b) Terms / Rights attached to Equity Shares:

(i) The Company has only one class of shares - referred to as - equity shares having a par value of ^10 per share. Each holder of equity shares is entitled to one vote per share.

(ii) As per the Companies Act, 2013, in the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the Company, after distribution of all the preferential amounts. However, no such preferential amount exists currently. The distribution will be in the proportion to the number of equity shares held by the Shareholders.

(iii) The Company declares and pays the dividend in Indian Rupees (^). The payment of dividend is also made in the foreign currency to the shareholders outside India. The final dividend proposed by the Board of Directors is subject to the approval of the shareholders in their ensuing Annual General Meeting (AGM), except in case of interim dividend.

*As per the records of the Company, including the register of members. The above details are certified by the Registrar and Share Transfer Agents.

The Board of Directors, at its meeting held on May 30, 2025 have recommended a payment of final dividend of ^1.00 (One rupee only) per equity shares of the face value of ^10 each i.e. 10% of the face value of equity share amounting to ^29.32 Lakhs, subject to the approval of shareholders at their ensuing Annual General Meeting (AGM), hence not recognized as liability, for the financial year ended March 31, 2025. The Board of Directors has not declared any interim dividend during the reporting period. (Refer "Note No. 44")

The Board of Directors, at its meeting held on May 28, 2024 had proposed a final dividend of ^1.00 (One Rupee Only) per equity shares of the face value of ^10 each for the financial period ended March 31, 2024. The proposal was approved by the shareholders at the Annual General Meeting (AGM) hold on September 28, 2024 and the same has resulted a cash outflow of amounting to ^29.32 Lakhs. (Refer "Note No. 44")

Description of Nature and Purpose of each Reserve

a) Capital Redemption Reserve: As per the Companies Act, 2013, Capital Redemption Reserve is created when a Company buy back its own shares out of free reserves or securities premium. A sum equal to the nominal value of the share so purchased is transferred to Capital Redemption Reserve. The reserve is utilized in accordance with the provision of section 69 of the Companies Act, 2013. The reserve has substantially increased in the year 2019 - 2020 by an amount of ^773.00 Lakhs, pursuant to the redemption of preference share.

b) Securities Premium: Securities Premium is used to record the premium received on the issue of equity or preference shares. This reserve is primarily utilized in accordance with the provisions of the Companies Act, 2013, for purposes such as issuing fully paid bonus shares, writing off preliminary expenses, and meeting the premium payable on redemption of debentures or preference shares, among others.

c) General Reserve: General Reserve is created from time to time through the transfer of profits from retained earnings for the purpose of appropriation. It represents an internal reallocation within equity, involving a transfer from one component of equity to another, and does not form part of Other Comprehensive Income (OCI). The creation of General Reserve reflects the Company's intent to strengthen its financial position or meet the future contingencies.

d) Remeasurement of Defined Benefits Plan: This represents the cumulative gains and losses arising from the remeasurement of defined benefit plans in accordance with Ind AS 19 - "Employee Benefits", which have been recognized in Other Comprehensive Income (OCI). These amounts are not reclassified to profit or loss in subsequent periods.

e) Retained Earnings: Retained Earnings Reserve represents the accumulated and undistributed profits of the Company as at the reporting date of the financial statements. It reflects the portion of net earnings that has been retained by the Company over time, after distribution of dividends and other appropriations.

Nature of Securities and Term of Repayments:

a) Term loans from State Bank of India are secured by a first pari-passu charge on the present and future property, plant, and equipment of the Company. These credit facilities are further secured by way of first pari - passu charge on immovable property, plant, and equipment, through an equitable mortgage on factory land and buildings held in the name of the Company, located at Khasra No. 284, 298, 299/1, 299/2, 300, and 315, Nayakund, Parseoni Road, District Nagpur - 441105. Additionally, the facilities are also secured by an equitable mortgage on a commercial building situated at Shop No. 11, Surya Tower, Secunderabad, Telangana - 500015. Motor vehicles, however, are hypothecated specifically to the respective banks and financial institutions from which the funds were borrowed, and are not covered under the above-mentioned pari - passu charge.

b) The said credit facilities are further secured by a first pari-passu charge through an equitable mortgage of the residential property located at Flat No. A-101 and A-102, Kanha Apartment, 128, Chhaoni, Katol Road, Nagpur - 440010. The aforesaid property is held in the name of Smt. Seema Agarwal, Joint Managing Director of the Company.

