r. Provisions (other than employee benefits)
Provisions are recognised when the Company has a present obligation (legal or constructive) as a result of a past event, it is
probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable
estimate can be made of the amount of the obligation. If the effect of the time value of money is material, provisions are
discounted at a current pre-tax rate that reflects the risks specific to the liability. When discounting is used, the increase
in the provision due to the passage of time is recognised as a finance cost.
The amortisation or “unwinding” of the discount applied in establishing the provision is charged to the income statement
in each accounting period. The amortisation of the discount is shown within finance costs in profit or loss.
s. Current and non-current classification
The Company presents assets and liabilities in the balance sheet based on current / non-current classification.
An asset is classified as current when it satisfies any of the following criteria:
- it is expected to be realized in, or is intended for sale or consumption in, the Company's normal operating cycle.
- it is held primarily for the purpose of being traded;
- it is expected to be realized within 12 months after the reporting date; or
- it is cash or cash equivalent unless it is restricted from being exchanged or used to settle a liability for at least 12
months after the reporting date.
All other assets are classified as non-current.
A liability is classified as current when it satisfies any of the following criteria:
- it is expected to be settled in the Company's normal operating cycle;
- it is held primarily for the purpose of being traded;
- it is due to be settled within 12 months after the reporting date; or
- the Company does not have an unconditional right to defer settlement of the liability for at least 12 months after the
reporting date. Terms of a liability that could, at the option of the counterparty, result in its settlement by the issue of
equity instruments do not affect its classification.
All other liabilities are classified as non-current.
Deferred tax assets and liabilities are classified as non current only.
t. Contingent Liabilities
Contingent liabilities are disclosed when there is a possible obligation arising from past events, the existence of which
will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events not wholly within the
control of the Company or a present obligation that arises from past events where it is either not probable that an outflow
of resources will be required to settle the obligation or a reliable estimate of the amount cannot be made. The material
accounting policies adopted in preparation of standalone financial statements has been disclosed as below. All accounting
policies has been consistently applied to all the period presented in the standalone financial statements unless otherwise
stated. Provisions, contingent liabilities and contingent assets are reviewed at each reporting date.
u. Events after the reporting date
If the Company receives information after the reporting period, but prior to the date of approved for issue, about conditions
that existed at the end of the reporting period, it will assess whether the information affects the amounts that it recognises
in its consolidated financial statements. The Company will adjust the amounts recognised in its financial statements to
reflect any adjusting events after the reporting period and update the disclosures that relate to those conditions in light
of the new information. For non-adjusting events after the reporting period, the Company will not change the amounts
recognised in its consolidated financial statements, but will disclose the nature of the non-adjusting event and an estimate
of its financial effect, or a statement that such an estimate cannot be made, if applicable.
v. Climate related matters
The Company considers climate-related matters in estimates and assumptions, where appropriate. This assessment
includes a wide range of possible impacts on the Company due to both physical and transition risks. Even though the
Company believes its business model and products will still be viable after the transition to a low-carbon economy,
climate-related matters increase the uncertainty in estimates and assumptions underpinning several items in the financial
statements. Even though climate-related risks might not currently have a significant impact on measurement, the
Company is closely monitoring relevant changes and developments, such as new climate-related legislation. The items
and considerations that can be impacted by climate-related matters are:
Ý Useful life of property, plant and equipment.
Ý Impairment of non-financial assets.
Ý Fair value measurement.
Ý Decommissioning liability.
w. Risk of tariff imposition
The management has evaluated the likely impact of prevailing uncertainties relating to imposition or enhancement of
reciprocal tariffs and believes that there are no material impacts on the financial statements of the Company for the year
ended March 31, 2025. However, the management will continue to monitor the situation from the perspective of potential
impact on the operations of the Company.
