N. Provisions, Contingent Liabilities & Contingent Assets

Provisions are recognised when the Company has a present obligation (legal or constructive) as a result of a past event, it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the obligation.

The expense relating to a provision is presented in the Statement of Profit and Loss.

A contingent liability is disclosed in case of:

• a present obligation arising from past events, when it is not probable that an outflow of resources will be required to settle the obligation;

• a present obligation arising from past events, when no reliable estimate is possible;

• A possible obligation arising from past events, unless the probability of outflow of resources is remote.

The Company does not recognise a contingent liability but discloses its existence in the financial statements.

Contingent asset is not recognised in financial statements since this may result in the recognition of income that may never be realised. However, when the realisation of income is virtually certain, then the related asset is not a contingent asset and is recognized.

Provisions, contingent liabilities, contingent assets and commitments are reviewed at each Balance Sheet date. 1.2 Recent Accounting Pronouncements

The Ministry of Corporate Affairs has notified Companies (Indian Accounting Standards) Amendment Rules, 2023 dated March 31, 2023, to amend the following Ind AS which are effective for annual periods beginning on or after April 01,2023. The Company applied these amendments for the first-time.

Ý Definition of Accounting Estimates - Amendments to Ind AS 8

The amendments clarify the distinction between changes in accounting estimates, changes in accounting policies and the correction of errors. It has also been clarified how entities use measurement techniques and inputs to develop accounting estimates.

The amendments had no impact on the Company's financial statements.

Ý Disclosure of Accounting Policies - Amendments to Ind AS 1

a) The amendments aim to help entities provide accounting policy disclosures that are more useful by replacing the requirement for entities to disclose their 'significant' accounting policies with a requirement to disclose their 'material' accounting policies and adding guidance on how entities apply the concept of materiality in making decisions about accounting policy disclosures.

b) The amendments had an impact on the Company's disclosures of accounting policies, but not on the measurement, recognition or presentation of any items in the Company's financial statements.

Ý Deferred Tax related to Assets and Liabilities arising from a Single Transaction - Amendments to Ind AS 12

a) The amendments narrow the scope of the initial recognition exception under Ind AS 12, so that it no longer applies to transactions that give rise to equal taxable and deductible temporary differences such as leases.

b) The Company has already recognised a separate deferred tax asset in relation to its lease liabilities and a deferred tax liability in relation to its right-of-use assets, accordingly there is no impact on its Financial Statements. Also, since balances qualify for offset as per the requirements of Paragraph 74 of Ind AS 12, there is no impact in the Balance Sheet. There was also no impact on the opening retained earnings as at April 01, 2022.

Apart from these, consequential amendments and editorials have been made to other Ind AS like Ind AS 101, Ind AS 102, Ind AS 103, Ind AS 107, Ind AS 109, Ind AS 115 and Ind AS 34. The Company has evaluated the requirements of the amendments and there is no impact on its financial statements.

There are no standards that are notified and not yet effective as on the date.

The Ministry of Corporate Affairs ("MCA") notifies new standards or amendments to the existing standards under Companies (Indian Accounting Standards) Amendment Rules as issued from time to time. As on 31st March, 2024 no such pronouncements were announced by MCA.

1 Capital Reserve

Capital reserve are created through business combinations shall be utilised as per the provisions of Companies Act,2013.

2 Securities Premium

Securities Premium represents the excess of the amount received over the face value of the shares. This reserve will be utilized in accordance with the provisions of the Companies Act, 2013.

3 Retained Earnings

Retained Earnings represents accumulated Profit and losses of the company as on reporting date. Such Profits and losses are arrived after adjustment of payment of dividend, transfer to any reserves as Statutorily required and adjustment for realised gain/Loss on derecongition of Equity Instruments Measured at FVTOCI. Remeasurement of Defined Benefit is also adjusted. This includes Other Comprehensive Income of (Rs. 22.98 lakhs) (31st March 2023: (Rs. 21.50 lakhs)) relating to remeasurement of defined benefit plans (net of tax) which cannot be reclassified to Statement of Profit and Loss.

