xii) Contingent Liabilities & Contingent assets

The Company recognizes a provision when there is a present obligation as a result of a past event that
probably requires an outflow of resources and a reliable estimate can be made of the amount of the
obligation. Contingent liabilities are disclosed in respect of possible obligations that may arise from past
events but their existence is confirmed by the occurrence or non-occurrence of one or more uncertain
future events not wholly within the control of the Company. Contingent Assets are neither recognized nor
disclosed in the financial statements. However, contingent assets are assessed continually and if it is
virtually certain that an inflow of economic benefits will arise, the assets and related income are recognized
in the period in which the change occurs.

xiii) Cash & Cash Equivalents

The Company considers all highly liquid financial instruments, which are readily convertible into known
amount of cash that are subject to an insignificant risk of change in value and having original maturities
of less than three months or less from the date of purchase, to be cash equivalents. Cash and cash
equivalents consist of cash in hand and balance with banks including margin money .

Others bank balance:-which include balances and deposit with banks that are restricted for withdrwal
and usage.

xiv) Borrowing Cost

Borrowing costs that are attributable to the acquisition or construction of qualifying assets are capitalised
as part of the cost of such assets. A qualifying asset is one that necessarily takes substantial period of
time to get ready for its intended use. All other borrowing costs are charged to Profit and Loss account.

xv) Income Tax

Tax expense for the period, comprising current tax and deferred tax, are included in the determination of
the net profit or loss for the period.

Current Tax

Current tax expenses is based on the provisions of Income Tax Act, 1961 and judicial interpretations
thereof as at the Balance Sheet date and takes into consideration various deductions and exemptions to
which the Company is entitled to as well as the reliance placed by the Company on the legal advices
received by it. Current tax assets and current tax liabilities are offset when there is a legally enforceable
right to set off the recognized amounts and there is an intention to settle the asset and the liability on a
net basis.Current Tax and deferred tax are recognised in Profit and Loss , Except when they related to
items that are recognised in OCI or directly in equity in which case, the current deferred tax also recognised
i equity respectively.

Deferred Tax

Deferred tax charge or credit reflects the tax effects of timing differences between accounting income
and taxable income for the current year and reversal of timing differences for earlier years. The deferred
tax charge or credit and the corresponding deferred tax liabilities or assets are recognized using the tax
rates that have been enacted or substantively enacted by the Balance Sheet date. Deferred tax assets
are recognized only to the extent there is reasonable certainty that the assets can be realized in future;
however, where there is unabsorbed depreciation or carry forward of losses, deferred tax assets are
recognized only if there is a virtual certainty of realization of such assets. Deferred tax assets are reviewed
at each Balance Sheet date and are written-down or written-up to reflect the amount that is reasonably/
virtually certain (as the case may be) to be realized. Deferred tax assets and deferred tax liabilities are
offsets when there is a legally enforceable right to set off assets against liabilities representing current
tax and where the deferred tax assets and the deferred tax liabilities relate to taxes on income levied by
the same governing tax laws.

xvi) Leases

a) The Company, as a lessee, recognises a right-of-use asset and a lease liability for its leasing
arrangements, if the contract conveys the right to control the use of an identified asset.

b) The contract conveys the right to control the use of an identified asset, if it involves the use of an
identified asset and the Company has substantially all of the economic benefits from use of the
asset and has right to direct the use of the identified asset. The cost of the right-of-use asset shall
comprise of the amount of the initial measurement of the lease liability adjusted for any lease
payments made at or before the commencement date plus any initial direct costs incurred. The
right-of-use assets is subsequently measured at cost less any accumulated depreciation,
accumulated impairment losses, if any and adjusted for any remeasurement of the lease liability.
The right-of-use assets is depreciated using the straight-line method from the commencement date
over the period of lease term.

c) The Company measures the lease liability at the present value of the lease payments that are not
paid at the commencement date of the lease. The lease payments are discounted using the
incremental borrowing rate of the company.

d) For short-term and low value leases, the Company recognises the lease payments as an operating
expense on a straight-line basis over the lease term.

xvii) Earning Per Share

Basic Earning Per Share is calculated by dividing the net profit for the period attributable to equity
shareholders by weighted average number of equity shares outstanding during the period.For the purpose
of calculating diluted earnings per share, net profit after tax during the year and the weighted average
number of shares outstanding during the year are adjusted for the effect of all dilutive potential equity
shares.

