‘MedPlus Health Services Limited (formerly known as MedPlus Health Services Private Limited)
Annexure: V

‘Summary of Significant Accounting Policies

(All amounts are in Rs. i millions except as otherwise stated)

1. Corporate information
MedPlus Health Services Limited (the ‘Parent Company’ or the ‘Company’) is a public company domiciled in India and is incorporated under the provisions of the
‘Companies Act applicable in India. The Parent Company together with its subsidiaries (collectively termed as “the Group”) are primarily engaged in business of pathological
laboratory testing and manufacturing, wholesale trading and contract manufacturing of pharma, fast-moving consumer goods and beauty products. The Company was duly
converted to a public limited company ie, MedPlus Health Services Limited from a private limited company Le., MedPlus Health Services Private Limited we. 28 June
2021 and accordingly the corporate identification number (CIN) was changed to US5110TG2006PLCOS1845,

‘The Company was the subsidiary of Gangadi Investments Private Limited until 05 February 2021

2. Significant accounting policies
21 a, Statement of compliance & Basis of preparation

‘The Restated Consolidated Balance Sheet of the Group as at 30 September 2021, 30 September 2020, 31 March 2021, 31 March 2020 and 31 March 2019 and the Restated
Consolidated Statement of Profit and Loss (including Other Comprehensive Income), the Restated Consolidated Statement of Changes in Equity and the Restated
Consolidated Statement of Cash Flows for the periods/ years ended 30 September 2021, 30 September 2020, 31 March 2021, 31 March 2020 and 31 March 2019 and Restated
‘other consolidated financial information (together referred to as ‘Restated Consolidated Financial Information’) have been prepared in accordance with Indian Accounting
Standards (Ind AS) as per the Companies (Indian Accounting Standards) Rules, 2015, notified under Section 133 of Companies Act, 2013, (the ‘Act’) and other relevant
provisions of the Act.

‘The Restated Consolidated Financial Information have been prepared on a going concern basis. The accounting policies are applied consistently to all the periods presented:
in the Restated Consolidated Financial Information except where a newly issued accounting standard is initially adopted or a revision to an existing standard requires change
in accounting policy hitherto in use.

‘The Restated Consolidated Financial Information has been prepared for inclusion in the Offer Document to be filed by the Company with the Securities and Exchange Board,
of India (‘SEBI’) in connection with proposed Initial Public Offering of its equity shares, in accordance with the requirements of

Section 26 of part lof Chapter III of the Act;
- relevant provisions of the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018, issued by the Securities and Exchange
Board of India (SEBI) as amended in pursuance of the Securities and Exchange Board of India Act, 1992; and

= Guidance Note on Reports in Company Prospectuses (Revised 2019) issued by the Institute of Chartered Accountants of India ("ICAI"),

‘The Restated Consolidated Financial Information has been compiled by the Management from the
+ Audited Special Purpose Interim Consolidated financial statements of the Group as at and for the six months period ended 30 September 2021 and 30 September 2020 (being
comparative period for the financials for the six months period ended 30 September 2021) prepared in accordance with the Indian Accounting Standard 34 “Interim Financial
Reporting” (referred to as “Ind AS") and

‘Audited Consolidated financial statements of the Group as at and for year ended 31 March 2021, 31 March 2020 and 31 March 2019 prepared in accordance with Ind AS as
prescribed under Section 133 of the Act read with Companies (Indian Accounting Standards) Rules 2015, as amended and other accounting principles generally accepted in
India and.

= there were no changes in accounting policies during the year of these financial statements, except for the new and amended, Ind As 115 - Revenue recognition and Ind AS-
‘116- 'Leases'- Refer Annexure VI and Note 1;

- there were no material amounts which have been adjusted for in arriving at profit of the respective periods; and

- there were no material adjustments for reclassification of the corresponding items of income, expenses, assets and liabilities, in order to bring them in line with the
‘groupings as per the audited consolidated financial statements of the Group as at and for the six months period ended 30 September 2021 and the requirements of the SEBI
Regulations.

‘The group has given adjustments for lease accounting in accordance with Ind AS 116 which came into effect on April 01, 2019 using modified retrospective approach and all
the related figures have been reclassified regrouped to give effect to the requirements of Ind AS 116, refer Annexure VI- "Statement of Restated Adjustment to Consolidated
Ind AS Financial Statements’

 

 

‘The Restated Consolidated Finai

 

I Information were approved by the Board of Directors and authorised for issue on November 22, 2021
b. Functional and presentation currency

‘The Restated consolidated financial statements are presented in Indian Rupees ("INR"), which is also the functional currency of the Group and all values are rounded to the
nearest millions (Rs. 000,000), except when otherwise indicated,

‘The Restated consolidated financial statements as at and for the six months period ended on September 30, 2021 and September 30, 2020 and as at and for the year ended
March 31, 2021, March 31, 2020 and March 31, 2019 include the financial statements of the following entities:

 

Name of the subsidiary company Country of Percentage of Percentage of Percentage of Percentage of Percentage of
incorporati Ownership as at Ownership as at Ownership as at_ Ownership as at Ownership as at
onand September 30, September 30, March 31,2021 March 31,2020 March 31, 2019

 

   

 

operation 2021 2020
(Optival Health Solutions Private Limited (OHSPL’) India 99.99% 99.99% 99.99% 99.99% 99.98%
Wynelark Pharmaceuticals Private Limited (formerly 100% 100% 100% 100% 100%
known as Medsupply Distributors Private Limited) India

(wePL

MHS Pharmaceuticals Private Limited (MHS) India 100% 100% 100% 100%

Agilemed Investment Private Limited (formerly known as India 0% 100 0% 100%

Ritecure Pharma Private Limited) (APPL)

Nova Sud Pharmaceuticals Private Limited (formerly India 100% 100% 100% 100% 100%
known as Panindia Pharma Distributors Private Limited)

(NPPL)

Sai Sridhar Pharma Private Limited (SSPPL)) India 100% 100°% 100% 100%

Venkata Krishna Enterprises Private Limited (‘VKEPL’) India 100% 100% 100% 100%

Decean Medisales Private Limited ((DMPL’) India 100% 100°% 100% 100%

Shri Banashankari Pharma Private Limited (SBPPL.) India 100% 100% 100% 100%

Sidson Pharma Distributors Private Limited (SPDPL’) India 100% 100% 100% 100%

Kalyani Meditimes Private Limited (KM) India 65.53% 60.52% 65.53% 60.52%

‘ClearanceKart Private Limited* India 100.0% a s a =

“The Company subscribed to 9,999 shares of 10 each of ClearanceKart Private Limited, which was incorporated on 09 March 2021 under the Companies Act, 2013. The
transfer of shares and consideration happened during the six months period ended September 30, 2021

220
