Accounting Policies of Shree Vasu Logistics Ltd. Company

Mar 31, 2025

2. Material accounting policies

2.1 Statement of Compliance:

The Financial Statements have been prepared in accordance with Indian Accounting Standard as per the
Companies (Indian Accounting Standards) Rules, 2015 as amended and notified under section 133 of the
Companies Act, 2013 (the ‘Act’). The Financial Statements are separate Financial Statements.

2.2 Basis of preparation & Presentation:

The Financial Statements have been prepared on accrual basis and the historical cost basis as a going concern
except for certain financial instruments that are measured at fair values or at amortised cost, wherever applicable,
at the end of each reporting period, as explained in the accounting policies below.

Historical cost is generally based on the fair value of the consideration given in exchange for goods and services

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly
transaction between market participants at the measurement date, regardless of whether that price is directly
observable or estimated using another valuation technique. In estimating the fair value of an asset or a liability,
the Company takes into account the characteristics of the asset or liability if market participants would take those
characteristics into account when pricing the asset or liability at the measurement date. Fair value for
measurement and/or disclosure purposes in this financial statement is determined on such basis, except for share
based payment transactions that are within the scope of Ind AS 102, leasing transactions that are within the scope
of Ind AS 116, and measurements that have some similarities to fair value but are not fair value, such as net
realisable value in Ind AS 2 or value in use in Ind AS 36. In addition, for financial reporting purposes, fair value
measurements are categorised into Level 1, 2 or 3 based on the degree to which the inputs to the fair value
measurements are observable and the significance of the inputs to the fair value measurement in its entirety,
which are described as follows:

• Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that the
entity can access at the measurement date;

• Level 2 inputs are inputs, other than quoted prices included within Level 1, that are observable for the
asset or liability, either directly or indirectly; and

• Level 3 inputs are unobservable inputs for the asset or liability.

The Financial Statements are prepared in Indian Rupee (INR) and denominated in Lakhs.

The principal accounting policies are set out below:

2.3 Non Current Assets Held for Sale

Non-current assets are classified as held for sale if their carrying amount will be recovered principally through a
sale transaction rather than through continuing use. This condition is regarded as met only when the asset is
available for immediate sale in its present condition subject only to terms that are usual and customary for sales
of such asset and its sale is highly probable. Management must be committed to the sale, which should be
expected to qualify for recognition as a completed sale within one year from the date of classification.

Non-current assets classified as held for sale are measured at the lower of their carrying amount and fair value
less costs to sell.

2.4 Inventories:

Inventories are stated at the lower of cost and net realisable value. Cost comprises direct materials and, where
applicable, direct labour costs and those overheads that have been incurred in bringing the inventories to their
present location and condition. Cost is calculated using the weighted average cost method. Net realisable value
represents the estimated selling price less all estimated costs of completion and costs to be incurred in marketing,
selling and distribution.

2.5 Revenue Recognition:

Revenue is measured at the fair value of the consideration received or receivable.

2.5.1. Rendering of services

Incomes from logistics services rendered are recognised on the completion of the services as per the terms of
contract. Revenue is recognized at the fair value of consideration received or receivable, to the extent that it is
probable that the economic benefits will flow to the Company and the revenue can be reliably measured.

2.5.2. Dividend and interest income

Dividend income from investments is recognized when the right to receive payment has been established
(provided that it is probable that the economic benefits will flow to the company and the amount of income
can be measured reliably).

Interest income from a financial asset is recognized when it is probable that the economic benefits will flow to
the company and the amount of income can be measured reliably. Interest income is accrued on a time basis,
by reference to the principal outstanding and at the effective interest rate applicable, which is the rate that
exactly discounts estimated future cash receipts through the expected life of the financial asset to that asset''s
net carrying amount on initial recognition.

2.5.3. Sale of products

The Company recognizes revenue from contracts with customers related to sale of goods, when the Company
satisfies performance obligation. Performance obligation are satisfied at the point of time when the customer
obtains control of the goods. The control of goods is transferred to the customer depending upon the delivery
terms. Control is considered to be transferred to customer when customer has ability to direct the use of such
goods and obtain substantially all the benefits from it and has the primary responsibility when on selling the
goods and it bears the risks of obsolescence and loss in relation to the goods.

2.6 Leasing

At inception of a contract, the Company assesses whether a contract is, or contains, a lease. A contract is, or
contains, a lease if the contract conveys the right to control the use of an identified asset for a period of time in
exchange for consideration. To assess whether a contract conveys the right to control the use of an identified
asset, the Company assesses whether:

• the contract involves the use of an identified asset - this may be specified explicitly or implicitly and
should be physically distinct or represent substantially all of the capacity of a physically distinct asset. If
the lessor has a substantive substitution right, then the asset is not identified

• the Company has the right to obtain substantially all of the economic benefits from use of the asset
throughout the period of use; and

• the Company as a lessee has the right to direct the use of the asset. The Company has this right when it
has the decision-making rights that are most relevant to changing how and for what purpose the asset is
used. In rare cases where the decision about how and for what purpose the asset is used is predetermined,
the Company has the right to direct the use of the asset if either:

a) the Company as a lessee has the right to operate the asset; or

b) the Company as a lessee designed the asset in a way that predetermines how and for what purpose it
will be used.

