h) Provisions (other than for employee benefits)

A provision is recognised if, as a result of a past event, the
Company has a present legal or constructive obligation that
can be estimated reliably, and it is probable that an outflow
of economic benefits will be required to settle the obligation.
Provisions are determined by discounting the expected
future cash flows (representing the best estimate of the
expenditure required to settle the present obligation at the
balance sheet date) at a pre-tax rate that reflects current
market assessments of the time value of money and the
risks specific to the liability. The unwinding of the discount
is recognised as finance cost. Expected future losses are
not provided for.

i) Contingent liabilities and contingent assets

A contingent liability exists when there is a possible but
not probable obligation, or a present obligation that may,
but probably will not, require an outflow of resources, or
a present obligation whose amount cannot be estimated
reliably. Contingent liabilities do not warrant provisions,
but are disclosed unless the possibility of outflow of
resources is remote.

Contingent assets usually arise from unplanned or other
unexpected events that give rise to the possibility of an
inflow of economic benefits to the entity. Contingent assets
are recognized when the realisation of income is virtually
certain, then the related asset is not a contingent asset and
its recognition is appropriate.

A contingent asset is disclosed where an inflow of economic
benefits is probable.

j) Commitments

Commitments include the amount of purchase order (net
of advances) issued to parties for completion of assets.
Provisions, contingent liabilities, contingent assets and
commitments are reviewed at each reporting date.

k) Revenue

Revenue from contract with customers

Under Ind AS 115, the Company recognized revenue when
(or as) a performance obligation was satisfied, i.e. when
'control' of the goods underlying the particular performance
obligation were transferred to the customer.

Further, revenue from sale of goods is recognized based on a
5-Step Methodology which is as follows:

Step 1: Identify the contract(s) with a customer

Step 2: Identify the performance obligation in contract

Step 3: Determine the transaction price

Step 4: Allocate the transaction price to the performance
obligations in the contract

Step 5: Recognise revenue when (or as) the entity satisfies a

performance obligation

Deferred revenue is recognised when there is billings in

excess of revenues.

The Company disaggregates revenue from contracts with

customers by geography.

Use of significant judgements in revenue recognition

- The Company's contracts with customers could include
promises to transfer multiple products and services
to a customer. The Company assesses the products /
services promised in a contract and identifies distinct
performance obligations in the contract. Identification
of distinct performance obligation involves judgement
to determine the deliverables and the ability
of the customer to benefit independently from
such deliverables.

- Judgement is also required to determine the
transaction price for the contract. The transaction
price could be either a fixed amount of customer
consideration or variable consideration with elements
such as cash discount, trade discount, and rebate.
The transaction price is also adjusted for the effects
of the time value of money if the contract includes a
significant financing component. Any consideration
payable to the customer is adjusted to the transaction
price, unless it is a payment for a distinct product or
service from the customer. The estimated amount of
variable consideration is adjusted in the transaction
price only to the extent that it is highly probable that
a significant reversal in the amount of cumulative
revenue recognised will not occur and is reassessed
at the end of each reporting period. The Company
allocates the elements of variable considerations to
all the performance obligations of the contract unless
there is observable evidence that they pertain to one or
more distinct performance obligations.

- The Company uses judgement to determine an
appropriate standalone selling price for a performance
obligation. The Company allocates the transaction
price to each performance obligation on the basis of
the relative standalone selling price of each distinct
product or service promised in the contract.

- The Company exercises judgement in determining
whether the performance obligation is satisfied at a
point in time or over a period of time. The Company
considers indicators such as how customer consumes
benefits as services are rendered or who controls the
asset as it is being created or existence of enforceable
right to payment for performance to date and alternate
use of such product or service, transfer of significant

risks and rewards to the customer, acceptance of
delivery by the customer, etc.

- Revenue for fixed-price contract is recognised using
percentage-of-completion method. The Company uses
judgement to estimate the future cost-to-completion of
the contracts which is used to determine the degree of
completion of the performance obligation.

