Raymond Realty Ltd. కంపెనీ అకౌంటింగ్ విధానాలు

Mar 31, 2026

1) a) Company information

Raymond Realty Limited (‘the Company’) having CIN: L41000MH2019PLC332934 is engaged primarily in the business of real estate construction / real estate development and other related activities. The Company is a public limited company incorporated and domiciled in India having its registered office at Jekegram, Pokharan Road No.1, Thane (West) - 400606, India. The Company’s equity shares have been listed on Bombay Stock Exchange Limited (BSE) and The National Stock Exchange of India Limited (NSE) on July 01, 2025.

b) Statement of compliance

The standalone financial statements comprise of the standalone balance sheet as at March 31, 2026, standalone statement of profit and loss (including other comprehensive income), standalone statement of cash flows and standalone statement of changes in equity for the year then ended and notes to the standalone financial statements including material accounting policy information and other explanatory information (hereinafter collectively referred to as ‘standalone financial statements’).

The standalone financial statements of the Company have been prepared in accordance with the Indian Accounting Standards (Ind AS) specified under the Section 133 of the Companies Act, 2013 (the ‘Act’), read with Companies (Indian Accounting Standards) Rules, 2015 (as amended) and other relevant provisions of the Act, including the presentation and disclosure requirements of Division II of Schedule III to the Act and the guidelines issued by the Securities and Exchange Board of India (‘SEBI’), to the extent applicable.

The standalone financial statements have been prepared on a going concern basis using the accrual basis of accounting and the accounting policies have been consistently applied, unless otherwise stated.

The standalone financial statements of the Company as at and for the year ended March 31, 2026 were authorised for issue by the Board of Directors on May 05, 2026.

These standalone financial statements are presented in Indian Rupees (?), which is also the functional currency of the Company. All financial information presented in Indian rupees has been rounded off to the nearest lakhs, unless otherwise stated. Further, ‘0’ denotes amounts less than fifty thousand rupees.

c) Basis of measurement

The standalone financial statements have been prepared on a historical cost convention and on an accrual basis, except for the following material items that have been measured at fair value:

i. Certain financial assets and liabilities measured at fair value (refer accounting policy on financial instruments);

ii. Defined benefit plan and other long-term employee benefits;

d) Use of estimates and judgements

The preparation of the standalone financial statements in conformity with Ind AS requires management to make judgements, estimates and assumptions considered that affect the application of accounting policies and the reported amounts of assets, liabilities (including contingent liabilities), income and expenses. Management believes that the estimates made in the preparation of the standalone financial statements are prudent and reasonable. Estimates and underlying assumptions are reviewed on a periodic basis. Actual results could differ from those estimates. Any revision to accounting estimates is recognised prospectively in the year in which the estimates are revised and in any future periods affected.

Information about judgments, estimates and assumptions and in applying accounting policies, that may have an impact on the standalone financial statements is as follows:

• Revenue recognition - The Company recognizes revenue from sale of residential / commercial units over the time of development of properties where criteria of Ind AS 115 are met. This requires the Company to estimate the efforts or costs incurred to date as a proportion of the total costs to be incurred. Efforts or costs incurred are used to measure progress towards completion as there is a direct relationship between input and productivity.

• Recognition of deferred tax assets - The extent to which deferred tax assets can be recognised is based on an assessment of the probability of the Company’s future taxable income (supported by reliable evidence) against which the deferred tax assets can be realised.

• Evaluation of net realisable value (NRV) of inventories - NRV for finished properties is assessed based market conditions and prices existing at the reporting date and is determined by the Company based on net amount that it expects to realise from the sale of inventory in the ordinary course of business.

NRV in respect of properties under development is assessed with reference to market prices (reference to the recent selling prices) at the reporting date less estimated costs to complete the construction, and estimated cost necessary to make the sale. The costs to complete the construction are estimated by management.

• Useful lives of property, plant and equipment -

The Company reviews its estimate of the useful lives of property, plant and equipment and intangible assets at each reporting date, based on the expected utility of the assets. Uncertainties in these estimates relate to obsolescence that may change the utilisation of assets.

