1. SIGNIFICANT ACCOUNTING POLICIES & NOTES
ON FINANCIAL STATEMENT:

A. Statement of Compliance and Basis of
Preparation of Standalone Financial Statements

These Statements of the company have been prepared
in accordance with Indian Accounting Standards
(herein after referred to as "IndAS") as notified by
the MCA under section 133 of the Companies Act,
2013 read with Companies Act (Indian Accounting
Standards) Rules, 2015, as amended and other relevant
provisions of the Act.The company is covered in the
definition of Company other than Banking & NBFCs as
defined in Companies (Indian Accounting Standards)
(Amendment) Rules, 2016. Accordingly Divison-II of the
Schedule-III as specified under the Companies Act, 2013
has been applied for the preparation & presentation of
the Standalone Financial Statements.

''The company has adopted IndAS with a transition date
April 01, 2024 for statutory filing, According to IndAS-
101"First time Adoption of Indian Accounting Standard".

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 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 ascertains its operating cycle
for the purpose of current/non-current classification of
assets and liabilities.

All amounts included in the Audited Financial Information
are presented in Indian Rupees ("INR" or "g" or "Rs."),
which is also the Company''s functional currency and all
values are stated as INR or g or Rs. Lakhs rounded of up
to two decimals, except when otherwise indicated.

B. Basis of preparation and presentation:

Historical cost convention:

''The Audited Financial Information of the Company
have been prepared on a historical cost basis, except
for the following assets and liabilities which have been
measured at fair value:

(a) Certain financial assets and liabilities measured
at fair value (refer accounting policy regarding
financial instruments) and

(b) Defined benefits plan- plan assets are measured at
fair value.

Current versus non-current classification:

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

''An asset is treated as current when it is:

- Expected to be realized or intended to be sold or
consumed in normal operating cycle; or

- Held primarily for the purpose of trading; or

- Expected to be realized within twelve months after
the reporting period; or

- Cash or cash equivalent unless restricted from
being exchanged or used to settle a liability for at
least twelve months after the reporting period. All
other assets are classified as non-current.

''A liability is current when:

- It is expected to be settled in normal operating cycle;
or

- It is held primarily for the purpose of trading; or

- It is due to be settled within twelve months after the
reporting period; or

- There is no unconditional right to defer the settlement
of the liability for at least twelve months after the
reporting period.

All other liabilities are classified as non-current.

Deferred tax assets and liabilities are classified as non¬
current assets and liabilities respectively.

The operating cycle is the time between the acquisition
of assets for processing and their realization in cash and
cash equivalents. The Company has identified twelve
months as its operating cycle.

2. ''KEY ACCOUNTING JUDGMENTS, ESTIMATES
AND ASSUMPTIONS:

The preparation of the Audited Financial Information
in conformity with Ind AS requires management to
make estimates, judgements and assumptions. These

estimates, judgements and assumptions affect the
application of accounting policies and the reported
amounts of assets and liabilities, the disclosures of
contingent assets and liabilities at the date of the
Audited Financial Information and the reported amounts
of revenues and expenses during the period. Application
of accounting policies that require critical accounting
estimates involving complex and subjective judgements
and the use of assumptions in these Audited Financial
Information have been disclosed in the notes below:

A. Judgements:

In the process of applying Company''s accounting
policies, management has made the following
judgments, which have the most significant effect
on the amounts recognised in the Audited Financial
Information.

(a) Leases:

''The Company determines the lease term as the
non-cancellable term of the lease, together with any
periods covered by an option to extend the lease if it
is reasonably certain to be exercised, or any periods
covered by an option to terminate the lease, if it is
reasonably certain not to be exercised.

''The Company applies judgment in evaluating
whether it is reasonably certain whether to exercise
the option to renew or terminate the lease. That
is, it considers all relevant factors that create an
economic incentive for it to exercise either the renewal
or termination. After the commencement date, the
Company re-assesses the lease term if there is a
significant event or change in circumstances that is
within its control and affects its ability to exercise or
not to exercise the option to renew or to terminate (e.g.,
construction of significant leasehold improvements
or significant customisation to the leased asset).

