Notes to Accounts of Dynamic Cables Ltd.

Mar 31, 2025

8. Provisions and contingent liabilities and
Contingent Assets

A provision is recognized if, as a result of a past event, the
Company has a present legal or constructive obligation that
can be estimated reliably, and it is probable that an outflow
of economic benefits will be required to settle the
obligation. If the effect of the time value of money is
material, provisions are determined by discounting the
expected future cash flows at a pre-tax rate that refects
current market assessments of the time value of money and
the risks specific to the liability. When discounting is used,
the increase in the provision due to the passage of time is
recognized as a finance costs.

The amount recognized as a provision is the best estimate of
the consideration required to settle the present obligation
at reporting date, taking into account the risks and
uncertainties surrounding the obligation.

When some or all of the economic benefits required to settle
a provision are expected to be recovered from a third party,
the receivable is recognized as an asset if it is virtually certain
that reimbursement will be received and the amount of the
receivable can be measured reliably. The expense relating to
a provision is presented in the statement of profit and loss
net of any reimbursement.

Contingent liabilities are possible obligations that arise from
past events and whose existence will only be confirmed by
the occurrence or non-occurrence of one or more future
events not wholly within the control of the Company. Where
it is not probable that an outflow of economic benefits will
be required, or the amount cannot be estimated reliably, the
obligation is disclosed as a contingent liability, unless the
probability of outflow of economic benefits is remote.
Contingent liabilities are disclosed on the basis of judgment
of the management/independent experts. These are
reviewed at each balance sheet date and are adjusted to
refect the current management estimate.

Contingent assets are possible assets that arise from past
events and whose existence 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.
Contingent assets are disclosed in the financial statements
when inflow of economic benefits is probable on the basis
of judgment of management. These are assessed
continually to ensure that developments are appropriately
refected in the financial statements.

9. Foreign currency transactions and translation

Transactions in foreign currencies are initially recorded
at the functional currency spot rates at the date the
transaction first qualifies for recognition.

Monetary assets and liabilities denominated in foreign
currencies are translated at the functional currency
spot rates of exchange at the reporting date. Exchange
differences arising on settlement or translation of
monetary items are recognized in profit or loss in the
year in which it arises.

Non-monetary items are measured in terms of
historical cost in a foreign currency are translated using
the exchange rate at the date of the transaction.

10. Revenue recognition

The Company derives revenues primarily from sale of
goods

Revenue is recognized on satisfaction of performance
obligation upon transfer of control of promised
products or services to customers in an amount that
reflects the consideration the Company expects to
receive in exchange for those products or services.

The Company does not expect to have any contracts
where the period between the transfer of the promised
goods or services to the customer and payment by the
customer exceeds one year. As a consequence, it does
not adjust any of the transaction prices for the time
value of money.

Revenue from EPC Contracts is recognized based on
the stage of completion with reference to the costs
incurred on contracts and their estimated total costs.
Provision for foreseeable losses/construction
contingencies on turnkey contracts is made on the
basis of technical assessments of costs to be incurred
and revenue to be accounted for.

Other income

Interest income is recognized, when no significant
uncertainty as to measurability or collectability exists,
on a time proportion basis taking into account the
amount outstanding and the applicable interest rate,
using the effective interest rate method (EIR).

When calculating the EIR, the Company estimates the
expected cash flows by considering all the contractual
terms of the financial instrument (for example,
prepayment, extension, call and similar options) but
does not consider the expected credit losses. Interest
income is included in other income in the statement of
profit and loss.

11. Employee benefits

11.1 Short-term employee benefits

Short-term employee benefit obligations are measured on
an undiscounted basis and are expensed as the related
service is provided.

A liability is recognized for the amount expected to be paid
under performance related pay if the Company has a present
legal or constructive obligation to pay this amount as a
result of past service provided by the employee and the
obligation can be estimated reliably.

11.2 Post-Employment benefits

Employee benefit that are payable after the completion of
employment are Post-Employment Benefit (other than
termination benefit). These are of two types:

11.2.1 Defined contribution plans

Defined contribution plans are those plans in which an
entity pays fixed contribution into separate entities and will
have no legal or constructive obligation to pay further
amounts. Provident Fund and Employee State Insurance are
Defined Contribution Plans in which the company pays a
fixed contribution and will have no further obligation.

11.2.2 Defined benefit plans

A defined benefit plan is a post-employment benefit plan
other than a defined contribution plan.

Company pays Gratuity as per provisions of the Gratuity Act,
1972. The Company''s net obligation in respect of defined
benefit plans is calculated separately for each plan by
estimating the amount of future benefit that employees
have earned in return for their service in the current and
prior periods; that benefit is discounted to determine its
present value. Any unrecognized past service costs and the
fair value of any plan assets are deducted. The discount rate
is based on the prevailing market yields of Indian
government securities as at the reporting date that have
maturity dates approximating the terms of the Company''s
obligations and that are denominated in the same currency
in which the benefits are expected to be paid. The
calculation is performed annually by a qualified actuary
using the projected unit credit method. When the
calculation results in a liability to the company, the present
value of liability is recognized as provision for employee
benefit. Any actuarial gains or losses are recognized in Other
Comprehensive Income ("OCI") in the period in which they
arise.

12. Income tax

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

case it is recognized in OCI or equity. Current tax is the
expected tax payable on the taxable income for the
year, using tax rates enacted or substantively enacted
and as applicable at the reporting date, and any
adjustment to tax payable in respect of previous years.
Current taxes are recognized under ''Income tax
payable'' net of payments on account, or under ''Tax
receivables'' where there is a debit balance.

Deferred tax is recognized using the balance sheet
method, providing for temporary differences between
the carrying amounts of assets and liabilities for
financial reporting purposes and the amounts used for
taxation purposes. Deferred tax is measured at the tax
rates that are expected to be applied to temporary
differences when they reverse, based on the laws that
have been enacted or substantively enacted by the
reporting date. Deferred tax assets and liabilities are
offset if there is a legally enforceable right to offset
current tax liabilities and assets, and they relate to
income taxes levied by the same tax authority on the
same taxable entity, or on different tax entities, but
they intend to settle current tax liabilities and assets on
a net basis or their tax assets and liabilities will be
realized simultaneously.

Deferred tax is recognized in the statement of profit or
loss except to the extent that it relates to items
recognized directly in OCI or equity, in which case it is
recognized in OCI or equity. A deferred tax asset is
recognized to the extent that it is probable that future
taxable profits will be available against which the
temporary difference can be utilized. Deferred tax
assets are reviewed at each reporting date and are
reduced to the extent that it is no longer probable that
the related tax benefit will be realized. Additional
income taxes that arise from the distribution of
dividends are recognized at the same time that the
liability to pay the related dividend is recognized.

13.Leases

13.1 As Lessor

Leases for which the Company is a lessor is classified as
a finance or operating lease. Whenever the terms of the
lease transfer substantially all the risks and rewards of
ownership to the lessee, the contract is classified as a
finance lease. All other leases are classified as operating
leases. For operating leases, rental income is
recognized on a straight-line basis over the term of the
relevant lease

13.2 As Lessee

The Company''s lease asset classes primarily consist of
leases for buildings. The Company assesses whether a
contract contains a lease at the inception of a contract. A
contract is, or contains, a lease if the contract conveys
the right to control the use of an identified asset for a

period of time in exchange for consideration. To assess
whether a contract conveys the right to control the use of an
identified asset, the Company assesses whether:

(i) the contract involves the use of an identified asset

(ii) the Company has substantially all of the economic benefits
from use of the asset through the period of the lease and

(iii) the Company has the right to direct the use of the asset.

At the date of commencement of the lease, the Company
recognizes a right-of-use (ROU) asset and a corresponding
lease liability for all lease arrangements in which it is a lessee,
except for leases with a term of 12 months or less (short-term
leases) and low-value leases. For these short-term and low-
value leases, the Company recognizes the lease payments as
an operating expense on a straight-line basis over the term of
the lease. Certain lease arrangements include the options to
extend or terminate the lease before the end of the lease
term. ROU assets and lease liabilities include these options
when it is reasonably certain that they will be exercised.

ROU assets are initially recognized at cost, which comprises
the initial amount of the lease liability adjusted for any lease
payments made at or prior to the commencement date of
the lease plus any initial direct costs less any lease incentives.
They are subsequently measured at cost less accumulated
depreciation and impairment losses. ROU assets are
depreciated from the commencement date on a straight¬
line basis over the shorter of the lease term and useful life of
the underlying asset. The lease liability is initially measured
at amortized cost at the present value of the future lease
payments. The lease payments are discounted using the
interest rate implicit in the lease or, if not readily
determinable, using the incremental borrowing rates.

14. Impairment of non-financial assets

The carrying amounts of the Company''s non-financial
assets are reviewed at each reporting date to determine
whether there is any indication of impairment considering
the provisions of Ind AS 36 ''Impairment of Assets''. If any
such indication exists, then the asset''s recoverable amount
is estimated.

The recoverable amount of an asset or cash-generating unit
is the higher of its fair value less costs to disposal and its
value in use. In assessing value in use, the estimated future
cash flows are discounted to their present value using a pre¬
tax discount rate that refects current market assessments
of the time value of money and the risks specific to the
asset. For the purpose of impairment testing, assets that
cannot be tested individually are grouped together into the
smallest group of assets that generates cash inflows from
continuing use that are largely independent of the cash
inflows of other assets or groups of assets (the "cash¬
generating unit", or "CGU").

An impairment loss is recognized if the carrying
amount of an asset or its CGU exceeds its estimated
recoverable amount. Impairment losses are recognized
in profit or loss. Impairment losses recognized in
respect of CGUs are reduced from the carrying
amounts of the assets of the CGU.

Impairment losses recognized in prior periods are
assessed at each reporting date for any indications that
the loss has decreased or no longer exists. An
impairment loss is reversed if there has been a change
in the estimates used to determine the recoverable
amount. An impairment loss is reversed only to the
extent that the asset''s carrying amount does not
exceed the carrying amount that would have been
determined, net of depreciation or amortization, if no
impairment loss had been recognized.

15. Dividends

Dividends and interim dividends payable to a
Company''s shareholders are recognized as changes in
equity in the period in which they are approved by the
shareholders'' meeting and the Board of Directors
respectively.

16. Earnings per share

Basic earnings per equity share is computed by dividing
the net profit or loss attributable to equity shareholders
of the Company by the weighted average number of
equity shares outstanding during the financial year.

Diluted earnings per equity share is computed by dividing
the net profit or loss attributable to equity shareholders
of the Company 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.

17. Statement of Cash Flows

Cash flow statement is prepared in accordance with the
indirect method prescribed in Ind AS 7 ''Statement of
Cash Flows'' for operating activities.

18. Financial instruments

Financial assets and financial liabilities are recognized
when the 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
("FVTPL")) 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
statement of profit and loss.

