5.17 Provisions, contingent liabilities and contingent
assets

Provisions are recognized when the Company has a
present (legal or constructive) obligation as a result
of past events, for which it is probable that an outflow
of resources will be required to settle the obligation
and a reliable estimate of the amount can be made.
Provisions required to settle are reviewed regularly
and are adjusted where necessary to reflect the
current best estimates of the obligation. Provisions
are discounted to their present values, where the
time value of money is material.

Contingent liability is disclosed unless the likelihood
of an outflow of resources is remote and there is a
possible obligation or a present obligation that may,
but probably will not, require an outflow of resources.

Contingent assets are disclosed only when inflow
of economic benefits therefrom is probable and
recognized only when realization of income is
virtually certain.

5.18 Earnings per share

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

The weighted average number of equity shares
outstanding during the period is adjusted for events
including a bonus issue.

For the purpose of calculating diluted earnings
per share, the net profit or loss for the period
attributable to equity shareholders and the
weighted average number of shares outstanding
during the period are adjusted for the effects of all
dilutive potential equity shares.

5.19 Rounding of amounts

All amounts disclosed in the financial statements
and notes have been rounded off to the nearest
millions and upto two decimals as per the
requirement of Division II of Schedule III, unless
otherwise stated.

5.20Critical estimates and judgements

The preparation of financial statements requires the
use of accounting estimates which, by definition,
will seldom equal the actual results. Management
also needs to exercise judgement in applying the
Company’s accounting policies. This note provides
an overview of the areas that involved a higher
degree of judgement or complexity, and of items
which are more likely to be materially adjusted due
to estimates and assumptions turning out to be
different than those originally assessed. Detailed
information about each of these estimates and
judgements is included in relevant notes together
with information about the basis of calculation for
each affected line item in the financial statements.

I. Judgements

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

a) Contingent liabilities - At each balance
sheet date basis the management
judgment, changes in facts and legal
aspects, the Company assesses the
requirement of provisions against
the outstanding contingent liabilities.
However, the actual future outcome may
be different from this judgement.

b) Leases - The Company evaluates if an
arrangement qualifies to be a lease
as per the requirements of Ind AS 116.
Identification of a lease requires significant
judgment. The Company uses significant

judgement in assessing the lease term
(including anticipated renewals) and the
applicable discount rate. The Company
determines the lease term as the non¬
cancellable period of a lease, together
with both periods covered by an option
to extend the lease if the Company is
reasonably certain to exercise that option;
and periods covered by an option to
terminate the lease if the is reasonably
certain not to exercise that option. In
assessing whether the Company is
reasonably certain to exercise an option
to extend a lease, or not to exercise an
option to terminate a lease, it considers
all relevant facts and circumstances that
create an economic incentive for the
Company to exercise the option to extend
the lease, or not to exercise the option to
terminate the lease. The Company revises
the lease term if there is a change in the
non-cancellable period of a lease.

II. Estimates

a) Evaluation of indicators for impairment
of non-financial assets - The evaluation
of applicability of indicators of impairment
of assets requires assessment of several
external and internal factors which could
result in deterioration of recoverable
amount of the assets.

b) Impairment of financial assets - At

each balance sheet date, based on
historical default rates observed over
expected life, existing market conditions
as well as forward looking estimates, the
management assesses the expected
credit losses on outstanding receivables.
Further, management also considers the
factors that may influence the credit risk
of its customer base, including the default
risk associated with industry and country
in which the customer operates

c) Defined benefit obligation (DBO) -

Management’s estimate of the DBO
is based on a number of underlying
assumptions such as standard rates of
inflation, mortality, discount rate and
anticipation of future salary increases.
Variation in these assumptions may
significantly impact the DBO amount and
the annual defined benefit expenses.

d) Useful lives of depreciable/amortisable
assets - Management reviews its
estimate of the useful lives of depreciable/
amortisable assets at each reporting date,
based on the expected utility of the assets.
Uncertainties in these estimates relate
to technical and economic obsolescence
that may change the utilisation of assets.

Estimates and judgements are continuously
evaluated. They are based on historical
experience and other factors including
expectation of future events that may have
a financial impact on the Company and
that are believed to be reasonable under
the circumstances.

5.21 Exceptional items

Exceptional items are those items which meet the
test of ‘materiality’ (size and nature) and the test of
‘incidence’. The test of incidence or the frequency
of occurrence should be determined basis specific
facts and circumstances of entity concerned,
considering various factors, such as, the nature of
its activities, the economic environment in which
it operates, past experience, future expectations,
etc. and not in general, as what could be a frequent
item for one entity may be infrequent for other.

Generally, items of income or expense fulfilling
the above-mentioned criteria are classified as
exceptional items and are disclosed separately.

Nature and purpose of other reserves

Capital reserve

Capital reserve represents difference between share capital of transferor entity and share capital issued to erstwhile
shareholders of transferor entity.

Securities premium

Securities premium represents the premium on issue of shares. This balance can be utilised in accordance with
provisions of the Act.

Share options outstanding account

This account is used to recognise the grant date fair value of the options issued to eligible employees pursuant to
the Company’s employee stock option plan.

Debenture redemption reserve

This reserve is created as per the requirements of the Act in reference to non-convertible debentures issued
by the Company.

(a) The Company has used the borrowings from banks for the specific purpose for which it was taken at the
balance sheet date.

(b) Refer note 48F for the details related to quarterly returns/statements of current assets filed by the Company
with banks in relation to secured borrowings.

(c) Refer note 39(c) for the details of undrawn facility.

(d) This represents liability for medical equipments purchased on deferred payment terms to be repaid
from January 2026.

(e) Refer note 50 for assets pledged.

(a) The costs that are directly attributable to the acquisition or construction of property, plant and equipment has
been capitalised during the respective years, refer note 6A(v).

(b) This includes salary expense of employees working for research and development amounting to H 39.25 millions
(31 March 2025: H 30.16 millions).

(c) This includes commission and sitting fees paid to directors of the Company amounting to H 23.48 millions (31
March 2025: H 21.36 millions).

(d) Refer note 40 for related party transactions.

a. During the year ended 31 March 2026, the Company reversed interest liability on EPCG amounting to H 195.92
millions. Pursuant to the filing of merger order with Registrar of Companies (ROC), the EPCG licenses have
been transferred from Medanta Holdings Private Limited to the Company. The Company has achieved the
required export obligation within the prescribed timeline.

b. “During the year ended 31 March 2025, stamp duty was payable in connection with the merger of Medanta
Holdings Private Limited with the Company.

Subsequently, during the year ended 31 March 2026, the Company reversed stamp duty amounting to H 159.85
millions payable to Government of National Capital Territory of Delhi, pursuant to adjudication of its stamp
duty application.”

c. On 21 November 2025, the Government of India notified the four Labour Codes—namely, the Code on Wages,
2019; the Industrial Relations Code, 2020; the Code on Social Security, 2020; and the Occupational Safety, Health
and Working Conditions Code, 2020—thereby consolidating 29 existing labour laws. To facilitate the assessment
of the financial impact arising from these regulatory changes, the Ministry of Labour & Employment issued
Central Rules and related FAQs.

The Company has evaluated and disclosed the incremental impact of these changes based on expert input and
the best information available, in line with the guidance provided by the Institute of Chartered Accountants
of India. Given the material, regulatory-driven, and non-recurring nature of this impact, the Company has
presented such incremental impact, aggregating to H352.00 millions under ‘Exceptional items’.

The Company continues to monitor the finalisation of the Central and State Rules and any further government
clarifications on other aspects of the Labour Codes, and will record the accounting treatment as required based
on future developments.

37 Earnings per share (EPS)

Earnings per share (‘EPS’) is determined based on the net profit/loss attributable to the shareholders. Basic earnings
per share is computed using the weighted average number of shares outstanding during the year. Diluted earnings
per share is computed using the weighted average number of common and dilutive common equivalent shares
outstanding during the year, except where the result would be anti-dilutive.

38 Fair value disclosures
(i) Fair value hierarchy

The following explains the judgements and estimates made in determining the fair values of the financial
instruments. To provide an indication about the reliability of the inputs used in determining fair value, the
Company has classified its financial instruments into the three levels prescribed under the accounting standard.

Level 1: quoted prices (unadjusted) in active markets for financial instruments.

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

Level 3: unobservable inputs for the asset or liability.

Valuation techniques used to determine fair value

The fair value of the financial assets and liabilities are included at the amount that would be received to sell
an asset and paid to transfer a liability in an orderly transaction between market participants. The following
methods were used to estimate the fair values:¬
- I nvestment: Approximate its carrying amount as the underlying objective of this investment is not to

earn the profits.

- Trade receivables, cash and cash equivalents, other bank balances, other current financial assets, trade
payables and other current financial liabilities: Approximate their carrying amounts largely due to the
short-term maturities of these instruments.

- Borrowings taken by the Company are as per the Company’s credit and liquidity risk assessment and there
is no comparable instrument having the similar terms and conditions with related security being pledged
and hence the carrying value of the borrowings represents the best estimate of fair value.

characteristics of each financial asset. The carrying amounts of financial assets represents the maximum
credit risk exposure.

A default on a financial asset is when the counterparty fails to make contractual payments as per agreed terms.
This definition of default is determined by considering the business environment in which entity operates and
other macro-economic factors.

The Company has a credit risk management policy in place to limit credit losses due to non-performance of
counterparties. The Company monitors its exposure to credit risk on an ongoing basis. Assets are written off
when there is no reasonable expectation of recovery. Where loans and receivables are written off, the Company
continues to engage in enforcement activity to attempt to recover the dues.

