GNA Axles Ltd. के अकाउंट के लिये नोट

Mar 31, 2025

k) Provisions, Contingent Liabilities and
Contingent Assets

Provisions are recognised when the
Company has a present legal or constructive
obligation as a result of past events, it
is probable that an outflow of resources
will be required to settle the obligation
and the amount can reliably estimated.
Provisions are measured at the present
value of management''s best estimate of the
expenditure required to settle the present
obligation at the end of the reporting period.
Liabilities which are material and whose
future outcome cannot be ascertained
with reasonable certainty are treated
as contingent. The company does not
recognise a contingent liability but discloses
its existence in financial statements

l) Cash flow statement

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

m) Foreign Currency Transactions

The functional currency of the company is
Indian Rupee. These financial statements
are presented in Indian Rupee.

Transactions and Balances.

The foreign current transactions are
recorded, on initial recognition in the
functional currency, by applying foreign

current amount the spot exchange rate
between the functional currency and the
foreign current at the date of transaction.
The foreign current monetary items are
translated using closing rate at the end of
each reporting period. Non-monetary items
that are measured in terms of historical
cost in a foreign currency shall be translated
using the exchange rate at the date of
transaction. Exchange differences arising
on the settlement of monetary items or on
translating monetary items at rates different
from those at which they were translated
on initial recognition during the period or
in previous financial statements shall be
recognised in profit or loss in the period in
which they arise.

n) Retirement & Other Benefits

i.) Gratuity: The Company has a defined
benefit gratuity plan. Every employee
who has completed 5 years are more of
service is entitled to gratuity on terms

not less favorable than the Provisions
of "The Payment of Gratuity Act 1972."
The company contributes periodically
with LIC of India.

. ii) Provident Fund: Retirement benefit in
the form of provident fund is a defined
contribution scheme. The company
has no obligation, other than the
contribution payable to the provident
fund. The company recognises
contribution payable to the provident
fund scheme as an expenses, when an
employee renders the related service.
iii) Superannuation Fund: Certain employees
are also participants in the superannuation
plan which is a defined contribution plan.
The company has no further obligations to
the plan beyond its monthly contribution
which are periodically contributed to
corpus which is invested with the Life
Insurance Corp. of India.

25. CORPORATE SOCIAL RESPONSIBILITY

As per the provisions of amended companies Act 2013 the companies having profit of '' 5 Cr or more has to spent 2% of their
average profits of last 3 years upon specific activity falling within CSR. The CSR Budget for the year 2024-25 of the company
was '' 27,340,158/-(after adjusting excess spent of previous year). The company has spent '' 27,706,247/- on CSR activities
during the Financial Year 2024-25 with the approval of CSR Committee of the Board. There is no unspent CSR Amount as on
March 31,2025.

27. DETAILS OF BENAMI PROPERTY

No proceedings has been initiated or pending against the Company for holding any benami property under The Benami
Transactions (Prohibition) Act, 1988.

28. RELATED PARTY DISCLOSURE

31. In the opinion of the Board of Directors, the Current Assets, Loans and Advances are approximately of the value stated if
realised in the ordinary course of business. The Provision for all known liabilities is adequate and not in excess of amount
reasonably necessary.

32. FOREIGN EXCHANGE EARNINGS

The company has exported goods during the year FOB value of which is '' 7,671,368,654/-.

33. BORROWING FROM BANKS AND FINANCIAL INSTITUTIONS

The company has taken Term loans from Banks during the year under Audit. The company Utilised the amount of Term Loans
raised for the purpose for which it was obtained.

The company also borrowed working capital facility from banks against current assets. The quarterly/Monthly statements filed
by the company with banks are in agreement with books of accounts. No discrepancies noticed.

Remarks

i) Increase in Debt Service Ratio is due to Increase in Profits and Decrease in Repayment of Term loans.

41. Previous Years Figures have been re-grouped/ re-arranged wherever consider necessary.

42. The comparative financial information of the Company for the year ended. March 31, 2024 included in these Ind AS
financial statements, are based on the previously issued statutory financial statements which were audited by the
predecessor auditor (M/s Harish & Co.) who expressed an unmodified opinion vide reports dated May 24, 2024.

For G.S. SYAL & CO.

