20. Provisions and Contingencies:

a) A provision is recognized when there is a present obligation as a result of a past event and it is probable that an outflow of resources
will be required to settle the obligation, in respect of which a reliable estimate can be made. Provisions are reviewed at each balance
sheet date and adjusted to reflect the current best estimate.

b) If the effect of time value of money is material, provisions are discounted using a current pre-tax rate that reflects, when appropriate,
the risks specific to the liability. When discounting is used, the increase in the provision due to the passage of time is recognized as
a finance cost.

c) A disclosure for a contingent liability is made when there is a possible or present obligation that may but probably will not require

an outflow of resources. When there is a possible obligation in respect of which the likelihood of outflow of resources is remote, no
provision or disclosure is made.

d) Contingent assets: A contingent asset is a possible asset that arises 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. Contingent assets

are not recognized but disclosed only when an inflow of economic benefits is probable.

21. Segment Reporting

Operating segments are reported in a manner consistent with internal reporting provided to the chief operating decision maker. The Board
of Directors of the Company has been identified as chief operating decision maker, which assesses the financial performance and position
of the Company and makes strategic decisions.

22. Exceptional items

Exceptional Items include income/expenses that are considered to be part of ordinary activities, however of such significance and nature
that separate disclosure enables the users of financial statements to understand the impact in more meaningful manner. Exceptional Items
are identified by virtue of their size, nature and incidence.

23. Rounding off amount

All amounts disclosed in the financial statements and notes have been rounded off to the nearest crores as per the requirement of
Schedule III, unless otherwise stated.

24. Critical estimates and judgements

In the application of the Company's accounting policies, the Management of the Company are required to make judgements, estimates
and assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The estimates and
associated assumptions are based on historical experience and other factors that are considered to be relevant. Actual results may differ
from these estimates. The estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates
are recognized in the period in which the estimate is revised if the revision affects only that period, or in the period of the revision and future
periods if the revision affects both current and future periods.

Information about critical judgments in applying accounting policies, as well as estimates and assumptions that has the most significant
effect to the carrying amounts of assets and liabilities within the next financial year, are included in notes no.34:

a) Measurement and likelihood of the occurrence of provisions and contingencies.

b) Carrying value of receivables, loans and advances and their respective impairment.

c) Measurement of Provision required for Defect Liability Period and Liquidated Damages Payable as per Contracts.

d) Charging/ recognizing as receivables of Bank Guarantees invoked by banks.

e) Estimation of current tax expenses and Payable.

f) Financial Instruments.

g) Valuation of Inventories

h) The amount of liabilities recognized in the financial statements in respect of unrecognized claims preferred by financial and operational
creditors.

25. Fair value measurements

The Company applies valuation techniques to determine the fair value of financial instruments (where active market quotes are not
available) and non-financial assets. This involves developing estimates and assumptions consistent with the market participants to price
the instrument. The Company's assumptions are based on observable data as far as possible, otherwise on the best information available.
Estimated fair values may vary from the actual prices that would be achieved in an arm's length transaction at the reporting date.

26. Employees Stock Option Scheme

Stock Options are granted to eligible employees under the JSL Employee Stock Option Scheme 2021 (“JSL ESOS 2021”) as may be
decided by the Nomination & Remuneration Committee. Under Ind AS, the cost of JSL ESOS 2021 is recognized based on the fair value
of Stock Options as on the grant date. The fair value of Stock Options granted is recognized in the Statement of Profit and Loss over the

period in which the performance and / or service conditions are fulfilled for employees of the Company (other than those out on deputation).

In case of items provided for in the approved resolution plan, reflected in the Year 2025-26 and 2024-25 under Section 2 of the Table above,
if such liability crystalizes then, as per the Approved Resolution Plan, all such amounts accrued shall be treated and serviced as unsecured
debt of the Company and settled at 42% (as shown in the above Table) to be repaid from the 6th to 12th year. However, these matters are
pending for decision before various judicial and legislative authorities. Accordingly, the management has assessed that the possibility of
outflow of resources embodying economic benefits with respect to such claims / debts is remote.

