Beryl Drugs Ltd Auditor Reports

To, The Members, Beryl Drugs Limited

Report on the Audit of the Ind AS Financial Statements

I. Opinion

We have audited the accompanying Ind AS Financial statements of Beryl Drugs Limited ("the Company"), which comprise the Balance Sheet as at 31st March 2026, the Statement of Profit and Loss (including statement of other comprehensive income), the 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 material accounting policies and other explanatory information (hereinafter referred to as "the financial statements").

In our opinion and to the best of our information and according to the explanations given to us, the aforesaid Ind AS financial statements give the information required by the Companies Act, 2013 ("the Act") in the manner so required and give a true and fair view in conformity with the Indian accounting standards prescribed under section 133 of principles generally accepted in India, of the state of affairs of the Company as at 31st March 2026, and Profit (including other comprehensive income), changes in equity and its cash flows for the year ending on that date.

II. Basis for Opinion

We conducted our audit in accordance with the Standards on Auditing (SAs) specified under Section 143(10) of the Act. 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 ("ICAI") together with the ethical requirements that are relevant to our audit of the financial statements under the provisions of the Act and the Rules thereunder, and we have fulfilled our other ethical responsibilities in accordance with these requirements and the ICAIs Code of Ethics. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our opinion on the financial statements.

III. Key Audit Matters

Key audit matters are those matters that, in our professional judgment, were of most significance in our audit of the financial statements for the financial year ended 31st March, 2026. These matters were addressed in the context of our audit of the financial statements as a whole, and in forming our opinion on these matters, and we do not provide a separate opinion on these matters. For each matter below, our description of how our audit addressed the matter is provided in that context.

We have determined the matters described below to be the key audit matters to be communicated in our report. We have fulfilled the responsibilities described in the Auditors responsibilities for the audit of the financial statements section of our report, including in relation to these matters. Accordingly, our audit included the performance of procedures designed to respond to our assessment of the risks of material misstatement of the financial statements. The results of our audit procedures, including the procedures performed to address the matters below, provide the basis for our audit opinion on the accompanying financial statements.

