(p) Provisions and Contingencies

A provision is recognised when an enterprise has
a present obligation as a result of past event; it
is probable that an outflow of resources will be
required to settle the obligation, in respect of which
a reliable estimate can be made. Provisions are not
discounted to its present value and are determined
based on best estimate required to settle the
obligation at the Balance Sheet date. These are
reviewed at each Balance Sheet date and adjusted
to reflect the current best estimates

If the effect of the time value of money is material,
provisions are discounted using a current pre¬
tax rate that reflects, when appropriate, the risks
specific to the liability. When discounting is used,
the increase in the provision due to the passage of
time is recognised as a finance cost.

A contingent liability is a possible obligation that
arises from past events whose existence will be
confirmed by the occurrence or non- occurrence
of one or more uncertain future events beyond the
control of the Company or a present obligation that
is not recognised because it is not probable that
an outflow of resources will be required to settle
the obligation. A contingent liability also arises
in extremely rare cases where there is a liability
that cannot be recognised because it cannot be
measured reliably The Company does not recognize
a contingent liability but discloses its existence in
the financial statements.

(q) Provision for Warranties

The estimated liability for product warranties is
recorded when products are sold. These estimates
are established using historical information on the
nature, frequency and average cost of warranty
claims and Management estimates regarding
possible future incidence based on corrective
actions on product failures. The timing of outflows
will vary as and when warranty claims will arise, being
typically up to twenty five yeaRs.

The estimates used for accounting of warranty
liabilities/recoveries are reviewed periodically and
revisions are made as required.

(r) Financial instruments

Financial Assets:

Initial recognition and measurement

All financial assets are recognised initially at fair value
plus, in the case of financial assets not recorded at fair
value through profit or loss, transaction costs that are
attributable to the acquisition of the financial asset.

Financial assets are classified, at initial recognition, as
financial assets measured at fair value or as financial
assets measured at amortised cost.

Subsequent measurement

For purposes of subsequent measurement, financial
assets are classified in two broad categories:

• Financial assets at fair value

• Financial assets at amortised cost

Where assets are measured at fair value, gains and
losses are either recognised entirely in the Statement
of Profit and Loss (i.e. fair value through profit or loss), or
recognised in Other Comprehensive Income (i.e. fair
value through Other Comprehensive Income).

A financial asset that meets the following two
conditions is measured at amortised cost (net of
any write down for impairment) unless the asset is
designated at fair value through profit or loss under
the fair value option.

• Business model test: The objective of the
Company's business model is to hold the
financial asset to collect the contractual cash
flows (rather than to sell the instrument prior to
its contractual maturity to realise its fair value
changes).

• Cash flow characteristics test: The contractual
terms of the financial asset give rise on specified
dates to cash flows that are solely payments of
principal and interest on the principal amount
outstanding.

A financial asset that meets the following two
conditions is measured at fair value through
other comprehensive income unless the asset is
designated at fair value through profit or loss under
the fair value option.

• Business model test: The financial asset is
held within a business model whose objective
is achieved by both collecting contractual cash
flows and selling financial assets.

• Cash flow characteristics test: The contractual
terms of the financial asset give rise on specified
dates to cash flows that are solely payments of
principal and interest on the principal amount
outstanding.

Even if an instrument meets the two requirements to
be measured at amortised cost or fair value through
other comprehensive income, a financial asset is
measured at fair value through profit or loss if doing so
eliminates or significantly reduces a measurement or
recognition inconsistency (sometimes referred to as
an ‘accounting mismatch') that would otherwise arise
from measuring assets or liabilities or recognising the
gains and losses on them on different bases.

All other financial asset is measured at fair value
through profit or loss.

All equity investments are measured at fair value in
the Balance Sheet, with value changes recognised
in the Statement of Profit and Loss, except for those
equity investments for which the entity has elected
to present value changes in ‘Other Comprehensive
Income'.

If an equity investment is not held for trading, an
irrevocable election is made at initial recognition to
measure it at fair value through other comprehensive
income with only dividend income recognised in the
Statement of Profit and Loss.

Derecognition

A financial asset (or, where applicable, a part of a
financial asset or part of a group of similar financial
assets) is primarily derecognised (i.e. removed from
the Company's statement of financial position)
when:

• The rights to receive cash flows from the asset
have expired, or

• The Company has transferred its rights to
receive cash flows from the asset or has
assumed an obligation to pay the received cash
flows in full without material delay to a third
party under a ‘pass-through' arrangement and
either;

(a) The Company has transferred substantially all
the risks and rewards of the asset, or

(b) The Company has neither transferred nor
retained substantially all the risks and rewards
of the asset, but has transferred control of the
asset.

