k Provision and Contingent Liabilities

Provisions are recognised only when:

(I) the company has a present obligation (legal or constructive) as a result of a past event; and

(ii) it is probable that an outflow of resources embodying economic benefits will be required to settle the
obligation; and

(iii) a reliable estimate can be made of the amount of the obligation.

Provision is measured using the cash flows estimated to settle the present obligation and when the effect of
time value of money is material, the carrying amount of the provision is the present value of those cash flows.
Reimbursement expected in respect of expenditure required to settle a provision is recognised only when it is
virtually certain that the reimbursement will be received.

Contingent liability is disclosed in case of:

(i) A possible obligation arising from past events and whose existence will be confirmed only by the
occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the
entity; or

(ii) A present obligation arising from past events where:

• it is not probable that an outflow of resources embodying economic benefits will be required to settle
the obligation; or

• the amount of the obligation cannot be measured with sufficient reliability.

Contingent assets are disclosed where an inflow of economic benefits is probable.

Provisions, contingent liabilities and contingent assets are reviewed at each Balance Sheet date.

Where the unavoidable costs of meeting the obligations under the contract exceed the economic benefits
expected to be received under such contract, the present obligation under the contract is recognised and
measured as a provision for onerous contract/foreseeable losses."

l Income Taxes

Income tax expense comprises current tax expense and the net change in the deferred tax asset or liability
during the year. Current and deferred taxes are recognised in statement of profit and loss, except when they
relate to items that are recognised in other comprehensive income or directly in equity, in which case, the
current and deferred tax are also recognised in other comprehensive income or directly in equity,
respectively.

a) Current income tax

The current tax expense represents the tax payable by the company in relation to its global income for the
current year being a domestic company. Advance taxes and provisions for current income taxes are
presented in the balance sheet after off-setting advance tax paid and income tax provision as the
company intends to settle the asset and liability on a net basis.

b) Deferred tax

Deferred income tax is recognised using the balance sheet approach. Deferred income tax assets and
liabilities are recognised for deductible and taxable temporary differences arising between the tax base of
assets and liabilities and their carrying amount, except when the deferred income tax arises from the initial
recognition of an asset or liability in a transaction that is not a business combination and affects neither
accounting nor taxable profit or loss at the time of the transaction.

Deferred income tax assets are recognised to the extent that it is probable that taxable profit will be
available against which the deductible temporary differences and the carry forward of unused tax credits
and unused tax losses can be utilized.

The carrying amount of deferred income tax assets is reviewed at each reporting date and reduced to the
extent that it is no longer probable that sufficient taxable profit will be available to allow all or part of the
deferred income tax asset to be utilized. Deferred tax assets and liabilities are measured using substantively
enacted tax rates expected to apply to taxable income in the years in which the temporary differences are
expected to be received or settled.

m Cash and cash equivalents

Cash and bank balances include fixed deposits, margin money deposits, earmarked balances with banks
and other bank balances which have restrictions on repatriation. Short term and liquid investments being
subject to more than insignificant risk of change in value, are not included as part of cash and bank
balances.

n Finance Cost

Borrowing costs include exchange differences arising from foreign currency borrowings to the extent they
are regarded as an adjustment to the interest cost. Borrowing costs that are directly attributable to the
acquisition or construction of qualifying assets are capitalised as part of the cost of such assets. A qualifying
asset is one that necessarily takes substantial period of time to get ready for its intended use. Interest income
earned on the temporary investment of specific borrowings pending their expenditure on qualifying assets is
deducted from the borrowing costs eligible for capitalisation. All other borrowing costs are charged to the
Statement of Profit and Loss for the period for which they are incurred.

o Impairment of Non-Financial Assets - Property, Plant and Equipment and Intangible Assets

The Company assesses at each reporting date as to whether there is any indication that any Property, Plant
and Equipment and Intangible Assets or group of Assets, called Cash Generating Units (CGU) may be
impaired. If any such indication exists, the recoverable amount of an asset or CGU is estimated to determine
the extent of impairment, if any. When it is not possible to estimate the recoverable amount of an individual
asset, the Company estimates the recoverable amount of the CGU to which the asset belongs. An
impairment loss is recognised in the Statement of Profit and Loss to the extent, asset's carrying amount
exceeds its recoverable amount.

The recoverable amount is higher of an asset's fair value less cost of disposal and value in use. Value in use is
based on the estimated future cash flows, discounted to their present value using pre-tax discount rate that
reflects current market assessments of the time value of money and risk specific to the assets. The
impairment loss recognised in prior accounting period is reversed if there has been a change in the
estimate of recoverable amount.

p Other Income

Interest income from a financial asset is recognized using effective interest rate method and dividend
income is recognized when the reight to receive dividend is established.

q Revenue recognition

The company earns revenue primarily from supply of extrusion machines. The revenue is recognized on
transfer of the promised products to the customers and when the company is certain to realize the
consideration related to the product.

