Music Broadcast Limited
Report on the Audit of the Financial Statements
Opinion
We have audited the accompanying financial statements of Music Broadcast Limited ("the Company"), which comprise the Balance Sheet as at 31 March 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 then ended, and notes to the financial statements, including a summary of material accounting policies and other explanatory information.
In our opinion and to the best of our information and according to the explanations given to us, the aforesaid 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 31 March 2026, and its loss and total comprehensive loss, changes in equity and its cash flows for the year ended on that date.
Basis for Opinion
We conducted our audit of the financial statements in accordance with the Standards on Auditing (SAs) 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 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 ("the ICAI") together with the ethical requirements that are relevant to our audit of the financial statements under the provisions of the Act and the Rules 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 we have obtained is sufficient and appropriate to provide a basis for our opinion on the financial statements.
Emphasis of Matter
We draw attention to Note 34 to the financial statements, which describes a petition filed under Sections 241, 242 and 244 of the Companies Act, 2013 before the National Company Law Tribunal ("NCLT") against the promoters and promoter group members of Jagran Prakashan Limited, the Holding Company and a requisition from a shareholder for consideration of resolution in the Extra Ordinary General (EGM) of the Holding Company for removal of certain directors of the Holding Company.
As stated in the said note, management does not expect any adverse impact of these matters on the financial position of the Company as on date.
Our opinion is not modified in respect if this matter.
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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Key audit matter
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How the matters were addressed in our audit
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1. Assessment of Carrying Amount of Deferred Tax Balances (Refer Notes 12 & 20 to the financial statements)
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Pursuant to the enactment of the Finance Act, 2026, which
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Our audit procedures included, but were not limited to, the following:
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amended the Income-tax Act, 2025, the manner of utilisation
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i) Obtained an understanding of, and evaluated the design and
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of brought-forward Minimum Alternate Tax ("MAT") credit
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implementation of, key controls relating to income tax computations,
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has been revised. Under the amended provisions, MAT
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deferred tax recognition, and MAT credit assessment, and tested
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credit can be utilised only under the concessional tax
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their operating effectiveness.
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regime and is further restricted to a maximum of 25% of the
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ii) Evaluated the appropriateness of the Company's accounting policies
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tax liability in the relevant future years.
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relating to deferred tax assets and liabilities, including MAT credit,
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Accordingly, the Company reassessed the recoverability of
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with reference to Ind AS 12 and applicable tax laws.
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deferred tax assets, including MAT credit entitlement, based
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iii) Assessed management's evaluation regarding the expected
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on revised estimates of future taxable profits, expected
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transition to the concessional tax regime, including the
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utilisation period of MAT credit and the anticipated year of
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appropriateness of tax rates applied in measuring deferred
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transition to the concessional tax regime.
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tax balances considering current and substantively enacted tax
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Based on such reassessment, the Company derecognised
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legislation, and the consequential impact on utilisation of brought
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MAT credit entitlement amounting to ' 1,032 lakhs during
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forward MAT credit.
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the year, to the extent considered no longer recoverable.
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iv) Assessed management's revised projections of future taxable
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We considered this matter to be a key audit matter due to:
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profits and expected utilisation of brought forward MAT credit to
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- t he materiality of deferred tax assets and MAT credit
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the extent of 25% of the tax liability per year, available exclusively
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entitlement balances;
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under the concessional tax regime.
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- the significant judgements involved in forecasting
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v) Tested the reasonableness of key assumptions underlying
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future taxable profits and determining the expected
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management's forecasts of future taxable profits by comparing
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period of MAT credit utilisation; and
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them with historical performance, approved budgets, and relevant
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- the impact of changes introduced through the Finance
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economic and industry indicators.
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Act, 2026 (amending the Income-tax Act, 2025 on the
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vi) Performed sensitivity analysis on projected taxable profits by
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assessment of recoverability of MAT credit entitlement
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varying key assumptions within reasonably possible ranges.
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including expected year of adoption of the concessional
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vii) Evaluated the adequacy and appropriateness of disclosures made
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tax rate.
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in the financial statements in respect of deferred tax balances, MAT credit entitlement and the basis of management estimates.
