Rossari Biotech Ltd Management Discussions

Global Economy

The global economy grew at 2.8% and is expected to grow at the same rate to 2.8% in CY 2025 before recovering slightly to 3.0% in CY 2026. This trajectory reflects the growing impact of geopolitical tensions, trade disruptions, and tighter financial conditions in several major economies. The United States, previously buoyed by strong domestic demand, now faces a tempered outlook with growth forecasted at 1.8% in CY 2025, primarily due to restrictive monetary policy and the disruptive effects of newly implemented tariffs. In contrast, the Euro Area is expected to grow at just 0.8%, constrained by weak consumption and political uncertainty. Among emerging markets, India continues to stand out as a growth leader, with the IMF projecting robust GDP growth of 6.5% in FY2025, supported by strong domestic demand, infrastructure push, and stable macroeconomic fundamentals. Chinas growth is expected to moderate to 4.0%, reflecting ongoing structural adjustments and subdued external demand. Meanwhile, the escalation of tariff measures, particularly between the U.S. and China, has significantly disrupted global trade flows and supply chain resilience, contributing to a more fragmented and uncertain global economic environment.

GDP Growth Projections (%)

Year	Global Economy	Advanced Economies	Emerging Markets & Developing Economies
CY 2024	3.3	1.8	4.3
CY 2025	2.8	1.4	3.7
CY 2026	3.0	1.5	3.9

(Source: IMF World Economic Outlook, April 2025)

Global inflation is expected to ease gradually, declining to 4.3% in CY 2025 and further to 3.6% in CY 2026, with advanced economies on track to achieve their targets ahead of emerging markets. This disinflationary trajectory is underpinned by a gradual cooling of labour markets and a retreat in energy costs. However, geopolitical flashpoints, including the Russia-Ukraine conflict and the Israel-Gaza war, could exert localised inflationary pressures, particularly in energy and food markets, triggering short-term volatility despite the overarching downtrend. Additionally, the divergence in monetary policy easing across regions will influence global capital flows, investment decisions, and exchange rate movements, creating a more complex backdrop for cross-border economic activity.

(Source: IMF Report on World Economic Report, April 2025) 0

Outlook

In this evolving global environment, businesses are against a backdrop of diverging economic trends and recalibrated policy priorities. While global growth is softening, the resilience of select economies-especially in Asia-presents targeted opportunities. However, the resurgence of protectionist measures, including broad-based tariff escalations led by the U.S. and subsequent retaliations, is disrupting global trade flows and increasing input cost pressures across supply chains. These developments, combined with shifting trade alliances and geopolitical risks, are reshaping global investment patterns and prompting a rethink of sourcing and production strategies. Policy clarity and structural reforms will be crucial in managing these transitions. Amidst uncertainty, economic resilience will depend on maintaining macroeconomic stability, fostering regional cooperation, and adopting agile, forward-looking strategies that respond to both risk and opportunity.

(Source: IMF Report on World Economic Report, April 2025)

Indian Economy

Despite global uncertainties, Indias economy remains on a strong growth trajectory, with the International Monetary Fund (IMF) projecting a 6.5% expansion for FY 2025-26 of CY 2025. This resilience is underpinned by sustained government spending, steady private sector capital investment, and robust domestic consumption. Additionally, moderating inflation and the possibility of interest rate cuts are expected to further stimulate economic activity, reinforcing Indias position as one of the fastest-growing major economies.

(Source: KPMG India Union Budget Economic Survey 2024-251 Indian Economic Survey, 2024-25)

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Within this broader economic momentum, rural consumption has emerged as a vital driver, reflecting both improved agricultural output and rising rural incomes. A strong 3.5% growth in the agriculture sector during 2024-25, supported by favourable monsoon conditions, has boosted demand for essential and discretionary goods alike. With a promising kharif harvest, improved rabi sowing, and festive season spending, this upward trend is expected to continue, further reinforcing domestic consumption.

(Source: Economic Survey 2024-25) $

Indias manufacturing sector is also undergoing a transformation, with a sharp rise in exports of high-value goods such as electronics, engineering products, and specialty chemicals. Manufacturing exports now contribute 31% of total merchandise exports, reflecting the countrys growing role in global value chains. A critical enabler of this expansion is the micro, small, and medium enterprises (MSME) sector, which continues to drive innovation, employment, and supply chain diversification. Recognising their importance, the Union Budget 2025-26 introduced measures such as increased investment and turnover limits, enhanced credit access, and targeted support for first-time entrepreneurs-ensuring MSMEs remain at the forefront of Indias industrial growth.

