s) Provisions, contingent liabilities and contingent
assets

The Company recognizes a provision when there is
a present obligation as a result of a past event that
probably requires an outflow of resources and a
reliable estimate can be made of the amount of the
obligation.

A disclosure for a contingent liability is made when
there is a possible obligation or a present obligation
that may, but probably will not, require an outflow
of resources. Where there is a possible obligation
or a present obligation that the likelihood of outflow
of resources is remote, no provision or disclosure is
made.

Contingent assets are disclosed where an inflow of
economic benefits is probable.

t) Leases

As a lessee

The Company recognises a right-of-use asset and
a lease liability at the lease commencement date.
The right-of-use asset is initially measured at cost,
which comprises the initial amount of the lease
liability adjusted for any lease payments made at
or before the commencement date, plus any initial
direct costs incurred and an estimate of costs to
dismantle and remove the underlying asset or to
restore the underlying asset or the site on which it is
located, less any lease incentives received.

The right-of-use asset is subsequently depreciated
using the straight-line method from the
commencement date to the earlier of the end of
the useful life of the right-of-use asset or the end of
the lease term. The estimated useful lives of right-
of-use assets are determined on the same basis
as those of property and equipment. In addition,
the right-of-use asset is periodically reduced by
impairment losses, if any, and adjusted for certain
re-measurements of the lease liability.

The lease liability is initially measured at the
present value of the lease payments that are not
paid at the commencement date, discounted
using the interest rate implicit in the lease or, if
that rate cannot be readily determined, company's
incremental borrowing rate. Generally, the Company
uses its incremental borrowing rate as the discount
rate.

The lease liability is measured at amortised cost
using the effective interest method. It is remeasured
when there is a change in future lease payments
arising from a change in an index or rate, if there is
a change in the Company's estimate of the amount
expected to be payable under a residual value
guarantee, or if company changes its assessment
of whether it will exercise a purchase, extension
or termination option. When the lease liability is
remeasured in this way, a corresponding adjustment
is made to the carrying amount of the right-of-use
asset, or is recorded in profit or loss if the carrying
amount of the right-of-use asset has been reduced
to zero. The company presents right-of-use assets
that do not meet the definition of investment
property in ‘property, plant and equipment' and
lease liabilities in ‘loans and borrowings' in the
statement of financial position.

Short-term leases and leases of low-value assets

The company has elected not to recognise right-
of-use assets and lease liabilities for short term
leases of real estate properties that have a lease
term of 12 months. The Company recognises the
lease payments associated with these leases as an
expense on a straight-line basis over the lease term.

u) Non-current assets held for sale and discontinued
operation

Non-current assets and disposal groups are
classified as held for sale if their carrying amount is
intended to be recovered principally through a sale
(rather than through continuing use) when the asset
(or disposal group) is available for immediate sale
in its present condition subject only to terms that
are usual and customary for sale of such asset (or
disposal group) and the sale is highly probable and
is expected to qualify for recognition as a completed
sale within one year from the date of classification.

Non-current assets and disposal groups classified
as held for sale are measured at lower of their
carrying amount and fair value less costs to sell.

v) Earning per share

The Company presents basic and diluted earnings
per share (“EPS”) data for its ordinary shares.

Basic EPS is calculated by dividing the profit or
loss attributable to ordinary shareholders of the
Company by the weighted average number of

ordinary shares outstanding during the period.
Diluted EPS is determined by adjusting the profit
or loss attributable to ordinary shareholders and
the weighted average number of ordinary shares
outstanding for the effects of all dilutive potential
ordinary shares, which includes all stock options
granted to employees.

w) Standards issued but not yet effective

• Ind AS 1 - Presentation of Financial
Statements

If a covenant breach occurs on or before
the reporting date and the liability becomes
payable on demand, it must be classified
as current, even if the lender subsequently
agrees not to demand repayment.

It is classified as current because, at the
reporting date, the entity does not have the
right to defer settlement for at least
12 months. However, if the lender has already
provided—by the reporting date—a grace period
extending at least 12 months beyond that
date, during which the breach can be rectified
and repayment cannot be demanded, the
liability is classified as non-current.

