(xvii) Provisions, Contingent Liabilities and Contingent
Assets
a. Provisions & Warranties
Provisions are recognized when the Company has
a present obligation (legal or constructive) as a
result of 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 recognized 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
flows (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
recognized as an asset if it is virtually certain that
reimbursement will be received, and the amount
of the receivable can be measured reliable.
Provisions for the expected cost of warranty
obligations under local sale of goods legislation
are recognize at the date of sale of the relevant
products, at the management's best estimate of
the expenditure-required to settle the Company's
warranty obligation.
b. Onerous contracts
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. Present
obligation arising under onerous contracts are
recognized and measured as provisions.
c. Contingent liabilities
Contingent liability is a possible obligation that
arises from past events and the existence of which
will be confirmed only by the occurrence or non¬
occurrence of one or more uncertain future events
not wholly within the control of the Company; or is
a present obligation that arises from past events
but is not recognized because either it is not
probable that an outflow of resources embodying
economic benefits will be required to settle the
obligation, or a reliable estimate of the amount of
the obligation cannot be made. Contingent
liabilities are disclosed and not recognized. In the
normal course of business, contingent liabilities
may arise from litigation and other claims against
the Company. Guarantees are also provided in the
normal course of business. There are certain
obligations which management has concluded,
based on all available facts and circumstances, are
no probable of payment or are very difficult to
quantify reliably, and such obligations are treated
as contingent liabilities and disclosed in the notes
but are not reflected as liabilities in the standalone
financial statements. Although there can be no
assurance regarding the final outcome of the legal
proceedings in which the Company is involved, it is
not expected that such contingencies will have a
material effect on its financial position or
profitability.
d. Contingent Assets
Contingent Assets are neither recognized nor
disclosed except when realization of income is
virtually certain.
(xviii) Cash & Cash Equivalents
The Company considers all highly liquid financial
instruments, which are readily convertible into known
amount of cash that are subject to an insignificant risk
of change in value and having original maturities of
less than three months or less from the date of
purchase, to be cash equivalents. Cash and cash
equivalents consist of balance with banks which are
unrestricted for withdrawal and usage.
(xix) Borrowing Cost
Borrowing costs directly attributable to the
acquisition, construction or production of qualifying
assets, which are assets that necessarily take a
substantial period of time to get ready for their
intended use or sale, are added to the cost of those
assets, until such time as the assets are substantially
ready for their intended use.
(xx) Segment Reporting
a) Based on the organizational structures and its
Financial Reporting System, the Company has
classified its operation into four business
segments namely Freight Car Division (FCD), Infra -
Rail & Green, Infra - Electrical and Real Estate.
b) Revenue and expenses have been identified to
segments on the basis of their relationship to the
operating activities of the segment. Revenue and
expenses which are related to the enterprise as a
whole and are not allocable to segments on a
reasonable basis have been included under un¬
allocable expenses.
c) Capital Employed to each segment is classified on the
basis of allocable assets minus allocable liabilities
identifiable to each segment on reasonable basis.
(xxi) Taxation
Income tax expense comprises current tax expense
and the net change in the deferred tax asset or liability
during the year. Current and deferred taxes are
recognized in statement of profit and loss, except
when they relate to items that are recognized in other
comprehensive income or directly in equity, in which
case, the current and deferred tax are also recognized
in other comprehensive income or directly in equity,
respectively.
a. Current income taxes
The current income tax expense includes income
taxes payable by the Company and its branches in
India and overseas. The current tax payable by the
Company in India is Indian income tax payable on
worldwide income. Current income tax payable by
overseas branches of the Company is computed in
accordance with the tax laws applicable in the
jurisdiction in which the respective branch
operates. The taxes paid are generally available for
set off against the Indian income tax liability of the
Company's worldwide income. Advance taxes and
provisions for current income taxes are presented
in the balance sheet after off-setting advance tax
paid and income tax provision arising in the same
tax jurisdiction and where the relevant tax paying
unit intends to settle the asset and liability on a net
basis.
b. Deferred income taxes
Deferred income tax is recognized using the
balance sheet approach. Deferred income tax
assets and liabilities are recognized for deductible
and taxable temporary differences arising between
the tax base of assets and liabilities and their
carrying amount, except when the deferred
income tax arises from the initial recognition of an
asset or liability in a transaction that is not a
business combination and affects neither
accounting nor taxable profit or loss at the time of
the transaction. Deferred income tax assets are
recognized to the extent that it is probable that
taxable profit will be available against which the
deductible temporary differences and the carry
forward of unused tax credits and unused tax losses
can be utilised. The carrying amount of deferred
income tax assets is reviewed at each reporting
date and reduced to the extent that it is no longer
probable that sufficient taxable profit will be
available to allow all or part of the deferred income
tax asset to be utilized.
