(m) Provisions, Contingent Liabilities and Contingent Assets

The Company recognises a provision when there is a present obligation as a result of past event that probably
requires an outflow of resources and reliable estimates can be made of the amount of obligation.

A disclosure of contingent liability is made when there is possible obligation or a present obligation that will probably
not require outflow of resources or where a reliable estimate of the obligation cannot be made. Where there is a
possible obligation or a present obligation and likelihood of outflow of resources is remote, no provision or disclosure
is made.

Contingent assets are not recognized but disclosed in the standalone financial statements, where economic inflow is
probable.

(n) Employee Benefits

Defined Contribution Plan

The Company makes regular contributions to recognised Provident Fund/Family Pension Fund and also to duly
constituted and approved Superannuation Fund, which are recognised as expense in the Statement of Profit and
Loss during the period in which the employee renders the related service.

Defined Benefit Scheme

Gratuity, Pension and Compensated Absences benefits, payable as per Company’s schemes are considered as
defined benefit schemes and are charged to the Statement of Profit and Loss on the basis of actuarial valuation
carried out at the end of each financial year by independent actuaries using Projected Unit Credit Method. For the
purpose of presentation of defined benefit plans in the Balance sheet, the present value of the defined benefit
obligation at the reporting date is netted off with the fair value of plan assets and allocated between current and non¬
current as determined by independent actuary. Actuarial gains and losses are recognised in the Other Comprehensive
Income except actuarial gains and losses on compensated absences and pension benefits which are charged to the
Statement of Profit and Loss.

Ex-gratia or other amount disbursed on account of selective employees separation scheme or otherwise are charged
to Statement of Profit and Loss as and when incurred/determined.

(o) Leases

Where the Company is the Lessee:

The Company’s lease asset class primarily consist of lease for building. The Company, at the inception of a contract,
assesses whether the contract is a lease or not a lease. A contract is, or contains, a lease if the contract conveys the
right to control the use of an identified asset for a time in exchange for a consideration. The Company has elected not
to recognize Right-of-use Assets and lease liabilities for short-term leases that have a lease term of 12 months or
less and leases of low-value assets and the corresponding lease rental paid are directly charged to the Statement of
Profit and Loss Account. The Company recognizes the lease payments associated with these leases as an expense
over the lease term. The Company recognises a Right-of-use Asset and a lease liability at the lease commencement
date. The Right-of-use Asset is initially measured at cost, which comprises the initial amount of the lease liability
adjusted for any lease payments made at or before the commencement date, plus any initial costs incurred. The
Right-of-use Asset is subsequently depreciated using the straight-line method from the commencement date to the
end of the lease term. The lease liability is initially measured at the present value of the lease payments that are not
paid at the commencement date, discounted using the Company’s incremental borrowing rate. Subsequently, lease
liabilities are measured on amortised cost basis.

(p) Foreign Currency Translations

Transactions in foreign currencies are initially recorded in the functional currency, by applying to the foreign currency
amount the exchange rate between the functional currency and the foreign currency at the date of the transaction.
Foreign currency monetary items are translated using the exchange rate prevailing at the reporting date.

(q) Segment Reporting - Identification of Segments:

An operating segment is a component of the Company that engages in business activities from which it may earn
revenues and incur expenses, whose operating results are regularly reviewed by the company’s Chief Operating
Decision Maker (“CODM”) to make decisions for which discrete financial information is available. Based on the
management approach as defined in Ind AS 108, the CODM evaluates the Company’s performance and allocates
resources based on an analysis of various performance indicators by business segments and geographic segments

(r) Earnings Per Share

Basic earnings per share are calculated by dividing the net profit or loss for the year attributable to equity shareholders
of the company by the weighted average number of the equity shares outstanding during the year.

For the purpose of calculating diluted earnings per share, net profit or loss attributable to equity shareholders of the
Company and the weighted average number of shares outstanding during the year is adjusted for the effect of all
dilutive potential equity shares.

(s) Cash and Cash Equivalents

Cash and Cash equivalent in the Cash Flow Statement comprises cash on hand, demand deposits with banks and
short-term investments with an original maturity of three months or less from the date of acquisition.

(t) Recent Pronouncements

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, 2025, MCA has
notified Ind AS - 117 Insurance Contracts and amendments to Ind AS 116 - Leases, relating to sale and leaseback
transactions, applicable to the Company w.e.f. April 1,2024. The Company has reviewed the new pronouncements
and based on its evaluation has determined that it does not have any significant impact in its financial statements.

