2.14 Provisions, contingent liabilities and contingent assets:

Provisions involving substantial degree of estimation tn measurement are recognized
when there is a present obligation as a result of past events and it is possible that there
will be an outflow of resources Contingent liabilities are not recognized but are

disclosed in notes Contingent assets are neither recognized nor disclosed in the
financial statements

Other Explanatory notes and Information

2 15 Sundry Debtors and advances (considered good) include certain overdue debts/ old
advances aggregating to ?15 (Previous Year ^15) for which necessary steps are
being taken for realisation and as such no provision there against is considered
necessary in these accounts

2 16 Balances of certain Sundry Debtors Sundry Creditors, Loans and Advances and
Other Liabilities are in process of confirmation/reconciliation The management is of
the opinion that adjustment if any arising out of such reconciliation would not be
matanal

2 17 Minimum Alternate Tax Credit is recognized as an asset only to the extent there is
convincing evidence that the Company will pay normal Income Tax during the
specified period. *

2.18 In the opinion of the Board the Current Assets, Loans and advances appearing in the
company s balance sheet as at the yearend would have value on realization in the
normal course of business at least equal to the respective amounts at which they are
stated in the balance sheet.

%

2.19 Under the Micro Small and Medium Enterprises Development Act 2006, certan
disclosures are required to be made relating to micro, small and medium enterprises
but the information is not available

2.20 (a) Estimated amount of Capital Commitments net of advances as at 31 03.2025
and not provided for is ^ 20 (Previous year ? 100)

(b) Contingent Liabilities 2024-25 2023-24

(Not provided for) in respect of -

- Letter of Credit 1147 1116

- Bank Guarantees 74 56

2.21 Consumption of raw materials includes foreign exchange loss of ^0 (Previous year
loss of ^0)

2.22 Retuement Benefits
Defined Benefits Plan

The company has subscribed to group gratuity policy with the Life Insurance
Corporation of India to cover its liability towards employees gratuity. Gratuity liability
has been actuarially calculated and the same has been provided for as on the date of
Balance Sheet. Summary of Gratuity Plan is given below - ^

The company extends the benefit of leave encashment to its employees while in serv ne
Leave encashment benefits are accounted for on the basis of actual valuation as at yea?
end.

Defined Contribution Plan

Contribution to Defied Contribution Plan i e contribution to Provident Fund amounting to
^18 (Previous year >T22) has been recognized as expenses in the year and charged to
revenue account These contributions are made to the fund administered and managed
by Regional Provident Fund Commissioners

2 23 Segment Information

The business segments have been identified on the basis of the products manufactured
by the Company i.e Fertilisers & Sulphuric Acid Mainly Sulphuric Acid is captively used
for production of SSP The company is managed organisationally as one unified entity
hence there are no separate geographical segments:

2.24 Deferred Tax Accounting -

tarrying amount of deferred tax assets and deferred lax liabilities as given in Ind AS
12 has been reviewed as on 31^st March. 2025 Deferred tax assets and liabilities are
measured at the present prevailing tax rate. Net deferred tax liability for the year ^24
has been recognized in the Profit and Loss Account for the year.

2 25 Management has evaluated value in use of its fixed assets, current assets and
current liabilities. Based on the past history and track records of the company has
assessed the risk of default by the customer and expects the credit loss to be
insignificant. On evaluation, management is of the opinion that there is no
impairment of the Company's assets as on 31 ^M March 2025 and hence no provision
is required

The Company s principal financial liabilities comprise trade and other payables 1 ne
main purpose of these financial liabilities is to finance the Company's operations The
Company s pnncipal financial assets include loans, trade and other receivables, and
cash and cash equivalents that derive directly from its operations

The .Company's activities expose it to a variety of financial risks markel risk credil sk
and liquidity risk The Company's focus is to foresee the unpredictability of financial
markets and seek to minimize potential adverse effects on its financial performance

Market risk is primarily in the form of exchange rate fluctuation The company is not
using forward contracts to mitigate foreign exchange related risk exposures For some
years there is very little fluctuation in foreign exchange rates

Credit risk is the risk that a customer allowed a credit facility may not honor his contract
for timely payment which may lead to financial loss to the Company Customer credit
risk is managed by marketing department through the Company's established policy
procedures and control relating to customer credit risk management Credit quality of
each customer is assessed and credit limits are defined in accordance with this
assessment Outstanding customer receivables and security deposits are regularly
monitored.

The Company s principal source of liquidity is cash and cash equivalents and the cash
flow that is generated from operations The Company has no outstanding Term Loans
The Company's present production and operation level is 50% There is no iquidity risk

2.34 Additional disclosures as required under schedule III of the Companies Act 2013.

1 Title deeds of all immovable properties are held in name of the Company as
at 31^s March 2025

2. The company does not hold any Investment Property in its books o'
accounts, so fair valuation of investment property is not applicable
3 The company has not revalued any of its Propeity Plant & Equipment in the
current year & last year.

4. The company has not revalued any of its intangible assets in the current year
& last year.

5. The Company has not granted any loans or advances to promoters
directors, KMP's and the related parties that are repayable on derrmne <
without specifying any terms or period of repayment

6. Disclosures related to Capital Work-in-Progress

7 Company is not having any transaction with the Companies struck off under
Lhe section 248 of the Companies Act 2013 or Section 560 of the Companies
Act 1956

8 There are no charges or satisfaction which are to be registered with ROC

beyond statutory period

9. There is no material difference in the quarterly returns and statement ot
current assets filed by the Company with bankers with regard to working
capita’, limits.

10. The Company has not provided nor taken any loan or advance to/from any
other person or entity with the understanding that benefit of tne transacts
will go to a third party the ultimate beneficiary

11. Ratios as reauired under schedule III of Companies Act.