Provisions arc recognised when the Company has a present obligation (legal or constructive) as a
result of a past event, it is probable that an outflow of resources embodying economic benefits
will be required to settle the obligation and a reliable estimate can be made of the amount of the
obligation. The expense relating to a provision is presented in the Statement of Profit and Loss net
of any reimbursement.

If the effect of the time value of money is material, provisions are discounted using a current pre¬
tax rate that reflects, when appropriate, the risks specific to the liability. When discounting is
used, the increase in the provision due to the passage ol' time is recognised as a finance cost.
Provisions are reviewed at each balance sheet and adjusted to reflect the current best estimates.

Contingent liabilities

A contingent liability is a possible obligation that arises from past events whose existence will be
confirmed by the occurrence or non-occurrence of one or more uncertain future events beyond the
control of the Company or a present obligation that is not recognized because it is not probable
that an outflow of resources will be required to settle the obligation. A contingent liability also
arises in extremely rare cases where there is a liability that cannot be recognized because it cannot
be measured reliably. The Company does not recognize a contingent liability but discloses its
existence in the financial statements.

A contingent asset is not recognised unless it becomes virtually certain that an inflow of economic
benefits will arise. When an inflow of economic benefits is probable, contingent assets are
disclosed in the financial statements.

Contingent liabilities and contingent assets are reviewed at each balance sheet date.

I he expenses related to scheine/business promotion/various discounts are accounted for on
acceptance basis.

I) Retirement and other employee benefits

A. Short term employee benefits

All employee benefits payable wholly within twelve months of rendering the service are
classified as short-term employee benefits. Benefits such as salaries, allowances, etc., are
recognised ns an expense at the undiscounted amount in the Statement of Profit and Loss of
the year in which the employee renders the related service

B. Post employment benefits

i) Defined contribution plans

The Company’s contribution to provident fund is considered as defined contribution
plans and arc charged as an expense as it falls due based on the amount of contribution
required to be made and when services are rendered by the employees.

il) Defined benefit plans

For defined benefit plans of gratuity determined using the Projected Unit Credit Method
with actuarial valuations being carried out at each balance sheet date. Actuarial gain and
losses a a- recognized immediately in the Statement of Profit and Loss in the period in
which they occur. Obligation is measured at the present value of estimated future cash
Hows using a discounted rate that is determined by reference to market yields at the
Balance Sheet date on Government Securities as reduced by the fair value of scheme
assets.

iii) Other lomi-tcmi employee benefits

Long-term Compensated Absences and Long Service Awards are provided for on the
basis of an actuarial valuation, using the Projected Unit Credit Method, as at the date of
the Balance Sheet. Actuarial gams / losses comprising of experience adjustments and the
effects of changes in actuarial assumptions are immediately recognised in the Statement
of Profit and Loss. The obligation is measured at the present value of estimated future
cash flows using a discounted rate that is determined by reference to market yields at the
Balance Sheet date on Government Securities.

m) Financial instruments

A financial instrument is any contract that gives rise to a financial asset of one entity anti 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.

Subsequent measurement

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

a) Debt instalments at amortised cost

b) Debt instruments at fair value through other comprehensive income (PVTOCI)

c) Debt instruments, derivatives and equity instruments at fair value through profit or loss
(FVTPL)

d) Equity instruments measured at fair value through other comprehensive income
(FVTOCI)

Debt instruments at amortised cost

A ‘debt instrument’ is measured at the amortised cost if both the following conditions are met:

a) The asset is held within a business model whose objective is to hold assets for collecting
contractual cash flows, and

b) Contractual terms of the asset give rise on specified dates to cash Hows 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 (FIR) method. 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 E1R. The E1R 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.
This category generally applies to trade receivables, security deposits & other receivables.

Debt Instrument at FVTOCI

A ‘debt instrument’ is classified as at the FVTOCI if both of the following criteria are met:

a) The objective of the business model is achieved both by collecting contractual cash flows
and selling the financial assets, and

b) The asset’s contractual cash flows represent SPPI.

Debt instruments included within die FVT0C1 category are measured initially as well as at each
reporting date at fair value. Fair value movements are recognized in the other comprehensive
income (OCI). However, the Company recognizes interest income, impairment losses &
reversals and foreign exchange gain or loss in the Statement of Profit and Loss. On derecognition
of the asset, cumulative gain or loss previously recognised in OCI is reclassified from the equity
to Statement of Profit and Loss. Interest earned whilst holding FVTOCI debt instrument is
reported as interest income using the F.1R method.

Debt instrument at FVTPL

FVTPL is a residual category for debt instruments. Any debt instrument, which does not meet the
criteria for categorization as at amortized cost or as FVTOCI. is classified as at FVTPL.

In addition, the Company may elect to designate a debt instrument, which otherwise meets
amortized cost or FVTOCI criteria, as at FVTPL. However, such election is allowed only if
doing so reduces or eliminates a measurement or recognition inconsistency (referred to as
‘accounting mismatch’). The Company has designated certain debt instrument as at FVTPL.

Debt instruments included within the FVTPL category arc measured at fair value with all
changes recognized in the Statement of Profit and Loss.

Equity investments

All equity investments in scope of lnd AS 109 are measured at fair value. Equity instruments
which are held for trading arc classified as at FVTPL. For all other equity instruments, the
Company may make an irrevocable election to present in other comprehensive income
subsequent changes in the fair value. The Company makes such election on an inslrumcnt-by-
instrument basis. The classification is made on initial recognition and is irrevocable.

If the Company decides to classify an equity instrument as at FVTOCI, then all fair value
changes on the instrument, excluding dividends, are recognized in the OCI. There is no recycling
of the amounts from OCI to profit and loss, even on sale of investment However, the Company
may transfer the cumulative gain or loss within equity.