Deferred tax assets and liabilities are measured
using substantively enacted tax rates expected to
apply to taxable income in the years in which the
temporary differences are expected to be received
or settled.
Deferred tax assets include Minimum Alternative
Tax (MAT) paid in accordance with the tax laws in
India, which is likely to give future economic
benefits in the form of availability of set off against
future income tax liability. Accordingly, MAT is
recognized as deferred tax asset in the balance
sheet when the asset can be measured reliably and
it is probable that the future economic benefit
associated with the asset will be realized.
(xxii) Government Grant
The Company may receive government grants that
require compliance with certain conditions related to
the Company's operating activities or are provided to
the Company by way of financial assistance on the
basis of certain qualifying criteria. Government grants
are recognized when there is reasonable assurance
that the grant will be received, and the Company will
comply with the conditions attached to the grant.
Accordingly, government grants:
(a) related to or used for assets are included in the
Balance Sheet as deferred income and recognized
as income over the useful life of the assets.
(b) related to incurring specific expenditures are taken
to the Statement of Profit and Loss on the same
basis and in the same periods as the expenditures
incurred.
(c) by way of financial assistance on the basis of certain
qualifying criteria are recognized as they become
receivable. In the unlikely event that a grant
previously recognized is ultimately not received, it
is treated as a change in estimate and the amount
cumulatively recognized is expensed in the
Statement of Profit and Loss.
(xxiii) Earnings Per Share
Basic earnings per share are calculated by dividing the
net profit or loss for the period attributable to equity
shareholders by the weighted average number of
equity shares outstanding during the year. For the
purpose of calculating diluted earnings per share, the
net profit or loss for the year attributable to equity
shareholders and the weighted average number of
shares outstanding during the year are adjusted for
the effects of all dilutive potential equity shares.
(xxiv) Cash Flow Statement
Cash Flow is reported using the indirect method,
whereby profit before tax is adjusted for the effects of
transactions of a non cash nature and any deferrals or
accruals of past or future cash receipts or payments.
The cash flow from regular revenue generating,
financing and investing activities of the Company are
segregated.
(xxv) Exceptional Item
When items of income and expenses within statement
of profit and loss from ordinary activities are of as such
size, nature and or incidence that their disclosure is
relevant to explain the performance of the enterprise
for the period, the nature and amount of such material
items are disclosed separately as exceptional items.
(xxvi) Accounting for interests in Joint Arrangements
The Company accounts for its interests in joint
arrangements in accordance with Ind AS 111 - Joint
Arrangements.
(a) Joint Operations
A joint operation is a joint arrangement whereby the
parties that have joint control have rights to the assets
and obligations for the liabilities relating to the
arrangement. In respect of its interest in a joint
operation, the Company recognises its share of:
• Assets, including its share of any assets held jointly;
• Liabilities, including its share of any liabilities incurred
jointly;
• Revenue from the sale of its share of the output
arising from the joint operation;
• Share of revenue from the sale of the output by the
joint operation; and
• Expenses, including its share of any expenses
incurred jointly.
(b) Joint Ventures
A joint venture is a joint arrangement whereby the
parties that have joint control have rights to the net
assets of the arrangement.
In the standalone financial statements, investments in
joint ventures are carried at cost less impairment, if any,
in accordance with Ind AS 27 - Separate Financial
Statements.
Dividend income from joint ventures is recognised in the
Statement of Profit and Loss when the Company's right
to receive the dividend is established
(xxvii) Goodwill
Goodwill represents the purchase consideration in excess of the Group's interest in the net fair value of identifiable assets,
liabilities and contingent liabilities of the acquired entity. When the net fair value of the identifiable assets, liabilities and
contingent liabilities acquired exceeds purchase consideration, the fair value of net assets acquired is reassessed and the
bargain purchase gain is recognized in capital reserve. Goodwill is measured at cost less accumulated impairment losses.