Key audit matters	How our audit addressed the key audit matter
1. Revenue Recognition	Our audit procedures included, but were not limited to, the following:
Revenue from sale of pharmaceutical products is recognized when control of the goods is transferred to the customer, generally upon shipment or delivery, in accordance with Ind AS 115 - Revenue from Contracts with Customers. Revenue is measured at the transaction price, net of estimated variable consideration including rebates, discounts, sales returns, and Delay Supply Charges levied by Government medical supply corporations representing contractual penalties for delayed delivery. The recognition of revenue involves significant judgment and estimation by management in the following areas:
(a) Determining the point in time at which control of goods is transferred to the customer, particularly for transactions occurring around the period-end (cutoff);	• Obtained an understanding of the systems, processes, and internal controls implemented by the Company over the revenue recognition cycle, including the identification, estimation, and accounting for variable consideration.
(b) Estimating variable consideration, including the quantum of Delay Supply Charges expected to crystallize, applying the "highly probable" threshold under Ind AS 115 to ensure that a significant reversal of cumulative revenue recognized will not occur upon resolution of the related uncertainty;	• Evaluated the Companys revenue recognition policy for compliance with Ind AS 115, including the framework adopted for identification of performance obligations, transfer of control, and estimation of variable consideration.
	• Assessed the IT environment supporting the revenue process and tested the design, implementation, and operating effectiveness of automated and manual controls relating to sales order generation, customer master maintenance, invoicing, dispatch, recording of revenue, and period-end cut-off.
(c) Distinguishing between exposures that are probable (adjusted against revenue) and those that are possible but not probable (disclosed as contingent liabilities under Ind AS 37 - Provisions, Contingent Liabilities and Contingent Assets); and	• On a sample basis selected using statistical sampling techniques, tested underlying documentation including sales contracts, supply orders issued by Government medical supply corporations, tax invoices, shipping documents, lorry receipts, and proof of delivery to verify transfer of control and the appropriateness of the period of recognition.
(d) The inherent risk of revenue being overstated, as management may be incentivized to recognize revenue prematurely or under-provide for variable consideration to achieve performance targets.	• Performed cut-off testing on revenue transactions recorded immediately before and after the balance sheet date to verify that revenue has been recognized in the correct period.
	Specifically with respect to Delay Supply Charges and other variable consideration:
Given the materiality of revenue to the financial statements, the judgment involved in estimating variable consideration (especially Delay Supply Charges, where crystallization depends on actions of Government counterparties), and the susceptibility of revenue to misstatement.	• Reviewed supply orders executed with Government medical supply corporations, focusing on contractual delivery timelines and penalty clauses, and tested managements process for identifying delayed deliveries and computing potential charges.
We have considered this as a Key Audit Matter. Refer Note 03 of the financial statements for the accounting policy on revenue recognition.	• Corroborated managements estimates against debit notes, deduction advices, and communications received from Government counterparties, and challenged the application of the "highly probable" constraint under Ind AS 115 with reference to historical crystallization patterns and subsequent events up to the date of our report.
	• Verified the adjustments made to revenue for charges assessed as probable and the classification of those assessed as possible but not probable as contingent liabilities under Ind AS 37 - Provisions, Contingent Liabilities and Contingent Assets.
	• Evaluated the methodology and assumptions used to estimate other variable consideration (rebates, trade discounts, sales returns) by corroborating with historical trends, contractual terms, and post-period actuals.
	• Performed analytical review of revenue (month- wise, customer-wise, and product-wise) to identify unusual patterns, and tested journal entries posted to revenue accounts - focusing on manual entries, unusual users, and period-end postings - to address the risk of management override.
2. Recognition and Measurement of Right-of- Use Assets and Lease Liabilities (Ind AS 116- Leases)	Our audit procedures included, but were not limited to, the following:
The Company has adopted Ind AS 116 Leases with effect from 1st April 2024 in respect of its long-term leasehold land arrangements (Plots 122, 123 and 124), previously accounted for as Leasehold Land under Ind AS 16.	• Evaluated the Companys accounting policy for leases and the appropriateness of applying the modified retrospective approach under paragraph C5(b) of Ind AS 116 and the practical expedients elected under paragraph C10.
The Company has applied the modified retrospective approach under paragraph C5(b) of Ind aS 116, with the cumulative effect of Rs. 0.03 Lakhs recognized as an adjustment to opening Retained Earnings as at 1st April 2024.	• Reviewed the underlying lease deeds for Plots 122, 123 and 124 at Pithampur, -Indore Area, Pithampur Dist Dhar to verify the lease term, lease payments, and other contractual conditions used in the measurement of ROU assets and Lease Liabilities.
As at 31st March 2026, the Company has recognized Right-of-Use assets of Rs. 27.75 Lakhs and Lease Liabilities of Rs. 4.95 Lakhs (Refer Note 36).	• Tested the reasonableness of the 9% incremental borrowing rate by reference to the Companys borrowing profile and lease tenure, and re-performed the present value computation of lease payments and the day-1 fair value of refundable security deposits.
We identified this as a Key Audit Matter on account of the management judgment involved in determining the lease term for long-tenure leasehold land arrangements, the incremental borrowing rate of 9% applied as the discount rate, the practical expedients elected on transition, and the accounting treatment of refundable security deposits including the day-1 fair value adjustment to the ROU asset.	• Verified the subsequent measurement of ROU assets (depreciation on straight-line basis) and Lease Liabilities (amortized cost using the effective interest method), and tested the classification between current and non-current portions.
