u) Provisions, Contingent Liabilities, Contingent Assets and Commitments

(i) Provisions

Provisions are recognized 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.

(ii) Contingent Liabilities

Contingent liability is disclosed for (i) Possible obligations which will be confirmed only by
the future events not wholly within the control of the company or (ii) Present obligations
arising from past events where it is not probable that an outflow of resources will be
required to settle the obligation or a reliable estimate of the amount of the obligation cannot
be made.

(iii) Contingent Assets

Contingent Assets are not recognized but are disclosed in the notes to the financial
statements. However, when the realisation of income is virtually certain, then the related
asset is no longer a contingent asset, but it is recognised as an asset.

v) Earnings Per Share

Basic earnings per equity share are computed by dividing the net profit attributable to the equity
holders of the Company by the weighted average number of equity shares outstanding during the
period. Diluted earnings per equity share are computed by dividing the net profit attributable to
the equity holders of the Company by the weighted average number of equity shares considered
for deriving basic earnings per equity share and also the weighted average number of equity
shares that could have been issued upon conversion of all dilutive potential equity shares. The
dilutive potential equity shares are adjusted for the proceeds receivable had the equity shares
been actually issued at fair value (i.e. the average market value of the outstanding equity shares).
Dilutive potential equity shares are deemed converted as of the beginning of the period, unless
issued at a later date. Dilutive potential equity shares are determined independently for each
period presented.

The number of equity shares and potentially dilutive equity shares are adjusted retrospectively for
all periods presented for any share splits and bonus shares issues including for changes effected
prior to the approval of the financial statements by the Board of Directors.

w) Significant Accounting Judgements, Estimates and Assumptions:

The preparation of the financial statements requires management to make judgements, estimates
and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities, and
the accompanying disclosures, and the disclosure of contingent liabilities. Uncertainty about these
assumptions and estimates could result in outcomes that require a material adjustment to the
carrying amount of assets or liabilities affected in future periods. The key assumptions concerning
the future and other key sources of estimation uncertainty at the reporting date, that have a
significant risk of causing a material adjustment to the carrying amounts of assets and liabilities
within the next financial year, are described below. The Company based on its assumptions and
estimates on parameters available when the financial statements were prepared. However, existing
circumstances and assumptions about future developments may change due to market changes or
circumstances arising that are beyond the control of the Company. Such changes are reflected in
the assumptions when they occur.

Property, plant and equipment and Intangible Assets:

Management reviews the estimated useful lives and residual values of the assets annually in
order to determine the amount of depreciation to be recorded during any reporting period. The
useful lives and residual values as per Schedule II of the Companies Act, 2013 or are based on
the Company's historical experience with similar assets and taking into account anticipated
technological changes, whichever is more appropriate.

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 future taxable income against which the deferred tax assets can be utilized.

Contingencies:

Management has estimated the possible outflow of resources at the end of each annual reporting
financial year, if any, in respect of contingencies/claim/litigations against the Company as it is not
possible to predict the outcome of pending matters with accuracy.

Fair value measurements and Impairment of financial assets:

The impairment provisions for financial assets are based on assumptions about risk of default and
expected cash loss. The Company uses judgement in making these assumptions and selecting the
inputs to the impairment calculation, based on Company’s past history, existing market conditions
as well as forward looking estimates at the end of each reporting period.

Defined benefits plan:

The Cost of the defined benefit plan and other post-employment benefits and the present value of
such obligation are determined using actuarial valuations. An actuarial valuation involves making
various assumptions that may differ from actual developments in the future. These include the
determination of the discount rate, future salary increases, mortality rates and attrition rate. Due
to the complexities involved in the valuation and its long-term nature, a defined benefit obligation
is highly sensitive to changes in these assumptions. All assumptions are reviewed at each reporting
date.

Recoverability of trade receivable:

Judgements are required in assessing the recoverability of overdue trade receivables and
determining whether a provision against those receivables is required. Factors considered include
the credit rating of the counterparty, the amount and timing of anticipated future payments and
any possible actions that can be taken to mitigate the risk of non-payment.

Provisions:

Provisions and liabilities are recognised in the period when it becomes probable that there will be
a future outflow of funds resulting from past operations or events and the amount of cash outflow
can be reliably estimated. The timing of recognition and quantification of the liability require the
application of judgement to existing facts and circumstances, which can be subject to change. Since
the cash outflows can take place many years in the future, the carrying amounts of provisions and
liabilities are reviewed regularly and adjusted to take account of changing facts and circumstances.

