(a) Terms attached to equity shares

The Company has only one class of equity shares. Each shareholder is eligible for one vote per share held. The par value per share is ' 10. The Company declares dividend in Indian Rupees. The dividend proposed by the Board of Directors is subject to approval of the shareholders in the ensuing annual general meeting. In the event of liquidation of the Company, the equity shareholders will be entitled to receive the remaining assets of the Company in proportion to the number of equity shares held by the shareholders.

Aggregate number of bonus shares issued, shares issued for consideration other than cash bought back during the period of five years immediately preceeding the reporting date.

The Company has not issued any bonus shares, shares issued for consideration other than cash bought back during the period of five years immediately preceeding the reporting date.

While disclosing the aggregate amount of transaction price yet to be recognised as revenue towards unsatisfied (or partially satisfied) performance obligations, along with the broad time band for the expected time to recognise those revenues, the Company has applied the practical expedient in Ind AS 115 as unsatisfied (or partially satisfied) performance obligation are parts of contracts that have an original expected duration of one year or less. Accordingly, the Company has not disclosed the aggregate transaction price allocated to unsatisfied (or partially satisfied) performance obligations which pertain to contracts where revenue recognised corresponds to the value transferred to customer typically involving time and material outcome based and event based contracts.

35. DISCLOSURE AS PER IND AS 116

The Company, at the inception of a contract, assesses the contract as, or containing, a lease if the contract conveys the right to control the use of an identified asset for a period in exchange for consideration. To assess whether a contract conveys the right to control the use of an identified asset,

Ý the Company assesses whether the contract involves the use of an identified asset,

Ý the Company has the right to obtain substantially all of the economic benefits from use of the asset throughout the period of use; and

Ý the Company has the right to direct the use of the asset.

The Company has lease contracts for offices premises and transmission facilities used in its operations. Leases of transmission facilities generally have a lease term of 15 years, while offices generally have lease terms ranging from 5 to 10 years.

The Company has also applied the available practical expedients wherein it:

1. Used a single discounting rate to a portfolio of leases with reasonably same characteristics.

2. Applied short term leases exemptions to leases with lease term that ends within 12 months at the date on initial application.

3. Excluded the initial direct cost from the measurement of the Right of use of asset at the date of initial application. Lease Liabilities

The Company recognises a lease liability measured at the present value of all the remaining lease payments, discounted using the Company's incremental borrowing rate.

The Company's non-current lease liabilities are included in Non-current financial liabilities (Refer Note 20) and current lease liabilities are included in current financial liabilities (Refer Note 22). The maturity analysis of lease liabilities is disclosed in Note 46 - Financial Risk Management

Right of Use Asset

For new lease contracts, the Company recognises a Right of Use asset and a corresponding lease liability with respect to all lease agreements in which it is the lessee. The lease liability and the Right of Use assets is initially measured at the present value of remaining lease payments, discounted using the incremental borrowing rate at the date of recognition. Depreciation is computed using straight-line method over the lease term. The Company's Right of Use assets were recognised and shown separately in the Balance Sheet (Refer Note 4).

Short-term leases and leases of low-value assets

The Company has elected not to recognise Right of Use assets and lease liabilities for short term leases

that have a lease term of 12 months or less and leases of low value assets. The Company recognises the lease payments

associated with these leases as an expense on a straight-line basis over the lease term.

For the year:

a. Depreciation expense increased by ' 1,881.82 lakhs (previous year: ' 1,897.92 lakhs) on account of depreciation on Right of Use assets recognised.

b. Rent expense included in 'Operating and other expenses', decreased by ' 3,101.00 lakhs (previous year: ' 2,988.64 lakhs) on account of operating leases recognised previously.

c. Finance costs increased by ' 1,439.20 lakhs (previous year: ' 1,534.27 lakhs) on account of interest expense on lease liabilities recognised.

d. Cash outflow from operating activities decreased by ' 3,101.00 lakhs (previous year: ' 2,988.64 lakhs on account of decrease in operating lease payments.

e. Cash outflow from financing activities increased by ' 3,157.08 lakhs (previous year: ' 2,835.23 lakhs) on account of increase in principal and interest payments of lease liabilities.