c) The said credit facilities are further secured by a first pari-passu charge through an equitable mortgage of the commercial plot situated at Survey No. 371/A, Mehbub Nagar, Maganur Mandal, Telangana - 500015, which is held in the name of Shri Virender Kumar Agarwal, Managing Director of the Company. Additionally, the facilities are secured by way of pledge of 2,04,820 equity shares of the Company, having a face value of ^10 each, also held by Shri Virender Kumar Agarwal.

d) All the term loans from State Bank of India, excluding the GECL (Guaranteed Emergency Credit Line) loans, have been availed for the construction and acquisition of property, plant, and equipment held in the name of the Company. These loans are being repaid in accordance with their respective repayment schedules as prescribed by the banks and financial institutions. The GECL term loans from State Bank of India were obtained to address liquidity mismatches arising due to the COVID - 19 pandemic and are also being repaid as per their respective repayment schedules provided by the lending institutions.

e) Hire purchase loans from banks and financial institutions are secured by way of hypothecation of the respective motor vehicles for which the funds have been borrowed. These loans are being repaid in accordance with their respective repayment schedules as provided by the lending banks and financial institutions.

f) Term loans from Directors and Managerial Personnel are unsecured and are repayable on demand.

g) All the term loans from State Bank of India are further secured by the unconditional and irrevocable personal guarantees of three Directors of the Company, namely Shri Virender Kumar Agarwal, Smt. Seema Agarwal and Shri Mayank Agarwal.

Nature of Securities

a) Working capital loans from State Bank of India are secured by way of hypothecation of the entire inventories, book debts, receivables, and other current assets of the Company, both present and future. These credit facilities are further secured by way of an equitable mortgage on the immovable properties, as detailed in "Note No. 14" of the financial statements.

b) All the credit facilities from State Bank of India are further secured by the unconditional and irrevocable personal guarantees of three Directors of the Company, namely Shri Virender Kumar Agarwal, Smt. Seema Agarwal and Shri Mayank Agarwal.

* As at March 31, 2025 and March 31, 2024, there were no amount due and outstanding to be transferred to "Investor Education and Protection Fund" by the Company under section 125 of the Companies Act, 2013. Unclaimed Dividend, if any, shall be transferred to Investor Education and Protection Fund as and when they become due.

**Out of the above Capital Creditors,^ NIL (Prev Year^ NIL) are dues to the suppliers of Micro, Small and Medium Enterprises as defined under the Micro, Small and Medium Enterprises Development Act, 2006 ("MSMED Act 2006"). Refer "Note No. 36.1" for ageing analysis of Capital Creditors.

*** Out of the above Liabilities towards Services,^ NIL (Prev Year^ NIL) are dues to the suppliers of Micro, Small and Medium Enterprises as defined under the Micro, Small and Medium Enterprises Development Act, 2006 ("MSMED Act 2006"). Refer "Note No. 36.2" for ageing analysis of Liabilities towards Services.

Sales of Product: Performance obligation in respect of sales of goods is satisfied, when the controls of goods is transferred to the customers, generally on delivery of the goods and payments is generally due as per the terms of contracts with the customers.

Sales of Services: Performance obligation in respect of sales of services, is satisfied over a period of time and the acceptance of the customers. In respect of these services, payment is generally due upon the completion of services and acceptance from the customers.

During the reporting period and previous reporting period, the Company does not have any remaining performance obligation as contracts entered for sales of goods and services are for a shorter duration of time.

(i) Financial Instruments measured at Fair Value through Other Comprehensive Income

The Company neither hold quoted or unquoted debentures or bonds nor holds quoted equity instruments, which are being measured at fair value through other comprehensive income (FVTOCI), so the requirement to report under the Ind AS - 109, "Fair Value" is not applicable to the Company for all the reporting periods presented in the financial statements.

(ii) Financial Instruments measured at Fair Value through Profit or Loss

The Company neither hold any unquoted equity shares (other than investments in associates and subsidiaries, which are being measured at amortized costs) nor holds quoted mutual funds, which are being measured at Fair Value through Profit and Loss (FVTPL), so the requirement to report under the Ind AS - 109, "Fair Value" is not applicable to the Company for all the reporting periods presented in the financial statements.

The Company has not any financial liabilities which are being measured at Fair Value through Profit or Loss (FVTPL), so the reporting under the Ind AS - 109, "Fair Value" is not applicable to the Company in respect of all reporting periods presented in financial statements.

