(l) Provisions, Contingent Liabilities and Contingent Assets

A provision is recognised if, as a result of a past event, the Company has a present legal or constructive obligation that
can be estimated reliably, and it is probable that an outflow of economic benefits will be required to settle the obligation.
If the effect of the time value of money is material, provisions are determined by discounting the expected future cash
flows at a pre-tax rate that reflects current market assessments of the time value of money and the risks specific to the
liability. Where discounting is used, the increase in the provision due to the passage of time is recognised as a finance
cost.

Contingent Liability is disclosed after careful evaluation of facts, uncertainties and possibility of reimbursement,
unless the possibility of an outflow of resources embodying economic benefits is remote. Contingent liabilities are not
recognised but are disclosed in notes.

Contingent assets are not disclosed in the Financial statements unless an inflow of economic benefits is probable.

(m) Cash & Cash Equivalents

Cash and cash equivalents in the balance sheet comprise cash at banks and on hand and demand deposits with an
original maturity of three months or less and highly liquid investments that are readily convertible into known amounts
of cash and which are subject to an insignificant risk of changes in value net of outstanding bank overdrafts as they are
considered an integral part of the Company’s cash management.

(n) Provision for Employee Benefits

Short Term Employee Benefit obligation:

All employee benefits payable wholly within twelve months of rendering the service are classified as short term employee
benefits and they are recognized in the period in which the employee renders the related service. The Company
recognizes the undiscounted amount of short term employee benefits expected to be paid in exchange for services
rendered as a liability (accrued expense) after deducting any amount already paid.

Long Term Employee Benefit obligation:

I. Defined Contribution plans:

The Company pays provident fund contributions to publicly administered provident funds as per local regulations.
The Company has no further payment obligations once the contributions have beenpaid. The contributions are

accounted for as defined contribution plans and the contributions are recognised as employee benefit expense
when they are due.

II. Gratuity Obligation

The liability or asset recognised in the balance sheet in respect of gratuity plans is the present value of the defined
benefit obligation at the end of the reporting period less the fair value of plan assets. The defined benefit obligation
is calculated annually by actuaries using the projected unit credit method.

The present value of the defined benefit obligation is determined by discounting the estimated future cash
outflows by reference to market yields at the end of the reporting period on government bonds that have terms
approximating to the terms of the related obligation.

The net interest cost is calculated by applying the discount rate to the net balance of the defined benefit obligation
and the fair value of plan assets. This cost is included in employee benefit expense in the statement of profit and
loss.

Remeasurement gains and losses arising from experience adjustments and changes in actuarial assumptions are
recognised in the period in which they occur, directly in other comprehensive income.

Changes in the present value of the defined benefit obligation resulting from plan amendments or curtailments are
recognised immediately in profit and loss as past service cost.

III. Compensated absences (non-funded):

The plan is non-funded and non-contributory defined benefit and cover the Company’s liability for privilege leave.
Under the compensated absences plan, leave encashment is payable to eligible employees on separation from the
Company due to death, retirement, superannuation or resignation.

The Company determines the liability for such accumulated leaves using the Projected Accrued Benefit method
with actuarial valuations being carried out at each Balance Sheet date. Expenses related to other long term
employee benefits are recognized in the Statement of Profit and loss (including actuarial gain and loss).

( o) Impairment of Non-financial Assets

Non-financial assets other than inventories, deferred tax assets are reviewed at each Balance Sheet date to determine
whether there is any indication of impairment. If any indication of such impairment exists, the recoverable amount of such
assets / cash generating unit is estimated and in case the carrying amount of these assets exceeds their recoverable
amount, an impairment is recognised.

The recoverable amount is the higher of the fair value less cost to sell and their value in use. Value in use is arrived at by
discounting the future cash flows to their present value based on an appropriate discount factor. Assessment is also
done at each Balance Sheet date as to whether there is indication that an impairment loss recognised for an asset in
prior accounting periods no longer exists or may have decreased, such reversal of impairment loss is recognised in the
Statement of Profit and Loss.