The preparation of financial statements in conformity with the recognition and measurement principles of Ind AS requires
management of the Company to make estimates and judgements that affect the reported balances of assets and liabilities,
disclosures of contingent liabilities as at the date of financial statements and the reported amounts of income and expenses
for the periods presented. Estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting
estimates are recognised in the period in which the estimates are revised, and future periods are affected.
The Company uses the following critical accounting judgements, estimates and assumptions in preparation of its
financial statements:
a. Defined Benefit Plans - The cost of the employment benefits such as gratuity and leave obligation are determined using
actuarial valuations. An actuarial valuation involves making various assumptions that may differ from actual developments
in the future. These include the determination of the discount rate, future salary increases and mortality rates. Due to the
complexities, involved in the valuation and its long-term nature, a defined benefit obligation is highly sensitive to changes
in these assumptions. All assumptions are reviewed at each reporting date.
Further details about gratuity obligations are given in note no. 32.
b. Useful lives of depreciable/ amortisable assets - Management reviews its estimate of the useful lives of depreciable/
amortisable assets at each reporting date, based on the expected utility of the assets. Uncertainties in these estimates
relate to technical and economic obsolescence that may change the utility of certain software, customer relationships, IT
equipment and other plant and equipment (Refer Note No.3).
c. Significant judgments when applying Ind AS 115 - Revenue is recognised upon transfer of control of promised
products or services to customers in an amount that reflects the consideration which the Company expects to receive
in exchange for those products or services. The application of revenue recognition accounting standards is complex and
involves a number of key judgements and estimates. Revenue is measured based on the transaction price, which is the
consideration, adjusted for volume discounts, price concessions and incentives, if any, as specified in the contract with the
customer/dealer. The Company makes estimates related to customer performance and sales volume to determine the total
amounts earned and incentive to be recorded as deductions (Refer Note No.24).
d. Recognition of current tax and deferred tax - The Company uses judgements based on the relevant rulings in the
areas of allocation of revenue, costs, allowances, and disallowances which is exercised while determining the provision for
income tax. Deferred income tax expense is calculated based on the differences between the carrying value of assets and
liabilities for financial reporting purposes and their respective tax basis that are considered temporary in nature. Valuation
of deferred tax assets is dependent on management's assessment of future recoverability of the deferred benefit. Expected
recoverability may result from expected taxable income in the future, planned transactions or planned tax optimizing
measures. Economic conditions may change and lead to a different conclusion regarding recoverability (Refer Note No.7
and 23).
e. Provision for expected credit losses of trade receivables and contract assets - The Company uses a provision matrix
to calculate ECLs for trade receivables and contract assets. The provision rates are based on days past due for Comparing
of various customer that have similar loss patterns. The provision matrix is initially based on the Company's historical
observed default rates. The Company will calibrate the matrix to adjust the historical credit loss experience with forward¬
looking information. At every reporting date, the historical observed default rates are updated and changes in the forward¬
looking estimates are analysed.
The assessment of the correlation between historical observed default rates, forecast economic conditions and ECLs is a
significant estimate. The amount of ECLs is sensitive to changes in circumstances and of forecast economic conditions. The
Company's historical credit loss experience and forecast of economic conditions may also not be representative of customer's
actual default in the future.
Standards notified but not yet effective
The new and amended standards that are notified by the Ministry of Corporate Affairs (MCA), but not yet effective, up to the
date of issuance of the Company's financial statements are disclosed below. The Company will adopt these new and amended
standards, when they become effective.
Amendments to Ind AS 1 - Classification of Liabilities as Current or Non-current and Non-current Liabilities with Covenants
and Ind AS 10 Events after the Reporting Period
Ind AS 10 has been amended to remove the previous treatment under which a lender's post reporting date waiver granted
before the financial statements were approved for issue of a breach of a material covenant in a long term loan arrangement that
occurred on or before the end of the reporting period, resulting in the liability becoming payable on demand at the reporting
date, was regarded as an adjusting event.
