2.14 Provisions and contingencies
Provisions are recognised when the Company has a present
obligation (legal or constructive) as a result of a past event,
it is probable that the Company will be required to settle the
obligation, and a reliable estimate can be made of the amount of
the obligation.
The amount recognised as a provision is the best estimate of
the consideration required to settle the present obligation at
the end of the reporting period, taking into account the risks and
uncertainties surrounding the obligation. When a provision is
measured using the cash flows estimated to settle the present
obligation, its carrying amount is the present value of those cash
flow (when the effect of the time value of money is material).
When some or all of the economic benefits required to settle
a provision are expected to be recovered from a third party,
a receivable is recognised as if it is virtually certain that
reimbursement will be received, and the amount of the receivable
can be measured reliably.
Contingent liabilities are disclosed unless the possibility of
outflow of resources is remote. Contingent assets are neither
recognised nor disclosed in the standalone financial statements.
2.14.1 Onerous contracts
Present obligations arising under onerous contracts are
recognised and measured as provisions. An onerous contract
is considered to exist where the Company has a contract under
which the unavoidable costs of meeting the obligations under the
contract exceed the economic benefits expected to be received
from the contract.
2.15 Financial instruments
Financial assets and financial liabilities are recognised when a
Company becomes a party to the contractual provisions of the
instruments.
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acquisition or issue of financial assets and financial liabilities
(other than financial assets and financial liabilities at fair value
through profit or loss) are added to or deducted from the fair
value of the financial assets or financial liabilities, as appropriate,
on initial recognition. Transaction costs directly attributable to the
acquisition of financial assets or financial liabilities at fair value
through profit or loss are recognised immediately in profit or loss.
2.16 Financial assets
All regular way purchases of sales of financial assets are
recognised or de-recognised on a trade date basis. Regular way
purchases or sales are purchases or sales of financial assets that
require delivery of assets within the time frame established by
regulation or convention in the marketplace.
All recognised financial assets are subsequently measured in their
entirety at either amortised cost or fair value, depending on the
classification of the financial assets.
2.16.1 Classification of financial assets
Debt instruments that meet the following conditions are
subsequently measured at amortised cost:
• The asset is held within a business model whose objective
is to hold assets in order to collect contractual cash flows;
and
• The contractual terms of the instrument give rise on
specified dates to cash flows that are solely payments of
principal and interest on the principal amount outstanding.
2.16.2 Effective interest method
The effective interest is a method of calculating the amortised
cost of debt instruments and of allocating interest income over
the relevant period. The effective interest rate is the rate that
exactly discounts estimated future cash receipts (including all
fees and points paid or received that form an integral part of the
effective interest rate, transaction costs and other premiums or
discounts) through the expected life of the debt instrument, or,
where applicable, a shorter period, to the net carrying amount on
initial recognition.
Income is recognised on an effective interest basis for debt
instruments. Interest income is recognised in profit or loss and is
included in the "Other income" line item.
2.16.3 Impairment of financial assets
The Company applies the expected credit loss model for
recognising impairment loss on financial assets measured at
amortised cost, lease receivables, trade receivables, other
contractual rights to receive cash or other financial asset, and
financial guarantees not designated as at FVTPL.
Expected credit losses are the weighted average of credit losses
with the respective risks of default occurring as the weights.
Credit loss is the difference between all contractual cash flows
that are due to the Company in accordance with the contract and
all the cash flows that the Company expects to receive (i.e. all cash
shortfalls), discounted at the original effective interest rate (or
credit-adjusted effective interest rate for purchased or originated
credit-impaired financial assets). The Company estimates
cash flows by considering all contractual terms of the financial
instrument (for example, prepayment, extension, call and similar
options) through the expected life of that financial instrument.
The Company measures the loss allowance for a financial
instrument at an amount equal to lifetime expected credit losses
if the credit risk on that financial instrument has increased
significantly since initial recognition. If the credit risk on a
financial instrument has not increased significantly since initial
recognition, the Company measures the loss allowance for that
financial instrument at an amount equal to 12-month expected
credit losses. 12-month expected credit losses are portion of the
life-time expected credit losses that represent the lifetime cash
shortfalls that will result if default occurs within the 12 months
after the reporting date and thus, are not cash shortfalls that are
predicted over the next 12 months.
If the Company measured loss allowance for a financial instrument
at lifetime expected credit loss model in the previous period but
determines at the end of a reporting period that the credit risk
has not increased significantly since initial recognition due to
improvement in credit quality as compared to the previous period,
the Company again measures the loss allowance based on 12
month expected credit losses.
