Esha Media Research Ltd. कंपली की लेखा नीति

Mar 31, 2025

2.1 Basis of preparation

a) Statement of Compliance

The financial statements of the Company have been prepared in accordance with Indian
Accounting Standards (Ind AS) notified under Section 133 of the Companies Act, 2013 (''the Act'')
read with the Companies (Indian Accounting Standards) Rules, 2015 as amended from time to
time and other relevant provisions of the Act, as applicable.

Accounting policies have been consistently applied except where a newly issued accounting
standard is initially adopted or a revision to an existing accounting standard requires a change
in the accounting policy hitherto in use.

b) Functional and presentation currency

Items included in the financial statements of the Company are measured using the currency of
the primary economic environment in which the entity operates (''the functional currency''). The
financial statements are prepared in Indian rupees (INR) which is the functional and presentation
currency.

c) Basis of measurement

The financial statements have been prepared under historical cost convention basis, except for
the following material items which are measured at fair value as required by relevant Ind AS:

i) Certain financial assets and financial liabilities

ii) Defined benefit plans

2.2 Material Accounting policies

a) Presentation and disclosure of financial statements

All assets and liabilities have been classified as current and non-current as per the Company''s
normal operating cycle and other criteria set out in the division II of Schedule III of the
Companies Act, 2013, for a Company whose financial statements are made in compliance with
the Companies (Indian Accounting Standards) Rules, 2015 and relevant amendment rules issued
thereafter. Based on the nature of business and their realization in cash and cash equivalents,
12 months have been considered by the Company for the purpose of current / non-current
classification of assets and liabilities. .^u''Ss

Deferred tax assets and liabilities are classified as non-current assets and liabilities as the case
may be.

b) Property, plant and equipment & Depreciation

i) All Property, Plant and Equipment are stated at cost of acquisition less accumulated
depreciation and accumulated impairment losses, if any. Cost of property, plant and
equipment includes non-refundable taxes and duties, borrowing cost directly attributable
to the qualifying asset and any directly attributable costs of bringing the asset to its working
condition and location and present value of the expected cost for the
dismantling/decommissioning of the asset.

ii) Capital work-in-progress comprises of cost incurred on property, plant and equipment not
yet ready for their intended use at the Balance Sheet date. Advances paid towards the
acquisition of property, plant and equipment outstanding at each balance sheet date are
classified as capital advances under other non-current assets.

iii) Property, plant and equipment are eliminated from financial statements, either on disposal
or when retired from active use. Losses arising in the case of retirement of property, plant
and equipment and gains or losses arising from disposal of property, plant and equipment
are recognised in the statement of profit and loss in the year of occurrence.

iv) Subsequent expenditures relating to property, plant and equipment are capitalized only
when it is probable that future economic benefits associated with these, will flow to the
Company and the cost of the item can be measured reliably. Repair and maintenance costs
are recognized in the Statement of Profit and Loss when incurred.

v) When parts of an item of property, plant and equipment have different useful lives, they
are accounted for as a separate item (major components) of property, plant and
equipment.

vi) The carrying amount of an item of property, plant and equipment shall be derecognised:

(a) on disposal; or

(b) when no future economic benefits are expected from its use or disposal

vii) Depreciation on property, plant and equipment

a) Depreciation on property, plant and equipment (other than freehold land and capital
work in progress) is provided on WDV over the useful lives of the relevant assets net
of residual value whose lives are in consonance with the lives mentioned in Schedule
II of the Companies Act, 2013, except the case where individual assets whose cost
does not exceed five thousand rupees has been provided fully in the year of
capitalization.

b) In the case of assets purchased, sold or discarded during the year, depreciation on
such assets is calculated on a pro-rata basis from the date of such addition or as the
case may be, upto the date on which such asset has been sold or discarded.

c) The residual values, useful lives and methods of depreciation of property, plant and
equipment are reviewed at each balance sheet date to reflect the expected pattern of
consumption of the future benefits embodied in the properties, plant and equipment
and in case of any changes, effect of the same is given prospectively.

d) Depreciation of an asset ceases at the earlier of the date that the asset is classified as
held for sale (or included in a disposal group that is classified as held for sale) in
accordance with Ind AS 105 and the date that the asset is derecognised.

c) Intangible assets & Amortisation

i. Acquired intangible assets:

Intangible assets are recognized when the Company controls the asset, it is probable that
future economic benefits attributed to the asset will flow to the Company and the cost of
the asset can be reliably measured. At initial recognition, intangible assets are recognized
at cost. Intangible assets are carried at cost less accumulated amortization and
accumulated impairment loss; if any.

ii. Intangible assets under development comprise of cost incurred on intangible assets under
development that are not ready for their intended use as at the balance sheet date.

iii. Subsequent expenditures related to an item of intangible assets are added to its carrying
amount when it is probable that future economic benefits deriving from the cost incurred
will flow to the enterprise and the cost of the item can be measured reliably.

iv. The useful lives and methods of amortisation of intangible assets are reviewed at each
balance sheet date to reflect the expected pattern of consumption of the future benefits
embodied in the intangible assets and in case of any changes, effect of the same is given
prospectively.

d) Impairment of non-financial assets

Assets are evaluated for recoverability whenever events or changes in circumstances indicate
that their carrying amounts may not be recoverable. For the purpose of impairment testing,
the recoverable amount (i.e., the higher of the fair value less cost to sell and the value-in-use)
is determined on an individual asset basis unless the asset does not generate cash flows that
are largely independent of those from other assets. In such cases, the recoverable amount is
determined for the CGU to which the asset belongs. If such assets are considered to be
impaired, the impairment to be recognized in the Statement of Profit and Loss is measured by
the amount by which the carrying value of the assets exceeds the estimated recoverable
amount of the asset. An impairment loss is reversed in the statement of profit and loss if there
has been a change in the estimates used to determine the recoverable amount. The carrying
amount of the asset is increased to its revised recoverable amount, provided that this amount
does not exceed the carrying amount that would have been determined (net of any
accumulated amortization or depreciation) had no impairment loss been recognized for the
asset in prior years.

e) Borrowing Cost

Borrowing costs that are directly attributable to the acquisition, construction or production of a
qualifying asset are capitalized as part of the cost of the respective asset till such time the asset
is ready for its intended use or sale. A qualifying asset is an asset which necessarily takes a
substantial period of time to get ready for its intended use or sale. All other borrowing costs are
expensed in the period in which they occur. Borrowing costs consist of interest expenses
calculated as per effective interest method, exchange difference arising from foreign currency
borrowings to the extent they are treated as an adjustment to the borrowing cost.

f) Operating Segments

The Company is engaged "Media Monitoring" services and the same constitutes a single
reportable business segment as per Ind AS 108. And hence segment reporting specified as per
IND AS 108 is not applicable.

g) Financial instruments
Initial Recognition

All financial instruments are recognized initially at fair value. Transaction costs that are
attributable to the acquisition of the financial asset (other than financial assets recorded at fair
value through profit or loss) are included in the fair value of the financial assets. Purchase 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 trade) are recognized on trade date.
However, loans and borrowings and payables are recognized net of directly attributable
transaction costs and trade receivables are measured at their transaction price unless it contains
a significant financing component or pricing adjustments embedded in the contract.

Classification of financial assets

Financial assets are classified as ''equity instrument'' if it is a non-derivative and meets the
definition of''equity'' for the issuer. All other non-derivative financial assets are ''debt instrument''.

Subsequent Measurement

The classification of financial instruments depends on the objective of the business model for
which it is held. Management determines the classification of its financial instruments at initial
recognition.

Non-derivative financial assets:

Financial assets at amortised cost and the effective interest method

Debt instruments shall be measured at amortised cost if both of the following conditions are
met:

i. the asset is held within a business model whose objective is to hold financial assets in order
to collect contractual cash flows and selling assets;

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

Debt instruments meeting these criteria are measured initially at fair value plus transaction
costs.

They are subsequently measured at amortised cost using the effective interest method less any
impairment, with interest recognised on an effective yield basis in investment income.

The effective interest method is a method of calculating the amortised cost of a debt instrument
and of allocating interest over the relevant period. The effective interest rate is the rate that
exactly discounts the estimated future cash receipts (including all fees on points paid or
received that form an integral part of the effective interest rate, transaction costs and other
premiums or discounts) through the expected life of the debt instrument, or (where
appropriate) a shorter period, to the net carrying amount on initial recognition.

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The Company may irrevocably elect at initial recognition to classify a debt instrument that
meets the amortised cost criteria above as at Fair Value Through Profit & Loss (FVTPL) if that
designation eliminates or significantly reduces an accounting mismatch had the financial asset
been measured at amortised cost.

Equity instruments

At initial recognition, an irrevocable election is made (on an instrument-by-instrument basis) to
designate investments in equity instruments other than held for trading purpose at FVTOCI.

A financial asset is held for trading if:

• it has been acquired principally for the purpose of selling it in the near term; or

• on initial recognition it is part of a portfolio of identified financial instruments that the Group
manages together and has evidence of a recent actual pattern of short-term profit-taking;
or

• it is a derivative that is not designated and effective as a hedging instrument or a financial
guarantee.

If the Company decides to classify an equity instrument as at FVTOCI, then all fair value
changes on the instrument, excluding dividends, are recognised in the OCI. There is no
recycling of the amounts from OCI to the statement of profit and loss, even on sale of
investment. However, the Company may transfer the cumulative gain or loss within equity.
Equity investments designated as FVTOCI are not subject to impairment assessment.

