
liabilities and revenue will be recognised.

The payment is due from the date of invoice and payment terms are in the range of 30 days to 120 days.
The Company expects that the period between when the entity transfers a promised good or service to
a customer and when the customer pays for that good or service will be less than one year. Therefore,
Company does not adjust the promised amount of consideration for the effects of financing component.

33 Employee benefits

a) Defined contribution plans

The Company has recognised ' 120.465 (31 March 2025: ' 112.936) towards post-employment defined
contribution plans comprising of provident fund, Employee State Insurance Scheme, National Pension Scheme
and superannuation fund in the statement of profit and loss.

b) Defined benefit plan

I n accordance with the Payment of Gratuity Act, 1972, the Company is required to provide post-employment
benefit to its employees in the form of gratuity. The Company has maintained a fund with the Life Insurance
Corporation of India and ICICI Prudential Life Insurance to meet its gratuity obligations. In accordance with the
Standard, the disclosures relating to the Company's gratuity plan are provided below:

Risk Exposure and Asset Liability Matching

Provision of a defined benefit scheme poses certain risks, some of which are detailed hereunder, as companies
take on uncertain long term obligations to make future benefit payments.

1) Liability Risks

a. Asset-Liability Mismatch Risk

Risk which arises if there is a mismatch in the duration of the assets relative to the liabilities. By
matching duration with the defined benefit liabilities, the company is successfully able to neutralize
valuation swings caused by interest rate movements.

b. Discount Rate Risk

Variations in the discount rate used to compute the present value of the liabilities may seem small, but
in practice can have a significant impact on the defined benefit liabilities.

c. Future Salary Escalation and Inflation Risk

Since price inflation and salary growth are linked economically, they are combined for disclosure
purposes. Rising salaries will often result in higher future defined benefit payments resulting in a higher
present value of liabilities especially unexpected salary increases provided at management's discretion
may lead to uncertainties in estimating this increasing risk.

2) Asset Risks

All plan assets are maintained in a trust fund managed by LIC of India and ICICI Prudential Life Insurance.
The company has opted for a traditional fund wherein all assets are invested primarily in risk averse markets.
The company has no control over the management of funds but this option provides a high level of safety
for the total corpus. A single account is maintained for both the investment and claim settlement and hence
100% liquidity is ensured. Also interest rate and inflation risk are taken care of.

The liabilities for compensated absences represent the Company's obligations for Privileged/earned leave and
are classified as other long-term employee benefits. These liabilities are presented as current, as the Company
does not have an unconditional right to defer settlement of these obligations. Accordingly, the entire balance is
treated as a current obligation as at the reporting date. However, based on past experience, the Company does
not expect all employees to avail the full amount of accrued leave or require settlement within the next 12 months.
The expense/(gain) recognised in the statement of profit and loss for the year amounts to ' (8.558) million
(31 March 2025: ' 51.675 million).

d) The Code on Social Security, 2020

During the year ended 31 March 2026, the Central Government of India has notified the Code on Wages, 2019,
the Industrial Relations Code, 2020, the Code on Social Security ,2020 and the Occupational Safety, Health and
Working Conditions Code, 2020, collectively referred to as the 'New Labour Codes', effective from 21 November 2025
primarilyimpactingthewagedefinitiontobeconsideredforthepurposeofdefinedbenefitobligationrelatingtogratuity.
The new Labour Codes introduced by the Government of India, interalia, requires gratuity and leave encashment to
be calculated based on wages as defined in Act. This has resulted in an increase in liability for past service periods.
Company has also changed policy on compensated absences. Based on assessment of changed regulation
and company's policy for compensated absences, Company has recognised past service cost aggregating to
' 209.808 millions during the year in accordance with Ind As 19. The Company also recognized an incremental
liability of ' 29.000 million for contract labours. Other potential impacts for contract labours are being evaluated
but are not expected to be material. The Company continues to monitor the finalisation of Central/State Rules
and clarifications from the Government and would provide appropriate accounting effect as and when such
clarifications are issued/rules are notified.

