1. Company overview

PROSTARM INFO SYSTEMS LIMITED, (“the Company”), conceptualized and promoted by a group of entrepreneurs having varied experience in the field of Power Electronics, got incorporated on 11^th January 2008 with the primary objective to provide Energy Storage Equipment and Power Conditioning Equipment (“Power Solution Products”).

The Company, over the span of 1.8 decades, has graduated into a multifaceted entity specializing in designing, manufacturing, assembling, sale and servicing of Power Solution Products. Its manufactured Power Solution Products comprise UPS systems, inverter system, lift inverter system, solar hybrid inverter systems, lithium-ion battery packs, servo-controlled voltage stabilisers (“SCVS”), isolation transformers, system integrated solutions, BESS systems and other power solution products.

The Company offers both customized and standard products and solutions, manufactured and assembled at its in-house facilities and also through third party contract manufacturers. In addition to its core manufactured products, it also deals in sale and supply of third-party power solution products such as batteries, reverse logistics/end-of-life products and other assets such as IT Assets, solar panel and allied products. The Company also undertakes rooftop solar photovoltaic power plant projects across India on EPC basis. The Company’s comprehensive range of value-added services include installation, rental, after-sales services (including warranty and post-warranty services), Annual Maintenance Contracts (“AMC”) which supplements its Power Solution Products, catering to a wide spectrum of customers and their requirements.

The Company has its registered office located at Plot No. EL 79, Electronic Zone, TTC, MIDC, Mahape, Navi Mumbai, Thane, Maharashtra, India, 400710 with its manufacturing capabilities in Mumbai and Pune, including the manufacturing facility of its subsidiary.

The Company caters to critical industries like ATMs, Banks, Financial Services & Insurance institutions, Corporates, Academic Institutes, Hospitals/ Diagnostic centres, Railways, Engineering, Oil & Gas, Power, Airport, Defense and other companies in PSU and private sector.

The standalone financial statements for the year ended March 31, 2026 were authorized and approved for issue by the Board of Directors on May 22, 2026.

2. Basis of preparation of standalone financial statements

a. Basis of Preparation of Financial Statements

The Financial Statements have been prepared on the historical cost basis except for following assets and liabilities which have been measured at fair value amount:

a) Certain Financial Assets and Liabilities (including derivative instruments), if any,

b) Defined Benefit Plans - Plan Assets, if any and

c) Equity settled Share Based Payments, if any

The Financial Statements of the Company have been prepared to comply with the Indian Accounting standards (‘Ind AS’), including the rules notified under the relevant provisions of the Companies Act, 2013, (as amended from time to time) and Presentation and disclosure requirements of Division II of Schedule III to Companies Act, 2013, (ind AS Compliant Schedule Ill) as amended from time to time.

b. Basis of Measurement

The Standalone Financial Statements have been prepared on a going concern basis using historical cost convention and on an accrual method of accounting, except for certain financial assets and liabilities, including derivative financial instruments which have been measured at fair value as described below and defined benefit plans which have been measured at actuarial valuation as required by relevant Ind ASs.

The statement of cash flows has been prepared under indirect method, whereby profit or loss is adjusted for the effects of transactions of a non-cash nature, any deferrals or accruals of past or future operating cash receipts or payments and items of income or expense associated with investing or financing cash flows. The cash flows from operating, investing and financing activities of the Company are segregated.

c. Current and Non-Current Classification

All assets and liabilities have been classified as current or non-current as per the Company’s normal operating cycle and other criteria set out in the Schedule III to the Companies Act, 2013.

Assets

An asset is classified as current when it satisfies any of the following criteria:

a. it is expected to be realised in, or is intended for sale or consumption in, the Company’s normal operating cycle;

b. it is held primarily for the purpose of being traded;

c. it is expected to be realised within 12 months after the reporting date; or

d. it is cash or cash equivalent unless it is restricted from being exchanged or used to settle a liability for at least 12 months after the reporting date.

Liabilities

A liability is classified as current when it satisfies any of the following criteria:

a. it is expected to be settled in the Company’s normal operating cycle;

b. it is held primarily for the purpose of being traded;

c. it is due to be settled within 12 months after the reporting date; or

d. the Company does not have an unconditional right to defer settlement of the liability for at least 12 months after the reporting date. Terms of a liability that could, at the option of the counterparty, result in its settlement by the issue of equity instruments do not affect its classification.

Current assets/ liabilities include the current portion of non-current assets/ liabilities respectively. All other assets/ liabilities are classified as non-current.

Deferred Tax Assets and Liabilities are classified as non-current assets and liabilities.

Operating cycle

Operating cycle is the time between the acquisition of assets for processing and their realisation in cash or cash equivalents. The Company considers its operating cycle to be within one year.

d. Functional and Presentation Currency

These Standalone Financial Statements are prepared in Indian Rupee (“5”) which is the Company’s functional currency. All financial information presented in Rupees has been rounded to the nearest lakhs with two decimals, except when otherwise indicated.

3. Material accounting policies

The Company has applied following accounting policies to all periods presented in the Standalone Financial Statement.

a) Property, Plant and Equipment [PPE]

(i) Definition

Property, plant and equipment are tangible items that:

(A) are held for use in the production or supply of goods or services, for rental to others, or for administrative purposes; and

(B) are expected to be used during more than one period.

(ii) Recognition & initial measurement

Property, plant and equipment are measured at cost less accumulated depreciation and impairment losses, if any.

The initial cost of property, plant and equipment comprises its purchase price, including import duties and non-refundable purchase taxes, attributable borrowing cost and any other directly attributable costs of bringing an asset to working condition and location for its intended use. It also includes the present value of the expected cost for the decommissioning and removing of an asset and restoring the site after its use, if the recognition criteria for a provision are met.

(iii) Subsequent measurement (depreciation and useful lives)

Assets in the course of development or construction and freehold land are not depreciated.

Other property, plant and equipment are stated at cost less accumulated depreciation and any provision for impairment. Depreciation commences when the assets are ready for their intended use.

Expenditure incurred after the property, plant and equipment have been put into operation, such as repairs and maintenance, are normally charged to the Statements of Profit and Loss in the period in which the costs are incurred. Major inspection and overhaul expenditure is capitalized if the recognition criteria are met When significant parts of plant and equipment are required to be replaced at intervals, the Company depreciates them separately based on their specific useful lives. Likewise, when a major inspection is performed, its cost is recognised in the

carrying amount of the plant and equipment as a replacement if the recognition criteria are satisfied. All other repair and maintenance costs are recognised in the Statement of Profit and Loss as incurred.

Depreciation is calculated on the depreciable amount, which is the cost of an asset less its residual value. Depreciation is provided at rates calculated to write off the cost, less estimated residual value, of each asset on a written down value basis over its expected useful life of the assets as prescribed under Part C of Schedule II to the Companies Act, 2013.

Depreciation on PPE sold, discarded or demolished during the period, if any, is being provided pro-rata up to the date on which such PPE are sold, discarded or demolished.

Leasehold land&buildingandimprovements are amortized on the basis of duration and other terms of lease.

When parts of an item of Property, Plant and Equipment have different useful life, they are accounted for as separate items (Major components) and are depreciated over the useful life respectively.

Right-of-use Assets (Land & Building under operating Lease) is amortised on a straight-line basis over the period of respective lease term.

The residual values, useful lives and methods of depreciation of PPE are reviewed at the end of each financial year considering the physical condition of the PPE and benchmarking analysis or whenever there are indicators for review of residual value and useful life.

Items such as spare parts, stand-by equipment and servicing equipment are recognised in accordance with this Ind AS when they meet the definition of property, plant and equipment. Otherwise, such items are classified as inventory. It is estimated that spares having a value of more than '' 2 lacs are assumed to qualify for the definition of property plant equipment. Life of the spares has been considered to be 18 months. Residual value of 5% has been considered for all the spares capitalised.

(iv) De-recognition

PPE are derecognised either when they have been disposed of or when they are permanently withdrawn from use and no future economic benefit is expected from their disposal. The difference between the net

disposal proceeds and the carrying amount of the asset is recognised in the Statement of Profit and Loss in the period of de-recognition.

b) Capital Work-in-Progress

Assets in the course of construction are capitalized in capital work in progress account. At the point when an asset is capable of operating in the manner intended by management, the cost of construction is transferred to the appropriate category of property, plant and equipment. Costs associated with the commissioning of an asset are capitalised when the asset is available for use but incapable of operating at normal levels until the period of commissioning has been completed.

c) Intangible Assets

(i) Recognition and initial measurement

I ntangible assets acquired are measured on initial recognition at cost. Following initial recognition, intangible assets are carried at cost less any accumulated amortisation and accumulated impairment losses.

