1) Provisions, Contingent Liabilities and Contingent Assets
I'lie Company r-ectigriiscs a pr-QVlslQtl when Jt Ilhs a present obligation as ;i rcsulL pfa [last event rhuL
probably requires an outflow of the Company's resources embodying economic benefits at the time
of settlement and a reliable estimate can be made of the amount of the obligation. The provisions
are measured at Llic best estimate of the amounts required to settle Line present oh Ligation as at Lhc
balanee slieet date and are not discounted to i ts present value.
Contingent Liabilities are disclosed when there is a possible obligation arising from past events, the
existence of which will be confirmed only on the occurrence or non-occurrence of ore or more
future uncertain events not wholly or substantially within the control of the Company or a present
obligation that arises from the past events where it is either not probable that an outflow of
resources will be required Lu settle the oh ligation or a reliable es Li male of the amount cannot be
made.
When demand notices are issued by the Government Authorities and demand is disputed by the
company and u is probable that the company will not he required to settie/pny such demands then
these are classified as disputed obligations.
Contingent Assets, if any, are not recognised in the financial statements- If it becomes certain that
inflow of economic benefit will arise then such asset and the relative income are recognised in
financial statements.
j) Current/fJon-Currc nt Classifications:
The Company presents assets and liabilities in the balance sheet on the basis of then- class ideations
into current and non-current bused on the assessment made by the management of the company.
Assets:
An asset is treated as current when it Is:
* Expected to be realised or intended to be sold or consumed in normal operating cycle
* Held primarily for the purpose of trading
Ý ExpeeLed to ha realised with In twelve months after the reporting period
* Cash or cash equivalent unless restricted from being exchanged or used to settle a liability
fur at least twelve months after Ltie reporting period.
All other assets are classified as non-current.
Liabilities:
A liability is treated as current whop it is:
* Expected to be settled in normal operating cycle
* Held primarily for the purpose of trading
* Due tohescLLlod within Iwclvc months after Hit reporting period
* No unconditional right to defer the settlement of the liability for at least twelve months after
the reporting period.
All other liabilities are classified as non-current.
kj Financial instruments, Financial Assets, Financial Liabilities and Equity instruments
The financial assets and financial liabilities are recognised when tbe Company becomes a party to
the contractual provisions of the relevant instrument and are initially measured at fair value.
Transaction costs that are directly attributable to the acquisition or issue of financial assets and
financial liabilities (.other than financial assets and financial liabilities measured at fair value
through profit or loss] are added to or deducted from the fair value on initial recognition of financial
assets or financial liabilities.
A- Financial Assets:
Initial Recognition:
Financial Assets Include Investments, Cash and Cash Equivalents and eligible current and non¬
current assets. The financial assets are initially recognized at the transaction price when the
Company become?; party to contractual obligations- The transaction price includes transaction costs
unless the asset is being value at fair value through the Statement of Profit and Loss.
Subsequent [Measurement;
The subsequent measurement of financial assets depends upon the initial classification yf financial
assets.
investments in equity investment held for trading are classified for measurement at FVTPL
Investments in equity instruments other than held for trading are measured at fair value with gains
and losses arising from changes in fair value recognized in other comprehensive income and
accumulated in other equity under subhead Equity instruments through other comprehensive
income.
Impairment:
If the recoverable amount of an asset (or cash-gen era tiny unit/Fi*ed Assets} is estimated to be less
than Its carrying amount, the carrying amount of the asset (oj cash-generating unit} is reduced to its
recoverable amount Ail impairment loss is recognized immediately in profit or loss, unless the
relevant asset is carried at a re-valued amount if any, in which case the- impairment ioss is treated as
a revaluation decrease.
Financial assets, other than those at Fair Value through Profit and Loss fFVTPL], are assessed for
indicators of impairment at the end of each reporting period- Financial assets are considered to be
impaired when there is objective evidence that, as a result of one or more events that occurred after
the initial recognition of the financial asset, the estimated future cash flows of the Investment have
been affected.
The company recognises impairment loss on trade receivables using expected credit loss model.
B. Financial Liabilities:
Financial liabilities, which Include trade payables and eligible current and non-current liabilities.
The trade payables and other financial liabilities are recognised at the value of the respective
contractual obligations- Financial liabilities are derecognised when the liability is extinguish ad, that
is. when the contractual obligationjs discharged, cancelled and on exp by of the terms.
1} KLiir Vjlile Measurement:
The Company measures financial instruments, such as investments at fair value at each balance
sheet date. Fair value Is the price Lhal would be received to sell an asset or paid to transfer a liability
in an orderly transaction between market participants at the measurement date.
'Itie 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 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 hest Interest A fair value measurement of a non-financial asset takes into account a
market participant's ability to generate economic benefits by using the asset in its highest and best
use or by selling it to another market participant that would use the asset in its highest and best use.
The company uses valuation techniques that are appropriate in the dreunistances and for winch
sufficient data are available to measure fair value, maximizing the use of relevant observable inputs
_ anti minimizing the use of unobservable inputs._
All assets and. liabilities for which fair Ývalue 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 [labilities
Level 2 — Valuation techniques for which the lowest level input that is significant to the fair value
mens u rem ent is d irectly or i n di rectly nbse rva ble.
