Accounting Policies of BJ Duplex Boards Ltd. Company

Mar 31, 2025

1 CORPORATE INFORMATION

B J Duplex Board Limited is a Public (listed) Company incorporated on 13th May 1995. It is classified as Non Govt. Company and is registered at Registrar of Companies, Delhi. Its authorised share capital is Rs. 12,00,00,0000 and its paid up capital is Rs. <19,28,500/-,

The Company was a ''sick industrial company’ within the meaning of section 3( 1 )(()) of the Sick Industrial Company,s (special provision) Act, 1985 as declared by the boards for Industrial and Financial Reconstruction vide its order dated 8th August, 2005. However, the Company was deregistered from the B1FR vide order dated 2! .04.2010 passed by the Boards for Indusriia! and Financial Reconstruction. The Company''s Share are listed in the Bombay slock Exchange (BSE).

2 SIGNIFICANT ACCOUNTING POLICIES

This note provides a list ofthc significant accounting polices adopted in the preparation of the standalone financial statement. These polices have been consistently applied to all the years presented unless othcrswise stated.

2.01 Statement of Compliance

The financial statements of the Company have been prepared in accordance with Indian Accounting Standards (1ND AS) notified under Companies (Indian Accounting Standards) Rules, 2015. For all periods including the year ended 31 March 2017, the Company prepared its financial statements in accordance with accounting standards notified under the section 133 of the Companies Act 2013, read together with paragraph 7 of the Companies (Accounts) Rules, 2014 (Indian GAAP).The financial statements were authorised for issue by the Company’s Board of Directors on 27th May, 2025.

2.02 Basis of preparation of financial statements

The financial statements have been prepared on historical cost basis, except for certain financial instruments that are measured at fair values at the end of each reporting period, as explained in accounting policies subsequently.

The financial statements of the Company have been prepared in accordance with Indian Accounting Standards (ind AS) notified under the Companies (Indian Accounting Standards) Rules, 2015.

The ministry of Corporate affairs amended the Schedule 111 to the Companies Act, 2013 on 24 March 2021 to increase the transparency and provide additional disclosures to users of financial statements. These amendments are effective from I April 2021.

The preparation of the financial statements in conformity with recognition and measurement principles of Ind AS requires the Management to make estimates and assumptions that affect the reported balance of assets and liabilities, disclosure relating to contingent liabilities as at the date of the financial statements and the reported amount of income and expense for the period. Estimates and underlying assumptions are reviewed on ongoing basis. Revision of accounting estimates are recognised in the period in which the estimates are revised and future period affected.

Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognized in the period in which the estimates are revised and future periods are affected.

2.03 Current versus non-current classification

The Company presents assets and liabilities in the financial statement with current / non-current classification.

An asset is treated as current when it is:

(a) expected to be realized or intended to be sold or consumed in normal operating cycle

(b) held primarily for purpose of trading

(c) expected to be realized within twelve months after the reporting period, or

(d) cash or cash equivalent unless restricted from being exchanged or used to settle a liability for at least twelve months after the reporting period All other assets are classified as non-current.

A liability is current when:

(a) It is expected to be settled in normal operating cycle

(b) It is held primarily for purpose of trading

(c) It is due to be settled within twelve months after the reporting period, or

(d) There is no unconditional right to defer the settlement of the liability for at least twelve months after the reporting period .

All other liabilities are classified as non current.

The operating cycle is the time between the acquisition of assets for processing and their realization in cash and cash equivalents. The Company has identified twelve months as its operating cycle.

2.04 New and amended standards adopted by the Company

_ The Company has applied the following amendments to Ind AS for the first time for their annual reporting period commencing 1 April 2021:

Extension ofcovid 19 related concessions - amendments to Ind AS 116

interest rate benchmark reform - amendments to Ind As 109, Financial Instruments, Ind AS 107, Financial Instruments: Disclosures, Ind AS 104, insurance Contracts and Ind AS 116, lease.

.. - The amendments did not have any impact on the amounts recognised in prior periods and are not expected to significantly affect the current or future periods.

2.05 Financial Instruments

A financial instrument is any contract that gives rise to a financial assets of one entity anc! a financial liability or equity instrument of another entity, i) Financial Assets

The Company classifies its financial assets in (he following measurement categories:

(a) Those to be measured subsequently at fair value (cither through other comprehensive income, or through profit & loss).

(b) Those measured at amortised cost.

Initial recognition and measurement

Financial assets are recognised initially at fair value plus, in the case of financial assets not recorded at fair value through profit and loss, transaction costs that are directly attributable to the acquisition of financial assets. Purchase or sale of financial asset that require delivery of assets within a time frame established by regulation or conversion in the market place (regular way trades) are recognised on the trade dale, t.e., the dale that the Company commits to purchase and sell the assets.

Subsequent measurement

For purposes of subsequent measurement financial assets are classified in following categories:

(a) Debt instruments at amortized cost

(b) Debt instruments at fair value through other comprehensive income (FVTOC1)

(c) Debt instruments at fair value through profit and loss (FVTPL)

(d) Equity instruments measured at fair value through other comprehensive income (FVTOC1)

(e) Equity instruments measured at fair value through profit and loss (FVTPL)

Where assets are measured at fair value, gains and losses are either recognized entirely in the statement of profit and loss (i.e. fair value through profit or loss), or recognized in other comprehensive income (i.e. fair value through other comprehensive income). For investment in debt instruments, this will depend on the business model in which the investment is held. For investment in equity instruments, litis will depend on whether the Company has made an irrevocable election at the time of initial recognition to account for equity instruments at FVTOC1.

Debt instruments at amortized cost

A Debt instrument is measured at amortized cost if both the following conditions are met:

(i) Business Model Test: The asset is held within a business mode! whose objective is to hold assets for collecting contractual cash flows, and

(ii) Cashflow Characterstics Test: Contractual terms of asset give rise on specified dates to cash Hows that are solely payments of principal and interest (SPPI) on principal amount outstanding.

After initial measurement, such financial assets are subsequently measured at amortized cost using the effective interest rate (EIR) method. Amortised cost is calculated by taking into account any discount or premium on acquisition and fees or costs that are an integral part of EIR. The EIR amortization is included in finance income in statement of profit or loss. The losses arising from impairment are recognized in the statement of profit or loss. This category generally applies to trade, other receivables, loans and other financial assets.

Debt instruments at fair value through OCI

A ''debt instrument'' is classified as at the FVTOC1 if both of the following criteria are met:

(i) Business Model Test: The objective of the business model is achieved by both collecting contractual cash flows and selling financial assets, and

(ii) Cashflow Characterstics Test: The asset''s contarctual cash flows represent SPPI.

Debt instrument included within the FVTOC1 category are measured initially as well as at each reporting date at fair value. Fair value movements are recognized in the other comprehensive income (OCI). However, the Company recognises interest income, impairment losses and reversals and foreign exchange gain or loss in the statement of profit and loss. On dereognition of the asset, cumulative gain or loss previously recognized in OCI is reclassified from the equity to statement of profit & loss. Interest earned whilst holding FVTOCI debt instrument is reported as interest income using the EIR method..

Debt instniments at FVTPL

FVTPL is a residual category for debt instruments. Any debt instrument, which does not meet the criteria for categorization as at amortized cost or as FVTOCI, is classified as at FVTPL.

In adition, the Company may elect to designate a deb! instrument, which otherwise meets amortised cost or FVTOCI criteria, as at FVTPL. However, such election is allowed only if doing so reduces or eliminates a measurement or recognition inconsistency (referred to as ''accounting mismatch¹). The Company has not designated any debt instrument as at FVTPL.

Equity investments of other entities

Ail equity investments in scope of 1ND AS 109 are measured at fair value, Equity instruments which are held for trading are classified as at FVTPL. for all other equity instruments, the Company may make an irrevocable election Jo present in other comprehensive income all subsequent changes in the lair value. The Company makes such election on an instrumenl-by-instrument basis. The classification is made on initial recognition and is irrevocable.

In case of equity instruments classified as FVTOCI, then all fair value changes on the instrument, excluding dividends, are recognized in the OC3. There is no recycling of the amounts from OCI to statement of profit and loss, even on sale of investment. However, the Company may transfer the cumulative gain or loss within equity.

Cquity instruments included within the FVTPL category are measured at fair value with all changes recognized in the Statement of Profit and loss.

