2.09 PROVISIONS, CONTINGENT LIABILITIES AND CONTINGENT ASSETS

Provision involving substantial degree of estimation in measurement is recognized when there is a present obliga¬
tion as a result of past events and it is probable that there will be an outflow of resources. Contingent liabilities are
not recognized but are disclosed in the notes. Contingent assets are neither recognized nor disclosed in the financial
statements.

2.10 REVENUE RECOGNITION

Sale of Goods & Services in EPC Contracts:

Revenue is recognised only when significant risk and rewards of ownership has been transferred to the buyer and
services has been rendered as per the contracts on progressive billing basis, provided it can be reliably measured
and its reasonable to expect ultimate collection of it. Gross sales are of net trade discount, rebates and GST.

Operations and Maintenance Income:

Operations and maintenance income is recognized, when services have been performedas per terms ofcontract and using
percentage completion method, provided amount can be measuredand there is no significant uncertainty as to collection.
The Company adopts accrual concepts in preparation of accounts. Claims /Refunds not ascertainable with reason¬
able certainty are accounted for ,on final settlement."

2.11 OTHER INCOME

Interest income is accounted on accrual basis. Income other than interest income is accounted for when right to
receive such income is established.

2.12 EMPLOYEE BENEFITS
Defined Contribution Plan:

Contributions payable to the recognised provident fund, which is a defined contribution scheme, are charged to the
statement of profit and loss.

Defined Benefit Plan:

The Company has an obligation towards gratuity, a defined benefit retirement plan covering eligible employees. The
plan provides for lump sum payment to vested employees at retirement, death while in employment or on termina¬
tion of employment of an amount equivalent to 15 days salary payable for each completed year of service without
any monetary limit. Vesting occurs upon completion of five years of service. Provision for gratuity has been made in
the books as per actuarial valuation done as at the end of the year.

2.13 TAXES ON INCOME

Income taxes are accounted for in accordance with Accounting Standard (AS-22) - "Accounting for taxes on income",
notified under Companies (Accounting Standard) Rules, 2014. Income tax comprises of both current and deferred tax.
Current tax is measured on the basis of estimated taxable income and tax credits computed in accordance with the
provisions of the Income Tax Act, 1961.

The tax effect of the timing differences that result between taxable income and accounting income and are capable
of reversal in one or more subsequent periods are recorded as a deferred tax asset or deferred tax liability. They are
measured using substantially enacted tax rates and tax regulations as of the Balance Sheet date.

Deferred tax assets arising mainly on account of brought forward losses and unabsorbed depreciation under tax
laws, are recognized, only if there is virtual certainty of its realization, supported by convincing evidence. Deferred
tax assets on account of other timing differences are recognized only to the extent there is a reasonable certainty of
its realization.

2.14 CASH AND BANK BALANCES

Cash and cash equivalents comprises Cash-in-hand, Current Accounts, Fixed Deposits with banks. Cash equivalents
are short-term balances (with an original maturity of three months or less from the date of acquisition), highly liquid
investments that are readily convertible into known amounts of cash and which are subject to insignificant risk of
changes in value. Other Bank Balances comprises of cash and bank balances other than cash and cash equivalents
which has original maturity of more than three months and restricted balances.

2.15 EARNINGS PER SHARE

Basic earning per share is computed by dividing the profit/ (loss) after tax (including the post tax effect of extraordi¬
nary items, if any) by the weighted average number of equity share outstanding during the year. Diluted earning per
share is computed by dividing the profit/ (loss) after tax (including the post tax effect of extraordinary items, if any)
as adjusted for dividend, interest and other charges to expense or income (net of any attributable taxes) relating to
the dilutive potential equity shares, by the weighted average number of equity shares which could have been issued
on the conversion of all dilutive potential equity shares.

