Riddhi Corporate Services Ltd. के अकाउंट के लिये नोट

Mar 31, 2025

s) Provisions & contingent liabilities / Assets:

The company recognizes a provision when there is a present obligation as a result of a

- past event that probably requires an outflow of resources and a reliable estimate can be
made of the amount of the obligation. A disclosure for a contingent liability is made when
there is a present obligation that cannot be estimated reliably or a possible or present
obligation that may, but probably will not, require and outflow of resources. Where there
is a possible obligation or a present obligation that the likelihood of outflow of resources is
remote, no provision or disclosure is made.

Provisions are measured at the present value of best estimate of the expenditure required

- to settle the present obligation at the end of the reporting period. The discount rate used to
determine the present value is a pre-tax rate that reflects current market assessments of
the time value of money and the risks specific to the liability. The increase in the
provision due to the passage of time is recognised as interest expense.

Contingent assets are not recognised but are disclosed in the notes to Financial Statements
when economic inflow is probable.

t) Employee benefits:

Retirement benefit in the form of contribution to 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 expense, when an employee renders the related service. If the contribution

— payable to the scheme for service received before the balance sheet date exceeds the
contribution already paid, the deficit payable to the scheme is recognized as a liability
after deducting the contribution already paid. If the contribution already paid exceeds the
contribution due for services received before the balance sheet date, then excess is
recognized as an asset to the extent that the pre-payment will lead to, for example, a
reduction in future payment or a cash refund.

The Company''s liabilities towards gratuity payable to its employees are determined using

— the Acturial Valuation Report which is obtained in accordance with Ind AS 19.

Remeasurements, comprising of actuarial gains and losses are recognised immediately in

— the balance sheet with a corresponding debit or credit to retained earnings through OCI in
the period in which they occur. Remeasurements are not reclassified to profit or loss in
subsequent periods.

Past service costs are recognised in profit or loss on the earlier of:

a) The date of the plan amendment or curtailment, and

b) The date that the Company recognises related restructuring costs

Net interest is calculated by applying the discount rate to the net defined benefit liability

— or asset. The Company recognises the following changes in the net defined benefit

obligation as an expense in the statement of profit and loss:

a) Service costs comprising current service costs, past-service costs, gains and losses on

curtailments and non-routine settlements; and

b) Net interest expense or income.

u) Earnings Per Share:

Earnings per share (EPS) is calculated by dividing the net profit or loss for the period

— attributable to equity shareholders by the weighted average number of equity shares

outstanding during the period. Earnings considered in ascertaining the EPS is the net
profit for the period and any attributable tax thereto for the period.

— For the purpose of calculating diluted EPS, the net profit for the period attributable to

equity shareholders and the weighted average number of equity shares outstanding
during the period are adjusted for the effects of all dilutive potential equity shares.

v) Cash Flow Statement:

Cash flows are reported using the indirect method, whereby profit / (loss) before
extraordinary items and tax is adjusted for the effects of transactions of non-cash nature
and any deferrals or accruals of past or future cash receipts or payments. The cash flows
from operating, investing and financing activities of the Company are segregated based
on the available information.

w) Financial Instruments:

Critical estimates and judgements

Preparation of the Financial Statements requires use of accounting estimates, judgements
- and assumptions, which, by definition, will seldom equal the actual results. Appropriate
changes in estimates are made as the Management becomes aware of changes in
circumstances surrounding the estimates. Changes in estimates are reflected in the
Financial Statements in the period in which changes are made and, if material, their effects
are disclosed in the notes to the Financial Statements. This Note provides an overview of
the areas that involves a higher degree of judgements or complexity and of items which
are more likely to be materially adjusted due to estimates and assumptions turning out to
be different than those originally assessed. Detailed information about each of these
estimates and judgements is included in relevant notes together with information about
the basis of calculation for each affected line item in the Financial Statements.

The areas involving critical estimates or judgements are:

i) Estimation for income tax: Note 1 (d)

ii) Estimation of useful life of tangible assets: Note 1 (h)

iii) Estimation of provision for inventories: Note 1 (m)

iv) Allowance for credit losses on trade receivables: Note 1 (k)

v) Estimation of claims | liabilities: Note 1 (o)

vi) Estimation of defined benefit obligations: Note 1 (t)

vii) Estimation of fair Value: Note no. 41

a ) Defined Contribution Plans

The Company made contribution towards provident fund to a defined contribution retirement benefit plan for qualifying
employees. The provident fund plan is operated by the Regional Provident Fund Commissioner.

