Notes to Accounts of Bhagawati Oxygen Ltd.

Mar 31, 2024

(i) Provisions, Contingent Liabilities and Contingent Assets

Provisions are recognized when the Company has a present obligation as a result of a past event, for which it is probable that a
cash outflow will be required and a reliable estimate can be made of the amount of the obligation. Contingent liabilities are
disclosed when the Company has a possible obligation or a present obligation and it is probable that a cash outflow will not be
required to settle the obligation. Provisions & Contingent Liabilities are revalued at each Balance Sheet date. Contingent Assets
are not recognized in the financial statements. However, when the realization of income is virtually certain, then the related asset is
not a contingent asset and it is appropriately recognized.

(j) Inventory

The inventories are valued atcost or net realisable value whichever is lower except for work in progress and advertising material
which are valued at cost. The Cost is calculated on weighted average method. Cost comprises expenditure incurred in the normal
course of business in bringing such inventories to its location and includes, where applicable, appropriate overheads based on
normal level of activity.

(k) Foreign Currency Transactions & Translations

The functional currency of the Company is Indian Rupee. These Financial Statements are presented in Indian Rupee.
Transactions in foreign currencies entered into by the company are accounted at the exchange rates prevailing on the date of the
transaction. Gains & losses arising on account of realization are accounted for in the Statement of Profit & Loss.
Monetary Assets & Liabilities in foreign currency that are outstanding at the year end are translated at the year end exchange rates
and the resultant gain/loss is accounted for in the Statement of Profit & Loss.

(l) Employee Benefits
Defined Contribution Plan

The Company makes contributions towards provident fund to the regulatory authorities to a defined contribution retirement benefit
plan for qualifying employees, where the Company has no further obligations. Both the employees and the Company make
monthly contributions to the Provident Fund Plan equal to a specified percentage of the covered employee’s salary.

Defined Benefit Plan

The Company operates a defined benefit gratuity plan in India, comprising of Gratuity fund with Life Insurance Corporation of India.
The Company’s liability is actuarially determined using the Projected Unit Credit method at the end of the year in accordance with
the provision of I nd AS 19 - Employee Benefits.

The Company recognizes the net obligation of a defined benefit plan in Its balance sheet as an asset or liability. Gains and losses
through re-measurements of the net defined benefit liability/(asset) are recognized in other comprehensive income and are not
reclassified to profit or loss in subsequent periods. The actual return of the portfolio of plan assets, in excess of the yields computed
by applying the discount rate used to measure the defined benefit obligation is recognized in other comprehensive income. The
effects of any plan amendments are recognized in the Statement of Profit & Loss.

Short term employee benefits are charged off at the undiscounted amount in the year in which the related services are rendered.

(m) Borrowing Costs

Borrowing costs directly attributable to the acquisition, construction or production of an asset that necessarily takes a substantial
period of time to get ready for its intended use or sale are capitalized as part of the cost of the asset. All other borrowing costs are
expensed in the period in which they occur. Borrowing costs consist of interest and other costs that an entity incurs in connection
with the borrowing of funds. Borrowing cost also Includes exchange differences to the extent regarded as an adjustment to the
borrowing costs.

(n) Leases

Leases under which the company assumes substantially all the risks and rewards of ownership are classified as finance leases.
When acquired, such assets are capitalized at fair value or present value of the minimum lease payments at the inception of the
lease, whichever is lower. Lease payments under operating leases are recognized as an expense on a straight line basis in net
profit in the Statement of Profit & Loss over the lease term.

(o) Government Grants

The Company recognizes government grants only when there is reasonable assurance that the conditions attached to them
shall be complied with and the grants will be received. Grants related to assets are treated as deferred income and are
recognized as other income in the Statement of profit & loss on a systematic and rational basis over the useful life of the asset.
Grants related to income are recognized on a systematic basis over the periods necessary to match them with the related
costs which they are intended to compensate and are deducted from the expense in the statement of profit & loss.

(p) Income Taxes

Income Tax expense represents the sum of the tax currently payable and deferred tax.