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

Derecognition

A financial asset (or. where applicable, a part of a financial asset or part of a company of similar
financial assets) is primarily derecognised ti.e. removed from the Company’s consolidated
balance sheet) when:

a) The rights to receive cash flow's from the asset have expired, or

b) I he Company has transferred its rights to receive cash flows from the asset or has assumed an
obligation to pay the received cash flow's 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 ease, the
Company also recognises an associated liability. I'he transferred asset and the associated liability-
arc measured on a basis that reflects the rights and obligations that the Company has retained.

Continuing involvement that takes the form of a guarantee over the transferred asset is measured
at the lower of the original carrying amount of the asset and the maximum amount of
consideration that the Company could be required to repay.

Impairment of financial assets

In accordance with lnd AS 109, the Company applies expected credit loss (ECL) model for
measurement and recognition of impairment loss on the following financial assets and credit risk
exposure:

a) Financial assets that are debt instruments, and are measured at amortised cost e.g., loans, debt
securities, deposits, trade receivables and bank balance

b) Financial assets that are debt instruments and are measured as at FVTQCI

c) Trade receivables or any contractual right to receive cash or another financial asset that result
from transactions that arc within the scope of lnd AS 115

The company follows ‘simplified approach’ for recognition of impairment loss allowance on
Trade and other receivables.

I lie application of simplified approach does not require the Company to track changes in credit
risk. Rather, it recognises impairment loss allowance based on lifetime ECLs at each reporting
date, right from its initial recognition.

n) Financial liabilities

Initial recognition and measurement

Financial liabilities are classified, at initial recognition, as financial liabilities at fair value through
profit or loss, loans and borrowings, payables, or as derivatives designated as hedging instruments
in an effective hedge, as appropriate.

All financial liabilities are recognised initially at fair value and. in the ease of loans and
borrowings and payables, net of directly attributable transaction costs.

The Company’s financial liabilities include trade and other payables, loans and borrowings
including cash credits and derivative financial instruments.

Subsequent measurement

The measurement of financial liabilities depends on their classification, as described below:

Loans and borrowings

After initial recognition, interest-bearing loans and borrowings are subsequently measured at
amortised cost using the F.IR method. Gains and hisses are recognised in Statement of Profit and
Loss when the liabilities are derecognised as well as through the EIR amortisation process.

Amortised cost is calculated by taking into account any discount or premium on acquisition and
fees or costs that are an integral pan of the 12IR. The EIR amortisation is included as finance costs
in the Statement of Profit and Loss.

This category generally applies to borrowings.

Financial liabilities at fair value through profit or loss

Financial liabilities at fair value through profit or loss include financial liabilities held for trading
and financial liabilities designated upon initial recognition as at fair value through profit or loss.
Financial liabilities arc classified as held for trading if they are incurred for the purpose of
repurchasing in the near term. This category also includes derivative financial instruments entered
into by the company that are not designated as hedging instruments in hedge relationships as
defined by Ind AS 109.

Gains or losses on liabilities held lor trading are recognised in the Statement of Profit and Loss.
Derecognition

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.

Offsetting of financial instruments

Financial assets and financial liabilities are offset and the net amount is reported in the balance
sheet if there is a currently enforceable legal right to offset the recognised amounts and there is an
intention to settle on a net basis, to realise the assets and settle the liabilities simultaneously.

o) Derivative financial instruments

Initial recognition and subsequent measurement

The company uses derivative financial instruments, such as interest rate swaps, currency swaps,
options and forward contracts to hedge its interest rate and foreign currency risks. Such derivative
financial instruments are initially recognised ai 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 lair value is
negative.

Any gains or losses arising from changes in the fair value of derivatives are taken directly to
Statement of Profit and Loss.

p) Dividend

The company recognises a liability to make cash distributions to equity holders when the
distribution is authorised and the distribution is no longer at the discretion of the Company. As
per the corporate laws in India, a distribution is authorised when it is approved by the
shareholders. A corresponding amount is recognised directly in other equity.

During the year the Company has not declared and paid any Interim Dividend.

q) Taxes

Current income lax

Current income tax assets and liabilities arc measured at the amount expected to he recovered
from or paid to the taxation authorities. The tax rates and tax laws used to compute the amount are
those that are enacted or substantively enacted, at the reporting date in the countries where the
Company operates and generates taxable income.

Current income tax relating to items recognised outside profit or loss is recognised outside profit
or loss (cither in other comprehensive income or in equity). Current tax items are recognised in
correlation to the underlying transaction cither in OCl or directly in equity. Management
periodically evaluates positions taken in the tax returns with respect to situations in which
applicable tax regulations arc subject to interpretation and establishes pro\i$ions where
appropriate.

Deferred tax

Deferred tax is provided using the liability method on temporary differences between the tax
bases of assets and liabilities and their carrying amounts for financial reporting purposes at the
reporting date.

Deferred lax liabilities are recognised for all taxable temporary differences, except:

a) When the deferred tax liability arises from the initial recognition of goodwill or an asset
or liability in a transaction that is not a business combination and. at the time of the
transaction, affects neither the accounting profit nor taxable profit or loss

b) In respect of taxable temporary differences associated with interests in joint ventures,
when the timing of the reversal of the temporary differences can be controlled and it is
probable that the temporary differences will not reverse in the foreseeable future

Deferred tax assets are recognised for all deductible temporary differences, the carry forward of
unused tax credits and any unused tax losses. Deferred tax assets are recognised to the extent that
it is probable that taxable profit will be available against which the deductible temporary
differences, and the carry forward of unused tax credits and unused tax losses can be utilised
except:

When the deferred tax asset relating to the deductible temporary difference arises from
the initial recognition of an asset or liability in a transaction that is not a business
combination and. at the time of the transaction, affects neither the accounting profit nor
taxable profit or loss

The carrying amount of deferred lax assets is reviewed at each reporting dale and reduced to the
extent that it is no longer probable that sufficient taxable profit will be available to allow all or
pan of the deferred tax asset to be utilised. Unrecognised deferred tax assets are re-assessed at
each reporting date and are recognised to the extent that it has become probable that future taxable
profits will allow the deferred tax asset to be recovered.

Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the
year when the asset is realised or the liability is settled, based on lax rates (and tax laws) that have
been enacted or substantively enacted at the reporting d3te.

Deferred tax relating to items recognised outside Statement of Profit and Loss is recognised
outside Statement of Profit and Loss (in other comprehensive income). Deferred tax items are
recognised in correlation to the underlying transaction either in Statement of Profit and Loss or in
OCX

Deferred tax assets and deferred tax liabilities are offset if a legally enforceable right exists to set
off current tax assets against current tax liabilities and the deferred taxes relate to the same taxable
entity and the same taxation authority.

r) Government grants

Government grants, if any. are recognised where there is reasonable assurance that the grant will
be received, and all attached conditions will be complied with. When the grant relates to an
expense item, it is recognised as income on a systematic basis over the periods that the related
costs, for which it is intended to compensate, are expensed. When the grant relates to an asset, it is
recognised as income in equal amounts over the expected useful life of the related assets.

s) Climate-related matters

The Company considers climate-related matters in estimates and assumptions, where appropriate.
This assessment includes a wide range of possible impacts on the Company due to both physical
and transition risks. Even though the Company believes us business model and products will still
be viable alter the transition to a low-carbon economy, climate-related matters increase the
uncertainty in estimates and assumptions underpinning several items in the financial statements.
Even though climate-related risks might not currently have a significant impact on measurement,
the Company is closely monitoring relevant changes and developments, such as new climate-
related legislation.

a) The property under considereat ion is located at Gurgaon.

b) During the year 2022-23. the Company has reclassified land and building from Investment Property
to Assets held for sale. This is because of the management's intention to sell the property and the
active efforts are being made to locate a buyer.

c) The property meets the criteria for classification as held for sale, such as being available for
immediate sale and being actively marketed.

d) In FY 2023-24, the company has received advance against sale of the above property amounting to
Rs. 23 millions.

e) On transfer, the Company has elected to continue with the carrying value of Investment property
measured as earlier and use the carrying value as the deemed cost of Asset held for sale in terms of
IND-AS 105 where lower of carrying value and fair value is tobe considered.

f) Fair Value of Asset held for sale

The fair value of asset held for sale has been determined by the management using the prevailing
circle rates applicable to the same location and are considered to be a fair representation at which
such properties can be sold in an active market. The Company has not used the services of a
registered valuer in accordance with rule 2 of Companies (Registered valuer and valuation) Rules,
2017) for the valuation of the investment property.

a) General reserve - General Reserve is created oui of the profits earned by the Company bv way of transfer from surplus in
the statement of profit and loss The Company can use this reserv e for payment of dividend, issue of bonus shares and fully
partly paid-up equity shares . No amount bus been transferred io general reserv e during the years ended March 31, 2025 and
March 31.2024.

Nature of Security and term* orrepay mrnt (nr secured borrowing:

3> Indian iu|Ki’ term loan

. Rs. 23,07 million TL-3 t- rcpayabk m 36 monthly instalments stalled from September 2021 It has tvs balance aggregating to Rs NIL (March 31,2024
Rs.l H4 million) at «>n repotting daw and is primarily scouted against hypothecation nl^-plant A machinery situated at Naihuput i Haryana i in the name of thc-
coinpuny.

. Rs 16.93 million T1.-4 t» rcpayabk in 36 monthly instalment* started from November 2021 It lias o s balance aggregating to R-. NIL tMurehJI. 2024 Rs

?. 2*1 million i to on reporting daw and is primarily secuied against hvpotltccation of plant & machinery situated at Naitiupur t Hatyann i in the name ot the
company

Rs 57,1H million TL-5 >» repayable in 62 monthly nisulments stalled from August 2022 It has o‘s balance ••^{'teg.iimg to Rs. 2r>.7X inilllnn I-1 March .'I.

^411,1 2024 Rs M 26 million ) i« on reporting date and is primarily secured against hypothecanoo of plant & machinery situated at Nathupsir (Haryana) in the
name ol the company.

Term loans (i) to (iii) aie secured against poisoual guarantee of Mr.Om Prakaoli Aggaivval. Mrs, Aruba Aggarvval. Mr Sanjay Aggaivval and Carpurah:
f luiiiantec i CGT) of Out Prokush Aggarwal (HUF).

