(h) Provisions, Contingent Liabilities and
Contingent Assets:

Provisions are recognized when the
Company has a present obligation (legal
or constructive) as a result of a past
event and it is probable that an outflow of
resources, that can be reliably estimated,
will be required to settle such an obligation.

I f the effect of the time value of money is
material, provisions are determined by
discounting the expected future cash flows
to net present value using an appropriate
pre-tax discount rate that reflects current
market assessments of the time value of
money and, where appropriate, the risks
specific to the liability. Unwinding of the
discount is recognized in the Statement
of Profit and Loss as a finance cost.
Provisions are reviewed at each reporting
date and are adjusted to reflect the
current best estimate.

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, is disclosed as
a contingent liability. Contingent liabilities
are also disclosed when there is a possible
obligation arising from past events, the
existence of which will be confirmed only by
the occurrence or non-occurrence of one

or more uncertain future events not wholly
within the control of the Company.

Claims against the Company where the
possibility of any outflow of resources in
settlement is remote, are not disclosed as
contingent liabilities.

Contingent assets are not recognized in
financial statements since this may result in
the recognition of income that may never
be realized. However, when the realization of
income is virtually certain, then the related
asset is not a contingent asset and is
recognized. A contingent asset is disclosed,
in financial statements, where an inflow of
economic benefits is probable.

(i) Revenue Recognition:

(i) Revenue from Contracts with

Customers

• Revenue is recognized on the basis
of approved contracts regarding
the transfer of goods or services
to a customer for an amount
that reflects the consideration
to which the entity expects to be
entitled in exchange for those
goods or services.

^• Revenue towards satisfaction
of a performance obligation
is measured at the amount of
transaction price (net of variable
consideration) allocated to
that performance obligation.
The transaction price of goods
sold and services rendered is
net of variable consideration
and outgoing taxes on sale.
Any amounts receivable from
the customer are recognized as
revenue after the control over the
goods sold are transferred to the
customer which is generally on
dispatch/delivery of goods.

• Variable consideration - It is
estimated at contract inception

considering the terms of various
schemes with customers and
constrained until it is highly
probable that a significant
revenue reversal in the amount of
cumulative revenue recognized
will not occur when the associated
uncertainty with the variable
consideration is subsequently
resolved. It is reassessed at end of
each reporting period.

• Significant financing component
- In some cases, the Company
receives short-term advances
from its customers. Using the
practical expedient in Ind AS 115,
the Company does not adjust the
promised amount of consideration
for the effects of a significant
financing component if it expects,
at contract inception, that the
period between the transfer of the
promised good or service to the
customer and when the customer
pays for that good or service will
be one year or less.

(ii) Dividend income is accounted for
when the right to receive the income
is established.

(iii) Interest income is recognized using the
Effective Interest Method.

(j) Lease:

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

(i) the contract involves the use of
identified asset;

(ii) the Company has substantially all of the
economic benefits from the use of the
asset through the period of lease and;

(iii) the Company has the right to direct
the use of the asset.

As a lessee

The Company recognizes a right-of-use
asset ("ROU") and a lease liability at the
lease commencement date. The ROU is
initially measured at cost, which comprises
the initial amount of the lease liability
adjusted for any lease payments made
at or before the commencement date,
plus any initial direct costs incurred and
an estimate of costs to dismantle and
remove the underlying asset or to restore
the underlying asset or the site on which it is
located, less any lease incentives received.

Certain lease arrangements include
the option to extend or terminate the
lease before the end of the lease term.
The right-of-use assets and lease liabilities
include these options when it is reasonably
certain that the option will be exercised.

The ROU is subsequently depreciated
using the straight-line method from
the commencement date to the end of
the lease term.

The lease liability is initially measured at
the present value of the lease payments
that are not paid at the commencement
date, discounted using the interest rate
implicit in the lease or, if that rate cannot
be readily determined, the company's
incremental borrowing rate or SBI base
rate. Generally, the company uses
the SBI base rate.

Lease payments included in the
measurement of the lease liability
comprises fixed payments, including
in-substance fixed payments, amounts
expected to be payable under a residual
value guarantee and the exercise price
under a purchase option that the Company

is reasonably certain to exercise, lease
payments in an optional renewal period
if the Company is reasonably certain to
exercise an extension option.

