9) Provisions, Contingent Assets and Contingent Liabilities:

Provisions involving substantial degree of estimation in measurement are recognized when there is a present obligation as a result of past events and it is probable that there will be an outflow of resources. Contingent Liabilities are disclosed when the Company has possible obligation or a present obligation and it is probable that a cash outflow will not be required to settle the obligation. Contingent Assets are neither recognized nor disclosed in the financial statements.

10) Use of Estimates:

The preparation of financial statements requires estimates and assumptions to be made that affect the reported amount of assets, liabilities, revenues and expenses. The estimates used in preparation and presentation of financial statements are prudent and reasonable. Actual results could differ from estimates. Any revision of accounting estimates is recognized prospectively in the current and future periods.

11) Impairment:

The carrying amounts of assets are reviewed at each Balance Sheet date if there is any indication of impairment based on internal/external factors. An impairment loss will be recognized if the carrying amount of an asset exceeds its estimated recoverable amount. The recoverable amount is greater of asset's net selling price and value in use. In assessing the value in use, the estimated future economic benefits are discounted to the present value at the weighted average cost of capital.

12) Earnings per Share:

Basic earnings per share are calculated by dividing the net profit or loss for the period attributable to equity shareholders by the weighted average number of equity shares outstanding during the period. Earnings considered in ascertaining the Company's earnings per share is the net profit for the period after deducting preference dividends and any attributable tax thereto for the period. The weighted average number of equity shares outstanding during the period and for all period presented is adjusted for events, such as bonus shares, other than the conversion of potential equity shares, which have changed the number of equity shares outstanding, without a corresponding change in resources. For the purpose of calculating diluted earnings per share, net profit or loss for the period attributable to equity shareholders and the weighted average number of shares outstanding during the period is adjusted for the affects of all dilutive potential equity shares.

13) Foreign Currency Transactions:

Initial Recognition - Transactions in foreign currency are recorded at the rate of exchange prevailing on the date of transaction.

Conversion - Foreign Currency Monetary items are reported using the Closing rate. Non-Monetary items which are carried in terms of historical cost denominated in a foreign currency are reported using the exchange rate at the date of the transaction.

Exchange Differences - Exchange differences arising on settlement of Monetary items or on reporting of Monetary items at rates different from those at which they were initially recorded during the period or reported in previous financial statements are recognized as Income or Expense in the period in which they arise. Exchange differences arising in respect of Fixed Assets acquired from outside India are adjusted to the carrying amount of fixed assets.

Note 30: Demerger

During the financial year ended as on 31st March, 2024, the Scheme of the Arrangement between DRS Dilip Roadlines Limited ("Demerged Company") and DRS. Cargo Movers Private Limited ("Resulting Company"), and their respective Shareholders and Creditors Under Section 230 to 232 and other applicable provisions of the Companies Act ,2013, has been sanctioned by the Hon'ble NCLT, Hyderabad Bench, vide order, dated 17.08.2023. The Certified copy of the Order was issued on 27.09.2023. Pursuant to the said Order, the Warehouse Division of the Demerged Company (the Demerged Undertaking) stands transferred to the Resulting Company on a going concern basis with effect from 01.04.2022, the appointed date. The following adjustments have been made in the said regard:

a) Assets and Liabilities of the Warehouse Division of DRS Dilip Roadlines Limited have been transferred to DRS Cargo Movers Limited at their respective book values.

b) Difference between the value of assets and liabilities pertaining to Warehouse Division and transferred pursuant to the said Scheme, amounting to Rs.3204.86 Lakhs has been adjusted from the general reserves of the company.

c) Investment held by the Company in DRS Cargo Movers Limited amounting to Rs.23.69 Lakhs has been extinguished and adjusted from the reserves of the Company.

d) The financial information in the financial statements in respect of prior periods is restated as if the demerger had occurred from the beginning of the preceding period in the financial statements, since the Appointed is 1st April 2022, as per the Scheme of Arrangement.

e) All the transactions conducted during the period, 1st April 2022 till the date of order, pertaining to the Demerged undertaking are deemed to have been carried on by the Company for and on behalf of DRS Cargo Movers Limited.

Employment has released draft rules for the Code on Social Security, 2020 on November 13, 2020, and has invited suggestions from stakeholders which are under active consideration by the Ministry. The Company will assess the impact and its evaluation once the subject rules are notified and will give appropriate impact in its financial statements in the period in which, the Code becomes effective and the related rules to determine the financial impact are published.

Note 34: No funds have been advanced / loaned / invested (from borrowed funds or from share premium or from any other sources / kind of funds) by the Company to any other person(s) or entity(ies), including foreign entities (Intermediaries), with the understanding (whether recorded in writing or otherwise) that the Intermediary shall (i) 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 (ii) provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.

No funds have been received by the Company from any person(s) or entity(ies), including foreign entities (Funding Parties), with the understanding (whether recorded in writing or otherwise) that the Company shall (i) 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 (ii) provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

Note 35: Disclosures as per Schedule III are given to the extent applicable.

Note 36: Previous year figures have been regrouped and reclassified wherever considered necessary.

As per our report of even date For and on behalf of the Board

For Ramanatham & Rao

Chartered Accountants Sd/-

Anjani Kumar Agarwal

Sd/- Chief Executive Officer and Managing Director

K Sreenivasan DIN:00006982

Partner M No: 206421

Sd/- Sd/-

Sugan Chand Sharma Sanjay Kumar Agarwal

Whole Time Director Chief Financial Officer

DIN: 07064674 PAN: AFBPA1820J

Sd/-

Place: Secunderabad T.Sivarama Krishna

Date: 29.05.2024 Company Secretary

PAN: ANRPT1072F