When the Company has transferred its rights to
receive cash flows from an asset or has entered
into a pass-through arrangement, it evaluates if and
to what extent it has retained the risks and rewards
of ownership. When it has neither transferred nor
retained substantially all of the risks and rewards of
the asset, nor transferred control of the asset, the
Company continues to recognise the transferred
asset to the extent of the Company's continuing
involvement. In that case, the Company also
recognises an associated liability. The transferred
asset and the associated liability are measured on a
basis that reflects the rights and obligations that the
Company has retained.

Continuing involvement that takes the form of a
guarantee over the transferred asset is measured at
the lower of the original carrying amount of the asset
and the maximum amount of consideration that the
Company could be required to repay.

Investment in Subsidiaries

The Company has accounted for its investment in
Subsidiaries at cost. The Company has elected to
account for its equity investments in subsidiaries
under Ind AS 27 on Separate Financial Statements,
at cost. At the end of each reporting period the
Company assesses whether there are indicators of
diminution in the value of its investments and provides
for impairment loss, where necessary.

Impairment of financial assets

The Company assesses impairment based
on expected credit losses (ECL) model to the
following:

• Financial assets measured at amortised cost;

• Financial assets measured at fair value through
other comprehensive income (FVTOCI);

• Expected credit losses are measured through a
loss allowance at an amount equal to:

• The 12-months expected credit losses
(expected credit losses that result from those
default events on the financial instrument
that are possible within 12 months after the
reporting date); or

• Full lifetime expected credit losses (expected
credit losses that result from all possible default
events over the life of the financial instrument).

The Company follows ‘simplified approach' for
recognition of impairment loss allowance on

• Trade receivables or contract revenue
receivables; and

• All lease receivables

Under the simplified approach, the Company does
not track changes in credit risk. Rather, it recognises
impairment loss allowance based on lifetime
ECLs at each reporting date, right from its initial
recognition.

The Company uses a provision matrix to determine
impairment loss allowance on the portfolio of
trade receivables. The provision matrix is based
on its historically observed default rates over
the expected life of the trade receivable and is
adjusted for forward looking estimates. At every
reporting date, the historical observed default rates
are updated and changes in the forward-looking
estimates are analysed.

For recognition of impairment loss on other financial
assets and risk exposure, the Company determines
that whether there has been a significant increase
in the credit risk since initial recognition. If credit
risk has not increased significantly, 12-months ECL
is used to provide for impairment loss. However, if
credit risk has increased significantly, lifetime ECL
is used. If, in a subsequent period, credit quality
of the instrument improves such that there is no
longer a significant increase in credit risk since

initial recognition, then the Company reverts to
recognising impairment loss allowance based on
12-months ECL.

For assessing increase in credit risk and impairment
loss, the Company combines financial instruments
on the basis of shared credit risk characteristics
with the objective of facilitating an analysis that is
designed to enable significant increases in credit risk
to be identified on a timely basis.

Financial Liabilities:

Initial recognition and measurement

All financial liabilities are recognised initially at fair
value and, in the case of loans and borrowings and
payables, net of directly attributable transaction
costs.

The Company's financial liabilities include trade and
other payables, loans and borrowings including bank
overdrafts.

Subsequent measurement

The measurement of financial liabilities depends on
their classification, as described below:

- Financial liabilities at fair value through profit or
loss

- Financial liabilities at fair value through profit or
loss include financial liabilities held for trading
and financial liabilities designated upon initial
recognition as at fair value through profit or
loss.

- Financial liabilities are classified as held for
trading if they are incurred for the purpose of
repurchasing in the near term.

- Gains or losses on liabilities held for trading
are recognised in the Statement of Profit and
Loss

- Financial liabilities designated upon initial
recognition at fair value through profit or loss
are designated at the initial date of recognition,
and only if the criteria in Ind AS 109 are satisfied.\

Loans and borrowings

After initial recognition, interest-bearing loans and
borrowings are subsequently measured at amortised
cost using the EIR method.

Gains and losses are recognised in profit or loss when
the liabilities are derecognised as well as through the
EIR amortisation process.

Amortised cost is calculated by taking into account
any discount or premium on acquisition and fees
or costs that are an integral part of the EIR. The EIR
amortisation is included as finance costs in the
Statement of Profit and Loss.