36. TRADE PAYABLES

Details of Micro, Small and Medium Enterprises

Information, as per the requirement of Section 22 of The Micro, Small and Medium Enterprises Development Act, 2006, has been determined to the extent such parties have been identified on the basis of information available with the Company and are relied upon by the Statutory auditors.

II) Defined Benefit Plans

Post-employment obligations

Plan is governed by the Payment of Gratuity Act, 1972. Under the Gratuity Act. Employees who are in continuous service for a period of 5 years or death while in employment are eligible for gratuity. The amount of gratuity payable on retirement/termination is the employees last drawn basic salary per month computed proportionately for 15 days' salary multiplied for the number of years of service. The liability in respect of gratuity is uncapped and is not restricted to ' 20 lakhs.

These plans typically expose the Company to actuarial risks such as interest risk and salary inflation risk.

a) Interest risk - A decrease in the discount rate will increase the plan liability.

b) Salary inflation risk - The present value of the defined 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.

The estimates of future salary increase, considered in actuarial valuation, take into account inflation, seniority, promotion and other relevant factors such as supply and demand in the employment market.

F) Sensitivity analysis

Significant actuarial assumptions for the determination of the defined obligation are discount rate, expected salary increase and attrition rate. The sensitivity analyses below have been determined based on reasonably possible changes of the respective assumptions occurring at the end of the reporting period, while holding all other assumptions constant.

H) Other details

Weighted average duration of the projected benefit obligation as on March 31, 2024 is 6 years (March 31, 2023 - 6 years).

39. SEGMENT INFORMATION

In accordance with Accounting Standard Ind AS 108 'Operating Segment' segment information has been disclosed in the consolidated financial statements of Entertainment Network (India) Limited, and therefore, no separate disclosure on segment information is required in these standalone financial statements.

Terms and conditions of transactions with related parties

The sales to and purchases from related parties are made on terms equivalent to those that prevail in arm's length transactions.

There have been no guarantees provided or received for any related party receivables and payables for the year ended March 31, 2024 and for the year ended March 31, 2023.

42. Gross amount required to be spent by the Company during the year for Corporate Social Responsibility (CSR) activities was Nil (March 31, 2023 - Nil).

43. PENDING LITIGATIONS, CLAIMS AND CONTINGENT LIABILITY:

a. Pending litigations and claims

The Company is involved in various litigations, the outcome of which are considered probable and in respect of which the Company has aggregate provisions of ' 5,652.40 lakhs as at March 31, 2024 (March 31, 2023 - ' 5,274.88 lakhs).

b. Contingent liability - taxation

The Company is contesting certain disallowances to the taxable income and demands raised by the Income tax authorities, the estimated tax liability of which is ' 19.00 lakhs as at March 31, 2024 (March 31, 2023 - ' 19.00 lakhs). The management does not expect the liability from these claims to crystallize and accordingly, no provision has been recognised in the financial statements for the same.

c. Other Litigation

During the current year, in the matter of the Company vs Phonographic Performance Limited ('PPL'), the Hon'ble Madras High Court partly allowed the appeal of PPL. The management is in the process of filing a special leave petition before the Hon'ble Supreme Court of India for an immediate stay of the said order. The management, based on legal advice, believes that the chances of a cash outflow on account of the aforesaid matter is remote.

44. CAPITAL MANAGEMENT

For the purpose of the Company's capital management, capital includes issued equity capital and other equity reserves attributable to the equity holders of the Company. The Company's objective is to maintain a strong capital base to ensure a sustainable future growth, maintain a strong credit rating, and to provide adequate returns to the shareholders. The funding requirements of the Company are not large and are generally met through internal accruals.

The net debt of the Company as at March 31, 2024 is Nil (March 31, 2023 - Nil).

Refer Note 50 for information on ratios.

45. FAIR VALUE

The fair values of financial assets and liabilities are included at the amount at which the instrument can be exchanged in a current transaction between willing parties, other than in a forced or liquidation sale.

The following methods and assumptions were used to estimate the fair values:

a. Fair value of cash and cash equivalents, other bank balances, trade and other current financial assets, trade and other payables approximate their carrying amounts due to the short maturities of these instruments. The fair value of the financial assets and liabilities is included 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.

b. The Company uses the following hierarchy for determining and disclosing the fair value of financial instruments by valuation technique:

Level 1: Quoted (unadjusted) prices in active markets for identical assets or liabilities - Investment in Mutual funds

Level 2: Other techniques for which all inputs which have a significant effect on the recorded fair value are observable, either directly or indirectly.

