అకౌంట్స్ గమనికలుAdvit Jewels Ltd.

1.3.21 Provisions, Contingent Liabilities

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 a reliable
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 a current pre-tax rate that reflects,
when appropriate, the risks specific to the liability.

Disclosure of contingent liability is made 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 or a present obligation that arises from past events where it is either not
probable that an outflow of resources embodying economic benefits will be required to
settle or a reliable estimate of amount cannot be made.

Contingent assets are not recognised in the financial statements since this may result in
the recognition of income that may never be realised. However, when the inflow of
economic benefits is probable, a contingent asset is disclosed in the notes to the financial
statements. When the realisation of income is virtually certain, the related asset is no
longer a contingent asset and is recognised as an asset in the financial statements.

1.3.22 Events after Reporting Date

Where events occurring after the Balance Sheet date provide evidence of condition that
existed at the end of reporting period, the impact of such events is adjusted within the
financial statements. Otherwise, events after the Balance Sheet date of material size or
nature are only disclosed in the financial statements.

1.3.23 Non - Current Assets Held For Sales

Non-current assets are classified as held for sale if their carrying amount will be recovered
principally through a sale transaction rather than through continuing use and sale is
considered highly probable.

A sale is considered as highly probable when decision has been made to sell, assets are
available for immediate sale in its present condition, assets are being actively marketed
and sale has been agreed or is expected to be concluded within 12 months of the date of
classification.

Non-current assets held for sale are neither depreciated nor amortised.

Assets and liabilities classified as held for sale are measured at the lower of their carrying
amount and fair value less cost of sale and are presented separately in the Balance Sheet.

1.3.24 Cash Flows Statement

The Statement of Cash Flows has been prepared using the indirect method in accordance
with Ind AS 7, whereby the Net Profit / (Loss) before tax is adjusted for the effects of the
transactions of a Non-Cash nature, any deferrals or accrual 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.

1.3.25 Cash and Cash Equivalents

Cash and cash equivalents comprise cash on hand, balances with banks, demand deposits,
and short-term, highly liquid investments with an original maturity of three months or less
from the date of acquisition, that are readily convertible into known amounts of cash and
are subject to an insignificant risk of changes in value.

1.4 Critical Accounting Judgments and Key Sources of Estimation Uncertainty:

The preparation of the Company''s Financial Statements requires management to make judgment,
estimates and assumptions that affect the reported amount of revenue, expenses, assets and
liabilities and the accompanying disclosures. Uncertainty about these assumptions and estimates
could result in outcomes that require a material adjustment to the carrying amount of assets or
liabilities affected in next financial years.

1.4.1 Income Tax

The Company''s tax jurisdiction is in India. Significant judgments are involved in estimating
budgeted profits for the purpose of paying advance tax, determining the income tax
provisions, including the amount expected to be paid / recovered for uncertain.

1.4.2 Property Plant and Equipment/ Intangible Assets

Estimates are involved in determining the cost attributable to bringing the assets to the
location and condition necessary for it to be capable of operating in the manner intended
by the management. Property, Plant and Equipment/Intangible Assets are
depreciated/amortised over their estimated useful life, after taking into account estimated
residual value. Management reviews the estimated useful life and residual values of the
assets annually in order to determine the amount of depreciation/ amortisation to be
recorded during any reporting period. The useful life and residual values are based on the
Company''s historical experience with similar assets and take into account anticipated
technological changes. The depreciation/amortisation for future periods is revised if there
are significant changes from previous estimates.

1.4.3 Defined Benefits Obligations

The costs of providing Gratuity and other post-employment benefits are charged to the
Statement of Profit and Loss in accordance with Ind AS - 19, "Employee Benefits" over the
period during which benefit is derived from the employees'' services. It is determined by
using the Actuarial Valuation and assessed on the basis of assumptions selected by the
management. An actuarial valuation involves making various assumptions that may differ
from actual developments in the future. These assumptions include salary escalation rate,
discount rates, expected rate of return on assets and mortality rates. Due to complexities
involved in the valuation and its long term in nature, a defined benefit obligation is highly
sensitive to change in these assumptions. All assumptions are reviewed at each balance
sheet date.

1.4.4 Fair value measurements of Financial Instruments

When the fair values of financial assets and financial liabilities recorded in the balance
sheet cannot be measured based on quoted prices in active markets, their fair value is
measured using valuation techniques, including the discounted cash flow model, which
involve various judgments and assumptions.

