1.11. PROVISIONS AND CONTINGENCIES
The company creates a provision when there is a present obligation as a result of past events
that probably requires an outflow of resources and a reliable estimate can be made of the
amount of obligation. A disclosure for a contingent liability is made, where there is a
possible obligation or a present obligation that probably will not require an outflow of
resources or where a reliable estimate of obligation cannot be made.
1.12. EMPLOYEE BENEFITS
Contributions to defined contribution schemes such as provident fund, etc are charged to the
Profit and Loss account as incurred. The Company also provides for retirement benefits in
form of gratuity. Such defined benefits are charged to the profit & loss account on basis of
actuarial valuation report taken, as at balance sheet date.
1.13. CASH AND CASH EQUIVALENTS
Cash and cash equivalents comprise cash at bank and in hand and Fixed Deposit with Bank if
maturity is within the 3 months from the end of the date of balance sheet.
1.14. CASH FLOW STATEMENT
Cash flows are reported using indirect method, whereby profit/(loss) before extraordinary
items and tax is adjusted for the effects of transactions of non-cash nature and any
deferrals or accruals of past or future cash receipts or payments. The cash flows from
operating, investing and financing activities of the Company are segregated based on the
available information.
1.15. Issue of Shares during the Year
• Company has raised the money amounting to Rs. 5026.56 Lakhs by issuing 59,13,600 shares
of face value of Rs. 10.00 at a premium of Rs. 75.00 per share in the month of April 2024
through Initial Public Issue.
• Company has raised the money amounting to Rs. 1023.04 Lakhs by issuing 7,36,000 shares
of face value of Rs. 10.00 at a premium of Rs. 129.00 per share in the month of February
2025 through Preferential Allotment.
• Company has raised Rs. 790.63 Lakhs by issuing 1137600 Equity share Warrants of face
value of Rs. 10.00 in the month of February 2025 at an issue price of Rs. 139 per Share
Warrant.
1.16. Earnings Per Share
Basic Earnings per share are calculated by dividing the net profit or loss for the year
attributable to equity shareholder by the number of equity shares outstanding during the
period. For the purpose of calculating diluted earnings per share, net profit or loss for the year
attributable to the equity shareholders and weighted average number of shares outstanding
during the period is adjusted for the effect of all dilutive potential equity shares.
NOTES TO ACCOUNTS
1. Previous year’s figures have been regrouped, recasted and re-arranged wherever
necessary, to conform the current year presentation.
2. Figures appearing in the financial statements have been rounded off to the nearest lakhs
3. Sitting fees of Rs. 90,000.00 has been paid to independent Directors of the Company
4. We have relied upon the information provided by the company regarding suppliers under
Micro, Small and Medium Enterprises Development Act 2006.
5. Sundry Debtors, Loans & Advances & Deposits, Sundry Creditors are subject to
confirmation.
6. The company has assessed recoverable value of assets, and impairment losses of Rs 87.19
lakh recognised during the FY 24-25.
7. Title deeds of Immovable Properties not held in name of the Company
Report of the registered Valuer as defined under Rule 2 of Companies (Registered
Valuers and Valuation) Rule 2017.
8. Fire Accidents
On August 07, 2024, an accidental fire broke out at our Mahadula Manufacturing Facility
which is situated at Mahadula, Tahsil - Mouda, District Nagpur, Maharashtra, India. As
the fire was limited to one of Raw Material Storage Shed. Fire accident has not adversely
impacted the operations at the plant. The Company has, due to this fire accident, suffered
damage of Raw material (rice bran) and some part of Fixed Assets (Plant & Machinery,
Shed, Solar Panel, Electrical wiring etc). The Company have been adequately insured to
the extent of damage occurred in the fire accident, including impacted property, Raw
Materials, plant & equipment and Stores and Spares. The impact of loss has been assessed
at Rs 95,49,178 and the claim has been settled in the FY 2024-25 itself.
On May 28, 2024, an accidental fire broke out at our Bramhapuri Manufacturing Facility
which is situated at Gat-141, 171, Borgaon Road, Tahsil Bramhapuri, District
Chandrapur, Maharashtra, India. As the fire was happened in one side of godown of
Stores and Spares which damage the Solar Panel, Lubricant Oil and Filter Cloth etc. fire
accident has not adversely impacted the operations at the plant. The Company have been
adequately insured to the extent of damage occurred in the fire accident, including
impacted property, plant & stores inventories. The impact of loss has been assessed at Rs
15,61,751 and the claim has been settled in the FY 2025-26.
