Accounting Policies of Triochem Products Ltd. Company

Mar 31, 2025

2 Significant accounting policies

This note provides a list of the significant accounting policies adopted in the preparation of these financial statements. These policies
have been consistently applied to all the years presented, unless otherwise stated.

A Basis of preparation of financial statement

The financial statements Complies in all material aspects with Indian Accounting Standards (Ind AS) notified under the Companies
(Indian Accounting Standards) Rules, 2015 as amended and notified under Section 133 of the Companies Act, 2013 (the "Act") and other
relevant provisions of the Act and other accounting principles generally accepted in India.

The financial statements were authorized for issue by the Company’s Board of Directors on 24th May, 2025.

These financial statements are presented in Indian Rupees (1NR), which is also the functional currency. All the amounts have been
rounded off to the nearest lakhs, unless otherwise indicated.

B Use of estimates and judgements

The preparation of financial statements requires management to make judgments, estimates and assumptions in the application of
accounting policies that affect the reported amounts of assets, liabilities, income and expenses. Actual results may differ from these
estimates. Continuous evaluation is done on the estimation and judgments based on historical experience and other factors, including
expectations of future events that are believed to be reasonable. Revisions to accounting estimates are recognised prospectively.

C Current and non-current classification

All assets and liabilities have been classified as current or non-current as per the Company''s operating cycle and other criteria set out in
the Schedule HI to the Companies Act, 2013- Based on the nature of products and the time between the acquisition of assets for
processing and their realisation in cash and cash equivalents, the Company has ascertained its operating cycle as 12 months for the
purpose of current - non-current classification of assets and liabilities.

D Foreign currency translation

I Functional and presentation currency

Items included in the financial statements of the Company are measured using the currency of the primary economic environment
in which the Company operates (‘the functional currency’). The financial statements are presented in Indian rupee (INR), which is
Company''s functional and presentation currency.

II Transactions and balances

Foreign currency transactions are translated into the functional currency using the exchange rates at the dates of the transactions.
Foreign exchange gains and losses resulting from the settlement of such transactions and from the translation of monetary assets
and liabilities denominated in foreign currencies at year end exchange rates are generally recognised in profit or loss. All the foreign
exchange gains and losses are presented in the statement of Profit and Loss on a net basis within other expenses or other income as
applicable.

E Property, plant and equipment

i Freehold land is carried at historical cost including expenditure that is directly attributable to the acquisition of the land.

ii All other items of property, plant and equipment are stated at cost less accumulated depreciation. Cost includes expenditure that is
directly attributable to the acquisition of the items.

ill Subsequent costs are included in the asset’s carrying amount or recognised as a separate asset, as appropriate, only when it is
probable that future economic benefits associated with the Item will flow to the company and the cost of the item can be measured
reliably. The carrying amount of any component accounted for as a separate asset is derecognised when replaced. All other repairs
and maintenance are charged to profit or loss during the reporting period in which they are incurred.

iv Cost of Capital Work in Progress (‘CWIP’) comprises amount paid towards acquisition of property, plant and equipment outstanding
as of each balance sheet date and construction expenditures, other expenditures necessary for the purpose of preparing the CWIP
for it intended use and borrowing cost incurred before the qualifying asset is ready for intended use. CWIP is not depreciated until
such time as the relevant asset is completed and ready for its intended use.

v Depreciation methods, estimated useful lives and residual value

(a) Fixed assets are stated at cost less accumulated depreciation.

(b) Depreciation is provided on a written down value method at the rates and manner as prescribed under Schedule II to the
Companies Act, 2013- The depreciation charge for each period is recognised in the Statement of Profit and Loss, unless it is included
in the carrying amount of any other asset. The useful life, residual value and the depreciation method are reviewed atleast at each
financial year end. If the expectations differ from previous estimates, the changes are accounted for prospectively as a change in
accounting estimate.

vi Tangible assets which are not ready for their intended use on reporting date are carried as capital work-in-progress.

vii The residual values are not more than 5% of the original cost of the asset.

An asset’s carrying amount is written down immediately to its recoverable amount if the asset’s carrying amount is greater than its
estimated recoverable amount.

Estimated useful lives, residual values and depredation methods are reviewed annually, taking into account commercial and
technological obsolescence as well as normal wear and tear and adjusted prospectively, if appropriate.

Gains and losses on disposals are determined by comparing proceeds with carrying amount. These are tnduded in profit or loss
within other expenses or other income as applicable.

F Investment Property

Property that is held for long-term rental yields or for capital appreciation or both, and that is not occupied by the Company, is classified
as Investment property. Investment property is measured initially at its cost, induding related transaction costs and where applicable
borrowing costs. Subsequent expenditure is capitalised to the asset’s carrying amount only when it is probable that future economic
benefits assodated with the expenditure will flow to the Company and the cost of the item can be measured reliably. All other repairs
and maintenance costs are expensed when incurred. When part of an investment property is replaced, the carrying amount of the
replaced part is derecognised. Investment properties (except freehold land) are depreciated using the Written down value method over
their estimated useful lives at the rates prescribed under Schedule II of the Companies Act, 2013.

G Intangible assets

i An intangible asset shall be recognised if, and only if: (a) it is probable that the expected future economic benefits that are
attributable to the asset will flow to the Company and (b) the cost of the asset can be measured reliably.

ii Computer software is capitalised where it is expected to provide future enduring economic benefits. Capitalisation costs include
licence fees and costs of implementation / system integration services. The costs are capitalised in the year in which the relevant
software is implemented for use. The same is amortised over a period of 3 years on straight-line method.

H Borrowing Cost

i Borrowings are initially recognised at fair value, net of transaction costs incurred. Borrowings are subsequently measured at
amortised cost. Any difference between the proceeds (net of transaction costs) and the redemption amount is recognised in profit or
loss over the period of the borrowings using the effective interest method. Fees paid on the establishment of loan facilities are
recognised as transaction costs of the loan to the extent that it is probable that some or all of the facility will be drawn down. In this
case, the fee is deferred until the draw down occurs. To the extent there is no evidence that it is probable that some or all of the
facility will be drawn down, the fee is capitalised as a prepayment for liquidity services and amortised over the period of the facility
to which it relates.

ii Borrowings are classified as current financial liabilities unless the group has an unconditional right to defer setdement of the liability
for at least 12 months after the reporting period. Where there is a breach of a material provision of a long-term loan arrangement on
or before the end of the reporting period with the effect that the liability becomes payable on demand on the reporting date, the
entity does not classify the liability as current, if the lender agreed, after the reporting period and before the approval of the financial
statements for issue, not to demand payment as a consequence of the breach.

I Income tax, deferred tax and dividend distribution tax

The Income tax expense or credit for the year is the tax payable on the current year’s taxable income based on the applicable income tax
rate adjusted by changes in deferred tax assets and liabilities attributable to temporary differences and to unused tax losses.

