P. Provisions, Contingent Liabilities and Contingent Assets

Provisions are recognised when the Company has a present obligation (legal or constructive) as a
result of a past event, it is probable that the Company will be required to settle the obligation, and
a reliable estimate can be made of the amount of the obligation.

Provisions are measured at the best estimate of the consideration required to settle the present
obligation at the end of the reporting period, taking into account the risks and uncertainties
surrounding the obligation. When a provision is measured using the cash flows estimated to
settle the present obligation, it's carrying amount is the present value of those cash flows (when
the effect of the time value of money is material).

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, is
disclosed as a contingent liability. Contingent liabilities are also 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.

Claims against the Company where the possibility of any outflow of resources in settlement is
remote, are not disclosed as contingent liabilities.

Contingent assets are not recognised in financial statements since this may result in the
recognition of income that may never be realised. However, when the realisation of income is
virtually certain, then the related asset is not a contingent asset and is recognised.

Provisions, contingent assets and contingent liabilities are reviewed at each balance sheet date.

Q. Employee benefits

Employee benefits include salaries, wages, contribution to provident fund, gratuity, leave
encashment towards un-availed leave, compensated absences, post-retirement medical benefits
and other terminal benefits.

Short-term employee benefits

Wages and salaries, including non-monetary benefits that are expected to be settled within 12
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.

Post-employment benefits
Defined contribution plan

Employee Benefit under defined contribution plans comprises of Contributory provident fund,

Post Retirement benefit scheme, Employee pension scheme, composite social security scheme
etc. is recognized based on the undiscounted amount of obligations of the Company to
contribute to the plan.

Defined benefit plan

Defined benefit plans comprising of gratuity, post-retirement medical benefits and other
terminal benefits, are recognized based on the present value of defined benefit obligations which
is computed using the projected unit credit method, with actuarial valuations being carried out at
the end of each annual reporting period. These are accounted either as current employee cost or
included in cost of assets as permitted.

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.

Remeasurement 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 or loss as past service cost.

Provision for Gratuity and its classifications between current and non-current liabilities are based
on independent actuarial valuation.

Short term employee benefits

Liabilities recognised in respect of short-term employee benefits are measured at the
undiscounted amount of the benefits expected to be paid in exchange for the related service.
Liabilities recognised in respect of other long-term employee benefits are measured at the
present value of the estimated future cash outflows expected to be made by the Company in
respect of services provided by employees up to the reporting date.

Voluntary retirement scheme - Termination benefits

Termination benefits are payable when employment is terminated by the Company before the
normal retirement date, or when an employee accepts voluntary retirement scheme in exchange
for these benefits. Expenditure on Voluntary Retirement Scheme (VRS) is charged to the
Statement of Profit and Loss when incurred.

Share based Payment

Employees of the Company receive benefit in the form of share-based payments, whereby
employees render services as consideration for equity instruments (equity settled transactions).
Equity settled share based payments to employees are measured at the fair value of the equity
instruments at the grant date. The fair value determined at the grant date of the equity settled
share based payments is expensed on a straight-line basis over the vesting period, based on the
Company's estimate of equity instruments that will eventually vest, with a corresponding
increase in equity.

R. Financial instruments

Financial assets and financial liabilities are recognised when an entity 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 assets and financial liabilities (other
than financial assets and financial liabilities at fair value through Statement of Profit and Loss
(FVTPL)) 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 and loss are recognised
immediately in Statement of Profit and Loss.

Financial assets

Initial recognition and measurement

The Company initially recognises loans and advances, deposits and debt securities purchased on
the date on which they originate. Purchases and sale of financial assets are recognised on the
trade date, which is the date on which the Company becomes a party to the contractual
provisions of the instrument.

All financial assets are recognised initially at fair value. In the case of financial assets not recorded
at FVTPL, transaction costs that are directly attributable to its acquisition of financial assets are
included therein.

Subsequent Measurement

For purposes of subsequent measurement, financial assets are classified as below :

- Amortised cost; or

- Fair Value through Other Comprehensive Income (FVTOCI) - debt investment; or

- Fair Value through Other Comprehensive Income (FVTOCI) - equity investment; or

- Fair Value through Profit or Loss (FVTPL)

A financial asset is measured at amortised cost if it meets both of the following conditions:

• The asset is held within a business model whose objective is to hold assets to collect contractual
cash flows; and

• The contractual terms 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.

