does not recognize a contingent liability
but discloses its existence in the financial
statements. A disclosure of contingent liability
is made where there is a possible obligation or
a present obligation that may, but probably will
not require an outflow of resources.

2.17 Government grants

Government grants are recognised where there
is reasonable assurance that the grant will be
received and all attached conditions will be
complied with. When the grant or subsidy relates
to revenue, it is recognized as income on a
systematic basis in the statement of profit and
loss over the periods necessary to match them
with the related costs, which they are intended
to compensate. Where the grant relates to an
asset, it is recognized as deferred income and
is allocated to statement of profit and loss over
the periods and in the proportions in which
depreciation on those assets is charged.

When loans or similar assistance are provided
by governments or related institutions, with
an interest rate below the current applicable
market rate, the effect of this favourable interest
is regarded as a government grant. The loan or
assistance is initially recognised and measured
at fair value and the government grant is
measured as the difference between the initial
carrying value of the loan and the proceeds
received. The loan is subsequently measured
as per the accounting policy applicable to
financial liabilities.

2.18 Taxation
Current Income Tax

Current income tax assets and l iabil ities
are measured at the amount expected to
be recovered from or paid to the taxation
authorities. The tax rates and tax laws used to
compute the amount are those that are enacted
or substantively enacted, at the reporting date
in the countries where the Company operates
and generates taxable income.

Current tax is recognized in statement of profit
and loss, except when it relates to items that are
recognized in Other Comprehensive income
or Equity, in which case Current Tax is also
recognized in Other Comprehensive income
or Equity.

Management periodically evaluates positions
taken in the tax returns with respect to situations

in which applicable tax regulations are subject
to interpretation and establishes provisions
where appropriate.

Deferred Tax

Deferred tax is provided using the liability method
on temporary differences between the tax
bases of assets and liabilities and their carrying
amounts for financial reporting purposes at the
reporting date.

Deferred tax liabilities are recognised for all
taxable temporary differences, except:

(i) When the deferred tax liability arises from
the initial recognition of goodwill or an
asset or liability in a transaction that is not
a business combination and, at the time
of the transaction, affects neither the
accounting profit nor taxable profit or loss.

(ii) In respect of taxable temporary
differences associated with investments
in subsidiaries, associates and interests
in joint ventures, when the timing of the
reversal of the temporary differences can
be controlled and it is probable that the
temporary differences will not reverse in the
foreseeable future.

Deferred tax assets and liabilities are measured
at the tax rates that are expected to apply in the
year when the asset is realised or the liability is
settled, based on tax rates (and tax laws) that
have been enacted or substantively enacted
at the reporting date.

Deferred tax is recognized in statement of profit
and loss, except when it relates to items that are
recognized in Other Comprehensive income
or Equity, in which case Deferred Tax is also
recognized in Other Comprehensive income
or Equity.

2.19 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. All financial assets are recognised initially
at fair value plus, in the case of financial assets
not recorded at fair value through profit or loss,
transaction costs that are attributable to the
acquisition of the financial asset. Purchases or
sales of financial assets that require delivery
of assets within a time frame established by
regulation or convention in the market place

2 Terms/Rights attached to the equity shares

The Company has only one class of equity shares having par value of '10/- each. Each equity holder is entitled
to one vote per share and have a right to receive dividend as recommended by Board of Directors subject to the
necessary approval from the shareholders

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.

3 Shares held by holding/ultimate holding Company and/or their subsidiaries/associates

NIL

Notes:

1 Company's fund and non fund based working capital facilities of '52,50,00,000/- are secured by first charge by
way of hypothecation on pari passu basis with existing working capital lenders (State Bank of India- and HDFC Bank
Ltd.) over the company's entire current assets including stocks, WIP, receivables and finished goods and also the
second charge on the whole of the fixed assets of the Company on pari passu basis with working capital lenders.
Cash credit out standing balance include HDFC Bank 2915.86 Lakhs and SBI 2014.27 Lakhs

2 Company has taken loan of '500 Lakhs from a company where key management person is common. Outstanding
balance include accrued interest of '1.97 Lakhs.

