judgments, estimates and assumptions to
be made that affect the reported amounts of
assets and liabilities on the date of financial
statements, disclosure of contingent liabilities
as at the date of the financial statements,
and the reported amounts of income and
expenses during the reported period.
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.

(e) Some of the Company's assets and
liabilities are measured at fair value for
financial reporting purposes. In estimating
the fair value of an asset or liability, the
Company uses market-observable data to
the extent available. Where Level 1 inputs
are not available, the fair value is measured
using valuation techniques, including the
discounted cash flow model, which involves
various judgments and assumptions. The
Company also engages third party qualified
valuers to perform the valuation in certain
cases like Gratuity and Leave Encashment.

Fair value hierarchy :

Level 1 - Quoted prices (unadjusted) in
active markets for identical assets
or liabilities.

Level 2 - Inputs other than quoted prices
included within Level 1 that are
observable for the asset or liability,
either directly (i.e. as prices) or
indirectly (i.e. derived from prices).
Level 3 - Inputs for the assets or liabilities
that are not based on observable
market data (unobservable
inputs).

(ii) Property, Plant and Equipment:

Property, Plant and Equipment is stated at cost,
net of accumulated depreciation and accumulated
impairment losses, if any. Cost comprises of
purchase price inclusive of taxes, commissioning
expenses, etc. upto the date the asset is ready for
its intended use. Fixed assets which were revalued
are carried at revalued figures. Expenditure directly
related to expansion projects has been Capitalised.

Cost includes non-refundable taxes, duties, freight,
borrowing costs and other incidental expenses
related to the acquisition and installation of the
respective assets and includes deemed cost which
represents the carrying value of property, plant and
equipment recognized as at April 1,2016 measured
as per the previous Accounting Standards notified
under Section 133 of the Act, read together with
Rule 7 of the Companies (Accounts) Rules, 2014,
which the Company elected in accordance with Ind
AS 101.

Assets under installation or under construction as at
the Balance sheet date are shown as Capital work-
in-progress. Advances paid towards acquisition of
assets are shown as Capital Advances.

Fixed assets which are found to be not usable or
retired from active use or when no further benefits
are expected from their use are removed from the
books of account and the difference if any, between
the cost of such assets and the accumulated
depreciation thereon is charged to Statement of
Profit & Loss.

All the Title deeds of Immovable property are held
In the name of the company except the details
mentioned In Note 2 (I) to Balance Sheet.

The company has not revalued Its Property, Plant
and EquIpment (IncludIng RIght- of-Use assets)
durIng the year.

Depreciation on Property Plant and Equipment
is provided under Straight-Line method over
the useful lives of assets estimated by the
management, except on Office equipment and
furniture and fixtures, which are charged under
written value method (WDV). Depreciation on
additions/deletions during a period is charged on
pro rata basis from the date of addition or deletion,
as the case may be.

(iii) Impairment of Assets:

In accordance with Ind AS 36 the company
assesses at each Balance Sheet date whether
there is any indication that an asset may be
impaired. An asset is treated as impaired when
the carrying cost exceeds its recoverable value.
An impairment loss is charged to the Statement
of Profit and Loss in the year in which an asset
is identified as impaired. The impairment loss
recognized in a prior accounting period is reversed
if there has been a change in the estimate of
recoverable amount.

(iv) Employee Benefits:

Retirement benefits to employees comprise of
payments under Defined Contribution Plans like
Provident Fund and payments under Defined
Benefit Schemes like Gratuity and Leave
encashment.

Payments under defined contribution plans are
charged to revenue on accrual. The liability in
respect of defined benefit schemes is arrived
based on actuarial valuation made at the end of
the year by using projected unit credit method.

Short term employee benefits such as wages,
salaries and short-term compensated absences
like bonus and other non-monetary benefits are
provided for as per Company's Rules on best
estimate basis.

Re-measurements, comprising of actuarial
gains and losses, the effect of the asset ceiling,
excluding amounts included in net interest on
the net defined benefit liability and the return on
plan assets (excluding amounts included in net
interest on the net defined benefit liability), are
recognized immediately in the Balance Sheet with
a corresponding debit or credit to retained earnings
through OCI in the period in which they occur.

Re-measurements are not reclassified to profit or
loss in subsequent periods.

(v) Valuation of Inventories:

Inventories are valued at the lower of cost or net
realizable value. Net realizable value represents
the estimated selling price in the Ordinary course
of business less estimated cost of completion and
estimated cost necessary to make the sale.

Cost is arrived at by using weighted average
method and includes all costs of purchases,
conversion and other costs incurred in bringing the
inventories to their present location and condition.

