(a) Term loan from Kotak Mahindra Bank Limited is secured against hypothecation of Bus no. MH 46 BM 7420. The loan is repayable in 60 equated monthly instalments of INR 55,614/- each commencing from 15th April 2021 and the last instalment is payble on 15th March 2026. Rate of Interest as on 31st March 2025 is @ 9.48% There was no continuing default in the repayment of instalment and interest thereon.
(b) Term loan from Kotak Mahindra Bank Limited is secured against hypothecation of Bus no. MH 46 CL 7668. The loan is repayable in 38 equated monthly instalments of INR 97,550/- each commencing from 20th July 2024 and the last instalment is payble on 20th August 2027 Rate of Interest as on 31st March 2025 is @ 9.30% There was no continuing default in the repayment of instalment and interest thereon.
(c) Term loan from Kotak Mahindra Bank Limited is secured against hypothecation of Bus no. MH 46 CL 9456. The loan is repayable in 38 equated monthly instalments of INR 97,550/- each commencing from 15th September 2024 and the last instalment is payble on 15th October 2027 Rate of Interest as on 31st March 2025 is @ 9.30% There was no continuing default in the repayment of instalment and interest thereon.
(a) Term loan from Kotak Mahindra Bank Limited is secured against hypothecation of Bus no. MH 46 BM 7420. The loan is repayable in 60 equated monthly instalments of INR 55,614/- each commencing from 15th April 2021 and the last instalment is payble on 15th March 2026 Rate of Interest as on 31st March 2025 is @ 9.48% There was no continuing default in the repayment of instalment and interest thereon.
(b) Term loan from Kotak Mahindra Bank Limited is secured against hypothecation of Bus no. MH 46 CL 7668. The loan is repayable in 38 equated monthly instalments of INR 97,550/- each commencing from 20th July 2024 and the last instalment is payble on 20th August 2027 Rate of Interest as on 31st March 2025 is @ 9.30% There was no continuing default in the repayment of instalment and interest thereon.
(c) Term loan from Kotak Mahindra Bank Limited is secured against hypothecation of Bus no. MH 46 CL 9456. The loan is repayable in 38 equated monthly instalments of INR 97,550/- each commencing from 15th September 2024 and the last instalment is payble on 15th October 2027 Rate of Interest as on 31st March 2025 is @ 9.30% There was no continuing default in the repayment of instalment and interest thereon.
NOTE 38: INFORMATION RELATED TO MICRO, SMALL & MEDIUM ENTERPRISES
The Company has amount due to suppliers under Micro, Small and Medium Enterprises Development Act 2006 (MSMED) as at 31st March 2025. The following information has been given in respect to such suppliers who have identified themselves as "Micro, Small & Medium Enterprises" under Micro, Small and Medium Enterprises Development Act, 2006 (MSMED) as at 31st March 2025.
There are no Micro, Small and Medium Enterprises, to whom the Company owes (principal and/or interest), which has been outstanding for more than 45 days as at the balance sheet date. There were delay in payments to Micro, Small and Medium Enterprises for more than 45 days during the year for which no provision for interest has been made. As per the management, the Company has mutual understanding with such parties for different payment terms while purchasing materials from them and the payment to them is made as per agreed terms accordingly. As per management there are no MSME registered parties with whom the Company has any dispute related to the principal or interest towards the delayed payments so happened during the year over and above the agreed terms of payment.
NOTE 39: EMPLOYEE BENEFITSA) Defined Contribution Plan
Provident Fund: The contribution to the provident fund of employees are made to a government administered provident fund and there are no further obligations beyond making such contribution.
B) Defined Benefit Plan
Gratuity: The Company participates in the employee's group gratuity-scheme of Life Insurance Corporation Limited, a funded defined benefit plan for qualifying employees. Gratuity is payable to all eligible employees on death or on separation/ termination in terms of the provisions of the Payment Of Gratuity (Amendment) Act, 1997, or as per Company's scheme whichever is more beneficial to the employees. The Company made payments for the gratuity for the year ended based on the actuarial valuation of the gratuity liability as done by the LIC and the same has been provided in the books of accounts. Payments of the Company to such gratuity fund has been considered as expenditure for the year and the fund lying with LIC under the gratuity fund is not accounted as assets as the same is towards the defined future liability of the Company.