32. Corporate Social Responsibility (CSR):

1. Brief outline on CSR Policy of the Company:

The CSR Policy sets out our commitment to ensuring that our activities extend beyond business
and includes initiatives and endeavours for the benefit and development of the community and
society. The CSR Policy lays down the guidelines for undertaking programmes geared towards
social welfare activities or initiatives. Through this CSR Policy, the Company proposes to adopt
short, medium and long term CSR programs and initiatives.

3. Web-link where Composition of CSR committee, CSR Policy and CSR projects approved by the
board are disclosed on the website of the company: www.nitincastings.com.

4. Impact Assessment of CSR Projects carried out in pursuance of sub-rule (3) of rule 8 of the
Companies (Corporate Social Responsibility Policy) Rules, 2014, if applicable: Not Applicable.

5. (a) Average Net Profit (last 3 immediate financial years) of the Company as per Section

135(5): Rs. 9,25,04,810/-

(b) Two percent of average net profit of the Company as per Section 135(5):Rs. 18,50,096/-

(c) Surplus arising out of the CSR projects or programmes or activities of the previous
financial years: Not Applicable.

(d) Amount required to be set off or the financial year, if any: Not Applicable.

(e) Total CSR obligation for the financial year (5b 5c- 5d): Rs. 18,50,096/-

6. (a) Amount spent on CSR Projects (both Ongoing Project and other than Ongoing Project): Rs.

18,50,096/-

(b) Amount spent in Administrative Overheads: NIL

(c) Amount spent on Impact Assessment, if applicable: NA

(d) Total amount spent for the Financial Year (a b c): Rs. 18,50,096/-

(e) CSR amount spent or unspent for the financial year:

7. Details of Unspent CSR amount for the preceding three financial years: Not Applicable

8. Whether any capital assets have been created or acquired through Corporate Social Responsibility
amount spent in the Financial Year: No

If Yes, enter the number of Capital assets created/ acquired: Not Applicable

Details relating to such asset(s) so created or acquired through Corporate Social Responsibility
amount spent in the Financial Year: No

9. Specify the reason(s), if the company has failed to spend two per cent of the average net profit as
per subsection (5) of section 135: Not Applicable

10. In accordance with the provision of section 135 of the Act, the Board of Directors of the company
has constituted CSR Committee. The details of CSR activities are as follows:

Assumptions regarding future mortality have been based on published statistics and mortality tables.

Notes:

i. The expected return on plan assets for the year ended 31/03/2025 is as furnished by LIC.

ii. The entire plan assets are managed by LIC.

iii. The estimate of future salary increase takes into account inflation, seniority, promotion and other
relevant factors.

iv. Discount rate is based on the prevailing market yields of Indian Government Bonds as at the
Balance Sheet date for the estimated term of the obligation.

35. In the opinion of the Board, current assets, loans and advances have a value on realization in the
ordinary course of business at least equal to the amount at which they are stated. The balances of Sundry
Debtors, Loans and advances, Deposits, some of the Sundry Creditors and Unsecured Loans are subject
to confirmations, reconciliation and adjustments, if any.

38. The Company has not received information from the suppliers regarding their status under the micro,
small and medium enterprises development act, 2006. Hence, disclosure, if any, relating to amount
unpaid as at the balance sheet date together with interest paid or payable as per the requirement under
the said act have not been made.

39. Financial Instruments- Fair Values

A. Accounting classification and fair values

The following table shows the carrying amounts and fair values of financial assets and financial
liabilities, including their levels in the fair value hierarchy. It does not include fair value information
for financial assets and financial liabilities if the carrying amount is a reasonable approximation of
fair value.

Note:

• Level 1- Quoted (unadjusted) market prices in active markets for identical assets or Liabilities.

• Level 2- Valuation techniques for which the lowest level input that is significant to the fair Value
measurement is directly or indirectly observable.

• Level 3- Valuation techniques for which the lowest level input that is significant to the fair Value
measurement is unobservable.

