3.11 Accounting of provisions, contingent liabilities and contingent assets

Provision are recognized for when the company has at present, legal or contractual obligation as a result of past events, only if it is probable that an
outflow of resources embodying economic outgo or loss will be required and if the amount involved can be measured reliably.

Contingent liabilities being a possible obligation as a result of past events, the existence of which will be confirmed only by the occurrence or non
occurrence of one or more future events not wholly in control of the company are not recognised in the accounts. The nature of such liabilities and
an estimate of its financial effect are disclosed in notes to the Financial Statements.

Contingent assets are neither recognised nor disclosed in the financial statements.

3.12 Revenue Recognition

The Company derives revenues primarily from construction services. Revenue is recognized upon completion of promised work/services to
customers in an amount that reflects the consideration we expect to receive in exchange for those services. On account of adoption of Ind AS 115,
unbilled work-in-progress (contract asset) as at 31 March 2025 has been considered as non-financial asset and accordingly classified under other
current assets.

Revenue from construction services, where the performance obligations are satisfied over time and where there is no uncertainty as to
measurement or collectability of consideration, is recognized as per the percentage-of-completion method. The Company determines the
percentage-of-completion on the basis of direct measurements of the value of the goods or services transferred to the customer to date relative to
the remaining goods or services promised under the contract. When there is uncertainty as to measurement or ultimate collectability, revenue
recognition is postponed until such uncertainty is resolved.

Revenues in excess of invoicing are classified as contract assets (which we refer as unbilled work-in-progress) while invoicing in excess of
revenues are classified as contract liabilities (which we refer to as due to customers).

Advance payments received from contractee/customers for which no services are rendered are presented as ‘Advance from contractee/customers’
The Company presents revenues net of indirect taxes in its Statement of Profit and Loss.

3.13 Earnings Per Share

Basic Earnings Per Share is calculated by dividing the net profit after tax by the weighted average number of equity shares outstanding during the
year adjusted for bonus element in equity shares. Diluted Earnings Per Share adjusts the figures used in determination of basic earnings per share
to take into account the conversion of all dilutive potential equity shares. Dilutive potential equity shares are deemed converted as at the beginning
of the period unless issued at a later date.

3.14 Cash Flow Statement

Cash flow are reported using the indirect method, whereby profit is adjusted for effect of transactions on non-cash 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 are segregated based on
the available information.

3.15 Financial instruments

Financial assets and financial liabilities are recognized when the Company becomes a party to the contractual provisions of the instrument.
Financial assets and liabilities are initially measured at fair value. Transaction costs that are directly attributable to the acquisition or issue of
financial assets and financial liabilities (other than financial assets and financial liabilities at fair value through profit and loss) are added to or
deducted from the fair value measured on initial recognition of financial asset or financial liability. The transaction costs directly attributable to the
acquisition of financial assets and financial liabilities at fair value through profit and loss are immediately recognized in the statement of profit and
loss.

3.16 Financial Assets

A Cash and bank balances

Cash and bank balances consist of:

(i) Cash and cash equivalents - which includes cash on hand, deposits held at call with banks and other short-term deposits which are readily
convertible into known amounts of cash, are subject to an insignificant risk of change in value and have original maturities of less than one year.
These balances with banks are unrestricted for withdrawal and usage.

(ii) Other bank balances - which includes balances and deposits with banks that are restricted for withdrawal and usage.

B Financial assets at amortized cost

Financial assets are subsequently measured at amortized cost if these financial assets are held within a business model whose objective is to hold
these assets in order to collect contractual cash flows and the contractual terms of the financial asset give rise on specified dates to cash flows that
are solely payments of principal and interest on the principal amount outstanding.

C Financial assets measured at fair value

Financial assets are measured at fair value through other comprehensive income if such financial assets are held within a business model whose
objective is to hold these assets in order to collect contractual cash flows or to sell such financial assets and the contractual terms of the financial
asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

The Company in respect of equity investments (other than in subsidiaries, associates and joint ventures) which are not held for trading has made
an irrevocable election to present in other comprehensive income subsequent changes in the fair value of such equity instruments. Such an election
is made by the Company on an instrument by instrument basis at the time of initial recognition of such equity investments. These investments are
held for medium or long-term strategic purpose. The Company has chosen to designate these investments in equity instruments as fair value
through other comprehensive income as the management believes this provides a more meaningful presentation for medium or long-term strategic
investments, than reflecting changes in fair value immediately in the statement of profit and loss.

Financial assets not measured at amortized cost or at fair value through other comprehensive income are carried at fair value through profit and
loss.

D Dividend Income

Dividend income from investments is recognized when the right to receive payment has been established.