• Recognition and measurement of defined benefit obligations - The Company’s estimate of the defined benefit obligation is based on a number of underlying assumptions such as standard rates of inflation, mortality, discount rate and anticipation of future salary increases. Variation in these assumptions may significantly impact the defined benefit obligation amount and the defined benefit expenses of the reporting period.

• Share based payments - The grant date fair value of the option granted to employees is recognised as employee expense, with corresponding increase in equity, over the period that the employee becomes unconditionally entitled to the option. The increase in equity recognised in connection with share-based payment transaction is presented as a separate component in equity under ''Employee stock options outstanding reserve’. The amount recognised as expense is adjusted to reflect the impact of the revision estimated based on number of options that are expected to vest, in the standalone statement of profit end with a corresponding adjustment to equity.

• Classification of assets and liabilities into current and non-current - The management classifies the assets and liabilities into current and noncurrent categories based on management’s expectation

of the timing of realisation of the assets or timing of contractual settlement of liabilities, which is based on the project life cycle.

• Expected credit losses (ECL) on receivables -

At each balance sheet date, based on historical default rates, existing market conditions as well as forward looking estimates, the Company assesses the expected credit losses on outstanding receivables.

• Impairment of assets including investments-

The evaluation of applicability of indicators of impairment of assets requires assessment of several external and internal factors, including future projections, which could result in deterioration of recoverable amount of the assets. The judgement is used in making the assumptions in calculating the amount of impairment allowance at the end of each reporting period.

• Fair value measurements- the Company uses market-observable data to the extent it is available Management applies valuation techniques to determine the fair value of financial instruments (where active market quotes are not available). This involves developing estimates and assumptions consistent with how market participants would price the instrument.

• Provisions - Provisions are recognised when the Company has a present obligation as a result of past event and it is probable that an outflow of resources will be required to settle the obligation, in respect of which a reliable estimate can be made. Provisions are determined based on best estimate of the amount required to settle the obligation at the balance sheet date. These are reviewed at each balance sheet date and adjusted to reflect the current best estimates.

• Contingent liabilities - At each balance sheet date, basis the management judgment, changes in facts and legal aspects, the Company assesses the requirement of provisions against the outstanding contingent liabilities. However, the actual future outcome may be different from this judgement.

e) Summaryof material accounting policy information:

i. Current/non-current classification

The Company presents assets and liabilities in the standalone balance sheet based on current / non-current classification.

The operating cycle in respect of operations relating to development of real estate vary from project to project depending upon the size and duration (from launch till receipt of occupation certificate) of the project, type of development, project complexities, approvals needed and realisation of development into cash and cash equivalents. Accordingly, project related assets and liabilities have been classified into current and non-current based on operating cycle of respective projects.

All the other assets and liabilities have been classified into current and non-current based on a period of twelve months.

Deferred tax assets and liabilities are classified as non-current assets and liabilities.

ii. Fair value measurements

The Company’s accounting policies and disclosures require the measurement of fair values for financial and non- financial assets and liabilities. The Company has an established control framework with respect to the measurement of fair values. The management regularly reviews significant unobservable inputs and valuation adjustments.

When measuring the fair value of a financial asset or a financial liability, the Company uses observable market data as far as possible. Fair values are categorised into different levels in a fair value hierarchy based on the inputs used in the valuation techniques as follows:

Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities.

Level 2: inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices).

Level 3: inputs for the asset or liability that are not based on observable market data (Unobservable inputs).

If the inputs used to measure the fair value of an asset or a liability fall into different levels of the fair value hierarchy, then the fair value measurement is categorised in its entirety in the same level of the fair value hierarchy as the lowest level input that is significant to the entire measurement.

The Company recognises transfers between levels ofthefairvalue hierarchy atthe end ofthe reporting period during which the change has occurred.

iii. Property, plant and equipment and depreciation Recognition, measurement and derecognition:

Items of property, plant and equipment, other than freehold land, are recognised and measured at cost less accumulated depreciation and impairment losses, if any. Freehold Land is carried at cost and is not depreciated. The cost of an item of property, plant and equipment includes purchase price and any costs directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Property, plant and equipment are derecognised from the standalone financial statements, either on disposal or when no economic benefits are expected from its use or disposal. The gain or loss arising from disposal of property, plant and equipment is determined by comparing the proceeds from disposal with the carrying amount of property, plant and equipment and is recognised in the standalone statement of profit and loss in the period of such disposal.

