(xx) Provisions, contingent liabilities and
contingent assets

Provisions are recognised when the
Company has a present (legal or
constructive) obligation as a result of past
events, for which it is probable that an
outflow of resources will be required to
settle the obligation and a reliable estimate
of the amount can be made. Provisions
required to settle are reviewed regularly and
are adjusted where necessary to reflect the
current best estimates of the obligation.
Provisions are discounted to their present
values, where the time value of money
is material.

Contingent liability is disclosed unless
the likelihood of an outflow of resources is
remote and there is a possible obligation or
a present obligation that may, but probably
will not, require an outflow of resources.

Contingent assets are disclosed only when
inflow of economic benefits therefrom
is probable and recognise only when
realisation of income is virtually certain.

(xxi) Earnings per share

Basic earnings per share is calculated by
dividing the net profit or loss for the year
attributable to equity shareholders by the
weighted average number of equity shares
outstanding during the year.

For the purpose of calculating diluted
earnings per share, the net profit or loss for
the year attributable to equity shareholders
and the weighted average number of shares
outstanding during the year are adjusted
for the effects of all dilutive potential
equity shares.

(xxii) Segment reporting

An operating segment is a component of
the Company that engages in business
activities from which it may earn revenues
and incur expenses, including revenues and
expenses that relate to transactions with any
of the Company’s other components, and
for which discrete financial information is
available. All operating segments’ operating
results are reviewed regularly by the Chief
Operating Decision Maker (CODM) to make
decisions about resources to be allocated to
the segments and assess their performance.
Based on such assessment, the Company
currently has only one operating segment
and two geographical segments viz.
Domestic Market and International Market.

(xxiii) Share-based payments

Share-based compensation benefits are
provided to employees via the "ROUTE
MOBILE LIMITED", Employee Stock Option
Plan 2017 and 2021 (the ‘ESOP scheme’).
The fair value of options granted under the
ESOP scheme is recognised as an employee
benefits expense with a corresponding
increase in equity. The total amount to be
expensed is determined by reference to the
fair value of the options granted:

• including any market performance
conditions (e.g., the entity’s share price)

• excluding the impact of any service
and non-market performance vesting
conditions (e.g. profitability, sales
growth targets and remaining an
employee of the entity over a specified
time period), and

• including the impact of any non-vesting
conditions (e.g. the requirement for
employees to serve or hold shares for a
specific period of time).

The total expense is recognised over the
vesting period, which is the period over
which all of the specified vesting conditions
are to be satisfied. At the end of each
period, the entity revises its estimates of
the number of options that are expected
to vest based on the non-market vesting
and service conditions. It recognises the
impact of the revision to original estimates,
if any, in profit or loss, with a corresponding
adjustment to equity.

The Company has created a Route Mobile
Employee Welfare Trust (ESOP Trust) for the
implementation of the said ESOP scheme.
The Company allots shares to ESOP Trust.
The Company treats the ESOP trust as its
extension and shares held by ESOP Trust
are treated as treasury shares.

(xxiv) Treasury shares (Shares held by the
ESOP Trust)

The Company uses the ESOP Trust as a
vehicle for distributing shares to employees
under the employee remuneration schemes.

The Company treats ESOP trust as its
extension and shares held by ESOP Trust
are treated as treasury shares. Share
options exercised during the reporting
period are satisfied with treasury shares.
The consideration paid for treasury
shares including any directly attributable
incremental cost is presented as a
deduction from total equity, until they are
cancelled, sold or reissued. When treasury
shares are sold or reissued subsequently,
the amount received is recognised as an
increase in equity, and the resulting surplus
or deficit on the transaction is transferred
to/from retained earnings.

Note:

(i) During the financial year 2023-24, Proximus Opal S.A. entered into a share purchase agreement ("SPA") dated 17
July 2023 with all the promoters and members of the promoter group of the Company (hereinafter, referred to as the
"Sellers"). During the quarter 30 June 2024, the requisite regulatory formalities pertaining to the aforementioned
transaction has been consummated and with effect from 8 May 2024, Opal was holding 52,183,089 equity
shares (corresponding to 83.11% of the total equity share capital of the Company). Further, in compliance with the
minimum public shareholding requirement, as mandated under Securities Contract (Regulation) Rules 1957, read
with Regulation 38 of the SEBI LODR, the Acquirer has sold equity shares through open market transaction and
offer for sale, resulting in bringing down their shareholding to 74.90%.