Note: The information has been given in respect of such vendors to the extent they could be identified as " Micro and
Small" enterprises on the basis of information available with the Company.

32.7 Related Party Transactions :

(a) The Company has single Product,viz:" Forgings" consequently there are no Reportable Segments of the company
as per Ind AS 108 "Operating segments"

(b) Disclosures of transactions with Related Parties as required by Ind AS - 24 "Related Party Disclosures" is given below.

Related parties as defined under clause 3 of the Accounting Standard have been identified on the basis of
representations made by the Key Managerial Personnel, information available with the company and taken on
record by the Board.

34.4 Credit risk

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

Financial assests are written off when there is no reasonable expectations of recovery, such as a debtor failing to
engage in a repayment plan with the Company. Where loans or 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 recognized as income in the statement of profit and loss.

The Company measures the expected credit loss of trade receivables and loan from individual customers based on
historical trend, industry practices and the business environment in which the entity operates.Loss rates are based
on actual credit loss experience and past trends. Based on the historical data, loss on collection of receivable is
not material hence no additional provision considered.

Financial Assets are considered to be of good quality and there is no significant increase in credit risk.

37 AUDIT TRAIL :

The Company uses SAP ERP as the accounting software. SAP ensures an audit trail, providing standard functionality
and logging in all changed data in the system. This functionality and audit trail feature in SAP has been operational
throughout the year for all relevant transactions recorded through the application.

38 BENAMI PROPERTY :

The Company does not have any Benami property, where any proceeding has been initiated or pending against
the Company for holding any Benami

39 TRADING DISCLOSURE

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

40 LOANS AND ADVANCES

No funds (which are material either individually or in the aggregate) have been advanced or loaned or invested
(either from borrowed funds or share premium or any other sources or kind of funds) by the Company to or in any
other person(s) or entity(ies), including foreign entities (‘Intermediaries'), with the understanding, whether recorded
in writing or otherwise, that the Intermediary shall, directly or indirectly lend or invest in other persons or entities
identified in any manner whatsoever by or on behalf of the Company (‘Ultimate Beneficiaries') or provide any
guarantee, security or the like on behalf of the Ultimate Beneficiaries.

No funds (which are material either individually or in the aggregate) have been received by the Company from
any person(s) or entity(ies), including foreign entities (‘Funding Parties'), with the understanding, whether recorded
in writing or otherwise, that the Company shall, directly or indirectly, lend or invest in other persons or entities
identified in any manner whatsoever by or on behalf of the Funding Party (‘Ultimate Beneficiaries') or provide any
guarantee, security or the like on behalf of the Ultimate Beneficiaries.

41 UNDISCLOSED INCOME

The Company does not have any transaction which is not recorded in the books of accounts that has been
surrendered or disclosed as income during the year in the tax assessments under the Income Tax Act, 1961. (such
as, search or survey or any other relevant provisions of the Income Tax Act, 1961).

42 WILFUL DEFAULTER :

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

43 BOOKS OF ACCOUNTS :

As per the MCA notification dated August 05, 2022, the Central Government has notified the Companies (Accounts)
Fourth Amendment Rules, 2022. As per the amended rules, the Companies are required to maintain back-up of
the books of account and other relevant books and papers in electronic mode that should be accessible in India
at all the time. Also, the Companies are required to create backup of accounts on servers physically located in
India on a daily basis. The books of account along with other relevant records and papers of the Company are
maintained in electronic mode. The Company has server physically located in India for the daily backup of the
books of account and other books and papers maintained in electronic mode.

44 REGROUPING OF PREVIOUS YEAR'S FIGURES:

Previous Year's figures have been regrouped wherever necessary to make them comparable with those of the
current year.

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

For M. P. Chitale & Co.

Chartered Accountants

Firm Registration Number: 101851W

Sanat Ulhas Chitale Rohini G. Kalyani Abhijit Sen

Partner Executive Chairperson Director

Membership No. 143700 DIN:00519565 DIN: 00002593

Viraj Kalyani Nilesh Bandale

Managing Director Chief Finance Officer

DIN: 02268846

Place: Pune Rachana Agarwal

Date: 27^th May 2025 Company Secretary