1. Additions to Land includes Rs.335.98 Lakhs towards purchase of compensatory afforestation land of 40.07 Acres and 11.19 Acres situated at Guledi village, Bheempur mandal, Adilabad District and Bember (V), Tanur (M), Nirmal District, Telangana respectively and which are proposed to be transferred to the forest department in lieu of forest land diverted for the company's plant operations situated at Mattapalli village of Mattampalli Mandal of Suryapet district.

2. Addition to Land includes undivided share of land to extent of 506.76 square yards added during the current year on account of capitalisation of Corporate Office Building pursuant to joint development agreement dated 11th June 2019 for the construction of corporate building situated at SD Road, Secunderabad, Telangana -500026.

3. There is no change in the constitution of the firm during the year

4. The firm Follows the same reporting period / dates as that of the Company.

5. The total capital of the firm as on the date of the company's Balance Sheet i.e. 31st March 2023 is Rs. 1238.17 lakhs

Note 3.6

Company has executed a Share Purchase Agreement dated 12th May, 2023 with Promoter group of Vishwamber Cements Limited and Vishwamber Cements Limited (VCL) for acquisition of 100% shareholding consisting of 77,67,430 equity shares of Rs. 10/- each in Vishwamber Cements Limited (VCL) for a total consideration of Rs. 16.24 crores. Upon acquisition of the above shares, Vishwamber Cements Limited becomes a wholly owned subsidiary of NCL Industries Ltd (NCLIL).

(a) Terms / Rights attached to the Equity Shares:The Company has one class of share capital, comprising ordinary shares of Rs. 10/- each. Subject to the Company's Articles of Association and applicable law, the Company's ordinary shares confer on the holder the right to receive notice of and vote at general meetings of the Company, the right to receive any surplus assets on a winding-up of the Company, and an entitlement to receive any dividend declared on ordinary shares.

c) Practical expedients

During the year company has entered into sales contracts with its customers where contracts are not executed, same has not been disclosed as per practical expedient as the duration of the contract is less than one year or right to receive the consideration established on completion of the performance by the company.

B. Significant judgements in the application of this standard

(i) Revenue is recognized by the company when the company satisfies a performance obligation by transferring a promised good or service to its customers. Asset/goods/services are considered to be transferred when the customer obtains control of those asset/goods/services.

(ii) The company considers the terms of the contract and its customary business practices to determine the transaction price. The transaction price is the amount of consideration to which an entity expects to be entitled in exchange for transferring promised goods or services to a customer, excluding amounts collected on behalf of third parties (for example, GST etc.).

(iii) The consideration promised in a contract with a customer may include fixed amounts, variable amounts, or both. Any further adjustment will be made by raising debit/credit notes on the customer. While determining the transaction price effects of variable consideration, constraining estimates of variable consideration, the existence of a significant financing component in the contract, non-cash consideration and consideration payable to a customer is also considered.

34. BorrowingsTerm Loans:

i) Term Loan of Rs.10.58 crores (2022: Rs.24.70 crores) from Axis Bank Ltd towards part takeover of Yes Bank Term Loan, at an interest rate Linked to MCLR @ 8.35% p.a repayable in 17 quarterly instalments starting from Oct'19. The loan amount sanctioned is Rs.60.00 Cr with no moratorium period

ii) Term of Loan of Rs.53.09 crores (2022: Rs.58.47 crores) from Axis Bank Ltd for WHR Project at Mattapally, at an interest rate Linked to MCLR @ 8.35% p.a repayable in 20 Structured quarterly instalments starting from Sept '21. The loan amount sanctioned is Rs.67.25 Crores with a moratorium period of 2 years.

iii) Term loan of Rs.9.67 crores (2022: Rs.22.55 crores) from HDFC Bank Ltd towards part takeover of Yes Bank Term Loan, at an interest rate Linked to MCLR @ 9.25% p.a repayable in 17 quarterly instalments starting from Oct'19. The loan amount sanctioned is Rs. Rs.54.75 Crores with no moratorium period

iv) Term Loan of Rs.29.25 crores (2022: Rs. 35.75 crores) from Axis Bank Ltd for Modernization of Line 1 at Mattapally, at an interest rate Linked to MCLR @ 8.35% p.a repayable in 24 Equal quarterly instalments of Rs.1.625 Crores starting from Dec'21. The loan amount sanctioned is Rs.39 Crores with a moratorium period of 1 year.