Other than the claims and settlements pertaining to the Company that have been envisaged and set out under this Approved Resolution
Plan, no other payment or settlement, of any kind, shall be made to any other person or entity in respect of any other claims (whether
not admitted or filed with the Resolution Professional) and all such claims against the Company along with any related legal proceedings
stand irrevocably and unconditionally abated, settled and extinguished. This condition relating to such extinguishment of claims and
related legal proceedings are irrevocably and unconditionally abated, settled and extinguished, forms an integral part of the order by
the NCLT approving the Approved Resolution Plan and shall accordingly be binding on all the stakeholders including the Company, its
employees, workmen, financial and operational creditors, guarantors, security providers, and other stakeholders. The treatment accorded
to the persons receiving settlement under this Approved Resolution Plan shall constitute an absolute discharge and settlement of the dues
to which they pertain and shall be the full and final performance, discharge and satisfaction of all obligations relating thereto.

Gratuity and Leave Encashment
Gratuity

The Company provides for gratuity, a defined benefit plan, to eligible employees in accordance with its policy and applicable labour
laws. Employees are eligible for gratuity upon completion of five years of continuous service, while fixed-term employees are eligible
upon completion of one year of service.

The gratuity liability is determined based on an actuarial valuation carried out at the reporting date by an independent actuary, based
on employee data provided by the Company.

Leave Encashment

The details of employee benefits in the nature of leave entitlements of employees are based on the policies of the company. The
assessment of the liability and costs is done at each reporting date. On an annual basis the same is being done by an external actuary
based on employee details as provided by the company.

A. Balance Sheet

The assets, liabilities and surplus/(deficit) position of the defined benefit plans at the Balance Sheet date were:

Gratuity is in the nature of defined benefit plan, Re-measurement gains / (losses) on defined benefit plans is shown under OCI
as items that will not be reclassified to profit or loss and also the income tax effect on the same.

Presentation in Statement of Profit & Loss and Balance Sheet:

Expense for service cost, net interest on net defined benefit liability (asset) is charged to Statement of Profit & Loss. IND AS 19
does not require segregation of provision in current and non-current, however net defined liability/(Assets) is shown as current
and non-current provision in balance sheet as per IND AS 1.

8. The Company investment, in the equity share capital of Jyoti Structures Africa (Pty) Limited (JS Africa) a subsidiary company, as on March
31,2026 and as on March 31,2025 was Rs. 419/-. The Company has also advanced loan of Rs.50.97 Cr (P.Y. Rs. 51.12 Cr) to JS Africa.
Though the net worth of the subsidiary has been eroded, the Company has not provided for diminution in value of investment of Rs.
419/- and no provision is made against outstanding loans and dues of the said company. Considering the implementation of the approved
resolution plan for the Company to begin with which turnaround of the subsidiaries is also expected to happen, the management is of the
opinion that these accumulated losses of that company are temporary in nature and will be recovered in the near future. However, the
audited financial statements and / or other details are not available and there is no activity.

9. The Company investment, in the equity share capital of Jyoti Structures FZE, Dubai a subsidiary company, as on March 31,2026 and as
on March 31,2025 was Rs. 3.17 Cr. Though the net worth of the subsidiary has been eroded, the Company has not provided for diminution
in value of investment of Rs. 3.17 Cr. Considering the implementation of the approved resolution plan for the Company to begin with
which turnaround of the subsidiaries is also expected to happen, the management is of the opinion that these accumulated losses of that
company are temporary in nature and will be recovered in the near future. However, the audited financial statements and / or other details
are not available.

10. Considering the long-term nature of investments and in absence of availability of audited financial statements, no provision has been
considered necessary by the management in respect of impairment in the value of investment as well as loans and advance except for the
Subsidiaries/Joint Venture (JV) mentioned in the following table other than to the extent provided for -

The carrying amount of financial assets and financial liabilities measured at amortised cost in the financial statements are a reasonable
approximation of their fair values since the Company does not anticipate that the carrying amounts would be significantly different
from the values that would eventually be received or settled.

(b) Financial Risk Management - Objectives and Policies

The Company's financial liabilities comprise mainly of borrowings, trade payables and other payables. The Company's financial
assets comprise mainly of investments, cash and cash equivalents, other balances with banks, loans, trade receivables and other
receivables.

The Company's business activities are exposed to a variety of financial risks, namely liquidity risk, market risks and credit risk. The
Board of Directors (‘Board') oversee the management of these financial risks through its Risk Management Committee. The Risk
Management Policy of the Company formulated by the Risk Management Committee are established to identify and analyse the risks
faced by the Company, to set and monitor appropriate risk limits and controls, periodically review the changes in market conditions
and reflect the changes in the policy accordingly.

