Notes to Accounts of Fluidomat Ltd.

Mar 31, 2025

M. Contingent Liability:

Contingent Liabilities are disclosed in respect of possible obligations that arise from past events but their
existence will be confirmed by the occurrence or non occurrence of one or more uncertain future events
not wholly within the control of the Company or where any present obligation cannot be measured in terms
of future outflow of resources or where a reliable estimate of the obligation cannot be made.

N. Provisions:

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

are reviewed at each reporting date and adjusted to reflect the current best estimates.

If the effect of the time value of money is material, provisions are discounted using a current pre-tax rate
that reflects, when appropriate, the risks specific to the liability. When discounting is used, the increase in
the provision due to the passage of time is recognized as a finance cost.

O. Investment in Subsidiaries:

The Company has elected to measure investment in subsidiaries at cost. On the date of transition, the
carrying amount has been considered as deemed cost.

P. Leases:

Leases are classified as finance leases whenever the terms of the lease, transfers substantially all the risks
and rewards of ownership to the lessee.

Leased assets: Assets held under finance leases are initially recognized as assets of the Company at their
fair value at the inception of the lease or, if lower, at the present value of the minimum lease payments. The
corresponding liability to the lessor is included in the Balance Sheet as a finance lease obligation.

A leased asset is depreciated over the useful life of the asset. However, if there is no reasonable certainty
that the Company will obtain ownership by the end of the lease term, the asset is depreciated over the
shorter of the estimated useful life of the asset and the lease term.

Since the monthly lease payments for such leases are not material, the management has decided to apply
the recognition exemption as per Para 5(b) of IND AS 116, wherein the entity need not apply the
requirements for which, the recognition and measurement of lease liability for which the underlying asset is
of low value.

Q. Revenue recognition:

Revenue from contracts with customers is recognized on transfer of control of promised goods or services
to a customer at an amount that reflects the consideration to which the Company is expected to be entitled
to in exchange for those goods or services.

Revenue towards satisfaction of a performance obligation is measured at the amount of transaction price
allocated to that performance obligation. The transaction price of goods sold and services rendered is net
of variable consideration on account of various discounts and schemes offered by the Company as part of
the contract.

Revenue is recognized only to the extent that it is highly probable that the amount will not be subject to
significant reversal when uncertainty relating to its recognition is resolved.

Sale of products:

Revenue from sale of products is recognized when the control on the goods have been transferred to the
customer. The performance obligation in case of sale of product is satisfied at a point in time i.e., when the
material is shipped to the customer or on delivery to the customer, as may be specified in the contract.
Rendering of services:

Revenue from services is recognized over time by measuring progress towards satisfaction of
performance obligation for the services rendered.

R. Employee Benefits:

(i) Current Employee Benefit:

(1) Liabilities for wages and salaries, including non-monetary benefits that are expected to be settled
wholly within twelve months after the end of the period in which the employees render the related
service are recognized in respect of employee service upto the end of the reporting period and are
measured at the amount expected to be paid when the liabilities are settled. The liabilities are
presented as current employee benefit obligations in the balance sheet.

(2) Contribution to defined contribution scheme such as Provident Fund, Family Pension Fund and ESI

Fund are charged to the Statement of Profit & Loss.

(3) Leave encashment is charged to revenue on accrual basis.

(ii) Other long-term employee benefit obligations

(a) Gratuity

The Employee’s Gratuity Fund Scheme, which is defined benefit plan, is managed by Trust maintained
with Life Insurance Corporation of India (LIC). The difference, if any, between the actuarial valuation of the
gratuity of employees at the year end, valuation done by LIC and the balance of funds with Life Insurance
Corporation of India is provided for as assets/(liability) in the books.

S. Foreign Currency Transactions:

(i) The financial statements are presented in Indian rupee (INR), which is Company’s functional
currency.

(ii) Transactions denominated in foreign currencies are normally recorded at the exchange rate
prevailing at the time of the transaction.

(iii) Any income or expenses on account of exchange difference either on settlement or on translation is
recognized in the Statement of Profit and Loss.

(iv) Remittances not received until the end of the year are considered at the closing exchange rate as
applicable. Difference between realization against debtors in the subsequent year and outstanding
debtors is recognized as exchange differences in the Statement of Profit and Loss.

T. Income tax:

a. Current Tax:

Current tax is determined as the amount of tax payable in respect of taxable income for the year. The
Company’s current tax is calculated using tax rates that have been enacted or substantively enacted by
the end of the reporting period.

b. Deferred Tax:

Deferred tax assets and liabilities are recognized for all temporary differences arising between the tax
bases of assets and liabilities and their carrying amounts in the financial statements except when the
deferred tax arises from the initial recognition of an asset or liability that effects neither accounting nor
taxable profit or loss at the time of transition.

Deferred tax assets are reviewed at each reporting date and are reduced to the extent that it is no longer
probable that the related tax benefit will be realized.

Deferred tax assets and liabilities are measured using tax rates and tax laws that have been enacted or
substantively enacted by the balance sheet date and are expected to apply to taxable income in the years
in which those temporary differences are expected to be recovered or settled

U. Earnings Per Share:

Basic earnings per share are calculated by dividing the net profit for the period attributable to equity
shareholders by the weighted average number of equity shares outstanding during the period.

For the purpose of calculating diluted earnings per share, the net profit for the period attributed to equity
shareholders and the weighted average number of shares outstanding during the period is adjusted for
the effects of all potentially dilutive equity shares

V. Government Grants:

The government grants in the form of subsidy are presented in the balance sheet by deducting it from the
carrying amount of the eligible assets on a pro rata basis. The grant is recognised in the Statement of Profit
and Loss over the life of a depreciable asset as a reduced depreciation expense.

Capital Subsidy shown under Capital Reserves.

W. Dividend:

Dividend distribution to the shareholders is recognized as a liability in the Company''s financial statements
in the period in which the dividends are approved by the Company''s shareholders except interim dividend.
Interim dividend is recognized as a liability in the Company''s financial statements in the period in which the
dividends are approved by the Board of Directors.

X. Related Party Disclosure:

Disclosures, regarding related parties and transactions with them, as required in terms of Indian
Accounting Standard 24, has been made at the relevant places in the notes to accounts.

3A. Critical accounting judgments, estimates and assumptions:

The preparation of the Company’s financial statements requires management to make judgments,
estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities,
and the accompanying disclosures, and the disclosure of contingent liabilities. Uncertainty about these
assumptions and estimates could result in outcomes that require a material adjustment to the carrying
amount of the asset or liability affected in future periods.