(iii) Financial Instruments measured at Amortized Costs

The carrying amount of financial assets and financial liabilities measured at amortized costs in the financial statements are a reasonable approximation of the fair value since the Company does not anticipate that the carrying amounts would be significantly different from the values that would eventually be received or settled.

"NOTE NO.: 34B" - FINANCIAL RISK MANAGEMENT - OBJECTIVES AND POLICIES

The Company's principal financial assets mainly comprise of security deposits, cash and cash equivalents, other balances with banks, trade and other receivables that derive directly from its business operations. The Company's financial liabilities mainly comprise the borrowings in Indian currency, retention money, trade payables and other payables. The main purpose of these financial liabilities is to finance the Company's business operations and to provide guarantees to support its operations.

The Company is exposed to Market Risk, Credit Risk and Liquidity Risk from its financial instruments. The Board of Directors ("the Board") oversees the management of these financial risks. The risk management policy of the Company formulated by the Company's management and approved by the Board of Director's, which states the Company's approached to address uncertainties in its endeavor to achieve its stated and implicit objectives. It prescribes the roles and responsibilities and the Company's managements, the structure for managing the risk and the framework for risk management. The framework seeks to identify, assess and mitigate the financial risks in order to minimize potential adverse effects on the Company's financial performance. The Board has taken necessary actions to mitigate the risks identified on the basis the information and situation presents.

The following disclosures summarize the Company's exposure to financial risks and the information regarding the use of derivatives employed to manage the exposure to such risks. Quantitative sensitivity analysis has been provided to reflect the impact of reasonably possible changes in market rate on financial results, cash flows and financial positions of the Company.

1) Market Risk

Market risk is the risk that the fair value of future cash flows of financial instruments will fluctuate because of changes in the market prices. Market risk comprises three types of Risk: "Interest rate risk, Currency risk and Other price risk". Financial instruments affected by the market risk include loans and borrowings in domestic currency, deposits, retention money, trade and other payables and trade receivables.

a) Interest Rate Risk

Interest rate risk is the risk that the fair value or future cash outflows of financial instruments will fluctuate because of changes in the market interest rates. An upward movement in the interest rate would adversely affect the borrowing costs of the Company. The Company is exposed to long-term and short-term borrowings. The Company manages interest rate risk by monitoring its mix of fixed and floating rate instruments and taking actions as necessary to maintain an appropriate balance. The Company has not used any interest rate derivatives.

Foreign currency risk is the risk that the fair value or future cash outflows of an exposure will fluctuate due to changes in foreign exchange rates. The Company operates globally, and a portion of the business is transacted in several currencies and consequently the Company is exposed to foreign exchange risk through its sales in overseas and purchases from overseas suppliers in foreign currency. The foreign currency exchange rate exposure is partly balanced by purchasing of the goods in the respective currencies.

The above table represents the total exposure of the Company toward its foreign exchange denominated monetary items. Out of the above mentioned, the details of exposures hedged using forward exchange contracts are given in "Note No. 47A". The Company has not hedged its foreign currency exposure during the reporting period and previous reporting period. The details of unhedged exposures are given as part of "Note No. 47B".

The Company is mainly exposed to changes in USD ($) and EURO (€). The below table demonstrated the sensitivity to a 5% increase or decrease in USD ($) against INR and EURO (€) against INR, considering with all other variable remains constant. The sensitivity analysis is prepared on the net unhedged exposure of the Company as at the reporting period and previous reporting period. 5% represents the management's assessment of reasonably change in foreign exchange rate.

Other price risk is the risk that the fair value of a financial instruments will fluctuate due to changes in market traded price. Other price risk arises from financial assets such as investments in quoted equity instruments. The Company is exposed to price risk arising mainly from investments in quoted equity instruments recognized at FVTOCI, if any. As at March 31, 2025, the carrying value of such quoted equity instruments recognized at amounts FVTOCI amounts to ^NIL(March 31, 2024 ^ NIL).

2) Credit Risk

Credit Risk refers to the risk that the counterparty will default on its contractual obligations resulting in financial losses to the Company. Credit risk arises primarily from financial assets such as trade receivables, other balances with banks and other financial assets with the Company.

The Company has adopted a policy of only dealing with counter parties that have sufficiently high credit ratings. The Company's exposure and credit ratings of its counterparties are continuously monitor and the aggregate value of transactions is reasonably spread amongst the counterparties.

