Notes to Accounts of Sahana System Ltd.

Mar 31, 2025

(x) Provisions, Contingent Liabilities and Contingent Assets

Provisions are recognised when the Company has a present obligation (legal or constructive) as a result of a past event, it is probable that
an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the
amount of the obligation.

When the Company expects some or all of a provision to be reimbursed, for example, under an insurance contract, the reimbursement is
recognised as a separate asset, but only when the reimbursement is virtually certain. The expense relating to a provision is presented in the
statement of profit or loss net of any reimbursement.

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

Contingent liability is-

(a) a possible obligation arising from past events and whose existence will be confirmed only by the occurrence or non-occurrence of
one or more uncertain future events not wholly within the control of the Trust or

(b) a present obligation that arises from past events but is not recognized because

- it is not probable that an outflow of resources embodying economic benefits will be required to settle the obligation or

- the amount of the obligation cannot be measured with sufficient reliability.

The Company does not recognize a contingent liability but discloses the same as per the requirements of Ind AS 37.

Contingent assets are not recognised in the financial statements.

(xi) Employee benefits:
i) Short term benefits

Short term employee benefit obligations are measured on an undiscounted basis and are expensed as a related service provided. A liability
is recognised for the amount expected to be paid under short term cash bonus or profit sharing plans if the Company has a present legal or
constructive obligation to pay this amount as a result of past service provided by the employee and the obligation can be estimated reliably.

(xii) Cash and cash equivalents

Cash and cash equivalents in the balance sheet comprise cash at banks and on hand and short-term deposits with an original maturity of
three months or less, which are subject to an insignificant risk of changes in value. For the purpose of the statement of cash flows, cash and
cash equivalents consist of cash and short-term deposits, net of outstanding bank overdrafts as they are considered an integral part of the
Company''s cash management. Cash and cash equivalents include balance with banks which are unrestricted for withdrawal and usage.

(xiii) Earnings per share

Basic earnings per share is calculated by dividing the net profit or loss attributable to equity holders of the Company (after deducting
preference dividends and attributable taxes) by the weighted average number of equity shares outstanding during the period. The weighted
average number of equity shares outstanding during the period is adjusted for events such as bonus issue, bonus element in a rights issue,
share split, and reverse share split that have changed the number of equity shares outstanding, without a corresponding change in
resources.

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

(xiv) Recent accounting pronouncements

The Ministry of Corporate Affairs (MCA) notifies new standards or amendments to the existing standards under Companies (Indian
Accounting Standards) Rules as issued from time to time. On 12 August 2024, MCA amended the Companies (Indian Accounting Standards)
Amendment Rules as below.

Amendments to Ind AS 117

MCA notified Ind AS 117 a comprehensive standard that prescribe, recognition, measurement and disclosure requirements, to avoid
diversities In practice for accounting Insurance contracts and It applies to all companies i.e.. to all insurance contracts regardless of the
issuer. However Ind AS 117 is not applicable to the entities whose are insurance companies registered with IRDAI.

Additionally, amendments have been made to Ind AS 101 First time Adoption of Indian Accounting Standards Ind AS 103 Business
Combinations.

AS 105 Non-current Assets Held for Sale and Discontinued Operations, Ind AS 107 Financial Instruments: Disclosures ,Ind AS 109 Financial
Instruments and Ind AS 115 Revenue from Contracts with Customers to align them with Ind AS 117 The amendments also Introduce
enhanced disclosure requirements, particularly In Ind AS 107, to provide clarity regarding financial Instruments associated with Insurance
contracts.

Amendments to Ind AS 116

The amendments require an entity to recognise lease liability including variable lease payments which are not linked to index or a rate In a
way It does not result Into gain on Right or use asset It retains.

The Company has reviewed the new pronouncements and based on its evaluation has determined that these amendments do not have a
significant impact on the Company''s Financial Statements.

