iii. Provisions and liabilities
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 that can reasonably be estimated. The
timing of recognition requires application of judgement to existing facts and circumstances, which may
be subject to change. The amounts are determined by discounting the expected future cash flows at a
pre-tax rate that reflects current market assessments of the time value of money and the risks specific
to the liability.
iv. Contingencies
In the normal course of business, contingent liabilities may arise from litigation and other claims against
the Company. Potential liabilities that are possible but not probable of crystallising or are very difficult
to quantify reliably are treated as contingent liabilities. Such liabilities are disclosed in the notes but are
not recognized.
v. Fair value measurements
When the fair values of financial assets or financial liabilities recorded or disclosed in the financial
statements cannot be measured based on quoted prices in active markets, their fair value is measured
using valuation techniques including the DCF model. The inputs to these models are taken from
observable markets where possible, but where this is not feasible, a degree of judgment is required
in establishing fair values. Judgements include consideration of inputs such as liquidity risk, credit risk
and volatility.
vi. Leases
The Company evaluates if an arrangement qualifies to be a lease as per the requirements of Ind AS
116. Identification of a lease requires significant judgment. The Company uses significant judgement in
assessing the lease term (including anticipated renewals) and the applicable discount rate.
The Company determines the lease term as the non-cancellable period of a lease, together with both
periods covered by an option to extend the lease if the Company is reasonably certain to exercise that
option; and periods covered by an option to terminate the lease if the Company is reasonably certain
not to exercise that option. In assessing whether the Company is reasonably certain to exercise an
option to extend a lease, or not to exercise an option to terminate a lease, it considers all relevant facts
and circumstances that create an economic incentive for the Company to exercise the option to extend
the lease, or not to exercise the option to terminate the lease. The Company revises the lease term if
there is a change in the non-cancellable period of a lease.
4. Recent pronouncements
Ministry of Corporate Affairs (“MCA”) notifies new standards or amendments to the existing standards under
Companies (Indian Accounting Standards) Rules as issued from time to time. For the year ended March 31,
2025, MCA has notified Ind AS - 117 Insurance Contracts and amendments to Ind AS 116 - Leases, relating to
sale and leaseback transactions, applicable to the Company w.e.f. April 1,2024. The Company has reviewed the
new pronouncements and based on its evaluation has determined that it does not have any significant impact
in its financial statements.
7.1. Fair value of the Company’s investment properties
The fair value of the Company's investment properties situated at Surat have been arrived at on the basis of
a valuation carried out by M/s R K Patel & Co. and for other investment properties have been carried out by
Nadkarni & Co., independent valuers not related to the Company. The Valuers are registered with the authority
which governs the valuers in India, and they have appropriate qualifications and recent experience in the valuation
of properties in the relevant locations. The fair value was derived using the market comparable approach based
on recent market prices with few adjustments being made to the market observable data.
21.4.Additional information as per Schedule III
(i) The Company does not have any charges or satisfaction which is yet to be registered with ROC beyond the
statutory period.
(ii) The Company has not received any fund from any person(s) or entity(ies), including foreign entities (Funding
Party) with the understanding (whether recorded in writing or otherwise) that the Company shall:
(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by
or on behalf of the Funding Party (Ultimate Beneficiaries) or
(b) provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.
(iii) The Company has not been declared willful defaulter by any bank or financial Institution or other lender.
33.1.Products and services from which reportable segments derive their revenues
Information reported to the chief operating decision maker (CODM) for the purposes of resource allocation and
assessment of segment performance focuses on the types of goods or services delivered or provided, and in
respect of the 'Property Division*' and 'trading' operations. The directors of the Company have chosen to organise
the Company around differences in products and services. No operating segments have been aggregated in
arriving at the reportable segments of the Company.
Specifically, the Company's reportable segments under lnd AS 108 are as follows:
- Property division*
- Trading
* The property division (Real estate) comprises of assets which are in excess of business needs, which the
Company would liquidate based on the market condition.
Segment revenue reported above represents revenue generated from external customers. There were no inter¬
segment sales in the current and previous year.
The accounting policies of the reportable segments are the same as the Company's accounting policies
described in note 2. Segment profit represents the profit before tax earned by each segment without allocation
of unallocated expenses and income. This is the measure reported to the chief operating decision maker for the
purposes of resource allocation and assessment of segment performance.
The Company presently caters to only domestic market i.e. India and hence there is no revenue from external
customers outside India nor any of its non-current asset is located outside India.
33.6.Information about major customers
Included in revenue arising from direct sales of trading goods of ? 1433.96 Lakhs (year ended March 31, 2024:
? 1404.86 Lakhs) which arose from sales to its two (previous year: two) major customers which accounts for
64.16 percent (year ended March 31, 2024: 72.93 percent) of the total revenue from trading operations.
There is no revenue arising from direct sales of property division during current and previous year.
No other single trading customer contributed 10% or more to the company's revenue for year ended March 31,
2025 and year ended March 31, 2024.
35. Employee benefits
i) Defined Contribution Plan
The Company's contribution to Provident fund and other funds aggregating during the year is ? 31.45 Lakhs
(and during the year ended March 31,2024: ? 30.14 Lakhs) has been recognised in the statement of profit
or loss under the head employee benefits expense.
ii) Defined Benefit Plans:
Gratuity
The Company has a defined benefit gratuity plan in India (funded). The company's defined benefit gratuity plan
is a final salary plan for employees, which requires contribution to be made to a separately administered fund.
The fund is managed by a trust which is governed by the board of trustees. The board of trustees are
responsible for the administration of the plan assets and for the definition of the investment strategy.
