Hindusthan Urban Infrastructure Ltd. के अकाउंट के लिये नोट

Mar 31, 2025

1.15 Provisions and Contingencies

The Company recognizes provisions when a present obligation (legal or constructive) as a result of a past event exists and
it is probable that an outflow of resources embodying economic benefits will be required to settle such obligation and the
amount of such obligation can be reliably estimated. If the effect of time value of money is material, provisions are discounted
using a current pre-tax rate that reflects, when appropriate, the risks specific to the liability. When discounting is used, the
increase in the provision due to the passage of time is recognized as a finance cost.

A disclosure for a contingent liability is made when there is a possible obligation or a present obligation that may, but
probably will not require an outflow of resources embodying economic benefits or the amount of such obligation cannot be
measured reliably. When there is a possible obligation or a present obligation in respect of which likelihood of outflow of
resources embodying economic benefits is remote, no provision or disclosure is made.

1.16 Cash and Cash Equivalents

Cash and Cash equivalents for the purpose of Cash Flow Statement comprise cash and cheques in hand, bank balances,
demand deposits with banks where the original maturity is three months or less and other short term highly liquid investments.

1.17 Employee Benefits

Short Term Employee Benefits:

All employee benefits payable wholly within twelve months of rendering the service are classified as short term employee
benefits and they are recognized in the period in which the employee renders the related service. The Company recognizes
the undiscounted amount of short term employee benefits expected to be paid in exchange for services rendered as a
liability (accrued expense) after deducting any amount already paid.

Post-Employment Benefits:

I. Defined Contribution plans:

Recognition and measurement of defined contribution plans:

The Company recognizes contribution payable to a defined contribution plan as an expense in the Statement of Profit
and Loss when the employees render services to the Company during the reporting period.

II. Defined Benefit plans:

Recognition and measurement of Defined Benefit plans:

The cost of providing defined benefits is determined using the actuarial valuation techniques with actuarial valuations
being carried out at each reporting date. Re-measurements of the net defined benefit liability / (asset) comprising
actuarial gains and losses, are recognized in Other Comprehensive Income. The Company presents the above liability/
(asset) as current and non-current in the Balance Sheet as per actuarial valuation by the independent actuary.

Other Long Term Employee Benefits:

Entitlements to annual leave and sick leave are recognized when they accrue to employees. Sick leave can only be availed
while annual leave can either be availed or encashed subject to a restriction on the maximum number of accumulation of
leave. The Company determines the liability for such accumulated leaves using the actuarial valuation techniques.

1.18 Research & Development

Expenditure on research is recognized as an expense when it is incurred. Expenditure on development which does not
meet the criteria for recognition as an intangible asset is recognized as an expense when it is incurred.

1.19 Borrowing Cost

Borrowing cost includes interest, ancillary costs incurred in connection with the arrangement of borrowings and exchange
differences arising from foreign currency borrowings to the extent they are regarded as an adjustment to the interest cost.

Borrowing costs, if any, directly attributable to the acquisition, construction or production of an asset that necessarily takes
a substantial period of time to get ready for its intended use or sale are capitalized, if any. All other borrowing costs are
expensed in the period in which they occur.

1.20 Operating Segment

Operating segments are reported in a manner consistent with the internal reporting provided to the Chief Operating Decision
Maker (CODM) of the Company. The CODM is responsible for allocating resources and assessing performance of the
operating segments of the Company.

1.21 Events occurring after Reporting date

Where events occurring after the Balance Sheet date provide evidence of conditions that existed at the end of the reporting
period, the impact of such events is adjusted within the financial statements. Otherwise, events after the Balance Sheet
date of material size or nature are only disclosed.

1.22 Earnings Per Share

a) Basic earnings per share

Basic Earnings per share is calculated by dividing the net profit for the period attributable to the equity shareholders by
the weighted average number of equity shares outstanding during the period.

b) Diluted earnings per share

For the purpose of calculating diluted earnings per share, the net profit for the period attributable to the equity
shareholders after taking income tax effect of interest and other finance cost associated with dilutive potential equity
shares and the weighted average number of equity shares outstanding during the period is adjusted for the effects of
all dilutive potential equity shares.

1.23 Investment Properties

Property that is held for long-term rental yields or for capital appreciation or both, and that is not occupied by the Company,
is classified as investment property.

Investment property is measured at its cost, including related transaction costs and where applicable borrowing costs less
depreciation and impairment if any.

Depreciation on building is provided over its useful life using the Straight-Line Method

1.24 Exceptional items

When items of income and expense within statement of profit and loss from ordinary activities are of such size, nature or
incidence that their disclosure is relevant to explain the performance of the enterprise for the period, the nature and amount
of such material items are disclosed separately as exceptional items.

1.25 Leases

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

Company as a lessee

The Company applies a single recognition and measurement approach for all leases, except for short-term leases and
leases of low-value assets. The Company recognises lease liabilities to make lease payments and right-of-use assets
representing the right to use the underlying assets.

The Company determines the lease term as the non-cancellable term of the lease, together with any periods covered by an
option to extend the lease if it is reasonably certain to be exercised, or any periods covered by an option to terminate the
lease, if it is reasonably certain not to be exercised.

Right-of-use assets

The Company recognises right-of-use assets at the commencement date of the lease (i.e., the date the underlying asset is
available for use). Right-of-use assets are measured at cost, less any accumulated depreciation and impairment losses,
and adjusted for any measurement of lease liabilities. The cost of right-of-use assets includes the amount of lease liabilities
recognised, initial direct costs incurred and lease payments made at or before the commencement date less any lease
incentives received. Right-of-use assets are depreciated on a straight-line basis over the lease term.

Lease Liability

At the commencement date of the lease, the Company recognises lease liabilities measured at the present value of lease
payments to be made over the lease term. The lease payments include fixed payments less any lease incentives receivable.
Variable lease payments that do not depend on an index or a rate are recognised as expenses (unless they are incurred to
produce inventories) in the period in which the event or condition that triggers the payment occurs.

In calculating the present value of lease payments, the Company uses its incremental borrowing rate at the lease
commencement date because the interest rate implicit in the lease is not readily determinable. After the commencement
date, the amount of lease liabilities is increased to reflect the accretion of interest and reduced for the lease payments
made. In addition, the carrying amount of lease liabilities is remeasured if there is a modification, a change in the lease term,
a change in the lease payments or a change in the assessment of an option to purchase the underlying asset.

Short-term leases and leases of low-value assets

The Company applies the short-term lease recognition exemption to its short-term leases (i.e., those leases that have a
lease term of 12 months or less from the commencement date and do not contain a purchase option). It also applies the
lease of low-value assets recognition exemption to leases of office equipment that are considered to be low value. Lease
payments on short-term leases and leases of low-value assets are recognised as expense on a straight-line basis over the
lease term.

1.26 Non current assets held for sale and discontinued operations

Non-current assets are classified as held for sale if their carrying amount will be recovered principally through a sale
transaction rather than through continuing use and a sale is considered highly probable. Non-current assets classified as
held for sale are measured at lower of their carrying amount and fair value less cost to sell. Non-current assets classified as
held for sale are not depreciated or amortised from the date when they are classified as held for sale. Non-current assets
classified as held for sale and the assets and liabilities of a disposal group classified as held for sale are presented separately
from the other assets and liabilities in the Standalone Balance Sheet.

a) Term Loan (Rupee Loan)

(i) Type of Loan : GECL (Guaranteed Emergency Credit Line) Loan sanctioned by State Bank of India @ 7.95% p.a.
of '' 852 Lakhs (Outstanding amount - '' 0 Lakhs (Previous Year '' 531.20 Lakhs))

Nature of Security :Secured by Second pari-passu charge over entire stock of raw material, finished goods, stock
in process, consumable stores& spares, packing materials, book debts, outstanding monies,receivables,claims and
bills etc. of IEC division of the company and Collateral security given as Second pari-passu charge on movable and
immovable fixed assets of IEC division situated at Plot No. 1-8, New Industrial Area, Mandideep, Raisen, MP along
with IDBI Bank.

Terms of Repayment: The same are repayable in 48 monthly instalments commencing from 31.10.2022.

(ii) Type of Loan : Further GECL (Guaranteed Emergency Credit Line) Loan sanctioned by State Bank of India @
7.95% p.a. of '' 426 Lakhs (Outstanding amount - '' 0 Lakhs (Previous Year '' 386.36 Lakhs))

Nature of Security :Secured by Second pari-passu charge over entire stock of raw material, finished goods, stock
in process, consumable stores& spares, packing materials, book debts, outstanding monies,receivables,claims and
bills etc. of IEC division of the company and Collateral security given as Second pari-passu charge on movable and
immovable fixed assets of IEC division situated at Plot No. 1-8, New Industrial Area,Mandideep, Raisen, MP along
with IDBI Bank.

Terms of Repayment: The same are repayable in 48 monthly instalments commencing after a moratorium period
24 months from the date of disbursement respectively.

