Fischer Medical Ventures Ltd. कंपली की लेखा नीति

Mar 31, 2025

2. Basis of Preparation and Significant Accounting Policies

2.1 Statement of Compliance

These consolidated financial statements have been prepared in accordance with Indian Accounting
Standards (Ind AS) as notified under Section 133 of the Companies Act, 2013, read with the Companies
(Indian Accounting Standards) Rules, 2015, and other relevant provisions of the Act.

2.2 Basis of Preparation and Presentation

The financial statements have been prepared on a historical cost basis, except for the following:

Certain financial assets and liabilities measured at fair value; Defined benefit plans—plan assets
measured at fair value;

Assets held for sale—measured at the lower of carrying amount and fair value less costs to sell.

The financial statements are presented in Indian Rupees INR ( ), which is the Company''s functional and
presentation currency. All amounts are rounded to the nearest lakh, unless otherwise stated.

2.3 Use of Estimates and Judgements

The preparation of financial statements in conformity with Ind AS requires management to make
judgments, estimates, and assumptions that affect the reported amounts of assets, liabilities, income,
and expenses. Actual results may differ from these estimates.

Significant areas requiring the use of management estimates include:

1. Estimation of useful lives of property, plant, and equipment;

2. Valuation of inventories;

3. Impairment of non-financial assets;

4. Measurement of defined benefit obligations;

5. Recognition of deferred tax assets;

6. Provision for expected credit losses;

7. Determination of lease term and discount rates for leases.

3. Operating Cycle

Based on the nature of its operations and the time between the acquisition of assets for processing and their
realization in cash or cash equivalents, the Company has determined its operating cycle as 12 months for the
purpose of classification of assets and liabilities as current and non-current.

4. Revenue Recognition

Revenue is recognized when control of goods or services is transferred to the customer at an amount that
reflects the consideration the Company expects to be entitled to in exchange for those goods or services, in
accordance with Ind AS 115 - Revenue from Contracts with Customers.

4.1 Sale of Medical Devices

Revenue from the sale of medical devices, including MRI machines, preventive diagnostic devices, and
ancillary medical instruments, is recogniz upon transfer of control to the customer

MRI Devices: Revenue is recognized upon asset readiness at the Company''s premises, as per the
contractual terms which are on an Ex-Works basis. Under such terms, the customer takes title and bears
the risks and rewards of ownership once the asset is made available for collection. The Company has no
further performance obligation beyond making the asset ready for dispatch.

Other Medical Devices: For devices not sold under Ex-Works terms, revenue is recognized upon delivery
at the customer''s site or installation, depending on the specific terms of the contract and when control is
deemed to have transferred.

Revenue excludes taxes , discounts, and does not include amounts collected on behalf of third parties.

4.2 Installation and Commissioning

Installation and commissioning services are accounted for separately if they are distinct from the sale
of devices. Where considered distinct, revenue is recognized upon completion of the service. Where
bundled with the sale of equipment and not separately identifiable, the total transaction price is allocated
and recognized in accordance with the transfer of control of the entire performance obligation.

4.3 Annual Maintenance Contracts (AMCs) and Support Services

Revenue for maintenance services provided after a sale is recognized gradually throughout the contract
period, usually evenly distributed, as customers benefit from these services continuously while they are
being delivered.

4.4 Leasing of Medical Devices

Revenue from leasing of medical devices is recognized in accordance with Ind AS 116, “Leases.” Refer
Clause 5.2 for further information.

5. Leases

The Company assesses whether an agreement is or contains a lease at inception. An agreement is considered
a lease, or contains leasing elements, when it transfers the authority to use a specific asset for a defined
timeframe in return for payment.

5.1 Company as Lessee

The Company recognizes a right-of-use (ROU) asset and a lease liability at the lease commencement
date. The ROU asset is initially measured at co which comprises:

The amount of the initial measurement of the lease liability;

Any lease payments made at or before the commencement date, less any lease incentives received; Any
initial direct costs incurred by the Company;

An estimate of costs to be incurred by the lessee in dismantling and removing the underlying asset.

The ROU asset is subsequently depreciated using the straight-line method from the commencement date
to the earlier of the end of the useful life of the ROU asset or the end of the lease term.

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

5.2 Company as Lessor

When the Company acts as a lessor, it classifies each lease as either an operating lease or a finance
lease.

Finance Lease: If the lease transfers substantially all the risks and rewards incidental to ownership of the
underlying asset, the lease is classified as a finance lease. The Company recognizes a net investment
in the lease and derecognizes the underlying asset. Interest income is recognized over the lease term
based on a pattern reflecting a constant periodic rate of return on the net investment.

Operating Lease: If the lease does not transfer substantially all the risks and rewards incidental to
ownership, it is classified as an operating lease. The Company continues to recognize the underlying
asset and recognizes lease income on a straight-line basis over the lease term.

i. Property, Plant, and Equipment

Property, plant, and equipment (PPE) are stated at cost, net of accumulated depreciation and accumulated
impairment losses, if any. The cost includes purchase price, borrowing costs, and any directly attributable
costs of bringing the asset to its working condition for its intended use.

