Notes to Accounts of HMA Agro Industries Ltd.

Mar 31, 2025

2.11 Provisions and Contingent Liabilities
Provisions:

Provisions are recognised when there is a present
obligation as a result of a past event, it is probable that an
outflow of resources embodying economic benefits will
be required to settle the obligation and there is a reliable
estimate of the amount of the obligation. Provisions
are measured at the best estimate of the expenditure
required to settle the present obligation at the Balance
sheet date.

If the effect of the time value of money is material,
provisions are discounted using a current pre-tax rate
that reflects, when appropriate, the risks specific to the
liability. When discounting is used, the increase in the
provision due to the passage of time is recognised as a
finance cost.

Contingent Liabilities:

Contingent liabilities are disclosed when there is a
possible obligation arising from past events, the existence
of which will be confirmed only by the occurrence or non¬
occurrence of one or more uncertain future events not
wholly within the control of the company or a present
obligation that arises from past events where it is either
not probable that an outflow of resources will be required
to settle or a reliable estimate of the amount cannot be
made. The company does not recognise a contingent
liability but discloses its existence in the financial
statements.

2.12 Financial Instruments

A financial instrument is any contract that gives rise to
a financial asset of one entity and a financial liability or
equity instrument of another entity.

a. Non-Derivative Financial Assets

Initial recognition and measurement

Financial assets are classified, at initial recognition,
as subsequently measured at amortised cost, fair
value through other comprehensive income (OCI),
and fair value through profit or loss.

The classification of financial assets at initial
recognition depends on the financial asset''s
contractual cash flow characteristics and the
company’s business model for managing them.
With the exception of trade receivables that do
not contain a significant financing component, the
company initially measures a financial asset at its
fair value plus, in the case of a financial asset not at
fair value through profit or loss, transaction costs
that are attributable to the acquisition of financial
asset. Trade receivables that do not contain a
significant financing component are measured at
the transaction price determined under Ind AS 115.
Refer to the accounting policies in section 2.05 for
Revenue from contracts with customers.

In order for a financial asset to be classified and
measured at amortised cost or fair value through
OCI, it needs to give rise to cash flows that are ''solely
payments of principal and interest (SPPI)'' on the
principal amount outstanding. This assessment is
referred to as the SPPI test and is performed at an
instrument level. Financial assets with cash flows
that are not SPPI are classified and measured at
fair value through profit or loss, irrespective of the
business model.

The company’s business model for managing
financial assets refers to how it manages its financial
assets in order to generate cash flows. The business
model determines whether cash flows will result
from collecting contractual cash flows, selling the
financial assets, or both. Financial assets classified
and measured at amortised cost are held within a
business model with the objective to hold financial
assets in order to collect contractual cash flows while
financial assets classified and measured at fair value
through OCI are held within a business model with
the objective of both holding to collect contractual
cash flows and selling.

Purchases or sales of financial assets that require

delivery of assets within a time frame established by
regulation or convention in the market place (regular
way trades) are recognised on the trade date, i.e., the
date that the company commits to purchase or sell the
asset.

Subsequent measurement

For purposes of subsequent measurement, financial
assets are classified in following categories:

? Financial assets at amortised cost

? Financial assets at fair value through profit or
loss

? Financial assets at fair value through other
comprehensive income (FVTOCI) with recycling
of cumulative gains and losses

? Financial assets designated at fair value through
OCI with recycling of cumulative gains and
losses upon derecognition

A ''financial asset'' is measured at amortised cost if
both the following conditions are met:

a) The asset is held within a business model
whose objective is to hold assets for collecting
contractual cash flows, and

b) Contractual terms of the asset give rise on
specified dates to cash flows that are solely
payments of principal and interest (SPPI) on the
principal amount outstanding.

After initial measurement, such financial assets are
subsequently measured at amortised cost using the
effective interest rate (EIR) method. Amortised cost
is calculated by taking into account any discount or
premium on acquisition and fees or costs that are
an integral part of the EIR. The EIR amortisation is
included in finance income in the profit or loss. The
losses arising from impairment are recognised in
the profit or loss. The company''s financial assets at
amortised cost includes loans and other financial
assets.

A ''financial asset’ is measured at FVOCI if both the
following conditions are met:

a) The objective of the business model is achieved
both by collecting contractual cash flows and
selling the financial assets, and

b) The asset''s contractual cash flows represent
SPPI.

Upon initial recognition, the company can elect
to classify irrevocably its equity investments as
equity instruments designated at fair value through
OCI when they meet the definition of equity under
Ind AS 32 Financial Instruments: Presentation
and are not held for trading. The classification is
determined on an instrument-by-instrument basis.
Equity instruments which are held for trading and
contingent consideration recognised by an acquirer
in a business combination to which Ind AS103
applies are classified as at FVTPL.

Gains and losses on these financial assets are never
recycled to profit or loss. Dividends are recognised
as other income in the statement of profit and loss
when the right of payment has been established,
except when the Group benefits from such proceeds
as a recovery of part of the cost of the financial asset,
in which case, such gains are recorded in OCI. Equity
instruments designated at fair value through OCI are
not subject to impairment assessment.

Financial assets at fair value through profit or loss
are carried in the balance sheet at fair value with net
changes in fair value recognised in the statement of
profit and loss.

Derecognition

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

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

- The company has transferred its rights to
receive cash flows from the asset and either
(a) the company has transferred substantially
all the risks and rewards of the asset, or (b)
the company has neither transferred nor
retained substantially all the risks and rewards
of the asset, but has transferred control of the
asset."

Impairment of financial assets

"A financial asset is assessed at each reporting date
to determine whether there is any objective evidence
that it is impaired. A financial asset is considered to
be impaired, if objective evidence indicates that one

or more events have had a negative effect on the
estimated future cash flows of that asset.

For trade receivables, the company applies a
simplified approach in calculating ECLs. Therefore,
the company does not track changes in credit risk,
but instead recognises a loss allowance based on
lifetime ECLs at each reporting date. The company
has established a provision matrix that is based on
its historical credit loss experience, adjusted for
forward-looking factors specific to the debtors and
the economic environment."

b. Non-Derivative Financial Liabilities

Initial recognition and measurement

All financial liabilities are recognised initially at fair
value and, in the case of loans and borrowings and
payables, net of directly attributable transaction
costs

Subsequent measurement

For purposes of subsequent measurement, financial
liabilities are classified in two categories:

? Financial liabilities at fair value through profit
or loss

? Financial liabilities at amortised cost (loans and
borrowings)

Derecognition

A financial liability is derecognised when the
obligation under the liability is discharged or
cancelled or expires. When an existing financial
liability is replaced by another from the same
lender on substantially different terms, or the terms
of an existing liability are substantially modified,
such an exchange or modification is treated as
the derecognition of the original liability and the
recognition of a new liability. The difference in the
respective carrying amounts is recognised in the
statement of profit and loss.

Offsetting of financial instruments

Financial assets and financial liabilities are offset
and the net amount is reported in the balance sheet
if there is a currently enforceable legal right to offset
the recognised amounts and there is an intention to

settle on a net basis, to realise the assets and settle
the liabilities simultaneously.

c. Derivative financial instruments

Instruments in hedging relationship

The company designates certain foreign exchange
forward contracts as hedge instruments in respect of
foreign exchange risks. These hedges are accounted
for as cash flow hedges, net of taxes based on the
forecasted highly probable transactions.

"The company uses hedging instruments that are
governed by the policies of the company which are
approved by the Board of Directors. The policies
provide written principles on the use of such financial
derivatives consistent with the risk management
strategy of the company.

The hedge instruments are designated and
documented as hedges at the inception of the
contract. The company determines the existence
of an economic relationship between the hedging
instrument and hedged item based on the currency,
amount and timing of their respective cash flows.
The effectiveness of hedge instruments to reduce
the risk associated with the exposure being hedged
is assessed and measured at inception and on an
ongoing basis. The cumulative gain or loss previously
recognised in the cash flow hedging reserve is
transferred to the statement of profit and loss upon
the occurrence of the related forecasted transaction.
If the hedged forecasted transaction is no longer
expected to occur, then the amounts that have
been accumulated in other equity are immediately
reclassified in net foreign exchange gains in the
statement of profit and loss. The effective portion
of change in the fair value of the designated hedging
instrument is recognised in the other comprehensive
income and accumulated under the heading cash
flow hedging reserve.

Hedge accounting is discontinued when the hedging
instrument expires or is sold, terminated or no
longer qualifies for hedge accounting. Any gain or
loss recognised in other comprehensive income and
accumulated in equity till that time remains and is
recognised in the statement of profit and loss when
the forecasted transaction ultimately affects profit
and loss. "

Instruments not in hedging relationship

The company enters into contracts that are effective
as hedges from an economic perspective, but they
do not qualify for hedge accounting. The change in
the fair value of such instrument is recognised in the
statement of profit and loss.

