31st Annual Report 2023 24 1

Standalone
Financials
2023-24
Annual
Report
2023-24
Independent Auditors’ Report
To the Members of
Avanti Feeds Limited
Report on the Audit of the Standalone Financial Statements
Opinion
We have audited the accompanying Standalone Financial Statements of Avanti Feeds Limited
(“the Company”) which comprise the Balance Sheet as at 31st March, 2024, the Statement of
Profit and Loss (including Other Comprehensive Income), the Statement of Changes in Equity
and the Statement of Cash Flows for the year ended on that date and notes to the financial
statements, including a summary of material accounting policies and other explanatory
information (herein after referred to as the “standalone financial statements”).
In our opinion and to the best of our information and according to the explanations given
to us, the aforesaid Standalone Financial Statements give the information required by the
Companies Act, 2013 (“the Act”) in the manner so required and give a true and fair view in
conformity with the Indian Accounting Standards (Ind AS) prescribed under section 133 of
the Act read with the Companies (Indian Accounting Standards) Rules, 2015, as amended
and other accounting principles generally accepted in India, of the state of affairs of the
Company as at March 31, 2024, its profit including other comprehensive income, changes in
equity and its cash flows for the year ended on that date.
Basis for Opinion

We conducted our audit of the Standalone Financial Statements in accordance with the
Standards on Auditing (SAs) specified under section 143(10) of the Companies Act, 2013. Our
responsibilities under those Standards are further described in the Auditor’s Responsibilities
for the Audit of the Standalone Financial Statements section of our report. We are independent
of the Company in accordance with the Code of Ethics issued by the Institute of Chartered
Accountants of India (ICAI) together with the ethical requirements that are relevant to our
audit of the Standalone Financial Statements under the provisions of the Companies Act,
2013 and the Rules made thereunder, and we have fulfilled our other ethical responsibilities
in accordance with these requirements and the ICAI’s Code of Ethics. We believe that the
audit evidence obtained by us is sufficient and appropriate to provide a basis for our audit
opinion on the Standalone Financial Statements.
Key Audit Matters

Key audit matters are those matters that, in our professional judgment, were of most
significance in our audit of the Standalone Financial Statements of the current period. These
matters were addressed in the context of our audit of the Standalone Financial Statements
as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on
these matters. We have determined the matters described below to be the key audit matters
to be communicated in our report.
146
S. No Key Audit Matters Auditor’s Response
1. Accuracy of recognition, Principal Audit Procedures

measurement, presentation and We assessed the Company's process to identify
disclosures of revenues and other the impact of revenue accounting standard. Our
related balances in view of Ind AS audit approach consisted testing of the design and
115 “Revenue from Contracts with operating effectiveness of the internal controls and
Customers” (revenue accounting substantive testing as follows:
standard) • We assessed the appropriateness of the revenue
recognition accounting policies by comparing
The application of the revenue with applicable accounting standards.
accounting standard involves • Selected a sample of continuing and new
certain key judgements relating contracts, and tested the operating effectiveness
to identification of the contract of the internal control, relating to identification
with a customer, identification of of the distinct performance obligations and
distinct performance obligations, determination of transaction price. We carried
out a combination of procedures involving
determination of transaction price
enquiry and observation, performance and
of the identified performance inspection of evidence in respect of operation of
obligations, the appropriateness of these controls.
the basis used to measure revenue • Tested the relevant information technology
recognized when a performance systems' access and change management
obligation is satisfied. Additionally, controls relating to contracts and related
revenue accounting standard information used in recording and disclosing
contains disclosures which involves revenue in accordance with the revenue
collation of information in respect accounting standard.
of disaggregated revenue and • Selected a sample of continuing and new
periods over which the remaining contracts and performed the following
performance obligations will be procedures:
satisfied subsequent to the balance • Read, analysed and identified the distinct
sheet date. performance obligations in these contracts.
• Compared these performance obligations with
Refer Note 2.4c and 21 to the that identified and recorded by the Company.
Financial Statements. • Considered the terms of the contracts to
Company Overview | Statutory Reports | Financial Statements | Notice

determine the transaction price including
any variable consideration to verify the
transaction price used to compute revenue
and to test the basis of estimation of the
variable consideration.
• Samples in respect of revenue recorded upon
transfer of control of promised products or
services to customers in an amount that
reflects the consideration which the Company
expects to receive in exchange for those
products or services, were tested using a
combination of sales orders, gate-in and gate-
out passes, shipping bills including packing
lists, subsequent customs invoicing, bills of
lading, customer acceptances and historical
trend of collections and disputes.
• Performed analytical procedures for
reasonableness of revenues disclosed by type
and service offerings.
• We reviewed the collation of information and the
logic of the report generated from the IT system
used to prepare the disclosure relating to the
periods over which the remaining performance
obligations will be satisfied subsequent to the
balance sheet date.
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2. The Company enters into various Our procedures included but were not limited to:
financial instruments such as
investments in quoted and unquoted • Obtaining an understanding of the internal risk
equity instruments, quoted mutual management procedures and the systems
funds and quoted non-convertible and controls associated with the origination
debentures. As at 31st March, 2024, and maintenance of complete and accurate
financial instruments carried at information relating to financial instruments;
fair value through profit and loss
• Utilizing our treasury experts, we also tested
totalled ₹ 41,010.19 lakhs (current on a sample basis the existence and valuation
investments of ₹ 41,003.79 lakhs and of derivative contracts as at 31st March, 2024.
non-current investments of ₹ 6.40 Our audit procedures focused on the integrity
lakhs) as disclosed in Note 6 to the of the valuation models and the incorporation
Standalone Financial Statements. of the contract terms and the key assumptions,
These financial instruments are including future price assumptions and discount
recorded at fair value as required by rates; and
the relevant accounting standard.
We have focused on this area due • Obtaining an understanding of key financial
to the complexities associated with instrument contract terms to assess the
the valuation and accounting for appropriateness of accounting reflected in the
these financial instruments. financial report.
We have also assessed the appropriateness of the

disclosures included in Note 37 to the Standalone
Financial Statements
3. Inventory valuation and existence To address the risk for material error on inventories,
our audit procedures included amongst other:
At the balance sheet date, the
value of inventory amounted to • Assessing the compliance of Company's
₹ 66,277.26 lakhs representing accounting policies over inventory with
28.77% of total assets. Inventories applicable accounting standards.
were considered as key audit matter
due to the size of the balance • Observed the stock take process at Factory
and because inventory valuation locations during the year and at the end of the
involves management judgment. year and undertook our test counts where ever
necessary.
As described in Note 2.4i to the
Standalone Financial Statements, • Compared the Quantities we counted with
inventories are carried at the lower Quantities recorded.
of cost and net realizable value on a
• Analysing the Inventory Ageing reports and Net
weighted average basis realizable value of inventories
The Company has segment specific
• Tested that inventory on hand at the end of the
procedures for identifying risk period was recorded at the lower of cost and net
for obsolescence and measuring realizable value by testing a sample of inventory
inventories at the lower of cost and items to the most recent retail price.
net realizable value
148
4 Purchase of Raw material Following are some of the substantive tests that
• Purchase of Raw material is were part of our auditing procedures in addition
being considered as a key audit to testing the internal controls' design and
matter as the Company procures effectiveness:
its principle raw materials from
the suppliers and the price of • Internal controls relating to the purchase of raw
the same is highly volatile to the materials and payments made to the suppliers
market conditions. of the raw materials on the basis of source
documentation have been assessed in terms
of their design and tested in terms of their
• Based upon the production
requirements and after implementation.
considering the tentative prices,
• We have performed test of controls over
the management decides the procurement procedures to assess the
raw materials which have to be operating effectiveness of the controls placed in
procured. recognition of the cost of material consumption.
• The total cost of raw material • We have conducted test of details through
purchased by the entity for correlating the raw materials procured and the
the financial year 2023-24 is raw material consumed as per the production
₹ 3,71,478.14 lakhs. and stock reports.
• Understood the credit terms for payments to

suppliers and assessed whether the same have
been complied with.
Information Other than the Standalone Financial Statements and Auditor’s

Report Thereon
The Company’s Board of Directors is responsible for the preparation of the other information. The other
information comprises the information included in the Management Discussion and Analysis, Board’s

Report including Annexures to Board’s Report, Business Responsibility Report and Shareholder’s
Information, but does not include the Standalone Financial Statements and our auditor’s report thereon.
Our opinion on the Standalone Financial Statements does not cover the other information and we do
not express any form of assurance conclusion thereon.
In connection with our audit of the Standalone Financial Statements, our responsibility is to read the
other information and, in doing so, consider whether the other information is materially inconsistent
with the Standalone Financial Statements or our knowledge obtained during the course of our audit or
otherwise appears to be materially misstated.
If, based on the work we have performed, we conclude that there is a material misstatement of this
other information; we are required to report that fact. We have nothing to report in this regard.
Management’s Responsibility and Those charged with Governance for

the Standalone Financial Statements
The Company’s Board of Directors is responsible for the matters stated in section 134(5) of the Act with
respect to the preparation of these Standalone Financial Statements that give a true and fair view of
the financial position, financial performance including other comprehensive income, changes in equity
and cash flows of the Company in accordance with the accounting principles generally accepted in
India, including the Indian Accounting Standards (Ind AS) specified under section 133 of the Act read
with the Companies (Indian Accounting Standards) Rules, 2015, as amended. This responsibility also
includes maintenance of adequate accounting records in accordance with the provisions of the Act
for safeguarding of the assets of the Company and for preventing and detecting frauds and other
irregularities; selection and application of appropriate accounting policies; making judgments and 149
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estimates that are reasonable and prudent; and design, implementation and maintenance of adequate
internal financial controls, that were operating effectively for ensuring the accuracy and completeness
of the accounting records, relevant to the preparation and presentation of the Standalone Financial
Statements that give a true and fair view and are free from material misstatement, whether due to
fraud or error.
In preparing the Standalone Financial Statements, the Board of Directors is responsible for assessing
the Company’s ability to continue as a going concern, disclosing, as applicable, matters related to
going concern and using the going concern basis of accounting unless management either intends to
liquidate the Company or to cease operations, or has no realistic alternative but to do so.
Those Board of Directors are also responsible for overseeing the Company’s financial reporting
process.
Auditor’s Responsibility for the Audit of the Standalone Financial Statements

Our objectives are to obtain reasonable assurance about whether these Standalone Financial
Statements as a whole are free from material misstatement, whether due to fraud or error, and to
issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance,
but is not a guarantee that an audit conducted in accordance with SAs will always detect a material
misstatement when it exists. Misstatements can arise from fraud or error and are considered material
if, individually or in the aggregate, they could reasonably be expected to influence the economic
decisions of users taken on the basis of these Standalone Financial Statements.
As part of an audit in accordance with SAs, we exercise professional judgment and maintain professional
skepticism throughout the audit. We also:
• Identify and assess the risks of material misstatement of the Standalone Financial Statements,
whether due to fraud or error, design and perform audit procedures responsive to those risks,
and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The
risk of not detecting a material misstatement resulting from fraud is higher than for one resulting
from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or
the override of internal control.
• Obtain an understanding of internal financial controls relevant to the audit in order to design audit
procedures that are appropriate in the circumstances. Under section 143(3)(i) of the Act, we
are also responsible for expressing our opinion on whether the Company has adequate internal
financial controls system in place and the operating effectiveness of such controls.
• Evaluate the appropriateness of accounting policies used and the reasonableness of accounting
estimates and related disclosures made by management.
• Conclude on the appropriateness of management’s use of the going concern basis of accounting
and, based on the audit evidence obtained, whether a material uncertainty exists related to
events or conditions that may cast significant doubt on the Company’s ability to continue as a
going concern. If we conclude that a material uncertainty exists, we are required to draw attention
in our auditor’s report to the related disclosures in the Standalone Financial Statements or, if
such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit
evidence obtained up to the date of our auditor’s report. However, future events or conditions
may cause the Company to cease to continue as a going concern.
• Evaluate the overall presentation, structure and content of the Standalone Financial Statements,
including the disclosures, and whether the Standalone Financial Statements represent the
underlying transactions and events in a manner that achieves fair presentation.
Materiality is the magnitude of misstatements in the Standalone Financial Statements that, individually
or in aggregate, makes it probable that the economic decisions of a reasonably knowledgeable user
of the Standalone Financial Statements may be influenced. We consider quantitative materiality and
qualitative factors in (i) planning the scope of our audit work and in evaluating the results of our work;
150 and (ii) to evaluate the effect of any identified misstatements in the Standalone Financial Statements.
We communicate with those charged with governance regarding, among other matters, the planned
scope and timing of the audit and significant audit findings, including any significant deficiencies in
internal control that we identify during our audit.
We also provide those charged with governance with a statement that we have complied with relevant
ethical requirements regarding independence, and to communicate with them all relationships and
other matters that may reasonably be thought to bear on our independence, and where applicable,
related safeguards.
From the matters communicated with those charged with governance, we determine those matters
that were of most significance in the audit of the Standalone Financial Statements of the current
period and are therefore the key audit matters. We describe these matters in our auditor’s report
unless law or regulation precludes public disclosure about the matter or when, in extremely rare
circumstances, we determine that a matter should not be communicated in our report because the
adverse consequences of doing so would reasonably be expected to outweigh the public interest
benefits of such communication.
Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor’s Report) Order, 2020 (“the Order”), issued by the
Central Government of India in terms of sub-section (11) of section 143 of the Act, we give in the
“Annexure-A”, a statement on the matters specified in paragraphs 3 and 4 of the Order, to the
extent applicable.
2. As required by section 143 (3) of the Act, we report that:
a) We have sought and obtained all the information and explanations which to the best of our
knowledge and belief were necessary for the purposes of our audit.
b) In our opinion, proper books of account as required by law have been kept by the Company
so far as it appears from our examination of those books, except for the matters stated in
paragraph 2h (vi) below on reporting under Rule 11(g) of the Companies (Audit and Auditors)
Rules, 2014.
c) The balance sheet, the statement of profit and loss including other comprehensive income,

the statement of changes in equity and the statement of cash flows dealt with by this Report
are in agreement with the books of account.
d) In our opinion, the aforesaid Standalone Financial Statements comply with the Indian
Accounting Standards specified under Section 133 of the Act, read with Rule 7 of the
Companies (Accounts) Rules, 2014.
e) On the basis of the written representations received from the directors as on 31st March,
2024, taken on record by the Board of Directors, none of the directors is disqualified as on
March 31, 2024, from being appointed as a director in terms of Section 164(2) of the Act.
f) With respect to the adequacy of the internal financial controls over financial reporting of the
Company and the operating effectiveness of such controls, refer to our separate report in
“Annexure-B”. Our report expresses an unmodified opinion on the adequacy and operating
effectiveness of the Company’s internal financial controls over financial reporting.
g) With respect to the other matters to be included in the Auditor’s Report in accordance with
the requirements of section 197(16) of the Act, as amended:
In our opinion and to the best of our information and according to the explanations given to
us, the remuneration paid by the Company to its directors during the year is in accordance
with the provisions of section 197 of the Act.
h) With respect to the other matters to be included in the Auditor’s Report in accordance with
Rule 11 of the Companies (Audit and Auditors) Rules, 2014, as amended, in our opinion and
to the best of our information and according to the explanations given to us: 151
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i) The Company has disclosed the impact of pending litigations on its financial position
in its Standalone Financial Statements – Refer Note 30 to the Standalone Financial
Statements.
ii) The Company did not have any long-term contracts including derivative contracts for
which there were any material foreseeable losses.
iii) There has been no delay in transferring amounts, required to be transferred, to the
Investor Education and Protection Fund by the Company.
iv)
a) The management has represented that, to the best of its knowledge and belief,
no funds have been advanced or loaned or invested (either from borrowed funds
or share premium or any other sources or kind of funds) by the Company to or in
any other person or entity, including foreign entities (“Intermediaries”), with the
understanding, whether recorded in writing or otherwise, that the Intermediaries
shall, whether, directly or indirectly lend or invest in other person or entity
identified in any manner whatsoever by or on behalf of the Company (“Ultimate
Beneficiaries”) or provide any guarantee, security or the like on behalf of the
Ultimate Beneficiaries;
b) The management has represented that, to the best of its knowledge and belief,
no funds have been received by the Company from any person or entity, including
foreign entities (“Funding Parties”), with the understanding, whether recorded in
writing or otherwise, that the Company shall, whether, directly or indirectly, lend
or invest in other person or entity identified in any manner whatsoever by or on
behalf of the Funding Parties (“Ultimate Beneficiaries”) or provide any guarantee,
security or the like on behalf of the Ultimate Beneficiaries; and
c) Based on the audit procedures that were considered reasonable and appropriate
in the circumstances, nothing has come to our notice that has caused us to
believe that the representations under sub-clause (a) and (b) contain any material
misstatement.
v)
a) The final dividend paid by the Company during the year in respect of the same
declared for the previous year is in accordance with section 123 of the Act to the
extent it applies to payment of dividend.
b) The Board of Directors of the Company have proposed final dividend for the year
which is subject to the approval of the members at the ensuing Annual General
Meeting. The dividend declared is in accordance with section 123 of the Act to
the extent it applies to declaration of dividend.
vi) The reporting under Rule 11(g) of the Companies (Audit and Auditors) Rules, 2014 is
applicable from 01st April, 2023.
Based on our examination which included test checks, the Company has used
accounting software for maintaining its books of account for the financial year ended
31st March, 2024 which has a feature of recording audit trail (edit log) facility and the
same has operated throughout the year for all relevant transactions recorded in the
software except in the case of records of property, plant and equipment, payroll and
inventory of finished goods which are being maintained manually.
Further, the feature of recording audit trail (edit log) facility was not available at the
database level to log any direct data changes for the accounting software used for
152 maintaining the books of account of the Company.
During the course of our audit we did not come across any instance of audit trail feature
being tampered with.
As proviso to Rule 3(1) of the Companies (Accounts) Rules, 2014 is applicable from
April 01st, 2023, reporting under Rule 11 (g) of the Companies (Audit and Auditors)
Rules, 2014 on preservation of audit trail as per the statutory requirements for record
retention is not applicable for the financial year ended 31st March, 2024.
For TUKARAM & CO LLP

Chartered Accountants
ICAI Firm Registration No: 004436S / S200135
(RAJENDER REDDY KARNATI)

Partner
Membership No: 231834
UDIN: 24231834BKGOLB8357
Place : Hyderabad
Date : 22nd May 2024
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“Annexure – A”
to the Independent Auditors’ Report
on the Standalone Financial Statements of Avanti Feeds Limited
for the year ended 31st March, 2024.
(Referred to in paragraph 1 under ‘Report on Other Legal and Regulatory Requirements’ section of
our report of even date)
i) In respect of the Company’s Property, Plant and Equipment (including right-of-use assets) and
Intangible Assets:
a) A) The Company has maintained proper records showing full particulars, including
quantitative details and situation of Property, Plant and Equipment and relevant details of
right-of-use assets.
B) The Company has maintained proper records showing full particulars of intangible assets.
b) As explained to us, the management has physically verified a substantial portion of the
Property, Plant and Equipment during the year and in our opinion frequency of verification
is reasonable having regard to the size of the Company and the nature of its assets. The
discrepancies noticed on physical verification of Property, Plant and Equipment as compared
to the books of account were not material and have been properly dealt with in the books of
accounts.
c) In our opinion and according to the information and explanations given to us, all the title
deeds of immovable properties are held in the name of the Company. In respect of immovable
properties of land and buildings that have been taken on lease and disclosed as assets in
the financial statements, the lease agreements are in the name of the Company, where the
Company is the lessee in the agreement.
d) The Company has not revalued any of its Property, Plant and Equipment (including right-of-
use assets) and intangible assets during the year.
e) No proceedings have been initiated during the year or are pending against the Company
as at 31st March, 2024 for holding any Benami property under the Benami Transactions
(Prohibition) Act, 1988 (as amended in 2016) and rules made thereunder.
ii
a) According to the information and explanations given to us, the inventories have been
physically verified by the management during the year. In our opinion, the frequency of
verification is reasonable and the coverage and procedure of such verification by the
management is appropriate. The discrepancies identified during such verification were not
more than 10% in the aggregate for each class of inventory as compared to the books of
account.
b) The Company has been sanctioned working capital limits in excess of five crore rupees from
banks on the basis of security of current assets. The quarterly returns or statements filed by
the Company with such banks are in agreement with the books of account of the Company.
iii According to the information and explanations given to us, in our opinion, the investments made
by the Company are prima facie not prejudicial to the interest of the Company.
The Company has not provided any guarantee or security or granted any loans or advances in
the nature of loans, secured or unsecured, to companies, firms, Limited Liability Partnerships
or any other parties. Accordingly, reporting under clause 3(iii)(a) to 3(iii)(f) of the Order are not
applicable.
iv There are no loans, guarantees and securities in respect of which provisions of sections 185 of
the Act are applicable. Investments in respect of which provisions of section 186 of the Act are
154 applicable, have been complied with by the Company.
v. According to the information and explanations given to us, the Company has neither accepted
any deposits from the public nor accepted any amount which are deemed to be deposits within
the meaning of Section 73 and 76 or any other relevant provisions of the Act and the rules framed
there under. Hence, reporting under clause 3(v) of the Order is not applicable.
vi. We have broadly reviewed the books of account and records maintained by the Company
pursuant to the Rules made by the Central Government of India for the maintenance of cost
records prescribed under sub-section (1) of section 148 of the Act, related to generation of
electricity and are of the opinion that prima facie, the prescribed accounts and records have
been maintained. We have however, not made a detailed examination of the records with a view
to determine whether they are accurate or complete.
vii. In respect of Statutory dues:
a) The Company is regular in depositing with appropriate authorities, undisputed statutory
dues including provident fund, employees state insurance, income-tax, goods and service
tax, value added tax, duty of customs, cess and other statutory dues applicable to it.
According to the information and explanations given to us, no undisputed amounts payable
in respect of such statutory dues were outstanding, at the year end, for a period of more
than six months from the date they became payable.
b) According to the information and explanations given to us, there are no dues of provident
fund, employees state insurance, goods and service tax, cess and other statutory dues
which have not been deposited on account of any dispute. The details of dues of value
added tax, duty of customs and Income Tax Act that have not been deposited on account of
any dispute, are as follows:
Name of the Nature of the Amount Period to which the Forum where dispute
Statute Dues ‘₹’ in Lakhs amount relates is pending
Sales tax (MP
Madhya VAT demand
High Court of
Pradesh VAT for soya 29.22 2005-2006
Madhya Pradesh
Act, 2002 transactions in
2005-06)

Customs 2009-2010 to
Customs duty 60.82 CESTAT, Chennai
Act, 1962 2011-2012
Commissioner
Income Tax Income Tax 12.23 2013-2014 Appeals, Income
Act, 1961 Tax, Hyderabad
The Commissioner
Customs 2017-2018 & of Customs
Customs duty 11.44
Act, 1962 2018-2019 (Appeals), JNCH-
Navaseva, Mumbai
viii. According to information and explanation given to us, there were no transactions relating to
previously unrecorded income that have been surrendered or disclosed as income during the
year in the tax assessments under the Income Tax Act, 1961 (43 of 1961).
xi.
a) Based on our audit procedures and as per the information and explanations given by the
management, we are of the opinion that the Company has not defaulted in repayment of
loans or other borrowings or in the payment of interest thereon to banks. There are no dues
to financial institutions or government.
b) The Company has not been declared wilful defaulter by any bank or financial institution or
government or any government authority.
c) The Company has not taken any term loan during the year and there are no outstanding
term loans at the beginning of the year and hence, reporting under clause 3(ix)(c) of the
Order is not applicable. 155
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d) On an overall examination of the financial statements of the Company, funds raised on

short-term basis have, prima facie, not been used during the year for long-term purposes
by the Company.
e) On an overall examination of the financial statements of the Company, the Company has not
taken any funds from any entity or person on account of or to meet the obligations of its
subsidiaries or associates. The Company does not have any joint venture.
f) The Company has not raised any loans during the year on the pledge of securities held in
its subsidiaries or associates and hence reporting under clause 3(ix)(f) of the Order is not
applicable.
x.
a) According to the information and explanations given to us, the Company has not raised
any money during the year by way of public offer (including debt instruments) and hence
reporting under clause 3(x)(a) of the Order is not applicable.
b) During the year, the Company has not made any preferential allotment or private placement
of shares or convertible debentures (fully or partly or optionally) and hence reporting under
clause 3(x)(b) of the Order is not applicable.
xi.
a) Based upon the audit procedures performed for the purpose of reporting the true and
fair view of the financial statements and as per the information and explanations given by
the management, we report that, no fraud by the Company and no material fraud on the
Company has been noticed or reported during the year.
b) During the year, no report under sub-section (12) of section 143 of the Act has been filed by
secretarial auditor or by us in Form ADT – 4 as prescribed under Rule 13 of Companies (Audit
and Auditors) Rules, 2014 with the Central Government.
c) We have taken into consideration the whistle blower complaints received by the Company
during the year (and up to the date of this report), while determining the nature, timing and
extent of our audit procedures.
xii. In our opinion and according to the information and explanations given to us, the Company is not
a Nidhi Company and hence reporting under clause (xii) of the Order is not applicable.
xiii. According to the information and explanations given to us and based on our examination of the
records of the Company, transactions with the related parties are in compliance with sections 177
and 188 of the Act where applicable and details of such transactions have been disclosed in the
financial statements as required by the applicable accounting standards.
xiv.
a) In our opinion the Company has an adequate internal audit system commensurate with the
size and the nature of its business.
b) We have considered the internal audit reports for the year under audit, issued to the
Company during the year and till date, in determining the nature, timing and extent of our
audit procedures.
xv. According to the information and explanations given to us and based on our examination of the
records of the Company, the Company has not entered into any non-cash transactions with its
directors or persons connected with its directors and hence provisions of section 192 of the
Companies Act, 2013 are not applicable to the Company.
xvi.
a) In our opinion, the Company is not required to be registered under section 45-IA of the
Reserve Bank of India Act, 1934. Hence, reporting under clause 3(xvi) (a), (b) and (c) of the
156 Order is not applicable.
b) In our opinion, there is no Core Investment Company within the Group (as defined in the
Core Investment Companies (Reserve Bank) Directions, 2016) and accordingly reporting
under clause 3(xvi)(d) of the Order is not applicable.
xvii. The Company has not incurred cash losses during the financial year covered by our audit and the
immediately preceding financial year.
xviii There has been no resignation of the statutory auditors of the Company during the year.
xix On the basis of the financial ratios disclosed in Note 39 to the Standalone financial statements,
ageing and expected dates of realisation of financial assets and payment of financial liabilities,
other information accompanying the financial statements and our knowledge of the Board of
Directors and Management plans and based on our examination of the evidence supporting the
assumptions, nothing has come to our attention, which causes us to believe that any material
uncertainty exists as on the date of the audit report indicating that Company is not capable of
meeting its liabilities existing at the date of balance sheet as and when they fall due within a
period of one year from the balance sheet date. We, however, state that this is not an assurance
as to the future viability of the Company. We further state that our reporting is based on the facts
up to the date of the audit report and we neither give any guarantee nor any assurance that all
liabilities falling due within a period of one year from the balance sheet date, will get discharged
by the Company as and when they fall due.
xx.
a) In our opinion and according to the information and explanations given to us, there is no
unspent amount towards Corporate Social Responsibility requiring to transfer to a Fund
specified in Schedule-VII to the Companies Act in compliance with second proviso to sub-
section (5) of section 135 of the said Act. Accordingly, reporting under clauses 3(xx)(a) of
the Order are not applicable.
b) In respect of ongoing projects, the Company has transferred unspent CSR amount as at the
end of the financial year, to a Special account within a period of 30 days from the end of the
said financial year in compliance with the provision of section 135(6) of the Companies Act,
2013.


Partner
Place : Hyderabad
157
Annual
Report
2023-24
"Annexure - B"
to the Independent Auditors’ Report Report
on the Financial Statements of Avanti Feeds Limited
for the year ended 31st March, 2024
Report on the Internal Financial Controls over financial reporting under Clause (i) of Sub-section 3 of
Section 143 of the Companies Act, 2013 (“the Act”)
(Referred to in paragraph 2(f)) under ‘Report on Other Legal and Regulatory Requirements’ section of
We have audited the internal financial controls over financial reporting of Avanti Feeds Limited (“the
Company”) as of 31st March, 2024 in conjunction with our audit of the Standalone Financial Statements
of the Company for the year ended on that date.
Management’s Responsibility for Internal Financial Controls

The Company’s management is responsible for establishing and maintaining internal financial controls
based on the internal control over financial reporting criteria established by the Company considering
the essential components of internal control stated in the Guidance Note on Audit of Internal Financial
Controls over Financial Reporting issued by the Institute of Chartered Accountants of India (‘ICAI’).
These responsibilities include the design, implementation and maintenance of adequate internal
financial controls that were operating effectively for ensuring the orderly and efficient conduct of its
business, including adherence to Company’s policies, the safeguarding of its assets, the prevention
and detection of frauds and errors, the accuracy and completeness of the accounting records, and
the timely preparation of reliable financial information, as required under the Companies Act, 2013.
Auditors’ Responsibility
Our responsibility is to express an opinion on the Company's internal financial controls over financial
reporting based on our audit. We conducted our audit in accordance with the Guidance Note on Audit
of Internal Financial Controls over Financial Reporting (the “Guidance Note”) and the Standards on
Auditing, issued by ICAI and deemed to be prescribed under section 143(10) of the Companies Act,
2013, to the extent applicable to an audit of internal financial controls, both applicable to an audit of
Internal Financial Controls and, both issued by the Institute of Chartered Accountants of India. Those
Standards and the Guidance Note require that we comply with ethical requirements and plan and
perform the audit to obtain reasonable assurance about whether adequate internal financial controls
over financial reporting was established and maintained and if such controls operated effectively in
all material respects.
Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal
financial controls system over financial reporting and their operating effectiveness. Our audit of internal
financial controls over financial reporting included obtaining an understanding of internal financial
controls over financial reporting, assessing the risk that a material weakness exists, and testing and
evaluating the design and operating effectiveness of internal control based on the assessed risk.
The procedures selected depend on the auditor’s judgment, including the assessment of the risks of
material misstatement of the Standalone Financial Statements, whether due to fraud or error.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis
for our audit opinion on the Company’s internal financial controls system over financial reporting.
Meaning of Internal Financial Controls over Financial Reporting

A Company's internal financial control over financial reporting is a process designed to provide
reasonable assurance regarding the reliability of financial reporting and the preparation of Standalone
Financial Statements for external purposes in accordance with generally accepted accounting
principles. A Company's internal financial control over financial reporting includes those policies and
158 procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and
fairly reflect the transactions and dispositions of the assets of the Company; (2) provide reasonable
assurance that transactions are recorded as necessary to permit preparation of Standalone Financial
Statements in accordance with generally accepted accounting principles, and that receipts and
expenditures of the Company are being made only in accordance with authorisations of management
and directors of the Company; and (3) provide reasonable assurance regarding prevention or timely
detection of unauthorised acquisition, use, or disposition of the Company's assets that could have a
material effect on the Standalone Financial Statements.
Inherent Limitations of Internal Financial Controls Over Financial Reporting

Because of the inherent limitations of internal financial controls over financial reporting, including
the possibility of collusion or improper management override of controls, material misstatements due
to error or fraud may occur and not be detected. Also, projections of any evaluation of the internal
financial controls over financial reporting to future periods are subject to the risk that the internal
financial control over financial reporting may become inadequate because of changes in conditions, or
that the degree of compliance with the policies or procedures may deteriorate.
Opinion
In our opinion, to the best of our information and according to the explanations given to us, the
Company has, in all material respects, an adequate internal financial controls system over financial
reporting and such internal financial controls over financial reporting were operating effectively as at
March 31, 2024, based on the internal financial control over financial reporting criteria established by
the Company considering the essential components of internal control stated in the Guidance Note
on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered
Accountants of India.