When making the assessment of whether there has been a
significant increase in credit risk since initial recognition, the
Company uses the change in the risk of a default occurring over
the expected life of the financial instrument instead of the change
in the amount of expected credit losses. To make that assessment,
the Company compares the risk of a default occurring on the
financial instrument as at the reporting date with the risk of a
default occurring on the financial instrument as at the date of
initial recognition and considers reasonable and supportable
information that is available without undue cost or effort, that
is indicative of significant increase in credit risk since initial
recognition.
For trade receivables or any contractual right to receive cash or
another financial asset that result from transactions that are
within the scope of Ind AS 115, the Company always measures
the loss allowance at an amount equal to lifetime expected credit
losses.
Further, for the purpose of measuring lifetime expected credit loss
allowance for trade receivables, the Company has used a practical
expedient as permitted under Ind AS 109. This expected credit
loss allowance is computed based on a provision matrix which
takes into account historical credit loss experience and adjusted
for forward-looking information.
2.16.4 De-recognition of financial assets
The Company derecognises a financial asset when the contractual
rights to the cash flows from the asset expire, or when it transfers
the financial asset and substantially all the risks and rewards of
ownership of the asset to another party. If the Company neither
transfers nor retains substantially all the risks and rewards
of ownership and continues to control the transferred asset,
the Company recognises its retained interest in the asset and
an associated liability for the amounts it may have to pay. If
the Company retains substantially all the risks and rewards of
ownership of a transferred financial asset, the Company continues
to recognise the financial asset and also a collateralised borrowing
for the proceeds received.
On derecognition of a financial asset in its entirety, the difference
between the asset's carrying amount and the sum of the
consideration received and receivable is recognised in profit or
loss on disposal of that financial asset.
2.16.5 Foreign exchange gains and losses
The fair value of financial assets denominated in a foreign
currency is determined in that foreign currency and translated at
the spot rate at the end of each reporting period and the exchange
differences are recognised in profit or loss.
2.16.6 Investments in subsidiaries
The Company has elected to recognise its investments in
subsidiaries at cost, net of impairment if any, in accordance with
the option available in Ind AS 27, 'Separate Financial Statement.
Impairment assessment involves comparing the carrying amount
of the investment with its recoverable amount. If the recoverable
amount is less than the carrying amount, an impairment loss is
recognized. The recoverable amount is the higher of fair value less
costs of disposal and value in use.
2.16.7 Investments in mutual funds
Investments in mutual funds are primarily held for the Company's
temporary cash requirements and can be readily convertible in
cash. These investments are initially recorded at fair value and
classified as fair value through profit or loss.
2.17 Financial liabilities and equity instruments
2.17.1 Classification as debt or equity
Debt and equity instruments issued by the Company are classified
as either financial liabilities or as equity in accordance with the
substance of the contractual arrangement and the definitions of
a financial liability and equity instrument.
2.17.2 Equity instruments
An equity instrument is any contract that evidences a residual
interest in the assets of an entity after deducting all its liabilities.
Equity instruments issued by a Company are recognised at the
proceeds received, net of direct issue costs.
Repurchase of the Company's own equity instruments is
recognised and deducted directly in equity. No gain or loss
is recognised in profit or loss on the purchase, sale, issue or
cancellation of the Company's own equity instruments.
2.17.3 Financial liabilities
All financial liabilities are subsequently measured at amortised
cost using the effective interest method.
2.17.3.1 Financial liabilities subsequently measured at amortised cost
The carrying amounts of financial liabilities that are
subsequently measured at amortised cost are determined
based on the effective interest method. Interest expense that
is not capitalised as part of costs of an asset is included in the
'Finance costs' line item.
The effective interest method is a method of calculating the
amortised cost of a financial liability and of allocating interest
expense over the relevant period. The effective interest rate is
the rate that exactly discounts estimated future cash payments
(including all fees and points paid or received that form an
integral part of the effective interest rate, transaction costs and
other premiums or discounts) through the expected life of the
financial liability, or (where appropriate) a shorter period, to the
net carrying amount on initial recognition.
2.17.3.2 Financial guarantee contracts
A financial guarantee contract is a contract that requires the
issuer to make specified payments to reimburse the holder for a
loss it incurs because a specified debtor fails to make payments
when due in accordance with the terms of a debt instrument.