19.1 Financial assets

On initial recognition, a financial asset is recognized at fair
value. All recognized financial assets are subsequently
measured in their entirety at either amortized cost or fair
value through profit or loss (FVTPL) or fair value through
other comprehensive income (FVOCI) depending on the
classification of the financial assets.

Financial assets are not reclassified subsequent to their
recognition, except if and in the period the Company changes
its business model for managing financial assets.

Trade Receivables and Loans:

Trade receivables are initially recognized at fair value.
Subsequently, these assets are held at amortized cost, using
the effective interest rate (EIR) method net of any expected
credit losses. The EIR is the rate that discounts estimated
future cash income through the expected life of financial
instrument.

Derecognition

The Company derecognises a financial asset when the
contractual rights to the cash flows from the financial asset
expire, or it transfers the contractual rights to receive the
cash flows from the asset.

Impairment of financial assets

Expected credit losses are recognized for all financial assets
subsequent to initial recognition other than financials assets
in FVTPL category.

ECL is the weighted-average of difference between all
contractual cash flows that are due to the Company in
accordance with the contract and all the cash flows that the
Company expects to receive, discounted at the original
effective interest rate, with the respective risks of default
occurring as the weights. When estimating the cash flows, the
Company is required to consider:

a) All contractual terms of the financial assets (including
prepayment and extension) over the expected life of the
assets.

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

In respect of trade receivables, the Company applies the
simplified approach of Ind AS 109, which requires
measurement of loss allowance at an amount equal to lifetime
expected credit losses. Lifetime expected credit losses are the
expected credit losses that result from all possible default
events over the expected life of a financial instrument.

For financial assets other than trade receivables, as per
Ind AS 109, the Company recognises 12 month expected
credit losses for all originated or acquired financial assets
if at the reporting date the credit risk of the financial asset
has not increased significantly since its initial
recognition. The expected credit losses are measured as
lifetime expected credit losses if the credit risk on
financial asset increases significantly since its initial
recognition. The Company assumes that the credit risk
on a financial asset has not increased significantly since
initial recognition if the financial asset is determined to
have low credit risk at the balance sheet date.

19.2 Financial liabilities and equity instruments
Classification as equity

Equity instruments issued by the Company are classified as
either financial liabilities or as equity in accordance with
the substance of the contractual arrangements and the
definitions of a financial liability and an equity instrument.

Equity instruments

An equity instrument is any contract that evidences a
residual interest in the assets of an entity after
deducting all of its liabilities. Equity instruments issued
by the Company are recognized at the proceeds
received, net of direct issue costs.

Repurchase of the Company''s own equity instruments
is recognized and deducted directly in equity. No gain
or loss is recognized in statement of profit and loss on
the purchase, sale, issue or cancellation of the
Company''s own equity instruments.

Financial liabilities

Financial liabilities are recognized when the Company
becomes a party to the contractual provisions of the
instrument. Financial liabilities are initially measured at
the amortised cost unless at initial recognition, they are
classified as fair value through profit or loss. In case of
trade payables, they are initially recognized at fair
value and subsequently, these liabilities are held at
amortised cost, using the effective interest method. All
financial liabilities are subsequently measured at
amortized cost using the effective interest method.

Financial liabilities carried at fair value through profit
or loss are measured at fair value with all changes in fair
value recognized in the Statement of Profit and Loss.
Interest expense are included in the ''Finance costs'' line
item. The effective interest method is a method of
calculating the amortized cost of a financial liability
and of allocating interest expense over the relevant
period.

The effective interest rate is the rate that exactly
discounts estimated future cash payments (including

all fees and points paid or received that form an integral part
of the effective interest rate, transaction costs and other
premiums or discounts) through the expected life of the
financial liability, or (where appropriate) a shorter period, to
the net carrying amount on initial recognition.

Derecognition of financial liabilities

The Company derecognises financial liabilities when, and
only when, the Company''s obligations are discharged,
cancelled or have expired.

Derivative financial instruments

The Company uses forwards to mitigate the risk of changes
in interest rates, exchange rates and commodity prices. Such
derivative financial instruments are initially recognized at
fair value on the date on which a derivative contract is
entered into and are also subsequently measured at fair
value. Derivatives are carried as financial assets when the fair
value is positive and as financial liabilities when the fair value
is negative. Any gains or losses arising from changes in the
fair value of derivatives are taken directly to Statement of
Profit and Loss.

20 Segment Reporting

The main business of the Company is of manufacturing and
sales of Cables & Conductors. All other activities of the
Company revolve around the main business. There is only
one reportable segment. Hence, disclosures pursuant to Ind
AS 108 - Operating Segments are not applicable.

21 Operating Cycle

Based on the nature of products/activities of the Company
and the normal time between acquisition of assets and their
realisation in cash or cash equivalents, the Company has
determined its operating cycle as 12 months for the purpose
of classification of its assets and liabilities as current and non
current.

D) Recent accounting pronouncements

Ministry of Corporate Affairs ("MCA") notifies new
standards or amendments to the existing standards under
Companies (Indian Accounting Standards) Rules as issued
from time to time. For the year ended March 31,2025, MCA
has not notified any new standards or amendments to the
existing standards applicable to the Company.

E) Major Estimates made in preparing Financial
Statements

1. Useful life of property, plant and equipment and
intangible assets

The estimated useful life of property, plant and equipment is
based on a number of factors including the effects of
obsolescence, demand, competition and other economic
factors (such as the stability of the industry and known
technological advances) and the level of maintenance

expenditures required to obtain the expected future
cash flows from the asset.

Useful life of the assets other than Plant and machinery
are in accordance with Schedule II of the Companies
Act, 2013.

The Company reviews at the end of each reporting date
the useful life of property, plant and equipment, and
are adjusted prospectively, if appropriate. Intangible
assets are amortised over a period of estimated useful
life as determined by the management.

2. 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 and
documented. However, any changes in these
assumptions may have a material impact on the
resulting calculations.

3. Provisions and contingencies

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 of the likelihood of the contingent
events has required best judgment by management
regarding the probability of exposure to potential loss.
Should circumstances change following unforeseeable
developments, this likelihood could alter.

4. Allowance for credit losses on receivables

The Company determines the allowance for credit losses
based on historical loss experience adjusted to refect
current and estimated future economic conditions. The
Company considered current and anticipated future
economic conditions relating to industries the Company
deals with and the countries where it operates. In
calculating expected credit loss, the Company has also
considered credit reports and other related credit
information for its customers to estimate the probability of
default in future.

Note No 21.1

(A) Nature of Security

(a) All the above credit facilities are repayable on demand.

(b) Rate of interest : Cash credit (0.75 % above 1 year MCLR SP), Packing credit (Applicable ROI), Trade Credit (Tenure based
SOFR 50 BPS to 110 BPS)

Note No 21.2

All the Credit facilities from Bank of Baroda is secured through First charge by way of Hypothecation on entire current assets of
the company, both present and future and further secured by:

a) Equitable mortgage of Factory Land & Building at F-260, Road No. 13 VKIA, Jaipur, in the name of the Company.

b) Equitable mortgage of Factory Land & Building situated at H-581 (A) to H-592 (A) at Road No 06, VKIA Jaipur, in the name of
the Company.

c) Equitable mortgage of Factory Land at Plot No. SP 636 (A), Road No. 06, VKIA, Jaipur, in the name of the Company.

d) Equitable mortgage of Factory Land at Plot No. SP 636 (A-1), Road No. 06, VKIA, Jaipur, in the name of the Company.

e) Equitable mortgage of Factory Land & Building at F-259, Road No. 13 VKIA, Jaipur, in the name of the related party Indokrates
Pvt Ltd.

f) Equitable mortgage of Commercial Plot No. 59, Narayan Vihar-Q, Gopalpura By-pass, Jaipur in the name of Mr. Ashish
Mangal, Managing Director of the Company.

g) Equitable mortgage of Commercial Plot No. 58, Narayan Vihar-Q, Gopalpura By-pass, Jaipur in the name of Mr. Ashish
Mangal, Managing Director of the Company.

h) Equitable mortgage of Plot No. 102, "Manglam Industrial City" at village Jaitpura & Chomu, Tehsil Chomu, District Jaipur in
the name of the Company.

I) Equitable Mortgage of Industrial Property situated at A-128, Shri Khatu Shyam ji Industrial Area, Reengus, Dist-Jaipur in the
name of company.

j) Equitable mortgage of factory land & building situated at G-190, Akeda Doongar, Road No 18, VKI Area, Jaipur in the name of
M/s Dynamic Metal (Prop. Ashish Mangal)

k) Equitable mortgage of residential land & building situated at Plot No B-39, RIICO residential colony, Shri Khatu shyam ji
industrial area, Reengus, Distt. Sikar in the name of the Company.

l) Equitable mortgage on land at Khasra No 347, Village, Harchandpura Vas Devaliya, Tehsil Sanganer, Distt. Jaipur in name of
Mr. Ashish Mangal, Managing Director of the Company.

m) Hypothecation of plant & machinery and other misc. fixed assets at factory situated at F-259-260, Road no.13, B-308 Raod
no. 16, H581A to H-592A, Road no. 6, VKI Area Jaipur.

n) Second charge over all the fixed assets pertaining to the Reengus unit comprising :

(i) Leasehold rights of Dynamic Cables Ltd over immovable property situated at Industrial Plot No. A-129, A-129A, & A-130,
SKS Industrial Area, Reengus, Distt. Sikar, Rajasthan, both present and future.

(ii) All the moveable assets of the company including Plant & Machiner, miscellaneous fixed assets, machinery spares, tools,
accessories, furniture & fixture, equipments etc pertaining to the Reengus unit, both present and future.

(iii) Second charge or hypothecation of roof top solar system at plot no. A-129, A-129A, A-130 SKS Industrial Area, Reengus
Dist. Sikar and Plot no. H-581A-H592(A) Road no 06, VKI Area, Jaipur in the name of company.

o) Secured by personal guarantee of Mr. Ashish Mangal, Mr. Rahul Mangal Directors of the company, Mrs. Shalu Mangal (Wife
of Mr. Ashish Mangal), and Smt Saroj Mangal (Mother of Mr. Ashish Mangal and Rahul Mangal), Mrs. Meenakshi Mangal
(wife of Mr. Rahul Mangal).

Note :

The Company has adopted Ind AS 116 on "Leases" by applying it to all contracts of leases existing on January 1,2025 by using
modified retrospective approach. The Company has recognised and measured the Right-of-Use (ROU) asset and the lease liability
over the remaining lease period and payments discounted using the incremental borrowing rate as at the date of initial
application.

