We have audited the accompanying standalone financial statements of Bigbloc
Construction Limited (“the Company”), which comprise the Balance Sheet as at March
31, 2026, the Statement of Profit and Loss (including Other Comprehensive Income), the
Statement of Changes in Equity and the Statement of Cash Flows for the year ended on
that date, and a summary of the significant accounting policies and other explanatory
information (hereinafter referred to as “the standalone financial statements”).
In our opinion and to the best of our information and according to the explanations given
to us, the aforesaid Standalone Financial Statements give the information required by the
Companies Act, 2013 (the “Act”) in the manner so required and give a true and fair view in
conformity with the Indian Accounting Standards prescribed under section 133 of the Act,
(“Ind AS”) and other accounting principles generally accepted in India, of the state of affairs
of the Company as at March 31,2026 and its loss, total comprehensive income, changes in
equity and its cash flows for the year ended on that date.
BASIS OF OPINION
We conducted our audit of the Standalone Financial Statements in accordance
with the Standards on Auditing (“SA”s) specified under section 143(10) of the Act.
Our responsibilities under those Standards are further described in the Auditor’s
Responsibilities for the Audit of the Standalone Financial Statements section of our
report. We are independent of the Company in accordance with the Code of Ethics issued
by the Institute of Chartered Accountants of India (“ICAI”) together with the ethical
requirements that are relevant to our audit of the Standalone Financial Statements under
the provisions of the Act and the Rules made thereunder, and we have fulfilled our other
ethical responsibilities in accordance with these requirements and the ICAI’s Code of
Ethics. We believe that the audit evidence obtained by us is sufficient and appropriate to
provide a basis for our audit opinion on the Standalone Financial Statements.
KEY AUDIT MATTERS
Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the financial statements of the current period. These matters were
addressed in the context of our audit of the financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters. We have
determined the matters described below to be the key audit matters to be communicated in our report.
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Sr. No. Key Audit Matter
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How our audit addressed the key audit matter
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1. Revenue from sale of goods
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Principal Audit Procedures:
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Revenue is measured net of discounts, incentives, rebates etc. given
to the customers on the Company’s sales. The Company recognizes
revenues when control of the goods is transferred to the customer
at an amount that reflects the consideration to which the Company
expects to be entitled in exchange for those goods. In determining
the sales price, the Company considers the effects of rebates and
discounts.
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Our audit procedures included the following:
• Considered the appropriateness of Company’s revenue recognition policy and its compliance in
terms of Ind AS 115 'Revenue from contracts with customers’;
• Assessed the design and tested the operating effectiveness of internal controls related to sales
and related rebates and discounts;
• Performed sample tests of individual sales transaction and traced to sales invoices, sales orders
and other related documents. In respect of the samples selected, tested that the revenue has
been recognized as per the sales arrangements;
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Sr. No. Key Audit Matter
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How our audit addressed the key audit matter
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The terms of sales arrangements, including the timing of transfer
of control, the nature of discount and rebates arrangements
and delivery specifications, create complexity and judgment in
determining sales revenues and accordingly, it was determined
to be a key audit matter in our audit of the standalone financial
statements.
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•
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The management’s assessment of discounts, incentives and rebates recorded for the current
year have been compared on an overall basis with the past practices to assess the adequacy of
provisions made during the current year read with the changing competitive market dynamics as
explained by the management;
We performed revenue cut-off testing, by reference to bill dates of sales recorded either of the
financial year end had legally sales completed;
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•
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Assessed the relevant disclosures made in the Standalone financial statements.
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2. Valuation, Accuracy, Completeness and disclosures pertaining
to Inventories with reference to Ind AS 2
Inventory comprises of raw material including packing material, work
in progress, finished goods and stores and spares.
We have identified the inventories as key audit matter because it is
material to the standalone financial statements.
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Principal Audit Procedures:
We have performed the following alternate audit procedures to audit the existence and condition
of inventories as per the guidance provided in SA 501 “Audit Evidence - Specific Considerations for
Selected Items”, as at the year-end:
a) Performed test counts by tracing items from management’s counts records to the physical
inventories and tracing the items selected from physical inventory to managements’ count
records.
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b)
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Obtaining an understanding of the supply chain and testing selected key controls over recognition
and measurement of inventory.
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c)
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We have evaluated the design of Internal Controls relating to recording and valuation of Inventory.
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d)
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Testing on a sample basis the accuracy of cost for inventory by verifying supporting documents
and testing the net realizable value.
