Notes to Accounts of International Conveyors Ltd.

Mar 31, 2025

2.15 Provisions, Contingent Liabilities and Contingent Assets
Contingent liability :

A possible obligation that arises from past events and the existence of which will be confirmed only by the occurrence or non
occurrence of one or more uncertain future events not wholly within the control of the Company or; present obligation that
arises from past events where it is not probable that an outflow of resources embodying economic benefits will be required
to settle the obligation; or the amount of the obligation cannot be measured with sufficient reliability are disclosed as
contingent liability and not provided for. .

Contingent assets :

A contingent asset is a possible asset that arises from past events and whose existence will be confirmed only by the occurrence
or non-occurrence of one or more uncertain future events not wholly within the control of the Company. Contingent assets are
not recognised and disclosed only when an inflow of economic benefits is probable.

Provisions :

A provision is recognized when as a result of a past event, the Company has a present obligation whether legal or constructive
that can be estimated reliably and it is probable that an outflow of economic benefits will be required to settle the obligation.
If the obligation is expected to be settled more than 12 months after the end of reporting date or has no definite settlement
date, the provision is recorded as non-current liabilities after giving effect for time value of money, if material. Where
discounting is used, the increase in the provision due to the passage of time is recognized as a finance cost.

Provisions, contingent liabilities and contingent assets are reviewed at each balance sheet date.

2.16 Earnings per share

(a) Basic earnings per share are computed by dividing the net profit/(loss) after tax by the weighted average number of
equity shares outstanding during the year.

(b) Diluted earnings per share are computed by dividing the net profit/(loss) after tax by the weighted average number of
equity shares considered for deriving basic earnings per share and also the weighted average number of equity shares
which could be issued on the conversion of all dilutive potential equity shares. Dilutive potential equity shares are
determined as at the end of each period presented. Dilutive potential equity shares are determined independently for
each period presented.

2.17 Operating Segment

Operating segments are reported in a manner consistent with the internal reporting provided to the chief operating decision
maker (CODM).

The chief operating decision-maker, who is responsible for allocating resources and assessing performance of the operating
segments, has been identified as the Managing Director who makes strategic decisions.

The accounting policies adopted for segment reporting are in line with the accounting policies adopted for preparing and
presenting the Financial Statements of the Company as a whole. In addition, the following specific accounting policies have
been followed for segment reporting:

a) Segment revenue includes sales and other income directly identifiable with/allocable to the segment including inter
segment transfers.

Inter segment transfers are accounted for based on the transaction price agreed to between the segments which is
at cost in case of transfer of Company''s intermediate and final products and estimated realizable value in case of by¬
products.

b) Revenue, expenses, assets and liabilities are identified to segments on the basis of their relationship to the operating
activities of the segment. Revenue, expenses, assets and liabilities which relate to the Company as a whole and are not
allocable to segments on direct and/or on a reasonable basis, have been disclosed as "Unallocable".

2.18 Leases

Assets taken on lease are accounted as right-of-use assets and the corresponding lease liability is recognised at the lease
commencement date.

The Company''s lease asset classes primarily consist of land. Initially the right-of-use asset is measured at cost which comprises
the initial amount of the lease liability adjusted for any lease payments made at or before the commencement date, plus any
initial direct costs incurred and an estimate of costs to dismantle and remove the underlying asset or to restore the underlying
asset or the site on which it is located, as reduced by any lease incentives received.

The lease liability is initially measured at the present value of the lease payments, discounted using the Company''s incremental
borrowing rate. It is remeasured when there is a change in future lease payments arising from a change in an index or a rate, or
a change in the estimate of the guaranteed residual value, or a change in the assessment of purchase, extension or termination
option. When the lease liability is remeasured in this way, a corresponding adjustment is made to the carrying amount of the
right-of-use asset or is recorded in profit or loss if the carrying amount of the right-of-use asset has been reduced to zero.

The right-of-use asset is measured by applying cost model i.e. right-of-use asset at cost less accumulated depreciation and
cumulative impairment, if any. The right-of-use asset is depreciated using the straight-line method from the commencement
date to the end of the lease term or useful life of the underlying asset whichever is earlier. Carrying amount of lease liability is
increased by interest on lease liability and reduced by lease payments made.

Lease payments associated with following leases are recognised as expense on straight-line basis:

(i) Low value leases; and

(ii) Leases which are short-term.

Assets given on lease are classified either as operating lease or as finance lease. A lease is classified as a finance lease if it
transfers substantially all the risks and rewards incidental to ownership of an underlying asset. Asset held under finance
lease is initially recognised in balance sheet and presented as a receivable at an amount equal to the net investment in the
lease. Finance income is recognised over the lease term, based on a pattern reflecting a constant periodic rate of return on
Company''s net investment in the lease. A lease which is not classified as a finance lease is an operating lease.

The Company recognises lease payments in case of assets given on operating leases as income on a straight-line basis. The
Company presents underlying assets subject to operating lease in its balance sheet under the respective class of asset.
Leasehold land classified as Right-of-use assets is depreciated from the commencement date on a straight-line basis over
the lease term (being lower than its useful life). Lease liability and ROU asset have been separately presented in the Balance
Sheet and lease payments have been classified as financing cash flows.

2.19 Cash and cash equivalents

Cash and cash equivalents in the Balance sheet comprise cash on hand, cheques on hand, balance with banks on current
accounts and short term, highly liquid investments with an original maturity of three months or less and which carry
insignificant risk of changes in value.

For the purpose of the Cash Flow Statement, Cash and cash equivalents consist of Cash and cash equivalents, as defined above
and net of outstanding book overdrafts as they are considered an integral part of the Company''s cash management.

2.20 Cash Flow Statement

Cash flows are reported using the indirect method, whereby profit/loss before tax is adjusted for the effects of transactions
of a non-cash nature, any deferrals or accruals of past or future operating cash receipts or payments and item of income or
expenses associated with investing or financing flows. The cash flows from operating, investing and financing activities of the
Company are segregated.

2.21 Exceptional items

Exceptional items include income or expenses that are part of ordinary activities. However, they are of such significance and
nature that separate disclosure enables the user of financial statements to understand the impact more clearly. These items
are identified by their size or nature to facilitate comparison with prior periods and assess underlying trends in the Company''s
financial performance.

2B. Critical accounting judgements and key sources of estimation uncertainty

The preparation of the financial statements in conformity with the measurement principle of Ind AS requires management
to make estimates, judgments and assumptions. These estimates, judgments and assumptions affect the application of
accounting policies and the reported amounts of assets and liabilities, the disclosures of contingent assets and liabilities at
the date of the financial statements and reported amounts of revenues and expenses during the period. Accounting estimates
could change from period to period. Actual results could differ from those estimates. Appropriate changes in estimates are
made as management becomes aware of changes in circumstances surrounding the estimates. Differences between the actual
results and estimates are recognized in the year in which the results are known / materialized and, if material, their effects are
disclosed in the notes to the financial statements.

Application of accounting policies that require significant areas of estimation, uncertainty and critical judgments and the use
of assumptions in the financial statements have been disclosed below. The key assumptions concerning the future and other
key sources of estimation uncertainty at the balance sheet date, that have a significant risk of causing a material adjustment
to the carrying amount of assets and liabilities within the next financial year are discussed below:

The Company provides for tax considering the applicable tax regulations and based on reasonable estimates. Management
periodically evaluates positions taken in the tax returns giving due considerations to tax laws and establishes provisions in
the event if required as a result of differing interpretation or due to retrospective amendments, if any.

(a) Income taxes

Deferred income tax expense is calculated based on the differences between the carrying value of assets and liabilities
for financial reporting purposes and their respective tax bases that are considered temporary in nature. Valuation of
deferred tax assets is dependent on management''s assessment of future recoverability of the deferred benefit. Expected
recoverability may result from expected taxable income in the future, planned transactions or planned optimising
measures. Economic conditions may change and lead to a different conclusion regarding recoverability.

(b) Fair value measurements and valuation processes:

Investments are measured at fair value for financial reporting purposes. Fair value measurements are categorised
into Level 1, 2, or 3 based on the degree to which the inputs to the fair value measurements are observable and the
significance of the inputs to the fair value measurement in its entirety.

Information about the valuation techniques and inputs used in determining the fair value of various assets and liabilities
are disclosed in the notes to the financial statements.

(c) Estimation of Defined benefit obligations

The cost of the defined benefit gratuity plan and the present value of the gratuity obligation are determined using actuarial
valuations. An actuarial valuation involves making various assumptions that may differ from actual developments in
the future. These include the determination of the discount rate, future salary increases and mortality rates. Due to
the complexities involved in the valuation and its long-term nature, a defined benefit obligation is highly sensitive to

changes in these assumptions. All assumptions are reviewed at each financial year end.

The parameter most subject to change is the discount rate. In determining the appropriate discount rate for plans, the
actuary considers the interest rates of government bonds.

The mortality rate is based on publicly available mortality tables. Those mortality tables tend to change only at interval in
response to demographic changes. Future salary increases and gratuity increases are based on expected future inflation
rates.

(d) Provisions and contingent liabilities

The Company has ongoing litigations with various regulatory authorities and third parties. Where an outflow of funds
is believed to be probable and a reliable estimate of the outcome of the dispute can be made based on management''s
assessment of specific circumstances of each dispute and relevant external advice, management provides for its best
estimate of the liability. Such accruals are by nature complex and can take number of years to resolve and can involve
estimation uncertainty. Information about such litigations is provided in notes to the financial statements.

2C. Recent Pronouncements

(a) New and revised standards adopted by the Company

During the year ended March 31, 2025, the Company considered the amendments notified by the Ministry of Corporate
Affairs (MCA) through the 1st Amendment dated August 12, 2024, the 2nd Amendment dated September 9, 2024, and
the 3rd Amendment dated September 28, 2024 to the Companies (Indian Accounting Standards) Rules, 2015.

These amendments primarily relate to the introduction of Ind AS 117 - Insurance Contracts and consequential changes
to standards including Ind AS 101, 103, 104, 105, 107, 109, 115, and 116, which address accounting and disclosure
requirements for insurance contracts, financial guarantee contracts, and sale and leaseback arrangements, among
others.

The adoption of these amendments did not have impact on the profit or loss and earnings per share of the Company for
the year.

(b) Standards issued but not yet effective

The Ministry of Corporate Affairs (MCA), vide notification dated May 7, 2025, has amended Indian Accounting Standard
(Ind AS) 21 - The Effects of Changes in Foreign Exchange Rates and Ind AS 101 - First time Adoption of Indian Accounting
Standards. These amendments are applicable for annual reporting periods beginning on or after April 1, 2025.

The key amendment relates to providing guidance for assessing lack of exchangeability between currencies and
estimating the spot exchange rate when a currency is not exchangeable. Additional disclosure requirements have also
been introduced in such scenarios, including the nature and financial effect of the currency in exchangeability, the
estimation methodology used, and risks arising therefrom.

The Company is currently evaluating the impact of these amendments and expects that their application will not have a
material effect on the financial statements.

(i) No shares were allotted as fully paid up by way of bonus shares or pursuant to contract without payment being received in cash
during the last five years ended on March 31, 2025 (Previous year Nil). Further, 41,21,000 equity shares were bought back by the
Company during the last five years ended on March 31, 2025 (Previous year 41,21,000 equity shares).

(j) Dividend:

The final dividend on shares is recorded as a liability on the date of approval by the shareholders and interim dividends are
recorded as a liability on the date of declaration by the Company''s Board of Directors.

During the year ended March 31, 2025, the Company paid the final dividend of ''1.10 ( Previous year ''1.10) per equity share
(110%) for the year ended March 31, 2024.

The Board of Directors, at their meeting held on May 14, 2025 recommended a final dividend of ''0.75 per equity share (75%) for
the year ended March 31, 2025, subject to approval of shareholders. On approval, the dividend outgo is expected to be ''475.34
lakhs based on number of shares outstanding.

