అకౌంట్స్ గమనికలుLakhotia Polyesters (India) Ltd.

Mar 31, 2025

2. Terms / rights attached to equity shares

The Company has a single class of Equity sgares having a par value of Rs.10 per share. Each holder of equity shares is entitled to one vote per share. The Company decalres and pays dividend in Indian rupees. The Board of Directors have not declared dividend for the year ending 31st March,2025.

In the event of liquidation of the Company, the holders of equity shares will be entitled to receive the remaining assets of the Company in proportion to the number of equity shares held by each shareholder, after settlement of all preferential obligations.

Footnote:

a) The Company has availed Term Loan under GECL Scheme from Central Bank of India at 7.50% with an EMI of Rs. 2.50 Lakhs starting from 30.06.2021 .It secured by primary and collateral securities

b) The Company has also availed Bank Overdraft of Rs. 450 Lakhs with Sub-limit of Export Packing Credit (EPC) Facility of similar amount from Central Bank of India at 9.00% p.a.

c) The company has availed the Car Loan from Central Bank of India at 8.85% with an EMI of Rs.0.49 Lakhs starting from 29.02.2024. It secured by the securities.

1. Primary Security

Hypothecation of Stocks/Inventory & Book Debts/Receivable.

2. Collateral Security

- Land and Building at P No. 11,12,13 & 14, S. No. 329/2, Malegaon Dist. Nashik Owned by Mr. Madhusudan Lakhotiya -Plot No. 158 - 159, S. No. 670/A/2, at Shri Samarth Audyogik Vasahat Ltd., Pimpalgaon, Tal. Niphad, Dist. Nashik owned by Mr. Shamsunder Lakhotiya

-Plot No. 158 - 159, S. No. 670/A/2, at Shri Samarth Audyogik Vasahat Ltd., Pimpalgaon, Tal. Niphad, Dist. Nashik owned by the Company.

a) The average credit period on purchases is 1 to 6 months.

b) The above figures of Trade Payables are shown as net of advances paid to the local/foreign suppliers.

Details of dues to Micro, Small and Medium Enterprises as defined under Micro Small Medium Enterprises Development Act, 2006 :

c) Trade payables include Rs. Nil as at 31st March, 2025 due to micro, small and medium enterprises registered under the Micro, Small and Medium Enterprises Development Act, 2006 (MSMED).

d) No interest was paid / payable to micro and small enterprises during the year.

e) The above information has been determined to the extent such parties could be identified on the basis of the information available with the Company regarding the status of parties under the MSMED Act and has been relied upon by the auditors.

(ii) Valuation technique used to determine fair value

The Company maintains policies and procedures to value financial assets or financial liabilities using the best and most relevant data available. The fair values of the financial assets and liabilities are included at the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

The following methods and assumptions were used to estimate the fair values:

a) Fair value for financial investments are valued using closing NAV.

b) Fair value of cash and deposits, trade receivables, trade payables, and other current financial assets and liabilities

approximate their carrying amounts largely due to the short-term maturities of these instruments.

c) Long-term fixed-rate and variable-rate receivables / borrowings are evaluated by the Company based on parameters such as interest rates, specific country risk factors, credit risk and other risk characteristics. Fair value of variable interest rate borrowings approximates their carrying values.

d) The fair value of the remaining financial instruments is determined using discounted cash flow analysis.

(iii) Fair value hierarchy

This section explains the judgements and estimates made in determing the fair values of the financial instruments that

are: (a)recognised and measured at fair value and (b) measured at amortised cost and for which fair values are

disclosed in the financial statements.To provide an indication about the reliability of the inputs used in determining fair value, the group has classified its financial instruments into the three levels prescribed under the accounting standard. An explanation of each level follows underneath the table:

Level 1: Level 1 hierarchy includes financial instruments measured using quoted prices. This includes listed equity instruments,traded bonds and mutual funds that have quoted price. The fair value of all equity instruments (including bonds) which are traded in the stock exchanges is valued using the closing price as at the reporting period. The mutual funds are valued using closing NAV.

Level 2: The fair value of financial instruments that are not traded in an active market(for example, traded bonds,over the counter derivatives) 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 are 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. This is the case for unlisted equity securities,contingent consideration and indemnification asset included in Level 3.

