O. Provisions and contingencies:
Provisions are recognised when the Company has a present obligation (legal or constructive) as a result of a past
event, it is probable that the Company will be required to settle the obligation, and a reliable estimate can be made
of the amount of the obligation.
The amount recognized as a provision is the best estimate of the consideration required to settle the present
obligation at the end of the reporting period, taking into account the risks and uncertainties surrounding the
obligation. When a provision is measured using the cash flows estimated to settle the present obligation, its
carrying amount is the present value of those cash flows (when the effect of the time value of money is material).
When some or all of the economic benefits required to settle a provision are expected to be recovered from a third
party, a receivable is recognized as an asset if it is virtually certain that reimbursement will be received and the
amount of the receivable can be measured reliably.
P. Earnings per equity share:
Basic earnings per equity share are computed by dividing the net profit attributable to the equity holders of the
company by the weighted average number of equity shares outstanding during the period. Diluted earnings per
equity share is computed by dividing the net profit attributable to the equity holders of the company by the
weighted average number of equity shares considered for deriving basic earnings per equity share and also the
weighted average number of equity shares that could have been issued upon conversion of all dilutive potential
equity shares. The dilutive potential equity shares are adjusted for the proceeds receivable had the equity shares
been actually issued at fair value (i.e. the average market value of the outstanding equity shares). Dilutive potential
equity shares are deemed converted as of the beginning of the period, unless issued at a later date. Dilutive
potential equity shares are determined independently for each period presented.
The number of equity shares and potentially dilutive equity shares are adjusted retrospectively for all periods
presented for any share splits and bonus shares issues including for changes effected prior to the approval of the
standalone financial statements by the Board of Directors.
Q. Operating Cycle:
Based on the nature of products/activities of the Company and the normal time between acquisition of assets and
the realisation in cash or cash equivalents, the Company has determined its operating cycle as 12 months for the
purpose of classification of its assets and liabilities as current and non-current.
Note 10(b) Rights, Preferences and restrictions attached to Equity Shares
The Company has only one class of equity shares having a par value of Rs. 10/- per share. Each Shareholder is eligible for one vote per
share. The dividend if any proposed by the Board of Directors is subject to the approval of shareholders, except in case of interim
dividend. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company, after
distribution of all preferential amounts, in proportion of their shareholding (in future if company ever had the other classes of share).
Note 17 - Financial risk management objectives and policies
Disclosure as per paragraph 134 and 135 of Ind AS 1 on Capital
For the purpose of the Company's capital management, capital includes issued capital and other equity reserves. The primary
objective of the Company's Capital Management is to maximise shareholders value. The Company manages its capital structure
and makes adjustments in the light of changes in economic environment and the requirements of the financial covenants.
The Company's activities expose it to a variety of financial risks including market risk, credit risk and liquidity risk. The Company's
primary risk management focus is to minimize potential adverse effects of market risk on its financial performance. The
Company's risk management assessment and policies and processes are established to identify and analyze the risks faced by the
Company, to set appropriate risk limits and controls, and to monitor such risks and compliance with the same. The Board of
Directors and the Audit Committee is responsible for overseeing the Company's risk assessment and management policies and
processes.
The Company's financial risk management policy is set by the management. Market risk is the risk of loss of future earnings, fair
values or future cash flows that may result from a change in the price of a financial instrument. The value of a financial
instrument may change as a result of changes in the interest rates, foreign currency exchange rates, equity prices and other
market changes that affect market risk sensitive instruments. The Company manages market risk which evaluates and exercises
independent control over the entire process of market risk management. The activities include investment in mutual fund (debt
and equity), Equity Shares, Debentures, Alternative Investments plans, Real Estate Exposure through non-convertible
debentures/ as capital contributions in subsidiaries and other strategies investments. The market value and future yield on debt
fund will fluctuate because of changes in bank rate, RBI Policy and market interest rates while market value of the equity
instruments changes on account of performance of various industries/ investee in which the Company has made investments. In
order to optimize the Company's position with regards to appreciation in value of mutual fund and to manage the interest rate
risk, it performs a comprehensive corporate interest rate risk management by balancing the proportion of floating rate and
accruals financial instruments in its total portfolio.
