NOTE 2. SIGNIFICANT MATERIAL ACCOUNTING
POLICIES

2.1 Basis of preparation of the Financial Statement and its
measurement :-

(a) Statement of Compliance :

These Standalone Financial Statements of the
Company have been prepared in accordance with
the Indian Accounting Standards (Ind AS) to comply
with the Section 133 of the Companies Act, 2013 (“the
2013 Act”) read with Rule 3 of the Companies (Indian
Accounting Standards) Rules, 2015 and Companies
(Indian Accounting Standards) Amendment Rules,
2016, and the relevant provisions and amendments, as
applicable. The Standalone Financial Statements have
been prepared on accrual basis under the historical
cost convention except for certain financial instruments
which are measured at fair values at the end of each
reporting period, as explained in the accounting
policies below. Also, Refer Note No. 52 for restated
previous year financial information.

These standalone financial statements were authorised
for issue by the Company's Board of Directors
on May 21, 2025.

(b) Functional and presentation currency :

These standalone financial statements are presented
in Indian rupees (INR), which is the Company's
functional currency. All financial information have
been presented in Indian rupees (INR) and all amounts
have been rounded-off to the nearest Lakhs, unless
otherwise stated.

(c) Operating Cycle:-

The normal operating cycle in respect of operation
relating to under construction real estate project
depends on signing of agreement, size of the project,
phasing of the project, type of development, project
complexities, approvals needed. Accordingly, project
related assets & liabilities have been classified into
current & non-current based on operating cycle of the
respective projects.

(d) Use of estimates and judgments :

The preparation of the Standalone financial statements
in conformity with recognition and measurement
principles of Ind AS requires the Management to make
estimates and assumptions considered in the reported
amounts of assets and liabilities (including contingent
liabilities) and the reported income and expenses
during the year. Estimates and underlying assumptions
are reviewed on an ongoing basis. They are based on
the historical experience and other factors, including
expectations of future events that may have financial
impact on the Company and are believed to be prudent
and reasonable. Future results could differ due to these
estimates and the differences between the actual
results and the estimates are recognised in the periods
in which the results are known/ materialise.

The areas involving critical estimates andjudgments are:

(i) Evaluation of Percentage Completion:-

Determination of revenues under the percentage
of completion method necessarily involves making
estimates, some of which are of a technical nature,
concerning, where relevant, the percentages of
completion, costs to completion, the expected
revenues from the project or activity and the
foreseeable losses to completion. Estimates
of project income, as well as project costs, are
reviewed periodically. The effect of changes, if any,
to estimates is recognised in the financial statements
for the period in which such changes are determined.

(ii) Impairment of Non Financial Assets:

The Company assesses at each reporting date
whether there is an indication that an asset may
be impaired. If any indication exists, or when
annual impairment testing for an asset is required,
the Company estimates the asset's recoverable
amount. An asset's recoverable amount is the
higher of an asset's fair value less costs of disposal
and its value in use. When the carrying amount
of an asset exceeds its recoverable amount, the
asset is considered impaired and is written down
to its recoverable amount.

(iii) Impairment of Financial Assets:

The impairment provisions for financial assets
are based on assumptions about the risk of
default and expected loss rates. The Company
uses judgment in making these assumptions and
selecting the inputs to the impairment calculation,
based on Company's past history, existing market
conditions as well as forward looking estimates at
the end of each reporting period.

(iv) Estimation of useful life of property, plant and
equipments:

Useful lives of tangible assets are based on the
life prescribed in Schedule II of the Companies
Act, 2013. In cases, where the useful lives are
different from that prescribed in Schedule II, they
are based on technical advice. Assumptions also
need to be made, when the Company assesses,
whether an asset may be capitalised and
which components of the cost of the asset may
be capitalised.

(v) Recognition and Measurement of Defined
Benefit Obligations:

The obligation arising from defined benefit plan is
determined on the basis of actuarial assumptions.
Key actuarial assumptions include discount rate,
expected return on plan assets, trends in salary
escalation and attrition rate. The discount rate
is determined by reference to market yields at
the end of the reporting period on government
bonds. The period to maturity of the underlying
bonds correspond to the probable maturity of the
post employment benefit obligations.