(Source: https://pib.gov.in/FactsheetDetails. aspx?Id=149104&reg=3&lang=1)

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Complementing this rural revival is the continued expansion of Indias services sector, which remains a key pillar of growth. Registering an 8.3% increase between 2022-23 and 2024-25, the sector has also witnessed a surge in exports, growing 12.8% year-on-year between April and March 2024-25. This growth is being driven by strong demand

for IT, financial services, and professional expertise, positioning India as a global hub for high-value services. As services exports rise and urban employment strengthens, the sectors contribution to GDP and income generation is becoming even more pronounced, reinforcing Indias broader economic momentum.

(Source: https://pib.gov.in/ PressReleaseIframePage.aspx?PRID=2098048)

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Outlook

Driven by strong domestic demand, rapid technological advancements, and ongoing structural reforms, Indias economic outlook remains positive. A youthful, expanding workforce and rising income levels create a solid foundation for sustained growth, while strategic policy measures continue to enhance business competitiveness and attract investment flows. As India strengthens its position as a key player in the global economy, the confluence of rising consumption, manufacturing, services, and digital transformation will drive its next phase of economic progress, ensuring long-term prosperity and development.

Industry Overview

Specialty Chemicals

The specialty chemicals market is set for strong growth, driven by rising demand for high-performance and environmentally responsible solutions across industries. With the market expected to reach US$ 1,001.79 billion by CY 2029, growth is being fuelled by advancements in smart manufacturing, the rise of Industry 4.0, and increasing global integration.

The need for specialised performance chemicals in automotive, water treatment, adhesives, coatings, and personal care continues to increase, reinforcing market momentum. At the same time, sustainability- focussed innovations like biodegradable packaging and eco-friendly formulations are reshaping industry priorities. As companies ramp up investments in research, development, and strategic partnerships, the specialty chemicals sector is evolving rapidly, adapting to shifting industrial needs and consumer expectations.

(Source: https://www.thebusinessresearchcompany. com/report/speciality-chemicals-global-market- report#:~:text=Specialty%20Chemicals%20Market%20Size%20 2025,(CAGR)%20of%204.4%25.)

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Growth Drivers

? Rising Demand for High-Performance Coatings

Seeking durability, efficiency, and protection, industries require advanced coatings.

? Aerospace and Automotive Expansion

Fuelling demand for lightweight and high-strength materials, growth in transportation sectors accelerates.

? Shift Towards Eco-Friendly Solutions

Increasing focus on sustainability drives innovation in biodegradable and renewable chemicals.

? Advancements in Smart Manufacturing

Enhancing efficiency and production capabilities,

Industry 4.0 and digitalisation transform operations.

? Global Market Expansion and R&D Investments

Investing in research, development, and strategic partnerships, companies cater to evolving industrial needs.

Indian Specialty Chemicals

Indias specialty chemicals industry is on a steep growth trajectory, driven by strong government policies, rising global demand, and increasing innovation. Strategic government initiatives such as PLI schemes, Make in India, and SEZ expansions are fostering domestic production capabilities, reducing reliance on imports, and positioning India as a manufacturing powerhouse. The China+1 policy has redefined Indias role in global supply networks, fostering export-led growth and cross-border collaborations. Although the sector faces transitory challenges like inventory recalibrations, the longterm growth outlook remains strong, underpinned by increased investments, strategic capacity expansions, and a research-driven approach. With differentiated product offerings and a strong focus on R&D, companies are thriving across high-growth sectors such as pharmaceuticals, agrochemicals, personal care, and automotive. As investments scale up and strategic expansion continues, India is solidifying its status as a key global hub for specialty chemicals.

(Source: ICRA report on Indian Chemicals March 2024, Yamada Consulting Spire India, December 2024)

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Key Growth Drivers

? Differentiated Product Portfolios

Focussing on specialised, high-value products, companies have maintained steady performance despite market fluctuations.

? China+1 Strategy

Strengthening their position in international markets, global supply chain diversification has opened new opportunities for Indian players.

? Stable Demand Outlook

Underlying demand remains intact, while short-term challenges exist, and had recovered in the first half of the year.

? Strong Financial Position

Benefiting from stable credit profiles and low leverage, Indian specialty chemical companies navigate pricing pressures.

? Long-Term Credibility & Investments

Investing in R&D, manufacturing capabilities, and adhering to regulatory compliance continuously enhance Indias competitive advantage in the global market.

? Government Support

Allowing 100% Foreign Direct Investment under the Make In India automatic route promotes investment.