The Company''s policy is to recognise transfers into and transfer out in fair value hierarchy levels at the end of the reporting period.

Note 23 : Financial Risk Management Financial Risk Factors

The Company''s principal financial liabilities comprise borrowings and trade payables. The main purpose of these financial liabilities is to manage finances for the Company''s operations. The Company has loan, trade and other receivables, cash and short-term deposits that arise directly from its operations. The Company''s activities expose it to a variety of financial risks:

i) Credit Risk

Credit risk arises from cash and cash equivalents and deposits with bank(s) / other company, as well as credit exposure to counter party that will not meet its obligations under a financial instrument or customer contract, leading to a financial loss.

ii) Market Risk

The sensitivity analysis excludes the impact of movements in market variables on the carrying value of post-employment benefit obligations provisions and on the non-financial assets and liabilities. The sensitivity of the relevant Statement of Profit and Loss item is the effect of the assumed changes in the respective market risks. The Company''s activities expose it to a variety of financial risks, including the effects of changes in foreign currency exchange rates and interest rates.

(a) Foreign Exchange Risk

The company is engaged in exports business and imports are very minimal for which hedging instruments are not required.

iii) Liquidity Risk

The Company considers factors such as track record, size of the institution, market reputation and service standards to select the banks with which balances and deposits are maintained. Generally, the balances are maintained with the institutions with which the Company has also availed borrowings. The Company does not maintain significant cash and deposit balances other than those required for its day to day operations subject to the compliance with loan facilities. Liquidity risk is the risk that the Company may not be able to meet its present and future cash and collateral obligations without incurring unacceptable losses.

Prudent liquidity risk management implies maintaining sufficient cash and marketable securities and the availibility of funding through an adequate amount of committed credit facilities to meet obligations when due and to close out market positions.

The Company''s objective is to at all times maintain optimum levels of liquidity to meet its cash and collateral requirements. The Company relies on a mix of borrowings, capital infusion and excess operating cash flows to meet its needs for funds. The current committed lines of credit are sufficient to meet its short to medium term expansion needs. Management monitors the Company''s liquidity position through rolling forecasts on the basis of expected cash flows.

For the purposes of the Company''s capital management, capital includes issued capital and all other equity reserves. The Company''s objectives when managing capital are to:

(a) Safeguard their ability to continue as a going concern, so that they can continue to provide returns for shareholders and benefits for other stakeholders.

(b) Maintain an optimal capital structure to reduce cost of capital.

The Company manages its capital structure and makes adjustments in light of changes in economic conditions and the requirements of the financial covenants. The Company monitors capital using a gearing ratio, which is debt divided by equity capital. No changes were made in objectives, policies or processess during the year ended March 31, 2025 and March 31, 2024. _{INR (In} ,_akhs)

Note 27: Contingent Liabilities
Particulars	Contingent Liability not provided in the books of accounts (Rs. In Lakh)
	As at March 31,2025	As at March 31, 2024
NIL	-	-
Note 28 : Commitments a) Capital expenditure contracted at the end of the reporting period but not recognised as liability is as follows :
Particulars	Capital Commitments
	As at March 31,2025	As at March 31, 2024
NIL	-	-

Reasons for the change in the ratio above 25%:-

1. Current liabilities increased at a higher rate than current assets, indicating tighter short-term liquidity.

2. Increase in borrowings or decrease in equity due to lower retained earnings or higher debt funding

3. Improved profitability or reduced debt servicing burden.

4. Significant rise in profit for the year or a drop in average equity base.

5. Sharp increase in cost of goods sold or efficient inventory management leading to faster turnover.

6. Increase in purchases or faster payments to suppliers, possibly to avail discounts or maintain creditworthiness

7. Substantial improvement in profitability due to cost control, better pricing, or revenue growth.

8. Strong rise in operating profits or better capital utilization with relatively stable capital employed.

Note 33 : Rounding Off

Figures of Current and Previous year are rounded off to nearest thousand, as per the requirements of Schedule III.

Figures of Previous year have been regrouped / reclassified in order to make them comparable with current year figures, wherever necessary.

Note 35 : Details of Crypto Currency or Virtual Currency

The Company has not traded or invested in Crypto Currency or Virtual Currency during the financial year.