2.13 Cash and Cash Equivalents

Cash and cash equivalent in the balance sheet comprise
of cash balances at banks, on hand cash balances and
demand deposits with an original maturity of three
months or less, that are readily convertible to a known
amount of cash and subject to an insignificant risk of
changes in value.

In the cash flow statement, cash and cash equivalents
includes cash in hand, cash at bank, demand deposits
with banks, other short-term highly liquid investments
with original maturities of three months or less.

2.14 Earnings Per Share

Basic earnings per share is calculated by dividing the net
profit for the year attributable to equity shareholders
by the weighted average number of equity shares
outstanding during the year. The weighted average
number of equity shares outstanding during the period
is adjusted for events such as bonus issue and split
of shares that have changed the number of equity
shares outstanding, without a corresponding change
in resources. Earnings considered in ascertaining the
company''s earnings per share is the net profit for the
year after deducting any attributable tax thereto for the
year. For the purpose of calculating diluted earnings per
share, the net profit for the year attributable to equity
shareholders and the weighted average number of shares
outstanding during the year is adjusted for the effects of
all dilutive potential equity shares.

2.15 Segment Reporting

Based on "Management Approach" as defined in Ind AS
108 - Operating Segments, the Chief Operating Decision
Maker evaluates the company’s performance and
allocates the resources based on an analysis of various
performance indicators by business segments. Inter
segment sales and transfers are reflected at market
prices. Unallocable items includes general corporate
income and expense items which are not allocated to any
business segment.

Segment Policies

The company prepares its segment information in

conformity with the accounting policies adopted for
preparing and presenting the standalone financial
statements of the company as a whole. Common allocable
costs are allocated to each segment on an appropriate
basis.

2.16 Dividend

The company recognises a liability to pay dividend
to equity holders of the parent when the distribution
is authorised, and the distribution is no longer at the
discretion of the company. As per the corporate laws in
India, a distribution is authorised when it is approved by
the shareholders. A corresponding amount is recognised
directly in equity.

2.17 Company as a lessee

The company assesses whether a contract contains
a lease, at inception of the 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 asset ("ROU") and a
corresponding lease liability for all lease arrangements in
which it is a lessee, except for leases with a term of twelve
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.

The company recognises right-of-use asset representing
its right to use the underlying asset for the lease term
at the lease commencement date. The cost of the right
-of-use asset measured at inception shall comprise
of the amount of the initial measurement of the lease
liability adjusted for any lease payments made at or
before the commencement date, plus any initial direct
costs incurred and an estimate of costs to be incurred by
the lessee in dismantling and removing the underlying
asset or restoring the underlying asset or site on which
it is located. The right-of-use assets is subsequently

measured at cost less any accumulated depreciation,
accumulated impairment losses, if any and adjusted for
any remeasurement of the lease liability. The right-of-use
assets is depreciated using the straight -line method from
the commencement date over the lease term.

The company measures the lease liability at the present
value of the lease payments that are not paid at the
commencement date of the lease. The lease payments are
discounted using the interest rate implicit in the lease.
Lease liabilities are remeasured with a corresponding
adjustment to the related right of use asset if the company
changes its assessment as to whether it will exercise an
extension or a termination option.

Lease liability and ROU asset have been separately
presented in the balance sheet and lease payments have
been classified as financing cash flows.

2.18 Employee benefits

Defined contribution plans

The company''s contribution to Provident fund is
considered as defined contribution plans and are charged
as an expense based on the amount of contribution
required to be made and when services are rendered by
the employees.

Defined benefit plans

For defined benefit plans in the form of gratuity fund,
the cost of providing benefits is determined using
the Projected Unit Credit method, with actuarial
valuations being carried out at each balance sheet date.
The present value of the defined benefit obligation is
determined by discounting the estimated future cash
outflows by reference to market yields at the end of the
reporting period on government bonds that have terms
approximating to the terms of the related obligation.

The net interest cost is calculated by applying the
discount rate to the net balance of the defined benefit
obligation and the fair value of plan assets. This cost is
included in employee benefit expense in the statement of
profit and loss.

Re-measurement gains and losses arising from experience
adjustments and changes in actuarial assumptions are
recognised in the period in which they occur, directly
in other comprehensive income. They are included in
retained earnings, through other comprehensive income
in the statement of changes in equity and in the balance
sheet and will not be reclassified to profit or loss.

Changes in the present value of the defined benefit

obligation resulting from plan amendments or
curtailments are recognised immediately in profit or loss
as past service cost.

Short-term employee benefits

The undiscounted amount of short-term employee
benefits expected to be paid in exchange for the services
rendered by employees are recognised during the year
when the employees render the service. These benefits
include leave encashment and availment which are
expected to occur within twelve months after the end
of the period in which the employee renders the related
service.

2.19 Significant accounting estimates, judgements and
assumptions

The preparation of the company’s Standalone financial
statements in conformity with Ind AS requires
management to make judgements, estimates and
assumptions that affect the reported amounts of revenues,
expenses, assets and liabilities and the accompanying
disclosures, and the disclosure of contingent liabilities.
Uncertainty about these assumptions and estimates
could result in outcomes that require a material
adjustment to the carrying amount of assets or liabilities
affected in future periods. The estimates and associated
assumptions are based on historical experience and
various other factors that are believed to be reasonable
under the circumstances existing when the Standalone
financial statements were prepared. The estimates and
underlying assumptions are reviewed on an ongoing
basis. Revision to accounting estimates is recognised in
the year in which the estimates are revised and in any
future year affected.

In the process of applying the company''s accounting
policies, management has made the following judgements
which have significant effect on the amounts Recognized
in the Standalone financial statements:

a. Useful lives of property, plant and equipment and
intangible assets: Determination of the estimated
useful life of tangible assets and intangible assets
and the assessment as to which components of
the cost may be Capitalized. Useful life of tangible
assets is based on the life specified in Schedule
II of the Companies Act, 2013 and also as per
management estimate for certain category of assets.
Assumption also needs to be made, when company
assesses, whether as asset may be capitalized and
which components of the cost of the assets may be
capitalized.

b. Contingencies: Management judgement is required
for estimating the possible outflow of resources, if
any, in respect of contingencies/ claim/ litigation
against company as it is not possible to predict the
outcome of pending matters with accuracy.

c. Fair value measurements and valuation processes:
Some of the Companies assets and liabilities are
measured at fair value for financial reporting
purposes. The management determines the
appropriate valuation techniques and inputs for
the fair value measurements. In estimating the
fair value of an asset or a liability, the company
used market-observable data to the extent it is
available. The inputs to these models are taken from
observable markets where possible, but where this
is not feasible, a degree of judgment is required
in establishing fair values. Judgments include
considerations of inputs such as liquidity risk, credit
risk and volatility. Changes in assumptions about
these factors could affect the reported fair value of
financial instruments.

d. Estimation of defined benefit plans: The obligation
arising from defined benefit plan is determined on
the basis of actuarial assumptions. Key actuarial
assumptions include discount rate, trends in salary
escalation, actuarial rates and life expectancy.
The discount rate is determined by reference to
market yields at the end of the reporting period
on government bonds. The period to maturity
of the underlying bonds correspond to the
probable maturity of the post-employment benefit
obligation.

e. Tax expense: Tax expense is calculated using
applicable tax rate and laws that have been enacted
or substantially enacted. In arriving at taxable profit
and all tax bases of assets and liabilities, the company
determines the taxability based on tax enactments,
relevant judicial pronouncements and tax expert
opinions, and makes appropriate provisions which
includes an estimation of the likely outcome of any
open tax assessments / litigations. Any difference is
recognised on closure of assessment or in the period
in which they are agreed.

Deferred income tax assets are recognised to
the extent that it is probable that future taxable

income will be available against which the
deductible temporary differences and unabsorbed
depreciation(if any) could be utilised.

f. Impairment of financial and non-financial assets: The
impairment provisions for Financial Assets are based
on assumptions about risk of default and expected
cash loss rates. The company uses judgement in
making these assumptions and selecting the inputs
to the impairment calculation, based on company''s
past history, existing market conditions as well
as forward-looking estimates at the end of each
reporting period. In case of non-financial assets,
assessment of impairment indicators involves
consideration of future risks. Further, the company
estimates asset''s recoverable amount, which is
higher of an asset’s or Cash Generating Units (CGU''s)
fair value less costs of disposal and its value in use.
In assessing value in use, the estimated future cash
flows are discounted to their present value using
pre-tax discount rate that reflects current market
assessments of the time value of money and the
risks specific to the asset. In determining fair value
less costs of disposal, recent market transactions
are taken into account, if no such transactions can
be identified, an appropriate valuation model is
used.

g. Inventory valuation: The factors that the company
considers in determining in valuation of non¬
saleable inventory, in store inventory or any other
products, include estimated shelf life, price changes,
ageing of inventory, introduction of competitive new
products and fair valuation of related products to the
extent each of these factors impact the company’s
business and markets. The company considers all
these factors and adjusts the inventory valuation to
reflect its actual experience on a periodic basis.

