L.19 Provisions, contingent liabilities and contingent
assets

Provisions are recognised only when:

a) the company has a present obligation (legal
or constructive) as a result of a past event;

b) it is probable that an outflow of resources
embodying economic benefits will be
required to settle the obligation; and

c) a reliable estimate can be made of the
amount of the obligation.

Provision is measured using the cash flows
estimated to settle the present obligation and
when the effect of time value of money is
material, the carrying amount of the provision is
the present value of those cash flows.
Reimbursement expected in respect of
expenditure required to settle a provision is
recognised only when it is virtually certain that
the reimbursement will be received.

Where the unavoidable costs of meeting the
obligations under the contract exceed the
economic benefits expected to be received under
such contract, the present obligation under the
contract is recognised and measured as a
provision.

Warranties

Provisions for expected cost of warranty
obligations under legislation governing sale of
goods are recognised on the date of sale of the
relevant products at the Management's best
estimate of the expenditure required to settle the
obligation which takes into account the empirical
data on the nature, frequency and average cost
of warranty claims and regarding possible future
incidences.

Financial assets and financial liabilities are
recognised when the Company becomes a party
to the contractual provisions of the instruments .

Financial assets and financial liabilities are initially
measured at fair value. Transaction costs that are
directly attributable to the acquisition or issue of
financial assets and financial liabilities (other than
financial assets and financial liabilities at fair value
through profit or loss) are added to or deducted
from the fair value of the financial assets or
financial liabilities, as appropriate, on initial
recognition. Transaction costs directly attributable
to the acquisition of financial assets or financial
liabilities at fair value through profit or loss are
recognised immediately in profit or loss.

Contingent liability is disclosed in case of:

a) a present obligation arising from past
events, when it is not probable that an

i. changes during the period in inventories
and operating receivables and payables
transactions of a non-cash nature;

ii. non-cash items such as depreciation,
provisions, deferred taxes, unrealised
foreign currency gains and losses, and
undistributed profits of associates; and

iii. all other items for which the cash effects
are investing or financing cash flows.

Cash and cash equivalents (including bank
balances) shown in the Statement of Cash Flows
exclude items which are not available for general
use as on the date of Balance Sheet.

1.23 Key sources of estimation

The preparation of financial statements in
conformity with Ind AS requires that the
management of the company makes estimates
and assumptions that affect the reported
amounts of income and expenses of the period,
the reported balances of assets and liabilities and
the disclosures relating to contingent liabilities as
of the date of the financial statements. The
estimates and underlying assumptions are
reviewed on an ongoing basis. Revisions to
accounting estimates include useful lives of
property, plant and equipment, Intangible assets,

allowance for doubtful debts/advances, future
obligations in respect of retirement benefit plans,
expected cost of completion of contracts,
provision for rectification costs, fair value
measurement etc. Difference, if any, between the
actual results and estimates is recognised in the
period in which the results are known.

1.24 Related Party Transaction

Terms and conditions of transactions with the
related parties

(1) Transactions with the related parties are
made on normal commercial terms and
conditions and at market rates.

(2) The Company is seconding its personnel to
Subsidiary Companies as per the terms and
conditions agreed between the Companies.
The cost incurred by the group towards
superannuation and employee benefits are
recovered from these Companies.

(3) Outstanding balances (other than loan) of
Subsidiaries and Associate at the year - end,
are unsecured and interest free.

This assessment is undertaken each financial year
through examining the financial position of the
related party and the market in which the related
party operates.

42 Contingent Liability

a Appeals pending at High Court for (i) the Assessement year 2009-10 for a demand of C 200 Lakhs ;(ii) for the
AY 2011-12 for a demand of C 1699 Lakhs;(iii) for the AY 2017-18 against reduction of losses with NIL
demand;(iv) Writ Petition with High Court for AY 2017-18 for allowability of Capital Loss for AY 2017-18.
Appeal filed with CIT(A) aganist a demand of C 39 Lakhs for the Assessement year 2015-16. (v) For the AY
2023-24 a demand of C 13.58 Lakhs raised by DCACIT on 30.03.2025. Subsequently Appeal was filed on
21.04.2025.

b Guarantees given by the bankers for performance of Contracts and others C 221.55 Lakhs (PY C 101.43 Lakhs).

44 DISCLOSURE OF FAIR VALUE MEASUREMENT

44.1 The fair values of financial assets and liabilities are determined at the amount at which the instrument could be
exchanged in a current transaction between willing parties, other than in a forced or liquidation sale. Fair value of
cash and short-term deposits, trade and other short-term receivables, trade payables, other current liabilities,
short term loans from banks and other financial instruments approximate their carrying amounts largely due to
their short term maturities of these instruments.

45 ADDITIONAL REGULATORY INFORMATION

(a) The Title deeds of the immovable properties (including investment property,other than properties where
the Company is the lessee and the lease agreements are duly executed in favour of the lessee) are held in
the name of the Company.

