2.13. Provisions and contingencies
Provisions
Provisions are recognized when there is a present obligation as a result of a past event and it is probable that an outflow of resources
embodying economic benefits will be required to settle the obligation and there is a reliable estimate of the amount of the obligation.
Provisions are determined based on best management estimate required to settle the obligation at balance sheet date. 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.
Provisions are reviewed at each balance sheet date and adjusted to reflect the current best estimate.
Contingent Liabilities
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.
Contingent Assets
Contingent asset being a possible asset that arises 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, is not recognized but disclosed in
the financial statements.
2.14. Financial instruments
A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of another
entity. Financial assets and financial liabilities are recognized when the Company becomes a party to the contractual provisions of the
instrument.
Financial assets and financial liabilities are initially measured at fair value. Transaction costs that are directly attributable to the acquisition or
issue of financial instruments (other than financial assets and financial liabilities at fair value through profit or loss) are added to or deducted
from the fair value of the financial assets or financial liabilities, as appropriate, on initial recognition. Transaction costs directly attributable
to the acquisition of financial assets or financial liabilities at fair value through profit or loss are recognized immediately in profit or loss.
Subsequently, financial instruments are measured according to the category in which they are classified.
(i) Financial assets
All recognised financial assets are subsequently measured in their entirety at either amortised cost using the effective interest
method or fair value, depending on the classification of the financial assets.
(ii) Classification of financial assets
Classification of financial assets depends on the nature and purpose of the financial assets and is determined at the time of initial
recognition.
The Company classifies its financial assets in the following measurement categories:
• those to be measured subsequently at fair value (either through other comprehensive income, or through profit or
loss), and
• those measured at amortised cost
The classification depends on the entity's business model for managing the financial assets and the contractual terms of the cash
flows.
A financial asset that meets the following two conditions is measured at amortised cost unless the asset is designated at fair value
through profit or loss under the fair value option:
• Business model test: the objective of the Company's business model is to hold the financial asset to collect the contractual
cash flows.
• Cash flow characteristic test: the contractual term of the financial asset give rise on specified dates to cash flows that are
solely payments of principal and interest on the principal amount outstanding.
A financial asset that meets the following two conditions is measured at fair value through other comprehensive income unless
the asset is designated at fair value through profit or loss under the fair value option:
• Business model test: the financial asset is held within a business model whose objective is achieved by both collecting cash
flows and selling financial assets.
• Cash flow characteristic test: the contractual term of the financial asset gives rise on specified dates to cash flows that are
solely payments of principal and interest on the principal amount outstanding.
All other financial assets are measured at fair value through profit or loss.
(iii) Investments in equity instrument at fair value through other comprehensive income (FVTOCI)
On initial recognition, the Company can make an irrevocable election (on an instrument by instrument basis) to present the
subsequent changes in fair value in other comprehensive income pertaining to investments in equity instrument. This election
is not permitted if the equity instrument is held for trading. These elected investments are initially measured at fair value plus
transaction costs. Subsequently, they are measured at fair value with gains / losses arising from changes in fair value recognised
in other comprehensive income. This cumulative gain or loss is not reclassified to the Statement of Profit and Loss on disposal of
the investments.
The Company has equity investments in certain entities which are not held for trading. The Company has elected the fair value
through other comprehensive income irrevocable option for all such investments. Dividend on these investments are recognised
in the Statement of Profit and Loss.
(iv) Equity investment in joint ventures
Investments representing equity interest in joint ventures are carried at cost less any provision for impairment. Investments are
reviewed for impairment if events or changes in circumstances indicate that the carrying amount may not be recoverable.
(v) Trade receivables
Trade receivables are recognized initially at fair value and subsequently measured at amortized cost less provision for impairment.
(vi) Financial assets at fair value through profit or loss (FVTPL)
Investment in equity instruments are classified at fair value through profit or loss, unless the Company irrevocably elects on initial
recognition to present subsequent changes in fair value in other comprehensive income for investments in equity instruments
which are not held for trading.