B. Estimates and assumptions:

Key sources of estimation

''The preparation of financial statements in conformity
with Ind AS requires that the management of the
Company make estimates and assumptions that
affect the reported amounts of income and expenses
of the period, the reported balances of assets and
liabilities and the disclosures relating to contingent
liabilities as of the date of the financial statements.
The estimates and underlying assumptions made by
management are explained under respective policies.
Revisions to accounting estimates include useful lives
of property, plant and equipment & intangible assets,
allowance for expected credit loss, future obligations in
respect of retirement benefit plans, expected cost
of completion of contracts, fair value/recoverable

amount measurement, etc. Difference, if any, between
the actual results and estimates is recognised in the
period in which the results are known.

''The key assumptions concerning the future and other
key sources of estimation uncertainty at the reporting
date, that have a significant risk of causing a material
adjustment to the carrying amounts of assets and
liabilities, are described below. Accounting estimates
could change from period to period. Actual results could
differ from these estimates. Appropriate changes in
estimates are made as management becomes aware
of changes in circumstances surrounding the estimates.
Changes in estimates are reflected in the Audited
Financial Information in the period in which changes are
made and if material, then effects are disclosed in the
notes to the Audited Financial Information.

(a) Taxes:

''Uncertainties exist with respect to the interpretation of
tax regulations, changes in tax laws, and the amount
and timing of future taxable income. Given the wide
range of business relationships differences arising
between the actual results and the assumptions
made, or future changes to such assumptions, could
necessitate future adjustments to tax income and
expense already recorded. The Company establishes
provisions, based on reasonable estimates. The
amount of such provisions is based on various
factors, such as experience of previous tax audits
and differing interpretations of tax regulations by the
taxable entity and the responsible tax authority.

(b) Defined benefit plans:

''The cost of defined benefit plans (i.e. gratuity benefit)
is determined using actuarial valuations. An actuarial
valuation involves making various assumptions
which may differ from actual developments in
the future. These include the determination of the
discount rate, future salary increases, mortality rates
and future pension increases. Due to the complexity
of the valuation, the underlying assumptions and
its long-term nature, a defined benefit obligation is
highly sensitive to changes in these assumptions. All
assumptions are reviewed at each reporting date.
The same is disclosed in Note 40.A "Employee Benefit
Expenses".

(c) Fair value measurement of financial instruments:

''When the fair values of financial assets and financial
liabilities recorded in the balance sheet cannot
be measured based on quoted prices in active
markets, their fair value is measured using valuation
techniques, including the discounted cash flow
(DCF) model, which involve various judgements and
assumptions.

(d) Property, plant and equipment:

''Property, plant and equipment represents significant
portion of the asset base of the Company. The charge
in respect of periodic depreciation is derived after
determining an estimate of assets expected useful
life and expected value at the end of its useful life. The
useful life and residual value of Company''s assets
are determined by management at the time asset
is acquired and reviewed periodically including at
the end of each reporting period. The useful life is
based on historical experience with similar assets,
in anticipation of future events, which may have
impact on their life such as change in technology
or commercial obsolescence arising from changes
or improvements in production or from a change in
market demand of the product or service output of
the asset.

C. Property, Plant & Equipments and Intangible Assets

Transition to INDAS for presentation of Standalone
Financial Statements

On transition to Ind AS, the Company has elected to
continue with the carrying value of all the items of
property, plant and equipment recognized as at 01
April,2024, measured as per the previous GAAP, and use
that carrying value as the deemed cost of such property,
plant and equipment.

Initial Measurement & Subsequent recognition

The Property, Plant and Equipments & Intangible Assets
are stated at cost, less accumulated depreciation and
impairment ,if any. Direct costs are capitalised until
such assets are not put to use. The cost comprises of
purchase price, taxes, duties, freight and other incidental
expenses directly attributable and related to acquisition
and installation of the concerned assets and are further
adjusted by the amount of input tax credit availed
wherever applicable. Subsequent costs are included
in asset''s carrying amount or recognised as separate
assets, as appropriate, only when it is probable that
future economic benefit associated with the item will flow
to the Company and the cost of item can be measured
reliably. The present value of the expected cost for
thedecommissioning of an asset after its use is included
in the cost of the respective asset if the recognition
criteria for a provision are met.

Derecognition

An item of property, plant and equipment and any
significant part initially recognized is derecognized
upon disposal or when no future economic benefits
are expected from its use or disposal. Any gain or loss
arising on derecognition of the asset (calculated as the
difference between the net disposal proceeds and the

carrying amount of the asset) is included in the income
statement when the asset is derecognised.