1.4.5 Recoverability of Trade Receivables

Judgments are required in assessing the recoverability of overdue trade receivables and
determining whether a provision against those receivables is required. Factors considered
include the credit rating of the counterparty, the amount and timing of anticipated future
payments and any possible actions that can be taken to mitigate the risk of non-payment.

1.4.6 Provisions

The timing of recognition and quantification of the liability (including litigations) requires
the application of judgment to existing facts and circumstances, which can be subject to
change. The carrying amounts of provisions and liabilities are reviewed regularly and
revised to take account of changing facts and circumstance

1.4.7 Impairment of Financial and Non - Financial Assets

The impairment provisions for Financial Assets are based on assumptions about risk of
default and expected cash loss rates. The Company uses judgment in making these
assumptions and selecting the inputs to the impairment calculation, based on Company''s
past history, existing market conditions as well as forward-looking estimates at the end of
each reporting period.

In case of non-financial assets company estimates asset''s recoverable amount, which is
higher of an asset''s or Cash Generating Units (CGU''s) fair value less costs of disposal and its
value in use.

In assessing value in use, the estimated future cash flows are discounted to their present
value using pre-tax discount rate that reflects current market assessments of the time
value of money and the risks specific to the asset. In determining fair value less costs of
disposal, recent market transactions are taken into account, if no such transactions can be
identified, an appropriate valuation model is used.

1.4.8 Recognition of Deferred Tax Assets and Liabilities

Deferred tax assets and liabilities are recognised for deductible temporary differences and
unused tax losses for which there is probability of utilisation against the future taxable
profit. The Company uses judgment to determine the amount of deferred tax that can be
recognised, based upon the likely timing and the level of future taxable profits and
business developments.

Rights, Preferences and Restrictions Attached to Equity Shares:

The Company has one class of equity shares having a face value of ^10 per share. Each equity shareholder is entitled to one vote per equity share held. In accordance with
Section 123 of the Companies Act, 2013, the declaration of dividend is subject to the approval of the shareholders at the ensuing Annual General Meeting. No dividend has
been declared or proposed by the Board of Directors for the financial year ended 31 March 2026.

Pursuant to the approval of the shareholders by way of an Ordinary Resolution passed at the EGM held on 02 July 2025, the Company increased its authorised share capital
from ^1,00,000 divided into 10,000 equity shares of ^10 each to ^50,00,00,000 divided into 5,00,00,000 equity shares of ^10 each.

Pursuant to the approval of the shareholders by way of an Ordinary Resolution passed at the EGM held on 04 August 2025, the Company increased its authorised share
capital from ^50,00,00,000 divided into 5,00,00,000 equity shares of ^10 each to ^50,50,00,000 divided into 5,05,00,000 equity shares of ^10 each.

Pursuant to the approval of the members at their meeting held on 04 August 2025, the Company issued 32,000,000 fully paid-up equity shares of ^10 each as bonus shares,
allotted on 26 August 2025.

A. Actuarial Risk:

It is the risk that benefits will cost more than expected. This can arise due to one of the following reasons:

Adverse Salary Growth Experience: Salary hikes that are higher than the assumed salary escalation will result into an increase in Obligation at a rate that is higher than expected.

Variability in mortality rates: If actual mortality rates are higher than assumed mortality rate assumption than the Gratuity Benefits will be paid earlier than expected. Since there is no
condition of vesting on the death benefit, the acceleration of cashflow will lead to an actuarial loss or gain depending on the relative values of the assumed salary growth and discount
rate.

Variability in withdrawal rates: If actual withdrawal rates are higher than assumed withdrawal rate assumption than the Gratuity Benefits will be paid earlier than expected. The impact of
this will depend on whether the benefits are vested as at the resignation date.

B. Investment Risk:

For funded plans that rely on insurers for managing the assets, the value of assets certified by the insurer may not be the fair value of instruments backing the liability. In such cases, the
present value of the assets is independent of the future discount rate. This can result in wide fluctuations in the net liability or the funded status if there are significant changes in the
discount rate during the inter- valuation period.

C. Liquidity Risk:

Employees with high salaries and long durations orthose higher in hierarchy, accumulate significant level of benefits. If some of such employees resign/retire from the company there can
be strain on the cashflows.

D. Market Risk:

Market risk is a collective term for risks that are related to the changes and fluctuations of the financial markets. One actuarial assumption that has a material effect is the discount rate.
The discount rate reflects the time value of money. An increase in discount rate leads to decrease in Defined Benefit Obligation of the plan benefits & vice versa. This assumption depends
on the yields on the corporate/government bonds and hence the valuation of liability is exposed to fluctuations in the yields as at the valuation date.

