Kabra Drugs Ltd Management Discussions

1. OVERVIEW & CORPORATE TRANSFORMATION:

The Financial Year 2025- 2026 marked a pivotal turn around year for Aanjaay Industries Limited (formerly known as Kabra Drugs Limited). Over the past year, your Company embarked on a comprehensive strategic transformation aimed at reviving operational vigor, strengthening financial viability, and unlocking long- term shareholder value.

A cornerstone of this transition was the restructuring of corporate identity and realignment of business objectives. The Company successfully initiated and completed the process of changing its name from Kabra Drugs Limited to Aanjaay Industries Limited, duly approved by the Registrar of Companies with effect from 06th July 2026. Alongside this, the Company relocated its corporate footprint to Chennai, Tamil Nadu, to optimize administrative efficiency and pursue emerging commercial opportunities across broader industrial and commercial sectors.

2. INDUSTRY STRUCTURE & DEVELOPMENTS:

During the year under review, the Indian economy continued to demonstrate resilience, driven by robust domestic consumption, government infrastructure spending, and active supply- chain realignments. In line with broader market dynamics, the Company re- evaluated its operational model. Historically positioned in pharmaceutical formulations, the Company faced prolonged operational stagnation in earlier years due to legacy headwinds. During the financial year 2025- 2026, the management actively explored diversified trading, procurement, and industrial supply lines. This proactive pivot enabled the Company to resume commercial activities, generate substantial trading turnover, and restore positive cash flows.

3. FINANCIAL PERFORMANCE WITH RESPECT TO OPERATIONAL PERFORMANCE:

A summary of the standalone financial performance for the financial year ended 31st March 2026 is presented below:

(? in Lakhs)

Particulars	2025-2026	2024-2025
Revenue from Operations	9,274.00	-
Other Income	49.27	64.02
Total Revenue	9,323.27	64.02
Total Expenses	8,751.20	172.53
Profit Before Tax	572.07	(108.51)
Tax Expenses	76.09	0.05
Profit after Tax	495.98	(108.56)
EPS	2.09	(0.99)

4. OPPORTUNITIES AND THREATS:

The Company sees good opportunities for growth in its existing business and in new and emerging sectors. The Company will continue to explore new business opportunities, strategic partnerships, new products and technologies to achieve sustainable growth.

The Company may face challenges due to competition, changes in government policies and regulations, changes in market conditions, fluctuations in raw material prices and other economic factors. The Company will continue to monitor these risks and take appropriate measures to minimize their impact.

5. SEGMENT-WISE OR PRODUCT-WISE PERFORMANCE:

During the financial year ended 31st March 2026, the Companys primary commercial activities were centered around wholesale trading and supply operations.

6. RISKS AND CONCERNS:

The Companys business may be affected by various factors such as market competition, changes in government policies and regulations, fluctuations in raw material prices, economic conditions and changes in customer demand. The Company continuously monitors these risks and takes appropriate measures to minimise their impact on the Companys operations and financial performance.

7. INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY:

The Company has instituted internal control systems commensurate with the size, nature, and complexity of its business operations. The Audit Committee of the Board of Directors reviews the adequacy and effectiveness of internal financial controls, statutory compliance mechanisms, and audit observations on a periodic basis.

8. HUMAN RESOURCES AND INDUSTRIAL RELATIONS:

The Company recognizes human capital as an important driver of organizational progress. During the year, the Company aligned its staffing requirements with its operational scale- up, strengthening key functional areas including finance, supply- chain logistics, and corporate administration.

Industrial relations remained cordial and peaceful throughout the year. The Company is committed to providing a safe, equitable, and professional work environment in compliance with all applicable labor legislations, including the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013.

9. OUTLOOK:

Looking ahead for the financial year 2025- 2026, Aanjay Industries Limited (Formerly known as Kabra Drugs Limited) aims to consolidate the gains achieved from its corporate turnaround.

For AANJAY INDUSTRIES LIMITED (FORMERLY KNOWN AS KABRA DRUGS LIMITED)

Sd/- NANJAPPAN ARAVIND MANAGING DIRECTOR DIN:01895602 PLACE:CHENNAI DATE: 02ND SEPTEMBER 2026

Sd/- K N ANAND DIRECTOR DIN:03230186