15.1 Share issued pursuant to the Scheme of Amalgamation

Pursuant to the Scheme of Amalgamation as detailed in Note 38, the Company issued and allotted 3,46,10,472 Equity Shares of '10 each fully paid and 14,87,160 Equity Shares of the Company of ' 10 each fully paid held by erstwhile IFGL Refractories Limited were cancelled on September 18, 2017.

15.2 Terms/Rights attached to Equity Shares

The Company has only one class of Equity Shares having face value of ' 10 each. Each holder of such shares is entitled to 1 vote per Share. In the event of liquidation of the Company, the Equity Shareholders will be entitled to receive the remaining Assets of the Company, after distribution of all Preferential amounts, in proportion to their shareholding. The Company in their General Meeting may declare Dividends, but no Dividend shall exceed the amount recommended by the Board of Directors of the Company.

15.6 On July 21,2025, the Company issued and allotted 3,60,39,312 Equity Shares of '10 each (fully paid up) as Bonus Shares in the ratio of 1:1 to shareholders whose names appeared in the Register of Members on July 18, 2025, being the Record date fixed for the purpose, in accordance with approval of the shareholders by passing Ordinary Resolution on July 5, 2025 through Postal Ballot.

An amount of ' 3,603.93 has been utilised from the Retained Earnings for the purpose of issuance of the aforesaid Bonus Shares, in accordance with Section 63 of the Companies Act, 2013.

Nature and Purpose of Reserves :

(a) Securities Premium is used to record the Premium on Issue of Shares. The same is utilised in accordance with the Provisions of Section 52 of the Companies Act, 2013.

(b) Retained Earnings includes surplus in the Statement of Profit and Loss, remeasurement Gains/(Losses) on Defined Benefit Plans less any transfer to General Reserve, Dividends or other distributions paid to shareholders.

16.1 The Board of Directors, at its meeting on May 30, 2026, have proposed a Final Dividend of ' 2.15 (21.50%) per Equity Share for the Financial Year ended March 31, 2026 subject to the approval of Shareholders at the forthcoming Annual General Meeting, and following policy on dividend distribution of the Company. Proposed Dividend is accounted for in the year in which it is approved by the Shareholders.

The total amount of ' 2,522.75 (' 2,162.36 and ' 360.39 towards Interim Dividend and Final Dividend respectively) paid during the year ended March 31,2026 on account of Interim and Final Dividend of ' 6 and Re. 1 per Equity Share respectively with confirmation/ approval of Equity Share holders obtained at the Annual General Meeting.

17.1 Rupee Term Loan from a Bank is secured by the first pari-passu charge over all movable Property, Plant and Equipment of the Company, both present and future, first pari-passu charge over Land and Building of the Company situated at Visakhapatnam, both present and future, and second pari-passu charge over Current Assets of the Company, both present and future. The interest rate on such term loan is 150 basis points over 3 months Treasury Bill and is repayable in 20 equal quarterly installments after one year of moratorium period from the date of first disbursement.

17.2 Rupee Term Loan from another Bank is secured by the first pari-passu charge over all movable Property, Plant and Equipment of the Company, and second pari-passu charge over Current Assets of the Company. The interest rate on such Term Loan is 190 basis points over RBI Repo rate and is repayable in 20 equal quarterly instalments after one year of moratorium period from the date of first disbursement.

The Company has also satisfied all Debt Covenants prescribed in terms of Bank Loans. The Company has not defaulted on any loans payable.

20.1 Working Capital and Packing Credit Loans from Banks are secured by hypothecation of Raw Materials, Stock-in-Process, Finished Goods, Consumables, Spares, Stores, Receivables and Other Current Assets both present and future on pari passu basis and second charge over all Movable Property, Plant and Equipment of the Company on pari passu basis. Average Interest rate is around 6.70% per annum.

