Accounting Policies of Ceeta Industries Ltd. Company

Mar 31, 2025

Statement of compliance and Material Accounting Policy Information

a. Basis of preparation and Presentation IND AS Financial Statement

These financial statements are prepared in accordance with Indian Accounting Standards (Ind AS)
and the provisions of the Companies Act, 2013 under the historical cost convention except for
certain financial assets and liabilities which are measured at fair value (refer note 2.h of
accounting policy). The Ind AS are prescribed under Section 133 of the Act read with Rule 3 of the
Companies (Indian Accounting Standards) Rules, 2015, Companies (Indian Accounting Standards)
Amendment Rules, 2016 and Companies (Indian Accounting Standards) Amendment Rules, 2017
and Companies (Indian Accounting Standards) Amendment Rules, 2023. The Company has
adopted all the Ind AS standards as applicable. The transition was carried out from Indian
Accounting Principles generally accepted in India as prescribed under Section133 of the Act, read
with Rule 7 of the Companies (Accounts) Rules, 2014 (IGAAP), which was the previous GAAP.

The functional and presentation currency of the Company is Indian Rupee ("^") which is the
currency of the primary economic environment in which the Company operates. The Standalone
Financial Statements have been prepared on accrual and going concern basis.

Accounting policies have been consistently applied except where a newly issued accounting
standard is initially adopted or a revision to an existing accounting standard requires a change in
the accounting policy hitherto in use.

All amounts disclosed in the Standalone Financial Statements and notes have been rounded off to
the nearest "Thousands", unless otherwise stated. Transactions and balances with values below
the rounding off norm adopted by the Company have been reflected as "0" in the relevant notes
to these Financial Statements.

The company has followed Schedule III as notified under the Companies Act 2013 for the
preparation and presentation of its financial statements. Further, the company has followed the
Schedule II of the Companies Act, 2013 for charging depreciation of the current financial year and
reclassified the previous year figures in accordance with the requirements applicable in the
current year.

b. Use of estimates, Judgments and Assumptions

The preparation of financial statements in conformity with Ind AS requires management to make
estimates, judgments and assumptions. These estimates, judgments and assumptions affect the
application of accounting policies and the reported amounts of assets and liabilities, the
disclosures of contingent assets and liabilities at the date of the financial statements and reported
amounts of revenues and expenses during the period. Accounting estimates could change from
period to period. Actual results could differ from those estimates. Appropriate changes in
estimates are made as management becomes aware of changes in circumstances surrounding the
estimates. Accounting estimates are monetary amounts in financial statements that are subject
to measurement uncertainty

c. Property, Plant and Equipment (PPE)

Under the previous Indian GAAP, property, plant and equipment were carried in the balance sheet
on the basis of historical cost. On transition to IND AS, the company has adopted optional exception
under IND AS 101 and has regarded historical cost as carrying value in IND AS complied financials.
Property, plant and Equipment are carried at cost less accumulated depreciation and
accumulated impairment losses, if any. Cost includes expenditure that is directly attributable to
the acquisition of the items. Assets are depreciated to the residual value as on 01/06/2003 and
subsequent capital expenditure i.e.; addition to fixed assets, on a straight-line basis over the
useful life prescribed in Schedule II to the Companies Act, 2013.

The gain or loss arising on the disposal or retirement of an item of property, plant and equipment
is determined as the difference between the sales proceeds and the carrying amount of the asset
and is recognized in the statement of Profit and Loss on the date of disposal or retirement.

d. Depreciation and Amortization

Depreciation on PPE except as stated below, is provided as per Schedule II of the Companies Act,
2013 on straight-line method in respect of all tangible and intangible Property, Plant and
Equipment assets at all location of the Company. Depreciation on upgradation of Property, Plant
and Equipment is provided over the remaining useful life of the mother plant / fixed assets.
Leasehold Land held, if any, under finance lease including leasehold land are depreciated over
their expected lease terms. No depreciation is charged on Freehold land. Assets costing rupees
five thousand or less are being depreciated fully in the year of addition/acquisition.

Depreciation on Property, Plant and Equipment commences when the assets are ready for their
intended use. Based on above, the useful lives as estimated for other assets considered for
depreciation are as follows:

Depreciation methods, useful lives, residual values are reviewed and adjusted as appropriate, at
each reporting date.

e. Intangible Assets

Identifiable intangible assets are recognized when - a) the company controls the asset, b) it is
probable that future economic benefits attributed to the asset will flow to the Company and c) the
cost of the asset can be reliably measures.

Computer software are capitalized at the amounts paid to acquire the respective license for use
and are amortized over the useful life prescribed in Schedule II to the Companies Act, 2013 on
straight line basis.

The useful life of intangible assets is as mentioned below:

Research and development costs

Research costs are expensed as incurred. Development expenditure on projects is recognised as an intangible
asset when the company can demonstrate:

- The technical feasibility of completing the intangible asset so that the asset will be available for use or sale.

- Its intention and ability to complete and to use or sell the asset.

- How the asset will generate future economic benefits.

- The availability of adequate resources to complete the asset.

- The ability to measure reliably the expenditure incurred during development.

Development expenditure that does not meet the above criteria is expensed as incurred.

During the period of development, the asset is tested for impairment annually.

f. Derecognition of Tangible and Intangible assets

An item of PPE is de-recognised upon disposal or when no future economic benefits are expected to arise
from its use or disposal gain or loss arising on the disposal or retirement of an item of PPE is determined as the
difference between the sales proceeds and the carrying amount of the asset and is recognised in the
Statement of Profit and Loss.

g. Impairment of Tangible and Intangible Assets

Tangible and Intangible assets are reviewed at each balance sheet date for impairment. In case events and
circumstances indicate any impairment, recoverable amount of assets is determined. An impairment loss is
recognized in the statement of profit and loss, whenever the carrying amount of assets either belonging to
Cash Generating Unit (CGU) or otherwise exceeds recoverable amount. The recoverable amount is the higher
of assets'' fair value less cost of disposal and its value in use. In assessing value in use, the estimated future
cash flows from the use of the assets are discounted to their present value at appropriate rate.

Impairment losses recognized earlier may no longer exist or may have come down. Based on such assessment
at each reporting period the impairment loss is reversed and recognized in the Statement of Profit and Loss. In
such cases the carrying amount of the asset is increased to the lower of its recoverable amount and the
carrying amount that have been determined, net of depreciation, had no impairment loss been recognized
for the asset in prior years.

h. Financial Instruments
Recognition and initial measurement

Financial assets and financial liabilities (financial instruments) are recognised when the Company becomes a
party to the contractual provisions of the instruments.

Financial assets and financial liabilities are initially measured at fair value. Transaction costs that are directly
attributable to the acquisition or issue of financial assets and financial liabilities (other than financial assets
and financial liabilities at fair value through profit or loss) are added to or deducted from the fair value of the
financial assets or financial liabilities, as appropriate, on initial recognition. Transaction costs directly
attributable to the acquisition of financial assets or financial liabilities at fair value through profit or loss are
recognised immediately in the Statement of Profit and Loss.

The financial assets and financial liabilities are classified as current if they are expected to be realised or
settled within operating cycle of the company or otherwise these are classified as non-current.

The classification of financial instruments whether to be measured at Amortized Cost, at Fair Value through
Profit and Loss (FVTPL) or at Fair Value through Other Comprehensive Income (FVTOCI) depends on the
objective and contractual terms to which they relate. Classification of financial instruments are determined
on initial recognition.

Financial Assets and Liabilities:

(i) Cash and cash equivalents

All highly liquid financial instruments, which are readily convertible into determinable amounts of cash and
which are subject to an insignificant risk of change in value and are having original maturities of three months
or less from the date of purchase, are considered as cash equivalents. Cash and cash equivalents includes
balances with banks which are unrestricted for withdrawal and usage.

(ii) Financial Assets and Financial Liabilities measured at amortized cost

Financial Assets held within a business whose objective is to hold these assets in order to collect contractual
cash flows and the contractual terms of the financial asset give rise on specified dates to cash flows that are
solely payments of principal and interest on the principal amount outstanding are measured at amortized

cost.

The above Financial Assets and Financial Liabilities subsequent to initial recognition are measured at
amortized cost using Effective Interest Rate (EIR) method.

The effective interest rate is the rate that discounts estimated future cash payments or receipts (including all
fees and points paid or received, transaction costs and other premiums or discounts) through the expected
life of the Financial Asset or Financial Liability to the gross carrying amount of the financial asset or to the
amortized cost of financial liability, or, where appropriate, a shorter period, to the net carrying amount on
initial recognition.