(p) Segment reporting

The Company identifies operating segments based on the dominant source, nature of risks and returns and the internal
organisation. The operating segments are the segments for which separate financial information is available and for
which operating profit/loss amounts are evaluated regularly by the Managing Director (who is the Company’s chief
operating decision maker) in deciding how to allocate resources and in assessing performance

(q) Dividends Payable

Final dividend on shares are recorded as a liability on the date of approval by the shareholders and interim dividends are
recorded as a liability on the date of declaration by the Company’s Board of Directors.

(r) Earnings Per Share

Basic earnings per share are calculated by dividing the Profit or Loss for the year attributable to equity shareholders
by the weighted average number of equity shares outstanding during the period. For the purpose of calculating diluted
earnings per share, the Profit or Loss for the year attributable to equity shareholders and the weighted average number
of shares outstanding during the period are adjusted for the effect of all dilutive potential equity shares.

(s) Events after reporting date

Where events occurring after the balance sheet date provide evidence of conditions that existed at the end of the
reporting period, the impact of such events is adjusted within the financial statements. Otherwise, events after the
balance sheet date of material size or nature are only disclosed.

(t) Offsetting of financial instruments

Financial assets and financial liabilities are offset and the net amount is reported in the Balance Sheet, if there is a
currently enforceable legal right to offset the recognised amounts and there is an intention to settle on a net basis, or
to realise the assets and settle the liabilities simultaneously.

(u) Use of Critical Estimates, Judgments And Assumptions

The preparation of the Company’s financial statements requires the management to make judgements, estimates and
assumptions that affect the reported amounts of revenues, expenses, assets and liabilities, and the accompanying
disclosures, and the disclosure of contingent liabilities. Actual results may differ from these estimates. 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 in any future periods affected. In particular, information about significant
areas of estimation uncertainty and critical judgments in applying accounting policies that have the most significant
effect on the amounts recognised in the financial statements is included in the following notes:

a) Litigations [Refer Note 1 (1.3) (l) and Note 35]

b) Revenue [Refer Note 1(1.3)(d)]

(v) Rounding of Amounts

All amounts disclosed in the Financial statements and notes have been rounded off to the nearest lakhs, unless
otherwise stated.

(x) Recent Accounting Pronouncements

Ministry of Corporate Affairs (“MCA”) notifies new standard or amendments to the existing standards under Companies
(Indian Accounting Standards) Rules as issued from time to time. For the financial year beginning from 1 April 2024 , MCA
has not notified any new standards or amendments to the existing standards applicable to the Company.

Pursuant to ordinary resolution passed in the meeting of the members dated May 30, 2024, the Company approved
sub division of equity shares from face value of ' 10/- each to face value of ' 5/- each. Accordingly the, authorized
share capital of the company was changed from ' 25,00,00,000 consisting of 2,50,00,000 Equity Shares of ' 10/- each to
' 25,00,00,000 consisting of 5,00,00,000 Equity Shares of ' 5/- each.

Pursuant to resolution passed in the meeting of the Board of Directors dated July 19, 2024, the Company approved
allotment of 13,61,000 Equity Shares of ' 5 each on private placement basis at premium of ' 57 per share for every 1
existing fully paid-up equity share of face value f 10 each. to each of the persons who accepted the offer.

d) Rights, preferences and restrictions :

The Company has only one class of equity shares having a par value of ' 5 Per Share. Each holder of equity share is
entitled to one vote per share.

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. the distribution will be in proportion to the no. of equity shares
held by shareholder.

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. the distribution will be in proportion to the no. of equity shares
held by shareholder.

e) Pursuant to resolution passed in the meeting of the Board of Directors dated May 24, 2024, the Company approved
issuance 2.5 of bonus shares of ' 10/- each for every 1 existing fully paid-up equity share of face value f 10 each.

Details of Securities and Terms of repayment

1) Secured Car Loan with total sanction amount of ' 113.34 Lakhs @12.08% (outstanding as on 31.12.2024'65.57
Lakhs and as on 31.03.2024'96.47 Lakhs) payable in monthly installments ranging between ' 0.42 Lakhs & ' 1.60
Lakhs, secured by Hypothecation of Car, and is collaterelly secured by personal guarantee of the directors of the
company.

