Notes (1) During the year company has issued 73,26,000 Equity Shares of the face value of Rs. 10 only per Equity Share, at a price of Rs. 68.25 per Equity Share (including premium of Rs. 58.25 per Equity Share), aggregating up to Rs. 50 crores by way of private placement on preferential basis to M/s Thinkfar Tradelink Private Limited, Promoter Group Entity. Out of the above proceeds fund amounting to Rs. 0.52 crores are pending to be utilised as on 31^st March 2023 and the same is held in company current account.

A. Terms, Rights and restrictions attached to equirty shares

The Company has one class of equity shares having par value of INR 10 per share. Each member is eligible for one vote per share held. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company after distribution of all preferential amount, in proportion to their shareholding.

During the year under review, the company has allotted 73,26,000 Equity Shares of Facevalue of Rs.10/- each under preferential allotement to Promoter Group entity and therefore the overall paid-up Equity Shares has been increased from 25,10,00,000 to 25,83,26,000 & accordingly the promoter shareholdering got diluted. There is no change in absolute Number of shares held by them.

Description of Reserve Security Premium

Security Premium is used to record the premium on the issue of shares / securities. This amount is utlised in accordance with the provisions of the Companies Act, 2013.

Capital Redemption Reserve

In accordance with applicable provisions of the Companies Act, 2013 read with the rules, Company has created Capital Redemption Reserve for capital redeemed by the company and the same will be utilised in accordance with the provisions of the Companies Act, 2013

Note - 34 - Financial instruments - Fair values and risk management:

A. Accounting classification and fair values

The management assessed that fair value of Cash and cash Equivalents, Bank Balances, Short Term Borrowings, Trade Payables, Floating rate Borrowings and Fixed rate Borrowings approximate their carrying amounts, except Trade Receivables, which are initially measured at transaction price.

B. Financial risk management

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

• Credit risk;

• Liquidity risk; and

• Market risk

i. 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 manages cash resources, borrowing strategies, and ensures compliance with market risk limits and policies.

Risk management policies and systems are reviewed regularly to reflect changes in market conditions and the Company's activities.

The audit committee oversees compliance with the company's risk management policies and reviews the adequacy of the risk management framework in relation to the risks faced by the Company.

ii. Credit risk

Credit Risk is the risk of financial loss to the Company if the customer or counterparty to the financial instruments fails to meet its contractual obligations and arises principally from the Company's receivables, treasury operations and other operations that are in the nature of lease.

Cash and other bank balances

The company maintains its Cash and cash equivalents and Bank deposits with banks with good past track record and high quality credit rating and also reviews their credit-worthiness on an on-going basis.

Trade receivables

The Company's exposure to credit risk in influenced mainly by individual characteristic of each customer. The Company extends credit to its customers in the normal course of business by considering the factors such as financial reliability of the customers. The Company evaluates the concentration of risk with respect to trade receivables as low, as its customers are located in several jurisdictions and operate in largely independent markets. The Company maintains adequate security deposits from the customers in case of wholesale and retail segment, credit risks are mitigated by way of enforceable securities. However, unsecured credits are extended based on creditworthiness of the customers on case to case basis.

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 is to ensure, as far 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 maintains sufficient lines of credit to commensurate its business.

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 estimated interest payments and exclude the impact of netting agreements.

The gross inflows/(outflows) disclosed in the above table represent the contractual undiscounted cash flows relating to financial liabilities held for risk management purposes and which are not usually closed out before contractual maturity.

iv. 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 holdings of financial instruments. Exposure to market risk is a function of investing and borrowing activities and revenue generating and operating activities in foreign currency.

v. Currency risk

The functional currency of the Company is Indian Rupee. The Company is exposed to currency risk on account of its trade receivables, trade payables, borrowings and payables for capital goods in foreign currency. The Company has not used derivative financial instruments either for hedging purpose or for trading or speculative purposes except for forward contracts executed for LC opened in foreign currency.

Forward Exchange Contracts

There is no outstanding Derivatives for hedging currency.

The claims against the company not acknowledged as debt amount to INR 111.99 Crore (31 March 2022 : INR 111.99 Crore) excluding interest and penalty thereon as may be decided at the time of disposal of the claim. Against above, the Company has deposited a sum of INR 45.87 Crore (31 March 2022 : INR 45.87 Crore) with respective authorities as deposit.

Capital Commitments

Estimated amount of contracts remaining to be executed on capital account and not provided for is INR NIL (31 March 2022 is INR NIL).

Bank Guarantee outstanding Rs 13.97 Crore (31 March 2022 Rs 2.35 Crore) and Margin against Bank Guarantee Rs 11.24 Crore (31 March 2022 Rs 0.47 Crore)

Note - 37 - Segment reporting :

(a) Description of segments and principal activities

The Company is in the business of manufacturing and sale of cement and clinker which is considered to constitute one single primary segment.

