1 Material Accounting Policies
1.1 About the Company
LandmarkPropertyDevelopmentCompanyLimited("theCompany")wasincorporatedon28thdayofDecember,1976undertheprovisionsof theCompaniesAct,1956.TheCompanyisprimarilyengagedinthebusinessofrealestatedevelopment.TheregisteredofficeoftheCompany is situated at 11th Floor, Narain Manzil, 23, Barakhamba Road, New Delhi, India.
1.2 Statement of Material Accounting Policies
a) Statement of compliance
TheseFinancialStatementshavebeenpreparedinaccordancewithlndianAccountingStandards(lndAS)underthehistoricalcostconvention
onaccrualbasis(exceptcertainFinanciallnstrumentswhicharemeasuredatfairvalue),theprovisionsoftheCompaniesAct,2013('Act')(to
the extent notified) and guidelines issued by the Securities and Exchange Board of India (SEBI), Indian Accounting Standards (Ind AS) as
prescribedunderSection133oftheActreadwithRule3oftheCompanies(lndianAccountingStandards)Rules,2015andrelevantamendment
rules issued thereafter.
Accounting policies have been consistently applied except where a newlyissued accounting standard is initially adopted or a revision to an existing accounting standard requires a change in the accounting policy there in use.
The financial statements were authorised for issue by the Company’s Board of Directors on 26.05.2025.
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 set-out in the Act. Deferred tax assets and liabilities are classified as non-current assets and non-current liabilities, as the case may be.
b) Revenue Recognition
TheCompanyrecognisesrevenuefrom contractswithcustomers whenitsatisfiesaperformanceobligationbytransferringpromisedgoodor service to a customer. The revenue is recognised to the extent of transaction price allocated to the performance obligation satisfied. Performanceobligationissatisfiedovertimewhenthetransferofcontrolofasset(goodorservice)toacustomerisdoneovertimeandinother cases, performance obligation is satisfied at a point in time.
TransactionpriceistheamountofconsiderationtowhichtheCompanyexpectstobeentitledinexchangefortransferringgoodorservicetoa customerexcludingamountscollectedonbehalfofathird party. Variableconsiderationisestimatedusingtheexpectedvaluemethodormost likely amount as appropriate in a given circumstance.
The Company derives revenue primarily from sale of land, Plots, Flats etc
Revenue is measured at the transaction price. Revenue is reduced for returns, trade allowances for deduction, rebates, Goods and Service taxes and amounts collected on behalf of third parties.
Revenue from sale of Land , Plots , Flats etc.
The sale of Land, Plots .flats is recognized at a point in time when the control of the Land,Plots,Flats are transferred and handed over possession to the buyer.
Interest
Interest income is accounted on a time proportion basis taking into account the amount outstanding and the effective interest rate (EIR). EffectivelnterestRateistheratethatexactlydiscounts estimatedfuturecashreceiptsthroughtheexpectedlifeof thefinancial assetto that
asset's net carrying amount on initial recognition.
Interest on bank deposits/loans is recognized on time proportion basis.
Dividend
Dividendincomefrominvestmentsisrecognisedwhentherighttoreceivepaymentshasbeenestablished(providedthatitisprobablethatthe economic benefits will flow to the company and the amount of income can be measured reliably).
c) Basis of preparation and presentation
Thefinancialstatementshavebeenpreparedonthehistoricalcostbasisexceptforcertainfinancialinstrumentsthataremeasuredatfairvalues at the end of each reporting period.
Historical Cost is generally based on the fair value of the consideration given in exchange of goods and services.
Fairvalueisthepricethatwouldbereceivedtosellanassetorpaidtotransferaliabilityinanorderlytiansactionbetweenmarketparticipantsat
themeasurementdate.regardlessofwhetherthatpriceisdirectlyobservableorestimatedusinganothervaluationtechnique.lnestimatingthe
fairvalueofanassetoraliability,theCompanytakesintoaccountthecharacteristicsoftheassetorliabilityifmarketparticipantswouldtake
thosecharacteristicsintoaccountwhenpricingtheassetorliabilityatthemeasurementdate.Fairvalueformeasurementand/ordisclosure
purposes in these financial statements is determined on such a basis.