Current and deferred tax is recognised in the profit and loss except to the extent it relates to items recognised directly in equity or other
comprehensive income, in which case it is recognised in equity or other comprehensive income respectively.

i Current income tax

Current tax charge is based on taxable profit for the year. The tax rates and tax laws used to compute the amount arc those that are
enacted or substantively enacted, at thMtiSEBfodqte where the Company operates and geg£raR3=aMble income. Management
periodically evaluates positions tafo^^>tarT?taQ^Mfth respect to situations in ^Ith^^M^m^egulatlon 1$ subject to
Interpretation It establishes provisfejEwhere appropN&ron the basis of amounts eaqKctm&we paid totterax authorities,

Current tax assets and tax liabilities are offset when there is a legally enforceable right to set off current tax assets against current tax
liabilities and Company intends either to setde on a net basis, or to realise the asset and settle the liability simultaneously.

if Deferred tax

Deferred tax is provided using the liability method on temporary differences arising between the tax bases of assets and liabilities
and their carrying amounts in the financial statements at the reporting date. Deferred tax assets are recognised to the extent that it is
probable that future taxable income will be available against which the deductible temporary differences, unused tax losses,
depreciation carry-forwards and unused tax credits could be utilised.

Deferred income tax is not accounted for if it arises from initial recognition of an asset or liability in a transaction other than a
business combination that at the time of the transaction affects neither accounting profit nor taxable profit (tax loss).

Deferred tax assets and liabilities are measured based on the tax rates that are expected to apply in the period when the asset is
realised or the liability is settled, based on tax rates and tax laws that have been enacted or substantively enacted by the balance
sheet date.

The carrying amount of deferred tax assets is reviewed at each reporting date and adjusted to reflect changes in probability that
sufficient taxable profits will be available to allow all or part of the asset to be recovered.

Deferred income tax assets and liabilities are off-set against each other and the resultant net amount is presented in the Balance
Sheet, if and only when, (a) the Company has a legally enforceable right to set-off the current income tax assets and liabilities, and
(b) the deferred income tax assets and liabilities relate to income tax levied by the same taxation authority.

Minimum Alternate Tax credit is recognised as an asset only when and to the extent there is convincing evidence that the company
will pay normal income tax during the specified period. Such asset is reviewed at each Balance Sheet date and the carrying amount
of the MAT credit asset is written down to the extent there is no longer a convincing evidence to the effect that the Company will
pay normal income tax during the specified period.

J Revenue recognition

Revenue is measured at the fair value of the consideration received or receivable. Amounts disclosed as revenue are inclusive of excise
duty and net of returns, trade discount taxes and amounts collected on behalf of third parties. The Company recognises revenue as

I Sales

(0 The Company recognizes revenue from sale of goods when:

(a) The significant risks and rewards of ownership in the goods are transferred to the buyer as per the terms of the contract, which
coincides with the delivery of goods.

(b) The Company retains neither continuing managerial Involvement to the degree usually associated with the ownership nor
effective control over the goods sold.

(c) The amount of revenue can be reliably measured.

(d) It is probable that future economic benefits associated with the transaction will flow to the Company.

(e) The cost incurred or to be incurred in respect of the transaction can be measured reliably.

(f) The company bases its estimates on historical results, taking into consideration the type of customer, the type of transaction and
the specifics of each arrangement.

Effective April 1, 2018, the Company has applied Ind AS 115 which establishes a comprehensive framework for determining
whether, how much and when revenue is to be recognised. Ind AS 115 replaces Ind AS 18 Revenue and Ind AS 11 Construction
Contracts. The Company has adopted Ind AS 115 using the cumulative effect method. The effect of initially applying this standard is
recognised at the date of initial application (i.e. April 1, 2018). There are no material impact on revenue recognition by applying this

II Other income

(0 Interest income

Interest income from debt instruments is recognised using the effective interest rate method. The effective interest rate is the rate
that exactly discounts estimated future cash receipts through the expected life of the financial asset to the gross carrying amount of a
financial asset. When calculating the effective interest rate, the group estimates the expected cash flows by considering all the
contractual terms of the financial instrument (for example, prepayment, extension, call and similar options) but does not consider
the expected credit losses.

(11) Dividends

Dividends are recognised in profit or loss only when the right to receive payment is established, it is probable that the economic
benefits associated with the dividemWtQ JjfoKT»4he group, and the amount of the dividend canht''mcadltfeffcidiably.

(Ill) Export benefits

Export incentives are accounted for on export of goods If the entitlements can be estimated with reasonable accuracy and conditions
precedent to claim are fulfilled.

K Inventories valuation

i Raw materials, components, stores & spares, packing material, semi-finished goods & finished goods are valued at lower of cost and
net realisable value.

ii Cost of Raw Materials, components, stores & spares and packing material is arrived at Weighted Average Cost and Cost of semi¬
finished good and finished good comprises, raw materials, direct labour, other direct costs and related production overheads.

iii Scrap is valued at net realisable value.

iv Due allowances are made in respect of slow moving, non-moving and obsolete inventories based on estimate made by the
Management.

L Impairment of Assets

Intangible assets that have an indefinite useful life are not subject to amortization and are tested annually for impairment or more
frequently if events or changes in circumstances indicate that they might be impaired. Other assets are tested for impairment whenever
events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is recognised for the
amount by which the asset’s carrying amount exceeds its recoverable amount. The recoverable amount is the higher of an asset’s fair
value less costs of disposal and value in use. For the purposes of assessing impairment, assets are grouped at the lowest levels for which
there are separately identifiable cash inflows which are largely independent of the cash inflows from other assets or groups of assets
(cash-generating units). Non-financial assets that suffered impairment are reviewed for possible reversal of the impairment at the end of
each reporting period.

M Fair Value Measurement

The Company measures certain 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 date. The
fair value measurement is based on the presumption that the transaction to sell the asset or transfer the liability takes place either:

- In the principal market for the asset or liability, or

- 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 a 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, maximizing the use of relevant observable inputs and minimizing the use of unobservable inputs.

All assets and liabilities for which fair value is measured or disclosed in the financial statements are categorised 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) prices for identical assets or liabilities in active markets
Level 2: Significant inputs to the fair value measurement are directly or indirectly observable
Level 3: Significant inputs to the fair value measurement are unobservable

For assets and liabilities that are recognised 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 the 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 & liabilities on the basis of the nature,
characteristics and the risks of the asset or liability and the level of the fair value hierarchy as explained above.

N Financial Instrument

a Recognition, classification and presentation

The financial instruments are recognised in the balance sheet when the company becomes a party to the contractual provisions of
the instrument,

The Company determines the class ificatfo^^t^jS^odal instruments at initial recognition.

The Company classifies its financial assets in the following categories: a) those to be measured subsequently at fair value (either
through other comprehensive income, or through profit or loss), and b) those to be measured at amortized cost. The classification
depends on the entity’s business model for managing the financial assets and the contractual terms of the cash flows.