2) Secured Loan with total Sanction amount of ' 650.51 Lakhs @10.01(outstanding as on 31.12.2024'542.50 Lakhs
and as on 31.03.2024'621.54 Lakhs) for the purpose of acquisition of machinery, payable in monthly installments
ranging between ' 1.39 Lakhs & ' 5.90 Lakhs, secured by hypothecation of all exsiting & future movable assets,
and movable Property,Plant & Equipment. Furthermore, it is collaterelly secured by lien mark of fixed depsoits &
personal guarantee of the directors of the company.

3) Secured Term Loans with total sanction amount of ' 284.00 Lakhs @8.5%(outstanding as on 31.12.2024'226.41
Lakhs and as on 31.03.2024'277.80 Lakhs) payable in monthly installments ranging between ' 1.55 Lakhs & ' 4.16
Lakhs, secured by hypothecation of all exsiting & future movable assets, and movable Property,Plant & Equipment.
Furthermore, it is collaterelly secured by lien mark of fixed depsoits & personal guarantee of the directors of the
company.

37 Financial instruments

The details of material accounting policies, including criteria for recognition, the basis of measurement and the basis
on which income and expenditure are recognised, in respect of each class of financial asset, financial liability and equity
instrument are disclosed in Note 1.

A Calculation of fair values

The fair values of the financial assets and liabilities are defined as the price 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. The following
methods and assumptions were used to estimate the fair values of financial instruments:

i The fair value of the long-term borrowings carrying floating-rate of interest is not impacted due to interest rate
changes and will not be significantly different from their carrying amounts as there is no significant change in the
under-lying credit risk of the Company (since the date of inception of the loans).

ii Cash and cash equivalents, trade receivables, investments in term deposits, other financial assets, trade payables,
and other financial liabilities have fair values that approximate to their carrying amounts due to their short-term
nature.

c. Fair value hierarchy

The Company uses the following hierarchy for determining and/or disclosing the fair value of financial instruments

by valuation techniques:

The categories used are as follows:

• Level 1: It includes financial instruments measured using quoted prices and the mutual funds are measured
using the closing Net Asset Value (NAV).

• Level 2: The fair value of financial instruments that are not traded in an active market is determined using
valuation techniques which maximise the use of observable market data and rely as little as possible on entity
specific estimates. If all significant inputs required to fair value an instrument are observable, the instrument
is included in level 2.

• Level 3: inputs for the asset or liability that are not based on observable market data (unobservable inputs).

There were no transfer between Level 1 and Level 2 in the periods.

38 Assets and liabilities relating to Employee Benefits

See accounting policy in Note 1(n)

For details about the related employee benefit expenses, see Note 28
A. Defined Contribution Plan:

The Company’s defined contribution plans are superannuation, employees state insurance scheme and provident fund

administered by Government since the Company has no further obligation beyond making the contributions.

The expenses recognised during the year towards defined contribution plans are as detailed below:

39 Financial risk management

The Company’s Board of Directors has overall responsibility for the establishment and oversight of the Company’s risk
management framework.

The Company’s risk management policies are established to identify and analyse the risks faced by the Company, to set
appropriate risk limits and controls and to monitor risks. Risk management policies and systems are reviewed regularly
to reflect changes in market conditions and the Company’s activities. The Board has taken all necessary actions to
mitigate the risks identified basis the information and situation present.

The Company has exposure to the following risks arising from financial instruments:

a. Credit risk;

b. Liquidity risk;

c. Market risk; and

d. Interest rate risk

(A) Credit risk

Credit risk arises from the possibility that the value of receivables or other financial assets of the Company may be
impaired because counterparties cannot meet their payment or other performance obligations.

To manage credit risks from trade receivables other than Related Party, the credit managers from Order to Cash
department of the Company regularly analyse customer’s receivables, overdue and payment behaviours. Some of these
receivables are collateralised and the same is used according to conditions. These could include advance payments,
security deposits, post-dated cheques etc. Credit limits for this trade receivables are evaluated and set in line with
Company’s internal guidelines. There is no significant concentration of default risk.