Inaddition,forfinancialreportingpurposes.fairvaluemeasurements arecategorised intoLevel 1,2, or3 basedon thedegree towhich the
inputstothefairvaluemeasurementsareobservableandthesignificanceoftheinputstothefairvaluemeasurementinitsentirety.whichare
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 assets or liabilities either directly or indirectly; and
Level 3 inputs are unobservable inputs for the asset or liability.
d) Property. Plant and Equipment Recognition
Property, PlantandEquipmentarestatedatcost(orrevaluedamounts,asthecasemaybe),lessaccumulateddepreciationandimpairment
loss,ifany.Costcomprisesthepurchasepriceandanyattributablecostofbringingtheproperty,plantandequipmenttoitsworkingconditionfor
itsintendeduse.Borrowingcostsrelatingtoacquisitionofproperty,plantandequipmentwhichtakessubstantialperiodoftimetogetreadyfor
its intended use are also included to the extent they relate to the period till such property, plant and equipment are ready to be put to use.
Thecostofanitemofproperty.plantandequipmentisthecashpriceequivalentattherecognitiondate.lfpaymentisdeferredbeyondnormal creditterms.thedifferencebetweenthecashpriceequivalentandthetotalpaymentisrecognisedasinte restove rtheperiodofcred it, unless such interest is capitalised as per borrowing cost.
TheCompanyidentifiesanddeterminesseparateusefullifeofeachmajorcomponentoftheproperty,plantandequipment,iftheyhaveuseful life that is materially different from that of the remaining asset, as per Schedule II of Companies Act, 2013.
Derecognition
Anitemofproperty.plantandequipmentandanysignificantpartinitiallyrecognisedisderecognisedupondisposalorwhennofutureeconomic benefitsareexpectedfromitsuseordisposal.Anygainorlossarisingonde-recognitionoftheasset(calculatedasthedifferencebetweenthe net disposal proceeds and the carrying amount of the asset) is included in the income statement when the asset is disposed.
The asset's residual values, useful life and methods of depreciation are reviewed at each financial year end and adjusted prospectively
e) Depreciation on Property. Plant and Equipment
Depreciationonalloftheproperty.plantandequipmentisprevidedusingtheWrittenDownValuemethodattheusefullifeasprescribedby
Schedule II of the Companies Act, 2013. The management believes that depreciation rates currentlyused fairlyreflect its estimates of the
useful lives and residual values of property, plant and equipment..
Assets Useful Lifes
Plant & Machinery 15 years
Computers & Data Processing Units 3 years
Furnitures & Fittings 10 years
f) Intangible Assets
Anlntangibleassetisrecognisedwhenitisprobablethattheexpectedfutureeconomicbenefitsthatareattributabletotheassetwillflowtothe Company; and the cost of the asset can be measured reliably.
Thecostofanintangibleassetcomprisesofitspurchaseprice,includingimportdutiesandnon-refundablepurchasetaxes,afterdeductingtrade discounts and rebates; and any directly attributable cost of preparing the asset for its intended use
Gainsorlossesarisingfrom derecognitionofanintangibleassetaremeasuredasthedifferencebetweenthenetdisposalproceedsandthe carrying amount of the asset and are recognised in the statement of profit or loss when the asset is derecognised
Intangibleassetsacquiredseparatelyaremeasuredoninitialrecognitionatcostlessaccumulatedamortisation andaccumulated impairment
losses, if any.
Costistheamountofcashorcashequivalentspaidorthefairvalueofotherconsiderationgiventoacquireanassetatthetimeofitsacquisition orconstruction,or,whenapplicable,theamountattributedtothatassetwheninitiallyrecognisedinaccordancewiththespecificrequirementsof other Indian Accounting Standards.
Software
Cost of software is amortized over a period of 3 years being the estimated useful life as per the management estimates.
ThecostofintangibleassetsareamortizedonaWDVMethodovertheirestimatedusefullifeofthreeyears.Howeverintangibleassetscosting less than Rs. 10,000/- are fully amortized in the year of acquisition.
g) Borrowing Cost
Borrewingcostsdirectlyattributabletotheacquisition.constructionorproductionofanproperty.plantandequipmentthatnecessarilytakesa
substantial period of time to get ready for its intended use or sale are capitalized as part of the cost of the respective property, plant and
equipment.Allotherborrowingcostsareexpensedintheperiodtheyoccur.Borrowingcostsconsistofinterestandothercoststhatanentity
incurs in connection with the borrowing of funds.
h) Impairment
Attheendofeachreportingperiod.thecompanyreviewsthecarryingamountsofitstangibleandintangibleassetstodeterminewhetherthereis
any indication based on internal/ external factors that those assets have suffered an impairment loss. If any such indication exists, the
recoverableamountoftheassetisestimatedinordertodeterminetheextentoftheimpairmentloss(ifany).Whenitisnotpossibletoestimate
therecoverableamountofanindividualassetthecompanyestimatestherecoverableamountofthecash-generatingunittowhichtheasset
belongs. When a reasonable and consistent basis of allocation can be identified, corporate assets are also allocated to individual cash-
generatingunits.orotherwisetheyareallocatedtothesmallestgroupofcash-generatingunitsforwhichareasonableandconsistentallocation
basis can be identified.