Financial assets that do not meet the amortised cost criteria or fair value through other comprehensive income criteria are
measured at fair value through profit or loss. A financial asset that meets the amortised cost criteria or fair value through other
comprehensive income criteria may be designated as at fair value through profit or loss upon initial recognition if such designation
eliminates or significantly reduces a measurement or recognition inconsistency that would arise from measuring assets and
liabilities or recognising the gains or losses on them on different bases.
Financial assets which are fair valued through profit or loss are measured at fair value at the end of each reporting period, with
any gains or losses arising on Remeasurement recognised in profit or loss.
(vii) Cash and cash equivalents
In the Statement of Cash Flows, cash and cash equivalents includes cash in hand, cheques and balances with bank. Bank overdrafts
are shown within borrowings in current liabilities in the Balance Sheet and forms part of financing activities in the Statement of
Cash Flows. Book overdrafts are shown within other financial liabilities in the Balance Sheet and forms part of operating activities
in the Statement of Cash Flows.
(viii) Impairment of Financial Assets
The Company assesses impairment based on expected credit losses (ECL) model to the following:
• financial assets measured at amortised cost.
• financial assets measured at fair value through other comprehensive income.
Expected credit loss are measured through a loss allowance at an amount equal to:
• The twelve month expected credit losses (expected credit losses that result from those default events on the financial instruments
that are possible within twelve months after the reporting date); or
• Full life time expected credit losses (expected credit losses that result from all possible default events over the life of the
financial instrument).
For trade receivables or any contractual right to receive cash or another financial asset that result from transactions that are within
the scope of Ind AS 115, the Company always measures the loss allowance at an amount equal to lifetime expected credit losses.
(ix) De-recognition of financial assets
A financial asset is de-recognised only when
• The Company has transferred the rights to receive cash flows from the financial asset or
• Retains the contractual rights to receive the cash flows of the financial asset, but assumes a contractual obligation to pay the
cash flows to one or more recipients
• The right to receive cash flows from the asset has expired.
Financial liabilities and equity instruments
(x) Classification of debt or equity
Debt or equity instruments issued by the Company are classified as either financial liabilities or as equity in accordance with the
substance of the contractual arrangements and the definitions of a financial liability and an equity instrument.
(xi) Equity instruments
An equity instrument is any contract that evidences a residual interest in the assets of an entity after deducting all of its liabilities.
Equity instruments issued by the Company are recognised at the proceeds received, net of direct issue costs.
(xii) Financial liabilities
All financial liabilities are subsequently measured at amortized cost using the effective interest rate method or at fair value
through the Statement of Profit and Loss.
(xiii) Trade and other payables
Trade and other payables represent liabilities for goods or services provided to the Company prior to the end of financial year
which are unpaid.
(xiv) Borrowings
Borrowings are initially recognised at fair value, net of transaction costs incurred. Borrowings are subsequently measured at
amortised cost. Any difference between the proceeds (net of transaction costs) and the redemption amount is recognised in the
Statement of Profit and Loss over the period of the borrowings using the effective interest rate method.
Borrowings are removed from the Balance Sheet when the obligation specified in the contract is discharged, cancelled or expired.
The difference between the carrying amount of a financial liability that has been extinguished or transferred to another party and
the consideration paid, including any non-cash assets transferred or liabilities assumed, is recognised in the Statement of Profit
and Loss.
(xv) De-recognition of financial liabilities
The Company de-recognises financial liabilities when, and only when, the Company's obligations are discharged, cancelled or
have expired.
(xvi) Derivative Financial Instruments
The Company enters into a variety of derivative financial instruments to manage its exposure to interest rate and foreign exchange
rate risks, including foreign exchange forward contracts, interest rate and cross currency swaps.
