n) Provisions and Contingencies

Provisions are recognized when there is 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. Provisions are reviewed at each standalone balance sheet date and are adjusted
to reflect the current best estimate.

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 liabilities are disclosed when there is a possible obligation arising from past events, the existence of which will be
confirmed only by the occurrence or non-occurrence of one or more uncertain future events not wholly within the control of
the Company or a present obligation that arises from past events where it is either not probable that an outflow of resources
will be required to settle or a reliable estimate of the amount cannot be made. Information on contingent liability is disclosed
in the Notes to the Standalone Financial Statements.

Contingent assets are not recognised but disclosed when the inflow of economic benefits is probable. However, when the
realisation of income is virtually certain, then the related asset is no longer a contingent asset, but it is recognised as an asset.

o) Fair value measurement

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 which can be accessed by the Company for the

asset or liability.

The fair value of an asset or a liability is measured using the assumptions that market participants would use when pricing
the asset or liability, assuming that market participants act in their economic best interest.

The Company uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available
to measure fair value, maximising the use of relevant observable inputs and minimising the use of unobservable inputs.

All assets and liabilities for which fair value is measured or disclosed in the financial statements are categorised 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 recognised in the financial statements on a recurring basis, the Company determines
whether transfers have occurred between levels in the hierarchy by re-assessing categorisation (based on the lowest level
input that is significant to the fair value measurement as a whole) at the end of each reporting period.

p) Financial assets

Initial recognition and measurement

All financial assets are recognised initially at fair value plus, in the case of financial assets not recorded at fair value through
profit or loss, transaction costs that are attributable to the acquisition of the financial asset. Purchases or sales of financial
assets that require delivery of assets within a time frame established by regulation or convention in the market place (regular
way trades) are recognised on the trade date, i.e., the date that the Company commits to purchase or sell the asset. Trade
receivables that do not contain a significant financing component are measured at transaction price.

Subsequent measurement

Subsequent measurement is determined with reference to the classification of the respective financial assets. Based on the
business model for managing the financial assets and the contractual cash flow characteristics of the financial asset, the
Company classifies financial assets as subsequently measured at amortised cost, Fair Value through Other Comprehensive
Income (FVTOCI) or Fair Value through Profit and Loss (FVTPL).

Financial Assets measured at amortised cost

Financial Assets such as trade and other receivables, security deposits and loans given are measured at the amortised cost
if both the following conditions are met:

• The asset is held within a business model whose objective is to hold assets for collecting contractual cash flows, and

• Contractual terms of the asset give rise on specified dates to cash flows that are solely payments of principal and
interest (SPPI) on the principal amount outstanding.

After initial measurement, such financial assets are subsequently measured at amortised cost using the effective interest
rate (EIR) method. Amortised cost is calculated by taking into account any discount or premium on acquisition and fees or
costs that are an integral part of the EIR. The EIR amortisation is included in finance income in the profit or loss. The losses
arising from impairment are recognised in the Statement of profit and loss.

Financial Assets measured at FVTOCI

A Financial Asset is classified as at the FVTOCI if both of the following criteria are met:

• The objective of the business model is achieved both by collecting contractual cash flows and selling the financial
assets, and

• The asset’s contractual cash flows represent SPPI.

Financial Assets included within the FVTOCI category are measured initially as well as at each reporting date at fair value.
Fair value movements are recognized in the Other Comprehensive Income (OCI).

Financial Assets measured at FVTPL

FVTPL is a residual category for Financial Assets excluding investments in subsidiary and associate companies. Any
Financial Asset, which does not meet the criteria for categorization as at amortized cost or as FVTOCI, is classified as at
FVTPL.

After initial measurement, any fair value changes including any interest income, foreign exchange gain and losses,
impairment losses and other net gains and losses are recognised in the Statement of Profit and Loss.

Equity investments

All equity investments in scope of Ind-AS 109 are measured at fair value. Equity instruments which are held for trading are
classified as at FVTPL. For all other equity instruments, the Company decides to classify the same either as at FVTOCI
or FVTPL. The Company makes such election on an instrument-by-instrument basis. The classification is made on initial
recognition and is irrevocable.

