k. Provision, Contingent Liabilities &
Contingent Assets
Provisions are recognized when the Company has a
present obligation (legal or constructive), as a result
of past events, for which it is probable that an outflow
of economic benefits will be required to settle the
obligation and a reliable estimate can be made for
the amount of the obligation.
If the effect of the time value of money is material,
provisions are measured on a discounted basis to
reflect its present value using a current pre-tax rate
that reflects the current market assessments of the
time value of money and the risks specific to the
obligation. When discounting is used, the increase in
the provision due to the passage of time is recognised
as a finance cost.
A contingent liability is a possible obligation that
arise from past events whose existence will be
confirmed by the occurrence or non-occurrence of
one or more uncertain future events beyond the
control of the company or a present obligation that
is not recognised because it is probable that an
outflow of resources will not be required to settle the
obligation. However, if the possibility of outflow of
resources, arising out of present obligation, is remote,
it is not even disclosed as contingent liability. The
company does not recognize a contingent liability
but discloses its existence in the financial assets.
Contingent assets are neither recognized nor
disclosed in the financial statements.
l. Revenue Recognition
The Company manufactures and sells a range of
chemicals and other products.
Revenue from sale of goods is recognized when
significant risks and rewards of ownership are
transferred to the buyer, there is no continuing
managerial involvement with the goods and the
amount of revenue can be measured reliably, which
coincides with the date of dispatch/bill of lading.
The Company retains no effective control of the
goods transferred to a degree usually associated
with ownership and no significant uncertainty exists
regarding the amount of the consideration that will
be derived from the sale of goods.
The Company does not expect to have any contracts
where the period between the transfer of the
promised goods or services to the customer and
payment by the customer exceeds one year. As a
consequence, it does not adjust any of the transaction
prices for the time value of money.
Revenue is measured at fair value of the consideration
received or receivable includes freight, wherever
applicable and is net of trade discounts, volume
rebates and GST.
Export incentives under various schemes are
accounted in the year of export.
Revenue from technical services recognized on the
basis of milestones for rendering services as per the
agreement.
Interest income is recognized on time apportionment
basis. Effective interest rate (EIR) method is used to
compute the interest income on long term loans
and advances. Interest income from a financial asset
is recognised when it is probable that the economic
benefits will flow to the Company and the amount of
income can be measured reliably.
Dividend income on investments is recognised when
the right to receive dividend is established.
m. Employee Benefits
i. Defined Contribution Plans
Contributions to defined contribution schemes such
as employees’ state insurance, labour welfare fund,
superannuation scheme, employee pension scheme
etc. are charged as an expense based on the amount
of contribution required to be made as and when
services are rendered by the employees. Eligible
employees receive benefits from a provident fund,
which is a defined contribution plan to the Trust/
Government administered Trust. Both the employee
and the company make contribution to the Amines
Plasticizers Limited Employees’ provident Fund
Trust/Government administered Trust equal to the
specified percentage of the covered employee’s
salary. Company also contributes to a Government
administered pension fund on behalf of its
employees.
ii. Defined Contribution Plans
The Company also provides for retirement benefits
in the form of gratuity and compensated absences
to the employees Company.
For defined benefit plans, the amount recognised
as ‘Employee benefit expenses’ in the Statement
of Profit and Loss is the cost of accruing employee
benefits promised to employees over the year and
the costs of individual events such as past/future
service benefit changes and settlements (such
events are recognised immediately in the Statement
of Profit and Loss). Any changes in the liabilities over
the year due to changes in actuarial assumptions
or experience adjustments within the plans, are
recognised immediately in ‘Other comprehensive
income’ and subsequently not reclassified to the
Statement of Profit and Loss.
The defined benefit plan surplus or deficit on the
Balance Sheet comprises the total for each plan of
the fair value of plan assets less the present value of
the defined benefit liabilities (using a discount rate
by reference to market yields on government bonds
at the end of the reporting period).
All defined benefit plans obligations are
determined based on valuations, as at the Balance
Sheet date, made by independent actuary using the
projected unit credit method. The classification of
the Company’s net obligation into current and non¬
current is as per the actuarial valuation report.