The company Recognized Rs. 34071711/- for provident fund contributions in the profit & loss account and included in note no.
25 in "Contribution to Provident and Other Funds".

b ) Defined Benefit Plans

The Company made provision for gratuity liability which is un funded. The scheme provides for payment to vested employees
at retirement, death while in employment or on termination of employment of an amountequivalent to 15 days salary payable
for each completed year of service or part thereof in execess of six months. Vesting occurs upon completion of five years of
service.

Leases:

The Company has entered into a significant number of long-term lease agreements during the financial year. These leases
primarily relate to warehouses, fulfillment centers, office spaces, and transportation hubs, which are integral to the Company''s
operational model and service offerings. The increase in long-term leases is driven by the Company''s strategic expansion into
Third-Party Logistics (3PL) services, where the Company provides comprehensive logistics solutions, including warehousing,
inventory management, and manpower support. The model is similar to service platforms such as UrbanClap and Netmeds,
where manpower is deployed for operational support at client locations. Additionally, to meet the growing demand from large
enterprise clients and to maintain service level agreements, the Company has undertaken long-term leases of transportation
assets and facilities. This enables the Company to ensure timely and cost-effective delivery services across various regions. These
long-term lease arrangements support the Company''s objective to scale its logistics and manpower outsourcing business,
enhance operational efficiency, and maintain consistent service quality for large-scale clients.

Right to Use assets by class of assets are disclosed in Note no. 2 (iii) .

Fair value
Measurement:

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

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

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

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

a) Level 1 -- This includes financial instruments measured using quoted prices. The fair value of all equity
instruments which are traded on the Stock Exchanges is valued using the closing price as at the reporting
period.

b) Level 2 -- The fair value of financial instruments that are not traded in an active market (for example over-
the-counter derivatives) is determined using valuation techniques which maximise the use of observable
market data and rely as little as possible on entity-specific estimates.

Financial risk
management:

Risk identification and definition: Focuses on identifying relevant risks, creating / updating clear definitions to
ensureundisputed understanding along with details of the underlying root causes / contributing factors.

Risk classification: Focuses on understanding the various impacts of risks and the level of influence on its root
causes. This involves identifying various processes generating the root causes and clear understanding of risk
interrelationships.

Risk assessment and prioritisation: Focuses on determining risk priority and risk ownership for critical risks.
This involves assessment of the various impacts taking into consideration risk appetite and existing mitigation
controls.

Risk mitigation: Focuses on addressing critical risks to restrict their impact(s) to an acceptable level (within the
defined risk appetite). This involves a clear definition of actions, responsibilities and milestones.

Risk reporting and monitoring: Focuses on providing to the Board periodic information on risk profile
evolution and mitigation plans.

Market Risk:

The Company''s exposure to the risk of changes in market interest rates relates primarily to its short-term
borrowings with floating interest rates.

The Company manages the interest rate risk by balancing fixed-rate and floating-rate debt.

A 50 basis points increase or decraese will affect the Net Profit as given below in the Interest Rate Sensitivity
Table:

Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate
because of changes in market interest rates. The Company''s exposure to the risk of changes in market interest
rates relates primarily to the Company''s long-term debt obligations with floating interest rates. However, the
company does not have any exposure of loans which are linked with repo rate. Therefore, the Company does
not have any interest rate risk_

(ii) Credit risk

Credit risk refers to the risk that a counterparty will default on its contractual obligations, resulting in financial
loss to the Company. The Company''s exposure arises principally from trade receivables.

The Company deals only with creditworthy customers, and the creditworthiness is assessed on an ongoing
basis.

Concentration of credit risk is limited, as the customer base is large and diversified.

The Company uses the Expected Credit Loss (ECL) model as per Ind AS 109 to determine impairment.

The Company evaluates the concentration of risk with respect to trade receivables as low, as its customers are

located in several jurisdictions and industries and operate in largely independent markets._

Trade receivables are non-interest bearing and are generally on 15 days to 90 days credit term. Credit limits are
established for all customers based on internal rating criteria. The Company has no concentration of credit risk
as the customer base is widely distributed both economically and geographically.

(iii) Liquidity risk

The principal sources of liquidity of the Company are cash and cash equivalents, borrowings and the cash flow
that is generated from operations. It believes that current cash and cash equivalents, borrowings and cash flow
that is generated from operations is sufficient to meet requirements. Accordingly, liquidity risk is perceived to
be low.