	• Reviewed the maturity analysis of lease liabilities, the amounts recognized in the Statement of Profit and Loss, and the disclosures in Note 36 for compliance with Ind AS 116.
3. Related Party Transactions	Our audit procedures included, but were not limited to, the following:
We identified related party transactions as a key audit matter due to the significance of related party transactions, regulatory compliance and risk of such transactions remaining undisclosed in the financial statements.
Consequent to the appointment of Mr. Shailendra Pathak as Whole-Time Director with effect from 3rd January 2026, Aminova Infusions Private Limited - of which he is the promoter and majority shareholder - became a related party under Section 2(76) of the Companies Act, 2013 and Ind AS 24- Related Party Disclosures	• Evaluated the Companys policies and controls for identifying related parties and capturing related party transactions, including those triggered by changes in directorship during the year.
Transactions aggregating Rs. 77.30 Lakhs for distribution of pharmaceutical products were undertaken during 3rd January 2026 to 31st March 2026 pursuant to prior Audit Committee and Board approval under Section 188 of the Companies Act, 2013 and Regulation 23 of SEBI (LODR) Regulations, 2015.	• Reviewed the appointment documentation of Mr. Shailendra Pathak, declarations of interest under Section 184, and minutes of the Audit Committee, Board, and shareholders meetings to confirm the date of commencement of the relationship and prior approval of transactions under Section 188 and Regulation 23 of SEBI (LODR).
Shareholders approval for transactions up to Rs. 5.00 Crores for the period ending 2nd January 2028 was obtained at the EGM held on 11th May 2026 and disclosed as a non-adjusting event under Ind AS 10- Events after the Reporting Period. (Refer Note 35).	• Tested transactions with Aminova Infusions Private Limited (A company in which Shailendra Pathak is promoter and Shareholder) on a sample basis by examining supply orders, invoices, and dispatch documents, and corroborated arms length pricing by comparing terms with those offered to unrelated distributors.
	• Verified the Nil outstanding balance as at 31st March 2026 and evaluated the accounting treatment of the shareholders approval dated 11th May 2026 as a non-adjusting event under Ind AS 10.
	• Assessed compliance with the authorization, approval, and disclosure requirements under Sections 177, 188, and 189 of the Companies Act, 2013 and the Rules thereunder, Regulation 23 of SEBI (LODR) Regulations, 2015, Ind AS 24, and Ind AS 10; and obtained written representations from management on the completeness of related parties and related party transactions.
4. Allowances for credit losses	Our audit procedures included, but were not limited to, the following:
The Company measures loss allowance on trade receivables under the Simplified Approach permitted by Ind AS 109-Financial Instruments, using a provision matrix derived from historical observed default rates adjusted for forward-looking estimates.	• Evaluated the design and operating effectiveness of controls over the development of the ECL methodology, the completeness and accuracy of underlying ageing and historical loss data, and the computation of the provision.
The Companys trade receivables are predominantly due from State Government medical supply corporations, which are subject to contractual deductions including delay supply charges.	• Assessed the appropriateness of the Simplified Approach and the provision matrix under Ind AS 109, and evaluated the rationale for the revision in provisioning rates including reference to historical credit loss experience with Government
During the year, the Company has revised its ECL provisioning rates - accounted for as a change in accounting estimate under Ind AS 8 - Accounting Policies, Changes in Accounting Estimates and Errors and applied prospectively resulting in an incremental ECl charge of Rs. 2.89 Lakhs to the Statement of Profit and Loss (Refer Note 44A).	medical supply corporations and observed patterns of delay supply charge deductions.
We identified the allowance for expected credit losses as a Key Audit Matter on account of the significant management judgment involved in determining the provision matrix, the change in accounting estimate during the year, and the inherent uncertainty in estimating deductions and recoveries from Government counterparties.	• Tested the accuracy of the ageing schedule on a sample basis by tracing to invoices and subsequent collections, and corroborated assumptions used in the provision matrix with historical data and forward-looking information.
	• Verified the prospective application of the change in accounting estimate under Ind AS 8 and the resultant additional charge of Rs. 2.89 Lakhs.
	• Tested write-offs of Rs. 0.56 Lakhs during the year for evidence of non-recoverability and approval, and reviewed the disclosures in the financial statements for compliance with Ind AS 109, Ind AS 107, and Ind AS 8.
5. Provisions & Contingent Liabilities	Our Audit Procedure tested the design and operating effectiveness, key control over the estimation, monitoring and disclosure of Provisions and contingent liabilities. For said details. Refer Note No. 37 to the Audited Financial Statements.
In accordance with Accounting Criteria set under Ind AS 37 - Provisions, Contingent Liabilities and Contingent Assets significant degree of Management Judgment is involved in determining whether an obligation exists and whether a provision should be recognized as at the reporting date or it needs to be disclosed as Contingent liability.
Further Significant Judgments are also involved in measuring such obligations the most significant of which are assessment of liability. Judgment is involved in the determination of whether any outflow in respect of identified material matters is probable and can be estimated reliably.
Adequacy of Provision, appropriateness of assumption and judgment used in the estimation of significant provision, adequacy of disclosure of provision for liabilities and Contingent Liabilities, considering the significance of the above matter to the Financial Statement and significant Auditors attention required to test such estimate, we have identified this as a key Audit matter for Current Year Audit.