2.2 Key Accounting Estimates and Significant Judgements

The preparation of the financial statements requires management to make judgements, estimates and assumptions that affect the reported
amounts of revenues, expenses, assets and liabilities, and the accompanying disclosures, and the disclosure of contingent liabilities.
Uncertainty about these assumptions and estimates could result in outcomes that require a material adjustment to the carrying amount of
assets or liabilities affected in future periods. Continuous evaluation is done on the estimation and judgments based on historical experience
and other factors, including expectations of future events that are believed to be reasonable. Revisions to accounting estimates are
recognised prospectively. Information about critical judgments in applying material accounting policies, as well as estimates and
assumptions that have the most significant effect to the carrying amounts of assets and liabilities within the next financial year, are included
in the respective sections of material accounting policies above.

b) Terms and rights attached to equity shares

i) The Company has one class of equity shares having a par value of ^ 10 per share. Each holder of equity share is eligible for one vote per share held.

ii) The dividend if proposed by the Board of Directors is subject to approval of the shareholders in the ensuing Annual General Meeting, except in case of
interim dividend. As per the agreements entered with the lenders, any dividend and other distribution in cash, property or other payments or distributions
on account of the purchase or redemption of equity is a restricted payments and shall be made only if conditions specified in the agreement are fulfilled.

iii) In the event of liquidation, each holder of equity share is eligible to receive the remaining assets of the Company after distribution of all preferential
amounts, in proportion to their shareholding.

Note Bl. Financial risk management objectives and policies

The Company''s principal financial liabilities comprise borrowings and trade and other payables. The main purpose of these financial liabilities is to
finance the Company''s operations and to support its operations. The Company''s financial assets include trade receivables, other receivables and cash
& cash equivalents that derive directly from its operations.

(A) Credit Risk

Credit risk is the risk that a counterparty will not meet its obligations under a financial instrument or customer contract, leading to a financial loss. The
Company is exposed to credit risk from its operating activities (trade receivables) and from its financing activities including deposit with banks and
other financial instruments, if any.

The Company is exposed to credit risk mainly with respect to trade receivables (other than group entities). The Trade receivables of the Company are
typically non-interest bearing un-secured and derived from sales made to a number of independent customers including group entities.

Cash and cash equivalents are placed with reputed financial banks / institutions.

(B) Liquidity Risk

Liquidity risk is the risk that the Company will not be able to meet its financial obligations as they become due. Accordingly, as a prudent liquidity risk
management measure, the Company closely monitors its liquidity position and deploys a robust cash management system. The Company''s objective
is to maintain a balance between continuity of funding and flexibility through the use of stand-by credit facilities.

To manage liquidity risk, the Company monitors its net operating cash flow and maintains an adequate level of cash and cash equivalents to finance
the Company''s operations and mitigate the effects of fluctuations in cash flows.

All financial liabilities of the Company are current and hence payable within next one year, amounting to Rs 1420.80 Lakhs as on 31 March, 2025 and
2985.14 Lakhs as on 31 March, 2024.

(C) 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 2 types of risk: interest rate risk and currency risk. Financial instruments affected by market risk include borrowings.

Foreign currency risk:

Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of changes in foreign exchange rates.
Interest rate Risk:

Interest rate risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market interest rates.
The interest rate risk exposure is mainly from changes in floating interest rates. The interest rate are disclosed in the respective notes to these financial
statement of the Company.

Note 33 Amount Due to Micro, Small and Medium Enterprises

The Company has compiled the information based on intimations received from the supplier of their status as micro or small enterprises and / or
its registration with appropriate authority under Micro, Small and Medium Enterprises Development Act, 2006 (''MSMED Act, 2006''). The balance
due to Micro and Small Enterprises as defined under MSMED Act, 2006 as on March 31, 2025 and March 31, 2024 is 28.55 lakhs and Nil respectively.
No interest has been paid or payable under MSMED Act, 2006 during the current year and previous corresponding year.

Note 34 Segment Reporting

Operating segments are reported in a manner consistent with the internal reporting provided to the Chief Operating Decision Maker ("CODM") as
required under Ind AS 108. The CODM is considered to be Board of Directors who makes strategic decisions and is responsible for allocating
resources and assessing performance of the operating segments. The principle activities of the company comprises "Information Technology
Services", including software development, as well as "EV chargers". However, as per the requirements of Indian Accounting Standard (Ind AS) 108
- Operating Segments, the EV chargers business does not meet the quantitative thresholds for separate disclosure as a reportable segment.
Accordingly, the Company has identified only a single reportable segment, and segment disclosures have been presented on that basis. Further,
there are no geographical segment to be reported since all the operations are undertaken in India.

Note 35 Capital Management

For the purpose of the capital management, capital includes issued equity capital, share premium and money received against share warrents and
all other equity reserves attributable to the equity holders of the Company. The primary objective of the Company''s capital management is to ensure
that it maintains a strong credit rating and healthy capital ratios in order to support its business and maximise shareholders'' value.

The Company manage their capital structure and makes adjustments in light of changes in economic conditions and the requirements of the financial
covenants.