For annual reporting periods beginning on or after April 01, 2026, any breach of a covenant whether material or immaterial
occurring on or before the reporting date will, in accordance with Ind AS 1, require the related liability to be classified as
current, unless the lender has granted a waiver of the breach on or before the reporting date and has agreed not to demand
repayment for at least 12 months after the reporting date as a consequence of the breach. Such a waiver shall be treated as an
adjusting event.
The amendments are effective for annual reporting periods beginning on or after April 01, 2026 retrospectively in accordance
with Ind AS 8
Notes :
a) Interest rate of 7.00% p.a. to 7.75% p.a. (PY: 8.00% and @SOFR plus 0.75% p.a. to 0.95% p.a) was used to determine the amount
of specific borrowing costs eligible for capitalization amounting to H176.91 Lacs (31st March, 2025: H735.31 Lacs) in respect of
qualifying asset for the year ended 31st March, 2026.
b) Interest rate of 7.00% was used to determine the amount of general borrowing costs eligible for capitalization of H47.47 Lacs
(31st March, 2025: H Nil) in respect of qualifying asset, for the year ended 31st March, 2026.
c) Interest cost amounting to H291.93 Lacs (31st March, 2025: H401.69 Lacs) relating to buyer's credit at the rate ranging from
4.00% p.a. to 5.00% p.a. has been capitalised during the year.
d) Manpower cost capitalised during the year is H416.44 Lacs (31st March, 2025: H520.67 Lacs) in respect of ongoing projects.
e) During the year ended 31st March 2026, the Company commenced trial production at its Particle Board Plant at TVK location.
In accordance with Ind AS 16 (Property, Plant and Equipment), the Company has adjusted the proceeds from sale of items
produced during the trial run phase against the related costs and the net amount has been capitalised as part of the cost of the
respective assets until the asset is ready for its intended use.
10. Trade Receivables (Contd.)
a. For assets pledged against borrowings, Refer note no.14 & 17.
b. Trade receivables are non-interest bearing and are generally on terms of 0 to 45 days.
c. No trade or other receivable is due from directors or other officers of the Company or any of them either severally or jointly
with any other person or no debt due from firms including limited liability partnerships (LLPs) or private limited companies
respectively in which any director is a partner, a director or a member.
d. Refer note no.41(ii) for loss allowances
12. Equity Share Capital (Contd.)
e) Rights, preferences and restrictions attached to the equity shares
The company has only one class of equity shares having par value of H1/- per share. Each holder of equity shares is entitled to
one vote per share.
The company declares and pays dividends in Indian rupees. The dividend proposed by the Board of Directors is subject to
the approval of shareholders in the Annual General Meeting, except in case of interim dividend.In the event of liquidation of the
company, the holders of equity shares will be entitled to receive remaining assets of the company, after distribution of all
preferential amounts in proportion to their shareholdings.
f) The Company does not have any Holding/ Ultimate Holding Company. As such, no shares are held by them or their
Subsidiaries/ Associates
g) There are NIL ( Previous year NIL) shares reserved for issue under option and contracts/commitment for the sale of shares/
disinvestment.
h) During the period of five years immediately preceding the reporting date:
i. No shares were issued for consideration other than cash
ii. No bonus shares were issued
iii. No shares were bought back
i) There are NIL (Previous year NIL) securities convertible into Equity/ Preference Shares.
j) There are NIL (Previous year NIL) calls unpaid including calls unpaid by Directors and Officers as on the balance sheet date.
k) No shares were forfeited during the year or during the previous year.1,38,000 equity shares of H10/-each (post split 13,80,000
equity shares of H1 each) on which H3.54 lacs had been paid up, were forfeited in the year 2001-2002.
Capital Reserve:- The reserve was created on slump sale of Container Freight Station, being excess of consideration over net
assets in financial year 2022-2023.
Amalgamation Reserve:- This reserve was created on amalgamation of Shyam Century Ferrous Limited with the company during
the financial year 2005-2006.
Securities Premium:- This Securities Premium had been created on issue of shares by way of public issue and right issue.