Financial guarantee contracts issued by the Company are initially
measured at their fair values and, if not designated as at FVTPL,
are subsequently measured at the higher of:
• The amount of loss allowance determined in accordance
with impairment requirements of Ind AS 109; and
• The amount initially recognised less, when appropriate,
the cumulative amount of income recognised in
accordance with the principles of Ind AS 115.
2.17.3.3 Foreign exchange gains and losses
For financial liabilities that are denominated in a foreign
currency and are measured at amortised cost at the end of each
reporting period, the foreign exchange gains and losses are
determined based on the amortised cost of the instruments and
are recognised in 'Other income.
2.17.3.4 De-recognition of financial liabilities
The Company de-recognises financial liabilities when, and only
when, the Company's obligations are discharged, cancelled or
have expired. An exchange with a lender of debt instruments
with substantially different terms is accounted for as an
extinguishment of the original financial liability and the
recognition of a new financial liability. Similarly, a substantial
modification of the terms of an existing financial liability
(whether or not attributable to the financial difficulty of a
debtor) is accounted for as an extinguishment of the original
financial liability and the recognition of a new financial liability.
The difference between the carrying amount of the financial
liability derecognised and the consideration paid and payable is
recognised in profit or loss.
2.18 Offsetting
Financial assets and financial liabilities are off set and the net
amount is presented when and only when, the Company has legally
enforceable right to set off the amount it intends, either to settle
them on a net basis or to realise the asset and settle the liability
simultaneously.
2.19 Cash and Cash equivalents
The Company's cash and cash equivalents consists of cash on
hand and in banks and demand deposits with banks, which can
be withdrawn at any time, without prior notice or penalty on the
principal.
For the purposes of cash flow statement, cash and cash equivalents
comprise cash and cheques in hand, bank balances, demand deposits
with banks, net of outstanding bank overdrafts that are repayable
on demand and considered part of the Company's cash management
system. In the balance sheet, bank overdrafts are presented under
borrowings within current financial liabilities.
2.20 Segment reporting
Operating segments are reported in a manner consistent with
internal reporting provided to the Chief Operating Decision Maker
(CODM) of the Company. The CODM is responsible for allocating
resources and assessing performances of the operating segments
of the Company.
2.21 Earnings per share
The Company presents basic and diluted earnings per share ("EPS")
data for it's equity shares. Basic EPS is calculated by dividing the
profit or loss attributable to equity shareholders of the Company
by weighted average number of equity shares outstanding during
the period. Diluted EPS is determined by adjusting the profit or
loss attributable to equity shareholders and the weighted average
number of equity shares outstanding for the effect of all dilutive
potential ordinary shares, which includes all stock options granted
to employees.
2.22 Exceptional items
Exceptional items refer to items of income or expenses within the
statement of profit and loss from ordinary activities which are
non-recurring and are of such size, nature or incidence that their
disclosure is considered necessary to explain the performance of
the Company.
2.23 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 event is adjusted within the financial
statements. Otherwise, events after the balance sheet date of
material size or nature are only disclosed.
2.24 Amendments to the existing accounting standards
The Ministry of Corporate Affairs (MCA), through notifications dated
12 August 2024 and 9 September 2024, amended the Companies
(Indian Accounting Standards) Rules, 2015. These amendments
introduced Ind AS 117, Insurance Contracts (replacing Ind AS
104) and provided clarifications to Ind AS 116, Leases relating
to leaseback transactions. The application of these amendments
had no significant impact on the Company's standalone financial
statements.
Further, the MCA has notified the Companies (Indian Accounting
Standards) Amendment Rules, 2025, effective 1 April 2025,
introducing amendments to:
Ind AS 21, The Effects of Changes in Foreign Exchange Rates,
addressing lack of exchangeability of currencies and requiring
additional disclosures. These amendments are not expected
to be applicable to the Company, as it transacts only in freely
exchangeable currencies;
Ind AS 107, Financial Instruments: Disclosures, and Ind AS 7,
Statement of Cash Flows, requiring new disclosures on supplier
finance arrangements; and
Ind AS 12, Income Taxes, in response to the OECD's BEPS Pillar
Two rules, introducing a temporary exception from recognising and
disclosing deferred taxes and requiring additional disclosures for
affected entities.
These amendments apply from 1 April 2025. The Company is in the
process of assessing the impact of the amendments to Ind AS 107,
Ind AS 7 and Ind AS 12 on its standalone financial statements.
