1. Corporate Information:

1.1 Divi's Laboratories Limited (Divi's/'Company') is a Company limited by shares, incorporated and domiciled in India. The Company is engaged in the manufacture of Active Pharmaceutical ingredients (API's), Intermediates and Nutraceutical ingredients with predominance in exports. In addition to generics, the Company, through its custom synthesis, supports innovator pharma companies for their patented products business right from gram scale requirements for clinical trials to launch as well as late life cycle management. The Company is a public limited company and the Company's equity shares are listed in BSE Limited (BSE) and National Stock Exchange of India Limited (NSE) in India.

1.2 The financial statements are approved for issue by the Company's Board of Directors on May 23, 2026.

2. Basis of Preparation:

(i) Compliance with Ind AS

The financial statements comply in all material aspects with Indian Accounting Standards (Ind AS) notified under section 133 of the Companies Act, 2013 (the Act) [Companies (Indian Accounting Standards) Rules, 2015, as amended] and other relevant provisions of the Act.

(ii) Historical cost convention

The financial statements have been prepared on a historical cost basis, except for the following:

• Certain financial assets and liabilities that are measured at fair value;

• Defined benefit plans - plan assets measured at fair value.

(iii) New and amended standards adopted by the Company

The Ministry of Corporate Affairs vide notifications dated 7 May 2025 and 13 August 2025 notified the Companies (Indian Accounting Standards) Amendment Rules, 2025 and Companies (Indian Accounting Standards) Second Amendment Rules, 2025, respectively, amended certain accounting standards listed below, effective from annual

reporting periods beginning on or after 1 April 2025:

• Classification of Liabilities as Current or Noncurrent and Non-current Liabilities with Covenants

- Amendments to Ind AS 1

• Supplier Finance Arrangements - Amendments to Ind AS 7 and Ind AS 107

• International Tax Reform - Pillar Two Model Rules -Amendments to Ind AS 12

• Lack of Exchangeability - Amendments to Ind AS 21

These amendments did not have any material impact on the amounts recognised in prior periods and are not expected to significantly affect the current or future periods.

New standards or amendments not yet adopted

The amendment to Ind AS 1 includes specific provisions that will take effect for reporting periods beginning on or after 1 April 2026, as outlined below:

• Classification of Liabilities as Current or Noncurrent and Non-current Liabilities with Covenants

- Amendments to Ind AS 1- Lender waivers for breach of material provision of a long-term loan arrangement.

The Company does not expect this amendment to have an impact on its operations or financial statements.

(iv) Critical estimates and Judgements:

The preparation of financial statements requires the use of accounting estimates which, by definition, will seldom equal the actual results. Management also needs to exercise judgement in applying the Company's accounting policies.

This note provides an overview of the areas that involved a higher degree of judgement or complexity, and of items which are more likely to be materially adjusted due to estimates and assumptions turning out to be different than those originally assessed. Information about the areas that involved a higher degree of judgement or complexity, and of items which are more likely to be materially adjusted due

to estimates and assumptions turning out to be different than those originally assessed is given in the relevant notes.

The areas involving critical estimates or judgements are:

i. Estimation of defined benefit obligations -note 12

ii. Estimation of useful lives and residual value of property, plant and equipment and intangible assets - note 3

iii. Estimation of Contingent liabilities - note 32(a)

iv. Revenue recognition from contracts with customers- note 16

Other areas of accounting estimates are:

i. Estimation of expected credit loss- note 27

ii. Estimation of slow-moving inventory items-note 9

iii. Estimation of accrual for rebate -note 16

Estimates and judgements are continually evaluated. They are based on historical experience and other factors, including expectations of future events that may have a financial impact on the Company and that are believed to be reasonable under the circumstances.

Note 6: Financial Assets Accounting policy :

(i) Classification:

The Company classifies its financial assets in the following measurement categories:

• those to be measured subsequently at fair value, and

• those measured at amortised cost.

The classification depends on the entity's business model for managing the financial assets and the contractual terms of the cash flows.

For assets measured at fair value, gains and losses will be recorded in profit or loss or other comprehensive income. For investments in debt instruments, this will depend on the business model in which the investment is held. The Company reclassifies debt investments when and only when its business model for managing those assets changes.