(c) Rights, preferences and restrictions attached to equity shares

The Company has one class of equity shares having a par value of H 10 each. Each holder of equity
shares is entitled to one vote per share. The dividend proposed by the Board of Directors is subject
to the approval of the shareholders in the ensuing Annual General Meeting, except interim dividend.
In the event of liquidation of the Company, the holders of equity shares will be entitled to receive
any of the remaining assets of the Company after distribution of all preferential amounts and the
distribution will be in proportion to the number of equity shares held in the Company.

B. Nature and purpose of reserves

(i) Retained earnings

Retained earnings represents the profits earned by the Company till date, less any transfers to
general reserve, dividends or other distributions paid to shareholders.

(ii) Securities premium

Securities premium is credited when shares are issued at premium. These reserves are utilised in
accordance with the provisions of the Companies Act, 2013.

(iii) Share options outstanding

This represents fair value of the stock options granted to eligible employees of the Company. The
reserve will be utilised on exercise of the options.

(iv) Capital redemption reserve

In accordance with Section 69 of the Companies Act, 2013, the Company creates capital
redemption reserve equal to the nominal value of the shares bought back as an appropriation from
securities premium.

I. Fair value hierarchy

The fair values of the financial assets and liabilities are included at the amount that would be received
to sell an asset or paid to transfer a liability in an orderly transaction between market participants at
the measurement date.

This section explains the judgements and estimates made in determining the fair values of the
financial instruments that are (a) recognised and measured at fair value and (b) measured at
amortised cost and for which fair values are disclosed in the financial statements. To provide an
indication about the reliability of the inputs used in determining fair value, the Company has
classified its financial instruments into the three levels prescribed under the accounting standard.
An explanation of each level is given below:

Level 1: Level 1 hierarchy includes financial instruments measured using quoted prices. For
example, listed equity instruments that have quoted market price.

Level 2: The fair value of financial instruments that are not traded in an active market (for example,
traded bonds, over-the- counter derivatives) 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. This is the case for unlisted equity securities, contingent
consideration and indemnification asset included in level 3.

II. Valuation techniques and significant unobservable inputs

The fair value of cash and cash equivalents, bank balances other than cash and cash equivalents,
trade receivables, loans, trade payables and other financial assets and liabilities approximate their
carrying amount largely due to the short-term nature of these instruments.

34 Financial risk management

The Company's principal financial liabilities comprises of trade payables, lease liabilities and other
payables. The main purpose of these financial liabilities is to finance the Company’s operations. The
Company’s principal financial assets include loans, current investments, trade and other receivables,
cash and cash equivalents and other bank balances.

The Company's activities expose it to credit risk, liquidity risk and market risk. The Company's risk
management assessment and policies and processes are established to identify and analyse the
risks faced by the Company, to set appropriate risk limits and controls, and to monitor such risks and
compliance with the same. Risk assessment and management policies and processes are reviewed
regularly to reflect changes in market conditions and business activities.

A Credit risk

Credit risk is the risk of financial loss arising from counterparty failure to repay or service debt
according to the contractual terms and obligations. Credit risk encompasses of both, the direct risk
of default and the risk of deterioration of credit worthiness as well as concentration of risks. The
financial instruments that are subject to concentration of credit risk principally consists of trade
receivables, current investments, loans, cash and bank balances and bank deposits.

The trade receivables of the Company are typically non-interest bearing un-secured customers. The
customer base is widely distributed both economically and geographically.

Credit risk is controlled by analysing credit limits and credit worthiness of the customer based on
their financial position, past experience and other factors, on continuous basis to whom the credit
has been granted after obtaining necessary approvals for credit.

The credit limit policy is established considering the current economic trends of the industry in
which the Company is operating.

The Company measures the expected credit loss of trade receivables based on historical trend,
industry practices and the business environment in which the entity operates, accordingly, provision
is created.

Financial assets are written off when there is no reasonable expectation of recovery, such as a debtor
failing to engage in a repayment plan with the Company. Where loans or receivables have been
written off, the Company continues to engage in enforcement activity to attempt to recover the
receivable due. Where recoveries are made, these are recognised as income in the statement of
profit and loss.

