3. Material Accounting Policies:

3.1 Basis of Preparation of Standalono Financial Statements

Tho standalono financial staterooms have toon prepared on go:ng concom basis In accordance with accounting principles generally
accepted in India Further, the financial statements have been prepared on historical cost basts except for certain financial assets and
financial liabilities which are measured at fair values as explained in relevant accounting policies Fair valuations related lo financial
assets and financial liabilities are categorized Into level 1. level 2 and level 3 based on the degree to which the inputs to the fair value
measurements are observable

The Standalone Balance sheet, Standalone Statement of Profit and Loss. Standalone Statement of Changes in Equity and disclosure
requirements with respect to items in the Balance Sheet and Statement ot Profit and l oss are prepared in the format prescribed in
Division ll-Scheduie 111 ('Schedule III’) to the Companies Act. 2013 and are adequately presented by way of notes forming pari ol
accounts along with the other notes required to be disclosed under the notified Accounting Standards and the Listing Agreement The
Standalone Statement ot Cash Flows has been prepared under indirect method andpresenfed as per tne requirements ot Indian
Accounting Standard (Ind AS) 7 Statement of Cash Flows".

The Company has consistently applied the following accounting policies to all periods presented In these standalone financial
statements,

3.2 Current and Non-Current Classification

The Company presents assets and liabilities in the balance sheet based on current/non-current classification. An asset Is classified as
current ifi

(a) It is expected to be realized or sold or consumed in the Company's normal operating cycle;

(b) It is heid primarily for the purpose of trading.

(c) It is expected to be realized within twelve months afterthe reporting period: or

(d) it Is cash or a cash equivalent unless it is restricted from being oxchangod or used to settle a liability for at least twelve months after
the reporting period.

All other assets are classified as non-current
AhablUty is classified as current if:

(a) t is expected to Bo settled In normal operating cycle:

(b) 1 ts held pnmaniy for the purpose of trading;

(c) it ts expected to be settled within twelve months after the reporting period;

(d) 't has no unconditional nght to defer the settlement of the liability for at least twelve months after the reporting period
All other liabilities are classified as non-current

The operating cycle is the time between acquisition of assets for processing and the>r realization in cash ana cash equivalents. The
Company's normal operating cycle is twelve months

3.3 Significant management judgement in applying accounting policies and estimation uncertainty

The preparation of financial statements in conformity with Ind AS requires management to make judgments, estimates and assumptions
that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expenses, Actual results may
differ from these estimates.

Estimates ond underlying assumptions are reviewed on a penodic oasis Revisions to accounting estimates are recognized in the penod
in which the estimates are revised and In any future periods affected. In particular, information about significant areas of estimation,
uncertainty and critical judgments in applying accounting policies that have the most significant effect on the amounts recognized in the
financial statements is included in the following notes

Useful lives of Property Plant & Equipment - The Company reviews the useful life of property, plant and equipment at IIhi end uf each
reporting period. This reassessment may result in change in depreciation expense in future periods.

Evaluation of Indicators for Impairment of assots - The evaluation ot applicability of indicators of impairment of assets requires
assessment ol several external and internal factors which could result in deterioration of tecoverable amount of the assets.

Impairment of investments in subsidiaries - The Company reviews its carrying value of investments carried ot cost (net of
Impairment, if any)annually, or more frequently when there Is indication for impairment. If the recoverable amount Is less than its carrying
amount, '.he Impairment loss is accounted lor In Ihestaternenl ol profit and loss

Provision for Income tax &doforred tax assets - The Company uses estimates and judgements based on the relevant rulings In tbo
areas of allowances and disallowances which is exercised while determining the provision for Income tax. A deferred tax asset is
recognized to the extent that it Is probable that future taxable profit will bo available against which the deductible temporary differences
and tax losses can be utilized Accordingly, the Company exercises its judgement to reassess the carrying amount of deferred tax assets
at the end of each report! r>g period

Doflnod bonoflt obligation (DBO) - Managements estimate of the DBO is based on a number of unaortymg assumptions such as
standard rates of in Ration, mortality, discount rate and anticipation of future salary increases. Variation in these assumptions may
significantly import the DBO amount and tne annual defined benefit expenses.

