Q) Provisions, Contingent Liabilities and Contingent Assets

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, for example, under an insurance contract, 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.

Contingent Liability is disclosed after careful evaluation of facts, uncertainties and possibility of reimbursement, unless the
possibility of an outflow of resources embodying economic benefits is remote. Contingent liabilities are not recognised but
are disclosed in notes.

Contingent assets are not recognised in financial statements but are disclosed, since the former treatment may result in the
recognition of income that may never be realised. However, when the realisation of income is virtually certain, then the
related asset is not a contingent asset and its recognition is appropriate.

R) Cash Flow Statement

Cash flows are reported using the indirect method, whereby profit for the period is adjusted for the effects of transactions
of a non-cash nature, any deferrals or accruals of past or future operating cash receipts or payments 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.

S) Key sources of estimation uncertainty

In the course of applying the policies outlined in all notes under section 2 above, the Company is required to make
judgements, estimates and assumptions about the carrying amount of assets and liabilities that are not readily apparent
from other sources.

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. The estimates and underlying assumptions are reviewed on an
on-going 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 period, if the revision affects current and future period.

Key sources of estimation uncertainty

i) Useful lives of property, plant and equipment

Management reviews the useful lives of property, plant and equipment at least once a year. Such lives are dependent
upon an assessment of both the technical lives of the assets and also their likely economic lives based on various
internal and external factors including relative efficiency and operating costs. Accordingly, depreciable lives are
reviewed annually using the best information available to the Management.

ii) Impairment of investments in subsidiaries, Joint ventures and associates

Determining whether the investments in subsidiaries, joint ventures and associates are impaired requires an estimate
in the value in use of investments. In considering the value in use, the Directors have anticipated the future commodity
prices, capacity utilisation of plants, operating margins, mineable resources and availability of infrastructure of mines,
discount rates and other factors of the underlying businesses/operations of the investee companies

iii) Contingencies

In the normal course of business, contingent liabilities may arise from litigation and other claims against the Company.
Potential liabilities that are possible but not probable of crystallising or are very difficult to quantify reliably are treated

as contingent liabilities. Such liabilities are disclosed in the notes but are not recognized.

Contingent assets are neither recognised nor disclosed in the financial statements unless when an inflow of economic
benefits is probable.

iv) Fair value measurements

When the fair values of financial assets or financial liabilities recorded or disclosed in the financial statements cannot be
measured based on quoted prices in active markets, their fair value is measured using valuation techniques including
the DCF model. The inputs to these models are taken from observable markets where possible, but where this is not
feasible, a degree of judgment is required in establishing fair values. Judgments include consideration of inputs such as
liquidity risk, credit risk and volatility.

v) Income Taxes

Significant judgements are involved in determining the provision for income taxes, including amount expected to be
paid /recovered for uncertain tax positions. In assessing the realizability of deferred tax assets arising from unused tax
credits, the management considers convincing evidence about availability of sufficient taxable income against which
such unused tax credits can be utilized. The amount of the deferred income tax assets considered realizable, however,
could change if estimates of future taxable income changes in the future.

T) Standards Issued but not yet effective

The new and amended standards and interpretations that are issued, but not yet effective, up to the date of issuance of the
Company's financial statements are disclosed below. The Company will adopt this new and amended standard, when it
become effective.

i) Lack of exchangeability - Amendments to Ind AS 21

The Ministry of Corporate Affairs notified amendments to Ind AS 21 The Effects of Changes in Foreign Exchange Rates
to specify how an entity should assess whether a currency is exchangeable and how it should determine a spot
exchange rate when exchangeability is lacking. The amendments also require disclosure of information that enables
users of its financial statements to understand how the currency not being exchangeable into the other currency
affects, or is expected to affect, the entity's financial performance, financial position and cash flows.

The amendments are not expected to have a material impact on the Company's financial statements.

ii) 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 31 March 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. 1 April 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.