As a lessee

The Company recognises a right-of-use asset and a lease liability at the lease commencement date. The
right-of use asset is initially measured at cost, which comprises the initial amount of the lease liability
adjusted for any lease payments made at or before the commencement date, plus any initial direct costs
incurred and an estimate of costs to dismantle and remove the underlying asset or to restore the underlying
asset or the site on which it is located, less any lease incentives received.

The right-of-use assets are subsequently depreciated using the straight-line method from the commencement
date to the earlier of the end of the useful life of the right of-use asset or the end of the lease term. In
addition, the right-of-use asset is periodically reduced by impairment losses, if any, and adjusted for certain
re-measurements of the lease liability.

The lease liability is initially measured at amortized cost at the present value of the lease payments that are
not paid at the commencement date, discounted using the interest rate implicit in the lease or, if that rate
cannot be readily determined, using the incremental borrowing rate.

It is re -measured when there is a change in future lease payments arising from a change in an index or rate,
if there is a change in the Company’s estimate of the amount expected to be payable under a residual value
guarantee, or if the Company changes its assessment of whether it will exercise a purchase, extension or
termination option.

When the lease liability is remeasured in this way, a corresponding adjustment is made to the carrying
amount of the right-of-use asset, or is recorded in profit or loss if the carrying amount of the right-of-use
asset has been reduced to zero.

Short-term leases and leases of low-value assets

The Company has elected not to recognise right-of-use assets and lease liabilities for short-term leases that
have a lease term of 12 months or less and leases of low-value assets. The Company recognises the lease
payments associated with these leases as an expense on a straight line basis over the lease term.

As a lessor

When the Company acts as a lessor, it determines at lease inception whether each lease is a finance lease or
an operating lease. Whenever the terms of the lease transfer substantially all the risks and rewards of
ownership to the lessee, the contract is classified as a finance lease. All other leases are classified as
operating leases. When the Company is an intermediate lessor, it accounts for its interests in the head lease
and the sublease separately. The sublease is classified as a finance or operating lease by reference to the
right-of-use asset arising from the head lease. The Company recognises lease payments received under
operating leases as income on a straight- line basis over the lease term as part of ‘other income’.

On application of Ind AS 116, the nature of expenses has changed from lease rent in previous periods to
depreciation cost for the right of use asset, and finance cost for interest accrued on lease liability.

2.7. Borrowing costs

Borrowing Cost that are attributable to the acquisition or construction of qualifying assets are capitalised as part
of the cost of such assets. A qualifying asset is one that necessarily takes a substantial period of time to get ready
for its intended use or sale. All other borrowing costs are charged to revenue in the year of incurrence.

2.8 Employee Benefits

2.8.1 Retirement benefit costs and termination benefits

i. Defined Contribution Plan: Company’s contributions paid/payable during the year to the
Superannuation Fund, ESIC, Provident Fund and Labour Welfare Fund are recognised in the
Statement of Profit and Loss.

ii. Defined Benefits Plan: For defined retirement benefit plans, the cost of providing benefits is
determined using the projected unit credit method, with actuarial valuations being carried out at
the end of each annual reporting period. Remeasurement, comprising actuarial gains and losses,
the effect of the changes to the asset ceiling (if applicable) and the return on plan assets
(excluding net interest), is reflected immediately in the Balance Sheet with a charge or credit
recognised in Other Comprehensive Income in the period in which they occur. Remeasurement
recognised in Other Comprehensive Income is reflected immediately in retained earnings and is
not reclassified to profit or loss. Past service cost is recognised in profit or loss in the period of a
plan amendment. Net interest is calculated by applying the discount rate at the beginning of the
period to the net defined benefit liability or asset. Defined benefit costs are categorized as
follows:

a. Service cost (including current service cost, past service cost, as well as gains and losses on
curtailments and settlements);

b. Net interest expense or income; and

c. Remeasurement

The Company presents the first two components of defined benefit costs in profit or loss in the
line item ‘Employee benefits expense’. Curtailment gains and losses are accounted for as past
service costs.

The retirement benefit obligation recognized in the Balance Sheet represents the actual deficit or
surplus in the Company’s defined benefit plans. Any surplus resulting from this calculation is
limited to the present value of any economic benefits available in the form of refunds from the
plans or reductions in future contributions to the plans.

2.8.2. Short-term and other long-term employee benefits

• A liability is recognised for benefits accruing to employees in respect of wages and salaries.

• Liabilities recognised in respect of short term employee benefits are measured at the
undiscounted amount of the benefits expected to be paid in exchange for the related service.

• Liabilities recognised in respect of other long-term employee benefits are measured at the present
value of the estimated future cash outflows expected to be made by the Company in respect of
services provided by employees up to the reporting date.

2.9 Share-based payment arrangements

Equity-settled share-based payments to employees are measured at the fair value of the equity
instruments at the grant date. The fair value determined at the grant date of the equity-settled share-based
payments is expensed on a straight-line basis over the vesting period, based on the Company''s estimate
of equity instruments that will eventually vest, with a corresponding increase in equity. At the end of
each reporting period, the Company revises its estimate of the number of equity instruments expected to
vest. The impact of the revision of the original estimates, if any, is recognised in profit or loss such that
the cumulative expense reflects the revised estimate, with a corresponding adjustment to the equity-
settled employee benefits reserve. The perquisite arising in the hands of employee on account of
allotment of shares at concessional rate is charged as income in their hands in the year of allotment.