Notes:

(i) Refer Note No. 17(i) and 21(ii) for details of mortgage/hypothecations of Property, Plant and Equipment towards security.

(ii) Adjustments during the year includes ' 347.00 lakhs (' 24.85 lakhs) towards subsidy under Industrial Investment Promotion
Incentive Schemes linked to Fixed Capital Investment in Property, Plant and Equipment, etc.

(iii) The lease agreements are duly executed in favour of the lessee.

(iv) No proceedings have been initiated or pending against the Company for holding any benami property under the Benami
Transactions (Prohibition) Act, 1988.

(i) Loans from Banks/NBFC are secured by way of hypothecation charge over movable Property, Plant and Equipment, both
present and future and charge created by way of mortgage by deposit of title deeds of certain immovable properties of the
Company, ranking first/second pari-passu interse amongst the consortium lender banks and term loan lender(s) (including
Buyer’s Credit and Supplier’s Credit). Loans from Banks/NBFC are further secured by first/ or second pari-passu charge
(specific to a term loan) by way of hypothecation of entire Current Assets, both present and future, of the Company viz.
inventories, bills receivables, book debts, claims, etc. Rupee Term Loans from Banks/NBFC are repayable in equated
quarterly instalments, commencing from March, 2024 and ending on September, 2029 and carry rate of interest varying
from 9.50% p.a. to 10.45% p.a. on the reporting date. Buyer’s Credit(s)/Supplier’s Credit(s) in Foreign Currency availed
from Banks are due for repayment between July, 2025 to December, 2027 and carry rate of interest varying from 3.22%
p.a. to 5.35% p.a. on the reporting date. The Buyer’s Credit and Supplier’s Credit in Foreign Currency (excluding availed
from a term lender) are also backed by cross corporate guarantee of Vindhya Telelinks Limited, a body corporate.

(ii) Neither registration nor satisfaction of any charge is pending to be filed/registered with the Jurisdictional Registrar of
Companies beyond the statutory period in respect of security created by the Company in favour of lenders.

(iii) Term Loans were applied for the purpose(s) for which the loans were obtained.

Unsecured Borrowing

Loans from Bodies Corporate carry rate of interest varying from 8.85% p.a. to 9.50% p.a and are due for repayment between

November, 2025 and March, 2026 as per the mutually agreed repayment schedule with the concerned lenders.

(i) Working Capital Loans/Borrowings from Banks are generally renewable within twelve months from the date of sanction or
immediately previous renewal date, unless otherwise stated. The lender banks have a right to cancel the credit limits
(either fully or partially) and, inter-alia, demand repayment in case of non-compliance of terms and conditions of sanctions
or deterioration in the sanctioned loan accounts in any manner.

(ii) Working Capital Loans/Borrowings (both fund and non fund based) from Banks are secured by first/or second charge by
way of hypothecation of entire Current Assets both present and future, of the Company viz. inventories, bills receivables,
book debts (trade receivables), claims, etc. ranking pari-passu amongst the lender consortium banks and certain secured
term loan lender and are further secured by way of hypothecation of movable property, plant and equipment, both present
and future, and charge created by way of mortgage by deposit of title deeds of certain immovable properties of the
Company, ranking first/or second (specific to a term lender) pari-passu interse amongst the lender consortium banks and
term loan lenders. The Working Capital Borrowings are also backed by cross corporate guarantee of Vindhya Telelinks
Limited, a body corporate.

(iii) Funds raised on short term basis have not been utilised for long term purposes and deployed for the purpose(s) they were
obtained.

(iv) Bank Returns/Stock Statements filed by the Company with its bankers are materially in agreement with the books of
account.

(v) Neither registration nor satisfaction of any charge is pending to be filed/registered with the Jurisdictional Registrar of
Companies beyond the statutory period in respect of security created by the Company in favour of lenders.

36. CONTINGENT LIABILITIES AND COMMITMENTS (TO THE EXTENT NOT PROVIDED FOR):

(a) Contingent liabilities:

(i) Cross corporate guarantee given to consortium of banks as collateral against term loan(s) and working capital credit
facilities granted to a Body Corporate - Refer Note No.43(a).

(ii) Claims against the Company not acknowledged as debts ' 20.85 lakhs (' 20.85 lakhs).

