Silicon Rental Solutions Ltd. कंपली की लेखा नीति

Mar 31, 2025

Corporate Information

Silicon Rental Solutions Limited (the Company) is a Public Limited Company domiciled in India and incorporated under the Provisions of the Companies Act, 2013, having its registered office in Mumbai, Maharashtra, India. The company is engaged in the business of trading and letting out on hire of Computers, Computer Software and Computer Accessories and other Equipment''s. The equity shares of the company are listed on BSE Limited (BSE).

1. SIGNIFICANT ACCOUNTING POLICIES:

a) Basis of Preparation:

The financial statements of the company have been prepared in accordance with generally accepted accounting principles in India (Indian GAAP). The company has prepared these financial statements to comply in all material respect with the accounting standards notified under the Companies (Accounting Standards) Rules, 2006 and the relevant provisions of the Companies Act, 2013. The financial statements have been prepared on an accrual basis and under the historical cost convention.

The accounting policies adopted in the preparations of the financial statements are consistent with those of previous year, except for change in accounting policy explained below.

b) Presentation and disclosures of financial statements

The company has regrouped/rearranged previous year''s figures wherever it was found necessary.

c) Use of Estimates:

The preparation of financial statements in conformity with Indian GAAP requires the management to make judgements, estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities and the disclosure of contingent liabilities, at the end of the reporting period. The management believes that the estimates used in preparation of the financial statements are prudent and reasonable. Future results could defer from these estimates.

d) Fixed Assets

Tangible fixed assets inclusive of intangibles such as inbuilt software in computers are stated at cost of acquisition less accumulated depreciation. The cost comprises purchase price, borrowing cost if capitalization criteria are met and directly attributable cost of bringing the asset to its working condition for the intended use. Company acquired Computers, Printer and Peripherals with inbuilt software''s. Since such software''s are integral part of computers they are not accounted for separately. The company has not acquired intangible assets.

Gains or Losses arising from derecognition of a Tangible assets are measured as the difference between the net disposal proceeds and the carrying amount of the asset and are recognized in the Statement of Profit and Loss when the asset is derecognized.

e) Depreciation and Amortisation

Depreciation on Property, Plant & Equipment is provided to the extent of depreciable amount on the Straight Line Method (SLM), based on useful life of the assets as prescribed in Schedule II to the Companies Act, 2013.

For addition to assets, depreciation is calculated from the succeeding month in which the assets is purchased and put to use. However, purchases in the month of March prior to 27^th March were put to use by 27^th March and depreciation have been accordingly provided. For sale of assets, depreciation is calculated till the end of the month before the day of sale and the Profit or Loss on sale is determined accordingly.

f) Impairment of Assets

At each Balance Sheet date the Company assessess whether there is any indication that the Fixed Assets have suffered an impairment loss. If any such indications exists, the recoverable amount of the asset is estimated in order to determine the extent of impairment, if any. Where it is not possible to estimate the recoverable amount of individual asset, the company estimate the recoverable amount of the cash generating unit to which the asset belong.

As per the assessment conducted by the company at March 31^st 2025, there were no indications that the fixed assets have suffered an impairment loss.

g) Investments

Investments, which are readily realizable and intended to be held for not more than one year from the date on which such investments are made, are classified as Current Investments. All other investments are classified as Long Term investment.

On initial recognition, all investments are measured at cost. The cost comprises purchase price and directly attributable acquisition charges such as Brokerage, Fees and Duties.

Current investments are carried in the financial statements at lower of cost and fair value determined on an individual investment basis. Long term investments are carried at cost. However, provision for diminution in value is made to recognize a decline other than temporary in the value of investments.

On disposal of an investment, the difference between its carrying amount and net disposal proceeds is charged or credited to the Statement of Profit and Loss.

h) Issue of preferential shares

During the financial year 2024-25, the Company has issued 11,47,200 equity shares of ''10 each at a premium of '' 212 per share on a preferential basis in accordance with the provisions of Section 42 and Section 62(1)(c) of the Companies Act, 2013, and applicable rules made thereunder.

Purpose of Issue:

The proceeds were raised for the purpose of Long Term Working Capital requirements and General

Corporate Purposes, as approved by the Board of Directors/shareholders.