- Contract fulfilment costs are generally expensed as
incurred except for certain expenses which meet the
criteria for capitalisation. Such costs are amortised over
the contractual period. The assessment of this criteria
requires the application of judgement, in particular when
considering if costs generate or enhance resources to
be used to satisfy future performance obligations and
whether costs are expected to be recovered.

Rental income

Rental income from investment property is recognised as
part of other income in profit or loss on a straight-line basis
over the term of the lease. Lease incentives granted are
recognised as an integral part of the total rental income, over
the term of the lease.

Government grants

Government grants are recognised initially as deferred
income at fair value when there is reasonable assurance that
they will be received and the Company will comply with the
conditions associated with the grant; they are then recognised
in profit or loss as other income on a systematic basis.

Government grants related to capital assets is recognised on
a straight line basis over the useful life of the related assets.
Grants that compensate the Company for expenses incurred
are recognised in profit or loss on a systematic basis in the
periods in which such expenses are recognised.

Export benefits and sales tax incentives

Export benefits and sales tax incentives under various
schemes notified by the government are recognised on
accrual basis when no significant uncertainties as to the
amount of consideration that would be derived and as to its
ultimate collection exist.

) Recognition of interest income or expense

Interest income or expense is recognised using the effective
interest method.

The 'effective interest rate' is the rate that exactly discounts
the estimated future cash payments or receipts through the
expected life of the financial instrument to:

a. the gross carrying amount of the financial asset; or

b. the amortised cost of the financial liability.

In calculating interest income and expense, the effective
interest rate is applied to the gross carrying amount of
the asset (when the asset is not credit-impaired) or to the
amortised cost of the liability. However, for financial assets
that have become credit-impaired subsequent to initial
recognition, interest income is calculated by applying the
effective interest rate to the amortised cost of the financial
asset. If the asset is no longer credit-impaired, then the
calculation of interest income reverts to the gross basis.

m) Borrowing costs

Borrowing costs are interest and other costs (including
exchange differences arising from foreign currency
borrowings to the extent that they are regarded as an
adjustment to interest costs) incurred by the Company in
connection with the borrowing of funds. Borrowing costs
directly attributable to acquisition or construction of an
asset which necessarily take a substantial period of time to
get ready for their intended use are capitalized as a part of
cost of the asset. Other borrowing costs are recognised as an
expense in the period in which they are incurred.

n) Income taxes

Income tax comprises current and deferred tax. It is recognised
in Statement of Profit and Loss except to the extent that it
relates to a business combination or an item recognised
directly in equity or in other comprehensive income.

Current tax

Current tax comprises the expected tax payable or receivable
on the taxable income or loss for the year and any adjustment
to the tax payable or receivable in respect of previous years.
The amount of current tax reflects the best estimate of the
tax amount expected to be paid or received after considering
the uncertainty, if any, related to income taxes. It is measured
using tax rates (and tax laws) enacted or substantively
enacted by the reporting date.

Current tax assets and current tax liabilities are offset only if
there is a legally enforceable right to set off the recognised
amounts, and it is intended to realise the asset and settle the
liability on a net basis or simultaneously.

Deferred tax

Deferred tax is recognised in respect of temporary differences
between the carrying amounts of the assets and liabilities for
financial reporting purposes and the corresponding amounts
used for taxation purposes. Deferred tax is also recognised in
respect of carried forward tax losses (if any) and tax credits.

Deferred tax assets are recognised to the extent that it is
probable that future profits will be available against which
they can be used. Deferred tax assets are reviewed at
each reporting date and are recognised to the extent that
it is probable that the related tax benefits will be realized.

Deferred tax is measured at the tax rates that are expected to
apply to the period when the asset is realized or the liability
is settled, based on the laws that have been enacted or
substantively enacted by the reporting date.

The measurement of deferred tax reflects the tax
consequences that would follow from the manner in which
the Company expects, at the reporting date, to recover
or settle the carrying amount of its assets and liabilities.
For operations under tax holiday scheme, deferred tax
assets or liabilities, if any, have been established for the tax
consequences of those temporary differences between the
carrying value of assets and liabilities and their respective
tax bases that reverse after the tax holiday ends.

