Note 1: The Company Overview
Gothi Plascon (India) Limited (or the “Company"), is a pioneer in real estate has excelled over the years
to offer an array of professional services in the realty business.
Gothi Plascon (India) Limited is a public limited company incorporated and domiciled in India. The
address of its registered office is , Gothi Plascon (India) Limited, 17/5B, 1A .Vazhudavur Road,
Kurumbapet, Puducherry - 605009, India. The company has its primary listing with BSE Ltd. (Bombay
Stock Exchange) .Company is Engaged in business of renting of Immovable Properties and interest on loan
granted
Note 2 : Basis of preparation of financial statements
I. Statement of compliance and basis of preparation
These financial statements are prepared in accordance with Indian Accounting Standards (“Ind AS”), the
provisions of the Companies Act, 2013 (“the Companies Act”), as applicable and guidelines issued by the
Securities and Exchange Board of India (“SEBI”). The Ind AS are prescribed under Section 133 of the Act read
with Rule 3 of the Companies (Indian Accounting Standards) Rules, 2015 and Companies (Indian Accounting
Standards) Amendment Rules, 2016
Accounting policies have been applied consistently to all periods presented hi these financial statements.
All amounts included in the financial statements are reported in actual denominations of Indian rupees except
share and per share data, unless otherwise stated. Due to rounding off, the numbers presented throughout the
document may not add up precisely to the totals and percentages may not precisely reflect the absolute figures.
Previous year figures have been regrouped/re-arranged, wherever necessary.
n. Basis of measurement
These financial statements have been prepared on a historical cost convention and on an accrual basis.
HI. Use of estimates and judgment
The preparation of the 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 those estimates.
Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are
recognised in the period 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 recognised in the financial statements are included in the
following notes:
a. Revenue Recognition
Revenue has been measured based on fair value of the consideration received/receivable.
b. Income Tax
The major tax jurisdiction for the Company is in India. Significant judgments are involved in determining the
provision for income taxes including judgment on whether tax positions are probable of being sustained in tax
assessments. A tax assessment can involve complex issues, which can only be resolved over extended time periods.
Income Taxes have been calculated based on The Income Tax Act, 1961 read with Rules thereunder.
c. Deferred Tax
Deferred tax is recorded on temporary differences between the tax bases of assets and liabilities and their carrying
amounts, at the rates that have been enacted or substantively enacted at the reporting date. The ultimate realization
of deferred tax assets is dependent upon the generation of future taxable profits during the periods in which those
temporary differences and tax loss carryforwards become deductible. The Company considers the expected reversal
of deferred tax liabilities and projected future taxable income in making this assessment. The amount of the deferred
tax assets considered realisable, however, could be reduced in the near term if estimates of future taxable income
during the carry-forward period are reduced.
d. Useful lives of property, plant and equipment
The Company depreciates property, plant and equipment on a straight-line basis over estimated useful lives of the
assets. The charge in respect of periodic depreciation is derived based on an estimate of an asset's expected useful
life and the expected residual value at the end of its life. The fives are based on historical experience with similar
assets as well as anticipation of future events, which may impact their life, such as changes in technology. The
estimated useful life is reviewed at least annually.
IV. 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
(twelve months) and other criteria set out in the Schedule El to the Act
Note 3 : Significant accounting policies
L Functional and presentation currency
These financial statements are presented in Indian rupees, which is the functional currency of the Company.
ii. Cash and cash equivalents
The Company’s cash and cash equivalents consist of cash on hand and in banks, which can be withdrawn at any
time, without prior notice or penalty on the principal.
iii. Equity
a. Share capital and share premium
The authorised share capital of the Company as of March 31, 2025 is Rs. 11,00,00,000 divided into 1,10,00,000
equity shares with voting rights of Rs. 10 each.
Every holder of the equity shares, as reflected in the records of the Company as of the date of the shareholder meeting
shall have one vote in respect of each share held for all matters submitted to vote in the shareholder meeting.
b. Retained Earnings
Retained earning represent the surplus/( deficit) of the statement of profit or loss. The amount that can be distributed
by the company to its equity shareholder is determined based on the financial statements of the company ans aslo
considering the requirement of Companies Act, 2013.
c. Details of divident paid'proposed
A divident of Rs.2 per share has been recommended on eqiuity shares for the year ended March,2025 and
same has been paid during the year.
