1. CORPORATE INFORMATION:

Swan Energy Limited (SEL) is a public limited company incorporated on 22/02/1909 at Bombay, under the
erstwhile Indian Companies Act, VI of 1882, as ‘Swan Mills Limited’ and is listed on Bombay Stock Exchange
Limited (BSE) and The National Stock Exchange of India Limited (NSE) in India.

The registered office of the company is situated at 6, Feltham House, 2nd Floor, 10, J. N. Heredia Marg,
Ballard Estate, Mumbai - 400 001.

The Company has two verticles of business i.e., Textiles, Construction/Others. The Company has 10 subsidiary
companies. 2 subsidiaries are engaged in Real estate business, 2 subsidiaries are engaged in construction of
LNG Port Project at Gujarat, 1 subsidiary is engaged in Infrastructure, 1 company is in Textile trading business,
2 subsidiaries are engaged in AI based technology service and 2 subsidiaries are engaged in trading of
petroleum and petrochemical products. Out of 10, 1 is a foreign subsidiary incorporated in UAE which is
engaged in trading of petroleum and petrochemical products, balance 9 are Indian subsidiaries.

2. BASIS OF COMPLIANCE, BASIS OF PREPARATION, CRITICAL ACCOUNTING ESTIMATES, ASSUMPTIONS
AND JUDGEMENTS AND SIGNIFICANT ACCOUNTING POLICIES:

2.1. Basis of compliance:

The financial statements comply in all material aspects with Indian Accounting Standards (‘Ind AS’)
notified under Section 133 of the Companies Act, 2013 (‘Act’) read with Companies (Indian Accounting
Standards) Rules, 2015, as amended and other relevant provisions of the Act.

2.2. Basis of preparation and presentation:

The financial statements have been prepared under historical cost convention using the accrual method
of accounting basis, except for certain financial instruments that are measured at fair values at the end
of each reporting period as explained in the significant accounting policies below.

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 Schedule III to the Act. Based on the nature of products
and the time between acquisition of assets for processing and their realisation in cash and cash
equivalents, the Company has ascertained its operating cycle as 12 months for the purpose of current
or non-current classification of assets and liabilities.

All amounts disclosed in the financial statements and notes have been rounded off to the nearest lakhs
as per the requirement of Schedule III, unless otherwise stated.

The financial statements of the Company for the year ended March 31, 2025 were approved for issue in
accordance with a resolution of the Board of Directors in its meeting held on May 30, 2025.

2.3. Use of Judgements and Estimates:

The preparation of the financial statements requires management to make estimates, assumptions and
judgements that affect the reported balances of assets and liabilities and disclosures as at the date of
the financial statements and the reported amounts of income and expense for the periods presented.

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 considering different
assumptions and conditions.

Estimates and underlying assumptions are reviewed on an ongoing basis. Impact on account of
revisions to accounting estimates are recognised in the period in which the estimates are revised and
future periods are affected.

The estimates and assumptions that have a significant risk of causing a material adjustment to the

carrying values of assets and liabilities within the next financial year are discussed below:

a. Estimates of useful lives and residual value of property, plant and equipment and intangible assets;

b. Measurement of defined benefit obligations;

c. Measurement and likelihood of occurrence of provisions and contingencies;

d. Impairment of investments;

e. Recognition of deferred tax assets; and

f. Measurement of recoverable amounts of cash-generating units.

2.4. Property, plant and equipment:

2.4.1. Property, plant and equipment are stated at cost net of accumulated depreciation and
accumulated impairment losses, if any;

2.4.2. The initial cost of an asset comprises its purchase price (including import duties and non¬
refundable taxes), any costs directly attributable to bringing the asset into the location and
condition necessary for it to be capable of operating in the manner intended by management,
the initial estimate of any decommissioning obligation, if any, and, borrowing cost for qualifying
assets (i.e. assets that necessarily take a substantial period of time to get ready for their intended
use);

2.4.3. Machinery spares that meet the definition of property, plant and equipment are capitalised;

2.4.4. Property, plant and equipment which are not ready for intended use as on date of Balance Sheet
are disclosed as “Capital work-in-progress”;