U) Rounding of amounts :-

All amounts disclosed in the standalone financial statements and notes have been rounded off to the nearest crores as per
the requirement of Schedule III, unless otherwise stated.

e) Indian Oil Corporation Ltd. (IOCL) had raised a claim of ' 17.98 Crores during the financial year 2008-09 & against this
claim a performance bank guarantee of ' 8.53 Crores which was given to IOCL, was realized by IOCL. Accordingly, an
equivalent amount was charged in the Profit & Loss Account in financial year 2008-09. As a dispute had occurred the
matter was referred to arbitration. The arbitrator allowed certain claims in favour of the company & certain claims
were disallowed. Both IOCL & the company preferred an appeal before Honourable Delhi High Court. Pending
proceedings in the Court , IOCL was required to deposit the amount awarded by the Arbitrator in favour of the company
in the Court. The Company provided a Bank Guarantee in favour of Registrar General, Delhi High Court for an amount
of ' 24.50 Crores for securing the amount to be disbursed by the Honourable Court to the company. Consequently
the company received an amount of ' 24.06 Crores from the Honourable Court. As the proceedings are currently
pending with Honourable Court no adjustments have been made in the accounts & the amount received has been
reflected as liability. Necessary adjustments shall be made upon final disposal of appeal.

2.29 The company has imported Capital Goods/Store items under the Export Promotion Capital Goods (EPCG) scheme of the
Government of India, at concessional rate of duty against the Legal Undertaking (LUT) to fulfil Exports obligations. The
duty saved on such import of capital goods/Store items during the year amounting to ' 0.74 Crores (Previous Year ' 7.31
Crores) and for this the company is under an obligation to export goods amounting to ' 4.46 Crores (Previous Year '
43.85 Crores), within a period of Six years, commencing from the date of issue of licenses. During the year company was
unable to fulfil export obligation pertaining to current year. However during the year company had fulfilled export
obligation amounting to ' 11.92 crores pertaining to financial year 2023-24.

2.30 Estimated amount of contracts remaining to be executed on capital account, net of advances, and not provided for '
52.43 Crores (Previous Year ' 6.59 Crores).

2.31 (a) During the year the company has written off amount invested in the form of Preference Shares of ' 555.28 crores &

Inter Corporate Loans of ' 221.47 crores given to Overseas Subsidiary Companies upon receipt of approval for write
off from Authorised Dealer as per ODI guidelines of Reserve Bank Of India.

As the company had made full provision for diminution/ Impairment in value in earlier years consequently there is no
effect on current year accounts.

(b) The company had given advance amounting to ' 99.51 Crores to Kamineni Steel and Power India Private Limited
(KSPIPL) a party undergoing insolvency proceedings under the Insolvency and Bankruptcy Code (IBC), had been acquired
by Kalyani Steel Ltd. As per order amount is not recoverable, hence it is being written off.

As the company had made full provision in earlier years consequently there is no effect on current year accounts.

2.32 Dividend income on perpetual preference shares have not been considered as dividend is not declared.

2.33 Dues to MSME suppliers

Under the Micro, Small and Medium Enterprises Development Act, 2006, (MSMED) which came into force from 2nd
October 2006, as amended on 1st June, 2020, certain disclosures are required to be made relating to Micro Enterprises
and Small Enterprises. As per the information available with the Company, the company owes ' 4.23 Crores (Previous
Year ' 2.22 Crores) to MSME.

2.37 Segment Information

The Group's operating segments are established on the basis of those components of the group that are evaluated
regularly by the Executive Committee (the 'Chief Operating Decision Maker' as defined in Ind AS 108 - 'Operating
Segments'), in deciding how to allocate resources and in assessing performance. These have been identified taking into
account nature of products and services, the differing risks and returns and the internal business reporting systems.

The accounting policies adopted for segment reporting are in line with the accounting policy of the Company with
following additional policies for segment reporting.

Revenue and Expenses have been identified to a segment on the basis of relationship to operating activities of the
segment. Revenue and Expenses which relate to enterprise as a whole and are not allocable to a segment on reasonable
basis have been disclosed as "Others".

Segment Assets and Segment Liabilities represent Assets and Liabilities in respective segments. Investments, tax related
assets and other assets and liabilities that cannot be allocated to a segment on reasonable basis have been disclosed as
"Others"

Identification of Segments

Business segment: The Company's operating businesses are organised and managed separately according to the nature
of products, with each segment representing a strategic business unit that offers different products. The three identified
segments are Steel Pipes & Tubes , Power - Electricity and RIG.

Inter Division transfers of goods, as marketable products produced by separate divisions of the company for captive
consumption are made as if sales were to third parties at current market prices and are included in turnover.

