2.12 Provisions
Provisions are recognised when the Company has a present
obligation (legal or constructive) as a result of a past event, it is
probable that an outflow of resources embodying economic
benefits will be required to settle the obligation and a reliable
estimate can be made of the amount of the obligation. If the
effect of the time value of money is material, provisions are
discounted using a current pre-tax rate that reflects, when
appropriate, the risks specific to the liability. When discounting
is used, the increase in the provision due to the passage of
time is recognised as a finance cost.
2.13 Contingent Liabilities & Commitments
Disclosure of contingent liability is made 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 or a present obligation that
arises from past events where it is either not probable that
an outflow of resources embodying economic benefits will
be required to settle or a reliable estimate of amount cannot
be made.
Commitments include the amount of purchase order (net of
advances) issued to parties for completion of assets.
2.14 Employee Benefits Expense
Short-Term Employee Benefits
The undiscounted amount of short-term employee benefits
expected to be paid in exchange for the services rendered by
employees are recognised as an expense during the period
when the employees render the services.
Post-Employment Benefits
Defined Contribution Plans
The Company recognises contribution payable to the
provident fund scheme as an expense, when an employee
renders the related service. If the contribution payable to the
scheme for service received before the balance sheet date
exceeds the contribution already paid, the deficit payable
to the scheme is recognised as a liability. If the contribution
already paid exceeds the contribution due for services
received before the balance sheet date, then excess is
recognised as an asset to the extent that the pre-payment will
lead to a reduction in future payment or a cash refund.
Defined Benefit Plans
The Company pays gratuity to the employees who have
completed five years of service with the Company at the
time of resignation/ superannuation. The gratuity is paid
@15 days basic salary for every completed year of service as
per the Payment of Gratuity Act, 1972. The gratuity liability
amount is contributed to the approved gratuity fund formed
exclusively for gratuity payment to the employees. The
gratuity fund has been approved by respective Income Tax
authorities. The liability in respect of gratuity and other post¬
employment benefits is calculated using the Projected Unit
Credit Method and spread over the period during which the
benefit is expected to be derived from employees' services.
Remeasurement gains and losses arising from adjustments
and changes in actuarial assumptions are recognised in the
period in which they occur in Other Comprehensive Income.
Compensated absences
Compensated absences which are expected to occur within
twelve months after the end of the period in which the
employee renders the related services are recognised as
undiscounted liability at the balance sheet date. Compensated
absences which are not expected to occur within twelve
months after the end of the period in which the employee
renders the related services are recognised as an actuarially
determined liability at the present value of the defined benefit
obligation at the balance sheet date.
2.15 Tax Expenses
i. The tax expenses for the period comprises of current tax
and deferred income tax. Tax is recognised in Statement
of Profit and Loss, except to the extent that it relates to
items recognised in the Other Comprehensive Income.
In which case, the tax is also recognised in Other
Comprehensive Income.
Current Tax
ii. Current tax assets and liabilities are measured at the
amount expected to be recovered from or paid to the
Income Tax authorities, based on tax rates and laws that
are enacted at the Balance sheet date.
Deferred Tax
Deferred tax is recognised on temporary differences
between the carrying amounts of assets and liabilities
in the Financial Statements and the corresponding tax
bases used in the computation of taxable profit.
Deferred tax assets are recognised to the extent it is
probable that taxable profit will be available against
which the deductible temporary differences, and the
carry forward of unused tax losses can be utilised.
Deferred tax liabilities and assets are measured at the
tax rates that are expected to apply in the period in
which the liability is settled or the asset realised, based
on tax rates (and tax laws) that have been enacted or
substantively enacted by the end of the reporting
period. The carrying amount of Deferred tax liabilities
and assets are reviewed at the end of each reporting
period.
2.16 Foreign Currencies Transactions and Translation
Transactions in foreign currencies are recorded at the exchange
rate prevailing on the date of transaction. Monetary assets and
liabilities denominated in foreign currencies are translated
at the functional currency closing rates of exchange at the
reporting date. Exchange differences arising on settlement or
translation of monetary items are recognised in Statement of
Profit and Loss except to the extent of exchange differences
which are regarded as an adjustment to interest costs on
foreign currency borrowings that are directly attributable to
the acquisition or construction of qualifying assets which are
capitalised as cost of assets.
