KVS Castings Ltd Management Discussions

Economic Overview Global Economy

Global growth is projected to remain resilient at 3.3 percent in 2026 and at 3.2 percent in 2027: rates similar to the estimated 3.3 percent outturn in 2025. This steady performance on the surface results from the balancing of divergent forces. Headwinds from shifting trade policies are offset by tailwinds from surging investment related to technology, including artificial intelligence (AI), more so in North America and Asia than in other regions, as well as fiscal and monetary support, broadly accommodative financial conditions, and adaptability of the private sector. Global headline inflation is expected to decline from an estimated 4.1 percent in 2025 to 3.8 percent in 2026 and further to 3.4 percent in 2027. The inflation projections are also broadly unchanged from those in October and envisage inflation returning to target more gradually in the United States than in other large economies. Global financial conditions are still accommodative, despite some volatility and rising sovereign yields. Stock prices of major technology companies pulled further apart from prices of other stocks. Financial conditions, overall, changed little or tightened only moderately. The US dollar recovered slightly as the momentum of investors hedging of exposures slowed but came briefly under renewed pressure following the initiation of an investigation into the Federal Reserve chair. Global inflation is projected to continue its decline, with headline inflation falling to 3.8 percent in 2026 and 3.4 percent in 2027. This is virtually unchanged from that in the October 2025 WEO, with overarching trends of softening demand and lower energy prices remaining intact. Divergence between the United States and most other countries lingers (Figure 5). With pass-through from higher tariffs gradually materializing, US core inflation is projected to return to the countrys 2 percent target during 2027. Australia and Norway are also projected to see some drawn-out persistence in above-target inflation. In the United Kingdom, inflation, which increased last year partly due to one-off regulated price changes, is expected to return to target by the end of 2026 as a weakening labor market continues to exert downward pressure on wage growth. In Japan, inflation is expected to moderate in 2026 and converge toward the countrys target in 2027, as food and commodity prices ease. In the euro area, headline inflation is projected to hover around 2 percent, with core inflation projected to decline to that level in 2027. Inflation in China is projected to start rising from low levels, whereas inflation in India is expected to go back to near target levels after a marked decline in 2025 driven by subdued food prices.

Source - World Economic Outlook Update, January 2026: Global Economy: Steady amid Divergent Forces Indian Economy

Indias economic momentum remains strong, underpinned by resilient domestic demand and sustained macroeconomic stability. In FY 2025-26, Real GDP (GDP at Constant Prices) is estimated to reach Rs. 201.90 lakh crore (US$ 2.24 trillion), rising from the provisional level of Rs. 187.97 lakh crore (US$ 2.26 trillion) in FY 2024-25, reflecting a robust growth of 7.4%. At current prices, Nominal GDP is projected to reach Rs. 357.14 lakh crore (US$ 3.96 trillion) in FY 2025-26, from Rs. 330.68 lakh crore (US$ 3.98 trillion) in the previous year, registering a growth of 8.0%. On the production side, Real Gross Value Added (GVA) is estimated at Rs. 184.50 lakh crore (US$ 2.04 trillion), up from Rs. 171.87 lakh crore (US$ 2.07 trillion) in FY 2024-25, indicating a growth of 7.3%, while Nominal GVA is expected to expand to Rs. 323.48 lakh crore (US$ 3.59 trillion) from Rs. 300.22 lakh crore (US$ 3.62 trillion), marking a growth of 7.7%. Collectively, these trends highlight Indias position as one of the fastest-growing major economies, supported by broad-based expansion across sectors. Further, India is projected to reach a GDP of Rs. 4,26,45,000 crore (US$ 5 trillion) by 2027 and is on course to surpass Germany by 2028. Rising employment and increasing private consumption, supported by rising consumer sentiment, will support GDP growth in the coming months.

India is primarily a domestic demand-driven economy, with consumption and investments contributing to 70% of the economic activity. With Indias economy showing resilient growth, supported by strong domestic demand, policy reforms, and a healthy investment pipeline, several new projects and developments are underway across key sectors. According to World Bank, India must continue to prioritise lowering inequality while also putting growth-oriented policies into place to boost the economy.

IRON CASTING MARKET Industrial Overview Global Industrial Overview

In 2026, the global Iron Casting Market is estimated at USD 172.44 Billion. With consistent expansion, the market is projected to attain USD 310.05 Billion by 2035. The market is forecast to grow at a CAGR of 6.74% over the period from 2026 to 2035.