Intangible assets with indefinite useful lives and intangible assets not yet available for use are tested for impairment at least annually, and whenever there is an indication that the asset may be impaired.
Recoverableamountisthehigheroffairvaluelesscostsofdisposalandvalueinuse.lnassessingvalueinuse.theestimatedfutu recashflows arediscountedtotheirpresentvalueusingapre-taxdiscountratethatreflectscurrentmarketassessmentsofthetimevalueofmoneyandthe risks specific to the asset for which the estimates of future cash flows have not been adjusted.
lftherecoverableamountofanasset(orcash-generatingunit)isestimatedtobelessthanitscarryingamount,thecarryingamountoftheasset
(or cash-generating unit) is reduced to its recoverable amount. An impairment loss is recognised immediately in the statement of profit and loss.
When an impairment loss subsequently reverses, the carrying amount of the asset (or a cash-generating unit) is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determinedhadnoimpairmentlossbeenrecognisedfortheasset(orcash-generatingunit)inprioryears.Areversalofanimpairmentlossis recognised immediately in the statement of profit and loss.
i) Inventories
Stock in trade- finished goods and partly finished goods are valued at cost or net realizable value which ever is lower.
Land and plots other than area transferred to constructed properties at the commencement of construction are valued at lower of
cost/approximateaveragecost/asre-valuedonconversiontostockandnetrealisablevalue.Costincludesland(includingdevelopmentrights
and land under agreement to purchase) acquisition cost, borrowing cost, estimated internal development costs and external development
charges.
Net realizable value is the estimated selling price in the ordinary course of business, less estimated costs necessary to make the sale.
j) Foreign currency transactions
lnpreparingthefinancialstatements,transactionincurrenciesotherthantheCompany’sfunctionalcurrency(foreigncurrencies)arerecognized at the rates of exchange prevailing at the dates of the transactions.
At the end of each reporting period
i) Monetary items denominated in foreign currencies are retranslated at the rates prevailing at that date,
ii) Non-monetary items carried at fair value that are denominated in foreign currencies are retranslated at the rates prevailing at the date when the fair value was determined.
iii) Non-monetary items that are measured in terms of historical cost in foreign currency are not retranslated.
Exchanged ifferencesonmonetaryitemsarerecognizedinthestatementofprofitandlossintheperiodinwhichtheyariseexceptexchange differencesonforeigncurrencyboirewingsrelatingtoassetsunderconstructionforfutureproductiveuse,whichareincludedinthecostofthose assets when they are regarded as adjustment to interest costs on those foreign currency borrowings.
Functional and Presentation Currency
The financial statements are presented in Indian Rupees (LACS), which is also the Company's functional currency. All amounts have been rounded-off to two decimals thereof, unless otherwise indicated.
k) Employees Benefits
Short term employee benefits
Employee benefits payable whollywithin twelve months of receiving services are classified as short-term employee benefits. These benefits
includesalaryandwages.bonusandexgratia.Theundiscountedamountofshort-termemployeebenefitstobepaidinexchangeforemployee
services is recognized as an expense as the related service is rendered by the employees.
Post employment benefits Defined contribution plans
Adefinedcontributionplanispost-employmentbenefitplanunderwhichanentitypaysspecifiedcontributionstoaseparateentityandhasno
obligation to pay any further amounts. The Company makes specified contributions towards employee provident fund to Government
administeredprovidentfundscheme.TheCompany’scontributionsarerecognizedasanexpenseinthestatementofprofitandlossduringthe
period in which the employee renders the related service.
Defined benefit plans
TheCompany’sgratuitybenefitschemeisadefinedbenefitplan.TheCompany’snetobligationinrespectofadefinedbenefitplaniscalculated byestimatingtheamountoffuturebenefitthatemployeeshaveeamedandretumedforservicesinthecurrentandpriorperiods;thatbenefitis discountedtodetermineitspresentvalue.The calculation of Company’s obligationunder the plan is performedperiodicallybyaqualified actuary using the projected unit credit method.