(iii) Type of Loan : GECL (Guaranteed Emergency Credit Line) Loan sanctioned by IDBI @ 8.60% p.a. '' 400 Lakhs
(Outstanding amount - '' 0 Lakhs (Previous Year '' 375.01 Lakhs))

Nature of Security :Secured by Second pari-passu charge over entire stock of raw material, finished goods, stock
in process, consumable stores & spares, packing materials, book debts, outstanding monies,receivables, claims
and bills etc. of IEC division of the company and Collateral security given as Second pari-passu charge on movable
and immovable fixed assets of IEC division situated at Plot No. 1-8, New Industrial Area, Mandideep, Raisen, MP
along with SBI Bank

Terms of Repayment: The same are repayable in 48 monthly instalments commencing after a moratorium period
24 months from the date of disbursement respectively.

b) Loans repayable on demand - Inter-corporate loans taken during the year from related parties repayable on demand

c) Liability Component of Redeemable Preference Shares :

Redeemable Non-Cumulative Non-Convertible Preference Shares of '' 9518.97 Lakhs issued on 12.12.2018. Present
Value of Principal amount of such shares at the end of 20 years considered as Liability Component as per Ind-AS 32
using discount rate @ 7.50% is '' 3536.57 Lakhs (Previous year - 3289.84 Lakhs). Interest expense recognised during
the year as per Ind-AS 32 is '' 246.73 lakhs (Previous year - 229.55 Lakhs)

d) Working Capial Facilities for Banks:

(i) Type of Loan: Working capital facilities from State Bank of India, Bhopal Branch & IDBI Bank, Bhopal Branch for the
Insulator division against which drawing is '' 142.98 Lakhs (Previous year - '' 4239.72 Lakhs)

Nature of Security: Secured against hypothecation of all types of stocks and book debts and other receivable
situated at plot no 1-8, New Industrial area Mandideep, Tehsil-Goharganj,Distt-Raisen, M.P. or such other place as
approved by bank and secured collaterally by way of second charge on fixed assets of insulators division situated at
plot no 1-8, New Industrial area Mandideep, Tehsil-Goharganj,Distt-Raisen, M.P.

Risk Exposures

Valuations are based on certain assumptions, which are dynamic in nature and vary over time. As such company is

exposed to various risks as follow:

A) Salary Increases : Actual salary increases will increase the Plan’s liability. Increase in salary increase rate assumption
in future valuations will also increase the liability.

B) Investment Risk : If Plan is funded then assets liabilities mismatch & actual investment return on assets lower than
the discount rate assumed at the last valuation date can impact the liability.

C) Discount Rate : Reduction in discount rate in subsequent valuations can increase the plan’s liability.

D) Mortality & disability : Actual deaths & disability cases proving lower or higher than assumed in the valuation can
impact the liabilities.

35 Segment Reporting

I) Based on the guiding principles given in Ind AS-108 “Operating Segment”, The Vice-Chairman and Managing Director of
the Parent Company has been identified as the Chief Operating Decision Maker (CODM) as defined by Ind AS 108
“Operating Segments”. Operating Segments have been defined and presented based on the regular review by the
CODM to assess the performance of each segment and to make decision about allocation of resources. Accordingly, the
Company’s business segments are organised around customers on industry and products lines as under:

a. Conductor: Conductor includes electrical conductor and related items.

b. Insulator: Insulator includes electrical insulator and related items.

c. Real-estate : Real-estate includes Property at Faridabad given for rent purpose.

d. Others : This segment is engaged in Investment activities

The Company prepares its operating segment information in conformity with the accounting policies adopted for preparing
and presenting the financial statements of the Company as a whole.

No operating segments have been aggregated to form the above reportable operating segments.

Revenue, expenses, assets and liabilities which relate to the Company as a whole and not allocable to segments on
reasonable basis have been included under ‘unallocated revenue / expenses / assets / liabilities’.

Finance costs are not allocated to individual segments as the underlying instruments are managed on a Company basis
Current taxes and Deferred taxes are not allocated to those segments as they are also managed on a Company basis

1) Segments have been identified and reported taking into account the nature of products and services, the differing
risk and returns, the organization structure and the internal financial reporting systems.

2) The segment revenues, results, assets and liabilities include the respective amounts identifiable to each of the
segments and amounts allocated on a reasonable basis.

3) All non-current assets of the company are located within India.

4) Information about major customers :

Two Customer contributed more than 10% (Aggregating amount '' 5044.5 Lakhs) to the Company’s Revenue in
2024-25

Two Customer contributed more than 10% (Aggregating amount '' 3104.52 Lakhs) to the Company’s Revenue in
2023-24

Note:

(a) Fair valuation of financial assets and liabilities with short term maturities is considered as approximate to respective
carrying amount due to the short term maturities of these instruments.

(b) Fair value of non-current financial assets and liabilities has not been disclosed as there is no significant differences
between carrying value and fair value.

(c) The fair value is determined by using the valuation model/techniques with observable/non-observable inputs and
assumptions.

(d) Derivatives are carried at fair value at each reporting date. The fair values of the dervatives financial instruments has
been determined using valuation techniques with market observable inputs. The models incorporate various inputs
including the credit quality of counter-parties and foreign exchange forward rates.

(e) There are no transfers between Level 1, Level 2 and Level 3 during the years ended 31 March 2025 and 31 March 2024.
Fair Value hierarchy

All financial assets and liabilities for which fair value is measured in the financial statements are categorised within the fair
value hierarchy, described as follows: -

Level 1 - Quoted prices in active markets.

Level 2 - Inputs other than quoted prices included within Level 1 that are observable, either directly or indirectly.

Level 3 - Inputs that are not based on observable market data.

41. Financial Risk management
Risk management framework

The Company’s board of directors has overall responsibility for the establishment and oversight of the company’s risk
management framework.

The Company through three layers of defence namely policies and procedures, review mechanism and assurance aims to
maintain a disciplined and constructive control environment in which all employees understand their roles and obligations.
The Audit committee of the Board with top management oversee the formulation and implementation of the risk management
policies. The risk are identified at business unit level and mitigation plan are identified, deliberated and reviewed at appropriate
forums.

The Company has exposure to the following risks arising from financial instruments:

- credit risk (see(i);

- liquidity risk (see(ii); and

- market risk (see(iii).

i. Credit risk

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet
its contractual obligations, and arises principally from the Company’s receivables from customers, loans and investments.

The carrying amount of financial assets represents the maximum credit exposure.

Trade receivables and other financial assets

The Company has established a credit policy under which new customer is analysed individually for creditworthiness
before the Company’s standard payment and delivery terms and conditions are offered. The Company’s review includes
external ratings, if they are available, financial statements, credit agency information, industry information and business
intelligence. Sale limits are established for each customer and reviewed annually. Any sales exceeding those limits
require approval from the appropriate authority as per policy.

In monitoring customer credit risk, customers are grouped according to their credit characteristics, including whether
they are an individual or a legal entity, whether they are institutional, dealers or end-user customer, their geographic
location, industry, trade history with the Company and existence of previous financial difficulties.

Expected credit loss for Trade receivables:

Based on internal assessment which is driven by the historical experience/ current facts available in relation to default
and delays in collection thereof, the credit risk for trade receivables is considered low. The Company estimates its
allowance for trade receivable using lifetime expected credit loss. The balance past due for more than 6 months (net of
expected credit loss allowance) is '' 1118.34 Lakhs (31 March 2024: '' 2797.43 Lakhs)

Expected credit loss on financial assets other than trade receivables:

With regard to all financial assets with contractual cash flows, other than trade receivables, management believes these
to be high quality assets with negligible credit risk. The management believes that the parties from which these financial
assets are recoverable, have strong capacity to meet the obligations and where the risk of default is negligible and
accordingly no provision for expected loss has been provided on these financial assets. Break up of financial assets
other than trade receivables have been disclosed on standalone Balance Sheet.

ii. Liquidity risk

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial
liabilities that are settled by delivering cash or another financial asset. The Company’s approach to managing liquidity is
to ensure, as fas as possible, that it will have sufficient liquidity to meet its liabilities when they are due, under both
normal and stressed conditions, without incurring unacceptable losses or risking damage to the Company’s reputation.

The Company’s treasury department is responsible for managing the short-term and long-term liquidity requirements.
Short term liquidity situation is reviewed daily by the treasury department. Longer term liquidity position is reviewed on a
regular basis by the Parent Company’s Board of Directors and appropriate decisions are taken according to the situation.

iii. Market risk

Market risk is the risk that changes in market prices, such as foreign exchange rates and interest rates will affect the
Company’s income or the value of its holding of financial instruments. The objective of market risk management is to
manage and control market risk exposures within acceptable parameters, while optimising the return.

Currency risk

The Company is exposed to currency risk to the extent that there is a mismatch between the currencies in which sales,
purchases and borrowings are denominated and the respective functional currencies of the Company. The functional
currencies of the Company are primarily the INR, USD and EUR. The currencies in which these transactions are primarily
denominated are USD and INR.

