Shreenath Paper Products Ltd Auditor Reports

Independent Auditors Examination report on Restated Financial Information ofShreenath Paper Products Limited (Formerly known as Shreenath Paper Products Private Limited)

To,

The Board of Directors

Shreenath Paper Products Limited

(Formerly Known as Shreenath Paper Products Private Limited)

Shop No.5, Plot No. 136, Masco Comer, API Road,

CIDCO, CHH. Aurangabad 431003

Dear Sirs,

1. We have examined the attached Restated Financial Information of Shreenath Paper Product Limited (Formerly known as Shreenath Paper Product Private Limited.) (the "Company") comprising the Restated Statement of Assets and Liabilities as at December 31, 2024, March 31, 2024, March 31, 2023 and March 31,2022 the Restated Statements of Profit and Loss and the Restated Cash Flow Statement for the period ended December 31, 2024 and for the year ended March 31, 2024,2023 and 2022, the Summary Statement of Significant Accounting Policies, and other explanatory information (collectively referred to as, the "Restated Financial Information"), as approved by the Board of Directors of the Company at their meeting held on 12111 December, 2024 for the purpose of inclusion in the Draft Prospectus/ Prospectus prepared by the Company in connection with its proposed Initial Public Offer of equity shares ("IPO") on SME Platform of Bombay Stock Exchange of India Limited ("BSE SME").

These restated Summary Statement have been prepared in terms of the requirements of:

a. Section 26 of Part I of Chapter III of the Companies Act, 2013 (the "Act")

b. The Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018, as amended ("ICDR Regulations"); and

c. The Guidance Note on Reports in Company Prospectuses (Revised 2019) issued by the Institute of Chartered Accountants of India ("ICAI"), as amended from time to time (the "Guidance Note").

2. The Companys Board of Directors is responsible for the preparation of the Restated Financial Information for the purpose of inclusion in the Draft Prospectus/ Prospectus to be filed with the BSE SME platform of the Bombay Stock Exchange of India Limited, Registrar of Companies, Maharashtra in connection with the proposed IPO. The Restated Financial Information have been prepared by the management of the Company on the basis of preparation stated in Annexure 4 to the Restated Financial Information. The responsibilities of the Board of Directors of the Company includes designing, implementing, and maintaining adequate internal control relevant to the preparation and presentation of the Restated Financial Information. The Board of Directors are also responsible for identifying and ensuring that the Company complies with the Act, ICDR Regulations and the Guidance Note.

3. We have examined such Restated Financial Information taking into consideration:

a. The terms of reference and terms of our engagement agreed upon with you in accordance with our engagement letter dated September 30, 2024 in connection with the proposed IPO of equity shares of Shreenath Paper Products Limited (the "Issuer Company") on BSE SME platform of Bombay Stock Exchange of India Limited ("BSE SME");

b. The Guidance Note also requires that we comply with the ethical requirements of the Code of Ethics issued by the ICAI;

c. Concepts of test checks and materiality to obtain reasonable assurance based on verification of evidence supporting the Restated Financial Information; and

d. The requirements of Section 26 of the Act and the ICDR Regulations. Our work was performed solely to assist you in meeting your responsibilities in relation to your compliance with the Act, the ICDR Regulations and the Guidance Note in connection with the IPO.

4. These Restated Financial Information have been compiled by the management from:

a. Audited Financial Statements of the Company for the period ended on December 31, 2024 prepared in accordance with Accounting Standards specified under section 133 of the Act and other accounting principles generally accepted in India, which has been approved by the Board of Directors at their meeting held on 24" January, 2025.

b. Audited Financial Statements of the Company for the year ended on March 31, 2024 prepared in accordance with Accounting Standards specified under section 133 of the Act and other accounting principles generally accepted in India, which has been approved by the Board of Directors at their meeting held on 4lh September, 2024.

c. Audited Financial Statements of the Company for the years ended on March 31, 2023 and March 31, 2022 prepared in accordance with the Accounting Standards as prescribed under Section 133 of the Act read with Companies (Accounting Standards) Rules as amended, and other accounting principles generally accepted in India, which have been approved by the Board of Directors at their meeting held on 18th August, 2023 and 20th August, 2022 respectively.

