HRH Next Services Ltd Directors Report

To

The Members

HRH Next Services Limited

Your Directors take pleasure in presenting the 19th (Nineteenth) Annual Report together with the Audited Balance Sheet and the Statement of Profit or Loss for the period ended 31^st March 2025 along with the Directors Report & Statutory Auditors Report of your Company.

1. FINANCIAL HIGHLIGHTS:

The Companys financial performance, for the year ended 31 ^st March 2025 is summarized below:

(Rupees in Lakhs)

Particulars	2024-25	2023-24
Revenue from Operations	5,784.17	4,537.08
Other Income	76.31	39.84
Total Income	5,860.47	4,576.92
Profit before Finance Cost, Depreciation and Tax	918.36	690.85
Finance Cost	193.90	156.10
Depreciation	326.44	252.96
Profit before Exceptional and Extraordinary items	398.02	281.79
and tax
Extraordinary & Prior Period items	-	-
Profit Before Tax	398.02	281.79
Less: Current tax	46.56	95.28
Deferred Tax Liability	66.09	(14.54)
Earlier Year Tax	(28.62)	16.79
Profit After Tax	313.99	184.26

2. FINANCIAL PERFORMANCE:

In the Financial Year 2024 25, the Company sustained its upward momentum, achieving revenue from operations of Rs. 5,784.17 Lakhs and a profit aftertax of-tegic execution, and favorable market conditions, the Company is well-positioned to strengthen its growth prospects further.

3. REVIEW OF BUSINESS OPERATIONS, STATE OF COMPANYS AFFAIRS AND FUTURE PROSPECTS:

The Company is engaged in Business Process Outsourcing (BPO) sector, providing a range of call center and support services, including inbound officeoperations, chat and outboundcallhandling,back-email support, and other related customer interaction services.

4. CHANGE IN NATURE OF BUSINESS

During the financial year under review, there was no changes in the nature of its business.

5. NAMES OF THE SUBSIDIARIES/ASSOCIATES/JOINT VENTURES:

Your Company has no Subsidiaries, Associates and Joint Ventures during the financialyear under review.

6. MATERIAL EVENTS DURING THE FINANCIAL YEAR: material changes and commitments affecting financial position of the company Therewerenosignificant during the financial year under review.

7. DIVIDEND:

The Board of Directors has decided not to recommend any dividend for the financial year 2024 25, instead choosing to retain the profits to fund the Companys future growth and strategic initiatives.

8. CORPORATE GOVERNANCE REPORT:

During the financial year-end, the Company was classifiedas an SME listed entity. Accordingly, under Regulation 15(2)(a) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the mandatory Corporate Governance disclosure requirements are not applicable to the company.

Nevertheless, the Company voluntarily upholds strong governance principles, striving to ensure transparency, uphold accountability, and safeguard the confidence of its stakeholders.

9. TRANSFER TO RESERVES:

For the financial year ended on 31 ^st March 2025, the Company had transferred: a. Rs. 1,199.70 Lakhs to Securities Premium Account credit on Share issue by way of Preferential issue b. Rs. 313.99 Lakhs to the Statement of Profit & Loss account in Reserves & Surplus

10. DEPOSITS:

During the financial year under review the Company has not accepted any deposits in pursuance of Chapter V Companies (Acceptance of Deposits) Rules, 2014.

11. SHARE CAPITAL OF THE COMPANY: a) The Authorized Share Capital of the Company is Rs. 25,00,00,000/- divided into 2,50,00,000 equity shares of Rs. 10/- each. b) The issued and Paid-up share capital of the Company is Rs.13,20,44,380 /- divided into 1,32,04,438 equity shares of Rs. 10/- each.

The following are the changes in the share capital of the Company during the financial year under review:

c) Increase in Authorized Share Capital:

During the financial year under review, your Company has increased its Authorized Capital from Rs. 10,00,00,000 (Rupees Ten Crore Only) divided into 1,00,00,000 (One Crore) Equity Shares of Rs. 10/- each (Rupees Ten only) to Rs. 16,00,00,000 (Rupees Sixteen Crore Only) divided into 1,60,00,000 (One Crore Sixty Lakh) Equity Shares of Rs. 10/- (Rupees Ten only) each on August 9, 2024.