(vi) Investments:

Investments intended to be held for more than
one year are treated as long term and others as
short-term. Short-term investments are carried at
the lower of cost or quoted / fair value, computed
category wise and long term investments are
stated at cost. Provision for diminution in the value
of long-term investments is made only if such a
decline is other than temporary.

The company has elected to recognize its
investments in equity instruments in subsidiaries
at cost in the separate financial statements in
accordance with the option available in Ind AS 27,
‘Separate Financial Statements'. The company
regardless of the nature of its involvement with
an entity (the investee), determines whether it
is a parent by assessing whether it controls the
investee. The company controls an investee when
it is exposed, or has rights, to variable returns from
its involvement with the investee and has the ability
to affect those returns through its power over the
investee. Thus, the company controls an investee
if and only if it has all the following:

(a) power over the investee;

(b) exposure, or rights, to variable returns from
its involvement with the investee and

(c) the ability to use its power over the investee
to affect the amount of the returns.

(vii) Prior period expenses / Income:

The Company follows the practice of making
adjustments through “expenses/income under/
over provided” in previous years in respect of
material transactions pertaining to that period prior
to the current accounting year.

(viii) Government grants:

Government grants available to the company are
recognized when there is a reasonable assurance
that the conditions attached to the grant will be
complied with and reasonably certain that grants
will be received.

(ix) Tax Expense:

Deferred tax resulting from “Timing Difference”
between book and taxable profit is accounted for
using the tax rates and laws that are enacted or
substantively enacted as on the Balance Sheet
date. Deferred tax asset is recognized and carried
forward only to the extent that there is a reasonable
certainty that the asset will be realized in future.

Provision is made for tax on Income as per the
applicable provisions of Income Tax Act, 1961.

For items recognized in OCI or equity, deferred /
current tax is also recognized in OCI or equity.

(x) Foreign Exchange Transactions:

Transactions denominated in other than functional
currency (foreign currency) are accounted for
initially at the exchange rate prevailing on the
date of transaction. Foreign Currency Monetary
Assets and Liabilities are translated at year
end exchange rates. Fluctuations, if any, due to
change in exchange rates between the dates of
transactions and the dates of crystallization are
debited / credited to Statement of Profit & Loss
and if fluctuations are related to 100% advance
payment for import of goods, then the difference is
added/reduced to/from respectively to the cost of
materials imported.

(xi) Derivative instruments and hedge accounting:

The company's activities expose primarily to the
financial risks of changes in commodity prices in
Lead, on International Commodity Exchanges. The
company uses Futures/Options contracts to hedge
these risks. The company does not use derivative
financial instruments for trading or speculative
purposes. The use of financial derivatives is
governed by the company's policies approved
by the board of directors, which provide written
principles on the use of financial derivatives.

Hedges that meet the criteria for hedge accounting
are accounted for as follows:

A. Cash Flow Hedge;

The Company designates derivative
contracts or non-derivative Financial Assets/

Liabilities as hedging instruments to mitigate
the risk of movement in Lead (Commodity)
price exposure on highly probable future
cash flows attributable to a recognised
asset or liability or forecast purchase/Sale
transactions. When a derivative is designated
as a cash flow hedging instrument, the
effective portion of changes in the fair value
of the derivative is recognised in the cash
flow hedging reserve being part of Other
Comprehensive Income. Any ineffective
portion of changes in the fair value of the
derivative is recognised immediately in the
Statement of Profit and Loss. If the hedging
relationship no longer meets the criteria for
hedge accounting, then hedge accounting
is discontinued prospectively. If the hedging
instrument expires or is sold, terminated or
exercised, the cumulative gain or loss on the
hedging instrument recognised in cash flow
hedging reserve till the period the hedge
was effective remains in cash flow hedging
reserve until the underlying transaction
occurs. The cumulative gain or loss previously
recognised in the cash flow hedging reserve
is transferred to the Statement of Profit and
Loss upon the occurrence of the underlying
transaction. If the forecasted transaction is
no longer expected to occur, then the amount
accumulated in cash flow hedging reserve
is reclassified in the Statement of Profit and
Loss. (refer note 36)

Hedging Instruments - as on March 2026

Futures Long Contract - LME F in London
Stock Exchange
Hedged Items -

Highly Probable Forecasted Purchases of
Lead to meet the Sale Orders Obtained

B. Fair Value Hedge:

The Company designates derivative
contracts or non-derivative Financial assets/
Liabilities as hedging instruments to mitigate
the risk of change in fair value of hedged
item due to movement in Lead (Commodity)
prices. Changes in the fair value of hedging
instruments and hedged items that are
designated and qualify as fair value hedges
are recorded in the Statement of Profit and
Loss. If the hedging relationship no longer
meets the criteria for hedge accounting,
the adjustment to the carrying amount of a
hedged item transferred to Statement of
Profit and Loss account.

