50. Provision - Warranty
In respect of any present obligation as a result of past event that could lead to a probable outflow of resources,
provisions has been made, which would be required to settle the obligation. The said provisions are made as per
the best estimate of the management and disclosure as per Ind AS 37 - “Provisions, Contingent Liabilities and
Contingent Assets” has been given below:
52. Corporate Social Responsibility
As per section 135 of the Companies Act, 2013, the Company is required to spend at least 2% of its average net
profits for the immediately preceding three financial years on corporate social responsibility activities. The CSR
Committee of the Company monitors the CSR activities and the projects are undertaken in pursuance of the
Company's CSR Policy. The amount has to be expended on the activities which are specified in Schedule VII of
the Comapanies Act, 2013.
The sensitivity analysis have been determined based on reasonably possible changes of the respective
assumptions occurring at the end of the reporting period, while holding all other assumptions constant.
The sensitivity analysis presented above may not be representative of the actual change in the Defined Benefit
Obligation as it is unlikely that the change in assumptions would occur in isolation of one another as some of the
assumptions may be correlated.
Furthermore, in presenting the above sensitivity analysis, the present value of the Defined Benefit Obligation has
been calculated using the projected unit credit method at the end of the reporting period, which is the same
method as applied in calculating the Defined Benefit Obligation as recognised in the balance sheet.
There was no change in the methods and assumptions used in preparing the sensitivity analysis from prior years.
II. Other long term benefits (Privilege Leave benefits)
The following table sets out the non funded status of the Privilege Leave benefits and the amounts recognized
in the Company's financial statements.
Sensitivity analysis is performed by varying a single parameter while keeping all the other parameters unchanged.
Sensitivity analysis fails to focus on the interrelationship between underlying parameters. Hence, the results may
vary if two or more variables are changed simultaneously. The method used does not indicate anything about
the likelihood of change in any parameter and the extent of the change if any.
56. Capital Management
The Company's Capital Management objectives are:
- to ensure the Company's ability to continue as a going concern; and
- to provide an adequate return to shareholders through optimisation of debts and equity balance.
The Company monitors its capital using gearing ratio, which is net debt divided to total equity. Net debt includes,
interest bearing loans and borrowings less cash and cash equivalents, bank balances other than cash and cash
equivalents. The Company's objective for capital management is to maintain an optimum overall financial
structure.(Refer Note 60 for Debt Equity Ratio).
57. Additional Regulatory Information
i) The Company do not hold any benami property and no proceedings have been initiated or pending against
the Company and its Indian subsidiaries for holding any benami property under the Benami Transactions
(Prohibitions) Act, 1988 (45 of 1988) and Rules made thereunder.
ii) Transactions with struck-off companies
The Company do not have any transactions with struck-off companies under Section 248 of the Companies
Act, 2013 or Section 560 of the Companies Act, 1956 other than except as mentioned below.
iii) The Company does not have any charge which
is yet to be registered/satisfied with ROC beyond
the statutory period.
iv) The Company have 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 Group
(Ultimate Beneficiaries); or
(b) provide any guarantee, security or the like to
or on behalf of the Ultimate Beneficiaries.
v) 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 Group 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 has not undertaken any
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 have not traded or invested in
Crypto currency or Virtual Currency during the
current or previous year.
viii) The Company has not been declared as a 'Wilful
Defaulter' by any bank or financial institution
(as defined under the Companies Act, 2013)
or consortium thereof, in accordance with the
guidelines on wilful defaulters issued by the
Reserve Bank of India.
ix) The company has complied with the number of
layers prescribed under clause (87) of section 2
of the Act read with Companies (Restriction on
number of Layers) Rules, 2017.
58. Audit Trail
The Ministry of Corporate Affairs (MCA) has issued a notification Companies (Accounts) Amendment Rules, 2021
which is effective from 1st April, 2023. The amendment requires that every company which uses an accounting
software for maintaining its books of account shall use an accounting software where there is feature of recording
audit trail of each and every transaction and further creating an edit log of each change made to the books of
account along with the date when such changes were made and ensuring that the audit trail cannot be disabled.
The Company uses an accounting software, a payroll application and inventory management software for
maintaining its books of account. Accounting software has a feature of recording audit trail (edit log) facility
and the same has been operated throughout the year for all relevant transactions recorded in the software/
application. Further, payroll application and inventory management have no feature of recording audit trail (edit
log) facility.
As per our report of even date
For S H B A & CO LLP By order of the Board of Directors
(Formerly known as Bathiya & Associates LLP) Mamata Machinery Limited
Chartered Accountants (Formerly known as Mamata Machinery Private Limited)
Firm Registration Number: 101046W/W100063
Mahendra N. Patel Chandrakant B. Patel
Managing Director Joint Managing Director
DIN: 00104997 DIN: 00380810
Jimesh P. Shah Dipak Modi Madhuri Sharma
Partner Chief Financial Officer Company Secretary
Membership No.: 169252 M No.: A44889
Place: Ahmedabad Place: Ahmedabad Place: Ahmedabad
Date: 28th May, 2025 Date: 28th May, 2025 Date: 28th May, 2025
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