Current tax is the amount of income taxes payable (recoverable) in respect of the taxable profit (tax loss) for a period. Taxable
profit differs from “profit before income tax" as reported in the statement of profit and loss and other comprehensive income
because it excludes items of income or expense that are taxable or deductible in other years and it further excludes items that
are never taxable or deductible. The Company''s liability for current tax is calculated using tax rates that have been enacted or
substantively enacted by the end of the reporting period.

Deferred tax liabilities are generally recognised for all taxable temporary differences. Deferred tax assets are generally
recognised for all deductible temporary difference to the extent that it is probable that taxable profits will be available against
which those deductible temporary differences can be utilised. Such assets and liabilities are not recognised if the temporary
difference arises from goodwill or from the initial recognition (other than in a business combination) of other assets and
liabilities in a transaction that affects neither the taxable profit nor the accounting profit.

The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that it is
no longer probable that sufficient taxable profits will be available to allow all or part of the asset to be recovered. Unrecognised
deferred tax assets are reassessed at the end of each reporting year and are recognised to the extent that it has become
probable that sufficient taxable profit will be available to allow all or part of the deferred tax asset to be recovered.

Deferred tax assets and liabilities are measured at the tax rates that are expected to apply in the period in which the liability is
settled or the asset is realised, based on tax rate (and tax laws) that have been enacted or substantively enacted by the end of
the reporting period.

Current and deferred tax are recognised in profit or loss, except when they relate to items that are recognised in other
comprehensive income or directly in equity, in which case, the current and deferred tax are also recognised in other
comprehensive income or directly in equity respectively. Where current tax or deferred tax arises from the initial accounting
fora business combination, the tax effect is included in the accounting for the business combination.

(q) Cash and Cash Equivalents

Cash and Cash Equivalent in the balance sheet comprise cash at banks and on hand and short-term deposits with an original
maturity of three months or less, which are subject to an insignificant risk of changes in value.

(r) Earning per Share

Basic earnings per share is computed by dividing the net profit for the period attributable to the equity shareholders of the
Company by the weighted average number of equity shares outstanding during the period. The weighted average number of
equity shares outstanding during the period is adjusted for events such as bonus issue, bonus element in a rights issue, share
split, and reverse share split (consolidation of shares) that have changed the number of equity shares outstanding, without a
corresponding change in resources.

(s) Current and Non-Current classification

The Company presents assets and liabilities in the Balance Sheet based on current/non-current classification.

An asset is classified as current when it is:

i) Expected to be realised or intended to be sold or consumed in the normal operating cycle,

ii) Held primarily for the purpose of trading.

Hi) Expected to be realised within twelve months after the reporting period, or

iv) Cash or cash equivalents unless restricted from being exchanged or used to settle a liability for at least twelve months after
the reporting period.

Aliability is classified as current when it is:

i) It is expected to be settled in the normal operating cycle,

ii) It is due to be settled within twelve months after the reporting period, or

iii) There is no unconditional right to defer settlement of the liability for at least twelve months after the reporting period.

All other liabilities are classified as non-current.

Deferred tax assets and liabilities are classified as noncurrent.

(t) Dividend

Provision is made for the amount of any dividend declared, being appropriately authorised and no longer at the discretion of
the entity, on or before the end of the reporting period but not distributed at the end of the reporting period.

(u) Segment Reporting

Revenue & expenses, assets & liabilities are identified to segments on the basis of their relationship to the operating activities
of the company.

(iv) Financial risk management objectives and policies
Financial risk factors

The Company''s activities expose it to a vanety of financial risks: market risk, liquidity risk & credit risk. The Company’s focus is to
foresee the unpredictability of financial markets and seek to minimize potential adverse effects on its financial performance. The
Company uses derivative financial instruments to mitigate foreign exchange related risk exposures.

(A) Market risk

Market risk comprises interest rate risk & foreign currency risk. Financial instruments affected by market risk indude loans and
borrowings in foreign currencies.

