i) Provisions, Contingent Liabilities and Contingent Assets:
Provisions involving substantial degree of estimation in measurement are recognized when there
is a present obligation as a result of past events and it is probable that there will be an outflow
of resources.
When the Company expects part or entire provision to be reimbursed, the same is recognized as
a separate asset, but only when the reimbursement is virtually certain. The expense relating to
a provision is presented in the statement of profit and loss net of any reimbursement. If the
effect of the time value of money is material, provisions are discounted using a current pre-tax
rate that reflects, when appropriate, the risks specific to the liability. When discounting is used,
the increase in the provision due to the passage of time is recognized as a finance cost.
A Contingent Liability is a possible obligation that arises from past events and the existence of
which will be confirmed only by the occurrence or non-occurrence of one or more uncertain
future events not wholly within the control of enterprise or a present obligation that arises from
past events that may, but probably will not, require an outflow of resources.
Both provisions and contingent liabilities are reviewed at each Balance Sheet date and adjusted
to reflect the current best estimates. Contingent Liabilities are not recognized but are disclosed
in the notes. Contingent assets are neither recognized nor disclosed in the Financial Statements.
j) Earnings Per Share:
Basic Earnings Per Share is calculated by dividing the net profit or loss for the year attributable
to equity shareholders by the weighted average number of equity shares outstanding during the
year. The weighted average numbers of equity shares outstanding during the year are adjusted
for events including a bonus issue, bonus element in right issue to existing shareholders, share
split, and reverse share split (consolidation of shares).
For the purpose of calculating diluted earnings per share, the net profit or loss for the year
attributable to equity shareholders and the weighted average number of equity shares
outstanding during the year are adjusted for the effects of all dilutive potential equity shares.
k) Cash and Cash Equivalent:
Cash and cash equivalent for the purpose of Cash Flow Statement comprise cash at bank and in
hand.
l) Statement of Cash Flow:
Cash flows are reported using the indirect method, 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.
m) Segment Reporting:
Operating segments are reported in a manner consistent with the internal reporting provided to
the chief operating decision maker.
The Board of Directors of the Company has been identified as being the Chief Operating
Decision Maker (CODM) by the management of the Company. The Company has single
reportable segments. However the Company has no separate reportable segment.
n) Significant Accounting Judgements, Estimates and Assumptions:
The preparation of Financial Statements is in conformity with the recognition and measurement
principles of Ind AS which requires the management to make judgements for estimates and
assumptions that affect the amounts of assets, liabilities and the disclosure of contingent
liabilities on the reporting date and the amounts of revenues and expenses during the reporting
period and the disclosure of contingent liabilities. Differences between actual results and
estimates are recognized in the period in which the results are known/ materialize.
i) Estimation of current tax expense and deferred tax:
The calculation of the Company's tax charge necessarily involves a degree of estimation and
judgment in respect of certain items whose tax treatment cannot be finally determined until
resolution has been reached with the relevant tax authority or, as appropriate, through a formal
legal process. The final resolution of some of these items may give rise to material profits/losses
and/or cash flows. Significant judgments are involved in determining the provision for income
taxes, including amount expected to be paid/recovered for uncertain tax positions.
ii) Recognition of deferred tax assets/ liabilities:
The recognition of deferred tax assets/liabilities is based upon whether it is more likely than not
that sufficient and suitable taxable profits will be available in the future against which the
reversal of temporary differences can be deducted. To determine the future taxable profits,
reference is made to the latest available profit forecasts.
iii) Estimated fair value of Financial Instruments:
The fair value of financial instruments that are not traded in an active market is determined
using valuation techniques. The Management uses its judgment to select a variety of methods
and make assumptions that are mainly based on market conditions existing at the end of each
reporting period.
* Corporate Action for forfeiture of shares completed during the year. Accordingly the said shares have been
removed from the paid up share capital of the company
During the year, the Company has issued 8,62,500 Shares at a price of ^32 per share (comprisin g ^10 face value
and ^22 premium) amounting to ^2,76,00,000 (Rupees Two Crores Seventy-Six Lakhs only) on cash basis.
Additionally, the Company has issued 76,00,500 equity shares at an issue price of ^32 per share (comprising
^10 face value and ^22 premium), aggregating to ^24,32,16,000, on a non-cash basis by way of share swap.
Accordingly company has received 50,67,000 equity shares of M/s CNX Corporation Limited ("CCL"), having a
face value of ^10 each and at a price of ^48 per share. The above preferential allotments were made on March
12, 2025, and March 24, 2025.
Note 20: Other Notes to Accounts
I. Related Party Information & Transactions with Related Parties:
The Company has not entered into any related party transactions during the financial year 2024¬
2025.
II. Segment Reporting:
The Company has no separate reporting segment.
III. Financial Instrument:
The significant accounting policies, including the criteria of recognition, the basis of
measurement and the basis on which income and expenses are recognized, in respect of each
class of financial asset, financial liability, and equity instrument are disclosed in note 2.2 of the
Ind-AS Financial Statement.
Fair Value Hierarchy
The fair value hierarchy is based on inputs to valuation techniques that are used
to measure fair value that are either observable or unobservable and consist of
the following three levels:
Levell: Inputs are quoted prices (unadjusted) inactive markets for identical assets and
liabilities.
Level 2: Inputs are other than quoted prices included within level 1 that are
observable for the asset or liability either directly (i.e. prices) or indirectly
(i.e. derived from prices).
Level 3: Inputs are not based on observable market data unobservable inputs.
Fair value are determined in whole or in part using a valuation model based
on assumptions that are neither supported by prices from observable
current market transactions in the same instrument nor are they based on
available market data.
The following table summarizes financial assets and liabilities measured at fair
value on a recurring basis and financial assets that are not measured on fair value
on recurring basis (but fair value disclosures are required)
Notes referred to above form part of Balance Sheet
As per our report of even date attached. For and on behalf of the Board
For Laxmikant Kabra & Co. LLP
Chartered Accountants
Firm Registration No. : 117183W/ W100736
Sd- Sd-
Dinesh Notiyal Prakash shah
(Director) (Director)
Sd- DIN: 10289995 DIN: 01136800
CA Siddhant Kabra
Partner
Membership No.: 193348
UDIN: 25193348BMHXXY6805 Sd-
Place: Mumbai Jayesh Ramchandra Patil
Date: 26th May, 2025 (Chief Finance Officer)
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