ANG Lifesciences India Ltd Management Discussions

The global economy remained resilient during CY 2025 despite geopolitical tensions, evolving trade policies, inflationary pressures and continued supply chain disruptions. Economic activity was supported by resilient labour markets, stable consumer demand, gradual easing of monetary conditions and increasing investments in digital technologies and artificial intelligence (Al). During FY 2025-26, the prolonged Russia Ukraine conflict and heightened tensions in the Middle East contributed to volatility in crude oil prices, freight and logistics costs, maritime trade routes and global financial markets. Despite these challenges, the pharmaceutical and healthcare sectors continued to demonstrate resilience, supported by sustained demand for essential medicines and healthcare services. According to the International Monetary Fund (IMF), global growth is projected at 3.1% in 2026 and 3.2% in 2027, While advanced economies are expected to witness moderate growth, emerging markets and developing economies are likely to remain relatively resilient, supported by domestic demand and investment. However, geopolitical risks, trade policy uncertainties, financial market volatility and supply chain disruptions continue to pose downside risks to the global economic outlook.

INDIAN PHARMACEUTICAL INDUSTRY

India continued to remain one of the fastest-growing major economies during FY 2025-26, supported by strong domestic consumption, infrastructure spending, policy reforms and a resilient financial system. Despite global geopolitical uncertainties, including the Russia Ukraine conflict and tensions in the Middle East, Indias macroeconomic fundamentals remained stable, supported by prudent fiscal management and a resilient financial system. According to the IMF, Indias real GDP growth was around 6.3% during FY 2025-26, reflecting the strength of its underlying economic fundamentals despite global uncertainties.

India continues to strengthen its position as the Pharmacy of the World, ranking among the largest pharmaceutical suppliers globally and accounting for nearly 20% of global pharmaceutical supply by volume. The country has over 3,000 pharmaceutical companies and around 10,500 manufacturing units, including the highest number of US-FDA-compliant manufacturing facilities outside the US.

The Indian pharmaceutical market is expected to maintain strong growth, with the market projected to reach approximately US$163.1 billion by 2032, representing a CAGR of around 12.3%, driven by rising healthcare expenditure, increasing health awareness, government initiatives and growing demand for quality and affordable medicines. Indias expanding API and formulation capabilities, coupled with rising export opportunities, are expected to further strengthen the countrys role in global pharmaceutical supply chains.

OVERVIEW OF THE COMPANY

With a strong commitment to serving humanity and a clear objective of delivering top-quality, cost-effective pharmaceutical products, ANG Group has established itself as a trusted name in both domestic institutional supplies and international markets. Over the years, the Group has consistently maintained a prominent position and played a pivotal role within the Indian pharmaceutical industry, recognized for its reliability, innovation, and excellence.

ANG Group is a WHO-GMP-certified consortium of pharmaceutical companies, with all its state-of-the-art units located in the industrial township of Baddi, Himachal Pradesh, India. These facilities are equipped with ultra-modern manufacturing technologies that fully comply with global WHO-GMP standards, enabling the Group to operate seamlessly on the global pharmaceutical roadmap.

The Group specializes in the manufacturing and marketing of a comprehensive portfolio of high-quality finished formulations, with a strong focus on Non-Beta Lactam, Beta Lactam, Cephalosporin, and Carbapenem segments. Its diversified product range covers multiple dosage forms, including dry powder injections, tablets, hard gelatin capsules, liquid syrups, liquid injections (ampoules/vials), and pre-filled syringes (PFS). This extensive capability allows ANG Group to cater to varied healthcare needs with precision, efficiency, and quality assurance.

Through continuous innovation, adherence to stringent regulatory standards, and an unwavering focus on affordability and accessibility, ANG Group continues to strengthen its presence across domestic and global! markets underscoring its mission to contribute meaningfully to patient care and the advancement of healthcare worldwide.

OPPORTUNITIES, RISKS, CONCERNS & THREATS

ANG Lifesciences India Limited operates in a rapidly evolving pharmaceutical industry, offering significant opportunities for growth while being subject to regulatory, market and operational challenges. The Company sees considerable potential in the growing demand for quality and affordable medicines, expansion of the domestic healthcare market, increasing outsourcing opportunities and the growing global acceptance of India as a reliable pharmaceutical manufacturing base.

Opportunities

The Company remains focused on expanding its product portfolio, strengthening its manufacturing capabilities and improving its presence across selected therapeutic seqments and markets. Opportunities arising from increasing healthcare expenditure, growing demand for generic medicines, expansion of the domestic pharmaceutical market and increasing export potential provide a favourable growth environment. The Company also continues to evaluate opportunities for strategic collaborations, alliances and selective expansion across the pharmaceutical value chain.

Increasing adoption of technology, automation and digital solutions across manufacturing and business processes provides further opportunities to enhance operational efficiency, quality contro! and productivity. The growing emphasis on sustainable manufacturing also presents opportunities to improve energy efficiency, resource utilisation and environmental performance.

Threats

The pharmaceutical industry operates in a highly competitive and closely regulated environment, with evolving regulatory requirements across domestic and international markets. Key risks include pricing pressures in domestic and international generic pharmaceutical markets, delays in regulatory approvals and commercialization of new products, increasing compliance casts, volatility in raw material, energy and logistics costs, foreign exchange fluctuations affecting export earnings, supply chain disruptions, geopolitical uncertainties, and intense competition from domestic and multinational pharmaceutical companies. These factors may impact manufacturing costs, business operations, export revenues and overall profitability.

Risks and Challenges

The pharmaceutical industry remains highly regulated and exposed to changes in regulatory requirements, product approvals, pricing policies, quality standards and environmental norms. Other key industry risks include intense competition, pricing pressures, dependence on key raw materials, supply chain disruptions, foreign exchange fluctuations and increasing compliance requirements. The Company also recognises the importance of maintaining consistent product quality, ensuring timely availability of raw materials, retaining skilled manpower and protecting business and operational information from evolving cybersecurity risks. Geopolitical developments, changes in international trade policies and unforeseen disruptions in global supply chains may also impact the operating environment.

Risk Management and Outlook

The Company operates in a competitive but fundamentally resilient industry and continues to closely monitor the risks that may affect its operations and financial performance. Management remains vigilant to changes in regulatory, taxation, pricing, environmental and market conditions and takes appropriate measures to mitigate potential risks.

Going forward, ANG Lifesciences aims to strengthen its market position through capacity enhancement, product portfolio expansion, operational efficiencies and selective market development. The Company will continue to focus on quality, regulatory compliance, customer satisfaction and sustainable business practices while exploring suitable strategic collaborations and growth opportunities.

The Company believes that its focus on manufacturing capabilities, quality standards, experienced manpower and operational discipline will enable it to respond effectively to changing market conditions and create sustainable long-term value for its stakeholders.

FINANCIAL PERFORMANCE

(In Rupees Lacs)

Particulars	31 March 2026	31 March 2025
Total Income	9233.11	9235.41
Profit/(Loss) before Tax (PBT)	(519.09)	(1293.74)
Profit/(Loss) After Tax (PAT)	(472.64)	(1034.29)

During the year under review, on standalone basis, revenue of the company was Rs. 9,233.11 Lakhs as compared to Rs. 9235.41 Lakhs in the corresponding previous year. For the coming year, although the overall economy and business scenario is grim across all sectors, but we foresee the outlook of your company as quite positive and improving. The details of changes in key financial ratios are explained in the table below:-

Sr. No Particulars	31 March 2026	31 March 2025
1. Current Ratio	1.07	1.17
z. Debt-equity Ratio	1.04	1.01
s. Debt-service coverage ratio	U.12	0.05
4. Return on equity Ratio	(0.07)	(0.15)
5, Inventory turnover ratio	1.65	1.68
6. Trade receivables turnover ratio	1.41	1.34
f. Trade payables turnover ratio	1.38	1.42
8. Net capital turnover ratio	1.47	1.35
9. Net profit ratio	(0.05)	(0.12)
10. Return on capital employed	0.03	(0.05)
11. Return on investment	{0.07)	(0.15)

INTERNAL CONTROL SYSTEM AND THEIR ADEQUACY

The Companys defined organizational structure, documented policy guidelines and adequate intemal controls ensure efficiency of operations, compliance with internal policies, applicable laws and regulations, protection of resources and assets and accurate reporting of financial transactions. The Company continuously upgrades these systems in line with best available practices.

The control systems are reviewed by the management regularly. The same are also reviewed by the Statutory Auditors and Internal Auditors from time to time. The Company has also adopted various policies and procedures to safequard the interest of the Company. These policies and procedures are reviewed from time to time. There has also been proper reporting mechanism implemented in the organization for reporting any deviation from the policies and procedures. Compliance audit is also conducted from time to time by external agencies on various areas of operations.

INVESTOR RELATIONS AND ENGAGEMENT:

Investor Relations (IR) is playing an increasingly important role in todays volatile world in enabling companies to manage investor expectations. The objectives of Companys investor relations activities are to boost confidence and develop a long-term relationship of trust with stakeholders including Shareholders, Investors & Analysts, through true and fair disclosure of information. To pursue these objectives at all times, our Company continuously discloses necessary information.

HUMAN RESOURCES VIS-A-VIS INDUSTRIAL RELATIONS

Human resources continue to be one of the most critical assets of ANG Lifesciences India Limited, The Company recognizes the importance of human value and ensures that employees are provided with both moral and financial encouragement to stay motivated and deliver their best. During FY 2025-26, human resources received significant attention in line with the Companys growth trajectory and evolving business needs. Attracting the right talent remains a key focus, while special emphasis is placed on training, employee welfare, and workplace safety to strengthen overall human capabilities. As part of its people strategy, the Company undertook several initiatives in talent acquisition, retention, capability development, and employee well-being. Structured training programs were conducted across departments to enhance technical expertise and leadership skills. Employee engagement, productivity improvement, and recognition of outstanding performance continued to be integral to the Companys HR practices.

As of March 31, 2026, the Company had 379 employees (on roll). A strong retention rate underscores the Companys commitment to providing a supportive and growth-oriented work environment. Industrial relations during the year remained harmonious and collaborative, facilitated by reqular dialogue between management and employee representatives. The Company also ensured 100% compliance with all statutory labor, health, and safety requirements across its operations.

CAUTIONARY STATEMENT

The statements in the Management Discussion and Analysis Report section describe an optimistic approach of the management regarding the Companys visions strategies objectives projections estimates expectations and predictions. These may be forward looking statements within the meaning of legal framework. However, the annual performance can differ significantly from those expressed or implied depending upon the market conditions economic and climatic conditions Government policies and other incidental factors.

For ANG Lifesciences India Limited

	Sd/-	Sdi-
Date: 07.09.2026	Rajesh Gupta	Saruchi Gupta
Place: Amritsar	Managing Director	Whole time Director & CFO