Notes to Accounts of Ashtasidhhi Industries Ltd.

Mar 31, 2025

XIII. Provisions

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

The amount recognised as a provision is the best estimate of the consideration required to
settle the present obligation at the balance sheet date, taking into account the risks and
uncertainties surrounding the obligation. When a provision is measured using the cash flows
estimated to settle the present obligation, its carrying amount is the present value of those
cash flows (when the effect of the time value of money is material).

When some or all of the economic benefits required to settle a provision are expected to be
recovered from a third party, a 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.

XIV. Financial Instruments

Financial assets and financial liabilities are recognised when a Company entity becomes a
party to the contractual provisions of the instrument.

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 Statement
of Profit and Loss) 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 and Loss are recognised immediately in Statement of Profit and Loss.

A. Financial assets

a) Recognition and initial measurement

i) The Company initially recognises loans and advances, deposits, debt securities issues
and subordinated liabilities on the date on which they originate. All other financial
instruments (including regular way purchases and sales of financial assets) are
recognised on the trade date, which is the date on which the Company a party to the
contractual provisions of the instrument. A financial asset or liability is initially
measured at fair value plus, for an item not at FVTPL, transaction costs that are directly
attributable to its acquisition or issue.

b) Classification

On initial recognition, a financial asset is classified as measured at; amortised cost, FVOCI or
FVTPL.

A financial asset is measured at amortised cost if it meets both of the following conditions and
is not designated at FVTPL:

• The asset is held within a business model whose objective is to hold assets 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

This category is the most relevant to the Company. After initial measurement, such financial
assets are subsequently measured at amortised cost using the effective interest rate (EIR)
method. Amortised cost is calculated by taking into account any discount or premium on
acquisition and fees or costs that are an integral part of the EIR. The EIR amortisation is included
in finance income in the profit or loss. The losses arising from impairment are recognised in the
profit or loss. This category generally applies to trade and other receivables. For more
information on receivables, refer to Note 9. A debt instrument is classified as FVOCI only if it
meets both the of the following conditions and is not recognised at FVTPL;

• The 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

Debt instruments included within the FVTOCI category are measured initially as well as at each
reporting date at fair value. Fair value movements are recognized in the other comprehensive
income (OCI). However, the Company recognizes interest income, impairment losses & reversals
and foreign exchange gain or loss in the P&L. On derecognition of the asset, cumulative gain or loss
previously recognised in OCI is reclassified from the equity to P&L. Interest earned whilst holding
FVTOCI debt instrument is reported as interest income using the EIR method.

All equity investments in scope of Ind AS 109 are measured at fair value. Equity instruments which are
held for trading and contingent consideration recognised by an acquirer in a business combination to
which Ind AS 103 applies are classified as at FVTPL. For all other equity instruments, the Company may
make an irrevocable election to present in other comprehensive income subsequent changes in the fair
value. The Company makes such election on an instrument-by-instrument basis. The classification is
made on initial recognition and is irrevocable.

If the Company decides to classify an equity instrument as at FVTOCI, then all fair value changes on the
instrument, excluding dividends, are recognized in the OCI. There is no recycling of the amounts from
OCI to P&L, even on sale of investment. However, the Company may transfer the cumulative gain or loss
within equity.

Equity instruments included within the FVTPL category are measured at fair value with all changes
recognized in the P&L.

All other financial assets are classified as measured at FVTPL.

In addition, on initial recognition, the Company may irrevocably designate a financial asset that
otherwise meets the requirements to be measured at amortised cost or at FVOCI as at FVTPL if
doing so eliminates or significantly reduces the accounting mismatch that would otherwise arise.

c) Derecognition

A financial asset (or, where applicable, a part of a financial asset or part of a similar financial assets) is
primarily derecognised (i.e. removed from the Company''s balance sheet) when:

• The rights to receive cash flows from the asset have expired, or

• The Company has transferred its rights to receive cash flows from the asset or has assumed an
obligation to pay the received cash flows in full without material delay to a third party under a ''pass¬
through'' arrangement; and either (a) the Company has transferred substantially all the risks and
rewards of the asset, or (b) the Company has neither transferred nor retained substantially all the
risks and rewards of the asset, but has transferred control of the asset.

When the Company has transferred its rights to receive cash flows from an asset or has entered into a
pass-through arrangement, it evaluates if and to what extent it has retained the risks and rewards of
ownership. When it has neither transferred nor retained substantially all of the risks and rewards of
the asset, nor transferred control of the asset, the Company continues to recognise the transferred asset
to the extent of the Company''s continuing involvement. In that case, the Company also recognises an
associated liability. The transferred asset and the associated liability are measured on a basis that
reflects the rights and obligations that the Company has retained.

