We have audited the accompanying Standalone
financial statements of M/s. ROX Hi-Tech Limited
("the Company") (Formerly known as ROX
Trading and Systems Private Limited) which
comprises the Balance Sheet as at March 31, 2025,
the Statement of Profit and Loss, and statement
of cash flows for the year then ended and notes
to the financial statements, including a summary
of significant 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 standalone financial statements give the
information required by the Companies' Act,2013
("Act"), in the manner so required and give a true
and fair view in conformity with the accounting
principles generally accepted in India, of the state of
affairs of the Company as at March 31, 2025, its profit/
tess and cash flows for the year ended on that date.
Basis for Opinion
We conducted our audit in accordance with the
Standards on Auditing (SAs) specified under section
143(10) of the Companies Act, 2013. 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
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 Code of Ethics. We believe that
the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our opinion.
Key Audit Matters
Key audit matters are those matters that, in our
professional judgement, were of most significance in our
audit of the standalone financial statements of the current
period. These matters were addressed in the context of
our audit of the standalone 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 Matters
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How was the matter addressed in our Audit
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Trade Payables
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At 31 March 2025, the total trade
payable balances included in
Note No.9 was Rs.2889.33 Lacs
(Previous Year: Rs. 2716.72 Lacs).
For the year ended March 31,
2025 letters seeking confirmation
of balance/statement of
account were sent to vendors.
Independent confirmations were
received from a few parties and
necessary adjustments, if any,
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Our audit procedures in relation to trade payables included:
Ý Obtaining an understanding of and assessing the design, implementation
and operating effectiveness of key internal controls over the existence and
performance of Procurement activities;
Ý Selecting a sample of items of procurements made during the year
ended 31st March 2025 and inspected underlying documentation to assess
the Occurrence, Completeness, Authorization, Accuracy, Cut off and
classification;
Ý Obtaining confirmations and / or account statements from selected
accounts payables and reconciling to the vendor accounts;
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were made.
Accordingly, it has been
determined as a key audit matter.
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We assessed and validated the ageing profile of trade payables;
Confirmations have been sought from vendors and wherever received, the
necessary adjustments required, if any, have been made. In respect of others,
balance as per Books of Account has been adopted and no adjustments have
been proposed.
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Key Audit Matters
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How was the matter addressed in our Audit
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Trade Receivables:
At 31 March 2025, the total
receivable balances net of
provisions included in Note 16
was Rs. 7408.77 Lacs (Previous
Year: Rs.5386.47 Lacs).
For the year ended March 31, 2025
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Our audit procedures in relation to trade receivables included:
Ý We assessed and validated the ageing profile of trade receivables;
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Ý We assessed recoverability on a sample basis by reference to cash
received subsequent to year-end and issue of credit notes post
year-end, as necessary;
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letters seeking confirmation of
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Ý Obtaining confirmations and / or account statements from selected
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balance/statement of account
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customers and reconciling to the general ledger accounts;
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were sent to selected customers.
Independent confirmations were
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Ý We considered the appropriateness of judgements regarding provisions
for trade receivables and assessed whether these provisions were
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received from a few parties and
necessary adjustments, if any,
were made.
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calculated in accordance with the Company's provisioning policies and
/ or whether there was evidence of management bias in provisioning,
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obtaining supporting evidence as necessary.
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Accordingly, it has been
determined as a key audit
matter.
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Confirmations have been sought from customers and wherever received,
the necessary adjustments required, if any, have been made. In respect
of others, balance as per the books of account has been retained and
necessary adjustments were made in these Financial Statements for doubtful
cases based on subsequent collections. Hence no further adjustments are
warranted. However the management should take necessary steps to ensure
100% compliance with regard to third party direct confirmations.
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Based upon the above, we satisfied ourselves that management has taken
reasonable judgements that were materially supported by the available
evidence in respect of the relevant receivable balances and also for doubtful
recovery the provision has been provided. We did not encounter any issues
through these audit procedures that indicated that provisioning in respect of
trade receivables was inappropriate.