Trade receivables

The Company closely monitors the credit-worthiness of the receivables through internal systems that are
configured to define credit limits of customers, thereby, limiting the credit risk to pre-calculated amounts. The
Company uses a simplified approach (lifetime expected credit loss model) for the purpose of computation of
expected credit loss for trade receivables. Expected credit losses are measured on collective basis for each of the
following categories :

39 Financial risk management

The Company has exposure to the following risks arising from financial instruments:

• Credit risk ;

• Liquidity risk ;

• Market risk

Risk management framework

The Company’s board of directors has overall responsibility for the establishment and oversight of the Company’s risk
management framework. The board of directors have authorized the Managing Director to establish the processes,
who ensures that executive management controls risks through the mechanism of properly defined framework.

The Company’s risk management policies are established to identify and analyse the risks faced by the Company,
to set appropriate risks limits and controls, and to monitor risks and adherence to limits. Risk management policies
are reviewed regularly to reflect changes in market conditions and the Company’s activities. The Company, through
its training and management standards and procedures, aims to maintain a disciplined and constructive control
environment in which all employees understand their roles and obligations.

(a) Credit risk

i) Credit risk management

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial asset fails to
meet its contractual obligations. The Company’s exposure to credit risk is influenced mainly by the individual

Cash and cash equivalents and other bank balances

Credit risk related to cash and cash equivalents and bank deposits is managed by only investing in deposits with
highly rated banks and financial institutions and diversifying bank deposits and accounts in different banks.
Credit risk is considered low because the Company deals with highly rated banks and financial institution.

Loans

Loans are measured at amortised cost includes loans given to subsidiaries. Credit risk related to these financial
assets is managed by monitoring the recoverability of such amounts continuously, while at the same time
internal control system are in place to ensure the amounts are within defined limits Credit risk is considered
low because the Company is in possession of the underlying asset and these are given to related parties. A
significant increase in credit risk is presumed if a counterparty is more than 30 days past due in making a
contractual payment.

Other financial assets

Other financial assets measured at amortized cost includes security deposits and other receivables. Credit risk
related to these financial assets is managed by monitoring the recoverability of such amounts continuously,
while at the same time internal control system are in place to ensure the amounts are within defined limits.
Credit risk is considered low because the Company is in possession of the underlying asset (in case of security
deposit) or as per trade experience (in case of unbilled revenue from patient and other receivables from
revenue sharing arrangements). Further, the Company creates provision by assessing individual financial asset
for expectation of any credit loss basis 12 month expected credit loss model. A significant increase in credit risk
is presumed if a counterparty is more than 30 days past due in making a contractual payment.

(b) Credit risk exposure

i) Expected credit loss for trade receivables under simplified approach i.e. provision matrix approach using
historical trends.

(d) Market risk

(i) Foreign exchange risk

The Company has international transactions and is exposed to foreign exchange risk arising from foreign
currency transactions (imports and exports). Foreign exchange risk arises from future commercial transactions
and recognised assets and liabilities denominated in a currency that is not the Company’s functional currency.
The Company has not hedged its foreign exchange receivables and payables for the year ended 31 March 2026
and 31 March 2025.

41 Capital management

For the purpose of the Company’s capital management, capital includes issued equity capital, share premium and
all other reserves attributable to the equity holder. The primary objective of the Company’s capital management is
to maximize the shareholder value.

Management assesses the Company’s capital requirements in order to maintain an efficient overall financing
structure while avoiding excessive leverage. This takes into account the subordination levels of the Company’s
various classes of debt.

Notes:

a. All transactions with related parties are made on the terms equivalent to those that prevail in arm’s
length transactions and within the ordinary course of business.

b. All outstanding balances are unsecured and repayable/receivables will be settled in cash.

c. During the year ended 31 March 2026 the Company paid dividend to all its shareholders at H 0.50/- per
equity share of H 2/- each fully paid up and has not been disclosed above.

d. The above information has been determined to the extent such parties have been identified on the
basis of information available with the Company and relied upon by the auditors.

Notes:

(i) Income-tax matters are primarily around disallowances related to employee share based payment expense
and certain other expenses and are pending with Commissioner of Income-tax (Appeals).

(ii) The Company is contesting various medical/employee-related legal cases in various forums. The Company
has disclaimed the liability and is contesting the same. The Company has been advised by its legal counsel
that its position is likely to be upheld in the litigation process and accordingly no provision for any liability
has been made in the financial statement.

(iii) It is not practicable for the Company to estimate the timings of cash outflows, if any, in respect of the above
pending resolution of the respective proceedings.

(iv) The amounts disclosed above represent the best possible estimates arrived at on the basis of available
information and do not include any penalty payable.

B Gratuity

The Company provides for gratuity for employees in India as per the Payment of Gratuity Act, 1972. Employees
who are in continuous service for a period of 5 years are eligible for gratuity. The amount of gratuity payable on
retirement/termination is the employees last drawn basic salary per month computed proportionately for 15
days salary multiplied for the number of years of service.

ended 31 March 2025, the Board of Directors and the shareholders of the Company had approved the
cancellation of “Global Health Employee Stock Option Plan 2021”.

C) Global Health Limited (GHL) Employees Long Term Share Based Incentive Plan 2024 (GHL LTIP 2024 Plan)

Pursuant to the board meeting and shareholders meeting held on 14 November 2024 and 27 December
2024, respectively, the Company has implemented the Global Health Limited - Employees Long Term
Share Based Incentive Plan-2024 (“GHL LTIP 2024 Plan”), comprising an Employees Stock Option Scheme,
2024 (ESOS 2024) and an Employees Stock Purchase Scheme, 2024 (ESPS 2024), pursuant to the applicable
provisions of the Companies Act, 2013, SEBI (Share Based Employee Benefits and Sweat Equity) Regulations,
2021 and other applicable laws. The Plan is administered through a trust established by the Company and
is operated under the supervision of the Board of Directors / Nomination and Remuneration Committee.

4. The expense relating to ESOS 2024 has been recognized on a graded vesting basis in employee
benefit expense (refer note IV below).

5. The Company granted 10,000 options under Part A (ESOS 2024) of the scheme on 15 May 2025
(grant date), with an exercise price of H 2.00 per share having vesting period of 5 years as per
Schedule II, which subsequently lapsed during the year. Hence, the same has not been included
in the table (a) and (b) above.

Note:

The market price above is the closing market price as on the date of allotment as per the National
Stock Exchange of India Limited

(c) Pursuant to the Employee Stock Purchase Scheme (ESPS 2024), the Company has established
the GHL Employees Welfare Trust (refer note 5.16). The expense relating to ESPS 2024 has been
recognized on a graded vesting basis in employee benefit expense (refer note IV below).

Further, as equity shares under the ESPS are allotted to employees through the GHL Employees
Welfare Trust, the corresponding impact has been recognized in Other Equity, (including both
Securities Premium and Share Options Outstanding Account) (refer note 19).”

Note:

1. The fair value of options has been done using the Black-Scholes Option Pricing model.

2. The expected volatility has been calculated as an average of annual volatility of stock prices
of listed peer.

3. The risk free rates have been taken as continuously compounded risk-free rate as on the grant
date for the time to option’s maturity, in years from Indian treasury yield curve.

IV. Expense recognised in the statement of profit and loss

For details of employee benefit expense, refer note no. 31.

44 As per Ind AS 108 on “Operating Segments”, segment information has been provided under the note (refer note
50) to consolidated financial statements.

45A Research and development expenditure for the period ended 31 March 2025 includes consultant’s and specialist
honorarium amounting to H 0.14 millions (31 March 2025: H 0.54 millions) and salaries of employees amounting to H
39.25 millions (31 March 2025: H 30.16 millions).

45B The Board of Directors of the Company (“Board”) at its meeting held on 21 March 2024, had approved the
Scheme of amalgamation (“the Scheme”) of Medanta Holdings Private Limited (wholly-owned subsidiary) with the
Company, subject to all the necessary statutory / regulatory approvals.

The Scheme was approved by the Hon’ble National Company Law Tribunal (‘NCLT’) vide Order dated 20 February
2025 with appointed date being 01 April 2024. The Scheme became effective on 01 March 2025 upon filing of
the certified true copy of the Order with the Registrar of Companies, NCLT of Delhi & Haryana with effect from
appointed date.

Accordingly, during the year ended 31 March 2025 the Company has accounted for the business combination
transaction in accordance the accounting treatment prescribed by the Scheme which is consistent with the
principles of Appendix C of Ind AS 103 ‘Business Combinations under Common Control’. Pursuant to above, the
financial information for the year ended 31 March 2024 of the Company was restated.

47 Lease related disclosures as lessee
(i) As lessee

The Company has leases for land, buildings, equipments and vehicles. With the exception of short-term leases
and leases of low-value underlying assets, each lease is reflected on the balance sheet as a right-of-use asset
and a lease liability. Variable lease payments which do not depend on an index or a rate are excluded from the
initial measurement of the lease liability and right of use assets. The Company has presented its right-of-use
assets in the balance sheet separately from other assets.

Each lease generally imposes a restriction that, unless there is a contractual right for the Company to sublease
the asset to another party, the right-of-use asset can only be used by the Company. Some leases contain an
option to extend the lease for a further term. The Company is prohibited from selling or pledging the underlying
leased assets as security. For leases over buildings equipments, vehicles and land the Company must keep
those properties in a good state of repair and return the properties in their original condition at the end of the
lease. Further, the Company is required to pay maintenance fees in accordance with the lease contracts.