Capital work-in-progress includes the cost of property, plant and equipment that are not ready to use at the balance sheet date. It includes expenditure incurred till the assets are put into intended use. Assets under construction are not depreciated as these assets are not yet available for use. Capital work-in-progress are measured at cost less accumulated impairment losses, if any.

Subsequent expenditure

Subsequent expenditure is capitalised only if it is probable that the future economic benefits associated with the expenditure will flow to the Company and the cost of the expenditure can be measured reliably.

Depreciation and amortisation

Depreciable amount for assets is the cost of an asset, or other amount substituted for cost, less its estimated residual value.

Depreciation on property, plant and equipment, other than freehold land, ofthe Company has been provided using the written down value method based on the management’s estimate of useful

lives which is line with useful lives prescribed under Schedule II to the Act. The estimated useful lives of PPE are as follows:

Class of assets	Useful life
Buildings	3 years - 60 years
Electrical equipment	3 years -10 years
Vehicles	8 years
Office equipment	3 years -10 years
Furniture and Fixtures	5 years -10 years

Depreciation method, useful lives and residual values are reviewed at each reporting period and adjusted if appropriate. Depreciation on additions to property, plant and equipment or on disposal of property, plant and equipment is calculated pro rata from the month of such addition or up to the month of such disposal as the case may be. The residual values are not more than 5% of the original cost of the asset.

iv. Intangible assets and amortisation Recognition and measurement

Items of intangible assets are recognised and measured at cost less accumulated amortisation and impairment losses, if any. The cost of intangible assets comprises its purchase price and any costs directly attributable to bringing the asset to the location and condition necessary for it to be capable of operating in the manner intended by management.

Subsequent expenditure

Subsequent expenditure is capitalised only if it is probable that the future economic benefits associated with the expenditure will flow to the Company and the cost of the expenditure can be measured reliably.

Amortisation

Intangible assets are amortised over their useful life, as determined by the management. Amortisation on addition to intangible assets or on

disposal of intangible assets is calculated pro-rata from the month of such addition or up to the month of such disposal as the case may be.

v. Impairment of non-financial assets

The carrying values of assets at each balance sheet date are reviewed for impairment if any indication of impairment exists. If the carrying amount of the assets exceed the estimated recoverable amount, an impairment loss is recognised for such excess amount. The impairment loss is recognised as an expense in the standalone statement of profit and loss, unless the asset is carried at revalued amount, in which case any impairment loss of the revalued asset is treated as a decrease to the extent a revaluation reserve is available for that asset.

The recoverable amount is the greater of the net selling price and the value in use. Value in use is arrived at by discounting the future cash flows to their present value based on an appropriate discount factor.

When there is indication that an impairment loss recognised for an asset (other than a revalued asset) in earlier accounting periods which no longer exists or may have decreased, such reversal of impairment loss is recognised in the standalone statement of profit and loss, to the extent the amount was previously charged to the standalone statement of profit and loss. In case of revalued assets, such reversal is not recognised.

vi. Investment in subsidiaries

Investments in equity shares of subsidiaries are recorded at cost and reviewed for impairment at each reporting date. Where an indication of impairment exists, the carrying amount of the investment is assessed and written down immediately to its recoverable amount. On disposal of investments in subsidiaries, the difference between net disposal proceeds and the carrying amounts are recognised in the standalone statement of profit and loss.

Details of significant investments in subsidiary companies in accordance with Ind AS 27, ‘Separate Financial Statements’
	Principal place of business	% ownership held by the Company
Name of the subsidiary company		As at March 31, 2026	As at March 31, 2025
Ten X Realty Limited	India	100%	100%
Ten X Realty East Limited	India	100%	100%
Ten X Realty West Limited	India	100%	100%
Rayzone Property Services Limited	India	100%	100%
Chembur Realty Limited	India	100%	-

vii. Financial instruments Financial assets Classification

The Company classifies financial assets as subsequently measured at amortised cost, fair value through other comprehensive income (‘FVOCI’) or fair value through profit or loss (‘FVTPL’) on the basis of its business model for managing the financial assets and the contractual cash flow characteristics of the financial asset.