(xxviii) A new and amended standards
The Ministry of Corporate Affairs (MCA) has notified Companies (Indian Accounting Standards) Rules, 2024 to amend the
following Ind AS which are effective for annual periods beginning on or after April 1,2025.
The Company has not early adopted any standard, interpretation or amendment that has been issued but is not yet effective.
(i) Amendments to Ind AS 21 - Lack of exchangeability
The Ministry of Corporate Affairs (MCA) notified the Companies (Indian Accounting Standards) Amendment Rules,
2025, which amend Ind AS 21, The Effects of Changes in Foreign Exchange Rates to specify how an entity should assess
whether a currency is exchangeable and how it should determine a spot exchange rate when exchangeability is
lacking. The amendments also require disclosure of information that enables users of its financial statements to
understand how the currency not being exchangeable into the other currency affects, or is expected to affect, the
entity's financial performance, financial position and cash flows.
The amendments are effective for annual reporting periods beginning on or after 1 April 2025. When applying the
amendments, an entity cannot restate comparative information
(ii) Amendments to Ind AS 1 - Classification of Liabilities as Current or Non-current and Non-current Liabilities with
Covenants
In August 2025, the MCA notified amendments to paragraphs 69 to 76 of Ind AS 1 to specify the requirements for
classifying liabilities as current or non-current. The amendments clarify:
What is meant by a right to defer settlement
That a right to defer must exist at the end of the reporting period
That classification is unaffected by the likelihood that an entity will exercise its deferral right
That only if an embedded derivative in a convertible liability is itself an equity instrument would the terms of a liability not
impact its classification
In addition, a requirement has been introduced to require disclosure when a liability arising from a loan agreement is
classified as non-current and the entity's right to defer settlement is contingent on compliance with future covenants within
twelve months.
If there is a breach of a material covenant of a long term loan arrangement on or before the end of the reporting period,
resulting in the liability becoming payable on demand as at the reporting date, and the lender agrees—after the reporting
period but before the financial statements are approved for issue—not to demand repayment for at least 12 months as a
consequence of the breach, this shall be treated as an adjusting event. Accordingly, the entity is not required to classify the
liability as current.
The amendments are effective for annual reporting periods beginning on or after 1 April 2025 retrospectively in accordance
with Ind AS 8.
(iii) Amendments to Ind AS 7 and Ind AS 107 - Supplier Finance Arrangements
In August 2025, the MCA notified amendments to Ind AS 7 Statement of Cash Flows and Ind AS 107 Financial Instruments:
Disclosures to clarify the characteristics of supplier finance arrangements and require additional disclosure of such
arrangements. The disclosure requirements in the amendments are intended to assist users of financial statements in
understanding the effects of supplier finance arrangements on an entity's liabilities, cash flows and exposure to liquidity risk.
(iv) International Tax Reform—Pillar Two Model Rules - Amendments to Ind AS 12
In August 2025, the MCA notified amendments to Ind AS 12 Income Taxes in response to the OECD's BEPS Pillar Two rules and
include:
A mandatory temporary exception to the recognition and disclosure of deferred taxes arising from the jurisdictional
implementation of the Pillar Two model rules; and
Disclosure requirements for affected entities to help users of the financial statements better understand an entity's exposure
to Pillar Two income taxes arising from that legislation, particularly before its effective date.
The mandatory temporary exception - the use of which is required to be disclosed - applies immediately. The remaining
disclosure requirements apply for annual reporting periods beginning on or after 1 April 2025, but not for any interim
periods ending on or before 31 March 2026.
The above amendments do not have any impact on the Company's standalone financial statements.
Note 1.18 Other Equity (Contd.)
(i) Capital Reserves: The Company recognises profit or loss on purchase, sale, issue or cancellation of the Company's own equity instruments
to Capital Reserve.
(ii) Security Premium: Security Premium represents to record the premium on issue of shares. The reserve is utilised in accordance with the
provisions of the Companies Act 2013.
