Happy Square Outsourcing Services Ltd Auditor Reports

To the Members of

Happy Square Outsourcing Services Limited as Happy Square Outsourcing Services Private Limited) (Formerly known Report on the Audit of the Standalone Financial Statements Opinion

Financial Statements of Happy Square Outsourcing We have audited the accompanying Standalone Outsourcing Services Private Limited) (“the Limited (formerly known as Happy Square Services Loss, Sheet as at 31 March 2026, the Statement of Profit and Company”), .which comprise the Balance ended, and the notes to the Standalone Financial the Statement of Cash Flows for the year then policies and other explanatory information Statements, including a summary of significant accounting referred to as the Standalone Financial Statements)." (hereinafter and according to the explanations given to us, the In our opinion and to the best of our information give the information required by the aforesaid Standalone Standalone Financial Statements manner so required and give a true and fair view Companies Act, 2013 as amended (“the Act ) in the accepted in India, including the Accounting in conformity with the accounting principles generally Companies Act, 2013 read with the Companies Standards specified under Section 133 of the (Accounts) Rules, 2014.."

Basis for Opinion

Statements in accordance with the Standards on We conducted our audit of the Standalone Financial the Companies Act, 2013. Our responsibilities (SAs) specified under section 143(10) of Auditing of the in the Auditors Responsibilities for the Audit under those Standards are further described

. We are independent of the Company in Financial Statements section of our report Standalone the Institute of Chartered Accountants of India together accordance with the Code of Ethics issued by audit of the Standalone Financial Statements the ethical requirements that are relevant to our with our Act, 2013 and the Rules thereunder, and we have fulfilled under the provisions of the Companies requirements and the Code of Ethics. We ethical responsibilities in accordance with these other for is sufficient and appropriate to provide a basis believe that the audit evidence we have obtained opinion on the Standalone Financial Statements. our audit

Key Audit Matter

Capitalisation of Internally Developed HR Software and Data Library	How our audit addressed the matter
(Refer Note 26(8) to the Standalone Standalone Financial Statements)	Our audit procedures included evaluating the Companys accounting policy, reviewing the feasibility report and project completion documents, testing the expenditure capitalised on a sample basis, assessing managements evaluation of future economic benefits, useful life and impairment, and evaluating the adequacy of the related financial statement disclosures.
During the year, the Company capitalised expenditure incurred on the development of internally generated HR Software and Data Library as intangible assets. The recognition of these assets involved significant management judgement in assessing compliance with the recognition criteria prescribed under AS 26 - Intangible Assets, including feasibility report, future economic benefits, identification of directly attributable development costs, useful life and impairment assessment.
Considering the significance of the amount capitalised and the judgement involved, this matter was considered to be a Key Audit Matter.

Managements Responsibility for the Standalone Financial Statements

1. The Companys Board of Directors are responsible for the matters stated in section 134(5) of the Companies Act 2013 (“the Act”) with respect to the preparation of these Standalone Financial Statements that give a true and fair view of the Financial position, Financial performance and cash flows of the Company in accordance with the accounting principles generally accepted in India including the Accounting standards specified under section 133 of the act. This responsibility also includes maintenance of adequate accounting records in accordance with the provisions ofthe Act for safeguarding 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 Standalone Financial Statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.

2. In preparing the Standalone Financial Statements, management is responsible for assessing the Companys ability to continue as a going concern and, where applicable, disclosing matters relating to going concern and using the going concern basis of accounting unless management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so."

3. The Board of Directors are also responsible for overseeing the Companys Financial reporting process.

Auditors Responsibilities for the Audit of the Standalone Financial Statements

1. Our objectives are to obtain reasonable assurance about whether the Standalone 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 ofthese Standalone Financial Statements.

2. As part of an audit in accordance with SAs, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

3. Identify and assess the risks of material misstatement of the Standalone 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.

4. Obtain an understanding of Internal Financial controls relevant to the audit in order to design audi > procedures that are appropriate in the circumstances. Under section 143(3)(i) of the Companies Act -

2013, we are also responsible for expressing our opinion on whether the Company has adequate Internal Financial controls system in place and the operating effectiveness of such controls.

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

6. 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 Standalone 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.

7. Evaluate the overall presentation, structure and content of the Standalone Financial Statements, including the disclosures, and whether the Standalone Financial Statements represent the underlying transactions and events in a manner that achieves fair presentation.

Materiality is the magnitude of misstatements in the Standalone Standalone Financial Statements that, 8. or in aggregate, makes it probable that the economic decisions of a reasonably individually knowledgeable user of the Standalone Financial Statements may be influenced. We consider materiality and qualitative factors in (i) planning the scope of our audit work and in quantitative evaluating the results of our work; and (ii) to evaluate the effect of any identified misstatements in the Standalone Financial Statements.

We communicate with those charged with governance regarding, among other matters, the planned 9. 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

10 . requirements regarding independence, and to communicate with them all relationships and ethical matters that may reasonably be thought to bear on our independence, and where applicable, other related safeguards.

Report on Other Legal and Regulatory Requirements by the Companies (Auditors Report) Order, 2020 (“the Order”), issued by the Central 1. As required Government of India in terms of sub-section (11) of section 143 of the Companies Act, 2()[_3, we

2. As required by section 143 (3) of the Act, we report that: a) We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purpose of our audit; b) In our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books.

c) The Balance Sheet, the Statement of Profit and Loss and the Statement of Cash Flows dealt with by this Report are in agreement with the books of account: d) In our opinion, the aforesaid Standalone Financial Statements comply with the Accounting Standards specified under Section 133 of the Companies Act, 2013 read with Rule 7 of the Companies (Accounts) Rules, 2014. e) On the basis of written representations received from directors as on March 31, 2026 taken on record by the Board of Directors, none of the directors are disqualified as on March 31, 2026 from being appointed as a director in terms of Section 164(2) of the Act. f) Reporting with respect to the adequacy ofthe internal Financial controls over Financial reporting of the Company and the operating effectiveness of such controls, refer to our separate Report in “Annexure B". Our report expresses an unmodified opinion on the adequacy and operating effectiveness of the Companys internal Financial control over Financial reporting. g) With respect to the other matters to be included in the Auditors Report in accordance with the requirements of section 197(16) of the Act, as amended: In our opinion and to the best of our information and according to the explanations given to us, the remuneration paid by the Company to its directors during the year is in accordance with the provisions of section 197 read with Schedule V of the Act. h) 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, 2020, in our opinion and to the best of our information and according to the explanations given to us:

are no pending litigations as on 31st March 2026 which have a material impact on the Financial i There position on the operations of the company. company did not have any long-term contracts including derivative contracts for which there were ii The any foreseeable losses. no amounts which were, required to be transferred, to the Investor Education and Protection iii There were Fund by the Company. funds or share premium or any other sources or kind of funds) by the Company to or in any other persons or entities, including foreign entities (“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 (“Ultimate Beneficiaries”) by or on behalf of the Company or Provide any guarantee, security or the like to or 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 ?)Based on such audit procedures performed that have been 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 (i) and (ii) of rule 11(e) of the companies (Audit and Auditors) rules, 2014 contain any material mis-statement. v. No dividend has been declared or paid during the year by the company. vi .The reporting under Rule 11(g) of the Company (Audit and Auditors) Rules, 2014 is applicable from 01% April, 2023. Based on our examination, which included test checks, the Company has used accounting software for maintaining its books of account which has a_feature of recording audit trail (edit log) facility and the same has operated throughout the year for all relevant transactions recorded in the software. We did not come across any instance of the audit trail feature being tampered with.

ANNEXURE "A" TO THE INDEPENDENT AUDITORS REPORT

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

Report under the Companies (Auditors Report) Order, 2020 (""the Order)

Based on the audit procedures performed for the purpose of reporting a true and fair view on the financial statements of Happy Square Outsourcing Services Limited ("the Company") (formerly known as Happy Square Outsourcing Services Private Limited) and taking into consideration the information and explanations given to us and the books of account and other records examined by us in the normal course of audit, we report that:

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

(i)(a)(A) The Company has maintained proper records showing full particulars, including quantitative details and situation of its Property, Plant and Equipment.

(i)(a)(B) The Company has maintained proper records showing full particulars of its intangible assets.

(i)(b) The Property, Plant and Equipment have been physically verified by the management during the year in accordance with a regular programme of verification which, in our opinion, is reasonable having regard to the size of the Company and the nature of its assets. No material discrepancies were noticed on such verification.

(i)(?) According to the information and explanations given to us and the records examined by us, the title deeds of all immovable properties disclosed in the financial statements are held in the name of the Company.

(i)(d) The Company has not revalued its Property, Plant and Equipment (including Right-of- Use assets) or intangible assets during the year.

(i)(e) According to the information and explanations given to us, no proceedings have been initiated or are pending against the Company for holding any benami property under the Prohibition of Benami Property Transactions Act, 1988 (as amended) and the rules made thereunder.

(ii) Inventory and Working Capital does not hold any inventory. Accordingly, Company is engaged in rendering services and (a) The clause 3(ii)(a) of the Order is not applicable. to us, the Company has not obtained working According to the information and explanations given (b) institutions during the year of 5 crore, in aggregate, from banks or financial capital limits in excess on the basis of security of current assets.

Guarantees, Security and Loans (iii) Investments, granted an advance in the nature of loan to- (a) During the year,the Company has

Limited, an entity in which Key Managerial White Force Outsourcing Services Private (0] having an their relatives are interested/significantly influence, Personnel and/or \43,70,187.94 as at 31 March 2026; and outstanding balance of

belonging to the promoter group, having an (ii) Mr. Shailesh Rajpal a related party

.00 as at 31 March 2026. outstanding balance 0f%11,08,636

conditions regarding repayment have been is interest-free and no formal terms and (b) The advance stipulated . unable to comment on the regularity of schedule has been stipulated, we are (c) Since no repayment of principal and payment of interest. repayment of reporting overdue amounts does of a stipulated repayment schedule, the question (d) In the absence not arise. the year has been renewed or extended, advance in the nature of loan falling due during (e) No loan or to settle the over dues of existing loans. nor has any fresh loan been granted without specifying any terms or period has granted advances in the nature of loans (f) The Company as follows: outstanding at the balance sheet date are of repayment. The balance Services Private Limited %43,70,187.94

. White Force Outsourcing o Mr. Shailesh Rajpal % 11,08,636.00 with Sections 185 and 186 (iv) Compliance

(v) Deposits

The Company has not accepted any deposits or amounts deemed to be deposits within the meaning of Sections 73 to 76 of the Companies Act, 2013 and the Rules framed thereunder. Accordingly, clause 3(v) of the Order is not applicable.

(vi) Cost Records

The Central Government has not prescribed maintenance of cost records under Section 148(1) of the Companies Act, 2013 in respect of the activities carried on by the Company. Accordingly, clause 3(vi) is not applicable .

(vii) Statutory Dues

(a) The Company is generally regular in depositing undisputed statutory dues including Goods and Services Tax, Provident Fund, Employees State Insurance, Income-tax, Sales Tax, Service Tax, Customs Duty, Excise Duty, Value Added Tax, Cess and other statutory dues applicable to it with the appropriate authorities.

According to the information and explanations given to us, there were no undisputed statutory dues outstanding for more than six months as at the balance sheet date.

(b) According to the records of the Company, the following statutory dues have not been deposited on account of disputes:NIL

(viii) Unrecorded Income

According to the information and explanations given to us, there were no transactions not recorded in the books of account which were surrendered or disclosed as income during the year in tax

assessments under the Income-tax Act, 1961.

(ix) Borrowings

(a) The Company has not defaulted in repayment of loans or borrowings or in payment of interest thereon.

(b) The Company has not been declared a wilful defaulter by any bank, financial institution or government authority.

(c) Term loans have been applied for the purpose for which they were obtained. (d) Funds raised on short-term basis have not been utilised for long-term purposes.

(e) The Company has not taken funds from any entity or person to meet obligations of subsidiaries.

(f) The Company has not raised loans on the pledge of securities held in subsidiaries, associates or joint ventures.

(x) Public Offer / Private Placement

(a) During the year, the Company raised funds by way of an Initial Public Offer (IPO). In our opinion and according to the information and explanations given to us and based on the records examined by us, the funds so raised have been applied for the purposes for which they were raised, namely deployment towards the working capital requirements of the Company. No funds raised through the IPO have been diverted for any purpose other than those stated in the offer document.

(b) During the year the Company has not made any preferential allotment or private placement of shares or convertible debentures and has complied with the provisions of Sections 42 and 62 of the Companies Act, 2013.

(xi) Fraud

(a) No fraud by the Company or on the Company has been noticed or reported during the course of our audit.

(b) No report under Section 143(12) of the Companies Act, 2013 has been filed.

(?) According to the information and explanations given to us, no whistle-blower complaints were received during the year.

(xii) Nidhi Company

The Company is not a Nidhi Company. Accordingly, clause 3(xii) is not applicable.

(xiii) Related Party Transactions

In our opinion, the Company has complied with Sections 177 and 188 of the Companies Act, 2013 with respect to related party transactions, wherever applicable, and the details have been appropriately disclosed in the financial statements in accordance with the applicable Accounting Standards.

(xiv) Internal Audit

(a) The Company has an internal audit system commensurate with the size and nature of its business. (b) The reports of the Internal Auditors for the period under audit have been considered by us. (xv) Non-cash Transactions

The Company has not entered into any non-cash transactions with directors or persons connected with them. Accordingly, Section 192 of the Companies Act, 2013 has been complied with.

(xvi) RBI Act

(a) The Company is not required to be registered under Section 45-IA of the Reserve Bank of India

Act, 1934.

(b) The Company has not conducted any Non-Banking Financial or Housing Finance activities. (?) The Company is not a Core Investment Company.

(d) There is no Core Investment Company within the Group.

(xvii) Cash Losses

The Company has not incurred cash losses during the financial year and the immediately preceding financial year.

(xviii) Resignation of Statutory Auditors

There has been no resignation of the statutory auditors during the year.

(xix) Material Uncertainty

On the basis of the financial ratios, ageing and expected realisation of financial assets and payment of financial liabilities, other information accompanying the financial statements, and our knowledge of the Board of Directors plans, nothing has come to our attention which causes us to believe that any material uncertainty exists as on the date of the audit report indicating that the Company is not capable of meeting its liabilities existing at the balance sheet date as and when they fall due within a period of one year.

(xx) Corporate Social Responsibility

(@) There is no unspent amount under Section 135(5) requiring transfer to a Fund specified in Schedule VIL

(b) There is no amount remaining unspent under Section 135(6) requiring transfer to a Special Account.

(xxi) Consolidated Financial Statements

The reporting under clause 3(xxi) of the Order is not applicable in respect of the standalone financial statements.

Annexure "B" to the Independent Auditors Report

(Referred to in paragraph 2(f) under "Report on Other Legal and Regulatory Requirements" of our Independent Auditors Report of even date)

Report on the Internal Financial Controls with reference to Financial Statements under Clause (i) of Sub-section (3) of Section 143 of the Companies Act, 2013 ("the Act)

We have audited the internal financial controls with reference to the Financial Statements of Happy Square Outsourcing Services Limited ("the Company") as at 31 March 2026 in conjunction with our audit of the standalone Financial Statements of the Company for the year then ended.

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 31 March 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.

MANAGEMENTS RESPONSIBILITY FOR INTERNAL FINANCIAL CONTROLS

The Companys management is responsible for establishing and maintaining internal financial controls 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.

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 the Companys policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Companies Act, 2013.

AUDITORS RESPONSIBILITY

Our responsibility is 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 on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India and the Standards on Auditing prescribed under Section 143(10) of the Companies Act, 2013, to the extent applicable to an audit of internal financial controls. Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls with reference to financial statements were established and maintained and whether 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 such internal financial controls, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal controls based on the assessed risk. The procedures selected depend on the auditors judgment, including the assessment of the risks of material misstatement of the financial statements, whether due to fraud or error.

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the Companys internal financial controls with reference to financial statements.

MEANING OF INTERNAL FINANCIAL CONTROLS OVER FINANCIAL REPORTING

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 control over financial reporting includes those policies and procedures that

1) Relate 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.

INHERENT LIMITATIONS OF INTERNAL FINANCIAL CONTROLS OVER

FINANCIAL REPORTING

Because of the inherent limitations of internal financial controls over financial reporting, including the possibility of collusion or improper management override of controls, material misstatements whether due to error or fraud may occur and not be detected. Also, projections of any evaluation of the internal financial controls over financial reporting to future periods are subject to the risk that the internal financial control over financial reporting may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

OPINION

In our opinion, the Company has, in all material respects, an adequate internal financial controls system with reference to financial statements and such internal financial controls were operating effectively as at 31 March 2026, based on the 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.

CA Jyoti Asrani Partner MN: 079966

UDIN No.: 26079966ZXHRYN4457

Date: 03 June, 2026 Place: Jabalpur