(vi) Fair Value Measurement of Financial
Instruments:

When the fair values of the financial assets and
liabilities recorded in the Balance Sheet cannot be
measured based on the quoted market prices in
active markets, their fair value is measured using
valuation technique. The inputs to these models
are taken from the observable market wherever
possible, but where this is not feasible, a review
of judgment is required in establishing fair values.
Any changes in assumptions could affect the fair
value relating of financial instruments.

(vii) Classification of Investment property:

The Company determines whether a property is
classified as investment property or as inventory:

(a) Investment property comprises land and
buildings that are not occupied for use by,
or in the operations of, the Company, nor
normally for sale in the ordinary course

of business, but are held primarily to earn
rental income and capital appreciation.
These buildings are rented to tenants and
are not intended to be sold in the ordinary
course of business.

(b) Inventory comprises property that is held
for sale in the ordinary course of business.
Principally these are properties that the
Company develops and intends to sell
before or on completion of construction.

(viii) Estimation of recognition of deferred tax assets,
availability of future taxable profit against which
tax losses carried forward can be used.

(ix) Estimation on discounting of

retention money payable

(e) Measurement of fair values :

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

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 leasing transactions that are within the scope of
Ind AS 17, 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 categorized 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

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

2.2 Property, Plant and Equipment

All the items of property, plant and equipment are stated
at cost less depreciation and impairment, if any. Historical
cost includes expenditure that is directly attributable to the
acquisition of the items.

Subsequent costs are included in the asset's carrying amount
or recognised as a separate asset, as appropriate, only when
it is probable that future economic benefits associated with
the item will flow to the Company and the cost of the item can
be measured reliably. The carrying amount of any component
accounted for as a separate asset is derecognised when
replaced. All other repairs and maintenance are charged to
the Statement of Profit and Loss during the reporting period
in which they are incurred.

Depreciation methods, estimated useful lives and residual
value

The Company depreciates its property, plant and equipment
(PPE) over the useful life on straight line method in the manner
prescribed in Schedule II to the Act. Management believes
that useful life of assets are same as those prescribed in
Schedule II to the Act

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

Depreciation on additions / deletions is calculated pro-rata
from the date of such addition / deletion, as the case maybe.

Gains and losses on disposals are determined by comparing
proceeds with carrying amount. These are included in the
Statement of Profit and Loss.

2.3 Investment Properties :-

Investment property is property held to earn rental income or
for capital appreciation or for both, but normally not for sale
in the ordinary course of business, use in the production or
supply of goods or services or for administrative purposes.

Upon initial recognition, an investment property is measured
at cost. Subsequent to initial recognition, investment
property is measured at cost less accumulated depreciation
and accumulated impairment losses, if any.

Based on technical evaluation and consequent advice, the
Management believes a period of 60 years as representing
the best estimate of the period over which investment
properties are expected to be used. Accordingly, the
Company depreciates investment property over a period of
60 years. Any gain or loss on disposal of investment property
is recognised in the Statement of Profit and Loss.

2.4 Inventories :-

a. Inventories comprise of: (i) Finished Inventories
representing unsold premises in completed projects (ii)
Construction Work in Progress representing properties
under construction / development and

b. Inventories are valued at lower of cost and net
realisable value

c. Cost of construction / development is charged to
the Statement of Profit and Loss in proportion to the
revenue recognised during the period and the balance
cost is carried over under Inventory as part of either
Construction Work in Progress or Finished inventories.
Cost of construction / development includes all costs
directly related to the Project (including finance cost
attributable to the project) and other expenditure as
identified by the Management which are incurred for
the purpose of executing and securing the completion
of the Project (net off incidental recoveries / receipts)
up to the date of receipt of Occupation Certificate of
Project from the relevant authorities.

Construction Work in Progress includes cost of land,
premium for development rights, construction costs,
allocated interest and expenses incidental to the
projects undertaken by the Company.

2.5 Investments in subsidiaries, joint ventures and
associates :-

Investments in subsidiaries, joint ventures and associates
are recognised at cost as per Ind AS 27. Except where
investments accounted for at cost shall be accounted for
in accordance with Ind AS 105, Non-current Assets Held for
Sale and Discontinued Operations, when they are classified
as held for sale.