Capital risk management

The primary objective of capital management is to maintain a strong credit rating and healthy capital ratios in
order to support its business and maximise shareholder value, safeguard business continuity and support the
growth of the Company. It determines the capital requirement based on annual operating plans and long-term
and other strategic investment plans. The funding requirements are met through equity and operating cash

flows generated. It is not subject to any externally imposed capital requirements._

The Company manages its capital structure and makes adjustments to it in light of changes in economic
conditions and the requirements of the financial covenants. To maintain or adjust the capital structure, the
Company may adjust the dividend payment to shareholders, return capital to shareholders or issue new shares.
The Company monitors capital using a gearing ratio, which is net debt divided by total capital plus net debt.

The Company includes, within net debt, interest bearing loans and borrowings, less cash and cash equivalents.

1. Previous year''s figures have been regrouped / rearranged to the extent necessary to confirm to this year''s
classification to the extent possible.

2. Previous year''s data may not be fully comparable due to differences in methodology and the absence of
reclassifications in key areas such as ratios, Related Party transactions, income tax workings, deferred tax
workings, defined benefit obligations.

The Company has not entered into any such transaction which is not recorded in the books of accounts that has
been surrendered or disclosed as income during the year in the tax assessments under the Income Tax Act,
1961.

The Company has no transactions with the companies struck off under the Act or Companies Act, 2013.

(iii) The Company is not declared wilful defaulter by any bank or financial institution or other lender.

(iv) The Company has not traded or invested in crypto currency or virtual currency during the financial year.

(v) The Company has not revalued its property, plant and equipment (including right-of-use assets) or intangible
assets or both during the year.

(vi) No proceedings have been initiated or are pending against the Company for holding any benami property
under the Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and Rules made there under.

(vii) No loans or advances in the nature of loans are granted to promoters, Directors, Key Managerial Personnel and
the related parties (as defined under Companies Act, 2013) either severally or jointly with any other person.

FOR, JAIN KEDIA & SHARMA. For, Riddhi Corporate Services Limited

CHARTERED ACCOUNTANTS

FIRM REG. NO.: 103920W Sd/- Sd/-

Sd/ Mr. Pravinchandra K. Gor Mr. Alpitkumar P. Gor

Chairman & Managing Wholetime Director

Director

CA Tarak Shah

PARTNER Sd/-

M. NO. 182100 Sd/-

Mr. Mustafa M. Sibatra

UDIN: 25182100BM0DAI5222 Mr. Hardikkumar V Bhavsar Company Secretary

Chief Financial Officer

Date:- 30th May, 2025
Place:- Ahmedabad

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Mar 31, 2024

(j) Provision, 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 be 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.

A contingent liability exists when there is a possible but not probable obligation, or a present obligation that may, but probably will not, require an outflow of resources, or a present obligation whose amount cannot be estimated reliably.

All known Liabilities, wherever material, are provided for and Liabilities, which are disputed, are referred to by way of Notes on Accounts.

Contingent assets are not recognized in the financial statements.

(k) Taxes on Income

Tax expense comprises of current and deferred tax. Current income tax is measured at the amount expected to be paid to the tax authorities in accordance with the Indian Income-tax Act, 1961. Deferred income taxes reflect the impact of current year timing differences between taxable income and accounting income for the year and reversal of timing differences of earlier years.

Deferred tax is measured based on the tax rates and the tax laws enacted or substantively enacted at the balance sheet date. Deferred tax assets and deferred tax liabilities are offset, if a legally enforceable right exists to set off current tax assets against current tax liabilities and the deferred tax assets and deferred tax liabilities relate to the taxes on income levied by same governing taxation laws. Deferred tax assets are recognized only to the extent that there is reasonable certainty that sufficient future taxable income will be available against which such deferred tax assets can be realized. In situations where the company has unabsorbed depreciation or carry forward tax losses, all deferred tax assets are recognized only if there is virtual certainty supported by convincing evidence that they can be realized against future taxable profits.

Minimum Alternate Tax (MAT) Credit is recognized as assets only when and to the extent there is convincing evidence that the company will pay normal income tax during the specified period. In the year in which MAT credit becomes eligible to be recognized as an asset in accordance with the recommendations contained in Guidance Note issued by the Institute of Chartered Accountants of India, the said asset is created by way of credit to the profit and loss account and shown as MAT credit entitlement. The company reviews the same at each balance sheet date and writes down the carrying amount of MAT Credit Entitlement to the extent there is no longer convincing evidence to the effect that Company will pay normal Income Tax during the specified period.

(l) Loans and Receivables

Trade receivables and loans are initially measured at transaction value, which is the fair value and subsequently retained at cost less appropriate allowance for credit losses as most loans and receivable of the Company are current in nature. Where significant, non-current loans and receivables are accounted for at amortized cost using effective rate method less appropriate allowance for credit losses. Interest is accounted for on the basis of contractual terms, where applicable and is included in interest income. Impairment losses are recognized in the profit or loss where there is an objective evidence that the Company will not be able to collect all the due amounts.