Details of Funds Utilization:

Total proceeds from the issue: '' 25.47 Crores. Amount utilized for the specified purposes: '' 12.66 Crores. Balance unutilized amount of '' 12.81 Crores has been temporarily parked in a designated bank account, pending deployment for the intended purposes.

The Company confirms that the issue and utilization of proceeds are in compliance with applicable laws and regulations.

i) Money Received Against Share Warrants

During the financial year [Insert FY], the Company has allotted 5,50,400 share warrants on a preferential basis to the proposed allottee(s) at a price of '' 222 per warrant, which includes the face value of '' 10 per equity share, in accordance with the provisions of

Section 62(1)(c) read with Section 42 and other applicable provisions of the Companies Act, 2013 and the applicable rules thereunder.

Key Terms and Conditions:

• Each warrant entitles the holder to apply for and be allotted 1 (one) equity share of ''10 face value at a price of '' 222 per equity share.

• The warrants may be exercised at any time within 18 (eighteen) months from the date of their allotment ("Warrant Exercise Period").

• In line with applicable provisions, the Company has received 25% of the warrant issue price, amounting to '' 3,05,47,200/-, as upfront money during the year.

• The balance 75% of the warrant price shall be payable by the warrant holders at the time of exercising their option to subscribe to the equity shares.

The amount of '' 3,05,47,200/- received has been accounted for under "Money received against share warrants" in the financial statements and will be adjusted/set-off against the issue price of equity shares upon exercise of the warrant rights.

The Company confirms compliance with applicable statutory and regulatory requirements relating to the issue of share warrants.

j) Securities Premium

Securities Premium include, the difference between the face value of the Equity Shares and the consideration received in respect of shares issued. The Share Issue Expenses of securities and Bonus Shares issued which qualify as equity instruments are written off against securities premium.

k) Dividend

The Company has declared dividend of Rs.1/- per share i.e.10% of face value of Rs.10/- equity share for the F.Y.2023-24 and same has been paid during the year after deducting applicable TDS and unpaid dividend recorded in current liabilities on balance sheet side.

l) Inventories

Inventories comprising of Stock in trade are valued at Lower of cost and net realizable value. Cost includes the purchase price and other associated cost directly incurred in brings the inventory to its present location excluding GST. Cost is computed on FIFO basis. Net realizable value is the estimated selling price in the ordinary course of business less estimated costs of completions and estimated cost necessary to make the sale.

m) Revenue Recognition

Revenue is recognized to the extent that it is probable that the economic benefits will flow to the company and the revenue can be reliably measured. The following specific recognitions criteria must also be met before revenue is recognized:

Sale of Goods

Revenue from Sale of Goods is recognized when all the significant risks and rewards of ownership of the goods have been passed to the buyer, usually on delivery of Goods. The company collects Goods & Service Taxed (GST) on behalf of the Government and, therefore, these are not economic benefits flowing to the company. Hence they are excluded from the revenue.

Income from Services

Income from services such as Sales Hire Charges is recognized as they are rendered, based on agreement / arrangement with the concerned parties.

Interest

Interest income is recognized on a time proportionate basis taking in to account the amount outstanding and the applicable interest rate.

n) Foreign Currency Transactions

Foreign currency transactions are recorded in reporting currency by applying the rate prevailing on the date of transaction. Monetary assets and liabilities denominated in foreign currency at the reporting date are translated at the year-end rates. Non-monetary items are reported at the exchange rate on the date of transaction. Realized gains/(losses) on foreign currency transactions are recognized in the Profit & Loss Account.

o) Retirement and other Employee Benefits

Short term employee benefits are recognized as an expense on accrual basis. The company has no obligation in terms of retirement benefits towards its employees except Gratuity. There are no defined benefits for leave encashment etc. Provision for Gratuity is done.

