a. The title deeds of all the immoveable properties (other than properties where the Company is a lessee and the lease agreements are duly executed in favour of the lessee) are held in the name of the Company except pursuant to change in the name of the company from Orient Technologies Private Limited to Orient Technologies Limited post receipt of approval from the Registrar of Companies, Mumbai dated 12th October 2023, the formalities for transfer in the new name of the company is in process.

b. The Company has not carried out any revaluation of its Property, Plant and Equipment during the year.

c. During the year the Company has paid Capital Advance of INR 315.55 lacs for the purchase of office premises, the balance commitment is INR 1380.88 lacs

Ind AS 116 - Leases

(a) The Company has applied a single discount rate to a portfolio of leases of similar assets in similar economic environment. Consequently, the Company has recorded its lease liability using the present value of remaining lease payments, discounted using the incremental borrowing rate at the date of transition and the right-of- use asset at its carrying amount as if the standard had been applied since the commencement date of the lease but discounted using the incremental borrowing rate at the date of transition.

(b) The Company excluded the initial direct costs from measurement of the RoU asset.

(c) The Company does not recognize RoU assets and lease liabilities for leases with less than twelve months of lease term or within the normal business operating cycles and low-value assets on the date of initial application.

(d) The weighted average rate of discount applied to lease liabilities is 8%

Note 1 : Costs of certain unquoted equity instruments has been considered as an appropriate estimate of fair value because of a wide range of possible fair value measurements and cost represents the best estimate of fair value within that range. These investments in equity instruments are not held for trading. Instead, they are held for medium or long term strategic purpose. Upon the application of Ind AS 109, the company has chosen to designate these investments in equity instruments as at FVTOCI as the directors believes this provides a more meaningful presentation for medium or long-term strategic investments, than reflecting changes in fair value immediately in profit or loss.

Note 2 : Under the settlement process as per Government of India sanctioned Punjab and Maharashtra Co-operative Bank Limited (PMC Bank) (Amalgamation with Unity Small Finance Bank Limited) Scheme 2022 -

1) 80% of the Bank balance and Fixed deposit held by the company with PMC Bank i.e. Rs. 15.88 lakhs has been converted into Perpetual Non Cumulative Preference Shares of Unity Bank with dividend of 1% per annum, payable annually and these preference shares shall be bought back at face value at the end of 10th year i.e. 25th January 2032 subject to certain terms and conditions, and;

2) 20% of the Bank balance and Fixed deposit held by the company with PMC Bank i.e. Rs. 3.97 lakhs has been converted into equity warrants of Unity Bank at a price of Re.1 per warrant and these equity warrants will be further converted into equity shares of Unity Bank at the time of Initial Public Offer when Unity Bank goes for public issue.

Note 3 : The company has made a provision for impairment based on the financial position of AllTime IT Solutions Private Limited.

Note 4 : The Company has made an irrevocable election of accounting policy at the earliest reporting period to fair value investment in equity instrument through Other Comprehensive Income ('OCI').

Note -

The Company offsets tax assets and liabilities if and only if it has a legally enforceable right to set off current tax assets and current tax liabilities and the deferred tax assets and deferred tax liabilities relate to income taxes levied by the same tax authority.

Significant management judgement is required in determining provision for income tax, deferred income tax assets and liabilities and recoverability of deferred income tax assets. The recoverability of deferred income tax assets is based on estimates of taxable income by each jurisdiction in which the relevant entity operates and the period over which deferred income tax assets will be recovered.

Note 1: Prepaid expenses includes expenses incurred on back-to-back periodical annual maintenance charges procured for customer support

Note 2: The Company has filed its DRHP on February 27, 2024 for Proposed Initial Public Offer and Offer for sale. The Company has considered 60% of the IPO related expenses towards Initial Public Offer & accounted under Other current assets and 40% of the IPO related expenses as receivable from promoters towards Offer for sale & accounted as Other receivable under Note 13 - Advances recoverable in cash or kind.