Equity instruments included within the FVTPL category are measured at fair value with all fair
value changes recognised in the statement of profit and loss.

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

Financial assets that do not meet the criteria of classifying as amortised cost or fair value
through other comprehensive income described above, or that meet the criteria, but the entity
has chosen to designate as at FVTPL at initial recognition, are measured at FVTPL.

Investments in equity instruments are classified as at FVTPL, unless the Company designates
an investment that is not held for trading at FVTOCI at initial recognition.

Financial assets classified at FVTPL are initially measured at fair value excluding transaction
costs.

Financial assets at FVTPL are subsequently measured at fair value, with any gains or losses
arising on remeasurement recognised in the statement of profit and loss.

Dividend income on investments in equity instruments at FVTPL is recognised in the statement
of profit and loss in investment income when the Company''s right to receive the dividends is
established, it is probable that the economic benefits associated with the dividend will flow to
the entity; and the amount of the dividend can be measured reliably.

Impairment of financial assets

On initial recognition of the financial assets, a loss allowance for expected credit loss is
recognised for debt instruments at amortised cost and FVTOCI. For debt instruments that are
measured at FVTOCI, the loss allowance is recognised in other comprehensive income in the
statement of profit and loss and does not reduce the carrying amount of the financial asset in
the balance sheet.

Expected credit loss of a financial instrument is measured in a way that reflects:

i) an unbiased and probability-weighted amount that is determined by evaluating a range
of possible outcomes;

ii) the time value of money; and

iii) reasonable and supportable information that is available without undue cost or effort at
the reporting date about past events, current conditions and forecasts of future
economic conditions.

At each reporting date, the Company assesses whether the credit risk on a financial instrument
has increased significantly since initial recognition.

When making the assessment, the Company compares the risk of a default occurring on the
financial instrument as at the reporting date with the risk of a default occurring on the financial
instrument as at the date of initial recognition and consider reasonable and supportable
information, that is available without undue cost or effort, that is indicative of significant
increases in credit risk since initial recognition.

If, at the reporting date, the credit risk on a financial instrument has not increased significantly
since initial recognition, the Company measures the loss allowance for that financial instrument
at an amount equal to 12-month expected credit losses. If the credit risk on that financial
instrument has increased significantly since initial recognition, the Company measures the loss
allowance for a financial instrument at an amount equal to the lifetime expected credit losses.
The amount of expected credit losses (or reversal) that is required to adjust the loss allowance
at the reporting date is recognised as an impairment gain or loss in the statement of profit and
loss.

Derecognition of financial assets

The Company derecognises a financial asset on trade date only when the contractual rights to
the cash flows from the asset expire, or when it transfers the financial asset and substantially
all the risks and rewards of ownership of the asset to another entity. If the Company neither
transfers nor retains substantially all the risks and rewards of ownership and continues to
control the transferred asset, the Company recognises its retained interest in the asset and an
associated liability for amounts it may have to pay. If the Company retains substantially all the
risks and rewards of ownership of a transferred financial asset, the Company continues to
recognise the financial asset and also recognises a collateralised borrowing for the proceeds
received.

On derecognition of a financial asset other than in its entirety (e.g. when the Company retains
an option to repurchase part of a transferred asset), the Company allocates the previous
carrying amount of the financial asset between the part it continues to recognise under
continuing involvement, and the part it no longer recognises on the basis of the relative fair
values of those parts on the date of the transfer. The difference between the carrying amounts
allocated to the part that is no longer recognised and the sum of the consideration received for
the part no longer recognised and any cumulative gain or loss allocated to it that had been
recognised in other comprehensive income is recognised in the statement of profit and loss.

Cumulative gain or loss that had been recognised in other comprehensive income is allocated
between the part that continues to be recognised and the part that is no longer recognised on
the basis of the relative fair values of those parts.

Financial liabilities and equity instruments issued by the Company
Classification as debt or equity

Financial liabilities and equity instruments issued by the Company are classified according to
the substance of the contractual arrangements entered into and the definitions of a financial
liability and an equity instrument

Equity instruments

An equity instrument is any contract that evidences a residual interest in the assets of an entity
after deducting all of its liabilities. Equity instruments issued by the Company are recognised
at the proceeds received, net of direct issue costs.

Financial liabilities

Financial liabilities are classified as either ''financial liabilities at FVTPL'' or ''other financial
liabilities''.

Financial liabilities at FVTPL

Financial liabilities are classified as at FVTPL when the financial liability is either held for trading
or it is designated as at FVTPL.

A financial liability is classified as held for trading if:

i) it has been acquired or incurred principally for the purpose of repurchasing it in the
near term; or

ii) on initial recognition it is part of a portfolio of identified financial instruments that the
Company manages together and for which there is evidence of a recent actual pattern
of short-term profit taking; or

iii) It is a derivative that is not designated and effective as a hedging instrument.

A financial liability other than a financial liability held for trading may also be designated as at
FVTPL upon initial recognition if:

i) such designation eliminates or significantly reduces a measurement or recognition
inconsistency that would otherwise arise; or

ii) the financial liability forms part of a Company of financial assets or financial liabilities
or both, which is managed and its performance is evaluated on a fair value basis, in
accordance with the Company''s documented risk management or investment strategy,
and information about the Companying is provided internally on that basis; or

iii) It forms part of a contract containing one or more embedded derivatives, and Ind-AS
109 ''Financial Instruments'' permits the entire combined contract to be designated as
at FVTPL.

Financial liabilities at FVTPL are stated at fair value, with any gains or losses arising on
remeasurement recognised in the statement of profit and loss, except for the amount of change
in the fair value of the financial liability that is attributable to changes in the credit risk of that
liability which is recognised in other comprehensive income.

The net gain or loss recognised in the statement of profit and loss incorporates any interest
paid on the financial liability.

Other financial liabilities

Other financial liabilities, including borrowings, are initially measured at fair value, net of
transaction costs.

Other financial liabilities are subsequently measured at amortised cost using the effective
interest method, with interest expense recognised on an effective yield basis.

The effective interest method is a method of calculating the amortised cost of a financial liability
and of allocating interest expense over the relevant period. The effective interest rate is the
rate that exactly discounts estimated future cash payments through the expected life of the
financial liability, or (where appropriate) a shorter period, to the net carrying amount on initial
recognition.

Reclassification of financial assets and liabilities

The Company determines classification of financial assets and liabilities on initial recognition.
After initial recognition, no re-classification is made for financial assets which are equity
instruments and financial liabilities. For financial assets which are debt instruments, a re¬
classification is made only if there is a change in the business model for managing those assets.
Changes to the business model are expected to be infrequent. The Company''s senior
management determines change in the business model as a result of external or internal
changes which are significant to the Company''s operations. Such changes are evident to
external parties. A change in the business model occurs when the Company either begins or
ceases to perform an activity that is significant to its operations. If the Company re-classifies
financial assets, it applies the re-classification prospectively from the re-classification date
which is the first day of the immediately next reporting period following the change in business
model. The Company does not re-state any previously recognised gains, losses (including
impairment gains or losses) or interest.

Offsetting financial instruments

Financial assets and liabilities are offset and the net amount reported in the balance sheet
when there is a legally enforceable right to offset the recognised amounts and there is an
intention to settle on a net basis or realise the asset and settle the liability simultaneously. The
legally enforceable right must not be contingent on future events and must be enforceable in
the normal course of business and in the event of default, insolvency or bankruptcy of the
Company or the counterparty.

Derivatives and hedge accounting

Derivatives are initially recognised at fair value on the date a derivative contract is entered into
and are subsequently re-measured at their fair value. The method of recognising the resulting
gain or loss depends on whether the derivative is designated as a hedging instrument, and if
so, the nature of the item being hedged.

The Company designates certain derivatives as either:

i) hedges of the fair value of recognised assets or liabilities or a firm commitment (fair
value hedge);

ii) hedges of a particular risk associated with a recognised asset or liability or a highly
probable forecast transaction (cash flow hedge); or

iii) Hedges of a net investment in a foreign operation (net investment hedge).

The Company documents at the inception of the transaction the relationship between hedging
instruments and hedged items, as well as its risk management objectives and strategy for
undertaking various hedging transactions. The Company also documents the nature of the risk
being hedged and how the Company will assess whether the hedging relationship meets the
hedge effectiveness requirements (including its analysis of the sources of hedge ineffectiveness
and how it determines the hedge ratio).

The full fair value of a hedging derivative is classified as a non-current financial asset or financial
liability when the residual maturity of the derivative is more than 12 months and as a current
financial asset or financial liability when the residual maturity of the derivative is less than 12
months.

Fair value hedge

Changes in the fair value of derivatives that are designated and qualify as fair value hedges
are recorded in the statement of profit and loss, together with any changes in the fair value of
the hedged item that are attributable to the hedged risk.

Hedge accounting is discontinued when the Company revokes the hedging relationship, when
the hedging instrument expires or is sold, terminated, or exercised, or when it no longer
qualifies for hedge accounting. The fair value adjustment to the carrying amount of the hedged
item arising from the hedged risk is amortised to the statement of profit and loss from that
date.

Cash flow hedges

The effective portion of changes in the fair value of derivatives that are designated and qualify
as cash flow hedges is recognised in other comprehensive income and accumulated under the
heading cash flow hedging reserve. The gain or loss relating to the ineffective portion is
recognised immediately in the statement of profit and loss, and is included in the ''other gains
and losses'' line item.

Amounts previously recognised in other comprehensive income and accumulated in equity are
reclassified to the statement of profit and loss in the periods when the hedged item affects the
statement of profit and loss, in the same line as the recognised hedged item. However, when
the hedged forecast transaction results in the recognition of a non-financial asset or a non-
financial liability, the gains and losses previously recognised in other comprehensive income
and accumulated in equity are transferred from equity and included in the initial measurement
of the cost of the non-financial asset or non-financial liability.

Hedge accounting is discontinued when the hedging instrument expires or is sold, terminated,
or exercised, or when it no longer qualifies for hedge accounting. Any gain or loss recognised
in other comprehensive income and accumulated in equity at that time remains in equity and
is recognised when the forecast transaction is ultimately recognised in the statement of profit
and loss. When a forecast transaction is no longer expected to occur, the gain or loss
accumulated in equity is recognised immediately in the statement of profit and loss.

Fair value measurement

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an
orderly transaction between market participants at the measurement date. A fair value
measurement assumes that the transaction to sell the asset or transfer the liability takes place
either in the principal market for the asset or liability or in the absence of a principal market,
in the most advantageous market for the asset or liability. The principal market or the most
advantageous market must be accessible to the Company.

The fair value of an asset or a liability is measured using the assumptions that market
participants would use when pricing the asset or liability, assuming that market participants act
in their economic best interest.

A fair value measurement of a non-financial asset takes into account a market participant''s
ability to generate economic benefits by using the asset in its highest and best use or by selling
it to another market participant that would use the asset in its highest and best use.

The Company uses valuation techniques that are appropriate in the circumstances and for
which sufficient data are available to measure fair value, maximizing the use of relevant
observable inputs and minimizing the use of unobservable inputs.

All assets and liabilities for which fair value is measured or disclosed in the financial statements
are categorized within the fair value hierarchy based on the lowest level input that is significant
to the fair value measurement as a whole. The fair value hierarchy is described as below:

• Level 1 - unadjusted quoted price in active markets for identical assets and liabilities.

• Level 2 - Valuation techniques for which lowest level input that is significant to the fair
value measurement is directly or indirectly observable.

• Level 3 - Valuation techniques for which lowest level input that is significant to the fair
value measurement is directly or indirectly unobservable.

For assets and liabilities that are recognised in the financial statements at fair value on a
recurring basis, the Company determines whether transfers have occurred between levels in
the hierarchy by re-assessing categorization at the end of each reporting period.

For the purpose of fair value disclosures, the Company has determined classes of assets and
liabilities on the basis of the nature, characteristics and risks of the asset or liability and the
level of fair value hierarchy.

h) Revenue recognition

Revenue from contracts with customers

Revenue from rendering of services is recognized at a point in time when the Company satisfies
the performance obligation. The company considers the terms of the contract and its customary
business practices to determine the transaction price.

Revenue is measured based on transaction price, which is the fair value of the consideration
received or receivable, stated net of discounts, and GST. Transaction price is recognised based
on the price specified in the contract, net of discounts.

Contract assets are recognized when there is excess of revenue earned over billings on
contracts. Contract assets are classified as unbilled receivables/revenue (only act of invoicing
is pending) when there is unconditional right to receive cash, and only passage of time is
required, as per contractual terms.

Unearned/deferred revenue ''contract liability'' is recognized when there is billing in excess of
revenue.

Other income

o Interest income in respect of deposits which are measured at amortised cost or at fair
value through profit and loss or at fair value through other comprehensive income, is
recorded using effective interest rate (EIR). EIR is the rate that exactly discounts the
estimated future cash payments or receipts over the expected life of the financial
instrument or a shorter period, where appropriate, to the gross carrying amount of the
financial asset or to the amortized cost of a financial liability.

o Dividend income on investment is accounted for in the year in which the right to receive
the payment is established.

i) Trade receivables

Trade receivables are amounts due from customers for goods sold or services performed in the
ordinary course of business. If the receivable is expected to be collected within a period of 12
months or less from the reporting date (or in the normal operating cycle of the business, if
longer), they are classified as current assets, otherwise as non-current assets.

Trade receivables are measured at their transaction price unless it contains a significant
financing component or pricing adjustments embedded in the contract.

Loss allowance for expected lifetime credit loss is recognised on initial recognition.

j) Foreign currency transactions

Transactions denominated in foreign currencies are recorded at the exchange rates prevailing
on the date of the transaction. As at the Balance Sheet date, foreign currency monetary assets
and liabilities are translated at closing exchange rate. The gains or losses resulting from such
translations are included in net profit in the Statement of Profit and Loss.

Non-monetary assets and non-monetary liabilities denominated in a foreign currency and
measured at fair value are translated at the exchange rate prevalent at the date when the fair
value was determined. Non-monetary assets and non-monetary liabilities denominated in a
foreign currency and measured at historical cost are translated at the exchange rate prevalent
at the date of the transaction.

Transaction gains or losses realized upon settlement of foreign currency transactions are
included in determining net profit for the period in which the transaction is settled. Revenue,
expense and cash flow items denominated in foreign currencies are translated into the relevant
functional currencies using the exchange rate in effect on the date of the transaction.

As per Appendix B to Ind AS 21, when an entity has received or paid advance contribution in a
foreign currency, transaction rate as on the date of receipt of advance is considered for
recognition of related asset, expenses or income.

k) Employee benefits

i) Short term employee benefits

Liabilities for wages and salaries, including non-monetary benefits that are expected to be
settled wholly within 12 months after the end of the period in which the employees render
the related service are recognised in respect of employees'' services up to the end of the
reporting and are measured at the amounts expected to be paid when the liabilities are
settled. The liabilities are presented as current employee benefit obligations in the balance
sheet.

ii) Post-employment benefits

a) Defined Contribution Plan

The defined contribution plan is a post-employment benefit plan under which the
Company contributes fixed contribution to a government administered fund and will
have no legal or constructive obligation to pay further contribution. The Company
makes Provident Fund contributions to defined contribution plans for all employees.
Under the Scheme, the Company is required to attribute a specified percentage of the
payroll costs to fund the benefits.

b) Defined benefit plan

The Company has defined benefit plans comprising gratuity benefits. The Company''s
obligation towards gratuity liability is unfunded. The cost of providing benefits is
determined using the projected unit credit method, with actuarial valuations being carried
out at the end of each annual reporting period. Remeasurement, comprising actuarial
gains and losses, the effect of the changes to the asset ceiling ( if applicable) and the
return on plan assets (excluding net interest) , is reflected immediately in the balance
sheet with a charge or credit recognised in other comprehensive income in the period in
which they occur and is not reclassified to Statement of Profit and Loss. Past service cost
is recognised in Statement of Profit and Loss in the period of a plan amendment. Net

interest is calculated by applying the discount rate at the beginning of the period to the
net defined benefit liability or asset.

iii) Compensated absences

The Company has benefits in the form of compensated absences. The present value of
such compensated absences is determined based on actuarial valuation using the projected
unit credit method.

Actuarial gains or losses arising on account of experience adjustment and the effect of
changes in actuarial assumptions are recognised immediately in the statement of profit and
loss as income or expense.

Gains or losses on the curtailment or settlement are recognised when the curtailment or
settlement occurs.

I) Leases

As a Lessee

o The Company''s lease asset classes primarily consist of leases for office premises.

o At inception of a contract, the Company assesses 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.

o At commencement or on modification of a contract that contains a lease component,
the Company allocates the consideration in the contract to each lease and non-lease
component on the basis of their relative stand-alone prices.

o 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
comprise of the initial amount of the lease liability adjusted for any lease payments
made at or before the commencement date net of lease incentive received, plus any
initial direct costs incurred and an estimate of costs to dismantle and remove the
underlying asset or to restore the underlying asset or the site on which it is located.

o The right-of-use assets are subsequently measured at cost less any accumulated
depreciation, accumulated impairment losses, if any and adjusted for any
remeasurement of the lease liability. The right-of-use asset is depreciated using the
straight-line method from the commencement date over the shorter of lease term of
right-of-use asset.

o 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 interest rate implicit in
the lease or, if that rate cannot be readily determined, the Company''s incremental
borrowing rate. The lease liability is measured at amortised cost using the effective
interest method.

o The Company has elected not to recognise right-of-use assets and lease liabilities for
leases of low-value assets and short-term leases. The Company recognises the lease
payments associated with these leases as an expense on a straight-line basis over the
lease term.

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

o Right-of-use assets and lease liability balances are adjusted on partial / full termination
of lease and corresponding gain / loss on such partial / full termination is charged to
other income / other expenses in the Statement of Profit and Loss.

As a Lessor:

Lease income from operating leases where the company is a lessor is recognized (net of GST)
in income on a straight-line basis over the lease term. The respective leased assets are included
in the balance sheet based on their nature.

m) Taxes on income

Tax expenses for the year comprises of current tax, deferred tax charge or credit and
adjustments of taxes for earlier years. In respect of amounts adjusted outside profit or loss (i.e.,
in other comprehensive income or equity), the corresponding tax effect, if any, is also adjusted
outside profit or loss.

The current Income Tax expense charge is calculated on the basis of the tax laws enacted at
the end of the reporting period. Management establishes proper provisions on the basis of
amounts expected to be paid to the tax authorities.

Deferred Income Tax is provided in full, using the Balance Sheet Method, on temporary
differences arising between the tax bases of assets and liabilities and their carrying amounts in
the financial statements. Deferred income tax is determined using the tax rates that have been
enacted at the end of the reporting period.