41. Post Employment Obligations

a) Defined Contribution Plans

The Company also has defined contribution plan for its employees'' retirement benefits comprising Provident Fund &
Employees'' State Insurance Fund. The Company and eligible employees make monthly contribution to the above mentioned
funds at a specified percentage of the covered employees salary. The obligation of the Company is limited to the amount
contributed and it has no further contractual or any constructive obligation. The expense recognised during the year towards
provident fund is Rs. 106.31 lakhs (March 31,2024 : Rs. 80.29 lakhs). The expense recognised during the period towards
Employees'' State Insurance is Rs. 43.73 lakhs (March 31,2024 : Rs. 28.04 lakhs)

b) Defined Benefit Plans:

Gratuity

The Company provides for gratuity for employees in India as per the Payment of Gratuity Act, 1972. Employees who are in
continuous service for a period of 5 years are eligible for gratuity. The amount of gratuity payable on retirement/ termination
is the employees last drawn basic salary per month computed proportionately for 15 days salary multiplied for the number
of years of service. The liability in respect of Gratuity has been determined using Projected Unit Credit Method by an
independent actuary.

The above sensitivity analysis are based on a change in an assumption while holding all other assumptions constant. In practice,
this is unlikely to occur and changes in some of the assumptions may be correlated. When calculating the sensitivity of the
defined benefit obligation to significant actuarial assumptions the same method (present value of the defined benefit obligation
calculated with the projected credit method at the end of the reporting year) has been applied as when calculating the defined
benefit liability recognized in the balance sheet.

(xi) Risk exposure

Through its defined benefit plans, the Company is exposed to a number of risks, the most significant of which are detailed
below:

Asset Volatility : The plan liabilities are calculated using a discount rate set with reference to bond yields; if plan assets
underperform this yield, this will create a deficit. Most of the plan asset investments is in fixed income securities with high
grades and in government securities. These are subject to interest rate risk and the fund manages interest rate risk with
derivatives to minimise risk to an acceptable level. A portion of the funds are invested in equity securities and in alternative
investments which have low correlation with equity securities. The equity securities are expected to earn a return in excess
of the discount rate and contribute to the plan deficit. The Company has a risk management strategy where the aggregate
amount of risk exposure on a portfolio level is maintained at a fixed range. Any deviations from the range are corrected by
rebalancing the portfolio. The Company intends to maintain the above investment mix in the continuing years.

Changes in bond yields : A decrease in bond yields will increase plan liabilities, although this will be partially offset by an
increase in the value of the plans'' bond holdings.

Inflation risks : In the pension plans, the pensions in payment are not linked to inflation, so this is a less material risk.

Life expectancy : The pension plan obligations are to provide benefits for the life of the member, so increases in life
expectancy will result in an increase in the plans'' liabilities. This is particularly significant where infationary increases result
in higher sensitivity to changes in life expectancy.

The Company ensures that the investment positions are managed within an asset-liability matching (ALM) framework that has
been developed to achieve long term investments that are in line with the obligations under the employee benefit plans.

Within this framework, the Company''s ALM objective is to match assets to the pension obligations by investing in long-term fixed
interest securities with maturities that match the benefit payments as they fall due and in the appropriate currency.

The Company actively monitors how the duration and the expected yield of the investments are matching the expected cash
outflows arising from the employee benefit obligations. The Company has not changed the processes used to manage its risks
from previous periods. The Company uses derivatives to manage some of its risk. Investments are well diversified, such that the
failure of any single investment would not have a material impact on the overall level of assets.

43. Derivatives

(I) The company has entered in to various currency future contracts to hedge its risks associated with respect to currency
fluctuation. The use of currency future contracts is governed by the company''s strategy approved by the board of directors,
which provides principles on the use of such future contracts consistent with the company risk management policy. The
company does not use future contracts for speculative purpose.

(ii) Risk associated with fluctuation in the currency is minimized by hedging on future market. The result of currency hedging
contracts, transactions are treated in profit & loss account as income or expenditure as the case may be.

(iii) Outstanding currency future contracts (USD) entered in to by the company as on 31.03.2025 is Nil (PY- Nil)

44. Corporate social responsibility expenditure

As per Section 135 of the Companies Act, 2013, a company, meeting the applicability threshold, needs to spend at least 2%
of its average net profit for the immediately preceding three financial years on corporate social responsibility (CSR)
activities.

45. Dividend

The Board of Directors have recommended a dividend of Rs. 0.50 per equity share (PY : Rs 0.50 per equity share), subject to
approval of shareholders in annual general meeting for financial year 2024-25.

46. Disclosure as per Ind AS 108 - Operating Segments

The Company is engaged in the business of manufacturing of conductors and cables which widely include manufacturing of
LV, MV and HV Power Cables, Aerial Bunched Cables, All Aluminium conductors, All Aluminium Alloy Conductor, Railway
signaling cables etc. All other activities of the Company revolve around its main business. Accordingly, Management has
identified the business as single operating segment. Accordingly, there is only one reportable segment for the company
which is ''Conductors and Cables''. Hence, as per Ind AS 108, ''Operating Segments'', no disclosures related to segments are
presented.

47. Financial Risk Management

The Company''s Financial Risk Management is an integral part of planning and execution of its business strategies. The
Company''s financial risk management is set by the Managing Board. The Company''s prinicipal financial liabilities comprise
borrowings, trade payables and other payables. The main purpose of these financial liabilities is to finance the company''s
operations. The company''s principal financial assets include trade & other receivables, cash and cash equivalents, security
deposits.

Company is exposed to following risk from the use of its financial instruments:

-Credit Risk
-Liquidity Risk
-Market Risk

(i) Credit risk management

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its
contractual obligations resulting in a financial loss to the Company. Credit risk arises principally from trade receivables, loans
& advances, cash & cash equivalents and deposits with banks and financial institutions.

Cash & Cash Equivalents & Other Financial assets:

The Company maintain its cash & cash equivalent in current account to meet the day to day requirements. Credit Risk on cash
and cash equivalent, deposits with the banks/financial institutions is generally low as the said deposits have been made with
the banks/ financial institutions who have been assigned high credit rating by international and domestic rating agencies.

The Company held cash and cash equivalents and other bank balances of Rs. 3187.39 Lakhs ( As on 31 March, 2024 : 2993.08
Lakhs).

Trade Receivables:

Customer credit risk is managed by the Company through its established policies and procedures which involve setting up
credit limits based on credit profling of individual customers, credit approvals for enhancement of limits and regular
monitoring of important developments viz. payment history, change in credit rating, regulatory changes, industry outlook
etc. Outstanding receivables are regularly monitored and an impairment analysis is performed at each reporting date on an
individual basis for each major customer. In addition, small customers are grouped into homogeneous groups and assessed
for impairment collectively.

In accordance with Ind AS 109, the Company uses expected credit loss model to assess the impairment loss or reversal thereof
and uses a provision matrix to compute the ECL allowance for trade receivables. In calculating ECL, Company also considers
credit reports and other related credit information for their customers to estimate the probability of default in future.

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial
liabilities that are settled by delivering cash or another financial asset. The Company''s approach to managing liquidity is to
ensure, as far as possible, that it will always have sufficient liquidity to meet its liabilities when due, under both normal and
stressed conditions, without incurring unacceptable losses or risking damage to the Company''s reputation.

The company manages liquidity risk by maintaining adequate cash and bank balances and access to undrawn committed
borrowing facilities.

Market risk is the risk of loss of future earnings, fair values or future cash flows that may result from a change in the price of a
financial instrument. The value of a financial instrument may change as a result of changes in the interest rates, foreign
currency exchange rates, commodity prices, equity prices and other market changes that affect market risk sensitive
instruments. Market risk is attributable to all market risk sensitive financial instruments including investments and deposits,
foreign currency receivables, payables and borrowings. The objective of market risk management is to manage and control
market risk exposures within acceptable parameters, while optimising the return.

a) Interest Rate Risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in
market interest rate. In order to optimize the Company''s position with regards to interest income and interest expenses and
to manage the interest rate risk, treasury performs a comprehensive corporate interest rate risk management by maximising
the use of fixed rate instruments.

b) Foreign Currency risk

Foreign currency risk is the risk of impact related to fair value or future cash flows of an exposure in foreign currency, which
fluctuate due to changes in foreign exchange rates. The Company is exposed to foreign currency risk on certain transactions
that are denominated in a currency (primarily with respect to USD and EURO) other than entity''s functional currency (INR),
hence exposure to exchange rate fluctuations arises. The risk is that the functional currency value of cash flows will vary as a
result of movements in exchange rates. The Company''s exposure to foreign currency risk is nominal. The Company uses
forward contracts, wherever required, to mitigate its risk from foreign currency fluctuations.

Derivative instruments and unhedged foreign currency exposure:

i) Derivative outstanding as at reporting date - Nil

ii) Particulars of unhedged foreign currency exposure as at the reporting date:

48.Capital Management

For the purpose of Company''s Capital Management, Capital includes issued equity share capital & Borrowings. The primary
objective of Company''s Capital Management is to maximize shareholder''s value and to maintain an appropriate capital
structure of debt and equity. The company manages it''s capital structure and makes adjustments in the light of changes in
economic environment and the requirements of financial covenants. The company manages it''s capital using Debt to Equity
Ratio which is Net Debt/Total Equity. Net Debt is total borrowing (Non-current and current) less cash and cash equivalent.

(b) Title deed of all the immovable properties (other than properties where the Company is the leesee of and the lease
agreements are duly executed in favour of the leesee) are held in the name of the Company except Land purchased by the
company through Sale deed executed in the name of company on 10-03-2016 situated at H-1-601 B Rd. no. 6 VKI Area,
Jaipur value Rs. 48.22 Lakhs for which lease deed has not been prepared till now.

(c) The Company has been sanctioned working capital limit in excess of Rs. 5 Crore from Bank/ Financial Institution on the basis
of security of current assets, the company has submitted the statement of stock and book debts which are in agreement
with books of accounts, except minor immaterial discrepancies.

(d) There are no investment in properties.

(e) The Company does not have any subsidiary hence clause (87) of section 2 of the Act read with the Companies (Restriction
on number of Layers) Rules, 2017 is not applicable.

^(f) The Company has not revalued its Property,Plant and Equipment during the year.

(g) The Company has not revalued its intangible assets during the year.

(h) The Company has not made Loan and advances s in the nature of loans to promoters, directors, KMPs and the related
parties.

(I) The Company does not have any Benami property, where any proceeding has been initiated or pending against the
Company for holding any Benami property.

(j) The Group is not declared a wilfull defaulter by any Bank or Financial institution or any other lender

(k) The Group has no transaction with Companies which are struck off under section 248 of the Companies Act,2013 or under
section 530 of Companies Act,1956.

(l) The Company does not have any charges or satisfaction which is yet to be registered with the Registrar of Companies (ROC)
beyond the statutory period.

(m) During the year no Scheme of Arrangement has been formulated by the Group/pending with competent authority.

(n) No funds have been advanced or loaned or invested (either from borrowed funds or share premium or any other sources or
kind of funds) by the Company to or in any other person(s) or entity(ies), including foreign entities ("Intermediaries") with
the understanding, whether recorded in writing or otherwise, that the Intermediary shall lend or invest in party identified
by or on behalf of the Company (Ultimate Beneficiaries). The Company has not received any fund from any party(s) (Funding
Party) with the understanding that the Company shall whether, directly or indirectly lend or invest in other persons or
entities identified by or on behalf of the Company ("Ultimate Beneficiaries") or provide any guarantee, security or the like
on behalf of the Ultimate Beneficiaries.