2.10. Taxation

Income tax expense represents the sum of the tax currently payable and deferred tax

2.10.1. Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from ‘Profit
before tax’ as reported in the Statement of Profit and Loss because of items of income or expense that are
taxable or deductible in other years and items that are never taxable or deductible. The Company’s
current tax is calculated using tax rates that have been enacted or substantively enacted by the end of the
reporting period.

2.10.2. Deferred tax

Deferred tax is recognised on temporary differences between the carrying amounts of assets and
liabilities in the Financial Statements and the corresponding tax bases used in the computation of taxable
profit. Deferred tax liabilities are generally recognised for all taxable temporary differences. Deferred tax
assets are generally recognised for all deductible temporary differences to the extent that it is probable
that taxable profits will be available against which those deductible temporary differences can be utilised.
Such deferred tax assets and liabilities are not recognised if the temporary difference arises from the
initial recognition (other than in a business combination) of assets and liabilities in a transaction that

affects neither the taxable profit nor the accounting profit. In addition, deferred tax liabilities are not
recognised if the temporary difference arises from the initial recognition of goodwill. Deferred tax
liabilities are recognised for taxable temporary differences associated with investments in subsidiaries
and associates, and interests in joint ventures, except where the Company is able to control the reversal
of the temporary difference and it is probable that the temporary difference will not reverse in the
foreseeable future. Deferred tax assets arising from deductible temporary differences associated with
such investments and interests are only recognised to the extent that it is probable that there will be
sufficient taxable profits against which to utilise the benefits of the temporary differences and they are
expected to reverse in the foreseeable future. The carrying amount of deferred tax assets is reviewed at
the end of each reporting period and reduced to the extent that it is no longer probable that sufficient
taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax liabilities
and assets are measured at the tax rates that are expected to apply in the period in which the liability is
settled or the asset realised, based on tax rates (and tax laws) that have been enacted or substantively
enacted by the end of the reporting period. The measurement of deferred tax liabilities and assets reflects
the tax consequences that would follow from the manner in which the Company expects, at the end of
the reporting period, to recover or settle the carrying amount of its assets and liabilities.

2.10.3. Current and deferred tax for the year

Current and deferred tax are recognised in profit or loss, except when they relate to items that are
recognised in Other Comprehensive Income or directly in equity, in which case, the current and deferred
tax are also recognized in Other Comprehensive Income or directly in equity respectively

2.11. Property, Plant and Equipment

All items of property, plant and equipment are stated at cost less accumulated depreciation and
accumulated impairment losses, if any. Cost of acquisition is inclusive of purchase price, levies and any
directly attributable cost of bringing the assets to its working condition for the intended use. Subsequent
costs are included in the asset’s carrying amount or recognised as separate asset, as appropriate, only
when it is probable that the future economic benefits associated with the item will flow to the company
and cost of the item can be measured reliably. The carrying amount of any component accounted for as a
separate asset is derecognised when replaced. All other repairs and maintenance are charged to Statement
of Profit and Loss during the reporting period in which they are incurred.

Depreciation on tangible assets is charged by the Written Down Value Method (WDV) in accordance
with the useful lives specified in Part - C of Schedule II of the Companies Act, 2013 on a pro-rata basis
except in the case of:

i. Certain items of Second hand Plant & Machinery individually costing more than Rs. 5,000 - over
their useful lives ranging from 2 years to 10 years as estimated by the company and also based
on the contractual arrangements wherever applicable.

ii. Assets (other than computers) employed in business of Exclusive business outlets are
depreciated over their useful lives of 6 years.

iii. RCC frame building used as warehouse are depreciated over their useful lives of 30 years.

iv. Assets employed in service of route management are depreciated over their useful lives ranging
from 2 years to 10 years.

The estimated useful lives, residual values and depreciation method are reviewed at the end of each
reporting period, with the effect of any changes in estimate accounted for on a prospective basis.

An item of property, plant and equipment is derecognized upon disposal or when no future economic
benefits are expected to arise from the continued use of the asset. Any gain or loss arising on the disposal
or retirement of an item of property, plant and equipment is determined as the difference between the
sales proceeds and the carrying amount of the asset and is recognised in profit or loss.

2.12. Intangible assets

2.12.1. Intangible assets acquired separately

The useful lives of intangible assets are assessed as either finite or infinite. Intangible assets with finite
useful lives that are acquired separately are carried at cost less accumulated amortisation and
accumulated impairment losses. Amortisation is recognised on written down value method over their
estimated useful lives. The estimated useful life and amortisation method are reviewed at the end of

each reporting period, with the effect of any changes in estimate being accounted for on a prospective
basis.

2.12.2. Useful lives of intangible assets

The expenditure incurred is amortised over ten financial years equally commencing from the year in
which the expenditure is incurred.

2.13. Impairment of tangible and intangible assets

The management of the Company assesses at each Balance Sheet date whether there is any indication
that an asset may be impaired. If any such indication exists, the management estimates the recoverable
amount of the asset. If such recoverable amount of the asset is less than its carrying amount, the carrying
amount is reduced to its recoverable amount. The reduction is treated as an impairment loss and
recognised in the Statement of Profit and Loss. If at the Balance Sheet date there is an indication that if a
previously assessed impairment loss no longer exists, the recoverable amount is reassessed, and the asset
is reflected at the recoverable amount subject to a maximum of depreciated historical cost. A reversal of
an impairment loss is recognised immediately in profit or loss.

