Notes to Accounts of Control Print Ltd.

Mar 31, 2025

(xxv) Provisions, Contingent Liabilities and
Contingent Assets

Provisions involving substantial degree of
estimation in measurement are recognised
when there is a present obligation as a result
of past events and it is probable that there
will be an outflow of resources. Contingent
liabilities are not recognised but are
disclosed in the notes to financial statements.
Contingent assets are not recognised but
disclosed in the financial statements when
an inflow of economic benefits is probable.
Provisions, contingent liabilities are reviewed
at each balance sheet date and adjusted to
reflect the current best estimate.

A contingent liability exists when there is a
possible but not probable obligation, or a
present obligation that may, but probably
will not, require an outflow of resources, or
a present obligation whose amount cannot
be estimated reliably. Contingent liabilities
do not warrant provisions but are disclosed
as the possibility of outflow of resources is
remote.

(xxvi) Cash Flow Statements

Statement of Cash Flows is prepared
segregating the cash flows into operating,
investing, and financing activities. Cash flow
from operating activities is reported using
indirect method, adjusting the net profit for
the effects of changes during the period in
inventories, operating receivables, payables,
transactions of a non-cash nature such as
depreciation, provisions, deferred taxes,
unrealised foreign currency gains and losses,
and undistributed profits of associates and
all other items for which the cash effects are
investing or financing cash flows.

For the purpose of presentation in the
statement of cash flow, cash and cash
equivalents includes cash on hand and
balance held with banks and short term
investments in liquid Mutual Funds.

II. For Intangible Assets Under Development

a) Whose completion is overdue or

b) Has exceeded its cost compared to its original plan

There is no Intangible Asset Under Development whose completion is overdue or has exceeded its cost compared
to its original plan.

Note:

These figures are inclusive of Assets at Sri Lanka Branch. Depreciation for Assets at Sri Lanka Branch is charged as per
standards applicable according to local laws of Sri Lanka and not as per Sch-II of Companies Act, 2013.

Terms/ Rights attached to Equity Shares:

The Company has only one class of equity shares having a par value of '' 10 per share. Each holder of equity
shares is entitled to one vote per share. The Company declares and pays dividends in Indian rupees. The dividend
proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General
Meeting. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the
Company after distribution of all preferential amounts, in proportion to their shareholding.

During the FY 2023-24 Company Bought back 3,37,500 Equity Shares at a price of '' 800/- Per Equity Share

(C) In the arbitration proceedings relating to dispute between Videojet Technologies Inc. and Control Print
Limited, Company filed an appeal against the Order of Arbital Tribunal (involving '' 632.92 Lakhs plus
Interest) before the Honourable Bombay High Court. The Honourable Court vide it order date February
28, 2020, stayed the award of the Arbitral Tribunal and directed the Company to furnish Bank Guarantee
of '' 230.00 Lakhs, which the Company has complied with. Since the matter is pending for final adjudication
before the Court, the Company''s Management has decided that no provision for any liability in this matter
is considered necessary in the accounts.

48. Financial Statements of the Sri Lanka Branch of the Company for the year ended 31 March 2025 is part of Standalone
Ind As Financial Statement and the same has been translated in accordance with Ind AS-21 “The effects of changes
in the Foreign exchange Rates”. The Branch has incurred Net Loss of '' 18.68 Lakhs during the financial year ended
31 March 2025.

49. The Company operates in a Single Reportable Segment, viz Coding & Marking Machines and Consumables
thereof.

50. During the year, the Company has made monetary contribution of '' 25 Lakhs to NGO which is being carried
forward to immediate three financial year pursuant to the Companies (Corporate Social Responsibility Policy)
Amendment Rules 2021 dated 22 January 2021. Company’s obligation towards Corporate Social Responsibility
under the provisions of Section 135 of The Companies Act 2013 for FY 2024-25 is '' 126.25 Lakhs has been set off

nnninct Rrm inht fnru/nrrl hnlnnm r>f Fycpcc f''RR cnpnt in nnrlinr imnrc

52. The Company having an eligible undertaking under section 80IE of the Income Tax Act, 1961 relating to Guwahati
plant has been historically subject to the Minimum Alternate Tax (MAT) provisions. FY 2024-25 is the last year where
the Company is liable to pay income tax under MAT Provision. The excess of income tax on book profit paid over
the normal income tax for the past several years stand at '' 49.57 Crores and the same is allowed to be carried
forward as a MAT credit, which can be utilised against the normal income tax liability in future years. Based on the
evaluation of the factors mentioned as per Ind-AS 12 “Income Taxes”, the Company has determined that there is
virtual certainty that sufficient future taxable profits will be available against which the MAT credit Entitlement of
'' 49.57 Crores can be utilised. Therefore, the Company has recognised a deferred tax asset of '' 49.57 Crores in the
financial statements and correspondingly MAT Credit Entitlement of '' 49.57 Crores under Tax Expenses in Statement
of Profit and Loss for the year ended 31 March 2025.

53. There are no procedings being initiated or pending against the Company for holding any benami property under
the Benami Transactions (Prohibition) Act, 1988, Hence relevant disclosures not applicable.

54. The Company has not entered into any transcations with Companies Struck off under section 248 of the companies
Act 2013 except to the extent stated below:

55. The Company has borrowings from banks on the basis of security of current assets. The quarterly returns or
statements of current assets filed by the Company with banks or financial institutions are generally in agreement
with the books of accounts except some minor differences which are not material to report.

56. There are no instances of any transaction not recorded in the books of accounts that has been surrendered or
disclosed as income during the year in the tax assessments under the Income Tax Act, 1961 (such as, search or
survey or any other relevant provisions of the Income Tax Act, 1961)

57. The Company is not declared as a wilful defaulter by any bank or financial Institution or other lender.

58. There are no charges pending for creation and pending for satisfaction to be registered with Registrar of Companies
beyond the statutory period.

