g) Provision and contingencies

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. When the
Company expects some or all of a provision to be reimbursed, the reimbursement is recognised as a
separate asset, but only when the reimbursement is virtually certain. The expense relating to a provision
is presented in the statement of profit and loss net of any reimbursement.

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.

h) Leases

A contract is, or contains, a lease if the contract conveys the right to control the use of an identified asset
for a period of time in exchange for consideration

The company as a lessee

Leases are recognised as a right-of-use asset and a corresponding liability at the date at which the leased
asset is available for use by the Company. Contracts may contain both lease and non-lease components.
The Company allocates the consideration in the contract to the lease and non-lease components based on
their relative stand-alone prices.

Assets and liabilities arising from a lease are initially measured on a present-value basis. Lease liabilities
include the net present value of the following lease payments:

> Fixed payments (including in-substance fixed payments), less any lease incentives receivable;

> Variable lease payments that are based on an index or a rate, initially measured using the index or
rate as at the commencement date;

> Amounts expected to be payable by the Company under residual value guarantees;

> The exercise price of a purchase option if the Company is reasonably certain to exercise that
option, and payments of penalties for terminating the lease, if the lease term reflects the Company
exercising that option.

Lease payments to be made under reasonably certain extension options are also included in the
measurement of the liability. The lease payments are discounted using the interest rate implicit in the lease.
If that rate cannot be readily determined, which is generally the case for leases in the Company, the lessee’s
incremental borrowing rate is used, being the rate that the individual lessee would have to pay to borrow
the funds necessary to obtain an asset of similar value to the right-of-use asset in a similar economic
environment with similar terms, security, and conditions. To determine the incremental borrowing rate,
the Company uses a build-up approach that starts with a risk-free interest rate adjusted for credit risk for
leases held by the Company, which does not have recent third-party financing and makes adjustments
specific to the lease, e.g. term, country, currency, and security.

Lease payments are allocated between principal and finance costs. The finance cost is charged to profit or
loss over the lease period to produce a constant periodic rate of interest on the remaining balance of the
liability for each period. Variable lease payments that depend on sales are recognized in profit or loss in
the period in which the condition that triggers those payments occurs. The lease liability is subsequently
remeasured by increasing the carrying amount to reflect interest on the lease liability, reducing the
carrying amount to reflect the lease payments made, and remeasuring the carrying amount to reflect any
reassessment or lease modifications or to reflect revised in-substance fixed lease payments. The Company
recognises the amount of the re-measurement of lease liability due to modification as an adjustment to
the right-of-use asset and statement of profit and loss depending upon the nature of the modification.

“Right-of-use assets are measured at cost comprising the following:

a) the amount of the initial measurement of the lease liability

b) any lease payments made at or before the commencement date less any lease incentives received

c) any initial direct costs, and

d) restoration costs.

The right-of-use asset is subsequently measured at cost less any accumulated depreciation, and accumulated
impairment losses, if any, and adjusted for any remeasurement of the lease liability. Right-of-use assets are
generally depreciated over the shorter of the asset’s useful life and the lease term on a straight-line basis.
The estimated useful lives of right-of-use assets are determined on the same basis as those of property,
plant, and equipment. If the Company is reasonably certain to exercise a purchase option, the right-of-use
asset is depreciated over the underlying asset’s useful life. Right-of-use assets are tested for impairment
whenever there is any indication that their carrying amounts may not be recoverable. Impairment loss, if
any, is recognised in the statement of profit and loss.

Payments associated with short-term leases of equipment and all leases of low-value assets are recognized
on a straight-line basis as an expense in profit or loss. Short-term leases are leases with a lease term of 12
months or less.

i) Cash and cash equivalents

Cash and cash equivalent 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.

For the purpose of the financial statement of cash flows, cash and cash equivalents consist of cash and
short-term deposits, as defined above, net of outstanding bank overdrafts (if any) as they are considered
an integral part of the Company’s cash management.

j) Earnings per share (‘EPS’)

Basic earnings per share are calculated by dividing the net profit or loss attributable to the equity holder
of the Company (after deducting preference dividends and attributable taxes) by the weighted average
number of equity shares outstanding during the period. Partly paid equity shares are treated as a fraction
of an equity share to the extent that they are entitled to participate in dividends relative to a fully paid
equity share during the reporting period. The weighted average number of equity shares outstanding
during the period is adjusted for events such as bonus issues, bonus element in a rights issue, share
splits, and reverse share splits (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 or loss for the period attributable
to equity shareholders of the Company and the weighted average number of shares outstanding during
the period are adjusted for the effects of all dilutive potential equity shares.

k) Cash flow statement

Cash flows are reported using the indirect method, whereby net profit/ (loss) before tax is adjusted for the
effects of transactions of a non-cash nature and any deferrals or accruals of past or future cash receipts or
payments. The cash flows from regular operating, investing, and financing activities of the Company are
segregated. Cash and cash equivalents in the cash flow statement comprise cash in hand and balance in
the bank in current accounts and deposit accounts.

l) Current versus non-current classification

The Company presents its assets and liabilities in the Balance Sheet based on current / non-current
classification.

