Accounting Policies of Bharat Road Network Ltd. Company

Mar 31, 2025

(B) Material Accounting Policies

1.1 Statement of Compliance

The Company has adopted Indian Accounting Standards (referred to as "Ind ASâ) notified under the Companies (Indian
Accounting Standards) Rules, 2015 (as amended) read with Section 133 of the Companies Act, 2013 ("the Actâ) with effect from
April 1, 2017 and therefore Ind AS issued, notified and made effective till the financial statements are authorised have been
considered for the purpose of preparation of these financial statements.

Accounting Policy has been consistently applied except where a newly introduced Accounting Standard is initially adopted or a
revision to an existing accounting standard requires a change in accounting policy hitherto in use.

1.2 Basis of Preparation

The financial Statements have been prepared on historical cost convention on accrual basis, except for certain financial
instruments that are measured in terms of relevant Ind AS at fair values/amortised cost at the end of each reporting period.

Historical cost convention is generally based on fair value of the consideration given in exchange for goods and services.

As the operating cycle cannot be identified in normal course, the same has been assumed to have duration of 12 months. All
Assets and Liabilities have been classified as current or non-current as per the operating cycle and other criteria set out in Ind
AS-1 ''Presentation of Financial Statements'' and Schedule III to the Companies Act, 2013.

The Standalone Financial Statements are presented in Indian Rupees and all values are rounded off to the nearest two decimal
lakhs except otherwise stated.

1.3 Fair Value Measurement

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between
market participants at the measurement date under current market conditions.

The Company categorizes assets and liabilities measured at fair value into one of three levels depending on the ability to observe
inputs employed for such measurement:

Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities.

Level 2: inputs other than quoted prices included within level 1 that are observable either directly or indirectly for the asset or
liability

Level 3: inputs for the asset or liability which are not based on observable market data.

1.4 Property Plant and Equipment (PPE)

(i) All items of PPE are stated at their cost of acquisition or construction and is net of accumulated depreciation. Carrying value
of PPE on the date of transition has been considered to be deemed cost. The cost comprises purchase price, borrowing cost
if capitalization criteria are met and directly attributable cost of bringing the asset to its working condition for the intended
use.

(ii) All project related expenses via civil works, machinery under erection, construction and erection materials, pre-operative
expenditure net of revenue incidental / attributable to the construction of project, borrowing cost incurred prior to the date
of commercial operations are shown under Capital Work -In-Progress (CWIP).

(iii) Depreciation on property plant and equipment commences when the assets are ready for their intended use.

(iv) Depreciation on PPE is provided on the straight-line method over the useful lives of the respective asset as specified in Part
C of Schedule II to Companies Act, 2013. The useful life of assets considered for depreciation as above are as follows:

(v) The residual values, useful lives and method of depreciation of assets are reviewed at each financial year end and adjusted
prospectively, if appropriate.

1.5 Intangible Assets

Recognition and initial measurement

I ntangible assets are stated at cost comprising of purchase price inclusive of duties and taxes less accumulated amount of
amortization and impairment losses. Such assets, are amortised over the useful life using straight line method and assessed for
impairment whenever there is an indication of the same.

Accordingly, cost of computer software packages has been allocated / amortised over a period of 6 years on straight line basis

1.6 Derecognition of Tangible and Intangible Assets

An item of PPE is de-recognised upon disposal or when no future economic benefits are expected to arise from its use or disposal.
Gain or loss arising on the disposal of an item of PPE is determined as the difference between the sale proceeds and the carrying
amount of the asset and is recognised in the Statement of Profit and Loss.

1.7 Impairment of Tangible and Intangible Assets

Tangible and Intangible assets are reviewed at each balance sheet date for impairment. In case events and circumstances indicate
any impairment, recoverable amount of assets is determined. An impairment loss is recognized in the statement of profit and
loss, whenever the carrying amount of assets either belonging to Cash Generating Unit (CGU) or otherwise exceeds recoverable
amount. The recoverable amount is the higher of assets fair value less cost of disposal and its value in use. In assessing value in
use, the estimated future cash flows from the use of the assets are discounted to their present value at appropriate rate.

Impairment losses recognized earlier may no longer exist or may have come down. Based on such assessment at each reporting
period the impairment loss is reversed and recognized in the Statement of Profit and Loss. In such cases the carrying amount
of the asset is increased to the lower of its recoverable amount and the carrying amount that have been determined, net of
depreciation, had no impairment loss been recognized for the asset in prior years.

1.8 Leases

The company has taken assets on short term lease. The company has elected to use the recognition exemptions for short term
leases as well as low value assets.

1.9 Investments in Subsidiaries, Associates and Joint Ventures

The Company''s investment in the equity shares of its subsidiaries, associates & joint ventures are recognised at cost. The company
has elected to apply previous GAAP carrying amount of its equity investment in subsidiaries, associates & joint ventures as
deemed cost as on the date of transition to Ind AS. However, the debt instruments in subsidiaries, associates & joint ventures are
recognized at fair value.

1.10 Financial Assets and Liabilities

Financial assets and financial liabilities (financial instruments) are recognized when Company becomes a party to the contractual
provisions of the instruments.

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 profit or 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 or loss are recognized immediately in the Statement of Profit and Loss.

The financial assets and financial liabilities are classified as current if they are expected to be realised or settled within operating
cycle of the company or otherwise these are classified as non current.

The financial instruments are classified to be measured at Amortized Cost, at Fair Value Through Profit and Loss (FVTPL) or at Fair
Value Through Other Comprehensive Income (FVTOCI) and such classification depends on the objective and contractual terms
to which they relate. Classification of financial instruments are determined on initial recognition.

(i) Cash and cash equivalents

All highly liquid financial instruments, which are readily convertible into known amounts of cash and which are subject to
an insignificant risk of change in value and are having original maturities of three months or less from the date of purchase,
are considered as cash equivalents. Cash and cash equivalents includes balances with banks which are unrestricted for
withdrawal and usage.

(ii) Financial Assets and Financial Liabilities measured at amortized cost

Financial Assets held within a business whose objective is to hold these assets in order 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 are measured at amortized cost.

The above Financial Assets and Financial Liabilities subsequent to initial recognition are measured at amortized cost using
Effective Interest Rate (EIR) method.

The effective interest rate is the rate that exactly discounts estimated future cash payments or receipts (including all fees
and points paid or received, transaction costs and other premiums or discounts) through the expected life of the Financial
Asset or Financial Liability to the gross carrying amount of the financial asset or to the amortised cost of financial liability,
or, where appropriate, a shorter period, to the net carrying amount on initial recognition.

(iii) Financial Asset at Fair Value through Other Comprehensive Income (FVTOCI)

Financial assets are measured at fair value through other comprehensive income if these financial assets are held within
a business 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. Subsequent to initial recognition, they are measured at fair value and
changes therein are recognised directly in other comprehensive income.

(iv) For the purpose of para (ii) and (iii) above, the principal is considered to be fair value of the financial asset at initial
recognition and interest consists of consideration for the time value of money and associated credit risk.

(v) Financial Assets or Liabilities at Fair value through profit or loss (FVTPL)

Financial Instruments which do not meet the criteria of amortized cost or fair value through other comprehensive income
are classified as Fair Value through Profit or loss. These are recognised at fair value and changes therein are recognized in
the statement of profit and loss.

(vi) Equity Instruments

All equity investments in scope of Ind AS 109 are measured at fair value (except equity investment in subsidiary, associates
and joint ventures). For equity instruments, the company may make an irrevocable election to present subsequent changes
in the fair value in other comprehensive income. 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.

1.11 Financial guarantee contracts

Financial guarantee contracts other than those which are in the nature of Insurance are those contracts that require a payment to
be made to reimburse the holder for a loss it incurs because the specified party fails to make a payment when due in accordance
with the terms of a debt instrument. Financial guarantee contracts are recognised initially as a liability at fair value, adjusted for
transaction costs that are directly attributable to the issuance of the guarantee. Subsequently, the liability is measured at the
higher of the amount of expected loss allowance determined as per impairment requirements of Ind-AS 109 and the amount
recognised less cumulative amortization.

1.12 Impairment of Financial Assets

The company measures the loss allowance for a financial instrument at an amount equal to the lifetime expected credit losses
if the credit risk on that financial instrument has increased significantly since initial recognition. If the credit risk on a financial
instrument has not increased significantly since initial recognition, the company measures the loss allowance for that financial
instrument at an amount equal to 12-month expected credit losses.

However, for trade receivables or contract assets that result in relation to revenue from contracts with customers, the company
measures the loss allowance at an amount equal to lifetime expected credit losses.

1.13 De-recognition of financial instruments

The Company derecognizes a financial asset or a group of financial assets when the contractual rights to the cash flows from
the asset expire, or when it transfers the financial asset and substantially all the risks and rewards of ownership of the asset to
another party.

On derecognition of a financial asset (except for equity instruments designated as FVTOCI), the difference between the asset''s
carrying amount and the sum of the consideration received and receivable are recognized in statement of profit and loss.

