Note 16.2 : Terms/ Rights Attached to Shares Equity: The Company has only one class of Equity Shares having a par value of Rs. 10 per share. Each holder of Equity Shares is entitled to one vote per share and ranks pari passu. The Dividend proposed by the Board of Directors is subject to approval of the shareholders at the ensuing Annual General Meeting. In the event of liquidation, the equity shareholders are eligible to receive the remaining assets of the Company after distribution of all preferential amounts. The distribution will be in proportion to the number of Equity Shares held by the Shareholders.

Note 16.3 : 1466250 Equity Shares out of issued subscribed and paid up share capital were allotted in pursuant to the Scheme of Arrangement as approved by the Hon'ble Allahabad High Court on 5th July 2011 without payment being received in cash.

Note 16.4 : 723125 12% Non Cumulative Compulsorily Redeemable Preference Shares, redeemable at par within a period of 10 years from the date of issue, with a call option available to the company for early redemption, have been issued without payment being received in cash to the share holders of Amalgamating Company in

pursuance of Scheme of Arrangement as approved by Hon'ble Allahabad High Court on 5th July 2011.

Note 16.5 : In earlier years Company has redeemed 253093 & 196708 totalling 449801 12% Non Cumulative Compulsorily Redeemable Preference Shares of Rs. 100 each .The same is approved by Board of Directors in their meeting held at 29.05.2013 & 11.02.2014 respectively. In respect to above Capital Redemption Reserve of Rs. 449.80 Lakh has been created by debiting Rs. 44.98 Lakh from Preference Share Redemption Reserve and Rs. 404.82 Lakh from surplus in the Statement of Profit and Loss.

Note 16.6 : In earlier years Company has further redeemed balance 273324 12% Non Cumulative Compulsorily Redeemable Preference Shares of Rs. 100 each .The same is approved by Board of Directors in their meeting held at 14.11.2014 &12.02.2015 respectively. In respect to above Capital Redemption Reserve of Rs. 273.32 Lakh has been created by debiting Rs. 54.66 Lakh from Preference Share Redemption Reserve and Rs. 218.66 Lakh from surplus in the Statement of Profit and Loss.

Nature and purpose of each reserve with in equity

1. Capital Reserve : This reserve has been transferred to the company in earlier years and can be utilized in accordance with the provisions of Companies Act, 2013

2. General Reserve : The reserve used to transfer profits from retained earnings for appropriation purposes. The amount is to be utilized in accordance with the provisions of Companies Act, 2013

3. Captal Redemption Reserve : Capital Redemption Reserve was created by transferring from retained earnings on account of redemption of non cumulative compulsorily redeemable preference shares. The amount is to be utilized in accordance with the provisions of Companies Act, 2013

4. Retained Earnings: These are the profits that company has earned till date less transfers to general reserve.

5. Other comprehensive Income (OCI): This includes remeasurement loss/gain on defined benefit plans (net of taxes) that will not be reclassified to the statement of profitand loss.

Note 21.1 : Nature of Security of Working Capital Loan :

Working capital loan from Axis Bank Ltd., are secured by way of hypothecation charge on entire current assets comprising of stocks of raw material, stores & spares, stock in process, Finished Goods lying in Unit's works, godowns, offices, and elsewhere in units posession including the goods in transit & cash credit balance in their accounts and further secured by all present and future book debts/receivables etc. It is further collaterally secured by way of equitable mortgage of Factory land & building situated at plot no.51-52 Malanpur Industrial Area , Distt. Bhind.(M.R) measuring 31017.58 sft, Factory Land and Building at 7 km Stone Adalpur Dholpur, Rajasthan,measuring 52155.63 sqmt and hypothecation of entire plant & machinery movable and immovable (present & future) in the name of company located at various units and elsewhere. Further secured by personal guarantee of Shri Mayank Jain, Shri Ankur Jain & Shri Ankit Jain.

41. Balances of trade receivable, trade payable, loan/advances given and other financial and non financial assets and liabilities are subject to reconciliation and confirmation from respective parties. The balance of said trade payable, loan/advances given and other financial and non financial assets and liabilities are taken as shown by the books of accounts, the ultimate outcome of such reconciliation and confirmation cannot presently be determined, therefore, no provision for any liability that may result out of such reconciliation and confirmation has been made in the financial statement, the financial impact of which is unascertainable due to the reasons as above stated.

42. Defined Benefit Plan-Gratuity

1 Actuarial Assumptions (a) Economic Assumptions The principal assumptions are the discount rate & salary growth rate. The discount rate is generally based upon the market yields available on Government bonds at the accounting date relevant to currency of benefit payments for a term that matches the liabilities. Salary growth rate is company’s long term best estimate as to salary increases & takes account of inflation, seniority, promotion, business plan, HR policy and other relevant factors on long term basis as provided in relevant accounting standard. These valuation assumptions are as follows:

3.5: Effect of plan on entity’s future cash flows 3.5 (a): Funding arrangements and funding policy

The company has purchased an insurance policy to provide for payment of gratuity to the employees. Every year, the insurance company carries out a funding valuation based on the latest employee data provided by the company. Any deficit in the assets arising as results of such valuation is funded by the company

Note.: The fair value of plan assets as at 31.03.2025 is more than the present value of obligation as at 31.03.2025, therefore no adjustment have been made in the Balance Sheet. Further the amount of premium of Rs. 11.95 Lakh paid to LIC is debited to Statement of Profitand Loss.

Description of Risk Exposures: Valuations are based on certain assumptions, which are dynamic in nature and vary over time. As such company is exposed to various risks as follow -

A) Salary Increases- Actual salary increases will increase the Plan’s liability. Increase in salary increase rate assumption in future valuations will also increase the liability.

B) Investment Risk - If Plan is funded then assets liabilities mismatch & actual investment return on assets lower than the discount rate assumed at the last valuation date can impact the liability.

C) Discount Rate: Reduction in discount rate in subsequent valuations can increase the plan's liability.

D) Mortality & disability-Actual deaths & disability cases proving lower or higher than assumed in the valuation can impact the liabilities.

E) Withdrawals - Actual withdrawals proving higher or lower than assumed withdrawals and change of short term / long term rates at subsequent valuations can impact Plan’s liability.

Leave encashment (Unfunded): The valuation of Leave Encashment has been done on the basis of actuarial valuation on Projected Unit Credit (PUC) method and is provided in the financial statement and does not require disclosure as mentioned in Para 158 of IND AS 19. Provision of leave encashment as per actuarial is less than the liability provided in books of accounts, hence the management has made the provision for leave encashment on accrual basis.

Defined Contribution Plan:

Provident Fund: The company contributes Provident Fund (Employer as well as Employee Share) to Provident Fund Commissioner Aga ( U.P) and Employers Contribution to such fund is charged to Statement of Profit and Loss. The Provident fund contribution charged to Statement of Profitand Loss for the the year ended 31.03.2025 amounted to Rs 47.02 Lacs

43. Fair value measurement

Financial instruments: Accounting classification and fair value measurements

This section explains the judgements and estimates made in determining the fair values of the financial instruments that are (a) recognised and measured at fair value and (b) measured at amortised cost and for which fair values are disclosed in the financial statements. To provide an indication about the reliability of the inputs used in determining fair value, the Company has classified its financial instruments into the three levels prescribed under the Accounting Standard. An explanation of each level follows underneath the table.

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44. Financial Risk Management: The company activities exposes it to variety at financial risk i.e. Credit Risk , Liquidity Risk, Capital Risk, Interest Rate Risk. These risks are managed by senior management of the company and is supervised by Board of Directors of the company , to minimise potential adverse effects on the financial performance of the company.