Satisfaction of performance obligation over a period of time - Revenue recognition is done by measuring the progress rewards
complete satisfaction of performance obligation The use cat tne percentage-of-campletion method requires Management to determine
I be stage of completion by reference to the survey of performance to date. Significant judgements are involved in obtaining directly
observable Information about the output of performance

Fair value measurements When the fair values of financial assets and financial liabilities recorded in the balance sheet cannot be
measured based on quoted pnc.es in active markets, the fair value is measured using internal valuation techniques The inputs to these
models are taken from observable markets where possible, but where this i3 not feasible, a degree of judgement is required in
establishing fair values Judgements include considerations of inputs such as liquidity risk credit risk and volatility Changes in
assumptions about these factors could affect live reported fair value of financial instruments.

Leases The Company evaluates if on arrangement qualifies to be a lease 35 per the requirements of Ind AS 116. Identification of a lease
requires significant judgment The Company uses significant judgment in assessing the lease term (including anticipated renewals) and
the applicable discount rate

The Company determines the lease term as the 1 ion-cancellable period of a lease, together with both periods covered by an option to
extend tho lease if the Company is reasonably certain to exercise that option and periods covered by an option to terminate the loaso If
the Company is reasonably certain not to exorcise that option In assessing whether the Company is reasonably certain to exorcise an
option to extend a lease, or not to exercise an option to terminate a lease, it considers ail relevant farts and circumstances that create an
economic Incentive for the Company to exercise the option to extend the lease, or not to exercise the option to terminate the lease. The
Company revises the .'ease term rf there Isa change in the non-cancellable period of a lease

The discount rate Is generally based nn the incremental borrowing rale specific to the lease being evaluated or for a portfolio of leases
with similar characteristics.

Other estimates - The preparation of financial statements involves estimates and assumptions that affect the reported amount of assets,
liabilities, disclosure of contingent liabilities at the date of financial staf aments and the reported amount of revenues and expenses for the
reporting period. Specifically, tl»e Company estimates lire probability of collection of accounts receivable by analyzing historical payment
patterns, customer concentrations, customer credit-worthiness and currenl economic trends. If the financial condition of a customer
deteriorates, additional allowances may be required

3.4 Measurement of fair values

The Company's accounting policies and disclosures require the measurement of fair values for financial instruments

All assets and nobilities for which fair value is measured or disclosed in the financial statements ore catogonzed witnin the fair value
hierarchy, described as follows, hased on the lowest level input that is significant to the fair value measurement as a whole

Level 1 Quoted (unadjusted) market prices in active markets for identical assets or liabilities that the company can access at
measurement dote

Level 2:lnputs other than quoted prices included in level 1 that are observable for the asset or fiabit'ty, either directly (i.e as prices) or
indirectly (I.e. derived from prices); and

Level 3; Inpuls for the assets or liabilities that are not based on observable market data (unobservable Inputs)

The Company recognizes transfers between levels of the fair value hierarchy at the end of the reporting period during which the change
has occurred

3.5 Revenue Recognition

Tho Company recognizes revenue from contracts with customers when it satisfies a performance obligation by transferring promised
good or service to a customer The revenue is recognized to the extant of transaction price |nel of variable consideration) allocated to the
performance obligation satisfied. Performance obligation is satisfied over time when the transfer of control of asset (good or service! to a
customer is done over time and in other cases, performance obligation is satisfied at a point in time. For performance obligation satisfied
over time, the revenue recognition is done by measuring the progress towards r.ompleie satisfaction of performance obligation The
progress is measured in terms of a proportion of survey of performance to date

Transaction price is the amount of consideration to which the Company experts to he entifJed in exchange for transferring good or service
to a customer excluding amounts collected on behalf of a third party.

