m) Provisions, contingent assets and contingent liabilities

Provisions are recognized only when there is a present obligation, as a result of past events, and when a reliable
estimate of the amount of obligation can be made at the reporting date. These estimates are reviewed at each
reporting date and adjusted to reflect the current best estimates. Provisions are discounted to their present values,
where the time value of money is material.

Contingent liability is disclosed for:

• Possible obligations which will be confirmed only by future events not wholly within the control of the Company
or

• Present obligations arising from past events where it is not probable that an outflow of resources will be
required to settle the obligation or a reliable estimate of the amount of the obligation cannot be made.

Contingent assets are neither recognised nor disclosed except when realisation of income is virtually certain,
related asset is disclosed.

n) Financial instruments

A Financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or
equity instrument of another entity.

Initial recognition and measurement

Financial assets and financial liabilities are recognised when the Company becomes a party to the contractual
provisions of the financial instrument and are measured initially at fair value adjusted for transaction costs.
Subsequent measurement of financial assets and financial liabilities is described below.

Non-derivative financial assets
Subsequent measurement
A Financial assets carried at amortised cost

A financial asset is measured at the amortised cost if both the following conditions are met:

• The asset is held within a business model whose objective is to hold assets for collecting contractual cash
flows, and

• Contractual terms of the asset give rise on specified dates to cash flows that are solely payments of principal
and interest (SPPI) on the principal amount outstanding.

After initial measurement, such financial assets are subsequently measured at amortised cost using the effective
interest rate (EIR) method. Amortised cost is calculated by taking into account any discount or premium on
acquisition and fees or costs that are an integral part of the EIR. The EIR amortisation is included in interest income
in the Statement of Profit and Loss.

ii. Investments in equity instruments

Investments in equity instruments which are held for trading are classified as at fair value through profit or loss
(FVTPL). For all other equity instruments, the Company makes an irrevocable choice upon initial recognition, on
an instrument by instrument basis, to classify the same either as at fair value through other comprehensive income
(FVOCI) or fair value through profit or loss (FVTPL). Amounts presented in other comprehensive income are not
subsequently transferred to profit or loss. However, the Company transfers the cumulative gain or loss within
equity. Dividends on such investments are recognised in profit or loss unless the dividend clearly represents a
recovery of part of the cost of the investment.

iii. Investments in mutual funds/venture capital funds/alternative investment funds (AIF) - Investments in
mutual funds, venture capital funds and AIF are measured at fair value through profit and loss (FVTPL).

iv. Investments held for trading purposes - The Company has investments in equity instruments, mutual funds,
debentures, real estate properties, bonds etc. which are held for trading purposes and therefore, classified as at
fair value through profit or loss (FVTPL).

De-recognition of financial assets

Financial assets (or where applicable, a part of financial asset or part of a group of similar financial assets) are
derecognised (i.e. removed from the Company's balance sheet) when the contractual rights to receive the cash
flows from the financial asset have expired, or when the financial asset and substantially all the risks and rewards
are transferred. Further, if the Company has not retained control, it shall also derecognise the financial asset and
recognise separately as assets or liabilities any rights and obligations created or retained in the transfer.
Non-derivative financial liabilities
Subsequent measurement

Subsequent to initial recognition, all non-derivative financial liabilities are measured at amortised cost using the
effective interest method.

De-recognition of financial liabilities

A financial liability is de-recognised when the obligation under the liability is discharged or cancelled or expires.
When an existing financial liability is replaced by another from the same lender on substantially different terms, or
the terms of an existing liability are substantially modified, such an exchange or modification is treated as the de¬
recognition of the original liability and the recognition of a new liability. The difference in the respective carrying
amounts is recognised in the Statement of Profit and Loss.

Offsetting of financial instruments

Financial assets and financial liabilities are offset and the net amount is reported in the balance sheet if there is a
currently enforceable legal right to offset the recognised amounts and there is an intention to settle on a net basis,
to realise the assets and settle the liabilities simultaneously.

o) Earnings per share

Basic earnings per share is calculated by dividing the net profit or loss for the period attributable to equity
shareholders (after deducting attributable taxes) by the weighted average number of equity shares outstanding
during the period. The weighted average number of equity shares outstanding during the period is adjusted for
events including a bonus issue.

For the purpose of calculating diluted earnings per share, the net profit or loss (interest and other finance cost
associated) for the period attributable to equity shareholders and the weighted average number of shares
outstanding during the period are adjusted for the effects of all dilutive potential equity shares.

p) Segment reporting

The Company identifies segment basis the internal organization and management structure. The operating
segments are the segments for which separate financial information is available and for which operating profit/loss
amounts are regularly by the executive committee ('chief operating decision maker') in deciding how to allocate
resources and in assessing performance. 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 with the operating activities of the
segment.

q) Significant management judgement in applying accounting policies and estimation uncertainty

The preparation of the Company's financial statements requires management to make judgements, estimates and
assumptions that affect the reported amounts of revenues, expenses, assets and liabilities, and the related
disclosures. Actual results may differ from these estimates.