''The residual values, useful lives and methods of
depreciation of property, plant and equipment are
reviewed at each financial year end and adjusted
prospectively, if appropriate.

D. Depreciation and Amortisation

Depreciation on Property, Plant and Equipments is
provided on the "written-down value method" as

prescribed under Schedule -II of Companies Act''2013 over
the useful life of assets estimated by the Management.
Depreciation for assets purchased/ sold during a period
is proportionately charged.

''The residual values, useful lives and methods of
depreciation of property, plant and equipment are
reviewed at each financial year end and adjusted
prospectively, if appropriate.

E. Investment Property

Investment property is property (land or building) held
by the owner to earn rentals or for capital appreciation
or both, rather than for use in the production or supply of
goods or services or for administrative purposes or sale
in the ordinary course of business.

Intial Measurement:

Investment properties are measured initially at their
cost of acquisition. The cost comprises purchase price,
borrowing cost, if capitalization criteria are met and
directly attributable cost of bringing the asset to its
working condition for the intended use.

Subsequent Measurement:

Investment properties are subsequently measured in
accordance with Cost Model as prescribed in IndAS-40 i.e.
at cost less accumulated depreciation and impairment
losses (if any).

Depreciation

Depreciation is calculated on investment properties by
applying the Written Down Value Method to their residual
values over the useful lives.

Derecognition:

The carrying amount of an item of property is
derecognised on disposal or when no future economic
benefits are expected from its use or disposal. The gain or
loss arising from the derecognition of an item of property
is measured as the difference between the net disposal
proceeds and the carrying amount of the item and is
recognised in the statement of Profit and Loss when the
item is derecognised

Disposal:

Any gain or loss on disposal of an Investment Property
is recognised in the Standalone Statement of Profit and
Loss.

F. Cash and cash Equivalents

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

G. Provision For Current And Deferred Tax

Current Tax: Current income-tax is measured at the
amount expected to be paid to the tax authorities in
accordance with the Income-tax Act, 1961 enacted
in India and tax laws prevailing in the respective tax
jurisdictions where the company operates. The tax rates
and tax laws used to compute the amount are those that
are enacted or substantively enacted, at the reporting
date.

Deferred tax: is provided in full, using the liability method,
on temporary differences arising between the tax bases
of assets and liabilities and their carrying amounts in the
financial statements. However, deferred tax liabilities are
not recognized if they arise from the initial recognition of
goodwill. Deferred tax is determined using tax rates (and
laws) that have been enacted or substantially enacted
by the end of the reporting period and are expected to
apply when the related deferred income tax asset is
realized or the deferred income tax liability is settled.

H. Financial Instruments

''A financial instrument is any contract that gives rise to
a financial asset of one entity and a financial liability or
equity instrument of another entity.

"(I) Financial Assets:

The Company classifies its financial assets at Fair value
through Other Comprehensive Income (FVOCI) or Fair
value through Profit & Loss (FVTPL)

The classification is based upon two tests namely
Business Model Test (BMT) and Contractual Cash Flow
Test (CCFT).

BMT: where entity''s objective is to hold assets for
collecting contractual cash flows.

CCFT: Where contractual cash flows are solely payment
of principal and interest on a specified due dates.

Measurement & Recognition of Financial Assets
Investment in Equity Instrument

The company has invested in equity instruments of both
listed entities and other unlisted or private companies.
These investments are carried at Fair Value Through
Other Comprehensive Income (FVTOCI). As a result,
any changes in the fair value of these instruments are
reflected in Other Comprehensive Income (OCI), except
for dividends. Even after the sale of an investment, there
is no recycling of the amounts previously recognized in
OCI. However, the company has the option to transfer the
cumulative gain or loss within the equity section.

Investment in Mutual Funds

All investments in Mutual funds instruments classified
under financial assets are initially measured at fair
value. The Company opted to recongnise mutual funds
through OCI.

Loans & Advances

The company extended loans and advances to both
related and unrelated parties. To ensure proper
classification of these financial assets, the Business Model
and Contractual Cash Flow tests must be met. However,
the loans and advances did not pass the Contractual
Cash Flow test (CCFT), leading the company to classify
them at Fair Value Through Profit & Loss (FVTPL).

The company has adopted IndAS with a transition date
April 01, 2023 for statutory filing, According to IndAS-
101"First time Adoption of Indian Accounting Standard"
the company has option to carry loans & advance at
its fair value or it may continue to carry at its historical
cost which is known as ''deemed cost''. The company has
opted to carry the loans at deemed cost in pursuance of
IndAS-101.