Equity instruments included within the FVTPL category are measured at fair value with all changes recognized in the
Statement of Profit and loss.

Derecognition

A financial Asset is primarily derecognised when:

• The rights to receive cash flows from the asset have expired, or

• The Company has transferred its rights to receive cash flows from the asset or has assumed an obligation to pay the
received cash flows in full without material delay to a third party under a ‘pass-through’ arrangement; and either

a) The Company has transferred substantially all the risks and rewards of the asset, or

b) The Company has neither transferred nor retained substantially all the risks and rewards of the asset, but has
transferred control of the asset.

On de-recognition, any gains or losses on all Financial Assets (other than Financial Assets measured at FVTOCI) and
equity investments (measured at FVTPL) are recognized in the Statement of Profit and Loss. Gains and losses in respect of

Financial Assets measured at FVTOCI and that are accumulated in OCI are reclassified to Statement of Profit And Loss on
de-recognition. Gains or losses on equity investments measured at FVTOCI that are recognized and accumulated in OCI
are not reclassified to Statements of Profit and Loss on de-recognition.

Impairment of financial assets

In accordance with Ind AS 109, the Company applies expected credit loss (ECL) model for measurement and recognition of
impairment loss on the following financial assets and credit risk exposure:

a) Financial assets that are debt instruments, and are measured at amortised cost e.g., loans, debt securities, deposits,
trade receivables and bank balance.

b) Financial assets measured at FVTOCI.

In case of other assets (listed as a) above), the Company determines if there has been a significant increase in credit
risk of the financial asset since initial recognition. If the credit risk of such assets has not increased significantly, an
amount equal to 12-month ECL is measured and recognized as loss allowance. However, if credit risk has increased
significantly, an amount equal to lifetime ECL is measured and recognized as loss allowance.

q) Financial liabilities

Initial recognition and measurement

All financial liabilities are recognised initially at fair value and, in the case of loans and borrowings and payables, net of
directly attributable transaction costs.

The Company’s financial liabilities include trade and other payables, loans and borrowings including bank overdrafts, and
derivative financial instruments.

Subsequent measurement

The measurement of financial liabilities depends on their classification, as described below:

Financial liabilities at fair value through profit or loss

Financial liabilities at FVTPL include financial liabilities designated upon initial recognition as at FVTPL.

For liabilities designated as FVTPL, fair value gains/ losses attributable to changes in own credit risk are recognized in OCI.
These gains/ loss are not subsequently transferred to Statement of Profit and Loss. However, the company may transfer the
cumulative gain or loss within equity. All other changes in fair value of such liability are recognised in the Statement of Profit
and Loss.

Financial liabilities at amortized cost

Financial liabilities classified and measured at amortised cost such as loans and borrowings are initially recognized at fair
value, net of transaction cost incurred. After initial recognition, financial liabilities are subsequently measured at amortised
cost using the Effective interest rate (EIR) method. Gains and losses are recognised in Statement of Profit and Loss when
the liabilities are derecognised as well as through the EIR amortisation process.

Amortised cost is calculated by taking into account any discount or premium on acquisition and fees or costs that are an
integral part of the EIR. The EIR amortisation is included as finance costs in the Statement of Profit and Loss.

Derecognition

A financial liability is derecognised when the obligation under the liability is discharged or cancelled or expires. When
an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of
an existing liability are substantially modified, such an exchange or modification is treated as the de-recognition of the
original liability and the recognition of a new liability. The difference in the respective carrying amounts is recognised in the
Statement of Profit and Loss.