E Impairment of financial assets

Loss allowance for expected credit losses is recognized for financial assets measured at amortized cost and fair value through other comprehensive
income.

The Company recognizes life time expected credit losses for all trade receivables that do not constitute a financing transaction.

For financial assets (apart from trade receivables that do not constitute of financing transaction) whose credit risk has not significantly increased
since initial recognition, loss allowance equal to twelve months expected credit losses is recognized. Loss allowance equal to the lifetime expected
credit losses is recognized if the credit risk of the financial asset has significantly increased since initial recognition.

F De-recognition of financial assets

The Company de-recognizes a financial asset only when the contractual rights to the cash flows from the asset expire, or it transfers the financial
asset and substantially all risks and rewards of ownership of the asset to another entity.

If the Company neither transfers nor retains substantially all the risks and rewards of ownership and continues to control the transferred asset, the
Company recognizes its retained interest in the assets and an associated liability for amounts it may have to pay.

If the Company retains substantially all the risks and rewards of ownership of a transferred financial asset, the Company continues to recognize the
financial asset and also recognizes a borrowing for the proceeds received.

3.17 Financial liabilities and equity instruments
A Classification as debt or equity

Financial liabilities and equity instruments issued by the Company are classified according to the substance of the contractual arrangements
entered into and the definitions of a financial liability and an equity instrument.

Equity instruments

An equity instrument is any contract that evidences a residual interest in the assets of the Company after deducting all of its liabilities. Equity
instruments are recorded at the proceeds received, net of direct issue costs.

Financial liabilities

Trade and other payables are initially measured at fair value, net of transaction costs, and are subsequently measured at amortized cost, using the
effective interest rate method where the time value of money is significant.

Interest bearing bank loans, overdrafts and issued debt are initially measured at fair value and are subsequently measured at amortized cost using
the effective interest rate method. Any difference between the proceeds (net of transaction costs) and the settlement or redemption of borrowings is
recognized over the term of the borrowings in the statement of profit and loss.

B De-recognition of financial liabilities

The Company de-recognizes financial liabilities when, and only when, the Company’s obligations are discharged, cancelled or they expire.

E) During the year, the Company has increased the Authorised Share Capital from Rs. 5,000 lacs to Rs. 7,500 lacs divided into 7,50,00,000 Equity Shares
having face value of Rs. 10/- each by passing Ordinary Resolution by postal ballot on 27th March 2024.

F) During the year, the Company has Issued 55,27,000 Equity Shares having face value of Rs. 10 each and at an issue price of Rs.18/- (include the share
premium of Rs..8/- per share) on right issue basis to the Promoters, Promoter group and non- promoter categories of persons, in accordance with sections
23,42, 62 of the Company Act, 2013 and rule made there under and Chapter V of the SEBI (Issue of Capital and Disclosure Requirements) Regulations,
2018. At the Board meeting held on 15th October 2024 has passed Board Resolution for allotment of securities as mentioned above.

G) During the year, the Company has coverted share warrant to 34,88,000 Equity Shares having face value of Rs.10 each and at an issue price of

Rs. 10.80/- (include the share premium of Rs. 0.80 per share) on preferential basis to the Promoters categories of persons, in accordance with sections 23,
42, 62 of the Company Act, 2013 and rule made there under and Chapter V of the SEBI (Issue of Capital and Disclosure Requirements) Regulations,
2018. At the Board meeting held on 12th November 2024 has passed Board Resolution for allotment of securities as mentioned above.

The primary objective of the Company’s capital management is intended to maximise the return to shareholders for meeting the long-term and short-term goals of the
Company through the optimization of the debt and equity balance. The Company is monitoring capital using debt equity ratio as its base which is debt to equity. For the
purpose of capital management, capital includes issued equity capital, securities premium and all other reserves attributable to the equity shareholders of the Company. Net
debt includes all long and short-term borrowings (including current maturities of long term debt) as reduced by cash and cash equivalents.

2) Financial Risk Management Objective And Policies

The Company is exposed to market risk, credit risk and liquidity risk. Risk management is carried out by the company under policies approved by the board of directors.
The Company’s documented risk management policies are effective tool in mitigating the various financial risk to which the business is exposed to in the course of daily
operations This Risk management plan defines how risks associated with the Company will be identified, analysed, and managed. It outlines how risk management
activities will be performed, recorded, and monitored by the Company. The basic objective of risk management plan is to implement an integrated risk management
approach to ensure all significant areas of risks are identified, understood and effectively managed, to promote a shared vision of risk management and encourage
discussion on risks at all levels of the organisation to provide a clear understanding of risk/benefit trade-offs, to deploy appropriate risk management methodologies and
tools for use in identifying, assessing, managing and reporting on risks, and to determine the appropriate balance between cost and control of risk and deploy appropriate
resources to manage/optimize key risks. Activities are developed to provide feedback to management and other interested parties (e.g. Audit committee, Board etc.). The
results of these activities ensure that risk management plan is effective in the long term.

