Arihant Foundations & Housing Ltd Directors Report

The Board of Directors takes pleasure in presenting this comprehensive Directors Report, accompanied by the Audited Financial Statements and Independent Auditors Report, for the financial year concluded on March 31, 2025. The key financial performance indicators and results achieved during the year are summarized below:

FINANCIAL PERFORMANCE OPERATIONAL PERFORMANCE

Standalone Financial Results

During the financial year under review, your Company delivered strong operational performance with sustained growth across key financial metrics:

Revenue Performance:

Revenue from operations increased to 12,225.98 Lakhs compared to 7,656.31 Lakhs in the previous year, recording a robust growth of 59.7%

Other Income grew to 1,600.73 Lakhs from 1,360.94 Lakhs in the previous year, representing an increase of 17.6%

Profitability:

The Company achieved an exceptional Profit Before Tax of 3,469.38 Lakhs, marking a substantial improvement of 701.9% from 432.74 Lakhs in the previous year

After accounting for interest, finance charges, and depreciation, the Company reported a strong Profit After Tax of 2,545.70 Lakhs compared to 322.50 Lakhs in the previous year, representing an impressive growth of 689.3%

This outstanding performance demonstrates the Companys effective business strategy, operational efficiency, and strong market positioning in the real estate sector.

Consolidated Financial Results

On a consolidated basis, your Company continued its growth trajectory and delivered remarkable results across all business segments:

Revenue Growth:

Consolidated revenue from operations increased significantly to 20,643.59 Lakhs from 12,408.21 Lakhs in the previous year, recording a substantial growth of 66.4%

Other Income improved to 1,500.16 Lakhs from 1,164.66 Lakhs in the previous year, showing an increase of 28.8%

Strong Profitability:

Despite challenging market conditions during the year, the Company maintained its upward growth momentum Consolidated Profit After Tax reached 4,270.14 Lakhs compared to 1,35014 Lakhs in the previous year, marking an outstanding growth of 216.3%

The consolidated results underscore the resilience of your Companys diversified real estate portfolio and the successful execution of strategic development projects across multiple markets.

Key Financial Highlights Performance Analysis

The financial year 2024-25 has been transformational for your Company, characterized by:

Revenue Expansion: Significant growth in both standalone and consolidated revenue streams Margin Improvement: Enhanced profitability ratios demonstrating operational efficiency Strategic Resilience: Strong performance despite prevailing market challenges Portfolio Strength: Diversified revenue base providing stability and growth opportunities

Your Directors are pleased to report that the Company has successfully capitalized on market opportunities while maintaining financial discipline, resulting in exceptional value creation for all stakeholders.

FINANCIAL HIGHLIGHTS

( In Lakhs)

S. Particulars No.	Standalone Financial Statement		Consolidated Financial Statement
	Year Ended 31.03.2025	Year Ended 31.03.2024	Year Ended 31.03.2025	Year Ended 31.03.2024
I Total Revenue	13,826.71	9017.25	22,143.74	13,572.87
II Total Expenses	10,357.33	8584.51	16,353.63	11,615.67
III Profit before exceptional and extraordinary items and tax (I-II)	3,469.38	432.74	5,824.67	2,037.53
IV Exceptional items	-	-	-	-
V Profit before extraordinary items and tax (III -IV)	3,469.38	432.74	5,824.67	2,037.53
VI Tax expense:
(1) Current tax	(922.89)	(108.85)	(1,560.77)	(686.30)
(2) Deferred tax	(0.79)	(1.38)	6.25	(1.09)
VII Profit (Loss) for the period	2,545.70	322.50	4,270.14	1,35014

DIVIDEND

Despite your Company s strong operating performance and healthy profits for the financial year, the Board of Directors, after careful consideration, has decided not to recommend any dividend for the year ended 31 st March 2025. This decision has been taken keeping in mind the need to conserve resources, strengthen the balance sheet, and provide greater financial flexibility to fund future growth opportunities and strategic initiatives. The Board believes that retaining the profits will help the Company to invest in expansion plans, technology upgrades, working capital, repayment of debts, and other corporate needs, thereby enhancing long-term shareholder value.