When the benefits of a plan are changed or when a plan is curtailed, the resulting change in benefit that relates to past service or the gain or loss on curtailment is recognised immediately in the statement of profit and loss.
Long term employee benefits
Compensated absences
Theemployeescancarry-forwardaportionoftheunutilizedaccruedcompensatedabsencesandutilizeitinfutureserviceperiodsorreceive cashcompensationonterminationofemployment.Sincetheemployeehasunconditionalrighttoavailtheleave,thebenefitisclassifiedasa shorttermemployeebenefit.TheCompanyrecordsanobligationforsuchcompensatedabsencesintheperiodinwhichtheemployeerenders theservicesthatincreasethisentitlement.Theobligationismeasuredonthebasisofindependentactuarialvaluationusingtheprojectedunit credit method.
l) Income taxes
Income tax expense represents the sum of the tax currently payable and deferred tax.
i) Current Tax
Thetaxcurrentlypayableisbasedontaxableprofitfortheyear.Taxableprofitdiffersfrom'profitbeforetax'asreportedinthestatementofprofit andlossbecauseofitemsofincomeorexpensethataretaxableordeductibleinotheryearsanditemsthatarenevertaxableordeductible.The current tax is calculated using tax rates and tax laws that have been enacted or substantively enacted by the end of the reporting period.
Current income-tax is measured at the amount expected to be paid to the tax authorities in accordance with the Income-tax Act, 1961 enacted in India and tax laws prevailing in the respective tax jurisdictions where the Group operates.
ii) Deferred tax
Deferredtaxisrecognizedontemporarydifferencesbetweenthecarryingamountsofassetsandliabilitiesinthefinancialstatementsandthe corresponding tax bases used in computation of taxable profit.
Deferred tax liabilities are generally recognized for all taxable temporary differences. Deferred tax assets are generally recognized for all deductibletemporarydifferencestotheextentthatitisprobablethattaxableprofitswillbeavailableagainstwhichthosedeductibletemporary differences can be utilized.
DeferredtaxismeasuredbasedontaxratesandtaxIawsenactedorsubstantivelyenactedatthebalancesheetdate.Deferredtaxassetsand
deferredtaxIiabilitiesareoffset.ifalegallyenforceablerightexiststosetoffcurrenttaxassetsagainstcurrenttaxIiabilities.Deferredtaxassets
are recognized onlyto the extent, that thereis reasonablecertaintythatsufficient futuretaxable incomewill beavailable againstwhich such
deferredtaxassetscanberealized.lnsituationswherethecompanyhasunabsorbeddepreciationorcarryforwardtaxlosses.alldeferredtax
assets are recognized only if there is virtual certainty supported by convincing evidence that they can be realized against future taxable profits.
The carrying amount of deferred tax assets is reviewed at the end of each reporting period and reduced to the extent that is no longer probable that sufficient taxable profits will be available to allow all part of assets to be recovered.
Deferredtaxismeasuredbased ontaxratesand taxlaws enactedor substantivelyenacted bythe endof thereporting period.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.
iii) Current and deferred tax for the year
Current and deferred tax are recognized in the statement of profit and loss, except when they relate to items that are recognized in other
comprehensiveincomeordirectlyinequity,inwhichcase,thecurrentanddeferredtaxarealsorecognizedinothercomprehensiveincomeor
directly in equity respectively.
m) Earnings Per share
Basiceamingspershareisbeingcalculatedbydividingnetprofitorlossfortheyear(includingpriorperioditems,ifany)attributabletoequity shareholders by the weighted average number of equity shares outstanding during the year.
Forthepurposeofcalculatingdilutedeamingspershare.thenetprofitoriossfortheyearattributabletoequityshareholdersandtheweighted average number of shares outstanding during the year are adjusted for the effects of all dilutive potential equity shares.
n) Financial Instrument
Financial assets and financial liabilities are recognised when a Company becomes a party to the contractual provisions of the instruments.
Financialassetsandfinancialliabilities areinitiallymeasuredatfairvalue.Transactioncoststhataredirectlyattributabletotheacquisitionor
issueoffinancialassetsandfinancialliabilities(otherthanfinancialassetsandfinancialliabilitiesatfairvaluethroughprofitorioss)areaddedto
or deducted from the fair value of the financial assets or financial liabilities, as appropriate, on initial recognition. Transaction costs directly
attributabletotheacquisitionoffinancialassetsorfinancialliabilitiesatfairvaluethroughprofitoriossarerecognisedimmediatelyinprofitor
loss.