General Reserve:- General reserve is created from time to time by way of transfer of profits from retained earnings for
appropriation purpose. General reserve is created by a transfer from one component of equity to another and is not an item of other
comprehensive income.
Capital Redemption Reserve:- This reserve was created upon redemption of preference shares by company in FY 2012-2013.
Retained Earnings:- Amount of retained earnings represents accumulated profit and losses of the Company as on reporting date.
Such profits and losses are after adjustment of payment of dividend, transfer to any reserves as statutorily required and adjustment
for remeasurement gain loss on defined benefit plan.
Notes:-
a) Cash Credit and Buyer's Credit for raw materials from banks amounting to H12,522.82 lacs (31st March, 2025 : H11,217.03 lacs)
are secured by way of first pari passu charge on current assets (both present and future) of 6 units of the company viz. Diamond
Harbour Road, W.B., Ramba Road, Taraori, Haryana, Chinnappolapuram, Tamilnadu, Mirza Palasbari Road, Assam, Bacchau,
Gujarat and Doulowal, Hoshiarpur, Punjab.
b) Buyer's Credit for Capital expenditure from banks amounting to H16,659.48 lacs (31st March, 2025 : H16,116.19 lacs ) are
secured by way of first pari passu charge on moveable and immovable fixed assets of the manufacturing unit located at
Diamond Harbour Road, Bishnupur, West Bengal for Capex Buyer's Credit of Standard Chartered Bank and on first pari passu
charge on fixed assets of Particle Board unit at Vill. Gummidipoondi, Tiruvallur, Tamilnadu for Capex Buyer's credit facility of
DBS Bank India Ltd. These Buyers Credit are eligible for roll over for upto 3 years as per RBI guidelines.
c) Secured - Working Capital demand loan of H34,670.21 lacs (31st March, 2025 H22,293.31 lacs) is secured against first pari passu
charge on current assets of all 6 units located at Joka (WB),Karnal (Haryana),Bacchau (Gujarat),Hoshiarpur (Punjab),Palasbari
(Assam) and Gummidipoondi (Tamil Nadu) carrying rate of interest 6.50% to 8.60% repayable on demand.
d) Vehicle loans was secured by hypothecation of the assets purchased there against and carry interest between 7.25% p.a to
8.50% p.a (31st March, 2025: 7.25% to 8.50% p.a). The loan was repayable in 48 equal monthly installments starting from 10th
August, 2021.
e) Buyers credit carries interest @ SOFR plus 50 bps to 110 bps p.a. (2024-25 : 50 bps to 90 bps p.a.) for raw-materials and is
repayable in 90-180 days @ SOFR plus 0.75% p.a. to 0.95% p.a. (2024-25 : 75 bps to 95 bps p.a.) for capital expenditure which
is repayable within 1080 days from the date of BL.
f) The cash credit is repayable on demand and carries interest @ 7.79% to 9.65% (31st March, 2025: 7.94% to 8.95%) p.a.
g) Unsecured working capital loan of H10,000 lacs (31st March, 2025 - H13,491.42 lacs) taken from Sumitomo Mitsui Banking
Corporation carrying rate of interest 6.70% to 6.90% p.a. repayable on maturity.
h) Borrowings secured against current assets -The Company has filed quarterly returns/revised returns with the banks in lieu of
the sanctioned working capital facilities, which are in agreement with the books of account for the year ended 31st March, 2026
and 31st March, 2025.
The Company has a defined benefit gratuity plan. Every employee who has completed five years or more of service is entitled to
Gratuity on terms not less favourable than the provisions of The Payment of Gratuity Act, 1972. The scheme is funded with an
insurance company.
The Company also extends benefit of compensated absences to the employees, whereby they are eligible to carry forward their
entitlement of earned leave for encashment upon retirement/separation. This is an unfunded plan.
