Q. Provisions, Contingent Liabilities and
Contingent Assets

Provisions are recognised when the Company
has a present obligation (legal or constructive)
as a result of a past event and it is probable
that an outflow of resources, that can be reliably
estimated, will be required to settle such an
obligation.

If the effect of the time value of money is material,
provisions are determined by discounting the
expected future cash flows to net present value
using an appropriate pre-tax discount rate that
reflects current market assessments of the time
value of money and, where appropriate, the risks
specific to the liability. Unwinding of the discount
is recognised in the Statement of Profit and Loss
as a finance cost. Provisions are reviewed at each
reporting date and are adjusted to reflect the
current best estimate.

A present obligation that arises from past events
where it is either not probable that an outflow of
resources will be required to settle or a reliable
estimate of the amount cannot be made, is
disclosed as a contingent liability. Contingent
liabilities are also disclosed when there is a
possible obligation arising from past events, 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.

Claims against the Company where the possibility
of any outflow of resources in settlement is
remote, are not disclosed as contingent liabilities.

Contingent assets are not recognised in financial
statements since this may result in the recognition
of income that may never be realised. However,
when the realisation of income is virtually certain,
then the related asset is not a contingent asset
and is recognised.

R. Operating Segment

The company is exclusively engaged in the
business of construction and infrastructure
development in India. Based on the management
approach, the Chief Operating Decision Maker
evaluates the company's performance and
allocates the resources based on an analysis of
overall performance indicators. The Company
prepares its segment information in conformity
with the accounting policies adopted for preparing
and presenting the financial Statements of the
Company.

4. Guarantees given to third parties represents Bank guarantees given to customers for various projects.

Note 36 : Operating Segment

The company is exclusively engaged in the business of construction and infrastructure development in India. Based on
the management approach, the Chief Operating Decision Maker evaluates the company's performance and allocates the
resources based on an analysis of overall performance indicators.The Managing Director and Chief Financial Officer of the
Company, who is responsible for allocating resources and assessing performance of the operating segments, has been
identified as the Chief Operating Decision Maker (CODM). There is only one reporting segment and has no reportable
segment as per IND AS 108 - Operating Segment.

Note 37 : Capital Management

For the purpose of the Company's capital management, capital includes paid-up equity capital and all other equity reserves
attributable to the equity holders of the Company. The primary objective of the company's capital management is to ensure
that it maintains a strong capital base so as to maintain investor, creditor and market confidence and to sustain future
development of the business. Management monitors the return on capital, to equity share holders.

The Company manages its capital structure and makes adjustments to it in the light of changes in economic conditions
and the requirements of the financial covenants. To maintain or adjust the capital structure, the Company may adjust the
dividend payment to shareholders, return capital to shareholders or issue new shares. The Company monitors capital using
Debt-Equity ratio, which is net debt divided by total equity. The Company's policy is to keep the net debt to equity ratio
below 3. The Company includes within net debt, interest bearing loans and borrowings, less cash and short-term deposits

40. FINANCIAL RISK MANAGEMENT
(A) Market risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of change
in market prices. Market risk comprises three types of risk: foreign currency risk, interest rate risk and other price risk
such as equity price risk and commodity/real estate risk.

(i) Foreign currency risk

Currency risk is not material as the Company's primary business activities are within India and does not have
significant exposure in foreign currency.

(ii) Interest rate risk

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of
change in market interest rates. Any movment in the reference rate could have an impact on the company's cash
flows as well as costs. The company is subject to variable interest rates on some of its interest bearing liabilities.
The Company's interest rate exposure is mainly related to debt obligations. The company seeks to mitigate such
risk by maintaining an adequate proportion of variable and fixed rate debts.

(C) Liquidity risk

Liquidity risk is defined as the risk that the Company will not be able to settle or meet its obligations on time or at
reasonable price. Prudent liquidity risk management implies maintaining sufficient cash and marketable securities and
the availability of funding through an adequate amount of credit facilities to meet obligations when due. The Company's
finance team is responsible for 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 liquidity position
through rolling forecasts on the basis of expected cash flows.

The tables have been drawn up based on the undiscounted cash flows of financial liabilities based on the earliest date
on which the Company can be required to pay. In the table below, borrowings include both interest and principal cash
flows.