Allregularwaypurchasesorsalesoffinancialassetsarerecognisedandderecognisedonatradedatebasis.Regularwaypurchasesorsales arepurchasesorsalesoffinancialassetsthatrequiredeliveryofassets withinthe timeframe establishedbyregulationor conventions the
marketplace.
Allrecognisedfinancialassetsaresubsequentlymeasuredintheirentiretyateitheramortisedcostorfairvalue.dependingontheclassifi cation of the financial assets
Investment in mutual funds
Investment in mutual funds are measured at fair value through Profit and Loss (FVTPL).
Classification of financial assets
FinancialAssetsthatmeetthefollowingconditionsaresubsequentlymeasuredatamortisedcost(exceptfbrfinancialassetsthataredesignated as at fair value through profit or loss on initial recognition):
i) the assets is held within a business model whose objective is to hold assets in order to collect contractual cash flows; and
ii) the contractual terms of the instrument give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.
FinancialAssetsthatmeetthefollowingconditionsaresubsequentlymeasuredatfairvaluethroughothercomprehensiveincome(exceptfor financial assets that are designated as at fair value through profit or loss on initial recognition):
the assets is held within a business model whose objective is achieved both by collecting contractual cash flows and selling financial assets; and
ii) the contractual terms of the instrument give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.
InterestincomeisrecognisedinprofitorlossforFVTOCIfinancialassets.Forthepurposesofrecognisingforeignexchangegainsandlosses, FVTOCIfinancialassetsaretreatedasfinancialassetsmeasuredatamortisedcost.Thus.theexchangedifferencesontheamortisedcostare recognisedinprofitorlossandotherchangesinthefairvalueofFVTOCIfinancialassetsarerecognisedinothercomprehensiveincomeand accumulatedundertheheadingofReserveforfinancialassetsthroughothercomprehensiveincome’.Whentheinvestmentisdisposedof.the cumulative gain or loss previously accumulated in this reserve is reclassified to profit or loss.
All other financial assets are subsequently measured at fair value.
Effective interest method
The effective interest method is a method of calculating the amortised cost of a debt instrument and of allocating interest income over the relevantperiod.Theeffectiveinterestrateistheratethatexactlydiscountsestimatedfuturecashreceipts(includingallfeesandpointspaidor receivedthatformanintegralpartoftheeffectiveinterestrate,transactioncostsandotherpremiumsordiscounts)throughtheexpectedlifeof the debt instrument, or, where appropriate, a shorter period, to the net carrying amount on initial recognition.
IncomeisrecognisedonaneffectiveinterestbasisfordebtinstrumentsotherthanthosefinancialassetsclassifiedasatFVTPL.Interestincome is recognised in profit or loss and is included in the "Other income" line item.
Financial assets at fair value through profit or loss (FVTPL)
AfinancialassetthatmeetstheamortisedcostcriteriaordebtinstrumentsthatmeettheFVTOCIcriteriamaybedesignatedasatFVTPLupon initial recognition if such designation eliminates or significantly reduces a measurement or recognition inconsistency that would arise from measuring assets or liabilities or recognising the gains and losses on them on different bases. The Company has not designated any debt instrument as at FVTPL.
FinancialassetsatFVTPLaremeasuredatfairvalueattheendofeachreportingperiod,withanygainsorlossesarisingonremeasurement
recognisedinprofitorloss.Thenetgainorlossrecognisedinprofitorlossincorporatesanydividendorinteresteamedonthefinancialasset
andisincludedinthe'Otherincome’lineitem.DividendonfinancialassetsatFVTPLisrecognisedwhentheCompany’srighttoreceivethe
dividends is established, it is probable that the economic benefits associated with the dividend will flow to the entity, the dividend does not
represent a recovery of part of cost of the investment and the amount of dividend can be measured reliably.
Impairment of financial assets
The Companyapplies the expected credit loss model for recognising impairment loss on financial assets measured at amortised cost, debt instrumentsatFVTOCI,leasereceivables,tradereceivables,andothercontractualrightstoreceivecashorotherfinancialasset,andfinancial guarantees not designated as at FVTPL.
Expectedcreditlossesaretheweightedaverageofcreditlosseswiththerespectiverisksofdefaultoccurringastheweights.Creditlossisthe
difference between all contractual cash flows that are due to the Company in accordance with the contract and all the cash flows that the
Companyexpectstoreceive(i.e.allcashshortfalls),discountedattheoriginaleffectiveinterestrate(orcredit-adjustedeffectiveinterestratefor
purchasedororiginatedcreditimpairedfinancialassets).TheCompanyestimatescashflowsbyconsideringallcontractualtermsofthefinancial
instrument (for example, prepayment, extension, call and similar options) through the expected life of that financial instrument.