Financial guarantee contracts

Financial guarantee contracts issued by the
Company are those contracts that require a
payment to be made to reimburse the holder for
a loss it incurs because the specified debtor fails
to make a payment when due in accordance with
the terms of a debt instrument. Financial guarantee
contracts are recognised initially as a liability at fair
value, adjusted for transaction costs that are directly
attributable to the issuance of the guarantee.
Subsequently, the liability is measured at the higher
of the amount of loss allowance determined as per
impairment requirements of Ind AS 109 and the
amount recognised less cumulative amortisation.

Derecognition

A financial liability is derecognised when the
obligation under the liability is discharged or
cancelled or expires. When an existing financial
liability is replaced by another from the same
lender on substantially different terms, or the terms
of an existing liability are substantially modified,
such an exchange or modification is treated as
the derecognition of the original liability and the
recognition of a new liability. The difference in the
respective carrying amounts is recognised in the
Statement of Profit and Loss.

Offsetting of financial instruments:

Financial assets and financial liabilities are offset and
the net amount is reported in the Balance Sheet, if

there is a currently enforceable legal right to offset
the recognised amounts and there is an intention to
settle on a net basis, to realise the assets and settle
the liabilities simultaneously.

(s) Fair value measurement

The Company measures specific financial
instruments of certain investments at fair value at
each Balance Sheet date.

Fair value is the price that would be received to sell
an asset or paid to transfer a liability in an orderly
transaction between market participants at the
measurement date. The fair value measurement is
based on the presumption that the transaction to sell
the asset or transfer the liability takes place either:

• In the principal market for the asset or liability
or

• In the absence of a principal market, in the
most advantageous market for the asset or
liability.

The principal or the most advantageous market must
be accessible by the Company.

The fair value of an asset or a liability is measured using
the assumptions that market participants would use
when pricing the asset or liability, assuming that market
participants act in their economic best interest.

A fair value measurement of a non-financial asset
takes into account a market participant's ability to
generate economic benefits by using the asset in its
highest and best use or by selling it to another market
participant that would use the asset in its highest and
best use.

The Company uses valuation techniques that are
appropriate in the circumstances and for which
sufficient data are available to measure fair value,
maximising the use of relevant observable inputs and
minimising the use of unobservable inputs.

For assets and liabilities that are recognised in
the financial statements on a recurring basis, the

Company determines whether transfers have
occurred between levels in the hierarchy by re¬
assessing categorisation (based on the lowest level
input that is significant to the fair value measurement
as a whole) at the end of each reporting
period.

For the purpose of fair value disclosures, the
Company has determined classes of assets and
liabilities on the basis of the nature, characteristics
and risks of the asset or liability and the level of the
fair value hierarchy as explained above. This note
summarises the accounting policy for fair value.
Other fair value related disclosures are given in
relevant notes.

(t) Cash and cash equivalents

Cash and cash equivalent in the Balance Sheet
comprise Cash at Banks and on hand including
cheques on hand and short-term investments with
an original maturity of three months or less, which are
subject to an insignificant risk of changes in value.

(u) Cash dividend

The Company recognises a liability when the
distribution is authorised and the distribution is no
longer at the discretion of the Company. As per the
corporate laws in India, a distribution is authorised when
it is approved by the shareholde Rs. A corresponding
amount is recognised directly in equity.

Dividends paid/payable are recognised in the
year in which the related dividends are approved
by the Shareholders or Board of Directors as
appropriate.

(v) Cash flow statement

Cash flows are presented using indirect method,
whereby Profit/(Loss) before tax is adjusted for the
effects of transactions of non-cash nature and any
deferrals or accruals of past or future cash receipts
or payments. The cash flow from operating, investing
and financing activities of the Company is segregated
based on the available information.

(w) Exceptional items

Certain occasions, the size, type or incidence of an
item of income or expense, pertaining to the ordinary
activities of the Company is such that its disclosure
improves the understanding of the performance
of the Company, such income or expense is
classified as an exceptional item and accordingly,
disclosed in the notes accompanying to the financial
statements.

(x) Segment Reporting

Operating segments reflect the Company's
Management structure and the way the financial
information is regularly reviewed by the Company's
Chief Executive Officer (CEO). The CEO considers
the business from both business and product
perspective based on the dominant source, nature
of risks and returns and the internal organisation and
Management structure. The operating segments
are the segments for which separate financial
information is available and for which operating
profit / loss amounts are evaluated regularly by the
executive Management in deciding how to allocate
resources and in assessing performance.