(o) The Company has not surrendered or disclosed any transactions, previously unrecorded as income in the books of account,
in the tax assessments under the Income Tax Act, 1961 as income during the year.

(p) The Company has not traded or invested in Crypto Currency or Virtual Currency during the financial year.

^(q) The Company has raised Rs.9658.79 Lakhs by way of preferential issue of equity shares at a Face Value of Rs.10 each at a
price of Rs.436 per equity share including a premium of Rs.426 per equity share in Securities Premium. An amount of Rs.
6060.07 Lakhs was utilized as per Issue objectives (including advances) till 31st March 2025, unutilized amount of Rs.
3598.71 as on 31st March 2025 have been invested in Mutual Fund.

As per our report of even date For & on behalf of Board of Directors

For M/s A Bafna & Co.

Chartered Accountants

(Firm''s Reg. No.003660C) Ashish Mangal Rahul Mangal

Managing Director Chairman

^{CA Vivek Gupta} DIN No: 00432213 DIN No: 01591411

Partner

M.No. 400543 Naina Gupta Murari Lal Poddar

Company Secretary Chief Financial Officer

M.No. A56881

Date : 13^th May 2025

Place: Jaipur

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Mar 31, 2024

Note No. 13.2 Terms/rights attached to shares

The Company has only one class of shares referred to as equity shares having a par value of Rs. 10/- each holder of equity shares is entitled to one vote per share.

Note No 13.3

During the financial year 2017-18 company has issued bonus shares to existing shareholders on 28.08.2017 in the ratio of 0.5:1 i.e. 0.5 equity shares for every one share held.

(C ) Interest on loan

Rate of interest against vehicle loan from Banks ranges from 7.50 % to 9.99% p.a. on monthly reducing method.

Note No 15.2

(A) Nature of Security

(i) First charge by way of equitable mortgage of leasehold rights of immovable property of related party Shiv Kripa Pipes Private Limited situated at Industrial Plot No. A-129, A-129A & A-130, SKS industrial Area, Reengus, Distt. Sikar, Rajasthan, both present and future.

First charge by way of equitable mortgage of sub lease rights of the borrower over the immovable property situated

⁽ⁱⁱ⁾ at Industrial Plot No. A-129, A-129A & A-130, SKS industrial Area, Reengus, Distt. Sikar, Rajasthan, both present and future.

First charge by way of hypothecation of all the movable assets of the borrower including Plant & Machinery, Misc. (HI) Fixed Assets, Machinery Spares, Tools, Accessories, Furniture & Fixture, Equipments etc. pertaining to the Reengus unit, both present and future and Solar Power Project machineries at unit III and unit IV.

(iv) First charge or hypothecation of roof top solar system at unit 3 and unit 4 in the name of the company.

(_v) Second charge by way of hypothecation of all the Current Assets of the borrower including Stock, Raw Material, Stock in Process, Finished & Semi Finished Goods, Consumables Stores & Book Debts etc, both present and future.

(vi) Second charge by way of hypothecation of all the book debts, receivables and other actionable claims due to the company, both present and future.

(vii) Personal Guarantee of Mr. Ashish Mangal and Mr. Rahul Mangal, dierctors of the company and Meenakshi Mangal (wife of Mr. Rahul Mangal)

(viii) Corporate Guarantee of related party Shiv Kripa Pipes Pvt. Ltd.

i /,u;

Note No 21.1

(a) All the above credit facilities are repayable on demand.

(b) Rate of interest : Cash credit (0.75 % above 1 year MCLR SP), Packing credit (Tenure based T-Bill linked rates),

Trade Credit (Tenure based 50 IR 80 BPS to 110 BPS)

Note No 21.2

All the Credit facilities from Bank of Baroda is secured through First charge by way of Hypothecation on entire current assets of the company, both present and future and further secured by:

(a)	Equitable mortgage of Factory Land & Building at F-260, Road No. 13 VKIA, Jaipur, in the name of the Company.	(g)	Vihar-Q, Gopalpura By-pass, Jaipur in the name of Mr. Ashish Mangal, Managing Director of the Company.
(b)	Equitable mortgage of Factory Land & Building situated at HI-581 (A) to HI-592 (A) at Road No 06, VKIA Jaipur, in the name of the Company.	(h)	Equitable mortgage of Commercial Plot No. 58, Narayan Vihar-Q, Gopalpura By-pass, Jaipur in the name of Mr. Ashish Mangal, Managing Director of the Company.
(c)	Equitable mortgage of Factory Land at Plot No. SP 636 (A), Road No. 06, VKIA, Jaipur, in the name of the Company.	(i)	Equitable mortgage of Plot No. 102, "Manglam Industrial City" at village Jaitpura & Chomu, Tehsil Chomu, District
(d)	Equitable mortgage of Factory Land at Plot No. SP 636 (A-		Jaipur in the name of the Company.
	1), Road No. 06, VKIA, Jaipur, in the name of the Company.	(j)	Equitable Mortgage of Industrial Property situated at A-128, Shri Khatu Shyam ji Industrial Area, Reengus, Dist-Jaipur in
(e)	Equitable mortgage of Factory Land & Building at F-259,		the name of company.
	Road No. 13 VKIA, Jaipur, in the name of the related party Indokrates Pvt Ltd.	(k)	Equitable mortgage of factory land & building situated at G-190, Akeda Doongar, Road No 18, VKI Area, Jaipur in
(f)	Equitable mortgage of Commercial Plot No. 59, Narayan		the name of M/s Dynamic Metal (Prop. Ashish Mangal)

(l)	Equitable mortgage of residential land & building situated at Plot No B-39, RIICO residential colony, Shri Khatu shyam ji industrial area, Reengus, Distt. Sikar in the name of the		immovable property situated at Industrial Plot No. A-129, A-129A, & A-130, SKS Industrial Area, Reengus, Distt. Sikar, Rajasthan, both present and future.
	Company.	(iii)	All the moveable assets of the company including Plant &
(m)	Equitable mortgage on land at Khasra No 347, Village, Harchandpura Vas Devaliya, Tehsil Sanganer, Distt. Jaipur in name of Mr. Ashish Mangal, Managing Director of the Company.		Machiner, miscellaneous fixed assets, machinery spares, tools, accessories, furniture & fixture, equipments etc pertaining to the Reengus unit, both present and future. Second charge or hypothecation of roof top solar system
(n)	Hypothecation of plant & machinery and other misc. fixed		at unit 3 and unit 4 in the name of the company.
	assets at factory situated at F-259-260, Road no.13, B-308 Raod no. 16, H581A to H-592A, Road no. 6, VKI Area Jaipur.	(o)	Secured by personal guarantee of Mr. Ashish Mangal, Mr. Rahul Mangal Directors of the company, Mrs. Shalu Mangal (Wife of Mr. Ashish Mangal), and Smt Saroj
(i)	Second charge over all the fixed assets pertaining to the Reengus unit comprising :		Mangal (Mother of Mr. Ashish Mangal and Rahul Mangal), Mrs. Meenakshi Mangal (wife of Mr. Rahul Mangal).
(ii) Leasehold rights of related party Shiv Kripa Pipes Private Limited and sub Lease rights of the borrower over		(p)	Corporate guarantee of related parties Indokrates Private Limited and Shiv Kripa Pipes Private Limited.

Note No 23.2

Dues to Micro and Small Enterprises (MSME) have been determined to the extent such parties have been identified on the basis of information collected by the Management.

Note No 23.3

(a) Sundry Creditor for Goods includes creditors of Rs. 6,063.65 Lakhs as at March 31, 2024, Rs. 8,134.40 Lakhs as at March 31, 2023, which is secured against Letter of Credit.

(b) Sundry Creditor for Goods includes creditors of Rs. Nil as at March 31, 2024 (Rs. 48.26 Lakhs as at March 31, 2023) which is secured against Bank Gaurantee.

39 Contingent liabilities & commitments
Particulars	As at March 31, 2024	As at March 31, 2023
Contingent Liabilities
(i) Income Tax Demands	736.99	4.07
(ii) Disputed Excise, service tax , VAT/CST/GST Demands	218.04	180.56
(iii) Bank Guarantee	12,665.43	9,433.09
(iv) Bill Discounted under LCs	2,406.25	1,570.18
(v) Collateral security of company property against borrowing by related party	500.00	500.00
	16526.71	11,687.91

The Company has adopted Ind AS 116 on "Leases" by applying it to all contracts of leases existing on April 1, 2019 by using modified retrospective approach. The Company has recognised and measured the Right-of-Use (ROU) asset and the lease liability over the remaining lease period and payments discounted using the incremental borrowing rate as at the date of initial application.

41 Post Employment Obligations

a) Defined Contribution Plans

The Company also has defined contribution plan for its employees'' retirement benefits comprising Provident Fund & Employees'' State Insurance Fund. The Company and eligible employees make monthly contribution to the above mentioned funds at a specified percentage of the covered employees salary. The obligation of the Company is limited to the amount contributed and it has no further contractual or any constructive obligation. The expense recognised during the year towards provident fund is Rs. 80.29 lakhs (March 31,2023 : Rs. 54.12 lakhs). The expense recognised during the period towards Employees'' State Insurance is Rs. 28.04 lakhs (March 31,2023 : Rs. 28.10 lakhs)

b) Defined Benefit Plans:

Gratuity

The Company provides for gratuity for employees in India as per the Payment of Gratuity Act, 1972. Employees who are in continuous service for a period of 5 years are eligible for gratuity. The amount of gratuity payable on retirement/ termination is the employees last drawn basic salary per month computed proportionately for 15 days salary multiplied for the number of years of service. The liability in respect of Gratuity has been determined using Projected Unit Credit Method by an independent actuary.

The above sensitivity analysis are based on a change in an assumption while holding all other assumptions constant. In practice, this is unlikely to occur and changes in some of the assumptions may be correlated. When calculating the sensitivity of the defined benefit obligation to significant actuarial assumptions the same method (present value of the defined benefit obligation calculated with the projected credit method at the end of the reporting year) has been applied as when calculating the defined benefit liability recognized in the balance sheet.

(xi) Risk exposure

Through its defined benefit plans, the Company is exposed to a number of risks, the most significant of which are detailed below:

Asset Volatility : The plan liabilities are calculated using a discount rate set with reference to bond yields; if plan assets underperform this yield, this will create a deficit. Most of the plan asset investments is in fixed income securities with high grades and in government securities. These are subject to interest rate risk and the fund manages interest rate risk with derivatives to minimise risk to an acceptable level. A portion of the funds are invested in equity securities and in alternative investments which have low correlation with equity securities. The equity securities are expected to earn a return in excess of the discount rate and contribute to the plan deficit. The Company has a risk management strategy where the aggregate amount of risk exposure on a portfolio level is maintained at a fixed range. Any deviations from the range are corrected by rebalancing the portfolio. The Company intends to maintain the above investment mix in the continuing years.