Chartered Accountants (FRN - 000457N)

(GURCHARAN SINGH) Ranbir Singh Kulwin Seehra

Partner Mg. Director & CEO Executive Director

M. No. 080075

UDIN: 25080075BMGYMP2384

Place: Jalandhar Rakesh Kumar Gourav Jain

Dated: April 21,2025 Chief Financial Officer Company Secretary

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Mar 31, 2024

k) Provisions, Contingent Liabilities and Contingent Assets

Provisions are recognised when the Company has a present legal or constructive obligation as a result of past events, it is probable that an outflow of resources will be required to settle the obligation and the amount can reliably estimated. Provisions are measured at the present value of management''s best estimate of the expenditure required to settle the present obligation at the end of the reporting period.

Liabilities which are material and whose future outcome cannot be ascertained with reasonable certainty are treated as contingent. The Company does not recognise a contingent liability but discloses its existence in financial statements

l) Cash flow statement

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

m) Foreign Currency Transactions

The functional currency of the Company is Indian Rupee. These financial statements are presented in Indian Rupee.

Transactions and Balances.

The foreign current transactions are recorded, on initial recognition in the functional currency, by applying foreign current amount the spot exchange rate between the functional currency and the foreign current at the date of transaction.

The foreign current monetary items are translated using closing rate at the end of each reporting period. Non-monetary items that are measured in terms of historical cost in a foreign currency shall be translated using the exchange rate at the date of transaction. Exchange differences arising on the settlement of monetary items or on translating monetary items at rates different from those at which they were translated on initial recognition during the period or in previous financial statements shall be recognised in profit or loss in the period in which they arise.

n) Retirement & Other Benefits

i.) Gratuity: - The Company has a defined benefit gratuity plan. Every employee who has completed 5 years are more of service is entitled to gratuity on terms not less favorable than the Provisions

of " The Payment of Gratuity Act 1972." The Company contributes periodically with LIC of India.

ii) Provident Fund: - Retirement benefit in the form of provident fund is a defined contribution scheme. The Company has no obligation, other than the contribution payable to the provident fund. The Company recognises contribution payable to the provident fund scheme as an expenses, when an employee renders the related service. iii.) Superannuation Fund:- Certain employees are also participants in the superannuation plan which is a defined contribution plan. The Company has no further obligations to the plan beyond its monthly contribution which are periodically contributed to corpus which is invested with the Life Insurance Corp. of India.

25. Corporate Social Responsibility

As per the provisions of amended companies Act 2013 the companies having profit of 5CR or more has to spent 2% of their average profits of last 3 years upon specific activity falling within CSR. The CSR Budget for the year 2023-24 of the Company was '' 2,90,22,976/- (including unspent of previous year). The Company has spent '' 3,01,53,774/- on CSR activities during the Financial Year 2023-24 with the approval of CSR Committee of the Board. There is no unspent CSR Amount as on 31.03.2024

27. Details of Benami Property

No proceedings has been initiated or pending against the Company for holding any benami property under The Benami Transactions (Prohibition) Act, 1988.

28. Related Party Disclosure

Disclosures as required by Accounting Standards (Ind AS-24) "Related Party Disclosure" are given below.

(a) Related Parties

S. Gursaran Singh - Executive Chairman S. Jasvinder Singh - Executive Vice-Chairman S. Ranbir Singh - Managing Director & CEO S. Maninder Singh - Whole time Director

32. Foreign Exchange Earnings

The Company has exported goods during the year FOB value of which is '' 7,03,87,52,269/-.

33. Borrowing from Banks and financial Institutions

The Company has taken Term loans from Banks during the year under Audit. The Company Utilizised the amount of Term Loans raised for the purpose for which it was obtained.

The Company also borrowed working capital facility from banks against current assets. The quarterly/Monthly statements filed by the Company with banks are in agreement with books of accounts. No discrepancies noticed.

36. Loan and Advances to directors/ KMP/ Related Parties:

During the year under audit the Company has not granted any Loan and Advances to directors/KMP/Related Parties either severally or jointly with any other persons.

37. Transaction with struck off companies:

During the year under audit the Company has not entered into any transactions with another company whose name has been struck off.