2.14. Impairment of investments

The Company assesses impairment of investments in subsidiaries, associates and joint ventures which
are recorded at cost. At the time when there are any indications that such investments have suffered a
loss, if any, is recognised in the statement of Profit and Loss. The recoverable amount requires estimates
of operating margin, discount rate, future growth rate, terminal values, etc. based on management’s best
estimate.

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Mar 31, 2023

2. Significant accounting policies

2.1 Statement of Compliance:

The Financial Statements have been prepared in accordance with Indian Accounting Standard as per the Companies (Indian Accounting
Standards) Rules, 2015 as amended and notified under section 133 of the Companies Act, 2013 (the ‘Act’). The Financial Statements are
separate Financial Statements.

The Company has adopted all the Ind AS and the adoption was carried out in accordance with Ind AS 101 First time adoption of Indian
Accounting Standards with effect from 1 st April''2022 and balances as on 1 st April 2021 and 31 st March 2022 have been restated in accordance
with IND AS applicability. The transition was carried out from Indian Accounting Principles generally accepted in India as prescribed under
Section 133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014 (IGAAP), which was the previous GAAP. Reconciliations
and descriptions of the effect of the transition has been summarized in Note 67.

2.2 Basis of preparation & Presentation:

The Financial Statements have been prepared on accrual basis and the historical cost basis as a going concern except for certain financial
instruments that are measured at fair values or at amortised cost, wherever applicable, at the end of each reporting period, as explained in the
accounting policies below.

Historical cost is generally based on the fair value of the consideration given in exchange for goods and services

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at
the measurement date, regardless of whether that price is directly observable or estimated using another valuation technique. In estimating the
fair value of an asset or a liability, the Company takes into account the characteristics of the asset or liability if market participants would take
those characteristics into account when pricing the asset or liability at the measurement date. Fair value for measurement and/or disclosure
purposes in this financial statement is determined on such basis, except for share based payment transactions that are within the scope of Ind AS
102, leasing transactions that are within the scope of Ind AS 116, and measurements that have some similarities to fair value but are not fair
value, such as net realisable value in Ind AS 2 or value in use in Ind AS 36. In addition, for financial reporting purposes, fair value
measurements are categorised into Level 1, 2 or 3 based on the degree to which the inputs to the fair value measurements are observable and the
significance of the inputs to the fair value measurement in its entirety, which are described as follows:

• Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can access at the
measurement date;

• Level 2 inputs are inputs, other than quoted prices included within Level 1, that are observable for the asset or liability, either directly or
indirectly; and

• Level 3 inputs are unobservable inputs for the asset or liability.

The Financial Statements are prepared in Indian Rupee (INR) and denominated in Lakhs.

The principal accounting policies are set out below:

2.3 Non Current Assets Held for Sale:

Non-current assets are classified as held for sale if their carrying amount will be recovered principally through a sale transaction rather than
through continuing use. This condition is regarded as met only when the asset is available for immediate sale in its present condition subject only
to terms that are usual and customary for sales of such asset and its sale is highly probable. Management must be committed to the sale, which
should be expected to qualify for recognition as a completed sale within one year from the date of classification.

Non-current assets classified as held for sale are measured at the lower of their carrying amount and fair value less costs to sell.

2.4 Inventories:

Inventories are stated at the lower of cost and net realisable value. Cost comprises direct materials and, where applicable, direct labour costs and
those overheads that have been incurred in bringing the inventories to their present location and condition. Cost is calculated using the weighted
average cost method. Net realisable value represents the estimated selling price less all estimated costs of completion and costs to be incurred in
marketing, selling and distribution.

2.5 Revenue Recognition:

Revenue is measured at the fair value of the consideration received or receivable.

2.5.1. Rendering of services

Incomes from logistics services rendered are recognised on the completion of the services as per the terms of contract. Revenue is recognized at
the fair value of consideration received or receivable, to the extent that it is probable that the economic benefits will flow to the Company and the
revenue can be reliably measured.

2.5.2. Dividend and interest income

Dividend income from investments is recognized when the right to receive payment has been established (provided that it is probable that the
economic benefits will flow to the company and the amount of income can be measured reliably).

Interest income from a financial asset is recognized when it is probable that the economic benefits will flow to the company and the amount of
income can be measured reliably. Interest income is accrued on a time basis, by reference to the principal outstanding and at the effective interest
rate applicable, which is the rate that exactly discounts estimated future cash receipts through the expected life of the financial asset to that asset''s
net carrying amount on initial recognition.

2.5.3. Sale of products

The Company recognizes revenue from contracts with customers related to sale of goods, when the Company satisfies performance obligation.
Performance obligation are satisfied at the point of time when the customer obtains control of the goods. The control of goods is transferred to
the customer depending upon the delivery terms. Control is considered to be transferred to customer when customer has ability to direct the use
of such goods and obtain substantially all the benefits from it and has the primary responsibility when on selling the goods and it bears the risks
of obsolescence and loss in relation to the goods.

2.6 Leasing:

At inception of a contract, the Company assesses whether a contract is, or contains, a lease. A contract is, or contains, a lease if the contract
conveys the right to control the use of an identified asset for a period of time in exchange for consideration. To assess whether a contract conveys
the right to control the use of an identified asset, the Company assesses whether:

• the contract involves the use of an identified asset - this may be specified explicitly or implicitly and should be physically distinct or
represent substantially all of the capacity of a physically distinct asset. If the lessor has a substantive substitution right, then the asset is not
identified

• the Company has the right to obtain substantially all of the economic benefits from use of the asset throughout the period of use; and

• the Company as a lessee has the right to direct the use of the asset. The Company has this right when it has the decision-making rights that
are most relevant to changing how and for what purpose the asset is used. In rare cases where the decision about how and for what purpose
the asset is used is predetermined, the Company has the right to direct the use of the asset if either:

a) the Company as a lessee has the right to operate the asset; or

b) the Company as a lessee designed the asset in a way that predetermines how and for what purpose it will be used.