v) Term Loan of Rs.62.92 crores (2022: Rs.21.14 crores) from Kotak Bank Ltd towards Line -3 at Mattapally, at an interest Linked to MCLR @ 9.10% p.a repayable in 78 monthly instalments starting from May'23. The loan amount sanctioned is Rs.75 Crores with a moratorium period of 1.5 years.

vi) The Company availed a loan of Rs.31.21 crores (2022: Rs.37.46 crores) from AXIS Bank under the Emergency Credit Line Guarantee Scheme (ECLGS 2.0) notified by the Government of India in Two Tranches of Rs.25.00 Crores and Rs.13.50 Crores, repayable in 48 equated monthly instalments after a 24-month moratorium period from the date of disbursement, at an interest rate of 9% and 8.85% p.a linked to Repo rate.

vii) The Company availed a loan of Rs.14.80 crores (2022: Rs.19.60 crores) from HDFC Bank under the Emergency Credit Line Guarantee Scheme notified by the Government of India repayable in 48 equated monthly instalments after a 12-month moratorium period from the date of disbursement, at an interest rate of 9% p.a linked to Repo.

viii) All the above are secured by secured by first charge on Fixed assets of the Company excluding the assets disclosed in Note 2.1, ranking pari passu with other Term lenders, further secured by second charge on Current assets of company.

Loans repayable on demand from Banks:

i) Cash Credit from AXIS Bank Ltd Rs.Nil (2022 : Rs.9.73) at an interest rate Linked to MCLR at 8.65%. The sanctioned Limit is Rs.50.00 Cr.

ii) Cash Credit from HDFC Bank Ltd Rs.Nil (2022 : NIL) at an interest rate Linked to MCLR at 8.75%. The sanctioned Limit is Rs.25.00 Cr

iii) Cash Credit from State Bank of India Rs.Nil (2022 : 15.13 Cr) at an interest rate Linked to MCLR at 8.60%. The sanctioned Limit is Rs.20.00 Cr

iv) Cash Credit from Bank of Baroda Rs.Nil (2022 :12.35 Cr) at an interest rate Linked to MCLR at 8.30%. The sanctioned Limit is Rs.65.00 Cr.

v) Cash Credit from Kotak Bank Ltd Rs.Nil (2022 : NIL) at an interest rate Linked to MCLR at 8.60%. The sanctioned Limit is Rs.20.00 Cr.

vi) All the above Working Capital Loans are secured by first charge on current assets of the Company, ranking pari passu with other Working Capital lenders, further secured by second charge on fixed assets of company excluding the assets disclosed in Note 2.1 .

All the Above Term and Working capital Loans are further guaranteed by Mr.K.Ravi and Mr.K.Madhu in their

Personal Capacity.

Vehicle & Equipment Loans

Vehicle and Equipment Loans from various Banks are secured by Hypothecation of respective assets financed,

for a tenure of 35 to 47 months and carries Interest @ 7.85% to 9.00% p.a.

Deposits From Public

Public deposits represent deposits accepted from the public carrying interest varying from 8% to 10% p.a. The

maturity of these deposits falls on different dates depending on the date of each deposit.

35. Contingent Liabilities:

i) Based on the Legal opinion/advice obtained, no financial implication to the Company with respect to the following cases is perceived as on the Date of the Balance Sheet

ii) The Company has received a demand notice from Mines and Geology department for an amount of Rs. 91.43 crores, against which the Company has filed a writ petetion before the Honourable High court of Telangana and an interim order was passed by the Honourable court on payment of a predeposit of Rs. 18.28 Crores.

iii) The Company has given Counter Guarantees to Banks / Financial Institutions for Rs.1763.47 lakhs as at 31st March 2023 (Rs. 1555.20 lakhs as at 31st March 2022) against the Bank Guarantees obtained.