(iii) General Reserve: The General Reserve is created from time to time to transfer profit from Retained Earnings for appropriation purpose. As
the General Reserve is created by transfer from one component of equity to another and is not an item of other comprehensive income, items
includes in the General Reserve will not be reclassified subsequently to profit & loss.
(iv) Reserve for Equity Instrument through Other Comprehensive Income (OCI): This reserve represents the cumulative gain or loss arising
on net revaluation of equity instruments measured at fair value through OCI, net of amounts reclassified to the Retained Earnings when those
assets have been disposed off.
(v) Foreign currency monetary items translation difference reserve: Exchange differences arising on settlement and remeasurement of
long term foreign currency monetary items are accumulated in "Foreign Currency Monetary items Translation Difference Account" and
amortised over the maturity period or upto the date of settlement of such monetary items, whichever is earlier, and charged to the Statement
of Profit and Loss.
(vi) Retained Earnings: Retained Earnings refers to the portion of net income which is retained by the corporation to be reinvested in its core
business. Similarly if the Company has a loss then that loss is retained and called retained losses or accumulated losses. Retained Earnings and
Losses are cumulative from year to year with losses off setting earnings.
(viI) Money Received Against Share Warrants: This represents amounts received towards share warrants, entitling holders to apply for equity
shares at a predetermined price. During the year, the amount was utilised towards allotment of equity shares, and the balance was
transferred to Capital Reserve. Accordingly, the closing balance as at 31 March 2026 is Nil.
(i) Cash credit facilities of the Freight Car Division (Kolkata Unit) are secured by a first pari-passu charge on the current assets, second
pari-passu charge on the movable fixed assets of the Kolkata unit and further secured by a first pari-passu mortgage over the land
and buildings at Agarpara and Belgharia.
(ii) Cash credit facilities of the Freight Car Division (Vadodara unit) are secured by a first pari-passu charge on the current assets and are
further secured by a first pari-passu mortgage over the Karjan property and a second pari-passu charge on the movable fixed assets
of the Vadodara unit.
(iii) Cash credit facilities of the Infra- Rail & Green Energy Division (Kalindee Unit) are secured by a first pari-passu charge on the current
assets and movable fixed assets of the division and are further secured by a first pari-passu charge on the Gurugram property and
fixed deposits amounting to ' 15.55 crore.
(iv) Cash credit facilities of the Infra- Electricals (Bright Power Unit) are secured by a first pari-passu charge on the current assets and
movable fixed assets of the division.
(v) Working capital facilities of the Freight Car Division (Foundry - Urla Unit) are secured by an exclusive first charge on the current and
fixed assets of the Urla Unit.
Note 1.37 Provision for Contingencies
As the company is looking to grow significantly in its core as well as allied and diversified areas, the Risk Management Committee of the
company has considered the uncertainties arising out of ongoing geo-political factors and their resultant potential impact on the
business of the Company due to trade uncertainties, supply chain disruptions, escalation of costs and foreign exchange risks.
Given the nature of these risks and their potential impact, the Board felt that as a mitigation measure, it was prudent to make a provision
for contingencies of ' 700 crores. The Board also felt that such contingencies would arise neither because of operational issues, nor would
be attributable to identifiable individual risks or a single reportable year for which operating performance of the company is reported. In
these circumstances the Board felt it appropriate to carve out such provision from free reserves.
Contract Loss Provision: It represents provision recognized for expected losses on onerous contracts where the unavoidable costs of
meeting the obligations under the contract exceed the economic benefits expected to be received. The provision is measured based on
the best estimate of the expenditure required to settle the present obligation at the reporting date and is reviewed periodically based on
the status of execution of the respective contracts. The outflow of economic resources is expected to materialize over the period of
execution of such contracts.
Contingencies: Refer to the Note No. 1.37 for the details.
Provision for others: It represents liabilities related to various site expenses including contractor service charges for sites, administrative
charges etc, likely to materialize in the next financial year. Provisions are recognised when the Company has a present obligation (legal or
constructive) as a result of a past event, it is probable that an outflow of resources embodying economic benefits will be required to settle
the obligation and are liable estimate can be made of the amount of the obligation. If the effect of the time value of money is material,
provisions are discounted using equivalent period government securities interest rate. Unwinding of the discount is recognized in the
Statement of Profit and Loss as a finance cost. Provisions are reviewed at each balance sheet date and are adjusted to reflect the current
best estimate.