20.2 The Company has been sanctioned Working Capital limits in excess of Rs. Five Crores in aggregate from Banks on the basis of security as mentioned in Note 20.1 above. The revised intimations in respect of amounts reported in Quarterly Returns/Statements filed by the Company with such Banks are in agreement with the Audited/Unaudited Books of Account of the Company.

The Company has satisfied all Debt Covenants prescribed in Terms of Bank Loans. The Company has not defaulted on any loans payable.

29.1 The Company has recognised an amount of ' 410.67 (March 31,2025 : ' 292.98) as Expenses for Defined Contribution Plans in the Standalone Statement of Profit and Loss for the year ended March 31,2026.

29.2 Provident Fund (Funded)

Provident Fund contributions in respect of employees upto August 2017 of erstwhile IFGL Refractories Limited are made to a Trustee managed exempted fund and interest paid to member thereof is not lower than that declared annually by the Central Government. Shortfall if any is made good by the Company. Membership to said fund has been closed on and from September 1,2017, subject to necessary approvals and/or permissions. Provident Fund in respect of remaining employees are made to Statutory Provident Fund established by the Central Government. Based on the final guidance for measurement of Provident Fund liabilities of the Trustee managed fund issued by the Actuarial Society of India, the Company's Liability at the year ended March 31, 2026 is 6.31 (March 31,2025 : NIL) has been actuarially determined by an Independent Actuary using the Projected Unit Credit Method and provided for. Provident Fund in respect of remaining employees of the Company are made to Statutory Provident Fund established by the Central Government as stated above.

29.3 Gratuity (Funded)

The Company provides for Gratuity benefit to its Employees. Gratuity entitlement of the employees is as per the provision of the Payment of Gratuity Act, 1972/Code on Social Security, 2020. However in case of employees joining before April 1,2003 of erstwhile IFGL Refractories Limited, they are entitled to Gratuity as per scheme framed by that Company or as per the Payment of Gratuity Act, 1972/Code on Social Security, 2020, which ever is higher. Liability with regard to Gratuity Plan are determined by the Actuarial Valuation as set out in Note 2.14 (v), based on which the Company makes contribution to the Fund using the Projected Unit Credit Method. The most recent Actuarial Valuation of the Fund was carried out as at March 31,2026. Refer Note 29.6 for Actuarial Valuation. Refer Note 43 for the Code on Social Security, 2020 (SS Code).

29.4 Superannuation (Funded)

Certain employees joined before March 31, 2004 of erstwhile IFGL Refractories Limited are member of Trustee managed Superannuation Fund. The said Fund provides for Superannuation benefit on retirement/death/incapacitation/termination and was amended from the Defined Benefit to Defined Contribution Plan effective April 1,2004. Defined Benefit Plan was frozen as on March 31,2004. Necessary formalities/approvals have been complied with and obtained. Refer Notes 2.14 (iii) for Accounting Policy relating to Superannuation and Refer Note 29.6 for Actuarial Valuation.

From December 2022, the Company is not effecting payment of contributions in respect of its employees and Member of Company's Income Tax recognised Superannuation Fund, IFGL Refractories Ltd - Employees Superannuation Fund following approval by the Principal Commissioner of Income Tax, Kolkata-2 that surplus lying in Plan-A of the Fund can be adjusted against contributions receivable from the Company under Plan-B thereof. Amount involved for the year ended March 31,2026 is ' 29.01, March 2025 is ' 33.23.

29.5 Compensated Absence (Unfunded)

The Company provides for accumulated Leave benefit for eligible employees. Liabilities are determined by Actuarial Valuation as set out in Note 2.14 (vi) using Projected Unit Credit Method.

The above Sensitivity Analysis is based on a change in an assumption while holding all other assumptions constant. In practice, this is unlikely to occur, and changes in some of the assumptions may be correlated. When calculating the sensitivity of the Defined Benefit Obligation to Significant Actuarial Assumptions, the same method (Present Value of the Defined Benefit Obligation calculated with the Projected Unit Credit Method at the end of the reporting period) has been applied while calculating the Defined Benefit Liability recognised in the Balance Sheet.