Provident fund: The Company makes provident fund contribution to the government administered provident fund and has no further liability towards the same.
C) Amounts Recognised as Expense:
i) Defined Contribution Plan: Employer's contribution to provident fund amounting to INR 101.09 Lakhs has been included under contribution to provident funds
ii) Defined Benefit Plan: Gratuity amount payable for INR 66.93 Lakhs has been shown as payable at the year ended to the LIC gratuity fund as calculated based on actuarial valuation of the gratuity made by the Life Insurance Corporation.
NOTE 40: FINANCIAL INSTRUMENTS AND RELATED DISCLOSURES 1. CAPITAL MANAGEMENT:
The Company's financial strategy aims to support its strategic priorities and provide adequate capital to its businesses for growth and creation of sustainable stakeholder value. The Company funds its operations through internal accruals, borrowings etc. The Company aims at maintaining a strong capital base largely towards supporting the future growth of its businesses as a going concern
Level 2: Inputs other than quoted price included within level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices)
Level 3: Inputs for the assets or liabilities that are not based on observable market data (unobservable inputs).
3. FINANCIAL RISK MANAGEMENT:
The activities of the Company exposes it to a number of financial risks namely market risk, credit risk and liquidity risk. The Company seeks to minimise the potential impact of unpredictability of the financial markets on its financial performance. The Company does regularly monitor, analyse and manage the risks faced by the Company and to set and monitor appropriate risk limits and controls for mitigation of the risks.
A) Management of Market Risk: Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk companies of three type of risk interest rate risk, price risk and currency rate risk. Financial instrument affected by market risk includes borrowings and investments. The Company has international trade operations and is exposed to a variety of market risks, including currency and interest rate risks.
i) Management of interest rate risk:
Interest rate risk is the risk that the fair value of future cash flow of a financial instrument will fluctuate because of changes in market interest rates. The Company has least interest rate risk since its borrowing has mainly in fixed rate of interest which is repayable in installments for the term loan availed by it from bank.
ii) Management of currency risk:
Currency risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in foreign exchange rates. The Company has foreign currency trade receivables and payables which are exposed to foreign exchange risk. The Company mitigates the foreign exchange risk by setting appropriate exposure limits, periodiclally monitoring of the exposures etc. The exchange rates have been volatile in the recent period and may continue to be volatile in the future. Hence the operating results and financials of the Company may be impacted due to volatility of the rupee against foreign currencies.
Exposure to currency risk: The Company has exposure mainly in USD/EUR/GBP converted to functional currency i.e. INR. The Company has the following financial assets and financial liabilities as at 31st March 2025 :
iii) Management of price risk:
The Company has a risk management framework aimed at prudently managing the risk arising from the volatility in commodity prices and freight costs. The Company's commodity risk is managed centrally through well established control processes and future market position in accordance with the risk management policy. Further the Company invests its surplus funds in deposits with banks on short term tenors on fixed interest rate and the same is not exposed to any price risk. This risk is mitigated by investing the funds in various tenors depending on the liquidity needs of the Company.
B) Management of Credit Risk:
Credit risk refers to the risk of default on its obligations by a counterparty to the group resulting in a financial loss to the group. The group is exposed to credit risk from its operating activities ie trade receivable, foreign exchange transactions and financial instruments. Credit risk from trade receivables is managed through the Company's policies, procedures and controls relating to customer credit risk management by establishing credit limits, credit approvals and monitoring creditworthiness of the customers to which the group extends credit in the normal course of business. Outstanding customer receivables are regularly monitored. The group has no concentration of credit risk as the customer base is widely distributed. The group's historical experience of collecting receivables and level of default indicate that credit risk is low and generally uniform across markets consequently, trade receivables are considered to be a single class of financial assets. All overdue customer balances are evaluated taking into account the age of the dues, specific credit circumstances, the track record of the counterparty etc. Loss allowances and impairment is recognised, where considered appropriate by responsible management. The Company has receivable at the year ended where in the debtor's parties are under NCLT. The total amount of receivable from such debtors is for INR 15.40 Lakhs. The management is hopeful to receive the same therefore the same has been considered good at the year ended.
