6.13. Provisions, Contingent Liabilities and Contingent Assets-

a. Provisions are recognised only when the Company has:-

i. a present obligation (legal or constructive) as a result of past event

ii. a probable outflow of resources embodying economic benefits will be required to settle the obligation; and

iii. The amount of obligation can be reliably estimated.

Provision is measured using cash flows estimated to settle the present obligation. The carrying amount of provision is the present value of those cash flows.

b. Contingent liabilities are disclosed in case of:-

i. a present obligation arising from past events, when it is not probable that an outflow of resources embodying economic benefits will be required to settle the obligation,

ii. a present obligation arising from past events, and the amount of obligation cannot be measured with sufficient reliability,

iii. a possible obligation arising from past events, whose existence would be confirmed by the occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the Company.

c. Possible obligations arising from past events where likelihood of actual outflow of resources is remote are not considered as contingent liabilities.

d. Contingent assets are neither recognised, nor disclosed.

e. Provisions and Contingent Liabilities are reviewed at each Balance Sheet date.

6.14. Revenue Recognition-

a. Revenue from contracts with Customers:

Revenue from contracts with customers is recognised when a performance obligation is satisfied by transfer of promised goods or services to a customer. In case of multiple performance obligations, the revenue is recognised to the extent of transaction price allocated to the performance obligation that is satisfied

The Company recognises revenue over a period of time, if one of the following criteria is met:

i. The customer simultaneously consumes the benefit of the Company's performance or;

ii. The customer controls the asset as it is being created/enhanced by the Company's performance or;

iii. There is no alternative use of the asset and the Company has either explicit or implicit right of payment considering legal precedents.

In all other cases, performance obligation is considered as satisfied at a point in time.

Transaction price is the amount of consideration to which the Company expects to be entitled in exchange for transferring goods or services to a customer excluding amounts collected on behalf of a third party. Variable consideration is estimated using the expected value method or most likely amount as appropriate in a given circumstance. Payment terms agreed with a customer are as per contractual terms or business practice, as the case may be. Revenue is recognised only to the extent that it is highly probable that the economic benefits will flow to the Company and the revenue and costs, if applicable, can be reliably measured.

Revenue from the sale of goods

Revenue from the sale of goods is recognised when substantial control of the goods has been transferred to the customer. The performance obligation in case of sale of goods is satisfied at a point in time i.e., when the material is dispatched to the customer or on delivery to the customer, as may be specified in the contract.

Revenue from services

Revenue from erection and commissioning services is recognised on completion of contractual obligations.

a. Other Revenue:

Interest income is recognised on time proportion basis determined by the amount outstanding and the rate applicable using the effective interest rate method provided there is no uncertainty over its ultimate realisation.

Dividend income is recognised when the Company's right to receive the same is established.

Any other incomes are accounted for on accrual basis.

6.15. Warranty expenses-

The estimated liability for product warranties is recorded at the end of financial year. These estimates are established using historical information on the nature, frequency and average cost of warranty claims and management estimates regarding possible future incidence based on corrective actions on product failures.

The timing of outflows will vary as and when warranty claim will arise - being typically up to 2 to 3 years.

6.16. Income Tax -

a. Income Tax Expense comprises of Current Tax and Deferred Tax.

b. Current Tax expense is determined on the basis of taxable income for the current accounting period computed in accordance with the provisions of the Income Tax Act, 1961 and based on the history of allowances and disallowances in the earlier years.

The tax rates and tax laws used to compute the amount are those that are enacted or substantially enacted, at the reporting date.

Current tax relating to items recognised outside the statement of profit and loss is recognised, either in OCI or in equity. Current tax items are recognised in correlation to the underlying transaction either in OCI or directly in equity.

c. Provision for Deferred Tax is recognised using balance sheet method for all taxable temporary differences between carrying amounts of assets and liabilities in the Company's financial statements and the corresponding tax bases used in computation of taxable profits. Deferred tax is measured using tax rates and laws enacted or substantially enacted as on the reporting date. Deferred tax asset is recognised and carried forward only to the extent that it is probable that taxable profits will be available against with those deductible temporary differences can be utilised in the future.