Iron casting is a manufacturing system wherein molten iron is poured into molds to create numerous additives with specific shapes and properties. This system is broadly used throughout more than one industries due to the fabrics energy, sturdiness, and value-effectiveness. The number one sorts of iron utilized in casting encompass Gray Iron, Ductile Iron, Malleable Iron, and Compacted Graphite Iron (CGI).

Iron castings are recognized for their first rate mechanical houses, making them suitable for heavy-duty applications. These castings can resist excessive temperatures and vicious working situations, making them best for car, machinery, and infrastructure applications. Compared to different metallic casting processes, iron casting is exceptionally less expensive, taking into consideration mass production at a lower price.

Source: https://www.businessresearchinsights.com/market-reports/iron-casting-market-121372 Indian Industrial Overview

The India iron casting market size reached USD 4.7 Billion in 2025. Looking forward, IMARC Group expects the market to reach USD 6.8 Billion by 2034, exhibiting a growth rate (CAGR) of 4.13% during 2026-2034 due to the rising automotive and infrastructure development, growing industrial machinery demand, and expanding export opportunities. Technological advancements in casting processes, coupled with cost-effective production capabilities and supportive government policies, further boost market growth. Increasing global sourcing from India also strengthens the industrys momentum.

Market Trends

Surge in Automotive and Commercial Vehicle Demand

The Indian iron casting market continues to benefit from rising demand across the automotive and commercial vehicle sectors. With the automotive industry contributing 6% to Indias GDP and 28 million vehicles produced in FY24, demand for critical cast components remains strong. The growing adoption of EVs and infrastructure development is further driving the need for advanced, high-performance iron castings.

Technological Advancements in Casting Processes

India, the worlds second-largest iron casting producer with an annual output of 12 million tonnes, is witnessing rapid technological transformation. The adoption of CAD, 3D printing, simulation tools, automation, IoT, and Industry 4.0 technologies is improving precision, productivity, product quality, and manufacturing efficiency while enhancing global competitiveness.

Rising Export Opportunities and Global Integration

Indias iron casting industry is strengthening its global presence, supported by growing demand from Europe, North America, and Southeast Asia. Competitive manufacturing costs, a skilled workforce, and government initiatives such as PLI schemes are enhancing export potential. As global supply chains diversify beyond China, Indian foundries are well-positioned to expand exports and strengthen long-term international partnerships.

Source: India Iron Casting Market Size, Share and Growth, 2034

AUTOMOTIVE COMPONENTS INDUSTRY

Global Industrial Overview

The automotive parts market size was valued at USD 111.53 billion in 2025 and estimated to grow from USD 116.67 billion in 2026 to reach USD 146.23 billion by 2031, at a CAGR of 4.61% during the forecast period (2026-2031).

Rise in Global Vehicle Production

Global vehicle production reached 90.5 million units in 2023, returning to pre-pandemic levels. Growing vehicle production and rising ownership, particularly in emerging markets, continue to drive demand for OEM and aftermarket components, while evolving global supply chains create new opportunities for component manufacturers.

Software-Defined Vehicles Driving Advanced Components

The automotive industry is transitioning towards software-defined and AI-enabled vehicles, increasing demand for upgradeable hardware, advanced electronics, sensors, and high-performance computing systems. This shift is driving innovation in next-generation automotive components.

Rapid Growth of E-commerce Parts Platforms

The U.S. auto parts market is projected to reach USD 41 billion by 2029, driven by e-commerce expansion, AI adoption, and digital transformation. Online platforms are enhancing supply chain efficiency and creating new growth opportunities for aftermarket component suppliers.

Source: https://www.mordorintelligence.com/industry-reports/automotive-parts-market Indian Industrial Overview

The India automotive components market size was valued at USD 58.21 Billion in 2025 and is projected to reach USD 82.67 Billion by 2034, growing at a compound annual growth rate of 3.97% from 2026-2034.

The India automotive components market is witnessing robust expansion, driven by the countrys position as one of the worlds largest automotive markets. The sector benefits from rising vehicle production volumes, growing middle-class population with increasing purchasing power, and supportive government policies promoting domestic manufacturing. The expanding network of original equipment manufacturers, coupled with strengthening aftermarket demand, is accelerating component production across multiple categories. Furthermore, the shift towards electric mobility, adoption of advanced manufacturing technologies, and emphasis on localization are reshaping the competitive dynamics. Strategic investments in research and development (R&D) activities, integration of lightweight materials, and enhanced export capabilities are collectively driving the market share.