(viii) Net capital turnover ratio = Revenue from operations / working capital (refer point (F) below)

(ix) Net Profit Ratio = Net profit after taxes / revenue from operations

(x) Return on capital employed (ROCE) = Earning before exceptional items, interest and taxes / capital employed
(refer point (G) below)

(xi) Return on investment = Interest income on bank deposits / monthly average of bank deposits

Other explanatory points

(A) Total debt = Non-current borrowings Current borrowings

(B) Earning for Debt Service = Profit after tax Depreciation and amortisation expense Finance costs (excluding
interest on lease liabilities)

(C) Debt service = Interest expense (including capitalised) Principal repayment (including prepayments)

(D) Consumption = Costs of materials consumed Purchases of stock-in-trade Changes in inventories
of stock-in-trade

(E) Operating expenses = Purchases other expenses Retainers and consultants fee (Purchases = Pharmacy,
medical and laboratory consumables related to In patient services Pharmacy and medical consumables
related to sale of pharmacy products to out-patients)

(F) Working capital = Current assets - Current liabilities

(G) Capital Employed = Total assets - Current liabilities Current borrowings

Reasons for variance

Reasons have been disclosed where the changes are more than 25%

1. The debt-equity ratio increased primarily due to increase in borrowings during the year to support greenfield
projects. The change in % terms looks high as the ratio number are small.

2. The debt service coverage ratio improved mainly due to higher profitability and lower debt repayment
obligations during the year, resulting in improved debt servicing capacity.

Notes :

(i) Current ratio = Current assets/ current liabilities

(ii) Debt equity ratio = Total debt (refer point (A) below) / total equity

(iii) Debt service coverage ratio = Earnings available for debt service (refer point (B) below)/ debt service (refer
point (C) below)

(iv) Return on equity = Net profits after taxes / average total equity

(v) Inventory turnover ratio = Consumption (refer point (D) below) / average inventory

(vi) Trade receivables turnover ratio = Revenue from operations / average trade receivables

(vii) Trade payables turnover ratio = Operating expenses (refer point (E) below) / average trade payable

the year ended 31 March 2026, the Company has not enabled the feature of recording audit trail (edit log) at the
database level for the said accounting software to log any direct data changes. On account of recommendation in
the accounting software administration guide which states that enabling the same all the time consume storage
space on the disk and can impact database performance significantly, therefore, the same is not enabled.

52 Disclosure required under section 186(4) of the Companies Act, 2013

Particulars of loans given and investment made as required by sub-section (4) of Section 186 of the Companies Act,
2013, have been given under following schedules:

Loan schedule, refer note 9

Non-current investment schedule, refer note 8

53 Other statutory information

i The Company does not have any Benami Property, where any proceeding has been initiated or pending
against the Company.

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

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

iv The Company has not advanced or loaned or invested funds to any person or any entity, 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 a 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.

v The Company has not received any fund from any person or any entity, 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 a or
on behalf of the Funding Party (Ultimate Beneficiaries); or

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

vi The Company does not have any transactions and outstanding balances during the current as well as
previous period with Companies struck off under section 248 of the Companies Act, 2013 or section 560 of
Companies Act, 1956.

vii The Company has not entered into any such transaction which is not recorded in the books of accounts that has
been surrendered or disclosed as income during the period 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.

viii The Company is not declared wilful defaulter by any bank or financial institution or government or any
government authority.

ix The Company has complied with the number of layers prescribed under the Companies Act, 2013.

x The Company has not revalued its property, plant and equipment (including right-of-use assets) or intangible
assets or both during the current period.

54 During the year ended 31 March 2026, the Company has executed definitive agreement to enter into built-to-
suit and lease arrangement with Shripal Hospitality LLP & others for 400 bed multi-specialty hospital in Varanasi,
Uttar Pradesh.

55 Subsequent events

a. Subsequent to year ended 31 March 2026, the Company executed a Business Transfer Agreement (BTA) with
Asian Institute of Oncology Private Limited for a 79 bedded Advanced Super Specialty Hospital primarily
engaged in providing oncology services in Indore.

b. The Board of Directors of the Company proposed a final dividend of H 0.50/- per equity share of H 2/- each fully
paid up for the financial year ended 31 March 2026, subject to approval of shareholders in the ensuing annual
general meeting.

56 Previous period figures have been regrouped/ reclassified to conform to the current period’s classification.

5.17 Provisions, contingent liabilities and
contingent assets

Provisions are recognized when the Company
has a present (legal or constructive) obligation
as a result of past events, for which it is probable
that an outflow of resources will be required to
settle the obligation and a reliable estimate of the
amount can be made. Provisions required to settle

are reviewed regularly and are adjusted where
necessary to reflect the current best estimates of
the obligation. Provisions are discounted to their
present values, where the time value of money is
material.

Contingent liability is disclosed unless the
likelihood of an outflow of resources is remote
and there is a possible obligation or a present
obligation that may, but probably will not, require
an outflow of resources.

Contingent assets are disclosed only when inflow
of economic benefits therefrom is probable and
recognized only when realization of income is
virtually certain.

5.18 Earnings per share

Basic earnings per share is calculated by dividing
the net profit or loss for the period attributable to
equity shareholders (after deducting attributable
taxes) by the weighted average number of
equity shares outstanding during the period.
The weighted average number of equity shares
outstanding during the period is adjusted for
events including a bonus issue.

For the purpose of calculating diluted earnings
per share, the net profit or loss for the period
attributable to equity shareholders and the
weighted average number of shares outstanding
during the period are adjusted for the effects of all
dilutive potential equity shares.

5.19 Rounding of amounts

All amounts disclosed in the financial statements
and notes have been rounded off to the nearest
millions and upto two decimals as per the
requirement of Division II of Schedule III, unless
otherwise stated.

5.20 Critical estimates and judgements

The preparation of financial statements requires the
use of accounting estimates which, by definition,
will seldom equal the actual results. Management
also needs to exercise judgement in applying the
Company’s accounting policies. This note provides
an overview of the areas that involved a higher
degree of judgement or complexity, and of items
which are more likely to be materially adjusted due
to estimates and assumptions turning out to be
different than those originally assessed. Detailed
information about each of these estimates and
judgements is included in relevant notes together

with information about the basis of calculation

for each affected line item in the consolidated

financial statements.

a) Recognition of deferred tax assets - The extent to
which deferred tax assets can be recognized
is based on an assessment of the probability
of the future taxable income (supported by
reliable evidence) against which the deferred
tax assets can be utilized.

b) Evaluation of indicators for impairment of non¬
financial assets - The evaluation of applicability
of indicators of impairment of assets requires
assessment of several external and internal
factors which could result in deterioration of
recoverable amount of the assets.

c) Contingent liabilities - At each balance sheet
date basis the management judgment,
changes in facts and legal aspects, the
Company assesses the requirement of
provisions against the outstanding contingent
liabilities. However, the actual future outcome
may be different from this judgement.

d) Impairment of financial assets - At each balance
sheet date, based on historical default rates
observed over expected life, existing market
conditions as well as forward looking estimates,
the management assesses the expected
credit losses on outstanding receivables.
Further, management also considers the
factors that may influence the credit risk of
its customer base, including the default risk
associated with industry and country in which
the customer operates.

e) Defined benefit obligation (DBO) -

Management’s estimate of the DBO is based
on a number of underlying assumptions
such as standard rates of inflation, mortality,
discount rate and anticipation of future salary
increases. Variation in these assumptions may
significantly impact the DBO amount and the
annual defined benefit expenses.

f) Useful lives of depreciable/amortisable assets

- Management reviews its estimate of the
useful lives of depreciable/amortisable assets
at each reporting date, based on the expected
utility of the assets. Uncertainties in these
estimates relate to technical and economic

obsolescence that may change the utilisation
of assets.

g) Leases - The Company evaluates if an
arrangement qualifies to be a lease as per the
requirements of Ind AS 116. Identification
of a lease requires significant judgment.
The Company uses significant judgement
in assessing the lease term (including
anticipated renewals) and the applicable
discount rate. The Company determines the
lease term as the non-cancellable period of a
lease, together with both periods covered by
an option to extend the lease if the Company
is reasonably certain to exercise that option;
and periods covered by an option to terminate
the lease if the is reasonably certain not to
exercise that option. In assessing whether the
Company is reasonably certain to exercise an
option to extend a lease, or not to exercise an
option to terminate a lease, it considers all
relevant facts and circumstances that create
an economic incentive for the Company to
exercise the option to extend the lease, or not
to exercise the option to terminate the lease.
The Company revises the lease term if there
is a change in the non-cancellable period of a
lease.

Estimates and judgements are continuously
evaluated. They are based on historical experience
and other factors including expectation of future
events that may have a financial impact on the
Company and that are believed to be reasonable
under the circumstances.

5.21 Exceptional items

Exceptional items are those items which meet the
test of ‘materiality’ (size and nature) and the test of
‘incidence’. The test of Incidence or the frequency
of occurrence should be determined basis specific
facts and circumstances of entity concerned,
considering various factors, such as, the nature of
its activities, the economic environment in which
it operates, past experience, future expectations,
etc. and not in general, as what could be a frequent
item for one entity may be infrequent for other.

Generally, items of income or expense fulfilling
the above-mentioned criteria are classified as
exceptional items and are disclosed separately.

