This note provides a list of the significant accounting policies adopted in the preparation of these
financial statements of the Company. These policies have been consistently applied to all the years
presented, unless otherwise stated.
1.01 Basis of preparation
Compliance with Ind AS
i The financial statements comply in all material aspects with Indian Accounting Standards (Ind AS)
notified under Section 133 of the Companies Act, 2013 (the Act) (Companies (Indian Accounting
Standards) Rules, 2015 and Companies (Indian Accounting Standards) Rules, 2016} and other
relevant provisions of the Act.
The financial statements up to year ended March 31, 2017 were prepared in accordance with
Indian GAAP, including the accounting standards notified under Companies (Accounting
Standard) Rules, 2006 (as amended) and other relevant provisions of the Act.
The financial statements for the year ended 31st March, 2025 were the first financial statements
of the Company under Ind AS.
a Historical cost convention
The financial statements have been prepared on a historical cost basis, except for the following:
Defined benefit plans - plan assets measured at fair value; and
iii Current and non-current classification
All assets and liabilities have been classified as current and non-current as per the Company's
normal operating cycle (twelve months) and other criteria set out in the Schedule III to the Act.
1.02 Foreign Currency Translation
i Functional and presentation currency
Items included in the financial statements of the Company are measured using the currency of the
primary economic environment in which the Company operates ( the functional currency'). The
financial statements arc presented in Indian rupee (INR / Rs.), which is the Company's functional
and presentation currency.
« Transaction and balances
Foreign currency transactions, if any are translated into the functional currency using the
exchange rates on the dates of the transaction. Foreign exchange gains and losses resulting from
the settlement of such transactions if any and from the translation of monetary assets and
liabilities denominated in foreign currencies at year end exchange rates are generally recognised in
profit or loss or Other Comprehensive Income.
All foreign exchange gains and losses are presented in the statement of profit and loss on a net
basis within other gains/ (losses),if any
1.03 Revenue Recognition
Revenue is measured at the fair value of the consideration received or receivable and is
Net of GST.
The Company recognises revenue when the amount of revenue accepted by client as per
contract. It is probable that future economic benefits will flow to the entity.
Revenue from services
Project Consultancy Income is recognized in the accounting period in which the services
arc rendered, and accepted and approved by client. The Services Provided and for Bills
submitted pending approval are considered as work in progress at cost . This includes
bills of previous years pending approval and accounted for as Revenue now considered as
work in progress as per the uniform accounting policy applicable therefore.
1.04 Income Tax
The income tax expense or credit for the period is the tax payable on the current period's taxable
income based on the applicable income tax rate adjusted by changes in deferred tax assets and
liabilities attributable to temporary differences and to unused tax losses.
The current income tax charge is calculated on the basis of the tax laws enacted or substantively
enacted at the end of reporting period in India where the Company operates and generates taxable
income. Management periodically evaluates positions taken in tax returns with respect to
situations in which applicable tax regulations is subject to interpretation. It establishes provisions
where appropriate on the basis of amounts expected to be paid to the tax authorities.
Deferred income tax is provided in full, using the liability method, on temporary differences arising
between the tax bases of assets and liabilities and their carrying amounts in the financial
statements. Deferred tax assets are recognised for all deductible temporary differences and
unused tax losses only if it is probable that future taxable amounts will be available to utilise those
temporary differences and losses.
Current and deferred tax is recognised in profit or loss, except to the extent that: it relates to items
recognised in other comprehensive income or directly in equity. In this case, the tax is also
recognised in other comprehensive income or directly in equity, respectively.
1.05 Impairment of assets
Property, plant and equipment and other assets are tested for impairment whenever events or
changes in circumstances indicate that the carrying amount may not be recoverable. An
impairment loss is recognised for the amount by which the asset's carrying amount exceeds its
recoverable amount, The recoverable amount is the higher of an asset's fair value less costs of
disposal and value in use. For the purposes of assessing impairment, assets are grouped at the
lowest levels for which there are separately identifiable cash inflows which are largely independent
of the cash inflows from other assets or groups of assets (cash-generating units).Non-financial
assets other than goodwill that suffered an impairment are reviewed for possible reversal of
impairment at the end of each reporting period.