Derecognition

''Financial assets are derecognized (removed from the
company''s statement of financial position) primarily
when:

1. The rights to receive cash flows from the asset have
expired, or

2. The company has transferred its rights to receive
cash flows to a third party under a "pass through"
arrangement and either:

a) The company transferred the rights to receive
cash flows from the financial asset, or

b) The company retained the contractual right to
receive the cash flows but assumes the obligation
to pay them to one or more recipients.

If the company has transferred substantially
all the risks and rewards of ownership of the

financial assets, the asset is derecognized. If not,
the asset is not derecognized. If the company
neither transferred a financial asset nor retains
substantially all risks and rewards of ownership, the
financial asset is derecognized if the company has
not retained control of it. If the company retains
control, the asset continues to be recognized to the
extent of its continuing involvement in the financial
asset.

Impairment

''In compliance with Ind AS 109, the company has
evaluated and measured its Expected Credit Loss for
impairment loss on financial assets. As of the review
period, no such expected loss has been recognized.

(II) Financial Liabilities:

Recognition & Measurements

''In accordance with the accounting standards, financial
liabilities are initially recorded at their fair value and are
subsequently measured based on either the Fair Value
Through Profit & Loss (FVTPL) method or at amortized
cost. The financial liabilities of the company include
trade payables, short-term borrowing, and other
financial liabilities. For the purpose of the Standalone
Financial Statements, all these liabilities are measured
at amortized cost.

Derecognition

''A financial liability is derecognized from the company''s
statement of financial position when the obligation
under the liability is settled, canceled, or reaches its
maturity date. If an existing financial liability is replaced
by another liability from the same lender but with
significantly different terms, or if the terms of the existing
liability are substantially modified, this exchange or
modification is considered as the derecognition of the
original liability and the recognition of a new liability.

Any difference between the carrying amounts of the
original liability and the newly recognized liability is
recorded in the statement of profit and loss.

I. Current Assets, Loans & Advances

''In the opinion of the Board and to the best of its knowledge
and belief the value on realisation of current assets in the
ordinary course of business would not be less than the
amount at which they are stated in the Balance Sheet
and repayable on demand.

J. Revenue Recognition

(a) The company generally follows the mercantile
system of accounting and recognizes Income &
Expenditure on accrual basis.

(b) Revenue is recognised to the extent that it is
possible that, the economic benefits will flow to the
company and the revenue can be reliably estimated
and collectability is reasonably assured.

(c) Revenue from sale of goods and services are
recognised when control of the products being sold
is transferred to our customer and when there are no
longer any unfulfilled obligations. The performance
obligations in our contracts are fulfilled at the time
of dispatch, delivery or upon formal customer
acceptance depending on customer terms.

(d) Revenue is measured on the basis of sale price,
after deduction of any trade discounts, volume
rebates and any taxes or duties collected on behalf
of the Government such as goods and service tax
etc. Professional experience is used to estimate the
provision for such discounts and rebates. Revenue is
only recognized to the extent that it is highly probable
a significant reversal will not occur.

(e) Interest income is recognized on a time proportion
basis taking into account the amount outstanding
and the rate applicable.

K. Foreign Exchange Gain/(Loss)

During the year the company has not recognised any
Foreign Exchange Gain or Loss.

L. Related Party Transactions

According to IndAS-24 the company has presented
disclosures in "Note: 34"-RPT.

M. Title deeds of immovable property not held in the
name of the company:

''The Title deed of all immovable properties disclosed in
the financial statements included under Property, Plant
and Equipment are held in the name of the Company as
at the balance sheet date.

N. Revaluation of Property, Plant and Equipment:

''The Company has not revalued any of its Property, Plant
and Equipment (including right-of-use assets) and
intangible assets during the year.

O. Loans and Advances in the nature of loan repayable
on demand or without specifying the terms or period of
repayment:

''During the year, the company has not granted any Loans
or Advances in the nature of loans to the related parties
(as defined under Companies Act, 2013), accordingly the
above clasue are not applicable.

P. Benami Property held:

''There is no proceeding have been initiated or pending
against the company for holding any benami property
under the Benami Transaction ( prohibition ) Act , 1988
(45 of 1988) and the rules made thereunder.