The Company monitors capital using a gearing ratio, which is net debt divided by total capital plus net debt. The Company''s policy is to keep optimum
gearing ratio. The position as on March 31, 2025 and March 31, 2024 are as under:

Note 38 Other statutory information

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

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

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

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

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

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

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

(vii) The Company does not have any such transaction which is not recorded in the books of accounts that has been surrendered or disclosed as
income during the year in the tax assessments under the Income Tax Act, 1961 (such as, search or survey or any other relevant provisions of the
Income Tax Act, 1961.

(viii) The Company has complied with the number of layers prescribed under clause (87) of Section 2 of the Act read with the Companies (Restriction
on number of Layers) Rules, 2017.

(ix) The Company is not declared wilful defaulter by any bank or financial institutions or lender during the year.

(x) The title deeds of all the immovable properties are held in the name of the Company

Note 39

The Company has defined process to take full back-up of books of account maintained electronically on daily basis and maintains daily backups of
books of accounts for the entire financial year. The Company has maintained daily logs of Tally.

Note 40

The Company has used Tally accounting software for maintaining its books of account which has a feature of recording audit trail (edit log) facility
and the same has operated throughout the year for all relevant transactions recorded in the software. Further, there are no instance of audit trail
feature being tampered with. Additionally, the Company has recorded and preserved audit trail in full compliance with the requirements of section
128(5) of the Companies Act, 2013, of prior year as per the statutory requirements of recording audit trail to the extent it was enabled and recorded
in the respective year.

Note 41

Previous year''s figures have been rearranged and regrouped wherever necessary so as to make them comparable with those of the current year.
Note 42

Party accounts, in debit/credit, are subject to confirmation, reconciliation and consequential adjustments thereof, if any.

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Mar 31, 2024

Material Accounting Policies 2.3 First time adoption of Ind AS

The Accounting policy set out in Note 2.1 & 2.2 have been applied in preparing the financial statements for the year ended March 31, 2024, The comparative information presented in these financial statements for the year ended March 31, 2023 and in prepartion of opening Ind AS balance sheet at April 1, 2022 ( the date of transition), in preparing its opening Ind AS balance sheet, the company has adjusted the amounts reported previously in financial statements prepared in accordance with the accounting standards notified under companies (Accounting standards) rules, 2006 (as amended) and other relavant provisions of the act (previous GAAP or Indian GAAP). This note explains the principal adjustments made by the company in restating its indian GAAP financial statements.

b) Terms and rights attached to equity shares

i) The Company has one class of equity shares having a par value of ^ 10 per share. Each holder of equity share is eligible for one vote per share held.

ii) The dividend if proposed by the Board of Directors is subject to approval of the shareholders in the ensuing Annual General Meeting, except in case of interim dividend. As per the agreements entered with the lenders, any dividend and other distribution in cash, property or other payments or distributions on account of the purchase or redemption of equity is a restricted payments and shall be made only if conditions specified in the agreement are fulfilled.

iii) In the event of liquidation, each holder of equity share is eligible to receive the remaining assets of the Company after distribution of all preferential amounts, in proportion to their shareholding.

Nature and purpose of other reserves:

Securities premium:

Securities premium is credited when shares are issued at premium. The reserve will be utilised in accordance with the provisions of the Companies Act, 2013. Retained earnings:

Retained earnings are the profits / (loss) that the Company has earned / incurred till date, less any transfers to general reserve, dividends or other distributions paid to shareholders. Retained earnings is a free reserve available to the Company and eligible for distribution to shareholders, in case where it is having positive balance representing net earnings till date.

The management of Company assessed that cash and cash equivalents, trade receivables, trade payables and current financial assets/ liabilities approximate their carrying amounts largely due to the short-term maturities of these instruments.

Note 28. Financial risk management objectives and policies (contd.)

The Company''s principal financial liabilities comprise borrowings and trade and other payables. The main purpose of these financial liabilities is to finance the Company''s operations and to support its operations. The Company''s financial assets include trade receivables, other receivables and cash & cash equivalents that derive directly from its operations.

(A) Credit Risk

Credit risk is the risk that a counterparty will not meet its obligations under a financial instrument or customer contract, leading to a financial loss. The Company is exposed to credit risk from its operating activities (trade receivables) and from its financing activities including deposit with banks and other financial instruments, if any.

The Company is exposed to credit risk mainly with respect to trade receivables (other than group entities). The Trade receivables of the Company are typically non-interest bearing un-secured and derived from sales made to a number of independent customers including group entities.

