ix Provisions & contingent liabilities

A provision is recognized if, as a result of a past event, the Company has a present legal or constructive obligation that is reasonably estimable, and it is probable that an outflow of economic benefits will be required to settle the obligation. The contingent liabilities, if any, are disclosed in the financial statements.

x Events occurring after the reporting period

Adjustments to assets and liablities are made for events occurring after the reporting period to provide additional information materially affecting the determination of the amounts of assets or liabilities relating to conditions existing at the reporting date.

xi Earnings per equity share

Basic earnings per equity share are calculated by dividing the net profit or loss for the year attributable to equity shareholders by the weighted average number of equity shares outstanding during the year.The Company did not have any potentially dilutive securities in any of the periods presented.

xii Cash flow statement

Cash flows are reported using indirect method, whereby profits for the period is adjusted for the effects of transactions of a noncash nature, any deferrals or accruals of past or future operating cash receipts or payments and item of income or expenses associated with investing or financing cash flows. The cash flows from operating, investing and financing activities of the Company are segregated.

xiii Other income

Other income is comprised primarily of interest income, dividend income and income from liabilities no longer payable. Interest income is recognized using effective interest method. Dividend income is recognised when the right to receive payment is established.

xiv Fair value measurements

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value measurement is based on the presumption that the transaction to sell the asset or transfer the liability takes place either:

a) In the principal market for the asset or liability, or

b) In the absence of a principal market, in the most advantageous market for the asset or liability

The fair value of an asset or a liability is measured using the assumptions that market participants would use when pricing the asset or liability, assuming that market participants act in their economic best interest.

A fair value measurement of a non-financial asset takes into account a market participant's ability to generate economic benefits by using the asset in its highest and best use or by selling it to another market participant that would use the asset in its highest and best use.

The Company uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, maximising the use of relevant observable inputs and minimising the use of unobservable inputs.

All assets and liabilities for which fair value is measured or disclosed in the financial statements are categorised within the fair value hierarchy, described as follows, based on the lowest level input that is significant to the fair value measurement as a whole:

a) Level 1 — Quoted (unadjusted) market prices in active markets for identical assets or liabilities

b) Level 2 — Valuation techniques for which the lowest level input that is significant to the fair value measurement is directly or indirectly observable

c) Level 3 — Valuation techniques for which the lowest level input that is significant to the fair value measurement is unobservable

At each reporting date, the Company analyses the movements in the values of assets and liabilities which are required to be remeasured or re-assessed as per the Company's accounting policies. For this analysis, the Company verifies the major inputs applied in the latest valuation by agreeing the information in the valuation computation to contracts and other relevant documents.

For the purpose of fair value disclosures, the Company has determined classes of assets and liabilities on the basis of the nature, characteristics and risks of the asset or liability and the level of the fair value hierarchy as explained above.

This note summarises accounting policy for fair value. Other fair value related disclosures are given in the relevant notes.

xv Borrowing Cost

Borrowing costs directly attributable to the acquisition, construction or production of qualifying assets, which are assets that necessarily take a substantial period of time to get ready for their intended use, are added to the cost of those assets, until such time as the assets are substantially ready for their intended use.

xvi Property, plant and equipment

Property, plant and equipment are stated at cost, less accumulated depreciation (other than land) and impairment loss, if any. Cost includes expenses directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management. Depreciation is provided for property,

plant and equipment so as to expense the cost over their estimated useful lives by using straight line method.

xvii Inventories

Inventories are valued at lower of cost and net realisable value. Finished goods include cost of conversion and other cost incurred for bringing the inventories to their present location and condition and T raded Goods includes purchase price and other cost incurred for bringing the inventories to their present location and condition.

xviii Foreign Currency 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 r at the reporting date. Exchange differences arising on settlement or translation of monetary items are recognised in Profit and Loss except to the extent of exchange differences which are regarded as an adjustment to interest costs o currency borrowings that are directly attributable to the acquisition or construction of qualifying assets which are i cost of assets. Non-monetary items that are

terms of historical cost in a foreign currency are recorded using the exchange rates at the date of the transaction. Ni items measured at fair value in a foreign currency are translated using the exchange rates at the date when the fair ' measured. The gain or loss arising on translation of non monetary items measured at fair value is treated in line wit of the gain or loss on the change in fair value of the item (i.e., translation differences on items whose fair value gain recognised in Other Comprehensive Income or Statement of Profit and Loss are also recognised in Other Comprehei Statement of Profit and Loss, respectively.

26. Financial risk management objectives and policies

The companies activities expose it to a variety of financial risk: market risk, credit risk and liquidity risk. The company is focusing to foresee the unpredicatability of financial market and seeing to minimize potential adverse effects on its financial performance.

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 equity price risk and commodity risk. Financial instruments affected by market risk include loans and borrowings and deposits.

