L. Provision and contingencies
The company creates a provision when there exists a present obligation
as a result of past event that probably requires an outflow of resources
and a reliable estimate can be made of the amount of the obligation. A
disclosure for a contingent liability is made when there is a possible
obligation or a present obligation that may, but probably will not require
an outflow of resources. When there is a possible obligation or a present
obligation in respect of which likelihood of outflow of resources is
remote, no provision or disclosure is made.
M. Earning per share
The basic and diluted earnings per share (“EPS”) is computed by
dividing the net profit after tax for the year by weighted average number
of equity shares outstanding during the period.
N. Other accounting policies
These are considered with generally accepted accounting principles.
O. Expenditure on Regulatory Approvals
Expenditure incurred for obtaining regulatory approvals and
registration of products for overseas markets is charged to the
Statement of Profit and Loss.
P. Goods and Service Tax on closing Stock :The Company follows the
practice of not providing for Goods and Service Tax on finished goods
materials not cleared from the factory premises. Consequently the said
practice has no effect on the profit & Loss Account for the year.
Q. Basis of Preparation and Compliance with Ind AS
These financial statements have been prepared in compliance with
Indian Accounting Standards (Ind-AS) notified under section 133 of the
Companies Act 2013 (the Act), read together with The Companies
(Indian Accounting Standards) Rules, 2015].
The financial statements have been prepared and presented under the
historical cost convention, on accrual basis of accounting in accordance
with accounting principles generally accepted in India (“Indian GAAP”)
and comply with the Accounting Standards prescribed under section
133 of the Companies Act, 2013 (“Act”), read with Rule 7 of the
Companies (Accounts) Rules, 2014. The financial statements comply in
all material aspects with the accounting standards notified under
Section 211 (3C) of the Companies Act, 1956 (Companies Accounting
Standards) Rules, 2006, as amended and other relevant provisions of
the Companies Act, 2013.
Significant Estimates : The Company has recognised deferred tax assets on business losses and
unabsorbed depreciation. Based on future business projections, the Company is reasonably certain that
would be able to generate adequate taxable income to ensure utilisation of business losses and
unabsorbed depreciation. Further, in calculating the tax expense for the current year and earlier years, the
Company had disallowed certain expenditure pertaining to exempt income based on historical tax
assessments. These matters are pending with tax authorities.
(All amount in inousana Rupees , unless otnerwise stated)
34 Financial Risk Management
The Company's financial risk management is an integral part of how to plan and execute its business strategies. The Company's financial risk
management policy is set by the Managing Board.
Market risk is the risk of loss of future earnings, fair values or future cash flows that may result from a change in the price of a financial
instrument. The value of a financial instrument may change as a result of changes in the interest rates, foreign currency exchange rates,
equity prices and other market changes that affect market risk sensitive instruments. Market risk is attributable to all market risk sensitive
financial instruments including investments and deposits, foreign currency receivables, payables and loans and borrowings.
The Company is exposed to various financial risks majority market risk, credit risk and liquidity risk. The Company's senior management
oversees the management of these risks with an objective to minimise the impact of these risks based on charters and informal policies.
A Market risk
A.1 Market risk - Interest rate risk
Interest rate risk is the risk that the fair value of future cash flows of the financial instruments will fluctuate because of changes in market
interest rates. In order to optimize the Company's position with regards to interest income and interest expenses and to manage the interest
rate risk, management performs a comprehensive corporate interest rate risk management by balancing the proportion of fixed rate and
floating rate financial instruments in its total portfolio.
According to the Company, interest rate risk exposure is only for floating rate borrowings. For floating rate liabilities, the analysis is prepared
assuming the amount of the liability outstanding at the end of the reporting period was outstanding for the whole year. A 50 basis point
increase or decrease is used when reporting interest rate risk internally to key management personnel and represents management's
B Credit risk
Credit risk arises from the possibility that the counter party may not be able to settle their obligations as agreed. To manage this, the
Company periodically assesses financial reliability of customers and other counter parties, taking into account the financial condition, current
economic trends, and analysis of historical bad debts and ageing of financial assets. Individual risk limits are set and periodically reviewed on
the basis of such information.
