D) PROVISIONS AND CONTINGENT LIABILITIES

Provisions are recognised when the Company has a present legal or constructive obligation as a result of past
events, it is probable that an outflow of resources will be required to settle the obligation and the amount can
be reliably estimated. Provisions are not recognised for future operating losses. Where there are a number of
similar obligations, the likelihood that an outflow will be required in settlement is determined by considering
the class of obligations as a whole. A provision is recognised even if the likelihood of an outflow with respect to
any one item included in the same class of obligations may be small.

Provisions are measured at the present value of management’s best estimate of the expenditure required to
settle the present obligation at the end of the reporting period. The discount rate used to determine the present
value is a pre-tax rate that reflects current market assessments of the time value of money and the risks specific
to the liability. The increase in the provision due to the passage of time is recognised as interest expense.

A contingent liability is a possible obligation that arises from past events whose existence will be confirmed by
the occurrence or non-occurrence of one or more uncertain future events beyond the control of the Company
or a present obligation that is not recognised because it is not probable that an outflow of resources will be
required to settle the obligation. A contingent liability also arises in extremely rare cases where there is a liability
that cannot be recognised because it cannot be measured reliably. The Company does not recognise a
contingent liability but discloses its existence in the standalone financial statements.

E) EMPLOYEE BENEFITS

i) Short-Term Obligations

Liabilities for wages and salaries, including non-monetary benefits that are expected to be settled wholly within
twelve months after the end of the period in which the employees render the related service are recognised in
respect of employees’ services up to the end of the reporting period and are measured at the amounts expected
to be paid when the liabilities are settled. The liabilities are presented as current employee benefit obligations
in the balance sheet.

ii) Post-Employment Obligations

The Company operates the following post-employment schemes:

(a) Defined benefit plan (Gratuity)

(b) Defined contribution plans (Provident Fund).

Defined Benefit Plan (Gratuity)

The liability recognised in the balance sheet in respect of defined benefit gratuity plan is the present value of
the defined benefit obligation at the end of the reporting period. The defined benefit obligation is calculated
annually by actuaries using the projected unit credit method.

The present value of the defined benefit obligation is determined by discounting the estimated future cash
outflows by reference to market yields at the end of the reporting period on government bonds that have terms
approximating to the terms of the related obligation.

The net interest cost is calculated by applying the discount rate to the net balance of the defined benefit
obligation and the fair value of plan assets. This cost is included in employee benefit expense in the statement
of profit and loss.

Re-measurement gains and losses arising from experience adjustments and changes in actuarial assumptions
are recognised in the period in which they occur, directly in other comprehensive income. They are included in
retained earnings in the statement of changes in equity and in the balance sheet.

Changes in the present value of the defined benefit obligation resulting from plan amendments or curtailments
are recognised immediately in profit and loss as past service cost.

Defined Contribution Plans

The Company pays provident fund contributions to publicly administered provident funds as per local
regulations. The Company has no further payment obligations once the contributions have been paid. The
contributions are accounted for as defined contribution plans and the contributions are recognised as
employee benefit expense when they are due. Prepaid contributions are recognised as an asset to the extent
that a cash refund or a reduction in the future payments is available.

Equity Shares are Classified as Equity.

Incremental costs directly attributable to the issue of new shares or options are shown in equity as a deduction,
net of tax, from the proceeds.

F) DIVIDENDS

Provision is made for the amount of any dividend declared, being appropriately authorised and no longer at the
discretion of the entity, on or before the end of the reporting period but not distributed at the end of the
reporting period.

G) SHARE

Basic earnings per share are calculated by dividing the profit or loss for the year attributable to equity to
the owners of the Company by the weighted average number of equity shares outstanding during the year.

The Company does not have any dilutive potential equity shares.

H) ROUNDING OF AMOUNTS

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

I) EW AND AMENDED STANDARDS ADOPTED BY THE COMPANY

The Ministry of Corporate Affairs has notified Companies (Indian Accounting Standards) Amendment Rules,
2023 dated March 31, 2023 to amend the following Ind AS which were effective for annual periods beginning on
or after April 01, 2023.

I. DEFINITION OF ACCOUNTING ESTIMATES - AMENDMENTS TO IND AS 8

The amendments clarify the distinction between changes in accounting estimate, changes in accounting
policies and the correction of errors. It has also been clarified how entities use measurement techniques and
inputs to develop accounting estimates.

The amendments had no impact on the Company’s financial statements.