Non-monetary items that are measured in terms of historical
cost in a foreign currency are recorded using the exchange rates
at the date of the transaction. Non-monetary items measured
at fair value in a foreign currency are translated using the
exchange rates at the date when the fair value was measured.
The gain or loss arising on translation of non-monetary items
measured at fair value is treated in line with the recognition
of the gain or loss on the change in fair value of the item (i.e.
translation differences on items whose fair value gain or loss
is recognised in Other Comprehensive Income or Statement
of Profit and Loss are also recognised in Other Comprehensive
Income or Statement of Profit and Loss, respectively).
In case of an asset, expense or income where a non-monetary
advance is paid/received, the date of transaction is the date
on which the advance was initially recognised. If there were
multiple payments or receipts in advance, multiple dates of
transactions are determined for each payment or receipt of
advance consideration.
Contract Balances
Trade Receivables - A Trade receivable represents the
Company's right to an amount of consideration that is
unconditional.
Contract Liabilities - A contract liability is the obligation
to transfer goods or services to a customer for which the
Company has received consideration (or an amount of
consideration is due) from the customer. If a customer pays
consideration before the Company transfers goods or services
to the customer, a contract liability is recognised when the
payment is made. Contract liabilities are recognised as
revenue when the Company performs under the contract.
I nterest Income - Interest Income from a Financial Assets is
recognised using effective interest rate method.
Dividend Income - Dividend Income is recognised when the
Company's right to receive the amount has been established.
Any Other Income - Income other than Dividend and Interest
as described above and any other income covered under
other IND-AS is recognised only when it is reasonable certain
that amount will be collected or when amount is actually
received by the Company.
2.17 Financial Instruments
i. Financial Assets
a. Initial Recognition and Measurement
All Financial Assets are initially recognised at fair value.
Transaction costs that are directly attributable to the
acquisition or issue of Financial Assets, which are not at Fair
Value through Profit or Loss, are adjusted to the fair value on
initial recognition. Purchase and sale of Financial Assets are
recognised using trade date accounting.
b. Subsequent Measurement
- Financial Assets measured at Amortised Cost (AC)
A Financial Asset is measured at Amortised Cost if it is
held within a business model whose objective is to hold
the asset in order to collect contractual cash flows and
the contractual terms of the Financial Asset give rise
to cash flows on specified dates that represent solely
payments of principal and interest on the principal
amount outstanding.
- Financial Assets measured at Fair Value Through Other
Comprehensive Income (FVTOCI)
A Financial Asset is measured at FVTOCI if it 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 represents
solely payments of principal and interest on the principal
amount outstanding.
- Financial Assets measured at Fair Value Through Profit or
Loss (FVTPL)
A Financial Asset which is not classified in any of the
above categories are measured at FVTPL. Financial
assets are reclassified subsequent to their recognition, if
the Company changes its business model for managing
those financial assets. Changes in business model are
made and applied prospectively from the reclassification
date which is the first day of immediately next reporting
period following the changes in business model in
accordance with principles laid down under Ind AS 109
- Financial Instruments.
c. Impairment of Financial Assets
In accordance with Ind AS 109, the Company uses 'Expected
Credit Loss'(ECL) model, for evaluating impairment of Financial
Assets other than those measured at Fair Value Through Profit
and Loss (FVTPL).
Expected Credit Losses are measured through a loss allowance
at an amount equal to:
- The 12-months expected credit losses (expected credit
losses that result from those default events on the
financial instrument that are possible within 12 months
after the reporting date); or
- Full lifetime expected credit losses (expected credit
losses that result from all possible default events over
the life of the financial instrument).
For Trade Receivables the Company applies 'simplified
approach' which requires expected lifetime losses to be
recognised from initial recognition of the receivables.
The Company uses historical default rates to determine
impairment loss on the portfolio of trade receivables. At every
reporting date these historical default rates are reviewed and
changes in the forward- looking estimates are analysed if
there is a significant change in collection pattern.