34 Employee Stock Option Plan (ESOP)

In the Annual General Meeting of the Parent held on 22 July 2011, total of 9,238,936 stock options were approved under
the scheme "Employee Stock Option Plan 2011". During the previous years, a total of 79,74,700 options were issued
as ESOP 2011 - Grant I to XI, basis the eligibility and were exercised/ lapsed until 31 March 2024. During the previous
year 2024-25, 4,21,000 options are granted to Managing Director under ESOP 2011 - Grant XII. These stock options
will vest in a graded manner equally over the period of vesting starting from 3 February 2026, and each vesting taking
effect as per the terms of the grant

35 Expenditure on research & development activities

Revenue expenditure on research is charged under respective heads of account in the year in which it is incurred.
Capital expenditure on development consists of property, plant and equipment, Capital work in progress, Intangible
Assets and Intangible assets under development. The property, plant and equipment and Intangible Assets as included
above are depreciated / amortised on the same basis as per their respective categories. The break-up of Research and
development (R&D) capital and revenue expenditure is as below:

37 Fair value measurements

As per assessments made by the management, fair values of all financial instruments carried at amortised cost
(except investment in quoted non-convertible bonds) are not materially different from their carrying amounts since
they are either short term in nature or the interest rates applicable are equal to the current market rate of interest.

The Company has performed a fair valuation of its investment in mutual funds which are classified as fair value
through profit and loss (FVTPL) and bonds which are classified as fair value through other comprehensive income
(FVOCI) using quoted prices and fair valuations of foreign exchange forward contracts as per mark to market valuation
from bank.

The fair value of the financial assets and liabilities are included at the amount at which the instrument that would
be received to sell an asset or paid to transfer liability in an orderly transaction between market participants at the
measurement date.

The following methods and assumptions were used to estimate the fair values:

(i) The management assessed that the fair value of cash and cash equivalents, trade receivables, trade payables
and other current financial assets and liabilities approximate their carrying amounts largely due to the short term
maturities of these instruments.

(ii) The amortized cost using effective interest rate (EIR) of non-current financial assets consisting of security and
term deposits are not significantly different from the carrying amount.

(iii) The fair value of the financial assets and liabilities is included at the amount at which the instrument could be
exchanged in a current transaction between willing parties, other than in a forced or liquidation sale.

38 Financial risk management policy and objectives

The Company's principal financial liabilities, comprise lease liabilities and trade and other payables. The main purpose
of these financial liabilities is to finance company's operations and to provide guarantees to support its operations.
Company's principal financial assets include trade and other receivables, security deposits and cash and cash
equivalents, that derive directly from its operations.

In order to minimise any adverse effects on the financial performance of the Company, it has taken various measures.
This note explains the source of risk which the entity is exposed to and how the entity manages the risk and impact of
the same in the financial statements.

The company's risk management is carried out by management, under policies approved by the board of directors.
Company's treasury identifies, evaluates and hedges financial risks in close cooperation with the company's operating
units. The board provides written principles for overall risk management, as well as policies covering specific areas,
such as foreign exchange risk, credit risk, and investment of excess liquidity.

(A) Credit risk

Credit risk in case of the Company arises from cash and cash equivalents, deposits with banks and financial
institutions, as well as credit exposures to customers including outstanding receivables.

Credit risk management

Credit risk arises from the possibility that counter party may not be able to settle their obligations as agreed. To
manage this, the Company periodically assesses the reliability of customers, taking into account the financial
condition, current economic trends, and analysis of historical bad debts and ageing of accounts receivable.
Individual risk limits are set accordingly.

The company considers the probability of default upon initial recognition of asset and whether there has been a
significant increase in credit risk on an ongoing basis throughout each reporting period. To assess whether there
is a significant increase in credit risk, the Company compares the risk of a default occurring on the asset as at the
reporting date with the risk of default as at the date of initial recognition. It considers reasonable and supportive
forward looking information such as:

(i) Actual or expected significant adverse changes in business,

(ii) Actual or expected significant changes in the operating results of the counterparty,

(iii) Financial or economic conditions that are expected to cause a significant change to counterparty's ability to
meet its obligations,

(iv) Significant increases in credit risk on other financial instruments of the same counterparty,

(v) Significant changes in the value of collateral supporting the obligation or in the quality of third-party
guarantees or credit enhancements.

The Company provides for expected credit loss in case of trade receivables when there is no reasonable
expectation of recovery, such as a debtor declaring bankruptcy or failing to engage in a repayment plan with the
company etc.