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e)
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Ensuring proper cut-off.
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f)
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Verified the stock movement analysis for the year in respect of key items of raw materials and
finished goods at the factories to determine the quantities of inventory as at the balance sheet
date.
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g)
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Performed procedures to audit the existence and condition of inventories, which includes
inspection of supporting documentation relating to purchases, sales and production
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OTHER INFORMATION
The Company’s Board of Directors is responsible for the other information. The other
information comprises the information included in the Annual Report, but does not include
the financial statements and our auditor’s report thereon.
Our opinion on the financial statements does not cover the other information and we will
not express any form of assurance conclusion thereon.
In connection with our audit of the financial statements, our responsibility is to read the
other information identified above when it becomes available and, in doing so, consider
whether the other information is materially inconsistent with the financial statements or
our knowledge obtained in the audit, or otherwise appears to be materially misstated. When
we read the Annual Report, if we conclude that there is a material misstatement therein, we
are required to communicate the matter to those charged with governance.
MANAGEMENT’S AND BOARD OF DIRECTORS’ RESPONSIBILITY FOR
THE STANDALONE FINANCIAL STATEMENTS
The Company’s management and Board of Directors is responsible for the matters stated
in section 134(5) of the Act with respect to the preparation of these standalone financial
statements that give a true and fair view of the financial position, financial performance,
total comprehensive income, changes in equity and cash flows of the Company in
accordance with the Ind AS and other accounting principles generally accepted in
India. This responsibility also includes maintenance of adequate accounting records in
accordance with the provisions of the Act for safeguarding the assets of the Company
and for preventing and detecting frauds and other irregularities; selection and application
of appropriate accounting policies; making judgments and estimates that are reasonable
and prudent; and design, implementation and maintenance of adequate internal financial
controls, that were operating effectively for ensuring the accuracy and completeness of
the accounting records, relevant to the preparation and presentation of the standalone
financial statements that give a true and fair view and are free from material misstatement,
whether due to fraud or error.
In preparing the standalone financial statements, management is responsible for
assessing the Company’s ability to continue as a going concern, disclosing, as applicable,
matters related to going concern and 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 are also responsible for overseeing the financial reporting process
of the Company.
AUDITOR’S RESPONSIBILITIES FOR THE AUDIT OF THE FINANCIAL
STATEMENTS
Our objectives are to obtain reasonable assurance about whether the financial statements
as a whole are free from material misstatement, whether due to fraud and error, and to
issue an auditor’s report that includes our opinion. Reasonable assurance is a high level
of assurance, but is not a guarantee that an audit conducted in accordance with SAs
will always detect a material misstatement when it exists. Misstatements can arise from
fraud or error and are considered material if, individually or in the aggregate, they could
reasonably be expected to influence the economic decisions of users taken on the basis
of these financial statements.
As part of an audit in accordance with SAs, we exercise professional judgment and maintain
professional skepticism throughout the audit. We also:
• Identify and assess the risks of material misstatement of the financial statements,
whether due to fraud or error, design and perform audit procedures responsive to
those risks, and obtain audit evidence that is sufficient and appropriate to provide a
basis for our opinion. The risk of not detecting a material misstatement resulting from
fraud is higher than for one resulting from error, as fraud may involve collusion, forgery,
intentional omissions, misrepresentations or the override of internal control.
• Obtain an understanding of internal control relevant to the audit in order to design audit
procedures that are appropriate in the circumstances. Under Section 143(3)(i) of the
Act, we are also responsible for expressing our opinion on whether the Company has
adequate internal financial controls with reference to standalone financial statements
in place and the operating effectiveness of such controls.
• Evaluate the appropriateness of accounting policies used and the reasonableness of
accounting estimates and related disclosures in the standalone financial statements
made by the Management and Board of Directors.
• Conclude on the appropriateness of the Management and Board of Directors use of
the going concern basis of accounting and, based on the audit evidence obtained,
whether a material uncertainty exists related to events or conditions that may cast
significant doubt on the Company’s ability to continue as a going concern. If we
conclude that a material uncertainty exists, we are required to draw attention in our
auditor’s report to the related disclosures in the standalone 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’s report. However, future
events or conditions may cause the Company to cease to continue as a going concern.
• Evaluate the overall presentation, structure and content of the financial statements,
including the disclosures, and whether the financial statements represent the
underlying transactions and events in a manner that achieves fair presentation.