It was further increased from Rs. 16,00,00,000 (Rupees Sixteen Crore Only) divided into 1,60,00,000 (One Crore Sixty Lakh) Equity Shares of Rs. 10/- (Rupees Ten only) each to Rs. 25,00,00,000 (Twenty-Five Crore Only) divided into 2,50,00,000 (Two Crore Fifty Lakh) Equity Shares of Rs. 10/- each on

March 17, 2025. d) Further Issue of Equity Shares:

During the financial year under review, your Company has allotted 39,99,000 (Thirty-Nine Lakh Ninety-Nine Thousand) Equity Shares of Rs. 40/- each on September 20, 2024 on Preferential Basis.

During the year under review, except for issue of equity shares on preferential basis and granting of employee stock options, the company has not issued shares with differential voting rights nor sweat equity shares or bonus shares. The Company has not bought back any of its securities during the year under review.

12. EMPLOYEE STOCK OPTION SCHEME

The Company introduced an Employee Stock Option (ESOP) scheme, "HRH Next Services Limited Employee Stock Option Plan 2024" which helps the Company to attract and retain right talent. The Nomination and Remuneration Committee (NRC) administers the Companys ESOP scheme. There were no changes in the ESOP scheme during the financial year under review. The scheme is in compliance with the Securities and Exchange Board of India (Share-Based Employee Benefits and Sweat Equity) Regulations, 2021.

Following are the details of the ESOPs as on 31^st March 2025:

S. No. Details related to ESOPs	HRH Next Services Limited Employee
	Stock Option Plan 2024
1 Description of each ESOP that existed
at any times during the year, includ-
ing the general terms and conditions
of each ESOPs including
a. Date of Shareholders Approval	09th August 2025
b. Total no. of options approved un-	7,00,000 ESOPs
der ESOPs
c. Vesting Requirements	Shall vest not earlier than minimum Vesting
	Period of 1 year and not later than 3 years
	from the date of grant of options.
d. Exercise price or Pricing Formula	As decided by the Nomination and Remu-
	neration Committee
e. Maximum term of options grant-	3 years
ed
f. Source of shares (primary, sec-	Primary
ondary or combination)
g. Variation in terms of options	Not Applicable
2. Method used to account for ESOPs	Fair Value
3. Option movement during the year:
Number of options outstanding at the	Nil
beginning of the period
Adjustment on account of bonus issue	Nil
(if any)
No. of options granted during the	5,97,000 ESOPs
year
No. of options forfeited/lapsed	Nil
during the year
No. of options vested during the year	Nil
No. of options exercised during the	Nil
year
No. of shares arising as a result of ex-	Nil
ercise of options
Money realized by exercise of options	Nil
(INR), if scheme is implemented di-
rectly by the company
Loan repaid by the trust during the	Not Applicable
year from exercise price received
No. of option outstanding at the end	5,97,000 ESOPs
of the year
No. of options exercisable at the end	Nil
of the year
4. Weighted average exercise prices and	Not Applicable
weighted average fair values of op-
tions shall be disclosed separately for
options whose exercise price either
equals or exceeds or is less than the
market price of the stock

Disclosure in compliance with the Securities and Exchange Board of India (Share-Based Employee Benefits and Sweat Equity) Regulations, 2021 are available on the company website of the company at website URL: http://hrhnext.com/ Secretarial Auditor of the Company certifying that Further,acertificate the ("HRH ESOP 2024/ Plan") has been implemented in accordance with these regulations and in accordance with the resolution of the company in the general meeting is enclosed as Annexure-I.

13. TRANSFER TO INVESTOR EDUCATION AND PROTECTION FUND:

The Provisions of Section 125(2) of the Companies Act, 2013 does not apply as there was no dividend declared and paid during the last 7 years.

