Arohan Annual Report FY 20-21

Arohan Financial Services Limited Summary of significant accounting policies and other explanatory information for the year ended 31 March 2021 (Contd.) Note 56: Foreign Currency Disclosures Particulars As at 31 March 2021 As at 31 March 2020 (a) Earnings in foreign currency (on accrual basis) Sale of accumulated carbon credit 27.36 4.92 27.36 4.92 (b) Expenditure in foreign currency (on accrual basis) Legal Expenses 152.09 - Professional fees 9.22 1.34 161.31 1.34 Note 57: Disclosure in respect of Corporate Social Responsibility under section 135 of the Act and Rules thereon Particulars As at 31 March 2021 As at 31 March 2020 (a) Gross amount required to be spent during the year 244.13 159.76 (b) Amount of expenditure incurred during the year 244.13 159.76 (c) Shortfall at the end of the year - - (d) Total of previous years shortfall - - (e) Reason for shortfall (*) (g) Details of related party transactions - - (h) where a provision is made with respect to a liability incurred by entering into a contractual obligation, the movements in the provision during the year shall be shown separately At the beginning of the year - - Fresh provision made during the year 35.09 - Payment made during the year - - At the closing of the year 35.09 - (*) work was not yet completed as a results the payments were on hold. Note 58: Segment reporting Operating segments are reported in a manner consistent with the internal reporting provided to the Chief Operating Decision Maker (CODM) of the Company. The CODM is responsible for allocating resources and assessing performance of the operating segments of the Company. The Company is in a single business segment (primary segment) of providing financial services to customers in India. Further, the Company is operating in India which is considered as a single geographical segment. Note 59: Lease related disclosures (a) Company as a lessee In the Statement of Profit and Loss for the current and previous year, operating lease expenses which were recognised as rental expenses is now recognised as depreciation expense for the right-of-use asset and finance cost for interest accrued on lease liability. De-recognition of rental expenses and recognition of depreciation and finance costs has positively impacted EBIDTA by INR 269.18 lakhs (31 March 2020: 261.48 lakhs) and negatively impacted the PBT by INR 20.14 lakhs (31 March 2020: 34.05 lakhs) (b) The table below describes the nature of Company’s leasing activities by type of right-of-assets recognised on balance sheet: As on 31 March 2021 Right of use assets Number of leases Range of remaining term Average remaining lease term Number of leases with extension option Number of leases with purchase option Number of leases with termination option Office premises 8 9 months to 83 months 27 months 8 - - Furniture 3 99 months 99 months 3 - - As on 31 March 2020 Right of use assets Number of leases Range of remaining term Average remaining lease term Number of leases with extension option Number of leases with purchase option Number of leases with termination option Office premises 9 10 months to 95months 34 months 9 - - Furniture 3 111 months 111 months 3 - - Annual Report | 2020-2021 186