(iii) Financial Asset at Fair Value through Other Comprehensive Income (FVTOCI)

Financial assets are measured at fair value through other comprehensive income if these financial assets are
held within a business whose objective is achieved by both collecting contractual cash flows and selling
financial assets and the contractual terms of the financial asset give rise on specified dates to cash flows that
are solely payments of principal and interest on the principal amount outstanding. Subsequent to initial
recognition, they are measured at fair value and changes therein are recognised directly in other
comprehensive income.

(iv) For the purpose of para (ii) and (iii) above, principal is the fair value of the financial asset at initial recognition
and interest consists of consideration for the time value of money and associated credit risk.

(v) Financial Assets or Liabilities at Fair value through profit or loss

Financial Instruments which do not meet the criteria of amortized cost or fair value through other
comprehensive income are classified as Fair Value through Profit or loss. These are recognised at fair value
and changes therein are recognized in the statement of profit and loss.

(vi) Equity Instruments measured at FVTOCI and FVTPL

Equity instruments which are, held for trading are classified as at FVTPL are measured at Fair Value as per Ind
AS 109. For all other equity instruments, the company may make an irrevocable election to present in other
comprehensive income subsequent changes in the fair value. The company makes such election on an
instrument-by instrument basis. The classification is made on initial recognition and is irrevocable. In case
the company decides to classify an equity instrument as at FVTOCI, then all fair value changes on the
instrument, excluding dividends, are recognized in the OCI. There is no recycling of the amounts from OCI to
Profit and Loss, even on sale of investment.

(vii) Impairment of financial assets

A financial asset is assessed for impairment at each balance sheet date. A financial asset is considered to be
impaired if objective evidence indicates that one or more events have had a negative effect on the estimated
future cash flows of that asset.

The company measures the loss allowance for a financial asset at an amount equal to the lifetime expected
credit losses if the credit risk on that financial instrument has increased significantly since initial recognition.
If the credit risk on a financial instrument has not increased significantly since initial recognition, the
company measures the loss allowance for that financial instrument at an amount equal to 12-month
expected credit losses.

However, for trade receivables or contract assets that result in relation to revenue from contracts with
customers, the company measures the loss allowance at an amount equal to lifetime expected credit losses.

(viii) Derecognition of financial instruments

The Company derecognizes a financial asset or a group of financial assets when the contractual rights to the
cash flows from the asset expire, or when it transfers the financial asset and substantially all the risks and
rewards of ownership of the asset to another party.

On derecognition of a financial asset (except for equity instruments designated as FVTOCI), the difference
between the asset''s carrying amount and the sum of the consideration received and receivable are
recognized in statement of profit and loss.

On derecognition of assets measured at FVTOCI the cumulative gain or loss previously recognised in other
comprehensive income is reclassified from equity to profit or loss as a reclassification adjustment.

Financial liabilities are derecognized if the Company''s obligations specified in the contract expire or are
discharged or cancelled. The difference between the carrying amount of the financial liability derecognized
and the consideration paid and payable is recognized in Statement of Profit and Loss.

(ix) Fair Value Measurement

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly
transaction between market participants at the measurement date under current market conditions.

The Company categorizes financial instruments measurement at fair value into one of three levels depending
on the ability to observe inputs employed for such measurement:

Level 1: Inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities.

Level 2: Inputs other than quoted prices included within level 1 that are observable either directly or indirectly
for the asset or liability.

The fair value of financial instruments that are not traded in active market is determined using valuation
techniques which maximize the use of observable market data and rely as little as possible on entity specific
estimates. If significant inputs required to fair value an instrument are observable, the instrument is included in
Level 2.

Level 3: Inputs for the asset or liability which are not based on observable market data (unobservable inputs).

If one or more of the significant inputs is not based on observable market data, the fair value is determined using
generally accepted pricing models based on a discounted cash flow analysis, with the most significant inputs
being the discount rate that reflects the credit risk of counterparty. This is the case with listed instruments
where market is not liquid and for unlisted instruments.

The company has an established control framework with respect to the measurement of fair values. This
includes a finance team that has overall responsibility for overseeing all significant fair value measurements
who regularly review significant unobservable inputs, valuation adjustments and fair value hierarchy under
which the valuation should be classified.

I. Investments

Investments in listed equity shares and equity based mutual funds, which are readily realizable and intended to
be held for not more than one year (two years for unquoted equity shares) from the date on which such
investments are made, are classified as current investments. All other investments are classified as long-term
investments.

On initial recognition, all investments are measured at cost. The cost comprises purchase price and directly
attributable acquisition charges such as brokerage, fees and duties. If an investment is acquired, or partly
acquired, by the issue of shares or other securities, the acquisition cost is the fair value of the securities issued.
Current investments and Long-term investments are carried in the financial statements at fair value. The
difference between carrying cost and fair value of the investments at the end of financial year is consider as
other comprehensive income (OCI) and deferred tax provision also made on OCI at the applicable rate of tax. On
disposal of an investment, the difference between fair value and net disposal proceeds is charged or credited
under the head “capital gain" to the statement of profit and loss.

j. Inventories

Raw materials, components, Work-in Progress, Stores and Spares, Finished Goods and Stock-in- trade are
stated at lower of cost and net realizable value. Cost comprises all cost of purchase, cost of conversion and other
costs incurred in bringing the inventories to their present location and condition. Net realizable value is the
estimated selling price in the ordinary course of business, less estimated costs necessary to make the sale. Cost
formulae used by the company is ''FIFO Method''.

k. Revenue recognition and other Income

Revenue is recognized to the extent that it is probable that the economic benefits will flow to the company and
the revenue can be reliably measured. The following specific recognition criteria must also be met before
revenue is recognized:

Sale of goods: Revenue from sale of goods is recognized when control of the products being sold is transferred
to our customer and when there are no longer any unfulfilled obligations. The performance obligations in our
contracts are fulfilled at the time of dispatch, delivery or upon formal customer acceptance depending on the
customer terms.

Revenue is measured based on the transaction price, which is the consideration, after deduction of any trade
discounts, volume rebates and any taxes or duties collected on behalf of the government such as goods and
services tax, etc. Accumulated experience is used to estimate the provision for such discounts and rebates.
Revenue is recognised to the extent that it is highly probable a significant reversal will not occur.

For sale of goods wherein performance obligation is not satisfied, any amount received in advance is recorded
as contract liability and recognized as revenue when goods are transferred to customers. Any amount of income
accrued but not billed to customers in respect of such contracts is recorded as a contract asset. Such contract
assets are transferred to Trade receivables on actual billing to customers.

In case customers have the contractual right to return goods, an estimate is made for goods that will be returned
and a liability is recognized for this amount using the best estimate based on accumulated experience.
Rendering of Services: Revenue recognition on rendering of services is measured by completed service
contract method only relates the revenue to the work accomplished. Such performance should be regarded as
being achieved when no significant uncertainty exists regarding the amount of the consideration that will be
derived from rendering the service.

Interest: Interest income is recognized on a time proportion basis taking into account the amount outstanding
and the applicable interest rate. Interest income is included under the head “other income" in the statement of
profit and loss.

Investments: Revenue from sale of equity/ bonds / mutual funds are recognized when all the significant risks
and rewards of ownership of the instruments have been passed to the buyer, usually on delivery of the
instruments. Income from Investments are included under the head “other income" in the statement of profit
and loss.

l. Foreign currency transactions
Functional and presentation currency

The financial statements are presented in Indian rupee (INR), which is Company''s functional and presentation
currency.

Transactions and balances

(i) Sale: Direct exports are undertaken in terms of the currency of the country of export and accounted for at
the rate prevailing on the date of shipment. The difference in exchange on the date of realization of debts is
taken in revenue. Third party exports are undertaken at rupee value.

(ii) Expenses: The actual expenses in terms of rupees on the date of transaction/ remittance for purchase
(import) of goods and expenses are taken into accounts.

(iii) Capital Goods: No capital goods were acquired out of foreign exchange involvement since 01-06-2003.

(iv) Borrowings: No foreign currency borrowings were made during the current financial year and no
outstanding foreign currency borrowings were at the beginning of the year.

m. Retirement and other employee benefits:

Short-term obligations

Liabilities for wages and salaries, including non-monetary benefits that are expected to be settled wholly
within 12 months after the end of the period in which the employees render the related service are recognized
in respect of employees'' services up to the end of the reporting period and are measured at the amounts
expected to be paid when the liabilities are settled.

Post-employment obligations

The Company operates the following post-employment schemes:

(a) defined benefit plans such as gratuity; and (b) defined contribution plans such as provident fund and ESI
Scheme.