6.17. Leases-

a. The Company assesses and designates a contract as a lease contract, at inception of a contract. The determination of whether an arrangement is a lease is based on the substance of the arrangement. The arrangement is a lease if fulfilment of the arrangement is dependent on the use of an identified asset or assets and the arrangement conveys a right to control the use of the identified asset or assets for a period of time in exchange for a consideration, even if that right is not explicitly specified in an arrangement.

b. Accounting as lessor:

The Company classifies its lease contracts either as operating leases or finance leases at the inception of the lease. Leases in which the Company does not transfer substantially all the risks and rewards of ownership of an asset are classified as operating leases. Rental income from operating lease is recognised over the term of the relevant lease. Initial direct costs, which are material, incurred in negotiating and arranging an operating lease are added to the carrying amount of the leased asset and recognised over the lease term on the same basis as rental income. Initial direct costs incurred in negotiating and arranging an operating lease that are not material in nature are charged to the statement of Profit and Loss as and when incurred Contingent rents are recognised as revenue in the period in which they are earned.

c. Accounting as lessee-

In case of contracts of material value where the Company is a Lessee, it recognises a right of use asset (ROU asset) and a lease liability on the commencement date of the contract.

A ROU asset is valued using cost model. At the commencement of the lease ROU asset is recognised at cost which comprises of - total lease payments to be made over the lease term valued at its present value using Company's incremental borrowing rate, initial direct costs and costs of restoration; net of lease incentives received. ROU asset is depreciated over the lease term on straight line basis over the shorter of the lease term and useful life of the underlying asset.

The Company determines the lease term as the non-cancellable period of a lease, together with periods covered by an option to extend the lease, where the Company is reasonably certain to exercise that option.

A lease liability is recognised at present value of total lease payments to be made over the lease term using Company's incremental borrowing rate. Lease liability is increased to reflect interest on the lease liability and reduced to reflect payments made to the lessor. The carrying value of lease liability is reassessed when there is change in lease term.

The Company has availed recognition exemption and chosen not to apply the above accounting treatment for shortterm leases and leases for low-value underlying assets where lease payments associated with those leases are recognised as an expense as and when incurred on systematic basic

6.18. Employee Benefits-

a. Short Term Employee Benefits

All employee benefits payable wholly within the twelve months of rendering the service are classified as short-term employee benefits. Benefits such as salaries, wages, short-term compensated absences, expected cost of bonus, ex-gratia and performance-linked rewards are considered as short-term employee benefits and are expensed in the period in which the employee renders the related service.

b. Post-Employment Benefits:

i. Defined Contribution Plans

The State governed Employee Provident Fund and Pension Scheme, Employees State Insurance Scheme are the defined contribution plans. The liability on account of the Company's contributions paid or payable under these schemes is recognised during the period in which the employee renders the related service and is charged to the Statement of Profit and Loss. The Company has no further obligation beyond these contributions towards employees.

ii. Defined Benefit Plans

The employees' gratuity fund scheme is the Company's defined benefit plan. The present value of the obligation under the said defined benefit plan is determined on the basis of actuarial valuation from an independent actuary using the Projected Unit Credit Method.

Remeasurements, comprising of actuarial gains are recognised immediately in the balance sheet with a corresponding debit or credit to Other Comprehensive Income (OCI) in the period in which they occur. Remeasurements are not reclassified to Statement of Profit or Loss in subsequent periods.

In the case of funded plans, the fair value of the plan's assets is reduced from the gross obligation under the defined benefit plans, to recognise the obligation on net basis.

Changes in the present value of the defined benefit obligation resulting from plan amendments or curtailments are recognised immediately in profit or loss as past service cost.

Net interest is calculated by applying the discount rate to the net defined benefit liability or the fair value of the plan asset. The cost is included in employee benefits expense in the Statement of Profit and Loss.

c. Other Long Term Employee Benefits:

The employees of the Company are entitled to compensated absences. The Company records an obligation for such compensated absences as per the rules of the Company and is measured on the basis of actuarial valuation from an independent actuary. Actuarial gains and losses are immediately recognised in the Statement of Profit and Loss in the period in which they occur.

5.12 Segment Reporting:

Operating segments are those components of the business whose operating results are regularly reviewed by the chief operating decision maker (CODM) in the Company to make decisions for performance assessment and resource allocation. Operating segments are reported in a manner consistent with the internal reporting provided to the CODM. The CODM regularly monitors and reviews the operating result of the Company through identified segments. The CODM has been identified as the Chairman and Managing Director who makes strategic decisions.

The reporting of segment information is the same as provided to the Management for the purpose of the performance assessment and resource allocation to the segments. The Accounting Policies adopted for segment reporting are in line with the Accounting Policies of the Company.