2.6 Financial Instruments:

(a) Financial Assets:-

(i) Classification

The Company classifies 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.

(ii) Initial Recognition and Measurement

All financial assets (not measured subsequently at
fair value through profit or loss) are recognised
initially at fair value plus transaction costs that
are 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.

(iii) Subsequent Measurement

For purposes of subsequent measurement
financial assets are classified into two
broad categories:

a. Financial asset at fair value

b. Financial asset at amortised cost

Where assets are measured at fair value, gains
and losses are either recognised entirely in profit
or loss (i.e. fair value through profit or loss), or
recognised in other comprehensive income (i.e.
fair value through other comprehensive income).

(iv) Equity Investments

All equity investments other than investment in
subsidiaries and joint venture are measured at
fair value. Equity instruments which are held for
trading are classified as at Fair Value Through
Profit & Loss (FVTPL). For all other equity
instruments, the Company decides to classify
the same either as at Fair Value Through Other
Comprehensive Income (FVTOCI) or FVTPL. The
Company makes such selection on an instrument
by instrument basis. The classification is made on
initial recognition and is irrevocable.

If the Company decides to classify an equity
instrument as at FVTOCI, then all fair value changes on
the instrument, excluding dividends, are recognised
in Other Comprehensive Income (OCI). There is no
recycling of the amounts from OCI to the Statement
of Profit and Loss, even on sale of such investments.

Equity instruments included within the FVTPL
category are measured at fair value with all changes
recognised in the Statement of Profit and Loss.

Investment in equity instruments of Subsidiaries,
Joint Venture and Associates are measured at cost.

(v) A financial asset mainly debt that meets the
following 2 conditions is measured at amortised
cost (net of any write down for impairment) unless
the asset is designated at fair value through profit
or loss under the fair value option.

• Business Model Test : The objective of the
Company's model is to hold the financial asset
to collect the contractual cash flows (rather than
to sell the instrument prior to its contractual
maturity to realise its fair value changes)

• Cash Flow Characteristics Test: The

contractual terms of the financial asset give
rise on specified dates to cash flows that are
solely payment of principal and interest on
the principal amount outstanding.

A financial asset that meets the following 2
conditions is measured at fair value through
other comprehensive income unless the asset
is designated at fair value through profit or loss
under the fair value option.

Business Model Test: The financial asset is
held within a business model whose objective
is achieved both by collecting contractual cash
flows and selling the financial assets

Cash Flow Characteristics Test: The contractual
terms of the financial asset give rise on specified
dates to cash flows that are solely payment
of principal and interest on the principal
amount outstanding.

Even if an instrument meets the two requirements
to be measured at amortised cost or fair value
through other comprehensive income, a financial
asset is measured at fair value through profit or
loss if doing so eliminates or significantly reduces
a measurement or recognition inconsistency
(sometimes referred to as an ‘accounting
mismatch') that would otherwise arise from
measuring assets or liabilities or recognising the
gains or losses on them on different basis.

All other financial assets are measured at fair
value through profit or loss.

(vi) De-recognition:

A financial asset (or, where applicable, a part
of a financial asset or part of a group of similar
financial assets) is primarily derecognised when:

• The rights to receive cash flows from the
asset have expired, or

• The Company has transferred its rights to
receive cash flows from the asset.

(vii) Impairment of Financial Asset

The Company assesses impairment based
on expected credit losses (ECL) model
to the following:

• Financial asset measured at amortised cost

• Financial asset measured at fair value
through other comprehensive income

Expected credit losses are measured through a
loss allowance at an amount equal to:

• 12 months expected credit losses (expected
credit losses that result from those default
events on the financial instrument that
are possible within 12 months after the
reporting date); or

• Full lifetime expected credit losses
(expected credit losses that result from all
possible default events over the life of the
financial instrument)

For financial assets other than trade receivables, as
per Ind AS 109, the Company recognises 12 month
expected credit losses for all originated or acquired
financial assets if at the reporting date the credit risk
of the financial asset has not increased significantly
since its initial recognition. The expected credit
losses are measured as lifetime expected credit
losses if the credit risk on financial asset increases
significantly since its initial recognition.

The Company follows 'simplified approach' for
recognition of impairment loss allowance on trade
receivables, considering historical trend, industry
practices and the business environment in which the
Company operates or any other appropriate basis.