The accounting policies adopted for segment
reporting are in line with the accounting policies of
the Company. Segment revenue, segment expenses,
segment assets and segment liabilities have
been identified to segments on the basis of their
relationship to the operating activities of the segment.

Revenue, expenses, assets and liabilities which relate
to the Company as a whole and are not allocable to
segments on reasonable basis have been included
under unallocated revenue / expenses / assets /
liabilities.”

2(D)Adoption of new and revised Ind AS
Recent Accounting Pronouncements

The Ministry of Corporate Affairs (“MCA”) notifies new
standards or amendment to the existing standards under
Companies (Indian Accounting Standards) Rules as
issued from time to time. For the year ended 31 March,
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. 1 April, 2024. The Company has reviewed the new
pronouncements based on its evaluation has determined
that it does not have any significant impact in its financial
statements.

Amendments to Ind AS 7 Statement of Cash Flows and
Ind AS 107 Financial Instruments: Disclosures titled
Supplier Finance Arrangements

The Company has adopted the amendments to Ind
AS 7 Statement of Cash Flows and Ind AS 107 Financial
Instruments: Disclosures titled Supplier Finance
Arrangements for the first time in the current year.

The amendments add a disclosure objective to Ind AS 7
stating that an entity is required to disclose information
about its supplier finance arrangements that enables
users of financial statements to assess the effects of those
arrangements on the entity's liabilities and cash flows.

In addition, Ind AS 107 is amended to add supplier finance
arrangements as an example within the requirements
to disclose information about an entity's exposure to
concentration of liquidity risk.”

The amendments contain specific transition provisions
for the first annual reporting period in which the Company
applies the amendments. Under the transitional
provisions an entity is not required to disclose:

• comparative information for any reporting periods
presented before the beginning of the annual
reporting period in which the entity first applies
those amendments.

• the information otherwise required by Ind AS
7:44H(b)(ii)-(iii) as at the beginning of the annual
reporting period in which the entity first applies
those amendments.”

Amendments to Ind AS 1 Presentation of Financial Statements

The amendments affect only the presentation of liabilities
as current or non-current in the Balance Sheet and not the
amount or timing of recognition of any asset, liability, income
or expenses.

The amendments clarify that the classification of liabilities as
current is based on rights that are in existence at the end of the
reporting period, specify that classification is unaffected by
expectations about whether an entity will exercise its right to
defer settlement of a liability, explain that rights are in existence
if covenants are complied with at the end of the reporting
period, and introduce a definition of ‘settlement' to make clear
that settlement refers to the transfer to the counterparty of
cash, equity instruments, other assets or services.

Further, the amendments specify that only covenants that an
entity is required to comply with on or before the end of the
reporting period affect the entity's right to defer settlement
of a liability for at least twelve months after the reporting
date (and therefore must be considered in assessing the
classification of the liability as current or non-current). Such
covenants affect whether the right exists at the end of the
reporting period, even if compliance with the covenant is
assessed only after the reporting date (e.g. a covenant based
on the entity's financial position at the reporting date that
is assessed for compliance only after the reporting date).
However, the amendments do not affect classification where
there is a breach of a material covenant of a long-term loan
arrangement on or before the end of the reporting period with
the effect that the liability becomes payable on demand on
the reporting date, until the annual periods beginning prior to
1 April 2026.

The amendments also specify that the right to defer
settlement of a liability for at least twelve months after the
reporting date is not affected if an entity only has to comply
with a covenant after the reporting period. However, if the
entity's right to defer settlement of a liability is subject to the
entity complying with covenants within twelve months after
the reporting period, an entity discloses information that
enables users of financial statements to understand the risk of

the liabilities becoming repayable within twelve months after
the reporting period. This would include information about
the covenants (including the nature of the covenants and
when the entity is required to comply with them), the carrying
amount of related liabilities and facts and circumstances,
if any, that indicate that the entity may have difficulties
complying with the covenants.”

Amendments to Ind AS 12 Income Taxes titled International
Tax Reform-Pillar Two Model Rules

The amendments clarify that the Standard applies to income
taxes arising from tax law enacted or substantively enacted
to implement the Pillar Two model rules published by the
OECD, including tax law that implements qualified domestic
minimum top-up taxes described in those rules.

The amendments introduce a temporary exception to the
accounting requirements for deferred taxes in Ind AS 12, so
that an entity would neither recognize nor disclose information

about deferred tax assets and liabilities related to Pillar Two
income taxes.

Following the amendments, the Company is required to
disclose that it has applied the exception and to disclose
separately its current tax expense (income) related to Pillar
Two income taxes.

