Your Directors have immense pleasure in presenting the Annual Report on the business and operations
of your company along with the Audited Financial Statements (Standalone and Consolidated) for the
Financial Year ended March 31st, 2026.

1. Financial Summary

The summarised standalone and consolidated Financial Statements of your Company are
given in the table below:

(Rs. in Lakhs)

2. Summary of Operations & State of Company’s Affairs

The profit for the year under consideration i.e., financial year 2025-26, before depreciation,
finance charges and tax is Rs. 75,857.41 Lakhs as compared to a profit of Rs. 68,462.87 Lakhs
in the previous financial year i.e., Financial year 2024-25. The profit for the year after tax is
Rs. 53,786.19 Lakhs as against a profit of Rs. 49,229.98 Lakhs during the previous financial
year.

Your Company reported 5,62,060 MTs sales of Shrimp Feed during Financial year 2025¬
26 as compared to 5,55,247 MTs Shrimp Feed sales in the immediately preceding financial year
2024-25, a growth of 1.23% in volume.

There have been no material changes and commitments, which affect the financial position of
the Company which have occurred between the end of the financial year to which the financial
statements relate and the dates of this report.

During the year under review, there is no change in nature of the business of the Company. The
affairs of the Company are conducted in accordance with the accepted business practices and
within the purview of the applicable legislations.

3. Share Capital

During the year under review, there was no change in the share capital of the Company.
Authorized Share Capital

The Authorized Share Capital of the Company as on March 31st, 2026 is Rs. 15,85,00,000 (Rupees
Fifteen Crores and Eighty Five Lakhs) divided into 15,85,00,000 equity shares having face value
of Rs. 1/- each.

Paid-up Equity Share Capital

The paid-up Equity Share Capital is Rs. 13,62,45,630 (Rupees Thirteen Crores Sixty Two Lakhs
Forty Five Thousand Six Hundred and Thirty) divided into 13,62,45,630 equity shares having face
value of Rs. 1/- each.

Re-classification from promoter group to public

The Board of Directors of the Company at its meeting held on November 14, 2024 has inter
alia, approved the request for re-classification of one of the Shareholder i.e., Sri Vijaya Kumar
Chukkapalli, holding Nil Equity Shares (0%), from “Promoter Category” to “Public Category”,
accordingly the Company filed the Reclassification Application with BSE Limited and National
Stock Exchange India Limited” on November 23, 2024. The Company has received the approval
from National Stock Exchange of India Limited and BSE Limited on June 26, 2025.

4. Reserves

During the year under review, an amount of Rs. 2700.00 Lakhs was transferred to Reserves out of
the current year profits.

5. Dividend

Your Directors have recommended a dividend of Rs. 10 (Rupees 10 only)per equity share
of Rs. 1/- each fully paid for the Financial year 2025-26. The dividend, if declared by the
members at the ensuing 33^rd Annual General Meeting will be paid within the time line as
prescribed under the Companies Act, 2013 (“the Act”) subject to deduction of tax at source (TDS)
as applicable.

The dividend, if approved, would result in a cash outflow of approximately Rs. 13,624.56 Lakhs
resulting in a dividend payout of 25.33% of the standalone profits of the Company.

The dividend recommended is in accordance with the Dividend Distribution Policy of the
Company. The policy in terms of Regulation 43A of SEBI (Listing Obligations and Disclosure
Requirements) Regulations, 2015, (“Listing Regulations”) is available on the Company's website at
https://avantifeeds.com/policies/

6. Alteration of Articles of Association

During the year under review, your Company has not altered its Articles of Association.

7. Board of Directors

a. Composition of the Board

The Composition of the Board of Directors is in conformity with Regulation 17 of Listing
Regulations. The present strength of the Board of the Company is as follows:

*The Board of Directors, at its meeting held on May 28, 2026, approved the relinquishment of Mr. C. Ramachandra Rao
from the position of Chief Financial Officer (CFO) of the Company and appointed Ms. B. Santhi Latha as Chief Financial
Officer (CFO) of the Company with effect from June 1, 2026.

b. Number of Meetings of the Board

During the period, Five (5) meetings of the Board of Directors were held. The details of
the meetings held and attended by the Directors are given in the Report on Corporate
Governance, which forms part of this Board's Report.