Significant management judgements

Recognition of deferred tax assets - The extent to which deferred tax assets can be recognized is based on an
assessment of the probability of the future taxable income against which the deferred tax assets can be utilized.
Evaluation of indicators for impairment of assets - The evaluation of applicability of indicators of impairment of
assets requires assessment of several external and internal factors which could result in deterioration of
recoverable amount of the assets.

Provisions - At each balance sheet date basis the management judgment, changes in facts and legal aspects,
the Company assesses the requirement of provisions against the outstanding contingent liabilities. However, the
actual future outcome may be different from this judgement.

Significant Estimates

Useful lives of depreciable/amortisable assets - Management reviews its estimate of the useful lives of
depreciable/amortisable assets at each reporting date, based on the expected utility of the assets. Uncertainties in
these estimates relate to technical and economic obsolescence that may change the utility of assets.

Defined benefit obligation (DBO) - Management's estimate of the DBO is based on a number of underlying
assumptions such as standard rates of inflation, mortality, discount rate and anticipation of future salary increases.
Variation in these assumptions may significantly impact the DBO amount and the annual defined benefit
expenses.

Fair value measurements - Management applies valuation techniques to determine the fair value of financial
instruments (where active market quotes are not available). This involves developing estimates and assumptions
consistent with how market participants would price the instrument.

(i) Rights, preferences and restrictions attached to equity shares

The Company has only one class of shares referred to as equity shares having a par value of Rs 5 each . Each equity shareholder is
entitled to one vote per share. The Company declares and pays dividend in Indian Rupees. The dividend proposed by the Board of
Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting. In the event of liquidation of the
Company, the equity shareholders will be entitled to receive the remaining assets of the Company, after distribution of all preferential
amounts, if any, in proportion to the number of equity shares held by the shareholders.

20.1 General reserve

The Company has transferred a portion of the net profit of the group before declaring dividend to general reserve pursuant to
the earlier provision of Companies Act 1956. Mandatory transfer to general reserve is not required under the Companies Act,
2013.

20.2 Securities premium reserve

Securities premium reserve represents premium received on issue of shares. The reserve is utilised in accordance with the
provisions of the Companies Act, 2013.

20.3 Retained earnings

All the profits made by the Company are transferred to retained earnings from statement of profit and loss.

20.4 Reserve Fund u/s 45-IC of RBI Act 1934

The Company creates a reserve fund in accordance with the provisions of section 45-IC of the Reserve Bank of India Act,
1934 and transfers therein an amount of euqal to/more than twenty per cent of its net profit of the year, before declaration of
dividend. Accordingly, during the year, the Company has created Statutary Reserve Fund amounting to Rs. 576 Lakhs.

A. Gratuity

The Company has a defined benefit gratuity plan. Every employee is entitled to gratuity as per the provisions of the
Payment of Gratuity Act, 1972. The scheme is funded by the Company and is managed by separate trust. The
liability of Gratuity is recognized on the basis of actuarial valuation.

The summarized position of various defined benefits recognized in the Statement of Profit & Loss, Balance Sheet
and the funded status is as under:

Sensitivities due to mortality & withdrawals are not material & hence impact of change due to these not calculated.
Sensitivities as rate of increase of pensions in payment, rate of increase of pensions before retirement & life expectancy
are not applicable.

The above sensitivity analysis is based on a change an assumption while holding all other assumptions constant. In
practice this is unlikely to occur and changes in some of the assumptions may be correlated. When calculating the
sensitivity of the defind benefit obligation to significant actuarial assumptions the same method (present value of the
defined benefit obligation calculated with the projected unit credit method at the end of the reporting period) has been
applied which was applied while calculating the defined benefit obligation liability recognised in the balance sheet.

The methods and types of assumptions used in preparing the sensitivity analysis did not change compared to previous
year.

B Fair values hierarchy

Financial assets and financial liabilities are measured at fair value in the financial statements and are grouped into three
Levels of a fair value hierarchy. The three Levels are defined based on the observability of significant inputs to the
measurement, as follows:

The categories used are as follows:

Level 1: Quoted prices (unadjusted) for identical instruments in an active market;

Level 2: Directly (i.e. as prices) or indirectly (i.e. derived from prices) observable market inputs, other than Level 1 inputs; and
Level 3: Inputs which are not based on observable market data (unobservable inputs).

Valuation Techniques for fair value disclosures (Level 1 , Level 2 and Level 3)

(a) Investment in Quoted Equity Investments - Level 1 - Investment in listed equity instruments are measured at their readily
available quoted price in the market.