E. Legislative Risk:

Legislative risk is the risk of increase in the plan liabilities or reduction in the plan assets due to change in the legislation/regulation. The government may amend the Payment of Gratuity
Act thus requiring the companies to pay higher benefits to the employees. This will directly affect the present value of the Defined Benefit Obligation and the same will have to be
recognized immediately in the year when any such amendment is effective.

(II) Capital Commitments:

(a) Estimated amount of contracts remaining to be executed on capital account and not provided for (net of capital advances):- Nil
Note - 35 - Segment Reporting

Operating segments are identified based on the internal reports that are regularly reviewed by the Chief Operating Decision Maker (CODM) for the purpose of allocating resources to the
segments and assessing their performance.

The Managing Director has been identified asthe ChiefOperating Decision Maker (CODM). The Company is engaged in the manufacturing and sale ofjewellery and operates substantially
within India. The CODM reviews the Company''s financial and operating performance as a single operating segment and allocates resources accordingly.

Accordingly, the Company has only one reportable operating segment, namely the manufacturing and sale of jewellery, and one geographical segment, as substantially all of its operations
are carried out in India. Therefore, the disclosure requirements of Ind AS 108 relating to multiple reportable operating segments are not applicable.

Note - 36 - LEASES (Right to Use of Assets)

The Company''s significant leasing arrangements are in respect of Land and buildings and office premises taken on lease and license basis.

The Company has recorded the lease liability at the present value of the lease payments discounted at the incremental borrowing rate and the ROU asset at its carrying amount. The
weighted average incremental borrowing rate applied to lease liabilities is 8.98%.

The break-up of current and non-current lease liabilities is as follows:

Note - 37 - Financial Instruments

Financial Risk Management - Objectives and Policies

The Company''s financial liabilities mainly comprise the loans and borrowings in domestic currency, money related to capital expenditures, trade and other payables. The main purpose of
these financial liabilities is to finance the Company''s operations. The Company''s financial assets comprise mainly of investments, security deposits, cash and cash equivalents, other
balances with banks, trade and other receivables that derive directly from its business operations.

The Company is exposed to the Market Risk, Credit Risk and Liquidity Risk from its financial instruments.

The Management of the Company has implemented a risk management system which is monitored by the Board of Directors of the Company. The general conditions for compliance with
the requirements for proper and future-oriented risk management within the Company are set out in the risk management principles. These principles aim at encouraging all members of
staff to responsibly deal with risks as well as supporting a sustained process to improve risk awareness. The guidelines on risk management specify risk management processes,
compulsory limitations, and the application of financial instruments. The risk management system aims to identify, assess, mitigate the risks in order to minimize the potential adverse
effect on the Company''s financial performance.

The following disclosures summarize the Company''s exposure to the financial risks and the information regarding use of derivatives employed to manage the exposures to such risks.
Quantitative Sensitivity Analysis has been provided to reflect the impact of reasonably possible changes in market rate on financial results, cash flows and financial positions of the
Company.

(*) Investment in subsidiaries are measured at cost as per Ind AS 27, “Separate financial statements", and hence not presented here.

(**) Fair value of financial assets and liabilities measured at amortized cost approximates their respective carrying values as the management has assessed that there is no significant
movement in factor such as discount rates, interest rates, credit risk from the date of the transition. The fair values are assessed by the management using Level 3 inputs.

(***) The financial instruments measured at FVTPL represents current investments and derivative assets having been valued using level 2 valuation hierarchy.

Fair value hierarchy

The fair value of financial instruments as referred to in note below has been classified into three categories depending on the inputs used in the valuation technique. The hierarchy gives
the highest priority to quoted prices in active markets for identical assets or liabilities [Level 1 measurements] and lowest priority to unobservable inputs [Level 3 measurements].

The categories used are as follows:

Level 1: Quoted prices for identical instruments in an active market

Level 2: Directly (i.e. as prices) or indirectly (i.e. derived from prices) observable market inputs, other than Level 1 inputs; and

Level 3: Inputs which are not based on observable market data (unobservable inputs). Fair values are determined in whole or in part using a net asset value or valuation model based on
assumptions that are neither supported by prices from observable current market transactions in the same instrument nor are they based on available market data.

B. 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 Risk:
"Interest Rate Risk, Currency Risk and Other Price Risk". Financial instrument affected by the Market Risk includes loans and borrowings in foreign as well as domestic currency, retention
money related to capital expenditures, trade and other payables.