Revenue is measured at the amount of consideration which the Company expects to be entitled to in
exchange for transferring distinct goods or services to a customer as specified in the contract, excluding
amounts collected on behalf of third parties (for example taxes and duties collected on behalf of the
government). Consideration is generally due upon satisfaction of performance obligations and a
receivable is recognised when it becomes unconditional.

The Company's contracts with customers could include promises to transfer multiple products and services
to a customer. The Company assesses the products / services promised in a contract and identifies distinct
performance obligations in the contract. Identification of distinct performance obligation involves
judgement to determine the deliverables and the ability of the customer to benefit independently from
such deliverables.

Judgement is also required to determine the transaction price for the contract and to ascribe the
transaction price to each distinct performance obligation. The transaction price could be either a fixed
amount of customer consideration or variable consideration with elements such as volume discounts,
service level credits, performance bonuses, price concessions and incentives. The transaction price is also
adjusted for the effects of the time value of money if the contract includes a significant financing
component. Any consideration payable to the customer is adjusted to the transaction price unless it is a
payment for a distinct product or service from the customer. The estimated amount of variable
consideration is adjusted in the transaction price only to the extent that it is highly probable that a significant
reversal in the amount of cumulative revenue recognised will not occur and is reassessed at the end of each
reporting period. The Company allocates the elements of variable considerations to all the performance
obligations of the contract unless there is observable evidence that they pertain to one or more distinct
performance obligations.

The Company exercises judgement in determining whether the performance obligation is satisfied at a
point in time or over a period of time. The Company considers indicators such as how customer consumes
benefits as services are rendered or who controls the asset as it is being created or existence of enforceable
right to payment for performance to date and alternate use of such product or service, transfer of significant
risks and rewards to the customer, acceptance of delivery by the customer, etc.

Contract fulfilment costs are generally expensed as incurred. In accordance with Ind AS 37, the Company
recognises an onerous contract provision when the unavoidable costs of meeting the obligations under a
contract exceed the economic benefits to be received. Contracts are subject to modification to account
for changes in contract specification and requirements. The Company reviews modification to contract in
conjunction with the original contract, basis which the transaction price could be allocated to a new
performance obligation, or transaction price of an existing obligation could undergo a change. In the event
transaction price is revised for existing obligation, a cumulative adjustment is accounted for.

r Dividend

The Company recognises a liability to make dividend distributions to equity holders of the Company when
the distribution is authorised and the distribution is no longer at the discretion of the Company. As per the
corporate laws in India a distribution is authorised when it is approved by the shareholders, However, Board of
Directors of a Company may declare interim dividend during any financial year out of the surplus in
statement of profit and loss and out of the profits of the financial year in which such interim dividend is sought
to be declared. A corresponding amount is recognised directly in other equity.

s Foreign Currencies Transactions and Translation

(i) Transactions in currencies other than the company's functional currency are recorded on initial
recognition using the exchange rate at the transaction date or a rate that approximates with it at the
transaction date. At each Balance Sheet date, foreign currency monetary items are reported at the
closing spot rate. Non- monetary items that are measured in terms of historical cost in foreign currency
are not translated. Exchange differences that arise on settlement of monetary items or on reporting of
monetary items at each Balance Sheet date at the closing spot rate are recognised in the Statement of
Profit and Loss in the period in which they arise except for:

A. exchange differences on foreign currency borrowings relating to assets under construction for future
productive use, are included in the cost of those assets when such exchange differences are

regarded as an adjustment to finance costs on those foreign currency borrowings; and
B. exchange differences on transactions entered into to hedge certain foreign currency risks.

(ii) Exchange rate as of the date on which the non-monetary asset or non-monetary liability is recognised on
payment or receipt of advance consideration is used for initial recognition of related asset, liability,
expense or income.

t 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 share. 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.

u Cost Recognition

Costs and expenses are recognized when incurred and have been classified according to their nature. The
costs of the company are broadly categorized in employee benefit expenses, cost of materials, changes in
inventories, depreciation and amortization expense and other expense.

v Non-current Assets Held for Sale

Non-current assets are classified as held for sale if their carrying amount will be recovered principally through
a sale transaction rather than through continuing use and sale is considered highly probable. A sale is
considered as highly probable when decision has been made to sell, assets are available for immediate
sale in its present condition, assets are being actively marketed and sale has been agreed or is expected to
be concluded within 12 months of the date of classification. Non-current assets held for sale are neither
depreciated nor amortised. Assets and liabilities classified as held for sale are measured at the lower of their
carrying amount and fair value less cost of disposal and are presented separately in the Balance Sheet.

w Key sources of estimation

The preparation of standalone financial statements in conformity with Ind AS requires that the management
of the company makes estimates and assumptions that affect the reported amounts of income and
expenses of the period, the reported balances of assets and liabilities and the disclosures relating to
contingent liabilities as of the date of the standalone financial statements. The estimates and underlying
assumptions made by the management are explained under respective policies. Revisions to accounting
estimates include useful life of property, plant and equipment & intangible assets, allowance for expected
credit loss, future obligations in respect of retirement benefit plans, expected cost of completion of
contracts, provision for rectification costs, fair value/recoverable amount measurement, tax provisions etc.
Difference, if any, between the actual results and estimates is recognised in the period in which the results
are known.