SHARE CAPITAL

During the year under review, the Company increased its Authorised Share Capital from 10,00,00,000 (Rupees Ten Crore only) to 30,00,00,000 (Rupees Thirty Crore only), pursuant to the approval of the members by Postal Ballot held on 08 th November 2024.

The Paid-up Share Capital of the Company also increased from 8,60,00,000 (86,00,000 equity shares of 10 each) to 9,96,56,240 (99,65,624 equity shares of 10 each), as a result of allotment of equity shares through Preferential Allotment.

Further, 8,96,873 share warrants were issued on a preferential basis to both promoter and non-promoter categories.

During the year, the Company has not issued any equity shares with differential rights as to dividend, voting, or otherwise, nor has it issued any sweat equity shares to its directors or employees.

RESERVES & SURPLUS

The Company not made any transfer of amounts to General Reserve for the financial year ending 31 st March 2025.

SUBSIDIARIES & JOINT VENTURES/ ASSOCIATES

As on 31 st March, 2025, your Company has eight (8) wholly owned subsidiaries and one (1) joint venture. The Company does not have any associates.

The wholly owned subsidiaries are:

1. M/s. Arihant Griha Limited

2. M/s. Vaikunt Housing Limited

3. M/s. Varenya Constructions Limited

4. M/s. Transparent Heights Real Estate Limited

5. M/s. Escapade Real Estates Private Limited (Step-down subsidiary)

6. M/s. Vihaana Realty Private Limited

7. M/s. Vinyasa Realty Private Limited

8. M/s. Verge Realty Private Limited

The joint venture entity is M/s. Kairav Developers Limited.

The financial highlights of the subsidiaries and the joint venture, as required under Section 129(3) of the Companies Act, 2013, are provided in Form AOC 1, annexed to this Report as Annexure 1.

RELATED PARTY TRANSACTIONS:

All transactions with related parties were reviewed and approved by the Audit Committee and are in accordance with the policy on related party transactions and the related party framework, formulated and adopted by the Company

All contracts/arrangements/transactions entered into by the Company during the year under review with related parties were in the ordinary course of business and on arm s length. All transactions entered into with related parties were approved

by the Audit Committee of the Company. During the year under review, the Company had not entered into any contract/ arrangement/transaction with related parties which could be considered material in accordance with the policy on related party transactions or which is required to be reported in Form No. AOC - 2 in terms of Section 134(3)(h) read with Section 188 of the Act, and Rule 8(2) of the Companies (Accounts) Rules, 2014. Accordingly there are no transactions that are required to be reported in Form No. AOC - 2. Transactions with related parties, as per requirements of Indian Accounting Standard 24 and Schedule V of SEBI Listing Regulations are disclosed in the notes of the financial statements respectively in the Annual Report. The form is enclosed as Annexure-2 to this report.

The Board has approved a policy for related party transactions which has been uploaded on the Company s website. https:// .

MANAGEMENT DISCUSSION & ANALYSIS REPORT:

In accordance with Regulation 34(2)(e) of the Listing Regulations, the Management Discussion and Analysis Report forms part of the Corporate Overview section and may be referred to on Page 24 of this Annual Report .

PUBLIC DEPOSITS

The Company has not accepted any deposits falling within the meaning of Section 73 or 74 of the Act read with the Companies (Acceptance of Deposits) Rules, 2014 during the financial year and as such, no amount on account of principal or interest on deposits from public was outstanding as on 31 st March 2025.

REPORT ON CORPORATE GOVERNANCE

Your Company ensures good corporate governance by implementing and complying with the policies, standards set out by Securities and Exchange Board of India and other regulatory authorities. The requisite certificate issued by M/s. V Suresh Associates, Practicing Company Secretary confirming compliance with the conditions of Corporate Governance as stipulated under Regulation 34(3) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, is attached to this Report as Annexure 3.

