Notes to Accounts of Sati Poly Plast Ltd.

Mar 31, 2025

Rights, Preferences and Restrictions Attached to Equity shares :

(1) The Company has one class of equity shares having a par value of Rs. 10/- each. Each shareholder is eligible for one vote per share held. The dividend, if any proposed by the board of directors is subject to the approval of the shareholders in the ensuing annual general meeting.

(2) In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the company, after distribution of all preferential amounts, in proportion to their share holding.

(3) During the year ended 31st March, 2025 company has issued 13,35,000 fresh Equity share (IPO) at a issue price of 130 Rs.each(face value of 10 Rs, each and Security premium of 120 rs. each)

Note - 25 - Additional regulatory information

A) The title deeds of immovable properties (other than properties where the Company is the lessee and the lease reements are duly executed in favour of the lessee) are held in the name of the Company.

B) The Company does not have any investment property.

C) The Company has not revalued its Property, Plant and Equipment (including Right-of-Use Assets) and Intangible assets.

D) There are no loans or advances in the nature of loans are granted to Promoters, Directors, KMPs and their related parties (as defined under Companies Act, 2013), either severally or jointly with any other person, that are outstanding as on 31st March, 2025:

(i) repayable on demand; or

(ii) without specifying any terms or period of repayment

E) No proceedings have been initiated or pending against the company for holding any benami property under the Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and the rules made thereunder.

F) The company is not declared willful defaulter by any bank or financial institution or other lender.

G) The company has not undertaken any transactions with companies struck off under section 248 of the Companies Act, 2013 or section 560 of Companies Act, 1956.

H) No Scheme of Arrangements has been approved by the Competent Authority in terms of sections 230 to 237 of the Companies Act, 2013.

I) The company has not advanced or loan 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 undrstanding (whether recorded in writing or otherwise) that the Intermediary shall directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever (Ultimate Beneficiaries) by or on behalf of the company or provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.

J) The company has not received any fund from any person(s) or entity(ies), including foreign entities (Funding Party) with the understanding (whether recorded in writing or otherwise) that the company shall directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever (Ultimate Beneficiaries) by or on behalf of the Funding Party or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

K) No transactions has been surrendered or disclosed as income during the year in the tax assessment under the Income Tax Act, 1961. There are no such previously unrecorded income or related assets.

L) The Company has not traded or invested in Crypto currency or Virtual Currency during the financial Period/year.

M) The fire broke out at the Company''s premises on 15th February, 2025, resulting in the destruction of significant accounting records, supporting documents, Inventory and fixed assets. The Company has recognized a provisional loss in respect of the damaged assest, and an insurance claim has been filed. We further note that the insurance company has in the process of determined the loss due to fire, which is currently pending completion as of the date of this report. The final outcome of the insurance claim, including the amount of compensation receivable, is contingent upon the completion of their survey/process and has not been fully determined at this stage.

N) The Provision of Section 135 of the Companies Act 2013 in relation to Corporate Social Responsibility are not applicable to the Company.

B Debt-Equity Ratio (in times)

In current year, Debt-Equity ratio decreases from 1.82 times to 0.94 times due to decrease in Long term debt and increase in Equity Sharecapital and security premium.

C Debt Service Coverage Ratio(in times)

In current year, Earning available for debt service decreases from 716.87 lakhs to -951.10 lakhs and also Interest and installment decreases due to which Debt Service coverage Ratio decreases from 1.62 to -2.36.

D Return on Equity Ratio (in %)

In Current year, Return on Equity ratio decreases from 33.61% to -74.07% due to decrease in Net profit after tax from 282.46 Lakhs to -1055.46 Lakhs.

E Inventory Turnover Ratio ( In times)

In Current year, Inventory turnover has increased from 6.77 to 12.98 due to increase in Cost of Good sold and decrease in average inventory holding.