"These include trade receivables, cash and cash equivalent and other bank balances, shortterm
deposits with banks, other financial assets. Loans and receivables are non-derivative financial
assets with fixed or determinable payments that are not quoted in an active market and which are
not classified as financial assets at fair value through profit and loss.

Subsequently, these are measured at amortized cost using the effective interest method (EIR) less
any impairment losses. Amortised cost is calculated by taking into account fees or costs that are
an integral part of the EIR. The EIR amortisation is included in finance income in the profit or loss.
The losses arising from impairment are recognised in the profit or loss."

A debt instrument is classified as FVTOCI only if it meets both of the following conditions and is
not recognised at FVTPL:

The asset is held within a business model whose objective is achieved by both collecting
contractual cash flows and selling financial assets; and

The contractual terms 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.

Debt instruments included within the FVTOCI category are measured initially as well as at each
reporting date at fair value. Fair value movements are recognised in the Other Comprehensive
Income (OCI). However, the Company recognises interest income, impairment losses & reversals
and foreign exchange gain or loss in the Statement of Profit and Loss. On derecognition of the
asset, cumulative gain or loss previously recognised in OCI is reclassified from the equity to
Statement of Profit and Loss. Interest earned whilst holding FVTOCI debt instrument is reported
as interest income using the EIR method.

All equity investments in scope of IND AS 109 are measured at fair value. Equity instruments
which are held for trading and contingent consideration recognised by an acquirer in a business
combination to which IND AS 103 applies are classified as at FVTPL. For all other equity
instruments, the Company may make an irrevocable election to present in other comprehensive
income subsequent changes in the fair value. The Company makes such election on an
instrument-by-instrument basis. The classification is made on initial recognition and is
irrevocable.

If the Company decides to classify an equity instrument as at FVTOCI, then all fair value changes
on the instrument, excluding dividends, are recognised in the OCI. There is no recycling of the
amounts from OCI to Statement of Profit and Loss, even on sale of investment. However, on
sale/disposal the Company may transfer the cumulative gain or loss within equity.

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

All other financial assets are classified as measured at FVTPL.

In addition, on initial recognition, the Company may irrevocably designate a financial asset that
otherwise meets the requirements to be measured at amortised cost or at FVTOCI as at FVTPL if
doing so eliminates or significantly reduces and accounting mismatch that would otherwise
arise.

Financial assets at FVTPL are measured at fair value at the end of each reporting period, with any
gains and losses arising on remeasurement recognised in statement of profit or loss. The net gain
or loss recognised in statement of profit or loss incorporates any dividend or interest earned on
the financial asset and is included in the 'other income' line item.

Dividend on financial assets at FVTPL is recognised when:

The Company's right to receive the dividends is established

It is probable that the economic benefits associated with the dividends will flow to the entity,

The dividend does not represent a recovery of part of cost of the investment and the amount of
dividend can be measured reliably.

Derecognition of financial assets

The Company derecognises a financial asset when the contractual rights to the cash flows from
the asset expire, or when it transfers the financial asset and substantially all the risks and rewards
of ownership of the asset to another party.

Impairment of financial assets

The Company applies the expected credit loss model for recognising impairment loss on financial
assets measured at amortised cost, debt instruments at FVTOCI, lease receivables, trade
receivables, other contractual rights to receive cash or other financial asset, and financial
guarantees not designated as at FVTPL.

Expected credit losses are the weighted average of credit losses with the respective risks of
default occurring as the weights. Credit loss is the difference between all contractual cash flows
that are due to the Company in accordance with the contract and all the cash flows that the
Company expects to receive (i.e. all cash shortfalls), discounted at the original effective interest
rate (or credit-adjusted effective interest rate for purchased or originated credit-impaired
financial assets). The Company estimates cash flows by considering all contractual terms of the
financial instrument (for example, prepayment, extension, call and similar options) through the
expected life of that financial instrument.