V. Information other than the Ind AS financial statements and Auditors Report thereon

The Companys management and Board of Directors are 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 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 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 fact.

We have nothing to report in this regard.

VI. Responsibilities of Management and Those Charged with Governance for the Ind AS Financial Statements

The Companys management and Board of Directors are responsible for the matters stated in Section 134(5) of the Act with respect to the preparation of the Financial Statements that give a true and fair view of the financial position, financial performance including other comprehensive income, changes in equity and cash flows of the Company in accordance with the accounting principles generally accepted in India, including the Indian Accounting Standards (Ind AS) specified under Section 133 of the Act read with the Companies (Indian Accounting Standards) Rules 2015, as amended. 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 detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the accuracy and completeness of the accounting 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, management and Board of Directors are 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 Board of Directors and management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

The Board of Directors is also responsible for overseeing the Companys financial reporting process.

VII. Auditors Responsibilities for the Audit of the Ind AS Financial Statements

Our responsibility is to express an opinion on these standalone financial statements based on our audit. In conducting our audit, we have taken into account the provisions of the Act, the accounting and auditing standards and matters which are required to be included in the audit report under the provisions of the Act and the Rules made thereunder and the Order issued under section 143(11) of the Act.

Our objectives are to obtain reasonable assurance about whether the Financial Statements as a whole are free from material misstatement, whether due 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 detect 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 expected 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 detecting 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 Section 143(3)(1) of the Act, we are also responsible for expressing our opinion on whether the company has adequate internal financial controls with reference to Financial Statements in place and the operating effectiveness of such controls.

? Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by management and Board of Directors.

? 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 believe that the Audit Evidence obtained by us is sufficient and appropriate to provide a basis for our Audit opinion and the Financial Statements.

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 be thought to bear on our independence, and where applicable, related safeguards.

Materiality is the magnitude of misstatements in the standalone financial statements that, individually or in aggregate, makes it probable that the economic decisions of a reasonably knowledgeable user of the standalone financial statements may be influenced. We consider quantitative materiality and qualitative factors in:

(i) planning the scope of our audit work and in evaluating the results of our work; and
(ii) to evaluate the effect of any identified misstatements in the standalone financial statements.

From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the Financial Statements of the current period and are therefore the key audit matters. We describe these matters in our auditors report unless law or regulation precludes public disclosure about the matter or when, in extremely rare circumstances, we determine that a matter should not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the public interest benefits of such communication.

VIII. 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 Section 143(11) of the Act, we give in the "Annexure A" a statement on the matters specified in paragraphs 3 and 4 of the Order, to the extent applicable.

2. With respect to the matter to be included in the Auditors Report under section 197(16), we report that, in our opinion and according to the information and explanation given to us, the remuneration paid by the Company to its directors during the current year is in accordance with the provisions of Section 197 of the Act.

3. (A) As required by Section 143(3) of the Act, based on our Audit we report to the extent applicable 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 purposes of our audit of accompanying financial statement.
b) In our opinion, proper books of account as required by law relating to the preparation of the aforesaid Financial Statements 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), statement of changes in equity and statement of cash flows dealt with by this Report are in agreement with the books of account maintained for the purpose of preparation of the Financial Statements.
d) In our opinion, the aforesaid Financial Statements comply with the Ind AS specified under Section 133 of the Act read with Companies (Indian Accounting Standards) Rules, 2015.
e) On the basis of the written representations received from the directors as on 31st March 2026 taken on record by the Board of Directors, none of the directors is disqualified as on 31st March 2026 from being appointed as a director in terms of Section 164(2) of the Act.
f) With respect to the adequacy of the internal financial controls with reference to Financial Statements of the Company and the operating effectiveness of such controls, refer to our separate Report in "Annexure B" to this report.

3. (B) 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 impact of pending litigations as at 31 March 2026 on its financial position in its standalone financial statements - Refer Note 38 to the financial statements.
ii. The Company does not require to make provisions, as required under the applicable law or accounting standards, for material foreseeable losses, if any, on long term contracts.
iii. There were no amounts which were required to be transferred to the Investor Education & Protection Fund by the company.

iv.
a) The Management has represented that, to the best of its knowledge and belief, no funds (which are material either individually or in the aggregate) have been advanced or loaned or invested (either from borrowed funds or share premium or any other sources or kind of funds) by the Company to or in any other person or entity, including foreign entity ("Intermediaries"), with the understanding, whether recorded in writing or otherwise, that the Intermediary shall, directly or indirectly 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) The management has represented that, to the best of its knowledge and belief, no funds have been received by the Company from any persons or entities, including foreign entities ("Funding Parties"), with the understanding, whether recorded in writing or otherwise, that the Company shall directly or indirectly, lend or invest in other persons or entities identified in any manner whatsoever ("Ultimate Beneficiaries") by or on behalf of the Funding Party or provide any guarantee, security or the like from or on behalf of the Ultimate Beneficiaries; and
c) Based on such audit procedures as considered reasonable and appropriate in the circumstances, nothing has come to our notice that has caused us to believe that the representations under sub-clause (iv)(a) and (iv)(b) contain any material misstatement.

v. The company has not declared any dividend during the year.

vi. Based on our examination which included test checks, the company has used an 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 audit trail feature being tampered with.

Additionally, the audit trail has been preserved by the Company as per the statutory requirements for record retention.

ANNEXURE A TO THE INDEPENDENT AUDITORS REPORT

(Referred to Point No. 1 of paragraph VIII under Report on Other Legal and Regulatory Requirements section of our Report of even date)

To the best of our information and according to the explanations provided to us by the Company and the books of account and records examined by us in the normal course of audit, we report that:

(i) In respect of its Property, Plant & Equipment and Intangible Assets:

a) The Company has maintained proper records showing full particulars, including quantitative details and situation of Property, Plant and Equipment & Investment Property in the IT system. The Company has maintained proper records showing full particulars of Intangible Assets in the IT system.
b) According to the information and explanations given to us and on the basis of our examination of the records of the Company, the Company has a regular program of physical verification of its property, plant and equipment, and investment property and relevant details of right-of-use assets under which the assets are physically verified in a phased manner at reasonable intervals, which in our opinion is reasonable having regard to the size of the Company and nature of its assets. In accordance with this program, property, plant and equipment, and investment property and relevant details of right-of-use assets were verified during the year and no material discrepancies were noticed on such verification.
c) According to the information and explanations given to us, and on the basis of our examination of the records of the Company, the title deeds of immovable properties, including Investment Properties (other than properties where the Company is the lessee and the lease agreements are duly executed in favour of the lessee), disclosed in the financial statements are held in the name of the Company.
d) According to the information and explanations given to us and on the basis of our examination of the records of the Company, the company has not revalued its Property, Plant and Equipment (including right-of-use assets) and Intangible assets during the year.
e) According to information and explanations given to us and on the basis of our examination of the records of the Company, there are no proceedings initiated or pending against the Company for holding any benami property under the Prohibition of Benami Property Transactions Act, 1988 (as amended) and rules made thereunder.

(ii) In respect of Inventory and Working Capital

a) As explained to us, physical verification of inventory has been conducted by the management during the year at reasonable intervals, which in our opinion is appropriate regarding the size and nature of the organization. Further, as per the records available with the management, no material discrepancies were noticed on such physical verification.
b) The company has not been sanctioned working capital limits in excess of five crore rupees, in aggregate at any point of time during the year, from banks or financial institutions on the basis of security of current assets, hence reporting under clause 3(ii)(b) of the Order is not applicable.

(iii) In respect of Investments, Loan, Guarantee or Security given by Company

As informed, the company has not made any investment in; provided any guarantee or security or granted any loans or advances in the nature of loans, secured or unsecured, to companies, firms, Limited Liability Partnerships or any other parties covered in the register maintained under Section 189 of the Companies Act, 2013 ("the Act") during the year. Thus, comments on (iii-a), (iii-b), (iii-c), (iii-d), (iii-e), (iii-f) of the said clause of the order are not applicable to the Company.

(iv) In respect of Loan to Directors and Investment by the Company

In our opinion and according to the information and explanations given to us and on the basis of our examination of the records of the Company, the Company has not granted any loans, or provided any guarantees or security as specified under Section 185 of the Act during the year.

The Company has not made any investment as specified under section 186 of the Act. Thus comments regarding any loans or provided any security to the parties covered under Section 186 of the Act of the said order are not applicable to the company.

(v) In respect of Deposits Accepted by the Company

According to the information and explanations given to us, the Company has not accepted deposits or there are no amounts which have been deemed to be deposits within the meaning of Sections 73 to 76 or any other relevant provisions of the Act and the Companies (Acceptance of Deposits) Rules, 2014 (as amended). Accordingly, the reporting under Clause 3(v) of the Order is not applicable to the Company.

(vi) In respect of Cost Records Maintenance

The company is engaged in the manufacture of Drugs and Pharmaceuticals (CETA Chapters 2901-2942 and 3001-3006), which falls under the Regulated Sector specified in Table A of Rule 3 of the Companies (Cost Records and Audit) Rules, 2014. However, as the companys turnover during the year (Rs. 18.82 crore) is below the threshold of Rs. 35 crore prescribed under Rule 4(1), the maintenance of cost records under Section 148(1) of the Companies Act, 2013 is not applicable. Consequently, cost audit under Rule 4(2) is also not applicable.

(vii) In respect of Payment of Statutory Dues

a) According to the records made available to us, the company is regular in depositing undisputed statutory dues including Goods and Services Tax, provident fund, employees state insurance, income-tax, duty of customs, duty of excise, value added tax, cess and any other statutory dues to the appropriate authorities. According to the information and explanation given to us there were no outstanding statutory dues as on 31st of March, 2026 for a period of more than six months from the date they became payable except the following undisputed Statutory Dues which were outstanding as at 31.03.2026 for a period of more than six months from the date they became payable:

(Rs. in Lakhs)

S. No.	Nature of the Statute	Nature of Dues	Amount (Rs. in Lacs)	Period to which the amount relates
1.	MP Vat Tax Act, 2002	Vat Tax	0.75	FY 2014-15
2.	TDS Default At Traces Portal	TDS Default	0.84	F.Y. 2007-08
3.	TDS Default At Traces Portal	TDS Default	0.94	F.Y. 2008-09
4.	TDS Default At Traces Portal	TDS Default	0.13	F.Y. 2009-10
5.	TDS Default At Traces Portal	TDS Default	0.04	F.Y. 2010-11
6.	TDS Default At Traces Portal	TDS Default	0.08	F.Y. 2012-13
7.	TDS Default At Traces Portal	TDS Default	0.26	F.Y. 2014-15
8.	TDS Default At Traces Portal	TDS Default	0.08	F.Y. 2015-16
9.	TDS Default At Traces Portal	TDS Default	0.05	F.Y. 2016-17
10.	TDS Default At Traces Portal	TDS Default	0.05	F.Y. 2017-18
11.	TDS Default At Traces Portal	TDS Default	0.07	F.Y. 2018-19
12.	TDS Default At Traces Portal	TDS Default	0.02	F.Y. 2019-20
13.	TDS Default At Traces Portal	TDS Default	0.06	F.Y. 2020-21

The company is in the process of regularizing these defaults with the tax authorities.

Further, the Company has not recognized any liability in respect of professional tax pertaining to employees, as it has not obtained the necessary registration. Consequently, there may be a potential liability that remains unrecorded.

b) According to the information and explanations given and records made available to us, the company has no outstanding statutory dues which have not been deposited as on March 31, 2026 on account of disputes, except listed below:

(Rs. in Lakhs)

Nature of the Statute	Nature of Dues	Amount	Period to which the amount relates	Forum where Dispute is pending
MP Entry Tax, 1976	Entry Tax	0.83	FY 1998-1999	Additional Commissioner of Commercial Tax

(viii) In respect of Unrecorded Transactions of Income

According to the information and explanations given to us and on the basis of our examination of the records made available to us by the management and on the basis of our test checks performed during the Audit, the Company has not surrendered or disclosed any transactions, previously unrecorded as income in the books of account, in the tax assessments under the Income-tax Act, 1961 as income during the year.