5.22 Amended Accounting Standards (Ind AS)
and interpretations effective during the
period

Ministry of Corporate Affairs (“MCA”) notifies
new standards or amendments to the existing
standards under Companies (Indian Accounting
Standards) Rules as issued from time to time. MCA
has notified below new standards / amendments
which were effective from 01 April, 2024.

h) Introduction of Ind AS 117 - Insurance contracts

MCA notified Ind AS 117, a comprehensive
standard that prescribe, recognition, measurement
and disclosure requirements, to avoid diversities in
practice for accounting insurance contracts and
it applies to all companies i.e., to all "insurance
contracts" regardless of the issuer. However, Ind

AS 117 is not applicable to the entities which are
insurance companies registered with IRDAI.

ii) Amendments to Ind AS 116 -Lease liability in a
sale and leaseback

The amendments require an entity to recognise
lease liability including variable lease payments
which are not linked to index or a rate in a way it
does not result into gain on right-of-use asset it
retains.

The Company has reviewed the new
pronouncements and based on its evaluation has
determined that these amendments do not have
a significant impact on the standalone financial
statements.

Nature and purpose of other reserves

Capital reserve

Capital reserve represents difference between share capital of transferor entity and share capital issued to erstwhile
shareholders of transferor entity.

Securities premium

Securities premium represents the premium on issue of shares. This balance can be utilised in accordance with
provisions of the Act.

Share options outstanding account

This account is used to recognise the grant date fair value of the options issued to eligible employees pursuant
to the Company''s employee stock option plan.

Debenture redemption reserve

This reserve is created as per the requirements of the Act in reference to non-convertible debentures issued by
the Company.

Retained earnings

Retained earnings comprises of current period and prior periods undistributed earnings after tax. It includes re¬
measurement loss on defined benefit plans, net of taxes that will not be re-classified to statement of profit & loss.

40 Fair value disclosures

(i) Fair value hierarchy

The following explains the judgements and estimates made in determining the fair values of the financial
instruments. To provide an indication about the reliability of the inputs used in determining fair value, the
Company has classified its financial instruments into the three levels prescribed under the accounting
standard.

Level 1: quoted prices (unadjusted) in active markets for financial instruments.

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

Level 3: unobservable inputs for the asset or liability.

Valuation techniques used to determine fair value

The fair value of the financial assets and liabilities are included at the amount that would be received to sell
an asset and paid to transfer a liability in an orderly transaction between market participants. The following
methods were used to estimate the fair values:-

Trade receivables, cash and cash equivalents, bank balances other than cash and cash equivalents, other
financial assets, trade payables and other financial liabilities: Approximate their carrying amounts largely
due to the short-term maturities of these instruments.

Loans given by the Company are linked to market rate of interest and hence, carrying value best estimate
of fair value.

Borrowings taken by the Company are as per the Company''s credit and liquidity risk assessment and
there is no comparable instrument having the similar terms and conditions with related security being
pledged and hence the carrying value of the borrowings represents the best estimate of fair value.

41 Financial risk management

The Company has exposure to the following risks arising from financial instruments:

• Credit risk ;

• Liquidity risk ;

• Market risk

Risk management framework

The Company''s board of directors has overall responsibility for the establishment and oversight of the
Company''s risk management framework. The board of directors have authorized the Managing Director to
establish the processes, who ensures that executive management controls risks through the mechanism of
properly defined framework.

The Company''s risk management policies are established to identify and analyse the risks faced by the
Company, to set appropriate risks limits and controls, and to monitor risks and adherence to limits. Risk
management policies are reviewed regularly to reflect changes in market conditions and the Company''s
activities. The Company, through its training and management standards and procedures, aims to maintain
a disciplined and constructive control environment in which all employees understand their roles and
obligations.

(a) Credit risk

i) Credit risk management

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial asset
fails to meet its contractual obligations. The Company’s exposure to credit risk is influenced mainly by
the individual characteristics of each financial asset. The carrying amounts of financial assets represents
the maximum credit risk exposure.

A default on a financial asset is when the counterparty fails to make contractual payments as per agreed
terms. This definition of default is determined by considering the business environment in which entity
operates and other macro-economic factors.

The Company has a credit risk management policy in place to limit credit losses due to non-performance
of counterparties. The Company monitors its exposure to credit risk on an ongoing basis. Assets are
written off when there is no reasonable expectation of recovery. Where loans and receivables are written
off, the Company continues to engage in enforcement activity to attempt to recover the dues.

Trade receivables

The Company closely monitors the credit-worthiness of the receivables through internal systems that
are configured to define credit limits of customers, thereby, limiting the credit risk to pre-calculated
amounts. The Company uses a simplified approach (lifetime expected credit loss model) for the purpose
of computation of expected credit loss for trade receivables. Expected credit losses are measured on
collective basis for each of the following categories:

Cash and cash equivalents and bank balances other than cash and cash equivalents

Credit risk related to cash and cash equivalents and bank deposits is managed by only investing in
deposits with highly rated banks and financial institutions and diversifying bank deposits and accounts
in different banks. Credit risk is considered low because the Company deals with highly rated banks and
financial institution.

Loans

Loans are measured at amortised cost includes loans given to subsidiaries. Credit risk related to these
financial assets is managed by monitoring the recoverability of such amounts continuously, while at the
same time internal control system are in place to ensure the amounts are within defined limits Credit
risk is considered low because the Company is in possession of the underlying asset and these are given
to related parties.

Other financial assets

Other financial assets measured at amortized cost includes security deposits and other receivables.
Credit risk related to these financial assets is managed by monitoring the recoverability of such amounts
continuously, while at the same time internal control system are in place to ensure the amounts are within
defined limits. Credit risk is considered low because the Company is in possession of the underlying asset
(in case of security deposit) or as per trade experience (in case of unbilled revenue from patient and other
receivables from revenue sharing arrangements). Further, the Company creates provision by assessing
individual financial asset for expectation of any credit loss basis 12 month expected credit loss model.

Note a: All transactions with related parties are made on the terms equivalent to those that prevail in arm''s length
transactions and within the ordinary course of business. All outstanding balances are unsecured and repayable/
receivables will be settled in cash.

Note b: The Company has given support letter (letter'') to GHL Pharma & Diagnostic Private limited (Subsidiary
Company) for providing operational and financial support for a period of 12 months from the date of said letter.

43 Capital management

The Company’s objectives when managing capital are:

- To ensure the Company’s ability to continue as a going concern, and

- To maintain optimum capital structure and to reduce cost of capital.

Management assesses the capital requirements in order to maintain an efficient overall financing structure.
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. The Company is not subject to externally imposed
capital requirements. The Company manages its capital requirements by overseeing the gearing ratio:

Notes:

(i) I ncome-tax matters are primarily around disallowances related to employee share based payment
expense and certain other expenses and are pending with Commissioner of Income-tax (Appeals).

(ii) It is not practicable for the Company to estimate the timings of cash outflows, if any, in respect of the
above pending resolution of the respective proceedings.

(iii) The amounts disclosed above represent the best possible estimates arrived at on the basis of available
information and do not include any penalty payable.

(iv) The Company is contesting various medical/employee-related legal cases in various forums. Based on
the legal view from an external consultant and internal analysis, contingent liabilities have been created
for these cases, except where the likelihood of any outflow of resources is remote.

45 Lease related disclosures

(i) As lessee

The Company has leases for land, buildings, equipments and vehicles. With the exception of short-term leases
and leases of low-value underlying assets, each lease is reflected on the balance sheet as a right-of-use asset
and a lease liability. Variable lease payments which do not depend on an index or a rate are excluded from the
initial measurement of the lease liability and right of use assets. The Company has presented its right-of-use
assets in the balance sheet separately from other assets.

Each lease generally imposes a restriction that, unless there is a contractual right for the Company to sublease
the asset to another party, the right-of-use asset can only be used by the Company. Some leases contain
an option to extend the lease for a further term. The Company is prohibited from selling or pledging the
underlying leased assets as security. For leases over building premises, plant & equipment, vehicles and land,
the Company must keep those properties in a good state of repair and return the properties in their original
condition at the end of the lease. Further, the Company is required to pay maintenance fees in accordance
with the lease contracts.

C Other long term employee benefits

An amount of '' 82.74 millions (31 March 2024: '' 8.34 millions) pertains to expense towards compensated
absences.

47 Share based payments

Global Health Employee Stock Option Scheme 2016

The Company vide General Meeting resolution dated 13 July 2016 approved "Global Health Employee Stock
Option Scheme 2016” for granting employee stock options in the form of equity shares linked to the completion
of a minimum period of continued employment to the eligible employees. The eligible employees, including
directors, for the purpose of this scheme will be determined by the Remuneration Committee from time to
time. Each unexercised stock option entitle the eligible employee to avail five shares. Total options to be granted
under this Scheme are 1,025,000. The vested options can be exercised within a period of 3 years from the date
of vesting. This Scheme was further amended on 17 September 2021 to align with the Securities and Exchange
Board of India (Share Based Employee Benefits Regulations and Sweat Equity) Regulations, 2021 (the "SEBI
SBEB Regulations”).

During the year ended on 31 March 2025 and 31 March 2024, the Company has recorded an employee stock
compensation expense of '' Nil million and '' 1.56 millions respectively.

During the year ended on 31 March 2025, the total number of options vested but not exercised is 4,000 (31
March 2024: 20,000).

The weighted average share price on the date of exercise is '' 1,179.43 (31 March 2024: '' 820.56).

Global Health Employee Stock Option Scheme 2021

The Company vide General Meeting resolution dated 17 September 2021 approved "Global Health Employee
Stock Option Plan 2021” for granting employee stock options in the form of equity shares linked to the completion
of a minimum period of continued employment to the eligible employees. During the year ended 31 March 2025,
the Board of Directors and the shareholders of the Company have approved the cancellation of "Global Health
Employee Stock Option Plan 2021".