4 Revaluation Reserve

Cumulative gains and losses arising from fair value changes of upward revaluation of Property, Plant and Equipment measured at fair value through other comprehensive income are recognised in investment revaluation reserve. The Company has elected to transfer such surplus directly to retained earnings when the asset is derecognised.

a "Loans from HDFC Limited

The loans viz. Term loan, ECLGS 2.0 and ECLGS 3.0 has been settled during the year." b "Loan from Axis Finance Limited (AFL)

The loan is secured by way of mortgage over Land and Building of the Hotel property situated at No.365, Anna Salai,Teynampet, Chennai along with all development rights, title, interest of the borrower on the property, claims, benefits, the amenities and car parking's thereon, by way of hypothecation of entire movable fixed assets of the Company (excluding vehicles) and pari passu charge on all the present and future current assets of the Company. The loan amount of Rs. 16,000 Lakhs is repayable in 180 monthly instalments from the date of the tranche alongwith interest are payable at monthly intervals benchmarked with Axis Finance Reference Rate(current interest rate 10.25%). Out of the said loan of Rs. 16,000 lakhs, Rs. 5,000 Lakhs has been assigned to Aditya Birla Finance Limited(ABFL) Vide deed of assignment dated March 22, 2024, said arrangement, AFL agrees to hold in trust the secured assets to secure the repayment of the facility and the ABFL will have the sole authority to receive and collect the receivables and or any amounts payable under the underlying documents in relation to the assigned assets."

42 Fair value hierarchy

This Section explains the estimates and judgements made in determining the fair values of Financial Instruments that are measured at fair value and amortised cost and for which fair values are disclosed in the financial statements. To Provide an indication about reliability of the inputs used in determining the fair values, the company has classified its financial instruments into the three levels prescribed under accounting standards. An explanation of each level follows underneath the table:

Level 1 : Includes Financial Instruments measured using quoted prices (unadjusted) in active markets for identical assets and liabilities that the entity can access at the measurement date.

Level 2 : Includes Financial Instruments which are not traded in active market but for which all significant inputs required to fair value the instruments are observable. The fair value is calculated using the valuation technique which maximises the use of observable market data.

Level 3: Includes those instruments for which one or more significant input are not based on observable market data.

The following table presents fair value hierarchy of assets and liabilities measured at fair value as of 31st March, 2024:

43 FINANCIAL RISK MANAGEMENT Financial risk factors

The Company's activities expose it to liquidity risk and credit risk.

Liquidity risk

Liquidity risk is the risk that the Company will encounter difficulty in meeting its obligations associated with its financial liabilities.

The Company maintains sufficient cash and cash equivalents to manage day to day operation.

44 CAPITAL MANANGEMENT

For the purpose of managing capital, Capital includes issued equity share capital and reserves attributable to the equity holders.

The objective of the company>s capital management are to:

- Safeguard their ability to continue as going concern so that they can continue to provide benefits to their shareholders.

- Maximisation of wealth of the shareholder.

- Maintain optimum capital structure to reduce the cost of the capital.

The Company manages its capital structure and makes adjustments in light of changes in economic conditions and requirement of financial covenants. In order to maintain or adjust the capital structure, the Company may adjust the dividend payment to shareholders, return capital to shareholders or issue new shares . The company monitors capital using a gearing ratio, which is net debt divided by total capital plus net debt. The Company includes within net debt, loans and borrowings .

48 "Investment and advance to Asian Hotels (West) Limited

As Per Ind AS 109-Financial Instruments, the company is required to assess the recoverability of its financial assets, including the investment and loan to AHWL, at the end of each reporting period. The company's management has assessed that the investment and advance to AHWL are not impaired, as the investee successfully revived from the CIRP. The company's management is of the opinion that the company will be able to recover more than the amount it has invested and advanced to AHWL. Further considering the fair value of AHWL's assets and its financial position post-IRP, as well as the company's rights and claims as a creditor and no impairment is required to be provided for. "

49 "Short Term advance to Novak Hotels Private Limited (NHPL)

A Special Purpose Vehicle known as Novak Hotels Private Limited (NHPL) (wholly owned subsidiary of Asian Hotels (East) Limited, a group company) incorporated on November 1,2023, to revive the hotel - Hyatt Regency, Mumbai presently owned by Asian Hotels (West) Limited. The Company has entered into loan agreement with NHPL for providing short term advance with the objective to acquire and to revive the operations of Hotel-Hyatt Regency, Mumbai (owned by AHWL). During the current financial year, the Company provided a shortterm loan amounting to Rs. 122.64 crores to NHPL with the following terms and conditions:

a) The Borrower shall repay to the Company the principal amount along with the interest, in one or more instalments as may be mutually agreed.

b) The Company have the option to convert the outstanding amount of short term advance/loan along with interest, if any, wholly or partially, into equity shares or any other securities at any time by giving advance notice to the Borrower, at a price as may be decided by and between the Parties."

