1. Material Accounting Policies:1.1. Statement of Compliance:

These financial statements have been prepared in accordance with the Indian Accounting Standards (Ind AS) as per the Companies
(Indian Accounting Standard) Rules, 2015 notified under section 133 of the Companies Act 2013, amendments there to and other
relevant provisions ofthe Act.

1.2. Basis of Preparation of Financial Statements.

These financial statements have been prepared in accordance with the Indian Accounting Standards (Ind AS) as specified under
section 133 ofthe Companies Act 2013 and other relevant provisions ofthe Act.

These Ind AS Financial statements have been prepared on a going concern basis using historical cost convention and on an accrual
method of accounting except for certain financial assets and liabilities that are measured at fair values at the end of each reporting
period, as stated in the accounting policies set out below. The accounting policies have been followed consistently except where a
newly issued accounting standard is initially adopted or a revision to an existing standard requires a change in the accounting policy
hither to in use.

1.3. Functional and presentation currency

The financial statements are presented in INR(Rs.) which is also the company’s functional currency and all values are in Rupees in
lakhs except when otherwise indicated.

1.4. Classification of Assets and Liabilities as Current and Non Current:

The Company has determined its operating cycle as 12 months for the purpose of classification of current and non-current assets
and liabilities. This is based on the nature of product and the time between the acquisition of inventories for processing and their
realization in cash and cash equivalents.

Deferred tax assets and deferred tax liabilities are classified as non -current assets and liabilities.

1.5. Use of Estimates & Judgments:

The estimates and Judgments used in the preparation ofthe financial statements are continuously evaluated by the Company and are
based on historical experience and various other assumptions and factors (including expectations of future events) that the
Company believes to be reasonable under the existing circumstances.

1.6. Property, Plant and Equipment - Tangible Assets:

i. Property, Plant and Equipment other than land are stated at cost less accumulated depreciation and
impairment losses if any. Cost comprises of purchase price and any attributable cost of bringing the assets to its working
condition for its intended use.

ii. Capital Work In Progress in respect of assets which are not ready for their intended use are carried at cost, comprising of
direct costs, related incidental expenses and attributable interest.

iii. Subsequent expenditure is capitalised only if it is probable that the future economic benefits associated with the
expenditure will flow to the Company.

Depreciation is provided on Straight Line Method on the basis of useful lives of such assets specified in Schedule II to the
Companies Act, 2013 except the assets costing Rs. 5,000/- or below on which depreciation is charged @ 100%.

Depreciation on additions is being provided on pro rata basis from the date of such additions. Depreciation on assets sold, discarded
or demolished during the year is being provided up to the date on which such assets are sold, discarded or demolished.

1.7. Intangible Assets:

Intangible assets are stated at cost less accumulated amortization. Cost includes any expenditure directly attributable on making the
asset ready for its intended use.

Intangible assets are amortized over their useful life.

1.8. Impairment of Assets

The carrying values of assets/cash generating units at each balance sheet date are reviewed for Impairment if any indication of
impairment exists. An asset is treated as impaired when the carrying cost of asset exceeds its recoverable value.

Recoverable value: Recoverable value being higher of value in use and fair value less cost of disposal. Value in use is computed at
net present value of cash flow expected over the balance useful life of the assets. An impairment loss is recognized as an expense in
the statement of profit and loss in the year in which an asset identified as impaired.

1.9. Cash & Cash Equivalents:

For the purpose of presentation in the statement of cashflows, cash and cash equivalents includes cash on hand, deposits held at call
with principal institutions, other short term highly liquid investments with original maturities of three months or less that are readily
convertible to known amounts of cash and which are subject to an insignificant risk of changes in value.

1.10. Trade Receivable:

Trade Receivables are recognised initially at fair value and subsequently measured at amortised cost using effective interest
method, less provision for impairment.

1.11. Inventory:

Inventories of raw materials, consumable stores and packing materials are valued at cost on weighted average method, finished
goods and work in process are valued at cost on weighted average method or realisable value whichever less. Jigs & Fixtures and
patterns are valued after providing for amortisation at 20% and 10% respectively under written down value method. Initial tools
were capitalised and amortised at 10% on written down value and further issue of tools are charged to revenue as and when issued.

1.12. Financial Instrument:

A Financial instrument is any contract that gives rise to a financial asset of one entity and financial liability or equity instrument of
another entity.

a. Financial Asset:

All financial instruments are recognized initially at fair value plus, in the case of financial assets not recorded at fair value through
statement of profit and loss transaction costs that are attributable to the acquisition of the financial asset, purchase or sales of
financial assets that require delivery of assets within a time frame established by regulation or convention in the market place are
recognized on the trade date i.e. the date that company commits to purchase or sell the asset.

Subsequent MeasurementFor the purpose of subsequent measurement financial assets are classified as measured at:

1) Amortised cost

2) Fair value through profit and loss (FVTPL)

3) Fair value through Other Comprehensive Income (FVTOCI)

Financial Asset measured at amortized cost:

Financial Assets held within a business model whose objective is to hold financial assets in order to collect contractual cash flow
and the contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and
interest on the principal amount outstanding are measured at amortized cost using effective interest rate (EIR) method. The EIR
amortization is recognized as finance income in the statement of Profit & Loss.

The company while applying above criteria has classified all the financial assets (except investments in equity share) at amortized
cost.