(b) Investment in Unquoted Equity Investments - Level 3 - the Company has used earning capitalisation method (fair value
approach) discounted at a rate to reflect the risk involved in the business.

(c) Investment in Mutual funds - Level 1 - Investment in mutual funds are measured at their readily available net asset value
(NAV) (per unit) in the market.

(d) Investment in Venture Capital Funds and Alternative Investment Funds Level 3 - Investment in venture capital funds and
alternative investment funds are measured at their fair value as per the Net Asset Value (NAV) Certificate shared by the
fund/investee party.

Below are the methodologies and assumptions used to determine fair values for the above financial instruments which are not
recorded and measured at fair value in the Company's financial statements. These fair values were calculated for disclosure
purposes only. The below methodologies and assumptions relate only to the instruments in the above tables:

Financial assets and liabilities

For financial assets and financial liabilities that have a short-term maturity (less than twelve months), the carrying amounts,
which are net of impairment, are a reasonable approximation of their fair value. Such instruments include: cash and balances,
balances other than cash and cash equivalents, loans, trade payables, short term borrowings, inter company loan and
contract liability without a specific maturity.

Investments measured at amortised cost

Investments which are carried at amortised cost represents investments in debt instruments including non covertible
preference shares. The fair values of such investments are determined using rates available in the market.

42 Financial risk management
i) Risk Management

The Company's activities expose it to market risk, liquidity risk and credit risk. The Company's board of directors has
overall responsibility for the establishment and oversight of the Company risk management framework. The Company's
risk are managed by a treasury department under policies approved by the board of directors. The board of directors
provides written principles for overall risk management. This note explains the sources of risk which the entity is exposed
to and how the entity manages the risk and the related impact in the financial statements.

In order to avoid excessive concentrations of risk, the Group's policies and procedures include specific guidelines to focus on
maintaining a diversified portfolio. Identified concentrations of credit risks are controlled and managed accordingly.

A) Credit risk

Credit risk is the risk that a counterparty fails to discharge its obligation to the Company. The Company's exposure to credit
risk is influenced mainly by cash and cash equivalents, other bank balances, investments, loan assets, trade receivables and

other financial assets. The Company continuously monitors defaults of customers and other counterparties and incorporates
this information into its credit risk controls.

a) Credit risk management

The Company assesses and manages credit risk based on internal credit rating system. Internal credit rating is performed for
each class of financial instruments with different characteristics. The Company assigns the following credit ratings to each
class of financial assets based on the assumptions, inputs and factors specific to the class of financial assets.

(i) Low credit risk

(ii) Moderate credit risk

(iii) High credit risk

Based on business environment in which the Company operates, a default on a financial asset is considered when the
counter party fails to make payments within the agreed time period as per contract. Loss rates reflecting defaults are based on
actual credit loss experience and considering differences between current and historical economic conditions.

Assets are written off when there is no reasonable expectation of recovery. The Company continues to engage with parties
whose balances are written off and attempts to enforce repayment. Recoveries made are recognised in statement of profit
and loss.

Cash and cash equivalents and bank deposits

Credit risk related to cash and cash equivalents and bank deposits is managed by only accepting highly rated banks and
diversifying bank deposits and accounts in different banks across the country.

Trade receivables

Trade receivables measured at amortized cost and credit risk related to these are managed by monitoring the recoverability
of such amounts continuously.

Loans

Credit risk related to borrower's are mitigated by considering collateral's/bank guarantees/letter of credit, from borrower's.
The Company closely monitors the credit-worthiness of the borrower's through internal systems and project appraisal
process to assess the credit risk and define credit limits of borrower, thereby, limiting the credit risk to pre-calculated amounts.
These processes include a detailed appraisal methodology, identification of risks and suitable structuring and credit risk
mitigation measures. The Company assesses increase in credit risk on an ongoing basis for amounts loan receivables that
become past due and default is considered to have occurred when amounts receivable become one year past due.

Other financial assets measured at amortized cost includes loans and advances to employees, security deposits, insurance
claim receivables and others. Credit risk related to these other financial assets is managed by monitoring the recoverability of
such amounts continuously.

b) Credit risk exposure

I) Expected credit losses for financial assets other than loans

Company provides for expected credit losses on financial assets other than loans by assessing individual financial

instruments for expectation of any credit losses:

- For cash and cash equivalents and other bank balances - Since the Company deals with only high-rated banks and
financial institutions, credit risk in respect of cash and cash equivalents, other bank balances and bank deposits is
evaluated as very low.

- For investments - Considering the investments are in equity shares, mutual funds, and government securities, credit
risk is considered low.

- For loans comprising security deposits paid - Credit risk is considered low because the Company is in possession of
the underlying asset.