Costs to obtain 8 contract which Bre incurred regardless of whether the contract was obtained are charged off in Profit & Loss immediately
in the period in which such costs are incurred

Impairment loss (termed as provision for foreseeable losses in the financial statements) Is recognized in profit or loss to the extent the
carrying amount of the contract assef exceeds the remaining amount of consideration that the company expects to receive towards
remaining performance obligations (after deducting tne exists that relate directly to fulfil such remaining pedormance obligations) In
addition, the Company recognizes impairment loss (termed as Allowance for expected credit loss on contract assets in the financial

statements) on account of credit nsk in respoctof a contract asset using expected credit loss model on similar basis as applicable to trade
receivables

a) Recognition of Revonue from Construction Projects

The company recognizes construction contract revenue over Ume. as performance obligations are satisfied, due to the continuous
transfer of control to the customer. Construction contracts are generally accounted for as a single unit of account (a single
performance obligation) The Company adopts the output method in recognizing the revenue over time by reference to the progress
towards complete satisfaction of the relevant performance obligation. The progress towards complete satisfaction ot a relevant
performance obligation is measured by reference to the surveys of work performed primarily includes certificates issued by Iho
Internal or external surveyors on the performance completed to date The percentaga-of-cornp!atlon method (output method) is the
most faithful depiction of the company's performance because it directly measures the value of the services transferred to the
customer. Where tho entity is unable to reasonably measure the percentage of completion, the revenue is rocognizod only up to tho
amount of cost incurred provided the entity expects to at least rooovor its cost

Variable consideration The nature of the company's contracts gives nse to several types of variable consideration, including claims
and unpriced change orders, award and incentive fees; and liquidated damages and penalties The company recognizes revenue for
variable consideration when it is probable that a significant reversal in the amount of cumulative revenue recognized will not occur
The company estimates the amount ot revenue to be recognized on variaole consideration using the expected value{i.a. the sum of a
probability-weighted amount) or the most likely amount method, whichever is expected to better predict Uib amount. Factors
considered In determining whether revenue associated with clalms(includlng change orders In dispute and unapproved change
orders in regard to both scope and pricejshouid be rocognizod include tho following: (a) tho contract or other evidence provides a
legal basis for the claim, (b) additional costs were caused by circumstances that were unforeseen at the contract date and not the
result of deficiencies in the company's performance, (c) daim related cost3 are identifiable and considered reasonable in view of tho
work performed and (d) evidence supporting the claim is objective and verifiable If tne requirements for recognizing revenue for
claims or unapproved change orders are met, revenue is recorded only when the coats associated with the claims or unapproved
change orders have been .ncurred

Contracts are subject to modification to account for changes in contract specification and requirements Tho Company reviews
modification to contract in conjunction with tho original contract, basis which the transaction price could be allocated to a now
performance obligation, or transaction priced an existing obligation could undergo a change. In the event transaction price is revised
for existing obligation, a cumulative adjustment is accounted for.

Contract assets and liabilities' Contract assets represent revenue recognized in excess of amounts billed and include unbilled
receivables. Contract liabilities represent amounts billed to clients in excess of revenue recognized to date and advances that are yet
to be adjusted against tt»e cxjntract assets.

Unbilled receivables, which represent on uncondt-onal right to payment subject only to the passage of time, are reclassified to
accounts receivable when they are billed under the terms of the contract The amount of retention money held by the Customers
pending completion of performance obligations under the project is disclosed as part of contract asset and 15 reclassified as trade
receivables when it becomes due for payment Payments in respect of retention money that are deferred more than 12 months are
adjusted for the time value of money

b) Other Income

The Company recognizes income under the beiow mentioned heads, provided that it is probable that the economic benefits will flow
to the Company and the amount of Income can be measured reliably.

a. Interest Income

Interest income is accrued on a time proportionate basis taking into account liie principal outstanding and the effective interest
rate applicable

Interest Income on disputed revenue Is recognized on realization basis.

b. Share of Profit of partnership firm investment

Tha Company's share In profits from a firm whore the Company ts a partner, is rocognizod on tne basis of such firm's audited
accounts, as per terms ol the partnership deed

c. Dividend Income

Dividend income tram investments is recognized when the Company's right to receive payment has been established

d. Others

Other items of income are accounted as and when the right to receive suc.n income arises and it is probable that the economic
benefits will flow to the Company and the amount ol income can be measured reliably.