II. DISCLOSURE OF ACCOUNTING POLICIES - AMENDMENTS TO IND AS 1

The amendments aim to help entities provide accounting policy disclosures that are more useful by replacing
the requirement for entities to disclose their ‘significant’ accounting policies with a requirement to disclose
their ‘material’ accounting policies and adding guidance on how entities apply the concept of materiality in
making decisions about accounting policy disclosures.

The amendments have had an impact on the Company’s disclosures of accounting policies, but not on the
measurement, recognition or presentation of any items in the Company’s financial statements.

III. TRANSACTION - AMENDMENTS TO IND AS 12

The amendments narrow the scope of the initial recognition exception under Ind AS 12, so that it no longer
applies to transactions that give rise to equal taxable and deductible temporary differences such as leases.

The Company previously recognized for deferred tax on leases on a net basis. As a result of these amendments.

The amendments had no impact on Company’s financial statements.

The preparation of standalone financial statements requires the use of accounting estimates which, by
definition, will seldom equal the actual results. Management also needs to exercise judgement in applying the
Company’s accounting policies. This note provides overview of the areas that involved a higher degree of
judgement or complexity, and of items which are more likely to be materially adjusted due to estimates and
assumptions turning out to be different than those originally assessed. Detailed information about each of these
estimates and judgements is included in relevant notes together with information about the basis of calculation
for each affected line item in the standalone financial statements.

Critical Estimates and Judgements

The areas involving critical estimates or judgements are:

• Estimates of defined benefit obligation

• Estimate of useful life of fixed assets

Estimation and judgements are continuously evaluated. They are based on historical experience and other
factors including expectation of future events that may have a financial impact on the Company and that are
believed to be reasonable under the circumstances.

(A) Defined Contribution Plans

The Company has defined contribution plan for its employees’ retirement benefits comprising Provident Fund &
Employees’ State Insurance Fund. The Company and eligible employees make monthly contribution to the above
mentioned funds at a specified percentage of the covered employees salary. The obligation of the Company is limited
to the amount contributed and it has no further contractual or any constructive obligation. The expense recognised
during the year towards provident fund is Rs. 0.77 Lacs (March 31, 2024: Rs. 0.47 Lacs) . The expense recognised during
the period towards Employees’ State Insurance is Rs. Nil (March 31, 2024: Rs. 0.15 lacs).

(b) Post-Employment Obligations (Unfunded)

Defined Benefit Plans- Gratuity

The Company provides for gratuity for employees in India as per the Payment of Gratuity Act, 1972. Employees
who are in continuous service for a period of 5 years are eligible for gratuity. The amount of gratuity payable on
retirement/ termination is the employees last drawn basic salary per month computed proportionately for 15
days salary multiplied for the number of years of service. The gratuity plan is a unfunded plan.

Note:

1. The base liability is calculated at discount rate of 6.55% per annum and salary inflation rate of 0.00% per annum
for all future years.

2. Liabilities are very sensitive to salary escalation rate, discount rate & withdrawal rate.

3. Liabilities are very less sensitive due to change in mortality assumptions. Hence, sensitivities due to change in
mortality are ignored.

iv. Risk Exposure: Through its defined benefit plans, the Company is exposed to a number of risks, the most
significant of which are detailed below:

Interest Rate Risk: The plan exposes the Company to the risk of fall in the interest rates. A fall in the interest rates
will result in an increase in the ultimate cost of providing the above benefit and will thus result in an increase in the
value of the liability (as shown in financial statements)

Salary Escalation Risk: The present value of the defined benefit plan is calculated with assumption of salary
increase rate of plan participants in future. Deviation in the rate of increase of salary in future for plan participants
from the rate of increase in salary used to determine the present value of obligation will have a bearing on the plan’s
liability.

Demographic Risk: The Company has used certain mortality and attrition assumption in valuation of the liability.
The Company is exposed to the risk of the actual experience turning out to be worse.

Regulatory Risk: Gratuity benefit is paid in accordance with the requirement of the Payment of Gratuity Act, 1972
(as amended from time to time). There is a risk of change in regulation requiring higher gratuity payouts.

Liquidity Risk: This is the risk that the Company is not able to meet the short-term gratuity payouts. This may arise
due to non-availability of enough cash / cash equivalent to meet the liabilities or holding of illiquid assets not being
sold in time.

ine Tair values ot tne investments is measured using quoted prices or nav declared Dy mutual Tunas and are
classified as level 1 Tair values in the Tair value hierarchy.