Gratuity obligations

The liability or asset recognized in the balance sheet in respect of defined benefit gratuity plans is the present
value of the defined benefit obligation at the end of the reporting period less the fair value of plan assets. The
defined benefit obligation is calculated annually by actuaries using the projected unit credit method. The
retirement benefits of the employees in the form of gratuity are provided on accrual basis taking into account
the actuarial valuation.

The net interest cost is calculated by applying the discount rate to the net balance of the defined benefit
obligation and the fair value of plan assets. This cost is included in employee benefit expense in the Statement
of Profit and Loss.

Defined Contribution Plans

Retirement benefit in the form of provident fund is a defined contribution scheme. The contributions to the
provident fund and ESI are charged to the statement of profit and loss for the year when the contributions are
due. The company has no obligation, other than the contribution payable to the provident fund and ESI.

n. Taxation

The current tax expense or credit for the period is the tax payable on the current period''s taxable income based
on the applicable income tax rate adjusted by changes in deferred tax assets and liabilities attributable to
temporary differences and to unused tax losses.

Deferred tax is provided in full, using the liability method on temporary differences arising between the tax bases
of assets and liabilities and their carrying amount in the financial statement. Deferred tax is determined using tax
rates (and laws) that have been enacted or substantially enacted by the end of the reporting period and are
expected to apply when the related deferred income tax assets is realised or the deferred income tax liability is
settled. Deferred tax assets are recognized for all deductible temporary differences and unused tax losses, only
if, it is probable that future taxable amounts will be available to utilize those temporary differences and losses.
Current tax is recognised in the Statement of Profit and Loss, except to the extent that it relates to items
recognised in other comprehensive income or directly in equity. In this case, the tax is also recognised in other
comprehensive income or directly in equity, respectively

Minimum Alternate Tax credit is recognized as deferred tax asset only when and to the extent there is

convincing evidence that the Company will pay normal income tax during the specified period. Such asset is
reviewed at each Balance Sheet date and the carrying amount of the MAT credit asset is written down to the
extent there is no longer convincing evidence to the effect that the Company will pay normal income tax
during the specified period.

o. Segment reporting

The accounting policies adopted for segment reporting are in line with the accounting policies of the
company. Segment revenues and expenses are directly attributed to the related segment. Revenue and
expenses like dividend, interest, rent, profit/ loss on sale of assets and investments etc., which relate to the
enterprise as a whole and are not allocable to segment on a reasonable basis, have not been included therein.
The Company has two segments viz. manufacturing and job work of Packaged food products and other
operations which comprise trading transactions including brokerage, transportation, interest income on
short term lending and miscellaneous services.

Segment result includes revenue less operating expenses and provision, if any, for that segment. Segment
capital employed represents the net assets in particular segments. Head office and corporate office income
and expenses are considered as un-allocable corporate expenditure net of un-allocable income.

p. Equity Share Capital

An equity instrument is a contract that evidences residual interest in the assets of the company after
deducting all of its liabilities. Par value of the equity shares is recorded as share capital and the amount
received in excess of par value is classified as Securities Premium.

Costs directly attributable to the issue of ordinary shares are recognised as a deduction from equity, net of any
tax effects.

q. Earnings Per Share

The company reports basic and diluted earnings per equity share in accordance with Ind AS -33 (Earnings Per
Share). Basic earnings per equity share has been computed by dividing net profit or loss by the weighted
average number of equity shares outstanding for the period. Diluted earnings per equity share, has been
computed using the weighted average number of equity shares and dilutive potential equity shares
outstanding during the period.

r. Inter Corporate Loans

The Company follows the KYC norms before providing inter-corporate loans of its surplus fund. The Company
also covers reasonable securities against loan before / at the time of providing loans. Loans are segregated
into secured and unsecured depending upon the securities taken against the loan.

s. Current versus non-current

The Company presents assets and liabilities in statement of financial position based on current / non-current
classification.

The Company has presented non-current assets and current assets before equity, non-current liabilities and
current liabilities in accordance with Schedule III, Division II of the Companies act,2013 notified by MCA
As asset is classified as current when it is -

a) Expected to be realized or intended to be sold or consumed in normal operating cycle, b) Held primarily for
the purpose of trading, c) Expected to be realized within twelve months after the reporting period, or d) Cash
or cash equivalent unless restricted from being exchanged or used to settle a liability for at least twelve
months after the reporting period.

All other assets are classified as non-current.

A liability is classified as current when

a) Expected to be settled in normal operating cycle, b) Held primarily for the purpose of trading, c) Due to be
settled within twelve months after the reporting period, or d) There is no unconditional right to defer the
settlement of the liability for at least twelve months after the reporting period.

All other liabilities are classified as non-current.

The operating cycle is the time between the acquisition of assets for processing and their realization in cash or
cash equivalents.

Deferred tax assets and liabilities are classified as current assets and liabilities.

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Mar 31, 2024

Corporate information

Ceeta Industries Limited (CIL), is a domestic public limited company incorporated under the provisions of the Indian Companies Act, 1956, as extended to Companies Act, 2013 and having its'' registered office at Plot No.- 34-38, KIADB Industrial Area, Sathyamangala, Tumkur - 572104. The equity shares of the company are listed at BSE Ltd (SCRIP CODE: 514171)

The Company is primarily engaged in the business of manufacturing of packaged food products, i.e., different varieties and flavor of ready to eat snacks. The company is also engaged in the job work of the same business line. Additionally, the company also generates revenue from its'' surplus funds by financing, investment and some other activities.

NOTE 2

Statement of compliance and Material Accounting Policy Information

a. Basis of preparation and Presentation IND AS Financial Statement

These financial statements are prepared in accordance with Indian Accounting Standards (Ind AS) under the historical cost convention instruments which are measured at fair values, the provisions of the Companies Act, 2013. The Ind AS are prescribed under Section 133 of the Act read with Rule 3 of the Companies (Indian Accounting Standards) Rules, 2015, Companies (Indian Accounting Standards) Amendment Rules, 2016 and Companies (Indian Accounting Standards) Amendment Rules, 2017 and Companies (Indian Accounting Standards) Amendment Rules, 2023. The Company has adopted all the Ind AS standards as applicable. The transition was carried out from Indian Accounting Principles generally accepted in India as prescribed under Section133 of the Act, read with Rule 7 of the Companies (Accounts) Rules, 2014 (IGAAP), which was the previous GAAP.

Accounting policies have been consistently applied except where a newly issued accounting standard is initially adopted or a revision to an existing accounting standard requires a change in the accounting policy hitherto in use.

b. Change in accounting policy

Presentation and disclosure of financial statements:

The company has followed Schedule III as notified under the Companies Act 2013 for the preparation and presentation of its financial statements. Further, the company has followed the Schedule II of the Companies Act, 2013 for charging depreciation of the current financial year and reclassified the previous year figures in accordance with the requirements applicable in the current year.

c. Use of estimates, Judgments and Assumptions

The preparation of financial statements in conformity with Ind AS requires management to make estimates, judgments and assumptions. These estimates, judgments and assumptions affect the application of accounting policies and the reported amounts of assets and liabilities, the disclosures of contingent assets and liabilities at the date of the financial statements and reported amounts of revenues and expenses during the period. Accounting estimates could change from period to period. Actual results could differ from those estimates. Appropriate changes in estimates are made as management becomes aware of changes in circumstances surrounding the estimates. Accounting estimates are monetary amounts in financial statements that are subject to measurement uncertainty

d. Property, Plant and Equipment (PPE)

Under the previous Indian GAAP, property, plant and equipment were carried in the balance sheet on the basis of historical cost. On transition to IND AS, the company has adopted optional exception under IND AS 101 and has regarded historical cost as carrying value in IND AS complied financials. Property, plant and Equipment are carried at cost less accumulated depreciation and accumulated impairment losses, if any. Cost includes expenditure that is directly attributable to the acquition of the items. Assets are depreciated to the residual value as on 01/06/2003 and subsequent capital expenditure i.e.; addition to fixed assets, on a straight-line basis over the useful life prescribed in Schedule II to the Companies Act, 2013.

The gain or loss arising on the disposal or retirement of an item of property, plant and equipment is

determined as the difference between the sales proceeds and the carrying amount of the asset and is recognized in the statement of Profit and Loss on the date of disposal or retirement.

e. Depreciation and Amortization

Depreciation on PPE except as stated below, is provided as per Schedule II of the Companies Act, 2013 on straight-line method in respect of all tangible and intangible Property, Plants and Equipments assets at all location of the Company. Depreciation on upgradation of Property, Plant and Equipment is provided over the remaining useful life of the mother plant / fixed assets.

