Notes to Accounts of Patidar Buildcon Ltd.

Mar 31, 2024

Note 26 Capital Management

For the purpose of the Company''s capital management, capital includes issued equity capital and all other equity reserves attributable to the equity
holders of the Company. The primary objective of the Company''s capital management is to ensure that it maintains an efficient capital structure and
healthy capital ratios in order to support its business and maximise shareholder value.

The Company determines the capital management requirements on the basis of Annual Operating Plan (AOP) and other strategic investment plans as
approved by the Board of Directors. The Company manages its capital structure and makes adjustments to it in light of changes in economic conditions
or its business requirements. To maintain or adjust the capital structure, the Company may adjust the dividend payment to shareholders, return capital
to shareholders or issue new shares. The Company owes debt to their directors as at balance sheet date.

Note 26(A) Impact of COVID-19 on financial statements

The company has considered internal and certain external source of information including credit reports, economic forecasts and industry reports up to
the date of approval of financial statements.

The company has used the principal of prudence in applying the judgements, estimates and assumptions.

Company expects to fully recover the carrying amount of trade receivables, inventories and investments. The eventual outcome of impact of global
health pandemic may be different from those estimated as on the date of approval of financial statements.

Based on the detailed assessment of the impact of COVID-19 on the operations of the company and ongoing discussion with vendors and service
providers, the management is confident to obtained regular supply of material and other services.

The outbreak of COVID-19 pandemic globally and in India is causing significant disturbance and shutdown of economic activities. The company has
evaluated impact of this pandemic on its business operations and based on its review and current indicators of future economic conditions, there is no
significant impact on its financial statements.

Financial Instrument measured at amortised cost

The carrying amount of financial assets and financial liabilities measured at amortised cost in the financial
statements are a reasonable approximation of their fair values since the Company does not anticipate that
the carrying amounts would be significantly different from the values that would eventually be received or
settled.

Note 28 Financial risk management objectives and policies
Risk management framework

The Company''s principal financial liabilities comprises of trade and other payables and financial liabilities.
The main purpose of these financial liabilities is to finance the Company''s operations to support its
operations. The Company''s principal financial assets include loans, trade and other receivables and cash
and cash equivalents that derive directly from its operations. The Company also holds FVTPL investments.

The Company has an effective risk management framework which helps the Board to monitor the risks
controls in key business processes. In order to minimise any adverse effects on the bottom line, the
Company takes various mitigation measures such as credit control, The Company''s risk management
activities are subject to the management, direction and control of the management of the Company under
the guideline of the Board of Directors of the Company. The management ensures appropriate financial risk
governance framework for the Company through appropriate policies and procedures and that financial
risks are identified, measured and managed in accordance with the Company''s policies and risk objectives.
It is the Company''s policy that no trading in derivatives for speculative purposes may be undertaken. The
decision of whether and when to execute derivative financial instruments along with its tenure can vary
from period to period depending on market conditions and the relative costs of the instruments. The tenure
is linked to the timing of the underlying exposure, with the connection between the two being regularly
monitored.

The Company has exposure to the following risks arising from financial instruments:

¦ Credit risk ;

¦ Liquidity risk ; and

¦ Market risk

i. Credit risk

Credit risk is the risk that counter party will not meet its obligation leading to a financial loss. The
Company is exposed to credit risk arising from its operating activities primarily from trade receivables
and from financing activities primarily realting to investment in equity shares. The Company considers
probability of default upon initial recognition of assets and whether there has been a significant increase
in credit risk on an ongoing basis throughtout the reporting period. To assess whether there is a
significant increase in credit risk, the Company compares the risk of default occuring on the asset as at
the reporting date with the risk of default as at the date of initial recognition. This assessment is based
on available information and the business environment.

a) Trade and other receivables

The Company has a Credit Policy and extends credit to its customers based on customer''s credit
worthiness, ability to repay, and past track record. The extension of credit is constantly monitored
through a review mechanism.

Impairment of trade receivables:

The impairment provisions for trade receivables are based on assumptions about risk of default and
expected cash loss rates. The Company uses judgement in making these assumptions and selecting the
inputs to the impairment calculation, based on Company''s past history, existing market conditions as
well as forward looking estimates at the end of each reporting period i.e. a practical expedient. The
Company calculates expected credit loss allowance based on the ageing of the days the receivables are
due.