Interest rate risk

Interest rate risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of
changes in market interest rates. The Company is exposed to interest rate risk because funds are borrowed at both fixed
and floating interest rates. Interest rate risk is measured by using the cash flow sensitivity for changes in variable interest
rate. The borrowings of the Company are principally denominated in INR and USD with a mix of fixed and floating rates
of interest. The Company has exposure to interest rate risk, arising principally on changes in base lending rate and
LIBOR rates. The risk is managed by the Company by maintaing an appropriate mix metween fixed and floating rate
borrowings.

Exposure to interest rate risk

The interest rate profile of the Company’s interest bearing financial instruments as reported to the management of the
Company is as follows:

48 Assets held for sale and discontinued operations

Company had entered into a Memorandum of Understanding on 12th March 2024 with Nirmal Wires Pvt. Ltd. for the sale of
company’s Electrical Conductors unit at Khurda location with Land admeasuring 45.785 Acres for consideration of '' 7251.00
Lacs.Company has received the full consideration & aforesaid transactions are completed during the financial year 2024-25
post completion of Condition Precedents and certain other actionable as identified in the said agreements.

As on 31-Mar-24

The aforesaid transaction has been considered as highly probable and meet the criteria prescribed in Ind AS 105 “Non¬
current Assets Held for Sale and Discontinued Operations” to be considered as discontinued operation, hence, Company
has classified Property Plant & Equipment (including Land) of '' 3250.16 Lacs and Inventories of '' 297.06 Lacs as Assets
held for Sale in respect of Electrical Conductors unit at Khurda location.

As on 31-Mar-25

Company realised a Profit of '' 3,748.68 Lacs from sale of its assets of Electrical Conductors unit at Khurda location, which is
considered as an exceptional Items. On 18th July 2024, the company has sold its assets of Electrical Conductors unit at
Khurda location with Land admeasuring 45.785 Acres & Building at '' 3,041.69 Lacs, Plant & Machinery at '' 4,139.58 Lacs
and other assets including Furniture & Fixture, Office Equipments at '' 34.73 Lacs. Company also sold miscellaneous Stores
& Spares at '' 10.00 Lacs The total sales consideration of the transaction arrived at '' 7,226 Lacs.The aforesaid transactions
are completed post completion of Condition Precedents and certain other actionable as identified in the said agreements.

48AExceptional item - Loss on Sale of Coal Fire Gas Plant (Property, Plant & Equipments) of Insulator Unit

Company recognised Loss of '' 1,148.73 Lacs in respect of Coal Gasfire Plant (Property, Plant & Equipments) of Insulator
Unit, as the same is not in use and agreed to be sold, hence same is considered as an exceptional Items.

49 Security of current assets against borrowings - Details of Quarterly statements filed by the Company with banks -

Company has taken borrowings from banks on the basis of security of current assets for which quarterly statements of
current assets filed by the company with banks are in agreement with the books of accounts and there is no material
discrepancies.

50 Charges yet to be registered with ROC

Charges or satisfaction yet to be registered with ROC beyond the statutory period, details and reasons thereof - Not Applicable

52 Previous year figures have been regrouped / reclassified wherever necessary to correspond with the current years classification
disclosure.

53 The financials statements has been approved by the Board on 28th May, 2025

As per our report of even date For and on behalf of the Board of directors of

For K. N. Gutgutia & Company Hindusthan Urban Infrastructure Ltd

Chartered Accountants

FRN: 304153E Raghavendra Anant Mody Deepak Kejriwal

(DIN : 03158072) (DIN : 07442554)

(B. R. Goyal) Chairman and Whole Time Director Managing Director

Partner

Membership No: 12172

Shailendra Jhalani M.L.Birmiwala

PAN : ADLPJ4576C PAN : AAGPB4160J

Place: New Delhi Chief Financial Officer President- Finance &

Date : 28th May,2025 Company Secretary

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Mar 31, 2023

# Estimation of Fair Value

The company obtained independent valuations of its investment properties. The best evidence of fair value is the current prices in an active market for similar properties. The fair values of investment properties have been determined by M/s Bhavin R Patel & Associates, Chartered Engineers & Registered Valuers for our property situated at Bangalore, Faridabad & Guwahati.

Premises given on operating lease:

The Company has given certain investment properties on operating lease. These lease arrangements range for a period between 2 and 5 years and include both cancellable and non-cancellable leases. Most of the leases are renewable for further period on mutually agreeable terms.

(b) Terms/rights attached to equity shares

The Company has equity shares having par value of Rs 10/- per share. Each holder of equity shares is entitled to one vote per share.

Shares in respect of each class in the company held by its holding company rights ultimate holding company including shares held by or by subsidiaries or associates of the holding company or the ultimate holding company in aggregate : NIL

Shares reserved for issue under options and contracts/commitments for the sale of shares/disinvestment, including the terms and amounts : NIL

In the event of liquidation of the Company, the holders of equity shares will be entitled to receive any of the remaining assets of the Company, after distribution of all preferential amounts.The distribution will be in proportion to the number of equity shares held by the shareholders.

The company has not Issued equity share capital including shares allotted for consideration other than cash during the past five years.

a) Term Loan (Rupee Loan)

(i) Type of Loan : 10.50% p.a.Term loan Canara Bank, New Delhi of Rs. 4500 Lakhs is sanctioned on 14.08.2015 by Canara Bank, New Delhi for our Khurda Projects against which Rs. 4064.34 Lakhs availed (Outstanding amount of Rs. 409.66 Lakhs as on 31.03.2023).

Nature of Security: The loan is secured by exclusive charge on land & building and other fixed/ movable/immovable assets situated at Village-chmpajhara, Distt- Khurda, Bhubaneswer.

Terms of Repayment : The said loan is repayable in 32 quarterly structured instalments starting from quarter ending December’ 2015 and ending on quarter ending November’2023.

(ii) “Type of Loan : 7.85% p.a.GECL2.0 Term loan of Rs 1010 Lakhs from Canara Bank is sanctioned on

03.03.2021 against which Rs 800.72 lakh availed till 31.03.2023 (Outstanding amount of Rs. 548.72 Lakhs as on 31.03.2023).

Nature of Security : Secured by second charge on primary security/collateral security

Terms of Repayment: The loan is repayable in 47 equated monthly instalments of Rs 21 lakhs & last instalment of Rs 23 lakhs after moratorium period of 12 months from the date of disbursement.”

(iii) “Type of Loan : GECL (Guaranteed Emergency Credit Line) Loan sanctioned by State Bank of India @ 7.95% p.a. Rs.852 Lakhs (Outstanding amount of Rs. 744.82 Lakhs as on 31.03.2023)

Nature of Security : Secured by Second pari-passu charge over entire stock of raw material, finished goods, stock in process, consumable stores& spares, packing materials, book debts, outstanding monies,receivables,claims and bills etc. of IEC division of the company and Collateral security given as Second pari-passu charge on movabe and immovable fixed assets of IEC division situated at Plot No. 1-8, New Industrial Area,Mandideep, Raisen, MP along with IDBI Bank.

Terms of Repayment: The same are repayable in 48 monthly instalments commencing from 31.10.2022.”

(iv) “Type of Loan : Further GECL (Guaranteed Emergency Credit Line) Loan sanctioned by State Bank of India @ 7.95% p.a. Rs.426 Lakhs (Outstanding amount of Rs. 422.23 Lakhs as on 31.03.2023 )

Nature of Security : Secured by Second pari-passu charge over entire stock of raw material, finished goods, stock in process, consumable stores& spares, packing materials, book debts, outstanding monies,receivables,claims and bills etc. of IEC division of the company and Collateral security given as Second pari-passu charge on movabe and immovable fixed assets of IEC division situated at Plot No. 1-8, New Industrial Area,Mandideep, Raisen, MP along with IDBI Bank.

Terms of Repayment: The same are repayable in 48 monthly instalments commencing after a moratorium period 24 months from the date of disbursement respectively.”