(xii) Revenue Recognition :

Revenue from sale of goods is recognized when
significant risks and rewards in respect of ownership
of products are transferred to customers. Revenue
from domestic sale of products is recognized on
dispatch of products. Revenue from export sales

is recognized on shipment of products. Revenue
from products is stated exclusive of Goods and
Service Tax (GST), returns and applicable trade
discounts and allowances.

Revenue from services is recognized as per the
terms of contract with customers when the related
services are performed or the agreed milestones
are achieved.

Revenue from sale of Wind Power is recognized as
per terms of PPA on supply of power.

Interest income on general deposits with Bank and
others is recognized on time proportion basis.

(xiii) Financial instruments, Financial assets &
Financial liabilities:

A financial instrument is any contract that gives
rise to a financial asset of one entity and a
financial liability or equity instrument of another
entity. Financial assets and financial liabilities
are recognized when the Company becomes a
party to the contractual provisions of the relevant
instrument and are initially measured at fair value.
Transaction costs that are directly attributable to
the acquisition or issue of financial assets and
financial liabilities (other than financial assets and
financial liabilities measured at fair value through
profit or loss) are added to or deducted from the
fair value on initial recognition of financial assets
or financial liabilities. Transaction costs directly
attributable to the acquisition of financial asset or
financial liabilities at fair value through profit or loss
are recognized immediately in the Statement of
Profit and Loss.

Purchase or sale of financial assets that require
delivery of assets within a time frame established
by regulation or convention in the market place
(regular way trade) are recognized on the trade
date i.e. the date when the Company commits to
purchase or sell the asset.

The classification of financial instruments depends
on the objective of the Company's business model
for which it is held and on the substance of the
contractual terms / arrangements. Management
determines the classification of its financial
instruments at initial recognition.

(A) Financial assets

Recognition: Financial assets include
Investments, Trade receivables, Advances,
Security Deposits, Cash and cash
equivalents. Such assets are initially
recognized at transaction price when the
Company becomes party to contractual
obligations. The transaction price includes
transaction costs unless the asset is being
fair valued through the Statement of Profit
and Loss.

Classification:

Financial assets are classified as those
measured at

(a) amortised cost, where the financial
assets are held within a business
model solely for collection of cash
flows arising from payments of principal
and/ or interest as per contractual
terms. Such assets are subsequently
measured at amortised cost using the
effective interest method, less any
impairment loss.

(b) fair value through other comprehensive
income (FVTOCI), where the financial
assets are held not only for collection
of cash flows arising from payments of
principal and interest but also from the
sale of such assets. Such assets are
subsequently measured at fair value,
with unrealised gains and losses arising
from changes in the fair value being
recognized in other comprehensive
income.

(c) fair value through profit or loss
(FVTPL), where the assets are
managed in accordance with an
approved investment strategy that
triggers purchase and sale decisions
based on the fair value of such
assets. Such assets are subsequently
measured at fair value, with unrealised
gains and losses arising from changes
in the fair value being recognized in
the Statement of Profit and Loss in the
period in which they arise.

FVTPL is a residual category for
financial assets. Any financial asset
which does not meet the criteria for
categorization as at amortised cost or
as FVTOCI, is classified as FVTPL.

(B) Financial liabilities

Borrowings, trade payables and other
financial liabilities are initially recognized
at the value of the respective contractual
obligations. They are subsequently measured
at amortised cost using the effective interest
method. The effective interest method is a
method of calculating the amortised cost of
a financial liability and of allocating interest
expense over the relevant period. The
effective interest rate is the rate that exactly
discounts estimated future cash payments
through the expected life of the financial
liability, or (where appropriate) a shorter
period, to the net carrying amount on initial
recognition.

Financial liabilities are derecognized when
the liability is extinguished, that is, when
the contractual obligation is discharged,
cancelled and on expiry. The difference
between the carrying amount of the financial
liabilities derecognized and the consideration
paid and payable is recognized in the
Statement of Profit and Loss.

(xiv) Borrowing Costs:

Borrowing costs attributable to the acquisition or
construction of qualifying assets are capitalized as
part of the cost of such assets. A qualifying asset
is one that necessarily takes substantial period
of time to get ready for intended use. All other
borrowing costs are charged to revenue.