Derivative financial instruments

The Company uses derivative financial instruments to manage the commodity price risk and exposure on account of
fluctuation in interest rate and foreign exchange rates. Such derivative financial instruments are initially recognized at fair
value on the date on which a derivative contract is entered into and are subsequently measured at fair value with changes
being recognized in Statement of Profit and Loss. 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 through Statement of Profit and Loss.
Borrowings

Borrowings are initially recognised at fair value, net of transaction costs incurred. Borrowings are subsequently
measured at amortised cost. Any differences between the proceeds (net of transaction costs) and the redemption
amount is recognised in Statement of Profit and loss over the period of the borrowing using the effective interest
method. Fees paid on the establishment of loan facilities are recognised as transaction costs of the loan to the
extent that it is probable that some or all of the facilities will be drawn down. In this case, the fee is deferred until the
drawdown occurs.

The borrowings are removed from the Standalone balance sheet when the obligation specified in the contract is discharged,
cancelled or expired. The difference between the carrying amount of the financial liability that has been extinguished or
transferred to another party and the consideration paid including any noncash asset transferred or liabilities assumed, is
recognised in Statement of Profit and Loss as other gains/(losses).

Borrowings are classified as current liabilities unless the group has an unconditional right to defer settlement of the liability of
at least 12 months after the reporting period. Where there is a breach of a material provision of a long term loan arrangement
on or before the end of the reporting period with the effect that the liability becomes payable on demand on the reporting
date, the Company does not classify the liability as current, if the lender agreed, after the reporting period and before the
approval of the financial statement for issue, not to demand payment as a consequence of the breach.

Foreign currency convertible bonds (FCCBs)

FCCBs are separated into liability and equity components based on the terms of the contract. On issuance of the FCCBs,
the fair value of the liability component is determined using a market rate for an equivalent non-convertible instrument.
This amount is classified as a financial liability measured at amortised cost (net of transaction costs) until it is extinguished
on conversion or redemption. The remainder of the proceeds is allocated to the conversion option that is recognised and
included in equity since conversion option meets Ind AS 32 criteria for fixed to fixed classification. Transaction costs are
apportioned between the liability and equity components of the FCCBS based on the allocation of proceeds to the liability
and equity components when the instruments are initially recognised.

Offsetting of Financial Assets and Liabilities

In accordance with Ind AS 32, Financial Assets and Financial Liabilities are offset and the net amount is reported in the
standalone balance sheet if there is a currently enforceable legal right to offset the recognised amounts and there is an
intention to settle on a net basis, to realise the assets and settle the liabilities simultaneously. The legally enforceable right
must not be contingent on future events and must be enforceable in the normal course of business and in the event of
default, insolvency or bankruptcy of the company, or the counterparty.

r) Taxes on income

Current tax is the amount of tax payable as per special provisions relating to income of shipping companies under the
Income Tax Act, 1961 on the basis of deemed tonnage income of the Company and tax payable on other taxable income
for the year determined in accordance with the applicable tax rates and provisions of the Income Tax Act, 1961 and other
applicable tax laws.

Minimum Alternate Tax (MAT) paid in accordance with the tax laws, which gives future economic benefits in the form of
adjustment to future income tax liability, is considered as an asset if there is convincing evidence that the Company will pay
normal income tax. Accordingly, MAT is recognised as an asset in the Standalone balance sheet when it is highly probable
that future economic benefit associated with it will flow to the Company.

Deferred tax is recognised on differences between the carrying amounts of assets and liabilities in the Standalone Balance
sheet and the corresponding tax bases used in the computation of taxable profit and are accounted for using the liability
method. Deferred tax liabilities are generally recognised for all taxable temporary differences, and deferred tax assets are
generally recognized for all deductible temporary differences, carry forward tax losses and allowances to the extent that it is
probable that future taxable profits will be available against which those deductible temporary differences, carry forward tax
losses and allowances can be utilised. Deferred tax assets and liabilities are measured at the applicable tax rates. Deferred
tax assets and deferred tax liabilities are off set, and presented as net.

Current and deferred tax relating to items directly recognised in reserves are recognised in reserves and not in the Statement
of Profit and Loss.