Depreciation is provided on a straight-line basis over the useful lives of the assets as prescribed under
Schedule II of the Companies Act, 2013, as follows:

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

7. Intangible Assets

Intangible assets acquired separately are measured on initial recognition at cost. Internally generated
intangible assets, arising from the development phase of internal projects, are recognized if, and only if, all
the following conditions have been demonstrated:

1. The technical feasibility of completing the intangible asset so that it will be available for use or sale;

2. The intention to complete the intangible asset and use or sell it;

3. The ability to use or sell the intangible asset;

4. How the intangible asset will generate probable future economic benefits;

5. The availability of adequate technical, financial, and other resources to complete the development and
to use or sell the intangible asset;

6. The ability to measure reliably the expenditure attributable to the intangible asset during its development.

7. Research costs are expensed as incurred.

8. Amortization of intangible assets is provided on a straight-line basis over their estimated useful lives,
ranging from 3 to 5 years, commencing fro the date the asset is available for use

8. Goodwill

Goodwill represents the excess of the cost of an acquisition over the fair value of the Company''s share of the
net identifiable assets of the acquired entity at the date of acquisition. Goodwill is not amortized but is tested

for impairment annually or more frequently if events or changes in circumstances indicate that it might be
impaired.

For the purpose of impairment testing, goodwill is allocated to each of the Company''s cash-generating units
(CGUs) expected to benefit from the synergies of the combination. If the recoverable amount of the CGU is
less than its carrying amount, the impairment loss is allocated first to reduce the carrying amount of any
goodwill allocated to the CGU and then to the other assets of the CGU pro-rata based on the carrying
amount of each asset in the CGU.

>. Inventories

Inventories are valued at the lower of cost and net realizable value. Cost is determined as follows:

MRI Machines: Specific identification method is used due to the unique nature and high value of each unit.
Other Medical Devices: First-in, first-out (FIFO) method is used.

Cost includes all costs of purchase, conversion, and other costs incurred in bringing the inventories to their
present location and condition.

Net realizable value is the estimated selling price in the ordinary course of business, less estimated costs of
completion and the estimated costs necessary to make the sale.

0. Employee Benefits

10.1 Short-Term Employee Benefits

Short-term employee benefits, such as salaries, wages, and performance incentives, are recognized as
an expense in the period in which the employees render the related service.

10.2 Defined Contribution Plans

The Company makes contributions to statutory provident fund and employee state insurance schemes,
which are defined contribution plans. The Company has no further obligations beyond its monthly
contributions. Contributions are recognized as an expense in the period in which they are due.

10.3 Defined Benefit Plans

The Company provides for gratuity, a defined benefit plan, in accordance with the Payment of Gratuity
Act, 1972. The plan is funded through a gratuity trust. The liability is determined using the projected unit
credit method, with actuarial valuations being carried out at each balance sheet date.

Remeasurements, comprising actuarial gains and losses, the effect of the asset ceiling, excluding amounts
included in net interest on the net defined benefit liability, and the return on plan assets (excluding
amounts included in net interest on the net defined benefit liability), are recognized immediately in the
balance sheet with a corresponding debit or credit to other comprehensive income in the period in which
they occur.

10.4 Leave Encashment

The Company provides for leave encashment benefits, which are classified as bot short-term and long¬
term employee benefits depending on when the benefits are expected to be settled.

Short-term leave benefits expected to be settled within 12 months after the end of the period in which
employees render the related service are recognized on an undiscounted basis as an expense.

Long-term leave benefits (e.g., accumulated earned leave) are actuarially valued using the projected unit
credit method at the end of each reporting period. The resulting actuarial gains/losses are recognized in
the statement of profit and loss.

1. Income Taxes

11.1 Current Tax

Current tax is the amount of income taxes payable based on the taxable profit for the period, determined
in accordance with the provisions of the Income Tax Act, 1961. The tax is calculated using applicable
tax rates and laws enacted or substantively enacted as of the reporting date. Current tax assets and
liabilities are offset only when the Company has a legally enforceable right to set off and intends to
settle on a net basis.

11.2 Deferred Tax

Deferred tax is recognized on temporary differences between the carrying amounts of assets and
liabilities in the financial statements and the corresponding tax bases used in the computation of
taxable profit. Deferred tax liabilities are recognized for all taxable temporary differences, and
deferred tax assets are recognized for all deductible temporary differences, the carry forward of
unused tax credits, and unused tax losses to the extent it is probable that future taxable profits will
be available against which those can be utilized.Deferred tax is measured using the tax rates and tax
laws that have been enacted or substantively enacted as of the reporting date. Deferred tax assets
and liabilities are offset when the Company has a legally enforceable right to set off current tax assets
against current tax liabilities.

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Mar 31, 2024

2. SIGNIFICANT ACCOUNTING POLICIES

(a) Statement of compliance:

The financial statements of the Company have been prepared in accordance with Indian Accounting Standards ("Ind AS") notified under the Companies (Indian Accounting Standards) Rules, 2015, notified under Sec 133 of The Companies Act, 2013. The Accounting policies have been consistently applied except where a newly issued accounting standard is initially adopted or a revision to an existing standard requires a change in the accounting policies hitherto in use.

