We have audited the accompanying Standalone Financial
Statements of Precision Wires India Limited ("the Company"),
which comprise the Balance Sheet as at March 31, 2026, and
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 then ended and
Notes to the Standalone Financial Statements and a summary
of the significant accounting policies and other explanatory
information.
In our opinion and to the best of our information and according
to the explanations given to us,
i) the Statement, together with the notes thereon are
presented in the format prescribed under Regulation 33 in
this regard; and
ii) the aforesaid standalone 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, ("Ind AS") and other accounting principles
generally accepted in India, of the state of affairs of the
Company as at March 31, 2026, and its profit, total
comprehensive income, the changes in equity and its cash
flows for the year ended on that date.
Basis of Opinion
We conducted our audit in accordance with the Standards on
Auditing (SAs) specified under Section 143(10) of the Act. Our
responsibilities under those SAs are further described in the
'Auditor's Responsibilities for the Audit of the Standalone
Financial Statements' section of our report. We are independent
of the Company in accordance with the Code of Ethics issued by
the Institute of Chartered Accountants of India ('ICAI') together
with the independence requirements that are relevant to our
audit of the Standalone Financial Statements under the
provisions of the Act and the Rules thereunder and we have
fulfilled our other ethical responsibilities in accordance with the
provisions of the Act. We believe that the audit evidence we
have obtained is sufficient and appropriate to provide a basis for
our opinion.
KeyAudit Matter
Key audit matters are those matters that, in our professional
judgment, were of most significance in our audit of the
standalone financial statements of the current period. These
matters were addressed in the context of our audit of the
standalone financial statements as a whole, and in forming our
opinion thereon, and we do not provide a separate opinion on
these matters.
Assessment of Recoverability of Trade Receivables
The aggregate Trade Receivables as at 31st March, 2026 were
Rs. 92,540.51 lakhs which are mostly unsecured and constitute
approx. 41.14% of the GrossAssets of the Company.
The Company reviews the recoverability of the Trade
Receivables periodically including at the Balance Sheet Date.
Receivables which are not expected to be recovered are written
off as Bad Debts. In addition to the Bad Debts written off,
provision is made in the Accounts for Expected Credit Loss
based on past record of irrecoverable Trade Receivables.
We have considered this to be a key audit matter as the amount
of Trade Receivables are mostly unsecured and constitute the
largest component of the Balance Sheet and therefore have a
significant impact on the financial position of the Company.
HowtheAudit addressed the Key Audit matters
The audit procedures included, amongst others, review of age
analysis of Trade Receivables, review of Trade Receivables
overdue by more than a certain period, discussion with
management of the reasons for such overdue trade receivables
and the efforts made for recovery of the same.
The audit procedures also include , checking recovery of Trade
Receivables as at Balance Sheet Date, subsequently, up to the
date of the audit.
Other Information
The Company's Board of Directors is responsible for the other
information. The other information comprises the information
included in the Annual Report, but does not include the
Standalone Financial Statements and our auditor's report
thereon.
Our opinion on the Standalone Financial Statements does not
cover the other information and we do not express any form of
assurance conclusion thereon.
In connection with our audit of the standalone Ind AS financial
statements, our responsibility is to read the other information
and, in doing so, consider whether such other information is
materially inconsistent with the financial statements or our
knowledge obtained in the audit or otherwise appears to be
materially misstated. If, 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.
Management's Responsibility for the Standalone Financial
Statements
The Company's Board of Directors is responsible for the matters
stated in Section 134(5) of the Companies Act, 2013 ("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, cash flows
and changes in equity of the Company in accordance with the
Indian Accounting Standards (Ind AS) prescribed under section
133 of the Act read with the Companies (Indian Accounting
Standards) Rules, 2015, as amended, 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 the 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 accounting records, relevant
to the preparation and presentation of the standalone financial
statements that give a true and fair view and are free from
material misstatement, whether due to fraud or error.
In preparing the Standalone Financial Statements, 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 basis of accounting
unless management either intends to liquidate the Company or
to cease operations, or has no realistic alternative but to do so.
The Board of Directors are also responsible for overseeing the
Company's financial reporting process.
Auditor's Responsibilities for the Audit of the Standalone
Financial Statements
Our objective is to obtain reasonable assurance about whether
the Standalone Financial Statements as a whole are free from
material misstatement, whether due to 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
detect a material misstatement when it exists. Misstatements
can arise from fraud or error and are considered material if,
individually or in the aggregate, they could reasonably be
expected to influence the economic decisions of users taken on
the basis of these standalone Ind AS financial statements.
As part of an audit in accordance with SAs, we exercise
professional judgment and maintain professional skepticism
throughout the audit. We also:
• Identify and assess the risks of material misstatement of
the Standalone Financial Statements, whether due to fraud
or error, design and perform audit procedures responsive
to those risks, and obtain audit evidence that is sufficient
and appropriate to provide a basis for our opinion. The risk
of not detecting a material misstatement resulting from
fraud is higher than for one resulting from error, as fraud
may involve collusion, forgery, intentional omissions,
misrepresentations, or the override of internal control.
• Obtain an understanding of internal control relevant to the
audit in order to design audit procedures that are
appropriate in the circumstances. Under Section 143(3)(i)
of the Act, we are also responsible for expressing our
opinion on whether the Company has adequate internal
financial controls system in place and the operating
effectiveness of such controls.