Note 36 : Corporate Social Responsibility (CSR)

As per the provisions of section 135 of the Companies Act 2013, the company is not mandatorily required to constitute a Corporate Social Responsibility Committee and spend funds for the Corporate Social Responsibility (CSR) activities. Accordingly, disclosure requirement is not applicable.

Note 37 : Undisclosed Income

The Company has not surrendered or disclosed any transactions, previously unrecorded as income in the books of account, in the tax assessments under the Income Tax Act, 1961 as income during the year. Accordingly, disclosure requirement is not applicable.

b) The Company has not advanced or loaned or invested funds to any other persons or entities, 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

c) 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

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Mar 31, 2024

13. PROVISIONS AND 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 the Company will be required to settle the obligation in respect of which a reliable estimate can be made of the amount of the obligation.

The amount recognised 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, it’s 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 recognised as an asset if it is virtually certain that reimbursement will be received and the amount of the receivable can be measured reliably.

Present obligations arising under onerous contracts are recognised and measured as provisions. 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.

A disclosure for a contingent liability is made when there is a possible obligation or a present obligation that may, but probably will not require an outflow of resources embodying economic benefits or the amount of such obligation cannot be measured reliably. When there is a possible obligation or a present obligation in respect of which likelihood of outflow of resources embodying economic benefits are remote, no provision or disclosure is made.

Contingent assets: A contingent asset is a possible asset that arises from past events and whose existence will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the entity. Contingent assets are not recognised but disclosed only when an inflow of economic benefits is probable.

14. CASH FLOW STATEMENT

Cash flows are reported using the indirect method, whereby profit / (loss) before extraordinary items and tax are adjusted for the effects of transactions of non-cash nature and any deferrals or accruals of past or future cash receipts or payments. The cash flows from operating, investing and financing activities of the Company are segregated based on the available information.

15. SEGMENT REPORTING

Operating segments are reported in a manner consistent with the internal reporting, nature of the products / process, organisation structure as well as differential risks and returns, provided to the board of directors and chief financial officer, all of them constitute as chief operating decision maker (''CODM''). The chief operating decision maker (CODM) has identified two primary business segments viz. Cylinders and Windmill. These segments have been identified and reported taking into account the nature of the products / services, the differing risks and returns, the organizational structure and internal business reporting system. The Company caters mainly the needs of the Indian Market hence separate geographical segmental information has not been given.

16. 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 period. The weighted average number of equity shares outstanding during the period is adjusted for events such as bonus issue, bonus element in a right issue and share split that have changed the number of equity shares outstanding, without a corresponding change in resources.

For the purpose of calculating diluted earnings per share, the net profit or loss for the period attributable to equity shareholders and the weighted average number of shares outstanding during the period are adjusted for the effects of all dilutive potential equity shares.

17. CASHANDCASH EQUIVALENTS

For the purpose of presentation in statement of cash flows, cash and cash equivalents include cash on hand, deposits held at call with financial institutions, other short term highly liquid investments with original maturities of 3 months or less that are readily convertible to known amount of cash and which are subject to an insignificant risk of change in value.

18. CONTINGENCIES

In the normal course of business, contingent liabilities may arise from litigation and other claims against the Company. Guarantees are also given in the normal course of business. There are certain obligations which management has concluded based on all available facts and circumstances are treated as contingent liabilities and disclosed in the Notes but are not provided for in the financial statements. Although there can be no assurance of 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.

Level 1: Level 1 hierarchy includes financial instruments measured using quoted prices. This includes listed equity instruments,traded bonds and mutual funds that have quoted price. The fair value of all equity instruments (including bonds) which are traded in the stock exchanges is valued using the closing price as at the reporting period. The mutual funds are valued using closing NAV.

Level 2: The fair value of financial instruments that are not traded in an active market(for example, traded bonds,over the counter derivatives) 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 are 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. This is the case for unlisted equity securities,contingent consideration and indemnification asset included in Level 3.

The Company''s policy is to recognise transfers into and transfer out in fair value hierarchy levels at the end of the reporting

period.