Initial recognition and measurement

The Company recognises financial assets (other than trade receivables and debt securities) when it becomes a party to the contractual provisions of the instrument. All financial assets (excluding trade receivables that are recorded at transaction price) are recognised initially at fair value. Transaction costs that are directly attributable to the acquisition or issue of financial assets that are not at FVTPL are added to the fair value on initial recognition. Trade receivables are initially recognised when they originate and recorded at transaction price. However, trade receivables that do not contain a significant financing component are measured at transaction price.

Subsequent measurement

For the purpose of subsequent measurement, the financial assets are classified in three categories:

• Financial assets carried at amortised cost

• Financial assets at FVTPL

• Financial assets at FVOCI

Financial assets at amortised cost

A financial asset is measured at the amortised cost if both the following conditions are met:

a) The asset is held within a business model whose objective is to hold assets for collecting contractual cash flows, and

b) Contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest (SPPI) on the principal amount outstanding.

After initial measurement, such financial assets are subsequently measured at amortised cost using the effective interest rate (‘EIR’) method. Amortised cost is calculated by taking into account any discount or premium and fees or costs that are an integral part of the EIR. The EIR amortisation is included in interest income in the standalone statement of profit and loss. The losses arising from impairment are recognised in the standalone statement of profit and loss.

Financial assets at FVOCI/FVTPL

All equity investments other than investment in subsidiaries are measured at fair value. Equity instruments which are held for trading are classified as at FVTPL. For all other equity instruments, the Company decides to classify the same either as at FVOCI or FVTPL. The Company makes such election on an instrument-by- instrument basis. The classification is made on initial recognition and is irrevocable.

If the Company decides to classify an equity instrument as at FVOCI, then all fair value changes on the instrument, excluding dividends, are recognised in other comprehensive income (OCI). There is no recycling of the amounts from OCI to the standalone statement of profit and loss, even on sale of such investments.

Equity instruments included within the FVTPL category are measured at fair value with all changes recognized in the standalone statement of profit and loss.

Derecognition

A financial asset (or, where applicable, a part of a financial asset) is primarily derecognised when:

(a) The rights to receive cash flows from the asset have expired, or the Company has transferred substantially all the risks and rewards of the asset, or

(b) the Company has neither transferred nor retained substantially all the risks and rewards of the asset, but has transferred control of the asset.

Impairment of financial assets

The Company applies ‘simplified approach’ measurement and recognition of impairment loss on the following financial assets and credit risk exposure:

a) Financial assets that are debt instruments, and are measured at amortised cost e.g., loans,, deposits, and bank balance.

b) Trade receivables.

The application of simplified approach does not require the Company to track changes in credit risk. Rather, it recognises impairment loss allowance based on lifetime expected credit loss (ECL) at each reporting date, right from its initial recognition.

The Company assess on a forward-looking basis the ECL associated with its financial assets carried at amortised cost. The impairment methodology applied depends on whether there has been significant increase in credit risk. For trade receivables, the Company is not exposed to any credit risk as the legal possession of residential and commercial units is handed over to the buyer only after all the instalments are recovered.

Financial Liabilities

Classification

The Company classifies all financial liabilities as subsequently measured at amortised cost.

Initial recognition and measurement

All financial liabilities are recognised initially at fair value and, in the case of borrowings and payables, net of directly attributable transaction costs.

Borrowings

After initial recognition, interest-bearing borrowings are subsequently measured at amortised cost using the EIR method. Gains and losses are recognised in the standalone statement of profit and loss when the liabilities are derecognised.

Amortised cost is calculated by taking into account any discount or premium on acquisition and transactions costs. The EIR amortisation is included as finance costs in the standalone statement of profit and loss.

This category generally applies to borrowings.