14. STATEMENT OF DEVIATION(S) OR VARIATION(S):

Out of the total proceeds i.e., Rs. 956.88 Lakhs raised by Initial Public Offer, Rs. 955.8 Lakhs were utilized towards the objects as stated in the prospectus. Balance unutilized funds of Rs 0.98/- Lakhs are lying in escrow account maintained with ICICI Bank as on 31^st March 2025.

Out of the total proceeds i.e., Rs. 1599.6 Lakhs raised by Preferential Issue of Equity Shares, the full amount was utilized towards the objects stated for raising as on 31^st March 2025.

15. EVENTS SUBSEQUENT TO THE DATE OF FINANCIAL STATEMENT:

There are no material changes and commitments that have occurred between the end of the financial year of the Company and date of this report which can affect the financial position of the Company.

16. DIRECTORS AND KEY MANEGERIAL PERSONNEL OF THE COMPANY:

The following are the Directors and Key Managerial Personnel of the Company:

1. Mr. Ankit Sanjay Shah	Managing Director (DIN: 00218044)
2. Mrs. Trishla Shah	Whole-time Director (DIN: 10242986)
3. Mr. Parikshit Pankaj Shah	Non-Executive Director (DIN: 00226712)
4. Mr. Srikanth Punati	Independent Director (DIN: 02425339)
5. Mrs. Neha Agarwal	Independent Director (DIN: 10270321)
6. Mr. Gangadhar Sherla	Chief Financial Officer (CFO)
7. Mr. Akash Tiwari	Company Secretary and Compliance Officer

17. RETIREMENT BY ROTATION:

Pursuant to provisions of Section 152 of the Companies Act, 2013, Mr. Parikshit Pankaj Shah (DIN: 00226712), Non-Executive Director will retire at the ensuing Annual General Meeting and being eligible, offers himself for re-appointment.

The Board recommends his re-appointment. The relevant details including profile of Mr. Parikshit Pankaj

Shah is included separately in the Notice of AGM forming part of this report.

18. DETAILS OF DIRECTORS OR KEY MANAGERIAL PERSONNEL APPOINTED OR RESIGNED DURING THE YEAR:

During the Financial year under review, there were no appointments or resignation or changes in Directors or Key Managerial Personnels during the financial year 2024-25.

19. COMMITTEES OF THE BOARD:

The Company constituted Audit Committee, Nomination and Remuneration Committee and Stakeholder Relationship Committee to comply with the provisions of the Companies Act, 2013.

1. AUDIT COMMITTEE:

The Audit Committee consists of:

i. Mr. Srikanth Punati (Non-Executive & Independent Director) - Chairperson; ii. Ms. Neha Agarwal (Non-Executive & Independent Director) Member; iii. Mr. Parikshit Pankaj Shah (Non-Executive Director) - Member.

All the recommendations made by the members of Audit Committee were accepted by the Board.

2. NOMINATION AND REMUNERATION COMMITTEE:

The Nomination and Remuneration Committee consists of: i. Mr. Srikanth Punati (Non-Executive & Independent Director) - Chairperson; ii. Ms. Neha Agarwal (Non-Executive & Independent Director) Member; iii. Mr. Parikshit Pankaj Shah (Non-Executive Director) - Member.

3. STAKEHOLDER RELATIONSHIP COMMITTEE:

The Stakeholder Relationship Committee consists of:

i. Mr. Srikanth Punati (Non-Executive & Independent Director) - Chairperson; ii. Ms. Neha Agarwal (Non-Executive & Independent Director) Member; iii. Mr. Ankit Sanjay Shah (Managing Director) - Member.

