Notes to Accounts of MMP Industries Ltd.

Mar 31, 2025

r) Provisions and Contingencies

The Company recognizes provisions when a present obligation (legal or constructive) as a result of a past event
exists, and it is probable that an outflow of resources embodying economic benefits will be required to settle such
obligation and the amount of such obligation can be reliably estimated.

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

A disclosure for contingent liabilities is made when there is a possible obligation or a present obligation that
may, but probably will not require an outflow of resources embodying economic benefits or the amount of such
obligation cannot be measured reliably. When there is a possible obligation or a present obligation in respect of
which likelihood of outflow of resources embodying economic benefits is remote, no provision or disclosure is
made.

A provision is recognized if, as a result of a past event, the Company has a present legal obligation that can be
estimated reliably, and it is probable that an outflow of economic benefits will be required to settle the obligation.
Provisions are determined by the best estimate of the outflow of economic benefits required to settle the obligation
at the reporting date. Where no reliable estimate can be made, a disclosure is made as Contingent Liabilities.

Contingent assets are a possible asset arising from past events, the existence of which will be confirmed, only
by the occurrence and non-occurrence of one or more uncertain future events not wholly within the controls of
the Company. Contingent assets are not recognized till realization of the income is virtually certain and are not
recognized in the Standalone Financial Statements. The nature of such assets and an estimate of its financial effects
are disclosed in the notes to the Standalone Financial Statements.

s) Exceptional Items

Exceptional items are disclosed separately in the Standalone Financial Statements, where it is necessary to do so to
provide further understanding of the financial performance of the Company. These are the material items of income
or expenses that have shown separately due to their nature and incidence. An ordinary item of income or expense
which by its size, nature, occurrence or incidence requires a disclosure in order to improve understanding of the
performance of the Company is treated as an exceptional item in the Standalone Statement of Profit and Loss.

t) Event after Reporting Date

Adjusting events are those events that provides further evidence of conditions that existed at the end of the
reporting period. The Standalone Financial Statements are adjusted for such events before authorization for issue.
Non-adjusting events are those events that are indicative of conditions that arose after the end of the reporting
period. Non-adjusting events after the end of the reporting period are not accounted, but disclosed if material.

All the events occurring after the balance sheet date up to the date of the approval of the Standalone Financial
Statement of the Company by the board of directors on May 23, 2025, have been considered, disclosed and
adjusted, wherever applicable, as per the requirement of Indian Accounting Standards. Refer “Note No. 52” of
Standalone Financial Statements for further references.

u) Cash Flow Statements

Cash flows statements are reported using the method set out in the Ind AS - 7, “Cash Flow Statements” and is
prepared by using indirect method adjusting the net profit / (losses) before tax excluding exceptional items for the
effect of:

i) Changes during the period in inventories and other operating receivables and payables;

ii) Non-cash items such as depreciation, provisions, unrealized foreign currency gain / (losses); and

iii) all other items for which the cash effects are investing and financing cash flows.

The cash flows from operating, investing and financing activities of the Company are segregated. The cash and
cash equivalents (including balances with banks), shown in the Standalone Statement of Cash Flows exclude
items, which are not available for general use as at the date of Standalone Balance Sheet.

v) Cash and Cash Equivalents

Cash and cash equivalents include cash and cheques-in-hand, balances with banks, and demand deposits with
banks where the original maturity is three months or less and other short-term highly liquid investments net of bank
of overdrafts, which are repayable on demand as these from an integral part of the Company’s cash management.

w) Commitments

Commitments are the future liabilities for contractual expenditure, classified and disclosed as follows:

i) estimated amounts of contracts remaining to be executed on capital account and not provided for;

ii) other non-cancellable commitment, if any, to the extent they are considered material and relevant in the
opinion of the Company’s management.

Other commitments related to sales / procurements made in the normal course of business are not disclosed to
avoid the excessive details.

1.5 RECENT ACCOUNTING PRONOUNCEMENT

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

1.6 KEY ACCOUNTING ESTIMATES AND JUDGEMENTS

The preparation of the Company’s Standalone Financial Statements is in conformity with the Ind AS, which requires the
Company’s managements to make judgments, estimates and assumptions that affect the application of the accounting
policies and the reported amounts of the assets, liabilities, incomes, and expenses (including the contingent liabilities)
and the accompanying disclosures. Uncertainty about these assumptions and estimates could result in outcomes that
require a material adjustment to the carrying amount of assets or liabilities effected in future periods. Actual results
may differ from these estimates. Estimates and underlying assumptions are reviewed on a periodic basis. Revision to
accounting estimates is recognized in the period in which the estimates are revised and in any future periods affected.

The key assumptions concerning the future and other key resources of estimation uncertainty at the reporting date, that
have a significant risk of causing a material adjustment to the carrying amount of the assets and liabilities within the next
financial year, are described as follow:

a) Income Tax: The Company’s tax jurisdiction is in India. Significant judgments are involved in estimating
budgeted profits for the purpose of paying advance tax, determining the income tax provisions, including the
amount expected to be paid / recovered for uncertain tax provisions (Refer “Note No. 20”).

b) Property, Plant and Equipment: Property, plant and equipment represent a significant proportion of assets base
of the Company. The charge in respect of periodic depreciation is derived after determining an estimate of an
asset’s expected useful life and expected residual value at the end of its life. The useful lives and residual values of
assets are determined by the Company’s management at the time the assets are acquired and reviewed periodically,
including at each financial year end. The useful lives of each of these assets are based on the life prescribed in
Schedule - II to the Companies Act, 2013, or based on the technical estimates, taken into the account the nature of
the assets, estimated usage, expected residual values and operating conditions of the assets. The useful lives are
based on historical experience with the similar assets as well as anticipation of future events, which may impact

their life, such as changes in technical or commercial obsolescence arising from changes or improvements in
production or from a change in market demand of the product or service output of the assets.

c) Defined Benefits Obligations: The costs of providing gratuity and other post-employment benefits are charged to
the Standalone Statement of Profit and Loss in accordance with IndAS -19, “Employee Benefits” over the period
during which benefit is derived from the employees’ services. It is determined by using the actuarial valuation and
assessed on the basis of assumptions selected by the Company’s management. An actuarial valuation involves
making various assumptions that may differ from actual developments in the future. These assumptions include
salary escalation rate, discount rates, expected rate of return on assets and mortality rates. The same is disclosed in
“Note No. 44”, “Employee Benefits”. Due to complexities involved in the valuation and its long-term in nature, a
defined benefit obligation is highly sensitive to change in these assumptions. All assumptions are reviewed at each
balance sheet date by the Company’s Management.

d) Fair Value measurements of Financial Instruments: When the fair values of financial assets and financial
liabilities recorded in the Standalone Balance Sheet cannot be measured based on quoted prices in active markets,
their fair value is measured using valuation techniques, including the discounted cashflow model, which involves
various judgments and assumptions. The input to these models is taken from observable markets wherever
possible, where this is not feasible, a degree of judgment is required in establishing fair value. Judgements 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 the financial instruments.

e) Recoverability of Trade Receivables: Judgment is required in assessing the recoverability of overdue trade
receivables and determining whether a provision is against those receivables is required. Factors considered
include the credit rating of the counterparty, the amount and timing of anticipated future payments and any possible
actions that can be taken to mitigate the risk of non-payments.

f Provisions and Contingent Liabilities: The Company’s management estimates the provision that have present
obligation as a result of past events, and it is probable that outflow of resources will be required to settle the
obligation. These provisions are reviewed at the end of each reporting period and are adjusted to reflect the current
best estimates.

The Company uses significant judgements to assess contingent liabilities. Contingent liabilities are disclosed
when there is 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 controls 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 the obligation or a reliable estimate of the amount cannot be made. Contingent
assets are neither recognized nor disclosed in the Standalone Financial Statements.

g) Impairment of Financial and Non-Financial Assets: The impairment provision of financial assets is based on
the assumptions about the risk of default and expected cash loss rates. The Company uses judgment in making
these assumptions and selecting the inputs to the impairment calculation, based on the Company’s history, existing
market conditions as well as forward looking estimates at the end of the reporting period.

In case of non-financial assets, the Company estimates asset’s recoverable amount, this is higher of an assets or
cash generating units (CGU) fair value less the cost of disposal and the value-in-use. In assessing the value-in¬
use, the estimated future cash flows are discounted using the pre-tax discount rate that reflects current market
assessments of the time value of money and the risk specific to the assets. In determining the fair value less cost of
disposal, recent market transactions are taken into account, if no such transactions can be identified, an appropriate
valuation model is being used.

h) Recognition of Deferred Tax Assets and Liabilities: Deferred tax assets and liabilities are recognized for
deductible temporary differences and unused tax losses or unused tax credit for which there is probability of
utilization against the future taxable profits. The Company uses judgments to determine the amount of deferred
tax that can be recognized, based upon the likely timing and the level of future taxable profits and business
developments.

i) Amortization of Leasehold Land: The Company’s lease assets primarily consist of lease for industrial land. The
lease premium is the fair value of land paid by the Company to the respective authorities at the time of acquisition
and there is no liability at the end of the lease term. The lease premium paid by the Company has been amortized
over the lease period on systematic basis and the same has been classified under Ind AS - 16, “Property, Plant and
Equipment” and therefore, the requirements of both the Ind AS - 116 and Ind AS - 17, as to the period over which,
and the manner in which, the right of use assets (under Ind AS - 116) or the assets arising from the finance lease
(under Ind AS - 17) amortized as similar.

* As per the records of the Company, including the register of members. The above details are certified by the Registrar and
Share Transfer Agents.

The Board of Directors, at its meeting held on May 23, 2025, have recommended a payment of final dividend of '' 02.00 (Two
Rupee Only) per equity shares of the face value of '' 10 each i.e. 20% of the face value of equity share amounting to '' 508.05
Lakhs, subject to the approval of shareholders at their ensuing Annual General Meetings (AGM), hence not recognized as a
liability, for the financial period ended at March 31, 2025. The Board of Directors has not declared any interim dividend during
the reporting period. (Refer “Note No. 50”).

The Board of Directors, at its meeting held on May 24, 2024, had proposed a final dividend of '' 01.50 (One Rupee Fifty
Paisa Only) per equity shares of the face value of '' 10 each for the financial period ended March 31, 2024. The proposal was
approved by the shareholders at their respective ensuing Annual General Meeting (AGM) hold on August 28, 2024, and the
same has resulted a cash outflow of amounting to '' 381.04 Lakhs. (Refer “Note No. 50”).

a) Capital Reserve: Capital reserve was created on the capital incentive received from sales tax department for the
purpose of setting up the manufacturing plants in the State of Maharashtra. The incentive has attached certain terms and
conditions, non-compliance of those terms and conditions would render the forfeiture of the incentive.

b) Securities Premium: Securities premium account is used to record the premium on issue of equity share. These reserve
is mainly utilized in accordance with the provisions of the Companies Act, 2013.

c) Remeasurement of Defined Benefits Plan: This represents the cumulative gains and losses arising on the remeasurements
of the defined benefits plan in accordance with the Ind AS - 19 that have been recognised in Other Comprehensive
Income.

d) Equity Instruments through Other Comprehensive Income: This represents the cumulative gains and losses
arising on the revaluation of equity instruments measured at fair value through other comprehensive income, under an
irrevocable option, net of amounts reclassified to retained earnings when such assets are disposed off.

e) Retained Earnings: Retained earning reserves represents the undistributed accumulated earnings of the Company as at
the date of Standalone Financial Statements.

a) Term loan from Axis Bank Limited are secured by first pari-passu charge on both present and future property, plants
and equipment held by the Company and these credit facilities are further secured by way of first pari-passu charge on
immovable property, plants and equipment by way of equitable mortgage on factory land and building situated at Survey
No. 43, 55/1, 56/1 and 56/2, Mouza Maregaon, Distt. Bhandara held in the name of the Company and are these credit
facilities are further secured by way of equitable mortgage on land and building sitauted at Survey No. 1016/2, Mouza
and Grampanchayat Neeri, PC No. 21, Mohadi, Distt. Bhandara held in the name of the Company and these credit
facilities are also further secured by way of Plot No. B - 28 and B - 28/1, Industrial Area, MIDC, Behind Mahindra and
Mahindra, Hingna Road, Nagpur (M.H.) - 440016 held in the name of the Company. These credit facilities are further
secured by irrevocable personal guarantees of two of the Directors, Shri Arun Bhandari and Shri Lalit Bhandari.

b) Term loan (Covid) from Axis Bank Limited are obtained to meet the liquidity mismatch arising out of the COVID - 19
and the same has to be repaid on monthly installments commenced from March 2024, and has to be repaid full on or
before March 2027, with a equated monthly installment of '' 18.17 Lakhs.

c) Term loan from Axis Bank Limited has been obtained for setting up the factory building and procurement of plants and
equipment including solar power equipment at the Company’s existing plant location situated in Umred, Nagpur and the
same has been repaid on monthly installments commencing from February 2026, and has to be repaid full on or before
January 2031, with a equated quarterly installment of '' 33.33 Lakhs. These term loans are secured by way of equitable
mortgage on factory land and building situated at Plot No. D15/2 and D16, Umred, Nagpur held in the name of the
Company.

d) Term loan from Citi Bank are secured by first pari-passu charge on both present and future property, plants and equipment
held by the Company and these credit facilities are further secured by way of first pari-passu charge on immovable
property, plants and equipment by way of the equitable mortgage on factory land and building situated at Survey No.
43, 55/1, 56/1 and 56/2, Mouza Maregaon, Distt. Bhandara held in the name of the Company and these credit facilities
are further secured by way of equitable mortgage on land and building sitauted at Survey No. 1016/2, Mouza and
Grampanchayat Neeri, PC No. 21, Mohadi, Distt. Bhandara held in the name of the Company and these credit facilities
are also further secured by way of Plot No. B - 28 and B - 28/1, Industrial Area, MIDC, Behind Mahindra & Mahindra,
Hingna Road, Nagpur (M.H.) - 440016 held in the name of the Company. These credit facilities are further secured by
way of demand promissory note of '' 2,500 Lakhs and are further secured by irrevocable personal guarantees of two of
the Directors, Arun Bhandari and Lalit Bhandari.

e) Term loan from Citi Bank has been obtained for setting up the solar power plant at the Company’s existing plant location
situated in Shahpur, Bhandara and the same has been repaid on quarterly installments commencing from March 2025,
and has to be repaid full on or before March 2028, with a equated quarterly installment of '' 60.00 Lakhs.

f) Term loan from related parties are unsecured and are repayable on demand basis.

a) Working capital loan and export packing credit from Axis Bank Limited are secured by first pari-passu charge by way
of hypothecation of entire inventories, book debts, receivables and other current assets with the Company presently held
and held in near furture and these credit facilities are further secured by way of first pari-passu charge on immovable
property, plants and equipment by way of equitable mortgage on factory land and building situated at Survey No. 43,
55/1, 56/1 and 56/2, Mouza Maregaon, Distt. Bhandara held in the name of the Company and are these credit facilities
are further secured by way of equitable mortgage on land and building sitauted at Survey No. 1016/2, Mouza and
Grampanchayat Neeri, PC No. 21, Mohadi, Distt. Bhandara held in the name of the Company and these credit facilities
are also further secured by way of Plot No. B - 28 and B - 28/1, Industrial Area, MIDC, Behind Mahindra and Mahindra,
Hingna Road, Nagpur (M.H.) - 440016 held in the name of the Company. These credit facilities are further secured by
irrevocable personal guarantees of two of the Directors, Shri Arun Bhandari and Shri Lalit Bhandari.