For other assets, the Company uses 12 month ECL to provide
for impairment loss where there is no significant increase
in credit risk. If there is significant increase in credit risk full
lifetime ECL is used.
ii. Financial Liabilities
a Initial Recognition and Measurement
All Financial Liabilities are recognised at fair value and in
case of borrowings, net of directly attributable cost. Fees of
recurring nature are directly recognised in the Statement of
Profit and Loss as finance cost.
b Subsequent Measurement
Financial Liabilities are carried at amortised cost using the
effective interest method. For trade and other payables
maturing within one year from the balance sheet date, the
carrying amounts approximate fair value due to the short
maturity of these instruments.
iii. Derecognition of Financial Instruments
The Company derecognises a Financial Asset when the
contractual rights to the cash flows from the Financial Asset
expire or it transfers the Financial Asset and the transfer
qualifies for derecognition under Ind AS 109. A Financial
liability (or a part of a Financial liability) is derecognised from
the Company's Balance Sheet when the obligation specified
in the contract is discharged or cancelled or expires.
iv. Offsetting
Financial Assets and Financial Liabilities are offset and the net
amount is presented in the balance sheet when, and only
when, the Company has a legally enforceable right to set off
the amount and it intends, either to settle them on a net basis
or to realise the asset and settle the liability simultaneously.
2.18 Non-current assets held for Sale and Discontinued
operations
Assets are classified as non-current assets held for sale if their
carrying amount will be recovered principally through a sale
transaction rather than through continuing use and sale is
considered highly probable. A sale is considered as highly
probable when decision has been made to sell, assets are
available for immediate sale in its present condition, assets
are being actively marketed and sale has been agreed or is
expected to be concluded within 12 months of the date of
classification. Assets held for sale are neither depreciated nor
amortised.
Assets classified as held for sale are measured at the lower of
their carrying amount and fair value less cost of sale and are
presented separately in the Balance Sheet.
For these purposes, sale transactions include exchanges of
non-current assets for other non-current assets when the
exchange has commercial substance. The criteria for held for
sale/distribution classification is regarded met only when the
assets or disposal company is available for immediate sale/
distribution in its present condition, subject only to terms that
are usual and customary for sales/distribution of such assets
(or disposal company), its sale/distribution is highly probable;
and it will genuinely be sold, not abandoned. The Company
treats sale/distribution of the asset or disposal company to be
highly probable when:
- The appropriate level of management is committed to a
plan to sell the asset (or disposal company),
- An active programme to locate a buyer and complete
the plan has been initiated (if applicable),
- The asset (or disposal company) is being actively
marketed for sale at a price that is reasonable in relation
to its current fair value,
- The sale is expected to qualify for recognition as a
completed sale within one year from the date of
classification and
- Actions required to complete the plan indicate that it
is unlikely that significant changes to the plan will be
made or that the plan will be withdrawn.
Discontinued operations are excluded from the results of
continuing operations and are presented as a single amount
as profit or loss after tax from discontinued operations in the
statement ofprofit and loss. Additional disclosures are provided
in Note 47. All other notes to the financial statements mainly
include amounts for continuing operations, unless otherwise
mentioned.
2.19 Earnings Per Share
Basic earnings per share is calculated by dividing the net profit
after tax by the weighted average number of equity shares
outstanding during the year adjusted for bonus element in
equity share if any. Diluted earnings per share adjusts the
figures used in determination of basic earnings per share
to take into account the conversion of all dilutive potential
equity shares. Dilutive potential equity shares are deemed
converted as at the beginning of the period unless issued at a
later date.
2.20 Segment Reporting Policies
Operating segments are reported in a manner consistent
with the internal reporting provided to the Chief Operating
Decision Maker. Managing Director of the Company has been
identified as being the Chief Operating Decision Maker.
2.21 Dividend Distribution Policy
In accordance with Regulation 43A of the Listing Regulations,
the Company has formulated a 'Dividend Distribution Policy.
The Dividend on shares is recorded as a liability on the
date of approval by the shareholders and interim dividends
are recorded as a liability on the date of declaration by the
Company's Board of Directors. Income tax consequences of
dividends on financial instruments classified as equity will be
recognized according to where the entity originally recognized
those past transactions or events that generated distributable
profits. The Company declares and pays dividends in Indian
rupees. Companies are required to pay / distribute dividend
after deducting applicable taxes. The remittance of dividends
outside India is governed by Indian law on foreign exchange
and is also subject to withholding tax at applicable rates.
2.22 Recent accounting pronouncements
The Ministry of Corporate Affairs notified new standards or
amendment to existing standards under Companies (Indian
Accounting Standards) Rules as issued from time to time.
During the year ended 31 March 2025, MCA has not notified
any new standards or amendments to the existing standards
which is applicable to the Company.