(v) “Type of Loan : GECL (Guaranteed Emergency Credit Line) Loan sanctioned by IDBI @ 8.60% p.a. Rs.400 Lakhs (Outstanding amount of Rs.400 Lakhs)

Nature of Security : Secured by Second pari-passu charge over entire stock of raw material, finished goods, stock in process, consumable stores& spares, packing materials, book debts, outstanding monies,receivables,claims and bills etc. of IEC division of the comapany and Collateral security given as Second pari-passu charge on movabe and immovable fixed assets of IEC division situated at Plot No. 1-8, New Industrial Area,Mandideep, Raisen, MP along with SBI Bank

Terms of Repayment: The same are repayable in 48 monthly instalments commencing after a moratorium period 24 months from the date of disbursement respectively.”

b) Loans repayable on demand - Inter-corporate loans taken during the year from related parties repayable on demand

c) “Liability Component of Redeemable Preference Shares : Redeemable Non-Cumulative Non-Convertible Preference Shares of Rs 9518.97 Lakhs issued on 12.12.2018. Present Value of Principal amount of such shares at the end of 20 years considered as Liability Component as per Ind-AS 32 using discount rate @ 7.50% is Rs 3060.28 Lakhs (Previous year - Rs 2846.77 Lakhs). Interest expense recognised during the year as per Ind-AS 32 is Rs 213.51 lakhs (Previous year - Rs 198.08 Lakhs)”

d) Working Capital Facilities for Banks :

(i) “Type of Loan: Working Capital Facilities from Canara Bank for the Conductor Division against which drawing is Rs 0.00 Lakhs. (Previous year - Rs. 1278.31 Lakhs)

Nature of Security : Secured against hypothecation of stocks, book debts and plant & machinery both present & future at Village-champajhara,Distt- Khurda, Bhubaneswar &12/1,Milestone, Delhi Mathura Road, Faridabad. & Plot No 1C, Industrial park, Sila Mouza, Kamrup, Guwahati, Assam and equitable mortgage of land and building at 12/1,Milestone, Delhi Mathura Road, Faridabad.”

(ii) “Type of Loan: Working capital facilities from State Bank of India, Bhopal Branch & IDBI Bank, Bhopal Branch for the Insulator division against which drawing is Rs 4869.15 Lakhs (Previous year - Rs. 2384.17 Lakhs ).

Nature of Security: Secured against hypothecation of all types of stocks and book debts and other receivable situated at plot no 1-8, New Industrial area Mandideep, Tehsil-Goharganj,Distt-Raisen, M.P. or such other place as approved by bank and secured collaterally by way of second charge on fixed assets of insulators division situated at plot no 1-8, New Industrial area Mandideep, Tehsil-Goharganj,Distt-Raisen, M.P.”

(iii) Type of Loan: PCFC Working Capital Loan from State Bank of India, Bhopal Branch & IDBI Bank, Bhopal Branch for the Insulator division against which drawing is 145000 USD @ 82.87 & 291000 Euro @ 91.01 amounting to Rs 385.00 Lakhs as on 31.03.2023 (Previous year -420823.10 USD @ 75.7925 amounting to Rs 318.95 )

(iv) “Type of Loan: 9.78% p.a. FCNR CC limit of USD 3314000 from State Bank of India disbursed on

11.02.2022 against which drawing is 3337144 USD @ 75.7925 amounting to Rs 2529.30 Lakhs as on

31.03.2022 and the same fully paid in Financial Year 2022-23.

Nature of Security : Secured against hypothecation of all types of stocks and book debts and other receivable situated at plot no 1-8, New Industrial area Mandideep, Tehsil-Goharganj,Distt-Raisen, M.P. or such other place as approved by bank and secured collaterally by way of second charge on fixed assets of insulators division situated at plot no 1-8, New Industrial area Mandideep, Tehsil-Goharganj,Distt-Raisen, M.P.

Interest rate varies from 1% p.a. to 6% p.a. per annum on foreign currency denominated working capital facilities and it varies from 8% p.a. to 13% p.a. on rupee denominated working capital facilities.

31. Contingent Liabilities & Commitments
Particulars	As at	As at
	March 31,2023	March 31,2022
(1) Contingent liabilities (to the extent not provided for) (A) Guarantee (a) The Company has given following corporate guarantee on behalf of its subsidiaries or group companies to secure financial facilities : Hindusthan Speciality Chemicals Ltd (Partly Owned	20,802.00	20,802.00
Subsidiary), for secured financial facilities Hindusthan Engineering Industries Ltd (Group company),	6.50	572.24
under sales tax, excise, custom etc (b) Outstanding guarantees furnished by banks on behalf of the	1,985.02	2,919.17
company (c) Outstanding letters of credit furnished by banks on behalf of	1,516.27	1,978.86
the company (B) Claims against Company, disputed by the Company, not acknowledged as debt: (a) Income Tax demand under appeal *	4.28	23.51
(b) Excise Duty/GST show cause notices/demands under	61.57	62.13
appeal** (c) Claims against the Company for Sales/Purchase Tax/VAT **	388.54	442.40
(d) Claims against the Company for Labour Cases/MCF & Other	219.79	193.03
under litigation ** *These demand includes Rs 4.28 Lacs pertaining to ITAT Appeal order effect not given by the Income Tax department. The company has filed rectification application for the same demand. **These demand shown net of advance paid for filing of appeal with respective department.

31. Contingent Liabilities & Commitments (Contd.)		(? in Lakhs)
Particulars	As at	As at
	March 31,2023	March 31,2022
(2) Commitments as at year end: (to the extent not provided for) (A) Capital Commitments: Estimated amount of contracts remaining to be executed on capital	61.00
account (Net of advances) (B) Other Commitments: (i) Sales order to be executed against Government and Private Contracts	9,943.07	6,257.11
(ii) Liability in respect of sales bills discounted with banks/NBFC’s	1,101.74	829.43

Major Actuarial Assumptions

With the objective of presenting the plan assets and plan liabilities of the defined benefits plans at their fair value on the balance sheet, assumptions under Ind AS 19 are set by reference to market conditions at the valuation date.

Risk Exposures

Valuations are based on certain assumptions, which are dynamic in nature and vary over time. As such company

is exposed to various risks as follows:

A) Salary Increases : Actual salary increases will increase the Plan’s liability. Increase in salary increase rate assumption in future valuations will also increase the liability.

B) Investment Risk : If Plan is funded then assets liabilities mismatch & actual investment return on assets lower than the discount rate assumed at the last valuation date can impact the liability.

C) Discount Rate : Reduction in discount rate in subsequent valuations can increase the plan’s liability.

D) Mortality & disability : Actual deaths & disability cases proving lower or higher than assumed in the valuation can impact the liabilities.

E) Withdrawals : Actual withdrawals proving higher or lower than assumed withdrawals and change of withdrawal rates at subsequent valuations can impact Plan’s liability.

35. Segment Reporting

I) Based on the guiding principles given in Ind AS-108 “Operating Segment”, the Managing Director of the Company has been identified as the Chief Operating Decision Maker (CODM) as defined by Ind AS 108 “Operating Segments”. Operating Segments have been defined and presented based on the regular review by the CODM to assess the performance of each segment and to make decision about allocation of resources. Accordingly, the Company’s business segments are organised around customers on industry and products lines as under:

a. Conductor: Conductor includes electrical conductor and related items.

b. Insulator: Insulator includes electrical insulator and related items.

c. Real-estate : Real-estate includes Property at Faridabad given for rent purpose.

d. Others : This segment is engaged in Investment activities

The Company prepares its operating segment information in conformity with the accounting policies adopted for preparing and presenting the financial statements of the Company as a whole.

No operating segments have been aggregated to form the above reportable operating segments.

Revenue, expenses, assets and liabilities which relate to the Company as a whole and not allocable to segments on reasonable basis have been included under ‘unallocated revenue / expenses / assets / liabilities’.

Finance costs are not allocated to individual segments as the underlying instruments are managed on a Company basis

Current taxes and Deferred taxes are not allocated to those segments as they are also managed on a Company basis.

1) Segments have been identified and reported taking into account the nature of products and services, the differing risk and returns, the organization structure and the internal financial reporting systems.

2) The segment revenues, results, assets and liabilities include the respective amounts identifiable to each of the segments and amounts allocated on a reasonable basis.

3) All non-current assets of the company are located within India.

4) Information about major customers :

Three customers contributed more than 10% ( Rs 5246.54 Lakhs) to the Company’s revenue in 2022-23 and three customers contributed more than 10% (Rs 6934.54 Lakhs) to the Company’s revenue in 2021-22.

(a) Fair valuation of financial assets and liabilities with short term maturities is considered as approximate to respective carrying amount due to the short term maturities of these instruments.

(b) Fair value of non-current financial assets and liabilities has not been disclosed as there is no significant differences between carrying value and fair value.

(c) The fair value is determined by using the valuation model/techniques with observable/non-observable inputs and assumptions.

(d) Derivatives are carried at fair value at each reporting date. The fair values of the dervatives financial instruments has been determined using valuation techniques with market observable inputs. The models incorporate various inputs including the credit quality of counter-parties and foreign exchange forward rates.

(e) There are no transfers between Level 1, Level 2 and Level 3 during the years ended 31 March 2023 and 31 March 2022.

Fair Value hierarchy

All financial assets and liabilities for which fair value is measured in the financial statements are categorised within the fair value hierarchy, described as follows: -Level 1 - Quoted prices in active markets.

Level 2 - Inputs other than quoted prices included within Level 1 that are observable, either directly or indirectly. Level 3 - Inputs that are not based on observable market data.

41. Financial Risk management Risk management framework

The Company’s board of directors has overall responsibility for the establishment and oversight of the company’s risk management framework.