Partner

Place : Hyderabad
159
Annual
Report
2023-24
Balance Sheet as at 31 st
March, 2024
(All amounts in lakhs in Indian Rupees, unless otherwise stated)
Particulars Note As at As at
31st March, 2024 31st March, 2023
ASSETS
Non-current Assets
Property, plant and equipment 3 25,776.11 23,540.94
Capital work-in-progress 3 (a) 293.64 2,001.65
Right-of-use Assets 4 (a) 72.27 99.93
Intangible assets 5 0.73 3.64
Financial assets
Investments 6 16,527.78 13,892.08
Loans 7(a) 219.48 182.88
Other financial assets 8 729.45 668.78
Non-current tax assets (net) 20(b) 1,849.09 1,244.63
Other non-current assets 9 (a) 698.98 832.99
Total Non-current Assets 46,167.53 42,467.52
Current Assets
Inventories 10 (a) 66,277.26 56,019.88
Biological Assets 10 (b) 115.50 123.07
Financial assets
Investments 6(b) 53,499.66 77,042.72
Trade receivables
Billed 11(a) 3,935.20 6,281.93
Unbilled 11(b) 5.00 9.92
Cash and cash equivalents 12(a) 727.49 2,378.07
Other bank balances 12(b) 58,656.66 20,641.17
Loans 7(b) 115.78 86.02
Other current assets 9(b) 848.81 1,441.37
Total Current Assets 1,84,181.36 1,64,024.15
Total Assets 2,30,348.89 2,06,491.67
EQUITY AND LIABILITIES
Equity
Equity share capital 13 1,362.46 1,362.46
Other equity 14 1,97,162.59 1,74,987.28
Total Equity 1,98,525.05 1,76,349.74
Liabilities
Non-current Liabilities
Financial liabilities
Lease Liabilities 4(b)(i) 41.09 72.39
Other financial liabilities 15(a) 372.00 372.00
Provisions 16(a) - -
Deferred tax liabilities (net) 20(a) 1,923.84 1,789.21
Total non-current liabilities 2,336.93 2,233.60
Current liabilities
Borrowings 18 - -
Lease Liabilities 4(b)(ii) 44.94 40.06
Trade payables:
i) Total outstanding dues of Micro enterprises and small enterprises 19 2,992.57 946.53
ii) Total outstanding dues of creditors other than Micro 19 24,220.14 23,299.69
enterprises and small enterprises
Other financial liabilities 15(b) 277.95 249.54
Other current liabilities 17 1,686.07 3,195.24
Provisions 16(b) 265.24 177.27
Total Current Liabilities 29,486.91 27,908.33
Notes forming part of the Financial Statements 1-41
Total Equity and Liabilities 2,30,348.89 2,06,491.67
The accompanying notes are an integral part of the financial statements
As per our Report of even date For and on behalf of the Board of Directors
For TUKARAM & CO. LLP
ICAI Firm Registration No. 004436S / S200135 A. Indra Kumar
DIN: 00190168
(Rajender Reddy Karnati) Chairman & Managing Director
Partner
Membership No. 231834 C. Ramachandra Rao N. Ram Prasad
DIN: 00026010 DIN: 00145558
Jt. Managing Director, Director
Place : Hyderabad Company Secretary & CFO
160 Date : 22 May, 2024
nd
Statement of Profit & Loss for the year ended 31 st

March, 2024
Particulars Note For the year For the year

ended ended
Income
Revenue from operations 21 4,29,028.48 4,04,135.51
Other Income (net) 22 10,537.72 6,275.05
Total Income 4,39,566.20 4,10,410.56
Expenses
Cost of materials consumed 23 3,65,319.78 3,47,604.57
Purchase of bearer biological assets 23 258.33 181.52
Changes in inventories of Finished Goods, work-In- 24 (4,653.87) (3,318.30)
Progress & Biological assets
Employee benefits expense 25 15,478.20 13,073.06
Finance costs 26 54.36 74.40
Depreciation and amortization expenses 27 3,238.07 2,302.19
Other expenses 28 19,171.20 19,812.22
Total expenses 3,98,866.07 3,79,729.66
Profit before tax 40,700.13 30,680.90
Tax Expense
Current tax 20(c) 9,759.86 7,266.10
Deferred tax 20(c) 134.62 130.38
Total tax expenses 9,894.48 7,396.48
Profit for the year 30,805.65 23,284.42
Other comprehensive income

Items that will not be reclassified to profit or loss
Remeasurement of the defined benefit plans (114.99) (27.02)
Total comprehensive income for the year (Comprising 30,690.66 23,257.40
Profit and other Comprehensive Income for the year)
Earnings per equity share (EPS)
(Equity shares, par value of ₹ 1/- each)
Basic and diluted EPS (in ₹)
Basic 29 22.61 17.09
Diluted 29 22.61 17.09
DIN: 00190168
Partner
DIN: 00026010 DIN: 00145558
Date : 22nd May, 2024
161
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Statement of Changes in Equity for the year ended 31 st

March, 2024
a. Equity Share Capital

Particulars Number of Shares Amount
Balance at 1st April, 2022 13,62,45,630 1,362.46
Changes in equity share capital during the year - -
Changes in equity share capital due to prior period errors - -
Balance at 31 March, 2023
st
13,62,45,630 1,362.46
Changes in equity share capital due to prior period errors - -
Balance as at 31 March, 2024
st
13,62,45,630 1,362.46
b. Other Equity
Particulars Reserves and Surplus

General Retained Total
reserve earnings
Balance at 1st April, 2022 22,565.72 1,37,679.51 1,60,245.23
Other comprehensive income (27.02) (27.02)
Dividends (8,515.35) (8,515.35)
Transfer from retained earnings to general reserve 2,500.00 (2,500.00) -
st
25,065.72 1,49,921.56 1,74,987.28
Dividends (8,515.35) (8,515.35)
Transfer from retained earnings to general reserve 2,500.00 (2,500.00) -
st
27,565.72 1,69,596.87 1,97,162.59

DIN: 00190168
Partner
DIN: 00026010 DIN: 00145558
162
Statement of Cash Flows for the year ended 31 st

March, 2024
(₹ in lakhs, unless otherwise stated)
Particulars For the year ended For the year ended

A CASH FLOW FROM OPERATING ACTIVITIES
Adjustments for :
Depreciation and amortisation expense 3,238.07 2,302.19
Provision for employee benefits 265.24 177.27
Finance costs 54.36 74.40
Loss on disposal of property, plant and equipment 7.60 11.75
Interest income (5,442.96) (2,291.96)
Dividend from Subsidiaries (450.75) (300.50)
Dividend from Associates (37.26) (159.68)
Dividend from others (1.83) -
Gain/loss from sale of financial assets measured at fair (2,999.18) (2,579.85)
value through profit and loss
Fair valuation of financial assets measured at fair value (1,080.49) (279.97)
through profit and loss
Foreign exchange gain/(Loss) (94.92) (231.79)
Operating profit before working capital changes 34,158.01 27,402.76
CHANGES IN WORKING CAPITAL:
Adjustments for (increase)/decrease in operating assets:
Trade receivables
Billed 2,346.73 (4,084.10)
Unbilled 4.92 (3.35)
Other financial assets 531.89 (422.31)
Inventories (10,257.38) 15,447.37

Other assets 67.65 (179.25)
Adjustments for increase / (decrease) in operating
liabilities:
Trade payables 2,966.49 (1,463.97)
Other financial liabilities 28.41 (106.33)
Other current liabilities (1,801.43) (882.63)
Cash generated from operations 28,045.29 35,708.19
Income taxes paid, net (10,364.32) (6,868.36)
Net cash from operating activities (A) 17,680.97 28,839.83
B CASH FLOW FROM INVESTING ACTIVITIES
Purchase of Property, Plant and Equipment, including capital (3,738.03) (10,890.56)
advances
Proceeds from disposal of Property, Plant and Equipment 19.53 3.12
Investment in Subsidiary (2,630.10) (384.24)
Purchase of Investments (49,875.79) (79,425.19)
Redemption/sale proceeds of Investments 77,493.60 84,638.53
Interest received 5,442.96 2,291.96
Dividend from Subsidiaries 450.75 300.50
Dividend from Associates 37.26 159.68
Dividend from others 1.83 -
Changes in Other bank balances (37,990.18) (19,728.78)
Net cash from /(used in) investing activities (B) (10,788.17) (23,034.98) 163
Annual
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Statement of Cash Flows for the year ended 31 st

March, 2024
Particulars For the year ended For the year ended

C CASH FLOW FROM FINANCING ACTIVITIES
Finance costs (46.77) (74.40)
Repayment of lease liabilities (50.87) (74.60)
Dividends paid (8,540.66) (8,505.18)
Foreign exchange gain/(Loss) 94.92 231.79
Net cash from/(used in) financing activities (C) (8,543.38) (8,422.39)
Net increase/(decrease) in Cash and cash equivalents (1,650.58) (2,617.54)
(A+B+C)
Cash and cash equivalents at the beginning of the year 2,378.07 4,995.61
Cash and cash equivalents at the end of the year (Refer Note (i) 727.49 2,378.07
below)
Note (i):
Cash in hand 8.52 2.71
Balances with Banks 718.97 2,375.36
Cash and cash equivalent 727.49 2,378.07
The above Statement of Cash Flows has been prepared under the "Indirect Method" set out in
Ind AS - 7, 'Statement of cash Flows' specified under section 133 of the Companies Act, 2013.
Purchase of property, plant and equipment includes movements of capital work-in-progress during
the year.
Figures in brackets indicate cash outflows

DIN: 00190168
Partner
DIN: 00026010 DIN: 00145558
164
Notes forming part of the Financial Statements
1. Corporate information
Avanti Feeds Limited, ("the Company") is a listed public company incorporated under “The
Companies Act, 1956”, with its registered office in Visakhapatnam, Andhra Pradesh. Avanti Feeds
Limited has started its commercial operations in 1993 and now stands as the leading manufacturer
of Shrimp Feed.
The financial statements are approved for issue by the Company's Board of Directors on 22nd
May, 2024.
2. Basis of preparation of financial statements and material accounting

policies:
2.1 Basis of preparation and measurement
i) Basis of preparation
These financial statements are prepared in accordance with Indian Accounting Standard
(Ind AS), the provisions of The Companies Act, 2013 ('the Act') (to the extent notified)
and guidelines issued by the Securities and Exchange Board of India (SEBI). The Ind AS
are prescribed under Section 133 of the Act read with Rule 3 of the Companies (Indian
Accounting Standards) Rules, 2015 and relevant amendment rules issued there after.
Accounting policies have been consistently applied except where a newly issued
accounting standard is initially adopted or a revision to an existing accounting standard
requires a change in the accounting policy hitherto in use
ii) Basis of measurement

The financial statements have been prepared under the historical cost convention on
the accrual basis except for the following financial instruments which are measured at
fair values:

- certain financial assets and liabilities are measured at fair value
- biological assets – measured at fair value; and
- defined benefit plans – plan assets measured at fair value
iii) 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 realised or intended to sold or consumed in normal operating
cycle
- Held primarily for the purpose of trading
- Expected to be realised within twelve months after the reporting period, or
- Cash and 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
- It is held primarily for the purpose of trading
- 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
165
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Deferred tax assets and liabilities are classified as non-current assets and liabilities.
The operating cycle is the time between the acquisition of assets for processing and
their realisation in Cash and Cash equivalents.
2.2 Measurement of fair values

The Company’s accounting policies and disclosures require financial instruments to be
measured at fair values. The Company has an established control framework with respect
to the measurement of fair values.
The Company uses valuation techniques that are appropriate in the circumstances and for
which sufficient data are available to measure fair value, maximizing the use of relevant
observable inputs and minimizing the use of unobservable inputs. The management
regularly reviews significant unobservable inputs and valuation adjustments. If third party
information, such as broker quotes or pricing services, is used to measure fair values, then
the management assesses the evidence obtained from the third parties to support the
conclusion that such valuations meet the requirements of Ind AS, including the level in the
fair value hierarchy in which such valuations should be classified.
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 of the fair value hierarchy
at the end of the reporting period during which the change has occurred.
2.3 Use of estimates and judgements

The preparation of the financial statements in conformity with Ind AS requires the
management to make estimates, judgments and assumptions. These estimates, judgments
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
financial statements and reported amounts of revenues and expenses during the period.
Accounting estimates could change from period to period. Actual results could differ from
those 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 financial statements in the period in which changes are made and, if material,
their effects are disclosed in the notes to the financial statements. The areas involving
critical estimates or judgements are;
- Estimation of defined benefit obligation
- Useful life of property, plant and equipment
166 - Fair value of biological asset
2.4 Material accounting policies

a. Segment reporting
Operating segments are reported in a manner consistent with the internal reporting
provided to the chief operating decision maker.
The Chairman and Managing Director (CMD) of the Company has been identified as
the chief operating decision maker for the segment information presented.
b. Foreign currency translation

(i) Functional and presentation currency
Items included in the financial statements of the Company are measured using the
currency of its primary economic environment in which the Company operates ('the
functional currency'). The financial statements are presented in Indian rupees (₹),
which is the Company's functional and presentation currency.
(ii) Transactions and translations
Foreign-currency denominated monetary assets and liabilities are translated into the
relevant functional currency at exchange rates in effect at the Balance Sheet date. The
gains or losses resulting from such translations are included in net profit in the Statement
of Profit and Loss. Non-monetary assets and non-monetary liabilities denominated
in a foreign currency and measured at fair value are translated at the exchange rate
prevalent at the date when the fair value was determined. Non-monetary assets and
nonmonetary liabilities denominated in a foreign currency and measured at historical
cost are translated at the exchange rate prevalent at the date of the transaction.
Transaction gains or losses realized upon settlement of foreign currency transactions
are included in determining net profit for the period in which the transaction is

settled. Revenue, expense and cash-flow items denominated in foreign currencies are
translated into the relevant functional currencies using the exchange rate in effect on
the date of the transaction
c. Revenue recognition
The Company earns revenue primarily from sale of Shrimp Feed. Revenue is recognized
upon transfer of control of promised products or services to customers in an amount
that reflects the consideration the Company expects to receive in exchange for those
products or services. To recognize revenues, we apply the following five step approach:
1. identify the contract with a customer,
2. identify the performance obligations in the contract,
3. determine the transaction price,
4. allocate the transaction price to the performance obligations in the contract, and
5. recognize revenues when a performance obligation is satisfied.
At contract inception, the Company assesses its promise to transfer products or
services to a customer to identify separate performance obligations. The Company
applies judgement to determine whether each product or services promised to a
customer are capable of being distinct, and are distinct in the context of the contract,
if not, the promised product or services are combined and accounted as a single
performance obligation. The Company allocates the arrangement consideration to
separately identifiable performance obligation based on their relative stand-alone
selling price or residual method. Stand-alone selling prices are determined based on
sale prices for the components when it is regularly sold separately, in cases where
the Company is unable to determine the stand-alone selling price, the Company uses
167
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third-party prices for similar deliverables or the company uses expected cost plus
margin approach in estimating the stand-alone selling price.
Revenue towards satisfaction of a performance obligation is measured at the amount

of transaction price (net of variable consideration) allocated to that performance
obligation. The transaction price of goods sold is net of variable consideration on
account of various discounts and schemes offered by the company as part of the
contract.
d. Government grant
Grants from the government are recognised at their fair value where there is a
reasonable assurance that the grant will be received and the Company will comply
with all attached conditions.
Government grants relating to income are deferred and recognised in the Statement of
Profit and Loss over the period necessary to match them with the costs that they are
intended to compensate and presented within other income.
Government grants relating to the purchase of property, plant and equipment are
included in non-current liabilities as deferred income and are credited to Statement of
Profit and Loss on a straight-line basis over the expected lives of the related assets
and presented within other income.
Loans received from government in the nature of interest free deferred sales taxes
are treated in the nature of government grant. The difference between the fair value
of the loan and the amount of loan received is accounted as government grant.
The government grant is recognised in the Statement of Profit and Loss over the period
of loan.
e. Income Tax
The income tax expense or credit for the period is the tax payable on the current
period's taxable income based on the applicable income tax rate for each jurisdiction
adjusted by changes in deferred tax assets and liabilities attributable to temporary
differences and to unused tax losses.
The current income tax charge is calculated on the basis of the tax laws enacted or
substantively enacted at the end of the reporting period in the countries where the
Company operates and generates taxable income. Management periodically evaluates
positions taken in tax returns with respect to situations in which applicable tax regulation
is subject to interpretation. It establishes provisions, where appropriate, on the basis of
amounts expected to be paid to the tax authorities.
Deferred income 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. Deferred income tax is also not accounted for
if it arises from initial recognition of an asset or liability in a transaction other than a
business combination that at the time of the transaction affects neither accounting
profit nor taxable profit (tax loss). Deferred income 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 realised
168 or the deferred income tax liability is settled.
Deferred tax assets are recognised for all deductible temporary differences and
unused tax losses only if it is probable that future taxable amounts will be available to
utilise those temporary differences and losses.
Deferred tax assets and liabilities are offset when there is a legally enforceable right
to offset current tax assets and liabilities and when the deferred tax balances relate
to the same taxation authority. Current tax assets and tax liabilities are offset where
the entity has a legally enforceable right to offset and intends either to settle on a net
basis, or to realise the asset and settle the liability simultaneously.
Current and deferred tax is recognised in Statement of Profit and Loss, except to the
extent that it relates to items recognised in other comprehensive income or directly
in equity. In this case, the tax is also recognised in other comprehensive income or
directly in equity, respectively.
f. Ind AS 116 - Leases

As a lessee
The Company’s lease asset classes primarily consist of leases for land and buildings.
The Company assesses whether a contract contains a lease, at inception of a contract.
A contract is, or contains, a lease if the contract conveys the right to control the use
of an identified asset for a period of time in exchange for consideration. To assess
whether a contract conveys the right to control the use of an identified asset, the
Company assesses whether: (i) the contract involves the use of an identified asset
(ii) the Company has substantially all of the economic benefits from use of the asset
through the period of the lease and (iii) the Company has the right to direct the use of
the asset.
At the date of commencement of the lease, the Company recognizes a right-of-use
(ROU) asset and a corresponding lease liability for all lease arrangements in which it

is a lessee, except for leases with a term of 12 months or less (short-term leases) and
low value leases. For these short-term and low-value leases, the Company recognizes
the lease payments as an operating expense on a straight-line basis over the term of
the lease.
Certain lease arrangements includes the options to extend or terminate the lease
before the end of the lease term. ROU assets and lease liabilities includes these options
when it is reasonably certain that they will be exercised. The ROU assets are initially
recognized at cost, which comprises the initial amount of the lease liability adjusted for
any lease payments made at or prior to the commencement date of the lease plus any
initial direct costs less any lease incentives. They are subsequently measured at cost
less accumulated depreciation and impairment losses.
g. Impairment of assets
Intangible assets that have an indefinite useful life are not subject to amortisation
and are tested annually for impairment, or more frequently if events or changes in
circumstances indicate that they might be impaired. Other assets are tested for
impairment whenever events or changes in circumstances indicate that the carrying
amount may not be recoverable. An impairment loss is recognised for the amount by
which the asset's carrying amount exceeds its recoverable amount. The recoverable
amount is higher of an asset's fair value less costs of disposal and value in use. For the
purpose of assessing impairment, assets are grouped at the lowest levels for which
there are separately identifiable cash inflows which are largely independent of the
cash flows from other assets or group of assets (cash-generating units). Non-financial
assets other than goodwill that suffered an impairment are reviewed for possible
reversal of the impairment at the end of each reporting period. 169
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h. Cash and cash equivalents

Cash and cash equivalents in the balance sheet includes cash at bank and 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. Bank overdrafts are shown within borrowings in current liabilities in the balance
sheet. For the purpose of statement of cash flows, cash and cash equivalents, cash
and short term deposits as defined above is net of outstanding bank overdrafts as they
are considered an integral part of the Company's cash management.
i. Inventories
Inventories are valued at lower of cost and net realizable value. Cost of raw materials,
components and stores and spares is determined on a weighted average basis.
Cost of raw materials comprise of cost of purchase. Cost of work-in-progress and
finished goods comprises direct materials and labour and a proportion of manufacturing
overheads based on normal operating capacity. Cost is determined on a weighted
average basis. Cost of inventories also include all other costs incurred in bringing the
inventories to their present location and condition.
Net realisable value is the estimated selling price in the ordinary course of business
less the estimated costs of completion and the estimated costs necessary to
make the sale.
j. Biological assets
The Company recognises biological assets only when, the Company controls the assets
as a result of past events, it is probable that future economic benefits associated with
such assets will flow to the Company. Biological assets of the Company are in the
nature of Consumable Biological Assets. It is bifurcated into Brood Stock, (the Parents)
and harvested species which undergo biological transformation under different stages
as Nauplius, Zoea, Mysis and Post Larvae. The Company sells the biological assets
harvested from brood stock at Nauplius and Post Larvae Stages. The Brood Stock has
a maximum useful life of 6 months for laying eggs. and thereafter these are destroyed.
The valuation of the Brood stock biological assets are determined on the following basis:
Brood stock are used for captive consumption or to support farmers, it can not be sold
before the end of its useful life and as such, there is no active market. Other references
to market prices such as market prices for similar assets are also not available due
to the uniqueness of the breed. Valuation based on a discounted cash flow method
is considered to be unreliable given the uncertainty with respect to mortality rates
and production. Consequently, brood stock and Shrimp seed (Different stages) are
measured at cost, less depreciation and impairment losses.
The transmission phase from Nauplius to Zoea and Mysis are not considered as
significant transformation of biological asset and hence Zoea and Mysis are not valued
as per Ind AS - 41.
The Company recognises other biological assets at the fair value or cost of the assets
that can be measured reliably. Expenditure incurred on biological assets are measured
on initial recognition and at the end of each reporting period at its fair value less costs
to sell. The gain or loss arising from a change in fair value less costs to sell of biological
assets are included in Statement of Profit and Loss for the period in which it arises.
Management estimates the fair value less costs to sell of biological assets, taking
170 into account the most reliable evidence available at each reporting date. The future
realization of these biological assets may be affected by their survival rate, age and / or
other market-driven changes that may reduce the future economic benefits associated
with such assets. The fair value is arrived at based on the observable market prices of
biological assets adjusted for cost to sells, as applicable.
k. Investments and other financial assets

i) Classification
The Company classifies its financial assets in the following measurement
categories:
- those to be measured subsequently at fair value (either through other
comprehensive income, or through profit or loss), and
- those measured at amortised cost.
The classification depends on the entity's business model for managing the
financial assets and the contractual terms of the cash flows.
For assets measured at fair value, gains and losses will either be recorded in profit
or loss or other comprehensive income. For investments in debt instruments, this
will depend on the business model in which the investment is held. For investments
in equity instruments, this will depend on whether the Company has made an
irrevocable election at the time of initial recognition to account for the equity
investment at fair value through other comprehensive income.
The Company reclassifies debt investments when and only when its business
model for managing those assets changes.
ii) Measurement
At initial recognition, the Company measures a financial asset at its fair value, plus
in the case of a financial asset not at fair value through profit or loss, transaction

costs that are directly attributable to the acquisition of the financial asset.
Transaction costs of financial assets carried at fair value through profit or loss are
expensed in Statement of Profit and Loss. However, trade receivables that do not
contain a significant financing component are measured at transaction price.
Debt instruments
Subsequent measurement of debt instruments depends on the Company's
business model for managing the asset and the cash flow characteristics of the
asset. There are three measurement categories into which the Company classifies
its debt instruments:
- Amortised cost: Assets that are held for collection of contractual cash flows
where those cash flows represent solely payments of principal and interest
are measured at amortised cost. A gain or loss on a debt investment that
is subsequently measured at amortised cost and is not part of a hedging
relationship is recognised in profit or loss when the asset is derecognised or
impaired. Interest income from these financial assets is included in finance
income using the effective interest rate method.
- Fair value through other comprehensive income (FVOCI): Assets that are held
for collection of contractual cash flows and for selling the financial assets,
where the assets cash flows represent solely payments of principal and
interest, are measured at fair value through other comprehensive income
(FVOCI). Movements in the carrying amount are taken through OCI, except
for the recognition of impairment gains or losses, interest revenue and foreign
exchange gains and losses which are recognised in Statement of Profit and 171
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Loss. When the financial asset is derecognised, the cumulative gain or loss
previously recognised in OCI is reclassified from equity to profit or loss and
recognised in other gains/(losses). Interest income from these financial
assets is included in other income using the effective interest rate method.
- Fair value through profit or loss: Assets that do not meet the criteria for
amortised cost or FVOCI are measured at fair value through profit or loss. A
gain or loss on a debt investment that is subsequently measured at fair value
through profit or loss and is not part of a hedging relationship is recognised
in profit or loss and presented net in the Statement of Profit and Loss within
other gains/(losses) in the period in which it arises. Interest income from
these financial assets is included in other income.
Equity instruments
The Company subsequently measures all equity investments at fair value. Where
the Company elected to present fair value gains and losses on equity investments
in other comprehensive income, there is no subsequent reclassification of fair
value gains and losses to profit or loss. Dividends from such investments are
recognised in Statement of Profit and Loss as other income when the Company
right to receive payments is established.
Changes in the fair value of financial assets at fair value through profit or loss are
recognised in other gain/(losses) in the Statement of Profit and Loss. Impairment
losses (and reversal of impairment losses) on equity investments measured at
FVOCI are not reported separately from other changes in fair value.
iii) Impairment of financial assets
The Company assesses on a forward booking basis the expected credit losses
associated with its assets carried at amortised cost and FVOCI debt instruments.
The impairment methodology applied depends on whether there has been a
significant increase in credit risk. Note 37 details how the Company determines
whether there has been a significant increase in credit risk.
For trade receivables only, the Company applies the simplified approach permitted
by Ind AS 109 Financial Instruments, which requires expected life time losses to
be recognised from initial recognition of the receivables.
iv) Derecognition of financial assets
A financial asset is derecognised only when
- the Company has transferred the rights to receive cash flows from the financial
asset or
- retains the contractual rights to receive the cash flows of the financial asset, but
assumes a contractual obligation to pay the cash flows to one or more
recipients.
Where the entity has transferred an asset, the Company evaluates whether it
has transferred substantially all risks and rewards of ownership of the financial
asset. In such cases, the financial asset is derecognised. Where the entity has not
transferred substantially all risks and rewards of ownership of the financial asset,
the financial asset is not derecognised.
Where the entity has neither transferred a financial asset nor retains substantially
all risks and rewards of ownership of the financial asset, the financial asset is
derecognised if the Company has not retained control of the financial asset.
Where the Company retains control of the financial asset, the asset is continued
172 to be recognised to the extent of continuing involvement in the financial asset.
v) Income recognition
Interest income:
Interest income from debt instruments is recognised using the effective interest rate
method. The effective interest rate is the rate that exactly discounts estimated
future cash receipts through the expected life of the financial asset to the gross
carrying amount of a financial asset. When calculating the effective interest rate,
the Company estimates the expected cash flows by considering all the contractual
terms of the financial instrument (for example, prepayment, extension, call and
similar options) but does not consider the expected credit losses.
vi) Dividends
Dividends are recognised in profit or loss only when the right to receive payment
is established, it is probable that the economic benefits associated with the
dividend will flow to the Company, and the amount of the dividend can be
measured reliably.
l. Derivatives
Derivatives are initially recognised at fair value on the date a derivative contract is
entered into and are subsequently re-measured to their fair value at the end of each
reporting period and are included in other gains/(losses).
m. Offsetting financial instruments

Financial assets and liabilities are offset and the net amount is reported in the balance
sheet where there is a legally enforceable right to offset the recognised amounts and
there is an intention to settle on a net basis or realise the asset and settle the liability
simultaneously. The legally enforceable right must not be contingent on future events
and must be enforceable in the normal course of business and in the event of default,

insolvency or bankruptcy of the Company or the counterparty.
n. Property, plant and equipment

Freehold land is carried at historical cost. All other items of property, plant and
equipment are stated at historical cost less depreciation. Historical cost includes
expenditure that is directly attributable to the acquisition of the items.
Subsequent costs are included in the asset's carrying amount or recognised as a
separate asset, as appropriate, only when it is probable that future economic benefits
associated with the item will flow to the Company and the cost of the item can be
measured reliably. The carrying amount of any component accounted for as a separate
asset is derecognised when replaced. All other repairs and maintenance are charged
to profit or loss during the reporting period in which they are incurred.
Depreciation methods, estimated useful lives and residual value

Depreciation on tangible assets is calculated on a straight-line basis so as to expense
the cost less residual value over the estimated useful life's prescribed and in the
manner laid down under Schedule II to the Companies Act, 2013. The useful lives have
been determined based on technical evaluation done by the management's expert
which are higher than those specified by Schedule II to the Companies Act; 2013, in
order to reflect the actual usage of the assets. The estimated useful lives and residual
values are reviewed at the end of each reporting period, with the effect of any change
in estimate accounted for on a prospective basis. Assets costing individually rupee
equivalent of ₹ 5,000 or less are fully charged off on purchase. Depreciation for assets
purchased / sold during the period is proportionately charged. 173
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An asset's carrying amount is written down immediately to its recoverable amount if

the asset's carrying amount is greater than its estimated recoverable amount. Gains or
losses arising from disposal of property, plant and equipment which are carried at cost
are recognised in the Statement of Profit and Loss.
o. Intangible assets
Intangible assets that are acquired are recognized at cost initially and carried at cost
less accumulated amortization and accumulated impairment loss, if any.
i) Computer software
Computer software are stated at cost, less accumulated amortisation and
impairment losses, if any. Cost comprises the purchase price and any attributable
cost of bringing the asset to its working condition for its intended use.
ii) Amortisation methods and periods
Intangible assets with finite useful live are amortized over their respective
individual estimated useful lives (6 years in case of computer softwares) on a
straight line basis.
p. Trade and other payables

These amounts represent liabilities for goods and services provided to the Company
prior to the year end which are unpaid . The amounts are unsecured and are usually
paid as per mutually agreed terms. Trade and other payables are presented as current
liabilities unless payment is not due within 12 months after the reporting period. They
are recognised initially at their fair value and subsequently measured at amortised cost
using the effective interest method.
q. Borrowings
Borrowings are initially recognised at fair value, net of transaction costs incurred.
Borrowings are subsequently measured at amortised cost. Any difference between the
proceeds (net of transaction costs) and the redemption amount is recognised in profit
or loss over the period of the borrowings using the effective interest method. Fees
paid on the establishment of loan facilities are recognised as transaction costs of the
loan to the extent that it is probable that some or all of the facility will be drawn down.
In this case, the fee is deferred until the draw down occurs. To the extent there is no
evidence that it is probable that some or all of the facility will be drawn down, the fee
is capitalised as a prepayment for liquidity services and amortised over the period of
the facility to which it relates.
Borrowings are removed from the balance sheet when the obligation specified in the
contract is discharged, cancelled or expired. The difference between the carrying
amount of a financial liability that has been extinguished or transferred to another party
and the consideration paid, including any non-cash assets transferred or liabilities
assumed, is recognised in profit or loss as other gains/(losses).
Borrowings are classified as current liabilities unless the Company has an unconditional
right to defer settlement of the liability for at least 12 months after the reporting period.
Where there is a breach of a material provision 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, the entity does not classify the liability as current, if
the lender agreed, after the reporting period and before the approval of the financial
174 statements for issue, not to demand payment as a consequence of the breach.
r. Borrowing Cost
General and specific borrowing costs that are directly attributable to the acquisition,
construction or production of a qualifying asset are capitalised during the period of
time that is required to complete and prepare the asset for its intended use or sale.
Qualifying assets are assets that necessarily take a substantial period of time to get
ready for their intended use or sale.
Investment income earned on the temporary investment of specific borrowings pending
their expenditure on qualifying assets is deducted from the borrowing costs eligible for
capitalisation.
Other borrowing costs are expensed in the period in which they are incurred.
s. Provisions, Contingent liabilities & Contingent assets

Provisions are recognised when the Company has a present legal or constructive
obligation as a result of past events, it is probable that an outflow of resources will be
required to settle the obligation and the amount can be reliably estimated. Provisions
are not recognised for future operating losses.
Where there are a number of similar obligations, the likelihood that an outflow will be
required in settlement is determined by considering the class of obligations as a whole.
A provisions is recognized even if the likelihood of an outflow with respect to any one
item included in the same class of obligations may be small.
Provisions are measured at the present value of management’s best estimate of the
expenditure required to settle the present obligation at the end of the reporting period.
The discount rate used to determine the present value is a pre-tax rate that reflects
current market assessments of the time value of money and the risks specific to the
liability. The increase in the provisions due to the passage of time is recognized as

interest expense.
Contingent liabilities
Contingent liabilities are disclosed, unless the possibility of outflow of resources is
remote, when there is
- A possible obligation arising from past events, the existence of which will be
confirmed only by the occurrence or non-occurrence of one or more uncertain
future events not wholly within the control of the Company or
- A present obligation that arises from past events where it is either not probable
that an outflow of resources will be required to settle the obligation or reliable
estimate of the amount cannot be made
The Company has disclosed the same as per the requirements of Ind AS 37.
Contingent assets
A contingent asset is a possible asset that arises from past events and whose
existence will be confirmed only by – the occurrence or non-occurrence of one or more
uncertain future events not wholly within the control of the entity. The Company does
not recognize the contingent asset in its standalone financial statements since this
may result in the recognition of income that may never be realised. Where an inflow
of economic benefits are probable, the Company disclose a brief description of the
nature of contingent assets at the end of the reporting period. However, when the
realisation of income is virtually certain, then the related asset is not a contingent asset
and the Company recognize such assets. 175
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2023-24
t. Employee benefits
i. Short-term obligations
Liabilities for wages and salaries, including non-monetary benefits that are
expected to be settled wholly within 12 months after the end of the period in
which the employees render the related service are recognised in respect of
employees' services up to the end of the reporting period and are measured at
the amounts expected to be paid when the liabilities are settled. The liabilities are
presented as current employee benefit obligations in the balance sheet.
ii. Other long-term employee benefit obligations
The liabilities for earned leave and sick leave are not expected to be settled wholly
within 12 months after the end of the period in which the employees render the
related service. They are therefore measured as the present value of expected
future payments to be made in respect of services provided by employees up to
the end of the reporting period using the projected unit credit method. The benefits
are discounted using the market yields at the end of the reporting period that
have terms approximating to the terms of the related obligation. Remeasurements
as a result of experience adjustments and changes in actuarial assumptions are
recognised in profit or loss.
The obligations are presented as current liabilities in the balance sheet if the
entity does not have an unconditional right to defer settlement for at least twelve
months after the reporting period, regardless of when the actual settlement is
expected to occur.
iii. Post- employment obligations
The Company operates the following post-employment schemes:
a. defined benefit plans such as gratuity; and
b. defined contribution plans such as Provident fund, Employee State Insurance
and Superannuation fund
Gratuity obligations
The liability or asset recognised in the balance sheet in respect of defined benefit
gratuity plans is the present value of the defined benefit obligation at the end
of the reporting period less the fair value of plan assets. The defined benefit
obligation is calculated annually by actuaries using the projected unit credit
method.
The present value of the defined benefit obligation denominated by discounting
the estimated future cash outflows by reference to market yields at the end of
the reporting period on government bonds that have terms approximating to the
terms of the related obligation.
The net interest cost is calculated by applying the discount rate to the net balance
of the defined benefit obligation and the fair value of plan assets. This cost is
included in employee benefits expense in the Statement of Profit and Loss.
Remeasurement gains and losses arising from experience adjustments and
changes in actuarial assumptions are recognised in the period in which they occur,
directly in other comprehensive income. They are included in retained earnings in
the statement of changes in equity and in the balance sheet.
Changes in the present value of the defined benefit obligation resulting from plan
amendments or curtailments are recognised immediately in profit or loss as past
176 service cost.
Defined contribution plans

The Company pays provident fund contributions to publicly administered
Provident funds and Employee State Insurance funds as per local regulations.
The Company has no further payment obligations once the contributions have
been paid. The contributions are accounted for as defined contribution plans and
the contributions are recognised as employee benefits expense when they are
due. Prepaid contributions are recognised as an asset to the extent that a cash
refund or a reduction in the future payments is available. Superannuation Scheme
(administered through a 'Superannuation Trust' formed by the Company) is a
defined contribution plans, where the Company has no further obligations under
the plan beyond its monthly/ quarterly contributions.
iv. Bonus plans
The Company recognises a liability and an expense for bonuses. The Company
recognises a provision where contractually obliged or where there is a past
practice that has created a constructive obligation.
u. Contributed Equity
Equity shares are classified as equity.
Incremental costs directly attributable to the issue of new shares are shown in equity
as a deduction, net of tax, from the proceeds.
v. Dividends
Provision is made for the amount of any dividend declared, being appropriately
authorized and no longer at the discretion of the entity, on or before the end of the
reporting period but not distributed at end of the reporting period.

w. Earnings per share
i. Basic earnings per share
Basic earnings per share is calculated by dividing the profit attributable to owners
of the Company by the weighted average number of equity shares outstanding
during the financial year.
ii. Diluted earnings per share
Diluted earnings per share adjusts the figures used in the determination of basic
earnings per share to take into account:
- the after income tax effect of interest and other financing costs associated
with dilutive potential equity shares, and
- the weighted average number of additional equity shares that would have
been outstanding assuming the conversion of all dilutive potential equity
shares.
x. Rounding of amounts
All amounts disclosed in the financial statements and notes have been rounded off to
the nearest lakhs as per the requirement of Schedule III, unless otherwise stated.
2.5 Recent accounting pronouncements

