6. Provisions, contingent liabilities, and contingent assets
(i) Provisions — A provision is recognized when the Company has a
present obligation as a result of a past event if 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 obligation.
(ii) Contingent Liability — Contingent Liabilities are disclosed when
there is a possible obligation arising from past events, the existence
of which will be confirmed only on the occurrence or non-occurrence
of one or more uncertain future events not wholly within the control
of the Company or a present obligation that arises from past events
where it is either not probable that an outflow of resources will be
required to settle or a reliable estimate of the amount cannot be
made.
(iii) Contingent Assets — Contingent Assets are neither recognized
nor disclosed in the financial statements.
7. Earnings per Share
Basic earnings per equity share is calculated by dividing the net profit
or loss for the period attributable to equity shareholders (after
deducting preference dividends and attributable taxes, if any) by the
weighted average number of equity shares outstanding during the
period.
Diluted earnings per share is computed by dividing the net profit or
loss for the period attributable to the equity shareholders of the
Company and the weighted average number of equity shares
considered for deriving basic earnings per equity share and also the
weighted average number of equity shares that could have been
issued upon conversion of all dilutive potential equity shares. In
computing dilutive earnings per share, only potential equity shares
that are dilutive and that decrease profit per share are included.
8. Segment Reporting
The Company identifies primary segments based on the dominant
source, the nature of risks and returns, and the internal organizations
and management structure. The operating segments are the
segments for which separate financial information is available and for
which operating profit/loss amounts are evaluated regularly by the
executive management in deciding how to allocate resources and in
assessing performance.
The company currently operates only in one business segment viz
“On-demand Contingent Hiring1’. Therefore, separate segment-wise
reporting is not required.
9. Cash and Cash Equivalents
Cash and cash equivalents comprise cash and cash on deposits with
banks and corporations. The company considers all highly liquid
investments with the remaining maturity at the date of purchase of 3
months or less and that are readily convertible to a known amount of
cash to be cash equivalents.
10. Statement of cash flows
Cash flows are reported using the indirect method, whereby profit/
loss before tax is adjusted for the effects of transactions of a non¬
cash nature and any deferrals or accruals of past or future cash
receipts and payments. Cash flow for the year is classified by
operating, investing, and financial activities.
11. Corporate Social Responsibility
a) Gross amount required to be spent by the Company during the
year ended March 31, 2026: ? 16.84 Lakhs (March 31, 2025: ? 10.25
Lakhs).
b) Amount spent during the year ended March 31, 2026: ? 16.99
Lakhs (March 31, 2026: ? 10.45 Lakhs).
12. Leases
Operating lease payments are recognized as an expense in the
statement of profit and loss on a straight-line basis over the lease
term.
13. Share-based payments
The company applies the Guidance Note on “Accounting for
Employee Share based Payments’’ issued by the Institute of
Chartered Accountants of India (‘ICAI’) to account for costs related to
its employees who are covered under the stock option plan of the
company. Compensation expense for the company is determined on
the date of the grant was amortised over the vesting period on a
graded vesting schedule. The company follows Fair value method to
calculate the value of the stock options. Fair value of the options is
determined using Black Scholes Model. The difference between the
fair value as at the grant date and the price of the stock of company
is determined and charged off/credited to the Statement of profit
and loss on the date of vesting.
14. Changes in Accounting Policies and Estimates; Prior-Period
Items
The financial statements have been prepared using consistent
accounting policies and estimates as applied in the previous year.
Changes in accounting policies are disclosed with their financial
impact where material. Changes in accounting estimates are
recognised prospectively. Prior-period items are included in the
determination of net profit or loss for the current period with
separate disclosure where material.
Provident fund and pension — In accordance with the Employee’s Provident Fund and Miscellaneous Provisions Act, 1952, eligible employees of the Company are
entitled to receive benefits in respect of provident fund, a defined contribution plan, in which both employees and the Company make monthly contributions at a
specified percentage of the covered employees’ salary. The contributions, as specified under the law, are made to the employee provident fund organization (EPFO).