Notes:

i) General Reserve - General reserve is a free reserve and can be utilised for any general purpose like issue of bonus shares,
payment of dividend, buy back of shares etc.

ii) Securities Premium - The amount received in excess of the par value has been classified as Securities premium.

iii) Retained earnings - Retained earnings represents the amount of accumulated earnings of the Company. This includes net
cumulative losses related to the re-measurement of the defined benefit plan resulting from experience adjustments and changes
in actuarial assumptions, recognised in other comprehensive income.

iv) Capital Reserve - The amount represents capital subsidy received from Government of Maharashtra.

v) Employee share options - This reserve relates to stock options granted by the Company to sepcified employees under ICL
Employee Stock Option Plan 2020. This reserves is transferred to secutiries premium or retained earnings on exercise or lapsed
of vested option.

vi) Capital Redemption Reserve - This reserve is created for an amount equal to the nominal value of shares bought back. This
reserve shall be utilised in accordance with the provision of the Act.

Sensitivity analysis indicates the influence of a reasonable change in certain significant assumptions on the outcome of the
Present value of obligation (PVO) and aids in understanding the uncertainty of reported amounts. Sensitivity analysis is done
by varying one parameter at a time and studying its impact.

*Included in "Salaries, Wages and Bonus" under "Employee benefits expense" in Note 33.

The expected return on Plan Assets is based on the actuarial expectation of the average long-term rate of return expected. The
discount rate is based on the prevailing market yields on Government bonds as at the balance sheet date.

H. Risk Exposure:

Provision for a defined benefit scheme poses certain risks, some of which are detailed hereunder, as the company take on
uncertain long term obligations to make future benefit payments:
i) Liability Risks

a) Asset-Liability Mismatch Risk

Risk which arises if there is a mismatch in the duration of the assets relative to the liabilities. By matching
duration with the defined benefit liabilities, the company is successfully able to neutralize valuation swings
caused by interest rate movements.

Hence, companies are encouraged to adopt asset-liability management.

b) Discount Rate Risk

Variations in the discount rate used to compute the present value of the liabilities may seem small, but in
practise can have a significant impact on the defined benefit liabilities.

c) Future Salary Escalation and Inflation Risk

Since price inflation and salary growth are linked economically, they are combined for disclosure purposes.
Rising salaries will often result in higher future defined benefit payments resulting in a higher present value of
liabilities especially unexpected salary increases provided at management''s discretion may lead to uncertainities
in estimating this increasing risk.

ii) Assets Risks

All plan assets are maintained in a trust fund managed by a public sector insurer viz; LIC of India. LIC has a sovereign
guarantee and has been providing consistent and competitive returns over the years.

The company has opted for a traditional fund wherein all assets are invested primarily in risk averse markets. The
company has no control over the management of funds but this option provides a high level of safety for the total
corpus. A single account is maintained for both the investment and claim settlement and hence 100% liquidity is
ensured. Also interest rate and inflation risk are taken care of.

7 Segment Reporting disclosures as per Ind AS-108 "Operating Segments":

Operating Segments:

(a) Conveyor Belting (b) Wind Energy (c) Trading Goods and (d) Investment
Identification of Segments:

The chief operating decision maker monitor the operating results of its business segments separately for the purpose of making
decisions about resource allocation and performance assessment. Segment performance is evaluated based on profit or loss and
is measured consistently with profit or loss in the financial statements. Operating segments have been identified on the basis
of the nature of products/services and have been identified as per the quantitative criteria specified in the Ind AS.

During the previous year, the Company had identified ''Investments'' as a separate business segment. It was based on internal
reorganization of its business segments, increased focus and business review carried out by the Managing Director (Chief
Operating Decision Maker CODM) of the Company. The Investment segment comprises of Investments in equity instruments,
mutual funds and inter corporate deposits given by the Company etc.

Segment Revenue and Results:

The expenses and incomes which are not attributable to any business segment are shown as unallocated expenditure (net of
unallocated income).

Segment Assets and Liabilities:

Segment assets include all operating assets used by the operating segment and mainly consist of property, plant and equipments,
investments, loans, trade and other recievables, cash and cash equivalents, bank balance other than cash and cash equivalents etc.
Segment liabilities primarily includes trade payables, borrowings and other liabilities.

Common assets and liabilities which cannot be allocated to any of the segments are shown as a part of unallocated Corporate assets/
liabilities.

B. Fair value hierarchy

The fair value of the financial assets and financial liabilities are included at the amount at which the instrument could be
exchanged in a current transaction between willing parties other than in a forced or liquidation sale. This section explains
the judgements and estimates made in determining the fair values of the financial instruments that are (a) recognised and
measured at fair value and (b) measured at amortised cost and for which fair values are disclosed in the financial statements. To
provide an indication about the reliability of the inputs used in determining fair value, the Company has classified its financial
instruments into the three levels prescribed under the accounting standard.

The following methods and assumptions were used to estimate the fair values:

Fair value of cash and cash equivalents, bank balances other than cash and cash equivalents, trade receivables, other financial
assets, short term loans, borrowings from banks and others, trade payables and other financial liabilities approximate their
carrying amounts due to the short-term maturities of these instruments.

The Company uses the following fair value hierarchy for determining and disclosing the fair value of financial instruments:

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

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

Level 3: Inputs for the assets or liabilities that are not based on observable market data (unobservable inputs).

risk management purposes are carried out by specialist team that have the appropriate skills, experience and supervision. It is
the Company''s policy that derivatives are used exclusively for hedging purposes and not for trading or speculative purposes.

The Board of Directors reviews and agrees policies for managing each of these risks, which are summarized below :

(a) Market risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in
market prices. Market risk comprises three types of risk: interest rate risk, currency risk and other risks, such as regulatory
risk and commodity price risk.

(i) Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because
of changes in market interest rates. The Company''s exposure to the risk of changes in market interest rates relates
primarily to the Company''s short-term debt obligations with floating interest rates. The Company is exposed to
fluctuations in interest rates in respect of rupee borrowings which is disclosed in Note 20 and 23.

A change of 100 basis points in interest rate at the reporting date would have increased / (decreased) profit by
''86.28 Lakh. The Company manages its interest rate risk by having a balanced portfolio of fixed and variable rate
borrowings.

The Company carries borrowings at amortised cost and hence, change in the interest rate at reporting date does not
affect statement of profit or loss.

(ii) Foreign currency risk

Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of
changes in foreign exchange rates. The Company''s exposure to the risk of changes in foreign exchange rates relates
primarily to the Company''s foreign currency transactions. This foreign currency risk is covered by using foreign
exchange forward contracts.

Foreign currency sensitivity

1% increase or decrease in foreign exchange rates will have no material impact on Profit.

Derivative Instruments and unhedged foreign currency exposure.

(a) Derivative contracts outstanding : Nil (Previous year Nil)

(b) Unhedged foreign currency exposure

(iii) Other price risk

The Board of Directors reviews and approves equity investment decisions. Company''s equity risk exposure is limited
to cost and these are subject to impairment testing as per the policies followed in this respect. Accordingly, other
price risk is not expected to be material.

(b) Credit risk

Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer contract,
leading to a financial loss.

The impairment for financial assets are based on assumptions about risk of default and expected loss rates. The Company
uses judgement in making these assumptions and selecting the inputs to the impairment calculation, based on the
Company''s past history, existing market conditions as well as forward looking estimates at the end of each balance sheet
date.

Financial assets are written off when there is no reasonable expectation of recovery, however, the Company continues to
attempt to recover the receivables. Where recoveries are made, these are recoginsed in the Statement of Profit and Loss.

(i) Trade receivables

Customer credit risk is managed based on Company''s established policy, procedures and control relating to customer
credit risk management.

Trade receivables are non-interest bearing and are generally on credit terms of 3 to 60 days.

An impairment analysis is performed at each balance sheet date on an individual basis for major clients. In addition,
a large number of minor receivables are grouped into homogenous groups and assessed for impairment collectively.
The maximum exposure to credit risk at the balance sheet date is the carrying value of each class of financial assets
disclosed in note no. 12.

The ageing analysis of the receivables (gross) has been disclosed in Note 12.

(ii) Financial instruments and deposits

Credit risk from balances with banks is managed in accordance with the Company''s policy. Investments of surplus
funds are made only with approved counterparties. None of the Company''s cash and bank balances, including fixed
deposits with banks, are past due or impaired. Regarding loans and other financial assets (both current and non¬
current), there were no indications as at March 31, 2025 and March 31, 2024 that defaults in payment obligations
will occur.

The Company''s maximum exposure to credit risk for the components of the balance sheet as at March 31, 2025 and
March 31, 2024 is the carrying amounts as stated in note no. 7 and 13 to 16.

(c) Liquidity risk

The Company''s objective is to maintain a balance between continuity of funding and flexibility through the use of cash
credit facilities and short term loans.

The table below summarises the maturity profile of the Company''s financial liabilities based on contractual undiscounted
payment :

(d) Capital Management
(i) Risk Management

For the purpose of the Company''s capital management, capital includes issued equity capital, securities premium
and all other equity reserves attributable to the equity shareholders of the Company. The Company''s objective when
managing capital is to safeguard its ability to continue as a going concern so that it can continue to provide returns
to shareholders and other stake holders and maintain an optimal capital structure to reduce the cost of Capital.

The Company manages its capital structure and makes adjustments in light of changes in the financial condition and
the requirements of the financial covenants. To maintain or adjust the capital structure, the Company may adjust the
dividend payment to shareholders, return capital to shareholders (buy back its shares) or issue new shares.

In order to achieve this overall objective, the Company''s capital management, amongst other things, aims to ensure
that it meets financial covenants attached to the interest-bearing loans and borrowings that define capital structure
requirements. The Company has complied with these covenants.

No changes were made in the objectives, policies or processes for managing capital during the year ended March 31,
2025 and March 31, 2024.

13 Employees share based payment

The Board of the Company approved an ESOP scheme called ''ICL Employee Stock Option Plan 2020'' and the scheme became
effective from December 24, 2020. The objectives of the scheme are to reward key and senior employees for their association
with the Company, their performance as well as to attract, retain and reward employees to contribute to the growth and
profitability of the Company.

The options granted under this scheme to eligible employees vest over a period of one year to four years. The options have to be
exercised by the employees within the stipulated exercise period.

In the event of resignation, all unvested options shall lapse and options vested can be exercised before the last working day.

The fair value at the grant date is determined using the Black Scholes Model which takes into account the exercise price, the
term of the options, the share price at grant date and expected price volatility of the underlying share, the expected dividend
yield and the risk free interest rate for the term of the option.

v) Disclosure required under Additional regulatory information as prescribed under paragraph 6L to general instructions for
preparation of Balance Sheet under Schedule III to the Companies Act, 2013 are not applicable to the Company except as
disclosed in Para 14(i) to (iii) above.

15 The previous year''s figures have been rearranged wherever necessary to make them comparable with those of the current years''
figures. Amounts and other disclosures for the preceding year are included as an integral part of the current year financial
statements and are to be read in relation to the amounts and other disclosures relating to the current year.

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

For G. P. Agrawal & Co.

Chartered Accountants Udit Sethia Yogesh Kajaria

Firm''s Registration No. - 302082E Director Chairman & Managing Director

DIN: 08722143 DIN: 01832931

(CA. ^{Sunita Kedia)} Kolkata Kolkata

Partner

^Membership ^N°. 6⁰¹⁶² Dipti Sharma A. K. Gulgulia

Place of Signature: Kolkata Company Secretary Chief Financial Officer

Date: May 14, 2025 Kolkata Kolkata

---

Mar 31, 2024

(e) Out of the above issued shares, the Company has only one class of equity shares having a par value of ''1/- each. Each holder of equity shares is entitled to one vote per share and eligible to receive dividend. The dividend proposed by the Board of Directors is subject to the approval of 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 amount in proportion of their shareholding.