39. Registration of charges or Satisfaction with Registrar of companies:

The Company has registered charges for Term Loans availed during the year with the Registrar of Companies. The Company has satisfied the charges with Registrar of companies for loans, the re-payment of which was completed.

i) Decrease in Debt Service Ratio is due to Decrease in Generation of Funds and Increase in Repayment of Term loans.

ii) Decrease in Return on Equity ratio is due to fall in Profits.

iii) Decrease in Return on Capital Employed is due to fall in profits and increase in Depreciation Expenses.

41. Previous Years Figures have been re-grouped/ re-arranged wherever consider necessary.

As per our Report of even date annexed.

For Harish & Co.

Chartered Accountants (FRN017372N)

(SURAJ BAJAJ ) Ranbir Singh Kulwin Seehra

Partner Managing Director Whole Time Director

M.No. 538094

Place: Jalandhar Rakesh Kumar Gourav Jain

Dated: May 24, 2024 Chief Financial Officer Company Secretary

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Mar 31, 2023

Provisions, Contingent Liabilities and Contingent Assets

Provisions are recognised when the Company
has a present legal or constructive obligation
as a result of past events, it is probable that
an outflow of resources will be required to
settle the obligation and the amount can
reliably estimated. Provisions are measured
at the present value of management''s best
estimate of the expenditure required to
settle the present obligation at the end of the
reporting period.

Liabilities which are material and whose
future outcome cannot be ascertained
with reasonable certainty are treated
as contingent. The Company does not
recognise a contingent liability but discloses
its existence in financial statements

l) Cash flow statement

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

m) Foreign Currency Transactions

The functional currency of the Company is
Indian Rupee. These financial statements are
presented in Indian Rupee.

Transactions and Balances.

The foreign current transactions are recorded,
on initial recognition in the functional
currency, by applying foreign current
amount the spot exchange rate between the
functional currency and the foreign current at
the date of transaction.

The foreign current monetary items are
translated using closing rate at the end of
each reporting period. Non-monetary items
that are measured in terms of historical
cost in a foreign currency shall be translated
using the exchange rate at the date of
transaction. Exchange differences arising
on the settlement of monetary items or on
translating monetary items at rates different
from those at which they were translated
on initial recognition during the period or
in previous financial statements shall be
recognised in profit or loss in the period in
which they arise.

n) Retirement & Other Benefits

i.) Gratuity: - The Company has a defined
benefit gratuity plan. Every employee
who has completed 5 years are more of
service is entitled to gratuity on terms
not less favorable than the Provisions

of " The Payment of Gratuity Act 1972."
The Company contributes periodically
with LIC of India.

ii) Provident Fund: - Retirement benefit in

the form of provident fund is a defined
contribution scheme. The Company
has no obligation, other than the
contribution payable to the provident
fund. The Company recognises
contribution payable to the provident
fund scheme as an expenses, when an
employee renders the related service.

iii.) Superannuation Fund:- Certain

employees are also participants in the
superannuation plan which is a defined
contribution plan. The Company has no
further obligations to the plan beyond
its monthly contribution which are
periodically contributed to corpus which
is invested with the Life Insurance Corp.
of India.

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Mar 31, 2018

1. RETIREMENT & OTHER BENEFITS

a) Gratuity: - The Company has a defined benefit gratuity plan. Every employee who has completed 5 years are more of service is entitled to gratuity on terms not less favorable than the Provisions of " The Payment of Gratuity Act 1972.” The company contributes periodically with LIC of India.

b) Provident Fund: - Retirement benefit in the form of provident fund is a defined contribution scheme. The company has no obligation, other than the contribution payable to the provident fund. The company recognizes contribution payable to the provident fund scheme as an expenses , when an employee renders the related service.

c) Superannuation Fund:- Certain employees are also participants in the superannuation plan which is a defined contribution plan. The company has no further obligations to the plan beyond its monthly contribution which are periodically contributed to corpus which is invested with the Life Insurance Corp. of India.

2. CORPORATE SOCIAL RESPONSIBILITY

As per the provisions of amended companies Act 2013 the companies having profit of 5Crs or more has to spent 2% of their average profits of last 3 years upon specific activity falling within CSR. During the year the company has to spent Rs, 73.64 Lacs on CSR activities but the company has spent Rs, 57,59 Lacs on CSR activity with the approval of its CSR committee. The total unspent Amount up to 31.03.2018 was Rs, 31.09 Lacs.

The Company management believes that ultimate outcome of these contingent liabilities will not have a material adverse effect on the company’s financial position & results of operations.