Global Health Limited Employees Long-Term Share Based Incentive Plan - 2024

"The Board of Directors and the shareholders of the Company on 14 November 2024 and 27 December 2024
respectively, approved Global Health Limited Employees Long-Term Share Based Incentive Plan - 2024 ("GHL
LTIP 2024 Plan”) for eligible employees of the Holding Company and its subsidiaries and associates. Under the
GHL LTIP 2024 Plan, which will be implemented through a Trust, the maximum number of shares that may be
allotted shall not exceed 1,750,000 equity shares of '' 2 each through primary issuance and 5,370,147 equity

shares (i.e. 2% of paid up capital of the Holding Company as on 31 March 2024), through secondary acquisition.
Subsequent to year ended 31 March 2025, the Board of Directors of the Company has approved the grant of
585,500 Options and Offer of 203,000 shares to certain eligible employees under Part -A and Part- B of GHL
LTIP 2024 Plan, respectively."

48 As per Ind AS 108 on "Operating Segments", segment information has been provided under the note to
consolidated financial statements, refer note 51.

49 Research and development expenditure for the period ended 31 March 2025 includes consultant''s and
specialist honorarium amounting to '' 0.54 millions (31 March 2024: '' 0.42 millions) and salaries of employees
amounting to '' 30.16 millions (31 March 2024: '' 9.47 millions).

54 Scheme of Amalagmation

The Board of Directors of the Company (“Board”) at its meeting held on 21 March 2024, had
approved the Scheme of amalgamation ("the Scheme”) of Medanta Holdings Private Limited (wholly-
owned subsidiary) with the Company, subject to all the necessary statutory / regulatory approvals.
The Scheme has been approved by the Hon''ble National Company Law Tribunal (‘NCLT’)
vide Order dated 20 February 2025 with appointed date being 01 April 2024. The Scheme
became effective on 01 March 2025 upon filing of the certified true copy of the Order
with the Registrar of Companies, NCLT of Delhi & Haryana with effect from appointed date.
Accordingly, the Company has accounted for the business combination transaction in accordance the
accounting treatment prescribed by the Scheme which is consistent with the principles of Appendix C of
Ind AS 103 ''Business Combinations under Common Control''. Pursuant to above, the comparative financial
information of the Company in respect of the prior periods have been restated as if the aforesaid business
combination had occurred from the beginning of the preceding period, irrespective of the actual date of the
combination. The impact of the amalgamation on the previous periods are as under:

55 The Ministry of Corporate Affairs (MCA) has prescribed a requirement for companies under the proviso to Rule
3(1) of the Companies (Accounts) Rules, 2014 inserted by the Companies (Accounts) Amendment Rules,
2021 requiring companies, which uses accounting software for maintaining its books of account, shall use
only such accounting software which has a feature of recording audit trail of each and every transaction,
creating an edit log of each change made in the books of account along with the date when such changes
were made and ensuring that the audit trail cannot be disabled. The Company has used accounting software
for maintaining its books of account which has a feature of audit trail (edit log) facility and the same was
enabled at the application level. During the year ended 31 March 2025, the Company has not enabled the
feature of recording audit trail (edit log) at the database level for the said accounting software to log any direct
data changes. On account of recommendation in the accounting software administration guide which states
that enabling the same all the time consume storage space on the disk and can impact database performance
significantly, therefore, the same is not enabled.

56 Disclosure required under section 186(4) of the Companies Act, 2013

Particulars of loans given and investment made as required by sub-section (4) of Section 186 of the Companies
Act, 2013, have been given under following schedules:

Loan schedule, refer note 11

Investment schedule, refer note 10

57 Other statutory information

i The Company does not have any Benami Property, where any proceeding has been initiated or pending
against the Company.

ii The Company does not have any charges or satisfaction which is yet to be registered with Registrar of
Companies beyond the statutory period, except details mentioned below:

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

iv The Company has not advanced or loaned or invested funds to any person or any entity, 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 a
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.

v The Company has not received any fund from any person or any entity, 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 a
or on behalf of the Funding Party (Ultimate Beneficiaries); or

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

vi The Company does not have any transactions and outstanding balances during the current as well as previous
period with Companies struck off under section 248 of the Companies Act, 2013 or section 560 of Companies
Act, 1956.

vii The Company has not entered into any such transaction which is not recorded in the books of accounts that
has been surrendered or disclosed as income during the period 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.

viii The Company is not declared wilful defaulter by any bank or financial institution or government or any
government authority.

ix The Company has complied with the number of layers prescribed under the Companies Act, 2013.

x The Company has entered into any scheme of arrangement during the current period, refer note 54.

xi The Company has not revalued its property, plant and equipment (including right-of-use assets) or intangible
assets or both during the current period.

58 a) During the year ended 31 March 2025, the Company has acquired land parcel, on lease basis, situated

at Mauje-Oshiwara, Jogeshwari, Mumbai, offered by Mumbai Housing and Area Development Authority
(MHADA).

b) During the year ended 31 March 2025, the Company has executed definitive agreement with Dr. Narayan
Dutt Shrimali Foundation International Charitable Trust Society (Society) to operate and manage~750
bedded super speciality hospital in Pitampura, New Delhi.

c) During the year ended 31 March 2025, the Company has entered into long term lease deed for taking
up constructed hospital with approximately bed capacity of 110 beds at Ranchi.

59 Subsequent events

a. The Company received an offer from Assam Electricity Grid Corporation Limited (AEGCL), Government of
Assam to acquire land parcel Guwahati, Assam for the purpose of setting up a super speciality hospital
thereat. The Board of Directors of the Company has also approved the purchase of land parcel and
accordingly on 30 April 2025, the Company signed an agreement with AEGCL.

b. The Board of Directors of the Company has recommended final dividend of '' 0.50/- per equity share of
face value '' 2/- each for the financial year ended 31 March 2025 subject to the approval of shareholders.

The accompanying notes form an integral part of the standalone financial statements

As per our report of even date attached

For Walker Chandiok & Co LLP For and on behalf of the Board of Directors of

Chartered Accountants Global Health Limited

Firm''s Registration No.: 001076N/N500013

Tarun Gupta Dr. Naresh Trehan Pankaj Sahni

Partner Chairman and Managing Director Group Chief Executive Officer and Director

Membership No.: 507892 [DIN:00012148] [DIN:07132999]

Yogesh Kumar Gupta Rahul Ranjan

Chief Financial Officer Company Secretary

Place: Gurugram Place: Gurugram Place: Gurugram

Date: 15 May 2025 Date: 15 May 2025 Date: 15 May 2025

Rights, preferences and restrictions attached to equity shares

The Company has only one class of equity share with face value of H 2 per share. Each holder of equity share is entitled to one vote per share. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting, except in case of interim dividend. In the event of liquidation of the Company, the holder of equity shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.

Nature and purpose of other reserves

Capital reserve

Capital reserve represents difference between share capital of transferor entity and share capital issued to erstwhile shareholders of transferor entity.

Securities premium

Securities premium represents the premium on issue of shares. This balance can be utilised in accordance with provisions of the Act.

Share options outstanding account

This account is used to recognise the grant date fair value of the options issued to eligible employees pursuant to the Company''s employee stock option plan.

Debenture redemption reserve

This reserve is created as per the requirements of the Act in reference to non-convertible debentures issued by the Company.

Retained earnings

Retained earnings comprises of current period and prior periods undistributed earnings or losses after tax.

Repayment terms (including current maturities) and security details:

(a) This represents liability for medical equipment purchased on deferred payment terms to be repaid between September 2024 to February 2025.

(b) The Company had issued non-convertible debenture of H 1,000.00 millions to Asian Development Bank which carries an interest of 7.095% per annum repayable in three annual installment of H 333.33 millions starting from May 19, 2022. The loan is secured by way of hypothecation of all interests and benefits in movable property, plant and equipment and machinery including medical equipment, medical and surgical instruments, other plant and equipment, furniture and fixture, IT equipment, office equipment and electrical installations and excludes some moveable assets on which charge is already created.

Note - 36Earnings per share (EPS)

Earnings per share (''EPS'') is determined based on the net profit/loss attributable to the shareholders. Basic earnings per share is computed using the weighted average number of shares outstanding during the year. Diluted earnings per share is computed using the weighted average number of common and dilutive common equivalent shares outstanding during the year, except where the result would be anti-dilutive.

Note - 37Fair value disclosures

(i) Fair value hierarchy

The following explains the judgements and estimates made in determining the fair values of the financial instruments. To provide an indication about the reliability of the inputs used in determining fair value, the Company has classified its financial instruments into the three levels prescribed under the accounting standard.

Level 1: quoted prices (unadjusted) in active markets for financial instruments.

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

Level 3: unobservable inputs for the asset or liability.

Valuation techniques used to determine fair value

The fair value of the financial assets and liabilities are included at the amount that would be received to sell an asset and paid to transfer a liability in an orderly transaction between market participants. The following methods were used to estimate the fair values:- Trade receivables, cash and cash equivalents, bank balances other than cash and cash equivalents, other current financial assets, trade payables and other current financial liabilities: Approximate their carrying amounts largely due to the short-term maturities of these instruments.

- Loans given by the Company are linked to market rate of interest and hence, carrying value represents best estimate of fair value.

- Borrowings taken by the Company are as per the Company''s credit and liquidity risk assessment and there is no comparable instrument having the similar terms and conditions with related security being pledged and hence the carrying value of the borrowings represents the best estimate of fair value.

