Notes to Accounts of Sri Lotus Developers and Realty Ltd.

Mar 31, 2025

2.9 Provisions and contingent liabilities

(i) A provision is recognised when:

(a) The Company has a present obligation (legal or
constructive) as a result of a past event;

(b) It is probable that an outflow of resources
embodying economic benefits will be required
to settle the obligation; and

(c) A reliable estimate can be made of the amount
of the obligation.

(ii) 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.

(iii) A disclosure for a contingent liability is made when
there is a possible obligation or a present obligation
that may, but probably may not, require an outflow
of resources. A contingent liability also arises in
extreme cases where there is a probable liability
that cannot be recognised because it cannot be
measured reliably.

(iv) Where there is a possible obligation or a present
obligation such that the likelihood of outflow of
resources is remote, no provision or disclosure
is made.

2.10 Borrowing costs

Borrowing costs that are directly attributable to the
acquisition/ construction of qualifying assets are
capitalised as part of their costs.

Borrowing costs are considered as part of the asset cost
when the activities that are necessary to prepare the
assets for their intended use or sale are in progress.

Borrowing costs consist of interest and other costs
that Company incurs in connection with the borrowing
of funds. Other borrowing costs are recognised as an
expense, in the period in which they are incurred.

2.11 Segment reporting

Based on the “management approach” as defined in Ind
AS 108 Operating Segments, the Chairman and Chief
Operating Decision Maker evaluates the Company''s
performance based on an analysis of various performance
indicators by business segment. Segment revenue
and expense include amounts which can be directly
attributable to the segment and allocable on reasonable
basis. Segment assets and liabilities are assets/liabilities
which are directly attributable to the segment or can
be allocated on a reasonable basis. Income/expenses/
assets/liabilities relating to the enterprise as a whole
and not allocable on a reasonable basis to business
segments are reflected as unallocated income/ expenses/
assets/ liabilities.

2.12 Employee benefits

(i) Salaries and wages

Liabilities for wages and salaries that are expected
to be settled wholly within 12 months of rendering

the services are recognised up to the end of the
reporting period and are measured at the amounts
expected to be paid when the liabilities are settled.

(ii) Defined benefit plans

Gratuity is in the nature of a defined benefit plan.
Provision for gratuity is calculated on the basis of
actuarial valuations carried out at the reporting
date and is charged to the Statement of Profit and
Loss. The actuarial valuation is computed using the
projected unit credit method.

Re-measurements, comprising of actuarial gains
and losses, the effect of the asset ceiling, excluding
amounts included in net interest on the net defined
benefit liability and the return on plan assets
(excluding amounts included in net interest on the net
defined benefit liability), are recognised immediately
in the financial statement with a corresponding debit
or credit to retained earnings through OCI in the
period in which they occur. Remeasurements are
not reclassified to the Statement of Profit and Loss
in subsequent periods.

(iii) Defined Contribution Plan

The Company contributes to a recognised provident
fund for all its employees. Contributions are
recognised as an expense when employees have
rendered services entitling them to such benefits

2.13 Earnings per share

Basic earnings per share is calculated by dividing the
net profit/(loss) for the year attributable to equity
shareholders (after deducting preference dividends and
attributable taxes) by weighted average number of equity
shares outstanding during the year.

For the purpose of calculating diluted earnings per share,
the net profit/(loss) for the year attributable to equity
shareholders and the weighted average numbers of shares
outstanding during the year are adjusted for the effects of
all dilutive potential equity shares.

2B. First-time Adoption of Ind As

2B. 1 Exemptions Availed on First Time Adoption of Ind

As

A. Optional Exemptions Availed

Ind AS 101, First-time Adoption of Indian Accounting
Standard, allows first-time adopters certain exemptions
from the retrospective application or certain requirements
under Ind AS. The Company has accordingly applied the
following exemptions:

(i) Deemed Cost: Property, Plant and Equipment and
Intangible assets

Ind AS 101 permits a first time adopter to elect to
continue with the carrying value for all its property,
plant and equipment and intangible assets as
recognized in the financial statement as at the date
of transition to Ind AS, measured as per the previous
GAAP and use that as the deemed cost as at the date
of transition. Accordingly, the Company has elected
to measure all of its property, plant and equipment
and intangible assets at their previous GAAP carrying
value as at transition date.