The key assumptions concerning the future and other key sources of estimation uncertainty at the
reporting date, that have a significant risk of causing a material adjustment to the carrying amounts of
assets and liabilities within the next financial year, are described below. The Company based its
assumptions and estimates on parameters available when the financial statements were prepared.
Existing circumstances and assumptions about future developments, however, may change due to
market changes or circumstances arising beyond the control of the Company. Such changes are reflected
in the assumptions when they occur.

(a) Property Plant & Equipment

The company has estimated the useful life of Property, Plant and Equipment and Investment Property as
per the useful life prescribed in Schedule II of the Companies Act, 2013.

(b) Taxes

(i) The Company’s tax charge is the sum of the total current and deferred tax charges. The calculation
of the Company’s total tax charge necessarily involves a degree of estimation and judgment in respect of
certain items whose tax treatment cannot be finally determined until resolution has been reached with the
relevant tax authority or, as appropriate, through a formal legal process.

(ii) Accruals for tax contingencies require management to make judgments and estimates in relation to
tax related issues and exposures.

(iii) The recognition of deferred tax assets is based upon whether it is more likely than not that sufficient
and suitable taxable profits will be available in the future against which the reversal of temporary
differences can be deducted. Where the temporary differences are related to losses, the availability of the
losses to offset against forecast taxable profits is also considered. Recognition therefore involves
judgment regarding the future financial performance of the particular legal entity or Company in which the
deferred tax asset has been recognized.

(c) Defined benefit

The cost of defined benefit plans (i.e. Gratuity benefit) is determined using valuations done by LIC. An
actuarial valuation involves making various assumptions which may differ from actual developments in the
future. These include the determination of the discount rate, future salary increases, mortality rates and
future pension increases. Due to the complexity of the valuation, the underlying assumptions and its long¬
term nature, a defined benefit obligation is highly sensitive to changes in these assumptions. All
assumptions are reviewed at each reporting date. In determining the appropriate discount rate,
management considers the interest rates of long term government bonds with extrapolated maturity
corresponding to the expected duration of the defined benefit obligation. Further details about the
assumptions used, including a sensitivity analysis.

45d Company does not have holding, subsidiary, associate and joint venture, hence the requirement of disclose the name of the
parent company, holding and ultimate controlling party are not required.

45e Company does not provide any termination benefits and share-based payment in the financial year 2024-25. (previous
year: Nil)

46 ADDITIONAL REGULATORY INFORMATION

46.1 There is no such immovable properties which is not held in the name of the company.

46.2 There is no investment property in the company. hence fair value of investment property is not required to valuate by a
registered valuer as defined under rule 2 of companies (registered valuers and valuation) rules, 2017.

46.3 The company has not revalued its property, plant and equipment (including right-of-use assets) during the reporting period.

46.4 The company has not revalued its intangible assets during the reporting period.

46.5 There is no loans or advances in the nature of loans are granted to promoters, directors, KMPS and the related parties (as
defined under Companies Act, 2013), either severally or jointly with any other person.

46.6 There is a balance of Rs.189.08 lakh (Previous year Rs. 21.86 lakh) under capital work in progress of Tangible Assets at the
end of Financial Year.

Capital-Work-in Progress (CWIP)

46.8 There is no such benami property held by the company and also there is no proceeding has been initiated or pending
against the company for holding any benami property. under the benami transactions (prohibition) act, 1988 (45 of 1988)
and rules made there under.

46.9 There is no borrowings from banks or financial institutions on the basis of security of current assets. However company
has lien marked on fixed deposits as 100% margin on Bank Guarantees issued against Advance/Performance of of Fluid
Couplings supply.

46.10 The company has not been declared wilful defaulter by any bank or financial institution or government or any government
authority.

46.11 The company does not have any transaction with companies struck off under section 248 of the companies act, 2013 or
section 560 of companies act, 1956, during the current year and in the previous year.

46.12 There are 2 (two) charges for charge id no. 90205616 and 90204976 reflecting in the index of charges at the portal of MCA.
however, the loan amount was repaid and satisfied long back the company is trying to get the charge satisfied, however
the company could not find whereabout the charge holders, therefore the filing of form CHG-4 with the digital signature of
the charge holder could not be uploaded, however the management trying to find suitable way to file the same and comply
with the requirement of law.

* Total purchase includes purchase of raw material, stores & spares and other expenses.

** Capital employed includes tangible net worth and deferred tax liability.

46.14 No scheme of arrangements has been formulated by the company during the year under review in terms of sections 230
to 237 of the Companies Act, 2013.

46.15 The company has not advanced or loaned or invested funds (either borrowed funds or share premium or any other
sources or kind of funds) to any other person(s) or entity(ies), including foreign entities. the company has not received
any fund from any person(s) or entity(ies), including foreign entities (funding party) with the understanding (whether
recorded in writing or otherwise).

47 Previous year figures have been regrouped and/or rearranged wherever considered necessary.

48. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES:

The Company''s principal financial liabilities comprise of trade payables. The Company has various financial assets such
as trade receivables and cash and short-term deposits, which arise directly from its operations. The Company is exposed
to market risk, credit risk and liquidity risk.

The Company''s Board of Directors oversees the management of these risks. The Company''s Board of Directors is
supported by an Audit Committee that advises on financial risks and the appropriate financial risk governance framework
for the Company. The Audit Committee provides assurance to the Company''s Board of Directors that the Company''s

financial risk activities are governed by appropriate policies and procedures and that financial risks are identified,
measured and managed in accordance with the Company''s policies and risk objectives.

A. MARKET RISK :

Market risk is the risk of any loss in future earnings, in realizable fair values or in future cash flows that may result from a
change in the price of a financial instrument. The value of a financial instrument may change as a result of changes in the
interest rates, foreign currency exchange rates, liquidity and other market changes. Future specific market movements
cannot be normally predicted with reasonable accuracy.

B. CREDIT RISK :

Credit risk is the risk of financial loss arising from counterparty failure to repay or service debt according to the contractual
terms or obligations. Credit risk encompasses both the direct risk of default and the risk of deterioration of credit
worthiness as well as concentration risks. Financial instruments that are subject to concentrations of credit risk,
principally consist of trade receivables.

None of the financial instruments of the Company result in material concentrations of credit risks. The carrying amount of
financial assets represents the maximum credit exposure. The maximum exposure to credit risk was 3077.21 lakhs as at
31 March 2025 and 1858.67 lakhs as at 31 March 2024, being the total of the carrying amount of trade receivables and
current investments.

