A. BACKGROUND
The Company is a Public limited Company, domiciled in India and registered with the ROC - Mumbai (Maharashtra) vide Corporate
Identification number (CIN) L74900MH1948PLC006791. Registered office of the Company is situated at Plot No. 366/15, Swastik
Park, Near Mangal Anand Hospital, off E. Express Highway, Chembur, Mumbai-400071.
The Company is into the business of Club and Sports Complex having sports facilities and other Hospitality Services.
The financial statements for the year ended March 31, 2026 were approved by the Board of Directors and authorised for issue on May
B. BASIS OF PREPARATION
(i) Compliance with Ind AS
These financial statements have been prepared in accordance with the Indian Accounting Standards (hereinafter referred to as the 'Ind
AS') as notified by Ministry of Corporate Affairs pursuant to Section 133 of the Companies Act, 2013 ('Act') read with of the
Companies (Indian Accounting Standards) Rules, 2015 as amended and other relevant provisions of the Act. The accounting policies
are applied consistently to all the periods presented in the financial statements.
(ii) Historical cost convention, accrual and going concern basis of accounting
The financial statements have been prepared on accrual and going concern basis. The financial statements have been prepared on a
historical cost basis, except for the following:
1) Certain financial assets and liabilities that are measured at fair value;
2) Net defined benefit liability - Measured at present value of defined benefit obligations less fair value of plan assets
3) Property, plant and equipment under revaluation model
Fair value is the price 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, regardless of whether that price is directly observable or estimated using another valuation
technique. In estimating the fair value of an asset or a liability, the Company takes into account the characteristics of the asset or
liability if market participants would take those characteristics into account when pricing the asset or liability at the measurement date.
Fair value for measurement and/ or disclosure purposes in these financial statements is determined on such a basis, except for share-
based payment transactions that are within the scope of Ind AS 102 and measurements that have some similarities to fair value but are
not fair value, such as net realizable value in Ind AS 2 or value in use in Ind AS 36.
In addition, for financial reporting purposes, fair value measurements are categorised into Level 1, 2, or 3 based on the degree to which
the inputs to the fair value measurements are observable and the significance of the inputs to the fair value measurement in its entirety,
which are described as follows:
• Level 1 inputs are quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can access at the
measurement date;
• Level 2 inputs are inputs, other than quoted prices included within Level 1, that are observable for the asset or liability, either directly
or indirectly; and
• Level 3 inputs are unobservable inputs for the asset or liability.
(iii) Current and non-current classification
All assets and liabilities have been classified as current or non current as per the Company's normal operating cycle and other criteria
as set out in the Division II of Schedule III to the Companies Act, 2013. The Company has ascertained its operating cycle as 12 months
for the purpose of current or non-current classification of assets and liabilities. Current Assets do not include elements which are not
expected to be realised within 1 year and Current Liabilities do not include items which are due after 1 year, the period of 1 year being
reckoned from the reporting date.
(iv) Use of estimates and judgments
The preparation of financial statements requires management to make judgments, estimates and assumptions in the application of
accounting policies that affect the reported amounts of assets, liabilities, income and expenses. Actual results may differ from these
estimates. Continuous evaluation is done on the estimation and judgments based on historical experience and other factors, including
expectations of future events that are believed to be reasonable. Revisions to accounting estimates are recognised prospectively.
Property, plant and equipment are stated at cost, less accumulated depreciation (other than freehold land) and accumulated
impairment losses, if any.
All property, plant and equipment are initially recorded at cost. Cost includes the acquisition cost or the cost of construction, including
duties and non-refundable taxes, expenses directly related to bringing the asset to the location and condition necessary for making
them operational for their intended use and, in the case of qualifying assets, the attributable borrowing costs. Initial estimate of costs of
dismantling and removing the item and restoring the site on which it is located is also included if there is an obligation to restore it.
First time issues of operating supplies for a new club property, consisting of linen and chinaware, glassware and silverware (CGS) are
capitalised and depreciated over their estimated useful life.
Subsequent expenditure relating to property, plant and equipment is capitalised only when it is probable that future economic benefits
associated with these will flow to the Company and the cost of the item can be measured reliably.
An asset's carrying amount is written down immediately to its recoverable amount if the asset's carrying amount is greater than its
estimated recoverable amount.
The Company has revalued land in FY2014-15 as per fair value determined. No revaluation was carried out thereafter as the fair value
was not materially different from fair value determined in FY2014-15. The carrying value of land was treated as deemed cost in
FY2017-18, which is first Ind-AS compliant financial statements, as per Appendix D to Ind-AS 101. Considering this consistent
position, accounting policy for valuation of land is correctly updated from revaluation model to cost model. This updation has no
impact on the financial statements of the current year and previous year.