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

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

61. EMPLOYEE BENEFIT OBLIGATIONS
Defined benefit plans:

Gratuity Plan

In accordance with the provisions of the Payment of Gratuity Act, 1972, the Company has a defined benefit plan
which provides for gratuity, covering eligible employees. The Plan provided a lump sum gratuity amount to eligible
employees at retirement, termination or death. Liabilities with regard to Gratuity plan are determined by actuarial
valuation, performed by an independent actuary, at each Balance Sheet date using the projected unit credit method.

The sensitivity analysis have been determined based on reasonably possible changes of the respective assumptions
occurring at the end of the reporting period, while holding all other assumptions constant.

The sensitivity analysis presented above may not be representative of the actual change in the projected benefit
obligation as it is unlikely that the change in assumptions would occur in isolation of one another as some of the
assumptions may be correlated.

Furthermore, in presenting the above sensitivity analysis, the present value of the projected benefit obligation has
been calculated using the projected unit credit method at the end of the reporting period, which is the same method
as applied in calculating the projected benefit obligation as recognised in the balance sheet.

There was no change in the methods and assumptions used in preparing the sensitivity analysis from prior years.

Characteristics of defined benefit plans and associated risks:

The Company has an unfunded Defined benefit gratuity plan. Gratuity is paid from company as and when it
becomes due and is paid as per company scheme for Gratuity.

Gratuity is a defined benefit plan and company is exposed to following Risks:

• Salary Risk- The Present value of the defined benefit plan liability is calculated by reference to the future
salaries of members.

As such, an increase in the salary of the members more than assumed level will increase the plan’s liability.

• Interest Rate Risk- A fall in the discount rate which is linked to the Government securities. Rate will increase
the present value of the liability requiring higher provision.

• Asset Liability Matching Risk- The plan faces the ALM risk as to the matching cash flow. Company has to
manage payout based on pay as you go basis from own funds.

• Mortality Risk- Since the benefits under the plan is not payable for life time and payable till retirement age
only plan does not have any longevity risk.

62. No funds have been advanced or loaned or invested (either from borrowed funds or share premium or any
other sources or kind of funds) by the Company to or in any other person or entity, including foreign entities
(“Intermediaries”) with the understanding, whether recorded in writing or otherwise, that the Intermediary shall
lend or invest in party identified by or on behalf of the Company (Ultimate Beneficiaries). The Company has
not received any fund from any party(Funding Party) with the understanding that the Company shall whether,
directly or indirectly lend or invest in other persons or entities identified by or on behalf of the Company (“Ultimate
Beneficiaries”) or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

63. There is no scheme of arrangement approved by competent authority in terms of sections 230 to 237 of the
Companies Act, 2013 during the year, hence relevant disclosures are not applicable.

64. Previous year figures have been regrouped, rearranged and reclassified wherever necessary.

As per our Report of even date attached For and on behalf of the Board of Directors

For Jhawar Mantri & Associates Basant Kabra Shiva Kabra

Chartered Accountants Managing Director Jt. Managing Director

Firm Registration Number: 113221W DIN 00176807 DIN 00190173

Vinayak Mantri Murli Manohar Thanvi Jaideep Barve

Partner Company Secretary & Compliance Officer Chief Financial Officer

Membership No. 153459
UDIN: 25153459BMOAJT9739

Place: Navi Mumbai Place: Mumbai

Date: 23 May 2025 Date: 23 May 2025

---

Mar 31, 2024

(xxv)Provisions, Contingent Liabilities and Contingent Assets

Provisions involving substantial degree of estimation in measurement are recognised when there is a present obligation as a result of past events and it is probable that there

will be an outflow of resources. Contingent liabilities are not recognised but are disclosed in the notes to financial statements. Contingent assets are not recognised but disclosed in the financial statements when an inflow of economic benefits is probable. Provisions, contingent liabilities are reviewed at each balance sheet date and adjusted to reflect the current best estimate.

A contingent liability exists when there is a possible but not probable obligation, or a present obligation that may, but probably will not, require an outflow of resources, or a present obligation whose amount cannot be estimated reliably. Contingent liabilities do not warrant provisions but are disclosed as the possibility of outflow of resources is remote.

(xxvi) Cash Flow Statements

Statement of Cash Flows is prepared segregating the cash flows into operating, investing, and financing activities. Cash flow from operating activities is reported using indirect method, adjusting the net profit for the effects of changes during the period in inventories, operating receivables, payables, transactions of a non-cash nature such as depreciation, provisions, deferred taxes, unrealised foreign currency gains and losses, and undistributed profits of associates and all other items for which the cash effects are investing or financing cash flows.

For the purpose of presentation in the statement of cash flow, cash and cash equivalents includes cash on hand and balance held with banks and short term investments in liquid Mutual Funds.

45. RELATED PARTY DISCLOSURES :

Related Party Disclosures required under Ind AS - 24 are given below:

I. Relationship Name of the Related Parties

(a) Where Control exists Silver Plastochem Private Limited

(b) Key Management Personnel Mr. Basant Kabra - Managing Director

Mr Shiva Kabra - Joint Managing Director *Mr. Jaideep Barve Chief Financial Officer *Mr. Akshay Satasiya Company Secretary Ceased w.e.f. 31 January 2024 *Mr. Murli Manohar Thanvi Company Secretary Joined w.e.f. 05 February 2024 * There were no transcations with them other than salary

(c) Subsidiary Companies

(i) Wholly Owned Subsidiary Liberty Chemicals Private Limited

(ii) 80% Owned Subsidiary Innovative Coding (India) Private Limited

(iii) Wholly Owned Subsidiary Control Print Packaging Private limited

(iii) Wholly Owned Foreign Subsidiary Control Print B.V. The Netherlands

(d) Step down Foreign Subsidiary Companies

(i) 80% owned by wholly owned Foreign Markprint B.V. (The Netherlands)

Subsidiary (Control Print B.V.)

(ii) 50.49% owned by wholly owned Foreign Codeology Group Limited (UK)

Subsidiary (Control Print B.V.)