Customer credit risk is managed by the Company subject to the Company''s established policy, procedures and control
relating to customer credit risk management. Outstanding customer receivables are regularly monitored.

Credit risk from balances with banks and investment of surplus funds in mutual funds is managed by the Company''s
finance department.

C. LIQUIDITY RISK :

Liquidity risk refers to the risk that the Company cannot meet its financial obligations. The objective of liquidity risk
management is to maintain sufficient liquidity and ensure that funds are available for use as per requirements. The
Company invests its surplus funds in bank fixed deposit, Fixed Deposits with Corporate and mutual funds, which carry
no/low mark to market risks.

D. BORROWING RISK :

Borrowing risk is the risk associated with borrowed capital. The Company has policy to borrow fund from banks or other
financial institutions to meet its financial obligation time to time. Borrowed money may be in form of secured (charge
create on Company''s assets) or unsecured.

Mainly risk associated with the borrowed fund is change in interest rate by RBI time to time. The risk is reviewed regularly
by the Audit Committee of the Company.

The balance of borrowing fund from bank in the financial year ended 31st March, 2025 was Nil and also in previous
financial year ended 31st March, 2024 was Rs. Nil.

As per our report of even date For and on behalf of the Board

For J.P. SARAF & CO. LLP
CHARTERED ACCOUNTANTS

Firm Reg.No. : 006430C/C400368 (ASHOK JAIN) (RADHICA SHARMA) (KUNAL JAIN)

CHAIRMAN & DY. MANAGING DIRECTOR EXECUTIVE DIRECTOR

MANAGING DIRECTOR DIN : 06811597 DIN : 01475424

CA J.P.SARAF DIN : 00007813

PARTNER
M.No. 075319

(MONICA JAIN) (DEVENDRA KUMAR SAHU)

CHIEF FINANCIAL OFFICER COMPANY SECRETARY

Place : Indore

Date : This 30th Day of May, 2025

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Mar 31, 2024

18(iii) The company has issued and subscribed equity shares having par value of Rs. 10 per share. Each shareholder is eligible for one vote per share. The company pays and declares dividend in rupees. 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 of their shareholding.

The Board of Directors have proposed final dividend of Rs. 5.50/- per equity share for the financial year 2023-24, which are subject to approval at the Annual General Meeting, hence not recognised as liability as at 31st March, 2024.

19 (v) Capital reserve (19(i)) includes capital subsidy 8.44 lakhs (previous year 8.44 lakhs) and share forfeiture amount 1.81 lakhs (previous year 1.81 lakhs). capital redemption reserve (19(ii)) is related to redemption of 10% redeemable preference shares.

43 The Company has not made any contribution to any political party during the

current financial year as well as in the previous financial year.

44 Undisclosed Income

There is no such transaction which is not recorded in the books of accounts.

45 Details of Crypto Currency or Virtual Currency

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

46 Disclosure in Respect of Related Parties Pursuant to Indian AS 24 (As Certified by Management)

46d Company does not have holding, associate and joint venture. hence the requirement of disclose the name of the parent company, holding and ultimate controlling party are not required.

46e Company does not provide any termination benefits and share-based payment in the financial year 2023-24. (previous year: Nil)

47 ADDITIONAL REGULATORY INFORMATION

47.1 There is no such immovable properties which is not held in the name of the company.

47.2 There is no investment property in the company. Hence fair value of investment property is not required to valuate by a registered valuer as defined under rule 2 of companies (registered valuers and valuation) rules, 2017.

47.3 The company has not revaluted its property, plant and equipment (including right-of-use assets) during the reporting period.

47.4 The company has not revaluted its intangible assets during the reporting period.

47.5 There is no loans or advances in the nature of loans are granted to promoters, directors, KMPS and the related parties (as defined under companies act, 2013), either severally orjointly with any other person.

47.6 There is a balance of Rs.21.86 lakh under capital work in progress of Building shed & Plant & Machinery at the end of Financial Year.

Capital-Work-in Progress (CWIP)

Intangible Assets under Development aging schedule as on 31st March, 2023: Rs. Nil.

47.8 There is no such benami property held by the company and also there is no proceeding has been initiated or pending against the company for holding any benami property. under the benami transactions (prohibition) act, 1988 (45 of 1988) and rules made there under.

47.9 There is no borrowings from banks or financial institutions on the basis of security of current assets. However company has lien marked on fixed deposits having validity of more than 1 years which is created for advance against supply of fluid couplings and performance of fluid couplings during the tenure of guarantee.

47.10 The company has not been declared wilful defaulter by any bank or financial institution or government or any government authority.

47.11 The company does not have any transaction with companies struck off under section 248 of the companies act, 2013 or section 560 of companies act, 1956, during the current year and in the previous year.

47.12 There are 2 (two) charges for charge id no. 90205616 and 90204976 reflecting in the index of charges at the portal of MCA. however, the loan amount was repaid and satisfied long back the company is trying to get the charge satisfied, however the company could not find whereabout the charge holders, therefore the filing of form CHG-4 with the digital signature of the charge holder could not be uploaded, however the management trying to find suitable way to file the same and comply with the requirement of law.

* Total purchase includes purchase of raw material, stores & spares and other expenses ** Capital employed includes tangible net worth and deferred tax liability

47.14 No scheme of arrangements has been formulated by the company during the year under review in terms of sections 230 to 237 of the companies act, 2013.

47.15 The company has not advanced or loaned or invested funds (either borrowed funds or share premium or any other sources or kind of funds) to any other person(s) or entity(ies), including foreign entities. the company has not received any fund from any person(s) or entity(ies), including foreign entities (funding party) with the understanding (whether recorded in writing or otherwise).

48. Previous year figures have been regrouped and/or rearranged wherever considered necessary.

49. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES:

The Company''s principal financial liabilities comprise of trade payables. The Company has various financial assets such as trade receivables and cash and short-term deposits, which arise directly from its operations. The Company is exposed to market risk, credit risk and liquidity risk.

The Company''s Board of Directors oversees the management of these risks. The Company''s Board of Directors is supported by an Audit Committee that advises on financial risks and the appropriate financial risk governance framework for the Company. The Audit Committee provides assurance to the Company''s Board of Directors that the Company''s financial risk activities are governed by appropriate policies and procedures and that financial risks are identified, measured and managed in accordance with the Company''s policies and risk objectives.

A. MARKET RISK :

Market risk is the risk of any loss in future earnings, in realizable fair values or in future cash flows that may result from a change in the price of a financial instrument. The value of a financial instrument may change as a result of changes in the interest rates, foreign currency exchange rates, liquidity and other market changes. Future specific market movements cannot be normally predicted with reasonable accuracy.