a. Credit risk
Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to
meet its contractual obligations, and arises principally from the Company's receivables from customers, investments,
inter-corporate deposits and financial guarantees. Credit risk arises from cash held with banks and financial
institutions, as well as credit exposure to clients, including outstanding accounts receivable. The maximum exposure to
credit risk is equal to the carrying value of the financial assets. The objective of managing counterparty credit risk is to
prevent losses in financial assets. The Company assesses the credit quality of the counterparties, taking into account
their financial position, past experience and other factors. The Company establishes an allowance for doubtful debts
and impairment that represents its estimate of incurred losses in respect of trade and other receivables and
investments.
(i) Trade receivables
The Company's exposure to credit risk is influenced mainly by the individual characteristics of each customer.
The demographics of the customer, including the default risk of the industry in which the customer operates, also
has an influence on credit risk assessment. Credit risk is managed through continuously monitoring the
creditworthiness of customers to which the Company grants credit terms in the normal course of business. An
impairment analysis is performed at each reporting date on an individual basis. The Company does not hold
collateral as security for outstanding trade receivables. The history of trade receivables shows an eligible
provision for bad and doubtful debts.
(ii) Investments and other financial assets
The Company limits its exposure to credit risk by generally investing in liquid securities, equity shares, mutual
funds and other investments and only with counter parties that have a good credit rating. The Company does not
expect any losses from non-performance by these counter parties, and does not have any significant
concentration of exposures to specific industry sectors. For derivative and financial instruments, the Company
attempts to limit the credit risk by only dealing with reputable banks and financial institutions having high credit-
ratings assigned. The Company does not expect any material credit risk on account of non-performance by
counterparties to whom the financial assets receivables.
(iii) Financial assets that are past due but not impaired
Credit risk from balances with banks and financial institutions is managed by the management in such a manner
that it is exposed to the lowest possible risk. None of the Company's cash equivalents, including term deposits
(i.e. certificates of deposit) with banks, were past due or impaired as at March 31, 2025.
b. Liquidity risk
Liquidity risk is the risk that the Company will not be able to meet its financial obligations as they become due. The
Company invests its surplus funds in various marketable securities to ensure that the sufficient liquidity is available.
The Company manages its liquidity risk by ensuring, as far as possible, that it will always have sufficient liquidity to
meet its liabilities when due.
The Company also has access to a sufficient variety of sources of funding with the banks. Considering surplus funds
invested in liquid investments, the Company does not perceive any liquidity risk.
c. Market risk
Market risk is the risk of loss of future earnings, fair values or future cash flows related to financial instrument that may
result from adverse changes in market rates and prices (such as foreign exchange rates, interest rates, other prices).
The Company is exposed to market risk primarily related to currency risk, interest rate risk and price risk.
i. Currency risk
The Company has no foreign currency denominated assets. Accordingly, the exposure to currency risk is NIL.
ii. Interest rate risk
The Company's investments are primarily in variable rate interest instruments. However, the exposure to
interest rate risk is insignificant.
iii. Price risk
Price risk is the risk that the value of the financial instrument will fluctuate as a result of changes in market
prices and related market variables including interest rate for investments in debt oriented mutual funds and
debt securities, whether caused by factors specific to an individual investment, its issuer or the market. The
Company exposed to price risk from its investment in Mutual Funds, listed Equity Shares, Bonds classified in
the balance sheet at cost.
Note : 18 Financial Ratio :
Disclosure of ratios, is not applicable to the Company as it is in share broking business and not an NBFC registered
under Section 45-IA of Reserve Bank of India Act, 1934.