5. We have Audited the financial statements of the company for the period ended December 31, 2024 and prepared in accordance with the accounting standards as prescribed under Section 133 of the Act for the limited purpose of complying with the requirement of getting its financial statements audited by an audit firm holding a valid peer review certificate issued by the "Peer Review Board" of the ICAI as required by ICDR Regulations in relation to the proposed IPO, Which have been approved by the Board of Directors. We have issued our report dated 24th January, 2025 on this financial information to the Board of Directors who have approved these in their meeting held on 24" January, 2025.

6. For the purpose of our examination, we have relied on:

a. Auditors Report issued by us dated 24th January, 2025 on the financial statement of the Company for the period ended 31st December 2024.

b. Auditors Report issued by Ratan Chandak & Co. LLP dated 04* September, 2024 on the financial statement of the Company for the year ended 31st March 2024.

b. Auditors Report issued by M/s.R I Nilangc & Co., Chartered Accountants for the financial year ended March 31, 2023 and March 31, 2022 respectively as referred in Paragraph 4 above.

The Audit for the previous financial years were conducted by the Companys previous auditors by Ratan Chandak & Co. LLP dated 04,h September, 2024 for the financial year ended March 31, 2024 and by RI Nilange & Co, Chartered Accountants dated 18th August 2023 for the financial year ended March 31,2023, by R I Nilange & Co, Chartered Accountants dated 19th August 2022 for the financial year ended March 31, 2022 ("the Previous Auditor). We have performed adequate procedures to restate the Financial Information for the said years. The Examination Report included for the said years is based solely on the report submitted by the Previous Auditor.

7. There were no qualifications in the Audit Reports issued by us and by previous auditor as at and for the period ended December 31, 2024 and for the years ended March 31, 2024, March 31, 2023, March 31, 2022 and which would require adjustments in this Restated Financial Information of the Company.

8. Based on our examination and according to the information and explanations given to us, we report that:

a. The Restated Summary Statements have been made after incorporating adjustments for the changes in accounting policies retrospectively in respective financial period/years to reflect the same accounting treatment as per the changed accounting policy for all reporting periods, if any;

b. The Restated Summary Statements do not require any adjustments for the matter(s) giving rise to modifications mentioned in paragraph 7 above.

c. The Restated Standalone Summary Statements have been prepared in accordance with the Act, ICDR Regulations and the Guidance Note.

d. The Restated Summary Statements have been made after incorporating adjustments for prior period and other material amounts in the respective financial years/period to which they relate, if any and there are no qualifications which require adjustments;

e. Extra-ordinary items that need to be disclosed separately in the accounts has been disclosed wherever required;

f. The details of Prior period Adjustments are given in Annexure 5 of the Restated Financial Statements.

g. From Financial Year 2021 -22 to period ended December 31,2024, the period covered in the restatement, the Company has not declared and paid any dividend.

9. We have also examined the following other financial information relating to the Company prepared by the Management and as approved by the Board of Directors of the Company and annexed to this report relating to the Company as at and for the period ended December 31,2024 and for the years ended March 31,2024, March 31, 2023 and March 31, 2022 proposed to be included in the Draft Prospectus/ Prospectus.

10. We, M/s. S H Dama & Associates, Chartered Accountants have been subjected to the peer review process of the Institute of Chartered Accountants of India ("ICAI") and hold a valid peer review certificate issued by the "Peer Review Board" of the ICAI.

11. The Restated Financial Information do not reflect the effects of events that occurred subsequent to audited financial statements mentioned in paragraph 5 above.

12. This report should not in any way be construed as a reissuance or re-dating of any of the previous audit reports issued by us, nor should this report be construed as a new opinion on any of the financial statements referred to herein.

13. We have no responsibility to update our report for events and circumstances occurring after the date of the report.

14. Our report is intended solely for use of the Board of Directors for inclusion in the Draft Prospectus/ Prospectus to be filed with the BSE SME platform of the Bombay Stock Exchange of India Limited and Registrar of Companies, Maharashtra in connection with the proposed IPO. Our report should not be used, referred to, or distributed for any other purpose except with our prior consent in writing. Accordingly, we do not accept or assume any liability or any duty of care for any other purpose or to any other person to whom this report is shown or into whose hands it may come without our prior consent in writing.