B. CREDIT RISK :

Credit risk is the risk of financial loss arising from counter party failure to repay or service debt according to the contractual terms or obligations. Credit risk encompasses both the direct risk of default and the risk of deterioration of credit worthiness as well as concentration risks. Financial instruments that are subject to concentrations of credit risk, principally consist of trade receivables.

None of the financial instruments of the Company result in material concentrations of credit risks. The carrying amount of financial assets represents the maximum credit exposure. The maximum exposure to credit risk was1858.67 lakhs as at 31 March 2024 and 1664.16lakhs as at 31 March 2023, being the total of the carrying amount of trade receivables and current investments.

Customer credit risk is managed by the Company subject to the Company''s established policy, procedures and control relating to customer credit risk management. Outstanding customer receivables are regularly monitored.

Credit risk from balances with banks and investment of surplus funds in mutual funds is managed by the Company''s finance department.

C. LIQUIDITY RISK :

Liquidity risk refers to the risk that the Company cannot meet its financial obligations. The objective of liquidity risk management is to maintain sufficient liquidity and ensure that funds are available for use as per requirements. The Company invests its surplus funds in bank fixed deposit and mutual funds, which carry no/low mark to market risks.

D. BORROWING RISK :

Borrowing risk is the risk associated with borrowed capital. The Company has policy to borrow fund from banks or other financial institutions to meet its financial obligation time to time. Borrowed money may be in form of secured (charge create on Company''s assets) or unsecured.

Mainly risk associated with the borrowed fund is change in interest rate by RBI time to time. The risk is reviewed regularly by the Audit Committee of the Company.

The balance of borrowing fund from bank in the financial year ended 31st March, 2024 was Nil and also in previous financial year ended 31st March, 2023 was Rs. Nil.

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Mar 31, 2023

viii Where a provision is made with respect to a liability incurred by entering into a contractual obligation, the movements in the provision during the year shall be shown separately. :- There is no such contractual obligation during the year.

44. The Company has contributed donation of Nil to political party during the financial year (previous year Rs.91000 )

45 Undisclosed Income

There is no such transaction which is not recorded in the books of accounts.

46 Details of Crypto Currency or Virtual Currency

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

47 Disclosure in Respect of Related Parties Pursuant to Indian AS 24 (As Certified by Management)

i. Company does not have holding, associate and joint venture. hence the requirement of disclose the name of the parent company, holding and ultimate controlling party are not required.

ii. Company does not provide any termination benefits and share-based payment in the financial year 2022-23. (previous year: Nil)

48 ADDITIONAL REGULATORY INFORMATION

48.1 There is no such immovable properties which is not held in the name of the company.

48.2 There is no investment property in the company. hence fair value of investment property is not required to valuate by a registered valuer as defined under rule 2 of companies (registered valuers and valuation) rules, 2017.

48.3 The company has not revaluted its property, plant and equipment (including right-of-use assets) during the reporting period.

48.4 The company has not revaluted its intangible assets during the reporting period.

48.5 There is no loans or advances in the nature of loans are granted to promoters, directors, Kmps and the related parties (as

CWIP aging schedule as on 31st March, 2022: Nil

(b) For capital-work-in progress, whose completion is overdue or has exceeded its cost compared to its original plan: Nil

48.7 There is no intangible assets under development at the end of Financial Year.

48.8 There is no such benami property held by the company and also there is no proceeding has been initiated or pending against the company for holding any benami property. under the benami transactions (prohibition) act, 1988 (45 of 1988) and rules made there under.

48.9 There is no borrowings from banks or financial institutions on the basis of security of current assets. However company has lien marked on fixed deposits having validity of more than 1 years which is created for advance against supply of fluid couplings and performance of fluid couplings during the tenure of guarantee.

48.10 The company has not been declared wilful defaulter by any bank or financial institution or government or any government authority.

48.11 The company does not have any transaction with companies struck off under section 248 of the companies act, 2013 or section 560 of companies act, 1956, during the current year and in the previous year.

48.12 There are 2 (two) charges for charge id no. 90205616 and 90204976 reflecting in the index of charges at the portal of MCA. however, the loan amount was repaid and satisfied long back the company is trying to get the charge satisfied, however the company could not find whereabout the charge holders, therefore the filing of form CHG-4 with the digital signature of the charge holder could not be uploaded, however the management trying to find suitable way to file the same and comply with the requirement of law.

48.13 Company is having only one wholly owned subsidiary incorported in UK. Therefore company has complied with the number of layers prescribed under clause (87) of section 2 of the act read with the companies (restriction on number of layers) rules, 2017. Fluidomat UK Private Limited (Foreign Wholly Owned Subsidiary) has closed its business and applied for the voluntary strike off the same. However, the strike off application is pending before the authorities in UK as on the reporting date.

* Total purchase includes purchase of raw material, stores & spares and other expenses ** Capital employed includes tangible net worth and deferred tax liability

48.15 No scheme of arrangements has been formulated by the company during the year under review in terms of sections 230 to 237 of the companies act, 2013.

48.16 The company has not advanced or loaned or invested funds (either borrowed funds or share premium or any other sources or kind of funds) to any other person(s) or entity(ies), including foreign entities. the company has not received any fund from any person(s) or entity(ies), including foreign entities (funding party) with the understanding (whether recorded in writing or otherwise).

49 Previous year figures have been regrouped and/or rearranged wherever considered necessary.

50. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES:

The Company''s principal financial liabilities comprise of trade payables. The Company has various financial assets such as trade receivables and cash and short-term deposits, which arise directly from its operations. The Company is exposed to market risk, credit risk and liquidity risk.

The Company''s Board of Directors oversees the management of these risks. The Company''s Board of Directors is supported by an Audit Committee that advises on financial risks and the appropriate financial risk governance framework for the Company. The Audit Committee provides assurance to the Company''s Board of Directors that the Company''s financial risk activities are governed by appropriate policies and procedures and that financial risks are identified, measured and managed in accordance with the Company''s policies and risk objectives.

A. MARKET RISK :

Market risk is the risk of any loss in future earnings, in realizable fair values or in future cash flows that may result from a change in the price of a financial instrument. The value of a financial instrument may change as a result of changes in the interest rates, foreign currency exchange rates, liquidity and other market changes. Future specific market movements cannot be normally predicted with reasonable accuracy.

B. CREDIT RISK :

Credit risk is the risk of financial loss arising from counter party failure to repay or service debt according to the contractual terms or obligations. Credit risk encompasses both the direct risk of default and the risk of deterioration of credit worthiness as well as concentration risks. Financial instruments that are subject to concentrations of credit risk, principally consist of trade receivables.