(i) Fair Value Hierarchy

Level 1: Level 1 hierarchy includes financial instruments measured using quoted prices. This includes listed equity
instruments, traded debentures and mutual funds that have quoted price. The Tair value of all equity instruments
(including debentures) which are traded in the stock exchanges is valued using the closing price as at the reporting
period. The mutual funds are valued using the closing NAV.

Level 2: The Tair value of financial instruments that are not traded in an active market is determined using valuation
techniques which maximise the use of observable market data and rely as little as possible on entity-specific
estimates. IT all significant inputs required to Tair value an instrument are observable, the instrument is included in
level 2.

Level 3: IT one or more of the significant inputs is not based on observable market data, the instrument is included
in level 3.

There are no transfers between levels 1 and 2 during the year.

The Company’s policy is to recognise transfers into and transfers out of Tair value hierarchy levels as at the end of the
reporting period.

(ii) Fair Value of Financial Assets and Liabilities Measured at Amortised Cost

The carrying amounts of Trade Receivables, Trade Payables, Cash and Cash equivalents, Other Bank Balances, Loan
(Current), Other Financial Assets (Non-current), Other Financial Liabilities, are considered to be the same as their Tair
values, due to their short-term nature.

Majorly the Other Financial Assets (non current) are redeemable on demand and hence the Tair values of security
deposits and bank deposits are approximately equivalent to the carrying amount.

32. Financial Risk Management

The Company’s activities expose it to market risk, liquidity risk and credit risk.

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

(A) Credit Risk

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument Tails to
meet its contractual obligations, and arises principally from the Company’s receivables from customers. The carrying

amounts of financial assets represent the maximum credit risk exposure.

A default on a financial asset is when the counterparty fails to make contractual payments as per agreed terms. This
definition of default is determined by considering the business environment in which entity operates and other
macro-economic factors.

Assets are written off when there is no reasonable expectation of recovery. The Company writes off debtors when
they fail to make contractual payment greater than 5 years past due.

The Company considers the probability of default upon initial recognition of asset and whether there has been a
significant increase in credit risk on an ongoing basis throughout each reporting period. To assess whether there is a
significant increase in credit risk the Company compares the risk of a default occurring on the asset as at the reporting
date with the risk of default as at the date of initial recognition. It considers available reasonable and supportive
forwarding-looking information.

(B) Trade & Other Receivables

Credit risk refers to the risk of default on its obligation by the counter party resulting in financial loss. The maximum
exposure to the credit risk at the reporting date is primarily from trade receivable amounting to Rs. 1711.71 lacs and
Rs. 330.58 lacs as at 31 March 2025 and 31 March 2024 , respectively. The Company’s exposure to credit risk is
influenced mainly by the individual characteristics of each customer. The management also considers the factors
that may influence the credit risk of its customer base, including the default risk of the industry and country in which
customers operate. The Company has a credit risk management policy in place to limit credit losses due to non¬
performance of financial counter parties and customers. The Company monitors its exposure to credit risk on an
ongoing basis at various levels. Outstanding customer receivables are regularly monitored. The Company closely
monitors the acceptable financial counter party credit ratings and credit limits and revise where required in line with
the market circumstances.

Due to the geographical spread and the diversity of the Company’s customers, the Company is not subject to any
significant concentration of credit risks at balance sheet date.

On account of adoption of Ind AS 109, the Company uses a simplified approach (lifetime expected credit loss model)
for the purpose of computation of expected credit loss for trade receivables.

Significant Estimates: The impairment provisions for financial assets disclosed above are based on assumptions
about risk of default and expected loss rates. The Company uses judgment in making these assumptions and
selecting the inputs to the impairment calculation, based on the Company’s past history, existing market conditions
as well as forward looking estimates at the end of each reporting period. For trade receivables only, the Company
applies the simplified approach permitted by Ind AS 109, “Financial Instruments”, which requires expected lifetime
losses to be recognised from initial recognition of the receivables.

Management judgment is required for assessing the recoverability of trade receivables and the valuation of the
allowances for impairment of trade receivables. The Company makes impairment allowance for trade receivables
based on an assessment of the recoverability of trade receivables. Allowances are applied to trade receivables where
events or changes in circumstances indicate that the balances may not be collectible. The impairment allowance is
estimated by management based on historical experience and current economic environment, The Company
assesses the expected credit losses by calibrating historical experience with forward-looking estimates. This may
include information regarding the industry in which debtors are operating, historical and post year-end payment
records, as well as creditworthiness of debtors.

Cash & Cash Equivalents and Bank Deposits

Credit risk related to cash and cash equivalents and bank deposits is managed by only accepting highly rated banks
and diversifying bank deposits accounts in different banks across the country.

