The Company obtains independent valuations for its investment properties annually. The best evidence of fair value is current prices in an active market for similar properties. Where such information is not available, the Company considers information from a variety of sources including:

(i) current prices in an active market for properties of different nature

(ii) recent prices of similar properties in less active markets, adjusted to reflect those differences

The main input used is the price per square metre as per state government's registration and stamps department rate for the property. All resulting fair value estimates for investment properties are included in level 2.

The average credit period on sales is 60 days

No interest is charged on trade receivables for delay in payment beyond credit period from the due date of the Invoice.

The Company has used a practical experience by computing the expected credit loss allowance for Trade Receivables based on a provision matrix. The provision matrix takes into account historical credit loss experience and adjusted for forward looking information. The expected credit loss allowance is based on the ageing of the days the receivables are due and the rates are given in the provision matrix. The provision matrix at the end of the Reporting Period is as follows :

No trade or other receivable are due from directors or other officers of the Company either severally or jointly with any other person. Nor any trade or other receivable are due from firms or private companies respectively in which any director is a partner, a director or a member.

Before accepting any new customer, the Company uses an external credit scoring system and other potential information to assess the customer credit quality and defines credit limit. The limit and scoring attributable to customer are reviewed periodically.

(ii) Terms/ rights attached to equity shares

The Company has only one class of equity shares having par value of ' 10 per share. Each holder of equity shares is entitled to one vote per share.

In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.

Nature and purpose of other reserves General Reserve

As General Reserve is created by a transfer from one component of equity to another and is not an item of other comprehensive income, items included in the General Reserve will not be reclassified subsequently to profit or loss.

FVTOCI intruments

The Company has elected to recognise changes in the fair value of certain investments in equity and preference securities in other comprehensive income. These changes are accumulated within the FVTOCI investments reserve within equity. The Company transfers amounts from this reserve to retained earnings when the relevant securities are derecognised.

(a) The term loan from banks are secured by exclusive charge on specific fixed assets.

(b) The loan repayable on demand from banks are cash credits, bills purchases, discountings, letter of credits limits and bank guarantees are secured by Hypothecation of Raw-material, Stock in process, Finished goods, consumable Spares, Book debts and receivables.

(c) The working capital and Term loans from banks are also secured by first and second charge on some of the fixed assets of the company.

(d) The working capital and Term loans are further secured by guarantee from Managing Director and a promoter in thier individual capacities

Level 1: Level 1 hierarchy includes financial instruments measured using quoted prices. This includes listed equity instruments, traded bonds and mutual funds that have quoted price. The fair value of all equity instruments (including bonds) which are traded in the stock exchanges is valued using the closing price as at the reporting period.

Level 2: The fair value of financial instruments that are not traded in an active market (for example, traded bonds, over-the-counter derivatives) is determined using valuation techniques for which the lowest level input that is significant to the fair value measurement is directly or indirectly observable. 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. This is the case for unlisted equity securities included in level 3.

There are no transfers between levels 1 and 2 during the year.

NOTE 41: CAPITAL MANAGEMENT & RISK MANAGEMENT

Capital Management

The Company being in a capital intensive industry, its objective is to maintain a strong credit rating healthy capital ratios and establish a capital structure that would maximise the return to stakeholders through optimum mix of debt and equity.

The Company’s capital requirement is mainly to fund its capacity expansion, repayment of principal and interest on its borrowings. The principal source of funding of the Company has been, and is expected to continue to be, cash generated from its operations supplemented by funding from bank borrowings.

The Company is not subject to any externally imposed capital requirements. The Company regularly considers other financing and refinancing opportunities to diversify its debt profile, reduce interest cost and align maturity profile of its debt commensurate with life of the assets, and closely monitors its judicious allocation amongst competing capital expansion projects to capture market opportunities at minimum risk.

Financial risk management and objectives and policies

This note explains the sources of risk which the entity is exposed to and how the entity manages the risk and the impact in the financial statements.

A Special Team with Senior Executives having exposure in various fields has been formed to assist Cheif Financial Officer (CFO) in (a) Overseeing and approving the Company's enterprise wide risk management framework, and(b) Overseeing that all the risks that the organisation faces such as market risk (including currency risk, interest rate risk and other price risk), Credit risk and liquidity risk have been identified and assessed and there is an adequate risk management infrastructure in place capable of addressing those risks.

The CFO, monitors and reports on the principal risks and uncertainties that can impact the company and its ability to achieve strategic objectives. The Company's management systems, organisational structures, processes, standards, code of conduct and behaviors together form the Management and business of the Company.

A. Market risk

The Company is exposed to market risk through changes in foreign currency exchange rates and changes in interest rates. Financial assets/liabilities affected by this risk are borrowings, letter of credits and trade receivables.