The lease liability is subsequently measured
at amortized cost using the effective
interest method, except those which are
payable other than functional currency
which is measured at fair value through
profit or loss. It is remeasured when there is
a change in future lease payments arising
from a change in an index or rate, if there
is a change in the company's estimate of
the amount expected to be payable under
a residual value guarantee, or if company
changes its assessment of whether it
will exercise a purchase, extension or
termination option.

When the lease liability is remeasured in
this way, a corresponding adjustment is
made to the carrying amount of the ROU,
or is recorded in Statement of Profit or Loss
if the carrying amount of the ROU has been
reduced to zero.

Lease Liabilities have been presented in
'Financial Liabilities' and the 'ROU' have
been presented separately in the Balance
Sheet. Lease payments have been
classified as financing activities in the
Statement of Cash Flows.

Short-term leases and leases of
low-value assets

The Company has elected not to recognize
ROU and lease liabilities for short term
leases that have a lease term of 12 months
or lower and leases of low value assets.
The Company recognizes the lease
payments associated with these leases as
an expense over the lease term. The related
cash flows are classified as Operating
activities in the Statement of Cash Flows.

As a lessor

When the Company is an intermediate
lessor, it accounts for its interests in the

head lease and the sublease separately.
The sublease is classified as a finance or
operating lease by reference to the right of
use asset arising from the head lease.

(k) Employee benefits:

Gratuity

The gratuity, a defined benefit plan, payable
to the employees is the based on the
Employees' service and last drawn salary
at the time of the leaving of the services
of the Company and is in accordance with
the Rules of the Company for payment of
Gratuity. Liability with regards to gratuity
plan is determined using the projected unit
credit method, with actuarial valuations
being carried out by a qualified independent
actuary at the end of each annual reporting
period. Re-measurement, comprising
actuarial gains and losses, the effect of the
changes to the asset ceiling (if applicable)
and the return on plan assets (excluding
net interest), is reflected immediately in
the Balance Sheet with a charge or credit
recognized in Other Comprehensive Income
(oci) in the period in which they occur.
Re-measurement recognized in OCI is
reflected immediately in retained earnings
and will not be reclassified to Statement of
Profit and Loss.

Past service cost is recognized in the
Statement of Profit and Loss in the period of
a plan amendment. Interest is calculated by
applying the discount rate at the beginning
of the period to the net defined benefit
liability or asset and is recognized in the
Statement of Profit and Loss. Defined benefit
costs are categorized as follows:

• service cost (including current service
cost, past service cost, as well as
gains and losses on curtailments
and settlements);

• net interest expense or income; and

• re-measurement

The present value of the defined benefit
plan liability is calculated using a discount

rate which is determined by reference to
market yields at the end of the reporting
period on government bonds.

The defined benefit obligation recognized
in the Balance Sheet represents the actual
deficit or surplus in the Company's defined
benefit plans. Any surplus resulting from this
calculation is limited to the present value of
any economic benefits available in the form
of refunds from the plans or reductions in
future contributions to the plans.

Provident Fund

The eligible employees of the Company
are entitled to receive benefits in respect of
provident fund, which is a defined benefit
plan, for which both the 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
approved provident fund which is set up
by the Company. The Company is liable for
annual contributions and any shortfall in
the fund assets based on the government
specified minimum rates of return and
recognizes such contributions and shortfall,
if any, as an expense in the year incurred.

Other employee benefits

A liability is recognized for benefits accruing
to employees in respect of wages and
salaries, annual leave and sick leave in the
period the related service is rendered.

Liabilities recognized in respect of short-term
employee benefits are measured at the
undiscounted amount of the benefits
expected to be paid in exchange for the
related service.

Liabilities recognized in respect of other
long-term employee benefits are measured
using the projected unit credit method by
a qualified independent actuary at the
end of each annual reporting period, at
the present value of the estimated future
cash outflows expected to be made by the

Company in respect of services provided
by employees up to the reporting date.
With reference to some employees, liability
of other fixed long-term employee benefits
is recognized at the present value of the
future cash outflows expected to be made
by the Company.

Remeasurement gains / losses are
recognized in the Statement of Profit and
Loss in the period in which they arise.

Compensated Absences

Accumulated compensated absences,
which are expected to be availed or
encashed beyond 12 months from the end
of the year are treated as other long-term
employee benefits. The company's liability is
actuarially determined (using the Projected
Unit Credit method) at the end of each year.
Actuarial losses/gains are recognised in the
Statement of Profit and Loss in the year in
which they arise.

(l) Income Taxes:

I ncome Tax expenses comprise current tax
and deferred tax charge or credit.