The Company measures the loss allowance for a financial instrument at an amount equal to the
lifetime expected credit losses if the credit risk on that financial instrument has increased
significantly since initial recognition. If the credit risk on a financial instrument has not increased
significantly since initial recognition, the Company measures the loss allowance for that financial
instrument at an amount equal to 12-month expected credit losses. 12-month expected credit
losses are portion of the life-time expected credit losses and represent the lifetime cash shortfalls
that will result if default occurs within the 12 months after the reporting date and thus, are not
cash shortfalls that are predicted over the next 12 months.

If the Company measured loss allowance for a financial instrument at lifetime expected credit loss
model in the previous year, but determines a the end of a reporting year that the credit risk has
not increased significantly since initial recognition due to improvement in credit quality as
compared to the previous year, the Company again measures the loss allowance based on 12-
month expected credit losses.

When making the assessment of whether there has been a significant increase in credit risk since
initial recognition, the Company uses the change in the risk of a default occurring over the
expected life of the financial instrument instead of the change in the amount of expected credit
losses. To make that assessment, the Company compares the risk of a default occurring on the
financial instrument as at the reporting date with the risk of a default occurring on the financial
instrument as at the date of initial recognition and considers reasonable and supportable
information, that is available without undue cost or effort, that is indicative of significant
increases in credit risk since initial recognition.

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, the Company always measures the loss
allowance at an amount equal to lifetime expected credit losses.

Further, for the purpose of measuring lifetime expected credit loss allowance for trade
receivables, he Company has used a practical expedient as permitted under Ind AS 109. This
expected credit loss allowance is computed based on a provision matrix which takes into account
historical credit loss experience and adjusted for forward-looking information.

The impairment requirements for the recognition and measurement of a loss allowance are
equally applied to debt instruments at FVTOCI except that the loss allowance is recognised in
other comprehensive income and is not reduced from the carrying amount in the balance sheet.

Effective interest method

The effective interest method is a method of calculating the amortised cost of a debt instrument

and allocating interest income over the relevant period. The effective interest rate is the rate that
exactly discounts estimated future cash receipts (including all fees and points paid or received
that form an integral part of the effective interest rate, transaction costs and other premiums or
discounts) through the expected life of the debt instrument, or, where appropriate, a shorter
period, to the net carrying amount on initial recognition.

Income is recognised on an effective interest basis for debt instruments other than those financial
assets classified as at FVTPL and Interest income is recognised in profit or loss.

Reclassification of financial assets

The Company determines classification of financial assets and liabilities on initial recognition.
After initial recognition, no reclassification is made for financial assets which are equity
instruments and financial liabilities. For financial assets which are debt instruments, a
reclassification is made only if there is a change in the business model for managing those assets.
Changes to the business model are expected to be infrequent. The Company's senior
management determines change in the business model as a result of external or internal changes
which are significant to the Company's operations. Such changes are evident to external parties.
A change in the business model occurs when the Company either begins or ceases to perform an
activity that is significant to its operations. If the Company reclassifies financial assets, it applies
the reclassification prospectively from the reclassification date which is the first day of the
immediately next reporting period following the change in business model. The Company does
not restate any previously recognised gains, losses (including impairment gains or losses) or
interest.

Financial liabilities and equity instruments
Classification as debt or equity

Debt and equity instruments issued by a 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.

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 directly attributable transaction costs.

Financial liabilities

Initial recognition and measurement

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

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

Subsequent measurement

For purposes of subsequent measurement, financial liabilities are classified in two categories:
Financial liabilities at fair value through profit or loss ('FVTPL')

Financial liabilities at amortised cost

Financial liabilities at fair value through profit or loss include financial liabilities held for trading
and financial liabilities designated upon initial recognition as at fair value through profit or loss.

Financial liabilities are classified as held for trading if they are incurred for the purpose of
repurchasing in the near term. This category also includes derivative financial instruments
entered into by the Company that are not designated as hedging instruments in hedge
relationships as defined by Ind AS 109. Gains or losses on liabilities held for trading are recognised
in the profit or loss.

"Financial liabilities designated upon initial recognition at fair value through profit or loss are
designated as such at the initial date of recognition, and only if the criteria in Ind AS 109 are
satisfied. For liabilities designated as FVTPL, fair value gains/ losses attributable to changes in own
credit risk are recognised in OCI. These gains/ losses are not subsequently

transferred to Profit & Loss."