The Company uses simplified approach for estimating the lifetime expected loss provision. The Company provides
expected loss based on the overdue number of days for receivables as per the provision matrix as decided by the
management which is based on the historical experience of recoverability. Where receivables have been written
off, the Company continues to engage in enforcement activity to attempt to recover the receivable due. Where
recoveries are made, these are recognised in profit or loss.

B) Liquidity risk

Prudent liquidity risk management implies maintaining sufficient cash and the availability of funding through an
adequate amount of committed credit facilities to meet obligations when due and to close out market positions.
Due to the dynamic nature of the underlying businesses, Company maintains flexibility in funding by maintaining
availability under committed credit lines.

Management monitors rolling forecasts of the Company's liquidity position (comprising the undrawn borrowing
facilities below) and cash and cash equivalents on the basis of expected cash flows. This is carried out in
accordance with practice and limits set by the Company. In addition, the Company's liquidity management policy
involves projecting cash flows and considering the level of liquid assets necessary to meet these, monitoring
balance sheet liquidity ratios against internal and external regulatory requirements and maintaining debt financing
plans.

(C) Foreign currency risk

The Company is exposed to foreign exchange risk mainly through its sales to overseas customers and purchases
from overseas suppliers in various foreign currencies.

The Company evaluates exchange rate exposure arising from foreign currency transactions and the Company
follows established risk management policies, including use of derivatives like foreign exchange forward contracts
to hedge exposure to foreign currency risk, where the economic conditions match the Company's policy.

41 Other Notes

i Title deeds of immovable property not held in the name of the company

The company does not have any immovable property whose title deeds are not in the name of the company.

ii Details of Benami Property

The Company does not own any benami property neither any proceedings are initiated or pending against the
Company under the Prohibition of Benami Property Transactions Act, 1988.

iii Borrowings secured against current assets

Though the Company does not have any fund based borrowings from banks or financial institutions on the basis
of security of current assets, it has filed quarterly returns or statements of current assets with banks or financial
institutions and the same are in agreement with the books of account read with notes given in the quarterly
returns or statements.

iv Wilful Defaulter

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

v Relationship with Struck off Companies

As per the information available with the Company, the Company has not entered into any transactions with
companies struck off under section 248 of the Companies Act, 2013 or section 560 of the Companies Act, 1956.

vi Registration of charges with ROC

There are charges amounting to ' 6131.550 million (31 March 2025: Charges amounting to ' 6131.550 million)
created in favour of banks which are pending for satisfaction. In respect of three charges amounting to
' 781.550 million (31 March 2025: ' 781.550 million), there are no outstanding dues to the banks and satisfaction
of the charge is pending due to technical issues which company is in the process of resolving.

vii Utilisation of Borrowed funds and share premium

The Company has not advanced or loaned or invested funds (either borrowed funds or share premium or any
other sources or kind of funds) to any other person or entity, including foreign entities (Intermediaries) with the
understanding (whether recorded in writing or otherwise) that the Intermediary shall (i) directly or indirectly lend
or invest in other persons or entities identified in any manner whatsoever by or on behalf of the company or (ii)
provide any guarantee, security or the like to or on behalf of the Company;

viii Loans or advances to specified persons

The Company has not granted any loans or advances in the nature of loans to promoters, directors, KMPs, or
other related parties. However, the Company has provided loans to employees as per the Company's policy. These
loans are neither granted severally nor jointly with any other person and are not:

(i) repayable on demand or

(ii) without specifying any terms or period of repayment.

ix Details of Crypto Currency or Virtual Currency

The Company has not traded or invested in Crypto currency or Virtual Currency during the financial year.

x Valuation of PP&E, right-of-use assets, intangible asset and investment property

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.

xi Utilisation of borrowings availed from banks and financial institutions

The Company does not have any borrowings availed from banks and financial institutions.

xii Compliance with number of layers of companies

The Company has complied with the requirement with respect to number of layers as prescribed under section
2(87) of the Companies Act, 2013 read with the Companies (Restriction on number of layers) Rules, 2017.

xiii Undisclosed income

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.

42 Capital management
Risk management

The Company's objectives when managing capital are to

- safeguard it's ability to continue as a going concern, so that it can continue to provide returns to shareholders and
benefits to other stakeholders, and

- Maintain an optimal capital structure to reduce the cost of capital.