Depreciation is charged to the Statement of Profit and Loss so as to expense the cost of assets (other than freehold land and properties
under construction) less their residual values over their useful lives, using the written down value method, as per the useful life
prescribed in part "C" of Schedule II to the Companies Act, 2013 except in respect of the following categories of assets, in whose case
the life of the assets had been re-assessed as under based on technical evaluation, taking into account the nature of the asset, the
estimated usage of the asset, the operating conditions of the asset, past history of replacement, anticipated technological changes,
The assets' estimated useful lives, residual values and depreciation method are reviewed at the Balance Sheet date and the effect of any
changes in estimates are accounted for on a prospective basis.
An item of property, plant and equipment is derecognised upon disposal or when no future economic benefits are expected to arise
from the continued use of the asset. Any gain or loss arising on the disposal or retirement of an item of property, plant and equipment
is determined as the difference between the sales proceeds and the carrying amount of the asset and is recognised in the Statement of
Profit and Loss. Proportionate depreciation is charged for the addition and disposal of an item of property, plant and equipment made
(ii) Intangible Assets
Intangible assets are initially measured at acquisition cost including any directly attributable costs of preparing the asset for its intended
use and are carried at cost less accumulated amortisation and accumulated impairment losses.
Intangible assets with finite lives are amortised over their estimated useful life and assessed for impairment whenever there is an
indication that the intangible asset may be impaired. Intangible assets with indefinite useful lives are tested for impairment at least
annually, and whenever there is an indication that the asset may be impaired.
An intangible asset is de-recognised on disposal, or when no future economic benefits are expected to arise from the continued use of
the asset. Gains or losses arising from de-recognition of an intangible asset, measured as the difference between the net disposal
proceeds and the carrying amount of the asset, and are recognised in the Statement of Profit and Loss when the asset is derecognised.
(iii) Financial Instruments
A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of
another entity.
a. Financial assets
Initial Recognition and Measurement
Financial assets are recognised when, and only when, the Company becomes a party to the contractual provisions of the financial
instrument. The Company determines the classification of its financial assets at initial recognition.
When financial assets are recognised initially, they are measured at fair value, plus, in the case of financial assets not at fair value
through profit or loss directly attributable transaction costs. Transaction costs of financial assets carried at fair value through profit or
loss are expensed in the Statement of Profit and Loss. However, trade receivables that do not contain a significant financing component
Subsequent Measurement
The Company shall classify financial assets as subsequently measured at amortised cost, fair value through other comprehensive
income or fair value through profit or loss on the basis of its business model for managing the financial assets and the contractual cash
flow characteristics of the financial asset.
1. Financial assets at amortised cost
Financial assets are subsequently measured at amortised cost if these financial assets are held for collection of contractual cash flows
where those cash flows represent solely payments of principal and interest. Interest income from these financial assets is included as a
part of the Company's income in the Statement of Profit and Loss using the effective interest rate method.
2. Financial assets at fair value through Other Comprehensive Income (FVOCI)
Financial assets are subsequently measured at fair value through Other Comprehensive Income if these financial assets are held for
collection of contractual cash flows and for selling the financial assets, where the assets' cash flows represent solely payments of
3. Financial assets at fair value through profit or loss (FVTPL)
Assets that do not meet the criteria for amortised cost or FVOCI are measured at fair value through profit or loss. A gain or loss on
such debt instrument that is subsequently measured at FVTPL and is not part of a hedging relationship as well as interest income is
recognised in the Statement of Profit and Loss.
De-Recognition
A financial asset is derecognised only when the Company has transferred the rights to receive cash flows from the financial asset.
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 Company has not transferred
substantially all risks and rewards of ownership of the financial asset, the financial asset is not derecognised. 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
b. Financial liabilities
Financial instruments with a contractual obligation to deliver cash or another financial assets is recognised as financial liability by the
Initial Recognition and Measurement
Financial liabilities are recognised when, and only when, the Company becomes a party to the contractual provisions of the financial
instrument. The Company determines the classification of its financial liabilities at initial recognition.
All financial liabilities are recognised initially at fair value, plus, in the case of financial liabilities not at fair value, through profit or loss
directly attributable transaction costs.