An asset is treated as current when it is:

a) expected to be realised or intended to be sold or consumed in the normal operating cycle;

b) held primarily for the purpose of trading;

c) expected to be realised within twelve months after the reporting period; or

d) cash or cash equivalent unless restricted from being exchanged or used to settle a liability for at
least twelve months after the reporting period.

All other assets are classified as non-current. A liability is current when:

a) it is expected to be settled in the normal operating cycle;

b) it is held primarily for the purpose of trading;

c) it is due to be settled within twelve months after the reporting period; or

d) there is no unconditional right to defer the settlement of the liability for at least twelve months after
the reporting period.

All other liabilities are classified as non-current.

Deferred tax assets and liabilities are classified as non-current assets and liabilities.

The operating cycle is the time between the acquisition of assets for processing and their realisation in
cash and cash equivalents. The Company has identified twelve months as its operating cycle.

m) Contingent Liabilities

Disclosure of contingent liability is made 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 embodying economic benefits will be
required to settle or a reliable estimate of the amount cannot be made.

n) Event after the reporting period

Where events occurring after the Balance Sheet date provide evidence of conditions that existed at the end
of the reporting period, the impact of such events is adjusted within the Financial Statements. Otherwise,
events after the Balance Sheet date of material size or nature are only disclosed

o) Assumptions and key sources of estimation uncertainty

Information about estimates and assumptions that have a significant effect on the recognition and
measurement of assets, liabilities, income, and expenses is provided below. Actual results may differ from
these estimates.

i. Useful life of property, plant, equipment, and intangible assets

Management reviews its estimate of the useful life of PPE and intangible assets at each reporting
date, based on the future economic benefits expected to be consumed from the assets.

ii. Defined benefit obligation (DBO)

Impact of the DBO amount Management’s estimate of the DBO is based on a number of critical
underlying assumptions such as standard rates of inflation, medical cost trends, mortality, discount
rate, and anticipation of future salary increases. Variations in these assumptions may significantly
and the annual defined benefit expenses.

iii. Provision for income tax

Significant judgments are involved in determining the provision for income taxes, including the
amount expected to be paid/ recovered for uncertain tax positions.

iv. Recognition of deferred tax assets

The extent to which deferred tax assets can be recognized is based on an assessment of the probability
of the Company’s future taxable income against which the deferred tax assets can be utilized. In
addition, significant judgment is required in assessing the impact of any legal or economic limits or
uncertainties

c. Fair Value hierarchy of financial assets and liabilities measured at fair value:

The fair values of the financial assets and liabilities are included at the amount at which the instrument could be
exchanged in an orderly transaction in the principal (or most advantageous) market at the measurement date
under the current market condition regardless of whether that price is directly observable or estimated using
other valuation techniques.

The Company has established the following fair value hierarchy that categorises the values into 3 levels. The
inputs to valuation techniques used to measure fair value of financial instruments are:

Level 1: This hierarchy uses quoted (unadjusted) prices in active markets for identical assets or liabilities. The fair
value of all bonds which are traded in the stock exchanges is valued using the closing price or dealer quotations
as at the reporting date.

Level 2: The fair value of financial instruments that are not traded in an active market (For example traded bonds,
over the counter derivatives) is determined using valuation techniques which maximize the use of observable
market data and rely as little as possible on company specific estimates. The mutual fund units are valued using
the closing Net Asset Value. If all significant inputs required to fair value an instrument are observable, the
instrument is included in Level 2.

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

a. Credit Risk

Credit risk refers to risk that a counterparty will default on its contractual obligations resulting in financial
loss to the Company. Credit risk arises primarily from financial assets such as investment in mutual
funds, financial instruments, other balances with banks and other receivables. The Company has adopted
a policy of only dealing with counterparties that have sufficiently high credit rating. The Company’s
exposure and credit ratings of its counterparties are continuously monitored and the aggregate value of
transactions is reasonably spread amongst the counterparties.

b. Liquidity risk

Liquidity risk is defined as the risk that the Company will not be able to settle or meet its obligations on
time or at reasonable price. 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. Market risk

Market risk is the risk of loss of future earnings, fair values or future cash flows that may result from a
change in the price of a financial instrument. The value of a financial instrument may change as a result of
changes in the interest rates, foreign currency exchange rates, commodity prices, equity prices and other
market changes that affect market risk sensitive instruments. Market risk is attributable to all market risk
sensitive financial instruments including investments and deposits, foreign currency receivables, payables
and borrowings.

