The company assesesses at each date of balance sheet whether a financial asset or a group of financial assets is impaired. Ind AS-109 "Financial Instruments" requires expected credit losses to be measured through a loss allowance. The company has used a practical expedient & adjusted for foward looking information to compute expected credit losses. Based on historical credit loss expreienced for the company & considering forward looking information, there is no expected credit loss allowance on trade receivables.

(b) Rights, Preferances & Restrictions attached to Shares

The company has issued one class of equity shares having a par value of ' 10 per share. Each holder of Equity Share is entiled to one vote per share held. The dividend proposed by the Board of Directors is subject to approval of the shareholders in the ensuing Annual General Meeting, except in case of interim dividend. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the company after distribution of all preferential amounts, in proportion to their shareholding.

The Board of Directors of the Company has at its meeting held on 23rd May 2024 recommended a final dividend of ' 2.00 per share for the year ended 31st March 2024 (Previous year ' 1.50 per share)

Retained earnings are the profits that the Company has earned till date, less any transfers to general reserve, dividends or other distributions paid to shareholders. Retained earnings includes re-measurement loss/(gain) on defined benefit plans, net of taxes that will not be reclassified to Statement of Profit and Loss. Retained earnings is a free reserve available to the Company.

Nature of Security and terms of repayment for Secured borrowings

Nature of Security

a) Term loan amounting to ' 4.44 Crores (P.Y.' 6.61 Crores) is secured by EMT of Rolling Mill and Induction Furnace built out of the term loan and collaterally secured against all fixed assets of the company and further secured by personal guarantee of two directors and Fixed Deposit Receipts of ' 54 lacs.

b) Working Capital Term loan amounting to ' 4.81 Crores (P.Y. ' 7.43 Crores) is secured by hypothecation of stock & bookdebts and EMT of all the fixed asstes of the Company and further secured by personal guarantee of two directors and Fixed Deposit Receipts of '54 lacs.

c) Working Capital Term loan amounting to ' 4.92 Crores (P.Y. ' 5.25 Crores) is secured by hypothecation of stock & bookdebts and EMT of all the fixed asstes of the company and further secured by personal guarantee of two directors and Fixed Deposit Receipts of '54 lacs.

d) Term loan amounting to ' 4.80 Crores (P.Y. ' 4.97) is secured by EMT of all the fixed asstes created out of this facility and further secured by personal guarantee of two directors and Fixed Deposit Receipts of '54 lacs.

e) Vehicle loans from HDFC Bank is secured by hypothecation of the vehicle financed.

1. Key Managerial Personnel are under the employment of Company are entitled to post employment benefits and other long term employee benefits recognized as per Ind AS 19 - 'Employee Benefits' in the financial statements. As these employee benefits are lump sum amounts provided on the basis of actuarial valuation, the same is not included above. Further re-imbursement of expenses to KMP are not included above.

2. Director's remuneration for the year 2023-2024 is as per limits prescribed under Section 197 read with Schedule V of the Companies Act, 2013.

3. All related party contracts / arrangements have been entered in ordinary course of business and are approved by the board of directors.

Segment Reporting:

As per Ind AS 108, the company operates predominantly only in one operating segment, i.e. finished products from Iron Ore. The company is captive consuming the whole power generated through the power plant. Hence, there is no reportable operating segment.

Corporate Social Responsibility:

Company has spent ' 32.17 Lakhs during the F.Y 2023-24 against its obligation of ' 54.05 Lakhs determined for FY 2023- 24 towards contribution on Corporate Social Responsibility under the provisions of section 135 of Companies Act 2013 and rules made thereunder. CSR Obligation of ' 54.05 lakhs for FY 2023-24 has been set off against the excess spent of ' 26.29 Lakhs carried forward from FY 2022-23. CSR spend of FY 2023-24 of ' 4.41 has been carried forward to immediate three succeeding financial years pursuant to the Companies (Corporate Social Responsibility Policy) Amendment Rules 2021 dated January 22, 2021.

Employee Benefits

As per Ind AS 19 "Employees benefits" the disclosures as defined in the Accounting Standard are given below :

The amount recognized in the balance sheet and the movements in the net defined benefit obligation over the year are as follows:

Changes in defined benefit obligation.

Reasons for variance of more than 25% in above ratios

1) Current ratio has improved mainly due to decrease in short term borrowing of the company.

2) Debt Equity ratio has improved mainly due to increase in equity on account of current years profit & decrease in short term borrowing

3) Inventory Turnover Ratio has improved mainly due to increase in turnover of the company.

ii) Demand had been raised by M/s WESCO Ltd. in respect of arrear electricity charges amounting to Rs. 16.58 lakh. The company had filed suit against the claim before the pertinent Appellate Authorities and favorable verdict had been ruled in favour of the company. The company had paid 50% of the amount against the same which is shown under Deposit Others under Short Term Loans and Advances as the company is claiming refund of the same. However M/s WESCO Ltd. had filed petition before Hon. High Court of Odisha. The company does not foresee any liability in respect of above contingent liabilities and hence no provision has been made for the same. b) Commitments

Estimated amount of contracts remaining to be executed on capital account and not provided for INR 75.00 lakhs (net of advances) (P.Y. Nil).