The following tables summarise the components of net benefit expense recognised in the statement of profit and loss and the
funded status and amounts recognised in the balance sheet for the Post - retirement benefit plans.”
Inherent risk
The plan is defined benefit in nature which is sponsored by the Company and hence it underwrites all the risk pertaining to
the plan. In particular, this exposes the Company, to actuarial risk such as adverse salary growth, change in demographic
experience, inadequate return on underlying plan assets. This may result in an increase in cost of providing these benefits to
employees in future. Since the benefits are lump sum in nature, the plan is not subject to longevity risk.
The following tables analyse present value of defined benefit obligations, fair value of defined plan assets, actuarial gain /
(loss) on plan assets, expense recognised in the Statement of Profit and Loss and Other Comprehensive Income, actuarial
assumptions and other information:
34. Capital Management
The Company's objective to manage its capital is to ensure continuity of business while at the same time provide reasonable returns
to its various shareholders but keep associated cost under control. In order to achieve this, requirement of capital is reviewed
periodically with reference to operating and business plans that take into account capital expenditure and strategic investments.
Apart from internal accrual, sourcing of capital is done through judicious combination of equity and borrowing, both the short term
and long term. Net debt (total borrowing including lease liabilities) to equity ratio is used to monitor capital. Net Debt Equity Ratio
is computed as - (Long Term Borrowings Short Term Borrowings)/ Total Equity.
No changes were made to the objective, policies or process for managing capital during the year ended 31st March, 2026 and 31st
March, 2025.
36. Corporate Social Responsibility expenses
The Company has a Corporate Social Responsibility (“CSR”) committee as per the provisions of Section 135 of the Companies Act,
2013 read with Rules made thereunder. The main areas for CSR activities are promoting education, healthcare, animal welfare and
projects ensuring environment sustainability. Detail of CSR is as under:-
(c) During the year ended 31st March, 2026 the Company has provided Loans to 5 subsidiaries amounting to H28,825.40 Lacs
(H29,172.75 Lacs), which is repayable on demand. Total amount outstanding (including interest) on 31st March, 2026 is
H37,481.26 Lacs (H50,354.15 Lacs) which represent 99.34% (99.51%) of the total Loans.
(d) Interest rate varies from 7.50% to 10.00% (31st March, 2025: 7.50% to 10.00%).
38. Related Party Disclosures
In accordance with the requirements of Indian Accounting Standard (Ind AS) 24 “Related Party Disclosures”, names of the related
parties, related party relationships, transactions and outstanding balances, where control exist and with whom transactions have
been taken placed during the reported periods are:
D. Terms and conditions of transactions with related parties
(i) The sales to/ purchases from/ services availed from/ services provided to related parties are made on terms equivalent to
those that prevail in arm's length transactions and in the ordinary course of business. Sales / purchases generally include
payment terms of 0 to 60 days from the date of invoice. Trade receivables and Trade payables outstanding balances are
unsecured, interest free and require settlement in cash. No guarantee or other security has been received / given against
these receivables / payables.
(ii) Outstanding balances at the year-end from related parties are unsecured and interest free.
(iii) Employee related recoverable balances are unsecured and interest free.
(iv) The Company has provided loan to its subsidiary for its business activities. The loan was unsecured and was repayable on
demand.The loan carries an interest 31st March,2026 @7.50% p.a.(31st March, 2025 @7.50% p.a.)
39. Exceptional Item
The Government of India implemented the New Labour Codes with effect from 21st November, 2025 and subsequently issued
supporting Rules and Frequently Asked Questions (FAQs) to facilitate assessment of the related financial impact.
Based on the expected revised salary structure and actuarial valuation obtained, the Company had recognised an expense of
H717.89 lacs for the year ended 31st March, 2026.
Considering that it is emerging topic and the finalisation of Central/ State Rules is still pending, the Company will continue
monitoring changes and provide appropriate accounting effect as required based on future developments.