12.4 Shares issued without Consideration during last 5 years:
The Equity Shares issued and paid up includes 1,37,99,200 shares of '5 each (68,99,600 Equity Shares of '10 each before subdivision)
issued as bonus Shares for consideration other than cash issued on and 11 April 2019 .
12.5 Terms and Rights attached to Equity Shares
The Company has only one class of equity shares having par value of '5 per share. The Company declares and pays dividends in Indian
rupees. In the event of liquidation of the company, the holders of equity shares will be entitled to receive remaining assets of the
company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by
the shareholders. Every holder of equity shares present at a meeting in person or by proxy, is entitled to one vote, and upon a poll each
share is entitled to one vote.
14.3 In respect of working capital loans, quarterly return or statement of current assets filed by the Company with banks are in agreement
with the books of accounts
14.4 Security Interest created through Security Trust with Vistra ITCL (India) Ltd as trustee with lender banks.
14.5 Term Loan
All outstanding amounts is secured by creating a mortgage on a first pari-passu charge basis on the immovable properties described
in the Note no.14.8
A mortgage on a First pari-passu charge basis has been created in favor of Saraswat Co-operative Bank Limited for its term loan facilities
on the immovable properties described in the Note no.14.9.
The immovable properties detailed in Note no. 14.10 are to be mortgaged in favor of the Security Trustee for the exclusive benefit of
Union Bank of India including a term loan taken over from Aditya Birla Finance Limited.
Plant & Machinery of Panoli Unit has been hypothecated with Bajaj Finserv Ltd.
Loan for Motor Vehicle are secured against respective Motor Vehicles for which Loan is obtained.
14.6 Working Capital Loan
Immovable properties described in the Note no.14.8 secures both working capital and term loan facilities.
Second pari-passu charge on working capital facility has been created on the properties described in Note No. 14.9.
Working Capital Limits Includes Packing Credit, Post Shipment Credit, Buyers Credit, Cash Credit, Letter of Credit, Working Capital
Demand Loan, etc
14.7 Others
The Movable assets of the company has a pari passu charge among the all Lenders.
14.8 Properties given as security referred to Note 14.5
1a Lease hold Properties covers properties located at Tarapur, Boisar, except properties as described in Note 14.9 (2a).
1b Free hold Properties covers properties located at Savli, Vadodara, Gujarat and Residential/ Commercial premises covers properties
located at Manjusar, Savli, Vadodara, Gujarat.
1c Residential premises covers properties located at Vadodara, Gujarat.
14.9 Properties given as security referred to Note 14.5 and 14.6.
2a Lease hold Properties covers properties located at Plot No. E-62/E63,L11,L 9/3 & T-30 located at Tarapur industrial area with
building/factory/shed structure located at Tarapur industrial area, within the village limits of Salwad.
2b Residential/ Commercial premises covers properties located at Flat, No. 7 and 8A Vakil Villa Co-operative Housing Society Limited.
Level 3 - Valuation techniques for which the lowest level input that is significant to the fair value measurement is unobservable.
As on reporting date Company had no outstanding financial assets or financial liabilities classified as either FVTPL or FVOCI and hence the
said disclosure requirement is not applicable.
Financial instruments measured at amortised cost:
The carrying value approximates fair value for long term financial assets and liabilities measured at amortised cost. There are no transfers
during the year in level 1 2 and 3. The Company policy is to recognize transfers into and transfers out of fair value hierarchy level as at the
end of reporting period.
C. Financial risk management
Risk management framework
The Company's board of directors has overall responsibility for the establishment and oversight of the Company's risk management framework.
The Company's risk management policies are established to identify and analyse the risks faced by the Company to set appropriate risk limits
and controls and to monitor risks and adherence to limits. Risk management policies and systems are reviewed regularly to reflect changes
in market conditions and the Company's activities. The Company through its training and management standards and procedures aims to
maintain a disciplined and constructive control environment in which all employees understand their roles and obligations.
The Company has exposure to the following risks arising from financial instruments:
1. Credit risk
2. Liquidity risk and
3. Market risk
1. Credit risk
Credit risk is the risk that a customer or counterparty to a financial instrument will fail to perform or pay amounts due to the Company
causing financial loss. It arises from cash and cash equivalents deposits with banks and financial institutions security deposits loans
given and principally from credit exposures to customers relating to outstanding receivables. The Company's maximum exposure to
credit risk is limited to the carrying amount of financial assets recognised at reporting date.