(h) Dividend:

The final dividend on shares is recorded as a liability on the date of approval by the shareholders and interim dividends are recorded as a liability on the date of declaration by the Company''s Board of Directors.

The Company declares and pays dividends in Indian rupees. Companies are required to pay/distribute dividend after deducting applicable withholding income taxes. The remittance of dividends outside India is governed by Indian law on foreign exchange and is also subject to withholding tax at applicable rates.

During the year ended March 31, 2024, the Company paid the final dividend of ''1.10 ( Previous year ''1) per equity share (110%) for the year ended March 31, 2023.

The Board of Directors, at their meeting held on May 17, 2024 recommended a final dividend of ''1.10 per equity share (110%) for the year ended March 31, 2024, subject to approval of shareholders. On approval, the dividend outgo is expected to be ''697.17 lakhs based on number of shares outstanding.

(i) Buyback:

The Board of Directors at their meeting held on September 9, 2022, approved the Buyback of 39,60,000 fully paid up equity shares (Maximum Buyback Shares) of face value of ''1/- each at a price not exceeding ''75/-(Rupees Seventy Five Only) per Equity Share for an aggregate maximum amount not exceeding ''2,970.00 Lakhs (Rupees Twenty Nine Crores and Seventy Lakhs only), under the open market route. Subsequent to the Board Meeting, the Company obtained the approval of Shareholders for Buyback through postal ballot on October 17, 2022 result of which was announced on October 19, 2022. The Public Announcement dated October 20, 2022 was published on October 21, 2022 and the Draft Letter of Offer was filed with SEBI on October 22, 2022.

The Company has bought back 13,29,000 Equity shares from April 1, 2023 to May 3, 2023 under Buyback offer through open market for a total consideration of ''935.85 Lakhs from its own fund . In accordance with section 69 of the Companies Act, 2013, as at March 31 2024 the company has created ''Capital Redemption Reserve'' of ''13.29 Lakh equal to the nominal value of the share bought back as an appropriation from Securities Premium.

(j) No shares were allotted as fully paid up by way of bonus shares or pursuant to contract without payment being received in cash during the last five years ended on March 31, 2024 (Previous year Nil). Further, 41,21,000 equity shares were bought back by the Company during the last five years ended on March 31, 2024 (Previous year 27,92,0 0 0 equity shares).

Notes:

i) General Reserve - General reserve is a free reserve and can be utilised for any general purpose like issue of bonus shares, payment of dividend, buy back of shares etc.

ii) Securities Premium - The amount received in excess of the par value has been classified as Securities premium.

iii) Retained earnings - Retained earnings represents the amount of accumulated earnings of the Company.

iv) Capital Reserve - The amount represents capital subsidy received from Government of Maharashtra.

v) Employee share options - This reserve relates to stock options granted by the Company to specified employees under ICL Employee Stock Option Plan 2020. This reserve is transferred to secutiries premium or retained earnings on exercise or lapsed of vested option.

vi) Capital Redemption Reserve - This reserve is created for an amount equal to the nominal value of shares bought back. This reserve shall be utilised in accordance with the provision of the Act.

Nature of securities

Working Capital facility from Banks are secured by hypothecation of Company''s entire stock, book debts and other current assets both present and future and also secured by first charge on fixed assets (i.e. Property, plant and equipments) of the Company including land and building (both units at Aurangabad and Falta). This is further secured by personal guarantee by one of the directors of the Company.

Vehicle Finance Loan refer note no. 20(a)(i).

LAS facilities from Bajaj Finance Limited and Deutsche Investments India Pvt. Ltd. are secured by pledged of some of the equity shares (Refer Note No. 6(i) & 6(ii)).

* The Company''s pending litigation comprises of claim against the Company and proceeding pending against tax/statutory/ Government authorities. The Company has reviewed all its pending litigations and proceedings and has made adequate provisions, and disclosed the contingent liabilities, where applicable, in its Financial Statements. The Company does not expects the outcome of these proceedings to have a material impact on its financial position. Future cash outflows in respect of a(i) above are dependent upon the outcome of judgments / decisions.

Sensitivity analysis indicates the influence of a reasonable change in certain significant assumptions on the outcome of the Present value of obligation (PVO) and aids in understanding the uncertainty of reported amounts. Sensitivity analysis is done by varying one parameter at a time and studying its impact.

*Included in "Salaries, Wages and Bonus" and "Contribution to Provident Fund, Gratuity and Other Funds" under "Employee benefits expense" on Note 33.

The expected return on Plan Assets is based on the actuarial expectation of the average long-term rate of return expected. The discount rate is based on the prevailing market yields on Government bonds as at the balance sheet date.

H. Risk Exposure:

Provision of a defined benefit scheme poses certain risks, some of which are detailed hereunder, as companies take on uncertain long term obligations to make future benefit payments: i) Liability Risks

a) Asset-Liability Mismatch Risk

Risk which arises if there is a mismatch in the duration of the assets relative to the liabilities. By matching duration with the defined benefit liabilities, the company is successfully able to neutralize valuation swings caused by interest rate movements.

Hence companies are encouraged to adopt asset-liability management.

b) Discount Rate Risk

Variations in the discount rate used to compute the present value of the liabilities may seem small, but in practise can have a significant impact on the defined benefit liabilities.

c) Future Salary Escalation and Inflation Risk

Since price inflation and salary growth are linked economically, they are combined for disclosure purposes. Rising salaries will often result in higher future defined benefit payments resulting in a higher present value of liabilities especially unexpected salary increases provided at management''s discretion may lead to uncertainities in estimating this increasing risk.

ii) Assets Risks

All plan assets are maintained in a trust fund managed by a public sector insurer viz; LIC of India. LIC has a sovereign guarantee and has been providing consistent and competitive returns over the years.

The company has opted for a traditional fund wherein all assets are invested primarily in risk averse markets. The company has no control over the management of funds but this option provides a high level of safety for the total corpus. A single account is maintained for both the investment and claim settlement and hence 100% liquidity is ensured. Also interest rate and inflation risk are taken care of.

7 Segment Reporting disclosures as per Ind AS-108 "Operating Segments":

Operating Segments:

(a) Conveyor Belting (b) Wind Energy (c) Trading Goods and (d) Investment Identification of Segments:

The chief operating decision maker monitor the operating results of its business segments separately for the purpose of making decisions about resource allocation and performance assessment. Segment performance is evaluated based on profit or loss and is measured consistently with profit or loss in the financial statements. Operating segments have been identified on the basis of the nature of products/services and have been identified as per the quantitative criteria specified in the Ind AS.

During the previous year, the Company had identified ''Investments'' as a separate business segment. It was based on internal reorganization of its business segments, increased focus and business review carried out by the Managing Director (Chief Operating Decision Maker CODM) of the Company. The Investment segment comprises of Investment in equity instruments, mutual funds and inter corporate deposits given by the company etc.

Segment Revenue and Results:

The expenses and incomes which are not attributable to any business segment are shown as unallocated expenditure (net of unallocated income).

Segment Assets and Liabilities:

Segment assets include all operating assets used by the operating segment and mainly consist of property, plant and equipments, investments, loans, trade and other recievables, cash and cash equivalents, bank balance other than cash and cash equivalents etc. Segment liabilities primarily includes trade payables, borrowings and other liabilities.

Common assets and liabilities which cannot be allocated to any of the segments are shown as a part of unallocated Corporate assets/ liabilities.

B. Fair value hierarchy

The fair value of the financial assets and financial liabilities are included at the amount at which the instrument could be exchanged in a current transaction between willing parties other than in a forced or liquidation sale.

The following methods and assumptions were used to estimate the fair values :

Fair value of cash and cash equivalents, bank balances other than cash and cash equivalents, trade receivables, other financial assets, short term loans, borrowings from banks and others, trade payables and other financial liabilities approximate their carrying amounts due to the short-term maturities of these instruments.

The Company uses the following fair value hierarchy for determining and disclosing the fair value of financial instruments:

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

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

Level 3: Inputs for the assets or liabilities that are not based on observable market data (unobservable inputs).

The following tables provide the fair value hierarchy of the Company''s assets and liabilities measured at fair value on a recurring basis:

12 Financial risk management objectives and policies

The Company''s principal financial liabilities includes borrowings, trade payables and other financial liabiltiies. The main purpose of these financial liabilities is to finance the Company''s operations. The Company''s principal financial assets include trade receivables, cash and cash equivalents and other financial assets that derive directly from its operations.

The Company is exposed to credit risk, liquidity risk and market risk. The Company''s senior management oversees the management of these risks and the appropriate financial risk governance framework for the Company. The senior management provides assurance 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. All derivative activities for risk management purposes are carried out by specialist team that have the appropriate skills, experience and supervision. It is the Company''s policy that derivatives are used exclusively for hedging purposes and not for trading or speculative purposes.

The Board of Directors reviews and agrees policies for managing each of these risks, which are summarized below :

(a) Market risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises three types of risk: interest rate risk, currency risk and other risks, such as regulatory risk and commodity price risk.

(i) Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The Company''s exposure to the risk of changes in market interest rates relates primarily to the Company''s short-term debt obligations with floating interest rates. The Company is exposed to fluctuations in interest rates in respect of rupee borrowings which is disclosed in Note 20 and 23.

A change of 100 basis points in interest rate at the reporting date would have increased / (decreased) profit by ''124.54 Lakh. The Company manages its interest rate risk by having a balanced portfolio of fixed and variable rate borrowings.

The Company carries borrowings at amortised cost and hence, change in the interest rate at reporting date does not affect statement of profit or loss.

(ii) Foreign currency risk

Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of changes in foreign exchange rates. The Company''s exposure to the risk of changes in foreign exchange rates relates primarily to the Company''s foreign currency transactions. This foreign currency risk is covered by using foreign exchange forward contracts.

Foreign currency sensitivity

1% increase or decrease in foreign exchange rates will have no material impact on Profit.

Derivative Instruments and unhedged foreign currency exposure.

(a) Derivative contracts outstanding : Nil (Previous year Nil)

(iii) Other price risk

The Board of Directors reviews and approves equity investment decisions. Company''s equity risk exposure is limited to cost and these are subject to impairment testing as per the policies followed in this respect. Accordingly, other price risk is not expected to be material.

(b) Credit risk

Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer contract, leading to a financial loss.

The impairment for financial assets are based on assumptions about risk of default and expected loss rates. The Company uses judgement in making these assumptions and selecting the inputs to the impairment calculation, based on the Company''s past history, existing market conditions as well as forward looking estimates at the end of each balance sheet date.

Financial assets are written off when there is no reasonable expectation of recovery, however, the Company continues to attempt to recover the receivables. Where recoveries are made, these are recoginsed in the Statement of Profit and Loss.

(i) Trade receivables

Customer credit risk is managed based on Company''s established policy, procedures and control relating to customer credit risk management.

Trade receivables are non-interest bearing and are generally on credit terms of 3 to 60 days.

An impairment analysis is performed at each balance sheet date on an individual basis for major clients. In addition, a large number of minor receivables are grouped into homogenous groups and assessed for impairment collectively. The maximum exposure to credit risk at the balance sheet date is the carrying value of each class of financial assets disclosed in note no. 12.

The ageing analysis of the receivables (gross) has been disclosed in Note 12.

Credit risk from balances with banks is managed in accordance with the Company''s policy. Investments of surplus funds are made only with approved counterparties.

The Company''s maximum exposure to credit risk for the components of the balance sheet as at March 31, 2024 and March 31, 2023 is the carrying amounts as stated in note no. 13 and 14.

(c) Liquidity risk

The Company''s objective is to maintain a balance between continuity of funding and flexibility through the use of cash credit facilities and short term loans.