(ii) Subsequent measurement & amortization

The useful lives of intangible assets are assessed as either finite or indefinite. The Company currently does not have any intangible assets with indefinite useful life. Intangible assets are amortised over the useful economic life and assessed for impairment whenever there is an indication that the intangible asset may be impaired. The amortisation period and the amortisation method for an intangible asset are reviewed at least at the end of each reporting period. Changes in the expected useful life or the expected pattern of consumption of future economic benefits embodied in the asset are considered to modify the amortisation period or method, as appropriate, and are treated as changes in accounting estimates. The amortisation expense on intangible assets is recognised in the Statement of Profit and Loss unless such expenditure forms part of carrying value of another asset.

(iii) De-recognition

Gains or losses arising from derecognition of an intangible asset are measured as the differencebetweenthenetdisposal proceeds and the carrying amount of the asset and are recognised in the Statement of Profit and Loss when the asset is derecognised.

d) Investment Properties

(0 Recognition and initial measurement

I nvestment properties are properties held to earn rentals or for capital appreciation, or both. Investment properties are measured initially at cost, including transaction costs. The cost comprises purchase price, borrowing cost if capitalisation criteria are met and directly attributable cost of bringing the asset to its working condition for the intended use.

(ii) Subsequent measurement & amortization

Subsequent costs are included in the asset’s carrying amount or recognised as a separate asset, as appropriate, only when it is probable that future economic benefits associated with the item will flow to the Company.

Though the Company measures investment propertyusingcost based measurement, the fair value of investment property is disclosed in the notes. Fair values are determined based on periodic evaluations carried out by accredited external independent valuers who holds a recognised and relevant professional qualification and has experience in the category of the investment property being valued.

Investment properties are stated at cost less accumulated depreciation and accumulated impairment loss, if any, subsequently. Depreciation is provided from the date the assets are put to use, on written down value method as per the useful life of the assets as prescribed under Part C of Schedule II of the Companies Act, 2013

Depreciation on Investment Properties sold, discarded or demolished during the period, if any, is being provided pro-rata up to the date on which such Investment Properties are sold, discarded or demolished.

Leasehold land& Building and improvements are amortised on the basis of duration and other terms of lease.

The residual values, useful lives and methods of depreciation of Investment Properties are reviewed at the end of each financial year/period considering the physical condition of the Investment Properties and benchmarking analysis or whenever there are indicators for review of residual value and useful life.

(iii) De-recognition

Investment properties are derecognised either when they have been disposed of or when they are permanently withdrawn from use and no future economic benefit is expected from their disposal. The difference between the net disposal proceeds and the carrying amount of the asset is recognised in the Statement of Profit and Loss in the period of de-recognition.

e) Revenue Recognition

(i) Revenue from contract with customer is recognised, when control of the goods or services are transferred to the customer, at an amount that reflects the consideration to which the Company is expected to be entitled in exchange for those goods or services.

(ii) Company generally follows mercantile system of accounting and recognizes significant items of incomes on accrual basis. The revenues have been duly recognized in accordance with the provisions of Indian Accounting Standard - 115. Certain expenditure items, which are not material in nature, are accounted for upon receipt of supporting documents/invoices.

(iii) Revenue is measured at the fair value of the consideration received or receivable, net of discounts, volume rebates, outgoing Goods & Service Tax (GST) and other applicable indirect taxes.

(iv) Goods & Service Tax (GST) is not received by the Company on its own account. Rather, it is tax collected on value added to the services by the service provider on behalf of the Government. Accordingly, it is excluded from revenue.

(v) Unbilled income represents the value of services rendered but not yet beeninvoiced on the reporting date due to contractual terms.

f) Interest Income

I nterest income is accrued on a time basis, by reference to the principal outstanding and at the effective interest rate applicable, which is the rate that exactly discounts estimated future cash receipts through the expected life of the financial asset to that asset’s net carrying amount on initial recognition.

g) Dividend Income

Dividend income is recognized when the right to receive dividend is established.

h) Leases

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

(i) Company as a lessee

The Company recognises a right-of-use asset and corresponding lease liability at the lease commencement date, except for short-term leases and leases of low value assets.

Right-of-use assets are initially recognised at cost comprising the initial amount of the lease liability adjusted for lease payments made at or before the commencement date, initial direct costs incurred and estimated costs to dismantle or restore the underlying asset, if any.

Right-of-use assets are subsequently measured at cost less accumulated depreciation and accumulated impairment losses, if any. Right-of-use assets are depreciated on a straight-line basis over the shorter of the lease term and useful life of the underlying asset.

Lease liabilities are initially measured at the present value of future lease payments that are not paid at the commencement date, discounted using the interest rate implicit in the lease or, if that rate cannot be readily determined, the Company’s incremental borrowing rate.

Lease liabilities are subsequently measured at amortised cost using the effective interest rate method. Lease liabilities are remeasured when there is a change in future lease payments arising from change in an index or rate, change in estimate of amount expected to be payable under residual value guarantee, or where the Company changes its assessment of whether it will exercise a purchase, extension or termination option.

Lease payments relating to short-term leases and leases of low-value assets are recognised as an expense in the Statement of Profit and Loss on straight-line basis over the lease term.

(ii) Company as a lessor

Leases in which the Company does not transfer substantially all the risks and rewards incidental to ownership of an asset are classified as operating leases. Rental

(ii) Deferred tax

Deferred tax is provided using the liability method on temporary differences between the tax bases of assets and liabilities and their carrying amounts for financial reporting purposes at the reporting date. Deferred tax liabilities are recognised for all taxabletemporarydifferences,exceptwhen it is probable that the temporary differences will not reverse in the foreseeable future.

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

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

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

Deferred tax relating to items recognised outside profit or loss is recognised outside profit or loss (either in other comprehensive income or in equity). Deferred tax items are recognised in correlation to the underlying transaction either in OCI or directly in equity.

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

(iii) Goods & Service Tax

Sales/ value added taxes paid on acquisition of assets or on incurring expenses are recognised net of the amount of sales/ value added taxes paid, except:

and compensated absences which are expected to occur in next twelve months. The undiscounted amount of short-term employee benefits to be paid in exchange for employee services is recognised as an expense as the related service is rendered by employees.

(ii) Post-employment benefits -

(a) Defined benefit plans - Gratuity

The Company has a defined benefit plan (the “Gratuity Plan”). The Gratuity Plan provides a lump sum payment to employees who have completed five years or more of service at retirement, disability or termination of employment, being an amount based on the respective employee’s last drawn salary and number of years of employment with Company.

The Company has an unfunded defined benefit gratuity plan. Provision for gratuity obligation is recognised based on actuarial valuation carried out by an independent actuary using the projected unit credit method.

The present value of the defined benefit obligation is determined by discounting the estimated future cash outflows by reference to market yields at the end of the reporting period on government bonds that have terms approximating to the terms of the related obligation. The net interest cost is calculated by applying the discount rate to the net balance of the defined benefit obligation and the fair value of plan assets if any. This cost is included in employee benefit expense in the Statement of Profit and Loss.

The liability or asset recognised in the balance sheet in respect of gratuity plan is the present value of the defined benefit obligation at the end of the reporting period less the fair value of plan assets if any. The defined benefit obligation is calculated annually by actuaries using the projected unit credit method.

Re-measurement gains and losses arising from experience adjustments and changes in actuarial assumptions arerecognisedintheperiodinwhichthey occur, directly in other comprehensive income and are never reclassified to

profit or loss. Changes in the present value of the defined benefit obligation resulting from plan amendments or curtailments are recognised immediately in the Statement of Profit and Loss as past service cost.

(b) Defined Contribution Plans - Provident Fund and Employee State Insurance

Provident Fund, Pension Fund & Employee State Insurance (ESI) are defined contribution schemes as per applicable rules/statute and contribution made to the Provident Fund Trust, Regional Provident Fund Commissioner and Employee State Insurance Fund respectively are charged to the Statement of Profit and Loss.

(iii) Employee Share based payments

Share Based Payments Equity-settled share-based payments to employees of the Group are measured at the fair value of the equity instruments at the grant date. Details regarding the determination of the fair value of equity-settled share-based payments transactions are set out in Note 48.

The fair value determined at the grant date of the equity-settled share-based payments is expensed on a straightline basis over the vesting period, based on the Company’s estimate of equity instruments that will eventually vest, with a corresponding increase in equity. At the end of each reporting period, the Company revises its estimate of the number of equity instruments expected to vest. The impact of the revision of the original estimates, if any, is recognised in Statement of Profit and Loss such that the cumulative expenses reflect the revised estimate, with a corresponding adjustment to the Share Based Payments Reserve.

The dilutive effect of outstanding options is reflected as additional share dilution in the computation of diluted earnings per share.