Trade receivable:-The Company continuously monitors defaults of customers and other counterparties identified either individually
or by the Company and incorporates this information into its credit risk controls. Where available at reasonable cost external credit
ratings and/or reports on customers and other counterparties are obtained and used. The Company's policy is to deal only with
creditworthy counterparties.The Company has used a practical expedient by computing the expected credit loss allowance for trade
receivables based on a provision matrix by taking into consideration payment profiles of chemical sales and recognised loss allowance
during previous year.
Other Financial Assets:- Credit risk from balance with bank is managed by treasury department as per the company policy.The other
financial assets from various forum of Government authorities are released by authorities on completion of terms and conditions for
release of outstanding.The other financial assets of advance to staff is recovered as per the company's policy.
2. Liquidity risk
Liquidity risk arises from the Company's inability to meet its cash flow commitments on the due date. Due to the dynamic nature of
the underlying businesses, company treasury maintains flexibility in funding by maintaining availability under committed credit lines.
Management monitors rolling forecasts of the company liquidity position and cash and cash equivalents on the basis of expected cash
flows.The Company accesses global and local financial markets to meet its liquidity requirements. It uses a range of products and a mix
of currencies to ensure efficient funding. Treasury monitors rolling forecasts of the Company's cash flow position and ensures that the
Company is able to meet its financial obligation at all times including contingencies.
3. 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 three types of risk: interest rate risk, currency risk and other price risk, such as commodity price risk.
a. Foreign Currency Risk
Foreign Currency Risk is the risk that the Fair Value or Future Cash Flows of an exposure will fluctuate because of changes in
foreign currency rates. Exposures can arise on account of the various assets and liabilities which are denominated in currencies
other than Indian Rupee.
The following table shows foreign currency exposures in US Dollar and Euro on financial instruments at the end of the reporting
period. The exposure to all other foreign currencies are not material.
Interest Rate risk:The plan exposes the Company to the risk of fall in interest rates. A fall in interest rates will result in an increase in
the ultimate cost of providing the above benefit and will thus result in an increase in the value of the liability (as shown in financial
statements).
Liquidity Risk: This is the risk that the Company is not able to meet the short-term benefit payouts. This may arise due to non
availability of enough cash / cash equivalent to meet the liabilities or holding of illiquid assets not being sold in time.
Salary Escalation Risk: The present value of the above benefit plan is calculated with the assumption of salary increase rate of plan
participants in future. Deviation in the rate of increase of salary in future for plan participants from the rate of increase in salary used to
determine the present value of obligation will have a bearing on the plan's liability.
Demographic Risk: The Company has used certain mortality and attrition assumptions in valuation of the liability.The Company is
exposed to the risk of actual experience turning out to be worse compared to the assumption.
39. Event Occurring After Balance Sheet Date
a The Board of Directors have recommended a Final dividend of 20% (i.e. '1.00 Only) per equity share on the face value of '5 each for the
financial year 24-25, subject to approval of shareholders in the ensuing Annual General Meeting.
b Subsequent to the year ended 31 March 2025, the Company acquired Genrx Pharmaceuticals Private Limited (which was under
liquidation) on a going concern basis.
40. Lease
The Company's lease asset classes consist of leases for land & buildings. The lease period for these contracts is 5 years, with extension
options. The Right-of-use assets and Lease liabilities as disclosed below, do not include short term and low value leases. In general, as
usual with leases, the Company's obligations under its leases are secured by the lessor's title to or legal ownership of the leased assets.
The Company does not face a significant liquidity risk with regard to its lease liabilities as the current assets are sufficient to meet the
obligations related to lease liabilities as and when they fall due.
f Rent expenses recorded for short term leases was '53.73 (Previous Year : '27.04) for the year ended 31 March, 2025.
41 Segment Reporting as per Ind AS 108 establishes standards for the way that Company reports information about operating
segment and related disclosure about products and geographical areas (refer note 42(a)). The operations of the Company are limited
to one segment i.e Development, Manufacturing and Marketing of Active Pharmaceutical Ingredients (API) including Intermediate
and Formulations (Finished Dosage Forms). The Company's Chief Operating Decision Maker (CODM) reviews the internal management
reports prepared based on an aggregation of financial information adjustments, etc. on a periodic basis.
