Notes to Accounts of Park Medi World Ltd.

2.15 Provisions

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

The amount recognised as a provision is the best estimate
of the consideration required to settle the present obligation
at the end of the reporting period, taking into account
the risks and uncertainties surrounding the obligation.
Where a provision is measured using the estimated cash
flows required to settle the present obligation, its carrying
amount is the present value of those cash flows when the
effect of the time value of money is material.

When some or all of the economic benefits required to
settle a provision are expected to be recovered from a
third party, a receivable is recognised as an asset if it is
virtually certain that reimbursement will be received and
the amount of the receivable can be measured reliably.

2.16 Contingent Liabilities

A contingent liability is a possible obligation that arises
from past events and whose existence will be confirmed
only by the occurrence or non-occurrence of one or more
uncertain future events not wholly within the control of the
Company, or a present obligation that arises from past
events but is not recognised because it is not probable that
an outflow of resources embodying economic benefits will
be required to settle the obligation or the amount of the
obligation cannot be measured with sufficient reliability.

Contingent liabilities are not recognised in the financial
statements but are disclosed unless the possibility
of an outflow of resources embodying economic
benefits is remote.

Contingent liabilities acquired in a business combination
are initially measured at fair value at the acquisition date. At

the end of subsequent reporting periods, such contingent
liabilities are measured at the higher of the amount that
would be recognised in accordance with Ind AS 37 and the
amount initially recognised less cumulative amortisation
recognised in accordance with Ind AS 115 Revenue from
contracts with customers.

2.17 Earnings Per Share

Basic earnings per share is computed by dividing the profit/
(loss) after tax (including the post-tax effect of exceptional
items, if any) by the weighted average number of equity
shares outstanding during the year. The weighted average
number of ordinary shares outstanding during the year is
the number of shares outstanding at the beginning of the
year, adjusted by the number of ordinary shares issued
during the year multiplied by a time-weighting factor.

2.18 Financial Instruments

Financial assets and financial liabilities are recognised
when the Company becomes a party to the contractual
provisions of the instrument. Financial assets and financial
liabilities are initially measured at fair value. Transaction
costs directly attributable to the acquisition or issue of
financial assets or financial liabilities, other than those
classified at fair value through profit or loss, are added
to or deducted from the fair value on initial recognition,
as appropriate. Transaction costs directly attributable to
financial assets or financial liabilities classified at fair value
through profit or loss are recognised immediately in the
statement of profit and loss.

2.18.1 Financial Assets

Financial assets are recognised initially at fair value,
except for trade receivables that do not contain a
significant financing component, which are initially
measured at their transaction price. Financial assets are
subsequently measured based on their classification as
amortised cost, fair value through other comprehensive
income or fair value through profit or loss.

Unbilled revenue represents the value of services
rendered to customers in accordance with service
arrangements for which billing is pending. It is
presented as a contract asset or under other current
financial assets, as applicable.

Investments in equity instruments are recognized
and subsequently measured at fair value. The
Company’s equity investments are not held for
trading. In general, changes in the fair value of equity
investments are recognized in the income statement.
However, at initial recognition the Company elected,
on an instrument-by-instrument basis, to represent
subsequent changes in the fair value of individual
strategic equity investments in other comprehensive
income (loss) (“OCI”).

Debt instruments are classified and subsequently
measured at amortised cost, fair value through other
comprehensive income or fair value through profit
or loss based on the Company’s business model for
managing the financial assets and the contractual
cash flow characteristics of the financial asset.

Cash and Cash Equivalents

Cash and cash equivalents comprise cash on hand,
balances with banks and short-term highly liquid
investments with original maturities of three months
or less that are readily convertible into known
amounts of cash and are subject to an insignificant
risk of changes in value. Bank balances subject
to restrictions on withdrawal or use are presented
separately as other bank balances.

Effective Interest Method

The effective interest method is a method of
calculating the amortised cost of a financial asset
or financial liability and of allocating interest income
or interest expense over the relevant period.
The effective interest rate is the rate that exactly
discounts estimated future cash receipts or cash
payments through the expected life of the financial
instrument, or where appropriate, a shorter period,
to the gross carrying amount of the financial asset
or to the amortised cost of the financial liability on
initial recognition.

Interest income is recognised using the effective
interest rate method for financial assets measured
subsequently at amortised cost and for debt
instruments measured at FVTOCI, except for credit-
impaired financial assets where applicable.

Equity Instruments Designated at FVTOCI

For equity instruments designated at FVTOCI, gains
and losses arising from changes in fair value are
recognised in other comprehensive income and are
not subsequently reclassified to the statement of profit
and loss on disposal. Dividends from such investments
are recognised in the statement of profit and loss
when the Company’s right to receive payment is
established, provided it is probable that the economic
benefits associated with the dividend will flow to the
Company and the amount can be measured reliably,
unless the dividend clearly represents a recovery of
part of the cost of the investment.

Impairment of Financial Assets / Expected Credit
Losses

The Company recognises loss allowances for
expected credit losses (“ECL") on financial assets
measured at amortised cost, debt instruments
measured at FVOCI, lease receivables, contract

assets and other financial assets within the scope
of Ind AS 109, as applicable. Expected credit losses
are measured in a manner that reflects an unbiased
and probability-weighted amount determined by
evaluating a range of possible outcomes, the time
value of money, and reasonable and supportable
information about past events, current conditions and
forecasts of future economic conditions.

For trade receivables and contract assets arising
from transactions within the scope of Ind AS 115 that
do not contain a significant financing component,
the Company applies the simplified approach and
recognises lifetime expected credit losses from initial
recognition. The Company uses a provision matrix or
other appropriate assessment techniques based on
ageing, historical credit loss experience, settlement
trends, payer category, contractual disputes,
recoveries, current conditions and forward-looking
factors relevant to the receivable’s portfolio.

The impairment provisions for trade receivables are
based on reasonable and supportable information
including historic loss rates, present developments
such as liquidity issues and information about
future economic conditions, to ensure foreseeable
changes in the customer-specific or macroeconomic
environment are considered.

For financial assets other than those to which
the simplified approach is applied, the Company
measures the loss allowance at an amount equal
to 12-month expected credit losses unless there
has been a significant increase in credit risk since
initial recognition, in which case the allowance is
measured at an amount equal to lifetime expected
credit losses. The assessment of significant increase
in credit risk considers quantitative and qualitative
information and reasonable and supportable forward¬
looking information.

Significant Increase in Credit Risk

In assessing whether the credit risk of a financial
instrument has increased significantly since initial
recognition, the Company compares the risk of
default occurring at the reporting date with the risk of
default at initial recognition and considers reasonable
and supportable information that is available without
undue cost or effort. This includes both quantitative
and qualitative information and analysis, based on the
Company’s historical experience and informed credit
assessment, including forward-looking information.

Derecognition of Financial Assets

The Company derecognises a financial asset when
the contractual rights to the cash flows from the
financial asset expire, or when it transfers the financial

asset and substantially all the risks and rewards
of ownership of the financial asset. If the Company
neither transfers nor retains substantially all the risks
and rewards of ownership and continues to control
the transferred asset, the Company recognises its
retained interest in the asset and an associated
liability for amounts it may have to pay.

2.18.2 Financial Liabilities and Equity Instruments

Debt and equity instruments issued by the Company
are classified as either financial liabilities or equity
in accordance with the substance of the contractual
arrangement and the definitions of a financial liability
and an equity instrument.

Equity Instruments

An equity instrument is any contract that evidences
a residual interest in the assets of the Company after
deducting all of its liabilities. Equity instruments issued
by the Company are recognised at the proceeds
received, net of direct issue costs.

Repurchase of the Company’s own equity instruments
is recognised and deducted directly in equity. No gain
or loss is recognised in the statement of profit and
loss on the purchase, sale, issue or cancellation of the
Company’s own equity instruments.

Financial Liabilities

Financial liabilities are classified, at initial recognition,
as financial liabilities at amortised cost or at fair
value through profit or loss, as appropriate. Financial
liabilities are subsequently measured at amortised
cost using the effective interest method, except for
financial liabilities measured at fair value through
profit or loss.

Financial Liabilities Subsequently Measured at
Amortised Cost

The carrying amount offinancial liabilities subsequently
measured at amortised cost is determined using the
effective interest method. Interest expense that is not
capitalised as part of the cost of a qualifying asset is
recognised in finance costs.

The effective interest method allocates interest
expense over the relevant period by applying the
effective interest rate to the amortised cost of the
financial liability. The effective interest method is
a method of calculating the amortised cost of a
financial liability and of allocating interest expense
over the relevant period. The effective interest rate
is the rate that exactly discounts estimated future
cash payments (including all fees and points paid or
received that form an integral part of the effective
interest rate, transaction costs and other premiums or

discounts) through the expected life of the financial
liability, or (where appropriate) a shorter period, to the
net carrying amount on initial recognition.

Financial Guarantee Contracts

A financial guarantee contract is a contract that
requires the issuer to make specified payments to
reimburse the holder for a loss it incurs because a
specified debtor fails to make payment when due in
accordance with the terms of a debt instrument.

Financial guarantee contracts issued by the Company
are initially measured at fair value and, if not
designated as at fair value through profit or loss, are
subsequently measured at the higher of the amount
of loss allowance determined in accordance with
the impairment requirements of Ind AS 109 and the
amount initially recognised less cumulative income
recognised in accordance with the principles of Ind
AS 115, where applicable.

Derecognition of Financial Liabilities

The Company derecognises financial liabilities
when, and only when, the Company’s obligations are
discharged, cancelled or have expired. An exchange
with a lender of debt instruments with substantially
different terms is accounted for as an extinguishment
of the original financial liability and the recognition
of a new financial liability. Similarly, a substantial
modification of the terms of an existing financial
liability is accounted for as an extinguishment of the
original financial liability and the recognition of a new
financial liability. The difference between the carrying
amount of the financial liability derecognized and the
consideration paid and payable is recognised in the
statement of profit and loss.

2.19 Events After the Reporting Period

Events after the reporting period are events, favourable or
unfavourable, that occur between the reporting date and
the date on which the financial statements are approved by
the Board of Directors.

Adjusting events are those that provide evidence of
conditions that existed at the reporting date. The Company
adjusts the amounts recognised in the financial statements
to reflect adjusting events after the reporting period.

Non-adjusting events are those that are indicative of
conditions that arose after the reporting date. Such
events are not adjusted in the financial statements but are
disclosed where material, including the nature of the event
and an estimate of its financial effect, or a statement that
such an estimate cannot be made.

If the Company declares dividends after the reporting
period but before the financial statements are approved for

issue, such dividends are not recognised as a liability at
the reporting date and are disclosed in the notes to the
financial statements, where applicable.

2.20 Segment Reporting

In accordance with Ind AS 108, Segment Reporting, the
Company’s chief operating decision maker (“CODM”) has
been identified as the board of directors.

The company is engaged only in healthcare business
and therefore the Company’s CODM (Chief Operating
Decision Maker; which is the Board of Directors of the
company) decided to have only one reportable segment
as at the March 31, 2026 in accordance with IND AS 108
“Operating Segments”.

2.21 Critical Accounting Judgements and Key Sources of
Estimation Uncertainty

Use of Judgements and Estimates

The preparation of the financial statements in conformity
with Ind AS requires management to make judgements,
estimates and assumptions that affect the application of
accounting policies and the reported amounts of assets,
liabilities, income, expenses and related disclosures.
These judgements, estimates and assumptions are based
on historical experience and other factors considered
relevant. Actual results may differ from these estimates.
Estimates and underlying assumptions are reviewed on an
ongoing basis and revisions are recognised prospectively
in the period in which the estimates are revised and in any
future periods affected.

2.21.1 Key Sources of Estimation Uncertainty

The key assumptions concerning the future and other
key sources of estimation uncertainty at the end of
the reporting period that may have a significant risk of
causing a material adjustment to the carrying amounts
of assets and liabilities within the next financial year
are described below.

2.21.2 Expected Credit Losses on Trade Receivables
and Contract Assets

The allowance for expected credit losses on
trade receivables and contract assets is based on
assumptions regarding risk of default and expected
loss rates. The Company uses judgement in selecting
inputs and making assumptions based on historical
credit loss experience, ageing, settlement patterns,
contractual disputes, recoveries, current conditions
and forward-looking information. Changes in these
assumptions could affect the level of impairment
recognised in the statement of profit and loss and the
carrying amount of receivables and contract assets.

2.21.3 Realisation of Deferred Tax Assets

Recognition of deferred tax assets requires
management to assess whether it is probable that
future taxable profits will be available against which
deductible temporary differences, unused tax
losses or unused tax credits can be utilised. This
assessment involves judgement regarding the timing
and level of future taxable profits and the reversal
of taxable temporary differences. Changes in these
assumptions may affect the amount of deferred tax
assets recognised.

2.21.4 Employee Benefits - Defined Benefit Plans

The cost of defined benefit plans and the present value
of the defined benefit obligation are determined using
actuarial valuations. An actuarial valuation involves
the use of assumptions such as discount rates,
future salary increases, attrition rates and mortality
rates. Due to the long-term nature of these plans, the
defined benefit obligation is sensitive to changes in
these assumptions. All significant assumptions are
reviewed at each reporting date.

2.21.5 Provisions and Litigations

The Company exercises judgement in measuring
provisions and evaluating contingent liabilities related
to litigations, claims and other obligations. These
assessments require management to estimate the
probability of outflow of economic resources and
the amount of such outflow based on available
facts, legal advice, past experience and the stage of
the proceedings. Actual outcomes may differ from
these estimates.

2.21.6 Revenue Recognition

The Company’s contracts with customers could include
promises to render multiple services to a customer.
The Company assesses the services promised in a
contract and identifies distinct performance obligations
in the contract. Identification of distinct performance
obligation involves judgement to determine the
deliverables and the ability of the customer to benefit
independently from such deliverables.

Judgement is applied in the assessment of principal
versus agent considerations with respect to contracts
with customers and doctors which is determined
based on the substance of the arrangement.

Judgement is also applied in determining the
transaction price of contracts. The transaction price
includes fixed consideration and variable consideration,
including discounts, rebates, contractual adjustments,
claim disallowances, settlement adjustments and
other amounts expected not to be realised. Variable
consideration is included in the transaction price only
to the extent that it is highly probable that a significant
reversal of cumulative revenue recognised will not
occur and is reassessed at each reporting date.

2.21.7 Useful Lives and Residual Values of Property,
Plant and Equipment

The Company reviews the estimated useful lives, residual
values and depreciation method for property, plant and
equipment at least at each reporting date. These estimates
are based on historical experience, expected usage,
physical wear and tear, technological developments and
management''s assessment of the period over which
the assets are expected to be used. Changes in these
estimates may affect future depreciation expense and the
carrying amount of the related assets.

2.21.8 Capitalisation of Property, Plant and Equipment
and Capital Work in Progress

Judgement is required in determining whether
expenditure qualifies for capitalisation as property,
plant and equipment or should be recognised as an
expense. Judgement is also involved in determining
when an asset under construction or installation
is available for use and should be transferred from
capital work in progress to the appropriate asset
category. This assessment is based on the facts
and circumstances of each project, including
completion of installation, testing and other activities
necessary for the asset to operate in the manner
intended by management.

2.21.9 Impairment of Non-Financial Assets

The Company assesses at each reporting date
whether there is any indication that a non-financial
asset may be impaired. Where such an indication
exists, the recoverable amount of the asset or
cash-generating unit is estimated. Determining the
recoverable amount involves estimates of future cash
flows, growth assumptions and discount rates, as
applicable. Changes in these assumptions may result
in impairment losses or reversals of impairment in
future periods.

2.21.10 Leases

Ind AS 116 defines the lease term as the non¬
cancellable period for which the lessee has the right
to use an underlying asset, together with optional
periods when the entity is reasonably certain to
exercise an option to extend the lease or not to
exercise an option to terminate the lease. Judgement
is required in determining whether a contract contains
a lease, the lease term, including whether extension
or termination options are reasonably certain to be
exercised, and the discount rate used to measure
lease liabilities when the interest rate implicit in the
lease is not readily determinable. These judgements
affect the recognition and measurement of right-
of-use assets and lease liabilities. The Company
considers all relevant facts and circumstances that
create an economic incentive to exercise or not
exercise such options and reassesses them when
significant events or changes in circumstances occur
that are within the control of the Company.

Trade receivables represent the amount outstanding on hospital services which are considered as good by the management. The
Company believes that the carrying amount of allowance for expected credit loss with respect to trade receivables is adequate.

The trade receivables comprise mainly of receivables from Government Undertakings Insurance Companies, and
Corporate customers.

(vi) Expected credit loss Methodology

The Company has used a practical expedient by computing the expected credit loss allowance for receivables based on a
provision matrix. The provision matrix takes into account historical credit loss experience and is adjusted for forward looking
information. The expected credit loss allowance is based on the ageing of the days the receivables are due and the rates as given
in the provision matrix.

(i). Terms and rights attached to equity shares

The Company has one class of Equity Share Capital having a par value of H 2 per share, refer to herein has equity shares. Each
shareholder is entitled to one vote per share held and cary a right to a dividend

The dividend proposed by the Board of Directors is subject to approval of the shareholders in ensuing Annual General Meeting
except in the case where interim dividend is distributed. The Company has not distributed any dividend in the current period.

In the event of liquidation of the Company, the shareholders shall be entitled to receive all of the remaining assets of the
Company after distribution of all preferential amounts, if any. Such distribution amounts will be in proportion to the number of
equity shares held by the shareholders.

Nature and purpose of other equity:

(i) . Retained earnings

Retained earnings represent the cumulative profits or losses of the Company that have been retained for reinvestment in
the business, after accounting for dividend distributions and other appropriations. This reserve is available for distribution to
shareholders, subject to the provisions of the Companies Act, 2013.

(ii) . Securities premium

The amount received in excess of face value of the equity shares is recognised in Securities Premium. It can only be utilised for
limited purposes in accordance with the provisions of the Companies Act, 2013.

(iii) Deemed Equity

The financial guarantee previously received from the Holding Company was released during the year. Consequently, the deemed
equity arising from the fair value adjustment of such guarantee has been derecognised and transferred to retained earnings.

(iv) . Items of other comprehensive income

Remeasurement of defined benefit obligation

The Company recognises change on account of remeasurement of the net defined benefit liability as part of other comprehensive
income with separate disclosure, which comprises of:

• actuarial gains and losses; and

• any change in the effect of the asset ceiling excluding amounts included in net interest on the net defined benefit liability.

F. Tax losses carried forward

As at March 31, 2026 and March 31, 2025, the Company does not have any unused tax losses or unabsorbed depreciation
available for set-off against future taxable profits. Accordingly, no deferred tax asset has been recognised in this regard.

43 Employee benefits

I. Defined contribution plans:

The Company makes contributions, determined as a specified percentage of employee salaries, in respect of qualifying employees
towards provident fund and labour welfare fund which are defined contribution plans. The Company has no obligations other
than to make the specified contributions. The contributions are charged to the statement of profit and loss as they accrue.

The Company has recognised, in the statement of profit and loss for the period ended March 31, 2026 an amount of H 2.06
millions (March 31, 2025 an amount of H 3.05 millions)

II. Defined benefit plans:

Gratuity (unfunded)

In accordance with the Payment of Gratuity Act of 1972, the company contributes to a defined benefit plan ("the Gratuity Plan").
The gratuity plan provides a lump sum payment to vested employees at retirement, withdrawal, resignation and death of an
employee. The gratuity liability is calculated on the basis of fifteen days salary (i.e. last drawn basic salary) for each completed
year of service subject to completion of four year and two forty days in service.

The present value of obligation is determined based on actuarial valuation using the projected unit credit method, which
recognise each period of service as giving rise to additional employee benefit entitlement and measures each unit separately to
build up the final obligation.

The current service cost and the net interest expense for the period are included in the ''Employee benefits expense''
in the statement of Profit and Loss. The remeasurement of the net defined benefit liability is included in the other
comprehensive income.

C. Actuarial assumptions

The principal assumptions are the discount rate and salary growth rate. The discount rate is based upon the market yields
available on government bonds at the accounting date with a term that matches that of liabilities. Salary increase rate takes
into account of inflation, seniority, promotion and other relevant factors on long term basis. Valuation assumptions are as
follows which have been selected by the Company.

Although the analysis does not take account of the full distribution of cash flows expected under the plan, it does provide
an approximation of the sensitivity of the assumptions shown.

Sensitivities due to mortality is not material and hence impact of change is not calculated.

Sensitivities as to rate of inflation, rate of increase of pensions in payment, rate of increase of pensions before retirement
and life expectancy are not applicable being a lump sum benefit on retirement.

Description of Risk Exposures:

Valuations are based on certain assumptions, which are dynamic in nature and vary over time. As such the Company is
exposed to various risks as follows:

a) . Salary increase: Actual salary increases will increase plan’s liability. Increase in salary increase rate assumption in

future valuations will also increase the liability.

b) . Investment risk: If plan is funded then assets liabilities mismatch & actual investment return on assets lower than the

discount rate assumed at the last valuation date can impact the liability.

c) . Discount rate: Reduction in discount rate in subsequent valuations can increase the plan’s liability.

d) . Mortality & disability: Actual deaths & disability cases proving lower or higher than assumed in the valuation can

impact the liabilities.

e) . Withdrawals: Actual withdrawals proving higher or lower than assumed withdrawals and change of withdrawal rates

at subsequent valuations can impact the plan’s liability.

i) Guarantees issued by the company’s bankers on the behalf of company against 100% term deposit H 13.91 millions

ii) Amount not deposited on account of dispute: Income tax matters (AY 2022-23 -pending in appeal): H 47.39 millions

iii) The liabilities in respect of any infringement, breach / omission or difference of opinion with the Govt. Department, if
any, under any Direct/ Indirect Tax or Labour Laws including interest & penalties on late deposit of tax/ filing of returns is
contingent and uncertain and hence amount can''t be quantified.

b) Commitments

No commitments as on March 31, 2026 nil (PY March 31, 2025: H 314.19 millions)

46 Expenditure on CSR activities

As per section 135 of the Companies Act 2013 read with guidelines issued by Department of Public enterprises, the company is
required to spend, in every financial year, at least 2% of the average net profit of the company for the three immediate preceding financial
years in accordance with its Corporate social Responsibility (CSR) policy. The details of CSR expenses for the year are as below:-

(b) Nature of CSR activities

During the current year, the Company''s CSR expenditure was directed towards "Healthcare facilities for the underprivileged" as
specified in Schedule VII to the Companies Act, 2013. In the previous year, CSR funds were utilised for "Healthcare facilities for
the underprivileged", including preventive healthcare and sanitation.

3. Hypothecation of Receivable/cashflows (including future cashflows, insurance proceeds, common area charges, parking
charges and any other receipt of Kailash Super-Speciality Hospital Private Limited

4. All present and future movable fixed assets and current assets of Park Medi World Limited.

5. Security cees for interest and scheduled principal amount for 1 year and principal amount for repayment of the facility. The
security cheques for interest and scheduled instalments to be provided on annual basis.

(iii) Security given for loan to Axis Bank Limited is as follows (Loans 3):

Extension of second charge on following existing security.

1. Entire movable fixed assets of the company both present and future except for vehicles/movable fixed assets financed by
other Banks/Fis

2. Property situated at Plot No 12, Chawkhandi, Near Meera Enclave, Vikas Puri, New Delhi in the name of Ajit Gupta.

3. Property situated at Plot No 97, Chawkhandi, Village Sant Nagar, Near Meera Enclave, Vikas Puri, New Delhi in the name
of Ajit Gupta and Ankit Gupta (presently cash margin equivalent to 55% of exposure is taken pending TSR of properties
mentioned under 2 and 3).

(iv) Security given for loan to Axis Bank Limited is as follows (Loans 4):

Primary:-

1. Exclusive hypothecation on the entire movable fixed assets of the company both present and future (specific to the
Panchkula Hospital project).

2. Exclusive charge by way of Equitable mortgage over property situated at Plot No 1, sector 5MDC, Urban Estate, Panchkula,
Har yana, in the name of Park Medi World Limited (Cross collaterized for WC facility of H 250.0 millions in M/s Blue Heavens
Healthcare Private Limited).

3. Commercial Property situated at Urban Estate Phase-1, Patiala in the name of Park Medicity (World) Private Limited (Cross
collaterized for WC facility of H 250.0 millions in M/s Blue Heavens healthcare Private Limited and credit facility of H 660.0
millions in M/s Park Medicity (World) Private Limited.

Collateral:-

1. Hypothecation on the entire current assets of the company both present and future.

2. Hypothecation on the entire movable fixed assets of the company both present and future except for vehicles/movable fixed
assets financed by Banks/Fl''s on exclusive basis other

3. Exclusive charge by way of Equitable mortgage over property situated at Plot No 12, Chawkhandi, Near Meera Enclave,
Vikas Puri, New Delhi in the name of Ajit Gupta.

4. Exclusive charge by way of Equitable mortgage over property situated at Plot No 97. Chawkhandi, Village Sant Nagar, Near
Meera Enclave, Vikas Puri, New Delhi in the name of Ajit Gupta and Ankit Gupta.

Personal Guarantee:

(i) ''Ajit Gupta, Director

(ii) ''Ankit Gupta, Director

Corporate Guarantee:-

Park Medicity (World) Private Limited

(v) Security given for working capital loan to Axis Bank Limited is as follows (Loans 23):

Primary:-

Hypothecation on the entire Current assets of the company both present and future on exclusive basis.

Collateral:

1. Exclusive Charge on hypothecation on the entire movable fixed assets of the company both present and future except for
vehicles/movable fixed assets financed by other Banks/Fl''s.

Extension of EM of the following Properties on exclusive basis:

1. Commercial Property situated at Plot No 12. Chawkhandi, Near Meera Enclave, Vikas Puri, New Delhi in the name of Ajit Gupta.

2. Commercial Property situated at Plot No 97. Chawkhandi. Village Sant Nagar. Near Meera Enclave, Vikas Puri, New Delhi
in the name of Ajit Gupta and Ankit Gupta

3. Commercial Property situated at Plot No sector 5MDC. Urban Estate, Panchkula, Haryana, in the name of Park Medi World
Limited (Charged as primary as proposed TL). (Cross collaterized for WC facility of H 250.0 millions in M/s Blue Heavens
Healthcare Private Limited)

4. Commercial Property situated at Urban Estate Phase-1, Patiala in the name of Park Medicity (World) Private Limited (Cross
collaterized for WC facility of H 250.0 millions in M/s Blue Heavens Healthcare Private Limited and credit facility of H 660.0
millions in M/s Park Medicity (World) Private Limited)

(vi) For reconciliation of carrying amount of right-of-use assets and details thereof refer note 6.

2. Exempted leases

The Company has recognised H 14.88 millions as an expense in the Statement of Profit and Loss on a straight-line basis
over the lease term which pertains to short term lease (lease term of twelve months or less) and and leases of low-value
assets, in accordance with the exemptions provided under Ind AS 116 - Leases which was not recognised as part of
right of use asset.

