m) Accounting for Provisions, Contingent Liabilities and Contingent Assets:

A provision is recognized if, as a result of a past event, the Company has
a present legal obligation that is reasonably estimable, and it is probable
that an outflow of economic benefits will be required to settle the
obligation. Provisions are determined by the best estimate of the outflow
of economic benefits required to settle the obligation at the reporting
date. Where no reliable estimate can be made, a disclosure is made as
contingent liability. A disclosure for a contingent liability is also made
when there is a possible obligation or a present obligation that may, but
probably will not, require an outflow of resources. Where there is a
possible obligation or a present obligation in respect of which the
likelihood of outflow of resources is remote, no provision or disclosure is
made.

A contingent asset, where an inflow of economic benefits is probable,
an entity shall disclose a brief description of the nature of the contingent
assets at the end of the reporting period, and, where practicable, an
estimate of their financial effect, measured using the principles set out
for provisions in AS.

n) Cash and Cash equivalents

Cash and Cash equivalents for the purpose of cash flow statement
comprise cash on hand and cash at bank including fixed deposit with
original maturity period of three months or less and short term highly liquid
investments with an original maturity of three months or less.

o) Leases

i. Finance lease: Leases under which the Company assumes substantially all
the risks and rewards of ownership are classified as finance leases. Assets
held under finance leases are initially recognized at their fair value at the
inception of the lease or at the present value of the minimum lease
payments, whichever is lower.

ii. Operating leases: Lease arrangements where the risks and rewards
incidental to ownership of an asset substantially vest with the lessor, are
recognized as operating leases. Lease rentals under operating leases are
recognized in the statement of profit and loss on a straight-line basis.

p) Brought Forward Loss and Depreciation Allowance:

There is no brought forward loss and depreciation allowance and hence
not applicable.

q) Borrowing Costs:

Borrowing costs that are attributable to acquisition, construction or
production of qualifying assets, are capitalized as part of the cost of such
qualifying assets. A qualifying asset is an asset that necessarily takes a
substantial period of time to get ready for intended use. All other
borrowing costs are charged to the Statement of profit and loss in the
period in which they occur. Borrowing costs consist of interest and other
costs that an entity incurs in connection with the borrowing of funds.

r) Trade Receivables and Trade Payables

Trade Receivables: Trade receivables are stated after writing off debts
considered as bad. Adequate provision is made for debts considered
doubtful.

Trade payable: Normally terms for Trade payables are as per the policy
of suppliers in case company's fails to pay the amount within the due
date of payment the supplier may charge interest for such delay which is
debit to profit and loss account.

As course of normal business practice and for record purpose, we request
all our customers and supplier to provide us with balance confirmation for
the year ending balance.

Certain confirmation of balances of Trade Payables including Advances
paid to suppliers and Trade Receivables including advance received from
customers are awaited and has not been received till the date of
finalization of Accounts. Any Adjustment arising out of such Confirmation
shall be adjusted in subsequent years.

s) Monetary Assets and Monetary liabilities

Monetary Assets: All the Monetary assets including Trade Receivables,
Advance to suppliers, Cash & Bank balance etc. are valued at cost unless
their Receivable is doubtful. Management reviews all the balances of
monetary assets on regular intervals. Management has confirmed all the
balances of financial asset as on 31^st march 2024.

Monetary Liabilities: All the Monetary Liabilities including Trade Payables,
Advances paid to Suppliers, Unsecured loans, bank overdrafts etc. are
valued at cost. Management reviews all the balances of monetary liability
on regular intervals. Management has confirmed all the balances of
financial asset as on 31 ^st March 2024.

Where the Monetary asset and Liabilities are in currency other than
reporting currency then the monetary assets and liability is converted as
per the closing rate as on Balance sheet date.

t) Financial Risk Management

The management reviews the risk management from time to time and the
said policy aims enhancing the value of firm and providing optimum risk
reward trade off. This risk management is based on clear understanding
of variety of risk that the organization faces, disciplined risk monitoring
and measurement and continuous risk assessment and mitigation
measures.

i. Market Risk

Market risk is the risk that the fair value of future cash flows of a financial
instrument will fluctuate because of changes in market conditions. Market
risk comprises three types of risk: interest rate risk, credit and default risk
and liquidity risk. Financial instruments affected by market risk include
loans and borrowings and deposits.

ii. Interest Risk

Interest rate risk is the risk that the fair value or future cash flows of a
financial instrument will fluctuate because of changes in market interest
rates. The company borrowings from banks and the rate of Interest are
not fluctuating hence the interest risk to the company is low.

iii. Credit Risk and Default Risk

Credit risk is the risk that counterparty will not meet its obligations under
a financial instrument or customer contract, leading to a financial loss.
The company is exposed to credit risk from its operating activities
(primarily trade receivables, business advances/deposit given). Since, the
Company is not able to timely realize amount due from trade receivables,
credit risk in case of Company is very high.

iv. Liquidity risk

The company's objective is to maintain a balance between continuity of
funding and flexibility through the use of bank overdrafts and loans. The
liquidity position of the company is not good. As the company's is not able
to timely realize amount due from trade receivables the company has low
liquidity.

v. Foreign Currency Risk

Currency risk is the risk that the value of financial instruments will fluctuate
due to changes in foreign exchange rates. Currency risk arises when
future commercial transactions and recognized assets and liabilities are
denominated in a currency that is not the Establishment's functional
currency. The company have significant currency risk as the company
have significant amount outstanding which is denominated in foreign
currency.

U) Corporate Social responsibility

As per Section 135 of the Companies Act, 2013, a company not
meeting the applicability threshold and therefor no needs to spend at
least 2% of its average net profit for the immediately preceding three
financial years on corporate social responsibility (CSR) activities. The
areas for CSR activities are eradication of hunger and malnutrition,
promoting

education, art and culture, healthcare, destitute care and
rehabilitation, environment sustainability, disaster relief and rural
development projects.