(iii) The Company received an order of demand of non-payment of GST liability and equivalent amount of penalty thereon
aggregating to ' 1189.80 lakhs on notional value of consideration in respect of cross corporate guarantee given to
secured lenders of a body corporate pertaining to the period from 1st July, 2017 to 31st March, 2023 against which
an appeal has been filed with the jurisdictional appellate authority. The management in consultation with the subject
matter experts is of the opinion that the impugned order of demand is incorrect on facts as well as law and the
probability of an unfavourable outcome is remote.

(b) Commitments:

Estimated amount of contracts remaining to be executed on Capital Account (Net of advances) and not provided for

' 10.83 lakhs (' 333.97 lakhs).

Notes:

(a) The remuneration to Key Managerial Personnel(s) other than Non-Executive Directors stated above does not include
provision/payment towards incremental liability on account of gratuity and compensated absences since actuarial
valuation is done for the Company as a whole.

(b) Remuneration to Non-Executive Directors save and except Shri Harsh V. Lodha, Chairman includes provision of '
11.50 lakhs (' 18.00 lakhs) towards remuneration/compensation by way of profit related commission (excluding
Goods and Services Tax, if any, thereon) for the year. Shri Harsh V. Lodha, Chairman, has decided not to take
remuneration/compensation by way of profit related commission pertaining to the financial year 2024-25.

(c) Transactions mentioned above are exclusive of Goods and Services Tax (GST), wherever applicable.

(d) No amount has been provided as doubtful debt or advance written off or written back in the year in respect of debts
due from/to above Related Parties.

(e) Transactions and balances relating to reimbursement of expenses to/from the above Related Parties have not been
considered in the above disclosure.

The fair value of financial assets and liabilities are included at the amount at which instruments could be exchanged in a
current transaction between the willing parties. The following methods and assumptions were used to estimate the fair value:

(A) The Company has opted to fair value its quoted equity instruments at its market quoted price through OCI.

(B) The Company has opted to fair value its unquoted equity instruments at its Net Asset Value(NAV)/Discounted Cash
Flow(DCF) through OCI.

(C) Investment in Continuum MP Windfarm Development Pvt. Ltd. for sourcing renewable energy is considered at fair value
through profit or loss and valued as per terms and conditions of the agreement.

(D) The fair values of cash and cash equivalents, other bank balances, trade receivables, loans, other financial assets, short
term borrowings, trade payables, and other financial liabilities approximates their carrying amounts largely due to the
short-term maturities of these instruments. The Company has adopted Effective Interest Rate Method (EIR) for fair valuation
of long term borrowings, non-current financial assets and non-current financial liabilities.

(E) The fair value of forward exchange contracts is based on certificate given by respective banks.

Fair Value Hierarchy

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

Level 2 - Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e.
as prices) or indirectly (i.e. derived from prices).

Level 3 - Inputs for the assets or liabilities that are not based on observable market data (unobservable inputs).

45. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES:

The Company’s activities are exposed to a variety of Financial Risks from its Operations. The key financial risks include
Market risk, Credit risk and Liquidity risk.

(a) Market Risk:

Market Risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in
market prices. Market Risk comprises mainly three types of Risk: Foreign Currency Risk, Interest Rate Risk, Other Price
Risk such as Commodity Price Risk and Equity Price Risk.

(i) Foreign Currency Risk:

Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of
changes in foreign exchange rates. The Company is exposed to foreign exchange risk arising from foreign currency
transactions of imports, exports and borrowing primarily with respect to USD, EURO, GBP, AED and CNY. The
Company’s exports are denominated generally in USD and EURO, providing a natural hedge to some extent against
foreign currency payments on account of imports of raw materials and/or the payment of borrowings. The foreign
currency transaction risk are managed through selective hedging programmes by way of forward contracts including
for underlying transactions having firm commitments or highly probable forecast of crystallisation.

The Company uses forward exchange contracts to hedge its exposure in foreign currency. The details of foreign
currency exposures hedged by derivative instruments and those have not been hedged are as follows:

(iii) Commodity Price Risk:

The Company is affected by the price volatility of certain commodities. Its operating activities require the purchase of
raw material for manufacturing of Cables and therefore, require a continuous supply of certain raw materials such as
optical fibre, plastic and polymers, copper etc. To mitigate the commodity price risk, the company has an approved
supplier base to get the best competitive prices for the commodities and to manage the cost without any compromise
on quality.