(ii) Measurement

At initial recognition, the Company measures a financial asset (excluding trade receivables which do not contain a significant financing component) at its fair value plus, in the case of a financial asset not at fair value through profit or loss, transaction costs that are directly attributable to the acquisition of the financial asset. Transaction costs of financial assets carried at fair value through profit or loss are expensed in profit or loss.

Debt instruments

Subsequent measurement of debt instruments depends on the Company's business model for managing the asset and the cash flow characteristics of the asset. There are two measurement categories into which the Company classifies its debt instruments:

Amortised cost: Assets that are held for collection of contractual cash flows where those cash flows represent solely payments of principal and interest are measured at amortised cost. Interest income from these financial assets is included in other income using the effective interest rate method. Any gain or loss arising on derecognition is recognized directly in profit or loss and presented in other income.

Fair value through other comprehensive income (FVOCI): Assets that are held for collection of contractual cash flows and for selling the financial assets, where the assets' cash flows represent solely payments of principal and interest, are measured at FVOCI. Movements in the carrying amount are taken through OCI, except for the recognition of impairment gains or losses, interest income and foreign exchange gains and losses which are recognised in profit and loss. When the financial asset is derecognised, the cumulative gain or loss previously recognised in OCI is reclassified from equity to profit or loss and recognised in other gains/(losses). Interest income from these financial assets is included in other income using the effective interest rate method. Foreign exchange gains and losses are presented in other gains/(losses) and impairment expenses are presented as separate line item in statement of profit and loss.

Fair value through profit or loss: Assets that do not meet the criteria for amortised cost or fair value through other comprehensive income (FVOCI) are measured at fair value through profit or loss. A gain or loss on a debt instrument that is subsequently measured at fair value through profit or loss and is not part of a hedging relationship is recognized in profit or loss and presented net in the statement of profit and loss within other income in the period in which it arises. Interest income from these financial assets is included in other income.

Equity instruments

The Company subsequently measures all equity investments(other than investments in subsidiaries) at fair value. Where the Company's management has elected to present fair value gains and losses on equity investments in other comprehensive income, there is no subsequent reclassification of fair value gains and losses to profit or loss following the derecognition of the investment. Dividends from such investments are recognized in profit or loss as other income when the Company's right to receive payments is established. Changes in the fair value of equity instruments at fair value through profit or loss are recognized in the statement of profit and loss. Impairment losses (and reversal of impairment losses) on equity investments measured at fair value are not reported separately from other changes in fair value.

Trade receivables

Trade receivables are amounts due from customers for goods sold or services performed in the ordinary course of business and reflects Company's unconditional right to receive consideration (that is, payment is due only on the passage of time). Trade receivables are recognised initially at the transaction price as they do not contain significant financing components. The Company holds the trade receivables with the objective of collecting the contractual cash flows and therefore measures them subsequently at amortised cost using the effective interest method, less loss allowance.

Derivative financial instruments

The derivative financial instruments in the form of foreign- exchange forward contracts are only used for economic hedging purposes and not as speculative investments. These do not meet the hedge accounting criteria and hence are classified as 'held for trading' for accounting purposes and are accounted for at fair value through profit and loss. They are presented as current financial assets or financial liabilities to the extent they are expected to be settled within 12 months after the end of the reporting period.

(iii) Investment in subsidiaries

The Company has accounted for its investments in subsidiaries at cost.

(iv) Impairment of financial assets

The Company assesses on a forward-looking basis, the expected credit losses associated with its financial assets carried at amortized cost. The impairment methodology applied depends on whether there has been a significant increase in credit risk. Note 27(A) details how the Company determines whether there has been a significant increase in credit risk.

For trade receivables, the Company applies the simplified approach permitted by Ind AS 109, Financial Instruments, which requires expected lifetime losses to be recognised from initial recognition of the receivables. Individual trade receivables are written off when management deems them not to be collectible - Note 27(A).

Refer note 39(c) for the other accounting policies relevant to financial assets.

Terms and rights attached to equity shares

The Company has only one class of equity shares having par value of '2 per share. The Company declares and pays dividends in Indian rupees. In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders. Every holder of equity shares present at a meeting in person or by proxy, is entitled to one vote, and upon a poll, each share is entitled to one vote.

(a) Compensated absences obligations:

The compensated absences covers the Company's liability for earned leave. The liabilities for earned leave that cannot be availed/settled within 12 months are therefore measured at the present value of expected future availment/payments to be made in respect of services provided by employees up to the end of the reporting period using the projected unit credit method. The benefit is discounted using the market yields at the end of the reporting period that have terms approximating to the terms of the related obligations. Remeasurements as a result of the experience adjustments and changes in actuarial assumptions are recognised in the statement of profit and loss.