(iii) 100% owned by wholly owned Foreign CP Italy S.r.l. (Italy)

Subsidiary (Control Print B.V.)

(e) Other Related Party Sapat International Private Limited

Black Rose Industries limited

59. EMPLOYEE BENEFIT OBLIGATIONS

Defined benefit plans:

Gratuity Plan

In accordance with the provisions of the Payment of Gratuity Act, 1972, the Company has a defined benefit plan which provides for gratuity, covering eligible employees. The Plan provided a lump sum gratuity amount to eligible employees at retirement, termination or death.Liabilities with regard to Gratuity plan are determined by actuarial valuation, performed by an independent actuary, at each Balance Sheet date using the projected unit credit method.

Characteristics of defined benefit plans and associated risks:

The Company has an unfunded Defined benefit gratuity plan. Gratuity is paid from company as and when it

becomes due and is paid as per company scheme for Gratuity.

Gratuity is a defined benefit plan and company is exposed to following Risks:

• Salary Risk- The Present value of the defined benefit plan liability is calculated by reference to the future salaries of members. As such, an increase in the salary of the members more than assumed level will increase the plan’s liability.

• Interest Rate Risk- A fall in the discount rate which is linked to the Government securities. Rate will increase the present value of the liability requiring higher provision.

59. EMPLOYEE BENEFIT OBLIGATIONS (Contd...)

• Asset Liability Matching Risk- The plan faces the ALM risk as to the matching cash flow. Company has to manage payout based on pay as you go basis from own funds.

• Mortality Risk- Since the benefits under the plan is not payable for life time and payable till retirement age only plan does not have any longevity risk.

60. No funds have been advanced or loaned or invested (either from borrowed funds or share premium or any other sources or kind of funds) by the Company to or in any other person or entity, including foreign entities (“Intermediaries”) with the understanding, whether recorded in writing or otherwise, that the Intermediary shall lend or invest in party identified by or on behalf of the Company (Ultimate Beneficiaries). The Company has not received any fund from any party(Funding Party) with the understanding that the Company shall whether, directly or indirectly lend or invest in other persons or entities identified by or on behalf of the Company (“Ultimate Beneficiaries”) or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

61. There is no scheme of arrangement approved by competent authority in terms of sections 230 to 237 of the Companies Act,2013 during the year, hence relevant disclosures are not applicable.

62. Previous year figures have been regrouped, reclassified wherever necessary.

As per our Report of even date attached For and on behalf of Board Of Directors

For Jhawar Mantri & Associates Basant Kabra Shiva Kabra

Chartered Accountants Managing Director Jt. Managing Director

Firm Registration Number: 113221W DIN 00176807 DIN 00190173

Naresh Jhawar Murli Manohar Thanvi Jaideep Barve

Partner Company Secretary & Compliance Officer Chief Financial Officer

Membership No. 045145 UDIN: 24045145BKFNRS4245

Place: Navi Mumbai Place: Mumbai

Date: 11 May 2024 Date: 11 May 2024

---

Mar 31, 2023

(xxv) Provisions, Contingent Liabilities and Contingent Assets

Provisions involving substantial degree of estimation in measurement are recognised when there is a present obligation as a result of past events and it is probable that there will be an outflow of resources. Contingent liabilities are not recognised but are disclosed in the notes to financial statements. Contingent assets are not recognised but disclosed in the financial statements when an inflow of economic benefits is probable. Provisions, contingent liabilities are reviewed at each balance sheet date and adjusted to reflect the current best estimate.

A contingent liability exists when there is a possible but not probable obligation, or a present obligation that may, but probably will not, require an outflow of resources, or a present obligation whose amount cannot be estimated reliably. Contingent liabilities do not warrant provisions but are disclosed as the possibility of outflow of resources is remote.

(xxvi) Cash Flow Statements

St a t emen t of Ca sh Fl ows i s p repa red segregating the cash flows into operating, investing, and financing activities. Cash flow from operating activities is reported using indirect method, adjusting the net profit for the effects of changes during the period in inventories, operating receivables, payables, transactions of a non-cash nature such as depreciation, provisions, deferred taxes, unrealised foreign currency gains and losses, and undistributed profits of associates and all other items for which the cash effects are investing or financing cash flows.

For t h e p u rp ose of p resen t a t i on i n t h e statement of cash flow, cash and cash equivalents includes cash on hand and balance held with banks and short term investments in liquid Mutual Funds.

59. No funds have been advanced or loaned or invested (either from borrowed funds or share premium or any other sources or kind of funds) by the Company to or in any other person or entity, including foreign entities ("Intermediaries”) with the understanding, whether recorded in writing or otherwise, that the Intermediary shall lend or invest in party identified by or on behalf of the Company (Ultimate Beneficiaries). The Company has not received any fund from any party(Funding Party) with the understanding that the Company shall whether, directly or indirectly lend or invest in other persons or entities identified by or on behalf of the Company ("Ultimate Beneficiaries”) or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

60. Th ere is no scheme of arrangement approved by competent authority in terms of sections 230 to 237 of the Companies Act,2013 during the year, hence relevant disclosures are not applicable.

61. Previous year figures have been regrouped, reclassified wherever necessary.

As per our Report of even date attached For and on behalf of the Board of Directors

For Jhawar Mantri & Associates Basant Kabra Shiva Kabra

Chartered Accountants Managing Director Jt. Managing Director

Firm Registration Number: 113221W DIN 00176807 DIN 00190173

Naresh Jhawar Akshay Satasiya Jaideep Barve

Partner Company Secretary Chief Financial Officer

Membership No. 045145

UDIN: 23045145BGUYFX2055

Place: Navi Mumbai Place: Mumbai

2 May 2023 2 May 2023

---

Mar 31, 2018

A) Corporate Information : The Company is a Public Limited Company domiciled in India and incorporated under the Companies Act, 1956, having its registered office at C-106, Hind Saurashtra Industrial Estate, Andheri-Kurla Road, Marol Naka, Andheri (East), Mumbai 400059, India and is listed on BSE Limited and National Stock Exchange of India Limited (NSE). The Company is engaged in manufacturing and supplying of Coding and Marketing Machines and Consumables thereof. It has Country wide Service Network to cater its Customers. It has manufacturing facilities at Nalagarh (Himachal Pradesh), Guwahati (Assam) and R&D Centre/Warehouse at Vasai(Maharashtra), apart from Overseas Branch at Colombo(Sri Lanka).