The Company has elected to measure intangible
assets at the previous GAAP carrying amount as its
deemed cost on the date of transition to Ind AS.

(ii) Classification and Measurement of Financial Assets

The Company has classified the financial assets in
accordance with Ind AS 109 on the basis of facts and
circumstances that exist at the date of transition to
Ind AS.

(iii) Leases

The Company has applied the modified retrospective
approach in applying Ind AS 116.

B. Mandatory Exceptions

(i) Estimates

On assessment of the estimates made under the previous
GAAP Financial Statements, the Company has concluded
that there is no necessity to revise the estimates under
Ind AS, as there is no objective evidence of an error in
those estimates. However, estimates that were required
under Ind AS but not required under previous GAAP are
made by the Company for the relevant reporting dates
reflecting conditions existing as at that date. Key estimates
considered in preparation of financial statements that were
not required under the previous GAAP are listed below:

• Determination of the discounted value for financial
instruments carried at amortized cost.

• Determination of impairment allowance (ECL) on
trade receivables.

(ii) Classification and measurement of financial assets
and liabilities

Ind AS 101 requires an entity to assess classification of
financial assets and liabilities on the basis of facts and
circumstances existing as at the date of transition. Further,
the standard permits measurement of financial assets
and liabilities accounted at amortized cost based on facts
and circumstances existing at the date of transition if
retrospective application is Impracticable. Accordingly,
the Company has determined the classification of financial
assets and liabilities based on facts and circumstances
that exist on the date of transition. Measurement of
financial assets and liabilities accounted at amortized cost
has been done retrospectively except where the same
is impracticable.

(iii) Impairment of Financial Assets

At the date of transition to Ind AS, determining whether
there has been a significant increase in credit risk since
the initial recognition of a financial asset would require
undue cost or effort, the Company has recognized a loss
allowance at an amount equal to lifetime expected credit
losses at each reporting date until that financial instrument
is derecognized.

C The following Reconciliations provide a

quantification of the effect of differences arising
from the transition from Previous GAAP To Ind AS
as required under Ind AS 101

(a) Reconciliation of total Equity as at 1 April 2023 and as
at 31 March 2024

(b) Reconciliation of total comprehensive income for the
year ended 31 March 2024

(i) Deferred Tax

Under Previous GAAP the Company had not recognized
deferred tax on carried forward business which has
now been recognized as per guidance under Ind AS 12
‘Income taxes.

(ii) Leases

Under Previous GAAP, there was a difference in the
method of accounting for operating leases as compared
to the provisions of Ind AS. The same has been accounted
for as per the Provisions of Ind AS.

(iii) Remeasurement gain / loss of net defined benefit
plan

Under Previous GAAP the Company had not recognized
actuarial gains and losses in the Statement of Profit and
Loss. Under Ind AS, all actuarial gains and losses are
recognized in the other comprehensive Income as per Ind
As 19.

(iv) Revenue from contracts with customers

As per Previous GAAP Policy

Revenue from sale of constructed properties for all projects
is recognised in accordance with the Revised Guidance
Note issued by Institute of Chartered Accountants of
India (“ICAI”) on “Accounting for Real Estate Transactions
(Revised 2012)”. As per this Guidance Note, the revenue
have been recognised in terms of the percentage of actual
projects costs incurred thereon to total estimated projects

cost, provided all of the following conditions are met at
the reporting date:

Required critical approval for commencement of the
projects have been obtained.

At least 25% of estimated construction and development
costs (excluding land cost) have been incurred.

At least 25% of the saleable project area is secured by the
Agreement to Sell/application forms (containing salient
terms of the agreement to sell); and

At least 10% of the total revenue as per agreement to sell
are realized in respect of these agreements.

As per Ind AS, an entity shall recognize revenue when
(or as) the entity satisfies a performance obligation by
transferring a promised good or service (i.e. an asset)
to a customer. An asset is transferred when (or as) the
customer obtains control of that asset for company''s
policy for revenue recognition please refer Note 2.3
herein above.

(v) Reclassification of Preference Shares

Redeemable Preference Shares are classified under the
Non Current Borrowings in IND AS as against Share Capital
in IGAAP.