b) Working capital loan from Kotak Mahindra Bank Limited are secured by first pari-passu charge by way of hypothecation
of entire inventories, book debts, receivables and other current assets with the Company presently held and held in near
furture and these credit facilities are further secured by way of first pari-passu charge on immovable property, plants and
equipment by way of equitable mortgage on factory land and building situated at Survey No. 43, 55/1, 56/1 and 56/2,
Mouza Maregaon, Distt. Bhandara held in the name of the Company and are these credit facilities are further secured
by way of equitable mortgage on land and building sitauted at Survey No. 1016/2, Mouza and Grampanchayat Neeri,
PC No. 21, Mohadi, Distt. Bhandara held in the name of the Company and these credit facilities are also further secured
by way of Plot No. B - 28 and B - 28/1, Industrial Area, MIDC, Behind Mahindra and Mahindra, Hingna Road, Nagpur
(M.H.) - 440016 held in the name of the Company. These credit facilities are further secured by irrevocable personal
guarantees of two of the Directors, Shri Arun Bhandari and Shri Lalit Bhandari.

c) Working capital loan from Citi Bank are secured by first pari-passu charge by way of hypothecation of entire inventories,
book debts, receivables and other current assets with the Company presently held and held in near furture and these
credit facilities are further secured by way of first pari-passu charge on immovable property, plants and equipment
by way of equitable mortgage on factory land and building situated at Survey No. 43, 55/1, 56/1 and 56/2, Mouza
Maregaon, Distt. Bhandara held in the name of the Company and are these credit facilities are further secured by way of
equitable mortgage on land and building sitauted at Survey No. 1016/2, Mouza and Grampanchayat Neeri, PC No. 21,
Mohadi, Distt. Bhandara held in the name of the Company and these credit facilities are also further secured by way of
Plot No. B - 28 and B - 28/1, Industrial Area, MIDC, Behind Mahindra and Mahindra, Hingna Road, Nagpur (M.H.) -
440016 held in the name of the Company. These credit facilities are further secured by way of demand promissory note
of '' 2,500 Lakhs and are further secured by irrevocable personal guarantees of two of the Directors, Shri Arun Bhandari
and Shri Lalit Bhandari.

d) Working capital loan from Federal Bank Limited are secured by lien or pledged on term deposit of '' 100.00 Lakhs
(Pre Year '' NIL). The term deposits acts as a cash collateral security against the loans granted by the banks and finacial
institutions. The remaining portion of the loans are considered as unsecured.

e) Working capital loan from ICICI Bank Limited has been repaid during the reporting period by the Company.

f) Purchase bill financing (PBF) from banks and financial institutions are unsecured in nature, and the same has been
obtained to finance the working capital requirement of the Company, which carries the interest at the rate of 9.05% p.a.

Peformance Obligations

Sales of Product: Performance obligation in respect of sales of goods is satisfied, when the controls of the goods is transferred
to the customer, generally on delivery of the goods and payment is generally due as per the terms of contract with the customers.

Sales of Services: Performance obligation in respect of sales of service is satisfied over a period of time and the acceptance
of the customers. In respect of these services, payment is generally due upon the completion of services and acceptance from
the customers.

During the reporting period and previous reporting period, the Company does not have any remaining performance obligation
as contracts entered for sales of goods and sales of service are for a shorter duration.

* The Company collects the Goods and Service Tax (GST) on behalf of the Government, hence the GST is not included in
Revenue from Operations.

38A - Fair Value Measurements

i) Financial Instruments measured at Fair Value through Other Comprehensive Income

The Company neither hold quoted or unquoted debentures or bonds nor holds quoted equity instruments, which are
being measured at Fair Value through Other Comprehensive Income (FVTOCI), so the requirement to report under the
“IndAS - 109, Fair Value” is not applicable to the Company for all the reporting periods presented in the standalone
financial statements.

The Company neither hold any unquoted equity shares (other than investments in associates and subsidiaries, which
are being measured at amortized costs) nor holds quoted mutual funds, which are being measured at Fair Value through
Profit and Loss (FVTPL), so the requirement to report under the “IndAS - 109, Fair Value” is not applicable to the
Company for all the reporting periods presented in the standalone financial statements.

The Company has not any financial liabilities which are being measured at Fair Value through Profit or Loss (FVTPL)
except mentioned above, so the reporting under the “Ind AS - 109, Fair Value” is not applicable to the Company in
respect of all the reporting periods presented in standalone financial statements.

iii) Financial Instruments measured at Amortized Costs

The carrying amount of financial assets and financial liabilities measured at amortized costs in the standalone financial
statements are a reasonable approximation of the fair value since the Company does not anticipate that the carrying
amounts would be significantly different from the values that would eventually be received or settled.

38B - Financial Risk Management - Objectives and Policies

The Company’s principal financial assets mainly comprise of investments, security deposits, cash and cash equivalents,
other balances with banks, trade and other receivables that derive directly from its business operations. The Company’s
financial liabilities mainly comprise the borrowings in foreign as well as Indian currency, retention money, trade payable
and other payables. The main purpose of these financial liabilities is to finance the Company’s business operations and
to provide guarantees to support its operations.

The Company is exposed to Market Risk, Credit Risk and Liquidity Risk from its financial instruments. The Board of
Directors (“the Board”) oversees the management of these financial risks. The risk management policy of the Company
formulated by the Company’s management and approved by the Board of Director’s, which states the Company’s
approached to address uncertainties in its endeavor to achieve its stated and implicit objectives. It prescribes the roles
and responsibilities of the Company’s managements, the structure for managing the risk and the framework for risk
management. The framework seeks to identify, assess and mitigate the financial risks in order to minimize potential
adverse effects on the Company’s financial performance. The Board has taken necessary actions to mitigate the risks
identified on the basis of information and situations present.

The following disclosures summarize the Company’s exposure to financial risks and the information regarding the use of
derivatives employed to manage the exposure to such risks. Quantitative sensitivity analysis has been provided to reflect
the impact of reasonably possible changes in market rate on financial results, cash flows and financial positions of the
Company.

1) Market Risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of
changes in the market prices. Market risk comprises three types of Risk: “Interest rate risk, Currency risk and
Other price risk”. Financial instruments affected by the market risk include loans and borrowings in foreign as well
as domestic currency, deposits, retention money, trade and other payables and trade receivables and derivatives
financial instruments.

a) Interest Rate Risk

Interest rate risk is the risk that the fair value or future cash outflows of a financial instrument will fluctuate
because of changes in the market interest rates. An upward movement in the interest rate would adversely affect
the borrowing costs of the Company. The Company is exposed to long-term and short-term borrowings. The
Company manages interest rate risk by monitoring its mix of fixed and floating rate instruments and taking actions
as necessary to maintain an appropriate balance. The Company has not used any interest rate derivatives.

) Foreign Currency Risk

Foreign currency risk is the risk that the fair value or future cash outflows of an exposure will fluctuate due to
changes in foreign exchange rates. The Company operates globally, and a portion of the business is transacted in
several currencies and consequently the Company is exposed to foreign exchange risk through its sales in overseas
and purchases from overseas suppliers in foreign currency. The foreign currency exchange rate exposure is partly
balanced by purchasing of the goods in the respective currencies. The Company enters into forward exchange
contracts with an average maturity of less than three months to hedge against its foreign currency exposures
relating to the recognized underlying liabilities and firm commitments.

The above table represents the total exposure of the Company to its foreign exchange denominated monetary
items. Out of the above mentioned, the details of exposures hedged using forward exchange contracts are given in
“Note No. 51A”. The Company has not hedged its foreign currency exposure during the previous reporting period.
The details of unhedged exposures are given as part of “Note No. 51B”.

The Company is mainly exposed to changes in USD ($) and EURO (€). The below table demonstrated the
sensitivity to a 5% increase or decrease in USD ($) against INR and EURO (€) against INR, considering with all
other variable remains constant. The sensitivity analysis is prepared on the net unhedged exposure of the Company
as at the reporting period and previous reporting period. 5% represents the management’s assessment of reasonably
change in foreign exchange rate.

c) Other Price Risk

Other price risk is the risk that the fair value of a financial instruments will fluctuate due to changes in market
traded price. Other price risk arises from financial assets such as investments in quoted equity instruments. The
Company is exposed to price risk arising mainly from investments in quoted equity instruments recognized at
FVTOCI, if any. As at March 31, 2025, the carrying value of such quoted equity instruments recognized at amounts
FVTOCI amounts to '' NIL (March 31, 2024, '' NIL).

2) Credit Risk

Credit risk refers to the risk that the counterparty will default on its contractual obligations resulting in financial
losses to the Company. Credit risk arises primarily from financial assets such as trade receivables, other balances
with banks and other financial assets such as other receivables with the Company.

The Company has adopted a policy of only dealing with counter parties that have sufficiently high credit ratings.
The Company’s exposure and credit ratings of its counterparties are continuously monitored, and the aggregate
value of transactions is reasonably spread amongst the counterparties.

Credit risk arising from term deposits and other balances with banks is limited and there is no collateral held
against these because the counterparties are banks and recognized financial institutions with high credit rating
assigned by the international credit rating agencies.

The average credit period on sale of products ranges from 30 to 60 days. Credit risk arising from trade receivable
is managed in accordance with the Company’s established policy, procedures and control relating to customer
credit risk management. The credit quality of a customer is assessed based on detailed study of creditworthiness
and accordingly individual credit limits are defined / modified. The concentration on credit risk is limited due to
the fact that, the customer base is large. There are very few of the customers, which represents more than 10% of
its total balance of trade receivable. For trade receivables, as a practical expedient, the Company computes credit
loss allowance based on provision matrix. The provision matrix is prepared on historically observed default rate
over the expected life of trade receivable and is adjusted for forward-looking estimates. The provision matrix at
the end of reporting period as follows:

3) Liquidity Risk

Liquidity risk is the risk that the Company will encounter difficulty in raising the funds to meet the commitments
associated with financial instruments that are settled by delivering cash or another financial asset. Liquidity risk
may result from an inability to sell a financial asset quickly at close to its fair value.

The Company has an established liquidity risk managements framework for managing its short-term, medium-term
and long-term funding and liquidity management requirements. The Company’s exposure to liquidity risk arises
primarily from mismatches of maturities of financial assets and liabilities. The Company manages the liquidity risk
by maintaining adequate funds in the cash and cash equivalents. The Company also has adequate credit facilities
agreed with banks to ensure that there is sufficient cash to meet all its normal operating commitments in a timely
and cost-effective manner.

The Company believes that its liquidity positions {As At March 31, 2025, '' 1,276.79 Lakhs (Prev Year '' 104.84
Lakhs)}, anticipated future internally generated funds from operations, and its fully available revolving undrawn
credit facilities will enable it to meet its future known obligations in the ordinary course of business. However, if
liquidity needs were to arise, the Company believes it has access to financing arrangements, value of unencumbered
assets, which should enable it to meet its ongoing capital, operating, and other liquidity requirements.

The liquidity position of the Company mentioned above, includes:

i) Cash and Cash Equivalents as disclosed in the Cash Flows Statements

ii) Current / non - current term deposits as disclosed in the other financial assets

The Company’s liquidity management process as monitored by the management, includes:

i) Day-to-day funding, managed by monitoring future cash flows to ensure that requirements can be met.

ii) Maintaining rolling forecasts of the Company’s liquidity position on the basis of expected cash flows.

iii) Maintaining diversified credit lines.

The below table analysis shows the financial liabilities of the Company in the relevant maturity grouping based on
the remaining period from the reporting date to the contractual maturity date. The amounts disclosed in the table
are the contractual undiscounted cash flows:

38C - Capital Management

The Company adheres to a robust Capital Management framework which is underpinned by the following guiding
principles.

a) Maintain the financial strength to ensure BBB stable ratings domestically and investment grade ratings
internationally.

b) Ensure financial flexibility and diversify the source of financing and their maturities to minimize liquidity risk
while meeting its investment requirements.

c) Ensure sufficient liquidity is available (either through cash and cash equivalents, investments or committed credit
facilities) to meet the needs of the business.

d) Minimize the finance costs while taking into consideration current and future industry, market and economic risks
and conditions.

e) Safeguard its ability to continue as going as a going concern.

f) Leverage optimally in order to maximize shareholders’ returns while maintaining strength and flexibility of the
Balance Sheet.

This framework is adjusted based on underlying macro-economic factors affecting the business environment, financial
market conditions and interest rates environment.

The Board of Directors of the Company has primary responsibilities to maintain a strong capital base and reduce the
cost of capital through a prudent management of deployed fund and leveraging in domestic and international financial
market, so as to maintain investors, creditors and market confidence and to sustain future development of the business.

For the purpose of the Company’s capital management, capital includes issued equity capital and all other equity reserves
attributable to the equity shareholders of the Company. The primary objective of the Company when managing capital
is to safeguard its ability to continue as a going concern and to maintain an optimal capital structure so as to maximize
shareholder value.

As at March 31, 2025, and March 31, 2024, the Company has only one class of equity shares and has low debts.
Consequent to such capital structure, there are no externally imposed capital requirements. In order to maintain or
achieve an optimal capital structure, the Company allocates its capital for distribution as dividends or reinvestments into
business based on its long-term financial plans.

The Company manages its capital on the basis of the Net Debt to Equity Ratio which is Net Debt (Total Borrowings net
of Cash and Cash Equivalents) divided by total equity.

43 Segment Reporting

The segment reporting of the Company has been prepared in accordance with Ind AS - 108, “Operating Segments”
{specified under the section 133 of the Companies Act, 2013, read together with Companies (Indian Accounting
Standard) Rule, 2015, as amended, time to time}. For the Company’s management purpose, the Company is organized
into the business unit based on its products and services and has identified four reportable segment. Operating Segments
disclosure are consistent with the information provided to and reviewed by the Chief Operating Decision Maker (CODM)
are as follows:

The Board of Directors of the Company monitors the operating results of its business segments separately for the
purpose of making decisions about resource allocation and performace assessments. Segment performance is evaluated
based on profit or loss and is measured consistently with the profit and loss in the Standalone Financial Statements.
Operating Sgement have been identified on the basis of the nature of products / services and have been identified as per
the quantitative criteria sepcified in the Ind AS.

Revenue and expenses have been identified to a segment on the basis of relationship to the operating activities of the
segment. Revenue and expenses, which relates to the enterprises as a whole and are not allocable to a segments on
reasonable basis have been disclosed as “unallocable”.

44 Employee Benefits
1 Post Employment Benefits

i) Defined Benefit Gratuity Plan (Unfunded)

The Company has defined benefits gratuity plan for its employees, which requires contribution to be made to a
separately administered fund. It is governed by the Payment of Gratuity Act, 1972. Under the Act, an employee
who has completed five year of services are only entitled to the specific benefits. The level of benfits provided
depend upon the member’s length of service and salary at their retirement age.

ii) Defined Benefit Pension Plan (Unfunded)

The Company operates a defined benefits pension plan for certain specified employees and the same is payable
upon if the employee satisfying certain terms and conditions attached to them, as approved by the Board of
Directors of the Company.

iii) Defined Benefit Post Retirement Medical Benefit Plans (Unfunded)

The Company operates a defined benefits post-retirement medical benefits plan for certain specified employees and
the same is payable upon if the employee satisfying the certain terms and conditions attached to them, as approved
by the Board of Directors of the Company.