1.06 Cash and cash equivalents
For the purpose of presentation in the statement of cash flows, cash and cash equivalents includes
cash on hand, deposits held at call with financial institutions, other short-term, highly liquid
investments that are readily convertible to known amounts of cash and which are subject to an
insignificant risk of changes in value, and bank overdrafts. Bank overdrafts are shown within
borrowings in current liabilities in the balance sheet.
1.07 Trade receivables
Trade receivables are recognised initially at fair value and subsequently measured at amortised
cost using the effective interest method, less provision for impairment.
1.08 Investments and other financial assets
Classification
The Company classifies its financial assets in the following measurement categories: -those to be
measured subsequently at fair value (through profit or loss), and -those measured at amortised
cost.The classification depends on the entity's business model for managing the financial assets
and the contractual terms of the cash flows.
For assets measured at fair value, gains and losses will be recorded in profit or loss. For investment
in debt instrument, this will depend on the business model in which the investment is held. For
investments in equity instruments, this will depend on whether the Group has made an
irrevocable election at the time of initial recognition to account for the equity investment at fair
value through other comprehensive income.
The Company reclassifies debt investments when and only when its business model for managing
those assets changes.
Measurement
At initial recognition, the Company measures a financial asset at its fair value plus, in the case of a
financial asset not at fair value through profit or loss, transaction costs that are directly
attributable to the acquisition of the financial asset. Transaction costs of financial assets carried
at fair value through profit or loss are expensed in statement of profit and loss.
Debt instruments
Subsequent measurement of debt instruments depends on the Company's business model for
managing the asset and the cash flow characteristics of the asset.
Equity instruments
The Company subsequently measures all equity investments at fair value. Dividends from such
investments are recognised in profit or loss as other income when the right to receive payments is
established. Changes in the fair value of financial assets at fair value through profit or loss are
recognised in other gain/ (losses) in the statement of profit and loss. Impairment losses (and
reversal of impairment losses) on equity investments measured at FVOCI are not reported
separately from other changes in fair value.
Impairment of financial assets
The company assesses on a forward looking basis the expected credit losses associated with its
assets carried at amortised. For trade receivables , the company applies the simplified approach
permitted by Ind AS 109 Financial Instruments, which requires expected lifetime losses to be
recognised from initial recognition of the receivables.
Derecognition of financial assets
A financial asset is derecognised only when: The Company has transferred the rights to receive
cash flows from the financial asset or retains the contractual rights to receive the cash flows of the
financial asset, but assumes a contractual obligation to pay the cash flows to one or more
recipients.
Where the Company has transferred an asset, the Company evaluates whether it has transferred
substantially all risks and rewards of ownership of the financial asset. In such cases, the financial
asset is derecognised. Where the entity has not transferred substantially all risks and rewards of
ownership of the financial asset, the financial asset is not derecognised.
Where the entity has neither transferred a financial asset nor retains substantially all risks and
rewards of ownership of the financial asset, the financial asset is derecognised if the Company has
not retained control of the financial asset. Where the Company retains control of the financial
asset, the asset is continued to be recognised to the extent of continuing involvement in the
financial asset.
1.09 Property, plant and equipment
Property, plant and equipment arc stated at historical cost less depreciation and impairment
losses, if any. Historical cost includes expenditure that is directly attributable to the acquisition of
the items.
Subsequent costs are included in the asset's carrying amount or recognised as a separate asset, as
appropriate , only when it is probable that future economic benefits associated with the item will
flow to the Company and the cost of the item can be measured reliably. The carrying amount of any
component accounted for as a separate asset is derecognised when replaced. All other repairs and
maintenance are charged to profit or loss during the reporting period in which they are incurred.
Transition to Ind As
On transition to Ind AS, the Company has elected to continue with the carrying value of all of its
property, plant and equipment recognised as at April 1,2016 measured as per the previous GAAP
and use that carrying value as the deemed cost of the property, plant and equipment.
Depreciation methods on above
Depreciation on property, plant and equipment (other than leasehold land, leasehold
improvements, continuous process plant and machinery and vehicles) is calculated using the
straight-line method to allocate their cost, net of their residual values, over their estimated useful
lives as prescribed under Schedule II to the Companies Act, 2013, which approximate the useful
lives of the assets estimated by the management.
The residual values are not more than 5% of the original cost of the asset. The asset's residual
values and useful lives are reviewed, and adjusted, if appropriate, at the end of each reporting
period.
The residual values are not more than 5% of the original cost of the asset. The asset's residual
values and useful lives are reviewed, and adjusted, if appropriate, at the end of each reporting
period.
An asset's carrying amount is written down immediately to its recoverable amount if the asset's
carrying amount is greater than its recoverable amount.
Gains and losses on disposals are determined by comparing proceeds with earning amount.
These are included in profit or loss within other gains/ (losses).
1.10 Intangible assets
Acquired intangible assets are shown at historical cost. They have a finite useful life and are
subsequently carried at cost less accumulated amortisation and impairment losses, if any.
Amortisation methods and periods
The Company amortises intangible assets with a finite useful life using the straight-line method
over the following periods: Computer software: 3 years
Transition to Ind As
On transition to Ind AS, the Company has elected to continue with the carrying value of all of
intangible assets recognised as at April 1,2016 measured as per the previous GAAP and use that
carrying value as the deemed cost of intangible assets.
1.11 Trade and other payables
These amounts represent liabilities for goods and services provided to the Company prior to the
end of financial year which are unpaid. The amounts are unsecured and are usually paid within 90
days of recognition. Trade and other payables are presented as current liabilities unless payment
is not due within 12 months after the reporting period. They arc recognised initially at their fair
value and subsequently measured at amortised cost using the effective interest method.
1.12 Borrowings
Borrowings are initially recognised at fair value, net of transaction costs incurred. Borrowings are
subsequently measured at amortised cost. Any difference between the proceeds (net of transaction
costs) and the redemption amount is recognised in profit or loss over the period of the borrowings
using the effective interest method. Fees paid on the establishment of loan facilities are recognised
as transaction costs of the loan to the extent that it is probable that some or all of the facility will be
drawn down. In this case, the fee is deferred until the draw down occurs. To the extent there is no
evidence that it is probable that some or all of the facility will be drawn down, the fee is capitalised
as a prepayment for liquidity services and amortised over the period of the facility to which it
relates.
Borrowings are removed from the balance sheet when the obligation specified in the contract is
discharged, cancelled or expired. The difference between the carrying amount of a financial
liability that has been extinguished or transferred to another party and the consideration paid,
including any non-cash assets transferred or liabilities assumed, is recognised in profit or loss as
other gains/(losses). Borrowings are classified as current liabilities unless the Company has an
unconditional right to defer settlement of the liability for at least 12 months after the reporting
period. Where there is a breach of a material provision of a long-term loan arrangement on or
before the end of the reporting period with the effect that the liability becomes payable on demand
on the reporting date, the entity docs not classify the liability as current, if the lender agreed, after
the reporting period and before the approval of the financial statements for issue, not to demand
payment as a consequence of the breach.
1.13 Borrowing costs
General and specific borrowing costs that are directly attributable to the acquisition, construction
or production of a qualifying asset are capitalised during the period of rime that is required to
complete and prepare the asset for its intended use or sale. Qualifying assets are assets that
necessarily take a substantial period of time to get ready for their intended use or sale.
Investment income earned on the temporary investment of specific borrowings pending their
expenditure on qualifying assets is deducted from the borrowing costs eligible for capitalisation.
Other borrowing costs are expensed in the period in which they are incurred.
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