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Valuation of Inventories
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The Company has Significant
Inventory balance of Rs. 5183.91
lacs as of March 31,2025.
According to the Significant
Accounting Policy, the inventory
is valued at the lower of cost or
net realizable value.
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Our audit procedures related to valuation of inventories included:
Ý Evaluating the appropriateness of the accounting policies applied in
relation to Accounting standards.
Ý Testing of controls over inventory management and valuation.
Ý Performingsubstantiveauditproceduresinordertotesttheappropriateness
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of inventory valuation at the lower of cost or net realisable value as at
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Inventory management, physical
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reporting date by testing on a sample basis the relevant components
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verification routines and costing
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related to valuation.
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of inventories are underlying key
factors in determining the value
of inventories.
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In addition, we have assessed the appropriateness of the Group's disclosures
in respect of inventory valuation.
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Information Other than the Financial Statements
and Auditor’s Report Thereon:
The Company's Board of Directors is responsible for
other information. The other information comprises the
information included in the financial highlights, board'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 in the audit or otherwise
appears to be materially misstated. If, based on
the work we 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.
Responsibility of Management for the
Standalone Financial Statements
The Company's Board of Directors is responsible for
the matters stated in section 134(5) of the Companies
Act, 2013 ("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, and cash flows of the Company in
accordance with the accounting principles generally
accepted in India, including the 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 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 statement that give a true and fair view
and are free from material misstatement, whether due
to fraud or error.
In preparing the 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.
Those Board of Directors are also responsible for
overseeing the company's financial reporting process
Auditor’s Responsibility 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 judgement and maintain professional
skepticism throughout the audit.
We also:
Ý Identify and assets the risks of material
misstatements, 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 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 system 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 management.
Ý Conclude on the appropriateness of the
management's 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 continue
as 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 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 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 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.
Report on Other Legal and Regulatory Requirements
1. As required by the Companies (Auditor's Report)
Order, 2016 ("the Order"), issued by the Central
Government of India in terms of sub-section (11)
of section 143 of the Companies Act, 2013, we give
in the "Annexure 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 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
c) The Balance Sheet, the Statement of Profit
and Loss, and the Cash Flow Statement dealt
with by this Report are in agreement with the
books of account.
d) In our opinion, the aforesaid standalone financial
statements comply with the Accounting
Standards specified under Section 133 of
the Act, read with Rule 7 of the Companies
(Accounts) Rules, 2014.
e) On the basis of the written representations
received from the directors as on 31st March, 2025
taken on record by the Board of Directors, none of
the directors is disqualified as on 31st March, 2025
from being appointed as a director 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 matter to be included in the
Auditors' Report under Section 197(16) of the Act,
as amended, we report that, 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 period is in accordance with the provisions of
section 197 read with Schedule V to 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 no pending litigations
which has impact on its financial position.
(ii) The Company did not have any long-term
contracts including derivative contracts
for which there were any material
foreseeable losses.
(iii) There were no amounts which were required
to be transferred to the Investor Education
and Protection Fund by the Company.
(iv) A) Management has represented that,
to the best of its knowledge and
belief, other than as disclosed in the
notes to the accounts, 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(is), 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) Management has represented that,
to the best of its knowledge and
belief, other than as disclosed in
the notes to the accounts, 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,
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
adopted by us, nothing has come
to our notice that has caused us
to believe that the representations
made by the management under
sub clause (a) and (b) above, contain
any material misstatement.
(v) No Dividend declared or paid during the
year by the Company.
(vi) Based on our examination, which included
test checks, the Company has used
accounting software for maintaining its
books of account for the financial year
ended March 31, 2025 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 the audit trail feature being tampered
with. Additionally, the audit trail has been
preserved by the Company as per the
statutory requirements for record retention.
For Krishaan & Co.,
Firm Reg.No. 001453S
Chartered Accountants
K Sundarrajan
Partner
Place: Chennai M.No. 208431
Date: May 28,2025 UDIN : 25208431BMIFTF1473
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