In caseof Group equity-settled share-based payment transactions, where the Company grants stock options to the employees of its subsidiary, the Company has accounted cost of share-based payment as recoverable from the subsidiary under intragroup repayment arrangement with a corresponding credit in the equity.

m) Earning Per Share

i) Company presents basic and diluted earnings per share (“EPS”) data for its equity shares. Basic EPS is calculated by dividing the profit and loss attributable to equity shareholders of the Company by the weighted average number of equity shares outstanding during the period.

ii) Diluted earnings per share is computed by adjusting the profit attributable to equity shareholders and the weighted average number of equity shares outstanding during the year for the effects of all dilutive potential equity shares, including employee stock options outstanding during the year.

n) Provisions and Contingencies

The assessments undertaken in recognising provisions and contingencies have been made in accordance with the applicable Ind AS.

Provisions represent liabilities to the Company for which the amount or timing is uncertain. Provisions are recognized when the Company has a present obligation (legal or constructive), as a result of past events, and it is probable that an outflow of resources, that can be reliably estimated, will be required to settle such an obligation. If the effect of the time value of money is material, provisions are determined by discounting the expected future cash flows to net present value using an appropriate pretax discount rate that reflects current market assessments of the time value of money and, where appropriate, the risks specific to the liability. Unwinding of the discount is recognized in the Statement of Profit and Loss as a finance cost. Provisions are reviewed at each reporting date and are adjusted to reflect the current best estimate.

Provision for Warranty: The Company makes provision for the probable future liability on account of the warranty based on the estimation of the warranty claims/expenses that the Company expects to materialize in the future. The Company assesses the need and quantum of provision for warranty based on conditions prevailing at each year.

The Company has significant capital commitments in relation to various capital projects which are not recognized on the balance sheet. In the normal course of business, contingent liabilities may arise from litigation and other claims against the Company. Guarantees are also provided in the normal course of business. There are certain obligations which management has concluded, based on all available facts and circumstances, are

not probable of payment or are very difficult to quantify reliably, and such obligations are treated as contingent liabilities and disclosed in the notes but are not reflected as liabilities in the financial statements. Although there can be no assurance regarding the final outcome of the legal proceedings in which the Company involved, it is not expected that such contingencies will have a material effect on its financial position or profitability.

Contingent assets are not recognised but disclosed in the financial statements when an inflow of economic benefits is probable.

o) Cash Flow Statement

Cash flows are reported using indirect method as set out in Ind AS -7 “Statement of Cash Flows”, whereby profit / (loss) before tax is adjusted for the effects of transactions of non-cash nature and any deferrals or accruals of past or future cash receipts or payments. The cash flows from operating, investing and financing activities of the Company are segregated based on the available information.

p) Segment Reporting

Operating segments are reported in a manner consistent with the internal reporting provided to the management. Operating segments are those components of the business whose operating results are regularly reviewed by the chief operating decision making body in the Company to make decisions for performance assessment and resource allocation. The reporting of segment information is the same as provided to the management for the purpose of the performance assessment and resource allocation to the segments.

q) Borrowing Costs

Borrowing costs directly attributable to the acquisition, construction or production of an asset that necessarily takes a substantial period of time to get ready for its intended use or sale are capitalised as part of the cost of the asset. All other borrowing costs are expensed in the period in which they occur. Borrowing costs consist of interest and other costs that an entity incurs in connection with the borrowing of funds. Borrowing costs also include exchange differences to the extent regarded as an adjustment to the borrowing costs.

r) Impairment of Non-Financial Assets

An asset is considered as impaired when at the date of Balance Sheet there are indications of impairment and the carrying amount of the asset exceeds its recoverable amount (i.e. the higher of the fair value less cost to sell and

value in use). The carrying amount is reduced to the recoverable amount and the reduction is recognized as an impairment loss in the Statement of Profit and Loss. The impairment loss recognized in the prior accounting period is reversed if there has been a change in the estimate of recoverable amount. Post impairment, depreciation is provided on the revised carrying value of the impaired asset over its remaining useful life.

s) Government Grants

Government grants are recognised where there is reasonable assurance that the grant will be received and all attached conditions will be complied with. When the grant relates to an expense item, it is recognised as income on a systematic basisovertheperiodsthatthe related costs, for which it is intended to compensate, are expensed. When the grant relates to an asset, it is treated as deferred income and released to the Statement of Profit and Loss over the expected useful lives of the assets concerned. When the Company receives grants of nonmonetary assets, the asset and the grant are recorded at fair value amounts and released to Statement of Profit and Loss over the expected useful life in a pattern of consumption of the benefit of the underlying asset. When loans or similar assistance are provided by governments or related institutions, with an interest rate below the current applicable market rate, the effect of this favourable interest is regarded as a government grant. The loan or assistance is initially recognised and measured at fair value and the government grant is measured as the difference between the initial carrying value of the loan and the proceeds received. The loan is subsequently measured as per the accounting policy applicable to financial liabilities.

t) Financial Instruments

A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of another entity.

(a) Financial Assets

(i) Initial recognition and measurement

All financial assets are recognised initially at fair value plus, in the case of financial assets not recorded at fair value through Statement of Profit and Loss, transaction costs that are attributable to the acquisition of the financial asset. Purchases or sales of financial assets that require delivery of assets within a time frame established

by regulation or convention in the market place (regular way trades) are recognised on the trade date, i.e., the date that the Company commits to purchase or sell the asset.

(ii) Subsequent measurement

Subsequent measurement of financial assets is described below -

a. Financial Assets (Debt instruments) at amortised cost

A ‘debt instrument’ is measured at the amortised cost if both the following conditions are met:

a) The asset is held within a business model whose objective is to hold assets for collecting contractual cash flows, and

b) Contractual terms of the asset give rise on specified dates to cash flows that are solely payments of principal and interest (SPPI) on the principal amount outstanding.

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

b. Debt instrument at FVTOCI

A ‘debt instrument’ is classified as at the FVTOCI if both of following criteria are met:

a) The objective of the business model is achieved both by collecting contractual cash flows and selling the financial assets, and

b) The asset’s contractual cash flows represent SPPI.

Debt instruments included within the FVTOCI category are measured

initially as well as at each reporting date at fair value. Fair value movements are recognized in the other comprehensive income (OCI).

However, the Company recognizes interest income, impairment losses & reversals and foreign exchange gain or loss in the Statement of Profit and Loss. On derecognition of the asset, cumulative gain or loss previously recognised in OCI is reclassified from the equity to Statement of Profit and Loss. Interest earned whilst holding FVTOCI debt instrument is reported as interest income using the EIR method.

c. Debt instrument at FVTPL

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

In addition, the Company may elect to designate a debt instrument, which otherwise meets amortized cost or FVTOCI criteria, as at FVTPL. However, such election is allowed only if doing so reduces or eliminates a measurement or recognition inconsistency (referred to as ‘accounting mismatch’). The Company has designated its investments in debt instruments as FVTPL. Debt instruments included within the FVTPL category are measured at fair value with all changes recognized in the Statement of Profit and Loss.

(iii) De-recognition

A financial asset (or, where applicable, a part of a financial asset or part of a group of similar financial assets) is primarily derecognised (i.e. removed from the Company’s balance sheet) when:

• The rights to receive cash flows from the asset have expired, or

• The Company has transferred its rights to receive cash flows from the asset or has assumed an obligation to pay the received cash flows in full without material delay to a third party under a ‘pass through’ arrangement; and either (a) the Company has transferred substantially all the risks

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

When the Company has transferred its rights to receive cash flows from an asset or has entered into a passthrough arrangement, it evaluates if and to what extent it has retained the risks and rewards of ownership. When it has neither transferred nor retained substantially all of the risks and rewards of the asset, nor transferred control of the asset, the Company continues to recognise the transferred asset to the extent of the Company’s continuing involvement. In that case, the Company also recognises an associated liability. The transferred asset and the associated liability are measured on a basis that reflects the rights and obligations that the Company has retained.

Continuing involvement that takes the form of a guarantee over the transferred asset is measured at the lower of the original carrying amount of the asset and the maximum amount of consideration that the Company could be required to repay.

(iv) Impairment of financial assets

In accordance with Ind AS 109, the Company applies expected credit loss (ECL) model for measurement and recognition of impairment loss on the financial assets that are debt instruments, and are measured at amortised cost e.g., loans, debt securities, deposits and trade receivables or any contractual right to receive cash or another financial asset.

Trade Receivables

A receivable is classified as a ‘trade receivable’ if it is in respect to the amount due from customers on account of goods sold or services rendered in the ordinary course of business.

The Company follows ‘simplified approach’ for recognition of impairment loss allowance on trade receivables. The application of simplified approach does not require the Company to track changes in credit risk. Rather, it recognises impairment loss allowance based on lifetime ECLs at each reporting date, right from its initial recognition.

I n other words, trade receivables are recognised initially at fair value and subsequently measured at amortised cost less expected credit loss, if any.