3. Critical accounting judgements and key sources of estimation
uncertainty
In the application of the Company's accounting policies, which are
described in note 2, the management of the Company is required to
make judgements, estimates and assumptions about the carrying
amounts of assets and liabilities that are not readily apparent from
other sources. The estimates and associated assumptions are based
on historical experiences and other factors that are considered to
be relevant. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an
ongoing basis. Revisions to accounting estimates are recognised
in the period in which the estimate is revised if the revision affects
only that period, or in the period of the revision and future periods if
the revision affects both current and future periods.
3.1 Taxation
The Company makes estimates in respect of tax liabilities and tax
assets. Full provision is made for deferred and current taxation at
the rates of tax prevailing at the year-end unless future rates have
been substantively enacted. These calculations represent best
estimate of the tax charge that will be incurred and recovered but
actuals may differ from the estimates made and therefore affect
future financial results. The effects would be recognised in the
Statement of Profit and Loss.
Deferred tax assets arise in respect of unutilised losses and other
timing differences to the extent that it is probable that future
taxable profits will be available against which the asset can be
utilised or to the extent they can be offset against related deferred
tax liabilities. In assessing recoverability, estimation is made of
the future forecasts of taxable profit, including for transactions
expected to be consummated during the current year. If these
forecast profits do not materialise, they change, or there are
changes in tax rates or to the period over which the losses or timing
differences might be recognised, then the value of deferred tax
assets will need to be revised in a future period.
3.2 Depreciation and useful lives of property, plant and equipment
and intangible assets
Property, plant and equipment are depreciated over the estimated
useful lives of the assets, after taking into account their estimated
residual value. Intangible assets are amortized over its estimated
useful lives. Management reviews the estimated useful lives and
residual values of the assets annually in order to determine the
amount of depreciation/ amortization to be recorded during any
reporting period. The useful lives and residual values are based on
the Company's historical experience with similar assets and take
into account anticipated technological changes. The depreciation/
amortization for future periods is adjusted if there are significant
changes from previous estimates.
3.3 Expected credit losses on financial assets
The impairment provision of financial assets are based on
assumption about risk of default and expected timing of collection.
The Company uses judgement in making these assumptions and
selecting the inputs to the impairment calculation, based on the
Company's history of collections, customer's creditworthiness,
existing market condition as well as forward looking estimates at
the end of each reporting period.
3.4 Provisions
Provisions and liabilities are recognized in the period when it
becomes probable that there will be a future outflow of funds
resulting from past operations or events and the amount of cash
outflow can be reliably estimated. The timing of recognition and
quantification of the liability require the application of judgement
to existing facts and circumstances, which can be subject to change.
Since the cash outflows can take place many years in the future, the
carrying amounts of provisions and liabilities are reviewed regularly
and adjusted to take account of changing facts and circumstances.
3.5 Fair value measurements and valuation process
Some of the Company's assets and liabilities are measured at fair
value for financial reporting purposes. Further, the Company has
used valuation experts for the purpose of ascertaining fair value
for certain assets and liabilities. In estimating the fair value of an
asset or a liability, the Company uses market-observable data to
the extent that it is available. Where Level 1 inputs are not available,
the Company engages third party qualified valuers to perform
the valuation. The management works closely with the qualified
external valuers to establish the appropriate valuation techniques
and inputs to the model.
3.6 Defined benefit obligations
The costs of providing other post-employment benefits are charged
to the Statement of Profit and Loss in accordance with Ind AS 19
"Employee benefits" over the period during which benefits is derived
from the employees' services and is determined based on valuation
carried out by independent actuary. The costs are determined based
on assumptions selected by the management. These assumptions
include salary escalation rate, discount rates, expected rate of
return on assets and mortality rates. Due to the complexities
involved in the valuation and its long-term nature, a defined benefit
obligation is highly sensitive to change in these assumptions.
3.7 Leases
Ind AS 116 defines a lease term as the non-cancellable period for
which the lessee has the right-to-use an underlying asset including
optional periods, when an entity is reasonably certain to exercise
an option to extend (or not to terminate) a lease. The Company
considers all relevant facts and circumstances that create an
economic incentive for the lessee to exercise the option when
determining the lease term. The option to extend the lease term is
included in the lease term, if it is reasonably certain that the lessee
would exercise the option. The Company reassesses the option
when significant events or changes in circumstances occur that are
within the control of the lessee.