Changes in bond yields : A decrease in bond yields will increase plan liabilities, although this will be partially offset by an increase in the value of the plans'' bond holdings.

Inflation risks : In the pension plans, the pensions in payment are not linked to inflation, so this is a less material risk.

Life expectancy : The pension plan obligations are to provide benefits for the life of the member, so increases in life expectancy will result in an increase in the plans'' liabilities. This is particularly significant where inflationary increases result in higher sensitivity to changes in life expectancy.

The Company ensures that the investment positions are managed within an asset-liability matching (ALM) framework that has been developed to achieve long term investments that are in line with the obligations under the employee benefit plans.

Within this framework, the Company''s ALM objective is to match assets to the pension obligations by investing in long-term fixed interest securities with maturities that match the benefit payments as they fall due and in the appropriate currency.

The Company actively monitors how the duration and the expected yield of the investments are matching the expected cash outflows arising from the employee benefit obligations. The Company has not changed the processes used to manage its risks from previous periods. The Company uses derivatives to manage some of its risk. Investments are well diversified, such that the failure of any single investment would not have a material impact on the overall level of assets.

43 Derivatives

(i) (i) The company has entered in to various currency future contracts to hedge its risks associated with respect to currency fluctuation. The use of currency future contracts is governed by the company''s strategy approved by the board of directors, which provides principles on the use of such future contracts consistent with the company risk management policy. The company does not use future contracts for speculative purpose.

(ii) Risk associated with fluctuation in the currency is minimized by hedging on future market. The result of currency hedging contracts, transactions are treated in profit & loss account as income or expenditure as the case may be.

(iii) Outstanding currency future contracts (USD) entered in to by the company as on 31.03.2024 is Nil (PY- Nil)

44 Corporate social responsibility expenditure

As per Section 135 of the Companies Act, 2013, a company, meeting the applicability threshold, needs to spend at least 2% of its average net profit for the immediately preceding three financial years on corporate social responsibility (CSR) activities.

45 Dividend

The Board of Directors have recommended a dividend of Rs. 0.50 per equity share (PY : Rs 0.50 per equity share), subject to approval of shareholders in annual general meeting for financial year 2023-24.

46 Disclosure as per Ind AS 108 - Operating Segments

The Company is engaged in the business of manufacturing of conductors and cables which widely include manufacturing of LV, MV and HV Power Cables, Aerial Bunched Cables, All Aluminium conductors, All Aluminium Alloy Conductor, Railway signaling cables etc. All other activities of the Company revolve around its main business. Accordingly, Management has identified the business as single operating segment. Accordingly, there is only one reportable segment for the company which is ''Conductors and Cables''. Hence, as per Ind AS 108, ''Operating Segments'', no disclosures related to segments are presented.

47 Financial Risk Management

The Company''s Financial Risk Management is an integral part of planning and execution of its business strategies. The Company''s financial risk management is set by the Managing Board. The Company''s prinicipal financial liabilities comprise borrowings, trade payables and other payables. The main purpose of these financial liabilities is to finance the company''s operations. The company''s principal financial assets include trade & other receivables, cash and cash equivalents, security deposits.

Company is exposed to following risk from the use of its financial instruments:

-Credit Risk -Liquidity Risk -Market Risk

(i) Credit risk management

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its contractual obligations resulting in a financial loss to the Company. Credit risk arises principally from trade receivables, loans & advances, cash & cash equivalents and deposits with banks and financial institutions.

Cash & Cash Equivalents & Other Financial assets:

The Company maintain its cash & cash equivalent in current account to meet the day to day requirements. Credit Risk on cash and cash equivalent, deposits with the banks/financial institutions is generally low as the said deposits have been made with the banks/ financial institutions who have been assigned high credit rating by international and domestic rating agencies.

The Company held cash and cash equivalents and other bank balances of Rs. 2993.08 Lakhs ( As on 31 March, 2023 : 3271.51 Lakhs).

Trade Receivables:

"Customer credit risk is managed by the Company through its established policies and procedures which involve setting up credit limits based on credit profiling of individual customers, credit approvals for enhancement of limits and regular monitoring of important developments viz. payment history, change in credit rating, regulatory changes, industry outlook etc. Outstanding receivables are regularly monitored and an impairment analysis is performed at each reporting date on an individual basis for each major customer. In addition, small customers are grouped into homogeneous groups and assessed for impairment collectively.In accordance with Ind AS 109, the Company uses expected credit loss model to assess the impairment loss or reversal thereof and uses a provision matrix to compute the ECL allowance for trade receivables.

In calculating ECL, Company also considers credit reports and other related credit information for their customers to estimate the probability of default in future. "

(ii) Liquidity Risk Management

"Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial liabilities that are settled by delivering cash or another financial asset. The Company''s approach to managing liquidity is to ensure, as far as possible, that it will always have sufficient liquidity to meet its liabilities when due, under both normal and stressed conditions, without incurring unacceptable losses or risking damage to the Company''s reputation.

The company manages liquidity risk by maintaining adequate cash and bank balances and access to undrawn committed borrowing facilities."

(iii) Market Risk Management

Market risk is the risk of loss of future earnings, fair values or future cash flows that may result from a change in the price of a financial instrument. The value of a financial instrument may change as a result of changes in the interest rates, foreign currency exchange rates, commodity prices, equity prices and other market changes that affect market risk sensitive instruments. Market risk is attributable to all market risk sensitive financial instruments including investments and deposits, foreign currency receivables, payables and borrowings. The objective of market risk management is to manage and control market risk exposures within acceptable parameters, while optimising the return.

a) Interest Rate Risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rate. In order to optimize the Company''s position with regards to interest income and interest expenses and to manage the interest rate risk, treasury performs a comprehensive corporate interest rate risk management by maximising the use of fixed rate instruments.

b) Foreign Currency risk

Foreign currency risk is the risk of impact related to fair value or future cash flows of an exposure in foreign currency, which fluctuate due to changes in foreign exchange rates. The Company is exposed to foreign currency risk on certain transactions that are denominated in a currency (primarily with respect to USD and EURO) other than entity''s functional currency (INR), hence exposure to exchange rate fluctuations arises. The risk is that the functional currency value of cash flows will vary as a result of movements in exchange rates. The Company''s exposure to foreign currency risk is nominal. The Company uses forward contracts, wherever required, to mitigate its risk from foreign currency fluctuations.

Derivative instruments and unhedged foreign currency exposure:

i) Derivative outstanding as at reporting date - Nil

ii) Particulars of unhedged foreign currency exposure as at the reporting date:

48 Capital Management

For the purpose of Company''s Capital Management, Capital includes issued equity share capital & Borrowings. The primary objective of Company''s Capital Management is to maximize shareholder''s value and to maintain an appropriate capital structure of debt and equity. The company manages it''s capital structure and makes adjustments in the light of changes in economic environment and the requirements of financial covenants. The company manages it''s capital using Debt to Equity Ratio which is Net Debt/Total Equity. Net Debt is total borrowing (Non-current and current) less cash and cash equivalent.

49 Disclosure as per Ind AS 113 - Fair Value Measurements

The Company uses the following hierarchy for determining and disclosing the fair value of financial instruments by valuation technique.

Level 1- Quoted (unadjusted) prices in active markets for identical assets or liabilities

Level 2- Other techniques for which all inputs that have a significant effect on the recorded fair value are observable, either directly or indirectly.

Level 3- Techniques that use inputs that have a significant effect on the recorded fair value that are not based on observable market data.

The carrying amounts of all the financial instruments mentioned in the table below are considered to be the same as their fair values due to the short term maturities or payable/receivable on demand and are classified as Level 3 in the fair value hierarchy There have been no transfers between Level 1, Level 2 and Level 3 during the period.

50 Code on social Security

The Code on Social Security, 2020 (''code'') relating to employee benefits, during employment and post-employment, received Presidential assent on September 28, 2020. The Ministry of Labour and Employment has released draft rules for the Code on Social Security, 2020 on November 13, 2020, and has invited suggestions from stakeholders. The Company will assess the impact on its financial statements in the period in which the related rules to determine the financial impact are notified and the Code becomes effective.

51 The previous year figures have been regrouped/reclassified, wherever necessary to conform to the current presentation as per the schedule III of the Companies Act, 2013

52 Additional Regulatory Information

Additional Regulatory Information pursuant to Clause 6L of General Instructions for preparation of Balance Sheet as given in Part I of Division II of Schedule III to the Companies Act, 2013, are given hereunder to the extent relevant and other than those given elsewhere in any other notes to the Financial Statements.

(b) Title deed of all the immovable properties (other than properties where the Company is the leesee of and the lease agreements are duly executed in favour of the leesee) are held in the name of the Company except Land purchased by the company through Sale deed executed in the name of company on 10-03-2016 situated at H-1-601 B Rd. no. 6 VKI Area, Jaipur value Rs. 48,22 lakhs for which lease deed has not been prepared till now.

(c) The Company has been sanctioned working capital limit in excess of Rs. 5 crores from Bank/ Financial Institution on the basis of security of current assets, the company has submitted the statement of stock and book debts which are in agreement with books of accounts, except minor immaterial discrepancies.

(d) There are no investment in properties.

(e) The Company does not have any subsidiary hence clause (87) of section 2 of the Act read with the Companies (Restriction on number of Layers) Rules, 2017 is not applicable.

(f) The Company has not revalued its Property,Plant and Equipment during the year

(g) The Company has not revalued its intangible assets during the year.

(h) The Company has not made Loan and advances s in the nature of loans to promoters, directors, KMPs and the related parties.

(i) The Company does not have any Benami property, where any proceeding has been initiated or pending against the Company for holding any Benami property.

(j) The Group is not declared a wilfull defaulter by any Bank or Financial institution or any other lender

(k) The Group has no transaction with Companies which are struck off under section 248 of the Companies Act,2013 or under

section 530 of Companies Act,1956.

(l) The Company does not have any charges or satisfaction which is yet to be registered with the Registrar of Companies (ROC) beyond the statutory period.

(m) During the year no Scheme of Arrangement has been formulated by the Group/pending with competent authority.

(n) with the understanding, whether recorded in writing or otherwise, that the Intermediary shall lend or invest in party identified by or on behalf of the Company (Ultimate Beneficiaries). The Company has not received any fund from any

party(s) (Funding Party) with the understanding that the Company shall whether, directly or indirectly lend or invest in other persons or entities identified by or on behalf of the Company ("Ultimate Beneficiaries") or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

(o) The Company has not surrendered or disclosed any transactions, previously unrecorded as income in the books of account, in the tax assessments under the Income Tax Act, 1961 as income during the year.

(p) The Company has not traded or invested in Crypto Currency or Virtual Currency during the financial year.

