J Provisions, Contingent Liabilities and Contingent Assets
A provision is recognised if, as a result of a past event, the Company has a present legal or constructive obligation that is
reasonably estimable, and it is probable that an outflow of economic benefits will be required to settle the 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.
Contingent liabilities are possible obligations that arise from past events and whose existence will only be confirmed by the
occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the Company. Where it is
not probable that an outflow of economic benefits will be required, or the amount cannot be estimated reliably, the obligation
is disclosed as a contingent liability, unless the probability of outflow of economic benefits is remote. 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.
A contingent asset is disclosed, in financial statements, where an inflow of economic benefits is probable.
K Earnings per equity share
Basic earnings per share are calculated by dividing the net profit or loss for the year attributable to equity shareholders (after deducting
preference dividends and attributable taxes, if any) by the weighted average number of equity shares outstanding during the period.
Diluted earnings per equity share are computed by dividing the net profit attributable to the equity holders of the Company
by the weighted average number of equity shares considered for deriving basic earnings per equity share and also the weighted
average number of equity shares that could have been issued upon conversion of all dilutive potential equity shares. The dilutive
potential equity shares are adjusted for the proceeds receivable had the equity shares been actually issued at fair value (i.e.. the
average market value, of the outstanding equity shares). Dilutive potential equity shares are deemed converted as of the beginning
of the period, unless issued at a later date. Dilutive potential equity shares are deemed converted as of the beginning of the period,
unless issued at a later date. Dilutive potential equity shares are determined independently for each period presented.
L Income taxes
Income tax expense comprises current and deferred income tax. Income tax expense is recognized in net profit in the Statement
of Profit and Loss except to the extent that it relates to items recognized directly in equity, in which case it is recognized in other
comprehensive income. Current income tax for the current and prior periods is recognized at the amount expected to be paid to or
recovered from the tax authorities, using the tax rates and tax laws that have been enacted or substantively enacted by the
Balance Sheet date. Deferred income tax assets and liabilities are recognized for all temporary differences arising between the tax
bases of assets and liabilities and their carrying amounts in the financial statements. Deferred tax assets are reviewed at each
reporting date and are reduced to the extent that it is no longer probable that the related tax benefit will be realized.
Deferred income tax assets and liabilities are measured using tax rates and tax laws that have been enacted or substantively enacted by
the Balance Sheet date and are expected to apply to taxable income in the years in which those temporary differences are expected
to be recovered or settled. The effect of changes in tax rates on deferred income tax assets and liabilities is recognized as income or
expense in the period that includes the enactment or the substantive enactment date A deferred income asset is recognized to
the extent that it is probable that future taxable profit will be available against which the deductible temporary differences and tax
losses can be utilized. The Company offsets current tax assets and current tax liabilities, where it has a legally enforceable right to set
off the recognized amounts and where it intends either to settle on a net basis, or to realize the asset and settle the liability
simultaneously.
Minimum Alternate Tax (MAT) Credits are in the form of unused tax credits that are carried forward by the Company for a
specified period of time, hence it is grouped with Deferred Tax Asset. MAT is recognised as an asset only when and to the extent there
is convincing evidence that the Company will pay normal income tax during the specified period.
M Employee Benefits
Defined Benefit Plan
For defined benefit plans, the cost of providing benefits is determined using the Projected Unit Credit Method, with actuarial
valuations being carried out by a qualified independent actuary at the end of each annual reporting period. Re-measurement,
comprising actuarial gains and losses, the effect of the changes to the asset ceiling (if applicable) and the return on plan
assets (excluding net interest), is reflected immediately in the Balance Sheet with a charge or credit recognised in Other
Comprehensive Income (OCI) in the period in which they occur. Past service cost, both vested and unvested, is recognised as an
expense on the plan amendment or when the curtailment or settlement occurs. The gain or loss on curtailment or settlement, is
recognized immediately in the Statement of Profit or Loss when the plan amendment or when a curtailment or settlement occurs.