(m) Investments

At initial recognition, the Company measures its investments at its fair value plus costs that are directly attributable to the acquisition of the financial asset. Investments are designated as subsequently measured at fair value through profit or loss. The transaction costs are expenses immediately in statement of profit or loss. Movements in fair value of these assets re taken in profit or loss.

(n) Segment reporting Identification of segments:

The Company''s operating businesses are organized and managed according to the nature of products and predominant source of the risk for the Company is business product, therefore business segment has been considered as primary segment. The analysis of geographical segments is based on the areas in which the Company operates.

Segment policies:

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.

(0) Earning per share

Basic earnings per share are calculated by diving the net profit or loss for the period attributable to equity shareholders after deducting preference dividends and attributable taxes by the weighted average number of equity shares outstanding during the period.

For the purpose of calculating diluted earnings per share, the net profit or loss for the period attributable to equity shareholders and the weighted average number of shares outstanding during the period are adjusted for the effects of all dilutive potential equity shares, if any.

(p) Borrowing costs

Borrowing costs 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 as part of the cost of the respective asset. All other borrowing costs are expensed in the period they occur. Borrowing costs consist of interest and other costs that an entity incurs in connection with the borrowing of funds.

(q) Leases:-

Policy applicable before April 1, 2019

Leases are classified as finance leases whenever the terms of lease transfer substantially all the risks and rewards of ownership to the lessee. Leases where a significant portion of the risks and rewards of ownership are retained by the lessor are classified as operating leases.

(1) Operating Lease:

Operating lease payments are recognised as an expense in the Statement of Profit and Loss on a straight-line basis over the lease term except where another systematic basis is more representative of the time pattern in which economic benefits from leased assets are consumed. The aggregate benefit of incentives (excluding inflationary increases where rentals are structured solely to increase in line with the expected general inflation to compensate for the lessor''s inflationary cost increases, such increases are recognised in the year in which the benefits accrue) provided by the lessor is recognized as a reduction of rental expense over the lease term on a straight-line basis.

(ii) Finance Lease:

Assets held under finance leases are initially recognised as assets of the Company at their fair value at the inception of the lease or, if lower, at the present value of the minimum lease payments. The corresponding liability to the lessor is included in the Balance Sheet as a finance lease obligation.

Assets held under finance leases are depreciated over their expected useful lives on the same basis as owned assets or, where shorter, the term of the relevant lease. Lease payments are apportioned between finance expenses and reduction of the lease obligation so as to achieve a constant rate of interest on the remaining balance of the liability. Finance expenses are recognized immediately in profit or loss, unless they are directly attributable to qualifying assets, in which case they are capitalized in accordance with the Company''s general policy on

borrowing costs. Contingent rentals are recognized as expenses in the periods in which they are incurred.

Policy applicable after April 1, 2019

The Company has adopted Ind AS 116 effective from April 1 2019 using modified retrospective approach. For the purpose of preparation of Standalone Financial Information, management has evaluated the impact of change in accounting policies required due to adoption of lnd AS 116 for year ended March 31 2024.

The Company assesses whether a contract contains a lease, at inception of a contract. A contract is, or contains, a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration. To assess whether a contract conveys the right to control the use of an identified assets, the Company assesses whether: (i) the contact involves the use of an identified asset (ii) the Company has substantially all of the economic benefits from use of the asset through the period of the lease and (iii) the Company has the right to direct the use of the asset.

As a lessee, the Company recognises a right-of-use asset and a lease liability at the lease commencement date. The right of-use asset is initially measured at cost, which comprises the initial amount of the lease liability adjusted for any lease payments made at or before the commencement date, plus any initial direct costs incurred and an estimate of costs to dismantle and remove the underlying asset or to restore the underlying asset or the site on which it is located, less any lease incentives received.

The right-of-use asset is subsequently depreciated using the straight-line method from the commencement date to the earlier of the end of the useful life of the right of-use asset or the end of the lease term. The estimated useful lives of right-of-use assets are determined on the same basis as those of property and equipment. In addition, the right-of-use asset is periodically reduced by impairment losses, if any, and adjusted for certain remeasurements of the lease liability.

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

Lease payments included in the measurement of the lease liability comprise the fixed payments, including in substance fixed payments;

The lease liability is measured at amortised cost using the effective interest method.

The Company has used number of practical expedients when applying Ind AS 116: - Short-term leases, leases of low-value assets and single discount rate.

The Company has elected not to recognise right-of-use assets and lease liabilities for short-term leases that have a lease term of 12 months or less and leases of low-value assets. The Company recognises the lease payments associated with these leases as an expense on a straight line basis over the lease term.