Derivatives are initially recognised at fair value at the date the derivative contracts are entered and are subsequently re-measured
to their fair value at the end of each reporting period. The resulting gain or loss is recognised in the Statement of Profit and
Loss immediately unless the derivative is designated and effective as a hedging instrument, in which event the timing of the
recognition in the Statement of Profit and Loss depends on nature of the hedging relationship and the nature of the hedged item.
(xvii) Offsetting Financial Instruments
Financial assets and liabilities are offset and the net amount is reported in the Balance Sheet where there is a legally enforceable
right to offset the recognised amounts and there is an intention to settle on a net basis or realise the asset and settle the liability
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.
2.15. 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 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 best 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 circumstances and for which sufficient data are available to measure
fair value, maximizing the use of relevant observable inputs and minimizing the use of unobservable inputs.
All assets and liabilities for which fair value is measured or disclosed in the financial statements are categorized within the fair value
hierarchy, described as follows, based on the lowest level input that is significant to the fair value measurement as a whole:
Level 1 - Quoted (unadjusted) market prices in active markets for identical assets or liabilities
Level 2 - Valuation techniques for which the lowest level input that is significant to the fair value measurement is directly or indirectly
observable
Level 3 - Valuation techniques for which the lowest level input that is significant to the fair value measurement is unobservable.
For assets and liabilities that are recognised in the Balance Sheet on a recurring basis, the Company determines whether transfers have
occurred between levels in the hierarchy by re-assessing categorization (based on the lowest level input that is significant to the fair value
measurement as a whole) at the end of each reporting period.
For the purpose of fair value disclosures, the Company has determined 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 explained above.
2.16. Earnings Per Share
Basic Earnings per share is computed by dividing the net profit after tax by the weighted average number of equity shares outstanding
during the period. For the purpose of calculating Diluted earnings per share, the net profit for the period attributable to equity shareholders
and the weighted average number of shares outstanding during the period are adjusted for the effects of all dilutive potential equity shares,
except where the result would be anti-dilutive.
2.17. Dividends
Final dividends on shares are recorded on the date of approval by the shareholders of the Company.
2.18. Government Grant
Government grants are recognised where there is reasonable assurance that the Company will comply the conditions attaching to them
and the grants will be received.
Government grants are recognised in the Statement of Profit and Loss on a systematic basis over the periods in which the Company
recognises as expense the related cost for which the grants are intended to compensate
* Term loan of f 6,290.27 Lakhs is Secured by exclusive charge on plant & machinery funded out of term loan (other than those
exclusively financed by other lenders) with coverage of 1.2x.
* Term loan of f 2,444.44 Lakhs is secured by exclusive charge on the moveable Fixed assets funded out of term loan with coverage
of 1.30X.
* Term loan of f 550 Lakhs is secured by first PP charge on Movable Fixed Assets of Gujarat Plant with FACR of 1.3x.
* Term loan of f 376.00 Lakhs is secured by exclusive charge on the moveable Fixed assets of company's Gurgaon and Manesar Plant
(Other than those exclusively financed by other lenders).
* Term loan of f 883.11 Lakhs is secured by exclusive charge on the moveable Fixed assets of company's with coverage of 1.25x and
Property- Exclusive charge on land and building of Gurgaon plant.
* Term loan of f 416.67 Lakhs is secured by first Pari Passu charge by way of hypothecation on 1.25x of movable fixed assets excluding
the assets exclusively charge to other lenders.
* Term loan of f 400.00 Lakhs is secured by first Pari Passu Charge to be shared with other lenders with maintaining a cover of 1.2x
on Mavable Fixed assets of Sanand (Inline with HSBC & Kotak)
* Term loan of f 13,892.74 Lakhs is secured by exclusive charge on entire movable fixed assets of the company's J7 Plant at Kharkhoda
Haryana with minimum coverage of 1.2x.
* Term loan of f 3,150.80 Lakhs is secured by exclusive charge on entire movable fixed assets of the company's J6 Plant at Gujarat with
minimum coverage of 1.2x.