36 Discontinuing operations - Film Production and Distribution

The Board of the Directors of the Company through its board meeting dated March 01, 2024 proposed to close its business
division named as Anand Pandit Motion Pictures (“APMP”) engaged in the business of Film Production and Distribution. This
was subsequently approved by the shareholders through extraordinary general meeting dated March 11, 2024. Pursuant to
this, the division APMP has been closed down w.e.f. March 30, 2024 that has been reported as discontinued operation under
IND AS 105. The Film Rights held as inventory by this division has been sold to the Anand Pandit Motion Pictures LLP for which
payment was also received before March 31, 2024. All the other remaining assets including receivables will be recovered and
the liabilities will be settled by the company under ordinary course of business.

41 Segment information

Based on the information reported to the chief operating decision maker (CODM) for the purpose of resource allocation
and assessment of performance, there is only one reportable segments viz., Real Estate Development of Commercial and
Residential Projects in accordance with the requirements of Indian Accounting Standard 108-''Operating Segment Reporting'',
notified under the Companies (Indian Accounting Standards) Rules, 2015. The Company also had film production & distribution
business segment. However, the same has been discontinued w.e.f. March 30, 2024, as detailed in note 37. Hence, segment
reporting under IND AS 108 - ‘Operating Segment Reporting'' is not applicable.

Revenue from Projects includes revenue from two (FY 2024: One) customers which individually is more than 10% of the total
revenue amounting to C 1,845.80 Millions (FY 2024: 450.90 Millions).

44 Sri Lotus Developers Employee Stock Option Scheme 2024

The Company has introduced a Sri Lotus Developers Employee Stock Option Scheme 2024 (hereinafter referred to as “the
Scheme”) for the benefit of its eligible employees, pursuant to the provisions of Section 62(1)(b) of the Companies Act,
2013 and the Securities and Exchange Board of India (Share Based Employee Benefits and Sweat Equity) Regulations, 2021

(“the Regulations”). The scheme is approved for the benefit of eligible employees of the Company and its subsidiaries,
authorising the grant of up to 89,00,000 (Eighty-Nine Lakh) stock options, each convertible into one fully paid-up equity
share of face value ^1/- upon exercise, at par or at such other price as may be determined in accordance with applicable laws.

The scheme was approved by the Board of Directors in its meeting held on December 18, 2024, and subsequently approved
by the shareholders of the Company by way of a special resolution passed at the Extra-Ordinary General Meeting held on
January 29, 2025. As at March 31, 2025, no stock options have been granted under the Scheme, and accordingly, there is no
financial impact in the books for the year.

45 Financial risk management

The Company''s principal financial liabilities comprise mainly of borrowings, lease liability, trade and other payables. The main
purpose of these financial liabilities is to finance the Company''s operations. The Company''s principal financial assets include
loans and advances, trade and other receivables, cash and cash equivalents and other financial assets.

The Company is exposed through its operations to the following financial risks:

- Market risk

- Credit risk, and

- Liquidity risk.

The Company''s focus is to ensure liquidity which is sufficient to meet the Company''s operational requirements. The Company
monitors and manages key financial risks so as to minimise potential adverse effects on its financial performance. The
Company has a risk management policy which covers the risks associated with the financial assets and liabilities. The details
for managing each of these risks are summarised ahead.

45.1 Market risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes
in market prices. Market risk comprises three types of risks: interest rate risk, currency risk and other price risk. Financial
instruments affected by market risk includes borrowings, investments, trade payables, trade receivables, loans and derivative
financial instruments. The objective of market risk management is to manage and control market risk exposures within
acceptable parameters, while optimising the return.

a) Foreign Currency Risk

It is the risk that the fair value or future cash flows of an exposure will fluctuate because of the changes in foreign exchange
rates. There is no foreign currency risk as there is no outstanding foreign currency exposure at the year end.

b) Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of
changes in market interest rates. The company has taken term loans from banks and financial institutions. The company
does not expose to the risk of changes in market interest rates as company''s long and short term debt obligations are
of fixed interest rate. Therefore, there are no interest rate risks, since neither the carrying amount nor the future cash
flows will fluctuate because of change in market interest rates.