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Mar 31, 2023

8. Provisions and contingent liabilities and Contingent Assets

A provision is recognized if, as a result of a past event, the Company has a present legal or constructive obligation that can be estimated reliably, and it is probable that an outflow of economic benefits will be required to settle the obligation. If the effect of the time value of money is material, provisions are determined by discounting the expected future cash flows at a pre-tax rate that reflects current market assessments of the time value of money and the risks specific to the liability. When discounting is used, the increase in the provision due to the passage of time is recognized as a finance costs.

The amount recognized as a provision is the best estimate of the consideration required to settle the present obligation at reporting date, taking into account the risks and uncertainties surrounding the obligation.

When some or all of the economic benefits required to settle a provision are expected to be recovered from a third party, the receivable is recognized as an asset if it is virtually certain that reimbursement will be received and the amount of the receivable can be measured reliably. The expense relating to a provision is presented in the statement of profit and loss net of any reimbursement.

Contingent liabilities are possible obligations that arise from past events and whose existence will only be confirmed by the occurrence or non-occurrence of one or more future events not wholly within the control of the Company. Where it is not probable that an outflow of economic benefits will be required, or the amount cannot

be estimated reliably, the obligation is disclosed as a contingent liability, unless the probability of outflow of economic benefits is remote. Contingent liabilities are disclosed on the basis of judgment of the management/ independent experts. These are reviewed at each balance sheet date and are adjusted to reflect the current management estimate.

Contingent assets are possible assets that arise from past events and whose existence 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. Contingent assets are disclosed in the financial statements when inflow of economic benefits is probable on the basis of judgment of management. These are assessed continually to ensure that developments are appropriately reflected in the financial statements.

9. Foreign currency transactions and translation

Transactions in foreign currencies are initially recorded at the functional currency spot rates at the date the transaction first qualifies for recognition.

Monetary assets and liabilities denominated in foreign currencies are translated at the functional currency spot rates of exchange at the reporting date. Exchange differences arising on settlement or translation of monetary items are recognized in profit or loss in the year in which it arises.

Non-monetary items are measured in terms of historical cost in a foreign currency are translated using the exchange rate at the date of the transaction.

10. Revenue recognition

The Company derives revenues primarily from sale of goods.

Revenue is recognized on satisfaction of performance obligation upon transfer of control of promised products or services to customers in an amount that reflects the consideration the Company expects to receive in exchange for those products or services.

The Company does not expect to have any contracts where the period between the transfer of the promised goods or services to the customer and payment by the customer exceeds one year. As a consequence, it does not adjust any of the transaction prices for the time value of money.

Other income

Interest income is recognized, when no significant uncertainty as to measurability or collectability exists, on a time proportion basis taking into account the amount outstanding and the applicable interest rate, using the effective interest rate method (EIR).

When calculating the EIR, the Company estimates the expected cash flows by considering all the contractual terms of the financial instrument (for example, prepayment, extension, call and similar options) but does not consider the expected credit losses. Interest income is included in other income in the statement of profit and loss.

11. Employee benefits

11.1Short-term employee benefits

Short-term employee benefit obligations are measured on an undiscounted basis and are expensed as the related service is provided.

A liability is recognized for the amount expected to be paid under performance related pay if the Company has a present legal or constructive obligation to pay this amount as a result of past service provided by the employee and the obligation can be estimated reliably.

11.2Post-Employment benefits

Employee benefit that are payable after the completion of employment are Post-Employment Benefit (other than termination benefit). These are of two types:

11.2.1 Defined contribution plans

Defined contribution plans are those plans in which an entity pays fixed contribution into separate entities and will have no legal or constructive obligation to pay further amounts. Provident Fund and Employee State Insurance are Defined Contribution Plans in which the company pays a fixed contribution and will have no further obligation.

11.2.2 Defined benefit plans

A defined benefit plan is a post-employment benefit plan other than a defined contribution plan.

Company pays Gratuity as per provisions of the Gratuity Act, 1972. The Company''s net obligation in respect of defined benefit plans is calculated separately for each plan by estimating the amount of future benefit that employees have earned in return for their service in the

current and prior periods; that benefit is discounted to determine its present value. Any unrecognized past service costs and the fair value of any plan assets are deducted. The discount rate is based on the prevailing market yields of Indian government securities as at the reporting date that have maturity dates approximating the terms of the Company''s obligations and that are denominated in the same currency in which the benefits are expected to be paid. The calculation is performed annually by a qualified actuary using the projected unit credit method. When the calculation results in a liability to the company, the present value of liability is recognized as provision for employee benefit. Any actuarial gains or losses are recognized in Other Comprehensive Income (“OCI”) in the period in which they arise.

12. Income tax

Tax expense comprises current tax and deferred tax. Current tax expense is recognized in the statement of profit or loss except to the extent that it relates to items recognized directly in other comprehensive income or equity, in which case it is recognized in OCI or equity. Current tax is the expected tax payable on the taxable income for the year, using tax rates enacted or substantively enacted and as applicable at the reporting date, and any adjustment to tax payable in respect of previous years. Current taxes are recognized under ''Income tax payable'' net of payments on account, or under ''Tax receivables'' where there is a debit balance.

Deferred tax is recognized using the balance sheet method, providing for temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for taxation purposes. Deferred tax is measured at the tax rates that are expected to be applied to temporary differences when they reverse, based on the laws that have been enacted or substantively enacted by the reporting date. Deferred tax assets and liabilities are offset if there is a legally enforceable right to offset current tax liabilities and assets, and they relate to income taxes levied by the same tax authority on the same taxable entity, or on different tax entities, but they intend to settle current tax liabilities and assets on a net basis or their tax assets and liabilities will be realized simultaneously.

Deferred tax is recognized in the statement of profit or loss except to the extent that it relates to items recognized directly in OCI or equity, in which case it is recognized in OCI or equity. A deferred tax asset is recognized to the extent that it is probable that future taxable profits will be

available against which the temporary difference can be utilized. Deferred tax assets are reviewed at each reporting date and are reduced to the extent that it is no longer probable that the related tax benefit will be realized. Additional income taxes that arise from the distribution of dividends are recognized at the same time that the liability to pay the related dividend is recognized.

13. Leases

13.1 As Lessor

Leases for which the Company is a lessor is classified as a finance or operating lease. Whenever the terms of the lease transfer substantially all the risks and rewards of ownership to the lessee, the contract is classified as a finance lease. All other leases are classified as operating leases. For operating leases, rental income is recognized on a straight-line basis over the term of the relevant lease

13.2 As Lessee

The Company''s lease asset classes primarily consist of leases for buildings. The Company assesses whether a contract contains a lease at the inception of a contract. A contract is, or contains, a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration. To assess whether a contract conveys the right to control the use of an identified asset, the Company assesses whether: (i) the contract involves the use of an identified asset (ii) the Company has substantially all of the economic benefits from use of the asset through the period of the lease and (iii) the Company has the right to direct the use of the asset.

At the date of commencement of the lease, the Company recognizes a right-of-use (ROU) asset and a corresponding lease liability for all lease arrangements in which it is a lessee, except for leases with a term of 12 months or less (short-term leases) and low-value leases. For these short-term and low-value leases, the Company recognizes the lease payments as an operating expense on a straight-line basis over the term of the lease. Certain lease arrangements include the options to extend or terminate the lease before the end of the lease term. ROU assets and lease liabilities include these options when it is reasonably certain that they will be exercised.

ROU assets are initially recognized at cost, which comprises the initial amount of the lease liability adjusted for any lease payments made at or prior to the commencement date of the lease plus any initial direct

costs less any lease incentives. They are subsequently measured at cost less accumulated depreciation and impairment losses. ROU assets are depreciated from the commencement date on a straight-line basis over the shorter of the lease term and useful life of the underlying asset. The lease liability is initially measured at amortized cost at the present value of the future lease payments. The lease payments are discounted using the interest rate implicit in the lease or, if not readily determinable, using the incremental borrowing rates

14. Impairment of non-financial assets

The carrying amounts of the Company''s non-financial assets are reviewed at each reporting date to determine whether there is any indication of impairment considering the provisions of Ind AS 36 ''Impairment of Assets''. If any such indication exists, then the asset''s recoverable amount is estimated.

The recoverable amount of an asset or cash-generating unit is the higher of its fair value less costs to disposal and its value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. For the purpose of impairment testing, assets that cannot be tested individually are grouped together into the smallest group of assets that generates cash inflows from continuing use that are largely independent of the cash inflows of other assets or groups of assets (the “cash-generating unit”, or “CGU”).

An impairment loss is recognized if the carrying amount of an asset or its CGU exceeds its estimated recoverable amount. Impairment losses are recognized in profit or loss. Impairment losses recognized in respect of CGUs are reduced from the carrying amounts of the assets of the CGU.

Impairment losses recognized in prior periods are assessed at each reporting date for any indications that the loss has decreased or no longer exists. An impairment loss is reversed if there has been a change in the estimates used to determine the recoverable amount. An impairment loss is reversed only to the extent that the asset''s carrying amount does not exceed the carrying amount that would have been determined, net of depreciation or amortization, if no impairment loss had been recognized.

15. Dividends

Dividends and interim dividends payable to a Company''s shareholders are recognized as changes in equity in the period in which they are approved by the shareholders'' meeting and the Board of Directors respectively.

16. Earnings per share

Basic earnings per equity share is computed by dividing the net profit or loss attributable to equity shareholders of the Company by the weighted average number of equity shares outstanding during the financial year.

Diluted earnings per equity share is computed by dividing the net profit or loss attributable to equity shareholders of the Company 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.

17. Statement of Cash Flows

Cash flow statement is prepared in accordance with the indirect method prescribed in Ind AS 7 ''Statement of Cash Flows'' for operating activities.

18. Financial instruments

Financial assets and financial liabilities are recognized when the 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 (“FVTPL”)) 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 statement of profit and loss.

19.1 Financial assets

On initial recognition, a financial asset is recognized at fair value. All recognized financial assets are subsequently measured in their entirety at either amortized cost or fair value through profit or loss (FVTPL) or fair value through other comprehensive income (FVOCI) depending on the classification of the financial assets.

Financial assets are not reclassified subsequent to their recognition, except if and in the period the Company changes its business model for managing financial assets.

Trade Receivables and Loans:

Trade receivables are initially recognized at fair value. Subsequently, these assets are held at amortized cost, using the effective interest rate (EIR) method net of any expected credit losses. The EIR is the rate that discounts estimated future cash income through the expected life of financial instrument.

Derecognition

The Company derecognises a financial asset when the contractual rights to the cash flows from the financial asset expire, or it transfers the contractual rights to receive the cash flows from the asset.

Impairment of financial assets

Expected credit losses are recognized for all financial assets subsequent to initial recognition other than financials assets in FVTPL category.

ECL is the weighted-average of difference between all contractual cash flows that are due to the Company in accordance with the contract and all the cash flows that the Company expects to receive, discounted at the original effective interest rate, with the respective risks of default occurring as the weights. When estimating the cash flows, the Company is required to consider:

a) All contractual terms of the financial assets (including prepayment and extension) over the expected life of the assets.

