1.12 Provisions, Contingent Liabilities and Contingent Assets:

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.

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.

Contingent Liabilities are disclosed in respect of possible obligations that arise from past events but their existence will be
confirmed by the occurrence or non occurrence of one or more uncertain future events not wholly within the control of the
Group or where any present obligation cannot be measured in terms of future outflow of resources or where a reliable
estimate of the obligation cannot be made.

A contingent asset is disclosed, where an inflow of economic benefits is probable. An entity shall not recognize contingent
asset unless the recovery is virtually certain.

1.13 Borrowing costs

General and specific borrowing costs directly attributable to the acquisition/ construction of qualifying assets, which are
assets that necessarily take a substantial period of time to get ready for their intended use, are added to the cost of those
assets, until such time the assets arc substantially ready for their intended use. All other borrowing costs are recognised as an
expense in Statement of Profit and Loss in the period in which they are incurred.

1.14 Recognition of income

Interest income from a financial asset is recognised when it is probable that the economic benefits will flow to the Company
and the amount of income can be measured reliably. Interest income is accrued on a time basis, by reference to the principal
outstanding and at the effective interest rate applicable, which is the rate that exactly discounts estimated future cash receipts
through the expected life of the financial asset to that asset’s net carrying amount on initial recognition.

Dividends arc recognised in the Statement of Profit and Loss only when the right to receive payment is established.

1.15 Employee benefits

a) Short term employee benefits

Short term employee benefits are recognised as expenditure at the undiscounted value in the statement of profit and loss of
the year in which the related service is rendered.

b) Post employment benefits

i) Defined contribution plan

The Company’s contribution to Provident Fund and Employees State Insurance Scheme is determined based on a fixed
percentage of the eligible employees’ salary and charged to the Statement of Profit and Loss on accrual basis. The Company
has categorised its Provident Fund, labour welfare fund and the Employees State Insurance Scheme as a defined contribution
plan since it has no further obligations beyond these contributions,

ii) Defined benefits plan

The Company’s liability' towards gratuity, being a defined benefit plan are accounted for on the basis of an independent
'actuarial valuation based on Projected Unit Credit Method.

Sendee cost and the net interest cost is included in employee benefit expense in the Statement of Profit and Loss. Actuarial
gains and losses comprise experience adjustments and the effects of changes in actuarial assumptions and are recognised
immediately in ‘other comprehensive income’ as income or expense.

iii) Compensated absences

Accumulated compensated absences, which arc expected to be availed or encashed within 12 months from the end of the
year are treated as short term employee benefits. The obligation towards the same is measured at the expected cost of
accumulating compensated absences as the additional amount expected to be paid as a result of the unused entitlement as at
the year end. The Company’s liability' is actuanally determined (using the Projected Unit Credit method)

1.16 Income Tax

Income tax expense comprises current tax, deferred tax charge or credit. The deferred tax charge or credit and the
corresponding deferred tax liability and assets are recognized using the tax rates that have been enacted or substantially
enacted on the Balance Slicet date.

Deferred Tax assets arising from unabsorbed depreciation or carry forward losses arc recognized only if there is virtual
certainty of realization of such amounts. Other deferred tax assets are recognized only to the extent there is reasonable
certainty of realization in future. Deferred tax assets are reviewed at each Balance Sheet date to reassess their reliability.

1-17 Cash and cash equivalents

C'asli and cash equivalents includes cash in hand and deposits with any qualifying financial institution repayable on demand or
maturing within three months from the date of acquisition and which are subject to an insignificant risk of change in value.

1*18 Earnings per share

Basic earnings per share (EPS) is calcualtcd by dividing the net profit or loss for the year attributable to equity shareholders by
the weighted average number of equity shares outstanding during the year. Diluted EPS is computed using the weighted
average number of equity and dilutive equity equivatent shares outstanding during the year.

1.19 Significant management judgements in applying accounting policies and estimation uncertainty

When preparing the financial statements, management makes a number of judgements, estimates and assumptions about the
recognition and measurement of assets, liabilities, income and expenses. 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
periods.

1.20 Impairment of non-financial assets

In assessing impairment, management estimates the recoverable amount of each asset or cash-generating unit based on
expected future cash flows and uses an interest rate to discount them, Estimation uncertainty relates to assumptions about
future operating results and the determination of a suitable discount rate.

1.21 Depreciation and useful lives of property, plant and equipment

Property, plant and equipment arc depreciated over the estimated useful lives of the assets, after taking into account their
estimated residual value. Management reviews the estimated useful lives and residual values of the assets annually in order to
determine the amount of depreciation to be recorded during any reporting period. The useful lives and residual values arc
based on the Company’s historical experience with similar assets and take into account anticipated technological changes. The
depreciation for future periods is adjusted if there are significant changes from previous estimates.

1.22 Recoverability of trade receivable

Judgements arc required in assessing the recoverability of overdue trade receivables and determining whether a provision
against those receivables is required, Factors considered include the credit rating of the counterparty, the amount and timing
of anticipated future payments and any possible actions that can be taken to mitigate the risk of non-payment.