8. Changes in Directors and Key Managerial Personnel

During the year under review, Sri. Alluri Nikhilesh was appointed as an Additional Non-Executive
Director w.e.f May 28, 2025, appointed as Director vide approval of the members by way of
ordinary resolution at the 32^nd Annual General Meeting dated August 14, 2025.

Mr. V. Raghunath was appointed as a Nominee Director of APIDC on the Board of the Company
with effect from December 21, 2023. He was absent continuously for the meetings for more than
12 months; therefore, his office as Director ceased on May 21, 2025. APIDC vide its letter noted
the cessation of office of Sri Ragunath Vemali and once again freshly nominated Sri Raghunath
Vemali as a Nominee Director of APIDC on the Board of the Company.

Sri Raghunath Vemali was nominated as an additional Nominee Director by Andhra Pradesh
Industrial Development Corporation Limited (“APIDC”) and appointed by the Board of the
Company at its meeting held on May 28, 2025, appointed as Nominee Director vide approval of
the members by way of ordinary resolution at the 32^nd Annual General Meeting dated August 14,
2025.

Appointment of Independent Director

1. Based on the recommendation of Nomination & Remuneration Committee and Board,
Mr. V Narsi Reddy, was re-appointed as a Non-Executive Independent Director on the Board
of the Company for the second term of Five (5) consecutive years commencing from 12^th
November, 2025, up to 11^th November, 2030 (both days inclusive) by way of Special Resolution
at the 32^nd Annual General Meeting dated 14^th August 2025.

Retirement of Directors

In terms of Article 80 and 87 of the Articles of Association of the Company, Mr. N. Ram
Prasad and Mr. Yongyut Setthawiwat, Directors liable to retire by rotation at the ensuing 33^rd
Annual General Meeting (“AGM”) and being eligible, offer themselves for re-appointment. The
Nomination and Remuneration Committee and Board recommended their re-appointment
for approval of the Shareholders at the ensuing 33^rd AGM.

Key Managerial Personnel (“KMP”)

Dr. A. Indra Kumar, Chairman and Managing Director, Sri C. Ramachandra Rao, Joint
Managing Director, Company Secretary, Compliance Officer and Chief Financial Officer, and
Sri A. Venkata Sanjeev, Executive Director are the KMPs of the Company. There were no
changes in Key Managerial Personnel of the Company during the year.

Apart from aforesaid, there were no other changes in Directors. The details of Directors,
Key Managerial Personnel and composition of various Committees and changes of the
Board are given in the Report on Corporate Governance which forms part of the
Board's Report.

9. Committees of the Board

The details of the Committees of the Board viz., Audit Committee, Nomination and Remuneration
Committee, Stakeholders Relationship Committee, Risk Management Committee and Corporate
Social Responsibility Committee, are given in the Report on Corporate Governance which forms
part of the Board’s Report.

10. Familiarization Programme for Independent Directors

All Independent Directors are familiarised with the operations and functioning of the Company
at the time of appointment and on an on-going basis. The details of the training and familiarisation
programme are given in the Report on Corporate Governance which forms part of the Board’s
Report and is available on the website of the Company atwww.avantifeeds.com/investors

11. Statement of Declaration given by Independent Directors

As required under Section 149 of the Act, the Independent Directors have submitted
the declaration affirming that they meet the Criteria of Independence as provided in
Section 149(6) of the Act and Regulation 25 of Listing Regulations. In the opinion of the Board,
the Independent Directors of the Company possess necessary expertise, integrity and
experience.

12. Separate Meeting of Independent Directors

A separate meeting of Independent Directors was held on March 11, 2026, to review the performance
of the Non-Independent Directors and the Board as a whole, to review the performance of
Chairperson of the Company and assess the quality, quantity and timeliness of flow of information
between the management and the Board that is necessary for the Board to effectively
and reasonably perform its duties. All the Independent Directors were present at the meeting.