Credit risks from financial transactions are managed independently by Finance department. For banks and financial
institutions, the Company has policies and operating guidelines in place to ensure that financial instrument transactions
are only entered into with high quality banks and financial institutions. The Company had no other financial instrument
that represents a significant concentration of credit risk.

The Company considers the probability of default upon initial recognition of asset and whether there has been a
significant increase in credit risk on an ongoing basis through out each reporting period. To assess whether there is a
significant increase in credit risk the Company compares the risk of default occurring on asset as at the reporting date
with the risk of default as at the date of initial recognition. It considers reasonable and supportive forwarding-looking
information such as:

i) Actual or expected significant adverse changes in business,

ii) Actual or expected significant changes in the operating results of the counterparty,

iii) Financial or economic conditions that are expected to cause a significant change to the counterparty’s ability to
meet its obligations,

iv) Significant changes in the value of the collateral supporting the obligation or in the quality of the third-party
guarantees or credit enhancements.

Financial assets are written off when there is no reasonable expectations of recovery. Where loans or receivables have
been written off, the Company continues engage in enforcement activity to attempt to recover the receivable due.
Where recoveries are made, these are recognized in statement of profit & loss.

Credit risk is managed at Company level.

For other financial assets, the Company assesses and manages credit risk based on internal control and credit
management system. The finance function consists of a separate team who assess and maintain an internal credit
management system. Internal credit control and management is performed on a Company basis for each class of
financial instruments with different characteristics.

The Company considers whether there has been a significant increase in credit risk on an ongoing basis throughout
each reporting period. It considers available reasonable and supportive forward-looking information.

Macroeconomic information (such as regulatory changes, market interest rate or growth rates) are also considered as
part of the internal credit management system.

A default on a financial asset is when the counterparty fails to make payments as per contract. This definition of default
is determined by considering the business environment in which entity operates and other macro-economic factors.

The Company maintains exposure in cash and cash equivalents, deposits with banks, investments, and other financial
assets. Individual risk limits are set for each counter-party based on financial position, credit rating and past experience.
Credit limits and concentration of exposures are actively monitored by the Management of the Company. The maximum
exposure to credit risk at the reporting date is the carrying value of each class of financial assets. The Company believes
that the current value of trade receivables reflects the fair value/ recoverable values.

(B) Liquidity risk

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial
liabilities that are settled by delivering cash or another financial asset. The Company’s approach to managing liquidity is
to ensure, as far as possible, that it will have sufficient liquidity to meet its liabilities when they are due, under both normal
and stressed conditions, without incurring unacceptable losses or risking damage to the Company’s reputation. Due to
the dynamic nature of underlying businesses, the Company maintains flexibility in funding by maintaining availability
under committed credit lines.

Management monitors rolling forecast of Company’s liquidity position (comprising the undrawn borrowing facilities below)
and cash and cash equivalents on the basis of expected cash flows. In addition, the company’s liquidity management
policy involves projecting cash flows in major currencies and considering the level of liquid assets necessary to meet
these, monitoring balance sheet liquidity ratios against internal and external regulatory requirements and maintaining
debt financing plans.

(C) Market risk

Market risk is the risk that changes in market prices - such as foreign exchange rates, interest rates and equity prices
- will affect the Company’s income or the value of its holdings of financial instruments. The objective of market risk
management is to manage and control market risk exposures within acceptable parameters while optimising the return.

The Company is exposed to market risk primarily related to foreign exchange rate risk (currency risk), interest rate
risk and market value of its investments. Thus the Company’s exposure to market risk is a function of investing and
borrowing activities and revenue generating and operating activities in foreign currencies.

(i) Foreign Currency Risk

Foreign currency opportunities and risks for the Company result from changes in exchange rates and the related
changes in the value of financial instruments (including receivables and payables) in the functional currency (INR). The
Company is exposed to foreign exchange risk arising from foreign currency transactions primarily with respect to US
Dollar(USD).

The USD exchange rate has changed substantially in recent periods and may continue to fluctuate substantially in the
future. The Company has put in place a Financial Risk Management Policy to Identify the most effective and efficient
ways of managing the currency risks.