The Company's trade receivables do not
contain significant financing component and loss
allowance on trade receivables is measured at
an amount equal to life time expected losses i.e.
expected cash shortfall.

The impairment losses and reversals are
recognised in Statement of Profit and Loss.

(b) Financial Liabilities:-

(i) Classification

The Company classifies all financial liabilities as
subsequently measured at amortised cost or at
fair value through profit or loss.

(ii) Initial Recognition and Measurement

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

(iii) Subsequent Measurement

After initial recognition, interest bearing loans
and borrowings are subsequently measured at
amortised cost using the Effective Interest Rate
(EIR) method. Gains and losses are recognised
in the Statement of Profit and Loss when the
liabilities are derecognised.

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.

Any difference between proceeds (net of
transaction cost) and the redemption amount
is recognised in profit or loss over the period
of borrowing using the effective interest rate
method. Fees paid on the establishment of loan
facilities are recognised as transaction cost of the
loan to the extent that it is probable that some or
all of the facility will be drawn down.

(iv) Derecognition

A financial liability is derecognised 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 the derecognition of the original
liability and the recognition of a new liability. The
difference in the respective carrying amounts is
recognised in the Statement of Profit and Loss.

Offsetting of 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.

(c) Equity Instruments

An equity instrument is a contract that evidences residual
interest in the assets of the Company after deducting all
of its liabilities. Equity instruments are recognised at the
proceeds received net off direct issue cost.

2.7 Cash and Cash Equivalents :-

For the purpose of presentation in the statement of cash
flows, cash and cash equivalents includes cash on hand,
bank overdraft, deposits held at call with financial institutions,
other short-term highly liquid investments with original
maturities of three months or less that are readily convertible
to known amounts of cash and which are subject to an
insignificant risk of changes in value.

2.8 Revenue Recognition :-

(a) Revenue from contracts with customers :-

The company undertakes the business of construction
of residential and commercial properties. The ongoing
contracts with customers are construction of residential
& commercial buildings, and others.

The Company has adopted Ind AS 115, Revenue from
Contracts with Customers, with effect from 01 April 2018.
The Company has applied the following accounting
policy for revenue recognition:

Revenue from contract with customer is recognised, on
execution of agreement when control of the goods or
services are transferred to the customer, at an amount
that reflects the consideration to which the Company is
expected to be entitled in exchange for those goods or
services excluding any amount received on behalf of third
party (such as indirect taxes). An asset created by the
Company's performance does not have an alternate use
and as per the terms of the contract, the Company has an
enforceable right to payment for performance completed
till date. Hence the Company transfers control of a good
or service over time and, therefore, satisfies performance
obligation and recognises revenue over time. The
Company recognises revenue at the transaction price
which is determined on the basis of agreement entered
into with the customer. The Company recognises revenue
for performance obligation satisfied over time only if it
can reasonably measure its progress towards complete
satisfaction of the performance obligation.

The specific recognition criteria described below must
also be met before revenue is recognised.

The Company recognises revenue from contracts with
customers for ongoing contracts with customers based
on a five step model as set out in Ind AS 115:

The Company Recognised the revenue using cost
based input method. Revenue is recognised with
respect to stage of completion, which assessed with
reference to the proportion of contract cost incurred
for work performed to the estimated total cost of
completion of contract. The Company would not be able
to reasonably measure its progress towards complete
satisfaction of a performance obligation if it lacks
reliable information that would be required to apply an
appropriate method of measuring progress. In those
circumstances, the Company recognises revenue only
to the extent of cost incurred until it can reasonably
measure outcome of the performance obligation

The management reviews and revises its measure of
progress periodically and are considered as change in
estimates and accordingly, the effect of such changes
in estimates is recognised prospectively in the period
in which such changes are determined.

Consideration is adjusted for the time value of money
if the period between the transfer of goods or services
and the receipt of payment exceeds twelve months
and there is a significant financing benefit either to the
customer or the Company.

A contract asset is the right to consideration in exchange
for goods or services transferred to the customer. If the

Company performs by transferring goods or services to
a customer before the customer pays consideration or
before payment is due, a contract asset is recognised
for the earned consideration that is conditional.