V) Indirect Tax and other Taxes:

• There are some Instances of Excess Credit Claimed during the Period.

• Company has complied with all TDS/TCS provision wherever
applicable.

• The GST Return for the period from 23/11/2023 to 31/01/2024 were
Filed under the GSTIN (24AADFI9415J1ZB) of the Firm and The Return
For the period from 01/01/2024 to 31/03/2024 were Filed Under GSTIN
(24AAHCI4073R1Z1) of the Company

• As per Good and Service Act Credit need to be reversed for those
Creditors which are outstanding for more than 180 days and credit
of same shall be taken when the payment is made, but such credit
has not been reversed by us.

3) Disclosure pursuant to ‘Micro, Small and Medium Enterprises
Development Act, 2006:

The Company has not initiated the process of identification of suppliers
registered under Micro, Small and Medium Enterprise Development Act,
2006, and confirmation relating to Micro, Small and Medium Enterprise
has not been received from Suppliers. As required by Ministry of

Corporate affairs (MCA) the details of MSME whose payment is
outstanding for more than 45 days as on the end of quarter has not been
reported and statement of such MSME' s with the amount outstanding as
on the end of the quarter is not filed in Form MSME 1 regularly.

4) In the opinion of the Directors, any of the assets other than Fixed Assets
and Non-Current Investments have a value on realization in the ordinary
course of the business at least equal to the amount at which they are
stated.

6) In the opinion of the Directors and to the best of their knowledge &
belief, the Current Assets, Closing Stock, Loans and Advances are
approximately of the value stated, if realized in the ordinary course of
business, which is at least equal to the amount at which they are stated
in the balance sheet. The provisions for all determined liabilities are
adequate and not in excess of the amount reasonably required

applicable to the company for the year under the Audit. Difference, if
any, between the figures as per books of account and the GST returns
are reconciled would be accounted in next period of GST returns and
in annual returns. The said differences do not have any material impact
on the financial statement regarding classification, Tax liability and
other requirement of GST provision.

10) Earnings Per Share:

In accordance with AS - 20 "Earning per Share" notified under section
133 of the companies act 2013 read with rule 7 of Companies
(Accounts) Rule 2014, the basic and diluted earnings per share is
being calculated as under:

11) Segment Reporting

The company operates in a single segment, hence not applicable.

12) Based on exercise conduct by the management in respect of
impairment of Fixed Assets as required by AS-28, The management
do not consider to provide for any loss on account of Impairment of
fixed assets.

13) The Company has not traded or invested in crypto currency or virtual
currency during the current period.

14) The Company is not as wilful defaulter by ant bank or financial
institution or other lenders.

15) The are no transactions with the Struck off Companies under Section
248 or 560 of the Companies, Act 2013.

16) No proceedings initiated or pending against the Company for holding
any benami property under the Benami Transactions (Prohibition) Act,
1 988.

17) The charges created on secured loans existing as on 23/11/2023 (i.e.
date of conversion of Partnership firm into unlisted public limited
company) were not registered with MCA within time limit. The existing
secured loans mentioned in Notes 3 were taken over by Kotak
Mahindra Bank as on 21/03/2024 against mortgage of Plot 1 to 4, Trilok
Ind Est, Olpad, Surat and Plot 75 to 81, Madhav Ind Est, Olpad, Surat
and Shop No C-17,Shivnidhi Soc., Adajan, Surat. The charges created
as on 27/03/2024 on such property were registered as on 02/04/2024
with MCA. and the charges were also modified as on 31 /05/2024 with
respect to the same which were registered as on 13/06/2024.

18) The Company have not advanced or loaned or invested funds to any
other person(s) or entity(ies), including foreign entities
(Intermediaries) with the understanding that the Intermediary shall:

a. directly or indirectly lends or invest in other persons or entities
identified in any manner whatsoever by or on behalf of the company
(Ultimate Beneficiaries) or

b. provides any guarantee, security or the like to or on behalf of the
Ultimate Beneficiaries.

19) The Company have not received any fund from any person(s) or
entity(ies), including foreign entities (Funding Party) with the
understanding (whether recorded in writing or otherwise) that the
Company shall:

a. directly or indirectly lend or invest in other persons or entities
identified in any manner whatsoever by or on behalf of the Funding
Party (Ultimate Beneficiaries) or

b. provide any guarantee, security or the like on behalf of the
Ultimate Beneficiaries.

20) The Company have not any such transaction which is not recorded in

the books of accounts 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

21) Pursuant to the amendments to Schedule III vide MCA circular dated
March 24, 2021, the following ratios are presented:

22) Previous year figures

a) Pursuant to the amendments to Schedule III vide MCA circular
dated March 24, 2021, figures are disclosed in rupee in lakhs.

b) Previous year figures have been regrouped and/or reclassified
wherever necessary to conform to current year's presentation.

Signatures to Notes 1 to 21 from an integral part of the account as per
our report of even date attached.

For Sheladiya & Jyani

Chartered Accountants
FRN:134430W

CA Vipul B Sheladiya
Partner

M. No.: 113763

Place: Surat

Date: 29/07/2024

UDIN: 24113763BKAMZG5524

For & on behalf of the Board,

Ideal Technoplast Industries Limited

Prafulkumar K Vaghasiya Vipulbhai D Mendapara Gauravbhai C Gopani

Chairman Managing Director CFO

Place: Surat Place: Surat Place: Surat

Date: 29/07/2024 Date: 29/07/2024 Date: 29/07/2024

Neha Shaw
Company Secretary
M. No.: A56553
Place: Surat
Date: 29/07/2024