Notes to Accounts of JK Lakshmi Cement Ltd.

Mar 31, 2025

(12) Provisions, Contingent liabilities and Contingent Assets

i) General

Provisions are recognized when the Company has a present obligation (legal or constructive) as a result of a past
event, it is probable that an outflow of resources embodying economic benefits will be required to settle the
obligation and a reliable estimate of the amount of the obligation. When the Company expects some or all of a
provision to be reimbursed, for example, under an insurance contract, the reimbursement is recognized as a
separate asset, but only when the reimbursement is virtually certain. The expense relating to a provision is
presented in the statement of profit and loss net of any reimbursement.

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

ii) Contingent Lliability

Contingent Lliability is disclosed in the case of:

• A present obligation arising from past events, when it is not probable that an outflow of resources will be
required to settle the obligation.

• A present obligation arising from past events, when no reliable estimate is possible:

• A possible obligation arising from past events, unless the probability of outflow of resources is remote.
Provisions, Contingent Liabilities and Contingent Assets are reviewed at each Balance Sheet date.

iii) Other Litigation Claims

Provision for litigation related obligation represents liabilities that are expected to materialize in respect of
matters in appeal.

iv) Onerous Contracts

A provision for onerous contracts is measured at the present value of the lower of expected costs of terminating
the contract and the expected cost of continuing with the contract. Before a provision is established, the
Company recognizes impairment on the Assets with the contract.

v) Contingent Asset

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
entity. Contingent Assets are disclosed in the Financial Statements by way of notes to accounts when an inflow of
economic benefits is probable.

(13) Revenue Recognition

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

i) Sale of Goods

Revenue is recognized upon transfer of control of promised goods or services to customers at transaction price
(net of taxes and duties).

Taxes collected on behalf of the government are excluded from revenue. Revenue is recognised to the extent it is
probable that the economic benefits will flow to the Company and the revenue and costs, if applicable, can be
measured reliably.

ii) Non-Cash Incentives

The Company provides Non-Cash incentives at Fair Value to customers. These benefits are passed on to
customers on satisfaction of various conditions of various sales schemes. Consideration received is allocated
between the products sold and non-cash incentives to be issued to customers. Fair value of the non-cash
incentive is determined by applying principle of Ind AS 113 i.e. at market rate. A contract liability for the non-cash
incentive is recognised at the time of sale.

iii) Power Distribution

Revenue from Power Distribution business is accounted on the basis of billings to the customers and includes
unbilled revenues accrued up to the end of accounting year. Customers are billed as per the tariff rates issued by
Electricity Regulatory Commission.

iv) Dividend Income

Dividend income is recognized when the right to receive dividend is established, which becomes certain after
shareholders''approval.

v) Lease Income

Lease Agreements where the risk and rewards incidental to the ownership of an asset substantially vest with the
lessor are recognized as operating leases. Leases rentals are recognized on straight -line basis as per the terms of
the agreements in the statement of profit and loss.

vi) Interest Income

For all Financial instruments measured at amortized cost, interest income is recorded using Effective Interest
Rate (EIR), which is the rate that exactly discounts the estimated future cash payments or receipts through the
expected life of the Financial Instrument or a shorter period, where appropriate, to the net carrying amount of
the Financial Asset. Interest income is included in other income in Statement of Profit and Loss.

vii) Renewable Energy Certificate

Renewable Energy Certificate (REC) benefits are recognized in Statement of Profit & Loss on Sale of REC. Income
from Sale of RECs is recognized on the delivery to the Customers'' Account.

viii) Export Benefit

Export incentives, Duty Drawbacks and other benefits are recognized in the Statement of Profit and Loss on
Accrual Basis.

(14) Employees Benefits

i) Defined Contribution Plans

Contributions to the employees'' regional Provident Fund, Superannuation Fund, Employees Pension Scheme
and Employees'' State Insurance are recognized as defined contribution plan and charged as expenses during the
period in which the employees perform the services. The Company has no obligation, other than the
contribution payable to the respective funds. The Company recognises contribution payable to these schemes as
an expense, when an employee renders the related service. If the contribution payable to the scheme for service
received before the balance sheet date exceeds the contribution already paid, the deficit payable to the scheme is
recognised as a liability after deducting the contribution already paid. If the contribution already paid exceeds
the contribution due for services received before the balance sheet date, then excess is recognised as an asset to
the extent that the pre-payment will lead to, for example, a reduction in future payment or a cash refund.

ii) Defined Benefit Plans

Retirement benefits in the form of Gratuity and Leave Encashment are considered as defined benefit plan and
determined on actuarial valuation using the Projected Unit Credit Method at the balance sheet date. Actuarial
Gains or Losses through re-measurement of the net obligation of a defined benefit liability or asset is recognized
in Other Comprehensive Income. Such re-measurements are not reclassified to Statement of Profit and Loss in
subsequent periods.

The Provident Fund Contribution other than contribution to Employees'' Regional Provident Fund, is made to trust
administered by the trustees. The interest rate to the members of the trust shall not be lower than the statutory
rate declared by the Central Government under Employees'' Provident Fund and Miscellaneous Provision Act,
1952. The Employer shall make good deficiency, if any.

iii) Short-term Employee Benefits

Short Term Benefits are charged off at the undiscounted amount in the year in which the related service is
rendered.

iv) Long-Tterm Employee Benefit

Compensated absences which are not expected to occur within twelve months after the end of the period in
which the employee renders the related services are recognized as a liability at the present value of the defined
benefit obligation at the balance sheet date. Annual Leaves can either be availed or enchased subject to
restriction on the maximum accumulation of Leaves.

v) Termination Benefits

Termination Benefits are recognized as an expense in the period in which they are incurred.

The Company shall recognize a liability and expense for termination benefits at the earlier of the following dates:

(a) When the entity can no longer withdraw the offer of those benefits; and

(b) When the entity recognizes costs for a restructuring that is within the scope of Ind AS 37 and involves the
payment of termination benefits.

(15) Borrowing Costs

(1) Borrowing Costs that are specifically attributable to the acquisition, construction, or production of a Qualifying
Asset are capitalized as a part of the cost of such Asset till such time the asset is ready for its intended use or sale.
A Qualifying Asset is an asset that necessarily requires a substantial period of time (generally over twelve months)
to get ready for its intended use or sale.

The Borrowing Cost consists of Interest & Other Incidental costs that the Company incurs in connection with the
borrowing of such Funds.

(2) For general borrowing used for the purpose of obtaining a Qualifying Asset, the amount of borrowing costs
eligible for capitalization is determined by applying a capitalization rate to the expenditures on that asset. The
capitalization rate is the weighted average of the borrowing costs applicable to the borrowings of the Company
that are outstanding during the period, other than borrowings made specifically for the purpose of obtaining a
qualifying asset. The amount of borrowing costs capitalized during a period does not exceed the amount of
borrowing cost incurred during that period.

(3) Borrowing cost also includes exchange differences to the extent regarded as an adjustment to the borrowing
costs. All other borrowing costs are recognized as expense in the period in which they are incurred.

(16) Leases

The Company assesses at contract inception whether a contract or part of contract is, or contains, a lease. That is, if the
contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration.

a) Company as a Lessee

The Company applies a single recognition and measurement approach for all leases, except for short-term leases
and leases of low-value assets. The Company recognises lease liabilities to make lease payments and right-of-use
assets representing the right to use the underlying assets.

i) Right-Of-Use Assets

The Company recognises Right-Of-Use assets at the commencement date of the lease (i.e., the date the
underlying asset is available for use). Right-of-use Assets are measured at cost, less any accumulated
depreciation and impairment losses, and adjusted for any re-measurement of lease liabilities. The cost of
Right-Of-Use assets includes the amount of lease liabilities recognised, initial direct costs incurred, and lease
payments made at or before the commencement date less any lease incentives received. Right-of-use Assets
are depreciated on a straight-line basis from the commencement date over the shorter of the lease term and
the estimated useful lives of the Assets.

If ownership of the Leased Asset transfers to the Company at the end of the lease term or the cost reflects the
exercise of a purchase option, depreciation is calculated using the estimated useful life of the Asset.

ii) Lease Liabilities

At the commencement date of the lease, the Company recognises Lease Liabilities measured at the present
value of lease payments to be made over the lease term. The lease payments include Axed payments
(including in-substance Axed payments) less any lease incentives receivable, variable lease payments that
depend on an index or a rate, and amounts expected to be paid under residual value guarantees. The lease
payments also include the exercise price of a purchase option reasonably certain to be exercised by the
Company and payments of penalties for terminating the lease, if the lease term reflects the Company
exercising the option to terminate. Variable lease payments that do not depend on an index or a rate are
recognised as expenses (unless they are incurred to produce inventories) in the period in which the event or
condition that triggers the payment occurs.

In calculating the present value of lease payments, the Company uses its existing weighted average cost of
capital (WACC) rate at the lease commencement date because the interest rate implicit in the lease is not
readily determinable. After the commencement date, the amount of lease liabilities is increased to reflect
the accretion of interest and reduced for the lease payments made. In addition, the carrying amount of lease
liabilities is re-measured if there is a modification, a change in the lease term, a change in the lease payments
(e.g., changes to future payments resulting from a change in an index or rate used to determine such lease
payments) or a change in the assessment of an option to purchase the underlying asset.

Lease liabilities have been presented as a separate line and Right-of-use assets have been presented under
Property Plant and Equipment in the balance sheet. Lease payments have been classified as cash used in
financing activities.

iii) Short-Term Leases and Leases of Low-Value Assets

The Company has elected not to recognise Rright-of-use Use assets Assets and Llease liabilities Liabilities for
short term leases of all assets that have a lease term of 12 months or less and leases of low-value assets. The
Company recognises the lease payments associated with these leases as an expense on a straight-line basis
over the lease.

b) Company as a Lessor

Lease income from Operating Leases where the Company is a Lessor is recognized in income on a straight-line
basis over the lease term unless the recipients are structured to increase in line with expected general inflation to
compensate for the expected inflationary cost increases. The respective Leased Assets are included in the Balance
Sheet based on their nature.

(17) Taxes on Income

a) Current Tax

i) Tax on Income for the Current Period is determined on the basis of estimated taxable income and tax credits
computed in accordance with the provisions of the relevant tax laws and based on the expected outcome of
assessments / appeals.

ii) Current Income Tax relating to items recognized directly in equity is recognized in equity and not in the
statement of profit and loss. Management periodically evaluates positions taken in the tax returns with
respect to situations in which applicable tax regulations are subject to interpretation and establishes
provisions where appropriate.

b) Deferred Tax

Deferred Tax is provided using the Balance Sheet Approach on temporary differences at the reporting date
between the tax bases of assets and liabilities and their carrying amounts for financial reporting purposes at the
reporting date.

The carrying amount of Deferred Tax Assets is reviewed at each reporting date and reduced to the extent that it is
no longer probable that sufficient taxable profit will be available to allow all or part of the Deferred Tax Asset to
be utilized. Unrecognized Deferred Tax Assets are reassessed at each reporting date and are recognized to the
extent that it has become probable that future taxable profits will allow the deferred tax asset to be recovered.

Deferred Tax Assets and Liabilities are measured at the tax rates that are expected to apply in the year when the
asset is realized or the liability is settled, based on tax rates (and tax laws) that have been enacted or substantively
enacted at the reporting date.

Deferred Tax relating to items recognized outside the Statement of Profit and Loss is recognized outside the
Statement of Profit and Loss.

Deferred Tax items are recognized in correlation to the underlying transaction either in Other Comprehensive
Income or directly in Equity.

The break-up of the major components of the Deferred Tax Assets and Liabilities as at Balance Sheet date has
been arrived at after setting off deferred tax assets and liabilities where the Company have a legally enforceable
right to set-off assets against liabilities and where such assets and liabilities relate to taxes on income levied by the
same governing taxation laws.

(18) Exceptional Items

On certain non-recurring occasions, the size, type or incidence of an item of income or expense, pertaining to the
ordinary activities of the Company is such that its disclosure improves the understanding of the performance of the
Company, such income or expense is classified as an exceptional item and accordingly, disclosed in the notes
accompanying to the financial statements.

(19) Earnings Per Share (EPS)

i) Basic Earnings Per Share

Basic Earnings Per Share is calculated by dividing

• The Profit or Loss attributable to Equity Shareholders of the Company by the Weighted Average number of
Equity Shares outstanding during the Financial Year, adjusted for bonus elements in Equity Shares issued
during the Year.

ii) Diluted Earnings Per Share

Diluted Earnings Per Share adjusts the figures used in the determination of basic earnings per share to take into
account.

• The after Income Tax Effect of interest and other financing costs associated with dilutive potential equity
shares, and the Weighted Average number of additional Equity Shares that would have been outstanding
assuming the conversion of all dilutive potential Equity Shares.

(20) Segment Accounting

The Company is engaged primarily into manufacturing of Cement. The Company has only one business segment as
identified by management namely Cementious Materials.

Segments have been identified taking into account nature of product and differential risk and returns of the segment.
The business segments are reviewed by the Chairperson & Managing Director (Chief Operating Decision Maker).

The Chief Operational Decision Maker monitors 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 each segments profit or loss and is measured consistently with profit or loss in the financial
statements.

(21) Cash dividend

The Company recognises a Liability to pay dividend to Equity Holders of the Company when the distribution is
authorised and the distribution is no longer at the discretion of the Company. As per the corporate laws in India, a
distribution is authorised when it is approved by the shareholders. A corresponding amount is recognised directly in
Other Equity. Interim Dividends are recognised as a Liability on the date of declaration by the Company''s Board of
Directors.

(22) Recent Accounting Pronouncements

Ministry of Corporate Affairs ("MCA") notifies new standards or amendments to the existing standards under
Companies (Indian Accounting Standards) Rules as issued from time to time. For the year ended 31 March 2025, MCA
has notified Ind AS - 117 Insurance Contracts and amendments to Ind AS 116 - Leases, relating to sale and leaseback
transactions. The Company has reviewed the new pronouncements and based on its evaluation has determined that it
does not have any significant impact in its financial statements.

Standards notified but not yet effected

Ministry of Corporate Affairs ("MCA") notifies new standards or amendments to the existing standards under
Companies (Indian Accounting Standards) Rules as issued from time to time. MCA has notified amendments to Ind
AS 21 - The Effects of Changes in Foreign Exchange Rates with effect from 1 April 2025.

*As on 31^st March 2025, there are 19 entities holding 18,77,632 Equity Shares (1.59%) and as on 31^st March 2024, there are 19
entities holding 19,04,632 Equity Shares (1.61%) , who are constituents of the Promoter Group as per the SEBI (Issue of Capital
and Disclosure Requirements) Regulations, 2018.

# Pursuant to the Composite Scheme of Amalgamation and Arrangement, 64,74,360 equity shares of face value Rs. 5 each are
pending issuance to the eligible shareholders. The above percentages have been calculated without giving effect to the said shares.

d. Terms / Rights attached to Equity Shareholders:

i) The Company has only one class of Equity Shares having a par value of Rs 5 per share. Each holder of equity shares is
entitled to one vote per share held.

ii) In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the
Company , after distribution of all preferential amounts. The distribution will be in proportion to the number of equity
shares held by the shareholders and are subject to prefrential rights of prefrence shares (if issued)

iii) The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual
General Meeting, except in case of interim dividend.

Capital Redemption Reserve: Represents the statutory reserve created when Preference Share Capital is redeemed.
Securities Premium: Represents the amount received in excess of Par value of Securities.

Debenture Redemption Reserve: Represents the Statutory Reserve for Non Convertibles Debentures issued by the Company.

e. During the last five years, the Company has not issued any bonus shares nor are there any shares bought back and issued for
consideration other than cash.

f. Nature of Reserves:

Securities Premium Reserve represents the amount received in excess of par value of Securities issued by the Company,
which may be utilised for purposes specified u/s 52(2) of the Companies Act, 2013

Capital Reserve represents the reserve created on amalgamation and business combination and profit or loss on purchase,
sale, issue or cancellation of the Group''s own equity instruments. (Refer note 73)

Pre-merger Share Disposal Reserve represents the cost of investment in Udaipur Cement Works Limited which was disposed
off prior to the effective date of the merger but after the [appointed date / beginning of the preceding period] (Refer note 73)

Capital Redemption Reserve Represents the statutory reserve created at the time redemption of Preference Share Capital
and buy back of Equity Share Capital which can be applied for issuing fully paid-up bonus shares

General Reserve represents accumulated profits set apart by way of transfer from current year Profits/ or / and Surplus in P/L
Statement comprised in Retained Earnings for "other than specified purpose"

Shares Pending Issuance represents 64,74,360 equity shares of face value '' 5 each which are pending issuance to the
eligible shareholders pursuant to the Composite Scheme of Amalgamation and Arrangement.

* Due & repayable within one year

1 Term Loan from a Bank of '' 17.13 Crore is secured by way of an Exclusive First Charge on all the Immovable and Movable
Fixed Assets of the Company''s Cement Grinding Unit in the State of Gujarat. This Term Loan is repayable in 3 equal quarterly
instalments.

2 Term Loan from a Bank of '' 150 Crore is secured by way of an Exclusive First Charge on all the Immovable and Movable Fixed
Assets of the Company''s Cement Grinding Units in the State of Gujarat. This Term Loan shall be repayable in 40 equal
quarterly instalments commencing from 30^th June 2026.

3 Term Loans from a Bank aggregating to '' 33.75 Crore are secured by way of a Pari Passu First Charge on all the Immovable
and Movable Fixed Assets of the Company''s Cement Plant in the State of Chattisgarh. These Term Loans from Banks are
repayable in 2 equal Quarterly Instalments.

4 Term Loan from a Bank of '' 71.30 Crore is secured by way of a Pari Passu First Charge on all the Immovable and Movable Fixed
Assets of the Company''s Cement Plant in the State of Chattisgarh except those assets charged to other lenders. This Term
Loan shall be repayable in 52 unequal Quarterly Instalments commencing from 30th June 2026.

5 Term Loan from a Bank of '' 70.04 Crore is secured by way of an Exclusive First Charge on Movable Fixed Assets of the
Company''s 20 MW Thermal Power Plant at Durg, Chattisgarh. This Term Loan is repayable in 30 unequal Quarterly
Instalments.

6 Term Loan from a Bank of '' 56.25 Crore is secured by way of an Exclusive First Charge on all the Immovable & Movable Fixed
Assets of the Company''s Cement Grinding Unit at Cuttack, Odisha. This Term Loan is repayable in 35 equal Quarterly
Instalments.

7 Interest Free Loan (IFL) from The Director of Industries & Commerce, Haryana of '' 20.91 Crore granted to Company in
relation to its Cement Grinding Unit at Jhajjar, Haryana, is secured by Bank Guarantee of equivalent amount and shall be
repaid at the end of 5th year from the respective disbursement dates. The said IFL has been recognised on Amortised Cost
Basis.

8 Term Loan from a Bank of '' 133.64 Crore is secured by way of a Pari Passu First Charge on all the Immovable and Movable
Fixed Assets pertaining to the Company''s Cement Unit in the State of Rajasthan subject to the prior charges in favour of
Banks on Specified Assets and Company''s Banks for Working Capital on Specified Movables Assets. This Term Loan is
repayable in 17 unequal Quarterly Instalments.

9 Term Loan from a Bank of '' 200.00 Crore is secured by way of a Subservient Charge on all the Immovable and Movable Fixed
Assets of the Company''s Cement Plant in the State of Chattisgarh except those assets specifically charged to other lenders.
This Term Loan shall be repayable in 24 unequal Quarterly Instalments commencing from 26^th June 2026.

10 Public Deposits represents the Deposits accepted by the Company from Public under its Fixed Deposit Scheme having
maturity of 1,2 & 3 years from the date of deposits.

11 Term Loans aggregating to '' 1469.42 Crore from Banks are secured by a (i) Pari Passu First Charge on all the Movable &
Immovable Fixed Assets of the Company''s Cement Unit in the State of Rajasthan & (ii) Pari Passu Second Charge on Current
Assets of the Company

- Term Loan of '' 46.28 Crore shall be repayable in 18 unequal Yearly Instalments

- Term Loan of '' 103.00 Crore shall be repayable in 17 unequal Yearly Instalments

- Term Loan of '' 170.20 Crore shall be repayable in 20 unequal Yearly Instalments

- Term Loan of '' 22.50 Crore shall be repayable in 18 equal Yearly Instalments

- Term Loans of '' 1083.70 Crore shall be repayable in 44 unequal Yearly Instalments commencing from 31^st December
2025.

- Term Loan of '' 43.74 Crore shall be repayable in 28 equal Yearly Instalments

12 The above outstanding Term Loans are net of the Processing charges as per IND AS 109

c) Commodity Price Risk and Sensitivity: The Company is exposed to the movement in price of key raw materials in
domestic and international markets. The Company manages fluctuations in raw material price through hedging in
the form of advance procurement when the prices are perceived to be low and also enters into advance buying
contracts as strategic sourcing initiative in order to keep raw material and prices under check, cost of material is
hedged to the extent possible.

44.2 Credit Risk:

Credit risk arises from the possibility that counter party may not be able to settle their obligations as agreed. The Company
is exposed to credit risk from its operating activities (primarily trade receivables).

a) Trade Receivables: Customer credit risk is managed based on Company''s established policy, procedures and
controls. The Company periodically assesses the financial reliability of customers, taking into account the financial
conditions, current economic trends, and analysis of historical bad debts and aging of trade receivables. Individual
credit risk limits are set accordingly.

The credit risk from the organized and bigger buyers is reduced by securing bank guarantees / letter of credits / part
advance payments / post dated cheques. The outstanding''s of different parties are reviewed periodically at
different level of organization. The outstanding from the trade segment is secured by two tier security - security
deposit from the dealer himself, and our business associates who manage the dealers are also responsible for the
outstanding from any of the dealers in their respective region. Impairment analysis is performed based on historical
data at each reporting period on an individual basis. For aging of trade receivables refer note 12.

In respect of trade receivables, the company applies the simplified approach of IND AS 109 "Financial
Instruments", which requires measurement of loss allowance at an amount equal to lifetime expected credit
losses. Lifetime expected credit losses are the expected credit losses that result from all possible default events over
the expected life of a financial instrument.

b) Financial Instruments and Deposits with Banks: The Company considers factors such as track record, size of
institution, market reputation and service standards to select the bank with which balances and deposits are
maintained. Generally, balances are maintained with the institutions with which the Company has also availed
borrowings. The Company does not maintain significant cash and deposit balances other than those required for
its day to day operation.

c) Loans: The Company has given loans to step-down subsidiaries and other parties. There is no collateral held
against these because based on historical experience and credit profiles of counterparties, the Company does not
expect any significant risk of default. The Company''s maximum exposure to credit risk for each of the above is their
carrying values as at the reporting dates.

44.3 Liquidity Risk:

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial
liabilities that are settled by delivering cash or another financial asset. The Company''s approach is to ensure, as far as
possible, that it will have sufficient liquidity to meet its liabilities when due.