13. Nomination and Remuneration Policy.

The Company’s policy on Directors’ Appointment and Remuneration and other matters as
provided in Section 178(3) of the Act are given in the Report on Corporate Governance
which forms part of the Board’s Report and is also available on the website of the Company at
https://avantifeeds.com/ policies.

14. Annual Return

Pursuant to the provisions of Section 92(3) and Section 134(3) of the Act read with Rule 12
of the Companies (Management and Administration) Rules, 2014 as amended from time to time,
the Annual Return of the Company as on 31^st March, 2026 in e-form MGT-7, is available on the
Company’s website and can be accessed atwww.avantifeeds.com/downloads/.

15. Loans, Guarantees or Investments

Pursuant to provisions of Section 186 of the Act, read with Companies (Meetings of Board and its
Powers) Rules, 2014, the particulars of loans given, guarantees provided and investments made by
the Company during the Financial year 2025-26 are disclosed in the notes to Financial Statements
which forms part of this report.

16. Particulars of Contracts or arrangements with Related Parties

All contracts / arrangements / transactions entered by the Company during the Financial year
2025-26 with related parties were in its ordinary course of business and are on an arm's length
basis. During the year, the Company had not entered into any contract / arrangement / transaction
with related parties which could be considered material in accordance with the policy of the
Company on materiality of related party transactions or which is required to be reported in Form
No. AOC-2 in terms of Section 134(3)(h) read with Section 188 of the Act and Rule 8(2) of the
Companies (Accounts) Rules, 2014.

However, the details of all the related party transactions are disclosed in the notes to the Financial
Statements.

The Company formulated a Policy on dealing with Related Party Transactions. The policy is
available on the Company's website and can be accessed at: https://avantifeeds.com/policies.

17. Evaluation of Performance of Board, Committees and Directors

Performance evaluation of the Board as a whole, the committees and all individual directors
including Independent Directors has been carried out for the Financial year under review in
accordance with the criteria framed pursuant to the provisions of the Companies Act, 2013, Listing
Regulations and Guidance notes issued by SEBI. The manner in which the evaluation was carried
out is given in the Report on Corporate Governance which forms part of the Board's Report.

18. Corporate Governance

Report on the Corporate Governance together with a Certificate from Independent auditors on
compliance with conditions of Corporate Governance as stipulated under Listing Regulations
forms part of this Board's Report.

19. Risk Management Policy

In terms of the requirement of Section 134(3)(n) of the Act, the Company has developed and
implemented the Risk Management Policy. The Company has constituted a Risk Management
Committee which frames, implements and monitors Risk Management Plan and lays down
procedures periodically to inform the Board on the risk assessment and risk minimization
procedures much before it was introduced as a Statutory Compliance.

The Risk Management Committee is in compliance with the provisions of Regulation 21 of Listing
Regulations. The Company has adopted a structured Risk Management Policy in accordance with
the provisions of the Act and Regulation 21 of Listing Regulations.

The Risk Management Committee has an additional oversight in the area of risk
management.Any major risks identified by the business and functions are systematically
addressed through mitigating actions on a continuing basis.

The Board oversees Company's processes for determining risk tolerance and review management's
action and comparison of overall risk tolerance to established levels. The framework is designed
to enable risks to be identified, assessed and mitigated appropriately. Any major
risks identified by the businesses and functions are systematically addressed through
appropriate actions on acontinuous basis.

20. Whistle Blower Policy-Vigil Mechanism

The Company has established a Whistle Blower Policy for its Directors and Employees to report
their concerns about any unethical behavior, actual or suspected fraud or violation of the
Company's code of conduct or ethics policy and Code of Conduct to regulate, monitor and report
trading by Insiders. The practice of Whistle Blower Policy is overseen by the Audit Committee and
no employee has been denied access to the Committee. The Whistle Blower Policy is available at
the Company's website at https://avantifeeds.com/policies/.

21. Maintenance of Cost Records

The Company has maintained the Cost records as required to be maintained under Section 148(1)
of the Act.