* Term loan of f 1,470.00 Lakhs is secured by first PP charge on entire Movable Fixed Assets of both present and future excluding
assets exclusively financed by other lenders with minimum assets cover of 1.2x.
** Secured by hypothecation of respective vehicle financed.
The total cash outflow for short term and long term leases for the year ended 31 March, 2025 were ^ 1288.66 Lakhs
( PY ^ 689.77 Lakhs).
(iii) Short term lease
The Company also has certain short term leases terms of 12 months or less. The Company applies the 'short-term lease' recognition
exemptions for these leases. Expense relating to short-term leases are disclosed under the head rent in other expenses (Refer Note
35).
(iv) Extension and termination option
Extension and termination options are included in some of the leases executed by the company. These are used to maximise operational
flexibility in terms of managing the assets used in company's operations. Generally, these options are exercisable mutually by both the
lessor and the lessee.
(v) There are no restrictions imposed by the lease agreements and there are no sub leases. There are no contingent rents. The
operating lease agreements are renewable on a periodic basis. Some of these lease agreements have price escalation clause.
(vi) Incremental borrowing rate of 8.01% to 8.5% p.a has been applied for measuring the lease liability .
NOTE 47 : EMPLOYMENT BENEFITS
(A) DEFINED BENEFIT PLANS AS PER IND AS 19 EMPLOYEE BENEFITS:
Gratuity: The Company has a defined benefit gratuity plan. Every employee who has completed five years or more of service gets a
gratuity on departure at 15 days salary (last drawn salary) for each completed year of service. These benefits are funded.
These Plans typically expose the Company to actuarial risks such as : Investment risk, Interest rate risk, Longevity risk and Salary risk.
Investment Risk: The Probability or likelihood of occurrence of losses relative to the expected return on any particular investment.
Interest Risk: The Plan exposes the Company to the risk of fall in interest rates. A fall in interest rates will result in an increase in the
ulimate cost of providing the above benefit and will thus result in an increase in the value of the liability.
Longevity risk : The present value of defined benefit plan liability is calculated by reference to the best estimate of the mortality of
plan participants during employment. An increase in the life expectancy of the plan participants will increase the plan's liability.
Salary risk : The present value of the defined benefit plan is calculated with the 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.
Disclosure of Gratuity
The following tables summaries the components of net benefit expense recognized in the Statement of Profit and Loss and the funded
status and amounts recognized in the Balance Sheet.
* Remuneration paid to KMP's does not include the provision made for gratuity and leave benefits, as they are determined on an
actuarial basis for all the employees together.
* Excluding sitting fees paid.
Terms and conditions of transactions with Related Parties
The sales to and purchases from related parties are made on terms equivalent to those that prevail in arm's length transactions.
Outstanding balances at the year-end are unsecured and interest free and settlement occurs in cash. There have been no guarantees
provided or received for any related party receivables or payables. For the year ended 31 March 2025, the Company has not recorded
any impairment of receivables relating to amounts owed by related parties (31 March 2024: ' Nil). This assessment is undertaken each
financial year through examining the financial position of the related party and the market in which the related party operates.
Note 49 : SIGNIFICANT ACCOUNTING JUDGEMENTS, ESTIMATES AND ASSUMPTIONS
The preparation of the Company's financial statements requires management to make judgments, estimates and assumptions that
affect the reported amounts of revenues, expenses, assets and liabilities, and the accompanying disclosures, and the disclosure of
contingent liabilities.These include recognition and measurement of financial instruments, estimates of useful lives and residual value
of Property, Plant and Equipment and Intangible Assets, valuation of inventories, measurement of recoverable amounts of cash¬
generating units, measurement of employee benefits, actuarial assumptions, provisions etc.
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. The Company continually evaluates these estimates and assumptions based
on the most recently available information. Revisions to accounting estimates are recognized prospectively in the Statement of Profit
and Loss in the period in which the estimates are revised and in any future periods affected.