V. Property, Plant and Equipment
a. Recognition and measurement
Property, plant and equipment are measured at cost less accumulated depreciation and impairment losses, if any.
Cost includes expenditures directly attributable to the acquisition of the asset. General and specific borrowing costs
directly attributable to the construction of a qualifying asset are capitalised as part of the cost
The residual values are not more than 5% of the original cost of the asset The assets 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 estimated recoverable amount.
b. Depreciation
The Company depreciates property, plant and equipment over the estimated useful life on a straight-line basis from
the date the assets are available for use. The Management estimate of useful live in accordance with schedule II to
the Companies Act,2013.
The estimated useful lives of assets are as follows:
VL Non Current Advances
The Company measures advance received as deposits against property rented at their actual amounts.
VII. Other Income
Other Income comprises of interest income on fdr and interest on income tax refund, which is measured through
fair value measurement using accrual basis of accounting.
3111. Revenue Recognition
Revenue is recognized to the extent that it is probable that the economic benefit will flow to the company and the revenue can
be reliably measured. The Following specific recognition criteria must also be met before revenue is recognized.
Sale of Goods
Revenue from sale of goods is recognised on transfer of all significiant risks and reward of ownership to the Buyer.The amount
recognised as sale is exclusive of sales tax/vat and are net of Returns
Sales of Service:
Revenue from rented properties is is recognised over time on satisfing performance obligation as per agreement,that is .by
reference to the period in which service are being rendred.
Interest income is recognised on a time proporation basis taking into account the amount outstanding
and the applicable interest rate.
IX. Taxes
a. Income Tax
Current income tax for the current and prior periods are measured at the amount expected to be recovered from or
paid to the taxation authorities based on the taxable income for the period. The tax rates and tax laws used to
compute the current tax amount are those that are enacted or substantively enacted as at the reporting date and
applicable for the period. The Company offsets current tax assets and current tax liabilities, where it has a legally
enforceable right to set off the recognised amounts and where it intends either to settle on a net basis, or to realise
the asset and liability simultaneously.
b. Deferred tax
Deferred Tax Assets/Liability arising from unabsorbed depreciation or carry forward losses are recognized only if
there is virtual certainty of realization of such amounts. Other deferred tax assets are recognized only to the extent
there is reasonable certainty of realization in future. Deferred tax Assets/Liability are reviewed at each Balance
Sheet date to reassess their reliability.
X. Earnings per share
Basic earnings per share is computed using the number of equity shares outstanding during the period adjusted for
treasury shares held. Diluted earnings per share is computed using the weighted-average number of equity and
dilutive equivalent shares outstanding during the period, using the treasury stock method for options and warrants,
except where the results would be anti-dilutive.
The number of equity shares and potentially dilutive equity shares are adjusted retrospectively for all periods
presented for any splits and bonus shares issues including for change effected prior to the approval of the financial
statements by the Board of Directors.
XL Cash Flow Statement
Cash flows are reported using the indirect method, whereby profit for the period is adjusted for the effects of
transactions of a non-cash nature, any deferrals or accruals of past operating cash receipts or payments and item of
income or expenses associated with investing or financing cash flows. The cash from operating, investing and
financing activities of the Company are segregated.
XIL Investments and other financial assets:
Initial recognition
In the case of financial assets, not recorded at fair value through profit or loss (FVPL). financial assets are
recognised initially at fair value plus transaction costs that are directly attributable to the acquisition of the
financial asset. Purchases or sales of financial assets that require delivery of assets within a time frame established
by regulation or convention in the market place (regular way trades) are recognised on the trade date, i.e., the date
that the Company commits to purchase or sell the asset.