Capital Management

The primary objective of the Company's capital management is to ensure availability of funds at competitive cost for its
operational and development needs and maintain a strong credit rating and healthy capital ratios in order to support its
business and maximize shareholder value.

The Company manages its capital structure and makes changes in view of changing economic conditions. No changes were
made in the objectives, policies or process during the year ended 31.03.2025 and 31.03.2024. There have been no breaches of
the financial covenants of any interest bearing loans and borrowings for the reported period.

The Company monitors capital structure on the basis of debt to equity ratio. For the purpose of Company's capital management,
equity includes paid up equity share capital and reserves and surplus and effective portion of cash flow hedge and debt
comprises of long term borrowings including current maturities of these borrowings.

The following table summarises total debt and equity of the Company:

Fair Value Techniques:

The fair value of the financial assets and liabilities are included at the amount that would be received to sell an asset or
paid to transfer a liability in an orderly transaction between market participants at the measurement date.

The following methods and assumptions were used to estimate the fair values:

a) Fair value of cash and short term deposits, trade receivables, trade payables, current loans, other current financial
assets, short term borrowings and other current financial liabilities approximate to their carrying amount largely due to
the short term maturities of these instruments.

b) The fair value of investment in quoted Equity Shares and Mutual Funds is measured at quoted price or NAV.

c) All foreign currency loans and liabilities are translated using exchange rate at reporting date.

d) Interest free loan given / deferred sales tax is discounted at 9.00% p.a. to arrive at fair value.

Fair Value Hierarchy

The following table provides the fair value measurement hierarchy of Company's asset and liabilities grouped into Level 1
to Level 3 as described below:

Quoted prices / published Net Asset Value (NAV) in an active markets (Level 1): This level of hierarchy includes financial
assets that are measured by reference to quoted prices (unadjusted) in active markets for identical assets or liabilities and
financial instruments like mutual funds for which NAV is published by mutual funds. This category consist mutual fund
investments and equity share instrument of other companies.

Valuation techniques with observable inputs (Level 2): This level of hierarchy includes financial assets and liabilities, measured
using 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).

Valuation techniques with significant unobservable inputs (Level 3): This level of hierarchy includes financial assets and
liabilities measured using inputs that are not based on observable market data (that is, unobservable inputs). Fair values

are determined in whole or in part, using a valuation model based on assumption that are neither supported by prices
from observable current market transactions in the same instrument nor are they based on available market data.

Assets and Liabilities Measured at Fair Value (Accounted)

The fair values of the financial assets and financial liabilities included in the level 2 categories above have been determined
in accordance with generally accepted pricing models based on a discounted cash flow analysis, with the most significant
inputs being the discount rate that reflects the credit risk of counterparties. Following table describes the valuation
techniques used and key inputs to valuation for level 2 of the fair value hierarchy as at 31.03.2025 and 31.03.2024.

2.47 Financial Risk Management Objectives and Policies

The Company's financial risk management is an integral part of how to plan and execute its business strategies. The
Company's activities exposed to various risk such as market risk, credit risk and liquidity risk.

The sensitivity analyses exclude the impact of movement in market variables on the carrying value of post-employment
benefit obligations, provisions and on non-financial assets and liabilities. The sensitivity of the relevant statement of profit
and loss item is the effect of the assumed changes in respective market rates. The company's activities are exposed to
varieties of financial risk including the effect of changes in foreign currency exchange rates and interest rates. The company
uses derivatives financial instruments such as foreign exchange forward contracts of varying maturity depending upon
the underlying contract and risk management strategy to manage its exposures to foreign exchange fluctuation and interest
rates.

The Board of Directors reviews and agrees policies for managing each of these risks which are summarised below.
Market risk and sensitivity
1. Foreign Currency Risk and Sensitivity

Foreign Currency Risk is the risk that the present exposure or Future Cash Flows will fluctuate because of changes in
foreign currency rates. The company follow natural hedging to the extend of inward and outward of forex exposure and
takes forward contracts to minimise the risk of fluctuation in foreign exchange rates for remaining amount. Exposures can
arise on account of the various assets and liabilities which are denominated in currencies other than Indian Rupee.

The following table shows foreign currency exposures in US Dollar & other foreign currencies.