Nature and purpose of Reserves Capital reserves

Capital reserve represents excess of fair value of assets acquired over the fair value of the liabilities acquired in a Business combination transaction Debenture redemption reserves

The Company recognizes the Debenture redemption reserve from its retained earnings as per the provisions of Companies Act, 2013, as applicable General Reserve

General Reserve is free reserve which is created by transferring funds from retained earnings to meet future obligations or purposes Retained Earnings

Retained earnings are the profits that the Company has earned till date, less any transfers to general reserve, dividends or other distributions paid to shareholders. Retained Earnings is a free reserve available to the Company.

Re-measurement gain/ (loss) on defined benefit plans (net of taxes)

The Company has elected to recognize changes in the value of certain liabilities toward employee compensation in Other Comprehensive Income. These changes are accumulated within remeasurement gain/ (loss) on defined benefit plan reserve within equity

e) Rights, Preferences & Restrictions of the Class of Shareholders

i) The holder of these Equity Shares is entitled to one vote per share.

ii) In the event of liquidation of the Company, the holder of equity share will be entitled to receive any of the remaining assets of the Company after distribution of the preferential payments. The distribution will be in proportion to the number of equity shares held by the Shareholders.

iii) The Company has not allotted any shares as fully paid up shares pursuant to a contract without payment being received in cash and has not bought back any shares during the preceding five years.

# similar information shall be given where no due date of payment is specified in that case disclosure shall be from the date of the transaction

The Company has used practically expedient by computing expected credit loss allowances for trade receivables based on provision matrix. The provision matrix takes into account historical credit loss experience and adjusted for forward looking information. the expected credit loss allowance is based on the ageing of the days the receivables are due and the rates as given in the provision matrix -

Note 1 : Trade Receivables are hypothecated against working capital facilities from banks

Note 2 : The carrying amount of the T rade Receivables are considered as a reasonable approximation of fair value as it is expected to be collected within twelve months

Note - The Company has repaid its Debenture holders holding 1,770 Debentures before the maturity date and settled their dues alongwith interest @9% computed at compounding rate.

40 The disclosure required under Indian Accounting Standard 19 “Employee Benefits” are given below a Defined Contribution Plan

The Company has recognized Rs. 276.52 lakhs (Previous Year : Rs. 217.97 lakhs in March 23) towards defined contribution plan comprising of Provident Fund and other funds in the Statement of Profit and Loss Account.

b Defined Contribution Plan

The Company does not have any funded plan assets for its defined contribution payout. The Company has provided for a lump sum payout of gratuity liability to vested employees at retirement, death while in employment or on termination of employment of an amount equivalent to 15 days salary for service, payable for each completed year of service or part thereof in excess of six months and also death benefits. Vesting occurs upon completion of five years of service.

This section provides the Report under Ind AS 19 - Employee Benefits in respect of Gratuity Plan.

As per section 135 of the Companies Act,2013, a company, meeting the applicability threshold, needs to spend at least 2% of its average net profit for the immediately preceding three financial years on corporate social responsibility activities. the areas for CSR activities are eradication of hunger and malnutrition, promoting education, art & culture, healthcare, destitute care and rehabilitation, environment sustainability, disaster relief and rural development projects. CSR committee has been formed by the company as per Act. The funds were primarily allocated to a corpus and utilised through the year on these activities, which are specified in schedule VII of Companies Act 2013

44 Foreign Branch

Company has started Branch office in Singapore on 28th Jan 2016, known as "Orient Technologies Pvt Ltd, Singapore Branch".

The principal activities of the Singapore Branch are wholesale of Computer Peripheral Equipment's.

Financials for the year ended March 31, 2024 and March 31, 2023 are audited by Auditors in Singapore and the same is being merged while finalising the Books of Accounts of this company.