Continuing involvement that takes the form of a guarantee over the transferred asset is measured at the
lower of the original carrying amount of the asset and the maximum amount of consideration that the
Company could be required to repay.

d) Impairment

Impairment of financial assets

In accordance with Ind AS 109, the Company applies expected credit loss (ECL) model for measurement
and recognition of impairment loss on the following financial assets and credit risk exposure:

a) Financial assets that are debt instruments, and are measured at amortised cost e.g., loans, debt
securities, deposits, trade receivables and bank balance

b) Financial assets that are debt instruments and are measured as at FVTOCI

c) Lease receivables under Ind AS 17

d) Trade receivables or any contractual right to receive cash or another financial asset that result from
transactions that are within the scope of Ind AS 11 and Ind AS 18 (referred to as ''contractual revenue
receivables'' in these illustrative financial statements)

e) Loan commitments which are not measured as at FVTPL

f) Financial guarantee contracts which are not measured as at FVTPL

The Company follows ''simplified approach'' for recognition of impairment loss allowance on:

I) T rade receivables or contract revenue receivables; and

II) All lease receivables resulting from transactions within the scope of Ind AS 17

The application of simplified approach does not require the Company to track changes in credit risk.
Rather, it recognises impairment loss allowance based on lifetime ECLs at each reporting date, right
from its initial recognition.

For recognition of impairment loss on other financial assets and risk exposure, the Company determines
that whether there has been a significant increase in the credit risk since initial recognition. If credit
risk has not increased significantly, 12-month ECL is used to provide for impairment loss. However, if
credit risk has increased significantly, lifetime ECL is used. If, in a subsequent period, credit quality of
the instrument improves such that there is no longer a significant increase in credit risk since initial
recognition, then the entity reverts to recognising impairment loss allowance based on 12-month ECL.

Lifetime ECL are the expected credit losses resulting from all possible default events over the expected
life of a financial instrument. The 12-month ECL is a portion of the lifetime ECL which results from
default events that are possible within 12 months after the reporting date.

ECL is the difference between all contractual cash flows that are due to the Company in accordance with
the contract and all the cash flows that the entity expects to receive (i.e., all cash shortfalls), discounted
at the original EIR. When estimating the cash flows, an entity is required to consider:

i) All contractual terms of the financial instrument (including prepayment, extension, call and
similar options) over the expected life of the financial instrument. However, in rare cases when
the expected life of the financial instrument cannot be estimated reliably, then the entity is
required to use the remaining contractual term of the financial instrument

ii) Cash flows from the sale of collateral held or other credit enhancements that are integral to
the contractual terms

ECL impairment loss allowance (or reversal) recognized during the period is recognized as
income / expense in the statement of profit and loss (P&L). This amount is reflected under the
head ''other expenses'' in the P&L. The balance sheet presentation for various financial
instruments is described below:

i) Financial assets measured as at amortised cost, contractual revenue receivables and
lease receivables: ECL is presented as an allowance, i.e., as an integral part of the
measurement of those assets in the balance sheet. The allowance reduces the net
carrying amount. Until the asset meets write-off criteria, the Company does not
reduce impairment allowance from the gross carrying amount.

ii) Loan commitments and financial guarantee contracts: ECL is presented as a
provision in the balance sheet, i.e. as a liability.

iii) Debt instruments measured at FVTOCI: Since financial assets are already reflected
at fair value, impairment allowance is not further reduced from its value. Rather, ECL
amount is presented as ''accumulated impairment amount'' in the OCI.

For assessing increase in credit risk and impairment loss, the Company combines financial
instruments on the basis of shared credit risk characteristics with the objective of facilitating
an analysis that is designed to enable significant increases in credit risk to be identified on a
timely basis.

The Company does not have any purchased or originated credit-impaired (POCI) financial
assets, i.e., financial assets which are credit impaired on purchase/ origination.

e) Effective interest method

The effective interest method is a method of calculating the amortised cost of a debt
instrument and of allocating interest income over the relevant period. The effective
interest rate is the rate that exactly discounts estimated future cash receipts (including all
fees and points paid or received that form an integral part of the effective interest rate,
transaction costs and other premiums or discounts) through the expected life of the debt
instrument, or, where appropriate, a shorter period, to the net carrying amount on initial
recognition.

Income is recognised on an effective interest basis for debt instruments other than those
financial assets classified as at FVTPL.

B. Financial liabilities and equity instruments

a) Classification as debt or equity

Debt and equity instruments issued by a Company entity 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.

b) 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 the Company are recognised at the proceeds
received, net of direct issue costs.