None of the financial instruments of the Company result in material concentrations of credit risks. The carrying amount of financial assets represents the maximum credit exposure. The maximum exposure to credit risk was1664.16lakhs as at 31 March 2023 and 1191.21 lakhs as at 31 March 2022, being the total of the carrying amount of trade receivables and current investments.

Customer credit risk is managed by the Company subject to the Company''s established policy, procedures and control relating to customer credit risk management. Outstanding customer receivables are regularly monitored.

Credit risk from balances with banks and investment of surplus funds in mutual funds is managed by the Company''s finance department.

C. LIQUIDITY RISK :

Liquidity risk refers to the risk that the Company cannot meet its financial obligations. The objective of liquidity risk management is to maintain sufficient liquidity and ensure that funds are available for use as per requirements. The Company invests its surplus funds in bank fixed deposit, Fixed Deposits with Corporate and mutual funds, which carry no/low mark to market risks.

D. BORROWING RISK :

Borrowing risk is the risk associated with borrowed capital. The Company has policy to borrow fund from banks or other financial institutions to meet its financial obligation time to time. Borrowed money may be in form of secured (charge create on Company''s assets) or unsecured.

Mainly risk associated with the borrowed fund is change in interest rate by RBI time to time. The risk is reviewed regularly by the Audit Committee of the Company.

The balance of borrowing fund from bank in the financial year ended 31st March, 2023 was Nil and also in previous financial year ended 31 st March, 2022 was Rs. Nil.

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Mar 31, 2018

1. Corporate Information :

Fluidomat Limited is a Public Limited Company incorporated in the State of Madhya Pradesh, India and is listed on BSE Limited (BSE). The registered office of the Company is located at 117 First Floor, Navneet Darshan, 16/2 Old Palasia Indore 452018. The Company is an ISO 9001:2008 certified Company manufactures a wide range of fixed speed and variable speed fluid couplings for Industrial and automotive drives upto 3800 kw since 1971. The financial statements were authorized for issue in accordance with a resolution of the directors on 30^th May, 2018

2. Basis of preparation:

(i) Compliance with Ind AS

These financial statements have been prepared in accordance with the Indian Accounting Standards (hereinafter referred to as the (‘Ind AS’) as notified by Ministry of Corporate Affairs pursuant to Section 133 of the Companies Act, 2013 (‘The Act’) read with the Companies (Indian Accounting Standards) Rules,2015 as amended and other relevant provisions of the Act.

These financial statements for the year ended 31st March, 2018 are the first financials with comparatives, prepared under Ind AS, for all previous periods including the year ended 31st March, 2017, the Company had prepared its financial statements in accordance with the accounting standards notified under companies (Accounting Standard) Rule, 2006 (as amended) and other relevant provisions of the Act (hereinafter referred to as ‘Previous AS’) used for its statutory reporting requirement in India.

The accounting policies are applied consistently to all the periods presented in the financial statements, including the preparation of the opening Ind AS Balance Sheet as at 1st April, 2016 being the date of transition to Ind AS. The financial statements have been prepared and presented under the historical cost convention on accrual basis of accounting, Indian Accounting Standards prescribed under Section 133 of the Act read with Rule 7 of the Companies (Accounts) Rules, 2014, except where otherwise stated, the accounting principles have been consistently applied.

(ii) Operating Cycle:

Company’s operating cycle shall be 12 months beginning from 1^st of April to 31^st of March every financial year.

3A.Significant accounting judgments, estimates and assumptions:

The preparation of the Company’s financial statements requires management to make judgments, estimates and assumptions that affect the reported amounts of revenues, expenses, assets and liabilities, and the accompanying disclosures, and the disclosure of contingent liabilities. Uncertainty about these assumptions and estimates could result in outcomes that require a material adjustment to the carrying amount of the asset or liability affected in future periods. The key assumptions concerning the future and other key sources of estimation uncertainty at the reporting date, that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year, are described below. The Company based its assumptions and estimates on parameters available when the financial statements were prepared. Existing circumstances and assumptions about future developments, however, may change due to market changes or circumstances arising beyond the control of the Company. Such changes are reflected in the assumptions when they occur.

(a) Property Plant & Equipment

The company has estimated the useful life of Property, Plant and Equipment and Investment Property as per the useful life prescribed in Schedule II of the Companies Act, 2013.

(b) Taxes

(i) The Company’s tax charge is the sum of the total current and deferred tax charges. The calculation of the Company’s total tax charge necessarily involves a degree of estimation and judgment in respect of certain items whose tax treatment cannot be finally determined until resolution has been reached with the relevant tax authority or, as appropriate, through a formal legal process.

(ii) Accruals for tax contingencies require management to make judgments and estimates in relation to tax related issues and exposures.

(iii)The recognition of deferred tax assets is based upon whether it is more likely than not that sufficient and suitable taxable profits will be available in the future against which the reversal of temporary differences can be deducted. Where the temporary differences are related to losses, the availability of the losses to offset against forecast taxable profits is also considered. Recognition therefore involves judgment regarding the future financial performance of the particular legal entity or Company in which the deferred tax asset has been recognized.

(c) Defined benefit

The cost of defined benefit plans (i.e. Gratuity benefit) is determined using valuations done by LIC. An actuarial valuation involves making various assumptions which may differ from actual developments in the future. These include the determination of the discount rate, future salary increases, mortality rates and future pension increases. Due to the complexity of the valuation, the underlying assumptions and its long-term nature, a defined benefit obligation is highly sensitive to changes in these assumptions. All assumptions are reviewed at each reporting date. In determining the appropriate discount rate, management considers the interest rates of long term government bonds with extrapolated maturity corresponding to the expected duration of the defined benefit obligation. Future salary increases and pension increases are based on expected future inflation rates for the respective countries. 3B.Recent Accounting Pronouncements

(Disclosure in compliance of para 30 & 31 of IND AS 8 )

In March 2018, the Ministry of Corporate Affairs issued the Companies (Indian Accounting Standards) (Amendments) Rules, 2018, notifying Ind AS 115 - ‘Revenue from Contracts with Customers’ and consequential amendments to various Ind AS standards. The amended Rules also notified amendments to Ind AS 12 - ‘Income Taxes’, Ind AS 21 -‘The Effect of Changes in Foreign Exchange Rates’. The amendments are effective from accounting periods beginning from 1st April, 2018.

Ind AS 115 - ‘Revenue from Contracts with Customers’:

This standard establishes a single comprehensive model for accounting of revenue arising from contracts with customers. The Company is currently assessing the impact of application of Ind AS 115 on the Company’s financial statements.