22. Corporate Social Responsibility (CSR)

As per Section 135(5) of the Act, the Company shall ensure that an amount of 2% of the average
Net Profits of the Company made during the three immediately preceding financial years shall
be spent towards Corporate Social Responsibility activities. For the Financial year 2025-26, the
amount to be spent towards CSR activities works out to Rs. 818.65 Lakhs. The Company has
spent Rs. 368.65 Lakhs towards the CSR activities in the Financial Year 2025-26 and Rs. 450.00
Lakhs has been set aside for the utilization of ongoing project, AU-AVANTI - Aquaculture Skill
Development Center and Avanti Vocational Training Centers has been established.

The Annual Report on CSR activities in terms of the requirements of Companies (Corporate
Social Responsibility Policy) Rules, 2014, is enclosed at Annexure-1, which forms part of this
Board's Report.

23. Subsidiaries, Joint Ventures and Associate Companies
23.1 Subsidiaries1. Avanti Frozen Foods Private Limited (“AFFPL”):

During the year, AFFPL has reported a turnover of Rs. 1,68,946.48 Lakhs and the profit
before tax is Rs. 17,820.98 Lakhs. The Profit after tax reported by AFFPL is Rs. 13,030.00
Lakhs for the Financial year 2025-26.

The Secretarial Audit report of AFFPL as required under regulation 24 A of the Listing
Regulations, is provided as a separate annexure forming part of this Board's Report.
Further, the annual report is being sent to the members excluding the aforesaid
annexure. The same is available for inspection and any member interested in obtaining
a copy of the same may write to the company atinvestors@avantifeeds.com.

2. Avanti Pet Care Private Limited (APCPL):

The Company has commenced its operations by trading in pet food i.e., by
importing pet food from the Joint Venture Partner and selling the same in India
under Avant Furst brand. The Company is in the process of acquiring land for
setting up a manufacturing plant in Hyderabad to manufacture the pet care
products.

During the period under review, APCPL has achieved a turnover of Rs. 421 lakhs
and recorded a net loss of Rs. 476 lakhs.

3. Srivathsa Power Projects Private Limited (“SPPPL”):

The Company continued to stop generating power due to increase in the cost of APM-
gas and non- availability of APM-gas since May, 2022. In addition to that in the month of
July, 2022, Gail India Limited - a Government of India undertaking - a Maharatna
Company, who is a natural gas supplier to Srivathsa, had informed that, as per the
Ministry of Petroleum and Natural Gas guidelines and directives, the APM gas from KG
basin allocated to power plants will be diverted to CGD (City Gas Distribution) entities
outside KG basin w.e.f 01^st August, 2022. As per the above guidelines, Srivathsa is not
getting APM gas from Gail India Limited. As a result, there is no power generation during
the financial year. During the year 2025-26, the Company reported Other Income of
Rs. 28.93 Lakhs and a loss of (Rs. 103.45) Lakhs after charging interest and depreciation,
as per audited financials.

4. Sealuxe B.V., Netherlands:

During the year under review, the Company has raised Rs. 10.76 lakhs as Capital.

During the period under review, Sealuxe B.V., Netherlands, did not generate any turnover
and incurred a net loss of Rs. 9.24 lakhs.

23.2 The consolidated financial statements of the Company and its subsidiaries were prepared
in accordance with the accounting principles as generally accepted in India, including the
Accounting Standards as specified under Section 133 of the Act, read with relevant Rules,
form part of the Annual Report and are reflected in the Consolidated Financial Statements
of the Company.

23.3 The Annual financial statements of the subsidiaries and related detailed information will be
kept at the Registered Office and Corporate Office of the Company and also at the Registered
Offices of the respective subsidiaries and also available on the website of the Company at
https://avantifeeds.com/financial-reporting.

23.4 The Company has adopted a Policy for determining Material subsidiaries in terms of
Regulation 16(1)(c) of Listing Regulations. The Policy approved by the Board is available on
the website of the Company at https://avantifeeds.com/policies/.

23.5 Joint Ventures

Your Company has no Joint Venture.

23.6 Associate Company

Patikari Power Private Limited (“PPPL”)

The Company holds 25.88% equity shares in PPPL which has a 16 MW Hydel Power Project
in Himachal Pradesh, India. During the Financial year 2025-26 as per audited financials the
Company generated 8.75 Million Units of saleable energy, yielding a gross sales income of
Rs. 196.85 Lakhs which resulted in a net loss of Rs. 415.95 Lakhs after charging
interest, depreciation and tax.

23.7 Names of companies which have become or ceased to be, its Subsidiaries, joint ventures or
Associate companies:

There were no joint ventures or Associate companies incorporated or ceased during
the year

Statement containing salient features of financial statements of subsidiaries and associates.
Pursuant to Section 129(3) of the Act, the statement containing the salient features of the
financial statements of Company's subsidiary and associate companies in the Form AOC-1 is
enclosed at Annexure-2 of Board's Report.

24. Management Discussion & Analysis

A Report on Management Discussion and Analysis (MDA) which forms part of the Board's
Report as per the requirements of Regulation 34 of Listing Regulations is enclosed at
Annexure-3.

25. Business Responsibility and Sustainability Report

The Business Responsibility and Sustainability Report (BRSR) of your Company for the Financial
year 2025-26, which forms part of this Board's Report as required under regulation 34(2)(f) of
listing regulations is enclosed at Annexure-4.

26. Listing at Stock Exchanges

The equity shares of your Company continue to be listed and traded on the BSE Limited and
National Stock Exchange of India Limited. The Annual Listing fee for the Financial year 2025-26 has
been paid to both the Stock Exchanges.

27. Internal Controls Systems and Adequacy

The Company has in place an adequate system of internal controls. The details of the internal
controls System are given in the MDA Report which forms part of the Board's Report.

The internal financial controls with reference to the Financial Statements for the Financial year
ended March 31st, 2026 commensurate with the size and nature of business of the Company.

The measures implemented for internal financial controls include multiple authority levels for
approval of expenditures, budgetary controls and internal audit etc.

28. Audit and Auditors

a. Independent Auditors, their Report and Notes to Financial Statements

M/s. Tukaram and Co. LLP, Chartered Accountants (Firm Registration No. 004436S/
S200135) were re-appointed as Statutory Auditors of the Company at the 29^th AGM held on
August 12, 2022, to hold office till the conclusion of the 34^th AGM.

The report of the Independent Auditors along with notes and Schedules are annexed to this
Board's Report.

There were no qualifications, reservations or adverse remarks or disclaimers made by
Independent Auditors i.e. Tukaram and Co., LLP, Chartered Accountants, Hyderabad, in
their report.

b. Internal Auditor

In terms of Section 138 of the Act, and the relevant Rules, the Company re-appointed M/s.
Manohar Chowdhry and Associates, Chartered Accountants as Independent InternalAuditors
of the Company for a further period of three years. The Internal Auditor directly reports to
the Audit Committee.

c. Secretarial Auditor

In terms of Section 204 of the Act and the Rules made thereunder, read with Regulation
24A of SEBI (LODR) Regulations, 2015, M/s. V Bhaskara Rao and Co., Hyderabad, Practicing
Company Secretaries have been appointed as the Secretarial Auditors of the Company for a
term of 5 years (i.e., from FY 2025-26 to FY 2029-2030) at the 32^nd Annual General Meeting
held on 14^th August, 2025. The report of the Secretarial Auditor is annexed to this Report.
There were no qualifications, reservations or adverse remarks or disclaimers made by the
Secretarial Auditors.

d. Annual Secretarial Compliance Report

The Annual Secretarial Compliance Report for the Financial year ended March 31st, 2026,
on compliance with all applicable SEBI Regulations and circulars / guidelines, issued by M/s.
V. Bhaskara Rao and Co., Company Secretaries, was submitted to BSE Limited and National
Stock Exchange of India Limited.

29. Compliance with Secretarial Standards

The Company complies with the applicable Secretarial Standards issued by the Institute of
Company Secretaries of India (ICSI).

