(j) Provisions and Contingent Liabilities:
A provision is recognized when the company has a present obligation as a result of past event; it
is probable that an outflow of resources will be required to settle the obligation, in respect of
which a reliable estimate can be made. Provisions are not discounted to its present value and are
determined based on best estimate required to settle the obligation at the balance sheet date.
These are reviewed at each balance sheet date and adjusted to reflect the current best estimates.
Contingent Liabilities are not recognized but are disclosed in the notes. Contingent Assets are
neither recognized nor disclosed in the financial statements.
(k) Earnings per share:
Basic earnings per share are calculated by dividing the net profit or loss for the period
attributable to equity shareholders by the weighted average number of equity shares outstanding
during the period.
a. The Company has issued 12,50,000 (Twelve Lakhs Fifty Thousand) Fully Convertible Share Warrants each convertible into Fully Paid-Up Equity Shares with the
Face Value of Rs.10/-(Rupees Ten Only) each at Warrant Issue Price of Rs.40/-(Rupees Forty Only) (including Premium of Rs.30/-) each which may be excercised in
one or more tranches during the period commencing from the date of allotment of the warrants until expiry of 18 (Eighteen) months, alloted to 6 (Six) Allottees for
the Total Consideration of Rs. 5,00,00,000/-(Five Crore Only), vide passing resolution in EGM, dated 12th January, 2024. Out of 12,50,000 (Twelve Lakhs Fifty
Thousand) Fully Convertible Share Warrants, the company has received 25% of it amounting to Rs. 1,15,00,000/- (One Crore Fifteen Lakhs Only) during the F.Y.
2023-24 against 11,50,000 (Eleven Lakhs Fifty Thousand) warrant and 100% of issue price amounting to Rs. 40,00,000/- (Forty Lakhs only) against 1,00,000 (One
Lakhs) warrants, which was subsequently converted into 1,00,000 (one lakh) fully paid equity shares of Rs. 10 each during the F.Y. 2023-24.
b. During the F.Y. 2024-25, the company has made a preferential allotment upon conversion of warrants of 1,50,000 equity shares of Rs. 10 each at a premium of Rs.
30 each vide passing resolution on EGM dated 27th December, 2024.
c. During the F.Y. 2024-25, the company has made a preferential allotment upon conversion of warrants of 40,500 equity shares of Rs. 10 each at a premium of Rs. 30
each vide passing resolution on EGM dated 11th February, 2025.
d. During the F.Y. 2024-25, the company has made a preferential allotment upon conversion of warrants of 3,06,500 equity shares of Rs. 10 each at a premium of Rs.
30 each vide passing resolution on EGM dated 13th March, 2025.
Explanation on Variances more than 25%
1. 1. Current Ratio increased by 34.76% in F.Y. 2024-25 as compared to F.Y. 2023-24 due to increase in
Current Assets during the F.Y. 2023-24.
2. Debt Equity Ratio increased by 93.35% in F.Y. 2024-25 as compared to F.Y. 2023-24 due to increase in
Total Debt during the F.Y. 2023-24.
3. Debt Service Coverage Ratio decreased by 1166.94% in F.Y. 2024-25 as compared to F.Y. 2023-24 due
to Net Profit during the F.Y. 2023-24.
4. Return on Equity decreased by 155.84% in F.Y. 2024-25 as compared to F.Y. 2023-24 due to Net Profit
during the F.Y. 2023-24.
5. Trade Receivable Turnover Ratio decreased by 31.81% in F.Y. 2024-25 as compared to F.Y. 2023-24
due to increase in Trade Receivable during the F.Y. 2023-24.
6. Trade Payable Turnover Ratio decreased by 37.72% in F.Y. 2024-25 as compared to F.Y. 2023-24 due to
decrease in Net Purchase during the F.Y. 2023-24.
7. Net Profit Ratio decreased by 157.72% in F.Y. 2024-25 as compared to F.Y. 2023-24 due to Net Profit
during the F.Y. 2023-24.
8. Return on Capital Employed decreased by 234.38% in F.Y. 2024-25 as compared to F.Y. 2023-24 due to
Net Profit during the F.Y. 2023-24.
9. Return on Investment decreased by 36.58% in F.Y. 2024-25 as compared to F.Y. 2023-24 due to
decrease in Income from Investment during the F.Y. 2023-24.
NOTE 31.
No transactions to report against the following disclosure requirements as notified by MCA pursuant to
amended Schedule III:
a) Crypto Currency or Virtual Currency
b) Benami Property held under Prohibition of Benami Property Transactions Act, 1988 and rules made
thereunder
c) Registration of charges or satisfaction with Registrar of Companies
d) Relating to borrowed funds
i) Wilful defaulter
ii) Utilisation of borrowed funds & share premium
iii) Borrowings obtained on the basis of security of current assets
iv) Discrepancy in utilisation of borrowings
v) Current maturity of long term borrowings
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