45.2 Credit risk

Credit risk refers to the risk that the counterparty will default on its contractual obligations resulting in financial loss to the
Company. Credit risks arises from cash and cash equivalents, deposits with banks, financial institutions and others, as well
as credit exposures to customers, including outstanding receivables.

The company considers factors such as track record, size of institutions, market reputation and service standards to select
banks with which balances and deposits are maintained. the balances and fixed deposits are generally maintained with the
banks with whom the company has regular transactions. Further, the company does not maintain significant cash in hand
other than those required for its day to day operations. Considering the same, the company is not exposed to expected credit
loss of cash and cash equivalent and bank balances.

Credit risks related to receivables resulting from the sale of property is managed by requiring customers to pay the dues
before transfer of ownership, therefore, substantially eliminating the Company''s credit risk in this respect. In respect of trade

and other receivables and other current and non current assets, there are no indicators as at the year end that defaults in
payment obligation will occur.

45.3 Liquidity risk management

Liquidity risk is the risk that the Company will encounter difficulty in meeting obligations associated with financial liabilities
that are settled by delivering cash or another financial asset.

The Company manages liquidity risk by maintaining adequate reserves, banking facilities and reserve borrowing facilities by
continuously monitoring forecast and actual cash flows. The Company generates sufficient cash flows from current operations
which together with the available cash and cash equivalents provide liquidity both in the short-term as well as in the long-term.
Note (ii) below sets out details of additional undrawn facilities that the Company has at its disposal to further reduce liquidity risk.

The financial instruments are categorised into three levels based on the inputs used to arrive at fair value measurements as
described below:

Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities

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

Level 3: Inputs based on unobservable market data

46 Capital Management

For the purpose of the Company''s capital management, capital includes issued equity share capital and other equity reserves
attributable to the owners of the Company. The primary objective of the Company''s capital management is to maximise the
shareholder value & maintain an optimal capital structure to reduce the cost of capital.

In order to maintain or adjust the capital structure, the Company may adjust the amount of dividends paid to shareholders,
return capital to shareholders, issue new shares, reduce debt or sell assets.

The Company maintains its capital structure and makes adjustments, if required in light of changes in economic conditions and
the requirements of the financial covenants. In order to achieve this overall objective, the Company''s capital management,
amongst other things, aims to ensure that it meets financial covenants attached to the borrowings that define the capital
structure requirements

(viii) Risk Analysis

Risk associated with the plan provisions are actuarial risks. These risks are: - (i) Asset Liability Matching Risk, (ii) Interest Rate
(discount rate risk), (iii) Mortality Risk, (iv) Salary Risk

Asset Liability Matching Risk

The plan faces the ALM risk as to the matching cash flow. entity has to manage pay-out based on pay as you go basis from
own funds.

Interest Risk (discount rate risk)

A fall in the discount rate which is linked to the G. Sec. Rate will increase the present value of the liability requiring higher
provision.

Mortality Risk

The present value of the defined benefit plan liability is calculated by reference to the best estimate of the mortality of plan
participants both during and after their employment. An increase in the life expectancy of the plan participants will increase
the plan''s liability. Since the benefits under the plan is not payable for life time and payable till retirement age only, plan does
not have any longevity risk

Salary Risk

The present value of the defined benefit plan liability is calculated by reference to the future salaries of members. As such,
an increase in the salary of the members more than assumed level will increase the plan''s liability.

The most recent actuarial valuation of the plan assets and the present value of the defined benefit obligation were carried
out at March 31, 2025, March 31, 2024 and March 31, 2023 by M/S. K. A. Pandit, Consultants & Actuaries. The present value of
the defined benefit obligation, and the related current service cost, were measured using the projected unit credit method.