Ministry of Corporate Affairs (“MCA”) notifies new standards or amendments to the existing
standards under Companies (Indian Accounting Standards) Rules as issued from time to
time. For the year ended 31st March, 2024, MCA has not notified any new standards or
amendments to the existing standards applicable to the Company. 177
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3. Property, plant and equipment
Land - Buildings Roads Plant & Wind Electrical Solar Lab Office Computers Furniture Motor Total tangible
Free hold machinery mills Installation Power equipment equipment and fixtures vehicles assets
Gross Carrying amount
As at 31st March, 2022 2,634.80 5,837.04 366.58 11274.63 649.31 2,224.69 34.60 399.15 238.52 202.07 180.78 1,126.35 25,168.52
Additions 62.25 3,507.53 456.61 5,676.20 - 1,019.24 - 138.80 32.98 68.15 40.51 162.70 11,164.97
Disposals - - - 211.04 - 0.14 - 4.13 2.50 44.28 0.28 3.65 266.02
As at 31st March, 2023 2,697.05 9,344.57 823.19 16,739.79 649.31 3,243.79 34.60 533.82 269.00 225.94 221.01 1,285.40 36,067.47
Additions - 2,435.68 - 444.73 - 412.02 589.86 37.94 407.67 26.32 1,020.22 79.17 5,453.61
Disposals - 9.15 - 212.57 - 3.06 - 1.40 23.30 14.32 1.61 42.91 308.32
As at 31st March, 2024 2,697.05 11,771.10 823.19 16,971.95 649.31 3,652.75 624.46 570.36 653.37 237.94 1,239.62 1,321.66 41,212.76
Depreciation
Upto 31st March , 2022 - 711.42 173.03 7,011.05 324.76 1,189.20 14.07 180.67 166.75 161.36 99.40 514.34 10,546.05
Charge for the year - 206.29 34.90 1,422.57 54.14 259.53 3.01 45.97 31.93 38.07 19.28 114.15 2,229.84
Disposals - - - 199.00 - 0.11 - 2.97 2.48 42.57 0.16 2.06 249.35
Upto 31st March, 2023 - 917.71 207.93 8,234.62 378.90 1,448.62 17.08 223.67 196.20 156.86 118.52 626.43 12,526.54
Disposals - 1.46 - 210.13 - 1.49 - 1.24 23.12 12.47 1.07 30.21 281.19
Upto 31st March, 2024 - 1,253.32 285.86 10,005.78 433.19 1,786.97 32.84 276.61 249.52 186.51 199.39 726.66 15,436.65
Net block
As at 31st March, 2023 2,697.05 8,426.86 615.26 8,505.17 270.41 1,795.17 17.52 310.15 72.80 69.08 102.49 658.97 23,540.94
As at 31st March, 2024 2,697.05 10,517.78 537.33 6,966.17 216.12 1,865.78 591.62 293.75 403.85 51.43 1,040.23 595.00 25,776.11

3. a) Capital work-in-progress
Capital work-in
- progress
Gross Carrying amount
As at 31st March, 2022 2,312.85
Additions 10,829.29
Capitalised during the year 11,140.49
As at 31 March, 2023
st
2,001.65
Additions 3,641.87
As at 31st March, 2024 293.64
Net block
As at 31st March, 2023 2,001.65
As at 31st March, 2024 293.64
Notes:
i) Refer to note 18 for information on property, plant and equipment pledged as security by the
company.
ii) Refer to note 31 for disclosure of contractual commitments for the acquisition of property,
plant and equipment.
iii) ₹ 5,349.88 Lakhs has been capitalised and transferred to property, plant and equipment
during the year ended 31st March, 2024

iv) ₹ 11,140.49 Lakhs has been capitalised and transferred to property, plant and equipment
Ageing of capital work-in-progress as on 31st March, 2024

Particulars Amount in capital work-in-progress for a period of Total
Less than 1 1 - 2 years 2-3 More than 3
year years years
Projects in Progress
Factory Building at Hatchery 162.12 - - - 162.12
Solar Power at Kovvur 10.71 - - - 10.71
Electrical Installation 12.16 - - - 12.16
Office Equipment at Kovvur 6.18 - - - 6.18
Office Equipment at Gujarat 2.99 - - - 2.99
Plant & Machinery at Hatchery 9.25 - - - 9.25
Plant & Machinery at Gujarat 90.23 - - - 90.23
Total 293.64 - - - 293.64
Projects temporarily suspended: Nil 179

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Ageing of capital work-in-progress as on 31st March 2023

Particulars Amount in capital work-in-progress for a Total
period of
Less than 1 1-2 2-3 More than 3
year years years years
Projects in Progress
Admin Building, Kovvurv 263.00 196.24 - - 459.24
Compound wall at Bandapuram 246.48 - - - 246.48
Office equipment at Kovvur 265.56 - - - 265.56
Data process equipment at Kovvur 24.45 - - - 24.45
Temporary shed at Kovvur 12.92 - - - 12.92
Guest House at Kovvur 750.45 222.89 - - 973.34
Plant & Machinery at Kovvur 3.45 - - - 3.45
Total 1,582.52 419.13 - - 2,001.65
Projects temporarily suspended: Nil
4. Right of use asset

a) ROU as at 31st March, 2024
Particulars Category of Total
ROU asset
Buildings
Balance as at 31st March, 2022 177.95 177.95
Additions 4.34 4.34
Deletion (13.52) (13.52)
Depreciation (68.84) (68.84)
st
99.93 99.93
Additions 21.06 21.06
Adjustment (3.18) (3.18)
Deletion (1.67) (1.67)
Depreciation (43.86) (43.86)
The aggregate depreciation expense on ROU assets is included under depreciation and
amortization expense in the Statement of Profit and Loss.
b) Lease liabilities as at 31st March, 2024

Particulars As at 31st March, As at 31st March,
2024 2023
i Non - Current 41.09 72.39
ii Current 44.94 40.06
180 Total 86.03 112.45

The movement in lease liabilities during the year ended 31st March, 2024 is as follows:
Particulars As at As at
Opening balance 112.45 185.72
Finance cost accrued during the year 7.59 12.61
Deletions (1.79) (15.33)
Remeasurement of Leases - 1.80
Adjustments (2.40) -
Payment of lease liabilities (50.87) (74.60)
Closing balance 86.03 112.45
Rental expenses recorded on short-term leases was ₹ 259.48 Lakhs
The details of the contractual maturities of lease liabilities as at 31st March, 2024 on
an undiscounted basis are as follows:
Less than one year 44.94 40.00
One year to three years 41.09 72.45
More than three years - -
Total 86.03 112.45

5. Intangible assets
Description of Assets Computer
software
Balance as at 31st March, 2022 25.55
Additions -
Disposals -
Additions -
Disposals 0.47
Amortization expense:
Amortization expense for the year 3.51
Disposals -
Amortization expense for the year 2.91
Disposals 0.47
Net Block
Balance as at 31st March, 2024 0.73 181
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6. Investments
a) Non - current investments ( Refer note i below)
Investments carried at cost
i Equity instruments of subsidiaries (unquoted) 13,145.88 10,515.78
ii Equity instruments of associated companies (unquoted) 1,064.52 1,064.52
iii Equity instruments of other entities (unquoted) 795.77 795.77
Investments carried at fair value through profit and loss
iv Equity instruments of other entities (quoted) 6.40 3.20
Investments carried at amortised cost
v Investments in Non Convertible Debentures (quoted) 1,515.21 1,512.81
Total 16,527.78 13,892.08
b) Current investments (Refer note ii below)
Investments carried at fair value through profit and loss
i Investments in Mutual Funds (quoted) 39,945.32 56,635.87
i Investments in Non Convertible Debentures (quoted) 1,058.47 7,375.93
ii Investments in term deposits: 12,495.87 13,030.92
Total 53,499.66 77,042.72
Note i: Details of non-current investments
Equity instruments of subsidiaries (unquoted)
Avanti Frozen Foods Private Limited 8,461.00 8,461.00
60,10,000 ( 31st March 2023 : 60,10,000) equity shares
of ₹ 10/- each fully paid up )
Srivathsa Power Projects Limited 2,054.78 2,054.78
3,33,97,090 (31st March, 2023: 3,33,97,090) equity
shares of ₹ 10/- each fully paid up
Avanti Pet Care Private Limited
2,63,01,000 (31st March, 2023: nil) equity shares of 2,630.10 -
₹ 10/- each fully paid up
Total a (i) 13,145.88 10,515.78
Equity instruments of associate companies (unquoted)
Patikari Power Private Limited 1,064.52 1,064.52
1,06,45,200 (31st March, 2023: 1,06,45,200) equity
Total a(ii) 1,064.52 1,064.52
Equity instruments of other entities (unquoted)
Bhimavaram Hospitals Limited 12.00 12.00
1,20,000 (31st March, 2023: 1,20,000) equity shares of ₹
10/- each fully paid up
PT Thai Union Kharisma Lestari 783.77 783.77
15,46,800 (31st March, 2023: 15,46,800) equity shares of
IDR 10,000/- each fully paid up
182 Total a(iii) 795.77 795.77

Equity instruments of other entities (quoted)
IDBI Bank Limited 2.33 1.30
2,880 (31st March, 2023: 2,880) equity shares of ₹ 10/-
each fully paid up
UCO Bank Limited 4.07 1.90
7,800 (31st March, 2023: 7,800) equity shares of ₹ 10/-
each fully paid up
Total a(iv) 6.40 3.20
Investments in Non Convertible Debentures (quoted)
7.7541% Tata Motors Finance Holding Limited: 150 nos 1,515.21 1,512.81
(31st March, 2023: 150 nos)
1,515.21 1,512.81
Total a(i+ii+iii+iv) 16,527.78 13,892.08
Aggregate amount of quoted investments and market 1,521.61 1,516.01
value thereof
Aggregate amount of unquoted investments 15,006.17 12,376.07
Aggregate amount of impairment in the value of - -
investments in unquoted equity shares
16,527.78 13,892.08
Note: ii Current investments
Investment in quoted mutual funds

IDFC Low duration Fund - Growth Regular plan - nil - 516.02
(31st March, 2023: 15,69,870 units of ₹ 32.8705 each)
Axis Banking & PSU Debt Fund - Direct Plan - Growth 7,792.98 9,140.60
- 3,17,583.381 units of ₹ 2453.8381 each
(31st March, 2023 - 3,99,401.665 units of each
₹ 2288.5724)
Bandan Banking & PSU Debt Fund - Direct Plan - 1,496.28 6,957.11
Growth - 65,32,593.212 units of ₹ 22.9048 each
(31st March, 2023 - 3,25,81,564 units of ₹ 21.3529
each)
Nippon India Arbitrage Fund - Direct Growth Plan - nil - 1,488.60
(31st March, 2023 - 61,66,826.829 units of ₹ 24.1388
each)
SBI Magnum Ultra Short Duration Fund Direct Growth - 1,001.54 6,539.19
18,071.603 units of ₹ 5542.0577 each (31st March, 2023
- 1,26,767.310 units of ₹ 5,158.4197 each)
Bandan Coporate Bond Fund Direct Growth - 5,463.95 5,090.09
3,06,60,171.091 units of ₹ 17.8210 each (31st March, 2023
- 3,06,60,171.091 units of ₹ 16.6022 each)
ICICI Pru Corporate Bond Fund Direct Growth : 6,566.01 6,071.83
2,33,28,738.974 units of ₹ 28.1456 each (31st March,
2023 - 2,33,28,738.974 units of ₹ 26.0278 each)
183
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HDFC Corporate Bond Fund Direct Growth - 5,820.87 5,379.84
2023 - 1,94,78,542,345 units of ₹ 27.6193 each)
Aditya Birla S. L. Floating Rate Debt Fund Direct Growth: 3,488.53 3,231.27
10,78,576.43 units of ₹ 323.4383 each (31st March 2023:
10,78,576.43 units of ₹ 299.2125 each)
HDFC Floating Rate Debt Fund Direct Growth: 3,271.97 3,023.25
71,35,334.839 units of ₹ 45.8559 each (31st March, 2023
: 71,35,334.839 units of ₹ 42.3701 each)
SBI Liquid Fund Direct Growth: nil (31st March, 2023: - 4,130.02
1,17,220.180 units of ₹ 3,523.303 each)
SBI Savings Fund Direct Plan Growth: nil (31st March, - 2,065.01
2023: 54,96,254.129 units of ₹ 37.5713 each)
Aditya Birla S. L. Nifty SDL Plus PSU Bond Sept 2026 536.98 500.71
50:50 Index Fund Direct Growth: 47,74,124.871 units of
₹ 11.2477 each (31st March, 2023: 47,74,124.871 units of
₹ 10.488 each)
Aditya Birla S. L. Corporate Bond Fund Direct Growth: 1,081.10 1,001.10
10,47,117.406 Units of ₹ 103.2453 each (31st March, 2023
: 10,47,117.406 units of ₹ 95.61 each)
Bandan Crisil IBX Gilt April 2028 Index Lumpsum Fund 1,075.97 1,000.49
Direct Plan - Growth : 91,37,471.01 units of ₹ 11.7754
each (31st March, 2023: 91,37,471.01 units of
₹ 10.9493 each)
SBI CPSE Bond Plus SDL Sep 2026 50:50 Index Fund 536.91 500.74
Direct: 48,07,775.535 units of ₹ 11.1675 each
(31st March, 2023: 48,07,775.535 units of ₹ 10.4153 each)
Bandan Arbitrage Fund - Regular Growth : 21,96,947.268 654.08 -
units of ₹ 29.7724 each (31st March, 2023: nil)
TATA Arbitrage Fund Regular Ask Growth : 87,85,873.941 1,158.15 -
units of ₹ 13.1806 each (31st March, 2023: nil)
Total b (i) 39,945.32 56,635.87
Investments in Non Convertible Debentures (quoted) - Current
5.23% LIC Housing July 2023 : nil (31st March 2023 : 100 nos) - 1,036.01
5.40% HDFC Aug 2023 : nil (31st March 2023 : 100 nos) - 1,035.41
5.70% Bajaj Finance Aug 2023 : nil (31st March 2023 : - 1,037.60
100 nos)
7.2871% HDB Financials July 2023 : nil (31st March 2023: 200 nos) - 2,110.41
8.00% Reliance Industries Ltd. - 09th April 2023: nil - 1,078.59
(31st March 2023: 100 nos)
8.00% Reliance Industries Ltd. - 16th April 2023: nil - 1,077.91
(31st March 2023: 100 nos)
Housing Development Finance Corporation SR V-006 1,058.47 -
7.99 NCD: 100 nos (31st March 2023: nil)
Total b (ii) 1,058.47 7,375.93
184

Term deposit with Financial Institutions:
Term deposit with LIC of India 5,173.06 4,084.23
Term deposit with Bajaj Finance Limited 7,322.81 8,946.69
Total b (iii) 12,495.87 13,030.92
Total b(i+ii+iii) 53,499.66 77,042.72

value thereof
Total 53,499.66 77,042.72
7. Loans
a Non Current
Unsecured, considered good
Loans to employees 219.48 182.88
Total 219.48 182.88
b Current

Total 115.78 86.02
8. Other Financial Assets

Non Current
Security deposits 729.45 668.78
Total 729.45 668.78
9. Other Assets
a Non Current
Taxes paid under protest 3.27 2.94
Unsecured, considered doubtful
Capital Advances 711.71 846.05
Less: Provision for Bad and doubtful advances (16.00) (16.00)
698.98 832.99
185
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Report
2023-24

b Current
Prepaid expenses 382.51 397.95
Advance for expenses 149.72 94.27
Export Incentives Receivables 1.10 0.77
RODTEP scripts on hand 88.43 329.98
GST Receivable 25.26 0.12
Advance to suppliers 153.78 573.12
Interest accrued on electricity deposits 36.57 33.20
Total 848.81 1,441.37
1.0 a) Inventories (valued at lower of cost or net realizable value)
Raw materials
- in godown 53,176.59 46,498.29
- stock in transit - 724.87
Packing materials 716.97 512.03
Work-in-progress 562.59 809.21
Finished goods 10,017.20 5,109.14
Stores and spares 1,803.91 2,297.67
Stores and spares - in transit - 68.67
Total 66,277.26 56,019.88
10. b)
Biological Assets (Refer note below)
Note:
Brood stock 53.13 -
Post Larval 62.37 123.07
Total 115.50 123.07
Reconciliation of changes in the carrying amount of biological assets:
As at beginning of the year 123.07 84.14
Increase due to purchase/production/physical change 1,809.21 1,769.93
Decrease due to Physical change/ sales 1,816.78 1,731.00
186 Net change in the Fair value less estimated cost to sell 115.50 123.07

11. Trade Receivables

a Billed
Secured
Undisputed
Considered good 1,179.58 2,490.56
Considered doubtful - -
Disputed
Considered good 148.31 148.31
Credit Impaired -
Unsecured
3,935.20 6,281.93
Less: Expected credit loss - -
Total (a) 3,935.20 6,281.93
b Unbilled: 5.00 9.92
Total (b) 5.00 9.92
Total (a+b) 3,940.20 6,291.85
Ageing for trade receivables - billed current outstanding as at 31st March, 2024 is as follows:
Particulars outstanding for following periods from due date of Total

payment

Less than 6 6 1-2 2-3 More
months months years years than 3
to 1 year years
Undisputed trade receivables 2,607.31 - - - - 2,607.31
– secured - considered good
Undisputed trade receivables 1,179.57 - - - 1,179.57
– Unsecured - considered
good
Undisputed trade receivables - - - - - -
– which have significant
increase in credit risk
– credit impaired
Disputed trade receivables – - - - - 148.31 148.31
considered good
Disputed trade receivables - - - - - -
Disputed trade receivables – - - - - - -
credit impaired
3,786.88 - - - 148.31 3,935.20
Trade receivables - unbilled 5.00 - - - - 5.00
Total 3,791.88 - - - 148.31 3,940.20 187
Annual
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2023-24

Particulars outstanding for following periods from due date of payment Total
Less than 6 months 1-2 2-3 More than 3
6 months to 1 year years years years
Undisputed trade receivables 1,619.39 871.17 - - - 2,490.56
– secured - considered good
Undisputed trade receivables 2,516.25 1,100.84 8.80 17.17 3,643.06
– unsecured - considered
good
– credit impaired
Disputed trade receivables - - - - - 148.31 148.31
considered good
Disputed trade receivables - - - - - -
credit impaired
4,135.64 1,972.01 8.80 17.17 148.31 6,281.93
Trade receivables - unbilled 9.92 - - - - 9.92
Total 4,145.56 1,972.01 8.80 17.17 148.31 6,291.85
12. a) Cash and cash equivalents

Balances with banks:
- in current accounts 718.97 2,375.36
Total 727.49 2,378.07
12. b) Other bank balances

Current:
- Fixed deposit Accounts (Maturity more than 3 months) 57,955.62 20,200.25
- Unpaid dividend accounts 174.53 199.84
- Margin money accounts * 113.65 68.22
- Unspent CSR Accounts 412.86 172.86
Total 58,656.66 20,641.17
* Margin money deposits given as security
Margin Money deposits with bank of a carrying amount of ₹ 113.65 Lakhs (31st March, 2023:
₹ 68.22 lakhs) are lien marked for BG & import L.C.s.
188

13. Equity share capital

Authorised share capital:
15,85,00,000 equity shares of ₹ 1/- each (31st March, 1,585.00 1,585.00
2023: 15,85,00,000 equity shares of ₹ 1/- each)
Issued, subscribed and fully paid up capital:
13,62,45,630 equity shares of ₹ 1/- each (31st March, 1,362.46 1,362.46
Total 1,362.46 1,362.46
Notes:
a. Reconciliation of the number of shares outstanding:
Particulars No. of shares Amount
Shares issued during the year - -
st
13,62,45,630 1,362.46
st
13,62,45,630 1,362.46
b. Details of shareholders holding more than 5% shares in the Company

Name of the shareholder As at 31st March, 2024 As at 31st March, 2023
Number of % holding of Number of % holding of
shares held equity shares shares held equity shares
Equity shares of ₹ 1/- each fully paid
up (31st March, 2023: ₹ 1/- each)
1 Srinivasa Cystine Private Limited 3,62,99,115 26.64 3,62,99,115 26.64
2 Thai Union Group Public Company 2,10,30,630 15.44 2,10,30,630 15.44
Limited
3 Thai Union Asia Investment Holding 1,19,54,826 8.77 1,19,54,826 8.77
Limited
4 Alluri Indra Kumar 83,30,700 6.11 83,30,700 6.11
5 Alluri Indra Kumar (HUF) 81,89,250 6.01 81,89,250 6.01
As per records of the Company, including its register of shareholders / members and other
declaration received from shareholders regarding beneficial interest, the above shareholding
represent both legal and beneficial ownerships of shares.
c. Rights attached to equity shares:

The Company has only one class of equity shares having par value of ₹ 1/- per share (31st March,
2023: ₹ 1/- per share). Each holder of equity shares is entitled to one vote per share. The Company
declares and pays dividends in Indian rupees. The dividend proposed by the Board of Directors is
subject to the approval of the shareholders in the ensuing Annual General Meeting. 189
Annual
Report
2023-24

In the event of liquidation of the Company, the holders of equity shares will be entitled to receive
remaining assets of the Company, after distribution of all preferential amounts. The distribution
will be in proportion to the number of equity shares held by the shareholders.
d. Equity shares movement during the 5 years preceding 31st March, 2024 on account
of Equity shares issued as bonus
The Company allotted 4,54,15,210 equity shares as fully paid up bonus shares by capitalisation
of profits transferred from securities premium reserve amounting to ₹ 438.00 Lakhs and general
reserve amounting to ₹ 16.15 Lakhs, which was approved by the shareholders by means of a
special resolution through E.G.M. held on 14th June, 2018.
e. Details of share holding of promoters:
Name of the promoter As at 31st March, 2024 As at 31st March, 2023
Shares held by promoter Shares held by promoter
No. of shares % of total % change No. of shares % of % change

shares during the total during
year shares the year
Nuthakki Ram Prasad 2,29,701 0.17 - 2,29,701 0.17 -
Alluri Indra Kumar HUF 81,89,250 6.01 - 81,89,250 6.01 -
Sanjeev Agrovet Private 42,35,265 3.11 - 42,35,265 3.11 -

Limited
Srinivasa Cystine Private 3,62,99,115 26.64 - 3,62,99,115 26.64 -

Limited
Sudha Vadlamudi 37,500 0.03 - 37,500 0.03 -
Amar Kumar Chukkapall - - (100.00) 37,500 0.03 -
Vijaya Kumar Chukkapalli 18,750 0.01 - 18,750 0.01 -
Katneni Jagan Mohan 37,500 0.03 - 37,500 0.03 -

Rao
N Naga Ratna 95,022 0.07 - 95,022 0.07 -
Indra Kumar Alluri 83,30,700 6.11 - 83,30,700 6.11 -
Ratna Manikyamba Katneni 37,500 0.03 - 37,500 0.03 -
Arun Kumar Chukkapalli 18,750 0.01 - 18,750 0.01 -
Venkata Sanjeev Alluri 7,10,700 0.52 - 7,10,700 0.52 -
Alluri Nikhilesh Chowdary 6,91,650 0.51 - 6,91,650 0.51 -
Total 5,89,31,403 43.25 (100.00) 5,89,68,903 43.28 -

190

14. Other equity

General reserve 27,565.72 25,065.72
Retained earnings 1,69,596.87 1,49,921.56
Total Other Equity 1,97,162.59 1,74,987.28
General Reserve
Balance at beginning of year 25,065.72 22,565.72
Transferred from Surplus in Retained earnings 2,500.00 2,500.00
Balance at end of year 27,565.72 25,065.72
Retained earnings
Balance at beginning of year 1,49,921.56 1,37,679.51
Profit attributable to owners of the Company 30,805.65 23,284.42
Transfer to general reserve (2,500.00) (2,500.00)
Dividend declared during the year (8,515.35) (8,515.35)
Balance at end of year 1,69,596.87 1,49,921.56
General Reserve
The general reserve is used from time to time to transfer profits from retained earnings for

appropriation purposes. As the general reserve is created by a transfer from one component
of equity to another and is not an item of other comprehensive income, items included in the
general reserve will not be reclassified subsequently to statement of profit and loss. The reserve
is utilised for Bonus issue in accordance with the provisions of Companies Act 2013.
Securities premium:
Securities premium reserve is used to record the premium on issue of shares. The reserve is
utilised for Bonus issue in accordance with the provisions of Companies Act 2013.
15. Other financial liabilities

a Non-Current
Security deposits* 372.00 372.00
Total 372.00 372.00
b Current
Unpaid dividend 174.53 199.84
Creditors for capital works 54.64 49.70
Provision for over dues 48.78 -
Total 277.95 249.54
* Security Deposits taken from dealers for supplying them shrimp feed on credit term. These
deposits carry an interest of @ 9% per annum (31st March, 2023: 9% p.a.)
191
Annual
Report
2023-24

16. Provisions
Provisions (refer note 35)
Provision for gratuity 185.92 123.43
Provision for leave encashment 79.32 53.84
Total 265.24 177.27
a Non-Current portion - -
b Current portion 265.24 177.27
Total 265.24 177.27
17. Other Liabilities

Current
Advance from customers 1,376.51 2,922.85
Statutory dues 309.56 272.39
Total 1,686.07 3,195.24
18. Current borrowings

Secured:
Working capital loan from State Bank of India - -
Working capital loan from HDFC Bank - -
Total - -
The working capital limits, sanctioned by State Bank of India (SBI) and HDFC Bank as at
31st March, 2024, are ₹ 3,000.00 Lakhs and ₹ 2,000.00 Lakhs, respectively (31st March, 2023:
₹ 3,000.00 Lakhs and ₹ 2,000.00 Lakhs respectively).
The working capital limits from SBI is secured by first charge on all current assets, Collateral First
charge on Property, Plant and Equipment of the company. The same is repayable on demand and
carries interest @ 8.70% p.a.
The working capital limits from HDFC Bank is secured by first charge on all current assets,
Collateral First charge on Property, Plant and Equipment of the company. The same is repayable
on demand and carries interest @ 9.25% p.a.
Quarterly returns or statements of current assets filed by the Company with banks or financial
institutions are in agreement with the books of accounts.
Note: Debit balance in cash credit accounts as on 31st March, 2024 (and 31st March, 2023) have
192 been grouped under the head "Cash and Cash equivalents".

19. Trade payables

Dues to micro enterprises and small enterprises (Refer Note below) 2,992.57 946.53
Dues to creditors other than micro enterprises and small 24,220.14 23,299.69
enterprises
Disputed dues MSME - -
Disputed dues others - -
27,212.71 24,246.22
Dues to micro and small enterprises:

With the promulgation of the Micro, Small and Medium Enterprises Development Act, 2006, the
Company is required to identify Micro, Small and Medium Suppliers and pay them interest on
overdue beyond the specified period irrespective of the terms with the suppliers. The Company
has circulated letter to all suppliers seeking their status and the same has been received. In view
of this, the liability of interest calculated and the required disclosures made, in the below table,
to the extent of information available with the Company.
Principal amount remaining unpaid to any supplier as at 2,992.57 946.53
the end of the accounting year
Interest due thereon remaining unpaid to any supplier as - -
at the end of the accounting year
The amount of interest paid along with the amounts of the - -
payment made to the supplier beyond the appointed day

The amount of interest due and payable for the period - -
of delay in making payment (which have been paid but
beyond the appointed day during the year) but without
adding the interest specified under this Act
The amount of interest accrued and remaining unpaid at - -
the end of the accounting year
The amount of further interest due and payable even in - -
the succeeding year, until such date when the interest
dues as above are actually paid
Ageing for trade payables outstanding as at 31st March, 2024 is as follows:
Particulars outstanding for following periods from due date of Total
payment
Less than one 1-2 years 2-3 years More than
year 3 years
Trade payables
MSME 2,992.57 - - - 2,992.57
Others 5,183.87 - - - 5,183.87
Disputed dues - MSME - - - - -
Disputed dues - others - - - - -
Accrued expenses - - - - 19,036.27
Total 8,176.44 - - - 27,212.71
193
Annual
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2023-24

Particulars outstanding for following periods from due date Total

of payment
Less than one 1-2 2-3 More than 3

Trade payables
MSME 946.53 - - - 946.53
Others 9,128.75 - - - 9,128.75
Accrued expenses - - - - 14,170.94
Total: 10,075.28 - - - 24,246.22
Commission to whole time directors and non whole time directors included in accrued expenses
will be paid after approval of books of accounts at the ensuing A.G.M.
20. Income Taxes

20 a) Deferred taxes
For the year ended 31st March, 2024
Particulars Opening Recognised Recognised Closing

Balance in profit or in Other balance
loss comprehensive
income
Deferred tax liabilities/(assets) in relation to
Depreciation and amortisation 616.17 (143.96) - 472.21
Fair valuation of Investments 1,200.91 271.13 - 1,472.04
Lease Liabilities (28.30) 6.65 - (21.65)
Others 0.43 0.81 - 1.24
Total 1,789.21 134.63 - 1,923.84
For the year ended 31st March, 2023

Particulars Opening Recognised Recognised Closing
Balance in profit or in Other balance
loss comprehensive
income
Deferred tax liabilities/(assets) in relation to
Depreciation and amortisation 573.68 42.49 - 616.17
Others 0.17 0.26 - 0.43
194 Total 1,658.83 130.38 - 1,789.21

20 b) Non-current Tax Assets
Non-current tax assets (net of provision for tax) 1,849.09 1,244.63
Total 1,849.09 1,244.63
20 c) Tax expense recognised in Statement of Profit and Loss
Current tax
In respect of the current year 9,608.31 7,442.83
In respect of the earlier years 151.55 (176.73)
9,759.86 7,266.10
Deferred tax
In respect of the current year 134.62 130.38
134.62 130.38
Total tax expense 9,894.48 7,396.48
20 d) Tax Expense recognised in Other comprehensive income

Deferred tax
In respect of the current year - -
- -
20 e) Reconciliation of tax expense and the accounting profit multiplied by India’s tax
rate:
Income tax expense calculated at 25.168% 10,214.47 7,714.97
Impact of expenses that are not deductible (taxable) in
determining taxable profit
Deduction u/s 80M (123.28) (115.82)
Interest on Income tax - 0.64
Corporate Social Responsibility & Donations 143.23 156.39
Earlier taxes 151.55 (176.73)
Others (491.49) (182.97)
Income tax expense recognised in profit or loss 9,894.48 7,396.48 195
Annual
Report
2023-24

21. Revenue from operations

Particulars For the year ended For the Year Ended
Sale of Products (Manufactured)
Finished goods - Domestic - Billed 4,27,323.99 4,03,418.52
Finished goods - Domestic - Unbilled 5.00 9.92
Finished goods - Exports 1,697.10 706.07
Other Operating Revenue
Export Incentives 2.39 1.00
Total 4,29,028.48 4,04,135.51
Reconciliation of Revenue from sale of products with
contracted price
Contracted Price 5,32,779.68 4,99,682.52
Less : Sales Returns (88.49) (185.27)
Less : Trade and other Discounts (1,03,665.10) (95,362.74)
Sale of Products 4,29,026.09 4,04,134.51
Finished goods sold
Shrimp Feed
i) Domestic 4,25,611.22 4,01,675.40
ii) Exports 1,697.10 706.07
Shrimp Seed 1,550.88 1,588.41
Power 163.15 160.50
Other sales 3.74 4.13
Total 4,29,026.09 4,04,134.51
22. Other income (net)

Interest Income on Financial Assets carried at amortized cost:
Bank deposits 4,938.78 1,319.73
Secured Bonds - -
Non-convertible debentures 463.54 939.02
Others 40.64 33.21
Dividend Income:
Received from Subsidiaries 450.75 300.50
Received from Associates 37.26 159.68
Received from others 1.83 -
Net gain on sale of investments:
On sale of non-convertible debentures - 161.85
On sale of Mutual Funds 2,999.18 2,418.00
MTM gain on investments carried at fair value through 1,080.49 279.97
profit or loss
Net Foreign exchange gain / (loss) 94.92 231.79
Profit on sale of Assets 2.52 -
Miscellaneous income 427.81 431.30
196 Total 10,537.72 6,275.05

23. Cost of materials consumed

Inventory at the beginning of the year 47,735.20 62,149.61
Add: Purchases 3,71,478.14 3,33,190.16
4,19,213.34 3,95,339.77
Less: Inventory at the end of the year 53,893.56 47,735.20
Cost of materials consumed 3,65,319.78 3,47,604.57
Purchase of bearer biological Assets:
Purchase brood stock 258.33 181.52
Total 258.33 181.52
24. Changes in inventories of finished goods, work-in-progress and Biological Assets

Closing Stock:
Finished goods 10,017.20 5,109.14
Biological assets 115.50 123.07
10,695.29 6,041.42
Opening Stock:
Finished goods 5,109.14 2,004.72

6,041.42 2,723.12
Net( increase) /decrease (4,653.87) (3,318.30)
25. Employee benefits expense

Salaries, wages and bonus 14,272.07 12,020.22
Contribution to provident and other funds 698.58 603.31
Gratuity expense (Refer Note 35) 224.98 193.01
Staff welfare expenses 282.57 256.52
Total 15,478.20 13,073.06
26. Finance costs

Interest expense
- Interest on bank overdrafts and loans 7.23 0.18
- Interest on Lease Liability 7.59 12.61
Other borrowing costs 39.54 61.61
Total 54.36 74.40
197
Annual
Report
2023-24

27. Depreciation and amortisation expense

Depreciation of property, plant and equipment 3,191.30 2,229.84
Depreciation of ROU Assets 43.86 68.84
Amortisation of intangible assets 2.91 3.51
Total 3,238.07 2,302.19
28. Other expenses

Rent (refer note (i)) below 259.48 244.31
Power & fuel 6,555.86 6,551.96
Repairs & maintenance
- Buildings 552.30 195.60
- Plant & machinery 166.45 101.76
- Others 24.74 13.77
Consumable stores 1,732.85 2,441.57
Other manufacturing expenses 3,223.07 3,634.29
Rates & taxes 251.36 318.89
Insurance 314.56 363.35
Electricity charges 10.34 10.22
Vehicle maintenance 153.84 144.55
Travelling & conveyance 894.27 846.22
Communication costs 61.52 50.70
Printing & stationery 46.59 44.33
Directors' sitting fees 47.60 43.60
Auditors Remuneration:
As Auditors 35.40 35.40
Other Services 4.72 7.08
Reimbursement of expenses 7.83 8.98
Professional charges 252.66 197.92
Corporate Social Responsibility (refer note 32) 569.10 621.38
Donations 4.16 0.05
Bank charges 59.04 77.63
Assets written off 10.12 10.90
Advertisement charges 74.54 11.26
Carriage outward 217.43 335.23
Marketing expenses 1,877.25 1,836.91
Royalty 894.62 964.30
Loss on sale of Fixed Assets - 0.85
Commission on profits to Non executive Directors 100.00 100.00
General expenses 769.50 599.21
Total 19,171.20 19,812.22
Notes:
i) Operating leases:
Lease payments made under operating leases aggregating to ₹ 259.48 Lakhs (31st March, 2023:
₹ 244.31 Lakhs) have been recognized as an expense in the Statement of Profit and Loss. The
198 future minimum lease commitments under non-cancellable operating leases are Nil .