Financial liabilities at amortized cost, This is the category most relevant to the Company. After
initial recognition, interest-bearing loans and borrowings are subsequently measured at
amortised cost using the EIR method. Gains and losses are recognised in profit or loss when the
liabilities are derecognised as well as through the EIR amortisation process.

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

Other financial liabilities

Other financial liabilities (including borrowings and trade and other payables) are subsequently
measured at amortised cost using the effective interest method.

Derecognition of financial liabilities

The Company derecognises financial liabilities when, and only when, the Company's obligations
are discharged, cancelled or have expired. An exchange with a lender of debt instruments with
substantially different terms is accounted for as an extinguishment of the original financial
liability and the recognition of a new financial liability. Similarly, a substantial modification of the
terms of an existing financial liability (whether or not attributable to the financial difficulty of the
debtor) is accounted for as an extinguishment of the original financial liability and the
recognition of a new financial liability. The difference between the carrying amount of the
financial liability derecognised and the consideration paid and payable is recognised in profit or
loss.

Cash and cash equivalents

Cash and cash equivalent in the Balance Sheet comprise cash at banks and on hand and short¬
term deposits with an original maturity of three months or less, which are subject to insignificant
risk of changes in value.

Share capital

Ordinary shares are classified as equity. Incremental costs directly attributable to the issuance of
new ordinary shares and share options and buyback of ordinary shares are recognized as a
deduction from equity, net of any tax effects.

Offsetting financial instrument

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 financial asset and liability 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.

S. Statement of Cash Flows

Cash Flows are reported using the indirect method, whereby profit before tax is adjusted for the
effects of transactions of a non-cash nature, any deferrals or accruals of past or future operating
cash receipts or payments and item of income or expenses associated with investing or financing
cash flows. The cash flows from operating, investing and financing activities of the company are
segregated.

T. Segments reporting

Operating segments are reported in a manner consistent with the internal reporting provided to
the chief operating decision maker (CODM). The board of directors assesses the financial
performance and position of the Company and makes strategic decisions. Only those business
activities are identified as operating segment for which the operating results are regularly
reviewed by the CODM to make decisions about resource allocation and performance
measurement.

U. Earnings per share
Basic earnings per share

Basic earnings per share is computed by dividing the net profit after tax by weighted average
number of equity shares outstanding during the period. The weighted average number of equity
shares outstanding during the year is adjusted for treasury shares, bonus issue, bonus element in
a rights issue to existing shareholders, share split and reverse share split (consolidation of shares).

Diluted earnings per share

Diluted earnings per share is computed by dividing the profit after tax after considering the effect
of interest and other financing costs or income (net of attributable taxes) associated with dilutive
potential equity shares by the weighted average number of equity shares considered for deriving
basic earnings per share and also the weighted average number of equity shares that could have
been issued upon conversion of all dilutive potential equity shares including the treasury shares
held by the Company to satisfy the exercise of the share options by the employees.

19.1 Dividend

(*) During the FY 2024-25, a final dividend of Rs.1/- per share on 2,58,25,637 Equity Shares, aggregating to
Rs.258.26 lakhs, declared in the AGM held on November 30, 2024 has been paid.

19.2 Capital Reserve : Capital reserve consists of reserves transferred on amalgamation in earlier year.

19.3 Securities Premium : Securities premium represents the premium charged to the shareholders at the time of
issuance of equity shares. The securities premium can be utilised based on the relevant requirements of the
Companies Act, 2013

19.4 Warrants : Warrants includes money received @ 25% of 8,56,976 warrants issued to promoters and others at a
price of Rs.955/- per warrant during the year which are convertible into or echangeable for 1 fully paid up equity
share of the Company of face value of Rs.10/- each on preferential basis in terms of the Guidelines for preferential
issue viz., SEBI (Issue of Capital and Disclosure Requirements), Guidelines, 2009. Shares are yet to be allotted
against the same as per its terms of issue.

19.5 During the year, company has forfeited 1,84,942 convertible warrants amounting to Rs.225.17 Lakhs against
which no exercising option was availed. Hence convertible warrants were forfeited under Regulation 169(3) of
SEBI ICDR. Guidelines for preferential issue viz., SEBI (Issue of Capital and Disclosure Requirements), Guidelines,
2009. Shares are yet to be allotted against the same as per its terms of issue.