Judgments
In the process of applying the Company's accounting policies, management has made the following judgments, which have the most
significant effect on the amounts recognized in the financial statements:
(i) Leases
Ind AS 116 requires lessees to determine the lease term as the non-cancellable period of a lease adjusted with any option to extend
or terminate the lease, if the use of such option is reasonably certain. The Company makes an assessment on the expected lease term
on a lease-by-lease basis. In evaluating the lease term, the Company considers factors such as any significant leasehold improvements
undertaken over the lease term, costs relating to the termination of the lease and the importance of the underlying asset to the
Company's operations taking into account the location of the underlying asset and the availability of suitable alternatives. The lease
term in future periods is reassessed to ensure that the lease term reflects the current economic circumstances.
Estimates and assumptions
The key assumptions concerning the future and other key sources of estimation uncertainty at the reporting date, that have a
significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are
described below. The Company based its assumptions and estimates on parameters available when the financial statements were
prepared. Existing circumstances and assumptions about future developments, however, may change due to market changes or
circumstances arising beyond the control of the Company. Such changes are reflected in the assumptions when they occur.
(i) Gratuity benefits
The cost of the defined benefit gratuity plan and the present value of the gratuity obligation are determined using actuarial valuations.
An actuarial valuation involves making various assumptions that may differ from actual developments in the future. These include the
determination of the discount rate, future salary increases and mortality rates. Due to the complexity of the valuation and its long¬
term nature, a defined benefit obligation is highly sensitive to changes in these assumptions. All assumptions are reviewed at each
reporting date.
In determining the appropriate discount rate, management considers the interest rates of government bonds, and extrapolated
maturity corresponding to the expected duration of the defined benefit obligation. The mortality rate is based on publicly available
mortality tables. Future salary increases and pension increases are based on expected future inflation rates. Further details about the
assumptions used, including a sensitivity analysis, are given in Note 47 .
(ii) Fair value measurement of financial instruments
When the fair values of financial assets and financial liabilities recorded in the balance sheet cannot be measured based on quoted
prices in active markets, their fair value is measured using valuation techniques including the cost model based on level-3 inputs.
The inputs to these models are taken from observable markets where possible, but where this is not feasible, a degree of judgment
is required in establishing fair values. Judgments include considerations of inputs such as price estimates, volume estimates, rate
estimates etc. Changes in assumptions about these factors could affect the reported fair value of financial instruments.
(iii) Impairment of financial assets
The impairment provisions for trade receivables are based on assumptions about risk of default and expected loss rates. The Company
uses judgement in making these assumptions and selecting the inputs to the impairment calculation based on the Company's past
history and other factors at the end of each reporting period.
(iv) Estimates related to useful life of property plant and equipment and intangible assets :
Depreciation on property plant and equipment is calculated on a straight-line basis over the useful lives estimated by the management.
These rates are in line with the lives prescribed under Schedule II of the Companies Act, 2013.
The management has re-estimated useful lives and residual values of all its assets. The management based upon the nature of asset,
the operating condition of the asset, the estimated usage of the asset, past history of replacement and anticipated technological
changes, believes that depreciation rates currently used fairly reflect its estimate of the useful lives and residual values of property,
plant and equipment & intangible assets.
(v) Impairment of Assets
An impairment exists when the carrying value of an asset exceeds its recoverable amount. Recoverable amount is the
higher of its fair value less costs to sell and its value in use. The value in use calculation is based on a discounted cash flow model.
In calculating the value in use, certain assumptions are required to be made in respect of highly uncertain matters, including
management's expectations of growth in EBITDA, long term growth rates, and the selection of discount rates to reflect the risks
involved.