Liability for balance leave encashment/entitlement
is provided on the basis of actuarial valuation at the
year end.
n. Taxation
Income tax expense for the year comprises of
current tax and deferred tax. It is recognised in the
Statement of Profit and Loss except to the extent
it relates to a business combination or to an item
which is recognized directly in equity or in other
comprehensive income.
Current Tax
Current tax is tax expected tax payable on the taxable
income for the year, using the tax rate enacted at
the reporting date, and any adjustment to the tax
payable in respect of the earlier periods. Taxable
profit differs from the net profit as reported in the
statement of profit and loss because it excludes items
of income or expense that are taxable or deductible
in other years and it further excludes items that are
never taxable or deductible.
Current tax assets and current tax liabilities are offset
when there is a legally enforceable right to set off
the recognised amounts and there is an intention to
settle the asset and the liability on a net basis.
Deferred Tax
Deferred tax is recognised in respect of temporary
differences between the carrying amount of assets
and liabilities for financial reporting purposes and the
corresponding amounts used for taxation purposes.
A deferred tax liability is recognised based on the
expected manner of realisation or settlement of
the carrying amount of assets and liabilities, using
tax rates enacted, or substantively enacted, by the
end of the reporting period. Deferred tax assets are
recognised only to the extent that it is probable that
future taxable profits will be available against which
the asset can be utilised. Deferred tax assets are
reviewed at each reporting date and reduced to the
extent that it is no longer probable that the related
tax benefit will be realised.
Deferred tax assets and deferred tax liabilities are
offset when there is a legally enforceable right to set
off current tax assets against current tax liabilities;
and the deferred tax assets and the deferred tax
liabilities relate to income taxes levied by the same
taxation authority.
MAT credit entitlement is recognized and carried
forward only if there is a reasonable certainty of it
being set off against regular tax payable within the
stipulated statutory period.
o. Earnings Per Share
Basic earnings per share is computed by dividing
the net profit for the year attributable to equity
shareholders of the Company by the weighted-
average number of equity shares outstanding
during the year. The weighted-average number
of equity shares outstanding during the year and
for all years presented is adjusted for events such
as bonus issue; bonus element in a rights issue to
existing shareholders; share split; and reverse share
split (consolidation of shares) that have changed
the number of equity shares outstanding, without a
corresponding change in resources.
For the purpose of calculating diluted earnings per
share, the net profit or loss for the year attributable
to equity shareholders and the weighted-average
number of shares outstanding during the year are
adjusted for the effects of all dilutive potential equity
shares.
p. Foreign Currency Transactions and
Translation
The financial statements are presented in Indian
Rupees (INR), which is the functional currency of
the Company and the presentation currency for the
financial statements.
Transactions in foreign currencies are recognized
at the prevailing exchange rates on the transaction
dates. Realized gains and losses on settlement of
foreign currency transactions are recognized in the
Statement of Profit and Loss.
Foreign currency monetary items (assets and
liabilities) at the year- end are translated at the year-
end exchange rates and the resultant exchange
differences are recognized in the Statement of Profit
and Loss.
Non-monetary items that are measured in terms
of historical cost in a foreign currency are recorded
using the exchange rates at the date of the
transaction. Non-monetary items measured at fair
value in a foreign currency are translated using the
exchange rates at the date when the fair value was
measured. The gain or loss arising on translation of
non-monetary items measured at fair value is treated
in line with the recognition of the gain or loss on
the change in fair value of the item (i.e., translation
differences on items whose fair value gain or loss is
recognised in OCI or Statement of Profit and Loss
are also recognised in OCI or Statement of Profit and
Loss, respectively).
q. Recent Accounting Developments
Mentioned below are the new and amended
standards as notified by the Ministry of Corporate
Affairs (MCA), which are effective for annual periods
beginning on or after April 01, 2025. The Company
has not early adopted any standard, interpretation
or amendment that has been issued but is not yet
effective.