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

In respect of trade receivables, the Company applies the simplified approach of Ind AS 109, which requires measurement of loss allowance at an amount equal to lifetime expected credit losses. Lifetime expected credit losses are the expected credit losses that result from all possible default events over the expected life of a financial instrument.

For financial assets other than trade receivables, as per Ind AS 109, the Company recognises 12 month expected credit losses for all originated or acquired financial assets if at the reporting date the credit risk of

the financial asset has not increased significantly since its initial recognition. The expected credit losses are measured as lifetime expected credit losses if the credit risk on financial asset increases significantly since its initial recognition. The Company assumes that the credit risk on a financial asset has not increased significantly since initial recognition if the financial asset is determined to have low credit risk at the balance sheet date.

19.2 Financial liabilities and equity instruments

Classification as equity

Equity instruments issued by the Company are classified as either financial liabilities or as equity in accordance with the substance of the contractual arrangements and the definitions of a financial liability and an equity instrument.

Equity instruments

An equity instrument is any contract that evidences a residual interest in the assets of an entity after deducting all of its liabilities. Equity instruments issued by the Company are recognized at the proceeds received, net of direct issue costs.

Repurchase of the Company''s own equity instruments is recognized and deducted directly in equity. No gain or loss is recognized in statement of profit and loss on the purchase, sale, issue or cancellation of the Company''s own equity instruments.

Financial liabilities

Financial liabilities are recognized when the Company becomes a party to the contractual provisions of the instrument. Financial liabilities are initially measured at the amortised cost unless at initial recognition, they are classified as fair value through profit or loss. In case of trade payables, they are initially recognized at fair value and subsequently, these liabilities are held at amortised cost, using the effective interest method. All financial liabilities are subsequently measured at amortized cost using the effective interest method.

Financial liabilities carried at fair value through profit or loss are measured at fair value with all changes in fair value recognized in the Statement of Profit and Loss. Interest expense are included in the ''Finance costs'' line item. The effective interest method is a method of calculating the amortized cost of a financial liability and of allocating interest expense over the relevant period.

The effective interest rate is the rate that exactly discounts estimated future cash payments (including all fees and points paid or received that form an integral part of the effective interest rate, transaction costs and other premiums or discounts) through the expected life of the financial liability, or (where appropriate) a shorter period, to the net carrying amount on initial recognition.

Derecognition of financial liabilities

The Company derecognises financial liabilities when, and only when, the Company''s obligations are discharged, cancelled or have expired.

Derivative financial instruments

The Company uses forwards to mitigate the risk of changes in interest rates, exchange rates and commodity prices. Such derivative financial instruments are initially recognized at fair value on the date on which a derivative contract is entered into and are also subsequently measured at fair value. Derivatives are carried as financial assets when the fair value is positive and as financial liabilities when the fair value is negative. Any gains or losses arising from changes in the fair value of derivatives are taken directly to Statement of Profit and Loss.

20 Segment Reporting

The main business of the Company is of manufacturing and sales of Cables & Conductors. All other activities of the Company revolve around the main business. There is only one reportable segment. Hence, disclosures pursuant to Ind AS 108 - Operating Segments are not applicable.

21 Operating Cycle

Based on the nature of products/activities of the Company and the normal time between acquisition of assets and their realisation in cash or cash equivalents, the Company has determined its operating cycle as 12 months for the purpose of classification of its assets and liabilities as current and non current.

D) Major Estimates made in preparing Financial Statements

1. Useful life of property, plant and equipment and intangible assets

The estimated useful life of property, plant and equipment is based on a number of factors including the effects of obsolescence, demand, competition and

other economic factors (such as the stability of the industry and known technological advances) and the level of maintenance expenditures required to obtain the expected future cash flows from the asset.

Useful life of the assets other than Plant and machinery are in accordance with Schedule II of the Companies Act, 2013.

The Company reviews at the end of each reporting date the useful life of property, plant and equipment, and are adjusted prospectively, if appropriate. Intangible assets are amortised over a period of estimated useful life as determined by the management.

2. 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 and documented. However, any changes in these assumptions may have a material impact on the resulting calculations.

3. Provisions and contingencies

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 of the likelihood of the contingent events has required best judgment by management regarding the probability of exposure to potential loss. Should circumstances change following unforeseeable developments, this likelihood could alter.

4. Allowance for credit losses on receivables

The Company determines the allowance for credit losses based on historical loss experience adjusted to reflect current and estimated future economic conditions. The Company considered current and anticipated future economic conditions relating to industries the Company deals with and the countries where it operates. In calculating expected credit loss, the Company has also considered credit reports and other related credit information for its customers to estimate the probability of default in future.

Note No 15.2

(A) Nature of Security

(i) First charge by way of equitable mortgage of leasehold rights of immovable property of related party Shiv Kripa Pipes Private Limited situated at Industrial Plot No. A-129, A-129A & A-130, SKS industrial Area, Reengus, Distt. Sikar, Rajasthan, both present and future.

(ii) First charge by way of equitable mortgage of sub lease rights of the borrower over the immovable property situated at Industrial Plot No. A-129, A-129A & A-130, SKS industrial Area, Reengus, Distt. Sikar, Rajasthan, both present and future.

(iii) First charge by way of hypothecation of all the movable assets of the borrower including Plant & Machinery, Misc. Fixed Assets, Machinery Spares, Tools, Accessories, Furniture & Fixture, Equipments etc. pertaining to the Reengus unit, both present and future and Solar Power Project machineries at unit III and unit IV.

(iv) First charge or hypothecation of roof top solar system at unit 3 and unit 4 in the name of the company.

(v) Second charge by way of hypothecation of all the Current Assets of the borrower including Stock, Raw Material, Stock in Process, Finished & Semi Finished Goods, Consumables Stores & Book Debts etc, both present and future.

(vi) Second charge by way of hypothecation of all the book debts, receivables and other actionable claims due to the company, both present and future.

(vii) Personal Guarantee of Mr. Ashish Mangal and Mr. Rahul Mangal, dierctors of the company and Meenakshi Mangal (wife of Mr. Rahul Mangal)

(viii) Corporate Guarantee of related party Shiv Kripa Pipes Pvt. Ltd.

(xi) Risk exposure

Through its defined benefit plans, the Company is exposed to a number of risks, the most significant of which are detailed below:

Asset Volatility : The plan liabilities are calculated using a discount rate set with reference to bond yields; if plan assets underperform this yield, this will create a deficit. Most of the plan asset investments is in fixed income securities with high grades and in government securities. These are subject to interest rate risk and the fund manages interest rate risk with derivatives to minimise risk to an acceptable level. A portion of the funds are invested in equity securities and in alternative investments which have low correlation with equity securities. The equity securities are expected to earn a return in excess of the discount rate and contribute to the plan deficit. The Company has a risk management strategy where the aggregate amount of risk exposure on a portfolio level is maintained at a fixed range. Any deviations from the range are corrected by rebalancing the portfolio. The Company intends to maintain the above investment mix in the continuing years.

Changes in bond yields : A decrease in bond yields will increase plan liabilities, although this will be partially offset by an increase in the value of the plans'' bond holdings.

Inflation risks : In the pension plans, the pensions in payment are not linked to inflation, so this is a less material risk.

Life expectancy : The pension plan obligations are to provide benefits for the life of the member, so increases in life expectancy will result in an increase in the plans'' liabilities. This is particularly significant where inflationary increases result in higher sensitivity to changes in life expectancy.

The Company ensures that the investment positions are managed within an asset-liability matching (ALM) framework that has been developed to achieve long term investments that are in line with the obligations under the employee benefit plans.

Within this framework, the Company''s ALM objective is to match assets to the pension obligations by investing in longterm fixed interest securities with maturities that match the benefit payments as they fall due and in the appropriate currency.

44 Dividend

The Board of Directors have recommended a dividend of Rs. 0.50 per equity share (PY : Rs 0.50 per equity share), subject to approval of shareholders in annual general meeting for financial year 2022-23.

45 Disclosure as per Ind AS 108 - Operating Segments

The Company is engaged in the business of manufacturing of conductors and cables which widely include manufacturing of LV, MV and HV Power Cables, Aerial Bunched Cables, All Aluminium conductors, All Aluminium Alloy Conductor, Railway signaling cables etc. All other activities of the Company revolve around its main business. Accordingly, Management has identified the business as single operating segment. Accordingly, there is only one reportable segment for the company which is ''Conductors and Cables''. Hence, as per Ind AS 108, ''Operating Segments'', no disclosures related to segments are presented.

46 Financial Risk Management

The Company''s Financial Risk Management is an integral part of planning and execution of its business strategies. The Company''s financial risk management is set by the Managing Board. The Company''s prinicipal financial liabilities comprise borrowings, trade payables and other payables. The main purpose of these financial liabilities is to finance the company''s operations. The company''s principal financial assets include trade & other receivables, cash and cash equivalents, security deposits.

Company is exposed to following risk from the use of its financial instruments:

-Credit Risk -Liquidity Risk -Market Risk

(i) Credit risk management

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its contractual obligations resulting in a financial loss to the Company. Credit risk arises principally from trade receivables, loans & advances, cash & cash equivalents and deposits with banks and financial institutions.

Cash & Cash Equivalents & Other Financial assets:

The Company maintain its cash & cash equivalent in current account to meet the day to day requirements. Credit Risk on cash and cash equivalent, deposits with the banks/financial institutions is generally low as the said deposits have been made with the banks/ financial institutions who have been assigned high credit rating by international and domestic rating agencies.

The Company held cash and cash equivalents and other bank balances of Rs. 3271.51 Lakhs ( As on 31 March, 2022 : 2673.74 Lakhs).

Trade Receivables:

Customer credit risk is managed by the Company through its established policies and procedures which involve setting up credit limits based on credit profiling of individual customers, credit approvals for enhancement of limits and regular monitoring of important developments viz. payment history, change in credit rating, regulatory changes, industry outlook etc. Outstanding receivables are regularly monitored and an impairment analysis is performed at each reporting date on an individual basis for each major customer. In addition, small customers are grouped into homogeneous groups and assessed for impairment collectively.In accordance with Ind AS 109, the Company uses expected credit loss model to assess the impairment loss or reversal thereof and uses a provision matrix to compute the ECL allowance for trade receivables. In calculating ECL, Company also considers credit reports and other related credit information for their customers to estimate the probability of default in future.

(i) The Company does not have any Benami property, where any proceeding has been initiated or pending against the Company for holding any Benami property.

(j) The Group is not declared a wilfull defaulter by any Bank or Financial institution or any other lender

(k) The Group has no transaction with Companies which are struck off under section 248 of the Companies Act,2013 or under section 530 of Companies Act,1956.

(l) The Company does not have any charges or satisfaction which is yet to be registered with the Registrar of Companies (ROC) beyond the statutory period.