(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. The Company constantly monitors the credit markets and rebalances its financing strategies to achieve an
optimal maturity profile and financing cost

(ii) Foreign Currency Risks

The fluctuation in foreign currency exchange rates may have a potential impact on the Statement of Profit and Loss and Equity,
where any transactions are denominated in a currency other than the functional currency of the Company.

The Company''s Exchange Rate Risk exposure is primarily due to Trade Payables, Trade Receivables and Borrowings in the form
of Buyers'' Credit denominated in foreign currencies. The Company uses foreign exchange and forward contracts primarily to
hedge foreign exchange exposure.

An appreciation/depredation of the foreign currencies with respect to functional currency of the Company by 1 % would result in an
decrease/increase in the Company''s Net Profit before Tax by approximately Rs Nil for the year ended March 31,2023 (March 31,
2022 :Rs Nil

(B) Liquidity Risk

Ultimate responsibility for liquidity risk management rests with the Board of Directors, which has established an appropriate
liquidity risk management framework for the management of the Company''s short-term, medium-term and long-term funding and
liquidity management requirements. The Company manages liquidity risk by maintaining adequate reserves, banking facilities and
reserve borrowing facilities, by continuously monitoring forecast and actual cash flows, and by matching the maturity profiles of
financial assets and liabilities.

(C) Credit Risk

Credit risk refers to the risk that a counterparty will default on its contractual obligations resulting in financial loss to the Company.
Majority of the Company’s transactions are earned in cash or cash equivalents. The trade receivables comprise mainly of
receivables from Corporate customers and Government Undertakings. The Corporate Customers are enterprises with moderate
to good credit ratings. Accordingly, the Company’s exposure to credit risk in relation to trade receivables is considered low. Credit
risk has always been managed by the company through credit approvals, establishing credit limits and continuously monitoring the
creditworthiness of customers to which the company grants credit terms in the normal course of business.

Note 41 Previous year''s figures have been rearranged/ regrouped wherever necessary

As per our report attached of even date
For Chaturvedi & Co. LLP

Chartered Accountants For and on behalf of the Board of Directors

Firm Regn No.: 302137E/ E300286

Amit Kumar Suresh Kr Sharma Himanshu Sharma

Partner Chairman Managing Director

Membership No.: 318210 (DIN : 00041150) (DIN : 00041181)

Place: Kolkata

Date : 30th May 2024 Sukanta Bhattacharjee Ritu Damani

Chief Finance Officer Company Secretary

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Mar 31, 2015

1.1 The Company has revalued its Buildings, Plant & Machinery and Gas Cylinders at Ballabgargh unit as on 31st August 1985 by Government approved values. The net increase of Rs. 78,15, 528/- was transferred to Revaluation of Fixed Assets Reserves.

1.2 Sundry Debtors and Creditors as appearing in the Balance Sheet are subject to confirmation.

1.3 Figures for the previous year have been re-arranged and/ or re-grouped wherever considered necessary.

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Mar 31, 2014

1. Rights, Preferences and Restrictions attached to Equity Shares

The Company has issued only one class of equity shares having a par value of Rs.10/- per share. Each holder of Equity Share is entitled to one vote per share. In the event the Board of Directors of the Company proposes any dividend, it will be subject to the approval of the shareholders at the Annual General Meeting.

In the event of liquidation of the company the holders of equity shares will be entitled to receive remaining assets of the company. The distribution will be in proportion to the number of Equity Shares held by the shareholders.

2. Excise Duty

Excise Duty on sales for the year has been disclosed as reduction from the turnover

3. Contingent liabilities in respect of

(Amount/ Rs.)

Description 31-Mar-14 31-Mar-13

(a) Bank Guarantees gien by the Company to its customers 4,229,679 4,419,596 [Margin Money Rs. 4362367 (P.Y Rs. 4626614)]

(b) Sales tax and Income tax demands against which the Company 341,275 575,328 has filed appeals for which no provision is considered required as the Company is hopeful of successful outcome in the appeals

4. Capital Commitments : There are no contracts remaining pending to be executed as on 31-03-2014 (P.Y. Nil)

5. The Company has revalued its Buildings, Plant & Machinery and Gas Cylinders at Ballabgargh unit as on 31st August 1985 by Government approved valuer. The net increase of Rs. 78,15,528/- was transferred to Revaluation of Fixed Assets Reserves.