For recognition of impairment loss on other financial assets and risk exposure, the Company determines that whether there has been a significant increase in the credit risk since initial recognition. If credit risk has not increased significantly, 12-month ECL is used to provide for impairment loss. However, if credit risk has increased significantly, lifetime ECL is used. If, in a subsequent period, credit quality of the instrument improves such that there is no longer a significant increase in credit risk since initial recognition, the Company reverts to recognising impairment loss allowance based on 12-month ECL.

Lifetime ECL are the expected credit losses resulting from all possible default events over the expected life of a financial instrument. The 12-month ECL is a portion of the lifetime ECL which results from default events that are possible within 12 months after the reporting date.

ECL is the difference between all contractual cash flows that are due to the Company in accordance with the contract and all the cash flows that the entity expects to receive (i.e., all cash shortfalls), discounted at the original EIR.

ECL impairment loss allowance (or reversal) recognized during the period is recognized as income/ expense in the Statement of Profit and Loss. This amount is reflected under the head ‘other expenses’ in the Statement of Profit and Loss. The balance sheet presentation for various financial instruments is described below:

• Financial assets measured as at amortised cost: ECL is presented as an allowance, i.e., as an integral part of the measurement of those assets in the balance sheet. The allowance reduces the net carrying amount. Until the asset meets writeoff criteria, the Company does not reduce impairment allowance from the gross carrying amount.

• Debt instruments measured at FVTPL: Since financial assets are already reflected at fair value,

impairment allowance is not further reduced from its value. The change in fair value is taken to the statement of Profit and Loss.

• Debt instruments measured at

FVTOCI: Since financial assets are already reflected at fair value, impairment allowance is not further reduced from its value. Rather, ECL amount is presented as ‘accumulated impairment amount’ in the OCI.

For assessing increase in credit risk and impairment loss, the Company combines financial instruments on the basis of shared credit risk characteristics with the objective of facilitating an analysis that is designed to enable significant increases in credit risk to be identified on a timely basis.

The Company does not have any purchased or originated credit-impaired (POCI) financial assets, i.e., financial assets which are credit impaired on purchase/ origination.

(b) Financial liabilities

(i) Initial Recognition & Measurement

Financial liabilities are classified, at initial recognition, as financial liabilities at fair value through statement of Profit and Loss, loans and borrowings, payables, or as derivatives designated as hedging instruments in an effective hedge, as appropriate.

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

The Company’s financial liabilities include trade and other payables, loans and borrowings including bank overdrafts, financial

guarantee contracts and derivative financial instruments.

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

Financial liabilities at fair value through statement of Profit and Loss

Financial liabilities at fair value through statement of Profit and Loss include financial liabilities held for trading and financial liabilities designated upon initial recognition as at fair value

through statement of Profit and Loss. Financial liabilities are classified as held for trading if they are incurred for the purpose of repurchasing in the near term. This category also includes derivative financial instruments entered into by the Company that are not designated as hedging instruments in hedge relationships as defined by Ind AS 109. Separated embedded derivatives are also classified as held for trading unless they are designated as effective hedging instruments.

Gains or losses on liabilities held for trading are recognised in the statement of Profit and Loss. Financial liabilities designated upon initial recognition at fair value through statement of Profit and Loss are designated as such at the initial date of recognition, and only if the criteria in Ind AS 109 are satisfied.

For liabilities designated as FVTPL, fair value gains/ losses attributable to changes in own credit risk are recognized in OCI. These gains/ losses are not subsequently transferred to statement of Profit and Loss.

However, the Company may transfer the cumulative gain or loss within equity. All other changes in fair value of such liability are recognised in the statement of Profit and Loss. The Company has not designated any financial liability as at fair value through statement of Profit and Loss.

(ii) Loans and Borrowings

After initial recognition, interest-bearing loans and borrowings are subsequently measured at amortised cost using the effective interest rate (hereinafter referred as EIR) method. Gains and losses are recognized in statement of Profit and Loss when the liabilities are de-recognised as well as through the EIR amortisation process.

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

(iii) Buyers Credit

The Company enters into arrangements whereby financial institutions make direct payments to suppliers for raw

materials and project materials. The financial institutions are subsequently repaid by the Company at a later date providing working capital timing benefits. These are normally settled up to twelve months (for raw materials) and up to 36 months (for project materials). Where these arrangements are for raw materials with a maturity of up to twelve months, the economic substance of the transaction is determined to be operating in nature and these are recognised as operational buyers’ credit (under Trade and other payables). Where these arrangements are for project materials with a maturity up to 36 months, the economic substance of the transaction is determined to be financing in nature, and these are classified as projects buyers’ credit within borrowings in the statement of financial position.

(iv) Financial liabilities - De-recognition

A financial liability is de-recognised when the obligation under the liability is discharged or cancelled or expires. When an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as the derecognition of the original liability and the recognition of a new liability.

The difference in the respective carrying amounts is recognised in the statement of Profit and Loss.

(v) Offsetting of financial instruments

Financial assets and financial liabilities are offset and the net amount is reported in the balance sheet if there is a currently enforceable legal right to offset the recognised amounts and there is an intention to settle on a net basis, to realise the assets and settle the liabilities simultaneously. For more information on financial instruments Refer Note No. 53.

u) Investment in Subsidiaries, joint ventures and associates:

Subsidiary: A subsidiary is an entity controlled by the Company. Control exists when the Company has power over the entity, is exposed, or has rights to variable returns from its involvement with the entity and has the ability

to affect those returns by using its power over entity. Power is demonstrated through existing rights that give the Company the ability to direct relevant activities, those which significantly affect the entity’s returns.

Associate: Associate entities are entities, over which an investor exercises significant influence but not control. Significant influence is defined as power to participate in the financial or operating policy decisions of the investee but not control over the policies.

Company assumes that holding of 20% or more of the voting power of the investee (whether directly or indirectly) gives rise to significant influence, unless contrary evidences exist.

Joint arrangement: A joint venture is a type of joint arrangement whereby the parties that have joint control of the arrangement have rights to the net assets of the joint venture. Joint control is the contractually agreed sharing of control of an arrangement, which exists only when decisions about the relevant activities require unanimous consent of the parties sharing control.

v) Foreign currency transactions

(i) Initial Recognition

In the Standalone financial statements of the Company, transactions in currencies other than the functional currency are translated into the functional currency at the exchange rates ruling at the date of the transaction.

(ii) Conversion

Monetary assets and liabilities denominated in other currencies are translated into the functional currency at exchange rates prevailing on the reporting date. Non-monetary assets and liabilities denominated in other currencies and measured at historical cost or fair value are translated at the exchange rates prevailing on the dates on which such values were determined.

(iii) Exchange Differences

All exchange differences are included in the statement of Profit and Loss except any exchange differences on monetary items designated as an effective hedging instrument of the currency risk of designated forecasted sales or purchases, which are recognized in the other comprehensive income.

w) Dividend Distribution

Dividend Distribution / Annual dividend distribution to the shareholders is recognised as a liability in the period in which the dividends are approved by the shareholders. Any interim dividend paid is recognised on approval by Board of Directors. Dividend payable and corresponding tax on dividend distribution is recognised directly in equity.

x) Prior Period Items

Errors of material amounts relating to prior period(s) are disclosed by a note with nature of prior period errors, amount of correction of each such prior period presented retrospectively in the statement of Profit and Loss and balance sheet, to the extent practicable along with change in basic and diluted earnings per share. However, where retrospective restatement is not practicable for a particular period then the circumstances that lead to the existence of that condition and the description of how and from where the error is corrected are disclosed in Notes on Accounts.

y) Share Issue Expenses

I ncremental expenses directly attributable to the Initial Public Offer (“IPO”) and issuance of new equity shares are recognised in equity as a deduction from securities premium, net of applicable taxes, in accordance with the provisions of the Companies Act, 2013 and applicable Indian Accounting Standards.

z) Use of Estimates and Judgments

The preparation of the financial statements in conformity with Ind AS requires management to make judgements, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income, expenses and disclosures of contingent assets and liabilities at the date of these financial statements and the reported amounts of revenues and expenses for the years presented. Actual results may differ from these estimates under different assumptions and conditions.

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

In particular, information about significant areas of estimation uncertainty and critical judgments in applying accounting policies that have the most significant effect on the amounts recognized in the Standalone financial statements are elaborated in Note No. 4.

4A.

3. Material accounting policies

The Company has applied following accounting
policies to all periods presented in the
Standalone Financial Statement.

a) Property, Plant and Equipment [PPE]

(i) Definition

Property, plant and equipment are tangible
items that:

(a) are held for use in the production
or supply of goods or services, for
rental to others, or for administrative
purposes; and

(b) are expected to be used during more
than one period.

(ii) Recognition & initial measurement

Property, plant and equipment are
measured at cost less accumulated
depreciation and impairment losses, if any.