Bank balances and deposits are held with only high rated banks and majority of other security
deposits are placed majorly with government agencies.

B Liquidity risk

Liquidity risk is the risk that the Company may not be able to meet its present and future cash
and collateral obligations on time or at reasonable prices. The Company’s objective is to maintain
optimum levels of liquidity and to ensure that funds are available for use as per requirement.

The liquidity risk principally arises from obligations on account of following financial liabilities viz.
trade payables and other financial liabilities.

The Company’s corporate finance department is responsible for liquidity, funding and settlement.
In addition, processes and policies related to such risks are overseen by senior management.
Management monitors the Company’s net liquidity position through rolling forecasts on the basis
of expected cash flows.

The table below summarises the maturity profile of the Company’s financial liabilities based on
contractual undiscounted payments at each reporting date:

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate
because of changes in market prices. Market risk comprises two types of risk: Foreign currency risk
and price risk. The Company's exposure to market risk is primarily on account of foreign currency
exchange rate risk.

(i) Foreign currency risk

The Company is exposed to foreign exchange risk arising from foreign currency transactions in
several currencies through its sales in overseas markets and purchases from overseas suppliers
in various foreign currencies. Foreign currency exchange rate exposure on overseas sales is
partly balanced by purchasing of services in the respective currencies.

The Company is exposed to price risk from its investment in mutual funds classified in the
balance sheet at fair value through profit and loss.

To manage its price risk arising from the investment, the Company has invested in the mutual
fund after considering the risk and return profile of the mutual funds i.e. the debt profile of the
mutual fund indicates that the debt has been given to creditworthy banks and other institutional
parties and equity investment is made after considering the performance of the stock.

35 a) Capital management

The Company’s objectives when managing capital are to

- safeguard their ability to continue as a going concern, so that they can continue to provide
returns for shareholders and benefits for other stakeholders, and

- maintain an optimal capital structure to reduce the cost of capital.

In order to maintain the capital structure, the Company monitors the return on capital, as well as
the levels of dividends to equity shareholders. The Company is not subject to externally imposed
capital requirements.

The Company monitors capital on the basis of the gearing ratio, however there is no outstanding
debt as on 31 March 2025 and 31 March 2024.

B) Provident fund

The Honourable Supreme Court, has passed a judgement on 28 February 2019 in relation to
inclusion of certain allowances within the scope of "Basic wages" for the purpose of determining
contribution to provident fund under the Employees' Provident Funds & Miscellaneous Provisions
Act, 1952. The management, based on legal advice, is of view that the applicability of the judgement
to the Company, with respect to the period and the nature of allowances to be covered due to
interpretation challenges, and resultant impact on the past provident fund liability, cannot be
reasonably ascertained.

C) The Company has provided letter committing continuing financial support to its subsidiary, Route
Mobile Pte. Ltd. to enable it to meet its day to day obligation/commitment; to the extent this entity
may be unable to meet its obligations.

II Defined benefit plans:-

The Company provides for gratuity benefit under a defined benefit retirement scheme (the "Gratuity
Scheme”) as laid out by the Payment of Gratuity Act, 1972 of India covering eligible employees.
Liabilities with regard to the Gratuity Scheme are determined by actuarial valuation carried out using
the Projected Unit Credit Method by an independent actuary in accordance with Indian Accounting
Standard-19, ‘Employee Benefits’. The Gratuity Scheme is a non-funded scheme and the Company
intends to discharge this liability through its internal resources.

(h) Risk exposure:

Valuation are based on certain assumptions, which are dynamic in nature and may vary over time.

As such valuations of the Company is exposed to follow risks -

(a) Salary increase: Higher than expected increases in salary will increase the defined
benefit obligation.

(b) Investment risk: Since the plan is unfunded then asset liabilities mismatch and actual investment
return on assets lower than the discount rate assumed at the last valuation date can impact the
defined benefit obligation.

(b) Discount rate: The defined benefit obligation calculated use a discount rate based on
government bonds. If bond yields fall, the defined benefit obligation will tend to increase.

(c) Mortality and disability: If the actual deaths and disability cases are lower or higher than
assumed in the valuation, it can impact the defined benefit obligation.