I nan* have exclusive charge on Plant and Machinery purchased out of respective Term I nans and lux* Pari-ptssu charge on the Slocks A. receivables of
the company both present and future, plant A machinciy ami oilier movable fixed Assets of the Company othei than die assets exclusively funded by other
fmuiui.il institutions. It also has first |uri-fUMU charge on following propcnic*:-

?. Industrial Property situated al Villa No 16(22/3.232'2'5'-127 . Village Nullliupui . diet. Snncpat. Haivunu held xn the name of Ansltu Aggjrvval.

b. Commercial Property situated at 501 .(ropal 11 eights. Plot No, 9. Nctaji Subhash Place. Pitampura. New Delhi held in the uaitre of Sanjay Aggarwal
IIIUF)

c. Industrial Property situated al Industrial Growth Center, Phase II, Samba. Jammu. JXK held in the name of Company

d. Industrial property Kliesvat No. 2VI. killa No-1 S'1I.’2/2.20/2/1.20 I. Village Nathupur. None pat. Haryana.-12440X held in the name of Company
c Industrial property situated at 5 limal I maria having khewat no,425. khntu no. 514 panel klusra no I8 2(h'2-'2(d-.1) and IN 11 2.1(0-18). village
luthupur, sunepat. Haryana. Pin cosle -131501 held in the name ofOm Prakash Aggarwal < HUF)

£ lndu-sinal Property situated al Land Area ⁷ Kanal 5 Marla. Rhcvvai No 277. Min khala No 3501. Part of IK. 1(1/2(0-16), Ill’ll. 1|6-9). Sonepai. Haryana-
13(304 in site name of An shu Aggatwnl

g Residential Property situated at Plot No 75. Sector 56.1 Thun Estate, Guiguon. Harytimi-122(Ktl lie Id in the tunic of company (Eistwhik-Jai Since
Rasaytin IMyog l td)

li Commercial Property situated al Khusra No 13(1/20, Near Satsang Ghat. Vill and PO Hanrliran, IJistt Ludhiana, Pumab-141007 In Uic name ol Sanjay
Aggarwal (HUF)

i InduKtrul Property situated at Khncra No 2.1 91, 12/4, Village .Si PO Nnthupsir, Dixrt Soncpiu, Hurynnu held tit the name of Company.

jivj R-s.l#» OX million TL-⁷ is repayable ui 62 monthly instalments stuted from January 2023. It husivs Marne aggregating to Its. 8.K4 million1March 31.
7024 Rs 17 06 million ) as on reporting date and is primarily secured against hypothecation of hypothecation of Immovable property situated «t Baiwawi
Sum pat (Hatyunal m the name ol live company

R:, 110 million TL-6 i- rcp»yabk ui 62 monthly instalments started from Novembci 2022 It lus bolaitcc aggregating to Rs.fi3.3H million /-(March 31.
2024 Rr. 83.74 million I as on reporting dale and W primarily secured against hypothecation of Immovable property situated at Nathupur < Haryana) in the
name of the company.

Rs.KMi million TL-8 is tepayabk m 62 monthly instalments started fixim (X’tobcr 2023. It las o * balance aggregating to Rs, 74.541 million - (March 31.

¹ 2024 Rs.'/I ’in million (us on repotting date uttd is primarily secuted against hypothecation of hypothecation of Immovable property vaunted at B.iov.i irj

Sompjl (Haryana) m the name of live company.

(Vvl) Rs. 1(1(1 million | IlDI'C TL) ts repayable in Ml manthly Instalments started Irom September 2024 It has os ha lance aggregating to Rs. "*0.4K mlllimi
I Mateh 31.2024 Rs. NIL) ns on iepmting date

I vin i Rs Kid million l IIOFCTI ) is repayable in 6(1 monthly instalments staned from April 2024 [| lias o r. balance aggregating to Rs. 84.63 million (March 31.
2024 Rs. NIL | to on icporting dale

11\i Rs. H10 million (HDFCTL) is repayable in 60 monthly instalment* started from January 2025. It has ivs balancc aggregating to R*. 97-14 (March 31. 2024
Rs. NIL | as on reporting daw

a Industrial Property situated at Villa No 16 22’3,23/2/2.'5/327 , Village Natlluipur, dist Sonepat, Haryana held in the name of Anshu Aggarwal.
h. Cnrnmeivial Property situated at 5<)|.Gopnl Heights, Plot No,9, Netaji Subbash Place. Pitamptira, New Delhi held in the name of Sanjay Aggarwal
(HUI'l

e Industrial Property situated at Industrial Growth Center, Phase II, Samba. Jammu, J&K held in the name of Company

d Industrial properly Khewat No. 291. killa No-18 1 l'22.202/1.20 1, Village Nuthupur. Sunepot. Haryana,-124408 lield in the name of Company
c. Industrial property situated at 5 kanal I maria having khewat no.425. khata no. 514. part ofkhasra no. l8/20/2.2<4-3> and I S'11/2/1 (0-18). village
nalhupur. sonepat, Haryana. Pin code-131301 held in the name ol'Om IVafcush Aggarwal ( HUF)

f Industrial Property situated at Land .Area 7 Katml 5 Marla, Khewat No 277, Mm Khata No 350 I. Put of 1K'10^|’2(0-I6), IS 11 I (6-9), Sonepat, I larynna-
131304 in the numc of Anshu Aggarwal.

g. Residential Property situated at Plot No.75, Sector 56.1 rban Lstate, Gurgaon, Haryana-122001 held m the name of company (Lrstwhile-Jni Shree
Rasayan Udyog Ltd >

h. Commercial Propeny situated at Kha>r;i No. 130'20. Near Satsang Gliar. Vill and PO 1 Iambran. Disit Ludhiana. Punjab-141007 in the name of Sanjay
Aggarwal (IILT)

1. Industrial Propeny situated at Khasra No.23/9/1, 12-4. Village & PO Nuthupur. Distt Sonepat. Ihiry.um held in the niune of Company.

j. Commercial Propeny-'19.20. Sun Lstate. Opp Ekta Hotel. Uiato Circle. Sarkhej, Ahmedubad. Gujarat 382225 held m the nunie of Anshu Aggarwal.

k. Industrial Estate-Land Measuring Land Measuring 04 kanalOO Marla 22 Kanal 11 Marla. Land Measuring 20 Kanal 08 Marla Vdlage.Barwasm Sonipat
Haryana 131029 in the name of Sanjay Aggarwal.

lit Finance lease obligations are secured against hy pothecation of respective \ chicles.

