2.16 Provisions and Contingent Liability

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.

If the effect of the 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 recognised as a finance cost.

Contingent liabilities and commitments are not recognised but are disclosed in the notes. Contingents assets are neither
recognised nor disclosed in the financial statements.

16.1 Rights, preferences and restrictions attached to shares

The Company has one class of equity shares having a par value of INR 5 each. Each shareholder is eligible for one vote per
share held and carry a right to dividend. 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.

16.2 Increase in the number of shares

i) In FY 2023-24 Company issued and allotted Bonus Shares to the shareholders in ratio of two equity shares of INR
5 each for every one equity share of INR 5 each held by capitalising an amount of INR 7618 Lakhs from retained
earnings.

ii) Consequent to the issue of Bonus shares by the company in FY 2023-24 in ratio of two equity shares of INR 5 each for
every one equity share of INR 5 each held, the holders of foreign currency convertible bonds were entitled for allotment
of bonus shares in the same proportion and accordingly 63,60,000 shares were issued as bonus shares during FY
2024-25 on conversion of foreign currency convertible bonds (FCCB) into equity.

iii) The 23,27,232 equity shares were issued to shareholders of Bulkliner Logistics Limited on acquisition of the said
company as consideration for the acquisition of 100% of the issued share capital of Bulkliner Logistics Limited on a
share swap basis.

iv) The Company allotted 99,80,357 fully paid ordinary shares to Mr. Abdul Khalik Chataiwala-managing director upon
conversion of an outstanding loan amounting to INR 4191.75 Lakhs previously provided by the director. The shares
were issued at INR 42 per share, determined based on valuation report and rank pari passu in all respects with the
existing equity shares of the Company. The conversion was approved by the Board of Directors on 15th January,
2025 and necessary regulatory filings were completed in accordance with applicable laws and corporate governance
requirements.As a result of this transaction, the outstanding director loan has been extinguished and reclassified to
equity.

v) During the financial year ended 31st March, 2025, the Company issued 31,90,000 equity shares of INR 5 each upon
conversion of 50 Foreign Currency Convertible Bonds (FCCBs) with an aggregate principal value of USD 50,00,000. The
FCCBs were converted in accordance with the terms and conditions set out in the bond agreement dated 12th August,
2022. The conversion price was fixed at Rs. 125 per equity share, in accordance with the pricing formula stipulated in
the offering circular. The equity shares issued upon conversion rank pari passu in all respects with the existing equity
shares of the Company.Upon conversion, the corresponding liability of the FCCBs was derecognized, and the equity
share capital and securities premium were adjusted accordingly.

18.1 Term Loan for purchase of registered office premises is secured by Equitable mortgage of the said premises located in Navi
Mumbai and is repayable in 144 equated monthly installments starting from July 2018.

18.2 Term Loans for purchase of Containers are secured by Containers and Equitable mortgage by way of collateral security
of properties of the company in which one of the director is interested and further guaranteed by one of the director in his
personal capacity along with two promoter shareholders and a company in which one of the director is interested. Further
the loans are repayable in 84 and 72 equated monthly installments starting from May 2019 and July 2019 respectively.

18.3 The Vehicle loans are secured by hypothecation of Vehicles and are repayable in equated monthly installments for period
ranging from thirty six to sixty months

18.4 The company has received interest bearing loans from subsidiaries which are repayable on demand or without specifying
any terms or period of repayment..

41. a) Difference of Freight amount collected in Indian Rupees from the consignees and remittances made in foreign

currencies are on the basis of information/data exchanged

b) Exchange rate difference on certain transactions settled during the year are net difference of freight amount collected
from shippers and remittance made their against.

42. Period end Balances of payables / receivables of the parties which are subject to confirmation / reconciliation impact of
which on the Profit/Loss and on the Assets/Liabilities, if any, is not ascertainable, however, management does not foresee
any material differences arising in future.

On reconciliation / settlement of such accounts, resultant short / excess balances are transferred to 'Sundry balances
written off / back accounts' in the year of reconciliation / settlement.

43. The Indian Parliament has approved the Code on Social Security, 2020 which would impact the contributions by the company
towards Provident Fund and Gratuity. The Ministry of Labour and Employment had released draft rules for the Code on Social
Security, 2020 on November 13, 2020, and invited suggestions from stakeholders which are under consideration by the
Ministry. The Company will assess the impact and its evaluation once the subject rules are notified. The Company will give
appropriate impact in its financial statements in the period in which, the Code becomes effective and the related rules to
determine the financial impact are published.

44. Previous year's figures have been regrouped / reclassified wherever necessary to correspond with the current year's
classification / disclosure.