Derecognition

A financial asset (or,where applicable, a part of a financial asset or part of group of similar financial assets) is primarily derecognised when:

(a) The t ight to receive cash flows from the assets have expired, or

(b) The Company has transferred its rights to receive cash flows from the asset or has assumed an obligation to pay the received cash flows in full without material delay to a third parly under a "pass through” arrangement and either:

(i) the Company has transferred substantially all the risks and rewards of the asset, or

(ii) (he Company has neither transferred nor retained substantially all the risks and rewards of the asset, but has transferred control of (he asset.

Where the Company has transferred its rights to receive cash flows from an asset or has entered into a passthrough arrangement, it evaluates if and to what extent it has retained the risks and rewards of ownership. Where it has nifher transferred not retained substantially all of the risks and rewards of the assets, nor transferred control of the assets, the Company continues to recognise the transferred assets to the extent of the Company''s continuing involvement. In that case, the Company also recognises an associated liability. The transferred asset and the associated liability are measured on a basis that reflects the rights and obligations that the Company has retained.

Impairment of financial assets

The Company assess at each balance sheet date whether there is any indication that an asset may be impaired. If any such indiaction exist, the Company estimates recoverable amount of the asset. If such recoverable amount of the asel or he recoverable amount of the aesh generating unit to which the aseets belong is less than its carrying amount, the carrying amount is reduced to its recoverable amount. Th ereduclion is treated as an impairment loss and is recognised in the statement of profit and loss, if at the balance sheet date there is any indication that if a previously assessed impairment loss no longer exist, the recoverable amount is reassessed and the asset is reflected at the recoverable amount subject to a maximum of depriciated historical cost.

No impairment loss has been provided on non finanacia! assets considering that no indications internal/ external exists those suggests that recoverable amount of asset is less than its carrying value.

ii) Financial liabilities:

Initial recognition and measurement

Financial liabilities are recognised intially at fair value through profit or loss, loans and borrowings, and payables, net of directly attributable transaction costs.

All financial liabilities are recognised intially at fair value and in case of loans, borrowings and payables, net of directly attributable transaction costs.

The Company''s financial liabilities include trade and other payables.

Subsequent measurement

The measurement of financial liabilities depends on their classification, as described below:

Trade Payables

These amounts represents liabilities for goods and services provided to the Company prior to the end of financial year which are unpaid. The amounts are unsecured and are usually paid within 120 days of recognition. Trade and other payables are presented as current liabilities unless payment is not due within 12 months after the reporting period. They are recognized initially at fair value and subsequently measured at amortized cost using EIR method.

Loans and borrowings

This is the category most relevant to the Company. After initial recognition, interest-bearing loans and borrowings are subsequently measured at amortized cost using the EIR method. Gains and losses are recognized in statement of profit or loss when the liabilities are derecognised as well as through the EIR amortization process.

Amortised cost is calculated by taking into account any discount or premium on acquisition and fees or costs that are an integral part of the EIR. The EIR amortization is included as finance costs in the statement of profit and loss.

Derecognition

A financial liability is derecognised when the obligation under the liability is discharged or cancelled or expires. When an existing financial liability is replaced

by another from (he same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or medication is treated as the derecognition of the original liability and the recognition of a new liability. The difference in the respective carrying amounts is recognized in the Statement of Profit and Loss,

Reclassification of financial assets:

The Company determines classification of financial assets and liabilities on initial recognition. Alter initial recognition, no reclassification is made for financial assets which are equity instruments and financial liabilities. For financial assets which are debt instruments, a reclassification is made only if there is a change in the business mode! for managing those assets. Changes to the business model are expected to be infrequent. The Company’s senior management determines change in the business model as a result of external or internal changes which are significant to the Company’s operations. Such changes are evident to external parlies, A change in the business model occurs when the Company cither begins or ceases to perform an activity that is significant to its operations. If the Company reclassifies financial assets, it applies 1 he reclassification prospectively from the reclassification date which is the first day of the immediately next reporting period following the change in business model. The Company does no! restate tiny previously recognised gains, losses (including impairment gains or losses) or interest.

The following table shows various	reclassifications and how they are accounted for :
Original classification	Revised classification	Accounting treatment
Amortised cost	FVTPL	Fair value is measured at reclassification date. Difference between previous amortized cost and fair value is recognised in statement of profit and loss.
FVTPL	Amortised cost	Fair value at reclassification date become its new gross carrying amount. EIR is calculated based on the new gross carrying amount.
Amortised cost	FVTOCI	Fair value is measured at reclassification date. Difference between previous amortised cost and fair value is recognised in OC1, No change in EIR due to
FVTOCI	Amortised cost	Fair value at reclassification date becomes its new amortised cost carrying amount. However, cumulative gain or loss in OCI is adjusted against fair value. Consequently, the asset is measured as if it had alwavs been measured at
FVTPL	FVTOCI	Fair value at reclassification date becomes its new carrying amount. No other adjustment is required.
FVTOCI	FVTPL	Assets continue to be measured at fair value. Cumulative gain or loss previously recognized in OCI is reclassified to statement of profit and loss at the reclassification date.

Offsetting of financial instruments:

Financials assets and financial liabilities are offset and the net amount is reported in the balance sheet if there is a currently enforceable legal right to offset the recognized amounts and there is an intention to settle on a net basis, to realize the assets and settle the liabilities simultaneously.

2.06 Taxes

Tax expense for the year comprises of direct tax and indirect tax.

Direct Taxes

a) Current Tax

i) Current income tax, assets and liabilities are measured at the amount expected to be recovered from or paid to the taxation authorities in accordance with the Income Tax Act, 1961. The tax rates and tax laws used to compute the amount are those that are enacted or substantively enacted, at the reporting date in India as per Income Computation and Disclosure Standards (ICDS) where the Company operates and generates taxable income.

ii) Current income tax relating to item recognized outside the statement of profit and loss is recognized outside profit or loss (either in other comprehensive income or equity).Current tax items are recognized in correlation to the underlying transactions either in statement of profit and loss or directly in equity. Management periodically evaluates positions taken in the tax returns with respect to situations in which applicable tax regulations are subject to interpretation and establishes provisions where appropriate.

b) Deferred l ax

Deferred tax is provided using the liability method on temporary differences between the tax bases of assets and liabilities and their carrying amounts for financial reporting purposes at the reporting date.

Deferred tax assets and liabilities are recognized for all deductible temporary differences, the carry forward of unused tax credits and any unused tax losses. Deferred tax assets are recognized to the extent that it is probable that taxable profit will be available against which the deductible temporary

differences, and die carry forward of unused lax credits and unused lax losses can be utilized, except:

a) When the deferred lax asset relating to (he deductible temporary difference arises from the initial recognition of an asset or liability in a transaction that is not a business combination and, at the lime of the transaction, affects neither the accounting profit nor taxable profit or loss.

b) In respect of deductible temporary differences associated with investments in subsidiaries, deferred tax assets are recognised only to the extent that it is probable that the temporary differences will reverse in the foreseeable future and taxable profit will be available against which the temporary differences can be utilised.

The carrying amount of deferred tax assets is reviewed at each reporting date and reduced to the extent that it is no longer probable that sufficient taxable profit will be available to allow all or part of the deferred lax asset to be utilized. Unrecognized deferred tax assets are re-assessed at each reporting date and are recognized to the extent that it has become probable that future taxable profits will allow the deferred tax asset to be recovered.

Deferred lax assets and liabilities are measured at the tax rales that are expected to apply in the year when the asset is realized or the liability is settled, based on tax rales (and tax laws) that have been enacted or substantively enacted at the reporting date.

Deferred tax relating to items recognized outside the statement of profit and loss is recognized outside the statement of profit and loss (either in other comprehensive income or in equity). Deferred tax items are recognized in correlation to the underlying transaction either in OC1 or direct in equity.

Deferred Tax includes Minimum Alternate Tax (MAT) recognizes MAT credit available as an asset only to the extent that there is convincing evidence that the Company will pay normal income tax during the specified period, i.e. the period for which MAT credit is allowed to be carried forward. The Company reviews the ''‘MAT credit entitlement” asset at each reporting date and writes down the asset to the extent the Company does not have convincing evidence that it will pay normal tax during the specified period.

Deferred tax assets and deferred lax liabilities are offset if a legally enforceable right exists to set off current tax assets against current tax liabilities and the deferred taxes relate to the same taxable entity and the same taxation authority.

Indirect Faxes

Goods and Sevice ''fax has been accounted for in respect of the goods cleared. The Company is providing Goods and Sevice tax liability in respect of finished goods. GST has been also accounted for in respect of services rendered.(w.e.f. 1st July, 2017 GST has been implemented. All the taxes like Excise Duty. Value Added Tax. etc. are subsummed in Goods and Service Tax.)