Repurchase of the Company''s own equity instruments is recognised and deducted directly in equity. No
gain or loss is recognised in Statement of Profit and Loss on the purchase, sale, issue or cancellation of
the Company''s own equity instruments.

c) 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 either held for trading or it
is designated as at FVTPL.

Financial liabilities at FVTPL are stated at fair value, with any gains or losses arising on
remeasurement recognised in Statement of Profit and Loss. The net gain or loss recognised
in Statement of Profit and Loss incorporates any interest paid on the financial liability and is

included in the ''other gains and losses'' line item in the [Statement of comprehensive
income/Statement of Profit and Lossl.

The Company derecognises financial liabilities when, and only when, the Company''s obligations are
discharged, cancelled or they expire. The difference between the carrying amount of the financial
liability derecognised and the consideration paid and payable is recognised in Statement of Profit
and Loss.

d) Reclassification of financial assets

The Company determines classification of financial assets and liabilities on initial recognition.
After initial recognition, no reclassification is made for financial assets which are equity
instruments and financial liabilities. For financial assets which are debt instruments, a
reclassification is made only if there is a change in the business model for managing those assets.
Changes to the business model are expected to be infrequent. The Company''s senior management
determines change in the business model as a result of external or internal changes which are
significant to the Company''s operations. Such changes are evident to external parties. A change in
the business model occurs when the Company either begins or ceases to perform an activity that
is significant to its operations. If the Company reclassifies financial assets, it applies the
reclassification prospectively from the reclassification date which is the first day of the
immediately next reporting period following the change in business model. The Company does not
restate any previously recognised gains, losses (including impairment gains or losses) or interest.

The following table shows various reclassification and how they are accounted for:

Amortised cost FVTPL Fair value is measured at reclassification date.

Difference between previous amortized cost and fair
value is recognised in P&L.

FVTPL Amortised Cost Fair value at reclassification date becomes its new

gross carrying amount. EIR is calculated based on the
new gross carrying amount.

Amortised cost FVTOCI Fair value is measured at reclassification date.

Difference between previous amortised cost and fair
value is recognised in OCI. No change in EIR due to
reclassification.

FVTOCI Amortised cost Fair value at reclassification date becomes its new

amortised cost carrying amount. However, cumulative
gain or loss in OCI is adjusted against fair value.
Consequently, the asset is measured as if it had always
been measured at amortised cost.

FVTPL FVTOCI Fair value at reclassification date becomes its new

carrying amount. No other adjustment is required.

FVTOCI FVTPL Assets continue to be measured at fair value.

Cumulative gain or loss previously recognized in OCI is
reclassified to P&L at the reclassification date.

XV.Cash and cash equivalents

Cash and cash equivalents includes cash in hand, deposits held at call with banks, other
short term highly liquid investments with original maturities of three months or less, and
bank overdrafts.

XVI. Earnings per share

Basic earnings per share is computed by dividing net income by the weighted average
number of common shares outstanding. Diluted earnings per share is computed by dividing
income available to shareholders and assumed conversion by the weighted average
number of common shares.

3. Critical Judgments in applying accounting policies and key sources of estimation
uncertainty

3.1 Critical judgements in applying accounting policies

In the course of applying the policies outlined in all notes under section 2 above, the directors
of the Company are required to make judgements, estimates and assumptions about the
carrying amount of assets and liabilities that are not readily apparent from other sources. The
estimates and associated assumptions are based on historical experience and other factors
that are considered to be relevant. Actual results may differ from these estimates.

The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to
accounting estimates are recognised in the period in which the estimate is revised if the
revision affects only that period, or in the period of the revision and future period, if the
revision affects current and future period.

3.2 Key sources of estimation uncertainty

i) Useful lives and residual value of property, plant and equipment

Company reviews the useful lives and residual values of property, plant and equipment at
least once a year. Such lives are dependent upon an assessment of both the technical lives
of the assets and also their likely economic lives based on various internal and external
factors including relative efficiency and operating costs. Accordingly useful lives are
reviewed annually using the best information available to the Management.

ii) Fair value measurements and valuation process

Management uses its judgement in selecting an appropriate valuation technique for
financial instruments not quoted in an active market. Valuation techniques commonly
used by market participants are applied. Other financial instruments are valued using a
discounted cash flow method based on assumptions supported, where possible, by
observable market prices or rates. Information about the valuation techniques and inputs
used in determining the fair value of various assets and liabilities are disclosed in note 36.