The initial cost of property, plant and
equipment comprises its purchase price,
including import duties and non-refundable
purchase taxes, attributable borrowing cost
and any other directly attributable costs of
bringing an asset to working condition and
location for its intended use. It also includes
the present value of the expected cost for
the decommissioning and removing of an
asset and restoring the site after its use, if the
recognition criteria for a provision are met.

(iii) Subsequent measurement
(depreciation and useful lives)

Assets in the course of development
or construction and freehold land are
not depreciated.

Other property, plant and equipment are
stated at cost less accumulated depreciation
and any provision for impairment.
Depreciation commences when the assets
are ready for their intended use.

Expenditure incurred after the property,
plant and equipment have been put into
operation, such as repairs and maintenance,
are normally charged to the statements of
profit and loss in the period in which the costs
are incurred. Major inspection and overhaul
expenditure is capitalized if the recognition
criteria are met When significant parts of plant
and equipment are required to be replaced
at intervals, the Company depreciates them
separately based on their specific useful
lives. Likewise, when a major inspection
is performed, its cost is recognised in the

carrying amount of the plant and equipment
as a replacement if the recognition criteria are
satisfied. All other repair and maintenance
costs are recognised in the statement of profit
and loss as incurred.

Depreciation is calculated on the
depreciable amount, which is the cost of an
asset less its residual value. Depreciation
is provided at rates calculated to write off
the cost, less estimated residual value, of
each asset on a written down value basis
over its expected useful life of the assets as
prescribed under Part C of Schedule II to the
Companies Act, 2013.

Depreciation on PPE sold, discarded or
demolished during the period, if any, is being
provided pro-rata up to the date on which
such PPE are sold, discarded or demolished.

Leasehold land & building and improvements
are amortized on the basis of duration and
other terms of lease.

When parts of an item of Property, Plant and
Equipment have different useful life, they
are accounted for as separate items (Major
components) and are depreciated over the
useful life respectively.

Right-of-use Assets (Land & Building
under operating Lease) is amortised on
a straight-line basis over the period of
respective lease term.

The residual values, useful lives and
methods of depreciation of PPE are
reviewed at the end of each financial
year considering the physical condition
of the PPE and benchmarking analysis or
whenever there are indicators for review of
residual value and useful life.

Items such as spare parts, stand-by
equipment and servicing equipment are
recognised in accordance with this Ind AS
when they meet the definition of property,
plant and equipment. Otherwise, such items
are classified as inventory. It is estimated
that spares having a value of more than
'' 2 lacs are assumed to qualify for the
definition of property plant equipment. Life
of the spares has been considered to be
18 months. Residual value of 5% has been
considered for all the spares capitalised.
The residual value of such spares is
transferred to the Statement of Profit and
Loss as and when they are consumed.

(iv) De-recognition

PPE are derecognised either when they
have been disposed of or when they are

permanently withdrawn from use and no
future economic benefit is expected from
their disposal. The difference between the net
disposal proceeds and the carrying amount
of the asset is recognised in the Statement of
Profit and Loss in the period of de-recognition.

b) Capital Work-in-Progress

Assets in the course of construction are
capitalized in capital work in progress
account. At the point when an asset is
capable of operating in the manner intended
by management, the cost of construction
is transferred to the appropriate category
of property, plant and equipment. Costs
associated with the commissioning of an asset
are capitalised when the asset is available
for use but incapable of operating at normal
levels until the period of commissioning has
been completed.

c) Intangible Assets

(i) Recognition and initial measurement

Intangible assets acquired are measured
on initial recognition at cost. Following initial
recognition, intangible assets are carried at
cost less any accumulated amortisation
and accumulated impairment losses.

(ii) Subsequent measurement &
amortization

The useful lives of intangible assets are
assessed as either finite or indefinite. The
Company currently does not have any
intangible assets with indefinite useful
life. Intangible assets are amortised over
the useful economic life and assessed for
impairment whenever there is an indication
that the intangible asset may be impaired.
The amortisation period and the amortisation
method for an intangible asset are reviewed
at least at the end of each reporting period.
Changes in the expected useful life or the
expected pattern of consumption of future
economic benefits embodied in the asset
are considered to modify the amortisation
period or method, as appropriate, and are
treated as changes in accounting estimates.
The amortisation expense on intangible
assets is recognised in the statement of profit
and loss unless such expenditure forms part
of carrying value of another asset.

(iii) De-recognition

Gains or losses arising from derecognition
of an intangible asset are measured as the
difference between the net disposal proceeds
and the carrying amount of the asset and are

recognised in the statement of profit and loss
when the asset is derecognised.

d) Investment Properties

(i) Recognition and initial measurement

Investment properties are properties held
to earn rentals or for capital appreciation, or
both. Investment properties are measured
initially at cost, including transaction
costs. The cost comprises purchase price,
borrowing cost if capitalisation criteria
are met and directly attributable cost of
bringing the asset to its working condition
for the intended use.

(ii) Subsequent measurement &
amortization

Subsequent costs are included in the
asset''s carrying amount or recognised
as a separate asset, as appropriate, only
when it is probable that future economic
benefits associated with the item will flow to
the Company.

Though the Company measures investment
property using cost based measurement,
the fair value of investment property is
disclosed in the notes. Fair values are
determined based on an annual evaluation
performed by an accredited external
independent valuer who holds a recognised
and relevant professional qualification
and has experience in the category of the
investment property being valued.

Investment properties are stated at cost
less accumulated depreciation and
accumulated impairment loss, if any,
subsequently. Depreciation is provided from
the date the assets are put to use, on written
down value method as per the useful life
of the assets as prescribed under Part C of
Schedule II of the Companies Act, 2013.

Depreciation on Investment Properties sold,
discarded or demolished during the period,
if any, is being provided pro-rata up to the
date on which such Investment Properties
are sold, discarded or demolished.

Leasehold land & Building and
improvements are amortised on the basis
of duration and other terms of lease.

The residual values, useful lives and methods
of depreciation of Investment Properties are
reviewed at the end of each financial year/
period considering the physical condition of
the Investment Properties and benchmarking
analysis or whenever there are indicators for
review of residual value and useful life.

(iii) De-recognition

Investment properties are derecognised
either when they have been disposed of
or when they are permanently withdrawn
from use and no future economic benefit is
expected from their disposal. The difference
between the net disposal proceeds and the
carrying amount of the asset is recognised in
the Statement of Profit and Loss in the period
of de-recognition.

e) Revenue Recognition

(i) Revenue from contract with customer is
recognised, when control of the goods or
services are transferred to the customer, at
an amount that reflects the consideration to
which the Company is expected to be entitled
in exchange for those goods or services.

(ii) Company generally follows mercantile
system of accounting and recognizes
significant items of incomes on accrual basis.
The revenues have been duly recognized
in accordance with the provisions of Indian
Accounting Standard - 115. However, some
of expenditures are accounted for on the
receipt of bill or invoice of the same which are
not material.

(iii) Revenue is measured at the fair value of
the consideration received or receivable,
net of discounts, volume rebates, outgoing
service tax, Goods & Service Tax (GST) and
other applicable indirect taxes.

(iv) Service tax / Goods & Service Tax (GST)
is not received by the Company on its
own account. Rather, it is tax collected on
value added to the services by the service
provider on behalf of the Government.
Accordingly, it is excluded from revenue.

(v) Revenue is recognized to the extent that it
is possible that the economic benefits will
flow to the company and the revenue can
be reliably measured with reliable certainty
of realizing the consideration.

(vi) Unbilled income represents the value
of services rendered but not yet been
invoiced on the reporting date due to
contractual terms.

f) Interest Income

Interest income is accrued on a time basis, by
reference to the principal outstanding and at
the effective interest rate applicable, which
is the rate that exactly discounts estimated
future cash receipts through the expected life of
the financial asset to that asset''s net carrying
amount on initial recognition.

Interest is accounted on accrual basis on
overdue receivables.

g) Dividend Income

Dividend income is recognized when the right to
receive dividend is established.

h) Leases

On March 30, 2019, ministry of corporate affairs
has notified Ind AS 116, Leases. Ind AS 116 will
replace the existing leases standard, Ind AS 17,
Leases, and related interpretations. The standard
sets out the principles for the recognition,
measurement, presentation and disclosure
of leases for both parties to a contract i.e., the
lessee and lessor. Ind AS 116 introduces a single
lessee accounting model and requires a lessee
to recognize assets and liabilities for all leases
with a term of more than 12 months, unless
the underlying asset is of low value. Currently,
operating lease expenses are charged to the
Statement of Profit and Loss. The standard also
contains enhanced disclosure requirements for
lessees. Ind AS 116 substantially carries forward
the lessor accounting requirements in Ind AS 17.

On completion of evaluation of the effect
of adoption of Ind AS 116, the Company is
using the ''Modified Retrospective Approach''
for transitioning to Ind AS 116 and took the
cumulative adjustment to retained earnings on
the date of initial application (April 1, 2019). The
Company as elected certain available practical
expedients on transition.