TheCompanymeasuresthelossallowanceforafinancialinstrumentatanamountequaltothelifetimeexpectedcreditlossesifthecreditrisk
on that financial instrument has increased significantly since initial recognition. If the credit risk on a financial instrument has not increased
significantlysinceinitialrecognition.theCompanymeasuresthelossallowanceforthatfinancialinstrumentat anamount equalto 12-month
expected credit losses. 12-month expected credit losses are portion of the life-time expected credit losses and represent the lifetime cash
shortfallsthatwillresultifdefaultoccurswithinthe12monthsafterthereportingdateandthus,arenotcashshortfallsthatarepredictedoverthe
next 12 months.
IftheCompanymeasuredlossallowanceforafinancialinstrumentatlifetimeexpectedcreditlossmodelinthepreviousperiod.butdetermines attheendofareportingperiodthatthecreditriskhasnotincreasedsignificantlysinceinitialrecognitionduetoimprovementincreditqualityas compared to the previous period, the Company again measures the loss allowance based on 12-month expected credit losses.
When making the assessment of whetherthere hasbeen asignificant increasein creditrisk sinceinitial recognition,the Companyuses the
changeintheriskofadefaultoccurringovertheexpectedlifeofthefinancialinstrumentinsteadofthechangeintheamountofexpectedcredit
losses.Tomakethatassessment.theCompanycomparestheriskofadefaultoccurringonthefinancialinstrumentasatthereportingdatewith
the risk of a default occurring on the financial instrument as at the date of initial recognition and considers reasonable and supportable
information, that is available without undue cost or effort, that is indicative of significant increases in credit risk since initial recognition.
Fortradereceivablesoranycontractualrighttoreceivecashoranotherfinancialassetthatresultfromtransactionsthatarewithinthescopeof Ind AS 11 and Ind AS 115, the Company always measures the loss allowance at an amount equal to lifetime expected credit losses.
Further,forthepurposeofmeasuringlifetimeexpectedcreditlossallowancefortradereceivables.theCompanyhasusedapracticalexpedient aspermittedunderlndAS109.Thisexpectedcreditlossallowanceiscomputedbasedonaprovisionmatrixwhichtakesintoaccounthistorical credit loss experience and adjusted for forward looking information.
The impairment requirements for the recognition and measurement of a loss allowance are equally applied to debt instruments at FVTOCI except that the loss allowance is recognised in other comprehensive income and is not reduced from the carrying amount in the balance sheet.
Derecognition of financial assets
The Company derecognises a financial asset when the contractual rights to the cash flows from the asset expire, or when it transfers the
financialassetandsubstantiallyalltherisksandrewardsofownershipoftheassettoanotherparty.lftheCompanyneithertransfersnorretains
substantiallyalltherisksandrewardsofownershipandcontinuestocontrolthetransferredassettheCompanyrecognisesitsretainedinterest
in the asset and an associated liability for amounts it may have to pay. If the Company retains substantially all the risks and rewards of ownership
ofatransferredfinancialasset.theCompanycontinuestorecognisethefinancialassetandalsorecognisesacollateralisedborrowingforthe
proceeds received.
On derecognition of a financial asset in its entirety, the difference between the asset’s carrying amount and the sum of the consideration receivedandreceivableandthecumulativegainorlossthathadbeenrecognisedinothercomprehensiveincomeandaccumulatedinequityis recognised in profit or loss if such gain or loss would have otherwise been recognised in profit or loss on disposal of that financial asset.
On derecognition of a financial asset other than in its entirety(e.g. when the Companyretains an option to repurchase part of a transferred asset), theCompanyallocatesthepreviouscarryingamountofthefinancialassetbetweenthepartitcontinuestorecogniseundercontinuing involvement, andthepartitnolongerrecognisesonthebasisoftherelativefairvaluesofthosepartsonthedateofthetransfer.Thedifference betweenthecarryingamountallocatedtothepartthatisnolongerrecognisedandthesumoftheconsiderationreceivedforthepartnolonger recognisedandanycumulativegainoriossallocatedtoitthathadbeenrecognisedinothercomprehensiveincomeisrecognisedinprofitor lossifsuchgainorlosswouldhaveotherwisebeenrecognisedinprofitorlossondisposalofthatfinancialasset.Acumulativegainoriossthat hadbeenrecognisedinothercomprehensiveincomeisallocatedbetweenthepartthatcontinuestoberecognisedandthepartthatisnolonger recognised on the basis of the relative fair values of those parts.