7 Revenue Recognition

Revenue is measured at the fair value of the consideration received or receivable, taking into account contractually defined terms of payment and excluding taxes or duties collected on behalf of the government. Revenue is recognized to the extent that it is probable that the economic benefits will flow to the Company and the revenue can be reliably measured, regardless of when the payment is being made. Amounts disclosed are inclusive of Goods and service tax and net of returns, trade discounts, rebates and amount collected on behalf of third parties, (w.e.f. 1st July, 2017 GST has been implemented. All the taxes like Excise Duty, Value Added Tax, etc. are subsummed in Goods and Service Tax.)

The Company assesses its revenue arrangements against specitlc criteria in order to determine if it is acting as principal or agent. The Company has concluded that it is acting as a principal in all of its revenue arrangements since it is the primary obligor in all the revenue arrangements as it has pricing latitude and is also exposed to inventory and credit risks. The specitlc recognition criteria described below must also be met before revenue is recognized:

a) Sale of services

Revenue from contracts with customers is recognised when control of the goods or services are transferred to the customer at an amount that reflects the consideration to which the Company expects to be entitled in exchange for those goods or services. Tiie Company has generally concluded that it is the principal in its revenue arrangements.

i) Variable Consideration:

If the consideration in a contract includes a variable amount, the Company estimates the amount of consideration to which it will be entitled in exchange for transferring the goods to the customer. The variable consideration is estimated at contract inception and constrained until it is highly probable that a significant revenue reversal in the amount of cumulative revenue recognised will not occur when the associated uncertainty with the variable consideration is subsequently resolved. Some contracts for the sale of electronics equipment provide customers with a right of return and volume rebates. The rights of return and volume rebates give rise to variable consideration.

ii) Contract Assets:

A contract asset is the right to consideration in exchange for goods or services transferred to the customer. If the Company performs by transferring goods or services to a customer before the customer pays consideration or before payment is due, a contract asset is recognised for the earned consideration that is conditional.

A receivable represents the Company’s right to an amount of consideration that is unconditional (i.e., only the passage of time is required before payment of the consideration is due).

b) Interest

Interest income is recognised on a time proportion basis taking into account the amount outstanding and the applicable interest rates.

2.08 Earnings Per Share

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

Diluted EPS amounts are calculated by dividing the profit attributable to equity holders of the Company after adjusting impact ol dilution shares by the weighted average number of equity shares outstanding during the year plus the weighted average number ol equity shares that would be issued on conversion ol all the dilutive potential equity shares into equity shares.

2.09 Borrowing Costs

Borrowing costs, if any, directly attributable to the acquisition, construction or production of an asset that necessarily takes a substantial period o! time to get ready for its intended use or sale are capitalized as part of the cost of the respective asset. All other borrowing costs are recognized as expense in the period in which they occur.

Borrowing cost includes interest and other costs incurred in connection with the borrowing of funds and charged to Statement of Profit & Loss on the basis ol effective interest rale (EIR) method. Borrowing cost also includes exchange differences to the extent regarded as an adjustment to the borrowing cost.

2.10 Impairment of non- financial Assets

The Company assesses, at each reporting dale, whether there is an indication that an asset may be impaired. If any indication exists, or when annua! impairment testing for an asset is required, the Company estimates the asset’s recoverable amount. An asset’s recoverable amount is the higher of an asset’s or cash-generating unit’s (CGIJ) fair value less eosts of disposal and its value in use. Recoverable amount is determined for an individual asset, unless the asset does not generate cash inflows that are largely independent of those from other assets or Company''s of assets. Where the carrying amount of an asset or CGU exceeds its recoverable amount, the asset is considered impaired and is written down to its recoverable amount.

In assessing value in use, the estimated future cash Hows arc discounted to their present value using a pre-tax discount rate that reflects current market assessments of the lime value of money and the risks specific to the asset. In determining fair value less costs of disposal, recent market transactions are taken into account, if available. If no such transactions can be identified, an appropriate valuation model is used. These calculations are corroborated by valuation multiples , quoted share prices for publicaly traded companies or other available lair value indicators.

impairment losses including impairment on inventories, are recognized in the statement of profit and loss. After impairment, depreciation is provided on the revised carrying amount of the asset over its remaining useful life.

Non-financia! assets other than goodwill that suffered an impairment arc reviewed for possible reversal of the impairment at the end of each reporting period.

An assessment is made at each reporting date to determine whether there is an indication that previously recognised impairment losses no longer exist or have decreased, if such indication exists, the Company estimates the asset’s or CGU’s recoverable amount. A previously recognised impairment loss is reversed only if there has been a change in the assumptions used to determine the asset’s recoverable amount since the last impairment loss was recognised. The reversal is limited so that the carrying amount of the asset does not exceed its recoverable amount, nor exceed the carrying amount that would have been determined, net of depreciation, had no impairment loss been recognised for the asset in prior years. Such reversal is recognised in the statement of profit and loss.

2.11 Segment accounting

The Company''s main business is sale/ purchase of papers and boards. All other activities of the Company revolve around ths main business. There are no separate segments within the Company as defined by the Ind AS 108 (Operating Segment) issued by Institute of Chartered Accountant of India.

2.12 Leases

The Company assesses at contract inception whether a contract is, or contains, a lease. That is, if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration.

Company as a lessee

The Company applies a single recognition and measurement approach for all leases, except for short-term leases and leases of low-value assets. The Company recognises lease liabilities to make lease payments and right-of-use assets representing the right to use the underlying assets.

(a) Right-of-use assets

The Company recognises right-of-use assets at the commencement date of the lease (i.e., the date the underlying asset is available for use). Right-of-use assets are measured at cost, less any accumulated depreciation and impairment losses, and adjusted for any remeasurement of lease liabilities. The cost of right-of-use assets includes the amount of lease liabilities recognised, initial direct costs incurred, and lease payments made at or before the commencement date less any lease incentives received. Right-of-use assets are depreciated on a straight-line basis over the shorter of the lease term and the estimated useful lives of the building (i.e. 30 and 60 years)

If ownership of the leased asset transfers to the Company at the end of the lease term or the cost reflects the exercise of a purchase option, depreciation is calculated using the estimated useful life of the asset. The right-of-use assets are also subject to impairment. Refer to the accounting policies in section ''Impairment of nonfinancial assets''.

(b) Lease Liabilities

At the commencement date of the lease, the Company recognises lease liabilities measured at the present value of lease payments to be made over the lease term. The lease payments include fixed payments (including in substance fixed payments) less any lease incentives receivable, variable lease payments that depend on an index or a rate, and amounts expected to be paid under residual value guarantees. The lease payments also include the exercise price of a purchase option reasonably certain

to be exercised by the Company and payments of penalties for terminating the lease, if the lease term reflects the Company exercising the option to terminate. Variable lease payments that do not depend on an index or a rate are recognised as expenses (unless they are inclined to produce inventories) in the period in which the event or condition that triggers the payment occurs.

- '' In calculating the present value oflease payments, the Company uses its incremental borrowing rate at the lease commencement date because the interest rate implicit in the lease is not readily determinable. After the commencement date, the amount of iease liabilities is increased to reflect the accretion of interest and reduced for the lease payments made. In addition, the carrying amount oflease liabilities is remeasured if there is a modification, a change in the lease term, a change in the iease payments (e.g., changes to future payments resuiting from a change in an index or rate used to determine such lease payments) or a change in the assessment oi an option to purchase the underlying asset.

(e) Short-term leases and leases of low-value assets

Leases for which the Company is a lessor is classified as finance or operating lease. Leases in which the Company does not transfer substantially all the risks and rewards incidental to ownership of an asset are classified as operating leases. Rental income arising is accounted for on a straight-line basis over the lease terms. Initial direct costs incurred in negotiating and arranging an operating lease are added to the carrying amount of the leased asset and recognised over the iease term on the same basis as rental income. Contingent rents are recognised as revenue in the period in which they are earned.

Company as a lessee:

Finance Leases

A lease is classified at the inception date as a finance iease or an operating iease. A lease that transfers substantially all the risks and rewards incidental to ownership to the Company is classified as a finance lease. Finance leases are capitalized at the commencement of the lease at the inception date fair value of the leased properly or, if lower, at the present value of the minimum lease payments. Lease payments are apportioned between finance charges and reduction of the lease liability so as to achieve a constant rate of interest on the remaining balance of the liability. Finance charges are recognized in finance costs in the statement of profit or loss, unless they are directly attributable to qualifying assets, in which case they are capitalized in accordance with Company''s general policy on the borrowing cost.