Company is mainly effected by Interest rate risk.

-Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The Company's exposure to the risk of changes in market interest rates relates primarily to the borrowing.

Credit risk

Credit risk refers to the risk of default on its obligation by the counter party resulting in a financial loss.The maximum exposure to the credit risk at the reporting date is primarily from loans alongwith interest thereon for the year ended 31st March, 2024 and 31st March, 2023 respectively.

Credit risk on cash and cash equivalents is limited as the company has current account with bank.

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 exchange rates. The Company's exposure to the risk of changes in foreign exchange rates relates primarily to the receivables from export debtors.

Liquidity risk

The company's principal sources of liquidity are cash and cash equivalents and investments in equity instruments.

The company believes that the working capital is sufficient to meet its current requirements. Accordingly no liqudity risk is perceived

As of March 31, 2024, the Company had a working capital of Rs.thousand 30,930.50 including cash and cash equivalents of Rs. thousand 21,489.45

As of March 31, 2023, the Company had a working capital of Rs. thousand (-)32,395.69 including cash and cash equivalents of Rs. thousand 14,009.61

27 Capital management

For the purpose of the Company's capital management, capital includes issued capital and all other equity reserves attributable to the equity shareholders of the company. The primary objective of the Company when managing capital is to safeguard its ability to continue as a going concern and to maintain an optimal capital structure so as to maximise the shareholder value.

28 The company being listed on stock exchange, therefore, has complied with all the notified applicable Accounting Standards read with General Circular 15/2013 dated 13.09.2013 of the Ministry of Corporate Affairs in respect of section 133 of the Companies Act, 2013.

29 Previous year figures have been regrouped/re-classified wherever considered to make comparable with the current year figures.

30 All notes annexed to and form integral part of the Balance Sheet and Statement of Profit & Loss Account.

31 In the view of limited number of employees, provision of employee benefit has not been calculated on the basis of acturial valuation and provided for on accural basis.

32 There is no prior period item, which is considered material for the purpose of disclosure in accordance with the Ind AS-8 on "Accounting Policies, changes in accounting estimates and errors.

Explanation to Key Financial Ratios Current Ratio

Current Ratio indicates a Company's overall liquidity position. It measures a Company's ability to pay short-term obligations or those due within one year. It is calculated by dividing the current assets by current liabilities.

Debt Eauitv Ratio

Debt Equity ratio is used to evaluate a Company's financial leverage. It is a measure of the degree to which a Company is financing its operations through debt versus wholly owned funds. It is calculated by dividing total debt by shareholder's equity.

Return on Net Worth Ratio

Return on Net Worth is a measure of profitability of a Company expressed in percentage. It is calculated by dividing total comprehensive income by average shareholder's equity.

Inventory Turnover Ratio

Inventory Turnover measures the efficiency with which a Company utilises or manages its inventory. It establishes the relationship between sales and average inventory held during the period. It is calculated by dividing turnover by average inventory.

Return on Capital Employed.

Return on Capital Employed indicates the ability of a Company's management to generate returns for both the debt holders and the equity holders. It measures a Company's profitability and the efficiency with which its capital is used. It is calculated by dividing profit before exceptional items, interest and tax by capital employed. Capital Employed = Tangible net worth Total debt Deferred tax liabilities.

Trade Receivable Turnover Ratio

Trade Receivable Turnover measures the efficiency at which the Company is managing the receivables. The ratio shows how well a Company uses and manages the credit it extends to customers and how quickly short term debt is collected or is paid. It is calculated by dividing turnover by average trade receivables.

Trade Payable Turnover Ratio

Trade payable turnover is the ratio of net credit purchases of a business to its average trade payable during the period. It measures short term liquidity of business since it shows how many times during a period, an amount equal to average trade payable is paid to suppliers by a business.

Net Capital Turnover ratio

Net Capital turnover, also known as asset turnover, is a ratio that compares a company's net sales to its average total assets. It indicates how efficiently a company is utilizing its assets to generate revenue. A higher capital turnover ratio suggests that a company is generating more sales per unit of investment, indicating better operational efficiency.

Net Profit Ratio

The net profit ratio is equal to how much net profit is generated as a percentage of revenue. It is calculated by dividing net profit by turnover.

As per our attached report of even date.

For and On Behalf of the Board of Directors

Manoj Acharya & Associates Chartered Accountants

Mayank Jolly Irfan Qureshi Mitesh Rajput

FRN: 114984W Whole Time Director Whole Time Director Director

DIN:09366175 DIN:09494589 DIN:06772154

SD/-

CA Mudit Singhal

Partner Manisha Rajput Ranjeet Pawar Mrugesh Vyas

M.NO.: 187823 CFO CEO Company Secretary

PAN : BENPR5275Q PAN: BCIPP0134R ACS 49190