Rights, preferences and restrictions attached to shares

Equity Shares: The Company has one class of equity shares. Each shareholder is eligible for one vote per share
held. The dividend proposed by the Board of Directors is subject to the 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.

Nature of Reserve & Surplus
Capital Reserve

Reserve is primarily created on amalgamation as per statutory requirement.

Securities premium

Securities premium comprises premium received on issue of shares.

Capital Redemption Reserve

Capital Redemption Reserve is a statutory reserve created pursuant to the provisions of the Companies Act,
2013 on buy-back of shares out of distributable profits. The reserve can be utilized only for the issue of fully paid
bonus shares and is not available for distribution as dividend.

General Reserve

The Company created a general reserve in earlier years pursuant to the provisions of the erstwhile
IndianCompanies Act 1956, wherein certain percentage of profits were required to be transferred to general
reserve before declaring dividend. As per Companies Act, 2013, the requirement to transfer of profits to general
reserve is not mandatory. General reserve is a free reserve available for distribution subject to compliance with
the Companies (Declaration and Payment of Dividend) Rules, 2014.

Retained Earnings

Retained earnings comprise balances of accumulated (undistributed) profit and loss at each year end
andbalances of remeasurement of net defined benefit plans, less any transfers to general reserve.

Other items of OCI

Reserve created for OCI impact on gratuity and leave encashment liabilities

39. Defined contribution plans:

Provident fund and National Pension Scheme:

The Company's contribution to provident fund recognized in standalone statement of profit and loss of Rs.
81.34 Lakhs (Previous year Rs. 79.04 Lakhs)

Defined benefits plans:

The valuation of the plan assets and the present value of the defined benefit obligation have been
determined based on the actuarial valuation report issued by G.N. Agarwal Actuaries and Advisors dated 20
April 2026 for the year ended 31 March 2026. The present value of the defined benefit obligation and the
related current service cost and past service cost have been measured using the Projected Unit Credit
Method.

45. Financial Instrument

Financial Risk Management - Objectives and Policies

All financial instruments are initially recognized and subsequently re-measured at fair value as described below:

a. The fair value of investment in quoted Equity Shares is measured at quoted price or NAV.

b. All foreign currency denominated assets and liabilities are translated using exchange rate at reporting date.

The financial instruments are categorized into two levels based on the inputs used to arrive at fair value
measurements as described below:

Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities; and

Level 2: Inputs other than the quoted prices included within Level 1 that are observable for the asset or liability,
either directly or indirectly

Level 3: Techniques which use inputs that have a significant effect on the recorded fair value that are not based
on observable market data.

Financial risk management objectives and policies

The Company's principal financial liabilities comprise loans and borrowings, trade and other payables. The
main purpose of these financial liabilities is to finance the Company's operations. The Company's principal
financial assets include trade and other receivables, and cash and cash equivalents that are derived
directly from its operations.

Market Risk

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 prices comprises three types of risk: currency rate risk, interest rate risk.
Financial instruments affected by market risks include loans and borrowings, deposits, investments, and
foreign currency receivables and payables. The sensitivity analysis in the following sections relate to the
position as at reporting date. The analysis excludes the impact of movements in market variables on: the
carrying values of gratuity and other post-retirement obligations; provisions; and the non-financial assets
and liabilities. The sensitivity of the relevant Profit and Loss item and equity is the effect of the assumed
changes in the respective market risks. This is based on the financial assets and financial liabilities held as of
March 31,2020 and March 31,2019.

Interest Rate Risk

The exposure of the company's borrowing and derivatives to interest rate changes at the end of the
reporting period are as follows:

Foreign Currency Risk

The following table shows foreign currency exposures in USD and EURO on financial instruments at the end of
the reporting period. The exposure to foreign currency for all other currencies are not material.

Credit Risk

Credit risk is the risk that a customer or counterparty to a financial instrument fails to perform or pay the
amounts due causing financial loss to the company. Credit risk arises from company's activities in
investments, dealing in derivatives and outstanding receivables from customers.

The Company has a prudent and conservative process for managing its credit risk arising in the course of its
business activities. Sales made to customers on credit are generally secured through Letters of Credit and
advance payments.

