A) Basis of preparation
i Statement of Compliance:
The Company prepares its Standalone Financial
Statements to comply with the Indian Accounting
Standards ("Ind AS") specified under section 133 of the
Companies Act, 2013 read with Companies (Indian
Accounting Standards) Rules, 2015, as amended from
time to time and the presentation requirements of
Division II of Schedule III of Companies Act, 2013 (Ind
AS compliant Schedule III). These Standalone financial
statements includes Balance Sheet as at 31 March
2026, the Statement of Profit and Loss including Other
Comprehensive Income, Statement of Cash flows and
Statement of changes in equity for the year ended 31
March 2026, and a summary of material accounting
policy information and other explanatory information
(together hereinafter referred to as “Financial
Statements”).
ii Basis of Measurement:
The financial statements for the year ended 31
March 2026 have been prepared on an accrual
basis and a historical cost convention, except for
the following financial assets and liabilities which
have been measured at fair value at the end of each
reporting period:
(a) Certain financial assets and liabilities (including
derivative instruments) (Refer note 39 for
accounting policy regarding financial instruments)
(b) Net defined benefit plan where plan assets
are measured at fair value (Refer note 30 for
accounting policy)
(c) Share-based payments at fair value as on the
grant date of options given to employees (Refer
note 30 for accounting policy)
In addition, the carrying values of recognised assets
and liabilities designated as hedged items in fair value
hedges that would otherwise be carried at amortised
cost are adjusted to record changes in the fair values
attributable to the risks that are being hedged in
effective hedge relationships.
Historical cost is generally based on the fair value of
the consideration given in exchange for goods and
services. 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.
Accounting policies and methods of computation
followed in the financial statements are same as
compared with the annual financial statements for the
year ended 31 March 2025, except for adoption of new
standard or any pronouncements effective from
1 April 2025.
The Company has prepared the financial statements
on the basis that it will continue to operate as a
going concern.
iii Classification of Current / Non-Current Assets
and Liabilities:
The Company presents assets and liabilities in
the Balance sheet based on current / non-current
classification. It has been classified as current or non¬
current as per the Company's normal operating cycle,
as per para 66 and 69 of Ind AS 1 and other criteria as
set out in the Division II of Schedule III to the Companies
Act, 2013.
Operating Cycle:
The Company determines the operating cycle based on
the nature of its contracts. For contracts where revenue
is recognized over time and the duration extends
beyond 12 months, the related trade receivables and
contract assets are classified as non-current, consistent
with the expected realization period. Although these
assets are expected to be realized beyond 12 months,
they are not discounted, as the impact of the time
value of money is considered immaterial to the financial
statements. Deferred tax assets and liabilities are
classified as non-current assets and liabilities.
iv Functional and Presentation Currency:
These financial statements are presented in Indian
Rupees (?) which is the functional currency of the
Company. All amounts disclosed in the financial
statements which also include the accompanying notes
have been rounded off to the nearest million up to two
decimal places, as per the requirement of Schedule III
to the Companies Act 2013, unless otherwise stated.
Transactions and balances with values below the
rounding off norm adopted by the Company have
been reflected as “0” in the relevant notes to these
financial statements.
B) Use of estimates and judgements
In the course of applying the policies outlined in all notes,
the Company is required to make judgements, estimates
and assumptions about the carrying amount of assets
and liabilities that are not readily apparent from other
sources. The estimates and associated assumptions
are based on historical experience and other factors
that are considered to be relevant. Actual results may
differ from these estimates. Estimates and underlying
assumptions are reviewed on an ongoing basis. Revisions
to accounting estimates are recognised prospectively.
Estimates and assumptions
The key assumptions concerning the future and other
key sources of estimation uncertainty at the reporting
date, that have a significant risk of causing a material
adjustment to the carrying amounts of assets and
liabilities within the next financial year, are described
below. The Company based its assumptions and
estimates on parameters available when the financial
statements were prepared. Existing circumstances and
assumptions about future developments, however,
may change due to market changes or circumstances
arising that are beyond the control of the Company. Such
changes are reflected in the assumptions when they
occur. The Company uses the following critical accounting
estimates in preparation of its financial statements:
i Revenue Recognition
The Company applied judgements that significantly
affect the determination of the amount and timing
of revenue from contracts at a point in time with
customers, such as satisfaction of performance
obligations in a sales transactions. In certain non¬
standard contracts, where the Company provides
extended warranties in respect of sale of consumer
durable goods, the Company allocated the portion
of the transaction price to goods based on its
relative standalone prices. Also, certain contracts
of sale includes volume rebates that give rise to
variable consideration. In respect of long term
contracts significant judgments are used in:
(a) Determining the revenue to be recognised in
case of performance obligation satisfied over
a period of time; revenue recognition is done
by measuring the progress towards complete
satisfaction of performance obligation.
The progress is measured in terms of a
proportion of actual cost incurred to-date, to
the total estimated cost attributable to the
performance obligation.
(b) Determining the expected losses, which are
recognised in the period in which such losses
become probable based on the expected
total contract cost as at the reporting date.
ii Cost to complete for long term contracts
The Company's management estimate the cost
to complete for each project for the purpose of
revenue recognition and recognition of anticipated
losses of the projects, if any. In the process of
calculating the cost to complete, Management
conducts regular and systematic reviews of actual
results and future projections with comparison
against budget. The process requires monitoring
controls including financial and operational
controls and identifying major risks faced by the
Company and developing and implementing
initiative to manage those risks.
iii Useful lives of property, plant and equipment
The Company reviews the useful life of property,
plant and equipment at the end of each reporting
period. This reassessment may result in change in
depreciation expense in current and future periods.
iv Impairment of investments in subsidiaries and
joint-ventures
Determining whether the investments in subsidiaries
and joint ventures are impaired requires an estimate
in the value in use of investments. The Company
reviews its carrying value of investments carried at
cost (net of impairment, if any) annually, or more
frequently when there is indication for impairment.
If the recoverable amount is less than its carrying
amount, the impairment loss is accounted for in the
statement of profit and loss. In considering the value
in use, the Board of Directors have anticipated the
future market conditions and other parameters that
affect the operations of these entities.
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