We have audited the accompanying financial statements ot UNIVERSAL AUTO FOUNDRY LIMITED (the Company"), which comprise the Balance Sheet as at March 31,2024. the Statement of Profit and Loss (including Other Comprehensive income), the Statement of Changes In Equity and the Statement of Cash Flows for the year ended on that date and a summary of significant accounting policies and ot he rexpU-m a tory information (hereinafter referred to as the "the financial state ments").
In our opinion and to the best of our information and according to the explanations given to us, the aforesaid financial statements give the information required by the Companies Act, 2013 (the "Act") in the manner so required and give a true and fair view in conformity with the Indian Accounting Standards prescribed under section 133 of the Act read with the Companies (Indian Accounting Standards) Rules, 2015. as amended, find AS") and other accounting principles generally accepted in India, of the state of affairs of Lhe Company as aL March 31,2024 and its profit, total comprehensive income, changes inequityand its cash flows forthe year ended on that date.
Basis for Opinion
We conducted our audit of the financial statements in accordance with the Standards on Auditing CSA"s) specified under section 143(10) of the Act, Our responsibilities under those Standards are further described in the Auditor's Responsibilities fo r the Aud it of t he Fi nanciaJ Stat ements sect ion of o u r report. We are independent of th e Co mpany i n accorda n ce wi th th e Code of Ethics issued by the Institute of Chartered Accountants of India ("ICAI") together with the ethical requirements that arc relevant to our audit of the financial statements under the provisions of the Act and the Rules made thereunder, and we have fulfilled our other ethical responsibilities in accordance with these requirements and the ICAi's Code of Ethics We be! ieve that the a u d it e vi dence obta i ned by us is su fficient and a p pro p riate to provide a basis for o u r audit o p in ion o n th e financial statements.
Key Audit Matters
Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the financial statements of the current period. These matters were addressed in the context of our audit of the financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.
We h ave determi ned the matte rs d esc ri bed be low to be the key audit tna tiers to be commu n ica ted i n o ur repo rt:
Key Au d i t M a tter
Revenue Recognition: Revenue from contracts with customers is recognized when control of the goods are transferred tu the customer<it an amount that reflects the consideration to which the Company expects to be entitled in exchange for those goods. Revenue is measured based on the transaction price, which is the consideration, adjusted for volume discounts, rebates, scheme allowances, price concessions, incentives, and returns, if any, as specified in the contracts with the customers. The risk is, therefore, that revenue may not be recognized in the correct period or that revenue and associated profit is misstated.
Auditor's Response
Our audit procedures included the following: - Understanding the policies and procedures applied to revenue recognition, as well as compliance thereof, including an analysis of the effectiveness of controls rclaLed to revenue recognition processes employed by the Company. Ý On sample basis, examining supporting documents for the sales transaction occurring during the year and ne.irthe end of the accounting period including the credit notes issued after period end to verify the occurrence and accuracy of revenue, whether revenue recording was consistent with the CondiLions,and whether it was in compliance with the Company's Policy. - Performed analytical procedure Lo identify Lhe unusual trends and also tested journal entries recognized in revenue focusing on unusual or irregular transactions. - On sample basis, examining supporting documents/approvals and calculation ofdiscounts, claims, rebates etc.
Emphasis of Matter
Wedrawatterition to Foot Note No.20to the financialstatement, wherein it hasstated thaisomeofthe balances of vendors are not completely reconciled for the reasons as stated in the said note.
Qur report is not modified for the above matter.
Information Other than the Financial Statements and Auditor's Re port Thereon
The Com parry's Board of Directors is responsible for the other information. The other information comprises Lhe information included in the Management Discussion and Analysis, Board's Report including Annexures to Board's Report,
Business Responsibility and Sustainability Report, Corporate Governance and Shareholder's Information, but does not include the fi n a nd a I statements andour auditor e re port the reo n.
Ouropininn on the fina ncial statements does notcoverthe other information a nd wedo not express any form of assurance con dusio n th ereon.
In connection with nuraudit of the financial statements. Our responsibility is to read the other information and. in doing so, con sLd e r wh et he r th e other information is mate naJ ly i^consistent wi th t he fi n a ncia 1 state m en ts or ou r knowledge obta i n ed during the course of our audit or otherwise appears to be materially misstated.
[f, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact, We have nothing to report in this regard.
