Arex Industries Ltd Auditor Reports

To the Members of Arex Industries Limited,

Report on the Audit of the Financial Statements
Opinion

We have audited the financial statements of Arex Industries Limited ("the Company"), which comprise the balance sheet as at 31st March, 2026, and the
statement of Profit and Loss (including other comprehensive income), Statement of Changes in Equity and statement of cash flows for the year then ended,
and notes to the financial statements, including a summary of significant accounting policies and other explanatory information

In our opinion and to the best of our information and according to the explanations given to us, the aforesaid financial statements give the information
required by the Companies Act, 2013 in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted
in India, of Ihe state of affairs of the Company as at 31st March, 2026, and its profit (including other comprehensive income), change in equity and its cash
flow for the year ended on that date.

Basis for Opinion

We conducted our audit 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 Auditors Responsibilities for the Audit of the 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 together with the ethical
requirements that are relevant to our audit of the financial statements under the provisions of the Companies Act, 2013 and the Rules thereunder, and we
have fulfilled our other ethical responsibilities in accordance with these requirements and the Code of Ethics. We believe that the audit evidence we have
obtained is sufficient and appropriate to provide a basis for our opinion.

Key Audit Matters

In our opinion and based on audit of the financial statement of the Company, we have determined that there are no key audit matters to communicate in
our report.

Other Information

The Companys management and Board of Directors is responsible for the other information. The other information comprises the information included in
the Companys annual report, but does not include the financial statements and our auditors report thereon.

Our opinion on the 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 financial statements, our responsibility is to read the other information and, in doing so, consider whether the other
information is materially inconsistent with the financial statements or our knowledge obtained in 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 fad.
We have nothing to report in this regard.

Managements Responsibility for the Financial Statements

The Companys Board of Diredors is responsible for the matters stated in Sedion 134(5) of the Companies Ad, 2013 (The Act") with respect to the
preparation of these financial statements that give a true and fair view of the state of affairs, profit (including other comprehensive income), changes in
equity and cash flow of the Company in accordance with the accounting principles generally accepted in India, including the Accounting Standards specified
under sedion 133 of the Ad.. 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 deteding frauds and other irregularities; seledion and application of appropriate
accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal
finantial controls, that were operating effedively for ensuring the accuracy and completeness of the accountings records, relevant to the preparation and
presentation of the financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.

In preparing the financial statements, the Board of Diredors is responsible for assessing the Companys ability to continue as a going concern, disclosing,
as applicable, matters related to going concern and using the going concern basis of accounting unless the Board of Directors 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 companys financial reporting process.

Auditors Responsibility for the Audit of the Financial Statements

Our objedives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whetherdue to
fraud or error, and to issue an auditors 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 deted 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 expeded to influence the economic decisions of users taken on the basis
of these 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 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 deteding 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 control relevant to the audit in order to design audit procedures that are appropriate in the circumstances.
Under sedion 143(3)(i) of the Companies Ad, 2013, we are also responsible for expressing our opinion on whether the company has adequate
internal financial controls system with reference to the financial statements in place and the operating effediveness 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 managements 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 Companys ability to continue as a
going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditors report to the related disclosures
in the 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 auditors 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 financial statements, including the disclosures, and whether the financial
statements represent the underlying transactions and events in a manner that achieves fair presentation.

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 bethought to bear on our independence, and where applicable,

related safeguards.

Report on Other Legal and Regulatory Requirements

1. As required by the Companies (Auditors Report) Order, 2020 (the Order") issued by the Central Government of India in terms of sub-section (11)
of section143 of the Act, and on the basis of such checks of the books and records of the Company as we considered appropriate and according
to the information and explanations given to us, we give in the "Annexure A" a statement on the matters specified in paragraphs 3 and 4 of the

Order.

2. As required by section 143(3) of the Ad, 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
purpose 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.

c The Balance Sheet and the Statement of Profit and Loss (including other comprehensive income), the Statement of Changes in Equity and
the Cash Flow Statement dealt with by this Report are i n agreement with the books of account.

d. In our opinion, the aforesaid financial statements comply with the Accounting Standards specified under sedion 133 of the Act, read with
Rule 7 of the Companies (Accounts) Rules, 2014;

e. On the basis of written representations received from the diredors as on 31st March, 2026 taken on record by the Board of Diredors, none
of the diredors is disqualified as on 31st March, 2026 from being appointed as a diredor in terms of sedion 164(2) of the Ad.

f. With resped to the adequacy of the internal financial controls over financial reporting of the Company and the operating effediveness 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 Companys internal financial controls over financial reporting.

g. With respect to the other matters to be included in the Auditors Report in accordance with Rule 11 of the Companies (Audit and Auditors)
Rules, 2014, in our opinion and to the best of our information and according to the explanations given to us

i. The Company has disclosed the impad of pending litigations on its financial position in its Ind AS financial statements (refer note
no.27 to the Ind AS financial statements).

ii. The Company does not have any long-term contracts including derivative contrads 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 Protedion Fund by
the Company.

iv. (a) On the basis of written representation from management, other than as disclosed in the notes to the accounts, no funds have
been advanced or loaned or invested (either from bonowed funds or share premium or any other sources or kind of funds) by the
company to or in any other person(s) or entity(ies), including foreign entities ("Intermediaries"), with the understanding, whether
recorded in writing or otherwise, that the Intermediary shall, whether, diredly or indiredly lend or invest in other persons or entities
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) On the basis of written representation from management, other than as disclosed in the notes to the accounts, no funds have
been received by the company from any person(s) or entity(ies), 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 persons or entities 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 performed by us, nothing has come to our notice that has caused us to believe that the
representations under sub-clause (a) and (b) above contain any material mis-statement.

v. The company has not declared or paid any dividend during the year, hence provisions of section 123 of the companys act, 2013
is not applicable.

vi. Based on our examination which included test checks, the company has used accounting software for maintaining its books of
account 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. Further, during the course of our audit, we did not come across any instance of the audit
trail feature being tampered with.

h. With respect to the other matters to be included in the Auditors 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 Ad.

For, SWETA PATEL & ASSOCIATES
Chartered accountants
(Firm Registration No. 139165W)

Place: Ahmedabad
Date: 21-05-2026

(Sweta H Patel)
Partner

Membership No. 154493
UDIN: 26154493REIJKL5594

Annexure A to inaepenaent Auaitors Keport

[Referred to in Paragraph 1 under the heading of Report on Other Legal and Regulatory Reguirements" of our report of even date]

1. (a) (A) The Company is maintaining proper records showing full particulars, including quantitative details and situation of Property, Plant and

Equipment;

(B) The Company is maintaining proper records showing full particulars of Intangible assets;

(b) The management conducted a physical verification of some Property, Plant, and Equipment throughout the year, following a verification program
designed to ensure that all assets are physically checked at reasonable intervals. Based on the information and explanations provided to us, we
found no significant discrepancies during this verification process.

(c) According to the information and explanations given to us and records examined by us and based on the examination of registered sale
deed/transfer deed/conveyance deed provided to us, we report that, the title deeds, comprising of all the immovable properties of land and self-
constructed buildings which are freehold, are held in the name of the company as at the balance sheet date. In respect of immovable properties
of land and buildings that have been taken on lease and disclosed as fixed asset in the financial statements, the lease agreements are in the name
of company, where the company is lessee in the agreement as at the balance sheet date.

(d) The company has not revalued its Property, Plant and Equipment (including right to use assets) or intangible assets or both during the year.

(e) No proceedings have been initiated or are pending against the company for holding any benami property under the Benami Transactions (Prohibition)

Ad, 1988 (45 of 1988) and rules made thereunder.

2. (a) The inventory has been physically verified by the management at reasonable intervals during the year. In our opinion the coverage and procedure

of such verification is appropriate. According to the information and explanations given to us, no material discrepancies were noticed on such
verification.

(b) During the year the company has been sanctioned working capital limit in excess of five crore rupees, in aggregate from any bank or institutions on
the basis of security of current assets and the quarterly returns or statements filed by the company with such banks or financial institutions are in
agreement with the books of accounts, except in the following cases;

3. The Company has not made any investments in, provided any guarantee or security or granted any loans or advances in the nature of loans,
secured or unsecured to companies, firms, limited liabilities partnerships or other parties hence 3(iii)(b), 3(iii)(c), 3(iii)(d), 3(iiiXe), 3(iii)(f) of the
said order is not applicable to the company.

4. The Company has not granted any loans or made any investments or provided any guarantees or securities to the parties covered under
sections 185 and 186 of the Companies Act. Therefore, the provisions of Clause 3(iv) of the said Order are not applicable to the Company.

Quarter	Name of Bank	Amount as per books of accounts (Rupees in Lakh)	Amount as reported in the quarterly return/statement (Rupees in Lakh)	Amount in difference (Rupees in Lakh)	Reason for material discrepancies
Jun-25	State Bank of India	1273.56	1232.44	41.12	#Refer Note below
Sep-25	State Bank of India	1305.78	1297.58	8.20
Dec-25	State Bank of India	1291.05	1285.32	5.73
Mar-26	State Bank of India	1243.18	1250.59	-7.40

# Reason for material discrepancies: -

Upon reviewing the statements submitted to the bank, we noted that the company transfers amounts received from debtors into a common account
known as the debtors clearing account. At the time of receiving these payments, detailed bill-to-bill information is not available. As a result, when
the company submits details to the bank, it fails to include these amounts in the calculation of outstanding debtors at the end of the respective period
in the statement. Later, once the company obtains the detailed bill-to-bill breakdown, it transfers the amounts from the debtors clearing account to
the appropriate debtors accounts. This practice leads to the discrepancies mentioned above.

We have also observed that in the fourth quarter, when submitting the creditors details to the bank, the company reported a lower total amount
owed than was actually owed. Specifically, the company did not include one creditor, totalling Rs. 7.40 lakh, in the stock statement. This omission
occurred because the company recorded these creditors only after submitting the stock statement to the bank, as the invoices were received or
provisions were created after that submission.

5. The Company has not accepted deposits or any amount which are deemed to be deposits from the public within the meaning of directives
issued by Reserve Bank of India and the provisions of section 73 to 76 or any other relevant provisions of the Companies Act, and the Rules
made thereunder. Accordingly, the Provisions of Clause (v) of the order are not applicable to the Company.

6. According to the information and explanation given to us and on the basis of our examination of the books of account, the maintenance of
cost records has not been prescribed under sub-section (1) of Section 148 of the Companies Ad, 2013

7. (a) According to the information and explanations given to us and on the basis of our examination of the books of account, the Company has

been generally regular in depositing undisputed statutory dues including Provident Fund, Employees State Insurance, Income-tax, Goods
and Service Tax, Custom duty, Cess and any other statutory dues whichever is applicable during the year with the appropriate authorities
and no undisputed dues payable in resped of outstanding statutory dues were in arrears as at 31st March, 2026 for a period of more than
six months from the date they became payable.

(b) According to the information and explanations given to us and on the basis of our examination of the books of account, there are no amounts

in resped of sales tax/ income tax/ custom duty/excise duty/ service tax that have not been deposited with the appropriate authorities on
account of anv dispute except the following:

Name of the Statute	Nature of the dues	Amount (Rs.)	Period to which the amount relates	Forum where dispute is pending
Goods and Service Tax Act	Input Tax Credit	31,92,734/-	Assessment year 2018-19 to 2023-24	Commissioner (Appeals), CGST

8. According to the information and explanations given to us and on the basis of our examination of the books of account, there are no
unrecorded transactions in the books of accounts that have been surrendered or disclosed as income during the year in tax assessment
under the Income Tax Act, 1961.

9. (a) According to the information and explanations given to us and based on our audit procedure performed, the Company has not defaulted in

repayment of loans or borrowings or in the payment of interest thereon to any lender, hence reporting under clause 3(ix)(a) is not applicable
to the company.

(b) According to the information and explanations given to us and based on our audit procedure performed, the company has not declared willful
defaulter by any bank or financial institution or other lender, hence clause 3(ix)(b) is not applicable to the company.

(c) In our opinion and according to the information and explanations given to us, the term loan obtained during the year were applied for the
purpose for which they were availed.

(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) According to the information and explanations given to us and based on our audit procedure performed, the company has not taken any
funds from any entity or person on account of or to meet the obligations of its subsidiaries, associates or joint ventures, hence clause 3(ix)(e)
is not applicable to the company.

(f) According to the information and explanations given to us and based on our audit procedure performed, the company has not raised any loan
during the year on pledge of securities held in its subsidiaries, joint ventures or associate companies, hence clause 3(ix)(f) is not applicable
to the company.

10. (a) The Company has not raised any moneys byway of initial public offer or further public offer (including debt instruments) during the year under

review. Accordingly, the provisions of Clause 3(x)(a) of the Order are not applicable to the Company.

(b) The Company has not made any preferential allotment or private placement of shares or convertible debentures (fully, partially or optionally
convertible) during the year. Accordingly, the provisions of Clause 3(x)(b) of the Order are not applicable to the Company.

11. (a) During the course of our examination of the books and records of the Company, carried out in accordance with the generally accepted

auditing practices in India, and according to the information and explanation given to us we have neither come across any instance of fraud
by the company or on the company, noticed or reported during the year, nor have we been informed of any such case by the Management.

(b) We have not issued any report under section 143(12) of the Companies Ad, hence the provisions of Clause 3(xi)(b) of the Order are not
applicable to the Company.

(c) As informed to us, the company has not received any whistle-blower complaints during the year, hence the provisions of Clause 3(xi)(c) of
the Order are not applicable to the Company.

12. As the Company is not a Nidhi Company and the Nidhi Rules, 2014 are not applicable to it; hence the provisions of Clause 3(xii)(a), 3(xii)(b)
and 3(xii)(c) of the Order are not applicable to the Company.

13. The Company has entered into transactions with related parties in compliance with the provisions of sedion 177 and sedion 188 of the Ad.
The details of such related party transadions have been disclosed in the financial statements as required under Indian Accounting Standard
(Ind AS) 24, Related Party Disclosures specified under sedion 133 of the Act, read with relevant rules issued thereunder.

14. (a) In our opinion and according, to information and explanation given to us, the company has internal audit system commensurate with the size

and nature of its business.

(b) We have considered the internal audit reports of the company issued for the period under audit.

15. In our opinion, during the year the Company has not entered into any non-cash transadions with its diredors or persons connected with him.
Accordingly, the provisions of Clause 3(xv) of the Order are not applicable to the Company.

16. The Company is not required to be registered under sedion 45-IA of the Reserve Bank of India Ad, 1934. Accordingly, the provisions of
Clause 3(xvi)(a), 3(xviXb), 3(xvi)(c) of the Order are not applicable to the Company.

17. The company has not incurred any cash losses in the financial year and in the immediately preceding financial year provisions of clause
3(xvii) of the Order is not applicable to the Company.

18. There has been no resignation of statutory auditor during the year, accordingly clause 3(xviii) of the Order is not applicable to the Company.

19. On the basis of financial ratios, ageing and expeded dates of realization of financial assets and payment of financial liabilities, other
information accompanying the financial statements, the auditors knowledge of the Board of Diredors and management plans, to the best of
our opinion and information and explanation available to us, company is capable of meeting its liabilities existing at the balance sheet date
as and when they fall due within 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 fads 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 discharge by the
company as and when they fall due.

20. In our opinion and based on our examination of books of accounts, provision of sedion 135 in respect of corporate social responsibility of the
ad is not applicable to the company and hence provisions of da use 3(xxXa) and 3(xx)(b) of the order is not applicable to the company.

21. The reporting under clause 3(xxi) of the order is not applicable in respect of audit of standalone financial statements. Accordingly, no comment
in resped of the said clause has been included in this report.

For, SWETA PATEL & ASSOCIATES
Chartered accountants
(Firm Registration No 139165W)

Place: Ahmedabad

Date: 21-05-2026

(Sweta FI Patel)
Partner

Membership No. 154493
UDIN : 26154493REIJKL5594

Annexure B to Independent Auditors Report

[Referred to in paragraph 1(f) under Report on Other Legal and Regulatory Requirements of our report of even date]

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")

Opinion

We have audited the internal financial controls over financial reporting of Arex Industries Limited ("the Company") as of 31stMarch, 2026 in conjunction
with our audit of the Ind AS financial statements of the Company for the year ended on that date.

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 31st
March, 2026, 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 issued by the Institute of Chartered Accountants of India.

Managements Responsibility for Internal Financial Controls

The Companys management and board of directors are 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 Rnancial Controls Over Financial Reporting ("the Guidance Note") issued by the Institute of Chartered Accountants of India.
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 companys 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 express an opinion on the Companys internal financial controls over financial reporting based on ouraudit, we conducted our audit
in accordance With the Guidance Note issued by the Institute of Chartered Accountants of India and the Standards on Auditing prescribed under
Section 143(10)of the Companies Act, 2013 to the extent applicable to an audit ot 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 control 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. Ouraudit of internal fnancial 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 auditors judgment. Including the assessment of the risks of
material misstatement of the 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 Companys internal
financial controls system over financial reporting,

Meaning of Internal Financial Controls Over Financial Reporting

A companys 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 companys
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 companys 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.

For, SWETA PATEL & ASSOCIATES
Chartered accountants
(Firm Registration No 139165W)

Place: Ahmedabad
Date: 21-05-2026

(Sweta H Patel)
Partner

Membership No. 154493
UDIN: 26154493REIJKL5594