The Company''s leases mainly comprise land and building for office/ warehousing use.

(r) Employee benefits

Retirement benefits in the form of Provident Fund contributed to Statutory Provident Fund is a defined contribution scheme and the payments are charged to the Profit and Loss Account of the year when the payments to the respective funds are due. There are no obligations for contribution payable to Provident Fund Authorities.

Superannuation Fund and Employees'' State Insurance Corporation (ESIC) are defined contribution schemes and the contributions are charged to the Profit and Loss Account of the year when the contributions to the respective funds are due. There are no other obligations for the contribution payable to the respective funds.

The company provides for gratuity, a defined benefit retirement plan (the "Gratuity Plan") covering eligible employees. In accordance with the Payment of Gratuity Act, 1972, the Gratuity Plan provides a lump sum payment to vested employees at retirement, death, incapacitation or termination of employment, of an amount based on the respective employee''s salary and the tenure of employment with the company. The liability was provided only for those employees who are covered under Gratuity Act as determined by the management.

(s) Foreign Currency Transactions

Transactions in foreign currencies are accounted at the exchange rates prevailing on the date of transaction or at rates that closely approximate the rate at the date of the transaction.

22) Undisclosed Income:

The management informs that there were no transactions which were not recorded in the books of account which have been surrendered or disclosed as income during the year in the tax assessments under the Income-tax Act, 1961.

23) Details of Crypto currency or virtual currency

As the Company has not entered into any transaction into Crypto currency or Virtual currency during the financial year, hence no information relevant thereto is furnished.

24) Wilful Defaulter List

As per the extant information made available by the management of the Company, the Company is not listed under Wilful Defaulter List by Reserve Bank of India.

25) Relationship with Struck Off Companies

The Company has not entered into any transaction with Companies whose name are struck off as per the records of RoC, hence no information is reported thereof.

26) The Company has not advanced or loaned or invested funds to any other persons or entities, including foreign entities (Intermediaries) with the understanding that the Intermediary shall:

(a) Directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the company (Ultimate Beneficiaries) or

(b) Provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.

27) The Company has not received any fund from any person(s) or entity(ies), including foreign entities (Funding Party) with the understanding (whether recorded in writing or otherwise) that the Company shall:

(a) Directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party (Ultimate Beneficiaries) or

(b) Provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

28) There are no Scheme of Arrangements approved by the Competent Authority in terms of Section 230 to 237 of the Companies Act, 2013 during the year.

29) The Company has not granted any loan or advance in the nature of loan to promoters, directors, KMPs and other related parties that are repayable on demand or without specifying any terms or period of repayment.

30) Proceedings for Benami Property Held

The management of the Company informs that no proceedings have been initiated or are pending against the Company for holding any benami property under the Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and rules made thereunder, hence no information is furnished hereunder.

31) The Company do not have any parent company and accordingly, compliance with the number of layers prescribed under clause (87) of Section 2 of the Act read with Companies (Restriction on number of Layers) Rules, 2017 is not applicable for the year under consideration.

32) The financial statements are prepared in INR which is the functional and presentation currency. All amounts are rounded to the nearest lakhs having total income more than 100 crores, except when otherwise mentioned

FOR, RAVI SHAH & CO. For, Riddhi Corporate Services Limited

CHARTERED ACCOUNTANTS " "

FIRM REG. NO.:121394W

Sd/- Sd/-

Sd/- Mr. Pravinchandra K. Gor Mr. Alpitkumar P. Gor

Chairman & Managing Director Wholetime Director

CA RAVI H. SHAH PARTNER M. NO. 109945

UDIN: 24109945BKBFWV2898 Sd/- Sd/-

Mr. Hardikkumar V Bhavsar Mr. Mustafa M. Sibatra

Date:- 30th May, 2024 Chief Financial Officer Company Secretary

Place:- Ahmedabad

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Mar 31, 2023

(j)Provision, Contingent Liabilities and Contingent Assets

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

A contingent liability exists when there is a possible but not probable obligation, or a present obligation that may,but probably will not, require an outflow of resources, or a present obligation whose amount cannot be estimatedreliably.

All known Liabilities, wherever material, are provided for and Liabilities, which are disputed, are referred to byway of Notes on Accounts.

Contingent assets are not recognized in the financial statements.

(k) Taxes on Income

Tax expense comprises of current and deferred tax. Current income tax is measured at the amount expected to be paid to the tax authorities in accordance with the Indian Income-tax Act, 1961. Deferred income taxes reflect the impact of current year timing differences between taxable income and accounting income for the year and reversal of timing differences of earlier years.