H Net capital turnover ratio (In times)

In current year, Net Capital turnover ratio increases from 12.74 times to 27.71 times due to increase in Revenue from operation.

I Net profit ratio (in %)

In current year, Net profit after tax decreases from 282.46 Lakhs to -1055.46 Lakhs due to Which Net profit ratio decreases from 1.57% to -3.50%

J Return on Capital employed (in %)

In Current year, Earnings before interest and taxes increases from 636.13 Lakhs to 1301.37 Lakhs due to which Return on capital employed increases from 25.45% to 50.69%

---

Mar 31, 2024

During the year company has Sub-Divided Equity share of the company having a face value of Rs.100/- each (Rupees hundred only) into the shares having a face value of Rs.10/- Rupees ten each ("Sub-division") vide board meeting held as on 19th August ''23, Which has been accorded shareholders of the company by passing Special Resolution at the extra ordinary generai meetinh held on 21st August ''23.

The Company alloted of 21,28,000 bonus equity shares of Rs. 10/- each as fully paid- up against existing 10,64,000 equity shares of Rs.10/- each to the existing shareholders of the Company in the ratio of 1: 2 (2 new equity shares of Rs. 10/- each fully paid up for each 2 exiting equity share of Rs. 10/- each fully paid-up).

The Company Issue 36,000 new equity shares at Rs. 120/- each (Rs. 10/- Face value and Rs. 110/- Premium on Share) by passing special resoultion as on 26th December ''23 Via Extra Ordianary General Meeting.

The Company Issue 3,84,000 new equity shares at Rs. 120/- each (Rs. 10/- Face value and Rs. 110/- Premium on Share) by passing resoultion as on 04th October ''23 Via Board meeting of Directors.

B) The Company does not have any investment property

C) The Company has not revalued its Property, Plant and Equipment (including Right-of-Use Assets) and intangible

ou''tsta^ding''as on\^lt^arch ^ an^oth^r person^that^ate

(i) repayable on demand; or

(ii) without specifying any terms or period of repayment

ompames Act, 2013 or section 560 of Companies Act 1956

rcVmtZ^OA^fr201⁸3^{ementS haS bee}" ^aPPr°^Ved ^ ^C°^{mPe,ent AU,h0rltV ,e}™^S °^f -«ions 230 to 237 of I) The company has not advanced or loan 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 un rstanding (whether recorded in writing or otherwise) that the Intermediary shall directly or indirectly lend or invest ,n other persons or entities identified in any manner whatsoever (Ultimate Beneficiaries) by or on behalf of the company or provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries

Party) wThT unde^ ^ ^PerS0"^,S) °^{f entit}V<^). ^indudin« entities (Funding

ind?e ,7 , a understanding (whether recorded in writing or otherwise) that the company shall directlv or

directly lend or invest ,n other persons or entities identified in any manner whatsoever (Ultimate Beneficiaries) IIZIT ^FUnding ^ ^Pr°^{Vide aPV} or the like on ''behalf of ^ uZte

lncomrTaxA«⁰lL^hrTh^eere ^dUring *^{he year in the} ‘^a* assessment under the

ncome Tax Act, 1961. There are no such previously unrecorded income or related assets

L) The Company has no, traded or invested in Crypto currency or Virtual Currency during the financial Period/year.

^,ss *• ^c°"^p''^n,“" »^,s - ¦*»»»¦=—>• «—«,......

B Ratio has been improved due increase in Equity due to accumulation of Profit

D ^Re^^Um °^{n EqU}''^{ty im}P^{roved due t0 Sales and Pr}ofit Increase and company become profitable due to better utilisation of resources and better customer response

E Due to companies better management ablity campany able to achieve higher sales on approx same stock level.

F To increase the sale company has given some more credit to customers so that higher profit target can be achieved.

G Due to higher profit and better utlisation company is able to pay it creditor before time and ratio improved.

H Stock and short term loan and advances Increased in FY 2023-24 and Creditor kept as lower level.