Level 3: Techniques which use inputs that have a significant effect on the recorded fair value that are not based on observable market data.

46. FINANCIAL RISK MANAGEMENT

The Company's principal financial liabilities comprise lease liabilities, trade and other payables. The main purpose of these financial liabilities is to finance and support the Company's operations. The Company's principal financial assets include security deposits, investment in mutual funds, trade and other receivables, and cash and cash equivalents that derive directly from its operations.

The Company's senior management oversees the management of these risks through appropriate policies and procedures in accordance with Company's policies and risk objectives. The Company's activities expose it to a variety of credit risks, market risks and liquidity risks. This note explains the sources of risk which the entity is exposed to and how the entity manages the risk in the financial statements.

a. Credit risk

Credit risk refers to the risk of default on its obligation by the counterparty resulting in a financial loss. The Company is exposed to credit risk from its operating activities (primarily trade receivables) and from its financing activities, including investments in debt mutual funds, investment in Corporate fixed deposits, balances with banks and foreign exchange transactions.

Trade Receivables

Customer credit risk is managed by each business unit subject to the Company's established policy, procedures and control relating to customer credit risk management. The Company undertakes a detailed review of the credit worthiness of clients before extending credit. Outstanding customer receivables are regularly monitored.

Trade receivables consists of a large number of customers. The Company has a credit evaluation policy for each customer and based on the evaluation, credit limit of each customer is defined.

Total Trade receivables (net of provisions) as on March 31, 2024, is ' 17,809.40 lakhs (March 31, 2023: ' 14,293.72 lakhs). The Company believes the concentration of risk with respect to trade receivables is low, as its customers are located in several jurisdictions and industries and operate in largely independent markets.

The Company uses the expected credit loss model as per Ind AS 109 - 'Financial Instruments' to assess the impairment loss. The Company uses a provision matrix to compute the expected credit loss allowance for trade receivables. The provision matrix considers available external and internal credit risk factors and the Company's historical experience in respect of customers. The maximum exposure to credit risk at the reporting date is the carrying value of each class of financial assets disclosed in Note 13.

Investments in debt mutual funds, Corporate fixed deposit, and balances with banks

Credit risk from balances with banks and investments in debt mutual funds is managed by the Company's treasury department in accordance with the Company's policy. The Company believes the concentration of risk with respect to Investment in debt mutual funds, balances with banks and investment in Corporate fixed deposits is low, as the investments of surplus funds are made only with approved counterparties.

b. Liquidity Risk

Liquidity risk is defined as a risk that the Company will not be able to settle or meet its obligations on time. The Company's treasury department is responsible for liquidity, funding as well as settlement management. Management monitors the Company's net liquidity position through rolling forecasts based on expected cash flows. In addition, processes and policies related to such risks are overseen by the Senior Management.

The Company's principal sources of liquidity are cash and cash equivalents, Investments in mutual funds and the cash flow generated from operations. The Company believes that the working capital is sufficient to meet its current requirements. Accordingly, no liquidity risk is perceived.

At the end of the reporting period, the Company held Mutual fund investments of ' 26,527.20 lakhs (March 31,2023 ' 19,116.70 lakhs) that are expected to readily generate cash inflows for managing liquidity risk.

C. Market Risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises three types of risk viz. Currency risk, Interest rate risk and other Price risk such as equity Price risk and commodity risk.

The Financial instruments affected by market risk include investments in mutual fund. The analysis excludes the impact of movements in market variables on: the carrying values of gratuity and other post retirement obligations, provisions.

Foreign Currency risk

Foreign currency risk arises due to the fluctuations in foreign currency exchange rates. The Company does not have any material transactions in foreign currencies. Accordingly, its exposure to the foreign currency risk is limited.

Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The Company does not have any financial instruments other than investment in mutual funds that are subject to fluctuation on account of change in market interest rates.