The Company relies on a mix of borrowings, and excess operating cash flows to meet its needs for funds. The current
committed lines of credit are sufficient to meet its short to medium term expansion needs. The Company monitors rolling
forecasts of its liquidity requirements to ensure it has sufficient cash to meet operational needs while maintaining
sufficient headroom on its undrawn committed borrowings facilities at all times so that the Company does not breach
borrowing limits or covenants (where applicable) on any of its borrowing facilities.

Note-45 Capital Risk Management

The Company manages its capital structure and makes adjustments in light of changes in economic conditions and the
requirements of the financial covenants. The Company''s primary objective when managing capital is to ensure that it maintains
an efficient capital structure and healthy capital ratios and safeguard the Company''s ability to continue as a going concern in
order to support its business and provide maximum returns for shareholders. The Company also proposes to maintain an optimal
structure to reduce the cost of capital.

For the purpose of the Company''s capital management, capital includes issued capital, securities premium and all other equity
reserves. Net debt includes, interest bearing loans and borrowings less cash and short term deposits.

xOv

Fair Valuation Techniques:

The Company maintains policies and procedures to value Financial Assets & Financial Liabilities using the best and most relevant
data available. The fair values of the financial assets and liabilities are included at the amount that would be received to sell an
asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The following
methods and assumptions were used to estimate the fair values:

1 Fair Value of cash and deposits, trade receivables, trade payables, and other current financial assets and liabilities
approximate their carrying amounts largely due to the short-term maturities of these instruments.

2 Other non-current receivables are evaluated by the Company, based on parameters such as interest rates, individual
creditworthiness of the counterparty etc. Based on this evaluation, allowances are considered to account for the expected
losses of these receivables. As at end of each reporting year, the carrying amounts of such receivables, net of allowances (if
any), are not materially different from their calculated fair values.

3 Fair Value of Investments in quoted Mutual Funds and Equity Shares are based on quoted market price at the reporting date.
The fair value of unquoted investments in Preference Shares are estimated by discounting future cash flows using rates
currently available for debt on similar terms, credit risk and remaining maturities. The fair value of unquoted investments in
equity shares are estimated on net assets basis.

4 Fair Value of borrowings from banks and other non-current financial liabilities, are estimated by discounting future cash
flows using rates currently available for debt on similar terms and remaining maturities.

5 The Fair Values of Derivatives are calculated using the RBI reference rate as on the reporting date as well as other variable
parameters.

Fair Value Hierarchy:

The following table provides the fair value measurement hierarchy of Company''s asset and liabilities, grouped into Level 1 to Level
3 as described below:

Level 1: Quoted prices in active markets.

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

Level 3: Inputs that are not based on observable market data.

The following table provides the fair value measurement hierarchy of Company''s asset and liabilities, grouped into Level 1 to
Level 3 as described below:

Note-55 In respect of certain disallowances and additions made by the income tax authorities, appeals are pending before the
appellate authorities and adjustment, if any, will be made after the same are finally settled.

Note-56 Contingent liability for non-use of jute bags for cement packing upto June 30, 1997, as per Jute Packaging Materials
(compulsory use of packaging commodities) Act, 1987 is not ascertained and the matter is subjudice. The
Government has excluded cement industry from application of the said order from July 01,1997.

Note-57 Competition Commission of India (CCI) vide its order dated January 19, 2017 had imposed penalty on certain cement
companies including a penalty of '' 6.55 crore on the Company pursuant to a reference fled by the government of
Haryana. The Company has fled an appeal with Competition Appellate Tribunal (COMPAT) against the said order.
COMPAT has granted a stay on CCI order. After the merger of COMPAT with National Company Law Appellate
Tribunal (NCLAT), the Company''s case also stands transferred to NCLAT.

Although based on legal opinion, the Company believes that it has a good case but out of abundant caution the
Company had provided full amount during the earlier years.

OCI presentation of Defined Benefit plan

Gratuity is in the nature of defined benefit plan, re-measurement gains / (losses) on defined benefit plans is shown under OCI
as Items that will not be reclassified to profit or loss and also the income tax effect on the same.

Presentation in Statement of Profit & Loss and Balance Sheet

Expense for service cost, net interest on net defined benefit liability (asset) is charged to statement of profit & loss. IND AS 19
does not require segregation of provision in current and non-current, however net defined liability (assets) is shown as
current and non-current provision in balance sheet as per IND AS 1.

When there is surplus in defined benefit plan, company is required to measure the net defined benefit asset at the lower of;
the surplus in the defined benefit plan and the assets ceiling, determined using the discount rate specified, i.e. market yield at
the end of the reporting period on government bonds, this is applicable for domestic companies, foreign company can use
corporate bonds rate.

The company assesses these assumptions with its projected long-term plans of growth and prevalent industry standards. The
mortality rates used are as published by one of the leading life insurance companies in India.

* As the liability for gratuity and leave encashment are provided on actuarial basis for the company as a whole. The
amount pertaining to KMPs are not included above.

The transactions with related parties have been made on terms equivalent to those that prevail in arm''s length
transactions.

* Other payments include directors'' sitting fees and reimbursement of expenses.

* Other payments include directors'' sitting fees from amalgamating company '' 0.09 Crores (March 31, 2024:
''0.05 Crores)

B. Other transactions with KMPs

During the 2023-24 the Company has paid '' 4.08 Crore to each of Shri Bharat Hari Singhania (Chairman), Smt. Vinita
Singhania (Vice Chairperson & Managing Director) and Dr. Raghupati Singhania (Non Independent & Non-Executive
Director) for acquisition of Equity Shares of Amalgamating Company Hidrive Developers and Industries Ltd.

Note-64 Derivative Financial Instruments

The Company uses foreign currency denominated borrowings and foreign exchange forward contracts (including
option contracts - seagull structure) to manage some of its transaction exposures. The foreign exchange forward
contracts and foreign exchange option contracts are not designated as cash flow hedges and are entered into for
periods consistent with foreign currency exposure of the underlying transactions, generally from one to thirty six
months.

Foreign Currency Risk

The Company has entered into foreign exchange forward contracts and foreign exchange option contracts with the
intention to reduce the foreign exchange risk on repayment of buyer''s credit and foreign currency loan, these
contracts are not designated in hedge relationships and are measured at fair value through profit or loss.

Note-66 During the Previous year Amalgamating company Udaipur Cement Works Limited, has raised fund through right
issue. For aforementioned issue the amalgamating company has incurred total expenditure of '' 5.18 Crores, which
has been charged to securities premium reserve.

Note-67 The proviso to Rule 3(1) of the Companies (Accounts) Rules, 2014 inserted by the Companies (Accounts) Amendment
Rules 2021 requires companies, which uses accounting software for maintaining its books of accounts, to use only
such accounting software which has a feature of recording audit trail of each and every transaction, creating an edit
log of each change made in the books of accounts along with the date when such changes were made and ensuring
that the audit trail cannot be disabled.

The Company has used accounting software for maintaining its books of account, which has a feature of recording
audit trail (edit log) facility and the same has operated throughout the year for all relevant transactions recorded in
the respective software. However, the audit trail (edit logs) feature for any direct changes made at the database level
was not enabled for accounting software used for maintenance of books of account. Further, where the audit trail
(edit log) facility was enabled and operated, the audit trail feature has not been tampered with. Wherever audit trail is
enabled, it has been preserved by the Company as per the statutory requirements for record retention.

Note-68 | a Loans given as per regulation 34 (3) and 53(f) read with schedule v of SEBI (LODR) regulation of listing
regulation of listing regulation with stock exchanges

Assets are tested for impairment whenever there are any internal or external indicators of impairment. Impairment
test is performed at the level of each Cash Generating Unit (''CGU'') or groups of CGUs within the Company at which
the assets are monitored for internal management purposes, within an operating segment. The impairment
assessment is based on higher of value in use and value from sale calculations. During the year, the testing did not
result in any impairment in the carrying amount of other assets. The measurement of the cash generating units'' value
in use is determined based on financial plans that have been used by management for internal purposes. The
planning horizon reflects the assumptions for short to- mid-term market conditions.

Note-71 a In earlier years, the Company had acquired 35% holding (at a cost of '' 2.10 crore) in M/s. Sungaze Power Private
Limited (SPPL) which has set up a 6.50 MW solar Power Plant under Captive Power Plant (CPP) model at our Durg
Cement Plant in the state of Chhattisgarh. The Company, as a Captive User, has no role & responsibility in the
day-to-day management & operations of SPPL. As such, SPPL has not been considered as an Associate for
consolidation purposes.

b During the FY 2023-24, the Company had acquired 26% holding (at a cost of '' 21.61 crore) in M/s. Amplus
Helios Private Limited which has set up a 50.00 MW solar Power Plant under Captive Power Plant (CPP) model at
our Durg Cement Plant in the state of Chhattisgarh. The Company, as a Captive User, has no role & responsibility
in the day-to-day management & operations of Amplus Helios Private Limited. As such, Amplus Helios Private
Limited has not been considered as an Associate for consolidation purposes.

c During the financial year 2023-24, the Company acquired 85% stake in M/s. Agrani Cement Private Limited at a

total Purchase Consideration of '' 325.11 Crores. Agrani Cement Private Limited along with its 3 Wholly Owned
Subsidiaries (WOSs) have been jointly granted Mining Rights. The Company has paid Purchase Consideration of
only '' 130.11 Crores, including '' 5.00 Crores in financial year 2024-25 & the balance Purchase Consideration of
'' 195.00 Crores (Previous year '' 200 crore) is payable based on the achievement of agreed Milestones and the
said amount has been disclosed as contingent consideration in Other Financial Liabiliies (Refer note 28)

d Events occuring after the balance sheet date

No adjusting or significant non-adjusting events have occurred between the reporting date of authorization
of these financial statements.

i. The Company does not have any Benami property, where any proceeding has been initiated or pending against
the Company for holding any Benami property.

ii. The Company have not traded or invested in Crypto Currency or Virtual Currency during the financial year.

iii. The Company does not have any charges or satisfaction which is yet to be registered with ROC beyond the
statutory period.

iv. The Company has not advanced or loaned or invested funds to any other person(s) or entity(ies), including
foreign entities (Intermediaries) with the understanding that the Intermediary shall:

• Directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on
behalf of the company (Ultimate Beneficiaries) or

• Provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.

v. The Company has not received any fund from any person(s) or entity(ies), including foreign entities (Funding
Party) with the understanding (whether recorded in writing or otherwise) that the Company shall:

• Directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on
behalf of the Funding Party (Ultimate Beneficiaries) or

• Provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries

vi. The Company have no such transactions which is not recorded in the books of accounts that has been
surrendered or disclosed as income during the year in Tax assessments under Income Tax Act, 1961.

vii. The Company has been sanctioned working capital limits in excess of Rs. Five Crores. The quarterly Return of
current assets filed by the company with bank having no material variances with Book of Accounts.

(i) Amalgamation of Udaipur Cement Works Ltd, Hansdeep Industries & Trading Company Ltd & Hidrive
Developers and Industries Ltd into & with the Company.

The Board of Directors of the Company, at its Meeting held on 31^st July 2024, considered and approved a Composite
Scheme of Amalgamation and Arrangement (the "Scheme") for amalgamation of its three subsidiary Companies, viz
Udaipur Cement Works Limited, Hansdeep Industries & Trading Company Limited & Hidrive Developers and
Industries Limited (collectively the "Amalgamating Companies") into and with the Company. The Scheme has been
approved by the Hon''ble National Company Law Tribunal, Jaipur bench ("NCLT") vide its Order dated 12^th June, 2025.
The said NCLT Order was filed with the Registrar of Companies, Jaipur on July 31,2025 thereby the Scheme becoming
effective on that date.

As per the Scheme, the Appointed Date of the Scheme is April 01, 2024. Accordingly, all the Amalgamating
Companies stand merged into & with the Company and all the Assets, Liabilities, Reserves and Surplus of the
Amalgamating Companies have been transferred to and vested in the Company w.e.f the said Appointed Date of
1^st April 2024. Consequently, all the Amalgamating Companies stand dissolved without winding up.

Pursuant to the Scheme, and in accordance with the Share Swap Ratio enshrined therein, the Company will allot 4
Equity Shares of face value and paid-up value of '' 5 each for 100 Equity Shares of face value and paid-up value of ''4
each to the eligible Shareholders of the Udaipur Cement Works Limited as on Record Date of August 25, 2025 fixed
by Board of Directors. These equity shares have been presented under "Shares Pending Issuance" in the Statement of
Changes in Other Equity.

Further, Hansdeep Industries & Trading Company Ltd & Hidrive Developers and Industries Ltd being wholly owned
subsidiaries, no consideration was paid for the amalgamation of both these wholly owned subsidiaries into and with
the Company.

Pursuant to the Scheme, the Authorised Share Capital of the Company stands increased, by '' 521.51 Crores, from ''
200 Crores to '' 721.51 Crores.

(ii) Accounting Treatment

Since the amalgamated entities are under common control, the accounting of the said amalgamation has been done
applying "Pooling of Interest Method" as laid down in Appendix C - ''Business Combinations of Entities under
Common Control'' of Ind AS 103 notified under Section 133 of the Companies Act read with the Companies (Indian
Accounting Standards) Rules, 2015. In accordance with the "Pooling of Interest Method", the Company has recorded
all Assets, Liabilities & Reserves attributable to the Three Subsidiaries at their Carrying Value & the difference between
the Net Identifiable Assets & the consideration paid for the Merger has been accounted for as Capital Reserve. Further,
the previous year''s figures have been reinstated considering with the Amalgamation has taken place from the
beginning of the preceding period i.e. 1^st April 2023 as required under Appendix C of Ind AS 103. However, since
Hidrive Developers and Industries Ltd was not under Common Control as on 1^st April 2023, the same has been
considered from the date on which it came under common control i.e. 30^th August 2023.

(v) Exceptional item:

During the year ended March 31,2025, the Company has recognized stamp duty charges payable pursuant to the
amalgamation of Amalgamating Companies into and with the Company. These stamp duty charges, being directly
attributable to the amalgamation, have been classified and disclosed as an exceptional item in the revised standalone
statement of profit and loss.

Note-74 Previous year''s figures have been re-grouped / re-classified wherever necessary and figures less than '' 50,000 have
been shown as actual in bracket.

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

F_0r S S KOtHaRI MEHTA & CO LLP VINITA SINGHANIA Chairperson & Managing Director

Chartered Accountants ^{(DIN: 00042983)}

Firm Registration No.: 000756N/N500441 ^SHRIVAI^S SII\IG^HAI\II^A Dy Managing Director

(DIN: 02359242)

Dr. R.P. SINGHANIA

DEEPAK KUMAR GUPTA (DIN: 00036129)

^Partner SUDHIR A. BIDKAR BrHA^AFMUF^^ _Directors

Membership No.: 411678 ED (C_orp_orat_e Affaire) ^{(DIN: 07173244)}

SADHU RAM BANSAL

& ^CFO (DIN: 06471984)

^{Place: Ne}w ^{Delhi AMIT CHAURASIA} ARUN KUMAR SHUKLA President & Director

Date: 01^st August, 2025 Company Secretary (DIN: 09604989)

---

Mar 31, 2024

*In addition, as on 31st March 2024, there are 19 entities holding 19,04,632 Equity Shares (1.61%) and as on 31st March 2023, there are 19 entities holding 19,04,632 Equity Shares (1.61%) , who are constituents of the Promoter Group as per the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018.

d. Terms/ Rights attached to Equity Shareholders :

i) The Company has only one class of Equity Shares having a par value of Rs 5 per share. Each holder of equity shares is entitled to one vote per share held.

ii) In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the Company , after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders and are subject to prefrential rights of prefrence shares (if issued)

iii) The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting, except in case of interim dividend.

e. Nature of Reserves :-

Capital Redemption Reserve:- Represents the statutory reserve created when Preference Share Capital is redeemed.

Securities Premium:- Represents the amount received in excess of Par value of Securities.

f. During the last five years, the Company has not issued any bonus shares nor are there any shares bought back and issued for

consideration other than cash.

1 Term Loan from a Bank of '' 39.97 Crore is secured by way of an Exclusive First Charge on all the Immovable and Movable Fixed Assets of the Company''s Cement Grinding Unit in the State of Gujarat. This Term Loan is repayable in 7 equal quarterly instalments.

2 Term Loans from Banks aggregating to '' 150.00 Crore are secured by way of a Pari Passu First Charge on all the Immovable and Movable Fixed Assets of the Company''s Cement Plant in the State of Chattisgarh. These Term Loans from Banks are repayable in 6 equal Quarterly Instalments.

3 Term Loan from a Bank of '' 76.41 Crore is secured by way of an Exclusive First Charge on Movable Fixed Assets of the Company''s 20 MW Thermal Power Plant at Durg, Chattisgarh. This Term Loan is repayable in 34 unequal Quarterly Instalments.

4 Term Loan from a Bank of '' 62.68 Crore is secured by way of an Exclusive First Charge on all the Immovable & Movable Fixed Assets of the Company''s Cement Grinding Unit at Cuttack, Odisha. This Term Loan is repayable in 39 equal Quarterly Instalments.

5 Interest Free Loan (IFL) from The Director of Industries & Commerce, Haryana of '' 32.53 Crore granted to Company in relation to its Cement Grinding Unit at Jhajjar, Haryana, is secured by Bank Guarantee of equivalent amount and shall be

repaid at the end of 5th year from the respective disbursement dates. The said IFL has been recognised on Amortised Cost Basis.

6 Term Loan from a Bank of '' 162.44 Crore is secured / to be secured by way of a Pari Passu First Charge on all the Immovable and Movable Fixed Assets pertaining to the Company''s Cement Unit in the State of Rajasthan subject to the prior charges in favour of Banks on Specified Assets and Company''s Banks for Working Capital on Specified Movables Assets. This Term Loan is repayable in 21 unequal Quarterly Instalments.

7 Public Deposits represents the Deposits accepted by the Company from Public under its Fixed Deposit Scheme having maturity of 1,2 & 3 years from the date of deposits.

8 The above outstanding Term Loans are net of the Processing charges as per IND AS 109.

The Company realizes that risks are inherent & integral part of any business. The primary focus is to foresee the unpredictability of financial market & seek to minimize potential adverse effect on its financial performance. The Company''s activities are exposed to a variety of financial risks from its operations. The key financial risks include market risk (including foreign currency risk, interest rate risk and commodity risk etc.), credit risk and liquidity risk.

44.1 Market Risk: Market risk is the risk of loss of future earnings, fair values or future cash flows that may results from change in the price of a financial instrument. The value of a financial instrument may change as result of change in the interest rates, foreign currency exchange rates, equity prices and other market changes may affect market risk sensitive instruments. Market risk is attributable to all market risk sensitive financial instruments and deposits, foreign currency receivables, payables and loans and borrowings. Market risk comprises mainly three types of risk: interest rate risk, currency risk and other price risk such as equity price risk and commodity risk.

The Company has an elaborate risk management system to inform board members about risk management and minimization procedures.

a) 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 makes certain imports in foreign currency & therefore is exposed to foreign exchange risk.

The Company evaluates exchange rate exposure arising from foreign currency transactions and the Company follows established risk management policies, including the use of derivatives like foreign exchange forward contracts to hedge exposure to foreign currency risk.

Foreign Currency Sensitivity

The following table demonstrates the sensitivity to a reasonable possible change of US $ with ''all other variables held constant. The impact on the Company''s profit/(loss) before tax due to changes in foreign exchange rate:

b) Interest Rate Risk:- Interest rate risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market interest rates. Any changes in the interest rates environment may impact future rates of borrowing. The Company mitigates this risk by maintaining a proper blend of fixed & floating rate borrowings as also a mix of rupee & foreign currency borrowings. The following table shows the blend of Company''s fixed & floating rate borrowings in Indian rupee & in foreign currency.

The Company regularly scans the market & interest rate scenario to And appropriate financial Instruments & negotiates with the lenders in order to reduce the effective cost of funding

Interest Rate Sensitivity: The following table demonstrates the sensitivity to a reasonably possible change in interest rates on financial assets affected. With all other variables held constant, the Company''s profit/(loss) before tax is affected through the impact on finance cost with respect to our borrowing, as follows :-

The assumed movement in basis points for the interest rate sensitivity analysis is based on the currently observable market environment

c) Commodity Price Risk and Sensitivity: The Company is exposed to the movement in price of key raw materials in domestic and international markets. The Company manages fluctuations in raw material price through hedging in the form of advance procurement when the prices are perceived to be low and also enters into advance buying contracts as strategic sourcing initiative in order to keep raw material and prices under check, cost of material is hedged to the extent possible.

44.2 Credit Risk:

Credit risk arises from the possibility that counter party may not be able to settle their obligations as agreed. The Company

is exposed to credit risk from its operating activities (primarily trade receivables).

a) Trade Receivables:- Customer credit risk is managed based on Company''s established policy, procedures and controls. The Company periodically assesses the financial reliability of customers, taking into account the financial

conditions, current economic trends, and analysis of historical bad debts and aging of trade receivables. Individual credit risk limits are set accordingly.

The credit risk from the organized and bigger buyers is reduced by securing bank guarantees/letter of credits/part advance payments/post dated cheques. The outstanding''s of different parties are reviewed periodically at different level of organization. The outstanding from the trade segment is secured by two tier security - security deposit from the dealer himself, and our business associates who manage the dealers are also responsible for the outstanding from any of the dealers in their respective region. Impairment analysis is performed based on historical data at each reporting period on an individual basis. For aging of trade receivables refer note 12.

b) Financial Instruments and Deposits with Banks: The Company considers factors such as track record, size of institution, market reputation and service standards to select the bank with which balances and deposits are maintained. Generally, balances are maintained with the institutions with which the Company has also availed borrowings. The Company does not maintain significant cash and deposit balances other than those required for its day to day operation.

44.3 Liquidity Risk:

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial liabilities that are settled by delivering cash or another financial asset. The Company''s approach is to ensure, as far as possible, that it will have sufficient liquidity to meet its liabilities when due.

The Company relies on a mix of borrowings, and excess operating cash flows to meet its needs for funds. The current committed lines of credit are sufficient to meet its short to medium term expansion needs. The Company monitors rolling forecasts of its liquidity requirements to ensure it has sufficient cash to meet operational needs while maintaining sufficient headroom on its undrawn committed borrowings facilities at all times so that the Company does not breach borrowing limits or covenants (where applicable) on any of its borrowing facilities.

I Note-45 Capital Risk Management

The Company manages its capital structure and makes adjustments in light of changes in economic conditions and the requirements of the financial covenants. The Company''s primary objective when managing capital is to ensure that it maintains an efficient capital structure and healthy capital ratios and safeguard the Company''s ability to continue as a going concern in order to support its business and provide maximum returns for shareholders. The Company also proposes to maintain an optimal structure to reduce the cost of capital.

For the purpose of the Company''s capital management, capital includes issued capital, securities premium and all other equity reserves. Net debt includes, interest bearing loans and borrowings less cash and short term deposits.