Note 1.39 In the opinion of the management, current assets, loans and advances have a value on realisation in the ordinary course of
business unless otherwise stated, at least to the amount at which they are stated and the provisions for all known and
determined liabilities is adequately provided.
Note 1.40 Balance of debtors and loans and advances are subject to confirmation from respective parties.
The Company's activities expose it to Credit Risk, Liquidity Risk, Market Risk, and Equity Price Risk.
This note explains the source of risk which the Company is exposed to and how the Company manages the risk and the impact. The
management of the company ensures that risks are identified, measured and mitigated in accordance with the Risk Management Policy of
the company. The Board provides guiding principles on risk management and also review these risks and related risk management
policies which are given as under.
The Company's financial liabilities comprise borrowings, capital creditors and trade and other payables. The company's financial assets
include trade and other receivables, cash and cash equivalents, investments including investments in subsidiaries, loans & advances, and
deposits.
A. Credit Risk- A risk that counterparty may not meet its obligations under a financial instrument or customer contract, leading to a
financial loss is defined as Credit Risk. The Company is exposed to credit risk from its operating and financial activities.
Customer credit risk is managed by the respective marketing department subject to the Company's established policy, procedures
and control relating to customer credit risk management. The Company reviews the creditworthiness of these customers on an on¬
going basis. The Company estimates the expected credit loss on the basis of past data, experience and policy laid down in this
respect. The maximum exposure to the credit risk at the reporting date is the carrying value of the trade receivables disclosed in Note
1.11 as the Company does not hold any collateral as security. The Company has a practice to provide for doubtful debts as per its
approved policy.
B. Liquidity Risk- A risk that the Company may not be able to settle or meet its obligations at a reasonable price is defined as liquidity
risks. The Company's treasury department is responsible for managing liquidity, funding as well as settlement management. In
addition, processes and policies related to such risks are overseen by senior management. Management monitors the Company's
net liquidity position through rolling forecasts on the basis of expected cash flows.
The Company's objective is to maintain a balance between continuity of funding and flexibility through the use of cash credits, Term
loans among others.
C. Interest Risk - Interest Risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of change
in market interest rates. The Company's exposure to the risk of change in market interest rates related primarily to the company's
short term borrowing (excluding commercial paper) with floating interest rates. For all long term borrowings with floating rates, the
risk of variation in the interest rates is mitigated through interest rate swaps. The Company constantly monitors the credit markets
and rebalances its financing strategies to achieve on optimal maturity profile and financing cost.
D. Market Risk- A risk that the fair value of future cash flows of a financial instrument may fluctuate because of changes in market prices
is defined as Marketing Risk. Such changes in the value of financial instruments may result from changes in the foreign currency
exchange rates, interest rates, credit, liquidity and other market changes.
(i) Foreign Currency Risk- A risk that the fair value or future value of the cash flows of an forex exposure will fluctuate because of
changes in foreign exchange rates is defined as Foreign Currency Risk. The Company's exposure to the risk of changes in foreign
exchange rates relates primarily to the Company's export, import and foreign currency loan/ derivatives operating activities.
The Company, as per its risk management policy, uses foreign exchange and other derivative instruments primarily to hedge
foreign exchange exposure. The management monitors the foreign exchange fluctuations on a continuous basis.
(ii) Foreign currency sensitivity- The following table demonstrates the sensitivity to a reasonably possible change in USD and Euro
exchange rates, with all other variables held constant. The impact on the Company's profit before tax is due to changes in the
fair value of monetary assets and liabilities. The Company's exposure to foreign currency changes for all other currencies are not
material.
E. Equity Price Risk - A risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in
equity prices (other than those arising from interest rate or foreign exchange rate risk), whether those changes are caused by
factors specific to the individual financial instruments or its issuer, or by factors affecting all similar financial instruments traded in
the market is defined as Equity Price Risk.