Finance Lease against non-commercial vehicles repayable generally in 60 monthly instalments of various amounts stoned from past few years and having
additions and deletion in value hum. It has u s balance aggregating to Rs. 15.25 millUun <31 March 2024 Rs. 18.66 million) as on reporting date and is
primarily secured against hypothecation uf respective vehicles

Finance Lease against commercial vehicles repayable generally in 60 monthly instalments of various amounts started from past few years and luving
additions and deletion in value term It huso's balance aggregating to Rs. 1.26 million 131 Mutvh 2024 Rs 247 million) its 011 reporting date and is
primarily secured against hypothecation of respective vehicles

Unsecured loans from related parties & others cany interest @ 11 -9°/,, p a < previous year 0-9% pall hesc do not carry any specific maturity date hut are
^C) revolving in nature

Interest rate risk: A decrease in the bond interest rate (discount rate) will increase the plan liability.

Salary Risk: The present value orthe defined benefit plan liability is calculated with the assumption of salary increase rate of plan participants in
future. Deviation in the rate of increase of salary tit future for plan participants from the rate of increase in salary used to determine the present
value of obligation will have a bearing on the plan's liability

Investment Risk: The present value of the defined benefit plan liability ts calculated using a discount rate determined by reference to Government
Bonds Yield, ff plan liability is funded and return on plan assets is below this rale, it will create a plan deficit.

Mortality risk: The present value of the defined benefit plan liability is calculated by reference to the best estimate of the mortality of plan
participants. For this report we have used Indian Assured Lives Mortality (2012-14) ultimate table.

Determining the lease term of contracts with renewal and termination options - Company as lessee

The Company determines the lease term as the non-cancellablc term of the lease, together with any periods covered by an option to extend the lease if
it is reasonably certain to be exercised, or any periods covered by an option to terminate the lease, if it is reasonably certain not to be exercised.

The Company has several lease contracts that include extension and termination options. The Company applies judgement in evaluating whether it is
reasonably certain whether or not to exercise the option to renew or terminate the lease. That is. it considers all relevant factors that ovate an
economic incentiv e for it to exercise either the renewal or termination, After the commencement date, the Company reassesses the lease term if there
is a significant event or change in circumstances licit is within its control and affects its ability to exercise or not to exercise the option to renew or to
terminate.

Property lease classification - Company as lessor

Itie Company has entered into commercial property leases on its investment property portfolio. The Company has determined, based on an evaluation
of the terms and conditions of the arrangements, such as the lease term not constituting u major part of the economic life of the commercial property
and the present value of the minimum lease payments not amounting to substantially all of the fan value of the commercial property, that it retains
substantially all the risks anti rewards incidental to ownership of these properties and accounts for the contracts as operating leases.

Leases - Estimating the incremental borrowing rate

Where the Company cannot readily determine the interest rate implicit in the lease, therefore, it uses its incremental borrowing rate (IBR) to measure
lease liabilities. T he IBR is the rate of interest that the Company would have to pay to borrow over a similar term, and with a similar security, the
funds necessary to obtain an asset of a similar value to the right-of-usc asset in a similar economic environment. The IBR therefore reflects what the
Company ’would have to pay*, which requires estimation when no observable rates are available or when they need to be adjusted to reflect the terms
and conditions of the lease. The Company estimates the IBR using observable inputs (such as market interest rates) when available and is required to
make certain entity-specific estimates.

Revenue recognition - Estimating variable consideration for returns and volume rebates

The Company's contracts with customers include promises to transfer goods to the customers Judgement is required to determine the transaction
price for the contract, fhc transaction price could be either a fixed amount of customer consideration or variable consideration with elements such as
rebates, incentives and cash discounts etc. The estimated amount of variable consideration is adjusted in the transaction pnee only to the extent that it
is highly probable that u significant reversal in the amount of cumulative revenue recognised will not occut and is reassessed at the end of each
reporting period.

The amount of revenue recognised depends on whether the Company act as an agent or as a principal in an arrangement with a customer. The
Company act as a principal if the Company controls a promised goods or serv ice before the Company transfers the goods or service to a customer and
act as an agent if the Company’s performance obligation is to arrange for the provision of goods or service by another party.

43 Significant estimates, judgements and assumptions

The preparation of the Company's financial statements requires management to make estimates and assumptions that affect the reported
amounts of revenues, expenses, assets and liabilities. accompanying disclosures, and the disclosure of contingent liabilities. Uncertainty
about these assumptions and estimates could result tn outcomes thut require u material adjustment to the carrying amount of assets or
liabilities affected in future periods.

Estimates and assumptions

llte key assumptions concerning the future and other key sources of estimation uncertainty at the reporting date, that have a significant
nsk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year, are described
below. The Company based its assumptions and estimates on parameters available when the separate financial statements were
prepared. Existing circumstances and assumptions about future developments, however, may change due to market changes or
circumstances arising that arc beyond the control of the Company Such changes are tellected in the assumptions when they occur.

Contingent liabilities

Contingent liabilities may arise front the ordinary course of business in relation to claims against the Company, including legal and
other claims. By their nature, contingencies will be resolved only when one or more uncertain future events occur or fail to occur. The
assessment of the existence, and potential quantum, of contingencies inherently involves the exercise of significant judgement and the
use of estimates regarding the outcome of future events.

Taxes

There are many transactions and calculations undertaken during the ordinary course of business for which the ultimate tax
determination is uncertain. W here the final tax outcome of these matters is different from the amounts initially recorded, such
differences will impact the current anil deferred tax provisions in the period in which the tax determination is made. The assessment of
probability involves estimation of a number of factors including future taxable income.