2.4.5. 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. All other repairs and
maintenance are charged to the Statement of Profit and Loss during the period in which they are
incurred;

2.4.6. An item of property, plant and equipment and any significant part initially recognised separately
as part of property, plant and equipment is derecognised upon disposal; or when no future
economic benefits are expected from its use or disposal. Any gain or loss arising on de-recognition
of the asset is included in the Statement of Profit and Loss when the asset is derecognised;

2.4.7. Depreciation is provided on a pro-rata basis on the straight line method based on estimated
useful life prescribed under Schedule II to the Act. Assets costing ' 5,000/- or less are charged
to the Statement of Profit & Loss in the year of purchase;

2.4.8. Components of the main asset that are significant in value and have different useful lives as
compared to the main asset are depreciated over their estimated useful life. Useful life of
such components has been assessed based on historical experience and internal technical
assessment;

2.4.9. Depreciation on spare parts specific to an item of property, plant and equipment is based on
life of the related property, plant and equipment. In other cases, the spare parts are depreciated
over their estimated useful life based on the technical assessment;

2.4.10. Leasehold land is amortised over the primary lease period. Other assets held under finance
leases are depreciated over their expected useful lives on the same basis as owned assets.
However, when there is no reasonable certainty that ownership will be obtained by the end of
the lease term, assets are depreciated over the shorter of the lease term and useful lives;

2.4.11. Freehold land is not depreciated;

2.4.12. The residual values and useful lives of property, plant and equipment are reviewed at each
financial year end and changes, if any, are accounted in the line with revisions to accounting
estimates;

2.5. Intangible Assets:

2.5.1. Intangible assets are recognised only if it is probable that the future economic benefits that are
attributable to the assets will flow to the enterprise and the cost of the assets can be measured
reliably;

2.5.2. Intangible assets are carried at cost net of accumulated amortization and accumulated impairment
losses, if any;

2.5.3. The intangible assets with a finite useful life are amortised using straight line method over their
estimated useful lives.

2.5.4. An intangible asset is derecognised on disposal, or when no future economic benefits are
expected from use or disposal. Gains or losses on de-recognition are determined by comparing
proceeds with carrying amount. These are included in profit or loss within other gains/(losses);

2.5.5. The estimated useful life is reviewed at each financial year end and changes, if any, are accounted
in the line with revisions to accounting estimates;

2.6. Investment property:

2.6.1. Investment property is property (land or a building — or part of a building — or both) held either
to earn rental income or for capital appreciation or for both, but not for sale in the ordinary course
of business, use in production or supply of goods or services or for administrative purposes.
Investment properties are stated at cost net of accumulated depreciation and accumulated
impairment losses, if any;

2.6.2. Any gain or loss on disposal of investment property is calculated as the difference between the
net proceeds from disposal and the carrying amount of the investment property is recognised in
Statement of Profit and Loss;

2.7. Non-currents assets held for sale:

2.7.1. Non-current assets are classified as held for sale if their carrying amounts will be recovered
through a sale transaction rather than through continuing use. This condition is regarded as met
only when the sale is highly probable and the asset is available for immediate sale in its present
condition subject only to terms that are usual and customary for sale of such assets;

2.7.2. Non-current assets classified as held for sale are measured at the lower of carrying amount and
fair value less costs to sell;

2.7.3. Non-current assets classified as held for sale are not depreciated or amortized from the date
when they are classified as held for sale.

2.8. Leases:

A contract is, or contains, a lease if the contract conveys the right to control the use of an identified

asset to lessee for a period of time in exchange for consideration. The Company shall reassess whether

a contract is, or contains, a lease only if the terms and conditions of the contract are changed.

As a Lessee

At the commencement date, company recognises a right-of-use (RoU) asset at cost and a lease liability

at present value of the lease payments that are not paid at commencement date. The Lease Payments

shall be discounted using Company’s incremental borrowing rate on periodic basis. Subsequently,
RoU asset is depreciated over lease term and lease liability is reduced as payments are made and an
imputed finance cost on lease liability is recognised in Statement of Profit and Loss using the Company’s
incremental borrowing rate.