(b) Basis of preparation and presentation:

These financial statements have been prepared on a historical cost basis, except for certain financial instruments and net defined benefit liability that are measured at fair value at the end of each reporting period, as explained in the accounting policies below.

(c) Critical accounting estimates and judgments

The preparation of financial statements in conformity with IndAS requires management to

make judgements, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets and liabilities, disclosures of contingent liabilities at the date of the financial statements and the reported amounts of revenue and expenses for the years presented. Actual results may differ from these estimates.

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

In particular, information about significant areas of estimation, uncertainty and critical judgments in applying accounting policies that have the most significant effect on the amounts recognized in the financial statements pertain to:

• Useful lives of property, plant and

equipment: The Company has estimated useful life of each class of assets based on the nature of assets, the estimated usage of the asset, the operating condition of the asset, past history of replacement, anticipated technological changes, etc. The Company reviews the carrying amount of property, plant and equipment at the Balance Sheet date. This reassessment may result in change in depreciation expense in future periods.

• Impairment testing: Property, plant and equipment are tested for impairment when events occur or changes in circumstances indicate that the recoverable amount of the cash generating unit is less than its carrying value. The recoverable amount of cash generating units is higher of value-in-use and fair value less cost to sell. The calculation involves use of significant estimates and assumptions which includes turnover and earnings multiples, growth rates and net margins used to calculate projected future cash flows, risk-adjusted discount rate, future economic and market conditions.

• Income Taxes: Deferred tax assets are recognized to the extent that it is regarded as probable that deductible temporary differences can be realized. The Company estimates deferred tax assets and liabilities

based on current tax laws and rates and in certain cases, business plans, including management''s expectations regarding the manner and timing of recovery of the related assets. Changes in these estimates may affect the amount of deferred tax liabilities or the valuation of deferred tax assets and there the tax charge in the statement of profit or loss.

Provision for tax liabilities require judgments on the interpretation of tax legislation, developments in case law and the potential outcomes of tax audits and appeals which may be subject to significant uncertainty. Therefore the actual results may vary from expectations resulting in adjustments to provisions, the valuation of deferred tax assets, cash tax settlements and therefore the tax charge in the statement of profit or loss.

• Fair value measurement financial instruments: The fair value of financial instruments that are not traded in an active market is determined by using valuation techniques. This involves significant judgments to select a variety of methods and make assumptions that are mainly based on market conditions existing at the Balance Sheet date. Fair value of financial instruments that are traded in active market is determined from market prices as reduced by estimated cost of trading.

(d) Current versus Non-Current Classification

The Company presents assets and liabilities in the standalone balance sheet based on current/ noncurrent classification. An asset is treated as current when it is:

i. Expected to be realised or intended to be sold or consumed in the normal operating cycle,

ii. Held primarily for the purpose of trading,

iii. Expected to be realised within twelve months after the reporting period, or

iv. Cash or cash equivalent unless restricted from being exchanged or used to settle a liability for at least twelve months after the reporting period

All other assets are classified as non-current. A liability is current when:

i. It is expected to be settled in normal operating cycle,

ii. It is held primarily for the purpose of trading,

iii. It is due to be settled within twelve months after the reporting period, or

iv. There is no unconditional right to defer the settlement of the liability for at least twelve months after the reporting period.

All other liabilities are classified as non-current.

Deferred tax assets and liabilities are classified as noncurrent assets and liabilities. Operating cycle for current and non-current classification

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.

(e) Functional currency :

These financial statements are presented in Indian Rupees (INR) which is also the Company''s functional currencies.

(f) Revenue recognition :

Revenue from contracts with customers is recognised when control of the goods and services are transferred to the customer at an amount that reflects the consideration to which the Company expects to be entitled in exchange for those goods or services.

Allocation of transaction price to performance obligations - A contract''s transaction price is allocated to each distinct performance obligation and recognised as revenue, when, or as, the performance obligation is satisfied. To determine the proper revenue recognition method, the Company evaluate whether two or more contracts should be combined and accounted for as one single contract and whether the combined or single contract should be accounted for as more than one performance obligation. This evaluation requires significant judgment; mostly the Company''s contracts have a single performance obligation as the promise to transfer the individual services is not separately identifiable from other promises in the contracts and. therefore, not distinct.

(g) Interest

Interest income is accrued on a time proportion basis using the effective interest rate method.

(h) Dividend

Dividend Income from investments is recognized when the Company’s right to receive the amount has been established (provided that it is probable that the economic benefits will flow to the Company and the amount of income can be measured reliably) which is generally when shareholder approves the dividend and it is probable that economic benefit associated with the dividend will flow to the Company and the amount of dividend can be measured reliably.

(i) Property, Plant and Equipment:

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

All property, plant and equipment are initially recorded at cost. Cost includes the acquisition cost or the cost of construction, including duties and taxes (other than those refundable), expenses directly related to the location of assets and making them operational for their intended use and, in the case of qualifying assets, the attributable borrowing costs. Initial estimate shall also include costs of dismantling and removing the item and restoring the site on which it is located.