Subsequent measurement
For purposes of subsequent measurement, financial assets are classified hi following categories
(a) Financial Assets at amortised cost
Financial assets are subsequently measured at amortised cost if these financial assets are held within a business
model with an objective to hold these assets in order to collect contractual cash flows and the contractual terms of
the financial asset give rise on specified dates, to cash flow's that are solely payments of principal and interest on
the principal amount outstanding. Interest income from these financial assets is included in finance income using
the effective interest rate ("EIR") method. Impairment gains or losses arising on these assets are recognised in the
Statement of Profit and Loss.
(b) Financial Assets measured at fan- value
Financial assets are measured at fair value through other comprehensive income (FVOCI) if these financial assets
are held within a business model with an objective to hold these assets in order to collect contractual cash flows or
to sell these financial assets and the contractual terms of the financial asset give rise on specified dates, to cash
flows that are solely payments of principal and interest on the principal amount outstanding. Movements in the
carrying amount are taken through OCI, except for the recognition of impairment gains or losses, interest revenue
and foreign exchange gains and losses which are recognised in the Statement of Profit and Loss.
Impairment of Financial Assets
In accordance with Ind AS 109, the Company applies the expected credit loss ("ECL") model for measurement and
recognition of impairment loss on financial assets and credit risk exposures.
The Company follows ‘simplified approach" for recognition of impairment loss allowance on trade receivables.
Simplified approach does not require the Company to changes in credit risk. Rather, it recognises impairment loss
allowance based on lifetime ECL at each reporting date, right from its initial recognition.
For recognition of impairment loss on other financial assets and risk exposure, the Company determines whether
there has been a significant increase in the credit risk since initial recognition. If credit risk has not increased
significantly, 12-month ECL is used to provide for impairment loss. However, if credit risk has increased
significantly, lifetime ECL is used. If, in a subsequent period, credit quality of the instrument improves such that
there is no longer a significant increase in credit risk since initial recognition then the entity reverts to recognising
impairment loss allowance based on 12-month ECL.
ECL is the difference between all contractual cash flows that are due to the Company in accordance with the
contract and all the cash flows that the entity expects to receive (i.e., all cash shortfalls), discounted at the original
EIR. Lifetime ECL are the expected credit losses resulting from all possible default events over the expected life of
a financial instrument. The 12-month ECL is a portion of the lifetime ECL which results from default events that
are possible within 12 months after the reporting date.
ECL impairment loss allowance (or reversal) recognised during the period is recorded as expense/ income in the
Statement of Profit and Loss.
De-recognition of Financial Assets
The Company de-recognises a financial asset only when the contractual rights to the cash flows from the asset expire, or it
transfers the financial asset and substantially all risks and rewards of ownership of the asset to another entity.
If the Company neither transfers nor retains substantially all the risks and rewards of ownership and continues to control the
transferred asset, the Company recognizes its retained interest in the assets and an associated liability for amounts it may have
to pay.
If die Company retains substantially all die risks and rewards of ownership of a transferred financial asset, the Company
continues to recognise the financial asset and also recognises a collateralised borrowing for the proceeds received.
Equity investments
All equity investments in the scope of Ind AS 109, Financial Instruments, are measured at fair value. For equity
instruments, the Company may make an irrevocable election to present the subsequent fair value changes in Other
Comprehensive Income (OCI). The Company makes such election on an instrument-by-instrument basis. The
classification is made on initial recognition and is irrevocable.
There is no recycling of the amounts from OCI to profit or loss, even on sale of investment
Equity instruments included within the FVTPL (fair value through profit and loss) category are measured at fair
value with all changes in fair value recognized in the profit or loss.
Xin. Financial Liabilities
Initial Recognition
Financial liabilities are classified, at initial recognition, as financial liabilities at FVPL, loans and borrowings and
payables as appropriate. All financial liabilities are recognised initially at fair value and, in the case of loans and
borrowings and payables, net of directly attributable transaction costs.
Subsequent measurement
Financial liabilities at FVPL
Financial liabilities at FVPL include financial liabilities held for trading and financial liabilities designated upon
initial recognition as FVPL. Financial liabilities are classified as held for trading if they are incurred for the purpose
of repurchasing in the near term Gains or losses on liabilities held for trading are recognised in the Statement of
Profit and Loss.
