a) Terms and rights attached to equity shares Equity Shares:

The Company has only one class of Equity shares

-    Ordinary shares Equity Shares of ^ 10 each each. Each shareholder is eligible for for one vote.

-    On winding up of the Company, the holders of equity shares will be entitled to receive residual assets of the Company, remaining after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.

b) Other Notes

-    The Company had, issued 25,00,000 equity shares of face value of ^ 10/- each on right basis ('Rights Equity Shares') to the Eligible Equity Shareholders at an issue price of ^ 30/- per Rights Equity Share (including premium of ^ 20/- per Rights Equity Share) in September, 2022.

-    In Nov 2022, the Company allotted 45,18,003 bonus equity shares of ^ 10/- each as fully paid-up bonus equity shares, in the proportion of 180 (One hundred & eighty) equity share of ^ 10/- each for every 100 (Hundred) existing equity shares of ^ 10/-each to the eligible members whose names appeared in the register of members/list of beneficial owners as on November 25, 2022 i.e., record date.

-    The Company completed the Initial Public Offer ('IPO')of its equity shares during the year ended 31 March 2023 and listed its shares on BSE SME on 20th December 2022. Pursuant to IPO, the Company allotted 26,00,000 fresh equity shares of ^ 10/-each to public. The total share premium arising on IPO amounting to ^ 520.00 lakhs has been accounted under securities premium reserve and the IPO related expenses amounting to ^ 52.03 lakhs, being company’s share of total IPO expense, has been adjusted against the premium amount.

General Description Of Reserves Retained earnings

Retained earnings represent the amount of accumulated earnings of the Entity.

Securities premium

The amount received in excess of the par value of shares has been classified as securities premium account.

Gratuity:

The Company has an unfunded defined benefit gratuity plan. The Company provides for gratuity for its employees as per Payment of Gratuity Act, 1972. Employees who are in continuous service for a period of 5 years or more are eligible for gratuity. The amount of gratuity is payable on retirement/termination of the employee's last drawn basic salary per month computed proportionately for 15 days salary multiplied for the completed number of years of service. The Company makes provision of such gratuity liability in the books of accounts on the basis of actuarial valuation as per the Projected Unit Credit method.

Risk analysis

A.    Actuarial Risk

It is the risk that benefits will cost more than expected. This can arise due to one of the following reasons:

i.    Adverse Salary Growth Experience:

Salary hikes that are higher than the assumed salary escalation will result into an increase in obligation at a rate that is higher than expected.

ii.    Variability in mortality rates:

If actual mortality rates are higher than assumed mortality rate assumption then the Gratuity benefits will be paid earlier than expected. Since there is no condition of vesting on the death benefit, the acceleration of cash flow will lead to an actuarial loss or gain depending on the relative values of the assumed salary growth and discount rate.

iii.    Variability in withdrawal rates:

If actual withdrawal rates are higher than assumed withdrawal rate assumption then the Gratuity benefits will be paid earlier than expected. The impact of this will depend on whether the benefits are vested as at the resignation date.

B.    Liquidity Risk

Employees with high salaries and long durations or those higher in hierarchy, accumulate significant level of benefits. If some of such employees resign/retire from the Company there can be strain on the cash flows.

C.    Market Risk

Market risk is a collective term for risks that are related to the changes and fluctuations of the financial markets. One actuarial assumption that has a material effect is the discount rate. The discount rate reflects the time value of money. An increase in discount rate leads to decrease in Defined Benefit Obligation of the plan benefits and vice versa. This assumption depends on the yields on the corporate/government bonds and hence the valuation of liability is exposed to fluctuations in the yields as at the valuation date.

D.    Legislative Risk

Legislative risk is the risk of increase in the plan liabilities due to change in the legislation/regulation. The government may amend the Payment of Gratuity Act thus requiring the companies to pay higher benefits to the employees. This will directly affect the present value of the Defined Benefit Obligation and the same will have to be recognised immediately in the year when any such amendment is effective.

Notes:

1)    Assumptions regarding future mortality experience are set in accordance with Indian Assured Lives Mortality Table (IALM) 2012-2014 Ultimate, as issued by Institute of Actuaries of India

2)    The assumed discount rate is determined by reference to market yields at the balance sheet date on Govt. bonds. The tenure has been considered taking into account the past longterm trend of employees' average remaining service life which reflects the average estimated term of the post- employment benefit obligations.

3)    The average rate of increase in compensation levels is determined by the Company, considering factors such as, the Company's past compensation revision trends and management's estimate of future salary increases.

Sensitivity for significant actuarial assumptions is computed by varying one actuarial assumption used for the valuation of the defined benefit obligation by one percentage, keeping all other actuarial assumptions constant. The sensitivity analysis is based on a change in an assumption while holding all other assumptions constant. In practice, this is not probable, and changes in some of the assumptions may be correlated.

Notes:

All related party contracts / arrangements have been entered on arms' length basis.

Review of outstanding balances is undertaken each financial year through examining the financial position of the related party and the market in which the related party operates. These balances are unsecured.

Level 1- Quoted Prices unadjusted in active markets for identical assets or liabilties

Level 2- Inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices).

Level 3 - Inputs for the assets or liabilities that are not based on observable market data (unobservable inputs)

37 Financial Risk Management

The Company's principal financial liabilities comprise loans and borrowings, trade payable and other payables. The main purpose of these financial liabilities is to finance the Company's operations and to provide guarantees to support its operations. The Company's principal financial assets include loans given, investments, trade and other receivables, and cash and cash equivalents that derive directly from its operations.