Credit risk arising from term deposits and other balances with banks is limited and there is no collateral held against these because the counterparties are banks and recognized financial institutions with high credit rating assigned by the international credit rating agencies.

The average credit period on sale of products ranges from 15 to 30 days. Credit risk arising from trade receivable is managed in accordance with the Company's established policy, procedures and control relating to customer credit risk management. The credit quality of a customer is assessed based on detailed study of creditworthiness and accordingly individual credit limits are defined / modified. The concentration on credit risk is limited due to the fact that, the customer base is large. There are very few of the customers, which represents more than 10% of its total balance of trade receivable. For trade receivables, as a practical expedient, the Company computes credit loss allowance based on provision matrix. The provision matrix is prepared on historically observed default rate over the expected life of trade receivable and is adjusted for forward-looking estimates. The provision matrix at the end of reporting period as follows:

3) Liquidity Risk

Liquidity risk is the risk that the Company will encounter difficulty in raising the funds to meet the commitments associated with financial instruments that are settled by delivering cash or another financial asset. Liquidity risk may result from an inability to sell a financial asset quickly at close to its fair value.

The Company has an established liquidity risk managements framework for managing its short-term, medium-term and longterm funding and liquidity management requirements. The Company's exposure to liquidity risk arises primarily from mismatches of maturities of financial assets and liabilities. The Company manages the liquidity risk by maintaining adequate funds in the cash and cash equivalents. The Company also has adequate credit facilities agreed with banks to ensure that there is sufficient cash to meet all its normal operating commitments in a timely and cost-effective manner.

The Company believes that its liquidity positions {As at March 31, 2025 ^154.76 Lakhs (Prev Year ^191.89 Lakhs)}, anticipated future internally generated funds from operations, and its fully available revolving undrawn credit facilities will enable it to meet its future known obligations in the ordinary course of business. However, if liquidity needs were to arise, the Company believes it has access to financing arrangements, value of unencumbered assets, which should enable it to meet its ongoing capital, and other liquidity requirements.

The liquidity position of the Company mentioned above, includes:

i) Cash and Cash Equivalents as disclosed in the Cash Flows Statements

ii) Current / non-current term deposits as disclosed in the other financial assets

The Company's liquidity management process as monitored by the management, includes:

i) Day-to-day funding, managed by monitoring future cash flows to ensure that requirements can be met.

ii) Maintaining rolling forecasts of the Company's liquidity position on the basis of expected cash flows.

iii) Maintaining diversified credit lines.

The below table analysis shows the financial liabilities of the Company in the relevant maturity grouping based on the remaining period from the reporting date to the contractual maturity date. The amounts disclosed in the table are the contractual undiscounted cash flows:

"NOTES: 34C" - CAPITAL MANAGEMENT

The Company adheres to a robust Capital Management framework which is underpinned by the following guiding principles.

a) Maintain the financial strength to ensure BBB stable ratings domestically and investment grade ratings internationally.

b) Ensure financial flexibility and diversify the source of financing and their maturities to minimize liquidity risk while meeting its investment requirements.

c) Ensure sufficient liquidity is available (either through cash and cash equivalents, investments or committed credit facilities) to meet the needs of businesses.

d) Minimize the finance costs while taking into consideration current and future industry, market and economic risks and conditions.

e) Safeguard its ability to continue as going as a going concern.

f) Leverage optimally in order to maximize shareholder returns while maintaining strength and flexibility of the Balance Sheet.

This framework is adjusted based on underlying macro-economic factors affecting the business environment, financial market conditions and interest rates environment.

The Board of Directors of the Company has primary responsibilities to maintain a strong capital base and reduce the cost of capital through a prudent management of deployed fund and leveraging in domestic and international financial market, so as to maintain investors, creditors and market confidence and to sustain future development of the business.

For the purpose of the Company's capital management, capital includes issued equity capital and all other equity reserves attributable to the equity shareholders of the Company. The primary objective of the Company when managing capital is to safeguard its ability to continue as a going concern and to maintain an optimal capital structure so as to maximize shareholder value.

As at March 31, 2025 and March 31, 2024, the Company has only one class of equity shares and has low debts. Consequent to such capital structure, there are no externally imposed capital requirements. In order to maintain or achieve an optimal capital structure, the Company allocates its capital for distribution as dividends or reinvestments into business based on its long-term financial plans.