3. Credit Risk

Credit risk is the risk that a customer or counterparty to a financial instrument fails to perform or pay the amounts due
causing financial loss to the Company. Credit risk arises from Company's activities in investments, dealing in derivatives
and receivables from customers.

The Company has a prudent and conservative process for managing its credit risk arising in the course of its business
activities. Credit risk across the Company, is actively managed through Letters of Credit, Bank Guarantees, advance
payments and security deposits .

The Company extends credit to customers in normal course of business. The Company considers factors such as credit
track record in the market and past dealings for extension of credit to customers. The Company monitors the payment
track record of the customers. Outstanding customer receivables are regularly monitored. The company evaluates the
concentration of risk with respect to trade receivables as low, as its customers are located in several jurisdictions and
operate in largely independent markets.

The ageing of trade receivable is as below:

4. Liquidity Risk

Liquidity risk is the risk that the company may not be able to meet its present and future cash and collateral obligations
without incurring unacceptable losses.

The Company monitors its risk to a shortage of funds using a recurring liquidity planning tool. This tool considers the
maturity of both its financial investments and financial assets (i.e. trade receivables, other financial assets) and projected
cash flows from operations. The Company's objective is to maintain a balance between continuity of funding and flexibility
through the use of working capital loans, letter of credit facility, bank loans and credit purchases.

The table below provides details regarding the remaining contractual maturities of financial liabilities at the reporting date
based on contractual undiscounted payments.

F. Other Statutory information

i) The Company does not have any Benami property, where any proceeding has been initiated or pending against the
Company for holding any Benami property

ii) The Company has not advanced or loaned or invested funds to any other person(s) or entity(is), including foreign entities
(Intermediaries) with the understanding that the Intermediary shall: (a) directly or indirectly lendor 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.

The Company has not received any fund from any person(s) or entity(is), 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.

iii) The Company does not have any charges or satisfaction which is yet to be registered with ROC beyond the statutory
period.

iv) The Company has not traded or invested in Crypto currency or Virtual Currency during the financial year.

v) The Company does not have any transaction which is not recorded in the books of accounts that has been surrendered
or disclosed as income during the year in the tax assessments under the Income Tax Act, 1961 (such as, search or
survey or any other relevant provisions of the Income Tax Act, 1961).

vi) The Company is not declared as willful defaulter by any bank or financial institution (as defined under the Companies
Act, 2013) or consortium thereof or other lender in accordance with the guidelines on willful defaulters issued by the
Reserve Bank of India.

vii) The Company has complied with the number of layers for its holding in downstream companies prescribed under
clause (87) of section 2 of the Companies Act, 2013 read with the Companies (Restriction on number of Layers) Rules,
2017

viii) The Company has not revalued any of its Property, Plant and Equipment (including Right-of-Use Assets) during the
year.

xii) Quarterly returns or statements of current assets filed by the Company with banks or financial institutions are in
agreement with the books of accounts.

2.49 The company has been maintaining its books of accounts in the ERP which has feature of recording audit trail of each and
every transaction made in the account along with the date when such changes were made and ensuring that the audit
trail cannot be disabled throughout the year as required by proviso to sub rule (1) of rule 3 of The Companies (Accounts)
Rules, 2014 known as the Companies (Accounts) Amendment Rules, 2021. On certain tables for specific access, audit trail
feature has not been enabled as it would result into considerable degradation of performance.

2.50 Events occuring after balance sheet:

On 26 May 2025, the board of directors recommended a final dividend of f 10 per equity share of f 5 each to be paid to
the shareholder for the financial year 2024-25, which is subject to approval by the shareholders at the Annual General
Meeting to be held on 28 August 2025. If approved, the dividend would result in cash outflow of f 134 crores.

2.51 Previous year figures have been regrouped / recast, where necessary, to conform to the current year classification.

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

For Kanodia Sanyal & Associates D.P. JINDAL SAKET JINDAL

Chartered Accountants Chairman Managing Director

Registration No. 008396N DIN: 00405579 DIN: 00405736

R K KANODIA ASHOK BHANDARI ARUP MANDAL RAM JI NIGAM

Partner Director Chief Financial Officer Company Secretary

Membership No-016121 DIN: 00012210 ACS: 18763

Place : New Delhi Place: New Delhi

Date : 26th May, 2025 Date: 26th May, 2025