Minimum Alternative tax

Minimum Alternative tax ('MAT') under the provisions of
Income-tax Act,1961 is recognised as current tax in profit or
loss. The credit available under the Act in respect of MAT paid
is adjusted from deferred tax liability only when and to the
extent there is convincing evidence that the company will
pay normal income tax during the period for which the MAT
credit can be carried forward for set-off against the normal
tax liability. MAT credit recognised adjusted from deferred
tax liability is reviewed at each balance sheet date and
written down to the extent the aforesaid convincing evidence
no longer exists.

The Company has opted for the new tax regime u/s 115BAA
w.e.f. April 1, 2022. Hence, provisions of Minimum Alternative
tax (MAT) are not applicable to the Company.

o) Leases

Leases under Ind AS 116

At inception of a contract, the Company assesses whether
a contract is, or contains, a lease. A contract is, or contains,
a lease if the contract conveys the right to control the
use of an identified asset for a period of time in exchange
for consideration.

i. As lessee

The Company's lease asset classes primarily consist
of leases for buildings. The Company, at the inception
of a contract, assesses whether the contract is a lease
or not. A contract is, or contains, a lease if the contract
conveys the right to control the use of an identified
asset for a time in exchange for a consideration.

The Company elected to use the following practical
expedients on initial application:

1. Applied a single discount rate to a portfolio of
leases of similar assets in similar economic
environment with a similar end date.

2. Applied the exemption not to recognize right-of-
use assets and liabilities for short term leases and
leases where underlying asset is of low value.

3. Excluded the initial direct costs from the
measurement of the right-of-use asset at the date
of initial application.

4. Applied the practical expedient to grandfather
the assessment of which transactions are
leases. Accordingly, Ind AS 116 is applied only
to contracts that were previously identified as
leases under Ind AS 17.

The Company recognises a right-of-use asset and
a lease liability at the lease commencement date.
The right-of-use asset is initially measured at cost,
which comprises the initial amount of the lease
liability adjusted for any lease payments made at or
before the commencement date, plus any initial direct
costs incurred and an estimate of costs to dismantle
and remove the underlying asset or to restore the
underlying asset or the site on which it is located, less
any lease incentives received.

The right-of-use assets is subsequently measured at
cost less any accumulated depreciation, accumulated
impairment losses, if any and adjusted for any
remeasurement of the lease liability. The right-of-use
assets is depreciated using the straight-line method
from the commencement date over the shorter of lease
term or useful life of right-of-use asset. The estimated
useful lives of right-of-use assets are determined on the
same basis as those of property, plant and equipment.
Right-of-use assets are tested for impairment
whenever there is any indication that their carrying
amounts may not be recoverable. Impairment loss, if
any, is recognised in the statement of profit and loss.

The lease liability is initially measured at the present
value of the lease payments that are not paid at the
commencement date, discounted using the Company's
incremental borrowing rate. The lease liability is
subsequently remeasured by increasing the carrying
amount to reflect interest on the lease liability,
reducing the carrying amount to reflect the lease
payments made and remeasuring the carrying amount
to reflect any reassessment or lease modifications or
to reflect revised in-substance fixed lease payments.
The company recognises the amount of the re¬
measurement of lease liability due to modification as
an adjustment to the right-of-use asset and statement
of profit and loss depending upon the nature of
modification. Where the carrying amount of the right-

of-use asset is reduced to zero and there is a further
reduction in the measurement of the tease Liability, the
Company recognises any remaining amount of the re¬
measurement in statement of profit and loss.

The Company has elected not to recognise right-of-
use assets and lease liabilities for short-term leases
and leases for which the underlying asset is of low
value. The Company recognises the lease payments
associated with these leases as an expense in the
Statement of Profit or Loss over the lease term.

ii) As lessor

At the inception of the lease the Company classifies
each of its leases as either an operating lease or a
finance lease. The Company recognises lease payments
received under operating leases as income on a straight¬
line basis over the lease term. In case of a finance lease,
finance income is recognised over the lease term based
on a pattern reflecting a constant periodic rate of return
on the lessor's net investment in the lease. When the
Company is an intermediate lessor it accounts for its
interests in the head lease and the sub-lease separately.
It assesses the lease classification of a sub-lease with
reference to the right-of-use asset arising from the head
lease, not with reference to the underlying asset. If a
head lease is a short term lease to which the Company
applies the exemption described above, then it classifies
the sub-lease as an operating lease.