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Home and Personal Care Chemicals

The global home healthcare market is in a growth phase, with moderate competition in developed regions and a fragmented landscape in developing countries due to low entry barriers. The home healthcare market is expected to reach US$ 422.62 billion in 2024-25 and is projected to register a CAGR of 11.2% during 2025-29. As hospitalisation costs surge and nursing home care quality declines, patients and caregivers are opting for home healthcare solutions that require specialised chemicals for disinfection, sanitation, and medical equipment maintenance. Additionally, stringent hygiene regulations and consumer preference for ecofriendly, non-toxic formulations are shaping market trends. The increasing ageing population further fuels this expansion, as elderly individuals require more healthcare services, reducing hospital visits and enhancing the adoption of home health solutions.

(Source: https://www.researchandmarkets.com/ reports/6040080/personal-care-chemicals-market- forecasts?srsltid=AfmBOor-J31SAytrlKdQ2Qk6H7iICGNIePwlS1 MJX-YxfdiiviunRN 0)

Similarly, the personal care chemicals market is witnessing strong growth, driven by rising consumer awareness of hygiene, a shift toward eco-friendly formulations, and the surge of e-commerce. Consumers are increasingly demanding safer, natural, and transparent formulations, pushing manufacturers to innovate with advanced ingredients that offer skincare benefits such as hydration and antimicrobial properties.

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Growth Drivers

Rising Demand for Infection Control

Driving the demand for specialised disinfectants and antimicrobial chemicals, increased awareness of hygiene and infection prevention in home healthcare settings.

Ageing Population & Chronic Disease Prevalence

Growing elderly population and rise of chronic illnesses are fuelling the need for home-based healthcare solutions, driving the demand for medical- grade cleaning and sanitisation products.

Advancements in Eco-Friendly & Biocompatible Chemicals

Increasing preference for non-toxic, biodegradable, and skin-safe formulations is encouraging innovation in sustainable home healthcare chemicals.

Expansion of Home Healthcare Devices &

Telemedicine

Increasing adoption of home-use medical devices, such as nebulisers and dialysis machines, is driving the demand for safe and effective cleaning agents and maintenance chemicals.

Stringent Regulatory & Safety Standards

Enforcing strict hygiene and safety guidelines, governments and health organisations are prompting the development of high-performance, compliant chemical solutions for home healthcare use.

Cosmetic Chemicals Market

The cosmetic chemicals market is set for growth, driven by the increasing demand for hair and skin care products. These products, ranging from lotions and creams to tonics and antiseptics, play a crucial role in cleansing, protecting, and enhancing the skin and hair. The cosmetics chemicals market is expected to reach US$ 21.25 billion in 2024-25 and is projected to register a CAGR of 7.1% during 2025-29. Consumers are becoming more conscious of personal care, fuelling the demand for high-quality cosmetic formulations, driven by rising consumer awareness, technological advancements, and the e-commerce boom. Innovations in skincare and haircare, coupled with the shift towards clean and sustainable beauty products, are further driving market growth. Cosmetic chemicals act as essential ingredients in these products, enabling improved functionality, texture, and efficacy. As the beauty and personal care industry expands, innovation in cosmetic chemicals will continue to shape the market, catering to evolving consumer preferences and regulatory standards.

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Growth Drivers

? Rising Disposable Incomes

Increasing consumer spending on beauty and personal care products, especially in emerging economies.

? Product Innovation

Developing advanced cosmetic ingredients with enhanced skincare benefits, companies cater to evolving consumer expectations for efficacy, safety, and sustainability.

? Sustainability Focus

Growing demand for ethically sourced and environmentally friendly ingredients.

? Expanding Consumer Awareness

Preference for natural, clean-label, and skin-friendly formulations.

? E-commerce Growth

Wider accessibility, personalised shopping experiences, and increased online sales of beauty products.

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Textile Specialty Chemicals

The textile chemicals industry is undergoing a paradigm shift, propelled by sustainability imperatives, cutting- edge innovation, and dynamic consumer preferences. The textile specialty chemical market is expected to be valued at US$ 32.18 billion in 2025, the market is on course to reach US$ 50.54 billion by 2034, expanding at a CAGR of 5.32%. Technological breakthroughs and product innovations are reshaping the landscape, with technical textiles, rigorous quality benchmarks, and the globalisation of supply chains serving as primary growth catalysts. Key transformations include the emergence of digital printing chemicals, advanced antimicrobial treatments for better hygiene, and specialty formulations for high-performance applications. Additionally, strategic partnerships in sustainable textile chemistry and the accelerating shift towards circular fashion initiatives underscore the industrys dedication to eco-conscious innovation and performance-driven solutions.

(Source: https://www.precedenceresearch.com/textile-chemicals-market)

Growth Factors

Sustainability Push

Rising demand for biodegradable and non-toxic textiles is driving the shift toward sustainable textile chemicals.

