SIGNIFICANT ACCOUNTING POLICIES & NOTES ON FINANCIAL STATEMENTS

(a) The aforesaid financial results have been reviewed by the audit committee and subsequently approved by the board of directors at its meeting held on - 29th May,2025

(b) The standalone financial results for the year ended March 31, 2025 were audited by the statutory auditors of the company.

Company Overview

Bindal Exports Limited ("The Company") is engaged in the business of Manufacturing & Trading of Textile.

The Company is a Public limited company incorporated and domiciled in India and has its registered office at Plot No. 270, Bindal House, Surat Kadodara Road, Near Kumbharia Bus Stand, Kumbharia, Surat, Choryasi, Gujarat, India, 395010.

1) Significant Accounting Policies

A) BASIS OF PREPARATION

The financial statements of the Company have been prepared in accordance with generally accepted accounting principles in India.These financial statements have been prepared to comply in all material respects with the Accounting Standards notified by Companies (Accounting Standards) Rules, 2021 and the relevant provisions of the Companies Act, 2013. The financial statements have been prepared under the historical cost convention on an accrual basis and going concern basis. The accounting policies have been consistently applied by the company are consistent with those used in the previous year.

In order to comply with the requirement of Schedule III, Figures appearing in the financial statement has been rounded off to the nearest Thousand or decimal thereof.

B) USE OF ESTIMATES

The preparation of financial statements requires the management to make estimates and assumptions that affect the reported balance of revenue,expenses, assets and liabilities and disclosures relating to the contingent liabilities as at the date of the financial statements. Although these estimates are based on the managements best knowledge of current events and actions, uncertainly about these assumptions and estimates could result in the outcomes requiring a material adjustment to the carrying amounts of assets or liabilities in future periods.

C) PROPERTY, PLANT & EQUIPMENT

Fixed Assets are stated at cost net of recoverable taxes,less accumulated depreciation/amortisation. Costs include all expenses incurred to bring the assets to its present location and condition.

In the opinion of the Board, all the assets other than property, plant and equipment and intengible assets and non-current investmentst have a value on realization in the ordinary course of business at least equal to the amount at which they are stated.

D) DEPRECIATION

Depreciation on fixed assets is provided on Written down value Method (WDV) at the rates and in the manner prescribed in Schedule II of the Companies Act, 2013.

E) INVESTMENTS

Investments which are readily realizable and intended to be held for not more than one year from the date on which such investments are made are classified as current investments. All other investments are classified as long term investments.

F) IMPAIRMENT OF ASSETS

An asset is treated as impaired when the carrying cost of asset exceeds its recoverable value. An impairment loss is charged to the Profit & Loss Account in the year in which an asset is identified as impaired.

G) VALUATION OF INVENTORIES

Company's raw material are valued at cost, WIP has been values at cost incurred upto stage of production. The finished goods are valued at cost or net realisable value whichever is lower. GST has not been included in Purchase, Sales and Closing Stock. Materials and other supplies held for use in the production of inventories are not written down below cost if the finished products in which they will be incorporated are expected to be sold at or above cost. However, when there has been a decline in the price of materials and it is estimated that the cost of the finished products will exceed net realisable value, the materials are written down to net realisable value.

H) BORROWING COSTS

Borrowing costs that are attributable to the acqusition or construction of qualifying assets are capitialised as part of the cost of such assets. A qualifying asset is one that necessarily takes substantial period of time to get ready for its intended use. All other borrowing costs are charged to profit & loss A/c.

I) RETIREMENT BENEFITS

Retirement benefit in the form of provident fund is a defined contribution scheme. The contribution to the provident fund is charged to the statement of profit and loss for the year when an employee renders the related services. The company has no obligations, other than the contribution payable to the provident fund. Provision for leave encashment has not been made in the accounts. Provision for bonus and gratuity are not made on accrual basis but are booked on actual payment basis.

J) PROVISION FOR CURRENT & DEFERRED TAX

Provision for current tax is made after taking into consideration benefit addmissible under the provision ofthe Income Tax Act 1961. Deferred tax resulting from "timing difference" between book and taxable profit is accounted for using the tax rates and laws that have been enacted or substantively enacted as on balance sheet date.

K) FOREIGN EXCHANGE GAIN OR LOSS

The Company has recognised foreign exchange gain or loss as per the AS- 11 issued by the ICAI.

L) PROVISIONS,CONTINGENT LIABILITIES AND CONTINGENT ASSETS.

A provision is recognised when present obligation as a result of past event & it is probable that an outflow of resources will be required to settle the obligation, in respect of which reliable estimate can be made. Contingent libilities are not recognised in the financial statements. A contingent asset is neither recognised nor disclosed in the financial statements.

M) OPERATING CYCLE.

An operating cycle is the time between the acquisition of assets for processing and their realisation in cash or cash equivalents. The normal operating cycle of the company having duration of Two to three month.

N) GST

The assessee has followed exclusive method of accounting. So, GST has not been included in revenue, expense and closing stock and fixed assets to the extent of eligible credit under GST laws.

O) CORPORATE SOCIAL RESPONSIBILITY

N.A.

P) Relationship with Struck off Companies

The Company did not have any transactions with Companies struck off under Section 248 of Companies Act, 2013 or Section 560 of Companies Act, 1956 considering the information available with the Company.

Q) Registration of charges or satisfaction with Registrar of Companies

No charge or satisfaction which is yet to be registered with registrar of companies beyond the statutory period except modification of charge created by Axis bank (From 7.5 Cr to 5 Cr.).

R) Compliance with number of layers of companies

The Company do not have any parent company and accordingly, compliance with the number of layers prescribed under clause (87) of section 2 of the Act read with Companies (Restriction on number of Layers) Rules, 2017 is not applicable for the year under consideration.

S) Utilisation of Borrowed funds and share premium:

No such transactions.

(T) Undisclosed income

The company is does not have any transaction not recorded in the books of accounts that has been surrendered or disclosed as income during the year in the tax assessments under the Income Tax Act, 1961 (such as, search or survey or any other relevant provisions of the Income Tax Act, 1961), unless there is immunity for disclosure under any scheme.

(U) Details of Crypto Currency or Virtual Currency

The Company did not trade or invest in Crypto Currency or virtual currency during the financial year. Hence, disclosures relating to it are not applicable.