The Financial Statements for the year ended March 31, 2018 were approved and adopted by the Board on May 25, 2018.

Note:-

1. These figures are inclusive of Assets at Sri Lanka Branch. Depreciation for Assets at Sri Lanka Branch is charged as per standards applicable according to local laws of Sri Lanka and not as per Sch-II of Companies Act, 2013.

2. Deduction in Cost of Asset & Deduction in accumulated depreciation for Sri Lanka Branch Assets are due to foreign exchange conversion.

Note:

1. Of above 5,224,124 Equity Shares were alloted as fully paid up bonus share by Capitalization of General Reserve of the Company on January 14, 2016.

2. On January 08, 2018, the Company has issued and allotted 6,59,340 Equity Shares of Rs. 10/- each at an issue price of Rs. 455 per share to raise Rs. 30 Crore by way of Qualified Institutional Placement (“QIP”) under Chapter VIII of the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009 and Section 42 of the Companies Act, 2013 read with Rule 14 of the Companies (Prospectus and Allotment of Securities Rules, 2014). Expenses related to the issue amounting to Rs. 63.22 lakhs have been adjusted against Securities Premium. Use of the net proceeds of the Qualified Institutional Placement is intended for capital expenditure for ongoing and future expansion projects, acquisition, working capital and general corporate purposes and any other purposes as may be permissible under applicable law. The proceeds (net of issue expenses) has been utilised towards reduction of short term bank borrowing for working capital.

Terms/ Rights attached to Equity Shares:

The company has only one class of equity shares having a par value of Rs. 10 per share. Each holder of equity shares is entitled to one vote per share. The company declares and pays dividends in Indian rupees. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company after distribution of all preferential amounts, in proportion to their shareholding.

1 Financial Statements of the Sri Lanka Branch of the Company for the year ended March 31, 2018 is part of Standalone Ind As Financial Statement and the same has been translated in accordance with Ind AS-21 “The effects of changes in the Foreign exchange Rates”. The Branch has incurred a Loss ofRs. 46.25 Lakhs during the financial year ended March 31, 2018.

2 The Company operates in a single Reportable segment, viz Coding & Marking Machines and Consumables thereof.

3 During the year Company has spent ‘ 52.70 Lakhs (PY Rs. 39.49 Lakhs) towards the corporate social responsibility activities in accordance with the section 135 of the companies Act 2013.The Company could not spend entire 2% of its average profit of last three years due to delay in granting permissions by the hospitals for the nutrition project and nonexecution of project for children with special needs.

4 On January 08, 2018, the Company has issued and allotted 659,340 Equity Shares of Rs. 10/- each at an issue price of Rs. 455 per share to raise Rs. 30 Crore by way of Qualified Institutional Placement (“QIP”) under Chapter VIII of the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2009 and Section 42 of the Companies Act, 2013 read with Rule 14 of the Companies (Prospectus and Allotment of Securities Rules, 2014). Expenses related to the issue amounting to Rs. 63.22 lakhs have been adjusted against Securities Premium. Use of the net proceeds of the Qualified Institutional Placement is intended for capital expenditure for ongoing and future expansion projects, acquisition, working capital and general corporate purposes and any other purposes as may be permissible under applicable law. The proceeds (net of issue expenses) has been utilised towards reduction of short term bank borrowing for working capital.

5 EMPLOYEE BENEFIT OBLIGATIONS

(A) Defined Benefit Plans:

Gratuity Plan

In accordance with the provisions of the Payment of Gratuity Act, 1972, the Company has a defined benefit plan which provides for gratuity, covering eligible employees. The Plan provided a lump sum gratuity amount to eligible employees at retirement, termination or death. Liabilities with regard to Gratuity plan are determined by actuarial valuation, performed by an independent actuary, at each Balance Sheet date using the projected unit credit method.

Assumptions regarding future mortality have been based on published statistics and mortality tables. The discount rate is based on the Government securities yield.

(vi) Sensitivity Analysis:

The sensitivity of the defined benefit obligation to changes in the weighted principal assumptions is:

The sensitivity analysis have been determined based on reasonably possible changes of the respective assumptions occurring at the end of the reporting period, while holding all other assumptions constant.

The sensitivity analysis presented above may not be representative of the actual change in the projected benefit obligation as it is unlikely that the change in assumptions would occur in isolation of one another as some of the assumptions may be correlated.

There was no change in the methods and assumptions used in preparing the sensitivity analysis from prior years.

(viii) Characteristics ofdefined benefit plans and associated risks:

The Company has an unfunded Defined benefit gratuity plan. Gratuity is paid from company as and when it becomes due and is paid as per company scheme for Gratuity. During the year, the company has changed the benefit scheme in line with Payment of Gratuity Act, 1972 by increasing monetary ceiling from Rs. 10 Lakhs to Rs. 20 Lakhs. Change in liability (if any) due to this scheme change is recognised as past service cost.

Gratuity is a defined benefit plan and company is exposed to following Risks:

- Salary Risk- The Present value of the defined benefit plan liability is calculated by reference to the future salaries of members. As such, an increase in the salary of the members more than assumed level will increase the plan’s liability.

- Interest Rate Risk- A falls in the discount rate which is linked to the Government securities. Rate will increase the present value of the liability requiring higher provision.

- Asset Liability Matching Risk- The plan faces the ALM risk as to the matching cash flow. Company has to manage payout based on pay as you go basis from own funds.

- Mortality Risk- Since the benefits under the plan is not payable for life time and payable till retirement age only, plan does not have any longevity risk.