(B) Credit risk

Credit risk is the risk of loss that may arise on outstanding financial instruments if a counterparty default on its
obligations. The Company's exposure to credit risk arises majorly from trade receivables, loans, deposits with banks
and other financial assets.

Trade Receivables, deposits with banks and Other financial assets like security deposits, are mostly with government
bodies, banks, employees and group entities, hence, the Company does not expect any credit risk with respect to
these financial assets.

The carrying amount of financial assets represents the maximum credit exposure.

Note 42 : INITIAL PUBLIC OFFER DURING THE YEAR

During the year ended March 31, 2024 the Company has completed its initial public offer (“”IPO””) of 3,12,00,000 equity
shares of face value of ' 10 each at an issue price of ' 99 per share (including share premium of ' 89 per share), Out of This
Total 3,00,000 equity shares of face value of ' 10 each at an issue price of ' 90 per share (including share premium of ' 80
per share) were allotted to eligible employees. The equity shares of the Company were listed on National Stock Exchange
of India Limited (NSE) and BSE Limited (BSE) w.e.f. September 5, 2023.

The total offer expenses in relation to the fresh issue were ' 289.84 million and out of which '242.67 million has been
adjusted from securities premium account.

Note 43 : OTHER STATUTORY DISCLOSURES

1 The Company do not have any Benami property, where any proceeding has been initiated or pending against the
Company for holding any Benami property

2 The Company has not traded or invested in Crypto currency or Virtual Currency during reporting period.

3 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

4 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,

5 The Company does not have any 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)

6 The Company does not have any borrowings from banks and financial institutions that are used for any other purpose
other than the specific purpose for which it was taken at the reporting balance sheet date.

7 The Company has complied with the number of layers prescribed under clause (87) of section 2 of the Act read with
Companies (Restriction on number of Layers) Rules, 2017.

8 The Company is not declared as a wilful defaulter by any bank or financial institution or other lender during the reporting
period.

9 Section 8 of the Companies Act, 2013 Company is required to disclose grants or donations received during the year.
Since, the Company is not covered under Section 8 of the Companies Act, 2013, the said disclosure is not applicable.

10 There are no scheme of arrangements which have been approved by the Competent Authority in terms of sections 230
to 237 of the Companies Act, 2013 during the reporting year.

11 The Company has not identified any transactions or balances in any reporting periods with companies whose name is
struck off under section 248 of the Companies Act, 2013 or section 560 of Companies Act, 1956.

12 There are no charge or satisfaction yet to be registered with ROC beyond the statutory period by the Company as at
the reporting period.

13 The Company has neither declared nor paid any dividend during the reporting period.

f) Net Profit Ratio has weaken from 8.24% to 4.70% in FY 2024-25 in comparison to FY 2023-24 is mainly due
to decrease in net profit after tax.

g) Trade Payable Turnover Ratio is 3.37 times in FY 2024-25 in comparison to 4.95 times in FY 2023-24 is
mainly due to increase in trade payables

h) Return on Capital employed has reduced from 24.58% to 11.40% in FY 2024-25 in comparison to FY 2023¬
24 is mainly due to increase in debt and decrease in earnings before interest and taxes (EBIT).

i) Return on Investment ratio has reduced from 40.59% to (0.05)% in FY 2024-25 mainly due to change in fair
value of investments and further investments during the year.

Note 44 : Previous year figures have been recast / regrouped whereever necessary, to make these comparable with current
year figures.

The above Annexure should be read with the basis of preparation and Material Accounting Policies and Notes to the
Financial Statements.

As per our report of even date For and on Behalf of Board of

VISHNU PRAKASH R PUNGLIA LIMITED

For Banshi Jain & Associates Manohar Lal Punglia Ajay Pungalia Sanjay Kumar Punglia

Chartered Accountants Managing Director Whole Time Director Chief Executive Officer

FRN :0100990W DIN :02161961 DIN :02162190 DIN :02162102

Hemant Malu Sarfaraz Ahmed Neha Matnani

Partner Chief Financial Officer Company Secretary

Membership No. 404017 Membership No. A69247

Date: 29th May 2025
Place: Jodhpur