(vi) Contingent liabilities
The 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. The Company evaluates the obligation
through Probable, Possible or Remote model ('PPR'). In making the evaluation for PPR, the Company take into consideration the
Industry perspective, legal and technical view, availability of documentation/agreements, interpretation of the matter, independent
opinion from professionals (specific matters) etc. which can vary based on subsequent events. The Company provides the liability
in the books for probable cases, while possible cases are shown as contingent liability. The remotes cases are not disclosed in the
financial statement.
(vii) Taxes
Provision for tax liabilities require judgments on the interpretation of tax legislation, developments in case law and the potential
outcomes of tax audits and appeals which may be subject to significant uncertainty. Therefore the actual results may vary from
expectations resulting in adjustments to provisions, the valuation of deferred tax assets, cash tax settlements and therefore the tax
charge in the Statement of Profit or Loss.
(viii) Leases
Ind AS 116 requires lessees to determine the lease term as the non-cancellable period of a lease adjusted with any option to extend
or terminate the lease, if the use of such option is reasonably certain. The Company makes an assessment on the expected lease term
on a lease-by-lease basis. In evaluating the lease term, the Company considers factors such as any significant leasehold improvements
undertaken over the lease term, costs relating to the termination of the lease and the importance of the underlying asset to the
Company's operations taking into account the location of the underlying asset and the availability of suitable alternatives. The lease
term in future periods is reassessed to ensure that the lease term reflects the current economic circumstances. Carrying value of lease
liability as on the reporting date is computed basis information available with the Company till the date of these financial statements.
(A) Capital Management
The Company manages its capital to ensure that the Company will be able to continue as a going concern while maximising the return
to stakeholders through efficient allocation of capital towards expansion of business, optimisation of working capital requirements
and deployment of surplus funds into various investment options.
The management of the Company reviews the capital structure of the Company on regular basis. As part of this review, the Board
considers the cost of capital and the risks associated with the movement in the working capital.
The Company monitors its capital using gearing ratio, which is net debt divided to total equity. Net debt includes, Loans, borrowings
and lease liabilities less cash and cash equivalents.
(B) Fair Value Measurements
The Company uses the following hierarchy for determining and/or disclosing the fair value of financial instruments by valuation
techniques:
The following is the basis of categorising the financial instruments measured at fair value into Level 1 to Level 3:
Level 1: This level includes financial assets that are measured by reference to quoted prices (unadjusted) in active markets for identical
assets or liabilities.
Level 2: This level includes financial assets and liabilities, measured using 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: This level includes financial assets and liabilities measured using inputs that are not based on observable market data
(unobservable inputs). Fair values are determined in whole or in part, using a valuation model based on assumptions that
are neither supported by prices from observable current market transactions in the same instrument nor are they based on
available market data.
The fair value of the financial assets are determined at the amount that would be received to sell an asset in an orderly transaction between
market participants. The following methods and assumptions were used to estimate the fair values:
Quoted equity investments: Fair value is derived from quoted market prices in active markets.
Unquoted equity investments: The company has adopted Net Asset Value Method for the purpose of the fare value calculation of the Level
3 of Investments in Equity Instruments, it is done by dividing the total net asset value of the company by the number of shares outstanding.
Fair value of the Company's financial assets that are measured at fair value on a recurring basis:
There are certain Company's financial assets which are measured at fair value at the end of each reporting period. There have been no transfer
among levels during the period. Following table gives information about how the fair values of these financial assets are determined:
The risk management policies aims to mitigate the following risks arising from the financial instruments:
- Market risk
- Credit risk; and
- Liquidity risk
C.1 Market Risk
Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in the market
prices. The Company is exposed in the ordinary course of its business to risks related to changes in foreign currency exchange rates
equity price fluctuations and interest rates.
a) Foreign Currency Risk Management
Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of changes in foreign
exchange rates. The Company's exposure to the risk of changes in foreign exchange rates relates primarily to the Company's operating
activities (when revenue or expense is denominated in a foreign currency).