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Key audit matter
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How the matters were addressed in our audit
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2. Assessment of Recoverability of Trade Receivables (Refer Notes 5(b) & 22(a) to the financial statements)
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The Company recognises an allowance for expected credit
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Our audit procedures included, but were not limited to, the following:
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losses (ECL) on trade receivables in accordance with the
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i) Obtained an understanding of, and tested the design,
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requirements of Ind AS 109, Financial Instruments, applying
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implementation, and operating effectiveness of, internal controls
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the simplified approach.
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over monitoring, collection, and impairment assessment of trade
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The determination of ECL involves significant judgements
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receivables.
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and estimates, including assessment of historical credit
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ii) Evaluated the appropriateness of the methodology, assumptions,
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loss experience, customer-specific factors, ageing of
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and judgements applied by management in determining the ECL
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receivables, probability of default, loss given default,
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allowance, including assessment of customer credit profiles, ageing,
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expected future cash flows, and prevailing economic
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probability of default, loss given default, expected cash flows, and
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conditions.
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the prevailing economic environment.
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Given the significance of trade receivable balances as at 31
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iii) Assessed the application of the simplified approach for recognition
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March 2026 and the judgement involved in estimating the
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of lifetime expected credit losses by reviewing the receivables
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ECL allowance, we considered this to be a key audit matter.
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ageing analysis, enquiring into overdue balances, evaluating management's explanations for recoverability, and testing the mathematical accuracy of the ECL computation.
iv) Tested subsequent receipts after the reporting date for selected trade receivable balances as at 31 March 2026 by agreeing them to bank statements and supporting documentation.
v) Evaluated the adequacy and appropriateness of the presentation and disclosures relating to trade receivables and the ECL allowance in the financial statements.
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3. Assessment of Impairment of Non-Financial Assets (Refer Note 29 to the financial statements)
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The Company carries its Property, Plant and Equipment,
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Our audit procedures included , but were not limited to, the following:
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right-of-use assets, and intangible assets at cost less
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i) Obtained an understanding of, and evaluated the design and
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accumulated depreciation, amortisation, and impairment
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operating effectiveness of, controls over identification of impairment
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losses.
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indicators and the impairment assessment process.
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As at 31 March 2026, the Company's market capitalisation
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ii) Evaluated the appropriateness of the Company's accounting policies
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continued to be lower than the carrying amount of its
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relating to impairment of assets in accordance with Ind AS 36.
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net assets, which constituted an indicator of impairment
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iii) Assessed the appropriateness of management's identification and
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under Ind AS 36, Impairment of Assets, and triggered
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determination of the CGU, considering the nature of the Company's
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the requirement to assess the recoverable amount of the
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operations and cash inflows.
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relevant cash-generating unit (CGU).
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iv) With the involvement of our valuation specialists, evaluated the
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Management assessed the recoverable amount of the CGU
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reasonableness of key assumptions used in the DCF model,
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using a discounted cash flow (DCF) model to determine
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including projected revenues, growth rates, and discount rates,
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value in use. This assessment involves significant judgement
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with reference to historical performance, approved budgets and
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in estimating future cash flows, growth rates, and selecting
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forecasts, market data, and relevant macroeconomic indicators.
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an appropriate discount rate.
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v) Performed sensitivity analysis by varying key assumptions within
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Based on the assessment performed, the Company has
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reasonably possible ranges to assess the impact on the recoverable
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recorded impairment loss of ' 4,900 lakhs against the non-
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amount.
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financial assets during the year ended 31 March 2026 as the
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vi) Compared the carrying amount of the CGU with the estimated
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recoverable amount is lower than the carrying amount.
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recoverable amount derived from the discounted cash flow model.
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We considered this matter to be a key audit matter due
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vii) Evaluated the adequacy and appropriateness of disclosures made
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to the inherent estimation uncertainty and significant judgement involved in the impairment assessment.
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in the financial statements in respect of the impairment assessment.
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Information Other than the Financial Statements and Auditor's Report Thereon
The Company's Board of Directors is responsible for the other information. The other information comprises the information included in the Annual Report & Director's Report including Annexures to Director's 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 do 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 and, in doing so, consider whether the other information is materially inconsistent with the financial statements, or our knowledge obtained during our audit or otherwise appears to be materially misstated.
If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.