Further, the Company is paying taxes on the basis of deemed tonnage income therefore there is no impact on deferred tax.

s) Earnings per share

Basic earnings per share is computed by dividing the profit / (loss) after tax (including and excluding the post-tax effect of
exceptional items, if any) by the weighted average number of equity shares outstanding during the year. Diluted earnings
per share is computed by dividing the profit / (loss) after tax (including and excluding the post-tax effect of exceptional items,
if any) as adjusted for dividend, interest and other charges to expense or income (net of any attributable taxes) relating to
the dilutive potential equity shares, by the weighted average number of equity shares considered for deriving basic earnings
per share and the weighted average number of equity shares which could have been issued on the conversion of all dilutive
potential equity shares.

Potential equity shares are deemed to be dilutive only if their conversion to equity shares would decrease the net profit per
share from continuing ordinary operations. Potential dilutive equity shares are deemed to be converted as at the beginning
of the period, unless they have been issued at a later date. The dilutive potential equity shares are adjusted for the proceeds
receivable had the shares been actually issued at fair value (i.e. average market value of the outstanding shares). Dilutive
potential equity shares are determined independently for each period presented. The number of equity shares and potentially
dilutive equity shares are adjusted for share splits / reverse share splits and bonus shares, as appropriate.

t) Cash and Cash equivalents

For the purpose of presentation in statement of cash flows, cash and cash equivalents includes cash on hand, deposit held
at call with financial institution, other short term, highly liquid investments with original maturities of 3 months or less that are
readily convertible to known amounts of cash and which are subject to an insignificant risk of changes in value, and bank
overdrafts. Bank Overdrafts are shown within borrowings in current liabilities in Standalone balance sheet.

u) Cash flow statement

Cash flows are reported using the indirect method, whereby profit / (loss) before exceptional items and tax is adjusted for
the effects of transactions of non-cash nature and any deferrals or accruals of past or future cash receipts or payments.
The cash flows from operating, investing and financing activities of the Company are segregated based on the available
information.

v) Segment reporting

Operating segments are defined as components of an enterprise for which available discrete financial information is
evaluated based on a single operating segment “Shipping”, regularly by the chief operating decision maker, in deciding how
to allocate resources and assessing performance.

Segment revenue, segment expenses, segment assets and segment liabilities have been identified to segments on the
basis of their relationship to the operating activities of the segment revenue is accounted on the basis of transactions which
are primarily determined based on market / fair value factors.

w) Exceptional items

When items of income or expense are of such nature, size or incidence that their disclosure is necessary to explain the
performance of the Company for the year, the Company makes a disclosure of the nature and amount of such items
separately under the head “Exceptional Items”.

Foot notes:-

Repayment terms:

a) Secured debentures: 8.25%, 2,50,00,000 unlisted debentures issued on 8 August 2024 redeemable as per agreed
terms. Debentures issued on preferential basis by conversion of outstanding secured loan into NCDs in one or more
tranches to the extent of ' 250 crores. The same is secured by pledge on the shares of foreign subsidiary companies,
charge on semi-submersible rig or asset proposed owned by above subsidiary company and any other security as may
be agreed between both parties.

b) Secured debentures: 1%, 6,00,00,000 unlisted debentures issued on 8 August 2024 redeemable as per agreed terms.
Debentures issued on preferential basis by conversion of outstanding secured loan into NCDs in one or more tranches
to the extent of ' 600 crores. The same is secured by charge over the Overseas Direct Investments in two overseas
subsidiaries and any other security as may be agreed between both parties. [Refer foot note (i) of Note 3].

c) Secured debentures: 1%, 3,20,00,000 unlisted debentures issued on 13 December 2023 were fully redeemed by the
company during the year.