The Company manages its capital on the basis of the Net Debt to Equity Ratio which is Net Debt (Total Borrowings Net of Cash and Cash Equivalents) divided by total equity.

a) The reversal of deferred tax assets (net) on the tax base of land has impacted the Profit After Tax (PAT) for the current reporting period, which in turn has adversely affected the Company's Return on Equity (ROE) as compared to the previous reporting period.

b) Improved repayment of external liabilities, including trade creditors, has positively impacted and enhanced the Trade Payables Turnover Ratio during the reporting period.

c) The reversal of deferred tax assets (net) on the tax base of land has impacted the Profit After Tax (PAT) for the current reporting period, which in turn has adversely affected the Company's Net Profit Ratio as compared to the previous reporting period.

NOTE: 38 EMPLOYEE BENEFITS

1. Post-Employment Benefits

(i) Defined Benefit Gratuity Plans

The Company has defined benefit gratuity plans for its employees, which requires the contribution to be made to a separately administered fund. It is governed by the Payment of Gratuity Act, 1972. Under these Act, an employee who has completed five years of services are only entitled to the specific benefits. The level of benefits provided depend on the member's length of service and salary at their retirement age.

(ii) Defined Benefit Pension Plan (Unfunded)

The Company operates a defined benefits pension plan for certain specified employees and is payable upon the employee satisfying the certain terms and conditions attached to them, as approved by the Board of Directors of the Company.

(iv) Defined Benefit Post-Retirement Medical Benefit Plans (Unfunded)

The Company operates a defined benefits post-retirement medical benefit plan for certain specified employees and is payable upon the employee satisfying the certain terms and conditions attached to them, as approved by the Board of Directors of the Company.

The most recent actuarial valuation of the plan assets and the present value of defined benefits obligation were carried out as at March 31, 2025, by KP Actuaries and Consultants, Fellow of Institute of Actuaries of India. The present value of defined benefits obligation and the related current service cost were measured by using the "Project Unit Credit Method".

The following tables summarize the components of defined benefit expenses recognized in the Statement of Profit and Loss / Other Comprehensive Income and amount recognized in the Balance Sheet for the respective plans:

The estimate of rate of escalation in salary considered in Actuarial Valuation, taken into the account inflation, seniority, promotions and other relevant factors including supply and demand in the employment market. Attrition rate indicated above represents the Company's best estimate of employee turnover (other than on account of retirement, death or disbursement) determined considering various factors such as nature of business, retention policy, industry factors, past experiences etc. The above information is certified by the Actuary.

j) Sensitivity Analysis

Significant Actuarial Assumptions for the determination of the defined benefit obligation are discount rate and expected salary increase rate. Effect of change in mortality rate is negligible. Please note that the sensitivity analysis presented below may not be representative of the actual change in the defined benefit obligation as it is unlikely that the change in assumption would occur in isolation of one another as some of the assumptions may be correlated. The results of sensitivity analysis are given below:

2. Defined Contribution Plans (i) Provident Fund

The provident fund assets and liabilities are managed by the Company in line with the Employee's Provident Fund and Miscellaneous Provision Act, 1952.

The plan guarantees minimum interest rate at the rate as may be notified by the Provident Fund Authorities. The contribution by the employer and employee together with interest accumulated thereon payable to employees at the time of separation from the Company or retirement, whichever is earlier. The benefits vest immediately on rendering of the service by the employee. In term of Guidance Note issued by the Institute of Actuaries of India for measurement of provident fund liabilities, the Actuary has provided a valuation of provident fund liabilities and based on assumptions provided. There is no shortfall in the contribution as at March 31, 2025, and March 31, 2024.

The detail of contributions made by the Company to the respective fund are given as below:

3. Other Long-Term Employee Benefits

The expenses towards compensated absence (annual leave and sick leave) for the period ended March 31,2025 based on Actuarial Valuation carried out by using the "Project Unit Credit Method "is ^27.62 Lakhs (Prev Year ^27.80 Lakhs).

NOTE: 39 INFORMATION ON RELATED PARTY TRANSACTIONS AS REQUIRED BYIND AS - 24 - "RELATED PARTY DISCLOSURE" FOR THE YEAR ENDED MARCH 31, 2025.