Note 23 : Financial Risk Management Financial Risk Factors

The Company’s principal financial liabilities comprise borrowings and trade payables. The main purpose of these financial liabilities is to manage finances for the Company’s operations. The Company has loan, trade and other receivables, cash and short-term deposits that arise directly from its operations. The Company’s activities expose it to a variety of financial risks: i) Credit Risk

Credit risk arises from cash and cash equivalents and deposits with bank(s) / other company, as well as credit exposure to counter party that will not meet its obligations under a financial instrument or customer contract, leading to a financial loss.

Expected credit loss for trade receivables

The Company considers factors such as track record, size of the institution, market reputation and service standards to select the banks with which balances and deposits are maintained. Generally, the balances are maintained with the institutions with which the Company has also availed borrowings. The Company does not maintain significant cash and deposit balances other than those required for its day to day operations subject to the compliance with loan facilities. Liquidity risk is the risk that the Company may not be able to meet its present and future cash and collateral obligations without incurring unacceptable losses.

Prudent liquidity risk management implies maintaining sufficient cash and marketable securities and the availibility of funding through an adequate amount of committed credit facilities to meet obligations when due and to close out market positions.

The Company’s objective is to at all times maintain optimum levels of liquidity to meet its cash and collateral requirements. The Company relies on a mix of borrowings, capital infusion and excess operating cash flows to meet its needs for funds. The current committed lines of credit are sufficient to meet its short to medium term expansion needs. Management monitors the Company''s liquidity position through rolling forecasts on the basis of expected cash flows.

The table below provides details regarding the remaining contractual maturities of financial liabilities at the reporting date based on contractual undiscounted payments.

Reasons for the change in the ratio above 25%:-

1. In the current period the amount of both Current Assets and Current Liabilities has reduced significantly.

2. In the current year, the company has a profit for the year as compared to the loss in the last year. Also the amount of depreciation has significantly recorded less as compared to last one.The borrowings also of the company has reduced as compared to previous.

3. In the previous year,the company has reported more total comprehensive income as compared to the current year as in last year the company has a share of income from Fair Value of Investment in Equity Shares.

4. Tha cost of material consumed has incresed significantly in the current period.The Inventory held by the company in the current year has reduced in comparision to the previous year.

5. The revenue from opertions has increased from the previous year as compared to the current year. The trade payable by the company has reduced as compared to the last year.

6. The revenue from operations has increased from the previous year as compared to the current year. The amount of the both Current Assets and Current Liabilities has significantly reduced in the current period.

7. The profit reported in the current perios is less than the profit reported in the previous year, as in the current period the Company has sold of its incvestment held in the equity shares and Fair value of investment recorded in the last year is the reason of the increased in profit last year. The Company reported increased in its revenue from operations as compared to the last period.

8. The Profit before tax reported by the company in the current period is greater than the last year.The net worth of the company has also increased in the current period.

Note 33 : Rounding Off

Figures of Current and Previous year are rounded off to nearest thousand, as per the requirements of Schedule III. Note 34:

Figures of Previous year have been regrouped / reclassified in orderto make them comparable with current yearfigures, wherever necessary.

Note 35 : Details of Crypto Currency or Virtual Currency

The Company has not traded or invested in Crypto Currency or Virtual Currency during the financial year.

Note 36 : Corporate Social Responsibility (CSR)

As per the provisions of section 135 of the Companies Act 2013, the company is not mandatorily required to constitute a Corporate Social Responsibility Committee and spend funds for the Corporate Social Responsibility (CSR) activities. Accordingly, disclosure requirement is not applicable.

Note 37 : Undisclosed Income

The Company has not surrendered or disclosed any transactions, previously unrecorded as income in the books of account, in the tax assessments under the Income Tax Act, 1961 as income during the year. Accordingly, disclosure requirement is not applicable.

b) The Company has not advanced or loaned or invested funds to any other persons or entities, including foreign entities (Intermediaries) with the understanding that the Intermediaryshall:

(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

c) The Company has not received anyfund from any person(s) or entities), 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 As per our report of even date

For and on behalf of the Board

M/S SHARP AARTH & CO. LLP Lakhotia Polysters(lndia) Limited

C ha rte red Acco u nta nts

FRN: 132748W/W100823 sd /- sd I-

Madhusudan S Lakhotiya Jayshri M Lakhotiya

Managing Director Chairperson

DIN:00104576 DIN:05357609

sd/- sd I-

CA Praveen Purohit Vivek Rathi Shannu Chaturvedi

Partner Chief Financial Officer Company Secretary

MRN: 429231

UDIN: 24429231BKDZKW3038 Date: 27.05.2024 Place: Nashik

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Mar 31, 2015

1. Terms / Rights attached to shares

The company has one class of Equity Shares having par value of Rs 10/- per share. Each holder of equity shares is entitle to one vote per equity share held.