d) Secured loan: During the preceeding year, the company has borrowed additional inter-corporate deposits from a group
company in order to redeem the FCCBs dues which were due as on 24 August, 2023. The intercorporate deposits received
were converted into Non Convertible Debentures to the extent of k 250 crores [refer foot note (c)]. Balance amount stands
outstanding in books of accounts and carry interest @ 8.25% p.a.The loan is secured by sale proceeds from investment
in overseas subsidiary companies. During the preceeding year, the company has borrowed loan from another company
for redeeming the FCCB dues. The loan received was converted into Non Convertible Debentures to the extent of k
850 crores [refer foot note (a) and (b)]. Balance amount stands outstanding in books of accounts and carry interest @
8.25% p.a. This loan is classified as current liability in the books of accounts. The loan is secured by sale proceeds from
investment in equity and preference shares of overseas subsidiary companies. [Refer foot note (i) of Note 3]

e) Unsecured debentures: 1%, 2,50,00,000 unlisted debentures issued on 8 August 2024 redeemable as per agreed
terms. Debentures issued on preferential basis by conversion of outstanding secured loan into NCDs in one or more
tranches to the extent of k 250 crores. The debentures are unsecured and unlisted.

f) Unsecured loan: During the year, the company availed unsecured loan from a company amounting k200 crores in order
to fund the repayment of secured loan [refer note (d)]. The loan was provided on urgent basis to enable the company to
honour its commitment to repay the secured loan on demand as per the terms.

g) The classification of loans between current liabilities and non - current liabilities continues based on repayment schedule
under respective agreements and on the basis of demands raised by banks & debenture holders.

h) Interest rates: Loans availed from the lenders carry a weighted average interest rate of 5.74% per annum (previous year:
5.00% per annum)

ii) Mortality rates considered are as per the published rates in the Indian Assured Lives Mortality (2012-14) Table. (Indian
Assured Lives Mortality (2006-08)) mortality table.

iii) Leave policy: Leave balance as at the valuation date and each subsequent year following the valuation date to the extent
not availed by the employee accrued till 31 December, 2014, is paid to the respective employees during the year.

iv) The contribution to be made by the Company for funding its liabilities for gratuity ( funded and non funded) and towards
provident fund during the financial year 2024-25 amounts to ^ 0.32 crore.

v) The expected rate of return on plan assets is based on market expectation, at the beginning of the year, for returns over
entire life of the related obligation.

vi) The assumption of future salary increases, considered in actuarial valuation, takes account of inflation, seniority,
promotion, supply and demand and other relevant factors.

vii) Liability on account of long term absences has been actuarially valued as per Projected Unit Credit Method.

viii) Short term compensated absences have been provided on actual basis.

(a) Interest Income on Claims receivable/ Write off of claims receivable

During the year, the company has signed a settlement agreement with Steel Authority of India Limited (SAIL) under the Vivad
Se Vishwas Scheme - II. As per the Scheme, the company received 65% of original claim amount plus interest which was
accounted as exceptional item in the earlier year. Amount of interest estimated was ^45 crores. However, actual interest of
^44.97 crores was received by the company on SAIL award. Estimated amount of ^45 crore is reversed as exceptional loss
and actual interest received of ^44.97 crore is booked as exceptional income.

(b) Reversal of provision for impairment as per Ind AS 36 in the fair value of an associate based on management
assessment

The company have made provision for impairment on receivables from one of its foreign subsidiary company. During the
year, amount of ^ 32.15 crores are received against these receivables. Same is reversed from provision made and shown as
exceptional income.

(c) Reversal of Provision for impairment of loans & advances receivable from foreign subsidiary

The company have made provision for impairment on investment in one of its foreign subsidiary company. During the year,
the company entered into Sale Purchase Agreement for selling its entire stake in the shares of subsidiary company. Entire
amount of ^ 175.36 crores is reversed from provision made and shown as exceptional income [refer foot note (i) of Note 3].

(d) One Time Settlement charged paid to banks/ FIs

The company had settled the loan with the bank in earlier years and paid the dues through monetisation of assets and
recognised gain on settlement. Post settlement, the bank assigned the said loan to an Asset Reconstruction Company (ARC)
and the company was showing the liability as Contingent liabilities. Now during the quarter, the Company have paid ^ 0.60
crores to ARC agains the same as final settlement and received no due certificate from ARC company. The amount paid is
shown as an exceptional item.