(b) As per the Company's accounting policy, Property, Plant and Equipment (including Right of Use Assets)
and intangible assets are carried at historical cost (less accumulated depreciation & impairment, if any),
hence the revaluation related disclosures required as per Additional Regulatory Information of Schedule
III (revised) to the Companies Act, is not applicable.

(c) No proceedings have been initiated or pending against the Company for holding any Benami property
under the Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and the rules made thereunder.

(d) The Company has not traded or invested in Crypto currency or Virtual Currency during the financial year.

(e) The company has not advanced or loaned or invested funds (either borrowed funds or share premium or
any other sources or kind of funds) 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 except as stated in s.no. (i) & (ii).

(h) The company has not received any funds 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, whether, 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 provide any guarantee,
security or the like on behalf of the Ultimate Beneficiaries.

(i) The Company does not have 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).

(j) The Company is not declared as willful defaulter by any bank or financial institution (as defined under the
Companies Act, 2013) or consortium thereof or other lender in accordance with the guidelines on willful
defaulters issued by the Reserve Bank of India.

(k) The Company has sanctioned facilities from banks on the basis of security of current assets. The periodic
returns filed by the Company with such banks are in agreement with the books of accounts of the Company.

(l) All applicable cases where registration of charges or satisfaction is required to be filed with Registrar of
Companies have been filed. No registration or satisfaction is pending at the year ended 31st March 2025.

(m) There are no transactions with the Companies whose name are struck off under Section 248 of The
Companies Act, 2013 or Section 560 of the Companies Act, 1956.

46. Financial risk management

The treasury function provides services to the business, co-ordinates access to domestic financial markets,
monitors and manages the financial risks relating to the operations through internal risk reports which analyse
exposures by degree and magnitude of risks. These risks include market risk (including currency risk, interest
rate risk and other price risk), credit risk and liquidity risk.

The Company's principal financial liabilities comprise loans and borrowings in domestic currency, trade payables
and other payables. The main purpose of these financial liabilities is to finance the Company's operations. The
Company's principal financial assets include trade and other receivables.

Credit risk

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails
to meet its contractual obligations resulting in a financial loss to the Company. Credit risk arises principally from
trade receivables, loans & advances, cash & cash equivalents and deposits with banks and financial institutions.

Trade receivables

The Company's customer profile include public sector enterprises, state owned companies and large private
corporates. Accordingly, the Company's customer credit risk is moderate. The Company's average project execution
cycle is around 12 months.

General payment terms include mobilisation advance, monthly progress payments with a credit period ranging
from 45 to 90 days and certain retention money to be released at the end of the project. In some cases retentions
are substituted with bank/corporate guarantees. The Company has a detailed review mechanism of overdue
customer receivables at various levels within organisation to ensure proper attention and focus for realisation.

Cash and cash equivalents and deposits with banks

The Company has banking operations with highly rated banks including scheduled banks which are owned by
Government of India and Private Sector Banks. The risk of default with government controlled entities is considered
to be insignificant.

Provision for expected credit losses

Loss Allowance is measured using the expected credit loss model on assets where the probability of default is
high and the counter party's capacity to meet the obligations is not strong using the expected credit loss model.
The Company has assets where the counter- parties have sufficient capacity to meet the obligation and where
the risk of default is very low. Assets are written off when there is no reasonable expectation of recovery, such as
debtor declaring bankruptcy or failing to engage in a repayment plan with the Company.

Where loans or receivables have been written off, the Company continues to engage in enforcement activity to
attempt to recover the receivable due. Where recoveries are made, these are recognised in profit or loss.

Liquidity risk

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its
financial liabilities that are settled by delivering cash or another financial asset. The Company's approach to
managing liquidity is to ensure, as far as possible, 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 risk through cash credit limits and undrawn borrowing facilities by continuously
monitoring forecast and actual cash flows.

The Company's treasury department is responsible for managing the short term and long term liquidity
requirements of the Company. Typically the Company ensures that it has sufficient cash on demand to meet
expected operational expenses for a period of 60 days, including the servicing of financial obligations, this excludes
the potential impact of extreme circumstances that cannot reasonably be predicted, such as natural disasters.

Market risk

Market risk is the risk that changes in market prices, such as foreign exchange rates, interest rates and equity
prices will affect the Company's income or the value of its holdings of financial instruments. The objective of
market risk management is to manage and control market risk exposures within acceptable parameters, while
optimising the return.

Interest rate risk

The Company's exposure to changes in interest rates relates primarily to the Company's outstanding floating
rate debt. While most of the Company's outstanding debt in local currency is on fixed rate basis and hence not
subject to interest rate risk.

47. (a) The final dividend proposed in the previous year, declared and paid by the company during the year is in

accordance with Section 123 of the Act, as applicable.

(b) The Board of Director of the Company have proposed final dividend for the year, which is subject to the
approval of the members at the ensuing Annual General Meeting. The amount of dividend proposed is in
accordance with Section 123 of the Act, as applicable.

48. Previous year's figures have been regrouped and rearranged wherever necessary.