Responsibilities of Management and Those Charged with Governance for the Financial Statements
The Company's Board of Directors is responsible for the matters stated in Section 134(5) of the Act with respect to the preparation of these financial statements that give a true and fair view of the financial position, financial performance (including other comprehensive income), changes in equity and cash flows of the Company in accordance with the accounting principles generally accepted in India, including the Indian Accounting Standards specified under Section 133 of the Act. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding of 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 financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, the Management and Board of Directors are 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 the Board of Directors 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 reporting process.
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 or 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:
Ý 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.
Ý Obtain an understanding of internal financial controls 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 financial statements in place and the operating effectiveness of such controls.
Ý Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Management.
Ý 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 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.
Ý 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.
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 financial controls 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 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 financial statements of the current period and are therefore the key audit matters. We describe these matters in our Auditor's 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.
Other Matter
The comparative financial information of the Company as at and for the year ended 31 March 2025 included in these financial statements were audited by the predecessor auditor who expressed an unmodified opinion vide their Audit Report dated 20 May 2025.
Our opinion on the financial statement is not modified in respect of above matter on comparative financial information.
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 paragraphs 3 and 4 of the Order, to the extent applicable.
2. As required by Section 143(3) of the Act, we report to the extent applicable that:
(a) We have sought and 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 account as required by law have been kept by the Company so far as it appears from our examination of those books except for the matter stated in paragraph (h)(vi) below on reporting under Rule 11 (g) of the Companies (Audit and Auditors) Rules, 2014 (as amended).
(c) The Balance Sheet, the Statement of Profit and Loss (including Other Comprehensive 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) I n our opinion, the aforesaid financial statements comply with the Indian Accounting Standards specified under Section 133 of the Act.
(e) On the basis of the written representations received from the directors as on 01 April 2026 taken on record by the Board of Directors, none of the directors is disqualified as on 31 March 2026 from being appointed as a director in terms of Section 164 (2) of the Act.
(f) The modifications relating to the maintenance of accounts and other matters connected therewith are as stated in paragraph 2(b) above on reporting under section 143(3)(b) of the Act and paragraph 2(k)(vi) below on reporting under Rule 11(g) of the Companies (Audit and Auditor) Rules, 2014.
(g) With respect to the adequacy of the internal financial controls with reference to financial statements of the Company and the operating effectiveness of such controls, refer to our separate Report in 'Annexure B'.
(h) 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 by the Company to its directors during the year is in accordance with the provisions of Section 197 of the Act.
(i) 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, as amended 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 25 to the financial statements;
ii. The Company was not required to recognise a provision as at 31 March 2026 under the applicable law or Indian Accounting Standards as it does not have any material foreseeable losses on long-term contract. The Company did not have any derivative contracts as at 31 March 2026.
iii. There were no amounts which were 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 it's knowledge and belief, as disclosed in the Note 32(ii)(A) to the financial statements, 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 person(s) or entity(ies), including
foreign entities ("Intermediaries"), with the understanding, whether recorded in writing or otherwise, that the Intermediary shall, 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 it's knowledge and belief, as disclosed in the Note 32(ii)(B) to the financial statements, no funds have been received by the Company from any person(s) or entity(ies), including foreign entities ("Funding Parties"), with the understanding, whether recorded in writing or otherwise, that the Company shall, 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.
(c) Based on the audit procedures performed 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 subclause (i) and (ii) of Rule 11(e), as provided under (a) and (b) above, contain any material misstatement.
v. The dividend declared and paid by the Company during the year and until the date of this Audit Report is in accordance with Section 123 of the Act.
vi. Based on our examination, which included test checks, the Company has used an accounting software for maintaining its books of account for the financial year ended 31 March 2026, which has a feature of recording audit trail (edit log) facility and the same has operated throughout the year for all relevant transactions recorded in the software. Further, during the course of our audit we did not come across any instance of audit trail feature being tampered with.
Further, the audit trail, to the extent maintained in the prior year, has been preserved by the Company as per the statutory requirements for record retention.
For S N Dhawan & CO LLP
Chartered Accountants Firm Registration No.: 000050N/N500045
Pankaj Walia
Partner
Membership No.: 509590 UDIN: 26509590QVMDFZ3833
Place: Mumbai Date: 21 May 2026
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