If a lease, at the commencement date, has a lease term of 12 months or less, it is treated as Short term
lease. Lease payments associated with short term leases are treated as an expense on systematic basis.

As a Lessor

A lessor shall classify each of its leases as either an operating lease or a finance lease.

Finance leases

A lease is classified as a finance lease if it transfers substantially all the risks and rewards incidental
to ownership of an underlying asset. Company shall recognise assets held under a finance lease in its
balance sheet and present them as a receivable at an amount equal to the net investment in the lease.

Operating leases

A lease is classified as an operating lease if it does not transfer substantially all the risks and rewards
incidental to ownership of an underlying asset. Company shall recognise lease payments from operating
leases as income on systematic basis in the pattern in which benefit from the use of the underlying asset
is diminished.

2.9. Impairment of Non-financial Assets:

2.9.1. Non-financial assets other than inventories, deferred tax assets and non-current assets classified
as held for sale are reviewed at each Balance Sheet date to determine whether there is any
indication of impairment. If any indication of such impairment exists, the recoverable amount of
such assets / cash generating unit is estimated and in case the carrying amount of these assets
exceeds their recoverable amount, an impairment is recognised;

2.9.2. The recoverable amount is the higher of the fair value less costs of disposal and their value in
use. Value in use is arrived at by discounting the future cash flows to their present value based
on an appropriate discount factor. Assessment is also done at each Balance Sheet date as to
whether there is indication that an impairment loss recognised for an asset in prior accounting
periods no longer exists or may have decreased, such reversal of impairment loss is recognised
in the Statement of Profit and Loss.

2.10. Inventories:

2.10.1. Inventories comprising Closing stock of finished goods, raw material and consumables and
spares are valued at lower of cost (on weighted average) and net realisable value after providing
for obsolescence and other losses, where considered necessary;

2.10.2. Cost includes all charges in bringing the goods to their present location and condition. Work-in¬
progress and finished goods include appropriate proportion of overheads and, where applicable,
excise duty;

2.10.3. Net realisable value is the estimated selling price in the ordinary course of business, less the
estimated costs of completion and the estimated costs necessary to make the sale.

2.11. Investment in Subsidiaries:

Investments in equity shares of Subsidiaries are recorded at cost and reviewed for impairment at each
reporting date.

2.12. Fair Value measurement:

2.12.1. The Company measures certain financial instruments at fair value at each reporting date;

2.12.2. Certain accounting policies and disclosures require the measurement of fair values, for both
financial and non- financial assets and liabilities;

2.12.3. 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 in the principal or, in
its absence, the most advantageous market to which the Company has access at that date. The
fair value of a liability also reflects its non-performance risk;

2.12.4. The best estimate of the fair value of a financial instrument on initial recognition is normally
the transaction price - i.e. the fair value of the consideration given or received. If the Company
determines that the fair value on initial recognition differs from the transaction price and the fair
value is evidenced neither by a quoted price in an active market for an identical asset or liability
nor based on a valuation technique that uses only data from observable markets, then the
financial instrument is initially measured at fair value, adjusted to defer the difference between
the fair value on initial recognition and the transaction price. Subsequently that difference is
recognised in Statement of Profit and Loss on an appropriate basis over the life of the instrument
but no later than when the valuation is wholly supported by observable market data or the
transaction is closed out;

2.12.5. While measuring the fair value of an asset or liability, the Company uses observable market data
as far as possible. Fair values are categorised into different levels in a fair value hierarchy based
on the inputs used in the valuation technique as follows:

- Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities

- Level 2: inputs other than quoted prices included in Level 1 that are observable for the assets
or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices)

- Level 3: inputs for the assets or liability that are not based on observable market data
(unobservable inputs);

2.12.6. When quoted price in active market for an instrument is available, the Company measures the
fair value of the instrument using that price. A market is regarded as active if transactions for the
asset or liability take place with sufficient frequency and volume to provide pricing information
on an ongoing basis;

2.12.7. If there is no quoted price in an active market, then the Company uses valuation techniques that
maximise the use of relevant observable inputs and minimise the use of unobservable inputs.
The chosen valuation technique incorporates all of the factors that market participants would
take into account in pricing a transaction;

2.12.8. The Company regularly reviews significant unobservable inputs and valuation adjustments. If
third party information, such as broker quotes or pricing services, is used to measure fair values,
then the Company assesses the evidence obtained from third parties to support the conclusion
that these valuations meet the requirements of Ind AS, including the level in the fair value
hierarchy in which the valuations should be classified.