This amendment is to be applied
retrospectively for annual reporting periods
beginning on or after 1 April 2026, in
accordance with Ind AS 8, Accounting Policies,
Changes in Accounting Estimates and Errors.

1 Debentures

a) During F.Y. 26 Company issued secured Listed Non-Convertible Debentures (NCDs) amounting to ' 900 millions,
bearing a coupon rate of 10.25% p.a. These debentures are listed on the National Stock Exchange of India Ltd.,
with Moratorium of 1 Year and repayment of 30% payable on August 26, 2027, February 26, 2028 & 40% payable
on August 25, 2028. Debentures are secured by first ranking exclusive mortgage by way of Equitable mortgage
over certain identified immovable properties including land and building, by company and third party in favour of
Debenture Trustee for the benefit of Debenture Holders.

b) During F.Y. 18, S4A (Scheme for Sustainable Structuring of Stressed Assets) of RBI for Debt resolution plan was
approved and implemented by the lenders of the Company by virtue of which their debts (including the interest
accrued thereon) on the reference date of August 8, 2017 was split into Part A debt which was serviceable from the
reference date and PART B Debt, which was converted into 0.01% Optionally Convertible Debentures (OCD) with a
7% IRR repayable over a period of 10 years commencing from the 6^th year. Further in FY 19, Implementation from
LIC (Life Insurance Corporation of India) & GIC (General Insurance Corporation of India) was completed as per the
scheme and Units of OCD under Part B Debt was issued by the Company. As part of the above S4A scheme, lenders
of the Company had converted Part B debt from Working Capital Term Loan (WCTL) , Working Capital facilities (CC) ,
Non-Convertible Debentures (NCD) & Short-Term Loans (STL) facilities into various tranches of Optionally Converted
Debentures (OCD). The tranche wise details of OCD allotment and their outstanding details as on March 31, 2026 are
as follows -

Tranche 1. (WCTL) ' 91.60 million (P.Y. ' 633.02 million), Tranche 2 (CC) ' 406.53 million (P.Y. ' 1,401.82 million),
Tranche 3 (GIC OCD) ' 32.93 million (P.Y ' 41.71 million) & Tranche 7 (LIC) ' 531.23 million (P.Y. ' 672.89 million).
These debentures have a face value of ' 1,000 each aggregating to ' 1,062.28 million as on March 31, 2026
(P.Y. '.2,749.43 million) and outstanding liabilities on these debenture under IND AS 109 is ' 792.65 million
(P.Y. ' 2,521.84 million) as on March 31, 2026.

The OCD's carry a coupon rate of 0.01% p.a. payable annually on March 31 every year, with a yield to maturity (YTM)
of 7% p.a. payable at the time of maturity, payable from the reference date August 8, 2017 (for Tranches 1,2,3,7,9)
and the original repayment schedule for repayment is over a period of 10 years as follows -

At the end of 6^th year from reference date, i.e. August 8, 2023 - 5%, end of 7^th year, i.e. August 8, 2024 - 20%, end of
8^th year, i.e. August 8, 2025 - 25%, end of 9^th year, i.e. August 8, 2026 - 25% and end of 10^th year, i.e. August 8, 2027
- 25%. For Tranche 3 (GIC) the OCD units were credited effective July 1, 2018 & Tranche 7 (LIC) the OCD Units were
credited effective December 17, 2018, with Moratorium of 5 Years and balance payable in 5% in Year 6, 20% in Year
7, 25% each in Year 8 ,Year 9 & Year 10, from their effective credit date along with the yield to maturity of 7% p.a.

Tranche 1 is secured against a first pari passu charge on the receivables more than 180 days, retention deposit,
stock of land, immovable property and mortgage over certain lands owned by subsidiary companies, corporate
guarantee and pledge of 30% shareholding of subsidiaries owning real estate lands. Ms. Janky Patel, promoter in their
personal capacity and Mr. Muthu Raj to the extent of the value of the property owned by them, has provided personal
guarantees for WCTL lenders. Also there is a charge on escrow accounts of Company, wherein cash flows will be
deposited from real estate projects to be developed/monetized by respective companies, pledge of 93,50,927 shares
(P.Y. 93,50,927 shares) shares of the Company held by promoters and 49% shareholding of Hitodi Infrastructures Pvt.
Ltd. held by the Company.