Impairment of financial assets

'The Company assesses impairment based on expected credit losses | lit 'Ll model on trade receivables.

I he Company uses a provision matrix to determine impairment loss allowance on the portfolio of trade receivables. The prov ision
matrix is based on its historically observed default rates over the expected life of the trade receivable and is adjusted lor forward looking
estimates, At every reporting date, Ihc historical observed default rates are updated anil changes in the forward-looking estimates arc
analysed.

Impairment of non-financini assets

Ihc Company assesses at each reporting date whether there is an indication that an asset may be impaired. If any indication exists, or
when annual impairment testing for an asset is requited, the Company estimates the asset's recoverable amount. An asset'-, recoverable
amount is the higher of an asset's fair value less costs of disposal and its value in use. It is determined for an individual asset, unless the
asset does not generate cash inflow’s that are largely independent of those from other assets or group of assets. Where the currying
amount of an asset exceeds its recov erable amount, the asset is considered impaired and is written down to its recov erable amount. In
assessing value in use. the estimated future cash flows arc discounted to their present value using a pre- tax discount rate that reflects
current market assessment of the time value of money and the risk specific to the asset In determining fair value less cost of disposal,
recent market transactions arc taken into account If no such transactions can be identified, an appropriate valuation model i- used
These calculations are corroborated by valuation multiples or other available fair value indicators.

Defined benefit plans (gratuity)

The cost of the defined benefit gratuity plan and other post-employment benefits and the present value of the gratuity obligation ure
determined using actuarial valuations. An actuarial valuation involves making various assumptions that may differ from actual
developments in the liiture These include the determination of the discount rate, future salary increases and mortality rates. Due to the
complexities involved in the valuation and its long-term nature, a defined benefit obligation is sensitive to changes in these
assumptions. All assumptions are reviewed at each reporting date.

The parameter most subject to change is the discount rate In determining the appropriate discount rate foe plans operated m India, the
management considers the interest rates of government bonds in India,

live mortality rate is based on publicly available mortality tables for the specific countries. Those mortality tables tend to change only at
interval in response to demographic changes, f uture salary increases and gratuity increases are based on expected future inflation rates
m India. I uriher details about gratuity obligations arc giv en in Note 42

Fair value of financial instruments

The fair value of financial instruments that arc not traded in an active market is determined using valuation techniques. The Company
uses its judgement to select a variety of methods and make assumptions that arc mainly based on market conditions existing at the end
of each renoninu period.

Determining the lease term of contracts with renewal and termination options - Company as lessee

The ( ompany determines the lease term ns the non-canccllablc term of the lease, together with any periods covered by an opuon to extend the lease if
it is reasonably certain to be exercised, or any periods covered by an option to terminate the lease, if it is reasonably certain not to he exercised.

The Company has several lease contracts that include extension and termination options. The Company applies Judgement m evaluating whether it is
reasonably certain whether or not to exercise the option to renew or terminate the lease. That is. it considers all relevant factors that create an
economic incentive for it to exercise either the renewal or termination. After the commencement date, the Company reassesses the lease term if there
is a significant event or change in circumstances that i* witlnn its control and affects its ability to exercise or not to exercise the option to renew or to
terminate.

Property lease classification - Company as lessor

The Company has entered into commercial property leases on its investment property portfolio. The Company lias determined, hasod on an evaluation
of the terms and conditioas of the arrangements, such as the lease term not constituting a major part of the economic life of the commercial property
3nd the present value of the minimum lease payments not amounting to substantially all of the fair value of the commercial property, that it retains
substantially all the nsks and rew ards incidental to ownership of these properties and accounts for the contracts as operating leases

I eases * (Estimating the Incremental borrowing rate

Where the Company cannot readily determine the interest rate implicit in Ok- lease, therefore, it uses its incremental borrowing rate (IBR) to measure
lease liabilities. The IHR is the rate of interest (hat the Company would have to pay to borrow over a similar term, and with u similar security, the
funds necessary to obtain an asset or a similar value to the righi-of-use asset in a similar economic environment The IBR therefore reflects what the
Company ‘would have to pay', which requires estimation when no observable rates arc available or when they need to be adjusted to reflect the tcims
and conditions of the lease. The Company estimates the IBR using observable inputs (such as market interest rates) when available and is required to
make certain entity-specific estimates.

Revenue recognition - Estimating variable consideration for returns and volume rebates

The Company's contracts with customers include promises to transfer goods to the customers. Judgement is required to determine the transaction
price for the contract. The transaction price could he either u fixed amount of customer consideration or variable consideration with elements such as
rebates, incentives amt cash discounts etc. 11>e estimated amount of variable consideration is adjusted in the transaction price only to the extent that it
is highly pivbablc that a significant reversal in the amount of cumulative revenue recognised will not occur and is reassessed at the end of each
reporting period

Tile amount of revenue recognised depends on whether the Company act as an agent or as a principal in an arrangement w ith a customer Tlvc
Company act as a principal if the Company controls a promised goods or service before the Company transfers the goods or service to a customer and
act as an agent if the Company's performance obligation is to arrange for the provision of goods or service by anotbei party.

Level I: Level I lucnuchy Include* financial indrvimcnls measured usmp queried pi ice-. Ilu« includes luted equity muniments ilml have queried price The
fait value <if all equity instruments which are traded in Ibc stisi exchanges i* valued uung the cIibiiu price a* at the repmtine oennd.
level 2: 7I< fair value of finititcial wntnnncmv that are noi traded in an active nurket (ft* example- trnii.il bondf, over-rite emmter derivatives) in
detctiuncvl nsiiqs valuation (celiiuqucv tv Inch nsixiittnc Hie use ufobuervabk mifkcntttn and rely a* Imle uv possible iiocniity-sfsnetlh critiiuites. If all
significant inputs required to I'm value an muninvi* me ubsvrvaMr. live inKtunvt* n included in kivl 2.