24.1 Security details of Current Secured Loan:

Working Capital Loans (Cash Credit) from Indian Bank upto July-24 and w.e.f. Aug-24 from State Bank of India
is secured by : -
a Primary Security :

Exclusive hypothecation of Stocks, book debts, inventory and all other current assets of the company both
present and future.
b Collateral Security :

i. Equitable Mortgage over Immovable Property bearing Survey Number 2/29 Paiki 2 & 2/30, situated at
velavadar, Near The Blackbuck Safari Lodge, Adhelai to Italiya Road, Bhavnagar, 364313.

ii. Equitable Mortgage over Immovable Property being office no. 5, 6 & 7 in the scheme "Shanti Arcade"
having address Plot No 208, TP scheme No. 29 of mouje, Vadaj, Taluka : Sabarmati, Ahmedabad.

c Interest rates on working capital loans vary within the range of 10.65% (EBLR Spread of 1.5%)
d There was no default in period and amount as on the Balance Sheet date in repayment of borrowings and
interest

e Personal Gurantee by Three Directors of the Company for the Cash Credit and Bank Gurantee Faciities to
Company.

24.2 Unsecured Borrowing from Bank includes balances of Credit Cards.

24.3 Fair value of current borrowings is not materially different from the carrying value presented.

24.4 The company has been sanctioned funds based limit of Rs. 50 Lakhs and Non-fund based limit of Rs. 1075
Lakhs

24.5 Quarterly returns or statements of current assets for the quarter ended 30-06-2024 & 31-03-25 fled by the
Company with Bank are in agreement with the audited/unaudited books of accounts except for the month of
March-2025.

a) The sensitivity analysis have been determined based on reasonably possible changes of the respective assumptions
occurring at the end of the reporting period, while holding all other assumptions constant.

b) The sensitivity analysis presented above may not be representative of the actual change in the projected benefit
obligation as it is unlikely that the change in assumptions would occur in isolation of one another as some of the
assumptions may be correlated.

c) Furthermore, in presenting the above sensitivity analysis, the present value of the projected benefit obligation has
been calculated using the projected unit credit method at the end of the reporting period, which is the same method
as applied in calculating the projected benefit obligation as recognised in the Balance Sheet.

d) There was no change in the methods and assumptions used in preparing the sensitivity analysis from prior years.

xv The entity has a defined benefit gratuity plan in India (unfunded). The entity's defined benefit gratuity plan is a final
salary plan for employees.

xvi Gratuity is paid from entity as and when it becomes due and is paid as per entity scheme for Gratuity.

xvii This plan in defined benefit plan and entity is exposed to the Following Risks:

a) Interest rate risk: A fall in the discount rate which is linked to the G.Sec. Rate will increase the present value of the liability
requiring higher provision.

b) Salary Risk: The present value of the defined benefit plan liability is calculated by reference to the future salaries of
members. As such, an increase in the salary of the members more than assumed level will increase the plan's liability.

c) Asset Liability Matching Risk: The plan faces the ALM risk as to the matching cash flow. Entity has to manage pay-out
based on pay as you go basis from own funds.

d) Mortality risk: Since the benefits under the plan is not payable for life time and payable till retirement age only, plan does
not have any longevity risk.

xviii During the year, there were no plan amendments, curtailments and settlements and Gratuity plan is unfunded.

39.1 The company is currently contesting a demand order issued by the Commercial Tax Officer, Chengalpattu, Chennai,
under the GST Act. The order, dated December 18, 2024,Order No.- ZD3312241520323, pertains to a penalty of Rs
17.83 lakhs which the authorities wrongly invoked under section 129, considering documents defective related to
the movement of goods. While the company has paid the demanded amount under protest to ensure the release
of goods, management believes that the appeal has a strong possibility of success.

Hence no provision for this contingent liability has been recognized in the financial statements, as management
does not consider it probable that a liability will materialize.

39.2 Counter Guarantees compries of various guarantes given by the Company in respect of performance guarentee
given for its various projects.