The most recent actuarial valuation of the plan assets and the present value of defined benefit obligation were carried out as
at March 31, 2025, by Mr. Ashok Kumar Garg, Fellow of Institute of Actuaries of India. The present value of defined benefits
obligation and the related current service cost were measured by using the “Projected Unit Credit Method".

The following tables summarise the components of defined benefits expense recognized in the Statement of Profit and Loss /
Other Comprehensive Income and amount recognized in the Balance Sheets for the respective plans:

46 Additional Regulatory Information as required by the Schedule - III of the Companies Act, 2013”

i) The Company has used the borrowings from banks and financial institutions for the specific purpose for which it was
taken as at the balance sheet date. The Company has not defaulted in the repayment of principal and interest thereon on
all the loans obtained from banks and financial institutions during the reporting period and previous reporting period.

ii) The title deed in respect of self-constructed building and title deeds of all other immovable properties (other than
properties where the Company is the lessee and the lease agreements are duly executed in the favor of the Company),
disclosed in the standalone financial statements and included under the head of property, plant and equipment are held
in the name of the Company as at the Balance Sheet date. In respect of the immovable properties taken on lease by the
Company, the lease agreements are duly executed in the favor of the Company as at the Balance Sheet date.

iii) Loans and advances in the nature of loans are granted to promoters, directors, key managerial parties and the other
related parties including the subsidiaries, associates and joint ventures (as defined under the Companies Act, 2013),
either severally and jointly with any other person - Refer “Note No. 53” for further reference.

iv) The Company does not have benami property held in its name. No proceedings have been initiated on or are pending
against the Company for holding benami property under the Benami Transactions (Prohibition) Act, 1988 (45 of 1988)
and the relevant Rules made thereunder.

v) The Company has been sanctioned working capital limit from bank and financial institutions on the basis of security of
current assets. The monthly / quarterly returns and the statements filed by the Company with such banks and financial
institutions are in agreements with the books of accounts of the Company.

vi) The Company has not been declared as willful defaulter by the banks and the financial institutions or other lenders or
government or any government authorities.

vii) The Company has not entered any transactions with the companies struck off as per section 248 of the Companies Act,
2013 or Section 560 of the Companies Act, 2013, hence the details related to the same have not been furnished.

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

ix) The Company has complied with the requirements with respect to the number of layers as prescribed under section 2(87)
of the Companies Act, 2013 read with the Companies (Restriction on number of layers) Rules, 2017.

x) Utilization of borrowed funds and share premium

1) The Company has not advanced or loaned or invested funds to any other persons or entities, including foreign
entities (intermediaries) with the understanding that the intermediaries 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.

2) The Company has not received any funds from persons or entities, including foreign entities (Funding Parties) 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 to or on behalf of the Ultimate beneficiaries.

xi) There have been no transactions relating to previously unrecorded income that have been surrendered or disclosed as
income during the reporting period and previous reporting period in the tax assessments under the Income Tax Act,
1961.

xii) The Company has neither traded nor invested nor advanced in Crypto or Virtual Currency during the reporting period
and previous reporting period.

49 Corporate Social Responsibilities

As per the Section 135 of the Companies Act, 2013, a company, meeting its applicability threshold, need to spend at least
2% of its average net profit for the immediately preceeding three financial year on Corporate Social Responsibilities
(CSR) Activities. The area of CSR Activity are eradication of hunger and malnutrition, promoting education, art and
culture, healthcare, destitute care and rehabilitation, environment sustainability, disaster relief and rural development
projects. A CSR Committee has been formed as per the requirement of the Companies Act, 2013. The funds has been
adminstrated by the said Committee, once it is allocated to the Corpus for the purpose of CSR activities, prescribed
under Schedule VII of the Companies Act, 2013.

a) Corporate Social Responsibilities required to be spent as per Section 135 of the Companies Act, 2013 read with the
Schedule VII thereof, the Company during the reporting period ended at March 31, 2025, is '' 59.82 Lakhs (Prev
Year '' 51.88 Lakhs).

b) Expenditure related to Corporate Social Responsibilities is '' 59.82 Lakhs out of those '' NIL commitments made
previous financial period spent during the current financial period (Prev Year March 31, 2024, '' 51.88 Lakhs).

The Board of Director’s of the Company has not declared any interim dividend during the current reporting period and
previous reporting period. The Board of Directors, at its meeting held on May 24, 2024, had proposed a final dividend
of '' 1.50 (One Rupee Fifty Paisa Only) per equity shares of the face value of '' 10 each for the financial period ended
March 31, 2024. The proposal was approved by the shareholders at the Annual General Meeting (AGM) hold on August
28, 2024, and the same has resulted a cash outflow of amounting to '' 381.04 Lakhs.

Proposed Dividend

The Board of Director’s at their meeting held on May 23, 2025, have recommended a payment of final dividend of
'' 02.00 per Equity Share of the Face Value of '' 10 per Equity Share i.e. 20% of the Face Value of Equity Share for the
financial period ended at March 31, 2025. The Company has proposed '' 508.06 Lakhs as a final dividend subject to the
approval of shareholders at their ensuing Annual General Meeting (AGM) of the Company, hence it is not recognized as
a “Liabilities” in the Standalone Financial Statements.

51 Details of Hedge and Unhedged Exposures in Foreign Currency Denominated Monetary Items
A) Exposure in Foreign Currency - Hedged

The Company enters into forward exchange contracts to hedge its foreign currency exposures relating to the underlying
transactions and firm commitments. The Company does not enter into any of the derivative instruments for trading and
speculation purposes during the reporting period and previous reporting period. The forward exchange contracts used
for hedging of the foregin currency exposures and their outstanding as at the end of the reporting period are as follows:

52 Event occurring after the Balance Sheet Date (Fire Incident at Plants)

On April 11, 2025, at approximately 06.45 PM, a major explosion and fire break out in one section of Aluminium
Powder divisions situated at Umred Plants. Swift and effective response by our emergency evacuation team, all the
individuals present at the site were promptly evacuated. However, despite these efforts, we deeply regret to report the
unfortunate loss of some of our valued workmen. Additionally, a few individually sustained minor injuries and are
currently receiving appropriate medical attention. The Company’s management is profoundly saddened by this tragic
incident. We extend our heartfelt condolence to the families of the deceased and assure them of our unwavering support
during this difficult time. We are also fully committed to ensuring the well-being and recovery of the injured. The
Company stand united with their employees, their families, and the wider community during this moment of grief and
are committed to providing every possible assistance.

Preliminary assessments indicate that certain part of the plants, building, equipment and inventories located at the
site, sustained extensive damage and were destroyed in the incident. A detailed investigation is currently underway to
determine the root cause of the explosion. The Company’s management estimates the total losses to inventories, plants,
building and equipment range between '' 15 Crore to '' 20 Crore. However, the Company has adequately covered its
assets and inventories under a fire insurance policy and is in the process of filling an insurance claim for the losses
incurred during the incident.

To minimize the impact on ongoing operations and customer commitments, the Company has partially shifted operations
to its Bhandara Plant. The Company’s management believes remain focused on gradually resuming normal business
operation in the coming months to meet the customer demand to substantial extent. We are fully cooperating with the
relevant authorities and will implement all the necessary steps to prevent such incidents in the near future.

56 The Standalone Financial Statements are approved for issue by the Audit Committee at its meeting held on May 23,
2025, and by the Board of Directors on their meeting held on May 23, 2025.

57 Previous years audited figures has been regrouped / recasted / rearranged wherever necessary to make them comparable
for the purpose of preparation and presentation of Standalone Financial Statements.

SIGNATURE TO THE NOTE “1” TO NOTE “57”

MATERIAL ACCOUNTING POLICIES 1

THE ACCOMPANYING NOTES ARE FORMING INTEGRAL PART OF THE FINANCIAL STATEMENTS

AS PER OUR REPORT OF EVEN DATE ATTACHED FOR AND ON BEHALF OF THE BOARD

For MANISH N JAIN & CO. Sd/- Sd/-

Chartered Accountants ARUN BHANDARI LALIT BHANDARI

FRN No.: 0138430W Managing Director Director

DIN No.: 00008901 DIN No.: 00010934

Sd/- Sd/- Sd/-

ARPIT AGRAWAL SHARAD KHANDELWAL MADHURA UBALE

Partner Chief Financial Officer Company Secreatry

Membership No. 175398

Place: Nagpur Place: Nagpur Place: Nagpur

Dated: May 23, 2025 Dated: May 23, 2025 Dated: May 23, 2025

UDIN No.: 25175398BMIEIS2622

---

Mar 31, 2024

r) Provisions and Contingencies

The Company recognizes provisions when a present obligation (legal or constructive) as a result of a past event exists, and it is probable that an outflow of resources embodying economic benefits will be required to settle such obligation and the amount of such obligation can be reliably estimated.

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

A disclosure for contingent liabilities is made when there is a possible obligation or a present obligation that may, but probably will not require an outflow of resources embodying economic benefits or the amount of such obligation cannot be measured reliably. When there is a possible obligation or a present obligation in respect of which likelihood of outflow of resources embodying economic benefits is remote, no provision or disclosure is made.

A provision is recognized if, as a result of a past event, the Company has a present legal obligation that can be estimated reliably, and it is probable that an outflow of economic benefits will be required to settle the obligation. Provisions are determined by the best estimate of the outflow of economic benefits required to settle the obligation at the reporting date. Where no reliable estimate can be made, a disclosure is made as Contingent Liabilities.

s) Exceptional Items

An ordinary item of income or expense which by its size, nature, occurrence or incidence requires a disclosure in order to improve understanding of the performance of the Company is treated as an exceptional item in the standalone statement of profit and loss.

t) Event after Reporting Date

Where events occurring after the balance sheet date provide evidence of conditions that existed at the end of the reporting period, the impact of such events is adjusted within the standalone financial statements. Otherwise, events after the balance sheet date of material size or nature are only disclosed.

All the events occurring after the balance sheet date up to the date of the approval of the standalone financial statement of the Company by the board of directors on May 24, 2024, have been considered, disclosed and adjusted, wherever applicable, as per the requirement of Indian Accounting Standards.

u) Cash Flow Statements

Cash flows statements are reported using the method set out in the Ind AS - 7, “Cash Flow Statements”, whereby the net profit / (loss) before tax is adjusted for the effects of the transactions of a non - cash nature, any deferrals or accrual of past or future operating cash receipts or payments and item of income or expenses associated with investing or financing cash flows. The cash flows from operating, investing and financing activities of the Company are segregated.

v) Cash and Cash Equivalents

Cash and cash equivalents include cash and cheques-in-hand, balances with banks, and demand deposits with banks where the original maturity is three months or less and other short - term highly liquid investments net of bank of overdrafts which are repayable on demand as these from an integral part of the Company’s cash management.

1.5 RECENT ACCOUNTING PRONOUNCEMENT

Ministry of Corporate Affairs (“the MCA”) notifies new standards or amendments to the existing standards under the Companies (Indian Accounting Standard) Rules as issued from time to time. For the period March 31, 2024, the MCA has not notified any new standards or amendments to the existing standards applicable to the Company.

1.6 KEY ACCOUNTING ESTIMATES AND JUDGEMENTS

The preparation of the Company’s standalone financial statements is in conformity with the Ind AS, which requires the Company’s managements to make judgments, estimates and assumptions that affect the application of the accounting policies and the reported amounts of the assets, liabilities, incomes, and expenses (including the contingent liabilities) and the accompanying disclosures. Uncertainty about these assumptions and estimates could result in outcomes that require a material adjustment to the carrying amount of assets or liabilities effected in future periods. Actual results may differ from these estimates. Estimates and underlying assumptions are reviewed on a periodic basis. Revision to accounting estimates is recognized in the period in which the estimates are revised and in any future periods affected.

The key assumptions concerning the future and other key resources of estimation uncertainty at the reporting date, that have a significant risk of causing a material adjustment to the carrying amount of the assets and liabilities within the next financial year, are described as follow:

a) Income Tax: The Company’s tax jurisdiction is in India. Significant judgments are involved in estimating budgeted profits for the purpose of paying advance tax, determining the income tax provisions, including the amount expected to be paid / recovered for uncertain tax provisions (Refer “Note No. 20”).

b) Property, Plant and Equipment: Property, plant and equipment represent a significant proportion of the assets base of the Company. The charge in respect of periodic depreciation is derived after determining an estimate of an asset’s expected useful life and the expected residual value at the end of its life. The useful lives and residual values of Company assets are determined by the Company’s management at the time the assets are acquired and reviewed periodically, including at each financial year end. The useful lives of each of these assets are based on the life prescribed in Schedule II to the Companies Act, 2013 or based on the technical estimates, taken into the account the nature of the assets, estimated usage, expected residual values and operating conditions of the assets. The useful lives are based on historical experience with the similar assets as well as anticipation of future events, which may impact their life, such as changes in technical or commercial obsolescence arising from changes or improvements in production or from a change in market demand of the product or service output of the assets.

c) Defined Benefits Obligations: The costs of providing gratuity and other post-employment benefits are charged to the standalone statement of profit and loss in accordance with Ind AS -19, “Employee Benefits” over the period during which benefit is derived from the employees’ services. It is determined by using the actuarial valuation and assessed on the basis of assumptions selected by the Company’s management. An actuarial valuation involves making various assumptions that may differ from actual developments in the future. These assumptions include salary escalation rate, discount rates, expected rate of return on assets and mortality rates. The same is disclosed in “Note No. 44”, “Employee Benefits”. Due to complexities involved in the valuation and its long-term in nature, a defined benefit obligation is highly sensitive to change in these assumptions. All assumptions are reviewed at each balance sheet date by the Company’s Management.

d) Fair Value measurements of Financial Instruments: When the fair values of financial assets and financial liabilities recorded in the standalone balance sheet cannot be measured based on quoted prices in active markets, their fair value is measured using valuation techniques, including the discounted cashflow model, which involves various judgments and assumptions. The input to these models is taken from observable markets wherever possible, where this is not feasible, a degree of judgment is required in establishing fair value. Judgements 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 the financial instruments.

e) Recoverability of Trade Receivables: Judgment is required in assessing the recoverability of overdue trade receivables and determining whether a provision is against those receivables is required. Factors considered include the credit rating of the counterparty, the amount and timing of anticipated future payments and any possible actions that can be taken to mitigate the risk of non-payments.

f) Provisions and Contingent Liabilities: The Company’s management estimates the provision that have present obligation as a result of past events, and it is probable that outflow of resources will be required to settle the obligation. These provisions are reviewed at the end of each reporting period and are adjusted to reflect the current best estimates.

The Company uses significant judgements to assess contingent liabilities. Contingent liabilities are disclosed when there is 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 controls 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 the obligation or a reliable estimate of the amount can not be made. Contingent assets are neither recognized nor disclosed in the standalone financial statements.

g) Impairment of Financial and Non-Financial Assets: The impairment provision of financial assets is based on the assumptions about the risk of default and expected cash loss rates. The Company uses judgment in making these assumptions and selecting the inputs to the impairment calculation, based on the Company’s history, existing market conditions as well as forward looking estimates at the end of the reporting period.

