1.10 Provisions, contingent liabilities, contingent assets

A provision is recognised when an enterprise has a
present obligation as a result of past event and it is
probable that an outflow of resources will be required
to settle the obligation in respect of which a reliable
estimate can be made. Provisions are measured at the
present value of management's best estimate of the
expenditure required to settle the present obligations at
the end of the reporting period. 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 changes in the provision due to
the passage of time are recognised as finance cost.
Contingent liabilities are disclosed in the case of:

a) a present obligation arising from the past events,
when it is not probable that an outflow of resources
will be required to settle the obligation;

b) a present obligation arising from the past events,
when no reliable estimate is possible; and

c) a possible obligation arising from past events,
unless the probability of outflow of resources is
remote.

Contingent assets are not recognised but disclosed in
the financial statements when an inflow of economic
benefit is probable.

1.11 Employee benefits

A. Defined contribution plans

Retirement benefit in the form of contribution to
provident fund and pension fund are charged to
statement of Profit and Loss.

B. Defined benefit plan (funded)

Gratuity is the nature of a defined benefit plan.
Provision for gratuity is calculated on the basis of
actuarial valuation carried out at reporting date
and is charged to statement of profit and loss.
The actuarial valuation is computed using the
projected unit credit method.

Re-measurements, comprising of actuarial
gains and losses, the effect of the asset ceiling,
excluding amount included in net interest on the
net defined benefit liability and the return on plan
assets (excluding amount included in net interest
on the net defined benefit liability) are recognised
immediately in the Balance Sheet with a
corresponding debit or credit to retained earnings
through OCI in the period in which they occur. Re¬
measurement is not reclassified to profit or loss in
subsequent periods.

C. Other employee benefits (unfunded)

Leave encashment is recognised as an expense
in the statement of profit and loss account as and
when they accrue. The Company determines the
liability using the projected unit credit method
with actuarial valuations carried out as at balance
sheet date.

1.12 Revenue recognition

Revenue from sale of goods and services

The Company derives its revenue from sale of
manufactured goods & traded goods primarily from
steel segment and also from royalty services in respect
of franchisee arrangement. The Company recognises
revenue from sale of products & services at a time
when performance obligations are satisfied and upon
transfer of control of promised products and services
to the customer as per the contract, in an amount that
reflects the consideration, the Company expects to
receive in exchange for their products or services. The
Company disaggregates the revenue based on nature
of products.

The revenue from sale of goods and services is net of
variable consideration on account of various discounts
and schemes offered by the Company.

Royalty income is recognised as per the contract when
the goods are sold by the franchisee.

Sale of Power is recognised as per the agreement rates
as per contract based on the unit produced.

Interest income

Interest income is recognised using the EIR method.
The EIR is the rate that exactly discounts estimated
future cash receipts through the expected life of the
financial asset to the gross carrying amount of a
financial asset. When calculating the effective interest
rate, the Company estimates the expected cash flows
by considering all the contractual terms of the financial
instruments (for example, prepayment, extension, call
and similar options) but does not consider the expected
credit loss.

1.13 Taxes on income

Income tax expenses comprise current tax expenses
and the net change in the deferred tax asset or
liabilities during the year. Current and deferred tax
are recognised in statement of profit and loss, except
when they relate to items that are recognised in other
comprehensive income or directly in equity, in which
case, the current and deferred tax are also recognised
in other comprehensive income or directly in equity
respectively.

Current tax

The Company provides current tax based on the
provisions of the Income Tax Act, 1961 applicable to
the Company.

Deferred tax

Deferred tax is recognised using the balance sheet
approach. Deferred tax assets and liabilities are
recognised for deductible and taxable temporary
differences arising between the tax base of assets and
liabilities and their carrying amount.

Deferred tax liabilities are recognised for all taxable
temporary differences.

Deferred tax assets are recognised for all deductible
temporary differences, the carry forward of unused
tax credits and any unused tax losses. Deferred tax
assets are recognised to the extent that it is probable
that taxable profit will be available against which
the deductible temporary differences, and the carry
forward of unused tax credits and unused tax losses
can be utilised.