Subsequent expenditure relating to property, plant and equipment is capitalised 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.

An assets’ carrying amount is written down immediately to its recoverable amount if the asset’s carrying amount is greater that its estimated recoverable amount.

Depreciation is charged to profit or loss so as to write off the cost of assets (other than freehold land and properties under construction) less their residual values over their useful lives, using the straight-line method except for asset situated at Registered Office, which are depreciated by written down value method .The estimated useful lives, residual values and depreciation method are reviewed at the Balance Sheet date, with the effect of any changes in estimate accounted for on a prospective basis. The estimated useful lives

of the depreciable assets is in accordance with rules prescribed under part " C "of Schedule II to the Companies Act, 2013.

An item of property, plant and equipment is derecognized upon disposal or when no future economic benefits are expected to arise from the continued use of the asset. Any gain or loss arising on the disposal or retirement of an item of property, plant and equipment is determined as the difference between the sales proceeds and the carrying amount of the asset and is recognized in the Statement of Profit and Loss.

(j) Impairment of assets:

Assets that have an indefinite useful life are not subject to amortisation and are tested annually for impairment. Assets that are subject to amortisation are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is recognised for the amount by which the asset’s carrying amount exceeds its recoverable amount.

Recoverable amount is the higher of fair value less costs of disposal and value in use. In assessing value in use, the estimated future cash flows are discounted to their present value using a pretax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset for which the estimates of future cash flows have not been adjusted.

If the recoverable amount of an asset (or cashgenerating unit) is estimated to be less than its carrying amount, the carrying amount of the asset (or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognized immediately in the Statement of Profit and Loss.

When an impairment loss subsequently reverses, the carrying amount of the asset (or a cashgenerating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognized for the asset (or cash-generating unit) in prior years. A reversal of an impairment loss is recognized immediately in Statement of Profit and Loss.

(k) Foreign Currency Translation :

Initial Recognition

On initial recognition, all foreign currency transactions are recorded by applying to the foreign currency amount the exchange rate between the reporting currency and the foreign currency at the date of the transaction.

Subsequent Recognition

As at the reporting date, non-monetary items which are carried at historical cost and denominated in a foreign currency are reported using the exchange rate at the date of the transaction. All nonmonetary items which are carried at fair value or other similar valuation denominated in a foreign currency are reported using the exchange rates that existed when the values were the fair value measured.

All monetary assets and liabilities in foreign currency are restated at the end of accounting period. Exchange differences on restatement of other monetary items are recognised in the Statement of Profit and Loss.

(l) Inventories:

• Finished goods are valued as follows :

¦ All finished goods are valued at lower of weighted average cost or net realizable value.

¦ Molasses, a byproduct is valued at estimated net realizable value.

• Crops under cultivation are valued at cost.

• Work in progress is valued at lower of weighted average cost or net realisable value of the finished goods duly adjusted according to the percentage of progress.

• Raw materials, stores, spares, materials in transit are valued at weighted average cost. However, when the net realizable value of the finished goods they are used in is less than the cost of the finished goods and if the replacement cost of such materials etc. is less than their holding cost in such an event, they are valued at replacement cost.

(m) Government Grants

Government grants are recognised in the period to which they relate when there is reasonable

assurance that the grant will be received and that the Company will comply with the attached conditions

Government grants are recognised in the Statement of Profit and Loss on a systematic basis over the periods in which the Company recognises as expenses the related costs for which the grants are intended to compensate.

(n) Tax Expense

The tax expense for the period comprises current tax and deferred income tax. Tax is recognized in the statement of income except to the extent it relates to items directly recognized in equity or in other comprehensive income.

(i) Current Tax:

Current tax assets and liabilities are measured at the amount expected to be recovered from or paid to the taxation authorities, based on tax rates and laws that are enacted or substantively enacted at the Balance sheet date.

(ii) Deferred Tax:

Deferred tax is recognised on temporary differences between the carrying amounts of assets and liabilities in the financial statements and the corresponding tax bases used in the computation of taxable profit.

Deferred tax assets are recognized to the extent it is probable that taxable profit will be available against which the deductible temporary difference and the carry forward of unused tax credit and unused tax losses, if any, can be utilized. Deferred tax liabilities and assets are measured at the tax rates that are expected to apply in the period in which the liability is settled or the asset realized, based on tax rates (and tax laws) that have been enacted or substantively enacted by the end of the reporting period. The carrying amount of deferred tax liabilities and assets are reviewed at the end of each reporting period.

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Mar 31, 2023

Significant accounting policies

Fischer Chemic Limited (the company) was incorporated in India in the year 1993 as public limited company and is
listed on Bombay stock exchange having its registered office at 104,1st Floor, Raghuleela Mega Mall, Poisar Depot,
Kandivali, Mumbai - 400067. The company''s main object is trading in chemicals and machineries and commission &
brokerage

a. Basis of preparation

(i) Compliance with Ind AS

The company has prepared financial statements which comprise the Balance Sheet as at 31 March, 2023, the Statement of
Profit and Loss for the year ended 31 March, 2023, the Statement of Cash Flows for the year ended 31 March, 2023 and
the Statement of Changes in Equity for the year ended as on that date, and accounting policies and other explanatory
information for the year ended March 31, 2023 in accordance with Indian Accounting Standards (Ind AS) notified under
Section 133 of the Companies Act, 2013 (the Act), Companies (Indian Accounting Standards)Rules, 2015 and other
relevant provisions of the Act together with comparative period data as at and for the year ended March 31, 2022.

