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NOTES TO ACCOUNTS

Prerna Infrabuild Ltd.

You can view the entire text of Notes to accounts of the company for the latest year
Market Cap. (₹) 95.99 Cr. P/BV 0.93 Book Value (₹) 28.45
52 Week High/Low (₹) 51/22 FV/ML 10/1 P/E(X) 71.42
Bookclosure 23/09/2024 EPS (₹) 0.37 Div Yield (%) 0.00
Year End :2024-03 

xii. PROVISIONS,CONTINGENT LIABILITIES AND CONTINGENT ASSETS:

Provisions involving substantial degree of estimation in measurement are recognized when there is a present obligation as a result of past events, it is probable that there will be 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. Provisions are measured at the best estimate of the expenditure required to settle the present obligation at the Balance Sheet date. If the effect of the time value of money is material, provisions are discounted to reflect its present value using a current pre-tax rate that reflects the current market assessments of the time value of money and the risks specific to the obligation.

Contingent liabilities are disclosed when there is a possible obligation arising from past event, the existence of which will be confirmed only by occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the company or a present obligation that arise from past event 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 can not be made.

xiii. EARNINGS PER SHARE:

Basic earnings per share is calculated by dividing the net profit or loss for the period attributable to equity shareholders by the weighted average number of equity shares outstanding during the period. For the purpose of calculating diluted earnings per share, the net profit or loss for the period attributable to equity shareholders and the weighted average number of shares outstanding during the period are adjusted for the effects of all potential dilutive equity shares.

xiv. CASH AND CASH EQUIVALENTS:

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

For the purpose of the statement of cash flows, cash and cash equivalents consist of unrestricted cash and shortterm deposits, net of outstanding bank overdrafts as they are considered an integral part of the Company’s cash management. Cash flows are reported using the indirect method, whereby profit before tax is adjusted for the effects of transactions of a non-cash nature, any deferrals or accruals of past or future operating cash receipts or payment and item of income or expenses associated with investing or financing cash flows. The cash flows from operating, investing and financing activities of the company are segregated.

A. Overdraft against fixed deposits are secured by the pledge of the fixed deposits financed through overdraft financing viz FDOD

B. Loans in respect of Vehicals are secured by the hypothecation of the vehicles financed through loan agreement viz Motor Cars.

Note-30: Segment Reporting:

Factors used to identify the entity’s reportable segment, including the basis of organization:

For management purposes, the company has only one reportable segment namely: Real Estate and development in residential and commercial property. The Managing Director of the company acts as the Chief Operating Decision Maker (“CODM”). The CODM evaluates the company’s performance and allocates resources based on an analysis of various performance indicators.

3. Information about Major Customers:

Entity has entered the real estate transaction in the nature of sale of land at Survey No.86, TP No 64, Tragad to M/s Shiv Ashish Infra, a partnership firm having registered office at 501, Lilamani Corporate Height, Ramapir Tekro, Nava Vadaj (PAN:AEYFS0036A) of Rs.1700 Lakh which is more than 10% of total revenue of the entity for the financial year 2023-24.

Notes

#1 Debt represents all Habilties

#2 Earnings available for Debt service represents Profit After Tax Finance Cost

Depreciation and Amortization Loss/(profit) on sale of assets

#3 Debt Service represents Interest Principal Repayment Lease payments #4 Cost of goods sold represents construction material consumed during the during the year #5 Capital Employed represents Equity, external borrowings and Deferred tax liabilities #6 Revenue from Operations represents sale of services and other material sales.

#7 Construction expenses represents credit purchases during the year other direct construction expenses

Note 34: Contingent Liabilities:

1 For AY 2017-18 from Income Tax Department has raised the demand of Rs. 593.,63 Lakh in assessment proceeding. Company has filed appeal with CIT(A) and is of the opinion of getting success in appeal hence not provided in the books of account.

2 For AY 2022-23 Company has succeeded in assessment proceeding u/s 143(3), however IT department has wrongly added deferred tax into the profit and raised the demand of Rs.29.23 Lakh. Company has filed rectification application against the said order. Hence nothing has provided in the books.

NOTE-35 There are no proceedings initiated or pending against the Company for holding any Benami Property under the Benami Transactions (Prohibitions) Act, 1988.

NOTE-36 During the year Company has not traded or invested in Crypto Currency.

NOTE-37 The company does not have any immovable property in Property, Plant & Equipment for which the title deeds of immovable property are not held in the name of the company.

NOTE-38 Standard issued but not yet effective:

Ministry of Corporate Affairs (“MCA”) notifies new standards or amendments to the existing standards under Companies (Indian Accounting Standards) Rules as issued from time to time. For the year ended March 31, 2024, MCA has not notified any new standards or amendments to the existing standards applicable to the Company.

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