30. Director’s Responsibility Statement

Pursuant to the requirement Section 134(3)(c) of the Act, your Directors confirm that:

a. in the preparation of the annual accounts, the applicable accounting standards had
beenfollowed along with proper explanation relating to material departures;

b. 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 financial year and of
the Profitof the Company for that period;

c. 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;

d. the directors had prepared the annual accounts on a going concern basis;

e. the directors, had laid down internal financial controls to be followed by the Company
andthat such internal financial controls are adequate and were operating effectively;
and

f. the directors had devised proper systems to ensure compliance with the provisions
of allapplicable laws and that such systems were adequate and operating effectively.

31. Details of Conservation of Energy, Technology Absorption, Foreign
Exchange Earnings and Outgoa. Conservation of Energy

b. Technology absorption:

c. Foreign Exchange Earnings and Outgo:

During the year under review, the details of Foreign Exchange Earnings and outgo are as
under:

Inflow - Rs. 1,520.91 Lakhs
Outflow - Rs. 19,882.45 Lakhs

32. Public Deposits

During the period, the Company has not accepted any deposit(s) within the meaning of Section73
& 74 of the Act, read the Companies (Acceptance of Deposits) Rules, 2014.

33. Significant and Material Orders Passed by the Regulators

During the period under review, there have been no significant and material orders passed by the
Regulators, Courts, or Tribunals which would impact the going concern of the Company.

34. Particulars of Employees

In terms of the provisions of Section 197(12) of the Act read with Rules 5(2) and 5(3) of the Companies
(Appointment and Remuneration of Managerial Personnel) Rules, 2014, a statement showing the names of the top ten
employees in terms of remuneration drawn and names and other particulars of the employees drawing remuneration
in excess of the limits set out in the said rules forms part of this Report. Disclosures relating to remuneration and
other details as required under Section 197(12) of the Act read with Rule 5(1) of the Companies (Appointment and
Remuneration of Managerial Personnel) Rules, 2014 forms part of this Report. Having regard to the provisions of the
second proviso to Section 136(1) of the Act, the Annual Report excluding the aforesaid information is being sent to
the members of the Company. Any member interested in obtaining such information may write to the Company at
investors@avantifeeds.com.

35. Disclosure for Sexual Harassment of Women at Workplace (Prevention,
Prohibition and Redressal) Act, 2013.

The Company has in place an Anti-Sexual Harassment Policy in line with the requirements
of the Sexual Harassment of Women at the Workplace (Prevention, Prohibition and
Redressal) Act, 2013. The Internal Complaints Committee (ICC) has been set up to redress
complaints received regarding sexual harassment. All employees (permanent, contractual,
temporary, trainees) arecovered under this policy. The Company has complied with provisions
relating to the constitution of the Internal Complaints Committee under the Sexual Harassment of
Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013.

During the Financial year ending March 31st, 2026, the details of the complaints, if any, are
mentioned below:

36. Statement with respect to the compliance of the provisions relating to the
Maternity Benefit Act, 1961

The Company is compliant with the applicable provisions of the Maternity Benefit Act, 1961 and
has policies, systems and processes in place to ensure ongoing compliance.

37. General

Your Directors state that no disclosure or reporting is required in respect of the following matters
as there were no transactions on these matters during the year under review:

• Issue of equity shares with differential rights as to dividend, voting or otherwise.

• Issue of shares (including sweat equity shares) to employees of the Company under any
scheme, save and except Employees' Stock Options Schemes referred to in this Report.

• the Whole-time Directors of the Company receive any remuneration or commission from any
of its subsidiaries.

• No instances of fraud reported by Auditors under Section 143(12) of the Act.

• There are no proceedings pending under the Insolvency and Bankruptcy Code, 2016.

• There was no instance of one-time settlement with any Bank or Financial Institution.

38. Acknowledgements

Your Directors take this opportunity to express their deep and sincere gratitude and appreciation
for the cooperation extended by the Governmental Agencies, Shareholders and Banks from
time to time. Your Directors also place on record their appreciation for the contributions
made by the employees through their dedication, hard work and commitment. Your
Directors also convey thanks and appreciation to the valued customers and dealers for
their continued patronage.

For and on behalf of the Board
AVANTI FEEDS LIMITED

A. Indra Kumar

Place : Hyderabad Chairman and Managing Director

Date : May 28, 2026 DIN: 00190168