36. Capital Comittments

Capital expenditure contracted for at the end of the reporting period but not recognised/provided in the books as liabilities is as follows:

37. Employee Benefits

a) Provident Fund: Company pays fixed contribution to provident fund at predetermined rates to the government authorities. The contribution of Rs. 286.43 lakhs (Previous year Rs. 259.19 lakhs ) including administrative charges is recognized as expense and is charged in the Statement of Profit and Loss.

b) Gratuity: Gratuity is provided as per the payment of Gratuity Act 1972, covering all the eligible employees. Defined Benefit Plan is payable to the qualifying employees on separation. Company considers the laibilities with regard to gratuity, are independently measured on actuarial valuation carried out as on Balance Sheet date. The liability has been assessed using Projected Unit Credit Method. 100% of the Gratuity Plan Asset is entrusted to LIC of India under their group gratuity Scheme

Reconciliation of opening and closing balances of the present value of the defined benefit obligation as at the year ended March 31, 2023 are as follows:

Fair Value Hierarchy Management considers that,the carrying amount of those financial assets and financial liabilies that are not subsequently measured at fair value in the Financial Statements approximate their transaction value. No financial instruments are recognized and measured at fair value for which fair values are determined using the judgments and estimates. The fair value of Financial Instruments referred below has been classified into three categories depending on the inputs used in the valuation technique. The hierarchy givesthe highest priority to quoted prices in active market for identical assets or liabilies. (Level-1measurements) and lowest priority to unobservable (Level-3 measurements). Investments in subsidiary is at cost.

b) Financial Risk Management:

The Company's actual exposure to a variety of financial risks viz.,market risk, credit risk and liquidity risk. The Company's focus is to foresee the unpredictability of financial markets and seek to minimize potential adverse effects on its financial performance. The primary market risk to the Company is credit risk and liquidity risk.

c ) Management of Market Risk:

Market risks comprises of Price risk and Interest rate risk. The Company does not designate any fixed rate financial assets as fair value through Profit and Loss nor at fair value through OCI. Therefore, the Company is not exposed to any interest rate risk. Similarly, the Company does not have any Financial Instrument which is exposed to change in price.

d) Foreign Currency Risks:

The Company is exposed to foreign exchange risk arising from various Currency exposures primarily with respect to the US Dollars (USD)/EURO, for the imports being made by the Company.

e) Credit Risk:

Credit risk is the risk of financial loss to the Company if a customer fails to meet its contractual obligations. The maximum exposure to the credit risk at the reporting date is primarily from trade receivables. The company considers that, all the financial assets that are not impaired and past due as on each reporting dates under review are considered credit worthy

Credit risk is the risk arising from credit exposure to customers, cash and cash equivalents held with banks and current and non-current financial assets.

With respect to credit exposure from customers, the Company has a procedure in place aiming to minimise collection losses. Credit Control team assesses the credit quality of the customers, their financial position, past experience in payments and other relevant factors. Cash or other collaterals are obtained from customers as and when required.

The carrying amount of trade receivables represents company's maximum exposure to the credit risk. No other financial asset carry a significant exposure with respect to the credit risk. Bank deposits and cash balances are placed with reputable banks .

The credit quality of financial assets is satisfactory, taking into account the allowance for credit losses. The management also considers the factors that may influence the credit risk of its customer base, including default risk associated with the industry and country in which customers operate. Credit quality of a customer is assessed based on the past track record.

An impairment analysis is performed at each reporting date on an individual basis for receivables. The maximum exposure to credit risk at the reporting date is the carrying value of each class of financial assets. The Company also holds deposits as security from certain customers to mitigate credit risk.

f) Liquidity Risk:

The company's liquidity needs are monitored on the basis of monthly projections. The principal sources of liquidity are cash and cash equivalents, cash generated from operations and availability of cash credit and overdraft facilies to meet the obligations as and when due.

Short term liquidity requirements consist mainly of sundry creditors, expenses payable and employee dues during the normal course of business. The company maintains sufficient balance in cash and cash equivalents and working capital facilities to meet the short term liquidity requirements.

The company assesses long term liquidity requirements on a periodical basis and manages them through internal accruals and commited credit lines.

40. Capital Management

The Company's objectives when managing capital are to Safeguard their ability to continue as a going concern, so that they can continue to provide returns for shareholders and benefits for other stakeholders, and maintain an optimal capital structure to reduce the cost of capital.