The carrying amount of deferred tax assets is reviewed
at each reporting date and reduced to the extent that it

is no longer probable that sufficient taxable profit will
be available to allow all or part of the deferred tax asset
to be utilised. Unrecognised deferred tax assets are re¬
assessed at each reporting date and are recognised
to the extent that it has become probable that future
taxable profits will allow the deferred tax assets to be
recovered.

Deferred tax assets and liabilities are measured at the
tax rates that are expected to apply in the year when the
asset is realized or liability is settled, based on tax rates
(and tax laws) that have been enacted or substantially
enacted at the reporting date.

Deferred tax relating to items recognised outside
profit or loss is recognised outside profit or loss (either
in other comprehensive income (loss) or in equity).
Deferred tax items are recognised in correlation to the
underlying transaction either in OCI or directly in equity.
Deferred tax assets and deferred tax liabilities are offset
if a legally enforceable right exists to set off current tax
assets against current tax liabilities and the deferred
taxes relate to the same taxable entity and the same
taxation authority.

1.14 Leases

In accordance with Ind AS 116, the Company
recognises right of use assets representing its right
to use the underlying asset for the lease term at the
lease commencement date. The cost of right of use
asset measured at inception shall comprise of the
amount of the initial measurement of the lease liability
adjusted for any lease payments made at or before
commencement date less any lease incentive received
plus any initial direct cost incurred and an estimate
of cost to be incurred by lessee in dismantling and
removing underlying asset or restoring the underlying
asset or site on which it is located. The right of use asset
is subsequently measured at cost less accumulated
depreciation, accumulated impairment losses, if
any, and adjusted for any re-measurement of lease
liability. The right of use assets is depreciated using the
straight-line method from the commencement date
over the shorter of lease term or useful life of right of
use asset. The estimated useful lives of right of use

assets are determined on the same basis as those of
property, plant and equipment. Right of use assets are
tested for impairment whenever there is any indication
that their carrying amounts may not be recoverable.
Impairment loss, if any, is recognised in statement of
profit and loss.

The Company measures the lease liability at the present
value of the lease payments that are not paid at the
commencement date of lease. The lease payments are
discounted using the interest rate implicit in the lease,
if that rate can be readily determined. If that rate cannot
be readily determined, the Company uses incremental
borrowing rate.

The lease liability is subsequently re-measured by
increasing the carrying amount to reflect interest
on lease liability, reducing the carrying amount to
reflect the lease payments made and re-measuring
the carrying amount to reflect any reassessment or
lease modification or to reflect revised-in-substance
fixed lease payments. The Company recognises
amount of re-measurement of lease liability due to
modification as an adjustment to write off use asset
and statement of profit and loss depending upon the
nature of modification. Where the carrying amount
of right of use assets is reduced to zero and there is
further reduction in measurement of lease liability, the
Company recognises any remaining amount of the re¬
measurement in statement of profit and loss.

The Company has elected not to apply the requirements
of Ind AS 116 to short term leases of all assets that have
a lease term of 12 months or less unless renewable on
long term basis and leases for which the underlying
asset is of low value. The lease payments associated
with these leases are recognised as an expense over
lease term.

1.15 New additional amended standard adopted by the
Company

Ministry of Corporate Affairs ("MCA") notifies new
standards under companies (Indian Accounting
Standards) Rules as issued from time to time. For the
year ended 31^st March, 2025, MCA has not notified
any new standards or amendments to the existing
standards applicable to the Company.

The repayment of equity share capital in the event of Liquidation and buy back of Shares are possible subject to prevalent
regulations. In the event of Liquidation, normally the equity shareholders are eligible to receive the remaining assets of the
Company after distribution of all preferential amount, in proportion of shareholding.

The Company has not allotted any fully paid up shares pursuant to contract(s) without payment being received in cash.
The Company has neither allotted any fully paid up shares by way of bonus shares nor has bought back any class of
shares during the period of five years immediately preceding the balance sheet date.

(d) Dividend

The Company declares and pays dividends in Indian Rupees. The dividend proposed by the Board of Directors is subject to
the approval of the shareholders in the ensuing Annual General Meeting except in case of interim dividend. The remittance
of dividends outside India is governed by Indian law on foreign exchange.