(ii) Risk management

The Company''s activities expose it to market risk (foreign exchange and interest risk), liquidity risk and credit risk. The Company''s board of directors has overall responsibility for the establishment and oversight of the Company''s risk management framework. This note explains the sources of risk which the entity is exposed to and how the entity manages the risk and the related impact in the financial statements.

(a) Credit risk

i) Credit risk management

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial asset fails to meet its contractual obligations. The Company''s exposure to credit risk is influenced mainly by the individual characteristics of each financial asset. The carrying amounts of financial assets represents the maximum credit risk exposure.

A default on a financial asset is when the counterparty fails to make contractual payments as per agreed terms. This definition of default is determined by considering the business environment in which entity operates and other macro-economic factors.

The Company has a credit risk management policy in place to limit credit losses due to nonperformance of counterparties. The Company monitors its exposure to credit risk on an ongoing basis. Assets are written off when there is no reasonable expectation of recovery. Where loans and receivables are written off, the Company continues to engage in enforcement activity to attempt to recover the dues.

Trade receivables

The Company closely monitors the credit-worthiness of the receivables through internal systems that are configured to define credit limits of customers, thereby, limiting the credit risk to precalculated amounts. The Company uses a simplified approach (lifetime expected credit loss model) for the purpose of computation of expected credit loss for trade receivables. Expected credit losses are measured on collective basis for each of the following categories :

Cash and cash equivalents and other bank balances

Credit risk related to cash and cash equivalents and bank deposits is managed by only investing in deposits with highly rated banks and financial institutions and diversifying bank deposits and accounts in different banks. Credit risk is considered low because the Company deals with highly rated banks and financial institution.

Loans

Loans are measured at amortised cost includes loans given to subsidiaries. Credit risk related to these financial assets is managed by monitoring the recoverability of such amounts continuously, while at the same time internal control system are in place to ensure the amounts are within defined limits .Credit risk is considered low because the Company is in possession of the underlying asset and these are given to related parties.

Other financial assets

Other financial assets measured at amortized cost includes security deposits and other receivables. Credit risk related to these financial assets is managed by monitoring the recoverability of such amounts continuously, while at the same time internal control system are in place to ensure the amounts are within defined limits. Credit risk is considered low because the Company is in possession of the underlying asset (in case of security deposit) or as per trade experience (in case of unbilled revenue from patient and other receivables from revenue sharing arrangements). Further, the Company creates provision by assessing individual financial asset for expectation of any credit loss basis 12 month expected credit loss model.

(c) 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 due.

The Company maintains flexibility in funding by maintaining availability under committed credit lines. Management monitors the Company''s liquidity position inter alia, comprising of the undrawn borrowing facilities and cash and cash equivalents on the basis of expected cash flows.

The Company takes into account the liquidity of the market in which the entity operates.

Maturities of financial liabilities

The following are the remaining contractual maturities of financial liabilities at the reporting date. The amounts are gross and undiscounted, and include contractual interest payments and exclude the impact of netting agreements.

(d) Market risk

(i) Foreign exchange risk

The Company has international transactions and is exposed to foreign exchange risk arising from foreign currency transactions (imports and exports). Foreign exchange risk arises from future commercial transactions and recognised assets and liabilities denominated in a currency that is not the Company''s functional currency. The Company has not hedged its foreign exchange receivables and payables for the year ended March 31, 2024.

Notes:

(i) Income-tax matters are primarily around disallowances related to employee share based payment expense and certain other expenses and are pending with Commissioner of Income-tax (Appeals).

(ii) It is not practicable for the Company to estimate the timings of cash outflows, if any, in respect of the above pending resolution of the respective proceedings.

(iii) The amounts disclosed above represent the best possible estimates arrived at on the basis of available information and do not include any penalty payable.

(iv) The Company is contesting various medical/employee-related legal cases in various forums. Based on the legal view from an external consultant and internal analysis, contingent liabilities have been created for these cases, except where the likelihood of any outflow of resources is remote.

Note a: All transactions with related parties are made on the terms equivalent to those that prevail in arm''s length transactions and within the ordinary course of business. All outstanding balances are unsecured and repayables/ receivables will be settled in cash.

Note b: The Company has given support letter (''letter'') to GHL Pharma & Diagnostic Private Limited (Subsidiary Company) for providing operational and financial support for a period of 12 months from the date of said letter.

Note - 40Capital management

The Company''s objectives when managing capital are :

- To ensure the Company''s ability to continue as a going concern, and

- To maintain optimum capital structure and to reduce cost of capital.

Management assesses the capital requirements in order to maintain an efficient overall financing structure. 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. The Company is not subject to externally imposed capital requirements. The Company manages its capital requirements by overseeing the debt to equity ratio:

*This includes bank guarantees given to National Stock Exchange of India Limited of H 190.56 millions (March 31, 2023: H 190.56 millions) in relation to initial public offer.

@The Company has issued corporate guarantee to the Deputy Commissioner of Customs, New Delhi on behalf of Medanta Holdings Private Limited (a wholly owned subsidiary) for importing capital goods under the Export Promotion Capital Goods Scheme.

(iii) The Company has given corporate guarantee for sanctioned facility amounting to Nil (March 31, 2023: H 3,650 millions) on behalf of one of the subsidiary company. The said guarantee has been released during the year.

(iv) The Company has given support letter (''letter'') to GHL Pharma & Diagnostic Private Limited (Subsidiary Company) for providing operational and financial support for a period of 12 months from the date of said letter.

Note - 42(i) Lease related disclosures as lessee

The Company has leases for land, buildings, equipments and vehicles. With the exception of short-term leases and leases of low-value underlying assets, each lease is reflected on the balance sheet as a right-of-use asset and a lease liability. Variable lease payments which do not depend on an index or a rate are excluded from the initial measurement of the lease liability and right of use assets. The Company has presented its right-of-use assets in the balance sheet separately from other assets.

Each lease generally imposes a restriction that, unless there is a contractual right for the Company to sublease the asset to another party, the right-of-use asset can only be used by the Company. Some leases contain an option to extend the lease for a further term which has already been considered in computation. The Company is prohibited from selling or pledging the underlying leased assets as security. For leases over buildings equipments, vehicles and land the Company must keep those properties in a good state of repair and return the properties in their original condition at the end of the lease. Further, the Company is required to pay maintenance fees in accordance with the lease contracts.

Sensitivities due to mortality and withdrawals are not material. Hence, impact of change is not calculated above.

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.

The above sensitivity analysis are based on a change in an assumption while holding all other assumptions constant. In practice, this is unlikely to occur, and changes in sum of the assumptions may be correlated. When calculating the sensitivity of defined benefit obligation to significant actuarial assumptions the same method (present value of defined benefit obligations calculated with the projected unit credit method at the end of the reporting period) has been applied when calculating the defined benefit liability recognised in the balance sheet.

C Other long-term employee benefits

An amount of H 2.33 millions (March 31, 2023: H 11.72 millions) pertains to expense towards compensated absences.

Note - 44Share based payments

Global Health Employee Stock Option Scheme 2016

The Company vide General Meeting resolution dated July 13, 2016 approved "Global Health Employee Stock Option Scheme 2016” for granting employee stock options in the form of equity shares linked to the completion of a minimum period of continued employment to the eligible employees. The eligible employees, including directors, for the purpose of this scheme will be determined by the Remuneration Committee from time to time. Each unexercised stock option entitle the eligible employee to avail five shares. Total options to be granted under this Scheme are 1,025,000. The vested options can be exercised within a period of 3 years from the date of vesting. This Scheme was further amended on September 17, 2021 to align with the Securities and Exchange Board of India (Share Based Employee Benefits Regulations and Sweat Equity) Regulations, 2021 (the "SEBI SBEB Regulations”).

During the year ended on March 31, 2024 and March 31, 2023, the Company has recorded an employee stock compensation expense of H 1.56 millions and H 7.48 millions respectively.

During the year ended on March 31, 2024, the total number of options vested but not exercised is 20,000 (March 31, 2023 : 38,442).

The weighted average share price on the date of exercise is H 820.56 (March 31, 2023: H 289.41).

Global Health Employee Stock Option Scheme 2021

The Company vide General Meeting resolution dated September 17, 2021 approved "Global Health Employee Stock Option Plan 2021” for granting employee stock options in the form of equity shares linked to the completion of a minimum period of continued employment to the eligible employees. The Company is yet to grant options under this Scheme.

The chief operating decision maker (CODM) examines the Company''s performance from a service perspective and has identified the Healthcare services as a single business segment. The Company is operating in India which constitutes a single geographical segment. The CODM reviews internal management reports to assess the performance of the segment ''Healthcare services''. There are no transactions with a single external customer which would amount to ten percent or more of the Company''s revenues.

Note - 46

Research and development expenditure for the year ended March 31, 2024 includes consultant''s and specialist honorarium amounting to H 0.42 millions (March 31, 2023: H 0.34 millions) and salaries of employees amounting to H 9.47 millions (March 31, 2023: H 8.29 millions).

F Details related to borrowings secured against current assets

The Company has given current assets (trade receivables and inventories) as security for working capital (fund and non fund based limits) obtained from ICICI Bank Limited HDFC Bank Limited and Yes Bank Limited. The Company submitted the required information with the bank and the required reconciliation is presented below:

A Since the change in ratio is less than 25%, no explanation is required to be furnished.

B The change is primarily attributable to partial payment on account of maturity of non convertible debenture during the current year.