Current Tax is measured on the basis of
estimated taxable income for the current
accounting period in accordance with the
applicable tax rates and the provisions
of the Income-tax Act, 1961 and other
applicable tax laws.

Deferred tax is provided, on all temporary
differences at the reporting date between
the tax base of assets and liabilities
and their carrying amounts for financial
reporting purposes. Deferred tax assets
and liabilities are measured at the tax rates
that are expected to be applied to the
temporary differences when they reverse,
based on the laws that have been enacted
or substantively enacted at the reporting
date. Tax relating to items recognised
directly in equity or OCI is recognised in
equity or OCI and not in the Statement of
Profit and Loss.

Current tax assets and current tax liabilities
are offset when there is a legally enforceable
right to set off the recognised amounts
and there is an intention to settle the asset
and the liability on a net basis. Deferred tax
assets and deferred tax liabilities are offset
when there is a legally enforceable right to
set off current tax assets against current tax
liabilities; and the deferred tax assets and
the deferred tax liabilities relate to income
taxes levied by the same taxation authority.

A deferred tax asset is recognised to the
extent that it is probable that future taxable
profits will be available against which the
temporary difference can be utilized except:

a) 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; and

b) In respect of deductible temporary
differences associated with
investments in subsidiaries, associates
and interests in joint ventures, deferred
tax assets are recognised only to
the extent that it is probable that the
temporary differences will reverse in
the foreseeable future and taxable
profit will be available against which the
temporary differences can be utilised.

Deferred tax assets are reviewed at each
reporting date and are recognised /
reduced to the extent that it is probable /
no longer probable respectively that the
related tax benefit will be realised.

(m) Earnings Per Share:

Basic Earnings Per Share ("EPS") is computed
by dividing the net profit / (loss) after tax
for the year attributable to the equity
shareholders by the weighted average

number of equity shares outstanding
during the year.

For the purpose of calculating diluted
earnings per share, net profit / (loss) after
tax for the year attributable to the equity
shareholders is divided by the weighted
average number of equity shares which
could have been issued on the conversion
of all dilutive potential equity shares.

(n) Foreign Currency transactions:

Transactions in currencies other than
the Company's functional currency (i.e.
foreign currencies) are recognised at
the rates of exchange prevailing at the
dates of the transactions. At the end of
each reporting period, monetary items
denominated in foreign currencies are
translated at the rates prevailing at that
date. Non-monetary items carried at fair
value that are denominated in foreign
currencies are translated at the rates
prevailing at the date when the fair value
was determined. Non-monetary items
that are measured in terms of historical
cost in a foreign currency are translated
using the exchange rate as at the date of
initial transactions.

Exchange differences on monetary items
are recognised in the Statement of Profit
and Loss in the period in which they
arise except for:

• exchange differences on foreign

currency borrowings relating to assets
under construction for future productive
use, which are included in the cost of
those assets when they are regarded
as an adjustment to interest costs on
those foreign currency borrowings;

^• exchange differences relating to

qualifying effective cash flow hedges
and qualifying net investment hedges
in foreign operations which are

recognised in OCI.

(o) Financial Instruments:

A Financial Instrument is any contract that
gives rise to a financial asset of one entity
and a financial liability or equity instrument
of another entity. Financial assets and
financial liabilities are recognised when
a Company becomes a party to the
contractual provisions of the instruments.

Initial Recognition:

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 and ancillary costs related to
borrowings) 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 charged to the
Statement of Profit and Loss over the tenure
of the financial assets or financial liabilities.
However, trade receivables that do not
contain a significant financing component
are measured at transaction price.

Classification and Subsequent
Measurement: Financial Assets

The Company classifies financial assets as
subsequently measured at amortised cost,
Fair Value through Other Comprehensive
Income ("FVOCI") or Fair Value through Profit
or Loss ("FVTPL") on the basis of following:

• the entity's business model for
managing the financial assets and

• the contractual cash flow
characteristics of the financial asset.

Amortised Cost:

A financial asset shall be classified and
measured at amortised cost if both of the
following conditions are met:

^• the financial asset is held within a
business model whose objective is to
hold financial assets in order to collect
contractual cash flows and

^• the contractual terms of the financial
asset give rise on specified dates to
cash flows that are solely payments of
principal and interest on the principal
amount outstanding.

In case of financial assets classified and
measured at amortised cost, any interest
income, foreign exchange gains or losses
and impairment are recognised in the
Statement of Profit and Loss.