The Company's investments in equity securities are susceptible to price risk arising from uncertainities about future value of the investment secutities. The Company's non-current investment in equity shares are strategic investments and hence are considered as Fair Value through Other Comprehensive Income. The Company's Board of Directors reviews and approves all equity investment decisions.

Foreign currency risk management

The Company operates internationally and is exposed to foreign currency risk arising from foreign currency transactions, primarily with respect to the US$. Foreign exchange risk arises from import as well as exports of goods. The risk is measured through a forecast of highly probable foreign currency cash flows.

The special team as mentioned above analysis the options for hedging. Based on the analysis the management takes decision regarding hedging of foreign currency exposures. Currently, the Company has not hedged any of the foreign currency transactions in the veiw of the natural hedging. The natural hedging is sufficient to manage the current foreign currency risk management.

Interest rate risk management

Interest rate risk is the risk that the fair value or future cash flows of a financial intruments will fluctuate because of changes in market interest rates. The Company’s exposure to the risk of changes in market interest rates relates primarily to the Company’s borrowings with floating base interest rates. Based on the interest rate sensitivity the Company decides on the management of interest rate risk. The Company manages by having a balanced portfolio of variable and fixed interest rate borrowings.

Interest rate sensitivity:

The following table demonstrates the sensitivity to a reasonably possible change in interest rates on that portion of loans and borrowings affected. With all other variables held constant, the Company’s profit before tax is affected through the impact on floating base rate borrowings, as follows:

B. Credit risk

Credit risk refers to the risk that the counterparty will default on its contractual obligations resulting in financial loss to the Company. The Company is operating through network of dealers based at different locations. Regular monitoring of the receivables is undertaken by the marketing department and in case the limits are exceeded, steps will be taken by the marketing departments and after discussing with the management the Company will decide whether to stop or not further supplies to the concerned dealer till the amount outstanding is recovered. For the export made by the Company, the sales are backed by letters of credit or advance receipts. The internal risk management committee of the Company meets regularly to discuss the dealers and credit risks, measures taken to address them and the status and level of risk after the measures taken.“Export sales are fully secured through letters of credit or against advance receipts. (refer Note No.9 for Trade Receivbles outstanding).

C. Liquidity risk

Prudent liquidity risk management implies maintaining sufficient cash and marketable securities and the availability of funding through an adequate amount of committed credit facilities to meet obligations when due and to close out market positions. Due to the dynamic nature of the underlying businesses, Company maintains flexibility in funding by maintaining availability under committed credit lines.

Ultimate responsibility for liquidity risk management rests with the board of directors, which has established an appropriate liquidity risk management framework for the management of the Company’s short-term, medium-term and long-term funding and liquidity management requirements. The Company manages liquidity risk by maintaining adequate reserves, banking facilities and reserve borrowing facilities, by continuously monitoring forecast and actual cash flows, and by matching the maturity profiles of financial assets and liabilities.

43. EMPLOYEE BENEFITS:

A) Defined contribution plans

Employees contribution to provident fund and employees state insurance (ESI) are recognized as expenditure in statement of profit and loss account, as they are incurred. there are no other obligation other than the contribution payable to aforesaid respective Trust/Government Authorities

B) Defined benefit plan

The Company's obligation towards the Gratuity (Lic) is a defined benefit plan and is funded with Life Insurance Corporation of India. The following table sets out the funded status of the defined benefits scheme and the amount recognised in financial statements as per Acturial Valuation:

LEASES:

The Company recorded the lease liability at the present value of the lease payments discounted at the incremental borrowing rate and the ROU asset at its carrying amount as if the standard had been applied since the commencement date of the lease, but discounted at the Company's incremental borrowing rate at the date of initial application.

The Company has taken a portion of factory land, office premises and movable assets (hydrozen cylinders) on operating lease. And the company has given a portion of land, hatchery unit on operating lease.

C. Lease receipts recognized in the Profit and Loss Account is '48.91 Lakhs during the

year ended March 31,2023.

45. SEGMENT REPORTING:

Ind AS 108, Operating segments, establishes standards for the way that public business enterprises report information about operating segments and related disclosures about products and services, geographical areas and major customers. The Company's operations predominantly relate to manufacturing of chemicals, real estate, trading of coal and power generation. The Chief Operating Decision Making (CODM) evaluates the company's performance and allocates resources based on an analysis of various performance indicators by business segments. Accordingly, information has been presented along business segments.The accounting principles used in the preparation of the financial statements are consistently applied to record revenue and expenditure in individual segements, and are as set out in the accounting policies.

49. REVENUE FROM CONTRACTS WITH CUSTOMERS:

The Company is producer of calcium hypochlorite, sulphuricacid, stable bleaching powder, hydrogen gas, sodium methoxide, sodium hydride and also in coal trading and generation and distribution of Power.

Revenue is recognized upon transfer of control of promised products or services to customers in an amount that reflects the consideration we expect to receive in exchange for those products or services.