2.13. Financial Instruments:

2.13.1. Financial Assets:

Financial assets are recognised when the Company becomes a party to the contractual provisions
of the instrument.

On initial recognition, a financial asset is recognised at fair value, in case of financial assets which
are recognised at fair value through profit and loss, its transaction cost are recognised in the
statement of profit and loss. In other cases, the transaction cost are attributed to the acquisition
value of the financial asset.

Financial assets are subsequently classified as measured at

- amortised cost

- fair value through profit and loss (FVTPL)

- fair value through other comprehensive income (FVOCI).

Financial assets are not reclassified subsequent to their recognition, except if and in the period
the Company changes its business model for managing financial assets.

Trade Receivables and Loans:

Trade receivables and loans are initially recognised at fair value. Subsequently, these assets are
held at amortised cost, using the effective interest rate (EIR) method net of any expected credit
losses. The EIR is the rate that discounts estimated future cash income through the expected life
of financial instrument.

Debt instruments:

Debt instruments are subsequently measured at amortised cost, FVOCI or FVTPL till de¬
recognition on the basis of:

- the entity’s business model for managing the financial assets and

- the contractual cash flow characteristics of the financial asset.

Measured at amortised cost:

Financial assets that are held within a business model whose objective is to hold financial assets
in order to collect contractual cash flows that are solely payments of principal and interest, are
subsequently measured at amortised cost using the effective interest rate (‘EIR’) method less
impairment, if any. The amortisation of EIR and loss arising from impairment, if any is recognised
in the Statement of Profit and Loss.

Measured at FVOCI:

Financial assets that are held within a business model whose objective is achieved by both,
selling financial assets and collecting contractual cash flows that are solely payments of principal
and interest, are subsequently measured at FVOCI. Fair value movements are recognized in
the other comprehensive income (OCI). Interest income measured using the EIR method and
impairment losses, if any are recognised in the Statement of Profit and Loss. On de-recognition,
cumulative gain or loss previously recognised in OCI is reclassified from the equity to ‘other
income’ in the Statement of Profit and Loss.

Measured at FVTPL:

A financial asset not classified as either amortised cost or FVOCI, is classified as FVTPL. Such
financial assets are measured at fair value with all changes in fair value, including interest income
and dividend income if any, recognised as ‘other income’ in the Statement of Profit and Loss.

Equity Instruments:

All investments in equity instruments classified under financial assets are initially measured at fair
value, the Company may, on initial recognition, irrevocably elect to measure the same either at
FVOCI or FVTPL.

The Company makes such election on an instrument-by-instrument basis. Fair value changes
on an equity instrument is recognised as other income in the Statement of Profit and Loss
unless the Company has elected to measure such instrument at FVOCI. Fair value changes
excluding dividends, on an equity instrument measured at FVOCI are recognised in OCI.
Amounts recognised in OCI are not subsequently reclassified to the Statement of Profit and Loss.
Dividend income on the investments in equity instruments are recognised as ‘other income’ in
the Statement of Profit and Loss.

De-recognition:

The Company derecognises a financial asset when the contractual rights to the cash flows from
the financial asset expire, or it transfers the contractual rights to receive the cash flows from the
asset;

Preference shares/Debentures:

Preference shares/Debentures are separated into liability and equity components based on the
terms of the contract.

On issuance of the Preference shares/Debentures, the fair value of the liability component
is determined using a market rate for an equivalent non convertible instrument. This amount
is classified as financial liability measured at amortized cost (net of transaction cost) until it is
extinguished on redemption.

Transaction cost are apportioned between the liability and equity component of the Preference
shares/Debentures based on the allocation of the proceed to the liability and equity component
when the instrument are initially recognized.