Deferred tax assets are recognized for all deductible temporary differences and unused tax
losses only if it is probable that future taxable amounts will be available to utilize those temporary
differences and losses.

Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset
current tax assets and liabilities. Current tax assets and tax liabilities are offset where the entity
has a legally enforceable right to offset and intends either to settle on a net basis, or to realize
the asset and settle the liability simultaneously.

Current and deferred tax is recognized in the statement of Profit and Loss, except to the extent
that it relates to items recognized in other comprehensive income or directly in equity. In this
case, the tax is also recognized in Other Comprehensive Income or directly in Equity,
respectively.

n) Cash and cash equivalents

For the purpose of presentation in the statement of cash flows, cash and cash equivalents
includes cash on hand, deposits held at call with financial institutions, other short term, highly
liquid investments with original maturities of three months or less that are readily convertible to
known amounts of cash and which are subject to an insignificant risk of changes in value.

o) Cash flow statement

Cash Flows are reported using the indirect method, whereby net profit before tax is adjusted for
the effects of transactions of non-cash nature, any deferrals or accruals of past or future
operating cash receipts or payments and item of income or expenses associated with investing
or financing cash flows. The cash flows from operating, investing and financing activities of the
Company are segregated.

---

Mar 31, 2024

2. Summary of material accounting policies

On 31 March 2023, the Ministry of Corporate Affairs notified Companies (Indian Accounting
Standards) Amendment Rules, 2023 amending the Companies (Indian Accounting Standards)
Rules, 2015. The amendments come into force with effect from 1 April 2023, i.e., Financial Year
2023-24. One of the major changes is in Ind AS 1 ‘Preparation of Financial Statements, which
requires companies to disclose in their financial statements ‘material accounting policies’ as
against the erstwhile requirement to disclose ‘significant accounting policies’. The word
‘significant’ is substituted by ‘material’.

Accounting policy information is expected to be material if users of an entity’s financial
statements would need it to understand other material information in the financial statements.

The Company applied the guidance available under paragraph 117B of Ind AS 1, Presentation of
Financial Statements in evaluating the material nature of the accounting policies.

The following are the material accounting policies for the Company:

2.1 Current and noncurrent classification

The Company presents assets and liabilities in the balance sheet based on current/ non-current
classification.

All the 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 and Ind AS 1, presentation of financial statements.

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

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a) It is expected to be realized in, or is intended for sale or consumption in, the Company’s normal
operating cycle; .!;§/ f(XV]

b) It is held primarily for the purpose of being traded;

c) It is expected to be realized within twelve 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 forat least twelve months after the reporting date.

All other assets are classified as non-current.

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 twelve months after the reporting date; or

d) The Company does not have an unconditional right to defer settlement of the liability for at
least twelve 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.

The Company classifies all other liabilities as noncurrent.

Current assets/ liabilities include the current portion of noncurrent assets/ liabilities respectively.
Deferred tax assets and liabilities are always disclosed as non- current.

The operating cycle is the time between the acquisition of assets for processing and their
realiation in cash and cash equivalents. The Company has identified twelve months as its
operating cycle.

2.2 Functional and presentation currency

These financial statements are presented in Indian rupees, which is also the functional currency
of the Company. All the financial information presented in Indian rupees has been rounded to
the nearest Lakhs.

2.3 Fair value measurement

The Company measures financial instruments at fair value at each balance sheet date. Fair
value is the price that would be received to sell an asset or paid to transfer a liability in an
orderly transaction between market participants at the measurement date. The fair value
measurement is based on the presumption that the transaction to sell the asset or transfer the
liability takes place either:

• in the principal market for the asset or liability, or

• in the absence of a principal market, advantageous market for the asset or

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The principal or the most advantageous market must be accessible by the Company. The fair
value of an asset or a liability is measured using the assumptions that market participants would
use when pricing the asset or liability, assuming that market participants act in their economic
best interest.

A fair value measurement of a non-financial asset takes into account a market participant’s
ability to generate economic benefits by using the asset in its highest and best use or by selling
it to another market participant that would use the asset in its highest and best use.

The Company uses valuation techniques that are appropriate in the circumstances and for
which sufficient data are available to measure fair value, maximizing the use of relevant
observable inputs and minimizing the use of unobservable inputs.

All assets and liabilities for which fair value is measured or disclosed in the Ind AS financial
statements are categorized within the fair value hierarchy, described as follows, based on the
lowest level input that is significant to the fair value measurement as a whole:

• Level 1 — Quoted (unadjusted) market prices in active markets for identical assets or
liabilities.

• Level 2 — Valuation techniques for which the lowest level input that is significant to
the fair value measurement is directly or indirectly observable.

• Level 3 — Valuation techniques for which the lowest level input that is significant to
the fair value measurement is unobservable.

For assets and liabilities that are recognised in the Ind AS financial statements on a recurring
basis, the Company determines whether transfers have occurred between levels in the hierarchy
by re-assessing categorization (based on the lowest level input that is significant to the fair
value measurement as a whole) at the end of each reporting period.

The Company’s management determines the policies and procedures for both recurring fair
value measurement, such as derivative instruments and unquoted financial assets measured at
fair value, and for non-recurring measurement, such as assets held for sale in discontinued
operations.

External valuers are involved, wherever considered necessary. For the purpose of fair value
disclosures, the Company has determined classes of assets and liabilities on the basis of the
nature, characteristics and risks of the asset or liability and the level of the fair value hierarchy,
as explained above.

This note summarizes accounting policy for fair value. Other fair value related disclosures are
given in the relevant notes.

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2.4 Foreign currency transactions and balances

Transactions in foreign currencies are initially recorded by the Company at their respective
functional currency spot rates at the date, the transaction first qualifies for recognition.

Monetary assets and liabilities denominated in foreign currencies are translated at the
functional currency spot rates of exchange at the reporting date. Exchange differences arising
on settlement or translation of monetary items are recognized in the statement of profit and
loss.

Non-monetary items that are measured based on historical cost in a foreign currency are
translated at the exchange rate at the date of the initial transaction.

Non-monetary items that are measured at fair value in a foreign currency are translated using
the exchange rates at the date when the fair value was measured.

The gain or loss arising on translation of non-monetary items measured at fair value is treated
in line with the recognition of the gain or loss on the change in fail- value of the item (i.e.,
translation differences on items whose fair value gain or loss is recognised in other
comprehensive income (“OCT’) or profit or loss are also recognised in OCI or profit or loss,
respectively).

2.5 Property Plant & Equipment

The cost of an item of property, plant and equipment are recognized as an asset if, and only if it
is probable that future economic benefits associated with the item will flow to the Company
and the cost of the item can be measured reliably.

Freehold land is carried at historical cost less any accumulated impairment losses.

Items of property, plant and equipment (including capital-work-in progress) are stated at cost of
acquisition or construction less accumulated depreciation and impairment loss, if any.

Cost includes expenditures that are directly attributable to the acquisition of the asset i.e.,
freight, non-refundable duties and taxes applicable, and other expenses related to acquisition
and installation.

The cost of self-constructed assets includes the cost of materials and other costs directly
attributable to bringing the asset to a working condition for its intended use.

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.

Any gain or loss on disposal of an item of property, plant and equipment is recognized in
profit or loss."

Subsequent expenditure

Subsequent expenditure is capitalized only if it is probable that the future economic benefits
associated with the expenditure will flow'' fro the Group and the cost of the item can be
measured reliably.

Depreciation

Depreciation on items of PPE is provided on written down value basis, computed on the basis
of useful lives as mentioned in Schedule II to the Companies Act, 2013. Depreciation on
additions / disposals is provided on a pro-rata basis i.e. from / up to the date on which asset is
ready for use / disposed-off.

The residual values, useful lives and method of depreciation are reviewed at each financial year
end and adjusted prospectively, if appropriate.

The cost of replacing part of an item of property, plant and equipment is recognized in the
carrying amount of the item if it is probable that the future economic benefits embodied
within the part will flow to the Company and its cost can be measured reliably. The carrying
amount of the replaced part will be derecognized. The costs of repairs and maintenance are
recognized in the statement of profit and loss as incurred.

Items of stores and spares that meet the definition of Property, plant and equipment are
capitalized at cost, otherwise, such items are classified as inventories.

Advances paid towards the acquisition of property, plant and equipment outstanding at each
reporting date is disclosed as capital advances under other assets. The cost of property, plant
and equipment not ready to use before such date are disclosed under capital work-in-progress.

2.6 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

Initial recognition and measurement

All financial assets are recognized initially at fair value plus, in the case of financial assets not
recorded at fair value through profit or 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 recognized on the trade date, i.e., the date that the Company commits
to purchase or sell the asset.

Subsequent measurement

For purposes of subsequent measurement, financial assets are classified in four categories:

• Debt instruments at amortised cost;

• Debt instruments at fair value through other comprehensive income (FVTOCI);

• Debt instruments, derivatives and equity instruments at fair value through profit or loss
(FVTPL);

• Equity instruments measured at fair \alue through other comprehensive income

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Debt instruments at amortised cost

A ‘debt instrument’ is measured at the amortised cost, if both of the following conditions are
met: (i) The asset is held within a business model whose objective is to hold assets for
collecting contractual cash flows; and (ii) 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 pait 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.

Debt instrument at FVTOCI

A ‘debt instrument’ is classified as FVTOCI, if both of the following criteria are met: (i) The
objective of the business model is achieved both by collecting contractual cash flows and
selling the financial assets; and (ii) 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 OCI. However, the
Company recognizes interest income, impairment losses and foreign exchange gain 01 loss in
the statement of profit and loss. On de-recognition 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.