In case of non-financial assets, the Company estimates asset’s recoverable amount, this is higher of an assets or cash generating units (CGU) fair value less the cost of disposal and the value-in-use. In assessing the value-inuse, the estimated future cash flows are discounted using the pre-tax discount rate that reflects current market assessments of the time value of money and the risk specific to the assets. In determining the fair value less cost of disposal, recent market transactions are taken into account, if no such transactions can be identified, an appropriate valuation model is being used.

h) Recognition of Deferred Tax Assets and Liabilities: Deferred tax assets and liabilities are recognized for deductible temporary differences and unused tax losses or unused tax credit for which there is probability of utilization against the future taxable profits. The Company uses judgments to determine the amount of deferred tax that can be recognized, based upon the likely timing and the level of future taxable profits and business developments.

i) Amortization of Leasehold Land: The Company’s lease assets primarily consist of lease for industrial land. The lease premium is the fair value of land paid by the Company to the respective authorities at the time of acquisition and there is no liability at the end of the lease term. The lease premium paid by the Company has been amortized over the lease period on systematic basis and the same has been classified under Ind AS - 16, “Property, Plant and Equipment” and therefore, the requirements of both the Ind AS - 116 and Ind AS - 17, as to the period over which, and the manner in which, the right of use assets (under Ind AS - 116) or the assets arising from the finance lease (under Ind AS - 17) amortized as similar.

b) Terms / Rights attached to Equity Shares

i) The Company has only one class of shares - referred to as - equity shares having a par value of '' 10 per share. Each holder of equity shares is entitled to one vote per share.

ii) As per the Companies Act, 2013, in the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the Company, after distribution of all the preferential amounts. However no such preferential amounts exists currently. The distribution will be in the proportion to the number of equity shares held by the Shareholders.

iii) The Company declares and pays the dividend in Indian Rupees (''). The payment of dividend is also made in foreign currency to the shareholders outside India. The final dividend proposed by the Board of Directors is subject to the approval of the shareholders in their ensuing Annual General Meeting (AGM), except in case of interim dividend.

a) Capital Reserve: Capital reserve was created on the capital incentive received from sales tax department for the purpose of setting up the manufacturing plants in the State of Maharashtra. The incentive has attached certain terms and conditions, non-compliance of those terms and conditions would render the forfeiture of the incentive.

b) Securities Premium: Securities premium account is used to record the premium on issue of equity share. These reserve is mainly utilized in accordance with the provisions of the Companies Act, 2013.

c) Remeasurement of Defined Benefits Plan: This represents the cumulative gains and losses arising on the remeasurements of the defined benefits plan in accordance with the Ind AS - 19 that have been recognised in Other Comprehensive Income.

d) Equity Instruments through Other Comprehensive Income: This represents the cumulative gains and losses arising on the revaluation of equity instruments measured at fair value through other comprehensive income, under an irrevocable option, net of amounts reclassified to retained earnings when such assets are disposed off.

e) Retained Earnings: Retained earning reserves represents the undistributed accumulated earnings of the Company as at the date of standalone financial statements.

a) Term loan from Axis Bank Limited are secured by first pari-passu charge on both present and future property, plants and equipments of the Company and these credit facilities are further secured by way of first pari-passu charge on immovable property, plants and equipments including the equitable mortgage on factory land and building situated at Survey No. 43, 55/1, 56/1 and 56/2, Mouza Maregaon, Distt. Bhandara and are further secured by way of equitable mortgage on land and building sitauted at Survey No. 1016, Mouza and Grampanchayat Neeri, PC No. 21, Mohadi, Distt. Bhandara and also further secured by way of Plot No. B - 28, Industrial Area, MIDC, Behind Mahindra and Mahindra, Hingna Road, Nagpur (M.H.) - 440016. These credit facilities are further secured by irrevocable personal guarantees of two of the Directors, Shri Arun Bhandari and Shri Lalit Bhandari.

b) Term loan from Axis Bank Limited are obtained to meet the liquidity mismatch arising out of the COVID - 19 and the same has to be repaid on monthly installments commenced from March 2024, and has to be repaid full on or before March 2027.

c) Term loan from Citi Bank Limited are secured by first pari-passu charge on both present and future property, plants and equipments of the Company and these credit facilities are further secured by way of first pari-passu charge on immovable property, plants and equipments including the equitable mortgage on factory land and building situated at Survey No. 43, 55/1, 56/1 and 56/2, Mouza Maregaon, Distt. Bhandara and are further secured by way of equitable mortgage on land and building sitauted at Survey No. 1016, Mouza and Grampanchayat Neeri, PC No. 21, Mohadi, Distt. Bhandara and also further secured by way of Plot No. B - 28, Industrial Area, MIDC, Behind Mahindra and Mahindra, Hingna Road, Nagpur (M.H.) - 440016. These credit facilities are further secured by way of demand promissory note of '' 2,500 Lakhs and are further secured by irrevocable personal guarantees of two of the Directors, Shri Arun Bhandari and Shri Lalit Bhandari.

d) Term loan from Citi Bank Limited has been obtained for setting up the solar power plant at the Company’s existing plant location situated in Shahpur, Bhandara and the same has been repaid on equated quarterly installments commencing from March 2025 and has to be repaid full on or before March 2028.

e) Term loan from related parties are unsecured and are repayable on demand basis.

Nature of Securities

a) Working capital loan from the Axis Bank Limited are secured by first pari-passu charge on the hypothecation of entire inventories, book debts, receivables and other current assets with the Company presently held and held in the near future and are further secured by way of equitable mortgage at the factory land and building situtated at Plot No. B -28, Industrial Area, MIDC, Hingna Road, Behind Mahindra and Mahindra, Nagpur and are further secured by way of equitable mortgage factory land and building situated at 1016, Mouza and Grampanchayat Neeri, Mohadi, Bhandara and are further secured by way of equitable mortgage of land and building situated at Survey No. 43, 55/1, 56/1 and 56/2, Mouza Maregaon, Bhandara. These credit facilities are also further secured by irrevocable personal guarantees of two of the Directors, Shri Arun Bhandari and Shri Lalit Bhandari.

b) Working capital loan from the ICICI Bank Limited are secured by first pari-passu charge on the hypothecation of entire inventories, book debts, receivables and other current assets with the Company presently held and held in the near future and are further secured by way of equitable mortgage at the factory land and building situtated at Plot No. B -28, Industrial Area, MIDC, Hingna Road, Behind Mahindra and Mahindra, Nagpur and are further secured by way of equitable mortgage factory land and building situated at 1016, Mouza and Grampanchayat Neeri, Mohadi, Bhandara and are further secured by way of equitable mortgage of land and building situated at Survey No. 43, 55/1, 56/1 and 56/2, Mouza Maregaon, Bhandara. These credit facilities are also further secured by irrevocable personal guarantees of two of the Directors, Shri Arun Bhandari and Shri Lalit Bhandari.

c) Working capital loan from Citi Bank Limited are secured by first pari-passu charge hypothecation of entire inventories, book debts, receivable and other current assets with the Company presently held and held in near future and these credit facilities are further secured by way of first pari-passu charge on immovable property, plants and equipments including the equitable mortgage on factory land and building situated at Survey No. 43, 55/1, 56/1 and 56/2, Mouza Maregaon, Distt. Bhandara and are further secured by way of equitable mortgage on land and building sitauted at Survey No. 1016, Mouza and Grampanchayat Neeri, PC No. 21, Mohadi, Distt. Bhandara and also further secured by way of Plot No. B - 28, Industrial Area, MIDC, Behind Mahindra and Mahindra, Hingna Road, Nagpur (M.H.) - 440016. These credit facilities are further secured by way of demand promissory note of '' 2,500 Lakhs and are further secured by irrevocable personal guarantees of two of the Directors, Shri Arun Bhandari and Shri Lalit Bhandari.

iii) Financial Instruments measured at Amortized Costs

The carrying amount of financial assets and financial liabilities measured at amortized costs in the standalone financial statements are a reasonable approximation of the fair value since the Company does not anticipate that the carrying amounts would be significantly different from the values that would eventually be received or settled.

38B - Financial Risk Management - Objectives and Policies

The Company’s principal financial assets mainly comprise of investments, security deposits, cash and cash equivalents, other balances with banks, trade and other receivables that derive directly from its business operations. The Company’s financial liabilities mainly comprise the borrowings in foreign as well as Indian currency, retention money, trade payable and other payables. The main purpose of these financial liabilities is to finance the Company’s business operations and to provide guarantees to support its operations.

The Company is exposed to Market Risk, Credit Risk and Liquidity Risk from its financial instruments. The Board of Directors (“the Board”) oversees the management of these financial risks. The risk management policy of the Company formulated by the Company’s management and approved by the Board of Director’s, which states the Company’s approached to address uncertainties in its endeavor to achieve its stated and implicit objectives. It prescribes the roles and responsibilities of the Company’s managements, the structure for managing the risk and the framework for risk management. The framework seeks to identify, assess and mitigate the financial risks in order to minimize potential adverse effects on the Company’s financial performance. The Board has taken necessary actions to mitigate the risks identified on the basis of information and situations present.

The following disclosures summarize the Company’s exposure to financial risks and the information regarding the use of derivatives employed to manage the exposure to such risks. Quantitative sensitivity analysis has been provided to reflect the impact of reasonably possible changes in market rate on financial results, cash flows and financial positions of the Company.

1) Market Risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in the market prices. Market risk comprises three types of Risk: “Interest rate risk, Currency risk and Other price risk”. Financial instruments affected by the market risk include loans and borrowings in foreign as well as domestic currency, deposits, retention money, trade and other payables and trade receivables and derivatives financial instruments.

a) Interest Rate Risk

Interest rate risk is the risk that the fair value or future cash outflows of a financial instrument will fluctuate because of changes in the market interest rates. An upward movement in the interest rate would adversely affect the borrowing costs of the Company. The Company is exposed to long-term and short-term borrowings. The Company manages interest rate risk by monitoring its mix of fixed and floating rate instruments and taking actions as necessary to maintain an appropriate balance. The Company has not used any interest rate derivatives.

c) Other Price Risk-

Other price risk is the risk that the fair value of a financial instruments will fluctuate due to changes in market traded price. Other price risk arises from financial assets such as investments in quoted equity instruments. The Company is exposed to price risk arising mainly from investments in quoted equity instruments recognized at FVTOCI. As at March 31, 2024, the carrying value of such quoted equity instruments recognized at amounts FVTOCI amounts to NIL (March 31, 2023''00.38 Lakhs). The details of such investments in equity instruments are given in “Note No. 5”.

The Company is mainly exposed to changes in the market traded rate of its investments in quoted equity instruments recognized in other comprehensive income. A sensitivity analysis demonstrating the impact of change in market prices of these instruments from the prices existing as at the reporting date is given below:

If the equity prices had been higher / lower by 10% from the market price existing as at March 31, 2024, Other comprehensive income (OCI) for the period ended would increase by '' NIL (Prev Year '' 00.03 Lakhs) and decrease by '' NIL (Prev Year '' 00.03 Lakhs) respectively with the corresponding increase / decrease in total equity of the Company as at March 31, 2024. 10% represents the management’s assessment of reasonably possible changes in equity prices.

2) Credit Risk

Credit risk refers to the risk that the counterparty will default on its contractual obligations resulting in financial losses to the Company. Credit risk arises primarily from financial assets such as trade receivables, other balances with banks and other financial assets such as other receivables with the Company.

The Company has adopted a policy of only dealing with counter parties that have sufficiently high credit ratings. The Company’s exposure and credit ratings of its counterparties are continuously monitored, and the aggregate value of transactions is reasonably spread amongst the counterparties.

Credit risk arising from term deposits and other balances with banks is limited and there is no collateral held against these because the counterparties are banks and recognized financial institutions with high credit rating assigned by the international credit rating agencies.

The average credit period on sale of products ranges from 80 to 90 days. Credit risk arising from trade receivable is managed in accordance with the Company’s established policy, procedures and control relating to customer credit risk management. The credit quality of a customer is assessed based on detailed study of creditworthiness and accordingly individual credit limits are defined / modified. The concentration on credit risk is limited due to the fact that, the customer base is large. There are very few of the customers, which represents more than 10% of its total balance of trade receivable. For trade receivables, as a practical expedient, the Company computes credit loss allowance based on provision matrix. The provision matrix is prepared on historically observed default rate over the expected life of trade receivable and is adjusted for forward-looking estimates. The provision matrix at the end of reporting period as follows:

3) Liquidity Risk

Liquidity risk is the risk that the Company will encounter difficulty in raising the funds to meet the commitments associated with financial instruments that are settled by delivering cash or another financial asset. Liquidity risk may result from an inability to sell a financial asset quickly at close to its fair value.

The Company has an established liquidity risk managements framework for managing its short-term, medium-term and long-term funding and liquidity management requirements. The Company’s exposure to liquidity risk arises primarily from mismatches of maturities of financial assets and liabilities. The Company manages the liquidity risk by maintaining adequate funds in the cash and cash equivalents. The Company also has adequate credit facilities agreed with banks to ensure that there is sufficient cash to meet all its normal operating commitments in a timely and cost-effective manner.

The Company believes that its liquidity positions {As At March 31, 2024 '' 104.84 Lakhs (Prev Year '' 255.90 Lakhs)}, anticipated future internally generated funds from operations, and its fully available revolving undrawn credit facilities will enable it to meet its future known obligations in the ordinary course of business. However, if liquidity needs were to arise, the Company believes it has access to financing arrangements, value of unencumbered assets, which should enable it to meet its ongoing capital, operating, and other liquidity requirements.

The liquidity position of the Company mentioned above, includes:

i) Cash and Cash Equivalents as disclosed in the Cash Flows Statements

ii) Current / non - current term deposits as disclosed in the other financial assets

The Company’s liquidity management process as monitored by the management, includes:

i) Day-to-day funding, managed by monitoring future cash flows to ensure that requirements can be met.

ii) Maintaining rolling forecasts of the Company’s liquidity position on the basis of expected cash flows.

iii) Maintaining diversified credit lines.

The below table analysis shows the financial liabilities of the Company in the relevant maturity grouping based on the remaining period from the reporting date to the contractual maturity date. The amounts disclosed in the table are the contractual undiscounted cash flows:

38C - Capital Management

The Company adheres to a robust Capital Management framework which is underpinned by the following guiding principles.

a) Maintain the financial strength to ensure BBB stable ratings domestically and investment grade ratings internationally.

b) Ensure financial flexibility and diversify the source of financing and their maturities to minimize liquidity risk while meeting its investment requirements.

c) Ensure sufficient liquidity is available (either through cash and cash equivalents, investments or committed credit facilities) to meet the needs of the business.

d) Minimize the finance costs while taking into consideration current and future industry, market and economic risks and conditions.

e) Safeguard its ability to continue as going as a going concern.

f) Leverage optimally in order to maximize shareholders’ returns while maintaining strength and flexibility of the Balance Sheet.

This framework is adjusted based on underlying macro-economic factors affecting the business environment, financial market conditions and interest rates environment.

The Board of Directors of the Company has primary responsibilities to maintain a strong capital base and reduce the cost of capital through a prudent management of deployed fund and leveraging in domestic and international financial market, so as to maintain investors, creditors and market confidence and to sustain future development of the business.

For the purpose of the Company’s capital management, capital includes issued equity capital and all other equity reserves attributable to the equity shareholders of the Company. The primary objective of the Company when managing capital is to safeguard its ability to continue as a going concern and to maintain an optimal capital structure so as to maximize shareholder value.

As at March 31, 2024 and March 31, 2023, the Company has only one class of equity shares and has low debts. Consequent to such capital structure, there are no externally imposed capital requirements. In order to maintain or achieve an optimal capital structure, the Company allocates its capital for distribution as dividends or reinvestments into business based on its long-term financial plans.