Cash and cash equivalents are placed with reputed financial banks / institutions.

(B) Liquidity Risk

Liquidity risk is the risk that the Company will not be able to meet its financial obligations as they become due. Accordingly, as a prudent liquidity risk management measure, the Company closely monitors its liquidity position and deploys a robust cash management system. The Company''s objective is to maintain a balance between continuity of funding and flexibility through the use of stand-by credit facilities.

To manage liquidity risk, the Company monitors its net operating cash flow and maintains an adequate level of cash and cash equivalents tofinance the Company''s operations and mitigate the effects of fluctuations in cash flows.

All financial liabilities of the Company are current and hence payable within next one year, amounting to Rs 2985.14 Lakhs as on 31 March, 2024 and 949.87 Lakhs as on 31 March, 2023.

(C) 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 2 types of risk: interest rate risk and currency risk. Financial instruments affected by market risk include borrowings.

Foreign currency risk:

Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of changes in foreign exchange rates. The Company is not exposed to foreign currency risk as there are no financial assets and liabilities denominated in foreign currency.

Interest rate Risk:

Interest rate risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The interest rate risk exposure is mainly from changes in floating interest rates. The interest rate are disclosed in the respective notes to these financial statement of the Company.

Note 30 Amount Due to Micro, Small and Medium Enterprises

The Company has compiled the information based on intimations received from the supplier of their status as micro or small enterprises and / or its registration with appropriate authority under Micro, Small and Medium Enterprises Development Act, 2006 (''MSMED Act, 2006''). The balance due to Micro and Small Enterprises as defined under MSMED Act, 2006 as on March 31, 2024 and March 31, 2023 is Nil. No interest has been paid or payable under MSMED Act, 2006 during the current year and previous corresponding year.

Note 31 Segment Reporting

Operating segments are reported in a manner consistent with the internal reporting provided to the Chief Operating Decision Maker ("CODM") as required under Ind AS 108. The CODM is considered to be Board of Directors who makes strategic decisions and is responsible for allocating resources and assessing performance of the operating segments. The principle activities of the company comprises "Information Technology Services". Accordingly, the company has reportable segments consisting of Information Technology Related Services. Further, there are no geographical segment to be reported since all the operations are undertaken in India.

Note 32 Capital Management

For the purpose of the capital management, capital includes issued equity capital, share premium and money received against share warrents and all other equity reserves attributable to the equity holders of the Company. The primary objective of the Company''s capital management is to ensure that it maintains a strong credit rating and healthy capital ratios in order to support its business and maximise shareholders'' value.

The Company manage their capital structure and makes adjustments in light of changes in economic conditions and the requirements of the financial covenants.

The Company monitors capital using a gearing ratio, which is net debt divided by total capital plus net debt. The Company''s policy is to keep optimum gearing ratio. The position as on March 31, 2024 and March 31, 2023 are as under:

Note- 1 The ratio has been decreased due to company issued Equity Shares in current year.

Note- 2 The ratio has been increased due to increase in profit in comparison with previous year.

Note- 3 The ratio has been decreased due to company no of equity shares is increased in comparision with previous year.

Note- 4 The ration has been increased due to increase in Sales of the company.

Note- 5 The ratio has been decreased due to company credit period becomes less compare to Previous year.

Note- 6 The ration has been increased due to increase in Sales of the company in comparision with previous year.

Note- 7 The ratio has been decreased due to company no of equity shares is increased in comparision with previous year.

Note 35 Other statutory information

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

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

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

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

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

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

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

(vii) The Company does not have any such transaction which is not recorded in the books of accounts that has been surrendered or disclosed as income during the year in the tax assessments under the Income Tax Act, 1961 (such as, search or survey or any other relevant provisions of the Income Tax Act, 1961.

(viii) The Company has complied with the number of layers prescribed under clause (87) of Section 2 of the Act read with the Companies (Restriction on number of Layers) Rules, 2017.

(ix) The Company is not declared wilful defaulter by any bank or financial institutions or lender during the year.

(x) The provisions of Section 135 of the Companies Act, 2013 in relation to corporate social responsibility is not applicable to the Company since it does not satisfy any condition of CSR applicabilty.

(xi) Thetitle deeds of all the immovable properties are held inthe name of the Company

Note 36 Previous year''s figures have been rearranged and regrouped wherever necessary so as to make them comparable with those of the current Note 37 Party accounts, in debit/credit, are subjectto confirmation, reconciliation and consequential adjustments thereof, if any.