As a lessee

The Company recognises a right-of-use asset and a lease liability at the lease commencement date. The right-of use asset is initially measured at
cost, which comprises the initial amount of the lease liability adjusted for any lease payments made at or before the commencement date, plus
any initial direct costs incurred and an estimate of costs to dismantle and remove the underlying asset or to restore the underlying asset or the site
on which it is located, less any lease incentives received.

The right-of-use assets are subsequently depreciated using the straight-line method from the commencement date to the earlier of the end of the
useful life of the right of-use asset or the end of the lease term. In addition, the right-of-use asset is periodically reduced by impairment losses, if
any, and adjusted for certain re-measurements of the lease liability.

The lease liability is initially measured at amortized cost at the present value of the lease payments that are not paid at the commencement date,
discounted using the interest rate implicit in the lease or, if that rate cannot be readily determined, using the incremental borrowing rate.

It is re -measured when there is a change in future lease payments arising from a change in an index or rate, if there is a change in the Company’s
estimate of the amount expected to be payable under a residual value guarantee, or if the Company changes its assessment of whether it will
exercise a purchase, extension or termination option.

When the lease liability is remeasured in this way, a corresponding adjustment is made to the carrying amount of the right-of-use asset, or is
recorded in profit or loss if the carrying amount of the right-of-use asset has been reduced to zero.

Short-term leases and leases of low-value assets

The Company has elected not to recognise right-of-use assets and lease liabilities for short-term leases that have a lease term of 12 months or less
and leases of low-value assets. The Company recognises the lease payments associated with these leases as an expense on a straight line basis
over the lease term.

As a lessor

When the Company acts as a lessor, it determines at lease inception whether each lease is a finance lease or an operating lease. Whenever the
terms of the lease transfer substantially all the risks and rewards of ownership to the lessee, the contract is classified as a finance lease. All other
leases are classified as operating leases. When the Company is an intermediate lessor, it accounts for its interests in the head lease and the
sublease separately. The sublease is classified as a finance or operating lease by reference to the right-of-use asset arising from the head lease.
The Company recognises lease payments received under operating leases as income on a straight- line basis over the lease term as part of ‘other
income’.

On application of Ind AS 116, the nature of expenses has changed from lease rent in previous periods to depreciation cost for the right-to-use
asset, and finance cost for interest accrued on lease liability.

2.7. Borrowing costs:

Borrowing Cost that are attributable to the acquisition or construction of qualifying assets are capitalised as part of the cost of such assets. A
qualifying asset is one that necessarily takes a substantial period of time to get ready for its intended use or sale. All other borrowing costs are

2.8 Employee Benefits:

2.8.1 Retirement benefit costs and termination benefits

i. Defined Contribution Plan: Company’s contributions paid/payable during the year to the Superannuation Fund, ESIC, Provident Fund and
Labour Welfare Fund are recognised in the Statement of Profit and Loss.

ii. Defined Benefits Plan: For defined retirement benefit plans, the cost of providing benefits is determined using the projected unit credit
method, with actuarial valuations being carried out at the end of each annual reporting period. Remeasurement, comprising actuarial gains
and losses, the effect of the changes to the asset ceiling (if applicable) and the return on plan assets (excluding net interest), is reflected
immediately in the Balance Sheet with a charge or credit recognised in Other Comprehensive Income in the period in which they occur.
Remeasurement recognised in Other Comprehensive Income is reflected immediately in retained earnings and is not reclassified to profit
or loss. Past service cost is recognised in profit or loss in the period of a plan amendment. Net interest is calculated by applying the
discount rate at the beginning of the period to the net defined benefit liability or asset. Defined benefit costs are categorized as follows:

a) Service cost (including current service cost, past service cost, as well as gains and losses on curtailments and settlements);

b) Net interest expense or income; and

c) Remeasurement

The Company presents the first two components of defined benefit costs in profit or loss in the line item ‘Employee benefits expense’.
Curtailment gains and losses are accounted for as past service costs.

The retirement benefit obligation recognized in the Balance Sheet represents the actual deficit or surplus in the Company’s defined benefit plans.
Any surplus resulting from this calculation is limited to the present value of any economic benefits available in the form of refunds from the
plans or reductions in future contributions to the plans.

2.8.2. Short-term and other long-term employee benefits

• A liability is recognised for benefits accruing to employees in respect of wages and salaries.

• Liabilities recognised in respect of short term employee benefits are measured at the undiscounted amount of the benefits expected to be
paid in exchange for the related service.

• Liabilities recognised in respect of other long-term employee benefits are measured at the present value of the estimated future cash
outflows expected to be made by the Company in respect of services provided by employees up to the reporting date.

