Fair value of investment property

The fair value of the Company's investment property as at December 31, 2025 is '4,437 lakhs, based on a valuation carried out by an independent registered valuer. The property was not classified as an investment property as at March 31, 2025/December 31, 2024 and hence comparative fair value information is not available. Management has assessed the relevant market conditions and believes that there have been no material changes affecting the fair value since the date of valuation. Accordingly, no updated valuation has been obtained as at March 31, 2026. The fair value measurement is categorised as Level 3 of the fair value hierarchy under Ind AS 113 - Fair Value Measurement.

* The Company has entered an ageement for purchase of a manufacturing plant engaged in manufacturing of specialty Bitumen products at Savli, Vadodara, Gujarat, from its related party M/s. New Horizon Asphalt Pvt Ltd for a total consideration of ' 15.76 Cr including cost of Land, Building, Plant & Machinery and other assets and GST applicable thereon. The agreement to sell was executed on 27^th Feb 2026 and an advance of ' 13.79 Cr has been paid upto 31^st March 2026.

** The Company has entered into a Joint Venture Agreement dated May 06, 2025, with M/s. West Coast Oils LLP for the formation of M/s. Amron Oil Resources Private Limited, engaged in manufacturing and trading of specialty bitumen products and allied commodities. As per the terms, the Company is committed to invest' 5.00 Cores, including acquisition of 10,000 equity shares.

41 Defined Benefit Obligation

GRATUITY - The Company operates a defined benefit gratuity plan for eligible employees. Under the plan, employees who have completed five years or more of continuous service are entitled to gratuity upon retirement, resignation or death, calculated at 15 days' last drawn qualifying wages for each completed year of service. The gratuity obligation is funded, and the plan assets are managed through the Group Gratuity Scheme administered by ICICI Prudential Life Insurance Company Limited.

COMPENSATED ABSENCES - The Company's compensated absence scheme is unfunded; however, the liability for accumulated leave entitlement is duly provided for in the Standalone Balance Sheet. Employees are entitled to encash accumulated leave upon retirement or resignation based on the last drawn qualifying and accumulated leave balance as on the date of separation.

The following tables summarize the components of net benefit expense recognized in the Standalone Statement of profit and loss and the funded status and amounts recognized in the Standalone Balance sheet for the respective plans.

Segment Composition :

Manufacturing Segment includes Manufacturing and Marketing of Lubricating Oils, Greases etc. Trading Segment includes Trading activities through Base Oil, Fuel Oil and Bitumen.

As per Ind AS 108, paragraph 34 requires entities to disclose information about its major customers i.e. those contributing 10% or more of its total amount of revenue. The details are mentioned below:

In the FY 2025-26, there is no single customer with whom the Company had a revenue of more than 10% of the Company's total Revenue.

In the FY 2024-25, there is no single customer with whom the Company had a revenue of more than 10% of the Company's total Revenue.

44 Capital Management Risk Management

For the purpose of company's capital management, equity includes equity share capital and all other equity reserves attributable to the equity shareholders of the company. The Company manages its capital structure and makes adjustments in light of changes in economic conditions or its business requirements. The Company's objectives are to safeguard continuity, maintain a strong credit rating and healthy capital ratios in order to support its business and provide adequate return to shareholders through continuing growth and maximise the shareholders value. The Company funds its operations through internal accruals. The management and the Board of Directors monitor the return on capital as well as the level of dividends to shareholders.

The Company manages its capital structure and makes adjustments in light of changes in economic conditions and the requirements of the financial covenants. To maintain or adjust the capital structure, the Company may adjust the dividend payment to shareholders, return capital to shareholders or issue new shares. The Company monitors capital using a gearing ratio, which is net debt divided by total capital plus net debt. The Company includes within net debt, interest bearing loans and borrowings, less cash and cash equivalents.

As at March 31, 2026 and March 31, 2025, the Company has only one class of equity shares and has debt, consequent to such capital structure, there are no externally imposed capital requirements. In order to maintain or achieve an optimal capital structure, the company allocates its capital for distribution of dividend or re-investment into business based on its long term financial plans.