The Company through three layers of defence namely policies and procedures, review mechanism and assurance aims to maintain a disciplined and constructive control environment in which all employees understand their roles and obligations. The Audit committee of the Board with top management oversee the formulation and implementation of the risk management policies. The risk are identified at business unit level and mitigation plan are identified, deliberated and reviewed at appropriate forums.

The Company has exposure to the following risks arising from financial instruments:

- credit risk (see(i);

- liquidity risk (see(ii); and

- market risk (see(iii).

i. Credit risk

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its contractual obligations and arises principally from theCompany’s receivables from customers, loans and investments.

The carrying amount of financial assets represents the maximum credit exposure.

Trade receivables and other financial assets

The Company has established a credit policy under which new customer is analysed individually for creditworthiness before the Company’s standard payment and delivery terms and conditions are offered. The Company’s review includes external ratings, if they are available, financial statements, credit agency information, industry information and business intelligence. Sale limits are established for each customer and reviewed annually. Any sales exceeding those limits require approval from the appropriate authority as per policy.

In monitoring customer credit risk, customers are grouped according to their credit characteristics, including whether they are an individual or a legal entity, whether they are institutional, dealers or end-user customer, their geographic location, industry, trade history with the Company and existence of previous financial difficulties.

Expected credit loss for Trade receivables:

Based on internal assessment which is driven by the historical experience/ current facts available in relation to default and delays in collection thereof, the credit risk for trade receivables is considered low. The Company estimates its allowance for trade receivable using lifetime expected credit loss. The balance past due for more than 6 months (net of expected credit loss allowance) is Rs 3129.58 Lakhs (31 March, 2022: 7352.95 Lakhs )

Expected credit loss on financial assets other than trade receivables:

With regard to all financial assets with contractual cash flows, other than trade receiables, management belives these to be high quality assets with negligble credit risk. The management believes that the parties from which these financial assets are recoverable, have strong capacity to meet the obligations and where the risk of default is negligible and accordingly no provision for excepted loss has been provided on these financial assets. Break up of financial assets other than trade receivables have been disclosed on standalone Balance Sheet.

ii. Liquidity risk

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial liabilities that are settled by delivering cash or another financial asset. The Company’s approach to managing liquidity is to ensure, as fas as possible, that it will have sufficient liquidity to meet its liabilities when they are due, under both normal and stressed conditions, without incurring unacceptable losses or risking damage to the Company’s reputation.

The Company’s treasury department is responsible for managing the short-term and long-term liquidity requirements. Short term liquidity situation is reviewed daily by the treasury department. Longer term liquidity position is reviewed on a regular basis by the Parent Company’s Board of Directors and appropriate decisions are taken according to the situation.

Exposure to liquidity risk

The following are the remaining contractual maturities of financial liabilities at the reporting date. The amounts are gross and undiscounted and include contractual interest payments and exclude the impact netting agreements.

iii. Market risk

Market risk is the risk that changes in market prices, such as foreign exchange rates and interest rates will affect the Company’s income or the value of its holding of financial instruments. The objective of market risk management is to manage and control market risk exposures within acceptable parameters, while optimising the return.

iv. Currency risk

The Company is exposed to currency risk to the extent that there is a mismatch between the currencies in which sales, purchases and borrowings are denominated and the respective functional currencies of the Company. The functional currencies of the Company are primarily the INR, USD and EUR. The currencies in which these transactions are primarily denominated are USD and INR.

Sensitivity analysis

A reasonable possible strengthening/ weakening of the EUR, USD or INR against all other currencies at year end would have affected the measurement of financial instruments denominated in a foreign currency and affected equity and profit or loss by the amounts shown below. This analysis assumes that all other variables, in particular interest rates, remain constant and ignores any impact of forecast sales and purchases.

v. Interest rate risk

Interest rate risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The Company is exposed to interest rate risk because funds are borrowed at both fixed and floating interest rates. Interest rate risk is measured by using the cash flow sensitivity for changes in variable interest rate. The borrowings of the Company are principally denominated in INR and USD with a mix of fixed and floating rates of interest. The Company has exposure to interest rate risk, arising principally on changes in base lending rate and LIBOR rates. The risk is managed by the Company by maintaing an appropriate mix metween fixed and floating rate borrowings.

42. Capital Management Risk management

The Company’s objectives when managing capital are to:

- safeguarding their ability to continue as a going concern, so that they can continue to provide returns for shareholders and benefits for other stakeholders, and

- maintain an optimal capital structure to reduce the cost of capital.

I n order to maintain or adjust the capital structure, the Company may adjust the amount of dividends paid to shareholders, return capital to shareholders, issue new shares or sell assets to reduce debt.

Consistent with others in the industry, the Company monitors capital on the basis of the following gearing ratio:

49. Security of current assets against borrowings - Details of Quarterly statements filed by the Company with banks -

Company has taken borrowings from banks on the basis of security of current assets for which quarterly statements of current assets filed by the company with banks are in agreement with the books of accounts and theme is no material discrepancies.

50. Charges yet to be registered with ROC

charges or satisfaction yet to be registered with ROC beyond the statutory period, details and reasons thereof - Not Applicable

52. Previous year figures have been regrouped / reclassified wherever necessary to correspond with the current years classification disclosure.

53. The financials statements has been approved by the Board on 28th May, 2023.

---

Mar 31, 2018

COMPANY INFORMATION

Hindusthan Urban Infrastructure Limited (the ‘Company’) is a public limited Company domiciled and incorporated in India under the Indian Companies Act, 1956. The registered office of the Company is located at ‘Kanchenjunga’ (7th Floor),18, Barakhamba Road, New Delhi, India. The Company is listed on the Bombay Stock Exchange (BSE).

The Company is engaged mainly in the business of manufacturing & selling electrical conductor, insulator products and also engaged in wind power and investing activities.

These financial statements were authorized for issue in accordance with a resolution of the directors on dated 03rd May, 2018.

(b) Terms/rights attached to equity shares

The Company has only one class of shares referred to as equity shares having par value of Rs 10/- per share. Each holder of equity shares is entitled to one vote per share.

Shares in respect of each class in the company held by its holding company rights ultimate holding company including shares held by or by subsidiaries or associates of the holding company or the ultimate holding company in aggregate : NIL

Shares reserved for issue under options and contracts/commitments for the sale of shares/disinvestment, including the terms and amounts : NIL In the event of liquidation of the Company, the holders of equity shares will be entitled to receive any of the remaining assets of the Company, after distribution of all preferential amounts. However, no such preferential amounts exist currently. The distribution will be in proportion to the number of equity shares held by the shareholders.

The company has not Issued equity share capital including shares allotted for consideration other than cash during the last five years.

Dividend of Rs 1/- share (Previous Year Rs 1/-) proposed by the Board of Directors is subject to the approval of the share holders in the ensuing Annual General Meeting.

a) Term Loan (Rupee Loan)

(i) Type of Loan : 10.85% p.a.Term Loans from Canara Bank, New Delhi of Rs.12,39,00,000/- & Rs. 11,95,92,500/Nature of Security: Secured by first charge on Assets created out of 4 nos. of Wind Turbine Generator (WTGs) at Akel site, Distt. Jaiselmer (Rajasthan) & Ratan Ka Bas, Distt. Jodhpur (Rajasthan) and land at WTG site.

Terms of Repayment :The loan is repayable in 108 & 96 monthly installments starting from 01.08.2010 and 01.02.2011 respectively.

(ii) Type of Loan : 10.85% p.a.Term Loan Canara bank, New Delhi of Rs.12,95,00,000/- taken for Guwahati project at Plot No 1C, Industrial park, Sila Mouza, Kamrup, Guwahati,Assam.

Nature of Security: Secured by first charge on Land, Building and Plant & machinery created out of the loan. Terms of Repayment : The loan is repayable in 16 half yearly instalments starting from 01.08.2012.

(iii) Type of Loan : 10.85% p.a.Term loan Canara bank, New Delhi of Rs. 45,00,00,000/- is sanctioned on 14.08.2015 by Canara bank, New Delhi for our Khurda Projects at 11.20% p.a. against which Rs. 40,64,34,112/- availed.

Nature of Security: The loan is secured by exclusive charge on land & building and other fixed/movable/immovable assets situated at Village-chmpajhara, Distt- Khurda, Bhubaneswer.

Terms of Repayment : The said loan is repayable in 32 quarterly structured installments starting from quarter ending December’ 2015 and ending on quarter ending September’2023.

b) Type of Loan : 15.05% p.a. Indian rupee term loan from State Bank of India. During the year, the company has converted indian rupee term loan of Rs 6,72,40,000 (USD 10000/-) in to foreign currency term loan for one year with interest rate 6.186% p.a.

Nature of Security : Secured by Ist Charge over fixed assets situated at plot no 1-8, New Industrial area Mandideep, Tehsil-Goharganj,Distt-Raisen, M.P.