Fair Value through OCI:

A financial asset shall be classified and
measured at fair value through OCI if both
of the following conditions are met:

^• the financial asset is held within a
business model whose objective
is achieved by both collecting
contractual cash flows and selling
financial assets and

^• the contractual terms of the financial
asset give rise on specified dates to
cash flows that are solely payments of
principal and interest on the principal
amount outstanding.

Fair Value through Profit or Loss:

A financial asset shall be classified and
measured at fair value through profit or loss
unless it is measured at amortised cost or
at fair value through OCI.

All recognised financial assets are
subsequently measured in their entirety
at either amortised cost or fair value,
depending on the classification of the
financial assets.

For financial assets at FVTPL, net gains or
losses, including any interest or dividend
income, are recognised in the Statement of
Profit and Loss.

Classification and Subsequent
Measurement: Financial liabilities

Financial liabilities are classified as either
financial liabilities at FVTPL or 'other
financial liabilities.

Financial Liabilities at FVTPL:

Financial liabilities are classified as at FVTPL
when the financial liability is held for trading
or is a derivative (except for effective
hedge) or are designated upon initial
recognition as FVTPL:

Gains or Losses, including any interest
expense on liabilities held for trading
are recognised in the Statement of
Profit and Loss.

Other Financial Liabilities:

Other financial liabilities (including
borrowings and trade and other payables)
are subsequently measured at amortised
cost using the effective interest method.

Impairment of financial assets:

Expected credit losses are recognized for
all financial assets subsequent to initial
recognition other than financials assets
in FVTPL category. For financial assets
other than trade receivables, as per Ind
AS 109, the Company recognises 12 month
expected credit losses for all originated or
acquired financial assets if at the reporting
date the credit risk of the financial asset has
not increased significantly since its initial
recognition. The expected credit losses are
measured as lifetime expected credit losses
if the credit risk on financial asset increases
significantly since its initial recognition.

The Company's trade receivables do not
contain significant financing component
and as per simplified approach, loss
allowances on trade receivables are
measured using provision matrix at an
amount equal to life time expected losses
i.e. expected cash shortfall.

The impairment losses and reversals are
recognised in Statement of Profit and Loss.

Derecognition of financial assets and
financial liabilities:

The Company derecognises a financial
asset when the contractual rights to
the cash flows from the asset expire, or
when it transfers the financial asset and
substantially all the risks and rewards
of ownership of the asset to another
party. If the Company neither transfers
nor retains substantially all the risks and
rewards of ownership and continues to
control the transferred asset, the Company
recognises its retained interest in the asset
and an associated liability for amounts it
may have to pay.

If the Company retains substantially all
the risks and rewards of ownership of a
transferred financial asset, the Company
continues to recognise the financial asset
and also recognises an associated liability
for amounts it has to pay.

On derecognition of a financial asset, the
difference between the asset's carrying
amount and the sum of the consideration
received and receivable and the cumulative
gain or loss that had been recognised in OCI
and accumulated in equity is recognised in
the Statement of Profit and Loss.

The Company de-recognises financial
liabilities when and only when, theCompany's
obligations are discharged, cancelled or
have expired. The difference between the
carrying amount of the financial liability
de-recognised and the consideration paid
and payable is recognised in the Statement
of Profit and Loss.

(p) Cash and cash equivalents:

Cash and cash equivalents in the Balance
Sheet comprise cash at bank and in hand
and short-term deposits with banks that
are readily convertible into cash which
are subject to insignificant risk of changes

in value and are held for the purpose of
meeting short-term cash commitments.

(q) Financial liabilities and equity instruments:

• Classification as debt or equity

Debt and equity instruments issued
by the Company are classified as
either financial liabilities or as equity
in accordance with the substance of
the contractual arrangements and the
definitions of a financial liability and an
equity instrument.

• Equity instruments

An equity instrument is any contract
that evidences a residual interest in
the assets of an entity after deducting
all of its liabilities. Equity instruments
issued by a Company are recognised
at the proceeds received.

(r) Derivative financial instruments:

The Company enters into derivative financial
instruments viz. foreign exchange forward
contracts, interest rate swaps and cross
currency swaps to manage its exposure
to interest rate, foreign exchange rate risks
and commodity prices. The Company does
not hold derivative financial instruments for
speculative purposes.