Technological Advancements

Enhancing efficiency and expanding application possibilities, innovations in textile processing are driving significant advancements.

Fashion Industry Growth

Expanding global fashion sector is fuelling demand for textile chemicals in dyeing, finishing, and functional treatments.

Home Textiles Boom

Increasing demand for home textiles and upholstery is boosting the need for finishing and care products.

Regulatory Compliance

Accelerating the adoption of safer and eco-friendly textile chemicals, stringent regulations are driving change.

Chemicals

The Animal Nutrition Chemicals market is entering a pivotal phase in 2025, shaped by geopolitical shifts, supply chain disruptions, and a rapidly evolving regulatory framework. The animal nutrition market is expected to reach US$ 59.91 billion in 2024-25 and is projected to register a CAGR of 8.2% during 202529. While economic and political instability in 2024 posed challenges, the industry is being reshaped by emerging trends and transformative forces. Key growth drivers include economic revival, technological advancements, sustainability-driven initiatives, and an increasing preference for green feed additives, especially in light of Chinas progressive feed law reforms. However, tight profit margins and rising operational costs necessitate targeted strategies and country-specific business models to ensure resilience.

Cross-sector collaboration remains central to navigating regulatory intricacies and fostering sustainable growth, strengthening the markets ability to adapt to an ever-evolving global landscape.

(Source: https://www.researchandmarkets.com/ reports/5607792/2025-animal-nutrition-chemicals- market-report?srsltid=AfmBOoriHEco3V2-OP25MZ_ w278Ko0713smidxzFAg9dqqnYCmxMUbtQ)

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Growth Drivers

Digital Transformation

Rising adoption of online platforms and AI-driven processes is reshaping procurement, processing, and distribution in the animal nutrition chemicals market.

Supply Chain Resilience

Strengthening domestic supply chains and making strategic acquisitions are mitigating tariff risks and ensuring operational stability.

Sustainability Focus

Increasing emphasis on eco-friendly packaging, biobased nutrition solutions, and clean-label products to address environmental concerns.

Evolving Consumer Trends

Growing demand for organic, vegan, functional, and ready-to-eat (RTE) animal nutrition products, driven by health-conscious consumers, especially Gen Z.

Strategic Mergers & Acquisitions

Leading companies are leveraging M&A activities to acquire new technologies, expand product portfolios, and enhance market competitiveness.

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Agrochemicals Market

The global agrochemicals market is poised for steady growth, projected to expand from US$ 311.48 billion in CY 2025 to US$ 439.77 billion by 2029 at a CAGR of 9%. With a growing global population, maximising agricultural output is essential, driving demand for advanced agrochemicals. Innovations like nanofertilisers, microbial biopesticides, and AI-powered crop protection are reshaping the market, alongside a shift toward sustainable farming solutions. These chemicals enhance both the quality and quantity of crop production, helping farmers meet rising food demands. In 2024, the fertilisers segment led the market, driven by the need to improve crop yields efficiently. The crop protection chemicals segment is set for rapid growth, driven by the rising adoption of herbicides, fungicides, and insecticides to enhance yields, while innovations in soil-friendly and chemical- free farming methods, along with declining raw material costs, are shaping a more sustainable future for the industry.

Growth Drivers

Rising Global Food Demand

Increasing population and food consumption drive the need for enhanced agricultural productivity.

Advancements in Agrochemical R&D

Innovating and developing high-quality agrochemicals continuously to improve crop yield and efficiency.

Government Support & Policies

Rising focus on agricultural sustainability and productivity boosts demand for agrochemicals.

Declining Arable Land

Shrinking farmland necessitates the use of fertilisers and pesticides to maximise crop output.

Pest & Disease Management

Growing concerns over pest infestations and crop losses drive demand for effective crop protection solutions.

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Global Surfactants Industry

The surfactants market is undergoing a transformative upswing, driven by rising demand for cleaning, emulsifying, and foaming agents across a myriad of industries, in tandem with an increased emphasis on sustainability. In 2024, the sector witnessed substantial strides, marked by the introduction of surfactants that exhibit enhanced biodegradability, reduced toxicity, and exceptional cleaning performance. This evolution is especially pronounced in the personal care and household cleaning segments, where consumers are increasingly gravitating towards solutions that are not only highly effective but also environmentally conscientious. The global surfactants market, valued at approximately US$ 48.01 billion in 2025, is projected to rise to an estimated US$ 76.81 billion by 2034, clocking in a CAGR of 5.36% from 2025 to 2034. As we approach 2025, the upward trajectory is expected to persist, driven by rising investments in biobased and sustainable surfactant formulations that mitigate environmental impact and drive resource optimisation.