3.6 Inventories

a. Inventory of Construction material & stores and spares and other consumables are stated at lower of cost and net realizable value.
The cost is determined using first in first out method of valuation Cost comprises of purchase cost and includes all charges in tho
bringing the goods to their present location and condition

b. Inventories of Scaffolding materials are staled at lower of carrying value and net realizable value Cost of Scaffolding materials are
charged off to consumption based on the consumption pattern of the projects as estimated by tho management

c Net realizable value represents the estimated selling price for .nventones in the ordinary course of business less all estimated costs of
completion and cost necessary to make the sale

3.7 Property, Plant and Equipment

(I) Recognition and measurement

Property, plant and equipment are measured at cost or deemed cost less accumulated depreciation and impairment losses, If any
The cost comprises purchase price, borrowing cost if capitalization criteria are met and directly attributable cost of bringing the asset
to its working condition for the intended use Any tradediscount and rebates are deducted in arriving at the purchase price

(ii) Subsequent expenditure

Subsequent oosts are included in the asset's carrying amount or recognized as a separate asset, as appropnate. only wnen it is
probable 1hat future economic benefits associated with the item wiii flow to the Company. All other repair and maintenance costs are
recognized in statement of profit and loss as incurred

(iii) Capital Work in Progress

Expenditure directly relating to constrecdon activity is capitalized Indirect expenditure incurred during constriction period is
capitalized to the extent to which the expenditure Is indirectly related to construction or is incidental thereto Other indirect
expenditure (including borrowing costs) inclined dunng the construction period which is not reisled to the construction activity nor is
Incidental thereto is charged to the statement of profit and loss. Advances paid towards the acquisition of property, plant and
equipment outstanding at each balance sheet date is classified as capital advances under other non-current assets

(v) Oe-recognition

An item of pioperty, plant and equipment initially recognized is de-recognu:ed upon disposal or when no future economic benefits are
expecJed from its use or disposal Any gain or loss arising on de-recognition of the asset (calculated as the difference between the net
disposal proceeds and die carrying amount ol the asset) Is recognized in statement of profit and loss whan the asset Is derecognized.

3.8 IntangibleAssets

(i) Recognition and measurement

Intangible Assets are measured at cost lass accumulated amortization and impairment losses, if any. The cost comprises purchase
price, borrowing cost if capitalization criteria are met and directly attributable cost of preparing the asset for its intended use. Any
trade discount and rebates are deducted in arriving at the purchase pricu

(ii) Subsequent expenditure

Subsequent costs are included in the assets carrying amount or recognized as a separate asset as appropriate, only when it is
probable that future economic benefits associated with the item will flow to the Company

(iii) Amortisation

Intangible assets are amortized over their estimated useful life on Written Down Valuemerhod Intangible assets (Computer
Software) are amortized overa period ot three yearn

3.9 Investment Properties

Investment properties are measured initially at cost, including transaction oosts Subsequent to initial recognition investment properties
are stated at cost less accumulated depreciation and accumulated impairment loss, it any. Investment properties are depreciated over
the estimated useful period of 00 years underwritten Down Value method

3.10 Impairment of Non-Financial Assets

Property, plant and equipment are evaluated for recoverability whenever events or changes in circumstances indicate that their carrying
amounts may not be recoverable For the purpose of impairment testing, the recoverable amount (i.e the higher of the fair value less cost
1o sell and the value-in-use) Is determined on an individual asset basis unless the asset does not generate cashflow® that are largely
independent of those from other assets. In such cases, the recoverable amountis determined for the Cash Generating Unit (CGU) to
which the asset belongs