6. Sundry Debtors and Creditors as appearing in the Balance Sheet are subject to confirmation.

7. Figures for the previous year have been re-arranged and/ or re-grouped wherever considered necessary.

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Mar 31, 2013

1.1 Excise Duty

Excise Duty on sales for the year has been disclosed as reduction from the turnover

1.2 Contingent liabilities in respect of (Amount/ Rs.)

31-Mar-13 31-Mar-12

(a) Bank Guarantees gien by the Company to its customers 4,419,596 4,504,327

[Margin Money Rs. 4626614 (P.Y Rs. 4727128)]

(b) L/C Commitments 4,200,000

[(Margin Money Rs. Nil (P.Y Rs.840000)]

(c) Sales tax, Income tax and Excise demands against 575,328 3,333,959 which the Company has filed appeals for which no provision is considered required as the Company is hopeful of successful outcome in the appeals

(d) Capital Commitments

1.3 The Company has revalued its Buildings, Plant & Machinery and Gas Cylinders at Ballabgargh unit as on 31st August 1985 by Government approved valuer. The net increase of Rs. 78,15, 528/- was transferred to Revaluation of Fixed Assets Reserves.

1.4 Sundry Debtors and Creditors as appearing in the Balance Sheet are subject to confirmation.

1.5 Sundry Creditors includes Rs. Nil pertaining to MSME Enterprises.

1.6 Figures for the previous year have been re-arranged and/ or re-grouped wherever considered necessary.

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Mar 31, 2012

1.1 Excise Duty

Excise Duty on sales for the year has been disclosed as reduction from the turnover 28 12 Contingent liabilities in respect of

(Amount/ Rs.) 31-Mar-12 31-Mar-11

(a) Bank Guarantees gien by the Company to its customers 4,504,327 5,078,372 [Margin Money Rs. 4727128 (P.Y Rs. 4692614)]

(b) L/C Commitments 4,200,000 [(Margin Money Rs. 840000 (P.Y Rs. Nil)]

(c) Sales tax, Income tax and Excise demands against 3,333,959 which the Company has filed appeals for which no provision is considered required as the Company is hopeful of successful outcome in the appeals

(d) Capital Commitments

1.2 The Company has revalued its Buildings, Plant & Machinery and Gas Cylinders at Ballabgargh unit as on 31st August 1985 by Government approved valuer. The net increase of Rs. 78,15, 528/-was transferred to Revaluation of Fixed Assets Reserves.

1.3 Sundry Debtors and Creditors as appearing in the Balance Sheet are subject to confirmation.

1.4 Sundry Creditors includes Rs. Nil pertaining to MSME Enterprises.

1.5 Figures for the previous year have been re-arranged and/ or re-grouped wherever considered necessary.

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Mar 31, 2010

1.1 The Company has revalued its Buildings, Plant & Machinery and Gas Cylinders at Ballabhgarh Unit as on 31st August 1985 by Government Approved Valuer. The net increase of Rs.78,15,528/- was transferred to Revaluation of Fixed Assets Reserves.

1.2 Sundry Debtors and Creditors as appearing in the Balance Sheet are subject to confirmation.

1.3 Annual contribution towards Gratuity liability is funded with Life Insurance Corporation of India in accordance with the Gratuity Scheme of L.I.C.

1.4 Sundry Creditors includes Rs. Nil pertaining to Small Scale Industrial undertakings (SSI Units)

1.5 Contingent Liabilities not provided in respect of the following

2010 2009

Particlars Value (Rs) Value (Rs)

51,31,2507- 2,34,2547-

Bank Guarantees

(Margin Money by FDR (Margin Money by FDR Rs.37,38,0007-) Rs.47,0 1,3647-)

1.6 figures for the previous year have been re-ai ranged and/or re-grouped v-herever considered necessary.

1.7 Schedules 1 to 13 forms an integral pari of the Balance Sheet and Profit & Loss Account and have been duly authenticated.