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 FVTPL. Debt
instruments included within the FVTPL category are measured at fair value with all changes
recognized in the statement of profit and loss.

Equity Instruments

All equity investments in scope of Ind AS 109 are measured at fair value. Equity instruments
which are held for trading are classified as FVTPL. If the Company decides to classify an
equity instrument as FVTOCI, then all fair value changes on the instrument, excluding
dividends, are recognized in the OCI and there is no subsequent reclassification of these fair
value gains and losses to the statement of profit and loss. Equity instruments included within
the FVTPL category are measured at fair value with all changes recognized in the statement of
profit and loss.

Derecognition

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

a) The rights to receive cash flows from the a. or

b) 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 pass- through 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
recognize 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.

Impairment of Financial Assets

The company assesses at each balance sheet date whether a financial asset or a group of
financial assets is impaired.

In accordance with Ind AS 109, the company uses “Expected Credit Loss” (ECL) model, for
evaluating impairment of Financial Assets other than those measured at Fair Value Through
Profit and Loss (FVTPL).

Expected credit losses are measured through a loss allowance at an amount equal to:

• The 12 months expected credit losses (expected credit losses that result from those default
events on the financial instrument that are possible within 12 months after the reporting
date);

• Full lifetime expected credit losses (expected credit losses that result from all possible
default events over the life of the financial instrument)

The company uses 12-month ECL to provide for impairment loss where there is no significant
increase in credit risk. If there is significant increase in credit risk full lifetime ECL is used.

b. Financial liabilities

Initial recognition and measurement

Financial liabilities are classified, at initial recognition, as financial liabilities at fair value i.e.,
loans and borrowings, payables, or as derivatives designated as hedging instruments in an
effective hedge, as appropriate. All financial liabilities are recognized initially at fair value and,
in the case of loans and 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.

S ubsequent m easu rem ent

The measurement of financial liabilities depends on theft classification^^

Financial liabilities at fair value through profit or loss

Financial liabilities at fair value through profit or loss include financial liabilities held for trading
and financial liabilities designated upon initial recognition as fair value through profit or 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 profit or 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/loss are not subsequently transferred to the
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.

Loans and borrowings

After initial recognition, interest-bearing borrowings are subsequently measured at amortised
cost using the EIR method. Gains and losses are recognised in the statement of profit and loss
when the liabilities are derecognised as well as through the EIR amortization process.
Amortized 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.

De-recognition

A financial liability is derecognised when the obligation under the liability is discharged or
cancelled or expired. 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 de-recognition 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.

Reclassification of financial assets and liabilities

The Company determines classification of financial assets and liabilities on initial recognition.
After initial recognition, no re-classification is made for financial assets which are equity
instruments and financial liabilities. For financial assets which are debt instruments, a re¬
classification is made only if there is a change in the business model for managing those assets.
A change in the business model occurs when the Company either begins or ceases to perform
an activity that is significant to its operations. If the Company reclassifies financial assets, it
applies the re-classification prospectively from the re-classification date, which is the first day
of the immediately next reporting period following the change, in business model. The
Company does not restate any previously recognised gair^folSe^ffobluding impairment gains
or losses) or interest. (i§l [Ov|j \p:\\

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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.

2.7 Impairment of non-flnancial assets

The carrying amounts of the Company’s non-financial assets, other than inventories and
deferred tax assets are reviewed at each reporting date to determine whether there is any
indication of impairment. If any such indication exists, then the asset’s recoverable amount is
estimated. For goodwill and intangible assets that have indefinite lives or that are not yet
available for use. an impairment test is performed each year at March 31.

The recoverable amount of an asset or cash-generating unit (as defined below) is the greater of
its value in use and its fair value less costs to sell. In assessing value in use. the estimated
future cash flows are discountedto their present value using a pre-tax discount rate that reflects
current market assessments of the time valueof money and the risks specific to the asset or the
cash-generating unit. For the purpose of impairment testing, assets are grouped together into the
smallest group of assets that generates cash inflows from continuing use that are largely
independent of the cash inflow of other assets or groups of assets (the “cash-generating unit”).

An impairment loss is recognized in the statement of profit and loss if the estimated
recoverable amount of an asset or its cash-generating unit is lower than its carrying amount.
Impairment losses recognized in respect of cash-generating units are allocated first to reduce
the carrying amount of any goodwill allocated to the units and then to reduce the carrying
amount of the other assets in the unit on a pro-rata basis.

An impairment loss in respect of goodwill is not reversed. In respect of other assets,
impairment losses recognized in prior periods are assessed at each reporting date for any
indications that the loss has decreased or no longer exists. An impairment loss is reversed if there
has been a change in the estimates used to determine the recoverable amount. An impairment
loss is reversed only to the extent that the asset’s carrying amount does not exceed the
carrying amount that would have been determined, net of depreciation or amortization, if no
impairment loss had been recognized.

2.8 Cash & Cash Equivalents

Cash and bank balances comprise of cash balance in hand, in current accounts with banks,
demand deposit, short-term deposits, Margin Money deposits and unclaimed dividend
accounts. For this purpose, “short-term” means investments having maturity of three months
or less from the date of investment. Bank overdrafts that are repayable on demand and form an
integral part of our cash management are included as a component of cash and cash
equivalents for the purpose of the statement of cash flows. The Margin money deposits,
balance in dividend accounts which are not due and unclainie^T^T^gnd balances shall be
disclosed as restricted cash balances.

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a. Short term employee benefits

Short-term employee benefits are expensed as the related service is provided. A liability is
recognized for the amount expected to be paid if the Company has a present legal or
constructive obligation to pay this amount as a result of past sendee provided by the employee
and the obligation can be estimated reliably.

b. Defined Contribution Plan

The Company’s contributions to defined contribution plans are charged to the statement of
profit and loss asand when the services are received from the employees.

c. Defined Benefit Plans

The liability in respect of defined benefit plans and other post-employment benefits is
calculated using the projected unit credit method consistent with the advice of qualified
actuaries. The present value of the defined benefit obligation is determined by discounting the
estimated future cash outflows using interest rates based on prevailing market yields of Indian
Government Bonds and that have terms to maturity approximating to the terms of the related
defined benefit obligation. The current service cost of the defined benefit plan, recognized in
the statement of profit and loss in employee benefit expense, reflects the increase in the
defined benefit obligation resulting from employee service in the current year, benefit
changes, curtailments and settlements. Past service costs are recognized immediately in
income. The net interest cost is calculated by applying thediscount rate to the net balance of
the defined benefit obligation and the fair value of plan assets. This cost is included in
employee benefit expense in the statement of profit and loss. Actuarial gains and losses
arising from experience adjustments and changes in actuarial assumptions are charged or
credited to equity in other comprehensive income in the period in which they arise.

d. Termination benefits

Termination benefits are recognized as an expense when the Company is demonstrably
committed, without realistic possibility of withdrawal, to a formal detailed plan to either
terminate employment before the normalretirement date, or to provide termination benefits as
a result of an offer made to encourage voluntary redundancy. Termination benefits for
voluntary redundancies are recognized as an expense if the Company has made an offer
encouraging voluntary redundancy, it is probable that the offer will be accepted, and the
number of acceptances can be estimated reliably.

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The Company’s net obligation in respect of other long term employee benefits is the amount
of future benefit that employees have earned in return for their service in the current and
previous periods. That benefit is discounted to determine its present value. Re-measurements
are recognized in the statement of profit and loss in the period in which they arise.

---

Mar 31, 2023

Summary of significant accounting policies

2.1 Current and noncurrent classification

The Company presents assets and liabilities in the balance sheet based on current/ non-
current classification.

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

2013 and Ind AS 1, presentation of financial statements.

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

a) It is expected to be realized in, or is intended for sale or consumption in, the Company’s
normal operatingcycle;

b) It is held primarily for the purpose of being traded;

c) It is expected to be realized within twelve 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 forat least twelve months after the reporting date.

All other assets are classified as non-current.

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 twelve months after the reporting date; or

d) The Company does not have an unconditional right to defer settlement of the liability for at
least twelve 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

The Company classifies all other liabilities as noncurrent.

Current assets/ liabilities include the current portion of noncurrent assets/ liabilities respectively.
Deferred tax assets and liabilities are always disclosed as non- current.

The operating cycle is the time between the acquisition of assets for processing and their
realisation in cash and cash equivalents. The Company has identified twelve months as its
operating cycle.

2.2 Functional and presentation currency

These financial statements are presented in Indian rupees, which is also the functional currency
of the Company. All the financial information presented in Indian rupees has been rounded to
the nearest lakhs.

2.3 Fair value measurement

The Company measures financial instruments, such as, derivatives at fair value at each balance
sheet date. Fair value is the price that would be received to sell an asset or paid to transfer a
liability in an orderly transaction between market participants at the measurement date. The fair
value measurement is based on the presumption that the transaction to sell the asset or transfer
the liability takes place either:

• in the principal market for the asset or liability, or

• in the absence of a principal market, in the most advantageous market for the asset or
liability

The principal or the most advantageous market must be accessible by the Company.

The fair value of an asset or a liability is measured using the assumptions that market
participants would use when pricing the asset or liability, assuming that market participants act
in their economic best interest.

A fair value measurement of a non-fmancial asset takes into account a market participant’s
ability to generate economic benefits by using the asset in its highest and best use or by selling
it to another market participant that would use the asset in its highest and best use.