If such assets are considered to be impaired the impairment to be recognized in the Statement of Profit and Loss is measured by the
amount by which the carrying value ol the assets exceeds the estimated recoverable amount of the asset. An impairment ioss «5 reversed
in the Statement of Profit and Loss if there has been a change in the estimates used to determine the recoverable amount I he carrying
amount of the asset is increased to its revised recoverable amount, provided that this amount does no* exceed the carrying amount that
would have been determined (net of any accumulated depreciation) had no impairmenl loss been recognized far the asset in pr or years

3.11 Foreign Currency

Functional and presentation currency

The financial statementsare presented in Indian Rupee ('Rs ‘) which is also the functional and presentation currency ot the Company.
Transactions and balances

Foreign currency transactions are recorded in the functional currency, by applying the exchange rate between the functional currency
and the foreign currency at the dates of the respective transactions

Foreign currency denominated monetary assets and liabilities are restated Into the functional currency using exchange rates prevailing
on the balance sheet date Non-mo notary items denominated In a foreign currency which are carried at historical cost are reported utung
the exchange rate at the date of the transaction.

Exchange differences arising on monetary items on settlement, or restatement as at reporting date, at rates different from those at which
they were initially recorded, are recognized in the statement of profit and toss in the year in which they arise

3.12 Financial assets, financial liabilities ond equity instruments

Financial assets and liabilities are recognized when the Company oecomes a party to the contractual provisions of the instrument
Financial assets and liab-iities are initially measured at fair value. Transaction costs that are directly attributable to tne acquisition or issue
of financial assets 3nd financial liabilities {other than financial assets and financial liabilities at fair value through profit or toss) are added
to or deducted from the fair value measured on initial recognition of financial asset or financial liability

The Company do recognizes a financial asset only when the contractual rights to rho cash flows from the 3ssct expire, or when it transfers
the financial asset and substantially all the nsks and rewards of ownership of the asset to another entity The Company de-recognizes
financial liabilities when, and only when, the Company's obligations are discharged cancelled or have expired. When an existing
financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are
substantially modified, such an exchange or modification is treated as the de-recognition of the original liability’ and the recognition of a
new liability provided when it is certain that the Company would be able to discharge live liability as modified The difference in the
respective carrying amounts ts then recognized in the statement of profit and toss.

I. Cash and cash equivalents

The Company considers all highly liquid financial instruments, which are readily convertible into known amounts of cash that are
subject to an insignificant risk of change in value and having original maturities ol tnree months or less from the data at purchase, to
be cash equivalents Cash end cash equivalents consist ol balances with banks winch are unrestricted for withdrawal and usage.

II. Financial Assets at amortized cost

Financial assets are subsequently measured at amortized cost it these financial assets are held within a business whose objective is
to tiold these assets to collect contractual cash flows and lire contractual terms of U»e financial assets give rise on specified dates to
cash flows that arc solely payments of principal and interest on the principal amount outstanding

III. Financial Assets at fair value through other comprehensive income (FVTOCI)

Financial assets are measured at fair value through other comprehensive income if these financial assets are held within a business
whose objective is achieved by both collecting contractual cash flows on specified dales Aral are solely payments ol principal and
•liter est on the principal amount outstanding and selling financial assets.

IV. Financial Assets atfair value through other profit and loss(FVTPL)

Financial assets are measured at fair value through profit or loss unless they are measured at amorli/ed cost or at tair value through
other comprehensive income on initial recognition The transaction costs directly altnbutablo to the acquisition of financial assets and
liabilities at fair value through profit or loss are immediately recognized in statement of profit and loss

V. Financial liabilities

Financial liabilities are measured at amortized cost using the effective interest method.Amortized cost is calculated by taking into
account any discount or premium on acquisition and transaction costs The ElR amortization is included as finance costs in the
Statement of Profit and t css.