• Recent accounting pronouncements

Recent pronouncements Ministry of Corporate Affairs (“MCA”) notifies new standard or
amendments to the existing standards under Companies (Indian Accounting Standards)
Rules as issued from time to time. On March 31, 2023, MCA amended the Companies (Indian
Accounting Standards) Rules, 2015 by issuing the Companies (Indian Accounting Standards)
Amendment Rules, 2023, applicable from April 1, 2023, as below:

Ind AS 1 - Presentation of Financial Statements The amendments require companies to
disclose their material accounting policies rather than their significant accounting policies.
Accounting policy information, together with other information, is material when it can
reasonably be expected to influence decisions of primary users of general purpose financial
statements. The Group does not expect this amendment to have any significant impact in its
financial statements.

Ind AS 12 - Income Taxes The amendments clarify how companies account for deferred tax
on transactions such as leases and decommissioning obligations. The amendments narrowed
the scope of the recognition exemption in paragraphs 15 and 24 of Ind AS 12 (recognition
exemption) so that it no longer applies to transactions that, on initial recognition, give rise to
equal taxable and deductible temporary differences. The Group is evaluating the impact, if
any, in its financial statements.

Ind AS 8 - Accounting Policies, Changes in Accounting Estimates and Errors The amendments
will help entities to distinguish between accounting policies and accounting estimates. The
definition of a change in accounting estimates has been replaced with a definition of
accounting estimates. Under the new definition, accounting estimates are “monetary
amounts in financial statements that are subject to measurement uncertainty”. Entities
develop accounting estimates if accounting policies require items in financial statements to
be measured in a way that involves measurement uncertainty.

The Group does not expect this amendment to have any significant impact in its financial
statements.

• Other Statutory Information:

1. Details of Benami Property: The Company does not have any Benami property,
where any proceeding has been initiated or pending against the Company for
holding any Benami property.

2. Details of Charges: The Company does not have any charges for satisfaction
which is yet to be registered with ROC beyond the statutory period.

3. Details of crypto currency or virtual currency: The Company has not traded or
invested in Crypto currency or Virtual Currency during the financial year.

4. Utilization of borrowed funds and share premium:

The Company has not received any fund from any person(s) or entity(is),
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.

5. Undisclosed income: The Company does not have any transaction 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, 1961
(such as, search or survey or any other relevant provisions of the Income T ax Act,
1961.

6. Willful Defaulter: The Company is not declared as willful defaulter by any bank
or financial institution (as defined under the Companies Act, 2013) or consortium
thereof or other lender in accordance with the guidelines on willful defaulters
issued by the Reserve Bank of India.

7. Compliance with number of layers of companies: As the company has no
holding or subsidiary company, requirement with respect to number of layers
prescribed under clause 87 of sub section 2 of the Companies Act, 2013 read with
companies (restriction on number of layers) rules, 2017 is not applicable.

8. Valuation of PP&E, intangible asset and investment property: The Company
has not revalued any of its Property, Plant and Equipment (including Right-of-Use
Assets) during the year.

9. Compliance with approved scheme(s) of arrangements: The Company has not
entered into any scheme of arrangement which has an accounting impact on
current.

As per my Report of Even Date
For and on Behalf of
Nahta Jain & Associates
Chartered Accountants
Firm Regn. No. 106801W

Date: 27/05/2025 SD/-

Place : AHMEDABAD (CA. Gaurav Nahta)

UDIN: 25116735BMJEPT9475 Partner

M. No. 116735

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Mar 31, 2015

1. Rights, Preferences and Restrictions :

The Company has only one class of equity shares having a par value of Rs. 10/- per share. Each Shareholder is eligible for one vote per share held. The dividend proposed by the Board of Directors, if any is subject to the approval of shareholders in the ensuing Annual General Meeting.

In the event of liquidation of the Company, the holders of Equity Share will be entitled to receive remaining assets of the company distribution of all preferential amounts. The distribution will be in proportion to the number of Equity Shares held by the Shareholders.

2. Balance of Trade Receivables, Trade Payables, Advances and Deposits are as per the books of accounts and are subject to confirmation from respective parties.