Fair Valuation Techniques:

The Company maintains policies and procedures to value Financial Assets & Financial Liabilities using the best and most relevant data available. The fair values of the financial assets and liabilities are included at the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The following methods and assumptions were used to estimate the fair values:-

1 Fair Value of cash and deposits, trade receivables, trade payables, and other current financial assets and liabilities approximate their carrying amounts largely due to the short-term maturities of these instruments.

2 Other non-current receivables are evaluated by the Company, based on parameters such as interest rates, individual creditworthiness of the counterparty etc. Based on this evaluation, allowances are considered to account for the expected losses of these receivables. As at end of each reporting year, the carrying amounts of such receivables, net of allowances (if any), are not materially different from their calculated fair values.

3 Fair Value of Investments in quoted Mutual Funds and Equity Shares are based on quoted market price at the reporting date. The fair value of unquoted investments in Preference Shares are estimated by discounting future cash flows using rates currently available for debt on similar terms, credit risk and remaining maturities. The fair value of unquoted investments in equity shares are estimated on net assets basis.

4 Fair Value of borrowings from banks and other non-current financial liabilities, are estimated by discounting future cash flows using rates currently available for debt on similar terms and remaining maturities.

5 The Fair Values of Derivatives are calculated using the RBI reference rate as on the reporting date as well as other variable parameters.

Fair Value Hierarchy:

The following table provides the fair value measurement hierarchy of Company''s asset and liabilities, grouped into Level 1 to Level 3 as described below:

Level 1: Quoted prices in active markets.

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

Level 3: Inputs that are not based on observable market data.

The following table provides the fair value measurement hierarchy of Company''s asset and liabilities, grouped into Level 1 to Level 3 as described below:

There have been no transfers between Level 1 ,Level 2 and Level 3 during the year ended March 31,2024 ¦ Note-47 Segment Information:

The Company is engaged primarily into manufacturing of cement. The Company has only one business segment as identified by management namely cementious materials. Segments have been identified taking into account nature of product and differential risk and returns of the segment. The business segments are reviewed by the vice chairman & managing director of the Company (Chief Operating Decision Maker).

Information about major customers

There are no revenues from transactions with a single external customer amounting to 10 per cent or more of an entity''s revenues during the current and previous year.

@ The Government of India has inserted a New Section 115 BAA in the Income Tax Act, 1961 which provides an option to the Company for paying Income Tax at reduced rates, subject to certain conditions. The Company is continuing to provide for Income Tax at Higher Old Rates, based on available MAT Credit Entitlement & various available exemptions / deductions. However, the Company has applied the Lower Income Tax Rates on Deferred Tax Assets / Liabilities to the extent there are expected to be realized or settled in future when the Company may be subjected to Lower Tax Rate and accordingly during the Year ended 31^st March 2024, the Company has reversed the Deferred Tax Liability of Nil (Previous year '' 12.00 Crores)

Reason for Variance

A Current Ratio has declined due to increase in Current Liabilities and decrease in Current Assets.

B Net Capital Turnover Ratio has improved due to increase in turnover and reduction of Average working capital.

Note-53 | Estimated amount of contracts remaining to be executed on capital account (net of advances) '' 98.49 crore (previous year '' 58.00 crore).

Note-55 In respect of certain disallowances and additions made by the income tax authorities, appeals are pending before the appellate authorities and adjustment, if any, will be made after the same are finally settled.

Note-56 Contingent liability for non-use of jute bags for cement packing upto June 30, 1997, as per Jute Packaging Materials (compulsory use of packaging commodities) Act, 1987 is not ascertained and the matter is subjudice. The Government has excluded cement industry from application of the said order from July 01,1997.

Note-57 Competition Commission of India (CCI) vide its order dated January 19, 2017 had imposed penalty on certain cement companies including a penalty of '' 6.55 crore on the Company pursuant to a reference fled by the government of Haryana. The Company has fled an appeal with Competition Appellate Tribunal (COMPAT) against the said order. COMPAT has granted a stay on CCI order. After the merger of COMPAT with National Company Law Appellate Tribunal (NCLAT), the Company''s case also stands transferred to NCLAT.

Although based on legal opinion, the Company believes that it has a good case but out of abundant caution the Company had provided full amount during the earlier years.

Reason for Shortfall - On account of Ongoing Projects and Deposited in a Separate Bank Account. b Foreign exchange fluctuation of gain (net) '' 5.67 crore (previous year gain (net) '' 1.30 crore). c Consumption of stores and spares is net of scrap sale '' 3.51 crore (previous year '' 6.66 crore). d Miscellaneous expenses include, contribution of '' 5.00 crore (previous year '' 3.00 crore) made to a political party/electoral board as prescribed u/s 182 of the Companies Act, 2013 Note-59 During the year the Company has received subsidy of '' 0.21 crore (previous year '' 0.21 crore) in terms of Industrial & Investment Policy, 2011 (Haryana) towards exemption from electricity duty, which been netted from power & fuel expenses.

OCI presentation of Defined Benefit plan

Gratuity is in the nature of defined benefit plan, re-measurement gains/(losses) on defined benefit plans is shown under OCI as Items that will not be reclassified to profit or loss and also the income tax effect on the same.

Presentation in Statement of Profit & Loss and Balance Sheet

Expense for service cost, net interest on net defined benefit liability (asset) is charged to statement of profit & loss. IND AS 19 does not require segregation of provision in current and non-current, however net defined liability (assets) is shown as current and non-current provision in balance sheet as per IND AS 1.

Actuarial liability for short term benefits (leave encashment cost) is shown as current and non-current provision in balance sheet. When there is surplus in defined benefit plan, company is required to measure the net defined benefit asset at the lower of; the surplus in the defined benefit plan and the assets ceiling, determined using the discount rate specified, i.e. market yield at the end of the reporting period on government bonds, this is applicable for domestic companies, foreign company can use corporate bonds rate.

The company assesses these assumptions with its projected long-term plans of growth and prevalent industry standards. The mortality rates used are as published by one of the leading life insurance companies in India.

* As the liability for gratuity and leave encashment are provided on actuarial basis for the company as a whole. The amount pertaining to KMPs are not included above.

The transactions with related parties have been made on terms equivalent to those that prevail in arm''s length transactions.

B. Other transactions with KMPs

During the year the Company has paid '' 4.08 Crore to each of Shri Bharat Hari Singhania (Chairman), Smt. Vinita Singhania (Vice Chairperson & Managing Director) and Dr. Raghupati Singhania (Non-Independent & NonExecutive Director) for acquisition of Equity Shares of Hidrive Developers and Industries Pvt. Ltd.

Note-64 Derivative Financial Instruments

The Company uses foreign currency denominated borrowings and foreign exchange forward contracts (including option contracts - seagull structure) to manage some of its transaction exposures. The foreign exchange forward contracts and foreign exchange option contracts are not designated as cash flow hedges and are entered into for periods consistent with foreign currency exposure of the underlying transactions, generally from one to thirty six months.

Foreign Currency Risk

The Company has entered into foreign exchange forward contracts and foreign exchange option contracts with the intention to reduce the foreign exchange risk on repayment of buyer''s credit and foreign currency loan, these contracts are not designated in hedge relationships and are measured at fair value through profit or loss.

Note-66 The Company has given Corporate Guarantee to the Bankers of Udaipur Cement Works Limited (UCWL), a 75% subsidiary of the Company for collaterally securing their Term Loans aggregating to '' 1639.79 Crore (Outstanding as on 31.3.2024 is '' 1220.77 Crore) (Previous Year : '' 1639.79 Crore incl. NCDs of '' 350 Crore - Outstanding '' 1002.13 Crore incl. NCDs of '' 350 Crore) .

The Company has received a Counter Indemnity of '' 1639.79 Crore from UCWL against above Corporate Guarantee given by the Company

Note-67 | a Udaipur Cement Works Ltd (UCWL), the 75% Subsidiary of the Company has successfully completed the Rights Issue of '' 448.43 Crores in July 2023. The Proceeds of the Rights Issue have been deployed by UCWL in their Expansion Project. After the Rights Issue, the Company''s Shareholding in UCWL has increased from 72.54% to 75%.

b Hansdeep Industries and Trading Company Ltd,(HITCL) the wholly owned subsidiary of the company (JKLC) has been declared as Preferred Bidder for one of Limestone Block 4GIIA located at Dist. Nagaur, Rajasthan by Directorate of Mines & Geology Department, Udaipur. As per the terms of allotment the HITCL has to make total payments of '' 43.21 Crore. The HITCL has made the payment of '' 8.65 Crore upto 31^st March,2024 (Previous year '' 8.65 Crore)

This Limestone Mines would be transferred by HITCL to JKLC at some stage, in future, after obtaining requisite approval from the Government of Rajasthan.

Note-68 a Loans and Advances pursuant to regulation 23(3) read with schedule of the SEBI (Listing Obligation and Disclosure Requirements) Regulation 2015

An amount of '' 3.33 crore (including '' 3.33 crore receivable within one year) (previous year '' 6.67 crore) (maximum balance due '' 6.67 crore, previous year '' 10.00 crore) due from BACL and arising out of an earlier scheme of reconstruction, arrangement and demerger sanctioned by Hon''ble High Courts of Rajasthan (Jodhpur) and Delhi.

(Loans / Advances to employees as per Company''s policy are not considered.)"

b Loans given as per regulation 34 (3) and 53(f) read with schedule v of SEBI (LODR) regulation of listing regulation of listing regulation with stock exchanges.

c Disclosure of transaction in pursuant to regulation 34(3) read with schedule V, part A, clause 2 of the SEBI (Listing Obligation and Disclosure Requirements) Regulation 2015, with promoter/promoter group companies holding more than 10% of equity share capital of the Company

d Details of loans given, investments made and guarantee given covered u/s 186(4) of the Companies Act 2013.

The company has given loan to Subsidiary, Udaipur Cement Works Ltd (UCWL) amounting to nil (Previous year '' 85.40 Crore) against the proposed right issue by the Udaipur Cement Works Ltd. The Company has also given Corporate guarantee of '' 1220.77 Crore to the Bank for a long term loan availed by its Subsidiary, Udaipur Cement Works Ltd (Previous Year '' 1052.13 Crore).

Note-69 A Impairment review :

Assets are tested for impairment whenever there are any internal or external indicators of impairment. Impairment test is performed at the level of each Cash Generating Unit (''CGU'') or groups of CGUs within the Company at which the assets are monitored for internal management purposes, within an operating segment. The impairment assessment is based on higher of value in use and value from sale calculations. During the year, the testing did not result in any impairment in the carrying amount of other assets (except CWIP, refer note 2A). The measurement of the cash generating units'' value in use is determined based on financial plans that have been used by management for internal purposes. The planning horizon reflects the assumptions for short to-mid-term market conditions.

Key assumptions used in value-in-use calculations are:

(i) Operating margins (Earnings before interest and taxes),

(ii) Discount Rate and

(iii) Growth Rates and (iv) Capital Expenditure

B Events occurring after the balance sheet date

No adjusting or significant non-adjujsting events have occured between the reporting date and date of authorization of these financial statements

Note-71 a In earlier years, the Company had acquired 35% holding (at a cost of '' 2.10 crore) in M/s. Sungaze Power Private Limited (SPPL) which has set up a 6.50 MW solar Power Plant under Captive Power Plant (CPP) model at our Durg Cement Plant in the state of Chhattisgarh. The Company, as a Captive User, has no role & responsibility in the day-to-day management & operations of SPPL. As such, SPPL has not been considered as an Associate for consolidation purposes.

b During the FY 2023-24, the Company had acquired 26% holding (at a cost of '' 21.61 crore) in M/s. Amplus Helios Private Limited which has set up a 50.00 MW solar Power Plant under Captive Power Plant (CPP) model at our Durg Cement Plant in the state of Chhattisgarh. The Company, as a Captive User, has no role & responsibility in the day-to-day management & operations of Amplus Helios Private Limited. As such, Amplus Helios Private Limited has not been considered as an Associate for consolidation purposes.

Note-72 a During the year, the Company has acquired 85% stake in M/s. Agrani Cement Private Limited at a total Purchase Consideration of '' 325.11 Crores. Agrani Cement Private Limited along with its 3 Wholly Owned Subsidiaries (WOS) have been jointly granted Mining Rights. The Company has paid Purchase Consideration of only '' 125.11 Crores & the balance Purchase Consideration of '' 200 Crores is payable based on the achievement of agreed Milestones.

b During the year the Company has acquired 100% stake in Hidrive Developers and Industries Pvt. Ltd. at a total consideration of '' 16.32 Crores. Subsequent to acquisition the Company invested additional amount of '' 11.00 Crores against fresh isuue of Equity Share Cpaital by Hidrive Developers and Industries Pvt. Ltd.

Note-73 Other statutory information

i. The Company does not have any Benami property, where any proceeding has been initiated or pending against the Company for holding any Benami property.

ii. The Company have not traded or invested in Crypto Currency or Virtual Currency during the financial year.

iii. The Company does not have any charges or satisfaction which is yet to be registered with ROC beyond the statutory period.

iv. The Company has not advanced or loaned or invested funds to any other person(s) or entity(ies), including foreign entities (Intermediaries) with the understanding that the Intermediary shall:

• Directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on

behalf of the company (Ultimate Beneficiaries) or

• Provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries."

v. The Company has not received any fund from any person(s) or entity(ies), including foreign entities (Funding Party) with the understanding (whether recorded in writing or otherwise) that the Company shall:

• Directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party (Ultimate Beneficiaries) or ^{1 1}

• Provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries"

vi. The Company have no such transactions which is not recorded in the books of accounts that has been surrendered or disclosed as income during the year in Tax assessments under Income Tax Act, 1961.

vii. The quarterly Return of current assets filed by the Company with Bank having no material variances with Books of Account.

ix. The Company had made the assessment for books of accounts as per definition in the Act and identified SAP as accounting Software used for the Creation and maintenance of books of accounts which have a feature of recording audit trail (Edit Log) facility and the same has operated throughout the year for all relevant transactions recorded. Further, in case of the Company, audit trail (edit log) facility was enabled and operated throughout the year, we did not come across any instance of the audit trail feature being tempered with. However, the audit trail feature facility was not enabled at the database level to log any data changes for the accounting software used for maintaining the books of accounts.

Note-74 Previous year''s figures have been re-grouped/re-classified wherever necessary and figures less than '' 50000 have been shown as actual in bracket.

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Mar 31, 2023

*In addition, as on 31st March 2023, there are 19 entities holding 17,94,632 Equity Shares (1.61%) and as on 31st March 2022, there are 20 entities holding 17,94,632 Equity Shares (1.61%) , who are constituents of the Promoter Group as per the SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2018.

d. Terms/ Rights attached to equity shareholders :

i) The Company has only one class of Equity Shares having a par value of Rs 5 per share. Each holder of equity shares is entitled to one vote per share held.

ii) In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the Company , after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders and are subject to prefrential rights of prefrence shares (if issued)

iii) The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting, except in case of interim dividend.

e. Nature of Reserves :-

Capital Redemption Reserve:- Represents the statutory reserve created when Preference Share Capital is redeemed.

Securities Premium:- Represents the amount received in excess of Par value of Securities.

Debenture Redemption Reserve :- Represents the Statutory Reserve for Non Convertibles Debentures issued by the Company.

f. During the last five years, the Company has not issued any bonus shares nor are there any shares bought back and issued for consideration other than cash.

1 Term Loan from Bank aggregating to '' 12.35 Crore is secured by way of a First Charge on all the Immovable and Movable Fixed Assets pertaining to the Company''s Cement Unit in the State of Rajasthan, ranking pari-passu with the charges created on the said Assets subject to the prior charges in favour of Banks on Specified Assets and Company''s Banks for Working Capital on Specified Movables Assets. This Term Loan is repayable in 4 equal Quarterly Instalments.

2 Term Loan from a Bank of '' 6.44 Crore is secured by way of an Exclusive First Charge on Immovable & Movable Fixed Assets of the Company''s Cement Grinding Unit in the State of Haryana. This Term Loan is repayable in 3 equal Quarterly Instalments.

3 Term Loan from a Bank of '' 62.81 Crore is secured by way of an Exclusive First Charge on all the Immovable and Movable Fixed Assets of the Company''s Cement Grinding Unit in the State of Gujarat. This Term Loan is repayable in 11 equal quarterly instalments

4 Term Loans from Banks aggregating to '' 250.00 Crore are secured by way of a Pari Passu First Charge on all the Immovable and Movable Fixed Assets of the Company''s Cement Plant in the State of Chattisgarh. These Term Loans from Banks are repayable in 10 equal Quarterly Instalments.

5 Term Loan from a Bank of '' 82.78 Crore is secured by way of an Exclusive First Charge on Movable Fixed Assets of the Company''s 20 MW Thermal Power Plant at Durg, Chattisgarh. This Term Loan is repayable in 38 unequal Quarterly Instalments.

6 Term Loan from a Bank of '' 69.11 Crore is secured by way of an Exclusive First Charge on all the Immovable & Movable Fixed Assets of the Company''s Cement Grinding Unit at Cuttack, Odisha. This Term Loan is repayable in 43 equal Quarterly Instalments.

7 Interest Free Loan (IFL) from The Director of Industries & Commerce, Haryana of '' 68.53 Crore granted to Company in relation to its Cement Grinding Unit at Jhajjar, Haryana, is secured by Bank Guarantee of equivalent amount and shall be repaid at the end of 5th year from the respective disbursement dates. The said IFL is recognised on amortised cost basis.

8 Foreign Currency Term Loan (ECB) from a Bank of '' 203.94 Crore are secured by way of a Pari Passu First Charge on all the Immovable and Movable Fixed Assets pertaining to the Company''s Cement Unit in the State of Rajasthan subject to the prior charges in favour of Banks on Specified Assets and Company''s Banks for Working Capital on Specified Movables Assets. This ECB is repayable in 7 unequal Annual Instalments commencing from 28th September 2023

9 Public Deposits represents the Deposits accepted by the Company from Public under its Fixed Deposit Scheme having maturity of 1,2 & 3 years from the date of deposits.

10 The above outstanding Term Loans are net of the Processing charges as per IND AS 109

The Company realizes that risks are inherent & integral part of any business. The primary focus is to foresee the unpredictability of financial market & seek to minimize potential adverse effect on its financial performance. The Company''s activities are exposed to a variety of financial risks from its operations. The key financial risks include market risk (including foreign currency risk, interest rate risk and commodity risk etc.), credit risk and liquidity risk.

44.1 Market Risk: Market risk is the risk of loss of future earnings, fair values or future cash flows that may results from change in the price of a financial instrument. The value of a financial instrument may change as result of change in the interest rates, foreign currency exchange rates, equity prices and other market changes may affect market risk sensitive instruments. Market risk is attributable to all market risk sensitive financial instruments and deposits, foreign currency receivables, payables and loans and borrowings. Market risk comprises mainly three types of risk: interest rate risk, currency risk and other price risk such as equity price risk and commodity risk.

The Company has an elaborate risk management system to inform board members about risk management and minimization procedures.

a) 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 makes certain imports in foreign currency & therefore is exposed to foreign exchange risk.

The Company evaluates exchange rate exposure arising from foreign currency transactions and the Company follows established risk management policies, including the use of derivatives like foreign exchange forward contracts to hedge exposure to foreign currency risk.

Foreign Currency Sensitivity

The following table demonstrates the sensitivity to a reasonable possible change of US $ with ''all other variables held constant. The impact on the Company''s profit/(loss) before tax due to changes in foreign exchange rate :

The assumed movement in basis points for the interest rate sensitivity analysis is based on the currently observable market environment.

(c) Commodity Price Risk and Sensitivity:

The Company is exposed to the movement in price of key raw materials in domestic and international markets. The Company manages fluctuations in raw material price through hedging in the form of advance procurement when the prices are perceived to be low and also enters into advance buying contracts as strategic sourcing initiative in order to keep raw material and prices under check, cost of material is hedged to the extent possible.

44.2 Credit Risk:

Credit risk arises from the possibility that counter party may not be able to settle their obligations as agreed. The Company is exposed to credit risk from its operating activities (primarily trade receivables).

Trade Receivables:- Customer credit risk is managed based on Company''s established policy, procedures and controls. The Company periodically assesses the financial reliability of customers, taking into account the financial conditions, current economic trends, and analysis of historical bad debts and aging of trade receivables. Individual credit risk limits are set accordingly.

The credit risk from the organized and bigger buyers is reduced by securing bank guarantees/letter of credits/part advance payments/post dated cheques. The outstanding''s of different parties are reviewed periodically at different level of organization. The outstanding from the trade segment is secured by two tier security - security deposit from the dealer himself, and our business associates who manage the dealers are also responsible for the outstanding from any of the dealers in their respective region. Impairment analysis is performed based on historical data at each reporting period on an individual basis. Foraging of trade receivables refer note 12

Financial Instruments and Deposits with Banks:

The Company considers factors such as track record, size of institution, market reputation and service standards to select the bank with which balances and deposits are maintained. Generally, balances are maintained with the institutions with which the Company has also availed borrowings. The Company does not maintain significant cash and deposit balances other than those required for its day to day operation.

44.3 Liquidity Risk:

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial liabilities that are settled by delivering cash or another financial asset. The Company''s approach is to ensure, as far as possible, that it will have sufficient liquidity to meet its liabilities when due.

The Company relies on a mix of borrowings, and excess operating cash flows to meet its needs for funds. The current committed lines of credit are sufficient to meet its short to medium term expansion needs. The Company monitors rolling forecasts of its liquidity requirements to ensure it has sufficient cash to meet operational needs while maintaining sufficient headroom on its undrawn committed borrowings facilities at all times so that the Company does not breach borrowing limits or covenants (where applicable) on any of its borrowing facilities.

Maturity Profile of Financial Liabilities:

The following table provides undiscounted cash flows towards financial liabilities* into relevant maturity based on the remaining period at the balance sheet to the contractual maturity date.

Note-45 Capital Risk Management

The Company manages its capital structure and makes adjustments in light of changes in economic conditions and the requirements of the financial covenants. The Company''s primary objective when managing capital is to ensure that it maintains an efficient capital structure and healthy capital ratios and safeguard the Company''s ability to continue as a going concern in order to support its business and provide maximum returns for shareholders. The Company also proposes to maintain an optimal structure to reduce the cost of capital.

For the purpose of the Company''s capital management, capital includes issued capital, securities premium and all other equity reserves. Net debt includes, interest bearing loans and borrowings less cash and short term deposits

Fair Valuation Techniques:

The Company maintains policies and procedures to value Financial Assets & Financial Liabilities using the best and most relevant data available. The fair values of the financial assets and liabilities are included at the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The following methods and assumptions were used to estimate the fair values:-

1. Fair Value of cash and deposits, trade receivables, trade payables, and other current financial assets and liabilities approximate their carrying amounts largely due to the short-term maturities of these instruments.

2. Other non-current receivables are evaluated by the Company, based on parameters such as interest rates, individual creditworthiness of the counterparty etc. Based on this evaluation, allowances are considered to account for the expected losses of these receivables. As at end of each reporting year, the carrying amounts of such receivables, net of allowances (if any), are not materially different from their calculated fair values.