The methods and types of assumptions used in preparing the Sensitivity Analysis did not change compared to the prior period.

Risk Exposure :

Through its Defined Benefit Plans, the Company is exposed to a number of risks, the most significant of which are detailed below :

a. Investment Risk : The Defined Benefit Plans are funded Government Securities and Units of Insurers. The Company does not have any liberty to manage the funds provided to Insurance Companies.

b. Interest Risk : A decrease in the interest rate on Plan Assets will increase the Plan Liability.

c. Life Expectancy : The Present Value of the Defined Benefit Plan Liability is calculated by reference to the best estimate of the mortality of plan participants both during and at the end of the employment. An increase in the life expectancy of the plan participants will increase the Plan Liability.

d. Salary Growth Risk : The Present Value of Defined Benefit Plan Liability is calculated by reference to the future salaries of plan participants. An increase in Salary will increase the Plan Liability.

# Unspent amount of ' 58.40 (March 31, 2025 : ' 135.46) is transferred to Unspent Corporate Social Responsibility Policy (CSR) account on April 30, 2026 in compliance of provision of Section 135 of Companies Act, 2013.

** Includes contribution paid to Related Party - IFGL Refractories Welfare Trust of ' 422.53 [including ' 70.00 for Current year (Previous year : ' 36.00] [Refer Note 36].

In compliance with the provisions laid under Section 135 of the Companies Act, 2013 read with Companies (Corporate Social Responsibility Policy) Rules, 2014 and Companies (Corporate Social Responsibility Policy) Amendment Rules, 2021, the Company has provided for expenditure towards unspent Corporate Social Responsibility (CSR) towards Ongoing projects. Subsequent to the year-end, the said amount which is remaining Unspent under Section 135(5) of the Act, on account of Ongoing projects, has been transferred to a Special Account opened by the Company within prescribed time limit in a Scheduled Bank. In respect of other than Ongoing projects, there are no unspent amounts that are required to be transferred to a fund specified in Schedule VII of the Companies Act, 2013 (the Act), in compliance with Second Proviso to Sub-section 5 of Section 135 of the Act.

(b) The Company challenged vires of Explanation to Section 10AA(1) of the Income Tax Act, 1961 (the Act) inserted on and from Assessment Year beginning April 01,2018, on grounds that such Explanation denies the benefit intended to be provided under the said Section, by filing a Writ Petition before Hon'ble High Court at Calcutta (Hon'ble High Court). In the earlier year, the said Writ Petition was dismissed by the Single Bench of the Hon'ble High Court. Being aggrieved, the Company preferred an appeal before the Division Bench of the Hon'ble High Court which had admitted the same on January 10, 2024. Tax amount involved is ' 831.53 (March 31,2025 : ' 831.53) and it has been considered as possible in nature, basis a legal opinion obtained by the Company. In the opinion of the Management, outcome of aforesaid proceedings will not materially impact Company's financial position and result of operations.

(c) In an earlier year, the Company's claim for Assessment Year 2020-21 for ' 2,815.91 (tax impact of ' 983.99) towards deduction on account of Depreciation on Goodwill arising on Amalgamation was disallowed under Income Tax assessment proceedings and being aggrieved thereby, the Company had filed an Appeal. Income tax authorities have subsequently issued Notices under Section 148 of the Act for Assessment Years 2018-19 and 2019-20 thereby reopening Assessments for said Assessment Years on the ground that similar claims of ' 5,006.06 (tax impact of ' 1,732.50) and ' 3,754.55 (tax impact of ' 1,311.99) in the Assessment Years 2018-19 and 2019-20 respectively (excluding consequential interest thereon, if any) escaped assessment as Income. Being aggrieved, the Company filled Writ Petition before Hon'ble High Court on May 21,2024. The Company supported by legal opinion, continues to believe that aforesaid deductions claimed are sustainable on merit and remain unaffected and have shown the above as Contingent Liability.