(a) Interest Rate Risk

Interest Rate Risk is the risk that fair value or future cash outflows of a financial instrument will fluctuate because of changes in market interest rates. An upward movement in the interest
rate would adversely affect the borrowing cost of the Company. The Company is exposed to long term and short - term borrowings. The Company manages interest rate risk by
monitoring its mix of fixed and floating rate instruments and taking actions as necessary to maintain an appropriate balance. The Company has not used any interest rate derivatives.

(b) Foreign Currency Risk

The Company is not exposed to foreign exchange risk arising from foreign currency transactions, primarily with respect to the US Dollar. Foreign exchange risk arises from recognized
assets and liabilities denominated in a currency that is not the functional currency of the Company.

(c) Other Price Risk

Other Price Risk isthe Riskthatthe fairvalue ofa financial instrument will fluctuate due to changes in market traded price. The Company has not any Investment in equity/equity-oriented
instruments hence it is not exposed to price risk arising mainly from investments in equity/equity-oriented instruments recognized at FVTPL/FVTOCI.

(d) Commodity (Metal) Price Risk

The Company is exposed to commodity price risk arising from fluctuations in the prices of precious metals, primarily gold, which constitute a significant component of its raw materials.
Changes in the market prices of these metals may affect the cost of inventories, profitability and cash flows.

The Company manages this risk through appropriate procurement planning, inventory management, periodic review of market prices and, where considered appropriate, pricing
strategies to mitigate the impact of significant fluctuations in metal prices. Management continuously monitors commodity price movements to minimise the adverse impact on the
Company''s financial performance.

Credit risk is the risk that a counterparty fails to discharge its obligation to the Company. The Company''s exposure to credit risk is influenced mainly by cash and cash equivalents, trade
receivables and other Financial assets measured at amortized cost. The Company continuously monitors defaults of customers and other counterparties and incorporates this information
into its credit risk controls.

The Company assesses and manages credit risk based on internal credit rating system. Internal credit rating is performed for each class of financial instruments with different
characteristics. The Company assigns the following credit ratings to each class of financial assets based on the assumptions, inputs and factors specific to the class of financial assets. (i)
Low credit risk, (ii) Moderate credit risk, (iii) High credit risk.

Based on business environment in which the Company operates, a default on a financial asset is considered when the counter party fails to make payments within the agreed time period
as per contract. Loss rates reflecting defaults are based on actual credit loss experience and considering differences between current and historical economic conditions.

Financial assets (other than trade receivables) that expose the entity to credit risk are managed and categorized as follows_

(i) Cash and cash equivalent and bank balance:

Credit risk related to cash and cash equivalents and bank balance is managed by only accepting highly rated banks and diversifying bank deposits and accounts in different banks.

(ii) Loans and Other financial assets measured at amortized cost:

Other financial assets measured at amortized cost includes Security Deposit to various authorities , Loans to staff and other receivables. Credit risk related to these other financial assets is
managed by monitoring the recoverability of such amounts continuously, while at the same time internal control system in place ensure the amounts are within defined limits.

(iii) Trade receivables:

The Company''s retail business is predominantly on ''cash and carry'' basis which is largely through cash, bank and credit card collections. The credit risk on such bank and credit card
collections is minimal, since they are primarily owned by customers'' bank and card issuing banks. The Company has adopted a policy of dealing with only credit worth counterparties in
case of institutional customers and credit sales and the credit risk exposure for institutional customers and credit sales are managed by the Company by credit worthines checks. The
Company also carries credit risk on lease deposits with landlords for store properties taken on leases, for which agreements are signed and property possessions timely taken for store
operations. The risk relating to refunds of deposits after store shut down is managed through successful negotiations or appropriate legal actions, where necessary.

(a) Expected credit losses:

Expected credit loss for trade receivables under simplified approach:

The Company recognizes lifetime expected credit losses on trade receivables & other financial assets using a simplified approach, wherein Company has defined percentage of provision
by analyzing historical trend of default based on the criteria defined below and such provision percentage determined have been considered to recognize life time expected credit losses
on trade receivables (other than those where default criteria are met in which case the full expected loss against the amount recoverable is provided for). Further, the Company has
evaluated recovery of receivables on a case to case basis. No provision on account of expected credit loss model has been considered for related party balances. The Company computes
credit loss allowance based on provision matrix. The provision matrix is prepared on historically observed default rate over the expected life of trade receivable and is adjusted for forward

- looking estimate

Liquidity Risk is the risk that the Company will encounter difficulty in raising the funds to meet the commitments associated with financial instruments that are settled by delivering cash
or another financial asset. Liquidity risk may result from an inability to sell a financial asset quickly at close to its fair value. Management monitors rolling forecasts of the Company''s
liquidity position and cash and cash equivalents on the basis of expected cash flows. The Company takes into account the liquidity of the market in which the entity operates.