C The change is primarily attributable to increase in earnings before depreciation and amortisation and interest on account of increase in revenue from operations from operations during the current year.

D The change in ratio is primarily attributable to the increase in revenue from operations due to increase in business and change in working capital due to utilisation of cash for group Company loans during the year.

E The change in ratio is primarily attributable to the increase in bank deposits and interest rates during the current year.

Note - 50

During the previous year ended March 31, 2023, the Company has completed its Initial Public Offer (''IPO'') of

6.56.41.952 equity shares of face value of H 2 each for cash at a price of H 336 per equity share (including a

share premium of H 334 per equity share) aggregating to H 22,055.70 millions. This comprises of fresh issue of

1.48.80.952 equity shares aggregating up to H 5,000 millions (''fresh issue'') and an offer for sale of 5,07,61,000

equity shares aggregating to H 17,055.70 millions.

The Company has incurred share issue expenses of H 948.60 millions in reference to initial public offer which are allocated between the selling shareholders and the Company as per the agreement. The Company''s share of these expenses is H 215.25 millions (excluding income tax) which has been adjusted against securities premium.

Note - 52

(a) During the year ended March 31, 2024, the Company has executed definitive agreements with DLF Limited and incorporated a new entity namely, GHL Hospital Limited to set up a 400 bed multi-speciality hospital in Delhi.

(b) During the year ended March 31, 2024, the Company has incorporated a Section 8 Company (Non-Profit Organization), namely, Global Health Institute of Medical Sciences Foundation with the objective to own, establish, run, promote, administer and manage educational institutions, schools, colleges, study centre for imparting medical and healthcare education and management training in the field of medicine and other allied activities.

Note - 53

The Ministry of Corporate Affairs (MCA) has prescribed a new requirement for companies under the proviso to Rule 3(1) of the Companies (Accounts) Rules, 2014, inserted by the Companies (Accounts) Amendment Rules 2021 requiring companies, which uses accounting software for maintaining its books of account, shall only use such accounting software which has a feature of recording audit trail of each and every transaction, creating an edit log of each change made in the books of account along with the date when such change were made and ensuring that the audit trail cannot be disabled. The new requirement is applicable with effect from the financial year beginning on April 1, 2023. During the current year, the audit trail (edit logs) feature for any direct changes made at the database level was not enabled for the accounting software used for maintenance of books of account. However, the audit trail (edit log) at the application level for the accounting software was operating for all relevant transactions recorded in the software.

Note - 54

The Board of Directors of the Company at their meeting held on March 21, 2024 have approved the Scheme of Amalgamation between Medanta Holdings Private Limited, wholly owned subsidiary, (Transferor Company) and the Company (Transferee Company) and their respective members and creditors under section 230 to 232 of the Act. The Company has filed the application with National Company Law Tribunal (''NCLT''), Delhi on May 06, 2024.

Note - 55Disclosure required under section 186(4) of the Act

Particulars of loans given and investment made as required by sub-section (4) of Section 186 of the Act, have been given under following schedules:

Loan schedule, refer note 9A and 9B

Non-current investment schedule, refer note 8

i The Company does not have any Benami Property, where any proceeding has been initiated or pending against the Company.

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

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

iv The Company has not advanced or loaned or invested funds to any person or any entity, 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 a 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.

v The Company has not received any fund from any person or any entity, 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 a or on behalf of the Funding Party (Ultimate Beneficiaries); or

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

vi The Company does not have any transactions and outstanding balances during the current as well as previous period with Companies struck off under section 248 of the Companies Act, 2013 or section 560 of Companies Act, 1956.

vii The Company has not entered into any such transaction which is not recorded in the books of accounts that has been surrendered or disclosed as income during the period 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.

viii The Company is not declared wilful defaulter by any bank or financial institution or government or any government authority.

ix The Company has complied with the number of layers prescribed under the Companies Act, 2013.

x The Company has not entered into any scheme of arrangement during the current period.

xi The Company has not revalued its property, plant and equipment (including right-of-use assets) or intangible assets or both during the current period.

The accompanying notes to the standalone financial statements including material accounting policy information and other explanatory information are an integral part of these standalone financial statements.

Nature and purpose of other reserves Securities premium

Securities premium represents the premium on issue of shares. This balance can be utilised in accordance with provisions of the Act.

Share options outstanding account

This account is used to recognise the grant date fair value of the options issued to eligible employees pursuant to the Company''s employee stock option plan.

Debenture redemption reserve

This reserve is created as per the requirements of the Act in reference to non-convertible debentures issued by the Company.

Retained earnings

Retained earnings comprises of current period and prior periods undistributed earnings or losses after tax.

Capital reserve

Capital reserve represents difference between share capital of transferor entity and share capital issued to erstwhile shareholders of transferor entity.

(b) The Company had vehicle loan of H 211.75 lakhs from Daimler Financial Services India Private Limited which carries an interest at 10.75% per annum, secured by way of hypothecation on vehicle purchased vide the said loan. The loan is repayable in 48 monthly installments and repayment has commenced from 14 May 2018. During the year, the same has been repaid in full.

(c) This represents liability for medical equipment purchased on deferred payment terms to be repaid between February 2024 to December 2024.

Repayment terms (including current maturities) and security details:

(a) During the previous year ended 31 March 2022, the Company had issued non-convertible debentures of H 10,000 lakhs to Asian Development Bank which carries an interest of 7.095% per annum. The loan is secured by way of hypothecation of all interests and benefits in movable property, plant and equipment and machinery including medical equipment, medical and surgical instruments, other plant and equipment, furniture and fixture, IT equipment, office equipment and electrical installations and excludes some moveable assets on which charge is already created.

Note - 35

Fair value disclosures

(i) Fair value hierarchy

The following explains the judgements and estimates made in determining the fair values of the financial instruments. To provide an indication about the reliability of the inputs used in determining fair value, the Company has classified its financial instruments into the three levels prescribed under the accounting standard.

Level 1: quoted prices (unadjusted) in active markets for financial instruments.

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

Level 3: unobservable inputs for the asset or liability.

Valuation techniques used to determine fair value

The fair value of the financial assets and liabilities are included at the amount that would be received to sell an asset and paid to transfer a liability in an orderly transaction between market participants. The following methods were used to estimate the fair values:- Trade receivables, cash and cash equivalents, other bank balances, other current financial assets, trade payables and other current financial liabilities: Approximate their carrying amounts largely due to the shortterm maturities of these instruments.

- Borrowings taken by the Company are as per the Company’s credit and liquidity risk assessment and there is no comparable instrument having the similar terms and conditions with related security being pledged and hence the carrying value of the borrowings represents the best estimate of fair value.

(ii) Risk management

The Company’s activities expose it to market risk (foreign exchange and interest risk), liquidity risk and credit risk. The Company''s board of directors has overall responsibility for the establishment and oversight of the Company''s risk management framework. This note explains the sources of risk which the entity is exposed to and how the entity manages the risk and the related impact in the financial statements.

(a) Credit risk

i) Credit risk management

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial asset fails to meet its contractual obligations. The Company’s exposure to credit risk is influenced mainly by the individual characteristics of each financial asset. The carrying amounts of financial assets represents the maximum credit risk exposure.

A default on a financial asset is when the counterparty fails to make contractual payments as per agreed terms. This definition of default is determined by considering the business environment in which entity operates and other macro-economic factors.

The Company has a credit risk management policy in place to limit credit losses due to non-performance of counterparties. The Company monitors its exposure to credit risk on an ongoing basis. Assets are written off when there is no reasonable expectation of recovery. Where loans and receivables are written off, the Company continues to engage in enforcement activity to attempt to recover the dues.

Trade receivables

The Company closely monitors the credit-worthiness of the receivables through internal systems that are configured to define credit limits of customers, thereby, limiting the credit risk to pre-calculated amounts. The Company uses a simplified approach (lifetime expected credit loss model) for the purpose of computation of expected credit loss for trade receivables. Expected credit losses are measured on collective basis for each of the following categories :

Cash and cash equivalents and other bank balances

Credit risk related to cash and cash equivalents and bank deposits is managed by only investing in deposits with highly rated banks and financial institutions and diversifying bank deposits and accounts in different banks. Credit risk is considered low because the Company deals with highly rated banks and financial institution.

Other financial assets

Other financial assets measured at amortized cost includes security deposits and other receivables. Credit risk related to these financial assets is managed by monitoring the recoverability of such amounts continuously, while at the same time internal control system are in place to ensure the amounts are within defined limits. Credit risk is considered low because the Company is in possession of the underlying asset (in case of security deposit) or as per trade experience (in case of unbilled revenue from patient and other receivables from revenue sharing arrangements). Further, the Company creates provision by assessing individual financial asset for expectation of any credit loss basis 12 month expected credit loss model.

(c) 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 due.

The Company maintains flexibility in funding by maintaining availability under committed credit lines. Management monitors the Company’s liquidity position inter alia, comprising of the undrawn borrowing facilities and cash and cash equivalents on the basis of expected cash flows.

The Company takes into account the liquidity of the market in which the entity operates.

(d) Market risk

(i) Foreign exchange risk

The Company has international transactions and is exposed to foreign exchange risk arising from foreign currency transactions (imports and exports). Foreign exchange risk arises from future commercial transactions and recognised assets and liabilities denominated in a currency that is not the Company’s functional currency. The Company has not hedged its foreign exchange receivables and payables for the year ended 31 March 2023.

Notes:

(i) Income-tax matters are primarily around disallowances related to employee share based payment expense and certain other expenses and are pending with Commissioner of Income-tax (Appeals).