2.20 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.

Note-1: Effective December 29, 2023, the company has split each equity share having face value of '' 10/- (Rupees Ten only)
each, fully paid-up into Ten (10) equity shares having face value of '' 1/- (Rupees One only) each fully paid-up. The split of
shares was approved by board of directors in their meeting held on November 08, 2023 which was subsequently approved
by ordinary resolution by the shareholders through postal ballot on December 10, 2023.

Note- 2: During the year ended March 31, 2024the Group has completed its initial public offer ofthen 8,205,127 (82,051,270
post split of each equity share, refer note 1 above) equity shares of parent entity HMA Agro Industries Limited. The issue
comprised of fresh issue of then 2,564,102 (25,641,020 post split of each equity share, refer note 1 above) equity shares
aggregating to '' 1,500 Million and an offer for sale of then 5,641,025 (56,410,250 post split of each equity share, refer note
1 above) equity shares aggregating to '' 3,300 Million. Pursuant to the IPO, the equity shares of the Company were listed on
National Stock Exchange of India Limited (NSE) and BSE Limited (BSE) on July 04, 2023.

The net proceeds from the fresh issue of the IPO are utilized towards the following :

a. Funding working capital requirements of the Company

b. General corporate purpose

*Change during the year includes shares sold by promoters on account of IPO and shares issued on account of share split
as mentioned in Note-1 and Note-2.

(d) Rights, preferences and restrictions attached to equity shares

The Company has one class of equity shares having a par value of '' 1 per share. Each shareholder is eligible for one
vote per share held. The dividend proposed by the Board of Directors is subject to the approval of the shareholders
in the ensuing Annual General Meeting, except in case of interim dividend. In the event of liquidation, the equity
shareholders are eligible to receive the remaining assets of the Company after distribution of all preferential amounts,
in proportion to their shareholding.

(e) There were no shares allotted pursuant to a contract without payment being received in cash.

(f) There are no unpaid calls from any director or officer.

(g) The Company has paid dividend of '' 0.30 per share fully paid up equity share of '' 1 during the year ended March 31,
2025 and '' 3 per share fully paid up equity share of '' 1 (then face value '' 10) during the year ended March 31, 2024.

(h) Aggregate number of equity shares issued as bonus, shares issued for consideration other than cash during the
period of five years immediately preceding the reporting date:

(29) EMPLOYEE BENEFITS

(a) Defined contribution plan

The Company has a defined contribution plan in respect of provident fund. Contributions are made to provident fund
in India for employees as per regulations. The contributions are made to registered provident fund administered by
the Government of India. The obligation of the Company is limited to the amount contributed and it has no further
contractual nor any constructive obligation.

(b) Compensated absences

Liability under Compensated absences pertains to leave balances and is disclosed under current provisions

(c) 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 gratuity plan is a unfunded plan and the Company makes
provision in the books of accounts based on the actuarial report.

Notes:

1. Discount rate: The discount rate is based on the prevailing market yields of Indian government securities for
the estimated term of the obligations.

2. Salary escalation rate: The estimates of future salary increases considered takes into account the inflation,
seniority, promotion and other relevant factors.

3. Assumptions regarding future mortality experience are set in accordance with the statistics published by the
Life Insurance Corporation of India.

The above sensitivity analysis are based on a change in an assumption while holding all other assumptions
constant. In practice it is unlikely to occur, and changes in some of the assumptions may be correlated. The
methods and types of assumption used in preparing the sensitivity analysis did not change compared to
previous period.

(vi) Interest rate risk

The plan is defined benefit in nature which is sponsored by the Group and hence it under writes all the risk
pertaining to the plan. In particular, this exposes the Group to the actual risk such as adverse salary growth,
changes in demographic experience, inadequate return on underlying plan assets. This may result in an
increase in cost of providing these benefits to the employees in future. Since the benefits are lumpsum in
nature, the plan is not subject to any longevity risks.

Key managerial personnel who are under the employment of the Parent Company are entitled to post employment benefits
recognized as per Ind AS 19 - ''Employee Benefits'' in the financial statements. As these employee benefits are amounts
provided on the basis of actuarial valuation, the same is not included above. Gratuity has been computed for the entity as a
whole and hence excluded.

The transactions with related parties are made on terms equivalent to those that prevail in arm''s length transactions.
Outstanding balances at the year-end are unsecured and settlement occurs in cash.

Directors of the Company and entities where they have significant influence have given personal and corporate guarantee
towards the loans availed from financial institutions by the Company, details of the same are disclosed under note 33.

(31) LEASES

Company as lessee

The Company has entered into cancellable leasing arrangement in respect of office premises for a period of 3 years which
are renewable on mutual consent.

(32) FAIR VALUE MEASUREMENT

The following table shows the carrying amounts and fair values of financial assets and financial liabilities, including their
levels in the fair value hierarchy. It does not include fair value information for financial assets and financial liabilities if the
carrying amount is a reasonable approximation of fair value those include cash and cash equivalents, other bank balances,
trade receivables and trade payables.

Note: Carrying amounts of cash and cash equivalents, other bank balances, trade receivables, other financial assets,
borrowings, other financial liabilities and trade payables as at year ended March 31, 2025 and March 31, 2024 approximate
their fair value due to their short-term nature. Difference between carrying amounts and fair values of other financial
assets and other financial liabilities subsequently measured at amortised cost is not significant in each of the periods
presented.

(33) FINANCIAL RISK MANAGEMENT FRAMEWORK

The Company''s Board of Directors has overall responsibility for the establishment and oversight of the Company’s risk
management framework. The Board is responsible for developing and monitoring the Company''s risk management
policies. The Board holds regular meetings on its activities.

The Company''s risk management policies are established to identify and analyse the risks faced by the Company, to set
appropriate risk limits and controls and to monitor risks and adherence to limits. Risk management policies and systems
are reviewed regularly to reflect changes in market conditions and the Company''s activities. The Company, through its
training and management standards and procedures, aims to maintain a disciplined and constructive control environment
in which all employees understand their roles and obligations.

The Board oversees how management monitors compliance with the Company''s risk management policies and procedures,
and reviews the adequacy of the risk management framework in relation to the risks faced by the Company.

a). Credit risk

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, and arises principally from the Company''s receivables from customers.

Trade and other receivables

The Company''s exposure to credit risk is influenced mainly by the individual characteristics of each customer.
However, management also considers the factors that may influence the credit risk of its customer base, including
the default risk of the industry and country in which customers operate.

A default on a financial asset is when the counterparty fails to make contractual payments when they fall due. This
definition of default is determined by considering the business environment in which Company operates and other
macro-economic factors.

Credit quality of a customer is assessed based on its credit worthiness and historical dealings with the Company,
market intelligence and goodwill. Outstanding customer receivables are regularly monitored. The management
uses a simplified approach for the purpose of computation of expected credit loss for trade receivables and other
receivables.

Cash and cash equivalents and other bank balances

The Company held cash and cash equivalents and other bank balances of '' 2,680.21 million as at March 31, 2025
(March 31, 2024 : '' 1,664.46 million). The credit worthiness of banks and financial institutions is evaluated by
management on an ongoing basis and is considered to be good.

Loans

Loan is given to related parties for which credit risk is managed by monitoring the recoveries of such amounts
on regular basis. The Company does not perceive any credit risk related to such loans given to group companies
since these will have an additional financial support from promoters as and when necessary.These subsidiaries are
expected to achieve operational efficiency in the subsequent years and accordingly no impairment is recorded on
these balances.

Other financial assets measured at amortised cost includes deposits and capital advances for immovable properties
etc. Credit risk related to these financial assets are managed by monitoring the recoveries of such amounts on regular
basis and the Company does not perceive any credit risk related to these financial assets.

The Company''s exposure to customer is diversified and no customer contribute to more than 10 % of outstanding
trade receivables as at March 31, 2025 and as at March 31, 2024. Geographical concentration of trade receivable have
been disclosed as below.

b). Liquidity risk

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 have sufficient liquidity to meet its liabilities when
they are due. The Company has access to unused credit facility at the period ended March 31, 2025 amounting to ''
3459.81 millions (March 31, 2024 : '' 1,161.00 million) towards working capital needs as and when required. The
Company has provided corporate guarantee towards one of its subsidiary amounting to '' 650 million for the year
ended March 31, 2025 (March 31, 2024 : 650 million). Currently, the Company has assessed no default risk by the
subsidiary and accordingly there is no liquidity risk.

Maturities of financial liabilities

The below table analyses the Company''s financial liabilities into relevant maturity based on their contractual
maturities. The amounts disclosed in the table are contractual undiscounted cash flows.