40. Financial risk management objectives

The Company's corporate treasury function provides services to the business, co-ordinates access to
domestic financial markets, monitors and manages the financial risk relating to the operation of the
Company through internal risk reports which analyse exposures by degree and magnitude of risk. These
risks include market risk (including currency risk, interest risk and other price risk), credit risk and
liquidity risk.

The use of financial derivatives is governed by the Company's policies approved by the board of directors,
which provide written principles on foreign exchange risk, interest rate risk, credit risk, the use of
financial derivatives and non-derivatives financial instruments, and the investment of excess liquidity.
Compliance with policies and exposure limit is reviewed by the management on a continuous basis. The
Company does not enter into or trade financial instrument, including derivative financial instruments,
for speculative purpose.

Foreign Currency risk management

The Company undertakes transactions denominated in foreign currencies; consequently, exposures
to exchange rate fluctuations arise. Exchange rate exposures are managed within approved policy
parameters utilising forward foreign exchange contracts where the amount is material.

Equity Risk

There is no material equity risk relating to the Company’s equity investments which are detailed in note
4 "Investments". The Company's equity investments majorly comprises of strategic investments rather
than trading purposes.

Interest Risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument that will
fluctuate because of changes in market rates. The Company's exposure to the risk of changes in market
rates related primarily to the Company's non-current debt obligation with floating interest rates. The
Company's policy is generally to undertake non-current borrowing using facilities that carry floating
interest rate. Moreover, the short term borrowings of the Company do not have a significant fair value or
cash flow interest rate risk due to their short tenure.

41. Cash Flow sensitivity analysis for variable rate instrument

The Company does not account for any fixed - rate financial assets or financial liabilities at fair value
through profit and loss, and the Company does not have any designated derivatives. Therefore, a change
in interest rates at the reporting date would not affect profit and loss for any of these fixed interest
bearing financial instruments.

Credit risk management

Credit risk refers to the risk that a counter party will default on its contractual obligation resulting in
financial loss to the Company. The Company uses its own trading records to evaluate the credit worthiness
of its customers. Credit risk is the risk of financial loss to the Company if a customer or counterparty to a
financial instrument fails to meet its contractual obligations, and arises principally from the Company's
receivables from customers. Credit risk is managed through credit approvals, establishing credit limits
and continuously monitoring the creditworthiness of customers to which the Company grants credit
terms in the normal course of business. The Company establishes an allowance for doubtful debts and
impairment that represents its estimate of incurred losses in respect of trade and other receivables and
investments.

The credit risk on investment in mutual funds is limited because the counter parties are reputed banks
or funds sponsored by reputed bank.

Liquidity Risk Management

Ultimate responsibility for liquidity risk management rests with the Board of Directors, which has
established an appropriate liquidity risk management framework for the management of the Company's
short term, medium term and long term funding and liquidity management requirements. The Company
manages liquidity risk by maintaining adequate reserves, banking facilities and reserve borrowing
facilities, by continuously monitoring forecast and actual cash flows, and by matching the maturity
profiles of financial assets and liabilities.

All current financial liabilities are repayable within one year.

46. Disclosure pursuant to Securities and Exchange Board of India (Listing Obligation and Disclosure
Requirements) Regulations, 2015 and Section 186 of the Company Act, 2013:

a. Details of Investments made are given in Note 4 and Note 7.

b. There are no loans given by the Company in accordance with Section 186 of the Act read with rules
issued there.

c. There are no guarantees issued by the company for loan taken by others as on March 31, 2025.

47. There is no Loans or Advances in the nature of loans are granted to promoters, directors, KMPs and the
related parties as on balance sheet date.

51. Event after reporting date

There have been no events after the reporting date that requires disclosure in these financial statements.

52. Information regard to other matter specified in Schedule III of Companies Act, 2013 is either nil or not
applicable to the Company for the year.

53. Previous year figures have been regrouped/rearranged wherever necessary to make them comparable
with those of the Current Year.

For Jhunjhunwala Jain & Associates LLP For and on behalf of the Board of Directors

Chartered Accountants

Firm' Registration No : 113675W/W100361

(CA Randhir Kumar Jhunjhunwala) Nitin Kedia Nirmal Kedia

Partner Chairman & Managing Director Director & CFO

Membership No. 047058 DIN-00050749 DIN-00050769

Ishan Kumar Verma

Place: Mumbai Company Secretary

Mumbai, 28th day of May, 2025 Mem No. FCS-8320