Derecognition

Financial liability is derecognized when the obligation under the liability is discharged or cancelled or expires. When an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as the derecognition of the original liability and the recognition of a new liability. The difference in the respective carrying amounts is recognised in the standalone statement of profit and loss.

Offsetting of financial instruments

Financial assets and financial liabilities are offset, and the net amount is reported in the standalone balance sheet if there is a currently enforceable legal right to offset the recognized amounts and there is an intention to settle them on a net basis or to realise the assets and settle the liabilities simultaneously.

viii. Share Capital

Equity share capital

An equity instrument is a contract that evidences residual interest in the assets of the Company after deducting all of its liabilities. Equity shares issued by the Company are recognised at the proceeds received, net of direct issue costs.

Repurchase of the Company’s own equity shares is recognised and deducted directly in equity. No gain or loss is recognised in the standalone statement of profit and loss on the purchase, sale, issue or cancellation of the Company’s own equity shares. Dividends paid on equity shares are directly reduced from equity.

ix. Inventories

Inventories comprise of land, properties under development, finished properties and stores and spares.

Inventories are measured at lower of cost and net realisable value (NRV). NRV is the estimated selling price in the ordinary course of business, less estimated costs of completion and estimated costs necessary to make the sale.

Land

Land is valued at lower of cost and NRV. Costs include land acquisition costs, and other costs incurred to make it read for development of real estate projects.

Properties under development

Properties under development include cost of land, construction costs, approval costs and expenses incidental to the projects undertaken by the Company. These are valued at lower of cost and NRV.

Finished properties

Finished properties include flats/units for which the occupation certificate is received, however are unsold/unregistered. These are valued at lower of cost and NRV.

Stores and spares are valued at cost.

x. Revenue recognition

Revenue from real estate projects

The Company derives revenues primarily from sale of properties comprising residential/commercial units. The Company starts recognising revenue, on execution of agreement at an amount that reflects the consideration (i.e. the transaction price) to which the Company is expected to be entitled in exchange for sale of properties, excluding any amount received on behalf of third party (such as indirect taxes).

The Company assessment whether the Company satisfies a performance obligation over the time and recognises revenue accordingly, if one of the following criteria is met:

1. The customer simultaneously receives and consumes the benefits provided by the Company’s performance as the Company performs; or

2. The Company’s performance creates or enhances an asset that the customer controls as the asset is created or enhanced; or

3. The Company’s performance does not create an asset with an alternative use to the Company, and an entity has an enforceable right to payment for performance completed to date.

Based on the Company’s assessment, revenue from real estate projects is recognised over the time, from the period in which the Company’s right to payment for performance completed is established, since the Company has an enforceable right to demand payment for performance completed to date as per the terms of the contract and the asset created by the Company’s performance does not have an alternative use. The Company further has a right to retain the payment for performance completed to date if the contract were to be terminated before completion for reasons other than the Company’s failure to perform as per the terms of the contract.

The Company uses cost-based input method for measuring progress for performance obligation satisfied over time. Under this method, the Company recognises revenue in proportion to the actual project cost incurred as against the total estimated project cost, also called Percentage of Completion Method (‘POCM’). The revenue recognition requires forecasts to be made of total budgeted costs with the outcomes of underlying construction contracts, which further require assessments and judgements to be made on changes in work scopes and other payments to the extent they are probable and they are capable of being reliably measured. However, where the total project cost is estimated to exceed total revenues from the project, the loss is recognized immediately in the standalone statement of profit and loss.

For performance obligations where the conditions for recognition over the time are not met, revenue is recognised at the point in time at which the performance obligation is satisfied.

Contract balances

A contract asset is the right to consideration in exchange for goods or services transferred to the customer. If the Company performs by transferring goods or services to a customer before the

customer pays consideration or before payment is due, a contract asset is recognised for the earned consideration that is conditional.

A contract liability is the obligation to transfer goods or services to a customer for which the Company has received consideration (or an amount of consideration is due) from the customer. If a customer pays consideration before the Company transfers goods or services to the customer, a contract liability is recognised when the payment is made, or the payment is due (whichever is earlier). Contract liabilities are recognised as revenue when the Company performs under the contract.