a) Market risk

Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Market prices comprise three
types of risk: foreign currency rate risk, interest rate risk and other price risks, such as equity price risk and commodity risk.

i) Foreign Exchange Risk and Sensitivity

Foreign currency risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in foreign exchange rates. The
Company’s exposure to the risk of changes in foreign exchange rates relates primarily to the Company’s operating activities. Currently, the Company does not have any
transaction in Foreign Currencies.

ii) Interest Rate Risk and Sensitivity

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 .In order to optimize
the Company’s position with regards to interest expenses and to manage the interest rate risk treasury performs a comprehensive corporate interest rate risk management by
balancing the proportion of fixed rate and floating rate financial instruments in its total portfolio.

iii) Commodity Price Risk

The Company is engaged in construction work and commodities like ferrous and non ferrous metal materials, Welded pipes, MS TMT bars & Metals, Cements, etc are the
basic commodity for consumption. Commodity price risk arises due to fluctuation in prices of metal products. The Company mitigate the risk by natural hedge as any
increase/ decrease in materials price directly reflect the changes in finished goods price.

b) Credit Risk

Credit risk is the risk that a counter party will not meet its obligations under a financial instrument or customer contract, leading to a financial loss. The Company is
exposed to credit risk for trade receivables, other bank balances, loans, other financial assets and financial guarantees.

i) Trade Receivables

The Company extends credit to customers in normal course of business. The Company considers factors such as credit track record in the market and past dealings with the
Company for extension of credit to customers. The Company monitors the payment track record of the customers. Outstanding customer receivables are regularly
monitored.

ii) Bank Balances

The Company seeks to limit its credit risk with respect to banks by only dealing with reputable banks.

c) Liquidity Risk

Liquidity risk is the risk that the Company may not be able to meet its present and future cash and collateral obligations without incurring unacceptable losses. The
Company’s objective is to, at all times, maintain optimum levels of liquidity to meet its cash and collateral requirements. The Company limits its liquidity risk by ensuring
funds from trade receivables.

34. Segment Reporting: In the opinion of the management the company is only engaged in the business of construction & related allied services and hence there is no other reportable
segment as per IND AS-108.

35. The year company has made provision of gratuity as per Group Gratuity Scheme of LIC, the valuation of gratuity is as per IND AS-19. Liability of Rs. 0.51/-/- pertaining to financial
year has been deducted from retain profit. The Company has made payment of Rs.0.70/- as per previous year provision.

36. Capital Commitment & Contingent Liabilites:_

a) Sales tax authority has raised demand pertaining to the F.Y 2016-17 of Rs. 57.89/- (including interest & penalty) at the time of appeal order dated 28/03/2025, against which the
company has deposited Rs. 11.31/-. Against this the company is in process to fileing appeal against order passed by Joint Commissioner of Sales Tax (Appeal), Mazgaon Office.

b) State tax authority has raised demand against company of Rs. 132.33/- (including interest & penalty) at the time of assessment order dated 29/04/2024, against which the company has
filed appeal and deposited Rs. 4.54/-. The Appeal has been filed against the order of Assistant Commissioner of State Tax, Mazgaon Office.

c) State tax authority has raised demand against company of Rs. 673.72/- (including interest & penalty) at the time of assessment order dated 30/05/2024 against which the company has
filed appeal and deposited Rs.93.22/-. The Appeal has been filed against the order of Assistant Commissioner of State Tax, Mazgaon Office.

d) The company has given bank gurantee to various authorities amounting to Rs. 3623.68/- against which company has made fixed deposits amounting to Rs.l 189.64/-

37. Sundry debtors, creditors, unsecured loans and advances are subject to confirmation with parties & in the opinion of the board the value of realisation of loan & advances and other
current assets, in the ordinary course of business will not be less than the amount at which they are stated in the balance sheet.

As per our Report of even date.

For Bhuwania & Agrawal Associates For A B INFRABUILD LIMITED

Chartered Accountants

Firm Registration No. - 101483W

Sd/- Sd/-

Amit Mishra Bharat Parmar

Sd/- Managing Director Wholetime Director

Shubham Bhuwania DIN -03388129 DIN - 07645422

Partner

Sd/- Sd/-

UDIN: 25171789BMIPMG3845 Amrit Suthar Danish Salmani

Date: 29/05/2025 Company Secretary Chief Finance Office

Place : Mumbai