There is no Foreign Currency Exposures that have been hedged by derivative Instrument.
carrying value ot loan, orner Tinanciai assets, traae receivaDies, casn ana casn equivalents, otner DanK Daiances, Non current Dorrowings
(Other than Vehicle loans), current borrowings, Payable for capital goods, other financial liabilities, trade payables are considered to be same
as their fair value.
There have been no transfer among levels during the year.
(C) Financial Risk Management
The Company has a Risk Management Committee established by its Board of Directors for overseeing the Risk Management Framework
and developing and monitoring the Company's risk management policies. The risk management policies are established to ensure
timely identification and evaluation of risks, setting acceptable risk thresholds, identifying and mapping controls against these risks,
monitor the risks and their limits, improve risk awareness and transparency. Risk management policies and systems are reviewed
regularly to reflect changes in the market conditions and the Company's activities to provide reliable information to the Management
and the Board to evaluate the adequacy of the risk management framework in relation to the risk faced by the Company.
b) Interest Rate Risk Management
The Company is exposed to interest rate risk because Company borrow funds at both fixed and floating interest rates. The risk is
managed by the Company by maintaining an appropriate mix between fixed and floating rate borrowings. The Company's exposures
to interest rates on financial assets and financial liabilities are detailed in the liquidity risk management section of this note.
The Company manages its interest rate risk by having a balanced portfolio of fixed and variable rate loans and borrowings.
Interest Rate Sensitivity Analysis
The sensitivity analysis below have been determined based on the exposure to interest rates at the end of the reporting period. For
floating rate liabilities, the analysis is prepared assuming the amount of the liability outstanding at the end of the reporting period
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 .
c) Security Price Risk
The Company is exposed to equity price risks arising from equity investments held by the Company and classified in the balance sheet
as fair value through OCI.
Equity Price Sensitivity Analysis
The Sensitivity Analysis below have been determined based on the exposure to equity price risks at the end of the reporting period.
If the equity prices had been 5% higher/lower:
Other comprehensive income for the year ended 31st March 2025 would increase / decrease by ' 106.30 lakhs (for the year ended 31st
March 2024: increase / decrease by ' 111.10 lakhs) as a result of the change in fair value of equity investment measured at FVTOCI.
C.2 Credit Risk Management
Credit risk refers to the risk that a counterparty will default on its contractual obligations resulting in financial loss to the Company.
The Company has adopted a policy of only dealing with creditworthy counterparties as a means of mitigating the risk of financial loss
from defaults.The Company's exposure and wherever appropriate, the credit ratings of its counterparties are continuously monitored
and spread amongst various counterparties. Credit exposure is controlled by counterparty limits that are reviewed and approved by
the management of the Company.
Financial instruments that are subject to concentrations of credit risk, principally consist of balance with banks, trade receivables, loans
and advances and derivative financial instruments. None of the financial instruments of the Company result in material concentrations
of credit risks.
The Company applies the expected credit loss (ECL) model for measurement and recognition of impairment losses on trade receivables
and contract assets. The Company follows the simplified approach for recognition of impairment allowance on trade receivables and
contract assets. The application of the simplified approach does not require the Company to track changes in credit risk. Rather, it
evaluates impact of impairment allowance based on lifetime ECLs at each reporting date. ECL impairment loss allowance (or reversal)
recognised during the period is Nil.
Balances with banks were not past due or impaired as at the year end. In other financial assets that are not past dues and not impaired,
there were no indication of default in repayment as at the year end.
C.3 Liquidity Risk Management
Liquidity risk refers to the risk that the Company can not meet its financial obligations. The objective of liquidity risk management is
to maintain sufficient liquidity and to ensure funds are available for use as per the requirements.
The Company's objective is to maintain a balance between continuity of funding and flexibility through the use of long term
borrowings, short term borrowings and trade payables etc. The Company has access to a sufficient variety of sources of funding and
debt maturing within 12 months can be rolled over with existing lenders. The Company consistently generates sufficient cash flows
from operations to meet its financial obligations as and when they fall due.