Price risk

The Company is mainly exposed to the price risk due to its investment in mutual funds. The price risk arises due to uncertainties about the future market values of these investments. Aa at March 31, 2024, the investments in mutual funds amounts to ' 26,547.20 lakhs (March 31, 2023: ' 19,116.70 lakhs). These are exposed to price risk. To manage its price risk arising from investments in Mutual funds, the Company diversifies its portfolio. Diversification of the portfolio is in accordance with the framework and policies set by the Board of Directors. A 1% increase/ (decrease) in prices would increase/(decrease) the profit or loss by the amounts shown below.

47. Exceptional items consist of the following:

a. Impairment of loan and investment in Mirchi Bahrain W.L.L (M.B.W) amounting to ? 54.52 lakhs (net) in the current year and impairment of investment of ? 504.33 lakhs in the previous year.

Considering the adverse impact of Covid 19 since the launch of operations and huge quantum of license fees payables to the Ministry of Information Affairs (MOIA), Government of Bahrain, the operations of M.B.W had become unsustainable in the previous year ended March 31, 2023. Considering the above, the Company in the previous year had served a notice of termination to the MOIA expressing its inability to continue services in the region due to continued losses and high license fees. As a result, in the previous year ended March 31, 2023, the Company identified an impairment trigger for

the investment of the Company in M.B.W. The accumulated losses of the M.B.W were compared with the investment value and accordingly, the Company had made a provision of impairment amounting to ' 504.33 lakhs in the previous year ended March 31, 2023.

Also, as a part of the above, the Company in the previous year also had made a provision of ' 263.13 lakhs for onerous contracts.

During the current year ended March 31, 2024. the MOIA declared the results of the frequency bidding and the Company was awarded the license to operate the Entertainment Radio Channel Frequency for a period of five years. Also, in the current year, the Company advanced a interest bearing loan to M.B.W amounting to ' 154.00 lakhs (given for payments in relation to license fees for erstwhile contract with MOIA).

Basis the recoverability assessment of the loan and its investment in M.B.W, the Company recognised a impairment provision of ' 22.43 lakhs and recorded a reversal of excess provision for onerous liabilities (net) of ' 76.95 lakhs. On a net basis, recording a write back of ' 54.52 lakhs as an exceptional item.

b. Impairment of investment in EN Inc amounting to ? 1,011.02 lakhs in the previous year ended March 31, 2023.

During the year ended March 31, 2023, Considering the business environment and other relevant economic and market indicators, the Company had identified indicators of impairment related to the operations in San Francisco. The Company's evaluation involved comparing the carrying value of its investment with the recoverable amount which was determined basis the cash flows expected to be generated by the operations in New Jersey and Dallas.

The future cash flows considered key assumptions such as volume growth, margins, etc. with due consideration for potential risks given the current economic environment. The discount rates used were pre tax rates based on Weighted average cost of capital and reflects markets assessment of the risk specific to the asset as well as time value of money. The recoverable amount estimates were based on judgements, estimates, assumptions and market data as on the reporting date and ignore subsequent changes in the economic and market conditions.

The future cash flows were discounted using the post-tax nominal discount rate of 15.15% derived from the post-tax weighted average cost of capital. Accordingly, the Company determined the recoverable amounts for its investment to be ' 829.62 lakhs and recorded a provision for impairment of ' 1,011.02 lakhs for the previous year ended March 31, 2023.

48. On October 31, 2022, the Company entered into a Share Subscription and Shareholders Agreement (SSHA) with Spardha Learnings Private Limited. As a part of the SSHA, the Company has subscribed to the below:

a. 9,238 Pre-Series A2 CCPS of face value of ' 10 and 5 equity shares of face value of ' 10, for a total consideration of ' 500.32 lakhs on November 11, 2022 as tranche 1.

b. 3,694 Pre-Series A2 CCPS of face value of ' 10 for a total consideration of ' 199.96 lakhs on January 30, 2023 as tranche 2.

The total investment constitutes 11.50% of the share capital of Spardha Learnings Private Limited on a fully diluted basis. The Company has classified the above investments as non-current investment in its financial information.

49. BUSINESS TRANSFER AGREEMENT (BTA) WITH GAAMA GAANA LIMITED:

Gaama Gaana Limited (GGL), a fellow subsidiary of the Company was engaged in the business of licensing music audio content and hosting and streaming such music audio content in different languages through applications dedicated to online music streaming under the name 'Gaana'.