The amount of per share dividend recognised as distributions to equity shareholders during FY 2024-25 pertaining to FY
2023-24 amounted to ' 554.77 Lakhs have been shown as deduction from retained earning.

The Board of Directors of the Company in their meeting held on 7^th May, 2025 have proposed a dividend @ 25% i.e.
' 0.25/- per equity share for the financial year ended 31^st March, 2025, which are subject to the approval of shareholders
at the AGM.

e) Share warrants

(i) The Company has issued and allotted 27,50,000 (Twenty Seven Lakh Fifty Thousand only) share warrant convertible into
equivalent number of equity shares, having face value of ' 10/- per equity shares, within a period of 18 months from the
dated of allotment i.e 22^nd February, 2024 at an issue price of ' 353/- (Rupees Three Hundred and Fifty three Only) (including
premium of ' 343/- each) to individual (Non-Promoters) and Public-FPIs (Non-Promoters). The Company has received
' 2426.88 lakhs being 25% of the total amount payable towards subscription of the warrants from all the allotees in FY
2023-24.

During the year ended 31^st March 2025, the Company has received an amount of ' 2125.41 lakhs towards conversion of
8,02,800 warrants into equity shares (out of 27,50,000 warrants allotted on 22^nd February, 2024 at an issue price of ' 353/-
per warrant) on 28^th June, 2024. The utilization of the proceeds from issue of warrants and its abovesaid conversion into
equity shares have been given below:

ii) Demand of' 156.30 lakhs has determined u/s 74 and 50 of CGST Act, 2017 for FY 2017-18 & 2018-19 , out of which
' 3.35 lakhs has been deposited under protest, appeal against orders, have been filied to appropriate authority by the
Company

iii) Demand of' 47.83 lakhs has been determined u/s 73 and 50 of CGST Act, 2017 for FY 2020-21. Appeal for rectification
of Order filed on 2^nd April, 2025.

c) The Company vide its termination letter dated 19^th September, 2024 had terminated all MOUs, Agreements and License
User Agreement dated 29^th January, 2021 with Ashiana Ispat Limited. The litigations are currently sub-judice with the
Courts. However, based on the legal opinion obtained by the Company, these litigations will have no material impact on
the financial statements.

Defined contribution plan

The Company deposit an amount determined a fixed percentage on salary paid of every month to the state administerd
provident fund, employee state insurance and labour welfare fund for the benefit of employees.The total amount recognised
in statement of profit and loss during the financial year is ' 121.59 lakhs (31^st March, 2024: ' 121.23 lakhs) and is included in
note 32 " Employees benefit expenses".

Financial risk management framwork

The Company’s activities expose it to variety of financial risks viz. Credit risk, liquidity risk and market risk. These risks are
managed by the senior management of the Company supervised by the Board of Directors to minimize potential adverse
effects on the financial performance of the Company.

The Company’s principal financial liabilities comprise lease liabilities, trade payables, security deposits received, other payables
etc. The main purpose of these financial liabilities is to manage finances for the Company’s operations. The Company’s
principal financial assets include investments, trade receivables, unbilled revenue, cash and cash equivalents etc. that derive
directly from its operations.

The Company has exposure to the following risks arising from financial instruments:

1) Credit risk

2) Liquidity risk

3) Market risk

1) Credit risk

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.

Credit risk from cash and cash equivalents and bank deposits is considered immaterial in view of the credit worthiness of
the banks, the Company works with. The Company has specific policies for managing customer credit risk on an ongoing
basis; these polices factor in the customer’s financial position, past experience and other customer specific factors.
Financial instruments that are subject to concentration of credit risk principally consists of trade receivables, investments,
Loans, security deposit paid and other financial assets. None of the financial instruments of the Company results in
material concentration of credit risk.

Financial assets are written off when there is no reasonable expectation of recovery, such as a debtor failing to engage
in a repayment plan with the Company. The Company makes provision for doubtful debt or writes off, when a debtor fails
to make contractual payments based on provisioning matrix. When loans or receivables have either been provided for
or written off, the Company continues to engage in enforcement activity to attempt to recover the receivable due. When
recoveries are made, these are recognised in statement of profit and loss. The Company has followed expected credit loss
(ECL) model to provide for provision for ECL allowance.