The table below summarises the maturity profile of the Company's financial liabilities based on contractual undiscounted payments.
NOTE 51 : EVENTS AFTER THE REPORTING PERIOD
There were no significant adjusting events that occurred subsequent to the reporting period other than the events disclosed in note
17.
NOTE 52 : OTHER STATUTORY INFORMATION :
i) All the title deeds of the immovable property (other than properties where the Company is the lessee and the lease agreements
are duly executed in favour of the lessee) are held in the name of the company.
ii) The Company has not granted Loans or Advances in the nature of loans to promoters, Directors, KMPs and the related parties
(as defined under Companies Act, 2013), either severally or jointly with any other person, that are repayable on demand or
without specifying any terms or period of repayment.
iii) The Company does not have any Benami property, where any proceeding has been initiated or pending against the Company
for holding any Benami property.
iv) The Company is not declared as a willful defaulter by any bank or financial institution (as defined under the Companies Act,
2013) or consortium thereof or other lender in accordance with the guidelines on willful defaulters issued by the Reserve Bank
of India.
v) The Company does not have any transactions with companies struck off under Section 248 of the Companies Act, 2013 or
Section 560 of Companies Act, 1956 during the financial year.
vi) The Company does not have any charges or satisfaction which is yet to be registered with The Registrar of Companies (ROC)
beyond the statutory period.
vii) 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
Company (Ultimate Beneficiaries) or
(b) provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries
viii) "The Company has not received any fund from any person(s) or entity(ies), including foreign entities (Funding Party) with the
understanding (whether recorded in writing or otherwise) that the Company shall:
(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the
Funding Party (Ultimate Beneficiaries) or
(b) provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries
ix) The Company does not have any transaction which is not recorded in the books of accounts that has been surrendered or
disclosed as income during the year in the tax assessments under the Income Tax Act, 1961 (such as, search or survey or any
other relevant provisions of the Income Tax Act, 1961).
x) The Company has not traded or invested in Crypto currency or Virtual Currency during the financial year.
xi) The Quarterly returns of statements filed by the Company for working capital limits with banks and financial institutions and the
same are in agreement with the books of accounts of the Company.
NOTE 55 : RECENT ACCOUNTING PRONOUNCEMENTS
Ministry of Corporate Affairs ("MCA") notifies new standards or amendments to the existing standards under Companies (Indian
Accounting Standards) Rules as issued from time to time.
(a) During the year ended March 31, 2025, MCA has notified Ind AS 117 -Insurance Contracts, applicable from April 1, 2024. The
application of Ind AS 117 does not have impact on the financial statements as the Company has not entered any contracts in the
nature of insurance contracts covered under Ind AS 117.
(b) The MCA notified the Companies (Indian Accounting Standards) Second Amendment Rules, 2024, which amend Ind AS 116
Leases,with respect to Lease Liability in a Sale and Lease back, applicable from April 1, 2024. The Company has assessed that there is
no significant impact on its financial statements.
(c) On May 9, 2025, MCA notifies the amendments to Ind AS 21 - Effects of Changes in Foreign Exchange Rates. These amendments
aim to provide clearer guidance on assessing currency exchangeability and estimating exchange rates when currencies are not readily
exchangeable. The amendments are effective for annual periods beginning on or after April 1, 2025.
The Company is currently assessing the probable impact of these amendments on its financial statements.
As per our report of even date attached
For GSA & Associates LLP S.K.Arya Anand Swaroop
Chartered Accountants Chairman Executive Director & CFO
Registration No. - 000257N/N500339 DIN 00004626 DIN 00004816
Gurugram (Haryana) Gurugram (Haryana)
Tanuj Chugh Shubha Singh
Partner Company Secretary
M.No-529619 M. No. A16735
Gurugram (Haryana)
Place: New Delhi
Date : 22nd May, 2025
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