(i) Amendments to Ind AS 21 - Lack of
exchangeability:
The Ministry of Corporate Affairs (MCA) notified
the Companies (Indian Accounting Standards)
Amendment Rules, 2025, which amend Ind AS
21, The Effects of Changes in Foreign Exchange
Rates to specify how an entity should assess
whether a currency is exchangeable and how it
should determine a spot exchange rate when
exchangeability is lacking. The amendments also
require disclosure of information that enables users
of its standalone financial statements to understand
how the currency not being exchangeable into the
other currency affects, or is expected to affect, the
entity’s financial performance, financial position
and cash flows. The amendments are effective for
annual reporting periods beginning on or after April
01, 2025. When applying the amendments, an
entity cannot restate comparative information. The
amendments do not have a material impact on the
Company’s standalone financial statements.
(ii) Amendments to Ind AS 1:
Classification of Liabilities as Current or Non¬
current and Noncurrent Liabilities with Covenants
In August 2025, the MCA notified amendments
to paragraphs 69 to 76 of Ind AS 1 to specify the
requirements for classifying liabilities as current
or noncurrent. The amendments are effective for
annual reporting periods beginning on or after April
01, 2025 retrospectively in accordance with Ind AS
8. The amendments have not resulted in additional
disclosures and have not had an impact on the
classification of the Company’s liabilities.
(iii) Amendments to Ind AS 12:
International Tax Reform Pillar Two Model Rules In
August 2025, the MCA notified amendments to Ind
AS 12 Income Taxes in response to the OECD’s BEPS
Pillar Two rules and include: A mandatory temporary
exception to the recognition and disclosure of
deferred taxes arising from the jurisdictional
implementation of the Pillar Two model rules; and
Disclosure requirements for affected entities to
help users of the standalone financial statements
better understand an entity’s exposure to Pillar
Two income taxes arising from that legislation,
particularly before its effective date. The mandatory
temporary exception - the use of which is required
to be disclosed - applies immediately. The remaining
disclosure requirements apply for annual reporting
periods beginning on or after April 01, 2025, but not
for any interim periods ending on or before March
31, 2026. The amendments had no impact on the
Company’s standalone financial statements as the
Company is not in scope of the Pillar Two model
rules.
(iv) Standards notified but not yet effective:
There are no standards that are notified and not yet
effective as on the date.
Note:
The Authorized Share Capital of the Company stands increased after adding the Authorized Share Capital of
APL Engineering Services Pvt Ltd (wholly owned subsidiary Company, which now stands amalgamated) with
the Company pursuant to the Order of Amalgamation dated 22nd March 2017 passed by the Hon. National
Company Law Tribunal, Guwahati Bench, Assam.
13.1 Right, Preference and Restrictions attached to Equity Shares
The Company has only one class of equity shares having par value of ^ 2 per share. Each Shareholder is
entitled to one vote per share. In the event of liquidation of the Company the holder of equity shares will be
entitled to receive any of the remaining assets of the Company after distribution of all preferential payments.
However, no such preferential amount exists currently. The distribution will be in proportion to the number of
equity shares held by the shareholders.
The dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuring
Annual General Meeting, The Board of Directors at their Meeting held on May 28, 2026 has recommended a
final Dividend of 25% (50 paise per share of Face Value ^ 2/- each) for the year ended March 31, 2026.
Note 1: During the year 2022-23 GST Department disallowed Input Credit of GST claimed by the company
on procurement of Goods and services from few suppliers, which in the opinion of the Company (based on
legal advice) is allowable. The Company paid ^ 2533.56 Lakhs under protest and filed refund application and
litigating the matter before the Honorable Bombay High Court.
Sensitivity analysis of 1% change in assumption used
Significant Actuarial Assumptions for the determination of the defined benefit obligation are discount rate,
expected salary increase and employee turnover. The sensitivity analysis below, have been determined based
on reasonable possible changes of the assumptions occurring at end of the reporting period, while holding
all other assumptions constant. Furthermore in presenting the below sensitivity analysis, the present value
of the defined benefit obligations has been calculated using the Projected Unit Credit Method at the end of
the reporting period, which is the same as that applied in calculating the defined benefit obligation liability
recognised in the Balance Sheet.
II. Leave Encashment
The Company permits encashment of compensated absence accumulated by their employees on retirement,
separation and during the course of service. The liability in respect of the Company, for outstanding balance
of leave at the balance sheet date is determined and provided on the basis of actuarial valuation as at the
balance sheet date performed by an independent actuary. The Company doesn’t maintain any plan assets to
fund its obligation towards leave encashment. Leave encashment for the year is ^ 58.30 lakhs (Previous year
^ 46.63 lakhs) charged to the statement of profit and loss.