Derivatives are initially recognised at fair
value at the date the derivative contracts
are entered into and are subsequently
remeasured to their fair value at the end
of each reporting period. The resulting
gain or loss is recognised in profit or
loss immediately excluding derivatives
designated as cashflow hedge.

(s) Segment Reporting - Identification of
Segments:

An operating segment is a component of
the Company that engages in business
activities from which it may earn revenues
and incur expenses, whose operating
results are regularly reviewed by the
company's Chief Operating Decision Maker

("CODM") to make decisions for which
discrete financial information is available.
Based on the management approach as
defined in Ind AS 108, the CODM evaluates
the Company's performance and allocates
resources based on an analysis of various
performance indicators by business
segments and geographic segments.

(t) Business Combination:

Business combinations except for common
control transactions are accounted for using
the acquisition method. At the acquisition
date, the identifiable assets acquired, and
the liabilities assumed are recognised at
their acquisition date fair values.

Goodwill is measured at cost, being
the excess of the aggregate of the
consideration transferred and the amount
recognised for non-controlling interests,
and any previous interest held, over the
net identifiable assets acquired and
liabilities assumed. Such goodwill is tested
annually for impairment. If the fair value
of the net assets acquired is in excess of
the aggregate consideration transferred,
then the gain is recognised in OCI and
accumulated in equity as capital reserve.
However, if there is no clear evidence of
bargain purchase, the entity recognises the
gain directly in equity as capital reserve,
without routing the same through OCI.

Business combinations involving entities or
businesses under common control will be
accounted for using the pooling of interest
method. Under pooling of interest method,
the assets and liabilities of the combining
entities are reflected at their carrying
amounts, the only adjustments that are
made are to harmonies accounting policies.
The difference, if any, between the amount
recorded as share capital issued plus any
additional consideration in the form of cash
or other assets and the amount of share
capital of the transferor will be transferred
to capital reserve.

(u) Cash Dividend to Equity Holders of the
Company:

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

1(C) SIGNIFICANT MANAGEMENT JUDGEMENTS,
ESTIMATES & ASSUMPTIONS:

The preparation of financial statements, in
conformity with the Ind AS requires judgments,
estimates and assumptions to be made, that
affect the reported amounts of assets and
liabilities on the date of the financial statements,
the reported amounts of revenues and expenses
during the reporting period and the disclosures
relating to contingent liabilities as of the date
of the financial statements. Although these
estimates are based on the management's
best knowledge of current events and actions,
uncertainty about these assumptions and
estimates could result in outcomes different
from the estimates. Difference between
actual results and estimates are recognized
in the period in which the results are known
or materialise. Estimates and underlying
assumptions are reviewed on an ongoing
basis. Any revision to accounting estimates is
recognised prospectively in the current and
future periods.

The key assumptions concerning the future and
other key sources of estimation uncertainty
at the reporting date, that have a significant
risk of causing a material adjustment to the
carrying amounts of asset and liabilities within
the next financial year, are described below.
The Company based its assumptions and
estimates on parameters available when the
financial statements were prepared.

Existing circumstances and assumptions about
future developments, however, may change due

to market changes or circumstances arising
that are beyond the control of the Company.
Such changes are reflected in the assumptions
when they occur.

(i) Useful Lives of Property, Plant & Equipment and
Intangible Assets:

The Company uses its technical expertise
along with historical and industry trends for
determining the economic life of an asset/
component of an asset. The useful lives are
reviewed by management periodically and
revised, if appropriate. In case of a revision, the
unamortised depreciable amount is charged
over the remaining useful life of the assets.

(ii) Impairment of Assets:

The Company reviews its carrying value of
assets annually where there is an indication
of impairment by estimating the future
economic benefits from using such assets. If the
recoverable amount is less than its carrying
amount, the impairment loss is accounted for.

(iii) Recognition and measurement of deferred tax
assets and liabilities:

Deferred tax assets and liabilities are recognised
for deductible temporary differences for which
there is probability of utilisation against the future
taxable profit. The Company uses judgement to
determine the amount of deferred tax liability
/ asset that can be recognised, based upon
the likely timing and the level of future taxable
profits and business developments.

(iv) Classification of Lease Ind AS 116

The Company evaluates if an arrangement
qualifies to be a lease as per the requirements
of Ind AS 116. The Ind AS 116 requires lessees to
determine the lease term as the non-cancellable
period of a lease adjusted with any option to
extend or terminate the lease, if the use of such
option is reasonably certain. The Company uses
significant judgement in assessing the lease
term (including anticipated renewals) and the
applicable discount rate.