The Board of Directors of the Company on October 20. 2023, approved the execution of the Business Transfer Agreement ('BTA') with GGL (a party under common control) for acquisition of the business undertaking of GGL relating to the business of licensing music audio content and hosting and streaming services under the name -'Gaana', on a going concern basis through a slump sale.

The Company completed execution of the above BTA on December 1, 2023, at a purchase consideration of ' 25 lakhs. Further, as per Appendix C to Ind AS 103, Business Combinations, the financial information for the comparative period, has been restated to include the financial information from the earliest period for the acquired business and presented.

Notes:

a. Improvement in current ratio for the current year as compared to previous year is on account of reduction in trade payables as compared to the previous year.

b. Debt to equity ration has reduced in the current year mainly on account of reduction in lease liabilities.

c. The improvement in debt service coverage ratio is mainly on account of reduction in losses as compared to the previous year mainly due to restatement of financial information as mentioned in Note No. 49.

d. The improvement in return on equity ratio is mainly on account of reduction in losses as compared to the previous year mainly due to restatement of financial information as mentioned in Note No. 49.

e. The improvement in net profit ratio is mainly on account of reduction in losses as compared to the previous year mainly due to restatement of financial information as mentioned in Note No. 49.

f. The improvement in return on capital employed is mainly on account of reduction in losses as compared to the previous year mainly due to restatement of financial information as mentioned in Note No. 49.

g. Return on investment is higher on account of higher yield from investments during the current year as compared to the previous year.

51. During the year ended March 31, 2024 and previous year ended March 31, 2023, no funds have been advanced or loaned or invested (either from borrowed funds or share premium or any other sources or kind of funds) by the Company to or in any other person(s) or entity(ies), including foreign entities ("Intermediaries”) with the understanding, whether recorded in writing or otherwise, that the Intermediary shall lend or invest in party identified by or on behalf of the Company (Ultimate Beneficiaries).

The Company has not received any fund from any party(s) (Funding Party) with the understanding that the Company shall whether, directly or indirectly lend or invest in other persons or entities identified by or on behalf of the Company ("Ultimate Beneficiaries”) or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

52. DISCLOSURE OF TRANSACTIONS WITH STRUCK OFF COMPANIES.

The Company did not have any material transactions with companies struck off under Section 248 of the Companies Act, 2013 or Section 560 of Companies Act, 1956 during the year ended March 31, 2024 and previous year ended March 31, 2023.

53. The Company did not have any transactions to report against the following disclosure requirements as notified by MCA pursuant to amended Schedule III:

(a) Crypto currency or virtual currency

(b) Benami Property held under Prohibition of Benami Property Transactions Act, 1988 and rules made thereunder

(c) Registration of charges or satisfaction with Registrar of Companies

(d) Relating to borrowed funds:

i. Willful defaulter

ii. Utilisation of borrowed funds & share premium

iii. Borrowings obtained on the basis of security of current assets

iv. Discrepancy in Utilisation of borrowings

54. DISCLOSURE IN RELATION TO UNDISCLOSED INCOME

During the year ended March 31,2024 and previous year ended March 31, 2023, the Company has not surrendered or disclosed any income 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). Accordingly, there are no transaction which are not recorded in the books of accounts.

55. MANAGEMENT NOTE ON AUDIT TRAIL

The Ministry of Corporate Affairs (MCA) has prescribed a new 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 uses the accounting software SAP for maintaining books of account. During the year ended 31 March 2024, the Company had not enabled the feature of recording audit trail (edit log) at the database level for the said accounting software to log any direct data changes on account of recommendation in the accounting software administration guide which states that enabling the same all the time consume storage space on the disk and can impact database performance significantly. The users of the Company do not have any access to database Ids with DML (Data Manipulation Language) authority which can make direct data changes (create, change, delete) at database level. Audit trail (edit log) is enabled at the application level as part of standard SAP framework and the Company's users have access to perform transactions only from the application level.

56. Figures of the previous year (other than impact explained in Note 49) have been regrouped and/or reclassified wherever considered necessary. The impact, if any, are not material to the financial statement.

Signatures to notes "1” to "56” forming part of the standalone financial statements.