The Company generally invests in the equity shares of the Subsidiaries, Associates, Joint Ventures and some of the group
companies as part of the Company's overall business strategy and policy. The Company manages the equity price risk through
placing limits on individual and total equity investment in each of the subsidiaries and group companies based on the respective
business plan of each of the companies. The Company's investment in quoted equity instruments (other than above) is not
material. For sensitivity analysis of Company's investments in equity instruments, refer Note No. 1.04 (Fair Value).
Note 1.56 Capital Management
The Company's objective when managing capital (defined as net debt and equity) is to safeguard the Company's ability to continue as a
going concern in order to provide returns to shareholders and benefits for other stakeholders, while protecting and strengthening the
Balance Sheet through the appropriate balance of debt and equity funding. The Company manages its capital structure and makes
adjustments to it, in taking into consideration the economic conditions and strategic objectives of the Company.
Note 1.57 Fair Value
Carrying amounts and fair values Fair Value through Profit & Loss (FVTPL) of financial instruments, including their levels in the fair value
hierarchy has been mentioned in Note No. B (ix) and has been mentioned in Note No 1.04 and Note No 1.10. All the investments which
have been fair valued are classified under Level - 1 (Listed) & Level- 2 (Unlisted).
B. Measurement of fair values
The table shown below analyses financial instruments carried at fair value, by valuation method. The different levels have been
defined below:
- Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities
- Level 2: inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly (i.e.,
as prices) or indirectly (i.e., derived from prices).
- Level 3: inputs for the asset or liability that are not based on observable market data (unobservable inputs)
C. Valuation techniques
The following methods and assumptions were used to estimate the fair values
1) Fair value of the cash and short term deposits, current loans and advances and other current financial liabilities, short term
borrowing from banks and other financial institutions and other similar items approximate their carrying value largely due to
short term maturities of these instruments.
2) Long-term receivables/borrowings are evaluated by the Company based on parameters such as interest rates, specific
country risk factors, individual credit worthiness of the customer and the risk characteristics of the financed project. Based on
this evaluation, allowances are taken into account for the expected credit losses of these receivables.
3) The fair value of unquoted instruments, loans from banks/financial institution and other financial liabilities is estimated by
discounting future cash flows using rates currently available for debt of similar terms, credit risk and remaining maturities.
Note 1.63 Additional Regulatory Information
1) Company has used the borrowings from banks and financial institutions for the specific purpose for which it has taken
at the balance sheet date.
2) No proceedings have been initiated or pending against the company for holding any benami property under the
Benami Transactions (Prohibition) Act,1988 (45 of 1988) and the rules made thereunder, and company has not
been declared as a willful defaulter by any bank or institution or other lender.
3) To the best of the information available, the company has not entered any transactions with companies struck off
under section 248 of the Companies Act, 2013 or section 560 of Companies Act,1956
4) Company is filling monthly statement of current assets in respect of its borrowings from banks and status of
agreement of quarter end statements with books are as under:
5) There is no income surrendered or disclosed as income during the year in tax assessment under the Income Tax
Act,1961 (such as search or survey), that has not been recorded in the books of account.
6) 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 ultimate beneficiaries.
7) No funds (which are material either individually or in the aggregate) have been advanced or loaned or invested
(either from borrowed funds or share premium or any other sources or kind of funds) by the Company to or in any
other person(s) or entity(ies), including foreign entity ("intermediaries"), with the understanding, whether recorded
in writing or otherwise, that the intermediary shall, whether 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 on behalf of the Ultimate Beneficiaries.
8) The Company has not traded or invested in crypto currency or virtual currency during the year.
Note: 1.63a
The Government of India has consolidated 29 labour laws into four Labour Codes ("New Labour Codes"), effective
from 21st November 2025, with the related rules yet to be notified. The Codes, inter alia, introduce a uniform definition
of wages and enhanced leave benefits.
The Company has assessed the impact of these changes, resulting in an increase in gratuity and leave encashment
liabilities of ' 302.26 lakhs. Considering the non-recurring nature of the impact, the incremental amount has been
presented as "Impact of Labour Codes" under Exceptional Items in the statement of profit and loss for the year ended
31st March 2026.
Note 1.64 Previous year's figures have been regrouped/ rearranged/ restated/ recast wherever necessary to confirm this
year's classification.
Note 1.65 Figures below '500/- have been omitted for rounding off, '500/- and above have been rounded off to
the next '1,000/-.
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