Deferred tax is measured based on the tax rates and the tax laws enacted or substantively enacted at the balance sheet date. Deferred tax assets and deferred tax liabilities are offset, if a legally enforceable right exists to set off current tax assets against current tax liabilities and the deferred tax assets and deferred tax liabilities relate to the taxes on income levied by same governing taxation laws. Deferred tax assets are recognized only to the extent that there is reasonable certainty that sufficient future taxable income will be available against which such deferred tax assets can be realized. In situations where the company has unabsorbed depreciation or carry forward tax losses, all deferred tax assets are recognized only if there is virtual certainty supported by convincing evidence that they can be realized against future taxable profits.

Minimum Alternate Tax (MAT) Credit is recognized as assets only when and to the extent there is convincing evidence that the company will pay normal income tax during the specified period. In the year in which MAT credit becomes eligible to be recognized as an asset in accordance with the recommendations contained in Guidance Note issued by the Institute of Chartered Accountants of India, the said asset is created by way of credit to the profit and loss account and shown as MAT credit entitlement. The company reviews the same at each balance sheet date and writes down the carrying amount of MAT Credit Entitlement to the extent there is no longer convincing evidence to the effect that Company will pay normal Income Tax during the specified period.

(l) Loans and Receivables

Trade receivables and loans are initially measured at transaction value, which is the fair value and subsequently retained at cost less appropriate allowance for credit losses as most loans and receivable of the Company are current in nature. Where significant, non-current loans and receivables are accounted for at amortized cost using effective rate method less appropriate allowance for credit losses. Interest is accounted for on the basis of contractual terms, where applicable and is included in interest income. Impairment losses are recognized in the profit or loss where there is an objective evidence that the Company will not be able to collect all the due amounts.

(m) Investments

At initial recognition, the Company measures its investments at its fair value plus costs that are directly attributable to the acquisition of the financial asset. Investments are designated as subsequently measured at fair value through profit or loss. The transaction costs are expenses immediately in statement of profit or loss. Movements in fair value of these assets re taken in profit or loss.

(n) Segment reporting Identification of segments:

The Company''s operating businesses are organized and managed according to the nature of products and predominant source of the risk for the Company is business product, therefore

business segment has been considered as primary segment. The analysis of geographical segments is based on the areas in which the Company operates.

Segment policies:

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.

(0) Earning per share

Basic earnings per share are calculated by diving the net profit or loss for the period attributable to equity shareholders after deducting preference dividends and attributable taxes by the weighted average number of equity shares outstanding during the period.

For the purpose of calculating diluted earnings per share, the net profit or loss for the period attributable to equity shareholders and the weighted average number of shares outstanding during the period are adjusted for the effects of all dilutive potential equity shares, if any.

(p) Borrowing costs

Borrowing costs 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 as part of the cost of the respective asset. All other borrowing costs are expensed in the period they occur. Borrowing costs consist of interest and other costs that an entity incurs in connection with the borrowing of funds.

(q) Leases:-

Policy applicable before April 1, 2019

Leases are classified as finance leases whenever the termsof lease transfer substantially all the risks and rewardsof ownership to the lessee. Leases where a significantportion of the risks and rewards of ownership are retainedby the lessor are classified as operating leases.

(1) Operating Lease:

Operating lease payments are recognised as anexpense in the Statement of Profit and Loss on astraight-line basis over the lease term except whereanother systematic basis is more representative ofthe time pattern in which economic benefits fromleased assets are consumed. The aggregate benefitof incentives (excluding inflationary increaseswhere rentals are structured solely to increase in linewith the expected general inflation to compensatefor the lessor''s inflationary cost increases, suchincreases are recognised in the year in which thebenefits accrue) provided by the lessor is recognized as a reduction of rental expense over the lease termon a straight-line basis.

(ii) Finance Lease:

Assets held under finance leases are initiallyrecognised as assets of the Company at their fairvalue at the inception of the lease or, if lower, at thepresent value of the minimum lease payments. Thecorresponding liability to the lessor is included inthe Balance Sheet as a finance lease obligation.

Assets held under finance leases are depreciatedover their expected useful lives on the same basisas owned assets or, where shorter, the term of therelevant lease. Lease payments are apportionedbetween finance expenses and reduction of thelease obligation so as to achieve a constant rate ofinterest on the remaining balance of the liability.Finance expenses are recognized immediately inprofit or loss, unless they are directly attributable toqualifying assets, in which case they are capitalizedin accordance with the Company''s general policy onborrowing costs. Contingent rentals are recognized as expenses in the periods in which they areincurred.