xviii) Fair value measurement

The Company measures financial instruments, such as,derivatives at fair value at each balance sheet
date.Fair value is the price 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 fair value measurement
is based on the presumption that the transaction to sell the asset or transfer the liability takes place
either:

• In the principal market for the asset or liability, or

• In the absence of a principal market, in the most advantageous market for the asset or liability.
The principal or the most advantageous market must be accessible by the company. The company uses
valuation techniques that are appropriate in the circumstances and for which sufficient data are available
to measure fair value, maximizing the use of relevant observable inputs and minimizing the use of
unobservable inputs. All assets and liabilities for which fair value is measured or disclosed in the financial
statements are categorized within the fair value hierarchy, described as follows, based on the lowest
level input that is significant to the fair value measurement as a whole:

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.

For assets and liabilities that are recognized in the financial statements on a recurring basis, the company
determines whether transfers have occurred between levels in the hierarchy by re-assessing categorization
(based on the lowest level input that is signifi cant to the fair value measurement as a whole) at the end
of each reporting period. The Company determines the policies and procedures for both recurring fair
value measurement, such as derivative instruments and unquoted financial assets measured at fair
value, and for non-recurring measurement, such as assets held for distribution in discontinued operations.

xix) Cash Flow Statement

Cash Flow are reported using the indirect method, whereby profit before tax is adjusted for the effects of
transactions of a non cash nature and any deferrals or accruals of past or future cash receipts or payments.
The cash flow from regular revenue generating, financing and investing activities of the company are
segregated.

xx) Key accounting estimates and judgements

The preparation of the Company’s financial statements requires the 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 Year.

B) Defined Benefit Plan
Gratuity

The company has a defined benefit gratuity plan. Every employee who has rendered continuous service of 5
years or more is entitled to gratuity at 15 day salary (15/26 * last drawn basis salary plus dearness allowances)
for each completed year for five years or more subject to maximum of rupees 20 lakhs on superannuation,
resignation Termination disablement ,or on death. The gratuity plan is a funded plan administered by a separate
Fund that is legally separated from the entity and the Company makes contributions to the insurer (LIC). The
Company does not fully fund the liability and maintains a target level of funding to be maintained over period of
time based on estimations of expected gratuity payments.

Leave encashment

The company has a policy to pay leave encashment. Every employee is entiltled to claim leave encashment
after his/her retirement/termination which is calculated based upon no. of leaves taken. The company pays
leave encashment on normal retirement for a maximum of 54 days or actual accumulation whichever is less.

* The discount rate is generally based upon the market yield on government bonds at the accounting date
relevant to currency of benefit payments for a term for a term that matches the liabilities.

** Under the PUC (Projected Unit Credit) method a projected accured benefit calculated at the beginning of
the period and again at the end of the period for each benefit that will accure for all active member of the plan.
The projected accrued benefit is based on the plan accrual formula and upon service as at the age at which
the employee is assumed to leave active service.

II) Sensitivity analysis

Reasonable possible change at the reporting date to one of the relevant actuarial assumption, holding
other assumption constant, would have effected the defined benefit obligation by the amount shown
below.

III) Risk exposure

Valuations are based on certain assumptions, which are dynamic in nature and vary over time. As such
company is exposed to various risks as follow -

A) Salary Increases- Actual salary increases will increase the Plan’s liability. Increase in salary increase
rate assumption in future valuations will also increase the liability.

B) Investment Risk - If Plan is funded then assets liabilities mismatch & actual investment return on
assets lower than the discount rate assumed at the last valuation date can impact the liability.

C) Discount Rate : Reduction in discount rate in subsequent valuations can increase the plan’s liability.

D) Mortality & disability - Actual death & disability cases proving lower or higher than assumed in the
valuation can impact the liabilities.

E) Withdrawals - Actual withdrawals proving higher or lower than assumed withdrawals and change of
withdrawal rates at subsequent valuations can impact Plan’s liability.

34 Disclosure as per Ind AS 21 ‘The Effects of Changes in Foreign Exchange Rates’

The amount of exchange differences (net) credited to the Statement of Profit & Loss is Rs 2.69 Lakhs (31
March 2024: Rs 21.99 Lakhs).

35 a) The Comapnay has taken cash credit and Non Fund credit facilities from a Bank against hypothecation of

Company’s entire current assets (present and future) including raw material. Consumables, stock in
process, finished goods and receivable by way of first charges .

b) The loan is additionally secured against cash collateral of Rs 50 lakhs.

c) Fixed deposit of Rs 57.89 lakhs pledged against overdraft facility availed by bank.