Terms of Repayment: The loan is repayable in 18 quarterly installment of Rs 60.93 Lakhs starting from Sep’2016. “

c) Type of Loan : 10.14% p.a. Vehicle loan from ICICI Bank of Rs. 2,09,30,000/- .

Terms of Repayment: The said loan is repayable in 59 equal monthly instalments starting from 10.06.2014.”

d) Working Capial Facilities for Banks :

(i) Type of Loan: Working Capital Facilities from Canara Bank for the Conductor Division against which drawing is Rs 3,91,06,500/- (31.03.2017 - Rs. 36,99,76,115/- & 01.04.2016 - Rs.54,41,43,498/-).

Nature of Security : Secured against hypothecation of stocks, book debts and plant & machinery both present & future at Village-champajhara,Distt-Khurda, Bhubaneswar &12/1,Milestone, Delhi Mathura Road, Faridabad.,Industrial Area, Birla Nagar, Gwalior & Plot No 1C, Industrial park, Sila Mouza, Kamrup, Guwahati,Assam and equitable mortgage of land and building at 12/1,Milestone, Delhi Mathura Road, Faridabad and Industrial Area, Birla Nagar, Gwalior.

(ii) Type of Loan: Working capital facilities from State Bank of India, Bhopal Branch & IDBI Bank, Bhopal Branch for the Insulator division against which drawing is Rs 49,37,72,448 (31.03.2017 - Rs. 42,33,98,062/- & 01.04.2016 - Rs. 45,90,40,126/-)

Nature of Security: Secured against hypothecation of all types of stocks and book debts and other receivable situated at plot no 1-8, New Industrial area Mandideep, Tehsil-Goharganj,Distt-Raisen, M.P. or such other place as approved by bank and secured collaterally by way of second charge on fixed assets of insulators division situated at plot no 1-8, New Industrial area Mandideep, Tehsil-Goharganj,Distt-Raisen, M.P.” Interest rate varies from 1% p.a. to 6% p.a. per annum on foreign currency denominated working capital facilities and it varies from 8% p.a. to 13% p.a. on rupee denominated working capital facilities.

1 Disclosure requirement under MSMED Act, 2006

The Company has certain dues to suppliers (trade and capital) registered under Micro, Small and Medium Enterprises Development Act, 2006 (‘MSMED Act’).

There are no micro and small enterprises, to whom the Company owes dues, which are outstanding for more than 45 days as at 31 March 2018 . The information as required to be disclosed under the Micro, Small and Medium Enterprises Development Act, 2006 (MSMED) has been determined to the extent such parties have been identified on the basis of information available with the Company.The disclosures pursuant to the said MSMED Act are as follows:

Valuations are based on certain assumptions, which are dynamic in nature and vary over time. As such company is exposed to various risks as follow -

A) Salary Increases : Actual salary increases will increase the Plan’s liability. Increase in salary increase rate assumption in future valuations will also increase the liability.

B) Investment Risk : If Plan is funded then assets liabilities mismatch & actual investment return on assets lower than the discount rate assumed at the last valuation date can impact the liability.

C) Discount Rate : Reduction in discount rate in subsequent valuations can increase the plan’s liability.

D) Mortality & disability : Actual deaths & disability cases proving lower or higher than assumed in the valuation can impact the liabilities.

E) Withdrawals : Actual withdrawals proving higher or lower than assumed withdrawals and change of withdrawal rates at subsequent valuations can impact Plan’s liability.

2 Related Party Disclosures

A. List of Related Parties and relatives with whom transactions have taken place

Enterprise which have significant influence over the company

Hindusthan Consultancy & Services Ltd.

Enterprises over which company having significant influence:

Hindusthan Speciality Chemicals Ltd. (Wholly Owned Subsidiary Company)

Hindusthan Vidyut Products Ltd. (Wholly Owned Subsidiary Company)

Hindusthan Projects Ltd. (Wholly Owned Subsidiary Company)

Director(s)/ Key Managerial Personnel :

Mr Raghavendra Anant Mody, Chairman & WholeTime Director (w.e.f. 03.10.17)

Mr Shyam Sunder Bhuwania, Vice Chairman & Managing Director Mr Vivek Dayaram Kohli, Whole time Director (upto 31.03.2018)

Mr Anil Kumar Chandani, Chief Financial Officer (upto 04.08.2017)

Mr Deepak Kejriwal, Chief Financial Officer (w.e.f. 31.08.2017)

Mr Murari Lal Birmiwala, Senior Vice President Finance & Company Secretary

Relatives of Director(s)/Key Managerial Personnel :

Mrs Sanchita Mody Mrs Nirmala Bhuwania Mr Krishan Kumar Birmiwala Mrs Shilpi Birmiwala Mrs Madhu Garg Mrs Sumita Kejriwal Mr Behari Lal Kejriwal

Others

Hindusthan Vidyut Products Ltd Employee Provident Fund Trust

3 Segment Reporting

I) Based on the guiding principles given in Ind AS-108 “Operating Segment”, The Vice-Chairman and Managing Director of the Parent Company has been identified as the Chief Operating Decision Maker (CODM) as defined by Ind AS 108 “Operating Segments”. Operating Segments have been defined and presented based on the regular review by the CODM to assess the performance of each segment and to make decision about allocation of resources. Accordingly, the Company’s primary business segments are organised around customers on industry and products lines as under:

a. Conductor: Conductor includes electrical conductor and related items.

b. Insulator: Insulator includes electrical insulator and related items.

c. Other: This segment is engaged in power generation, investment activities.

The Company prepares its segment information in conformity with the accounting policies adopted for preparing and presenting the financial statements of the Company as a whole.

No operating segments have been aggregated to form the above reportable operating segments.

Revenue, expenses, assets and liabilities which relate to the Company as a whole and not allocable to segments on reasonable basis have been included under ‘unallocated revenue / expenses / assets / liabilities’.

Finance costs are not allocated to individual segments as the underlying instruments are managed on a Company basis Current taxes and deferred taxes are not allocated to those segments as they are also managed on a Company basis

II) In respect of secondary segment information, the Company has identified its geographical segments as:

a. With in India, and

b. Outside India.

1) The Company has disclosed business segments as the primary segments.

2) Segments have been identified and reported taking into account the nature of products and services, the differing risk and returns, the organization structure and the internal financial reporting systems.

3) The segment revenues, results, assets and liabilities include the respective amounts identifiable to each of the segments and amounts allocated on a reasonable basis.

4. Financial Risk management Risk management framework

The Company’s board of directors has overall responsibility for the establishment and oversight of the company’s risk management framework. The Company through three layers of defence namely policies and procedures, review mechanism and assurance aims to maintain a disciplined and constructive control environment in which all employees understand their roles and obligations. The Audit committee of the Board with top management oversee the formulation and implementation of the risk management policies. The risk are identified at business unit level and mitigation plan are identified, deliberated and reviewed at appropriate forums.

The Company has exposure to the following risks arising from financial instruments:

- credit risk (see(i);

- liquidity risk (see(ii); and

- market risk (see(iii).

i. Credit risk

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its contractual obligations, and arises principally from the Company’s receivables from customers, loans and investments.

The carrying amount of financial assets represents the maximum credit exposure.

Trade receivables and other financial assets

The Company has established a credit policy under which new customer is analysed individually for creditworthiness before the Company’s standard payment and delivery terms and conditions are offered. The Company’s review includes external ratings, if they are avaiable, financial statements, credit agency information, industry information and business intelligence. Sale limits are established for each customer and reviewed annualy. Any sales exceeding those limits require approval from the appropraite authority as per policy.

In monitoring customer credit risk, customers are grouped according to their credit characteristics, including whether they are an individual or a legal entity, whether thay are institutional, dealers or end-user customer, their geographic location, industry, trade history with the Company and existence of previous financial difficulties.

Expected credit loss for Trade receivables:

Based on internal assessment which is driven by the historical experience/ current facts avaiable in relation to default and delays in collection thereof, the credit risk for trade receivables is considered low. The Company estimates its allowance for trade receivable using lifetime expected credit loss. The balance past due for more than 6 months (net of expected credit loss allowance) is 3050.34 Lacs (31 March 2017: 2999.25 Lacs ; 1 April 2016: 1341.37 Lacs).

Movement in the expected credit loss allowance of trade receivables are as follows:_

Expected credit loss on financial assets other than trade receivables:

With regard to all financial assets with contractual cash flows, other than trade receiables, management belives these to be high quality assets with negligble credit risk. The management believes that the parties from which these financial assets are recoverable, have strong capacity to meet the obligations and where the risk of default is negligible and accordingly no provision for excepted loss has been provided on these financial assets. Break up of financial assets other than trade receivables have been disclosed on standalone Balance Sheet.

ii. Liquidity risk

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial liabilities that are settled by delivering cash or another financial asset. The Company’s approach to managing liquidity is to ensure, as fas as possible, that it will have sufficient liquidity to meet its liabilities when they are due, under both normal and stressed conditions, without incurring unacceptable losses or risking damage to the Company’s reputation.