37. The NCLT Guwahati Bench vide its Order dated March 22, 2017 has sanctioned the Scheme of
Amalgamation of APL Engineering Services Pvt. Ltd. wholly owned Subsidiary of the Company with the
Appointed date April 01, 2016.
39 SEGMENT INFORMATION
The Company is engaged in the business of Chemical manufacturing, considering its business activities and
reviewed by the Chairman and Managing Director to make decisions about resources to be allocated to the
segment and assess its Performance. Accordingly, the Company has only one business segment.
40 CAPITAL RISK MANAGEMENT
The Company manages its capital so as to safeguard its ability to continue as a going concern and to optimise
returns to shareholders through the optimisation of the debt and equity balance.The capital structure of the
Company consists of net debt (borrowings less cash and cash equivalents, other bank balances (including
non-current earmarked balances)).The management and the Board of Directors monitors the return on
capital to shareholders. The Company may take appropriate steps in order to maintain, or if necessary adjust,
its capital structure.
41 FINANCIAL INSTRUMENTS AND RISK REVIEW
Financial Risks Management Framework
The Company’s business activities are exposed to a variety of financial risks, namely Liquidity Risk, Currency
Exchange Risk, Interest Rate Risk, Credit Risk and Commodity Price Risk. The Company’s management
and the Board of Directors has the overall responsibility for establishing and governing the Company’s risk
management framework. The risk management framework works at various levels in the enterprise. The
organization structure of the Company helps in identifying, preventing and mitigating risks by the concerned
operational Heads under the supervision of the Chairman & Managing Director. The risk management
framework is reviewed periodically by the Board and the Audit Committee keeping a check on overall
effectiveness of the risk management of the Company.
Credit Risk
Credit Risk is the risk of financial loss to the Company if a customer or counter-party fails to meet its contractual
obligations. Financial instruments that are subject to credit risk principally consist of trade receivables,
investments, loans, cash and cash equivalents, other balances with banks and other financial assets. None of
the financial instruments of the Company result in material credit risk.
Credit risk with respect to trade receivables are limited, due to the Company has a policy of dealing only
with credit worthy counter parties, where appropriate as a means of mitigating the risk of financial loss
from defaults. All trade receivables are reviewed and assessed for default on a quarterly basis. Our historical
experience of collecting receivables is that credit risk is low. Hence, trade receivables are considered to be a
single class of financial assets.
The Company measures the expected credit loss of trade receivables and loan from individual customers
based on historical trend, industry practices and the business environment in which the entity operates. Loss
rates are based on actual credit loss experience and past trends. based on the historical data, loss on collection
of receivables is not material hence no additional provision considered.
Credit risk on cash and cash equivalents, other bank balances with bank are insignificant as the Company
generally invest in deposits with banks. Investments primarily investments in government securities.
The Company’s maximum exposure to credit risk as at 31st March, 2026 and 2025 is the carrying value of
each class of financial assets.
Foreign Currency Risk
The Company is subject to the risk that changes in foreign currency values impact the Company’s exports
revenue and imports of raw material and property, plant and equipment. As at 31st March, 2026, the net
unhedged exposure to the Company on holding assets (trade receivables and capital advances) and liabilities
(trade payables and capital creditors) other than in their functional currency is as under.
Interest Rate Risk
Interest rate risk is measured by using the cash flow sensitivity for changes in variable interest rates. Any
movement in the reference rates could have an impact on the Company’s cash flows as well as costs. The
Company is subject to variable interest rates on some of its interest bearing liabilities. The Company’s interest
rate exposure is mainly related to borrowing obligations.
Commodity Price Risk
The main raw materials which the Company procures are to a great extent linked to the movement of crude
prices directly or indirectly.The pricing policy of the Company final product is structured in such a way that
any change in price of raw materials is passed on to the customers in the final product however, with a time
lag which mitigates the raw material price risk.