(v) Fair value measurement of financial
instruments:

In estimating the fair value of an asset or liability,
the Company uses market-observable data to
the extent it is available. Where level 1 inputs
are not available, the Company engages third
party qualified valuers to perform the valuation.
The management works closely with qualified
external valuers to establish the appropriate
valuation techniques and inputs to the model.

(vi) Revenue Recognition

The Company recognises revenue in
accordance with Ind AS 115 "Revenue from
Contracts with Customers". Revenue from the
sale of goods is recognised at a point in time
when the control has been transferred, which
generally coincides with terms as agreed
with the customers. Revenue is required to be
recognised in accordance with the terms of the
customer contracts, which involve management
judgements as described above.

(vii) Defined benefit plans:

The cost of the defined benefit gratuity plan,
provident fund and other post-employment

medical benefits and the present value of
the gratuity and provident fund obligation
are determined using actuarial valuations.
An actuarial valuation involves making various
assumptions that may differ from actual
developments in the future. 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 highly sensitive to changes in these
assumptions. All assumptions are reviewed at
each reporting date.

(viii) Litigation and Contingencies:

The Company has ongoing litigations with
regulatory authorities. Where an outflow of
funds is believed to be probable and a reliable
estimate of the outcome of the dispute can be
made based on management's assessment
of specific circumstances of each dispute and
relevant external advice, management provides
for its best estimate of the liability. Such accruals
are by nature complex and can take number
of years to resolve and can involve estimation
uncertainty. Information about such litigations is
provided in notes to the financial statements.

* Pursuant to the approval of the shareholders in Extra Ordinary General Meeting held on January 31, 2022, the Company
has allotted 12,39,03,875 bonus shares of ? 2/- each fully paid-up on February 10, 2022 in the proportion of 5 equity share
for every 2 equity share of ? 2/- each held by the equity shareholders of the Company.

**The scheme of merger by absorption of Blue Circle Organic Private Limited ("BCOPL" or 'the Absorbed Undertaking') by
Blue Jet Healthcare Private Limited (Formerly known as Jet Chemicals Private Limited) ("the Company”) was approved by
the National Company Law Tribunal vide order dated November 19, 2020 ('the Scheme'). As per requirement of Appendix
C of Ind AS 103 'Business Combinations', the scheme, which is effective 1st April 2019, has been accounted as per 'pooling
of interests' method. Accordingly, the assets and liabilities of the combining entity are reflected at their carrying amounts.
Further, in the term of the Scheme, as a consideration of the absorption of BCOPL with the Company 9,31,231 shares have
been issued by the Company.

NOTE 33 - CAPITAL AND OTHER COMMITMENTS

Estimated amount of Contracts remaining to be executed on capital account, not provided for (net of
advances) 5 484.55 million (March 31, 2024 - 5 439.06 million)

NOTE 34: EMPLOYEE BENEFITS (iND AS 19)

a. Defined Benefit Plans:

Gratuity:

The gratuity payable to employees is based on the employee's service and last drawn salary at the
time of leaving the services of the Company and is in accordance with the rules of the Company for
payment of gratuity.

Inherent Risk on above:

The plan is defined in nature which is sponsored by the Company and hence it underwrites all the risks
pertaining to the plan. In particular, this exposes the Company to actuarial risk such as adverse salary
growth, change in demographic experience, inadequate return on underlying plan assets. This may result
in an increase in cost of providing these benefits to the employees in future. Since the benefits are lump
sum in nature, the plan is not subject to any longevity risk.

* The Sensitivity Analysis have been calculated to show the movement in defined benefit obligation in isolation
and assuming there are no other changes in market conditions at the accounting date. There have been no
changes from the previous periods in the methods and assumptions used in preparing the sensitivity analysis.

Basis used to determine Expected Rate of Return on Plan Assets:

Expected rate of return on Plan Assets is based on expectation of the average long term rate of
return expected on investments of the fund during the estimated term of the obligations.

Salary Escalation Rate:

The estimates of future salary are considered taking into account inflation, seniority, promotion and
other relevant factors.

Asset Liability matching strategy :

The money contributed by the Company to the Gratuity fund to finance the liabilities of the plan has
to be invested.

The company has outsourced the investment management of the fund to LIC. The Insurance
Company in turn manages these funds as per the mandate provided to them by the company and
the asset allocation which is within the permissible limits prescribed in the insurance regulations.
Due to the restrictions in the type of investments that can be held by the fund, it is not possible to
explicitly follow an asset liability matching strategy.