A receivable represents the Company’s right to an amount of consideration that is unconditional (i.e., only the passage of time is required before payment of the consideration is due).

Other operating revenue

It includes revenue arising from the Company’s ancillary revenue-generating activities. Revenue from these activities is recorded only when Company is reasonably certain of such income.

xi. Other income

Interest income is accounted on an accrual basis at EIR.

Interest on delayed payments, subvention income and forfeiture income are accounted based upon underlying agreements with customers.

Dividend income is recognised only when the right to receive payment is established.

Any other income is recognised when no significant uncertainty as to its determination and realisation exists.

xii. Cost of development of properties, construction and other costs

Cost of development of properties and construction includes cost of land, approval costs, designing costs, liaison costs, overheads, construction costs and other development charges, which are charged to the standalone statement of profit and loss based on the revenue recognised as explained in policy under revenue recognition.

Costs incurred to obtain contracts such as brokerage fees, are recognized as assets when incurred and amortised over the period of time or

at the point in time depending upon recognition of revenue from the corresponding property.

xiii. Taxes

Tax expense comprises current tax and deferred tax. It is recognized in the standalone statement of profit and loss except to the extent that it relates to items recognized directly in equity or in OCI.

Current tax

Current tax comprises the expected tax payable or receivable on the taxable income or loss for the year and any adjustment to the tax payable or receivable in respect of previous years. It is measured using tax rates enacted or substantively enacted at the reporting date.

Current tax assets and liabilities are offset only if, the Company has a legally enforceable right to set off the recognized amounts and intends either to realise the asset and settle the liability on a net basis or simultaneously.

Deferred tax

Deferred tax is recognized in respect of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts used for taxation purposes.

Deferred tax assets are recognised for unused tax losses, unused tax credits and deductible temporary differences to the extent that is probable that future taxable profits will be available against which they can be used. 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 realised; such reductions are reversed when the probability of future taxable profits improves. Deferred tax liabilities are recognized for taxable temporary differences.

Unrecognized deferred tax assets are reassessed at each reporting date and recognized to the extent that it has become probable that future taxable profits will be available against which they can be used.

Deferred tax is measured at the tax rates that are expected to be applied to temporary differences when they reverse, using tax rates enacted or substantively enacted at the reporting date. The measurement of deferred tax reflects the tax consequences that would follow from the manner in which the Company expects, at the reporting

date, to recover or settle the carrying amount of its assets and liabilities.

Deferred tax assets and liabilities are offset, if and only if, the Company has a legally enforceable right to set off current tax assets against current tax liabilities and the deferred tax assets and the deferred tax liabilities relate to income taxes levied by the same taxation authority on the same taxable entity.

xiv. Employee benefits

Short-term employee benefits

Short-term employee benefits are measured on an undiscounted basis and are expensed as the related service is provided. A liability is recognised for the amount expected to be paid if the Company has a present legal or constructive obligation to pay this amount as a result of past service provided by the employee and the obligation can be estimated reliably.

Defined contribution plans

Obligations for contributions to defined contribution plans such as Provident Fund and Employee State Insurance Corporations are expensed as the related service is provided.

Defined benefit plans

The Company’s net obligation in respect of defined benefit plans is calculated separately for each plan by estimating the amount of future benefit that employees have earned in the current and prior periods, after discounting the same.

The calculation of defined benefit obligations is performed annually by an independent qualified actuary using the projected unit credit method.

Re-measurement of the net defined benefit liability, which comprise actuarial gains and losses are recognised immediately in OCI. Remeasurement, if any, are not reclassified to the standalone statement of profit and loss in subsequent period. Net interest expense (income) on the net defined liability (assets) is computed by applying the discount rate, based on the market yield on government securities as at the reporting date, used to measure the net defined liability (asset). Net interest expense and other expenses related to defined benefit plans are recognised in the standalone statement of profit and loss. When the benefits of a plan are changed or

when a plan is curtailed, the resulting change in benefit that relates to past service or the gain or loss on curtailment is recognised immediately in the standalone statement of profit and loss. The Company recognises gains and losses on the settlement of a defined benefit plan when the settlement occurs.