The retirement benefit obligations recognised in the balance sheet represents the present value of the defined benefit obligations
reduced by the fair value of scheme assets. Any asset resulting from this calculation is limited to the present value of
available refunds and reductions in future contributions to the scheme. The Company provides benefits such as gratuity and
Compensated absences to its employees which are treated as defined benefit plans.
M.1 Gratuity
The Company provides for gratuity, a defined benefit retirement plan ("the Gratuity Plan") covering eligible employees. The Gratuity
Plan provides a lump-sum payment to vested employees at retirement, death, incapacitation or termination of employment, of
an amount based on the respective employee's salary and the tenure of employment with the Company. The Company contributes
gratuity liabilities to scheme with the Life Insurance Corporation of India as permitted by Indian law.
Liabilities with regard to these defined benefit plans are determined by actuarial valuation, performed by an external actuary,
at each Balance Sheet date using the projected unit credit method. These defined benefit plans expose the Company to actuarial
risks, such as longevity risk, interest rate risk and market risk.
The Company recognizes the net obligation of a defined benefit plan in its Balance Sheet as an asset or liability. Gains and losses
through re- measurements of the net defined benefit liability/ (asset) are recognized in other comprehensive income and are not
reclassified to profit or loss in subsequent periods. The actual return of the portfolio of plan assets, in excess of the yields
computed by applying the discount rate used to measure the defined benefit obligation is recognized in other comprehensive
income. The effect of any plan amendments is recognized in net profit in the Statement of Profit and Loss.
M.2 Compensated Absences
The Company has a policy on compensated absences which are accumulating in nature. The expected cost of accumulating
compensated absences is determined by actuarial valuation performed by an external actuary at each Balance Sheet date using
projected unit credit method on the additional amount expected to be paid / availed as a result of the unused entitlement that has
accumulated at the Balance Sheet date. Expense on non-accumulating compensated absences is recognized in the period in which the
absences occur.
M.3 Defined contribution plan: Provident fund
All employees of the Company are entitled to receive benefits under the Provident Fund, which is a defined contribution plan. Both the
employee and the employer make monthly contributions to the plan at a predetermined rate as per the provisions of The Employees
Provident Fund and Miscellaneous Provisions Act, 1952. These contributions are made to the fund administered and managed by the
Government of India. The Company has no further obligations under the plan beyond its monthly contributions. Obligation for
contribution to defined contribution plan are recognised as an employee benefit expense in statement of profit and loss in the period
during which the related services are rendered by the employees.
N Cash flow Statement
Cash flow are reported using the indirect method, whereby profit for the period is adjusted for the effects of transactions of a
non-cash nature, any deferrals or accruals of past or future operating cash receipts or payments and item of income or expenses
associated with investing or financing cash flows. The cash flows from operating, investing and financing activities of the Company are
segregated.
O Other income
Other income is comprised primarily of interest income, gain on fair valuation of assets / liabilities and on translation of other assets
and liabilities. Interest income and gain on fair valuation of assets / liabilities are recognised using the effective interest method.
Dividend income is recognised when the right to receive payment is established.
P Leases
At inception of a contract, the company assesses whether a contract is, or contains, a lease. A contract is or contains, a lease if the
contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration. To assess
whether a contract conveys the right to control the use of an identified asset, the company assesses whether:
-The contract involves the use of an identified asset.
-The Company has the right to obtain substantially all of the economic benefit from the use of the asset throughout the period of use;
and
- The Company has right to control the use of the asset.
As a lessee the Company recognises a right-of-use asset and a lease liability at the lease commencement date. The right-of-use
asset is initially measured at cost and is subsequently depreciated using the straight-line method from the commencement date to
the earlier of the end of the useful life of the asset or the end of the lease term. In addition, the right of use asset is periodically
reduced by impairment losses, if any, and adjusted for certain remeasurement of the lease liability.