29. Earnings per share

Profit after Tax (PAT)(A) 30,805.65 23,284.42
Weighted average number of equity shares for 13,62,45,630 13,62,45,630
Basic EPS (B)
Basic earnings per share (A/B) 22.61 17.09
Note:
There is no dilution to the Basic Earnings per Share as there are no dilutive potential equity
shares.
30. Contingent Liabilities

Demands raised by customs, service tax, sales tax, income 113.71 102.27
tax and other authorities, being disputed by the Company*
* Details of demands raised by customs, service tax, sales
tax, income tax and other authorities :
Name of the Nature of the Dues Amount Period to Forum where dispute is pending
Statute which the
amount
relates
Madhya Sales tax (MP VAT 29.22 2005-2006 High Court of Madhya Pradesh
Pradesh VAT demand for soya
Act, 2002 transactions in
2005-06)

Customs Act, Customs duty 60.82 2009 -2010 CESTAT, Chennai
1962 to 2011-
2012
Income tax Income tax 12.23 2013-2014 Commissioner Appeals, Income
Act, 1961 tax, Hyderabad
Customs Act, Customs duty 11.44 2017-2018 The Commissioner of Customs
1962 & 2018- (Appeals), JNCH - Navaseva,
2019 Mumbai
Total 113.71
(i) The Company purchased soya bean in the year 2004-05, converted the same in to DOC
in 2005-06 and used some part for own consumption in manufacturing of shrimp feed and
some part was exported. The resultant soya oil was sold locally. The Sales Tax Act pertaining
to soya bean processing and soya oil sale was amended with effect from 13th December,
2004 and Commercial Tax department took the view that the soya bean purchased prior to
13th December, 2004 will attract tax at old rates and a demand to ₹ 29.22 Lakhs was raised.
This is being contested by the Company in the High Court of Madhya Pradesh.
(ii) Company is importing Squid Liver Powder (SLP) which was one of the raw materials for
manufacturing of shrimp feed. SLP was imported by the Company under raw material
classification. However, Customs has disputed our claim and demanding duty applicable for
import of complete feed. Company appealed against the order of CESTAT, Chennai, before
Madras High Court.
The Company is contesting the demands and the management, including its tax advisors,
believe that its position will likely be upheld in the appellate process. No tax expense has
been accrued in the financial statements for the tax demand raised. The management 199
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believes that the ultimate outcome of this proceeding will not have a material adverse effect
on the Company's financial position and results of operations.
iii) The Income Tax Department has completed the assessment for the assessment year 2013-
14 and has raised an additional demand of ₹ 12.23 Lakhs which the Company has contested
and filed an appeal with the Commissioner of Appeals, Income Tax.
iv) The Company has purchased spares like pellet dies etc. in the year 2017-2018 & 2018-2019
under stores & spares classification and paid IGST @ 12%. In the year 2022-23 customs has
reclassified these items and charged IGST @ 18% and asked the Company to pay differential
tax along with Interest. The Company has paid the differential amount of GST along with
interest and asked waiver for fine and penalty. But the customs department has raised a
fine ₹ 7,00,000/- and penalty 4,44,140/-. Aggrieved by the demand the Company has filed
an appeal with the Commissioner of Customs ( Appeals), Maharashtra.
The Company is contesting these demands and believes that its position will likely be upheld
in the appellate process. Accordingly, the Company has not accounted the fine and penalty
raised by the GST authorities. The management believes that the ultimate outcome of this
proceeding will not have a material adverse effect on the Company's financial position and
results of operations.
31. Capital Commitments

Estimated amount of capital contracts remaining to be executed to the extent not provided for
(net of advances) ₹ 275.84 Lakhs (31st March, 2023: ₹ 1,673.96 Lakhs).
32. Corporate Social Responsibility Expenditure

During the year, the amount required to be spent on corporate social responsibility activities
amounted to ₹ 569.10 Lakhs (31st March 2023 : ₹ 621.38 Lakhs) in accordance with Section 135
of the Act. The following amounts were actually spent during the current & previous year:
i Details of corporate social responsibility
expenditure:
A Amount required to be spent during the year 569.10 621.38
B Amount spent during the year
1 Construction/acquisition of any asset - -
2 Purpose other than (1) above 269.10 448.52
C Shortfall at the end of the year (refer note below) 300.00 172.86
D Total including previous years shortfall 412.86 172.86
E Reason for shortfall Pertaining to ongoing projects
F Nature of CSR activities Promoting Education, Healthcare,
Rural Development, Disaster relief,
Technological advancement.
G Details of related party transactions in relation to CSR 276.53 293.00
expenditure as per relevant Accounting Standard:
Contribution to Avanti Foundation in relation to CSR
expenditure
Note:
(i) ₹ 300.00 lakhs remained unutilised for the financial year 2023-24 (31st March, 2023: ₹ 172.86
Lakhs), which has been subsequently deposited in unspent CSR Account.
(iI) ₹ 172.86 Lakhs remained unutilised for the financial year 2022-23, out of which ₹ 60.00
Lakhs has been spent subsequently in the financial year 2023-24..
200

33. Related party disclosures
1. Names of related parties and related party relationship:
Related parties where control exists

Subsidiary Companies Avanti Frozen Foods Private Limited
Srivathsa Power Projects Private Limited
Avanti Pet Care Private Limited
Key Managerial Personnel (KMP) Whole time directors:

Dr. A. Indra Kumar,
Chairman and Managing Director
Sri C. Ramachandra Rao,
Joint Managing Director,
Company Secretary and CFO
Sri A. Venkata Sanjeev,
Executive Director
Non whole time directors Sri J.V. Ramudu

Sri N. Ram Prasad
Sri NVDS Raju
Sri Bunluesak Sorajjakit
Sri Peerasak Boonmechote
Smt. K. Kiranmayee

Sri V. Narsi Reddy
Sri G. Sudarsan Babu, IAS
Relatives of Key Managerial Personnel Sri A. Nikhilesh Chowdary
Associate Companies Patikari Power Private Limited
Entities over which KMP has significant Sanjeev Agro -Vet Private Limited
influence
Sri Sai Srinivasa Agro Farms & Developers LLP
Avanti Foundation
A.V.R. Trust
C.R. Reddy College
Sakuntala Professional Associates LLP
Nava Limited
Entities having significant influence over the Company Srinivasa Cystine Private Limited
Thai Union Feed Mill Co. Ltd., Thailand
Thai Union Group Public Co. Ltd.
Thai Union Asia Investment Holding Co. Ltd. 201
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2 Related party transactions

The following table provides the total amount of transactions that have been entered into with
related parties:
Particulars Key Management Entities having Subsidiaries Associated Entities over

Personnel significant companies which KMP
influence over has significant
the Company influence
For the Year For the Year For the Year For the Year For the Year
Ended Ended Ended Ended Ended
31st 31st 31st 31st 31st 31st 31st 31st 31st 31st
March, March, March, March, March, March, March, March, March, March,
2024 2023 2024 2023 2024 2023 2024 2023 2024 2023
Whole time 5,501.14 4,423.72 - - - - - - - -

directors
remuneration
Non whole 147.60 143.60 - - - - - - - -

time directors
sitting fees &
commission**
Rent paid 8.53 7.91 4.40 3.67 - - - - - 21.40
Rent Received - - 2.41 2.28 4.33 3.33 - - 1.55 1.48
Contributions - - - - - - - - 276.53 293.00

towards
corporate social
responsibility
Royalty paid - - 894.62 964.30 - - - - - -
Dividend paid 1,134.50 1,134.50 4,330.29 4,330.29 - - - - 264.70 264.70
Dividend - - - - 450.75 300.50 37.26 159.68 - -

Received
Power purchase - - - - - 758.55 - - - -
Legal Services - - - - - - - - 17.70 8.53

received
Purchase of - - - - 288.76 2,229.67 - - - -

MEIS License &
others
Sale of Goods - - - - 325.77 185.38 - - - -
Lab services - - - - 0.70 0.14 - - - -

202

Year end Balances

Particulars Key Management Entities having Subsidiaries Associated Entities over
Personnel significant companies which KMP
influence over has significant
the Company influence
As at As at As at As at As at
31st 31st 31st 31st 31st 31st 31st 31st 31st 31st
March, March, March, March, March, March, March, March, March, March,
2024 2023 2024 2023 2024 2023 2024 2023 2024 2023
Investment - - - - 13,145.88 10,515.78 1,064.52 1,064.52 - -
Whole time 4,619.61 3,637.32 - - - - - - - -
directors
remuneration
Non whole 100.00 100.00 - - - - - - - -
time directors
sitting fees &
commission**
Rent deposit - - 0.45 0.45 - - - - 0.24 0.24
received
Rental deposit - -
paid
Royalty - - 157.29 179.56 - - - - - -
Legal Services - - - - - - - - - -
payable
Advance - - - - - 35.59 - - - -
received from
customers
*below the rounding off norm adopted by the Company
** Commission to whole time directors and non whole time directors will be paid after approval of books of
accounts at the ensuing A.G.M.
34. Segment reporting

The Company is engaged in the business of Shrimp feed, Shrimp Hatchery and power generation.
The Chairman and Managing Director (CMD) has been identified as the Chief Operating Decision
maker (CODM). There are three segments in the Company i.e. Shrimp Feed, Shrimp Hatchery,
Wind Mills.
As the Company does not have revenue from any significant external customer amounting to 10%
or more of the Company's total revenue, the related information as required under paragraph 34
of Ind AS 108 has not been disclosed.
Shrimp Feed is manufactured & marketed to the farmers, which is used in Aqua culture to grow
shrimp.
Company had installed four wind mills of 3.2 MW at Chitradurga, Karnataka. Power generated
from wind mills is sold to BESCOM under Power Purchase agreement.
Shrimp Hatchery produces shrimp seed and sold to the aqua farmers.
Segment Revenue and Results

All segment revenues & expenses that are directly attributable to the segments are reported
under the respective segment. The revenues and expenses that are not directly attributable to
any segments are shown as unallocated expenses.
Segment assets and liabilities

Segment assets include all operating assets used by the business segment and consist
principally Property, Plant and Equipment, Debtors and Inventories. Segment liabilities primarily
include creditors and other liabilities. Assets and Liabilities that cannot be allocated between the
segments are shown as a part of unallocated assets and liabilities respectively. 203
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Particulars Shrimp Feed Wind Mills Hatchery Unallocated Total

Year ended Year ended Year ended Year ended Year ended Year ended Year ended Year ended Year ended Year ended
31st March, 31st 31st March, 31st March, 31st March, 31st March, 31st March, 31st March, 31st 31st March,
2024 March, 2023 2024 2023 2024 2023 2024 2023 March, 2024 2023
Revenue
External Sales 4,27,314.45 4,02,386.60 163.15 160.50 1,550.88 1,588.41 - - 4,29,028.48 4,04,135.51
Inter-segment sales - - - - - - - - - -
Total Revenue 4,27,314.45 4,02,386.60 163.15 160.50 1,550.88 1,588.41 - - 4,29,028.48 4,04,135.51
Segment Result
Operating Profit 30,417.86 24,411.03 19.80 19.67 (220.89) 49.55 - - 30,216.77 24,480.25
Other Income 490.07 685.95 - - 38.00 3.89 10,009.65 5,585.21 10,537.72 6,275.05
Interest Expense 52.84 73.54 - - 1.52 0.86 54.36 74.40
Income tax - Current year - - - - - 9,759.86 7,266.10 9,759.86 7,266.10
& previous year
- Deferred Tax - - - - - 134.62 130.38 134.62 130.38
Net Profit 30,855.09 25,023.45 19.80 19.67 (184.41) 52.58 115.17 (1,811.27) 30,805.65 23,284.43
Other Information
Segment Assets 1,03,181.78 95,099.67 317.24 508.52 3,435.03 3,402.94 1,23,414.84 1,07,480.56 2,30,348.89 2,06,491.69
Segment Liabilities 23,306.00 23,159.21 38.21 - 100.64 82.31 8,378.99 6,900.40 31,823.84 30,141.92
Capital Employed 79,875.78 71,940.46 279.03 508.52 3,334.39 3,320.63 1,15,035.85 1,00,580.16 1,98,525.05 1,76,349.77

35. Employee Benefits

i) Leave obligations
The leave obligations cover the Company’s liability towards earned leave.
Based on past experience, the Company does not expect all employees to take the full amount of
accrued leave or require payment within the next 12 months. The following amounts reflect leave
that is expected to be taken or paid within the next 12 months:
Particulars 31st March, 2024 31st March, 2023
Current leave obligations expected to be settled within 79.32 53.85

the next 12 months
ii) Defined Contribution Plans

The Company also has certain defined contribution plans. Contributions are made to provident fund
(at the rate of 12% of basic salary); Employee State Insurance and Superannuation Fund in India
for employees as per regulations. The contributions are made to registered funds administered
by the government. The obligation of the Company is limited to the amount contributed and it has
no further contractual nor any constructive obligation. The expense recognised during the period
towards defined contribution plan is ₹ 493.99 Lakhs (31st March, 2023 - ₹ 371.88 Lakhs).
iii) Defined benefit Plans

Gratuity
The Company provides 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 employee's last drawn basic
salary per month computed proportionately for 15 days salary multiplied for the number of years
of service. The gratuity plan is a funded plan. The Company does not fully fund the liability and
maintains a target level of funding to be maintained over a period of time based on estimations of
expected gratuity payments.
The amounts recognised in the balance sheet and the movements in the defined benefit obligation
over the year are as follows:
Particulars 31st March, 2024 Net 31st March, 2023 Net

amount amount
Present value Fair value Present Fair value
of obligation of plan value of of plan
assets obligation assets
Opening balance 2,094.58 1,971.15 123.43 1,774.87 1,740.45 34.42
Current Service Cost 215.70 - 215.70 190.53 - 190.53
Past Service Cost - - - - - -
Interest expense 157.43 - 157.43 127.70 - 127.70
Interest income - 148.15 (148.15) - 125.22 (125.22)
Contributions - - - -
205
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Particulars 31st March, 2024 Net 31st March, 2023 Net

amount amount
Present value Fair value Present Fair value
of obligation of plan value of of plan
assets obligation assets
Total amount recognised 373.13 148.15 224.98 318.23 125.22 193.01

in profit or loss
Remeasurements
Return on plan assets, - 8.58 (8.58) - 1.52 (1.52)
excluding amounts
included in interest
expense/(income)
(Gain)/loss from - - - - - -
change in demographic
assumptions
(Gain)/loss from change 68.23 - 68.23 (49.79) - (49.79)
in financial assumptions
Experience (gains)/ 55.35 - 55.35 78.33 - 78.33
losses
in other comprehensive
income
Employer contributions 277.49 (277.49) 131.01 (131.01)
Benefit payments (26.83) (26.83) - (27.05) (27.05) -
Closing Balance 2,564.46 2,378.54 185.92 2,094.60 1,971.16 123.43
The net liability disclosed above relates to funded and unfunded plans are as follows:

Present value of funded obligations 2,564.46 2,094.60
Fair value of plan assets 2,378.54 1,971.16
Deficit of funded plan 185.92 123.43
Unfunded plans - -
Deficit of gratuity plan 185.92 123.43
ii) Significant estimates: actuarial assumptions

The significant actuarial assumptions for defined benefit obligation are as follows:

Discount rate 7.15% 7.50%
Salary escalation rate 10.00% 10.00%
Employee attrition rate 5.00% 5.00%
Assumptions regarding mortality rate are set based on IALM (2012-14) IALM (2012-14)
actuarial advice in accordance with published statistics. Ult. Ult.
206 Normal retirement age 60 years 60 years

iii) Sensitivity analysis

The sensitivity of the defined benefit obligation to changes in the weighted principal assumptions
is:
(₹ In lakhs)
Impact on defined benefit obligation

Particulars Change in Increase in Decrease in
assumption assumption assumption
31st 31st 31st 31st 31st 31st
March, March, March, March, March, March,
2024 2023 2024 2023 2024 2023
Discount rate 1.00% 1.00% Decrease by 186.30 150.62 Increase by 218.95 176.81
Attrition rate 50.00% 50.00% Decrease by 85.71 62.36 Increase by 120.29 87.39
Salary escalation rate 1.00% 1.00% Increase by 210.73 170.77 Decrease by 183.37 149.65
The above sensitivity analysis is based on a change in an assumption while holding all other
assumptions constant. In practice, this is unlikely to occur, and changes in some of the
assumptions may be correlated. When calculating the sensitivity of the defined benefit obligation
to significant actuarial assumptions the same method (present value of the defined benefit
obligation calculated with the projected unit credit method at the end of the reporting period) has
been applied as when calculating the defined benefit liability recognised in the balance sheet.
The methods and types of assumptions used in preparing the sensitivity analysis did not change
compared to the prior period.
iv) The major categories of plan assets are as follows

Funds managed by SBI Life Insurance Company Limited 2,378.54 1,971.16
Total 2,378.54 1,971.16
v) Risk exposure
Through its defined benefit plan, the Company is exposed to a number of risks, the most significant
of which are detailed below:
Asset volatility: The plan liabilities are calculated using a discount rate set with reference to bond
yields; if plan assets under perform this yield, this will create a deficit. The Company's plan assets
are insurer managed funds and are subject to less material risk.
Changes in bond yields: A decrease in bond yields will increase plan liabilities and the Company
ensures that it has enough reserves to fund the liability
vi) Defined benefit liability and employer contributions

Expected contributions to define benefit plans for the year ending 31st March, 2025 is ₹ 388.05
lakhs
Particulars Less than a year Between 2-5 Between 6-10 More than 10
years years years
31st March, 2024
Gratuity 793.26 573.44 878.92 3,241.66
Total 793.26 573.44 878.92 3,241.66 207
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Particulars Less than a year Between 2-5 Between 6-10 More than 10
years years years
31st March, 2023
Gratuity 629.92 462.26 776.76 2,809.62
Total 629.92 462.26 776.76 2,809.62
36. Fair value measurements

Financial instruments by category 31st March, 2024 31st March, 2023
Amortised Cost FVPL Amortised FVPL
Cost
Financial Assets
Investments
- in equity instruments
- Quoted - 6.40 - 3.20
- Unquoted 15,006.17 - 12,376.07 -
- in mutual funds - 39,945.32 - 56,635.87
- in Secured Bonds - - - -
- Non Convertible debentures 1,515.21 1,058.47 1,512.81 7,375.93
- In Term deposits 12,495.87 13,030.92
Trade receivables 3,940.20 - 6,291.85 -
Cash and cash equivalents 727.49 - 2,378.07 -
Other bank Balances 58,656.66 - 20,641.17 -
Loans 335.26 - 268.90 -
Security deposits 729.45 - 668.78 -
Total Financial Assets 93,406.31 41,010.19 57,168.57 64,015.00
Financial Liabilities
Borrowings - - - -
Short term borrowings from - - - -
banks
Interest accrued but not due on - - - -
borrowings
Trade payables 27,212.71 - 24,246.22 -
Derivative financial instrument - - - -
Unpaid dividend 174.53 - 199.84 -
Lease Liabilities 86.03 - 112.45 -
Capital creditors 54.64 - 49.70 -
Total Financial Liabilities 27,899.91 - 24,980.21 -
i) Fair value hierarchy

The carrying amount of the current financial assets and current financial liabilities are considered
to be same as their fair values, due to their short term nature. In absence of specified maturity
period, the carrying amount of the non-current financial assets and non-current financial liabilities
such as security deposits, are considered to be same as their fair values.
The fair value of quoted equity investments, has been classified as Level 1 in the fair value
hierarchy as the fair value has been determined on the basis of market value. The fair value of
208 unquoted equity instruments has been classified as Level 2 in the fair value hierarchy as the fair

value has been determined on the basis of discounted cash flows. The fair value of mutual funds
is classified as Level 2 in the fair value hierarchy as the fair value has been determined on the
basis of Net Assets Value (NAV) declared by the mutual fund. The fair value of Financial derivative
contracts has been classified as Level 2 in the fair value hierarchy as the fair value has been
determined on the basis of mark-to-market provided by the Bank from which the contract has been
entered. The corresponding changes in fair value of investment is disclosed as 'Other Income'.
37. Financial Risk Management

The Company activities expose it to market risk, liquidity risk and credit risk. This note explains
the sources of risk which the Company is exposed to and how the Company manages the risk.
Risk Exposure arising from Measurement Management

Credit Risk Cash and cash Ageing analysis Credit monitoring for
equivalents, trade Credit ratings of customers.
receivables, security customers and Diversification of bank
deposits, other bank subsidiaries deposits.
deposits and loans
Liquidity Risk Borrowings Cash flow forecasts Working capital management
managed by Joint by General Manager in
Managing Director under the guidance of Joint
(JMD). Managing Director.
The excess liquidity is
channelised through mutual
funds and bank deposits.
Market Long term borrowings Sensitivity analysis Capital is managed by Joint

Risk - interest at variable rate Managing Director.
rate The capital requirements
are managed by analysing
the funds requirement and
budgets in conjunction with
the strategic plan.
Market Risk - From investment in Market and price The portfolio is not large and
Price risk equity shares sensitivity analysis. the risk is not significant.
Market Risk Future commercial Cash flow forecasting Forward foreign exchange
- foreign transactions Sensitivity analysis. contracts.
exchange rate (receivable/payables)
The Company's risk management is carried out by the JMD under policies approved by the Risk
Management Committee a sub-committee of the Board of Directors. The Committee provides
guiding principles for overall risk management, as well as policies covering specific areas such as
interest rate risk, credit risk and investment of excess liquidity.
Credit Risk
i) Credit Risk Management
Credit risk arises from cash and cash equivalents, loans, security deposits and deposits with
banks and financial institutions, as well as credit exposures to customers including outstanding
receivables. 209
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Credit risk is managed by the Marketing General Manager of the Avanti Feeds Limited. The
Company has few customer with most of them being foreign customers. The Company provides
a credit period of 60-90 days which is in line with the normal industry practice.
The Marketing GM undertakes the credit analysis of each customer before transacting. The
finance team under the guidance of Marketing GM also periodically review the credit rating of
the customers and follow up on long outstanding invoices.
The Company considers the probability of default upon initial recognition of asset and whether
there has been a significant increase in credit risk on an on going basis through out each reporting
period. To assess whether there is a significant increase in credit risk the Company compares the
risk of a default occurring on the asset as at the reporting date with the risk of default as at the
date of initial recognition. It considers available reasonable and supportive forwarding-looking
information. The below factors are considered:
- external credit rating (as far as available)
- actual or expected significant adverse changes in business, financial or economic
conditions that are expected to cause a significant change to the borrower's ability to meet
its obligations.
- actual or expected significant changes in the operating results of the borrower.
- significant increase in credit risk on other financial instruments of the same borrower.
- Significant changes in the expected performance and behaviour of the borrower, including
changes in the payment status of the borrower in the Company and changes in operating
results of the borrower.
Macro economic information (such as regulatory changes, market interest rate or growth rates)
is incorporated as part of the internal rating model. In general, it is presumed that credit risk has
significantly increased since initial recognition if the payments are more than 180 days past due.
A default on a financial asset is when the counter party fails to make contractual payments
within 365 days of when they fall due. This definition of default is determined by considering the
business environment in which the entity operates and other macro-economic factors.
ii) Provision for expected credit losses

The Company provides for expected credit loss based on the following:
Category Description of category Basis for recognition of expected

credit loss provision
Investments Loans and Trade

deposits receivables
High Assets where there is low risk of default and 12-month 12-month Life time
quality where the counter party has sufficient capacity expected expected expected
assets, to meet the obligations and where there has credit credit credit
low credit been low frequency of defaults in the past losses losses losses
risk
Medium Assets where the probability of default is 12-month 12-month Life time
risk, considered moderate, counter party where expected expected expected
moderate the capacity to meet the obligation is not credit credit credit
credit risk strong losses losses losses
210

Category Description of category Basis for recognition of expected

credit loss provision
Investments Loans and Trade

deposits receivables
Doubtful Assets are written off when there is no

assets, reasonable expectation of recovery, such
credit as a debt or declaring bankruptcy or failing
impaired to engage in are payment plan with the
Company. Where loans or receivables have Asset is written off
been written off, the Company continues to
engage in enforcement activity to attempt to
recover the receivable due. Where recoveries
are made, these are recognised in profit or loss
Expected credit losses for loans, investments, deposits and other receivables from
related parties, excluding trade receivables
Year Ended March 31, 2024

Particulars Asset Group Estimated Expected Expected Carrying
gross carrying probability of credit losses amount net of
amount at default impairment
default provision
Loss allowance Other bank 58,656.66 0% - 58,656.66
measured at 12 balances
month expected
Loans and 335.26 0% - 335.26
credit losses -

advances
Financial assets for
which credit risk Security 729.45 0% - 729.45
has not increased deposits
significantly since
initial recognition
Year Ended 31st March, 2023

Particulars Asset Group Estimated Expected Expected Carrying
gross carrying probability of credit losses amount net of
amount at default impairment
default provision
Loss allowance Other bank 20,641.17 0% - 20,641.17
measured at 12 balances
month expected
credit losses -
Financial assets for
which credit risk
has not increased
significantly since
initial recognition
Loans and 268.90 0% - 268.90
advances
Security 668.78 0% - 668.78
deposits
211
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Expected credit loss for trade receivables under simplified approach Year ended
31st March, 2024
Ageing Less than 6 6 months to 1-2 years 2-3 More Total
months one year years than 3
years
Gross carrying amount 3,791.88 - - - 148.31 3,940.19
Expected loss rate 0% 0% 0% 0% 0%
Expected credit loss - - - - - -
Carrying amount of 3,791.88 - - - 148.31 3,940.19
trade receivables (net of
impairment)
Year ended 31st March, 2023

Ageing Less than 6 6 months to 1-2 years 2-3 More Total
months one year years than 3
years
Gross carrying amount 4,145.56 1,972.01 8.80 17.17 148.31 6,291.85
Expected loss rate 0% 0% 0% 0% 0%
Expected credit loss - - - - - -
Carrying amount of 4,145.56 1,972.01 8.80 17.17 148.31 6,291.85
trade receivables (net of
impairment)
Liquidity Risk
Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations
associated with its financial liabilities that are settled by delivering cash or another financial
asset. The Company’s approach to managing liquidity is to ensure, as far as possible, that it will
have sufficient liquidity to meet its liabilities when they are due, under both normal and stressed
conditions, without incurring unacceptable losses or risking damage to the Company’s reputation.
The Joint Managing Director monitors rolling forecasts of the Company's liquidity position and
cash and cash equivalents on the basis of expected cash flows and any excess/short liquidity is
managed in the form of current borrowings, bank deposits and investment in mutual funds.
i) Maturities of financial liabilities

The following are the remaining contractual maturities of financial liabilities at the reporting date.
The amounts are gross and undiscounted, and include estimated interest payments and exclude
the impact of netting agreements.
Contractual cash flows
31 March, 2024
st
Carrying Total 0-1 year 1-2 2-3 3-5 More than
amount years years years 5 years
Borrowings - - - - - -
Trade payables 27,212.71 27,212.71 27,212.71 - - - -
Derivative financial - - - - - -
instrument
Capital creditors 54.64 54.64 54.64 - - - -
Security deposits 372.00 372.00 - - - 372.00
Total 27,639.35 27,639.35 27,267.35 - - - 372.00
212

Contractual cash flows
31st March, 2023 Carrying Total 0-1 year 1-2 2-3 3-5 More than
amount year years years 5 years
Borrowings - - - - - -
Trade payables 24,246.22 24,246.22 24,246.22 - - - -
Derivative financial - - - - - - -
instrument
Capital creditors 49.70 49.70 49.20 0.50 - - -
Security deposits 372.00 372.00 - - - - 372.00
Total 24,667.92 24,667.92 24,295.42 0.50 - - 372.00
The Company has sufficient current assets to manage the liquidity risk, if any, in relation to current
financial liabilities
Market Risk - Interest Risk
The Company's main interest rate risk arises from long term and short term borrowings with
variable rates, which exposes the Company to cash flow interest rate risk.
The exposure of the Company to interest rate changes at the end of the reporting period are as
follows:

Variable rate borrowings - -
Total - -

At the end of the reporting period, the Company had the following variable rate borrowings and
receivables:

Weighted Balance % of total Weighted Balance % of total
Average outstanding Average outstanding
Interest rate payable/ Interest payable/
% receivable rate % receivable
Current borrowings - - -
Sensitivity
The profit or loss is sensitive to higher/lower interest expense as a result of changes in interest
rates.
Particulars Impact on profit after tax
31 March, 2024
st
31st March, 2023
Interest rate - Increases by 100 basis points - -
Interest rate - Decreases by 100 basis points - -
Market risk - Price risk

The Company's investments in quoted equity securities is very minimal, hence there is limited
exposure to price risk. 213
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2023-24

Foreign currency risk

The Company is exposed to foreign exchange risk arising from foreign currency transactions,
mainly in the nature of sales denominated in foreign currencies and other expenditures. As a
policy, the Company does not hedge any of its exposure to foreign currency. The Company's
exposure to foreign currency risk at the end of the reporting period are as follows:
Particulars As at 31st March, 2024 As at 31st March, 2023
Amount in Foreign Amount in Amount in Foreign Amount in
Currency Rs. (lakhs) Currency Rs. (lakhs)
Trade and other payables
USD - - 4,39,042.64 360.97
Euro - - - -
Trade Receivables
USD 1,07,690.00 89.79 1,17,500.00 96.60
Euro - - - -
Balance in EEFC A/c-USD 105.16 0.09 105.16 0.09
Derivatives outstanding
Forward contracts
To buy USD - - - -
To sell USD - - - -
Other receivables
IDR 21,78,91,290.49 11.44 21,78,91,290.49 11.96
Net exposure (Receivable/ 21,79,99,085.65 101.32 21,75,69,853.01 (252.31)
(Payable))
Net exposure in USD 1,07,795.16 89.88 (3,21,437.48) (264.27)
Sensitivity
The sensitivity of profit or loss to changes in the exchange rates arises mainly from foreign
currency denominated financial instruments, as detailed below
Particulars As at 31st March, 2024 As at 31st March, 2023
Increase in USD rate by 1% 0.90 (2.64)
Decrease in USD rate by 1% (0.90) 2.64
38. Capital management

a) Risk 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 Company may adjust the amount
of dividends paid to shareholders, return capital to shareholders, issue new shares or sell
assets to reduce debt. The Company has been maintaining a steady dividend.
The Company's capital structure is largely equity based. It monitors capital on the basis
of the following gearing ratio: Net debt divided by Total ‘equity’ (as shown in the balance
214 sheet).

The gearing ratios were as follows:
Net debt - -
Total equity 1,98,525.05 1,76,349.74
Net debt to equity ratio 0% 0%
b) Dividends
Particulars 31st March, 31st March,
2024 2023
Equity shares
i) Dividend for the year ended 31st March, 2023 of 8,515.35 8,515.35
₹ 6.25 (31st March 2022 ₹ 6.25) per fully paid share.
Dividends not recognised at the end of the reporting
period
i) In addition to the above dividends, since year end 9,196.58 8,515.35
the directors have recommended the payment of
a dividend of ₹ 6.75 per fully paid equity share (31st
March, 2023 – ₹ 6.25). This proposed dividend is
subject to the approval of shareholders in the ensuing
annual general meeting.
39. Additional Regulatory Information: Ratios

Ratio Numerator Denominator Current Previous Variance
Year Year
Current Ratio Total current assets Total current 6.25 5.88 6.28%
(in times) liabilities
Debt-Equity Ratio Debt consists of Total equity 0.01 0.01 -
(in times) borrowings and
lease liabilities.
Debt Service Earning for Debt Debt service NA NA -
Coverage Ratio Service = Net Profit = Interest
(in times) before taxes + and lease
Non-cash operating payments
expenses + Interest + Principal
+ Other non-cash repayments
adjustments
Return on Equity Net Profit after Average total 16.44% 13.78% 19.27%
Ratio (in %) taxes for the year equity
less Preference
dividend (if any)
Inventory Turnover Revenue from Average 7.00 6.33 10.62%
Ratio (in times) operations inventory
Trade Receivables Revenue from Average trade 12.56 15.13 -17.01%
Turnover Ratio operations (credit receivables
(in times) sales)
215
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Report
2023-24

Ratio Numerator Denominator Current Previous Variance

Year Year
Trade Payables Cost of material Average trade 14.94 14.71 1.59%
Turnover Ratio consumed and payables
(in times) other expenses
Net Capital Revenue from Average 0.74 0.78 5.74%
Turnover Ratio operations working
(in times) capital (i.e.
Total current
assets less
Total current
liabilities)
Net Profit Ratio Net Profit for the Revenue from 7.18% 5.76% 24.63%
(in %) year after taxes operations
Return on Capital Profit before tax Capital 20.32% 17.25% 17.79%
Employed (in %) and finance costs employed
= Tangible
Net worth
+ Lease
liabilities +
Deferred tax
liabilities
Return on Income generated Average 7.33% 5.14% 42.61%
Investment (in %)* from invested funds invested
funds in
treasury
investments
* Income from investments increased due to interest rates hike.
40. Other statutory information

(i) The Company does not have any Benami property, where any proceeding has been initiated
or pending against the Group for holding any Benami property.
(ii) Relationship and transactions with struck off Companies:
Name of struck Nature of Transactions Balance outstanding Relationship

company transactions during the year as on 31st March, with the struck
( pertaining 2024 off company
to balance
outstanding)
Maize Products Payables 0.86 NA Non-Related

Limited Party
(iii) The Company does not have any charges or satisfaction which is yet to be registered with
ROC beyond the statutory period.
(iv) The Company has not traded or invested in Crypto Currency or Virtual Currency during the
financial year.
(v) The Company has not been declared willful defaulter by any bank or financial institution or
216 government or any government authority.

(vi) The Company has not advanced or 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.
(vii) 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 Group 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 Funding Party (Ultimate Beneficiaries) or
b) provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.
(viii) The Company has not entered into any such transactions which are 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.
41 Previous year figures have been regrouped/reclassified, where necessary, to conform to this
year's classification.

DIN: 00190168
Partner
DIN: 00026010 DIN: 00145558
217
Consolidated
Financials
2023-24
Annual
Report
2023-24
INDEPENDENT AUDITORS` REPORT

To the Members of
Report on the Audit of the Consolidated Financial Statements
Opinion
We have audited the accompanying Consolidated Financial Statements of Avanti Feeds Limited
(‘the Company’) and its subsidiaries (collectively referred to as “the Group”), and its associate, which
comprise the Consolidated Balance Sheet as at 31st March, 2024, the Consolidated Statement of
Profit and Loss (including Other Comprehensive Income), the Consolidated Statement of Changes in
Equity and the Consolidated Statement of Cash Flows for the year ended on that date and notes to
the Consolidated Financial Statements, including a summary of material accounting policies and other
explanatory information (herein after referred to as “the Consolidated Financial Statements”).
In our opinion and to the best of our information and according to the explanations given to us, the
aforesaid Consolidated Financial Statements give the information required by the Act in the manner
so required and give a true and fair view in conformity with the Indian Accounting Standards (Ind AS)
prescribed under section 133 of the Act read with the Companies (Indian Accounting Standards) Rules,
2015, as amended and other accounting principles generally accepted in India, of the consolidated state
of affairs of the Group as at 31st March, 2024, the consolidated profit including other comprehensive
income, consolidated statement of changes in equity and the consolidated statement of cash flows
for the year ended on that date.
Basis for Opinion

We conducted our audit of the Consolidated Financial Statements in accordance with the Standards
on Auditing (SAs) specified under section 143(10) of the Companies Act, 2013. Our responsibilities
under those Standards are further described in the Auditor’s Responsibilities for the Audit of the
Consolidated Financial Statements section of our report. We are independent of the Company in
accordance with the Code of Ethics issued by the Institute of Chartered Accountants of India (ICAI)
together with the ethical requirements that are relevant to our audit of the Consolidated Financial
Statements under the provisions of the Companies Act, 2013 and the Rules made thereunder, and we
have fulfilled our other ethical responsibilities in accordance with these requirements and the ICAI’s
Code of Ethics. We believe that the audit evidence we have obtained is sufficient and appropriate to
provide a basis for our audit opinion on the Consolidated Financial Statements.
Key Audit Matters

Key audit matters are those matters that, in our professional judgment, were of most significance in our
audit of the Consolidated Financial Statements of the current period. These matters were addressed
in the context of our audit of the Consolidated Financial Statements as a whole, and in forming our
opinion thereon, and we do not provide a separate opinion on these matters. We have determined the
matters described below to be the key audit matters to be communicated in our report.
220

1. Accuracy of recognition, Principal Audit Procedures
measurement, presentation and We assessed the Company's process to identify the
disclosures of revenues and other impact of revenue accounting standard. Our audit
related balances in view of Ind AS approach consisted testing of the design and operating
115 “Revenue from Contracts with effectiveness of the internal controls and substantive
Customers” (revenue accounting testing as follows:
standard) • We assessed the appropriateness of the revenue
recognition accounting policies by comparing with
The application of the revenue applicable accounting standards.
accounting standard involves
certain key judgements relating • Selected a sample of continuing and new contracts,
to identification of the contract and tested the operating effectiveness of the
with a customer, identification of internal control, relating to identification of the
distinct performance obligations, distinct performance obligations and determination
determination of transaction price of transaction price. We carried out a combination
of the identified performance of procedures involving enquiry and observation,
obligations, the appropriateness of performance and inspection of evidence in respect
the basis used to measure revenue of operation of these controls.
recognized when a performance • Tested the relevant information technology
obligation is satisfied. Additionally, systems' access and change management controls
revenue accounting standard relating to contracts and related information used
contains disclosures which in recording and disclosing revenue in accordance
involves collation of information in with the revenue accounting standard.
respect of disaggregated revenue • Selected a sample of continuing and new contracts
and periods over which the and performed the following procedures:
remaining performance obligations
will be satisfied subsequent to the • Read, analyzed and identified the distinct
balance sheet date. performance obligations in these contracts.
• Compared these performance obligations with
Refer Note 2.5c and 23 to the that identified and recorded by the Company.
Consolidated Financial Statements.