6 FIRST TIME ADOPTION OF IND AS

These are the Company’s first financial statements prepared in accordance with Ind AS. The company has prepared the opening balance sheet as per Ind AS as of April 01, 2016 (the transition date) by recognising all assets and liabilities whose recognition is required, not recognising items of assets or liabilities which are not permitted, reclassifying items from previous GAAP to Ind AS and applying Ind AS in measurement of recognised assets and liabilities. However this principle is subject to the certain exception and certain optional exemptions availed by the company as detailed below.

Set out below are the applicable Ind AS 101 optional exemptions and mandatory exceptions applied in the transition from previous GAAP to Ind AS.

A. Optional Exemptions

Investments in subsidiaries, joint ventures and associates

The Company has opted and accordingly considered the Previous GAAP carrying amount of Investments as deemed cost as at the transition date.

B. Applicable Mandatory Exceptions

(a) Estimates

An entity’s estimates in accordance with Ind AS at the date of transition to Ind AS shall be consistent with estimates made for the same date in accordance with previous GAAP (after adjustments to reflect any difference in accounting policies). Ind AS estimates as at April 01, 2016 are consistent with the estimates as at the same date made in conformity with previous GAAP. The company made estimates for following items in accordance with Ind AS at the date of transition as these were not required under previous GAAP:

1. Investments in equity instruments carried at FVTPL; and

2. Impairment offinancial assets based on expected credit loss model.

(b) Classification and measurement of financial assets

Ind AS 101 requires an entity to assess classification and measurement of financial assets on the basis of the facts and circumstances that exist at the date of transition to Ind AS.

C. Transition to Ind AS - Reconciliations

The following reconciliations provide a quantification of the effect of significant differences arising from the transition from previous GAAP to Ind AS in accordance with Ind AS 101:

1. The Reconciliation of Standalone Balance Sheet as previously reported under Indian GAAP and Ind AS as at March 31,2017 and April 01, 2016

2. The Reconciliation of Net Profit reported under Indian GAAP for the year ended March 31, 2017

3. The Reconciliation of Other Equity reported under Indian GAAP for the year ended March 31, 2017

Use of fair value as deemed cost

The Company has revalued all it’s property, plant and equipment as on April 01, 2016 (transition date) and considered the fair value as deemed cost. As per provision of the Ind AS “Property, Plant and Equipment held for use in supply of goods or services, for rental to others or for administrative purpose and expected to be used during more than one period”. In accordance of the same company has capitalised coding and marking machines used for Rental, CPC in opening Ind AS balance sheet. Detailed list of property, plant and equipment is disclosed here in below as required by Ind AS.

Notes:

1. All Property, Plant and Equipment revalued as on April 01, 2016.

2. Independent valuer has been appointed for valuation of immovable properties for Land, Factory & Office Premise, etc.

3. Other Assets like Furniture & Fixtures, Office Equipments etc are revalued on the basis of certificates received from branch head. Equity Investment at FVTPL

Under previous GAAP, investments were measured at cost less diminution in value which is other than temporary. Under Ind AS, Company has designated these Investments at Fair Value Through Profit or Loss (FVTPL), accordingly these investments are required to be measured at fair value. At the date of transition to Ind AS, difference between the fair value of the instruments and its Previous GAAP carrying amount has been recognised in retained earnings.

Investment in subsidiaries, joint venture and associates

The Company has carried its investment in subsidiary at cost (as appearing in previous GAAP).

Proposed Dividend

Under the previous GAAP, dividends proposed by the Board of Directors after the balance sheet date but before the approval of the financial statements were considered as adjusting events and accordingly, provision for proposed dividend was recognised as a liability. Under Ind AS, such dividends are recognised when the same is declared by the shareholders in the general meeting."

Other Comprehensive Income

Under Ind AS, remeasurements gains or losses (i.e. actuarial gains and losses, excluding interest expense on the net defined benefit liability) are recognised in other comprehensive income instead of profit and loss. Under the previous GAAP, these remeasurements were forming part of the profit and loss for the year.

Retained Earnings

Any difference on account of transition from previous GAAP to Ind As while preparing opening Ind AS Balance Sheet as on April 01, 2016 is adjusted under the head retained earnings.

Deferred Tax

Under Previous GAAP, deferred taxes were recognised for the tax effect of timing differences between accounting profit and taxable profit for the year using the income statement approach. Under Ind AS, deferred taxes are recognised using the balance sheet approach for future tax consequences of temporary differences between the carrying value of assets and liabilities and their respective tax bases. The above difference, together with the consequential tax impact of the other Ind AS transitional adjustments lead to temporary differences and deferred tax has been recognised on the same.

Gratuity

Under the previous GAAP, cost relating to post employment benefit obligations including actuarial gain/losses were recognised in Profit & Loss. Under Ind AS, actuarial gain/losses on the net defined benefit liability are recognised in other comprehensive income instead of profit & loss.

7 Previous year figures have been regrouped, reclassified wherever necessary.

---

Mar 31, 2016

Terms/ Rights attached to Equity Shares:

The Company has only one class of equity shares having a par value of Rs.10 per share. Each holder of equity shares is entitled to one vote per share. The Company declares and pays dividends in Indian rupees. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting. In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in the proportion to the number of equity shares held by the shareholders.

1. Financials of the Sri Lanka Branch of the Company for the year ended March 31, 2016 amounting to loss of Rs.0.61 Cr have been consolidated with the Standalone results under the non-integral method of AS-11 on the effects of changes in the Foreign exchange Rates.

2. The Company has issued Confirmation to its Debtors and Creditors which are in the process of being reverted by the parties there of the process of reconciliation of the balances is on progress.

3. The Company operates in a single Reportable segment, viz. Coding & Marking Solutions and Consumables thereof.

4. In the opinion of the Board, the Current Assets, Loans and Advances have a value on realization not less than what have been stated in the Balance Sheet and Provision of all known Liabilities have been made.