Q. Working capital limits from Banks/FIs on the basis of
security of Current Assets

''The Company has no borrowings from the banks or
financial institutions on the basis of current assets.

R. Wilful defaulter

''The company is not declared wilful defaulter by any
bank or financial Institution or other lender.

S. Relationship with struck off Companies

''The company has no transaction with companies struck
off under section 248 of the Companies Act, 2013 or
section 560 of Companies Act, 1956.

T. Registration of charge or satisfaction with Registrar
of Companies

''The company has no charge or satisfaction yet to be
registered with Registrar of Companies.

U. Compliance with number of layers of Companies

The company has Subsidiary and provisions prescribed
under clause (87) of section 2 of the Act read with
Companies ( Restriction on numbers of Layers ) Rules ,
2017 are complied.

V. Compliance with Approved Scheme(s) of
Arrangements

During the year under review, the company has not
made any application for Scheme of Arrangement.
Accordingly, no approval from the Competent Authority
in terms of Section 230 to 237 of the Companies Act, 2013
is required to be obtained by the company.

W. Undisclosed Income

The Company has no such transaction not recorded in the
books of account that has been surrendered or disclosed
as income during the year in the tax assessment under
the Income Tax Act 1961

X. Details of Crypto Currency or Virtual Currency

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

1. Corporate Information:

The Company was originally incorporated on
November 8, 2002 vide Certificate of Incorporation
bearing Registration Number 156371 issued by the
Registrar of Companies, Mumbai with the name & style
of MARK-O-LINE TRAFFIC CONTROLS PRIVATE LIMITED.
The company changed its name to MARKOLINES
TRAFFIC CONTROLS PRIVATE LIMITED with approval
of Central Government and ROC dated March 12,
2018 and again company converted to public limited
company and changed its name to MARKOLINES
PAVEMENT TECHNOLOGIES LIMITED with approval of
Central Government and ROC dated August 10, 2021.
The company has passed shareholders resolution
to change its name to "Markolines Pavement
Technologies Limited" vide EGM dated 17th August,
2021. The Company is engaged in the business
of providing highway operations & maintenance
services. Since inception the Company has shown
increasing trend in the revenues by endeavoring
to reach consumers at large by providing quality
products.

2. SIGNIFICANT ACCOUNTING POLICIES

(a) Basis of Preparation:

The financial statements of the Company have been
prepared in accordance with generally accepted
accounting principles in India (Indian GAAP). The
Company has prepared these financial statements to
comply in all material respects with the accounting
standards notified under section 133 of the Companies
Act 2013, read together with paragraph 7 of the
Companies (Accounts) Rules, 2014. The financial
statements have been prepared on an accrual
basis and under the historical cost convention. The
accounting policies have been consistently applied
except where specifically stated in financial statement
and notes to accounts of the non-conformity with the
relevant Accounting Standard.

(b) Significant Accounting Policies:

(a) Use of Estimates: The preparation of financial
statements in conformity with Indian GAAP requires
management to make judgments, estimates and
assumptions that affect the reported amounts of
assets and liabilities and disclosure of contingent
liabilities at the end of the reporting period and the
reported amounts of revenue and expenses during
the reported period. Although these estimates
are based on 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.

(b) Property, Plant & equipment and Intangible
assets: Property, Plant & equipment and
Intangible assets are stated at cost of acquisition
or construction less accumulated depreciation
and impairment loss, if any. The cost of an asset
comprises of its purchase price and any directly
attributable cost of bringing the assets to working
condition for its intended use. Expenditure
on additions, improvements and renewals is
capitalized and expenditure for maintenance and
repairs is charged to profit and loss account.

Depreciation is provided on Written Down value
basis based on life assigned to each asset in
accordance with Schedule II of the Act or as per
life estimated by the Management.

An asset is treated as impaired asset when the
carrying cost of the asset exceeds its recoverable
value. An impairment loss is charged to the profit
& loss account is identified as impaired. The
impairment loss recognized in prior accounting
period is reversed if there has been changed in the
estimate of recoverable amount.

(c) Revenue Recognition: Revenue is recognized
when it is earned and no significant uncertainty
exists as to its realization or collection. Revenue
from sale of goods or services are recognized
on delivery of the products or services, when all
significant contractual obligations have been
satisfied, the property in the goods is transferred
for price, significant risk and rewards of ownership
are transferred to the customers and no effective
ownership is retained.

