Corporate Information
STL Global Limited (the "Company") ia a public limited Company domiciled in india and is incorporated on dated July
22,1997 under the provision of the Companies Act applicable in India and having its registered office at UNIT No.111, Block
I, Tribhuwan Complex Ishwar Nagar New Delhi- 110065. The shares of the company are listed on National stock exchange
and Bombay stock exchange, The Company is primarily engaged in the Textile Business. The Company has its
manufacturing facilities locatec at Faridabad ( Haryana ) and sells its products in India.
Significant Accounting Policies
1.1 Basis of preparation of financial statements
Statement of Compliance
These financial statements are prepared in accordance with Indian Accounting Standards (Ind AS) under the historical cost
convention on the accrual basis except for certain financial instruments which are measured at fair values, the provisions of
the Companies Act, 2013 (‘the Act’) (to the extent notified) and guidelines issued by the Securities and Exchange Board of
India (SEBI). The Ind AS are prescribed under Section 133 of the Act read with Rule 3 of the Companies (Indian Accounting
Standards) Rules, 2015 and Companies (Indian Accounting Standards) Amendment Rules, 2016, as amended from time to
time.
Use of Estimates
The preparation of financial statements in conformity with Generally Accepted Accounting Principles (GAAP) requires
management to make judgments, estimates and assumptions that affect the application of accounting policies and reported
amounts of assets, liabilities, income and expenses and the disclosure of contingent liabilities on the date of the financial
statements. Actual results could differ from those estimates. Estimates and underlying assumptions are reviewed on an
ongoing basis. Any revision to accounting estimates is recognised prospectively in current and future periods
Functional and presentation Currency
These financial statements are presented in Indian Rupees (INR), which is the Company’s functional currency. All financial
information presented in INR has been rounded to the nearest Lakhs (up to two decimals).
The financial statements are approved for issue by the Company’s Board of Directors on May 29, 2025
1.2 Critical accounting estimates and management judgement
In application of the accounting policies, the management of the Company is required to make judgements, estimates and
assumptions about the carrying amounts of assets and liabilities that are not readily apparent from other sources. The
estimates and assumptions are based on historical experience and other factors that are considered to be relevant.
Information about significant areas of estimation, uncertainty and critical judgements used in applying accounting policies that
have the most significant effect on the amounts recognised in the financial statements is included in the following notes
1.3 Propery, plant and equipment
Property, plant and equipment (PPE) are initially recognises at cost. The initial cost of PPE comprises its purchase price,
including non refundable duties and taxes net of any trade discounts and rebates. The cost of PPE includes borrowing cost
directly attributable to acquisition,construction of qualifying assets subsequent to intial recognition,PPE are stated at cost less
accumulated depriciation (other than freehold land , which are stated at cost ) and impairment losses,if any.
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 assosiated with the item flow to the company and the cost of the item can be
measured reliably. The carrying amount of any component accounted for as a seperate asset is derecognised when replaced.
All other repair and maintenance are charged to profit and loss during the reporting period in which they are incurred.
Depreciation is recognised so as to write off the cost of assets (other than freehold land and Capital work in progress) less
their residual value over the useful lives using the Written Down Value method (W.D.V) in the manner prescribed in the
schedule II of the Act.
The carrying value of PPE are reviewed for impairment when events or changes in circumstances indicates that the carrying
value may not be recoverable.
Intangible Assets are stated at cost of acquisition net of recoverable taxes,less accumulated depreciation and impairment
loss, if any. The Cost of intangible Assets comprises purchase price and any cost directly attributable to bringing the assets to
its working condition for the intended use.
1.4 Inventories
Inventories are valued at the lower of cost and the net realisable value after providing for obsolescence and other losses ,if
any. Cost of inventories comprises of cost of purchase,cost of conversion and other costs including manufacturing overheads
incurred in bringing them to their respective present location and conditions.
1.5 Cash and cash equivalents (for purposes of Cash Flow Statement)
Cash and cash equivalent comprises cash in hand and at bank, demand deposits with banks, other short term highly liquid
investment with original maturities of three months or less which is subject to insignificant risk of change in value.
1.6 Revenue recognition
Revenue from operation includes Sales of goods and services and adjsuted for Sale returns and trade discounts and exclude
Goods and Service Tax (GST).
Interest income is accounted on accrual basis. Dividend income is accounted for when the right to receive it is established.
1.7 Segment Reporting
Operating segment are reported in a manner consistent with the internal reporting provided to the chief operating decision
maker .The chief operating decision maker, who is responsible for allocating resources and assessing performance of the
operating segments.