New and revised Ind AS in issue but not effective:

Amendments to Ind AS 1 Presentation of Financial Statements:
Where a covenant breach exists on or before the reporting
date and, as a result, the liability becomes payable on demand
on that date, the liability must be classified as current, even if
the lender subsequently agrees not to demand payment.

The management do not expect that the adoption of
the standards listed above will have a material impact on
the standalone financial statements of the Company in future
periods except if indicated below.

Measurement of fair values:

Description of valuation techniques used and key inputs to valuation on Investment Property:

As at 31st March 2026 and 31st March 2025, the fair value of the Property is Rs. 6,109.34 lakhs and Rs.5,608.01 lakhs, respectively. The
valuation is based on fair value assessment performed by the Management. A valuation model as recommended by the International
Valuation Standards Committee has been applied. The fair value is not based on the valuation by an independent valuer.

The Company has no restrictions on the realisability of its Investment Property and has no contractual obligations to purchase,
construct or develop Investment Property or has any plans for major repairs, maintenance and enhancements.

This method involves the projection of a series of cash flows on a real property interest. To this projected cash flow series, a market-
derived discount rate is applied to establish the present value of the income stream associated with the asset. The exit yield is
normally separately determined and differs from the discount rate.

Under the Discounted cash flow method, fair value is estimated using assumptions regarding the fair market value of the Property.

In this regard, the key assumptions used for fair value calculations are as follows:

- It is presumed that the vacancy durations of the Property will have no material impact on the cash flow projections, as they are
immaterial.

- Existing rental escalation terms will continue to exist in the future without any modification.

- It is presumed that no brokerage, commission costs will be incurred on the let out of Property.

The weighted average cost of capital (WACC) is the rate that a Company is expected to pay on average to all its security holders to
finance its assets. The weighted average cost of capital is calculated by Capital Asset Pricing Model (CAPM). This model takes into
account the asset's sensitivity to non-diversifiable risk (also known as systematic risk or market risk), represented by the quantity
beta (?) in the financial industry, as well as the expected return of the market and the expected return of a theoretical risk-free
asset.

The duration of the cash flows and the specific timing of inflows and outflows are determined by events such as rent reviews, lease
renewal and related reletting, redevelopment, or refurbishment. The appropriate duration is typically driven by market behaviour that
is characteristic of the class of real Property. Periodic cash flow is typically estimated as gross income , non-recoverable expenses,
collection losses, lease incentives, maintenance cost and other operating and Management expenses. The series of periodic net
operating income, along with an estimate of the terminal value anticipated at the end of the projection period, is then discounted.

Significant increase (decrease) in the estimated rental value and rent growth per annum in isolation would result in a significantly
higher (lower) fair value of the Property. Significant increase (decrease) in long-term vacancy rate and discount rate (and exit yield) in
isolation would result in a significantly lower (higher) fair value.

Generally, a change in the assumption made for the estimated rental value is accompanied by:

i. A directionally similar change in the rent growth per annum and discount rate (and exit yield).
i. An opposite change in the long term vacancy rate.

iii The Company's and its subsidiaries obligations (Refer Note 16) are secured by the hypothecation of land and building, which has
a carrying amount of Rs.1,513.46 lakhs (31 March 2025-713.01 lakhs)

Notes:

1. The Company (Operator) has entered into the following Power Purchase Agreements (PPA) with counter parties (Grantor).
The Company has assessed the same as an arrangement which needs to be accounted under the principles of Appendix C of
Ind-AS 115 as the following conditions are met:

The Grantor controls or regulates which services the Operator must provide to the Infrastructure (Solar Power Plant), to whom
it must provide and at what price and the controls the Grantor will exercise through ownership, beneficial entitlement or other
significant residual interest in the Infrastructure at the end of the term of the arrangement.

I nfrastructure within the scope of Appendix C of Ind-AS 115 is not recognised as Property, Plant and Equipment of the
Operator because the contractual service arrangement does not convey the right to control the use of the Infrastructure to
the Operator.

Consideration for the construction services received or receivable by the Operator is recognised at its fair value. The
consideration may be rights to:

(a) a financial asset or

(b) an Intangible asset.

The tenure of the PPA represents the significant useful life of the Infrastructure. Consequently, the Company has an intangible
right to receive cash through the tenure of the PPA and the same has been recognised as an Other Intangible asset. The Other
Intangible asset is amortised over the agreement period.

2. The opening value of Service Concession Agreement includes gross block of Rs. 1,511.10 lakhs and accumulated amortisation
of Rs. 479.67 lakhs pursuant to the effect given to scheme of merger.