6.19. Earnings Per Share (EPS)-

Basic EPS amount is calculated by dividing the net profit for the year attributable to equity holders of the Company by the weighted average number of Equity shares outstanding during the year. The weighted average number of equity shares outstanding during the period and for all periods presented is adjusted for events, such as bonus shares, other than the conversion of potential equity shares, that have changed the number of equity shares outstanding, without a corresponding change in resources.

For the purpose of calculating diluted earnings per share, the net profit for the period attributable to equity shareholders and the weighted average number of shares outstanding during the period is adjusted for the effects of all dilutive potential equity shares.

6.20. Cash Flow-

The Cash Flow Statement is prepared by the Indirect Method set out in Ind AS-7 'Cash Flow Statement' and presents cash flow by operating, investing and financing activities of the Company.

7. Recent Accounting Pronouncements

Ministry of Corporate Affairs (“MCA”) notifies new standards or amendments to the existing standards under Companies (Indian Accounting Standards) Rules as issued from time to time. During the year ended 31 March, 2024, MCA has not notified any new standards or amendments to the existing standards applicable to the Company.

c. The employee benefit plans of the Company typically expose the Company to actuarial risks such as: Investment risk, Interest Rate Risk and Longevity Risk, etc. which are explained below:

i. Investment Risk

The probability or likelihood of occurrence of losses relative to the expected return on any particular investment.

ii. Interest Risk

The plan exposes the Company to the risk of fall in Interest rates on plan assets. 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.

iii. Longevity Risk

The present value of defined benefit plan liability is calculated by reference to the best estimate of the mortality of plan participants both during and after employment. An increase in the life expectancy of the plan participants will increase the plan's liability.

43. a. Disclosure pursuant to Ind AS 107 -Financial risk management

The activities of the Company expose it to a variety of financial risks. The Company's risk management policies are focused to identify the unpredictability of financial markets, put required controls, monitor and minimize potential adverse effects on its financial performance. The risk management policies and systems are reviewed periodically to reflect changes in market conditions and company's activities. Board of Directors has overall responsibility for the setup and oversight of company's risk management framework.

The company has exposure to the following risks arising from financial instruments:

(A) Credit risk; (B)Liquidity risk and (C)Market risk.

(A) Credit risk:

Credit risk refers to the risk of default on its obligation by the customer or counterparty in meeting its contractual obligations, resulting into a financial loss to the company. The maximum exposure to the credit risk is primarily from company's trade and other receivables amounting to as at 31 March, 2024 t1,032.74 Lakhs and as at 31 March, 2023 t 838.32 Lakhs. Details of receivables and other current assets are as per the table below:

Receivables are reviewed, managed and controlled for each customer separately. Credit risk is managed through credit approvals process by establishing credit limits and continuously monitoring the creditworthiness of customers to whom credit is extended in the normal course of business. An impairment analysis is performed at each reporting date on an individual basis for major customers. Company has a practice to provide for doubtful debts on a case-to-case basis after considering inter-alia customer's credibility etc.

The allowance for Expected Credit Loss on customer balances for the year ended 31 March, 2024and 31 March, 2023was ?6.73 Lakhs.

There is no significant credit risk on cash and cash equivalents as the Company generally invest in deposits with banks with good credit ratings.

There is no significant credit risk on other receivables, which mainly comprise of security deposits.

(B) Liquidity risk

Liquidity risk refers to the risk that the Company may encounter in meeting its obligations associated with its financial liabilities on time or at a reasonable price. The Company's Accounts and Finance department is responsible for liquidity and fund flow management. In addition to that, processes and policies related to such risks are overseen by the Senior Management. Management monitors the Company's net liquidity position through rolling forecasts on the basis of expected cash flows.

(C) Market risk:

Market risk refers to the risk that the fair value of future cash flows of a financial instrument will fluctuate due to changes in market prices. It comprises of below mentioned three types of risks:

i) Currency risk

ii) Interest rate risk

iii) Other price risk such as equity/debt securities price risk

i) Currency risk

Currency risk refers to the risk that arises when future commercial transactions and recognized assets and liabilities are denominated in a currency that is not the Company's functional currency. Currency risk is the risk that the value of a financial instrument will fluctuate due to changes in foreign exchange rates.

