The financial statements of the Company have been brpared in accordance with generally accepted accounting principles in India (Indian GAAP). The Company has brpared these financial statements to comply in all material aspects with the Accounting Standard (AS) specified under  Section 133 of the Companies Act 2013, read with Rule 7 of the Companies (Accounts) Rules, 2014. The financial statements have been brpared under the historical cost convention on an accrual basis. The accounting policies have been consistently applied by the Company and are consistent with those used in the brvious year.

All the 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 Schedule III to the Companies Act, 2013. Based on the nature of products and the time between the acquisition of assets for processing and their realisation in cash and cash equivalents, the Company has ascertained its operating cycle as 12 months for the purpose of current/non current classification of assets and liabilities.

The brparation of financial statements in conformity with Indian GAAP requires the management to make judgements, estimates and assumptions that affect the reported amounts of revenues, expenses, current assets, non-current assets, current liabilities and non-current liabilities and the disclosure of contingent liabilities at the end of the reporting period. Although these estimates are based on the management?s best knowledge of current events and actions, uncertainty about these assumptions and estimates could result in the outcomes requiring a material adjustment to the carrying amounts of assets or liabilities in future periods.

Fixed assets are stated at cost of acquisition or construction less accumulated debrciation and impairment loss if any. Cost comprises the purchase price and any attributable cost of bringing the asset to its working conditions for its intended use.

The cost incurred on fixed assets, construction / installation / acquisition of which are not completed is included under the head Capital Work-in-Progress and the same are related / classified on their completion.

Fixed Assets, individually costing less than Rupees Five Thousand, are fully debrciated in the year of acquisition.

Debrciation on Tangible Fixed Assets is provided on Straight Line method using the rates arrived at based on the useful lives as specified in the Schedule II to the Companies Act, 2013 or estimated by the management. The Company has used the following useful life to provide debrciation on its fixed assets.

Factory Building including Compounding Wall

30 years

Other Building

60 years

RCC Roads

10 years

Office Equipment

5 years

Vehicles - Two Wheeler

10 years

Vehicles - Four Wheeler

8 years

Furniture & Fixtures

10 years

Computer Hardware (Servers)

6 years

Computer Hardware (Others)

3 years

Buildings (Temporary structures)

5 years

Plant & Machinery (including Double and Triple Shift)

7.5 years - 10 years

Plant & Machinery (Screw & Barrel)

3 years

Moulds & Dies

7.5 years

Electrical Installation

15 years

Useful life of assets different from brscribed in Schedule II has been estimated by the management supported by technical assessment.

Intangible assets are stated at acquisition cost, net of accumulated amortisation and accumulated impairment losses, if any. Intangible assets are amortised over the useful life of the asset.

Research and Development costs are expensed out as and when incurred.

Company has used following useful life to amortise its intangible assets

Computer Software

6 years

Brands/Trademarks

10 years

Goodwill

10 years

The Carrying Amount of Assets is reviewed at each Balance Sheet date if there is any indication of impairment based on internal/external factors. An asset is treated as impaired when the carrying cost of assets exceeds its recoverable value. An impairment loss, if any, is charged to Statement of Profit and Loss in the year in which an asset is identified as impaired. Reversal of impairment losses recognised in prior years is recorded when there is an indication that the impairment losses recognised for the assets no longer exists or have decreased.

Borrowing cost attributable to acquistion and construction of qualifying assets are capitalised as a part of the cost of such assets upto the date when such assets are ready for its intended use.

Other borrowing cost are charged to the statement of profit and loss in the period in which they are incurred.

Investments which are readily realisable and intended to be held for not more than one year from the date on which such investments are made, are classified as current investment. All other investments are classified as long term investments.

Investments are recorded at cost on the date of purchase. Long term investments are stated at cost after deducting provision made, if any, for other than temporary dimunition in the value. Current investments are stated at lower of cost and net realisable value.

Leases, where signficant portion of risk and reward of ownership are retained by the lessor are classified as operating lease. All leases are cancellable leases. Lease rentals thereon are charged to the statement of profit and loss over the lease term.

Inventories are valued at lower of cost and net realizable value. Cost is determined on first-in first-out (FIFO) basis. The cost of finished goods comprises of raw materials, direct labour, other direct costs and related production overhead, but excludes interest expenses. Net realizable value is the estimate of the selling price in the ordinary course of business, less the cost of completion and selling expenses.