(ix) In respect of Repayment of Loans and Borrowings

a) According to the information and explanations given and records made available to us, the company has neither defaulted in repayment of secured as well as unsecured loans or other borrowings nor in the payment of interest thereon to any lender.
b) According to the information and explanations given and records made available to us, the company was not declared willful defaulter by any bank or financial institution or any other lender.
c) As per the information & explanations given by the management and on the basis of our test checks performed during the Audit, term loan amount has been applied for the purpose for which the loan was obtained by the company.
d) As per the information & explanations given by the management and on the basis of our test checks performed during the Audit, working capital funds raised on short term basis have not been utilized for long term purpose during the year.
e) As per the information & explanations given by the management, the company does not have any subsidiary, associate or joint venture during the year. Accordingly, provisions of Para (e) and (f) of the said clause (ix) are not applicable to the Company.

(x) In respect of Utilization of Public Funds

a) As per the information & explanations given by the management and on the basis of our test checks performed during the Audit, the company has not raised any money by way of initial public offer or further public offer (including debt instruments) during the year. Accordingly, the reporting under Clause 3(x)(a) of the Order is not applicable to the Company.
b) The Company has not made any preferential allotment or private placement of shares/fully or partially or optionally convertible debentures during the year under audit and hence, the requirement to report on clause 3(x)(b) of the Order is not applicable to the Company.

(xi) In respect of Reporting of Frauds

a) As per the information & explanations given by the management and on the basis of our test

checks performed during the Audit, no instances of fraud by the company or any fraud on the company by the officers or employees has been noticed or reported during the year.

b) No report has been filed by us under sub-section (12) of section 143 of the Companies Act in Form ADT-4 as prescribed under rule 13 of Companies (Audit and Auditors) Rules, 2014 with the Central Government, during the year and upto the date of this report. Accordingly, the reporting under Clause 3(xi)(b) of the Order is not applicable to the Company.
c) As per the information & explanations given by the management, no whistle-blower complaints were received by the company during the year.

(xii) In respect of Provisions of Nidhi Company

The Company is not a Nidhi Company as per the provisions of the Companies Act, 2013. Therefore, the requirement to report on clause 3(xii)(a) to (c) of the Order is not applicable to the Company and hence not reported thereupon.

(xiii) In respect of Related Party Transaction

In our opinion and according to the information and explanations given to us, the transactions with related parties are in compliance with Section 177 and 188 of the Act, where applicable, and the details of the related party transactions have been disclosed in the financial statements as required under Ind AS 24, Related Party Disclosures, specified u/s 133 of the Companies Act, 2013.

(xiv) In respect of Internal Audit System

a) In our opinion and based on our examination of the records made available to us, the Company has put in place an internal audit system as required under Section 138 of the Companies Act, 2013. The said system is commensurate with the size and nature of the Companys business operations.
b) We have considered the reports issued by the Internal Auditors of the Company till date for the period under audit.

(xv) In respect of Non-Cash Transaction

According to the information and explanations given to us, the Company has not entered into any non-cash transactions with its directors or persons connected with them during the year and hence, the provisions of Section 192 of the Act are not applicable to the Company. Accordingly, the reporting under Clause 3(xv) of the Order is not applicable to the Company.

(xvi) In respect of Registration u/s 45-IA of RBI Act, 1934

a) The Company is not required to be registered under Section 45-IA of the Reserve Bank of India Act, 1934. Accordingly, clause 3(xvi)(a) of the Order is not applicable.
b) The Company is not engaged in any Non-Banking Financial or Housing Finance activities. Accordingly, the requirement to report on clause (xvi)(b) of the Order is not applicable to the Company.
c) The Company is not a Core Investment Company (CIC) as defined in the regulations made by the Reserve Bank of India. Accordingly, clause 3(xvi)(c) of the Order is not applicable.
d) There is no Core Investment Company as a part of the Group, hence, the requirement to report on clause 3(xvi)(d) of the Order is not applicable to the Company.

(xvii) In respect of Cash Losses

The Company has not incurred any cash loss in the current as well as the immediately preceding financial year, accordingly, the reporting under Clause 3(xvii) of the Order is not applicable to the Company.