The table below summarises the maturity profile of the Company''s financial liabilities based on contractual undiscounted payment :

(d) Capital Management (i) Risk Management

For the purpose of the Company''s capital management, capital includes issued equity capital, securities premium and all other equity reserves attributable to the equity shareholders of the Company. The Company''s objective when managing capital is to safeguard its ability to continue as a going concern so that it can continue to provide returns to shareholders and other stake holders and maintain an optimal capital structure to reduce the cost of Capital.

The Company manages its capital structure and makes adjustments in light of changes in the financial condition and the requirements of the financial covenants. To maintain or adjust the capital structure, the Company may adjust the dividend payment to shareholders, return capital to shareholders (buy back its shares) or issue new shares.

In order to achieve this overall objective, the Company''s capital management, amongst other things, aims to ensure that it meets financial covenants attached to the interest-bearing loans and borrowings that define capital structure requirements. The Company has complied with these covenants.

No changes were made in the objectives, policies or processes for managing capital during the year ended 31st March, 2024 and 31st March, 2023.

The Board of the Company approved an ESOP scheme called ''ICL Employee Stock Option Plan 2020'' and the scheme became effective from December 24, 2020. The objectives of the scheme are to reward key and senior employees for their association with the Company, their performance as well as to attract, retain and reward employees to contribute to the growth and profitability of the Company.

The options granted under this scheme to eligible employees vest over a period of one year to four years. The options have to be exercised by the employees within the stipulated exercise period.

In the event of resignation, all unvested options shall lapse and options vested can be exercised before the last working day.

The fair value at the grant date is determined using the Black Scholes Model which takes into account the exercise price, the term of the options, the share price at grant date and expected price volatility of the underlying share, the expected dividend yield and the risk free interest rate for the term of the option.

iv) Disclosure required under Additional regulatory information as prescribed under paragraph WB to general instructions for preparation of Balance Sheet under Schedule III to the Companies Act, 2013 are not applicable to the Company except as disclosed in Para 14(i) to (iii) above.

15 The previous year''s figures have been rearranged wherever necessary to make them comparable with those of the current years''

figures. Amounts and other disclosures for the preceding year are included as an integral part of the current year financial statements and are to be read in relation to the amounts and other disclosures relating to the current year.

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Mar 31, 2023

I Out of the above issued shares, the Company has only one class of equity shares having a par value of ''1/- each. Each holder of equity shares is entitled to one vote per share and eligible to receive dividend. The dividend proposed by the Board of Directors is subject to the approval of 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 amount in proportion of their shareholding.

(h) Dividend:

The final dividend on shares is recorded as a liability on the date of approval by the shareholders and interim dividends are recorded as a liability on the date of declaration by the Company''s Board of Directors.

The Company declares and pays dividends in Indian rupees. Companies are required to pay/distribute dividend after deducting applicable withholding income taxes. The remittance of dividends outside India is governed by Indian law on foreign exchange and is also subject to withholding tax at applicable rates.

During the year ended March 31, 2023, the Company paid the final dividend of ''1 (Previous year ''1) per equity share (100%) for the year ended March 31, 2022.

The Board of Directors, at their meeting held on May 30, 2023 recommended a final dividend of ''1.10 per equity share (110%) for the year ended March 31, 2023, subject to approval of shareholders. On approval, the dividend outgo is expected to be ''697.17 lakhs based on number of shares outstanding.

(i) Buyback:

The Board of Directors at their meeting held on September 9, 2022, approved the Buyback of 39,60,000 fully paid up equity shares (Maximum Buyback Shares) of face value of ''1/- each at a price not exceeding ''75/-(Rupees Seventy Five Only) per Equity Share for an ageregate maximum amount not exceeding ''2,970.00 Lakhs (Rupees Twenty Nine Crores and Seventy Lakhs only), under the open market route. Subsequent to the Board Meeting, the Company obtained the approval of Shareholders for Buyback through postal ballot on October 17, 2022 result of which was announced on October 19, 2022. The Public Announcement dated October 20, 2022 was published on October 21, 2022 and the Draft Leter of Offer was filed with SEBI on October 22, 2022.

The Company has bought back 27,92,000 Equity shares from November 3, 2022 (commencement date) to March 31, 2023 under Buyback offer through open market for a total consideration of ''1554.39 Lakhs from its own fund out of which 16,07,000 Equity shares were extinguished upto March 31, 2023 and balance 11,85,000 Equity shares were extinguished on April 10, 2023. In accordance with section 69 of the Companies Act, 2013, as at March 31, 2023 the company has created ''Capital Redemption Reserve'' of ''27.92 Lakh equal to the nominal value of the share brought back as an appropriation from Securities Premium.

(j) No shares were allotted as fully paid up by way of bonus shares or pursuant to contract without payment being received in cash during the last five years ended on March 31, 2023 (Previous year Nil). Further, 27,92,0 0 0 equity shares were bought back by the Company during the last five years ended on March 31, 2023 (Previous year Nil).

i) General Reserve - General reserve is a free reserve and can be utilised for any general purpose like issue of bonus shares, payment of dividend, buy back of shares etc.

ii) Securities Premium - The amount received in excess of the par value has been classified as Securities premium and shall be utilised in accordance with the provisions of the Act.

iii) Retained earnings - Retained earnings represents the amount of accumulated earnings of the Company.

iv) Capital Reserve - The amount represents capital subsidy received from Government of Maharashtra.

v) Employee share options - This reserve relates to stock options granted by the Company to sepcified employees under ICL Employee Stock Option Plan 2020. This reserves is transferred to secutiries premium or retained earnings on exercise or lapsed of vested option.

vi) Capital Redemption Reserve - This reserve is created for an amount equal to the nominal value of shares bought back. This reserve shall be utilised in accordance with the provisions of the Act.

Nature of securities

1. Working Capital facility from Bank are secured by hypothecation of Company''s entire stock, book debts and other current assets both present and future and also secured by first charge on fixed assets (Property, plant and equipment) of the Company including land and building (both units at Aurangabad and Falta). This is further secured by personal guarantee by one of the directors of the Company.

2. Vehicle Finance Loan - refer note no.20(a)(i).

3. LAS facilities from Bajaj Finance Limited are secured by pledge of some of the equity shares (Refer Note No.6(i) & 6(ii)).

The Company had elected to exercise the option permitted under Section 115BAA of the Income-tax Act, 1961 as introduced by the Taxation Laws (Amendment) Ordinance, 2019 from the year ended March 31, 2022 wherein the effective tax rate is 25.626% and had accordingly re-measured its deferred tax assets/(liabilities) on the basis of the rate prescribed in the said section.

1(a) The Company''s pending litigation comprises of claim against the Company and proceeding pending against tax/statutory/ Government authorities. The Company has reviewed all its pending litigations and proceedings and has made adequate provisions, and disclosed the contingent liabilities, where applicable, in its Financial Statements. The Company does not expects the outcome of these proceedings to have a material impact on its financial position. Future cash outflows in respect of [a (i) & (ii)] above are dependent upon the outcome of judgments / decisions.

3 Based on the information/documents available with the Company, information as per the requirement of section 22 of the Micro, Small and Medium Enterprises Development Act, 2006 with respect to trade payables are as follows:

Sensitivity analysis indicates the infulence of a reasonable change in certain significant assumptions on the outcome of the Present value of obligation (PVO) and aids in understanding the uncertainty of reported amounts. Sensitivity analysis is done by varying one parameter at a time and studying its impact.

*Included in "Salaries, Wages and Bonus" and "Contribution to Provident Fund, Gratuity and Other Funds" under "Employee benefits expense" on Note 33.

The expected return on Plan Assets is based on the actuarial expectation of the average long-term rate of return expected. The discount rate is based on the prevailing market yields on Government bonds as at the balance sheet date.

H. Risk Exposure:

Provision of a defined benefit scheme poses certain risks, some of which are detailed hereunder, as companies take on uncertain long term obligations to make future benefit payments:

i) Liability Risks

a) Asset-Liability Mismatch Risk

Risk which arises if there is a mismatch in the duration of the assets relative to the liabilities. By matching duration with the defined benefit liabilities, the company is successfully able to neutralize valuation swings caused by interest rate movements.

Hence companies are encouraged to adopt asset-liability management.

b) Discount Rate Risk

Variations in the discount rate used to compute the present value of the liabilities may seem small, but in practise can have a significant impact on the defined benefit liabilities.

c) Future Salary Escalation and Inflation Risk

Since price inflation and salary growth are linked economically, they are combined for disclosure purposes. Rising salaries will often result in higher future defined benefit payments resulting in a higher present value of liabilities especially unexpected salary increases provided at management''s discretion may lead to uncertainities in estimating this increasing risk.

ii) Assets Risks

All plan assets are maintained in a trust fund managed by a public sector insurer viz; LIC of India. LIC has a sovereign guarantee and has been providing consistent and competitive returns over the years.

The company has opted for a traditional fund wherein all assets are invested primarily in risk averse markets. The company has no control over the management of funds but this option provides a high level of safety for the total corpus. A single account is maintained for both the investment and claim settlement and hence 100% liquidity is ensured. Also interest rate and inflation risk are taken care of.

7 Segmment Reporting disclosures as per Ind AS-108 "Operating Segments":

Operating Segments:

a) Conveyor Belting, b) Wind Energy; c) Trading Goods and d) Investment Identification of Segments:

The chief operating decision maker monitor the operating results of its business segments separately for the purpose of making decisions about resource allocation and performance assessment. Segment performance is evaluated based on profit or loss and is measured consistently with profit or loss in the financial statements. Operating segments have been identified on the basis of the nature of products/services and have been identified as per the quantitative criteria specified in the Ind AS.

During the year, the Company has identified ''Investments'' as a separate business segment. It is based on internal reorganization of its business segments, increased focus and business review carried out by the Managing Director (Chief Operating Decision Maker CODM) of the Company. The Investment segment comprises of Investment in equity instruments, mutual funds and inter corporate deposits given by the company etc.

Pursuant to the above change, the Company has restated segment information of all comparative previous periods in consonance with Ind As 108 - ''Operating Segments'', including related disclosures.

Segment Revenue and Results:

The expenses and incomes which are not attributable to any business segment are shown as unallocated expenditure (net of unallocated income).

Segment Assets and Liabilities:

Segment assets include all operating assets used by the operating segment and mainly consist of property, plant and equipments, trade and other recievables, cash and cash equivalents, bank balance other than cash and cash equivalents etc.

Segment liabilities primarily includes trade payables, borrowings and other liabilities.

Common assets and liabilities which cannot be allocated to any of the segments are shown as a part of unallocated Corporate assets/ liabilities.

B. Fair value hierarchy

The fair value of the financial assets and financial liabilities are included at the amount at which the instrument could be exchanged in a current transaction between willing parties other than in a forced or liquidation sale.

The following methods and assumptions were used to estimate the fair values:

Fair value of cash and cash equivalents, bank balances other than cash and cash equivalents, trade receivables, other financial assets, short term loans, borrowings from banks and others, trade payables and other financial liabilities approximate their carrying amounts due to the short-term maturities of these instruments.

The Company uses the following fair value hierarchy for determining and disclosing the fair value of financial instruments:

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

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

Level 3: Inputs for the assets or liabilities that are not based on observable market data (unobservable inputs).

The following tables provide the fair value hierarchy of the Company''s assets and liabilities measured at fair value on a recurring basis:

12 Financial risk management objectives and policies

The Company''s principal financial liabilities includes borrowings, trade payables and other financial liabiltiies. The main purpose of these financial liabilities is to finance the Company''s operations. The Company''s principal financial assets include trade receivables, cash and cash equivalents and other financial assets that derive directly from its operations.

The Company is exposed to credit risk, liquidity risk and market risk. The Company''s senior management oversees the management of these risks and the appropriate financial risk governance framework for the Company. The senior management provides assurance 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. All derivative activities for risk management purposes are carried out by specialist team that have the appropriate skills, experience and supervision. It is the Company''s policy that derivatives are used exclusively for hedging purposes and not for trading or speculative purposes .