Consideration is adjusted for the time value of money
if the period between the transfer of goods or services
and the receipt of payment exceeds twelve months
and there is a significant financing benefit either to the
customer or the Company.

A contract asset is the right to consideration in exchange
for goods or services transferred to the customer. If the
Company performs by transferring goods or services to
a customer before the customer pays consideration or
before payment is due, a contract asset is recognised
for the earned consideration that is conditional.

A contract liability is the obligation to transfer goods
or services to a customer for which the Company has
received consideration (or an amount of consideration is
due) from the customer. If a customer pays consideration
before the Company transfers goods or services to the
customer, a contract liability is recognised when the
payment is made or the payment is due (whichever is
earlier). Contract liabilities are recognised as revenue
when the Company performs under the contract.
A receivable represents the Company's right to an
amount of consideration that is unconditional (i.e., only
the passage of time is required before payment of the
consideration is due). Refer to accounting policies of
financial assets in section 2.6 financial instruments -
initial recognition and subsequent measurement.

(b) Dividend Income

Dividend Income is accounted when the right to receive
the same is established.

(c) Interest Income

Interest income is accounted on accrual basis on a
time proportion basis.

(d) Rental Income :-

Rental Income from investment property is recognised in
standalone statement of profit and loss on straight-line basis
over the term of the lease except where the rentals are
structured to increase in line with expected general inflation.

(e) Share in Profit from LLP:-

Share in Profit from partnership is recognised when
rights to receive is established

’.9 Current and Deferred Taxes :

(a) Current Tax:

Tax expense comprises of current tax and deferred tax.
Current tax is measured at the amount expected to be
paid to / recovered from the tax authorities, based on

estimated tax liability computed after taking credit for
allowances and exemption in accordance with the tax
laws as applicable.

(b) Deferred Tax:

Deferred tax is recognised using the balance sheet
approach. Deferred tax assets and liabilities are
recognised for deductible and taxable temporary
differences arising between the tax base of assets and
liabilities and their carrying amount.

Deferred tax asset 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

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.

Deferred tax liabilities and assets measured at the
tax rates that are expected to apply in the period in
which the liability is settled or the asset realized, based
on tax rates (and tax laws) that have been enacted or
substantively by the end of the reporting period.

The measurement of deferred tax liabilities and assets
reflects the tax consequences that would follow from
the manner in which the Company expects, at the end
of the reporting period, to recover or settle the carrying
amount of its assets and liabilities

Current and deferred tax for the year:

Current and deferred tax are recognized in profit
or loss, except when they relate to items that are
recognized in other comprehensive income or directly
in equity, in which case, the current and deferred tax
are also recognized in other comprehensive income or
directly in equity respectively

2.10 Employee Benefits :

(a) Short term employee benefits:

Short term Employee Benefits are recognised as an
expense on accrual basis at the undiscounted amount
in the statement of profit and loss of the year in which
related service is rendered.

(b) Post Employment Benefits

Unfunded Post employment and other long term
employee benefits are recognised as expense in the
statement of profit and loss for the year in which the
Employees have rendered services. The expense is
recognised at the present value of the amount payable
determined using actuarial valuation techniques as per
actuary report obtained at the year end.

Re-measurement of Defined Benefit Plans in respect
of post-employment are charged to the Other
Comprehensive Income.

2.11 Share-Based Payments

Employees of the Company also receive remuneration in
the form of share based payments in consideration of the
services rendered.

Equity settled share based payments to employees are
measured at fair value in accordance with Ind AS 102, share
based payments. The fair value determined at the grant
date of the share based payment is expensed over the
vesting period, based on the Company estimate of equity
instruments that will eventually vest, with a corresponding
increase in equity

2.12 Leases:

Operating Lease

"The Company assesses at contract inception whether
a contract is, or contains, a lease. That is, if the contract
conveys the right to control the use of an identified asset for
a period of time in exchange for consideration."

As a lessee:-

The Company applies a single recognition and measurement
approach for all leases, except for short - term leases and
leases of low-value assets. The Company recognises
lease liabilities to make lease payments and right-of-use
assets representing the right to use the underlying assets.
Subsequently, the right of use asset are measured at cost
less accumulated depreciation and any accumulated
impairment loss. Lease liability are measured at amortised
cost using the effective interest method. The lease payment
made, are apportioned between the finance charge and
the reduction of lease liability, and are recognised as
expense in the Statement of Profit and Loss.