Amendments to Ind AS 12 - ‘Income Taxes’:

The amendments clarify the requirement for recognizing deferred tax assets on unrealized losses on debt instruments that are measured at fair value. The amendments also clarify certain other aspects of accounting for deferred tax assets. The changes will not have any material impact on the financial statements of the Company.

Amendments to Ind AS 21 - ‘The Effect of Changes in Foreign Exchange Rates’:

The amendments clarify translation of advance payments denominated in foreign currency into functional currency at the spot rate on the day of payment. The guidance aims to reduce diversity in practice. The changes will not have any material impact on the financial statements of the Company.

4 (i) 471000 Equity Shares of Rs. 10/- each out of the issued, subscribed and paid up share capital were alloted to IFCI Ltd. as fully paid up for a consideration other than cash.

4 (ii) The Company has issued and subscribed equity shares having par value of Rs. 10 per share. Each Shareholder is eligible for one vote per share.The dividend proposed by the Board of Directors is subject to the approval of shareholders, except in case of interim dividend, if any. In the event of liquidation, the equity shareholders are eligilble to receive the remaining assets of the Company, after distribution of all preferential amounts, in proportion of their shareholding.

5 Previous year figures have been regrouped and/or rearranged wherever considered necessary.

6. FINANCIAL RISK MANAGEMENT OBJECTIVES AND POLICIES:

The Company’s principal financial liabilities comprise of trade payables. The Company has various financial assets such as trade receivables and cash and short-term deposits, which arise directly from its operations. The Company is exposed to market risk, credit risk and liquidity risk.

The Company’s Board of Directors oversees the management of these risks. The Company’s Board of Directors is supported by a Risk Management Committee that advises on financial risks and the appropriate financial risk governance framework for the Company. The Risk Management Committee provides assurance to the Company’s Board of Directors that the Company’s financial risk activities are governed by appropriate policies and procedures and that financial risks are identified, measured and managed in accordance with the Company’s policies and risk objectives.

A. MARKET RISK

Market risk is the risk of any loss in future earnings, in realizable fair values or in future cash flows that may result from a change in the price of a financial instrument. The value of a financial instrument may change as a result of changes in the interest rates, foreign currency exchange rates, liquidity and other market changes. Future specific market movements cannot be normally predicted with reasonable accuracy.

B. CREDIT RISK

Credit risk is the risk of financial loss arising from counterparty failure to repay or service debt according to the contractual terms or obligations. Credit risk encompasses both the direct risk of default and the risk of deterioration of credit worthiness as well as concentration risks. Financial instruments that are subject to concentrations of credit risk, principally consist of trade receivables.

None of the financial instruments of the Company result in material concentrations of credit risks. The carrying amount of financial assets represents the maximum credit exposure. The maximum exposure to credit risk was 1118.60 lakhs as at 31st March 2018 and 875.27 lakhs as at 31st March 2017, being the total of the carrying amount of trade receivables and current investments.

Customer credit risk is managed by the Company subject to the Company’s established policy, procedures and control relating to customer credit risk management. Outstanding customer receivables are regularly monitored. Credit risk from balances with banks and investment of surplus funds in mutual funds is managed by the Company’s finance department.

C. LIQUIDITY RISK

Liquidity risk refers to the risk that the Company cannot meet its financial obligations. The objective of liquidity risk management is to maintain sufficient liquidity and ensure that funds are available for use as per requirements. The Company invests its surplus funds in bank fixed deposit and liquid and liquid plus schemes of mutual funds, which carry no/low mark to market risks.

D. BORROWING RISK

Borrowing risk is the risk associated with borrowed capital. The Company has policy to borrow fund from banks or other financial institutions to meet its financial obligation time to time. Borrowed money may be in form of secured (charge create on Company’s assets) or unsecured.

Mainly risk associated with the borrowed fund is change in interest rate by RBI time to time. The risk is reviewed regularly by the Audit Committee and Risk Management Committee of the Company.

The balance of borrowing fund from bank in the financial year ended 31st March, 2018 was Rs. 2.95 lakhs as compared to previous financial year ended 31st March, 2018 was Rs 40.75 lakhs

7. FIRST-TIME ADOPTION OF IND AS:

These are the Company’s first financial statements prepared in accordance with Ind AS.

The Company has adopted Indian Accounting Standards (Ind AS) notified by the Ministry of Corporate Affairs with effect from 1st April, 2017, with a transition date of 1st April, 2016. Ind AS 101-First-time Adoption of Indian Accounting Standards requires that all Ind AS standards and interpretations that are issued and effective for the first Ind AS financial statements which is for the year ended 31st March, 2018 for the company, be applied retrospectively and consistently for all financial years presented. Consequently, in preparing these Ind AS financial statements, the Company has availed certain exemptions and complied with the mandatory exceptions provided in Ind AS 101, as explained below. The resulting difference in the carrying values of the assets and liabilities as at the transition date between the Ind AS and Previous Accounting Standered (AS) have been recognized directly in equity (retained earnings or another appropriate category of equity).

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

A. Optional Exemptions availed (a) Deemed Cost

The Company has opted paragraph D7 AA and accordingly considered the carrying value of property, plant and equipments and Intangible assets 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 AS (after adjustments to reflect any difference in accounting policies).

C. Transition to Ind AS - Reconciliations

The following reconciliations provide a quantification of the effect of significant differences arising from the transition from previous AS to Ind AS as required under Ind AS 101:

I. Reconciliation of Balance sheet as at April 1, 2016 (Transition Date)

Reconciliation of Balance sheet as at March 31, 2017

II. Reconciliation of Total Comprehensive Income for the year ended March 31, 2017

III. Reconciliation of Equity as at April 1, 2016 and as at March 31, 2017

The presentation requirements under Previous AS differs from Ind AS, and hence, Previous AS information has been regrouped for ease of reconciliation with Ind AS. The Regrouped Previous AS information is derived from the Financial Statements of the Company prepared in accordance with Previous AS.

Note: The previous AS figures have been reclassified to confirm to Ind AS presentation requirements for the purposes of this note.

A. Other Financial Assets :

Under the previous AS, Fixed deposits with more than maturity period one year were included in cash & cash equivalents and unpaid dividend account balances with bank were also included in cash & cash equivalents . Under the Ind AS fixed deposits with more than maturity period of one year were separately disclosed in heading under other financial assets and dividend accounts balances were disclosed in other than bank balances as per the requirement of Ind AS.