Liquidity Risk

Liquidity risk is defined as the risk that the Company will not be able to settle or meet its obligations on time, or
at a reasonable price. The Company's treasury department is responsible for liquidity, funding as well as
settlement management. In addition, processes and policies related such risk are overseen by senior
management. Management monitors the Company's net liquidity position through rolling forecasts on the
basis of expected cash flows.

Reasons for Variances

1. Return on Equity Ratio: Return on Equity decreased despite higher profit after tax due to a significant increase

in average shareholders' funds during the year.

2. Trade Receiavble Turnover ratio : Trade Receivable Turnover Ratio increased due to growth in revenue from

operations along with a significant reduction in trade receivables, indicating faster collection efficiency
during the year.

3. Trade Payable Turnover Ratio : Trade Payables Turnover Ratio increased due to faster payment to suppliers
and improved working capital management during the year

4. Return on Capital Employed : Return on Capital Employed decreased due to increase in capital employed

during the year being higher than the growth in earnings before interest and tax

5. Return on Investment : Return on Investment ratio decreased mainly due to major acquisition of subsidiary
during the year, whereas investment income increased at a comparatively lower rate

Nature of CSR activities

1. Eradicating hunger, poverty, promotion of health care and animal welfare.

2. Activity regarding education, art & culture

3. Maintenance of old age homes and donation to orphanage.

Details of related party transactions

The Company has incurred CSR Expenditure in one of related party named " Shrutina Foundation ".

There are no provision is made with respect to a liability incurred by entering into a contractual obligation, the
movements in the provision during the year.

51. Other Statutory Disclosures as per the Companies Act, 2013

1. The Company has not granted any loans or advances in the nature of loans to its Promoters, Directors, Key
Managerial Personnel (KMPs), or related parties as defined under the Companies Act, 2013, either
individually or jointly with any other person, which are repayable on demand or without specifying any
terms or period of repayment, except for an inter-corporate deposit of ^14,40,00,000 granted to its
associate company, Essen Speciality Films Limited, during the year. The said deposit was fully recovered
during the year and no amount remained outstanding as at the year-end.

2. The Company does not have any benami property, where any proceeding has been initiated or pending
against the Company for holding any benami property.

3. The Company is not declared willful defaulter by any bank or financials institution or lender during the
year.

4. The Company does not have any transactions with companies struck off under section 248 of the
Companies Act, 2013 or section 560 of Companies Act, 1956.

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

6. The Company has compiled with the number of layers prescribed under clause (87) of section 2 of the
Companies Act 2013 read with Companies (Restrictions on number of Layers) Rules, 2017.]

7. There are no Scheme of Arrangements approved by the Competent Authority in terms of sections 230 to
237 of the Companies Act, 2013.

8. The Company has 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." Except
guarantee provided in favour of the term loan availed by Shrutina

9. 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."

10. The Company does not have any such transaction which is not recorded in the books of accounts 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).

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

12. As per the information and explanation given to us, the records examined by us and based on the
examination of the conveyance deeds/ registered sale deed provided to us We report that the title
deeds comprising all the Immovable Properties of building which are freehold and are held in the name
of the Company as at the Balance Sheet date

13. The Company has not revalued its Property, Plant and Equipments during the year.

14. The Company does not have any Intangible Assets under development as at the Balance Sheet Date.

52. Audit Trail

Pursuant to the proviso to rule 3(1) of the companies (Accounts) Rules,2014 known as the Companies
(Accounts) Amendment Rules, 2021, it is mandatory for the company to use only such accounting software
for maintaining its books of accounts which has a feature of recording audit trail of each and every
transaction, creating an edit log of each change made in books of accounts along with the date when
such changes were made and ensure that the audit trail cannot be disabled. Company uses SAP Enterprise
Resource Planning (ERP) software to maintain its books of account. SAP ensures an audit trail (edit log)
functionality and the same has been operational throughout the financial year for all relevant transactions
recorded in the application layer of the software. Further no instance of audit trail feature being tampered

with was noted during the year in respect of accounting software where the audit trail has been enabled.

The Company in the month of March, 2024 has also implemented Privileged Access Management tool
(PAM),onboarded the SAP database servers on the PAM tool and the process of monitoring database is
currently undertesting phase. The PAM is an identity management tool which focuses on the control,
monitoring, and protection of privileged accounts within an organization. The PAM tool saves complete
screen video recording sessions of all theadmin activities as soon as they authenticate on the PAM console
and connect to the target resources (Servers, Network Devices, Applications and Database) which acts as
an audit trail feature.

53. Regrouping

The Previous period figures have been re-grouped/ re-classified wherever required to confirm to current year
classification.

54. Subsequent Events

There are no subsequent Events that provide evidence of conditions existing at the date of the financial
statements and require adjustments to be made in the financial statements to accurately reflect the
conditions already present when the statements were prepared.

55. Operating Segment

As per Ind AS 108- "Operating Segment", the company has no Reportable Segment.