42 Disclosure Under Ind AS - 115 (Revenue From Contracts With Customers)
Disaggregate revenue information
Set out below is the disaggregation of the Company's revenue from contracts with customers and reconciliation to the statement of
profit and loss:
43 Audit Trail
The Ministry of Corporate Affairs (MCA) has prescribed a new requirement for companies under the proviso to Rule 3(1) of the
Companies (Accounts) Rules, 2014 inserted by the Companies (Accounts) Amendment Rules 2021 requiring companies, which uses
accounting software for maintaining its books of account, shall use only such accounting software which has a feature of recording
audit trail of each and every transaction, creating an edit log of each change made in the books of account along with the date when
such changes were made and ensuring that the audit trail cannot be disabled.
The Company uses accounting software for maintaining its books of account which does have a feature of recording audit trail (edit
log) facility except in the case of changes to database.
Income and Expenditure:
i. Remuneration includes payment to Mr.S.K.R. Bajaj '394.96 (P.Y. '360.00) to Mr.Anil C. Jain '277.46 (PY '240.00) to Mr. Dhananjay
S. Hatle '54.05 (PY '32.40) to Ms. Namrata Bajaj '17.25 (PY '10.83) to Mr. Rupesh H. Nikam ' Nil (PY '21.35), to Mr Dayashankar
Patel '22.58 (PY 'Nil) to Pakshal C. Jain '23.27 (PY '19.04) and to Aakash Keshari 'Nil (PY '9.84), Ms. Apurva Bandivadekar '2.93
(PY '0.50), Ms Monica Tanwar '3.67 (PY ' Nil), Mrs. Harshavi Pakshal Jain '17.31 (PY '7.21).
ii. Sponsorship payment for education includes payment made to Mr. Siddhesh Hatle ' Nil (PY '0.52).
iii. Sale of assets & other materials includes Sale from Bajaj Healthcare Ltd to Bajaj Sindhudurg Rice Mills Limited '0.63 (PY '2.50).
iv. Legal & Professional Fees includes payment to Mrs. Dhanshree Hatle '4.62 (PY '4.62) to Ms. Khushi Jain '6.00 (PY '6.00) and to
Mrs. Nihita Bajaj Kumar '12.00 (PY '12.00).
v. Corporate Social Responsibility amounting to '26.00 (PY ' Nil) to Taradevi Rameshwarlal Bajaj Charitable Trust.
45. Contingent Liabilities and Commitments :
Claim Against company not acknowledged as debts:
High Court of Justice Business and Property Courts of England and Wales in a business dispute has passed the order against the
Company to pay GBP 6,46,883.39/- to a Debtor which shall however be subject to deduction of outstanding receivable from such
Debtor of USD 5,13,946.20/-. Further the Court has yet to pass the order quantifying the Interest payable on differential amount.
The Company has estimated the net claim which could be payable to this Debtor at '252.63 (Previous year '233.59) plus applicable
interest as quantified).The Company will account for the same when demand for the same is received alongwith the confirmation that
the order of the court is enforceable.
i) Central Excise Custom Duty, Central Sales Tax, GST Liabilities and Income Tax Liabilities '2,349.55 (Previous year '499.91) as listed
below. This represents the demands made by authorities which in opinion of company are not sustainable and appeals are
pending with appropriate authority.
'Net Operating Income = PBT before exceptional item Fin cost depreciation - other income
2Total Debt Services = Short Term Borrowings Finance cost
3Capital employed = Equity Shareholder - Intangible assets - Intangible assets under development - Deferred Tax Assets (Net) Deferred Tax Liabilities (Net)
4EBIT - Earning before Interest, tax, exceptional items, Other income.
'. Wherever, numerator and denominator both are positive, ratio is presented as positive.
2. Wherever, either numerator or denominator or both are negative, ratio is presented as negative
3. To calculate the ratios we have considered the continued operations only.
4. Reasons for more than 25% variance
i) Current Ratio: The change in Current Ratio is due to increase in Trade Receivables & decrease in Borrowings.
ii) Debt Equity Ratio: The change in the Debt Equity Ratio is primarily due to a reduction in working capital loans and current
maturities of term loans, along with an increase in equity share capital through the issuance of equity shares & share warrants
during the year. This reflects improved financial leverage.
iii) Debt Service Coverage Ratio: The change in DSCR is due to increase in operating profits and decrease in Working capital loan
& finance costs. This indicates a stronger ability of the company to meet its debt obligations from its operating cash flows.
iv) Return on Equity: Mainly due to increase in Net profit during the year.
v) Inventory Turnover Ratio: The increase in inventory turnover ratio is due to higher inventory maintained with increase in
production.
vi) Net Capital Turnover Ratio: The change in the Net Capital Turnover Ratio is primarily due to a substantial increase in working
capital with growth in business operations.
vii) Net Profit Ratio: The improvement in the Net Profit Ratio is primarily due to an increase in profit during the year. While revenue
grew by '7%, total expenses increased by only '4%, indicating better cost control and improved margins.