A ieased asset is depreciated over the useful life of the asset. However, if there is no reasonable certainty that the Company will obtain ownership by the end of the iease term, the asset is depreciated over the shorter of the estimated useful life of the asset and the lease term.

Operating leases

Operating iease payments are recognized as an expense in the Statement of Prollt or Loss account on straight line basis over the lease term, unless the payments are structured to increase in line with the expected general inflation to compensate for the lessor in expected inflationary cost increase.

2.13 Government Grants

Government Grants are recognized at their fair value when there is reasonable assurance that the grant will be received and all the attached conditions will be complied with.

There are no grants or subsidies received from the governement during the previous year.

2.14 Fair Value Measurement

The Company measures financial instruments at fair value at each balance sheet date.

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 dale. The fair value measurement is based on the presumption that the transaction to sell the asset or transfer the liability lakes place either:

(i) In the principal market for asset or liability, or

(ii) In the absence of a principal market, in the most advantageous market for the asset or liability.

The principal or the most advantageous market must be accessible by the Company.

The fair value of an asset or liability is measured using the assumptions that market participants would use when pricing the asset or liability, assuming that market participants act in their economic best interest.

A fair value measurement of a non- financial asset takes into account a market participant''s ability to generate economic benefits by using the asset in its highest and best use or by selling it to another market participant that would use the asset in its highest and best use.

The Company uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, maximising the use of relevant observable inputs and minimizing the use of unobservable inputs.

All assets and liabilities for which lair value is measured or disclosed in the financial statements are categorized within the fair value hierarchy, described as follows, based on the lowest level input that is significant to the fair value measurement as a whole:

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

Level 2- Valuation techniques for which the lowest level input that is significant to the fair value measurement is directly or indirectly observable Level 3- Valuation techniques for which the lowest level input that is significant to the fair value measurement is unobservable

For assets and liabilities that are recognized in the financial statements on a recurring basis, the Company determines whether transfers have occurred between levels in the hierarchy by re-assessing categorization ( based on the lowest level input that is significant to fair value measurement as a whole ) at the end of each reporting

. _ period.

For the purpose of fair value disclosures, the Company has determined classes of assets and liabilities on the basis ot the nature, characteristics and risks oi the asset or liability and the level of the fair value hierarchy as explained above.

2.15 Estimates and assumptions

The key assumptions concerning the future and other key sources of estimation uncertainty at the reporting date, that have a significant risk ol causing a mateiial adjustment to the carrying amounts of assets and liabilities within the next financial year, are described below. The Company based its assumptions and estimates on parameters available when the financial statements were prepared. Existing circumstances and assumptions about tuture developments, howevei, may change due to market changes or circumstances arising beyond the control of the Company. Such changes are reflected in the assumptions when they occui.

Judegments

In the process of applying the Company’s accounting policies, management has made the following judgments, winch have the most significant effect on the amounts recognized in the financial statements.

a) Revenue from contracts with customers

The Company applied the following judgements that significantly affect the determination of the amount and timing of revenue from contracts with customers: Determining method to estimate variable consideration and assessing the constraint

In estimating the variable consideration, the Company is required to use either the expected value method or the most likely amount method based on which method better predicts the amount of consideration to which it will be entitled. The Company determined that the expected value method is the appropriate method to use in estimating the variable consideration for revenue from operations. Before including any amount of variable consideration in the transaction price, the Company considers whether the amount of variable consideration is constrained. The Company determined that the estimates ot variable consideration are not constrained based on its historical experience, business forecast and the current economic conditions. In addition, the uncertainty on the variable consideration will be resolved within a short lime frame.

b) Fair value measurement of financial instrument

When the fair value of financial assets and llnancial liabilities recorded in the balance sheet cannot be measured based on quoted prices in active markets, their fair value is measured using valuation techniques including the Discounted Cash Flow (DCF) model. The inputs to these models are taken from obse: able markets where possible, but where this is not feasible, a degree of judgment is required in establishing fair values. Judgments include considerations oi inputs such as liquidity risk, credit risk and volatility. Changes in assumptions about these factors could affect the reported fair value of financial instruments.

c) Impairment of Financial assets

The impairment provisions of llnancial assets are based on assumptions about risk ol delault and expected loss rates, the Company uses judgment in making these assumptions and selecting the inputs to the impairment calculation, based on Company''s past history ,existing market conditions as well as forward looking estimates at the end of each reporting period.

(1) Impairment of non-Financial assets

The Company assesses at each reporting date whether there is an indication that an asset may be impaired. If any indication exists, or when annual impairment testing for an asset is required, the Company estimates the asset''s recoverable amount. An assets recoverable amount is the higher of an asset''s CGU’S fair value less cost of disposal and its value in use. It is determined for an individual asset, unless the asset does not generate cash inflows that are largely independent of those from oilier assets or Company''s of assets. Where the carrying amount of an asset or CGU exceeds its recoverable amount, the asset is considered impaired and is written down to its recoverable amount. .

In assessing value in use , the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. In determining fair value less costs of disposal, recent market transactions are taken into account. If no such transactions can be identified, an appropriate valuation model is used. These calculations are corroborated by valuation multiples, or other fair value indicators.

2.16 Cash and Cash Equivalents

Caslt and casli equivalents in the balance sheet comprise cash at banks and on hand and short-term deposits with an original maturity of three months or less, which are subject to insignificant risk of changes in value.

For the purpose of statement of cash flow, cash & cash equivalents consists of cash and short term deposits as defined above, net of outstanding bank overdrafts as they are considered as integral part of Company''s cash management.

---

Mar 31, 2024

I h*s nolc provides a list or the significant accounting police* adopted ,n the prcparai.on ol the standalone finane.al statement These polices
l»''vc been consistently applied to all the years presented unless otherwise stated ^P

’¦''ll Siaienient of compliance

I i''c financial statements ol the Company have been prepared in accordance with Indian Accounting Standards (INU AS) notified
under Companies (India.. Aecmnlmg Standards) Rules 2015 For all periods includ.ng the year ended 3 I March 2017. ihe Company
prepared its financial statements ... necorduiicc with accounting standards notified under Ihc section 133 of the Companies Act if) 13

lead together with paragraph 7 ol the Companies (Accounts) Rules, 2014 (Indmn GAAP) The financial statements were authorised
lor issue by the Compam s Board ol Directors on May 28. 2024

2.02 Basis ot preparation of financial statements

I lie financial si,¦,tench have been prepared on historical cost basis except for certain financial instruments that arc measured ,11 Pair
vultie*. .it ihe end ol each reporting period, us c\plumed in accounting policies subsequently

Hie linaneial statements of the Company have been prepared ... accordance with Indian Accounting Standards (Ind ASt notified
under the i ompanies (Indian Awcuumiii^ Standards) Kules 201 >

n.e ministry of Corporate affairs amended die Schedule III to the Companies Act 20I3 on 24 March 2021 to increase the
transparency and pro. idc additional disclosures to users of financial statement* These amend,nails arc effective from I April 2021

Ilic preparation ol lire financial statements in conformity with recognition and measurement principles of Ind AS rcuuncs the
Management "‘ make estimates and assumptions that alTcci the reported balance of assets and liabilities, disclosure relating to
contingent liabilities as at the dale of ihc financial siatemems and the reported amount of income and expense for ihe period
Ts"males and underlying assumptions are reviewed on ongoing basis Revision of accounting est,males arc recognised in the period
in which the estimates are revised and future period affected

I s!"nates and underlying assumptions are reviewed on an ongoing basis Revisions to accounting estimates ate recognized in lire
period in which ihc estimates are revised and future periods are affected

2.IU ( urrent versus imn-ttn rent classification -V .

... . ..... ^v

1 he (. ompany presents assets and liabilities in ihe financial statement with currem / non-current classification //r C-Y)

II a; vnanered

An asset is treated us current when it is y *^CC0brt2nts C?]J

(;ii etcpccted to be realized or intended to lie sold or consumed in normal operating cycle V ir . Y¦

(b) held primarily for purpose of trading

(Cl expected lo be realized within twelve months after the reporting period, or

(dI cash or cash equivalent unless restr.eied from being exchanged or used to settle a liability lor at least twelve months after the

reporting period

All other assets are classified as non-current. q

A liability is currem when:

(a) It is expected u> be sctiled m normal operating cycle I q( DELHI J r-J

(b) h is held primarily for purpose of trading sS)

le) It is due m be settled within twelve months after the reporting period, or ''^s~—J

Id) There ,s no uneondi.ional r.gh, to defer the settlement of the liability for at least twelve months after Ihc rqwliifeml

All oilier liabilities arc classified as non current

I he operating cycle is (lie tune between the acquisition of assets ioi processing mij their realization in cash and cash equivalents Ihe
(‘ompiniy lias identified twelve months as its operating cycle

2.IM New anil nmended standards adopted be the ( onipanv

Hie (. onipuns has applied the following amendments to bid A.S for the first time for their annual reporting period commencing I
April 2021

- extension ol''Covid 19 related concessions amendments to Inti AS I Hi

- Interest rate benchmark reform amendments to Ind AS 109. Financial Instruments, Ind AS 107. Finanacial Instruments
Disclosures, hid AS 104. Insurance Contracts and Ind AS 116, lease

Ihe amendments did not have any impact on the amounts recognised in prior periods and are not expected to significantly affect the
current or future periods

2.05 i inuiiviul Instrument*

A financial instrument is any contract that gives rise to a financial assets oi one entity and a financial liability or equity instrument of
another entity,
i) Financial Assets

Ihe Company classifies its finaiiei.li assets m the following measurement categories

I** '' boss'' to be measured .subsequently al Ian value (either through other comprehensive income, or through profit &

lb) Those measured at amortised cost.

Initial recognition and measurement

Fiiiuneial assets ,ue recognised initially at lair value plus in the case ol Financial assets not recorded at lair value through
profit and loss, transaction costs that are directly attributable to the acquisition of financial assets. Purchase or sale of
financial asscl that require delivery of assets within a time frame established by regulation or conversion in the innihet place
(regular w ay trades l are recognised on the trade dale. i.e„ the date that the Company commits to purchase and sell the assets

Subsci|inMit mea.su rein cut

I of purposes of subsequent measurement financial assets are classified in following categories:

(a) Debt instruments at amortized cost

l>ebt instruments at fair value through other comprehensive income (FVTOCI)

K> Debt instruments at fair value through prolil and loss (FVI PI.)

(d) I quity instruments mcasuied al fair value through oilier comprehensive income (FVTOCI)

(e) Fquily instruments measured al lair value through profit and loss (I’VTPL)

’A luu assets aie measured III lair value, gams and losses are either recognized entirely in the statement of profit and loss (i e
Imr value through profit oi loss), or recognized in oilier comprehensive income (i.e fair value through oilier comprehensive
income) For investment m debt instrument-., ibis will depend on the business model in which the investment is held Foi
investment in equity iiwlriimeiils this will depend on whether the Company has made an irrevocable election al the time of
uiiiuil recognition to account lot equity insiruiiicnls al I V I OU

Debt instruments nt unionized cost

A Debl instrument is measured at amortized cost if both the following conditions are met

(•* Business Model Test: The asset is held w itliin a business model whose objective is to hold assets lor collecting

contractual cash flows, and

(••) '' ashfhiw ( harueterslics l est: Contractual terms of asset give rise on specified dales to cash (low s dial arc

solely payments ol principal and interest (SPPI) oil principal amount outstanding

After initial measurement such financial assets are subsequently measured al ainoitized cost using Ihe effective interest rate

(I IB) method Amortised cost is calculated by taking into account any discount or premium on acquisition and fees or costs. =>v

that are an integral pari ol IIK Ihe lilt amortization is included in finance income in statement of profit or loss The losi^L ''-> ^''

arising Irom iinpaimienl are recognized in ihe statenienl of prolil or loss I his category generally applies to trade, .raiatf

receivables loans mid other financial assets ft ^ Chartered ^]|

y ‘'' •fWntants 0,1

Debl instruments al fair value through fK I , Y

\ ''debt insiruniem'' is classified as at the F V IUCI il both ol the following criteria are met

M Business Model list: The objective of the business model is achieved bv both collecting ksitraGIlELhilli JlpwL

and selling financial assets, and

(ii) Cashflow (haractersties lest: The asset''s contarctual cash flows represent SPPI j . _

___ t •——^

iJc’bt ingtrumdnt included witiiin the l-VIOCI category arc measured initially as well *is

Tail value movement!, are rmigniacd in the oil let comprehensive income ((»( I) I lowever. Hie t qmpaiiv recognises interest
income, impairment losses and reversals and lorciytn exchange gain or loss in the statement of profit and los> On
dercogmtion of ilie asset, cumulative gain or loss previously reoogmzed in Ul I is rcclussificd Irom the equity to suiemem of
prufii _tv loss imsrest eamed whilst holding f v I on dcltt iiisiruiiieni is reported as interest income using the l- IR method

Debt instruments at I \ TIM

I V ll’l is a residual category for debt instruments Any debt instrument, which doe’s not meet the criteria for categorization
as at amortized cost or ns f V ft >CI. is classified as at I VTI’L

In edition tils'' t ompany nine elect to designate a debt iiistiumem. «hieh otherwise meets aimirused cost or I V ft M I criteria
as III tv ll’l llmvcvci. such elecilon is allowed only it doing so reduces or eliminates a measurement or recognition
inconsistency (referred to ns ''accounting mismatch'') The Company has not designated am dehi instrument ns at FVTPI

equity iiive.Minniis of oilier entitles

All cqmre investments in scope of IND AS 109 are measured at lair value I quits instruments which are held Ibi trading are
Classified as al KV I PI for all other equity instruments, the Company may make an irrevocable election to present in other
comprehensive income all subsequent changes til the lair value Ihe t ompany makes such election on mi inurnment-h v-
instrument Imm. The classification ie made on intliul recognition and n irreun able

In on.ae ot equity instruments classilied as FVTOCI then all fail value ehungcs on the instrument excluding dividends, me
recognized in Hie OU I licit: is tin recycling ot the amounts from UU to statement ol profit and loss, even on sale of
investment I loviever. the Coinpuny may transfer the cumulative gam or loss within equity

I qum instruments included within the FVTPI category are measured at fair value with all changes recognized in the
Statement of Profit and loss

Derecognition

A financial asset (or w here applicable, a part id a lmunei.il asset or part ot group of similar financial assets) is primarily

derecognised when

{>'') l he right to receive cash flows from die assets have expired or

01 has assumed mi obligation to pay

the received cash lloivs in lull imlItout material delay lit a lliird party under it "puss through" arrangement and
111 Ihe Company has transferred substantially all the risks and rewards of the nonet or

I''ll the Company has neither transferred noi retained substantially all the risks and rewards of the asset

but Iran triinafcrrcd control of the asset

VMicre the Company has transferred its rights to receive cash (lows from an asset or has entered into a passthrough

arrangement, il evaluates it and to whal extent it lias retained the risks and rewards of ownership Where it has nither

transferred not retained substantially all of Hie rreki and rewards of the assets. nor transferred control of the assets, the
Company continues to recognise Hie tiaiisfcned assets to the extent of the Company s continuing involvement. In dial ease,
the Company also recognises till ll.SOCinted liability I he transferred asset and tile associated liabilitv are measured oil a basis
that icliras thr rights arm mitigations that the company has retained

Iinii.iii infill til tiitaiiritti ''.revere

Hw Compimr u’ae.''.i ul unit I''llllWW Mlul dlUC UIIUIIU lllkll 1.1 illlt lllllll illlllll llldl (III HxXi''l 111(11 Pi'' lllin''.IIMI II -Jilt Ilk''ll

immtuion .nil me I .....pain csiiiiihics ronivoram.’ iinmini ot trie asset. It u.h reeuvernble iimounl >.l the u.vi , ^ -fJ ^

recoverable amount of the aesh generating unit to ivhuch the aseets belong is less than its carrying amount, the cuminffyf ^O.

amount is reduced to its recoverable amount I It ereduetion re treated as an impairment loss and is recognised in the suuemdBt⁰³ Chartered ''
of profit and loss II at the balance sheet dule iliere is any indication that if u previously assessed impairment loss lit) lonytP''c irlqununtS. ¹
exist, the recoverable amount is reussessed and the asset is reflected at the recoverable amount subject to u maximum Ay ^ i-”'' *

depriciated historical cost

Vo impairment loss has been provided on non fiimmiciul assets considering that no indications internal/ external exists those
viUii^CNis that recoverable amount ol i^set is Ics. than it> aiming, value

ii) linamial liabilities: /w'' ''syrA

bT . r i

I nil tut recognition and measurement lol Jr"~l

\A /<>/ , ,

financial liabilities are classified at initial recognition as financial liabilities al lair value through profit or ItNs luayo aiblr \o s)f *1