5. During the year, the Company has paid Rs.41.03 Lakhs to Learning Link Foundation towards the Corporate Social Responsibility (CSR) activities in accordance with the Section 135 of the companies Act, 2013. Out of it, the institution has spent Rs.31.35 Lakhs on CSR. The under spend amount was due to a delay in signing the MOU with Pune Municipal Corporation and Himachal Pradesh Government for project implementation.

6. Previous year figures have been regrouped wherever necessary.

---

Mar 31, 2015

Terms/Rights attached to Equity Shares:

The Company has only one class of Equity Shares having a par value of Rs. 10 per share. Each holder of Equity Shares is entitled to one vote per share. The Company declares and pays dividends in Indian rupees. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting. In the event of liquidation of the Company, the holders of Equity Shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in the proportion to the number of Equity Shares held by the shareholders.

31st March 31st March 1 CONTINGENT LIABILITIES AND COMMITMENTS 2015 2014

(i) Contingent Liabilities

(A) Counter Guarantees given by the company to the bank against the Bank 2,134,734 1,451,095

Guarantees

(B) Demands against the Company not ackno wledged as debts in respect of :-

1) Maharashtra VAT Assessment for the Financial Year 2005-06, against 473,777

which Company has preferred an appeal to Joint Commissioner of Sales Tax (Appeals) Mumbai

2) Central Sales Tax Assessment for the Financial Year 2005-06, against 3,327,458 which Company has preferred an appeal to Joint Commissioner of Sales Tax (Appeals) Mumbai

3) Central Sales Tax Assessment for the Financial Year 2007-08, against 925,147 which Company has preferred an appeal to Joint Commissioner of Sales Tax (Appeals) Mumbai

4) Central Sales Tax Assessment for the Financial Year 2008-09 against 4,057,828 which Company has preferred an appeal to Joint Commissioner of Sales Tax (Appeals) Mumbai

5) Central Sales Tax Assessment for the Financial Year 2009-10, against 6,904,384 which Company has preferred an appeal to Joint Commissioner of Sales Tax (Appeals) Mumbai

(C)The company is in arbitration proceedings with Videojet INC.,USA and the amount is not ascertainable pending the outcome of the matter.

(ii) Commitments

Estimated amount of contracts remaining to be executed on capital 17,988,816 75,265,833 account (net of Advances)

2 Financials of the Sri Lanka Branch of the Company for the period July 2014 to March 2015 amounting to loss of Rs. 0.19 Cr have been consolidated with the Standalone results under the Non - Intergral method of AS-11 on the effects of changes in the Foreign Exchange Rates

3 Pursuant to Enactment of the Companies Act 2013 ('the Act') the Company has, effective from the 1st April 2014 reviewed and revised the useful life of its fixed Assets generally in accordance with the provisions of the schedule II of the Act. The consequential impact (after considering the transition provision specified in Schedule II is additional depreciation charge of Rs. 57.52 lacs for the year ended 31st March 2015 and adjustment of Rs. 19.90 lacs (Net of deferred tax) against the retained earnings

4 The Company has issued Confirmation to its Debtors and Creditors which are in the process of being reverted by the parties thereof. The process of reconciliation of the balances is on progress.

5 The Company operates in a single Reportable segment, viz Coding & Marking Solutions and Consumables thereof.

6 In the opinion of the Board, the Current Assets, Loans and Advances have a value on realisation not less than what have been stated in the Balance Sheet and Provision of all known Liabilities have been made.

7 During the year Company has incurred Rs. 423,060 towards the Corporate Social Responsibility activities in accordance with the Section 135 of the Companies Act 2013. The Company could not spend entire 2% of its average profit of last three years as there was delay in the process of initiation of the school adoption program as approved by the Board.

8 Previous year figures have been regrouped whereever necessary.

---

Mar 31, 2014

1 RELATED PARTY DISCLOSURES :

Related Party Disclosures required under AS – 18 are given below:

I Name of the Related Parties Relationship

Silver Plastochem Pvt. Ltd. exists

Key Management Personnel Mr. Basant Kabra

Mr. Shiva Kabra

2 CONTINGENT LIABILITIES AND COMMITMENTS Rs. Rs.

(i) Contingent Liabilities 2013-14 2012-13

(A) Counter Guarantees given by the company to the bank against the Bank Guarantees 1,451,095 1,005,838

(B) Demands against the Company not acknowledged as debts in respect of 1) Income Tax for Assessment Year 2007- 08, against which Company has preferred an appeal to Commissioner of Income Tax (Appeals), Mumbai - 2,033,460

2) Maharashtra VAT Assessment for the Financial Year 2005-06, against which Company has preferred an appeal to Joint Commissioner of Sales Tax (Appeals) Mumbai. Company has 473,777 473,777 deposited Rs. 72,000/- to obtain stay

3) Central Sales Tax Assessment for the Financial Year 2005-06, against which Company has preferred an appeal to Joint Commissioner of Sales Tax (Appeals) Mumbai. Company has 3,327,458 3,327,458 deposited Rs. 500,000/- to obtain stay

(ii) Commitments Estimated amount of contracts remaining to be executed on capital account (net of Advances) 75,265,833 31,024,600

3 BALANCE CONFIRMATIONS

The Company has issued Confirmation to its Debtors and Creditors which are in the process of being reverted by the parties thereof. The process of reconciliation of the balances is in progress.

4 The Company operates in a single reportable segment, viz Coding & Marking Solutions and Consumables thereof.

5 In the opinion of the Board, the Current Assets, Loans and Advances have a value on realisation not less than what have been stated in the Balance Sheet and Provision of all known Liabilities have been made.

6 PREVIOUS YEAR FIGURES

Previous year figures have been regrouped wherever necessary.

7 The Ministry of Corporate Affairs, Government of India, vide General Circular No. 2 and 3 dated 8th February 2011 and 21st February 2011 respectively has granted a general exemption from compliance with Section 212 of the Companies Act, 1956, subject to fulfillment of conditions stipulated in the circular. The Company has satisfied the conditions stipulated in the circular and hence is entitled to the exemption. Necessary information relating to the subsidiaries has been included in the Consolidated Financial Statements.