Policy applicable after April 1, 2019

The Company has adopted Ind AS 116 effective fromApril 1 2019 using modified retrospective approach.For the purpose of preparation of Standalone FinancialInformation, management has evaluated the impact ofchange in accounting policies required due to adoptionof lnd AS 116 for year ended March 31 2023.

The Company assesses whether a contract containsa lease, at inception of a contract. A contract is, orcontains, a lease if the contract conveys the right tocontrol the use of an identified asset for a period oftime in exchange for consideration. To assess whethera contract conveys the right to control the use of anidentified assets, the Company assesses whether: (i) thecontact involves the use of an identified asset (ii) theCompany has substantially all of the economic benefitsfrom use of the asset through the period of the leaseand (iii) the Company has the right to direct the use ofthe asset.

As a lessee, the Company recognises a right-of-useasset and a lease liability at the lease commencementdate. The right of-use asset is initially measured at cost,which comprises the initial amount of the lease liabilityadjusted for any lease payments made at or before thecommencement date, plus any initial direct costs incurredand an estimate of costs to dismantle and remove theunderlying asset or to restore the underlying asset orthe site on which it is located, less any lease incentivesreceived.

The right-of-use asset is subsequently depreciated usingthe straight-line method from the commencement dateto the earlier of the end of the useful life of the rightof-use asset or the end of the lease term. The estimateduseful lives of right-of-use assets are determined onthe same basis as those of property and equipment. Inaddition, the right-of-use asset is periodically reducedby impairment losses, if any, and adjusted for certainremeasurements of the lease liability.

The lease liability is initially measured at the presentvalue of the lease payments that are not paid at thecommencement date, discounted using the interestrate implicit in the lease or, if that rate cannot be readilydetermined, the Company''s incremental borrowing rate.Generally, the Company uses its incremental borrowingrate as the discount rate.

Lease payments included in the measurement of thelease liability comprise the fixed payments, including insubstancefixed payments;

The lease liability is measured at amortised cost using theeffective interest method.

The Company has used number of practical expedientswhen applying Ind AS 116: - Short-term leases, leases oflow-value assets and single discount rate.

The Company has elected not to recognise right-of-useassets and lease liabilities for short-term leases that havea lease term of 12 months or less and leases of low-valueassets. The Company recognises the lease paymentsassociated with these leases as an expense on a straightlinebasis over the lease term.

The Company''s leases mainly comprise land and building for office/ warehousing use.

(r) Employee benefits

Retirement benefits in the form of Provident Fund contributed to Statutory Provident Fund is a defined contribution scheme and the payments are charged to the Profit and Loss Account of the year when the payments to the respective funds are due. There are no obligations for contribution payable to Provident Fund Authorities.

Superannuation Fund and Employees'' State Insurance Corporation (ESIC) are defined contribution schemes and the contributions are charged to the Profit and Loss Account of the year when the contributions to the respective funds are due. There are no other obligations for the contribution payable to the respective funds.

The company provides for gratuity, a defined benefit retirement plan (the "Gratuity Plan") covering eligible employees. In accordance with the Payment of Gratuity Act, 1972, the Gratuity Plan provides a lump sum payment to vested employees at retirement, death, incapacitation or termination of employment, of an amount based on the respective employee''s salary and the tenure of employment with the company.The liability was provided only for those employees who are covered under Gratuity Act as determined by the management.

(s) Foreign Currency Transactions

Transactions in foreign currencies are accounted at the exchange rates prevailing on the date of transaction or at rates that closely approximate the rate at the date of the transaction.

22) Undisclosed Income:

The management informs that there were no transactions which were not recorded in the books of account which have been surrendered or disclosed as income during the year in the tax assessments under the Income-tax Act, 1961.

23) Details of Crypto currency or virtual currency

As the Company has not entered into any transaction into Crypto currency or Virtual currency during the financial year, hence no information relevant thereto is furnished.

24) Wilful Defaulter List

As per the extant information made available by the management of the Company, the Company is not listed under Wilful Defaulter List by Reserve Bank of India.

25) Relationship with Struck Off Companies

The Company has not entered into any transaction with Companies whose name are struck off as per the records of RoC, hence no information is reported thereof.

26) The Company has not advanced or loaned or invested funds to any other persons or entities, including foreign entities (Intermediaries) with the understanding that the Intermediary shall:

(a) Directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the company (Ultimate Beneficiaries) or

(b) Provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.