(e) Provision for Impairment of loans and advances receivable from Subsidiary

During the year, the company has paid ^ 50 crore by way of One Time Settlement to lenders of a subsidiary company for
which the company was Guarantor. The company has additionally paid finance cost to one of the lenders amounting to ^
0.83 crore. The company has made Impairment provision for the amount receivable from this subsidiary because it is under
liquidation.

*Note: In case of Indian shipping companies, tax expense is computed based on the gross tonnage of the vessels for the
income subject to tonnage tax. In case of income not subject to tonnage tax, the same is calculated based on the taxable
profits calculated in accordance with the applicable tax laws. Effective tax rate calculated as per the Section 115BAA of the
Income Tax Act,1961.

21 Financial Instruments
(i) Capital management

The Company manages its capital to ensure that entities in the Company will be able to continue as a going concern
while maximising the return to stakeholders through the optimisation of the debt and equity balance. The Company’s
overall strategy remains unchanged from the previous year. The capital structure of the company consists of debt, which
includes the borrowings including temporary overdrawn balance, cash and cash equivalents including short term bank
deposits, equity comprising issued capital, reserves and non-controlling interests. The gearing ratio for the year is as
under:

The following table provides an analysis of financial instruments that are measured subsequent to initial recognition at fair
value, grouped into Levels 1 to 3 based on the degree to which the fair value is observable.

-Level 1 fair value measurements are those derived from quoted prices (unadjusted) in active markets for identical assets or
liabilities.

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

-Level 3 fair value measurements are those derived from valuation techniques that include inputs for the asset or liability that
are not based on observable market data (unobservable inputs).

The fair value of the financial assets and liabilities are included at the amount at which the instrument could be exchanged in a
current transaction between willing parties, other than in a forced or liquidation sale. The following methods and assumptions
were used to estimate the fair values:

a) Cash and short-term deposits, trade and other receivables, trade and other payables, and other current liabilities
approximate their carrying amounts largely due to the short-term maturities or nature of these instruments.

b) The fair value of loans from banks and other financial indebtedness as well as other non current financial liabilities is
estimated by discounting future cash flows using rates currently available for debt or similar terms and remaining maturities.

All foreign currency denominated assets and liabilities are translated using exchange rate at reporting date.

(iii) Fair value of financial instruments:

All financial assets are initially recognised at fair value of consideration paid. Subsequently, financial assets are carried at fair
value or amortized cost less impairment. Where non - derivative financial assets are carried at fair value, gains and losses on
re- measurement are recognised directly in equity unless the financial assets have been designated as being held at fair value
through profit or loss, in which case the gains and losses are recognised directly in the standalone statement of profit and loss.
Financial assets are designated as being held at fair value through profit or loss when it is necessary to reduce measurement
inconsistency for related assets and liabilities. All financial liabilities other than derivatives are initially recognised at fair value
of consideration received net of transaction costs as appropriate (initial cost) and subsequently carried at amortised cost.

(iv) Financial risk management objectives:

The Company’s principal financial liabilities comprise of loan from banks and financial institutions, finance lease obligations,
overdrafts and trade payables. The main purpose of these financial liabilities is to raise finance for the Company’s
operations. The Company has various financial assets such as trade receivables, cash and short term deposits, which
arise directly from its operations.

The main risks arising from Company’s financial instruments are foreign currency risk, interest rate risk, credit risk and
liquidity risk. The Board of Directors review and agree policies for managing each of these risks.

The following table details the Company’s sensitivity to a 5% increase and decrease in the functional currency against the
relevant foreign currencies of all the companies in the Company. 5% is the sensitivity rate used when reporting foreign
currency risk internally to key management personnel and represents management’s assessment of the reasonably possible
change in foreign exchange rates. The sensitivity analysis includes only outstanding foreign currency denominated monetary
items and adjusts their translation at the period end for a 5% change in foreign currency rates. A positive number below
indicates an increase in profit and other equity where the respective functional currency strengthens by 5% against the
relevant foreign currency. For a 5% weakening of the functional currency against the relevant currency, there would be an
equal and opposite impact on the profit and other equity, and the balances below would be negative.