Lease deposits received are a financial liabilities and
are measured at amortised cost under Ind AS 109
since it satisfies Solely Payment of Principal and Interest
(SPPI) condition. The difference between the present value
and the nominal value of deposit is considered as deferred
rent and recognised over the lease term. Unwinding of
discount is treated as finance expenses and recognised in
the Statement of Profit and Loss.

The Company has elected to use the recognition exemptions
for lease contracts that, at the commencement date, have
a lease term of 12 months or less and do not contain a
purchase option (short-term leases), and lease contracts for
which the underlying asset is of low value (low-value assets).

As a lessor:-

Lease income from operating leases where the Company is
a lessor is recognised in income on a straight-line basis over
the lease term unless the receipts are structured to increase

in line with expected general inflation to compensate for
the expected inflationary cost increases. The respective
leased assets are included in the balance sheet based
on their nature.

Lease deposits received are financial instruments (financial
liability) and are measured at fair value on initial recognition.
The difference between the fair value and the nominal value
of deposits is considered as rent in advance and recognised
over the lease term on a straight line basis. Unwinding of
discount is treated as interest expense (finance cost) for
deposits received and is accrued as per the EIR method.

2.13 Borrowing Cost

Borrowing costs are interest and other costs that the
Company incurs in connection with the borrowing of funds
and is measured with reference to the effective interest rate
applicable to the respective borrowing.

"Borrowing costs, allocated to qualifying assets, pertaining
to the period from commencement of activities relating to
construction / development of the qualifying asset up to the
time all the activities necessary to prepare the qualifying
asset for its intended use or sale are complete.

All other borrowing costs are recognised as an expense in
the period which they are incurred.

2.14 Earnings Per Share :

The Company reports basic and diluted earnings per share
in accordance with Ind AS - 33 on 'Earnings per Share'. Basic
earnings per share is computed by dividing the net profit or
loss for the year by the weighted average number of Equity
shares outstanding during the year. Diluted earnings per share
is computed by dividing the net profit or loss for the year by
the weighted average number of equity shares outstanding
during the year as adjusted for the effects of all diluted potential
equity shares except where the results are anti- dilutive

2.15 Provisions, Contingent Liabilities and Contingent
Assets :

A provision is recognised when the Company has a present
obligation as a result of past event and it is probable than an
outflow of resources will be required to settle the obligation,
in respect of which the reliable estimate can be made. When
a provision is measured using the cash flows 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 money is material) and are determined based
on best estimate required to settle the obligation at the
balance sheet date. These are reviewed at each balance
sheet date adjusted to reflect the current best estimates.

Commitments include the amount of purchase order (net of
advances) issued to parties for completion of assets.

Contingent assets usually arise from unplanned or other
unexpected events that give rise to the possibility of an
inflow of economic benefits. Contingent Assets are not
recognised though are disclosed, where an inflow of
economic benefits is probable

Provisions, contingent liabilities, contingent assets and
commitments are reviewed at each balance sheet date.

2.16 Segment Reporting

The Chief Operational Decision Maker (CODM) monitors the
operating results of its business segments separately for
the purpose of making decisions about resource allocation
and performance assessment. Segment performance
is evaluated based on profit or loss and is measured
consistently with profit or loss in the financial statements. The
operating segments are identified on the basis of nature of
product/services

Recent accounting pronouncements

recent accounting pronouncement: Ministry of Corporate
Affairs (“MCA”) notifies new standards or amendments to
the existing standards under Companies (Indian Accounting
Standards) Rules as issued from time to time. For the
year ended March 31, 2025, MCA has not notified any
new standards or amendments to the existing standards
applicable to the Company.

2.17 Standards effective after 31.3.25

The Ministry of Corporate Affairs (“MCA”) notifies new
standards or amendments to the existing standards. On
7th May, 2025, the MCA notified amendment to INDAS
21 " The Effects of Changes in Foreign Exchange Rates "
Which is effective from 1.4.2025. The application of the
above standard is not expected to have any impact on the
Company's financial statements.