A. We have audited the accompanying Standalone Financial
Statements of DENTA WATER AND INFRA SOLUTIONS
LIMITED (FORMERLY KNOWN AS DENTA PROPERTIES
AND INFRASTRUCTURE PRIVATE LIMITED) (CIN-
L70109KA2016PLC097869) ("the Company"), which comprise
the Balance Sheet as at March 31, 2025, the Statement of
Profit and Loss (including Other Comprehensive Income),
the Statement of Changes in Equity and the Statement of
Cash Flows for the year ended on that date, and a summary
of significant accounting policies and other explanatory
information (hereinafter referred to as the "Standalone
Financial Statements").
B. In our opinion and to the best of our information and
according to the explanations given to us, the aforesaid
Standalone Financial Statements give the information required
by the Companies Act, 2013 ("the Act") in the manner so
required and give a true and fair view in conformity with the
Indian Accounting Standards prescribed under section 133 of
the Act read with the Companies (Indian Accounting Standards)
Rules,2015, as amended, ("Ind AS") and other accounting
principles generally accepted in India, of the state of affairs
of the Company as at March 31, 2025, and its profit and total
comprehensive income / (loss), changes in equity and its cash
flows for the year ended on that date.
Basis for Opinion
We conducted our audit in accordance with the Standards on
Auditing (SAs) specified under section 143(10) of the Companies
Act, 2013. Our responsibilities under those Standards are
further described in the Auditor's Responsibilities for the Audit
of the Standalone Financial Statements section of our report.
We are independent of the Company in accordance with the
Code of Ethics issued by the Institute of Chartered Accountants
of India ("ICAI") together with the ethical requirements that are
relevant to our audit of the Standalone Financial Statements
under the provisions of the Companies Act, 2013 and the
Rules thereunder, and we have fulfilled our other ethical
responsibilities in accordance with these requirements and
the Code of Ethics. We believe that the audit evidence we have
obtained is sufficient and appropriate to provide a basis for our
opinion on the Standalone Financial Statements.
Key Audit Matters
Key audit matters are those matters that, in our professional
judgment, were of most significance in our audit of the
Standalone Financial Statements of the current year. These
matters were addressed in the context of our audit of the
Standalone Financial Statements as a whole, and in forming
our opinion thereon, and we do not provide a separate opinion
on these matters. We have determined the matters described
below to be the key audit matters to be communicated in our
report.
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Key Audit Matter
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Auditor's Response
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Revenue recognition for long term construction contracts
(Refer to note 2(e) and 24 of the Standalone Financial
Statements).
The Company's significant portion of business is undertaken
through long term construction contracts which is in nature
of engineering, procurement and construction basis. The
contract prices are fixed and, in some cases, subject to price
variance clauses.
Revenue from these contracts, where the performance
obligation satisfied over time, is recognised in proportion to the
stage of completion of the contract. The stage of completion is
assessed by reference to survey of work performed.
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Our procedures over the recognition of revenueincluded the
following:
• Read the Company's revenue recognition accounting
policy and assessed compliance of from Contracts with
Customers.
• Obtained an understanding of the Company's processes
and controls for revenue recognition process, evaluated
the design, and tested the operating effectiveness of the
controls over revenue recognition with specific focus on
determination of stage of completion, considering impact
of change in scope and estimation of contract cost.
• For a sample of contracts, we obtained the percentage of
completion calculations, agreed key contractual terms to
the signed contracts, tested the mathematical accuracy of
the cost to complete calculations and re- performed the
calculation of revenue recognized during the period based
on the percentage of completion.
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Key Audit Matter
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Auditor's Response
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Revenue recognition from these contracts involves significant
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• For costs incurred to date, we tested samples to
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degree of judgments and estimation including identification
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appropriate supporting documentation and performed
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of contractual obligations, the Company's rights to receive
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cut off procedures.
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payments for performance obligation completed till date
which includes measuring and recognition of contract assets,
change of scope and determination of onerous obligations
which include estimation of contract costs.
Revenue recognition is significant to the Standalone Financial
Statements based on the quantitative materiality and nature
of construction contracts involves significant judgements as
explained above.
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• To test the forecast cost to complete, weobtained the
breakdown of costs forecasts and tested elements of
the forecast by obtaining executed purchase orders and
agreements, evaluating reasonableness ofmanagement's
judgements and assumptions using past trends and
comparing the estimated costs to the actual costs incurred
for the similar completed projects.
• Assessed the relevant disclosures made by the company
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in accordance with Ind AS 115.
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Accordingly, we considered this as a key audit matter.
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Based on the above procedures performed, we considered
the manner of estimation of contract cost and recognition of
revenue to be reasonable.
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Auditor's Responsibilities for the Audit of the Standalone Financial Statements
A. Our objectives are to obtain reasonable assurance about whether the Standalone Financial Statements as a whole are
free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion.
Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with SAs
will always detect a material misstatement when it exists. Misstatements can arise from fraud or error and are considered
material if, individually or in aggregate, they could reasonably be expected to influence the economic decisions of users taken
on the basis of these Standalone Financial Statements.
B. As part of an audit in accordance with SAs, we exercise professional judgment and maintain professional skepticism throughout
the audit. We also:
i. dentify and assess the risks of material misstatement of the Standalone Financial Statements, whether due to fraud or
error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and
appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is
higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations,
or the override of internal control.
ii. Obtain an understanding of internal financial controls relevant to the audit in order to design audit procedures that are
appropriate in the circumstances. Under section 143(3)(i) of the Act, we are also responsible for expressing our opinion
on whether the Company has an adequate internal financial controls system in place and the operating effectiveness of
Information other than Standalone Financial
Statements and Auditor's Report thereon
A. The Company's Board of Directors is responsible for the
other information. The other information comprises the
information included in the Management Discussion
and Analysis, Board's Report including Annexures to
Board's Report, Business Responsibility Report, Corporate
Governance and Shareholder's Information, but does
not include the Standalone Financial Statements and our
auditor's report thereon.
Our opinion on the Standalone Financial Statements does
not cover the other information and we do not express
any form of assurance conclusion thereon.
B. In connection with our audit of the Standalone Financial
Statements, our responsibility is to read the other
information and, in doing so, consider whether the other
information is materially inconsistent with the Standalone
Financial Statements, or our knowledge obtained during
the course of our audit or otherwise appears to be
materially misstated.
If, based on the work we have performed, we conclude that
there is a material misstatement of this other information;
we are required to report that fact. We have nothing to
report in this regard.
Responsibility of Management for the
Standalone Financial Statements
A. The Company's Board of Directors is responsible for the
matters stated in section 134(5) of the Companies Act,
2U13 ( the Act ) with respect to the preparation ot these
Standalone Financial Statements that give a true and
fair view of the financial position, financial performance,
and cash flows of the Company in accordance with the
accounting principles generally accepted in India, including
the accounting standards specified under section 133 of
the Act. This responsibility also includes maintenance
of adequate accounting records in accordance with the
provisions of the Act for safeguarding of the assets of
the Company and for preventing and detecting frauds
and other irregularities; selection and application
of appropriate implementation and maintenance of
accounting policies; making judgments and estimates that
are reasonable and prudent; and design, implementation
and maintenance of adequate internal financial controls,
that were operating effectively for ensuring the accuracy
and completeness of the accounting records, relevant
to the preparation and presentation of the Standalone
Financial Statement that give a true and fair view and are
free from material misstatement, whether due to fraud or
error.
B. In preparing the Standalone Financial Statements,
management is responsible for assessing the Company's
ability to continue as a going concern, disclosing, as
applicable, matters related to going concern and using the
going concern basis of accounting unless management
either intends to liquidate the Company or to cease
operations, or has no realistic alternative but to do so.
The Board of Directors are also responsible for overseeing
the Company's financial reporting process.
such controls.
iii. Evaluate the appropriateness of accounting policies
used and the reasonableness of accounting estimates
and related disclosures made by management.
iv. Conclude on the appropriateness of management's
use of the going concern basis of accounting and,
based on the audit evidence obtained, whether
a material uncertainty exists related to events or
conditions that may cast significant doubt on the
Company's ability to continue as a going concern. If
we conclude that a material uncertainty exists, we
are required to draw attention in our auditor's report
to the related disclosures in the Standalone Financial
Statements or, if such disclosures are inadequate, to
modify our opinion. Our conclusions are based on
the audit evidence obtained up to the date of our
auditor's report. However, future events or conditions
may cause the Company to cease to continue as a
going concern.
v. Evaluate the overall presentation, structure and
content of the Standalone Financial Statements,
including the disclosures, and whether the Standalone
Financial Statements represent the underlying
transactions and events in a manner that achieves
fair presentation.
C. Materiality is the magnitude of misstatements in the
Standalone Financial Statements that, individually or in
aggregate, makes it probable that the economic decisions
of a reasonably knowledgeable user of the Standalone
Financial Statements may be influenced. We consider
quantitative materiality and qualitative factors in (i)
planning the scope of our audit work and in evaluating
the results of our work; and (ii) to evaluate the effect of
any identified misstatements in the Standalone Financial
Statements.
D. We communicate with those charged with governance
regarding, among other matters, the planned scope and
timing of the audit and significant audit findings, including
any significant deficiencies in internal control that we
identify during our audit.
E. We also provide those charged with governance with
a statement that we have complied with relevant
ethical requirements regarding independence, and to
communicate with them all relationships and other
matters that may reasonably be thought to bear on our
independence, and where applicable, related safeguards.