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Growth Drivers

Technological Innovation

Driving the development of advanced surfactants and manufacturing technologies, increased R&D investments are accelerating innovation.

Product Differentiation

Enhancing their offerings by focussing on niche performance attributes, companies are prioritising biodegradability and high-efficiency cleaning.

Market Expansion

Emerging applications, including sustainable agriculture and bio-based materials, are driving growth through diversification.

Strategic Partnerships

Fostering innovation and sustainable advancements, collaborations with research institutions and industry stakeholders are fuelling progress.

Ethoxylates Market

The ethoxylates market has experienced steady growth in recent years, driven by demand from a spectrum of industries, including surfactants, textile: leather, and agriculture. As of 2024, the market stands at US$ 14.22 billion, with forecasts projecting a rise to US$ 14.89 billion in 2025. This momentum is set to intensify further, propelling the market to US$ 18.7 billion by 2029, registering a CAGR of 5.9%. This sustained growth is driven by enhanced raw material accessibility, increasing utilisation in the energy sector, globalisation-induced demand surges, and consistent advancements in formulatior technologies. Additionally, key transformative trends shaping the market include product differentiation, supply chain resilience, the growing demand for environmentally friendly formulations, and the rising use of ethoxylates in household cleaning and personal care applications.

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Growth Drivers

Rising Demand from the Oil & Gas Industry

Increasing use of ethoxylates in drilling fluids is driving market growth.

Booming Industrialisation

Expanding manufacturing and mechanisation are boosting ethoxylate applications in key industries.

Growing Adoption in Agrochemicals

Rising adoption of ethoxylates in formulations for pesticides, herbicides, and fertilisers.

Escalating Demand for Sustainable Products

Gaining traction amid stricter environmental regulations, bio-based and eco-friendly ethoxylates are becoming more popular.

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Silicone Market

The silicone market is experiencing significant growth, fuelled by an interplay of key catalysts. The substantial expansion of the construction sector, the increasing adoption of silicone-based products in cosmetics and personal care, and intensive research and development (R&D) are collectively strengthening its market dominance. Recent years have seen significant market growth, with projections indicating an unceasing upward curve. Estimated at US$ 24.65 billion in 2024, the sector is anticipated to increase tc US$ 28.73 billion by 2025, clocking in CAGR of 16.6% This strong momentum is projected to persist, driving market valuation to US$ 50.05 billion by 2029, at a CAGR of 14.9%.

(Source: https://www.globenewswire.com/

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Growth Drivers

Automotive Sector Expansion

Rising vehicle production is driving demand for high-performance silicone components like gaskets, seals, and hoses.

Electronics Boom

Growing smartphone usage and semiconductor advancements are fuelling the need for silicon in electronic devices.

Industrial Coatings Innovation

Enhancing durability and heat resistance, advanced silicone resin binders are playing a crucial role in high-performance industrial coatings.

Construction Industry Growth

Increasing infrastructure projects and demand for weather-resistant materials are boosting silicone usage.

Personal Care & Healthcare Expansion

Growing consumer preference for silicone-based cosmetics and medical applications is driving market growth.

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Company Overview

About the Company

The Rossari Group, led by Rossari Biotech Limited, comprises a strong portfolio of subsidiaries including Unitop Chemicals Private Limited, Tristar Intermediates Private Limited, Buzil Rossari Private Limited, Rossari Consumer Products Private Limited and Romakk Chemicals Private Limited. As a diversified specialty chemicals conglomerate, the Group provides advanced, high-performance solutions tailored for a wide range of industries. Moreover, with a sharp focus on quality, innovation, and customer satisfaction, Rossari Group continues to strengthen its presence in global markets.

Rossari Biotech (also referred to as Rossari or The Company) is a leading specialty chemicals company. Committed to delivering high-quality, sustainable solutions across industries. Headquartered in Mumbai, India, with strategically located manufacturing facilities in Silvassa and Dahej, the Company brings over 27 years of expertise to the field. With a diverse portfolio of more than 4,300 tailored formulations, Rossari serves a wide range of industries, including FMCG, homecare, industrial cleaning, textiles, personal care, and animal nutrition. Its expertise spans Home, Personal Care & Performance Chemicals (HPPC), Textile Specialty Chemicals, and Animal Health & Nutrition (AHN), ensuring businesses receive well- researched, effective solutions. Furthermore, prioritising innovation, sustainability, and customer-centricity,

Rossari continues to redefine industry standards through technologically advanced and environmentally conscious manufacturing.