40. Financial instruments - fair values and risk management (Contd.)
Notes: -
1) The carrying amount of financial assets and financial liabilities measured at amortised cost in the standalone financial
statements are a reasonable approximation of their fair values since the Company does not anticipate that the carrying
amounts would be significantly different from the values that would eventually be received or settled.
2) Investment in subsidiaries are being carried at cost hence not reported.
B. Measurement of fair values
The fair value hierarchy is based on inputs to valuation techniques that are used to measure fair value that are either observable
or unobservable and consists of the following three levels.
Valuation technique
Level 1: Hierarchy includes financial instruments valued using quoted market prices.
Level 2: Hierarchy includes financial instruments that are not traded in active market. These are valued using observable
market data such as yield etc. of similar instruments traded in active market.
Level 3: If one or more significant inputs is not based on observable market data, the instrument is included in level 3.
41. Financial Risk Management - Objectives and Policies
Risk management framework
The Company's financial liabilities comprise long term borrowings, short term borrowings, capital creditors, trade and other
payables. The main purpose of these financial liabilities is to finance the Company's operations. The Company's financial assets
include trade and other receivables, cash and cash equivalents, investment in subsidiaries at cost and deposits.
The Company is exposed to market risk and credit risk. The Company has a Risk management policy and its management is supported
by a Risk management committee that advises on risks and the appropriate risk governance framework for the Company. The audit
committee provides assurance to the Company's management that the Company's risk activities are governed by appropriate
policies and procedures and that risks are identified, measured and managed in accordance with the Company's policies and risk
objectives. The Board of Directors reviews and agrees policies for managing each of these risks, which are summarised below.
(i) 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 comprises risk of interest rate, currency risk and other price risk, such as commodity price risk and
equity price risk. Financial instruments affected by market risk include FVTPL investments.
(a) Foreign currency risks
Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of changes
in foreign exchange rates. The Company's exposure to the risk of changes in foreign exchange rates relates primarily
to the Company's operating activities. The Company has a treasury department which monitors the foreign exchange
fluctuations on the continuous basis and advises the management of any material adverse effect on the Company.
Foreign Currency sensitivity
The following table demonstrates the sensitivity to a reasonably possible change in foreign currency exchange rates, with
all other variables held constant. The impact on the Company's profit before tax is due to changes in the fair value of assets
and liabilities.
41. Financial Risk Management - Objectives and Policies (Contd.)
(b) Interest rate risk
Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of
changes in market interest rates.
Interest rate sensitivity
The following table demonstrates the sensitivity to a reasonably possible change in interest rates on that portion of loans
and borrowings affected. With all other variables held constant, the Company's profit before tax is affected through the
impact on floating rate borrowings, as follows:
(ii) Credit risk
Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer contract, leading
to a financial loss. The Company is exposed to credit risk from its operating activities (primarily trade receivables).
The Company implements a credit risk management policy under which the Company only transacts business with
counterparties that have a certain level of credit worthiness based on internal assessment of the parties, financial condition,
historical experience, and other factor. The Company's exposure to credit risk is influenced mainly by the individual
characteristics of each customer. The Company has established a credit policy under which each new customer is analysed
individually for creditworthiness.
Trade Receivables
An impairment analysis is performed at each reporting date on an individual basis for all the customer. In addition, a large
number of minor receivables are grouped Company into homogenous Company and assessed for impairment collectively.
The calculation is based on credit losses historical data. The maximum exposure to credit risk at the reporting date is the
carrying value of trade receivables disclosed in Note 10 as the Company does not hold collateral as security. The Company has
evaluated the concentration of risk with respect to trade receivables as low, as its customers are located in several jurisdictions
and industries.
Refer Note no. 10 for ageing of trade receivable as of 31st March, 2026 and 31st March, 2025.
No significant changes in estimation techniques or assumptions were made during the reporting period.