The Company’s treasury department is responsible for managing the short-term and long-term liquidity requirements. Short term liquidity situation is reviewed daily by the treasury deoarment. Longer term liquidity position is reviewed on a regular basis by the Parrent Company’s Board of Directors and appropriate decisions are taken according to the situation.

Exposure to liquidity risk

The following are the remaining contractual maturities of financial liabilities at the reporting date. The amounts are gross and undiscounted, and include contractual interest payments and exclude the impact of netting agreements.

iii. Market risk

Market risk is the risk that changes in market prices, such as foreign exchange rates and interest rates will affect the Company’s income or the value of its holding of financial instruments. The objective of market risk management is to manage and control market risk exposures within acceptable parameters, while optimising the return.

Currency risk

The Company is exposed to currency risk to the extent that there is a mismatch between the currencies in which sales, purchases and borrowings are denominated and the respective functional currencies of the Company companies. The functional currencies of the Company companies are primarrily the INR, USD and EUR. The currencies in which these transactions are primarily denominated are USD and INR.

Exposure to currency risk

The summary quantitative data about the Company’s exposure to currency risk as reported to the management of the Company is as follows:

Sensitivity analysis

A reasonable possible strengthening/ weakening of the EUR, USD or INR against all other currencies at year end would have affected the measurement of financial instruments denominated in a foreign currency and affected equity and profit or loss by the amounts shown below. This analysis assumes that all other variables, in particular interest rates, remain constant and ignores any impact of forecast sales and purchases.

Interest rate risk

Interest rate risk is the risk that the fair value of futire cash flows of a financial instrument will fluctuate because of changes in market interest rates. The Company is exposed to interest rate risk because funds are borrowed at both fixed and floating interest rates. Interest rate risk is measured by using the cash flow sensitivity for changes in variable interest rate. The borrowings of the Company are principally denominated in INR and USD with a mix of fixed and floating rates of interest. The Company has exposure to interest rate risk, arising principally on changes in base lending rate and LIBOR rates. The risk is managed by the Company by maintaing an appropriate mix metween fixed and floating rate borrowings.

Exposure to interest rate risk

The interest rate profile of the Company’s interest bearing financial instruments as reported to the management of the Company is as follows:

The following table provides a break-up of the Company’s fixed and floating rate borrowings:

The sensitivity analysis below have been determined based on the exposure to interest rates for floating rate liabilities assuming the amount of the liability oustanding at the year-end was outstanding for the whole year.

If interest rates had been 25 basIs points higher/ lower and all other variables were held constant, the Company’s profit for the year ended 31 March 2018 would decrease / increase by 41.62 lacs (31 March 2017: 51.04 lacs ). This is mainly attributable to the Company’s exposure to interest rates on its variable rate borrowings.

5. Capital Management Risk management

The Company’s objectives when managing capital are to:

- safeguardng their ability to continue as a going concern, so that they can continue to provide returns for shareholders and benefits for other stakeholders, and

- maintain an optimal capital structure to reduce the cost of capital.

In order to maintain or adjust the capital structure, the Company may adjust the amount of dividends paid to shareholders, return capital to shareholders, issue new shares or sell assets to reduce debt.

Consistent with others in the industry, the Company monitors capital on the basis of the following gearing ratio:

‘Net Debt’ (total borrowings net of cash and cash equivalents and other bank balances) divided by ‘Total Equity’ (as shown in the standalone Balance sheet, inluding non-controlling interest).

The gearing ratios were as follows:

6. First time adoption of IND AS

The company has adopted IND AS notified by Ministry of Corporate Affairs for the year ended 31/03/2018. For the purpose of transition to IND AS, the company has followed the IND AS - 101 “ First Time Adoption of IND AS “ from 01/04/2016 as the transition date.

Exemptions availed and mandatory exceptions

Ind AS 101 First-time Adoption of Indian Accounting Standards allows first-time adopters certain exemptions from retrospective application of certain requirements under Ind AS. Set out below are the applicable Ind AS 101 optional exemptions and mandatory exceptions applied in the transition from previous GAAP to Ind AS.

A) Ind AS optional exemptions

A.1 Fair valuation as deemed cost for certain items of Property, plant and equipment: Ind AS 101 permits an entity to elect to measure an item of property, plant and equipment at the date of transition to Ind AS at its fair value and use that fair value as its deemed cost at that date. Accordingly, the company has elected to use the fair value of certain items of property, plant and equipment on the date of transition and designate the same as deemed cost on the date of transition. Fair value has been determined, by obtaining an external third party valuation,with reference to the depreciated replacement cost of similar assets, a level 3 valuation technique. For the remaining assets, the company has applied Ind AS retrospectively, from the date of their acquisition.

A.2 Designation of previously recognised financial instruments

Ind AS 101 allows an entity to designate investments in equity instruments at FVTPL on the basis of the facts and circumstances at the date of transition to Ind AS.

The company has elected to apply this exemption for its equity investment.

B) Ind AS mandatory exceptions

B.1 Accounting estimates

In accordance with previous GAAP (after adjustments to reflect any difference in accounting policies), unless there is objective evidence that those estimates were in error.

Ind AS estimates as at April 1, 2016 are consistent with the estimates as at the same date made in conformity with previous GAAP. The company made estimates for following items in accordance with Ind AS at the date of transition as these were not required under previous GAAP: -Investment in equity instruments carried at FVTPL;

-Impairment of financial assets based on expected credit loss model

B.2 Hedge accounting

Hedge accounting can only be applied prospectively from the transition date to transactions that satisfy the hedge accounting criteria in Ind AS 109, at that date. Hedging relationships cannot be designated retrospectively, and the supporting documentation cannot be reated retrospectively. As a result, only hedging relationships that satisfied the hedge accounting criteria as ofApril 1, 2016, are reflected as hedges in the company’s results under Ind AS. The company had designated various hedging relationships as fair value hedges under the previous GAAP. On the date of transition to Ind AS, the company has assessed that all the designated hedging relationship qualifies for hedge accounting as per Ind AS 109. Consequently, the company continues to apply hedge accounting on and after the date of transition to Ind AS.

B.3 De-recognition of financial assets and liabilities

Ind AS 101 requires a first-time adopter to apply the de- recognition provisions of Ind AS 109 prospectively for transactions occurring on or after the date of transition to Ind AS. However, Ind AS 101 allows a first-time adopter to apply the de-recognition requirements in Ind AS 109 retrospectively from a date of the entity’s choosing, provided that the information needed to apply Ind AS 109 to financial assets and financial liabilities derecognised as a result of past transactions was obtained at the time of initially accounting for those transactions.

The company has elected to apply the de-recognition provisions of Ind AS 109 prospectively from the date of transition to Ind AS.

B.4 Classification and measurement of financial assets

Ind AS 101 requires an entity to assess classification of financial assets on the basis of facts and circumstances existing as on the date of transition. Further, the standard permits measurement of financial assets accounted at amortised cost based on facts and circumstances existing at the date of transition if retrospective application is impracticable.

Accordingly, the company has determined the classification of financial assets bases on facts and circumstances that exist on the date of transition. Measurement of the financial assets accounted at amortised cost has been done retrospectively except where the same is impracticable The transition to IND AS has resulted in changes in the presentation of the financial statements disclosure in the notes to accounts & accounting policies. The transition from previous GAAP to IND AS has affected the financials.

The reconciliation provided below shows the effect of transition to IND AS from previous GAAP in accordance with IND AS 101:-

6 Reconciliation of cash flows for the year ended March 31,2017

The transition from estwhile Indian GAAP to Ind AS has not made any material impact on the statement of cash flows.

Notes to Reconciliation :

Note 1: Fair Valuation of Investments

Under the previous GAAP, investments in equity instruments and other instruments were classified as long-term investments or current investments based on the intended holding period and realisability. Long-term investments were carried at cost less provision for other than temporary decline in the value of such investments. Current investments were carried at lower of cost and fair value. Under Ind AS, these investments are required to be measured at fair value. The resulting fair value changes with respect to investments in equity instruments have been recognised in FVTPL as at the date of transition and subsequently in the statement of profit and loss for the year ended 31 March 2017. This increased total equity by 388.58 lacs as at 31 March 2017 (1 April 2016: (-)66.34 lacs ) and profit and loss for the year ended 31 March 2017 by 454.92 Lacs

Note 2: Deferred Taxes

Previous GAAP requires deferred tax accounting using the income statement approach, which focuses on differences between taxable profits and accounting profits for the period. Ind AS 12 requires entities to account for deferred taxes using the balance sheet approach, which focuses on temporary differences between the carrying amount of an asset or liability in the balance sheet and its tax base. The application of Ind AS 12 approach has resulted in recognition of deferred tax on new temporary differences which was not required under Indian GAAP In addition, the various transitional adjustments lead to temporary differences. According to the accounting policies, the company has to account for such differences. Deferred tax adjustments are recognised in correlation to the underlying transaction either in retained earnings or a separate component of equity. On the date of transition, the net impact on deferred tax liabilities is of Rs. 3156.77 Lacs (1 April 2016: Rs. 3106.68 Lacs)

Note 3: Proposed Dividend

Under the previous GAAP, dividends proposed by the board of directors after the Balance Sheet date but before the approval of the financial statements were considered as adjusting events. Accordingly, provision for proposed dividend was recognised as a liability. Under Ind AS, such dividends are recognised when the same is approved by the shareholders in the general meeting. Accordingly, the liability for proposed dividend of Rs. 17.37 Lacs as at 31 March 2017 (1 April 2016: 17.37 Lacs) included under provisions has been reversed with corresponding adjustment to retained earnings. Consequently, the total equity increased by an equivalent amount.