If an arrangement contains lease and non-lease
components, the Company applies Ind AS 115 Revenue
to allocate the consideration in the contract.

p) 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.

Financial assets

Initial recognition and measurement

All financial assets are recognised initially at fair value plus,
in the case of financial assets not recorded at fair value
through profit or loss, transaction costs that are attributable
to the acquisition of the financial asset. Purchases or sales of
financial assets that require delivery of assets within a time
frame established by regulation or convention in the market
place (regular way trades) are recognised on the trade date,
i.e., the date that the Company commits to purchase or
sell the asset.

Subsequent measurement

For purposes of subsequent measurement, financial assets
are classified in four categories:

• Debt instruments at amortised cost

• Debt instruments at fair value through other
comprehensive income (FVOCI)

• Debt instruments, derivatives and equity instruments
at fair value through profit or loss (FVPL)

• Equity instruments measured at fair value through
other comprehensive income (FVOCI)

Debt instruments at amortised cost

A 'debt instrument' is measured at the amortised cost if
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. The effective interest
rate is the rate that exactly discounts estimated future
cash payments or receipts through the expected life of the
financial instrument to the gross carrying amount of the
financial asset or the amortised cost of the financial liability.
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
other income in the Statement of Profit and Loss. The losses
arising from impairment are recognised in the Statement of
Profit and Loss.

Debt instrument at FVOCI

A 'debt instrument' is classified as at the FVOCI if the objective
of the business model is achieved both by collecting
contractual cash flows and selling the financial assets, and
the asset's contractual cash flows represent SPPI.

Debt instruments included within the FVOCI category are
measured initially as well as at each reporting date at fair
value. Fair value movements are recognised in the other
comprehensive income (OCI). On derecognition of the
asset, cumulative gain or loss previously recognised in OCI
is reclassified to the Statement of Profit and Loss. Interest
earned whilst holding FVTOCI debt instrument is reported as
interest income using the EIR method.

Debt instrument at FVPL

FVPL is a residual category for debt instruments. Any
debt instrument, which does not meet the criteria for
categorization as at amortised cost or as FVOCI, is classified
as at FVPL. In addition, at initial recognition, the Company
may irrevocably elect to designate a debt instrument, which
otherwise meets amortised cost or FVOCI criteria, as at FVPL.
However, such adoption is allowed only if doing so reduces
or eliminates a measurement or recognition inconsistency
(referred to as 'accounting mismatch').

Debt instruments included within the FVPL category are
measured at fair value with all changes recognised in the
Statement of Profit and Loss.

Equity investments

All equity investments in scope of Ind AS 109 are measured
at fair value. Equity instruments which are held for trading
and contingent consideration recognised by an acquirer
in a business combination to which Ind AS 103 applies are
classified as at FVPL. For all other equity instruments, the
Company may make an irrevocable adoption to present in
other comprehensive income subsequent changes in the fair
value. The Company makes such adoption on an instrument-
by-instrument basis. The classification is made on initial
recognition and is irrevocable.

If the Company decides to classify an equity instrument
as at FVOCI, then all fair value changes on the instrument,
excluding dividends, are recognised in the OCI. There is no
recycling of the amounts from OCI to the Statement of Profit
and Loss, even on sale of investment. However, the Company
may transfer the cumulative gain or loss to retained earnings.

Equity instruments included within the FVPL category are
measured at fair value with all changes recognised in the
Statement of Profit and Loss.

Impairment of Financial assets

The Company recognises loss allowances for expected credit
loss on financial assets measured at amortised cost. At each
reporting date, the Company assesses whether financial
assets carried at amortised cost are credit- impaired. A
financial asset is 'credit-impaired' when one or more events
that have detrimental impact on the estimated future cash
flows of the financial assets have occurred.