27) The Company has not received any fund from any person(s) or entity(ies), including foreign entities (Funding Party) with the understanding (whether recorded in writing or otherwise) that the Company shall:

(a) Directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party (Ultimate Beneficiaries) or

(b) Provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

28) There are no Scheme of Arrangements approved by the Competent Authority in terms of Section 230 to 237 of the Companies Act, 2013 during the year.

29) The Company has not granted any loan or advance in the nature of loan to promoters, directors, KMPs and other related parties that are repayable on demand or without specifying any terms or period of repayment.

30) Proceedings for Benami Property Held

The management of the Company informs that no proceedings have been initiated or are pending against the Company for holding any benami property under the Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and rules made thereunder, hence no information is furnished hereunder.

31) The Company do not have any parent company and accordingly, compliance with the number of layers prescribed under clause (87) of Section 2 of the Act read with Companies (Restriction on number of Layers) Rules, 2017 is not applicable for the year under consideration.

32) The financial statements are prepared in INR which is the functional and presentation currency. All amounts are rounded to the nearest lakhs having total income more than 100 crores, except when otherwise mentioned

As per our report of even date
FOR, RAVI SHAH & CO.	For, Riddhi Corporate Services Limited
CHARTERED ACCOUNTANTS FIRM REG. NO.:121394W	Sd/-	Sd/-
Sd/-	Mr. Pravinchandra K. Gor	Mr. Alpitkumar P. Gor
	Chairman & Managing Director	Wholetime Director
CA RAVI H. SHAH PARTNER M. NO. 109945 UDIN:23109945BGRVNF9074	Sd/-	Sd/-
	Mr. Hardikkumar V Bhavsar	Mr. Mustafa M. Sibatra
Date:- 30th May, 2023 Place:- Ahmedabad	Chief Financial Officer	Company Secretary

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Mar 31, 2018

(A) Notes to Accounts:

1) Contingent Liability: Performance Bank Gaurantee to Clients: Rs.12,00,000/-;

Bid Security/Earnest Money Deposit in form of Bank Gaurantee to Clients: Rs.24,88,076/-

2) The balances of sundry debtors, sundry creditors, loans and advances are subject to confirmation.

3) As explained to us, the provisions of Provident Fund Act, ESI Act, and Gratuity Act are applicable to the Company and have been dealt accordingly.

4) According to the information available with the Company, there are no amounts as at 31st March, 2018, due to suppliers who constitute a “Micro, Small and Medium Enterprises” as per MSMED Act, 2006.

5) The Board of Directors is of the opinion that all the liabilities have been adequately provided for.

6) Earnings per Share (EPS)

7) Where the external evidence in the form of cash memos, bill, stamped receipt etc. were not available, the internal vouchers prepared and authorized by the company have been relied on.

8) During the period under audit, Insurance policy premium amount is charged to P&L account as consistent policy to charge in the year in which it is paid.

9) As explained by the management, there is no warranty liability, hence the provision for the same is not provided for.

10) Deferred Tax Liability:

As per Accounting Standard 22 on “Accounting for taxes on Income “ issued by the Institute of Chartered Accountant of India, Deferred Tax assets/liabilities are as follows:

P.N.: Deferred tax is measured based on the tax rates and the tax laws enacted by the Finance Act, 2018 @26%.

11) Related Party Disclosures:

Relationships:

Key Management Personnel:

Alpit P Gor Jayshree P Gor Pravinchandra K Gor

Manish Joshi (CFO) (w.e.f 15th March 2017)

Sobha Bharti (CS) (15th March 2017 to 1st September 2017)

Parth Panya (CS) (w.e.f 01st September 2017)

Relatives of Key Management Personel:

Vaishali Gor (Wife of Alpit Gor)

Companies under the same management or relative of KMP having significant influence:

Riddhi World Wide Express VJO E-Solutions OPC Pvt Ltd Riddhi Infocom Solutions LLP

Related Party with whom Control Exists

1. Subsidiary Companies

RCSPL Share Broking Pvt Ltd RCSPL Multicommodities Pvt Ltd Vibhin Online Services Pvt Ltd.

2. Step Down Subsidiary Company

RCSPL Share Broking IFSC Pvt Ltd

12) Share Issue Expenses:

During the year ended 31st March, 2018, the Company has completed the initial public offer (IPO), pursuant to which 950,000 equity shares of Rs. 10/- each were allotted, at an issue price of Rs. 130/-, consisting of fresh issue of 950,000 equity shares.

The equity shares of the company were listed on Bombay Stock Exchange (BSE) at SME via ID RIDDHICORP and Script Code 540590 on 22nd June, 2017.

The gross proceeds from the IPO aggregated to Rs. 12,35,00,000 and the corresponding issue related expenses (inclusive of service tax) stood at Rs 55,41,000.