Shivamshree Business Limited (Erstwhile known as Siddharth Business Limited)
Report on the Audit of the Standalone Financial Statements Opinion
We have audited the accompanying standalone Ind AS financial statements of Shivamshree Business Limited (Erstwhile known as Siddharth Business Limited) ("the Company"), which comprise the Balance Sheet as at 31st March 2026, the Statement of Profit and Loss, the Statement of Changes in Equity and the Statement of Cash Flows for the year ended, and summary of the significant accounting policies and other explanatory information (hereinafter referred to as "Standalone Ind AS financial statements").
Except for the possible effects of the matter described in the Basis for Opinion paragraph, in our opinion and to the best of our information and according to the explanations given to us, standalone Ind AS financial statements give the information required by the Act in the manner so required and give a true and fair view in conformity with the accounting standards prescribed under section 133 of the Act, read with companies Rules 2015, as amended ( IND AS) and other accounting principles generally accepted in India of the state of affairs of the Company as at 31st March 2026, its profit (including other comprehensive income), changes in equity and its cash flows for the year ended on that date.
Basis of Opinion:
We conducted our audit in accordance with the Standards on Auditing (SAs) specified under section 143(10) of the Companies Act, 2013 (the Act). Our responsibilities under those Standards are further described in the Auditor’s Responsibilities for the Audit of the Standalone Financial Results section of our report. We are independent of the Company in accordance with the Code of Ethics issued by the Institute of Chartered Accountants of India together with the ethical requirements that are relevant to our audit of the financial results under the provisions of the Companies Act, 2013 and the Rules thereunder, and we have fulfilled our other ethical responsibilities in accordance with these requirements and the Code of Ethics. We believe that the audit evidence obtained is sufficient and appropriate to provide a basis for our audit opinion on the standalone financial statement.
Our opinion is not modified in respect of this matter.
Key Audit Matters
Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the financial statements of the current period. These matters were addressed in the context of our audit of the financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.
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Sr.No.
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Key Audit Matters
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How Our Audit addressed the Key Audit Matter
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1
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Revenue recognition: The Company's main income comprises revenue from trading activities under the solar segment and manufacturing and sale of FIBC Bags along with other allied services. Considering the significance of revenue transactions and the recognition policies involved, revenue recognition was considered as a key audit matter.
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• We reviewed the management policy for recognition of revenue from solar trading activities, FIBC manufacturing sales and other services.
• We tested the design and operating effectiveness of controls relating to revenue recognition.
• We performed substantive testing on selected sales and purchase transactions and verified supporting documents on sample basis.
• We assessed the adequacy and appropriateness of revenue recognition policies in accordance with the applicable accounting standards.
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2
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Capital Work-in-Progress: The Company is undertaking significant capital projects relating to (i) construction and development of a Solar Power Plant under the solar segment, and (ii) construction of its own manufacturing premises for the FIBC Bags manufacturing unit. Expenditure incurred towards these ongoing projects, including construction and other directly attributable costs, has been capitalised under Capital Work-in-Progress pending completion of the projects and commencement of commercial operations. Considering the materiality and judgment involved in capitalization of such expenditure, the same was considered as a key audit matter.
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• We reviewed the nature of expenditure capitalised under Capital Work-in-Progress and verified supporting invoices and related documents on a sample basis.
• We assessed whether the expenditure capitalised was directly attributable to the construction and development of the respective projects.
• We reviewed the status of the ongoing projects and discussed the same with the management.
• We evaluated the adequacy of disclosures made in the financial statements in respect of Capital Work-in-Progress.
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3
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Reclassification of Liabilities: During the year, the Company has reclassified sundry creditors amounting to ^2,58,24,693 as Long Term Borrowings pursuant to the approval of the
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• We verified the Board approvals, revised terms and supporting agreements relating to the reclassification of sundry creditors into Long Term Borrowings.
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Board of Directors and revised terms agreed
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• We assessed the appropriateness of the
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between the parties. Considering the
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accounting treatment and presentation of the
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materiality and judgment involved in classification of liabilities, the same was considered as a key audit matter.
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reclassification in the financial statements.
• We evaluated the adequacy of disclosures made in the financial statements in respect of the reclassification of liabilities.
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Emphasis on matter
The Company has approved the issuance of 3,00,00,000 equity shares having a face value of ^1/-each on a preferential basis at an issue price of ^1.50 per equity share, aggregating to ^4,50,00,000, in accordance with the applicable provisions of the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018, subject to the approval of members and other regulatory/statutory authorities. Pursuant to the resolution passed in the Extra-Ordinary General Meeting held on 9th May, 2025, the issued share capital of the Company has accordingly been increased from ^4,56,50,000 (Rupees Four Crore Fifty-Six Lakhs Fifty Thousand Only) to ^7,56,50,000 (Rupees Seven Crore Fifty-Six Lakhs Fifty Thousand Only).