41. Code of Social Security

The code on social security,2020 ('Code') relating to employee benefits during employment

and post-employment benefits received presidential assent in September 2020. The code has been published in the Gazette of India. However, the date on which the code will come into effect has not been notified and the final rules/ interpretations have not yet been issued. The company will assess the impact of the code when it comes into effect and will record any related impact in the period code becomes effective

42. Capital management

For the purpose of the Company's capital management, capital includes issued equity capital, share premium and all other equity reserves attributable to the equity holders of the Company. The primary objective of the Company's capital management is to maximize the shareholder value.

The company determines the capital requirement based on annual operating plans and longterm and other strategic investment plans. The funding needs are met through equity, cash generated from operations, long-term and short-term borrowings. The Company monitors the capital structure on the basis of net debt to equity ratio and maturity profile of the overall debt portfolio of the company. Net debt includes interest bearing borrowing, cash and cash equivalents.

43. The company has commissioned captive Power Plant (CPP) during the FY 2016-17. The said units is eligible to claim deduction under section 80IA of the Income tax act ,1961 with respect to 100% of the profit & gains derived from this business for any Ten years in the subsequent fifteen years (referred to as Tax Holiday Period). The Company has started availing benefits under section 80IAof the Income Tax Act from the financial year 2021-22.

44. The Income-Tax authorities ('the department') had conducted search activity during the Year. As on the date, the Company has not received any written communication from the department regarding the outcome of the search, therefore, the consequent impact on the financial statements, if any, is not ascertainable. The Management, after considering all available records and facts known to it, is of the view that there is no material adverse impact on the financial position of the Company and no adjustments are required to the financial statements.

45. Advance for land includes '645 Lacs has been paid to State Bank of India for purchase of land at Rajgangpur, the matter is subjudices , necessary adjustments in the financial will be made based upon the outcome of the matter.

46. Financial Assets & Liabilities

a) Fair Market Value Disclosure: The management considers that the carrying amounts of financial assets and financial liabilities recognised in the financial statements approximate their fair values.

b) Financial Risk Management Objectives:

The company's management monitors and manages the financial risks relating to the operations of the company. These risks include market risk (including currency risk, interest rate risk and other price risk), credit risk and liquidity risk.

(i) Market Risk

Market risk is the risk that the fair value or the future cash flows of a financial instrument will fluctuate because of changes in market prices. Such change in value of financial instruments may result from changes in the foreign currency exchange rates, interest rates, credit, liquidity and other market changes.

Foreign Currency Risk

The company has its operations based mainly within the country. So, the company does not have any significant foreign currency risks.

Interest Rate Risk

The company has investments mainly in fixed interest bearing investments. Hence the company is not significantly exposed to interest rate risks. The interest rate on borrowings ranged from 9.00% to 9.50% in the previous year & 9.00% to 9.60% in the current year.

(ii) Credit Risk

Credit Risk refers to the risk of default on its obligation by the counterparty resulting in a financial loss. The maximum exposure to credit risk is on account of trade receivables amounting to Rs.7.95 crores as at 31st March, 2024 and Rs. 12.03 crores as at 31st March, 2023. Trade receivables are typically unsecured and derived from revenue earned from customers. Credit risk is managed by establishing credit limits and reviewing the credit approvals provided to various customers. The company has no expected credit loss as at 31st March, 2024.

(iii) Liquidity Risk

Liquidity risk is the risk that the company will encounter difficulty in meeting obligations associated with financial liabilities that are settled by delivering cash or other financial asset.

The company's principal sources of liquidity are cash and cash equivalents, bank fixed deposits and the cash that is generated from operations.

The company manages liquidity risk by maintaining adequate reserves and by continuously monitoring forecast and actual cash flows. The company generates sufficient cash flows from current operations which together with the available cash and cash equivalents provide liquidity both in the short-term as well as in the long-term.

47. The following additional information (other than what is already disclosed elsewhere) is disclosed in terms of amendments dated March 24, 2021 in Schedule III to the Companies Act 2013 with effect from 1st day of April, 2021:

(a) There is no proceeding initiated or pending against the company during the year for holding any benami property under the Benami Transactions (Prohibition) Act, 1988 and rules made thereunder.

(b) The Company has borrowings from banks on the basis of security of current assets. The quarterly returns or statements of current assets filed by the Company with banks or financial institutions are generally in agreement with the books of accounts except some minor differences which are not material to report.

(c) The company is not declared willful defaulter by any bank or financial Institution or any other lenders.

(d) There is no scheme of arrangements has been approved during the year by the Competent Authority in terms of Sections 230 to 237 of the Companies Act, 2013.

(e) There is no transaction that has not been recorded in the books of accounts and surren

dered or disclosed as income during the year in the tax assessments under the Income Tax Act, 1961.

(f) The company has complied 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

(g) The Company has not traded or invested in Crypto currency or Virtual Currency during the financial year.

(h) There are no creation or satisfaction of charges as at 31st March, 2023 pending with ROC beyond the statutory period.

(i) No funds have been advanced or loaned or invested (either from borrowed funds or share premium or any other sources or kind of funds) by the Company to or in any other person or entity, including foreign entities ("Intermediaries") with the understanding, whether recorded in writing or otherwise, that the Intermediary shall lend or invest in party identified by or on behalf of the Company (Ultimate Beneficiaries).

(j) The Company has not received any fund from any party(Funding Party) with the understanding that the Company shall whether, directly or indirectly lend or invest in other persons or entities identified by or on behalf of the Company ("Ultimate Beneficiaries") or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

48. Previous year's figures have been regrouped /reclassified wherever necessary to correspond

with the current year's classification/disclosure.