Notes:
a) These investments form part of net assets acquired on slump sale basis vide business transfer agreement dated November 19, 2014, recorded at
fair value ' Nil based on the valuation report obtained then. During the current financial year, the Company voluntarily liquidated the subsidiary on
April 12, 2024.
b) The list of investment in subsidiaries, along with proportion of ownership held and country of incorporation are disclosed in note 1.1 of Consolidated
Financial Statements.
c) During the previous financial year, shares were pledged against the borrowings availed by the respective subsidiary.
d) During the financial year, the Company sold its entire shareholding in Prime Focus Technologies Limited ('PFT') along with additional equity shares
allotted upon conversion of its loan and accrued interest thereon ' 389.26 Crores to its step-down subsidiary DNEG S.a.r.l. for a total consideration
of ' 693.03 Crores (at a fair value, determined by an independent valuer). On June 6, 2024, shareholder approved this transaction. On sale of
shares, the Company recognized difference between book value of ' 422.72 Crores and consideration of ' 693.03 Crores as an exceptional gain of
' 216.21 Crores (net of tax ' 54.10 Crores) in its standalone audited financial statement for the year ended March 31, 2025.
18.1 Security premium reserve represents premium received on equity shares issued, which can be utilised only in accordance with the provisions of the
Companies Act, 2013 for specified purposes.
18.2 Capital reserve represents reserve created on acquisition of business and warrants application money forfeited.
18.3 General reserve is created from time to time by transferring profits from retained earnings and can be utilised for the purposes such as dividend
pay-out, bonus issue etc.
18.4 Retained earnings represents profit / (loss) that the Company earned till date, less any transfers to general reserve and other distributions paid to
the shareholders.
18.5 Share options outstanding account relates to the stock option granted by the Company to employees under the Employee Stock Option Plan (Refer
note 38)
37. Financialinstruments
37.1 Capital risk management
The objectives when managing capital are to safeguard the ability to continue as a going concern to provide returns for shareholders and benefits
for other stakeholders and to maintain an optimal capital structure to reduce the cost of capital.
The management sets the amounts of capital required in proportion to risk. The Company manages its capital structure and adjusts it in light of
changes in economic conditions and risk characteristics of the underlying assets.
The capital structure consists of borrowings, offset by cash and bank balances, equity (comprising issued capital, reserves and retained earnings as
detailed in statement of changes in shareholders' equity). The debt equity ratio for current year is 0.17 as on March 31, 2025 (March 31, 2024: 0.19)
During the year, the Company's strategy was to monitor and manage the use of funds whilst developing business strategies and marketing.
37.2 Financial risk management objectives
A wide range of risks may affect the Company's business and financial results. Amongst other risks that could have significant influence on the
Company are market risk, credit risk and liquidity risk.
The Board of Directors of the Company manage and review the affairs of the Company by setting up short term and long-term budgets by monitoring
the same and taking suitable actions to minimise potential adverse effects on its operational and financial performance.
37.3 Market risk
The Company is primarily exposed to the following market risks.
37.3.1 Foreign currency risk management
Foreign currency risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of changes in foreign exchange rates.
The Company's exposure to the risk of changes in foreign exchange rates relates primarily to the Company's operating activities.
37.3.2 Credit risk management
Credit risk is the risk of financial loss to the Company if a client or counterparty to a financial instrument fails to meet its contractual obligations,
and arises principally from the Company's receivables from clients and cash. Management has a credit policy in place and the exposure to credit risk
is monitored on an on-going basis.
The Company has a low credit risk in respect of its trade receivables as its principal customers are subsidiaries of the Company. The Company is
also exposed to credit risk in respect of its cash and seeks to minimise this risk by holding funds on deposit with banks, mutual funds and others.
The carrying amount of financial assets represents the maximum credit exposure. The maximum exposure to credit risk was ' 160.82 Crores and
' 553.19 Crores as at March 31, 2025 and March 31, 2024 respectively, being the total of the carrying amount of the balances with banks, bank
deposits, investments (excluding equity and preference investments in subsidiaries), trade receivables, unbilled revenue and other financial assets.
The Company's historical experience of collecting receivables and the level of default indicates that the credit risk is low and generally uniform
across markets. Loss allowance is recognised where considered appropriate by the management.
37.4 Liquidity risk management
Liquidity risk refers to the risk that the Company may not be able to meet its financial obligations timely.
Management monitors rolling forecasts of the Company's liquidity position (comprising of undrawn bank facilities and cash and cash equivalents)
on the basis of expected cash flows. This monitoring includes financial ratios and takes into account the accessibility of cash, cash equivalents and
mutual funds. The Company manages the liquidity risk by maintaining adequate funds in cash and cash equivalents.