Domestic revenue includes INR 0.15 Crore self consumption (31 March 2022 : INR 0.24 Crore)

(c) Information about major customers

None of the entity's external customers account for 10 per cent or more of an entity's revenue. (PY - Nil)

The company has taken certain assets on operating lease which are cancellable. During the year company has paid INR 1.03 Cr ( FY 21-22 INR 1.52 Cr ) towards cancellable operating lease. There are no operating leases which are non cancellable.

Balance of trade receivables, trade payables, advances and deposits are subject to confirmation and reconciliation, if any.

Note - 42:

Disclosures as required under Ind-As 115 - Revenue from Contracts with Customers

(i) Bifurcation of toal revenue from contracts with customer as per Ind As 115 is given below: Revenue from contracts with customers INR 928.37 crore

- Recognised from contract liability of the previous year INR 39.25 crore

- contract liability outstanding as at year end INR 27.79 crore

- Recognised from the performance obligation satisifed in current year INR 4.78 crore

- Recognised from the contracts entered in current year INR 912.13 crore

(ii) Performance Obligation pending at year end for which revenue is to be recognised in next financial year is INR 5.19 crore

(iii) The company clasify the right to receive consideration as trade receivables.

(iv) Sale of goods to customers are made at fixed rate.

Note - 43 - Research and Development Cost:

Research and Development Cost

During the year company has incurred INR 1.03 crore towards Research and Development.

Capital Expenditure INR NIL ( Previous Year INR NIL)

Recurring Expenditure INR 1.03 crore ( Previous Year INR 1.18 crore)

There is no principal and interest overdue to Micro and Small enterprises. During the year no interest has been paid to such parties. This information has been determined to the extent such parties have been identified on the basis of information available with the Company.

Note- 47 :

The Indian Parliament has approved the Code on Social Security 2020 (“the Code") which, inter-alia, deals with employee benefits during employment and post-employment. Effective date of the code and rules thereunder are yet to be notified. In view of this, the impact of change, if any, will be assessed and recognised post notification of the relevant provisions.

1) Title deeds of all immovable properties are held in name of the Company as at 31st March 2023.

2) The company does not hold any Investment Property in its books of accounts, so fair valuation of investment property is not applicable.

3) The Company has not revalued any of its Property, Plant & Equipment and including Right of use assets in the current year & previous year.

4) The company has not granted any loans or advances to promoters, directors, KMP's and the related parties that are repayable on demand or without specifying any terms or period of repayment.

5) No proceedings have been initiated or pending against the company under the Benami Transactions (Prohibition) Act, 1988.

7) There are no charges or satisfaction which are to be registered with ROC beyond statutory period.

8) The company has not been declared as a wilful defaulter by any bank or financial institution or any other lender.

10) The provisions of clause (87) of section 2 of the Act read with the Companies (Restriction on number of Layers) Rules, 2017 are not applicable to the company as per Section 2(45) of the Companies Act,2013.

11) The Company have not advanced or loaned or invested funds to any other person(s) or entity(ies), 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.

12) The Company have 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.

13) The company does not have any transaction which is not recorded in the books of accounts that has

been surrendered or disclosed as income during the year in the tax assessment under the Income Tax Act, 1961.

14) The company has not traded or invested in Cyrpto Currency or Virtual Currency during the financial year.

15) There were no scheme of Arrangements approved by the competent authority during the year in terms of section 230 to 237 of the Companies Act, 2013.

Note 52 - Disclosure as per Ind AS 8 - ‘Accounting Policies, Changes in Accounting Estimates and Errors’

Recent Accounting Pronouncement:

Standards / amendments issued but not yet effective:

The Ministry of Corporate Affairs, vide notification dated 31 March 2023, has notified Companies (Indian Accounting

Standards) Amendment Rules, 2023 which amends certain Indian Accounting Standards which are effective 1

April 2023. Below is a summary of such amendments:

1. Ind AS 1 - Presentation of Financial Statements - This amendment requires the entities to disclose their material accounting policies rather than their significant accounting policies.

2. Ind AS 8 - Accounting Policies, Changes in Accounting Estimates and Errors - This amendment has introduced a definition of 'accounting estimates' and included amendments to Ind AS 8 to help entities distinguish changes in accounting policies from changes in accounting estimates.

3. Ind AS 12 - Income Taxes - This amendment has narrowed the scope of the initial recognition exemption so that it does not apply to transactions that give rise to equal and offsetting temporary differences.

The Company has evaluated the above amendments and the impact of the same on the standalone financial statements is not material.

Note 53 - Corresponding figures of previous year have been regrouped / rearranged wherever necessary.