i) Provisions, Contingent Liabilities and Contingent Assets and Commitments

i) 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. Such provisions
are determined based on management estimate of the amount required to settle the obligation at the
balance sheet date. When the Company expects some or all of a provision to be reimbursed, the
reimbursement is recognised as a standalone asset only when the reimbursement is virtually certain.

ii) 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.

iii) Contingent liabilities are disclosed on the basis of judgment of management. These are reviewed at each
balance sheet date are adjusted to reflect the current management estimate.

iv) Contingent assets are not recognized but are disclosed in the financial statements when inflow of
economic benefits is probable.

h) Income Taxes

The tax expense for the period comprises current and deferred tax. Tax is recognised in Statement of Profit

and Loss, except to the extent that it relates to items recognised in the other comprehensive income or in

equity. In which case, the tax is also recognised in other comprehensive income or equity.

i) Current tax

Current tax assets and liabilities are measured at the amount expected to be recovered from or paid to
the taxation authorities, based on tax rates and laws that are enacted or substantively enacted at the
Balance sheet date.

ii) Deferred tax

Deferred tax is recognised on temporary differences between the carrying amounts of assets and
liabilities in the financial statements and the corresponding tax bases used in the computation of taxable
profit.

Deferred tax liabilities and assets are measured at the tax rates that are expected to apply in the period
in which the liability is settled or the asset realised, based on tax rates (and tax laws) that have been
enacted or substantively enacted by the end of the reporting period. The carrying amount of deferred tax
liabilities and assets are reviewed at the end of each reporting period.

i) Foreign Currency Transactions

i) Transactions in foreign currencies are initially recorded at the exchange rate prevailing on the date of
transaction. Monetary assets and liabilities denominated in foreign currencies are translated at the
functional currency closing rates of exchange at the reporting date.

ii) Exchange differences arising on settlement or translation of monetary items are recognised in Statement
of Profit and Loss except to the extent of exchange differences which are regarded as an adjustment to
interest costs on foreign currency borrowings that are directly attributable to the acquisition or
construction of qualifying assets, are capitalized as cost of assets.

iii) Non-monetary items that are measured in terms of historical cost in a foreign currency are recorded
using the exchange rates at the date of the transaction. Non-monetary items measured at fair value in a
foreign currency are translated using the exchange rates at the date when the fair value was measured.
The gain or loss arising on translation of non-monetary items measured at fair value is treated in line
with the recognition of the gain or loss on the change in fair value of the item (i.e., translation differences
on items whose fair value gain or loss is recognised in OCI or Statement of Profit and Loss are also
recognised in OCI or Statement of Profit and Loss, respectively).

j) Employee Benefits Expense
Short Term Employee Benefits

The undiscounted amount of short term employee benefits expected to he paid in exchange for the services
rendered by employees are recognised as an expense during the period when the employees render the
services.

Post-Employment Benefits

Defined Contribution Plans

A defined contribution plan is a post-employment benefit plan under which the Company pays specified
contributions to a separate entity. The Company makes specified monthly contributions towards Provident
Fund, Superannuation Fund and Pension Scheme. The Company’s contribution is recognised as an expense
in the Statement of Profit and Loss during the period in which the employee renders the related service.

Defined Benefits Plans

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 future pension increases. 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.

The Company pays gratuity to the employees whoever has completed five years of service with the Company
at the time of resignation/superannuation. The gratuity is paid @15 days salary for every completed year of
service as per the Payment of Gratuity Act 1972.

The liability in respect of gratuity and other post-employment benefits is calculated using the Projected Unit
Credit Method and spread over the period during which the benefit is expected to be derived from employees’
services.

Re-measurement of defined benefit plans in respect of post- employment are charged to the Other
r.nmnrplipnsivp Tnmmp

Employee Separation Costs

Compensation to employees who have opted for retirement under the voluntary retirement scheme of the
Company is payable in the year of exercise of option by the employee. The Company recognises the employee
separation cost when the scheme is announced and the Company is demonstrably committed to it.

k) Revenue recognition

Revenue from sale of goods is recognised when the significant risks and rewards of ownership have been
transferred to the buyer, recovery of the consideration is probable, the associated cost can be estimated
reliably, there is no continuing effective control or managerial involvement with the goods, and the amount of
revenue can be measured reliably.

Revenue from rendering of services is recognised when the performance of agreed contractual task has been
completed.

Revenue from sale of goods is measured at the fair value of the consideration received or receivable, taking
into account contractually defined terms of payment and excluding taxes or duties collected on behalf of the
government.

Revenue from operations includes sale of goods, services, and adjusted for discounts (net), and gain/ loss on
corresponding hedge contracts.

Interest income

Interest income from a financial asset is recognised using effective interest rate (EIR) method.

Dividends

Revenue is recognised when the Company’s right to receive the payment has been established, which is
generally when shareholders approve the dividend.

l) Insurance Claims

Insurance claims are accounted for on the basis of claims admitted/ expected to be admitted to the extent
that there is no uncertainty in receiving the claims.

m) Financial Intruments

i) Financial Assets

A. Initial recognition and measurement

All financial assets and liabilities are initially recognized at fair value. Transaction costs that are
directly attributable to the acquisition or issue of financial assets and financial liabilities, which are
not at fair value through profit or loss, are adjusted to the fair value on initial recognition. Purchase
and sale of financial assets are recognised using trade date accounting.