3. Fair Value of Investments in quoted Mutual Funds and Equity Shares are based on quoted market price at the reporting date. The fair value of unquoted investments in Preference Shares are estimated by discounting future cash flows using rates currently available for debt on similar terms, credit risk and remaining maturities. The fair value of unquoted investments in equity shares are estimated on net assets basis.

4. Fair Value of borrowings from banks and other non-current financial liabilities, are estimated by discounting future cash flows using rates currently available for debt on similar terms and remaining maturities.

5. The Fair Values of Derivatives are calculated using the RBI reference rate as on the reporting date as well as other variable parameters.

Fair Value Hierarchy:

The following table provides the fair value measurement hierarchy of Company''s asset and liabilities, grouped into Level 1 to Level 3 as described below:

i. Level 1: Quoted prices in active markets.

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

iii. Level 3: Inputs that are not based on observable market data.

Note-47 Segment Information:

The Company is engaged primarily into manufacturing of cement. The Company has only one business segment as identified by management namely cementious materials. Segments have been identified taking into account nature of product and differential risk and returns of the segment. The business segments are reviewed by the vice chairman & managing director of the Company (Chief Operating Decision Maker).

Information about major customers

@ The Government of India has inserted a New Section 115 BAA in the Income Tax Act, 1961 which provides an option to the Company for paying Income Tax at reduced rates, subject to certain conditions. The Company is continuing to provide for Income Tax at Higher Old Rates, based on available MAT Credit Entitlement & various available exemptions / deductions. However, the Company has applied the Lower Income Tax Rates on Deferred Tax Assets / Liabilities to the extent there are expected to be realized or settled in future when the Company may be subjected to Lower Tax Rate and accordingly during the Year ended 31^st March 2023, the Company has reversed the Deferred Tax Liability of '' 12.00 Crores (Previous year '' 88.60 Crores)

Note-55 In respect of certain disallowances and additions made by the income tax authorities, appeals are pending before the appellate authorities and adjustment, if any, will be made after the same are finally settled.

Note-56 Contingent liability for non-use of jute bags for cement packing upto June 30, 1997, as per Jute Packaging Materials (compulsory use of packaging commodities) Act, 1987 is not ascertained and the matter is subjudice. The Government has excluded cement industry from application of the said order from July 01,1997.

Note-57 Competition Commission of India (CCI) vide its order dated January 19, 2017 had imposed penalty on certain cement companies including a penalty of ^ 6.55 crore on the Company pursuant to a reference fled by the government of Haryana. The Company has fled an appeal with Competition Appellate Tribunal (COMPAT) against the said order. COMPAT has granted a stay on CCI order. After the merger of COMPAT with National Company Law Appellate Tribunal (NCLAT), the Company''s case also stands transferred to NCLAT.

Although based on legal opinion, the Company believes that it has a good case but out of abundant caution the Company had been provided full amount during the earlier years.

OCI presentation of Defined Benefit plan

Gratuity is in the nature of defined benefit plan, re-measurement gains/(losses) on defined benefit plans is shown under OCI as Items that will not be reclassified to profit or loss and also the income tax effect on the same.

Presentation in Statement of Profit & Loss and Balance Sheet

Expense for service cost, net interest on net defined benefit liability (asset) is charged to statement of profit & loss. IND AS 19 does not require segregation of provision in current and non-current, however net defined liability (assets) is shown as current and non-current provision in balance sheet as per IND AS 1.

Actuarial liability for short term benefits (leave encashment cost) is shown as current and non-current provision in balance sheet. When there is surplus in defined benefit plan, company is required to measure the net defined benefit asset at the lower of; the surplus in the defined benefit plan and the assets ceiling, determined using the discount rate specified, i.e. market yield at the end of the reporting period on government bonds, this is applicable for domestic companies, foreign company can use corporate bonds rate.

The company assesses these assumptions with its projected long-term plans of growth and prevalent industry standards. The mortality rates used are as published by one of the leading life insurance companies in India.

Note-63 Derivative Financial Instruments

The Company uses foreign currency denominated borrowings and foreign exchange forward contracts (including option contracts - seagull structure) to manage some of its transaction exposures. The foreign exchange forward contracts and foreign exchange option contracts are not designated as cash flow hedges and are entered into for periods consistent with foreign currency exposure of the underlying transactions, generally from one to thirty six months.

Foreign Currency Risk

The Company has entered into foreign exchange forward contracts and foreign exchange option contracts with the intention to reduce the foreign exchange risk on repayment of buyer''s credit and foreign currency loan, these contracts are not designated in hedge relationships and are measured at fair value through profit or loss.

Forward & Option Contract outstanding for the purpose of hedging at the Balance Sheet Date

Note-65 The Company has given Corporate Guarantee to the Bankers of Udaipur Cement Works Limited (UCWL), a 72.54% subsidiary of the Company for collaterally securing for the following facilities granted by Banks to UCWL

(i) The Term Loans aggregating to '' 1289.79 Crore (Outstanding as on 31.3.2023 is '' 652.13 Crore) (Previous Year : '' 565 Crore - Outstanding '' 506.27 Crore) and

(ii) The Working Capital Facilities of '' 50.00 Crore (Previous Year : '' 50.00 Crore )

The Company has received a Counter Indemnity of '' 1339.79 Crore from UCWL against above Corporate Guarantee given by the Company

The Company has also given Corporate Guarantee to the Trustee of Guaranteed Rated Listed Redeemable Non Convertible Debentures of '' 350.00 Crore (Outstanding as on 31.3.2023 is '' 350.00 Crore) (Previous Year : Unlisted Redeemable Non Convertible Debentures of '' 350.00 Crore (Outstanding as on 31.3.2022 is '' 350.00 Crore)) issued on Private Placement Basis by its Subsidiary Udaipur Cement Works Ltd. (UCWL). The Company has received a Counter Indemnity of '' 350.00 Crore from UCWL against this Corporate Guarantee.

Note-66 a. Udaipur Cement Works Ltd (UCWL) (a 72.54% Subsidiary of the Company) is proposing a Rights Issue upto an amount of '' 450 Crores to part-finance its ongoing Cement Expansion Project. Apart from Subscription to its Rights Entitlement, the Company shall also be subscribing to any unsubscribed portion of the Public Shareholding of 27.46% in the Proposed Rights Issue of UCWL. Pending the launch of the Rights Issue by UCWL, the Company has given an Unsecured Loan of '' 85.40 Crores to UCWL. b. Hansdeep Industries and Trading Company Ltd,(HITCL) the wholly owned subsidiary of the company (JKLC) has been declared as Preferred Bidder for one of Limestone Block 4GIIA located at Dist. Nagaur, Rajasthan by Directorate of Mines & Geology Department, Udaipur. As per the terms of allotment the HITCL has to make total payments of '' 43.21 Crore. The HITCL has made the payment of '' 8.65 Crore upto 31st March,2023.

This Limestone Mines would be transferred by HITCL to JKLC at some stage, in future, after obtaining requisite approval from the Government of Rajasthan.

Note-67 a) Loans and Advances pursuant to regulation 23(3) read with schedule of the SEBI (Listing Obligation and Disclosure Requirements) Regulation 2015

An amount of '' 6.67 crore (including '' 3.33 crore receivable within one year) (previous year '' 10.00 crore) (maximum balance due '' 10.00 crore, previous year '' 13.34 crore) due from BACL and arising out of an earlier scheme of reconstruction, arrangement and demerger sanctioned by Hon''ble High Courts of Rajasthan (Jodhpur) and Delhi. (Loans / Advances to employees as per Company''s policy are not considered.)

b) Loans given as per regulation 34 (3) and 53(f) read with schedule v of SEBI (LODR) regulation of listing regulation of listing regulation with stock exchanges.

Loan given to Udaipur Cement Works Limited is '' 85.40 crore (previous year '' 10 crore). Maximum balance outstanding during the year is '' 95.40 crore. ICD given to Bengal & Assam Company Limited is nil crore (previous year '' 10 crore) Maximum balance outstanding during the year is '' 10 crore (previous year '' 40 crore).

d) Details of loans given, investments made and guarantee given covered u/s 186(4) of the Companies Act 2013.

The company has given loan to Subsidiary, Udaipur Cement Works Ltd (UCWL) amounting to '' 85.40 Crore (Previous year '' 10 Crore for general business purpose) against the proposed right issue by the Udaipur Cement Works Ltd. The Company has also given Corporate guarantee of '' 1052.13 Crore to the Bank for a long term loan and working capital facility availed by its Subsidiary, Udaipur Cement Works Ltd (Previous Year '' 906.27 Crore).

Note-68 During the year the Company has received subsidy of '' 0.21 crore (previous year '' 0.21 crore) in terms of Industrial & Investment Policy, 2011 (Haryana) towards exemption from electricity duty, which been netted from power & fuel expenses.

Note-69 A. Impairment review :

Assets are tested for impairment whenever there are any internal or external indicators of impairment. Impairment test is performed at the level of each Cash Generating Unit (''CGU'') or groups of CGUs within the Company at which the assets are monitored for internal management purposes, within an operating segment. The impairment assessment is based on higher of value in use and value from sale calculations. During the year, the testing did not result in any impairment in the carrying amount of other assets (except CWIP, refer note 2A). The measurement of the cash generating units'' value in use is determined based on financial plans that have been used by management for internal purposes. The planning horizon reflects the assumptions for short to- mid-term market conditions

b. Provision of nil (previous year '' 64.42 crore) made for matters under sub-judice

c. Net of the Provision nil (previous year '' 75.68 crore) written back for the matters under sub-judice settled during the Year.

Note-72 Other statutory information

i. The Company does not have any Benami property, where any proceeding has been initiated or pending against the Company for holding any Benami property.

ii. The Company have not traded or invested in Crypto Currency or Virtual Currency during the financial year.

iii. The Company does not have any charges or satisfaction which is yet to be registered with ROC beyond the statutory period.

iv. The Company has not advanced or loaned or invested funds to any other person(s) or entity(ies), including foreign entities (Intermediaries) with the understanding that the Intermediary shall:

• directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the company (Ultimate Beneficiaries) or

• provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.

v. The Company has not received any fund from any person(s) or entity(ies), including foreign entities (Funding Party) with the understanding (whether recorded in writing or otherwise) that the Company shall:

• directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party (Ultimate Beneficiaries) or

• provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries

vi. The Company have no such transactions which is not recorded in the books of accounts that has been surrendered or disclosed as income during the year in Tax assessments under Income Tax Act, 1961.

vii. The quarterly Return of current assets filed by the Company with Bank having no material variances with Books of Account, through the Company has not utlised limit during the year.

Note-73 In earlier years, the Company had acquired 35% holding (at a cost of '' 2.10 crore) in M/s. Sungaze Power Private Limited (SPPL) which has set up a 6.50 MW solar Power Plant under Captive Power Plant (CPP) model at our Durg Cement Plant in the state of Chhattisgarh. The Company, as a Captive User, has no role & responsibility in the day-today management & operations of SPPL. As such, SPPL has not been considered as an Associate for consolidation purposes.

Note-74 Previous year''s figures have been re-grouped/re-classified wherever necessary and figures less than '' 50000 have been shown as actual in bracket.

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Mar 31, 2022

d. Terms/ Rights attached to equity shareholders :

i) The Company has only one class of Equity Shares having a par value of Rs 5 per share. Each holder of equity shares is entitled to one vote per share held.

ii) In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the Company , after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders and are subject to prefrential rights of prefrence shares (if issued)

iii) The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting, except in case of interim dividend.

e. Nature of Reserves :-

Capital Redemption Reserve:- Represents the statutory reserve created when Preference Share Capital is redeemed. Securities Premium:- Represents the amount received in excess of Par value of Securities.

f. During the last five years, the Company has not issued any bonus shares nor are there any shares bought back and issued for consideration other than cash.

1 Term Loan from Bank aggregating to '' 25.00 Crore is secured by way of a First Charge on all the Immovable and Movable Fixed Assets pertaining to the Company''s Cement Unit in the State of Rajasthan, ranking pari-passu with the charges created on the said Assets subject to the prior charges in favour of Banks on Specified Assets and Company''s Banks for Working Capital on Specified Movables Assets. This Term Loan is repayable in 8 equal Quarterly Instalments.

2 Term Loan from a Bank of '' 15.31 Crore is secured by way of an Exclusive First Charge on Immovable & Movable Fixed Assets of the Company''s Cement Grinding Unit in the State of Haryana. This Term Loan is repayable in 7 equal Quarterly Instalments.

3 Term Loan from a Bank of '' 5.00 Crore is secured by way of an Exclusive First Charge on Movable Fixed Assets of the Company''s AAC Block Unit in the State of Haryana,. This Term Loan is repayable in 4 equal Quarterly Instalments.

4 Foreign Currency Term Loan (ECB) from a Bank of '' 187.36 Crore are secured by way of a Pari Passu First Charge on all the Immovable and Movable Fixed Assets pertaining to the Company''s Cement Unit in the State of Rajasthan subject to the prior charges in favour of Banks on Specified Assets and Company''s Banks for Working Capital on Specified Movables Assets. This ECB is repayable in 7 unequal Annual Instalments commencing from 28 ^th September 2023

5 Term Loan from a Bank of '' 10.00 Crore is secured by way of an exclusive First Charge on Immovable & Movable Fixed Assets of the Company''s 6 MW Solar Power Plant in the State of Rajasthan. This Term Loan is repayable in 8 equal Quarterly Instalments

6 Term Loan from a Bank of '' 85.65 Crore is secured by way of an Exclusive First Charge on all the Immovable

and Movable Fixed Assets of the Company''s Cement Grinding Unit in the State of Gujarat. This Term Loan is repayable in 15 equal quarterly instalments

7 Term Loans from Banks aggregating to '' 350.00 Crore are secured by way of a Pari Passu First Charge on all the Immovable and Movable Fixed Assets of the Company''s Cement Plant in the State of Chattisgarh. These Term Loans from Banks are repayable in 14 equal Quarterly Instalments.

8 Term Loan from a Bank of '' 88.23 Crore is secured by way of an Exclusive First Charge on Movable Fixed Assets of the Company''s 20 MW Thermal Power Plant at Durg, Chattisgarh. This Term Loan is repayable in 42 unequal Quarterly Instalments.

9 Term Loan from a Bank of '' 75.54 Crore is secured by way of an Exclusive First Charge on all the Immovable & Movable Fixed Assets of the Company''s Cement Grinding Unit at Cuttack, Odisha. This Term Loan is repayable in 47 equal Quarterly Instalments.

10 Interest Free Loan (IFL) from The Director of Industries & Commerce, Haryana of '' 68.53 Crore granted to Company in relation to its Cement Grinding Unit at Jhajjar, Haryana, is secured by Bank Guarantee of equivalent amount and shall be repaid at the end of 5th year from the respective disbursement dates. The said IFL is recognised on amortised cost basis.

11 Public Deposits represents the Deposits accepted by the Company from Public under its Fixed Deposit Scheme having maturity of 1, 2 & 3 years from the date of deposits.

12 The above outstanding Term Loans are net of the Processing charges as per IND AS 109

*Working Capital Borrowings from Banks are secured / to be secured by hypothecation of Stocks and Book Debts etc. of the Company, both present & future and by a second charge on the movable & immovable Fixed Assets of the Company''s Cement Plants in the States of Rajasthan and Chattisgarh (except those assets which are exclusively charged to other lenders)

The Company''s financial risk management is an integral part of how to plan and execute its business strategies. The Company''s financial risk management policy is set by the board of Directors. The Company''s activities are exposed to a variety of financial risks from its operations. The key financial risks include market risk (including foreign currency risk, interest rate risk and commodity risk etc.), credit risk and liquidity risk.

43.1 Market Risk: Market risk is the risk of loss of future earnings, fair values or future cash flows that may results from change in the price of a financial instrument. The value of a financial instrument may change as result of change in the interest rates, foreign currency exchange rates, equity prices and other market changes may affect market risk sensitive instruments. Market risk is attributable to all market risk sensitive financial instruments and deposits, foreign currency receivables, payables and loans and borrowings. Market risk comprises mainly three types of risk: interest rate risk, currency risk and other price risk such as equity price risk and commodity risk.

The Company has an elaborate risk management system to inform board members about risk management and minimization procedures.

a) 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 makes certain imports in foreign currency & therefore is exposed to foreign exchange risk.

The Company evaluates exchange rate exposure arising from foreign currency transactions and the Company follows established risk management policies, including the use of derivatives like foreign exchange forward contracts to hedge exposure to foreign currency risk.

Foreign Currency Sensitivity

The following table demonstrates the sensitivity to a reasonable possible change of US $ with ''all other variables held constant. The impact on the Company''s profit/(loss)before tax due to changes in foreign exchange rate :

43.2 Credit Risk:

Credit risk arises from the possibility that counter party may not be able to settle their obligations as agreed. The Company is exposed to credit risk from its operating activities (primarily trade receivables).

Trade Receivables:- Customer credit risk is managed based on Company''s established policy, procedures and controls. The Company periodically assesses the financial reliability of customers, taking into account the financial conditions, current economic trends, and analysis of historical bad debts and aging of trade receivables. Individual credit risk limits are set accordingly.

The credit risk from the organized and bigger buyers is reduced by securing bank guarantees/letter of credits/part advance payments/post dated cheques. The outstanding''s of different parties are reviewed periodically at different level of organization. The outstanding from the trade segment is secured by two tier security - security deposit from the dealer himself, and our business associates who manage the dealers are also responsible for the outstanding from any of the dealers in their respective region. Impairment analysis is performed based on historical data at each reporting period on an individual basis. For aging of trade receivables refer note 11 Financial Instruments and Deposits with Banks:

The Company considers factors such as track record, size of institution, market reputation and service standards to select the bank with which balances and deposits are maintained. Generally, balances are maintained with the institutions with which the Company has also availed borrowings. The Company does not maintain significant cash and deposit balances other than those required for its day to day operation.

43.3 Liquidity Risk:

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial liabilities that are settled by delivering cash or another financial asset. The Company''s approach is to ensure, as far as possible, that it will have sufficient liquidity to meet its liabilities when due.

The Company relies on a mix of borrowings, and excess operating cash flows to meet its needs for funds. The current committed lines of credit are sufficient to meet its short to medium term expansion needs. The Company monitors rolling forecasts of its liquidity requirements to ensure it has sufficient cash to meet operational needs while maintaining sufficient headroom on its undrawn committed borrowings facilities at all times so that the Company does not breach borrowing limits or covenants (where applicable) on any of its borrowing facilities.

(c) Commodity Price Risk and Sensitivity:

The Company is exposed to the movement in price of key raw materials in domestic and international markets. The Company manages fluctuations in raw material price through hedging in the form of advance procurement when the prices are perceived to be low and also enters into advance buying contracts as strategic sourcing initiative in order to keep raw material and prices under check, cost of material is hedged to the extent possible.

N_ot_e-44 Capital Risk Management:

The Company manages its capital structure and makes adjustments in light of changes in economic conditions and the requirements of the financial covenants. The Company''s primary objective when managing capital is to ensure that it maintains an efficient capital structure and healthy capital ratios and safeguard the Company''s ability to continue as a going concern in order to support its business and provide maximum returns for shareholders. The Company also proposes to maintain an optimal structure to reduce the cost of capital.

For the purpose of the Company''s capital management, capital includes issued capital, securities premium and all other equity reserves. Net debt includes, interest bearing loans and borrowings less cash and short term deposits.

The Company maintains policies and procedures to value financial assets & financial liabilities using the best and most relevant data available. The fair values of the financial assets and liabilities are included at the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The following methods and assumptions were used to estimate the fair values:-

1. Fair value of cash and deposits, trade receivables, trade payables, and other current financial assets and liabilities approximate their carrying amounts largely due to the short-term maturities of these instruments.

2. Other non-current receivables are evaluated by the Company, based on parameters such as interest rates, individual creditworthiness of the counterparty etc. Based on this evaluation, allowances are considered to account for the expected losses of these receivables. As at end of each reporting year, the carrying amounts of such receivables, net of allowances (if any), are not materially different from their calculated fair values.

3. Fair value of Investments in quoted mutual funds and equity shares are based on quoted market price at the reporting date. The fair value of unquoted investments in preference shares are estimated by discounting future cash flows using rates currently available for debt on similar terms, credit risk and remaining maturities. The fair value of unquoted investments in equity shares are estimated on net assets basis.

4. Fair value of borrowings from banks and other non-current financial liabilities, are estimated by discounting future cash flows using rates currently available for debt on similar terms and remaining maturities.

5. The fair values of derivatives are calculated using the RBI reference rate as on the reporting date as well as other variable parameters.

Fair Value Hierarchy:

The following table provides the fair value measurement hierarchy of Company''s asset and liabilities, grouped into Level 1 to Level 3 as described below:

i. Level 1: Quoted prices in active markets.

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

iii. Level 3: Inputs that are not based on observable market data.

Note-46 Segment Information:

The Company is engaged primarily into manufacturing of cement. The Company has only one business segment as identified by management namely cementious materials. Segments have been identified taking into account nature of product and differential risk and returns of the segment. The business segments are reviewed by the vice chairman & managing director of the Company (Chief Operating Decision Maker).

Information about major customers

There are no revenues from transactions with a single external customer amounting to 10 per cent or more of an entity''s revenues during the current and previous year.

@The Government of India has inserted a New Section 115 BAA in the Income Tax Act, 1961 which provides an option to the Company for paying Income Tax at reduced rates, subject to certain conditions. The Company is continuing to provide for Income Tax at Higher Old Rates, based on available MAT Credit Entitlement & various available exemptions / deductions. However, the Company has applied the Lower Income Tax Rates on Deferred Tax Assets / Liabilities to the extent there are expected to be realized or settled in future when the Company may be subjected to Lower Tax Rate and accordingly in the Year ended 31^st March 2022, the Company has reversed the Deferred Tax Liability of '' 88.60 Crores.

OCI presentation of Defined Benefit plan

Gratuity is in the nature of defined benefit plan, re-measurement gains/(losses) on defined benefit plans is shown under OCI as Items that will not be reclassified to profit or loss and also the income tax effect on the same.

Presentation in Statement of Profit & Loss and Balance Sheet

Expense for service cost, net interest on net defined benefit liability (asset) is charged to statement of profit & loss. IND AS 19 does not require segregation of provision in current and non-current, however net defined liability (assets) is shown as current and non-current provision in balance sheet as per IND AS 1.

Actuarial liability for short term benefits (leave encashment cost) is shown as current and non-current provision in balance sheet.

When there is surplus in defined benefit plan, company is required to measure the net defined benefit asset at the lower of; the surplus in the defined benefit plan and the assets ceiling, determined using the discount rate specified, i.e. market yield at the end of the reporting period on government bonds, this is applicable for domestic companies, foreign company can use corporate bonds rate.

The company assesses these assumptions with its projected long-term plans of growth and prevalent industry standards. The mortality rates used are as published by one of the leading life insurance companies in India.