Financial assets and liabilities arising from different transactions are off-set against each other and the resultant net amount is
presented in the balance sheet, if and only when, the Company currently has a legally enforceable right to set-off the related
recognised amounts and intends either to settle on a net basis or to realize the assets and settle the liabilities simultaneously.

b Measurement

(A) Initial measurement

At initial recognition, the Company measures financial instruments at its fair value plus, in the case of a financial asset not at fair
value through profit or loss, transaction costs that are directly attributable to the acquition of the financial assets. Otherwise
transaction costs are expensed in the statement of profit and loss.

(B) Subsequent measurement - financial assets

The subsequent measurement of the financial assets depends on their classification as follows:

(i) Financial assets measured at amortized cost

Assets that are held for collection of contractual cash flows where those cash flows represent solely payments of principal and
interest are measured at amortized cost using the effective interest rate (‘EIR’) method (if the impact of discounting / any transaction
costs is significant). Interest income from these financial assets is included in finance income.

(ii) Financial assets at fair value through other comprehensive income (‘FVTOCI’)

Equity investments which are not held for trading and for which the Company has elected to present the change in the fair value in
other comprehensive income and debt instruments that are held for collection of contractual cash flows and for selling the financial
assets, where the assets’ cash flow represent solely payment of principal and interest, are measured at FVTOCI.

The changes in fair value are taken through OCI, except for the impairment, interest (basis EIR method), dividend and foreign
exchange differences which are recognised in the statement of profit and loss.

When the financial asset is derecognized, the related accumulated fair value adjustments in OCI as at the date of derecognition are
reclassified from equity and recognised in the statement of profit and loss. However, there is no subsequent reclassification of fair
value gains and losses to statement of profit and loss in case of equity instruments.

(ill) Financial assets at fair value through profit or loss (‘FVTPL¹)

All equity instruments and financial assets that do not meet the criteria for amortized cost or FVTOCI are measured at fair value
through profit or loss. Interest (basis EIR method) and dividend income from FVTPL is recognised in the statement of profit and loss
within finance income / finance costs separately from the other gains,dosses arising from changes in the fair value.

Impairment

The company assesses on a forward looking basis the expected credit losses associated with its assets carried at amortized cost and
debt instrument carried at FVTOCI. The impairment methodology applied depends on whether there has been a significant increase
in credit risk since initial recognition. If credit risk has not increased significantly, twelve month ECL is used to provide for
impairment loss, otherwise lifetime ECL is used

However, only in case of trade receivables, the company applies the simplified approach which requires expected lifetime losses to
be recognized from initial recognition of the receivables.

(c) Subsequent measurement - financial liabilities

Other financial liabilities are initially recognised at fair value less any directly attributable transaction costs. They are subsequently
measured at amortized cost using the EIR method (if the impact of discounting / any transaction costs is significant).

c De-recognition

The financial liabilities are de-recognised from the balance sheet when the under-lying obligations are extinguished, discharged,
lapsed, cancelled, expires or legally released. The financial assets are de-recognised from the balance sheet when the rights to
receive cash flows from the financial assets have expired, or have been transferred and the Company has transferred substantially all
risks and rewards of ownership. A financial instrument is any contract that gives rise to a financial asset of one entity and a financial
liability or equity instrument of another entity.

0 Cash and cash equivalents

Cash and cash equivalents includes cash in hand, deposits with banks, other short term highly liquid investments with original maturities
of three months or less that are readflfj3#tMti&&iO known amounts of cash and which are subjec&ts^&r&Bignificant risk of changes in
value. /ov—

For the purpose of presentation in the statement of cash flows, cash and cash equivalents includes outstanding bank overdraft shown
within current liabilities in statement of financial balance sheet and which are considered as integral part of company''s cash management
policy.

F Investments

Equity investments are measured at fair value, with value changes recognised in Other Comprehensive Income, except for those mutual
fund for which the Company has elected to present the fair value changes in the Statement of Profit and Loss.

Q Trade receivables

Trade receivables are recognised initially at their fair value and subsequently measured at amortised cost using the effective interest
method, less provision for expected credit loss.

R Trade and other payables

These amounts represent liabilities for goods and services provided to the Company prior to the end of financial year which are unpaid.
Trade and other payables are recognised, initially at fair value, and subsequently measured at amortised cost using effective interest rate
method.

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Mar 31, 2024

2 Significant accounting policies

This note provides a list of the significant accounting policies adopted in the preparation of these financial statements. These policies
have been consistently applied to all the years presented, unless otherwise stated.

A Basis of preparation of financial statement

The financial statements Complies in all material aspects with Indian Accounting Standards (Ind AS) notified under the Companies
(Indian Accounting Standards) Rules, 2015 as amended and notified under Section 133 of the Companies Act, 2013 (the "Act") and other
relevant provisions of the Act and other accounting principles generally accepted in India.

The financial statements were authorized for issue by the Company''s Board of Directors on 28th May, 2024.

These financial statements are presented in Indian Rupees (INR), which is also the functional currency. All the amounts have been
rounded off to the nearest lakhs, unless otherwise indicated.

B Use of estimates and judgements

The preparation of financial statements requires management to make judgments, estimates and assumptions in the application of
accounting policies that affect the reported amounts of assets, liabilities, income and expenses. Actual results may differ from these
estimates. Continuous evaluation is done on the estimation and judgments based on historical experience and other factors, including
expectations of future events that are believed to be reasonable. Revisions to accounting estimates are recognised prospectively.

C Current and non-current classification

All assets and liabilities have been classified as current or non-current as per the Company’s operating cycle and other criteria set out in
the Schedule III to the Companies Act, 2013. Based on the nature of products and the time between the acquisition of assets for
processing and their realisation in cash and cash equivalents, the Company has ascertained its operating cycle as 12 months for the
purpose of current - non-current classification of assets and liabilities.

D Foreign currency translation

i Functional and presentation currency

Items included in the financial statements of the Company are measured using the currency of the primary economic environment
in which the Company operates (‘the functional currency¹). The financial statements are presented in Indian rupee (INR), which is
Company''s functional and presentation currency.

ii Transactions and balances

Foreign currency transactions are translated into the functional currency using the exchange rates at the dates of the transactions.
Foreign exchange gains and losses resulting from the settlement of such transactions and from the translation of monetary assets
and liabilities denominated in foreign currencies at year end exchange rates are generally recognised in profit or loss. All the foreign
exchange gains and losses are presented in the statement of Profit and Loss on a net basis within other expenses or other income as
applicable.

E Property, plant and equipment

i Freehold land is carried at historical cost including expenditure that is directly attributable to the acquisition of the land.

ii All other items of property, plant and equipment are stated at cost less accumulated depreciation. Cost includes expenditure that is
directly attributable to the acquisition of the items.

iii Subsequent costs are included in the asset’s carrying amount or recognised as a separate asset, as appropriate, only when it is
probable that future economic benefits associated with the item will flow to the company and the cost of the item can be measured
reliably. The carrying amount of any component accounted for as a separate asset is derecognised when replaced. All other repairs
and maintenance are charged to profit or loss during the reporting period in which they are incurred.

iv Cost of Capital Work in Progress (‘CWEP¹) comprises amount paid towards acquisition of property, plant and equipment outstanding

as of each balance sheet date and construction expenditures, other expenditures necessary for the purpose of preparing the CWiF
for it intended use and borrowing cost incurred before the qualifying asset is ready for intended use. CWIP is not depreciated until
such time as the relevant asset is completed aadnradyfor its intended use. ___

v Depreciation methods, estimated useful lives and residual value

(a) Fixed assets are stated at cost less accumulated depreciation.

(b) Depreciation is provided on a written down value method at the rates and manner as prescribed under Schedule II to the
Companies Act, 2013. The depreciation charge for each period is recognised in the Statement of Profit and loss, unless it is included
in the carrying amount of any other asset. The useful life, residual value and the depreciation method are reviewed atleast at each
financial year end. If the expectations differ from previous estimates, the changes are accounted for prospectively as a change in
accounting estimate.

vl Tangible assets which are not ready for their intended use on reporting date are carried as capital work-in-progress.

vii The residual values are not more than 5% of the original cost of the asset

An asset’s carrying amount is written down immediately to its recoverable amount if the asset’s carrying amount is greater than its
estimated recoverable amount.

Estimated useful lives, residual values and depreciation methods are reviewed annually, taking into account commercial and
technological obsolescence as well as normal wear and tear and adjusted prospectively, if appropriate.

Gains and losses on disposals are determined by comparing proceeds with carrying amount. These are included in profit or loss
within other expenses or other income as applicable.

F Investment Property

Property that is held for long-term rental yields or for capital appreciation or both, and that is not occupied by the Company, is classified
as Investment property. Investment property is measured initially at its cost, including related transaction costs and where applicable
borrowing costs. Subsequent expenditure is capitalised to the asset’s carrying amount only when it is probable that future economic
benefits associated with the expenditure will flow to the Company and the cost of the item can be measured reliably. All other repairs
and maintenance costs are expensed when incurred. "When part of an investment property is replaced, the carrying amount of the
replaced part is derecognised. Investment properties (except freehold land) are depreciated using the ''Written down value method over
their estimated useful lives at the rates prescribed under Schedule n of the Companies Act, 2013.

G Intangible assets

i An intangible asset shall be recognised if, and only if: (a) it is probable that the expected future economic benefits that are
attributable to the asset will flow to the Company and (b) the cost of the asset can be measured reliably.

ii Computer software is capitalised where it is expected to provide future enduring economic benefits. Capitalisation costs include
licence fees and costs of implementation / system integration services. The costs are capitalised in the year in which the relevant
software is implemented for use. The same is amortised over a period of 3 years on straight-line method.

H Borrowing Cost

i Borrowings are initially recognised at fair value, net of transaction costs incurred. Borrowings are subsequently measured at
amortised cost. Any difference between the proceeds (net of transaction costs) and the redemption amount is recognised in profit or
loss over the period of the borrowings using the effective interest method. Fees paid on the establishment of loan facilities are
recognised as transaction costs of the loan to the extent that it is probable that some or all of the facility will be drawn down. In this
case, the fee is deferred until the draw down occurs. To the extent there is no evidence that it is probable that some or all of the
facility will be drawn down, the fee is capitalised as a prepayment for liquidity services and amortised over the period of the facility
to which it relates.

ii Borrowing are classified as current financial liabilities unless the group has an unconditional right to defer settlement of the liability
for at least 12 months after the reporting period. Where there is a breach of a material provision of a long-term loan arrangement on
or before the end of the reporting period with the effect that the liability becomes payable on demand on the reporting date, the
entity does not classify the liability as current, if the lender agreed, after the reporting period and before the approval of the financial
statements for issue, not to demand payment as a consequence of the breach.

I Income tax, deferred tax and dividend distribution tax

The Income tax expense or credit for the year is the tax payable on the current year’s taxable income based on the applicable income tax
rate adjusted by changes in deferred tax assets and liabilities attributable to temporary differences and to unused tax losses.

Current and deferred tax is recognised in the profit and loss except to the extent it relates to items recognised directly in equity or other
comprehensive income, in which case it is recognised in equity or other comprehensive income respectively.

i Current income tax

Current tax charge is based on taxable profit for the year. The tax rates and tax laws used to computethgiagmmt are those that are
enacted or substantively enacted, at the reporting date_<jEhere4hqCompany operates and genera|^l^a$M&|jg&ne. Management
periodically evaluates positions taken in tax retums^^M^^^situations in which zpm(^\€vax rejj&aan is subject to
interpretation. It establishes provisions where appf pmflfe on the raa^amounts expected to B^md^^^n''gtnprities.

/a7 \e?\ WsAA ) a''ll

Current tax assets and tax liabilities are offset when there is a legally enforceable right to set off current tax assets against current tax
liabilities and Company intends either to settle on a net basis, or to realise the asset and setde the liability simultaneously.

ii Deferred tax

Deferred tax is provided using the liability method on temporary differences arising between the tax bases of assets and liabilities
and their carrying amounts in the financial statements at the reporting date. Deferred tax assets are recognised to the extent that it is
probable that future taxable income will be available against which the deductible temporary differences, unused tax losses,
depreciation carry-forwards and unused tax credits could be utilised.

Deferred income tax is not accounted for if it arises from initial recognition of an asset or liability in a transaction other than a
business combination that at the time of the transaction affects neither accounting profit nor taxable profit (tax loss).

Deferred tax assets and liabilities are measured based on the tax rates that are expected to apply in the period when the asset is
realised or the liability is settled, based on tax rates and tax laws that have been enacted or substantively enacted by the balance
sheet date.

The carrying amount of deferred tax assets is reviewed at each reporting date and adjusted to reflect changes in probability that
sufficient taxable profits will be available to allow all or part of the asset to be recovered.

Deferred income tax assets and liabilities are off-set against each other and the resultant net amount is presented in the Balance
Sheet, if and only when, (a) the Company has a legally enforceable right to set-off the current income tax assets and liabilities, and
(b) the deferred income tax assets and liabilities relate to income tax levied by the same taxation authority.

Minimum Alternate Tax credit is recognised as an asset only when and to the extent there is convincing evidence that the company
will pay normal income tax during the specified period. Such asset is reviewed at each Balance Sheet date and the carrying amount
of the MAT credit asset is written down to the extent there is no longer a convincing evidence to the effect that the Company will
pay normal income tax during the specified period.

J Revenue recognition

Revenue is measured at the fair value of the consideration received or receivable. Amounts disclosed as revenue are inclusive of excise
duty and net of returns, trade discount taxes and amounts collected on behalf of third parties. The Company recognises revenue as

I Sales

(i) The Company recognizes revenue from sale of goods when:

(a) The significant risks and rewards of ownership in the goods are transferred to the buyer as per the terms of the contract, which
coincides with the delivery of goods.