35. FINANCIAL INSTRUMENTS AND RELATED DISCLOSURES 35.1 Capital Management

The Company aims at maintaining a strong capital base maximizing Shareholders' Wealth safeguarding Business continuity and augments its internal generations with a judicious use of Borrowing Facilities to fund spikes in Working Capital that arise from time to time as well as requirements to finance business growth.

The Company monitors Capital using Gearing Ratio which is Net Debt divided by Total Capital plus Net Debt. For the purpose of the Company's capital management, capital includes issued equity capital, securities premium and all other equity reserves attributable to the equity holders of the Company. The primary objective of the Company's capital management is to maximise the shareholder value.

The Fair Value of Lease Liabilities is estimated by discounting future cash flows using rates currently available for debt on similar terms, credit risk and remaining maturities. In addition to being sensitive to a reasonably possible change in the forecast cash flows or the discount rate, the Fair Value of the Equity Instruments is also sensitive to a reasonably possible change in the growth rates. Management regularly assesses a range of reasonably possible alternatives for those significant unobservable inputs and determines their impact on the total Fair Value.

35.3 Financial Risk Management Objectives

The Company's activities expose it to a variety of Financial Risks, including Market Risk, Credit Risk and Liquidity Risk. The Company continues to focus on a system based approach to Business Risk Management. The Company's Financial Risk Management process seeks to enable the early identification, evaluation and effective management of key risks facing the business. Backed by strong Internal Control Systems, the current Risk Management System rests on policies and procedures issued by appropriate authorities; process of regular reviews / audits to set appropriate risk limits and controls; monitoring of such risks and compliance confirmation for the same.

Fair Value Hierarchy

The following table provides an analysis of Financial Instruments that are measured subsequent to initial recognition at Fair Value, grouped into Level 1 to Level 3, as described below :

Quoted/Repurchase prices in an active market (Level 1) : This level of hierarchy includes Financial Assets that are measured by reference to Quoted / Repurchase Prices (unadjusted) in active markets for identical Assets or Liabilities. This category consists of Investment in Equity Shares, Mutual Fund Investments and Others.

Valuation techniques with observable inputs (Level 2) : This level of hierarchy includes Financial Assets and Liabilities, measured using inputs other than Quoted Prices included within Level 1 that are observable for the Asset or Liability, either directly (i.e., as prices) or indirectly (i.e., derived from prices).

Valuation techniques with significant unobservable inputs (Level 3) : This level of hierarchy includes Financial Assets and Liabilities measured using inputs that are not based on observable market data (unobservable inputs). Fair Values are determined in whole or in part, using a valuation model based on assumptions that are neither supported by prices from observable current market transactions in the same instrument nor are they based on available market data. This level of hierarchy does not include any instrument.

There have been no transfers between Level 1 and Level 2 during the years ended March 31,2026 and March 31,2025.

In determining Fair Value Measurement, the impact of potential climate related matters, including legislation, which may affect the Fair Value Measurement of Assets and Liabilities in the Financial Statements has been considered. These risks in respect of climate related matters are included as key assumptions where they materially impact the measure of recoverable amount. These assumptions have been included in the Cash Flow forecasts in assessing Value-in-use amounts.

At present, the impact of climate related matters is not material to the Company's Financial Statements.