In the financial statement, revenue from operation
does not include Indirect taxes like sales tax and/
or Goods & service tax.

(g) Taxation: Tax expenses comprises of current and deferred tax. Current income tax is measured at the
amount expected to be paid to the Tax Authorities in accordance with the Income Tax Act''1961 enacted or
substantively enacted at the reporting date.

Deferred Tax Assets or Deferred Tax Liability is recognized on timing difference being the difference between
taxable incomes and accounting income. Deferred Tax Assets or Deferred Tax Liability is measured using the
tax rates and tax laws that have been enacted or substantively enacted at the Balance Sheet date. Deferred
Tax Assets arising from timing differences are recognized to the extent there is a reasonable certainty that the
assets can be realized in future.

(h) Borrowing Cost: Borrowing Cost includes interest and amortization 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 capitalized as part of the cost of the respective asset. All other borrowing costs are expensed in the
period they occur.

(i) Segment Reporting: The Company is engaged in business of providing services of infrastructure operations
like road and related infrastructure construction and road maintenance. Considering the nature of Business
and Financial Reporting of the Company, the Company is operating in following two Segments:

i. Highway maintenance services

ii. Specialized construction services

Hence segment reporting is applicable to the company.

2. SIGNIFICANT ACCOUNTING POLICIES

(A) Basis of Preparation

The financial statements of the Company have been prepared in accordance with generally accepted accounting principles in India (Indian GAAP). The Company has prepared these financial statements to comply in all material respects with the accounting standards notified under section 133 of the Companies Act 2013, read together with paragraph 7 of the Companies (Accounts) Rules, 2014. The financial statements have been prepared on an accrual basis and under the historical cost convention. The accounting policies have been consistently applied except where specifically stated in financial statement and notes to accounts of the non-conformity with the relevant Accounting Standard.

(B) Significant Accounting Policies

(a) Use of Estimates

The preparation of financial statements in conformity with Indian GAAP requires management to make judgments, estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent liabilities at the end of the reporting period and the reported

amounts of revenue and expenses during the reported period. Although these estimates are based on 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.

(b) Property, Plant & equipment and Intangible assets:

Property, Plant & equipment and Intangible assets are stated at cost of acquisition or construction less accumulated depreciation and impairment loss, if any. The cost of an asset comprises of its purchase price and any directly attributable cost of bringing the assets to working condition for its intended use. Expenditure on additions, improvements and renewals is capitalized and expenditure for maintenance and repairs is charged to profit and loss account.

Depreciation is provided on Written Down value basis based on life assigned to each asset in accordance with Schedule II of the Act or as per life estimated by the Management.

An asset is treated as impaired asset when the carrying cost of the asset exceeds its recoverable value. An impairment loss is charged to the profit & loss account is identified as impaired. The impairment loss recognized in prior accounting period is reversed if there has been changed in the estimate of recoverable amount.

(c) Revenue Recognition

Revenue is recognized when it is earned and no significant uncertainty exists as to its realization or collection. Revenue from sale of goods or services are recognized on delivery of the products or services, when all significant contractual obligations have been satisfied, the property in the goods is transferred for price, significant risk and rewards of ownership are transferred to the customers and no effective ownership is retained.

In the financial statement, revenue from operation does not include Indirect taxes like sales tax and/or Goods & service tax.

(d) Investments

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

On initial recognition, all investments are measured at cost. The cost comprises price and directly attributable acquisition charges such as brokerage, fees and duties.

Current investments are carried in the financial statements at lower of cost and fair value determined on an individual investment basis. Long term investments are carried at cost. However, provision for diminution in value is made to recognize a decline other than temporary in the value of Investments.

On disposal of investment, the difference between its carrying amount and net disposal proceeds are charged or credited to the statement of profit and loss.

(e) Inventories

Inventory of W-I-P and Raw materials are valued at lower of cost and net realizable value. Cost is determined on FIFO basis.

Net realizable value is the estimated selling price in the ordinary course of business, less estimated costs of completion and estimated costs necessary to make the sale.

There is no stock of finished goods lying with the company.

(f) Employee Benefits

Retirement benefit in the form of provident fund is a defined contribution scheme. The contribution to the provident fund is charged to the statement of profit and loss for the year when an employee renders the related services.

During the year gratuity payable to employees is NIL based upon actuarial valuation report.

Leave encashment to the employees are accounted for as & when the same is claimed by eligible employees.