50 Fair value measurement and financial instruments
a). Financial risk management objective and policies

The Company’s principal financial liabilities comprises borrowings, trade and other payables. The main purpose of these financial
liabilities is to finance the Company’s operations. The Company’s principal financial assets includes investment, trade and other
receivables, and cash and cash equivalents that are derived directly from its operations.

The Company’s financial risk management is an integral part of how to plan and execute its business strategies. The Company
is exposed to market risk, credit risk and liquidity risk.

The Company’s senior management oversees the management of these risks. The senior professionals working to manage
the financial risks and the appropriate financial risk governance framework for the Company are accountable to the Board of

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet
its contractual obligations, and arises principally from the Company’s receivables from customers.

The Company''s credit risk is primarily to the amount due from customers and loans. The Company maintains a defined
credit policy and monitors the exposures to these credit risks on an ongoing basis. Credit risk on cash and cash equivalents
is limited as the Company generally invests in deposits with scheduled commercial banks with high credit ratings assigned
by domestic credit rating agencies.

The maximum exposure to the credit risk at the reporting date is primarily from trade receivables. Trade receivables are
unsecured and are derived from revenue earned from customers primarily located in India. The Company does monitor the
economic environment in which it operates and the Company manages its Credit risk through credit approvals, establishing
credit limits and continuously monitoring credit worthiness of customers to which the Company grants credit terms in the
normal course of business.

The Company uses expected credit loss model to assess the impairment loss or gain. The Company establishes an allowance
for impairment that represents its expected credit losses in respect of trade receivable. The management uses a simplified
approach (i.e. based on lifetime ECL) for the purpose of impairment loss allowance, the Company estimates amounts based
on the business environment in which the Company operates, and management considers that the trade receivables are
in default (credit impaired) when counter party fails to make payments as per terms of sale/service agreements. However
the Company based upon historical experience determine an impairment allowance for loss on receivables.

When a trade receivable is credit impaired, it is written off against trade receivables and the amount of the loss is recognised
in the statement of profit and loss. Subsequent recoveries of amounts previously written off are credited to the statement
of profit and loss.

The gross carrying amount of trade receivables is H 532.19 millions. Trade receivables are generally realised within
the credit period.

The Company believes that the unimpaired amounts that are past due are still collectible in full, based on historical
payment behaviour.

(ii). Liquidity risk

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial
liabilities that are settled by delivering cash or another financial asset. The Company’s approach to managing liquidity is
to ensure, as far as possible, that it will have sufficient liquidity to meet its liabilities when they are fallen due, under both
normal and stressed conditions, without incurring unacceptable losses or risking damage to the Company’s reputation.

The Company believes that its liquidity position of H 854.83 millions and the anticipated future internally generated funds
from operations will enable it to meet its future known obligations in the ordinary course of business.

Prudent liquidity risk management implies maintaining sufficient cash and marketable securities and the availability of
funding through an adequate amount of credit facilities to meet obligations when due. The Company''s policy is to regularly
monitor its liquidity requirements to ensure that it maintains sufficient reserves of cash and funding from Company
companies to meet its liquidity requirements in the short and long term.

The Company''s liquidity management process as monitored by management, includes the following:

- Day to Day funding, managed by monitoring future cash flows to ensure that requirements can be met.

- Maintaining rolling forecasts of the Company’s liquidity position on the basis of expected cash flows.

(iii). Market risk

Market risk is the risk that the future cash flows of a financial instrument will fluctuate because of changes in market prices.
Market risk comprises three types of risk: interest rate risk, currency risk and other price risk, the Company mainly has
exposure to two type of market risk namely: currency risk and interest rate risk. The objective of market risk management
is to manage and control market risk exposures within acceptable parameters, while optimising the return.

a. Interest rate risk

Interest rate risk is the risk that the future cash flows of a financial instrument will fluctuate because of changes in
market interest rates. The Company’s main interest rate risk arises from long-term borrowings with variable rates,
which expose the Company to cash flow interest rate risk.

Exposure to interest rate risk

The Company’s interest rate risk arises majorly from the term loans from banks carrying floating rate of interest.
These obligations exposes the Company to cash flow interest rate risk. The exposure of the Company’s borrowing to
interest rate changes as reported to the management at the end of the reporting period are as follows:

Cash flow sensitivity analysis for variable-rate instruments

The sensitivity analyses below have been determined based on the exposure to interest rates at the end of the
reporting period.

For floating rate liabilities, the analysis is prepared assuming the amount of the liability outstanding at the end of the
reporting period was outstanding for the whole year. A 50 basis point increase or decrease is used when reporting
interest rate risk internally to key management personnel and represents management’s assessment of the reasonably
possible change in interest rates.

b. Currency risk

Currency risk is the risk that the future cash flows of a financial instrument will fluctuate because of changes in foreign
exchange rates. The Company is exposed to the effects of fluctuation in the prevailing foreign currency exchange
rates on its financial position and cash flows to the extent of earnings and expenses in foreign currencies. Exposure

arises primarily due to exchange rate fluctuations between the functional currency and other currencies from the
Company''s operating, investing and financing activities.