Leasehold Land held, if any, under finance lease including leasehold land are depreciated over their expected lease terms. No depreciation is charged on Freehold land. Assets costing rupees five thousand or less are being depreciated fully in the year of addition/acquisition.

Depreciation on Property, Plant and Equipments commences when the assets are ready for their intended use. Based on above, the useful lives as estimated for other assets considered for depreciation are as follows:

Category	Useful life
Buildings
Non-Factory Building (RCC Frame Structure)	60 Years
Factory Building	30 Years
Roads
Carpeted Roads-RCC	10 Years
Carpeted Roads-other than RCC	5 Years
Non-Carpeted Roads	3 Years
Plant and machinery
Continuous Process Plant	25 Years
Other than Continuous Process Plant	15 Years
Computer equipment
Desktop, Laptop and accessories	3 Years
Servers and networks	6 Years
Furniture and Fixtures	10 Years
Electrical Installations and Equipment	10 Years
Office equipment	5 Years
Vehicles
Motor cycles, scooters and other mopeds	10 Years
Others (Not for running them on Hire)	8 Years

Depreciation methods, useful lives, residual values are reviewed and adjusted as appropriate, at each reporting date.

f. Intangible Assets

Identifiable intangible assets are recognized when - a) the company controls the asset, b) it is probable that future economic benefits attributed to the asset will flow to the Company and c) the cost of the asset can be reliably measures.

Computer software are capitalized at the amounts paid to acquire the respective license for use and are amortized over the useful life prescribed in Schedule II to the Companies Act, 2013 on straight line basis.

The useful life of intangible assets is as mentioned below:

Category	Useful life
Software	3 Years
Technical Knowhow	3 Years

Research and development costs

Research costs are expensed as incurred. Development expenditure on projects is recognised as an intangible asset when the company can demonstrate:

- The technical feasibility of completing the intangible asset so that the asset will be available for use or sale.

- Its intention and ability to complete and to use or sell the asset.

- How the asset will generate future economic benefits.

- The availability of adequate resources to complete the asset.

- The ability to measure reliably the expenditure incurred during development.

Development expenditure that does not meet the above criteria is expensed as incurred.

During the period of development, the asset is tested for impairment annually.

g. Derecognition of Tangible and Intangible assets

An item of PPE is de-recognised upon disposal or when no future economic benefits are expected to arise from its use or disposal gain or loss arising on the disposal or retirement of an item of PPE is determined as the difference between the sales proceeds and the carrying amount of the asset and is recognised in the Statement of Profit and Loss.

h. Impairment of Tangible and Intangible Assets

Tangible and Intangible assets are reviewed at each balance sheet date for impairment. In case events and circumstances indicate any impairment, recoverable amount of assets is determined. An impairment loss is recognized in the statement of profit and loss, whenever the carrying amount of assets either belonging to Cash Generating Unit (CGU) or otherwise exceeds recoverable amount. The recoverable amount is the higher of assets'' fair value less cost of disposal and its value in use. In assessing value in use, the estimated future cash flows from the use of the assets are discounted to their present value at appropriate rate.

Impairment losses recognized earlier may no longer exist or may have come down. Based on such assessment at each reporting period the impairment loss is reversed and recognized in the Statement of Profit and Loss. In such cases the carrying amount of the asset is increased to the lower of its recoverable amount and the carrying amount that have been determined, net of depreciation, had no impairment loss been recognized for the asset in prior years.

i. Financial Instruments Recognition and initial measurement

Financial assets and financial liabilities (financial instruments) are recognised when the Company becomes a party to the contractual provisions of the instruments.

Financial assets and financial liabilities are initially measured at fair value. Transaction costs that are directly attributable to the acquisition or issue of financial assets and financial liabilities (other than financial assets and financial liabilities at fair value through profit or loss) are added to or deducted from the fair value of the financial assets or financial liabilities, as appropriate, on initial recognition. Transaction costs directly attributable to the acquisition of financial assets or financial liabilities at fair value through profit or loss are recognised immediately in the Statement of Profit and Loss.

The financial assets and financial liabilities are classified as current if they are expected to be realised or settled within operating cycle of the company or otherwise these are classified as non-current. The classification of financial instruments whether to be measured at Amortized Cost, at Fair Value through Profit and Loss (FVTPL) or at Fair Value through Other Comprehensive Income (FVTOCI) depends on the objective and contractual terms to which they relate. Classification of financial instruments are determined on initial recognition.

Financial Assets and Liabilities:

(i) Cash and cash equivalents

All highly liquid financial instruments, which are readily convertible into determinable amounts of cash and which are subject to an insignificant risk of change in value and are having original maturities of three months or less from the date of purchase, are considered as cash equivalents. Cash and cash equivalents includes balances with banks which are unrestricted for withdrawal and usage.

(ii) Financial Assets and Financial Liabilities measured at amortized cost

Financial Assets held within a business whose objective is to hold these assets in order to collect contractual cash flows and the contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding are measured at amortized cost.

The above Financial Assets and Financial Liabilities subsequent to initial recognition are measured at amortized cost using Effective Interest Rate (EIR) method.

The effective interest rate is the rate that discounts estimated future cash payments or receipts (including all fees and points paid or received, transaction costs and other premiums or discounts) through the expected life of the Financial Asset or Financial Liability to the gross carrying amount of the financial asset or to the amortized cost of financial liability, or, where appropriate, a shorter period, to the net carrying amount on initial recognition.

(iii) Financial Asset at Fair Value through Other Comprehensive Income (FVTOCI)

Financial assets are measured at fair value through other comprehensive income if these financial assets are held within a business whose objective is achieved by both collecting contractual cash flows and selling financial assets and the contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding. Subsequent to initial recognition, they are measured at fair value and changes therein are recognised directly in other comprehensive income.

(iv) For the purpose of para (ii) and (iii) above, principal is the fair value of the financial asset at initial recognition and interest consists of consideration for the time value of money and associated credit risk.

(v) Financial Assets or Liabilities at Fair value through profit or loss

Financial Instruments which do not meet the criteria of amortized cost or fair value through other comprehensive income are classified as Fair Value through Profit or loss. These are recognised at fair value and changes therein are recognized in the statement of profit and loss.

(vi) Equity Instruments measured at FVTOCI and FVTPL

Equity instruments which are, held for trading are classified as at FVTPL are measured at Fair Value as per Ind AS 109. For all other equity instruments, the company may make an irrevocable election to present in other comprehensive income subsequent changes in the fair value. The company makes such election on an instrument-by instrument basis. The classification is made on initial recognition and is irrevocable. In case the company decides to classify an equity instrument as at FVTOCI, then all fair value changes on the instrument, excluding dividends, are recognized in the OCI. There is no recycling of the amounts from OCI to Profit and Loss, even on sale of investment.

(vii) Impairment of financial assets

A financial asset is assessed for impairment at each balance sheet date. A financial asset is considered to be impaired if objective evidence indicates that one or more events have had a negative effect on the estimated future cash flows of that asset.

The company measures the loss allowance for a financial asset at an amount equal to the lifetime expected credit losses if the credit risk on that financial instrument has increased significantly since initial recognition. If the credit risk on a financial instrument has not increased significantly since initial recognition, the company measures the loss allowance for that financial instrument at an amount equal to 12-month expected credit losses.

However, for trade receivables or contract assets that result in relation to revenue from contracts with customers, the company measures the loss allowance at an amount equal to lifetime expected credit losses.

(viii) Derecognition of financial instruments

The Company derecognizes a financial asset or a group of financial assets when the contractual rights to the cash flows from the asset expire, or when it transfers the financial asset and substantially all the risks and rewards of ownership of the asset to another party.

On derecognition of a financial asset (except for equity instruments designated as FVTOCI), the difference between the asset''s carrying amount and the sum of the consideration received and receivable are recognized in statement of profit and loss.

On derecognition of assets measured at FVTOCI the cumulative gain or loss previously recognised in other comprehensive income is reclassified from equity to profit or loss as a reclassification

adjustment.

Financial liabilities are derecognized if the Company''s obligations specified in the contract expire or are discharged or cancelled. The difference between the carrying amount of the financial liability derecognized and the consideration paid and payable is recognized in Statement of Profit and Loss.

(ix) Fair Value Measurement

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date under current market conditions.

The Company categorizes financial instruments measurement at fair value into one of three levels depending on the ability to observe inputs employed for such measurement:

Level 1: Inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities.

Level 2: Inputs other than quoted prices included within level 1 that are observable either directly or indirectly for the asset or liability.

The fair value of financial instruments that are not traded in active market is determined using valuation techniques which maximize the use of observable market data and rely as little as possible on entity specific estimates. If significant inputs required to fair value an instrument are observable, the instrument is included in Level 2.

