Provisions and Contingent Liabilities

Provisions are recognised when the company has a present obligation (legal or constructive) because of a past event,
for which it is probable that a cash outflow will be required, and a reliable estimate can be made of the amount of 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 time value of money is material). These are reviewed
at each Balance Sheet date and adjusted to reflect the current best estimates.

When the company expects some or all the provision to be reimbursed, the reimbursement is recognised as a separate
asset, but only when the reimbursement is virtually certain. The expense relating to a provision is presented in the
Statement of Profit and Loss net of any reimbursement.

Contingent liabilities are disclosed when the company has a possible obligation, or a present obligation and it is probable
that an outflow of resources will not be required to settle the obligation, or the amount of obligation cannot be
measured with sufficient reliability.

1.21 Significant Accounting Judgments, Estimates and Assumptions

The preparation of standalone 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. 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 years.

(i) Useful lives of property, plant and equipment and intangible assets:

As described in the significant accounting policies, the Company reviews the estimated useful lives of property,
plant and equipment and intangible assets at the end of each reporting period.

(ii) Actuarial valuation:

The determination of Company's liability towards defined benefit obligation to employees is made through
independent actuarial valuation including determination of amounts to be recognised in the Statement of Profit
and Loss and in other comprehensive income. Such valuation depends upon assumptions determined after
considering inflation, seniority, promotion and other relevant factors such as supply and demand factors in the
employment market. Information about such valuation is provided in notes to the standalone financial statements.

(iii) Impairment of assets:

The evaluation of applicability of indicators of impairment of assets requires assessment of several external and
internal factors which could result in deterioration of recoverable amount of the assets.

(iv) Recoverability of advances/receivables:

Management reviews its receivables for objective evidence of impairment at least quarterly. Significant financial
difficulties of the debtor, the probability that the debtor will enter bankruptcy, and default or significant delay
in payments are considered objective evidence that a receivable is impaired. In determining this, management
makes judgement as to whether there is observable data indicating that there has been a significant change
in the payment ability of the debtor, or whether there have been significant changes with adverse effect in the
technological, market, economic or legal environment in which the debtor operates in.

Where there is objective evidence of impairment, management makes judgements as to whether an impairment
loss should be recorded as an expense. In determining this, management uses estimates based on historical loss
experience for assets with similar credit risk characteristics.

1.22 Standards (including amendments) issued but not yet effective

The Ministry of Corporate Affairs ("MCA") has notified Companies (Indian Accounting Standard) Amendment Rules,
2023 dated March 31, 2023 to amend certain Ind ASs which are effective from 01 April 2023:

Below is a summary of such amendments:

(i) Disclosure of Accounting Policies - Amendment to Ind AS 1 Presentation of financial statements

The MCA issued amendments to Ind AS 1, providing guidance to help entities meet the accounting policy disclosure
requirements. The amendments aim to make accounting policy disclosures more informative by replacing the
requirement to disclose 'significant accounting policies' with 'material accounting policy information'. The
amendments also provide guidance under what circumstance, the accounting policy information is likely to be
considered material and therefore requiring disclosure.

The amendments are effective for annual reporting periods beginning on or after 01 April 2023. The Company
is currently revisiting their accounting policy information disclosures to ensure consistency with the amended
requirements.

(ii) Definition of Accounting Estimates - Amendments to Ind AS 8 Accounting policies, changes in accounting
estimates and errors

The amendment to Ind AS 8, which added the definition of accounting estimates, clarifies that the effects of a
change in an input or measurement technique are changes in accounting estimates, unless resulting from the
correction of prior period errors. These amendments clarify how entities make the distinction between changes in
accounting estimate, changes in accounting policy and prior period errors. The distinction is important, because
changes in accounting estimates are applied prospectively to future transactions and other future events, but
changes in accounting policies are generally applied retrospectively to past transactions and other past events as
well as the current period.

The amendments are effective for annual reporting periods beginning on or after 01 April 2023. The amendments
are not expected to have a material impact on the Company's financial statements.

(iii) Deferred Tax related to Assets and Liabilities arising from a Single Transaction - Amendments to Ind AS
12 Income taxes

The amendment to Ind AS 12, requires entities to recognise deferred tax on transactions that, on initial recognition,
give rise to equal amounts of taxable and deductible temporary differences. They will typically apply to transactions
such as leases of lessees and decommissioning obligations and will require the recognition of additional deferred
tax assets and liabilities.

The amendment should be applied to transactions that occur on or after the beginning of the earliest comparative
period presented. In addition, entities should recognise deferred tax assets (to the extent that it is probable that
they can be utilised) and deferred tax liabilities at the beginning of the earliest comparative period for all deductible
and taxable temporary differences associated with:

• right-of-use assets and lease liabilities, and

• decommissioning, restoration and similar liabilities, and the corresponding amounts recognised as part of the
cost of the related assets.

The cumulative effect of recognising these adjustments is recognised in retained earnings, or another component
of equity, as appropriate. Ind AS 12 did not previously address how to account for the tax effects of on-balance
sheet leases and similar transactions and various approaches were considered acceptable. Some entities may have
already accounted for such transactions consistent with the new requirements. These entities will not be affected
by the amendments.

The Company is currently assessing the impact of the amendments.