E. Capital Management

The Company''s capital management objectives are to ensure the company''s ability to continue as a going concern, to provide an adequate return to share holders

The Company monitors capital on the basis of the carrying amount of equity less cash and cash equivalents as presented on the face of balance sheet. Management assesses the
Company''s capital requirements in order to maintain an efficient overall financing structure while avoiding excessive leverage. This takes into account the subordination levels of the
Company''s various classes of debt. The Company manages the capital structure and makes adjustments to it in the light of changes in economic conditions and the risk characteristics of
the underlying assets. In orderto maintain or adjust the capital structure, the Company may adjust the amount of dividends paid to shareholders, return capital to shareholders, issue new
shares, or sell assets to reduce debt.

Note - 38 - Balance confirmation of Receivables

Confirmation letters have not been obtained from all the parties in respect of Trade Receivable, Other Non- Current Assets and Other Current Assets. Accordingly the balances of accounts
are subject to confirmation, reconcilation and consequent adjustments, if any.

Note - 39 - Balance Confirmation of Payables

Confirmation letters have not been obtained from all the parties in respect of Trade Payable and Other Current Liabilities. Accordingly the balances of accounts are subject to
confirmation, reconcilation and consequent adjustments, if any.

Note - 40 - Events occurring after the Balance sheet Date

The Group evaluates events and transactions that occur subsequent to the balance sheet date but prior to approval of the financial statements to determine the necessity for recognition
and/or reporting of any of these events and transactions in the financial statements. There are no subsequent events to be recognized or reported that are not already disclosed.

Note - 41 - Related Parties Transaction

Disclosure of transactions with Related Parties, as required by Ind AS 24 "Related Party Disclosures" has been set out below. Related parties as
defined under clause 9 of the Ind AS 24 have been identified on the basis of representations made by the management and information available
with the Company.

Details of related party transactions during the Year ended 31st March''26 and Year ended 31st March''25 and balances outstanding for the Year
ended 31st March''26 and Year ended 31st March''25.

a) The company does not have any benami property, where any proceeding has been initiated or pending against the company for holding any benami property.

b) The company has not traded or invested in crypto currency or virtual currency during the financial year/period.

c) The Company has not revalued its Property, Plant and Equipment (including Right of Use assets) during the current or previous year. Accordingly, disclosure regarding revaluation
based on valuation by a registered valuer is not applicable.

d) 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 beneficaries,

e) The company has not received any fund from other 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 to or on behalf of the ultimate beneficaries.

f) 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.

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

h) No Scheme of Arrangement has been approved by the Competent Authority in terms of Sections 230 to 237 of the Companies Act, 2013 during the current or previous year.
Accordingly, this clause is not applicable to the Company.

i) The company is not declared wilful defaulter by and bank or financials institution or lender during the year.

j) The company does not have any charges or satisfaction which is yet to be registered with ROC beyond the statutory period

k) Quarterly returns or statements of current assets filed by the Company with Banks or financial institution are in agreement with books of accounts.

l) The company has used the borrowings from banks and financial institutions for the specific purpose for which it was obtained

m) The title deeds of the immovable properties, (other than immovable properties where Company is the lessee and the lease agreements are duly executed in favour of the

Company) disclosed in the financial statement included in property, plant and equipment and capital work-in-progress are held in the name of the Company as at balance sheet

date.

n) The company does not have transactions with companies which are struct off.

o) Corporate social responsibility (CSR)

As per provisions of section 135 of the Companies Act, 2013, the Company has to incur at least 2% of average net profits of the preceding three financial years towards the
Corporate Social Responsibility ("CSR"). Accordingly, a CSR committee has been formed for carrying out CSR activities as per the Schedule VII of the Companies Act, 2013. Details
are as under:

A Current ratio (In times)

FY 2025-26: The current ratio improved to 2.21 times from 1.76 times, mainly due to higher inventories and lower short-term borrowings and trade payables during
the year.

B Debt-Equity Ratio (in times)

FY 2025-26: Due to increase in Share capital compare to last year leads to decrease from 1.29 to 0.77 times.

F Trade receivables turnover ratio (In times)

FY 2025-26: The increase in sales during the year led to a higher Trade Receivables Turnover Ratio from 11.18 times to 14.05 times.

G Trade payables turnover ratio (In times)

FY 2025-26: The decrease in payables during the year leads to a rise in the Trade Payables Turnover Ratio from 20.72 times to 80.65 times.