(c). Market risk

Market risk is the risk arising from changes in market prices - such as foreign exchange rates and interest rates - that
will affect the Company''s income or the value of its holdings of financial instruments. Market risk is attributable to
all market risk sensitive financial instruments including foreign currency receivables and payables and long term
debt. The Company is exposed to market risk primarily related to foreign exchange rate risk, interest rate risk and
the market value of derivative used to cover forcasted sales and outstanding foreign debtors. Thus, the exposure to
market risk is a function of borrowing activities and revenue generating, operating activities in foreign currency.

The Company''s revenue is denominated in various foreign currencies. Given the nature of the business, a large
portion of the costs are denominated in Indian Rupee. This exposes the Company to currency fluctuations.

The Board of Directors frames, implement and monitor the risk management plan of the Company which inter-alia
covers risks arising out of exposure to foreign currency fluctuations. Under the guidance and framework provided by
the board, the Company uses derivative instruments such as foreign exchange forward in which the counter party is
generally a bank

The foreign exchange forward contracts designated as cash flow hedges mature over a maximum period of eighteen
months. The group manages its exposures normally for a period of up to two years based on the estimated exposure
over that period.

(ii) . Interest rate risk

Interest rate risk can be either fair value interest rate risk or cash flow interest rate risk. Fair value interest rate risk
is the risk of changes in fair values of fixed interest bearing investments because of fluctuations in the interest rates.
Cash flow interest rate risk is the risk that the future cash flows of floating interest bearing investments will fluctuate
because of fluctuations in the interest rates.

Exposure to interest rate risk

The Companies exposure to interest rate risks relates primarily to the Companies interest obligations on its
borrowings. Borrowings taken at variable rates are exposed to fair value interest rate risk. Company carries excellent
credit ratings, due to which it has assessed that there are no material interest rate risk and any exposure thereof.

(iii) . Capital risk management

The Company aims to manage its capital efficiently so as to safeguard its ability to continue as a going concern and to
optimise returns to its shareholders. The capital structure of the Company is based on management''s judgement of
the appropriate balance of key elements in order to meet its strategic and day-to-day needs. The Company’s policy is
to maintain a stable and strong capital structure with a focus on total equity so as to maintain investor, creditors and
market confidence and to sustain future development and growth of its business.

The Company monitors its capital by using gearing ratio, which is net debt divided to total equity. Net debt includes
borrowings net of cash and bank balances and total equity comprises of equity share capital, general reserve,
securities premium, other comprehensive income and retained earnings.

(38) SEGMENT REPORTING

Operating segments are defined as components of an enterprise for which discrete financial information is available that
is evaluated regularly by the chief operating decision maker for assessing the Company''s performance and allocating the
resources based on an analysis of various performance indicators by business segments and geographic segments.

The Company is engaged into business of processing and exporting of buffalo frozen meat and meat products which is
single reportable business segment. Hence the Company’s financial statements reflect the position for a reportable segment
*The Company believes that these claims are not tenable and hence no provision has been made in this regards. The
amount of contingent liabilities is disclosed based on the best possible estimate which in turn is based on the likelihood of
possible outcomes of proceedings by the tax authorities and the possible cash outflow will be known on settlement of the
proceedings by the tax authorities.

A search was carried out on November 5, 2022 by the Income-tax authorities at various locations of the Company and its
Subsidiaries and Directors (Executive directors) under Section 132 of the Income-tax Act, 1961. Panchama''s in respect
of the above searches were prepared recording the search proceedings conducted by the various Income-tax officers at
these locations of the Company, its Subsidiaries and Directors. Thereafter, proceedings have been initiated by the Revenue
authorities under various provisions of Income Tax Act, 1961. And then the orders were passed by the Income Tax
authorities granting relief to the company. Accordingly, the same has been recognized in the financial statements, resulting
in a reduction of the contingent liability from '' 1,745.93 million to '' 43.72 million.

A search was carried out on July 07, 2023 by the through the Intelligence Officer (IO), Directorate General of Goods and
Service Tax Intelligence , Headquarters, New Delhi at the premises of the Company situated at 6/A, 15-16 Tehsil Kaol,
Mathura Bypass Road, Aligarh Uttar Pradesh 202001 under sub-section (2) of Section 67 of the Central Goods and Service
Tax Act, 2017, post the order of search the Company received Summons to remain present and submit documents as

(42) There are no material subsequent events which have occurred between the reporting date as on March 31, 2025 and
adoption of financial statement by board of directors as on May 29, 2025.

(43) The financial statements were authorised for issue by the Company''s Board of directors on May 29, 2025.

(44) OTHER STATUTORY INFORMATION

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

(ii) The Company do not have any transactions with companies struck off.

(iii) The Company do not have any charges or satisfaction which is yet to be registered with ROC beyond the statutory
period,

(iv) The Company have not traded or invested in Crypto currency or Virtual Currency during the financial year.

(v) The Company have not advanced or loaned or invested funds to any other person(s) or entity(ies), including foreign
entities (Intermediaries) with the understanding that the Intermediary shall:

(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on
behalf of the company (Ultimate Beneficiaries) or

(b) p rovide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries

(vi) The Company have not received any fund from any person(s) or entity(ies), including foreign entities (Funding
Party) with the understanding (whether recorded in writing or otherwise) that the Company shall:

(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on

behalf of the Funding Party (Ultimate Beneficiaries) or

(b) provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries,

(45) Previous year figures have been regrouped / reclassified to confirm to current year presentation.

As per our report of even date attached.

FOR MAPSS AND COMPANY For and on behalf of the Board of Directors of

Chartered Accountants HMA AGRO INDUSTRIES LIMITED

Firm''s Registration Number: 012796C CIN : U74110UP2008PLC034977

CA Gyan Chandra Misra Gulzar Ahmed Mohammed Mehmmod Qureshi

Partner Whole Time Director Managing Director

Membership Number: 078183 DIN : 01312305 DIN : 02839611

Place : Ghaziabad Place : New Delhi Place : New Delhi

Date : May 29, 2025 Date : May 29, 2025 Date : May 29, 2025

UDIN:25078183BMJFQQ6093

Nikhil Sundrani Gulzeb Ahmed

Company Secretary Chief financial officer

Membership number : 53307 DIN : 06546660

Place : New Delhi Place : New Delhi

Date : May 29, 2025 Date : May 29, 2025

---

Mar 31, 2024

2.11 Provisions and Contingent Liabilities Provisions:

Provisions are recognised when there is a present obligation as a result of a past event, it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and there is a reliable estimate of the amount of the obligation. Provisions are measured at the best estimate of the expenditure required to settle the present obligation at the Balance sheet date.

If the effect of the time value of money is material, provisions are discounted using a current pre-tax rate that reflects, when appropriate, the risks specific to the liability. When discounting is used, the increase in the provision due to the passage of time is recognised as a finance cost.

Contingent Liabilities:

Contingent liabilities are disclosed when there is a possible obligation arising from past events, the existence of which will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the Company or a present obligation that arises from past events where it is either not probable that an outflow of resources will be required to settle or a reliable estimate of the amount cannot be made. The Company does not recognise a contingent liability but discloses its existence

in the financial statements.

2.12 Financial Instruments

A financial instrument is any contract that gives rise to a

financial asset of one entity and a financial liability or equity

instrument of another entity.

a. Non Derivative Financial Assets

Initial recognition and measurement

Financial assets are classified, at initial recognition, as subsequently measured at amortised cost, fair value through other comprehensive income (OCI), and fair value through profit or loss.

The classification of financial assets at initial recognition depends on the financial asset’s contractual cash flow characteristics and the Company’s business model for managing them. With the exception of trade receivables that do not contain a significant financing component, the Company initially measures a financial asset at its fair value plus, in the case of a financial asset not at fair value through profit or loss, transaction costs that are attributable to the acquisition of financial asset. Trade receivables that do not contain a significant financing component are measured at the transaction price determined under Ind AS 115. Refer to the accounting policies in section 2.05 for Revenue from contracts with customers.

In order for a financial asset to be classified and measured at amortised cost or fair value through OCI, it needs to give rise to cash flows that are ‘solely payments of principal and interest (SPPI)’ on the principal amount outstanding. This assessment is referred to as the SPPI test and is performed at an instrument level. Financial assets with cash flows that are not SPPI are classified and measured at fair value through profit or loss, irrespective of the business model.

The Company’s business model for managing financial assets refers to how it manages its financial assets in order to generate cash flows. The business model determines whether cash flows will result from collecting contractual cash flows, selling the financial assets, or both. Financial assets classified and measured at amortised cost are held within a business model with the objective to hold financial assets in order to collect contractual cash flows while financial assets classified and measured at fair value through OCI are held within a business model with the objective of both holding to collect contractual cash flows and selling.

Purchases or sales of financial assets that require delivery of assets within a time frame established by regulation or convention in the market place (regular way trades) are recognised on the trade date, i.e., the date that the Company commits to purchase or sell the asset.

