2.9 PROVISIONS AND CONTINGENT LIABILITIES AND ASSETS
Provisions
Provisions are recognized when (he Company has a present legal or constructive obligation as a result of a past events, it is probable
that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be
made of the amount of the obligation.
If the effect of the time value of money is material, provisions arc discounted using a current pre-tax rate that reflects current market
assessments of the time value of money and the risks specific to the liability. When discounting is used, the increase in the provision
due to the passage of time is recognized as a finance cost.
Contingent liabilities
Contingent liabilities are possible obligations that arise from past events and whose existence will only be confirmed by the
occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the Company. Where it is not
probable that an outflow of economic benefits will be required, or the amount cannot be estimated reliably, the obligation is
disclosed as a contingent liability, unless the probability of outflow of economic benefits is remote.
2.10 EMPLOYEE BENEFITS
Employee benefit liabilities such as salaries, wages and bonus, etc. that arc expected to be settled wholly within twelve months alter
the end of the reporting period in which the employees render the related service arc recognized in respect of employee’s services up
to the end of the reporting period and arc measured at an undiscountcd amount expected to be paid when the liabilities arc settled
Post Retirement Employee Benefits
Gratuity
(a) Defined contribution plans:
Defined contribution plans are employee stale insurance scheme and Government administered pension fund scheme for all
applicable employees and superannuation scheme for eligible employees. The Company’s contribution to defined contribution plans
is recognized in the Standalone Statement of Profit and Loss in the financial year to which they relate.
(b) Defined benefit plans
Defined Benefit plans are the plans for which the benefits has been defined for the eligible employees which are meant to he paid to
then at the time of retirement.
2.11 INCOME TAXES
Current Tax
Current tax comprises the expected tax payable or receivable on the taxable income or loss for the year and any adjustment to the tax
payable or receivable in respect of previous years. The amount of current lax reflects the best estimate of the tax amount expected to
be paid or received after considering the uncertainty, if any relating to income taxes. It is measured using tax rates enacted for the
relevant reporting period. It is determined as the amount of tax payable under the provisions of Income Tax Act, 1961, in respect of
taxable income for the year.
Deferred Tax
Deferred income taxes reflect the impact of current year timing difference between taxable income and accounting income for the
year and reversal of timing difference of earlier year. Deferred tax is measured based on the tax rates and the tax laws enacted or
substantively enacted at the balance sheet date.
Tax for earlier Years
The Company recognizes and accounts for tax liabilities arising from earlier years in accordance with the provisions of the Income-
tax Act, 1961, and applicable accounting standards. In cases where income tax assessments for previous years result in additional
tax liabilities, the Company makes provisions for such liabilities in the year the assessments are finalized. Interest on income tax, as
stipulated under sections 234A, 234B, and 234C of the Income-tax Act, 1961, is recognized as an expense in the year the related tax
liability is determined.
2.12 FOREIGN CURRENCY TRANSACTIONS AND TRANSLATIONS
On initial recognition, all foreign currency transactions are converted and recorded at exchange rates prevailing on the date of the
transaction. As at the reporting date, foreign currency monetary assets and liabilities are translated at the exchange rate prevailing on
the Balance Sheet date and the exchange gains or losses are recognised in the Statement of Profit and Loss. Non-monetary items
which are carried in terms of historical cost denominated in a foreign currency are reported using the exchange rate at the date of the
transaction .
2.13
REVENUE RECOGNITION
Revenue from consultancy, advertising, media planning, and other service-based contracts is recognized over time, as the customer
simultaneously receives and benefits from the services rendered. Revenue from the sale of service, including printed materials,
packaging, and advertising objects, is recognized at the point in time when control of the goods is transferred to the customer,
generally upon delivery. In cases where the Company arranges media space or time on behalf of clients and acts as an agent, revenue
is recognized on a net basis. Where the Company is the principal, revenue is recognized on a gross basis. For contracts involving
multiple elements, the total transaction price is allocated to each distinct performance obligation based on their selling prices, and
revenue is recognized as each obligation is satisfied. Amounts received in advance from customers are recognized as contract
liabilities and recorded as revenue when the corresponding performance obligations are fulfilled.
Other Income
Other Income is accounted for on accrual basis except where the receipt income is uncertain-
2.14 INVESTMENTS
Long-term Investments are carried at cost. However, provision for diminution in value is made to recognize a decline, other than
temporary, in the value of the investments.
Current Investments are carried at lower of cost or market value. The cost of securities sold is determined on the first-in-first-out
(FIFO) method.
2.1 S EARNINGS PER SHARE
Basic earnings per share is calculated by dividing the net profit or loss for the year attributable to equity share holder, by weighted
average number of equity share outstanding during the period.
Diluted earnings per share is computed by dividing the net profit or loss attributable to equity share holder by weighted average
number of equity and equivalent diluted equity share outstanding during the year except where the result would be antidilutive.
2.16 CASH AND BANK BALANCE
Cash flows are reported using the indirect melhod, whereby profit before tax is adjusted for the effects of transactions of non-cash
nature, any deferrals or accruals of past or future operating cash receipts or payments and item of income or expenses associated
with investing or financing cash flows. Cash flows from operating, investing and financing activities of the Company are segregated,
accordingly- Cash and cash equivalents in the cash flow comprise cash at bank, cash/cheques in hand and short-term investments
with an original maturity of three months or less.acquisition. Hence, normally, deposits with original maturity of three months.