• Considered the terms of the contracts to
determine the transaction price including any
variable consideration to verify the transaction
price used to compute revenue and to test the
basis of estimation of the variable consideration.
• Samples in respect of revenue recorded upon
transfer of control of promised products or
services to customers in an amount that reflects
the consideration which the Company expects
to receive in exchange for those products or
services, were tested using a combination of sales
orders, gate-in and gate-out passes, shipping
bills including packing lists, subsequent customs
invoicing, bills of lading, customer acceptances
and historical trend of collections and disputes.
• Performed analytical procedures for reasonableness
of revenues disclosed by type and service offerings.
• We reviewed the collation of information and the
logic of the report generated from the IT system
used to prepare the disclosure relating to the periods
over which the remaining performance obligations
will be satisfied subsequent to the balance sheet
date.
221
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Report
2023-24
2. The Company enters into various Our procedures included but were not limited to:
financial instruments such as
investments in quoted and Obtaining an understanding of the internal risk
unquoted equity instruments, management procedures and the systems and
quoted mutual funds and quoted controls associated with the origination and
non-convertible debentures. As maintenance of complete and accurate information
at 31st March, 2024, financial relating to financial instruments;
instruments carried at fair value
Utilizing our treasury experts, we also tested on a
through profit and loss totaled
sample basis the existence and valuation of derivative
₹ 50,839.32 Lakhs (current
contracts as at 31st March, 2024. Our audit procedures
investments of ₹ 50,832.92 Lakhs
focused on the integrity of the valuation models and
and non-current investments of
the incorporation of the contract terms and the key
₹ 6.40 Lakhs) as disclosed in Note
assumptions, including future price assumptions and
7 to the Consolidated Financial
discount rates; and
Statements. These financial
instruments are recorded at fair
Obtaining an understanding of key financial instrument
value as required by the relevant
contract terms to assess the appropriateness of
accounting standard. We have
accounting reflected in the financial report.
focused on this area due to the
complexities associated with the We have also assessed the appropriateness of the
valuation and accounting for these disclosures included in Note 40 to the Consolidated
financial instruments. Financial Statements.
3. Inventory valuation and existence: To address the risk for material error on inventories,
our audit procedures included amongst other:
At the balance sheet date, the
value of inventory amounted to Assessing the compliance of Company's accounting
₹ 88,518.13 Lakhs representing policies over inventory with applicable accounting
28.57% of total assets. Inventories standards.
were considered as key audit
matter due to the size of the Observed the stock take process at Factory locations
balance and because inventory during the year and at the end of the year and
valuation involves management undertook our test counts where ever necessary.
judgment.
Compared the Quantities we counted with Quantities
As described in note 2.5i to recorded.
the Consolidated Financial
Analysing the Inventory Ageing reports and Net
Statements, inventories are
realizable value of inventories.
carried at the lower of cost and
net realizable value on a weighted
Tested that inventory on hand at the end of the period
average basis.
was recorded at the lower of cost and net realizable
value by testing a sample of inventory items to the
The Company has segment
most recent retail price.
specific procedures for identifying
risk for obsolescence and
measuring inventories at the lower
of cost and net realizable value.
222

4 Purchase of Raw material: The following are some of the substantive tests that
were part of our auditing procedures in addition to
Purchase of Raw material is being testing the internal controls design and effectiveness.:
considered as a key audit matter as
the Company procures its principle Internal controls relating to the purchase of raw
raw materials from the suppliers materials and payments made to the suppliers of the
and the price of the same is highly raw materials on the basis of source documentation
volatile to the market conditions. have been assessed in terms of their design and
tested in terms of their implementation.
Based upon the production re-
We have performed test of controls over procurement
quirements and after considering
procedures to assess the operating effectiveness
the tentative prices, the manage-
of the controls placed in recognition of the cost of
ment decides the raw materials
material consumption.
which have to be procured.
We have conducted test of details through correlating
The total cost of Raw material the raw materials procured and the raw material
purchased by the Entity for the consumed as per the production and stock reports.
financial year 2023-24 is
₹ 4,40,406.87 Lakhs. Understood the credit terms for payments to suppliers
and assessed whether the same have been complied
with.
Information Other than the Consolidated Financial Statements and Auditor’s

Report There on
The Holding Company’s Board of Directors is responsible for the preparation of the other information.
The other information comprises the information included in the Management Discussion and
Analysis, Board’s Report including Annexures to Board’s Report, Business Responsibility Report and
Shareholder’s Information, but does not include the Consolidated Financial Statements, Standalone
financial Statements and our auditor’s report thereon.
Our opinion on the Consolidated Financial Statements does not cover the other information and we do

not express any form of assurance conclusion thereon.
In connection with our audit of the Consolidated Financial Statements, our responsibility is to read the
other information and, in doing so, consider whether the other information is materially inconsistent
with the Consolidated Financial Statements or our knowledge obtained during the course of our audit
or otherwise appears to be materially misstated.
If, based on the work we have performed, we conclude that there is a material misstatement of this
other information, we are required to report that fact. We have nothing to report in this regard.
Management’s Responsibility for the Consolidated Financial Statements

The Holding Company’s Board of Directors is responsible for the matters stated in section 134(5)
of the Companies Act, 2013 (“the Act”) with respect to the preparation of these Consolidated
Financial Statements that give a true and fair view of the consolidated financial position, consolidated
financial performance, consolidated total comprehensive income, consolidated changes in equity
and consolidated cash flows of the Group including its associate in accordance with the accounting
principles generally accepted in India, including the Indian Accounting Standards (Ind AS) specified
under section 133 of the Act read with the Companies (Indian Accounting Standards) Rules, 2015, as
amended. The respective Board of Directors of the companies included in the Group are responsible
for maintenance of the adequate accounting records in accordance with the provisions of the Act for
safeguarding the assets of the Group and for preventing and detecting frauds and other irregularities;
selection and application of appropriate accounting policies; making judgments and estimates that
are reasonable and prudent; and the design, implementation and maintenance of adequate internal
financial controls, that were operating effectively for ensuring the accuracy and completeness of 223
Annual
Report
2023-24
the accounting records, relevant to the preparation and presentation of the Consolidated Financial
Statements that give a true and fair view and are free from material misstatement, whether due to
fraud or error which have been used for the purpose of preparation of the Consolidated financial
statements by the Directors of the Company, as aforesaid.
In preparing the Consolidated Financial Statements, the respective Board of Directors of the companies
included in the Group and of its associate are responsible for assessing the ability of the Group and of
its associate to continue as a going concern, disclosing, as applicable, matters related to going concern
and using the going concern basis of accounting unless management either intends to liquidate the
Group or to cease operations, or has no realistic alternative but to do so.
The respective Board of Directors of the companies included in the Group and of its associate are
responsible for overseeing the financial reporting process of the Group and of its associate.
Auditor’s Responsibility for the Audit of the Consolidated Financial Statements

Our objectives are to obtain reasonable assurance about whether these Consolidated Financial
Statements as a whole are free from material misstatement, whether due to fraud or error, and to
issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance,
but is not a guarantee that an audit conducted in accordance with SAs will always detect a material
misstatement when it exists. Misstatements can arise from fraud or error and are considered material
if, individually or in the aggregate, they could reasonably be expected to influence the economic
decisions of users taken on the basis of these Consolidated Financial Statements.
As part of an audit in accordance with SAs, we exercise professional judgment and maintain professional
skepticism throughout the audit. We also:
Identify and assess the risks of material misstatement of the Consolidated Financial Statements,
whether due to fraud or error, design and perform audit procedures responsive to those risks, and
obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of
not detecting a material misstatement resulting from fraud is higher than for one resulting from error,
as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of
internal control.
Obtain an understanding of internal financial controls relevant to the audit in order to design audit
procedures that are appropriate in the circumstances. Under section 143(3)(i) of the Act, we are
also responsible for expressing our opinion on whether the Company, its subsidiary companies and
associate company which are companies incorporated in India, have adequate internal financial
controls system in place and the operating effectiveness of such controls.
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting
estimates and related disclosures made by management.
Conclude on the appropriateness of management’s use of the going concern basis of accounting
and, based on the audit evidence obtained, whether a material uncertainty exists related to events or
conditions that may cast significant doubt on the ability of the Group and its associate to continue as
a going concern. If we conclude that a material uncertainty exists, we are required to draw attention
in our auditor’s report to the related disclosures in the Consolidated Financial Statements or, if such
disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence
obtained up to the date of our auditor’s report. However, future events or conditions may cause the
Group and its associate to cease to continue as a going concern.
Evaluate the overall presentation, structure and content of the Consolidated Financial Statements,
including the disclosures, and whether the Consolidated Financial Statements represent the underlying
224 transactions and events in a manner that achieves fair presentation.
Obtain sufficient appropriate audit evidence regarding the financial information of the entities or
business activities within the Group and its associate to express an opinion on the Consolidated
Financial Statements. We are responsible for the direction, supervision and performance of the audit
of the financial statements of such entities included in the Consolidated Financial Statements.
Materiality is the magnitude of misstatements in the Consolidated Financial Statements that, individually
or in aggregate, makes it probable that the economic decisions of a reasonably knowledgeable user
of the Consolidated financial statements may be influenced. We consider quantitative materiality and
qualitative factors in (i) planning the scope of our audit work and in evaluating the results of our work;
and (ii) to evaluate the effect of any identified misstatements in the Consolidated financial statements.
We communicate with those charged with governance regarding, among other matters, the planned
scope and timing of the audit and significant audit findings, including any significant deficiencies in
internal control that we identify during our audit.
We also provide those charged with governance with a statement that we have complied with relevant
ethical requirements regarding independence, and to communicate with them all relationships and
other matters that may reasonably be thought to bear on our independence, and where applicable,
related safeguards.
From the matters communicated with those charged with governance, we determine those matters
that were of most significance in the audit of the Consolidated Financial Statements of the current
period and are therefore the key audit matters. We describe these matters in our auditor’s report
unless law or regulation precludes public disclosure about the matter or when, in extremely rare
circumstances, we determine that a matter should not be communicated in our report because the
adverse consequences of doing so would reasonably be expected to outweigh the public interest
benefits of such communication.
Other Matters
We did not audit the financial statements / financial information of three subsidiaries included in
the consolidated financial results, whose financial statements / information reflect total assets of

₹ 92,485.72 Lakhs as at 31st March, 2024 and total revenues of ₹ 1,11,890.91 Lakhs for the year ended
31st March, 2024, total net profit after tax of ₹ 9,001.88 Lakhs for year ended 31st March, 2024, total
comprehensive income of ₹ 8,995.93 Lakhs for the year ended 31st March, 2024 and net cash flows of
₹ (461.12) Lakhs for the year ended 31st March, 2024, as considered in the Statement. These financial
statements / financial information have been audited/ reviewed, as applicable, by other auditors
whose reports have been furnished to us by the Management and our opinion and conclusion on the
Statement, and our report in terms of sub-sections (3) and (11) of Section 143 of the Act, in so far
as it relates to the amounts and disclosures included in respect of these subsidiaries, is based solely
on the reports of the other auditors and the procedures performed by us as stated under Auditor's
Responsibilities section above.
The consolidated financial results also include the Group’s share of net profit after tax and total
comprehensive income of ₹ 21.41 Lakhs for the year ended 31st March, 2024, as considered in the
Statement, in respect of an associate, whose financial statements / financial information have not
been audited by us. This financial statements / financial information are unaudited and have been
furnished to us by the Management and our opinion and conclusion on the Statement, in so far
as it relates to the amounts and disclosures included in respect of this associate, is based solely
on such unaudited financial statements/financial information. In our opinion and according to the
information and explanations given to us by the Board of Directors, this financial statements /
financial information are not material to the Group.
Our opinion on the Consolidated Financial Statements, and our report on Other Legal and Regulatory
requirements below, is not modified in respect of the above matters with respect to our reliance on the
work done and the reports of the other auditors. 225
Annual
Report
2023-24
Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditor’s Report) Order, 2020 (“the Order”), issued by the
Central Government of India in terms of sub-section (11) of section 143 of the Act, we give in the
“Annexure-A”, a statement on the matters specified in paragraphs 3 and 4 of the Order, to the
extent applicable.
2. As required by section 143 (3) of the Act, we report that:
a) We have sought and obtained all the information and explanations which to the best of
our knowledge and belief were necessary for the purposes of our audit of the aforesaid
Consolidated Financial Statements.
b) In our opinion, proper books of account as required by law relating to preparation of the
aforesaid Consolidated Financial Statements have been kept so far as it appears from our
examination of those books, except for the matters stated in paragraph 2h(vi) below on
reporting under Rule 11(g) of the Companies (Audit and Auditors) Rules, 2014.
c) The Consolidated Balance Sheet, the Consolidated Statement of Profit and Loss (including
Other Comprehensive Income), the Consolidated Statement of Changes in Equity and the
Consolidated Statement of Cash flows dealt with by this Report are in agreement with the
books of account maintained for the purpose of preparation of the Consolidated Financial
Statements.
d) In our opinion, the aforesaid Consolidated Financial Statements comply with the Accounting
Standards specified under Section 133 of the Act, read with Companies (Indian Accounting
Standards) Rules, 2015, as amended.
e) On the basis of the written representations received from the directors of the Company as on
March 31, 2024 taken on record by the Board of Directors of the Company and the reports of
the statutory auditors of its subsidiary companies and associate companies incorporated in
India, none of the Directors of the Group companies and associate companies incorporated
in India is disqualified as on 31st March, 2024 from being appointed as a Director of that
company in terms of Section 164(2) of the Act.
f) With respect to the adequacy of the internal financial controls over financial reporting of
the Group and its associate and the operating effectiveness of such controls, refer to our
separate report in “Annexure-B” which is based on the auditor’s reports of the Company, its
subsidiary companies and associate company incorporated in India. Our report expresses
an unmodified opinion on the adequacy and operating effectiveness of the internal financial
control over financial reporting of those companies, for reasons stated therein.
g) With respect to the other matters to be included in the Auditor’s Report in accordance with
the requirements of section 197(16) of the Act, as amended:
In our opinion and to the best of our information and according to the explanations given to
us, the remuneration paid by the Company, its subsidiary companies and associate company
to its directors during the year is in accordance with the provisions of section 197 of the Act.
h) With respect to the other matters to be included in the Auditor’s Report in accordance with
Rule 11 of the Companies (Audit and Auditors) Rules, 2014, as amended, in our opinion and
to the best of our information and according to the explanations given to us:
i) The Consolidated Financial Statements disclose the impact of pending litigations on

the consolidated financial position of the Group and its associate. Refer Note 33 to the
226 Consolidated Financial Statements;
ii) The Group and its associate did not have any material foreseeable losses on long-term
contracts including derivative contracts.
iii) There has been no delay in transferring amounts, required to be transferred, to the
Investor Education and Protection Fund by the Group and its associate incorporated in
India.
iv.
a) The respective managements of the Group and its associate which are companies
incorporated in India, have represented to us that, to the best of its knowledge and belief,
no funds have been advanced or loaned or invested either from borrowed funds or share
premium or any other sources or kind of funds by the Group or its associate to or in any
other person or entity, including foreign entities (“Intermediaries”), with the understanding,
whether recorded in writing or otherwise, that the Intermediaries shall, whether, directly or
indirectly lend or invest in other persons or entities identified in any manner whatsoever by
or on behalf of the respective Group companies or its associate (“Ultimate Beneficiaries”) or
provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.
b) The respective managements of the Group and its associate, which are companies
incorporated in India, have represented to us that, to the best of its knowledge and belief,
no funds which are material either individually or in the aggregate have been received by
the respective Parent Company or its subsidiaries from any person or entity, including
foreign entities (“Funding Parties”), with the understanding, whether recorded in writing or
otherwise, that the Group companies or its associate shall, whether, directly or indirectly,
lend or invest in other person or entity identified in any manner whatsoever by or on behalf
of the Funding Party (“Ultimate Beneficiaries”) or provide any guarantee, security or the like
on behalf of the Ultimate Beneficiaries; and
c) Based on the audit procedures that has been considered reasonable and appropriate in
the circumstances, nothing has come to our notice that has caused us to believe that the
representations under sub-clause (a) and (b) contain any material misstatement.

v.
a) The final dividend paid by the Company, one of its subsidiary companies and one of its
associate companies during the year in respect of the same declared for the previous year
is in accordance with section 123 of the Act to the extent it applies to payment of dividend.
b) The Board of Directors of the Company, one of its subsidiary companies and its associate
company have proposed final dividend for the year which is subject to the approval of the
members at the ensuing Annual General Meeting. The dividend declared is in accordance
with section 123 of the Act to the extent it applies to declaration of dividend.
vi. The reporting under Rule 11(g) of the Companies (Audit and Auditors) Rules, 2014 is applicable
from 1st April, 2023.
Based on our examination which included test checks, and as communicated by the respective
auditors of the three subsidiaries and associate company, the Holding Company and its
subsidiary companies (Holding Company and its subsidiaries together referred to as “the Group”)
incorporated in India have used accounting softwares for maintaining its books of account, which
have a feature of recording audit trail (edit log) facility and the same has operated throughout the
year for all relevant transactions recorded in the respective softwares except
a) In case of the Holding Company and one of the subsidiary (Avanti Frozen Foods Private
Limited) records of property, plant and equipment, payroll and inventory of finished goods
which are being maintained manually. 227
Annual
Report
2023-24
b) In the case of two other subsidiaries records of property, plant and equipment and payroll
which are being maintained manually.
Further, the feature of recording audit trail (edit log) facility was not available at the database
level to log any direct data changes for the accounting software used for maintaining the books
of account of the Company.
As proviso to Rule 3(1) of the Companies (Accounts) Rules,2014 is applicable from 01st April, 2023,
reporting under Rule 11(g) of the Companies (Audit and Auditors) Rules, 2014 on preservation of
audit trail as per the statutory requirements for record retention is not applicable for the financial
year ended 31st March, 2024.


Partner
UDIN: 24231834BKGOLC7331
Place : Hyderabad
228
“Annexure – A”
on the Standalone Financial Statements of Avanti Feeds Limited
for the year ended 31st March, 2024.
(Referred to in paragraph 1 under ‘Report on Other Legal and Regulatory Requirements’ section of
According to the information and explanations given to us and based on our examination of records
of the company there are no qualifications or adverse remarks in the Companies (Auditor’s Report)
Order (CARO) reports of the Company, its subsidiary companies and associate company included in
the Consolidated Financial Statements.


Partner
Place : Hyderabad
229
Annual
Report
2023-24
"Annexure - B"
of even date on the Consolidated Financial Statements of Avanti Feeds Limited
Report on the Internal Financial Controls under Clause (i) of Sub-section 3 of Section 143 of the
Companies Act, 2013 (“the Act”)
(Referred to in paragraph 2(f)) under ‘Report on Other Legal and Regulatory Requirements’ section of
our report of even date).
In conjunction with our audit of the Consolidated Financial Statements of Avanti Feeds Limited as of
and for the year ended 31st March, 2024, we have audited the internal financial controls over financial
reporting of Avanti Feeds Limited (hereinafter referred to as “the Company”), its subsidiary companies
and associate company which are companies incorporated in India, as of that date.
Management’s Responsibility for Internal Financial Controls

The Board of Directors of the Company, its subsidiary companies and associate company, which are
companies incorporated in India are responsible for establishing and maintaining internal financial
controls based on the internal control over financial reporting criteria established by the respective
companies considering the essential components of internal control stated in the Guidance Note
on Audit of Internal Financial Controls over Financial Reporting issued by the Institute of Chartered
Accountants of India (‘ICAI’). These responsibilities include the design, implementation and
maintenance of adequate internal financial controls that were operating effectively for ensuring the
orderly and efficient conduct of its business, including adherence to the respective company’s policies,
the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and
completeness of the accounting records, and the timely preparation of reliable financial information,
as required under the Companies Act, 2013.
Auditors’ Responsibility
Our responsibility is to express an opinion on the internal financial controls over financial reporting of
the Company, its subsidiary companies and associate company, which are companies incorporated
in India, based on our audit. We conducted our audit in accordance with the Guidance Note on Audit
of Internal Financial Controls over Financial Reporting (the “Guidance Note”) and the Standards
on Auditing, issued by ICAI and deemed to be prescribed under section 143(10) of the Companies
Act, 2013, to the extent applicable to an audit of internal financial controls. Those Standards and
the Guidance Note require that we comply with ethical requirements and plan and perform the audit
to obtain reasonable assurance about whether adequate internal financial controls over financial
reporting was established and maintained and if such controls operated effectively in all material
respects.
Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal
financial controls system over financial reporting and their operating effectiveness. Our audit of internal
financial controls over financial reporting included obtaining an understanding of internal financial
controls over financial reporting, assessing the risk that a material weakness exists, and testing and
evaluating the design and operating effectiveness of internal control based on the assessed risk.
The procedures selected depend on the auditor’s judgment, including the assessment of the risks of
material misstatement of the Consolidated Financial Statements, whether due to fraud or error.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis
for our audit opinion on the on the internal financial controls system over financial reporting of the
Company, its subsidiary companies and associate company, which are companies incorporated in
230 India.
Meaning of Internal Financial Controls Over Financial Reporting

A company's internal financial control over financial reporting is a process designed to provide
reasonable assurance regarding the reliability of financial reporting and the preparation of financial
statements for external purposes in accordance with generally accepted accounting principles. A
company's internal financial control over financial reporting includes those policies and procedures
that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect
the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that
transactions are recorded as necessary to permit preparation of financial statements in accordance
with generally accepted accounting principles, and that receipts and expenditures of the company
are being made only in accordance with authorisations of management and directors of the company;
and (3) provide reasonable assurance regarding prevention or timely detection of unauthorised
acquisition, use, or disposition of the company's assets that could have a material effect on the
financial statements.
Inherent Limitations of Internal Financial Controls Over Financial Reporting

Because of the inherent limitations of internal financial controls over financial reporting, including
the possibility of collusion or improper management override of controls, material misstatements due
to error or fraud may occur and not be detected. Also, projections of any evaluation of the internal
financial controls over financial reporting to future periods are subject to the risk that the internal
financial control over financial reporting may become inadequate because of changes in conditions, or
that the degree of compliance with the policies or procedures may deteriorate.
Opinion
In our opinion and to the best of our information and according to the explanations given to us, the
Company, its subsidiary companies and associate company, which are companies incorporated in India,
have, in all material respects, an adequate internal financial controls system over financial reporting
and such internal financial controls over financial reporting were operating effectively as at March
31, 2024, based on the internal control over financial reporting criteria established by the respective
companies considering the essential components of internal control stated in the Guidance Note
on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered

Accountants of India.


Partner
Place : Hyderabad
231
Annual
Report
2023-24
Consolidated Balance Sheet as at 31 st

March, 2024
As at As at
Particulars Notes
ASSETS
Non-current Assets
Property, plant and equipment 3 48,583.19 38,443.35
Capital work-in-progress 3(a) 881.36 3,378.57
Right-of-use assets 4(a) 1,064.47 1,294.81
Intangible assets 5 51.26 18.37
Investments accounted for using the equity method 6 1,290.05 1,305.90
Financial assets
Investments 7(a) 2,517.38 2,511.78
Loans 8(a) 270.71 189.94
Other financial assets 9(a) 1,489.88 1,446.68
Non-current tax assets (net) 22(b) 2,338.29 1,620.34
Other non-current assets 10(a) 860.83 2,180.39
Total Non - Current Assets 59,347.42 52,390.13
Current Assets
Inventories 11(a) 88,518.13 80,298.53
Biological assets 11(b) 115.50 227.86
Financial assets
Investments 7(b) 70,747.04 96,724.81
Trade receivables
Billed 12(a) 14,341.96 12,145.14
Unbilled 12(b) 5.00 9.92
Cash and cash equivalents 13(a) 1,251.96 3,363.66
Other Bank balances 13(b) 72,457.02 25,273.11
Loans 8(b) 155.12 160.37
Other financial assets 9(b) - 204.53
Other current assets 10(b) 2,880.07 2,666.80
Total Current Assets 2,50,471.80 2,21,074.73
Total Assets 3,09,819.22 2,73,464.86
EQUITY AND LIABILITIES
Equity
Equity share capital 14 1,362.46 1,362.46
Other equity 15 2,35,185.51 2,08,185.94
Equity attributable to owners 2,36,547.97 2,09,548.40
Non-controlling interest 32,379.35 28,136.38
Total equity 2,68,927.32 2,37,684.78
Liabilities
Non current liabilities
Borrowings 16 1,394.03 -
Lease Liability 4(b)(i) 185.02 219.36
Other financial liabilities 17(a) 372.00 372.00
Provisions 18(a) 141.37 116.82
Deferred tax liabilities (net) 22 3,028.89 1,757.31
Other non-current liabilities 19(a) 721.12 999.87
Total Non-current Liabilities 5,842.43 3,465.36
Current liabilities
Borrowings 20 - -
Trade payables
i) Total outstanding dues of Micro enterprises and small 21 3,083.64 1,118.46
enterprises
ii) Total outstanding dues of creditors other than Micro enterprises 21 29,043.90 26,944.50
aaa and small enterprises
Lease Liability 4(b)(ii) 73.63 85.99
Other financial liabilities 17(b) 443.97 264.04
Other current liabilities 19(b) 2,138.59 3,723.95
Provisions 18(b) 265.74 177.78
Total Current Liabilities 35,049.47 32,314.72
Notes forming part of the Financial Statements 1-45
Total Equity and Liabilities 3,09,819.22 2,73,464.86
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232 Jt. Managing Director, Director
Consolidated Statement of Profit & Loss

For the year Ended For the Year Ended

Particulars Notes
Income
Revenue from operations 23 5,36,889.36 5,08,698.55
Other income 24 13,626.85 9,201.78
Total Income 5,50,516.21 5,17,900.33
Expenditure :
Cost of materials consumed 25 4,34,211.65 4,11,619.38
Purchase bearer biological assets 25 258.33 181.52
Changes in inventories of finished goods and work-in-progress 26 (2,929.35) 43.64
Employee benefits expense 27 19,954.82 16,684.04
Finance costs 29 130.70 202.13
Depreciation and amortization expenses 28 5,639.92 4,259.45
Other expenses 30 39,585.96 40,868.00
Total expenses 4,96,852.03 4,73,858.16
Profit before tax, share in profit of Associates 53,664.18 44,042.17

Add: Share of net profit/(loss) of associates accounted for 21.41 (33.39)
using the equity method
Profit before exceptional items and tax 53,685.59 44,008.78
Exceptional items 31 - (1,330.54)
Tax expenses
Current tax 22c 13,033.07 9,530.48
Deferred tax 22c 1,271.59 1,922.53
Total tax expenses 14,304.66 11,453.01
Other comprehensive income
Items that will not be reclassified to profit or loss
Remeasurements of the defined benefit plans (120.94) (26.14)

Total comprehensive income for the year 39,259.99 31,199.09
Attributable to :
Owners of AFL 35,596.42 27,840.74
Non-controlling interests 3,663.57 3,358.35
Profit is attributable to:
Owners of AFL 35,714.19 27,867.23
Non-controlling interests 3,666.74 3,358.00
Other comprehensive income is attributable to:
Owners of AFL (117.77) (26.49)
Non-controlling interests (3.17) 0.35
Earnings per equity share
(Equity shares, par value of ₹ 1/- each)
Basic and diluted EPS (in ₹)
Basic 32 26.21 20.45
Diluted 32 26.21 20.45
As per our Report of even date As per our Report of even date For and on behalf of the Board of Directors
DIN: 00190168
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Place : Hyderabad Company Secretary & CFO 233
Date : 22 May, 2024
nd
Annual
Report
2023-24
Consolidated Statement of Changes in Equity

a. Equity Share Capital

Particulars Number of Shares Amount
Balance at 31st March, 2023 13,62,45,630 1,362.46
Balance at 31st March, 2024 13,62,45,630 1,362.46
b. Other Equity
Reserves and Surplus
Particulars Shares Foreign Non
Capital General Retained
issue Currency controlling Total
Reserve reserve earnings
expenses translation interest
Balance at 1st April, 2022 - - 22,015.72 (1.94) 1,66,163.92 25,198.54 2,13,376.24
Profit for the year - - - - 27,867.21 3,358.35 31,225.58
Translation Reserve during - - 1.94 - - 1.94
the year
Adjustment due to winding- - - - - 87.93 60.15 148.08
up of step down subsidiary
Gain on Bargain purchase - - - - 312.65 312.65
(capital Reserve)
Remeasurements of the - - - - (26.49) - (26.49)
defined benefit plans
Dividend - - - - (8,515.35) (200.33) (8,715.68)
Change in Non controlling 280.33 (280.33) -
interest due to dividend
Transfer of retaining 3,090.00 (3,090.00)
earnings go to general
reserve
Balance at 31st March, 2023 - - 25,105.72 - 1,83,080.23 28,136.37 2,36,322.32
Balance at 1st April, 2023 - - 25,105.72 - 1,83,080.23 28,136.37 2,36,322.32
Additions* - - - - - 879.90 879.90
Profit for the year - - - - 35,714.19 3,663.58 39,377.77
Remeasurements of the - - - - (117.77) - (117.77)
defined benefit plans
Dividends - - - - (8,515.35) (300.50) (8,815.85)
Shares issue expenses (81.50) (81.50)
Transfer of retaining - - 3,340.00 - (3,340.00) - -
earnings go to general
reserve
Balance at 31st March, 2024 - (81.50) 28,445.72 - 2,06,821.30 32,379.35 2,67,564.85
* Additions due to fresh issue of share capital
DIN: 00190168
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234 Date : 22nd May, 2024
Statement of Consolidated Cash Flows

For the year ended For the year ended

Particulars
A. CASH FLOW FROM OPERATING ACTIVITIES
Adjustments for :
Depreciation and amortisation expense 5,639.92 4,259.45
Provision for employee benefits 286.17 268.46
Finance costs 130.70 202.13
Loss/ (Profit) on disposable of property, plant and equipment 11.76 9.97
Interest income (6,658.92) (2,696.97)
Dividend income (1.83) -
Realised Foreign exchange gain/(Loss) (1,290.75) (2,264.95)
Gain/loss from sale of financial assets measured at fair value (3,076.46) (2,932.56)
Fair valuation of financial assets measured at fair value (1,637.49) (333.70)
Fair valuation of derivatives 75.21 (71.50)
Share of profit/(loss) from Associates (21.41) 33.39
Amortisation of government grant (256.13) (240.33)
Operating profit before working capital changes 46,886.36 38,911.63
Adjustments for (increase) / decrease in operating assets:
Trade receivables
Billed (2,196.82) (783.19)
Unbilled 4.92 (3.35)
Loans (75.52) (185.93)

Other financial assets 161.33 (69.24)
Inventories (8,107.24) 18,404.64
Other assets 1,106.29 611.06
Adjustments for increase / (decrease) in operating liabilities:
Trade payables 4,064.58 (2,412.06)
Provisions (294.60) (150.88)
Other financial liabilities 104.72 (20.33)
Other liabilities (1,607.98) (155.92)
Cash generated from operations 40,046.04 54,146.43
Net income tax paid (13,751.02) (9,028.12)
Net cash flow from operating activities (A) 26,295.02 45,118.31
B. CASH FLOW FROM INVESTING ACTIVITIES
Capital expenditure on Property, Plant and Equipment (13,105.87) (15,966.26)
including capital advances
Proceeds from sale of Property, Plant and Equipment 38.95 35.57
Purchase of Investments (55,808.09) (1,05,401.80)
Redemption proceeds of Investments 87,055.70 1,01,253.19
Other bank balances (47,209.22) (24,350.46)
Interest received 6,658.92 2,679.43
Dividend income received 1.83 -
Net cash (used in) / flow from investing activities (B) (22,367.78) (41,750.33)
235
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Statement of Consolidated Cash Flows


Particulars
C. CASH FLOW FROM FINANCING ACTIVITIES
Finance costs (130.70) (202.13)
Increase in borrowings 1,394.03 -
Changes in Lease Liabilities (102.98) (102.99)
Dividends paid (8,490.04) (8,505.18)
Realised Foreign exchange gain/(Loss) 1,290.75 2,264.95
Net cash flow (used in) financing activities (C) (6,038.94) (6,545.35)
Net (decrease) in Cash and cash equivalents (A+B+C) (2,111.70) (3,177.38)
Cash and cash equivalents at the beginning of the year 3,363.66 6,541.05
Cash and cash equivalents at the end of the year 1,251.96 3,363.66
(Refer Note (i) below)
Note (i): Cash and cash equivalents comprises of:
Balances with Banks 1,238.32 3,356.01
Total cash & cash equivalents 1,251.96 3,363.66
The above Statement of Cash Flows has been prepared under the "Indirect Method" set out in Ind
AS - 7, 'Statement of Cash Flows' specified under section 133 of the Companies Act, 2013.
Purchase of Property, Plant and Equipment includes movements of capital work-in-progress during
the year. Figures in brackets indicate cash outflows.
DIN: 00190168
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236
Notes forming part of the Consolidated Financial Statements

1. Corporate information
Avanti Feeds Limited (‘AFL' or the 'Company') is a listed public Company under “The Companies
Act, 1956”, with its registered office in Visakhapatnam. The company started its commercial
operations in 1993 and now stands as the leading manufacturer of Shrimp Feed. AFL has three
subsidiaries (incorporated in India) named Avanti Frozen Foods Private Limited (AFFPL) and
Srivathsa Power Projects Private Limited, (SPPPL) and Avanti Pet Care Private Limited (APCPL).
AFFPL is engaged in the business of exporting Shrimp, SPPPL is engaged in the business of
generation and distribution of electricity and APCPL is engaged in manufacturing and trading of
Pet Feeds. AFL, AFFPL, SPPPL and APCPL are hereinafter referred to as the 'Group'.
The Group's consolidated financial statements are approved for issue by the Company's Board of
Directors on 22nd May, 2024.
2. Basis of preparation of financial statements and material accounting

policies
2.1 Basis of preparation and measurement
i Basis of preparation
These financial statements are prepared in accordance with Indian Accounting Standard
(Ind AS), the provisions of the Companies Act, 2013 ('the Act') (to the extent notified)
and guidelines issued by the Securities and Exchange Board of India (SEBI). The Ind AS
are prescribed under Section 133 of the Act read with Rule 3 of the Companies (Indian
Accounting Standards) Rules, 2015 and relevant amendment rules issued there after.
Accounting policies have been consistently applied except where a newly issued
accounting standard is initially adopted or a revision to an existing accounting standard
requires a change in the accounting policy hitherto in use

ii Basis of measurement
The financial statements have been prepared under the historical cost convention on
the accrual basis except for the following financial instruments which are measured at
fair values:
- certain financial assets and liabilities that are measured at fair value
- biological assets – measured at fair value; and
- defined benefit plans – plan assets measured at fair value
iii 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 realised or intended to sold or consumed in normal operating
cycle
- Held primarily for the purpose of trading
- Expected to be realised within twelve months after the reporting period, or
- Cash and 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
- It is held primarily for the purpose of trading 237
Annual
Report
2023-24

- 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
Deferred tax assets and liabilities are classified as non-current assets and liabilities.
The operating cycle is the time between the acquisition of assets for processing and
their realisation in Cash and Cash equivalents.
2.2. Principles of consolidation and equity accounting

i) Subsidiaries
Subsidiaries are all entities (including structured entities) over which the group has
control. The group controls an entity when the group is exposed to, or has rights to,
variable returns from its involvement with the entity and has the ability to affect those
returns through its power to direct the relevant activities of the entity. Subsidiaries are
fully consolidated from the date on which control is transferred to the group. They are
deconsolidated from the date that control ceases.
The acquisition method of accounting is used to account for business combinations by
the group.
The group combines the financial statements of the parent and its subsidiaries line
by line adding together like items of assets, liabilities, equity, income and expenses.
Intercompany transactions, balances and unrealised gains on transactions between
group companies are eliminated. Unrealised losses are also eliminated unless the
transaction provides evidence of an impairment of the transferred asset. Accounting
policies of subsidiaries have been changed where necessary to ensure consistency
with the policies adopted by the group.
Non-controlling interests in the results and equity of subsidiaries are shown separately
in the consolidated statement of profit and loss, consolidated statement of changes in
equity and balance sheet respectively.
ii) Associates
Associates are all entities over which the group has significant influence but not
control. This is generally the case where the group holds between 20% and 50% of the
voting rights. Investments in associates are accounted for using the equity method of
accounting, after initially being recognised at cost.
iii) Equity method
Under the equity method of accounting, the investments are initially recognised at
cost and adjusted thereafter to recognise the group’s share of the post-acquisition
profits or losses of the investee in profit and loss, and the group’s share of other
comprehensive income of the investee in other comprehensive income. Dividends
received or receivable from associates and joint ventures are recognised as a reduction
in the carrying amount of the investment.
When the group’s share of losses in an equity-accounted investment equals or exceeds
its interest in the entity, including any other unsecured long-term receivables, the
group does not recognise further losses, unless it has incurred obligations or made
payments on behalf of the other entity.
Unrealised gains on transactions between the group and its associates and joint
ventures are eliminated to the extent of the group’s interest in these entities. Unrealised
losses are also eliminated unless the transaction provides evidence of an impairment
238 of the asset transferred. Accounting policies of equity accounted investees have been

changed where necessary to ensure consistency with the policies adopted by the
group.
The carrying amount of equity accounted investments are tested for impairment in
accordance with the impairment policy.
iv) Changes in Ownership Interest
The group treats transactions with non-controlling interests that do not result in a loss
of control as transactions with equity owners of the group. A change in ownership
interest results in an adjustment between the carrying amounts of the controlling
and non-controlling interests to reflect their relative interests in the subsidiary. Any
difference between the amount of the adjustment to non-controlling interests and any
consideration paid or received is recognised within equity.
When the group ceases to consolidate or equity account for an investment because
of a loss of control, joint control or significant influence, any retained interest in the
entity is re measured to its fair value with the change in carrying amount recognised
in profit or loss. This fair value becomes the initial carrying amount for the purposes
of subsequently accounting for the retained interest as an associate, joint venture or
financial asset. In addition, any amounts previously recognised in other comprehensive
income in respect of that entity are accounted for as if the group had directly disposed
of the related assets or liabilities. This may mean that amounts previously recognised
in other comprehensive income are reclassified to profit or loss.
If the ownership interest in a joint venture or an associate is reduced but joint control or
significant influence is retained, only a proportionate share of the amounts previously
recognised in other comprehensive income are reclassified to profit or loss where
appropriate.