The Company manages its capital on the basis of the Net Debt to Equity Ratio which is Net Debt (Total Borrowings net of Cash and Cash Equivalents) divided by total equity.

43 Segment Reporting

The segment reporting of the Company has been prepared in accordance with Ind AS - 108, “Operating Segments” {specified under the section 133 of the Companies Act, 2013 read together with Companies (Indian Accounting Standard) Rule, 2015, as amended, time to time}. For the Company’s management purpose, the Company is organized into the business unit based on its products and services and has four reportable segment. Opearting Segments disclosure are consistent with the information provided to and reviewed by the Chief Operating Decision Maker (CODM) are as follows:

The Board of Directors of the Company monitors the operating results of its business segments separately for the purpose of making decisions about resource allocation and performace assessments. Segment performance is evaluated based on profit or loss and is measured consistently with profit and loss in the standalone financial statements. Operating Sgement have been identified on the basis of the nature of products / services and have been identified as per the quantitative criteria sepcified in the Ind AS.

Revenue and expenses have been identified to a segment on the basis of relationship to operating activities of the segment. Revenue and expenses which relates to enterprises as a whole and are not allocable to a segments on reasonable basis have been disclosed as “unallocable”.

44 Employee Benefits 1 Post Employment Benefits

i) Defined Benefit Gratuity Plan (Unfunded)

The Company has defined benefits gratuity plan for its employees, which requires contribution to be made to a separately administered fund. It is governed by the Payment of Gratuity Act, 1972. Under the Act, employee who has completed five year of services are only entitled to the specific benefits. The level of benfits provided depend on the member’s length of service and salary at retirement age.

ii) Defined Benefit Pension Plan (Unfunded)

The Company operates a defined benefits pension plan for certain specified employees and the same is payable upon if the employee satisfying certain terms and conditions attached to them, as approved by the Board of Directors of the Company.

iii) Defined Benefit Post Retirement Medical Benefit Plans (Unfunded)

The Company operates a defined benefits post-retirement medical benefits plan for certain specified employees and the same is payable upon if the employee satisfying the certain terms and conditions attached to them, as approved by the Board of Directors of the Company.

The most recent actuarial valuation of the plan assets and the present value of defined benefit obligation were carried out as at March 31, 2024 by Mr. Ashok Kumar Garg, Fellow of Institute of Actuaries of India. The present value of defined benefits obligation and the related current service cost were measured by using the “Projected Unit Credit Method”.

The following tables summarise the components of defined benefits expense recognized in the Statement of Profit and Loss / Other Comprehensive Income and amount recognized in the Balance Sheets for the respective plans:

49 Corporate Social Responsibility

As per the Section 135 of the Companies Act, 2013, a company, meeting its applicability thershold, need to spend at least 2% of its average net profit for the immediately preceeding three financial year on Corporate Social Responsibilities (CSR) Activities. The area of CSR Activity are eradication of hunger and malnutrition, promoting education, art and culture, healthcare, destitute care and rehabilitation, environment sustainability, disaster relief and rural development projects. A CSR Committee has been formed as per the requirement of the Companies Act, 2013. The funds has been adminstrated by the said Committee, once it is allocated to the Corpus for the purpose of CSR activities, prescribed under Schedule VII of the Companies Act, 2013.

a) Corporate Social Responsibilities required to be spent as per Section 135 of the Companies Act, 2013 read with the Schedule VII thereof, the Company during the reporting period ended at March 31, 2024 is '' 51.88 Lakhs (Prev Year '' 52.29 Lakhs).

b) Expenditure related to Corporate Social Responsibilities is '' 51.88 Lakhs out of those '' NIL commitments made previous financial period spent during the current financial period (Prev Year March 31, 2023''59.05 Lakhs).

The Board of Director’s of the Company has not declared any interim dividend during the current reporting period and previous reporting period. The Board of Directors, at its meeting held on May 27, 2023 had proposed a final dividend of '' 1.00 (One Rupee Only) per equity shares of the face value of '' 10 each for the financial period ended March 31, 2023. The proposal was approved by the shareholders at the Annual General Meeting (AGM) hold on August 26, 2023 and the same has resulted a cash outflow of amounting to '' 254.03 Lakhs..

Proposed Dividend

The Board of Director’s at their meeting held on May 24, 2024 have recommended a payment of final dividend of '' 1.50 per Equity Share of the Face Value of '' 10 per Equity Share i.e. 15% of the Face Value of Equity Share for the financial period ended at March 31, 2024. The Company has proposed '' 381.04 Lakhs as a final dividend subject to the approval of shareholders at their ensuing Annual General Meeting (AGM) of the Company, hence it is not recognized as a “Liabilities” in the standalone financial statements.

51 Details of Hedge and Unhedged Exposures in Foreign Currency Denominated Monetary Items A) Exposure in Foreign Currency - Hedged

The Company enters into forward exchange contracts to hedge its foreign currency exposures relating to the underlying transactions and firm commitments. The Company does not enter into any of the derivative instruments for trading and speculation purposes during the reporting period and previous reporting period. The forward exchange contracts used for hedging of the foregin currency exposures and their outstanding as at the end of the reporting period are as follows:

53 The Standalone Financial Statements are approved for issue by the Audit Committee at its meeting held on May 24, 2024, and by the Board of Directors on their meeting held on May 24, 2024.

54 Previous years audited figures has been regrouped / recasted / rearranged wherever necessary to make them comparable for the purpose of preparation and presentation of Standalone Financial Statements..

SIGNATURE TO THE NOTE “1” TO NOTE “54”

MATERIAL ACCOUNTING POLICIES 1

THE ACCOMPANYING NOTES ARE FORMING INTEGRAL PART OF THE FINANCIAL STATEMENTS

AS PER OUR REPORT OF EVEN DATE ATTACHED FOR AND ON BEHALF OF THE BOARD

For MANISH N JAIN & CO. Sd/- Sd/-

Chartered Accountants ARUN BHANDARI LALIT BHANDARI

FRN No.: 138430W Managing Director Director

DIN : 0008901 DIN : 00010934

Sd/- Sd/- Sd/-

ARPIT AGRAWAL SHARAD KHANDELWAL MADHURA UBALE

Partner Chief Financial Officer Company Secreatry

Membership No. 175398

Place: Nagpur Place: Nagpur Place: Nagpur

Dated: May 24, 2024 Dated: May 24, 2024 Dated: May 24, 2024

UDIN No.: 24175398BKAQOC8250

---

Mar 31, 2023

* The term deposits held by the Company with banks or financial institutions comprises of the time deposit and are made for varying period between one year to two years and earn the interest at the respective deposit rate, the same are held as lien or pledged by them against the corporate credit cards provided to the Company, amounting to '' 10.00 Lakhs (Prev Year '' 10.00 Lakhs).

** Refer “Note No. 36B” for the information of credit risk and market risk.

No amounts are due from directors or other officers of the Company either severally or jointly with any other persons, nor due from firms or private companies respectively in which director is partner, a director or a member.

b) Terms / Rights attached to Equity Shares

i) The Company has only one class of shares - referred to as - equity shares having a par value of '' 10 per share. Each holder of equity shares is entitled to one vote per share. .

ii) In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the Company, after distribution of all the preferential amounts. The distribution will be in the proportion to the number of equity shares held by the shareholders.

iii) The Company declares and pays the dividend in Indian Rupees (''). The payment of dividend is also made in foreign currency to the shareholders outside India. The final dividend proposed by the Board of Directors is subject to the approval of the shareholders in their ensuing Annual General Meeting (AGM), except in case of interim dividend.

* As per the records of the Company, including the register of members. The above details are certified by the Registrar and Share Transfer Agents

The Board of Directors, at its meeting held on May 27, 2023 have recommended a payment of final dividend of '' 1.00 (One Rupee Only) per equity shares of the face value of '' 10 each i.e 10% of the face value of equity share amounting to '' 254.03 Lakhs, subject to the approval of shareholders at their ensuing Annual General Meetings (AGM), hence not recognized as a liability, for the financial period ended at March 31, 2023. The Board of Directors has not declared any interim dividend during the reporting period. (Refer “Note No. 48”).

Description of Nature and Purpose of the Reserves

a) Capital Reserve: Capital reserve was created on the capital incentive received from sales tax department for the purpose of setting up the manufacturing plants. The Incentive has attached certain terms and conditions, non-compliance of those terms and conditions would render the forfeiture of the incentive.

b) Securities Premium: Securities premium account is used to record the premium on issue of equity share. These reserve is mainly utilized in accordance with the provisions of the Companies Act, 2013.

c) Remeasurement of Defined Benefits Plan: This represents the cumulative gains and losses arising on the remeasurements of the defined benefits plan in accordance with the Ind AS 19 that have been recognised in Other Comprehensive Income.

d) Equity Instruments through Other Comprehensive Income: This represents the cumulative gains and losses arising on the revaluation of equity instruments measured at fair value through other comprehensive income, under an irrevocable option, net of amounts reclassified to retained earnings when such assets are disposed off.

e) Retained Earnings: Retained earning reserves represents the undistributed accumulated earnings of the Company as on the date of standalone financial statements.

Nature of Securities and Terms of Repayments

a) Term Loan from Axis Bank Limited are secured by the first pari-passu by way of extension of hypothecation charge on equitable mortgage on factory land and building situated at Survey No. 43, 55/1, 56/1 and 56/2, Mouza Maregaon, Distt. Bhandara and are further secured by way of equitable mortgage on land and building sitauted at Survey No. 1016, Mouza and Grampanchayat Neeri, PC No. 21, Mohadi, Distt. Bhandara and also further secured by way of Plot No. B -28, Industrial Area, MIDC, Behind Mahindra and Mahindra, Hingna Road, Nagpur (M.H.) - 440016.

b) Term Loan from Axis Bank Limited are obtained to meet the liquidity mismatch arising out of the COVID - 19 and the same has to be repaid on Monthly installments commencing from March 2024, and has to be repaid full on or before March 2027.

c) Term Loan from related parties are unsecured and are repayable on demand basis.

Nature of Securities

a) Working Capital Loan from the Axis Bank Limited are secured by first charge on the hypothecation of entire inventories, book debts, receivables and other current assets with the Company presently held and held in the near future and are further secured by way of equitable mortgage at the Factory Land and Building situtated at Plot No. B - 28, Industrial Area, MIDC, Hingna Road, Behind Mahindra and Mahindra, Nagpur and are further secured by way of equitable mortgage Factory Land and Building situated at 1016, Mouza and Grampanchayat Neeri, Mohadi, Bhandara and are further secured by way of equitable mortgage of Land and Building situated at Survey No. 43, 55/1, 56/1 and 56/2, Mouza Maregaon, Bhandara. These credit facilities are also further secured by irrevocable personal guarantees of two of the Directors, Shri Arun Bhandari and Shri Lalit Bhandari.

b) Working Capital Loan from the ICICI Bank Limited are secured by first pari-passu charge on the hypothecation of entire inventories, book debts, receivables and other current assets with the Company presently held and held in the near future and are further secured by way of equitable mortgage Wat the Factory Land and Building situtated at Plot No. B - 28, Industrial Area, MIDC, Hingna Road, Behind Mahindra and Mahindra, Nagpur and are further secured by way of equitable mortgage Factory Land and Building situated at 1016, Mouza and Grampanchayat Neeri, Mohadi, Bhandara and are further secured by way of equitable mortgage of Land and Building situated at Survey No. 43, 55/1, 56/1 and

56/2, Mouza Maregaon, Bhandara. These credit facilities are also further secured by irrevocable personal guarantees of two of the Directors, Shri Arun Bhandari and Shri Lalit Bhandari.

c) Working Capital Loan from the CITI Bank are secured by first pari-passu charge on the hypothecation of entire inventories, book debts, receivables and other current assets with the Company presently held and held in the near future and are further secured by way of equitable mortgage at the Factory Land and Building situtated at Plot No. B -28, Industrial Area, MIDC, Hingna Road, Behind Mahindra and Mahindra, Nagpur and are further secured by way of equitable mortgage Factory Land and Building situated at 1016, Mouza and Grampanchayat Neeri, Mohadi, Bhandara and are further secured by way of equitable mortgage of Land and Building situated at Survey No. 43, 55/1, 56/1 and 56/2, Mouza Maregaon, Bhandara. These credit facilities are further secured by way of demamd promissory note of '' 2,500 Lakhs. These credit facilities are also further secured by irrevocable personal guarantees of two of the Directors, Shri Arun Bhandari and Shri Lalit Bhandari.

Peformance Obligations

Sales of Product: Performance obligation in respect of sales of goods is satisfied when the controls of the goods is transferred to the customer, generally on delivery of the goods and payment is generally due as per the terms of contract with customers. Sales of Services: Performance obligation in respect of sales of service is satisfied over a period of time and the acceptance of the customers. In respect of these services, payment is generally due upon the completion of services and acceptance from the customers.

The Company does not have any remaining performance obligation as contracts entered for sales of goods and sales of service are for a shorter duration.

* The Company collects the Goods and Service Tax (GST) on behalf of the Government, hence the GST is not included in

The Company does not holds quoted or unquoted debentures or bonds, which are being measured at Fair Value through Other Comprehensive Income (FVTOCI), so the reporting under the “Ind AS - 109, Fair Value” is not applicable to the Company for all the reporting periods presented in the standalone financial statements.

ii) Financial Instruments measured at Fair Value through Profit or Loss

The Company neither holds any unquoted equity shares (other than investments in associates, which are being measured at amortized costs) nor holds foreign currency forward exchange contracts nor holds quoted mutual funds, which are being measured at Fair Value through Profit and Loss (FVTPL), so the reporting under the ''"Ind AS -109, Fair Value” is not applicable to the Company for all the reporting periods presented in the standalone financial statements.

The Company has not any financial liabilities which are being measured at Fair Value through Profit or Loss (FVTPL), so the reporting under the “IndAS - 109, Fair Value” is not applicable to the Company in respect of all the reporting periods presented in standalone financial statements.

iii) Financial Instruments measured at Amortized Costs

The carrying amount of financial assets and financial liabilities measured at amortized costs in the standalone financial statements are a reasonable approximation of the fair value since the Company does not anticipate that the carrying amounts would be significantly different from the values that would eventually be received or settled.

36B - Financial Risk Management - Objectives and Policies

The Company’s financial liabilities mainly comprise the borrowings in foreign as well as Indian currency, retention money, trade and other payables. The main purpose of these financial liabilities is to finance the Company’s business operations and to provide guarantees to support its operations. The Company’s principal financial assets mainly comprise of investments, security deposits, cash and cash equivalents, other balances with banks, trade and other receivables that derive directly from its business operations.

The Company is exposed to the Market Risk, Credit Risk and Liquidity Risk from its financial instruments. The Board of Directors ("the Board”) oversees the management of these financial risks. The risk management policy of the Company formulated by the Company’s management and approved by the Board of Director’s, which states the Company’s approached to address uncertainties in its endeavor to achieve its stated and implicit objectives. It prescribes the roles and responsibilities and the Company’s managements, the structure for managing the risk and the framework for risk management. The framework seeks to identify, assess and mitigate the financial risks in order to minimize the potential adverse effect on the Company’s financial performance. The Board has taken necessary actions to mitigate the risks identified basis the information and situation presents.

The following disclosures summarize the Company’s exposure to the financial risks and the information regarding use of derivatives employed to manage the exposures to such risks. Quantitative sensitivity analysis has been provided to reflect the impact of reasonably possible changes in market rate on financial results, cash flows and financial positions of the Company.