The Company has adopted Ind AS 116 ''Leases''
effective April 1, 2019 and applied the Standard
to its leases, pursuant to which it has reclassified
its leased asset as Right-of-Use Assets.

The determination of whether an arrangement is
(or contains) a lease is based on the substance
of the arrangement at the inception of the
lease. The arrangement is, or contains, a lease
if fulfilment of the arrangement is dependent
on the use of a specific asset or assets and the
arrangement conveys a right to use the asset or
assets, even if that right is not explicitly specified
in an arrangement.

A lease is classified at the inception date as a
finance lease or an operating lease. A lease that
transfers substantially all the risks and rewards
incidental to ownership to the Company is
classified as a finance lease.

(i) Company as a lessee

The Company''s lease asset classes primarily
consist of leases for land and building. The
Company, at the inception of a contract,
assesses whether the contract is a lease

or not a lease. A contract is, or contains, a
lease if the contract conveys the right to
control the use of an identified asset for a
time in exchange for a consideration. This
policy has been applied to contract existing
and entered into on or after April 1, 2019.The
Company has elected not to recognise
Right-of-use Assets and lease liabilities for
short-term leases that have a lease term of
12 months or less and leases of low-value
assets. The Company recognises the lease
payments associated with these leases as
an expense over the lease term.

The Company recognises a Right-of-use
Asset and a lease liability at the lease
commencement date. The Right-of-use
asset is initially measured at cost, which
comprises the initial amount of the lease
liability adjusted for any lease payments
made at or before the commencement
date, plus any initial costs incurred.
The Right-of-use Asset is subsequently
depreciated using the straight-line method
from the commencement date to the
end of the lease term. The lease liability is
initially measured at the present value of
the lease payments that are not paid at the
commencement date, discounted using
the Company''s incremental borrowing
rate. Subsequently, lease liabilities are
measured on amortised cost basis. In the
comparative period, lease payments under
operating leases are recognised as an
expense in the Statement of Profit and Loss
over the lease term.

The weighted average incremental
borrowing rate applied to lease liabilities as
at April 1, 2019 is 8.00% p.a.

(ii) Company as a lessor

Assets given under operating leases are
included in investment properties. Lease
income is recognised in the Statement of
Profit and Loss on straight line basis over the
lease term, unless there is another systematic
basis which is more representative of the
time pattern of the lease.

Initial direct costs incurred in negotiating
and arranging an operating lease are
added to the carrying amount of the leased
asset and recognised over the lease term
on the same basis as rental income.

Lease deposits received are financial
instruments (financial liability) and need
to be measured at fair value on initial
recognition. The difference between
the fair value and the nominal value of

deposits is considered as rent in advance
and recognised over the lease term on a
straight-line basis. Unwinding of discount is
treated as interest expense (finance cost)
for deposits received and is accrued as per
the EIR method.

i) Cash & Cash Equivalents

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

For the purpose of the statement of cash flows,
cash and cash equivalents consist of cash at
banks, cash in hand and short-term deposits,
as defined above.

j) Taxation

(i) Current income tax

Current income tax assets and liabilities
are measured at the amount expected to
be recovered from or paid to the taxation
authorities. The tax rates and tax laws used
to compute the amount are those that are
enacted or substantively enacted, at the
reporting date.

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

(ii) Deferred tax

Deferred tax is provided using the liability
method on temporary differences between
the tax bases of assets and liabilities
and their carrying amounts for financial
reporting purposes at the reporting date.
Deferred tax liabilities are recognised for all
taxable temporary differences, except when
it is probable that the temporary differences
will not reverse in the foreseeable future.

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

and the carry forward of unused tax credits
and unused tax losses can be utilized.

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

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

Deferred tax relating to items recognised
outside profit or loss is recognised outside
profit or loss (either in other comprehensive
income or in equity). Deferred tax items are
recognised in correlation to the underlying
transaction either in OCI or directly in equity.

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

(iii) Sales Tax/ GST / VAT

Sales/ value added taxes paid on
acquisition of assets or on incurring
expenses are recognised net of the amount
of sales/ value added taxes paid, except:

• When the tax incurred on a purchase
of assets or services is not recoverable
from the taxation authority, in which
case, the tax paid is recognised as
part of the cost of acquisition of the
asset or as part of the expense item,
as applicable.

• When receivables and payables are
stated with the amount of tax included,
the net amount of tax recoverable from,
or payable to, the taxation authority

is included as part of receivables or
payables in the balance sheet.

k) Inventories

Finished Goods-

Finished goods are valued at lower of cost or net
realisable value. Cost includes direct materials

and labour and a portion of manufacturing
overhead based on normal operating capacity.
Net realisable value is the estimated selling
price in the ordinary course of business, less
estimated costs of completion and estimated
costs necessary to make the sale. Finished
Goods are measured at First In First Out basis.

Raw Materials, WIP and Stores & Spares-

Raw materials, components, stores and spares
and work-in progress are valued at lower or cost
and net realizable value. However, materials
and other items held for use in the production
of inventories are not written down below cost
if the finished products in which they will be
incorporated are expected to be sold at or
above cost. Cost of raw materials, components,
stores and spares is determined on FIFO basis.
Cost of Work in Progress is measured at First In
First Out Basis.

Capital spares that qualifies the criteria of
property, plant and equipment are recognised
as PPE. Accordingly, the company has capitalized
spares having useful life of more than 12 months
and corresponding depreciation is charged
on them.

Stock-in-Trade

Inventories being stock-in-trade are valued at
the lower of cost and net realisable value.

Cost of these inventories are determined on First
In First Out basis.

l) Employee Benefits

(i) Short-term employee benefits

Employee benefits payable wholly within
twelve months of receiving employee
services are classified as short-term
employee benefits. These benefits include
salaries and wages, performance incentives
and compensated absences which are
expected to occur in next twelve months.
The undiscounted amount of short-term
employee benefits to be paid in exchange
for employee services is recognised as an
expense as the related service is rendered
by employees.

(ii) Post-employment benefits -

(a) Defined benefit plans - Gratuity

The Company has a defined benefit
plan (the "Gratuity Plan"). The Gratuity
Plan provides a lump sum payment to
employees who have completed five

years or more of service at retirement,
disability or termination of employment,
being an amount based on the
respective employee''s last drawn salary
and number of years of employment
with Company. Presently the Company''s
gratuity plan is unfunded.

The present value of the defined
benefit obligation is determined by
discounting the estimated future cash
outflows by reference to market yields
at the end of the reporting period on
government bonds that have terms
approximating to the terms of the
related obligation. The net interest cost
is calculated by applying the discount
rate to the net balance of the defined
benefit obligation and the fair value of
plan assets if any. This cost is included
in employee benefit expense in the
statement of profit and loss.

The liability or asset recognised in the
balance sheet in respect of gratuity
plan is the present value of the defined
benefit obligation at the end of the
reporting period less the fair value of
plan assets if any. The defined benefit
obligation is calculated annually by
actuaries using the projected unit
credit method.

Re-measurement gains and losses
arising from experience adjustments
and changes in actuarial assumptions
are recognised in the period in which they
occur, directly in other comprehensive
income and are never reclassified to
profit or loss. Changes in the present
value of the defined benefit obligation
resulting from plan amendments
or curtailments are recognised
immediately in the statement of profit
and loss as past service cost.

(b) Defined Contribution Plans - Provident
Fund and Employee State Insurance

Provident Fund, Pension Fund &
Employee State Insurance (ESI) are
defined contribution schemes as
per applicable rules/statute and
contribution made to the Provident
Fund Trust, Regional Provident Fund
Commissioner and Employee State
Insurance Fund respectively are
charged to the Statement of Profit
and Loss.

(iii) Employee Share based payments

Share Based Payments Equity-settled
share-based payments to employees of
the Group are measured at the fair value
of the equity instruments at the grant
date. Details regarding the determination
of the fair value of equity-settled share-
based payments transactions are set out in
Note 60.

The fair value determined at the grant
date of the equity-settled share-based
payments is expensed on a straight¬
line basis over the vesting period, based
on the Company''s estimate of equity
instruments that will eventually vest, with
a corresponding increase in equity. At the
end of each reporting period, the Company
revises its estimate of the number of equity
instruments expected to vest. The impact
of the revision of the original estimates,
if any, is recognised in Statement of
Profit and Loss such that the cumulative
expenses reflect the revised estimate, with
a corresponding adjustment to the Share
Based Payments Reserve.

The dilutive effect of outstanding options is
reflected as additional share dilution in the
computation of diluted earnings per share.