VI. Equity instruments

All equity instruments including investment in subsidiaries are measured at fair value Equity instruments which are nekl for trading
(other than long term) are classified as at Fair Value through Profit and Loss (F VTPL), For all other equity instruments, the Company
hasdecided toclassify the same at FVTOCI. The classification is made on the initial recognition and isirrevooabie

Vtl. Financial Guarantee Contracts

Financial Guarantee contracts are initially recognized as a liability at fair value The liability is subsc-ouently measured at carrying
amount less amortization or amount of loss allowance determined as per Impairment requirements of Ind AS 109 which-ever is
higher. Amortization is recognized as finance income In Profit and Loss for the year

VIII. Offsetting of financial instruments

Financial assets and financial liabilities are offset and toe net amount is reported in the balance sheet if there is a currently
enforceable legal nght to offset the recognized amounts and there is an intention to settle on a net basis, to realize the assets and
settle the liabilities simultaneously

IX. Impairment of Financial Assets(other than atfair value)

The Company assesses at each date of balance 3heet whether a financial asset or a group of financial assets is impaired. Ind AS 109
requires expected credit tosses to be measured through a loss allowance. The Company recognizes lifetime expected losses for all
contract assets and > or ail trade receivables that do no! constitute a financing transaction. In determining the allowances for doubtful
trade receivables, the Company has used a practical expedient by computing the expected credit toss allowance for trade
receivables based on a provision malnx. The provision matrix takes into account htetoncal credit loss experience and is adjusted for
toward looking information Tne expected credit loss allowance is based on five ageing ol the receivables thal are due and allowance
ralos used in the provision matrix- For all other financial assets, expected credit losses are measured at an amount equal to five 12-
months expected credit losses oral an amount equal to the lifetime expected credit losses if tho credit risk on the financial asset has
increased significantly since Initial recognition.

3.13 lnt8rostlnJolntArrangoment6

As per Ind AS 111- Joint Arrangements, investment in joint arrangement is classified as either Joint Operation or Joint Venture The
classification depends on the contractual rights and obligations ol each investor rather than legal structure ol the Joint Arrangement.

In case of Joint Operation

he Company recognizes its direct right :o assets, liabilities, revenue and expenses of Joint Operations and its share ot any jointly held or
incurred assets, liabilities, revenue and expenses. These have been incorporated in the financial statements under file appropriate
headings.

In case of Joint Ventures

The Company recognizes its interest m a joint venture in accordance with Paragraph 10 of Ind AS 27 l.e at cost Joss Impairment. Whore
tho Company does not havo 3 joint control of a Joint arrangement, the Company recognizes its interest in a Joint venture in accordance
with Ind AS 109 unless the Company has significant influence over the Joint Venture, in which case the Company applies Paragraph tOof
Ind AS 27.

3.14 Income Taxes

Income lax expense comprises current tax expense and the ne! change in tfw deferred tax asset or liability during lire year. Current and
deferred tax are recognized in standalone statement of profit and loss, except when they relate to items that are recognized in other
comprehensive income or directly n equity, in which case the current and deferred tax are also recognized in other comprehensive
income or directly in equity, respectively.

Current tax:

Current income tax for the current and prior penods are measured at the amount expected to be recovered from or paid to the taxation
authorities based on the taxable income for that period and reflects the uncertainty related to income tax. if any. The tax rates and tax laws
used to compute the amount are those that are enacted orsubstantively enacted by the balance sheet date The Company offsets current
lax assets and current tax liabilities, where it has a legally enforceable right lo set off the recognized amounts and where it intends either
to settle on a net basis, or torealize the asset and settle the liability simultaneously.

