7. Provisions:

A provision is recognized when the Company has a present obligation as a result of past events and it is probable that an outflow of resources will be required to settle the obligation in respect of which a reliable estimate can be made. Provisions (excluding retirement benefits) are determined based on the best estimate required to settle the obligation at the Balance Sheet date. These are reviewed at each Balance Sheet date and adjusted to reflect the current best estimates

8. Property, Plant and Equipment:

Freehold land is carried at historical cost. All other items of property, plant and equipment are stated at historical cost less depreciation. Historical cost includes expenditure that is directly attributable to the

acquisition of the items. Cost may also include transfers from equity of any gains or losses on qualifying cash flow hedges of foreign currency purchases of property, plant and equipment. Subsequent costs are included in the asset’s carrying amount or recognized as a separate asset, as appropriate, only when it is probable that future economic benefits associated with the item will flow to the Company and the cost of the item can be measured reliably. The carrying amount of any component accounted for as a separate asset is derecognized when replaced. All other repairs and maintenance are charged to profit or loss during the reporting period in which they are incurred.

9. Depreciation:

Depreciation is calculated using the straight-line method to allocate their cost, net of their residual values, over their estimated useful lives. The residual values are not more than 5% of the original cost of the asset. The assets’ residual values and useful lives are reviewed, and adjusted if appropriate, at the end of each reporting period.

An asset’s carrying amount is written down immediately to its recoverable amount if the asset’s carrying amount is greater than its estimated recoverable amount.

Gains and losses on disposals are determined by comparing proceeds with carrying amount. These are included in profit or loss within other gains/ (losses).

10. Capital Work-in-Progress

The cost of self-constructed assets includes the cost of materials & direct labour, any other costs directly attributable to bringing the assets to the location and condition necessary for it to be capable of operating in the manner intended by management and borrowing costs.

Expenses directly attributable to construction of property, plant and equipment incurred till they are ready for their intended use are identified and allocated on a systematic basis on the cost of related assets.

11. Statement of Cash Flows

Cash Flow Statement has been prepared in accordance with the Indirect method prescribed in Ind AS 7 ‘ Statement of Cash Flows'’.

12. Inventories:

i ) Raw Material ,stores & spares are valued at cost.

ii ) Finished goods are valued at lower of cost or net realizable value.

iii ) Work in Progress are valued at estimated cost.

13. Financial assets measured at fair value:

Financial assets are measured at ‘Fair value through other comprehensive income’ (FVOCI) if these financial assets are held within a business model whose objective is to hold these assets in order to collect contractual cash flows or to sell these 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.

The Company in respect of equity investments (other than in subsidiaries, associates and joint ventures) which are not held for trading has made an irrevocable election to present in other comprehensive income subsequent changes in the fair value of such equity instruments. Such an election is made by the Company on an instrument-by-instrument basis at the time of initial recognition of such equity investments. Financial asset not measured at amortized cost or at fair value through other comprehensive income is carried at ‘Fair value through the statement of profit and loss’ (FVPL).

14. Income Taxes:

Income Tax Expense comprises Current and Deferred Tax. Current Tax is the expected tax payable on the taxable income for the year, using tax rates enacted or substantively enacted and as applicable at the reporting date, and any adjustment to tax payable in respect of previous years. Current Income Taxes are recognised under ‘Income Tax payable’ net of payments on account, or under ‘Tax receivables’ where there is a debit balance. Deferred Tax is recognised using the Balance Sheet method, providing for temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for taxation purposes.

24. Contingent liabilities not provided in the accounts:

There was no Contingent Liability as on 31.03.2024.

25. Balance of sundry debtors, Creditors and loans and advances are subject to confirmation, reconciliation and adjustment required, if any.

26. Disclosure required under Ind As-19 “Employee Benefits” are as under:

(i) The Company has recognized the expected liability of Gratuity as at 31st March, 2024 based on actuarial valuation carried out using the Project Unit Credit Method.

(ii) The below disclosure has been obtained from independent actuary. The other disclosures are made in accordance with Ind AS-19 pertaining to the Defined Benefit Plan is as given below:

27. In the opinion of management, sundry debtors, Loans and advances are approximately of the value stated, if realized in the ordinary course of business. The provisions of all liabilities are adequate and not in excess of the amount reasonably necessary. There are no contingent liabilities other than those stated above.

28. Related Party Disclosures

As per Ind AS 24, the disclosures of transaction with the related parties are given below:

a) Related party relationship where transaction have taken place during the year Enterprise over which Key Managerial Personnel exercise significant influence/control

(i) Sunrise Colours Limited

(ii) Subhash Poddar HUF (Karta of Jattashankar Poddar & Sharad Poddar)

(iii) Sharad Poddar HUF (Sharad Poddar is Karta of HUF)

29. The company mainly deals in yams and Elastic tapes which are considered only one segment of Textile Products therefore, disclosure of segment reporting pursuant to Ind AS -108 is not required.

30. In view of the applicability of Ind AS -12 on “Accounting for Taxes of Income” issued by the ICAI, Company does not have net deferred tax liability due to excess of deferred tax Assets over deferred tax liability.

31. No Dividend declared in the current year.

32. Disclosure under Micro, Small and Medium Enterprises Development Act, 2006 (MSMED ACT, 2006)

As required to be disclosed under Micro, Small & Medium Enterprises Development Act, 2006 and to the extend such parties are identified on the basis of information available with the company, there are no micro enterprises or small scale enterprises to whom the company owes any undisputed dues which are outstanding for more than 45 days as at 31st March, 2022.

The Company does not have any dilutive potential equity shares. Consequently, the basic and diluted earnings per share of the Company remain the same.

35. There are no significant subsequent events that would require adjustments or disclosures in the financial statements as on the Balance Sheet date.

1. Due to increase in current Investment there is increase current ratio in current year as compared to previous year.

2. Due to increase in Operating revenue , Non operating income and exceptional gain of Rs 303.04 lacs(Net of Tax) , resulting into increase in Return on Equity ration, Net Profit ratio and Return on capital employed ratio in the current year as compared to previous year.

3. Due to increase in operating revenue and decrease in average inventory , there is increase in inventory turnover ratio in current year as compared to previous year.

4. Due to increase in purchase and Expenses and decrease in average creditors , there is increase in trade payable turnover ratio in current year as compared to previous year

5. Due to increase in Current Investment and increase in income , there is increase in ratio of return on investment in current year as compared to previous year.

* The company considers Revenue from Operations, in place of Cost of Goods Sold (COGS) for

calculating Inventory Turnover Ratio.

**Net profit after Tax includes exception gain of Rs 303.04 lacs net of tax

***Earning Before Tax Includes exceptional gain Rs 367.42 lacs

37. Previous year figures have been regrouped / rearranged wherever is necessary.

AS PER OUR REPORT OF EVEN DATE ATTACHED FOR AND ON BEHALF OF THE BOARD OF

DIRECTOR FOR K K JHUNJHUNWALA & CO. JATTASHANKAR INDUSTRIES LIMITED

CHARTERED ACCOUNTANTS

FIRM'S REG. NO. 111852W. Sd/- Sd/-

Sd/- JATTASHANKAR PODDAR SHARAD PODDAR

(Managing Director) ( Director)

SURENDRA SUREKA DIN : 00335747 DIN : 00335806

PARTNER Sd/- Sd/-

M. NO. 119433 ANKUR S. PODDAR Varsha Maheshwari

PLACE: MUMBAI. (Chief Financial Officer) (Company Secretary)

Date 30/05/2024