Level 3: Inputs for the asset or liability which are not based on observable market data (unobservable inputs).

If one or more of the significant inputs is not based on observable market data, the fair value is determined using generally accepted pricing models based on a discounted cash flow analysis, with the most significant inputs being the discount rate that reflects the credit risk of counterparty. This is the case with listed instruments where market is not liquid and for unlisted instruments.

The company has an established control framework with respect to the measurement of fair values. This includes a finance team that has overall responsibility for overseeing all significant fair value measurements who regularly review significant unobservable inputs, valuation adjustments and fair value hierarchy under which the valuation should be classified.

j. Investments

Investments in listed equity shares and equity based mutual funds, which are readily realizable and intended to be held for not more than one year (two years for unquoted equity shares) from the date on which such investments are made, are classified as current investments. All other investments are classified as long-term investments.

On initial recognition, all investments are measured at cost. The cost comprises purchase price and directly attributable acquisition charges such as brokerage, fees and duties. If an investment is acquired, or partly acquired, by the issue of shares or other securities, the acquisition cost is the fair value of the securities issued.

Current investments and Long-term investments are carried in the financial statements at fair value. The difference between carrying cost and fair value of the investments at the end of financial year is consider as other comprehensive income (OCI) and deferred tax provision also made on OCI at the applicable rate of tax. On disposal of an investment, the difference between fair value and net disposal proceeds is charged or credited under the head "capital gain" to the statement of profit and loss.

k. Inventories

Raw materials, components, Work-in Progress, Stores and Spares, Finished Goods and Stock-intrade are stated at lower of cost and net realizable value. Cost comprises all cost of purchase, cost of conversion and other costs incurred in bringing the inventories to their present location and condition. Net realizable value is the estimated selling price in the ordinary course of business, less estimated costs necessary to make the sale. Cost formulae used by the company is ''FIFO Method''.

l. Revenue recognition and other Income

Revenue is recognized to the extent that it is probable that the economic benefits will flow to the

company and the revenue can be reliably measured. The following specific recognition criteria must also be met before revenue is recognized:

Sale of goods: Revenue from sale of goods is recognized when all the significant risks and rewards of ownership of the goods have been passed to the buyer, usually on delivery of the goods. The company collects Goods and Service Tax (GST) on behalf of the government and, therefore, these are not economic benefits flowing to the company. Hence, they are excluded from revenue.

Rendering of Services: Revenue recognition on rendering of services is measured by completed service contract method only relates the revenue to the work accomplished. Such performance should be regarded as being achieved when no significant uncertainty exists regarding the amount of the consideration that will be derived from rendering the service.

Interest: Interest income is recognized on a time proportion basis taking into account the amount outstanding and the applicable interest rate. Interest income is included under the head "other income" in the statement of profit and loss.

Investments: Revenue from sale of equity/ bonds / mutual funds are recognized when all the significant risks and rewards of ownership of the instruments have been passed to the buyer, usually on delivery of the instruments. Income from Investments are included under the head "other income" in the statement of profit and loss.

m. Foreign currency transactions Functional and presentation currency

The financial statements are presented in Indian rupee (INR), which is Company''s functional and presentation currency.

Transactions and balances

(i) Sale: Direct exports are undertaken in terms of the currency of the country of export and accounted for at the rate prevailing on the date of shipment. The difference in exchange on the date of realization of debts is taken in revenue. Third party exports are undertaken at rupee value.

(ii) Expenses: The actual expenses in terms of rupees on the date of transaction/ remittance for purchase (import) of goods and expenses are taken into accounts.

(iii) Capital Goods: No capital goods were acquired out of foreign exchange involvement since 01-06-2003.

(iv) Borrowings: No foreign currency borrowings were made during the current financial year and no outstanding foreign currency borrowings were at the beginning of the year.

n. Retirement and other employee benefits:

Short-term obligations

Liabilities for wages and salaries, including non-monetary benefits that are expected to be settled wholly within 12 months after the end of the period in which the employees render the related service are recognized in respect of employees'' services up to the end of the reporting period and are measured at the amounts expected to be paid when the liabilities are settled.

Post-employment obligations

The Company operates the following post-employment schemes:

(a) defined benefit plans such as gratuity; and (b) defined contribution plans such as provident fund and ESI Scheme.

Gratuity obligations

The liability or asset recognized in the balance sheet in respect of defined benefit gratuity plans is the present value of the defined benefit obligation at the end of the reporting period less the fair value of plan assets. The defined benefit obligation is calculated annually by actuaries using the projected unit credit method. The retirement benefits of the employees in the form of gratuity are provided on accrual basis taking into account the actuarial valuation.

The net interest cost is calculated by applying the discount rate to the net balance of the defined benefit obligation and the fair value of plan assets. This cost is included in employee benefit expense in the Statement of Profit and Loss.

Defined Contribution Plans

Retirement benefit in the form of provident fund is a defined contribution scheme. The contributions

to the provident fund and ESI are charged to the statement of profit and loss for the year when the contributions are due. The company has no obligation, other than the contribution payable to the provident fund and ESI.

o. Taxation

The current tax expense or credit for the period is the tax payable on the current period''s taxable income based on the applicable income tax rate adjusted by changes in deferred tax assets and liabilities attributable to temporary differences and to unused tax losses.

Deferred tax is provided in full, using the liability method on temporary differences arising between the tax bases of assets and liabilities and their carrying amount in the financial statement. Deferred tax is determined using tax rates (and laws) that have been enacted or substantially enacted by the end of the reporting period and are expected to apply when the related deferred income tax assets is realised or the deferred income tax liability is settled. Deferred tax assets are recognized for all deductible temporary differences and unused tax losses, only if, it is probable that future taxable amounts will be available to utilize those temporary differences and losses.

Current tax is recognised in the Statement of Profit and Loss, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. In this case, the tax is also recognised in other comprehensive income or directly in equity, respectively

Minimum Alternate Tax credit is recognized as deferred tax asset only when and to the extent there is convincing evidence that the Company will pay normal income tax during the specified period. Such asset is reviewed at each Balance Sheet date and the carrying amount of the MAT credit asset is written down to the extent there is no longer convincing evidence to the effect that the Company will pay normal income tax during the specified period.

p. Segment reporting

The accounting policies adopted for segment reporting are in line with the accounting policies of the company. Segment revenues and expenses are directly attributed to the related segment. Revenue and expenses like dividend, interest, rent, profit/ loss on sale of assets and investments etc., which relate to the enterprise as a whole and are not allocable to segment on a reasonable basis, have not been included therein.

The Company has two segments viz. manufacturing and job work of Packaged food products and other operations which comprise trading transactions including brokerage, transportation, interest income on short term lending and miscellaneous services.

Segment result includes revenue less operating expenses and provision, if any, for that segment. Segment capital employed represents the net assets in particular segments. Head office and corporate office income and expenses are considered as un-allocable corporate expenditure net of un-allocable income.

q. Equity Share Capital

An equity instrument is a contract that evidences residual interest in the assets of the company after deducting all of its liabilities. Par value of the equity shares is recorded as share capital and the amount received in excess of par value is classified as Securities Premium.

Costs directly attributable to the issue of ordinary shares are recognised as a deduction from equity, net of any tax effects.

r. Earnings Per Share

The company reports basic and diluted earnings per equity share in accordance with Ind AS -33 (Earnings Per Share). Basic earnings per equity share has been computed by dividing net profit or loss by the weighted average number of equity shares outstanding for the period. Diluted earnings per equity share, has been computed using the weighted average number of equity shares and dilutive potential equity shares outstanding during the period.

s. Inter Corporate Loans

The Company follows the KYC norms before providing inter-corporate loans of its surplus fund. The Company also covers reasonable securities against loan before / at the time of providing loans. Loans are segregated into secured and unsecured depending upon the securities taken against the

loan.

t. Current versus non-current

The Company presents assets and liabilities in statement of financial position based on current / non-current classification.

The Company has presented non-current assets and current assets before equity, non-current liabilities and current liabilities in accordance with Schedule III, Division II of the Companies act,2013 notified by MCA

As asset is classified as current when it is -

a) Expected to be realized or intended to be sold or consumed in normal operating cycle, b) Held primarily for the purpose of trading, c) Expected to be realized within twelve months after the reporting period, or d) Cash or cash equivalent unless restricted from being exchanged or used to settle a liability for at least twelve months after the reporting period.

All other assets are classifies as Non- current.