Subsequent Measureme nt
After initial recognition, financial liabilities other than those which are classified as FVTPL are subsequently measured at amortized
cost using the effective interest rate ("EIR") method. Amortized cost is calculated by taking into account any discount or premium and
fees or costs that are an integral part of the EIR. The amortization done using the EIR method is included as finance costs in the
De-Recognition
A financial liability is de-recognised when the obligation under the liability is discharged or cancelled or expires. 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 a de-recognition of the original liability and the recognition of a
new liability, and the difference in the respective carrying amounts is recognised in the Statement of Profit and Loss.
Refundable membership deposits are recognised initially at fair values as financial liability and subsequently measured at amortised
cost. The same are shown as Refundable Membership Deposits under Financial Liabilities in the Balance Sheet. Difference between
transaction price of refundable membership deposit and its fair value is recognised as deferred revenue and amortised over period of
c. Impairment of financial assets
The Company assesses, at each reporting date, whether a financial asset or a group of financial assets is impaired. Ind AS-109 on
Financial Instruments, requires expected credit losses to be measured through a loss allowance. For trade receivables only, the
Company recognises expected lifetime losses using the simplified approach permitted by Ind AS-109, from initial recognition of the
receivables. For other financial assets (not being equity instruments or debt instruments measured subsequently at FVTPL) the expected
credit losses are measured at the 12 month expected credit losses or an amount equal to the lifetime expected credit losses if there has
been a significant increase in credit risk since initial recognition.
(iv) Income Taxes
Income tax expense comprises current tax expense and the net change in the deferred tax asset or liability during the year. Current and
deferred tax are recognised in the Statement of Profit and Loss, except when they relate to items that are recognised in Other
Comprehensive Income or directly in equity, in which case, the current and deferred tax are also recognised in Other Comprehensive
Income or directly in equity, respectively.
(a) Current tax
Current tax expenses are accounted in the same period to which the revenue and expenses relate.
Current income tax relating to items recognised outside profit or loss is recognised outside profit or loss. Current tax items are
recognised in correlation to the underlying transaction either in OCI or directly in equity.
(b) Deferred tax
Deferred tax is provided using the balance sheet method on temporary differences between the tax bases of assets and liabilities and
their carrying amounts for financial reporting purposes at the reporting date.
Deferred tax liabilities are recognised for all taxable temporary differences, except:
• When the deferred tax liability arises from the initial recognition of goodwill or an asset or liability in a transaction that is not a
business combination and, at the time of the transaction, affects neither the accounting profit nor taxable profit or loss
• In respect of taxable temporary differences associated with investments in subsidiaries, associates and interests in joint ventures,
when the timing of the reversal of the temporary differences can be controlled and it is probable that the temporary differences will not
reverse in the foreseeable future.
Deferred tax assets are recognised for all deductible temporary differences, the carry forward of unused tax credits and any unused tax
losses. Deferred tax assets are recognised to the extent that it is probable that taxable profit will be available against which the
deductible temporary differences, and the carry forward of unused tax credits and unused tax losses can be utilised, except:
• When the deferred tax asset relating to the deductible temporary difference arises from the initial recognition of an asset or liability in
a transaction that is not a business combination and, at the time of the transaction, affects neither the accounting profit nor taxable
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 utilised. Unrecognised deferred tax
assets are re-assessed at each reporting date and are recognised 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 realised 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 recognised outside profit or loss is recognised outside profit or loss. Deferred tax items are recognised in
correlation to the underlying transaction either in OCI or directly in equity.
Deferred tax assets and deferred tax liabilities are offset if a legally enforceable right exists to set off current tax assets against current
tax liabilities and the deferred taxes relate to the same taxable entity and the same taxation authority.
(v) Inventories
Work in progress is valued at lower of cost comprising of cost of land and development expenses incurred to date, or net realizable
value, whichever is lower.
Stock of food and beverages and stores and operating supplies are carried at the lower of cost (computed on a First-in, First-out basis)
or net realisable value. Net realisable value is the estimated selling price in the ordinary course of business less the estimated costs of
completion and selling expenses. Cost includes the fair value of consideration paid including duties and taxes (other than those
refundable), inward freight, and other expenditure directly attributable to the purchase. Trade discounts and rebates are deducted in
During the financial year, the Company has changed its inventory valuation method from the Weighted Average Cost method to the
First-In and First-Out (FIFO) method. This change has been made to enhance the reliability and relevance of inventory presented in the
financial statements.
The change has been applied in accordance with the applicable Ind-AS, and there is no material impact on the financial statements as
a result of this transition.
(vi) Cash and Cash Equivalents:
Cash and cash equivalents in the Balance Sheet and cash flow statement includes cash at bank, cash, cheque, draft on hand and
demand deposits with an original maturity of less than three months, which are subject to an insignificant risk of changes in value.