Lease liability is initially measured at the present value of the lease payments that are not paid at the commencement date,
discounted using the company incremental borrowing rate. Subsequently measured at amortised cost using the effective
interest method. It is remeasured when there is change in future lease payments
Company presents right-of-use assets that do not meet the definition of investment property in Statement of Financial position under
Non- current assets separately from Property Plant and equipment and Lease liabilities in 'non-current or current financial liability'
in statement of financial position depending on the terms of payment.
Short term Lease and Lease of low value: The Company has elected not to recognise right of use assets and lease liabilities for
short term leases that have lease term of 12 months or less and leases of low value assets including IT Equipment's. The Company
recognises the lease payments associated with leases as and when incurred as rent expense over the lease term.
A lease contract is modified and the lease modification is not accounted for as a separate lease, in which case the lease
liability is remeasured based on the lease term of the modified lease by discounting the revised lease payments using a revised
discount rate at the effective date of the modification.
Q Inventories
Inventories compromise of Raw material, Work in Progress, Finished Goods, Stock of traded goods, Stores and Spares and Packing
Materials. Inventories are valued at cost or Net Realizable Value (NRV), whichever is lower.
Raw Materials, stores and spares, Stock in trade and packing material held for use in production of inventories are not written down
below cost if the finished product in which they will be incorporated are expected to be sold at or above cost. Cost is determined
on a first in first out basis, which includes expenditure incurred for acquiring inventories like purchase price, import duties, taxes (net
of tax credit) and other costs incurred in bringing the inventories to their present location and condition.
Cost of Finished goods and WIP includes cost of raw materials, cost of conversion and other costs incurred in bringing the
inventories to their present location and condition
Net Realizable value is estimated selling price in the ordinary course of business, less estimated costs necessary to make the sale.
r Accounting Policy on Government Grant and Interest Free Loans
When loans or similar assistance are provided by governments or related institutions, with an interest rate below the current applicable
market rate, the effect of this favourable interest is regarded as a government grant. The loan or assistance is initially recognised and
measured at fair value. The government grant is measured as the difference between the initial carrying value of the loan and the
proceeds received, and recognised under Other Non-Current Liability / Other Current Liability, as the case may be. Over the life of the
grant, the grant amount is recognised as income in the Statement of Profit and Loss on time proportion basis. The loan is subsequently
measured as per the accounting policy applicable to financial liabilities.
S Cash & Cash Equivalents
Cash and cash equivalents consist of cash, bank balances in current accounts and short term highly liquid investments that are readily
convertible to cash with original maturities of three months or less at the time of purchase and which are subject to an insignificant risk
of changes in value, and bank overdrafts. Bank overdrafts are shown within borrowings in current financial liabilities in the balance
sheet.
T Segment Reporting
Operating segments are reported in a manner consistent with the internal reporting provided to the chief operating decision maker.
In accordance with Ind AS 108 - Operating Segments, the operating segments used to present segment information are identified on the
basis of internal reports used by the Company's Management to allocate resources to the segments and assess their performance.1
Segment profit is used to measure performance as management believes that such information is the most relevant in evaluating the
results of certain segments relative to other entities that operate within these industries. Inter-segment pricing is determined on an
arm's length basis.
The operating segments have been identified on the basis of the nature of products/services. Further:
1. Segment revenue includes sales and other income directly identifiable with / allocable to the segment including inter-segment
revenue.
2. Expenses that are directly identifiable with / allocable to segments are considered for determining the segment result. Expenses
which relate to the Company as a whole and not allocable to segments are included under unallocable expenditure.
3. Income which relates to the Company as a whole and not allocable to segments is included in unallocable income.
4. Segment assets and liabilities include those directly identifiable with the respective segments. Unallocable assets and liabilities
represent the assets and liabilities that relate to the Company as a whole and not allocable to any segment.
The Board of Director(s) are collectively the Company's 'Chief Operating Decision Maker' or 'CODM' within the meaning of Ind AS 108.