(b) The Company retains neither continuing managerial involvement to the degree usually associated with the ownership nor
effective control over the goods sold.

(c) The amount of revenue can be reliably measured.

(d) It is probable that future economic benefits associated with the transaction will flow to the Company.

(e) The cost incurred or to be incurred in respect of the transaction can be measured reliably.

(f) The company bases its estimates on historical results, taking into consideration the type of customer, the type of transaction and
the specifics of each arrangement.

Effective April 1, 2018, the Company has applied Ind AS 115 which establishes a comprehensive framework for determining
whether, how much and when revenue is to be recognised. Ind AS 115 replaces Ind AS 18 Revenue and Ind AS 11 Construction
Contracts. The Company has adopted Ind AS 115 using the cumulative effect method. The effect of initially applying this standard is
recognised at the date of initial application (i.e. April 1,2018). There are no material impact on revenue recogintion by applying this

II Other income

(i) Interest income

Interest income from debt instruments is recognised using the effective interest rate method. The effective interest rate is the rate
that exacdy discounts estimated future cash receipts through the expected life of the financial asset to the gross carrying amount of a
financial asset. "When calculating the effective interest rate, the group estimates the expected cash flows by considering all the
contractual terms of the financial instrument (for example, prepayment, extension, call and similar options) but does not consider
the expected credit losses.

(ii) Dividends

Dividends are recognised in profit or loss only when the right to receive payment is established, it is probable that the economic
benefits associated with the dividend will flow tojhe^mfcmdthe amount of the dividend can beasgffifffiedreliably.

(Hi) Export benefits

Export Incentives are accounted for on export of goods if the entitlements can be estimated -with reasonable accuracy and conditions
precedent to claim are fulfilled.

K Inventories valuation

i Raw materials, components, stores & spares, packing material, semi-finished goods & finished goods are valued at lower of cost and
net realisable value.

ii Cost of Raw Materials, components, stores & spares and packing material is arrived at Weighted Average Cost and Cost of semi¬
finished good and finished good comprises, raw materials, direct labour, other direct costs and related production overheads.

Hi Scrap is valued at net realisable value.

iv Due allowances are made in respect of slow moving, non-moving and obsolete inventories based on estimate made by the
Management.

I Impairment of Assets

Tntangihle assets that have an indefinite useful life are not subject to amortization and are tested annually for impairment or more
frequently if events or changes in circumstances indicate that they might be impaired. Other assets are tested for impairment whenever
events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is recognised for the
iunnunt by which the asset’s carrying amount exceeds its recoverable amount. The recoverable amount is the higher of an asset’s fair
value less costs of disposal and value in use. For the purposes of assessing impairment, assets are grouped at the lowest levels for which
there are separately identifiable cash inflows which are largely independent of the cash inflows from other assets or groups of assets
(cash-generating units). Non-financial assets that suffered impairment are reviewed for possible reversal of the impairment at the end of
each reporting period.

M Fair Value Measurement

The Company measures certain 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 date. The
fair value measurement is based on the presumption that the transaction to sell the asset or transfer the liability takes place either:

- In the principal market for the asset or liability, or

- 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 a 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, maximizing the use of relevant observable inputs and minimizing the use of unobservable inputs.

All assets and liabilities for which fair value is measured or disclosed in the financial statements are categorised 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) prices for identical assets or liabilities in active markets
Level 2: Significant inputs to the fair value measurement are directly or indirectly observable
Level 3: Significant inputs to the fair value measurement are unobservable

For assets and liabilities that are recognised 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 the 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 & liabilities on the basis of the nature,
characteristics and the risks of the asset or liability and the level of the fair value hierarchy as explained above.

N Financial Instrument

a Recognition, classification and presentation

The financial instruments are recognised in the balance sheet when the company becomes a party to the contractual provisions of
the instrument. ^

The Company determines the classification o^^^^^^^^oits at initial recognition.

The Company classifies its financial assets in the following categories: a) those to be measured subsequently at fair value (either
through other comprehensive income, or through profit or loss), and b) those to be measured at amortized cost. The classification
depends on the entity’s business model for managing the financial assets and the contractual terms of the cash flows.

Financial assets and liabilities arising from different transactions are off-set against each other and the resultant net amount is
presented in the balance sheet, if and only when, the Company currently has a legally enforceable right to set-off the related
recognised amounts and intends either to settle on a net basis or to realize the assets and setde the liabilities simultaneously.

b Measurement

(A) initial measurement

At initial recognition, the Company measures financial instruments at its fair value plus, in the case of a financial asset not at fair
value through profit or loss, transaction costs that are directly attributable to the acquition of the financial assets. Otherwise
transaction costs are expensed in the statement of profit and loss.

(B) Subsequent measurement-financial assets

The subsequent measurement of the financial assets depends on their classification as follows:

(1) Financial assets measured at amortized cost

Assets that are held for collection of contractual cash flows where those cash flows represent solely payments of principal and
interest are measured at amortized cost using the effective interest rate (‘EIR’) method (if the impact of discounting / any transaction
costs is significant). Interest income from these financial assets is included in finance income.

(ii) Financial assets at lair value through other comprehensive income (‘FVTOCF)

Equity investments which are not held for trading and for which the Company has elected to present the change in the fair value in
other comprehensive income and debt instruments that are held for collection of contractual cash flows and for selling the financial
assets, where the assets’ cash flow represent solely payment of principal and interest, are measured at FVTOCI.

The changes in fair value are taken through OCI, except for the impairment, interest (basis EH method), dividend and foreign
exchange differences which are recognised in the statement of profit and loss.

When the financial asset is derecognized, the related accumulated fair value adjustments in OCI as at the date of derecognition are
reclassified from equity and recognised in the statement of profit and loss. However, there is no subsequent reclassification of fair
value gains and losses to statement of profit and loss in case of equity instruments.

(iii) Financial assets at fair value through profit or loss (‘FVTPL’)

All equity instruments and financial assets that do not meet the criteria for amortized cost or FVTOCI are measured at fair value
through profit or loss. Interest (basis EIR method) and dividend income from FVTPL is recognised in the statement of profit and loss
within finance income / finance costs separately from the other gains/losses arising from changes in the lair value.

Impairment

The company assesses on a forward looking basis the expected credit losses associated with its assets carried at amortized cost and
debt instrument carried at FVTOCI. The impairment methodology applied depends on whether there has been a significant increase
in credit risk since initial recognition. If credit risk has not increased significantly, twelve month ECL is used to provide for
impairment loss, otherwise lifetime ECL is used.

However, only in case of trade receivables, the company applies the simplified approach which requires expected lifetime losses to
be recognized from initial recognition of the receivables.