Unitop Chemicals Private Limited

Unitop Chemicals is a trusted name in surfactants and specialty chemicals, catering to diverse industries such as agrochemicals, oil and gas, textiles, pharmaceuticals, rubber, and personal care. With two state-of-the-art manufacturing facilities at Dahej and Jammu in India, the Company is actively enhancing its ethoxylation capacity to meet growing market demands. The expanded capacities will enhance Unitops ability to cater to high-growth segments, including agrochemicals, home and personal care, and specialty chemicals. Strengthening its global presence, Unitop has a joint venture with Hextar Unitop Sdn Bhd, in partnership with Malaysias Hextar Chemicals Sdn Bhd, specialising in high-performance chemical solutions. Backed by a dedicated R&D division, Unitop is committed to quality standardisation and continuous product innovation. Its well-established marketing network spans major Indian cities and international markets, reinforcing its position as a trusted partner in multiple industries worldwide.

Tristar Intermediates Private Limited

Tristar Intermediates specialises in perfumery chemicals, specialty chemicals, and dye intermediates, with over 22 years of industry expertise. Its product portfolio includes intermediates for disperse dyes, aroma chemicals, and specialty chemicals, catering to sectors such as personal care, pharmaceuticals, textiles, paints, automotive, and agrochemicals. The company operates three advanced production units within the Chemical Zone at GIDC, Sarigam, Gujarat, benefiting from a common effluent treatment facility to ensure sustainable and compliant manufacturing. With a strong focus on efficiency and customer-centric solutions, Tristar delivers high-quality, flexible, and cost-effective products to renowned companies and multinational corporations across India, Europe, the USA, and the Far East.

Buzil Rossari Private Limited

Buzil Rossari has world-class expertise in providing cleaning & hygiene solutions across segments and verticals not limited to Facility Management, Government, Hotels, Restaurants, Healthcare, Industries, and Offices amongst others, and across various applications. With new identity as ROSSARI PROFESSIONAL, the Company offers world- class cleaning products, pioneering in performance, sustainability, and economics. Buzil Rossaris cutting- edge technology, deep expertise, and powerful network, is shaping the future of consumer health and hygiene business. By addressing key market gaps, it has developed a comprehensive product portfolio, positioning itself as a one-stop solution provider for hygiene needs. With a strong customer-centric approach, Buzil Rossari continues to expand its offerings to serve diverse industry requirements.

Rossari Consumer Products Private Limited

Rossari Consumer specialises in pet care, offering a diverse range of products, including natural pet shampoos, powders, deodorizers, sprays, creams, and cleaning liquids for kennels and floors to support pet wellness. Expanding its portfolio, the company has introduced pet treats under the brand Hunger Fills and nutritious diet meals under the brand Sniffy, catering to the evolving needs of pet owners. With a commitment to quality and innovation, Rossari continues to develop safe, effective, and pet-friendly solutions, ensuring the well-being of pets across various categories.

Romakk Chemicals Private Limited

Romakk Chemicals specializes in the manufacturing and sale of silicone and silicone-based derivatives, including emulsions derived from basic silicone polymers. Established in April 2021, the company caters to diverse industries with its comprehensive product portfolio. As a joint venture between Rossari Biotech, McCoy, and KK Chemicals, the Company leverages over 25 years of collective expertise in specialty silicones in India. The Company has expanded its capabilities to include in-house production of silicone oils and lubricants, strengthening its presence in the specialty chemicals sector.

Business Overview

Home, Personal Care, and Performance Chemicals (hppc)

The HPPC division serves as a key growth catalyst, offering an expansive portfolio of specialty chemicals tailored for industries like FMCG, home and personal care, cosmetics, industrial cleaning, and agrochemicals. Grounded in innovation, the business excels in surfactants, esters, and biosurfactants, ensuring tailored solutions that anticipate and respond to shifting industry paradigms. The Companys strategic capacity expansions, particularly in ethoxylation and specialty chemical manufacturing, empower it to serve high-demand sectors with improved agility and operational efficiency. Additionally, with an extensive export network covering the Americas, Europe, and Asia, the division continues to strengthen its global footprint while strategically assessing entry into Gulf markets. Supported by advanced R&D and sustainable manufacturing, Rossaris HPPC business remains committed to delivering high-performance, bespoke solutions to meet the precise needs of domestic and global clients.