1.23 Provisions

Provisions and liabilities are recognized in the period when it becomes probable that there will be a future outflow of funds
resulting from past operations or events and the amount of cash outflow can be reliably estimated. The timing of recognition
and quantification of the liability require the application of judgement to existing facts and circumstances, which can be
subject to change. Since the cash outflows can take place many years in the future, the carrying amounts of provisions and
liabilities arc rev iewed regularly and adjusted to take account of changing facts and circumstances.

1.24 Defined benefit obligation (DBO)

Management’s estimate of the DBO is based on a number of critical underlying assumptions such as standard rates of
inflation, mortality, discount rate and anticipation of future salary increases. Variation in these assumptions may significantly
impact the DBO amount and the annual defined benefit expenses,

1.25 Fair value measurement of financial instruments

Management uses valuation techniques to determine the fair value of financial instruments (where active market quotes are
not available) and non-financial assets. This involves developing estimates and assumptions consistent with how market
participants would price the instrument. Management bases its assumptions on observable data as far as possible but this is
not always av ailable. In that case management uses the best information available. Estimated fair values mav vary from the
actual prices that would be achieved in an arm’s length transaction at the reporting date.

1.26 Material uncertainty about going concern:

In preparing financial statements, management has made an assessment of Company's ability to continue as a going concern
financial statements are prepared on a going concern basis. The Management is aware, in making its assessment, of material
uncertainties related to events or conditions that mav cast significant doubt upon the Company's ability to continue as agoing
concern.

19. Financial risk management objectives and policies

The Company’s principal financial liabilities, comprise borrowings, trade and other payables. The main purpose of the significant portion of these financial liabilities is
to finance the dues towards arrears of electricity charges, demurrage charges and other routine expenditure of the Company. The Company’s principal financial assets
include security deposits, cash and cash equivalents and other financial assets.

The Company is exposed to market risk and liquidity risk. Company’s senior management oversees the management of these risks. It is Company’s policy that no
trading in derivatives for speculative purposes may be undertaken. The Board of Directors review and agree policies for managing each of these risks, which are
summarised below.

a) Market risk

Market risk is the risk of any loss in future earnings, in realisable fair value or in future cash flows that may result from a change in the price of a financial instrument.
The value of a financial instrument may change as a result of change in the interest rates, liquidity and other market changes. Future specific market movements
cannot be normally predicted with reasonable accuracy,

Interest rate sensitivity

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 rates. Company does
not have significant exposure to the risk of changes in market interest rates as Company’s long-term debt obligations is at fixed interest rates.

b) Liquidity risk

Liquidity risk is defined as the risk that the Company will not be able to settle or meet its obligations on time or at a reasonable price. For the Company, liquidity risk
arises from obligations on account of financial liabilities - borrowings, trade payables and other financial liabilities.

Liquidity risk management

Company’s treasury department is responsible for liquidity and funding as well as settlement management. In addition, processes and policies related to such risks are
overseen by senior management. Management monitors the Company’s net liquidity position through rolling forecasts on the basis of expected cash flows.

c) Credit risk

Credit risk arises from cash and bank balances, current and non-current financial assets, trade receivables and other financial assets carried at amortised cost.

Credit risk management

To manage credit risk, the Company periodically assesses the financial reliability of other counterparties, taking into account the financial condition and current
economic trends. Individual risk limits are set accordingly.

Bank balances are held with only high rated banks. However, the balances held with banks are not material.

Capital management
Risk management

The Company’s objectives when managing capital are to

- safeguard their ability to continue as a going concern, and

- maintain an optimal capital structure to reduce the cost of capital.

#Borrowings for the above purpose includes non-current borrowings, current borrowings, current maturities of non current borrowings and Interest accrued but not
due on borrowings.

21 Earnings per share (EPS)

The amount considered in ascertaining the Company’s earnings per share constitutes the net profit after tax and includes post tax effect of any
exceptional items. T he number of shares used in computing basic earnings per share is the weighted average number of shares outstanding during
the year. The number of shares used in computing diluted earnings per share comprises the weighted average number of shares considered for
deriving basic earnings per share and also the weighted average number of shares which could have been issued on conversion of all dilutive
potential shares.

25 The figures of the previous year have been reworked, regrouped, rearranged and reclassified, wherever necessary to conform to the current year
presentation.

As per our report of even date attached

For VERMA S & ASSOCIATES For and on behalf of the Board of Directors

(FRN: 328962E)

Chartered Accountants

Sd/- Sd/-

Sd/- KARRONN NARESH BAJA) ADITYA NARESH BAJAJ

SUMIT KUMAR VERMA Managing Director Whole-time Director

Proprietor DIN: 09375579 DIN : 09601315

M N.302320

Udin: 25302320BMNTBN4741

Sd/-

SARITA KUMARI

Place: Nashik Company Secretary

Date: May 30, 2025 PAN : EUJPK8746N