Note-57 Contingent liabilities in respect of claims not accepted by the Company (including matters in appeals) and not
provided for are as follows:		'' in Crore (10 Million)
Particulars	31st March 2022	31st March 2021
a) Service tax	6.64	9.83
b) Sale tax and interest thereon	93.52	151.46
c) Income tax	5.78	6.62
c) Excise duty	1.83	1.83
e) Other matters	9.30	17.61
Total	117.07	187.35

Note-58 In respect of certain disallowances and additions made by the income tax authorities, appeals are pending before the appellate authorities and adjustment, if any, will be made after the same are finally settled.

Note-59 Contingent liability for non-use of jute bags for cement packing upto June 30, 1997, as per Jute Packaging Materials (compulsory use of packaging commodities) Act, 1987 is not ascertained and the matter is subjudice. The Government has excluded cement industry from application of the said order from July 01,1997.

Note-60 Competition Commission of India (CCI) vide its order dated January 19, 2017 had imposed penalty on certain cement companies including a penalty of '' 6.55 crore on the Company pursuant to a reference filed by the government of Haryana. The Company has filed an appeal with Competition Appellate Tribunal (COMPAT) against the said order. COMPAT has granted a stay on CCI order. After the merger of COMPAT with National Company Law Appellate Tribunal (NCLAT), the Company''s case also stands transferred to NCLAT.

Although based on legal opinion, the Company believes that it has a good case but out of abundant caution the Company had provided full amount during the earlier years.

Note-61 Maximum balance due for commercial paper issued during the year was nil and the year end balance is Nil (previous year maximum balance '' 110.00 crore) and at the year end outstanding commercial paper is Nil (previous year Nil).

Note-62 Rajasthan Government had granted the benefit of 75% exemption to the Company for a period of 9 years vide its notification dated April 28, 2003 on the RST and CST payable u/s 15 of Rajasthan Sales Tax Act 1994. With the enactment of VAT Act, 2006 the benefit of exemption for the balance period was converted into deferment w.e.f. April 01,2006. During the FY 2014-15 the Company had received demand notices for repayment of the principal amount in respect of sales tax exemption, sales tax deferment and interest thereon. The principal amount of sales tax exemption and sales tax deferment have already been paid in earlier years. The Rajasthan Tax Board Ajmer in its order dated March 14, 2018 has set aside the entire demand of interest upto the period of demand notice.

The department has appealed before Hon''ble High Court of Jodhpur against the order of Rajasthan Tax Board, Ajmer for interest portion and Company has appealed against the principal amount before Hon''ble High of Jodhpur. During the year out of abundant caution the Company has partially provided for interest. (Refer note no. 73)

Reason for Shortfall - On account of Ongoing Projects and Deposited in a Separate Bank Account. b) foreign exchange fluctuation of gain (net) 7 4.56 crore (previous year loss (net) 7 2.61 crore).

Note-65 Derivative Financial Instruments

The Company uses foreign currency denominated borrowings and foreign exchange forward contracts (including option contracts - seagull structure) to manage some of its transaction exposures. The foreign exchange forward contracts and foreign exchange option contracts are not designated as cash flow hedges and are entered into for periods consistent with foreign currency exposure of the underlying transactions, generally from one to thirty six months.

Foreign currency risk

The Company has entered into foreign exchange forward contracts and foreign exchange option contracts with the intention to reduce the foreign exchange risk on repayment of buyer''s credit and foreign currency loan, these contracts are not designated in hedge relationships and are measured at fair value through profit or loss.

Note-67 The Company has given Corporate Guarantee to the Bankers of Udaipur Cement Works Limited (UCWL), a 72.54% subsidiary of the Company for collaterally securing for the following facilities granted by Banks to UCWL

(i) The Term Loans aggregating to Rs. 565 Crore (Outstanding as on 31.3.2022 is Rs.506.27 Crore) (Previous Year : Rs. 565 Crore - Outstanding Rs. 522.15 Crore) and

(ii) The Working Capital Facilities of Rs.50.00 Crore (Previous Year : Rs. 50.00 Crore )

The Company has received a Counter Indemnity of Rs.615 Crore from UCWL against above Corporate Guarantee given by the Company

The Company has given Corporate Guarantee to the Trustee of Guaranteed Rated Unlisted Redeemable Non Convertible Debentures of Rs. 350.00 Crore (Outstanding as on 31.3.2022 is Rs. 350.00 Crore) issued on Private Placement Basis by its Subsidiary Udaipur Cement Works Ltd. (UCWL). The Company has received a Counter Indemnity of Rs. 350.00 Crore from UCWL against this Corporate Guarantee.

Note-68 a) Loans and Advances pursuant to regulation 23(3) read with schedule of the SEBI (Listing Obligation and Disclosure Requirements) Regulation 2015

An amount of '' 10.00 crore (including '' 3.33 crore receivable within one year) (previous year '' 13.34 crore) (maximum balance due '' 13.34 crore, previous year '' 16.67 crore) due from BACL and arising out of an earlier scheme of reconstruction, arrangement and demerger sanctioned by Hon''ble High Courts of Rajasthan (Jodhpur) and Delhi.

(Loans / Advances to employees as per Company''s policy are not considered.)

b) Loans given as per regulation 34 (3) and 53(f) read with schedule v of SEBI (LODR) regulation of listing regulation of listing regulation with stock exchanges.

Loan given to Udaipur Cement Works Limited is '' 10 crore (previous year '' 10 crore). Maximum balance outstanding during the year is 7 10 crore. ICD given to Bengal & Assam Company Limited is '' 10 crore (previous year 7 40 crore) Maximum balance outstanding during the year is '' 40 crore (previous year '' 40 crore)

c) Disclosure of transaction in pursuant to regulation 34(3) read with schedule V, part A, clause 2 of the SEBI (Listing Obligation and Disclosure Requirements) Regulation 2015, with promoter/promoter group companies holding more than 10% of equity share capital of the Company.

Note-69 During the year the Company has received subsidy of '' 0.21 crore (previous year '' 0.22 crore) in terms of Industrial & Investment Policy, 2011 (Haryana) towards exemption from electricity duty, which been netted from power & fuel expenses.

Note-70 Impairment review :

Assets are tested for impairment whenever there are any internal or external indicators of impairment. Impairment test is performed at the level of each Cash Generating Unit (''CGU'') or groups of CGUs within the Company at which the assets are monitored for internal management purposes, within an operating segment. The impairment assessment is based on higher of value in use and value from sale calculations. During the year, the testing did not result in any impairment in the carrying amount of other assets (except CWIP refer note 2A). The measurement of the cash generating units'' value in use is determined based on financial plans that have been used by management for internal purposes. The planning horizon reflects the assumptions for short to- mid-term market conditions

Key assumptions used in value-in-use calculations are:

(i) Operating margins (Earnings before interest and taxes),

(ii) Discount Rate and

(iii) Growth Rates and (iv) Capital Expenditure

Note-71 Events occurring after the balance sheet date

No adjusting or significant non-adjujsting events have occured between the reporting date and date of authorization of these financial statements

Note-75 During the financial year 2019-20 the Company had acquired 35% holding (at a cost of '' 2.10 crore) in M/s.

Sungaze Power Private Limited (SPPL) which has set up a 6.50 MW solar Power Plant under Captive Power Plant (CPP) model at our Durg cement plant in the state of Chhattisgarh. The Company, as a Captive User, has no role & responsibility in the day-to-day management & operations of SPPL. As such, SPPL has not been considered as an associate for consolidation purposes.

Note-76 Previous year''s figures have been re-grouped/re-classified wherever necessary and figures less than '' 50000 have been shown as actual in bracket.

Note-72 The Company has considered the possible effects that may result from the Pandemic relating to COVID-19 on the carrying amounts of Property, Plant and Equipment, Investments, Inventories, Receivables and Other Current Assets. In developing the assumptions relating to the possible future uncertainties in the economic conditions because of this pandemic, the Company, as at the date of approval of these Financial Statements has used internal and external sources on the expected future performance of the Company. The Company has performed analysis on the assumptions used and based on current indicators of future economic conditions, the Company expects the carrying amount of these Assets will be recovered and sufficient liquidity is available to fund the business operations for at least another 12 months. Given the uncertainty because of COVID-19, the final impact on the Company''s assets in future may differ from that estimated as at the date of approval of these Financial Statement

Note-73 Exceptional Item of Rs.23.39 Crores includes:

a. Impairment of Rs.36.65 Crores in the Carrying Cost of an Asset under construction at Company''s Cement Plant at Durg.

b. Provision of Rs.62.42 Crores made for matters under sub-judice

c. Net of the Provision of Rs.75.68 Crores Written back for the matters under sub-judice settled during the Year. Note-74 Other statutory information

i. The Company does not have any Benami property, where any proceeding has been initiated or pending against the Company for holding any Benami property.

ii. The Company have not traded or invested in Crypto Currency or Virtual Currency during the financial year.

iii. The Company does not have any charges or satisfaction which is yet to be registered with ROC beyond the statutory period.

iv. The Company has not advanced or loaned or invested funds to any other person(s) or entity(ies), including foreign entities (Intermediaries) with the understanding that the Intermediary shall:

• directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the company (Ultimate Beneficiaries) or

• provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.

v. The Company has not received any fund from any person(s) or entity(ies), including foreign entities (Funding Party) with the understanding (whether recorded in writing or otherwise) that the Company shall:

• directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party (Ultimate Beneficiaries) or

• provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries

vi. The Company have no such transactions which is not recorded in the books of accounts that has been surrendered or disclosed as income during the year in Tax assessments under Income Tax Act, 1961.

vii The Quarterly Return of current assets filed by the Company with Banks having no material variances with Books of Account, though the Company has not utilised limit during the year.

viii. Struck off Companies

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Mar 31, 2018

Note-1 Capital Risk Management:

The Company manages its capital structure and makes adjustments in light of changes in economic conditions and the requirements of the financial covenants. The Company''s primary objective when managing capital is to ensure that it maintains an efficient capital structure and healthy capital ratios and safeguard the Company''s ability to continue as a going concern in order to support its business and provide maximum returns for shareholders. The Company also proposes to maintain an optimal structure to reduce the cost of capital.

For the purpose of the Company''s capital management, capital includes issued capital, securities premium and all other equity reserves. Net debt includes, interest bearing loans and borrowings less cash and short term deposits

The Company monitors capital using a gearing ratio, which is Net Debt divided by Total Capital plus Net Debt. Net Debt is calculated as total borrowings including short term and current maturities of long term debt.

Note-2 Fair Value of Financial Assets and Liabilities:

Set out below, is a comparison by class of the carrying amounts and fair value of the financial instruments of the ^companies:

Fair Value Hierarchy:

The following Table provides the fair value measurement hierarchy of Company''s asset and liabilities, grouped into Level 1 to Level 3 as described below:

i. Level 1: Quoted prices in active markets.

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

iii. Level 3: Inputs that are not based on observable market data.

Note-3 Segment Information:

The Company is engaged primarily into manufacturing of Cement. The Company has only one business segment as identified by management namely Cementitious Materials. Segments have been identified taking into account nature of product and differential risk and returns of the segment. The business segments are reviewed by the Vice Chairman & Managing Director of the Company (Chief Operating Decision Maker).

Forward Contract:

The Company has foreign currency purchase forward contract to offset the risk of Currency fluctuations. These contracts are for settlement of operational payables:

The following dividends were proposed by the board of directors in their meeting held on 16th May Rs,2018, subject to approval of shareholders at the Annual General Meeting and are not recognized as liability. Dividend would attract dividend distribution tax when declared or paid.

Note-52 Related Party Disclosure

List of Related Parties :

a) Direct and Indirect Subsidiary

Hansdeep Industries & Trading Co. Ltd. (HITCL)

Udaipur Cement Works Ltd.(UCWL)

Ram Kanta Properties Private Ltd.(RKPPL)

b) Associates

Dwarkesh Energy Ltd.(DEL)

c) Key Management Personnels (KMPs)

Shri Bharat Hari Singhania Chairman & Managing Director

Smt. Vinita Singhania Vice Chairman & Managing Director

Shri S.K. Wali Whole-time Director

Dr. S. Chouksey Whole-time Director

Shri B.V. Bhargava Independent & Non Executive Director

Shri N.G. Khaitan Independent & Non Executive Director

Shri K.N. Memani Independent & Non Executive Director

Dr. Raghupati Singhania Non Independent & Non Executive Director

Shri Ravi Jhunjhunwala Independent & Non Executive Director

Shri Pradeep Dinodia Independent & Non Executive Director

Shri Sudhir A Bidkar Chief Financial Officer

Shri Brijesh K Daga VP & Company Secretary

d) Enterprise which holds more than 20% of Equity share Bengal & Assam Company Ltd. (BACL)

e) Trusts under common control

JK Lakshmi Cement Ltd. Compulsory Employees Provident Fund(EPF)

JK Lakshmi Cement Ltd. Officers Superannuation Fund(SF)

JK Lakshmi Cement Ltd. Employees Gratuity Fund(GF)

The following transactions were carried out with related parties in the ordinary courage of business :

* As the liability for Gratuity and Leave Encashment are provided on actuarial basis for the Company as a whole, the amount pertaining to KMPs are not included above.

iii) The Company has during the current Financial Year 2017-18 ended 31st March 2018, paid Managerial Remuneration in accordance with the provisions of Section 197 of the Companies Act 2013(Act) read with Schedule V thereto except the minimum remuneration paid to the Managing Directors, as approved by the Members at the AGM of the Company held on 7th September 201 6, which exceeded the prescribed limit under the said Schedule by Rs, 4.09 Crore. The Company shall seek necessary approval of the Central Government and/ or the Members, as applicable, under the aforesaid provisions of the Act including any amendment(s) thereto, for waiver of recovery thereof. In terms of the Central Government approval received for payment of the Managerial Remuneration for the previous Financial Year 201 6-1 7, Shri Bharat Hari Singhania, Chairman & Managing Director has refunded Rs, 1.50 Lakh to the Company. Company''s Application to the Central Govt. for waiver of excess remuneration of Rs, 2.12 Crore of Smt. Vinita Singhania, Vice Chairman & Managing Director is pending its review / approval.

N_ot_e-4 Estimated amount of contracts remaining to be executed on capital account (Net of Advances) Rs, 108.97 crore (previous year Rs, 58.79 crore).

@ excluding Show Cause Notices of Rs, 148.65 crore (previous year Rs, 115.00 crore).

| Note-5 In respect of certain disallowances and additions made by the Income Tax Authorities, Appeals are pending before the Appellate Authorities and adjustment, if any, will be made after the same are finally settled.

| Note-6 Contingent liability for non-use of jute bags for Cement packing upto 30th June, 1997, as per Jute Packaging Materials (Compulsory use of Packaging Commodities) Act, 1987 is not ascertained and the matter is subjudice. The Government has excluded Cement Industry from application of the said Order from 1st July, 1997.

| Note-7 Competition Commission of India (CCI) vide its Order dated 19th Jan, 2017 has imposed penalty on certain Cement Companies including a Penalty of Rs, 6.55 crore on the Company pursuant to a reference filed by the Government of Haryana. The Company has filed an appeal with Competition Appellate Tribunal (COMPAT) against the said Order. COMPAT has since granted a stay on CCI Order, though based on legal opinion, the Company believes that it has a good case but out of abundant caution Rs, 2.00 crore has been provided.

| Note-8 Maximum balance due for Commercial Paper issued during the year was Rs, 320.00 crore and the year end balance is Rs, 250.00 crore (previous year Maximum balance Rs, 320.00 crore and at the year end Rs, 245.00 crore).

| Note-9 Rajasthan Government had granted the benefit of 75% exemption to the Company for a period of 9 years vide its notification dated 28.4.2003 on the RST and CST payable u/s 15 of Rajasthan Sales Tax Act 1994. With the enactment of VAT Act, 2006 the benefit of exemption for the balance period was converted into deferment w.e.f. 1st April 2006. During the FY 2014-15 the Company had received Demand Notices consisting of Sales Tax Exemption, Sales Tax Deferment and Interest thereon. The Sales Tax Exemption and Sales Tax Deferment has since been paid in earlier years. The Rajasthan Tax Board Ajmer in its recent Order dated 14th March, 2018 has set aside the entire demand of interest upto the period of Demand Notice.

| Note-10

a) Sales include own consumption at cost Rs, 1.65 crore (previous years Rs, 2.04 crore).

b) Consumption of Stores and Spares is net of scrap sale Rs, 6.72 crore (previous year Rs, 6.69 crore.)

c) Interest expenses include Rs, 7.25 crore (previous year Rs, 5.22 crore) being interest on entry tax and sales tax deferment.

| Note-11

a) Other-Non-Operating Income includes receipts from aircraft flying Rs, 2.98 crore, (previous year Rs, 2.30 crore) net of expenses of Rs, 3.94 crore (previous year Rs, 4.96 crore) and write back of District Mineral Fund amounting to Rs, 10.82 crore ( previous year -Nil) pursuant to Hon''ble Supreme Court decision.

b) Miscellaneous expenses include, CSR expenses amounting to Rs, 1.30 crore (previous year Rs, 1.45 crore) and Foreign exchange fluctuation of loss (net) Rs, 2.58 crore (previous year loss (net) Rs, 3.69 crore).

| Note-12

a) Forward contracts of Rs, 48.51 crore - USD 7.47 Mn (previous year Rs, 97.57 crore - USD 14.37 Mn.) taken for the purpose of hedging of Buyers Credit and 26.17 crore- USD 4.00 Mn (previous year Rs, Nil crore -USD Nil) against letter of credit. .

b) Un-hedged Rs, 55.30crore- USD 8.5 Mn (previous year Rs, Nil - Euro Nil) against Buyers Credit and Rs, 2.66 crore EUR 0.33 Mn against letter of credit outstanding as at 31st March, 2018.

| Note-63 Based on information available with the Company in respect of MSME (Rs,The Micro Small & Medium Enterprises Development Act 2006''). The details are as under:

i) Principal and Interest amount due and remaining unpaid as at 31st March 2018 Rs, 3.77 crore (previous year Rs, 0.52 crore).

ii) Interest paid in terms of section 16 of the MSME Act during the year Nil (previous year - Nil).

iii) The amount of Interest due and payable for the period of delay in making payment (which have been paid but beyond the appointed day during the year) but without adding the interest specified - Nil (previous year - Nil).

iv) Payment made beyond the appointed day during the year Nil (previous year - Nil).

v) Interest Accrued and unpaid as at 31st March 2018 Nil (previous year - Nil).

Note-64 The Company has successfully completed the Revival & Rehabilitation Scheme of UCWL with the commissioning of its Integrated Cement Plant in March, 2017. UCWL has since commenced dispatches of Clinker & Cement.

The Company has given Corporate Guarantee to the Trustees of NCDs of Rs, 525.00 Crore issued on private placement basis by its wholly owned Subsidiary Hansdeep Industries & Trading Company Limited (HITCL). The proceeds of these NCDs issued have been utilized by HITCL for part financing UCWL''s Revival & Rehabilitation Project. The Company has received a Counter Indemnity from UCWL in consideration of the Company having given Corporate Guarantee for the NCDs raised by HITCL for onward lending to UCWL.

In addition, the Company has given Corporate Guarantee to a Bank for collaterally securing the Working Capital Facility of Rs, 50 crore granted by it to UCWL.

N_ot_e-13 During the year the Company has received subsidy of Rs, 0.05 crore (previous year Rs, 0.21 crore) in terms of State Investment Promotion Scheme, the same is netted from interest.

N_ot_e-14 During the year, the Company has invested in 50 lakh, 6% Optionally Convertible Cumulative Redeemable Preference Shares (OCCRPS) of Face Value of Rs, 100/- per shares of Udaipur Cement Works Limited (UCWL) on preferential basis. As per the Terms of Issue, the Company is entitled to exercise conversion option on OCCRPS at any time after nine months but not later than eighteen months from the date of allotment i.e. on or after 10th May, 2018 and up to 9th February 2019 at a price determined in accordance with Regulation 76(1) of SEBI (Issue of Capital and Disclosure Requirements) Regulations, 2009.

The Company has since exercised the said Conversion Option and has given Notice to UCWL for conversion of entire OCCRPS of Rs, 50 crore to Equity Shares to be executed on or after 10th May 2018 and up to 9th February 2019 in one or more Tranches.

|Note-15

a) Loans and Advances pursuant to Regulation 23(3) read with schedule of the SEBI (Listing Obligation and Disclosure Requirements) Regulation 2015 :

An amount of Rs, 23.34 crore (including Rs, 3.33 crore receivable within one year) (Previous year Rs, 26.67 crore) (Maximum balance due Rs, 26.67 crore, previous year Rs, 30.00 crore) due from BACL and arising out of an earlier Scheme of Reconstruction, Arrangement and Demerger sanctioned by Hon''ble High Courts of Rajasthan (Jodhpur) and Delhi.

(Loans / Advances to employees as per Company''s policy are not considered.)

b) Loans given as per regulation 34 (3) and 53(f) read with Schedule V of SEBI (LODR) regulation of listing with Stock Exchanges.

Loan given to Udaipur Cement Works Limited is Rs, 10 crore (previous year nil). Maximum balance outstanding during the year is Rs, 10 crore.

|Note-16

a) Some of the Balances of receivables and payables are in process of confirmation.

b) Previous year''s figures have been re-grouped/re-classified wherever necessary and figures less than Rs, 50000 have been shown as actual in bracket.

N_ot_e-17 With introduction of Goods and Service Tax Act 2017 w.e.f. 1st July 2017 Revenue from operations for current year are not comparable with previous year, since sales in current year from 1st July 2017 are net of GST whereas Excise duty was included in Revenue and formed part of expenses till 30th June 2017.

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Mar 31, 2017

Note 1. Capital Risk Management:

The Company manages its capital structure and makes adjustments in light of changes in economic conditions and the requirements of the financial covenants. The Company''s primary objective when managing capital is to ensure that it maintains an efficient capital structure and healthy capital ratios and safeguard the Company''s ability to continue as a going concern in order to support its business and provide maximum returns for shareholders. The Company also proposes to maintain an optimal structure to reduce the cost of capital.

For the purpose of the Company''s capital management, capital includes issued capital, securities premium and all other equity reserves. Net debt includes, interest bearing loans and borrowings, less cash and short term deposits

The Company monitors capital using a gearing ratio, which is Net Debt divided by Total Capital plus Net Debt. Net Debt is calculated as total borrowings including short term and current maturities of long term debt.

Note 2. Fair Value of Financial Assets and Liabilities:

Set out below, is a comparison by class of the carrying amounts and fair value of the financial instruments of the companies: -

Fair Valuation Techniques:

The Company maintains policies and procedures to value Financial Assets & Financial Liabilities using the best and most

relevant data available. The Fair Values of the Financial Assets and Liabilities are included at the amount that would be received

to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

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

1. Fair Value of cash and deposits, trade receivables, trade payables, and other current financial assets and liabilities approximate their carrying amounts largely due to the short-term maturities of these instruments.

