1.0 Corporate Information
Tirupati Tyres Limited is a Public Limited Company, incorporated under the provisions of Companies Act, 1956
and having CIN L25111MH1988PLC285197. The Company is primarily engaged in the business of manufacturing
and trading in tyres and allied products thereof. The Registered office of the Company is situated at Unit No. 606,
Reliables Pride, Anand Nagar, opp. Heera Panna, Jogeshwari (W), Mumbai, Maharashtra, 400102.
The Equity Shares of the Company are presently listed on BSE Limited ("BSE") and the Metropolitan Stock
Exchange of India Limited ("MSEI").
These financial statements were authorized for issue in accordance with a resolution of the directors on 27th May,
2025.
1.1 Basis of preparation of financial statements
a. Accounting Convention: -
These financial statements of the Company have been prepared in accordance with Generally Accepted Accounting
Principles in India ("Indian GAAP"). Indian GAAP comprises mandatory accounting standards as prescribed
under Section 133 of the Companies Act, 2013 ("the Act") read with the Rule 7 of the Companies (Accounts) Rules,
2014. The financial statements have been prepared on an accrual basis and under the Historical Cost Convention
and the Companies (Accounting Standards) Amendment Rules 2016 and the relevant provisions of the Companies
Act, 2013.
b. Functional and Presentation Currency:-
The functional and presentation currency of the company is Indian rupees. This financial statement is presented in
Indian rupees. All amounts disclosed in the financial statements and notes are rounded off to lakhs the nearest INR
rupee in compliance with Schedule III of the Act, unless otherwise stated. Due to rounding off, the numbers
presented throughout the document may not add up precisely to the totals and percentages may not precisely
reflect the absolute figures.
c. Use of Estimates and Judgments
The preparation of financial statement in conformity with accounting standard requires the Management to make
estimates, judgments, and assumptions. These estimates, judgments and assumptions affects the application of
accounting policies and the reported amounts of assets and liabilities, the disclosure of contingent assets and
liabilities at the date of financial statement and reported amounts of revenue and expenses during the period.
Accounting estimates could change form period to period. Actual result could differ from those estimates. As soon
as the Management is aware of the changes, appropriate changes in estimates are made. The effects of such changes
are reflected in the period in which such changes are made and, if material, their effects are disclosed in the notes
to financial statement. Estimates and underlying assumptions are reviewed at each balance sheet date. Revisions
to accounting estimates are recognised in the period in which the estimate is revised and in future periods affected.
d. Current and Non - Current Classification
An asset or a liability is classified as Current when it satisfies any of the following criteria:
i. It is expected to be realized / settled, or is intended for sales or consumptions, in the Company's
Normal Operating Cycle;
ii. It is held primarily for the purpose of being traded.
iii. It is expected to be realized / due to be settled within twelve months after the end of reporting date;
iv. The Company does not have an unconditional right to defer the settlement of the liability for at least
twelve months after the reporting date. All other assets and liabilities are classified as Non - Current.
For the purpose of Current / Non - Current classification of assets and liabilities, the Company has
ascertained its operating cycle as twelve months. This is based on the nature of services and the time
between the acquisition of the assets or liabilities for processing and their realization in Cash and Cash
Equivalents.
1.2 Basis of Preparation
a) Property, Plant & Equipment and Intangible Assets:-
There are no property, plant or Equipment and Intangible Assets in the company for the financial year 2023-24.
b) Depreciation / Amortization: -
The Company is not having any property, plant or Equipment and Intangible Assets for the financial year 2023-24,
therefore this clause is not applicable to the Company.
c) Impairment of Assets:-
An asset is treated as impaired when the carrying cost of an asset 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 recognised in prior period is reversed if there has been a change in the estimate of the recoverable amount.
d) Investments:-
There are no current and non-current investments in the company for the financial year 2024-25.
e) Government Grants and Subsidies:-
The Company is entitled to receive any subsidy from the Government authorities or any other authorities in respect
of manufacturing or other facilities are dealt as follows:
• Grants in the nature of subsidies which are non - refundable are credited to the respective accounts to which the
grants relate, on accrual basis, where there is reasonable assurance that the Company will comply with all the
necessary conditions attached to them.