(ii) Historical Cost Convention

The financial statements have been prepared on a historical cost basis.

(iii) Current versus Non-Current Classification

The Company presents assets and liabilities in the standalone balance sheet based on current/ noncurrent classification.
An asset is treated as current when it is:

i. Expected to be realised or intended to be sold or consumed in normal operating cycle,

ii. Held primarily for the purpose of trading,

iii. Expected to be realised within twelve months after the reporting period, or

iv. Cash or cash equivalent unless restricted from being exchanged or used to settle a liability for at least twelve months
after the reporting period

All other assets are classified as non-current.

A liability is current when:

i. It is expected to be settled in normal operating cycle,

ii. It is held primarily for the purpose of trading,

iii. It is due to be settled within twelve months after the reporting period, or

iv. There is no unconditional right to defer the settlement of the liability for at least twelve months after the reporting
period.

All other liabilities are classified as non-current.

Deferred tax assets and liabilities are classified as noncurrent assets and liabilities.

Operating cycle for current and non-current classification

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.

b. Revenue Recognition

Revenue from contracts with customers is recognised when control of the goods and services are transferred to the
customer at an amount that reflects the consideration to which the Company expects to be entitled in exchange for those
goods or services.

Allocation of transaction price to performance obligations - A contract''s transaction price is allocated to each distinct
performance obligation and recognised as revenue, when, or as, the performance obligation is satisfied. To determine the
proper revenue recognition method, the Company evaluate whether two or more contracts should be combined and
accounted for as one single contract and whether the combined or single contract should be accounted for as more than
one performance obligation. This evaluation requires significant judgment; mostly the Company''s contracts have a single
performance obligation as the promise to transfer the individual services is not separately identifiable from other
promises in the contracts and. therefore, not distinct.

(iii) Interest Income

Interest income is recognized on a time proportion basis taking into account the amount outstanding and the applicable
interest rate.

(iv) Dividend Income

Dividend Income from investments is recognized when the Company''s right to receive the amount has been established
(provided that it is probable that the economic benefits will flow to the Company and the amount of income can be
measured reliably) which is generally when shareholder approves the dividend and it is probable that economic benefit
associated with the dividend will flow to the company and the amount of dividend can be measured reliably.

c. Tax Expense

The tax expense for the period comprises current tax and deferred income tax. Tax is recognized in the statement of
income except to the extent it relates to items directly recognized in equity or in other comprehensive income.

(i) Current Tax:

Current tax assets and liabilities are measured at the amount expected to be recovered from or paid to the taxation
authorities, based on tax rates and laws that are enacted or substantively enacted at the Balance sheet date.

(ii) Deferred Tax:

Deferred tax is recognised on temporary differences between the carrying amounts of assets and liabilities in the
financial statements and the corresponding tax bases used in the computation of taxable profit.

Deferred tax assets are recognized to the extent it is probable that taxable profit will be available against which the
deductible temporary difference and the carry forward of unused tax credit and unused tax losses, if any, can be utilized.
Deferred tax liabilities and assets are measured at the tax rates that are expected to apply in the period in which the
liability is settled or the asset realized, based on tax rates (and tax laws) that have been enacted or substantively enacted
by the end of the reporting period. The carrying amount of deferred tax liabilities and assets are reviewed at the end of
each reporting period.

(iii) Minimum Alternate Tax: MAT credit is recognised as an asset only when and to the extend there is convincing
evidence that company will pay higher than the computed under MAT, during the period that MAT is permitted to be
set off under the Income Tax Act, 1961.

d. Cash and cash equivalents

For the purposes of presentation in the statement of cash flows, cash and cash equivalents include cash on hand, in banks
and other short-term highly liquid investments with original maturities of three months or less that is readily convertible
to known amounts of cash and which are subject to insignificant risk of change in value.

e. Trade Receivables

Trade receivables are recognised initially at fair value and subsequently measured at amortised cost using the effective
interest method, less provision for impairment, if any.

f. Financial instruments
i) Financial Assets

A. 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. Purchase and sale of
financial assets are recognised using trade date accounting.

B. Subsequent measurement

a) Financial assets carried at amortised cost (AC)

A financial asset is measured at amortised cost if it is held within a business model whose objective is to hold the asset in
order to collect contractual cash flows and the contractual terms of the financial asset give rise on specified dates to cash
flows that are solely payments of principal and interest on the principal amount outstanding.

b) Financial assets at fair value through other comprehensive income (FVOCI)

A financial asset is measured at FVOCI if it is held within a business model whose objective is achieved by both
collecting contractual cash flows and selling financial assets and the contractual terms of the financial asset give rise on
specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

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

A financial asset which is not classified in any of the above categories are measured at FVTPL.