2. Other non-current receivables are evaluated by the Company, based on parameters such as interest rates, individual creditworthiness of the counterparty etc. Based on this evaluation, allowances are considered to account for the expected losses of these receivables. As at end of each reporting year, the carrying amounts of such receivables, net of allowances (if any), are not materially different from their calculated fair values.

3. Fair value of Investments in quoted mutual funds and equity shares are based on quoted market price at the reporting date. The fair value of unquoted Investments in preference shares are estimated by discounting future cash flows using rates currently available for debt on similar terms, credit risk and remaining maturities. The fair value of unquoted Investments in equity shares are estimated on net assets basis.

4. Fair value of borrowings from banks and other non-current financial liabilities, are estimated by discounting future cash flows using rates currently available for debt on similar terms and remaining maturities.

5. The fair values of derivatives are calculated using the RBI reference rate as on the reporting date as well as other variable parameters.

Fair Value Hierarchy:

The following Table provides the fair value measurement hierarchy of Company''s asset and liabilities, grouped into Level 1 to

Level 3 as described below:

i. Level 1: Quoted prices in active markets.

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

iii. Level 3: Inputs that are not based on observable market data.

Note 3. Segment Information:

The Company is engaged primarily into manufacturing of Cement. The Company has only one business segment as identified by management namely Compendious Materials. Segments have been identified taking into account nature of product and differential risk and returns of the segment. The business segments are reviewed by the VC&MD of the Company (Chief Operating Decision Maker).

Note 4. Reconciliations :-

The following reconciliations provide a quantification of the effect of significant differences arising as a result of transition from Pervious GAAP (IGAAP) to IND AS in accordance with IND AS 101.

- Balance Sheet as at 1st April''2015

- Equity as at 1st April''2015

- Statement of profit and loss for the year ended 31st March''2016.

- Balance Sheet as at 31st March''2016.

- Equity as at 31st March''2016

Explanations for reconciliation of Balance Sheet as previously reported under previous GAAP to IND AS

A Under IND AS, Investment properties are reclassified from Property Plant & Equipment and presented separately.

B Under IND AS, Investments are valued at ''Fair Value / Amortized Cost'', as the case may be, unlike under previous GAAP, where Noncurrent investments were measured at cost less provision for diminution, if such a decline was other than temporary and current investments were valued at lower of cost or market value.

C Under IND AS, interest free loan is valued at Amortized cost.

D Under IND AS, interest free Securities Deposits given are valued at Amortized cost.

E Under IND AS, Current Investments are valued at fair value through profit and loss account.

G As per IND AS, borrowings are valued at amortized cost using effective interest rate method, unlike under previous GAAP, where such borrowing were stated at initial transaction value.

H Under IND AS, interest free Securities Deposits taken are valued at amortized cost and some liabilities are reclassified.

I The additional Deferred Tax Liability / Asset has also been recognized due to different accounting treatment in respect of certain items as per IND AS. On transition to IND AS, MAT credit entitlement being in the nature of deferred tax assets, has been netted off from deferred tax liabilities.

J Under previous GAAP, Proposed Dividend was recognized as liability in the period to which it was related. Under IND AS, Proposed Dividend is recognized as liability in the period in which it is approved by shareholders.

Explanations for reconciliation of Balance Sheet as previously reported under previous GAAP to IND AS

A Under IND AS, Liability of Rehabilitations and Recommendations is measured at present value of compensation paid to land owners & investment properties are reclassified from Property Plant & Equipment and presented separately.

B As per IND AS, borrowings are valued at amortized cost using effective interest rate method, unlike under previous GAAP, where such borrowing were stated at initial transaction value.

C Under IND AS, Investments are valued at ''Fair Value / Amortized Cost'', as the case may be, unlike under previous GAAP, where Noncurrent investments were measured at cost less provision for diminution, if such a decline was other than temporary and current investments were valued at lower of cost or market value.

D Under IND AS, interest free loan was valued at Amortized cost.

E Under IND AS, interest free Securities Deposits given were valued at Amortized cost

F Under IND AS, Current Investments are valued at fair value through profit and loss account.

H Under IND AS, interest free Securities Deposits taken are valued at Amortized cost and some liabilities are reclassified.

I The additional Deferred Tax Liability / Asset has also been recognized due to different accounting treatment in respect of certain items as per IND AS and MAT credit entitlement being in the nature of deferred tax asset has been netted off from deferred liabilities.

Explanations for reconciliation of Balance Sheet as previously reported under previous GAAP to IND AS

A Under IND AS Current investments and other financial assets and liabilities are valued at Amortized cost/Fair value through profit & loss as the case may be.

B Under previous GAAP, actuarial gains and losses were recognized in the statement of profit and loss. Under Ind AS, the actuarial gains and losses form part of remeasurement of the net defined benefit liability/ asset, which is recognized in Other Comprehensive Income. Consequently, the tax effect of the same has also been recognized in other comprehensive income under Ind AS instead of the statement of profit and loss.

C As per IND AS, borrowings are valued at Amortized cost using effective interest rate method, unlike under previous GAAP, where such borrowing were stated at initial transaction value.

Below tables sets forth the changes in the projected benefit obligation and plan assets and amounts recognized in the standalone Balance Sheet as at March 31, 2017 and March 31, 2016, being the respective measurement dates:

The assumption of future salary increase takes into account the inflation, seniority, promotion and other relevant factors such as supply and demand in employment market. Same assumptions were considered for comparative period i.e. 2015-16 as considered in previous GAAP on transition to IND AS.

OCI presentation of defined benefit plan

Gratuity is in the nature of defined benefit plan, Re-measurement gains/(losses) on defined benefit plans is shown under OCI as Items that will not be reclassified to profit or loss and also the income tax effect on the same.

Presentation in Statement of Profit & Loss and Balance Sheet

Expense for service cost, net interest on net defined benefit liability (asset) is charged to Statement of Profit & Loss. IND AS 19 do not require segregation of provision in current and non-current, however net defined liability (Assets) is shown as current and non-current provision in balance sheet as per IND AS 1.

Actuarial liability for short term benefits (leave encashment cost) is shown as current and non-current provision in balance sheet.

When there is surplus in defined benefit plan, Company is required to measure the net defined benefit asset at the lower of; the surplus in the defined benefit plan and the assets ceiling, determined using the discount rate specified, i.e. market yield at the end of the reporting period on government bonds, this is applicable for domestic companies, foreign Company can use corporate bonds rate.

The Company assesses these assumptions with its projected long-term plans of growth and prevalent industry standards. The mortality rates used are as published by one of the leading life insurance companies in India.

@ excluding show cause notices of Rs, 115.00 crore. (previous year Rs, 98.60 crore)

Note 5. In respect of certain disallowances and additions made by the Income Tax Authorities, Appeals are pending before the Appellate Authorities and adjustment, if any, will be made after the same are finally settled.

Note 6. Contingent liability for non-use of jute bags for Cement packing up to 30th June, 1997, as per Jute Packaging Materials (Compulsory use of Packaging Commodities) Act, 1987 is not ascertained and the matter is subjudice. The Government has excluded Cement Industry from application of the said Order from 1st July, 1997.

Note 7 Competition Commission of India (CCI) vide its Order dated 19th Jan, 2017 has imposed penalty on certain Cement Companies including a Penalty of Rs, 6.55 crore on the Company pursuant to a reference filed by the Government of Haryana. The Company has filed an appeal with Competition Appellate Tribunal (COMPAT) against the said Order. COMPAT has since granted a stay on CCI Order. Based on legal opinion, the Company believes that it has a good case and accordingly no provision has been made in the accounts.

Note 8. Maximum balance due for Commercial Paper issued during the year was Rs, 320.00 crore and the yearend balance is Rs, 245.00 crore (previous year Maximum balance Rs, 270.00 crore and at the yearend Rs, 155.00 crore).

Note 56. Rajasthan Government had granted the benefit of 75% exemption to the Company for a period of 9 years vide its notification dated 28th April, 2003 on the RST and CST payable u/s 15 of Rajasthan Sales Tax Act 1994. With the enactment of VAT Act, 2006 the benefit of exemption for the balance period was converted into deferment w.e.f. 1st April 2006. During the FY 2014-15 the Company had received Demand Notices of Rs, 225.25 crore (as at 31st March 2017 Rs, 225.25 crore) consisting of Sales Tax Exemption of Rs, 49.19 crore availed upto March 2006, balance of Sales Tax Deferment of Rs, 56.57 crore from April 2006 to May 2009 and interest of Rs, 119.49 crore thereon. The Demand had arisen consequent to Supreme Court''s adverse judgment in case of another cement Company.

In order to avoid any coercive measure against the Company by the Department, the Company had paid under protest the full principal demand, toward Sales Tax Exemption and Sales Tax Deferment of Rs, 105.77 crore during the Previous Year, pending judgment from the judicial authorities.

Based on the fact that the grounds under which the Company has been granted this benefit is different from the grounds on which the other cement Company availed the benefit and as also based on the opinion of senior legal counsels, the Company believes it has sufficient strong ground eventually to get favourable judgment in its favour.

However out of abundant caution the Company had made provision and shown as Exceptional Item for Rs, 49.19 crore during the year 2014-15 against the Sales Tax Exemption and interest of Rs, 119.49 crore is being considered as a contingent liability.

Note 9. a) Sales include own consumption at cost Rs, 2.04 crore (previous years Rs, 1.76 crore).

b) Consumption of Stores and Spares is net of scrap sale Rs, 6.69 crore (previous year Rs, 4.27 crore.)

c) Interest expenses include Rs, 5.22 crore (previous year Rs, 5.24 crore) being interest on entry tax.

d) Exceptional items of Rs, Nil (previous year Rs, 10.73 crore includes Rs, 5.45 crore towards additional expenditure on stabilization of green field plant at Durg, Chhattisgarh Rs, 4.28 crore contribution made to district mines foundation vide Govt. notification issued Sept''15 with retrospective effect from Jan 2015 and Rs, 1.00 crore come wages award for prior year)

Note 10. a) Other-Non-Operating Income includes receipts from aircraft flying Rs, 2.30 crore, (previous year Rs, 3.78 crore) net of expenses of Rs, 4.96 crore (previous year Rs, 4.95 crore).

b) Miscellaneous expenses include, CSR expenses amounting to Rs, 1.45 crore (previous year Rs, 3.12 crore ) and Foreign exchange fluctuation of loss (net) Rs, 3.69 crore (previous year gain (net) Rs, 1.64 crore).

Note 11. a) Forward contracts of Rs, 97.57 crore - USD 14.37 Mn (previous year Rs, 72.57 crore - USD 10.47 Mn) taken for the purpose of hedging of payables and Nil (previous year Rs, 13.24 crore - USD 1.98 Mn ) against letter of credit.

b) Un-hedged Nil (previous year Rs, 1.39 crore - Euro 0.18 Mn) against letter of credit outstanding as at 31st March, 2017. Note 60. Based on information available with the Company in respect of MSME (''The Micro Small & Medium Enterprises Development Act 2006''). The details are as under :

i) Principal and Interest amount due and remaining unpaid as at 31st March 2017 Rs, 0.52 Crore (previous year Rs, 0.27 Crore ).

ii) Interest paid in terms of section 16 of the MSME Act during the year - Nil (previous year - Nil).

iii) The amount of Interest due and payable for the period of delay in making payment (which have been paid but beyond the appointed day during the year) but without adding the interest specified - Nil (previous year - Nil).

iv) Payment made beyond the appointed day during the year - Nil (previous year - Nil).

v) Interest Accrued and unpaid as at 31st March 2017- Nil (previous year - Nil).

Note 12. The Company has successfully completed the Revival & Rehabilitation Scheme of UCWL with the commissioning of its Integrated Cement Plant in March, 2017. UCWL has since commenced dispatches of Clinker & Cement.

The Company has given Corporate Guarantee to the Trustees of NCDs of Rs, 525.00 Crore issued on private placement basis by its wholly owned Subsidiary Hansdeep Industries & Trading Company Limited (HITCL). The proceeds of these NCDs issued have been utilized by HITCL for part financing UCWL''s Revival & Rehabilitation Project. The Company has received a Counter Indemnity from UCWL in consideration of the Company having given Corporate Guarantee for the NCDs raised by HITCL for onward lending to UCWL.

Note 13. During the year the Company has received subsidy of Rs, 0.21 crore (previous year Rs, 0.15 crore) in terms of State Investment Promotion Scheme, the same is netted from interest.

Note 14. Loans and Advances pursuant to Regulation 23(3) read with schedule of the SEBI(Listing Obligation and Disclosure Requirements) Regulation 2015 :

Other advances include An amount of Rs, 26.67 crore (including Rs, 3.33 crore receivable within one year) (Previous year Rs, 30.00 crore) (Maximum balance due Rs, 30.00 crore, previous year Rs, 33.33 crore) due from BACL and arising out of an earlier Scheme of Reconstruction, Arrangement and Demerger sanctioned by Hon''ble High Courts of Rajasthan (Jodhpur) and Delhi.

(Loans / Advances to employees as per Company''s policy are not considered.)

Note 15. Some of the Balances of debtors and creditors are in process of confirmation.

Note 16 Related Party Disclosure List of Related Parties :

a) Direct and Indirect Subsidiary

Hansdeep Industries & Trading Co. Ltd. (HITCL)

Udaipur Cement Works Ltd.(UCWL)

Ram Kanta Properties Private Ltd.(RKPPL) w.e.f 10th Feb 2017

b) Associates

Dwarkesh Energy Ltd.(DEL)

c) Key Management Personnel (KMP)- as per Companies Act ,2013 :

Shri Bharat Hari Singhania Chairman & Managing Director

Smt. Vinita Singhania# Vice Chairman & Managing Director

Shri S.K. Wali Whole-time Director

Dr. S. Chouksey Whole-time Director

Shri Sudhir A Bidkar Chief Financial Officer

Shri Brijesh K Daga VP & Company Secretary

Additional KMPs ( Pursuant to Ind AS 24)

Shri B.V. Bhargava Independent & Non Executive Director

Shri N.G. Khaitan Independent & Non Executive Director

Shri K.N. Memani Independent & Non Executive Director

Dr. Raghupati Singhania Non Independent & Non Executive Director

Shri Ravi Jhunjhunwala Independent & Non Executive Director

Shri Pradeep Dinodia Independent & Non Executive Director

d) Enterprise which holds more than 20% of Equity share

Bengal & Assam Company Ltd. (BACL)

e) Trusts under common control

JK Lakshmi Cement Ltd. Compulsory Employees Provident Fund(EPF)

JK Lakshmi Cement Ltd. Officers Superannuation Fund(SF)

JK Lakshmi Cement Ltd. Employees Gratuity Fund(GF)

The following transactions were carried out with related parties in the ordinary course of business :

* As the liability for Gratuity and Leave Encashment are provided on actuarial basis for the Company as a whole, The Amount pertaining to KMPs are not included above.

iii) "In Compliance with provision of section 197 read with Schedule V of the Companies Act 2013, in the respective General meeting, the shareholders have approved the payment of remuneration to the directors. However in view of inadequate profit during the year 2016-17, The Company has applied to the Central Government for the approval of payment to directors'' as stated in para C above other than Non Executive Directors, amounting to Rs, 10.41 crore, which is pending

Note 170Other Particulars :

The Company has paid dividend in respect of Shares dividend in respect of Shares held by Non-Resident on repatriation basis. The Company has paid an amount of Rs, 0.38 crore (Previous year Rs, 3.45 crore) to Non Resident in INR during the financial year 2016-17, for the financial year 2015-16.

Note 18. Previous year''s figures have been re-grouped /re-classified wherever necessary and figures less than Rs, 50000 have been shown as actual in bracket.

---

Mar 31, 2016

1. Due and payable within one year.

1 Secured Redeemable Non-Convertible Debentures ( NCDs) are privately placed and consists of :

i) 10.05% NCDs Series B-1 balance of Rs. 20 crore is redeemable in an annual installment at the end of 7th year from the date of allotment i.e. 4th Feb, 2010.

ii) 10.35% NCDs Series B-2 of Rs. 60 crore are redeemable in three equal annual installments at the end of 8th, 9th and 10th year from the date of allotment i.e. 4th Feb, 2010.

1a. 9% Secured Redeemable Non Convertiable Debentures ( NCDs) of Rs. 49.79 crore are redeemable in 3 equal annual installments, at the end of 6th, 7th and 8th year from the date of allotment, i.e. 20th July 2012.

2 All the NCDs are secured by a mortgage on the Company''s immovable properties located in the State of Gujarat and are also secured by way of a first charge on all the immovable and movable fixed assets pertaining to the Company''s Cement Unit situated at Jaykaypuram, Basantgarh, Distt. Sirohi, in the State of Rajasthan, ranking pari-passu with the charges created on the said fixed assets, subject to the prior charges in favour of Banks on specified assets.

3 Term Loans from Banks aggregating to Rs. 195.38 crore are secured by way of a first charge on all the immovable and movable properties pertaining to the Company''s Cement Unit situated at Jaykaypuram, Basantgarh, Distt. Sirohi, in the State of Rajasthan, ranking pari-passu with the charges created on the said assets subject to the prior charges in favour of Banks on specified assets and Company''s Banks for working capital on specified movables assets. These Term Loans are /shall be repayable as under:

a) Term Loan of Rs. 21.88 crore are repayable in 20 equal quarterly installments.

b) Term Loan of Rs. 21.00 crore is repayable in 7 equal quarterly installments.

c) Term Loan of Rs. 52.50 crore is repayable in 24 equal quarterly installments.

d) Term Loan of Rs. 100.00 crore shall be repayable in 32 equal quarterly installments commencing from 30th June 2016.

4 Term Loans from Banks aggregating to Rs. 43.75 crore are secured by way of an exclusive charge on certain specified assets of the Company situated at Jaykaypuram, Basantgarh, Distt. Sirohi, in the State of Rajasthan. These Term Loans are repayable as under:

a) Term Loan of Rs. 12.50 crore are repayable in 4 equal quarterly installments.

b) Term Loan of Rs. 31.25 crore is repayable in 20 equal quarterly installments.

5 Term Loan from a Bank of Rs. 52.50 crore is secured by way of an exclusive first charge on immovable & movable fixed assets of the Company''s Split Grinding Unit situated at Jhajjar, in the State of Haryana, except charge on the Current Assets. This Term Loan is repayable in 24 equal quarterly installments .

6 Term Loan from a Bank of Rs. 35.00 crore is secured by way of an exclusive first charge on movable assets of the Company''s AAC Block Unit situated at Jhajjar, in the State of Haryana, except charge on current assets. This Term Loan is repayable in 28 equal quarterly installments.

7 Term Loan from a Bank of Rs. 67.81 crore is secured by way of an exclusive first charge on movable and immovable assets of the Company''s 2nd Split Grinding Unit situated at Jhajjar, in the State of Haryana, except charge on current assets. This Term Loan is repayable in 31 equal quarterly installments.

8 Term Loan from a Bank of Rs. 40.00 Crore is secured by way of an exclusive first charge on immovable & movable assets of the Company''s 6 MW Solar Power Project in the State of Rajasthan, except charge on the Current Assets. This Term Loan shall be repayable in 32 equal quarterly installments commencing from 30th June 2016.

9 Term Loans from Banks aggregating to Rs. 1024.86 crore are secured / to be secured by way of first pari passu charge on all the immovable and movable fixed assets of the Company''s Greenfield Cement Plant at Durg in the State of Chattisgarh. These Term Loans from Banks are repayable in 38 equal quarterly installments.

10 The Company has created an exclusive charge on the Movable Assets of its Split Grinding Unit being set up at Surat for which the Term Loan of Rs. 112.30 Crore has since been drawn.

11 Unsecured loan from a Bank of Rs. 25.00 crore is repayable in 5 equal half yearly installments.

12 Fixed Deposits represents the Deposits accepted by the Company from Public under its Fixed Deposit Scheme having maturity of 2 & 3 years from the date of deposits.

13. Estimated amount of contracts remaining to be executed on capital account (Net of Advances) Rs. 29.80 crore (Previous year Rs. 124.11 crore).

14. In respect of certain disallowances and additions made by the Income Tax Authorities, Appeals are pending before the Appellate Authorities and adjustment, if any, will be made after the same are finally settled.

15. Contingent liability for non-use of jute bags for Cement packing upto 30th June, 1997, as per Jute Packaging Materials (Compulsory use of Packaging Commodities) Act, 1987 is not ascertained and the matter is subjudice. The Government has excluded Cement Industry from application of the said Order from 1st July, 1997.

16. The Company has componentized its fixed assets and separately assessed the life of the major components, forming part of the main assets. Consequently, the depreciation charge for the year is higher by Rs. 3.14 crore.

17. Maximum balance due for Commercial Paper issued during the year was Rs. 270 crore and the year end balance is Rs. 155 crore (Previous year Maximum balance Rs. 120 crore and at the year end Rs. 50 crore).

18. Rajasthan Government had granted the benefit of 75% exemption to the Company for a period of 9 years vide its notification dated 28.4.2003 on the RST and CST payable u/s 15 of Rajasthan Sales Tax Act 1994. With the enactment of VAT Act, 2006 the benefit of exemption for the balance period was converted into deferment w.e.f. 1st April 2006. During the FY 2014-15 the Company had received Demand Notices of Rs. 225.25 crore (previous year Rs. 222.54 crore) consisting of Sales Tax Exemption of Rs. 49.19 crore availed upto March 2006, balance of Sales Tax Deferment of Rs. 56.57 crore from April 2006 to May 2009 and interest of Rs. 119.49 crore thereon. The Demand had arisen consequent to Supreme Court''s adverse judgment in case of another cement company.

In order to avoid any coercive measure against the Company by the Department, the Company had paid under protest the full principal demand, toward Sales Tax Exemption and Sales Tax Deferment of Rs. 105.77 crore during the Previous Year, pending judgment from the judicial authorities.

Based on the fact that the grounds under which the Company has been granted this benefit is different from the grounds on which the other cement company availed the benefit and as also based on the opinion of senior legal counsels, the Company believes it has sufficient strong ground eventually to get favorable judgment in its favour.

However out of abundant caution the Company had made provision and shown as Exceptional Item for Rs. 49.19 crore during Previous FY against the Sales Tax Exemption and interest of Rs. 119.49 crore is being considered as a contingent liability.

19. a) Sales include own consumption at cost Rs. 1.76 crore (Previous years Rs. 0.94 crore).

b) Consumption of Stores and Spares is net of scrap sale Rs. 0.90 crore (Previous year Rs. 5.69 crore.)

c) Interest expenses include Rs. 5.24 crore (Previous year Rs. 4.81 crore) being interest on entry tax.

20. Exceptional Items of Rs. 10.73 crore includes Rs. 5.45 crore towards additional expenditure on stabilization of green field Plant at Durg, Chhattisgarh, Rs. 4.28 crore contribution made to District Mines Foundation vide Govt. Notification issued in Sep 15 with retrospective effect from January 2015 and Rs.1.00 crore cement wages award for previous year ( previous year Rs. 49.19 crore (refer note 37) towards provision for Sales Tax Exemption Rs.12.61 crore being one time expenditure incurred on the launch of new Product & setting up of new Marketing Network in Eastern Market and Rs. 1.45 crore being claims against fire loss due to fire & arson at Durg in 2013, not accepted by the insurer).