50 Foreign currency exposures

a. Foreign currency exposure outstanding as at the Balance Sheet date is Rs. 1,081.45 (Previous year Rs. 1,388.21Lakhs)

b. Un-hedged foreign currency exposures as at the Balance Sheet date is Rs. 1,081.45 Lakhs (Previous year-1,388.21 Lakhs)

51 Outstanding balances of Trade receivables and Trade payables are subject to confirmation from the respective parties and consequential adjustments arising from reconciliation if any. The Management, however, is of the view that there will be no material discrepancies in this regard.

52 The Company has entered into operating lease agreements in letting out space. The lease agreements are made for specific period. Lease payments received/recognized in the Statement of Profit & Loss for the year ended 31st March 2024 amounted to Rs.202.23 Lakhs (Previous Year- Rs. 158.39 Lakhs). Future receivables for operating lease are as follow:

54 The Company has not undertaken any transactions with companies struck off under section 248 of the Act, 2013 or Section 560 of the Companies Act, 1956 during the current year.

55 The Company does not have any Investment in Subsidiary Companies and accordingly the disclosure as to whether the company has complied with the number of layers of companies prescribed under clause(87) of the of section 2 of the Act read with Companies (Restriction on number of layers) Rules, 2017 is not applicable.

56 Utilization of Borrowing Funds

a) The Company has not advanced or loaned to or invested funds in any other person(s) or entity(ies), including foreign entities ("Intermediaries") with the understanding, that the intermediary shall lend to or invest in party identified by or on behalf of the company (Ultimate Beneficiaries) . Accordingly, no further disclosures,in this regard, are required.

b) The Company has not received any fund from any other person(s) or entity(ies), including foreign entities ("Intermediaries") with the understanding that the Company shall whether, directly or indirectly lend to or invest in other persons or entities identified by or on behalf of the Company ("Ultimate Beneficiaries") or provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.

57 No proceeding has been initiated or is pending against the Company for holding any Benami property under the Benami Transactions (Prohibition) Act, 1988(45 of 1988) and rules made thereunder.

58 As per Section 135 of the Companies Act, 2013, a company, meeting the applicability threshold, needs to spend at least 2% of its average net profit for the immediately preceding three financial years on corporate social responsibility (CSR) activities. In accordance with the provisions of the Companies Act, 2013 read with Rules made thereunder, the Company was not required to make any CSR contribution for the Financial Year 202324.

59 None of the Banks, Financial Institutions or other lenders from whom the company has borrowed funds has declared the company as a wilful defaulter at any time during the current year or in the previous year.

60 All the charges or satisfaction thereof which is required to be registered with the Registrar of Companies(ROC) have been duly registered within the statutory time limit provided under the provisions of companies Act,2013 and rules made thereunder.

The Company does not have any charges or satisfaction thereof which is yet to be registered with ROC beyond the statutory period, for the year ending 31st March, 2024 and also for the year ending 31st March, 2023.

61 The Company has not traded or invested in Crypto currency or Virtual Currency during the year ending 31st March, 2024 and also for the year ending 31st March, 2023.

62 The Company does not have any such unrecorded transaction 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).

63 Previous year figures have been regrouped / rearranged wherever necessary.

As per our report of even date attached FOR AND ON BEHALF OF THE BOARD OF DIRECTORS OF

Robust Hotels Limited

For V SINGHI & ASSOCIATES CIN:L55101TN2007PLC062085

Chartered Accountants

Firm Registration No: 311017E

Avali Srinivasan Arun Kumar Saraf

(Sunil Singhi) Director Director

Partner DIN:00339628 DIN:00339772

Membership No.: 060854

Place: Chennai T N Thanikachalam Yasotha Benazir.N

Date:22nd May 2024 Vice President & Company Secretary

Chief Financial Officer