On derecognition of assets measured at FVTOCI the cumulative gain or loss previously recognised in other comprehensive
income is reclassified to profit or loss as a reclassification adjustment unless the asset represents an equity investment, in which
case the cumulative gain or loss previously recognised in other comprehensive income are reclassified within equity.

Financial liabilities are derecognized if the Company''s obligations specified in the contract expire or are discharged or cancelled.
The difference between the carrying amount of the financial liability derecognized and the consideration paid and payable is
recognized in Statement of Profit and Loss.

Mar 31, 2024

(B) MaterialAccountingPolicies

1.1 StatementofCompliance

TheCompany hasadopted Indian Accounting Standards (referred to as"lnd AS") notified underthe Companies (Indian Accounting Standards) Rules, 2015 (as amended) read with Section 133 ofthe Companies Act, 2013 ("the Act") with effectfrom April 1,2017 and therefore Ind AS issued, notified and made effective till thefinancial statements areauthorised have been consideredfor the purposeofpreparation ofthesefinancial statements.

Accounting Policy has been consistently applied except where a newly introduced Accounting Standard is initially adopted or a revision to an existing accounting standard requires a change in accounting policy hitherto in use.

1.2 BasisofPreparation

Thefinancial Statements have been prepared on historical costconvention on accrual basis,exceptforcertainfinancial instruments that are measured in terms ofrelevant Ind AS atfairvalues/amortised cost at the end ofeach reporting period.

Historical cost convention is generally based on fairvalue ofthe consideration given in exchangefor goods and services.

Astheoperating cyclecannot be identified in normal course,thesame has been assumed to haveduration of12 months. All Assets and Liabilities have been classified as current or non-current as per the operating cycle and other criteria set out in Ind AS-1 ''Presentation ofFinancial Statements''and Schedule III to the Companies Act, 2013.

The Standalone Financial Statements are presented in Indian Rupees and all values are rounded off to the nearest two decimal lakhs except otherwise stated.

1.3 FairValueMeasurement

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date under current market conditions.

TheCompany categorizes assets and liabilities measured atfairvalue into one ofthree levels depending on the ability to observe inputs employed for such measurement:

Level 1 : quoted prices (unadjusted) in active marketsfor identical assets or liabilities.

Level 2 : inputs other than quoted prices included within level 1 that are observable either directly or indirectly for the asset or liability.

Level 3: inputs for the asset or liability which are not based on observable market data.

1.4 Property Plant and Equipment (PPE)

(i) All items of PPE arestated at their cost ofacquisition or construction and is net ofaccumulated depreciation. Carrying value of PPE on the date oftransition has been considered to be deemed cost.Thecost comprises purchase price, borrowing cost ifcapitalization criteria are met and directly attributable cost ofbringing the asset to its working condition for the intended use.

(ii) All project related expenses via civil works, machinery under erection, construction and erection materials, pre-operative expenditure net ofrevenue incidental/attributableto the construction ofproject, borrowing cost incurred priorto the date ofcommercial operations are shown under Capital Work-In-Progress (CWIP).

1.5 Intangible Assets

Recognition and initial measurement

Intangible assets are stated at cost comprising of purchase price inclusive of duties and taxes less accumulated amount of amortization and impairment losses. Such assets, are amortised over the useful life using straight line method and assessed for impairment whenever there is an indication ofthesame.

Accordingly, cost of computer software packages has been allocated / amortised over a period of 6 years on straight line basis.

1.6 Derecognition of Tangible and Intangible Assets

An item ofPPE is de-recognised upon disposal orwhen nofutureeconomic benefits are expected to arisefrom its useor disposal. Gain or loss arising on the disposal ofan item of PPE is determined as the difference between the sale proceeds and the carrying amount ofthe asset and is recognised in the Statement of Profit and Loss.

1.7 Impairment of Tangible and Intangible Assets

Tangible and Intangibleassets are reviewed ateach balancesheet datefor impairment. In caseevents and circumstances indicate any impairment, recoverable amount ofassets is determined. An impairment loss is recognized in thestatement ofprofit and loss, wheneverthecarrying amountofassetseither belonging to Cash Generating Unit (CGU) orotherwiseexceeds recoverableamount. The recoverable amount is the higher of assets fair value less cost of disposal and its value in use. In assessing value in use, the estimated future cash flows from the use of the assets are discounted to their present value at appropriate rate.

Impairment losses recognized earlier may no longer exist or may have come down. Based on such assessment at each reporting period the impairment loss is reversed and recognized in the Statement of Profit and Loss. In such cases the carrying amount of the asset is increased to the lower of its recoverable amount and the carrying amount that have been determined, net of depreciation, had no impairment loss been recognized for the asset in prior years.

1.8 Leases

The company has taken assets on short term lease. The company has elected to use the recognition exemptions for short term leases as well as lowvalue assets.

1.9 Investments in Subsidiaries, Associates and Joint Ventures

TheCompany''s investment in theequityshares ofits subsidiaries,associates &jointventures are recognised at cost. The company has elected toapply previousGAAP carrying amountofits equity investment in subsidiaries,associates &jointventures asdeemed costas on thedateoftransition to Ind AS. However, thedebt instruments in subsidiaries,associates &jointventures are recognized atfairvalue.

1.10Financial Assets and Liabilities

Financial assets and financial liabilities (financial instruments) are recognized when Company becomes a party to the contractual provisions of the instruments.

Financial assets and financial liabilities are initially measured at fair value. Transaction costs that are directly attributable to the acquisition or issueoffinancial assets andfinancial liabilities (otherthan financial assets andfinancial liabilities atfairvaluethrough profit or 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 theacquisition offinancial assets orfinancial liabilities atfairvalue through profit or loss are recognized immediately in the Statement of Profit and Loss.

The financial assets and financial liabilities are classified as current ifthey are expected to be realised or settled within operating cycle ofthe companyor otherwise theseare classified as non current.

Thefinancial instruments are classified to be measured at Amortized Cost, at Fair Value Through Profit and Loss (FVTPL) or at Fair Value Through Other Comprehensive Income (FVTOCI) and such classification depends on the objective and contractual terms to which they relate. Classification offinancial instruments are determined on initial recognition.

(i) Cash and cash equivalents

All highly liquid financial instruments, which are readily convertible into known amounts of cash and which are subject to an insignificant riskofchange in value and are having original maturities ofthree months or less from the date ofpurchase, are considered as cash equivalents. Cash and cash equivalents includes balances with banks which are unrestricted for withdrawal and usage.

(ii) Financial Assets and Financial Liabilities measured at amortized cost

Financial Assets held within a business whose objective is to hold these assets in order 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 principaland interest on the principal amount outstanding are measured at amortized cost.

The above Financial Assets and Financial Liabilities subsequent to initial recognition are measured at amortized cost using Effective Interest Rate (EIR) method.

The effective interest rate is the rate that exactly discounts estimated future cash payments or receipts (including all fees and points paid or received, transaction costs and other premiums or discounts) through the expected life ofthe Financial Asset or Financial Liability to thegross carrying amount ofthefinancial assetor to theamortised cost offinancial liability, or, where appropriate, a shorter period, to the net carrying amount on initial recognition.

(iii) Financial Asset at Fair Value through Other Comprehensive Income (FVTOCI)

Financial assets are measured at fair value through other comprehensive income if these financial assets are held within a business whose objective is achieved by both collecting contractual cash flows and selling financial assets and the contractual terms ofthefinancial asset give rise on specified dates to cash flows that are solely payments ofprincipal and interest on the principal amount outstanding. Subsequent to initial recognition, they are measured at fair value and changes therein are recognised directly in other comprehensive income.

(iv) Forthe purposeofpara (ii) and (iii) above,the principal is considered to befairvalueofthefinancial asset at initial recognition and interest consists ofconsideration for the timevalueofmoney and associated credit risk.

(v) Financial Assets or Liabilities at Fair value through profit or loss (FVTPL)

Financial Instruments which do not meet the criteria of amortized cost or fair value through other comprehensive income are classified as Fair Value through Profit or loss. These are recognised atfairvalue and changes therein are recognized in the statement of profit and loss.

(vi) Equity Instruments

All equity investments in scope ofInd AS 109 are measured at fairvalue (except equity investment in subsidiary, associates andjointventures). Forequity instruments, the company may makean irrevocable election to present subsequent changes in thefairvalue in other comprehensive income. The Company makes such election on an instrument by-instrument basis. The classification is made on initial recognition and is irrevocable ifthe 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.

1.11 Financial guarantee contracts

Financial guarantee contracts other than those which are in the nature of Insurance are those contracts that require a payment to be madeto reimbursethe holderfor a loss it incurs becausethespecified partyfails to makeapayment when due in accordance with the terms ofa debt instrument. Financial guarantee contracts are recognised initially as a liability at fair value, adjusted for transaction costs that aredirectlyattributabletothe issuanceoftheguarantee.Subsequently,the liability is measured atthe higher oftheamount ofexpected loss allowancedetermined as per impairment requirements ofInd-AS 109 and the amount recognised less cumulative amortization.