48 Financial Risk Management Objectives and Policies

The Company's financial risk management is an integral part of how to plan and execute its business strategies. The Company's financial risk management policy is set by the Risk Management Committee.

The value of a financial instrument may change as a result of changes in the interest rates, foreign currency exchange rates and other market changes that affect market risk sensitive instruments. Market risk is attributable to all market risk sensitive financial instruments including deposits and loans and borrowings.

The company manages market risk through Risk Management Committee, which evaluates and exercises independent control over the entire process of market risk management. The committee recommends risk management objectives and policies, which are approved by Risk Management and Board.

a 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 three types of risk: Interest Rate Risk, Currency Risk and Other Price Risk, such as Commodity Risk. Financial Instruments affected by Market Risk include Loans and Borrowings, Deposits and FVTOCI Investments.

The sensitivity analysis in the following sections relate to the position as at 31 March 2026 and 31 March 2025.

The following assumptions have been made in calculating the sensitivity analysis:

The sensitivity of the relevant profit or loss item is the effect of the assumed changes in respective market risks. This is based on the financial assets and financial liabilities held at 31 March 26 and 31 March 2025.

The sensitivity of equity is calculated by considering the effect of any associated cash flow hedges at 31 March 2026 for the effects of the assumed changes of the underlying risk.

i) Interest Rate Risk

Interest Rate Risk is the risk that the Fair Value or Future Cash Flow of a financial instrument will fluctuate because of changes in market interest rates. In order to balance the company's position with regards to interest income and interest expense and to manage the interest rate risk treasury performs a comprehensive interest rate risk management.

The company is not exposed to significant interest rate risk as at the respective reporting dates.

The Company is exposed to foreign currency risk arising primarily from transactions denominated in currencies other than its functional currency. The major exposures of the Company are in U.S. Dollars (USD) and United Arab Emirates Dirham (AED). These exposures arise mainly on account of export receivables and import payables. The Company monitors currency fluctuations regularly and manages its exposure through natural hedges arising from offsetting assets and liabilities and may enter into forward exchange contracts, if necessary, to hedge its exposure. As at the reporting date, no forward contracts were outstanding. The Company does not use derivative financial instruments for trading or speculative purposes.. The Company manages its foreign currency risk by converting the foreign currency exposure into ' on the date of entering into the transaction.

Sensitivity Analysis

A reasonably possible strengthening/(weakening) of the Indian Rupee(INR) against the foreign currencies(FCY) at March 31 would have affected the measurement of financial instruments denominated in foreign currencies and affected equity and profit or loss by the amounts shown below. This analysis assumes that all other variables, in particular interest rates, remain constant and ignores any impact of forecast sales and purchases.

The table below shows sensitivity of open forex exposure to FCY/INR movement. We have considered 1% ( /-) change in FCY/INR movement. For a 1% weakening of the INR against the relevant FCY, there would be an equal and opposite impact on the profit and other equity, and the balances below would be negative. The indicative 1% movement is directional and does not reflect management forecast on currency movement.

Credit Risk arises from the possibility that the counter party may not be able to settle their obligations as agreed. To manage this, the company periodically assesses the financial reliability of customers and other counter parties, taking into account the financial condition, current economic trends and analysis of historical bad debts and ageing of financial assets. Individual risk limits are set and periodically reviewed on the basis of such information.

Financial Assets are written off when there are no reasonable expectations of recovery, such as a debtor failing to engage in a repayment plan with the company. Where loans or receivables have been written off, the Company continues to engage in enforcement activity to attempt to recover the receivable due. When such recoveries are made, these are then recognized as income in the standalone statement of profit and loss.

The company measures the expected credit loss of trade receivables based on historical trend, industry practices and the business environment in which the entity operates.