(vii) Retirement and other employee benefits
a. Short-Term-Employment Benefits
The costs of all short-term employee benefits (that are expected to be settled wholly within 12 months after the end of the period in
which the employees render the related service) are recognised during the period in which the employee renders the related service.
The accruals for employee entitlements to benefits such as salaries, bonuses and annual leave represent the amounts which the
Company has a present obligation to pay as a result of the employee's services and the obligation can be measured reliably. The
accruals have been calculated at undiscounted amounts based on current salary levels at the Balance Sheet date.
b. Post-Employment Benefits
Defined Benefit Plans
A defined benefit plan is a post-employment benefit plan other than a defined contribution plan. The Company's net obligation in
respect of defined benefit plans is calculated by estimating the amount of future benefit that employees have earned in the current and
prior periods, discounting that amount and deducting the fair value of any plan assets. The calculation of defined benefit obligation is
performed annually by a qualified actuary using the projected unit credit method.
The obligation is measured at the present value of the estimated future cash flows. The discount rates used for determining the present
value of the obligation under defined benefit plans, is based on the market yields on Government securities as at the balance sheet date,
having maturity periods approximating to the terms of related obligations.
Remeasurements, comprising of actuarial gains and losses, the effect of the asset ceiling, excluding amounts included in net interest on
the net defined benefit liability and the return on plan assets (excluding amounts included in net interest on the net defined benefit
liability), are recognised immediately in the balance sheet with a corresponding debit or credit to retained earnings through OCI in the
period in which they occur. Remeasurements are not reclassified to profit or loss in subsequent periods.
Defined Contribution Plans
Contributions to the provident fund and employees' state insurance scheme, which are defined contribution schemes, are recognised as
an expense in the Profit and loss account in the period in which the contribution is due.
c. Long Term Employee Benefits
Long term employee benefits comprise of compensated absences and other employee incentives. These are measured based on an
actuarial valuation carried out by an independent actuary at each Balance sheet date unless they are insignificant. Actuarial gains and
losses and past service costs are recognised immediately in the Profit and loss account.
(viii) Revenue recognition
Revenue is recognised at an amount that reflects the consideration to which the Company expects to be entitled in exchange for
transferring the promised goods or services to a customer i.e. on transfer of control of the goods or service to the customer. Revenue
from sales of goods or rendering of services is net of Indirect taxes, returns and variable consideration on account of discounts and
schemes offered by the Company as part of the contract.
Income From Operations
Rooms, Food and Beverage & Banquets
Revenue is recognised at the transaction price that is allocated to the performance obligation. Revenue includes room revenue, food
and beverage sale and banquet services which is recognised once the rooms are occupied, food and beverages are sold and banquet
services have been provided as per the contract with the customer.
Membership Fees
Membership fee income majorly consists of club membership fees and annual maintenance fees. In respect of performance obligations
satisfied over a period of time, revenue is recognised at the allocated transaction price on a time-proportion basis. The Company
recognises the membership fees income on straight line basis over the tenure of membership as the performance obligation is fulfilled
over the tenure of membership.
Sharing Fees
Sharing Fees income consists of income received from gain sharing arrangements for Spa and Gym fees. Revenue is recognised at the
transaction price that is allocated to the performance obligation.
Tower Rental & Maintenance
Rentals basically consist of rental revenue earned from letting of spaces for tele-communication towers at the property. These contracts
for rentals are generally of long-term in nature. Revenue is recognised in the period in which services are being rendered.
Other Allied Services
In relation to laundry income and other allied services, the revenue has been recognised on completion of performance obligation.
(ix) Borrowing Costs
Borrowing costs directly attributable to the acquisition, construction or production of qualifying assets, which are assets that
necessarily take a substantial period of time to get ready for their intended use or sale, are added to the cost of those assets, until such
time as the assets are substantially ready for their intended use or sale.
Interest income earned on the temporary investment of specific borrowings pending their expenditure on qualifying assets is deducted
from the borrowing costs eligible for capitalization.
All other borrowing costs are recognized in the statement of profit or loss in the period in which they are incurred.
(x) Earnings Per Share
Basic earnings per share is computed by dividing the profit/ (loss) after tax by the weighted average number of equity shares
outstanding during the year adjusting the bonus element for all the reported period arising on account of issue of equity shares on
rights and including potential equity shares on compulsory convertible debentures. Diluted earnings per share is computed by dividing
the profit/ (loss) after tax as adjusted for dividend, interest and other charges to expense or income (net of any attributable taxes)
relating to the dilutive potential equity shares, by the weighted average number of equity shares considered for deriving basic earnings
per share.
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