Level 2 — Valuation techniques for which Lhe lowest level input that is significant, to the fair value
measurement's unobseivabie.
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 hy 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.
For the purpose of fair value disclosures, Lhe Company lias deter mi netl classes of assets and
liabilities on the basis of the nature, characteristics and risks of the asset or liability and the level of
_ the fair value hierarchy as exp lain ed above._
m) flash and Cash Equivnlents-For the Purpose of Cash Flow Statements:
Cash and cash equivalent in the balance sheet comprise cash at banks and in hand and short-term
deposits with an original maturity of three months or loss, which are subject to an insignificant risk
ofchanges in value*.
n) Operating Cycle:
Rest'd on the act!v[tins of the company and normal time between incurring nf liabilities and their
settlement in cash or cash equivalents and acquisition/right to assets and their realization in cash or
cash equivalents, the company has considered its operating cycle as 12 months for the purpose of
classification of its liabilities and assets as current and n[in-current. _
u) huntings Per Share:
lhe Company presents basic and diluted earnings per share details for its ordinaiy shares. Basic
earnitlgS per share is calculated by dividing the total comprehensive income after lax fur the year
attributable to the ordinary shareholders of the company by weighted number of ordinary shares
o utstan d i n g for ap p li ca b I e pe riod d u ring the yeur-
fliluLed earnings per share is calculated considering Lhe effect of dilution if any to ordinary share
_ during the year._
p) Materiality
The Management of the company uses judgement in deciding whether individual items nr groups of
items are material in the financial statements. Materiality is Judged by reference to the nature or
magnitude or both of the items. The deciding factor is whether omitting or misstating or obscuring
an information could individually or in tomb[nation with other related information influence
decisions that primary users make on the basis of the financial statements. Management also uses
Judgement of materiality for determining the compliance requirement of the ind AS. Further, the
Company may alio be required to present separately immaterial items when required hy low.
NOTE 30: OTHER NOTES
a) burnings Per Share (EPS) {Earnings Per Share on Tola] Comprehensive Income]:
The Basic and Diluted Earnings Per Share (EPS) lias been computed on the basis of total
comprehensive income for the year attributable to equity holders divided by the weighted average
rum ber of sha res outstu n d i ng [1 u rir g the yes r.
@-2 Increase in total equity resulting from profit on sale of Id vestment and payment to suppliers
resulted into reduction of total liabilities which have overall effect of Improvement in debt-equity ratio.
@-3 Operational activities being lower than last year resulted into reduction in net operational profits
having reducing effect on debt-service ratio._
@Ý4 Increase m average total equity resulting from profit on sale of Investment during the year._
@’5 Reduction in operational activities compared to the previous financial year resulted into trade
receivable turnover ratio being tower lltaii previous financial year._
@-6 Reduction in operational activities compared to the previous financial year resulted into trade
payable turnover ratio being iower than previous financial year.
@-7 Average Net Working Capital reduced during the current financial year on account of realization of
loans and advances and dues from trade receivables. The operational revenue went down on account of
operational activities being lower than previous financial year. These factors have overall effect on net
capital tjjrnover ratio being lower than the previou5 financial year.
@-ft Marginal Improvement ill profitability margins on operational activities anil increase ill interest ami
dividend income resulted into higher net profits aftertax (excluding profits on side of investment timing
the current year) which lias positive etfert on net pjiofit ratio.
(fo-9 Marginal Improvement in profitability margins or operational activities, increase in profits from
sale of investments and increase in interest and dividend income resulted into higher net profits before
tax. These facLors have effect on Return on Capital Employed being higher than Lhc previous financial
year._
@Ý10 Increase in N et Profits dunng the year com pared to previous year o n aceo unt of Income from long
term capital gain on sale of investments during the year.
^ Rel uti o n s b i p w ith Stm ck iifi tlcH n pa n ies:
The company did not have any transaction with companies struck off under section 24ft of Lhc
Companies Act, 2013 Of section SfiO of Companies Act, 1956, during the current year and in the previous
__year._
k] The Company lias not provided any guarantee nr security covered under Section 1Sfi and accordingly,
the disclosure requirements to that extent does not apply to the Company.
l) Tile previous year's figures have heen reworked, regrouped and reclassified w lie never necessary so as to
make them com parable with those of the current year.
The Financial Statements have been presented in Indian Rupee (*j in thousand rounded off to two
decimal points as per amendment to Schedule 111 to the Companies Act, 2013.
Tilts figures wherever shown in hracketrepresent deductions. _
_SIGNATURES TO NOTES T TO '31)'_
FOR, M/S. DIE HA RESOURCES LIMITED FOR, S N SHAH & ASSOCIATES,
CHARTE RED ACCOU NTAN TS,
FIRM REG, NO.: 109782W
KRISHNAAWTAR KABRA SUYOG SJIRJKANT NILDAWAR FiRO| G. DODLA
(MANAGINGDIRECTOR) (ADDITIONAL DIRECTOR) PARTNER
[DIN: 00650517] [DIN: 07564158] M. NO. 126770
PLACE; AHMED AS AD
VIJAYBHAI MEHTA DHWANI LALITBIIAI NAGAR. DATE: 29™ MAY, 2024
(CFOJ (COMPANY SECRETARY-]
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