* Exposure of the Company in respect of the above mentioned Financial Asset and Financial Liabilities in
Foreign Currency is unhedged.

Sensitivity analysis

The following table details the Company’s sensitivity to a 25 basis points increase and decrease in the Rupee against the
relevant foreign currencies is the sensitivity rate used when reporting foreign currency risk internally to key management
personnel and represents management’s assessment of the reasonably possible change in foreign exchange rates.
This is mainly attributable to the net exposure outstanding on receivables or payables in the Company at the end of the
reporting period. The sensitivity analysis includes only outstanding foreign currency denominated monetary items and
adjusts their translation at the period end for a 0.25% change in foreign currency rate. This analysis assumes that all
other variables, in particular interest rates, remain constant and ignores any impact of forecast sales and purchases. In
cases where the related foreign exchange fluctuation is capitalised to fixed assets or recognised directly in reserves, the
impact indicated below may affect the Company’s income statement over the remaining life of the related fixed assets
or the remaining tenure of the borrowing respectively.

(D) Cash flow and fair value interest rate risk
- Interest rate risk management:

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 rates. The Company’s exposure to the risk of changes in market rates relates primarily to the
Company’s short-term and long-term debt obligations with floating interest rates.

- Price Risk

The Company’s exposure to price risk arises from investment in mutual funds and classified in the balance sheet
as fair value through profit and loss. Mutual fund investments are susceptible to market price risk, mainly arising
from changes in the interest rates or market yields which may impact the return and value of such investments.
However, due to very short tenor of the underlying portfolio in the liquid schemes, these do not pose any significant
price risk.

40 Capital management
(a) Risk management

The Company’s objectives when managing capital are to:

1. safeguard their ability to continue as a going concern, so that they can continue to provide returns for shareholders and
benefits for other stakeholders, and

Notes:

a Increase in current assets, mainly from Inventory and other current assets.

b Increase in equity share capital and premium from issue of equity shares and repayment of borrowings.
c Increase in finance cost and debt repayments.

d Increase in Shareholders equity on account of previous year profits. Also, lower equity at the beginning of previous
year resulted in higher ratio for previous year.

e Lower inventory at the beginning of the Previous Year resulted in lower average inventory and consequently higher
inventory turnover ratio.

f Increase in Inventory and other current assets resulted in higher working capital leading to lower net capital turnover
ratio.

43 Relationship with Struck off Companies

The Company does not have any transactions and balances with companies which are struck off.

44 Additional Regulatory Information required by Schedule III to the Companies Act, 2013

i The Company does not have any benami property held in its name. 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 The Company has not been declared wilful defaulter by any bank or financial institution or other lender or government
or any government authority

iii The Company has complied with the requirement with respect to number of layers as prescribed under section
2(87) of the Companies Act, 2013 read with the Companies (Restriction on number of layers) Rules, 2017.

iv Utilisation of borrowed funds and share premium

I 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) or

b. Provide any guarantee, security or the like to or on behalf of the ultimate beneficiaries

II The Company has 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 Funding Party (Ultimate Beneficiaries) or

b. Provide any guarantee, security or the like to or on behalf of the ultimate beneficiaries

v There is no income surrendered or disclosed as income during the year in tax assessments under the Income Tax
Act, 1961 (such as search or survey), that has not been recorded in the books of account.

vi The Company has not traded or invested in crypto currency or virtual currency during the year.

vii The Company does not have any charges or satisfaction of charges which is yet to be registered with Registrar of
Companies beyond the statutory period.

45 Events after the reporting period

There have been no events after the reporting date that require adjustment/disclosures in these financial statements.

For Bagaria & Co. LLP For and on behalf of Board of Directors of

Chartered Accountants Neetu Yoshi Limited (Previously known as Neetu Yoshi

Firm Registration No. 113447W/W-100019 ^{Private Limited)}

Vinay Somani Himanshu Lohia Subodh Lohia

Partner Managing Director & CFO Whole Time Director

Membership No. 143503 DIN: 08564450 DIN: 08564451

Pranjul Gupta

Place : Mumbai Company Secretary

Date: July 28, 2025 Membership No. A35912