The Board of Directors reviews and agrees policies for managing each of these risks, which are summarized below :

(a) Market risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises three types of risk: interest rate risk, currency risk and other risks, such as regulatory risk and commodity price risk.

(i) Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The Company''s exposure to the risk of changes in market interest rates relates primarily to the Company''s short-term debt obligations with floating interest rates. The Company is exposed to fluctuations in interest rates in respect of rupee borrowings which is disclosed in Note 20 and 23.

A change of 100 basis points in interest rate at the reporting date would have increased / (decreased) profit by ''64.63 Lakh. The Company manages its interest rate risk by having a balanced portfolio of fixed and variable rate borrowings.

The Company carries borrowings at amortised cost and hence, change in the interest rate at reporting date does not affect statement of profit or loss.

(ii) Foreign currency risk

Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of changes in foreign exchange rates. The Company''s exposure to the risk of changes in foreign exchange rates relates

(b) Capital Management (i) Risk Management

For the purpose of the Company''s capital management, capital includes issued equity capital, securities premium and all other equity reserves attributable to the equity shareholders of the Company. The Company''s objective when managing capital is to safeguard its ability to continue as a going concern so that it can continue to provide returns to shareholders and other stake holders and maintain an optimal capital structure to reduce the cost of Capital.

The Company manages its capital structure and makes adjustments in light of changes in the financial condition and the requirements of the financial covenants. To maintain or adjust the capital structure, the Company may adjust the dividend payment to shareholders, return capital to shareholders (buy back its shares) or issue new shares.

In order to achieve this overall objective, the Company''s capital management, amongst other things, aims to ensure that it meets financial covenants attached to the interest-bearing loans and borrowings that define capital structure requirements. The Company has complied with these covenants.

No changes were made in the objectives, policies or processes for managing capital during the year ended 31st March, 2023 and 31st March, 2022.

(c) Credit risk

Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer contract, leading to a financial loss.

The impairment for financial assets are based on assumptions about risk of default and expected loss rates. The Company uses judgement in making these assumptions and selecting the inputs to the impairment calculation, based on the Company''s past history, existing market conditions as well as forward looking estimates at the end of each balance sheet date.

Financial assets are written off when there is no reasonable expectation of recovery, however, the Company continues to attempt to recover the receivables. Where recoveries are made, these are recoginsed in the Statement of Profit and Loss.

(i) Trade receivables

Customer credit risk is managed based on Company''s established policy, procedures and control relating to customer credit risk management.

Trade receivables are non-interest bearing and are generally on credit terms of 3 to 60 days.

An impairment analysis is performed at each balance sheet date on an individual basis for major clients. In addition, a large number of minor receivables are grouped into homogenous groups and assessed for impairment collectively. The maximum exposure to credit risk at the balance sheet date is the carrying value of each class of financial assets disclosed in note no. 12.

The ageing analysis of the receivables (gross) has been disclosed in Note 12.

(ii) Balances with banks

Credit risk from balances with banks is managed in accordance with the Company''s policy. Investments of surplus funds are made only with approved counterparties.

The Company''s maximum exposure to credit risk for the components of the balance sheet as at March 31, 2023 and March 31, 2022 is the carrying amounts as stated in note no. 13 and 14.

(d) Liquidity risk

The Company''s objective is to maintain a balance between continuity of funding and flexibility through the use of cash credit facilities and short term loans.

The table below summarises the maturity profile of the Company''s financial liabilities based on contractual undiscounted payment :

13 Employees share based payment

The Board of the Company approved an ESOP scheme called ''ICL Employee Stock Option Plan 2020'' and the scheme became effective from December 24, 2020. The objectives of the scheme are to reward key and senior employees for their association with the Company, their performance as well as to attract, retain and reward employees to contribute to the growth and profitability of the Company.

The options granted under this scheme to eligible employees vest over a period of one year to four years. The options have to be exercised by the employees within the stipulated exercise period.

In the event of resignation, all unvested options shall lapse and options vested can be exercised before the last working day. The fair value at the grant date is determined using the Black Scholes Model which takes into account the exercise price, the term of the options, the share price at grant date and expected price volatility of the underlying share, the expected dividend yield and the risk free interest rate for the term of the option.

iv) The Company has balances of ''0.07 lakhs as of 31st March, 2023 (Previous year Nil) with respect to two companies, which are struck off under Section 248 of the Companies Act, 2013 or Section 560 of Companies Act, 1956 during the financial year.

v) Disclosure required under Additional regulatory information as prescribed under paragraph WB to general instructions for preparation of Balance Sheet under Schedule III to the Companies Act, 2013 are not applicable to the Company except as disclosed in Para 14(i) to (iv) above.

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Mar 31, 2018

1. Corporate Information

International Conveyors Limited ("ICL" or "the Company") is a public limited incorporated and domiciled in India. The registered office of the Company is situated at Falta SEZ, Sector-II, near Pump House No. 3 Village & Mouza- Akalmegh, Akalmegh-743504.

The Company''s shares are listed on The Bombay Stock Exchange Limited and The Calcutta Stock Exchange Limited.

Its business consists of:

(a) Manufacturing and trading of Conveyor Belting,

(b) Trading of Ply Conveyor Belting, Steel Cord Conveyor Belting and fitting and accessories, and

(c) Generation and Sale of Power.

The financial statements for the year ended March 31, 2018 was approved for issue by the Board of Directors of the Company on May 30, 2018 and is subjected to the adoption by the shareholders in the ensuing Annual General Meeting.

(d) There is no movement in the number of shares outstanding at the beginning and at the end of the reporting period.

(e) Out of the above issued shares, the Company has only one class of equity shares having a par value of Rs. 1/- each. The dividend proposed by the Board of Directors is subject to the approval of shareholders in the ensuing Annual General Meeting. Each holder of equity shares is entitled to one vote per share. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company after distribution of all preferential amount in proportion of their shareholding.

(a) Nature of securities

(i) Vehicle finance loan from banks and others are secured by hypothecation of vehicles acquired against the said loan.

Note:

1. # Installment includes interest.

2. Installment Rs. 3.18 lakh and Rs. 0.28 lakh for the financial year 2018-19 and 2019-20 respectively.

Nature of securities

Working Capital facility from Bank are secured by hypothecation of Company''s entire stock, book debts and other current assets both present and future and also secured by first charge on fixed assets of the Company including land and building (both units at Aurangabad and Falta). ffiis is further secured by personal guarantee by one of the directors of the Company.

1(a) The Company''s pending litigation comprises of claim against the Company and proceeding pending tax/statutory/Government authorities. The Company has reviewed all its pending litigations and proceedings and has made adequate provisions, and disclosed the contingent liabilities, where applicable, in its Financial Statements. The Company does not expects the outcome of these proceedings to have a material impact on its financial position. Future cash outflows in respect of [a (i), (ii) & (iii)] above are dependent upon the outcome of judgments / decisions.

2 The Company has certain cancellable operating lease arrangements for office/ residential accomodation and for use of machineries with a lease period of one to five years which can be further extended after mutual consent and agreement. The lease agreement can be terminated after giving a notice as per the terms of the lease by either of the party. Expenditure incurred on account of operating lease rentals during the year and recognised in the Statement of Profit and Loss amounts to Rs.10.57 lakh (Previous Year Rs.10.43 lakh).

3 Based on the information/documents available with the Company, information as per the requirement of section 22 of the Micro, Small and Medium Enterprises Development Act, 2006 with respect to trade payables and payable to supplier of capital goods are as follows :

Dues to Micro Enterprises and Small Enterprises have been determined to the extent such parties have been identified on the basis of information collected by the Management. this has been relied upon by the auditors.

* Included in the line item "Total outstanding dues of micro enterprises and small enterprises" under Note No. 24

*Included in "Salaries, Wages and Bonus" and "Contribution to Provident Fund, Gratuity and Other Funds" under "EMPLOYEE BENEFITS EXPENSE" on Note 33.

The expected return on Plan Assets is based on the actuarial expectation of the average long-term rate of return expected. The discount rate is based on the prevailing market yields on Government bonds as at the balance sheet date.

2 Segment Reporting disclosures as per Ind AS-108 "Operating Segments":

Operating Segments:

a) Conveyor Belting b) Wind Energy c) Trading Goods

Identification of Segments:

The chief operating decision maker monitor the operating results of its business segments separately for the purpose of making decisions about resource allocation and performance assessment. Segment performance is evaluated based on profit or loss and is measured consistently with profit or loss in the financial statements. Operating segments have been identified on the basis of the nature of products/services and have been identified as per the quantitative criteria specified in the Ind AS.

Segment Revenue and Results:

The expenses and incomes which are not attributable to any business segment are shown as unallocated expenditure (net of unallocated income)

Segment Assets and Liabilities:

Segment assets include all operating assets used by the operating segment and mainly consist of property, plant and equipments, trade and other recievables, cash and cash equivalents, bank balance other than cash and cash equivalents etc.

Segment liabilities primarily includes trade payables, borrowings and other liabilities.

Common assets and liabilities which cannot be allocated to any of the segments are shown as a part of unallocated Corporate assets/liabilities.

Note : (i) Conveyor Belting segment includes manufacturing and sale of PVC Conveyor Belting.

(ii) Wind Energy Segment includes generation, supply and sale of Wind Power (Electricity).

(iii) Unallocated / Corporate Segment includes Corporate, Administrative and Financing activity.

Note : (a) The transactions with related parties have been entered at amounts which are not materially different from those on normal commercial terms.

(b) No amount has been written back/written off during the year in respect of due to /from related parties.

(c) The amount due from related parties is good and hence no provision for doubtful debts in respect of dues from such related parties is required.

B. Fair value hierarchy

The fair value of the financial assets and financial liabilities are included at the amount at which the instrument could be exchanged in a current transaction between willing parties, other than in a forced or liquidation sale. The following methods and assumptions were used to estimate the fair values:

i) Fair value of cash and cash equivalents, bank balances other than cash and cash equivalents, trade receivables, other financial assets, short term loans from borrowings from banks and financial institutions, trade payables and other financial liabilities approximate their carrying amounts due to the short-term maturities of these instruments. The Company uses the following fair value hierarchy for determining and disclosing the fair value of financial instruments:

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

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

Level 3 : Inputs for the assets or liabilities that are not based on observable market data (unobservable inputs).

3 Financial instruments - Accounting, Classification and Fair Value measurements :

The Company''s principal financial liabilities includes borrowings, trade payables and other financial liabiltiies. The main purpose of these financial liabilities is to finance the Company''s operations. The Company''s principal financial assets include trade receivables, cash and cash equivalents and other financial assets that derive directly from its operations. The Company is exposed to credit risk, liquidity risk and market risk. The Company''s senior management oversees the management of these risks and the appropriate financial risk governance framework for the Company. The senior management provides assurance 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. All derivative activities for risk management purposes are carried out by specialist team that have the appropriate skills, experience and supervision. It is the Company''s policy that derivatives are used exclusively for hedging purposes and not for trading or speculative purposes.

The Board of Directors reviews and agrees policies for managing each of these risks, which are summarized below :

(a) Market risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises three types of risk: interest rate risk, currency risk and other risks, such as regulatory risk and commodity price risk.

(i) Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The Company''s exposure to the risk of changes in market interest rates relates primarily to the Company''s long-term debt obligations with floating interest rates.

The Company manages its interest rate risk by having a balanced portfolio of fixed and variable rate loans and borrowings. To manage this, the Company enters into interest rate swaps as and when required , in which it agrees to exchange, at specified intervals, the difference between fixed and variable rate interest amounts calculated by reference to an agreed-upon notional principal amount.

(ii) Foreign currency risk

Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of changes in foreign exchange rates. The Company''s exposure to the risk of changes in foreign exchange rates relates primarily to the Company''s foreign currency denominated borrowings. this foreign currency risk is covered by using foreign exchange forward contracts and cross currency swap contracts.