In case of Group equity-settled share-
based payment transactions, where
the Company grants stock options to
the employees of its subsidiary, the
Company has accounted cost of share-
based payment as recoverable from the
subsidiary under intragroup repayment
arrangement with a corresponding credit
in the equity.

m) Earning Per Share

i) Company presents basic and diluted
earnings per share ("EPS") data for its
equity shares. Basic EPS is calculated by
dividing the profit and loss attributable to
equity shareholders of the Company by the
weighted average number of equity shares
outstanding during the period.

ii) Diluted EPS is determined by adjusting
the profit and loss attributable to equity
shareholders and the weighted average
number of equity shares outstanding for the
effects of all dilutive potential equity shares.

3. MATERIAL ACCOUNTING POLICIES

The Company has applied following accounting policies to all periods presented in the Standalone
Financial Statement.

a) Property, Plant and Equipment [PPE]

(i) Definition

Property, plant and equipment are tangible items that:

(A) are held for use in the production or supply of goods or services, for rental to others, or for
administrative purposes; and

(B) are expected to be used during more than one period.

(ii) Recognition & Initial Measurement

Property, plant and equipment are measured at cost less accumulated depreciation and
impairment losses, if any.

The initial cost of property, plant and equipment comprises its purchase price, including import
duties and non-refundable purchase taxes, attributable borrowing cost and any other directly
attributable costs of bringing an asset to working condition and location for its intended use. It
also includes the present value of the expected cost for the decommissioning and removing of an
asset and restoring the site after its use, if the recognition criteria for a provision are met.

(iii) Subsequent Measurement (depreciation and useful lives)

Assets in the course of development or construction and freehold land are not depreciated.

Other property, plant and equipment are stated at cost less accumulated depreciation and any
provision for impairment. Depreciation commences when the assets are ready for their intended

use.

Expenditure incurred after the property, plant and equipment have been put into operation, such
as repairs and maintenance, are normally charged to the statements of profit and loss in the period
in which the costs are incurred. Major inspection and overhaul expenditure is capitalized if the
recognition criteria are met When significant parts of plant and equipment are required to be
replaced at intervals, the Company depreciates them separately based on their specific useful
lives. Likewise, when a major inspection is performed, its cost is recognised in the carrying
amount of the plant and equipment as a replacement if the recognition criteria are satisfied. All
other repair and maintenance costs are recognised in the statement of profit and loss as incurred.

Depreciation is calculated on the depreciable amount, which is the cost of an asset less its
residual value. Depreciation is provided at rates calculated to write off the cost, less estimated
residual value, of each asset on a written down value basis over its expected useful life of the
assets as prescribed under Part C of Schedule II to the Companies Act, 2013.

Depreciation on PPE sold, discarded or demolished during the year, if any, is being provided pro¬
rata up to the date on which such PPE are sold, discarded or demolished.

Leasehold land & building and improvements are amortized on the basis of duration and other
terms of lease.

When parts of an item of Property, Plant and Equipment have different useful life, they are
accounted for as separate items (Major components) and are depreciated over the useful life
respectively.

Right-of-use Assets (Land & Building under operating Lease) is amortised on a straight-line basis
over the period of respective lease term.

The residual values, useful lives and methods of depreciation of PPE are reviewed at the end of
each financial year considering the physical condition of the PPE and benchmarking analysis or
whenever there are indicators for review of residual value and useful life.

Items such as spare parts, stand-by equipment and servicing equipment are recognised in
accordance with this Ind AS when they meet the definition of property, plant and equipment.
Otherwise, such items are classified as inventory. It is estimated that spares having a value of
more than Rs. 2 lacs are assumed to qualify for the definition of property plant equipment. Life of
the spares has been considered to be 18 months. Residual value of 5% has been considered for
all the spares capitalised. The residual value of such spares is transferred to the Statement of
Profit and Loss as and when they are consumed.

(iv) De-recognition

PPE are derecognised either when they have been disposed of or when they are permanently
withdrawn from use and no future economic benefit is expected from their disposal. The
difference between the net disposal proceeds and the carrying amount of the asset is recognised
in the Statement of Profit and Loss in the period of de-recognition.

b) Capital Work-in-Progress

Assets in the course of construction are capitalized in capital work in progress account. At the point
when an asset is capable of operating in the manner intended by management, the cost of construction
is transferred to the appropriate category of property, plant and equipment. Costs associated with the
commissioning of an asset are capitalised when the asset is available for use but incapable of operating
at normal levels until the period of commissioning has been completed.

c) Intangible Assets

(i) Recognition and initial measurement

Intangible assets acquired are measured on initial recognition at cost. Following initial
recognition, intangible assets are carried at cost less any accumulated amortisation and
accumulated impairment losses.

(ii) Subsequent Measurement & Amortization

The useful lives of intangible assets are assessed as either finite or indefinite. The Company
currently does not have any intangible assets with indefinite useful life. Intangible assets are
amortised over the useful economic life and assessed for impairment whenever there is an
indication that the intangible asset may be impaired. The amortisation period and the amortisation
method for an intangible asset are reviewed at least at the end of each reporting period. Changes
in the expected useful life or the expected pattern of consumption of future economic benefits
embodied in the asset are considered to modify the amortisation period or method, as appropriate,
and are treated as changes in accounting estimates. The amortisation expense on intangible
assets is recognised in the statement of profit and loss unless such expenditure forms part of
carrying value of another asset.

(iii) De-recognition

Gains or losses arising from derecognition of an intangible asset are measured as the difference
between the net disposal proceeds and the carrying amount of the asset and are recognised in
the statement of profit and loss when the asset is derecognised.

d) Investment Properties

(i) Recognition and initial measurement

Investment properties are properties held to earn rentals or for capital appreciation, or both.
Investment properties are measured initially at cost, including transaction costs. The cost
comprises purchase price, borrowing cost if capitalisation criteria are met and directly attributable
cost of bringing the asset to its working condition for the intended use.

(ii) Subsequent Measurement & Amortization

Subsequent costs are included in the asset''s carrying amount or recognised as a separate asset,
as appropriate, only when it is probable that future economic benefits associated with the item
will flow to the Company.

Though the Company measures investment property using cost based measurement, the fair value
of investment property is disclosed in the notes. Fair values are determined based on an annual
evaluation performed by an accredited external independent valuer who holds a recognised and
relevant professional qualification and has experience in the category of the investment property
being valued.

Investment properties are stated at cost less accumulated depreciation and accumulated
impairment loss, if any, subsequently. Depreciation is provided from the date the assets are put
to use, on written down value method as per the useful life of the assets as prescribed under Part
C of Schedule II of the Companies Act, 2013

Depreciation on Investment Properties sold, discarded or demolished during the year, if any, is
being provided pro-rata up to the date on which such Investment Properties are sold, discarded or
demolished.

Leasehold land & Building and improvements are amortised on the basis of duration and other
terms of lease.

The residual values, useful iives and methods of depreciation of Investment Properties are
reviewed at the end of each financial year considering the physical condition of the Investment
Properties and benchmarking analysis or whenever there are indicators for review of residual
value and useful life.

Investment properties are derecognised either when they have been disposed of or when they are
permanently withdrawn from use and no future economic benefit is expected from their disposal.
The difference between the net disposal proceeds and the carrying amount of the asset is
recognised in the Statement of Profit and Loss in the period of de-recognition.

e) Revenue Recognition

(i) Revenue from contract with customer is recognised, when control of the goods or services are
transferred to the customer, at an amount that reflects the consideration to which the Company
is expected to be entitled in exchange for those goods or services.

(ii) Company generally follows mercantile system of accounting and recognizes significant items of
incomes on accrual basis. The revenues have been duly recognized in accordance with the
provisions of Indian Accounting Standard - 115. However, some of expenditures are accounted
for on the receipt of bill or invoice of the same which are not material.

(iii) Revenue is measured at the fair value of the consideration received or receivable, net of discounts,
volume rebates, outgoing service tax, Goods & Service Tax (GST) and other applicable indirect
taxes.

(iv) Service tax / Goods & Service Tax (GST) is not received by the Company on its own account.
Rather, it is tax collected on value added to the services by the service provider on behalf of the
Government. Accordingly, it is excluded from revenue.

(v) Revenue is recognized to the extent that it is possible that the economic benefits will flow to the
company and the revenue can be reliably measured with reliable certainty of realizing the
consideration.

(vi) Unbilled income represents the value of services rendered but not yet been invoiced on the
reporting date due to contractual terms.

f) Interest Income

Interest income is accrued on a time basis, by reference to the principal outstanding and at the effective
interest rate applicable, which is the rate that exactly discounts estimated future cash receipts through
the expected life of the financial asset to that asset''s net carrying amount on initial recognition.