A liability is classified as current when

a) Expected to be settled in normal operating cycle, b) Held primarily for the purpose of trading, c) Due to be settled within twelve months after the reporting period, or d) There is no unconditional right to defer the settlement of the liability for at least twelve months after the reporting period.

All other liabilities are classified as non-current.

The operating cycle is the time between the acquisition of assets for processing and their realization in cash or cash equivalents.

Deferred tax assets and liabilities are classified as current assets and liabilities.

u. Provisions, Contingent Liabilities and Contingent Assets

Provisions involving substantial degree of estimation in measurement are recognized when there is a legal or constructive obligation as a result of past events and it is probable that there will be an outflow of resources and a reliable estimate can be made of the amount of obligation. Provisions are not recognised for future operating losses. The amount recognized as a provision is the best estimate of the consideration required to settle the present obligation at the end of the reporting period, taking into account the risks and uncertainties surrounding the obligation.

Contingent liabilities are not recognized and are disclosed by way of notes to the financial statements when there is a possible obligation arising from past events, the existence of which will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the Company or when there is a present obligation that arises from past events where it is either not probable that an outflow of resources will be required to settle the same or a reliable estimate of the amount in this respect cannot be made.

Contingent assets are not recognised but disclosed in the Financial Statements by way of notes to accounts when an inflow of economic benefits is probable.

v. Statement of Cash Flow

Cash flows are reported using the ''indirect method'' as set out in Ind AS 7, whereby profit for the year is adjusted for the effect of transactions of a non-cash nature, any deferrals or accruals of past and future opening cash receipts or payments and item of income and expenses associated with investing or financing cash flow. The cash flow from operating, investing and financing activities of the company are segregated. The company considers all high liquid investments that are readily convertible to known accounts of cash to be cash equivalents.

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Mar 31, 2015

A. Corporate information

Ceeta Industries Limited is a domestic public limited company incorporated under the provisions of the Indian Companies Act, 1956. The company's main activity, being the operation of its hundred percent export oriented granite unit, had to be kept in suspension due to continuing unfavourable trading condition in the export market. The company therefore has always been looking for opportunity to undertake other profitable activities such as trading, handling & transportation and deployment of funds for short term with the corporates. In the mean while the company, with an intension to diversify the project, exploring the feasibility and viability of a project to manufacture cement mould products mainly of electric poles. The other activities as mentioned earlier have enabled the company to have profitable operations.

b. Basis of preparation

The financial statements of the company have been prepared in accordance with generally accepted accounting principles in India (Indian GAAP). The company has prepared these financial statements to comply in all material respects with the accounting standards notified under the Companies (Accounting Standards) Rules, 2006, (as amended) and the relevant provisions of the Companies Act, 1956. The financial statements have been prepared on an accrual basis and under the historical cost convention.

The accounting policies adopted in the preparation of financial statements are consistent with those of previous year, except for the change in accounting policy explained below.

c. Change in accounting policy

Presentation and disclosure of financial statements:

The Schedule III notified under the Companies Act 2013 is applicable to the company in the current year for preparation and presentation of its financial statements. There is no change in accounting policy of the company during the current year except charging of depreciation under Straight Line Method of Schedule II of the Companies Act, 2013. However, the company has reclassified the previous year figures in accordance with the requirements applicable in the current year.

d. Use of estimates

The preparation of financial statements in conformity with Indian GAAP requires the management to make judgments, estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities and the disclosure of contingent liabilities, at the end of the reporting period. Although these estimates are based on the management's best knowledge of current events and actions, uncertainty about these assumptions and estimates could result in the outcomes requiring a material adjustment to the carrying amounts of assets or liabilities in future periods

e. Tangible fixed assets

Fixed assets are stated at the book value as on 01/06/2003 and subsequent capital expenditure i.e.; addition to fixed assets are stated at cost prevailing at the date of acquisition.

f. Depreciation on tangible fixed assets

Depreciation on fixed assets has been provided as per rate applicable on the basis of estimated useful life under Straight Line Method of Schedule II of the Companies Act, 2013.

g. Investments

Investments, which are readily realizable and intended to be held for not more than one year from the date on which such investments are made, are classified as current investments. All other investments are classified as long-term investments.

On initial recognition, all investments are measured at cost. The cost comprises purchase price and directly attributable acquisition charges such as brokerage, fees and duties. If an investment is acquired, or partly acquired, by the issue of shares or other securities, the acquisition cost is the fair value of the securities issued.

Current investments are carried in the financial statements at cost. Long-term investments are carried at cost. On disposal of an investment, the difference between its carrying amount and net disposal proceeds is charged or credited under the head "capital gain" to the statement of profit and loss.

h. Inventories

Raw materials, components, stores and spares are valued at lower of cost and net realizable value. Finished goods are valued at lower of cost and net realizable value. Net realizable value is the estimated selling price in the ordinary course of business, less estimated costs of completion and estimated costs necessary to make the sale.

i. Revenue recognition

Revenue is recognized to the extent that it is probable that the economic benefits will flow to the company and the revenue can be reliably measured. The following specific recognition criteria must also be met before revenue is recognized:

Sale of goods

Revenue from sale of goods is recognized when all the significant risks and rewards of ownership of the goods have been passed to the buyer, usually on delivery of the goods. The company collects sales taxes and value added taxes (VAT) on behalf of the government and, therefore, these are not economic benefits flowing to the company. Hence, they are excluded from revenue. Excise duty deducted from revenue (gross) is the amount that is included in the revenue (gross).

Interest:

Interest income is recognized on a time proportion basis taking into account the amount outstanding and the applicable interest rate. Interest income is included under the head "other income" in the statement of profit and loss.

j. Foreign currency transaction

(i) Sale: Direct exports are undertaken in terms of the currency of the country of export and accounted for at the rate prevailing on the date of shipment. The difference in exchange on the date of realization of debts is taken in revenue. Third party exports are undertaken at rupee value.

(ii) Expenses: The actual expenses in terms of rupees on the date of transaction/ remittance for purchase (import) of goods and expenses are taken into account.

(iii) Capital Goods: No capital goods were acquired out of foreign exchange involvement since 01-06-2003.

(iv) Borrowings: No foreign currency borrowings were made during the current financial year and no outstanding foreign currency borrowings were at the beginning of the year.

k. Retirement and other employee benefits

Retirement benefit in the form of provident fund is a defined contribution scheme. The contributions to the provident fund are charged to the statement of profit and loss for the year when the contributions are due. The company has no obligation, other than the contribution payable to the provident fund.

The retirement benefits of the employees in the form of gratuity is provided on accrual basis taking into account the actuarial valuation.

i Income tax

In pursuance of accounting Standard-22 (accounting for taxes on income) issued by the Institute of Chartered Accountants of India, current tax is determined on the basis of the income for the year under Income Tax Act.

Provision for deferred tax made in the Profit and Loss Statement reflects the impact of timing differences between income and accounting income originating during the current year and reversal of timing differences of earlier years. Deferred tax is measured using the tax rates and the tax laws enacted or substantively enacted at the reporting date. Deferred tax assets are recognized for deductible timing differences only to the extent that there is reasonable certainty that sufficient future taxable income will be available against which such deferred tax assets can be realised.

As the company is having deferred tax asset by concept of prudence, no provisions has been made in the books.

m. Segment reporting

The Company at present has two segments viz. granite division engaged in manufacturing granite products and other operations which comprise trading transactions including brokerage, commission, mining, transportation, purchase / sale of property construction rights, interest income on short term lending and miscellaneous services.

Segment result includes revenue less operating expenses and provision, if any, for that segment. Segment capital employed represents the net assets in particular segments. Head office income and expenses are considered as unallocable corporate expenditure net of unallocable income.

n. Earnings Per Share

The company reports basic and diluted earnings per equity share in accordance with AS- 20 (Earnings Per Share). Basic earnings per equity share has been computed by dividing net profit or loss by the weighted average number of equity shares outstanding for the period. Diluted earnings per equity share, has been computed using the weighted average number of equity shares and dilutive potential equity shares outstanding during the period.

o. Inter Corporate Loans

The Company follows the KYC norms before providing inter- corporate loans. The Company also covers reasonable securities against loan before / at the time of providing loans. Loans are segregated into secured and unsecured depending upon the securities taken against the loan.

p. Contingent liabilities

A contingent liability is a possible obligation that arises from past events whose existence will be confirmed by the occurrence or non-occurrence of one or more uncertain future events beyond the control of the company or a present obligation that is not recognized because it is not probable that an outflow of resources will be required to settle the obligation. A contingent liability also arises in extremely rare cases where there is a liability that cannot be recognized because it cannot be measured reliably. The company does not recognize a contingent liability but discloses its existence in the financial statements.

q. Cash and cash equivalents

Cash and cash equivalents for the purposes of cash flow statement comprise cash at bank and in hand and bank deposits with more than 12 months maturity. Investment towards margin money and security deposit and other commitments are also grouped under cash and cash equivalents.