Textile Specialty Chemicals

Rossari stands as Indias preeminent manufacturer of textile specialty chemicals, offering comprehensive solutions that span the entire textile value chain- from fibre production and fabric processing to garment finishing. With an increasingly export- oriented approach, the Company maintains strong traction in key international markets, including Egypt, South-East Asia, North Africa, and Bangladesh. A strategic focus on high-margin finishing chemicals and advanced pretreatment solutions-supported by in-house surfactant manufacturing-ensures superior quality control and cost optimisation, solidifying its competitive edge. Further strengthening its portfolio, Rossari is advancing into the spin finish segment for synthetic fibres while integrating silicon-based raw materials to enhance product efficacy. Driven by a commitment to sustainability, innovation, and customer-centric development, the textile division continually refines its offerings to align with the evolving demands of the global textile industry.

Animal Health and Nutrition (AHN)

Rossaris AHN division offers an extensive range of over 100 products, from poultry feed supplements to pet grooming solutions and specialty additives designed to enhance animal health. The Company has strategically transitioned towards high-value specialty additives, focusing on advanced formulations such as therapeutic and gut health solutions developed through cutting-edge bioprocess technology. Strengthening its global footprint is a priority, with expansion efforts targeting Bangladesh, Nepal, and Sri Lanka. Rossaris investments in infrastructure, scientific expertise, and next-generation feed innovation position it as a trusted leader in the industry. By utilising scientific advancements and customer-centric innovation, the Company aims to drive sustainable growth and establish a strong presence in both domestic and international markets.

Business Strengths and Opportunities

Rossaris diversified model, strong R&D, and focus on sustainable, customised solutions helped it deliver resilient growth in FY25, despite global headwinds. Its broad sector presence and expanding international footprint continue to unlock new opportunities.

?Versatile Leader in Specialty Chemicals

The Company has continued to strengthen its leadership in the specialty chemicals space, particularly in the HPPC, TSC & AHN division during the year. The Company leveraged its diversified product portfolio- spanning FMCG, agro chemicals, personal care, textiles, ceramics, oil & gas, and animal nutrition-to maintain growth momentum through increased exports, demonstrating agility in navigating regional and sectoral volatility.

^ Robust Distributor and Client Engagement Strategy

The Company is deepening its direct customer engagement across over 1,000+ clients globally, supported by a balanced distribution strategy. With a diversified client base and a vast portfolio of 4,300 products, the Company further reduced customer concentration risks. Enhanced responsiveness and service reliability led to sustained client relationships, helping the Company expand into international markets and generate repeat business.

Focus on Green and Sustainable Chemical Solutions

Sustainability remained a key growth driver this year as Rossari accelerated its shift toward eco-friendly, biodegradable, and resource-efficient chemical alternatives. With increasing global regulatory focus, particularly in Europe and North America, the Companys sustainability-focused innovations helped unlock new opportunities and reinforce its position as a responsible, forwardlooking partner in specialty chemicals.

Strategic Expansion to Drive Future Growth

Rossaris expansion initiatives at the Dahej facility gathered momentum during the year, with major capex of ?1,780 million towards scaling HPPC and ethoxylation capacity under Unitop. These investments are aligned with the rising demand in export markets for agrochemicals, pharmaceuticals, and oil & gas segments, positioning the Company for accelerated growth and better export competitiveness through backward integration.

Robust R&D Capabilities

The Company doubled down on innovation by enhancing R&D infrastructure and strategic partnerships. The Companys agile innovation engine led to faster product launches in niche segments, aligned with global quality and sustainability standards, strengthening its competitive positioning in both domestic and international markets.

Developments of the Year

Financial Performance

Rossaris financial performance in 2024-25 demonstrated steady growth across key metrics, driven by strategic initiatives and operational efficiencies. Revenue from operations increased to ? 20,802.94 million in 2024-25 from ? 18,305.58 million in 2023-24, supported by market expansion and a diversified product portfolio. EBITDA improved to ? 2,650.82 million from ? 2,497.55 million, reflecting enhanced cost efficiencies and supply chain optimisation. Profit after Tax (PAT) rose to ? 1,363.78 million from ? 1,306.89 million, benefitting from improved operational synergies and margin enhancement. Additionally, Earnings per Share (EPS) (Diluted) increased to ? 24.63 from ? 23.62, underscoring the Companys focus on value creation and sustainable long-term growth.

Ratios of the Company on a Consolidated Basis

Ratios	2024-25	2023-24	Variance	Remarks
Current Ratio (in times)	1.9	2.0	(5.0%)
Debt-to-Equity Ratio	0.1	0.1	-
Debt Service Coverage Ratio	1.93	2.32	(16.81%)
Return on Equity Ratio (in times)	0.1	0.1	-
Inventory Turnover Ratio (in times)	6.5	7.7	(15.6%)
Trade Receivables Turnover Ratio (in times)	4.6	4.7	(2.1%)
Net Profit Ratio (in %)	6.6	7.1	(7.0)
Operating Profit (in %)	9.5	10.3	(7.8%)

Dividend

The Board of Directors has proposed a dividend of ? 0.50 per share for the financial year 2024-25. For further details, please refer to the Rossari Dividend Distribution Policy available on the Companys website.