(iv) Equity Price Risk:

The Company’s exposure to equity instruments price risk arises from investments held by the company and classified
in the Balance Sheet at Fair Value through OCI. Having regard to the nature of securities, intrinsic worth, intent and
long term nature of investment in securities held by the company, fluctuation in their prices are considered acceptable
and do not warrant any management estimation.

(b) Credit Risk:

(i) Trade Receivables/Corporate Guarantee

The Company has an established policy, procedures and control relating to customer credit risk management. The
Company assesses the credit quality of the counterparties taking into account their financial position, past experience
and other factors. Some of the customers are Government owned entities and private telecom sector operators.
Credit risk is reduced to a significant extent if the supplies are part of a project which is funded by the Central / State
Government. Outstanding customer receivables are regularly monitored and assessed. At the end of the reporting
period, there were no significant concentrations of credit risk expected in outstanding receivable.

The lenders assesses the credit quality of Vindhya Telelinks Limited and after considering its financial position,
intrinsic value, its business profile and future prospects, Credit risk is low. The Company has also accepted corporate
guarantee from Vindhya Telelinks Limited (Cross Corporate Guarantee) against total credit facilities and term loan(s)
availed from consortium of banks.

(ii) Deposits with Bank:

The fixed deposits with banks predominantly comprises of margin money against bank guarantees, letter(s) of credit,
etc. as per the terms of sanction of non fund based credit facilities.

(c) Liquidity Risk:

Liquidity risk is the risk, where the Company may encounter difficulty in meeting the obligations associated with its
financial liabilities that are settled by delivering cash or another financial asset. The Company’s approach is to ensure, as
far as possible, that it will have sufficient liquidity to meet its liabilities when due.

The table below summarises the maturity profile of the Company’s financial liabilities based on contractual undiscounted
payments:

47. CAPITAL MANAGEMENT:

The Company’s primary objective with respect to capital management is to ensure continuity of business and support the
growth of the Company while at the same time provide reasonable returns to its various stakeholders and maximise shareholders
value. In order to achieve these objectives, requirement of capital is reviewed periodically with reference to operating and
business plans that take into account capital expenditure and strategic investments. Sourcing of capital is done through
judicious combination of equity/ internal accruals and borrowings, both short term and long term. The capital structure is
governed by policies approved by the Board of Directors and the Company monitors capital by applying net debt (total borrowings
less investments and cash and cash equivalents) to equity ratio. The Company manages its capital structure and make
adjustments in the light of changes in economic conditions and the requirements of financial covenants attached to the
interest bearing loans and borrowings that define capital structure requirements. No changes were made in the objectives,
policies or processes for managing capital during the year ended 31st March, 2025 or corresponding previous year.

(c) Undisclosed income:

No transactions have been recorded in the books of account that has been surrendered/ disclosed as income during the
year in the tax assessments.

(d) 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:

(i) 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

(ii) Provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

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

(i) Directly or indirectly lend or invest in other persons or entity(ies) identified in any manner whatsoever by or on behalf
of the Funding Party (Ultimate Beneficiaries); or

(ii) Provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

Notes: Explanation for changes in Ratio by more than 25%

(i) Debt-Equity ratio is decreased due to repayment of long term borrowings during the year.

(ii) Return on Equity is decreased due to decrease in profitability of the current year as compared to previous year.

(iii) Inventory Turnover Ratio is improved due to decrease in inventory levels during the current year as compared to
previous year.

(iv) Net Capital Turnover Ratio is improved due to decrease in working capital.

(v) Net Profit Ratio is declined due to decrease in profitability of the Company in the current year as compared to
previous year.

(vi) Return on Capital Employed is declined due to decrease in profitability in current year as compared to previous year.

(vii) Return on Investment in Shares is declined due to less increase in the value of investments as compared to previous
year.

49. Previous year figures have been regrouped/ rearranged, wherever considered necessary to conform to current year’s
classification. The figures in brackets are those in respect of the previous accounting year.

Signatures to Notes 1 to 49

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

For V.Sankar Aiyar & Co.

Chartered Accountants Harsh V. Lodha B.R.Nahar R. Sridharan

ICAI Firm Registration No. 109208W Chairman Director Manager & CEO

(DIN : 00394094) (DIN :00049895)

Vishal Agarwal

Partner Somesh Laddha Suman

Membership No. 556367 Chief Financial Officer Company Secretary

Place : New Delhi Place : New Delhi

Date : May 21,2025 Date : May 21,2025