40 Corporate Social Responsibility (CSR)

As per Section 135 of the Companies Act, 2013, a company, meeting the applicability threshold, needs to spend at least
2% of its average net profit for the immediately preceding three financial years on corporate social responsibility (CSR)
activities. The areas for CSR activities are eradication of hunger and malnutrition, promoting education, art and culture,
healthcare, destitute care and rehabilitation, environment sustainability, disaster relief, COVID-19 relief and rural
development projects.

A CSR committee has been formed by the company as per the Act. The funds were primarily utilized through the year on
these activities which are specified in Schedule VII of the Companies Act, 2013:

Note-1: Note-1: For providing facilities such as housing, food, clothing and other necessities to homeless, destitute,

oppressed, helpless, abandoned, mentally and physically sick, old aged persons.

41 Service Concession Arrangements

The Company has undertaken a project for Development and Operation of Tent City Project on Bangaram Island of
Lakshadweep on Build-Operate-Transfer (BOT) basis as per the concession agreement with the Administrator, UT
Administration. The significant terms of the arrangement are as under:

Period of the concession - Initial period of 5 years and extendable by another 2 years at the option of the
concessionaire subject to fulfilment of certain conditions under concession agreement.

Remuneration - Revenue collection rights from the guests of the tent city, license to use land provided by the
government for establishing and operating the tent city, and earn room rental income on various accommodation types,
as well as revenue from ancillary services like food and beverage, recreational activities, and guided tours.

Infrastructure return at the end of the concession period - Being BOT project, the project assets have to be
transferred at the end of concession period.

Renewal and termination options - Further extension of 2 years will be granted at the option of the concessionaire
upon satisfaction of Key Performance Indicators laid under the concession agreement. Termination of the concession
agreement can either be due to (a) force majeure (b) non political event (c) Indirect political event (d) political event (e)
Violation of terms and condition mentioned in RFP. On occurrence of any of the above events, the obligations, dispute

resolution, termination payments etc are as detailed in the concession agreement.

Rights - 1. The Concessionaire shall have the exclusive right to market, manage bookings, fix charges / rates and retain
revenues from operations of the Project Facilities.

Obligation - 1. Upon expiry or termination of the agreement, the Operator shall promptly handover

the property / facilities to the Authority, free of all liabilities and encumbrances in good condition. The property /

facilities, include all moveable and immovable assets.

2. In lieu of the rights granted for the Concession Period, the operator shall make certain payments to the Authority.
Classification of service arrangement - The service arrangement has been classified as a Service Concession
Arrangement as per Appendix C to Ind AS 115 - Revenue from contracts with customers. Accordingly, Rent revenues and
expenses are accounted during operating phase and intangible asset is recognised towards rights to charge the guests.
Rent revenue from Operation of Tent City Project on Bangaram Island of Lakshadweep is Rs. 170.16 Lakhs and loss from
Operation of Tent City is Rs. 114.15 Lakhs.

42 Stock Options Granted Under the Employee Stock Options Scheme

I) Details of the Employee stock option plan of the Company:

Praveg Limited (the Company) formulated Employees Stock Option Scheme viz. "Praveg's Employee Stock Option Plan
2024 ("the Scheme") for the benefit of employees of the Company. Shareholders of the Company approved the Scheme
by passing special resolution dated April 30, 2024 passed at Extra-Ordinary general meeting.

The Nomination and Remuneration Committee has granted total 3969 Options, with every 1 (One) Option giving the
right but not obligation to the holder, to subscribe to, 1 (One) fully paid-up Equity Share of Face Value Rupees 10/-
(Rupee Ten only) each, of the Company, at an exercise price of Rupees 117.29 per option to various employees of the
Company on February 11, 2025.

The following stock based payment arrangement were in existence during the current year:

v) For the purpose of maintaining comparability with prior periods and given the specific circumstances surrounding
the initial implementation and valuation of these new ESOPs, management has made a considered decision to
recognize the immediate impact of these plans as a liability provision on the statement of financial position, rather
than within equity reserves. This approach allows for a clearer like-for-like comparison of our financial position and
performance with previous reporting periods, where similar long-term employee incentives may have been
structured differently or were not present.

It is important to note that the financial impact of this specific accounting treatment is not material to the
Company's overall financial position or performance. Furthermore, this classification decision is not pervasive across
our financial statements; it pertains solely to the initial recognition of this particular ESOP issuance and does not
impact the accounting policies or presentation of other significant transactions, balances, or financial statement line
items.