Revenue from sale of goods is recognized when control of the products being sold is transferred to our customer and when there are no longer any unfulfilled obligations.

The performance obligations in our contracts are fulfilled at the time of dispatch, delivery or upon formal customer acceptance depending on customer terms.

Income from services rendered is recognizedbased on agreements/arrangements with the customers as the service is performed and there are no unfulfilled obligations.

Interest income is recognized using the effective interest rate (EIR) method.

Dividend income on investments is recognized when the right to receive dividend is established.

The Company represents revenue net of indirect taxes in its Statement of Profit and Loss.

G. Remaining performance obligations

The remaining performance obligation disclosure provides the aggregate amount of transaction price yet to be recognized as at the end of the reporting period and an explanation as to when the Company expects to recognize these amounts in revenue.

Applying the practical expedient as given in Ind AS 115, the Company has not disclosed the remaining performance obligation related disclosures for contracts where the revenue recognized corresponds directly with the value to the customer of entity's performance completed to date.

The aggregate amount of transaction price allocated to remaining performance obligations as per the requirements of Ind AS 115 is ' 6,238.65 Lakhs out of which, 100% is expected to be recognized as revenues within one year.

52. CONFIRMATION OF BALANCES

Confirmation of balances from certain parties for amounts due to them or due from them are yet to be received confirmation letters were received from some of the parties. And as per the letter of confirmation the balances are deemed to be accepted if not responded with in 15 days.

1. Total debt = Long term Borrowings (including current maturities of Long term borrowings), Sales tax deferrment loans

(Current and non-current), short term borrowings and Interest accrued on debts

2. Earning for Debt Service = Net Profit after taxes Non-cash operating expenses like depreciation and other amortizations interest other adjustments like loss on sale of Fixed assets etc

3. Debt service = Interest & Lease Payments Principal Repayments

4. Avg. Shareholder's Equity = Average of opening total equity and closing total equity

5. Avg. Inventory = Average of opening inventory and closing inventory

6. Avg. Trade Receivable = Average of opening trade receivables and closing trade receivables

7. Avg. Trade Payables = Average of Opening Trade Payables and Closing Trade Payables

8. Working capital shall be calculated as current assets minus current liabilities

9. Capital employed = Tangible Net Worth (excluding revaluation reserve) Total debt Deferred tax liability

10. Average total Assets = Average of opening total assets and closing total assets

11. Average total equity = Average of opening equity share capital other equity and closing equity share capital other equity.

Additional Regulatory Information:

(1) The Company has not granted any loans or Advances in the nature of Loans to Promoters, Directors, KMPs and other related parties except '1171.53 lakhs to subsidiaries (note12) which are without specifying terms and period of repayment and constitutes 100% of total advances.

(2) The Company has no investment property as at the close of the year for fair valuation. The company has not revalued its Property Plant and Equipment (including Right of use Assets).

(3) The Company is not holding any Benami property and no proceeding has been initiated or pending against the company.

(4) The Company has no transaction which is not recorded in the books of accounts that has been surrendered or disclosed as income during the year in tax assessments under the Income Tax Act, 1961(such as search or survey or any relevant provisions of Income Tax Act, 1961)

(5) (A) The Company has not advanced or loaned or invested any funds in any other person(s)

or entity(ies), including foreign entities (intermediaries) with understanding that the intermediary shall be directly or indirectly lend or invest in other person or entitites on behalf of the company or provide any gurantee or security or the like to or on behalf of the company.

(B) The Company has not received any funds from any person(s) or entity(ies), including foreign entities (funding party) with the understanding that the company shall lend or

invest in other person or entity indentified in any manner by or on behalf of the funding party/Ultimate beneficiary or provide any guarantee or security or the like on behalf of the funding party/Ultimate beneficiary.

(6) The Company is not declared as willful defaulter by any Bank or Financial institutions or RBI or other lenders.

(7) The Company has borrowings from Banks or Financial institutions on the basis of security of Current Assets. Quarterly returns or Statement of current assets filed by the company with Banks or Financial Institutions are in agreement with the Books of Accounts.

(8) There are no charges or satisfaction of charges yet to be registered with Registrar of Companies beyond the statutory period.

(9) The company has no transactions and no relationship with companies struck off under Section 248 of the Companies Act, 201 3 or Section 560 of Companies Act, 1956.

(10) The company has not made any investments through any layers of invesmtment companies.

(11) There are no Schemes of Arrangements approved by the Competent Authority in terms of sections 230 to 237 of the Companies Act, 201 3.

(12) The Company has not invested or traded in crypto currency or virtual currency during the financial year 2021-22.

55. Figures have been rounded off to the nearest decimal of lakhs as required under Schedule III.

56. Previous year's figures have been regrouped / reclassified wherever necessary to correspond with the current Year's classification/ disclosure.

57. Approval of financial statements

The standalone financial statements approved by the Board of Directors in their meeting held on May 30, 2023