Uvel 3: If une i* mure of the vtnnifn.unr moo", a 00! hi-cd on observable nmikeid»tu. tl< muniment is included m level V

fiiil Valuation Uvlmiguc used tu determine lair value

Stvcilic vnliuncci techniques uved to value fuuiicial itMiunioiu include:

u| the tali value* of the FVTOCI inveMmenn are derived from quoted mariei pncci inactive mtrkclx.

I>> the fair value of interest rate twnpn is calculated as the present value of the estimated future cadi flows fused on observable yield curve*
e) I he fait value of fluwiud forerun etvs (unite omuravtt at»l ptincipul •who isdelcmwtcd usius forwaid exebsnse rates a) the balance sheet dale
di the fait value of ftveutn ciatetto offlttm enamel* I* deictiuncd uMnsi the Black •vebolcs valuation model
e> tile* fuit values of the intervsJ-bearing borrowings orxl Icuitsare d-Semhoed by mine discounted cmh lluvs tnelltisj using dhcuunl rate Iful reflects the
issuer's borrow tnu. rate is at live cod of the reporting pennd. The own turn pertorrmnee risk was assessed to be inugmfkanl.

f> the fait value of the renuiiunu financial instrument* is dciernuneJ usiug di summed cavil flow analysis using rates currently available for debt on similar
lernw. eiedit risk ami nmuimny. miluritics.

A) Credit Hvk

Credit link is the risk that euunHT|\irt> will out its.vt its obligation* under * fnisnvhd im.-iurn.iu or ciiBlonvrcommit tanBtc 10 a financial Ims rh*
Company ta expend to Credit risk from it* opcnrttne activities t pntrurily trade tvccivablesv iitvl fomt it* financing activities. includim: ilcpisxits with Kink*,
foreign exchange transact ioen and othet financial msiruments

ill Credit risk niuuazciiirnl
til Trade receivable

Customer cicdil livk i* managed by each business unit subject u» the Cotipany’s established policy, procedure* nixl control iclating to cusfornct credit risk
management Oulun tiding customer receivables ntv regularly monitored. The Cottfiafiy periodically giaeita the liimncinl reliability ofcustomers. taking
mb* account the financial condition. current i-cmntnic trends. and analysis of historical data and ageing nfaommiis receivable. Iiultv idual risk limits are set
accordingly. Nevv customers are analysed individually for cmfirivodhincn he tree the C eotpany's standard poyttvot and delivery ternn are nllm-d Sale
limits arc established for each customers and tesiewed per.ci-hcully.

The Cutipaity consulcts the probability of default u|xiii miltal lecogmlion trf asset and whether there his been a significant increase ill ctctlit ttsk on an
ongoing hath thicsyehout each reporting pet i.td It camideis available leasuruh-le and supportive forward locking inhumation. Especially the lolluwtng
uuiicators are incorporated:

at Actual or expected uuntitcam advene change-, in business. financial or economic cotidntom tlutt ate actual

hi S.muflcani eiiaitu.es in rite expected perfnnitancc and t-cluv u>ur of the customer. lucl tiding changes in live puyjucm statin of cir.t.uiiii in Hie crurpauv

The maximum expsMBi- to ciesitl risk xri-.hu- lisnii Ir.wlc tcvets uhlo. .• tnuvliled in note I •
ti| f tnancial instrnmenl* ami cnxh deposits

C rvdit tisk from balances with banks i» immigvxl by the Company's management in ueiordunev with the policy of the C otrpany. Coutactpony ctc.iil limit*
urv reviewed by the Company's ntuiagemcnt on un ninnuil basis The limits are •~.^,l to minimise the vmvntralion of risk.* and tiunefixv trail gale finms.ni!
loss through counselpnrty's potential failure to innky- pnyitvnls,

rin- Company's nxtxummi exposure t-i credit risk for tlx components of the balance sheet in March 31. 2025 and Match 31.202-1 rs die currying amounts
as illustrated ui Note M.

B) I. il| util it s risk

Liquidity risk is the risk that the Company will not be able to meet its financial obligations us they tall due The Company’s approach to manuging liquidity
is to ensure, us far as passible, that it will always have sufficient liquidity to meet its liabilities when due. under both normal and stressed conditions,
without incurring unacceptable losses or risking damage to the Company's reputation The Company manages liquidity nsk by maintaining adequate
reserves, by continuously monitoring forecast and aclutil cash flows and matching the maturity profiles of the financial assets and liabilities

The Company enjoys a good reputation fur Its sound financial management and ability to meet in financial commitments.

C) Market risk

Market risk is the risk that the fair value of future cash flow's of a financial instrument wall fluctuate because of changes in market prices. Market risk
comprises three types of risk: interest rate risk, currency risk and other price risk, such as equity price risk and commodity risk. Financial Instruments
affected by market risk include loans and borrowings, deposits, FVTOCI investments and derivative financial instruments.

(i) Foreign currency risk

Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate becau.se of changes in foreign exchange rates. I he
Company’s exposure to the risk of changes in foreign exchange rates relates primarily lo the Company’s operating activities (when revenue or expense is
denominated in a foreign currency).

When a derivative is entered into for the purpose of being a hedge, the Company negotiates the terms of those derivatives to match the terms of the hedged
exposure This foreign currency risk is hedged by using foreign currency forward contracts.