1.12 Impairment of Financial Assets

A financial asset is assessed for impairment at each reporting date. A financial asset is considered to be impaired if objective evidence indicates that one or more events have a negative effect on the estimated future cash flows ofthat asset. The company measures the loss allowance for a financial instrument atan amount equal to the lifetime expected credit losses if the credit risk on thatfinancial instrument has increased significantly since initial recognition. If the credit riskon a financial instrument has not increased significantlysince initial recognition,thecompany measuresthe loss allowanceforthatfinancial instrument atan amount equal to 12-month expected credit losses.

However, for trade receivables or contract assets that result in relation to revenue from contracts with customers, the company measures the loss allowance at an amount equal to lifetime expected credit losses.

1.13De-recognitionoffinancial instruments

The Company derecognizes a financial asset or a group offinancial assets when the contractual rights to the cash flowsfrom the asset expire, or when it transfers thefinancial asset and substantiallyall the risks and rewards ofownership oftheasset to another party.

On derecognition of a financial asset (except for equity instruments designated as FVTOCI), the difference between the asset''s carrying amount and the sum of the consideration received and receivable are recognized in statement of profit and loss.

On derecognition ofassets measured at FVTOCI thecumulative gain or loss previously recognised in othercomprehensive income is reclassified to profit or loss as a reclassification adjustment unless the asset represents an equity investment, in which case the cumulative gain or loss previously recognised in other comprehensive income are reclassified within equity.

Financial liabilities are derecognized ifthe Company''s obligations specified in the contract expire or are discharged or cancelled. The difference between the carrying amount of the financial liability derecognized and the consideration paid and payable is recognized in Statement of Profit and Loss.

Mar 31, 2023

1. Company Overview and Significant Accounting Policies

(A) Corporate Information

Bharat Road Network Limited (the company) is domiciled and incorporated in India and its shares are quoted on BSE Limited (''BSE'') and National Stock Exchange of India Limited (''NSE'') w.e.f. 18th September, 2017. The Registered Office ofthe Company is at''Plot X1-2&3, Ground Floor, Block-EP, Sector-V, Salt Lake City, Kolkata - 700 091.

The Company is presently engaged in the business of designing, building, operating, maintaining and carrying out all other activities pertaining to road projects. As per the guidelines of respective Government Authority and the requirements of the Concession Agreements, such road projects are required to be implemented under the Built, Operate&Transfer (BOT) model by creating Special Purpose Vehicles (SPVs) so that after theconcession period, the SPVcan betransferred to the respectiveauthority on an "as is where is basis". The Company has, therefore, invested in various road projects under the aforesaid SPV model.

(B) SignificantAccounting Policies

1.1 StatementofCompliance

The Company has adopted Indian Accounting Standards (referred to as"Ind AS") notified under the Companies (Indian Accounting Standards) Rules, 2015 (as amended) read with Section 133 ofthe Companies Act, 2013 ("the Act") with effect from April 1,2017 and therefore Ind AS issued, notified and made effective till thefinancial statements are authorised have been considered for the purpose of preparation of these financial statements.

Accounting Policy has been consistently applied except where a newly introduced Accounting Standard is initially adopted or a revision to an existing accounting standard requires a change in accounting policy hitherto in use.

1.2 BasisofPreparation

The financial Statements have been prepared on historical cost convention on accrual basis, except for certain financial instruments that are measured in terms ofrelevant Ind AS atfairvalues/amortised cost at the end ofeach reporting period.

Historical cost convention is generally based on fair value of the consideration given in exchange for goods and services.

As the operating cycle cannot be identified in normal course, the same has been assumed to have duration of 12 months. All Assets and Liabilities have been classified as current or non-current as per the operating cycle and other criteria set out in Ind AS-1 ''Presentation of Financial Statements'' and Schedule III to the Companies Act, 2013.

TheStandalone Financial Statementsare presented in Indian Rupees and all valuesare rounded offtothe nearest twodecimal lakhs except otherwise stated.

1.3 FairValueMeasurement

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date under current market conditions.

The Company categorizes assets and liabilities measured at fair value into one of three levels depending on the ability to observe inputs employed for such measurement:

Level 1 : quoted prices (unadjusted) in active markets for identical assets or liabilities.

Level 2: inputs other than quoted prices included within level 1 that are observable either directly or indirectly for the asset or liability

Level 3: inputs for the asset or liability which are not based on observable market data.

1.4 Property Plant and Equipment (PPE)

(i) Freehold land is carried at historical cost. All other items of PPE arestated at their cost ofacquisition or construction and is net of accumulated depreciation. Carrying value of PPE on the date of transition has been considered to be deemed cost. The cost comprises purchase price, borrowing cost ifcapitalization criteria are met and directly attributable cost of bringing the asset to its working condition for the intended use.

(ii) All project related expenses via civil works, machinery under erection, construction and erection materials, pre-operative expenditure net of revenue incidental / attributable to the construction of project, borrowing cost incurred prior to the date ofcommercial operations areshown under Capital Work-In-Progress (CWIP).

(iii) Depreciation on property plant and equipment commences when the assets are ready for their intended use.

(iv) Depreciation on PPE is provided on the straight-line method over the useful lives ofthe respective asset as specified in Part C ofSchedule II to Companies Act, 2013. The useful life ofassets considered for depreciation as aboveare asfollows:

Category	Useful life (years)
Computers	3,6 years
Furniture&fixtures	10years
Office equipments	5 years

(v) The residual values, useful lives and method ofdepreciation ofassets are reviewed at each financial yearend and adjusted prospectively, ifappropriate.

(vi) Cost of leasehold lands are amortised under the straight line method over the related lease period.

1.5 IntangibleAssets

Recognition and initial measurement

Intangible assets are stated at cost comprising ofpurchase price inclusive ofduties and taxes less accumulated amount of amortization and impairment losses. Such assets, are amortised over the useful life using straight line method and assessed for impairment whenever there is an indication ofthe same.

Accordingly, cost of computer software packages has been allocated / amortised over a period of 6 years on straight line basis

1.6 Derecognition of Tangible and Intangible Assets

An item of PPE is de-recognised upon disposal or when no future economic benefits are expected to arise from its use or disposal.Gain or loss arising on thedisposal ofan item ofPPE is determined as the difference between thesale proceeds and thecarrying amount ofthe asset and is recognised in theStatement ofProfit and Loss.

1.7 Impairment of Tangible and Intangible Assets

Tangible and Intangible assets are reviewed at each balance sheet date for impairment. In case events and circumstances indicate any impairment, recoverable amount ofassets is determined. An impairment loss is recognized in the statement of profit and loss, whenever the carrying amount ofassets either belonging to Cash Generating Unit (CGU) or otherwise exceeds recoverable amount. The recoverable amount is the higher of assets fair value less cost of disposal and its value in use. In assessing value in use, the estimated future cash flows from the use of the assets are discounted to their present value at appropriate rate.

Impairment losses recognized earlier may no longer exist or may have come down. Based on such assessment at each reporting period the impairment loss is reversed and recognized in the Statement of Profit and Loss. In such cases the carrying amount ofthe asset is increased to the lower ofits recoverable amountand the carrying amount that have been determined, net ofdepreciation, had no impairment loss been recognized for theasset in prioryears.

1.8 Leases

The Company recognises right-of-use asset representing its right to use the underlying asset for the lease term at the lease commencement date. The cost of the right-of-use asset measured at inception shall comprise of the amount of the initial measurementofthe lease liability adjusted for any lease payments made at or beforethecommencement date lessany lease incentives received, plus any initial direct costs incurred and an estimate ofcosts to be incurred bythe lessee in dismantling and removing the underlying asset or restoring the underlying asset or site on which it is located. The right-of-use assets is subsequently measured at cost less any accumulated depreciation, accumulated impairment losses, ifany and adjusted for any remeasurement of the lease liability. The right-of-use assets is depreciated using the straight-line method from the commencement date over the shorter ofleaseterm or useful lifeofright-of-use asset. Theestimated useful lives ofright-of-use assets are determined on the same basis as those of property, plant and equipment.Right-of-use assets are tested for impairment whenever there is any indication that their carrying amounts may not be recoverable. Impairment loss, ifany, is recognised in the statement ofprofit and loss.

