\\c have umlitcil the ucuimjwmyiny financial >utcmem» of ALPINE HOUSING DEVELOPMENT CORPORATION LIMITED ("the
Company"), which comprise the Balance Sheet a-, ut March ' 1,202$, the Statement of Profit ami U>*> (including Other Comprehensive Income),
the Statement of Changes in Equity ami tlte Statement of Cash Fit nv> for the year ended on that Jute and u •aimmary or significant accounting
|v>|icie« and other cxplwtutory information (hereinafter referred to a.-, the ^financial »-t;itcnicm>" •
In our opinion anil to the best of out information amt according to the explanations given to us. the aforesaid financial statements, gne the
inliirmnUiin requited hy the Conipames Act. 2013 (“the Act”) hi the manner wo required uml give u true and fair view in conformity with the Indian
Accounting Standards prescribed undet Section Ý 33 of the Act rend with ihe l .ompumes (Indian Accounting Standards) Rulesu 21115, x\ amended,
rind AS”) and other accounting principles generally accepted in trutiu, of the mate of uflairs of the Company us at March 31.2025 and iLs profit,
total comprehensive income, changes in equity and its cash Hows for the ycai ended on that date.
Oasis for Opinion
W e conducted our audit of the financial statement* In accordance with tlic Standard* on Auditing (WSA”*| specified under Section 143110) of tfie
Act bur raspwttlbilitL* undet those St.mdards arc further described in the Auditor* Rcsponsibilitio* fin the Audit nl the Financial Stateinenls
section of our report We are independent of ihe Company in accordance with the Code of Ethic* issued hy the Institute of Chartered Accountant* of
India ("It ’Al”) together with the ethical requirements that are relevant to our audit of the financial statements under the provisions of the Act and
the Pules made thereunder, and we have fulfilled our other ethical responsibilities In accordance with I hew requirement* anti the l( AIM Vile of
f ihic* We believe that the audit evidence obtained hy us i* sufficient and apprupri.itc to provide a basis for our audit opinion on the financial
statement.*.
Key Audit Matter*
Key uudit mutters me those matters dial, lit our ptidctfimuil judgment, wcie of most significance m uui audit of the fin.meial ntalemcuts of the
current period. 1 Iteic matter* were addressed In the contest of our audit of the financial statements .i.s it whole, and in forming our opinion thereon,
and ue do not phividc a separate opinion on these mutters We hove determined the matters dcscrilwd below to he the key audit mallei * to lie
communicated in our report.
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Key audit matter
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Him uur audit addressed the key audit matter
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1. Revenue recognition lor sale of residential units
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l'ltc Company applies ImJ AS 1! 5. Revenue from Contracts with
Customers ( lad AS 115) for recognition of rev enue from sale of
residential units Refer note 2.2 (c) n to d nnd 25 to the financial
statements for accounting policy:and related disclosure!).
Revenue is recognised upon transfer of control of residential unit-
to customers for an amount which reflects the consideration the
Company expects to receive in exchange for those units. the
point of revenue recognition t* normally based on the terms a*
included in the intimation for the handover of unit to the custom*?
on completion of the project, and substantial collection is
received. I he Company recognises the revenue at a point in time
upon hamlovei deemed handover of the residential units.
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Our audit procedures on revenue recognised from sale of
resident ial units included, but were not limited to the following:
• Evaluated the appropriateness or accounting policy tor
revenue recognition on sale of residential unit* in terms of
principles clearly stated under lnd AS 115;
• Assessed the management evaluation of determining revenue
recognition from vale of residential units nt a point m time in
accordance with the requirements under lnd AS 115;
• Obtained and understood the revenue recognition process,
evaluated the design ami performed teat of control* ovci
revenue recognition including determination of point of
transfer of control and completion of performance obligations
on n sample basis; and
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1 oi contracts involvutg sale of io.sulcnti.il units, the Company
receives the consideration in accordance \viih the terms of the
contract in proportion of the percentage of completion of such
real estate project and represent?, payments made by customers to
secure performance obligation of the Company under the contrac
enforceable by customer. Ihe assessment of such consideration
received from customers Involves significant judgment tn
detenuming if the contracts with customer involves any
financing element.