47 Cbanco in accounting policies and disclosures
(a) New and amended standards and interpretations
(i> Ind AS 117 Insurance Contracts

The Ministry of corporate A flairs (MCA) notified the lnd AS 117. Insurance Contracts, side notification dated 12 August 2024. under the Companies. (Indian
Accounting Standards) Amendment Rules. 2024. which is effective from annual reporting periods beginning on or a tier I April 2024
Ind AS 117 Insurance Contract* is a comprehensive new accounting standard for insurance contracts covering recognition and measurement, presentation and
disclosure. Ind AS 117 replaces lr.d AS 104 Insurance Contracts. Ind AS 117 applies to all types of insurance contracts, regardless of the type of entities that
issue them as well as to certain guarantees and financial instruments with discretionary participation features; a few scope exceptions will apply. Ind AS 117 is
based on a general model, supplemented by;

• A specific adaptation for contracts with direct participation features (the variable fee approach)

• A simplified approach (tile premium allocation approach) mainly for short-duration contracts

The application of lnd AS 117 had no impact on the financial statements as the Company has not entered any contracts in the nature of insurance contracts
covered under lnd AS 117.

(II) Amendment to hid AS 116 I caws - I ease I .lability in a Sale and Leaseback

The MCA notified the Companies (Indian Accounting Standards) Second Amendmem Rules. 2024. which amend Ind AS 116. Leases, with respect io Lease
Liability in a Sulc and Leaseback.

The amendment specifies the requirements that a seller-lessee uses in measuring the lease liability arising in a sale and leaseback transaction, to ensure the seller
lessee docs not recognise any amount of die gain or loss that relates to the right of use it retains.

The amendment i% effective for annual reporting periods beginning on or after I April 2024 and must be applied retrospectively to sale and leaseback
transactions entered into after the date of initial application of hul AS 116.

Ihc amendment docs not hove any impact on the financial statements as the Company has not entered any contracts in the nuturc of lease liability in a sale and
leaseback covered under lnd AS 116,

<b) Standards issued but not yet effective

There arc no such standards or amendment issued which are not clTcctivc as on date.

51 Additional information pursuant to Ministry of Corporate Affairs notification dated March 24,2021 with respect to
amendments in Schedule III of Companies Act, 2013

(i) There are no proceedings which have been initiated or pending against the company for holding any Bcnami
property under the Bcnami Transactions (Prohibition) Act. I OSS (45 of I OSS) and rules made thereunder.

(ii) The company is not a wilful defaulter as declared by any bank or financial Institution or any other lender.

(iii) The company does not have any transactions with the companies struck off under section 24S of Companies Act.
2013 or section 560 of Companies Act. 1956.

(iv) There are no charges or Satisfaction yet to be registered with Registrar of Companies (ROC') beyond the statutory

• •

(v) There arc no transactions which arc not recorded in the books of accounts that has been surrendered or disclosed as
income during the year in the tax assessments under the Income Tax Act. 1961 (such us. search or surveyor any
other relevant provisions of the Income Tax Act, 1%1).

(vi) The company has not traded or invested in Crypto Currency or Virtual Currency during the year.

(vii) The company has not advanced or loaned or invested funds to any other persons or entities, including foreign
entities (Intermediaries) w ith the understanding that the intermediary 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.

(viii) The Company has not received any fund from amy persons or entities, including foreign entities (Funding Party)
with the understanding (whether recorded in writing or otherwise) that the Company shall:

(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 on behalf of the Ultimate Beneficiaries.

(ix) Title deeds of property are held in the company’s own name.

(x) The Company has not invested with number of layers of Companies during FY 2023-24. as prescribed under clause
(87) of Section 2 of the Act read with the Companies (Restriction on number of Layers) Rules. 2017.

53 Audit Trail:

The Ministry of Corporate Allfairs. (MCA) has prescribed a new requirement for companies under the pttivisu tu Rule 3(1) of
the Companies (Accounts) Rules, 2014 inserted by Companies (Accounts) Amendment Rules, 2021 requiring companies,
which uses accounting software tor maintaining its books of account, shull use only such accounting software which has a
feature of recording audit trail of each and every transaction, creating and edit log of each change made in the books of
account along with the date when such changes were made and ensuring that the audit trail cannot be disabled.

The Company has enabled the audit trailfcdit logs) foci lily of the accounting software used for maintenance of all accounting
records However, audit trail (edit logs) arc enabled at application level and not at database level because enabling this facility
will severely impacts LRP performance due to direct impact on space utilisation.

Additionally, the audit trail has been preserved by the Company as per the statutory requirements for record retention

54 Subsequent Event: - Ml

55 In the opinion of the Board of Directors of the Company, the current assets,loans and advances have the value at least
equal to the figures staled in the Balance Sheet on realisation in the ordinary course of business except doubtful
nature of advances it loans and/or other a/cs ,and provision for all known liabilities have been made.

56 Previous year figures have been re-gouped or re-areanged. wherever necessary.

For DF.VESH PAREKH & CO. FOR AND ON BEHALF OF THE BOARD

Chartered Accountants INDOCULF CROPSCIENCES LIMITED

Firm's Registration Number 013338N

Sd'- Sd/- Sd/-

Devesh Parekh Sanjay Aggarwal Om Prakash Aggarwal

Partner Managing Director Whole Time Director

Membership Number 092160 DIN 00763635 DIN 00732440

Sd/- SdA

Place: Delhi Mnnoj Cupla Sakshi Jain

Date: July 24,2025 Chief Financial Officer Company Secretary

UDIN: 25092160BMGJYBK039 FCA • 513136 ACS-A67325