I. Defined contribution plans

The Company has classified the various benefits provided to employees as under:

a. Employee State Insurance Fund

b. Employee Provident Fund

II. Defined benefit plans

Gratuity

The Company should provide for gratuity for employees in India as per the Payment of Gratuity Act, 1972. Employees who are in continuous service for a period of 5 years are eligible for gratuity. The amount of gratuity payable on retirement/ termination is the employees last drawn basic salary per month computed proportionately for 15 days salary multiplied for the number of years of service, subject to a payment ceiling of INR 20,00,000/-.

Based on the actuarial valuation obtained in this respect, the following table sets out the details of the employee benefit obligation as at balance sheet date:

(i) Segment Reporting

The Company is engaged in business of providing services of infrastructure operations like road and related infrastructure construction and road maintenance. Considering the nature of Business and Financial Reporting of the Company, the Company is operating in following two Segments:

1.Highway maintenance services 2.Specialized construction services

Hence segment reporting is applicable to the company.

2.1 SIGNIFICANT ACCOUNTING POLICIES

1. Corporate Information:

The Company was originally incorporated on November 8, 2002 vide Certificate of Incorporation bearing Registration Number 156371 issued by the Registrar of Companies, Mumbai with the name & style of MARK-O-LINE TRAFFIC CONTROLS PRIVATE LIMITED. The company changed its name to MARKOLINES TRAFFIC CONTROLS PRIVATE LIMITED with approval of Central Government and ROC dated March 12, 2018 and again company converted to public limited company and changed its name to MARKOLINES PAVEMENT TECHNOLOGIES LIMITED with approval of Central Government and ROC dated August 10, 2021.

The company has passed shareholders resolution to change its name to "Markolines Pavement Technologies Limited" vide EGM dated 17th August, 2021.

The Company is engaged in the business of providing highway operations & maintenance services. Since inception the Company has shown increasing trend in the revenues by endeavoring to reach consumers at large by providing quality products.

2. SIGNIFICANT ACCOUNTING POLICIES

(A) Basis of Preparation:

The financial statements of the Company have been prepared in accordance with generally accepted accounting principles in India (Indian GAAP). The Company has prepared these financial statements to comply in all material respects with the accounting standards notified under section 133 of the Companies Act 2013, read together with paragraph 7 of the Companies (Accounts) Rules, 2014. The financial statements have been prepared on an accrual basis and under the historical cost convention. The accounting policies have been consistently applied except where specifically stated in financial statement and notes to accounts of the non-conformity with the relevant Accounting Standard.

(B) Significant Accounting Policies:

(a) Use of Estimates:

The preparation of financial statements in conformity with Indian GAAP requires management to make judgments, estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent liabilities at the end of the reporting period and the reported amounts of revenue and expenses during the reported period. Although these estimates are based on 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.

(b) Property, Plant & equipment and Intangible assets:

Property, Plant & equipment and Intangible assets are stated at cost of acquisition or construction less accumulated depreciation and impairment loss, if any. The cost of an asset comprises of its purchase price and any directly attributable cost of bringing the assets to working condition for its intended use. Expenditure on additions, improvements and renewals is capitalized and expenditure for maintenance and repairs is charged to profit and loss account.

Depreciation is provided on Written Down value basis based on life assigned to each asset in accordance with Schedule II of the Act or as per life estimated by the Management.

An asset is treated as impaired asset when the carrying cost of the asset exceeds its recoverable value. An impairment loss is charged to the profit & loss account is identified as impaired. The impairment loss recognized in prior accounting period is reversed if there has been changed in the estimate of recoverable amount.

(c) Revenue Recognition:

Revenue is recognized when it is earned and no significant uncertainty exists as to its realization or collection. Revenue from sale of goods or services are recognized on delivery of the products or services, when all significant contractual obligations have been satisfied, the property in the goods is transferred for price, significant risk and rewards of ownership are transferred to the customers and no effective ownership is retained.

In the financial statement, revenue from operation does not include Indirect taxes like sales tax and/or Goods & service tax.

(d) Investments:

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

On initial recognition, all investments are measured at cost. The cost comprises price and directly attributable acquisition charges such as brokerage, fees and duties.

Current investments are carried in the financial statements at lower of cost and fair value determined on an individual investment basis. Long term investments are carried at cost. However, provision for diminution in value is made to recognize

a decline other than temporary in the value of Investments.