Tranche 2 is secured against the same security as for CC - refer note 23 - 2) below in working capital demand loan
note, Tranche 3 is secured against charge on certain property held as fixed assets of the Company and subservient
charge on all the property, plant and equipment of the Company. Tranche 7 is secured against charge on certain land
held as stock in trade of the Company and its subsidiaries.

Tranche 1 & Tranche 2 are also secured by pledge of 93,50,927 shares (P.Y. 93,50,927 shares) of the Company held
by promoters of the Company and pledge of 49% holding of the Company in Hitodi Infrastructure Pvt. Ltd. The said
OCDs are also secured by Personal guarantees issued by Ms. Janky Patel . These securities are also for Part A Debt.

Tranche 3 & Tranche 7 are secured against charge on certain immovable properties held as fixed assets and stock-in¬
trade of the Company and its subsidiaries.

2 Term loan banks

The term loan of ' 849.49 million (P.Y. ' 1,151.92 million) includes project specific funding and loan on equipment's,
secured against the particular project cash flow/ current assets and said equipment's respectively. These loans carried
an interest rate of average between 8.60%-10.25% on an average, with a repayment period of 3-7 years. It also includes
foreign currency loan amounting to ' 281.97 million (P.Y. ' 350.60 million) which carried an interest rate of 1.5% 3
months EQUIBOR, with a repayment period of 2 years. Presently there are no interest and principal overdue for repayment
& outstanding for such loans taken by the Company.

3 From others

The term loan of ' 304.38 million (P.Y. ' 1,384.14 million) includes project specific funding from financial institutions
and loan on equipment's, secured against the particular project cash flow / current assets and the said equipment's
respectively. These loans carried an interest rate of average between 10.75 %-11.50% (P.Y. 11% - 11.50%) on an average,
with a repayment period of 3-5 years . Presently there are no interest and principal overdue for repayment & outstanding for
such loans taken by the Company.

4 The borrowings obtained by Company from banks and financial institutions have been applied for the purposes for which
such loans were taken.

5 Financial Covenants

The listed NCD are subject to the following financial covenants

i) Total Debt / Net worth <=2

ii) Total Debt / EBITDA <=4.75

iii) DSCR >= 1

iv) Net worth >=32,000 million

v) PAT remain positive during the tenure of NCD

Other Consortium lenders have below major financial covenants

i) Total Debt / EBITDA <=4.75

ii) Total Outside liabilities / Adjusted Tangible Net worth <=4

iii) DSCR >=1

iv) Current ratio >=1

v) Average DSCR >=1.2

The company has complied these covenants as on March 31, 2026 and there are no indications that the company would
have difficulties complying with the covenants when they will be next tested as at the year end March 31, 2027.

1 Supplier Finance from Others

It includes short-term bills discounting of ' 515.68 million (P.Y. ' 426.45 million) carried at interest rate ranging on 11.00%
to 12.50% (P.Y. 11% to 13.10%) and are repayable up to 180 days from the date of discounting/ date of invoice.

2 Loans repayable on demand

Includes cash credit and working capital demand loan from various banks. These loans have been given against first pari
passu hypothecation of stocks, spare parts, book debts, work-in-progress & guarantees except specifically charged to any
other lenders; secured against pledge of 93,50,927 shares (P.Y. 93,50,927 shares) of the Company held by promoters

and 49% shareholding of Hitodi Infrastructures Pvt. Ltd. held by the Company. It also has second charge on receivable
above 180 days, subservient charge over plant & machinery except specifically charged to any lenders and over certain
immovable properties and right over residual cash flow from sale of real estate charged to OCD's holders.

Terms of repayment:

Cash credit- yearly renewal, rate of interest ranges between 9.90%-12.35 % p.a. (P.Y. 10.20%-13.25% p.a.)

3 Supplier finance from Banks

It includes short-term bills discounting of ' 189.83 million (P.Y. ' 726.33 million) carried at interest rate ranging on 6.75%
to 8.15% (P.Y. 8.00% to 9.60%) and are repayable up to 180 days from the date of discounting/ date of invoice.