2.13.2. Financial Liabilities:

Initial recognition and measurement:

Financial liabilities are recognised when the Company becomes a party to the contractual
provisions of the instrument. Financial liabilities are initially measured at the amortised cost
unless at initial recognition, they are classified as FVTPL. In case of trade payables, they are
initially recognised at fair value and subsequently, these liabilities are held at amortised cost,
using the effective interest method.

Subsequent measurement:

Financial liabilities are subsequently measured at amortised cost using the EIR method. Financial
liabilities carried at FVTPL are measured at fair value with all changes in fair value recognised in
the Statement of Profit and Loss.

De-recognition:

A financial liability is derecognised when the obligation specified in the contract is discharged,
cancelled or expires;

2.13.3. Financial guarantees:

Financial guarantee contracts issued by the Company are those contracts that require a payment
to be made to reimburse the holder for a loss it incurs because the specified debtor fails to make
a payment when due in accordance with the terms of the debt instrument. Financial guarantee
contracts are recognised initially as a liability at fair value, adjusted for transaction costs that are
directly attributable to the issuance of the guarantee. Subsequently, the liability is measured at
the higher of the amount of loss allowance determined as per impairment requirements of Ind
AS 109 and the fair value initially recognised less cumulative amortisation;

2.13.4. Derivative financial instruments:

The Company uses derivative financial instruments to manage the exposure on account of
fluctuation in interest rate and foreign exchange rates. Such derivative financial instruments are
initially recognised at fair value on the date on which a derivative contract is entered into and
are subsequently measured at fair value with the changes being recognised in the Statement of
Profit and Loss. Derivatives are carried as financial assets when the fair value is positive and as
financial liabilities when the fair value is negative;

2.13.5. Embedded derivatives:

If the hybrid contract contains a host that is a financial asset within the scope of Ind-AS 109, the
classification requirements contained in Ind AS 109 are applied to the entire hybrid contract.
Derivatives embedded in all other host contracts, including financial liabilities are accounted for
as separate derivatives and recorded at fair value if their economic characteristics and risks are
not closely related to those of the host contracts and the host contracts are not held for trading
or designated at FVTPL. These embedded derivatives are measured at fair value with changes
in fair value recognised in Statement of Profit and Loss, unless designated as effective hedging
instruments. Reassessment only occurs if there is either a change in the terms of the contract
that significantly modifies the cash flows;

2.13.6. 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, or to realise the assets and settle the liabilities simultaneously.

2.14. Revenue Recognition:

2.14.1. Sale of goods:

The Company is engaged in the Business of textiles and development of property. Revenue
from sale of properties under construction is recognised on the basis of actual bookings done
(provided the significant risks and rewards have been transferred to the buyer and there is
reasonable certainty of realisation of the monies). Revenue from textiles is recognised when it is
earned and no significant uncertainty exists as to its realization or collection.

Revenue is measured based on the transaction price, which is the consideration, adjusted for
discounts, price concessions, incentives, and returns, if any, as specified in the contracts with
the customers. Revenue excludes taxes collected from customers on behalf of the government.
Accruals for discounts/incentives and returns are estimated (using the most likely method) based
on accumulated experience and underlying schemes and agreements with customers. Due to
the short nature of credit period given to customers, there is no financing component in the
contract.

Further Sales from real estate are net of cancellation of sale and amount payable to the developer
and taxes, if any.

Trade Receivables

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).

Contract liabilities

A contract liability is the obligation to transfer goods 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.

2.14.2. Rendering of Services

Revenue is recognized from rendering of services when the performance obligation is satisfied
and the services are rendered in accordance with the terms of customer contracts. Revenue is
measured based on the transaction price, which is the consideration, as specified in the contract
with the customer. Revenue also excludes taxes collected from customers.

2.14.3. Income from export incentives such as duty drawback and premium on sale of import licenses
are recognised on accrual basis;

2.14.4. Income from sale of scrap is accounted for on realisation;

2.14.5. Interest income is recognized using the effective interest rate (EIR) method;

2.14.6. Dividend income on investments is recognised when the right to receive dividend is established;

2.14.7. Insurance claims are accounted for on the basis of claims admitted / expected to be admitted
and to the extent that the amount recoverable can be measured reliably and it is reasonable to
expect ultimate collection.