On disposal of investment, the difference between its carrying amount and net disposal proceeds are charged or credited to the statement of profit and loss.

(e) Inventories:

Inventory of W-I-P and Raw materials are valued at lower of cost and net realizable value. Cost is determined on FIFO basis.

Net realizable value is the estimated selling price in the ordinary course of business, less estimated costs of completion and estimated costs necessary to make the sale.

There is no stock of finished goods lying with the company.

(f) Employee Benefits:

Retirement benefit in the form of provident fund is a defined contribution scheme. The contribution to the provident fund is charged to the statement of profit and loss for the year when an employee renders the related services.

During the year gratuity payable to employees of Rs. 58.62 lakhs are provided based upon actuarial valuation report.

Leave encashment to the employees are accounted for as & when the same is claimed by eligible employees.

I. Defined contribution plans

The Company has classified the various benefits provided to employees as under:

a. Employee State Insurance Fund

b. Employee Provident Fund

The expense recognised during the period towards defined contribution plan -

II. Defined benefit plans

Gratuity

The Company should provide for gratuity for employees in India as per the Payment of Gratuity Act, 1972. Employees who are in continuous service for a period of 5 years are eligible for gratuity. The amount of gratuity payable on retirement/ termination is the employees last drawn basic salary per month computed proportionately for 15 days salary multiplied for the number of years of service, subject to a payment ceiling of INR 20,00,000/-.

Based on the actuarial valuation obtained in this respect, the following table sets out the details of the employee benefit obligation as at balance sheet date:

Notes:

a. The rate used to discount post-employment benefit obligations is determined by reference to market yields at the end of the reporting period on government bonds.

b. The estimates of future salary increases considered in the actuarial valuation take account of inflation, seniority, promotion and other relevant factors, such as supply and demand in the employment market.

(g) Taxation:

Tax expenses comprises of current and deferred tax. Current income tax is measured at the amount expected to be paid to the Tax Authorities in accordance with the Income Tax Act''1961 enacted or substantively enacted at the reporting date.

Staff Bonus payable as on 31st March, 2023 due to be paid before filing Income tax return, is pending to be paid as on the signing date of financial, the same will be paid before due date and accordingly has been considered for computation of Income tax for the current financial year.

Deferred Tax Assets or Deferred Tax Liability is recognized on timing difference being the difference between taxable incomes and accounting income. Deferred Tax Assets or Deferred Tax Liability is measured using the tax rates and tax laws that have been enacted or substantively enacted at the Balance Sheet date. Deferred Tax Assets arising from timing differences are recognized to the extent there is a reasonable certainty that the assets can be realized in future.

(h) Borrowing Cost:

Borrowing Cost includes interest and amortization 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 capitalized as part of the cost of the respective asset. All other borrowing costs are expensed in the period they occur.

(i) Segment Reporting:

The Company is engaged in business of providing services of infrastructure operations like road and related infrastructure construction and road maintenance. Considering the nature of Business and Financial Reporting of the Company, the Company is operating in following two Segments:

i. Highway maintenance services

ii. Specialized construction services

Hence segment reporting is applicable to the company.

(j) Provisions and Contingent Liabilities:

A provision is recognized when the company has a present obligation as a result of past event; 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 not discounted to its present value and are determined based on best estimate 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 are not recognized but are disclosed in the notes. Contingent Assets are neither recognized nor disclosed in the financial statements.

Contingent liability:

Bank Guarantee

-Financial Bank Guarantee- Rs. 2.61 crores -Performance Bank Guarantee- Rs. 17.30 crores Income Tax Demand:

-A.Y. 2020-21 Rs. 0.96 lacs -A.Y. 2021-22 Rs. 0.97 lacs Service Tax Demand:

-F.Y 2015-16 Rs. 389.55 lacs

-F.Y 2016-17 Rs. 430.38 lacs

-F.Y. 2017-18 Rs. 218.50 lacs

(upto J une ''17)

The above demand is in appeal with CESTAT Authority.

(k) 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.

(l) Current Assets, Loans & Advances:

In the opinion of the Board and to the best of its knowledge and belief the value on realization of current assets in the ordinary course of business would not be less than the amount at which they are stated in the Balance Sheet and repayable on demand. Trade Receivables as on March 31, 2023 has been taken as certified by the management of the company and is subjected to balance confirmations. As per the view of the management of the company there is no doubtful debt and hence provision for doubtful debts has not been made.