3. RELATED PARTY DISCLOSURE

Disclosures as required by Accounting Standards (Ind AS-24) "Related Party Disclosure” are given below”.

(a) Chairman, Managing Director & Directors

S. Rachhpal Singh - Chairman

S. Gursaran Singh - Managing Director

S. Jasvinder Singh = Joint Managing Director

S. Ranbir Singh - Whole time Director & CEO

S. Kulvin Seehra - Executive Director

S. Harvinder Seehra - Executive Director

(b) Key Managerial Personnel

Mr. Rakesh Gupta - Chief Financial Officer Mr. Gaurav Jain - Company Secretary

(c) Wholly owned Subsidiary Company GNA Axles INC Michigan

(d) Company in which Directors and their relatives are directors

GNA Gears Limited GNA Udyog Limited GNA Transmission (Punjab) Limited GNA Investment Limited Amarson Automotive Limited

(e) Firms in which Directors and their Relatives are Partners M/s Seehra Overseas

M/s GNA Sons M/s GNA Consultancy M/s GNA Autotech

(f) Director’s Relatives

S. Maninder Singh - Sr. Vice-President (Planning)

Mrs. Loveleen Kaur - Sr. Vice-President (Corporate Affairs)

4. Trade Receivable and Trade Payables are subject to confirmation

5. SEGMENT REPORTING

The Company is in the business of manufacturing automobile components which is a single business segment, so separate segment reporting is not required.

6. In the opinion of the Board of Directors, the Current Assets, Loans and Advances are approximately of the value stated if realized in the ordinary course of business. The Provision for all known liabilities is adequate and not in excess of amount reasonably necessary.

7. The information as required to be disclosed under the micro, small and medium enterprises has been not received so far so the discloser requirement for balance outstanding , interest paid, payable as at the year-end as required by the Act, has not been given

8. DIVIDEND : Final dividend is accounted for in books when approved by shareholders and interim dividend, if any, will be accounted for on declaration.

9. Previous Years Figures have been re-grouped/ re-arranged wherever consider necessary. The Companies has complied the above accounts based on the revised/modified schedule III. Applicable for the accounting period 2017-18. The discloser requirement are made in the notes to accounts for by way of additional statements. The other discloser required by the companies Act, are made in the notes to accounts.

10. The comparative financial information of the Company for the year ended. 31st March, 2017 and the transition date opening balance sheet as at 1st April, 2016 included in these Ind AS financial statements, are based on the previously issued statutory financial statements for the years ended 31st March, 2017 and 31st March, prepared in accordance with the Companies (Accounting Standards) Rules, 2006 (as amended) which were audited by the predecessor auditor (M/s G. S. Syal & Co.) who expressed an unmodified opinion vide reports dated 5th May, 2017 and 23rd May, 2016 respectively. The adjustments to those financial statements for the difference in accounting principles adopted by the Company on transition to the Ind AS have been audited by us and our opinion is not qualified in respect of this matter.

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Mar 31, 2017

1. RELATED PARTY DISCLOSURE

Disclosures as required by Accounting Standards (AS-18) "Related Party Disclosure" are given below"

(a) Directors, Key Managerial Personnel Mr. Rachhpal Singh

Mr. Gursaran Singh Mr. Ranbir Singh Mr. Jasvinder Singh Mr. Kulvin Seehra Mr. Harvinder Seehra

(b) Key Managerial Personnel Mr. Rakesh Gupta

Mr. Gaurav Jain

(c) Wholly owned Subsidiary Company GNA Axles INC Michigan

(d) Company in which Directors and their relatives are directors GNA Gears Limited

GNA Udyog Limited GNA Transmission (Punjab) Limited GNA Investment Limited Amarson Automotive Limited

(e) Firms in which Directors and their Relatives are Partners M/s Seehra Overseas

M/s GNA Sons M/s GNA Consultancy

_M/s GNA Autotech_

2. The Company has paid annual listing fee to Bombay Stock Exchange Limited & National Stock Exchange of India Limited, _where its equity shares are listed._

3. SEGMENT REPORTING

The Company is in the business of manufacturing automobile components which is a single business segment, so _separate segment reporting is not required._