Evidence that the financial asset is credit-impaired includes
the following observable data:

- significant financial difficulty of the borrower or issuer;

- the breach of contract such as a default or being past
due for 90 days or more;

- the restructuring of a loan or advance by the
Company on terms that the Company would not
consider otherwise;

- it is probable that the borrower will enter bankruptcy or
other financial re-organisation; or

- the disappearance of active market for a security
because of financial difficulties.

The Company measures loss allowances at an amount equal
to lifetime expected credit losses, except for the following,
which are measured as 12 month expected credit losses:

- Bank balances for which credit risk (i.e. the risk of
default occurring over the expected life of the financial
instrument) has not increased significantly since
initial recognition.

Loss allowances for trade receivables are always measured
at an amount equal to lifetime expected credit losses. Lifetime
expected credit losses are the expected credit losses that
result from all possible default events over the expected life
of a financial instrument.

12-month expected credit losses are the portion of expected
credit losses that result from default events that are possible
within 12 months after the reporting date (or a shorter period
if the expected life of the instrument is less than 12 months).
In all cases, the maximum period considered when estimating
expected credit losses is the maximum contractual period
over which the Company is exposed to credit risk.

When determining whether the credit risk of a financial asset
has increased significantly since initial recognition and when
estimating expected credit losses, the Company considers
reasonable and supportable information that is relevant and
available without undue cost or effort. This includes both
quantitative and qualitative information and analysis, based
on the Company's historical experience and informed credit
assessment and including forward-looking information.

Measurement of expected credit losses

Expected credit losses are a probability-weighted estimate
of credit losses. Credit losses are measured as the present
value of all cash shortfalls (i.e. difference between the cash
flow due to the Group in accordance with the contract and
the cash flow that the Company expects to receive).

Presentation of allowance for expected credit losses in
the balance sheet

Loss allowance for financial assets measured at the
amortised cost is deducted from the gross carrying
amount of the assets.

Write-off

The gross carrying amount of a financial asset is written
off (either partially or in full) to the extent that there is no
realistic prospect of recovery. This is generally the case
when the Company determines that the trade receivables
do not have assets or sources of income that could generate
sufficient cash flows to repay the amount subject to the
write-off. However, financial assets that are written off could
still be subject to enforcement activities in order to comply
with the Company's procedure for recovery of amounts due.

Derecognition of financial assets

A financial asset (or, where applicable, a part of a financial
asset or part of a group of similar financial assets) is

primarily derecognized (i.e., removed from the Company's
balance sheet) when:

- The rights to receive cash flows from the asset
have expired, or

- The Company has transferred its rights to receive cash
flows from the asset or has assumed an obligation to pay
the received cash flows in full without material delay to
a third party under a 'pass-through' arrangement; and
either (a) the Company has transferred substantially all
the risks and rewards of the asset, or (b) the Company
has neither transferred nor retained substantially all
the risks and rewards of the asset, but has transferred
control of the asset.

When the Company has transferred its rights to receive
cash flows from an asset or has entered into a pass-through
arrangement, it evaluates if and to what extent it has retained
the risks and rewards of ownership. When it has neither
transferred nor retained substantially all of the risks and
rewards of the asset, nor transferred control of the asset, the
Company continues to recognise the transferred asset to the
extent of the Company's continuing involvement. In that case,
the Company also recognises an associated liability. The
transferred asset and the associated liability are measured
on a basis that reflects the rights and obligations that the
Company has retained.

Financial liabilities

Financial liabilities are classified as measured at amortised
cost or FVPL. A financial liability is classified as at FVPL if
it is classified as held-for-trading, or it is a derivative or it is
designated as such on initial recognition. Financial liabilities
at FVPL are measured at fair value and net gains and losses,
including any interest expense, are recognised in Statement
of Profit and Loss. Other financial liabilities are subsequently
measured at amortised cost using the effective interest
method. Interest expense and foreign exchange gains and
losses are recognised in Statement of Profit and Loss. Any
gain or loss on derecognition is also recognised in Statement
of Profit and Loss.

Derecognition of financial liabilities

A financial liability is derecognised 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 derecognition 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.