F. From the matters communicated with those charged with
governance, we determine those matters that were of
most significance in the audit of the Standalone Financial
Statements of the current year and are therefore the key
audit matters. We describe these matters in our auditor's
report unless law or regulation precludes public disclosure
about the matter or when, in extremely rare circumstances,
we determine that a matter should not be communicated
in our report because the adverse consequences of doing
so would reasonably be expected to outweigh the public
interest benefits of such communication.
Report on Other Legal and Regulatory
Requirements
1. As required by Section 143(3) of the Act, based on our
audit report we report that:
v. The company has not declared any dividend during
this year, hence there is no breach of limits prescribed
under Section 197 of the Act and the rules thereunder.
vi. Based on our examination which included test
checks the Company has used accounting softwares
for maintaining its books of account, which have a
feature of recording audit trail (edit log) facility and
the same has operated throughout the year for all
relevant transactions recorded in the respective
software.
3. As required by the Companies (Auditor's Report) Order,
2020 ("the Order") issued by the Central Government of
(a) We have sought and, obtained all the information and
explanations which to the best of our knowledge and
belief were necessary for the purpose of our audit.
(b) In our opinion, proper books of account as required
by law have been kept by the Company so far as it
appears from our examination of those books except
for the matters stated in the paragraph 2 (vi) below
on reporting under Rule 11(g) of the Companies
(Audit and Auditors) Rules, 2014.
(c) The balance sheet, the statement of profit and loss,
including other comprehensive income, the cash flow
statement and statement of changes in equity dealt
with by this Report are in agreement with the books
of account.
(d) In our opinion, the aforesaid Standalone Financial
Statements comply with the Indian Accounting
Standards specified under Section 133 of the Act,
read with relevant rules issued thereunder.
(e) On the basis of written representations received from
the directors as on March 31, 2025, taken on record
by the Board of Directors, none of the directors
is disqualified as on March 31, 2025, from being
appointed as a director in terms of Section 164(2) of
the Act.
(f) The modifications relating to the maintenance of
accounts and other matters connected therewith are
as stated in the paragraph II (a) (b) above on reporting
under Section 143(3)(b) of the Act and paragraph
2 (vi) below on reporting under Rule 11(g) of the
Companies (Audit and Auditors) Rules, 2014.
(g) With respect to the adequacy of the internal financial
controls over financial reporting of the Company and
the operating effectiveness of such controls, refer
to our separate Report in "Annexure A". Our report
expresses an unmodified opinion on the adequacy
and operating effectiveness of the Company's internal
financial controls with reference to standalone
financial statements.
(h) With respect to the other matters to be included
in the Auditor's Report in accordance with the
requirements of section 197(16) of the Act, as
amended, in our opinion and to the best of our
information and according to the explanations given
to us, the remuneration paid by the Company to its
directors during the year is in accordance with the
provisions of section 197 of the Act
’. With respect to the other matters to be included in
the Auditor's Report in accordance with Rule 11 of the
Companies (Audit and Auditors) Rules, 2014 as amended,
in our opinion and to the best of our information and
according to the explanations given to us:
i. The Company has disclosed the impact of pending
litigations as at March 31, 2025 on its financial
position in its financial statements. Refer Note 31 to
the financial statements.
ii. The Company did not have any long-term contracts
including derivative contracts for which there were
any material foreseeable losses under the applicable
law or accounting standards.
iii. There has been no delay in transferring amounts,
required to be transferred, to the Investor Education
and Protection Fund by the Company, if any; and
iv. (a) The Management has represented that, to
the best of its knowledge and belief, no funds
(which are material either individually or in the
aggregate) 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 or entity,
including foreign entity ("Intermediaries"),
with the understanding, whether recorded in
writing or otherwise, that the Intermediary
shall, whether, 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 provide
any guarantee, security or the like on behalf of
the Ultimate Beneficiaries;
(b The Management has represented, that, to
the best of its knowledge and belief, no funds
(which are material either individually or in
the aggregate) have been received by the
Company from any person or entity, including
foreign entity ("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;
(c) Based on the audit procedures that have been
considered reasonable and appropriate in
the circumstances, nothing has come to our
notice that has caused us to believe that the
representations under sub-clause (i) and (ii) of
Rule 11(e), as provided under (a) and (b) above,
contain any material misstatement.
India in terms of Section 143(11) of the Act, we give in
the "Annexure- B" a statement on the matters specified in
paragraphs 3 and 4 of the Order
For Maheshwari & Co.
Chartered Accountants
Firm's Registration No.105834W
Pawan Gattani
Partner
Place: Mumbai Membership No. 144734
Date: May 28, 2025 UDIN: 25144734BMJFUL7570
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