36 Disclosures as per Ind AS -24 ‘Related Party Disclosures’

I a) Related Parties over which the KMP has a significant influence

Jain Tube Co.Ltd.

Shrilon India LLP

b) Key Management Personnel :

Mr. Sushil Jain (CEO)

Mr. Akshat Jain ( Managing Director)

Mr. Satendra Paroothi (Whole time Director)

Mrs. Manisha Chamaria (Independent Director)

Ms. Neena Jain (Independent Director)- up to 30/09/2024
Mr. Sanjay Gupta (Independent Director)

Mr. Arun Kumar Garg (Independent Director)- wef 23/05/2024
Mr. Vishnu Pershad Mathur (Independent Director)- wef 04/11/2024
Mr. Vishesh Chaturvedi (Company Secretary)

Mr. N.K. Maheshwari (CFO)

c) Relative of KMP

Smt. Nandita Jain (Wife of Sushil Jain, CMD)

Ms. Ashima N.Mathur (Daughter of Sushil Jain)

Sushil Jain HUF ( Karta Sushil Jain)

The carrying amount of short term borrowings, trade payables, trade receivables, cash & cash equivalents
and other financial assets and liabilities are considered to be the same at their Fair values, due to their short
term nature.

There are no transfers between Level 1, Level 2 and Level 3 during the years ended 31st March 2025 and 31st
March 2024.

b) Fair Value hierarchy

All financial assets and liabilities for which fair value is measured in the financial statements are categorised
within the fair value hierarchy, described as follows: -

i) Level 1 - Quoted prices in active markets.

ii) Level 2 - Inputs other than quoted prices included within Level 1 that are observable, either directly or
indirectly.

ii) Level 3 - Inputs that are not based on observable market data.

B) Financial Risk management
Risk management framework

The Company’s board of directors has overall responsibility for the establishment and oversight of the company’s
risk management framework.

The Company through three layers of defence namely policies and procedures, review mechanism and
assurance aims to maintain a disciplined and constructive control environment in which all employees understand
their roles and obligations. The Audit committee of the Board with top management oversee the formulation
and implementation of the risk management policies. The risk are identified at business unit level and mitigation
plan are identified, deliberated and reviewed at appropriate forums.

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

- credit risk (see(i);

- liquidity risk (see(ii); and

- market risk (see(iii).
i) Credit risk

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,
Loan and investments.

a) The carrying amount of financial assets represents the maximum credit risk as on reporting date
Trade receivables and other financial assets

The Company has established a credit policy under which new customer is analysed individually for
creditworthiness before the Company’s standard payment and delivery terms and conditions are offered. The
Company’s review includes external ratings, if they are available, financial statements, credit agency information,
industry information and business intelligence. Sale limits are established for each customer and reviewed
annually. Any sales exceeding those limits require approval from the appropriate authority as per policy.

In monitoring customer credit risk, customers are grouped according to their credit characteristics, including
whether they are an individual or a legal entity, whether thay are institutional, dealers or end-user customer,
their geographic location, industry, trade history with the Company and existence of previous financial difficulties.

b) Provision for Expected credit loss:

(i) Financial assets for which loss allowance is measured using 12 month expected credit losses.

With regard to all financial assets with contractual cash flows, other than trade receivables, management
belives these to be high quality assets with negligible credit risk. The management believes that the parties
from which these financial assets are recoverable, have strong capacity to meet the obligations and where the
risk of default is negligible and accordingly no provision for excepted loss has been provided on these financial
assets.

(ii) Financial assets for which loss allowance is measured using life time expected credit losses

The Company provides loss allowance on trade receivables using life time expected credit loss and as per
simplified approach.

Based on internal assessment which is driven by the historical experience/ current facts available in relation to
default and delays in collection thereof, the credit risk for trade receivables is considered low. The Company
estimates its allowance for trade receivable using lifetime expected credit loss.

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 or 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 conditions, without incurring unacceptable losses or risk damage
to the Company’s reputation.

The Company’s treasury department is responsible for managing the short-term and long-term liquidity
requirements. Short term liquidity situation is reviewed daily by the treasury deparment. Longer term liquidity
position is reviewed on a regular basis by the Company’s Board of Directors and appropriate decisions are
taken according to the situation.

iii) Market risk

Market risk is the risk that changes in market prices, such as foreign exchange rates and interest rates will
affect the Company’s income or the value of its holding of financial instruments. The objective of market risk
management is to manage and control market risk exposures within acceptable parameters, while optimising
the return.