---

Mar 31, 2013

1 BALANCE CONFIRMATIONS

The Company has issued Confirmation to its Debtors and Creditors which are in the process of being reverted by the parties thereof.The process of reconciliation of the balances is on progress.

2 The Company operates in a single reportable segment, viz Coding & Marking Solutions and Consumables thereof.

3 In the opinion of the Board, the Current Assets, Loans and Advances have a value on realisation not less than what have been stated in the Balance Sheet and Provision of all known Liabilities have been made,

4 PREVIOUS YEAR FIGURES

Previous year figures have been regrouped wherever necessary.

5 The Ministry of Corporate Affairs, Government of India, vide General Circular No. 2 and 3 dated 8th February 2011 and 21st February 2011 respectively has granted a general exemption from compliance with section 212 of the Companies Act, 1956, subject to fulfillment of conditions stipulated in the circular. The Company has satisfied the conditions stipulated in the circular and hence is entitled to the exemption. Necessary information relating to the subsidiaries has been included in the Consolidated Financial Statements.

---

Mar 31, 2012

The company has only one class of equity shares having a par value of Rs 10 per share. Each holder of equity shares is entitled to one vote per share. The company declares and pays dividends in Indian rupees. The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting. In the event of liquidation of the company, the holders of equity shares will be entitled to receive remaining assets of the company, after distribution of all preferential amounts. The distribution will be in the proportion to the number of equity shares held by the shareholders.

A) Car loan from Kotak Mahindra Bank is secured by creating a Charge on the cars purchased from the loan amount. The Loan is repayable in 59 monthly installments starting from June, 201 land the last installment is due in April, 2016.

1 BALANCE CONFIRMATIONS

The Company has issued Confirmation to its Debtors and Creditors which are in the process of being reverted by the parties thereof. The process of reconciliation of the balances is on progress.

2 The Company operates in a single reportable segment, viz, Coding and Marking and Consumables thereof.

3 In the opinion of the Board, the Current Assets, Loans and advances have a value on realization not less than which they have stated in the Balance Sheet and Provision of all known liabilities have been made.

4 PREVIOUS YEAR FIGURES

The financial statements for the year ended 31st March, 2011 had been prepared as per the then applicable, pre-revised Schedule VI to the Companies Act, 1956. Consequent to the notification of Revised Schedule VI under the Companies Act, 1956, the financial statements for the year ended 31 st March,2012 are prepared as per Revised Schedule VI. Accordingly, the previous year figures have also been reclassified to confirm to this year's classification. The adoption of Revised Schedule VI for previous year figures does not impact recognition and measurement principles followed for preparation of financial statements.

5 The Ministry of Corporate Affairs, Government of India, vide General Circular No. 2 and 3 dated 8th February 2011 and 21st February 2011 respectively has granted a general exemption from compliance with section 212 of the Companies Act, 1956, subject to fulfillment of conditions stipulated in the circular. The Company has satisfied the conditions stipulated in the circular and hence is entitled to the exemption. Necessary information relating to the subsidiaries has been included in the Consolidated Financial Statements.

---

Mar 31, 2011

1. The Company operates in a single reportable segment viz. Coding and Marking Machine and Consumables thereof.

2. In the opinion of the Board, the Current Assets, Loans & Advances have a value on realization not less than which they have stated in the Balance Sheet and provisions for all known liabilities have been made.

3. During the year company has issued 3,75,000 convertible warrants into Equity shares to the promoters and promoter group on preferential warrants and pursuant to the said promoters exercise of option of conversion allotted them 3,75,000 Equity Shares of face value of Rs. 10/- each, at the rate of Rs. 36.25/- per shares (including Rs. 26.25/- as premium) and has allotted 54,400 Equity shares at the rate of Rs. 10/- per share to the Employees of the Company under Employees Stock Option Scheme of the Company.

4. The Company had filed a suit against IDBI in respect of amount appropriated by them towards sale of promoters/guarantors shares in the earlier years and the same is still pending before the Honorable High Court of Mumbai. There is no amount outstanding to the financial institution due to the said appropriation.

5. Other Liabilities include Rs. 1,50,00,000/- received as advance against sale of Delhi immovable property of the Company. As per agreement with buyer, the Company is entitled to forfeit the said amounts, if the buyer does not comply with the conditions of sale within the stipulated time. The buyer has since failed to comply with the conditions and hence, the Company has forfeited these amounts received in accordance with the terms of the agreement. The buyer has filed suit in the Court for recovery of the advances paid by them. The Company contends that as per the agreement, it is not required to be refunded. However, based on the directives issued by the Court, the Company has deposited FDR of this amount with the Court.

6. On December 31, 2005 shareholders approved via Postal Ballot, an Employee Stock Option Plan 2006 (ESOP 2006). The Plan provided an issuance of 3,69,200 equity shares of Rs. 10/- each to the employee of the Company. Compensation Committee administered the ESOP 2006. Based on the recommendation of the Compensation Committee, the options were granted at Rs. 10/- per share per option on the date of grant.

These options vested over a period of three years ending on 31.03.2011. The company has issued 1,69,600 shares to its employees under the said ESOP 2006 scheme during the Financial Year 2010-11.

As At 31/03/11 As At 31/03/10 Rs. Rs.

7. Contingent Liabilities not provided for:

a) Counter Guarantees given by the company to the bank against the Bank Guarantees 72,94,609 60,87,939

b) Estimated amount of contracts remaining to be executed on capital account (net of Advances) 16,20,000 4,00,20,000

8. There was no impairment of loss on fixed assets on the basis of review carried out by the management during the year.

9. As per AS 22 on Accounting for taxes on income issued by ICAI, the Company has adjusted the deferred tax liability as on 31st March, 2011 of Rs. 24,84,432/- for the year by debiting to Profit and Loss Account.