2.3 Measurement of fair values
The Company’s accounting policies and disclosures require financial instruments to be
measured at fair values. The Company has an established control framework with respect
to the measurement of fair values.
The Company uses valuation techniques that are appropriate in the circumstances and for
which sufficient data are available to measure fair value, maximizing the use of relevant
observable inputs and minimizing the use of unobservable inputs. The management
regularly reviews significant unobservable inputs and valuation adjustments. If third party
information, such as broker quotes or pricing services, is used to measure fair values, then
the management assesses the evidence obtained from the third parties to support the
conclusion that such valuations meet the requirements of Ind AS, including the level in the
fair value hierarchy in which such valuations should be classified.
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 of the fair value hierarchy
at the end of the reporting period during which the change has occurred. 239
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2.4 Use of estimates and judgements

The preparation of the financial statements in conformity with Ind AS requires the
management to make estimates, judgments and assumptions. These estimates, judgments
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
financial statements and reported amounts of revenues and expenses during the period.
Accounting estimates could change from period to period. Actual results could differ from
those 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 financial statements in the period in which changes are made and, if material,
their effects are disclosed in the notes to the financial statements. The areas involving
critical estimates or judgements are;
- Estimation of defined benefit obligation, refer note 38
- Useful life of property, plant and equipment refer note 2.4 (o)
- Fair value of biological asset refer note 2.4 (k)
2.5 Material accounting policies

a. Segment reporting
Operating segments are reported in a manner consistent with the internal reporting
provided to the chief operating decision maker.
The Chairman and Managing Director (CMD) of the Holding company has been
identified as the chief operating decision maker. Refer Note 37 for the segment
information presented.
b. Foreign currency translation
i) Functional and presentation currency
Items included in the financial statements of the Group are measured using the
currency of its primary economic environment in which the company operates
('the functional currency'). The consolidated financial statements are presented
in Indian rupees (₹), which is the Group's functional and presentation currency.
ii) Transactions and balances
Foreign currency transactions are translated into the functional currency using
the exchange rates at the dates of the transactions. Foreign exchange gains and
losses resulting from the settlement of such transactions and from the translation
of monetary assets and liabilities denominated in foreign currencies at year end
exchange rates are generally recognised in profit or loss. Foreign exchange
difference regarded as an adjustment to borrowing costs are presented in the
Statement of Profit and Loss, within finance costs. All other foreign exchange
gains and losses are presented in the Statement of Profit and Loss on a net basis
within other gains/(losses).
Non-monetary items that are measured at fair value in a foreign currency
are translated using the exchange rates at the date when the fair value was
determined. Translation differences on assets and liabilities carried at fair value
are reported as part of the fair value gain or loss.
c. Revenue recognition
The Company earns revenue primarily from sale of Shrimp Feed and Shrimp Exports
Revenue is recognized upon transfer of control of promised products or services
to customers in an amount that reflects the consideration the Company expects to
receive in exchange for those products or services. To recognize revenues, we apply
240 the following five step approach:

1) identify the contract with a customer,

2) identify the performance obligations in the contract,
3) determine the transaction price,
4) allocate the transaction price to the performance obligations in the contract, and
5) recognize revenues when a performance obligation is satisfied.
At contract inception, the Company assesses its promise to transfer products or
services to a customer to identify separate performance obligations. The Company
applies judgement to determine whether each product or services promised to a
customer are capable of being distinct, and are distinct in the context of the contract,
if not, the promised product or services are combined and accounted as a single
performance obligation. The Company allocates the arrangement consideration to
separately identifiable performance obligation based on their relative stand-alone
selling price or residual method. Stand-alone selling prices are determined based on
sale prices for the components when it is regularly sold separately, in cases where the
Company is unable to determine the stand-alone selling price the Company uses third-
party prices for similar deliverables or the company uses expected cost plus margin
approach in estimating the stand-alone selling price.
Revenue towards satisfaction of a performance obligation is measured at the amount
of transaction price (net of variable consideration) allocated to that performance
obligation. The transaction price of goods sold is net of variable consideration on
account of various discounts and schemes offered by the company as part of the
contract.
d. Government grant
Grants from the government are recognised at their fair value where there is a
reasonable assurance that the grant will be received and the Group will comply with all
attached conditions.
Government grants relating to income are deferred and recognised in the profit or

loss over the period necessary to match them with the costs that they are intended to
compensate and presented within other income.
Government grants relating to the purchase of property, plant and equipment are
included in non-current liabilities as deferred income and are credited to profit or loss
on a straight-line basis over the expected lives of the related assets and presented
within other income.
Loans received from government in the nature of interest free deferred taxes are treated
in the nature of government grant. The difference between the fair value of the loan
and the amount of loan received is accounted as government grant. The government
grant is recognised in the statement profit and loss over the period of loan.
e. Income Tax
The income tax expense or credit for the period is the tax payable on the current
period's taxable income based on the applicable income tax rate for each jurisdiction
adjusted by changes in deferred tax assets and liabilities attributable to temporary
differences and to unused tax losses.
The current income tax charge is calculated on the basis of the tax laws enacted or
substantively enacted at the end of the reporting period in the countries where the
Group operates and generates taxable income. Management periodically evaluates
positions taken in tax returns with respect to situations in which applicable tax
regulation is subject to interpretation. It establishes provisions, where appropriate, on
the basis of amounts expected to be paid to the tax authorities.
Deferred income tax is provided in full, using the liability method, on temporary
differences arising between the tax bases of assets and liabilities and their carrying 241
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amounts in the financial statements. Deferred income tax is also not accounted for
if it arises from initial recognition of an asset or liability in a transaction other than a
business combination that at the time of the transaction affects neither accounting
profit nor taxable profit (tax loss). Deferred income 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 realised
or the deferred income tax liability is settled.
Deferred tax assets are recognised for all deductible temporary differences and unused
tax losses only if it is probable that future taxable amounts will be available to utilise
those temporary differences and losses.
Deferred tax assets and liabilities are offset when there is a legally enforceable right
to offset current tax assets and liabilities and when the deferred tax balances relate
to the same taxation authority. Current tax assets and tax liabilities are offset where
the entity has a legally enforceable right to offset and intends either to settle on a net
basis, or to realise the asset and settle the liability simultaneously.
Current and deferred tax is recognised in profit or loss, except to the extent that it
relates to items recognised in other comprehensive income or directly in equity. In this
case, the tax is also recognised in other comprehensive income or directly in equity,
respectively.
f. Ind AS 116 Leases:

As a lessee
The Company’s lease asset classes primarily consist of leases for land and buildings.
The Company assesses whether a contract contains a lease, at inception of a contract.
A contract is, or contains, a lease if the contract conveys the right to control the use
of an identified asset for a period of time in exchange for consideration. To assess
whether a contract conveys the right to control the use of an identified asset, the
Company assesses whether: (i) the contract involves the use of an identified asset
(ii) the Company has substantially all of the economic benefits from use of the asset
through the period of the lease and (iii) the Company has the right to direct the use of
the asset.
At the date of commencement of the lease, the Company recognizes a right-of-use
(ROU) asset and a corresponding lease liability for all lease arrangements in which it
is a lessee, except for leases with a term of 12 months or less (short-term leases) and
low value leases. For these short-term and low-value leases, the Company recognizes
the lease payments as an operating expense on a straight-line basis over the term of
the lease.
Certain lease arrangements includes the options to extend or terminate the lease
before the end of the lease term. ROU assets and lease liabilities includes these options
when it is reasonably certain that they will be exercised. The ROU assets are initially
recognized at cost, which comprises the initial amount of the lease liability adjusted for
any lease payments made at or prior to the commencement date of the lease plus any
initial direct costs less any lease incentives. They are subsequently measured at cost
less accumulated depreciation and impairment losses.
Effective April 01, 2019 the Company adopted IND AS 116, Leases and applied
the standard to all lease contracts existing on 01st April, 2019 using the modified
retrospective method and has taken the cumulative adjustment to retained earnings,
on the date of initial application. Consequently, the Company recorded the lease
242 liability at the present value of the lease payments discounted at the incremental

borrowing rate and the ROU asset as its carrying amount as if the standard had been
applied since the commencement date of the lease, but discounted at the Company's
incremental borrowing rate at the Company's incremental borrowing rate at the date
of initial application. Comparatives as at and for the year ended 31st March, 2019 have
not been retrospectively adjusted and therefore will continue to be reported under the
accounting polices included as part of our Annual Report for the year 31st March, 2019
g. Impairment of assets
Intangible assets that have an indefinite useful life are not subject to amortisation
and are tested annually for impairment, or more frequently if events or changes in
circumstances indicate that they might be impaired. Other assets are tested for
impairment whenever events or changes in circumstances indicate that the carrying
amount may not be recoverable. An impairment loss is recognised for the amount by
which the asset's carrying amount exceeds its recoverable amount. The recoverable
amount is higher of an asset's fair value less costs of disposal and value in use. For the
purpose of assessing impairment, assets are grouped at the lowest levels for which
there are separately identifiable cash inflows which are largely independent of the
cash flows from other assets or group of assets (cash-generating units). Non-financial
assets other than goodwill that suffered an impairment are reviewed for possible
reversal of the impairment at the end of each reporting period.
h. 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 and bank overdrafts. Bank overdrafts are shown

within borrowings in current liabilities in the balance sheet.
i. Inventories
Inventories are valued at lower of cost and net realizable value. Cost of raw materials,
components and stores and spares is determined on a weighted average basis.
Cost includes direct materials and labour and a proportion of manufacturing overheads
based on normal operating capacity. Cost is determined on a weighted average basis.
Cost of inventories also include all other costs incurred in bringing the inventories to
their present location and condition.
Net realisable value is the estimated selling price in the ordinary course of business
less the estimated costs of completion and the estimated costs necessary to make the
sale.
j. Biological assets
The group recognises biological assets of only when, the group controls the assets
as a result of past events, it is probable that future economic benefits associated with
such assets will flow to the group. Biological assets of the Group are in the nature
of Consumable Biological Assets. It is bifurcated into Live Shrimp, Brood Stock, (the
Parents) and harvested species which undergo biological transformation under different
stages as Nauplius, Zoea, Mysis and Post Larvae. The Group sells the biological assets
harvested from brood stock at Nauplius and Post Larvae Stages. The Brood Stock has
a maximum useful life of 6 months for laying eggs. and thereafter these are destroyed.
The valuation of the Brood stock biological assets are determined on the following
basis: 243
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Brood stock are used for captive consumption or to support farmers, it can not be sold
before the end of its useful life and as such, there is no active market. Other references
to market prices such as market prices for similar assets are also not available due
to the uniqueness of the breed. Valuation based on a discounted cash flow method
is considered to be unreliable given the uncertainty with respect to mortality rates
and production. Consequently, brood stock and Shrimp seed (Different stages) are
measured at cost, less depreciation and impairment losses.
The transmission phase from Nauplius to Zoea and Mysis are not considered as
significant transformation of biological asset and hence Zoea and Mysis are not valued
as per Ind AS - 41.
The fair value of biological assets is based on its market condition as on the reporting
date. The quoted price in the market is the appropriate basis for determining the fair
value of these biological assets.
In the event that market determined prices or values are not available for biological
assets in its present condition we use the present value of the expected net cash
flows from the asset discounted at a current market determined rate in determining
fair value.
Fair Value Inputs are summarised as follows:
Level 1 Price Inputs – are quoted prices (unadjusted) in active markets for identical
assets or liabilities that can be accessed at the measurement date.
Level 2 Price Inputs – are inputs other than quoted prices included within 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 Price Inputs – are inputs for the asset or liability that are not based on observable
market data (unobservable inputs).”
The valuation of the live Shrimp consumable biological assets are determined on the
following basis:
The group recognises of Live Shrimp at cost of the assets or the fair value which
can be measured reliably. Expenditure incurred on biological assets (live Shrimp) are
measured on initial recognition and at the end of each reporting period at its fair value
less costs to sell. The gain or loss arising from a change in fair value less costs to sell
of biological assets are included in Statement of Profit and Loss for the period in which
it arises.
Management estimates the fair value less costs to sell of biological assets, taking
into account the most reliable evidence available at each reporting date. The future
realization of these biological assets may be affected by their survival rate, age and / or
other market-driven changes that may reduce the future economic benefits associated
with such assets. The fair value is arrived at based on the observable market prices of
biological assets adjusted for cost to sells, as applicable.
k. Investments and other financial assets
i) Classification
The Group classifies its financial assets in the following measurement categories:
- those to be measured subsequently at fair value (either through other
comprehensive income, or through profit or loss), and
- those measured at amortised cost.
The classification depends on the entity's business model for managing the
financial assets and the contractual terms of the cash flows.
For assets measured at fair value, gains and losses will either be recorded
244 in profit or loss or other comprehensive income. For investments in debt

instruments, this will depend on the business model in which the investment
is held. For investments in equity instruments, this will depend on whether
the Group has made an irrevocable election at the time of initial recognition to
account for the equity investment at fair value through other comprehensive
income.
ii) Measurement
At initial recognition, the Group measures a financial asset at its fair value, plus
in the case of a financial asset not at fair value through profit or loss, transaction
costs that are directly attributable to the acquisition of the financial asset.
Transaction costs of financial assets carried at fair value through profit or loss
are expensed in profit or loss. However, trade receivables that do not contain a
significant financing component are measured at transaction price.
Debt instruments
Subsequent measurement of debt instruments depends on the Group's business
model for managing the asset and the cash flow characteristics of the asset.
There are three measurement categories into which the Group classifies its debt
instruments:
- Amortised cost: Assets that are held for collection of contractual cash flows
where those cash flows represent solely payments of principal and interest
are measured at amortised cost. A gain or loss on a debt investment that
is subsequently measured at amortised cost and is not part of a hedging
relationship is recognised in profit or loss when the asset is derecognised or
impaired. Interest income from these financial assets is included in finance
income using the effective interest rate method.
- Fair value through other comprehensive income (FVOCI): Assets that are
held for collection of contractual cash flows and for selling the financial
assets, where the assets cash flows represent solely payments of principal

and interest, are measured at fair value through other comprehensive
income (FVOCI). Movements in the carrying amount are taken through OCI,
except for the recognition of impairment gains or losses, interest revenue
and foreign exchange gains and losses which are recognised in profit and
loss. When the financial asset is derecognised, the cumulative gain or loss
previously recognised in OCI is reclassified from equity to profit or loss and
recognised in other gains/(losses). Interest income from these financial
assets is included in other income using the effective interest rate method.
- Fair value through profit or loss: Assets that do not meet the criteria for
amortised cost or FVOCI are measured at fair value through profit or loss. A
gain or loss on a debt investment that is subsequently measured at fair value
through profit or loss and is not part of a hedging relationship is recognised
in profit or loss and presented net in the Statement of Profit and Loss within
other gains/(losses) in the period in which it arises. Interest income from
these financial assets is included in other income.
Equity instruments
The Group subsequently measures all equity investments at fair value. Where
the Group elected to present fair value gains and losses on equity investments
in other comprehensive income, there is no subsequent reclassification of fair
value gains and losses to profit or loss. Dividends from such investments are
recognised in profit or loss as other income when the group’s right to receive
payments is established.
Changes in the fair value of financial assets at fair value through profit or loss are
recognised in other gain/(losses) in the Statement of Profit and Loss. Impairment 245
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losses (and reversal of impairment losses) on equity investments measured at FVOCI

are not reported separately from other changes in fair value.
iii) Impairment of financial assets
The Group assesses on a forward looking basis the expected credit losses
associated with its assets carried at amortised cost and FVOCI debt instruments.
The impairment methodology applied depends on whether there has been a
significant increase in credit risk. Note 40 details how the Group determines
whether there has been a significant increase in credit risk.
For trade receivables only, the Group applies the simplified approach permitted
by Ind AS 109 Financial Instruments, which requires expected life time losses to
be recognised from initial recognition of the receivables.
iv) De recognition of financial assets
A financial asset is derecognised only when
- the Group has transferred the rights to receive cash flows from the financial
asset or
- retains the contractual rights to receive the cash flows of the financial asset,
but assumes a contractual obligation to pay the cash flows to one or more
recipients.
Where the entity has transferred an asset, the Group evaluates whether it has
transferred substantially all risks and rewards of ownership of the financial asset.
In such cases, the financial asset is derecognised. Where the entity has not
transferred substantially all risks and rewards of ownership of the financial asset,
the financial asset is not derecognised.
Where the entity has neither transferred a financial asset nor retains substantially
all risks and rewards of ownership of the financial asset, the financial asset is
derecognised if the Group has not retained control of the financial asset. Where
the Group retains control of the financial asset, the asset is continued to be
recognised to the extent of continuing involvement in the financial asset.
v) Income recognition
Interest income:
Interest income from debt instruments is recognised using the effective interest
rate method. The effective interest rate is the rate that exactly discounts estimated
future cash receipts through the expected life of the financial asset to the gross
carrying amount of a financial asset. When calculating the effective interest rate,
the Group estimates the expected cash flows by considering all the contractual
terms of the financial instrument (for example, prepayment, extension, call and
similar options) but does not consider the expected credit losses.
Dividends:
Dividends are recognised in profit or loss only when the right to receive payment
is established, it is probable that the economic benefits associated with the
dividend will flow to the Group, and the amount of the dividend can be measured
reliably.
l. Derivatives
Derivatives are initially recognised at fair value on the date a derivative contract is
entered into and are subsequently re-measured to their fair value at the end of each
246 reporting period and are included in other gains/(losses).

m. Offsetting financial instruments

Financial assets and liabilities are offset and the net amount is reported in the balance
sheet where there is a legally enforceable right to offset the recognised amounts and
there is an intention to settle on a net basis or realise the asset and settle the liability
simultaneously. The legally enforceable right must not be contingent on future events
and must be enforceable in the normal course of business and in the event of default,
insolvency or bankruptcy of the Group or the counterparty.
n. Property, plant and equipment

Freehold land is carried at historical cost. All other items of property, plant and
equipment are stated at historical cost less depreciation. Historical cost includes
expenditure that is directly attributable to the acquisition of the items.
Subsequent costs are included in the asset's carrying amount or recognised as a
separate asset, as appropriate, only when it is probable that future economic benefits
associated with the item will flow to the Group and the cost of the item can be measured
reliably. The carrying amount of any component accounted for as a separate asset is
derecognised when replaced. All other repairs and maintenance are charged to profit
or loss during the reporting period in which they are incurred.
Depreciation methods, estimated useful lives and residual value
Depreciation / amortisation on tangible assets is calculated on a straight-line basis
as per the useful life prescribed and in the manner laid down under Schedule II to
the Companies Act, 2013. The useful lives have been determined based on technical
evaluation done by the management's expert which are higher than those specified
by Schedule II to the Companies Act; 2013, in order to reflect the actual usage of
the assets. Assets costing individually rupee equivalent of ₹ 5,000 or less are fully
charged off on purchase. Depreciation for assets purchased / sold during the period is

proportionately charged.
An asset's carrying amount is written down immediately to its recoverable amount if
the asset's carrying amount is greater than its estimated recoverable amount. Gains or
losses arising from disposal of fixed assets which are carried at cost are recognised in
the Statement of Profit and Loss.
o. Intangible assets
Intangible assets that are acquired are recognized at cost initially and carried at cost
less accumulated amortization and accumulated impairment loss, if any.
i) Computer software
Computer software are stated at cost, less accumulated amortisation and
impairment losses, if any. Cost comprises the purchase price and any attributable
cost of bringing the asset to its working condition for its intended use. Following
initial recognition, intangible assets are carried at cost less accumulated
amortization and accumulated impairment losses, if any.
ii) Amortisation methods and periods
Intangible assets are amortized over their respective individual estimated useful
lives of 6 years on a straight line basis.
p. Trade and other payables

These amounts represent liabilities for goods and services provided to the Group prior
to the year end which are unpaid. The amounts are unsecured and are usually paid
as per mutually agreed terms. Trade and other payables are presented as current 247
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liabilities unless payment is not due within 12 months after the reporting period. They
are recognised initially at their fair value and subsequently measured at amortised cost
using the effective interest method.
q. Borrowings
Borrowings are initially recognised at fair value, net of transaction costs incurred.
Borrowings are subsequently measured at amortised cost. Any difference between the
proceeds (net of transaction costs) and the redemption amount is recognised in profit
or loss over the period of the borrowings using the effective interest method. Fees
paid on the establishment of loan facilities are recognised as transaction costs of the
loan to the extent that it is probable that some or all of the facility will be drawn down.
In this case, the fee is deferred until the draw down occurs. To the extent there is no
evidence that it is probable that some or all of the facility will be drawn down, the fee
is capitalised as a prepayment for liquidity services and amortised over the period of
the facility to which it relates.
Borrowings are removed from the balance sheet when the obligation specified in the
contract is discharged, cancelled or expired. The difference between the carrying
amount of a financial liability that has been extinguished or transferred to another party
and the consideration paid, including any non-cash assets transferred or liabilities
assumed, is recognised in profit or loss as other gains/(losses).
Borrowings are classified as current liabilities unless the Group has an unconditional
right to defer settlement of the liability for at least 12 months after the reporting period.
Where there is a breach of a material provision 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, the entity does not classify the liability as current, if
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.
r. Borrowing Cost
General and specific borrowing costs that are directly attributable to the acquisition,
construction or production of a qualifying asset are capitalised during the period of
time that is required to complete and prepare the asset for its intended use or sale.
Qualifying assets are assets that necessarily take a substantial period of time to get
ready for their intended use or sale.
Investment income earned on the temporary investment of specific borrowings pending
their expenditure on qualifying assets is deducted from the borrowing costs eligible for
capitalisation.
Other borrowing costs are expensed in the period in which they are incurred.
s. Provisions, Contingent liabilities & Contingent assets

Provisions are recognised when the Group has a present legal or constructive obligation
as a result of past events, it is probable that an outflow of resources will be required
to settle the obligation and the amount can be reliably estimated. Provisions are not
recognised for future operating losses.
Where there are a number of similar obligations, the likelihood that an outflow will be
required in settlement is determined by considering the class of obligations as a whole.
A provisions is recognized even if the likelihood of an outflow with respect to any one
248 item included in the same class of obligations may be small.

Provisions are measured at the present value of management’s best estimate of the
expenditure required to settle the present obligation at the end of the reporting period.
The discount rate used to determine the present value is a pre-tax rate that reflects
current market assessments of the time value of money and the risks specific to the
liability. The increase in the provisions due to the passage of time is recognized as
interest expense.
Contingent liabilities
Contingent liabilities are disclosed, unless the possibility of outflow of resources is
remote, when there is
- A possible obligation arising from past events, the existence of which will be
confirmed only by the occurrence or non-occurrence of one or more uncertain
future events not wholly within the control of the Company or
- A present obligation that arises from past events where it is either not probable
that an outflow of resources will be required to settle the obligation or reliable
estimate of the amount cannot be made
The Company has disclosed the same as per the requirements of Ind AS 37.
Contingent assets
A contingent asset is a possible asset that arises from past events and whose
existence will be confirmed only by- the occurrence or non-occurrence of one or more
uncertain future events not wholly within the control of the entity. The Company does
not recognize the contingent asset in its standalone financial statements since this
may result in the recognition of income that may never be realised. Where an inflow
of economic benefits are probable, the Company disclose a brief description of the
nature of contingent assets at the end of the reporting period. However, when the
realisation of income is virtually certain, then the related asset is not a contingent asset

and the Company recognize such assets.
t. Employee benefits
i) Short-term obligations
Liabilities for wages and salaries, including non-monetary benefits that are
expected to be settled wholly within 12 months after the end of the period in
which the employees render the related service are recognised in respect of
employees' services up to the end of the reporting period and are measured at
the amounts expected to be paid when the liabilities are settled. The liabilities are
presented as current employee benefit obligations in the balance sheet.
ii) Other long-term employee benefit obligations
The liabilities for earned leave and sick leave are not expected to be settled wholly
within 12 months after the end of the period in which the employees render the
related service. They are therefore measured as the present value of expected
future payments to be made in respect of services provided by employees up
to the end of the reporting period using the projected unit credit method. The
benefits are discounted using the market yields at the end of the reporting
period that have terms approximating to the terms of the related obligation. Re
measurements as a result of experience adjustments and changes in actuarial
assumptions are recognised in profit or loss.
The obligations are presented as current liabilities in the balance sheet if the
entity does not have an unconditional right to defer settlement for at least twelve
months after the reporting period, regardless of when the actual settlement is
expected to occur. 249
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iii) Post- employment obligations

The Group operates the following post-employment schemes:
(a) defined benefit plans such as gratuity; and
(b) defined contribution plans such as provident fund, Employee State Insurance
and superannuation fund
Gratuity obligations
The liability or asset recognised in the balance sheet in respect of defined benefit
gratuity plans is the present value of the defined benefit obligation at the end
of the reporting period less the fair value of plan assets. The defined benefit
obligation is calculated annually by actuaries using the projected unit credit
method.
The present value of the defined benefit obligation denominated in INR is
determined by discounting the estimated future cash outflows by reference to
market yields at the end of the reporting period on government bonds that have
terms approximating to the terms of the related obligation.
The net interest cost is calculated by applying the discount rate to the net balance
of the defined benefit obligation and the fair value of plan assets. This cost is
included in employee benefit expense in the Statement of Profit and Loss.
Re measurement gains and losses arising from experience adjustments and
changes in actuarial assumptions are recognised in the period in which they occur,
directly in other comprehensive income. They are included in retained earnings in
the statement of changes in equity and in the balance sheet.
Changes in the present value of the defined benefit obligation resulting from plan
amendments or curtailments are recognised immediately in profit or loss as past
service cost.
Defined contribution plans
The Group pays provident fund contributions to publicly administered provident
funds and Employee State Insurance funds as per local regulations. The Group
has no further payment obligations once the contributions have been paid.
The contributions are accounted for as defined contribution plans and the
contributions are recognised as employee benefit expense when they are due.
Prepaid contributions are recognised as an asset to the extent that a cash refund
or a reduction in the future payments is available. Superannuation Scheme
(administered through a 'Superannuation Trust' formed by the Group) is a defined
contribution plans, where the Group has no further obligations under the plan
beyond its monthly/ quarterly contributions.
iv) Bonus plans
The Group recognises a liability and an expense for bonuses. The Group recognises
a provision where contractually obliged or where there is a past practice that has
created a constructive obligation.
u. Contributed Equity
Equity shares are classified as equity.
Incremental costs directly attributable to the issue of new shares are shown in equity
250 as a deduction, net of tax, from the proceeds.

v. Dividends
Provision is made for the amount of any dividend declared, being appropriately
authorized and no longer at the discretion of the entity, on or before the end of the
reporting period but not distributed at the end of the reporting period.
w. Earnings per share
i) Basic earnings per share
Basic earnings per share is calculated by dividing:
- the profit attributable to owners of the Group;
- by the weighted average number of equity shares outstanding during the
financial year.
ii) Diluted earnings per share
Diluted earnings per share adjusts the figures used in the determination of basic
earnings per share to take into account:
- the after income tax effect of interest and other financing costs associated
with dilutive potential equity shares, and
- the weighted average number of additional equity shares that would have
been outstanding assuming the conversion of all dilutive potential equity
shares.
x. Rounding of amounts
All amounts disclosed in the financial statements and notes have been rounded off to
the nearest lakhs as per the requirement of Schedule III, unless otherwise stated.
Statement of profit and loss:
• Additional disclosures relating to Corporate Social Responsibility (CSR), undisclosed
income and Crypto or virtual currency specified under the head ‘additional
information’ in the notes forming part of the standalone financial statements.