The company operates internationally and portion of the business is transacted in several currencies and
consequently the company is exposed to foreign exchange risk through its Sale and Purchase from overseas
suppliers in various foreign currencies.

The company evaluate exchange rate exposure arising from foreign currency transaction and the company
follow established risk management policies.

Exposure to currency risk

The summary quantitative data about the Company’s exposure to currency risk as reported to the management
of the Company is as follows:

Sensitivity analysis

A reasonable possible strengthening/ weakening of the USD or INR against all other currencies at year end
would have affected the measurement of financial instruments denominated in a foreign currency and affected
equity and profit or loss by the amounts shown below. This analysis assumes that all other variables, in
particular interest rates, remain constant and ignores any impact of forecast sales and purchases.

b) Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate
because of changes in market interest rate. In order to optimize the Company’s position with regards to
interest income and interest expenses and to manage the interest rate risk, treasury performs a comprehensive
corporate interest rate risk management by balancing the proportion of fixed rate and floating rate financial
instruments in its total portfolio.

45 OTHER STATUTORY INFORMATION :

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

(ii) The Company do not have any transactions with companies struck off.

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

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

(v) The Company have not advanced or loaned or invested funds(either borrowed funds or share premium
or any other sources or kind of fund) to any other person(s) or entity(ies), including foreign entities
Intermediaries) with the understanding (whether recorded in writing or otherwises) that the Intermediary
shall:

(a) 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

(b) provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.

(vi) The Company have not received any fund from any person(s) or entity(ies), 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.

(vii) The Company have no such 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).

(viii) The Company has complied with the number of layers prescribed under clause (87) of section 2 of the
Act read with the Companies (Restriction on number of Layers) Rules, 2017.

(ix) Title Deeds of all Immovable properties are held in the name of the company.

(x) The company does not have any investment property.

(xi) During the year the company has not revalued its property, plant and Equipment (including right -of-Use
Assets).

(xii) During the year the company has not revalued its intangible assets.

(xiii) During the year the company has not granted any Loan or advance in the nature of loans to promoters,
directors, KMPs and the related parties (as defined under Companies Act, 2013), either severally or
jointly with any other person that are:(a) repayable on demand or(b) without specifying any terms or
period of repayment.

(xiv) The company does not have Intangible assets under development

(xv) During the year any Scheme of Arrangements has not been approved by the Competent Authority in
terms of sections 230 to 237 of the Companies Act, 2013.

(xvi) The company has not declared willfull defaulter by RBI.

(xvii) The company has borrowings from banks or financial insititutions on the basis of security of current
assets.

46 During the Half Yearly Ended Sep 30,2024,the company concluded the buyback of 458268 equity shares of
face value Rs 10/- representing up to 4.22% of the total number of Equity Shares of the company at a price of
Rs 450/- per Equity Share (including premium of Rs 440/- per Equity Share ) payable in cash for an aggregate
amount of up to Rs 2062.21 Lakhs (excluding filling fees payable to the SEBI, advisor fees,stock exchange
fees,for usage of their platform for Buyback,transaction costs viz, brokerage,applicable taxes inter alia including
Buyback tax,securities transaction tax,GST,stamp duty,public announcement publication expenses,printing
and dispatch expenses and other incidental and related expenses etc.)(“Buyback Size”).The settlement of all
valid bids was completed by Indian Clearing Corporation Limited and the National Securities Clearing Corporation
(collectively referred to as the “Clearing Corporation”) on Sep 19,2024.The Shares bought back were
extinguished electronically on September 30,2024.Post buyback Paid up Share Capital of the Company reduced
to Rs 1039.17 Lacs divided into 10391732 Equity Shares of Rs 10/- each. Capital Redemption Reserve (included
in Reserve & Surplus) of Rs 45.83 Lakhs (representing the nominal value of the equity shares bought back)
has been created as an apportionment from retained earnings.

48 Previous year figures have been re-grouped / re-classified wherever necessary to correspond with the current
years classification disclosure.

As per our Report of even date attached

FOR B.K SHROFF & COMPANY For and on Behalf of the Board

CHARTERED ACCOUNTANTS
FRN: 302166E

(KAVITA NANGIA) (SUSHIL JAIN)

Partner Chairman & CEO

Membership No. : 090378 DIN.00323952

Place: New Delhi (V. CHATURVEDI) (N.K.MAHESHWARI)

Dated: 14th May, 2025 Company Secretary Chief Financial Officer