Responsibilities of Management and Those Charged with Governance for the Financial Statements
The Company's Board of Directors is responsible for the matters stated in section 134(5) of the Act with respect to the preparation of these financial statements that give a true and fair view of the financial position, financial performance, including other comprehensive income, changes in equity'and cash flows of the Company in accordance with the Ind AS and other accounting principles generally accepted in India. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding Lhe assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the a ccou nt ing records, releva nl Lo Lh e prepa ra tio n and prese n la Lio n of Lh e fi na nc ta [ state m en ts iha t give a l rue and fa tr v iew and are free from material misstatement, whether due to fraud orerror.
in preparing the financial s La Lements, management is responsible For assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basts of account ing unless the Board of Directors either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.
Th e B oa rd of L> i rectors i s a Isn respo n s i b I e for o ve rsee i ng t he Co m pa ny s fi nanci a I report ingp rocess.
Auditor's Re s portsiblHtJes for the Audit of the Fina nc ial Statemen ts
Our bbj ecti ves a re to obta i n reaso nablejassurancce abo ut w heth er t he fi nanci a I sta te m en ts a s a wh o I e a re free from mate rial misstatement, whether due Lo fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance, but is not a guarantee that an audit conducted in accordance with SAs will always detecta material misstatement when it exists. Misstatements can arise from fraud orerror and are considered material if, i n d ividuaI ly or i n th e a ggregate, t hey cou J d reasona b ly be expec ted to i n fi u en ce t he econ o m ic d ec i s ions of use rs ta ken o n the basis of th esc fi n a ncia [ statemc n ts.
As part of an audit in accordance with SAs, we exercise professional judgment and maintain professional skepticism throughout the audit. We aEso:
r Identify and assess the risks of material misstatement of the financial statements. Whether due to fraud orerror, design a nd pe rfor m audit proced u res resp o ns i ve to th ose r i sks. a nd obta in audit evidence that is su fficien t a nd appropriate to provide a basis for our opinion. The risk of not delecting a material misstatemenL resulting from fraud is higher than for one resulting From error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of i nterna I control.
e 0 bta in a n u nde rata n d i ng of i nterna] fi nancial cont ro l rel evant to the a ud it i n orde r to design a u d it p rocedures tha t a re appropriate in t he circumstances. Linder section l43(3,J(.ii of the Act, we are also responsible for expressing our opinion on whether the Company has adequate internal financial controls with reference to financial statements in place and th e o pe ra ting effectiven ess of such con trol s,
e Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the management.
^ Conclude on the appropriateness of management's use of the going concern basts of accounting and. based on the aud i t ev idenc e obtai n ed. wh ether a ma teria i u nc ertai n ty ex i sts related to event s or cond i tio ns tha t m ay ca st s ign i fi ca nt doubt on the Company's ability lo continue as a going concern. If we conclude that a material uncertainly exists, wc are required to draw attention in our auditor's report to the related disclosures in the financial statements or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the aud it evidence obtained up to the date of our auditor's report However, future events or conditions may cause the Company to cease to continue as a goingconcern.
Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transactions and events in a manner that achieves fair presentation.
Materiality is the magnitude of misstatements in the financial statements that, individually or in aggregate, makes iL probable that the economic decisions of a reasonably knowledgeable user of the Financial statements maybe influenced. We consider quantitative materiality and qualitative Factor? in(i) planningthescope ofourauditvyprk and in evaluating the results of our work; and (ii)to evaluate theeffectofany identified misstatements in theft nancial statements.
Wecomittunica te wi th t h ose c ha Tged. wit h governs nee regard mg a m on g ot h e r m atters .theplanned scope and ti m i n g of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.
We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them ail relationships and other matters that may reasonably be thought to bear on ou r indepe ndencerand where applicable, related &a Feg yards.
From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the financial statements of the current period and arc therefore the key audit maLters. We describe these matters in our auditor's report unless law or regulation precludes public disclosure about the matter or when in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication,
Report on O ther Legal and Regu 1 a tory Requi remen ts
1. As requ i red by t he Co m pani es (A ud ito r's Re po rtf O rd e r. 20 2 0 (the "O rd er") issued by t he Ce n tra I Govern m e n t i n term s of Section 143(11) of the Act, we give in "Annexure A" a statement on the matters specified in paragraphs 3 and 4 of the Order.