Other Information
The company's management and board of directors are responsible for the other information. The other information comprises Board's Report on corporate governance and Business Responsibility report but does not include standalone financial statement and our auditor's report thereon.
Our opinion on the financial statement does not cover the other information and we do not express any form of assurance conclusion thereon.
In connection with our audit of standalone financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the standalone financial statements or our knowledge obtained during the course of our audit procedures or otherwise appear to be materially misstated.
If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report on that fact. We have nothing to report in this regard.
Management's Responsibility for the Standalone Ind AS Financial Statements
The Company's Board of Directors is responsible for the matters stated in Section 134 (5) of the Companies Act, 2013 ("the Act") with respect to the preparation of these standalone Ind AS financial statements that give a true and fair view of the state of affairs, Profit (including other comprehensive income), changes in equity and cash flows of the Company in accordance with the accounting principles generally accepted in India, including the Indian Accounting Standards (Ind AS) prescribed under section 133 of the Act.
This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the standalone Ind AS financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, management is responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.
Board of directors is also responsible for overseeing the company's financial reporting process. Auditor's Responsibility
Our objectives are to obtain reasonable assurance about whether standalone financial statements as a whole are free from material misstatement, whether due to fraud or error and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with SAs will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered material if, individually or in aggregate, they could reasonably be expected to influence the economic decision of users taken on the basis of these standalone financial statements.
As a part of an audit in accordance with SAs, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:
• Identify and assess the risk of material misstatement of the standalone financial statements, whether due to fraud or error, design and perform audit procedure responsive to those risks, and obtain evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than the one resulting from error, as fraud may involve collusion, forgery, intentional, omission, misrepresentation, or the override of internal control.
• Obtain an understanding of internal financial control relevant to the audit in order to design audit procedures that are appropriate in the circumstances. Under section 143(3)(i) of the Act, we are also responsible for expressing our opinion on whether the company has an adequate internal financial control system in place and the operating effectiveness of such controls.
• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the management.
• Conclude on the appropriateness of management's use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the standalone financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the Company to cease to continue as a going concern.
• Evaluate the overall presentation, structure and content of the standalone financial statements, including the disclosures, and whether the standalone financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
Materiality is the magnitude of misstatements in the standalone financial statements that individually or in aggregate, make it probable that the economic decisions of a reasonably knowledgeable user of the standalone financial statements may be influenced. We consider quantitative materiality and qualitative factors in (i) planning the scope of our audit work and in evaluating the results of our work; and (ii) to evaluate the effect of any identified misstatements in the standalone financial statements.
We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.
From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the standalone financial statements of the current period and are therefore the key audit matters. We describe these matters in our auditor's report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor's Report) Order, 2020 ("the Order") issued by the Central Government in terms of Section 143(11) of the Act, we give in "Annexure A" a statement on the matters specified in paragraphs 3 and 4 of the Order.
2. As required by Section 143 (3) of the Act, we report that:
(a) We have sought and obtained all the information which to the best of our knowledge and belief was necessary for the purpose of our audit.
(b) In our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books.
(c) The Balance Sheet, the Statement of Profit and Loss, Statement of Changes in Equity and the Cash Flow Statement dealt with by this Report are in agreement with the books of account.
(d) In our opinion, the aforesaid standalone Ind AS financial statements comply with the Indian Accounting Standards prescribed under section 133 of the Act.
(e) On the basis of the written representations received from the directors and taken on record by the Board of Directors, none of the directors is disqualified as on 31 March 2026 from being appointed as a director in terms of Section 164(2) of the Act;
(f) With respect to the adequacy of the internal financial controls with reference to financial statements of the Company and the operating effectiveness of such controls, refer to our separate Report in "Annexure B".
(g) With respect to the other matters to be included in the Auditor's Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and to the best of our information and according to the explanations given to us:
i. There is no pending litigation on the company therefore the same is not required to be disclosed.
ii. The Company did not have any long-term contracts including derivative contracts for which there were any material foreseeable losses;
iii. There were no amounts which were required to be transferred to the Investor Education and Protection Fund by the Company.
Date: 19/05/2026 For M A A K & Associates
Place: Ahmedabad (Chartered Accountants).
UDIN: 26139533GAKJAM8990 FRN: 135024W
CA Kenan Satyawadi Partner
M. No.: 139533
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