Swasth Foodtech India Ltd. కంపెనీ అకౌంటింగ్ విధానాలు

Mar 31, 2025

The Company was incorporated on February 02, 2021 as ''Swasth Food tech India Private Limited'', a private limited company under the Companies Act.
1956. pursuant to a certificate of incorporation issued by the Registrar of Companies, West Bengal, Further, the Company was converted into a public
limited company pursuant to a resolution passed by our Board of Director! in their meeting held on January 27, 2024, and by the Shareholders at an
Extraordinary General Meeting held on February 1, 2024 and consequently the name of the Company was changed to ''Swasth Food tech India Limited'' and
a fresh certificate of incorporation dated May 20, 2024 was issued by the Registrar of Companies, Haryana at Gurgaon. The company is mainly engaged in
the business of Refined Oil Manufacturer.

1.1 Basis of preparation of financial statements

(a) The financial statements has been prepared and presented under historical cost convention on the accrual basis of accounting in accordance with the
Generally Accepted Accounting Principles in India (“GAAP”) and comply with the mandatory Accounting Standards (“AS") specified under section 133
of the Companies Act 2013, read with Rule 7 of the Companies (Accounts) Rules,2014 and the relevant provisions of the Companies Act 2013 (“the 2013
Act”).

The Standalone Financial Statements has been prepared by the Management to comply in all material respects with the requirements of:

(i) a) Section 26 of Part 1 of Chapter III of the Companies Act, 2013 ("the Act");

(ii) The Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018, as amended ("ICDR Regulations");
and

dii) The Guidance Note on Reports in Company Prospectuses (Revised 2019) issued by the Institute of Chartered Accountants of India (ICAI). as
amended (the ''’Guidance Note").

(b) The financial Statements of the Company have been prepared in accordance with Generally Accepted Accounting Principles in India to comply in an material respects with the Accounting Standards specified under section 133 of the Companies Act, 2013 read with Rule 7 of the Companies (Accounts)
Rules.2014(as amended). The Financial Statements have been prepared on accrual basis under the historical cost conversion and on going concern
concept.

(c) All assets and liabilities have been classified as current or non-current as per the Company''s normal operating cycle and other criteria set out in the
Schedule III (Revised) to the Companies Act, 2013. Based on the nature of business, the Company has ascertained its operating cycle as 12 months for the
purpose of current- non current classification of assets and liabilities.

the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Differences between the actual results
and estimates are recognized in the period in which the results arc known / materialize.

(c) The Financial statements arc presented in Indian Rupee (Rs.) & all the amounts included in the financial statements have been rounded off to the
nearest Lakhs up to two decimals, as required by General instructions for preparation of Financial Statements in Division I of Schedule EH of the Companies
Act. 2013, except number of shares, face value of shares, earning per shares, or wherever otherwise slated. Wherever the amount represented Rs ‘0.00’
construes value less than Rupees Five Hundred.

1 2 Revenue Recognition

Revenue is recognized to the extent that it is probable that the economic benefits will flow to the Company and revenue can be reliably measured.

1.3 Property Plant & Equipments

(a) Fixed assets are staled at cost, less accumulated depreciation less impairment, if any. Cost comprises the purchase price and any attributable coal of
bringing the asset to its working condition for its intended use.

(b) Property, Plant and Equipment which are not ready for intended use as on the dale of Balance sheet are disclosed as "Capital Work-in-progress.

(c) the earning amounts of assets are reviewed at each balance sheet date if there is any indication of impairment based on internal / external factors. an
impairment loss is recognized wherever the carrying amount of an asset exceeds its recoverable amount. The recoverable amount is the higher of the asset''s
net selling price and value in use, which is determined by the present value of the estimated future cash flows.

prescribed in Schedule II to the Companies Act.2013. Depreciable value of fixed Assets is its cost of acquisition as reduced by residual value of five
percent of cost of acquisition of the Asset.

\\> Materials & Store Materials: Inventories are Valued at lower of cost and net realisable value. However materials and other items held for used in
the production or inventories are not written down below cost, If the finished products In which they will be incorporated or expected to be sold at or above
cost The cost is determined on the basis of FIFO method.

Finished Roods. Stock In process & Traded Goods: Inventories are valued at cost (weighted average basis) or at the net realisable value, Whichever is
lower, finished Goods includes cost of purchase of raw materials and conversion thereof, including the cost incurred in the normal course of business in
bringing the inventories up to the present location & condition''traded Goods includes purchase price and other cost incurred for bringing the inventories to
their present location and condition.

15 Borrowing cost ,

borrowing Cost directly attributable to the acquisition or construction 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 Asset. Ail other borrowing cost arc expensed in the period in which they occur. Borrowing
costs consist of interest and other costs that an entity incurs in connection with the borrowing of funds.

1.6 Impairment of Assets

An asset is treated as impaired when the carrying cost of assets exceeds its recoverable value. An impairment loss is charged to the Statement of Profit and
Loss in the period in which an assets is identified as impaired. The impaired loss, if any, recognized in prior accounting periods is reversed if there has
been a change in the estimate of recoverable amount.

1.7 Taxation

Current Tax is the provision made for Income Tax Liability on the profits for the year in accordance with the provisions of Income Tax Act, 1961.

Deferred tax expenses or benefit is recognised on liming differences being the difference between taxable income and accounting income that original in
one period and are capable of reversal in one or more subsequent periods. Deferred tax assets and liabilities are measured using the tax rates and lax laws
that have been enacted or substantively enacted by the balance sheet date.

Deferred lax assets are recognized only to the extent that there is virtual certainty supported by convincing evidence that sufficient future taxable income
will be available against which such differed tax assess can be realised.