50 Scheme of Amalgamation

The Board of Directors at its meeting held on June 14, 2024, approved a scheme of arrangement and merger (“Scheme”), of
wholly owned subsidiaries: (i) Tryksha Projects Private Limited (TPPL), Veer Savarkar Projects Private Limited (VSPPL), Zinnia
Projects Private Limited (ZPPL) and Sri Lotus Developers and Realty Holdings Private Limited (Formerly known as “Sri Lotus
Value Realty Private Limited”) (SLDPL) (collectively referred as “Amalgamated Companies”) with Sri Lotus Developers and
Realty Limited (formerly known as AKP Holdings Limited and AKP Holdings Private Limited) (“the Company”), under sections
233 of the Companies Act, 2013 and other applicable laws including the rules and regulations. The Scheme was approved
by the shareholders at their meeting held on September 25, 2024 and subsequently confirmed by Regional Director vide
their order dated October 30, 2024. Upon receipt of all requisite approvals, the company filed form INC 28 with Registrar of
Companies on November 22, 2024 and accordingly, the Scheme became effective. As per the Scheme, the appointed date for
the amalgamation is April 01, 2024. Accordingly, these Financial Statements for the as at April 01, 2023 and March 31, 2024
and for the period April 01, 2023 to March 31, 2024 are after taking the effects of the said Scheme.

51 Additional regulatory requirements under Schedule III

(i) Details of Benami Property held

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

(ii) Borrowing secured against current assets

The Company has not been sanctioned working capital limits from banks or financial institutions, on the basis of security
of current assets. Hence, the Company is not required to submit Stock and debtors statement to the bank on monthly
basis as also the Quarterly Information Statements.

(iii) Wilful defaulter

The Company has not been declared wilful defaulter by any bank or financial institution or government or any
government authority.

(iv) Relationship with struck off companies

The Company has no transactions with the companies struck off under Companies Act, 2013 or Companies Act, 1956.

(v) Compliance with number of layers of companies

The Company has complied with the number of layers prescribed under the Companies Act, 2013 read with the Companies
(Restriction on the number of layers) Rule, 2017.

(vi) Utilization of borrowed fund and share premium

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 group (Ultimate Beneficiaries) or

b. provide any guarantee, security or the like to or on behalf of the ultimate beneficiaries.

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:

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

b. provide any guarantee, security or the like to or on behalf of the ultimate beneficiaries

(vii) Undisclosed Income

There is no income surrendered or disclosed as income during the current year in the tax assessments under the Income
Tax Act, 1961, that has not been recorded in the books of account.

(viii) Details of crypto currency or virtual currency

The Company has not traded or invested in crypto currency or virtual currency during the current year.

(ix) Valuation of Property Plant and Equipment and Intangible asset

The Company has not revalued its property, plant and equipment (including Right-of-Use assets) or intangible assets
during the current year.

(xi) Title deeds of immovable properties held in name of the company

All the title immovable properties held in the name of company

(xii) Compliance with approved Scheme(s) of Arrangements:

The Company has entered into any scheme of arrangement in terms of section 230 to 237 of the Companies Act, 2013
and complied with the requirements of the Scheme.

(xiii) Investor education and protection fund:

There were no amounts which were required to be transferred to the Investor Education and Protection Fund by
the Company.

(xiv) Pending litigations & derivate contracts:

The Company does not have any pending litigations which would impact its financial position.

The Company did not have any long-term contracts including derivative contracts for which there were any material
foreseeable losses.

(xv) Subsequent events:

There are no significant subsequent events that would require adjustment or disclosures in the financial statements as
on the balance sheet date.

(xvi) Previous year figures:

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

53 These standalone financial statements have been approved for issue by the board of directors at its meeting held on April
28, 2025.

“0.00” denotes amount less than INR Five thousand.

Summary of significant accounting policies

The accompanying notes 1 to 50 are integral part of the standalone financial statements

For T.P. Ostwal & Associates LLP For and on behalf of the Board of Directors of

Chartered Accountants Sri Lotus Developers and Realty Limited

Firm Registration No: 124444W/100150W (formerly known as AKP Holdings Limited and AKP Holdings Private Limited)

CIN: U68200MH2015PLC262020

Esha P. Shah Anand Pandit Ashka Pandit

Partner Chairman & Managing Director Whole Time Director

Membership No.143874 DIN No. 00015551 DIN No. 10594507

Place: MumbaiPlace: Aswan, Egypt Place: Mumbai

Date: April 28, 2025 Date: April 28, 2025 Date: April 28, 2025

Sanjay Jain Rakesh Gupta Ankit Tater

Chief Executive Officer Chief Financial Officer Company Secretary

Place: MumbaiPlace: MumbaiM. No. 57623
Date: April 28, 2025 Date: April 28, 2025 Place: Mumbai

Date: April 28, 2025