2.9 Share-based payment arrangements:

Equity-settled share-based payments to employees are measured at the fair value of the equity instruments at the grant date. Details regarding the
determination of the fair value of equity-settled share-based transactions are set out in note no. 64. The fair value determined at the grant date of
the equity-settled share-based payments is expensed on a straight-line basis over the vesting period, based on the Company''s estimate of equity
instruments that will eventually vest, with a corresponding increase in equity. At the end of each reporting period, the Company revises its
estimate of the number of equity instruments expected to vest. The impact of the revision of the original estimates, if any, is recognised in profit
or loss such that the cumulative expense reflects the revised estimate, with a corresponding adjustment to the equity-settled employee benefits
reserve.

2.10. Taxation:

Income tax expense represents the sum of the tax currently payable and deferred tax

2.10.1. Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from ‘Profit before tax’ as reported in the Statement of
Profit and Loss because of items of income or expense that are taxable or deductible in other years and items that are never taxable or deductible.
The Company’s current tax is calculated using tax rates that have been enacted or substantively enacted by the end of the reporting period.

2.10.2. Deferred tax

Deferred tax is recognised on temporary differences between the carrying amounts of assets and liabilities in the Financial Statements and the
corresponding tax bases used in the computation of taxable profit. Deferred tax liabilities are generally recognised for all taxable temporary
differences. Deferred tax assets are generally recognised for all deductible temporary differences to the extent that it is probable that taxable
profits will be available against which those deductible temporary differences can be utilised. Such deferred tax assets and liabilities are not
recognised if the temporary difference arises from the initial recognition (other than in a business combination) of assets and liabilities in a
transaction that affects neither the taxable profit nor the accounting profit. In addition, deferred tax liabilities are not recognised if the temporary
difference arises from the initial recognition of goodwill. Deferred tax liabilities are recognised for taxable temporary differences associated with
investments in subsidiaries and associates, and interests in joint ventures, except where the Company is able to control the reversal of the
temporary difference and it is probable that the temporary difference will not reverse in the foreseeable future. Deferred tax assets arising from
deductible temporary differences associated with such investments and interests are only recognised to the extent that it is probable that there
will be sufficient taxable profits against which to utilise the benefits of the temporary differences and they are expected to reverse in the
foreseeable future. The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that it is
no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax liabilities and
assets are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realised, based on tax rates
(and tax laws) that have been enacted or substantively enacted by the end of the reporting period. The measurement of deferred tax liabilities
and assets reflects the tax consequences that would follow from the manner in which the Company expects, at the end of the reporting period, to
recover or settle the carrying amount of its assets and liabilities.

2.10.3. Current and deferred tax for the year

Current and deferred tax are recognised in profit or loss, except when they relate to items that are recognised in Other Comprehensive Income or
directly in equity, in which case, the current and deferred tax are also recognized in Other Comprehensive Income or directly in equity
respectively

2.11. Property, Plant and Equipment:

2.8 Employee Benefits:

2.8.1 Retirement benefit costs and termination benefits

i. Defined Contribution Plan: Company’s contributions paid/payable during the year to the Superannuation Fund, ESIC, Provident Fund and
Labour Welfare Fund are recognised in the Statement of Profit and Loss.

ii. Defined Benefits Plan: For defined retirement benefit plans, the cost of providing benefits is determined using the projected unit credit
method, with actuarial valuations being carried out at the end of each annual reporting period. Remeasurement, comprising actuarial gains
and losses, the effect of the changes to the asset ceiling (if applicable) and the return on plan assets (excluding net interest), is reflected
immediately in the Balance Sheet with a charge or credit recognised in Other Comprehensive Income in the period in which they occur.
Remeasurement recognised in Other Comprehensive Income is reflected immediately in retained earnings and is not reclassified to profit
or loss. Past service cost is recognised in profit or loss in the period of a plan amendment. Net interest is calculated by applying the
discount rate at the beginning of the period to the net defined benefit liability or asset. Defined benefit costs are categorized as follows:

a) Service cost (including current service cost, past service cost, as well as gains and losses on curtailments and settlements);

b) Net interest expense or income; and

c) Remeasurement

The Company presents the first two components of defined benefit costs in profit or loss in the fine item ‘Employee benefits expense’.
Curtailment gains and losses are accounted for as past service costs.

The retirement benefit obligation recognized in the Balance Sheet represents the actual deficit or surplus in the Company’s defined benefit plans.
Any surplus resulting from this calculation is limited to the present value of any economic benefits available in the form of refunds from the
plans or reductions in future contributions to the plans.

2.8.2. Short-term and other long-term employee benefits

• A liability is recognised for benefits accruing to employees in respect of wages and salaries.

• Liabilities recognised in respect of short term employee benefits are measured at the undiscounted amount of the benefits expected to be
paid in exchange for the related service.

• Liabilities recognised in respect of other long-term employee benefits are measured at the present value of the estimated future cash
outflows expected to be made by the Company in respect of services provided by employees up to the reporting date.

2.9 Share-based payment arrangements:

Equity-settled share-based payments to employees are measured at the fair value of the equity instruments at the grant date. Details regarding the
determination of the fair value of equity-settled share-based transactions are set out in note no. 64. The fair value determined at the grant date of
the equity-settled share-based payments is expensed on a straight-line basis over the vesting period, based on the Company''s estimate of equity
instruments that will eventually vest, with a corresponding increase in equity. At the end of each reporting period, the Company revises its
estimate of the number of equity instruments expected to vest. The impact of the revision of the original estimates, if any, is recognised in profit
or loss such that the cumulative expense reflects the revised estimate, with a corresponding adjustment to the equity-settled employee benefits
reserve.