There is no compulsion on the part of the Company to fully prefund the liability of the Plan.
The Company's philosophy is to fund these benefits based on its own liquidity and the level of under
funding of the plan.

The Company's expected contribution during next year is E 23.62 million (March 31, 2024: E 24.87 million)
Defined Contribution Plans:

Amount recognized as an expense and included in Note 28 under the head "Contribution to Provident
and other Funds" of Statement of Profit and Loss is E 11.29 million (March 31, 2024: E 9.56 million)

NOTE 41: FAIR VALUE MEASUREMENT (iND AS 113):

The fair values of the financial assets and liabilities are 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.

The Company has established the following fair value hierarchy that categorizes the values into 3 levels.
The inputs to valuation techniques used to measure fair value of financial instruments are:

Level 1: This hierarchy uses quoted (unadjusted) prices in active markets for identical assets or liabilities.
The company does not have any such asset or liabilities.

Level 2: The fair value of financial instruments that are not traded in an active market is determined using
valuation techniques which maximize the use of observable market data and rely as little as possible on
company specific estimates. The investment in mutual funds are valued using the closing Net Asset Value
based on the mutual fund statements received by the company. If all significant inputs required to fair value
an instrument are observable, the instrument is included in Level 2.

Level 3: If one or more of the significant inputs is not based on observable market data, the instrument is
included in Level 3.

The management assessed that trade receivables, cash and bank balances, trade payables, and other
financial asset and liabilities approximate their carrying amounts largely due to the short-term maturities of
these instruments.

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

The fair values of the quoted investments/units of mutual fund schemes are based on market price/net asset
value at the reporting date.

NOTE 42: CAPITAL MANAGEMENT (iND AS l):

The Company's objectives when managing capital are to:

(a) maximise shareholder value and provide benefits to other stakeholders and

(b) maintain an optimal capital structure to reduce the cost of capital.

For the purposes of the Company's capital management, capital includes issued capital, share premium
and all other equity reserves attributable to the equity holders.

The Company monitors capital using debt-equity ratio, which is total debt less liquid investments divided
by total equity.

NOTE 44: FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES (iND AS 107):

The Company's principal financial liabilities comprises of borrowings, 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 Investments, Loans and Other receivables, Cash and Cash Equivalents,
Other Bank Balances that directly derive from its operations

The Company is exposed to Market Risk, Credit Risk and Liquidity Risk. The Company's senior management
oversees the management of these risks. The Company's senior management ensures that the Company's
financial risk activities are governed by appropriate policies and procedures and that financial risks are
identified, measured and managed in accordance with the Company's policies and risk objectives.

a. Market Risk

Market risk is the risk of loss of future earnings, fair values or future cash flows that may result from a
change in the price of a financial instrument.

The value of a financial instrument may change as a result of changes in the interest rates, foreign currency
exchange rates, equity prices and other market changes that affect market risk sensitive instruments.
Market risk is attributable to all market risk sensitive financial instruments including investments and
deposits, foreign currency receivables and payables.

Foreign Currency Risk

Foreign currency risk is the risk of impact related to fair value or future cash flows of an exposure in
foreign currency, which fluctuate due to changes in foreign exchange rates. The Company's exposure
to the risk of changes in foreign exchange rates relates primarily to the receivable against exports of
finished goods and payable against import of raw material.

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.

The Company evaluates exchange rate exposure arising from foreign currency transactions. The Company
follows established risk management policies, where management enters into forward contract, if
required for the purpose of being hedge.

b. Credit Risk :

Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or
customer contract, leading to a financial loss. The Company is exposed to credit risk from from its
operating activities (primarily Trade Receivables), investing and financing activities including Mutual
Fund Investments, Deposits with Bank, Security Deposits, and other financial instruments.

Trade Receivables :

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

Total Trade receivable as on March 31, 2025 5 3,495.33 million (March 31, 2024 5 1,769.32 million).

As on March 31, 2025, two customers represent for 87% of the Company's total receivables (March 31, 2024:
68% from a single customer).

As per simplified approach, the Company makes provision of expected credit losses on trade receivables
using a provision matrix to mitigate the risk of default payments and makes appropriate provision at
each reporting date wherever outstanding is for longer period and involves higher risk.