3. Other Intangible asset with a carrying amount of Rs.3,406.58 lakhs (as at 31 March 2025: Rs.3,645.64 lakhs) has been pledged in
favour of the Grantor against the grant received and receivable from the Grantor.

4. The Company's obligations (Refer Note 16) are secured by the hypothecation of other intangible assets, which has a carrying
amount of Rs. 4,317.20 Lakhs (31 March 2025 - 4,616.67 Lakhs)

a. Terms/rights attached to equity shares

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. The Company declares and pays dividend in Indian Rupees. The dividend proposed by the
Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting.

In the event of the liquidation of the Company, the holder of equity share will be entitled to receive the remaining assets of the
Company, after distribution of all preferential amounts. The distribution will be proportionate to the number of equity shares
held by the shareholders.

22.2 Trade Receivables and Contract Balances

The Company classifies the right to consideration in exchange for deliverables as receivable.

A receivable is a right to consideration that is unconditional upon passage of time. Revenue is recognised as and when the
related goods are delivered to the customer.

Trade receivables are presented net of impairment in the Balance Sheet.

Contract liabilities include payments received in advance of performance under the contract, and are realised with the
associated revenue recognised under the contract.

22.3 Performance Obligations and remaining performance obligations

The remaining performance obligations disclosure provides the aggregate amount of the transaction price yet to be recognised
as at the end of the reporting period and an explanation as to when the Company expects to recognise these amounts in
revenue. Applying the practical expedient as given in Ind AS-115, the Company has not disclosed information about remaining
performance obligations in contracts, where the original contract duration is one year or less or where the entity has the right
to consideration that corresponds directly with the value of entity's performance completed to date.

26(a) Share-based payments
(i) Swelect ESOP Scheme 2025

a Description of share-based payment arrangements

The Shareholders of the Company at the Annual General Meeting (AGM) held on July 25, 2025, approved the Swelect
Energy systems limited Employee Stock Option Plan (the Swelect ESOP Scheme 2025). The Swelect ESOP Scheme 2025
provides for issuance of 2,84,700 options,exercisable into same number of fully paid up equity shares of INR 10/- each, to
the employees including directors. The Swelect ESOP Scheme 2025 is administered on the following terms:

Such equity settled options granted under the Swelect ESOP Scheme 2025 shall vest not earlier than minimum period of
1 year and not later than maximum period of 6 years from the date of Grant.

Vesting of options would be subject to continued employment with the company and thus the options would vest
essentially on passage of time. In addition to this, the Board may also specify certain performance criteria subject
to satisfaction of which the options would vest.The Board shall have the power to accelerate vesting of all unvested
options in connection with happening of liquidity event with in the meaning of the Swelect ESOP Scheme 2025. Options
not exercised within the exercise period prescribed as per aforesaid time limits shall lapse and the option grantee shall
have no right

(b) Financial assets and liabilities measured at amortised cost

The Company has not disclosed fair values of financial instruments such as trade receivables, cash and cash equivalents,
other Bank balances, security deposits, loans and advances to related parties, lease rental receivables, interest accrued on
fixed deposits, certain advances to employees, trade payables and employee benefits payables (that are short term in nature),
because their carrying amounts are reasonable approximations of their fair values.

(c) Offsetting

The Company has not offset financial assets and financial liabilities as at 31 March 2026 and 31 March 2025. The Company's
borrowing are secured by Fixed deposits/Mutual funds, the details of which are more fully described in Note 16.

37A Critical accounting judgements, estimates and assumptions

The preparation of the Company's financial statements requires Management to make judgements, estimates and assumptions
that affect the reported amounts of revenues, expenses, assets, liabilities, accompanying disclosures, and disclosure of
contingent liabilities. Uncertainty about these assumptions and estimates could result in outcomes that require a material
adjustment to the carrying amount of assets or liabilities affected in future periods.

Judgements

In the process of applying the Company's accounting policies, Management has made the following judgements, which have
the most significant effect on the amounts recognised in the standalone financial statements:

Service concession arrangements

Management has assessed applicability of Appendix C of Ind AS 115: Service Concession Arrangements to power distribution
arrangements entered into by the Company. In assessing the applicability, Management has exercised significant judgment
in relation to the underlying ownership of the assets, terms of the power distribution arrangements entered with the grantor,
ability to determine prices, value of construction service, assessment of right to guaranteed cash etc.