(B) Defined benefit Plan (Gratuity & Leave Encashment) — (I) Gratuity
The Company has an obligation towards gratuity, a defined benefit retirement plan covering eligible employees. The plan provides for a lump-sum payment to vested
employees at retirement, death while in employment or on termination of employment of an amount equivalent to 15 days salary payable for each completed year
of service. Vesting occurs upon completion of five years of service. The Company accounts for the liability for gratuity benefits payable in the future based on an
actuarial valuation.
The defined benefit plans expose the Company to a number of actuarial risks as below: (a) Interest risk: A decrease in the bond interest rate will increase the plan
liability, (b) Salary risk: The present value of the defined benefit plan liability is calculated by reference to the future salaries of plan participants. As such, an increase
in the salary of the plan participants will increase the plan’s liability, (c) Longevity risk: The present value of the defined benefit plan liability is calculated by reference
to the best estimate of the mortality of plan participants. An increase in the life expectancy of the plan participants will increase the plan’s liability.
Salary escalation rate: The estimates of future salary increases, considered in actuarial valuation, take account of inflation, seniority, promotion and other relevant
factors such as supply and demand factors in the employment market.
These assumptions were developed by management with the assistance of independent actuarial appraisers. Discount factors are determined close to each year end
by reference to government bonds of relevant economic markets and that have terms to maturity approximating to the terms of the related obligation. Other
assumptions are based on management’s historical experience.
Note 30: Related Party Disclosures
In accordance with the requirements of Accounting Standard (AS-18) on Related Party Disclosures, the names of related parties where control exists and/ or with
whom transactions have taken place during the year and description of relationships, identified and certified by management are:
List of related parties is as follows :
Subsidiary Company [Wholly Owned]: Infollion Research Services Corp.
Enterprises owned or significantly influenced by key management personnel or their relatives: 1. Simplifii Labs Private Limited 2. Handy Online Solutions Private
Limited 3. E2E Networks Limited
Directors and Key Management Personnel (KMP): 1. Gaurav Munjal - Managing Director 2. Abhishek Jha - Chief Financial Officer 3. Madhumita Pramanik (Resigned
w.e.f 18.07.2025) 4. Aayara Shaheer - Non Executive Director 5. Munish Bansal - Non Executive Director 6. Piyush Peshwani - Independent Director 7. Ravi Kumar -
Independent Director 8. Megha Rastogi - Compliance Officer & CS
All disclosures of related party transactions (RPT) involving subsidiaries, associates, and entities belonging to the promoter or promoters’ group have been made in
accordance with Regulation 23 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, and the applicable accounting standards. The
Company has ensured full compliance with the relevant disclosure requirements, considering the nature and significance of these transactions.
(vi) Employee wise details (Name of employee, designation, number of options granted during the year, exercise price) of options granted to -
a) Senior managerial personnel as defined under Regulation 16(d) of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements)
Regulations, 2015;: Not Applicable
b) identified employees who were granted option, during any one year, equal to or exceeding 1% of the issued capital (excluding outstanding warrants and
conversions) of the company at the time of grant: Not Applicable
c) Any other employee who receives a grant in any one year of Option amounting to 5% or more of Option granted during that year: In addition to the employee
details mentioned above in (a), the following employees have received grant more than 5% of the total Options granted during the year:: Not Applicable
(vii) A description of the method and significant assumptions used during the year to estimate the fair value of options including the following information:
a) The weighted-average values of share price, exercise price, expected volatility, expected option life, expected dividends, the risk-free interest rate and any other
inputs to the model: Please refer point (v) above
b) the method used and the assumptions made to incorporate the effects of expected early exercise: The fair value of options has been calculated by using Black
Scholes Model.
c) how expected volatility was determined, including an explanation of the extent to which expected volatility was based on historical volatility: Please refer point (v)
above, and
d) whether and how any other features of the options granted were incorporated into the measurement of fair value, such as a market condition: Not Applicable
(viii) Weighted-Average Exercise Price and Fair Value of Options
Regulation 14 read with Part F of the Schedule to the SEBI (SBEB & SE) Regulations, 2021 requires separate disclosure of the weighted-average exercise price and
weighted-average fair value of options for options whose exercise price equals, exceeds, or is less than the market price of the stock on the date of grant.