B. Proposed dividend:

Under the previous AS, 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 recognized as a liability.

Under Ind AS, such dividends are recognized when the same is approved by the shareholders in the general meeting. Accordingly, the liability for proposed dividend including dividend distribution tax (DDT) of Rs. 1,48,25,054 as at 1^st April, 2016 included under provisions has been reversed with corresponding adjustment to retained earnings. Consequently, the total equity has been increased by an equivalent amount. The same has been recognized in retained earnings during the year ended 31^st March 2017 as declared and paid. Proposed dividend including Dividend Distribution tax (DDT) liability as on 31^st March 2017 amounting to Rs. 1,03,77,533 is also derecognized on that date with the corresponding increase in the retained earnings.

C. Other Current Liabilities:

Under the previous AS, current liabilities were included the amount of unclaimed dividend and current tax liabilities. Under the Ind AS, the current liabilities were regrouped and amount of unclaimed dividend was transferred into the sub heading “Other Financial Liabilities “ and current tax liabilities was transferred into the separate heading called “Current Tax Liabilities”

D. Excise Duty:

Under the previous AS, revenue from sale to goods was presented exclusive of excise duty. Under Ind AS revenue from sales of goods is presented inclusive of excise duty. Excise duty paid is presented on face of statement of profit and loss account as a part of expense. This change has resulted in increase in total revenue and total expense for the year ended March 31, 2017. There is no impact on total equity and profit.

E. Proposed dividend:

Please refer note no. B of the Reconciliation of Balance sheet for dividend recognition.

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Mar 31, 2016

1 471000 Equity Shares of ''10/- each out of the issued, subscribed and paid up share capital were alloted to IFCI Ltd. as fully paid up for a consideration other than cash.

2 Shares redeemed during the period of five years immediately preceding the reporting date ;

30900 10% Redeemable Preference Share of ''100/- each redeemed to IFCI Ltd. on 21/01/2011.

3 The Company has issued and subscribed equity shares having par value of ''10 per share. Each Shareholder is eligible for one vote per share. The dividend proposed by the Board of Directors is subject to the approval of shareholders, except in case of interim dividend, if any. 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 of their shareholding.

4 Capital Reserve (2.1) includes Capital Subsidy Rs, 843504 (Previous year Rs,843504) and Share Forfeiture amount '' 181450 (Previous year Rs,181450). Capital Redumption Reserve (2.2) is related to redemption of 10% Redeemable Preference Shares

# Dividend Proposed to be distributed to Equity Shareholders is Rs, 2.50 (Previous year Rs, 2.75) per Equity Share.

5. Working capital loans are secured by hypothecation of present and future stock of raw materials, stock-in-process, finished goods, stores and spares, book debts and further secured by first charge on the immovable assets including other movable assets of the company.

6 Working Capital loan are secured by personal guarantee of Mr. Ashok Jain, Chairman and Managing Director of the company and Smt. Pramila Jain.

7 The company has no information as to whether any of its vendors constitute a "Supplier" within the meaning of Section 2(n) of the Micro, Small and Medium Enterprises Development Act, 2006 as no declarations were received under the said Act from them.

# Balance with Banks includes Unclaimed Dividend of '' 2295301/- (Previous Year '' 1704650/-)

* Fixed Deposit with Banks include Deposits of '' 63526583/- (Previous Year '' 89943308/- ) with maturity of more than 12 months and '' 4832897/- (Previous Year '' 4433195/-) as margin money against Bank Guarantee.

* Ms. Ritu Tiwari - Company Secretary resigned w.e.f. 23rd December, 2014 and Mr. Devendra Kumar Sahu was appointed w.e.f. 23rd March, 2015.

8 Previous year figures have been regrouped and/or rearranged wherever considered necessary.

9. Significant Accounting policies & practices adopted by the company are disclosed in the statement annexed to these financial _statements as Annexure 1._

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Mar 31, 2015

1.0 The Company has issued and subscribed equity shares having par value of Rs.10 per share. Each Shareholder is eligible for one vote per share.The dividend proposed by the Board of Directors is subject to the approval of shareholders, except in case of interim dividend, if any. In the event of liquidation, the equity shareholders are eligilble to receive the remaining assets of the Company, after distribution of all preferential amounts, in proportion of their shareholding.

1.2 Capital Reserve (2.1) includes Capital Subsidy Rs. 843504 (Previous year Rs. 843504) and Share Forefeiture amount Rs. 181450 (Previous year Rs.181450). Capital Redumption Reserve (2.2) is related to redumption of 10% Redeemable Preference Shares.

# Dividend Proposed to be distributed to Equity Shareholders is Rs.2.75 (Previous year Rs. 2.75) per Equity Share.

1.3 During the year, the Company has adopted estimated useful life of fixed assets as stipulated by Schedule II to the Companies Act,2013. Accordingly, depreciation of Rs. 3160326 on account of carrying value of fixed assets, whose useful life is already exhausted on April 01, 2014 has been adjusted against General Reserve (Rs. 2134958) and Deffered Tax Liability (Rs. 1025368).

2.1 Working capital loans are secured by hypothecation of present and future stock of raw materials, stock-in-process, finished goods, stores and spares, book debts and further secured by first charge on the immovable assets including other movable assets of the company.

2.2. Working Capital loan are secured by personal guarnatee of Mr. Ashok Jain, Chairman and Managing Director of the company and Smt. Pramila Jain.

Year Ended Year Ended 31st March, 2015 31st March, 2014 3 Contingent Liabilities and Commitments (To the extend not provided for) (As certified by the Management)

1.1 Estimated amount of contracts remaining to be executed on capital account 0 0

3.2 Contingent Liabilities

(i) Counter Guarantees given to the Bank in respect of Guarantees given by them on behalf of the company. 32320975 38041608

(ii) Demands against the Company being disputed not acknowledged as debt and not provided for in respect of :

(a) Sales Tax 4639881 4621972

(b) Labour payment 29674 14256

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Mar 31, 2014

1. 471000 Equity Shares of Rs. 10/- each out of the issued, subscribed and paid up share capital were alloted to IFCI Ltd. as fully paid up for a consideration other than cash.

2 Shares redeemed during the period of five years immediately preceeding the reporting date ; 30900 10% Redeemable Preference Share of Rs. 100/- each redeemed to IFCI Ltd. on 21/01/2011.

3 The Company has issued and subscribed equity shares having par value of Rs. 10 per share. Each Shareholder is eligible for one vote per share.The dividend proposed by the Board of Directors is subject to the approval of shareholders, except in case of interim dividend, if any. In the event of liquidation, the equity shareholders are eligilble to receive the remaining assets of the Company, after distribution of all preferential amounts, in proportion of their shareholding.