Financial liabilities at amortised cost
After initial recognition, interest-bearing loans and borrowings are subsequently measured at amortised cost using
the EIR method. Any difference between the proceeds (net of transaction costs) and the settlement or redemption of
borrowings is recognised over the term of the borrowings in the Statement of Profit and Loss.
Amortised cost is calculated by taking into account any discount or premium on acquisition and fees or costs that
are an integral part of the EIR. The EIR amortisation is included as finance costs in the Statement of Profit and Loss.
Where the temis of a financial liability is re-negotiated and the Company issues equity instruments to a creditor to
extinguish all or part of the liability (debt for equity swap), a gain or loss is recognised in the Statement of Profit and
Loss; measured as a difference between the carrying amount of the financial liability and the fair value of equity
instrument issued.
De-recognition of Financial Liabilities
Financial liabilities are de-recognised when the obligation specified in the contract is discharged, cancelled or
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
de-recognition of the original liability and recognition of a new liability. The difference in the respective carrying
amounts is recognised hi the Statement of Profit and Loss.
Offsetting financial instruments
Financial assets and financial liabilities are offset and the net amount is reported in the balance sheet if there is a
currently enforceable legal right to offset the recognised amounts and there is an intention to settle on a net basis, to
realise the assets and settle the liabilities simultaneously.
Fan1 value measurement
The Company measures financial assets and financial liability at fair value at each balance sheet date.
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. The fair value measurement is based on the presumption that
the transaction to sell the asset or transfer the liability takes place either:
- In the principal market for the asset or liability, or
- In the absence of a principal market, in the most advantageous market for the asset or liability
The principal or the most advantageous market must be accessible by the Company. The fair value of an asset or a
liability is measured using the assumptions that market participants would use when pricing the asset or liability,
assuming that market participants act in their economic best interest
A fair value measurement of a non-fmancial asset takes into account a market participant's ability to generate
economic benefits by using the asset in its highest and best use or by selling it to another market participant that
would use the asset in its highest and best use. The Company uses valuation techniques that are appropriate in the
circumstances and for which sufficient data are available to measure fair value, maximising the use of relevant
observable inputs and minimising the use of unobservable inputs.
All assets and liabilities for which fair value is measured or disclosed in the financial statements are categorised
within the fair value hierarchy, described as follows, based on the lowest level input that is significant to the lair
value measurement as a whole
Level 1 — Quoted (unadjusted) market prices in active markets for identical assets or liabilities-
Level 2 — Valuation techniques for which the lowest level input that is significant to the fair value measurement is
directly or indirectly observable-
Level 3 — Valuation techniques for which the lowest level input that is significant to the fair value measurement is
unobservable. For assets and liabilities that are recognised in the financial statements on a recurring basis, the
Company determines whether transfers have occurred between levels in the hierarchy by re-assessing categorisation
(based on the lowest level input that is significant to the fair value measurement as a whole) at the end of each
reporting period.
The Company’s Valuation team determines the policies and procedures for both recurring fair value measurement, such as
derivative instruments and unquoted financial assets measured at fair value, and for non-recurring measurement
XIV. Impairment of noil financial assets
Assessment is done at each Balance Sheet date to evaluate whether there is any indication that a non-financial asset
may be impaired. For the purpose of assessing impairment, the smallest identifiable group of assets that generates
cash inflows from continuing use that are largely independent of the cash inflows from other assets or groups of
assets, is considered as a cash generating unit. If any such indication exists, an estimate of the recoverable amount
of the asset/cash generating unit is made. Assets whose carrying value exceeds their recoverable amount are
written down to their recoverable amount. Recoverable amount is higher of an asset's or cash generating unit’s net
selling price and its value in use. Value in use is the present value of estimated future cash flows expected to arise
from the continuing use of an asset and from its disposal at the end of its useful life. A previously recognised
impairment loss is increased or reversed depending on changes in circumstances. However, the carrying value after
reversal is not increased beyond the carrying value that would have prevailed by charging usual depreciation if
there was no impairment.
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