B Subsequent measurement

Financial assets carried at amortised cost

A financial asset is measured at amortised cost if it is held within a business model whose objective is
to hold the asset in order to collect contractual cash flows and the contractual terms of the financial
asset give rise on specified dates to cash flows that are solely payments of principal and interest on
the principal amount outstanding.

Financial assets at fair value through other comprehensive income (FVTOCI1

A financial asset is measured at FVTOCI if it is held within a business model whose objective is
achieved hy both collecting contractual cash flows and selling financial assets and the contractual
terms of the financial asset give rise on specified dates to cash flows that are solely payments of
principal and interest on the principal amount outstanding.

Financial assets at fair value through profit or loss (FVTPLI

A financial asset not classified as either amortised cost or FVOCI, is classified as FVTPL.

C Investment in subsidiaries, Associates and Joint Ventures

The Company has elected to measure investment in subsidiaries, joint venture and associate at cost.
On the date of transition, the fair value has been considered as deemed cost.

Investment in Equity shares & Mutual Funds etc., are classified at fair value through the profit and
loss account.

D Other Equity Investments

All other equity investments are measured at fair value, with value changes recognised in Statement of
Profit and Loss, except for those equity investments for which the Company has elected to present the
value changes in ‘Other Comprehensive Income’.

E Impairment of financial assets

In accordance with Ind AS 109, the Company uses Expected Credit Loss’ (ECL) model, for evaluating
impairment of financial assets other than those measured at fair value through profit and loss
(FVTPL).

Expected credit losses are measured through a loss allowance at an amount equal to:

• The 12-months expected credit losses (expected credit losses that result from those default events on
the financial instrument that are possible within 12 months after the reporting date); or

• Full lifetime expected credit losses (expected credit losses that result from all possible default events
over the life of the financial instrument)

For trade receivables Company applies ‘simplified approach’ which requires expected lifetime losses to
be recognised from initial recognition of the receivables. The Company uses historical default rates to
determine impairment loss on the portfolio of trade receivables. At every reporting date these historical
default rates are reviewed and changes in the forward looking estimates are analysed.

For other assets, the Company uses 12 month ECL to provide for impairment loss where there is no
significant increase in credit risk. If there is significant increase in credit risk full lifetime ECL is used.

ii) Financial Liabilities

A Initial recognition and measurement

All financial liabilities are recognized at fair value and in case of loans, net of directly attributable cost.
Fees of recurring nature are directly recognised in the Statement of Profit and Loss as finance cost.

B Subsequent measurement

Financial liabilities are carried at amortized cost using the effective interest method. For trade and
other payables maturing within one year from the balance sheet date, the carrying amounts
approximate fair value due to the short maturity of these instruments.

Derivative financial instruments and Hedge Accounting

The Company uses various derivative financial instruments such as interest rate swaps, currency swaps,
forwards & options and commodity contracts to mitigate the risk of changes in interest rates, exchange rates
and commodity prices. Such derivative financial instruments are initially recognised at fair value on the date on
which a derivative contract is entered into and are also subsequently measured at fair value. Derivatives are
carried as financial assets when the fair value is positive and as financial liabilities when the fair value is
negative.

Any gains or losses arising from changes in the fair value of derivatives are taken directly to Statement of Profit
and Loss, except for the effective portion of cash flow hedges which is recognised in Other Comprehensive
Income and later to Statement of Profit and Loss when the hedged item affects profit or loss or treated as basis
adjustment if a hedged forecast transaction subsequently results in the recognition of a non-financial assets or
non-financial liability.

Hedges that meet the criteria for hedge accounting are accounted for as follows:

a) Cash flow hedge

The Company designates derivative contracts or non derivative financial assets / liabilities as hedging
instruments to mitigate the risk of movement in interest rates and foreign exchange rates for foreign
exchange exposure on highly probable future cash flows attributable to a recognised asset or liability
or forecast cash transactions. When a derivative is designated as a cash flow hedging instrument, the
effective portion of changes in the fair value of the derivative is recognized in the cash flow hedging
reserve being part of other comprehensive income. Any ineffective portion of changes in the fair value
of the derivative is recognized immediately in the Statement of Profit and Loss. If the hedging
relationship no longer meets the criteria for hedge accounting, then hedge accounting is discontinued
prospectively. If the hedging instrument expires or is sold, terminated or exercised, the cumulative
gain or loss on the hedging instrument recognized in cash flow hedging reserve till the period the
hedge was effective remains in cash flow hedging reserve until the underlying transaction occurs. The
cumulative gain or loss previously recognized in the cash flow hedging reserve is transferred to the
Statement of Profit and Loss upon the occurrence of the underlying transaction. If the forecasted
transaction is no longer expected to occur, then the amount accumulated in cash flow hedging reserve
is reclassified in the Statement of Profit and Loss.

b) Fair Value Hedge

The Company designates derivative contracts or non derivative financial assets / liabilities as hedging
instruments to mitigate the risk of change in fair value of hedged item due to movement in interest
rates, foreign exchange rates and commodity prices.