2.10. Taxation:

Income tax expense represents the sum of the tax currently payable and deferred tax

2.10.1. Current tax

The tax currently payable is based on taxable profit for the year. Taxable profit differs from ‘Profit before tax’ as reported in the Statement of
Profit and Loss because of items of income or expense that are taxable or deductible in other years and items that are never taxable or deductible.
The Company’s current tax is calculated using tax rates that have been enacted or substantively enacted by the end of the reporting period.

2.10.2. Deferred tax

Deferred tax is recognised on temporary differences between the carrying amounts of assets and liabilities in the Financial Statements and the
corresponding tax bases used in the computation of taxable profit. Deferred tax liabilities are generally recognised for all taxable temporary
differences. Deferred tax assets are generally recognised for all deductible temporary differences to the extent that it is probable that taxable
profits will be available against which those deductible temporary differences can be utilised. Such deferred tax assets and liabilities are not
recognised if the temporary difference arises from the initial recognition (other than in a business combination) of assets and liabilities in a
transaction that affects neither the taxable profit nor the accounting profit. In addition, deferred tax liabilities are not recognised if the temporary
difference arises from the initial recognition of goodwill. Deferred tax liabilities are recognised for taxable temporary differences associated with
investments in subsidiaries and associates, and interests in joint ventures, except where the Company is able to control the reversal of the
temporary difference and it is probable that the temporary difference will not reverse in the foreseeable future. Deferred tax assets arising from
deductible temporary differences associated with such investments and interests are only recognised to the extent that it is probable that there
will be sufficient taxable profits against which to utilise the benefits of the temporary differences and they are expected to reverse in the
foreseeable future. The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that it is
no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Deferred tax liabilities and
assets are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realised, based on tax rates
(and tax laws) that have been enacted or substantively enacted by the end of the reporting period. The measurement of deferred tax liabilities
and assets reflects the tax consequences that would follow from the manner in which the Company expects, at the end of the reporting period, to
recover or settle the carrying amount of its assets and liabilities.

2.10.3. Current and deferred tax for the year

Current and deferred tax are recognised in profit or loss, except when they relate to items that are recognised in Other Comprehensive Income or
directly in equity, in which case, the current and deferred tax are also recognized in Other Comprehensive Income or directly in equity
respectively

2.11. Property, Plant and Equipment:

All items of property, plant and equipment are stated at cost less accumulated depreciation and accumulated impairment losses, if any. Cost of
acquisition is inclusive of purchase price, levies and any directly attributable cost of bringing the assets to its working condition for the intended
use. Subsequent costs are included in the asset’s carrying amount or recognised as separate asset, as appropriate, only when it is probable that the
future economic benefits associated with the item will flow to the company and cost of the item can be measured reliably. The carrying amount
of any component accounted for as a separate asset is derecognised when replaced. All other repairs and maintenance are charged to Statement of
Profit and Loss during the reporting period in which they are incurred.

Depreciation on tangible assets is charged by the Written Down Value Method (WDV) in accordance with the useful lives specified in Part - C
of Schedule II of the Companies Act, 2013 on a pro-rata basis except in the case of:

i. Certain items of Second hand Plant & Machinery individually costing more than Rs. 5,000 - over their useful lives ranging from 2

years to 10 years as estimated by the company and also based on the contractual arrangements wherever applicable.

ii. Assets (other than computers) employed in business of Exclusive business outlets are depreciated over their useful lives of 6 years.

iii. The estimated useful lives, residual values and depreciation method are reviewed at the end of each reporting period, with the effect of
any changes in estimate accounted for on a prospective basis.

An item of property, plant and equipment is derecognized upon disposal or when no future economic benefits are expected to arise from the
continued use of the asset. Any gain or loss arising on the disposal or retirement of an item of property, plant and equipment is determined as the
difference between the sales proceeds and the carrying amount of the asset and is recognised in profit or loss.

2.12. Intangible assets:

2.12.1. Intangible assets acquired separately

The useful lives of intangible assets are assessed as either finite or infinite. Intangible assets with finite useful lives that are acquired separately
are carried at cost less accumulated amortisation and accumulated impairment losses. Amortisation is recognised on written down value method
over their estimated useful lives. The estimated useful life and amortisation method are reviewed at the end of each reporting period, with the
effect of any changes in estimate being accounted for on a prospective basis.

2.12.2. Useful lives of intangible assets

The expenditure incurred is amortised over ten financial years equally commencing from the year in which the expenditure is incurred.

2.13. Impairment of tangible and intangible assets:

The management of the Company assesses at each Balance Sheet date whether there is any indication that an asset may be impaired. If any such
indication exists, the management estimates the recoverable amount of the asset. If such recoverable amount of the asset is less than its carrying
amount, the carrying amount is reduced to its recoverable amount. The reduction is treated as an impairment loss and recognised in the Statement
of Profit and Loss. If at the Balance Sheet date there is an indication that if a previously assessed impairment loss no longer exists, the
recoverable amount is reassessed, and the asset is reflected at the recoverable amount subject to a maximum of depreciated historical cost. A
reversal of an impairment loss is recognized immediately in profit or loss.

2.14. Impairment of investments:

The Company assesses impairment of investments in subsidiaries, associates and joint ventures which are recorded at cost. At the time when
there are any indications that such investments have suffered a loss, if any, is recognised in the statement of Profit and Loss. The recoverable
amount requires estimates of operating margin, discount rate, future growth rate, terminal values, etc. based on management’s best estimate.