There are no obligations in respect of defined benefits plans such as Provident Fund, ESIC etc., however, due registration and statutory charges in these regards have been duly paid.

p) Borrowing Costs

There are no borrowing costs towards acquisition of capital assets of the company. All other borrowing costs are recognized as an expense in the period in which they are incurred.

q) Income Taxes

Income tax expenses comprise current tax and deferred tax charged or credited. Provisions for income tax are made on the basis of section 115 BAA of the Income Tax Act. Current tax is measured on the basis of estimated taxable income for the current accounting period in accordance with the provisions of the Income Tax Act, 1961.

Deferred Tax is recognized, on timing differences, being the difference between taxable income and accounting income that originate in one period and are capable of reversal in one or more subsequent periods.

Deferred tax assets and liabilities are measured based on the tax rates that are expected to apply in the period when assets is realized or liability is settled, based on taxed rates and tax laws that have been enacted or substantially enacted by the Balance Sheet date.

Deferred Tax assets in respect of unabsorbed depreciation and carry forward of losses are recognized only if there is virtual certainty that there will be sufficient future taxable income available to realize such losses.

r) Provisions, Contingent Liabilities and Contingent Assets

Provisions are recognized when there is a present obligation as a result of past events and it is probable that an outflow of resources will be required to settle the obligation, in respect of which a reliable estimate can be made. These are reviewed at each Balance Sheet date and adjusted to reflect the current best estimate.

A present obligation that arises from past events whether it is either not probable that an outflow of resources will be required to settle or a reliable estimate of the amount cannot be made, is disclosed as a contingent liability. Contingent Liabilities are also disclosed when there is a possible obligation arising from past events, the existence of which will be confirmed only by the occurrence or non occurrence of one or more uncertain future events not wholly within the control of the Company.

Claims against the Company where the possibility of any outflow of resources in settlement is remote, are not disclosed as contingent liabilities. Contingent liabilities are not recognized but are disclosed and contingent assets are neither recognized nor disclosed, in the financial statements.

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Mar 31, 2024

1. SIGNIFICANT ACCOUNTING POLICIES:

a) Basis of Preparation:

The financial statements of the company have been prepared in accordance with generally accepted accounting principles in India (Indian GAAP). The company has prepared these financial statements to comply in all material respect with the accounting standards notified under the Companies (Accounting Standards) Rules, 2006 and the relevant provisions of the Companies Act, 2013. The financial statements have been prepared on an accrual basis and under the historical cost convention.

The accounting policies adopted in the preparations of the financial statements are consistent with those of previous year, except for change in accounting policy explained below.

b) Presentation and disclosures of financial statements

The company has regrouped/rearranged previous year''s figures wherever it was found necessary.

c) Use of Estimates:

The preparation of financial statements in conformity with Indian GAAP requires the management to make judgements, estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities and the disclosure of contingent liabilities, at the end of the reporting period. The management believes that the estimates used in preparation of the financial statements are prudent and reasonable. Future results could defer from these estimates.

d) Fixed Assets

Tangible fixed assets inclusive of intangibles such as inbuilt software in computers are stated at cost of acquisition less accumulated depreciation. The cost comprises purchase price, borrowing cost if capitalization criteria are met and directly attributable cost of bringing the asset to its working condition for the intended use. Company acquired Computers, Printer and Peripherals with inbuilt software''s. Since such software''s are integral part of computers they are not accounted for separately. The company has not acquired intangible assets.

Gains or Losses arising from derecognition of a Tangible assets are measured as the difference between the net disposal proceeds and the carrying amount of the asset and are recognized in the Statement of Profit and Loss when the asset is derecognized.

e) Depreciation and Amortisation

Depreciation on Property, Plant & Equipment is provided to the extent of depreciable amount on the Straight Line Method (SLM), based on useful life of the assets as prescribed in Schedule II to the Companies Act, 2013.

For addition to assets, depreciation is calculated from the succeeding month in which the assets is purchased and put to use. However, purchases in the month of March prior to 27^th March were put to use by 27^th March and depreciation have been accordingly provided. For sale of assets, depreciation is calculated till the end of the month before the day of sale and the Profit or Loss on sale is determined accordingly.

f) Impairment of Assets

At each Balance Sheet date the Company assessess whether there is any indication that the Fixed Assets have suffered an impairment loss. If any such indications exists, the recoverable amount of the asset is estimated in order to determine the extent of impairment, if any. Where it is not possible to estimate the recoverable amount of individual asset, the company estimate the recoverable amount of the cash generating unit to which the asset belong.