In order to maintain or adjust the capital structure, the Company may adjust the amount of dividends paid to
shareholders, return capital to shareholders, issue new shares or sell assets to reduce debt. Consistent with others in
the industry, the Company monitors capital on the basis of the following gearing ratio: Net debt (total borrowings net
of cash and cash equivalents) divided by total 'equity' (as shown in the balance sheet).

43 Audit Trail and Audit Backup

a. The Company has used an accounting software for maintaining its books of account which has a feature
of recording audit trail (edit log) facility and the same has been operated throughout the year for all relevant
transactions recorded in the software except audit trail at database level due to absence of SOC report.

Further, audit trail feature has operated throughout the year for all relevant transactions recorded in the accounting
software. Also, there was no instance of audit trail feature being tampered with except for above. Additionally, the
audit trail of prior years has been preserved by the Company as per the statutory requirements for record retention
to the extent it was enabled and recorded in respective years.

b. With effect from August 5, 2022, the Ministry of Corporate Affairs (MCA) has amended the Companies
(Accounts) Rules, 2014, relating to maintenance of electronic books of account and other relevant books
and papers. Pursuant to this amendment, the Company is required to maintain the books of account which
are accessible in India at all times and their backup is to be kept on servers located in India on a daily basis.
The Company has a process to take daily back-up of books of account maintained in electronic mode and along
with the logs of the back-up of such books of account.

44 Exceptional Items:

a. Effective 21 November 2025, the Government of India consolidated 29 existing labour regulations into four Labour
codes, namely, The Code on Wages, 2019, The Industrial Relations Code, 2020, The Code on Social Security, 2020
and the Occupational Safety, Health and Working Conditions Code, 2020, collectively referred to as the 'New
Labour Codes'. The New Labour Codes have resulted in a one-time material increase in provision for employee
benefits on account of recognition of past service costs. Based on the requirements of the New Labour Codes
and ICAI clarification, the Company has assessed and accounted for a net incremental impact of ' 238.308
million, including an additional liability of ' 29.000 million relating to contract labour and is in the process of
evaluating other possible impacts. However, management is of the view that other impacts, if any, is unlikely to be
material. Considering the one-time material increase in provision the impact is recognised as 'Exceptional Item'
for the year ended 31 March 2026.

b. Exceptional Item for the year ended 31 March 2025 consists of profit on sale of land located at Nasarpur.

45 On 28 March 2025, a fire occurred at the R&D facility, resulting in a temporary disruption of R&D activities for a few
weeks. The facility was fully insured, and a claim amounting to ' 125.000 millions has been lodged with the insurance
company. The loss on account of fire accounting to ' 27.341 millions has been recorded in Profit & Loss Account. In
addition to this, Company has incurred capital expenditure for replacement of lossed asset amounting to ' 127.50
millions. The Company has received an advance amounting to ' 65.000 millions against the claim lodged during
the current year. As the final approval of the claim by the insurance authorities is pending, the advance has been
appropriately classified under 'Other Payables'

46 Standards/ Amendment to standards Issued but not effective

The below amendments to the existing standard are notified by Ministry of Corporate affairs but are not yet effective:
Amendment to Ind AS 1 'Presentation of Financial Statements'-

Classification of Liabilities as current or non-current and non-current liabilities with covenants. The amendment
includes specific provisions that will take effect for reporting periods beginning on or after 1 April 2026, retrospectively,
as outlined below:

a) Breach of material covenant for long-term loan arrangement on or before end of reporting period with effect
that liability becomes payable on demand as on reporting date, then it shall be classified as current liability, if
lender agreed after reporting period and before approval of financial statements to not demand payment as a
consequence of breach.

b) Classify as non-current liability, if lender agreed by end of reporting period to provide grace period ending at least
12 months after reporting period within which entity can rectify the breach provided lender does not demand
immediate repayment.

c) Disclose information about the timing of settlement to understand the impact of the liability on the financial
statements. The Company does not expect this amendment to have an impact on its operations or financial
statements."

47 Prior year figures have been regrouped and reclassified wherever necessary to ensure comparability with the current
period's presentation. The reclassification pertains to following:

a) Purchases of stock-in-trade are presented separately, which were earlier included under cost of materials
consumed;

b) Foreign exchange gains are reported under other income, which were earlier presented on the face of Profit and
Loss Statement;

c) Right-of-use assets are disclosed separately instead of being included within property, plant and equipment; and

d) Interest on defined benefit plans are reported under employee benefits expense, which were earlier included in
finance costs.