21. a) Other-Non-Operating Income includes receipts from aircraft flying Rs. 3.78 crore, (previous year Rs. 2.34 crore) net of expenses of Rs. 4.95 crore (previous year Rs. 5.94 crore).

b) Miscellaneous expenses include contribution Rs. Nil (Previous year to Satya Electrol Trust Rs. 1.10 crore) for political purpose, CSR expenses amounting to Rs. 3.12 crore (previous year Rs. 3.36 crore ) and Foreign exchange fluctuation of loss (net) Rs. 1.64 crore (previous year loss (net) Rs. 2.38 crore).

22. a) Forward contracts of Rs. 72.57 crore - USD 10.47 Mn (Previous year Rs. 132.52 crore - USD 20.71 Mn,.) taken for the purpose of hedging of payables and Rs. 13.24 crore -USD 1.98 Mn (previous year Nil) against letter of credit.

b) Un-hedged Rs. 1.39 crore -Euro 0.18 Mn, (previous year Rs. 5.58 crore - USD 0.09 Mn) against letter of credit outstanding as at 31st March, 2016.

23. Based on information available with the Company in respect of MSME (''The Micro Small & Medium Enterprises Development Act 2006''). The details are as under :

i) Principal and Interest amount due and remaining unpaid as at 31st March 2016 -Nil (Previous year Nil ).

ii) Interest paid in terms of section 16 of the MSME Act during the year - Nil (Previous year - Nil).

iii) The amount of Interest due and payable for the period of delay in making payment (which have been paid but beyond the appointed day during the year) but without adding the interest specified - Nil (Previous year - Nil).

iv) Payment made beyond the appointed day during the year - Nil (Previous year - Nil).

v) Interest Accrued and unpaid as at 31st March 2016- Nil (Previous year - Nil).

24. The Company has only one business segment namely Cementitious Materials.

25. Other advances include an amount of Rs. 30.00 crore (including Rs. 3.33 crore receivable within one year) (Previous year Rs. 33.33 crore) (Maximum balance due Rs. 33.33 crore, previous year Rs. 36.67 crore) due from BACL and arising out of an earlier Scheme of Reconstruction, Arrangement and Demerger sanctioned by Hon''ble High Courts of Rajasthan (Jodhpur) and Delhi.

26. The Company is implementing the Revival & Rehabilitation Scheme of Udaipur Cement Works Limited (UCWL) after its approval by BIFR in 2012. With the induction of funds of Rs. 149.11 Crore upto 31st March, 2015 by the Company in UCWL, the Net Worth of UCWL has become positive. UCWL has since come out of the purview of BIFR in January, 2016.

The Company has given Corporate Guarantee to the Trustees of NCDs of Rs. 475 Crore issued on private placement basis by the wholly owned Subsidiary Hansdeep Industries & Trading Company Limited (HITCL). The proceeds of these NCDs issued are being utilized by HITCL for part financing UCWL''s Revival & Rehabilitation Project.

27. During the year the Company has received subsidy of Rs. 0.15 crore (Previous year Rs. 0.30 crore) in terms of State Investment Promotion Scheme, the same is netted from interest.

28. Pending assessment of actual damage to Plant & Machinery and Other Equipments due to incidence of fire and arson at Durg Cement Plant in the year 2013-14, the Company had filed provisional claim of Rs. 83.95 Crore with the Insurance Company.

The claim has since been finally settled in April, 2016 at Rs. 72.12 Crore, with equipment worth Rs. 10.38 Crore found usable & claim of Rs. 1.45 Crore not accepted by Insurance Company (already charged as Exceptional Item in Previous Year).

29. Disclosure pursuant to Clause 32 of the Listing Agreement : (Loans / Advances to employees as per Company''s policy are not considered.)

30. Some of the Balances of debtors and creditors are in process of confirmation.

31. During the Current Financial Year, the Company availed Short Term Bridge Loans to part finance ongoing Projects pending disbursement/tie-up of long term loans from Banks/Markets.

Note 32.

Previous year''s figures have been re-grouped /re-classified wherever necessary and figures less than Rs.50000 have been shown as actual in bracket.

---

Mar 31, 2014

1. Estimated amount of contracts remaining to be executed on capital account (Net of Advances) Rs. 332.60 crore (Previous year Rs. 354.36 crore).

2. Contingent liabilities in respect of claims not accepted by the Company (matters in appeals) and not provided for are as follows :

Rs. in Crore (10 Million)

31st March, 2014 31st March, 2013

a) Excise duty – 2.30

b) Sales tax 60.85 5.45

c) Income Tax 1.30 –

d) Land tax 1.31 1.31

e) Renewable Energy Obligation 19.94 13.04

f) Other matters 6.51 6.85

Total 89.91 28.95

3. In respect of certain disallowances and additions made by the Income Tax Authorities, Appeals are pending before the Appellate Authorities and adjustment, if any, will be made after the same are finally settled.

4. Contingent liability for non-use of jute bags for Cement packing upto 30th June, 1997, as per Jute Packaging Materials (Compulsory use of Packaging Commodities) Act, 1987 is not ascertained and the matter is subjudice. The Government has excluded Cement Industry from application of the said Order from 1st July, 1997.

5. Exceptional Item of Rs. 18.50 crore represents provision made against duties / cess in respect of earlier years for matters under litigation.

6. Maximum balance due for Commercial Paper issued during the year was Rs. 50 crore and the year end balance is Nil (Previous year Maximum balance Rs. 55 crore and at the year end Nil).

7. Rajasthan Government had granted the benefit of 75% exemption to the Company for a period of 9 years vide its notification dated 28.4.2003 on the RST and CST payable u/s 15 of Rajasthan Sales Tax Act 1994. With the enactment of VAT Act, 2006 the benefit of exemption for the balance period was converted into deferment w.e.f. 1st April 2006. The Company has received Show Cause Notices for refund of Rs. 128.32 crore (Rs. 49.20 crore for exemption availed upto March 2006 and Rs. 79.12 crore for deferment from April 2006 to May 2009.Out of deferment, Rs. 15.34 crore has already been paid as per original repayment schedule). This notice has arisen consequent to Supreme Court''s adverse judgment in case of another cement company. Based on the fact that the grounds under which the Company has been granted this benefit is different from the grounds on which the other cement company availed the benefit and as also based on the opinion of senior legal counsel, the Company believes it has a strong ground on which the legal proceedings, if initiated by the Government will be decided in Company''s favour.

8. Factory & Service Buildings and Plant & Machinery of Lakshmi Cement Plant, Jaykaypuram Rajasthan were revalued as at 1st April 1990. Certain fixed assets of aforesaid Plant were revalued and updated as at 1st April, 1997 and certain Buildings, Plant & Machinery and other assets of aforesaid Plant were revalued and / or updated as at 31st March, 2000. Based on report of the valuer on business valuation of Cement business, fixed assets value was re- determined at net replacement cost basis on 1st April 2005. Certain Plant and Machinery and Railway siding of aforesaid plant were revalued and up dated as at 1st April 2008 and 1st April 2011. The Gross Block as at 31st March 2014 includes aggregate revaluation / business valuation of Rs. 396.77 crore (Previous year Rs. 405.55 crore).

9. Sales include own consumption at cost Rs. 6.98 crore (Previous years Rs. 2.68 crore).

10. a) Consumption of Stores and Spares is net of scrap sale Rs. 4.85 crore (Previous year Rs. 3.87 crore.)

b) Interest expenses include Rs. 3.97 crore (previous year Rs. 6.47 crore) being interest on entry tax inclusive of Rs. Nil (previous year Rs. 2.29 crore) being prior period.

11. Other-Non-Operating Income represents receipts from aircraft flying Rs. 3.34 crore, ( previous year Rs. 3.58 crore) net of expenses of Rs. 5.63 crore (previous year Rs. 7.27 crore), and Rs. 10.10 crore on account of liabilities no longer required written back (previous years Rs. 11.11 crore recovery of old dues earlier written off).

12. Forward contracts of Rs. 24.37 crore - EUR 0.04 Mn, USD 3.56 Mn, GBP 0.03 Mn, DKK 0.07 Mn (Previous year Rs. 26.85 crore - EUR .08 Mn USD 3.56 Mn, GBP .01 Mn.) taken for the purpose of hedging against letter of credit outstanding as at 31st March, 2014.

13. a) Based on information available with the Company in respect of MSME (''The Micro Small & Medium Enterprises Development Act 2006''). The details are as under :

i) Principal and Interest amount due and remaining unpaid as at 31st March 2014 - Nil (Previous year - Nil).

ii) Interest paid in terms of section 16 of the MSME Act during the year - Nil (Previous year - Nil).

iii) The amount of Interest due and payable for the period of delay in making payment (which have been paid but beyond the appointed day during the year) but without adding the interest specified - Nil (Previous year - Nil).

iv) Payment made beyond the appointed day during the year - Nil (Previous year - Nil). v) Interest Accrued and unpaid as at 31st March 2014- Nil (Previous year - Nil). b) Some of the Balances of debtors and creditors are in process of confirmation.

14. The Company has only one business segment namely Cementitious Materials.

15. Other advances include an amount of Rs. 36.67 crore (including Rs. 3.33 crore receivable within one year) (Previous year Rs. 40.00 crore) (Maximum balance due Rs. 40.00 crore, previous year Rs. 43.33 crore) due from a Group Company and arising out of an earlier Scheme of Reconstruction, Arrangement and Demerger sanctioned by Hon''ble High Courts of Rajasthan (Jodhpur) and Delhi.

16. (a) The Company has taken up revival and rehabilitation of Udaipur Cement Works Limited (UCWL) after its Rehabilitation Scheme got approved by BIFR in January, 2012. The Company is to invest Rs. 150.00 crore in UCWL inclusive of 9% Non Convertible Redeemable Debentures (NCD) of Rs. 49.79 crore, issued by the Company directly to the erstwhile Term Lenders of UCWL against their outstanding dues. In this connection, the Company has given a Letter of Comfort to BIFR to infuse / arrange funds to meet any crystallized liability in UCWL. The Company has already infused Rs. 111.79 crore (previous year Rs. 90.54 crore) [ inclusive of issue of NCDs of Rs. 49.79 crore (previous year Rs. 49.79 crore) up to 31st March, 2014]. During the year UCWL has issued Equity Shares of Rs. 78.00 crore to the Company .With this, the Company''s holding in UCWL has increased from 27.25% to 75.46% & consequently UCWL has become subsidiary of the Company. The balance of Rs. 33.79 crore is being shown as Advance against Shares. (b) The Company has given a Corporate Guarantee to a Bank for a term loan of Rs. 150.00 crore sanctioned by Bank to UCWL. This term loan is to be utilized by UCWL for its Revival and Rehabilitation Project.

17. During the year the Company has received subsidy of Rs. 5.08 crore (previous year Rs. 6.30 crore) in terms of State Investment Promotion Scheme, of which Rs. 3.50 (previous year Rs. 4.94 crore) and Rs. 1.58 (previous year Rs. 1.36 crore) have been reduced from Interest and wages respectively.

18. Company''s Greenfield cement plant at durg Chattisgarh was temporarily affected due to incident of arson and fire in April 2013. The Company is adequately covered by the Insurers. Pending assessment of final claim by Insurers Rs. 63.95 crore, (net of interim amount received Rs.. 20.00 crore) is shown under other current assets .

19. Disclosure pursuant to Clause 32 of the Listing Agreement : (refer Note 46) (Loans / Advances to employees as per Company''s policy are not considered.)

NOTE 2

RELATED PARTY DISCLOSURE

List of Related Parties :

a) Subsidiary

Hansdeep Industries & Trading Co. Ltd.

Udaipur Cement Works Ltd.(UCWL) w.e.f. 28.03.2014 (previous year Associate)

b) Key Management Personnel (KMP) :

Shri Bharat Hari Singhania Chairman & Managing Director

Smt. Vinita Singhania Vice Chairman & Managing Director

Shri S.K. Wali Whole-time Director

Dr. S. Chouksey Whole-time Director

c) Enterprise over which KMP is able to excercise significant influence : JK Tyre & Industries Ltd. (JKTIL) Rockwood Properties Pvt. Ltd. (RPPL)

(a) Defined Benefit Plan

Amounts recognised as an expenses and included in the Note 26 and Note 52 of herein above.

Item "Salaries and Wages" includes Rs. 1.79 crore (Previous year Rs. 1.78) for Leave Encashment.

Item "Contributions to Provident and Other Funds" includes Rs. 2.67 crore (Previous year Rs. 1.03 crore) for Gratuity.

(b) Defined Contribution Plans –

Amount recognised as an expense and included in Note 26 and Note 52 "Contributions to Provident and other Funds" of Statement of Profit and Loss Rs. 8.66 crore (Previous year Rs. 7.70 crore)

(c) The expected return on plan assets is determined considering several applicable factors mainly the composition of the plan assets held, assessed risks of assets management, historical results of return on plan assets and the policy for plan assets management.

(d) The estimates of future salary increase, considered in actuarial valuation, take account of inflation, seniority, promotion and other relevant factors, such as supply and demand in the employment market.

NOTE 3

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

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Mar 31, 2013

1. Estimated amount of contracts remaining to be executed on capital account (Net of Advances) Rs. 354.36 crore (Previous year Rs. 240.89 crore).

2. Contingent liabilities in respect of claims not accepted by the Company (matters in appeals) and not provided for are as follows :

Rs. in Crore (10 Million)

31st March, 2013 31st March, 2012

a) Excise duty 2.30 15.88

b) Sales tax 5.45 15.86

c) Income Tax - 6.84

d) Land tax 1.31 1.31

e) Other matters 19.89 11.80

Total 28.95 51.69

3. Maximum balance due for Commercial Paper issued during the year was Rs. 55 crore and the year end balance is Nil (Previous year Maximum balance Rs. 60 crore and at the year end Nil).

4. The Board of Directors of the Company in February, 2012, approved the Buy-Back of its Equity Shares up to an amount of Rs. 97.50 crore subject to a price cap of Rs. 70/- per Equity Share. The Company''s Buy-back Scheme was closed on 6th February, 2013. Under the Buy- Back Scheme, the Company bought back and extinguished 46,88,858 Equity Shares resulting in reduction in the Equity Share Capital from Rs. 61.19 crore to Rs. 58.85 crore. The Company utilized Rs. 30.47 crore for the Buy Back for which, Rs. 28.13 crore has been drawn from the Securities Premium Reserve and Rs. 2.34 crore has been appropriated from the Surplus in the Statement of Profit & Loss to Capital Redemption Reserve.

5. In respect of certain disallowances and additions made by the Income Tax Authorities, Appeals are pending before the Appellate Authorities and adjustment, if any, will be made after the same are finally settled. During the Current year Income Tax is higher than Minimum Alternative Tax (MAT) and therefore, the Company has utilized MAT credit entitlement of Rs. 22.51 crore (Previous year Rs. Nil) and forms part of the current tax of the year.

6. Contingent liability for non-use of jute bags for Cement packing upto 30th June, 1997, as per Jute Packaging Materials (Compulsory use of Packaging Commodities) Act, 1987 is not ascertained and the matter is subjudice. The Government has excluded Cement Industry from application of the said Order from 1st July, 1997.

7. Under the Sales Tax exemption granted by the State Government, contingent liability may arise, if the Hon''ble Supreme Court of India, in case of another Company on the same subject, decides contrary to the judgement of Hon''ble High Court of Rajasthan, presently amount cannot be ascertained.

8. Factory & Service Buildings and Plant & Machinery of Lakshmi Cement Plant, Jaykaypuram Rajasthan were revalued as at 1st April 1990. Certain fixed assets of aforesaid Plant were revalued and updated as at 1st April, 1997 and certain Buildings, Plant & Machinery and other assets of aforesaid Plant were revalued and / or updated as at 31st March, 2000. Based on report of the valuer on business valuation of Cement business, fixed assets value was re- determined at net replacement cost basis on 1st April 2005. Certain Plant and Machinery and Railway siding of aforesaid plant were revalued and up dated as at 1st April 2008 and 1st April 2011. The Gross Block as at 31st March 2013 includes aggregate revaluation / business valuation of Rs. 405.55 crore (Previous year Rs. 422.43 crore).

9. During the current year ,the Company has changed with retrospective effect, the method of providing depreciation on Split Grinding Units from ''Straight Line'' to ''Written Down Value'' at the rate prescribed in Schedule XIV to the Companies Act, 1956. This shall result in more systematic basis of apportionment of Depreciation charge over the useful economic life of the Split Grinding Units. This change has resulted in an additional depreciation charge of Rs. 27.83 crore comprising of Rs. 11.50 for the year and Rs. 16.33 crore for the earlier years, which has been shown as an Exceptional Item. The Profit after tax for the year would have been higher by Rs. 18.80 crore had the Company continued to follow the earlier method of depreciation.

10. Sales include own consumption at cost Rs. 2.68 crore (Previous years Rs. 3.85 crore).

11. a) Consumption of Stores and Spares is net of scrap sale Rs. 3.88 crore (Previous year Rs. 3.59 crore.)

b) Interest expenses include Rs. 6.47 crore (Previous year Rs. 7.76 crore) being interest on entry tax inclusive of Rs. 2.29 crore (Previous year Rs. 7.76 crore) being prior period.

12. Other-Non-Operating Income represents receipts from aircraft flying, net of expenses of Rs. 7.27 crore (Previous year Rs. 5.80) and Rs. 11.11 crore recovery of old dues earlier written off.

13. a) Foreign exchange gain (net) amounting Rs. 1.08 crore (Previous year loss (net) Rs. 0.67 crore) has been included in respective heads of accounts in Statement of Profit and Loss.

b) Forward contracts of Rs. 26.85 crore - EUR 0.08 Mn, USD 3.56 Mn, GBP 0.01 Mn (Previous year Rs. 19.98 crore - EUR 2.83 Mn USD 0.13Mn.) taken for the purpose of hedging against letter of credit outstanding as at 31st March, 2013.

14. a) Based on information available with the Company in respect of MSME (''The Micro Small & Medium Enterprises Development Act 2006''). The details are as under :

i) Principal and Interest amount due and remaining unpaid as at 31st March 2013 - Nil (Previous year - Nil).

ii) Interest paid in terms of section 16 of the MSME Act during the year - Nil (Previous year - Nil).

iii) The amount of Interest due and payable for the period of delay in making payment (which have been paid but beyond the appointed day during the year) but without adding the interest specified - Nil (Previous year - Nil).

iv) Payment made beyond the appointed day during the year - Nil (Previous year - Nil).

v) Interest Accrued and unpaid as at 31st March 2013- Nil (Previous year - Nil).

b) Some of the Balances of debtors and creditors are in process of confirmation.

15. The Company has only one business segment namely Cementitious Materials.

16. Other advances include an amount of Rs. 40.00 crore (including Rs. 3.33 crore receivable within one year) (Previous year Rs. 43.33 crore) (Maximum balance due Rs. 43.33 crore, previous year Rs. 46.66 crore) due from a Group Company and arising out of an earlier Scheme of Reconstruction, Arrangement and Demerger sanctioned by Hon''ble High Courts of Rajasthan (Jodhpur) and Delhi.

17. The Company has taken up revival and rehabilitation of Udaipur Cement Works Limited (UCWL) after its Rehabilitation Scheme got approved by BIFR in January, 2012. The Company is to invest Rs. 150.00 crore in UCWL including 9% Non Convertible Redeemable Debentures (NCD) of Rs. 50 crore, issued by the Company directly to the erstwhile Term Lenders of UCWL against their outstanding dues. In this connection, the Company has given a Letter of Comfort to BIFR to infuse / arrange funds to meet any crystallized liability in UCWL. The Company has already paid Rs. 90.54 crore (Previous year Rs. 11.44 crore) [ including issue of NCDs of Rs. 49.79 crore (Previous year Nil) up to 31st March, 2013] shown as Advance against Securities to be issued by UCWL.

18. Other Advances (refer Note 19) include Nil (Previous year Rs. 3 crore) paid by the Company to Dwarkesh Energy Limited, a SPV for the Power Project, for subscribing to their Optionally Convertible Cumulative Redeemable Preference Shares (OCCRPS) of Rs. 10 crore (face value Rs. 100.00). The OCCRPS have since been allotted to the Company.

19. During the year the Company has received subsidy of Rs. 6.30 crore (Previous year Rs. 7.82 crore) in terms of State Investment Promotion Scheme, of which Rs. 4.94 (Previous year Rs. 6.71 crore) and Rs. 1.36 (Previous year Rs. 1.11 crore) have been reduced from Interest and wages respectively.

20. Disclosure pursuant to Clause 32 of the Listing Agreement : (refer Note 47) (Loans / Advances to employees as per Company''s policy are not considered.)

NOTE 21

Capital work in progress includes Machinery in stock, construction / erecetion materials, advances for Construction and Machinery and also include the following pre -operation expenses pending allocation.

a) Defined Benefit Plan

Amount recognised as an expenses and included in the Note 26 and Note 53 of herein above.

Item "Salaries and Wages" includes Rs. 1.78 crore (Previous year Rs. 1.77 crore) for Leave Encashment.

Item "Contributions to Provident and Other Funds" includes Rs. 1.03 crore (Previous year Rs. 3.46 crore) for Gratuity,

(b) Defined Contribution Plans -

Amount recognised as an expense and included in Note 26 and Note 53 "Contributions to Provident and other Funds" of Statement of Profit and Loss Rs. 7.70 crore (Previous year Rs. 7.43 crore)

(c) The expected return on plan assets is determined considering several applicable factors mainly the composition of the plan assets held, assessed risks of assets management, historical results of return on plan assets and the policy for plan assets management.

(d) The estimates of future salary increase, considered in actuarial valuation, take account of inflation, seniority, promotion and other relevant factors, such as supply and demand in the employment market.

NOTE 22

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

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Mar 31, 2012

A. Terms / right attached to Equity shareholders :

The Company has only one class of equity shares having a par value of Rs 5 per share. Each holder of equity shares is entitled to one vote per share.

1. Secured Redeemable Non-Convertible Debentures( NCDs) are privately placed and consists of :

(i) 10.35% NCDs Series B-2 of Rs 60 crore are redeemable in three equal annual installments at the end of 8th, 9th and 10th year from the date of allotment i.e. 4th Feb, 2010.

(ii) 10.05% NCDs Series B-1 of Rs 40 crore are redeemable in two equal annual installments at the end of 6th and 7th year from the date of allotment i.e. 4th Feb, 2010.

(iii) 9.85% NCDs Series A of Rs 100 crore are redeemable in two equal annual installments at the end of 4th and 5th year from the date of allotment i.e. 4th Feb, 2010.

2. NCDs are secured by a mortgage on the Company's immovable properties located in the State of Gujarat and are also secured by way of a first charge on all the immovable and movable fixed assets pertaining to the Company's Cement Unit situated at Jaykaypuram, Basantgarh, Distt. Sirohi, in the State of Rajasthan, ranking pari-passu with the charges created on the said fixed assets, subject to the prior charges in favour of Banks on specified assets.