The Company uses valuation techniques that are appropriate in the circumstances and for
which sufficient data are available to measure fair value, maximizing the use of relevant
observable inputs and minimising the use of unobservable inputs.

All assets and liabilities for which fair value is measured or disclosed in the Ind AS financial
statements are categorised within the fair value hierarchy, described as follows, based on the
lowest level input that is significant to the fair value measurement as a whole:

• Level 1 — Quoted (unadjusted) market prices in active markets for identical assets or
liabilities

• Level 2 — Valuation techniques for which the lowest level input that is significant to the
fair value measurement is directly or indirectly observable

• Level 3 — Valuation techniques for which the lowest level input that is significant to the
fair value measurement is unobservable

For assets and liabilities that are recognised in the Ind AS financial statements on a recurring
basis, the Company determines whether transfers have occurred between levels in the hierarchy
by re-assessing categorisation (based on the lowest level input that is significant to the fair
value measurement as a whole) at the end of each reporting period.

The Company’s management determines the policies and procedures for both recurring fair
value measurement, such as derivative instruments and unquoted financial assets measured at
fair value, and for non-recurring measurement, such as assets held for sale in discontinued
operations.

External valuers are involved, wherever considered necessary. For the purpose of fair value
disclosures, the Company has determined classes of assets and liabilities on the basis of the
nature, characteristics and risks of the asset or liability and the level of the fair value hierarchy,
as explained above.

This note summarizes accounting policy for fair value. Other fair value related disclosures are
given in the relevant notes.

2.4 Foreign currency transactions and balances

Transactions in foreign currencies are initially recorded by the Company at their respective
functional currency spot rates at the date, the transaction first qualifies for recognition.

Monetary assets and liabilities denominated in foreign currencies are translated at the
functional currency spot rates of exchange at the reporting date. Exchange differences arising
on settlement or translation of monetary items are recognized in the statement of profit and
loss.

Non-monetary items that are measured based on historical cost in a foreign currency are
translated at the exchange rate at the date of the initial transaction.

Non-monetary items that are measured at fair value in a foreign currency are translated using
the exchange rates at the date when the fair value was measured.

The gain or loss arising on translation of non-monetary items measured at fair value is treated
in line with the recognition of the gain or loss on the change in fair value of the item (i.e.,
translation differences on items whose fair value gain or loss is recognised in other
comprehensive income (“00”) or profit or loss are also recognised in OCI or profit or loss,
respectively).

2.5 Property plant and equipment:

The cost of an item of property, plant and equipment are recognised as an asset if, and only if it
is probable that future economic benefits associated with the item will flow to the Company
and the cost of the item can be measured reliably.

Freehold land is carried at historical cost less any accumulated impairment losses.

Items of property, plant and equipment (including capital-work-in progress) are stated at cost of
acquisition or construction less accumulated depreciation and impairment loss, if any.

Cost includes expenditures that are directly attributable to the acquisition of the asset i.e.,
freight, non-refundable duties and taxes applicable, and other expenses related to acquisition
and installation.

The cost of self-constructed assets includes the cost of materials and other costs directly
attributable to bringing the asset to a working condition for its intended use.

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.

Any gain or loss on disposal of an item of property, plant and equipment is recognised in
profit or loss.

Subsequent expenditure

Subsequent expenditure is capitalized only if it is probable that the future economic benefits
associated with the expenditure will flow to the Group and the cost of the item can be
measured reliably.

Depreciation

Depreciation on items of PPE is provided on written down value basis, computed on the basis
of useful lives as mentioned in Schedule IT to the Companies Act, 2013. Depreciation on
additions / disposals is provided on a pro-rata basis i.e. from / up to the date on which asset is
ready for use / disposed-off.

The residual values, useful lives and method of depreciation are reviewed at each financial year
end and adjusted prospectively, if appropriate.

The cost of replacing part of an item of property, plant and equipment is recognized in the
carrying amount of the item if it is probable that the future economic benefits embodied
within the part will flow to the Company and its cost can be measured reliably. The carrying
amount of the replaced part will be derecognized. The costs of repairs and maintenance are
recognized in the statement of profit and loss as incurred.

Items of stores and spares that meet the definition of Property, plant and equipment are
capitalized at cost, otherwise, such items are classified as inventories.

Advances paid towards the acquisition of property, plant and equipment outstanding at each
reporting date is disclosed as capital advances under other assets. The cost of property, plant
and equipment not ready to use before such date are disclosed under capital work-in-progress.

2.6 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.

Subsequent measurement

For purposes of subsequent measurement, financial assets are classified in four categories:

• Debt instruments at amortised cost

• Debt instruments at fair value through other comprehensive income (FVTOCI)

• Debt instruments, derivatives and equity instruments at fair value through profit or loss
(FVTPL);

• Equity instruments measured at fair value through other comprehensive income (FVTOCI)
Debt instruments at amortised cost

A ‘debt instrument’ is measured at the amortised cost, if both of the following conditions are
met: (i) The asset is held within a business model whose objective is to hold assets for
collecting contractual cash flows; and (ii) 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.

Debt instrument at FVTOCI

A ‘debt instrument’ is classified as FVTOCI, if both of the following criteria are met: (i) The
objective of the business model is achieved both by collecting contractual cash flows and
selling the financial assets; and (ii) 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 OCI. However, the
Company recognizes interest income, impairment losses and foreign exchange gain or loss in
the statement of profit and loss. On de-recognition 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.

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 FVTPL. Debt
instruments included within the FVTPL category are measured at fair value with all changes
recognized in the statement of profit and loss.

Equity Instruments

All equity investments in scope of Ind AS 109 are measured at fair value. Equity instruments
which are held for trading are classified as FVTPL. If the Company decides to classify an
equity instrument as FVTOCI, then all fair value changes on the instrument, excluding

dividends, are recognized in the OCI. There is no recycling of the amounts from OCI to
statement of profit and loss. Equity instruments included within the FVTPL category are
measured at fair value with all changes recognized in the statement of profit and loss.

Derecognition

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

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

b) 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 pass-through 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
recognize 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.

Impairment of Financial Assets

The company assesses at each balance sheet date whether a financial asset or a group of
financial assets is unpaired.

In accordance with Ind AS 109, the company uses “Expected Credit Loss” (ECL) model, for
evaluating impairment of Financial Assets other than those measured at Fair Value Through
Profit and Loss (FVTPL).

Expected credit losses are measured through a loss allowance at an amount equal to:

• The 12 months expected credit losses (expected credit losses that result from those
default events on the financial instrument that are possible within 12 months after the
reporting date);

• Full lifetime expected credit losses (expected credit losses that result from all
possible default events over the life of the financial instrument)

For other assets, the company uses 12-month ECL to provide for impairment loss where there
is no significant increase in credit risk. If there is significant increase in credit risk full lifetime
ECL is used.

b. Financial liabilities

Initial recognition and measurement

Financial liabilities are classified, at initial recognition, as financial liabilities at fair value i.e.,
loans and borrowings, payables, or as derivatives designated as hedging instruments in an
effective hedge, as appropriate. All financial liabilities are recognized initially at fair value and,
in the case of loans and 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.

Subsequent measurement

The measurement of financial liabilities depends on their classification.

Financial liabilities at fair value through profit or loss

Financial liabilities at fair value through profit or loss include financial liabilities held for trading
and financial liabilities designated upon initial recognition as fair value through profit or 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 profit or 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/ loss are not subsequently transferred to the
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.

Loans and borrowings

Borrowings is the category most relevant to the Company. After initial recognition, interest-
bearing borrowings are subsequently measured at amortised cost using the EIR method. Gains
and losses are recognised in the statement of profit and loss when the liabilities are
derecognised as well as through the EIR amortization process. Amortized 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.

De-recognition

A financial liability is derecognised when the obligation under the liability is discharged or
cancelled or expired. 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 de-recognition 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.

Reclassification of financial assets and liabilities

The Company determines classification of financial assets and liabilities on initial recognition.
After initial recognition, no re-classification is made for financial assets which are equity
instruments and financial liabilities. For financial assets which are debt instruments, a re¬
classification is made only if there is a change in the business model for managing those assets.
A change in the business model occurs when the Company either begins or ceases to perform
an activity that is significant to its operations. If the Company reclassifies financial assets, it
applies the re-classification prospectively from the re-classification date, wdiich is the first day
of the immediately next reporting period following the change in business model. The
Company does not restate any previously recognised gains, losses (including impairment gains
or losses) or interest.

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.

2.7 Cash & Cash Equivalents

Cash and bank balances comprise of cash balance in hand, in current accounts with banks, and
other short-term deposits. For this purpose, "short-term" means investments having maturity of
three months or less from the date of investment, and which are subject to an insignificant risk
of change in value. Bank overdrafts that are repayable on demand and form an integral part of
our cash management are included as a component of cash and cash equivalents for the purpose
of the statement of cash flow''s.

2.8 Impairment of non-financial assets

The carrying amounts of the Company’s non-financial assets, other than inventories and
deferred tax assets are reviewed at each reporting date to determine whether there is any
indication of impairment.

If any such indication exists, then the asset’s recoverable amount is estimated.

For goodwill and intangible assets that have indefinite lives or that are not yet available for use,
an impairment test is performed each year at March 31.

The recoverable amount of an asset or cash-generating unit (as defined below) is the greater of
its value in use and its fair value less costs to sell.

For the purpose of impairment testing, assets are grouped together into the smallest group of
assets that generates cash inflows from continuing use that are largely independent of the cash
inflow of other assets or groups of assets (the “cash-generating unit”).