Foreign exchange gains and losses
Thefairvalueoffinancialassetsdenominatedinaforeigncurrencyisdeterminedinthatforeigncurrencyandtranslatedatthespotrateatthe
end of each reporting period. For foreign currency denominated financial assets measured at amortised cost and FVTPL, the exchange
differences are recognised in statement of profit & loss since there are no designated hedging instruments in a hedging relationship.
Financial liabilities
All financial liabilities are subsequently measured at amortised cost using the effective interest method or at FVTPL.
However, financialliabilitiesthatarisewhenatransferofafinancialassetdoesnotqualifyforderecognitionorthenthecontinuinginvolvement approachapplies,financialguaranteecontractsissuedbytheCompany,andcommitmentsissuedbytheCompanytoprovidealoanatbelow-market interest rate are measured in accordance with the specific accounting policies set out below.
Financial liabilities at FVTPL
Financialliabilities areclassifiedasatFVTPLwhenthefinancialliabilityiseithercontingentconsiderationrecognisedbytheCompanyasan acquirer in a business combination to which Ind AS 103 applies or is held for trading or it is designated as at FVTPL.
A financial liability is classified as held for trading if:
i) it has been incurred principally for the purpose of repurchasing it in the near term; or
ii) on initial recognition it is part of a portfolio of identified financial instruments that the company manages together and has a recent actual pattern of short-term profit-taking; or
iii) it is a derivative that is not designated and effective as a hedging instrument.
FinancialliabilitiesatFVTPLarestatedatfairvalue.withanygainsoriossesarisingonremeasurementrecognisedinprofitorioss.Thenetgain or loss recognised in profit or loss incorporates any interest paid on the financial liability and is included in the ‘Other income’ line item.
However, for non-held-for-trading financial liabilities that are designated as at FVTPL, the amount of change in the fair value ofthe financial
liabilitythatisattributabletochangesinthecreditriskofthatliabilityisrecognisedinothercomprehensiveincome,unlesstherecognitionofthe
effectsofchangesintheliability’screditriskinothercomprehensiveincomewouldcreateorenlargeanaccountingmismatchinprofitorioss.in
which casetheseeffectsofchangesincreditriskarerecognisedinprofitorloss.Theremainingamountofchangeinthefairvalueofliabilityis
always recognised in profit or loss. Changes in fair value attributable to a financial liability's credit risk that are recognised in other
comprehensive income are reflected immediately in retained earnings and are not subsequently reclassified to profit or loss.
GainsorlossesonfinancialguaranteecontractsandloancommitmentsissuedbytheCompanythataredesignatedbytheCompanyasatfair value through profit or loss are recognised in profit or loss.
Financial liabilities subsequently measured at amortised cost
Financialliabilitiesthatarenotheld-for-tradingandarenotdesignatedasatFVTPLaremeasuredatamortisedcostattheendofsubsequent accountingperiods.Thecarryingamountsoffinancialliabilitiesthataresubsequentlymeasuredatamortisedcostaredeterminedbasedonthe effective interest method. Interest expense that is not capitalised as part of costs of an asset is included in the 'Finance costs’ line item.
The effective interest method is a method of calculating the amortised cost of a financial liabilityand of allocating interest expense over the relevantperiod.Theeffectiveinterestrateistheratethatexactlydiscountsestimatedfuturecashpayments(includingallfeesandpointspaidor receivedthatformanintegralpartoftheeffectiveinterestrate,transactioncostsandotherpremiumsordiscounts)throughtheexpectedlifeof the financial liability, or (where appropriate) a shorter period, to the net carrying amount on initial recognition.
Financial guarantee contracts
A financial guarantee contract is a contract that requires the issuer to make specified payments to reimburse the holder for a loss it incurs because a specified debtor fails to make payments when due in accordance with the terms of a debt instrument.
Financial guarantee contracts issued by a group entity are initially measured at their fair values and, if not designated as at FVTPL, are subsequently measured at the higher of:
i) the amount of loss allowance determined in accordance with impairment requirements of Ind AS 109; and
ii) the amount initially recognised less, when appropriate, the cumulative amount of income recognised in accordance with the principles of Ind AS115.