MATERIAL CHANGES AND COMMITMENTS AFFECTING THE FINANCIAL POSITION OF THE COMPANY:

There are no material changes and commitments affecting the financial position of the Company which have occurred between the end of the financial year ended 31 st March 2025 to which the Financial Statements relates and the date of signing of this report.

PARTICULARS OF LOANS, GUARANTEES OR INVESTMENTS

The Company makes investments or extends loans/ guarantees to its Subsidiaries for their business purposes as and when required by them for its emergent business

requirements. The details of loans, guarantees and investments covered under Section 186 of the Companies Act,

2013 ( the Act ) along with the purpose for which such loan or guarantee were utilised forms part of the Notes to standalone financial statements attached to this Annual report..

DETAILS OF APPLICATION MADE OR ANY PROCEEDING PENDING UNDER THE INSOLVENCY AND BANKRUPTCY CODE, 2016 (31 OF 2016) DURING THE FINANCIAL YEAR:

No application was made or any proceeding pending under the Insolvency and Bankruptcy Code, 2016 (31 of 2016) during the financial year 2024-25.

DISCLOSURE UNDER RULE 8(5)(XII) OF THE COMPANIES (ACCOUNTS) RULES,

2014

There was no instance of one-time settlement with any bank or financial institution.

TRANSFER OF UNCLAIMED DIVIDEND TO INVESTOR EDUCATION AND PROTECTION FUND

There was no amount required to be transferred to Investor Education and Protection Fund during the year.

DETAILS OF DIFFERENCE BETWEEN AMOUNT OF THE VALUATION DONE AT THE TIME OF ONE TIME SETTLEMENT AND THE VALUATION DONE WHILE TAKING LOAN FROM THE BANKS OR FINANCIAL INSTITUTIONS ALONG WITH THE REASONS THEREOF DURING THE FINANCIAL YEAR:

Not applicable during the financial year.

CHANGE IN NATURE OF BUSINESS:

During the year under review, there has been no change in the Company s nature of business.

DIRECTORS:

During the period the Composition of Directors the Company was in compliance with Section 149 of the Companies Act and Regulation 17 of the SEBI (Listing Obligations & Disclosure Requirements) Regulation, 2015.

A) Directors Retiring by Rotation

Pursuant to the requirements of the Act and Articles of Association of the Company Mr. Bharatkumar Mangilal Jain (DIN: 00083236) is liable to retire by rotation and, being eligible, offers himself for re-appointment. The Board recommends the appointment of Mr. Bharatkumar Mangilal Jain (DIN: 00083236) as Director of the Company retiring by rotation.

B) Key Managerial Personnel

Pursuant to Section 2(51) and 203 of the Act read with the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, the following are the Key Managerial Personnel of the Company:

Sl. No. Name of the Directors	Designation
1. Mr. Kamal Lunawath	Chairman & Managing Director
2. Mr. Vimal Lunawath	Whole-time Director & Chief Financial Officer
3. Mr. Bharatkumar Mangilal Jain	Whole-time Director
4. Mr. Arun Rajan	CEO A
5. Ms. Mary Belinda Jyotsna	Company Secretary

A Appointed on 30.05.2024

The remuneration and other details of these Key Managerial Personnel for Financial Year 2024-25 are provided in the Annual Return which is available on the website of the Company.

C) Committees:

(I) Audit Committee

The Audit Committee had a number of meetings, both formal and internal interactions, with the management team to review Accounts, Finances, Compliances and Risks, and in ensuring improved internal reporting, analyses and financial performances.

Given the increasing complexities presented by the new Companies Act and other Laws, the Audit Committee has also focused on Compliance and Governance to meet the needs of the present and the future. When necessary, external consultants have been brought in to support the Committee and the Management team.

We are happy to report to you that the governance of your Company is of a high order as a result. Further improvements are being implemented.

The Audit Committee composition under provisions of section 177 of the Act and as required under Reg. 18 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 is depicted below:

Mr. Karan Bhasin, Chairman of the Committee -I & NE

Mr. Prateek Khicha, Member of the Committee - I & NE#

Mr. Kamal Lunawath, Managing Director, Member of the Committee - NI &E

Ms. Mary Belinda Jyotsna, Secretary of the Committee.

Note: I- Independent, NE- Non-Executive, E- Executive

(II) Nomination and Remuneration Committee

The Nomination and Remuneration Committee has been active in its role as stipulated in Section 178 of the Companies Act 2013. The policy of remuneration for the Directors, KMPs and employees are stated elsewhere in the report.

The Nomination & Remuneration Committee consists of Mr. Karan Bhasin, Chairman of the committee, Mrs. Ann Gonsalvez, Independent Director, Ms. Shruti Suresh Kumar, Independent Director and Mr. Prateek Khicha, Independent Director. The Company Secretary of the Company acts as the Secretary to the Committee.

The Committee is formed in accordance with Section 178 of the Companies Act, 2013. The Nomination and Remuneration Committee has coined a Remuneration Policy as under Reg. 19 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 for the purpose of determining the Remuneration to the Directors.

(III) Stakeholder Grievance Committee/ Stakeholder Relationship Committee:

The Stakeholder Grievance committee comprises of, Mr. Karan Bhasin - Chairman of the committee, Mr. Kamal Lunawath, Managing Director and Mr. Prateek Khicha, Independent Director as the members of the committee. The Company Secretary of the Company acts as the Secretary to the Committee.

The Committee is formed in accordance with Section 178 of the Companies Act, 2013 to consider and resolve the grievances of security holders of the Company.

D) Changes in Directors and Key Managerial Personnel

During the period under review, the following are the changes in directors and Key Managerial Personnel

Sl No	Name	Designation	Appointment / Cessation	Date
1	Mr. Arun Rajan	Chief Executive Officer	Appointment	30.05.2024
Sl No	Name	Designation	Appointment / Cessation	Date
1	Mr. Gunalan Vivekanand	Independent Director	Appointment	06.09.2024
2.	Ms. Shruti Suresh Kumar	Independent Director	Appointment	08.10.2024
3.	Mrs. Ann Gonsalvez	Independent Director	Cessation	24.03.2025
After the closure of financial year
Sl No	Name	Designation	Appointment / Cessation	Date
1.	Mr. Karan Bhasin	Independent Director	Cessation	01.07.2025

E) Meetings of the Board and Committees:

During the Financial Year 2024-25, the Board of Directors met Ten (10) times and the details of the meetings of the Board and its Committees are given in the Corporate Governance Report (Annexure 3) . The gap intervening between two meetings was within the time prescribed under the Act and Listing Regulations.

Details of attendance of meetings of the Board, its Committees and the Annual General Meeting are included in the Report on Corporate Governance, which forms part of this Annual Report.

F) Declaration by Independent Directors

A declaration by the Independent Directors that they meet the criteria of independence as provided in sub-section (6) of Section 149 of the Companies Act, 2013 was taken on record by the Board in their meeting held on May 04, 2024. The terms and conditions of appointment of the Independent Directors are placed on the website of the Company . arihantspaces.com/investors/code-of-conduct/

The Company has also disclosed the Directors familiarization program on its website investors/code-of-conduct/ .

The independent directors have met on 24.03.2025 without the presence of non-independent directors and reviewed the performance of non-executive directors, chairman and executive directors and analyzed the flow of information to the Board. All the Independent directors were present at the meeting.

The Board also evaluated its own performance and that of its committees & Independent Directors.

NON-EXECUTIVE DIRECTORS

COMPENSATION AND DISCLOSURES

None of the Independent / Non-Executive Directors have any pecuniary relationship or transactions with the Company which in the Judgment of the Board may affect the independence of the Directors.

CONSOLIDATED FINANCIAL STATEMENTS

In accordance with the Indian Accounting Standards (IND-AS) on consolidated financial statements read with Accounting Standard IND-AS-28 on investment in associates and on financial reporting of interest in Joint Venture, Auditors Report on the consolidated financial statements, audited consolidated Balance Sheet, Profit and Loss account and Cash flow statements are provided in the Annual Report.

CONSERVATION OF ENERGY,

TECHNOLOGY ABSORPTION, FOREIGN - EXCHANGE EARNINGS AND OUTGO.

The Company has taken necessary steps for conservation of energy and technology absorption.

There are no foreign - exchange earnings and outgo.

DISCLOSURE UNDER THE SEXUAL HARASSMENTOF WOMEN ATWORKPLACE (PREVENTION, PROHIBITION AND REDRESSAL) ACT, 2013

The Company has in place an Anti-Sexual Harassment Policy in line with the requirements of The Sexual Harassment of Women at the Workplace (Prevention, Prohibition & Redressal) Act, 2013. An Internal Complaints Committee (ICC) has been set up by your Company to redress complaints received regarding sexual harassment. All employees (permanent, contractual, temporary, trainees) are covered under this policy.

During the year the Company has not received any complaint under Sexual Harassment of Women at the Workplace (Prevention, Prohibition & Redressal) Act, 2013.

REMUNERATION POLICY OF THE COMPANY:

The objective of the remuneration policy of the Company is to ensure that the level and composition of remuneration is reasonable and sufficient to attract, retain and motivate directors of the quality required to run the Company

successfully; relationship of remuneration to performance is clear and meets appropriate performance benchmarks; and remuneration to directors, key managerial personnel and senior management involves a balance between fixed and incentive pay reflecting short and long-term performance objectives appropriate to the working of the Company and its goals.

DETAILS OF SIGNIFICANT AND MATERIAL ORDERS PASSED BY THE REGULATORS OR COURTS OR TRIBUNALS:

There are no significant and material orders passed by the Regulators or Courts or Tribunals which would impact the going concern status of the Company

SECRETARIAL STANDARDS

The Company has complied with the applicable Secretarial Standards issued by the Institute of Company Secretaries of India, including Secretarial Standard on Meetings of the Board of Directors (SS-1), Secretarial Standard on General Meetings (SS-2).

PROHIBITION OF INSIDER TRADING

In terms of the provisions of the Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations, 2015, as amended (PIT Regulations), the Company has adopted the revised Code of Conduct to Regulate, Monitor and Report Trading by Insiders ( the Code). The Code is applicable to all Directors, Designated persons and connected Persons and their immediate relatives, who have access to unpublished price sensitive information relating to the Company. The Company has also formulated a Code of Practices and Procedures for Fair Disclosure of Unpublished Price Sensitive Information (UPSI) in compliance with the PIT Regulations.

The aforesaid Codes are posted on the Company s website and can be accessed by using web link at: . arihantspaces.com/investors/code-of-conduct .

STATEMENT REGARDING OPINION OF THE BOARD WITH REGARD TO INTEGRITY, EXPERTISE AND EXPERIENCE (INCLUDING THE PROFICIENCY) OF THE INDEPENDENT DIRECTORS APPOINTED DURING THE YEAR

In the opinion of the Board of Directors of the Company, Independent Directors on the Board of Company hold highest standards of integrity and are highly qualified, recognized and respected individuals in their respective fields. It s an optimum mix of expertise (including financial expertise), leadership and professionalism.

DIRECTORS RESPONSIBILITY STATEMENT

To the best of their knowledge and belief and according to the information and explanations obtained by them, your Directors make the following statements in terms of Section 134(3)(c) of the Companies Act, 2013:

i. in the preparation of the annual accounts, the applicable accounting standards have been followed along with proper explanation relating to material departures.

ii. the directors have selected such accounting policies and applied them consistently and made judgments and estimates that are reasonable and prudent so as to give true and fair view of the state of affairs of the Company at the end of the financial year and of the profit or loss of the Company for that period.

iii. the directors have taken proper and sufficient care to maintain adequate accounting records in accordance with the provisions of this Act for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities.

iv. the directors have prepared the annual accounts on a going concern basis.

v. that proper internal financial controls were in place and that the financial controls were adequate and were operating effectively.

vi. that systems to ensure compliance with the provisions of all applicable laws were in place and were adequate and operating effectively.

DECLARATION REGARDING COMPLIANCE BY BOARD MEMBERS AND SENIOR MANAGEMENT PERSONNEL WITH THE COMPANY S CODE OF CONDUCT

The Code of Conduct of the Company aims at ensuring consistent standards of conduct and ethical business practices across the Company This Code is reviewed on an annual basis and the latest Code is available on the website of the Company at weblink . Pursuant to the Listing Regulations, confirmation from the Managing Director and Chief Executive Officer regarding compliance with the Code by all the Directors and senior management of the Company is given in Annexure I to the Corporate Governance.

CEO/CFO CERTIFICATION

Appropriate certification as required under Reg. 17(8) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Mr. Arun Rajan, Chief Executive Officer and Mr. Vimal Lunawath, Chief Financial Officer have certified to the Board regarding Financial Statements for the year ended 31 st March 2025 which is attached as Annexure II to Corporate Governance Report.

VIGIL MECHANISM / WHISTLE BLOWER MECHANISM

The Company has a vigil mechanism to deal with instances of fraud and mismanagement, if any. The details of the Policy are explained in the Corporate Governance Report and also posted on the website of the Company.

CORPORATE SOCIAL RESPONSIBILITY

In terms of Section 135 of the Companies Act, 2013, the provisions relating to Corporate Social Responsibility (CSR) are not applicable to the Company for the financial year, as the prescribed thresholds for CSR applicability have not been met.

STATEMENT PURSUANT TO LISTING REGULATIONS:

Your Company s shares are listed with BSE Ltd. We have paid the respective annual listing fees and there are no arrears.

STATUTORY AUDITORS

The Company has appointed M/s. B.P Jain & Co , Chennai (Firm Regn. No. 007735S) in the 29 th Annual General Meeting held on 30 th September 2022 for a period of 5 years from the 29 th annual general meeting until the conclusion of the 34 th annual general meeting of the Company on such remuneration as may be fixed by the Board of Directors. In view of the amendment to the Companies Act, 2013 notified by the Ministry of Corporate Affairs dated 7 th May 2018, no longer their appointment needs to be ratified by the Members of the Company.

COST AUDITOR

Pursuant to the provisions of Section 148 of the Companies Act, 2013 read with the Companies (Cost Records and Audit) Rules, 2014, the maintenance of cost records is applicable to the Company. The Board of Directors, on the recommendation of the Audit Committee, has appointed M/s. Ramachandran and Associates, Cost Accountants (Firm Registration No. 000799), having their office at Chennai, as the Cost Auditors of the Company for the financial year 20252026 at a remuneration of 1,50,000, subject to Approval by the shareholders at the ensuing Annual General Meeting.

AUDITORS REPORT

There are no qualifications or adverse remarks mentioned in the Auditors report. The notes to accounts, forming part of financial statements, are self-explanatory and need no further clarification.

SECRETARIAL AUDITORS

The Board appointed M/s. V Suresh Associates, Practicing Company Secretaries, Chennai to conduct a Secretarial Audit for the Financial Year 2024-25. The Secretarial Audit Report for the Financial Year ended March 31, 2025, is attached to this Report as Annexure 4 .

REPLY TO SECRETARIAL AUDIT REPORT:

The Board of Directors explanation for the observations made in the Secretarial Audit report is annexed in Annexure 5.

ADEQUACY OF INTERNAL AUDIT AND INTERNAL FINANCIAL CONTROL

The Company has in place adequate Internal Audit and Internal Financial Controls with reference to the financial statements, which is evaluated by the Audit Committee as per Part C of Schedule II of the SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015.

Apart from Statutory Audit, your Company, in compliance with Section 138 of the Companies Act, 2013, had engaged M/s N S Shastri & Co., Chartered Accountants, (Firm s Registration No.: 015093S) Chartered Accountants, Chennai as the Internal Auditors of the Company for the financial year 2024-25. Findings and observations of the Internal Auditors are discussed, and suitable corrective actions are taken as per the directions of the Audit Committee on an on-going basis to improve efficiency in operations.

The Companys internal control systems are well established and commensurate with the nature of its business and the size and complexities of operations and adequate with reference to the financial statements as envisaged under the Companies Act, 2013.

PERFORMANCE EVALUATION OF BOARD AND ITS COMMITTEES

Pursuant to the provisions of the Act and Listing Regulations and as per Guidance Note on Board Evaluation issued by SEBI on 5 th January 2017, the Board has carried out annual performance evaluation of its own performance, the Directors individually as well as evaluation of the working of its committees at its meeting held on 08 th October 2024. The Nomination and Remuneration Committee has defined the evaluation criteria for the performance evaluation of individual Directors, the Board and its Committees. The performance of the Board, its committees and individual Directors was evaluated by the Nomination and Remuneration Committee and Board after seeking input from all the respective Committee members and Directors.

RISK MANAGEMENT

Pursuant to Section 134(3)(n) of the Companies Act, 2013 and Regulation 21 of SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015, The Company has a risk policy defining risk management governance model, risk assessment and prioritization process. The Risk Management Committee adopted a follow-up risk management framework to review and monitor the key risks and their mitigation measures periodically and provide an update to the Board on the Company s risks. The Audit Committee has additional oversight on financial risks and controls.

ANNUAL RETURN

The annual return of the Company has been uploaded in the web site and the same can be accessed through web site link .

REPORTING OF FRAUD

The Auditors of the Company, Cost Auditors or the Secretarial Auditors have not reported any fraud as specified under Section 143 (12) of the Companies Act, 2013.

PERSONNEL

The Board wishes to place on record its appreciation for all employees of the Company, for their wholehearted efforts and contribution to the performance and growth of the Company.

CAUTIONARY STATEMENT

The Annual Report including those which relate to the Directors Report, Management Discussion and Analysis Report may contain certain statements on the Company s intent expectations or forecasts that appear to be forwardlooking within the meaning of applicable securities laws and regulations while actual outcomes may differ materially from what is expressed herein. The Company bears no obligations to update any such forward-looking statement. Some of the factors that could affect the Company s performance could be the demand and supply for Company s product and services, changes in Government regulations, tax laws, forex volatility etc.

ACKNOWLEDGEMENTS

Your directors place on records their gratitude for the support and co-operation received from CMDA, Corporation of Chennai, various statutory bodies of the Government of India, Banks and Financial Institutions, Customers, Suppliers and Shareholders and for their continued support. The Board also wishes to place its sincere appreciation to the dedicated and committed team of employees.

Annexures forming part of this Directors Report

The following annexures referred in this report and other information which are required to be disclosed are attached and forms an Integral part of this Directors report

i) Annexure 1 - Form AOC - 1

ii) Annexure 2 - Form AOC - 2

iii) Annexure 3 - Report on Corporate Governance

iv) Annexure 4 - Secretarial Auditor Report

v) Annexure 5 - Reply to Secretarial Report

vi) Annexure 6 - Information required under Section 197 of the Companies Act, 2013 and rules made there-under in respect of Employees of the Company

For and on behalf of the Board of Directors ARIHANT FOUNDATIONS & HOUSING LIMITED

Place: Chennai Date: 30-05-2025

KAMAL LUNAWATH

Managing Director DIN: 00087324

VIMAL LUNAWATH

Whole-time Director/CFO DIN: 00586269