The components of deferred tax liability for the Current financial year are :-

Depreciation Rs. 15,57,341/-

Deferred Revenue Expenditure Rs. 9,27,091/-

10. Related Party Disclosures, as required by AS – 18 'Related Party Disclosures' are given below:

I Relationships

a) Where control exists Silver Plastochem Pvt. Ltd.

b) Key Management Personnel

Mr. Basant Kabra - Silver Plastochem Pvt. Ltd.

11. As per the Company, there are no creditors who fall under the definition of Small Scale Industries as defined under Clause (i) of Section 3 of the Industries (Development and Regulation) Act, 1951.

12. Additional information pursuant to Schedule VI Part II of the Companies Act, 1956:

13. Disclosure as required by Accounting Standard 19, "Leases", issued by the Institute of Chartered Accountants of India are given below:

The Company has taken various residential, office and Godown premises under operating lease or leave and license agreements. These are renewable by mutual consent on mutually agreeable terms.

Lease payments are recognised in the statement of Profit and Loss under 'Rent' in Schedule'O'.

14. The Company has entered into a MOU with M/s. Liberty Chemicals Pvt. Ltd., in the month of August, 2008, towards purchase of its property and a sum of Rs. 1,35,00,000/- was paid as advance. Subsequently the Company has acquired all the shares of M/s. Liberty Chemicals Pvt. Ltd., in the month of April, 2011 after considering the assets and liabilities of Liberty Chemicals Pvt. Ltd.

15. The Company has issued confirmations to its debtors which are in the process of being reverted by the parties thereof. The process of reconciliation of the balances is in progress.

16. The previous year's figures have been regrouped and rearranged wherever necessary, to confirm to the classification adopted for the current year.

---

Mar 31, 2010

1) The Company operates in a single reportable segment viz. Coding and Marking Machine and Consumables thereof.

2) In the opinion of the Board, the Current Assets, Loans & Advances have a value on realisation not less than which they have stated in the Balance Sheet and provisions for all known liabilities have been made.

3) During the year Company has allotted 3,50,000 Equity shares to the promoters on preferential basis at the rate Rs. 29.75 per shares and has allotted 48,000 Equity shares at the rate ofRs. 10/-per shares to the Employees of the Company under Employees Stock Option Scheme of the Company.

4) The Company had filed a suit against IDBI in respect of amount appropriated by them towards sale of promoters/guarantors shares in the earlier year is still pending before the Honourable High Court of Mumbai. There is no amount outstanding to the financial institution due to the said appropriation.

5) Other Liabilities include Rs. 1,50,00,000 received as advance against sale of Delhi immovable property of the Company. As per agreement with the buyer, the Company is entitled to forfeit the said amount, if the buyer does not comply with the conditions of sale within the stipulated time. The buyer has since failed to comply with the conditions and hence, the Company has forfeited this amount received in accordance with the terms of the agreement. The buyer has filed suit in the Court for recovery of the advances paid by them. The Company contends that as per the agreement, it is not required to be refunded. However, based on the directives issued by the Court, the Company has deposited FDR of this amount with the Court.

6) On December 31, 2005 shareholders approved via Postal Ballot, an Employee StockOption Plan 2006 (ESOP2006). The Plan provided an issuance of3,69,200 equity shares of Rs. 10/-each to the employee of the Company. Compensation Committee administers the ESOP 2006. Based on the recommendation of the CompensationCommittee,theoptionsweregrantedatRs.10/-pershare per option on the date of grant. These ODtions vest over a Deriod of three vears from the arant date.

The Total Accounting Charge on account of ESOPs is Rs. 1.18 crores amortized over a vesting period of three years on a straightline basis. The Accounting charge for the Current Year isRs. 2,46,881/-

7) Contingent Liabilites not provided for: Asat31/03/10(Rs.) Asat31/03/09(Rs.)

a) Counter Guarantees given by the Company 60,87,939 12,43,500 to the bank against the Bank Guarantees

b) Estimated amount of contracts remaining to be 4,00,20,000 2,95,00,000 executed on capital account (net of Advances)

8) There was no impairment of loss on fixed assets on the basis of review carried out by the management durii the year.

9) As per AS 22 on Accounting for taxes on income issued by ICAI, the Company has adjusted the deferred tax liability as on 31 st March, 2010 of Rs. 19,87,109/- for the year by debiting to Profit and Loss Account.

The components of deferred tax liability for the Current financial year are :-

Depreciation Rs. (1,73,555/-)

Deferred Revenue Expenditure Rs. 21,60,664/-

10) As per the Company, there are no creditors who fall under the definition of Small Scale Industries as defined under Clause (i) of Section 3 of the Industries (Development and Regulation) Act, 1951.

11) Based on the information available with the Company, there is no outstanding amount due from suppliers who are registered as Micro, Small or Medium enterprises under "The Micro, Small and Medium Enterprises Development Act, 2006" as at 31 st March, 2010.

12) Additional information pursuant to Schedule VI Part II of the Companies Act, 1956:

13) Disclosure as required by Accounting Standard 19, "Leases", issued by the Institute of Chartered Accountants of India are given below: The Company has taken various residential, office and godown premises under operating lease or leave and licence agreements. These are renewable by mutual consent on mutually agreeable terms. Lease payments are recognised in the statement of Profit and Loss underRent in ScheduleO

14) Earnings Per Share: Earnings per share is calculated by dividing the profit attributable to the equity shareholders by the weighted average number of equity shares outstanding during the year. The numbers used in calculating basic and diluted earnings per equity share are as stated below:

15) In accordance with the Accounting Standard AS-16 on Borrowing Cost issued by the Institute of Chartered Accountants of India, the Company has capitalized interest on borrowing for assets taking substantial time for being ready for use up to the time the asset is ready for use. Consequently profit for the year is higher byRs. 2,53,874.31.

16) The previous years figures have been regrouped and rearranged wherever necessary, to confirm to the classification adopted for the current vear.