The Company mainly operates in Indian domestic market. The maximum exposure to the currency risk is primarily from trade payables on account of goods imported into the country. The Company does not have any foreign currency payables as at the year-end hence, the Company does not have any currency risk at present.

ii) Interest rate risk

Interest rate risk refers to the risk that fair value or future cash flows of financial instrument will fluctuate because of changes in market interest rates. The Company's borrowing is linked to repo rate and therefore, to that extent the Company is currently exposed to such risk.

b. Reportable segments:

An operating segment is classified as reportable segment if reported revenue (including inter-segment revenue) or absolute amount of result or assets exceed 10% or more of the combined total of all the operating segments.

The Company has only one reportable segment viz. renting and/or leasing immovable properties. During the financial year 2023-24, the company was engaged in leasing of commercial properties. The Company is not reliant of any one customer.

In the previous financial year, the Company had two reportable segments i.e. (i) Manufacturing Division and (ii) Real Estate Leasing Division. The nature of business of these segments were different and were managed. The Board of Directors in their meeting held on 20 February 2023 decided to discontinue the manufacturing activities.

Disclosure pursuant to the Indian Accounting Standard -108 on “Segment Reporting” is as below.

47. Disclosure pursuant to Ind AS- 116 'Leases’

Where the Company is a lessee-

The Company’s leasing arrangements as a lessee are generally in the nature of cancellable operating leases. The Company’s leases mainly comprise of leasehold land and office premises and office equipment. These arrangements can usually be terminated / renewed by mutual consent on agreed terms. These Lease rentals are charged to the Statement of Profit and Loss on straight-line basis.

Company has taken exemptions for not to consider the leases under Ind AS 116 - Leases which have non-cancellable period (Lock in period) or lease period of 12 months or less as on initial application date.

The Company has elected not to classify low value items lease under Leases as permitted by Para 5 of Ind AS 116. Accordingly, During the year, the Company paid lease rent aggregating to ? 4.37 Lakhs (Previous Year: ? 3.38 Lakhs)

48. During the previous yearie. FY 2022-23, the Company sold certain investments being equity shares of listed companies, for ?2149.26 Lakhs. The sale resulted in a Profit of ?2,017.95 Lakhs which was transferred to Retained Earnings with corresponding adjustment in the 'Other Comprehensive Income' under Other Equity.

49. Additional Disclosures pursuant to Schedule III to the Companies Act, 2013

a. Benami property

No proceedings have been initiated or pending against the Company for holding any benami property under the Benami Transactions (Prohibition) Act, 1988 and rules made thereunder in the financial years ended 31 March, 2024 and 31 March, 2023.

b. Borrowings of Specific Purpose

The Company has utilised the funds raised from bank for the specific purpose for which they were borrowed. The Company has not borrowed or raised any additional borrowings or funds raised from banks and financial

institutions duringcurrentfinancial year.

c. Borrowings against security of Current Assets

The Company has not borrowed or raised any borrowings or funds raised from banks and financial institutions against security of current assets.

d. Details of Crypto Currency or Virtual Currency

The Company has not traded or invested in Crypto currency or Virtual currency during the financial years ended 31 March, 2024 and 31March, 2023.

e. Willful Defaulter

The Company has not been declared as a willful defaulter by any bank or financial institution or other lender in the financial years ended 31 March, 2024 and 31 March, 2023.

f. Undisclosed Income

The Company does not have any such transaction which is not recorded in the books of account that has been surrendered or disclosed as income during the year in the tax assessments under the Income Tax Act, 1961 (such as, search or survey or any other relevant provisions of the Income Tax Act, 1961)

g. Registration of charges or satisfaction with Registrar of Companies (ROC)

All charges or satisfaction are registered with ROC within the statutory period for the financial years ended 31 March, 2024 and 31 March, 2023. No charges or satisfactions are yet to be registered with ROC beyond the statutory period.

h. Struck off companies

The Company has not entered into any transaction with the companies struck off as per Section 248 of the Companies Act, 2013 or Section 560 of the Companies Act, 1956.

56. Previous year’s figures have been regrouped/rearranged wherever necessary, to conform to the current year’s presentation.

As per our report of even date attached For and on behalf of the Board of Directors

For C N K J B M S & ASSOCIATES CHARTERED ACCOUNTANTS [F.R. No. 139786-W]

Sd/- Sd/- Sd/- Sd/- Sd/-

Bageshri Khadilkar Pranav Deshpande Sanket Deshpade Pankaj Parkhi Ashwini Paranjape

Partner Executive Director Independent Director Chief Financial Officer Company Secretary

M.No. 139656 DIN 06467549 DIN 03383916 M. No. A42898

Place : Pune Date : 30.05.2024