1) Market Risk

Market risk is the risk that the fair value of future cash flows of a financial instruments will fluctuate because of changes in the market prices. Market risk comprises three types of Risk: “Interest rate risk, Currency risk and

Other price risk”. Financial instruments affected by the market risk includes loans and borrowings in foreign as well as domestic currency, deposits, retention money, trade and other payables and trade receivables

a) Interest Rate Risk

Interest rate risk is the risk that fair value or future cash outflows of a financial instruments will fluctuate because of changes in the market interest rates. An upward movement in the interest rate would adversely affect the borrowing costs of the Company. The Company is exposed to long-term and short-term borrowings. The Company manages interest rate risk by monitoring, its mix of fixed and floating rate instruments and taking actions as necessary to maintain an appropriate balance. The Company has not used any interest rate derivatives.

b) Foreign Currency Risk

Foreign currency risk is the risk that the fair value or future cash outflows of an exposure will fluctuate due to changes in foreign exchange rates. The Company operates globally, and the portion of the business is transacted in several currencies and consequently the Company is exposed to foreign exchange risk through its sales in overseas and purchases from overseas suppliers in foreign currency. The foreign currency exchange rate exposure is partly balance by purchasing of the goods in the respective currencies.

The above table represents the total exposure of the Company towards its foreign exchange denominated monetary items. The Company has not hedged its foreign currency exposure during the reporting period and previous report ing period. The details of unhedged exposures are given as part of “Note No. 49B”.

The Company is mainly exposed to changes in USD ($) and EURO (€). The below table demonstrate the sensitivity to a 5% increase or decrease in USD ($) against INR and EURO (€) against INR, considering with all other variable remains constant. The sensitivity analysis are prepared on the net unhedged exposure of the Company as at the reporting period and previous reporting period. 5% represents the management’s assessment of reasonably change in foreign exchange rate.

c) Other Price Risk-

Other price risk is the risk that the fair value of a financial instruments will fluctuate due to changes in market traded price. Other price risk arises from financial assets such as investments in quoted equity instruments. The Company is exposed to price risk arising mainly from investments in quoted equity instruments recognized at FVTOCI. As at March 31, 2023, the carrying value of such quoted equity instruments recognized at amounts FVTOCI amounts to '' 00.38 Lakhs (March 31, 2022 '' NIL). The details of such investments in equity instruments are given in “Note No. 5”.

The Company is mainly exposed to changes in market traded rate of its investments in quoted equity instruments recognized in other comprehensive income. A sensitivity analysis demonstrating the impact of change in market prices of these instruments from the prices existing as at the reporting date is given below:

If the equity prices had been higher / lower by 10% from the market price existing as at March 31, 2023, Other comprehensive income (OCI) for the period ended would increase by '' 00.03 Lakhs (Prev Year '' NIL) and decrease by '' 00.03 Lakhs (Prev Year '' NIL) respectively with a corresponding increase / decrease in total equity of the Company as at March 31, 2023. 10% represents the management’s assessment of reasonably possible changes in equity prices.

2) Credit Risk

Credit Risk refers to the risk that the counterparty will default on its contractual obligations resulting in financial losses to the Company. Credit risk arises primarily from financial assets such as trade receivables, other balances with banks and other financial assets with the Company.

The Company has adopted a policy of only dealing with counterparties that have sufficiently high credit rating. The Company’s exposure and credit ratings of its counterparties are continuously monitored and the aggregate value of transactions is reasonably spread amongst the counterparties.

Credit risk arising from term deposits and other balances with banks is limited and there is no collateral held against these because the counterparties are banks and recognized financial institutions with high credit rating assigned by the international credit rating agencies.

The average credit period on sale of products ranges from 60 to 90 days. Credit risk arising from trade receivable is managed in accordance with the Company’s established policy, procedures and control relating to customer credit risk management. Credit quality of a customer is assessed based on detailed study of creditworthiness and accordingly individual credit limits are defined / modified. The concentration on credit risk is limited due to the fact that the customer base is large. There is no customer representing more than 10% of total balance of its trade receivables. For trade receivables, as a practical expedient, the Company computes credit loss allowance based on provision matrix. The provision matrix is prepared on historically observed default rate over the expected life of trade receivable and is adjusted for forward-looking estimate. The provision matrix at the end of reporting period as follows:

3) Liquidity Risk

Liquidity risk is the risk that the Company will encounter difficulty in raising the funds to meet the commitments associated with financial instruments that are settled by delivering cash or another financial assets. Liquidity risk may result from an inability to sell a financial assets quickly at close to its fair value.

The Company has an established liquidity risk managements framework for managing its short-term, medium-term and long-term funding and liquidity management requirements. The Company’s exposure to liquidity risk arises primarily from mismatches of the maturities of financial assets and liabilities. The Company manages the liquidity risk by maintaining adequate funds in the cash and cash equivalents. The Company also has adequate credit facilities agreed with banks to ensure that there is sufficient cash to meet all its normal operating commitment in a timely and cost-effective manner.

The Company believes that its liquidity positions {As at March 31, 2023''255.90 Lakhs (Prev Year '' 142.59 Lakhs)}, anticipated future internally generated funds from operations, and its fully available revolving undrawn credit facilities will enable it to meet its future known obligations in the ordinary course of business. However, if liquidity needs were to arise, the Company believes it has access to financing arrangements, value of unencumbered assets, which should enable it to meet its ongoing capital, and other liquidity requirements.

The liquidity position of the Company mentioned above, includes:

i) Cash and Cash Equivalents as disclosed in the Cash Flows Statements

ii) Current / Non-current term deposits as disclosed in the financial assets The Company’s liquidity position monitored by the management, includes:

i) Day to day funding, managed by monitoring future cash flows to ensure that requirements can be met;

ii) Maintaining rolling forecasts of the Company’s liquidity position on the basis of expected cash flows;

iii) Maintaining diversified credit lines.

The table below analysis financial liabilities of the Company into the relevant maturity grouping based on the remaining period from the reporting date to the contractual maturity date. The amounts disclosed in the table are the contractual undiscounted cash flows:

36C - Capital Management

The Company adheres to a robust Capital Management framework which is underpinned by the following guiding

principles;

a) Maintain the financial strength to ensure BBB stable ratings domestically and investment grade ratings internationally.

b) Ensure financial flexibility and diversify the source of financing and their maturities to minimize liquidity risk while meeting its investment requirements.

c) Ensure sufficient liquidity is available (either through cash and cash equivalents, investments or committed credit facilities) to meet the need of business.

d) Minimize the finance costs while taking into considerations current and future industry, market and economic risks and conditions.

e) Safeguard its ability to continue as going as a going concern.

f) Leverage optimally in order to maximize shareholders returns while maintaining strength and flexibility of the Balance Sheet.

This framework is adjusted based on underlying macro-economic factors affecting business environment, financial

market conditions and interest rates environment.

The Board of Directors of the Company has primary responsibilities to maintain a strong capital base and reduce the cost of capital through a prudent management of deployed fund and leveraging in domestic and international financial market so as to maintain investors, creditors and market confidence and to sustain future development of the business.

For the purpose of the Company’s capital management, capital includes issued capital and all other equity reserves attributable to the equity shareholders of the Company. The primary objective of the Company when managing capital is to safeguard its ability to continue as a going concern and to maintain an optimal capital structure so as to maximize shareholders value.

As at March 31, 2023, the Company has only one class of equity shares and has low debts. Consequent to such capital structure, there are no externally imposed capital requirements. In order to maintain or achieve an optimal capital structure, the Company allocates its capital for distribution as dividend or reinvestments into business based on its longterm financial plans.

The Company manages its capital on the basis of Net Debt to Equity Ratio which is Net Debt (Total Borrowings net of Cash and Cash Equivalents) divided by total equity.

(a) Decline in the EBITDA margin and simultaneously increment in the rate of interest on borrowings as compared to the previous reporting period has led to decline in DSCR.

(b) Lower effeciency in making the profit as compared to the previous reporting period has led to decline in Return of Equity (ROE).

(c) Decline in the net profit as compared to the previous reporting period has led to decline in the Net Profit Ratio.

(d) Lower the return on investment and profit has led to decline in the Return on Capital Employed.

(e) Increase in rate of interest on term deposits as compared to the previous reporting period had led to improve the Return on Term Deposits.

41 Segment Reporting

The segment reporting of the Company has been prepared in accordance with Ind AS - 108, “Operating Segments” {specified under the section 133 of the Companies Act, 2013 read together with Companies (Indian Accounting Standard) Rule, 2015, as amended, time to time}. For the Company’s management purpose, the Company is organized into the business unit based on its products and services and has four reportable segment. Opearting Segments disclosure are consistent with the information provided to and reviewed by the Chief Operating Decision Maker (CODM) are as follows: The Board of Directors of the Company monitors the operating results of its business segments separately for the purpose of making decisions about resource allocation and performace assessments. Segment performance is evaluated based on profit or loss and is measured consistently with profit and loss in the standalone financial statements. Operating Sgement have been identified on the basis of the nature of products / services and have been identified as per the quatitative criteria sepcified in the Ind AS.

Revenue and expenses have been identified to a segment on the basis of relationship to operating activities of the segment. Revenue and expenses which relates to enterprises as a whole and are not allocable to a segments on reasonable basis have been disclosed as “unallocable”.

Segment assets and liabilities represents assets and liabilities in respective segments. Investments, taxe related assets, borrowings and other assets and liabilities that can not be allocatted to a segment on reasonable basis have been disclosed as “unallocable”.

42 Employee Benefits 1 Post Employment Benefits

i) Defined Benefit Gratuity Plan (Unfunded)

The Company has defined benefits gratuity plan for its employees, which requires contribution to be made to a separately administered fund. It is governed by the Payment of Gratuity Act, 1972. Under the Act, employee who has completed five year of services are only entitled to the specific benefits. The level of benfits provided depend on the member’s length of service and salary at retirement age.

ii) Defined Benefit Pension Plan (Unfunded)

The Company operates a defined benefits pension plan for certain specified employees and is payable upon the employee satisfying certain terms and conditions attached to them, as approved by the Board of Directors of the Company.

iii) Defined Benefit Post Retirement Medical Benefit Plans (Unfunded)

The Company operates a defined benefits post-retirement medical benefits plan for certain specified employees and is payable upon the employee satisfying the certain terms and conditions attached to them, as approved by the Board of Directors of the Company.

The most recent actuarial valuation of the plan assets and the present value of defined benefit obligation were carried out as at March 31, 2023 by Mr. Ashok Kumar Garg, Fellow of Institute of Actuaries of India. The present value of defined benefits obligation and the related current service cost were measured by using the “Projected Unit Credit Method”.

The following tables summarise the components of defined benefits expense recognized in the Statement of Profit and Loss / Other Comprehensive Income and amount recognized in the Balance Sheets for the respective plans:

2 Defined Contribution Plans

i) Provident Fund

The provident fund assets and liabilities are managed by the Company in line with the Employees’ Provident Fund and Miscellaneous Provision Act, 1952.

The plan guarantees minimum interest at the rate notified by the Provident Fund Authorities. The contribution by the employer and employee together with interest accumulated thereon are payable to employees at the time of separation from the Company or retirement, whichever is earlier. The benefit vests immediately on rendering of the service by the employee. In term of Guidance Note isused by the Institute of Actuaries of India for measurement of provident fund liabilities, the Actuary has provided a valuation of provident fund liabilities and based on assumptions provided. There is no Shortfall in the contribution as at March 31, 2023.

3 Other Long - Term Employee Benefits

i) Annual Leave and Sick Leave Assumptions

The liability towards compensated absenses (annual leave and sick leave) for the year ended on March 31, 2023 based on Actuarial Valuation carried out by using the Project Unit Credit Method is '' 17.33 Lakhs (Prev Year '' 19.19 Lakhs).

Note No. 43 Information on Related Party Transaction as required by Indian Accounting Standards - 24 - “RELATED PARTY DISCLOSURE” for the year ended March 31, 2023.

Related parties as defined under clause 9 of the Ind AS 24 have been identified on the basis of representations made by the Company’s management and information available with the Company. The Company’s material related party transactions and outstanding balances with whom the Company had entered into the transactions in the ordinary course of Business are as follows:

Terms and Conditions with the transactions with Related Parties as under:

a) The Company has been entering into transactions with related parties for its business purpose. The process followed for entering into transactions with these related parties are same as followed for unrelated party. Vendor’s are selected competitively having regard to strict adherence to quality, timely servicing and cost advantage. Further related party vendors provide additional advantage in term of:

i) Supplying products primarily to the Company;

ii) Advanced and innovative technology;

iii) Customization of products to suit the Company’s specific performance;

iv) Enhancement of the Company’s purchase cycle and assurance of just in time supply with resultant benefits - notably

on working capital.

b) The purchases from and sales to related parties are made on terms equivalents to and those applicable to all unrelated parties on arm’s length transactions.

c) Outstanding balances of the related parties at the end of the Reporting Period are unsecured, interest free and will be settled in the cash on demand basis.

44 Additional Regulatory Information as required by the Schedule - III of the Companies Act, 2013”

i) The Company has used the borrowings from banks and financial institutions for the specific purpose for which it was taken as at the balance sheet date. The Company has not defaulted in the repayment of principal and interest thereon on all the loans obtained from banks and financial institutions during the reporting period and previous reporting period.

ii) The title deed in respect of self-constructed building and title deeds of all other immovable properties (other than properties where the Company is the lessee and the lease agreements are duly executed in the favor of the Company), disclosed in the standalone financial statements and included under the head of property, plants and equipments are held in the name of the Company as at the Balance Sheet date. Inrespect of the immovable properties taken on lease by the Company, the lease agreements are duly executed in the favor of the Company as at the Balance Sheet date.

iii) There are no loans and advances in the nature of loans are granted to promoters, directors, key managerial parties and the other related parties including the subsidiaries, associates and joint ventures (as defined under the Companies Act, 2013), either severally and jointly with any other person that are:

a) repayable on demand or;

b) without specifying any terms or period of repayments.

iv) The Company does not have benami property held in its name. No proceeding have been initiated on or are pending against the Company for holding benami property under the Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and the relevant Rules made thereunder.

v) The Company has been sanctioned working capital limit from bank and financial institutions on the basis of security of current assets. The monthly / quarterly returns and the statements filed by the Company with such banks and financial institutions are in agreements with the books of accounts of the Company.

vi) The Company has not been declared as willful defaulter by the banks and the financial institutions or other lender or government or any government authorities.

vii) The Company has not been entered any transactions with the companies struck off as per the section 248 of the Companies Act, 2013 or Section 560 of the Companies Act, 2013, hence the details related to the same has not been furnished.

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

ix) The Company has complied with the requirements with respect to the number of layers as prescribed under section 2(87) of the Companies Act, 2013 read with the Companies (Restriction on number of layers) Rules, 2017.

x) Utilization of borrowed funds and share premium

1) The Company has not advanced or loaned or invested funds to any other persons or entities, including foreign entities (intermediaries) with the understanding that the intermediaries 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.

2) The Company has not received any funds from persons or entities, including foreign entities (Funding Parties) 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 to or on behalf of the Ultimate beneficiaries.

xi) There has been no transactions relating to previously unrecorded income that have been surrendered or disclosed as income during the reporting period and previous reporting period in the tax assessments under the Income Tax Act, 1961.

xii) The Company has neither traded nor invested nor advanced in Crypto or Virtual Currency during the reporting period and previous reporting period.