A. As required by Section i 4 3(3) of the Act, based nnourauditwe report that:
a) We have sought and obtained all the information and explanations which to the best of our know ledge and belief we re n ecessa ry for the pu rposes of ou r aud i t.
b) Tnouropinion. proper books ofaccount as required bylawhavebeen kept by the Company so faras ilappearsfrom o li r e xam i na tin n o f th ose books.
c) The Balance Sheet, the Statement of Profit and Loss including Other Comprehensive income. Statement of Changes in Equity and the Statement of Cash Flows dealt with by this Report are in agreement with the books of account.
d) I n our opi nionr the aforesaid fmanci al sta temen Ls com ply wi Lh the I nd AS speci bed unde r Section 133 of the Act.
e) On the basis of the written representations received from the directors as on March 31,2024 taken on record by Lhe Board orDirecLors, none of Lhc directors is disqualified as on March 31,2024 from being appointed as a d i rector i n te rm s i) F Sect i on 16 4(2) o F the Act.
f) With respect to the adequacy of the internal financial controls with reference to financial statements of the Compa ny and th e op era ti n g effectiveness of such control s. refe r to our sepa rate Re po rt in “Annexure B10 u r report exp res? fisaminmndi Red npiniononthead eqi i acy a nd ope ra ti ng e ffec t i ven ess o f t he Compa fly's in tern a I fi na ti c la I controls with reference to financial statements.
g) With respect to the other matters to be included in the Auditor's Report in accordance with the requirements of section 197(16) of the Act, as a mended:
In our opinion and to the best of our information and according to the explanations given to us, the remuneration paid by the Company to its directors during ihe year is in accordance with theprovisfonsoFsectfon [97 gFtheAct,
B. With respect to the other matters to be included in the Auditor's Report in accordance with Rule 11 of the Companies
(Auditand Auditors) Rule?;, 2GH, as amended, in our opinion and to the best of our information and according to the explanations given to us:
(i) The Com pa ny has d i sd used th e i m pac t o f pen d i n g t i t i ga tions on i ts fi na n Cial posi do n i n its Fi nancial sta te me n ts. Refernoleno. 35 contingent liabilities to lhe financial statements.
(ii) The Companydoes not have any king lerm contracts requiring a provision for material foreseeable losses.
(iii) The Company docs not have any amounts required to be transferred to the Investor Education and Protection Fund.
(iv) (a) The Management has represented that, to the best of its knowledge and belief, other than as disclosed in the
note 2.24 to the Financial Statements, no funds (which are material cither individually or in Lhe aggregate) have been advanced or loaned or invested (either from borrowed funds or share premium or any cither sources or kind of funds) by the Company to or in any other person or entity, including foreign entity ("Intermediaries"), with the understanding, whether recorded in writing or otherwise, that the Intermediary shall, whether, directly or indirectly lend or invest in other persons orcntilies 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:
(b> The Management has represented, that, to the best of its knowledge and belief, no funds (which are material either individually or in the aggregate) have been received by the Company from any person or entity, including foreign entity t 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 CUJtimate beneficiaries") or provide any guarantee, security or the like on behalfofthe Ultimate Beneficiaries.
(cj Based on the audit procedures that have been considered reasonable and appropriate in the circumstances, noth i n g ha s co me to ou r not ice tha t h a s ca u sed us to bel ieve t ha 11 he representat iaafe under sub-clause (i) and (i i) of Rule 11(c). as provided under (a) and (b) above, contain any material misstate me nL.
v, No dividend has been declared or paid during the year by the Company, The Board of Directors of the Company has n o t proposed any d ivi dend for the financial yea r 2 02 3 - 20 2 4.
v i. The repo rti n g u n d er Ku I e 11( g) of t be Com pa n ies (Aud it £r Aud itors) Ku les, 2014 is a pplica b ie fro m 1st Apri 1,2 02 3,
Based on our examination, which included test checks, except for the instances mentioned below, the company has used accounting software for maintaining its books of account for the financial year ended March 31, 2024 which has a feature of recording audit tra it (edit log) facility and the same has operated throughout the year for all relevant transactions recorded in the respective software.
a. The feature of recording audit trail (edit Jog) facility was not enabled at the database level to Jog any direct data changes for the supporting accounting software.
For Goverdhan Agarwal & Co.
Chartered Accountants
Firm Registration No: OOS519C
Sd/-
(MUKESH KUMAR GUPTA)
PARTNER
M.No,r410615
Date: 270S.2024
Place: Jaipur
UDIN j24410GlSBKtXLZ3344
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