(d) Withdrawals: If the actual withdrawals are higher or lower than the assumed withdrawals
or there is a change in withdrawal rates at subsequent valuations, it can impact defined
benefit obligation.

IPO proceeds which remain unutilised as at 31 March 2025 were temporarily invested/parked in deposits
with scheduled commercial banks

45 Funds amounting to H 86750 crores raised by the Company pursuant to a Qualified Institutional
Placement (QIP) in the previous years are being duly utilised as per the objects stated in the placement
document and the unutilised amount from the aforementioned QIP has been temporarily invested in
fixed deposits with scheduled commercial banks as on 31 March 2025.

46 Audit Trail

The Ministry of Corporate Affairs (MCA) has prescribed a new requirement for companies under the
proviso to Rule 3(1) of the Companies (Accounts) Rules, 2014 inserted by the Companies (Accounts)
Amendment Rules, 2021 requiring companies, which uses accounting software for maintaining its
books of account, shall use only such accounting software which has a feature of recording audit trail of
each and every transaction, creating an edit log of each change made in the books of account along with
the date when such changes were made and ensuring that the audit trail cannot be disabled.

The audit trail feature was not enabled at the database level to log any direct data changes for accounting
software, Odoo and the server Platform, used for maintenance of all accounting records by the Company.
Audit trail (edit log) is enabled at the application level.

Further, the Company’s payroll processing is outsourced to third party service provider. The Company
has obtained the ‘Independent Service Auditor’s Assurance Report on the Description of Controls, their
Design and Operating Effectiveness’ (‘Type 2 report’ issued in accordance with SAE 3402, Assurance
Reports on Controls at a Service Organisation) for the year ended 31 March 2025. However, the service
auditor has not specifically covered the maintenance of audit trail at database level in line with the
requirement by MCA.

The audit trail has been prepared by the company as per statuory requirments for record retention
except at databse level.

48 Segment reporting

In accordance with Indian Accounting Standard (IndAS) 108, "Operating Segments", segment information
has been given in the consolidated financial statements of Route Mobile Limited, and therefore, no
separate disclosure on segment information is given in these standalone financial statements.

Notes to the standalone financial statements including material accounting policy information
and other explanatory information

as at and for the year ended 31 March 2025

(C in crores, unless otherwise stated)

49 Other Statutory Information

(i) The Company does not have any Benami property, where any proceeding has been initiated or
pending proceedings for holding any Benami property.

(ii) The Company does not have any transactions with companies struck off under Section 248 of the
Act or Section 560 of the Companies Act, 1956.

(iii) The Company does not have any charges or satisfaction of charges which is yet to be registered with
Registrar of Companies beyond the statutory period.

(iv) The Company has not traded or invested in crypto currency or virtual currency during the
financial year.

(v) The Company has not advanced or given loan 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

(vi) The Company has 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.

(vii) The Company does not have any such transaction which is not recorded in the books of account that has
been surrendered or disclosed as income during the year in the tax assessments under the Income-tax
Act, 1961 (such as, search or survey or any other relevant provisions of the Income-tax Act, 1961).

(viii) The Company has not been declared wilful defaulter by any bank or financial institution or
government or any government authority.

(ix) The Company has not revalued its property, plant and equipment (including right-of-use asset) or
intangible asset or both during the current or previous year.

(x) The Company has not entered into any scheme of arrangement interms of Section 230 to 237 of the
Actwhich has an accounting impact on current or previous financial year.

(xi) The Company has complied with the number of layers prescribe under clause (87) of Section 2 of
the Act read with Companies (Restriction on number of Layers) Rules 2017

50 Figures of the previous year has been re-grouped/re-arranged wherever necessary. The impact of the
same is not material to the users of financial statement.

For Walker Chandiok & Co LLP For and on behalf of the Board of Directors of

Chartered Accountants Route Mobile Limited

Firm Registration No.: 001076N/N500013

Rajni Mundra Mark James Reid Rajdipkumar Gupta

Partner Chairman Managing Director

(Membership No.: 058644) (DIN No. 10498698) (DIN No. 01272947)

Rajeshwar Singh Gill

Group CFO

Suresh Jankar Rathindra Das

Chief Financial Officer Company Secretary

(Membership No.: F12663)

Place: Mumbai Place: Mumbai

Date: 7 May 2025 Date: 7 May 2025