Investments

The Company invests its surplus funds mainly in liquid / short term debt/equity fund schemes of mutual funds for short duration, which carry no/low mark to market risks and therefore, exposes the Company to low credit risk. Such investments are made after reviewing the credit worthiness and market standing of such funds and therefore, minimises the Company's exposure to credit risk. Such investments are made after reviewing the credit worthiness and market standing of such funds and therefore, minimises the Company's exposure to credit risk. Such investments are monitored on a regular basis.

iv) Liquidity Risk

Prudent liquidity risk management implies maintaining sufficient cash and marketable securities and the availability of funding through an adequate amount of committed credit facilities to meet obligations when due and to close out market positions. Due to the dynamic nature of the underlying businesses, Company treasury maintains flexibility in funding by maintaining availability under committed credit lines. Management monitors rolling forecasts of the Company's liquidity position (comprising the undrawn borrowing facilities below) and cash and cash equivalents on the basis of expected cash flows. The Company assessed the concentration of risk with respect to refinancing its debt and concluded it to be low.

The following tables detail the Company's remaining contractual maturity for its financial liabilities. The tables have been drawn up based on the cash flows of financial liabilities based on the earliest date on which the Company can be required to pay:

Reasons for change in the ratios by more than 25% as compared to the preceding year.

1. Debt Equity Ratio has reduced by 30% over the FY 24-25, primarily due to lower borrowings balances during the year, resulting in reduced financial leverage while the Company continued to maintain a strong equity base.

2. Return on Investment (ROI) witnessed an increase of 30% in FY 2025-26 compared to FY 2024-25. This growth is attributed to the company's effective fund management, strategic allocation of surplus resources, and more prudent investment decisions, resulting in significantly enhanced returns.

50 Leases a As a Lessee

The Company has entered into lease arrangements for warehouses and office premises. The lease period vary between 3

and 9 years, depending on the nature of the underlying lease agreements.

Short Term Leases and Low Value Leases - For the short-term and low value leases, the Company has recognized the lease payments as an operating expense on a straight-line basis over the term of the lease. The value of such short term leases is ' 70.71 Lakhs for the year ended March 31, 2026 and ' 101.82 Lakhs for the year ended March 31, 2025.

b As a Lessor - Operating Lease

Lease income from operating leases where the Company is a lessor is recognised in income on a straight-line basis over the lease term. The Company has leased out certain buildings on operating leases. The rent is not based on any contingencies. There are no restrictions imposed by lease arrangements. The leases are cancellable.

Lease payments received are recognised as Rental Income in Note 32 of the Standalone Statement of Profit & Loss. The Company received Rs. 94.44 Lakhs during the FY 25-26 and Rs. 6.21 Lakhs during the FY 24-25.

53 Exceptional item

Following the implementation of the four Labour Codes ("New Labour Codes") with effect from November 21, 2025, the Company assessed its estimated obligations using an actuarial valuation, management's best estimates and the guidance issued by the Institute of Chartered Accountants of India (ICAI). Accordingly, an incremental liability of '3.26 Crore pertaining to employee benefits for past service has been recognised as an exceptional item during the year. The estimate will be reviewed upon finalisation of the applicable Central and State Rules and any further Government clarifications, with consequential changes recognised in the period of revision, where necessary.

54 Quarterly Stock Statements

The Company has borrowings from banks for working capital limits against security of its current assets. The quarterly statements submitted to the banks are in agreement with the books and there are no material discrepancies that require specific disclosures.

55 Registration of Charges or Satisfaction:

The Company has registered all charges with the Registrar of Companies (ROC) within the prescribed timelines, wherever applicable. Necessary forms for satisfaction of charges have also been filed with the ROC within the applicable due dates. Accordingly, there were no charges remaining unsatisfied as at 31 March 2026.

57 Transfer Pricing :

As per the Transfer pricing rules prescribed under the Income Tax Act, 1961, the company is in process of finalising transfer

pricing study to ensure compliance with the said rules. The management does not anticipate any material adjustment with

regard to the transaction involved.

58 Additional Regulatory Information

a) The title deeds of 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.

b) The Company has not been declared wilful defaulter by any of the banks or financial institutions or any other lender.

c) The funds borrowed for short term purposes have not been utilized for any other purpose / long term purposes.

d) The Company does not hold any benami property and 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 rules made thereunder.

e) The Company does not trade or invest in any crypto currency.

f) To the best of the Company's knowledge and information, there are no transactions which are not recorded in the

books of account or have been surrendered or disclosed as income during the year in the tax assessments under

Income Tax Act, 1961.

g) Other information required to be disclosed under Schedule III to the Companies Act, 2013 is Nil/Not Applicable.