Contributions to Provident Fund, a defined contribution scheme, is made to a government administered Provident Fund and is charged to the Statement of Profit and Loss as incurred. The Company has no further obligations beyond its monthly contributions to this fund.

Provision for gratuity, which is in the nature of defined benefit plan, is provided based on valuations, as at the balance sheet date, made by an independent actuary as per the requirements of Accounting Standard -15 on "Employee Benefits". Actuarial gain/losses for the year are charged to Statement of Profit and loss.
In respect of certain employees, Gratuity Fund contributions are made to Life Insurance Corporation of India (LIC).

The undiscounted amount of short-term employee benefits expected to be paid in exchange for the services rendered by employees are recognised during the year when the employees render the service. These benefits include performance incentive which are expected to occur within twelve months after the end of the period in which the employee renders the related service.

Compensated absences which are not expected to occur within twelve months after the end of the period in which the employee renders the related service are recognised based on independent acturial valuation. Acturial gain / losses for the year are charged to statement of profit and loss.

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

Sales are recognised on transfer of significant risks and rewards of ownership to the buyer. Sales are net of trade discounts, Sales Tax and VAT. Excise duties collected on Sales are shown by way of deduction from Sales.

Dividend income is recognised when the right to receive dividend is established.

Interest income is recognised using the time-proportion method based on rates implicit in the transaction.

Revenue in respect of other income is recognised when a reasonable certainty as to its realization exists.

Provision for Income Tax is determined in accordance with the provisions of the Income Tax Act, 1961. Provision for Minimum Alternative Tax (MAT) is in accordance with the provisions of Section 115JB of the Income Tax Act, 1961. Provision for Wealth Tax is determined in accordance with the provisions of the Wealth Tax Act, 1957.

Deferred tax is recognised on timing differences between the accounting income and the taxable income for the year. The tax effect is calculated on the accumulated timing differences at the end of the accounting period based on brvailing enacted or substantively enacted regulations.

Deferred tax liabilities are recognised for all timing differences. Deferred tax assets are recognised for deductible timing differences only to the extent there is reasonable certainty that sufficient future taxable income will be available against which such deferred tax assets can be realized, except in case of unabsorbed losses and unabsorbed debrciation.
At each reporting date the Company reassesses the unrecognised deferred tax assets and reviews the deferred tax assets recognised.

A foreign currency transaction is recorded on initial recognition in the reporting currency by applying to the foreign currency amount, the exchange rate between the reporting currency and the foreign currency at the date of the transaction.

At the year end, monetary items denominated in foreign currencies are converted into rupee equivalents at the year end exchange rates.

All exchange differences arising on settlement/conversion on foreign currency transactions are included in the Statement of Profit and loss. Foreign exchange differences arising on settlement/conversion of borrowings are considered as Finance cost. Pursuant to MCA circular in respect of clarification on paragraph 46A of Accounting Standard 11, the Company recognises any exchange differences on funds borrowed for acquiring fixed assets to the cost of the Asset and debrciate over the balance life of the asset .

Premium / discount, in respect of forward exchange contract to hedge an underlying recorded assets or liabilities, is recognised over the life of the contract. Exchange differences on such contracts are recognised in the statement of profit and loss in the year in which the exchange rate changes.

As per Institute of Chartered Accountants of India (ICAI) announcement regarding accounting for derivative contracts, other than covered under AS-11, are marked to market on portfolio basis and net losses are charged to statement of profit and loss. Net gains are ignored.

Provisions are recognised for when the company has at brsent legal or contractual obligation as result of past events, only if requires the outflow of resources embodying economic benefits and if the amount involved can be measured reliably, otherwise the same is treated as Contingent Liabilities. These estimates are reviewed at each reporting date and adjusted to reflect the current best estimates.

Contingent Liabilities being possible as a result of past events the existence of which will be confirmed by the occurrence or non-occurrence of one or more future events not wholly in the control of the company. Contingent Liabilities are not recognised in the accounts. Further the nature of such liabilities, an estimate, etc. is enclosed as a part of Notes to accounts. Contingent assets are not recognised.

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 period.

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.

Cash flows are reported using the indirect method, whereby net profit before tax is adjusted for the effects of transactions of a non-cash nature, any deferrals or accruals 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.

Cash comprises cash on hand and demand deposits with banks. Cash equivalents are short term, highly liquid investments that are readily convertible into known amounts of cash which are subject to an insignificant risk of changes in value.