3. Term Loans from Financial Institution aggregating to Rs 5.98 crore are secured by way of a first charge on all the immovable and movable properties pertaining to the Company's Cement Unit situated at Jaykaypuram, Basantgarh, Distt. Sirohi, in the State of Rajasthan, ranking pari-passu with the charges created on the said assets subject to the prior charges in favour of Banks on specified assets and Company's Banks for working capital on specified movables assets. These Term Loans are repayable in 8 quarterly installments.

4. Term Loans from Banks aggregating to Rs 247.00 crore are secured by way of a first charge on all the immovable and movable properties pertaining to the Company's Cement Unit situated at Jaykaypuram, Basantgarh, Distt. Sirohi, in the State of Rajasthan, ranking pari-passu with the charges created on the said assets subject to the prior charges in favour of Banks on specified assets and Company's Banks for working capital on specified movables assets. These Term Loans are / shall be repayable as under:

(a) Term Loans aggregating to Rs 154.86 crore are repayable in 8 quarterly installments.

(b) Term Loan of Rs 57.14 crore is repayable in 16 equal quarterly installments.

(c) Term Loan of Rs 35.00 crore shall be repayable in 32 equal quarterly installments commencing from 30th June 2013.

5. Term Loans from a Bank aggregating to Rs 50.00 crore are secured / to be secured by way of a first charge on all the immovable and movable properties pertaining to the Company's Cement Unit situated at Jaykaypuram, Basantgarh, Distt. Sirohi, in the State of Rajasthan, ranking pari-passu with the charges created on the said assets subject to the prior charges in favour of Banks on specified assets and Company's Banks for working capital on specified movables assets. These Term Loans shall be repayable as under:

(a) Term Loan of Rs 15.00 crore shall be repayable in 20 equal quarterly installments commencing from 31st March 2013.

(b) Term Loan of Rs 35.00 crore shall be repayable in 32 equal quarterly installments commencing from 30th June 2014.

6. Term Loans from Banks aggregating to Rs 164.77 crore are secured by way of an exclusive charge on certain specified assets of the Company situated at Jaykaypuram, Basantgarh, Distt. Sirohi, in the State of Rajasthan. These Term Loans are / shall be repayable as under:

(a) Term Loans aggregating to Rs 30.33 crore are repayable in 14 equal quarterly installments.

(b) Term Loan of Rs 21.94 crore is repayable in 16 equal quarterly installments.

(c) Term Loan of Rs 62.50 crore is repayable in 20 equal quarterly installments.

(d) Term Loan of Rs 50.00 crore shall be repayable in 32 equal quarterly installments commencing from 30th June 2013.

6. Term Loan from a Bank of Rs 70.00 crore is secured / to be secured by way of exclusive first charge on immovable & movable fixed assets of the Company's Split Grinding Unit situated at Jhajjar, in the State of Haryana, except charge on the Current Assets. This Term Loan shall be repayable in 32 equal quarterly installments commencing from 30th June 2014.

7. Term Loans from Banks aggregating to Rs 225.00 crore are secured / to be secured by way of first pari passu charge on all the immovable and movable fixed assets of the Company's Greenfield Cement Plant at Durg in the State of Chattisgarh. These Term Loans shall be repayable in 40 equal quarterly installments commencing from 1st April 2014.

8. Unsecured Deferred Sales Tax Loan of Rs 86.04 crore includes Rs 3.86 crore payable in one installment during 2012-13 and balance Rs 82.18 crore repayable in 16 quarterly installments commencing from July, 2013.

9. Fixed Deposits represents the Deposits accepted by the Company from Public under its Fixed Deposit Scheme having maturity of 2 & 3 years from the date of deposits.

NOTES TO ACCOUNT

1. Estimated amount of contracts remaining to be executed on capital account (Net of Advances) Rs 240.89 crore (Previous year Rs 336.70 crore).

2. Contingent liabilities in respect of claims not accepted by the Company (matters in appeals) and not provided for are as follows :

Rs in Crore (10 Million) 31st March 31st March 2012 2011

a) Excise duty 15.88 14.58

b) Sales tax 15.86 9.36

c) Income Tax 6.84 30.86

d) Land tax 1.31 1.31

e) Other matters 11.80 25.45

Total 51.69 81.56

3. Maximum balance due for Commercial Paper issued during the year was Rs 60 crore and the year end balance is Nil (Previous year Maximum balance Rs 40 crore and at the year end Nil).

4. The Board of Directors of the Company, in February, 2012, approved the Buy-Back of its Equity Shares up to an amount of Rs 97.50 crore at price not exceeding Rs 70.00 per Share. The Company started the Buy-Back in the last week of March, 2012 and has bought back and extinguished 7,000 Equity Shares up to 31st March 2012. Consequently a sum of Rs 0.35 lac has been appropriated to Capital Redemption Reserve from Surplus in Statement of Profit and Loss and Rs 4.20 lac has been reduced from Securities Premium Reserve.

5. In respect of certain disallowances and additions made by the Income Tax Authorities, Appeals are pending before the Appellate Authorities and adjustment, if any, will be made after the same are finally settled.

6. Contingent liability for non-use of jute bags for Cement packing upto 30th June, 1997, as per Jute Packaging Materials (Compulsory use of Packaging Commodities) Act, 1987 is not ascertained and the matter is subjudice. The Government has excluded Cement Industry from application of the said Order from 1st July, 1997.

7. Under the Sales Tax exemption granted by the State Government, contingent liability may arise, if the Hon'ble Supreme Court of India, in case of another Company on the same subject, decides contrary to the judgement of Hon'ble High Court of Rajasthan, presently amount cannot be ascertained.

8. Factory & Service Buildings and Plant & Machinery of Lakshmi Cement Plant, Jaykaypuram Rajasthan were revalued as at 1st April 1990. Certain fixed assets of aforesaid Plant were revalued and updated as at 1st April, 1997 and certain Buildings, Plant & Machinery and other assets of aforesaid Plant were revalued and / or updated as at 31st March, 2000. Based on report of the valuer on business valuation of Cement business, fixed assets value was re-determined at net replacement cost basis on 1st April 2005. Certain Plant and Machinery of aforesaid plant were revalued and up dated as at 1st April 2008. Further during the Current year certain Plant and Machinery and Railway Siding of aforesaid Plant were revalued by an approved valuer and updated as at 1st April 2011 based on their current replacement value, resulting in an increase in their value by Rs 68.13 crore (as compared to the net book value as on that date), which has been transferred to Revaluation Reserve. The Gross Block as at 31st March 2012 includes aggregate revaluation / business valuation of Rs 422.43 crore (Previous year Rs 354.83 crore).

9. (a) During the current year, the Company has changed with retrospective effect, the method of providing depreciation on Captive Power Plants from 'Straight Line' to 'Written Down Value' at the rate prescribed in Schedule XIV to the Companies Act, 1956. This shall result in a more systematic basis of apportionment of depreciation charge over the useful economic life of the Captive Power Plants. This change has resulted in an additional depreciation charge of Rs 63.68 crore comprising of Rs 24.44 crore for the year and Rs 39.24 crore for the earlier years, which has been shown as an Exceptional Item. The Profit after Tax for the year would have been higher by Rs 43.02 crore had the Company continued to follow the earlier method of depreciation.

(b) Depreciation on Aircraft has been considered on the basis of its residual economic life.

10. (a) Sales include own consumption at cost Rs 3.85 crore (Previous years Rs 0.75 crore).

(b) Consumption of Stores and Spares is net of scrap sale Rs 3.59 crore (Previous year Rs 2.93 crore.)

(c) Prior period expenses represent interest on entry tax/sales tax.

11. Other-Non-Operating Income represents receipts from aircraft flying, net of expenses Rs 5.80 crore (previous year Rs 3.97 crore).

12. (a) Foreign exchange Loss (net) amounting Rs 0.67 crore (Previous year gain (net) Rs 0.61 crore) has been included in respective heads of accounts in Statement of Profit and Loss.

(b) Forward contracts of Rs 19.98 crore - EUR 2.83 Mn, USD 0.13 Mn (Previous year Rs 25.48 crore - EUR 2.29 Mn, USD 2.44 Mn.) taken for the purpose of hedging against letter of credit outstanding as at 31st March, 2012.

13. Research and Development expenditure amounting to Rs 0.32 crore (Previous year Rs 0.29 crore) has been debited to Statement of Profit and Loss.

14. (a) Based on information available with the Company in respect of MSME (The Micro Small & Medium Enterprises Development Act, 2006) the details are as under :

(i) Principal and Interest amount due and remaining unpaid as at 31st March 2012 - Nil (Previous year - Nil).

(ii) Interest paid in terms of section 16 of the MSME Act during the year - Nil (Previous year - Nil).

(iii) The amount of Interest due and payable for the period of delay in making payment (which have been paid but beyond the appointed day during the year) but without adding the interest specified - Nil (Previous year - Nil).

(iv) Payment made beyond the appointed day during the year - Nil (Previous year - Nil).

(v) Interest Accrued and unpaid as at 31st March 2012- Nil (Previous year - Nil).

(b) Some of the balances of debtors and creditors are in process of confirmation.

15. The Company has only one business segment i.e. Cement.

16. Other advances include an amount of Rs 43.33 crore (including Rs 3.33 crore receivable within one year) (Previous year Rs 46.66 crore) (Maximum balance due Rs 46.66 crore, Previous year Rs 50.00 crore) due from a Group Company and arising out of an earlier Scheme of Reconstruction, Arrangement and Demerger sanctioned by Hon'ble High Courts of Rajasthan (Jodhpur) and Delhi.

17. The Company has taken up revival and rehabilitation of Udaipur Cement Works Limited (UCWL) after its Rehabilitation Scheme got approved by BIFR in January, 2012. As per the Scheme, the Company is to invest Rs 98.64 crore in UCWL including 9% Non Convertible Redeemable Debentures (NCD) of Rs 50 crore, to be issued by the Company directly to the erstwhile Term Lenders of UCWL against their outstanding dues. In this connection, the Company has given a Letter of Comfort to BIFR to infuse / arrange funds to meet any crystallized liability in UCWL. The Company has already paid Rs 11.44 crore (Previous year Rs 1.83 crore) upto 31st March, 2012 which is being reflected in Other Advances as per Note 19.

18. Other Advances (refer Note 19) include Share Application Money of Rs 3 crore (Previous year Nil) paid by the Company to Dwarkesh Energy Limited, a SPV for the Power Project, for subscribing to the Optionally Convertible Cumulative Redeemable Preference Shares (OCCRPS) of Rs 10 crore (face value Rs 100.00).

19. Disclosure pursuant to Clause 32 of the Listing Agreement : Nil

(Loans / Advances to employees as per Company's policy are not considered.)

ii) Details of remuneration to KMP : Vice Chairman & Managing Director Rs 5.75 crore (Previous year Rs 2.28 crore), Managing Director Rs 5.91 crore (Previous year Rs 2.36 crore) and Whole-time Directors Rs 1.82 crore each (Previous year Rs 1.22 crore each). Remuneration is excluding provision for Gratuity & Leave Encashment, where the actuarial valuation is done on overall Company basis.

$ All the above transactions are with JKTIL except the one marked with # is with RPPL.

* Maximum amount outstanding Rs 0.03 crore (Previous year Rs 0.02 crore)

(a) Defined Benefit Plan

Amounts recognised as an expense and included in the Note 26 and Note 51 of herein above.

Item "Salaries and Wages" includes Rs 1.77 crore (Previous year Rs 0.91 crore) for Leave Encashment.

Item "Contributions to Provident and Other Funds" includes Rs 3.46 crore (Previous year Rs 2.78 crore) for Gratuity.

(b) Defined Contribution Plans

Amount recognised as an expense and included in Note 26 and Note 51 "Contributions to Provident and other Funds" of Statement of Profit and Loss Rs 7.67 crore ( Previous year Rs 7.29 crore)

(c) The expected return on plan assets is determined considering several applicable factors mainly the composition of the plan assets held, assessed risks of assets management, historical results of return on plan assets and the policy for plan assets management.

(d) The estimates of future salary increase, considered in actuarial valuation, take account of inflation, seniority, promotion and other relevant factors, such as supply and demand in the employment market.

(e) Provident Fund

Pending the issuance of the Guidance Note from the Institute of Actuaries of India, the Company's actuary has expressed his inability to reliably measure the provident fund liability.

NOTE 20

Current year accounts have been prepared in accordance with the Revised Schedule- VI and previous year's figures have been re-grouped /re-classified accordingly.

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Mar 31, 2010

1. Estimated amount of contracts remaining to be executed on capital account (Net of Advances) Rs. 133.33 crore (Previous year Rs. 83.53 crore).

2. Contingent liabilities in respect of claims not accepted by the Company (matters in appeals) and not provided for are as follows :

Rs. in Crore (10 Million) 31st March 2010 31st March 2009 (a) Excise duty liabilities 4.68 4.68 (b) Sales tax liability 9.35 9.30 (c) Entry tax liabilities - 12.35 (d) Income Tax 26.55 5.94 (e) Land tax 1.31 1.31 (f) Other matters 22.22 16.81 Total 64.11 50.39

3. The proceeds of privately placed Secured Listed Redeemable Non –Convertible Debentures, pending its full utilisation, have been temporarily deployed in Working Capital/Short Term Investments.

4. Maximum balance due for Commercial Paper issued during the year was Rs. 20 crore and the year end balance is Nil (Previous year Nil).

5. In respect of certain disallowances and additions made by the Income Tax Authorities, appeals are pending before the Appellate Authorities and adjustment, if any, will be made after the same are finally settled.

6. Contingent liability for non-use of jute bags for Cement packing upto 30th June, 1997, as per Jute Packaging Materials (Compulsory use of Packaging Commodities) Act, 1987 is not ascertained and the matter is subjudice. The Government has excluded Cement Industry from application of the said Order from 1st July, 1997.

7. Under the Sales Tax exemption granted by the State Government, contingent liability may arise, if the Hon’ble Supreme Court of India, in case of another Company on the same subject, decides contrary to the judgement of Hon’ble High Court of Rajasthan, presently amount cannot be ascertained.

8. (a) Factory & Service Buildings and Plant & Machinery of Lakshmi Cement Plant were revalued as at 1st April,1990.

Certain fixed assets of Lakshmi Cement Plant were revalued and updated as at 1st April, 1997 and certain Buildings, Plant & Machinery and other assets of Lakshmi Cement Plant were revalued and/or updated as at 31st March, 2000. Based on report of the valuer on business valuation of Cement business, fixed assets value was redetermined at net replacement cost basis on 1st April 2005. Further certain Plant and Machinery were revalued and up dated as at 1st April 2008 based on current replacement value. The Gross Block as at 31.03.2010 includes cumulative surplus of Rs. 354.83 crore (Previous year Rs. 355.17 crore) arising on revaluation/business valuation.

(b) Balance in Revaluation Reserve is net of Rs. 70.34 crore (Previous year Rs. 70.34 crore) arised on revaluation and Rs. 114.54 crore (Previous year Rs. 114.54 crore) arised on business valuation (refer 8 (a) herein above), after providing for additional depreciation.

9. Sundry Debtors exceeding six months and loans and advances are net of provisions for doubtful debts Rs. 1.19 crore and Rs. 4.22 crore respectively (Previous year Rs. 0.72 crore and Rs. 4.22 crore respectively) and are after Nil bad debts (Previous year Nil).

10. Sales include own consumption at cost Rs. 0.34 crore (Previous years Rs. 0.96 crore).

11. (a) Consumption of Stores and Spares is net of scrap sale Rs. 2.89 crores (Previous year Rs. 2.17 crore).

(b) Interest income under Schedule 17 includes Rs. 31.96 crore on deposits with Banks and others (Previous year Rs. 28.60 crore). Tax deducted at source Rs. 2.31 crores (Previous year Rs. 5.61 crore).

(c) Miscellaneous income includes Rs. 0.09 crore recovery against debtors written off and Rs. 0.04 crore interest on Income tax (Previous year include Rs. 0.21 crore against debtors written off).

12. (a) Foreign exchange gain (net) amounting Rs. 0.63 crore (Previous year Rs. 2.19 crore) has been included in respective heads of accounts in Profit & Loss Account.

(b) Forward contracts of Rs. 3.38 crore – EUR 0.04 Mn, USD 0.009 Mn and DKK0.03 Mn. (Previous year Rs. 1.29 crore – EUR 0.192 Mn) taken for the purpose of hedging against letter of credit outstanding as at 31st March, 2010.

(c) Foreign currency exposure not hedged is Nil (Previous year - Nil) .

13. Research and Development expenditure amounting to Rs. 0.31 crore (Previous year Rs. 0.28 crore) has been debited to Profit and Loss Account.

14. Loans and Advances includes Rs. 1.45 crore being Advance for Securities (Previous year - Nil).

15. Investor Education and Protection Fund includes Rs. 0.82 crore for unclaimed dividend (Previous year Rs. 0.31 crore), Rs. 0.10 crore for unclaimed fixed deposits (Previous year Rs. 0.09 crore), and Rs. 0.06 crore interest accrued on above ( Previous year Rs. 0.04 crore).

16. (a) Based on information available with the Company in respect of MSME (‘The Micro Small & Medium Enterprises Development Act 2006’). The details are as under :

(i) Principal and Interest amount due and remaining unpaid as at 31.03.2010 - Nil (Previous year - Nil).

(ii) Interest paid in terms of section 16 of the MSME Act during the year - Nil (Previous year - Nil).

(iii) The amount of Interest due and payable for the period of delay in making payment (which have been paid but beyond the appointed day during the year) but without adding the interest specified – Nil (Previous year - Nil).

(iv) Payment made beyond the appointed day during the year - Nil (Previous year - Nil).

(v) Interest Accrued and unpaid as at 31.03.2010 - Nil (Previous year - Nil)

(b) Some of the Balances of debtors and creditors are in process of confirmation.

17. The Company has only one business segment i.e. Cement.

18. Under Loans and advances, advances recoverable in cash or in kind include Loan amounting to Rs. 50.00 crore, (maximum amount due Rs. 53.33 crore) (Previous year Rs. 53.33 crore, maximum amount due Rs. 56.67 crore).

19. Investments purchased and sold during the year :

LICMF Floating Rate Fund- Short Term Plan Growth Plan 14,32,72,436.707 Units, LIC MF Liquid Fund - Growth Plan 8,41,27,091.755 Units, LIC MF Savings Plus Fund - Growth Plan 2,06,24,228.642 Units, Reliance Floating Rate Fund Growth Plan Growth Option 2,47,30,060.944 Units, DSP BlackRock Cash Manager Fund Institutional Gr. 35,390.886 Units, DSP Black Rock Floating Rate Fund Regular Plan Growth 70,33,626.093 Units, DSP Black Rock Floating Rate Fund Institutional Growth 78,700.393 Units, DSP BlackRock Money Manager Fund Institutional Growth 80,724.918 Units, Fortis Overnight-Institutional-Growth Option 81,83,761.718 Units, Fortis Money Plus Fund-Institutional Plan-Growth Option 83,04,385.624 Units Templeton Floating Rate Income Fund Short Term Plan Institutional Option Gr. 37,69,204.113 Units, TATA Floating Short Term Institutuional Growth Plan 60,65,973.575 Units, UTI Floating Rate Fund STP Growth 13,945.786 Units, ICICI Prudential Institutional Income Plan Growth 33,15,045.333 Units, Principal Income Fund Institutional Plan Accumlation Plan 13,26,066.489 Units, Birla Sun Life Income Plus - Growth 12,31,072.264 Units, Reliance Income Fund-Retail Plan-Growth Option 16,70,430.704 Units. HDFC Cash Management Fund Treasury Advantage Plan - Wholesale Growth 29,95,192.721 Units, HDFC Cash Management Fund Savings Plan - Growth 43,45,110.393 Units, Reliance Floating Rate Fund - Daily Dividend Reinvestment Plan10,42,91,809.704 Units, Reliance Money Manager Fund-Institutional Option - Daily Dividend Plan 12,39,285.215 Units, HDFC Cash Management Fund - Savings Plan - Daily Dividend Option : Reinvest 1,88,05,387.525 Units, HDFC Cash Management Fund - Treasury Advantage Plan - Wholesale - Daily Dividend Option Reinvest 99,72,086.688 Units, HSBC Cash Fund - Institutional Plus - Daily Dividend 99,95,035.496 Units, Birla Sun Life Cash Plus - Instl. Prem. - Daily Dividend - Reinvestment 2,99,44,200.156 Units, LICMF Floating Rate Fund - Short Term Plan - Daily Dividend Plan 91,32,02,077.597 Units, LICMF Liquid Fund - Dividend Plan 8,93,651,718.367 Units, Templeton India Treasury Management Account Super Institutional Plan Daily Dividend Reinvestment 1,99,880.872 Units.

20. Related Party Disclosure : List of Related Parties :

(a) Subsidiary

Hansdeep Industries & Trading Co. Ltd.

(b) Key Management Personnel (KMP) :

Shri Bharat Hari Singhania Vice Chairman & Managing Director Smt. Vinita Singhania Managing Director Shri S.K. Wali Whole-time Director Shri S. Chouksey Whole-time Director

(c) Enterprise over which KMP is able to excercise significant influence : JK Tyre & Industries Ltd. (JKTIL)

Rockwood Properties Pvt. Ltd. (RPPL)

21. Capital work in progress includes Machinery in stock, construction/erection materials, advances for Construction and Machinery and also include the following pre-operation expenses pending allocation.

Notes:

(a) As certified by the Management

(b) Includes Clinker sale 4,16,535 Tonnes (Previous year 3,20,919 Tonnes), Cement used in Ready Mix Concrete (RMC) 85,077 Tonnes (Previous year 62,331 Tonnes) and shortages & samples 3,162 Tonnes (Previous year 2,851 tonnes)

(c) Including Clinker sale Rs. 110.85 crore (Previous year Rs. 80.08 crore), RMC sale Rs 82.89 crore (Previous year Rs. 57.55 crore) and Other sales Rs. 11.26 crore (Previous year Rs. 7.76 crore).

(d) Figures in bracket represent previous year.

22. Purchase of Finished Goods 25,364 Tonnes - Rs. 16.86 crore (Previous year : 20,438 Tonnes - Rs. 12.81 crore)

23. Disclosure pursuant to Clause 32 of the Listing Agreement : Nil Note : Loans/Advances to employees as per Company’s policy are not considered.

(b) Defined Contribution Plans -

Amount recognised as an expense and included in the Schedule 14 “Contributions to Provident and other Funds” of Profit and Loss Account Rs. 5.30 crore (Previous year Rs. 3.41 crore)

(c) The expected return on plan assets is determined considering several applicable factors mainly the composition of the plan assets held, assessed risks of assets management, historical results of return on plan assets and the policy for plan assets management.

(d) The estimates of future salary increase, considered in actuarial valuation, take account of inflation, seniority, promotion and other relevant factors, such as supply and demand in the employment market.

24 Previous year’s figures have been re-arranged and re-cast wherever necessary.