C) Management of Liquidity Risk:
Liquidity risk is the risk that the Company may not be able to meet its present and future cash obligations without incurring unacceptable losses. The Company's objective is to maintain at all times, optimum levels of liquidity to meet obligations. The Company closely monitors its liquidity position and has a cash management system. The Company maintains adequate sources of financing including debt and overdraft from banks and financial markets at optimised cost. The Company's current assets aggregate to INR 23,273.76 Lakhs (Previous year - INR 27,976.47 Lakhs) including cash and cash equivalents and other bank balances of INR 2,535.01 Lakhs (Previous year - INR 10,548.74 Lakhs) against an aggregate current liability of INR 8,044.67 Lakhs (Previous year - INR 8,080.81 Lakhs) and non-current liabilities due between one year to three years amounting to INR NIL (Previous year - NIL) and non-current liabilities due after three years amounting to INR NIL(Previous year - NIL) on the reporting date. Further, while the Company's total equity stands at INR 34,192.35 Lakhs (Previous year - INR 29,325.84 Lakhs), it has non-current borrowings of INR 32.64 Lakhs (Previous year - INR 6.34 Lakhs). In such circumstances, liquidity risk or the risk that the Company may not be able to settle or meet its obligation as they become due does not exist.
NOTE 41: DIVIDEND
The Company has declared dividend for the FY 2023-24 in the Annual General meeting of the Company held on 8th July 2024.
The dividend so declared has been accounted and adjusted during the year towards the brought forward balances of the profit
& loss account.
NOTE 42: SEGMENT INFORMATION
The segment-wise reporting is not applicable for the Company as required in accordance with Ind AS 108 for the year ended
31st March 2025.
NOTE 43: EVENTS AFTER REPORTING DATE
The Board of Directors at their Board meeting held on 30th April, 2025 have recommended final dividend of INR 0.30 per fully
paid up equity share of INR 2/- each for the financial year ended 31st March 2025, subject to approval of shareholders at ensuing
Annual General Meeting of the Company
NOTE 44: OTHER DISCLOSURES
44.1 In the opinion of the Board of Directors, the current assets are approximately of the value stated if realised in the ordinary course of business. The provisions for all known liabilities are adequate and are not in excess of the amount considered reasonably necessary. Sundry debtors and creditors balances which are not receivable or payable due to the operational reasons, has been written off or written back during the year and accounted accordingly. There are disputable receivables for INR 15.40 Lakhs for which the said parties are under NCLT. The management is of the opinion that the said amount is estimated at fair chance of the recovery and has not been identified as bad-debts or contingent recovery.
44.2 The Company has received Show Cause Notice for GST Liability of INR 7,761.30 Lakhs raised since FY 2019-20 to 2024-25 which is towards the GST refunds claimed by the Company for the Input Tax credit availed towards export of goods. The GST department has raised the said SCN under the contention that the refund so claimed under rule 89(4) & 96(10) of CGST Rules 2017 is erroneous. The Company has filed writ petition in Bombay High Court against the said Show Cause Notice. The Bombay High Court has granted interim stay and no demand has been confirmed against the said Show Cause Notice till the date of the Balance sheet and the matter is still subjudice. The Company has further received Show Cause Notice from the GST department for demand of INR 359.47 Lakhs towards the disallowance of the GST Input credit claimed for the IPO expenses. The Company has filed the reply to the GST department with required documents & explanations for allowability of the said input GST credit. GST Department has not called for any further clarification and no demand has been confirmed in the matter till the date of the Balance sheet.