2.6. Recent accounting pronouncements
Ministry of Corporate Affairs (“MCA”) notifies new standards or amendments to the existing
standards under Companies (Indian Accounting Standards) Rules as issued from time
to time. For the year ended March 31, 2024, MCA has not notified any new standards or
amendments to the existing standards applicable to the Company.
2.7. Critical estimates and judgements

Areas involving critical estimates.
Estimation of defined benefit obligation, Refer note: 38
251
252
Report
Annual
2023-24
Notes forming part of the Consolidated Financial Statements for the year ended 31st March, 2024
3. Property, Plant and Equipment

Furniture Total
Land - Plant & Wind Electrical Solar Lab Office Motor
Buildings Roads Computers and tangible
Free hold machinery mills Installation Power equipments equipment vehicles
fixtures assets
As at March 31, 2022 4,982.14 9,292.44 504.96 21,638.59 649.31 3,134.89 34.60 673.82 319.60 264.34 420.01 2,443.88 44,358.58
Additions 544.35 4,144.27 456.61 8,974.97 - 1,201.54 - 143.31 41.18 73.14 69.59 291.57 15,940.53
Acquired through business combination 230.51 52.86 - 36.19 - - - - - 0.39 - - 319.95
Disposals 30.44 - - 211.04 - 0.14 - 4.13 2.50 46.33 0.28 7.15 302.01
As at March 31, 2023 5,726.56 13,489.56 961.57 30,438.71 649.31 4,336.28 34.60 812.99 358.28 291.54 489.31 2,728.31 60,317.02
Additions 426.59 4,758.47 - 5,956.81 - 1,211.52 1,359.32 103.70 431.84 38.55 1,155.05 121.54 15,563.38
Disposals - 9.15 - 248.50 - 3.06 - 1.40 23.30 14.32 1.61 75.94 377.28
As at March 31, 2024 6,153.15 18,238.88 961.57 36,147.02 649.31 5,544.74 1,393.92 915.29 766.82 315.78 1,642.75 2,773.91 75,503.12
Depreciation
Up to March 31, 2022 - 1,545.24 194.24 12,309.70 324.76 1,621.87 14.07 255.49 218.46 201.85 174.21 1,116.71 17,976.60
Aquired through business combination - 50.21 - 35.03 - - - - - 0.39 85.63
Disposals - - - 199.00 - 0.11 - 2.97 2.48 44.62 0.16 5.33 254.67
Up to March 31, 2023 - 1,920.39 229.14 14,960.95 378.90 1,979.91 17.08 326.81 262.37 206.20 217.94 1,373.99 21,873.67
Disposals - 1.46 - 238.33 - 1.49 - 1.24 23.12 12.47 1.07 47.40 326.57
Up to March 31, 2024 - 2,398.56 307.07 18,378.52 433.19 2,429.03 44.66 408.59 325.12 247.64 329.51 1,618.05 26,919.93
Net block
As at March 31, 2023 5,726.56 11,569.18 732.43 15,477.76 270.41 2,356.37 17.52 486.18 95.91 85.34 271.37 1,354.32 38,443.35
As at March 31, 2024 6,153.15 15,840.32 654.50 17,768.50 216.12 3,115.71 1,349.26 506.70 441.70 68.13 1,313.24 1,155.86 48,583.19

3. (a) Capital work-in-progress

Capital work-in
- progress
As at 31st March, 2022 3,996.70
Additions 14,554.99
st
3,378.57
Additions 9,029.69
As at 31st March, 2024 881.36
Net block
As at 31st March, 2023 3,378.57
st
881.36
Notes:
i) Refer to note 21 for information on property, plant and equipment pledged as security by the
company.
ii) Gross value of assets as at 31st March, 2024 includes ₹ 1,927.01 Lakhs of government grant
availed under the scheme of Export Promotion Capital Goods Scheme (31st March, 2023:
₹ 1,662.19 Lakhs). (refer Note 20)
ii) Refer to note 34 for disclosure of contractual commitments for the acquisition of property,
plant and equipment.
iii) ₹ 15,173.12 Lakhs has been capitalised and transferred to property, plant and equipment

iv) ₹ 6,726.80 Lakhs has been capitalised and transferred to property, plant and equipment

Amount in capital work-in-progress
for a period of
Particulars Less More Total
1-2 2-3
than than 3
years years
1 year years
Projects in progress:
Factory Buildings at Hatchery 162.12 - - - 162.12
Solar power at Kovvur 10.71 - - - 10.71
Electrical Installation at Hatchery 12.16 - - - 12.16
Office Equipment at Gujrat 2.99 - - - 2.99
Plant & Machinery at Hatchery 9.25 - - - 9.25
Plant & Machinery at Gujrat 90.23 - - - 90.23
Processing Plant at Krishnapuram 130.82 - - - 130.82
Packing shed, Women Quarters Building, 447.22 8.18 1.50 - 456.90
Plant & Machinery at Yerravaram
Total 871.68 8.18 1.50 - 881.36
Projects temporarily suspended: Nil 253
Annual
Report
2023-24


Amount in capital work-in-progress for a period of
Particulars Less Total
1-2 2-3 More than 3
than 1
years years years
year
Projects in progress:
Admin Building at Kovvur 263.00 196.25 - - 459.25
Compound Wall at Bandapuram 246.48 - - - 246.48
Data processing equipment at Kovvur 24.45 - - - 24.45
Temporary shed at Kovvur 12.92 - - - 12.92
Guest House at Kovvur 750.45 222.87 - - 973.32
Plant & Machinery at Kovvur 3.45 - - - 3.45
Cold Store, ETP, Plant & Machinery 172.74 69.35 - - 242.09
at Yerravaram
Processing Plant at Krishnapuram 1,134.84 - - - 1,134.84
Total 2,890.10 488.47 - - 3,378.57
Projects temporarily suspended: Nil
4. Right of use assets

(a) ROU as at 31st March, 2024
Category of ROU Asset
Particulars Total
Leasehold Land Buildings
Balance as at 31st March, 2022 378.85 193.49 572.34
Additions 916.59 4.34 920.93
Deletions - (13.52) (13.52)
Depreciation (108.62) (76.32) (184.94)
Balance as at 31st March, 2023 1,186.82 107.98 1,294.81
Additions - 33.98 33.98
Adjustment - (3.18) (3.18)
Deletions - (1.67) (1.67)
Depreciation (211.82) (47.64) (259.46)
Balance as at 31st March, 2024 975.00 89.47 1,064.47
The aggregate depreciation expense on ROU assets is included under depreciation and
amortization expense in the Statement of Profit and Loss.
(b) Lease liabilities as at 31st March, 2024
As at As at
Particulars
i. Non - Current 185.02 219.36
ii. Current 73.63 85.99
Total 258.66 305.35
254

The movement in lease liabilities during the year ended 31st March, 2024 is as follows:
As at As at
Particulars
Balance as at 01st April, 2023 305.33 408.34
Finance cost accrued during the year 24.56 31.17
Deletions (1.79) (15.33)
Adjustments (2.40) -
Remeasurement of Leases - 1.80
Payment of lease liabilities (101.03) (122.88)
Rental expenses recorded on short-term leases was ₹ 270.88 Lakhs
The details of the contractual maturities of lease liabilities as at 31st March, 2024 on
an undiscounted basis are as follows:
As at As at
Particulars
Less than one year 70.79 85.79
One year to three years 64.63 66.99
More than three years 123.24 149.57
Total 258.66 305.35
5. Intangible assets
Computer Customer
Particulars Total
Software contracts

As at 31st March, 2022 59.56 618.59 678.15
Additions 3.10 - 3.10
Withdrawals and adjustments - 618.59 618.59
Disposals - - -
As at 31st March, 2023 62.66 (0.00) 62.66
Additions 40.52 - 40.52
Withdrawals and adjustments 0.47 - 0.47
Translation exchange differences - - -
As at 31st March, 2024 102.71 (0.00) 102.71
Amortization expenses
Up to 31st March, 2022 35.91 340.23 376.14
Charge for the year 8.38 - 8.38
Withdrawals and adjustments - 340.23 340.23
Translation exchange difference - - -
Up to 31st March, 2023 44.29 (0.00) 44.29
Charge for the year 7.63 - 7.63
Withdrawals and adjustments 0.47 - 0.47
Translation exchange difference - - -
Up to 31st March, 2024 51.45 (0.00) 51.45
Net block
As at 31st March, 2023 18.37 (0.00) 18.37
As at 31st March, 2024 51.26 (0.00) 51.26 255
Annual
Report
2023-24

6. Investments accounted for using the equity method

As at As at
Particulars
Equity instruments of associate company (unquoted)
Patikari Power Private Limited
1,06,45,200 (31st March, 2023: 1,06,45,200) equity 1,290.05 1,305.90
Total (A) 1,290.05 1,305.90
7. Investments
As at As at
Particulars
a) Non - Current Investments (Refer Note i below)
Investments carried at cost
i) Equity instruments of other entities (unquoted) 995.77 995.77
Investment carried at fair value through profit and loss
ii) Equity instruments other entities (quoted) 6.40 3.20
iii) Investments in Non Convertible Debentures 1,515.21 1,512.81
(quoted)
Total a (i+ii+iii) 2,517.38 2,511.78
b) Current investments (Refer Note ii below)
Investment carried at fair value through profit and loss
(i) Investments in Mutual Funds (quoted) 49,774.45 65,554.79
Investment carried at amortised cost
(i) Investments in Non Convertible Debentures- 1,058.47 7,375.93
Quoted
(ii) Investments in Non Banking Institutions 19,914.12 23,794.09
Total b (i+ii+iii) 70,747.04 96,724.81
Note (i)
Equity instruments other entity (unquoted)
Bhimavaram Hospitals Limited
1,20,000 (31st March, 2023: 1,20,000) equity shares of 12.00 12.00
₹ 10/- each fully paid up
15,46,800 (31 March, 2023: 15,46,000) equity shares of
st
IDR 10,000/- each fully paid up

Himalaya Hydro Pvt. Ltd. 200.00 200.00
Total a(i) 995.77 995.77
Equity instruments (quoted)
IDBI Bank Limited
2,880 (31st March, 2023: 2,880) equity shares of ₹ 10/- 2.33 1.30
each fully paid up
256

As at As at
Particulars
UCO Bank Limited
7,800 (31st March, 2023: 7,800) equity shares of ₹ 10/- 4.07 1.90
each fully paid up
Total a(ii) 6.40 3.20
Investments in Non Convertible Debentures (quoted)
7.7541% Tata Motors Finance Holding Limited : 100 nos 1,515.21 1,512.81
(31st March 2023 : 100 nos)
Total a (iii) 1,515.21 1,512.81
Total a (i+ii+iii) 2,517.38 2,511.78
value thereof
Aggregate amount of unquoted investments 995.77 995.77
investments
Total 2,517.38 2,511.78
Note (ii)
Current investments
Investment in quoted mutual funds
IDFC Low duration Fund - Growth Regular plam - Nil - 516.02
(31st March, 2023: 15,69,870 units of ₹32.8705 each)
SBI Magnum Ultra Short Term Growth - Direct 2,754.71 8,928.99
49,705.477 units of ₹ 5542.0577 each (31st March, 2023:
1,73,095.5449 units of ₹ 5158.4197 each)

Axis Banking & PSU Debt Fund - 3,17,583.381 units of 7,792.98 9,140.60
₹ 2453.8381 each (31st March, 2023 - 3,99,401.665 units
of ₹ 2288.5724 each)
Bandan Banking & PSU Debt Fund -65,32,593.212 units 1,496.28 6,957.11
of ₹ 22.9048 each (31st March, 2023 - 3,25,81,564.19
units of ₹ 20.9854 each)
Nippon India Arbitrage Fund - Direct - nil (31st March, - 1,488.60
2023 - 61,66,826.829 units of ₹ 23.7070 each)
Bandan Corporate Bond Fund - Direct - Growth - 5,463.95 5,090.09
3,06,60,171.091 units of ₹ 17.8210 each (31st March, 2023
- 3,06,60,171.091 of ₹ 16.6022 each)
ICICI Pru Corporate Bond Fund - Direct - Growth - 7,107.25 6,572.34
2023 - 2,52,51,727.144 units of ₹ 26.0278 each)
HDFC Corporate Bond Fund - Direct - Growth - 8,265.85 7,639.56
2023 - 2,76,60,234.097 units of ₹ 27.6193 each)
Aditya Birla S.L. Floating Rate Dent Fund - Direct 3,488.53 3,231.27
- Growth - 10,78,576.43 units of ₹ 323.4383 each
HDFC Floating Rate Debt Fund - Direct - Growth - 3,271.97 3,023.25
71,35,334.839 units of ₹ 45.8559 each (31st March, 2023
: 71,35,334.839 units of ₹ 42.3701 each)
257
Annual
Report
2023-24

As at As at
Particulars
Nippon India Floating Rate Fund - Direct - Growth - 1,225.49 1,133.60
28,68,753.7010 units of ₹ 38.8904 each)
Nippon India Banking & PSU Debt Fund (G) - Direct - 1,215.15 1,127.42
62,63,427.911 units of ₹ 17.7001 each)
SBI Liquid Fund Direct Growth - 7,010.893 units of 264.96 4,130.02
₹ 3779.2823 of each (31st March 2023: 1,17,220.180 units
of ₹ 3523.303 of each)
SBI Savings Fund Direct Plan Growth - nil (31st March - 2,065.01
2023: 54,96,254.129 units of ₹ 37.5713 each)
Aditya Birla SL Nifty SDL Plus PSU Bond Sept 2026 536.98 500.71
50:50 Index Fund - Direct - Growth - 47,74,124.871 units
of ₹ 11.2477 each (31.03.2023: 47,74,124.871 units of
₹ 10.488 each)
Aditya Birla Sun Life Corporate Bond Fund - Direct - 1,621.65 1,501.65
Growth: 15,70,676.109 units of ₹ 103.2453 each
Bandan Crisil IBX Gilt April 2028 Index Lumsup Fund 1,620.77 1,507.06
Direct Plan -Growth :1,37,63,999.008 units of
₹ 11.7754 each (31st March, 2023: 1,37,63,999.01
units of ₹ 10.9493 each)
SBI CPSE Bond Plus SDL Sep 2026 50:50 Index Fund - 1,073.82 1,001.49
Direct : 96,15,551.07 unit of ₹ 11.1675 each (31st March,
2023: 96,15,551.07 unit of ₹ 10.4153 each)
Bandan Arbitrage Fund - Regular - Growth : 654.08 -
21,96,947.268 units of ₹ 29.7724 each
(31st March, 2023 ; nil)
Tata Arbitrage Fund - Regular Ask Growth : 1,158.15 -
87,85,873.941 units of ₹ 13.1806 each
(31st March, 2023 : nil)
HDFC Arbitragef Fund - WP-monthly Dividend - Direct 253.89 -
plan : 13,82,368.395 units of ₹ 18.3660 each
(31st March, 2023: nil)
SBI Arbitrage Opportunities Fund - Direct Plan - Growth: 253.90 -
7,75,562.528 units of ₹ 32.7338 each (31st March, 2023:
nil)
Kotak Equity Arbitrage Fund - Direct Growth : 254.09 -
6,98,324.219 units of ₹ 36.3862 each
(31st March, 2023: nil)
Total b(i) 49,774.45 65,554.79
Investments in Non Convertible Debentures (quoted) -
Current
5.23% LIC Housing July 2023 : Nil - 1,036.01
(31st March 2023 : 100 nos)
5.40% HDFC Aug 2023 :nil (31st March 2023 : 100 nos) - 1,035.41
258

As at As at
Particulars
5.70% Bajaj Finance Aug 2023 : nil - 1,037.60
(31st March 2023 : 100 nos)
7.2871% HDB Financial July 2023 : nil - 2,110.41
(31st March 2023 : 200 nos)
8.00% Reliance Industries Ltd. 09th April 2023 : nil - 1,078.59
(31st March 2023 : 100 nos)
8.00% Reliance Industries Ltd. 16th April 2023 : nil - 1,077.91
(31st March 2023 : 100 nos)
Housing Development Finance Corporation SR V-006 1,058.47 -
7.99 NCD: 100 nos (31st March, 2023 : nil)
Total b(ii) 1,058.47 7,375.93
Investment with Non Banking Institutions:
Term deposit with LIC of India 6,344.83 5,125.18
Term deposit with Bajaj Finance Limited 11,865.69 13,445.03
Term deposit with HDFC Limited 1,703.60 5,223.88
Total b(iii) 19,914.12 23,794.09
Total b(i+ii+iii) 70,747.04 96,724.81
value thereof

investments
Total 70,747.04 96,724.81
8. Loans
As at As at
Particulars
(a) Non-current
Total (a) 270.71 189.94
(b) Current
Intercorporate deposits:
to others - 1,592.00
Less: provision for doubtful advances - (1,542.00)
Total (b) 155.12 160.37
Total (a+b) 425.83 350.31 259
Annual
Report
2023-24

9. Other Financial Assets

As at As at
Particulars
a) Non Current
Bank deposits (Maturity more than 12 months) - 75.00
Margin Money Accounts* 63.01 65.55
Security deposits 1,426.87 1,306.13
Total 1489.88 1,446.68
* Margin Money deposits with bank of a carrying amount of ₹ 63.01 Lakhs (31 March, 2023: st
65.55 Lakhs) are lien marked for import L.C.s.

b) Current
Derivative financial asset - 71.50
Other Receivables - 133.03
Total - 204.53
10. Other Assets

As at As at
Particulars
a) Non-current
Taxes paid under protest 3.27 2.94
Unsecured, considered doubtful
Capital advances 873.56 2,193.45
Less: Provision for Bad and doubtful advances (16.00) (16.00)
Total 860.83 2,180.39
(b) Current
Prepaid expenses 538.33 533.48
Advance for purchases 165.92 262.45
Export incentives receivable 1,819.87 783.36
RODTEP scripts on hand 98.27 469.21
GST Receivable 30.40 0.12
Advance to suppliers 160.07 557.61
Interest accrued on electricity deposits 55.77 48.61
Total 2,880.07 2,666.80
260

11 a) Inventories (valued at lower of cost or net realizable value)

As at As at
Particulars
Raw materials
In godowns 53,176.59 46,498.29
Stock in transit - 724.87
Packing materials 1,006.70 764.91
Work-in-progress 872.64 1,026.27
Finished goods
In godowns 30,757.08 16,040.72
Stock in transit - 11,521.02
Stores and spares 2,705.12 3,653.78
Stores and spares - in transit - 68.67
Total 88,518.13 80,298.53
11 b)
As at As at
Particulars
Biological Assets
Brood stock 53.13 104.79
Post Larval 62.37 123.07
Total 115.50 227.86
Reconciliation of changes in the carrying amount of biological assets:

As at As at
Particulars
As at beginning of the year 227.86 166.66

Increase due to purchase/production/physical change 1,809.21 2,127.11
Decrease due to Physical change/ sales (1,921.57) (2,065.91)
Net change in the Fair value less estimated cost to sell 115.50 227.86
12. Trade receivables

As at As at
Particulars
a) Trade receivable billed:
Secured:
Undisputed
Disputed:
Considered good 148.31 148.31
Unsecured:
Considered doubtful 328.59 245.82
14,670.55 12,390.96
Less: Allowance for doubtful trade receivables 328.59 245.82
Total (a) 14,341.96 12,145.14
b) Trade receivable unbilled 5.00 9.92
Total (b) 5.00 9.92
Total (a+b) 14,346.96 12,155.06 261
Annual
Report
2023-24

Ageing for trade receivables - billed - current outstanding as at 31st March, 2024 is as
follows:
outstanding for following periods from due date of payment
Particulars More
Less than 6 months 1-2 2-3
than 3 Total
6 months - one year years years
years
Undisputed trade receivables- 13,014.08 - - - - 13,014.08
secured - considered good
Undisputed trade receivables- 1,179.57 - - - - 1,179.57
unsecured - considered good
Undisputed trade receivables – - - - - - -
credit impaired
considered good
Disputed trade receivables – - - 82.76 - 245.82 328.59
considered doubtful
Disputed trade receivables – which - - - - -
have significant increase in credit
risk
Disputed trade receivables – credit - - - - - -
impaired
Total 14,193.65 - 82.76 - 394.13 14,670.55
Less: Allowance for doubtful trade - - 82.76 - 245.82 147.63
receivable
Total 14,193.65 - - - 148.31 14,341.96
Trade receivables - un billed 5.00 - - 5.00
Total 14,198.65 - - - 148.31 14,346.96

Particulars More
Less than 6 months - 1-2 2-3
than 3 Total
6 months one year years years
years
Undisputed trade receivables- 1,629.31 871.17 - - - 2,500.48
secured - considered good
Undisputed trade receivables- 8,369.54 1,100.84 8.80 17.17 - 9,496.35
unsecured - considered good
Undisputed trade receivables – - - - - - -
credit impaired
considered good
considered doubtful
which have significant increase
in credit risk
Disputed trade receivables – - - - - -
credit impaired
262


Particulars More
Less than 6 months - 1-2 2-3
than 3 Total
6 months one year years years
years
9,998.85 1,972.01 8.80 17.17 394.13 12,390.96
Less: Allowance for doubtful - - - - 245.82 245.82
trade receivables
9,998.85 1,972.01 8.80 17.17 148.31 12,145.14
Trade receivables - unbilled - - - - - 9.92
Total 9,998.85 1,972.01 8.80 17.17 148.31 12,155.06
13. a) Cash and cash equivalents

As at As at
Particulars
Balances with banks :
-In current accounts 1238.32 3,356.01
Total 1,251.96 3,363.66
13 b) Other bank balances

As at As at
Particulars

Unpaid dividend accounts 174.53 199.84
Deposit Accounts 71,117.17 24,617.44
Margin money accounts* 627.46 282.97
CSR unspent accounts 537.86 172.86
Total 72,457.02 25,273.11
* Margin Money deposits with bank of a carrying amount of ₹ 627.46 Lakhs (31st March, 2023:
₹ 282.97 Lakhs) are lien marked for import L.C.s and for issuance of SBLC for Anti Dumping Duty
purpose to US Customs Authorities.
14. Equity Share capital

As at As at
Particulars
Authorised capital
15,85,00,000 equity shares of Re. 1/- each (31st March, 1,585.00 1,585.00
Issued, subscribed and paid up
13,62,45,630 fully paid up equity shares of ₹ 1/- each 1,362.46 1,362.46
(31st March, 2023; 13,62,45,630 shares ₹ 1/- each)
1,362.46 1,362.46
263
Annual
Report
2023-24

Notes:
(a) Reconciliation of the number of shares outstanding:
Particulars Number of shares Amount

Balance at April 1, 2022 13,62,45,630 1,362.46
st
13,62,45,630 1,362.46
st
13,62,45,630 1,362.46
b. Details of shares held by each shareholder holding more than 5% shares
As at 31st March, 2024 As at 31st March, 2023
Name of the shareholder % holding % holding

Number of Number of
of equity of equity
shares held shares held
shares shares
Equity shares of ₹ 1/- each fully paid up
(previous year ₹ 1/- each)
1. Srinivasa Cystine Private Limited 3,62,99,115 26.64 3,62,99,115 26.64
2. Thai Union Group Public Company 2,10,30,630 15.44 2,10,30,630 15.44
Limited
3. Thai Union Asia Investment Holding 1,19,54,826 8.77 1,19,54,826 8.77
Limited
3. Alluri Indra Kumar 83,30,700 6.11 83,30,700 6.11
4. Alluri Indra Kumar (HUF) 81,89,250 6.01 81,89,250 6.01
As per records of the Company, including its register of shareholders/ members and other
declaration received from shareholders regarding beneficial interest, the above shareholding
represent both legal and beneficial ownerships of shares.
c. Rights attached to equity shares:
The Company has only one class of equity shares having par value of ₹ 1/- per share (previous
year ₹ 1/- per share). Each holder of equity shares is entitled to one vote per share. The Company
declares and pays dividends in Indian rupees. The dividend proposed by the Board of Directors
is subject to the approval of the shareholders in the ensuing Annual General Meeting.
In the event of liquidation of the company, the holders of equity shares will be entitled to receive
remaining assets of the company, after distribution of all preferential amounts. The distribution
will be in proportion to the number of equity shares held by the shareholders.
(d) Equity shares movement during the 5 years preceding 31st March, 2024 on account of
Equity shares issued as bonus
The Company allotted 4,54,15,210 equity shares as fully paid up bonus shares by capitalisation
of profits transferred from securities premium reserve amounting to ₹ 438.00 lakhs and general
reserve amounting to ₹ 16.15 lakhs, which was approved by the shareholders by means of a
264 special resolution through E.G.M. held on 14th June, 2018.

(e) Details of share holding of promoters:

As at 31st March, 2024 As at 31st March, 2023
Shares held by promoter Shares held by promoter
%
Promoter Name
% of % change % of change
No. of shares total during No. of shares total during
shares the year shares the
year
Srinivasa Cystine Private 3,62,99,115 26.64 - 3,62,99,115 26.64 -
Limited
Sanjeev Agrovet Private 42,35,265 3.11 - 42,35,265 3.11 -
Limited
Indra Kumar Alluri 83,30,700 6.11 - 83,30,700 6.11 -
Alluri Indra Kumar HUF 81,89,250 6.01 - 81,89,250 6.01 -
Venkata Sanjeev Alluri 7,10,700 0.52 - 7,10,700 0.52 -
Alluri Nikhilesh Chowdary 6,91,650 0.51 - 6,91,650 0.51 -
Nuthakki Ram Prasad 2,29,701 0.17 - 2,29,701 0.17 -
Sudha Vadlamudi 37,500 0.03 - 37,500 0.03 -
Amar Kumar Chukkapalli - - (100.00) 37,500 0.03 -
Vijaya Kumar Chukkapalli 18,750 0.01 - 18,750 0.01 -
Katneni Jagan Mohan Rao 37,500 0.03 - 37,500 0.03 -
N Naga Ratna 95,022 0.07 - 95,022 0.07 -
Ratna Manikyamba Katneni 37,500 0.03 - 37,500 0.03 -

Arun Kumar Chukkapalli 18,750 0.01 - 18,750 0.01 -
Total 5,89,31,403 43.25 (100.00) 5,89,68,903 43.28 -
15. Other equity

As at As at
Particulars
Foreign Currency Translation Reserve - -
General Reserve 28,364.22 25,105.72
Retained earnings 2,06,821.29 1,83,080.22
Total Other Equity 2,35,185.51 2,08,185.94
As at As at
Particulars
Foreign Currency Translation Reserve
Balance at beginning of year - (1.94)
Adjustment due to winding-up of step down subsidiary - 1.94
Balance at end of year - -
General Reserve
Balance at beginning of year 25,105.72 22,015.72
Transferred from Surplus in Statement of Profit and 3,340.00 3,090.00
Loss
265
Annual
Report
2023-24

As at As at
Particulars
Shares issue expenses (81.50) -
Balance at end of year 28,364.22 25,105.72
Retained earnings
Balance at beginning of year 1,83,080.22 1,66,163.92
35,714.19 27,867.23
Adjustment due to winding-up of step down subsidiary - 87.93
Gain on Bargain purchase (capital reserve) - 312.65
Remeasurements of the defined benefit plans (117.77) (26.49)
Profits transferred to General Reserve (3,340.00) (3,090.00)
Dividend declared during the year (8,515.35) (8,515.35)
Change in Non controlling interest due to dividend - 280.33
Balance at end of year 2,06,821.29 1,83,080.22
General Reserve:
The general reserve is used from time to time to transfer profits from retained earnings for
appropriation purposes. As the general reserve is created by a transfer from one component of
equity to another and is not an item of other comprehensive income, items included in the general
reserve will not be reclassified subsequently to statement of profit and loss. The reserve is utilised
for Bonus issue in accordance with the provisions of the Companies Act, 2013.
16. Non-current borrowings

As at As at
Particulars
Secured
Term Loan
From Axis Bank Limited 1,394.03 -
Total 1,394.03 -
* Current maturities on long-term borrowings have been disclosed under the head Other current
financial liabilities
Summary of borrowing arrangements
Term loan:
Nature of Security & Terms of Repayment :
Axis Bank Ltd has sanctioned a loan of ₹ 14 Crores for the purpose of setting up a new shrimp
processing plant, with an annual capacity of 7,000 MTPA, at Krishnapuram Village, Thondangi
Mandal, Kakinada District, AP.
The loan is secured by way of exclusive charge on all movable and immovable fixed assets
(including Land to the extent of 16.86 acres) located at Company's plant at Krishnapuram village
and pari passu second charge on all current assets of the Company, both present and future.
The interest rate of loan is 8.25% p.a and the loan is repayable in 20 equal quarterly installments
266 of ₹0.70 Crore each after a moratorium period of 18 months from the date of first disbursement.

17. Other financial liabilities

As at As at
Particulars
a. Non - Current
Security deposits* 372.00 372.00
Total 372.00 372.00
b. Current
Current maturities of Long term borrowings
(refer note 16)
Unpaid dividend 174.53 199.84
Derivative Financial Instruments 75.21 -
Creditors for capital works 145.45 64.20
Provision for over dues 48.78 -
Total 443.97 264.04
*Security Deposits taken from dealers for supplying them shrimp feed on credit term. These
deposits carry an interest of @ 9% per annum (31st March, 2023: 9% p.a.).
18. Provisions
As at As at
Particulars
Provisions (refer note 38)
Provision for gratuity 276.52 201.59
Provision for leave encashment 130.59 93.01

Total 407.11 294.60
a. Non - Current portion 141.37 116.82
b. Current portion 265.74 177.78
Total 407.11 294.60
19. Other Liabilities :

As at As at
Particulars
a) Non-Current
Unamortised government grants (refer note (i) and (ii) 721.12 999.87
below)
Total 721.12 999.87
b) Current
Advance from customers 1,425.31 3,359.49
Statutory dues 425.85 364.46
Unamortised government grants (refer note (i) and (ii) 287.43 -
below)
Total 2,138.59 3,723.95
Unamortised government grants includes

Investment subsidy of ₹ 500.00 lakhs received from Andhra Pradesh Food Processing Society,
Government of Andhra Pradesh for setting up of new shrimp processing unit at Yerravaram, East
Godavari District, Andhra Pradesh. There are no unfulfilled conditions or other contingencies 267
Annual
Report
2023-24

attaching to these grants. As these grants are in relation to property, plant and equipment and
buildings, the same has been capitalised and amortised on a systematic basis over the useful life
of respect assets. The carrying value of the grant as at 31st March, 2024 is ₹ 177.89 Lakhs (31st
March, 2023: ₹ 225.47 lakhs).
Waiver of duties of ₹ 1,927.01 lakhs (31st March, 2022 ₹ 1,662.19 lakhs) on import of or domestically
sourced property, plant and equipment, availed under Export Promotion Capital Goods Scheme.
There are no unfulfilled conditions or other contingencies attaching to these grants. As these
grants are in relation to property, plant and equipment, the same has been capitalised and
amortised over the useful life of respect assets. The carrying value of the grant as at 31st March,
2024 is ₹ 830.80 lakhs (31st March, 2023: ₹ 774.39 lakhs).
20. Current borrowings
As at As at
Particulars
Secured:
Working capital loan from State Bank of India - -
Working capital loan from Axis Bank - -
Total - -
Notes
Working capital loan Limits:
Avanti Frozen Foods Private Limited
The working capital limits, sanctioned by State Bank of India and Axis Bank as at 31st March,
2024, are ₹ 8,000.00 lakhs and ₹ 3,500.00 lakhs, respectively (31st March, 2023: ₹ 8,000.00 lakhs
and ₹ 3,500.00 lakhs, respectively).
Primary security: Pari passu first charge on all chargeable current assets, both current and future,
of the Company along with other lenders under MBA.
Collateral security: Pari passu first charge on land &building, plant and equipments of shrimp
processing Plants at Yerravaram and Gopalapuram, Andhra Pradesh, along with other lenders
under MBA.
The working capital loans are repayable on demand and carries interest rate of 8.70%, MCLR 6M
+ 0.15%, on Cash Credit from State Bank of India and Axis Bank as per mutual agreed rates. For
Export Packing Credit (EPC), interest rate is linked to State Bank of India MCLR and Pre-shipment
Credit in foreign currency (PCFC) will be advised separately from time to time. Axis Bank rates for
EPC and PCFC are as per mutual agreement.
Quarterly returns/monthly statements of current assets filed by the Company with banks are in
agreement with the books of account.
The Company has not been declared wilful defaulter by any bank or financial institution or
government or any government authority.
Note: Debit balance in cash credit accounts as at 31st March, 2024 and March 31, 2023 have been
grouped under the head "Cash and cash equivalents".The working capital limits, sanctioned by
State Bank of India and Axis Bank as at 31st Dec, 2023 are ₹ 8,000.00 lakhs and ₹ 3,500.00 lakhs,
respectively (31st March, 2023: ₹ 8,000.00 lakhs and ₹ 3,500.00 lakhs, respectively).
The loans are secured by way of first charge on all chargeable current assets of the Company,
Property, Plant and Equipment of shrimp processing Plants at Yerravaram and Gopalapuram,
Andhra Pradesh. The working capital loans are repayable on demand and carries interest rate of
268 LIBOR+55 bps p.a. and LIBOR+50 bps p.a. on pre-shipment credit in foreign currency from State

Bank of India and Axis Bank, respectively. In case of cash credit facility the interest rates are
7.20% p.a. and 7.95% p.a. from State Bank of India and Axis Bank, respectively.
Note: Debit balance in cash credit accounts as at March 31, 2023 have been grouped under the
head "Cash and cash equivalents"
The working capital limits, sanctioned by State Bank of India (SBI) and HDFC Bank as at 31st Dec,
2023, are ₹ 3,000.00 lakhs and ₹ 2,000.00 lakhs, respectively (31st March, 2023: ₹ 3,000.00 lakhs
and ₹ 2,000.00 lakhs, respectively).
The working capital loan from SBI is secured by first charge on all current assets, Collateral First
charge on fixed assets of the company. The same is repayable on demand and carries interest @
8.70% p.a.
The working capital loan from HDFC Bank is secured by first charge on all current assets, Collateral
First charge on Property, Plant and Equipment of the company. The same is repayable on demand
and carries interest @ 9.25% p.a.
Note: Debit balance in cash credit accounts as at 31st March, 2024 (and 31st March, 2023) have
been grouped under the head "Cash and Cash equivalents"
21. Trade payables
As at As at
Particulars
Dues to micro enterprises and small enterprises (Refer 3,083.64 1,118.46
note below).
Dues to creditors other than micro enterprises and small 29,043.90 26,944.50
enterprises.

Total 32,127.54 28,062.96
Dues to micro and small enterprises:

With the promulgation of the Micro, Small and Medium Enterprises Development Act, 2006, the
Company is required to identify Micro, Small and Medium Suppliers and pay them interest on
overdue beyond the specified period irrespective of the terms with the suppliers. The Company
has circulated letter to all suppliers seeking their status. Response from few suppliers has been
received. In view of this, the liability of interest calculated and the required disclosures made, in
the below table, to the extent of information available with the Company.
As at As at
Particulars
Principal amount remaining unpaid to any supplier as at 3,083.64 1,118.46
the end of the accounting year.
Interest due thereon remaining unpaid to any supplier as - -
at the end of the accounting year.
The amount of interest paid along with the amounts of - -
the payment made to the supplier beyond the appointed
day.
The amount of interest due and payable for the period - -
of delay in making payment (which have been paid but
beyond the appointed day during the year) but without
adding the interest specified under this Act.
The amount of interest accrued and remaining unpaid at - -
the end of the accounting year. 269
Annual
Report
2023-24

As at As at
Particulars
The amount of further interest due and payable even in - -
the succeeding year, until such date when the interest
dues as above are actually paid.