45	Contingent Liabilities
		31.03.2023	31.03.2022
	Contingent Liabilities a) Bank Guarantees given by the Company''s Banker''s towards the MSEDCL	209.38	165.06
	Security Deposits and Others b) Bill discounted with the Company''s Banker''s under the Letter of Credit	20.73	253.74
	c) Bill discounted by the Company''s Banker''s under the Letter of Credit	-	275.46
	Total...(?)(A)	230.10	694.26
	d) Central Excise Duty and Service Tax demand pending along with	174.79	174.79
	Additional Commissioner Nagpur - II* Less: Dutv paid Under Protests	(33.22)	(33.22)
	Total...(?)(B)	141.57	141.57
	Total...(?)(A B)	371.68	835.83
	* The above claims are pending before Hon’able Bombay High Court, Nagpur Bench. The Company’s management including advisors expect that its position will likely be upheld on ultimate resoultion and will not have a material
	adverse effect on the Company’s standalone financial statements.
46	Capital and Other Commitments
		31.03.2023	31.03.2022
	Capital Commitments Estimated amount of contracts remaining to be executed by the Company on Capital and not provided for; towards Property, Plants and Equipments	474.53	1,549.46
	towards Intangible Assets	-	-
	Total Capital Commitments...O(A)	474.53	1,549.46
	Other Commitments Bill discounted and letter of credit issued by the Company''s Bankers	20.73	253.74
	For derivative contract related commitments	-	-
	Total Other Commitments...Q(B)	20.73	253.74
	Total...(?)(A B)	495.25	1,803.20

a) a) Estimated amount of contracts remaining to be executed on capital account, net of advances given and not provided for as at March 31, 2023 is '' 474.53 Lakhs (Prev Year '' 1,549.46 Lakhs).

b) Estimated amount of Commitments as at March 31, 2023 is '' 495.25 Lakhs (Prev Year '' 1,803.20 Lakhs).

47 Corporate Social Responsibility

As per the Section 135 of the Companies Act, 2013, a Company, meeting its applicability thershold, need to spend at least 2% of its Average Net Profit for the immediately preceeding three financial year on Corporate Social Responsibility (CSR) Activities. The area of CSR Activity are eradication of hunger and malnutrition, promoting education, art and culture, healthcare, destitute care and rehabilitation, environment sustainability, disaster relief and rural development projects. A CSR Committee has been formed as per the requirement of the Companies Act, 2013. The funds has been adminstrated by the said Committee, once it is allocated to the Corpus for the purpose of CSR activities, prescribed under Schedule VII of the Companies Act, 2013.

a) Corporate Social Responsibility required to be spent as per Section 135 of the Companies Act, 2013 read with the Schedule VII thereof, the Company during the reporting period ended at March 31, 2023 is '' 52.29 Lakhs (Prev Year '' 49.53 Lakhs).

b) Expenditure related to Corporate Social Responsibility is '' 59.05 Lakhs out of those '' 06.73 Lakhs commitments made previous financial period spent during the current financial period (Prev Year March 31, 2022 '' 54.78 Lakhs).

The Board of Director’s of the Holding Company has not declared any interim dividend during the current reporting period and previous reporting period.

Proposed Dividend

The Board of Director’s at their meeting held on May 27, 2023 have recommended a payment of final dividend of '' 1.00 per Equity Share of the Face Value of '' 10 per Equity Share i.e. 10% of the Face Value of Equity Share for the financial period ended at March 31, 2023. The Company has proposed '' 254.03 Lakhs as a final dividend subject to the approval of shareholders at their ensuing Annual General Meeting (AGM) of the Company, hence it is not recognized as a “Liabilities” in the Ind AS standalone financial statements.

49 Details of Hedged and Unhedged Exposures in Foreign Currency Denominated Monetary Items A) Exposure in Foreign Currency - Hedged

The Company does not enters into any forward exchange contracts to hedge its foreign currency exposures relating to the underlying transactions and firm commitments. The Company also does not enter into any kind of derivative instruments for trading and speculation purposes during the current reporting period and previous reporting period.

51 The Standalone Financial Statements are approved for issue by the Audit Committee at its meeting held on May 27, 2023 and by the Board of Directors on their meeting held on May 27, 2023.

52 Previous years audited figures has been regrouped / recasted / rearranged wherever necessary to make them comparable for the purpose of preparation and presentation of Standalone Financial Statements.

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Mar 31, 2021

i Terms / Rights attached to Equity Shares

i) The Company has only one class of shares - referred to as - Equity shares having a par value of '' 10 per share. Each holder of Equity Shares is entitled to one vote per share.

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

iii) The Company declares and pays the dividend in Indian Rupees (''). The final dividend proposed by the Board of Directors is subject to the approval of the shareholders in their ensuing Annual General Meeting, except in case of interim dividend.

Description of Nature and Purpose of the Reserves

a) General Reserve:- General Reserve is created from time to time by way of transfer of proportion profit from retained earnings for the purpose of appropriation. General Reserve is created by a transfer from one component of Equity to the another Component of the Equity and it is not a part of Other Comprehensive Income.

b) Securities Premium:- Securities Premium Account is used to record the premium on issue of Equity Share. Theses reserve is mainly utilized in accordance with the provisions of the Companies Act, 2013.

c) Capital Reserve:- Capital Reserve was created on the Capital Incentive received from Sales Tax Department for the purpose of setting up the manufacturing plants. The Incentive has attached certain terms and conditions, non compliance of those terms and conditions would render the forfeiture of the Incentive.

a) Working Capital Loan from the Axis Bank Limited are secured by first pari - passu charge on the hypothecation of entire Inventories, Book Debts, Receivables and Other Current Assets with the Company presently held and held in the near future and the second pari - passu charge at the Factory Land and Building situtated at Bhandara and Factory Land and Building situated at B - 28, Industrial Area, MIDC, Hingna Road, Nagpur. These credit facilities are also further secured by Irrevocable Personal Guarantees of two of the Directors, Shri Arun Bhandari and Shri Lalit Bhandari.

b) Working Capital Loan from the ICICI Bank Limited are secured by first pari - passu charge on the hypothecation of entire Inventories, Book Debts, Receivables and Other Current Assets with the Company presently held and held in the near future and the second pari - passu charge on all the entite Properties, Plants and Equipments related with the Company presently held and held in near future. These credit facilities are secured with the Factory Land and Building situated at Moregaon, Bhandara. These credit facilities are further secured by Irrevocable Personal Guarantees of two of the Directors, Shri Arun Bhandari and Shri Lalit Bhandari.

c) Working Capital Loan from the CITI Bank Limited are secured by first pari - passu charge on the hypothecation of entire Inventories, Book Debts, Receivables and Other Current Assets with the Company presently held and held in the near future and the first pari - passu charge on all the entite Properties, Plants and Equipments related with the Company presently held and held in near future. These credit facilities are secured with the Factory Land and Building situated at Moregaon and Neri situated at Bhandara District and Hingna, Nagpur. These credit facilities are further secured by Irrevocable Personal Guarantees of two of the Directors, Shri Arun Bhandari and Shri Lalit Bhandari.

d) Channel Finance Credit facilities of BALCO and NALCO from the Axis Bank Limited are unsecured and sanctioned on the Irrevocable Personal Guarantees of two of the Directors, Shri Arun Bhandari and Shri Lalit Bhandari.

# Acceptance include the arrangments where operational suppliers of goods and services are initially paid by the Banks and Financial Institutions while Company continues to recognise the liability till the settlement with the Banks and Financial Institutions which are normally effected within a period of 90 days amounting to '' 483.26 Lakhs (Prev Year '' 596.04 Lakhs).

** The Company has certain dues to the suppliers of Micro, Small and Medium Enterprises Development Act, 2006 (“MSMED Act 2006”). The disclousre pursuant to the said MSMED Act, 2006 are as follows:

i) Financial Instruments measured at fair value through other comprehensive income

The Company neither holds any quoted or unquoted equity shares nor holds quoted or unquoted debentures or bonds nor holds quoted or unquoted mutual funds, so the reporting under the “Ind AS - 109, Fair Value” is not applicable to the Company for all the Reporting Periods presented in the Ind AS financial statements.

The Company has not any financial liabilities which have to be measured at fair value through profit or loss so the reporting under the “Ind AS - 109, Fair Value” is not applicable to the Company in respect of all the reporting periods presented in Ind AS financial statements.

ii) Financial Instruments measured at fair value through profit or loss

The Company neither holds any quoted or unquoted equity shares nor holds quoted or unquoted debentures or bonds nor holds quoted or unquoted mutual funds, so the reporting under the “Ind AS - 109, Fair Value” is not applicable to the Company for all the Reporting Periods presented in the Ind AS financial statements.

The Company has not any financial liabilities which have to be measured at fair value through profit or loss so the reporting under the “Ind AS - 109, Fair Value” is not applicable to the Company in respect of all the reporting periods presented in Ind AS financial statements.

iii) Financial Instruments measured at amortized cost

The carrying amount of financial assets and financial liabilities measured at amortized cost in the presented Ind AS financial statements is a reasonable approximation of the fair value since the Company does not anticipate that the carrying amounts would be significantly different from the value that would eventually be received or settled.

“Note No. - 36B” - Financial Risk Management - Objectives and Policies

The Company’s financial liabilities mainly comprise the loans and borrowings in foreign as well as domestic currency, retention money related to capital expenditures, trade and other payables. The main purpose of these financial liabilities is to finance the Company’s operations. The Company’s financial assets comprise mainly of investments, security deposits, cash and cash equivalents, other balances with banks, trade and other misc. receivables that derive directly from its business operations.

The Company is exposed to the Market Risk, Credit Risk and Liquidity Risk from its financial instruments.

The Board of Directors (“the Board”) oversees the management of these financial risks through its Risk Management Committee. The Risk Management Policy of the Company formulated by the Risk Management Committee and approved by the Board, states the Company’s approached to address uncertainties in its endeavor to achieve its stated and implicit objectives. It prescribes the roles and responsibilities and the Company’s managements, structure for managing the risk and the framework for Risk Management. The framework seeks to identify, assess and mitigate the financial risk in order to minimize the potential adverse effect on the Company’s financial performance.

The following disclosures summarize the Company’s exposure to the financial risks and the information regarding use of derivatives employed to manage the exposures to such risks. Quantitative Sensitivity Analysis has been provided to reflect the impact of reasonably possible changes in market rate on financial results, cash flows and financial positions of the Company.

1) Market Risk

Market Risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market prices. Market Risk comprises three types of Risk: “Interest Rate Risk, Currency Risk and Other Price Risk”. Financial instrument affected by the Market Risk includes loans and borrowings in foreign as well as domestic currency, retention money related to capital expenditures, trade and other payables.

a) Interest Rate Risk

Interest Rate Risk is the risk that fair value or future cash outflows of a financial instrument will fluctuate because of changes in market interest rates. An upward movement in the interest rate would adversely affect the borrowing cost of the Company. The Company is exposed to long term and short - term borrowings. The Company manages interest rate risk by monitoring its mix of fixed and floating rate instruments and taking actions as necessary to maintain an appropriate balance. The Company has not used any interest rate derivatives.

b) Foreign Currency Risk

Foreign Currency Risk is the risk that the fair value or future cash outflows of an exposure will fluctuate due to changes in foreign exchange rates. The Company operates globally, and the portion of the business is transacted in several currencies and consequently the Company is exposed to foreign exchange risk through its sales in overseas and purchases from overseas suppliers in various foreign currency. The foreign currency exchange rate exposure is partly balance by purchasing of the goods in the respective currencies.

The Company enters into forward exchange contracts with one - year maturity to hedge against its foreign currency exposures relating to recognized underlying the liabilities and firm commitments. The Company’s policy is to hedge its exposures above pre - defined thresholds from recognized liabilities and firm commitments that fall due in the prescribed time limits. The Company does not enter into any derivative instruments for trading or speculative purpose.

The above table represents the total exposure of the Company towards its foreign exchange denominated liabilities (net). The details of the exposure hedged using forward exchanges contracts are given as a part of “Note No. 41A”, if any and the details of unhedged exposures are given as part of “Note No. 41B”, if any.

The Company is mainly exposed to changes in USD ($). The below table demonstrate the sensitivity to a 5% increase or decrease in USD ($) against INR, considering with all other variable constants. The sensitivity analysis is prepared on the net unhedged exposure of the Company at the reporting date. 5% represents management’s assessment of reasonably change in foreign exchange rate.

c) Other Price Risk

Other Price Risk is the Risk that the fair value of a financial instrument will fluctuate due to changes in market traded price. Other Price Risk arises from financial assets such as investments in equity instruments and bonds. The Company is exposed to price risk arising mainly from investments in equity instruments recognized at FVTOCI. As at March 31, 2021, the carrying value of such equity instruments recognized at amounts FVTOCI amounts to '' NIL (March 31, 2020 '' NIL).

The Company is not exposed to price risk arising from investments in bonds recognized at FVTOCI.

2) Credit Risk

Credit Risk refers to the risk that the counterparty will default on its contractual obligations resulting in financial losses to the Company. Credit Risk arises primarily from financial assets such as trade receivables, cash and cash equivalents, other balances with banks and other financial assets.

The Company has adopted a policy of only dealing with counterparties that have sufficiently high credit rating. The Company’s exposure and credit ratings of its counterparties are continuously monitored and the aggregate value of transactions is reasonably spread amongst the counterparties.

Credit Risk arising from other balances with banks is limited and there is no collateral held against these because the counterparties are banks and recognized financial institutions with high credit rating assigned by the international credit rating agencies.

The average credit period on sale of products is less than 60 days. Credit Risk arising from trade receivable is managed in accordance with the Company’s established policy, procedures and control relating to customer credit risk management. Credit quality of a customer is assessed based on detailed study of credit worthiness and accordingly individual credit limits are defined / modified. The concentration on credit risk is limited due to the fact that the customer base is large. There is no customer representing more than 5% of total balance of trade receivables. For trade receivables, as a practical expedient, the Company computes credit loss allowance based on provision matrix. The provision matrix is prepared on historically observed default rate over the expected life of trade receivable and is adjusted for forward - looking estimate. The provision matrix at the end of reporting period as follows:

3) Liquidity Risk

Liquidity Risk is the risk that the Company will encounter difficulty in raising the funds to meet the commitments associated with financial instruments that are settled by delivering cash or another financial asset. Liquidity risk may result from an inability to sell a financial asset quickly at close to its fair value.

The Company has an established liquidity risk management framework for managing its short term, medium term and long - term funding and liquidity management requirements. The Company’s exposure to liquidity risk arises primarily from mismatches of the maturities of financial assets and liabilities. The Company manages the liquidity risk by maintaining

adequate funds in the cash and cash equivalents. The Company also has adequate credit facilities agreed with banks to ensure that there is sufficient cash to meet all its normal operating commitment in a timely and cost - effective manner.

Notes - 36C” - Capital Management

The Company adheres to a robust Capital Management framework which is underpinned by the following guiding principles;

a) Maintain the financial strength to ensure BBB ratings domestically and Investment grade ratings internationally.

b) Ensure financial flexibility and diversify source of financing and their maturities to minimize liquidity risk while meeting investment requirements.

c) Ensure sufficient liquidity is available (either through cash and cash equivalents, investments or committed credit facilities) to meet the need of business.

d) Minimize the finance costs while taking into considerations current and future industry, market and economic risks and conditions.

e) Safeguard its ability to continue as going as a going concern.

f) Leverage optimally in order to maximize shareholder returns while maintaining strength and flexibility of the Balance Sheet.