Subsequent measurement

For purposes of subsequent measurement, financial assets are classified in following categories:

? Financial assets at amortised cost

? Financial assets at fair value through profit or loss

? Financial assets at fair value through other comprehensive income (FVTOCI) with recycling of cumulative gains and losses

? Financial assets designated at fair value through OCI with recycling of cumulative gains and losses upon derecognition

A ‘financial asset’ is measured at amortised cost if both the following conditions are met:

a) The asset is held within a business model whose objective is to hold assets for collecting contractual cash flows, and

b) Contractual terms of the asset give rise on specified dates to cash flows that are solely payments of principal and interest (SPPI) on the principal amount outstanding.

After initial measurement, such financial assets are subsequently measured at amortised cost using the effective interest rate (EIR) method. Amortised cost is calculated by taking into account any discount or premium on acquisition and fees or costs that are an integral part of the EIR. The EIR amortisation is included in finance income in the profit or loss. The losses arising from impairment are recognised in the profit or loss. The Company’s financial assets at amortised cost includes loans and other financial assets.

A ‘financial asset’ is measured at FVOCI if both the following conditions are met:

a) The objective ofthe business model is achieved both by collecting contractual cash flows and selling the financial assets, and

b) The asset’s contractual cash flows represent SPPI.

Upon initial recognition, the Company can elect to classify irrevocably its equity investments as equity instruments designated at fair value through OCI when they meet the definition of equity under Ind AS 32 Financial Instruments: Presentation and are not

held for trading. The classification is determined on an instrument-by-instrument basis. Equity instruments which are held for trading and contingent consideration recognised by an acquirer in a business combination to which Ind AS103 applies are classified as at FVTPL.

Gains and losses on these financial assets are never recycled to profit or loss. Dividends are recognised as other income in the statement of profit and loss when the right of payment has been established, except when the Group benefits from such proceeds as a recovery of part of the cost of the financial asset, in which case, such gains are recorded in OCI. Equity instruments designated at fair value through OCI are not subject to impairment assessment.

Financial assets at fair value through profit or loss are carried in the balance sheet at fair value with net changes in fair value recognised in the statement of profit and loss.

2.12 Financial Instruments (Continued)

Derecognition

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

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

? The Company has transferred its rights to receive cash flows from the asset and either (a) the Company has transferred substantially all the risks and rewards of the asset, or (b) the Company has neither transferred nor retained substantially all the risks and rewards of the asset, but has transferred control of the asset. Impairment of financial assets

A financial asset is assessed at each reporting date to determine whether there is any objective evidence that it is impaired. A financial asset is considered to be impaired, if objective evidence indicates that one or more events have had a negative effect on the estimated future cash flows of that asset.

For trade receivables, the Company applies a simplified approach in calculating ECLs. Therefore, the Company does not track changes in credit risk, but instead recognises a loss allowance based on lifetime ECLs at each reporting date. The Company has established a provision matrix that is based on its historical credit loss experience, adjusted for forward-looking factors specific to the debtors and the economic environment.

b. Non Derivative Financial Liabilities

Initial recognition and measurement All financial liabilities are recognised initially at fair value and, in the case of loans and borrowings and payables, net of directly attributable transaction costs

Subsequent measurement

For purposes of subsequent measurement, financial liabilities are classified in two categories:

? Financial liabilities at fair value through profit or loss

? Financial liabilities at amortised cost (loans and borrowings)

Derecognition

A financial liability is derecognised when the obligation under the liability is discharged or cancelled or expires. When an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as the derecognition of the original liability and the recognition of a new liability. The difference in the respective carrying amounts is recognised in the statement of profit and loss.

Offsetting of financial instruments

Financial assets and financial liabilities are offset and the net amount is reported in the balance sheet if there is a currently enforceable legal right to offset the recognised amounts and there is an intention to settle on a net basis, to realise the assets and settle the liabilities simultaneously.

c. Derivative financial instruments

Instruments in hedging relationship

The Company designates certain foreign exchange forward contracts as hedge instruments in respect of foreign exchange risks. These hedges are accounted for as cash flow hedges, net of taxes based on the forcasted highly probable transactions.

The Company uses hedging instruments that are governed by the policies of the Company which are approved by the Board of Directors. The policies provide written principles on the use of such financial derivatives consistent with the risk management strategy of the Company.

The hedge instruments are designated and documented as hedges at the inception of the contract. The Company determines the existence of an economic relationship between the hedging instrument and hedged item based on the currency, amount and timing of their respective cash flows. The effectiveness of hedge instruments to reduce the risk associated with the exposure being hedged is assessed

and measured at inception and on an ongoing basis. The cumulative gain or loss previously recognised in the cash flow hedging reserve is transferred to the statement of profit and loss upon the occurrence of the related forecasted transaction. If the hedged forecasted transaction are no longer expected to occur, then the amounts that have been accumulated in other equity are immediately reclassified in net foreign exchange gains in the statement of profit and loss. The effective portion of change in the fair value of the designated hedging instrument is recognised in the other comprehensive income and accumulated under the heading cash flow hedging reserve.

Hedge accounting is discontinued when the hedging instrument expires or is sold, terminated or no longer qualifies for hedge accounting. Any gain or loss recognised in other comprehensive income and accumulated in equity till that time remains and is recognised in the statement of profit and loss when the forecasted transaction ultimately affects profit and loss.

Instruments not in hedging relationship

The Company enters into contracts that are effective as hedges from an economic perspective, but they do not qualify for hedge accounting. The change in the fair value of such instrument is recognised in the statement of profit and loss.

2.13 Cash and Cash Equivalents

Cash and cash equivalent in the balance sheet comprise of cash balances at banks, on hand cash balances and demand deposits with an original maturity of three months or less, that are readily convertible to a known amount of cash and subject to an insignificant risk of changes in value.

In the cash flow statement, cash and cash equivalents includes cash in hand, cash at bank, demand deposits with banks, other short-term highly liquid investments with original maturities of three months or less.

2.14 Earnings Per Share

Basic earnings per share is calculated by dividing the net profit for the year attributable to equity shareholders by the weighted average number of equity shares outstanding during the year. The weighted average number of equity shares outstanding during the period is adjusted for events such as bonus issue and split of shares that have changed the number of equity shares outstanding, without a corresponding change in resources. Earnings considered in ascertaining the Company''s earnings per share is the net profit for the year after deducting any attributable tax thereto for the year. For the purpose of calculating diluted earnings per share, the net profit for the year attributable to equity shareholders and the

weighted average number of shares outstanding during the year is adjusted for the effects of all dilutive potential equity shares.

2.15 Segment Reporting

Based on “Management Approach” as defined in Ind AS 108 - Operating Segments, the Chief Operating Decision Maker evaluates the Company’s performance and allocates the resources based on an analysis of various performance indicators by business segments. Inter segment sales and transfers are reflected at market prices. Unallocable items includes general corporate income and expense items which are not allocated to any business segment.

Segment Policies

The Company prepares its segment information in conformity with the accounting policies adopted for preparing and presenting the standalone financial statements of the Company as a whole. Common allocable costs are allocated to each segment on an appropriate basis.

2.16 Dividend

The Company recognises a liability to pay dividend to equity holders of the parent when the distribution is authorised, and the distribution is no longer at the discretion of the Company. As per the corporate laws in India, a distribution is authorised when it is approved by the shareholders. A corresponding amount is recognised directly in equity.

2.17 Company as a lessee

The Company assesses whether a contract contains a lease, at inception of the 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 asset (“ROU”) and a corresponding lease liability for all lease arrangements in which it is a lessee, except for leases with a term of twelve months or less (shortterm 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.

The Company recognises right-of-use asset representing its right to use the underlying asset for the lease term at the lease commencement date. The cost of the right -of-use asset measured at inception shall comprise of the amount of the initial measurement of the lease liability adjusted for any lease payments made at or before the commencement date, plus any initial direct costs incurred and an estimate of costs to be incurred by the lessee in dismantling and removing the underlying asset or restoring the underlying asset or site on which it is located. The right-of-use assets is subsequently measured at cost less any accumulated depreciation, accumulated impairment losses, if any and adjusted for any remeasurement of the lease liability. The right-of-use assets is depreciated using the straight -line method from the commencement date over the lease term.

The Company measures the lease liability at the present value of the lease payments that are not paid at the commencement date of the lease. The lease payments are discounted using the interest rate implicit in the lease. Lease liabilities are remeasured with a corresponding adjustment to the related right of use asset if the Company changes its assessment as to whether it will exercise an extension or a termination option.

Lease liability and ROU asset have been separately presented in the balance sheet and lease payments have been classified as financing cash flows.

The Company does not have any lease contracts wherein it acts as a lessor.