Based on the assessment as at each reporting date, the expected credit loss allowance is Nil.

b) Financial Instruments and Cash Deposits

The credit risk from balances with Banks, current investments and other financial assets are managed in
accordance with company''s policy. Investment of funds are primarily made in equity shares quoted in a
recognised stock exchange.

ii. Liquidity risk

Liquidity risk is the risk that the company may encounter difficulty in meeting its obligations. The
company prepares a detailed Annual Operating Plan (AOP) to assess both short term as well as long term
fund requirements. Detailed month-wise cash flow forecast is also carried out to determine the working
capital and other long term fund requirements. The company funds both these requirements through
internal accruals and short-term loans from the directors.

The company does not have any derivative financial liability as at the reporting date.

iii. Market risk

Market Risk is the risk that the fair value of the future cash flow will fluctuate because of changes in the
market prices such as currency risk, interest rate risk and commodity price risk.

a. Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate
because of changes in the Market interest rates.

Besides the impact of interest rate risk on the provision for retirement benefits, the company is not exposed
to significant interest rate risk at the respective reporting date as it does not have any borrowings.

a. Exposure to interest rate risk

The Company does not have any significant exposure to short and long term fixed deposits invested at fixed rate of interest, it''s
interest income and related cash inflows are not affected by changes in the market interest rates.

b. Equity price risk

Price risk is the risk arising from investments held by the company and classified in the balance sheet either at fair value through
Other Comprehensive Income or at fair value through Profit & Loss Account. The company''s investments are current in nature
and primariliy in Liquid Plan of Mutual Funds which are not exposed to significant price risk.

c. Foreign currency risk

There is no foreign currecny exposure in the company.

(ii) The downfall is on account of reduction in Total Turnover YoY.

(iii) The YoY change is on account of increase in finance / interest cost in CY.

(iv) The YoY spike in Current Ratio is mainly on account of fewer payments pending to Suppliers as at March end.

(v) There change is majorly on account of reduction in Traded Sales.

(vi) The downfall is on account of reduction in Total Turnover YoY.

(vii) There change is majorly on account of reduction in Traded Purchase.

(viii) Movement is on account of reduced borrowing
in CY.

(ix) The YoY change is on account of reduction in Net Profit due to reason quoted in point (i)

(x) The YoY change is on account of unrealized profit

In terms of our report attached For & on behalf of the Board of Directors of

For M/S SHAH THACKER & CO Patidar Buildcon Limited

Chartered Accountants (CIN: L99999GJ1989PTC058691)

_sd/- _sd/-

_sd/-_ Rajnikant Patel Dhiraj Patel

Sudhirkumar Shah Managing Director Director

Partner (DIN: 1218436) (DIN: 282578)

M. No. 119008
FRN 129967W

UDIN :24119008BKCODJ8255 _sd/- _sd/-

Vaidehi Chudasama Dharmendra Shah

Company Secretary Chief Financial Officer

(PAN : BPRPC1895J)

Place: Ahmedabad Place: Surendranagar

Date: 30-May-24 Date: 30-May-24

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Mar 31, 2012

A) Contingent liabilities and commitments

(to the extent not provided for) (Rs. in '000)

2011-12 2010-11

(i)Contingent Liabilities - - (a) Claims against the company not acknowledged as debt - -

(b) Guarantees - -

(c) Other money for which the company is contingently liable - - (ii) Commitments - -

(a) Estimated amount of contracts remaining to be executed on capital account and not provided for - -

(b) Uncalled liability on shares and other investments partly paid - -

(c) Other commitments (specify nature) - -

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Mar 31, 2010

1. In the absence of confirmation from various parties the debit and credit balance of such parties included under Sundry Creditors, Loans and Advances and Unsecured Loans in the Balance Sheet are as per ledger.

2. The estimated amount of capital contract remaining to be executed is Rs. 38.56 lakhs (Previous Year Rs. 38.56 Lakhs)

3. There exists a contingent liability in respect of Underwriting Commission and Brokerage payable to Grindlays Bank and Central Bank of India amounting to Rs. 13,715.00. This may materialise in the event of their fulfilling their underwriting commitments. (Previous year Rs. 13,715.00).

4. There were no employees drawing a remuneration exceeding limits prescribed under section 217(2A) of the Companies Act, 1956.

5. No provision has been made for Income Tax based on the Expert opinion obtained by the Company.

6. No previous year figures have been given for Profit and Loss account as this is the first year of commencement of commercial activity.

7. Previous year figures have been regrouped and rearranged wherever necessary.