2.16 SEGMENT REPORTING

The accounting policies adopted for segment reporting are in line with the accounting policies of the Company.
Segment revenue, segment expenses, segment assets and segment liabilities have been identified to segments on
the basis of their relationship to the operating activities of the segment. Inter-segment revenue is accounted on
the basis of transactions which are primarily determined based on market / fair value factors. Revenue and expens¬
es have been identified to segments on the basis of their relationship to the operating activities of the segment.
Revenue, expenses, assets and liabilities which relate to the Company as a whole and are not allocable to segments
on reasonable basis have been included under "unallocated revenue / expenses / assets / liabilities

Notes:

1) Terms/Rights attached to Equity Shares: The company has only one class of Equity Shares having a par value of ?
10/- per share. Each holder of Equity share is entitled to one vote per share. The dividend proposed by the board of
directors is subject to the approval of the shareholders in ensuing Annual General Meeting, except in case of interim
dividend. In the event of liquidation of the Company, the holders of equity share 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 Share holders.

2) The equity shares are not repayable except in the case of a buy back, reduction of capital or winding up in terms of
the provisions of the Companies Act, 2013.

3) Every member of the company holding equity shares has a right to attend the General Meeting of the Company and
has a right to speak and on a show of hands, has one vote if he is present in person and on a poll shall have the right
to vote in proportion to his share of the paid-up capital of the company.

viii. The company is not declared as wilful defaulter by any bank or financial institution or other lender.

ix. The company does not have any transactions with companies struck off under section 248 of the Companies Act,
2013 or section 560 of Companies Act, 1956.

x. There are no charges or satisfaction yet to be registered with Registrar of Companies beyond the statutory period.

xi. The company does not have any investments and hence, compliance with the number of layers prescribed under
clause (87) of section 2 of the Act read with Companies (Restriction on number of Layers) Rules, 2017 is not applicable.

Reasons for Variation more than 25%:

(a) Current Ratio : Ratio is increased due to increase in inventory and debtors as comparet to previous year.

(b) Debt-Equity Ratio : Ratio is improved due to repayment of borrowings from the funds raised and increase in profit
during the year.

(c) Return on Equity Ratio : Ratio is significantly decreased due to issuance of new equity and preference shares during
the year.

(d) Inventory Turnover Ratio : Ratio is decrease due to significant increase in inventory of work-in-progress as compared
with previous year.

(e) Trade Receivables turnover Ratio : Ratio is decrease due to increase in trade receivables in comparison to Revenue
from operations.

(f) Net Capital Turnover Ratio : Ratio is decreased due to increase in amount of receivables and inventories as com¬
pared with previous year.

(g) Return on capital employed : Ratio is decreasd due to issue of shares or increase in capital during the year.

xiii. The Company does not have any scheme of arrangements which has been approved by the Competent Authority in
terms of sections 230 to 237 of the Companies Act, 2013.

xiv. A. No funds 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 persons or entities, including foreign entities ("In¬
termediaries"), with the understanding, whether recorded in writing or otherwise, that the Intermediary shall,
directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever ("Ultimate
Beneficiaries") by or on behalf of the Company or provide any guarantee, security or the like on behalf of the
Ultimate Beneficiaries.

B. No funds have been received by the Company from any persons or entities, including foreign entities ("Funding
Parties"), with the understanding, whether recorded in writing or otherwise, that the Company shall directly or
indirectly, lend or invest in other persons or entities identified in any manner whatsoever ("Ultimate Beneficia¬
ries") by or on behalf of the Funding Parties or provide any guarantee, security or the like on behalf of the Ulti¬
mate Beneficiaries.

xv. There is no income surrendered or disclosed as income during the current or previous year in the tax assessments
under the Income Tax Act, 1961, that has not been recorded in the books of account.

xvi. The Company has not traded or invested in crypto currency or virtual currency during the current or previous year.

41. Previous year's figures have been regrouped / reclassified wherever necessary to correspond with the current period's
classification / disclosure.

Signatures to Notes forming part of Financial Statements

For and on behalf of the Board of Directors of Lakshya Powertech Limited

Rajesh Anne Amit Agrawal Akash Patel

(Managing Director) (Whole-Time Director & CFO) (Company Secretary)

DIN: 05294345 DIN: 10338766 Place : Ahmedabad

Place : Ahmedabad Place : Ahmedabad Date : May 14, 2025

Date : May 14, 2025 Date : May 14, 2025