C. Other Equity Investments

All other equity investments are measured at fair value, with value changes recognised for those equity investments for
which the Company has elected to present the value changes in ''Other Comprehensive Income''.

D. Impairment of financial assets

The Company recognizes loss allowances using the expected credit loss (ECL) model for the financial assets which are
not fair valued through profit or loss. Loss allowance for trade receivables with no significant financing component is
measured at an amount equal to lifetime ECL. The amount of expected credit losses (or reversal) that is required to
adjust the loss allowance at the reporting date to the amount that is required to be recognized is recognized as an
impairment gain or loss in profit or loss.

(ii)Financial liabilities

A. Initial recognition and measurement

All financial liabilities are recognized at fair value and in case of loans, net of directly attributable cost. Fees of recurring
nature are directly recognised in the Statement of Profit and Loss as finance cost.

B. Subsequent measurement

(i) Trade and other payables:

These amounts represent liabilities for goods and services provided to the company prior to the end of financial year
which are unpaid. The amounts are unsecured and are usually paid within 30 days of recognition. Trade and other
payables are presented as current liabilities unless payment is not due within 12 months after the reporting period. They
are recognised initially at their fair value and subsequently measured at amortised cost using the effective interest
method.

(ii) Loans and borrowings:

After initial recognition, interest-bearing loans and borrowings are subsequently measured at amortised cost using the
EIR method. Gains and losses are recognised in profit or loss when the liabilities are derecognised as well as through the
Effective Interest Rate (EIR) amortisation process. The EIR amortisation is included as finance costs in the statement of
profit and loss. This category generally applies to borrowings.

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Mar 31, 2014

(a) The company follows the accural system of accounting in accordance with the requirement of the Companies Act, 1956 and complies with the accounting standards referred to in sub- section 211 of the said Act.

(b) The accounts are prepared on historical cost basis and on the basis of going concern. Accounting policies not specifically referred to otherwise are consistent with generally accepted accounting priniciples.

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Mar 31, 2012

A. BASIS FOR PREPARATION OF FINANCIAL STATEMENTS

The financial statements have been prepared under the historical cost convention on the accrual basis and in accordance with Generally Accepted Accounting Principles (GAAP) applicable in India, the Accounting Standards notified under section 211(3C) and other relevant provisions of the Companies Act, 1956.

b. USE OF ESTIMATES

The preparation of Financial Statements in conformity with GAAP requires that the management of the Company makes estimates and assumptions that affect the reported amounts of income and expenses of the period, the reported balances of assets and liabilities and the disclosures relating to contingent liabilities as of the date of the financial statements. Examples of such estimates include the useful lives of fixed assets and intangible assets, provision for doubtful debts/advances, future obligations in respect of retirement benefit plans, etc. Actual results could differ from these estimates. Differences between the actual results and estimates are recognized in the period in which the results are known/ materialized. Management believes that the estimates used in preparation of financial statements are prudent and reasonable.

c. FIXED ASSETS:

Fixed Assets are stated at cost less accumulated depreciation. All significant costs relating to the acquisition and installation of fixed assets are capitalized. Assets acquired under finance lease are recognized at the inception of lease at the lower of the fair value or present value of Minimum Lease payments. The initial direct costs incurred in connection with the finance lease are recognized as an assets under the lease.

d. DEPRECIATION AND AMORTISATION:

Depreciation on Fixed Assets has been provided on Straight-line Method (SLM) at the rates and in the manner prescribed in Schedule XIV to the Companies Act, 1956 which coincides with the useful life of the assets as estimated by the management. Depreciation on assets sold/discarded during the period is proportionately charged. Individual low cost assets (acquired for less than Rs.5,000/-) are depreciated in the year of acquisition. Intangible assets are amortized over their estimated useful life on straight-line basis.

e. INVESTMENTS:

Investments that are readily realizable and intended to be held for not more than a year are classified as "Current Investments". All other investments are classified as Long-term investments.

Current Investments are carried at lower of cost or market/fair value determined on an individual investment basis.

Long Term Investments are valued at cost. Provision for diminution in the value of long term investment is made only if such decline is other than temporary in nature.

f. FOREIGN CURRENCY TRANSACTIONS:

Foreign exchange transactions are normally recorded at the exchange rate prevailing on the date of the respective transaction. Foreign exchange monetary items in the balance sheet are translated at the year-end rates. Exchange differences on settlement of/ conversion are recognized in the Profit or Loss Account.

g. BORROWING COSTS

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

h. REVENUE RECOGNITION

i. The Company recognizes revenue on sale of goods when goods are dispatched to the customers which are when the risk and rewards of the ownership of the goods pass on to the customers.

ii. Sales are net of discounts and inclusive of Excise Duty and Sales tax, wherever applicable.

iii. Interest income is recognized on time-proportion basis.

i. INVENTORIES:

Inventories are valued at lower of cost and estimated net realizable value after providing for cost of obsolescence and other anticipated losses, wherever considered necessary. Cost includes taxes, duties and all incidental expenses directly attributable to the purchases. Method of assignment of cost is as under:

i. Raw Material, Stores and Spares: First in First out Method

ii. Work In Progress: Direct Expenses plus appropriate factory overheads on the basis of completed production

iii. Finished goods: Cost of goods plus direct expenses plus appropriate factory overheads

iv. Traded goods: Actual costs

j. EMPLOYEE BENEFITS:

a. Gratuity:

In accordance with the Payment of Gratuity Act, 1972, the company provides for gratuity, a non-funded defined benefit retirement plan ("Gratuity Plan") covering all employees. The company estimates its liability on valuation as per the payment of Gratuity Act as of each year-end balance sheet date and is charged to Profit and Loss Account in accordance with AS-15 (Revised).

b. Provident Fund/ESI:

(i) The Company's superannuating scheme, State governed provident fund scheme and employee state insurance scheme are the defined contribution plans. The company contributes a fixed sum to the Provident Fund/ Employee State Insurance Scheme maintained by the Central Government. The contribution paid/payable under the schemes is recognized during the period in which the employee renders the related service.

c. Leave Salary:

In respect of Leave Salary, the same is accounted as and when the liability arises in accordance with the provision of law governing the establishment and at each balance sheet date the leave encashment eligibility is determined and provided for.

k. LEASES:

Finance Lease: Leases which effectively transfer to the company the entire risks and benefit incidental to ownership of the leased item, are classified as Finance Lease. Lease rentals are capitalized at the lower of the fair value and present value of the minimum lease payments at the inception of the lease term and disclosed as leased assets. Lease payments are apportioned between finance charges and reduction of the lease liability based on the implicit rate of return. Finance charges are charged directly against income life of the assets.

l. TAXES ON INCOME:

Taxes on Income are accrued in the same period as the revenue and the expenses to which they relate. Deferred tax assets are recognized to the extent there is a virtual certainty of its realization.

m. GOVERNMENT GRANTS:

Subsidy received from the State Government towards the part of the project cost has been shown under the head "Reserves and Surplus"

n. EARNINGS PER SHARE:

Earnings considered in ascertaining the Company's earnings per share comprise of the net profit after tax. The number of shares used in computing the basic earnings per share is weighted average number of shares outstanding during the year. The number of shares used in computing diluted earnings per share comprises the weighted average share considered for deriving basic earnings per share, and also the weighted average number of shares, if any, which would have been issued on the conversion of dilutive potential equity shares, if any.

o. IMPAIRMENT OF ASSETS:

As at Balance Sheet Date, the carrying amount of assets is tested for impairment so as to determine:

"a. Provision for Impairment Loss, if any, required or"b. The reversal, if any, required of impairment loss recognized in previous periods.""

Impairment Loss is recognized when the carrying amount of an asset exceeds its recoverable amount.

p. PROVISIONS:

A provision is recognized when an enterprise has a potential obligation as a result of past event; it is probable that an outflow of resources will be required to settle the obligation, in respect of which a reliable estimate can be made. Provisions are not discounted to its present value and are determined based on best estimate required to settle the obligation at the balance sheet date. These are reviewed at each balance sheet date and adjusted to the current best estimates.

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Mar 31, 2010

A) BASIS FOR PREPARATION OF FINANCIAL STATEMENTS

The Financial Statements have been prepared under historical cost conventions on the accrual basis and in accordance with the Generally Accepted Accounting Principles (‘GAAP) applicable in India, the Accounting Standards notified under section 211(3C) and other relevant provisions of the Companies Act, 1956.

B) USE OF ESTIMATES

The preparation of Financial Statements in conformity with GAAP requires that the management of the Company makes estimates and assumptions that affect the reported amounts of income and expenses of the period, the reported balances of assets and liabilities and the disclosures relating to contingent liabilities as of the date of the financial statements. Examples of such estimates include the useful lives of fixed assets and intangible assets, provision for doubtful debts / advances, future obligations in respect of retirement benefit plans, etc. Actual results could differ from these estimates. Difference between the actual results and estimates are recognized in the period in which the results are known/materialized. Management believes that the estimates used in preparation of financial statements are prudent and reasonable.

C) FIXED ASSETS

Fixed Assets are stated at cost less accumulated depreciation. All significant costs relating to the acquisition and installation of fixed assets are capitalized. Assets acquired under finance lease are recognized at the inception of lease at the lower of the fair value or present value of Mnimum Lease Payments. The initial direct costs incurred in connection with the finance lease are recognized as an asset under the lease.

D) DEPRECIATION AND AMORTISATION

Depreciation on fixed assets is provided on Straight-line method (SLM) at the rates and in the manner prescribed in Schedule XIV to the Companies Act, 1956 which coincides with the useful life of the assets as estimated by the management. Depreciation of Assets sold / discarded during the period is proportionately charged. Individual low/cost assets (acquired for less than Rs 5,000/-) are depreciated in the year of acquisition. Intangible assets are amortized over their estimated useful life on a straight-line basis.

E) INVESTMENTS:

Investments that are readily realizable and intended to be held for not more than a year are classified as “Current Investments’. All other Investments are classified as Long Term Investments.