(b) Interest rate risk:

The Company is exposed to interest rate risk as entities in the Company borrow funds at floating interest rates. The
interest rate risk is managed by monitoring the Company’s level of borrowings periodically and structuring its borrowings
on varying maturities and interest rate terms. The Company’s exposures to interest rates on financial assets and financial
liabilities are detailed in the liquidity risk management section of this note.

Interest rate sensitivity analysis:

The sensitivity analysis below has been determined based on the exposure to interest rates at the balance sheet date. For
floating rate liabilities, the analysis is prepared assuming the amount of liability outstanding at the balance sheet date was
outstanding for the whole year. A 50 basis point increase or decrease is used when reporting interest rate risk internally to
key management personnel and represents management’s assessment of the reasonably possible change in interest rates.
If interest rates had been 50 basis points higher/lower and all other variables were held constant, the Company’s loss
for the year ended 31 March, 2025 would increase/decrease by ' 6.65 crore (previous year ' 4.52 crore). This is mainly
attributable to the Company’s exposure to interest rates on its variable rate borrowings.

(c) Commodity price risk:

The Company does not deal in commodities and hence the disclosure pursuant to SEBI Circular dated November 15,
2018 is not required to be given.

(d) Other price risk:

The Company is not exposed to any significant equity price risks arising from equity investments, as on 31 March 2025.
Equity investments are held for strategic rather than trading purposes. The Company does not actively trade these
investments.

Equity price sensitivity analysis:

There is no exposure to equity price risks as at the reporting date or as at the previous reporting date.

(vi) Credit risk:

The credit risk is primarily attributable to the Company’s trade and other receivables and guarantees given by the Company
on behalf of others. The amounts presented in this standalone statement of financial position are net of allowances for
doubtful receivables, estimated by management based on prior experience and their assessment of the current economic
environment. The maximum related party credit exposure at 31 March, 2025 on account of carrying amount of advances
/deposit, trade and other receivables and guarantees is disclosed in note 27 on related party transactions. Based on the
creditworthiness of the related parties, financial strength of related parties and its parents and past history of recoveries
from them, the credit risk is mitigated.

Cash and cash equivalents are held with reputable and credit-worthy banks.

(vii) Fair value of financial instruments:

All financial assets are initially recognised at fair value of consideration paid. Subsequently, financial assets are carried
at fair value or amortized cost less impairment. Where non - derivative financial assets are carried at fair value, gains
and losses on re- measurement are recognised directly in equity unless the financial assets have been designated as
being held at fair value through profit or loss, in which case the gains and losses are recognised directly in the standalone
statement of profit and loss. Financial assets are designated as being held at fair value through profit or loss when it
is necessary to reduce measurement inconsistency for related assets and liabilities. All financial liabilities other than
derivatives are initially recognised at fair value of consideration received net of transaction costs as appropriate (initial
cost) and subsequently carried at amortised cost.

(viii) Liquidity risk:

Ultimate responsibility for liquidity risk management rests with the Board of Directors, which has built an appropriate
liquidity risk management framework for the management of the Company’s short, medium and long-term funding and
liquidity management requirements. The Company manages liquidity risk by maintaining adequate reserves, banking
facilities and reserve borrowing facilities, by continuously monitoring forecast and actual cash flows and matching the
maturity profiles of financial assets and liabilities.

The Company monitors its risk of shortage of funds using a recurring liquidity planning tool. This tool considers the
maturity of both its financial investments and financial assets (e.g. accounts receivables, other financial assets) and
projected cash flows from operations, public offerings and refinancing of current borrowings.

Liquidity table:

The following tables detail the Company’s remaining contractual maturity for its financial liabilities. The tables have been
drawn up based on the cash flows of financial liabilities based on the earliest date on which the Company can be required
to pay:

In the Annual general meeting held on September 9, 2011, the shareholders approved the issue of Employee Stock options
under the Scheme titled “Essar Shipping Employee Stock options Scheme -2011” (hereafter named ESOS A).