Segment revenue, segment expenses,segment assets and segment liabilities have been identified to segments on the basis
of their relationship to the operating activities of the segmnent . Inter segment reevenue are accounted on the basis of
transactions which are primarily determined based on market /fair value factors, Revenue, expenses, assets and liabilities
which relate to the company as a whole and are not allocable to the segment on a reasonable basis have been included
under “ unallocable revenue/expense/assets/liabilities.
1.8 Foreign currency transactions
Foreign exchange transactions are accounted at the exchange rates prevailing on the date of the transaction
Realised gains and losses on foreign exchange transactions during the year are recognized in the Profit & loss account.
Foreign currency monetary assets and liabilities are translated at year-end rates and resultant gains/losses on foreign
exchange transactions are recognised in the Profit & loss account.
1.9 Leases
Leases, where the lessor effectively retains substantially all the risks and benefits of ownership of the leased items, are
classified as operating leases. Operating lease payments are recognized as an expenses in the statement of profit and loss
on a straight line over the leased terms.
1.10 Earning Per Share (EPS)
Basic EPS is calculated by dividing the net profit or loss for the year attributable to equity shareholders by the weighted
average nomber of equity shares outstanding during the year. For the purpose of calculating diluted earning per share,the net
profit or loss for the period attributable to equity shareholders and the weighted average number of shares outstanding during
the period are adjusted for the effect of all dilutive potential equity shares.
1.11 Investments
Investment that are readily realisable and intended to be held for not more than a year are classified as current investments.
All other investments are classified as long-term investments. Current investment are carried at cost and measured
subsequently at fair value either throuth other compherensive income, or through profit or loss.
1.12 Employee benefits
Short term employee benefits
All employee benefits payable wholly within twelve months of rendering the service are classified as short term employee
benefits and they are recognized in the period in which the employee renders the related service. The company recognizes
the undiscounted amount of short-term employee benefits expected to be paid in exchange for services rendered as a liability
(accrued expense) after deducting any amount alerady paid.
Long term employee benefits
Defined contribution plans
Contributions to defined contribution schemes such as employees state insurance, labour welfare fund, superannuation
scheme, employee pension scheme etc. are charged as an expense based on the amount of contribution required to be
made as and when services are rendered by the employees. Company's provident fund contribution is made to a government
administered fund and is charges as an expense in the Statement of Profit and Loss. The above benefits are classified as
Defined Contribution Schemes as the Company has no further obligations beyond the monthly contributions.
Defined benefit plans
Gartuity liability is defined benefit obligations and is provided for on the basis of an actruial valuation made at the end of the
each financial year.
Provision for compensated absence are provided for based on the estimates. Long term compensated leave are provided for
based on actruial valuation at the year end.
Actruial gain/losses are immediately taken to profit and loss account and are not deferred.
The Company's contributions to State plans namely Employee State Insurance Fund and employees Pension Scheme are
charged to Profit & Loss Account.
1.13 Borrowing costs
Borrowing costs that are attributable to the acquisition or construction of qualifying assets are capitalised as part of the cost of
such assets. A qualifying assets is one that necessarily takes substantial period of time to get ready for intended use. All
other borrowing costs are charged to revenue.
1.14 Taxes on income
Current tax is the amount of tax payable on the taxable income for the year as determined in accordance with the provisions
of the Income Tax Act, 1961.
Deferred tax is recognised on timing differences, being the differences between the taxable income and the accounting
income that originate in one period and are capable of reversal in one or more subsequent periods. Deferred tax is measured
using the tax rates and the tax laws enacted or substantially enacted as at the reporting date. Deferred tax liabilities are
recognised for all timing differences. Deferred tax assets in respect of unabsorbed depreciation and carry forward of losses
are recognised only if there is virtual certainty that there will be sufficient future taxable income available to realise such
assets. Deferred tax assets are recognised for timing differences of other items only to the extent that reasonable certainty
exists that sufficient future taxable income will be available against which these can be realised. Deferred tax assets and
liabilities are offset if such items relate to taxes on income levied by the same governing tax laws and the Company has a
legally enforceable right for such set off. Deferred tax assets are reviewed at each Balance Sheet date for their realisability.
1.15 Impairment of non-financial assets
An asset is treated as impaired when the carrying cost of assets exceeds its recoverable value. An impairment loss is
charged to the Profit & Loss statement in the year in which an asset is identified as impaired. The Impairment loss recognised
in prior accounting period is reversed if there have been a change in the estimate of recoverable amount.
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