Current Investments are carried at lower of cost or Market / Fair Value determined on an individual investment basis.

Long Term investments are valued at cost. Provision for diminution in the value of long-term investment is made only if such decline is other than temporary in nature.

F) FOREIGN CURRENCY TRANSACTIONS

Foreign Exchange transaction is recorded at the rate of exchange prevailing on the date of the respective transaction. Foreign exchange monetary items in the Balance Sheet are translated at the year-end rates. Exchange differences on settlement of / conversion are recognized in the Profit & Loss account.

G) BORROWING COSTS

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

H) REVENUE RECOGNITION

i. The Company recognizes revenue on sale of goods when the goods are dispatched to the customers which are when the risk and rewards of the ownership of the goods pass on to the customers.

ii. Sales are net of discounts and inclusive of Excise duty and Sales tax, wherever applicable.

iii. Interest income is recognized on time-proportion basis.

I) INVENTORIES

Inventories are valued at lower of cost and estimated net realizable value after providing for cost of obsolescence and other anticipated losses, wherever considered necessary. Cost includes taxes, duties and all incidental expenses directly attributable to the purchases. Method of assignment of cost is as under

Method of assignment of cost is as under

Raw Material, Stores & Spares First In First Out Method

Work - in - progress Direct expenses plus appropriate Factory overheads on the basis of completed production.

Finished Goods Cost of goods, direct expenses plus appropriate Factory overheads.

Traded Goods Actual cost

J) EMPLOYEE BENEFIT

The company’s superannuating scheme, state governed provident fund scheme and employee state insurance scheme are defined contribution plans. The company contributes a fixed sum to the Provident Fund / Employees State Insurance Scheme maintained by the Central Government. The contribution paid/payable under the schemes is recognised during the period in which the employee renders the related service.

In accordance with the Payment of Gratuity Act, 1972, the Company provides for gratuity a non-funded defined benefit retirement plan (the “Gratuity Plan”) covering all employees. The company estimates its liability on valuation as per the payment of Gratuity Act as of each year-end balance sheet date, and is charged to Profit and Loss Account in accordance with AS-15 (revised).

K) LEASES

Finance Lease

Leases, which effectively transfer to the company the entire risks and benefits incidental to ownership of the leased item, are classified as Finance Lease. Lease rentals are capitalized at the lower of the fair value and present value of the minimum lease payments at the inception of the lease term and disclosed as leased assets. Lease payments are apportioned between the finance charges and reduction of the lease liability based on the implicit rate of return. Finance charges are charged directly against income life of the assets at the following rates

Operating Lease

Lease where the lessor effectively retains substantially all risks and benefits of the asset are classified as Operating lease. Operating lease payments are recognized as an expense in the Profit & Loss account on a Straight Line Basis over the Lease term

I) INCOME TAXES

Tax expenses comprises of Current, Deferred and Fringe Benefit Tax

(i) Current income tax is determined as the amount of tax payable in respect of taxable income for the period computed in accordance with the Income Tax Act, 1961.

(ii) Deferred Tax is recognized on timing differences between the accounting income and the taxable income for the reporting period and is capable of reversal in one or more subsequent periods. Deferred tax are quantified using the tax rates and laws enacted or substantively enacted as on the Balance Sheet Date.

(iii) Deferred tax assets are recognized and 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. Deferred tax asset on unabsorbed depreciation and carry forward of losses are not recognized unless there is virtual certainty that sufficient future taxable income will be available against which such deferred tax assets can be realized.

M) EARNINGS PER SHARE

In determining the Earnings Per share, the company considers the net profit after tax this includes any post tax effect of any extraordinary / exceptional item The number of shares used in computing basic earnings per share is the weighted average number of shares outstanding during the period. The number of shares used in computing Diluted earnings per share comprises the weighted average number of shares considered for computing Basic Earning per share and also the weighted number of equity shares that would have been issued on conversion of all potentially dilative shares.

N) IMPAIRMENT OF ASSETS

At each Balance Sheet date, the carrying values of the tangible and intangible assets are reviewed to determine whether there is any indication that those assets have suffered an impairment loss. If any such indication exists, the recoverable amount of the asset is estimated in order to determine the extent of the impairment loss. Where there is an indication of impairment, loss is recognized in the Profit and Loss account when the carrying amount of an asset exceeds its recoverable amount. The recoverable amount is the greater of the assets net selling price and value in use.

Value in use is determined from the Present Value of the estimated future cash flows from continuing use of the assets. The impairment loss recognized in prior accounting period is reversed if there is a change in the estimate of recoverable amount.

O) PROVISIONS, CONTINGENT LIABILITIES AND CONTINGENT ASSET

Provisions are recognized only when there is a present obligation as a result of past events and when a reliable estimate of the amount of obligation can be made.

Contingent Liability is disclosed for

a) Possible obligation which will be confirmed only by future events not wholly with in the control of the company or

b) Present obligations arising from the past events where it is not probable that an outflow of resources will be required to settle the obligation or a reliable estimate of the amount of the obligation can not be made.

c) Contingent Assets are not recognized in the financial statements since this may result in the recognition of income that may never be realized.