Commitments to provide a loan at a below-market interest rate
Commitmentstoprovidealoanatabelow-marketinterestrateareinitiallymeasuredattheirfairvaluesand,ifnotdesignatedasatFVTPL,are subsequently measured at the higher of:
i) the amount of loss allowance determined in accordance with impairment requirements of Ind AS 109; and
ii) the amount initially recognised less, when appropriate, the cumulative amount of income recognised in accordance with the principles of Ind AS115.
Foreign exchange gains and losses
Forfinancialliabilitiesthataredenominatedinaforeigncurrencyandaremeasuredatamortisedcostattheendofeachreportingperiod.the foreign exchange gains and losses are determined based on the amortised cost of the instruments and are recognised in 'Other income'.
Thefairvalueoffinancialliabilitiesdenominatedinaforeigncurrencyisdeterminedinthatforeigncurrencyandtranslatedatthespotrateatthe endofthereportingperiod.ForfinancialliabilitiesthataremeasuredasatFVTPL.theforeignexchangecomponentformspartofthefairvalue gains or losses and is recognised in profit or loss.
Derecognition of financial liabilities
TheCompanyderecognisesfinancialliabilitieswhen,andonlywhen,theCompany’sobligationsaredischarged,cancelledorhaveexpired.An
exchange between with a lender of debt instruments with substantially different terms is accounted for as an extinguishment of the original
financialliabilityandtherecognitionofanewfinancialliability.Similariy.asubstantialmodificationofthetermsofanexistingfinancialliability
(whetherornotattributabletothefinancialdifficultyofthedebtorjisaccountedforasanextinguishmentoftheoriginalfinancialliabilityandthe
recognitionofanewfinancialliability.Thedifferencebetweenthecarryingamountofthefinancialliabilityderecognisedandtheconsideration
paid and payable is recognised in statement of profit & loss.
o) Provisions & Contingencies
Provisionsarerecognisedwhenthecompanyhasapresentobligation(legalorconstructive)asaresultofapastevent,itisprobablethatthe company will be required to settle the obligation, and a reliable estimate can be made of the amount of the obligation.
The amount recognised as a provision is the best estimate of the consideration required to settle the present obligation at the end of the
reportingperiod.takingintoaccounttherisksanduncertaintiessurroundingtheobligation.Whenaprovisionismeasuredusingthecashflows
estimated to settle the present obligation, its carrying amount is the present value of those cash flows (when the effect of the time value of
moneyismaterial).Whensomeoralloftheeconomicbenefitsrequiredtosettleaprovisionareexpectedtoberecoveredfromathirdparty,a
receivable is recognised as an asset if it is virtually certain that reimbursement will be received and the amount of the receivable can be
measured reliably.
p) Contingent Liabilities
Acontingentliabilityisapossibleobligationthatarisesfrompasteventswhoseexistencewillbeconfirmedbyoccurrenceomon-occurrenceof oneormoreofuncertainfutureeventsbeyondthecontrolofcompanyorapresentobligationthatisnotrecognizedbecauseitisnotprobable thatanoutflowofresourceswillberequiredtosettletheanobligation.Acontingentliabilityalsoarisesintheextremelyrarecaseswherethereis a liability that cannot be recognized because it cannot be measured reliably its existence in the financial statements. Company does not recognize the contingent liability but disclosed its existence in financial statements.
q) Cash and Cash Equivalents
Cashandcashequivalentsforthepurposesofcashflowstatementcompriseofcashatbankandcashinhandandshort-terminvestmentswith anoriginalmaturityofthreemonthsorless.BankoverdraftsareshownwithinborrowingsincuiTentliabilitiesinthebalancesheetandformspart offinancingactivitiesinthecashflowstatement.Bookoverdraftareshownwithinotherfinancialliabilitiesinthebalancesheetandformspartof operating activities in the cash flow statement.
r) Segment Reporting Operating segments
Ind AS 108 “Operating Segment" (“Ind AS 108”) establishes standards for the waythat public business enterprises report information about
operatingsegmentsandrelateddisclosuresaboutproductsandservices,geographicareas,andmajorcustomers.Basedonthe“management
approach’asdefinedinlndAS108,Operatingsegmentsaretobereportedinamannerconsistentwiththeinternalreportingprovidedtothe
Chief Operating Decision Maker (CODM).The CODM evaluates the Company’s performance and allocates resources on overall basis. The
Company’s sole operating segment is therefore primarily Real Estate Development . Accordingly, there are no additional disclosure to be
provided under Ind AS 108.
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