20. NUMBER OF BOARD MEETINGS/ COMMITTEE/ SHAREHOLDERS MEETINGS CONDUCTED DURING THE YEAR:

a. Board Meeting:

During the year financial year under review, the Board met 9 (Nine) times. The intervening gap between the Meetings was within the period prescribed under the Companies Act, 2013. Required quorum was present throughout each meeting as per the requirement of the said Act, the details of the same are given below:

Name of Director	Category	Number of Board meetings during the year 2024-25		Whether attended last AGM held on 09th August 2024	Number of Directorships in other Public Companies	Number of Committee position held in other Public Companies#
		Entitled to	Attended			Chairman	Member
		Attend
Mr. Ankit	Promoter,	9	9	Yes	Nil	Nil	Nil
Sanjay Shah	Executive
Mrs. Trishla	Professional,	9	9	Yes	Nil	Nil	Nil
Shah	Executive
Mr. Parikshit	Promoter,	9	9	No	Nil	Nil	Nil
Pankaj Shah	N o n -
	Executive,
	N o n -
	Independent
Mr. Srikanth	Independent	9	7	No	Nil	Nil	Nil
Punati
Mrs. Neha	Independent	9	8	Yes	Nil	Nil	Nil
Agarwal

The meeting of Committees of the Company held are as follows:: a. Audit Committee:

The Audit Committee met 3 (three) times during the financial year

Name of Director S. No.	Designation	No. of Meetings entitled to attend- ed	No. of Meetings attended
1 Mr. Srikanth Punati	Chairperson	3	3
2 Ms. Neha Agarwal	Member	3	3
3 Mr. Parikshit Pankaj Shah	Member	3	3

b. Nomination and Remuneration Committee:

The Nomination and Remuneration Committee met 4 (Four) time during the financial year.

S. No. Name of Director	Designation	No. of Meetings en- titled to attended	No. of Meetings attended
1 Mr. Srikanth Punati	Chairperson	4	4
2 Ms. Neha Agarwal	Member	4	4
3 Mr. Parikshit Pankaj Shah	Member	4	4

c. Stakeholders Relationship Committee:

The Stakeholders Relationship Committee met once during the financial year.

S. No. Name of Director	Designation	No. of Meetings enti- tled to attended	No. of Meetings attended
1 Mr. Srikanth Punati	Chairperson	1	1
2 Ms. Neha Agarwal	Member	1	1
3 Mr. Ankit Sanjay Shah	Member	1	1

21. DIRECTORS RESPONSIBILITY STATEMENT:

Pursuant to Section 134 (5) of the Companies Act, 2013, the Directors hereby confirm:

(i) That in the preparation of the annual accounts for the year ended 31^st March 2025, the applicable accounting standards had been followed along with proper explanation relating to any material departures; (ii) that the directors had 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 at the end of the financialyear 31 st March 2025 and of the profit or loss of the company for that period;

(iii) that the directors had taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of this Act for safeguarding the assets of the company and for preventing and detecting fraud and other irregularities;

(iv) that the directors had prepared the annual accounts for the period ended 31^st March 2025 on a going concern basis.

(v) has laid down internal financial controls to be followed by the company and that such internal financial controls are adequate and were operating effectively

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

22. STATEMENT ON DECLARATION GIVEN BY INDEPENDENT DIRECTORS UNDER SUBSECTION (7) OF SECTION 149 OF THE COMPANIES ACT, 2013:

The Independent Directors have submitted the Declaration of Independence, as required pursuant to Sub-

Section (7) Section 149 of the Companies Act, 2013 stating that they meet the criteria of Independence as provided in (6) of section 149 of Companies Act, 2013 and Regulation 16(1)(b) of the SEBI (Listing Obligations and Disclosures Requirements) Regulations, 2015.

23. COMPANYS POLICY ON DIRECTORS APPOINTMENT AND REMUNERATION INCLUDING CRITERIA FOR DETERMINING QUALIFICATIONS, POSITIVE ATTRIBUTES, INDEPENDENCE OF A DIRECTOR AND OTHER MATTERS PROVIDED UNDER SUB-SECTION (3) OF SECTION 178:

The Company follows a policy on remuneration of directors and other senior managerial personnel. The

Policy is recommended by the Nomination and Remuneration Committee and approved by the Board.

24. RELATED PARTY TRANSACTIONS:

During the financial year under review, the Company has not entered into contracts/ arrangements / transactions with related parties falling under the provisions of Section 188 of the Companies Act, 2013.

The Company has adopted a related party transactions policy and the said policy as approved by the board is uploaded on the Companys website https://hrhnext.com/policies/

25. MECHANISM FOR BOARD EVALUATION:

In accordance with the provisions of Schedule IV of the Companies Act, 2013, the Board of directors of the company has carried out an annual evaluation of its own performance, board committees and individual directors in the overall context of understanding of the Boards understanding of the Companys principles, core values, philosophy, and mission statement; strategic and business plans and demonstrating this through its action on important matters, the effectiveness of the Board and the respective Committees in providing guidance to the Management of the Company and keeping them informed, with open communication, the constructive participation of members and prompt decision making ,constructive participation in the discussion on the Agenda items.

The Directors evaluation was broadly based on the parameters such as understanding of the Companys vision, objective, experience, participation and attendance in Board/ Committee meetings; governance covering awareness and Observance and contribution to strategy; interpersonal skills and Value addition to the business aspects of the Company.

A structured questionnaire was prepared covering various aspects of the Boards functioning such as adequacy of the composition of the Board and its Committees, Board Culture, execution and performance of specific duties, obligations and governance.

Furthermore, a separate meeting of the Independent Directors was held to evaluate the performance of the Non-Independent Directors, the Board as a whole, and the Chairman, after considering the views of both

Executive and Non-Executive Directors. The meeting also reviewed the adequacy, timeliness, and quality of information flow between the Companys Management and the Board to ensure effective and well-informed decision-making. The performance of each Independent Director was evaluated by the entire Board, excluding the respective director under review.

26. CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE EARNINGS AND OUTGO:

As required by the provisions of section 134 Companies Act, 2013, the relevant information pertaining to conservation of energy, technology absorption and foreign exchange earnings and outgo are provided in

Annexure – II.

27. SIGNIFICANT & MATERIAL ORDERS PASSED BY THE REGULATORS: and material orders that were passed by the regulators or courts or tribunals Therewerenosignificant against your company.

28. ADEQUACY OF INTERNAL FINANCIAL CONTROLS:

The Company has effective Internal financial controls that ensure an orderly and business, including adherence to companys policies, safeguarding of its assets, prevention and detection of frauds and errors, accuracy and completeness of the accounting records, and timely preparation of reliable financial information.

There are adequate controls relating to strategic, operational, environmental and quality related aspects too.

While these controls have been effective throughout the year, these are reviewed on a periodic basis for any changes/ modifications to align to business needs.

29. PARTICULARS OF LOANS, GUARANTEES OR INVESTMENTS:

Except for the Non-Current Investments specified in Note No. 12 of the Financial Statements of the Company, there were no loans, guarantees or investments made by the Company under Section 186 of the Companies

Act, 2013 during the year under review.

30. UNSECURED LOANS FROM DIRECTORS/RELATIVES OF THE COMPANY

During the year under review, the Company has not accepted any amount as unsecured loans from Directors or relatives of Directors or their relatives pursuant to the applicable provisions of the Companies Act, 2013.

31. MATERNITY BENEFIT COMPLIANCE:

The Company has complied with all the provisions of Maternity Benefit Act, 1961, including provisions relating to leave, maternity benefits and workplace support.

32. RISK MANAGEMENT:

The Board of Directors of the Company formulates implements and monitors the risk management framework for the Company. These procedures are periodically reviewed to ensure that executive management controls risk through means of a properly defined framework.

The Board evaluates risk management systems and internal financial controls. The Board reviews the internal audit findings, provides guidance on internal controls and ensures that the internal audit recommendations are implemented.

33. PARTICULARS OF EMPLOYEES:

Pursuant to Rule 5 pursuant to the Companies (Appointment and Remuneration Managerial Personnel) Rule, 2014 of the Companies Act, 2013, there are no employees who are in receipt of remuneration of Rs. 1,02,00,000/- or more per annum or Rs. 8,50,000/- or more per month or were employed for a part of the year as furnished in Annexure-III.

34. AUDITORS AND AUDITORS REPORT:

Your Companys Auditors R. Subramanian and Company LLP, Chartered Accountants bearing FRN: 004137S/S200041 have been appointed as Statutory Auditors of the Company in the 17^thAnnual General Meeting held on 27^th September 2023 to hold the office for a period of five (5) years from the conclusion of the 17^th Annual General Meeting till the conclusion of the 22^nd Annual General Meeting in accordance with

Section 139 of the Companies Act, 2013.

The Auditors Report for Financial year 2024-25 does not contain any qualification, reservation or adverse remark. The Auditors Report is enclosed with the financial statements in this Annual Report.

35. SECRETARIAL AUDITOR AND THEIR REPORT:

The Board has appointed R&A Associates, Company Secretaries a firm of Practicing Company Secretaries, Hyderabad as the Secretarial Auditors to conduct Secretarial Audit of the Company for the Financial Year ended 31st March 2025 in compliance with the provisions of Section 204 of the Companies Act, 2013. The Secretarial Audit Report issued by R & A Associates, Company Secretaries, in Form MR-3 is enclosed as

Annexure-IV.

36. INTERNAL AUDIT:

Pursuant to provisions of Section 138 of the Companies Act, 2013 read with Rule 13 of the Companies (Accounts) Rule, 2014 as amended from time to time, the Board of Directors had appointed Megha Bung &

Co, Chartered Accountants, Hyderabad as an Internal Auditor of the Company to conduct internal audit of the Company.

37. EXPLANATION TO AUDITORS REMARKS

Statutory Auditors: The observations made by the Auditor in their Report read with relevant notes as given in the Notes on Accounts for the year ended on 31^st March, 2025 are self-explanatory and therefore do not call for any further comments under Section 134(3)(f) of the Companies Act, 2013.

Secretarial Auditors: The observations made by the Auditor in their Report read with relevant notes as given in the Notes on Accounts for the year ended on 31^st March, 2025 are self-explanatory and therefore do not call for any further comments under Section 134(3)(f) of the Companies Act, 2013.

38. EXTRACT OF THE ANNUAL RETURN

Pursuant to the provisions of Section 92(3), Section 134(3) (a) of the Companies Act, 2013, read with Rule 12 of Companies (Management and Administration) Rules, 2014, every company shall place a copy of the annual return on the website of the company, if any, and the weblink of such annual return shall be disclosed in the Boards report.

The Annual Return is available on the website of the Company at https://hrhnext.com/annual-returns/

39. MANAGEMENT DISCUSSION AND ANALYSIS REPORT:

The Management Discussion and Analysis report has been separately furnished as Annexure-V in the Annual Report and forms a part of the Annual Report.

40. POLICIES AND DISCLOSURE REQUIREMENTS:

In terms of provisions of the Companies Act, 2013 the Company has adopted following policies which are available on its website https://hrhnext.com/policies/

Archival Policy

Code of Conduct for Directors - Senior Management Personnel

Code of Practices and Fair Disclosure of UPSI

Familiarization Programme for Independent Directors

Materiality of Events Policy

Nomination And Remuneration Policy

Policy on Related Party Transactions

Policy For Determining Material Subsidiary

Policy For Inquiry in case of leak of UPSI

Code of Internal Procedures Conduct for Prevention of Insider Trading

Whistle Blower Policy Vigil Mechanism

Code of Conduct for Independent Directors

Terms And Conditions For the Appointment of an Independent Director

41. VIGIL MECHANISM

The Board at its meeting adopted a vigil mechanism policy that provides a formal mechanism for all Directors and employees to report their genuine concerns while ensuring that the activities of the Company are conducted in a fair and transparent manner and approach the Board of Directors of the Company about the unethical behaviour, actual or suspected fraud or violation of the Companys Code of conduct or ethics.

During the year, there were no complaints received in this respect.

42. DISCLOSURE PERTAINING TO SEXUAL HARRASMENT OF WOMEN AT WORKPLACE:

Your directors promote a productive work environment and do not tolerate any conduct by any employee that disrupts, harasses, intimidates, or interferes with anothers work performance. While all forms of harassment are prohibited, it is the policy of your Company to emphasize that sexual harassment, particularly towards women, is specifically prohibited. Every employee shall, at all the times, maintain office decorum in dealing with colleagues.

The Company has constituted Internal Complaint Committee (ICC) in terms of requirements of Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013.

The Number Complaints received and disposed during the year is as follows:

1. Number of Sexual Harassment complaints - received during the year	NIL
2. Number of Cases disposed of during the year -	NIL
3. Number of cases pending for more than 90 days -	NIL

Also, there were no complaints reported under the Prevention of Sexual Harassment of Women at Workplace

(Prevention, Prohibition and Redressal) Act, 2013.

43. COMPLIANCE WITH SECRETARIAL STANDARDS:

During the financial year under review, the Company has complied with all the provision of Secretarial Standard-1 (governing meeting of Board of Directors) and Secretarial Standard-2 (governing meeting of members) issued by Institute of Company Secretaries of India.

44. DECLARATION WITH THE COMPLIANCE WITH THE CODE OF CONDUCT BY MEMBERS OF THE BOARD AND SENIOR MANAGEMENT PERSONNEL:

The members of board of directors and senior management personnel have affirmed compliance with the code of conduct of board of directors and senior management. The said code of conduct for Board of Directors and Senior Managerial Personnel Policy is available on the website of the Company at https://hrhnext.com/ policies/

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

During the financial year under review, there was no one-time settlement done by the Company, accordingly disclosure with respect to difference in valuation and reasons thereof is not applicable.

46. DETAILS OF POLICY DEVELOPED AND IMPLEMENTED BY THE COMPANY ON ITS CORPORATE SOCIAL RESPONSIBILITY INITIATIVES:

The provisions of Section 135 of the Companies Act, 2013 read with Companies (Corporate Social Responsibility Policy) Rules, 2014 are not applicable to the Company as on March 31, 2025. Hence, your Company is not required to adopt the CSR Policy or constitute CSR Committee during the year under review.

47. MAINTENANCE OF COST RECORDS:

In terms of the provisions of Section 148 and all other applicable provisions of the Companies Act, 2013, the maintenance of cost records is not applicable to this company.

48. DETAILS IN RESPECT OF FRAUDS REPORTED BY THE AUDITOR OTHER THAN THOSE WHICH ARE REORTABLE TO THE CENTRAL GOVERNMENT

During the year under review, the Statutory Auditors of the Company have not reported any frauds to the

Board of Directors as prescribed under Section 143(12) of the Companies Act, 2013 and rules made thereunder.

49. DETAILSOFAPPLICATIONMADEORANYPROCEEDINGPENDINGUNDERTHEINSOLVENCY

AND BANKRUPTCY CODE, 2016

There is no application made or any proceeding pending under the Insolvency and Bankruptcy Code, 2016 during the year under review.

ACKNOWLEDGMENT:

The Board of Directors would like to acknowledge and commend the unwavering dedication, perseverance, and efforts of the employees at every level. The Board also conveys its heartfelt gratitude to the companys customers, strategic partners, bankers, auditors, consultants, and all associates for their valuable support and collaboration. Their contribution has been instrumental in the companys achievements, and they continue to be regarded as essential partners in its progress. The company remains committed to nurturing enduring relationships founded on trust, respect, and shared success.

For and on behalf of the Board HRH NEXT SERVICES LIMITED

Sd/- Sd/-

ANKIT SANJAY SHAH TRISHLA SHAH

Managing Director Whole time Director DIN: 00218044 DIN:10242986 Add: H. No. 1-2-385/3, Domalguda, Add: H. No.1-2-385/3, Gagan Mahal, Beside Himayatnagar, Hyderabad 500029, BSG Model School, Domalguda, Gagan Mahal, Telangana, India Himayathnagar, Hyderabad-500029, Telangana, India

Place: Hyderabad Date: 5^th September 2025