The Company considers the probability of default upon initial recognition of asset and whether there has been a significant increase in credit
risk on an ongoing basis through each reporting period. To assess whether there is a significant increase in credit risk the Company compares
the risk of default occurring on asset as at the reporting date with the risk of default as at the date of initial recognition. It considers
reasonable and supportive forwarding-looking information as well
Financial assets are written off when there is no reasonable expectation of recovery, such as a debtor failing to engage in a repayment plan
with the Company. Where loans or receivables have been written off, the Company continues to engage in enforcement activity to attempt to
recover the receivable due. Where recoveries are made, these are recognized as income in the statement of profit and loss.
The Company measures the expected credit loss of trade receivables and loan from individual customers based on historical trend, industry
practices and the business environment in which the entity operates. Loss rates are based on actual credit loss experience and past trends.
Trade receivables are typically unsecured and are derived from revenue earned from customers located in and outside India.
The Company also carries credit risk on lease deposits with landlords for properties taken on leases and other vendor trade deposits. The risk
relating to refunds after surrender of leased property is managed through successful negotiations or appropriate legal actions, where
necessary.
C Liquidity risk
Liquidity risk is the risk that the Company will face in meeting its obligation associated with its financial liabilities that are settled by delivering
cash or another financial asset. The Company's approach in managing liquidity is to ensure, as far as possible, that it will have sufficient
liquidity to meet its liabilities when due, under both normal and stressed conditions, without incurring unacceptable losses or risking damage
to the Company's reputation. Any short term surplus cash generated, over and above the amount required for working capital and other
operational requirements is retained as cash and cash equivalents (to the extent required).
42 As regards the Accounting Standard 17 "Segment Reporting" there is neither more than one business segment nor more than one
43 The Company does not possess information as to which of its suppliers is MSME undertakings holding permanent registration certificate
issued by the relevant authorities. Consequently, the liability if any, of interest which would be payable on delayed payments under MSME
Act cannot be ascertained. However, the Company has not received any claim in respect of such interest. In view of the above, outstanding
due to MSME cannot be ascertained.
44 The balance of secured and unsecured loans, sundry debtors, sundry creditors, current liabilities, loans and advances are subject to
confirmation and reconciliation. Adjustments, which may arise on receipts of confirmation and completion of reconciliation are not
ascertainable at this stage.
45 Proceedings under the Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and rules made thereunder
There are no proceedings initiated or are pending against the company for holding any benami property under the Benami Transactions
(Prohibition) Act, 1988 (45 of 1988) and rules made thereunder
46 Undisclosed Income
The Company do not have any transaction which are not recorded in the books of accounts that has been surrendered or disclosed as income
in the tax assessments under the Income Tax Act, 1961 during any of the years.
47 Details of Crypto Currency or Virtual Currency
The Company did not trade or invest in Crypto Currency or virtual currency during the financial year. Hence, disclosures relating to it are not
applicable.
48 Relationshp with Struck off Companies
The Company did not have any transactions with Companies struck off under Section 248 of Companies Act, 2013 or Section 560 of
Companies Act, 1956 considering the information available with the Company.
49 The Income Tax Assessment are completed upto the Assessment Year 2022-23, Sales Tax Assessment are completed upto F.Y.2016-17 and
Excise Audit upto December - 2012.
50 Previous year figures are re grouped /re-arranged /re-classified wherever is necessary.
As per our report of even date.
For S. C. MEHRA & ASSOCIATES LLP For SYNTHIKO FOILS LTD
Chartered Accountants
S. C. MEHRA Ramesh Dadhia Bhavesh Dadhia
PARTNER Managing Whole-Time
Director & CFO Director & CEO
Membership No. 039730 DIN No : 00726044 DIN No : 00726076
Firm No.106156W / W100305
PLACE : MUMBAI Mamta Lasod
DATE : 29.05.2025 Company Secretary
ACS: 52110
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