(c) Subsequent measurement - financial liabilities

Other financial liabilities are initially recognised at fair value less any directly attributable transaction costs. They are subsequently
measured at amortized cost using the EIR method (if the impact of discounting / any transaction costs is significant).

c De-recognition

The financial liabilities are de-recognised from the balance sheet when the under-lying obligations are extinguished, discharged,
lapsed, cancelled, expires or legally released. The financial assets are de-recognised from the balance sheet when the rights to
receive cash flows from the financial assets have expired, or have been transferred and the Company has transferred substantially all
risks and rewards of ownership. A financial instrument is any contract that gives rise to a financial asset of one entity and a financial
liability or equity instrument of another entity.

D Cash and cash equivalents

Cash and cash equivalents includes cash in hand, deposijgjshhjbanks, other short term highly liquid investments with original maturities
of three months or less that are readily c()nvertible t^UOwn^;akoltets of cash and which are subject t&fgf|^||BBi^mt risk of changes in
^vatoe-

/#/ .. \fc\ f/s/ YC\\

For the purpose of presentation in the statement of cash flows, cash and cash equivalents includes outstanding bank overdraft shown
within current liabilities in statement of financial balance sheet and which are considered as integral part of company’s cash management
policy.

P Investments

Equity investments are measured at fair value, with value changes recognised in Other Comprehensive Income, except for those mutual
fund for which the Company has elected to present the fair value changes in the Statement of Profit and Loss.

Q Trade receivables

Trade receivables are recognised initially at their fair value and subsequently measured at amortised cost using the effective interest
method, less provision for expected credit loss.

R Trade and other payables

These amounts represent liabilities for goods and services provided to the Company prior to the end of financial year which are unpaid.
Trade and other payables are recognised, initially at fair value, and subsequently measured at amortised cost using effective interest rate
method.

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Mar 31, 2015

(a) BASIS OF PREPARATION OF FINANCIAL STATEMENT

The financial statements are prepared under the historical cost convention on an accrual basis and in accordance with the applicable accounting standards and the relevant provisions of the Companies Act, 2013.

(b) USE OF ESTIMATES

The preparation and presentation of financial statements in conformity with the Generally Accepted Accounting Principles requires estimates and assumptions to be made that affect the reported amount of assets and liabilities on that date of the financial statements and the reported amounts revenue and expenses during the reporting period. Difference between the actual result and the estimates are recognized in the period in which the results are known / materialized.

(c) INVENTORY VALUATION

Inventories of Raw Material, Packing Material, Stores & Spares, Traded Goods, Finished Goods and Work in Progress are valued at Lower of Cost and Net Realizable Value. The Cost is arrived at FIFO basis for Raw Material, Packing Material, Stores & Spares and Traded Finished Goods, Cost for Work in Process and Finished Goods is arrived at on estimated cost basis.

(d) REVENUE RECOGNITION

1 Revenue from sale of goods is recognized when ownership in goods is transferred to the customers, which is at the point of dispatch, Sales are accounted net of sales return and Value Added Tax wherever applicable.

2 Dividend income is recognised when the company's right to receive dividend is established by the reporting date.

3 Interest income is recognised on^a time propprtion basis taking in to account the amount invested and the rate of interest.

(e) FIXED ASSETS AND DEPRECIATION

1 Fixed assets are stated at cost less accumulated depreciation / amortisation

2 Depreciation on tangible fixed assets is provided on written down value method at the rates and manner specified in the schedule II to Companies Act, 2013.

3 Intangible assets are identified when the assets are expected to provide future enduring economic benefits. The assets are identified in the year in which the relevant asset is put to use in the production or supply of goods or services, The assets are amortised over a period of estimated useful life as determined by the management.

* Expenditure on Computer Software is amortised over a period of three years on straight line method,

(f) FOREIGN CURRENCY TRANSACTION

1 All transaction in foreign currency is recorded at the exchange rate prevailing on the date of transaction, All foreign currency Assets and Liabilities not covered by forward contract are reinstated at the exchange rates prevailing at the year end, gain or loss on this are recognised to the Statement of Profit and Loss as exchange rate difference. Inrespect of transaction covered by forward contract the difference between the contract rate and the spot rate on the date of transaction is charged to statement of profit and loss over the period of contract.

(g) INVESTMENTS

1 Investments are either classified as Current or Long Term based on Management's intention at the time of purchase. Long Term Investments are stated at cost of acquisition. Provision for diminution in value of Investments is made only if such decline is other than temporary in the opinion of the management. Current Investments are valued at lower of cost or fair value of the investments.

(h) EMPLOYEE BENEFIT

1 Liabilities in respect of defined benefit plans other than Provident Fund are determined based on actuarial valuation made by an independent actuary as at the balance sheet date. The actuarial gains or losses are recognised immediately in the Statement of Profit and Loss.

2 Contribution payable to the recommended Provident Fund and ESIC payments have been charged to revenue.

3 Short term employee benefits are recognised as an expense at the undiscounted amounts in the Statement of Profit and Loss of the year in which the related service is rendered.

(i) LEASE

1 Lease rental in respect of assets acquired under operating leases are charged of to the statement of profit and loss.

2 Leases, where the lesser effectively retains substantially all the risk and benefits of owership of leased item, are classified as operating leases

3 Leases in which the company does not transfer substantially all the risk and benefits of ownership of the assets are classified as operating leases. Assets subject to operating leases are included in fixed assets. Lease income on an operating lease is recognised in the statement of profit and loss on a straightline basis over the lease term. Costs, including depreciation, are recognised as an expense in the statement of profit and loss. Initial direct costs such as legal cost, brokerage cost, etc, are recognised immediately in the statement of profit and loss.

(j) EARNING PER SHARE

1 Basic earnings per share is computed by dividing net profit or loss for the period attributable to equity shareholders by the weighted average number of share outstanding during the year. Diluted earnings per share amounts are computed after adjusting the effects of all dilutive potential equity shares except where the result would be anti-dilutive. The number of shares used in computing diluted earning per share comprises the weighted average number of shares considered for deriving basis earning per share, and also the weighted average number of equity share, which could hVye been issued on the conversion of all dilutive potential equity share.

(k) TAXATION

1 Provision for current tax is made on the basis of estimated taxable income for the current accounting year in accordance with the provisions of the Income Tax Act, 1961.

2 Provision for Deferred Tax is made for ail timing differences arising between taxable income and accounting income at rates that have been enacted or substantively enacted as of the balance sheet date. Deferred tax assets are recognised only if there is a certainty that they will be realised and are reviewed for the appropriateness of their respective carrying values at each balance sheet date.

(l) IMPAIRMENT OF ASSETS

The Company assesses at each balance sheet date whether there is any indication that an asset may be impaired. If any such indication exists, the management estimates the recoverable amount of the assets. If such recoverable amount of the assets is less than its carrying amount, the carrying amount is reduced to its recoverable amount. The reduction is treated as an impairment loss and is recongnized in the Statement of Profit and Loss. If at the balance sheet date there is an indication that if previously assets impairment loss no longer exists, the recoverable amount is reassessed and the assets is reflected at the recoverble amount subject to a maximum amount depredated historical cost.

(m) PROVISION & CONTINGENT LIABILITY

The Company creates a provision when there is a present obligaton as a result of a past event that probably requires an outflow of resources and a realiable estimate can be made of the amount of the obligation. A disclosure for contingent liability is made when there is possible obligation or a present obligatin that may, but probably will not, require and outflow of resources.Where there is a possible obligation or a present obligation in respect of which the likelihood of outflow of resources is remote no provision or disclosure is made.

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Mar 31, 2014

(a) BASIS OF PREPARATION OF FINANCIAL STATEMENT

The financial statements are prepared under the historical cost convention on an accrual basis and In accordance with the applicable accounting standards and the relevant provisions of the Companies Act, 1956 and Companies Act, 2013 wherever applicable

(b) USE OF ESTIMATES

The preparation and presentation of financial statements in conformity with the Generally Accepted Accounting Principies requires estimates and assumptions to be made that affect the reported amount of assets and liabilities on that date of the financial statements and the reported amounts revenue and expenses during the reporting period. Difference between the actual result and the estimates are recognized in the period in which the results are known / materialized.

(c) INVENTORY VALUATION

Inventories are valued at Lower of Cost and Net Realizable Value. The Cost is arrived at FIFO basis for Raw Material, Packing Material, Stores and Spares. Cost for Work in Process and Finished Goods is arrived at on estimated cost basis.

(d) REVENUE RECOGNISATION

Revenue from sale of goods is recognized when ownership in goods is transferred to the customers, which is at the point of dispatch. Sales are accounted net of sales return and Value Added Tax wherever applicable.

Triochem Products Limited

NOTES ON FINANCIAL STATEMENTS FOR THE YEAR ENDED 31ST MARCH, 2014

(e) FIXED ASSETS AND DEPRECIATION

1 Fixed assets are stated at cost less accumulated depreciation

2 Depreciation is provided on written down value method at the rates and manner specified in the schedule XIV of Companies Act, 1956, on the originat cost of the asset. Depreciation on additions of fixed assets costing less than Rs.5000/- have been provided at 100% on pro-rata basis and depreciation on assets Costing more than Rs.5000/- have been provided on pro-rata basis from the date of put to use of such additions.

{f) FOREIGN CURRENCY TRANSACTION

1 All transaction in foreign currency is recorded at the exchange rate prevailing on the date of transaction. All foreign ; currency Assets and Liabilities are reinstated at the exchange rates prevailing at the year end, gain or loss on this are recognised to the Statement of Profit and Loss as exchange rate difference.

(g) INVESTMENTS

1 Investments are either classified as Current or Long Term based on Management''s intention at the time of purchase.

LongTerm Investments are stated at cost of acquisition. Provision for diminution in value of Investments is made only if suchde clinet is other than temporary in the opinion of the management.

2 Dividend are accounted for as and when received (h) EMPLOYEE BENEFIT

1 Liabilities in respect of defined benefit plans other than Provident Fund are determined based on actuarial valuation made by an independent actuary as at the balance sheet date.

The acturial pins or losses are recognised immediately in the Statement of Profit and Loss. ;

2 Contribution payable to the recommended Provident Fund and ESIC payments have been charged to revenue.

3 Short term employee benefits are recognised as an expense at the undiscounted amounts in the Statement of Profit and Loss of the year in which the related service is rendered

(i) EARNING PER SHARE

1 The earning considered in ascertaining the company''s EPS comprises the net profit after tax. The number of shares | used in computing Basic EPS is the weighted average number of shares outstanding during the year. The Earning per share is calculated by dividing the Net Profit after tax by the weighted average number of Equity Shares outstanding during the year.

0) TAXATION

1 Provision for current tax is made on the basis of estimated taxable income for the current accounting year in

1 accordance with the provisions of the income TaxAct, 1961.

2 Provision for Deferred Tax is made for all timing differences arising between taxable income and accounting income at rates that have been enacted or substantively enacted as of the balance sheet date. Deferred tax assets are recognised only if there is a certainty that they will be realised and are reviewed for the appropriateness of their respective carrying values at each balance sheet date.

(k) IMPAIRMENT OF ASSETS

The Company assesses at each balance sheet date whether there is any indication that an asset may be impaired. If any such indication exists, the management estimates the recoverable amount of the assets, If such recoverable amount of the assets is less than its carrying amount, the carrying amount is reduced to its recoverable amount.

The reduction is treated as an impairment loss and is recongnized in the Statement of Profit and Loss. If at the balance sheet date there is an indication that if previously assets impairment loss no longer exists, the recoverable amount is reassessed and the assets is

reflected at the recoverble amount subject to a maximum amount depreciated historical cost.

(I) PROVISION & CONTINGENT LIABILITY

The Company creates a provision when there is a present obligaton as a result of a past event that probably requires an i outflow of resources and a realiable estimate can be made of the amount of the obligation. A disclosure for contingent liability is made when there is possible obligation or a present obligatin that may, but probably will not, require and outflow of resources.Where there Is a possible obligation or a present obligation in respect of which the likelihood of outflow of resources is remote no provision or disclosure is made.

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Mar 31, 2012

1.01 BASIS OF PREPARATION OF FINANCIAL STATEMENT

The financial statements are prepared under the historical cost convention on an accrual basis and in accordance with the applicable accounting standards and the relevant provisions of the Companies Act, 1956.

1.02 USE OF ESTIMATES

The preparation and presentation of financial statements in confirmity with the Generally Accepted Accounting Principles requires estimates and assumptions to be made that affect the reported amount of assets and liabilities on that date of the financial statements and the reported amounts revenue and expenses during the reporting period. Difference between the actual result and the estimates are recognized in the period in which the results are known/materialized.

1.03 FOREIGN CURRENCY TRANSACTION

All transaction in foreign currency is recorded at the exchange rate prevailing on the date of transaction. All foreign currency Assets and Liabilities are reinstated at the exchange rates prevailing at the year end, gain or loss on this are recognised to the Profit and Loss account as exchange rate difference.

1.04 TAXATION

1 Provision for current tax is made on the basis of estimated taxable income for the current accounting year in accordance with the provisions of the Income Tax Act, 1961.

2 Provision for Deferred Tax is made for ail timing differences arising between taxable income and accounting income at rates that have been enacted or substantively enacted as of the balance sheet date. Deferred tax assets are recognised only if there is a certainty that they will be realised and are reviewed for the appropriateness of their respective carrying values at each balance sheet date.

1.05 IMPAIRMENT OF ASSETS

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

1.06 PROVISION & CONTINGENT LIABILITY

The Company creates a provision when there is a present obligation as a result of a past event that probably requires an outflow of resources and a readable estimate can be made of the amount of the obligation. A disclosure for contingent liability is made when there is possible obligation or a present obligation that may, but probably will not, require and outflow of resources. Where there is a possible obligation or a present obligation in respect of which the likelihood of outflow of resources is remote no provision or disclosure is made.