Deferred tax:

Deferred income t8x assets and liabilities is recognized using the balance sheet approach Deferred tax iB recognized on temporary
differences at the balance sheet date between the tax bases of assets and liabilities and their carrying amounts for financial reporting
purposes, except when the deferred Income tax arises from the Initial recognition ot goodwill or an asset or liability in a transaction that is
not a business combination and affects neither accounting nor taxable profit or loss at (tie time of the transaction The carrying amount ot
deferred income tax assets is reviewed at each balance sheet dale and reduced to the extent that it is no longer probable lhat sufficient
taxable profit will be available to allow all or part of the deferred income tax asset to be utilized

Deferred income tax assets are recognized for all deductible temporary differences, carry forward of unused tax credits and unused tax
lasses, to the extent that it is probablH that taxable profit will be available against which the deductible temporary differences, and the
carry forward of unused tax credits and unused lax losses can be utilized.

Deferred Income tax assets and liabilities are measured using tax rates and tax laws that have been enacted or substantively enacted by
the balance sheet date and are expected lo apply to taxable Income in the years In which those temporary differences ate expected to be
recovered Dr settled The effect of changes In tax rates on deferred income lax assets and liabilities is recognized as an Income or
expense in the panod lhat Includes the enactment or substantive enactment date

OufeiiiKl income taxes are not provided on the undistributed earnings of subsidiaries where it is expected that the earnings of the
subsidiary veil not be distributed In U>e foreseeable future.

Deferred lax assets and deferred tax liabilities arc offset it a legally enforceable right exists to set off current tax assets against current lax
liabilities and the deferred taxes rotate to tho same taxable entity.

3.15 Employee Benefits
Defined contribution plan

Payments to defined conlnbution plans l.e Company's contnbulion to provxleni fund and employee slate insurance are determined
under the relevant statute and charged to the Statement of Profit and Loss in the period of incurrence when the services are rendered by
the employees.

Defined benefit plan

For defined benefit plans i e Company's liability towards gratuity (funded), the cost of providing benefits Is determined using the projected
unit credit method, with actuarial valuations being carried out at the end of each annual reporting period.

Defined benefit costs are comprised of service cost (including current service cost, past service cost, as welt as gams and losses on
settlements), net Interest expense or income and re-measurement The Company presents the first two components of defined benefit
costs In Profit or Loss for the year in the line item Employee benefits expense

Re-measurement of net defined benefit liability/ asset pedaining to gratuity comprise ol actuarial gains/ iosses (i e changes in the
present value resulting from expertence adjustments and effects ot changes In actuarial assumptions) and is redacted immediately in the
balance sheet with a charge or credit recognized in other comprehensive income in the period in which they occur Re-measurement
recognized In other comprehensive income is reflected immediately ;n retained earnings and is not reclassified to profit or loss

Compensated Absences:

Compensated absences which are expected to occur within twelve months after the end of the period in which the employee renders the
related services are recognized as undiscounted liability at thG balance sheet date. Compensated absences which are not expected to
occur within twelve months after the end ot the period in which lire employee renders the related services are recognized asan actuanaily
doterminod liability using tho projected unit credit method at the yoar-ond

Short-term and other long-term employee benefits:

A liability is recognized for benefits accruing lo employees in respect o( salaries, wages, performance incentives, medical benefits and
other shorl-leno benefits in the period the related service is rendered at the undiscounted amount of the benefits expected to be paid in
exchange for that service.

Liabilities recognized in respect of other long-term employee benefits are measured at the present value ot the estimated future cash
outflows expected lo be made by the Company in respect of services provided by employees up lo the reporting date

3.16 Earnings per share

Baste earnmgs per share is computed by dividing the net profit after tax by the weighted average number of equity shares outstanding
during the period, adjusted for bonus elements in equity shores issued during the period.

Diluted EPS is computed by dividing the net profit after lax by the weighted average number of oquity shares considered for deriving basic
EPS and also weighted average number of oquity shares that could have been issued upon conversion of all dilutlvo potential equity
shares Dilutive potential equity shares are deemed convened as of the beginning of the period, unless issued at a later date Dilutive
potential equity shares are determined independently for each period presented The number of equity shares and potentially diiutive
equity shares are adjusted for bonus shares, os appropriate

3.17 Segment Reporting

Operating segments ore reported in a manner consistent with the internal reporting provided to chief operating decision maker.