(xviii) In respect of Resignation of the Statutory Auditor

There has been no resignation of the statutory auditor during the year. Accordingly, clause (xviii) of the order is not applicable.

(xix) In respect of Financial Position of the Company

According to the information and explanations given to us, and based on our examination of financial ratios, ageing and expected dates of realization of financial assets and payment of financial liabilities, the Board of Directors and managements plans, and the evidence supporting the underlying assumptions, we report as under:

We note that the Debt Service Coverage Ratio (DSCR) for the year stood at 1.06 (Previous Year: 2.52), primarily on account of the temporary shutdown of the BFS section during the year. We have considered the following mitigating factors in our assessment:

(a) The BFS section has resumed commercial operations w.e.f. December 2025, and cash flows from operations are expected to normalize in the ensuing period;
(b) the long-term borrowings of Rs. 173.58 Lakhs outstanding at the beginning of the year have been fully repaid during the year, and consequently the debt service obligation in F.Y. 2026-27 will reduce substantially; and
(c) Managements cash flow projections, examined by us on a test-check basis, indicate sufficient liquidity to discharge liabilities falling due within one year from the balance sheet date.

Having regard to the above, nothing has come to our attention which causes us to believe that any material uncertainty exists as on the date of this audit report regarding the Companys ability to meet its liabilities existing at the balance sheet date as and when they fall due within a 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. Our reporting is based on facts up to the date of the audit report, and we neither give any guarantee nor any assurance that all liabilities falling due within one year from the balance sheet date will get discharged by the Company as and when they fall due.

(xx) In respect of Corporate Social Responsibilities

On the basis of examination of the records and books of accounts, provisions related to Corporate Social Responsibility (CSR) defined under section 135 of the Act are not applicable to the company. Accordingly, provisions of the said Clause (xx) are not applicable to the company.

(xxi) In respect of Consolidated Financial Statement

Since the company is not liable to prepare Consolidated Financial Statements, the provisions of the said Clause (xxi) are not applicable to the company.

ANNEXURE "B" TO THE INDEPENDENT AUDITORS REPORT

(On the Financial Statements of Beryl Drugs Limited for the year ended 31st March 2026)

(Referred to point 3A(f) of paragraph VIII under Report on Other Legal and Regulatory Requirements section of our Report of even date)

Report on the Internal Financial Controls with reference to the aforesaid financial statements under Clause (i) of Sub-section 3 of Section 143 of the Act

I. Opinion

We have audited the internal financial controls with reference to financial statements of Beryl Drugs Limited ("the Company") as of March 31, 2026 in conjunction with our audit of the financial statements of the Company for the year ended on that date.

In our opinion, the Company has, in all material respects, an adequate internal financial controls with reference to financial statements and such internal financial controls with reference to financial statements were operating effectively as at March 31, 2026, based on the internal control with reference to financial statements criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India (ICAI) (the "Guidance Note").

II. Managements and Board of Directors Responsibilities for Internal Financial Controls

The Companys Management and the Board of Directors are responsible for establishing and maintaining internal financial controls based on the internal financial controls with reference to financial statements criteria established by the Company considering the essential components of internal control stated in the Guidance Note. 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 Act.

III. Auditors Responsibility

Our responsibility is to express an opinion on the Companys internal financial controls with reference to financial statements based on our audit. We conducted our audit in accordance with the Guidance Note and the Standards on Auditing, prescribed under Section 143(10) of the Act, to the extent applicable to an audit of internal financial controls with reference to financial statements. 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 controls with reference to financial statements were 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 with reference to financial statements and their operating effectiveness. Our audit of internal financial controls with reference to financial statements included obtaining an understanding of internal financial controls with reference to financial statements, 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 judgement, 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 with reference to financial statements.

IV. Meaning of Internal Financial Controls with Reference to Financial Statements

A companys internal financial controls with reference to financial statements 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 controls with reference to financial statements include 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 authorizations of management and directors of the company; and
(3) Provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of the companys assets that could have a material effect on the financial statements.

V. Inherent Limitations of Internal Financial Controls with Reference to Financial Statements

Because of the inherent limitations of internal financial controls with reference to financial statements, 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 with reference to financial statements to future periods are subject to the risk that the internal financial controls with reference to financial statements may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

Date: 28/05/2026

Place: Indore