Further, bank balances held as margin money or security against borrowings are neither in the nature of demand deposits, nor readily
available for use by the company, and accordingly, do not meet the aforesaid definition of cash equivalents. Thus, this is an apparent
conflict between the requirements of die Schedule III and the Accounting Standards with respect to which items should form part of
Cash & Cash equivalents.Accordingly, the conflict should be resolved by changing the caption “Cash and cash equivalents” to
“Cash and bank balances,” which may have two sub-headings, viz., “Cash and cash equivalents” and “Other bank balances.” The
former should include only the items that constitute Cash and cash equivalents defined in accordance with AS 3 (and not the
Schedule III), while the remaining line-items may be included under the latter heading.
2.17 CHANGES IN ACCOUNTING POLICIES IN THE PERIODS/YEARS COVERED IN FINANCIALS
As in the reporting period of financials, the Company was converted from a Private Limited Company to a Public Limited Company
pursuant to the provisions of the Companies Act, 2013 and has accordingly changed its name from Veritaas Advertising Private
Limited to Veritaas Advertising Limited with effect from 31st January,2024. Consequent to this change in legal status, the Company
has reviewed its accounting policies and financial reporting framework to align with the enhanced regulatory and disclosure
requirements applicable to public companies.
There has been no material impact on the financial statements as a result of this conversion, except for enhanced disclosures and
compliance with additional reporting requirements under (he Companies Act, 2013
IT. Terms/rights attached to canity shares :
No Convertible securities have been issued by the company during the period
No calls are unpaid by any Director and officer of the company during the period.
The Company has not issued/ allotted any shares pursuant to cantract(s) without payment being received in cash during current period and
The Company has not bought back any shares during current period and previous five years.
No equity shares have been reserved for issue under options and contracts/ commitments for the sale of shares/ disinvestment as at the Balance
Sheet date.
The Company has only one class of issued shares i.e. Ordinary Equity Shares having par value of Rs.10 per share. Each holder of Ordinary
Note lur IPO and Bonus Issue ill shares
The Company has only one class of issued shares i.c. Ordinary Equity Shares having par value of Rs. 10 per share. Eaeh holder of Ordinary
Shares is entitled to one vote per share. The Company has completed its initial public offer (IPO) of 7,44,000 Equity shares of face value of Rs
10 each at an issue price of Rs 114/- per share amounting to Rs 848.16/- Lakhs The equity shares of the company were listed on NSE
EMERGE Platform (India Limited ("NSE EMERGE") on 21st May, 2024.
The Board of Directors, at their meeting held on 20th November,2023, approved the private placement of 9,000 shares of the company at a
price of Rs. 1,200 per share which includes seeurilics premium of Rs. 1,190 per share and subsequently the shareholders at their extraordinary
general meeting held on 24th November, 2023 gave consent to the issue and allotment of the abovementioned shares, and thereafter the Board
of Directors, at their meeting held on 30th November, 2024 approved the allotment of the aforementioned equity shares of t 10/- each which
resulted in increase in paid-up, issued and subscribed equity shares capital of the Company from 90,000 equity shares to 99,000 equity shares
face value of 7 10/- per share. As per resolution passed, the 9000 shares will rank pari-passu in all respects with the equity shares of the
company.
The Board of Directors at their Meeting held on December 22, 2023 after the approval of the members vide their special resolution allotted
and issued bonus shares 19,80,000 of Rs. 10/- each credited as fully paid up shares in the ratio of 20:1 existing fully paid up equity share held
by the shareholders of the company on December 22, 2023(Record Date) out of Securities Premium and accumulated profits of the company
for an aggregate nominal value of Rs,198.00 lakhs.
35 Additional Disclosures
A) The company do not have any Bernini property, where any proceeding has been initiated or pending against the company for bolding any Bernini Property.
B) The Company has not been declared a wilful defaulter by any bank or financial institution or other lender (as defined under the Companies Act, 2013) or consortium thereof, in accordance with the guidelines on wilful defaulters issued by the Reserve Bank of India.
C) the company do not have any transactions with struck off companies under Section 248 of the Companies Act, 2013 or section 560 of Companies Act, 1956.
D) The company do not have any charges or satisfaction which is yet to be registered with Registrar of Companies beyond the statutory period.
F.) 'Ihe company has not trailed or invested in Crypto currency or Virtual currency during tlie financial year.
F) The Company has not advanced any fund to any person or entity, including foreign entities (Funding Party) with the understanding (whether recorded in writing or otherwise) that the person or edity shall;
a) directly or indirectly tend 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 oil behalf of the Company.
G) The Company has not received any final from any person or entity, including foreign entities (Funding Party) with the understanding (whether recorded hi writing or otherwise) that the Company .shall:
a) directly or indirectly tend or invest in other persons or ertitics identified in any manner whatsoever by or on behalf of the Company (Ultimate Beneficiaries); or
b) provide any guarantee, security or the like oil behalf of the Company,
H) Ht Company do not have any such transactions 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, 196L
36 Trade Receivables, Loans and Advances and Creditors are subject to confirmation and the consequential reccum lialioii thereof.
37 Previous year figures have been regroupcd/rcarrangcd' reclassified where necessary to correspond with current year figures.
38 Figures represerting 0.00 Lakhs are below Rs 500.
For AAAI & Associates For and un behalf of the Board
Chartered Accountants VERITAAS ADVERTISING LIMITED
Finn's Registration No. with ICAId2245$E (Formerly Known As Verflans Advertising Private Limited)
CEV: L74999WB2018PLC227215
(Niraj Agarwal) Debo jyoti Hanerjee (Sayantaa Roy)
Partner Manaeine Director CFO
Membership No.:301680 DEN: 08126557
Place: Kolknln
Date: 3Dlh Day nr May, 2025
(JOIN; 2530168IIBVINWl V6533 Sangita Debnalh I.Vlahima KhandelwHJ)
Whale-time director Company Secretary
DIN 10419140
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