Operating lease commitments - Company as lessor

The Company has entered into commercial property leases on its Investment Property portfolio. The Company has
determined, based on an evaluation of the terms and conditions of the arrangements, such as the lease term not constituting a
major part of the economic life of the commercial property and the fair value of the asset, that it retains all the significant risks
and rewards of ownership of these properties and accounts for the contracts as operating leases.

Estimates and assumptions

The key assumptions concerning the future and other key sources of estimation uncertainty at the reporting date, that have a

significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year.
The Company based its assumptions and estimates on parameters available when the financial statements were prepared.
Existing circumstances and assumptions about future developments, however, may change due to market changes or
circumstances arising that are beyond the control of the Company. Such changes are reflected in the assumptions when they
occur.

Taxes

Significant Management judgement is required to determine the amount of deferred tax assets that can be recognised, based
upon the likely timing and the level of future taxable profits together with future tax planning strategies.

Allowance for uncollectible trade receivables

Trade receivables do not carry interest and are stated at their nominal values as reduced by appropriate allowances for
estimated irrecoverable amounts. Estimated irrecoverable amounts are based on the ageing of the receivable balances and
historical experiences. Individual trade receivables are written off when Management deems them not collectible. The
Company has evaluated the receivable balances and has made allowances for the estimated irrecoverable amounts and no
further allowance/write-off is expected on the receivables by the Company.

Warranties

Provision for warranties involves a significant amount of estimation. The provision is based on the best estimate of the
expenditure required to settle the present obligation at the end of the reporting period. The best estimate is determined based
on the Company's past experience of warranty claims and future expectations. These estimates are revised periodically.

Impairment of financial assets

The impairment provisions for financial assets are based on assumptions about risk of default and expected loss rates. The
Company uses judgement in making these assumptions and selecting the inputs to the impairment calculation, based on
Company's past history, existing market conditions as well as forward looking estimates at the end of each reporting period.”

Impairment of non-financial assets

The Company assesses at each reporting date whether there is an indication that an asset may be impaired. If any
indication exists, or when annual impairment testing for an asset is required, the Company estimates the asset's recoverable
amount. An asset's recoverable amount is the higher of an asset's or Cash Generating Units (CGU) fair value less costs of
disposal and its value in use. It is determined for an individual asset, unless the asset does not generate cash inflows
that are largely independent of those from other assets or group of assets. Where the carrying amount of an asset or
CGU exceeds its recoverable amount, the asset is considered impaired and is written down to its recoverable amount.
In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate
that reflects current market assessments of the time value of money and the risks specific to the asset. In determining fair
value less costs of disposal, recent market transactions are taken into account. If no such transactions can be identified, an
appropriate valuation model is used. These calculations are corroborated by valuation multiples, quoted share prices for
publicly traded subsidiaries or other available fair value indicators.

Defined benefit plans

The cost of the defined benefit gratuity plan and other post-employment compensated absences and the present value of
the gratuity obligation are determined using actuarial valuations. An actuarial valuation involves making various assumptions
that may differ from actual developments in the future. These include the determination of the discount rate, future
salary increases and mortality rates. Due to the complexities involved in the valuation and its long-term nature, a defined
benefit obligation is highly sensitive to changes in these assumptions. All assumptions are reviewed at each reporting date.
Further details about defined benefit obligations are given in Note 31.

38A FINANCIAL RISK MANAGEMENT OBJECTIVES & POLICIES

The Company's principal financial liabilities comprise of short tenured borrowings, trade and other payables. Most of these
liabilities relate to the Company's working capital cycle. The Company has trade and other receivables, loans and advances
that arise directly from its operations.

The Company is accordingly exposed to market risk, credit risk and liquidity risk.

The Company's senior Management oversees management of these risks. The senior professionals working to manage the
financial risks for the Company are accountable to the Board of Directors and the Audit Committee. This process provides
assurance that the Company's financial risk-taking activities are governed by appropriate policies and procedures and that
financial risks are identified, measured and managed in accordance with Company's policies and overall risk appetite. All
foreign currency hedging activities for risk Management purposes, to the extent applicable, are carried out by a team that
have the appropriate skills, experience and supervision. In addition, independent views from bankers and currency market
experts are obtained periodically to validate risk mitigation decisions. It is the Company's policy that no trading in derivatives
for speculative purposes shall be undertaken.

The Audit Committee reviews and agree policies for managing each of these risks which are summarised below:

(a) Market Risk

Market risk is 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 currency rate risk and interest rate risk. Financial instruments affected by market risk
include loans and borrowings, deposits and advances.