32 Other statutory information
A. The Company does not have any benami property and no
proceedings have been inib'ated or pending against the Company
for holding any benami property, under the Benami Transactions
(Prohibitions) Act, 1988 (45 of 1988) and the rules made
thereunder.
B. The Company has not received any fund from any persons or
entities, including foreign entities (Funding Party) 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,
C. The Company has not advanced or provided loan to or invested
funds in any entities including foreign entities (Intermediaries) or
to any other persons, with the understanding 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 on behalf of the ultimate
beneficiaries,
D. The Company has not entered into any scheme of arrangement
which has an accounting impact on current or previous financial
year.
E. The Company has not undertaken any transaction which is 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 as, search or survey or any other
relevant provisions of the Income Tax Act, 1961).
F. The Company has not traded or invested in crypto currency or
virtual currency during the current and previous financial year.
G. The Company has adopted cost model for its property, plant and
equipment or intangible assets during the current year and
previous years. The Company has not revalued its Property, Plant
& Equipment. Further, the company does not possess any
immovable property for the verification with Title Deeds.
H. The Company does not have any charge which is yet to be
registered with ROC beyond the statutory year.
I. The Company has complied with the the number of layers
prescribed under of Section 2(87) of the Act read with the
Companies (Restriction on number of Layers) Rules, 2017.
J. The Company has not been declared a 'Wilful Defaulter' by any
bank or financial institution (as defined under the Companies
Act, 2013) or consortium thereof, in accordance
K. The Company did not have any transactions with companies
struck off under Section 248 of the Companies Act, 2013 or
section 560 of Companies Act, 1956 during the current year.
L. The Company has not granted Loan & Advances in the nature of
Loans to promoters, directors, KMPs and the related parties (as
defined under Companies Act, 2013) either severally or jointly
with any other person, that are: (i) Repayable on demand or (ii)
without specifying any terms or period of repayment
33. The Ministry of Corporate Affairs (MCA) has prescribed a
requirement for companies under the proviso to Rule 3(1) of the
Companies (Accounts) Rules, 2014 inserted by the Companies
(Accounts) Amendment Rules, 2021 requiring companies, which
uses accounting software for maintaining its books of account,
shall use only such accounting software which has a feature of
recording audit trail of each and every transaction, creating an
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 used accounting software for maintaining its
books of account which have a feature of audit trail (edit log)
facility and the same was enabled at the application level and at
database level. Furthermore, the audit trail has been preserved
by the Company as per the statutory requirements for record
retention.
34. In the opinion of the Board and to the best of its knowledge and
belief, the value on realization of current assets and loans and
advances are approximately of the same value as stated.
35. The balances of trade payables, trade receivables, loans, and
advances are unsecured and considered as good and are subject
to confirmations of the respective parties concerned.
36. The management has confirmed that adequate provisions have
been made for all the known and determined liabilities and the
same is not more than the amounts reasonably required to be
provided for.
37. Contractual liabilities: All other contractual liabilities connected
with business operab'ons of the Company have been
appropriately provided for.
38. On November 21, 2025, the Government of India noh'fied the
four Labour Codes - the Code on Wages, 2019, the Industrial
Relations Code, 2020, the Code on Social Security, 2020, and the
Occupational Safety, Health and Working Conditions Code, 2020 -
consolidating 29 existing labour laws. The Ministry of Labour &
Employment published draft Central Rules and FAQs to enable
assessment of the financial impact due to changes in regulations.
The Company has performed a preliminary assessment of the
potential impact of the Labour Codes on its financial statements.
Based on the current evaluation and available information, the
Company does not expect any material impact at this stage.
Accordingly, no significant adjustments have been recognised in
the financial statements.
The Company will continue to monitor developments, including
the finalisation of Central and State Rules and related
clarifications, and will recognise the impact, if any, in the period
in which such changes become effective.
39. Previous period figures have been regrouped and reclassified
wherever necessary to correspond with current year's
classification. However, such reclassification did not have any
material impact on the financial statements.
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