Investments, Cash and Cash Equivalent and Bank Deposit:

Credit Risk on cash and cash equivalent, deposits with the banks/financial institutions is generally low as
the said deposits have been made with the banks/financial institutions who have been assigned high
credit rating by international and domestic rating agencies.

c. Liquidity Risk

Liquidity risk is defined as the risk that the Company will not be able to settle or meet its obligations on
time or at reasonable price. Prudent liquidity risk management implies maintaining sufficient cash and
marketable securities and the availability of funding through an adequate amount of credit facilities to
meet obligations when due. Senior management of the Company is responsible for liquidity, funding as
well as settlement management. Management monitors the Company's liquidity position through rolling
forecasts on the basis of expected cash flows.

NOTE 47: REVENUE (iND AS 115)

(A) The Company is exclusively engaged in the business of manufacturing of Artificial Sweetener, Contrast
Media Intermediate, Pharma Intermediate, APls used in Pharmaceutical and Healthcare products. All sales
are made at a point in time and revenue recognised upon satisfaction of the performance obligations
which is typically upon dispatch/ delivery. The Company has a credit evaluation policy based on which
the credit limits for the trade receivables are established, the Company does not give significant credit
period resulting in no significant financing component.

NOTE 50 : IPO

In FY 2023-24, the Company has completed its initial public offer ("IPO") of 2,42,85,160 equity shares of face value
of E 2 each at an issue price of E 346 per equity share. The issue was entirely an offer for sale aggregating to
E 8,402.66 million. Pursuant to IPO, the equity shares of the Company were listed on National Stock Exchange
of India and BSE Limited w.e.f. November 01, 2023.

NOTE 51 : EXCEPTIONAL ITEMS

On November 03, 2023, there was a fire incident at the Mahad facility. The Company has intimated identified
loss of stock and assets to the insurance company and all the assets are adequetaly insured. The loss of
damaged assets and compensation to employees aggregating to E 97.43 million has been accounted for
as an exceptional item for the year ended 31st March, 2024. The insurance claim will be recognised when it's
finalised and approved by the insurance company.

NOTE 52 : LONG TERM CONTRACTS

The Company has a process whereby periodically all the long term contracts (including derivatives contracts)
are assessed for material foreseeable losses. At the year end, the Company has reviewed and ensured that
adequate provision as required under any law / accounting standards for material foreseeable losses on
such long term contracts has been made in the books of accounts.

NOTE 53: OTHER STATUTORY INFORMATION

(i) (a) The company had completed its initial public offer ("IPO") in Q3 FY 23-24. The same was entirely an

offer for sale (for further details refer note 50). Therefore, as on March 31, 2024 there is no unutilsed
amounts in respect of such issue of securities.

(i) (b) The company had nil long term borrowings from banks and financial institutions in the FY 24-25.

(ii) The Company do not have any charges or satisfaction, which is yet to be registered with Registrar of
Companies beyond the statutory year.

(iii) The Company is in compliance with the number of layers prescribed under clause (87) of section 2 of the
Companies Act read with the Companies (Restriction on number of Layers) Rules, 2017.

(iv) The Company do not have any Benami property, where any proceeding has been initiated or pending
against the Company for holding any Benami property.

(v) The Company has not been declared willful defaulter by any bank or financial institution or other lender.

(vi) The Company have not traded or invested in Crypto currency or Virtual Currency during the year.

(vii) The Company have not advanced or loaned or invested funds to any other person(s) or entity(ies),
including foreign entities (Intermediaries) with 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 have not received any fund from any person(s) or entity(ies), 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) There is no income surrendered or disclosed as income during the current or previous year in the tax
assessments under the Income Tax Act, 1961, that has not been recorded in the books of account.

(x) The company does not have any transaction with struck off companies.

In terms of our report attached For and on behalf of the Board of Directors

Blue Jet Healthcare Limited

For KKC & Associates LLP

(formerly Khimji Kunverji & Co LLP)

Chartered Accountants
FRN: 105146W/ W100621

Akshay B Arora Shiven A Arora

Kamlesh R. Jagetia Executive Chairman Managing Director

Partner DIN: 00105637 DIN: 07351133

Membership No.:139585 Place: Navi Mumbai Place: Navi Mumbai

Place: Navi Mumbai Ganesh K Sweta Poddar

Date: May 14, 2025 Chief Financial Officer Company Secretary

Membership No. F12287

Place: Chennai Place: Navi Mumbai

Date: May 14, 2025 Date: May 14, 2025