3. Previous year's figures have been regrouped and rearranged wherever applicable.

4. Value of imports accounted on C.I.F. Basis Rs.Nil.

5. Expenditure in foreign currency Rs. Nil (Previous year Rs. Nil)

6. Earning in foreign exchange accounted on F.O.B. Rs. NIL

7. RELATED PARTY TRANSACTIONS :

(A) Relationship :

(i) Key Management Personnel and Relatives

Sri Purshottam Agarwal, Director

Sri Anandkumar Agarwal, Director Smt Somna P. Agarwal, Director

Sri Sumant Periwal, Director

(ii) Associates A

nunay Fab Limited

Global Aman Infratech P. Ltd

(iii) Enterprises over which key management personnel and/or their relatives have significant influence - Nil

8. EARNING PER SHARE :

The Company reports basic and diluted Earnings Per Share (EPS) in accordance with Accounting Standard - 20 on Earnings Per Shares. Basic EPS is computed by dividing the net profit or loss for the year by the weighted average number of Equity Shares outstanding during the year. Diluted EPS is computed by dividing the net profit or loss for the year by the weighted average number of equity shares outstanding during the year, as adjusted for the effects of all dilutive potential equity shares, except where the results are anti dilutive.

9. Expenditure on employees employed throughout the year drawing Rs. 60,00,000/- or more per annum or for a part of the year and drawing is 5,00,000/- or more per month. Rs. NIL

10. Segment Reporting as per AS-17 issued by the Institute of Chartered Accountants of India, for the year ended 31st March, 2015 is Not Applicable.

11. Following companies are associates of the Company as Company hold more than 20% of the Share Capital of those Companies.

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Mar 31, 2014

1. Balance of Trade Receivables, Trade Payables, Advances and Deposits are as per the books of accounts and are subject to confirmation from respective parties.

2. Previous year''s figures have been regrouped and rearranged wherever applicable.

3. Value of imports accounted on C.I.F. Basis Rs.Nil.

4. Expenditure in foreign currency Rs. Nil (Previous year Rs. Nil)

5. Earning in foreign exchange accounted on F.O.B. Rs. NIL

6. RELATED PARTY TRANSACTIONS

(A) Relationship

(i) Key Management Personnel and Relatives Sri Purshottam Agarwal, Director Sri Anandkumar Agarwal, Director Smt Somna P. Agarwal, Director Sri Suman Periwal, Director

(ii) Associates Anunay Fab Limited Anjanidhan Industries Limited Aman Global Infratech P. Ltd Bal Hanuman Fabrics P. Ltd

(iii) Enterprises over which key management personnel and/or their relatives have significant influence - Nil

7. EARNING PER SHARE

The Company reports basic and diluted Earnings Per Share (EPS) in accordance with Accounting Standard - 20 on Earnings Per Shares. Basic EPS is computed by dividing the net profit or loss for the year by the weighted average number of Equity Shares outstanding during the year. Diluted EPS is computed by dividing the net profit or loss for the year by the weighted average number of equity shares outstanding during the year, as adjusted for the effects of all dilutive potential equity shares, except where the results are anti dilutive.

8. Computation of Net Profit under Section 198 of the Companies Act, 1956 read with Section 349 of the Act for the purpose of calculating Directors'' Remuneration:

We have been advised that since the directors are not paid any salary, the computation of remuneration under Section 349 is not required,

9. Expenditure on employees employed throughout the year drawing Rs. 60,00,000/- or more per annum or for a part of the year and drawing is 5,00,000/- or more per month. Rs. NIL

10. Segment Reporting as per AS-17 issued by the Institute of Chartered Accountants of India, for the year ended 31st MARCH, 2014 - N.A

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Mar 31, 2009

1. Contingent Liabilities not provided for: Nil

2. Estimated amounts of contracts remaining to be executed on Capital Account, not provided for Rs. Nil (previous year Rs. Nil).

3. Additional information pursuant to the Provisions of Part II of Schedule VI of the Companies Act, 1956:

4. Computation of Net Profit under Section 19* of the Companies Act, 1956 read with Section 349 of the Act for the purpose of calculating Directors Remuneration:

We have been advised that since the directors are paid salary only, the computation of remuneration under Section 349 is not required.

5. Previous year figures have been regrouped/ rearranged, whenever necessary.

6 Segment Reporting as per AS-17 issued by the Institute of Chartered Accountants of India, for the year ended 31 st March, 2009 - Not applicable

7. Related Party Disclosures as per AS-18 issued by the Institute of Chartered Accountants of India, for the year ended 31st March, 2009.

(A) Relationship

(i) Key Management Personnel and Relatives

Sri Purshottam Agarwal, Director

Sri Anandkumar Agarwal, Director

Sri Krishnakant Goyal, Director

Sri Anjani R, Agarwal, Director

Smt Somna P. Agarwal

Smt Anshu R. Agarwal (ii) Associates

Suraj Tradelink Private Limited

Anunay Fab Limited (iii) Enterprises over which key management personnel and/or their relatives have significant influence - Nil

8. Statement showing calculation of Earning per Share, as per AS-20 issued by the Institute of Chartered Accountants of India.