Other Financial Assets Measured at Amortised Cost

Other financial assets measured at amortised cost includes security deposits and others. Credit risk related to these
other financial assets is managed by monitoring the recoverability of such amounts continuously.

(C) Liquidity Risk

Prudent liquidity risk management implies maintaining sufficient cash and marketable securities and the availability
of funding to meet obligations when due. Management monitors rolling forecasts of the Company’s liquidity position
and cash and cash equivalents on the basis of expected cash flows.

Maturities of Financial Liabilities

The following are the remaining contractual maturities of financial liabilities at the reporting date. The amounts are
gross and undiscounted, and include estimated interest payments and exclude the impact of netting agreements.

The Company on a regular basis monitors the changes in interest rate in the market to manage the portfolio of variable
rate borrowings.

33. Events Occurring After the Reporting Period

In respect of the financial year ending March 31, 2025, no events are required to be reported which occurred after the
reporting period.

34. Capital Management

The Company’s objectives when managing capital are to:

• Safeguard their ability to continue as a going concern, so that they can continue to provide returns for
shareholders and benefits for other stakeholders, and

• Maintain an optimal capital structure to reduce the cost of capital.

In order to maintain or adjust the capital structure, the Company may adjust the amount of dividends paid to
shareholders, return capital to shareholders, issue new shares or sell assets to reduce debt. No changes were made in
the objectives, policies or processes for managing capital during the year ended March 31, 2025 and March 31, 2024.

1. Net Debt = Total Borrowings

2. Earnings = Net Profit Before Tax Depreciation and Amortization Finance Cost Non-Cash Expense

3. Net Finance Charges = Interest and Principal Repayments Including Lease Payments

4. Average Net worth Calculated on the year end closing basis.

5. Average Inventory Calculated on the year end closing basis.

6. Average Working Capital = Current Assets - Current Liabilities.

7. Capital Employed = Total Assets - Current Liability

37. Additional Regulatory Information Required by Schedule III of Companies Act, 2013

i. Details of Benami Property:

No proceedings have been initiated or are pending against the Company for holding any benami property under
the Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and the rules made thereunder.

ii. Utilization of Borrowed Funds and Share Premium:

(A) 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:

(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 to or on behalf of the ultimate beneficiaries.

(B) 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:

(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 to or on behalf of the ultimate beneficiaries.

iii. Compliance with Approved Scheme(s) of Arrangements:

No scheme of arrangement has been approved by the Competent Authority in terms of Sections 230 to 237 of
the Companies Act, 2013, hence, this is not applicable.

iv. Undisclosed Income:

There are no transactions not recorded in the books of account that have been surrendered or disclosed as
income during the current or previous year in the tax assessments under the Income Tax Act, 1961.

v. Details of Crypto Currency or Virtual Currency:

The Company has not traded or invested in crypto currency or virtual currency during the current or previous
year.

vi. Valuation of Property, Plant and Equipment and Intangible Assets:

As the Company has chosen cost model for its Property, Plant and Equipment (Including Right-of-Use Assets)
and Intangible Assets, the question of revaluation does not arise.

vii. Loans or Advances to Specified Persons:

The Company has not granted loans or advances in the nature of loans to promoters, directors, KMPs or the
related parties (as defined under Companies Act, 2013).

viii. Borrowings Secured Against Current Assets:

The Company has Borrowings secured against Current Assets. (Refer Note 8)

ix. Willful Defaulter:

The Company has not been declared Willful Defaulter by any bank or financial institution or government or any
government authority.

x. Registration of Charges or Satisfaction with Registrar of Companies:

There are no charges or satisfaction yet to be registered with Registrar of Companies beyond the statutory
period.

xi. Compliance with Number of Layers of Companies:

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

xii. Utilization of Borrowings Availed from Banks and Financial Institutions:

The borrowings obtained by the Company have been utilized for the purpose for which the same was obtained.

38. Previous year’s figures have been reclassified to conform to current year’s classification.

For Amit Ramakant & Co. For and on behalf of the Board of Directors

Chartered Accountants

Firm Registration Number: 009184C

AMIT AGARWAL CHANDAN GARG ADITYA JANGID

Partner Chairman & Managing Director Whole Time Director

Membership Number: 077407 (DIN: 06422150) (DIN: 01655674)

ABBHINAV R JAIN ASHITA AGRAWAL

Whole Time Director & CFO Company Secretary

(DIN:07320363)

Place: Jaipur Place: Jaipur

Date: 28^th May 2025 Date: 28^th May 2025