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Mar 31, 2014

A. Corporate information

Ceeta Industries Limited is a domestic public limited company incorporated under the provisions of the Indian Companies Act, 1956. The company''s main activity, being the operation of its hundred percent export oriented granite unit, had to be kept in suspension due to continuing unfavourable trading condition in the export market. The company, therefore has always been in the took out for opportunity to undertake profitable activities such as trading, handling & transportation and deployment of funds for short term with the corporates. The other activities as mentioned earlier have enabled the company to have profitable operations

b. Basis of preparation

The financial statements of the company have been prepared in accordance with generally accepted accounting principles in India (Indian GAAP). The company has prepared these financial statements to comply in all material respects with the accounting standards notified under the Companies (Accounting Standards) Rules, 2006, (as amended) and the relevant provisions of the Companies Act, 1956. The financial statements have been prepared on an accrual basis and under the historical cost convention.

The accounting policies adopted in the preparation of financial statements are consistent with those of previous year, except for the change in accounting policy explained below.

c. Change in accounting policy

Presentation and disclosure of financial statements:

The revised Schedule VI notified under the Companies Act 1956 is applicable to the company in the current year for preparation and presentation of its financial statements. There is no change in accounting policy of the company during the current year except charging depreciation on Plan and Machinery on single shift basis instead of triple shift basis charged in previous years. However, the company has reclassified the previous year figures in accordance with the requirements applicable in the current year.

d. Use of estimates

The preparation of financial statements in conformity with Indian GAAP requires the management to make judgments, estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities and the disclosure of contingent liabilities, at the end of the reporting period. Although these estimates are based on the management''s best knowledge of current events and actions, uncertainty about these assumptions and estimates could result in the outcomes requiring a material adjustment to the carrying amounts of assets or liabilities in future periods

e. Tangible fixed assets

Fixed assets are stated at the book value as on 01/06/2003 and subsequent capital expenditure i.e.; addition to fixed assets are stated at cost prevailing at the date of acquisition.

f. Depreciation on tangible fixed assets

Depreciation on fixed assets has been provided on straight line method. The rates and manner for depreciation provision are as per schedule XIV to the Companies Act, 1956 as amended by the Companies (Amendment) Act, 1988.

g. Investments

Investments, which are readily realizable and intended to be held for not more than one year from the date on which such investments are made, are classified as current investments. All other investments are classified as long-term investments.

On initial recognition, all investments are measured at cost. The cost comprises purchase price and directly attributable acquisition charges such as brokerage, fees and duties. If an investment is acquired, or partly acquired, by the issue of shares or other securities, the acquisition cost is the fair value of the securities issued.

Current investments are carried in the financial statements at cost. Long-term investments are carried at cost. On disposal of an investment, the difference between its carrying amount and net disposal proceeds is charged or credited under the head "capital gain" to the statement of profit and loss.

h. Inventories

Raw materials, components, stores and spares are valued at lower of cost and net realizable value. Finished goods are valued at lower of cost and net realizable value. Net realizable value is the estimated selling price in the ordinary course of business, less estimated costs of completion and estimated costs necessary to make the sale.

i. Revenue recognition

Revenue is recognized to the extent that it is probable that the economic benefits will flow to the company and the revenue can be reliably measured. The following specific recognition criteria must also be met before revenue is recognized:

Sale of goods

Revenue from sale of goods is recognized when all the significant risks and rewards of ownership of the goods have been passed to the buyer, usually on delivery of the goods. The company collects sales taxes and value added taxes (VAT) on behalf of the government and, therefore, these are not economic benefits flowing to the company. Hence, they are excluded from revenue. Excise duty deducted from revenue (gross) is the amount that is included in the revenue (gross).

Interest:

Interest income is recognized on a time proportion basis taking into account the amount outstanding and the applicable interest rate. Interest income is included under the head "other income" in the statement of profit and loss.

j. Foreign currency translation

(i) Sale: Direct exports are undertaken in terms of the currency of the country of export and accounted for at the rate prevailing on the date of shipment. The difference in exchange on the date of realization of debts is taken in revenue. Third party exports are undertaken at rupee value.

(ii) Expenses: The actual expenses in terms of rupees on the date of transaction/ remittance for purchase (import) of goods and expenses are taken into account.

(iii) Capital Goods: No capital goods were acquired out of foreign exchange involvement since 01-06-2003.

(iv) Borrowings: No foreign currency borrowings were made during the current financial year and no outstanding foreign currency borrowings were at the beginning of the year.

k. Retirement and other employee benefits

Retirement benefit in the form of provident fund is a defined contribution scheme. The contributions to the provident fund are charged to the statement of profit and loss for the year when the contributions are due. The company has no obligation, other than the contribution payable to the provident fund.

The retirement benefits of the employees in the form of gratuity is provided on accrual basis taking into account the actuarial valuation.

i Income tax

In pursuance of accounting Standard-22 (accounting for taxes on income) issued by the Institute of Chartered Accountants of India, current tax is determined on the basis of the income for the year under Income Tax Act.

Provision for deferred tax made in the Profit and Loss Statement reflects the impact of timing differences between income and accounting income originating during the current year and reversal of timing differences of earlier years. Deferred tax is measured using the tax rates and the tax laws enacted or substantively enacted at the reporting date. Deferred tax assets are recognized for deductible timing differences only to the extent that there is reasonable certainty that sufficient future taxable income will be available against which such deferred tax assets can be realised.

As the company is having deferred tax asset by concept of prudence, no provisions has been made in the books.

m. Segment reporting

The Company at present has two segments viz. granite division engaged in manufacturing granite products and other operations which comprise trading transactions including brokerage, commission, mining, transportation, purchase / sale of property construction rights, interest income on short term lending and miscellaneous services.

Segment result includes revenue less operating expenses and provision, if any, for that segment. Segment capital employed represents the net assets in particular segments. Head office income and expenses are considered as unallocable corporate expenditure net of unallocable income.

n. Earnings Per Share

The company reports basic and diluted earnings per equity share in accordance with AS-20 (Earnings Per Share). Basic earnings per equity share has been computed by dividing net profit or loss by the weighted average number of equity shares outstanding for the period. Diluted earnings per equity share, has been computed using the weighted average number of equity shares and dilutive potential equity shares outstanding during the period.

o. Inter Corporate Loans

The Company follows the KYC norms before providing inter- corporate loans. The Company also covers reasonable securities against loan before / at the time of providing loans. Loans are segregated into secured and unsecured depending upon the securities taken against the loan.

p. Contingent liabilities

A contingent liability is a possible obligation that arises from past events whose existence will be confirmed by the occurrence or non-occurrence of one or more uncertain future events beyond the control of the company or a present obligation that is not recognized because it is not probable that an outflow of resources will be required to settle the obligation. A contingent liability also arises in extremely rare cases where there is a liability that cannot be recognized because it cannot be measured reliably. The company does not recognize a contingent liability but discloses its existence in the financial statements.

q. Cash and cash equivalents

Cash and cash equivalents for the purposes of cash flow statement comprise cash at bank and in hand and bank deposits with more than 12 months maturity. Investment towards margin money and security deposit and other commitments are also grouped under cash and cash equivalents.

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Mar 31, 2013

A. Corporate information

Ceeta Industries Limited is a domestic public limited company incorporated under the provisions of the Indian Companies Act, 1956. The company''s main activity, being the operation of its hundred percent export oriented granite unit, had to be kept in suspension due to continuing unfavourable trading condition in the export market. The company, therefore. has always been in the took out for opportunity to undertake profitable activities such as trading, handling & transportation and deployment of funds for short term with the corporates. The other activities as mentioned earlier have enabled the company to have profitable operations.

b. Basis of preparation

The financial statements of the company have been prepared in accordance with generally accepted accounting principles in India (Indian GAAP). The company has prepared these financial statements to comply in all material respects with the accounting standards notified under the Companies (Accounting Standards) Rules, 2006, (as amended) and the relevant provisions of the Companies Act, 1956. The financial statements have been prepared on an accrual basis and under the historical cost convention.