• Evaluate the appropriateness of accounting policies used
and the reasonableness of accounting estimates and
related disclosures made by management.
• Conclude on the appropriateness of management's use of
the going concern basis of accounting and, based on the
audit evidence obtained, whether a material uncertainty
exists related to events or conditions that may cast
significant doubt on the Company's ability to continue as a
going concern. If we conclude that a material uncertainty
exists, we 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 audit 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 going concern.
• Evaluate the overall presentation, structure and content of
the Standalone Financial Statements, including the
disclosures, and whether the Standalone Financial
Statements represent the underlying transactions and
events in a manner that achieves fair presentation.
Materiality is the magnitude of misstatements in the standalone
financial statements that, individually or in the aggregate, make
it probable that the economic decisions of a reasonably
knowledgeable user of the standalone financial statements may
be influenced. We consider quantitative materiality and
qualitative factors in
(i) planning the scope of our audit work and in evaluating the
results of our work; and
(ii) to evaluate the effect of any identified misstatements in the
standalone financial statements.
We communicate with those charged with governance of the
Company, regarding, among other matters, the planned scope
and timing 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 all relationships and other matters that may reasonably be
thought to bear on our independence, and where applicable,
related safeguards.
From the matters communicated with those charged with
governance, We determine those matters that were of most
significance in the audit of the Standalone Financial Statements
for the financial year ended March 31, 2026 and are therefore
the key audit matters. We describe these matters in our
auditor's report unless law or regulation products 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 Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor's Report) Order,
2020 ("the Order") issued by the Central Government in
terms 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 143(3) of the Act, based on
our audit we report that:
a) We have sought and obtained all the
information and explanations which to the best
of our knowledge and belief were necessary for
the purposes of our audit.
b) in our opinion, proper books of account as
required by law have been kept by the
Company so far as it appears from our
examination of those 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 Flow dealt with by this
Report are in agreement with the relevant
books of account.
d) in our opinion, the aforesaid financial
statements comply with the Indian Accounting
Standards prescribed under section 133 of the
Act and Rule 7 of the Companies (Accounts)
Rules, 2014;
e) on the basis of the written representations
received from the directors of the Company as
on March 31, 2026 taken on record by the
Board of Directors, none of the directors is
disqualified as on March 31, 2026 from being
appointed as a director in terms of Section
164(2) oftheAct.
f) with respect to the adequacy of the internal
financial controls over financial reporting of the
Company and the operating effectiveness of
such controls, refer to our separate Report in
"Annexure B". Our report expresses an
unmodified opinion on the adequacy and
operating effectiveness of the Company's
internal financial controls over financial
reporting.
g) In our opinion and according to the information
and explanations given to us, the remuneration
paid by the Company to its directors during the
current year is in accordance with the
provisions of section 197 of the Act. The
remuneration paid to any director is not in
excess of the limit laid down under Section 197
of the Act.
B. With respect to the other matters to be included in the
Auditor's Report in accordance with Rule 11 of the
Companies (Audit and Auditors) Rules, 2014, as
amended, in our opinion and to the best of our
information and according to the explanations given
to us:
i. The Company has disclosed the impact of
pending litigations on its financial position in its
standalone financial statements.
ii. The Company has made provision, as required
under the applicable law or accounting
standards, for material foreseeable losses, if
any, on long-term contracts including derivative
contracts.
iii. There has been no delay in transferring
amounts, required to be transferred, to the
Investor Education and Protection Fund by the
Company.
iv. a) The Management has represented that, to
the best of its knowledge and belief, as
disclosed in notes to the accounts, 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 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;
b) The Management has represented, that, to
the best of its knowledge and belief, as
disclosed in the notes to accounts, 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 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 Funding Party ("Ultimate
Beneficiaries") or provide any guarantee,
security or the like on behalf of the
Ultimate Beneficiaries; and
c) Based on such audit procedures
performed that have been considered
reasonable and appropriate in the
circumstances, nothing has come to our
notice that has caused us to believe that
the representations under clause (i) and
(ii) of the Rule 11(e) contain any material
mis-statement.
v) a) The interim dividend declared and paid by
the Company during the year and until the
date of this audit report is in accordance
with the Section 123 of the Companies
Act, 2013.
b) The final dividend paid by the Company
during the year in respect of the same
declared for the previous year is in
accordance with Section 123 of the
Companies Act, 2013 to the extent it
applies to payment of dividend.
As stated in the notes to the financial
statements, the Board of Directors of the
Company have proposed final dividend for
the year which is subject to the approval of
the members at the ensuing Annual
General Meeting. The dividend declared is
in accordance with section 123 of the Act
to the extent it applies to declaration of
dividend.
vi) Based on our examination which included test
checks, the company has used accounting
software for maintaining its books of account,
which have a feature of recording the audit trail
(edit log) facility and the same has been
operated throughout the year for all relevant
transactions recorded in the respective
software.
Further, for the periods where audit trail (edit log) facility was
enabled and operated throughout the year for the respective
accounting software, we did not come across any instance of
the audit trail feature being tampered with and the audit trail has
been preserved by the Company as per the statutory
requirements for record retention.
ForSRDivatiaandCo.
Chartered Accountants
Firm Regn No. 102646W
Shalin S Divatia
Partner
Membership No. 039755
UDIN: 26039755VWMMZR5525
Place : Mumbai
Date : 23rd May, 2026
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