4 Unsecured loan

It includes short term inter-corporate payables to related parties of ' Nil (P.Y. ' 594.04 million) and other ' 329.43 million
(P.Y. ' Nil) carrying interest @ 10% and repayable in September 2026.

5 The Company has borrowings from banks and financial institutions on the basis of security of current assets. The quarterly
returns or statements of current assets filed by the Company with banks and financial institutions are in agreement with
the books of accounts.

*Ageing of trade payable is given under note no. 55

1 The Company has ' 870.35 million (P.Y. ' 461.05 million) due (principal and interest) to the suppliers under the Micro

Small and Medium Enterprise Development Act, 2006, as at March 31, 2026. The principal amount due to suppliers under
the Act is ' 707.59 million (P.Y. ' 382.03 million). The interest accrued and due to the suppliers on the above amount is
' 108.08 million (P.Y. ' 77.44 million). Payment made to the suppliers (other than interest) beyond appointed day during
the year is ' 1,613.46 million (P.Y. ' 541.08 million). Interest paid to the suppliers under the Act is Nil (P.Y. ' Nil). Interest
due and payable to the suppliers under the Act towards payments already made is ' 54.68 million (P.Y. ' 1.59 million).
Interest accrued and remaining unpaid at the end of the accounting year is ' 162.76 million (P.Y. ' 79.03 million). The
amount of further interest remaining due and payable even in the succeeding years, until such date when the interest dues
as above are actually paid to the small enterprise for the purpose of disallowance as a deductible expenditure u/s 23 of the
MSMED Act, 2006 is ' 45.33 million (P.Y. ' 45.17 million).

The above information is required to be disclosed under the Micro, Small and Medium Enterprises Development Act, 2006
and has been determined to the extent such parties had been identified on the basis of information available with the
Company and relied upon by the auditors.

a) Based on internal and external information/confirmation, the Company has reversed certain provision/liabilities made in
earlier year.

b) During the year, on prudent basis, the Company has settled a claim for reimbursement of expenses related to its foreign
subsidiary and agreed to pay an amount of USD 5 million (~? 469.35 million) under a structured payment schedule.

c) During the previous year, the Company has settled certain awards under the Vivad se Vishwas (VSV) Scheme for contractual
dispute, a Government of India initiative for dispute resolution. The realizable amounts were determined based on the
forum where the disputes were pending and the balance outstanding amount has been duly provided/written off. During
the current year, one of the Company's clients introduced a similar dispute resolution scheme, namely VVS II, which was
opted by the Company. Accordingly, the Company has recognized/provided for the unrecoverable amount during the year.

d) Based on the assessment of unrealised portion of subsidiary balance on account of para C, indicators of impairment and
assessment of recoverability, the Company has recognized / written-off / reversed provision for diminution in the value of
its investment/loan, based on the estimated recoverable amount, in accordance with the applicable accounting standards.

e) Based on available information, current status of receivable from the JDA partner and legal update for advance to vendor,
the Company has assessed that the balance amount is no longer recoverable. Accordingly, the outstanding balance has
been written off.

f) Based on the court order directing compensation to be paid to certain unit buyers, the Company has recognized the related
provision/liability during the year.

g) On November 21, 2025 the Government of India notified four new Labour codes, i.e. the Code on Wages, 2019, the
Industrial Relations Code, 2020, the Code on Social Security, 2020 and the Occupational Safety, Health and Working
Conditions Code, 2020 which consolidate twenty nine existing labour laws. The Company has assessed and accounted
for the incremental impact of these changes with the best information available and guidance provided by the Institute of
Chartered Accountants of India. Being non-recurring in nature and driven by regulatory changes, the incremental impact of
' 57.77 millions has been disclosed separately as “Exceptional items”.

h) During the year, the Company received a firm offer from a prospective buyer for the sale of its entire stake in ACP Tollways
Private Limited. Based on the management's assessment and the intention to dispose of the investment, the same

has been classified as “Assets Held for Sale” in accordance with the applicable accounting standards. Accordingly, the
Company has recognized/provided for the unrecoverable amount.

i) During the previous year, Company has sold the balance stake in a subsidiary viz Welspun Michigan Engineers Ltd.

(‘WMEL') and recognised the gain on sale of stake.

34 EMPLOYEE BENEFITS

I Brief description of the plans

The Company provides long-term benefits in the nature of provident fund and gratuity to its employees. In case of funded
schemes, the funds are recognized by the income tax authorities and administered through appropriate authorities/
insurers. The Company's defined contribution plans are provident fund, employee state insurance and employees' pension
scheme (under the provisions of the Employees' Provident Funds and Miscellaneous Provisions Act, 1952) since the
Company has no further obligation beyond making the contributions. The Company's defined benefit plans include gratuity
benefit to its employees, which is funded through the Life Insurance Corporation of India. The employees of the Company
are also entitled to leave encashment and compensated absences as per the Company's policy. The provident fund
scheme additionally requires the Company to guarantee payment of specified interest rates, any shortfall in the interest
income over the interest obligation is recognised immediately in the statement of profit and loss as actuarial loss. Any loss/
gain arising out of the investment with the plan is also recognised as expense or income in the period in which such loss/
gain occurs.

38 SEGMENT REPORTING

Based on the “management approach” as defined in Ind AS 108 - operating segments, the Managing Director /

Chief Financial Officer evaluates the Company's performance and allocate resources based on an analysis of various
performance indicators by business segment. Accordingly information has been presented along these segments. The
accounting principles used in the preparation of the financial statement are consistently applied in individual segment to
prepare segment reporting.

For the year ended March 31, 2026, three (March 31, 2025: one) customers, individually, accounted for more than 10% of
the revenue.

*Due to distinct contractual, commercial, and execution terms associated with each project, every project is considered as
a separate customer, even if multiple projects are related to the same party.

39 CORPORATE SOCIAL RESPONSIBILITY EXPENSES

A) In terms of Provisions of Section 135 of the Companies Act 2013 and Rules made thereunder, the Company is required
to spend an amount of ' 33.04 million (P.Y. ' 21.83 million ) during the financial year on corporate social responsibility
(CSR). The Company incurred an amount of ' 14.98 millions (P.Y. ' 13.08 millions) towards CSR expenditure and unspent /
(excess) CSR amount as on March 31, 2026 is ' (0.41) millions (P.Y. ' (18.47) millions).

40 The Company is engaged in providing infrastructural facilities and hence, as per section 186(11) of Companies Act, 2013,
nothing in section 186 shall apply to the Company except sub-section (1) of the said section. Accordingly, a separate
disclosure has not been given in the financial statements as required under section 186(4) with regard to particulars of
loan given, investment made or guarantee given or security provided and the purpose for which the loan or guarantee or
security is proposed to be utilised by the recipient of the loan or guarantee or security.

41 Confirmation letters have been sent in respect of sundry debtors / loans and advances / sundry creditors of which certain
confirmations have been received which are accordingly accounted and reconciled. The remaining balances have been
shown as per books of accounts and are subject to reconciliation adjustments, if any. In the opinion of the management,
the realizable value of the current assets, loans and advances in the ordinary course of business will not be less than the
value at which they are stated in the balance sheet.

44 The Company's pending litigations comprise of claims by or against the Company primarily by the customers / contractors/
suppliers, etc. and proceedings pending with tax and other government authorities. The Company has reviewed its pending
litigations and proceedings and has adequately provided for where provisions are required and disclosed the contingent
liabilities where applicable, in it's financial statements. The Company does not expect the outcome of these proceedings
to have a materially adverse effect on its financial results. In respect of litigations, where the management assessment

of a financial outflow is probable, the Company has made adequate provision of ' 2.00 million (P.Y. ' 25.85 million) and
appropriate disclosure for contingent liabilities is given.

45 Capital commitment

a) Commitment for capital expenditure is ' 140.53 million (P.Y. ' 256.06 million), advance paid is ' 34.62 million
(P.Y. ' 66.92 million).

b) Commitment for investment in subsidiary company is ' 12.50 million ( P.Y. ' 12.50 million).

c) During the year, Company has entered a Memorandum of Agreement (MOA) with Government of Arunachal Pradesh
for revival of the gongri HEP project. As per the MOA, the Company shall achieve the financial closure within

12 months from the date of receipt of Technoeconomic clearance (TEC), hence at this stage impact of capital
commitment will not quantifiable.

46 Contingent liabilities

(a) Outstanding secured bank guarantees / surety bond in respect of contractual commitments in the ordinary course
of business of the Company and group entities is ' 23,988.01 million (P.Y. ' 20,991.94 million) (including customs
' 19.87 million (P.Y.? 19.87 million). Corporate guarantees / letter of credit, net off share of JV partner & provision
already considered in books, on behalf of subsidiaries and others is ' 189.80 million (P.Y. ' 356.12 million).

(b) Service tax and GST liability that may arise on matters in appeal ' 2,020.78 million (P.Y. ' 912.75 million) and
advance paid ' 27.69 million (P.Y. ' 2.87 million). Out of the above, ' 760.19 Million is contractually recoverable from
the clients.

(c) Sales tax ' 54.93 million (P.Y. ' 74.39 million) (advance paid ' Nil (P.Y. ' 0.20 million )), cess ' 122.64 million
(P.Y. ' 122.64 million), custom duty ' Nil (P.Y. ' 16.49 million) (advance paid ' Nil (P.Y. ' 8.46 million)).

(d) Income tax liability (net) that may arise on matters in appeal ' 2,807.37 million (P.Y. ' 3,889.54 million).

(e) Provident fund liability that may arise on matter in appeal ' 15.79 million (P.Y. ' 15.79 million) and advance paid
' 14.63 million (P.Y. ' 14.63 million)

(f) The Company is subject to legal proceeding and claims, which have arisen in the ordinary course of business, inter
alia including certain litigation for land acquired by it for construction purpose, the impact of which is not quantifiable.

These cases are pending with various courts/forums. After considering the circumstances, management believes that
these cases will not adversely effect its financial statement.

(g) A part of the immovable property belonging to the Company has been offered as security, in favour of a bank to the
extent of the value of the land accompanied with corporate guarantee, as collateral for the credit facilities availed
by strategic partner and the Company is also under commitment to construct specific area for land owners . The
Company has provided a shortfall undertaking of ' 500 million for any deficit arising if claim realisation is less than
the determined amount.

(h) Claim against the company not acknowledged as debt of ' 467.94 million (P.Y. ' 467.94 million)

Note 1: The above contingent liabilities affecting to Service Tax, GST, Sales Tax, Customs Duty, Income Tax, and Provident
Fund are based on orders passed by competent authorities.

Note 2: The timing and amount of any future cash outflows in respect of the above contingent liabilities are determinable
only on receipt of judgments/decisions pending with various Courts/forums/authorities. The Company does not expect any
outflow of economic resources in respect of the above contingent liabilities.

ii) Financial instrument measured at amortised cost

The carrying amount of financial assets and liabilities measured at amortised cost in the financial statements are a
reasonable approximation of their fair values since the Company does not anticipate that the carrying amounts would
be significantly different from the values that would eventually be received or settled.

51 Financial risk management

The Company's financial liabilities comprise mainly of borrowings, trade payables and other payables. The Company's
financial assets comprise mainly of investments, cash and cash equivalents, other balances with banks, loans, trade
receivables and other receivables.

The Company is exposed to market risk, credit risk and liquidity risk. The board of directors (‘Board') oversee the
management of these financial risks through its risk management committee. The risk management policy of the Company
formulated by the risk management committee, states the Company's approach to address uncertainties in its endeavour
to achieve its stated and implicit objectives. It prescribes the roles and responsibilities of the Company's management, the
structure for managing risks and the framework for risk management. The framework seeks to identify, assess and mitigate
financial risks in order to minimize potential adverse effects on the Company's financial performance.

The following disclosures summarize the Company's exposure to financial risks and information regarding use of derivatives
employed to manage exposures to such risks. Quantitative sensitivity analysis have been provided to reflect the impact of
reasonably possible changes in market rates on the financial results, cash flows and financial position of the Company.

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 three types of risks: interest rate risk, currency risk and other
price risk. Financial instruments affected by market risk includes borrowings, investments, trade payables, trade
receivables, loans 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 exposure to the risk of changes in market interest rates
relates primarily to the Company's total debt obligations with floating interest rates.

Interest rate sensitivity

The following table demonstrates the sensitivity to a reasonably possible change in interest rates on that portion
of loans and borrowings affected. With other variables held constant, the Company's profit before tax is affected.
With all other variables held constant, the Company's profit before tax is affected through the impact on floating
rate borrowings, as follows :

Sensitivity analysis

The Company is mainly exposed to changes in USD & EURO, as NPR is to be repaid at fixed rate; hence the
Company is not exposed to any exchange rate fluctuation. The below table demonstrates the sensitivity to a
5% increase or decrease in the USD & EURO against INR, with all other variables held constant. The sensitivity
analysis is prepared on the net unhedged exposure of the Company as at the reporting date. 5% represents
management's assessment of reasonably possible change in foreign exchange rate.

b) Foreign currency risk

Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate due to
changes in foreign exchange rates. The Company does not enter into any derivative instruments for trading or
speculative purposes.

c) Equity price risk

The Company's listed and non-listed equity securities are susceptible to market price risk arising from
uncertainties about future values of the investment securities. The Company manages the equity price risk
through diversification. Reports on the equity portfolio are submitted to the Company's senior management on a
regular basis. The Company's Board of Directors reviews and approves all equity investment decisions.

Price sensitivity

The following table demonstrates the sensitivity to a reasonably possible change in price of investment
measured at FVTPL with other variables held constant. The Company's profit before tax is affected through the
impact on change in price of investment as follows:

2) Credit risk

Credit risk refers to the risk of default on its obligation by the counterparty resulting in a financial loss. The maximum
exposure of the financial assets are contributed by trade receivables, unbilled work-in-progress, cash and cash
equivalents and receivable from group companies.

Credit risk on trade receivables and unbilled work-in-progress is limited as the customers of the Company mainly
consists of the government promoted entities having a strong credit worthiness. Whenever required, the Company
uses a provision matrix to compute the expected credit loss allowance for trade receivables and unbilled work-in¬
progress. The provision matrix takes into account available external and internal credit risk factors such as credit

ratings from credit rating agencies, third party report, financial condition, ageing of accounts receivable and the
Company's historical experience for customers.

3) Liquidity risk

Liquidity is defined as the risk that the Company will not be able to settle or meet its obligations on time or at a
reasonable price. 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 senior management.
Management monitors the Company's net liquidity position through rolling forecasts on the basis of expected cash
flows.

53 In Patel Advance JV partnership firm, Company is having fixed capital of ' 0.05 million. In the firm, partnership sharing
has been as follows: the Company 49% (P.Y. 49%), Adira Buildcon Pvt. Ltd. 26% (P.Y. 26%) & Broadcast Lawgical Networks
Pvt. Ltd. 25% (P.Y. 25%). Furthermore, the Company retains priority rights over any surplus generated, to the extent of its
investment against their shares and Broadcast Lawgical Networks Pvt Ltd profit share has been capped at 5% and balance
profit will be share with Adira Buildcon Pvt Ltd.

54 During the year Company has made a political contribution of ' Nil (P.Y. Nil) to political parties.

*Borrowing which is less than 1 years includes the rollover nature credit facility like cash credit, working capital
demand loan & overdraft facility

52 Capital management

For the purpose of the Company's capital management, capital includes issued capital and all other equity reserves
attributable to the equity shareholders of the Company. The primary objective of the Company when managing capital
is to safeguard its ability to continue as a going concern and to maintain an optimal capital structure so as to maximize
shareholder value.

As at March 31, 2026, the Company has only one class of equity shares and has moderate 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 as dividend or re-investment into business based on its long
term financial plans. Consistent with others in the industry, the Company monitors its capital using the gearing ratio which
is total debt divided by total capital.

56 Relationship with struck-off companies

There are no transactions with the Companies whose name are struck off under section 248 of The Companies Act, 2013
or section 560 of the Companies Act, 1956 during the year ended March 31, 2026.

57 Additional regulatory required by schedule III to the Companies Act, 2013

i) The Company does not have has 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 does not have any charges or satisfaction of charges which is yet to be registered with registrar of
Companies beyond the statutory period.

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

iv) 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.

v) 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 on behalf of the ultimate beneficiaries to third parties

vi) 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.

vii) 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.

viii) The Company has not entered into any scheme of arrangement which has an accounting impact on the standalone
financial statements for the current or previous year.