47 Discontinued Operation
The Board of Directors in their meeting held on 28 June 2023 approved to sale/disposal of undertaking/unit(s) on going concern basis,
situated at plot no. N-92, L-9/3 , T-30, MIDC Tarapur, Taluka- Boisar, District Palghar, Maharashtra and vacant industrial land situated at
plot no. D-2/CH/42 & D-2/CH/43 Dahej industrial area, GIDC, Bharuch, Gujarat (which were acquired under SARFAESI ACT, 2022 from
Saraswat Bank) and plot no.E-62 and E-63 MIDC Tarapur, Taluka Boisar, District Palghar, Maharashtra. Approval of shareholders has been
obtained vide postal ballot. The management has classified the assets and liabilities in relation to these units as Assets and liabilities
held for sale/disposal under Ind AS 105 ("Non-current Assets Held for Sale and Discontinued Operations"). The results of the operation
of these units have been presented separately on the statement of profit and loss as discontinued operations. Considering these assets
are held for sale, the assets have been recorded at their fair value on the date these assets has been classified as held for sale. Out of
these, one unit situated at plot no. N-92 has been sold during the Quarter ended 31st March, 2024. The total value of assets classified as
held for sale represents management best estimate of the realisable value of these assets.
48 Other Statutory Information
i) No proceedings have been initiated on or are pending against the company for holding benami property under the Benami
Transactions (Prohibition) Act, 1988 (45 of 1988) and Rules made thereunder.
ii) The Company has identify, there is no parties having status as struck off companies in current year and previous year. Total value
of purchase of goods & services from these struck off companies amounts to Nil (Previous Year : Nil) and having Closing balance
of Nil (Previous Year : Nil) payable at the year end.
iii) There are no charges or satisfactions which are yet to be registered with Registrar of Companies beyond the statutory period.
iv) The company has not traded or invested in crypto currency or virtual currency during the current year or previous year.
v) No funds have been advanced or loaned or invested by the Company to or in any person(s) or entity(ies), including foreign
entities ('the 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 ('the Ultimate Beneficiaries') or provide any guarantee, security or the like on behalf the Ultimate Beneficiaries.
vi) No funds have been received by the Company from any person(s) or entity(ies), including foreign entities ('the 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.
vii) There is no income surrendered or disclosed as income during the current or previous year in the tax assessment under the
Income Tax Act, 1961, that has been recorded in the books of accounts.
viii) The company has not given any loans or advances in the nature of loans to promoters, directors, KMPs and/ or related parties (as
defined under Companies Act, 2013), either severally or jointly with any other person, that are repayable on demand, or without
specifying any terms or period of repayment.
ix) The company has not entered into any scheme of arrangement which has an accounting impact on current year.
x) In compliance with Regulation 169(4) of the SEBI (ICDR) Regulations, 2018, the Company obtained a certificate from its external
Chartered Accountant firm and submitted the same to the respective Stock Exchanges on 5 November 2024. Subsequently,
neither BSE nor NSE raised any observations or indicated any non-compliance by the Company under the said regulation.
49 Other
Previous year's figures have been regrouped wherever necessary and possible so as to confirm to current year's classification. However,
such regroupings are not material.
The accompanying material accounting policies and notes are part of the Financial Statement.
As per our Report of even date For and on behalf of the Board
For Walker Chandiok & Co LLP
Chartered Accountants
Firm Registration No. : 001076N/N500013
Yashwant M Jain Sajankumar R. Bajaj Anil Jain
Partner Chairman and Managing Director Managing Director
Membership No. : 118782 DIN : 00225950 DIN : 00226137
Rohan Parekh Monica Tanwar
Chief Financial Officer Company Secretary
ACS No. A35334
Place: Thane Place: Thane
Date: 26 May 2025 Date: 26 May 2025
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