A) 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 risk comprises three types of risks: interest rate risk, currency risk and other price risk. Financial instruments affected
by market risk include borrowings, investments, trade payables, trade receivables and loans.

i) Interest Rate Risk:

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market
interest rates.

According to the Company interest rate risk exposure is only for floating rate borrowings. For floating rate liabilities, the analysis
is prepared assuming the amount of the liability outstanding at the end of the reporting period was outstanding for the whole year.
A 50 basis point (bps) increase or decrease is used when reporting interest rate risk internally to key management personnel and
represents management's assessment of the reasonably possible change in interest rates.

ii) Foreign Currency Risk:

Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate due to changes in foreign exchange
rates.

The Company has obtained foreign currency loans and has foreign currency trade payables and receivables and is therefore, exposed
to foreign exchange risk. Certain transactions of the Company act as a natural hedge as a portion of both assets and liabilities are
denominated in similar foreign currencies. For the remaining exposure, the Company does not enter into any forward exchange
contract or into any derivative instruments for trading or speculative purposes.

The Company is mainly exposed to changes in USD and EUR. The below table demonstrates the sensitivity to a 5% increase or
decrease in the above-mentioned currencies against INR, with all other variables held constant. The sensitivity analysis is prepared on
the net unhedged exposure of the Company as at the reporting date. 5% represents the management's assessment of a reasonably
possible change in the foreign exchange rates.

iii) Other Price Risk:

Other price risk is the risk that the fair value of a financial instrument will fluctuate due to changes in market traded price.

The Company is mainly exposed to the price risk due to its investment in mutual funds. The price risk arises due to uncertainties about
the future market values of these investments.

On March 31,2026, the investment in mutual funds amounts to Rs. 0.86 Cr (P.Y Rs. 0.88 Cr.)

A 5% increase in market prices would have led to approximately an additional gain of Rs. 0.04 Cr (P.Y Rs. 0.04 Cr) in Other
Comprehensive Income.

A 5% decrease in prices would have led to an equal but opposite effect.

B) Credit Risk

Credit risk refers to risk that a counter party will default on its contractual obligations resulting in financial loss to the Company.

To manage this, the Company periodically assesses financial reliability of customers and other counter parties, taking into account
the financial condition, current economic trends, and analysis of historical bad debts and ageing of financial assets. Individual risk
limits are set and periodically reviewed on the basis of such information. The Company considers the probability of default upon
initial recognition of asset and whether there has been a significant increase in credit risk on an ongoing basis through each reporting
period. To assess whether there is a significant increase in credit risk the Company compares the risk of default occurring on asset
as at the reporting date with the risk of default as at the date of initial recognition. It considers reasonable and supportive forwarding¬
looking information such as:

i) Actual or expected significant adverse changes in business,

ii) Actual or expected significant changes in the operating results of the counterparty,

iii) Financial or economic conditions that are expected to cause a significant change to the counterparty's ability to meet its obligations,

iv) Significant increase in credit risk on other financial instruments of the same counterparty,

v) Significant changes in the value of the collateral supporting the obligation or in the quality of the third-party guarantees or credit
enhancements.

Financial assets are written off when there are no reasonable expectations 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 recognized as income in the statement of profit and
loss.

The Company measures the expected credit loss of trade receivables and loan from individual customers based on historical trend,
industry practices and the business environment in which the entity operates. Loss rates are based on actual credit loss experience
and past trends.

C) Liquidity Risk

Liquidity Risk is defined as the risk that the Company will face in meeting its obligations associated with its financial liabilities. The
processes and policies related to such risks are overseen by the management. The management monitors the Company's net
liquidity position through rolling forecasts on the basis of expected cash flows.

Maturity profile of financial liabilities:

18. Engineering Procurement Construction (EPC) Contracts provide for levy of liquidity damages (LD) to the extent of 10% of the contract
value for delay in execution of the contracts. As a trade practice, on completion of the contracts such delay is generally condoned by
granting time extension. It is not possible to ascertain the quantum of the LD for the projects where execution is delayed, as the proposals
for time extension are pending with the customer sand in the past, time extensions have been granted in similar circumstances. However,
considering recurring/persisting delays it is not possible to assess the amount for which the company would be liable. Hence, the same
has not been provided for.