2) Liquidity risk

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial
liabilities that are settled by delivering cash and another financial asset. The Company’s approach to managing liquidity is
to ensure as far as possible that it will have sufficient liquidity to meet its liabilities when they are due, under both normal
and stressed condition, without incurring unacceptable losses or risking damage to the Company’s reputation.

Ultimate responsibility for liquidity risk management rests with the board of directors, who 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 by continuously monitoring forecast and actual cash fows, and by matching the maturity profiles of
financial assets and liabilities.

Maturity profile of financial liabilities

The below table provide the detail regarding the remaining contractual maturities of financial liabilities at the reporting date
based on contractual undiscounted payments. The contractual maturities based on the earliest date on which Company
may be required to pay.

3) Market risk

Market risk is the risk that changes in the market prices such as foreign currency risk, interest risk, equity price and
commodity prices. The market risk will affect the Company’s income or value of its holding of financial instruments. The
objective of the market risk management is to manage and control market risk exposure within acceptable parameters,
while optimizing the returns.

i) Commodity risk

Demand/supply risk are inherent in the prices of Ingot/Billet, the main raw material and also the prices of TMT bar,
the main product in Steel segment. The requirement of raw material is sourced on spot basis so as to float with
fluctuations in the market and to guard against price volatility. The Company has also linked its sales to raw material
prices so that the Company has adequate cushion to protect its margin in the event of any increase/decrease in raw
material costs.

ii) Interest rate risk

Interest rate is the risk that fair value or future cash flows of a financial instrument will fluctate because of changes
in interest rate. There is no borrowings of funds by the Company during the year hence there is no interest rate risk.

iii) Price Related Risk

The Company’s exposure to price risk arises for investment in equity shares, portfolio management services, mutual
funds, bonds and other debts held by the Company. To manage its price risk arising from the above investments, the
Company diversifies its portfolio.

vi) Foreign Exchange Risk

The Company do not have any foreign currency exposure as at 31^st March, 2025.

Capital Management

The Company’s policy is to maintain a strong capital base so as to maintain investor, creditor and market confidence and to
sustain future development of the business. The Company have sufficient surplus to meet its business interest and any capital
risk in future.

During the year, The Company has not availed debts therefore gearing ratio (debt to total equity ratio) is not applicable for
current year.

Disclosure in accordance with requirements under Ind AS-10 Event after the reporting date:

(i) The Board of Directors of the Company have recommended a dividend @ 0.25 per equity share for the financial year

ended 31^st March, 2025 for the approval of shareholders. The actual dividend outgo will be dependent on share capital

outstanding as on record date.

(ii) The Company had allotted 40,00,000 equity shares of face value of ' 1 each, as fully paid-up shares at a price of ' 35.30

per equity share, consequent upon the conversion of 4,00,000 Warrants issued earlier at an Issue price of ' 353/- each,

after adjusting the number of shares, paid-up capital per share and premium per share post sub-division of nominal value
of the equity share of the Company from 1 Equity Share of ' 10/- each to 10 Equity Shares of ' 1/- each, upon conversion
of equivalent number of Warrants and after making necessary adjustment of Sub-division of equity shares. Company had
received remaining 75% (i.e ' 26.475 per share) amount of ' 1059 lakhs.

As per our report of even date attached For and on behalf of Board of Directors of Kamdhenu Limited

For S S Kothari Mehta & Co. LLP Sd/- Sd/-

Chartered Accountants (Satish Kumar Agarwal) (Sunil Kumar Agarwal)

Firm Registration No. 000756N / N500441 Chairman & Managing Director Whole Time Director

DIN: 00005981 DIN: 00005973

Sd/- Sd/- Sd/-

Sunil Wahal (Harish Kumar Agarwal) (Khem Chand)

Partner Chief Financial Officer Company Secretary

Membership No. 087294 ICAI M. No. 075505 M.No.- F10065

Place: Gurugram

Date : 7^th May, 2025