46 Segmental Information

Primary (Business) Segment:

Operating segments are defined as components of an enterprise for which discrete financial information is available that is evaluated regularly by the chief operating decision maker, in deciding how to allocate resources and assessing performance. The Group's chief operating decision maker is the Chief Executive Officer and Managing Director.

The Company has identified following as its reportable segment:

a. IT Infrastructure Products and Services

b. Cloud and Devops and Data Management Services

c. ITES Services

Revenue and expenses directly attributable to segments are reported under each reportable segment. All other expenses which are not attributable or allocable to segments have been disclosed as unallocable expenses.

The assets and liabilities of the Group are used interchangeably amongst segments. Allocation of such assets and liabilities is not practicable and any forced allocation would not result in any meaningful segregation. Hence assets and liabilities have not been identified to any of the reportable segments.

47 Financial risk management objectives and policies

The Company's principal financial liabilities, comprise loans and borrowings, trade and other payables. The main purpose of these financial liabilities is to finance the Company's operations and to support its operations. The Company's principal financial assets include trade & other receivables, security deposits given and cash and cash equivalents that derive directly from its operations.

The Company is exposed to credit risk, liquidity risk, foreign currency risk and interest rate risks. The Company's senior management oversees the mitigation of these risks. The Company's financial risk activities are governed by appropriate policies and procedures and that financial risks are identified, measured and managed in accordance with the Company's policies and risk objectives. The policies for managing each of these risks, which are summarized below:-

1 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 two types of risk: interest rate risk and currency risk . Financial instruments affected by market risk include loans and borrowings, deposits and derivative financial instruments.

a 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 changes in market interest rates. The Company’s fixed rate borrowings are carried at amortized cost. They are therefore not subjectto interest rate risk as defined in Ind AS 107, since neither the carrying amount nor the future cash flows will fluctuate on account of a change in market interest rates.

The company’s investments in fixed deposits with bank are mostly towards margin and therefore do not expose the company to significant interest rate risks.

The company tries to obtain such facilities on the best possible terms and always compares it with the rate of interest prevailing in the market and tries to minimize the outflow on the account of interests.

b Foreign currency risk

The Company is exposed to foreign exchange risk arising from direct transactions in foreign currency and also indirectly through transactions denominated in foreign currency though settled in functionality currency (INR), primarily with respect to the US Dollar (USD). Foreign exchange risk arises from future commercial transactions and recognized assets and liabilities denominated in a currency that is not the company’s functional currency (INR).

The risk is measured through a forecast of highly probable currency cash flows. As per the risk management policy, the foreign currency exposure is primarily unhedged.

2 Credit risk

Credit risk refers to the risk of default on its obligation by the counterparty resulting in a financial loss. The Company is exposed to credit risk from its operating activities (primarily trade receivables) and from its financing activities and deposits with banks. The Company's maximum exposure to credit risk is limited to the carrying amount of the financial assets recognised as at March 31,2024.

a Trade receivable

Customer credit is managed by each business unit subject to the Company’s established policies, procedures and control relating to customer credit risk management. Trade receivables are non-interest bearing and are generally on 60 to 120 days creditterm. Credit limits are established for all customers based on internal rating criteria. Outstanding customer receivables are regularly monitored.

An impairment analysis is performed at each reporting date on an individual basis for major clients. In addition, a large number of minor receivables are grouped into homogenous groups and assessed for impairment collectively. The Company does not hold collateral as security. The Company has no concentration of credit risk as the customer base is widely distributed both economically and geographically.

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. Loss rates are based on actual credit loss experience and past trends.

The Company continuously monitors defaults of customers and other counterparties, identified either individually or by the Company, and incorporates this information into its credit risk controls. The Company’s policy is to transact only with counterparties who are highly creditworthy which are assessed based on internal due diligence parameters. In respect of trade receivables, the Company is not exposed to any significant credit risk exposure to any single counterparty or any group of counterparties having similar characteristics. Trade receivables consist of a large number of customers in various geographical areas. Based on historical information about customer default rates management consider the credit quality of trade receivables that are not past due or impaired to be good.