U Foreign exchange transactions and translations Initial recognition:
Foreign currency transactions are recorded in the reporting currency, by applying the foreign currency amount of exchange rate
between the reporting currency and foreign currency at the date of transaction.
Conversion:
Foreign currency monetary assets and liabilities outstanding as at balance sheet date are restated/translated using the exchange rate
prevailing at the reporting date. Non-monetary assets and liabilities which are measured in terms of historical cost denomination in
foreign currency, are reported using the exchange rate at the date of transaction except for non-monetary item measured at fair value
which are translated using the exchange rates at the date when fair value is determined.
Exchange difference arising on the settlement of monetary items or on restatement of the Company's monetary items at rates different
from those at which they initially recorded during the year or reported in previous financials statement (other than those relating to
fixed assets and other long term monetary assets) are recognised as income or expenses in the year in which they arise.
V Material Accounting Policy Information
The Company adopted Disclosure of accounting policies (Amendments to Ind AS 1) from 1 April 2023. Although the amendments did not
result in any changes in the accounting policies themselves, they impacted the accounting policy information disclosed in the financial
statements.
The amendments require the disclosure of "material" rather than "significant" accounting policies. The amendments also provide
guidance on the application of materiality to disclosure of accounting policies, assisting entities to provide useful, entity-specific
accounting policy information that users need to understand other information in the financial statements.
W Recent pronouncements
Ministry of Corporate Affairs ("MCA") notifies new standards or amendments to the existing standards under Companies (Indian
Accounting Standards) Rules as issued from time to time. For the year ended March 31, 2025, MCA has notified
Ind AS — 117 Insurance Contracts and amendments to Ind AS 116 — Leases, relating to sale and leaseback transactions, applicable to
the Company w.e.f. April 1, 2024. The Company has reviewed the new pronouncements and based on its evaluation has determined
that it does not have any significant impact in its financial statements.
(g) Nature and purpose of other equity:
(i) General reserve
The Company has transferred a portion of the net profit of the Company before declaring dividend to general reserve
pursuant to the earlier provision of Companies Act, 1956. Mandatory transfer to general reserve is not required under
the Companies Act, 2013.
(ii) Securities premium
The amount received in excess of face value of the equity shares is recognised in Securities Premium. It can only be
utilised for limited purposes in accordance with the provisions of the Companies Act, 2013.
(iii) Retained earnings
The amount represents the surplus/ (deficit) in profit and loss account and appropriations.
(iv) Other comprehensive income
The Company has elected to recognise changes in the fair value of certain investments in equity securities in other
comprehensive income. These changes are accumulated in the FVOCI equity investments reserve. The Company
transfers amounts from this reserve to retained earnings when the relevant equity securities are derecognised or sold.
Any impairment loss on such instruments is reclassified to the Statement of Profit and Loss.
37 Segment information
The company's operating segments are established on the basis of those components that are evaluated regularly by the
Executive Committee (the 'Chief Operating Decision Maker' as defined in Ind AS 108- 'Operating Segments'), in
deciding how to allocate resources and in assessing performance. These have been identified taking into account nature
of products and services, the deferring risks and returns and internal business reporting systems.
The company has Three principal operating segments; viz. 1. Cements, 2. Petrol and Diesel , and 3. Solar Energy.
The accounting policies adopted for segment reporting are in line with the accounting policy of the Company with
following additional policies for segment reporting.
i. Revenue and Expenses have been identified to a segment on the basis of relationship to operating activities of the
segment. Revenue and Expenses which relate to enterprise as a whole and are not allocable to a segment on
reasonable basis have been disclosed as "Unallocable".
ii. Segment Assets and Segment Liabilities represent Assets and Liabilities in respective segments. Investments, tax
related assets and other assets and liabilities that cannot be allocated to a segment on reasonable basis have been
disclosed as "Unallocable".
iii. The business, which were not reportable segments during the year, have been grouped under the "Others" segment.