Particulars Less than 1 1-2 2-3 More than Total
year years years 3 years
Trade payables
MSME 3,083.64 - - - 3,083.64
Others 7,447.10 - - - 7,447.10
Accrued expenses 21,596.80
Total 10,530.74 - - - 32,127.54

Particulars Less than 1 1-2 2-3 More than 3 Total
Trade payables
MSME 1,118.46 - - - 1,118.46
Others 10,404.22 3.64 4.93 13.20 10,425.99
Accrued expenses 16,518.51
Total 11,522.68 3.64 4.93 13.20 28,062.96
22. Income Taxes

(a) Deferred tax balance For the year ended 31st March, 2023
Recognised Recognised
Opening Closing
Particulars in profit or in Other comprehen-
balance balance
loss sive income
Deferred tax liabilities/ (assets) in
relation to
Depreciation & Amortization 1,085.77 44.07 - 1,129.84
Provision for doubtful debts (51.59) - (51.59)
MAT Credit Entitlement under (2,402.07) 1,753.54 (648.53)
Section 115JAA
Lease Liabilities (124.54) 28.83 (95.71)
Others 17.30 8.12 25.42
Total (165.22) 1,922.53 - 1,757.31
270

For the period ended 31st March, 2024

Recognised Recognised in
Opening Closing
Particulars in profit or Other comprehensive
balance balance
loss income
Deferred tax liabilities / (assets) in
relation to
Depreciation & Amortization 1,129.84 222.93 - 1,352.77
Provision for doubtful debts (51.59) (28.92) - (80.51)
MAT Credit Entitlement under (648.53) 648.53 - -
Section 115JAA
Others 25.42 (50.46) - (25.04)
Total 1,757.31 1,271.58 - 3,028.89
(b) Tax Assets

As at As at
Particulars
Non - current tax assets (net of provision for tax) 2,338.29 1,620.34
Total 2,338.29 1,620.34
(c) Tax Expense recognised in Profit and Loss

As at As at
Particulars

Current tax expense
In respect of the earlier years 151.55 (176.73)
Total (a) 13,033.07 9,530.48
Deferred tax expense
Total (b) 1,271.59 1,922.53
Total (a+b) 14,304.66 11,453.01
(d) Reconciliation of tax expense and the accounting profit multiplied by India’s tax rate:
As at As at
Particulars
Income tax expense 14,973.70 12,066.34
Deduction u/s 80IB of Income Tax Act (Refer note:1 (449.64) (609.65)
below)
Exempt income (1,424.58) (83.98)
Deduction u/s 80M (123.28) (115.82)
Income tax paid at special rate - (39.93)
Expenses not deductible 1,007.81 214.72
271
Annual
Report
2023-24

As at As at
Particulars
Impact of opening deferred tax liability due to change in 24.88 151.62
effective tax rate/MAT adjustments of earlier years
Tax expense of earlier years 151.98 (178.63)
Interest on Income tax - 0.64
Corporate Social Responsibility & Donations 143.23 156.39
Others 0.56 (108.69)
Total 14,304.66 11,453.01
Note:
1. Avanti Frozen Foods Private Limited has been availing deduction under section 80IB of the
Income Tax Act, 1961 for the new shrimp processing Plant at Yerravaram, East Godavari,
Andhra Pradesh, from the financial year 2017-18. The tax benefit on account deduction 80IB
for the year ended 31st March, 2024 is ₹ 1286.75 lakhs (31st March, 2023: ₹ 609.65 lakhs)
23. Revenue from operations

Particulars
Sale of Products
Finished goods - domestic - Billed 4,27,820.86 4,03,626.23
Finished goods - domestic - Unbilled 5.00 9.92
Finished goods - exports 1,03,344.69 1,00,049.00
Other operating revenue
Export incentives 5,718.81 5,013.40
Total 5,36,889.36 5,08,698.55
Reconciliation of Revenue from sale of products with
contracted price
Contracted Price 6,34,924.14 5,99,233.16
Less : Sales Returns (88.49) (185.27)
Less : Trade and other Discounts (1,03,665.10) (95,362.74)
Total 5,31,170.55 5,03,685.15
Finished goods sold
Shrimp Feed & Processed shrimp
i) Domestic 4,25,437.09 4,01,883.11
ii) Exports 1,03,344.69 1,00,049.00
Shrimp Seed 1,536.88 1,588.41
Power 163.15 160.50
Other sales 688.74 4.13
Total 5,31,170.55 5,03,685.15
272

24. Other income (net)

Particulars
Interest Income on Financial Assets carried at amortized
cost:
Bank deposits 5,068.33 1,325.54
Non Convertible debentures 463.54 939.02
Others 1,127.05 432.41
Dividend Income:
from investments mandatorily measured at FVTPL 1.83 -
Net gain on sale of investments:
On sale of Mutual Funds 3,076.46 2,932.56
MTM gain on investments carried at fair value through 1,637.49 333.70
profit or loss
Exchange gains / (losses) on translation of assets and 1,290.75 2,264.95
liabilities
Other non-operating income 777.96 659.99
Profit on sale of property, plant and equipment 2.52 1.78
Fair value gain/(loss) on derivatives measured at fair (75.21) 71.50
value through profit and loss
Amortisation of government grant 256.13 240.33
Total 13,626.85 9,201.78

25. Cost of materials consumed
Particulars
Inventory at the beginning of the year 47,988.07 62,481.82
Add: Purchases 4,40,406.87 3,97,125.63
4,88,394.94 4,59,607.45
Less: Inventory at the end of the year 54,183.29 47,988.07
Cost of material consumed 4,34,211.65 4,11,619.38
Purchase of bearer biological Assets:
Purchase of brood stock 258.33 181.52
Cost of material consumed 258.33 181.52
26. Changes in inventories of finished goods and work-in-progress

Particulars
Closing Stock
Finished goods 30,757.08 27,561.74
Work-in-progress 872.64 1,026.27
Total 31,745.22 28,815.87 273
Annual
Report
2023-24


Particulars
Opening Stock
Finished goods 27,561.74 27,754.73
Work-in-progress 1,026.27 938.12
Total 28,815.87 28,859.51
Net (increase)/decrease (2,929.35) 43.64
27. Employee benefits expense

Particulars
Salaries, wages and bonus 18,006.46 15,007.53
Contribution to provident and other funds 1,184.31 1,019.21
Gratuity expense (refer note no. 38) 285.58 239.04
Staff welfare expenses 478.47 418.26
Total 19,954.82 16,684.04
28. Depreciation and amortisation expense

Particulars
Depreciation of property, plant and equipment 5,372.83 4,066.13
Depreciation on ROU asset 259.46 184.94
Amortisation of intangible assets 7.63 8.38
Total 5,639.92 4,259.45
29. Finance costs

Particulars
Interest expense
- Interest on bank overdrafts and loans 31.93 2.22
- Interest on leases 24.56 31.16
Other borrowing costs 74.21 168.75
Total 130.70 202.13
30. Other expenses

Particulars
Rent (Refer Note i) 270.68 694.95
Power and fuel 9,410.49 9,025.78
Repairs and maintenance;
- Buildings 594.24 265.04
- Plant and machinery 745.84 514.95
- Others 29.65 18.36
274 Consumable stores 3,663.98 3,697.51


Particulars
Other manufacturing expenses 9,580.83 8,760.20
Rates and taxes 323.15 391.54
Insurance 960.43 956.71
Electricity Charges 10.34 10.22
Vehicle maintenance 210.79 184.20
Travelling and conveyance 1,080.29 1,028.30
Communication expenses 82.60 68.79
Printing and stationery 77.84 70.77
Directors' Sitting Fee 61.52 59.85
Auditors Remuneration (refer note (ii)) 87.43 81.34
Professional charges 351.59 295.00
Corporate Social Responsibility (refer note no. 35) 762.71 809.99
Donations 5.18 15.05
Bank charges 148.77 187.12
Assets Written off 10.18 10.90
Advertisement 75.72 11.74
Carriage outward 625.65 785.11
Ocean freight and export expenses 4,871.37 7,602.10
Marketing expenses 3,488.17 3,491.29
Royalty 894.62 964.30
Loss on disposal of property, plant and equipment 4.10 0.85
Commission on profits to Non executive Directors 100.00 100.00

Expected credit loss expense 82.76 -
Preliminary and Pre-operative expenses 19.26 -
General expenses 955.78 766.04
Total 39,585.96 40,868.00
Notes:
i) Operating leases:
Lease payments made under operating leases aggregating to ₹ 270.68 lakhs (31st March,
2023: ₹ 694.95 lakhs) have been recognized as an expense in the Statement of Profit and
Loss. The future minimum lease commitments under non-cancellable operating leases
are nil.
ii) Auditors' remuneration comprises of:

Particulars
As Auditors 62.80 55.40
Tax Matters 3.50 3.50
Other Services 8.72 10.08
Reimbursement of expenses 12.41 12.36
Total 87.43 81.34 275
Annual
Report
2023-24

31. Exceptional items

Particulars
Provision for product recall - 812.00
Investment in subsidiaries written off - 7.21
Loans to subsidiaries written off - 511.33
Total - 1,330.54
In the previous year, consequent to 9 cases of Salmonella related sickliness reported in USA,
USFDA/CDC in their investigation through whole genome sequence analysis and trace back of
products supplied by the Company, determined that the cause of the sickness in the person is the
cooked shrimp products supplied by Avanti Frozen Foods Private Limited (Subsidiary Company/
AFFPL). USFDA / CDC had instructed the Company to recall cooked products distributed in the
US market during the period from November, 2021 to May, 2022. Accordingly, Company has
recalled 791.10 MT of cooked shrimps valued ₹ 6,622.32 lakhs. Company charged to profit and
loss for the year ended March 31, 2023, the value of the product destroyed and related recall
expenses amounting to ₹ 812.00 lakhs (Previous year: ₹ 2,750.00 lakhs), as an exceptional item.
Avanti Frozen Foods Inc., USA (AFFI), a wholly owned subsidiary of Avanti Frozen Foods Private
Limited, has been dissolved with effect from 27th March, 2023, as the continuing its business of
trading in shrimps and seafood is not viable due to impact of COVID-19. Consequent to the said
dissolution of AFFI, the Company has written off the investment in AFFI amounting to ₹ 7.21 Lakhs
and the unsecured loan, to the extent of unrealisable, amounting to ₹ 511.33 Lakhs has been
written off and shown under exceptional item.
32. Earnings per share

Particulars
Profit attributable to equity holders of parent entity 35,714.19 27,867.23
Net Profit for calculation of Basic and Diluted EPS (A) 35,714.19 27,867.23
Weighted average number of equity shares for Basic 13,62,45,630 13,62,45,630

EPS (B) (nos.)
(a) Basic earnings per share (in ₹) (A/B) 26.21 20.45
There is no dilution to the basic earnings per share as there are no dilutive potential equity
shares.
33. Contingent Liabilities

Demands raised by customs, service tax, sales tax, 505.33 102.27
income tax and other authorities, being disputed by the
Company *
276 * Details of demands raised by customs, service tax, sales tax, income tax and other authorities

Name of Period to
the Statute/ which the
Nature of the Dues Amount Forum where dispute is pending
Description of amount
disputes relates
Madhya Pradesh Sales tax (MP 29.22 2005-06 High Court of Madhya Pradesh
VAT Act, 2002 VAT demand for
soya transactions
in 2005-06)
Customs Act, Customs duty 60.82 2009 -2011 & CESTAT, Chennai
1962 2011-2012
Income tax Act Income tax 12.23 2013-2014 Commissioner Appeals, Income
tax, Hyderabad
Customs Act, Customs duty 11.44 2017-2018 & The Commissioner of Customs
1962 2018-2019 (Appeals), JNCH- Navaseva,
Mumbai
GST Act GST 56.57 2017-2018 Appellate Additional
Commissioner of State Tax,
Vijayawada
Income tax Act Income tax 9.05 2014-2015 Commissioner Appeals, Income
tax, Hyderabad
Disputed claims GAIL (India) 296.00 2005 to 2010 Hon'ble Supreme court of India
raised by supplier Limited
Disputed claims ONGC 30.00 June 2014 & Hon'ble Districts and Sessions
raised by supplier July 2014 Court, East Godavari Dist.,
Rajahmundry
Total 505.33
i) The Company purchased soya bean in the year 2004-05, converted the same in to DOC
in 2005-06 and used some part for own consumption in manufacturing of shrimp feed and

some part was exported. The resultant soya oil was sold locally. The Sales Tax Act pertaining
to soya bean processing and soya oil sale was amended with effect from 13.12.2004 and
Commercial Tax department took the view that the soya bean purchased prior to 13.12.2004
will attract tax at old rates and a demand to ₹ 29.22 lakhs was raised. This is being contested
by the Company in the High Court of Madhya Pradesh.
ii) Company is importing Squid Liver Powder (SLP) which is one of the raw materials for
manufacturing of shrimp feed. SLP is imported by the Company under raw material
classification. However, Customs has disputed our claim and demanding duty applicable for
import of complete feed. Company appealed against the order of CESTAT, Chennai, before
Madras High Court.
The Company is contesting the demands and the management, including its tax advisors,
believe that its position will likely be upheld in the appellate process. No tax expense has
been accrued in the financial statements for the tax demand raised. The management
believes that the ultimate outcome of this proceeding will not have a material adverse effect
on the company's financial position and results of operations.
iii) The Income Tax Department has completed the assessment for the asst. year 2013-14 and
has raised an additional demand of ₹ 12.23 Lakhs which the Company has contested and
filed an appeal with the Commissioner of Appeals, Income Tax.
iv) The Company has purchased spares like pellet dies etc. in the year 2017-2018 & 2018-2019
under stores & spares classification and paid IGST @12%. In the year 2022-23 customs has
reclassified these items and charged IGST @18% and asked the Company to pay differential
tax along with Interest. The Company has paid the differential amount of GST along with
interest and asked waiver for fine and penalty. But the customs department has raised a fine 277
Annual
Report
2023-24

₹ 7,00,000/- and penalty ₹ 4,44,140/-. Aggrieved by the demand the Company has filed an
appeal with the Commissioner of Customs (Appeals), Maharashtra.
The Company is contesting these demands and believes that its position will likely be upheld
in the appellate process. Accordingly, the Company has not accounted the fine and penalty
raised by the GST authorities. The management believes that the ultimate outcome of this
proceeding will not have a material adverse effect on the Company's financial position and
results of operations.
iv) The department of commercial taxes has conducted GST audit in AFFPL for the financial
year 2017-18 and issued a show cause notice for non-reversal of input tax credit under rule
42, for MEIS scrips sales. The Company has filed a response that ITC on common inputs
were reversed during the investigation by Anti Evasion, Central Tax, Kakinada and submitted
evidence of payment to the department. However, the department has calculated reversal
of ITC on total inputs instead of common inputs and passed an order u/s 73 on 28/12/2023,
with a demand of ₹ 56.57 lakhs, including interest. The Company has filed an appeal against
department's order, before the Appellate Additional Commissioner of State Tax, Vijayawada
on 26th March, 2024.
The management believes that the ultimate outcome of this proceeding will not have a
material adverse effect on the Company's financial position and results of operations
v) SPPPL has disputed the demand raised by the Income Tax department for the financial year
2014-15 and approached Commissioner appeal for resolution. In this regard paid an amount
of ₹ 8.00 Lakhs.
vi) SPPPL has disputed the demands raised by GAIL (India) Limited with respect to retrospective
revision in prices of gas supplied during July, 2005 to March, 2010. The Company paid the
amount of ₹ 296 lakhs under protest. The matter is pending with Hon’ble Supreme Court of
India.
vii) SPPPL has disputed the demand raised by Oil and Natural Gas Corporation Limited (ONGC)
with respect to increase in price of gas supplied during June, 2014 to July, 2014 for an
amount of ₹ 30 lakhs. The matter is submitted to arbitrator as per the order of Hon’ble
Districts and Sessions Court, East Godavari district, Rajahmundry.
34. Capital commitments

Estimated amount of contracts remaining to be executed to the extent not provided for (net of
advances) for ₹ 956.30 lakhs (31st March, 2023 ₹ 3,522.91 lakhs)
35. Corporate Social Responsibility Expenditure

During the year, the amount required to be spent on corporate social responsibility activities
amounted to ₹ 762.70 lakhs (31st March, 2023 : ₹ 809.99 lakhs) in accordance with Section 135
of the Act. The following amounts were actually spent during the current & previous year:
Amount spent during the year on: 31st March, 2024 31st March, 2023
i. Details of corporate social responsibility expenditure:
A. Amount required to be spent during year 762.71 809.99
B. Amount spent during the year
1. Construction/acquisition of any asset - -
2. Purpose other than (1) above 337.71 809.99
C. Shortfall at the end of the year 425.00 172.86
D. Total including previous years shortfall 537.86 172.86
278

Amount spent during the year on: 31st March, 2024 31st March, 2023
E. Reason for shortfall Pertaining to ongoing projects
F. Nature of CSR activities Promoting Education, Healthcare,
Rural Development, Disaster relief,
Technological advancement.
G. Details of related party transactions in relation to CSR - -
expenditure as per relevant Accounting Standard:
Contribution to Avanti Foundation in relation to CSR 244.94 377.94
expenditure
H. Provision made with respect to a liability incurred by 425.00 172.86
entering into a contractual obligation
36. Related party disclosures
1. Names of related parties and related party relationship:
Related parties with whom transactions have taken place during the year
Key Managerial Personnel Wholetime Directors:
(KMP) Dr. A. Indra Kumar, Chairman and Managing Director
Sri C. Ramachandra Rao, Joint Managing Director, Company
Secretary and CFO
Sri A. Venkata Sanjeev, Executive Director
Sri A. Nikhilesh Chowdary, Executive Director
Non whole time directors Sri J. V. Ramudu

Sri N. Ram Prasad
Sri NVDS Raju
Sri Bunluesaak Sorajjakit
Sri Peerasak Boonmechote
Smt. K. Kiranmayee
Sri V. Narsi Reddy
Sri G. Sudarshan Babu, IAS
Sri K. Srinivasa Reddy
Sri K. Ramamohana Rao
Smt Y. Prameela Rani
Executive Officers Narendra Sharma - Company Secretary
D.V.S. Satyanarayana - Chief Financial Officer
Entities having significant Thai Union Group PCL, Thailand ("TUG")
influence over the Company Tri-union Frozen Products Inc.
(Chicken of the Sea Frozen Foods) (a subsidiary of TUG)
Thai Union China Co. Ltd (a subsidiary of TUG)
Thai Union Feed Mill Co. Ltd. (a subsidiary of TUG)
Thai Union Asia Investments Holding Co. Ltd.
Srinivasa Cystine Private Limited 279
Annual
Report
2023-24

Related parties with whom transactions have taken place during the year
Associate Companies Patikari Power Private Limited
Entities over which KMP has Sanjeev Agro - Vet Private Limited
significant influence Sri Sai Srinivasa Agro Farms & Developers LLP
Avanti Foundation
A.V.R. Trust
C.R. Reddy College
Sakuntala Professional Associates LLP
Nava Limited (Formerly known as Nava Bharat Ventures
Limited)
RBS - TU Food Ingredients Private Limited
2. Related party transactions

The following table provides the total amount of transactions that have been entered into with
related parties for the relevant financial year:
Entities over
Entities having
Key Management Associate which KMP
significant Influence
Personnel Companies has significant
over the company
influence
Particulars For the year For the year
ended ended
31st 31st 31st 31st 31st 31st 31st 31st
March, March, March, March, March, March, March, March,
2024 2023 2024 2023 2024 2023 2024 2023
Whole time 6,088.38 4,832.79 - - - - - -
directors
remuneration
Non whole 160.10 159.85 - - - - - -
time directors
sitting fees and
commission **
Remuneration 66.51 22.41 - - - - - -
to Executive
Officers
Rent paid 13.33 12.71 - - 4.40 - - -
Rent Received - - - - 2.41 2.28 1.55 1.48
Contribution - - - - - - 244.94 377.94
towards
corporate social
responsibility
Royalty paid - - - - 894.86 964.30 - -
Dividend paid 1,134.50 1,134.50 - - 4,530.62 4,530.62 264.70 264.70
Dividend 37.26 159.68
received
Legal Services - - - - - - 28.32 16.09
received
Sale of MEIS - - - - - - - 58.87
Licences
Sale of products - - - - 38,331.36 41,668.57 - -
Purchase of - - - - 19.72 32.40 461.90 167.67
280 goods

Year end balance
Entities having Entities over

Key Management Associate significant which KMP
Personnel Companies Influence over has significant
the company influence
Particulars
As at As at As at As at
31st 31st 31st 31st 31st 31st 31st 31st

March, March, March, March, March, March, March, March,
2024 2023 2024 2023 2024 2023 2024 2023
Whole time 5,048.68 3,910.24 - - - - - -

directors
remuneration
Non whole 100.00 100.00 - - - - - -

time directors
sitting fees and
commission **
Rent deposits paid - - - - - - - -
Rent deposit - - - - 0.45 0.45 0.24 0.24

received
Royalty - - - - 157.53 179.56 - -
Investment - - 1,064.52 1,064.52 - - - -

Legal Services - - - - - - - -
payable
Purchase of goods - - - - 1.38 0.39 0.10 0.16
Sale of products - - - - 180.14 116.35 - -
*below the rounding off norm adopted by the Company.

** Commission to whole time directors and non whole time directors will be paid after approval
of books of accounts at the ensuing A.G.M.
37. Segment reporting

The Company’s Chairman and Managing Director (CMD) examines the group’s performance both
from a product and geographic perspective and has identified the following segments of its
business:
Shrimp Feed is manufactured & marketed to the farmers, which is used in Aqua culture to grow
shrimp.
Shrimp Hatchery produces shrimp seed and marketed to the aqua farmers
Shrimp are purchased from the farmers and are further processed and exported to various
countries.
The Group had installed four wind mills of 3.2 MW at Chitradurga, Karnataka. Power generated from
wind mills is sold to BESCOM under Power Purchase agreement. 281
282
Report
Annual
2023-24
Notes forming part of the Consolidated Financial Statements for the year ended 31st March, 2024
Shrimp Feed Shrimp Processing SPPL Power Hatchery Un allocated Total

For the For the For the For the For the For the For the For the For the For the For the For the For the For the
Particulars year ended year ended year ended year ended year ended year ended year ended year ended year ended year ended year ended year ended year ended year ended
st st st st st st st st st
31st March, 31st March, 31st March, 31 March, 31 March, 31 March, 31 March, 31 March, 31 March, 31 March, 31 March, 31 March, 31st March, 31st March,
2024 2023 2024 2023 2024 2023 2024 2023 2024 2023 2024 2023 2024 2023
Revenue
External Sales 4,27,314.45 4,02,386.60 1,08,186.65 1,04,748.42 - - 163.15 160.50 1,550.88 1,588.41 - - 5,37,215.13 5,08,883.93
Inter-segment sales (325.77) (185.38) - - - - - - - - - - (325.77) (185.38)
Total Revenue 4,26,988.68 4,02,201.22 1,08,186.65 1,04,748.42 - - 163.15 160.50 1,550.88 1,588.41 - - 5,36,889.36 5,08,698.55
Segment Result
Operating Profit 30,535.45 24,590.72 10,154.90 10,382.58 (185.95) - 19.80 19.67 (220.89) 49.55 (135.27) - 40,168.04 35,042.52
Share of Profit / (Loss) - - - - - - 21.41 (33.39) - - - - 21.41 (33.39)

from Associates
Minority interest - - - - - - - - - - - - - -
Other Income 447.90 592.24 3,022.23 3,180.12 22.56 - - - 38.00 3.89 10,096.15 5,425.53 13,626.84 9,201.78
Interest Expense 52.84 73.54 75.57 127.74 - - - - 1.52 0.86 0.76 - 130.70 202.14
Exceptional item - - - (1,330.54) - - - - - - - - (1,330.54)
Income Tax - - - - - - - - - - - - - -
Current Tax - - 3,273.21 2,264.38 - - - - - 9,759.86 7,266.10 13,033.07 9,530.48
Deferred Tax - - 1,136.97 1,792.15 - - - - 134.62 130.38 1,271.59 1,922.53
Net Profit after tax 30,930.51 25,109.42 8,691.38 8,047.89 (163.39) - 41.21 (13.72) (184.41) 52.58 65.64 (1,970.94) 39,380.94 31,225.22
Other Information
Segment Assets 1,03,181.78 95,099.67 70,046.86 55,771.13 1,281.46 - 1,607.29 1,814.42 3,435.03 3,402.94 1,30,266.80 1,17,376.70 3,09,819.22 2,73,464.86
Segment Liabilities 23,306.00 23,159.21 9,010.39 5,607.51 49.51 - 38.21 82.31 100.64 82.31 8,387.16 6,848.74 40,891.91 35,780.08
Capital Employed 79,875.78 71,940.46 61,036.47 50,163.62 1,231.95 - 1,569.08 1,732.11 3,334.39 3,320.63 1,21,879.64 1,10,527.96 2,68,927.32 2,37,684.78

Based on the Revenue attributable to the individual customers located in various parts of the
world, the company’s business is organized into three key geographic segments, viz., India, USA
and rest of the world.
India USA Rest of the world
For the Year Ended For the Year Ended For the Year Ended
31st March, 31st March, 31st March,
31st March, 31st March, 31st March, 31st March, 31st March, 31st March,
2024 2023 2024 2023 2024 2023
Revenue 4,33,544.67 4,08,648.55 76,013.88 68,870.80 27,330.81 31,179.19
Location of assets 2,99,351.14 2,67,071.16 4,710.02 951.99 5,758.06 5,441.70
Additions to fixed 16,864.56 2,176.93 - - - -

assets
The Group have no customers (previous year two customers) revenue from whom accounts for
more than 10% of the group company's total revenue.
38. Employee Benefits

(i) Leave obligations
The leave obligations cover the group’s liability towards earned leave.
Based on past experience, the Group does not expect all employees to take the full amount of
accrued leave or require payment within the next 12 months. The following amounts reflect leave
that is expected to be taken or paid within the next 12 months:

Current leave obligations expected to be settled within 130.51 93.02
the next 12 months
(ii) Defined Contribution Plans

The Group also has certain defined contribution plans. Contributions are made to provident fund
(at the rate of 12% of basic salary), Employee State Insurance and Super Annuation fund in India
for employees as per regulations. The contributions are made to registered funds administered
by the government. The obligation of the Group is limited to the amount contributed and it has
no further contractual nor any constructive obligation. The expense recognised during the period
towards defined contribution plan is ₹ 818.73 lakhs (31st March, 2023 ₹ 679.81 lakhs)
(iii) Defined benefits Plan

Gratuity: The Group provides 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 employee's last drawn basic
salary per month computed proportionately for 15 days salary multiplied for the number of years
of service. The gratuity plan is a funded plan. The Group does not fully fund the liability and
maintains a target level of funding to be maintained over a period of time based on estimations of
expected gratuity payments.
Balance sheet amounts- Gratuity

The amounts recognised in the balance sheet and the movements in the defined benefit obligation
over the year are as follows:
283
Annual
Report
2023-24


Particulars Present Fair value Present Fair value
Net Net
value of of plan value of of plan
amount amount
obligation assets obligation assets
Opening balance 2,442.36 2,273.78 168.58 2,063.78 1,990.66 73.12
Current Service Cost 268.37 - 268.37 233.91 - 233.91
Past Service Cost - - - - - -
Interest expense/(income) 183.22 - 183.22 147.48 - 147.48
Interest income - 170.59 (170.59) - 142.35 (142.35)
Contributions - - - - - -
Total amount recognised in 451.59 170.59 281.00 381.39 142.35 239.04
profit or loss
Remeasurements
Return on plan assets, - 13.48 (13.48) - 1.52 (1.52)
excluding amounts included
in interest expense/(income)
(Gain)/loss from change in - - - - - -
demographic assumptions
(Gain)/loss from change in 75.80 - 75.80 (64.15) - (64.15)
financial assumptions
Experience (gains)/losses 60.60 - 60.60 91.82 - 91.82
in other comprehensive
income
Employer contributions - 322.64 (322.64) - 169.72 (169.72)
Benefit payments (39.06) (39.06) - (30.46) (30.46) -
Closing Balance 2,991.29 2,741.43 249.86 2,442.38 2,273.79 168.59
The net liability disclosed above relates to funded and unfunded plans are as follows:

Present value of funded obligations 2,991.29 2,442.38
Fair value of plan assets 2,741.43 2,273.79
Deficit of funded plan 249.86 168.59
Unfunded plans - -
Deficit of gratuity plan 249.86 168.59
(ii) Significant estimates: actuarial assumptions

The significant actuarial assumptions for defined benefit obligation are as follows:
Discount rate 7.15% 7.50%
Salary escalation rate 10.00% 10.00%
Employee attrition rate 10.00% 10.00%
Assumptions regarding mortality rate are set based on IALM (2012-14) IALM (2012-14)
actuarial advice in accordance with published statistics. Ult. Ult.
284 Normal retirement age 60 years 60 years

(iii) Sensitivity analysis

The sensitivity of the defined benefit obligation to changes in the weighted principal assumptions
is:
Change in Increase in Decrease in
assumption assumption assumption
31st 31st 31st 31st 31st 31st
Particulars March March March March March March
2024 2023 2024 2023 2024 2023
(₹ in (₹ in (₹ in (₹ in (₹ in (₹ in
lakhs) lakhs) lakhs) lakhs) lakhs) lakhs)
Discount rate 1.00% 1.00% Decrease by 215.24 174.33 Increase by 251.87 203.76
Attrition rate 50.00% 50.00% Decrease by 104.33 75.47 Increase by 152.48 110.08
Salary escalation rate 1.00% 1.00% Increase by 181.53 147.19 Decrease by 156.89 128.02
The above sensitivity analysis is based on a change in an assumption while holding all other
assumptions constant. In practice, this is unlikely to occur, and changes in some of the
assumptions may be correlated. When calculating the sensitivity of the defined benefit obligation
to significant actuarial assumptions the same method (present value of the defined benefit
obligation calculated with the projected unit credit method at the end of the reporting period) has
been applied as when calculating the defined benefit liability recognised in the balance sheet.
The methods and types of assumptions used in preparing the sensitivity analysis did not change
compared to the prior period.
(iv) The major categories of plan assets are as follows

Funds managed by Life Insurance Corporation of India 2,741.43 2,273.79
Total 2,741.43 2,273.79
(v) Risk exposure

Through its defined benefit plan, the Group is exposed to a number of risks, the most significant
of which are detailed below:
Asset volatility: The plan liabilities are calculated using a discount rate set with reference to bond
yields; if plan assets under perform this yield, this will create a deficit. The Group's plan assets
are insurer managed funds and are subject to less material risk.
Changes in bond yields: A decrease in bond yields will increase plan liabilities and the Group
ensures that it has enough reserves to fund the liability.
(vi) Defined benefit liability and employer contributions
Expected contributions to post-employment benefit plans for the year ending 31st March, 2025 is
₹ 502.07 lakhs.
Less than Between Between More than
Particulars
a year 2-5 years 6-10 years 10 years
31st March, 2024
Gratuity 857.03 748.59 1,068.84 3,624.56
Total 857.03 748.59 1,068.84 3,624.56
31st March, 2023
Gratuity 682.58 599.63 938.72 3,138.09
Total 682.58 599.63 938.72 3,138.09 285
Annual
Report
2023-24

39. Fair value measurements

Financial instruments by 31st March 2024 31st March 2023
category Amortised Cost FVPL Amortised Cost FVPL
Financial Assets
Investments
- in equity instruments - 6.40 - 3.20
(quoted)
- in equity instruments - 995.77 - 995.77
(unquoted)
- in mutual funds - 49,774.45 - 65,554.79
- Non Convertible 1,515.21 1,058.47 1,512.81 7,375.93
debentures
- Investments in term 19,914.12 - 23,794.09 -
deposits
Trade receivables 14,346.96 - 12,155.06 -
Cash and cash equivalents 1,251.96 - 3,363.66 -
Other bank Balances 72,520.03 - 25,413.66 -
Loans 425.83 - 350.31 -
Security deposits 1,426.87 - 1,306.13 -
Derivative Financial Assets - - 204.53 -
Total Financial Assets 1,11,400.98 51,835.09 68,100.25 73,929.69
Borrowings 1,394.03 - - -
Current maturities of long term - - - -
debt from banks
Lease Liabilities 269.44 - 305.35 -
Unpaid dividends 174.53 - 199.84 -
Trade payables 32,127.54 - 28,062.96 -
Derivative financial instrument - - - -
Capital creditors 145.45 - 64.20 -
Total Financial Liabilities 34,482.99 - 29,004.35 -
(i) Fair value hierarchy

The carrying amount of the current financial assets and current financial liabilities are considered
to be same as their fair values, due to their short term nature. In absence of specified maturity
period, the carrying amount of the non-current financial assets and non-current financial liabilities
such as security deposits given, are considered to be same as their fair values.
The fair value of quoted equity investments, has been classified as Level 1 in the fair value
hierarchy as the fair value has been determined on the basis of market value. The fair value of
unquoted equity instruments has been classified as Level 2 in the fair value hierarchy as the
fair value has been determined on the basis of discounted cash flows. The fair value of mutual
funds is classified as Level 2 in the fair value hierarchy as the fair value has been determined
286 on the basis of Net Assets Value (NAV) declared by the mutual fund. The fair value of Financial

derivative contracts has been classified as Level 2 in the fair value hierarchy as the fair value has
been determined on the basis of mark-to-market provided by the Bank from which the contract
has been entered. The corresponding changes in fair value of investment is disclosed as 'Other
Income'.
40. Financial Risk Management

The Group's activities expose it to market risk, liquidity risk and credit risk. This note explains the
sources of risk which the entity is exposed to and how the entity manages the risk.
Risk Exposure arising from Measurement Management
Credit Risk Cash and cash Ageing analysis Credit monitoring for
equivalents, trade Credit ratings of customers.
receivables, security customers and Diversification of bank
deposits, other bank fellow subsidiaries deposits.
deposits and loans
Liquidity Risk Borrowings Cash flow Working capital management
forecasts managed by General Manager in
by Joint Managing under the guidance of Joint
Director (JMD). Managing Director.
The excess liquidity is
channelised through mutual
funds and bank deposits.
Market Risk - Long term borrowings Sensitivity analysis Capital is managed by
interest rate at variable rate Managing Director.
The capital requirements
are managed by analyzing
the funds requirement and
budgets in conjunction with

the strategic plan.
Market Risk - From investment in Market and price The portfolio is not large and
Price risk equity shares sensitivity analysis. the risk is not significant.
Market Risk - Future commercial Cash flow Forward foreign exchange
foreign exchange transactions forecasting contracts
rate (receivable/payables) Sensitivity analysis
The Group's risk management is carried out by the JMD under policies approved by the Risk
Management Committee a sub-committee of the Board of Directors. The Committee provides
guiding principles for overall risk management, as well as policies covering specific areas such
as interest rate risk, credit risk and investment of excess liquidity.
Credit Risk
Credit risk arises from cash and cash equivalents, loans to related parties, security deposits and
deposits with banks and financial institutions, as well as credit exposures to customers including
outstanding receivables.
Credit risk is managed by the Marketing General Manager of AFL. The Group has few customer
with most of them being foreign customers. The Group provides a credit period of 60-90 days
which is in line with the normal industry practice.
The Marketing GM undertakes the credit analysis of each customer before transacting. The
finance team under the guidance of Marketing GM also periodically review the credit rating of
the customers and follow up on long outstanding invoices.
The Group considers the probability of default upon initial recognition of asset and whether there
has been a significant increase in credit risk on an on going basis through out each reporting 287

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Standalone

Independent Auditors’ Report

Report on the Audit of the Standalone Financial Statements

Basis for Opinion

Key Audit Matters

S. No Key Audit Matters Auditor’s Response

1. Accuracy of recognition, Principal Audit Procedures

Company Overview | Statutory Reports | Financial Statements | Notice

S. No Key Audit Matters Auditor’s Response

We have also assessed the appropriateness of the

S. No Key Audit Matters Auditor’s Response

• Understood the credit terms for payments to

Information Other than the Standalone Financial Statements and Auditor’s

Company Overview | Statutory Reports | Financial Statements | Notice

Management’s Responsibility and Those charged with Governance for

Auditor’s Responsibility for the Audit of the Standalone Financial Statements

Report on Other Legal and Regulatory Requirements

Company Overview | Statutory Reports | Financial Statements | Notice

For TUKARAM & CO LLP

(RAJENDER REDDY KARNATI)

Company Overview | Statutory Reports | Financial Statements | Notice

Company Overview | Statutory Reports | Financial Statements | Notice

d) On an overall examination of the financial statements of the Company, funds raised on

For TUKARAM & CO LLP

Company Overview | Statutory Reports | Financial Statements | Notice

(RAJENDER REDDY KARNATI)

Management’s Responsibility for Internal Financial Controls

Meaning of Internal Financial Controls over Financial Reporting

Inherent Limitations of Internal Financial Controls Over Financial Reporting

For TUKARAM & CO LLP

(RAJENDER REDDY KARNATI)

Company Overview | Statutory Reports | Financial Statements | Notice

Statement of Profit & Loss for the year ended 31 st

Particulars Note For the year For the year

Company Overview | Statutory Reports | Financial Statements | Notice

Statement of Changes in Equity for the year ended 31 st

a. Equity Share Capital

Particulars Reserves and Surplus

Statement of Cash Flows for the year ended 31 st

Particulars For the year ended For the year ended

Company Overview | Statutory Reports | Financial Statements | Notice

Statement of Cash Flows for the year ended 31 st

Particulars For the year ended For the year ended

Figures in brackets indicate cash outflows

Notes forming part of the Financial Statements

2. Basis of preparation of financial statements and material accounting

ii) Basis of measurement

Company Overview | Statutory Reports | Financial Statements | Notice

iii) Current versus non-current classification

Notes forming part of the Financial Statements

2.2 Measurement of fair values

2.3 Use of estimates and judgements

Notes forming part of the Financial Statements

2.4 Material accounting policies

b. Foreign currency translation

Company Overview | Statutory Reports | Financial Statements | Notice

Notes forming part of the Financial Statements

Revenue towards satisfaction of a performance obligation is measured at the amount

Notes forming part of the Financial Statements