The accounting policies adopted in the preparation of financial statements are consistent with those of previous year, except for the change in accounting policy explained below.

c. Change in accounting policy

Presentation and disclosure of financial statements:

The revised Schedule VI notified under the Companies Act 1956, has became applicable to the company in the previous year for preparation and presentation of its financial statements. There is no change in accounting policy of the company during the current year. However, the company has reclassified the previous year figures in accordance with the requirements applicable in the current year.

d. Use of estimates

The preparation of financial statements in conformity with Indian GAAP requires the management to make judgments, estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities and the disclosure of contingent liabilities, at the end of the reporting period. Although these estimates are based on the management''s best knowledge of current events and actions, uncertainty about these assumptions and estimates could result in the outcomes requiring a material adjustment to the carrying amounts of assets or liabilities in future periods

e. Tangible fixed assets

Fixed assets are stated at the book value as on 01/06/2003 and subsequent capital expenditure i.e.; addition to fixed assets are stated at cost prevailing at the date of acquisition.

f. Depreciation on tangible fixed assets

Depreciation on fixed assets has been provided on straight line method; in case of plant & machinery for granite division the ''triple shift basis'' has been taken. The rates and manner for depreciation provision are as per schedule XIV to the Companies Act, 1956 as amended by the Companies (Amendment) Act, 1988.

g. Investments

Investments, which are readily realizable and intended to be held for not more than one year from the date on which such investments are made, are classified as current investments. All other investments are classified as long-term investments.

On initial recognition, all investments are measured at cost. The cost comprises purchase price and directly attributable acquisition charges such as brokerage, fees and duties. If an investment is acquired, or partly acquired, by the issue of shares or other securities, the acquisition cost is the fair value of the securities issued.

Current investments are carried in the financial statements at cost. Long-term investments are carried at cost. On disposal of an investment, the difference between its carrying amount and net disposal proceeds is charged or credited under the head ''capital gain” to the statement of profit and loss.

h. Inventories

Raw materials, components, stores and spares are valued at lower of cost and net realizable value. Finished goods are valued at lower of cost and net realizable value. Net realizable value is the estimated selling price in the ordinary course of business, less estimated costs of completion and estimated costs necessary to make the sale.

i. Revenue recognition

Revenue is recognized to the extent that it is probable that the economic benefits will flow to the company and the revenue can be reliably measured. The following specific recognition criteria must also be met before revenue is recognized: sale of goods Revenue from sale of goods is recognized when all the significant risks and rewards of ownership of the goods have been passed to the buyer, usually on delivery of the goods.

The company collects sales taxes and value added taxes (VAT) on behalf of the government and, therefore, these are not economic benefits flowing to the company.

Hence, they are excluded from revenue. Excise duty deducted from revenue (gross) is the amount that is included in the revenue (gross). Interest:

Interest income is recognized on a time proportion basis taking into account the amount outstanding and the applicable interest rate. Interest income is included under the head ''other income” in the statement of profit and loss.

j. Foreign currency translation

(I) Sale: Direct exports are undertaken in terms of the currency of the country of export and accounted for at the rate prevailing on the date of shipment. The difference in exchange on the date of realization of debts is taken in revenue. Third party exports are undertaken at rupee value.

(ii) Expenses: The actual expenses in terms of rupees on the date of transaction/ remittance for purchase (import) of goods and expenses are taken into account.

(iii) Capital Goods: No capital goods were acquired out of foreign exchange involvement since 01-06-2003.

(iv) Borrowings: No foreign currency borrowings were made during the current financial year and no outstanding foreign currency borrowings were at the beginning of the year.

k. Retirement and other employee benefits

Retirement benefit in the form of provident fund is a defined contribution scheme. The contributions to the provident fund are charged to the statement of profit and loss for the year when the contributions are due. The company has no obligation, other than the contribution payable to the provident fund.

The retirement benefits of the employees in the form of gratuity is provided on accrual basis taking into account the actuarial valuation.

i Income tax

In pursuance of accounting Standard-22 (accounting for taxes on income) issued by the Institute of Chartered Accountants of India, current tax is determined on the basis of the income for the year under Income Tax Act.

Provision for deferred tax made in the Profit and Loss Statement reflects the impact of timing differences between income and accounting income originating during the current year and reversal of timing differences of earlier years. Deferred tax is measured using the tax rates and the tax laws enacted or substantively enacted at the reporting date. Deferred tax assets are recognized for deductible timing differences only to the extent that there is reasonable certainty that sufficient future taxable income will be available against which such deferred tax assets can be realised.

As the company is having deferred tax asset by concept of prudence, no provisions has been made in the books.

m. Segment reporting

The Company at present has two segments viz. granite division engaged in manufacturing granite products and other operations which comprise trading transactions including brokerage, commission, mining, transportation, purchase / sale of property construction rights, interest income on short term lending and miscellaneous services.

Segment result includes revenue less operating expenses and provision, if any, for that segment. Segment capital employed represents the net assets in particular segments. Head office income and expenses are considered as unallocable corporate expenditure net of unallocable income.

n. Earnings Per Share

The company reports basic and diluted earnings per equity share in accordance with AS-20 (Earnings Per Share). Basic earnings per equity share has been computed by dividing net profit or loss by the weighted average number of equity shares outstanding for the period. Diluted earnings per equity share, has been computed using the weighted average number of equity shares and dilutive potential equity shares outstanding during the period.

o. Inter Corporate Loans

The Company follows the KYC norms before providing inter- corporate loans. The Company also covers reasonable securities against loan before / at the time of providing loans. Loans are segregated into secured and unsecured depending upon the securities taken against the loan.

p. Contingent liabilities

A contingent liability is a possible obligation that arises from past events whose existence will be confirmed by the occurrence or non-occurrence of one or more uncertain future events beyond the control of the company or a present obligation that is not recognized because it is not probable that an outflow of resources will be required to settle the obligation. A contingent liability also arises in extremely rare cases where there is a liability that cannot be recognized because it cannot be measured reliably. The company does not recognize a contingent liability but discloses its existence in the financial statements.

q. Cash and cash equivalents

Cash and cash equivalents for the purposes of cash flow statement comprise cash at bank and in hand and bank deposits with more than 12 months maturity. Investment towards margin money and security deposit and other commitments are also grouped under cash and cash equivalents.

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Mar 31, 2010

(i) General:

The company follows accrual system of accounting and recognizes income and expenditure on accrual basis unless otherwise stated. The accounts are prepared on historical cost convention,

(ii) Fixed Assets :

Fixed assets as on 01/06/2003 are stated at the book value and any addition to fixed assets subsequent to that date are stated at cost prevailing on the date of acquisition.

(Hi) Depreciation :

Depreciation on fixed assets has been provided on straight line method; in case of plant & machinery for granite division the triple shift basis has been taken. The rates and manner for depreciation provision are as per schedule XIV to the Companies Act, 1956 as amended by the Companies (Amendment) Act, 1988.

(iv) Investments :

Quoted Investments are stated at cost less diminution in the market value which are permanent in nature. The decline in market value of investment in current year has been considered to be temporary in nature and hence no provision is made in the books.

(v) Inventories :

Inventories of the company are stated at lower of cost or net realisable value.

(vi) Revenue Recognition :

The companys sales are net of sales returns and duties and levies.

(vii) Foreign Exchange Transaction :

The transactions in foreign currencies remaining outstanding at the end of the year are translated at the exchange rates prevailing on the date of the Balance sheet. Exchange rate gain/loss on transactions relating to liabilities incurred to acquire fixed assets is treated as an adjustment to the cost of fixed assets. Exchange gains and losses on foreign exchange transactions, other than those relating to fixed assets are recognized in the profit and loss account in accordance with the Accounting standard 11 of the Institute of Chartered Accountants of India.

(viii) Employee Retirement Benefits :

Companys contributions to Provident fund are charged to Profit and Loss a/c. For retirement benefit of the employee, Gratuity is provided on accrual basis taking into account the actuarial valuation.

(ix) Contingent Liabilities:

Contingent liability has been disclosed separately by way of notes on accounts in the Schedule and no provision has been made in the accounts.

(x) Earning Per share :

The company reports basic and diluted earnings per equity share in accordance with AS-20 (Earnings Per Share). Basic earnings per equity share has been computed by dividing net profit or loss by the weighted average number of equity shares outstanding for the period. Diluted earnings per equity share, has been computed using the weighted average number of equity shares and dilutive potential equity shares outstanding during the period.

(xi) Segment Information - Basis of preparation

The Company at present has two segments viz. granite division engaged in manufacturing granite products and other operations which comprises trading transactions including brokerage, commission, mining, transportation and miscellaneous services.

Segment result includes revenue less operating expenses and provision, if any, for that segment. Segment capital employed represents the net assets in particular segments. Head office income and expenses are considered as unallocable corporate expenditure net of unallocable income.

(xii) Taxation

No provision for income tax has been made since the company has no tax liability in accordance with the provision of the Income Tax Act.