4 Capital Reserve (2.1) includes Capital Subsidy Rs. 843504 (Previous year Rs. 843504) and Share Forefeiture amount Rs. 181450 (Previous year Rs. 181450). Capital Redumption Reserve (2.2) is related to redumption of 10% Redeemable Preference Shares.

# Dividend Proposed to be distributed to Equity Shareholders is Rs. 2.75 (Previous year Rs. 2.50) per Equity Share.

5 Working capital loans are secured by hypothecation of present and future stock of raw materials, stock-in- process, finished goods, stores and spares, book debts and further secured by first charge on the immovable assets including other movable assets of the company.

6 Working Capital loan are secured by personal guarantee of Mr. Ashok Jain, Chairman and Managing Director of the company and Smt. Pramila Jain.

7 The company has issued letter to supplier or service providers for their status whether they are covered under the "Micro ,Small and Medium Enterprises (Development) Act, 2006. We have been informed by Management that no such status replied by parties and therefore, it is not possible to give the information required under the Act.

# Balance with Banks includes Unclaimed Dividend of Rs. 1085747/- (Previous Year Rs. 521967/-)

* Fixed Deposit with Banks include Deposits of Rs. 88513129/- (Previous Year Rs. 44943690/- ) with maturity of more than 12 months and Rs. 4273343/- (Previous Year Rs. 4042714/-) as margin money against Bank Guarantee.

8 Contingent Liabilities and Commitments (To the extend not provided for) (As certified by the Management)

9 Previous year figures have been regrouped and/or rearranged wherever considered necessary.

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Mar 31, 2012

1.1 471000 Equity Shares of Rs. 10/- each out of the issued, subscribed and paid up share capital were alloted to IFCI Ltd. on 30.10.2003 as fully paid up pursuant to the restructuring package for a consideration other than cash.

1.2 Shares redeemed during the period of five years immediately preceeding the reporting date ; 30900 10% Redeemable Preference Share of Rs.100/- each redeemed to IFCI Ltd. On 21/01/2011.

1.3 The details of shareholders holding more than 5% Shares :

1.5 The Company has issued and subscribed equity shares having par value of Rs.10 per share. Each Shareholder is eligible for one vote per share. The dividend proposed by the Board of Directors is subject to the approval of shareholders, except in case of interim dividend. In the event of liquidation, the equity shareholders are eligilble to receive the remaining assets of the Company, after distribution of all preferential amounts, in proportion of their shareholding.

2.5 Capital Reserve (2.1) includes Capital Subsidy Rs. 843504 (Previous year Rs. 843504) and Share Forefeiture amount Rs. 181450 (Previous year Rs. 181450). Capital Redumption Reserve (2.2) is related to redumption of 10% Redeemable Preference Shares.

# Dividend Proposed to be distributed to Equity Shareholders is Rs. 1.25 (Previous year Re. 1) per Equity Share.

3.1 Working capital loans are secured by hypothecation of present and future stock of raw materials, stock-in-process, finished goods, stores and spares, book debts and further secured by first charge on the immovable assets including other movable assets of the company.

3.2 Vehicle loans are secured by hypothecation of related vehicles.

3.3 The above mentioned loans are also secured by personal guarnatee of Mr. Ashok Jain,Chairman and Managing Director of the company (For working capital facilities Smt. Pramila Jain has also extended her personal guarantee.)

4.1 The company has issued letter to supplier or service providers for their status whether they are covered under the "Micro ,Small and Medium Enterprises (Development) Act, 2006. No such status replied by parties and therefore, it is not possible to give the information required under the Act.

Year ended Year ended

31st March, 2012 31st March, 2011

Rupees Rupees

5 Contingent Liabilities and Commitments

(To the extend not provided for)

(As certified by the Management)

5.1 Estimated amount of contracts remaining to be executed on capital account 2450000 Nil

5.2 Contingent Liabilities

(i) Counter Guarantees given to the Bank in respect of Guarantees given by them on behalf of the company. 22529065 19371849

(ii) Demands against the Company being disputed not acknowledged as debt and not provided for in respect of :

(a) Income Tax 0 59354

(b) Sales Tax 1175705 149547

(c) Labour payment 14256 35007

(d) Central Excise # 5312806 2642472

# Show cause notice received from department and duly replied.

6 The financial statement 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 under the Compnies Act, 1956, the financial statements for the year ended 31st March, 2012 are prepared under revised sechdule VI . Accordingly, the previous year figures have also been reclassified to confirm to current years classifications.

7 Significant Accounting policies & practices adopted by the company are disclosed in the statement annexed to these financial statements as annexure 1.

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Mar 31, 2010

AS AT AS AT

31.03.2010 31.03.2009

01) (i) Contingent liabilities not provided tor in respect ot: (As certified by the Management) Counter Guarantees given to the Bank in respect of Guarantees given by them on behalf of the company. 1,50,70,009 1,27,34,760 Margin money Rs. 16,00,000/- (40,00,000/-)

(ii) Demands against the Company being disputed not acknowledged as debt and not provided for in respect of which the Company is in appeal :

(a) Income Tax Demands 59,354 59,354

(b) Sales Tax Demands 84,682 49,033

(c) Labour payment 35,007 24,567



02) The Company has not received any information from suppliers or service providers, whether they are covered under the "Micro, Small and Medium Enterprises (Development) Act, 2006". Therefore, it is not possible to give the information required under the Act.

03) Earning Per Share (EPS)

As per Accounting Standard-20 Basic Earning per share is Rs. 3.90 whereas the diluted earning per share is Rs.3.53. The following is a reconciliation of the equity shares used in computation of basic & diluted earning per equity share :

04) Segment Reporting :

Since the Company operates in one segment only, segment reporting as required under Accounting standard 17 issued by the Institute of Chartered Accountants of India is not applicable. There is no reportable geographical Segment either.

05) The figures have been rounded off to the nearest rupees.

06) Previous year figures have been regrouped and/or rearranged wherever considered necessary.

07) Additional information pursuant to Part II & III of Schedule VI of the Companies Act, 1956.

* As the individual value of each item of components and other does not exceed 10% of total consumption, the quantity there of has not been given.

Figures in brackets related to previous year ended as at 31.03.2009

08) Related Party disclosures: (As required under Accounting Standard 18)

09) Schedule 1 to 20 form an integral part of Balance Sheet and Profit and Loss Account and have been duly authenticated.

10) Additional information pursuant to Part IV of Schedule VI of the Companies Act, 1956.