The Company measures the lease liabilityat the presentvalueofthe lease payments that are not paid at the commencement date of the lease. The lease payments are discounted using the interest rate implicit in the lease, if that rate can be readily determined. If that rate cannot be readily determined, the Company uses incremental borrowing rate. For leases with reasonably similar characteristics, the Company, on a lease by lease basis, may adopt either the incremental borrowing rate specific to the leaseorthe incremental borrowing rateforthe portfolio asawhole.The lease payments shall includefixed payments,variable lease payments, residual value guarantees, exercise price of a purchase option where the Company is reasonably certain to exercise that option and payments of penalties for terminating the lease, if the lease term reflects the lessee exercising an option to terminate the lease. The lease liability is subsequently remeasured by increasing the carrying amount to reflect interest on the lease liability, reducing the carrying amount to reflect the lease payments made and remeasuring the carrying amount to

reflectanyreassessmentor leasemodificationsorto reflect revised in-substancefixed lease payments. Thecompany recognises the amount of the re-measurement of lease liability due to modification as an adjustment to the right-of-use asset and statement ofprofit and loss depending upon the nature ofmodification. Where thecarrying amount ofthe right-of-use asset is reduced to zero and there is a further reduction in the measurement ofthe lease liability, theCompany recognises any remaining amount ofthe re-measurement in statement ofprofit and loss.The Company has elected to use the recognition exemptions for short term leases as well as low value assets.

1.9 Investments In Subsidiaries, Associates and Joint Ventures

The Company''s investment in the equity shares of its subsidiaries, associates & joint ventures are recognised at cost. The company has elected to apply previous GAAP carrying amount of its equity investment in subsidiaries,associates & joint ventures as deemed cost as on the date of transition to Ind AS. However, the debt instruments in subsidiaries,associates & joint ventures are recognized at fair value.

1.10 Financial Assets and Liabilities

Financial assets and financial liabilities (financial instruments) are recognized when Company becomes a party to the contractual provisions ofthe instruments.

Financial assets and financial liabilities are initially measured atfair 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 profit or 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 or loss are recognized immediately in the Statement of Profit and Loss.

Thefinancial assetsandfinancial liabilitiesareclassified ascurrent iftheyareexpected to be realised or settled within operating cycle of the company or otherwise these are classified as non current.

The financial instruments are classified to be measured at Amortized Cost, at Fair Value Through Profit and Loss (FVTPL) or at Fair Value Through Other Comprehensive Income (FVTOCI) and such classification depends on the objective and contractual terms to which they relate. Classification of financial instruments are determined on initial recognition.

(i) Cash and cash equivalents

All highly liquid financial instruments,which are readilyconvertible into known amounts ofcash and which aresubject to an insignificant risk of change in value and are having original maturities of three months or less from the date of purchase, are considered as cash equivalents. Cash and cash equivalents includes balances with banks which are unrestricted for withdrawal and usage.

(ii) Financial Assets and Financial Liabilities measured at amortized cost

Financial Assets held within a business whose objective is to hold these assets in order to collect contractual cash flows and the contractual terms ofthe financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding are measured at amortized cost.

The above Financial Assets and Financial Liabilities subsequent to initial recognition are measured at amortized cost using Effective Interest Rate (EIR) method.

The effective interest rate is the rate that exactly discounts estimated future cash payments or receipts (including all fees and points paid or received, transaction costs and other premiums or discounts) through the expected life of the Financial Assetor Financial Liabilitytothegrosscarrying amountofthefinancial assetorto theamortisedcostoffinancial liability, or, where appropriate, a shorter period, to the net carrying amount on initial recognition.

(iii) Financial Asset at Fair Value through Other Comprehensive Income (FVTOCI)

Financial assets are measured atfairvalue through othercomprehensive income ifthesefinancial assets are held within a business whose objective is achieved by both collecting contractual cash flows and selling financial assets and the contractual terms ofthefinancial asset give rise on specified dates to cash flows that are solely payments of principal and intereston the principal amount outstanding. Subsequent to initial recognition,theyare measured atfairvalueand changes therein are recognised directly in other comprehensive income.

(iv) For the purpose of para (ii) and (iii) above, the principal is considered to be fairvalue of the financial asset at initial recognition and interest consists of consideration for the time value of money and associated credit risk.

(v) Financial Assetsor Liabilities at Fairvaluethrough profitor loss (FVTPL)

Financial Instrumentswhich do not meetthecriteria ofamortized costorfairvaluethrough othercomprehensive income are classified as FairValuethrough Profit or loss. These are recognised atfairvalue and changes therein are recognized in the statement ofprofit and loss.

(vi) Equitylnstruments

All equityinvestments in scopeoflnd AS109are measuredatfairvalue (exceptequityinvestment in subsidiary,associates and joint ventures). For equity instruments, the company may make an irrevocable election to present subsequent changes in the fair value in other comprehensive income. The Company makes such election on an instrument byinstrument 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.

1.11 Financialguaranteecontracts

Financial guaranteecontracts otherthan those which are in the natureoflnsurancearethosecontractsthat requireapayment to be made to reimburse the holder for a loss it incurs because the specified party fails to make a payment when due in accordance with the terms of a debt instrument. Financial guarantee contracts are recognised initially as a liability at fair value, adjusted for transaction costs that aredirectlyattributable to the issuance oftheguarantee. Subsequently, the liability is measured at the higher ofthe amount ofexpected loss allowance determined as per impairment requirements of Ind-AS 109 and the amount recognised less cumulative amortization.

1.12 ImpairmentofFinancialAssets

Afinancial asset is assessedfor impairment at each reporting date.Afinancial asset is considered to be impaired ifobjective evidence indicates that one or more events have a negative effect on the estimated future cash flows of that asset.The company measures the loss allowance for a financial instrument at an amount equal to the lifetime expected credit losses if the credit riskon thatfinancial instrument has increased significantly since initial recognition. Ifthe credit riskon a financial instrument has not increased significantlysince initial recognition,thecompany measuresthe loss allowanceforthatfinancial instrument at an amount equal to 12-month expected credit losses.However, for trade receivables or contract assets that result in relation to revenue from contracts with customers, the company measures the loss allowance atan amount equal to lifetime expected credit losses.

1.13 De-recognition offinancial instruments

TheCompany derecognizes a financial asset or a group offinancial assets when the contractual rights to the cash flowsfrom the asset expire, or when it transfers thefinancial asset and substantially all the risks and rewards ofownership ofthe asset to another party.

On derecognition ofafinancial asset (except for equity instruments designated as FVTOCI), the difference between the asset''s carrying amount and the sum ofthe consideration received and receivable are recognized in statement of profit and loss.

On derecognition of assets measured at FVTOCI the cumulative gain or loss previously recognised in other comprehensive income is reclassified to profit or loss as a reclassification adjustment unless the asset represents an equity investment, in which case the cumulative gain or loss previously recognised in other comprehensive income are reclassified within equity.

Financial liabilities are derecognized ifthe Company''s obligations specified in the contract expire or are discharged or cancelled. The difference between the carrying amount ofthefinancial liability derecognized and the consideration paid and payable is recognized in Statement of Profit and Loss.

1.14 Inventories

Inventories arevalued at lower ofcost or net realisablevalue

Cost is calculated on weighted average basis and includes expenditure incurred for bringing such inventories to their present location and condition.Adjustments in thecarrying amountofobsolete,defectiveand slow moving itemsas may be identified at the time of physical verification is made where appropriate, to cover any eventual loss on their ultimate realisation.

1.15 ForeignCurrencyTransactions Presentation currency:

These financial statements are presented in Indian Rupee, the national currency of India, which is the functional currency ofthecompany.

Transactions and balances:

Transactions in foreign currencies are translated into the functional currency at the exchange rates prevailing on the date of the transactions. Foreign currency monetary assets and liabilities at the year-end are translated at the year-end exchange rates. Non-monetary items which are carried in termsofhistorical cost denominated in a foreign currency are reported using the exchange rate at the date of transaction. The loss or gain thereon and also on the exchange differences on settlement ofthe foreign currency transactions during the year are recognized as income or expense in the profit and loss account.

Foreign exchange gain/loss to the extent considered as an adjustment to Interest Cost are considered as part of borrowing cost.

1.16 Provision, Contingent Liabilities and Contingent Assets

Provisions involving substantial degree ofestimation in measurement are recognized when there is a legal or constructive obligation as a result of past events and it is probable that there will be an outflow of resources and a reliable estimate can be made ofthe amount ofobligation. Provisions are not recognized forfuture operating losses.The amount recognized as a provision is the best estimate ofthe consideration required to settle the present obligation at the end of the reporting period, taking into account the risks and uncertainties surrounding the obligation.

Contingent liabilities is not recognized and are disclosed byway ofnotes to thefinancial statements when there is a possible obligation arising from past events, the existence of which will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the Company or when there is a present obligation that arises from past events where it is either not probable that an outflow of resources will be required to settle the same or a reliable estimate ofthe amount in this respect cannot be made.

Contingent Assets aredisclosed in thefinancial statements by way ofnotes to accounts when an inflowofeconomic benefits is probable.

1.17 Post-employment, long term and short term employee benefits Defined contribution plans

Provident Fund

The Company pays provident fund contributions to publicly administered provident funds as per local regulations. The Company has no further payment obligations once the contributions have been paid. The contributions are accounted for as defined contribution plans and the contributions are recognised as employee benefit expense when they are due.

Defined benefit plans Gratuity (Unfunded)

Gratuity is a post-employment benefit and is in the nature ofa defined benefit plan. The liability recognised in the financial statement in respect ofgratuity is the presentvalueofthe defined benefit obligation atthe reporting date less thefairvalue of plan assets, together with adjustments for unrecognized actuarial gains or losses and past service costs. The defined benefit/obligation is calculated at or near the reporting date by an independent actuary using the projected unit credit method.