As per the assessment conducted by the company at March 31^st 2024, there were no indications that the fixed assets have suffered an impairment loss.

g) Investments

Investments, which are readily realizable and intended to be held for not more than one year from the date on which such investments are made, are classified as Current Investments. All other investments are classified as Long Term investment.

On initial recognition, all investments are measured at cost. The cost comprises purchase price and directly attributable acquisition charges such as Brokerage, Fees and Duties.

Current investments are carried in the financial statements at lower of cost and fair value determined on an individual investment basis. Long term investments are carried at cost. However, provision for diminution in value is made to recognize a decline other than temporary in the value of investments.

On disposal of an investment, the difference between its carrying amount and net disposal proceeds is charged or credited to the Statement of Profit and Loss.

h) Securities Premium

Securities Premium include, the difference between the face value of the Equity Shares and the consideration received in respect of shares issued. The Share Issue Expenses of securities and Bonus Shares issued which qualify as equity instruments are written off against securities premium.

i) Dividend

The Company has declared dividend of Rs.1/- per share i.e.10% of face value of Rs.10/-equity share for the F.Y.2022-23 and same has been paid during the year after deducting applicable TDS and there is no payable outstanding.

i) Inventories

Inventories comprising of Stock in trade are valued at Lower of cost and net realizable value. Cost includes the purchase price and other associated cost directly incurred in brings the inventory to its present location excluding GST. Cost is computed on FIFO basis. Net realizable value is the estimated selling price in the ordinary course of business less estimated costs of completions and estimated cost necessary to make the sale.

j) Revenue Recognition

Revenue is recognized to the extent that it is probable that the economic benefits will flow to the company and the revenue can be reliably measured. The following specific recognitions criteria must also be met before revenue is recognized:

Sale of Goods

Revenue from Sale of Goods is recognized when all the significant risks and rewards of ownership of the goods have been passed to the buyer, usually on delivery of Goods. The company collects Goods & Service Taxed (GST) on behalf of the Government and, therefore, these are not economic benefits flowing to the company. Hence they are excluded from the revenue.

Income from Services

Income from services such as Sales Hire Charges is recognized as they are rendered, based on agreement / arrangement with the concerned parties.

Interest

Interest income is recognized on a time proportionate basis taking in to account the amount outstanding and the applicable interest rate.

k) Foreign Currency Transactions

Foreign currency transactions are recorded in reporting currency by applying the rate prevailing on the date of transaction. Monetary assets and liabilities denominated in foreign currency at the reporting date are translated at the year-end rates. Nonmonetary items are reported at the exchange rate on the date of transaction. Realized gains/(losses) on foreign currency transactions are recognized in the Profit & Loss Account.

l) Retirement and other Employee Benefits

Short term employee benefits are recognized as an expense on accrual basis. The company has no obligation in terms of retirement benefits towards its employees except Gratuity. There are no defined benefits for leave encashment etc. Provision for Gratuity is done.

There are no obligations in respect of defined benefits plans such as Provident Fund, ESIC etc., however, due registration and statutory charges in these regards have been duly paid.

m) Borrowing Costs

There are no borrowing costs towards acquisition of capital assets of the company. All other borrowing costs are recognized as an expense in the period in which they are incurred.

n) Income Taxes

Income tax expenses comprise current tax and deferred tax charged or credited. Provisions for income tax are made on the basis of section 115 BAA of the Income Tax Act. Current tax is measured on the basis of estimated taxable income for the current accounting period in accordance with the provisions of the Income Tax Act, 1961.

Deferred Tax is recognized, on timing differences, being the difference between taxable income and accounting income that originate in one period and are capable of reversal in one or more subsequent periods.

Deferred tax assets and liabilities are measured based on the tax rates that are expected to apply in the period when assets is realized or liability is settled, based on taxed rates and tax laws that have been enacted or substantially enacted by the Balance Sheet date.

Deferred Tax assets in respect of unabsorbed depreciation and carry forward of losses are recognized only if there is virtual certainty that there will be sufficient future taxable income available to realize such losses.