2.18 Employee benefits

Defined contribution plans

The Company’s contribution to Provident fund are considered as defined contribution plans and are charged as an expense based on the amount of contribution required to be made and when services are rendered by the employees.

Defined benefit plans

For defined benefit plans in the form of gratuity fund, the cost of providing benefits is determined using the Projected Unit Credit method, with actuarial valuations being carried out at each balance sheet date. The present value of the defined benefit obligation is determined by discounting the estimated future cash outflows by reference to market yields at the end of the reporting period on government bonds that have terms approximating to the terms of the related obligation.

The net interest cost is calculated by applying the discount rate to the net balance of the defined benefit obligation and the fair value of plan assets. This cost is included in employee benefit expense in the statement of profit and loss.

Re-measurement gains and losses arising from experience adjustments and changes in actuarial assumptions are recognized in the period in which they occur, directly in other comprehensive income. They are included in retained earnings, through other comprehensive income in the statement of changes in equity and in the balance sheet and will not be reclassified to profit or loss.

Changes in the present value of the defined benefit obligation resulting from plan amendments or curtailments are recognized immediately in profit or loss as past service cost.

Short-term employee benefits

The undiscounted amount of short-term employee benefits expected to be paid in exchange for the services rendered by employees are recognized during the year when the employees render the service. These benefits include leave encashment and availment which are expected to occur within twelve months after the end of the period in which the employee renders the related service.

2.19 Significant accounting estimates, judgements and assumptions

The preparation of the Company’s Standalone financial statements in conformity with Ind AS requires management to make judgements, estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities and the accompanying disclosures, and the disclosure of contingent liabilities. Uncertainty about these assumptions and estimates could result in outcomes that require a material adjustment to the carrying amount of assets or liabilities affected in future periods. The estimates and associated assumptions are based on historical experience and various other factors that are believed to be reasonable under the circumstances existing when the Standalone financial statements were prepared. The estimates and underlying assumptions are reviewed on an ongoing basis. Revision to accounting estimates is recognized in the year in which the estimates are revised and in any future year affected.

In the process of applying the Company’s accounting policies, management has made the following judgements which have significant effect on the amounts Recognized in the Standalone financial statements:

a. Useful lives of property, plant and equipment and intangible assets: Determination of the estimated useful life of tangible assets and intangible assets and the assessment as to which components of the cost may be Capitalized. Useful life of tangible assets is based on the life specified in Schedule II of the Companies Act, 2013 and also as per management estimate for certain category of assets. Assumption also need to be

made, when company assesses, whether as asset may be capitalized and which components of the cost of the assets may be capitalized.

b. Contingencies: Management judgement is required for estimating the possible outflow of resources, if any, in respect of contingencies/ claim/ litigation against company as it is not possible to predict the outcome of pending matters with accuracy.

c. Fair value measurements and valuation processes

: Some of the Companies assets and liabilities are measured at fair value for financial reporting purposes. The management determines the appropriate valuation techniques and inputs for the fair value measurements. In estimating the fair value of an asset or a liability, the Company used market-observable data to the extent it is available.The inputs to these models are taken from observable markets where possible, but where this is not feasible, a degree of judgment is required in establishing fair values. Judgments include considerations of inputs such as liquidity risk, credit risk and volatility. Changes in assumptions about these factors could affect the reported fair value of financial instruments.

d. Estimation of defined benefit plans The obligation arising from defined benefit plan is determined on the basis of actuarial assumptions. Key actuarial assumptions include discount rate, trends in salary escalation, actuarial rates and life expectancy. The discount rate is determined by reference to market yields at the end of the reporting period on government bonds. The period to maturity of the underlying bonds correspond to the probable maturity of the post-employment benefit obligation.

e. Tax expense :Tax expense is calculated using applicable tax rate and laws that have been enacted or substantially enacted. In arriving at taxable profit and all tax bases of assets and liabilities, the Company determines the taxability based on tax enactments, relevant judicial pronouncements and tax expert opinions, and makes appropriate provisions which includes an estimation of the likely outcome of any open tax assessments / litigations. Any difference is recognized on closure of assessment or in the period in which they are agreed.

Deferred income tax assets are recognized to the extent that it is probable that future taxable income will be available against which the deductible temporary differences and unabsorbed depreciation(if any) could be utilised.

f. Impairment of financial and non-financial assets : The

impairment provisions for Financial Assets are based on assumptions about risk of default and expected cash loss rates. The Company uses judgement in making these assumptions and selecting the inputs to the impairment calculation, based on Company’s past history, existing market conditions as well as forward-looking estimates at the end of each reporting period. In case of nonfinancial assets, assessment of impairment indicators involves consideration of future risks. Further, the company estimates asset’s recoverable amount, which is higher of an asset’s or Cash Generating Units (CGU’s) fair value less costs of disposal and its value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. In determining fair value less costs of disposal, recent market transactions are taken into account, if no such transactions can be identified, an appropriate valuation model is used.

g. Inventory valuation : The factors that the Company considers in determining in valuation of non-saleable inventory, in store inventory or any other products, include estimated shelf life, price changes, ageing of inventory, introduction of competitive new products and fair valuation of related products to the extent each of these factors impact the Company’s business and markets. The Company considers all these factors and adjusts the inventory valuation to reflect its actual experience on a periodic basis.

2.20 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, 2024, MCA has not notified any new standards or amendments to the existing standards applicable to the Company.

(33) FINANCIAL RISK MANAGEMENT FRAMEWORK

The Company’s Board of Directors has overall responsibility for the establishment and oversight of the Company’s risk management framework. The Board is responsible for developing and monitoring the Company’s risk management policies. The Board holds regular meetings on its activities.

The Company’s risk management policies are established to identify and analyse the risks faced by the Company, to set appropriate risk limits and controls and to monitor risks and adherence to limits. Risk management policies and systems are reviewed regularly to reflect changes in market conditions and the Company’s activities. The Company, through its training and management standards and procedures, aims to maintain a disciplined and constructive control environment in which all employees understand their roles and obligations.

The Board oversees how management monitors compliance with the Company’s risk management policies and procedures, and reviews the adequacy of the risk management framework in relation to the risks faced by the Company.

a) Credit risk

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, and arises principally from the Company’s receivables from customers.

Trade and other receivables

The Company’s exposure to credit risk is influenced mainly by the individual characteristics of each customer. However, management also considers the factors that may influence the credit risk of its customer base, including the default risk of the industry and country in which customers operate.

A default on a financial asset is when the counterparty fails to make contractual payments when they fall due. This definition of default is determined by considering the business environment in which Company operates and other macro-economic factors.

Credit quality of a customer is assessed based on its credit worthiness and historical dealings with the Company, market intelligence and goodwill. Outstanding customer receivables are regularly monitored. The management uses a simplified approach for the purpose of computation of expected credit loss for trade receivables and other receivables.

Cash and cash equivalents and other bank balances

The Company held cash and cash equivalents and other bank balances of t 1,664.46 million as at March 31, 2024 (March 31, 2023 : t 898.04 million). The credit worthiness of banks and financial institutions is evaluated by management on an ongoing basis and is considered to be good.

Loans

Loan is given to related parties for which credit risk is managed by monitoring the recoveries of such amounts on regular basis. The Company does not perceive any credit risk related to such loans given to group companies since these will have an additional financial support from promoters as and when necessary. These subsidiaries are expected to achieve operational efficiency in the subsequent years and accordingly no impairment is recorded on these balances.

Other financial assets

Other financial assets measured at amortised cost includes deposits and capital advances for immovable properties etc. Credit risk related to these financial assets are managed by monitoring the recoveries of such amounts on regular basis and the Company does not perceive any credit risk related to these financial assets.

The Company’s exposure to customer is diversified and no customer contribute to more than 10 % of outstanding trade receivables as at March 31, 2024 and as at March 31, 2023. Geographical concentration of trade receivable have been disclosed as below.

b) Liquidity risk

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 have sufficient liquidity to meet its liabilities when they are due. The Company has access to unused credit facility at the period ended March 31, 2024 amounting to t 971.00 millions (March 31, 2023 : t 793.64 million) towards working capital needs as and when required. The Company has provided corporate guarantee towards one of its subsidiary amounting to t 650 million for the year ended March 31, 2024 (March 31, 2023 : t 5,450 million). Currently, the Company has assessed no default risk by the subsidiary and accordingly there is no liquidity risk.

(c) Market risk

Market risk is the risk arising from changes in market prices - such as foreign exchange rates and interest rates - that will affect the Company’s income or the value of its holdings of financial instruments. Market risk is attributable to all market risk sensitive financial instruments including foreign currency receivables and payables and long term debt. The Company is exposed to market risk primarily related to foreign exchange rate risk, interest rate risk and the market value of derivative used to cover forcasted sales and outstanding foreign debtors. Thus, the exposure to market risk is a function of borrowing activities and revenue generating, operating activities in foreign currency.