"We believe this presentation provides a clear and faithful representation of the Company's financial position while
ensuring the continued comparability of our financial reporting."

B. Capital Management

i. For the purpose of the Group's capital management, capital includes issued equity capital and all other
equity reserves attributable to the equity holders of the Group. The Group strives to safeguard its ability to
continue as a going concern so that they can maximise returns for the shareholders and benefits for other
stake holders. The Group aims to maintain an optimal capital structure through combination of debt and
equity in a manner so as to minimise the cost of capital.

ii. Consistent with others in the industry, the Group monitors its capital using Gearing Ratio, Net Debt (Short
Term and Long Term Borrowings including Current maturities) divided by Total Capital (Total Equity plus Net

C Financial Risk Management Objectives and Policies

The Company's principal financial liabilities comprise loans and borrowings, trade and other payables. The main purpose
of these financial liabilities is to finance and support the company's operations. The company's financial assets include
trade and other receivables, and cash & cash equivalents that derive directly from its operations.

The company is exposed to market risk, and liquidity risk. The company's senior management oversees the management
of these risks. The company's senior management is supported by a Current Corporate Affairs Committee that advises on
financial risks and the appropriate financial risk governance framework for the company. This committee provides
assurance to the company's senior management that the company's financial risk activities are governed by appropriate
policies and procedure and that financial risks are identified, measured and managed in accordance with the company's
policies and risk objectives. The Board of Directors reviews and agrees policies for managing each risk, which are
summarised as below :

The Company has exposure to the following risks arising from financial instruments:

a) Market Risk

b) Liquidity Risk

c) Credit Risk

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 market prices. Market risk comprises of interest rate risk, and foreign currency risk.

1.1 Interest Rate risk

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. The company's exposure to the risk of changes in market interest
rates relates primarily to the company's working capital obligations with floating interest rates. The
company is carrying its working capital borrowings primarily at variable rate.

The sensitivity analysis have been carried out based on the exposure to interest rates for loans carried at
variable rate. A 50 Basis point increase or decrease represents management assessable of the reasonably
possible change in interest rates.

1.2 Foreign Currency Risk

FForeign 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 does not have significant exposure in foreign currency.
The company is mainly exposed to changes in USD and AUD. The below table demonstrates the sensitivity to
a 1% increase or decrease in the USD or AUD rates against INR, with all other variables held constant. The
sensitivity analysis is prepared on the net unhedged exposure of the company as at the reporting date. 1%
represents management's assessment of reasonably possible change in foreign exchange rate.

2 Liquidity Risk

The company monitors its risk of a shortage of funds by estimating the future cash flows. The company's objective
is to maintain a balance between continuity of funding and flexibility through the use of bank overdrafts, cash
credit facilities and bank loans. The company has access to a sufficient variety of sources of funding.

The table below summarises the maturity profile of the company's financial liabilities based on contractual
undiscounted payments.

The above tables do not include liability on account of future interest obligations.

3 Credit Risk

Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer
contract, leading to a financial loss. The company is having majority of the receivables from Government
Authorities, companies, or local authorities and hence, Company enjoy lower credit losses.

Trade receivables

Concentration of credit risk with respect to trade receivables are limited, due to the Company's customer base
being large and diverse including Government entities. All trade receivables are reviewed and assessed for default
on a quarterly basis.

Other financial assets

The Company maintains exposure in cash and cash equivalents and term deposits with banks. The Company has
set counter-party limits based on multiple factors including financial position, credit rating, etc. The Company has
given inter-corporate deposits (ICD) to its subsidiaries amounting 4010.29 Lakhs (31st March, 2025: 1023.41
Lakhs).

The Company's maximum exposure to credit risk is the carrying value of each class of financial assets.

Reason for Variance > 25%

Note: 1 Current Assets Ratio increase due to increase in Current Assets which is due to temporary investment of part of
Proceeds of Shares issued during the year in Fixed Deposits and increase in advances given to suppliers.

Note: 2 Due to increase in Equity base on account of money received on equity shares issued on preferential basis during the
year.

Note: 3 Due to decrease in Debt during the year as compared to last year.