The Company is exposed to market risk, credit risk and liquidity risk. The Company's senior management oversees the management of these risks. The Company's financial risk activities are governed by appropriate policies and procedures and financial risks are identified, measured and managed in accordance with the Company's policies and risk objectives. The Board of Directors reviews and agrees policies for managing each of these risks, which are summarized below.

(a) Market Risk

Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Such changes in the values of financial instruments may result from changes in the foreign currency exchange rates, interest rates, credit, liquidity and other market changes. The company's exposure to market risk is primarily on account of Interest rate fluctuations

(i) Interest rate risk

Interest rate risk is the risk that the fair value o r future cash flows of a financ ial instrument will fluctuate because of changes in market interest rates. The Company's policy is to minimise interest rate c as h flow risk expo s ures on long-term financing. At the balance sheet date, the Company is exposed to changes in market interest rates through bank borrowings at variable interest rates.

Interest Rate Sensitivity Analysis:

The sensitivity analyses below have been determined based on the exposure to interest rates for non-derivative instruments at the reporting date. For floating rate borrowings, the analysis is prepared assuming the amount of liability outstanding at the reporting date was outstanding for the whole year. The impact on the Company's profit if interest rates had been 50 basis points higher/lower and all other variables were held constant:

(ii) Foreign currency risk

Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of changes in foreign exchange rates. The Company has no outstanding exposure as at reporting period.

(b) Credit 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) and from its financing activities, including deposits with banks and financial institution and other financial instruments.

i. Trade receivables

Customer credit risk is managed by the Company subject to the established policy, procedures and control relating to customer credit risk management. Outstanding customer receivables are regularly monitored.

An impairment analysis is performed at each reporting date on an individual basis for major clients. In addition, a large number of minor receivables are grouped into homogenous groups and assessed for impairment collectively. The assessment is based on historical information of defaults. The maximum exposure to credit risk at the reporting date is the carrying value of each class of financial assets. The Company does not hold collateral as security. The Company evaluates the concentration of risk with respect to trade receivables as low, as its customers are located in several jurisdictions and operate in largely independent markets.

38 Segment Information

An operating segment is a component of the Company that engages in business activities from which it may earn revenues and incur expenses that relate to transactions with any of the Company's other components. All operating segments' operating results are reviewed regularly by the Company's Board of Directors (BOD), which has been identified as being the Chief Operating Decision Maker (CODM), to make decisions about resources to be allocated to the segments and assess their performance.

The Company is engaged in the business of trading costume jewellery, articles of silver and other articles. The CODM evaluates the Company's performance and allocates resources based on the analysis of the various performance indicator of the Company as a single unit. Therefore, there is no reportable segment for the Company as per the requirements of Ind AS 108 “Operating Segments".

•    Information about geographical areas

The Company has operations only in India; hence there are no separately reportable geographical segments for the Company as per the requirements of Ind AS 108 - “Operating Segments". ¹

39 Capital Management

The Company's capital management objectives are

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

•    to create value for shareholders by facilitating the meeting of long term and short term goals of the Company

The Company determines the amount of capital required on the basis of annual business plan coupled with long term an d short term strategic expansion plans. The funding needs are met through equity, cash generated from operations, long term and short term bank borrowings.

The Company monitors the capital structure on the b a s i s o f net debt to eq u ity rati o and maturity profile of the overall debt portfolio of the Company.

As per provisions of section 135 of the Companies Act, 2013, the company has to incur at least 2% of average net profits of the preceding three financial years towards Corporate Social Responsibility ("CSR"). The gross amount required to be spent during the period ( F.Y 2023-24) was t 5.23 lakhs. The total expenditure incurred on CSR activities during the year ended March 31, 2024 is 5.23 lakhs.

This is the first year (F.Y 2023-24) in which the company comes under the purview of CSR Expenditure as per the stipulations outlined in sub-section (1) of section 135 of The Companies Act, 2013 .

43    The comparitive figures of March 31st, 2023 are reclassified and regrouped wherever necessary.

44    With reference to the relevant statutory dues to government, annual returns are yet to be filled with the respective authorities (being due dates are after reporting dates), hence the statutory balance payable are as per books of accounts which are subject to reconciliation with the returns.

45    There are no contingent liabilities and commitments as on March 31,2024 and as on March 31,2023.

46    The value of inventory as reported in financial statements differs from the value of inventory statement provided to bank due to apportionment of hallmarking charges in the closing stock of financial statement as it forms the necesarry cost part of inventory.

47    Other Statutory Information:

a.    The Company does not have any Benami property and there are no proceeding initiated or pending against the Company for holding any benami property under the Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and the rules made thereunder.

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

C. There Company does not have any transactions which are not recorded in the books of accounts that have been surrendered or disclosed as income in the tax assessments under the Income Tax Act, 1961 during the current year and previous year.

d.    There are no Schemes of Arrangements which are either pending or have been approved by the Competent Authority in terms of Sections 230 to 237 of the Companies Act, 2013 during the current year and previous year.

e.    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 by or on behalf of the Funding Party ("Ultimate Beneficiaries") or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries Ý

1

   Information about major customers

There is no single customer or customer group who accounts for more than 10% of the total revenue of the Company.