Financial Assets Measured at fair value through other comprehensive Income:

Financial assets that are held within a business model whose objective is achieved by both, selling financial assets collecting
contractual cash flow that are solely payment of principal and interest, are subsequently measured at fair value through other
comprehensive income. Fair value movements are recognized in the other comprehensive income (OCI) interest income measured
using the EIR method and impairment losses, if any are recognized in the statement of Profit and loss. On derecognition, cumulative
gain or loss previously recognised in OCI is reclassified from the equity to ‘other income’ in the statement of profit and loss.

Financial Assets at fair value through profit or loss (FVTPL):

Financial Asset are measured at fair value through profit & loss if it does not meet the criteria for classification as measured at
amortized cost or at FVTOCI. All fair value changes are recognized in the statement of profit & loss.

De-recognition of Financial Assets:

The Company derecognizes 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.

Impairment of Financial Assets:

In accordance with Ind AS 109, the Company applies Expected Credit Loss (ECL) model for measurement and recognition of
impairment loss on the debt instruments, that are measured at amortized cost e.g., loans, debt securities, deposits, trade receivables
and bank balance.

Expected credit loss is the difference between all contractual cash flows that are due to the Company in accordance with the contract
and all the cash flows that the entity expects to receive.

The management uses a provision matrix to determine the impairment loss on the portfolio of trade and other receivable. Provision
matrix is based on its historically observed expected credit loss rates over the expected life of the trade receivables and is adjusted
for forward looking estimates.

Expected credit loss allowance or reversal recognized during the period is recognized as income or expense, as the case may be, in
the statement ofprofit and loss. In case ofbalance sheet, it is shown as reduction from the specific financial asset.

b. Financial LiabilitiesInitial recognition and measurement:

Financial liabilities are recognized initially at fair value plus any transaction cost that are attributable to the acquisition of the
financial liability except financial liabilities at FVTPL that are measured at fair value

Subsequent Measurement:

Financial liabilities are subsequently measured at amortised cost using the EIR method. Financial Liabilities carried at fair value
through profit or loss are measured at fair value with all changes in fair value recognised in the statement of profit and loss.

Financial Liabilities at amortized cost:

Amortized cost for financial liabilities represents amount at which financial liability is measured at initial recognition minus the
principal repayments, plus or minus the cumulative amortization using the effective interest method of any difference between the
initial amount and the maturity amount.

All the financial liabilities of the company are subsequently measured at amortised cost using effective interest method.
Derecognition of Financial Liabilities

A financial liability shall be derecognized when, and only when, it is extinguished i.e. when the obligation specified in the contract
is discharged or cancelled or expires.

1.13. Foreign Currency Transactions:

The functional and presentation currency of the Company is Indian Rupee. Transactions in foreign currency are accounted for at the
exchange rate prevailing on the transaction date. Gains/losses arising on settlement as also on translation of monetary items are
recognised in the Statement of Profit and Loss.

1.14. Borrowing Costs:

Borrowing costs that are 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 its intended use. All other
borrowing costs are recognized as an expense in the period in which they are incurred.

1.15. Revenue Recognition:

Revenue is recognized when the significant risks and rewards of ownership are transferred to buyer. Revenue can be reliably
measured and it is probable that future Economic benefits will flow to the Company.

a. Sale of Products:

Revenue from the sale of goods measured fair value of consideration received or receivable net of returns, trade discounts and
allowances, and excluding taxes collected on behalf of Government.

b. Interest Income:

Interest on deposits with Government departments and financial Institutions are recognized in statement of profit and loss when the
right to receive/receivable during the period.

1.16 Employee Benefits:

Short-term employee benefits are expensed as the related service is provided. A Liability is recognised for the amount expected to
be paid if the Company has a present legal or constructive obligation to pay this amount as a result of past service provided by the
employee and the obligation can be estimated reliably.

a. Defined Contribution Plans:

Contribution towards provident fund for employees is made to the regulatory authorities, where the company has no further
obligations. Such benefits are classified as defined Contribution schemes as the company does not carry any further obligations,
apart from the Contributions made on a monthly basis.

b. Defined benefit plans:

Gratuity liability is defined benefit obligation and is provided on the basis of an actuarial valuation on projected unit credit method
made at the end of each year. The Company funds the benefit through contribution to LIC.

Remeasurement of the net defined benefit liability, which comprise actuarial gains and losses and the return on plan assets
(excluding interest) and the effect of the asset ceiling (if any, excluding interest), are recognised immediately in other
comprehensive income (OCI) net interest expense (income) on the net defined liability (assets) is computed by applying the
discount rate, used to measure the net defined liability (asset). Net interest expense and other expenses related to defined benefit
plans are recognized in Statement ofprofit and loss.

1.17. Taxes on Income:

Tax expense comprises of current and deferred tax:

a. Current income tax is measured at the amount expected to be paid to the tax authorities in accordance with the Indian Tax Act.

b. Deferred tax is recognized in respect of temporary differences between the carrying amount of assets and liabilities for financial
reporting purposes and the corresponding amounts used for taxation purposes. Deferred tax is measured based on the tax rates and
the tax laws enacted or substantively enacted at the balance sheet date. Deferred tax assets are recognized only to the extent that it is
probable that future taxable profits will be available against which the asset can be utilized.