This framework is adjusted based on underlying macro - economic factors affecting business environment, financial market conditions and interest rates environment.

The Board of Director of the Company has primary responsibilities to maintain a strong capital base and reduce the cost of capital through prudent management of deployed fund and leveraging in domestic and international financial market so as to maintain investor, creditor and market confidence and to sustain future development of the business.

For the purpose of the Company’s Capital Management, Capital includes issued capital and all other equity reserves attributable to the equity shareholders of the Company. The primary objective of the Company when managing capital is to safeguard its ability to continue as a going concern and to maintain an optimal capital structure so as to maximize shareholders value.

As at March 31, 2021, the Company has only one class of equity shares and has low debts. Consequent to such capital structure, there are no externally imposed capital requirements. In order to maintain or achieve an optimal capital structure, the Company allocates its capital for distribution as dividend or reinvestment into business based on its long - term financial plans.

The Company manages its capital on the basis of Net Debt to Equity Ratio which is Net Debt (Total Borrowings net of Cash and Cash Equivalents) divided by total equity.

39 Corporate Social Responsibilities

As per the Section 135 of the Companies Act, 2013, A Company, meeting its applicability thershold, need to spend at least 2% of its Average Net Profit for the immediately proceeding three financial year on Corporate Social Responsibilities (CSR) Activities. The area of CSR Activity are eradication of hunger and malnutrition, promoting education, art and culture, healthcare, destitute care and rehabilitation, environment sustainability, disaster relief and rural development projects. A CSR Committee has been formed as per the requirement of the Companies Act, 2013. The Fund has been adminstrated by the Committee once it is allocated to the Corpus for the purpose of CSR Activities prescribed under Schedule VII of the Companies Act, 2013.

a) Corporate Social Responsibilities required to be spent as per Section 135 of the Companies Act, 2013 read with the Schedule VII thereof the Company during the Reporting Period March 31, 2021 is '' 51.92 Lakhs (March 31, 2020''47.97 Lakhs).

The Company has made the commitment for spending the '' 11.99 Lakhs (Prev Year '' 15.11 Lakhs) towards Corporate Social Responsibilities to make the aggregate spending equivalents to at least two percent (2%) of the average net profit of the Company made during the three immediately preceeding financial year.

Dividend

Proposed Dividend

The Board of Director’s at their meeting held on June 23, 2021 have recommended a payment of Final Dividend of '' 1.00 per Equity Share of the Face Value of '' 10 per Equity Share for the financial year ended March 31, 2021. The Company has proposed '' 254.03 Lakhs as a Final Dividend subject to the approval of Shareholder at the ensuing Annual General Meeting of the Company and hence it is not recognized as a “Liabilities” in the Ind AS Financial Statements.

Details of Hedge and Unhedged Exposures in Foreign Currency Denominated Monetary Items Exposure in Foreign Currency - Hedged

The Company does not enters into any forward exchange contracts to hedge its foreign currency exposures relating to the underlying transactions and firm commitments. The Company also does not enter into any kind of derivative instruments for trading and speculation purposes during the reporting period.

42 Segment Reporting Basis of Segmentation

Factor used to identify the Reportable Segments

The Company has following Business Segments, which are its reportable segments. These Segments offered differents products and services, the different risk and returns and the internal reporting struture and are managed seperatly because they require different technology and production processes. Opearting Segments disclosure are consistent with the information provided to and reviewed by the Chief Operating Decision Maker (CODM).

43 Employee Benefits 1 Post Employment Benefits

i) Defined Benefit Gratuity Plan (Unfunded)

The Company has defined benefit gratuity plan for its employees, which requires contribution to be made to a separately administered fund. It is governed by the Payment of Gratuity Act, 1972. Under the Act, employee who has completed five year of services is only entitled to specific benefits. The level of benfits provided depend on the member’s length of service and salary at retirement age. The fund has form of trust and it is governed by Board of Trustee. The Board of Trustee is responsible for administration of the plan assets including Investment of the funds in accordance with the norms prescribed by the Government of India.

ii) Defined Benefit Pension Plan (Unfunded)

The Company operates a defined benefit pension plan for certain specified employees and is payable upon the employee satisfying the certain conditions, as approved by the Board of Trustee.

iii) Defined Benefit Post Retirement Medical Benefit Plans (Unfunded)

The Company operates a defined benefit post retirement medical benefit plan for certain specified employees and is payable upon the employee satisfying the certain conditions, as approved by the Board of Trustee.

The most recent actuarial valuation of the plan assets and the present value of defined benefit obligation were carried out as at March 31, 2021 by Mr. Ashok Kumar Garg, Fellow of Institute of Actuaries of India. The present value of defined benefit obligation and the related current service cost were measured by using the Projected Unit Credit Method.

The following tables summarise the components of defined benefit expenses recognized in the Statement of Profit and Loss / Other Comprehensive Income and amount recognized in the Balance Sheet for the respective plans:

xv) Sensitivity Analysis

Significant Actuarial Assumptions for the determination of the defined benefit obligation are discount rate and expected salary increase rate. Effect of change in mortality rate is negligible. Please note that the sensitivity analysis presented below may not be representative of the actual change in the defined benefit obligation as it is unlikely that the change in assumption would occur in isolation of one another as some of the assumptions may be correlated. The results of sensitivity analysis are given below:

2 Defined Contribution Plans i) Provident Fund

The Provident Fund assets and liabilities are managed by the Company in line with the Employees’ Provident Fund and Miscellaneous Provision Act, 1952.

The plan guarantees minimum interest at the rate notified by the Provident Fund Authorities. The contribution by the employer and employee together with interest accumulated thereon are payable to employees at the time of separation from the Company or retirement, whichever is earlier. The benefit vests immediately on redering of the service by the employee. In term of Guidance Note isused by the Institute of Actuaries of India for measurement of provident fund liabilities. The Actuary has provided a valuation of provident fund liability and based on assumptions provided. There is no Shortfall in the contribution as at March 31, 2021.

3 Other Long Term Employee Benefits i) Annual Leave and Sick Leave Assumptions

The liability towards compensated absenses (annual leave and sick leave) for the year ended on March 31, 2021 based on Actuarial Valuation carried out by using the Project Unit Credit Method is '' 18.27 Lakhs (Prev Year '' 8.47 Lakhs).

Note No. 44: Information on Related Party Transaction as required by Indian Accounting Standards - 24 - “RELATED PARTY DISCLOSURE” for the year ended March 31, 2021.

Disclosure of transactions with Related Parties, as required by “Ind AS 24, Related Party Disclosure” has been set out below. Related parties as defined under clause 9 of the Ind AS 24 have been identified on the basis of representations made by the Company’s Management and information available with the Company. The Company’s material related party transactions and outstanding balances with whom the Company had entered into the transactions in the ordinary course of Business are as follows:

45 Due to the outbreak of COVID - 19 globally and in India, the Company’s Management has made the initial assessment of likely adverse impact on the business and financial risks, and believes that the impact is likely to be in short term in nature. The Mangament does not see any medium to long term risks in the Company’s ability to continue as Going Concern and meeting its liabilities as and when it becomes due.

The Financial Statements are approved for issue by the Audit Committee at its meeting held on June 23, 2021 and by the Board of Directors on their meeting held on June 23, 2021.

Previous years audited figures has been regrouped / recasted / rearranged wherever necessary to make them comparable for the purpose of preparation and presentation of Standalone Financial Statements.

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Mar 31, 2018

1. Corporate Information

MMP INDUSTRIES LIMITED is a Limited Company, domiciled and incorporated under the provisions of Companies Act, 1956. The Company is mainly engaged in the business of Manufacturing of Aluminium Powder, Atomized Powder, Aluminium Pyro and Flake Powder, Aluminium Paste and Aluminium Conductor. The Company is also engaged in trading and manufacturing of MnO and MnO2 Powder. The Registered office of the Company is situated at 211, Shree Mohini Complex, Kingsway, Nagpur (M.S.) - 440001.

1.1 BASIS OF PREPARATION

a) Accounting Convention

These Standalone Financial Statements of the Company have been prepared in accordance with Generally Accepted Accounting Principles in India (“Indian GAAP”). Indian GAAP comprises mandatory accounting standards as prescribed under Section 133 of the Companies Act, 2013 (“the Act”) read with the Rule 7 of the Companies (Accounts) Rules, 2014. The Financial Statements have been prepared on an accrual basis and under the Historical Cost Convention.

Accounting Policies adopted in the preparation of Standalone Financial Statements are consistent with those of previous year except where a newly - issued accounting standard is initially adopted or a revision to an existing accounting standard requires a change in the accounting policy hitherto in use.

b) Use of Estimates

The preparation of the Standalone Financial Statements in conformity with Indian GAAP requires the management to make estimates and assumptions that affect the reported balances of assets and liabilities and disclosures relating to contingent liabilities as at the date of Standalone Financial Statements and reported amounts of income and expenses during the reporting period. Examples of such estimates include computation of percentage of completion which requires the Company to estimate the efforts or costs expended to date as a proportion of the total efforts or costs to be expended, provisions for doubtful debts, future obligations under employee retirement benefit plans, income taxes, post - sales customer support and the useful lives of fixed tangible assets and intangible assets.

Accounting estimates could change from period to period. Actual results could differ from those estimates. Appropriate changes in the estimates are made as the management becomes aware of changes in circumstances surrounding the estimates. Changes in estimates are reflected in the Standalone Financial Statements in the period in which changes are made and, if material, their effects are disclosed in the Notes to the Standalone Financial Statements.

c) Current and Non - Current Classification

An asset or a liability is classified as Current when it satisfies any of the following criteria:

i) It is expected to be realized / settled, or is intended for sales or consumptions, in the Company''s Normal Operating Cycle;

ii) It is held primarily for the purpose of being traded.

iii) It is expected to be realized / due to be settled within twelve months after the end of reporting date;

iv) The Company does not have an unconditional right to defer the settlement of the liability for at least twelve months after the reporting date.

All other assets and liabilities are classified as Non - Current.

For the purpose of Current / Non - Current classification of assets and liabilities, the Company has ascertained its operating cycle as twelve months. This is based on the nature of services and the time between the acquisition of the assets or liabilities for processing and their realization in Cash and Cash Equivalents.

b. Terms / Rights attached to Equity Shares

The Company has issued only one class of Equity Shares having a par value of Rs.10 per Share. Each holder of Equity Shares is also entitled to One Vote per Share.

The Company declares and pays the Dividend in Indian Rupees.

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

2. Share Application Money Pending Allotments

Initial Public Offer (IPO):- The Company, pursuant to the provisions of Section 26 and Section 32 of the Companies Act, 2013 read with the rules made there under, including the SEBI (ICDR) Regulations, 2009 (as amended), and in the terms of Prospectus Dated April 5, 2018, offered 45,00,000 (Forty Five Lakhs) Equity Shares of face value of Rs.10 Each, at a premium of Rs.178 per Equity Share, in the Capital of the Company, through Book Building process, in the Initial Public Offer (IPO). The IPO Bid / Issue opened on Wednesday i.e. the March 28, 2018 and closed on Wednesday i.e. the April 4, 2018, except for Anchor Investors, the Bidding date was Tuesday i.e. the March 27, 2018. The issue and allotment of Equity Shares in the Capital of the Company was made on Tuesday, the April 10, 2018. The designated Stock Exchange - "National Stock Exchange of India Limited", has approved, the listing and trading of Equity Shares in the Capital of the Company, on its SME Platform namely "NSE - EMERGE”, effective from Thursday, the April 12, 2018. Accordingly, a sum of Rs.30,01,60,800 received against Bidding by Anchor Investors was shown as Share Application Money Pending Allotment as on March 31, 2018. Whereas, the changes in the Issued, Subscribed and Paid - up Equity Share Capital, Reserves and Surplus, Accounting of IPO Proceeds and Utilisation thereof, due to the IPO, shall reflect in the financial statements pertaining to the Financial Year 2018 - 2019 ending March 31, 2019.

Terms of Repayments

a) Foreign Curreny Term Loan from ICICI Bank Limited Rs.750.00 Lakhs is payable in 20 Equal Quarterly Installments i.e. Rs.37.50 Lakhs per quarter commencing from November 2015. Interest on the same to be charged seprately on the outstanding amount as per "I - Base" and "Spread" per annum. Nine Installements have already been paid by the Company as at the Reporting date.

b) Hire Purchase Loans of Rs. 8.21 Lakhs from Financial Institutions carries the Interest Range between the 10.18% to 11.75% and the same is to be repaid as per the Repayment Schedules given by the Banks or Financial Institutions.

c) Indian Rupee Loans from Other Parties are Long Term Loans and are repayable on demand basis.

d) Deferred Sales Tax Liability is Interest Free. The same is to be repaid on or before the Financial Year 2018 - 2019.

Nature of Securities

a) The Term Loans from Bank is secured by First Pari - Passu charge by the way of Hypothecation of Factory Lands and Building situated at the Maregaon, Neeri, Hingna and Buitibori and Immovable Machinery at Maregaon and Hingna.

b) Hire Purchase of Loans from Banks and financial institutions is secured by the hypothecation of the related vehicles for which the loans has been obtained.

Nature of Securities

Working Capital Loan from the Banks are secured by the hypothecation of Inventories and Book Debts and the Second Pari - Passu Charge on all the Immovable assets of the Company. These facilities are also secured by the way of Irrevocable Personal Guarantees of two of the Directors, Shri Arun Bhandari and Shri Lalit Bhandari.

3. As Per Accounting Standards 15 "Employee Benefits", the Disclosures as Defined in the Accounting Standard are given below :

The Present Value of Defined Benefit Obligation and the related Current Service Cost were measured using the Project Credit Method, with Actuarial Valuations being carried out at each Balance Sheet Date.

The Following Tables sets out the Funded Status of Gratuity Plan and the amount recognized in the Company''s Balance Sheet as at March 31, 2018.

4. Corporate Social Responsibilities

During the Reporting Period, In term of the requirements of Section 135 of the Companies Act, 2013, the Company has spent a sum of Rs.49.37 Lakhs (Previous Year Rs.3.38 Lakhs) on Corporate Social Responsibilities Activities. The Details of the amount spent during the Reporting Period are given in the Annexures to the Director''s Report.

5. Capital and Other Committments

The Company has estimated the "NIL" (Previous Year : "NIL") amount of Contracts to be executed under the Capital and Other Commitments.

6. Segment Reporting

Segment information has been prepared in confirmity with the Accounting Policies adopted for prepairing and presenting the Financial Statements of the Company.

As a part of Segment Reporting, the Company has no Geographical Segment by its Locations.

A) Business Primary Segment

Primary Segment has been identified based on the Nature of the Products and the Services, the different risk and returns and the Internal Reporting Struture. The Company considers the Business Segment as the Primary Segments for their Disclousres. Details of the products included in the Primary Segments are as under :

a) Aluminium Powder and Pastes Aluminium Power, Aluminium Pastes and Atomized Powder

b) Aluminium Conductor Aluminium Conductor

c) Others Manganese Oxide / Dioxide, Washers, Circlips and Coals

7. Unhedged Foreign Currency Exposures

I) The Company has not entered into any Forward Exchange Contracts to hedge its Foreign Currency Exposures relating to the underlying transactions and firm commitments. No derivative Instruments for trading and speculative purpose had been entered into by the Company during the Reporting Periods.

8. Previous year figures has been recasted / regrouped / restated wherever necessary to make them comparable.