19. Previously, the Company had a process whereby periodically all long-term contracts are assessed for material foreseeable losses. At
the year end, the Company reviewed and ensured that adequate provision as required under any law /accounting standards for material
foreseeable losses on such long-term contract has been made in the books of accounts. The Company has not entered into a derivative
contract during the year.

20. The Group is operating in only one primary business segment of power transmission and distribution wherein it manufactures/deals in
various components/equipment's and constructs infrastructure related to power transmission. As such there are no separate primary
reportable or identifiable business segments. However, there are operations in different geographical segments of which details are given
as below:

26. The Company has not transferred unclaimed dividend amounts to Investor Education and Protection Fund as per the requirement of
the Companies Act, 2013. as the Company is in midst of shareholder details' collation. The company is under process of transferring an
amount of Rs 0.18 Cr to investor education protection fund.

27. Under the Approved Resolution Plan, Company has the right to prepay the restructured debt owed to the Financial Creditors at any time,
at the net present value (NPV) of the principal outstanding. With respect to the assenting Secured FCs, as part of restructuring, secured
Non-Convertible Debenture (NCD's) at face value of Rs. 1 Lac each, were issued. The value of NCD's including redemption premium
as on March 31,2026 was Rs. 1,979.39 Cr (As on March 31,2025 was Rs. 1,868.56 Cr) is reflected in Note No 15 & 19 under Financial
Liabilities - Long Term and Short-Term Borrowings. The assenting secured financial creditors were to be paid their dues over a period of 12
years. Towards this, Non-Convertible Debentures (NCDs) were issued at a face value of the NPV as on November 9, 2021. These NCDs
are payable at the Net Present Value which is reflected in Financials. The increase in net present value due to passage of time is shown
as the NCD Remeasurement effect due to increase in net present value of these NCDs.

During the year, the Company entered into a One Time Settlement (OTS) with certain lenders, of a specific series of NCD pursuant to which
1,149 Non-Convertible Debentures (NCDs) were settled for an aggregate consideration of ?4.12 crores. This was also duly disclosed to
stock exchanges.

28. In FY 2021-22, a Debenture Redemption Reserve of Rs. 1,813.38 Cr was created for redemption premium payable on Non-Convertible
Debenture (NCD's). The NCD's are repayable at any point of time at Net Present Value as per Resolution Plan. In March 31,2026, a sum
of Rs. 159.39 Cr (As on March 31,2025 Rs 138.41 Cr.) being changes in remeasurement of NCD at NPV fair value was transferred from
Debenture Redemption Reserve to Financial Liabilities Long Term Borrowings Account.

29. The Financial Creditors of Rs. 2083.17 Cr. (Preceding financial year Rs. 1995.72 Cr.) as per Note No 15 & 19 includes amount payable to
Dissenting Financial Creditors, various financial creditors under IDBI Trusteeship, NCDs and amount payable to financial creditors.

30. The financial statements include the assets, liabilities, income and expenditure in respect of seven branches. The company has included
the figures / amounts for the year ended on March 31, 2026 in respect of its five branches (management certified) at Bhutan I, Kenya,
Tanzania, Georgia, South Africa and two branch (Audited) Uganda and Tunisia.

31. The Company has repaid its outstanding dues to the Struck off Companies u/s 248 of the Companies Act 2013, during the previous year.
The Balance Outstanding with the Companies Struck off is as under:

32. The Company does not have any benami property, where any proceeding has been initiated or pending against the Company for holding
any benami property under the benami transactions (Prohibition) Act, 1988 (45 of 1988) and rules made thereunder.

33. The Company has not traded or invested in Crypto currency or Virtual Currency during the current / Preceding financial year.

34. 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.

35. 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 to or on behalf of the ultimate beneficiaries

36. There is no income surrendered or disclosed as income during the current year or previous year in the tax assessments under the Income
Tax Act, 1961, that has not been recorded in the books of account

37. The resolution plan stood implemented on November 9, 2021 with the infusion of equity by the investors, issuance of securities to financial
creditors and transfer of control to the present management, in terms of the resolution plan. The payments to the financial creditors,
operational creditors and employees' dues are set out in resolution plan.

38. The Company has complied with the number of layers prescribed under clause (87) of section 2 of the Act read with the Companies
(Restriction on number of Layers) Rules, 2017.

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

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

41. Previous year's figures have been re-arranged, re-grouped and re-classified, wherever necessary.