Share-based payments

The grant date fair value of options granted to employees is recognized as an employee benefits expense, with a corresponding increase in equity, over the period that the employees become unconditionally entitled to the options. The expense is recorded for each separately vesting portion of the award as if the award was, in substance, multiple awards. The increase in equity recognized in connection with share-based payment transaction is presented as a separate component in equity under “Share options outstanding reserve”. The amount recognized as an expense is adjusted to reflect the actual number of stock options that are expected to vest.

xv. Borrowing costs

Borrowings are initially recognised at net of transaction costs incurred and measured at amortised cost. Any difference between the proceeds (net of transaction costs) and the redemption amount is recognised in the standalone statement of profit and loss over the period of the borrowings using the EIR. Borrowing costs majorly includes interest and amortisation of ancillary costs incurred in connection with the arrangement of borrowings. Borrowing costs directly attributable to the acquisition, construction or production of an asset that necessarily takes a substantial period of time to get ready for its intended use or sale are capitalised as part of the cost of the respective asset. All other borrowing costs are expensed in the period in which they occur. The Company ceases capitalising borrowing costs when substantially all the activities necessary to prepare the qualifying asset for its intended use or sale are complete.

xvi. Cash and cash equivalents

Cash and cash equivalents in the standalone balance sheet comprise cash at banks and cash on hand and bank deposits with an original maturity of three months or less, which are subject to an insignificant risk of changes in value.

Forthe purpose ofthe standalone statement of cash flows, cash and cash equivalents consist of cash on hand, cash at bank and short- term deposits, as defined above, as they are considered an integral part ofthe Company’s cash management.

xvii. Earnings per share

Basic earnings per share is 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 year. The weighted average number of equity shares outstanding during the year is adjusted for events of bonus issue, share split and any new equity issue. Forthe 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.

xviii. Provisions, contingent liabilities and contingent assets

A provision is recognized when the Company has a present legal or constructive obligation as a result of past events and it is probable that an outflow of resources will be required to settle the obligation in respect of which a reliable estimate can be made. These are reviewed regularly including at each balance sheet date and adjusted to reflect the current best estimates. Provisions are discounted to their present values, where the time value of money is material.

Contingent liabilities are disclosed in the notes. Contingent liabilities are disclosed for possible obligations which will be confirmed only by future events not wholly within the control of the Company or present obligations arising from past events where it is not probable that whether an outflow of resources will be required to settle the obligation or a reliable estimate of the amount of the obligation cannot be made.

Contingent assets are not recognised in the standalone financial statements. Flowever, the same are disclosed in the standalone financial statements where an inflow of economic benefit is probable.

xix. Business combinations

Common Control transactions, including combinations involving entities or businesses and cases wherein the activities and operation of transferor Companies do not constitute a business as defined in Ind AS 103, are accounted for using the pooling of interests’ method. The assets and liabilities ofthe combining entities are reflected at their carrying amounts. The identity of the reserves is preserved and appears in the financial statements of the transferee company in the same form in which they appeared in the financial statements of the transferor. The difference, if surplus, between the carrying value of assets, liabilities and reserves pertaining to the transferor Company, as appearing in the financial statements, and the carrying value of investment in the equity shares ofthe transferor Company in the books of accounts of the transferee Company is credited to capital reserve in the books of transferee Company. If the difference is a deficit, then the same is adjusted against the existing capital reserve and revenue reserve of the transferee Company.

Business combinations, other than common control business combinations, are accounted for using the purchase (acquisition) method. The cost of an acquisition is measured as the fair value of the assets transferred, liabilities incurred or assumed and equity instruments issued at the date of exchange by the Company. Identifiable assets acquired and liabilities and contingent liabilities assumed in a business combination are measured initially at fair value at the date of acquisition. Transaction costs incurred in connection with a business acquisition are expensed as incurred.