2. DEFERRED TAX LIABILITIES

The accounting treatment for income - tax in respect of the company's income is based on the Accounting Standard 22 on 'Accounting for taxes on income' as notified by the Companies (Accounting Standards) Rules, 2006. The provision made for income tax in the accounts comprises both, the Current Tax and Deferred Tax. The deferred tax assets and liabilities for the year, arising on account of timing differences, are recognized in the statement of Profit & Loss and the cumulative effect thereof is reflected in the Balance Sheet.

3. Deferred tax is measured based on the tax rates and the tax laws enacted or substantively enacted at the Balance Sheet date. Deferred tax assets and liabilities are recognized only to the extent that there is reasonable certainty that sufficient future taxable income will be available against which such deferred tax assets can be realized. In situation where the company has unabsorbed depreciation or carried forwarded losses, deferred tax assets are recognized only if there is virtual certainty supported by convincing evidence that the same can be realized against future taxable profits.

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Mar 31, 2014

1. OTHERS -

a) Certain Balance representing Debtors and Creditors are subject to reconciliation and receipts of confirmation from parties, pursuant to confirmation requests sent by the company.

b) Figures have been regrouped/reclassified/reinstated wherever necessary to make the comparison meaningful.

NOTE 2 DEFERRED TAX LIABILITIES

The effect of the significant timing differences that result in the deferred tax assets and liabilities at the end of the year are given as under :

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Mar 31, 2013

01. COMPANY OVERVIEW:

Lakhotia Polyesters India Limited (the Company) is a public limited company domiciled and headquartered in India and incorporated under the provisions of the Companies Act, 1956. Its shares are listed on the Bombay Stock Exchange in India. The company is engaged in manufacturing and selling of textile yarn for catering to the domestic and international markets. The company is engaged in the business of manufacturing of lacquer coated Polyester Films, transfer foils and M type metallic yarns, which are appropriate for textile, printing, decoration, and packing industry and manufacturing of grey fabrics used in sarees and as interline cloth. The yarns produced by the company are used for made ups in apparels, hosiery and garment industry.

2. OTHERS -

A. Certain Balance representing Debtors and Creditors are subject to reconciliation and receipts of confirmation from parties, pursuant to confirmation requests sent by the company.

B. Figures have been regrouped/reclassified/reinstated wherever necessary to make the comparison meaningful.

Note: Of the Above Shares, the company capitalized its profit by issue of 192310 equity shares amounting to Rs. 1923100/- as bonus shares during F.Y. 2011 -12

Note: Of the Above Shares, the company issued 355000 equity shares amounting to Rs. 3550000/- against business purchase agreement during F.Y. 2011 -2012

NOTE 3 DEFERRED TAX LIABILITIES

The accounting treatment for income - tax in respect of the company''s income is based on the Accounting Standard 22 on ''Accounting for taxes on income'' as notified by the Companies (Accounting Standards) Rules, 2006. The provision made for income tax in the accounts comprises both, the Current Tax and Deferred Tax. The deferred tax assets and liabilities for the year, arising on account of timing differences, are recognized in the statement of Profit & Loss and the cumulative effect thereof is reflected in the Balance Sheet.

Deferred tax is measured based on the tax rates and the tax laws enacted or substantively enacted at the Balance Sheet date. Deferred tax assets and liabilities are recognized only to the extent that there is reasonable certainty that sufficient future taxable income will be available against which such deferred tax assets can be realized. In situation where the company has unabsorbed depreciation or carried forwarded losses, deferred tax assets are recognized only if there is virtual certainty supported by convincing evidence that the same can be realized against future taxable profits.

NOTE : Land and Building of Factory Premises at Pimpalgaon are on lease hold basis and other assets are charged with UBI for credit facilities as sanctioned.