(d) Currency risk

The Company is exposed to currency risk on account of foreign currency transactions including recognized assets and liabilities denominated in a currency that is not the Company’s functional currency (?), primarily in respect of United States Dollar, EURO and GBP. The Company ensures that the net exposure is kept to an acceptable level.

(ii) Interest rate risk

Interest rate risk can be either fair value interest rate risk or cash flow interest rate risk. Fair value interest rate risk is the risk of changes in fair values of fixed interest bearing investments because of fluctuations in the interest rates. Cash flow interest rate risk is the risk that the future cash flows of floating interest bearing investments will fluctuate because of fluctuations in the interest rates.

Exposure to interest rate risk

The Companies exposure to interest rate risks relates primarily to the Companies interest obligations on its borrowings. Borrowings taken at variable rates are exposed to fair value interest rate risk. Company carries excellent credit ratings, due to which it has assessed that there are no material interest rate risk and any exposure thereof.

(iii) Capital risk management

The Company aims to manage its capital efficiently so as to safeguard its ability to continue as a going concern and to optimise returns to its shareholders. The capital structure of the Company is based on management’s judgement of the appropriate balance of key elements in order to meet its strategic and day-to-day needs. The Company’s policy is to maintain a stable and strong capital structure with a focus on total equity so as to maintain investor, creditors and market confidence and to sustain future development and growth of its business.

The Company monitors its capital by using gearing ratio, which is net debt divided to total equity. Net debt includes borrowings net of cash and bank balances and total equity comprises of equity share capital, general reserve, securities premium, other comprehensive income and retained earnings.

(44) OTHER STATUTORY INFORMATION

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

(ii) The Company do not have any transactions with companies struck off.

(iii) The Company do not have any charges or satisfaction which is yet to be registered with ROC beyond the statutory period,

(iv) The Company have not traded or invested in Crypto currency or Virtual Currency during the financial year.

(v) The Company have not advanced or loaned or invested funds to any other person(s) or entity(ies), including foreign entities (Intermediaries) with the understanding that the Intermediary shall:

(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the company (Ultimate Beneficiaries) or

(b) provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries

(vi) The Company have not received any fund from any person(s) or entity(ies), including foreign entities (Funding Party) with the understanding (whether recorded in writing or otherwise) that the Company shall:

(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party (Ultimate Beneficiaries) or

(b) provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries,

(45) Previous year figures have been regrouped / reclassified to confirm to current year presentation.

Corporate information and material accounting policies 1 - 2

The accompanying notes form an integral part of the financial statements

As per our report of even date attached.

FOR MAPSS AND COMPANY For and on behalf of the Board of Directors of

Chartered Accountants HMA AGRO INDUSTRIES LIMITED

Firm’s Registration Number: 012796C CIN : U74110UP2008PLC034977

CA Gyan Chandra Misra Gulzar Ahmed Mohammed Mehmmod Qureshi

Partner Whole Time Director Managing Director

Membership Number: 078183 DIN : 01312305 DIN : 02839611

Nikhil Sundrani Gulzeb Ahmed

Company Secretary Chief financial officer

Membership number : 53307 DIN : 06546660

Place : Ghaziabad Place : Agra

Date : May 30, 2024 Date : May 30, 2024

---

Mar 31, 2023

(a) During the previous year the Board of Directors in meeting dated July 08, 2021 has approved the issue of bonus shares to all the shareholder in the ratio of 3.25:1 per equity shares. This was subsequently approved by all the share holders in extra ordinary general meeting of the Company held on July 14, 2021.

(b) During the previous year the Board of Directors in meeting dated October 04, 2021 has approved the issue of bonus shares to all the shareholder in the ratio of 2:1 per equity shares. This was subsequently approved by all the share holders in extra ordinary general meeting of the Company held on October 15 , 2021.

(d) Rights, preferences and restrictions attached to equity shares

The Company has one class of equity shares having a par value of Rs 10 per share. Each shareholder is eligible for one vote per share held. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting, except in case of interim dividend. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company after distribution of all preferential amounts, in proportion to their shareholding.

(e) There were no shares allotted pursuant to a contract without payment being received in cash. During the year Company has issued bonus shares out of free reserved. Refer note a (i) and (ii) above.

(f) There are no unpaid calls from any director or officer.

(g) The Company has paid dividend of Rs. 2 per share fully paid up equity share of Rs. 10 during the year ended March 31, 2023 pertaining to financial year ended March 31, 2022 (Rs. Nil in March 2022)

(h) Aggregate number of equity shares issued as bonus, shares issued for consideration other than cash during the period of five years immediately preceding the reporting date:

The Company has the process of identification of ''suppliers'' registered under the Micro, Small and Medium Enterprises Development (''MSMED'') Act, 2006, by obtaining confirmations from all suppliers. The Company has not received intimation from any of the ''suppliers'' regarding their status under MSMED Act, 2006 and hence disclosures if any, relating to amounts unpaid as at the year end together with interest paid/payable as required have not been furnished.

(29) Employee benefits

(a) Defined contribution plan

The Company has a defined contribution plan in respect of provident fund. Contributions are made to provident fund in India for employees as per regulations. The contributions are made to registered provident fund administered by the Government of India. The obligation of the Company is limited to the amount contributed and it has no further contractual nor any constructive obligation.

(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 gratuity plan is a non funded plan and the Company makes provision in the books of accounts based on the actuarial report.

Notes:

1. Discount rate: The discount rate is based on the prevailing market yields of Indian government securities for the estimated term of the obligations.

2. Salary escalation rate: The estimates of future salary increases considered takes into account the inflation, seniority, promotion and other relevant factors.

3. Assumptions regarding future mortality experience are set in accordance with the statistics published by the Life Insurance Corporation of India.

Key managerial personnel who are under the employment of the Parent Company are entitled to post employment benefits recognized as per Ind AS 19 - ‘Employee Benefits‘ in the financial statements. As these employee benefits are amounts provided on the basis of actuarial valuation, the same is not included above. Gratuity has been computed for the entity as a whole and hence excluded.

The transactions with related parties are made on terms equivalent to those that prevail in arm''s length transactions. Outstanding balances at the year-end are unsecured and settlement occurs in cash.

Directors of the Company and entities where they have significant influence have given personal and corporate guarantee towards the loans availed from financial institutions by the Company, details of the same are disclosed under note 33.

The following table shows the carrying amounts and fair values of financial assets and financial liabilities, including their levels in the fair value hierarchy. It does not include fair value information for financial assets and financial liabilities if the carrying amount is a reasonable approximation of fair value those include cash and cash equivalents, other bank balances, trade receivables and trade payables.

Note: Carrying amounts of cash and cash equivalents, other bank balances, trade receivables, other financial assets, borrowings, other financial liabilities and trade payables as at year ended March 31, 2023 and March 31, 2022 approximate their fair value due to their short-term nature. Difference between carrying amounts and fair values of other financial assets and other financial liabilities subsequently measured at amortised cost is not significant in each of the periods presented.

(32) Financial risk management framework

The Company''s Board of Directors has overall responsibility for the establishment and oversight of the Company''s risk management framework. The Board is responsible for developing and monitoring the Company''s risk management policies. The Board holds regular meetings on its activities.

The Company''s risk management policies are established to identify and analyse the risks faced by the Company, to set appropriate risk limits and controls and to monitor risks and adherence to limits. Risk management policies and systems are reviewed regularly to reflect changes in market conditions and the Company''s activities. The Company, through its training and management standards and procedures, aims to maintain a disciplined and constructive control environment in which all employees understand their roles and obligations.

The Board oversees how management monitors compliance with the Company''s risk management policies and procedures, and reviews the adequacy of the risk management framework in relation to the risks faced by the Company.

a) . Credit risk

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, and arises principally from the Company''s receivables from customers.

Trade and other receivables

The Company''s exposure to credit risk is influenced mainly by the individual characteristics of each customer. However, management also considers the factors that may influence the credit risk of its customer base, including the default risk of the industry and country in which customers operate.

A default on a financial asset is when the counterparty fails to make contractual payments when they fall due. This definition of default is determined by considering the business environment in which Company operates and other macro-economic factors.

Credit quality of a customer is assessed based on its credit worthiness and historical dealings with the Company, market intelligence and goodwill. Outstanding customer receivables are regularly monitored. The management uses a simplified approach for the purpose of computation of expected credit loss for trade receivables and other receivables.

Cash and cash equivalents and other bank balances

The Company held cash and cash equivalents and other bank balances of Rs. 898.04 million as at March 31, 2023 (March 31, 2022 : Rs 631.20 million). The credit worthiness of banks and financial institutions is evaluated by management on an ongoing basis and is considered to be good.

Loans

Loan is given to related parties for which credit risk is managed by monitoring the recoveries of such amounts on regular basis. The Company does not perceive any credit risk related to such loans given to group companies since these will have an additional financial support from promoters as and when necessary.