Ind \S 115 requires significant judgment in determining when
‘control’ of the residential units |s transferred to the customer
Considering the significance of management judgements and
estimates involved and the materiality of amounts involved,
aforementioned revenue recognition Is identified as a key audit
mailer
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• 1 or samples selected Juring the yeur. verifying the underlying
documents - contracts with customers, invoices raised and
collections from the customers;
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2. Revenue recognition for contractual construction
projects
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I he Company recognises revenue over a period of lime in
accordance with Ind AS 115. Revenue from Contracts with
Customers (Ind AS 115) Refer note 2_2(ei- n to d and 25 to the
financial statements for accounting policy and related disclosures
The Company recognises revenue from construction contracts on
the basis of stage ol completion (input method) based on the
proportion of contract cost-, incurred at reporting dole, iclatmg to
the total estimated costs of the contract at completion I hc
recognition of revenue is therefore dependent ott estimates tn
rdntion in total estimated costs of each such contract, which Is
subject to inherent intcciiatnty a*, it requires ascertainment of
progress of the project, cost incurred till date and balance cost to
he incurred to complete the project
Significant judgments are also involved in determining when the
underlying performance obligations are satisfied and also
determining expected losses, when such losses become probable
based on the expected total contract cost. Cost contingencies arc
included in these estimates to take into account specific risks of
uncertainties or disputed claims against the Company, arising
within each contract. These contingencies are reviewed by the
Management on a tegular basis throughout the life of the contract
and adjusted where appropriate
Considering the significance of management judgements and
estimates involved and the materiality of amounts involved,
revenue recognition from construction contracts is identified us a
key uudit matter
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Our audit procedures on revenue recognition for contractual
construction projects included, but were not limited to the
following-
• Evaluated the nppropnutoness of accounting policy on
revenue recognition for contractual construction project*, in
terms of principles enunciated under Ind AS 115:
• Evaluated the design and tested operating effectiveness of key
controls around budgeting ol'projcet cost, approval ol
purchase orders, recording of actual cost, raising of invoices
and estimating the cost to complete tlte project.
• Assessed management evaluation of determining revenue
recognition for contractual construction projects over a
period of time in accordance with the requirements of ltul AS
115:
• On a sample busts, tested costs incurred by examining
underlying invoices and other applicable document-
• For sample invoices raised during the year, verifying the
underlying documents including invoices, work orders anti
customer acceptance;
• Compared actual cost with budgeted cost to determine
percentage of completion of the project: and
• Assessed the adequacy of disclosures included in the ftnancia
.statements in compliance with the requirements of Ind AS
115.
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3. Revenue recognition for Sale of products
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Tlte Company applies Ind AS 115. Revenue from Contracts with
Customers (Ind AS 115) for recognition of revenue from sale of
products Refer note 2 2 (O -o and 25 to liic financial statements
for accounting policy and related disclosures
Revenue is recognised upon transfer of control of products
manufactured by die company to customers lot an amount which
ivlied.s the consideration the company expects to receive m
exchange for those products 1 lie point of revenue recognition is
normally upon transfer of control to the customer on delivery of
product.
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Our audit procedures on revenue recognition for sale of product*
included, hut were nut limited to the following:
• Evaluation of company's accounting policies for rev ettui*
recognition on sale of products manufactured, are in line with
the applicable accounting standards:
• Evaluation of the design and implementation and testing the
operating effectiveness of key controls around approvals of
sale order received, invoice raised, intimation of delivery of
product and controls over collection from customers.
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Considering the competitive business environment. there is a risk
of revenue being overstated or understated in order to present
consistent financial results. Since revenue recognition has direct
impact on the company’s profitability, there is a possibility of the
company being biased, hence this is considered as a key audit
matter.
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• For samples selected verifying the underlying documents -
Sale order, invoice raised, good received note authorised by
the customer and the collections, ami
• Cut-off procedures for recording of revenue in the relevant
reporting period
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4. Assessing the recoverability of carrying value of
Inventories.