2.14.8. Rent for the immovable properties is recognised on accrual basis as per the respective
agreements with the parties.

2.15. Employee Benefits:

2.15.1. Short-term employee benefits:

Short-term employee benefits (including leave) are recognized as an expense at an undiscounted
amount in the Statement of Profit and Loss of the year in which the related services are rendered;

2.15.2. Post-employment benefits:

The Company operates the following post - employment schemes:

- Defined contribution plans such as provident fund; and

- Defined benefit plans such as gratuity
Defined Contribution Plans:

Obligations for contributions to defined contribution plans such as provident fund are recognised
as an expense in the Statement of Profit and Loss as the related service is provided.

Defined Benefit Plans:

The Company’s net obligation in respect of defined benefit plans such as gratuity is calculated by
estimating the amount of future benefit that the employees have earned in the current and prior
periods, discounting that amount and deducting the fair value of any plan assets.

The calculation of defined benefit obligation is performed at each reporting period end by
a qualified actuary using the projected unit credit method. When the calculation results in a
potential asset for the Company, the recognised asset is limited to the present value of the
economic benefits available in the form of any future refunds from the plan or reductions in
future contributions to the plan.

The current service cost of the defined benefit plan, recognized in the Statement of Profit
and Loss as part of employee benefit expense, reflects the increase in the defined benefit
obligation resulting from employee service in the current year, benefit changes, curtailments and
settlements. Past service costs are recognized immediately in the Statement of Profit and Loss.
The net interest is calculated by applying the discount rate to the net balance of the defined

benefit obligation and the fair value of plan assets. This net interest is included in employee
benefit expense in the Statement of Profit and Loss.

Re-measurement gains and losses arising from experience adjustments and changes in actuarial
assumptions are recognised in the period in which they occur, directly in other comprehensive
income.

2.16. Borrowing costs:

2.16.1. Borrowing costs consist of interest and other costs incurred in connection with the borrowing
of funds. Borrowing costs also include exchange differences to the extent regarded as an
adjustment to the borrowing costs;

2.16.2. Borrowing costs that are attributable to the acquisition or construction of qualifying assets (i.e.
an asset that necessarily takes a substantial period of time to get ready for its intended use)
are capitalized as a part of the cost of such assets. All other borrowing costs are charged to the
Statement of Profit and Loss;

2.16.3. Investment Income earned on the temporary investment of funds of specific borrowings
pending their expenditure on qualifying assets is deducted from the borrowing costs eligible for
capitalisation.

2.17. Foreign Currency Transactions:

2.17.1. The financial statements are presented in INR, the functional currency of the Company (i.e. the
currency of the primary economic environment in which the Company operates);

2.17.2. Monetary items:

Transactions in foreign currencies are initially recorded at their respective exchange rates at the
date the transaction first qualifies for recognition.

Monetary assets and liabilities denominated in foreign currencies are translated at exchange
rates prevailing on the reporting date.

Exchange differences arising on settlement or translation of monetary items (except for long term
foreign currency monetary items outstanding as of March 31, 2025 which are accumulated in
“Foreign Currency Monetary Item Translation Difference Account” and amortised over balance
period of liability) are recognised in Statement of Profit and Loss either as profit or loss on
foreign currency transaction and translation or as borrowing costs to the extent regarded as an
adjustment to borrowing costs.

2.17.3. Non-Monetary items:

Non-monetary items that are measured in terms of historical cost in a foreign currency are
translated using the exchange rates at the dates of the initial transactions.

2.18. Government Grants:

2.18.1. Government grants are recognized where there is reasonable assurance that the grant will be
received and all attached conditions will be complied with;

2.18.2. When the grant relates to an expense item, it is recognized in Statement of Profit and Loss on a
systematic basis over the periods that the related costs, for which it is intended to compensate,
are expensed;

2.18.3. Government grants relating to property, plant and equipment are presented as deferred income
and are credited to the Statement of Profit and Loss on a systematic and rational basis over the
useful life of the asset.