Capital Management

For the purpose of the Company’s capital management, capital includes issued capital and all other equity
reserves attributable to the equity shareholders of the Company. The primary objective of the Company when
managing capital is to safeguard its ability to continue as a going concern and to maintain an optimal capital
structure so as to maximize shareholder value. As at 31st March, 2024 and 31st March, 2023, the Company has
only one class of equity shares and has low debt. Consequent to such capital structure, there are no externally
imposed capital requirements. In order to maintain or achieve an optimal capital structure, the Company
allocates its capital for distribution as dividend or re-investment into business based on its long term financial
plans.

27. Impairment of Assets

No material impairment of Assets has been identified by the Company as such during the year. Hence, no
provision is required as per Ind AS -36 issued by the Institute of Chartered Accountants of India.

28. NBFC

The Company based on annual audited financial statements and the expert opinion obtained, is of the view that
the Company is not liable to get itself registered as a Non-Banking Financial Company (NBFC) under section
45 IA of the Reserve Bank of India Act,1934.

29. Disclosures as required by the Indian Accounting Standard (Ind AS) 24 “Related Party Transactions” are
given below:

There are no Companies/enterprises under the Micro, Small & Medium Enterprises Development Act,2006, to
whom the company owes dues on account of principal amount together with interest, and accordingly, no additional
disclosure has been made. The above information regarding micro, a small & medium enterprise has been determined
to the extent such parties have been identified based on information available with the Company.

Note 32

ADDITIONAL REGULATORY INFORMATION REQUIRED BY SCHEDULE III TO THE COMPANIES ACT,
2013

(i) The Company does not have any benami property held in its name. No proceedings have been initiated on or are
pending against the Company for holding benami property under the Benami Transactions (Prohibition) Act,
1988(45 of 1988) and Rules made thereunder.

(ii) The Company has not been declared wilful defaulter by any bank or financial institution or other lender or
government or any government authority.

(iii) 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

(iv) Utilisation of borrowed funds and share premium

i. The Company has not advanced or loaned or invested funds to any other person(s) or entity (ies),
including foreign entities (Intermediaries) with the understanding that the Intermediary shall:

(a) 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

(b) Provide any guarantee, security or the like to or on behalf of the ultimate beneficiaries

ii. The Company has not received any fund from any person(s) or entity(ies), including foreign entities
(Funding Party) with the understanding (whether recorded in writing or otherwise) that the Company
shall:

(a) 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

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

(v) 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.

(vi) The Company has not traded or invested in crypto currency or virtual currency during the year

(vii) The Company does not have any charges or satisfaction of charges which is yet to be registered with Registrar of
Companies beyond the statutory period.

(viii) The company has not entered into any transaction with struck off companies under section 248 of the
Companies Act, 2013 during the year.

Note 33

The outstanding balances as at 31^st March, 2025 in respect of trade receivables, trade payables, short-term loans and
advances and deposits are subject to confirmation from the respective parties and consequential reconciliation /
adjustments arising there from if any. The management, however, does not expect any material variation.

Note 34

Reliance is placed on the information given under section 164(2) of Companies Act, 2013 by the management /
directors relating to the directors and their directorship in other companies. There are no amounts due to and from
the companies, in which the directors are interested except as disclosed in the financial statements.

Disclosure as per regulation 34(3) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations

There are no loans and advances in the nature of loans given to subsidiaries, associates and others and investments in
shared of the company by such parties as at 31^st March, 2025 and 31^st March, 2024.

Note 36

In the opinion of the Board of Directors of the Company, the Current Assets, Loans and advances have a value on
realization in the ordinary course of business at least equal to the amount stated in the Balance sheet.

Note 37

Figures for the previous year have been given in the bracket and are regrouped, restated and rearranged wherever
considered necessary.

For Banka & Banka By Order of the Board of Directors

Chartered Accountants Amforge Industries Limited

(Firm Registration No. 100979W)

CA. Pradeep P. Banka Puneet Yogiraj Makar Jayesh Vinodchandra Thakkar

(Partner) Director Managing Director

(Membership No. 038800) DIN: 00364000 DIN:03474967

UDIN: 25038800BMHCQJ9035

Bhavna Balasubramanian M. Konar

Divyesh Shah Chief Financial Officer

Company Secretary
F- 2430

Place: Mumbai Place: Mumbai

Date: 27^th May, 2025 Date: 27^th May, 2025