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Refer note 2.2(e). 10. 27. 20 to the financial statements for
accounting policies on inventories and related financial
disclosures
Ilie inventories are curried m lower of cost and net realisable
value ('NKV'). The determination of the NRV involves estimate.-'
based on prevailing market conditions and taking into account tin
estimated future selling price, cost to complete projects and
selling costs
Inventories on construction of residential lints comprising
ongoing and completed projects, initiated but unbundled
protects and land stock, represents a significant portion of the
company's total .resets. A project comprises multiple units, the
construction of which is carried out over a numbet of years. Ilic
recognition of profit for sale of units, is therefore dependent on tli
estimate of future selling prices ami construction costs
Forecasts of Future sole* are dependent on market conditions,
which can Ik difficult to predict and Ik influenced by political an
economic factors.
Considering the significance of the amount of carrying value ol
inventories ond the involvement of significant estimation, this
considered as a key audit matter.
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Our procedures in assessing the carrying value of the inventories
but were not limited to the following;
• Evaluated the appropriateness of accounting policies with
respect to inventories m terms of principles' enunciated under
applicable accounting standards.
• Evaluated the design and tested operation of internal controls
related to testing NRV net recoverable value with carrying
amount of inventory
• Inquired with management to understand key assumptions
used in determination of the NRV/ nci recoverable value; and
• t)btnined mid tested the computation/ assessment of the NRV
net recoverable value on n sample basis
• Compared the NRV lo recent Sales m the project or to the
estimated selling price;
• Assessing the company's valuation methodology for the key
estimates, data inputs and assumptions adopted m the
valuation;
• l orapared the estimated construction costs to complete each
project with the Company's updated budgets; and
• For land stock, on u sample basis, obtained the fair valuation
reports or the published guidance values and reviewed the
valuation methodology, key estimates and assumptions
adopted in tire valuation.
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Information Other Hum the Financial Statements and Auditor’s Report Thereon
The Company ’$ Hoard of Directors re responsible lot the other information, The other infcirintuiou comprises the information included in
the Management Discussion and Analysis. Board's Report including Anmwurev to Board's Report. Business Responsibility Report.
Corporate Governance Report and Shareholder information, but does not include the financial statements and our auditor’s report
tliereon.
Our opinion on the financial statements does not cover the other information and wc do not express any form ofuwumnce conclusion
thereon.
In connection with our audit of the financial Malcmcms. our responsibility is to read the other information and. hi doing so. consider
whether the other information is materially inconsistent with the financial statements or our knowledge obtained during the course of our
audit or otherwise appears to be materially misstated.
If based on the work wc have performed, wc conclude that there is a material misstatement of this other information we are required to
report that fact. Wc have nothing tu report m this regard.
Management* Responsibility for (lie Financial Statement*
The Company’s. Board of Directors «> responsible for the matters Mined in section I {5) of the Act with respect to the preparation of these
fmtmciul statement* that give a true and lair view of the financial position. financial performance, including other comprehensive income,
changes in equity and cash Hows of the Company in accordance with the Ind AS and other accounting principles generally accepted in
India. Tills responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for
safeguarding the assets of the Company and foe preventing and detecting frauds and other irregularities, selection and application of
appropriate accounting policies: making judgments and estimates that arc reasonable ami prudent: and design, implementation and
mmntenimce of adequate internal littuncinl controls, that were operating effectively lot ensuring the accuracy and completeness of the
accounting records, relevant to the preparation and presentation of the financial statements that give a true and lair view and are free from
mntennl misstatement, whether due to fraud or emir
In preparing die financial statements, management is responsible for assessing die Company \ ability to continue as a going concern,
disclosing, a* applicable, matters related to going concern mid using the going concern basis of accounting unless management either
intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so
The Board of Directors is also responsible for overseeing the Company’s financial repotting process.
Auditor** Responsibilities for the Audit of the Financial Statement*
Our objectives are to obtain reasonable assurance about whether the financial statements as u whole are free from material misstatement,
whether duo to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance,
bur is not a guarantee thut an audit conducted in accordance w idi SAs will always detect a material misstatement when it exists.