Note: 4 Due to increase in Equity capital on account of newly issued Equity shares and decrease in Net Profit during the year

Note: 5 Inventory Turnover Ratio is not applicable to Company as Company is in the service Industry and the Inventory held is
not for sale.

Note: 6 Return on Investment Ratio is not given since there is no significant Investments during the year.

Note: 7 Due to increase in Sales and due decrease in net profit.

48 Issue of Shares

a) During the year company has converted 12,00,000 warrants of Rs.3216.00 Lakhs into 12,00,000 Equity Shares of face
value of Rs. 10/- each fully paid-up on a preferential of basis at Rs.268/-each (including premiun of Rs.258/- each
share).

b) During the year company has converted 3,75,000 warrants of Rs.1826.25 Lakhs into 3,75,000 Equity Shares of face
value of Rs. 10/- each fully paid-up on a preferential of basis at Rs.487/-each (including premiun of Rs.477/- each
share).

c) During the year company has issued 5,45,533 Equity shares of Rs.2656.74 Lakhs of face value of Rs. 10/- each fully
paid-up on a preferential of basis at Rs.487/-each (including premiun of Rs.477/- each share).

d) During the year company has issued 14,90,000 Equity shares of Rs.9983.00 Lakhs of face value of Rs. 10/- each fully
paid-up on a preferential of basis at Rs.670/-each (including premiun of Rs.660/- each share).

The total issue expenses incurred Rs. 225.14 lakhs (excluding taxes) has been adjusted against securities premium.

The Company has utilised net proceeds to meet its working capital requirement and capital expenditure to create and
develop Tent City infrastructures and facilities at various sites across India and balance amount are temporarily
invested/parked in Term Deposits with Nationalised and Scheduled Banks.

49 Event Occurring after The Balance Sheet Date

The Company evaluates events and transactions that occur subsequent to the balance sheet date but prior to approval of
financial statement to determine the necessity for recognition and/or reporting of any of these events and transactions in
the financial statements. As on date of signing this statements there were no material subsequent events to be
recognized or reported that are not already disclosed.

50 Company has used the borrowings from banks and financial institutions for the specific purpose for which it was taken
at the balance sheet date.

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

52 Company has not been declared willful defaulter by any bank or financial Institution or other lender during the year
under audit.

53 Company has no charges or satisfaction yet to be registered with Registrar of Companies beyond the statutory period
during the year under audit.

54 Company has not traded or invested in Crypto currency or Virtual Currency during the financial year.

55 During the year, Company has no relation of any kind or transactions with any of the Struck off Companies.

56 The figures for the corresponding previous year have been regrouped / reclassified wherever necessary, to make them
comparable with current year's figures.

57 The financial statements of the Company for the year ended 31st March, 2025 have been reviewed by the Audit
Committee and approved by the Board of Directors in its meeting held on 30th May, 2025.

58 The Company does not have any such 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

59 The Company has not advanced or loaned or invested (either from borrowed funds or share premium or any other
sources or kind of funds) any funds to or in any other persons or entities, 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

60 The Company have 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

61 Dividends

Company has paid Dividends during the year ended March 31,2025 at Rs.4.50 per equity share for the year ended March
31,2024, aggregating to Rs.Rs.1018.78 lakhs out of the Retained Earnings.

Board of Directors of the Company in their meeting held on 30-5-2025 has proposed a final dividend of Rs.1.00 per
equity share for the year ended March 31,2025, subject to the approval of shareholders at the ensuing Annual General
Meeting. If approved, the dividend would result in a cash outflow of Rs. 245.32 lakhs

SIGNATURE TO NOTES ON ACCOUNTS

The accompanying notes form an integral part of the standalone financial statements
As per our report of even date attached

For and on behalf of Board of Directors

For, B. K. PATEL & CO. PRAVEG LIMITED

Chartered Accountants CIN:L24231GJ1995PLC024809

FRN : 112647W

CA K. D. Patel Bijal Parikh Vishnukumar Patel

Partner Director Chairman

Membership No.039919 DIN :- 07027983 DIN : 02011649

Place : Ahmedabad Dharmendra Soni Mukesh Chaudhary

Date : 30-05-2025 Chief Financial Officer Company Secretary

Place : Ahmedabad
Date : 30-05-2025