Foreign currency sensitivity

1% increase or decrease in foreign exchange rates will have no material impact on Profit.

(b) Credit risk

Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer contract, leading to a financial loss.

The impairment for financial assets are based on assumptions about risk of default and expected loss rates. The Company uses judgement in making these assumptions and selecting the inputs to the impairment calculation, based on the Company''s past history, existing market conditions as well as forward looking estimates at the end of each balance sheet date.

Financial assets are written off when there is no reasonable expectation of recovery, however, the Company continues to attempt to recover the receivables. Where recoveries are made, these are recoginsed in the Statement of Profit and Loss.

(i) Trade receivables

Customer credit risk is managed based on Company''s established policy, procedures and control relating to customer credit risk management.

Trade receivables are non-interest bearing and are generally on credit terms of 3 to 60 days.

An impairment analysis is performed at each balance sheet date on an individual basis for major clients. In addition, a large number of minor receivables are grouped into homogenous groups and assessed for impairment collectively. The maximum exposure to credit risk at the balance sheet date is the carrying value of each class of financial assets disclosed in note no. 11.

(ii) Balances with banks

Credit risk from balances with banks is managed in accordance with the Company''s policy. Investments of surplus funds are made only with approved counterparties.

The Company''s maximum exposure to credit risk for the components of the balance sheet as at March 31, 2018, March 31, 2017 and April 1, 2016 is the carrying amounts as stated in note no. 12 and 13.

(c) Liquidity risk

The Company''s objective is to maintain a balance between continuity of funding and flexibility through the use of cash credit facilities and short term loans.

The table below summarises the maturity profile of the Company''s financial liabilities based on contractual undiscounted payment :

(d) Lien

The fair values of the fixed deposits under lien aggregated to Rs.565.29 lakh as at April 1, 2016 which was placed with bank in order to fulfill the requirements for the derivatives contracts.

4 Explanation of transition to Ind AS

These financial statements, for the year ended on March 31, 2018, are the first financial statements, the Company has prepared in accordance with Ind AS.

Accordingly, the Company has prepared financial statements which comply with Ind AS applicable for years ending on March 31, 2018, together with the comparative period data as at and for the year ended on March 31, 2017, as described in the summary of significant accounting policies [Refer Note No. 2].

In preparing these financial statements, the Company''s opening balance sheet was prepared as at April 1, 2016, i.e. the Company''s date of transition to Ind AS.

This note explains the principal adjustments made by the Company and an explanation on how the transition from previous GAAP to Ind AS has affected its financial statements, including the Balance Sheet as at April 1, 2016 and the financial statements as at and for the year ended March 31, 2017.

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) As per Ind AS 101, at the date of transition, an entity may elect not to restate business combinations that occurred before the transition date. If the entity restates any business combinations that occurred before the date of transition, then it restates all later business combinations, and also applies Ind AS 110 Consolidated financial statements from that same date.

The Company has, however, elected to apply Ind AS 103 requirements prospectively to business combinations occurring after its transition date. Business combinations occurring prior to the transition date have not been restated. Therefore, use of this exemption requires that the previous GAAP carrying amounts of assets and liabilities, that are required to be recognized under Ind-AS, is their deemed cost at the date of the acquisition. After the date of the acquisition, measurement is in accordance with Ind-AS. Assets and liabilities that do not qualify for recognition under Ind-AS are excluded from the opening Ind-AS balance sheet.

The Company has not recognized or excluded any previously recognized amounts as a result of Ind-AS recognition requirements.

(b) The Company has elected to continue with carrying value of all Property, plant and equipment under the previous GAAP as deemed cost as at the transition date i.e. April 1, 2016. Under the previous GAAP, Property, plant and equipments were stated at their original cost (net of accumulated depreciation, amortization and impairment), if any, adjusted by revaluation of certain assets.

(c) The Company has elected to continue with the carrying value for Capital work in progress as recognized under the previous GAAP as deemed cost as at the transition date.

(d) The Company has elected to continue with the carrying value for computer software as recognized under the previous GAAP as deemed cost as at the transition date. Under the previous GAAP, Computer Software was stated at its original cost, net of accumulated amortization.

(e) A first time adopter is encouraged, but not required, to apply Ind AS 102 - Share based payment to equity instruments that vested before date of transition to Ind AS. The Company has granted equity settled stock options and has followed intrinsic value method of accounting. The Company has decided to apply Ind AS 102 prospectively.

(f) Appendix C to Ind AS 17 requires an entity to assess whether a contract or arrangement contains a lease. In accordance with Ind AS 17, this assessment should be carried out at the inception of the contract or arrangement. However, the Company has used Ind AS 101 exemption and assessed all arrangements based for embedded leases based on conditions in place as at the date of transition.

(g) The Company has elected to apply previous GAAP carrying amount of its investment in its subsidiary as deemed cost as at the date of transition.

Under Ind AS 109, at initial recognition of a financial asset, an entity may make an irrevocable election to present subsequent changes in the fair value of an investment in an equity instrument in other comprehensive income. Ind AS 101 allows such designation of previously recognized financial assets, as ''FVOCI'' on the basis of the facts and circumstances that existed at the date of transition to Ind AS.

5 Explanation of transition to Ind AS

Accordingly, the Company has designated its investments in certain equity instruments at fair value through other comprehensive income on the basis of the facts and circumstances that existed as at the date of transition to Ind AS. However, since, the fair valuation has been done based on level 3 inputs, difference in fair value and cost as on the date of transition has been deferred and has been considered and shown as "Deferred gain on changes in fair value of financial assets" under Other Current Liabilities.

(h) The estimates as at April 1, 2016 and as at March 31, 2017 are consistent with those made for the same dates in accordance with Indian GAAP (after adjustments to reflect any differences in accounting policies).

(i) The Company uses derivative financial instruments, such as forward currency contracts and interest rate swaps, to hedge its foreign currency risks and interest rate risks respectively.

Under previous GAAP, there is no mandatory standard that deals comprehensively with hedge accounting, which has resulted in the adoption of varying practices. The Company has not applied for hedge accounting on or after the transition date.

(j) Ind AS 101 requires the de-recognition requirements of Ind AS 109 to be applied prospectively to transactions occurring on or after the date of transition. Therefore, the Company has not recognized financial assets and liabilities under Ind AS which were derecognized under previous GAAP as a result of a transaction that occurred before the date of transition (k) The Company has applied the requirements in Ind AS 109 and Ind AS 20 prospectively to government loans existing at the date of transition to Ind AS.

(d) First time adoption - Mandatory exceptions and optional exemptions :

a) Overall Principle

The Company has prepared the opening balance sheet as per Ind AS as of April 1, 2016 (the transition date) by recognising all assets and liabilities whose recognition is required by Ind AS, not recognising items of assets or liabilities which are not permitted by Ind AS, by reclassifying certain items from previous GAAP to Ind AS as required under the Ind AS, and applying Ind AS in the measurement of recognised assets and liabilities. However, this principle is subject to certain mandatory exceptions and certain optional exemptions availed by the Company as detailed below.

b) Derecognition of financial assets and financial liabilities

The Company has applied the derecognition requirements of financial assets and financial liabilities prospectively for transactions occurring on or after April 1, 2016 (the transition date).

c) Classification and measurement of financial assets

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

d) Deemed cost

Ind AS 101 permits a first-time adopter to elect to continue with the carrying value for all of its property, plant and equipment as recognised in the financial statements as at the date of transition to Ind AS, measured as per the previous GAAP and use that as its deemed cost as at the date of transition after making necessary adjustments for de-commissioning liabilities. Necessary provision for site restoration has to be made at present value alongwith corresponding effect in property, plant and equipment from the date of inception of lease. The net impact of unwinding and depreciation has to be adjusted with opening Retained Earnings. this exemption can also be used for intangible assets covered by Ind AS 38.

e) Fair valuation of investments

Under the previous GAAP, investments in equity instruments were classified as long-term investments or current investments based on the intended holding period and realisability. Long-term investments were carried at cost less provision for other than temporary decline in the value of such investments. Current investments were carried at lower of cost and fair value. Under Ind AS, these investments are required to be measured at fair value.

f) Deferred tax

Previous GAAP requires deferred tax accounting using the income statement approach, which focuses on differences between taxable profits and accounting profits for the period. Ind As 12 requires entities to account for deferred taxes using the balance sheet approach, which focuses on temporary differences between the carrying amount of an asset or liability in the balance sheet and its tax base. The application of Ind As 12 approach has resulted in recognition of deferred tax on new temporary differences which was not required under previous GAAP. In addition, the various transitional adjustments lead to temporary differences and consequently deferred tax adjustments have been recognized in correlation to the underlying transactions in retained earnings.

g) Borrowings

Ind AS 109 requires transaction costs incurred towards origination of borrowings to be deducted from the carrying amount of borrowings on initial recognition. These costs are recognised in the profit or loss over the tenure of the borrowing as part of the interest expense by applying the effective interest rate method.

Under previous GAAP, these transaction costs were charged to profit or loss as and when incurred. Accordingly, borrowings as at March 31, 2017 have been reduced with a corresponding adjustment to retained earnings. The total equity increased by an equivalent amount. The profit for the year ended March 31, 2017 reduced by result of the additional interest expense.

h) Remeasurements of post-employment benefit obligations

Under previous GAAP, actuarial gains and losses related to the defined benefit schemes for gratuity and pension plans and liabilities towards employee leave encashment were recognised in profit or loss. Under Ind AS, the actuarial gains and losses form part of remeasurement of the net defined benefit liability/asset which is recognised in OCI. Consequently, the tax effect of the same has also been recognised in OCI instead of profit or loss.

i) Financial instruments- derivative

Under previous GAAP, the Forwards Contract premium were amortized over the contract period and realignment gains/losses arising on reporting date were charged to P&L. MTM Losses were recognized in P&L or adjusted to the cost of the assets as the case may be. MTM gains were not recognized. Under Ind AS, the gains/losses recognized in the books of account as per Previous GAAP have been reversed. The MTM losses as on April 1, 2016 have been recorded as liability with consequential impact in retained earnings.

j) Other comprehensive income

Under Ind AS, all items of income and expense recognised in a period should be included in profit or loss for the period, unless a standard requires or permits otherwise. Items of income and expense that are not recognised in profit or loss but are shown in the statement of profit and loss as ''other comprehensive income'' includes remeasurements of defined benefit plans and fair value gains or (losses) on FVOCI equity instruments. The concept of other comprehensive income did not exist under previous GAAp.

6 Previous Years Figures

Previous year''s figures have been regrouped / reclassified wherever necessary to correspond with the current year''s classification / disclosure. Amounts and other disclosures for the preceding year are included as an integral part of the current year financial statements and are to be read in relation to the amounts and other disclosures relating to the current year.

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Mar 31, 2016

1 Out of the above issued shares, the Company has only one class of equity shares having a par value of Rs.1/- each. The dividend proposed by the Board of Directors is subject to the approval of shareholders in the ensuing Annual General Meeting. Each holder of equity shares is entitled to one vote per share. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company after distribution of all preferential amount in proportion of their shareholding. The Board of Directors has approved dividend of '' 0.05 per share (5%), subject to approval of shareholders in the ensuing Annual General Meeting.

2 There is no movement in the number of shares outstanding at the beginning and at the end of the reporting period.

3 Details of the shareholders holding more than 5% shares of the total number of equity shares issued by the Company :

4 The percentage of share holding has been reduced from 8.02% to 3.59% on being sale/transfer of shares by Rajendra Kumar Dabriwala.