Few of the customers failed to pay the dues within the agreed terms, the Company is taking appropriate action to recover the amount. However, based on the Company’s accounting policy INR 177.33 Lakhs and INR 97.06 Lakhs had been created as a expected credit loss in the books of accounts of the company for the year ended March 31, 2024 and for the year ended March 31, 2023 respectively. Further, Out of previous year's INR 97.06 Lakhs, INR 20.62 Lakhs has been recovered in the current year and expected credit loss has been reversed in the books of accounts of the company for the year ended March 31,2024.

b Financial instruments and cash deposits

Credit risk from balances with banks and financial institutions is managed by the Company’s treasury department in accordance with the Company’s policy. Investments of surplus funds are made as per guidelines and within limits approved by Board of Directors. Board of Directors/ Management reviews and update guidelines, time to time as per requirement. The guidelines are set to minimize the concentration of risks and therefore mitigate financial loss through counterparty’s potential failure to make payments.

3 Liquidity Risk

Liquidity risk is defined as a risk that the Company will not be able to settle or meet its obligations on time. The Company’s treasury department is responsible for liquidity, funding as well as settlement management. In addition, processes and policies related to such risks are overseen by the Senior Management.

At the end of the reporting period, the Company held Mutual fund investments of Rs.3936.51 Lakhs (March 2023 : Rs.3356.94 Lakhs) that are expected to readily generate cash inflows for managing liquidity risk.

48 Capital management

For the purpose of the Company's capital management, capital includes issued equity capital, share premium and all other equity reserves . The primary objective of the Company's capital management is to maximize the shareholder value.

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 and net debt. The Company includes within net debt, interest bearing loans and borrowings, interest accrued on borrowings, less cash and cash equivalents and other bank balances.

49 Fair value measurement

Carrying amounts and fair values of financial assets and financial liabilities, including their levels in the fair value hierarchy, are presented below. It does not include the fair value information for financial assets and financial liabilities not measured at fair value if the carrying amount is a reasonable approximation of fair value.

Fair value hierarchy

Level 1 - Level 1 hierarchy includes financial instruments measured using quoted prices in an active market. This included listed equity instruments and mutual funds that have quoted price. The fair value of all equity instruments which are traded in the stock exchanges is valued using the closing price as at the reporting period. The mutual funds are valued using the closing NAV.

Level 2 - 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)

Level 3 - Inputs for the assets or liabilities that are not based on observable market data (unobservable inputs).

The following methods and assumptions were used to estimate the fair values:

- The Fair values of Mutual Funds and Equities are based on NAV / Quoted Price at the reporting date.

- The Company has not disclosed the fair value of financial instruments such as trade receivables, trade payables, short term loans, etc. because their carrying amounts are a reasonable approximation of fair value and few financial assets and liabilities have been calculated at amortized cost

- The management considers that the carrying amount of financial liabilities carried as amortised cost approximates their fair value 50 Lease Commitment

The company has lease contract for office premises and these lease contracts are cancellable-renewable for further period on mutually agreeable terms during the tenure of leases contracts.

Leases have lease terms between 2 and 5 years The Company’s obligations under its leases are secured by the lessor’s title to the leased assets. The Company has lease contracts that includes extension option, however the lease term in respect of such extension option is not defined in the contract.

The Company recognised a lease liability measured at the present value of the remaining lease payments. The right of-use asset is recognised at its carrying amount as if the standard had been applied since the commence lease, but discounted using the lessee’s incremental borrowing rate as at April 1, 2021. The principal portion of the lease payments have been disclosed under cash flow from financing activities. The lease payments for operating leases as per Ind AS 17 Leases, were earlier reported under cash flow from operating activities. The weighted average incremental borrowing rate of 8.00% has been applied to lease liabilities recognised in the balance sheet at the date of initial application

The following is the movement in lease liabilities during the year ended March 31, 2024 and March 31, 2023: