Page 230 - Hitachi IR 2025

NOTES TO THE FINANCIAL STATEMENTS
Notes to the financial statements
for the year ended March 31, 2025
1 CORPORATE INFORMATION
Hitachi Energy India Limited (‘the Company’ or 'INHE') is a public limited company domiciled in India and
incorporated under the provisions of the Indian Companies Act, 2013 on February 19, 2019. The registered
office is located at Bengaluru. The Company serves utility and industry customers, with the complete range
of engineering, products, solutions and services in areas of Power technology. The Company has extensive
installed base for manufacturing and a countrywide marketing and service presence. Besides catering to Indian
domestic market, the Company is also playing an increasing role in the global market.
The equity shares of the Company have been listed and are being traded on BSE Limited (“BSE”) and National
Stock Exchange of India Limited (“NSE”).
The financial statements are approved for issue by the Company's Board of Directors on May 14, 2025.
2 MATERIAL ACCOUNTING POLICIES
The material accounting policies applied by the Company in the preparation of its Ind AS financial statements
are listed below. Such accounting policies have been applied consistently to all the periods presented in these
financial statements, unless otherwise stated.
2.1 Basis of preparation of financial statements
A Statement of compliance
These financial statements of the Company are prepared and presented in accordance with Indian
Accounting Standards ("Ind AS") notified under the Companies (Indian Accounting Standards) Rules,
2015, as amended and other relevant provision of the Act as amended from time to time and presentation
requirements of Division II of Schedule III to the Companies Act, 2013, (Ind AS compliant Schedule III),
as applicable to the financial statements. The Company has prepared the financial statements on the
basis that it will continue to operate as a going concern.
B Functional and presentation currency
The financial statements are presented in Indian Rupees Crores which is the currency of the primary
economic environment in which the Company operated, rounded off to two decimal places, except where
otherwise indicated.
C Basis of measurement
The financial statements have been prepared on the historical cost convention and on accrual basis,
except for certain financial instruments (refer accounting policy regarding financial instruments), which are
measured at fair values at the end of each reporting period, as explained in the accounting policies below.
Historical cost is generally based on the fair value of the consideration given in exchange for goods and
services as at the date of respective transactions.
2.2 Use of estimates
The preparation of the financial statements in conformity with Ind AS requires 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 year. Application
of accounting policies that require critical accounting estimates involving complex and subjective judgments and
the use of assumptions in these financial statements have been disclosed in Note 2.3. 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.
228 Hitachi Energy India Limited