39 Contingent liabilities and commitments
In the ordinary course of business, the Company faces claims and assertions by various parties. The Company assesses such
claims and assertions and monitors he legal environment on an on-going basis with the assistance of external legal counsel,
wherever necessary. The Company records a liability for any claims where a potential loss is probable and capable of being
estimated and discloses such matters in its financial statements, if material. For potential losses that are considered possible, but
not probable, the Company provides disclosure in the financial statements but does not record a liability in its accounts unless
the loss becomes probable.
The following is a description of claims and assertions where a potential loss is possible, but not probable. The Company believes
that none of the contingencies described below would have a material adverse effect on the Company's financial condition,
results of operations or cash flows.
Litigations
The Company is involved in legal proceedings, both as plaintiff and as defendant. There are claims which the Company does not
believe to be of a material nature, other than those described below:
The financial instruments are categorised into two levels based on the inputs used to arrive at fair value measurement as
described below:
Level 1: It includes financial instruments measured using quoted prices.
Level 2: The fair value of financial instruments that are not traded in an active market is determined using valuation techniques
which maximise the use of observable market data and rely as little as possible on entity specific estimates. If all significant inputs
required to fair value an instrument are observable, the instrument is included in level 2.
Level 3: If one or more of the significant inputs is not based on observable market data, the instrument is included in level 3. The
fair value of financial assets and liabilities included in Level 3 is determined in accordance with generally accepted pricing models
based on discounted cash flow analysis using prices from observable current market transactions and dealer quotes of similar
instruments.
2) Financial Risk Management Objective and policies:
Company's principal financial liabilities comprise loans and borrowings, trade and other payables. The main purpose of these
financial liabilities is to finance the Company’s operations and to provide guarantees to support its operations. The Company's
principal financial assets include Security deposits, trade and other receivables, and cash and cash equivalents that derive
directly from its operations.
The Company is exposed to market risk, credit risk & liquidity risk. The Company senior management oversees the management
of these risks. The Board of Directors reviews and agrees policies for managing each of these risks, which are summarised below.
2.1. Market Risk:
Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in
market prices. Market risk comprises three types of risks a) commodity price risk b) currency risk and c) interest rate risk.
Financial instruments affected by market risk include borrowings
The sensitivity analyses in the following sections relate to the position as at March 31, 2025 and March 31, 2024.
The sensitivity analyses have been prepared on the basis that the amount of net debt, the ratio of fixed to floating interest rates of
the debt.
The analyses exclude the impact of movements in market variables on: the carrying values of gratuity and other post
retirement obligations; provisions; and the non-financial assets and liabilities.
The sensitivity of the relevant profit or loss item is the effect of the assumed changes in respective market risks. This is based on
the financial assets and financial liabilities held at March 31, 2025 and March 31, 2024.
2.1.1 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 changes in
market interest rates. The Company's exposure to the risk of changes in market interest rates relates primarily to the
Company's long-term debt obligations with floating interest rates.
The exposure of the company's borrowing to interest rate changes at the end of the reporting period are as follows:
2.1.2 Commodity Price Risk Management:
Commodity price risk for the Company is mainly related to fluctuations in coal and pet coke prices linked to various external factors,
which can affect the production cost of the Company. Since the Energy costs is one of the primary costs drivers, any adverse
fluctuation in fuel prices can lead to drop in operating margin. To manage this risk, the company enter into long-term supply
agreement for pet coke, identifying new sources of supply etc. The pet coke has to be procured at spot prices. Additionally,
processes and policies related to such risks are reviewed and controlled by senior management and fuel requirement are
monitored by the central procurement team.
Credit risk arises when a customer or counterparty does 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 / investing activities, including deposits with banks and financial institutions. The Company has no significant
concentration of credit risk with any counterparty.