Other financial assets

Other financial assets measured at amortised cost includes deposits and capital advances for immovable properties etc. Credit risk related to these financial assets are managed by monitoring the recoveries of such amounts on regular basis and the Company does not perceive any credit risk related to these financial assets.

Other than trade and other receivables, the Company has no other financial assets that are past due but not impaired.

b) . Liquidity risk

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 have sufficient liquidity to meet its liabilities when they are due. The Company has access to unused credit facility at the period ended March 31, 2023 amounting to Rs 793.64 millions (March 31, 2022 : Rs 998.00 million) towards working capital needs as and when required.

Maturities of financial liabilities

The below table analyses the Company''s financial liabilities into relevant maturity based on their contractual maturities. The amounts disclosed in the table are contractual undiscounted cash flows.

(32) Financial risk management framework (continued)

(c) . Market risk

Market risk is the risk arising from changes in market prices - such as foreign exchange rates and interest rates - that will affect the Company''s income or the value of its holdings of financial instruments. Market risk is attributable to all market risk sensitive financial instruments including foreign currency receivables and payables and long term debt. The Company is exposed to market risk primarily related to foreign exchange rate risk, interest rate risk and the market value of derivative used to cover forcasted sales and outstanding foreign debtors. Thus, the exposure to market risk is a function of borrowing activities and revenue generating, operating activities in foreign currency.

(d) . Currency risk

The Company is exposed to currency risk on account of foreign currency transactions including recognized assets and liabilities denominated in a currency that is not the Company''s functional currency (?), primarily in respect of United States Dollar, EURO and GBP. The Company ensures that the net exposure is kept to an acceptable level.

Exposure to currency risk

The Company''s exposure to foreign currency risk at the end of the reporting period expressed in INR, are as follows:

Sensitivity analysis

A reasonably possible strengthening (weakening) of the Indian Rupee against all other currencies would have affected the measurement of financial instruments denominated in a foreign currency profit or loss by the amounts shown below. This analysis assumes that all other variables, in particular interest rates, remain constant and ignores any impact of forecast sales and purchases.

Derivative financial instruments and hedging activities

The Company''s revenue is denominated in various foreign currencies. Given the nature of the business, a large portion of the costs are denominated in Indian Rupee. This exposes the Company to currency fluctuations.

The Board of Directors frames, implement and monitor the risk management plan of the Company which inter-alia covers risks arising out of exposure to foreign currency fluctuations. Under the guidance and framework provided by the board, the Company uses derivative instruments such as foreign exchange forward in which the counter party is generally a bank

The foreign exchange forward contracts designated as cash flow hedges mature over a maximum period of eighteen months. The group manages its exposures normally for a period of up to two years based on the estimated exposure over that period.

The Board of Directors frames, implement and monitor the risk management plan of the Company which inter-alia covers risks arising out of exposure to foreign currency fluctuations. Under the guidance and framework provided by the board, the Company uses derivative instruments such as foreign exchange forward in which the counter party is generally a bank

The foreign exchange forward contracts designated as cash flow hedges mature over a maximum period of eighteen months. The company manages its exposures normally for a period of up to two years based on the estimated exposure over that period.

As at March 31, 2023 Rs (61.90) million , (March 31, 2022 Rs 29.14 million) have been recognised in the financial information for exchange gain/(loss) on foreign exchange forward that do not qualify for hedge accounting.

(ii) . Interest rate risk

Interest rate risk can be either fair value interest rate risk or cash flow interest rate risk. Fair value interest rate risk is the risk of changes in fair values of fixed interest bearing investments because of fluctuations in the interest rates. Cash flow interest rate risk is the risk that the future cash flows of floating interest bearing investments will fluctuate because of fluctuations in the interest rates.

Exposure to interest rate risk

The Companies exposure to interest rate risks relates primarily to the Companies interest obligations on its borrowings. Borrowings taken at variable rates are exposed to fair value interest rate risk. Company carries excellent credit ratings, due to which it has assessed that there are no material interest rate risk and any exposure thereof.

(iii) . Capital risk management

The Company aims to manage its capital efficiently so as to safeguard its ability to continue as a going concern and to optimise returns to its shareholders. The capital structure of the Company is based on management''s judgement of the appropriate balance of key elements in order to meet its strategic and day-to-day needs. The Company''s policy is to maintain a stable and strong capital structure with a focus on total equity so as to maintain investor, creditors and market confidence and to sustain future development and growth of its business.

The Company monitors its capital by using gearing ratio, which is net debt divided to total equity. Net debt includes borrowings net of cash and bank balances and total equity comprises of equity share capital, general reserve, securities premium, other comprehensive income and retained earnings.

The weighted average number of equity shares outstanding during the period is adjusted for events such as bonus issue that have changed the number of equity shares outstanding, without a corresponding change in resources. The number of ordinary shares outstanding before the bonus issue are adjusted for the proportionate change in the number of ordinary shares outstanding as if the event had occurred at the beginning of the earliest period presented i.e from April 01, 2021.

(36) Income tax expense

This note provides analysis of Company''s income tax expense, amounts that are recognised directly in equity and how the tax expense is affected by non-assessable and non-deductible items. It also explains significant estimates in relation to the Company''s tax position.

(37) Segment reporting

The Company publishes this financial statement along with the consolidated financial statements. In accordance with Ind AS 108, Operating Segments, the Company has disclosed the segment information in the consolidated financial statements.

Operating segments are defined as components of an enterprise for which discrete financial information is available that is evaluated regularly by the chief operating decision maker for assessing the Company''s performance and allocating the resources based on an analysis of various performance indicators by business segments and geographic segments.

The Company is engaged into business of Manufacturing and exporting of Buffalo Frozen Meat and Meat Products which is single reportable business segment. Hence the Company''s financial statements reflect the position for a reportable segment and no separate disclosure is required. The company has its manufacturing operations in India and sales products across various geographies in the world.

The information relating to revenue from external customers of its single reportable segment has been disclosed as below:

*The Company believes that these claims are not tenable and hence no provision has been made in this regards.

A search was carried out on November 5, 2022 by the Income-tax authorities at various locations of the Company and its Subsidiaries and Directors (Executive directors) under Section 132 of the Income-tax Act, 1961. Panchama''s in respect of the above searches were prepared recording the search proceedings conducted by the various Income-tax officers at these locations of the Company, its Subsidiaries and Directors. Thereafter, proceedings have been initiated by the Revenue authorities under various provisions of Income Tax Act, 1961 and no demand has been raised till the date of approval of these financial statements against the Company or Group Companies. The Company is not able to estimate the liabilities under this search and hence no amount is provided for in the books on account as of year ended March 31, 2023.

(41) Subsequent event:

A search was carried out on July 07, 2023 by the through the Intelligence Officer (IO), Directorate General of Goods and Service Tax Intelligence , Headquarters, New Delhi at the premises of the Company situated at /1, 15 and 16, Tala spur Khurd, Gulzar Factory, Near Mathura Bypass, Aligarh, Uttar Pradesh 20200 under sub-section (2) of Section 67 of the Central Goods and Service Tax Act, 2017, post the order of search the Company received Summons to remain present and submit documents as may be requested by DGGI. Since due to unavoidable circumstances, the representatives of the Company were not able to remain present, the Company has requested for extension of time to remain present. Thereafter, there is no communication from DGGI. The Company is not able to estimate the liability under this search.

(42) The financial statements were authorised for issue by the Company''s Board of directors on July 31, 2023.

(43) Pursuant to year ending March 31, 2023 the Company has completed the Initial public offering of 8,205,128 equity shares of face value Rs 10 each at an issue price of Rs 585 per equity share, consisting of a fresh issue of 2,564,103 equity shares aggregating to Rs 1,500 million and an offer for sale of equity shares aggregating to Rs 3,300 million. The equity shares of the Company were listed on National Stock Exchange of India Limited and BSE Limited w.e.f July 04, 2023. The net proceeds from the fresh issue of the IPO would be utilized towards the following :

a. Funding working capital requirements of the Company

b. General corporate purpose

(45) Other Statutory Information

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

(ii) The Company do not have any transactions with companies struck off.

(iii) The Company do not have any charges or satisfaction which is yet to be registered with ROC beyond the statutory period,

(iv) The Company have not traded or invested in Crypto currency or Virtual Currency during the financial year.

(v) The Company have not advanced or loaned or invested funds to any other person(s) or entity(ies), including foreign entities (Intermediaries) with the understanding that the Intermediary shall:

(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the company (Ultimate Beneficiaries) or

(b) provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries

(vi) The Company have not received any fund from any person(s) or entity(ies), including foreign entities (Funding Party) with the understanding (whether recorded in writing or otherwise) that the Company shall:

(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party (Ultimate Beneficiaries) or

(b) provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries,

(46) Previous year figures have been regrouped / reclassified to confirm to current year presentation.