44.3 Additional liability, if any, arising pursuant to respective assessment under various fiscal statutes, shall be accounted for in the year of assessment. Also interest liability for the delayed payment of the statutory dues, if any, has been accounted for in the year in which the same are being paid.
44.4 Balances of Debtors & Creditors & Loans & Advances taken & given are subject to confirmation and consequential adjustments, if any. Debtors & creditors balances has been shown separately and the advances received & paid from/to the parties is shown as advance from customers and advance to suppliers.
44.5 The Company has not traded or invested in crypto currency or virtual currency during the financial year.
44.6 As per information available, the Company has no transactions which are not recorded in the books of accounts and which are surrendered or disclosed as income during the year in the tax assessment or in search or survey or under any other relevant provisions of the Income Tax Act, 1961.
44.7 The Company does not hold any benami property and no proceedings has been initiated or pending against the Company for holding any benami property under Benami Transactions (Prohibition) Act 1988 and rules made there under.
44.8 Title deeds of all the immovable properties held by the Company are in the name of the Company. No revaluation of the property, plant and equipment and intangible assets held by the Company were done during the previous year, as the management is in the opinion that the same is not material and the same will be reviewed in the subsequent years. Further the Company is not holding any leased assets which are required to be disclosed separately.
44.9 The Company has outstanding term loan availed from Kotak Mahindra Bank at the year ended against hypothecation of vehicle and the charge for the same is duly registered with Registrar of Companies within statutory period.
44.10The Company has not been declared as willful defaulter by any bank or financial Institution or any other lender during the financial year.
44.11 The Company did not have any transactions during the year with the companies which are struck off under section 248 of the Companies Act 2013 or section 560 of the Companies Act 1956.
44.12As per the information & details available on records and the disclosure given by the management, the Company has complied with the number of layers prescribed under clause (87) of section 2 of the Companies Act read with the Companies (Restriction on number of layers) Rules 2017.
44.13 As per the information & details available on records and the disclosure given by the management, the Company has not advanced, loaned or invested to any other person or entity or foreign entities with the understanding 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 or provided any guarantee, security or like to or on behalf of the Company. Further the Company has not received any funds from any person, entity including the foreign entity with the understanding that the Company shall directly or indirectly lend, invest or guarantee, security or like manner on behalf of the funding party.
44.14There are no amounts due to be credited to Investor Education and Protection Fund in accordance with section 125 of the Companies Act, 2013 as at the year end.
44.15The Company has overdue receivables against the export realisation of goods for INR equivalent to 5,337.13 Lakhs due to various business reasons. As per the information available and as intimated by the management, the Company is in process of availing extension from RBI through its authorised dealers for the overdue realisations however till the date of the balance sheet such extension has not been made.
44.16The Company's fixed assets & investments which has been impaired and has become non useful to the Company has been recognised to the profit & loss account for the value over and above the recovered value of such assets and investments.
44.17 With respect to disclosures pursuant to Section 186 (4) of the Companies Act, 2013 the Company has not given any amount in the nature of loan nor has provided any guarantee or security to any entity in connection with loan during the year. The Company has made investment in a wholly owned Indian subsidiary during the year. Further the investment in foreign subsidiary has been impaired and has been recognised to the profit & Loss account during the year as the said foreign subsidiary has been struck off and become non operational during the period.
44.18No scheme of arrangement has been approved by the competent authority in terms of sections 230 to 237 of the Companies Act, 2013.
NOTE 45
All amounts disclosed in the financial statements and notes have been rounded off to the nearest Lakhs and decimal thereof
as per the requirements of schedule III to the companies act, 2013, unless otherwise stated.
NOTE 46
The financial statements has been authorised for issue by the Board of directors on dated 30th April 2025
NOTE 47
Previous year's figures have been regrouped/reclassified wherever necessary to correspond with the current year's classification/
disclosure
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