The ESOS A allows the issue of options to employees and executive Directors of the Company and its subsidiaries (whether
in India or abroad). Each option comprises one underlying equity share.

As per the Scheme, the Compensation Committee grants the options to the employees deemed eligible. The exercise price
of each option shall be determined by the Compensation committee as per the said scheme. The options granted vest in a
graded manner over a period of 5/4/3 years from the date of the grant in proportions specified in the Scheme. Options may be
exercised within 7 years from the date of vesting. The Company has issued the said ESOS in two tranches on November 2,
2011 and February 8, 2012 at an exercise price of ' 22.30 each, the market price of the shares on the grant date of the ESOS
was ' 22.30 per share and '31.30 per share respectively.

28 Going Concern

As on 31 March 2025, the net worth of the Company is eroded as it is incurring operating losses since last several years.
The Company has accumulated losses of ' 6,520.75 crore as against share capital and reserves of ' 5217.75 crore and the
Company's current liabilities exceeds its current assets.The Company has given Tug on Bare-boat charter basis and earned
operating income from the same. Further, the Company is also providing Management service to its Subsidiary Company
during the year. Also the Company is taking steps to rectify the mismatch between current assets and liabilities during the
year. In view of these, the Financials have been prepared on a Going Concern basis.

29 Expenditure on corporate social responsibility (CSR)

In pursuance of the provisions of the Companies Act, 2013, the Company is required to spend two percent of the average net
profits for the three immediately preceding financial years towards CSR activities. Due to the occurrence of net losses in the
three preceding financial years, the Company is not required to spend any amount on CSR.

30 Subsequent event

Post the year end, the company has received balance consideration of USD 8.4 Mn towards investment in shares of Energy
II Limited and the entire stake sale is concluded. Trasnfer of shares in the name of the buyer and RBI compliances are under
process.

31 Other Statutory Disclosure

The Company has not advanced or loaned or invested funds (either borrowed funds or share premium or any other sources or
kind of funds) to any other person(s) or entity(ies), including foreign entities (Intermediaries) with the understanding (whether
recorded in writing or otherwise) that the Intermediary shall, directly or indirectly lend or invest in other persons or entities
identified in any manner whatsoever by or on behalf of the company (Ultimate Beneficiaries) or (ii) provide any guarantee,
security or the like to or on behalf of the Ultimate Beneficiaries.

32 The Company has not received any funds 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 (i) 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 (ii)
provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries

33 The Company is not declared a wilful defaulter by any bank or financial institution or other lenders.

34 The Company has no borrowings from banks or financial institutions on the basis of security of current assets.

35 The Company does not have any transaction that are not recorded in the books of account that has been surrendered or

disclosed as income during the year in the tax assessments under the Income Tax Act, 1961

36 There are no proceedings initiated or pending for holding any benami property under the Benami Transaction (Prohitition)
Act, 1988

37 There is no Investment Property held by Company.

38 The Company has neither traded in nor holds Crypto Currency or Virtual Curency during the year.

39 During the current year, the company has not made any Loans or advances in the nature of Loans are granted to Promoters,

Directors, KMPs and the related parties (as define under Companies Act, 2013) either severally or jointly with any other
person, that are: (a) repayable on demand: or (b) without specifying any term or period of repayment.

40 The Company does not have any transaction with companies struck off under section 248 of the Company Act 2013, or
section 560 of Companies Act, 1956.

41 During the Year, Company has not taken any term loan from any bank of financial Institutions.

43 The previous year figures have been regrouped / reclassified wherever necessary to correspond with the current year’s
classification / disclosure.

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

For C N K & Associates LLP Rajesh Desai R Suresh

Chartered Accountants Director Director

Firm Registration No. : 101961 W/W-100036 (DIN: 08848625) (DIN: 09299459)

Diwakar Sapre Vipin Jain Bharat Modi

Partner Chief Financial Officer Company Secretary

Membership No. 040740 Membership No. A67152

Mumbai Mumbai

29 May, 2025 29 May, 2025