Actuarial gains and losses arising from past experience and changes in actuarial assumptions are credited or charged to the statement ofOCI in theyear in which such gains or losses aredetermined.

Compensated absences

Liability in respect ofcompensated absences becoming dueorexpected to beavailed within oneyearfrom the balancesheet date is recognised on the basis ofundiscountedvalueofestimated amount required to be paid or estimatedvalue ofbenefit expected to be availed by the employees. Liability in respect ofcompensated absences becoming due or expected to be availed more than oneyear after the balance sheet date is estimated on the basis ofan actuarial valuation performed by an independent actuary using the projected unit credit method.

Actuarial gains and losses arising from past experience and changes in actuarial assumptions are charged to statement of profit and loss in theyear in which such gains or losses are determined.

Short Term Employee Benefits

Recognised at the undiscounted amount as expense for the year in which the related service is provided.

1.18 RevenueRecognition Service Revenue

The Company recognises revenue when the company satisfies a performance obligation by transferring a promised service to a customer and it is probable that the company will collect the consideration to which it will be entitled in exchange for the services.

Interest Income

Interest income is generally recognized on a time proportion basis by considering the outstanding amount and effective interest rate.For all financial instruments measured at amortized cost, interest income is recorded using effective interest rate (El R), which is the rate that exactly discounts the estimated future cash payments or receipts through the expected life of the financial instruments or a shorter period, where appropriate, to the net carrying amount of the financial asset. When calculating the effective interest rate,thecompanyestimates theexpected cash flows byconsidering all thecontractual terms ofthefinancial instrument. Interest income is included in other income in thestatementofprofitand loss.

Other Income

Other Income is recognized when right to receive is established.

1.19 BorrowingCosts

Borrowing cost comprises ofinterest and other costs incurred in connection with the borrowing ofthefunds. All borrowing costs are recognized in the Statement of Profit and Loss using the effective interest rate method except to the extent attributable to qualifying asset which are capitalized to the cost of the related assets. A qualifying asset is an asset, that necessarilytakes a substantial period oftime to get readyfor its intended use orsale. Borrowing cost also includes exchange differences to the extent considered asan adjustment to the borrowing costs.

1.20 Income Tax

Income tax expense representing the sum ofcurrent taxexpenses and the net charge ofthedeferred taxes is recognized in the statement of profit & loss except to the extent that it relates to items recognized directly in equity or other comprehensive income.

Current income tax is provided on the taxable income and recognized at the amount expected to be paid to or recovered from thetaxauthorities, using thetax ratesand taxlawsthat have been enactedorsubstantively enacted bytheend ofthe reporting period. Taxable Incomediffersfrom''profit beforetax''as reported in thestatementofprofitand loss becauseofitems ofincome or expense taxable on the basis different than that considered for recognition in the accounts and also due to the items that are taxable or deductible in other years and items that are never taxable or deductible.

Deferred tax is recognized on temporary differences between the carrying amounts ofassets and liabilities in the Financial Statements and the corresponding tax bases used in the computation oftaxable profit. Deferred tax liabilities are generally recognized for all taxable temporary differences. Deferred tax assets are generally recognized for all deductible temporary differences to the extent that it is probable that taxable profits will be available against which those deductible temporary differences can be utilised.

Deferred tax liabilities and assets are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realised, based on tax rates (and tax laws) that have been enacted or substantively enacted by the end ofthereporting period.

The carrying amount ofdeferred tax assets is reviewed at the end ofeach reporting period and reduced to the extent that it is no longer probable that sufficient taxable profits will be available to allow all or part ofthe deferred tax asset to be utilised.

1.21 Earningspershare

Basic earnings pershare is calculated bydividing the net profitor lossforthe period attributableto equityshareholders (after deducting attributabletaxes) by theweighted average number ofequitysharesoutstanding during the period.Theweighted average number of equity shares outstanding during the period is adjusted for events including a bonus issue.

Forthe purposeofcalculating diluted earnings pershare,the net profitor lossforthe periodattributabletoequityshareholders and theweighted average numberofshares outstanding during the period areadjustedforthe effects ofall dilutive potential equity shares.

1.22 Use of Estimates and management judgements

The preparation offinancial statements in conformity with Indian Accounting Standards (Ind AS) requires management of the company to makejudgments, estimates and assumptions that affect the reported amount of revenues, expenses, assets, liabilities and related disclosures concerning the items involved as well as contingent assets and liabilities at the balance sheet date.

Theestimates and management''sjudgments are based on previous experienceand otherfactors considered reasonableand prudent in the circumstances. Actual results may differ from these estimates.

Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimates are revised.

The areas involving critical judgement are as follows:

i) Useful lives of property plant and equipment / intangible assets

experiencewith similarassets and take into account anticipated technological changes. Thedepreciation/amortisation forfuture periods is revised ifthere are significant changesfrom previous estimates.

ii) Provisionsandcontingencies

The assessments undertaken in recognizing provisions and contingencies have been made in accordance with Ind AS 37,''Provisions, Contingent Liabilities and Contingent Assets''. The evaluation ofthe likelihood ofthe contingent events has required best judgment by management regarding the probability of exposure to potential loss. The timing of recognition and quantification ofthe liability requirestheapplication ofjudgementto existing facts and circumstances, which can be subject to change.

iii) Post-employment benefit plans

Employee benefit obligations are measured on the basis ofactuarial assumptions which include mortality and withdrawal rates as well as assumptions concerning future developments in discount rates, the rate of salary increases and the inflation rate. The Company considers that the assumptions used to measure its obligations are appropriate.

iv) Income Taxes

The Company''s tax jurisdiction is India. Significant judgements are involved in estimating budgeted profits for the purpose of paying advance tax, determining the provision for income taxes, including amount expected to be paid/recovered for uncertain tax positions.

Deferred tax assets are recognised for unused tax losses and unused tax credit to the extent that it is probable that taxableprofitwould beavailableagainst which the lossescould be utilised. Significant managementjudgment is required to determine the amount of deferred tax assets that can be recognised, based upon the likely timing and the level of future taxable profits together with future tax planning strategies.

v) Fairvalue measurements and valuation processes

Some ofthe Company''s assets and liabilities are measured atfair value forfinancial reporting purposes. In estimating thefairvalueofan asset ora liability,theCompany uses market-observabledata to theextent it isavailable. Where Level 1 inputs are not available, the Company engages third party valuers, where required, to perform the valuation. Information about thevaluation techniquesand inputs used in determining thefairvalueofvariousassetsand liabilities aredisclosed in the notes to the financial statements.

Mar 31, 2018

1.1 Basis of Preparation

The financial Statements have been prepared on historical cost convention on accrual basis, except for certain financial instruments that are measured in terms of relevant Ind AS at fair values/amortised cost at the end of each reporting period.

Historical cost convention is generally based on fair value of the consideration given in exchange for goods and services.

As the operating cycle cannot be identified in normal course, the same has been assumed to have duration of 12 months. All Assets and Liabilities have been classified as current or non-current as per the operating cycle and other criteria set out in Ind AS-1 âPresentation of Financial Statementsâ and Schedule III to the Companies Act, 2013.

The Standalone Financial Statements are presented in Indian Rupees and all values are rounded off to the nearest two decimal lakhs except otherwise stated.

1.2 Fair Value Measurement

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date under current market conditions.

The Company categorizes assets and liabilities measured at fair value into one of three levels depending on the ability to observe inputs employed for such measurement:

Level 1 : quoted prices (unadjusted) in active markets for identical assets or liabilities.

Level 2 : inputs other than quoted prices included within level 1 that are observable either directly or indirectly for the asset or liability

Level 3 : inputs for the asset or liability which are not based on observable market data.

1.3 Property Plant and Equipment (PPE)

(i) Freehold land is carried at historical cost. All other items of PPE are stated at their cost of acquisition or construction and is net of accumulated depreciation. Carrying value of PPE on the date of transition has been considered to be deemed cost. The cost comprises purchase price, borrowing cost if capitalization criteria are met and directly attributable cost of bringing the asset to its working condition for the intended use.

(ii) All project related expenses via civil works, machinery under erection, construction and erection materials, pre-operative expenditure net of revenue incidental / attributable to the construction of project, borrowing cost incurred prior to the date of commercial operations are shown under Capital Work -In-Progress (CWIP).

(iii) Depreciation on property plant and equipment commences when the assets are ready for their intended use.

(iv) Depreciation on PPE is provided on the straight-line method over the useful lives of the respective asset as specified in Part C of Schedule II to Companies Act, 2013. The useful life of assets considered for depreciation as above are as follows:

(v) The residual values, useful lives and method of depreciation of assets are reviewed at each financial year end and adjusted prospectively, if appropriate.

(vi) Cost of leasehold lands are amortised under the straight line method over the related lease period.

(vii) Assets constructed/acquired in relation to assets taken on operating lease are amortised over the primary period of lease.

1.4 Intangible Assets

Recognition and initial measurement

Intangible assets are stated at cost comprising of purchase price inclusive of duties and taxes less accumulated amount of amortization and impairment losses. Such assets, are amortised over the useful life using straight line method and assessed for impairment whenever there is an indication of the same.

Accordingly, cost of computer software packages has been allocated / amortised over a period of 6 years on straight line basis

1.5 Derecognition of Tangible and Intangible Assets

An item of PPE is de-recognised upon disposal or when no future economic benefits are expected to arise from its use or disposal. Gain or loss arising on the disposal or retirement of an item of PPE is determined as the difference between the sale proceeds and the carrying amount of the asset and is recognised in the Statement of Profit and Loss.

1.6 Impairment of Tangible and Intangible Assets

Tangible and Intangible assets are reviewed at each balance sheet date for impairment. In case events and circumstances indicate any impairment, recoverable amount of assets is determined. An impairment loss is recognized in the statement of profit and loss, whenever the carrying amount of assets either belonging to Cash Generating Unit (CGU) or otherwise exceeds recoverable amount. The recoverable amount is the higher of assets fair value less cost of disposal and its value in use. In assessing value in use, the estimated future cash flows from the use of the assets are discounted to their present value at appropriate rate.

Impairment losses recognized earlier may no longer exist or may have come down. Based on such assessment at each reporting period the impairment loss is reversed and recognized in the Statement of Profit and Loss. In such cases the carrying amount of the asset is increased to the lower of its recoverable amount and the carrying amount that have been determined, net of depreciation, had no impairment loss been recognized for the asset in prior years.

1.7 Leases

Leases are classified as finance leases whenever in terms of the lease all the risks and rewards incidental to the ownership of an asset are substantially transferred to the Company. All other leases are classified as operating leases.

Finance leases are capitalized at the inception of the lease at lower of its fair value and the present value of the minimum lease payments and a liability is recognized for an equivalent amount. Any initial direct cost of the lessee is added to the amount recognized as an asset. Each Lease payment is apportioned between finance charge and reduction of the lease liability. The finance charge is allocated to each period during the lease term so as to produce a constant periodic rate of interest on the outstanding amount of the liabilities.

Payments made under operating leases are recognized as expenses on a straight-line basis over the term of the lease unless the lease arrangement are structured to increase in the payments in line with expected general inflation or another systematic basis which is more representative of the time pattern of the benefits availed. Contingent rentals, if any, arising under operating leases are recognized as an expense in the period in which they are incurred.

1.8 Investments in Subsidiaries, Associates and Joint Ventures

The Companyâs investment in the equity shares of its subsidiaries, associates & joint ventures are recognised at cost. The company has elected to apply previous GAAP carrying amount of its equity investment in Subsidiaries, Associates & Joint Ventures as deemed cost as on the date of transition to Ind AS. However, the debt instruments in Subsidiaries, Associates & Joint Ventures are recognized at fair value.

1.9 Financial Assets and Liabilities

Financial assets and financial liabilities (financial instruments) are recognized when Company becomes a party to the contractual provisions of the instruments.

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 profit or 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 or loss are recognized immediately in the Statement of Profit and Loss.

The financial assets and financial liabilities are classified as current if they are expected to be realised or settled within operating cycle of the company or otherwise these are classified as non current.

The financial instruments are classified to be measured at Amortized Cost, at Fair Value Through Profit and Loss (FVTPL) or at Fair Value Through Other Comprehensive Income (FVTOCI) and such classification depends on the objective and contractual terms to which they relate. Classification of financial instruments are determined on initial recognition.

(i) Cash and cash equivalents

All highly liquid financial instruments, which are readily convertible into determinable amounts of cash and which are subject to an insignificant risk of change in value and are having original maturities of three months or less from the date of purchase, are considered as cash equivalents. Cash and cash equivalents includes balances with banks which are unrestricted for withdrawal and usage.

(ii) Financial Assets and Financial Liabilities measured at amortized cost

Financial Assets held within a business whose objective is to hold these assets in order 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 are measured at amortized cost.

The above Financial Assets and Financial Liabilities subsequent to initial recognition are measured at amortized cost using Effective Interest Rate (EIR) method.

The effective interest rate is the rate that exactly discounts estimated future cash payments or receipts (including all fees and points paid or received, transaction costs and other premiums or discounts) through the expected life of the Financial Asset or Financial Liability to the gross carrying amount of the financial asset or to the amortised cost of financial liability, or, where appropriate, a shorter period, to the net carrying amount on initial recognition.

(iii) Financial Asset at Fair Value through Other Comprehensive Income (FVTOCI)

Financial assets are measured at fair value through other comprehensive income if these financial assets are held within a business 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. Subsequent to initial recognition, they are measured at fair value and changes therein are recognised directly in other comprehensive income.

(iv) For the purpose of para (ii) and (iii) above, the principal is considered to be fair value of the financial asset at initial recognition and interest consists of consideration for the time value of money and associated credit risk.

(v) Financial Assets or Liabilities at Fair value through profit or loss (FVTPL)

Financial Instruments which do not meet the criteria of amortized cost or fair value through other comprehensive income are classified as Fair Value through Profit or loss. These are recognised at fair value and changes therein are recognized in the statement of profit and loss.

(vi) Equity Instruments

All equity investments in scope of Ind AS 109 are measured at fair value (except equity investment in subsidiary, associates and joint ventures). For equity instruments, the company may make an irrevocable election to present subsequent changes in the fair value in other comprehensive income. 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.

1.10 Financial guarantee contracts

Financial guarantee contracts other than those which are in the nature of Insurance are those contracts that require a payment to be made to reimburse the holder for a loss it incurs because the specified party fails to make a payment when due in accordance with the terms of a debt instrument. Financial guarantee contracts are recognised initially as a liability at fair value, adjusted for transaction costs that are directly attributable to the issuance of the guarantee. Subsequently, the liability is measured at the higher of the amount of expected loss allowance determined as per impairment requirements of Ind-AS 109 and the amount recognised less cumulative amortization.

1.11 Impairment of Financial Assets

The company measures the loss allowance for a financial instrument at an amount equal to the lifetime expected credit losses if the credit risk on that financial instrument has increased significantly since initial recognition. If the credit risk on a financial instrument has not increased significantly since initial recognition, the company measures the loss allowance for that financial instrument at an amount equal to 12-month expected credit losses.

However, for trade receivables or contract assets that result in relation to revenue from contracts with customers, the company measures the loss allowance at an amount equal to lifetime expected credit losses.

1.12 De-recognition of financial instruments

The Company derecognizes a financial asset or a group of financial assets when the contractual rights to the cash flows from the asset expire, or when it transfers the financial asset and substantially all the risks and rewards of ownership of the asset to another party.

On derecognition of a financial asset (except for equity instruments designated as FVTOCI), the difference between the assetâs carrying amount and the sum of the consideration received and receivable are recognized in statement of profit and loss.

On derecognition of assets measured at FVTOCI the cumulative gain or loss previously recognised in other comprehensive income is reclassified from equity to profit or loss as a reclassification adjustment.

Financial liabilities are derecognized if the Companyâs obligations specified in the contract expire or are discharged or cancelled. The difference between the carrying amount of the financial liability derecognized and the consideration paid and payable is recognized in Statement of Profit and Loss.

1.13 Inventories

Inventories are valued at lower of cost or net realisable value

Cost is calculated on weighted average basis and includes expenditure incurred for bringing such inventories to their present location and condition. Adjustments in the carrying amount of obsolete, defective and slow moving items as may be identified at the time of physical verification is made where appropriate, to cover any eventual loss on their ultimate realisation.

1.14 Foreign Currency Transactions Presentation currency:

These financial statements are presented in Indian Rupee, the national currency of India, which is the functional currency of the company.

Transactions and balances:

Transactions in foreign currencies are translated into the functional currency at the exchange rates prevailing on the date of the transactions. Foreign currency monetary assets and liabilities at the year-end are translated at the year-end exchange rates. Nonmonetary items which are carried in terms of historical cost denominated in a foreign currency are reported using the exchange rate at the date of transaction. The loss or gain thereon and also on the exchange differences on settlement of the foreign currency transactions during the year are recognized as income or expense in the profit and loss account. Foreign exchange gain/loss to the extent considered as an adjustment to Interest Cost are considered as part of borrowing cost.

1.15 Provision, Contingent Liabilities and Contingent Assets

Provisions involving substantial degree of estimation in measurement are recognized when there is a legal or constructive obligation as a result of past events and it is probable that there will be an outflow of resources and a reliable estimate can be made of the amount of obligation. Provisions are not recognized for future operating losses. 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.

Contingent liabilities is not recognized and are disclosed by way of notes to the financial statements when there is a possible obligation arising from past events, the existence of which will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the Company or when there is a present obligation that arises from past events where it is either not probable that an outflow of resources will be required to settle the same or a reliable estimate of the amount in this respect cannot be made.

Contingent Assets are disclosed in the financial statements by way of notes to accounts when an inflow of economic benefits is probable.

1.16 Post-employment, long term and short term employee benefits Defined contribution plans

Provident Fund

Defined benefit plans Gratuity (Unfunded)

Gratuity is a post-employment benefit and is in the nature of a defined benefit plan. The liability recognised in the financial statement in respect of gratuity is the present value of the defined benefit obligation at the reporting date less the fair value of plan assets, together with adjustments for unrecognized actuarial gains or losses and past service costs. The defined benefit/obligation is calculated at or near the reporting date by an independent actuary using the projected unit credit method.

Actuarial gains and losses arising from past experience and changes in actuarial assumptions are credited or charged to the statement of OCI in the year in which such gains or losses are determined.

Compensated absences

Liability in respect of compensated absences becoming due or expected to be availed within one year from the balance sheet date is recognised on the basis of undiscounted value of estimated amount required to be paid or estimated value of benefit expected to be availed by the employees. Liability in respect of compensated absences becoming due or expected to be availed more than one year after the balance sheet date is estimated on the basis of an actuarial valuation performed by an independent actuary using the projected unit credit method.

Actuarial gains and losses arising from past experience and changes in actuarial assumptions are charged to statement of profit and loss in the year in which such gains or losses are determined.

Short Term Employee Benefits

Recognised at the undiscounted amount as expense for the year in which the related service is provided.

1.17 Revenue Recognition Service Revenue

Revenue from services is recognized in the period in which services are rendered. It is measured at fair value of consideration received or receivable for the services rendered. Revenue is recognized to the extent it is probable that the economic benefits will flow to the Company, it can be reliably measured and it is reasonable to expect ultimate collection.

Interest Income

For all financial instruments measured at amortized cost, interest income is recorded using effective interest rate (EIR), which is the rate that exactly discounts the estimated future cash payments or receipts through the expected life of the financial instruments or a shorter period, where appropriate, to the net carrying amount of the financial asset. Interest income is included in other income in the statement of profit and loss.

Other Income

Other Income is recognized when right to receive is established.

1.18 Borrowing Costs

Borrowing cost comprises of interest and other costs incurred in connection with the borrowing of the funds. All borrowing costs are recognized in the Statement of Profit and Loss using the effective interest rate method except to the extent attributable to qualifying asset which are capitalized to the cost of the related assets. A qualifying asset is an asset, that necessarily takes a substantial period of time to get ready for its intended use or sale. Borrowing cost also includes exchange differences to the extent considered as an adjustment to the borrowing costs.

1.19 Income Tax

Income tax expense representing the sum of current tax expenses and the net charge of the deferred taxes is recognized in the income statement except to the extent that it relates to items recognized directly in equity or other comprehensive income.

Current income tax is provided on the taxable income and recognized at the amount expected to be paid to or recovered from the tax authorities, using the tax rates and tax laws that have been enacted or substantively enacted by the end of the reporting period. Taxable Income differs from âprofit before taxâ as reported in the statement of profit and loss because of items of income or expense taxable on the basis different than that considered for recognition in the accounts and also due to the items that are taxable or deductible in other years and items that are never taxable or deductible.

Deferred tax is recognized on temporary differences between the carrying amounts of assets and liabilities in the Financial Statements and the corresponding tax bases used in the computation of taxable profit. Deferred tax liabilities are generally recognized for all taxable temporary differences. Deferred tax assets are generally recognized for all deductible temporary differences to the extent that it is probable that taxable profits will be available against which those deductible temporary differences can be utilised.

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

Deferred tax assets include Minimum Alternative Tax (MAT) paid in accordance with the tax laws in India, which is likely to give future economic benefits in the form of availability of set off against future income tax liability. Accordingly, MAT is recognized as deferred tax asset in the balance sheet when the asset can be measured reliably and it is probable that the future economic benefit associated with asset will be realised.

1.20 Earnings per share

Basic earnings per share is calculated by dividing the net profit or loss for the period attributable to equity shareholders (after deducting attributable taxes) by the weighted average number of equity shares outstanding during the period. The weighted average number of equity shares outstanding during the period is adjusted for events including a bonus issue.

For the purpose of calculating diluted earnings per share, the net profit or loss for the period attributable to equity shareholders and the weighted average number of shares outstanding during the period are adjusted for the effects of all dilutive potential equity shares.

1.21 Use of Estimates and management judgements

The preparation of financial statements in conformity with Indian Accounting Standards (Ind AS) requires management of the company to make judgments, estimates and assumptions that affect the reported amount of revenues, expenses, assets, liabilities and related disclosures concerning the items involved as well as contingent assets and liabilities at the balance sheet date.

The estimates and managementâs judgments are based on previous experience and other factors considered reasonable and prudent in the circumstances. Actual results may differ from these estimates.

Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimates are revised.

The areas involving critical judgement are as follows:

i) Useful lives of property plant and equipment / intangible assets

Property, plant and equipment / intangible assets are depreciated / amortised over their estimated useful lives, after taking into account estimated residual value. The useful lives and residual values are based on the Companyâs historical experience with similar assets and take into account anticipated technological changes. The depreciation / amortisation for future periods is revised if there are significant changes from previous estimates.

ii) Provisions and contingencies

The assessments undertaken in recognizing provisions and contingencies have been made in accordance with Ind AS 37, âProvisions, Contingent Liabilities and Contingent Assetsâ. The evaluation of the likelihood of the contingent events has required best judgment by management regarding the probability of exposure to potential loss. The timing of recognition and quantification of the liability requires the application of judgement to existing facts and circumstances, which can be subject to change.

iii) Post-employment benefit plans

Employee benefit obligations are measured on the basis of actuarial assumptions which include mortality and withdrawal rates as well as assumptions concerning future developments in discount rates, the rate of salary increases and the inflation rate. The Company considers that the assumptions used to measure its obligations are appropriate.

iv) Income Taxes

The Companyâs tax jurisdiction is India. Significant judgements are involved in estimating budgeted profits for the purpose of paying advance tax, determining the provision for income taxes, including amount expected to be paid/recovered for uncertain tax positions.

Deferred tax assets are recognised for unused tax losses and unused tax credit to the extent that it is probable that taxable profit would be available against which the losses could be utilised. Significant management judgment is required to determine the amount of deferred tax assets that can be recognised, based upon the likely timing and the level of future taxable profits together with future tax planning strategies.

v) Fair value measurements and valuation processes

Some of the Companyâs assets and liabilities are measured at fair value for financial reporting purposes. In estimating the fair value of an asset or a liability, the Company uses market-observable data to the extent it is available. Where Level 1 inputs are not available, the Company engages third party valuers, where required, to perform the valuation. Information about the valuation techniques and inputs used in determining the fair value of various assets and liabilities are disclosed in the notes to the financial statements.

1.22 First-time adoption of Ind-AS

i) These are the companyâs first financial statements prepared in accordance with Ind AS. For the year ended 31st March 2017, the company had prepared its financial statements in accordance with Companies (Accounting Standard) Rules 2006, notified under Section 133 of the Act and other relevant provisions of the Act (previous GAAP).

The accounting policies set out in note 1(C) have been applied in preparing the financial statements for the year ended 31 March 2018, including the comparative information for the year ended 31 March 2017 and then opening Ind AS balance sheet on the date of transition i.e. 1st April 2016.

In preparing its Ind AS balance sheet as at 1st April 2016 and in presenting the comparative information for the year end 31st March 2017, the Company has adjusted the amounts reported previously in financial statements prepared in accordance with the previous GAAP. An explanation of how the transition from previous GAAP to Ind AS has affected the Companyâs Balance Sheet and Statement of Profit and Loss, is set out in note 30.

ii) Exemptions and exceptions availed Exemptions

a) Deemed Cost

Ind AS 101 permits a first-time adopter to elect to continue with the carrying value for all of its property, plant and equipment as recognized in the financial statements as at the date of transition to Ind AS, measured as per the previous GAAP and use that as its deemed cost as at the date of transition.

Accordingly, the Company has elected to measure all of its property, plant and equipment at previous IGAAP value.

b) Investments in subsidiaries and associates

The company has elected to apply previous GAAP carrying amount of its equity investment in subsidiaries and associates as deemed cost as on the date of transition to Ind AS. However, the debt instruments in subsidiaries and associates are recognized at fair value.

iii) Estimates

The estimates at 1 April 2016 and at 31 March 2017 are consistent with those made for the same dates in accordance with Indian GAAP (after adjustments to reflect any differences in accounting policies) apart from the following items where application of Indian GAAP did not require estimation:

FVTOCI - equity shares

Amortised cost - debt securities

Impairment of financial assets based on expected credit loss model.

The estimates used by the Company to present these amounts in accordance with Ind AS reflect conditions at 1 April 2016, the date of transition to Ind AS and as of 31 March 2017.

iv) Exceptions

Classification and measurement of financial assets

The company has classified the financial assets in accordance with Ind AS 109 on the basis of facts and circumstances that exists at the date of transition to Ind -AS.