• Grants in the nature of Subsidy which are Refundable are shown as Liabilities in the Balance Sheet at the Reporting
date.
f) Employee Benefits:
The accounting of Employee benefits, having nature of defined benefit is based on assumptions. Contribution to
defined benefits is recognized as expense when employees have rendered services entitling them to avail such
benefits.
g) Inventory:-
There are no Inventory in the company for the financial year 2024-25.
h) Revenue Recognition:-
Revenue is recognized when it is probable that economic benefit associated with the transaction flows to the
Company in ordinary course of its activities and the amount of revenue can be measured reliably, regardless of
when the payment is being made. Revenue is measured at the fair value of consideration received or receivable,
taking into the account contractually defined terms of payments, net of its returns, trade discounts and volume
rebates allowed.
Revenue includes only the gross inflows of economic benefits, including the excise duty, received and receivable
by the Company, on its own account. Amount collected on behalf of third parties such as sales tax, value added tax
and goods and service tax (GST) are excluded from the Revenue.
Sale of goods is recognized at the point of dispatch of goods to customers, sales are exclusive of Sales tax, Vat, GST
and Freight Charges if any. The revenue and expenditure are accounted on a going concern basis.
Interest Income is recognized on a time proportion basis taking into account the amount outstanding and the rate
applicable i.e. on the basis of matching concept.
Other items of Income are accounted as and when the right to receive arises.
i) Taxes on Income:-
1. Current Tax:-
Provision for current tax is made after taken into consideration benefits admissible under the provisions of the
Income Tax Act, 1961.
2. Deferred Taxes:-
Deferred Income Tax is provided using the liability method on all temporary difference at the balance sheet date
between the tax basis of assets and liabilities and their carrying amount for financial reporting purposes.
I. Deferred Tax Assets are recognized for all deductible temporary differences to the extent that it is
probable that taxable profit will be available in the future against which this items can be utilized.
II. II. Deferred Tax Assets and liabilities are measured at the tax rates that are expected to apply to the
period when the assets is realized or the liability is settled, based on tax rates ( and the tax) that have
been enacted or enacted subsequent to the balance sheet date.
Discontinuing Operations:- During the year the company has not discontinued any of its operations.
j) Trade Receivable:
Trade receivables are recognized at fair value, the outstanding balances of sundry debtors, advances etc. are verified
by the management periodically and on the basis of such verification management determines whether the said
outstanding balance are good, bad or doubtful and accordingly same are written off or provided for.
Receivables that are expected in one year or less, are classified as current assets, if not they are presented as non¬
current assets.
k) Cash Flow Statement:
Cash flows are reported using the indirect method, whereby profit for the period is adjusted for the effects of
transactions of a non-cash nature any deferrals or accruals of past or future operating cash receipts or payments
and item of income or expenses associated with investing or financing cash flows. The cash flows from operating,
investing and financing activities of the Company are segregated. For the purpose of presentation in the Statement
of Cash Flows, cash and cash equivalents includes cash in hand and Balances with Banks.
l) Cash and cash equivalents:
Cash and cash equivalents in the balance sheet comprise cash at banks and on hand and short-term deposits with
an original maturity of three months or less, which are subject to an insignificant risk of changes in value are
unrestricted for withdrawal and usage.
For the purpose of the statement of cash flows, cash and cash equivalents consist of cash and short-term deposits,
as defined above, net of outstanding bank overdrafts as they are considered an integral part of the Company's cash
management.
m) Earnings per Share:
Basic earnings per share is calculated by dividing the profit attributable to owners of the Company by average
number of equity shares outstanding during the year. For the purpose of calculating diluted earnings per share,
the net profit or loss for the period attributable to equity shareholders is adjusted for after income tax effect of
interest and other financing costs associated with dilutive potential equity shares and the number of shares that are
outstanding during the period are adjusted for the effects of all dilutive potential equity shares.
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