40 Other Segment Reporting_

(a) Identification of Segments:

Primary-Business Segments_

The Company has identified two reportable business segments viz. Automotive and Others segment comprising LED Luminaries on the basis of the nature of products, the risk and return profile of individual business and the internal business reporting systems. The products included in each of the reported business segments are as follows:-_

(i) Automotive comprising of automotive lighting & signalling equipment, rear view mirror, prismatic mirror, plastic moulded _parts, sheet metal components, bank angle sensor and canisters for motorised vehicles and others parts for automotive.

(ii) Others Segment comprising of led luminaries viz. indoor and outdoor lighting, display panel, LED integrated passenger

_information system etc._

(iii) Revenue and expenses have been identified to a segment on the basis of relationship to operating activities of the segment. Revenue and expenses which relates to enterprise as a whole and not allocable to a segment on reasonable

_basis have been disclosed as "unallocated"_

(iv) Segment assets and segment liabilities represent assets and liabilities in respective segments. Income tax related assets/ liabilities, borrowings, deferred tax liabilities (net) and other assets and liabilities that can not be allocated to a segment on reasonable basis have been disclosed as "Unallocated".

Terms and conditions of related party transaction & outstanding balances

Note:-1. The transactions with related parties are made on terms equivalent to those that prevail in arm's length transactions. Outstanding balances at the year-end are unsecured and settlement occurs in cash. There have been no guarantees provided or received for any related party receivables or payables. For the year ended March 31, 2026, the Company has not recorded any impairment of receivables relating to amounts owed by related parties. This assessment is undertaken each financial year through examining the financial position of the related party and the market in which the related party operates.

Note:2. The short-term benefits does not include provisions for incremental gratuity and leave encashment liabilities since the provisions are based on actuarial valuations for the Company as a whole at the end of each year. The amount is disclosed only at the time of payment.

The Company has defined benefit gratuity plan for its employees, which requires contributions to be made to a separately administered fund. It is governed by the Payment of Gratuity Act, 1972. Under the Act, employee who has completed five years of service is entitled to specific benefit. The level of benefits provided depends on the member's length of service and salary at retirement age. The scheme is funded with HDFC Life Insurance Company Limited in the form of qualifying

_insurance policy.___

(b) Earned Leave

The Present value obligation of Leave Encashment is determined based on actuarial valuation using projected unit credit _method._

The management assessed that the fair values of short term financial assets and liabilities significantly approximate their carrying amounts largely due to the short-term maturities of these instruments. The fair value of the financial assets and liabilities is included at the amount at which the instrument could be exchanged in a current transaction among willing parties, other than in a forced or liquidation sale.

The Company maintains policies and procedures to value financial assets or financial liabilities using the best and most relevant data available. In addition, the Company internally reviews valuation, including independent price validation for certain instruments.

Fair value of financial assets and liabilities is the amount 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, regardless of whether that price is directly observable or estimated using another valuation technique.

Fair value of short term financial assets and liabilities significantly approximate their carrying amounts largely due to the short term maturities of these instruments.

44 Financial Instruments and Risk Review Financial Risk Management Framework

The Company's financial liabilities comprise mainly of trade payables and other payable. The Company's financial assets comprise mainly of investments, cash and cash equivalents, other balances with banks, loans, trade receivables and other receivables.

The Company is exposed to Market risk, Credit risk and Liquidity risk. The Company oversees the management of these financial risks. The Company's approach to address uncertainties in its endeavor to achieve its stated and implicit objectives. It prescribes the roles and responsibilities of the Company's management, the structure for managing risks and the framework for risk management. The framework seeks to identify, assess and mitigate financial risks in order to minimize potential adverse effects on the Company's financial performance.

i) Capital Management

The Company's capital management objectives are:

The Company is to maintain a strong capital base so as to maintain investor, creditor and market confidence and to sustain future development of the business.

The Company manages capital risk by maintaining sound/optimal capital structure through monitoring of financial ratios, such as debt-to-equity ratio and net borrowings-to-equity ratio and implements capital structure improvement plan when necessary.

ii) Credit Risk

Credit risk refers to risk that a counterparty will default on its contractual obligations resulting in financial loss to the Company. Credit risk arises primarily from financial assets such as trade receivables, other balances with banks, loans and other receivables.

In assessing, recoverability of receivables, the management has considered the asset type, past due status and other relevant factors considering the age of receivables. The provision for expected credit losses (ECL) are revised at each reporting date by the use of practical expedients viz provision matrix.

The carrying amount of financial assets represents the maximum credit exposure. The maximum exposure to credit risk was Rs. 38,816.37 Lakhs (net of write-off/provisions) (Previous Year Rs. 24,240.90 Lakhs) respectively, being the total of the carrying amount of balances with trade receivables. An amount of Rs. 203.41 lakhs (previous year Rs. 31.83 lakhs) has been written-off during the year after re-assessing long outstandings and obtaining objective evidences on the impairment of the trade receivables.

Ind AS requires expected credit losses to be measured through a loss allowance. The Company assesses at each date of financial statement whether a financial asset or a group of financial assets is impaired. The Company recognises lifetime expected losses for all contract assets and / or all trade receivables that do not constitute a financing transaction. For all other financial assets, expected credit losses are measured at an amount equal to the 12 months expected credit losses or at an amount equal to the life time expected credit losses if the credit risk on the financial asset has increased significantly since initial recognition.

The Company's primary customers are major automobile manufacturers (OEMs) with good credit ratings. Company's exposure to customers is diversified and some customers contribute more than 10% of outstanding accounts receivable which forms 78% of total receivables as at 31 March, 2026 (65% as at 31 March, 2025), however there was no default on account of those customers in the past.

The Company performs credit assessment for customers on an annual basis and recognizes credit risk, on the basis lifetime expected losses and where receivables are due for more than six months.

iii) Liquidity Risk a) Liquidity risk management

Liquidity risk is defined as the risk that the Company will not be able to settle or meet its obligations on time. The objective of liquidity risk management is to maintain sufficient liquidity and ensure that funds are available for use as per requirements. The Company's principal sources of liquidity are cash and cash equivalents and the cash flow that is generated from operations. The Company has no outstanding borrowings as at 31/03/2026. The Company believes that the working capital is sufficient to meet its current requirements. As at March 31, 2026, the Company had a working capital of Rs. 63,738.72 Lakhs including cash and cash equivalents of Rs.27,644.57 Lakhs. As at March 31, 2025, the Company had a working capital of Rs. 48,902.65 lakhs including cash and cash equivalents of Rs. 29,578.61 Lakhs.

Maturities of financial liabilities

The following tables detail the Company's remaining contractual maturity for its financial liabilities with agreed repayment periods. The amount disclosed in the tables have been drawn up based on the undiscounted cash flows of financial liabilities based on the earliest date on which the Company can be required to pay. The tables include both interest and principal cash flows.

iv) Market Risk

Market risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market prices. Such changes in the values of financial instruments may result from changes in the foreign currency exchange rates, interest rates, credit, liquidity and other market changes. The Company's exposure to market risk is primarily on account of foreign currency exchange rate risk. a) Foreign Currency exchange rate risk

The fluctuation in foreign currency exchange rates may have potential impact on the statement of profit or loss and other comprehensive income and equity, where any transaction references more than one currency or where assets / liabilities are denominated in a currency other than the functional currency of the respective entities. Considering the countries and economic environment in which the Company operates, its operations are subject to risks arising from fluctuations in exchange rates in those countries. The risks primarily relate to fluctuations in US Dollar, Euro, and Japanese Yen against the respective functional currencies of the Company.

The Company evaluates the impact of foreign exchange rate fluctuations by assessing its exposure to exchange rate risks. The information on foreign currency exposures that are not hedged by derivative instruments is as follows.

Foreign Currency Sensitivity

The following table demonstrates the sensitivity to a reasonable possible change in USD, EURO and JPY exchange rates, with all other variables held constant, the impact on the Company's profit before tax due to changes in the fair value of monetary assets and liabilities. The Company's exposure to foreign currency changes for all other currencies is not material. The sensitivity analysis is prepared on the net unhedged exposure of the Company as at the reporting date. 10% represents company's assessment of reasonably possible change in foreign exchange rate.

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 change in market interest rates. The Company's exposure to the risk of changes in market interest rates relates primarily to the Company's cash credit/working capital loans. The Company has no long term/short term outstanding borrowings as at 31 March, 2026. The Company investments are primarily in interest rate bearing investments like short term deposits with banks. Hence, the Company is significantly exposed to interest rate risk.

49 Additional Regulatory Disclosures As Per Schedule III of Companies Act, 2013

(i) Title Deed of the Immovable Properties

The title deeds of the immovable properties (other than properties where the Company is the lessee and the lease agreements are duly executed in favour of the lessee) are held in the name of the Company, except a piece of land (area approx.. 1913 sqm) adjacent to unit-9 at Karsanpura, Gujarat, purchased for Rs. 18.23 Lakhs from other company. The seller company require permission from the state government for registration of sale deed, which is already applied by seller company. However, the permission could not be obtained during the year under reporting. The Company is regularly following-up with the seller company for getting the registration.

(ii) Investment Property

The Company does not have any investment property.

(iii) Revaluation of Property Plant and Equipment & Intangible Assets

As per the Company's accounting policy, Property, Plant and Equipment (including Right of Use Assets) and intangible assets are carried at historical cost (less accumulated depreciation & impairment, if any), hence the revaluation related disclosures required as per Additional Regulatory Information of Schedule III (revised) to the Companies Act, is not applicable.

(iv) Disclosure on Loan Given to Specified Persons (Promotors, Directors, KMPs and their Related Parties)

The Company has not given loan to Specified Persons (Promotors, Directors, KMPs and their Related Parties) during the year.

(v) Detail of Benami Property held.