In order to maintain or adjust the capital structure, the group may adjust the amount of dividends paid to shareholders, return capital to shareholders, issue new shares or sell assets to reduce debt.

Consistent with others in the industry, the group monitors capital on the basis of the following gearing ratio: .

Net debt (total borrowings net of cash and cash equivalents) divided by Total 'equity' (as shown in the balance sheet, including non-controlling interests).

In order to achieve the overall objective , the Company's capital management, amongst other things, aims to ensure that it meets financial covenants attached to the interest-bearing loans and borrowings that define capital structure requirements.

There are no changes in the objectives, policies or processes for managing capital during the years ended 31 March 2023 and 31 March 2022.

41 Earnings Per Share

1. Debt = Long Term Secured Loans Current Maturities of Long Term Loans Long Term unsecured Loans Current Maturities of unsecured Loans

2. Net worth= Equity Share Capital Reserves and Surplus

3. Average Inventory =(Opening balance Closing balance)/2

4. Average Trade Receivables =(Opening balance Closing balance)/2

5. Average Trade Payables =(Opening balance Closing balance)/2

6. Capital Employed =Total Assets -Current Liabilities

Notes

1. During the financial year 2022-23 increase in cost of materials in comparision with previous financial year which directly effected the operating margins and as a consequence the variance in ratios are as reported above

2. Additional Loans were obtained for various ongoing projects, hence the variance in ratios as reported above.

Note 46:

Other information as required under Scedule III of Companies Act, 2013:

i) 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:

(a) Directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party (Ultimate Beneficiaries) or

(b) Provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries."

(ii) The Company has not advanced, loaned or invested funds to any other person(s) or entity(ies), including foreign entities (Intermediaries) with the understanding that the Intermediary shall:

(a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the company (Ultimate Beneficiaries) or

(b) provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries"

"iii) The Company does not have any Benami property, where any proceeding has been initiated or pending against the Company for holding any Benami property"

iv) The Company has not been declared wilful defaulter by any bank or financial institution or government or any government authority.

v) The Company has no Loans or Advances in the nature of Loans to specified persons that are Repayable on Demand or without specifying any terms or period of repayment.

vi) The Company had no transactions with Companies struck off under section 248 of the Companies Act, 2013 or section 560 of the Companies Act, 1956 during the year.

vii) The Company has not any such transaction which is not recorded in the books of accounts that has been surrendered or disclosed as income during the year in the tax assessments under the Income Tax Act, 1961 (such as, search or survey or any other relevant provisions of the Income Tax Act, 1961)

viii) The Code on Social Security, 2020 (“Code”) relating to employee benefits during employment and postemployment benefits received presidential assent in September 2020. The Code has been published in the Gazette of India. However, the date on which the Code will come into effect has not been notified. The Company will assess the impact of the Code when it comes into effect and will record any related impact in the period the Code becomes effective.

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

x) The Company has not traded or invested in Crypto currency or Virtual Currency during the financial year. Note 47

Previous year figures have been re-casted / restated wherever necessary including those as required in keeping with revised Schedule III amendments

48 Segmental Reporting :

Based on the “management approach” as defined in Ind AS 108, the Chief Operating Decision Maker (CODM) evaluates the company's performance and allocates resources based on an analysis of various performance indicators by business segments. Accordingly, information has been presented for each business segment. The accounting principles used in the preparation of the financial statements are consistently applied to record revenue and expenditure in individual business segments, and are as set out in the significant accounting policies. Business segments of the company are.

1. Cement2. Boards3. RMC4. Energy5. Doors

Types of products and services in each business segments (1) OPC/PPC/53 S Cement (2) Plain and laminated Cement Bonded Particle Boards . (3) Ready Mix Concrete. (4) Generation of Hydel power. (5) Doors

Segment Revenue and Expense

Details regarding revenue and expenses attributable to each segment must be disclosed

Segment assets include all operating assets in respective segments comprising of net fixed assets and current

assets, loans and advances etc. Assets relating to corporate and construction are included in unallocated

segments. Segment liabilities include liabilities and provisions directly attributable to respective segment.

Segment revenues and results: