Ganon Products Ltd Directors Report

The Members

GANON RPODUCTS LIMITED

Your directors have pleasure in presenting the 40^th Annual Report on the business and operations of the Company and the accounts for the financial year ended March 31, 2025.

Business Performance and Financial Highlights

Certain key aspects of the Companys performance during financial year ended March 31, 2025, as compared to previousfinancial year are summarized as

Particulars	Rs. In Lakhs (Except EPS)
	2024-25	2023-24
Gross Operating Income	1,707.35	2,790.36
Add: Other Income	187.03	140.95
Total Income	1,894.38	2931.00
Profit Before Interest, Depreciation and Exceptional items	1978.68	2967.61
Less: Finance Charges	90.15	53.04
Less: Provision for Amortization and Depreciation	-	-
Profit Before Exceptional Items	5.86	16.74
Less: Exceptional Items	-	-
Net Profit / (Loss) Before Tax	5.86	16.74
Less: Current Tax	1.50	4.00
Less: Deferred Tax Liability / (Asset)	-	-
Net Profit / (Loss) After Tax	4.36	12.74
Other Comprehensive Income (OCI)	-	-
Total Comprehensive Income	4.36	12.74
EPS	0.05	0.14

Operational Review

During the year under review, Company achieved a good number of Sales. The total income of the company for the said period decreased by Rs. 1036.62 Lakhs and stood at Rs. 1,894.38 Lakhs as against Rs. 2,931 Lakhs in the last year. The net profit after tax during the year is Rs. 4.36 lakhs as compared to net loss after tax for the previous financial year stood at Rs. 12.74. In terms of the Ministry of Corporate Affairs (MCA) notification dated February 16, 2015, the Company has adopted IND-AS in its financial reporting effective FY 2017-18.

Dividend

The Board of Directors of your Company do not recommend any Dividend on equity shares for the FY 2024-25.

Transfer to Reserves

During FY 2024-25, no amount has been transferred to the general reserves / retained earnings of the Company.

Share Capital

The Paid-up Equity Share Capital of the Company as on March 31, 2025 is Rs. 933.10 lakhs comprising 93,31,000

Equity shares of Face Value of Rs. 10/- each. During the year under review, Your Company does not have any Employee Stock Option Scheme or Employee Stock Purchase Scheme.

Internal Financial Control Systems and its adequacy

The Company has adequate internal financial controls and procedures commensurate with its size and nature of operations with reference to financial statements. During the year such controls were tested and no reportable material weaknesses in the design or operation were observed.

Stock Exchange Listing & Compliances

The Equity Shares of your company are continued to be listed on Bombay Stock Exchange Limited, Mumbai. The company confirms that the Annual Listing fees to Bombay Stock Exchange Limited has been paid and is up to date.

NSDL & CDSL, Depositories are providing their services to our valued shareholders/ members. Your company has paid Annual Fees to all of them for the financial year 2024-25.

Public Deposits

During the year under review, company has not accepted any deposits from public within the meaning of Chapter V of the Companies Act, 2013 ("The Act").

Joint Ventures or Associates or Subsidiary Companies

During the period under review, the company has no joint ventures, associates or subsidiary company

Significant or Material Orders passed by Regulators / Courts

During the year underreview,nosignificantor material orders were passed by the Regulators or Courts or Tribunals which impact the going concern status and the Companys operations in the future.

Secretarial Standards

During the year under review, your Company has complied with all the applicable standards. The same has also been confirmed by Secretarial Auditors of the Company. Company has conducted all of its meetings of Board and relevant committee meetings and drafted its minutes in accordance with the SS-1 and SS-2 standards issued by the Institute of Company Secretaries of India.

Business Risk Management

Pursuant to Section 134(3)(n) of the Companies Act, 2013, the Company has constituted a Business Risk Management

Committee. The details of the committee and its terms of reference are set out in the Corporate Governance Report forming a part of the Boards report. At present, there are no risks which, in the opinion of the Board, threaten the existence of the Company.

Vigil Mechanism / Whistle Blower Policy

Pursuant to the provisions of Sections 177(9) and (10) of the Companies Act, 2013, and Regulation 22 of Listing Regulations, your Company has established a vigil mechanism for the Directors and employees of the Company to report concerns about unethical behavior, actual or suspected incidents of fraud or violation of Code of Conduct. The details of the vigil mechanism whistle blower policy are provided in the Corporate Governance Report. The Code of Conduct is also uploaded on the website of the Company.

Conservation of Energy, Technology Absorption and Foreign Exchange Earnings and Outgo

The details of conservation of energy, technology absorption, foreign exchange earnings and outgo as required to be disclosed under Section 134(3)(m) of the Companies Act 2013 read with Rule 8 of the Companies (Accounts) Rules 2014 are appended as Annexure I.

Corporate Governance and Management Discussion and Analysis Report

Pursuant to Regulation 34 and 34 (3) of the Listing Regulations, the Corporate Governance Report together with the of the Company regarding compliance with the requirements of Corporate Governance certificate and Management Discussion and Analysis Report, which form an integral part of this Report, is set out as Annexure II and Annexure III respectively.

Particulars of Employees

Particulars of employees in accordance with the provisions of Section 197 of the Companies Act, 2013, read with

Rule 5(2) of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 are not given, as there are no employees in the Company drawing remuneration of more than Rs. 8,50,000/- rupees per month and Rs. 1,02,00,000/-per annum.

Board Evaluation

Pursuant to the provisions of the Companies Act, 2013 and Regulation 17 of the Listing Regulations, the Board has carried out an annual performance evaluation of its own performance, the directors individually as well as the evaluation of the working of the Committees. The way the evaluation has been carried out has been explained in the Corporate Governance Report.

Remuneration Polic:

Pursuant to Section 178 of the Companies Act, 2013, The Board has on the recommendation of the Nomination and Remuneration Committee, framed a policy for selection and appointment of Directors, Senior Management and their remuneration.

Prevention, prohibition and redressal of sexual harassment at workplace

In order to prevent sexual harassment of women at workplace, your Company has adopted a policy for prevention of

Sexual Harassment of Women at workplace and has set up an Internal Committee under the Sexual Harassment of

Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013 to look into the complaints relating to sexual harassment at workplace of any woman employee. During the year under review, your Company has not received any complaint pertaining to sexual harassment and no complaint was pending as on March 31, 2025.

Industrial Relations

The industrial relations with staff and workers during the year under review continue to be cordial.

Particulars of loans, guarantees or investments under Section 186

The Company has not given any loans covered under the provisions of Section 186 of the Companies Act, 2013. The details of guarantees and investments made by Company are given in the notes to the financial statements.

Corporate Social Responsibility (CSR)

The CSR initiatives of the Company are aligned with the business strategies. During the year under review, provisions relating to the Corporate Social Responsibility were not applicable to your Company. Accordingly, no CSR committee has been formed for the year.

Directors Responsibility Statement

Pursuant to Section 134(3)(c) and 134(5) of the Companies Act, 2013, your Directors confirm that -

(a) in the preparation of the annual accounts, the applicable accounting standards have been followed along with proper explanation relating to material departures, if any; (b) 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 a true and fair view of the state of affairs of the Company as at March 31, 2025 and of the loss of the Company for the year ended on that date; (c) the directors have taken proper and sufficient care for accordance with the provisions of this Act for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities; (d) the annual financial statements have been prepared on a going-concern basis; (e) the directors have laid down internal financial controls to be followed by the Company and that such internal financial controls are adequate and were operating effectively.

(f) the directors have devised proper systems to ensure compliance with the provisions of all applicable laws and that such systems were adequate and were operating effectively.

Declaration by Independent Directors

The Independent Directors have given the declaration pertaining to the criteria of independence as per Section 149 (6) of the Act. The Company has provided suitable training to independent directors to familiarize them with the

Company, their roles, rights, responsibilities in the Company, nature of the industry in which the Company operates and business model of the Company.

Board of Directors and Key Managerial Personnel

The Board of Directors of the Company is duly constituted, maintaining proper balance of Executive, Independent Non-Executive Directors and Women Director. As per the provisions of Companies Act, 2013, Ravindra Gopale by rotation at the ensuing AGM and being eligible, seeks re-appointment. Brief profile of the director being re-appointed or appointed as required under regulation 36(3) of listing regulations and secretarial standards on general meetings are provided in the Notice of Forth coming

Annual General Meeting of the company.

Further after conclusion of F.Y. 2024-25 and before this 40^th Annual General Meeting, the board of directors appointed Mrs. Rashmi Ranjeet Kumar as Additional Non-Executive Independent Director of the Company w.e.f.

03rd September, 2025 and proposal for his regularization also been proposed to the shareholders for their approval w.e.f. 30th September, 2025.

Ms. Priya Goyal has appointed as CompanysecretaryandComplianceofficerof the Company w.e.f. 01 st Jully, 2025

Ms. Gayatri Sapkal has appointed as Additional Non-Executive and Non-Independent Director of the Company w.e.f. 12^th May, 2025

Mr. Sanjay Sood and Ms. Roopal Sood have resigned as non-executive independent Director w.e.f. 20^th March, 2025. Mr. Anand Mahadevan has appointed as Additional Non-Executive Independent Director w.e.f. 20^th March, 2025 and proposal for his regularization also been proposed to the shareholders for their approval w.e.f. 30th September, 2025.

Ms. Pooja Shah has resigned as Director w.e.f. 10^th February, 2025

Mr. Abhijeet Kacharu Jagtap has appointed as Additional Executive Director w.e.f. 21^st January, 2025 and proposal for his regularization also been proposed to the shareholders for their approval w.e.f. 30th September, 2025.

Mr. Tanmay Ashok Karwal has appointed as Additional non-executive non-independent Director w.e.f. 21^st January,

2025 and proposal for his regularization also been proposed to the shareholders for their approval w.e.f. 30th September, 2025.

Mr. Rachit Sinha has appointed as Company secretary of the Company w.e.f. 29^th August, 2024 and resigned as Company Secretary of the Company w.e.f. 15th September, 2024.

Mr; Jay Nareshbhai Sanghvi has resigned as Company Secretary of the Company w.e.f. 02^nd June, 2024.

All the Independent, Non-executive Directors of the Company have given declarations that they meet the criteria of independence as prescribed under Section 149(6) of the Act and Regulation 16(1)(b) of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 ("Listing Regulations") and that they are not aware of any circumstance or situation, which exist or may be reasonably anticipated, that could impair or impact their ability to discharge duties with an objective, independent judgment and without any external influence.

In the opinion of the Board, all Independent Directors are independent of the management.

Number of Board Meetings

During the year under review, 5 (Five) Board Meetings and 13 (Thirteen) Committee Meetings were convened and held, the details of which are given in the Corporate Governance Report. The maximum gap between any two consecutive Board meetings did not exceed 120 days.

Material Changes and Commitments

There have been no material changes and commitment which affect the financial position of the company which have occurred between the end of the financial year to which the financial statements relate and the date of this report.

Particulars of contracts or arrangements with Related Parties:

Particulars of every contract or arrangement entered into by the Company with related parties referred to in subsection (1) of Section 188 of the Companies Act, 2013, including certain arms length transactions, under third proviso thereto are disclosed in Form No. AOC-2 at Annexure IV.

Statutory Auditors and Auditors Report

M/s. L K J AND ASSOCIATES LLP (Formerly Known as R V Luharuka & Co LLP), Chartered Accountants (ICAI Firm

Registration 105662W/W100174) were reappointed as Statutory Auditors of the Company for a period of 5 (five) years commencing from the conclusion of 38th Annual General Meeting till the conclusion of 43rd Annual General Meeting of the Members of the Company, at a remuneration to be fixed by the Board of Directors every year in consultation with the auditors. The Board have proposed reappointment of the Statutory Auditors for a period of 5 (five) years. The Statutory Auditors have issued their reports on Financial Statements for the financial year ended 31st March 2025. There are no adverse remarks or qualifications in the said report. The Notes on Accounts referred to in the

Auditors Report are self-explanatory and do not call for any further comments.

However, M/s. L K J AND ASSOCIATES LLP (Formerly Known as R V Luharuka & Co LLP), Chartered Accountants the Statutory Auditor of the Company has resigned before the completion of their term w.e.f. 16th June, 2025, the Board of Directors in their meeting held on 10^th July, 2025, proposed the name of M/s. Vijay Darji & Associates. to be appointed as the new Auditors of the Company, which is subject to the approval of the members in the upcoming Annual General Meeting.

Details of Fraud Reporting by Auditors

As per Auditors report, no fraud under Section 143(12) of the Companies Act, 2013 and rule 13(3) of the Companies (Audit and Auditors) Rules, 2014 is reported by the Auditor.

Boards comment on the Auditors Report

The observations of the statutory auditors when read together with the relevant notes to the accounts and accounting policies are self-explanatory and do not call for any further comments.

Secretarial Audit Report

In terms of Section 204 of the Act and rules made there under, HRU & Associates, Practicing Company Secretary, has been appointed Secretarial Auditor of the Company for the year 2024-25. The Secretarial Audit report issued by them in Form No. MR-3 is enclosed at Annexure V to this report. The qualifications in the Secretarial Auditors report for the year 2024-25 have been appropriately dealt with at the respective areas.

General

No disclosure or reporting is required in respect of the following items as there were no transactions during the year under review:

1. Details relating to deposits covered under Chapter V the Act.

2. Issue of equity shares with differential rights as to dividend, voting or otherwise.

3. Issue of shares (including sweat equity shares) to employees of the Company under any scheme material orders 4. Nosignificant were passed by the regulators or court or tribunals which impact the going concern status and Companys operation in future.

Acknowledgements

The Company wishes to place on record its sincere appreciation of all, with whose help, co-operation and consistent efforts, the Company is able to achieve these results.

For and on behalf of the Board of Directors

Madanlal Goyal

Chairman and Director

 

Place: Mumbai

Date: 03rd September, 2025