Notes to Accounts of Anthem Biosciences Ltd.

Mar 31, 2024

(G) Provisions:

Provisions are recognized when the Company has a present obligation (legal or constructive) as a result of a past event, it is
probable that an outflow of economic benefits will be required to settle the obligation, and a reliable estimate can be made of
the amount of the obligation.

The amount recognized as a provision is the best estimate of the consideration required to settle the present obligation at the
end of the reporting period, taking into account the risks and uncertainties surrounding the obligation. When some or all of the
economic benefits required to settle a provision are expected to be recovered from a third party, the receivable is recognized as
an asset, if it is virtually certain that reimbursement will be received and the amount of the receivable can be measured reliably.

Provisions for onerous contracts are recognized when the expected benefits to be derived by the Company from a contract are
lower than the unavoidable costs of meeting the future obligations under the contract. Provisions for onerous contracts are
measured at the present value of lower of the expected net cost of fulfilling the contract and the expected cost of terminating
the contract.

(H) Revenue:

a) Sale of goods & services:

Company earns revenue primarily from sale of goods, providing scientific & technical consultancy services. Revenue is recognised
upon transfer of control of promised products or services (performance obligation) to the customers in an amount that reflects
the consideration which the company expects to receive in exchange for those products or services.

The amount of revenue to be recognised (transaction price) is based on the consideration expected to be received in exchange
for goods, excluding amounts collected on behalf of third parties such as sales tax or other taxes directly linked to sales. If a
contract contains more than one performance obligation, the transaction price is allocated to each performance obligation
based on their relative stand-alone selling prices.

Revenue from product sales are recorded net of allowances for estimated rebates, cash discounts and estimates of product
returns, all of which are established at the time of sale.

The company adjusts the promised amount of consideration for the effects of time value of money if the timing of payments
agreed to by the parties to the contract provides the customer with a significant benefit of financing the transfer of goods or
services to the customer. The impact of the time value of money is shown as Contract Liability.

b) Rental income:

Rental income is recognised in statement of profit and loss on a straight-line basis over the term of the lease except where the
rentals are structured to increase in line with expected general inflation. Lease incentives granted are recognised as an integral
part of the total rental income, over the term of the lease.

c) Dividend & interest income :

Dividend income is recorded when the right to receive payment is established. Interest income is recognised using the effective
interest method.

(I) Finance expense:

Finance expenses consist of interest expense on loans and borrowings. Borrowing costs are recognized in the statement of
profit and loss using the effective interest method.

Foreign currency gains and losses are reported on a net basis. This includes changes in the fair value of foreign exchange
derivative instruments, which are accounted at fair value through profit or loss.

(J) Income tax:

Income tax comprises current and deferred tax. Income tax expense is recognized in the statement of profit and loss except to
the extent it relates to items directly recognized in equity or in other comprehensive income.

a) Current income tax:

Current income tax for the current and prior periods are measured at the amount expected to be recovered from or paid to the
taxation authorities based on the taxable income for the period.

The tax rates and tax laws used to compute the current tax amount are those that are enacted or substantively enacted by the
reporting date and applicable for the period. The Company offsets current tax assets and current tax liabilities, where it has a
legally enforceable right to set off the recognized amounts and where it intends either to settle on a net basis or to realize the
asset and liability simultaneously.

b) Deferred income tax:

Deferred income tax is recognized using the balance sheet approach. Deferred income tax assets and liabilities are recognized
for deductible and taxable temporary differences arising between the tax base of assets and liabilities and their carrying amount
in financial statements, except when the deferred income tax arises from the initial recognition of goodwill or an asset or liability
in a transaction that is not a business combination and affects neither accounting nor taxable profits or loss at the time of the
transaction.

Deferred income tax asset is recognized to the extent that it is probable that taxable profit will be available against which the
deductible temporary differences, and the carry forward of unused tax credits and unused tax losses can be utilized. Deferred
income tax liabilities are recognized for all taxable temporary differences.

The carrying amount of deferred income tax assets is reviewed at each reporting date and reduced to the extent that it is no
longer probable that sufficient taxable profit will be available to allow all or part of the deferred income tax asset to be utilized.

Deferred income tax assets and liabilities are measured at the tax rates that are expected to apply in the period when the asset
is realized or the liability is settled, based on tax rates (and tax laws) that have been enacted or substantively enacted at the
reporting date

(K) Earnings per share (EPS):

Basic earnings per share is computed using the weighted average number of equity shares outstanding during the period.
Diluted EPS is computed by dividing the net profit after tax by the weighted average number of equity shares considered for
deriving basic EPS and also weighted average number of equity shares that could have been issued upon conversion of all
dilutive potential equity shares. Dilutive potential equity shares are deemed converted as of the beginning of the period, unless
issued at a later date. Dilutive potential equity shares are determined independently for each period presented. The number of
equity shares and potentially dilutive equity shares are adjusted for bonus shares, as appropriate.

(L) Research and development costs :

Research costs are expensed as incurred. Development costs are expensed as incurred unless technical and commercial
feasibility of the project is demonstrated, future economic benefits are probable, the Company has an intention and ability to
complete and use or sell the software and the costs can be measured reliably.

(M) Government grants:

Grants from the government are recognised when there is reasonable assurance that:

(i) the Company will comply with the conditions attached to them; and

(ii) the grant will be received.

Government grants related to revenue are recognised on a systematic basis in the statement of profit and loss over the periods
necessary to match them with the related costs which they are intended to compensate. Such grants are deducted in reporting
the related expense. When loan or similar assistance is provided by government or related institutions, with an interest rate
below the current applicable market rate, the effect of this favorable interest is recognized as government grant. The loan or
assistance is initially recognized and measured at fair value and the government grant is measured as the difference between
the initial carrying value of the loan and the proceeds received.

(N) Inventories:

Inventories consists of (a) Raw materials, (b) Work-in-progress and (d) Finished goods. Inventories are carried at lower of cost and
net realizable value. The cost of raw materials are determined on a moving average basis and/specific cost wherever applicable.
Cost of work in progress & finished goods produced includes direct material, labour cost and a proportion of manufacturing
overheads.

(O) Previous year''s figures have been re-grouped or re-classified to conform to the present year''s presentation.