Derivative financial instruments

The Company uses various types of derivative financial
instruments to hedge its currency and interest risk etc. Such

derivative financial instruments are initially recognised at fair
value on the date on which a derivative contract is entered into
and are subsequently re-measured at fair value. Derivatives
are carried as financial assets when the fair value is positive
and as financial liabilities when the fair value is negative.

Offsetting

Financial assets and financial liabilities are offset and the
net amount presented in the Balance Sheet when, and only
when, the Company currently has a legally enforceable right
to set off the amounts and it intends either to settle them
on a net basis or to realise the asset and settle the liability
simultaneously.

q) Impairment of non-financial assets

The Company's non-financial assets other than inventories
and deferred tax assets, are reviewed at each reporting
date to determine if there is indication of any impairment.
If any such indication exists, then the asset's recoverable
amount is estimated. For impairment testing, assets that do
not generate independent cash flows are grouped together
into cash generating units (CGUs). Each CGU represents
the smallest Company of assets that generate cash inflows
that are largely independent of the cash inflows of other
assets or CGUs.

The recoverable amount of as CGU (or an individual asset) is
the higher of its value in use and fair value less cost to sell.
Value in use is based on the estimated future cash flows,
discounted to their present value using a pre-tax discount
rate that reflects current assessments of the time value of
money and the risks specific to the CGU (or the asset).

The Company's corporate assets (e.g., central office building
for providing support to CGU) do not generate independent
cash inflows. To determine impairment of a corporate asset,
recoverable amount is determined for the CGUs to which the
corporate asset belongs.

An impairment loss is recognised whenever the carrying
amount of an asset or its cash generating unit exceeds its
recoverable amount. Impairment losses are recognised in
Statement of Profit and Loss. An impairment loss is reversed
if there has been a change in the estimates used to determine
the recoverable amount. Such a reversal is made only to the
extent that the asset's carrying amount does not exceed
the carrying amount that would have been determined net
of depreciation or amortisation, if no impairment loss had
been recognised.

r) Operating Segments

An operating segment is a component of the Company
that engages in business activities from which it may
earn revenues and incur expenses, including revenues
and expenses that relate to transactions with any of the
Company's other components, and for which discrete
financial information is available. All operating segments'

operating results are reviewed regularly by the Company's
Chief Operating Decision Maker (CODM) to make decisions
about resources to be allocated to the segments and assess
their performance.

s) Cash and cash equivalents

For the purpose of presentation in the statement of cash
flows, cash and cash equivalents include cash in hand,
demand deposits held with banks, other short-term highly
liquid investments with original maturities of three months
or less that are readily convertible to known amounts
of cash and which are subject to an insignificant risk of
changes in value.

t) Cash flow statement

Cash flows are reported using the indirect method, whereby
profit for the period is adjusted for the effects of transactions
of a non-cash nature, any deferrals or accruals of past or
future operating cash receipts or payments and item of
income or expenses associated with investing or financing
cash flows. The cash flows from operating, investing and
financing activities of the Company are segregated.

u) Earnings per share

Basic earnings/ (loss) per share are calculated by dividing
the net profit/ (loss) for the year attributable to equity
shareholders by the weighted average number of equity
shares outstanding during the year. The weighted average

number of equity shares outstanding during the period is
adjusted for events of bonus issue and share split. For the
purpose of calculating diluted earnings/ (loss) per share,
the net profit or loss for the period attributable to equity
shareholders and the weighted average number of shares
outstanding during the year are adjusted for the effects of all
dilutive potential equity shares.

/) Foreign currency transactions

i) Initial recognition

Transactions in foreign currencies are translated
into the functional currency of the Company at the
exchange rates at the dates of the transactions.

ii) Measurement at the reporting date

Monetary assets and liabilities denominated in foreign
currencies are translated into the functional currency
at the exchange rate at the reporting date. Non¬
monetary assets and liabilities that are measured at
fair value in a foreign currency are translated into the
functional currency at the exchange rate when the
fair value was determined. Non-monetary assets and
liabilities that are measured based on historical cost in
a foreign currency are translated at the exchange rate
at the date of the transaction. Exchange differences
on restatement/settlement of all monetary items are
recognised in profit or loss.