The Company bases its impairment calculation on detailed budgets and forecast calculations,
which are prepared separately for each of the Company’s CGUs to which the individual assets
are allocated. These budgets and forecast calculations generally cover a period of five years.
For longer periods, a long-term growth rate is calculated and applied to project future cash
flows after the fifth year. To estimate cash flow projections beyond periods covered by the
most recent budgets/forecasts, the Company extrapolates cash flow projections in the budget
using a steady or declining growth rate for subsequent years, unless an increasing rate can be
justified. In any case, this growth rate does not exceed the long-term average growth rate for
the products, industries, or country in which the entity operates, or for the market in which the
asset is used.

An impairment loss is recognized in the statement of profit and loss if the estimated
recoverable amount of an asset or its cash-generating unit is lower than its carrying amount.
Impairment losses recognized in respect of cash-generating units are allocated first to reduce
the carrying amount of any goodwill allocated to the units and then to reduce the carrying
amount of the other assets in the unit on a pro-rata basis.

Reversal of Impairment ofAssets

An impairment loss in respect of goodwill is not reversed. In respect of other assets,
impairment losses recognized in prior periods are assessed at each reporting date for any
indications that the loss has decreased or no longer exists. An impairment loss is reversed if
there has been a change in the estimates used to detennine the recoverable amount. An
impairment loss is reversed only to the extent that the asset’s carrying amount does not
exceed the carrying amount that would have been determined, net of depreciation or
amortization, if no impairment loss had been recognized.

2.9 Employee benefits
Short term employee benefits

Short-term employee benefits are expensed as the related service is provided. A liability is
recognized for the amount expected to be paid if the Company has a present legal or
constructive obligation to pay this amount as a result of past service provided by the employee
and the obligation can be estimated reliably.

Defined contribution plans

The Company’s contributions to defined contribution plans are charged to the statement of
profit and loss as and when the services are received from the employees.

Defined benefit plans

The liability in respect of defined benefit plans and other post-employment benefits is
calculated using the projected unit credit method consistent with the advice of qualified
actuaries. The present value of the defined benefit obligation is determined by discounting the
estimated future cash outflows using interest rates of high-quality corporate bonds that are
denominated in the currency in which the benefits will be paid, and that have terms to maturity
approximating to the terms of the related defined benefit obligation. In countries where there is
no deep market in such bonds, the market interest rates on government bonds are used. The
current service cost of the defined benefit plan, recognized in the statement of profit and loss in
employee benefit expense, reflects the increase in the defined benefit obligation resulting from
employee service in the current year, benefit changes, curtailments and settlements. Past
service costs are recognized immediately in the statement of profit and loss.

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. This cost is included in employee benefit
expense in the statement of profit and loss. Actuarial gains and losses arising from experience
adjustments and changes in actuarial assumptions for defined benefit obligation and plan assets
are recognized in OCI in the period in which they arise. When the benefits under a plan are
changed or when a plan is curtailed, the resulting change in benefit that relates to past service
or the gain or loss on curtailment is recognized immediately in the statement of profit and loss.
The Company recognizes gains or losses on the settlement of a defined benefit plan obligation
when the settlement occurs.

Termination benefits

Tennination benefits are recognized as an expense in the statement of profit and loss when the
Company is demonstrably committed, without realistic possibility of withdrawal, to a formal
detailed plan to either terminate employment before the nonnal retirement date, or to provide
termination benefits as a result of an offer made to encourage voluntary redundancy.
Termination benefits for voluntary redundancies are recognized as an expense in the statement
of profit and loss if the Company has made an offer encouraging voluntary redundancy, it is
probable that the offer will be accepted, and the number of acceptances can be estimated
reliably.

Other long-term employee benefits

The Company’s net obligation in respect of other long-term employee benefits is the amount of
future benefit that employees have earned in return for their service in the current and previous
periods. That benefit is discounted to determine its present value. Re-measurements are
recognised in the statement of profit and loss in the period in which they arise.

Compensated absences

The Company’s current policies permit certain categories of its employees to accumulate and
carry forward a portion of their unutilised compensated absences and utilise them in future
periods or receive cash in lieu thereof in accordance with the terms of such policies. The

Company measures the expected cost of accumulating compensated absences as the additional
amount that the Company incurs as a result of the unused entitlement that has accumulated at
the reporting date. Such measurement is based on actuarial valuation as at the reporting date
carried out by a qualified actuary.

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Mar 31, 2015

I) System of Accounting :

The financial statement are prepared as per going concern under historical cost convention on actual basis except these with significant uncertainty & in accordance with the relevant Accounting Standards issued by ICAI & in Compliance with the provisions of the Companies Act, 1956 & Companies Act, 2013. Accounting policies not stated explicitly otherwise are consisted with generally accepted accounting principles.

II) Revenue Recognition:

Revenue is recognized when the services is provided and passed on to the customers.

III) Fixed Assets:

Fixed Assets are recorded at cost of acquisition inclusive of all relevant levies & incidental expenses. They are stated at cost less accumulated depreciation.

IV) Depreciation:

Depreciation has been provided on written down value method under section 205(2)(b) of the CompaniesAct, 1956.

i) At the rates specified in schedule II of the Companies Act, 2013.

ii) On a pro - rata basis with reference to the month of additional/disposal in respect of assets added/disposed of during the year.

V) Provision for Income Tax:

The Provision for Income Tax has been made on the basis of the assessable income under the Income Tax Act, 1961. Current tax is the amount of tax payable on the taxable income for the year determined in accordance with the provisions of the Income Tax Act, 1961.

VI) Provision for Deferred Tax:

Deferred Tax is recognized on timing difference; being the differences between the taxable income & accounting income that originate in one period & are capable of reversal in one or more subsequent periods. Deferred tax assets subject to the consideration of prudence are recognized & set off against accumulated Deferred Tax Liabilities & balance if any is carried forward only to the extent that there is reasonable certainty that sufficient future taxable income will be available against which such deferred tax assets can be realized. The tax effect is calculated on the accumulated timing difference at the yearend based on the tax rates & laws enacted or substantially enacted on the balance sheet date.

VII) Remuneration to Directors:

i) Remuneration to Director : Rs. 37,20,000/-

VIII) In the opinion of the Board of Directors, the Current Assets, Loans & Advances are approximately of the values stated in Balance Sheet if realized in the ordinary course of business.

IX) The balances of Sundry Debtors, Sundry Creditors, Advances & Lenders are subject to confirmation / reconciliation and adjustments if any.

X) Physical Verification of cash was done by the Management on which the auditor has kept reliance.

XI) Advances to Companies under the same Management for goods & services:

Balance as on 31/03/15

a) RGE Digital Imaging Solutions Pvt. Ltd. - Rs. 11,74,377/-

b) Jyoti Printing Inks Private Limited - Rs. 1,84,111/-

XII) Related Party Transactions

a) Names Of Related Companies APBC Printing Inks Private

Limited, Jyoti Printing Inks Private Limited, RGE Digital Imaging Solutions Private Limited, Esha Broadcast Monitoring Private Limited, Stonerigde Advisors Private Limited.

b) Names Of Other Related Parties : Reliance Graphic Enterprises And PRR Family Trust.

c) Names Of Key Management : Mr. P.Ragahava Raju, Personnel Mr. R S Iyer,

Ms. Jyoti Babar. Ms. SakshiPawar Ms. ShilpaParab

XIII) Recasting of Balances:

Wherever possible & found necessary regrouping & recasting of ledger balances have been made.

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Mar 31, 2014

I) System of Accounting :

The financial statement are prepared as per going concern under historical cost convention on actual basis except these with significant uncertainty and in accordance with the relevant Accounting Standards issued by ICAI & in compliance with the provisions of the Companies Act, 1956. Accounting policies not stated explicitly, otherwise are consisted with generally accepted accounting principles.

II) Revenue Recognition

Revenue is recognized when the services is provided and passed on to the customers.

III) Fixed Assets:

Fixed assets arc recorded at cost of acquisition inclusive of all relevant levies and incidental expenses. They are stated at cost less accumulated depreciation.

IV) Depreciation :

Depreciation has been provided on written down value method Method under section 205 (2)(b) of the companies Act, 1956.

i) At the rates specified in schedule XIV of the Companies Act, 1956, except in case of office equipments where we differ from the views of management.

ii) On A pro-rata basis with reference to the month of addition / disposal in respect of assets added / disposed of during the year.

V) Provision for Income Tax:

The Provision for Income Tax has been made on the basis of the assessable income under the income tax act, 1961. Current tax is the amount of tax payable on the taxable income for the year determined in accordance with the provisions of the Income tax act, 1961.

VI) Provision for Deferred Tax:

Deferred tax is recognized on timing differences; being the differences between the taxable income & accounting income that originate in one period & are capable of reversal in one or more subsequent periods. Deferred tax assets subject to the consideration of prudence are recognized and set off against accumulated Deferred Tax Liabilities and balance if any is carried forward only to the extent that there is reasonable certainty that sufficient future taxable income will be available against which such deferred tax assets can be realized. The tax effect is calculated on the accumulated timing difference at the yearend based on the tax rates and laws enacted or substantially enacted on the balance sheet date.

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Mar 31, 2013

I) System of Accounting :

The financial statement are prepared as per going concern under historical cost convention on actual basis except these with significant uncertainty and in accordance with the relevant Accounting Standards issued by ICAI & in compliance with the provisions of the Companies Act, 1956. Accounting policies not stated explicitly, otherwise are consisted with generally accepted accounting principles.