(b) Credit Risk

Credit risk is the risk that a counter party will not meet its obligations under a financial instrument or customer contract,
leading to a financial loss. The Company is exposed to credit risk from its operating activities, primarily trade receivables and
from its financing activities, including deposits with Banks, foreign exchange transactions and other financial instruments.

i) Trade and other receivables

Customer credit risk is managed by each business unit subject to the Company's established policy, procedures and controls
relating to customer credit risk Management. Trade receivables are non-interest bearing and are generally on credit terms
in line with respective industry norms. Outstanding customer receivables are regularly monitored. The Company has no
concentration of credit risk as the customer base is widely distributed both economically and geographically.

Exposures to customers outstanding at the end of each reporting period are reviewed by the Company to determine incurred
and expected credit losses based on historical trends and other factoRs. Given that the macro economic indicators affecting
customers of the Company have not undergone any substantial change, the Company expects the historical trend of minimal

Lease rent receivable

The Company's leasing arrangements represent the Buildings and Land let out to various customers which have been classified
as Operating Lease. The creditworthiness of the customer is evaluated prior to sanctioning credit facilities. Appropriate
procedures for follow-up and recovery are in place to monitor credit risk. The Company does not expect any losses from
non-performance by these customers.

Cash and bank balances

The Company holds cash and cash equivalents with credit worthy Banks and financial institutions as at the reporting date.
The credit worthiness of such Banks and financial institutions are evaluated by the Management on an ongoing basis and is
considered to be good.

(c) Liquidity Risk

Liquidity risk is the risk that the Company may not be able to meet its present and future cash and collateral obligations
without incurring unacceptable losses. The Company's objective is to, at all times maintain optimum levels of liquidity to
meet it cash and collateral requirements. The Company closely monitors its liquidity position and deploys a robust cash
Management system. It maintains adequate sources of financing including loans, debt, and overdraft from both domestic and
international banks at an optimised cost.

39 The Company has used accounting software for maintaining its books of account for the year ended 31 March 2026 which has
a feature of recording audit trail (edit log) facility and the same has operated throughout the year for all relevant transactions
recorded in the software.

Further, there was no instance of the audit trail feature being tampered with, and the audit trail has been preserved by the
Company as per the statutory requirements for record retention.

40 CAPITAL MANAGEMENT

Capital includes equity attributable to the equity holders of the Company and net debt. Primary objective of Company's
capital Management is to ensure that it maintains an optimum financing structure and healthy returns in order to support its
business and maximize shareholder value. The Company manages its capital structure and makes adjustments, in light of the
changes in economic conditions or business requirements. The Company monitors capital using a gearing ratio which is net
debt divided by equity. Net debt is calculated as loans and borrowings less cash and cash equivalents.

Reason for the variances:

(i) The current ratio has decreased by 31% on account of reclassification/movement in current liabilities and lower current assets coverage
as at year end.

(ii) The Debt-Equity ratio has increased by 39% due to higher borrowings during the year relative to the equity base.

(iii) Debt Service Coverage ratio has improved by 89% on account of higher earnings available for debt servicing during the year.

(iv) Return on Equity ratio has increased by 124% due to higher profits for the year as compared to the previous year.

(v) I nventory turnover ratio has increased by 76% on account of better management of inventory days and project closures during the
year.

(vi) Trade payables turnover ratio has decreased by 38% due to extended credit period availed from suppliers and timing of settlements.

(vii) Net Profit ratio has increased by 168% on account of higher profitability of operations during the current year as compared to the
previous year.

42 ADDITIONAL INFORMATION:

(a) The Company does not have any Benami property, where any proceeding has been initiated or pending against the
Company for holding any Benami property.

(b) The Company has not traded or invested in Crypto currency or Virtual Currency during the financial year

(c) 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.

(d) 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.

(e) The Company does not have any such transaction which is not recorded in the books of accounts that has been
surrendered or disclosed as income during the year in the tax assessments under the Income Tax Act, 1961 (such as,
search or survey or any other relevant provisions of the Income Tax Act, 1961).

(f) To the best of its knowledge, The Company has not had any transaction with any struck-off companies

(g) The Company does not have any charges or satisfaction yet to be registered with the ROC beyond the statutory period
as at the year ended 31st March 2026.

43 Previous year figures have been regrouped / reclassified wherever necessary to conform to current year groupings.

44 The Financial Statements of the Company for the year ended March 31, 2026 were authorized for issue in accordance with the

resolution of the Board of Directors on May 21, 2026.