Interest is accounted on accrual basis on overdue receivables.

g) Dividend Income

Dividend income is recognized when the right to receive dividend is established.

h) Leases

On March 30,2019, ministry of corporate affairs has notified Ind AS 116, Leases. Ind AS 116 will replace
the existing leases standard, Ind AS 17, Leases, and related interpretations. The standard sets out the
principles for the recognition, measurement, presentation and disclosure of leases for both parties to a

contract i.e., the lessee and lessor. Ind AS 116 introduces a single lessee accounting model and requires
a lessee to recognize assets and liabilities for all leases with a term of more than 12 months, unless the
underlying asset is of low value. Currently, operating lease expenses are charged to the Statement of
Profit and Loss. The standard also contains enhanced disclosure requirements for lessees. Ind AS 116
substantially carries forward the lessor accounting requirements in Ind AS 17.

On completion of evaluation of the effect of adoption of Ind AS 116, the Company is using the ''Modified
Retrospective Approach’ for transitioning to Ind AS 116 and took the cumulative adjustment to retained
earnings on the date of initial application (April 1, 2019). The Company as elected certain available
practical expedients on transition.

The Company has adopted Ind AS 116 ''Leases’ effective April 1, 2019 and applied the Standard to its
leases, pursuant to which it has reclassified its leased asset as Right-of-Use Assets.

The determination of whether an arrangement is (or contains) a lease is based on the substance of the
arrangement at the inception of the lease. The arrangement is, or contains, a lease if fulfilment of the
arrangement is dependent on the use of a specific asset or assets and the arrangement conveys a right
to use the asset or assets, even if that right is not explicitly specified in an arrangement.

A lease is classified at the inception date as a finance lease or an operating iease. A lease that transfers
substantially all the risks and rewards incidental to ownership to the Company is classified as a finance
lease.

(i) Company as a lessee

The Company’s lease asset classes primarily consist of leases for land and building. The Company,
at the inception of a contract, assesses whether the contract is a lease or not a lease. A contract
is, or contains, a lease if the contract conveys the right to control the use of an identified asset for
a time in exchange for a consideration. This policy has been applied to contract existing and entered
into on or after April 1,2019.The Company has elected not to recognise Right-of-use Assets and
lease liabilities for short-term leases that have a lease term of 12 months or less and leases of low-
value assets. The Company recognises the lease payments associated with these leases as an
expense over the lease term.

The Company recognises a Right-of-use Asset and a lease liability at the lease commencement
date. The Right-of-use asset is initially measured at cost, which comprises the initial amount of the
lease liability adjusted for any lease payments made at or before the commencement date, plus any
initial costs incurred. The Right-of-use Asset is subsequently depreciated using the straight-iine
method from the commencement date to the end of the lease term. The lease liability is initially
measured at the present value of the lease payments that are not paid at the commencement date,
discounted using the Company’s incremental borrowing rate. Subsequently, lease liabilities are
measured on amortised cost basis. In the comparative period, lease payments under operating
leases are recognised as an expense in the Statement of Profit and Loss over the iease term.

The weighted average incremental borrowing rate applied to lease liabilities as at April 1,2019 is
8% p.a.

Assets given under operating leases are included in investment properties. Lease income is
recognised in the Statement of Profit and Loss on straight line basis over the lease term, unless
there is another systematic basis which is more representative of the time pattern of the lease.

Initial direct costs incurred in negotiating and arranging an operating lease are added to the carrying
amount of the leased asset and recognised over the lease term on the same basis as rental income.

Lease deposits received are financial instruments (financial liability) and need to be measured at
fair value on initial recognition. The difference between the fair value and the nominal value of
deposits is considered as rent in advance and recognised over the lease term on a straight-line
basis. Unwinding of discount is treated as interest expense (finance cost) for deposits received and
is accrued as per the EIR method.

i) Cash & Cash Equivalents

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

For the purpose of the statement of cash flows, cash and cash equivalents consist of cash at banks,
cash in hand and short-term deposits, as defined above.

j) Taxation

(i) Current income tax

Current income tax assets and liabilities are measured at the amount expected to be recovered from
or paid to the taxation authorities. The tax rates and tax laws used to compute the amount are those
that are enacted or substantively enacted, at the reporting date.

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

(ii) Deferred tax

Deferred tax is provided using the liability method on temporary differences between the tax bases
of assets and liabilities and their carrying amounts for financial reporting purposes at the reporting
date. Deferred tax liabilities are recognised for all taxable temporary differences, except when it is
probable that the temporary differences will not reverse in the foreseeable future.

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

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

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

Deferred tax relating to items recognised outside profit or loss is recognised outside profit or loss
(either in other comprehensive income or in equity). Deferred tax items are recognised in correlation

to the underlying transaction either in OC! or directly in equity.

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

(iii) Sales Tax/GST/VAT

Sales/ value added taxes paid on acquisition of assets or on incurring expenses are recognised net
of the amount of sales/ value added taxes paid, except:

^D When the tax incurred on a purchase of assets or services is not recoverable from the
taxation authority, in which case, the tax paid is recognised as part of the cost of acquisition
of the asset or as part of the expense item, as applicable.

° When receivables and payables are stated with the amount of tax included, the net amount
of tax recoverable from, or payable to, the taxation authority is included as part of
receivables or payables in the balance sheet.

k) Inventories
Finished Goods-

Finished goods are valued at lower of cost or net realisable value. Cost includes direct materials and
labour and a portion of manufacturing overhead based on normal operating capacity.Net realisable value
is the estimated selling price in the ordinary course of business, less estimated costs of completion and
estimated costs necessary to make the sale. Finished Goods are measured at First In First Out basis.

Raw Materials, WIP and Stores & Spares-

Raw materials, components, stores and spares and work-in progress are valued at cost. However,
materials and other items held for use in the production of inventories are not written down below cost
if the finished products in which they will be incorporated are expected to be sold at or above cost. Cost
of raw materials, components, stores and spares is determined on FIFO basis. Cost of Work in Progress
is measured at First In First Out Basis.

Capital spares that qualifies the criteria of property, plant and equipment are recognised as PPE.
Accordingly, the company has capitalized spares having useful life of more than 12 months and
corresponding depreciation is charged on them."

Stock-in-Trade

Inventories being stock-in-trade are valued at the lower of cost and net realisable value.

Cost of these inventories are determined on First In First Out basis.

I) Employee Benefits

(i) Short-term employee benefits

Employee benefits payable wholly within twelve months of receiving employee services are
classified as short-term employee benefits. These benefits include salaries and wages,
performance incentives and compensated absences which are expected to occur in next twelve
months. The undiscounted amount of short-term employee benefits to be paid in exchange for
employee services is recognised as an expense as the related service is rendered by employees.

(ii) Post-employment benefits -

(a) Defined benefit plans - Gratuity

The Company has a defined benefit plan (the "Gratuity Plan"). The Gratuity Plan provides a
lump sum payment to employees who have completed five years or more of service at
retirement, disability or termination of employment, being an amount based on the respective
employee’s last drawn salary and number of years of employment with Company. Presently
the Company’s gratuity plan is unfunded.

The present value of the defined benefit obligation is determined by discounting the estimated
future cash outflows by reference to market yields at the end of the reporting period on
government bonds that have terms approximating to the terms of the related obligation. The
net interest cost is calculated by applying the discount rate to the net balance of the defined
benefit obligation and the fair value of plan assets if any. This cost is included in employee
benefit expense in the statement of profit and loss.

The liability or asset recognised in the balance sheet in respect of gratuity plan is the present
value of the defined benefit obligation at the end of the reporting period less the fair value of
plan assets if any. The defined benefit obligation is calculated annually by actuaries using the
projected unit credit method.

Re-measurement gains and losses arising from experience adjustments and changes in
actuarial assumptions are recognised in the period in which they occur, directly in other
comprehensive income and are never reclassified to profit or loss. Changes in the present
value of the defined benefit obligation resulting from plan amendments or curtailments are
recognised immediately in the statement of profit and loss as past service cost.

(b) Defined Contribution Plans - Provident Fund and Employee State Insurance

Provident Fund, Pension Fund & Employee State Insurance (ESI) are defined contribution
schemes as per applicable rules/statute and contribution made to the Provident Fund Trust,
Regional Provident Fund Commissioner and Employee State Insurance Fund respectively are
charged to the Statement of Profit and Loss.

(iii) Long-term Employee Benefits:-

Long-term employee benefits Compensated absences which are not expected to occur within
twelve months after the end of the period in which the employee renders the related service are
recognised as a liability at the present value of the obligation as at the Balance Sheet date. The cost
of providing benefits is determined using the projected unit credit method, with actuarial valuations
being carried out at each Balance Sheet date. Actuarial gains and losses are recognised in the
Statement of Profit and Loss in the period in which they occur.

m) Earning Per Share

i) Company presents basic and diluted earnings per share (''EPS'') data for its equity shares. Basic EPS
is calculated by dividing the profit and loss attributable to equity shareholders of the Company by the
weighted average number of equity shares outstanding during the period.

ii) Diluted EPS is determined by adjusting the profit and loss attributable to equity shareholders and the
weighted average number of equity shares outstanding for the effects of all dilutive potential equity
shares.