Credit risk also arises from transactions with financial institutions, and such transactions include transactions of cash and
cash equivalents, various deposits, and financial instruments such as derivative contracts. The Company manages its exposure
to this credit risk by only entering into transactions with banks that have high ratings. The Company's treasury department
authorizes, manages, and oversees new transactions with parties with whom the Company has no previous relationship.
Furthermore, the Company limits its exposure to credit risk of financial guarantee contracts by strictly evaluating their necessity
based on internal decision making processes, such as the approval of the board of director.
(iii) Liquidity risk
The Company's objective is to maintain optimum levels of liquidity to meet its cash and collateral requirements at all times.
The Company relies on a mix of borrowings and excess operating cash flows to meet its needs for funds. The current committed
lines of credit are sufficient to meet its short to medium/ long term expansion needs. The Company monitors rolling forecasts of
its liquidity requirements to ensure it has sufficient cash to meet operational needs. Besides, it generally has certain undrawn
credit facilities which can be accessed as and when required; such credit facilities are reviewed at regular intervals. Thus, no
liquidity risk is perceived at present.
44. Leases
As Lessee
a) The Company has lease contracts for land. The Company's obligations under leases are secured by the lessor's title to the
leased assets.
b) The Company has elected to apply IND AS 116 to its leases with modified retrospective approach. Under this approach, the
company has recognised lease liabilities and corresponding right of use assets. In the statement of profit and loss for the
year ended, depreciation expenses on right of use assets and finance cost for interest accrued on such lease liability has
been recognized.
47. The Company has used multiple accounting software for maintaining its books of account which have a feature of recording
audit trail (edit log) facility except for SAP application where audit trail was not enabled at the transactional and database level
throughout the year for all relevant transactions recorded in the application. Further, for CAPS Payroll application the audit trail
feature is enabled and operating effectively throughout the year for all relevant transactions recorded in the application and
for HONO Payroll application, which is operated by third party software service provider for maintaining its books of accounts,
audit trail is enabled and operated throughout the year for all relevant transactions recorded in the application based on the
Service Organization Controls 2 (SOC-II) report provided in respect of this application.
Furthermore, no instance of audit trail feature being tampered with was noted in respect of accounting software(s) where the
audit trail has been enabled.
Additionally, the audit trail of previous year has been preserved by the Company as per the statutory requirements for record
retention to the extent it was enabled and recorded in the respective year.
48. Additional disclosures relating to the requirement of revised Schedule III.
(i) No proceedings have been initiated on or are pending against the Company for holding benami property under the Benami
Transactions (Prohibition) Act, 1988 (45 of 1988) and Rules made thereunder.
(ii) Century Plyboards (India) Limited has not been declared wilful defaulter by any bank or financial institution or government or
any government authority for the current and previous year.
(iii) Century Plyboards (India) Limited has complied with the number of layers prescribed under the Companies Act, 2013.
(iv) There is no undisclosed income under the Income Tax Act, 1961 for the year ending 31st March 2026 and 31st March 2025
which needs to be recorded in the books of account.
(v) Century Plyboards (India) Limited has not traded or invested in crypto currency or virtual currency during the current or
previous year.
(vi) The borrowings obtained by the Company from banks and financial institutions have been applied for the purposes for which
such loans were taken.
(vii) There are no charges or satisfaction which are yet to be registered with the Registrar of Companies beyond the statutory period.
Notes:
(a) Change in Debt Service Coverage ratio is due to additional fund requirement to meet the capex and increase in
operational activities.
(b) Change in Net Capital Turnover Ratio as compared to the preceding year due to higher revenue from operations and low
net working capital.
49. Subsequent event
The Board of Directors of the Company has recommended a final dividend of H1.00 per share (100% per share of face value
of H1 each) for the financial year ended 31st March, 2026, subject to approval of the Shareholders at the ensuing Annual
General Meeting.
50. Previous year's figures have been rearranged and/or recomputed, wherever necessary.
51 . The financial statements have been approved by the Audit Committee at its meeting held on 22nd May, 2026 and by the Board
of Directors on the same date.
|