Note 4: Re-measurements of post employement benefit obligations

Under Ind AS, re-measurements i.e. actuarial gains and losses and the return on plan assets, excluding amounts included in the net interest expense on the net defined benefit liability are recognised in other comprehensive income instead of profit or loss. Under the previous GAAP, these re-measurements were forming part of the profit or loss for the year. As a result of this change, the profit before tax for the year ended March 31 , 2017 increased by Rs. 35.70 Lacs There is no impact on the total equity as at 31 March 2017

Note 5: Mark to Market Gain/(Loss) on Derivative contracts

Recognition of mark-to-market gain/(loss) of Rs (69.40) lacs & Rs 45.47 lacs as at 31 March 2017 & 1 April 2016 respectively on forward contracts which was not permitted under previous GAAP

Note 6: Retained Earnings

Retained earnings as at March 31,2017 has been increased by Rs 13176.94 lacs (April 1, 2016 : Rs 12886.97 lacs) consequent to the above Ind AS transition adjustments.

Note 7: Other comprehensive income

Under Ind AS, all items of income and expense recognised in a period should be included in profit or loss for the period, unless a standard requires or permits otherwise. Items of income and expense that are not recognised in profit or loss but are shown in the statement of profit andlJoss as ‘other comprehensive income’ includes re-measurements of defined benefit plans. The concept of other comprehensive income did not exist under previous GAAP

Note 8: Excise duty

Under the previous GAAP, revenue from sale of products was presented exclusive of excise duty. Under Ind AS, revenue from sale of goods is presented inclusive of excise duty. The excise duty paid is presented on the face of the statement of profit and loss as part of expenses. This change has resulted in an increase in total revenue and total expenses for the year ended 31 March 2017 by Rs. 7068.33 Lacs. There is no impact on the total equity and profit

Note 9: Fair Valuation as deemed cost for certain items of Property, Plant and Equipment and Government Subsidy

Ind AS 101 permits an entity to elect to measure an item of property, plant and equipment at the date of transition to Ind AS at its fair value and use that fair value as its deemed cost at that date. Accordingly, the Company has elected to use the fair value of certain items of property, plant and equipment on the date of transition and designate the same as deemed cost on the date of transition. Fair value has been determined, by obtaining an external third party valuation,with reference to the depreciated replacement cost of similar assets, a level 3 valuation technique. This change has resulted in as increase in equity amounting to Rs 19324.11 lacs as on 31st March 17 (1 April 16: Rs 19324.11 lacs)

Government Subsidy received on purchase of plant and equipments in respect of manufactuing unit located in specified regions has been recognised as government grant by an increase in the carrying value of plant and equipment with a corresponding credit to the deferred government grant. The increase in the value of plant and equipment is depreciated over the balance useful life of the asset. The deferred grant revenue is released to the profit or loss over the expected useful life in a pattern of consumption of the benefit of the underlying asset. Under Previous GAAP such benefits were being netted off with the cost of the respective item of plant and equipment. This has resulted in net increase in the value of plant and equipment by Rs 115.80 lacs and Rs 130.43 lacs as at March 31, 2017 and April 01, 2016 respectively. There is no resultant impact on equity.

Note 10: Liability for Interest on Sales Tax Liability

Liability for Interest on Sales Tax amounting Rs 128.28 lacs provided in books as at 31 March 2017 (Rs 128.28 lacs - 1 April 2016). This has resulted in decrease in equity by the same amount.

Note 11: Provision for Doubful Debts and Advances

Provision for doubful debts & advances has been made in books on transition to Ind-AS. This has resulted in decrease in equity by Rs 1230.68 lacs as at March 31,2017 (April 1 2016 : Rs 1230.68 lacs)

Note 12: Provision for Old & Obsolete Inventories

Provision in respect of excess, slow-moving, damaged, or obsolete inventories has been made in books on transition to Ind-AS. This has resulted in decrease in equity by Rs 1968 lacs as at March 31,2017 (April 1 2016: Rs 1968 lacs)

7 Previous year figures have been regrouped / reclassified wherever necessary to correspond with the current years classification disclosure.

8 The financials statements has been approved by the Board on 3rd May, 2018.

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Mar 31, 2016

(e) Terms / rights attached to equity shares

The company has issued only one class of equity shares having a par value of Rs.10 each. Each equity share holder is entitled to one vote per share. In the event of liquidation of the company, the holders of equity shares will be entitled to receive remaining assets of the company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.

During the year ended March 31,2016 the amount of per share dividend recognized as distribution to equity shareholders was Rs.1/- (Previous Year Rs.1/-).

*11.65% Term Loans from Canara Bank, New Delhi of Rs.12,39,00,000/- & Rs. 11,95,92,500/- is repayable in 108 & 96 monthly installments starting from 01.08.2010 and 01.02.2011 respectively. The loan is secured by first charge on Assets created out of 4 nos. Wind Turbine Generator (WTGs) at Rajasthan and land at WTG site and Term Loan for Rs.12,95,00,000/- taken for Guwahati Project is repayable in 16 half yearly installments starting from 01.08.2012. The loan is secured by first charge on Land, Building and P&M created out of the loan. Term loan of Rs.45,00,00,000/- is sanctioned on 14.08.2015 by canara bank, New Delhi for our Khurda Project at 11.65% against which Rs.32,20,34,112/availed. The said loan is repayable in 32 quarterly structured installments starting from quarter ending December 2015 and ending on quarter ending September 2023. The loan is secured by exclusive charge on land & building and other fixed/movable/immovable assets situated at Village-chmpajhara, Distt- Khurda, Bhubaneswer.

** 16.20% Term Loan from SBI is secured by 1st Charge on fixed assets created out of the Loan.

# 10.14% car loan of Rs.2,09,30,000/- from ICICI Bank is repayable in 59 equal monthly installments starting from 10.06.2014.

*Working Capital Facilities from Canara Bank for the Conductor Division are Secured against hypothecation of stocks, book debts and plant & machinery both present & future at Faridabad, Gwalior and Guwahati Unit and equitable mortgage of land and building at Faridabad and Gwalior against which drawing is Rs.54,41,43,498/- (previous year Rs.42,42,47,896/-)

Working capital facilities from State Bank of India, Bhopal Branch for the Insulator division are secured against hypothecation of stocks and book debts and secured collaterally by way of second charge on fixed assets of insulators division against which drawing is Rs.45,90,40,126/- (previous year Rs.42,25,45,937/-)

#Interest rate varies from 1% to 5% per annum on foreign currency denominated working capital facilities and it varies from 9% to 13% on rupee denominated working capital facilities.

NOTE No-1: Trade Payable/ Receivables

(A) Balance confirmation letters has been sent to the respective parties, but no confirmation from the parties received till the signing of balance sheet.

(B) Micro, Small & Medium Enterprises & Development Act, 2006

The Company has identified Micro, Small & Medium Enterprises wherever confirmation received from them and confirms that Rs.1,47,15,180 /- (Previous year Rs.45,40,627/-) payable to small scale industrial undertakings and the same are not outstanding for more then 30 days.

NOTE No- 2: Employee Benefits

Disclosure as required by Accounting Standard AS-15 (Revised) on Employee Benefits in respect of gratuity and leave encashment are as follows :

Net expenses recognized during the year 2015-16

Provident Fund & Employees’ State Insurance

The Company makes contribution to statutory Provident Fund & Employees’ State Insurance in accordance with Employees’ Provident Fund and Miscellaneous Provision Act, 1952 & Employees’ State Insurance Act, 1948. This is post employment benefit and is in the nature of defined contribution plan. Contribution made by the Company during the year is Rs.1,60,71,696/-(Previous Year Rs.1,78,47,846/-).

(3) The company has identified areas for CSR activities as promoting education, rural development, eradication of hunger, poverty & malnutrition. The funds amounting Rs.20.85 lacs have been spent during the year on these activities which are specified in the Schedule VII of the companies Act, 2013.

(4) Previous year figures re-grouped or re-arranged wherever required, to make them comparable.

(5) The company is subject to statutory legal proceedings and claims, which have arisen in the ordinary course of business. The company’s management does not reasonably expect that these legal actions, when ultimately concluded and determined, will have a material and adverse effect on the company’s results.