On 12th October, 2024, an accidental fire broke out at Mahadula Plant, Tahsil - Mouda,
District Nagpur, Maharashtra, India. As the fire was limited to one of the Storage Shed
where empty gunny bag was stacked, Fire accident has not adversely impacted the
operations at the plant. The Company has, due to this fire accident, suffered damage of
some part of Shed Structures, building, and Cables only. The Company have been
adequately insured to the extent of damage occurred in the fire accident, including
impacted property, plant & equipment The impact of loss is being assessed for the same
and the survey is ongoing by the insurance surveyor, hence the loss is yet to be
ascertained. Estimated Loss has been assessed at Rs 39,70,734. The claim will be settled
in the coming FY 2025-26. Insurance claim for loss (if any) will be assessed once the
claim for fixed assets is settled in FY 2025-26.
These fire accidents has not affected our "Going Concern" assumption. Accordingly, the
Company will continue as a going concern.
9. Audit Trail
The Company uses an accounting software for maintaining its books of account which
has a feature of recording audit trail (edit log) facility and the same has operated
throughout the year for all relevant transactions recorded in the accounting software.
Further no instance of audit trail feature being tampered with was noted in respect of the
accounting software.
Further, the audit trail has been preserved by the Company as per the statutory
requirements for record retention.
10. Relationship with Struck off Companies
There are no transactions with Struck off Company as explained under section 248 of the
Companies Act, 2013 or section 560 of the Companies Act, 1956.
11. Disclosure for quarterly returns or statements of current assets filed by the company with
banks or financial institution Monthly returns or statements filed by the company with
financial institutions or banks are not in consonance with the financial statements.
12. Wilful Defaulter
The company has not been declared as wilful defaulter by any bank or financial
institution or other lender during the year.
13. Details of Benami Property Held
No proceedings have been initiated during the year or are pending against the Company
for holding benami property under the Benami Transactions (Prohibition) Act, 1988 (as
am and rules made thereunder.
14. Default in Repayment of Borrowings
a) The Company has not defaulted in repayment of dues to banks & financial
institutions.
b) The company has not been declared as wilful defaulter by any bank or financial
institution or government or any government authority during the year.
c) The Company has applied the term loan for the purpose for which the loans were
availed.
d) Funds raised on short term basis, have not been utilised for long term.
15. Registration of charges or satisfaction with Registrar of Companies (ROC):
The Company has complied with the reporting requirement of registration of charges or
satisfaction with Registrar of Companies (ROC) towards loans/borrowings from
banks/financial institutions.
16. Compliance with number of layers of companies:
The company has complied with the number of layers prescribed under clause (87) of
section 2 of the Act read with the Companies (Restriction on number of Layers) Rules, 2.
17. Compliance with approved Scheme(s) of Arrangements:
There are no Scheme of Arrangements which has been approved by the Competent
Authority in terms of section 230 to 237 of the Companies Act, 2013.
18. Revaluation of Intangible Assets
As the company does not own any intangible assets, there is no requirement of reporting
of revaluation in intangible assets.
19. Utilization of borrowed funds and share premium
a) No funds (which are material either individually or in the aggregate) have been
advanced or loaned or invested (either from borrowed funds or share premium or any
other sources or kind of funds) by the Company to or in any other person or entity,
including foreign entity ("Intermediaries"), with the understanding, whether recorded in
writing or otherwise, that the Intermediary shall, whether, 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 provide any guarantee, security or the like on
behalf of the Ultimate Beneficiaries.
b) No funds (which are material titles individually or in the aggregate) have been received
by the Company from any person or entity, including foreign entity ("Funding Parties"),
with the understanding, whether recorded in writing or otherwise, that the Company shall,
whether, 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
provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.
20. Undisclosed Income
There were no transactions relating to previously unrecorded income that have been
surrendered or disclosed as income during the year in the tax assessments under the
Income Tax Act, 1961 (43 of 1961).
21. Corporate Social Responsibility
As per section 135 of the Companies Act, 2013, the Company is required to spend at least
2% of its average net profits for the immediately preceding three financial years on
corporate social responsibility activities.
22. Disclosure pertaining to details of Crypto Currency or Virtual Currency
The Company has not traded on invested in Crypto currency on virtual currency during
the financial year.
23. Disclosure of Significant Ratios. Refer "Note 33" for Ratios.
As per our Report of even date
For Borkar & Muzumdar
Chartered Accountants
Firm Reg. No.: 101569W For & on behalf of the Board
SD/- SD/- SD/-
CA. Vinod Agrawal PRASHANT K. BHAIYA NILESH S. MOHATA
Membership No. 404449 Whole Time Director Managing Director
DIN: 02374524 DIN: 02374561
Place: Nagpur SD/- SD/-
Date: 27 th May, 2025 AAYUSH BHAIYA PRATUL WATE
UDIN: 25404449BMJMUR8763 Chief Financial Officer Company Secretary
| 