The cost of an acquisition also includes the fair value of any contingent consideration measured as at the date of acquisition. Any subsequent changes to the fair value of contingent consideration classified as liabilities, other than measurement period adjustments, are recognised in the statement of profit and loss.

xx. Events after reporting date

Where events occurring after the balance sheet date provide evidence of conditions that existed at the end of the reporting period, the impact

of such events is adjusted with the standalone financial statements. Otherwise, events after the balance sheet date of material size or nature are only disclosed.

f) Recent accounting pronouncements

The Ministry of Corporate Affairs (MCA) notifies new standards or amendments to existing standards under Companies (Indian Accounting Standards) Rules as issued from time to time.

MCA has issued following amendments in year beginning April 01, 2025.

Lack of exchangeability - Amendments to Ind AS 21

MCA via notification dated May 07, 2025, announced amendments to Ind AS 21, ‘The Effects of Changes in Foreign Exchange Rates’, to specify how an entity should assess whether a currency is exchangeable and how it should determine a spot exchange rate when exchangeability is lacking. The amendments also require disclosure of information that enables users of its financial statements to understand how the currency not being exchangeable into the other currency affects, or is expected to affect, the entity’s financial performance, financial position and cash flows.

The amendments do not have a material impact on the Company’s standalone financial statements.

Classification of liabilities as current or noncurrent and non-current liabilities with covenants -Amendments to Ind AS 1

MCA via notification dated August 13, 2025 announced amendments to Ind AS 1, ‘Presentation of Financial Statements’, which elaborate on guidance set out in Ind AS 1 by:

• clarifying that the right to defer settlement of a liability for at least 12 months after the reporting period;

a) must have substance, and

b) must exist at the end of the reporting period;

• stating that management’s expectations around whether the settlement of a liability would be deferred or not, does not impact the classification of the liability;

• including requirements for liabilities that can be settled using an entity’s own instruments; and

• stating that at the reporting date, the entity does not consider covenants that will need to be complied within the future when considering the classification of the debt as current or non-current.

In addition, an entity is required to disclose when a liability arising from a loan agreement is classified as non-current and the entity’s right to defer settlement is contingent on compliance with future covenants within twelve months.

The amendment has no impact on the classification of the Company’s liabilities as at the balance sheet date.

Supplier Finance Arrangements - Amendments to Ind AS 7 and Ind AS 107

MCA via notification dated August 13, 2025 announced amendments to Ind AS 7, ‘Statement of Cash Flows’ and Ind AS 107, ‘Financial Instruments: Disclosures’ which introduced disclosure requirements with the objective to enable users of financial statements to assess how supplier finance arrangements affect an entity’s liabilities, cashflows and exposure to liquidity risk.

The Company has no impact of this amendment on its standalone financial statements.

International Tax Reform - Pillar Two Model Rules -Amendments to Ind AS 12

MCA via notification dated August 13, 2025 announced amendments to Ind AS 12, ‘Income Taxes’, which includes:

• a temporary exception to the recognition and disclosure of deferred taxes arising from the implementation of the Pillar Two model rules; and

• additional disclosure requirements targeted at a reporting entity’s exposure to income taxes in periods in which the Pillar Two Model legislation is enacted or substantively enacted but not yet in effect.

The Company has reviewed the amendment and based on its evaluation, has determined that it does not have any significant impact on the standalone financial statements.

Standard issued but not yet effective

Classification of liabilities as current or non-current and non-current liabilities with covenants - Amendments to Ind AS 1

Paragraph 74 of Ind AS 1 currently effective for the year ended March 31, 2026 requires the entity not to classify the liability as current, if there is a breach of a material covenant of a long-term loan arrangement on or before the end of the reporting period with the effect that the liability becomes payable on demand on the reporting date, however, the lender agreed, after the reporting period and before the approval of the financial statements for issue, not to demand payment as a consequence of the breach.

MCA vide notification dated August 13, 2025 has introduced amendment under Paragraph 74 of Ind AS 1 which requires the entity to classify the liability as current under the aforementioned situation because, at the end of the reporting period, it does not have the right to defer its settlement for at least twelve months after that date. Such amendment has been made effective for annual reporting periods beginning on or after April 01, 2026 retrospectively in accordance with Ind AS 8.

This amendment is not expected to have a material impact on the Company’s consolidated financial statements.