5 Term loan referred above to the extent of:

a) Rs.Nil (Previous year Rs.3,330,000) was secured by first charge on Wind Mill acquired and installed in Andhra Pradesh, Current Assets of the Company, both present and future and extension of equitable mortgage of the leasehold industrial plot at Maharashtra Industrial Development Corporation, Aurangabad. The loan carried interest at 2.60% above base rate.

b) Rs.2,173,706 (Previous year Rs.28,973,706)is secured by first charge on all fixed assets pertaining to Falta SEZ division of the Company, both present & future, second charge on entire current assets of the said division of the Company both present & future , and is also secured by personal guarantee of one of the directors and corporate guarantee and is repayable in 21 quarterly installment commencing from June,2011. Last installment due in June 2016, rate of interest at 2.65% above base rate.

6 Working Capital facility from Bank are secured by hypothecation of Company''s entire stock, book debts and other current assets both present and future and also secured by first charge on fixed assets of the Company, equitable mortgage of Leasehold industrial plot of Chikalthana Industrial Area (MIDC). This is further secured by personal guarantee by one of the directors of the Company.

Disclosure of Trade Payables is based on the information available with the Company regarding the status of the suppliers as defined under the "Micro, Small and Medium Enterprise Development Act, 2006" (the Act). There are no delays in payment made to such suppliers. There is no amount outstanding as at the Balance Sheet date.

7 In terms of Schedule II of the Companies Act 2013 the company based on technical evaluation has identified and determined cost of each component/part of the asset separately. If the component/part has a cost which is significant to the total cost of the asset and has useful life that is materially different from that of the remaining asset. These components based on technical evaluation have been depreciated separately over their useful lives, the remaining components are depreciated over the life of the principal asset. Consequent upon the application of Schedule II as above depreciation for the year is lower by Rs. 71.42 lakhs, Net Block is higher by Rs. 71.42 lakhs and loss for the year is lower by Rs. 71.42 lakhs.

8 These preference shares will have the maximum term of 15 years from the date of allotment. However, these shares can be redeemed earlier at the option of the Company. The dividend on these preference shares will be cumulative and will be receivable at the rate of 12% p.a.

9 The face value of equity shares of Tide Water Oil (India) Limited of Rs.10/- each has been sub divided into the face value of Rs.5/- per equity share during the year and alloted bonus shares in the ratio of 1:1.

10 The face value of equity shares of Elpro International Limited of Rs.10/- each has been sub divided into the face value of Rs.2/- per equity share during the year and alloted bonus shares in the ratio of 1:2.

11 Particulars of investments as required in terms of Section 186 (4) of the Companies Act, 2013, have been disclosed under note no.11 above.

12 The Company has certain cancellable operating lease arrangements for office/ residential accommodation and for use of machineries with a lease period of one to five years which can be further extended after mutual consent and agreement. The lease agreement can be terminated after giving a notice as per the terms of the lease by either of the party. Expenditure incurred on account of operating lease rentals during the year and recognized in the Statement of Profit and Loss amounts to Rs.1,017,575/- (Previous Year Rs.1,062,923/-).

13 Subscription and Donation includes expenses incurred on account of Corporate Social Responsibility (CSR) Rs.2,250,000/-(Previous year Rs.2,950,000/-).

14 The Company''s pending litigation comprises of claims against the Company and proceeding pending tax/statutory/ Government authorities. The Company has reviewed all its pending litigations and proceedings and has made adequate provisions, and disclosed the contingent liabilities, where applicable, in its Financial Statements. The Company does not expects the outcome of these proceedings to have a material impact on its financial position. Future cash outflows in respect of (c & d) above are dependent upon the outcome of judgments / decisions.

15 (i).2 Disclosure pursuant to Section 186(4) of the Companies Act, 2013

b) The disclosure as per the Accounting Standard 15 (AS-15) "Employee Benefits" are given below : The Company operates post retirement benefit plans as following :

Funded : Gratuity.

Non Funded : Leave Encashment

Included in "Salaries, Wages and Bonus” and "Contribution to Provident Fund, Gratuity and Other Funds” under "EMPLOYEE BENEFITS EXPENSE” on Note 26.

The expected return on Plan Assets is based on the actuarial expectation of the average long-term rate of return expected. The discount rate is based on the prevailing market yields on Government bonds as at the balance sheet date.

The contributions expected to be made by the Company for the year 2016-17 is not ascertained.

Note : (a) Conveyor Belting segment includes manufacturing and sale of PVC Conveyor Belting

(b) Wind Energy Segment includes generation, supply and sale of Wind Power (Electricity).

(c) Unallocated / Corporate Segment includes Corporate, Administrative and Financing activity.

16 In the opinion of the Board of Directors, current assets and loans and advances have the value at which these are stated in the Balance Sheet, unless otherwise stated and adequate provisions for all known liabilities have been made and are not in excess of the amount reasonably required.

17 Company''s operation has been affected due to sluggish market condition during the year.

18 Previous year’s figures have been re-arranged/re-grouped wherever necessary.

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Mar 31, 2015

1.1 Out of the above issued shares, the Company has only one class of equity shares having a par value of Rs. 1/- each. The dividend proposed by the Board of Directors is subject to the approval of shareholders in the ensuing Annual General Meeting. Each holder of equity shares is entitled to one vote per share. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company after distribution of all preferential amount in proportion of their shareholding. The Board of Directors has approved dividend of Rs. 0.25 per share (25%), subject to approval of shareholders in the ensuing Annual General Meeting.

1.2 There is no movement in the number of shares outstanding at the beginning and at the end of the reporting period.

1.3 Details of the shareholders holding more than 5% shares of the total number of equity shares issued by the Company :

1.3.1 The percentage of share holding has been reduced from 6.14% to 4.99% on being sale/transfer of shares by IGE (India) Private Limited.

2.1 Term loan referred above to the extent of:

a) Rs. 3,330,000 (previous year Rs. 21,200,000) is secured by first charge on Wind Mill acquired and installed in Andhra Pradesh, Current Assets of the Company, both present and future and extention of equitable mortgage of the leasehold industrial plot at Maharashtra Industrial Development Corporation, Aurangabad. The loan carries interest at 2.60% above base rate.

b) Rs. 28,973,706 (previous year Rs. 63,104,522) is secured by first charge on all fixed assets pertaining to Falta SEZ division of the company, both present & future, second charge on entire current assets of the said division of the Company both present & future, and is also secured by personal guarantee of one of the directors and corporate guarantee and is repayable in 21 quarterly installment commencing from June 2011. Last installment due in June 2016, rate of interest at 2.65% above base rate.

3.1 Working Capital facility from Bank are secured by hypothecation of Company's entire stock, book debts and other current assets both present and future and also secured by first charge on fixed assets of the company, equitable mortgage of Leasehold industrial plot of Chikalthana Industrial Area (MIDC). This is further secured by personal guarantee by one of the directors of the company.

4.1 Disclosure of Trade Payables is based on the information available with the company regarding the status of the suppliers as defined under the "Micro, Small and Medium Enterprise Development Act, 2006" (the Act). There are no delays in payment made to such suppliers. There is no amount outstanding as at the Balance Sheet date.

5.1 These preference shares will have the maximum term of 15 years from the date of allotment. However, these shares can be redeemed earlier at the option of the Company. The dividend on these preference shares will be cumulative and will be receivable at the rate of 12% p.a.

5.2 During the year, the company has acquired equity shares of newly incorporated entity International Conveyors America Limited, INC (ICAL) under the law of state of delaware, United States of America and consequent upon such acquisition the said company has become a wholly owned subsidiary of the Company.

5.3 The face value of equity shares of I G E (India) Private Limited of Rs.10/- each has been sub divided into the face value of Rs.1/- per equity share during the year.

5.4 During the year Company pursuant to a voluntary open offer of equity shares of Elpro International Limited (EIL), has acquired 3,25,914 Equity shares of EIL from the shareholders of said Company at the price of Rs.325/- per equity share agreegating to Rs. 105,922,050/- 11.8 Particulars of investments as required in terms of Section 186 (4) of the Companies Act, 2013, have been disclosed under note no.11 above.

6.1 During the previous year, the company, as a promoter, along with other promoters of the Elpro International Limited, had made a voluntary open offer to the public shareholders of Elpro International Limited, to acquire the shares of the said company. As such, the amount of Rs. Nil (previous year Rs. 50,000,000/-) had been transferred in a EIL-open offer Escrow A/c as required by SEBI guidelines and had been shown as deposit pending acquisition of the shares in terms of open offer.

7.1 The company has certain cancellable operating lease arrangements for office/ residential accomodation and for use of machineries with a lease period of one to five years which can be further extended after mutual consent and agreement. The lease agreement can be terminated after giving a notice as per the terms of the lease by either of the party. Expenditure incurred on account of operating lease rentals during the year and recognised in the Statement of Profit and Loss amounts to Rs. 1,062,923/- (Previous Year Rs. 1,021,843/-).

7.2 Subscription and Donation includes expenses incurred on account of Corporate Social Responsibility (CSR) Rs. 2,950,000/- (Previous year Rs. Nil)

8.1.1 The Company's pending litigation comprises of claim against the Company and proceeding pending tax/statutory/ Government authorities. The Company has reviewed all its pending litigations and proceedings and has made adequate provisions, and disclosed the contingent liabilities, where applicable, in its Financial Statements. The Company does not expects the outcome of these proceedings to have a material impact on its financial position. Future cash outflows in respect of (c & d) above are dependent upon the outcome of judgments / decisions.

8.1 Related Party Disclosure as required by Accounting Standard 18 " Related Party Disclosures" are as follows :

(a) Associates: 1) None

(b) Subsidiaries :

1) International Belting Limited

2) Conveyor Holdings Pte Limited, Singapore (w.e.f.25.04.2013)

3) International Conveyors America Limited, INC (w.e.f.26.12.2014)

4) International Conveyors Australia Pty Limited (Australia) (100% subsidiary of Conveyor Holdings Pte Limited, Singapore)

(c) Key Management Personnel :

Mr. R. K. Dabriwala – Managing Director

(d) Enterprises where key management personnel and their relatives have substantial interest and /or significant influence :

1) R.C.A. Limited

2) Pure Coke Limited

3) Elpro International Limited

4) I G E (India) Private Limited

8.2 In the opinion of the Board of Directors, current assets and loans and advances have the value at which these are stated in the Balance Sheet, unless otherwise stated and adequate provisions for all known liabilities have been made and are not in excess of the amount reasonably required.

8.3. Previous year's figures have been re-arranged/re-grouped wherever necessary.

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Mar 31, 2014

1. Provisions, Contingent Liabilities and Contingent Assets

Provisions involving substantial degree of estimation in measurement are recognized 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 Assets are neither recognized nor disclosed in the financial statement. Contingent Liabilities, if material, are disclosed by way of notes.

2 Out of the above issued shares, the company has only one class of equity shares having a par value of Rs. 1/- each. The dividend proposed by the Board of Directors is subject to the approval of shareholders in the ensuing General Meeting. Each holder of equity shares is entitled to one vote per share. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company after distribution of all preferential amount in proportion of their shareholding. The Board of Directors has approved dividend of Re.0.25 per share (25%), Subject to approval of shareholders in the ensuing Annual General Meeting.

3 There is no movement in the number of shares outstanding at the beginning and at the end of the reporting period.

4 Disclosure of Trade Payables is based on the information available with the Company regarding the status of the suppliers as defined under the "Micro, Small and Medium Enterprise Development Act, 2006" (the Act). There are no delays in payment made to such suppliers. There is no overdue amount outstanding as at the Balance Sheet date.

5 These preference shares will have the maximum term of 15 years from the date of allotment. However, these shares can be redeemed earlier at the option of the Company. The dividend on these preference shares will be cumulative and will be payable at the rate of 12% p.a.

6 During the year, the Company, as a promoter, along with other promoters of the Elpro International Limited, has made a voluntary open offer to the public shareholders of Elpro International Limited, to acquire the shares of the said Company. As such, the amount of Rs. 50,000,000/- has been transferred in a EIL-Open Offer Escrow A/c as required by SEBI guidelines and has been shown as deposit pending acquisition of the shares in terms of open offer.