Liquidity risk
Liquidity Risk arises when the company is unable to meet its short term financial obligations as and when
they fall due. The company maintains adequate liquidity in the system so as to meet its all financial liabilities
timely. In addition to this, the company’s overall financial position is very strong so as to meet any eventuality
of liquidity tightness.
Financial Instruments
Fair value measurement hierarchy
The fair value of financial instruments as below have been classified into three categories depending on the
inputs used in the valuation technique. The hierarchy gives the highest priority to quoted prices in active
markets for identical assets or liabilities (Level 1 measurements) and lowest priority to unobservable inputs
(Level 3 measurements).
The categories used are as follows:
Level 1: Quoted prices (unadjusted) in active markets for identical assets or liabilities.
Level 2: Inputs other than the quoted prices included within Level 1 that are observable for the asset or
liability, either directly or indirectly.
Level 3: Inputs which are not based on observable market data.
Valuation
The fair values of the financial assets and liabilities are defined as the price that would be received to sell an
asset or paid to transfer a liability in an orderly transaction between market participants at the measurement
date. Methods and assumptions used to estimate the fair values are consistent.
Financial assets and liabilities measured at fair value as at Balance Sheet date:
The fair value of investment in quoted Equity Shares is measured at quoted price.
The fair value of the remaining financial instruments is determined using discounted cash flow analysis.
43 EVENTS AFTER THE REPORTING
PERIOD
The Board of Directors have recommended dividend
of ^ 0.50 per fully paid up equity share of ^ 2/- each,
aggregating ^ 275.10 Lacs for the financial year
2025-26, subject to approval of shareholders at the
Annual General Meeting.
44 INVESTMENT IN RADIANCE MH
SUNRISE SIX PVT LTD (SPV)
The Management in its constant endeavour to reduce
power cost and to explore sources of alternate energy
had identified one proposal of investing in Solar power
producing companies. Accordingly, The Company
had invested in RMHSSPL, one such company which
is engaged in the production of alternate energy
and supplying the same to MSDCL which in turn
supply the power to Investing company at an agreed
concessional rates. This arrangement is facilitated by
the State Govt and one of the terms of Venture is that
the Recipient of power must invest min 26% equity
in the power producing company(SPV) to avail this
benefit of power at reduced rate. The Company has
therefore acquired 26% equity stake in Radiance
MH Sunrise Six Pvt Ltd (SPV) pursuant to a Statutory
State Government mandate for forming/investing in
such a Special Purpose Vehicle. The Company neither
has significant influence over this company nor any
participative rights in the Management of the said
Company. In aedition profit/loss of the said SPV is
insignificant and does not in any way impact the
financials of the Company. In view thereof, Radiance
MH Sunrise Six Pvt Ltd had not been considered as
an associate company for consolidation purpose as it
is a pure investment activity in the said Company to
obtain Power at a concessional rate.
45 OTHER STATUTORY INFORMATION
(i) The company does not have any Benami
property, where any proceeding has been
initiated or pending against the Company for
holding any Benami property.
(ii) The company does not have any transactions
with companies struck off.
(iii) The company does not have any changes or
satisfaction which is yet to be registred with
ROC beyond the statutory period.
(iv) The company have not traded or invested in
Crypto currency or Virtual currency during the
financial year.
(v) The Company has not been declared wilful
defaulter by any bank of financial institution or
government or any government authorty.
46 The Government of India has notified the four
Labour Codes - The Code on Wages, 2019, The Code
on Social Security, 2020, The Industrial Relations
Code, 2020 and the Occupational Safety, Health
and Working Conditions Code, 2020 (collectively
referred to as the "New Labour Codes"). The said
New Labour Codes were effective from November 21, 2025. The Company has evaluated the incremental
liability and the same is not material to the financial statements. The Company continues to monitor the
finanlisation of Central/State Rules and clarifications from the Government on other aspects of the Labour
Code and would provide appropriate accounting effect on the basis of such developments as needed.
47 The Financial Statements were approved for issue by the Board of Directors on 28th May 2026.
48 The Company has used an accounting software for maintaining its books of account 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 accounting software. Also the audit trail is not disabled /tampered. Further, the
audit trail (edit log) is preserved as per provisions of the Companies Act.
49 Figures of previous year have been regrouped/rearranged, wherever considered necessary to conform
to the current year's presentation.
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