Risk Management, Audit, and Internal Control

Audit and internal control are integral to Rossaris business framework, solidifying its leadership in Indias specialty chemicals sector. The Companys structured risk management system identifies, assesses, and mitigates operational risks, enhancing decision-making, minimising potential setbacks, and presenting business opportunities.

The Risk Management Committee is chaired by Mr. Sunil Chari, with members including Mr. Edward Menezes, Ms. Esha Achan, and Mr. Mikhail Menezes. The Committee is responsible for overseeing the execution of the Companys risk management framework in line with the requirements prescribed under SEBI Regulations.

The Committee ensures a structured and proactive approach to risk management, encompassing:

? Risk identification

? Risk classification

? Risk assessment and prioritisation

? Risk mitigation

? Risk tracking and reporting

To ensure operational efficiency and uphold financial integrity, Rossari has implemented a robust internal control system focused on asset security, fraud prevention, and regulatory compliance. The internal audit function, covering all business units and subsidiaries, continuously evaluates the effectiveness of controls and reports directly to the Audit Committee. Coupled with sound risk management practices, dynamic pricing strategies, and a diversified client portfolio, Rossari remains well-equipped to navigate market uncertainties while safeguarding stakeholder interests.

Risk	Impact	Mitigation
Demand Risk	A decline in demand or reduced consumption in specific business units may adversely affect the Companys operations and future growth prospects.	Rossari has built strong relationships with a diversified client base and an extensive distributor network across its three core business divisions. The Company also mitigates demand concentration by expanding into new business lines within key chemistries, thereby reinforcing its long-term growth trajectory.
Client Concentration risk	Depend significantly on a small group of clients could expose the Companys operational risks.	With a customer base exceeding 1,000 the Company engages with multinational corporations, domestic enterprises, and local businesses, maintaining a well- balanced revenue mix. The Company actively explores new business opportunities to enhance market reach and minimise client dependency.
Raw Material Risk	Supply disruptions or raw material price volatility may impact the Companys financial performance.	With a robust risk management framework, the Company effectively navigates raw material price fluctuations. Strategic sourcing flexibility preserves product quality and performance, while solution-based engagements allow cost adjustments to be shared with customers.
Manufacturing Operations Risk	Any disruption, slowdown, or shutdown at manufacturing facilities may impact business operations.	The Companys manufacturing facilities in Silvassa and Dahej are designed with adaptable capacities, enabling seamless production shifts between powders, granules, and liquids across multiple product categories. This flexibility ensures business continuity and reduces operational risks.
Quality Assurance and Certifications Risk	Loss of certifications or noncompliance with quality standards may impact customer confidence and hinder business growth.	Sustainability lies at the core of the Company operations, reflected in its eco-friendly production practices and strict adherence to industry regulations. The Companys R&D and manufacturing processes are guided by advanced quality assurance protocols, reinforcing its unwavering commitment to operational excellence, environmental responsibility, and long-term stakeholder value.
Regulatory Risk	Failure to meet regulatory requirements may impact operations and sales performance.	The Company actively collaborates with regulatory authorities to ensure full compliance with applicable legal and industry standards. Comprehensive audits, both internal and external, strengthen financial transparency and operational integrity.Audit findings are regularly reviewed by the Audit Committee, strengthening accountability and fostering a culture of ethical governance.

Human Resources

As of 31^st March 2025, Rossaris workforce stood at 1,274 with a strong emphasis on attracting, developing, and retaining talent. The Company organises comprehensive training programmes to enhance industry knowledge, promote cross-functional learning, and support holistic employee growth which further strengthened Rossaris HR framework, ensuring seamless integration, operational synergy, and a cohesive workplace culture. Prioritising employee well-being, Rossari fosters a safe and ethical work environment, reinforced by a whistle-blower policy that encourages reporting of misconduct without fear of retaliation. This policy, overseen by the Board of Directors, is accessible on the Companys website at: www.rossari. com.

1,274

Total Workforce

Cautionary Statement

This Annual Report contains forward-looking statements that are subject to uncertainties and risks. Actual results may vary significantly due to factors such as global and domestic supply-demand dynamics, fluctuations in input costs and selling prices, regulatory and tax law changes, economic conditions in India and international markets, legal proceedings, labour relations, and other unforeseen circumstances.