(m) During the year no Scheme of Arrangement has been formulated by the Group/pending with competent authority.

(n) No funds have been advanced or loaned or invested (either from borrowed funds or share premium or any other sources or kind of funds) by the Company to or in any other person(s) or entity(ies), including foreign entities (“Intermediaries”) with the understanding, whether recorded in writing or otherwise, that the Intermediary shall lend or invest in party identified by or on behalf of the Company (Ultimate Beneficiaries). The Company has not received any fund from any party(s) (Funding Party) with the understanding that the Company shall whether, directly or indirectly lend or invest in other persons or entities identified by or on behalf of the Company (“Ultimate Beneficiaries”) or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

(o) The Company has not surrendered or disclosed any transactions, previously unrecorded as income in the books of account, in the tax assessments under the Income Tax Act, 1961 as income during the year.

(p) The Company has not traded or invested in Crypto Currency or Virtual Currency during the financial year.

As per our report of even date For & on behalf of Board of Directors

For M/s Madhukar Garg & Co.

Chartered Accountants

(Firm''s Reg. No.000866C)

Amit Gattani Ashish Mangal Rahul Mangal

Partner Managing Director Chairman

M.No. 076101 DIN No 00432213 DIN No 01591411

Date : 23rd May, 2023 Naina Gupta Murari Lal Poddar

Place: Jaipur Company Secretary Chief Financial Officer

---

Mar 31, 2018

Note No. 1. Terms/rights attached to shares

The Company has only one class of shares referred to as equity shares having a par value of Rs. 10/- each holder of equity shares is entitled to one vote per share.

Note No 2

During the year company has issued bonus shares to existing shareholders on 28.08.2017 in the ratio of 0.5:1 i.e. 0.5 equity shares for every one share held.

Note No. 3.

During the year Company has fresh issued 58,44,000/- equity shares of Face value Rs 10/- each at premium of Rs 30/- per share on 12.12.2017 through Initial Public Offer and got listed on BSE SME Exchange on 14.12.2017

Note No 4.

During the year company has created provision for Gratuity upto 31.03.2017 for Rs. 53,72,147/- as per acturial valuation and adjusted the same from receives and surplus. Accordingly deferred tax created on the Gratuity provision of Rs. 18,69,769.82 has been also adjusted with reserves & surplus.

Note No 5.

During the year company has incurred share issue expenses on account of Initial Public Offer and company has adjusted the same with share premium account.

Note No 6.

(A) Nature of Security

Vehicle Loan from Banks have been secured by hypothecation of the vehicle financed.

(B) Terms of Repayment of Loan

Vehicle Loan against two vehicles from Bank of Baroda is repayable in 34 & 35 installments respectively starting from February, 2016 and June, 2015 respectively. Vehicle loan from Axis Bank is repayable in 60 installments starting from April, 2016.

(C ) Interest on loan

(i) Rate of interest against vehicle loan from Bank of Baroda is 9.40% p.a.

(ii) Rate of interest against vehicle loan from Axis Bank is 9.65% on monthly reducing method.

Note No 7.

(A) Nature of Security

(i) First charge by way of equitable mortgage of leasehold rights of immovable property of M/s Shiv Kripa Pipes Private Limited situated at Industrial Plot No. A-129, A-129A & A-130, SKS industrial Area, Reengus, Distt. Sikar, Rajasthan, both present and future.

(ii) First charge by way of equitable mortgage of sub lease rights of the borrower over the immovable property situated at Industrial Plot No. A-129, A-129A & A-130, SKS industrial Area, Reengus, Distt. Sikar, Rajasthan, both present and future.

(iii) First charge by way of hypothecation of all the movable assets of the borrower including Plant & Machinery, Misc. Fixed Assets, Machinery Spares, Tools, Accessories, Furniture & Fixture, Equipments etc. pertaining to the Reengus Project, both present and future.

(iv) Second charge by way of hypothecation of all the Current Assets of the borrower including Stock, Raw Material, Stock in Process, Finished & Semi Finished Goods, Consumables Stores & Book Debts etc, both present and future.

(v) Second charge by way of hypothecation of all the book debts, receivables and other actionable claims due to the company, both present and future.

(vi) Personal Guarantee of Directors.

(vii) Corporate Guarantee of M/s Shiv Kripa Pipes Pvt. Ltd.

(B) Terms of Repayment of Loan

Loan in INR (Outstanding as on 31.03.2018 of Rs. 130.76 Lakhs) and Loan in Foreign Currency (Outstanding as on 31.03.2018 of Rs. 1794.72 Lakhs) is repayable in 66 & 78 equated monthly installments respectively, starting from 10th September, 2018 and 10th August, 2018 respectively.

(C ) Interest on Loan

Interest on loan in INR ranges from 9.35% to 9.70% p.a. & interest on loan in foreign currency is 1.67% LIBOR plus 3.80% spread.

Note No 8.

(A) Nature of Security

First and exclusive charge by way of Equitable Mortgage of immovable property located at Plot No. B-308, VKIA, Jaipur, both present and future.

(B) Terms of Repayment of Loan

Loan is repayable in 60 monthly equal installments starting from March, 2014

(C ) Interest on loan

Interest on loan during the year ranges from 11 % to 13% p.a.

Note No 9.

(A) Nature of Security

Loan is secured by mortgage against property of Dynamic Metals, proprietorship firm of Sh. Ashish Mangal Managing Director of the Company.

(B) Terms of Repayment of Loan

Loan is repayable in 24 monthly equal installments starting from June, 2016

(C ) Interest on loan

Interest on loan during the year ranges from 10.5 % to 11% p.a.

Note No 10.

Loan from related parties and other body corporates carries interest rate of 12% p.a.

Note No 11.

Secured through First charge by way of Hypothecation on entire current assets of the company, both present and future.

Note No 12.

All the Credit facilities from Bank of Baroda, other than BDLC, is secured by :

a) Hypothecation of Plant & Machinery, Vehicles, Other Miscellaneous Fixed Assets, Stocks and Book Debts and other current assets of the Company situated at Unit I, II, III of the company.

b) Factory Land & Building situated at H-581 (A) to H-592 (A) at Road No 06, VKIA Jaipur, in the name of the Company.

c) Factory Land & Building at F-260, Road No. 13 VKIA, Jaipur, in the name of the Company.

d) Factory Land at Plot No. SP 636 (A), Road No. 06, VKIA, Jaipur, in the name of the Company.

e) Factory Land at Plot No. SP 636 (A-1), Road No. 06, VKIA, Jaipur, in the name of the Company.

f) Factory Land & Building at F-259, Road No. 13 VKIA, Jaipur, in the name of the M/S Indokrates Pvt Ltd.

g) Commercial Plot No. 59, Narayan Vihar-Q, Gopalpura By-pass, Jaipur in the name of Mr. Ashish Mangal, Managing Director of the Company.

h) Commercial Plot No. 58, Narayan Vihar-Q, Gopalpura By-pass, Jaipur in the name of Mr. Ashish Mangal, Managing Director of the Company.

i) Equitable mortgage of Plot No. 102, "Manglam Industrial City" at village Jaitpura & Chomu, Tehsil Chomu, District Jaipur in the name of the Company. j) Equitable Mortgage of Residential house at A-30, Subhash Nagar, Jaipur in the name of Mrs. Saroj Mangal.

k) Second charge over all the fixed assets pertaining to the Reengus Project comprising :

(i) Leasehold rights of M/S Shiv Kripa Pipes Private Limited and sub Lease rights of the borrower over immovable property situated at Industrial Plot No. A-129, A-129A, & A-130, SKS Industrial Area, Reengus, Distt. Sikar, Rajasthan, both present and future.

(ii) All the moveable assets of the company including Plant & Machiner, miscellaneous fixed assets, machinery spares, tools, accessories, furniture & fixture, equipments etc pertaining to the Reengus Project, both present and future.

Note No. 13.

The Company has not received the required information from suppliers regarding their status under the Micro, Small and Medium Enterprises Development Act, 2006. Hence disclosures, if any, relating to amounts unpaid as at the year end together with interest paid/payable as required under the said Act have not been made.

Note No. 14.

Sundry Creditor for Goods includes creditors of NSIC of Rs. NIL for FY 2017-18 & Rs. 1,43,62,712/- for FY 2016-17 which is secured against Bank Guarantee for Raw Material. In FY 2017-18, there is debit balance of Sundry Creditor NSIC of Rs. 2,46,64,833.94 grouped under Note No 17 Short Term Loans and Advances.

Note No 15.

Fixed deposit amounting to Rs. 17,53,83,390/- (Previous year Rs. 12,26,89,160/-) are under lien with bank as margin money against Bank Guarantees/Letter of credit.

Note :

1) During the year company has started its commercial Production at its new plant located at Reengus from 05.03.2018 and all the capital work in progress has been capitalized on this date only.

2) Refer Note No 3 & 7 for details of Property/Assets mortgaged/hypothecated.

16. EMPLOYEE BENEFITS

The Company''s defined benefit plan includes Gratuity. The liability in respect of Gratuity has been determined using Projected Unit Credit Method by an independent actuary.

17. DERIVATIVES

(i) The company has entered in to various currency future contracts to hedge its risks associated with respect to currency fluctuation. The use of currency future contracts is governed by the company’s strategy approved by the board of directors, which provides principles on the use of such future contracts consistent with the company risk management policy. The company does not use future contracts for speculative purpose.

(ii) At the end of the year all outstanding derivative contracts are fair valued on a market to market basis and resulted profit & loss has been adjusted in the profit & loss account.

(iii) Risk associated with fluctuation in the currency is minimized by hedging on future market. The result of currency hedging contracts, transactions are treated in profit & loss account as income or expenditure as the case may be.

(iv) Outstanding currency future contracts (USD) entered in to by the company as on 31.03.2018 is Nil (PY- Nil)

18. Balances of Trade Receivables, Trade Payables and Loans and Advances are subject to confirmation and consequential adjustment, if any.

19. In the opinion of the Board, Current Assets, Loans and Advances have value in the ordinary course of business at least equal to the amount at which they are stated.

20. The previous year figures have been regrouped/reclassified, wherever necessary to confirm to the current presentation as per the schedule III of the Companies Act, 2013

21. CORPORATE SOCIAL RESPONSIBILITY EXPENDITURE

(a) Gross amount required to be spent by the company during the year : 2 % of Rs. 863.87 Lakhs (Average Net Profits of the Company for three immediate Preceding financial years) i.e. Rs 17.27 Lakhs.

(b) Amount spent during the year on :

(i) Construction/acquisition of any asset Rs. 2.63 Lakhs

(ii) On purpose other than (i) above Rs. 2.75 Lakhs

22. The Board of Directors have recommended a dividend of Rs. 0.25 per equity share, subject to approval of shareholders in annual general meeting.

23. Pursuant to the AS-29 Provisions, Contingent liabilities and contingent assets, the disclosure relating to provisions made in accounts for the year ended 31st March, 2018.