4. CONTINGENT LIABILITIES AND COMMITMENTS:-

Liabilities which are material and whose future outcome cannot be ascertained with reasonable certainty are treated as contingent. The Company does not recognize a contingent liability but discloses its existence in financial Statements The following are the contingent liabilities:-

The Company management believes that ultimate outcome of these contingent liabilities will not have a material adverse _effect on the Company''s financial position & results of operations._

5. THE BALANCES OF TRADE RECEIVABLE, ADVANCES & TRADE PAYABLES ARE SUBJECT TO CONFIRMATION.

6. In the opinion of Board, the current assets, loans & advances are approximately of the value stated, if realized in the ordinary course of business. The provision for depreciation has been made @ prescribed by Company Law and all known liabilities are adequate and not in excess of the amount reasonably necessary.

7. CORPORATE SOCIAL RESPONSIBILITY

The provisions of section 135 of the Companies Act, 2013 in regard to Corporate Social Responsibility is applicable to the Company.

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Mar 31, 2016

d. Revenue Recognition

Revenue from sale of goods is recognized when all the significant risks and rewards of ownership of the goods have been passed to the buyer. The Company collects sales taxes and excise duty on behalf of the government and, therefore, these are not economic benefits flowing to the Company. Hence, they are excluded from revenue.

e. Interest

Interest income is recognized on Accrual basis & as per the applicable interest rate. Interest income is included under the head “other income” in the statement of profit and loss.

f. Exchange differences

1. Exchange differences arising on long-term foreign currency monetary items related to acquisition of a fixed asset are capitalized.

2. All other exchange differences are recognized as income or as expenses in the period in which they arise.

g. Tax Expenses

Current income tax is measured at the amount expected to be paid to the income tax authorities in accordance with the income-tax Act, 1961 enacted in India. Deferred tax resulting from timing differences between taxable income and accounting income that originate in one period and are capable of reversal in one or more subsequent period is accounted for using the tax rates and loss that are enacted or substantively enacted as on the balance sheet date.

h. Earnings per share

Basic earnings per share is calculated by dividing the net profit after tax for the year attributable to equity shareholders by the number of equity shares outstanding during the year.

i. Retirement & Other Benefits

(1) Gratuity: - The Company has a defined benefit gratuity plan. Every employee who has completed 5 years are more of service

is entitled to gratuity on terms not less favorable than the Provisions of “ The Payment of Gratuity Act 1972.” The scheme is funded with LIC of India.

(2) Leave Encashment:- The Company also extends benefit of leave encashment to employees, on yearly basis or accumulated leave at the time of retirement. This is an unfunded plan.

(3) Provident Fund: - Eligible employees receive benefits from a provident fund, which is a defined benefit plan. Both the eligible employees and the Company make monthly contributions to the provident fund plan equal to a specified percentage of the covered employee''s salary. The contribution towards provident fund during the year was Rs. 15959784/-.

(4) Superannuation Fund:- Certain employees are also participants in the superannuation plan which is a defined contribution plan. The plans is funded with L.I.C of India,

j. Corporate Social Responsibility

As per the provisions of amended companies Act 2013 the companies having profit of 5 CR or more has to spent 2% of their average profits of last 3years upon specific activity falling within CSR. During the year the company has to spent Rs.37.89 lacs on CSR activities but the company has spent Rs. 16.20 lacs on CSR activity with the approval of its CSR committee. The total unspent of 2014-15 &2015-16 was Rs. 21.69 lacs,

k. Contingent Liabilities

Liabilities which are material and whose future outcome cannot be ascertained with reasonable certainty are treated as contingent. The company does not recognize a contingent liability but discloses its existence in financial statements. The following are the contingent liabilities :-during the year.

The Company management believes that ultimate outcome of these contingent liabilities will not have a material adverse effect on the company''s financial position & results of operations.

1. Impairment of assets

At each balance sheet date an assessment is made whether any indication exists that an assets has been impaired. If any such indication exists, an impairment loss i.e the amount by which the carrying amount of an assets exceeds its recoverable amount is provided in the books of accounts. There is no impairment of assets

o. Cash Flow Statement

Cash flow are reported using the indirect method, whereby profit before tax is adjusted for the effects of transactions of a non-cash nature, any deferrals or accruals of past or future operating cash receipts or payments and 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.

p. Previous Years Figures have been regrouped/ rearranged wherever consider necessary.