Materiality is the magnitude of misstatements in the Standalone Financial Statements that,
individually or in aggregate, makes it probable that the economic decisions of a reasonably
knowledgeable user of the Standalone Financial Statements may be influenced. We
consider quantitative materiality and qualitative factors in (i) planning the scope of our
audit work and in evaluating the results of our work; and (ii) to evaluate the effect of any
identified misstatements in the Standalone Financial Statements.
We communicate with those charged with governance regarding, among other matters,
the planned scope and timing of the audit and significant audit findings, including any
significant deficiencies in internal control that we identify during our audit.
We also provide those charged with governance with a statement that we have complied
with relevant ethical requirements regarding independence, and to communicate with
them all relationships and other matters that may be reasonably be thought to bear on our
independence, and where applicable, related safeguards.
From the matters communicated with those charged with governance, we determine those
matters that were of most significance in the audit of the standalone financial statements
of the current period and are therefore the key audit matters. We describe these matters
in our auditors’ report unless law or regulation precludes public disclosure about the
matter or when, in extremely rare circumstances, we determine that a matter should not
be communicated in our report because the adverse consequences of doing so would
reasonably be expected to outweigh the public interest benefits of such communication.
REPORT ON OTHER LEGAL AND REGULATORY REQUIREMENTS
1. As required by the Companies (Auditor’s Report) Order, 2020 (“the Order”) issued by
the Central Government of India in terms of sub-section (11) of section 143 of the
Act, we give in the Annexure A, a statement on the matters specified in the paragraph
3 and 4 of the Order, to the extent applicable.
2. As required by Section 143(3) of the Act, we report that:
a) We have sought & obtained all the information and explanations which to the
best of our knowledge and belief were necessary for the purposes of our audit.
b) In our opinion proper books of accounts as required by law have been kept by the
company so far as appears from our examination of such books.
c) The Balance Sheet, the Statement of Profit and Loss, the Statement of
Changes in Equity and the Statement of Cash Flows dealt with by this report are
in agreement with the books of account.
d) In our opinion, the aforesaid Ind AS financial statements comply with the Indian
Accounting Standards prescribed under Section 133 of the Act.
e) On the basis of the written representations received from the directors as on 31st
March, 2026 and taken on record by the board of directors, none of the directors
is disqualified as on 31st March, 2026 from being appointed as a directors in terms
of section 164(2) 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 B".
g) With respect to the other matters to be included in the Auditor’s Report in
accordance with the requirements of Section 197(16) 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/provided 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 (Audit and Auditors) Rules, 2014, in
our opinion and to the best of our information and according to the explanations
given to us:
i. the Company has disclosed the impact of pending litigations on its financial
position in its financial statements - Refer Note 35 (i) to the financial
statements;
ii. the Company did not have any long-term contracts including derivative
contracts for which there were any material foreseeable losses;
iii. There has been no delay in transferring amounts, required to be transferred,
to the Investor Education and Protection Fund by the Company.
iv. (a) The management has represented that, to the best of its knowledge
and belief, no funds have been advanced or loaned or invested (either
from borrowed funds or share premium or any other sources or kind of
funds) by the company to or in any other persons or entities, including
foreign entities ("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 guarantee, 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 have been received by the company from any
persons or entities, including foreign entities ("Funding Parties"), with
the understanding, whether recorded in writing or otherwise, that the
company shall, whether, directly or indirectly, lend or invest in other
persons or entities identified in any manner whatsoever by or on behalf
of the Funding Party ("Ultimate Beneficiaries") or provide any guarantee,
security or the like on behalf of the Ultimate Beneficiaries; and
(c) Based on the audit procedures that have been considered reasonable
and appropriate in the circumstances, nothing 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. The company has not declared any dividend during the year.
vi. Based on our examination, which included test checks, the Company has
used accounting software systems for maintaining its books of account for
the financial year ended March 31,2026 which have the feature of recording
audit trail (edit log) facility and the same has operated throughout the year
for all relevant transactions recorded in the software systems. Further, during
the course of our audit we did not come across any instance of the audit trail
feature being tampered with and the audit trail has been preserved by the
Company as per the statutory requirements for record retention.
For RAJENDRA SHARMA & ASSOCIATES
Chartered Accountants
Firm Registration No.: 108390W
(RAJENDRA RATANLAL SHARMA)
PARTNER
Date: 28th May, 2026 Membership No.: 044393
Place: Surat UDIN: 26044393MCYRJD5065
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