.. A. .:r: s.-A jUWk "

*¦

borrowings, uml paynblw nu of directly ,1111 jlnuaOltf liailsaellOII costs

All financial liabilities arc recognised intially al lair value and in case of loans, borrowings and payables, net ol directly
attributable transaction costs

The Company''s financial liabilities include trade and oilier payables
Subsequent measurement

flic measurement of financial liabilities depends on their da ssification. ns described below :

Trade Payables

iiivs. amounts represent* liabilities for goods and services provided to the Coinpnnv prior to the end of financial year which
are unpaid I In amounts ate unsecured amt arc usually paid within 120 days ot recognition I rude and other payables arc
presented us current liabilities unless payment is not due within I2 months after the reporting period They are recognized
iiiuialk .u fair value und subsequently measured ut umuiti/xd cost using LIK method

Loans anil lion on inns

I hi* i» the category most relevunl in the Company Alter initial recognition interest bearing loans and borrowings art
subsequently measured at amortized cost using the I IK method l ..mis and losses are recognized in statement of profit or loss
when the liabilities are derecognised as well as through the I lk itmortiwiuon process

Amortised cost is calculated hv taking into account any discount or premium on acquisition and tecs 01 costs that arc an
integral pan oi the I ii< i tie i IK amortization is included as finance costs in the statement of profit and loss

Derecognition

A financial liability is derecognised when the obligation under the liability is discharged or cancelled or expires When nil
existing financial liability is replaced hv another from the same lender on substantially different terms, or the terms of an
existing liability arc substantially modified, such an exchange or medication is treated as the derecognition of the original
liability and the recognition ol a new liability The difference in the respective carrying amounts is recognized III the
Statement oi Profit and Loss

lUTlavsillt ailou id fiiiuni''lul ussets:

¹ d»t«rmiiwa v-lnwifieuuon of financial nvxu.v mid liabilities till initial ICctlUllllltlll Alter Itllllfll recognition no

reclassification is made lor imnneml assets which arc equity instruments and llnancial liabilities For financial assets which
are debt instruments, n reclassification is made only j| there is a change in the business model tor managing those assets.

( lmngex to the business model are expected to Ik inlrcqncni I he Company s senior management determines change in the
business model as a result of external or internal changes which are significant to the Company''s operations Such changes
lie evident to external parties A change in the business model Occurs when the Company either begins or eeuscs lo perform
^lhm Mgnifieaiu to us operations II the Company reclassifies financial assets, it applies the reclassification
prospectively from llie reclassification dale which is the first day of the immediately next reporting period following the
change in business model The Company does not restate an previously recognised gams, losses (including impairment gains

Offsetting of fiminriul instruments:

I manuals assets and financial liabilities are olTsel and tlie net amount is reported m the balance sheet it there is a currently
enforceable legal right to olTset the recognized amounts and there is an intention to settle on a net basis, to realize the assets
and settle the liabilities siniultancouslv

2.(lb I uses

fax expense lor the year comprises of direct tax and indirect tax
Direct Taxes
a) Current Tax

(ii Current income tax assets and liabilities arc measured at the amount expected to be recovered from 01 paid lo tin

taxation authorities in accordance with the Income Tax Act, 1961 T he tax rates and tax laws used lo compute the
amount are those that are enacted or substantively enacted, al the reporting date in India as per Income
Compulation and Disclosure Standards < ICDS) where the Company operates and generates taxable income

(ii) Current income tax relating to item recognized outside the statement of profit and loss is recognized outside profit

or loss (either in other comprehensive income or cquity).Current tax items are recognized ill correlation lo the
underlying transactions either In statement of profit and loss or directly in equity'' Management periodically
evaluates positions taken in the lax returns with respect to situations in which applicable tax regulations arc
subject lo interpretation and esuihlishes provismns where appropriate

(III Deferred lax

Deterred tax is provided using the liability method on temporary differences between the tax bases of assets and liabilities
and their carrying amounts for financial reporting purposes at the reporting date.

Deferred tax assets and liabilities are recognized for all deductible temporary differences the carry forward of unused tax
credits and any unused tux losses Deferred lux assets are recognized lo the extent that u is probable lhat taxable profit will he
available against which the deductible temporary differences, and the carry forward of unused tax credits and unused lax
losses can lx- utilized, except

(a) When the deferred tax asset relating to the deductible temporary difference arises from the initial recognition ol
an asset or liability in a transaction that is not a business combination and. al the time ol the transaction, affects
neither the accounting profit nor taxable profit or loss

(b) In respect of deductible temporary differences associated nidi investments in subsidiaries, deferred tax assets are
recognised only to the extern thill il is probable that the temporary differences will reverse in the foreseeable
future and taxable profit will he available against which ihc temporary differences can be utilised

t he carry ing amount of deferred lax assets is reviewed ai each reporting date and reduced lo the extent that it is no longer
probable thal sufficient taxable profit will be available to allow all or part ol the deferred tax asset lo lx: utilized
I nrocognizcd deferred lax assets are ic-asscssed at each reporting date and are recognized in the extern that n has become

probable that luture taxable profits will allow the deferred tax asset to be recovered.

Deferred tax assets and liabilities arc measured ai the tax rales that are expected to apply in the year when the asset is realized
or ihc liability is settled hased on lax rates (anil tax laws) that have been enacted or substantively enacted at the reporting

Deterred tax relating to items recognized outside the statement of profit and loss is recognized outside the statement ol profit

and loss (either in other comprehensive income or in equity) Deferred lux items are recognized in correlation tv lie ^ , a

underlying transaction either in 0C1 or direct in equity //y?

t cfct,

Deferred lax includes Minimum Alternate lax iMAI i recognizes MAI credit available as an asset only to the extent Ihall-^ ^cconrf
there is convincing evidence that the Company will pav normal income tax during the specified period, re Ihc period lorV*,->.
which MA I credit is allowed to be carried forward I lie Company reviews the MAI credit cnmlpfrtmg/iC^pi it each
reporting date and writes down the asset to the extent the Company docs not have convincing cvideny^fepflTrtfQ^Niirnuil —

lax during the spccilicd period /Q, / yrA

fgf DELHI Jf-j

Deterred tax assets and deferred lax liabilities arc offset if a legally enforceable right exists to Sert^currentJjfotfvxci >
reams! current 11\ liabilities and the deterred taxes relate to the same taxable entity and the same laxnoW aulrrrrrTw /

(l o r, v (/x

Goods ami See ice lax lias been accounted for in respect ol" the goods cleared The Company is providing Goods and See ice tax
liability in respect ot finished goods. GST has been also accounted for in respect of services rendered (w.e.f 1st Julc. 2017 GST has
been Implemented All the taxes like Excise Duty. Value Added I as. etc are subsummed in Goods and Service I ax.)

2.0⁷ Rev enue Recognition

Revenue IS measured at the lair value of the consideration received or receivable, taking into account contractually defined terms nl
p.tvment and excluding laxes or duties collected on behalf ol the government. Revenue is recognized to the extent that it is probable
Unit the economic benefits will How to the Company and the revenue can he reliably measured regardless of when the payment is
being made Amounts disclosed are inclusive of Goods and service tax and net of returns trade discounts, rebates and amount
collected on behalf of third parties (w.e.f 1st July. 2017 GST has been implemented All the taxes like Tseise Duly Value Added
lax. etc arc suhsummed in Goods and Service lax i

I lie t ompum assesses its res enue arrangements against specific criteria in order to determine if it is acting as principal or agent The
( ompiiny has concluded that it is aeling as a principal in all ol its revenue arrangements since it is die primary obligor in all the
revenue arrangentcius as it lias pricing latitude and is also exposed to inventory and credit risks The specific recognition criteria
described below must also be met before revenue is recognized

a) Sale of services

Revenue from contracts with customers is recognised when control of the goods or services arc transferred to die customer at
an amount that reflects the consideration to which the Company expects to he entitled in exchange foi those goods m
services. I lie Company has generally concluded that it is the principal in its revenue arrangements

ii '' anuhie l unsidcration:

If the consideration in n contract includes a variable amount, the Company estimates the amount of consideration to which it
will la. entitled lit exchange lor transferring the goods to the customer The variable consideration is estimated .it contract
nil cpiinn and constrained until it is highly probable that a significant revenue reversal in the amount of cumulative revenue

recognised will not occur when the associated uncertainty with the variable consideration ts subsequently resolved Some
contracts lor the sale of electronics equipment prov ide customers w ith a right of return and volume rebates The rights of
reium and volume rebates give rise to variable consideration

ii) ( imtiait Assets:

\ .initriiet U''sct i'' the right to consideration in exchange for goods or services transferred to the cusliiniet If the Company
performs hv trmixlerring goods or services to a customer before the customer pays consideration or before payment is due. u

contract asset is recognised for the earned consideration that is conditional

A receivable represents the Company ''s right to an amount of consideration that is unconditional (i.c., only the passage of time
is required before payment of the consideration is due).

hi Interest

Interest income is recognised on a time proportion basis taking into account the amount outstanding mid the applicable
interest rates

2.IIS l :ifiling-. Per Share

Basie earnings po share are calculated b\ dividing the net profit or loss for the pci tod attributable to equity shareholders by the

weighted average number of equity shares outstanding during the period

Diluted KPS amounts are calculated hv dividing the profit attributable to equity holders of the Company after adjusting impact of
dilution shares bv the weighted average number of equity shares outstanding during the ve.tr plus the weighted average number nh''fp i ^

equity shares that would be issued on conversion of all the dilutive poleiilitil equity shares into equity shares. yyV⁵"

|f • k''fcrtere

2.(1*) Harrowing Costs II y ilnAty

V*

Borrowing costs, it'' any directly attributable to the acquisition construction or production of an asset that necessarily takes gjr.*

substantial period of lime to get ready for its intended use or sale are capitalized as part of the cost of the respective asset All other
borrowing costs are recognized as expense in the period in which they occur

Borrowing cost includes interest and oilier costs incurred in connection with die borrow ing of funds and charged

Profit At I oxs on the basis of effective interest rale (FIR) method Borrowing cost also includes exchange diflcrenu^vj&''flie cxi^ivri^yv

regarded as an adjustment to the borrowing cost \

'' (gf DELHljr-j

2.10 Impairment of non- financial Aue«ti . yCy /)

/A- A-T-/X f _ <— ^rtz . __-x -0«xt/\ '' ''

I he Company assesses, .it each reporting date whether there is an indication that an asset may be impaired If any indication exists, or
when annual impairment testing lor un asset is required, the Company estimates the asset''s recoverable amount. An asset s
recoverable amount is the higher <>t an asset s or eash-gonenitmg unit''s (CGU) lair value less eosls of disposal and its value in use
Recoverable amount is determined lor an Individual asset, unless the asset does not generate cash inflows that arc largely independent
of those from other assets or Company''s of assets Where the earn me amoiinl of ail ussei 01 CGI exceeds its recoverable amount, the
iKsat is considered impaired and is written down to its recoverable amrnml

In assessing value in use. the estimated future eash flows are discounted to their present value using a pre-tax discount rale that
reflects current market assessments of the time value of money and the risks specific to the asset In deicrmining fair value less costs
of disposal, recent market transactions arc taken into account, if available. If no such transactions can be identified, an apptopiiale
valuation model is used. These calculations are corroborated by valuation multiples . quoted share prices for publicolv traded
companies or other available lair value indicators

Impairment losses including impairment on inventories are recognized in the statement ot profit and loss Alter impairment,
depreciation is provided on die revised currying amount of the asset ovei ils remaining useful life.

Noii-financial assets other than goodwill that suffered an impairment are reviewed for possible reversal of the impairment at the end

of each reporting period

An assessment is made at each reporting dale to determine whether there is an indication dial previously recognised impairment losses
no longer exist or have decreased If such indication exists the Company estimates the asset s or CGI ''s recoverable amount A
previously recognised impairment loss is reversed only if there lias been a change in the assumptions used to determine die asset s
recoverable ninnunt since the lad impairment loss was recognised I lie leversal is tunned so dial tils'' carry mg amount id the asset docs
not exceed ils recoverable amount, not exceed the carrying amount lhal would have been determined, net ol depreciation hud no
inp.nrnn.iii loss been recognised lor the asset in print years Such reversal is recognised in the statement ol prolit and loss

2.11 .''segment accounting

I lie I. ompnr.y * main business is sale/ purchase of papers and boaids All other activities of the Company revolve aiotind ills main
business I here are no separate segments within the Company as defined by the Ind AS 108 (Operating Segment) issued by Institute
of Chartered Accountant of India

2.12 Leases

I he Company assesses at contract inception whether a contract is. or contains, a lease That is, if the contract conveys the right to
control the use ol ail identified asset lor a period ol lime in exchange lor consideration

Company as a lessee

flic Company applies a single recognition and measurement approach tor till leases, except lot short-term leases and leases of low-
valne assets The f''ompany recognise? lease liabilities to make lease payments and riuht-of-use assets representing the right to use the
underlying assets

(a) Itiglil-uf-use assets

the Company recognises right-ot-usc assets at the commencement date of die lease (i.e. the date the underlying asset is available lor
11-v Ri; hl-ol-nsv assets .in iiicasuicd ai ensi. less any acciimiilaicd depreciation and impairment losses and adjusted lor am
icmeasnri''iiienl ol lease liabilities Ihc cosl ol nghl-of-usc assets includes the amount of lease liabilities recognised, initial direct costs
incurred and lease payments made at or before the commencement date less any lease incentives received Right-of-usc assets are
depreciated on a straight-line basis over tlw shorter of the lease term and the estimated useful lives of the building li e 30 and 60
years)

II ownership of the leased asset transfers lo the Company at the end of the lease term or the cost reflects the exercise of a purchase
option depreciation is calculated using the estimated useful lile ol die asset, Ihc righl-of''-use assets are also subject to impairment
Refer to the accounting policies in section ''Impairment of non-financial assets''

(b) I cusc l.inliililicN

Ai the commencement dale ot the lease, the Company recognises lease liabilities measured at the present value ot lease payments 10
be made ova the lease term. The lease payments include fixed payments (including in substance fixed payments) less any lease
¦ Mvcmivcs receivable, variable lease payments that depend un un mdes or u rule, and amounts expected lo be paid under residual vulue
guarantees The lease payments also include the exercise price of a purchase option reasonably certain to be exercised by the
C ompany and payments of penalties lor terminating the lease, if the lease term reflects the (''ompanv exercising the option to
terminate Variable lease payments dial do not depend on tin index or a rale are recognised as expenses (unless thc> arc incurred to
" produce inventories) in the period in which the even! or condition lhat iria^ers the payment occurs

/gpSjXx

''•ulciilatinu the prose ill value ol lease payments, the C ompanv uses its incremental borrowing rate nt lire lease cnmy^£w^mciii
^necause Ihc interest rate implied m the lease is not readily determinable Alter the commencement date, the amount
[r''lf- increased to reflect the accretion of interest anil reduced for the lease payments made In addition, the tarryiiiglQiviiiTiii.iri.iy^l
-Amiabilities is remeasured if there is a modification, a change in die leave term, a change in the lease payments (eg eMnUttU. luiwcCf/

/''TV. . . KjI // _. i • CvT» a "KW \ ^A

payments resulting from a change in an index or rate used to determine such lease payments) or a change in the assessment ot''an
option to purchase the under!) tug asset.

(?) Short-term leases and leases of low-value assets

Leases lor which the Company is a lessor is classified as linancc or operating lease Leases in which the Company does not irmislei
substantially all the risks and rewards incidental to ownership ot''an asset are classified as operating leases Rental income arising is
accounted for on a straight-line basis over the lease icnns. Initial direct costs incurred in negotiating and arranging an operating lease
^;"c added lo the carrying amount ol the leased asxcl and recognised over the lease term on the same basis as rental income Contingent
tents aie teeogniscd as revenue in the period m which they are earned

< onipany as a lessee:

Finance I cases

A lease is classified at the inception date as a finance lease or an operating lease A lease that Iranslers substantially all the nsks and
rewards incidental lo ownership to the Company is classified us u finance least riuantt leasts die capitalized at llie tonniieilceiliem
ol the lease at the inception dale lair value ol the leased property or. it lower, at the present value ol the uuninuini lease paymcnis
Lease payments .tie apportioned between finance charges and reduction of the lease liability so as to achieve a constant rate of interest
on the remaining balance ol the liability finance charges are recognized in finance costs in the statement ol profit or loss, unless they
art directly .illribulahle to i|ualifvmg assets, in which ease thev arc capitalized in uccorduncc with Company''s general policy on the
borrowing cost.

\ leased asset is depreciated over the useful lift of the asset. However, if there is no reasonable certainty that the Company will
obtain ownership by the end of the lease term, the asset is depreciated over the shorter ofihe estimated useful life of the asset and ihe
lease term

(fperaling leases

* Operating lease payments arc rccogm/ed as an expense in Ihe Statement ol Profit or I oss account on straight line basis owt die lease
icmi unless ihe payments arc structured to increase in line wiih the expected general iiitlalion lo compensate for the lessor in expected
inflationary cost increase

2.Id Government Grants

Government Crams arc recognized at ilicir Ian value when there is reasonable assurance dial the gram will he received and all the
attached conditions will he complied wiih

I here ate no giants or subsidies received Irom the govememenl during Ihe previous year
2.1 I fair Value Measurement

I he Company measures financial instruments at lair value at each balance sheet date.

.ui value is die (nice thill would be received lo sell an asset or paid to Iranster a liabilitv in an orderlv transaction between market
participants ui the measurement date The fair value measurement is based on the presumption that the transaction lo sell Ihe asset or
transfer Ihe liability takes place either

<0 In the principal market lor asset or liability, or

lii) In the absence of a principal market in the most advantageous market lor the asset or liability
I he principal or the most advantageous market must he accessible bv the Companv

1 lie fair value of an asset or liability is measured using the assumptions that market participants would use when pricing the asset or

liability, assuming that market participants act in their economic best interest

¦\ loir value measurement of n non financial asset takes into account a market participant''s abilitv to generate economic benefits bv
using the asset in ils highest and best use or hv selling il lo another market participant that would use the asset in its highest and best
use.

Hie Company uses valuation techniques that are appropriate in the circumstances and for which sufficient data me available lo
• measure lair value, maximising the use of relevant observable inputs and minimizing the use of unobservable inputs

assets and liabilities for which fair value is measured or disclosed in the financial statements are categorized within the lair value

ded z^lV^rarch'' described a follows, bused on the lowest level input that w significant to the fair v alue measurement as a whole

el I - Quoted!unadjusted) market prices in active markets for identical assets or liabilities

—^ I evd 2- Valuation techniques lor which the lowest level input that i* significant to the (air V aloe measurement IS thr/3/..DCL.HH )~)

observable ''/

• l or assets and liabilities that are recognized in the financial statements on a recurring basts, the Company determines whether

trails tins liave occurred liemeen levels in llie hieraicltv In ic-asscssing categorization ( basal on the lowest level input that is
significant to lair value mcasuremeui as a whole i at the end ol each reporting period.

I or the purpose of lair value disclosures the Company Iras determined classes of assets and liabilities on the basis ol the nature

characteristics and risks of the asset ot liability and the level of the lair value hierarchy as explained above.

2.15 F.stiniatcs anil assumptions

I lie key assumptions concerning the future and other key sources of estimation uncertainty at the reporting dale that have n
significant risk ol causing a material adjustment 10 the carrying amounts of assets and liabilities within the next financial year, aie
described below. I he Company bused its assumptions and estimates on parameters available when the financial statements were
picpuied Fvisiing oircuinsiunces and assumptions about future developments, however, may change due to market changes or
circumstances arising beyond the control ol the Compam. Such changes are relleeted m the assumptions when tltev occur

Judegments

In the pioccss of apply iug the Company s accounting policies, management lias made the following judgments, which have the most
significant died on the amounts recognized in (lie financial statements

a) K (.venue from contracts with customers

the Company applied the following judgements thut significantly atlcct the determination ol the amount and tuning of
revenue from contracts unh customers

Determining method In estimate variable consideration und assessing tile constraint

lii estimating llie variable consideration, the Company is required to use eitliei die expected value method or tlte most likclv
amount method bused on whieli method better predicts the umounl of consideration to which it will be entitled The Company
determined linn the expected value method is the appropriate method to use in estimating the variable consideration lor
revenue from operations Before including anv amount of variable consideration in the transaction price, the Company

considers whedier the amount of variable consideration is constrained. The Company determined mat the csomules of
variable consideration are not constrained based on its historical experience, business forecast and the current economic
conditions In addition the uncertainly on the variable consideration vvill be resolv ed within a short time frame

hi l air v alue measurement of financial instrument

When the lair v alue of financial assets and financial liabilities recorded in the balance sheet cannot be measured based on
ipioled prices In active markets, then fair value is measured using valualion techniques including the Discounted Cash flow

il >Cf I model. The inputs to these models are taken from observable markets where possible, but where this is not leusible. a
degree of ludgmeni is required in establishing lau values Judgments include considerations ol inputs such as liquidity risk,
credit risk and volatility Changes m assumptions about these factors could affect the reported fair value ol financial
instruments

c) Impairment of I''iiiuncial assets

I lie impairment provisions of financial assets are based on assumptions about risk of default and expected loss rates, the
Company uses judgment in making these assumptions and selecting the inputs to the impairment calculation, based on
Company’s past history .existing market conditions as well as forward looking estimates at the end ot each reporting period

tit Impairment of mm-i iimiuial assets

The Company assesses at each reporting date whether there is an indication that oil asset may be impaired. If any indication
exists, or when annual impairment testing for an asset is required, the Company estimates the asset’s recoverable amount An
assets recoverable amount is die higher of an asset''s CGli''S fair value less cost of disposal and us value in use It is
determined for an individual asset, unless the asset does not generate cash inflows that are largely independent of those from
'' ¦ other assets or Compam s ol assets Where llie carrying amounl of an asset or CGU exceeds iis recoverable amount the asset

4 rs considered unpaired and is written down to Us recoverable amount

„Jk

TMj |_n assessing value in use the estimated future cash Hows are discounted to their present value using a pre-tax discount rate

£// that reflects current market assessments of the time value of inonev and the risks specific to the asset. In determining Ian

value less costs of disposal, recent maikct naiisaclions are taken into account. If no such tiaiisactioiis canj^odg^recL an

^ ^ appropriate valuation model r. used I licsc calculation . .ire corroborated b\ valuation multiple or other

el ( (IMIM9 Impact on hxlimairv..lutl|>cninetv. Kevenue A financial instrument* ^1 DELHI J^J

(if T''li''miuion of mica mimics relating to die global health pandemic from C0VID-I9 (COVID-19) - The (ymt^nv has j

V 1 *

the possible effects that mav result from the pandemic relating to (’OVID-19 on the currying amounts ol Keoctvahles.

IttvetUories ami oilier assets / liabilities In developing tile assumptions relating to the possible future uncertainties in the
global economic conditions because of this pandemic, the Company, as at the date of approval of these financial results has
used internal and external sources of In I''m minion Ns on current date, the Company hns concluded that the Impact ol ( OVID
19 is noi material based on these estimates Due to the nature ol the pandemic, the Company will continue to monitor
developments lo identity significant uncertainties In future periods, if any I lie impact of COVID-19 on the Company’s
i m ini ml simeineiiis may differ from that estimated as at the date of approval of these financial statements

tli> boss allowance for receivables and unbilled rcvemies:-

lite Company determines the allowance lot credit losses based on historical loss experience adjusted to reflect current and
estimated future economic conditions The Company considered current and anticipated future economic conditions relating
to industries the company deals with and the countries where it operates In calculating expected credit loss.the Company has
also considered credit reports and other related credit information lor its customers to estimate the probability of default in

fitiute mid lias lutien into account estimates id possible effect Irom the pandemic relating to COV ID -10
(nit Uevcnuc from Operations:

flic Company lias evaluated the impact of COVID - 10 resulting from (i) the possibility of constraints to render services
yyltich may require revision of estimations of costs to complete the contract because ol'' additional efforts,obligations:! ili) penalties relating lo breaches of service level agreements, and (iv) termination or deferment ol contracts hy
customers The Company has concluded that the impact of COVID 19 is not material based on these estimates Due to the
nature of the pandemic, the C''ompam will continue to monitor developments lo identify significant uncertainties relating to
revenue in future periods

2.1(i ( ash and Cush I qiiivulcnts

Cash and cash equivalents in the balance sheet comprise cash ai banks and on hand and short-term deposits with an original ntutunty
of three months 01 less, which are subject to insignificant risk of changes in value

For the purpose of statement of cash flow, cash it cash equivalents consists of cash and short term deposits as defined above, net of
outstanding bank overdrafts as they are considered as integral pan ol Company''s cash management