45. Financial risk management

The Company's activities are exposed to a variety of market risk (including foreign currency risk and interest risk), credit
risk and liquidity risk. The Company's overall financial risk management policy focuses on the unpredictability of financial
markets and seeks to minimize potential adverse effects on the Company's financial performance.

i. Market Risk

Market rate is the risk that arises from changes in market prices, such as commodity prices, foreign exchange rates,
interest rates etc. and will affect the Company's income or the value of its holdings of financial instruments. The
objective of market risk management is to manage and control market risk exposure within acceptable parameters,
while optimising returns.

a. Commodity Price Risk

Commodity price risk arises due to fluctuations in prices of raw materials and other products. The company has
a risk management framework aimed at prudently managing the risk arising from the volatility in commodity
prices and fright costs.

b. Interest Rate Risk

The company's exposure to the risk of changes in market interest rate relates to the floating the debt obligations.

c. Foreign Currency Exchange Rate Risk

The fluctuation in foreign currency exchange rates may have potential impact on the Statement of Profit & Loss,
where transaction references more than one currency or where assets/liabilities are denominated in currency
other than functional currency of the entity. Considering the countries and economic development in which
Company operates, its operations are subject to risks arising from fluctuations in exchange rates in those
countries. The risk primarily relates to fluctuations in US Dollar.

Any movement in the functional currency of operations of the Company against the major foreign currency may
impact the Company's revenue in international business. Any weakening of the functional currency may impact
Company's cost of imports and consequently the profit or loss.

The Company evaluates the impact of foreign exchange rate fluctuations by assessing its exposure to exchange
rate risk.

ii. Credit Risk

Credit risk refers to the risk that counterparty will default on its contractual obligations resulting in a loss to the
Company. The Company has adopted a policy of only dealing with creditworthy counterparties as a means of mitigating
the risk of financial loss from defaults.

The Company performs ongoing credit evaluation of its counterparties' financial conditions. The Company's major
classes of financial assets are cash and bank balances, trade receivables, Security deposits, Advances to Suppliers
and Employees and prepayments.

As at the reporting date, the Company's maximum exposure to credit risk is represented by the carrying amount of
each class of financial assets recognised in the statements of financial position.

As at the reporting date, substantially all the cash and bank balances as detailed in Note 9 to the financial information
are held in major Banks which are regulated and located in the India, which management believes are of high credit
quality. The management does not expect any losses arising from non-performance by these counterparties

As at 31 March 2025, the Company's outstanding trade receivables over-due for a period exceeding 180 days is 14.98%
of total trade receivables.

iii. Liquidity Risk

Liquidity risk arises from the Company's management of working capital. It is the risk that the Company will encounter
difficulty in meeting its financial obligations as they fall due.

The Company has obtained fund based and non-fund based working capital credit facility from a bank. Company's
policy is to ensure that it will always have sufficient cash to allow it to meet its liabilities when they become due. The
principal liabilities of the Company arise in respect of the trade and other payables. Trade and other payables are all
payable within 12 months.

The Company manages liquidity risk by maintaining adequate surplus, banking facilities and reserve borrowing
facilities by continuously monitoring forecasts and actual cash flows.

The Company has a system of regularly forecasting cash inflows and outflows and all liquidity requirements are
planned.

Forecast for trade and other payables is regularly monitored to ensure timely funding..

All payments are made within due dates subject to availability of funds.

iv. Capital Risk Management

The Company manages its capital to ensure that the Company will be able to maintain an optimal capital structure so
as to support its businesses.

b) The company has not entered into any transactions with companies struck off under section 248 of the Companies Act,
2013 or section 560 of Companies Act, 1956

c) 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 the 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 lend or invest in party identified by
or on behalf of the Company (Ultimate Beneficiaries). The Company has not received any fund from any party(s) (Funding
Party) with the understanding that the Company shall whether, directly or indirectly lend 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 on behalf
of the Ultimate Beneficiaries.

d) The Company does not have any Benami property or any proceeding is pending against the Company for holding any
Benami property.

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

f) The Company has not traded or invested in crypto currency or virtual currency during the financial year.

g) The Company is not classified as wilful defaulter.

h) The Company doesn't have any 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.

The accompanying notes (1 to 46) are an integral part of the financial statements.

As per our Report of even date

For Praneti Yadav & Co. For and on behalf of the Board of Directors

Chartered Accountants Lancer Container Lines Limited

ICAI Firm Registration No. 137534W

Sd/- Sd/- Sd/- Sd/-

Praneti Yadav Abdul Khalik Chataiwala Manoj Kumar Sharma Shruthi Rajiv Nair

Proprietor Managing Director Chief Financial Officer Chief Executive Officer

Membership No: 156403 DIN: 01942246

Sd/- Sd/- Sd/-

Suresh Babu Sankara Sumit Sunil Sadh Miti Tailong

Independent Director Director Company Secretary

DIN: 02154784 DIN: 02757766

Navi Mumbai Sd/- Sd/-

June 11, 2025 Narayanan Moolanghat Variyam Ameeta Ramesh

Independent Director Independent Director

DIN:08109682 DIN:03368136