Note: 19 First-time adoption of Ind AS - mandatory exceptions, optional exemptions:
These financial statements for the year ended March 31, 2018, are the Company's first Ind AS financial statements which has
been prepared in accordance with Ind AS. For periods up to and including the year ended March 31, 2017, the Company
prepared its financial statements in accordance with accounting standards notified under section 133 of the Companies Act
2013, read together with relevant rules of the Companies (Accounts) Rules, 2014 (Indian GAAP or IGAAP).
Accordingly, the Company has prepared financial statements which comply with Ind AS applicable for periods ending on March
31, 2025, together with the comparative period data as at and for the year ended March 31, 2024, as described in the summary
of significant accounting policies. The Company has prepared the opening balance sheet as per Ind AS by recognizing all assets
and liabilities whose recognition is required by Ind AS, not recognizing items of assets or liabilities which are not permitted by Ind
AS, by reclassifying items from Previous GAAP to Ind AS as required under Ind AS, and applying Ind AS in measurement of
recognized assets and liabilities.
An explanation of how the transition from Previous GAAP to IND AS has affected the Company's Balance sheet, Statement of
Profit and Loss, is set out here-in-after.
(I) Employee Benefits:
Under the previous GAAP, actuarial gains and losses on defined benefit liabilities were recognized in the statement
of profit and loss. Under IND AS, the actuarial gains and losses form part of re-measurement of net defined benefit
liability which is recognized in other comprehensive income. During the Financial year ended March 31, 2025 in the
case of Employee Benefits as to gratuity's actuarial liabilities calculation was not undertaken by actuary. The same
has worked out to Rs. 0.24 Lakhs at the year ended 31st March 2025.
Note 22-Figures for the previous year have been regrouped/rearranged, wherever necessary, to conform to current year's
classification. The impact of such regroupings / reclassifications are not material to Financial Statements.
Note 23 OTHER NOTES FORMING PART OF THE ACCOUNTS
1. The Company has ceased to carry on fund based business and hence not governed by Reserve Bank of India Act.
2. The company has no liabilities towards the secured loan from banks, financial institutions as at 31st March 2025.
3. Balance in Sundry Creditors, Debtors and Advances are subject to confirmation.
4. There have been no events after the reporting date that require disclosure in these financial statements.
5. Various claims receivable of the previous year and liabilities relating to the previous year have been brought in the
current years to show a true and fair view of the accounts.
6. The requirements of IndAS as to deferred tax have been considered and the management is of the opinion that no
deferred tax assets / liability needs to be created.
7. In the absence of the taxable income, no provision for taxation has been made under the provisions the Income Tax
Act, 1961.
8. Auditors Remuneration: (Rs. In Lakhs)
Particulars 31/03/2025 31/03/2024
Audit Fees 0.30 0.30
Total 0.30 0.30
The Company has not made any provision for Income Tax as the Company does not envisage any liability.
9. Information Pursuant to Schedule III of the Companies Act, 2013.
31/03/2025 31/03/2024
a) Earning in Foreign Currency NIL NIL
b) Expenditure in Foreign Currency NIL NIL
10. Earnings Per Share:
31/03/2025 31/03/2024
Profit after tax 15.85 (14.82)
Number of Shares outstanding
at the end of the year 30.89 30.89
Basis EPS (Rs) 0.51 (0.48)
Nominal Value of Shares (Rs) 10.00 10.00
For M/s. Asim Ravindra & Associates For and on behalf of Board of Directors,
Chartered Accountants
Sd/- Sd/- Sd/-
Firm Registration No. : 118775W Bhavna D. Mehta Dhaval D. Sheth
Ravindra C Mehta (Chairperson & Managing Director) (Director)
Partner (DIN : 01590958) (DIN : 02418261)
Membership No : 43051
Sd/- Sd/-
Place: Ahmedabad Mahesh Motivaras Mitesh Sheth
Date: 30th May, 2025 (Company Secretary) (Chief Financial Officer)
M. N. A63815
Place: Ahmedabad Date: 30th May, 2025
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