The table below analyses the maturity profile of the Company's financial liabilities. The following break up is based on the remaining period at the
balance sheet date to the contractual maturity date.
III. The Company acquired the Film and Media Services business ("FMS") from Reliance MediaWorks Limited ("RMW"), in July 2014, by way
of a Business Transfer Agreement dated November 19, 2014 for a total consideration of Rs. 550 Crores of which the Company paid a
consideration of Rs. 350 Crores to RMW by way of an allotment of equity shares of a commensurate value, on April 7, 2015. The remaining
consideration of Rs. 200 Crores was structured as debt to be paid by the Company to Reliance Alpha Services Private Limited ('RASPL) over
the course of a few years under a Loan Agreement dated February 25, 2019.
On July 26, 2023, the Company and a promoter filed a suit before the Honourable High Court of Bombay, against RASPL and others, inter alia
with respect to: (a) the notices received from RASPL demanding a sum of ' 353.79 Crores and to invoke the personal guarantee issued by
the promoter in the event of non-payment by the Company; and (b) the non-completion and breach of the business transfer agreement dated
November 19, 2014 by Reliance Mediaworks Limited and Reliance Land Private Limited, pursuant to which, the aforesaid loan agreement
of February 25, 2019 was executed. Further on August 29, 2023, the Company has received a notice that a petition has been filed before
National Company Law Tribunal, Mumbai Bench (NCLT), Mumbai by RASPL to initiate corporate insolvency resolution process under the
Insolvency and Bankruptcy Code, 2016 (as amended) with respect to alleged breach of the loan agreement of February 25, 2019, by the
Company and demanding a sum of ' 353.79 Crores. The matter is currently sub judice with NCLT, Mumbai.
Notes :
a. It is not practicable to estimate the timing of cash outflows, if any, in respect of matters at (I) and (II) above pending resolution of the
arbitration/appellate proceedings. Further, the liability mentioned in (I) and (II) above excludes interest and penalty except in cases
where the Group has determined that the possibility of such levy is remote.
b. The Company does not expect any reimbursements in respect of the above contingent liabilities.
c. The Company has reviewed its proceedings and has adequately provided for where provisions are required or disclosed as contingent
liabilities where applicable, in its consolidated financial statements. The Company does not expect the outcome of these proceedings to
have a materially adverse effect on its standalone financial statements.
ii. Otherinformation's:-
a. 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.
b. The Company has not been declared wilful defaulter by any bank or financial institution or other lender or government or any
government authority.
c. The Company has no transactions with other companies that are struck off under Section 248 of the Company's Act, 2013 or Section
560 of the Company's Act, 1956.
d. 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.
e. 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.
f. The Company has not traded or invested in crypto currency or virtual currency during the year.
g. 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:
- 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
- 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:
- 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
- Provide any guarantee, security or the like on behalf of the ultimate beneficiaries.
h. 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.
44. Corporate social responsibility
In view of the average net loss in past three immediately preceding financial years, the Company was not required to incur any expenditure towards
the Corporate Social Responsibility activities during current and previous financial year.
45. Segment reporting
As per Ind AS 108 on "Segment Reporting'! segment information has been provided under the Notes to Consolidated Financial Statements.
46. Event after reporting period
There were no events after the reporting period requiring adjustments or disclosures in these standalone financial statements.
47. The Code on Social Security 2020 ('the Code') relating to employee benefits, during the employment and post-employment, has received Presidential
assent on September 28, 2020. The Code has been published in the Gazette of India. Further, the Ministry of Labour and Employment has released
draft rules for the Code on November 13, 2020. However, the effective date from which the changes are applicable is yet to be notified and rules
for quantifying the financial impact are also not yet issued. The company will assess the impact of the Code and will give appropriate impact in the
financial statements in the year in which, the Code becomes effective and the related rules to determine the financial impact are published.
48. Approval of Financial Statements
The standalone financial statements were approved for issuance by the Board of Directors on May 27, 2025.
In terms of our report attached.
For M S K A & Associates For and on behalf of the Board of Directors
Chartered Accountants
(Firm's Registration No. 105047W)
Nitin TiwariNaresh Mahendranath Malhotra Namit Naresh Malhotra
Partner Chairman and Whole-time Director Director
Membership No. 118894 DIN: 00004597 DIN: 00004049
Nishant Avinash Fadia Parina Nirav Shah
Chief Financial Officer Company Secretary
Membership No. A18061
Place : MumbaiPlace : Mumbai
Date : May 27, 2025 Date : May 27, 2025
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