During the previous year, the Company has changed the benefit scheme in line with Payment of Gratuity Act,
1972 by increasing monetary ceiling from 10 lakhs to 20 lakhs, for those employees who are getting benefit
as per Payment of Gratuity Act, 1972. Change in liability (if any) due to this scheme change is recognised as
past service cost.
A separate trust fund is created to manage the Gratuity plan and the contributions towards the trust fund is
done as guided by rule 103 of Income Tax Rules, 1962.
Through its defined benefit plans the Company is exposed to a number of risks, the most significant
of which are detailed below:
(1) Salary risk:
The present value of the defined benefit plan liability is calculated by reference to the future salaries
of members. As such, an increase in the salary of the members more than assumed level will increase
the plan's liability.
(2) Interest rate risk:
A fall in the discount rate which is linked to the G.Sec. Rate will increase the present value of the
liability requiring higher provision. A fall in the discount rate generally increases the mark to market
value of the assets depending on the duration of asset.
(3) Investment Risk:
The present value of the defined benefit plan liability is calculated using a discount rate which is
determined by reference to market yields at the end of the reporting period on government bonds. If
the return on plan asset is below this rate, it will create a plan deficit. Currently, for the plan in India, it
has a relatively balanced mix of investments in government securities, and other debt instruments.
(4) Asset Liability Matching Risk:
The plan faces the ALM risk as to the matching cash flow. Since the plan is invested in lines of Rule
101 of Income Tax Rules, 1962, this generally reduces ALM risk.
(5) Mortality risk:
Since the benefits under the plan is not payable for life time and payable till retirement age only, plan
does not have any longevity risk.
A. Credit risk
Credit risk refers to the risk that a counterparty will default on its contractual obligations resulting in financial
loss to the Company. The Company has adopted a policy of only dealing with creditworthy counterparties, as a
means of mitigating the risk of financial loss from defaults. The Company uses its own trading records to rate
its major customers. The Company's exposure to financial loss from defaults are continuously monitored.
Trade receivables consist of a large number of customers, spread across various geographical areas. Ongoing
credit evaluation is performed on the financial condition of accounts receivable.
B. Liquidity risk
Liquidity risk refers to insufficiency of funds to meet the financial obligations. Liquidity Risk Management implies
maintenance of sufficient cash to meet obligations when due.
The Company continuously monitoring forecast and actual cash flows, and by assessing the maturity profiles
of financial assets and liabilities.
C. Market risk
The risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in
market prices. Market risk comprises of currency risk and interest rate risk. In the normal course of business
and in accordance with our policies, we manage these risks through a variety of strategies.
i) Currency risk
The risk that the fair value or future cash flows of a financial instrument will fluctuate because of
changes in foreign exchange rates. The Company is domiciled in India and has its revenues and other
major transactions in its functional currency i.e. INR. Accordingly the Company is not exposed to any
currency risk.
ii) Interest rate risk
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 has borrowed funds with both fixed and floating interest rate.
Reason for change more than 25%:
The ratio decreases from 0.29 in FY 23-24 to (0.92) in FY 24-25 mainly on account of repayment of borrowings
and exceptional gain in previous year on account of disposal of Property, plant and equipments.
II. Other Statutory Information
(i) The Company does not have any Benami property, where any proceeding has been initiated or pending
against the Company for holding any Benami property.
(ii) The Company did not have any transactions with Companies struck off.
(iii) The Company has not traded or invested in Crypto currency or Virtual Currency during the respective
financial years / period.
(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.
The Company does not have any Scheme of Arrangements which have been approved by the
Competent Authority in terms of sections 230 to 237 of the Act.
(v) The Company has complied with the number of layers prescribed under Section 2(87) of the Act read
with the Companies (Restriction on number of Layers) Rules, 2017.
(vi) The Company has not made any delay in Registration of Charges under the Companies Act, 2013.
42. The date of implementation of the Code on Social Security, 2020 ('the Code') relating to employee benefits is yet
to be notified by the Government and when implemented will impact the contributions by the Company towards
benefits such as Provident Fund, Gratuity etc. The Company will assess the impact of the Code and give effect
in the financial results when the Code and Rules thereunder are notified.
43. During the earlier periods, the unsecured loan of ? 5370.00 Lakhs (including accrued interest of ? 1,249.18 Lakhs
and business advance of ? 159.45 Lakhs) given to Standard Salt Works Limited (SSWL) has been converted into
equity shares. Consequently, the total investment in SSWL as at March 31,2025 aggregates ? 5,969.82 Lakhs.
The net worth of SSWL post aforesaid conversion has become positive.
Further, in view of the long-term strategic nature of the investment in leasehold rights to salt pans and the growth
prospects of the subsidiary which is engaged in the manufacture of salt from the significant leased salt pans that
it is holding, no provision for diminution in the value of the investment is considered necessary at this stage.
45. There have been no events after the reporting date that require disclosure in these Financial statement.
In terms of our report attached For and on behalf of Board of Directors
For, R. S. Gokani & Co. TANAZ B. PANTHAKI
Chartered Accountants Vice President (Legal) Pradeep R. Mafatlal Chairman DIN 00015361
FRN : 140229W & Company Secretary
Divya P. Mafatlal Director DIN 00011525
Khurshed M. Thanawalla Director DIN 00201749
Tashwinder H. Singh Director DIN 06572282
RAHUL S. GOKANI JAYANTKUMAR R. SHAH Ganpatrao M. Patwardhan Director DIN 00520899
PROPRIETOR Chief Financial Officer Rajanya P. Mafatlal Director DIN 09599264
MEMBERSHIP NO : 163865 Vedant R. Podar Director DIN 09212067
Dhansukh H. Parekh Executive Director DIN 00015734
Mumbai, Dated: May 20, 2025 Mumbai, Dated: May 20, 2025 Mumbai, Dated: May 20, 2025
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