Exposure to foreign currency risk

As at March 31, 2026 and March 31, 2025, the Company had no outstanding foreign currency exposure and,
accordingly, there was no foreign exchange exposure requiring disclosure as at the respective reporting date.

51 Capital management
Objective

The Company''s objective for capital management is to maximize shareholder value, safeguard business continuity, and support the
growth of the Company. The Company determines the capital requirement based on annual operating plans, long-term and other
strategic investment plans, and manages the capital structure to meet the requirements.

Definition of Capital

For the purpose of the Company''s capital management, capital includes issued equity share capital and all other equity reserves
attributable to the equity holders of the Company.

Capital Management strategy

Management assesses the Company''s capital requirements in order to maintain an efficient overall financing structure while avoiding
excessive leverage. The Company manages the capital structure and makes adjustments to it in the light of changes in economic
conditions and the risk characteristics of the underlying assets. To maintain or adjust the capital structure, the Company may:

Return capital to shareholders through dividends or buybacks

Raise new debt financing

Issue new equity shares

Reduce or repay exiting date

Monitoring Metric

The Company monitors capital using the gearing ratio, which is calculated as net debt divided by total capital. Net debt is calculated
as total borrowings (including lease liabilities) less cash and cash equivalents. Total capital is calculated as equity plus net debt.

No change in Objective

No changes were made to the objectives, policies, or processes for managing capital during the year ended March 31, 2026 and
March 31,2025.

52 Disclosure as per Ind AS 108 on ‘Operating segments’

A. Basis of Segmentation

Segment information is presented in respect of the company’s key operating segments. The operating segments are based on
the company’s management and internal reporting structure.

Identification of Chief Operating Decision Maker (CODM)

The Board of Directors has been identified as the Chief Operating Decision Maker (‘CODM’), since they are responsible for all
major decisions with respect to the preparation and execution of business plan, preparation of budget, planning, expansion,
alliances, joint ventures, mergers and acquisitions, and expansion of any facility.

Reportable Segment

The Company is engaged only in Healthcare business. Accordingly, in accordance with Ind AS 108 ‘Operating Segments’, the
Company has determined that it has only one reportable segment - ‘Healthcare Services’ as at March 31, 2026. Hence, no
separate segment-wise disclosures have been made.

B. Entity-wide Disclosures

(i) Information about products and services

The Company deals in one business namely ‘Healthcare Services’. Therefore, product-wise revenue disclosure is
not applicable.

(ii) Information about geographical areas

The Company operates under a single geographic location (India). Hence, there are no separate reportable
geographical segments.

E. Terms and Conditions

The transactions entered into with related parties defined under the Companies Act, 2013 during the financial year, are on arm''s
length pricing basis.

There are no loans or advances in the nature of loans granted to promoters, directors or key managerial personnel
No provision has been recognised against amounts due from related party.

Loans to/from related parties:

- Loans are unsecured and repayable on demand.

- Interest rate: At mutually agreed rates in accordance with arm''s length principle.

- No loans or advances in the nature of loans have been granted to promoters, directors or key managerial personnel.

Outstanding balances:

- Outstanding balances at the year-end are unsecured and settlement occurs in cash.

- No provision has been recognised against amounts due from related parties.

- There have been no guarantees provided or received for any related party receivables or payables.

- For the year ended March 31, 2026, the Company has not recorded any impairment of receivables relating to amounts
owed by related parties.

F. Significant Transactions

(i) Inter-company Loans

During the year, the Company provided intercompany loan H 2,951.4 millions to certain subsidiaries for repayment of
outstanding borrowings due to Banks/Financial Institutions. All loans are provided on arm''s length terms. Significant loan
transactions include:

G. Commitments and Guarantees

For details on Commitments and Guarantees (refer note 45)

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

62 The Company have not advanced or loaned or invested funds to any other person(s) or entity(is), including foreign entities
(Intermediaries) with the understanding that the Intermediary shall

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

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

63 The Company have not received any fund from any person(s) or entity(is), 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
Company (Ultimate Beneficiaries) or

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

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

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

66 The Company has not been declared a wilful defaulter by any bank or financial institutions or other lender in accordance with
the guidelines on wilful defaulters issued by the Reserve Bank of India.

67 The Company has not used any borrowings from banks and financial institutions for purpose other than for which it was taken.

68 In this financials figures are shown as H 0.00 represent amount less than H 5,000.