- For other financial assets - Credit risk is evaluated based on Company's knowledge of the credit worthiness of those
parties and loss allowance is measured for 12 month expected credit losses upon initial recognition and provide for
lifetime expected credit losses upon significant increase in credit risk. The Company does not have any expected
loss based impairment recognised on such assets considering their low credit risk nature, though the reconciliation
of expected credit loss for all sub categories of financial assets (other than loans) are disclosed below:

ii) Expected credit loss for loans

The Company follows a 'three-stage' model for impairment based on changes in credit quality since initial recognition as
summarised below:

A financial instrument that is not credit-impaired on initial recognition is classified in 'Stage 1' and has its credit risk
continuously monitored by the Company i.e. the default in repayment is within the range of 0 to 30 days.

If a significant increase in credit risk ('SICR') since initial recognition is identified, the financial instrument is moved to
'Stage 2' but is not yet deemed to be credit-impaired i.e. the default in repayment is within the range of 31 to 90 days.

If the financial instrument is credit-impaired, the financial instrument is then moved to 'Stage 3' i.e. the default in
repayment is more than 90 days.

The Expected Credit Loss (ECL) is measured at 12-month ECL for Stage 1 loan assets and at lifetime ECL for Stage 2
and Stage 3 loan assets. ECL is the product of the Probability of Default, Exposure at Default and Loss Given Default.
Forward-looking economic information (including management overlay) is included in determining the 12-month and
lifetime PD, EAD and LGD. The assumptions underlying the expected credit loss are monitored and reviewed on an
ongoing basis.

B) Liquidity risk

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial
liabilities that are settled by delivering cash or another financial asset. The Company's approach to managing liquidity is to
ensure as far as possible, that it will have sufficient liquidity to meet its liabilities when they are due.

The Company maintains felxibility in funding by maintaining availability under committed credit lines. Management monitors
the Company's liquidity positions (also comprising the undrawn borrowing facilities) and cash and cash equivalents on the
basis of expected cash flows. The Company also takes into account liquidity of the market in which the entity operates.

C) Market risk
Price risk

i) Exposure

The Company's exposure price risk arises from investments held and classified in the balance sheet either as fair value
through other comprehensive income or at fair value through profit or loss. To manage the price risk arising from
investments, the Company diversifies its portfolio of assets.

ii) Sensitivity

The table below summarises the impact of increases/decreases of the index on the Company's equity and profit for
the period:

43 Capital management

The Company's capital management objectives are

- to ensure the Company's ability to continue as a going concern

- to comply with externally imposed capital requirement and maintain strong credit ratings

- to provide an adequate return to shareholders

The Company monitors capital on the basis of the carrying amount of equity less cash and cash equivalents as presented
on the face of balance sheet.

Management assesses the Company's capital requirements in order to maintain an efficient overall financing structure
while avoiding excessive leverage. This takes into account the subordination levels of the Company's various classes of
debt. The Company manages the capital structure and makes adjustments to it in the light of changes in economic
conditions and the risk characteristics of the underlying assets. In order to maintain or adjust the capital structure, the
Company may adjust the amount of dividends paid to shareholders, return capital to shareholders, issue new shares, or
sell assets to reduce debt.

44 GENERAL

a) In the opinion of the Board, the value of Current Assets, Loans and Advances have a value in the ordinary course of
business at least equal to that stated in the Balance Sheet except in case of those shown as doubtful.

b) As per Ind-AS-108 " Operating Segment", the details are as under:

c) The Institute of Chartered Accountants of India has issued an Accounting Standard (AS)-28 on impairment of assets,
which is mandatory for the accounting periods commencing on or after Ist April 2004. In accordance with the said
standard, the company has assessed as on date of applicability of the aforesaid Standard and as well as on Balance
Sheet Date, whether there are any indications (listed in paragraph 8 to 10 of the Standards) with regards to the
impairment of any of the assets. Based on such assessment it has been ascertained that no no potential loss is present
and therefore, formal estimate of recoverable amount has not been made. Accordingly no impairment loss has been
provided in the books of accounts.

48 Mr. Dinesh Oswal, Managing Director has been paid remuneration from 1st April 2025 to 31st March 2026 as per
Shareholders approval vide their Special Resolutions dated 29th September 2021 and 25th September 2024 vide under
section 197 read with Schedule V of the Companies Act, 2013.

49 Company had invested Rs. 2.00 Crore in Rated, Listed and Secured, Cumulative, redeemable Debentures of ATS
Infrabuild Pvt. Ltd. (“ATS”) in 27-06-2018, being maturity in June 2022, later extended till June 2024. The borrower had
paid the interest yearly on time, but from June 2023 onwards borrower has defaulted in interest payment. The debenture
trustee is resorting to all legal action available to recover the amounts.

Keeping above facts in view, our company has not provided for interest accrued/receivable from June 2023 and also a
provision of 20% of value has been made in books of accounts.