The Company's credit risk is primarily to the amount due from customers and loans. The Company maintains a defined credit
policy and monitors the exposures to these credit risks on an ongoing basis. Credit risk on cash and cash equivalents is limited as
the Company generally invests in deposits with scheduled commercial banks with high credit ratings assigned by domestic credit
rating agencies.
Trade Receivable
The maximum exposure to the credit risk at the reporting date is primarily from trade receivables. Trade receivables consists of
large number of customers. Trade receivables are unsecured and are derived from revenue earned from customers
primarily located in India. The Company does monitor the economic environment in which it operates and the Company
manages its Credit risk through credit approvals, establishing credit limits and continuously monitoring credit worthiness of
customers to which the Company grants credit terms in the normal course of business.
As per simplified approach, the Company makes provision of expected credit losses on trade receivables using a provision
matrix to mitigate the risk of default payments and makes appropriate provision at each reporting date wherever outstanding is
for longer period and involves higher risk.
As per policy, receivables are classified into different buckets based on the overdue period ranging from 6 months - one year to
two years to three years to more than three years. There are different provisioning norms for each bucket which are ranging from
25% to 100%
The gross carrying amount of trade receivables is Rs.673.64 Lakhs (March 31, 2024: Rs.539.59 Lakhs). Trade receivables are
generally realised within the credit period. The Company believes that the unimpaired amounts that are past due by more than 30
days are still collectible in full, based on historical payment behaviour.
Cash and Cash Equivalent and Deposits with Banks
Credit Risk on cash and cash equivalent, deposits with the banks is generally low as the said deposits have been made with the
banks who have been assigned high credit rating by rating agencies
2.4 Liquidity Risk:
Liquidity risk arises from the Company's inability to meet its cash flow commitments on time. Prudent liquidity risk
management implies maintaining sufficient stock of cash and marketable securities. Company accesses domestic financial
markets, Banks and Financial Institutions to meet its liquidity requirements. The company's liquidity is managed centrally with
operating units forecasting their cash and liquidity requirements.
The Company manages its capital structure and makes adjustments in 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 a gearing
ratio, which is net debt divided by total capital plus net debt. The company's policy is to keep the gearing ratio between 40%
and 60%. The gearing ratio of the company during the reporting period (including previous period) is substantially high due to
substantial long term debt fund raised for the purpose of expansion of cement plant capacity and solar power generation plant
set up. The management is of the opinion that the new investment will reduce the cost of production and increase the
profitability of the company in near future and reduce the debt. The company includes within net debt, borrowings, trade and
other financial liabilities, less Cash and bank balances (including Non-current), excluding discontinued operations.
The company has spent the above amount mainly for projects relating to the following fields/areas which fall under Schedule VII
of the Companies Act, 2013. 1. Promoting Education 2. Eradicating hunger, poverty and malnutrition 3. Safeguarding
environmental sustainability 4. Protection of flora and fauna
43 Disclosure on Government Grants
(a) Sales Tax deferment loan has been considered as a government grant and the difference between the fair value and nominal
value as on date is recognized as an income over the life of the grant. Every year, interest expense is accounted based on the fair
interest rate used for determining the fair value of the loan on the date of receipt of the loan.
(b) Accordingly, an amount of Rs. 114.82 Lakhs (PY - 84.66 Lakhs) has been accounted as Other Income in respect of the same.
(c) Additionally, an amount of Rs. 83.65 (PY - 57.42 Lakhs) has been accounted as Interest Expense on account of the changes in
the Fair Value.
Note:
The Company has the practice of submitting the quarterly statements to the bank as per the date agreed upon by the banker.
However, the books are not closed by the same date due to practical difficulties. Therefore, the reporting to the bank was on
a estimated basis. Company has drawn lesser than the drawing power as per published results.
Further the Company submits the reviewed quarterly results immediately after the publishing of the same to the banker to
make good of the differences.