7 The company has certain cancellable operating lease arrangements for office/ residential accomodation and for use of machineries with a lease period of one to five years which can be further extended after mutual consent and agreement. The lease agreement can be terminated after giving a notice as per the terms of the lease by either of the party. Expenditure incurred on account of operating lease rentals during the year and recognised in _the Statement of Profit and Loss amounts to Rs. 10,21,843/-(Previous Year Rs. 10,26,758/-).

(Amount in Rs.)

2013-14 2012-13

NOTE: 1

1 Contingent liabilities not provided for in respect of :

a) Guarantees given by bank on behalf of the Company 108,028,854 72,660,612

b) Corporate Guarantees given by the Company 145,000,000 308,000,000

c) Excise duty demand under appeal before the Hon''ble - 1,735,119 Supreme Court of India

d) Entry Tax Payable 135,314 -

e) Income Tax matter under Appeal 8,196,849 1,519,592

Note: Future cash outflows in respect of (c, d & e) above are dependent upon the outcome of judgments/decisions.

NOTE:2

*Included in "Salaries, Wages and Bonus" and "Contribution to Provident Fund, Gratuity and Other Funds" under "EMPLOYEE BENEFITS EXPENSE" on Note 24.

The expected return on Plan Assets is based on the actuarial expectation of the average long-term rate of return expected. The discount rate is based on the prevailing market yields on Government bonds as at the Balance Sheet date.

The contributions expected to be made by the Company for the year 2014-15 is not ascertained.

Note : (a) Conveyor Belting segment includes manufacturing and sale of PVC Conveyor Belting.

(b) Wind Energy Segment includes generation, supply and sale of Wind Power (Electricity).

(c) Unallocated / Corporate Segment includes Corporate, Administrative and Financing activity.

* Related Party Disclosure as required by Accounting Standard 18 " Related Party Disclosures" as specified in the Companies ( Accounting Standards) Rules, 2006 prescribed by the Central Government are as follows :

(a) Associates:

1) None

(b) Subsidiaries :

1) International Belting Limited

2) Conveyor Holdings Pte. Limited, Singapore (w.e.f.25.04.2013)

3) International Conveyors Australia Pty. Limited (Australia) (100% subsidiary of Conveyor Holding Pte Limited, Singapore)

(c) Key Management Personnel :

Mr. R. K. Dabriwala - Managing Director

(d) Enterprises where key management personnel and their relatives have substantial interest and /or significant influence :

1) R.C.A. Limited

2) I.G.E. (India) Private Limited

3) Pure Coke Limited

4) Elpro International Limited

* Pursuant to agreement, the Company has aquired all assets and liabilities of PVC Belting industrial undertaking of its wholly owned subsidiary, International Belting Limited situated at Falta SEZ South 24 Parganas, West Bengal on a going concern basis with effect from 19th April, 2013 at a lump sum consideration of Rs. 21,500,000/-.

* During the year, the Company has acquired a wholly owned subsidiary "Conveyor Holding Pte Limited" in Singapore by way of purchase of 100% equity shares of the said Company.

* Previous year''s figures have been re-arranged/re-grouped whereever necessary.

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Mar 31, 2013

1.1 The company has certain cancellable operating lease arrangements for office/residential accomodation and for use of machineries with a lease period of one to five years which can be further extended after mutual consent and agreement. The lease agreement can be terminated after giving a notice as per the terms of the lease by either of the party. Expenditure incurred on account of operating lease rentals during the year and recognised in the Statement of Profit and Loss amounts to Rs. 1''026''758/- (Previous Year Rs. 993''061/-).

1.2 Related Party Disclosure as required by Accounting Standard 18 "Related Party Disclosure" as specified in the Companies (Accounting Standards) Rules'' 2006 prescribed by the Central Government are as follows :

(a) Associates : 1) None

(b) Subsidiary (w.e.f. 22.03.2012) : 1) International Belting Limited

(c) Key Management Personnel :

Shri R. K. Dabriwala – Managing Director

(d) Enterprises where key management personnel and their relatives have substantial interest and/or significant influence :

1) R.C.A. Limited

2) Faridabad Investment Co. Limited

3) I.G.E.(India) Private Limited

4) Pure Coke Limited

5) Elpro International Limited

6) Dabri Properties and Trading Co. Limited

1.3 Subsequent to the Balance Sheet date the Company has entered into a agreement to acquire all assets and liabilities of PVC Belting industrial undertaking of its wholly owned subsidiary'' International Belting Limited situated at Falta SEZ South 24 Parganas'' West Bengal on a going concern basis with effect from April 19'' 2013.

1.4 Subsequent to the Balance Sheet date'' the Company has formed a wholly owned subsidiary i.e.'' " Conveyor Holdings Pte Limited" in Singapore.

1.5 Previous year''s figures have been re-arranged/re-grouped wherever necessary.

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Mar 31, 2012

1.1 Out of the above issued shares, the company has only one class of equity shares having a par value of Rs1/- each. The dividend proposed by the Board of Directors is subject to the approval of shareholders in the ensuing general meeting. Each holder of equity shares is entitled to one vote per share. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company after distribution of all preferential amount in proportion of their shareholding.

1.2 Details of the shareholders holding more than 5% shares of the total number of equity shares issued by the Company :

2.1 Term Loan from State Bank of India has been secured by first charge on Plant and Equipment of the Wind Mill project in Andhra Pradesh, Current Assets of the Company, both present and future and extension of equitable mortgage of the leasehold industrial plot at Maharashtra Industrial Development Corporation, Aurangabad. The loan carries interest at 4.25% above base rate Term Premium of 0.50% and is repayable as follows :

3.1 Working Capital facility from Bank are secured by hypothecation of Company's entire stock, book debts and other current assets both present and future and also secured by first charge on fixed assets of the company, equitable mortgage of Leasehold industrial plot of Chikalthana Industrial Area (MIDC). This is further secured by personal guarantee by one of the directors of the company.

4.1 The company has certain cancellable operating lease arrangements for office/ residential accommodation and for use of machineries with a lease period of one to five years which can be further extended after mutual consent and agreement. The lease agreement can be terminated after giving a notice as per the terms of the lease by either of the party. Expenditure incurred on account of operating lease rentals during the year and recognized in the Statement of Profit and Loss amounts to Rs993,061/-(Previous Year Rs1,004,522/-).

NOTE: 5

5.1. Contingent liabilities not provided for in respect of: . _

(Amount in Rs.)

2011-12 2010-11

a) Guarantees given by bank on behalf of the Company 39,291,648 34,818,538

b) Corporate Guarantees given by the Company 197,000,000 197,000,000

c) Excise duty demand under appeal before the Hon'ble Supreme Court of India 1,735,119 1,735,119

d) Income Tax matter under Appeal 1,519,592 1,519,592 Note: Future cash outflows in respect of (c & d) above are dependent upon the outcome of judgments / decisions.

b) The disclosure as per the Accounting Standard 15 (AS-15) "Employee Benefits" are given below: The Company operates post retirement benefit plans as following:

Funded: Gratuity

Non Funded: Leave Encashment

*Included in Salaries, Wages and Bonus" and Contribution to Provident Fund, Gratuity and Other Funds" under EMPLOYEE BENEFIT EXPENSES" on Note 23.

The expected return on Plan Assets is based on the actuarial expectation of the average long-term rate of return expected.

The discount rate is based on the prevailing market yields on Government bonds as at the balance sheet date.

The contributions expected to be made by the Company for the year 2012-13 is not ascertained.

5.2 Related Party Disclosure as required by Accounting Standard 18 "Related Party Disclosure as specified in the Companies (Accounting Standards) Rules, 2006 prescribed by the Central Government are as follows:

A. Associates:

1) None

B. Subsidiary (w.e.f.22.03.2012):

1) International Belting Limited

C. Key Management Personnel:

Shri R. K. Dabriwala - Managing Director

D. Enterprises where key management personnel and their relatives have substantial interest and /or significant influence:

1) R.C.A. Limited

2) Faridabad Investment Co. Limited

3) I.G.E.(India) Limited

4) Pure Coke Limited

5) Elpro International Limited

6) Dabri Properties and Trading Co. Limited

5.3 Till the year end March 31, 2011, the Company was using pre-revised schedule VI to the Companies Act, 1956 for the preparation and presentation of its financial statement. During the year ended March 31, 2012, the revised schedule VI notified under the Companies Act, 1956 has become applicable to the Company. The Company has reclassified previous year figures to conform to this year classification.

Note 1 to 26.13 forms an integral part of the Financial Statement.

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Mar 31, 2010

1. Contingent liabilities not provided for in respect of :

(Amount in Rs.)

2009-10 2008-09

a) Guarantees given by bank on behalf of the Company 3,11,30,177 1,55,22,120

b) Corporate Guarantees given by the Company 19,70,00,000 3,40,00,000

c) Excise duty demand under appeal before the Hon’ble Supreme Court of India 17,35,119 17,35,119

d) Income Tax matter under Appeal 14,05,569 10,54,186

Note : Future cash outflows in respect of (c & d) above are dependent upon the outcome of judgments / decisions.

2. Estimated amount of contracts remaining to be executed on capital account and not provided for (Net of advance) Rs. 32,50,851/- (Previous Year Rs.9,88,133/-).

3. Capital Work-in-Progress includes Rs.4,76,735/- being the advance on Capital Account. (Previous Year Rs.26,81,102/-)

4. Foreign Exchange fluctuation gain (net) amounting to Rs.74,58,584/- (Previous Year loss (net) Rs.58,20,589/-) has been credited in the Profit and Loss Account.

5. Certain debit and credit balances including sundry debtors, creditors and advances are subject to confirmation and reconciliation with respect to the same.

6. Quantities and valuation of finished goods and semi finished goods are as certified by the management.

b) The disclosure as per the Accounting Standard 15 (AS-15) "Employee Benefits" are given below: The Company operates post retirement benefit plans as following: Funded: Gratuity.

The expected return on Plan Assets is based on the actuarial expectation of the average long-term rate of return expected. The discount rate is based on the prevailing market yields on Government bonds as at the balance sheet date.

The contributions expected to be made by the Company for the year 2010-11 is not ascertained.

(ii) The face value of Equity shares of Rs. 10/- each has been subdivided into face value of Re. 1/- each with effect from 11.12.2009 being the record date. Accordingly the no. of shares has increased. The EPS for the current year as well as for the previous year has been stated / restated taken into account the sub division of the shares.

(iii) Equity shares capital of the Company has increased to Rs. 6,75,00,000/- due to issue of bonus shares in the ratio 1:1 during the year. Accordingly the no. of shares has increased. The EPS for the current year as well as for the previous year has been stated/ restated taken into account the issue of bonus shares.

7. Related Party Disclosure as required by Accounting Standard 18 " Related Party Disclosure" issued by the Institute of Chartered Accountants of India are as follows:

A. Associates:

1) R.C.A Ltd.

2) Faridabad Investment Co. Ltd.

3) International Belting Ltd.

B. Key Management Personnel:

Shri R.K.Dabriwala - Managing Director

8. The Company has certain cancellable operating lease arrangements for office / residential accommodation and for use of machineries with a lease period of one to five years which can be further extended after mutual consent and agreement. The lease agreement can be terminated after giving a notice as per the terms of the lease by either of the party.

Expenditure incurred on account of Operating lease rentals during the year and recognised in the Profit and Loss account amounts to Rs.8,92,348/- (Previous Year Rs.10,78,925/-).

9. Rs.1,178.50 Lacs being unutilised amount at the beginning of the year out of the issue proceeds of convertible warrants in the previous year, has been fully utilised for general corporate purposes by investing the same towards proposed right issue of shares in Elpro International Limited and the same has been included in advances as share application money pending allotment of shares.

10. Previous years figures have been re-arranged/ re-grouped wherever necessary.

11. Schedule 1 to 18 forms an integral part of the accounts.