• Indias automotive component industry is rapidly expanding its EV manufacturing capabilities, supported by the Governments target of 30% EV adoption by 2030. Investments in battery systems, power electronics, and electric drivetrains are accelerating localization and strengthening the domestic EV supply chain.

• The increasing focus on fuel efficiency and lower emissions is driving the adoption of aluminium, high-strength steel, and composite materials across automotive component manufacturing. This shift is enabling the development of lighter, stronger, and more sustainable vehicle components.

• The sector is embracing Industry 4.0, AI, automation, and data analytics to enhance manufacturing efficiency and product quality. Indias automotive software market reached USD 764.9 million in 2024, accelerating demand for advanced electronic and connected vehicle components.

• Government initiatives such as Make in India continue to promote localization and strengthen domestic manufacturing. Investments in advanced technologies, process automation, and OEM-quality standards are enhancing Indias position as a global automotive component manufacturing hub.

Source: Automotive Components Industry in India - Market Size, 2034

FOUNDRY INDUSTRY

Global Industrial Overview

The foundries market size has grown steadily in recent years. It will grow from $184.08 billion in 2025 to $190.22 billion in 2026 at a compound annual growth rate (CAGR) of 3.3%. The growth in the historic period can be attributed to rising demand in automotive sector, expansion of agricultural machinery manufacturing, growth in electrical equipment and machine tools, increasing industrialization, adoption of grey and ductile iron castings.

The foundries market size is expected to see steady growth in the next few years. It will grow to $224.81 billion in 2030 at a compound annual growth rate (CAGR) of 4.3%. The growth in the forecast period can be attributed to growth in aluminium and copper foundries, increasing use of magnesium and zinc castings, adoption of integrated foundry operations, rising demand from pipes and fittings industry, expansion of machine tools and electrical equipment applications. Major trends in the forecast period include adoption of ferrous metal foundries, expansion of nonferrous metal foundries, integration of pure play and integrated device foundries, growth in automotive and industrial castings, increasing demand for high-strength and cost-effective metal castings.

Source: Foundries Market Growth, Forecast Report 2026 to 2035

Indian Industrial Overview

The India Foundry Market size is projected to be USD 26.28 billion in 2025, USD 28.72 billion in 2026, and reach USD 46.72 billion by 2031, growing at a CAGR of 10.22% from 2026 to 2031.

Market Drivers

• Domestic EV Output Passing 1 Million Units in FY-26 Boosts Aluminium HPDC Demand -

EV power-train localization is diverting HPDC lines from engine ancillaries to battery enclosures, motor housings, and structural frames that demand tighter tolerances and higher thermal conductivity.

• 40% Duty on Chinese Iron Castings Accelerates Import Substitution -

A 40% basic customs duty, effective January 2025, has slashed ordering cycles from 90-120 days to 30-45 days. Mahindra & Mahindra and Tata Motors have shifted 12,000 t of housing from China to Kirloskar Ferrous and Electrosteel. Bharat Forges Baramati EV-component plant uses AI mold-fill tools to keep rejections below 1%, enabling same-week deliveries. Construction-equipment OEMs, buoyed by a future production incentive, are localizing hydraulic-cylinder barrels and boom castings. Unless plants reach Chinese productivity by the dutys scheduled 2028 expiry, import risk will resurface, but digital-twin roll-outs under the SAMARTH Udyog Bharat 4.0 program are closing the gap.

• Vehicle Scrappage Policy Delivers Cheaper Ferrous and Non-Ferrous Scrap -

The Vehicle Scrappage Policy had 84 scrapping facilities processing 96,980 vehicles by July 2024[1]. Scrap flows are lifting the scrap ratio in induction furnaces to as high as 70%, slicing pig-iron purchases and trimming energy intensity. Tata Steel and JSW Steel plants now run dedicated scrap-sorting lines, offering foundries cleaner feed that reduces gray-iron costs by USD 40-60 per t. The policys fitness-certificate mandate could retire 1.2 million vehicles a year by 2028, generating 2.8 million t of ferrous scrap enough to cover 15-20% of national melt requirements. Margins widen as melt costs fall, letting foundries underbid imports without eroding profitability.

• Green-Hydrogen Subsidies Support Furnace Conversion in Select Clusters -

The National Green Hydrogen Mission budgets USD 2.35 billion to 2030 for direct-reduced iron and hydrogen furnaces[2]. Kolhapurs cupola-heavy basin is piloting hydrogen-oxy burners that can slash particulate emissions by 85% and sulfur dioxide to near zero. Tata Steel is testing a 5 MW electrolyzer feeding a 50 t-per-day DRI module, with learnings aimed at its captive foundry. Conversion economics hinge on hydrogen prices falling from todays USD 4.5 per kg to the missions USD 1.2 per kg target, but early adopters could comply with the European Carbon Border Adjustment Mechanism (CBAM) well ahead of peers.

Market Restraints

• EU CBAM Raises Landed Cost of High-Carbon Castings -

The CBAM applies a 38.8% levy on castings above 1.5 t CO per t from January 2026. Kolhapurs exporters, emitting 1.8-2.2 t CO per t, face immediate margin compression. Larger players absorb compliance costs, yet 70% of shops are MSMEs with limited capital. At least 8-12 micro-foundries have shut each quarter since mid-2025, accelerating consolidation as buyers shift to CBAM-compliant suppliers.

• Import Curbs on Petcoke and High-Sulfur Coal Inflate Melt-Fuel Costs -

India slashed the January-June 2025 coke import quota to 1.43 million t and cut the sulfur cap to 1.5%, driving delivered prices from about USD 360 per t to nearly USD 480 per t. Melt-fuel bills for coke-fired cupolas rose roughly 25%, squeezing margins by 4-6 points and forcing a dozen Kolhapur micro-foundries to shut. Without cheaper energy alternatives, the next quota cut slated for 2027 could trigger wider closures.

Key Players - A-Cast Foundry, Aditya Birla Management Corp., Brakes India, Larsen & Toubro and JSW Steel Source: https://www.mordorintelligence.com/industrv-reports/india-foundrv-market

Business Overview

KVS Castings Limited has established itself as a trusted manufacturer of precision Cast Iron and Ductile Iron castings, catering to diverse engineering applications across multiple industries. The Company continues to strengthen its market position through operational excellence, manufacturing capabilities, and a strong focus on quality, enabling it to serve the evolving requirements of OEMs and industrial customers.

FY2025-26 marked a transformational phase in the Companys growth journey with the successful commissioning of its new automated manufacturing facility and completion of its Initial Public Offering (IPO). These milestones have strengthened manufacturing capabilities, enhanced financial flexibility, and positioned the Company for its next phase of growth.

Backed by continuous investments in automation, process improvements, and quality systems, the Company remains focused on improving operational efficiency, expanding customer relationships, and creating sustainable long-term value.

Key Business Strengths

• Diversified End-User Industries: Presence across Automobile, Railway, Agriculture, Energy & Power, Heavy Machinery, and Industrial Machinery sectors.

• Precision Engineering Expertise: Extensive experience in manufacturing high-quality Cast Iron and Ductile Iron castings for demanding industrial applications.

• Expanded Manufacturing Capabilities: Strategic investments in manufacturing infrastructure have strengthened production capabilities and future scalability.

• Advanced Automation: Continued adoption of automation and precision manufacturing technologies to improve productivity, consistency, and operational efficiency.

• Quality-Driven Manufacturing: Robust quality management systems supported by internationally recognized certifications and stringent quality controls.

• Strong Customer Relationships: Long-standing relationships with OEMs and industrial customers built on quality, reliability, and timely delivery.

• Diversified Product Portfolio: Wide range of precision-engineered products catering to varied industrial applications, reducing dependence on any single product category.

• Focus on Innovation & Process Improvement: Continuous emphasis on technology adoption, process optimization, and manufacturing excellence to enhance competitiveness.

• Financially Strengthened Platform: Successful IPO and strategic capital deployment have strengthened the Companys financial position to support future growth initiatives.

• Sustainable Growth Strategy: Focused on enhancing capacity utilization, expanding customer relationships, improving operational efficiency, and creating long-term stakeholder value.

(b) Opportunities and Threats

The Company continues to operate in an evolving business environment driven by technological advancements, infrastructure development, and changing customer requirements. While these trends present significant opportunities for growth, they also require the Company to remain agile in addressing emerging challenges.

Key opportunities include:

• Growing End-User Industries: Rising demand from the Automobile, Railway, Agriculture, and Industrial sectors, along with emerging opportunities in defence applications, presents long-term growth potential.