46 Additional disclosures as mentioned under Schedule III to the Act
(a) Utilisation of borrowed funds and share premium
A The Company has not advanced or given loans or invested funds to any other person(s) or entity(ies), including foreign entities
(Intermediaries) with the understanding that the Intermediary shall:
(i) 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
(ii) provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries.
B 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:
(i) 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
(ii) provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.
(b) Details of benami property held
The Company does not have any Benami property, where any proceeding has been initiated or pending against
the Company for holding any Benami property under Benami Transaction (Prohibition) Act, 1988 and rules made
thereunder.
(c) Utilisation of borrowings availed from banks and financial institutions
The Company has used the borrowings obtained from bank and financial institutions for the specific purpose for which
they were taken during the period.
(d) Wilful defaulter
The Company has not been declared wilful defaulter by any bank or financial institution or government or any government
authority.
(e) Relationship with struck off companies
The Company has not entered into any transactions with companies struck off under section 248 of the Companies Act,
2013 or section 560 of the Companies Act, 1956.
(f) Compliance with number of layers of companies
The Company is in compliance with the number of layers prescribed under clause (87) of section 2 of the Companies act
read with the Companies (Restriction on number of Layers) Rules, 2017
(g) Compliance with approved scheme(s) of arrangements
The Company has not entered into any scheme or arrangements in terms of sections 230 to 237 of the Companies Act,
2013 in the current year or previous year.
(h) Undisclosed income
There is no income surrendered or disclosed as income during the current in the tax assessments under the Income Tax
Act, 1961, that has not been recorded in the books of account.
(i) Details of crypto currency or virtual currency
The Company has not traded or invested in crypto currency or virtual currency during the current or previous year.
(j) Registration of charges or satisfaction with Registrar of Companies
The Company does not have any charges on assets or satisfaction thereof which is yet to be registered with Register of
Companies (ROC) beyond the statutory period.
(k) Core investment companies (CIC)
The Company does not have any CICs which are registered/ required to be registered with the Reserve Bank of India.
(l) Social security plans
During the earlier years, the Central Government has published "The Code on Social Security, 2020" and "Industrial
Relations Code, 2020" ("the Codes") in the Gazette of India, inter alia, subsuming various existing labour and industrial laws
which deals with employees related benefits including post employment. The effective date of the codes thereunder and
the rules are yet to be notified. The impact of the legislative changes, if any, will be assessed and recognised post
notification of the relevant provisions.
Reasons for more than 25% Variance in the Ratios:
1 Owing to availability of funds through raising of pref.allotment of shares no OD limit was utilised during the last week of March 2024 and Enhancement in OD Limit was effected from Rs.26.7 Cr to
Rs.50 Cr FY 2025.
2 TL 5 - Cement Expansion Loan is fully disbursed and OD limit Increased hence Borrowings stood at higher side.
3 Term Loan and OD limit increased and Margin Took a hit owing to low realisations from both Cement and Solar segment owing to less demand and more supply in the market.
4 Low Operating income and enhanced overheads in Current Year.
5 Average trade Payable was increased in Current Year.
6 In Current year Profits was reduced.
7 Avg Working capital was reduced in CY due to higher current portion of Borrowings.
8 In Current year EBIT was reduced due to lower realisation in Cements.
9 In Current Year the Fair market value of Investment was reduced.
As per our report of even date attached
For Singhi & Co. For and on behalf of the Board of Directors of
Chartered Accountants Shri Keshav Cements and Infra Limited
ICAI Firm Registration No. : 302049E
Sd/- Sd/- Sd/- Sd/-
Vijay Jain Vilas Katwa Hanamantsa Deepak Katwa Hanamantsa Nikita Jayant Karnani
Partner Managing Director CFO & Director Company Secretary
Membership No. : 077508 DIN : 00206015 DIN : 00206445 Membership No.: A55609
Place : Bengaluru Place : Belagavi Place : Belagavi Place : Belagavi
Date : May 27, 2025 Date: May 27, 2025 Date: May 27, 2025 Date: May 27, 2025
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