Contingent liability is disclosed for:
• Possible obligations which will be confirmed only by future events not wholly within the control of the Company or
• Present obligations ansing from past events where it is not probable that an outflow of resources will be required to settle the obligation or a reliable estimate of the amount of the obligation cannot be made
Claims pending before the courts of law has not been provide in the books as the management is reasonably certain that such claims will not materialise. The estimated amount of such claims aggregates to Rs. 1157042
In respect of fines and penalties imposed by the Provident Fund Authorities, due to delayed submission in depositing monthly contributions, the management believes that genuine grounds for such delay have been established and relief will be granted in favour of the company.
Contingent assets are neither recognized nor disclosed. However, when realization of income is virtually certain, related asset is recognized
26.8
u) E amings Per Share
Basic earnings per share is calculated by dividing the net profit or loss for the period attributable to equity shareholders (after deducting attnbutable taxes ) by the weighted average number of equity shares outstanding during the period.
For the purpose of calculating diluted earnings per share, the net profit or loss for the penod attnbutable to equity shareholders and the weighted average number of shares outstanding during the penod are adjusted for the effects of all dilutive potential equity shares.
Note: 27
Financial Risk Management
The Company’s financial liabilities comprise trade and other payables. The Company’s financial assets include cash and cash equivalents.
The Company is exposed to market risk credit risk and liquidity risk. The Company's senior management oversees the management of these nsks. The Board of Directors reviews and agrees policies for managing each of these risks, which are summarised below.
(i) Interest rate risk
Interest rate nsk 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 short-term debt obligations with interest rates.
ii)Equity Price Risk
a) Credit risks
Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer contract, leading to a financial loss. The Company is exposed to credit risk from its financing activities, including deposits with banks and companies and other financial instruments
b) Liquidity Risk
The Company’s principal sources of liquidity are cash and cash equivalents and the cash flow that is generated from operation. The Company believes that the working capital and future business strategies are sufficient to meet its current requirements. Accordingly, risk is perceived
Note: 28
Segment Reporting
This Accounting Standard shall apply to companies to which Indian Accounting Standards (Ind. ASs) notified under the Companies Act apply. If an entity that is not required to apply this Indian Accounting Standard chooses to disclose information about segments that does not comply with this Indian Accounting Standard; it shall not describe the information as segment information.
An operating segment is a component of an entity: that engages in business activities from which it may earn revenues and incur expenses (including revenues and expenses relating to transactions with other components of the same entity). Whose operating results are regularly reviewed by the entity's chief operating decision market (CODM) to make decisions about resources to be allocated to the segment and assess its performance, and for which discrete financial information is available. An operating segment may engage in business activities for which it has yet to earn revenues, for example, start-up operations may be operating segments before earning revenues.
Quantitative thresholds
An entity shall report separately information about an operating segment that meets any of the following-quantitative-thresholds:
a) Its reported revenue, including both sales to external customers and intersegment sales or transfers, is 10 per cent or more of the combined revenue, internal and external, of all operating-segments, b ) The absolute amount of its reported profit or loss is 10 per cent or more of the greater, m absolute amount, of l) the combined reported profit of all operating segments that did not report a loss and
ii) the combined reported loss of all operating segments that reported a loss
c) Its assets are 10 per cent or more of the combined assets of all operating segments.
The absolute amount of its reported profit or loss is 10 per cent or more of the greater, in absolute amount, of i) the combined reported profit of all operating segments that did not report a loss and ii) the combined reported loss of all operating segments that reported a loss, iii ) Its assets are 10 per cent or more of the combined assets of all operating segments.
Notes: 44
The Indian Parliament has approved the Code on Social Security, 2020 which would impact the contributions by the company towards Provident Fund and Gratuity. The Ministry of Labour and Employment had released draft rules for the Code on Social Security, 2020 on November 13, 2020, and invited suggestions from stakeholders which are under consideration by the Ministry. The Company will assess the impact and its evaluation once the subject rules are notified. The Company will give appropriate impact in its financial statements in the period in which, the Code becomes effective and the related rules to determine the financial impact are published
As per our Report of even date for and on Behalf of the Board
for Sambhu N, Be & Co P.K. Sethi a Gita Sharma
Chartered Accountants Managing Director Chairperson
FRN: 307055E DIN: 00482462 DIN: 06766560
SAMBHU NATHMITTRA
Proprietor
Membership No.-Oil67S Altab Uddin Kazi AnkitSethia
UDIN: 24011678BKFRZS7727 Company Secretary Chief Financial Officer
Place: Kolkata Date: 29/05/2024
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