ಕಂಪನಿಯ ಅಕೌಂಟಿಗ್ ಪಾಲಿಸಿ Elfin Agro India Ltd.

1. Basis of accounting:-

These financial statements have been prepared in accordance with the Generally Accepted Accounting Principles in India (Indian
GAAP) including the Accounting Standards notified under Section 133 of the Companies Act, 2013, read with Rule 7 of the
Companies (Accounts) Rules, 2014 and the relevant provisions of the Companies Act, 2013.The financial statements have been
prepared under the historical cost convention on accrual basis.

2. Use of Estimates

The preparation of financial statements in conformity with Indian GAAP requires the management to make judgments, estimates
and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities and the disclosure of contingent
liabilities, at the end of the reporting period. Although these estimates are based on the management’s best knowledge of current
events and actions, uncertainty about these assumptions and estimates could result in the outcomes requiring a material adjustment
to the carrying amounts of assets or liabilities in future periods.

3. Earnings per share

The attributable to the equity shareholders by the weighted average number of equity shares outstanding during the year.

The weighted average number of equity shares outstanding during the period & for all period presented is adjusted for events,
such as bonus shares & stock split wherever necessary.

4. Revenue Recognition: -

basic earnings per share (EPS) & Diluted EPS is computed by dividing the net profit after tax Expenses and Income considered
payable and receivable respectively are accounted for on accrual basis. Revenue is recognized to the extent that it is probable that
the economic benefits will flow to the Company and the revenue can be reliably measured.

5. Property, Plant & Equipment :-

Property, Plant & Equipment including intangible assets are stated at their original cost of acquisition including taxes, freight and
other incidental expenses related to acquisition and installation of the concerned assets less depreciation till date. Company has
adopted cost model for all class of items of Property Plant and Equipment. There is No benami properties held by the company.

6. Depreciation :-

Depreciation on Fixed Assets is provided to the extent of depreciable amount on the SLM method. Depreciation is provided based
on useful life of the assets as prescribed in Schedule II to the Companies Act, 2013. For the Year Ended 31.03.2026 company
have charged Depreciation of Rs. 51.44 Lakhs as at 31st March 2026 (Previous Year, Rs 48.70 Lakhs/-)

7. Employee Benefits

(i) Short term employee benefit:

Employee benefits payable wholly within twelve months of receiving employee services are classify as short term employee
benefits. These benefits include salaries and wages & Bonus

(ii) Post-Employment Benefits:

Defined contribution plans

A Defined contribution plan is a post-employment benefit plan under which an entity pays specified contribution to a separate
entity & has no obligation to pay any further amounts. The company makes specified monthly contributions toward employee’s
provident fund & Employees state insurance to a government administered scheme which is a defined contribution plan

Defined benefit plans

The Company’s gratuity benefit scheme is a defined benefit plan. The company’s net obligation in respect of a defined benefit
plan is calculated by estimating the amount of future benefit that employees have earned in return of their service in current and
prior periods ; that benefit is discounted to determine its present value.

The obligation is measured at present value of estimated future cash flows. The discount rate used for determining the present
value are based on the market yields on government securities as at the balance sheet date. The company booked the Gratuity
based on the actuarial valuation report or based on expected future cash flows. i.e. Rs. 6.76 Lakhs.

8. Foreign currency Transactions: -

Transactions arising in foreign currencies during the year are converted at the rates closely approximating the rates ruling on the
transaction dates. Liabilities and receivables in foreign currency are restated at the year-end exchange rates. All exchange rate
differences arising from conversion in terms of the above are included in the statement of profit and loss. Though there is no such
transaction reported during the year.

9. Investments :-

Investments, which are readily realizable and intended to be held for not more than one year from the date on which such
investments are made, are classified as current investments. All other investments are classified as non-current investments.
Though there is no any investment held by the company.

10. Inventories :-

Inventories are valued at Weighted Average basis. Cost comprises of cost of purchase, cost of conversion and other cost incurred
in bringing the inventories to their present location and condition. Cost is determined on Weighted Average basis. Due allowances
is estimated and made for defective and obsolete items, wherever necessary, based on past experience. There is closing stock of
Rs 2089.53 Lakhs as at 31.03.2026 (Previous year, Rs 1111.33 Lakhs).

11. Borrowing cost:-

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

12. Taxes on Income:-

Provision for current tax is made on the basis of estimated taxable income for the current accounting year in accordance with the
Income Tax Act, 1961. The deferred tax for timing differences between the book and tax profits for the year is accounted for,
using the tax rates and laws that have been substantively enacted by the balance sheet date. Deferred tax Liability arising from
timing differences are recognized to the extent there is virtual certainty with convincing evidence that these would be occur in
future. At each Balance Sheet date, the carrying amount of deferred tax is reviewed to reassure occurrence.