Changes in the fair value of hedging instruments and hedged items that are designated and qualify as
fair value hedges are recorded in the Statement of Profit and Loss. If the hedging relationship no
longer meets the criteria for hedge accounting, the adjustment to the carrying amount of a hedged
item for which the effective interest method is used is amortised to Statement of Profit and Loss over
the period of maturity.

Derecognition of financial instruments

The Company derecognizes a financial asset when the contractual rights to the cash flows from the
financial asset expire or it transfers the financial asset and the transfer qualifies for derecognition
under Ind AS 109. A financial liability (or a part of a financial liability) is derecognized from the
Company's Balance Sheet when the obligation specified in the contract is discharged or cancelled or
expires.

n) Operating Cycle

The Company presents assets and liabilities in the balance sheet based on current / non-current
classification based on operating cycle.

An asset is treated as current when it is:

a. Expected to be realized or intended to be sold or consumed in normal operating cycle;

b. Held primarily for the purpose of trading;

c. Expected to be realized 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 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 comoanv has identified twelve months as its ooeratiner cvcle.

o) Earnings Per Share

Basic earnings per share are calculated by dividing the net profit or loss for the period attributable to equity
shareholders by weighted average number of equity shares outstanding during the period. The weighted
average number of equity shares outstanding during the period are adjusted for events of bonus issue; bonus
element in a right issue to existing shareholders.

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

p) Dividend Distribution

Dividend distribution to the shareholders is recognised as a liability in the company's financial statements in
the period in which the dividends are approved by the company's shareholders.

q) Statement of Cash Flows

i) Cash and Cash equivalents

For the purpose of presentation in the statement of cash flows, cash and cash equivalents includes cash
on hand, other short-term, highly liquid investments with original maturities of three months or less that
are readily convertible to known amounts of cash and which are subject to an insignificant risk of
changes in value.

ii) Statement of Cash Flows is prepared in accordance with the Indirect Method prescribed in the relevant
Accounting Standard.

2.3 CRITICAL ACCOUNTING JUDGMENTS AND KEY SOURCES OF ESTIMATION UNCERTAINTY

The preparation of the financial statements in conformity with the Ind AS requires management to make
judgments .estimates and assumptions that affect the application of accounting policies and the reported
amounts of assets, liabilities and disclosures as at date of the financial statements and the reported amounts of
the revenues and expenses for the years presented. The estimates and associated assumptions are based on
historical experience and other factors that are considered to be relevant. Actual results may differ from these
estimates under different assumptions and conditions. The estimates and underlying assumptions are reviewed
on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimate is
revised if the revision affects only that period or in the period of the revision and future periods if the revision
affects both current and future periods.

a) Depreciation / amortisation and useful lives of property plant and equipment / intangible assets

Property, plant and equipment / intangible assets are depreciated / amortised over their estimated useful
lives, after taking into account estimated residual value. Management reviews the estimated useful lives and
residual values of the assets annually in order to determine the amount of depreciation / amortisation to be
recorded during any reporting period. The useful lives and residual values are based on the Company’s
historical experience with similar assets and take into account anticipated technological changes. The
depreciation / amortisation for future periods is revised if there are significant changes from previous
estimates.

b) 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.

c) Provisions

Provisions and liabilities are recognized 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 requires the application of judgment to
existing facts and circumstances, which can be subject to change. The carrying amounts of provisions and
liabilities are reviewed regularly and revised to take account of changing facts and circumstances.

d) Impairment of non-flnancial assets

The Company assesses at each reporting date whether there is an indication that an asset may be
impaired. If any indication exists, the Company estimates the asset’s recoverable amount. An asset’s
recoverable amount is the higher of an asset’s or Cash Generating Units (CGU’s) fair value less costs of
disposal and its value in use. It is determined for an individual asset, unless the asset does not generate cash
inflows that are largely independent of those from other assets or a groups of assets. Where the carrying
amount of an asset or CGU exceeds its recoverable amount, the asset is considered impaired and is written
down to its recoverable amount.

In assessing value in use, the estimated future cash flows are discounted to their present value using
pre-tax discount rate that reflects current market assessments of the time value of money and the risks
specific to the asset. In determining fair value less costs of disposal, recent market transactions are taken
into account, if no such transactions can be identified, an appropriate valuation model is used.

e) Impairment of financial assets

The impairment provisions for financial assets are based on assumptions about risk of default and expected
cash loss rates. The Company uses judgment 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
lookincr estimates at the end of each renortincr neriod c r-

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

For, K P R K & ASSOCIATES LLP

Chartered Accountants

Finn Registration No. 103051W / W100965

CA. Swapnil M. Agrawal Rajesh Agrawal RekhaAgrawal

Partner Managing Director Director

Membership No. 121269 DIN: 00806417 DIN: 00597156

Date: 27.05.2025 Jaswinder Kaur Mission Suresh Raman

Place: Raipur Company Secretary Director & CFO

FCS 7489 DIN: 07562480