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Mar 31, 2011

A BASIS OF PREPARATION:

The financial statements are prepared under the historical cost convention on an accrual basis and in accordance with the applicable accounting standards and the relevant provisions of the Companies Act, 1956 B FIXED ASSETS & DEPRECIATION: The Company has provided depreciation on all the fixed assets on the written down value basis adopting the rates and the manner prescribed in Schedule XIV of the Companies Act, 1956.

C REVENUE RECOGNITION:

Revenue from sale of goods is recognised when ownership in goods is transferred to the customers, which is at the point of despatch. Sales are accounted net of sales return.

D VALUATION OF INVENTORIES:

All inventories are valued at lower of cost and net realisable value. The cost is arrived at FIFO basis for all inventories.

E INVESTMENTS:

Long Term Investments are stated at cost of acquisition. Provision for diminution in value of Long Term Investments is made only if such decline is other than temporary in the opinion of the management. Dividends are accounted for as and when received.

F EMPLOYEE BENEFITS:

1 Liabilities in respect of defined benefit plans other than Provident Fund Schemes are determined based on actuarial valuation made by an independent actuary as at the balance sheet date. The actuarial gains or losses are recognised immediately in the Profit and Loss account.

2 Defined Contribution to Provident Fund and ESIC payments have been charged to revenue.

3 Short term employee benefits are recognised as an expense at the undiscounted amounts in the Profit and Loss account of the year in which the related services is rendered.

G FOREIGN CURRENCY TRANSACTIONS: All foreign exchange transactions are recorded at the exchange rate prevailing on the date of transaction. All foreign currency Assets / Liabilities are reinstated at the exchange rates prevailing at the year end, gains or loss on this are recognised to the Profit and Loss account as exchange rate difference.

H TAXATION:

1 Provision for current tax is made on the basis of the estimated taxable Income for the current accounting year in accordance with the provisions of Income Tax Act, 1961.

2 The deferred tax for timing difference between the book profits and tax profits for the year is accounted for using the tax rate and laws that have been enacted or substantially enacted as of the Balance Sheet date Deferred Tax assets arising from timing differences are recognized to the extent there is a virtual certainty that these would be realized in future and are review for the appropriateness of their respective carrying values at each Balance Sheet date.

3 Fringe Benefit Tax is determined at current applicable rates on expenses falling within the ambit of "Fringe Benefit Tax" as defined in the Income Tax Act, 1961.

I LEASE:

Lease rentals in respect of assets given under operating leases are credited to the Profit and Loss account J IMPAIRMENT OF ASSETS: The Company assesses at each balance sheet date whether there is any indication that an asset may be imparied. If any such indication exits, the management estimats the recoverable amount of the assets If such recoverable amount of the assets is less than its carrying amount, the carrying amount is reduced to its recoverable amount. The reduction is treated as an impairment loss and is recognized in the profit and loss account. If at the balance sheet date there is an indication that is a previously assessed impairment loss no longer exists, the recoverable amount is reassessed and the assets is reflected at the recoverable amount subject to a maximum of depreciated histrocial cost

K Provision and Contingent Liabilities: The Company creates a provision when there is a present obligation as a result of a past event that probably requires an outflow of resources and a reliable estimate can be made of the amount of the obligation. A disclosure for a contingent liability is made when there is a possible obligation or a present obligation that may, but probably will not, require an outflow of resources. Where there is a possible obligation or a present obligation in respect of which the likelihood of outflow of obligation or a present obligation in respect of which the likelihood of outflow of resources is remote, no provision or disclosure is made.

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Mar 31, 2010

A BASIS OF PREPARATION:

The financial statements are prepared under the historical cost convention on an accrual basis and in accordance with the applicable accounting standards and the relevant provisions of the Companies Act, 1956

B FIXED ASSETS & DEPRECIATION:

The Company has provided depreciation on all the fixed assets on the written down value basis adopting the rates and the manner prescribed in Schedule XIV of the Companies Act, 1956.

C REVENUE RECOGNITION:

Revenue from sale of goods is recognised when ownership in goods is transferred to the customers, which is at the point of despatch. Sales are accounted net of sales return.

D VALUATION OF INVENTORIES:

All inventories are valued at lower of cost and net realisable value. The cost is arrived at FIFO basis for all inventories.

E INVESTMENTS:

Long Term Investments are stated at cost of acquisition. Provision for diminution in value of Long Term Investments is made only if such decline is other than temporary in the opinion of the management. Dividends are accounted for as and when received.

F EMPLOYEE BENEFITS:

1 Liabilities in respect of defined benefit plans other than Provident Fund Schemes are determined based on actuarial valuation made by an independent actuary as at the balance sheet date. The actuarial gains or losses are recognised immediately in the Profit and Loss account.

2 Defined Contribution to Provident Fund and ESIC payments have been charged to revenue.

3 Short term employee benefits are recognised as an expense at the undiscounted amounts in the Profit and Loss account of the year in which the related services is rendered.

G FOREIGN CURRENCY TRANSACTIONS:

All foreign exchange transactions are recorded at the exchange rate prevailing on the date of transaction. Ail foreign currency Assets / Liabilities are reinstated at the exchange rates prevailing at the year end, gains or loss on this are recognised to the Profit and Loss account as exchange rate difference.

H TAXATION:

1 Provision for current tax is made on the basis of the estimated taxable Income for the current accounting year in accordance with the provisions of Income Tax Act, 1961.

2 The deferred tax for timing difference between the book profits and tax profits for the year is accounted for using the tax rate and laws that have been enacted or substantially enacted as of the Balance Sheet date Deferred Tax assets arising from timing differences are recognized to the extent there is a virtual certainty that these would be realized in future and are review for the appropriateness of their respective carrying values at each Balance Sheet date.

3 Fringe Benefit Tax is determined at current applicable rates on expenses falling within the ambit of "Fringe Benefit Tax" as defined in the Income Tax Act, 1961.

I LEASE: Lease rentals in respect of assets given under operating leases are credited to the Profit and Loss account.

J IMPAIRMENT OF ASSETS:

The Company assesses at each balance sheet date whether there is any indication that an asset may be imparled. If any such indication exits, the management estimats the recoverable amount of the assets If such recoverable amount of the assets is less than its carrying amount, the carrying amount is reduced to its recoverable amount. The reduction is treated as an impairment loss and is recognized in the profit ans loss account. If at the balance sheet date there is an indication that is a previously assessed impairment loss no longer exists, the recoverable amount is reassessed and the assets is reflected at the recoverable amount subject to a mximum of depreciated histrocial cost.

K Provision and Contingent Liabilities:

The Company creates a provision when there is a present obligation as a result of a past event that probably requires an outflow of resources and a reliable estimate can be made of the amount of the obligation. A disclosure for a contingent liability is made when there is a possible obligation or a present obligation that may, but probably will not, require an outflow of resources. Where there is a possible obligation or a present obligation in respect of which the likelihood of outflow of obligation or a present obligation in respect of which the likelihood of outflow of resources is remote, no provision or disclosure is made.