(a) Market Risk

The Company's Financial Instruments are exposed to market changes. The Company is exposed to following significant market risk:

i. Foreign Currency Risk

ii. Interest Rate Risk

iii. Price Risk

38. AMALGAMATION WITH ERSTWHILE IFGL REFRACTORIES LIMITED (ERSTWHILE HOLDING COMPANY)

Hon'ble National Company Law Tribunal, Kolkata Bench (Tribunal) by passing an Order on August 3, 2017 under Sections 230 and 232 of the Companies Act, 2013 sanctioned a Scheme of Amalgamation (Scheme) for merger of erstwhile IFGL Refractories Ltd ("IFGL") with the Company on and from April 1,2016, being the Appointed Date. Scheme had become effective from August 5, 2017 following filing of Order of Hon'ble Tribunal with the Ministry of Corporate Affairs (Registrar of Companies) by the Company and IFGL on that date. The Scheme was accordingly given effect to in the Financial statements for the Financial Year 2016-17.

In accordance with the provisions of aforesaid Scheme -

(a) The Amalgamation was accounted under the 'Purchase Method' as prescribed by Accounting Standard 14 - Accounting for Amalgamation under the previous GAAP.

(b) The excess of the value of Equity Shares issued by the Company over the book value of Assets and Liabilities taken over by the Company and cancellation of Equity Shares held by erstwhile IFGL Refractories Limited in the Company, amounting to ' 26,699.46 was recorded as Goodwill arising on Amalgamation.

(c) The Goodwill recorded on Amalgamation is being amortised and the Company has estimated its useful life of 10 years. Accordingly, amortisation for the year amounting to ' 2,669.91 (March 31, 2025 : ' 2,669.95) has been recognised in the Standalone Statement of Profit and Loss. As at March 31,2026 the Carrying value of such Goodwill has become Nil.

41. The Company has used SAP HANA and SARAL Payroll accounting softwares 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, except that (a) In respect of SAP HANA accounting software, audit trail feature is not enabled at the database level; and (b) in respect of SARAL Payroll software, audit trail feature was not enabled. Further, no instance of audit trail feature being tampered with was noted in respect of the above accounting software where the audit trail has been enabled. Additionally, the audit trail of prior years 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 years.

43. On November 21, 2025, the Government of India notified provisions of the Code on Wages, 2019, the Industrial Relations Codes, 2020, the Code on Social Security, 2020 and the Occupational Safety, Health and Working Conditions Code, 2020 (collectively referred to as the 'New Labour Codes') which consolidate twenty nine existing labour laws into a unified framework governing Employee benefits during employment and post employment. The Company has assessed the incremental impact of these changes on the basis of the best information available, consistent with the guidance provided by the Institute of Chartered Accountants of India. Considering the impact to be non-recurring in nature, the Company has presented this incremental estimated impact aggregating ' 523.47 (March 31, 2025 : Nil) consisting of certain employee benefits primarily arising due to change in wage definition under "Exceptional Item" in the Standalone Financial Statement for the year ended March 31, 2026. The Company continues to monitor the finalisation of Central and State rules, clarifications from the Government on other aspects of the New Labour Codes and will provide appropriate accounting effects based on such developments as needed.

44. OTHER STATUTORY INFORMATION

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

(ii) There are no charges or satisfaction which is yet to be registered with ROC beyond the statutory period.

(iii) The Company has not traded or invested in Crypto Currency or Virtual Currency during the financial year.

(iv) The Company has not advanced or loaned or invested funds to any other persons or entities, 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) or

(b) provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.

(v) The Company has not received any fund from any persons or entities, 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 Funding Party (Ultimate Beneficiaries) or

(b) provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

(vi) The Company does not have any such transaction which is not recorded in the books of accounts that has been surrendered or disclosed as Income during the year in the Tax Assessments under the Income Tax Act, 1961 (such as, search or survey or any other relevant provisions of the Income Tax Act, 1961).

(vii) The Company does not have balance with the companies struck off under Section 248 of Companies Act, 2013 or Section 560 of Companies Act, 1956.

(viii) The Company has complied with the requirements of 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.

(ix) The Company has no Core Investment Companies (CICs) which are registered with the Reserve Bank of India.

(x) The Company has not been declared as wilful defaulter by any bank or financial institution or other lender.