Misstatements can arise from fraud or error and me considered material if. individually or in the aggregate, they could reasonably be
expected to influence the economic decisions of user* taken on the basis of these financial statement*
As part of an audit in accordance with SA*>, we exercise professional judgment and maintain professional scepticism throughout the audit
We also:
• Identity and assess the risks of material misstatement of the financial statements, whether due to fraud «vr emir, design and iterfivmt
audit procedures responsive to those risks, and obtain audit evidettec that in sufficient and appropriate to prov ide a bust* for our opinion,
fhe risk of not detecting a material misstatement resulting from fraud is higher dtnn for one resulting from error, as fraud may involve
collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
• Obtain att understanding of internal financial control relevant to the audit in order to design audit procedures that arc appropriate m the
circumstances < indor section 143(3 )(B of the Act. we are also responsible for expressing our opinion on whether the Company has
adequate Internal financial controls system in place anil the operating effectiveness of such controls
• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made
by the management.
• Conclude on the appropriateness of management’’' use of the going concern hnsis of accounting and. based on the audit evidence
obtained, whether a material uncertainty exists related to events or conditions that may east significant doubt on the Company's ability
to continue as a going concern If we conclude that a material uncertainty exists, we arc required to draw attention m our auditor's report
to the related disclosures in the financial statements or. if such disclosures are inadequate, to modify our opinion. Our conclusions are
based on the audit evidence obtained up to the date of our auditor* report. However, future events or conditions may cause the
Company to cease to continue as a going concern
• b.valuate the overall presentation, structure and content of the financial statements, including the disclosures, and w hether the financial
statements represent the underlying transactions and events in a manner that achieves fair presentation
Materiality i.< the magnitude of misstatements in the financial statements that, individually or in aggregate, makes it probable that the
economic decisions ot n reasonably knowledgeable user of the financial statements may be influenced. We consider quantitative
materiality and qualitative factors in tit planning the-scope of out audit work and in evaluating the result- of ottr work; and (iitto evaluate
the effect of any identified misstatements in the financial .statements
We communicate with those Charged with governance regarding, among other matters, the planned scope and timing of the audit and
significant audit finding*, including any significant deficiencies in internal control tlut vve identify dutmg our audit.
We .il.io pioviik ilmsccliaiggti with governance with a suicmein lliat we have complied with relevnni ethical requirements regarding
independence, and to communicate with them all relationship* and other matters that may reasonably he thought to heat on «ur
imJc|>endeiice. and where applicable, related .vafeguuriU.
I ram the matters communicated with those charged wait governance, we determine those matters that Were of most significance in the
audit of the financial statements of the current period and are therefore die key audit matters Wc describe these matters iu our auditor’s
report unlcs> law or regulation precludes public disclosure about the matter or when, in extremely rare cireumviances, wc determine that a
matter should not be communicated in our report because the adverse consequences of doing so would reasonably he expected tv) outweigh
the public interest benefits of such communication
Report on Other Legal and Regulatory Requirements
1. As required by Section 143(3) of the Act, based on our audit we report that:
a) We have sought and obtained all the information and explanations which to the best of our knowledge and belief wore
necessary for the purposes of our audit.
b) In our opinion, proper books of account as required by law hove been kept by the Company so far as it appears from our
examination of those books except for the matters stated In the paragraph h (vll) below on reporting under Rule 11(g).
c) The Balance Sheet, the Statement of Profit and Loss Including Other Comprehensive Income. Statement of Changes in Eqi
and the Statement ot Cash Flows dealt with by this Report are in agreement with the books of account.
d) In our opinion, the aforesaid financial statements comply with the Ind AS specified under Section 133 of the Act.
e) On the basis of the written representations received from the directors as on March 31, 2025 taken on record by the Board
Directors, none of the directors is disqualified as on March 31. 2025 from being appointed as a director in terms of Section 164
of the Act.
f) With respect to the adequacy of the internal financial controls over financial reporting of the Company and the operating
effectiveness of such controls, refer to our separate Report in “Annexure A”. Our roport expresses an unmodified opinion on I
adequacy and operating effectiveness of the Company's Internal financial controls over financial reporting.