Mar 31, 2017

1.1 Basis of Preparation

a) The financial statements are prepared in accordance with the historical cost convention and the accrual basis of accounting. The accounting policies applied by the Company are consistent with those applied in the previous year except as otherwise stated elsewhere.

b) These financial statements have been prepared in accordance with the Generally Accepted Accounting Principles in India (Indian GAAP). These Financial Statements have been prepared to comply in all material respects with the Accounting Standards (âASâ) specified under Section 133 of the Companies Act 2013, read with Rule 7 of the Companies(Accounts) Rules, 2014, and the Companies (Accounting Standards) Amendments Rules, 2016, other pronouncements of the Institute of Chartered Accountants of India and relevant applicable provisions of the Companies Act, 1956, and Companies Act, 2013 to the extent notified.

c) The preparation of financial statements requires the Management to make estimates and assumptions considered in the reported amounts of assets and liabilities including Contingent Liabilities as of the date of the financial statements and the reported income and expenses for the reporting year. Management believes that the estimates used in the preparation of the financial statements are prudent and reasonable. Future results could differ from these estimates.

d) As per the Schedule III of Companies Act, 2013, âan operating cycle is the time between the acquisition of assets for processing and their realisation in cash or cash equivalentsâ. For the company, there is generally no clearly identifiable normal operating cycle and hence the normal operating cycle for the company is assumed to have duration oRs.12 months.

1.2 Revenue Recognition

Revenue is recognized to the extent it is probable that the economic benefits will flow to the Company, it can be reliably measured and it is reasonable to expect ultimate collection.

Interest income is recognized on time proportion basis, taking into account the amount outstanding and the rate applicable.

1.3 Property, Plant & Equipment and Depreciation / Amortization

a) Property, Plant & Equipment are stated at Cost less accumulated depreciation and impairment losses, ifany. Cost includes taxes, duties, freight and incidental expenses related to the acquisition and installation of the assets.

b) Intangible Assets comprising of computer software and licenses expected to provide future enduring economic benefits are carried at cost less accumulated amortization and impairment losses, ifany. Cost comprises of purchase price and directly attributable expenditure on making the asset ready for its intended use. Any technology support cost or annual maintenance cost for such software is charged to the Statement of Profit and Loss.

c) Depreciation on tangible assets is provided on Straight Line Method (âSLMâ) over the useful lives of the respective Property, Plant & Equipment as specified in Part C of Schedule II to Companies Act, 2013:

d) Depreciation on assets acquired/sold during the year is recognised in Statement of Profit and Loss on pro-rata basis from/till the date of purchase/sale.

e) Amortization of intangible assets is provided on SLM which reflect the managements estimate of useful life of such assets:

f) Capital work in progress is stated at cost and includes development and other expenses including interest during construction period.

1.4 Impairment of Property, Plant & Equipment

Wherever events or changes in circumstances indicate that the carrying amount of Property, Plant & Equipment may be impaired, the Company subjects such assets to a test of recoverability, based on discounted cash flows expected from use or disposal thereof. If the assets are impaired, the Company recognizes an impairment loss as the excess of the carrying amount over the recoverable amount.

After impairment, depreciation is provided on the revised carrying amount of the asset over its remaining useful life.

A previously recognized impairment loss is increased or reversed depending on changes in circumstances. However the carrying amount after reversal is not increased beyond the carrying amount that would have prevailed by charging usual depreciation if there was no impairment.

1.5 Investments

a) Investment which are readily realizable and intended to be held not more than one year from the date on which such investments are made, are classified as current investments. All Other investments are classified as long-term investment.

b) Current Investments are carried in the financial statements at lower of cost and fair value determined on an individual investment basis. Long Term Investments are stated at cost. Provision for diminution in value, is made to recognize a decline other than temporary in the value of the investments.

c) Cost includes acquisition charges such as brokerage, fee, duties and borrowing costs that are directly attributable to the acquisition of the investment.

1.6 Foreign Currency Transactions

Foreign currency transactions are recorded at the exchange rates prevailing at the time of transaction. Monetary assets and liabilities expressed in foreign currencies are translated into the reporting currency at the exchange rate prevailing at Balance Sheet date. Any income or expense on account of exchange difference either on settlement or on translation at the year end is recognized in the Statement of Profit and Loss.

1.7 Prior Period and Extra Ordinary Items

Prior Period and Extra Ordinary items having material impact on the financial affairs of the Company are disclosed separately.

1.8 Borrowing Costs

Borrowing costs to the extent attributed to the acquisition/construction of qualifying assets are capitalized up to the date when such assets are ready for its intended use and all other borrowing costs are recognized as an expense in the year in which they are incurred.

1.9 Employee Benefits

a) Short term employee benefits

Short term employee benefits based on expected obligation on undiscounted basis are recognised as expense in the Statement of Profit and Loss for the period in which the related service is rendered.

b) Defined contribution plan

Companyâs contribution towards Regional Provident Fund Authority and Employee State Insurance Corporation are charged to the Statement of Profit and Loss.

c) Defined benefit plan

Companyâs liabilities towards gratuity and leave benefits are defined benefit plans. Such liabilities are ascertained by an independent actuary as per the requirement of Accounting Standard - 15 (revised 2005) âEmployee Benefitsâ.

All actuarial gains and losses are recognised in Statement of Profit and Loss in the year in which they occur.

1.10 Segment Reporting

The company is primarily engaged in a single business segment of purchase, own, build, develop, design, Operate, transfer road and related services. All the activities of the company revolved around the main business. As such there are no separate reportable segments as per Accounting Standard -17âSegment Reportingâ.

1.11 Taxes on Income

Tax expense comprises of current tax [(net of Minimum Alternate Tax (MAT) credit entitlement)] and deferred tax.

Current tax is the amount of tax payable on the taxable income for the year determined in accordance with the provisions of the Income Tax Act, 1961.

Deferred tax reflects the impact of timing differences between taxable income and accounting income for the current reporting year and reversal of timing differences of earlier reporting years.

Deferred tax is measured based on the tax rates and the tax laws enacted or substantively enacted at the Balance Sheet date. Deferred tax assets and deferred tax liabilities are offset, if a legally enforceable right exists to set off current tax assets against current tax liabilities and these relate to the taxes on income levied by the same governing taxation laws. Deferred tax assets are recognised only to the extent that there is reasonable certainty that sufficient future taxable income will be available against which such deferred tax assets can be realised. In situations where the company has unabsorbed depreciation or carry forward tax losses, all deferred tax assets are recognised only if there is virtual certainty supported by convincing evidence that they can be realised against future taxable profits.

At each Balance Sheet date, the Company re-assesses unrecognised deferred tax assets. It recognises unrecognised deferred tax assets to the extent that it has become reasonably certain or virtually certain, as the case may be, that sufficient future taxable income will be available against which such deferred tax assets can be realised.

MAT credit is recognised as an asset only when and to the extent there is convincing evidence that the company will pay normal income tax during the specified period. In the reporting year in which the MAT credit becomes eligible to be recognised as an asset in accordance with the recommendations contained in guidance note issued by The Institute of Chartered Accountants of India, the said asset is created by way of a credit to the Statement of Profit and Loss and shown as MAT Credit Entitlement. The Company reviews the same at each Balance Sheet date and writes down the carrying amount of MAT Credit Entitlement to the extent there is no longer convincing evidence to the effect that the Company will pay normal income tax during the specified period.

1.12 Provision, Contingent Liabilities and Contingent Assets

Provisions involving substantial degree of estimation in measurement are recognised when there isa present obligation as a result of past events; it is probable that there will be an outflow of resources and a reliable estimate can be made of the amount of the obligation. Contingent Liabilities are not recognised but are disclosed in the notes. Contingent Assets are neither recognised nor disclosed in the financial statements.

1.13 Earnings per Share

The Company reports basic and diluted earnings per equity share in accordance with Accounting Standard-20, Earnings per Share notified by the Central Government under the Companies (Accounting Standards) Rules, 2006. Basic earnings per equity share have been computed by dividing net profit / (loss) after tax for the year attributable to equity shareholders by the weighted average number of equity shares outstanding during the year. Diluted earnings per equity share is computed by dividing the net profit (loss) after tax for the year by the weighted average number of equity shares considered for deriving basic earnings per equity share and also the weighted average number of equity shares that could have been issued upon conversion of all dilutive potential equity shares.

1.14 Cash Flow Statement

Cash Flows are reported using the indirect method, whereby profit before tax is adjusted for the effects of transaction of a non-cash nature, any deferrals or accruals of past or future operating cash receipts or payments and item of income and expenses associated with investing or financing cash flows. The cash flows from operating, investing and financing activities of the company are segregated.

1.15 Cash and cash equivalents

Cash and cash equivalents Cash and cash equivalents include cash on hand, cheques on hand, balance with banks on current accounts and short term highly liquid investments with an original maturity of three months or less which carry insignificant risk of changes in value.

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