1.13. Contingent Liabilities and Commitments:
(a) Provisions are recognized when the Company has present legal or constructive obligation, as a result of
past events, for which it is probable that an outflow of economic benefits will be required to settle the
obligation and a reliable estimate can be made for the amount of the obligation.
(b) Contingent Liabilities are disclosed after careful evaluation by the Management of facts and legal aspects
of the matter involved.
(c) Contingent Assets are neither recognized nor disclosed in the Financial Statements except
MAT Credit Entitlement.
6. Net Profit on account of foreign exchange fluctuation ^ 5.84 lakhs (Previous year net profit of ^ 2.46 lakhs)
has been accounted for in the Statement of Profit and Loss.
7. Disclosure required under Micro, Small and Medium Development Act 2006:
On the basis of confirmation obtained from the suppliers who have registered themselves under the Micro,
Small and Medium Enterprise Development Act, 2006 (MSMED Act, 2006) and based on the information
available with the Company the following are the details.
Level 1: Level 1 hierarchy includes financial instruments measured using quoted prices. This includes listed
equity instruments that have quoted price. The fair value of all equity instruments which are traded in the stock
exchanges is valued using the closing price as at the reporting period.
Level 2: The fair value of financial instruments that are not traded in an active market is determined using
valuation techniques which maximise the use of observable market data and rely as little as possible on entity-
specific estimates. If all significant inputs required to fair value an instrument are observable, the instrument is
included in level 2
Level 3: If one or more of the significant inputs is not based on observable market data, the instrument is
included in level 3
16. Financial Risk Management
The Company has exposure to credit risk, liquidity risk and market risk arising from financial instruments.
The Company's risk management policies are established to identify and analyze the risk faced by the Company,
to set appropriate risk limit and controls and to monitor risks. Risk management policies and systems are
reviewed periodically to reflect changes in market conditions and the Companies' activities.
The Company monitors compliance with Company’s risk management policies and procedures and reviews the
adequacy of the risk management framework in relation to the risks faced by the Company.
(a) Credit Risk: Credit Risk is the risk of financial loss to the Company if a customer or counter party to the financial
instruments fails to meet its contractual obligations and arises principally from the Company’s receivables from
customers, loans and investments. Credit Risk is managed through continuous monitoring of receivables and
follow up for over dues.
Investments: The Company limits its exposure to credit risk by generally investing in liquid securities and only
with counter parties that have a good credit rating. The Company does not expect any losses from the non
performance by these counter parties and does not have any significant concentration of exposure to specific
industry or specific country risks.
Trade Receivables: The Company has used expected credit loss model for assessing the impairment loss. For
the purpose Company uses provision matrix to compute the expected loss amount. The provision matrix takes
into account external and internal risk factor and historical data to credit losses from various customers.
- Currency Risk : The Company has no significant exposure to export revenue and import of raw material and
property, plant and equipments so the Company is not subject to significant risk that changes in foreign
currency value impact.
17. Capital Management:
Risk Management:- For the purpose of Company's Capital Management, Equity includes Equity Share Capital
and all other Equity Reserves attributable to the equity holders of the Company. The Company manages its
capital to optimize to the shareholders and make adjustments to it in light of changes in economic conditions or
its business requirements. The Company's objective is to safeguard continuity, maintain a strong credit rating
and healthy capital ratios in order to support its business and provide adequate returns to shareholders through
continuing growth and maximize the shareholders value. The Company funds its operations through internal
accruals. The Management and the Board of Directors monitor the return of capital as well as the level of
dividend to shareholders.
18. Other Statutory Information
(a) The Company is not declared as a willful defaulter.
(b) The Company is not having any relationship with struck off companies.
(c) The Company has no approved Scheme(s) of Arrangements u/s 230 to 237 of Companies Act, 2013.
(d) 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(s) or entity(ies), including
foreign entities (“Intermediaries”), with the understanding, whether recorded in writing or otherwise, that
the Intermediary shall, whether, 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 provide any
guarantee, security or the like on behalf of the Ultimate Beneficiaries.
(e) No funds have been received by the Company from any person(s) or entity(ies), including foreign entities
(“Funding Parties”), with the understanding, whether recorded in writing or otherwise, that the Company
shall, whether, 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 provide any guarantee,
security or the like on behalf of the Ultimate Beneficiaries; and
(f) There is no undisclosed income during the year in Tax Assessments under the Income Tax Act, 1961.
(g) The Company has not traded or invested in Crypto Currency or Virtual Currency during the Financial Year.
As per our Report attached of even date
For Amin Parikh & Co. Suresh Singhal Rahul N. Amin
Chartered Accountants Vice President (Legal) & Chairman & Managing Director
F.R.N. 100332W Company Secretary Vadodara
Vadodara Directors
CA. Samir R. Parikh Tejal R. Amin
Partner Vadodara
M.No. 41506 Ronak Shah Utpal R. Shah Ashish A. Shah
Vadodara Chief Financial Officer Vadodara Vadodara
27th May, 2025 Vadodara 27th May, 2025
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