(ii) It is not practicable for the Company to estimate the timings of cash outflows, if any, in respect of the above pending resolution of the respective proceedings.

(iii) The amounts disclosed above represent the best possible estimates arrived at on the basis of available information and do not include any penalty payable.

(iv) The Company is contesting various medical/employee-related legal cases in various forums. Based on the legal view from an external consultant and internal analysis, contingent liabilities have been created for these cases, except where the likelihood of any outflow of resources is remote.

(i) Lease related disclosures as lessee

The Company has leases for land, buildings, equipments and vehicles. With the exception of short-term leases and leases of low-value underlying assets, each lease is reflected on the balance sheet as a right-of-use asset and a lease liability. Variable lease payments which do not depend on an index or a rate are excluded from the initial measurement of the lease liability and right of use assets. The Company has presented its right-of-use assets in the balance sheet separately from other assets.

Each lease generally imposes a restriction that, unless there is a contractual right for the Company to sublease the asset to another party, the right-of-use asset can only be used by the Company. Some leases contain an option to extend the lease for a further term. The Company is prohibited from selling or pledging the underlying leased assets as security. For leases over buildings equipments, vehicles and land the Company must keep those properties in a good state of repair and return the properties in their original condition at the end of the lease. Further, the Company is required to pay maintenance fees in accordance with the lease contracts.

*This includes bank guarantees given for capital goods imported under the Export Promotion Capital Goods of the Government of India, at concessional rates of duty on an undertaking to fulfill quantified exports within stipulated period of time.

@''The Company has issued corporate guarantee amounting to H 2,800.67 lakhs to the Deputy Commissioner of Customs, New Delhi on behalf of Medanta Holdings Private Limited (a wholly owned subsidiary) for importing capital goods under the Export Promotion Capital Goods Scheme.

(iii) During the previous financial year, the Company had withdrawn the undertaking confirming infusion of equity or unsecured loan in case of shortfall in servicing credit facilities given to the bank in case of the borrowing availed by one of the subsidiary and has instead given a corporate guarantee for the sanctioned facility of H 36,500 lakhs.

B Gratuity

The Company provides for gratuity for employees in India as per the Payment of Gratuity Act, 1972. Employees who are in continuous service for a period of 5 years are eligible for gratuity. The amount of gratuity payable on retirement/termination is the employees last drawn basic salary per month computed proportionately for 15 days salary multiplied for the number of years of service

Sensitivities due to mortality and withdrawals are not material. Hence, impact of change is not calculated above.

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.

The above sensitivity analysis are based on a change in an assumption while holding all other assumptions constant. In practice, this is unlikely to occur, and changes in sum of the assumptions may be correlated. When calculating the sensitivity of defined benefit obligation to significant actuarial assumptions the same method (present value of defined benefit obligations calculated with the projected unit credit method at the end of the reporting period) has been applied when calculating the defined benefit liability recognised in the balance sheet.

Share based payments

Global Health Employee Stock Option Scheme 2014

The Company vide General Meeting resolution dated 25 September 2014 approved “Global Health Employee Stock Option Scheme 2014” for granting employee stock options in the form of equity shares linked to the completion of a minimum period of continued employment to the eligible employees. The plan was modified on 11 May 2016 where in the Company increased the number of available options from 740,628 to 852,973 to eligible employees and the vesting period was revised from 5 years from the date of grant to graded vesting of 25% each year starting with effect from 30 April 2016. The eligible employees, including directors, for the purpose of this scheme will be determined by the Remuneration Committee from time to time. Each unexercised stock option entitle the eligible employee to avail five shares. The vested options can be exercised within a period of 3 years from the date of vesting. This Scheme was further amended on 17 September 2021 to align with the Securities and Exchange Board of India (Share Based Employee Benefits Regulations and Sweat Equity) Regulations, 2021 (the “SEBI SBEB Regulations”).

The Company vide General Meeting resolution dated 13 July 2016 approved “Global Health Employee Stock Option Scheme 2016” for granting employee stock options in the form of equity shares linked to the completion of a minimum period of continued employment to the eligible employees. The eligible employees, including directors, for the purpose of this scheme will be determined by the Remuneration Committee from time to time. Each unexercised stock option entitle the eligible employee to avail five shares. Total options to be granted under this Scheme are 1,025,000. The vested options can be exercised within a period of 3 years from the date of vesting. This Scheme was further amended on 17 September 2021 to align with the Securities and Exchange Board of India (Share Based Employee Benefits Regulations and Sweat Equity) Regulations, 2021 (the “SEBI SBEB Regulations”).

During the year ended on 31 March 2023 and 31 March 2022, the Company has recorded an employee stock compensation expense of H 74.78 lakhs and H 173.81 lakhs respectively.

During the year ended on 31 March 2023, the total number of options vested but not exercised is 38,442 (31 March 2022 : 12,500).

The weighted average share price on the date of exercise is H 289.41 (31 March 2022 H 262.97) (after considering effect of share split done in year ended 31 March 2022).

The Company vide General Meeting resolution dated 17 September 2021 approved “Global Health Employee Stock Option Plan 2021” for granting employee stock options in the form of equity shares linked to the completion of a minimum period of continued employment to the eligible employees. The Company is yet to grant options under this Scheme.

Note - 43

The chief operating decision maker (CODM) examines the Company''s performance from a service perspective and has identified the Healthcare services as a single business segment. The Company is operating in India which constitutes a single geographical segment. The CODM reviews internal management reports to assess the performance of the segment ''Healthcare services''. There are no transactions with a single external customer which would amount to ten percent or more of the Company''s revenues.

Note - 44

Research and development expenditure for the period ended 31 March 2023 includes consultant''s and specialist honorarium amounting to H 3.40 lakhs (31 March 2022: H 5.90 lakhs) and salaries of employees amounting to H 82.93 lakhs (31 March 2022: H 68.91 lakhs).

IV The aggregate amount of transaction price allocated to the performance obligations (yet to complete) as at 31 March 2023 is H 3,549.20 lakhs (31 March 2022 : H 2,852.88 lakhs). This balance represents the advance received from customers (gross) against healthcare services. The management expects to further bill and collect the remaining balance of total consideration in the coming periods. These balances will be recognised as revenue in subsequent period as per the policy of the Company.

A Since the change in ratio is less than 25%, no explanation is required to be furnished.

B The change is primarily attributable to payment on account of maturity of non convertible debenture during the current period.

C The change in ratio is primarily attributable to the increase in current assets on account of increase in cash and cash equivalents and other bank balances.

Note - 48

Raman Sharma (‘Complainant‘) filed a First Information Report (‘FIR’) dated 6 June 2020 against, inter alia, the Company and certain directors and other office bearers, under various provisions of the Indian Penal Code, the Prevention of Money Laundering Act, 2002 and the Prevention of Corruption Act, 1988. The Complainant had alleged that the Haryana Urban Development Authority (‘HUDA’) had illegally allotted hospital land parcel, which resulted in unfair pecuniary advantage. The said matter was investigated and the investigation agencies concluded the matter in the favour of the Company. Accordingly, the investigation agencies filed a Cancellation Report with respect to the FIR

before the Additional Sessions Court, Gurugram (“the Court”). The Complainant filed a protest petition challenging the above Cancellation Report. Vide its order dated 12 March 2021, the Court accepted the Cancellation Report and the FIR stood cancelled. Prior to closing of the FIR, the Enforcement Directorate, New Delhi in its letter dated 22 December 2020 (‘Notice‘) had also sought certain information from the Company regarding, inter alia, the capital investment made in and by the Company in India and overseas, details of bank accounts of the directors of the Company, and details of fixed assets created in the Company from inception until the date of the Notice. The Company had duly provided the requisite information. Additionally, vide letter dated 12 April 2021, the Company had requested the Enforcement Directorate to close this matter in light of cancellation of the FIR. Subsequent to the year, on 22 July 2022, the Enforcement Directorate had duly accepted the closure report submitted by the prosecuting agency.

Note - 49

During the year, the Company has completed its Initial Public Offer (‘IPO’) of 6,56,41,952 equity shares of face value of H 2 each for cash at a price of H 336 per equity share (including a share premium of H 334 per equity share) aggregating to H 2,20,556.96 lakhs. This comprises of fresh issue of 1,48,80,952 equity shares aggregating up to H 50,000 lakhs (‘fresh issue’) and an offer for sale of 5,07,61,000 equity shares aggregating to H 1,70,556.96 lakhs.

Note - 50

The Company has incurred share issue expenses of H 9,461.54 lakhs in reference to initial public offer which are allocated between the selling shareholders and the Company as per the agreement. The Company’s share of these expenses is H 2,146.98 lakhs (excluding income tax) which has been adjusted against securities premium.

Note - 51

During the year, the Board of Directors of the Company has approved a binding term sheet for a new hospital at Indore on Operation and Management basis. The Company is yet to execute the relevant agreements.

Note - 52

i The Company does not have any Benami Property, where any proceeding has been initiated or pending against the Company.

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

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

iv The Company has not advanced or loaned or invested funds to any person or any entity, 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 a 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.

v The Company has not received any fund from any person or any entity, 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 a or on behalf of the Funding Party (Ultimate Beneficiaries); or

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

vi The Company does not have any transactions and outstanding balances during the current as well as previous period with Companies struck off under section 248 of the Companies Act, 2013 or section 560 of Companies Act, 1956.

The notes to standalone financial statements including summary of significant accounting policies and other explanatory information are an integral part of these standalone financial statements.

This is the standalone summary of significant accounting policies and other explanatory information referred to in our report of even date.