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Mar 31, 2018

NOTE: 1: SIGNIFICANT ACCOUNTING POLICIES:

1.1) BASIS OF PREPARATION OF FINANCIAL STATEMENTS: -

The financial statements of the company have been prepared in accordance with the generally accepted accounting principles in India (Indian GAAP). The company has prepared these financial statements to comply in all material respects with the accounting standards notified under section 133 of the Companies Act 2013, read with paragraph 7 of the Companies (Accounts) Rules 2014 and relevant provisions of the Companies Act, 2013.

1.2) USE OF ESTIMATES:

The preparation of financial statements requires management to make judgments, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income, expenses and disclosures of contingent liabilities at the date of these financial statements. Actual results may differ from these estimates. Estimates and underlying assumptions are reviewed at each balance sheet date. Revisions to accounting estimates are recognized in the period in which the estimate is revised and future periods affected.

1.3) TANGIBLE ASSETS: -

a. Fixed assets are stated at cost of acquisition or construction less accumulated depreciation/ amortization and accumulated impairment, if any.

b. Cost includes purchase price, taxes and duties, labor cost and directly attributable overhead expenditure for self constructed assets incurred up to the date the asset is ready for its intended use. Borrowing cost incurred for qualifying assets is capitalized up to the date the asset is ready for intended use, based on borrowings incurred specifically for financing the asset.

1.4) DEPRECIATION: -

Useful lives/ depreciation rates

a. Depreciation is being provided on a pro-rata basis on Written-Down Value Method on the basis of systematic allocation of the depreciable amount of the assets over its useful life as stated in Schedule II of the Companies Act, 2013 in order to reflect the actual usage of the assets.

b. Depreciation on assets sold, discarded or scrapped, is provided upto the date on which the said asset is sold, discarded or scrapped.

c. In respect of an asset for which impairment loss is recognized, depreciation is provided on the revised carrying amount of the assets.

1.5) INTANGIBLE ASSETS: -

Intangible assets are stated at acquisition cost, net of accumulated amortization and accumulated impairment losses , if any. Intangible assets are amortized over their estimated useful lives. The amortization period and the amortization method are reviewed at least at each financial year end. If the expected useful life of the assets is significantly different from previous estimates, the amortization period is changed accordingly.

1.6) INVENTORIES: -

(a) Basis of Valuation: At Cost (for stores & spares)

1.7) REVENUE RECOGNITION: -

(a) Revenue/ Income and Cost/ Expenditure are generally accounted for on accrual as they are earned or incurred except in case of significant uncertainties;

1.8) TAXATION:-

Income-tax expense comprises current tax and deferred tax charge or credit.

(a) Provision for current tax is made on the basis of the assessable income at the tax rate applicable to the relevant assessment year.

(b) The deferred tax asset and deferred tax liability is calculated by applying tax rate and tax laws that have been enacted or substantively enacted by the Balance Sheet date. Deferred tax assets arising mainly on account of brought forward losses and unabsorbed depreciation under tax laws, are recognized, only if there is a virtual certainty of its realization, supported by convincing evidence. Deferred tax assets on account of other timing differences are recognized only to the extent there is a reasonable certainty of its realization. At each Balance Sheet date, the carrying amount of deferred tax assets is reviewed to reassure realization.

(c) Minimum Alternate Tax (MAT) credit entitlement is recognized in accordance with the guidance note on “Accounting for credit available is respect of Minimum Alternate Tax under the Income Tax Act 1961” issued by the ICAI. MAT credit is recognized as an asset only when and to the extent there is convincing evidence that the company will pay normal income tax during the specified period.

1.9) INVESTMENTS:-

Long term investments are stated at cost less other than temporary diminution in value, if any. Current investments are stated at lower of cost and fair value.

1.10) EARNING PER SHARE:-

The company reports basic and diluted Earnings per Share in accordance with Accounting Standard-20- “ Earnings Per Share” issued by the Institute of Chartered Accountants of India.

Basic Earnings per Share are calculated by dividing the net profit or loss for the period attributable to equity shareholders by weighted average number of equity shares outstanding during the period.

1.11) CASH & CASH EQUIVALENTS:-

Cash & Cash Equivalents in the Balance Sheet comprise Cash at bank and Cash in hand.

1.12) BORROWING COST:-

Borrowing costs that are attributable to the acquisition, construction or production of qualifying assets are capitalized as part of the cost of such assets till such time the asset is ready for its intended use or sale. A qualifying asset is an asset that necessarily requires a substantial period of time to get read for its intended use or sale. All other borrowing costs are recognized as an expense in the year in which they are incurred.

1.13) PROVISIONS:-

Provisions are recognized, where the company has any legal or constructive obligation or where reliable estimate can be made for the amount of obligation and as a result of past events, for which it is probable that an outflow of economic benefits will be required to settle the obligation at the balance sheet date. These are reviewed at each balance sheet date and adjusted to reflect the current best estimates.

1.14) LIABILITIES & CONTINGENT LIABILITIES:-

Contingent liability is disclosed in the case of:

(i) a pre sent obligation arising from a past event, when it is not probable that an outflow of resources will be required to settle the obligation.

(ii) a present obligation when no reliable estimate is possible, and

(iii) a possible obligation, arising from past events where the probability of outflow of resources is not remote.

Contingent assets are neither recognized nor disclosed.

Contingent liabilities and contingent assets are reviewed at each balance sheet date and updated / recognized as appropriate.