g) With respect to the other matters to be included in the Auditor's Report in accordance with the requirements of section 19:
of the Act. as amended:
In our opinion and to the best of our information and according to the explanations given to us, the remuneration paid by the
Company to its directors during the year is in accordance with the provisions of section 197 of the Act.
h) With respect to the other matters to be Included in the Auditor's Report In accordance with Rule 11 of the Companies (Aud
and Auditors) Rules. 2014, as amended, in our opinion and to the best of our information and according to the explanations gi-
to us:
i. The Company has disclosed the impact of pending litigations on its financial position in its financial statements.
ii. Trie Company has made provision, as required under the applicable law or accounting standards, for material foreseeat
losses, if any. on long-term contracts including derivative contracts.
Hi. There has been no delay In transferring amounts, required to be transferred, to the Investor Education and Protection F
by the Company.
iv. (a) The Management has represented that, to the best of its knowledge and belief, no funds (which arc material either
Individually or In the aggregate) have been advanced or loaned or Invested (either from borrowed funds or share premium -
any other sources or kind of funds) by the Company to or in any other person or entity, Including foreign entity
(•‘Intermediaries"), with the understanding, whether recorded in writing or otherwise, that the Intermediary shall, whether,
directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the
Company (‘‘Ultimate Beneficiaries ") or provide any gunrantee. security or the like on behalf of the Ultimate Beneficiaries;
(b) The Management has represented, that, to the best of its knowledge and belief, no funds (which are material either
individually or in the aggregate) hove beon received by the Company from any person or entity, including foreign
entity ("Funding Parties"), with the understanding, whether recorded in writing or otherwise, that the Company sha
whether, directly or Indirectly, lend or Invest In other persons or entities Identified In any manner whatsoever by or
behalf of the Funding Party ("Ultimate Beneficiaries") or provide any guarantee, security or the like on behalf of the
Ultimate Beneficiaries;
(c) Based on the audit procedures that have been considered reasonable and appropriate in the circumstances, nothinj
has come to our notice that has caused us to believe that the representations under sub-clause (I) and (II) of Rule
11(e). as provided under (a) and (b) above, contain any material misstatement.
v. As stated in Note No. 14 (f) to the financial Statements, the final dividend proposed in the previous year. declared and paid
the company during the year Is in accordance with Section 123 of the Act, as applicable.
vi. The qualification relating to the maintenance of accounts and other matters connected therewith are as stated In the paragr
1 (b) above on reporting under Section 143(3)(b) and paragraph h (vii) below on reporting under Rule 11(g).
vil. Based on our examination which included test checks, the company has used an accounting software for maintaining Its b
of account which has a feature of recording audit trail facility. The audit trail (edit log) feature of Accounting software used I
the company to maintain books of account did not operate during the period from April 1. 2024 up to May 29. 2025. As the
Audit trail feature (edit log) was not enabled during this period, we are unable to comment on the possibility of any tamporir
with tho records prior to its activation.
However, that the audit trail feature was enabled starting from May 30. 2024 to March 31. 2025. Based on our examination whic
included test checks, which has a feature of recording audit trail (edit log) facility and the same has operated for the said peric
all relevant transactions recorded in the software. Further, during the course of audit we did not come across any instance of i
trail feature being tampered with for the period May 30, 2024 to March 31, 2025.
As the proviso to Rule 3(1) of the Companies (Accounts) Rules. 2014 Is applicable from April t. 2023. reporting under Rule 11(|
of the Companies (Audit and Auditor's) Rules. 2014 regarding the preservation of audit trail is required. However, since the
company enabled the audit trail feature only from May 30.2024, we are unable to comment on tho record retention for the
financial year 2023-24 as on the financial year ended March 31. 2025.
2. As required by the Companies (Auditor’s Report) Order. 2020 (the "Order”) issued by tho Central Government In terms of
Section 143(11) of the Act, we give In "Annexure B" a statement on the matters specified in paragraphs 3 and 4 of the Order.
For R V K S And Associates
Chartered Accountants
Firm Registration No. O08572S
Subbanarnsimha H L
Partner
Membership No.238159
UDIN: 25238159OMJKOM2066
Place: Bengaluru
Date: May 27. 2025
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