Related parties as defined under clause 9 of the Ind AS - 24, "Related Party Disclosure" have been identified on the basis of written representations made by the Company's management and information available with the Company. The Company's material related party transactions and outstanding balances with whom the Company had entered into the transactions in the ordinary course of Business are as follows:

Terms and Conditions of the transactions with Related Parties are as under:

a) The Company has been entering into transactions with related parties for its business purposes. The process followed for entering into transactions with these related parties is same as followed for unrelated parties. Vendors are selected competitively having regard to strict adherence to quality, timely servicing and cost advantage. Further related party vendors provide additional advantage in terms of:

i) Supplying products primarily to the Company.

ii) Advanced and innovative technologies.

iii) Customization of products to suit the Company's specific performance.

iv) Enhancement of the Company's purchase cycle and assurance of just-in-time supply with resultants benefits - notably on working capital.

b) The purchases from and sales to related parties are made on terms equivalent to and those applicable to all

NOTE: 40 ADDITIONAL REGULATORY INFORMATION AS REQUIRED BY THE SCHEDULE - III OF THE COMPANIES ACT-2013"

i) The Company has used the borrowings from banks and financial institutions for the specific purpose for which it was taken as at the balance sheet date. The Company has not defaulted in the repayment of principal and interest thereon on all the loans obtained from banks and financial institutions during the reporting period and previous reporting period.

ii) The title deed in respect of self-constructed building and title deeds of all other immovable properties (other than properties where the Company is the lessee and the lease agreements are duly executed in the favor of the Company), disclosed in the financial statements and included under the head of property, plants and equipments are held in the name of the Company as at the balance sheet date. In respect of the immovable properties taken on lease by the Company, the lease agreements are duly executed in the favor of the Company as at the Balance Sheet date.

iii) There are no loans and advances in the nature of loans are granted to promoters, directors, key managerial parties and the other related parties including the subsidiaries, associates and joint ventures (as defined under the Companies Act, 2013), either severally or jointly with any other person that are:

a) repayable on demand or;

b) without specifying any terms or period of repayments.

iv) The Company does not have benami property held in its name. No proceeding have been initiated on or are pending against the Company for holding benami property under the Benami T ransactions (Prohibition) Act, 1988 (45 of 1988) and the relevant Rules made thereunder.

v) The Company has been sanctioned working capital limit from bank and financial institutions on the basis of security of current assets. The monthly / quarterly returns and the statements filed by the Company with such banks and financial institutions are in agreements with the books of accounts of the Company.

vi) The Company has not been declared as a willful defaulter by the banks and the financial institutions or other lender or government or any government authorities.

vii) The Company has not entered into any transactions with the companies struck off as per section 248 of the Companies Act, 2013 or Section 560 of the Companies Act, 2013, hence the details related to the same have not been furnished.

viii) The Company does not have any charges or satisfaction of charges which is yet to be registered with the Registrar of Company beyond the statutory period.

ix) The Company has neither subsidiaries nor associates and nor joint ventures, hence the requirements with respect to the number of layers as prescribed under section 2(87) of the Companies Act, 2013 read with the Companies (Restriction on number of layers) Rules, 2017 is not applicable in case of the Company.

x) Utilization of borrowed funds and share premium

1) The Company has not advanced or loaned or invested funds to any other persons or entities, including foreign entities (intermediaries) with the understanding that the intermediaries shall:

a) Directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Company (Ultimate Beneficiaries) or;

b) Provide any guarantee, security or the like to or on behalf of the Ultimate beneficiaries.

2) The Company has not received any funds from persons or entities, including foreign entities (Funding Parties) with the understanding (whether recorded in writing or otherwise) that the Company shall:

3)

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 to or on behalf of the Ultimate beneficiaries.

xi) There have been no transactions relating to previously unrecorded income that have been surrendered or disclosed as income during the reporting period and previous reporting period in the tax assessments under the Income Tax Act, 1961.

xii) The Company has neither traded nor invested nor advanced in Crypto or Virtual Currency during the reporting period and previous reporting period.