• Enhanced Manufacturing Capabilities: Recent investments in manufacturing infrastructure position the Company to cater to higher customer demand and support future growth.

• Government Manufacturing Initiatives: Programs such as Make in India, railway modernization, and the Governments continued focus on defence indigenization are expected to create long-term opportunities for the engineering and manufacturing sector.

• Technology & Automation: Continued investments in automation and process improvements are expected to enhance productivity, quality, and operational efficiency.

• Diversified Product Portfolio: A broad range of precision-engineered products enables the Company to serve multiple industries and expand its customer base.

Key threats and challenges include:

• Raw Material Price Volatility: Fluctuations in raw material prices may impact production costs and profitability.

• Economic & Industry Cycles: Slowdowns in key end-user industries may affect demand for castings.

• Competitive Market: Intense competition may exert pressure on pricing and margins.

• Regulatory Changes: Changes in environmental, taxation, and labour regulations may increase compliance requirements.

• Customer Demand Fluctuations: Variations in customer demand may impact production planning and capacity utilization.

(c) Outlook

The outlook for the Indian foundry and precision casting industry remains positive, supported by increasing investments in manufacturing, infrastructure, railway modernization, indigenous manufacturing initiatives, and the Governments continued focus on strengthening domestic manufacturing. These developments are expected to create long-term opportunities across the engineering and manufacturing sector. With enhanced manufacturing capabilities and a strengthened financial position, the Company is well-positioned to capitalize on these opportunities while leveraging its precision engineering expertise to explore future opportunities in specialized applications, including defence.

Going forward, the Company will continue to focus on:

• Optimizing Capacity Utilization of its expanded manufacturing facility with an installed capacity of 19,200 MTPA.

• Strengthening Customer Relationships by expanding engagements with existing OEMs while adding new customers across diversified industries.

• Enhancing Operational Excellence through automation, process optimization, and continuous technology adoption to improve productivity and efficiency.

• Expanding Market Presence across Automobile, Railway, Agriculture, Energy & Power, Heavy Machinery, and Industrial Machinery sectors, while leveraging its precision engineering capabilities to explore future opportunities in defence and other specialized applications.

• Maintaining Quality & Innovation by delivering precision-engineered products while adhering to international quality standards and customer expectations.

With a diversified product portfolio of 150+ precision-engineered products, enhanced production capabilities, and a clear strategic roadmap, the Company remains confident of achieving sustainable long-term growth and creating enduring value for its shareholders and other stakeholders.

(e) Risks and Concerns

The Company operates in a dynamic business environment and recognizes the importance of proactively identifying, assessing, and managing risks that may impact its operations and long-term growth. Key risks and concerns are as follows:

• Raw Material Price Volatility: Fluctuations in the prices and availability of key raw materials may impact production costs and profitability.

• Industry Cyclicality: Demand from end-user industries, including automobile, railway, engineering, and industrial machinery, is influenced by overall economic conditions and industry cycles.

• Customer Concentration: Changes in demand, production schedules, or procurement strategies of key OEM customers may impact business performance.

• Capacity Utilization: Efficient ramp-up and optimum utilization of the newly commissioned manufacturing facility remain important for achieving the expected operational and financial benefits.

• Regulatory & Compliance Risks: Changes in environmental, labour, taxation, and other statutory regulations may require operational and compliance-related adjustments.

• Technology & Quality Expectations: Continuous investments in automation, process improvements, and quality systems are essential to meet evolving customer requirements and maintain competitiveness.

The Company has implemented a Risk Management Policy and Plan to identify, monitor, and manage business risks. The Board of Directors periodically reviews identified as well as unforeseen risks and ensures that appropriate mitigation measures are implemented in the best interest of the Company to support business continuity and sustainable growth.

(d) Internal Control Systems and Their Adequacy

The Company has established adequate internal control systems commensurate with the size, scale, and complexity of its operations. These controls are designed to safeguard assets, ensure the accuracy and reliability of financial reporting, promote operational efficiency, and ensure compliance with applicable laws, regulations, and internal policies.

The internal control framework covers key business processes, including finance, operations, procurement, inventory management, statutory compliance, and risk management. Regular reviews are carried out by the management to evaluate the effectiveness of internal controls, identify areas for improvement, and implement corrective actions wherever necessary.

The Board of Directors believes that the Companys internal financial controls are adequate and were operating effectively during FY2025-26. The Statutory Auditors have also expressed an unmodified opinion on the adequacy and operating effectiveness of the Companys internal financial controls with reference to the standalone financial statements.

(f) Discussion on Financial Performance with Respect to Operational Performance

The Company witnessed steady operational and financial progress during FY2025-26, supported by strategic investments in manufacturing capabilities, capacity expansion, operational efficiencies, and business diversification. Key developments during the year are as follows:

• Revenue from Operations increased to 5,139.90 lakhs from 5,010.94 lakhs, reflecting steady business growth and sustained customer demand.

• Profit Before Tax (PBT) increased to 964.35 lakhs from 892.44 lakhs, driven by improved operational efficiency and disciplined cost management.

• Profit After Tax (PAT) increased by 7.09% to ?705.36 lakhs, reflecting sustainable profitability and continued business growth.

• Successfully completed the Initial Public Offering (IPO) and listed on the BSE SME Platform dated 06^th October, 2025, strengthening the Companys capital base and supporting future expansion.

• Continued investments in automation and precision manufacturing improved product quality, operational efficiency, and manufacturing reliability.

• Strengthened the Companys financial position through strategic deployment of IPO proceeds and investments in manufacturing infrastructure, creating a strong foundation for future growth.

Overall, the Companys financial and operational performance during FY2025-26 reflects the successful execution of its strategic initiatives, prudent financial management, and continued focus on operational excellence. With enhanced manufacturing capabilities, a strengthened financial position, and an expanding presence across diversified end-user industries, the Company remains well-positioned to capitalize on emerging growth opportunities and deliver sustainable long-term value to all stakeholders.

(g) Material Developments in Human Resources / Industrial Relations

The Company believes that its employees are its most valuable asset and continues to focus on building a skilled, motivated, and performance-driven workforce to support sustainable business growth. During FY2025-26, key developments were as follows:

• As on 31st March 2026, the Company had 118 permanent employees supporting its manufacturing and business operations.

• Continued focus on technical, managerial, and customer service capability building to strengthen employee competencies and support future business requirements.

• Undertook employee engagement and organizational development initiatives to enhance productivity and operational efficiency.

• Continued to attract and retain skilled talent by fostering a professional, growth-oriented, and performance- driven work culture.

• Employee benefit expenses increased in line with workforce strengthening and business expansion during the year.

• Industrial relations remained cordial and harmonious, ensuring smooth business operations throughout the year.

• Continued compliance with all applicable labour laws, employee welfare, and statutory benefit requirements.

Overall, the Company remains committed to fostering a collaborative, safe, and performance-oriented workplace that supports employee growth and long-term organizational success.

(h) Significant Changes in Key Financial Ratios

Particulars	FY 2025-26	FY 2024-25	Variation	Reason for Variation
Debt- Equity ratio	0.38	0.11	0.27	The ratio increased primarily due to higher borrowings availed during the year to support the commissioning of the new automated manufacturing facility and capacity expansion. The additional debt led to a higher debt-equity ratio despite the strengthening of the Companys equity base.
Debt Service coverage ratio	24.58	14.63	9.95	There are no changes in the financial ratios exceeding 25% as prescribed under the applicable reporting requirements.
Return to Equity ratio	14.16	21.87	(7.71)
Inventory turnover Ratio	6.99	4.81	2.18
Trade Receivables turnover ratio	4.15	5.38	(1.22)
Trade Payable turnover ratio	11.29	7.84	3.45
Net capital turnover ratio	4.67	9.65	(4.98)
Net profit ratio	13.72	13.14	0.58
Return on capital employed	11.72	25.96	(14.24)

(i) Accounting Treatment Disclosure

[As per Schedule V of the SEBI (LODR), 2015]

Accounting Treatment The Company has prepared its financial statements in accordance with the applicable provisions of the Companies Act, 2013, the rules made thereunder, and the Accounting Standards (AS) notified under Section 133 of the Companies Act, 2013 read with relevant rules issued thereunder.

During the year under review, the Company has not adopted any accounting treatment different from that prescribed in the applicable Accounting Standards. All transactions have been recorded and reported in compliance with the notified AS and guidance notes issued by the Institute of Chartered Accountants of India (ICAI).

Wherever applicable, accounting policies have been consistently applied and disclosed in the Notes to Accounts forming part of the financial statements. There has been no deviation in the treatment of any item from the prescribed Accounting Standards that would have otherwise required disclosure under Schedule V of SEBI (LODR) Regulations, 2015.