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Mar 31, 2023

(i) The Company has only one class of share capital namely Equity Shares having face value of Rs. 10 each.

(a) In respect of every equity share (wheather fully paid or partly paid), voting right shall be in the same proprtion as The capital paid up on such equity share bears to the total paid up equity capital of the Company.

(b) The dividend proposed by Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting, except in case of interim dividend.

(c) In the event of liquidation, the shareholders of equity shares are eligible to receive the remaining assets of the company after distribution of all prefrential amounts, and due to creditors of the company in proportion to their share holdings.

(iii) Details of shares held by the holding company, the ultimate holding company, their subsidiaries and associates: NIL

(v) Shares reserved for issue under options and contracts/commitments for the sale of shares/disinvestment, including the terms and amounts: NIL

(vi) Aggregate number and class of shares allotted as fully paid up pursuant to contract(s) without payment being received in cash, bonus shares and shares bought back for the period of 5 years immediately preceding the Balance Sheet date:

The Company has issued and allotted total 2476219 Equity Shares of Rupees 10.00 each as Bonus Equity Shares to die Shareholders of the Company in the Ratio of 4 Bonus Equity Shares of Rupees 10.00 each fully paid up for every 5 Equity Shares of Rupees 10.00 each fully paid up on September 9, 2022.

The Company has issued and allotted total 3061260 Equity Shares of Rupees 10.00 each as Bonus Equity Shares to the Shareholders of the Company in the Ratio of 90 Bonus Equity Shares of Rupees 10.00 each fully paid up for every 1 Equity Share of Rupees 10.00 each fully paid up on March 25, 2022.

(vii) Terms of any securities convertible into equity/preference shares issued along with the earliest date of conversion in descending order starting from the farthest such date: NIL

(viii) Calls unpaid (showing aggregate value of calls unpaid by Directors and officers): NIL (ix| Forfeited shares (amount originally paid-up): NIL

21.2 Statements of Account / balance confirmations, wherever received, have been reconciled and impact thereof, if any, has been dealt with to the extent agreed up on by the Company. Claims or deductions, which are not accepted by the Company, are treated as contingent liability and accounted for in the year of final settlement.

21.3 In the opinion of management, the current assets, loans and advances have a value of realization in the ordinary course of business, at least to the amount equal to the amount at which they are stated in the Balance Sheet. The provision for all known liabilities is adequate and not in excess of what is required.

21.4 No dividends is proposed to be distributed to equity and preference shareholders for the period. There are no arrears of fixed cumulative dividends on preference shares.

21.5 Amount raised through an issue of Equity Shares have been utilized for the purpose for which it was raised.

21.6 The borrowings from banks and financial institutions have been used for the purpose for which it was taken at the balance sheet date.

21.7 In the opinion of the Board, all the assets other than Property*, Plant and Equipment, Intangible assets and non-current investments do have a value on realisation in die ordinary* course of business at least equal to the amount at which they are stated.

21.8 There are no Immovable Property in name of die Company.

21.9 The Company has not revalued its Property, Plant and Equipment.

21.10 No Loans or Advances in the nature of loans are granted to promoters, directors, KMPs and the related parties.

21.11 No proceedings have been initiated or pending against the company for holding any ben ami property under the Ben arm Transactions (Prohibition) Act, 1988 (45 of 1988) and the rules made thereunder

21.12 Registration of charges or satisfaction with Registrar of Companies

Since, the Loan availed from Tamilnad Mercantile Bank Limited is still in the name of S ah ana System, (Partnership Firm of which the Company* has been incorporated by conversion) and no document in the name of the Company* has been executed, the Company has not created charge with the Registrar of Companies.

21.13 The Company has not entered into any transactions with struck off under section 248 of the Companies Act, 2013 or section 560 of Companies Act, 1956.

21.16 The Company has not entered into any* Scheme of Arrangements in terms of sections 230 to 237 ofthe Companies Act, 2013.

21.17 The Company has not traded or invested in any Crypto currency or Virtual Currency during the financial year.

21.18 The Company* has not advanced or loaned or invested funds (either borrowed funds or share premium or any* other sources or kind of funds) to any* other person(s) or entity(ies), including foreign entities (Intermediaries) with the understanding (whether recorded in writing or otherwise).

23 Previous year''s figures have been regrouped / reclassified wherever necessary to correspond with the current year''s classification / disclosure.

24 Disclosure as prescribed under Schedule III to the Companies Act, 2013 is provided to the extent applicable. No Disclosure have been made in respect of matters/transactions/events which are not happened during the financial year.