As per Section 135 of the Companies Act, 2013, a company that meets the prescribed thresholds is required to spend at least 2% of its average net profits of the immediately preceding three financial years on Corporate Social Responsibility (CSR) activities. The areas of CSR activities, as specified under Schedule VII of the Act, include eradication of hunger and malnutrition, promoting education, healthcare, art and culture, destitute care and rehabilitation, environmental sustainability, disaster relief, and rural development projects. In compliance with the provisions of the Act, a CSR Committee has been duly constituted. The Committee is responsible for administering the allocated funds, which are transferred to a dedicated corpus for undertaking CSR activities in accordance with the prescribed guidelines.

a) In accordance with Section 135 of the Companies Act, 2013, read with Schedule VII thereof, the amount required to be spent on CSR activities during the reporting period ended March 31, 2025, is ^ NIL (Previous Year: ^ 22.67 lakhs).

b) During the reporting period ended March 31, 2025, the Company has incurred an expenditure of ^ 2.00 lakhs towards CSR activities. This amount does not pertain to any commitments carried forward from the previous reporting period (Previous Year ended March 31, 2024: ^ 37.28 lakhs). The expenditure during the current year was made voluntarily by the Company.

c) Out of the total CSR expenditure of ^ 2.00 lakhs during the current reporting period (Previous Year: ^ 2.70 lakhs), the amount was contributed to a related party. For further details, refer to "Note No. 39 - Related Party Transactions". The Company has made a commitment of ^ NIL (Previous Year: ^ NIL) towards Corporate Social Responsibility (CSR) spending to meet the requirement of spending at least 2% of the average net profit of the Company for the three immediately preceding financial years.

The Board of Directors of the Company did not declared any interim dividend during the current or previous reporting period. However, at its meeting held on May 28, 2024, the Board of Directors proposed a final dividend of ^1.00 (One Rupee Only) per equity shares of the face value of ^10 each for the financial period ended March 31, 2024. The proposal was approved by the shareholders at the Annual General Meeting (AGM) held on September 28, 2024. The total cash outflow on account of the dividend amounted to ^29.32 Lakhs.

Proposed Dividend

The Board of Directors, at their meeting held on May 30, 2025, recommended a final dividend of ^1.00 per equity share of face value ^10 each (i.e., 10% of the face value) for the financial year ended March 31, 2025. The total amount of proposed dividend is ^29.32 lakhs, which is subject to the approval of shareholders at the ensuing Annual General Meeting (AGM) of the Company. Accordingly, the proposed dividend has not been recognized as a liability in the financial statements for the year ended March 31, 2025, in accordance with applicable Indian Accounting Standards.

NOTE: 45 SEGMENT REPORTING

During the current and previous reporting periods, the Company operated in a single business segment, namely, Manufacturing and Trading of Yarn. Accordingly, the disclosure requirements under Indian Accounting Standard (Ind AS) 108 - "Operating Segments" are not applicable to the Company.

NOTE: 46 CONSOLIDATED FINANCIAL STATEMENTS

During the current and previous reporting periods, the Company had no subsidiaries, associates, or joint ventures. Accordingly, the requirements of Indian Accounting Standard (Ind AS) 110 - "Consolidated Financial Statements" are not applicable to the Company.

NOTE: 47 DETAILS OF HEDGED AND UNHEDGED EXPOSURES IN FOREIGN CURRENCY DENOMINATED MONETARY ITEMS

A. Exposure in Foreign Currency - Hedged

The Company has not entered into any forward exchange contracts to hedge its foreign currency exposures related to underlying transactions and firm commitments during the current and previous reporting periods. Further, the Company has not undertaken any transactions in derivative instruments for trading or speculative purposes during these periods.

B. Exposure in Foreign Currency - Unhedged

The foreign currency exposures which are not hedged, during the reporting period and previous reporting period are as under:

NOTE: 48 The Code of Social Security, 2020 (the "Code") relating to employee benefits during employment and post -employment benefits have received the Presidential assent on September 28, 2020. The Code has been published in the Official Gazette of India. However, the date on which the Code will come into effect has not been notified and the final rules / interpretation have not yet been issued. The Company will assess the impact of the Code when it comes into effect and will record any related impact in the period the Code becomes effective. Based on the preliminary assessment, the entity believes the impact of such changes will not be significant.

NOTE: 50 The Financial Statements are approved for issue by the Audit Committee at its meeting held on May 30, 2025, and by the Board of Directors on their meeting held on May 30, 2025.

NOTE: 51 Previous years audited figures has been regrouped / recasted / rearranged, wherever necessary to make them comparable for the purpose of preparation and presentation of the Financial Statements.

SIGNATURE TO THE NOTE "1" TO NOTE "50"

MATERIAL ACCOUNTING POLICIES 1

THE ACCOMPANYING NOTES ARE FORMING INTEGRAL PART OF THE FINANCIAL STATEMENTS