No proceedings have been initiated or pending against the Company for holding any Benami property under the Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and the rules made thereunder.

(vi) Borrowings obtained on the basis of Current Assets

There are no drawn borrowings from banks. However, the Company has sanctioned facilities from banks on the basis of security of current assets (trade receivables and inventory). The periodic returns filed by the Company with such banks are in agreement with the books of accounts of the Company.

(vii) Disclosure Related to Wilful Defaulter against Borrowings

The Company has adhered to debt repayment and interest service obligations on time. Wilful defaulter related disclosures required as per Additional Regulatory Information of Schedule III (revised) to the Companies Act, is not applicable.

(viii) Disclosure of Transactions with Struck Off Companies

There are no transactions with the Companies whose name are struck off under Section 248 of The Companies Act, 2013 or Section 560 of the Companies Act, 1956 during the year ended March 31, 2026.

(ix) Disclosure of Registration of Charges or Satisfaction with ROC

All applicable cases where registration of charges or satisfaction is required to be filed with Registrar of Companies have been filed. No registration or satisfaction is pending at the year ended March 31, 2026.

(x) Compliance with Number of Layers of Companies

The Company has complied with the number of layers prescribed under clause (87) of Section 2 of the Companies Act, 2013 read with Companies (Restriction on number of Layers) Rules, 2017.

(xi) Compliance with Approved Scheme's of Arrangement

No scheme of arrangement has been approved by the competent authority in terms of Section 230 to 237 of the Companies Act, 2013.

(xii) Utilisation of Borrowed Fund and Share Premium

The Company has not advanced or loaned or invested funds to any other person(s) or entity(ies), including foreign entities (Intermediaries) with the understanding that the Intermediary shall: (a) 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) (b) provide any guarantee, security or the like to or on behalf of the ultimate beneficiary

(xiii) The Company have not received any fund from any person(s) or entity(ies), including foreign entities (Funding Party) with the understanding (whether recorded in writing or otherwise) that the Company shall: (a) 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) (b) provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries

(xiv) Details of Crypto Currency or Virtual Currency

The Company has not operated in any crypto currency or Virtual Currency transactions.

(xv) Disclosure in relation to Undisclosed Income

During the year, the Company has not disclosed or surrendered, any income other than the income recognised in the books of accounts in the tax assessments under Income Tax Act, 1961 (such as, search or survey or any other relevant provisions of the Income Tax Act, 1961). Accordingly there are no transaction which are not recorded in the books of accounts.

51 Fire Incident Fire in Rai Plant

(a) A fire incident occurred on June 13, 2023 at Unit-7, located at Plot No. 1915, Phase-V, Rai Industrial Estate, Sonipat-131029 (Haryana). The Company has completed reinstatement of all property, plant and equipment and the insurance assessment is under process. During FY 2024-25, the Company has already received Rs 50 Crore as adhoc/ interim payment from the insurance company. During the year ended March 31, 2024, the company had recognised the value of the affected assets as Insurance Claim receivable to the extent of the carrying value of inventories amounting to Rs 2583.74 Lakhs and the carrying value of property, plant and equipment amounting to Rs 2552.72 Lakhs. The final entries will be recorded in the books of accounts upon finalization of the claim by the insurer.

Fire in Tapukara Plant during the year

(b) During the year, a fire incident occurred in the afternoon of August 23, 2025 at Unit-8, located at Plot No. SP1-C, Industrial Area Tapukara, District Alwar-301707 (Rajasthan). There was no injury or loss of human life and the fire was primarily restricted to the first floor of the building. The company has recognised the value of the affected assets as Insurance Claim receivable to the extent of the carrying value of inventories amounting to Rs 2105.87 Lakhs (including GST reversals) and property, plant and equipment amounting to Rs 2767.91 Lakhs (including GST reversals) as the company maintains adequate insurance coverage of all assets on reinstatement basis with the insurer. An estimated claim of Rs. 8230 Lakhs (on the reinstatement value basis) has been submitted on January 30, 2026 to insurer. The final settlement remains subject to assessment by the insurer and any additional accounting impact will be recorded upon finalization of the claim.

(b) Proposed Dividend

The Board of Directors in their meeting held on May 30,2026, have recommended a Final dividend of Rs 40 per share i.e. @ 400% of Nominal Value of Rs 10 each on 2,63,19,660 equity share of the company for F.Y. 2025-26 amounting to Rs 10527.86 Lakhs (Previous year Rs 30 per share amounting to Rs 7895.90 Lakhs). The final dividend is subject to the approval of shareholders in the ensuing Annual General Meeting (AGM) of the Company and hence is not recognised as a liability.

53 Audit Trail

The Company has used 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 software. During the year, the audit trail feature has not been tempered with. Further, the audit trail, has been preserved by the Company as per the statutory requirements for record retention.

54 Previous year's figures have been regrouped/reclassified wherever necessary. The figures are rounded off to nearest rupees in lakhs unless otherwise stated.