II) Revenue Recognition

Revenue is recognized when the services is provided and passed on to the customers.

III) Fixed Assets:

Fixed assets are recorded at cost of acquisition inclusive of all relevant levies and incidental expenses. They are stated at cost less accumulated depreciation.

IV) Depreciation :

Depreciation has been provided on written down value method Method under section 205 ( 2) (b) of the companies Act ,1956.

i) At the rates specified in schedule XIV of the Companies Act, 1956,exceptincaseof office equipments where we differ from the views of management.

ii)On A pro-rata basis with reference to the month of addition/disposal in respect of assets added/ disposed of during the year.

V) Provision for Income Tax:

The Provision for Income Tax has been made on the basis of the assessable income under the income tax act, 1961. Current tax is the amount of tax payable on the taxable income for the year determined in accordance with the provisions of the Income tax act,1961.

VI) Provision for Deferred Tax:

Deferred tax is recognized on timing differences; being the differences between the taxable income & accounting income that originate in one period & are capable of reversal in one or more subsequent periods. Deferred tax assets subject to the consideration of prudence are recognized and set off against accumulated Deferred Tax Liabilities and balance if any is carried forward only to the extent that there is reasonable certainty that sufficient future taxable income will be available agaist which such deferred tax assets can be realized. The tax effect is calculated on the accumulated timing difference at the yearend based on the tax rates and laws enacted or substantially enacted on the balance sheet date.

VII) Remuneration to Directors

a) Salary & L.T.A. Rs. 37,40,247/-

b) Contribution to provident fund NIL

c) Other Benefits NIL

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Mar 31, 2011

A. Basis of Preparation 1. The financial statements have been of prepared under the historical Financial Statements cost convention in accordance with generally accepted accounting principles and the provisions of the Companies Act, 1956 and applicable Accounting Standards prescribed under Companies (Accounting Standards) Rules, 2006 as adopted consistently by the company.

2. Accounting policies not specifically referred to otherwise are consistent and in consonance with generally accepted accounting principles followed by the company.

b. Fixed Assets Fixed assets are valued at cost less depreciation.

c. Depreciation Depreciation is provided on written down value method at the rates prescribed in the Schedule XIV to the Companies Act 1956.

d. Inventories Closing stock of raw materials are valued at cost or net realisable value which ever is lower. Cost Formula used is on FIFO basis.

e. Revenue Recognition 1. Sale is recognised on despatch of products and is inclusive of VAT.

2. Dividend income is accounted on receipt bais.

f. Investments Long term investments are valued at cost.

g. Retirement Benefits 1. Gratuity to employees is covered under the Group Gratuity cum Life Assurance Scheme of the Life insurance Corporation of India and annual contribution is charged to Profit and Loss Account.

2. Contribution to Government Provident/Pension Funds are accounted on actual liability basis.

h. Impairment of Assets: The Management assesses using external and internal sources whether there is any indication that an asset may be impaired. Impairment of an asset occurs where the carrying value exceeds the present value of cash flow expected to arise from the continuing use of the asset and its eventual disposal. The provision for impairment loss is made when recoverable amount of the asset is lower than the carrying amount.

i. Provisions and Contingent Provisions in respect of present obligations arising out of past Liabilities and Contingent Assets : events are made in the accounts when reliable estimate can be made of the amount of obligations and it is probable that there will be an outflow of resources. Contingent Liabilities are not recognized but if material, are disclosed in the notes to accounts. Contingent assets are not recognized or disclosed in the financial statements.

j. Foreign Exchange Transactions: a) All foreign currency transactions were initially recognised at the rate on the date of transaction.

b) Exchange differences arising on the settlement of monetary items were recognised as income/expense.

c) Monetary items as on the date of balance sheet are stated at the closing rate.

k. Borrowing Costs : Borrowing costs that are directly attributable to the acquisition of qualifying assets are capitalized as part of cost of such asset. A qualifying asset is one that necessarily takes substantial period of time to get ready for intended use. All other borrowing costs are charged to revenue.

l. Cash Flow Statement : The cash flow statement has been compiled from and is based on the Balance Sheet as at 31 st March, 2011 and the related Profit and Loss Account for the year ended on that date. The Cash Flow Statement has been prepared under the indirect method as set out in the Accounting Standard - 3 on Cash Flow Statement issued by ICAI.

m. Operating Lease : Operating Lease payments are recognized as an expense in the Profit and Loss Account of the year to which they relate

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Mar 31, 2010

A. Basis of preparation of Financial Statements

1. The financial statements have been prepared under the historical cost convention in accordance with generally accepted accounting principles and the provisions of the Companies Act, 1956 and applicable Accounting Standards prescribed under Companies (Accounting Standards) Rules, 2006 as adopted consistently by the company.

2. Accounting policies not specifically referred to otherwise are consistent and in consonance with generally accepted accounting principles followed by the company.

b. Fixed assets

-Fixed assets are valued at cost less depreciation.

c. Depreciation

-Depreciation is provided on written down value method at the rates prescribed in the Schedule XIV to the Companies Act 1956.

d. Inventories

-Closing stock of raw materials are valued at cost or net realisable value which ever is lower. Cost Formula used is on FIFO basis.

e. Revenue Recognition

1. Sale is recognised on despatch of products and is inclusive of VAT.

2. Dividend income is accounted on receipt bais.

f. Investments

-Long term investments are valued at cost.

g. Retirement Benefits

1. Gratuity to employees is covered under the Group Gratuity cum Life Assurance Scheme of the Life insurance Corporation of India and annual contribution is charged to Profit and Loss Account.

2. Contribution to Government Provident/Pension Funds are accounted on actual liability basis.

h. Impairment of Assets:

-The Management assesses using external and internal sources whether there is any indication that an asset may be impaired. Impairment of an asset occurs where the carrying value exceeds the present value of cash flow expected to arise from the continuing use of the asset and its eventual disposal. The provision for impairment loss is made when recoverable amount of the asset is lower than the carrying amount.

i. Provisions and Contingent Liabilities and Contingent Assets:

-Provisions in respect of present obligations arising out of past events are made in the accounts when reliable estimate can be made of the amount of obligations and it is probable that there will be an outflow of resources. Contingent Liabilities are not recognized but if material, are disclosed in the notes to accounts. Contingent assets are not recognized or disclosed in the financial statements.

j. Foreign Exchange Transactions:

a) All foreign currency transactions were initially recognised at the rate on the date of transaction.

b) Exchange differences arising on the settlement of monetary items wre recognised as income/expense.

c) Monetary items as on the date of balance sheet are stated at the closing rate.

k. Borrowing costs:

Borrowing costs that are directly attributable to the acquisition of qualifying assets are capitalized as part of cost of such asset. A qualifying asset is one that necessarily takes substantial period of time to get ready for intended use. All other borrowing costs are charged to revenue.

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Mar 31, 2009

1. Nature of Activity: - The Company is engaged in providing comprehensive processing services such as colour scanning, colour separation, image processing,etc., for printing and publishing industry.

Note: The nature of companys operations is such that there is no knownphysical measures or standard classification for its saleable products or services. Consequently the installed capacity is based on standard sets and actual production in terms of sets of various sizes have been certified by the management and accepted by the auditors.

a) Basis of preparation of

Financial Statements 1. The financial statements have been prepared under the historical cost convention in accordance with generally accepted accounting principles and the provisions of the Companies Act, 1956 and applicable Accounting Standards prescribed under Companies (Accounting Standards) Rules, 2006 as adopted consistently by the company.

2. Accounting policies not specifically referred to otherwise are consistent and in consonance with generally accepted accounting principles followed by the company.

b) Fixed assets Fixed assets are valued at cost less depreciation.

c) Depreciation Depreciation is provided on written down value method at the rates prescribed in the Schedule XlV to the Companies Act 1956.

d) Inventories Closing stock of raw materials are valued at cost or net realisable value which ever is lower. Cost formula used is on FIFO basis.

e) Revenue Recognition 1. Sale is recognised on despatch of products and is inclusive of Value Added Tax.

2. Dividend income is accounted on receipt basis.

f) Investments Long term investments are valued at cost.

g) Retirement Benefits 1. Gratuity payable to employees is covered under the Group Gratuity cum Life Assurance Scheme of the Life insurance Corporation of India and annual contribution is charged to Profit and Loss Account.

2. Contribution to Government Provident /Pension Funds are accounted on actual liability basis.

h) Impairment of Assets: The Management assesses using external and internal sources whether there is any indication that an asset may be impaired. Impairment of an asset occurs where the carrying value exceeds the present value of cash flow expected to arise from the continuing use of the asset and its eventual disposal. The provision for impairment loss is made when recoverable amount of the asset is lower than the carrying amount.

i) Provisions and Contingent

Liabilities and Contingent Assets : Provisions in respect of present obligations arising out of past events are made in the accounts when reliable estimate can be made of the amount of obligations and it is probable that there will be an outflow of resources. Contingent Liabilities are not recognized but if material,are decided in the notes to accounts.Contingent assets are not recognized or disclosed in the financial statements.

j) Foreign Exchange Transactions : a) Are foreign currency transactions were initially recognised at the case on the date of transaction.

b) Exchange difference arising on the settlement of monetary items we recognised as income/expense.

c) Monetary items as on the date of balance sheet are stated at the doing case.

Borrowing costs that are directly attributable to the acquisition of qualifying assets are capitalized as part of cost of such asset. A qualifying asset is one that necessarily takes substantial period of time to get ready for intended use. All other borrowing costs are charged to revenue.