The provision for compensated absences at the end of the current reporting period is presented as current, since the Company does not have an unconditional right, to defer settlement of the obligations beyond 12 months.

(b) Post-employment obligations- Gratuity: (Defined benefit)

The gratuity obligation at the end of the reporting period has been actuarially valued by an independent actuary using the projected unit credit method, as per the applicable provisions of Code on Social Security 2020, where as the applicable provisions of Payment of Gratuity Act, 1972 was applied for the previous year valuation (Refer note 37 for the impact of Labour Codes). The gratuity plan is a funded plan and the Company makes contributions, through an approved trust, to recognised funds administered by Life Insurance Corporation of India (Insurer).

The above sensitivity analysis are based on a change in an assumption while holding all other assumptions constant. In practice, this is unlikely to occur and changes in some of the assumptions may be correlated. When calculating the sensitivity of the defined benefit obligation to significant actuarial assumptions, the same method (present value of the defined benefit obligation calculated with the projected unit credit method at the end of the reporting period) has been applied as and when calculating the defined benefit liability recognised in the balance sheet. The methods and types of assumptions used in preparing the sensitivity analysis did not change compared to the previous year.

(iv) Defined benefit liability

The Company has established a trust to administer its obligation for payment of gratuity to employees. The trust in turn contributes to a scheme administered by the Life Insurance Corporation of India (Insurer). Every year, the insurer carries out a funding valuation based on the latest employee data provided by the Company. Any deficit in the assets arising as a result of such valuation is funded by the Company. The trust has not changed the process used to manage the risks from previous years.

(v) Asset-liability matching strategy

The Company has purchased insurance policy, which is basically a year-on-year cash accumulation plan in which the interest rate is declared on yearly basis and is guaranteed for a period of one year. The insurance Company, as part of the policy rules, makes payment of all gratuity payables falling due during the year (subject to sufficiency of funds under the policy). The policy, thus, mitigates the liquidity risk. However, being a cash accumulation plan, the duration of assets is shorter compared to the duration of liabilities. Thus, the Company is exposed to movement in interest rate (in particular, the significant fall in interest rates, which should result in a increase in liability without corresponding increase in the asset).

(c) Defined contribution plans

Employer's contribution to provident fund: Contributions are made to a provident fund in India for employees in accordance with the requirements of Employees' Provident funds and Miscellaneous Provisions Act, 1952 and applicable provisions of Code on Social Security, 2020 and rules thereunder. The contributions are made to registered provident fund administered by the government. This obligation of the Company is limited to the amount contributed and it has no further contractual nor any constructive obligation. The expense recognised during the year towards this defined contribution plan is '31 (March 31,2025: '28).

Employer's contribution to state insurance scheme: Contributions are made to state insurance scheme for eligible employees in accordance with the requirements of Employees' State Insurance Act, 1948 and applicable provisions of Code on Social Security, 2020 and rules thereunder. The contributions are made to employee state Insurance corporation (ESI), a corporation administered by the government. This obligation of the company is limited to the amount contributed and it has no further contractual nor any constructive obligation. The expense recognised during the year towards this defined contribution plan is '2 (March 31,2025: '2)

Note 14: Financial liabilities Accounting policy:

(i) Classification:

The Company classifies its financial liabilities in the following measurement categories:

• those to be measured subsequently at fair value, and

• those measured at amortised cost.

The classification depends on the entity's business model for managing the financial liabilities and the contractual terms of the cash flows.

(ii) Initial recognition and measurement:

Financial liabilities are classified, at initial recognition, as financial liabilities at fair value through profit or loss (FVTPL), loans and borrowings (including bank overdrafts), payables, as appropriate.

All financial liabilities are recognised initially at fair value and, in the case of loans and borrowings (including bank overdrafts) and payables, net of directly attributable transaction costs. The Company's financial liabilities include trade and other payables, bank overdrafts and derivative financial instruments.

(iii) Subsequent measurement:

The measurement of financial liabilities depends on their classification, as described below:

Financial liabilities at fair value through profit or loss (FVTPL)

Financial liabilities are classified as at FVTPL when the financial liability is held for trading or is designated upon initial recognition as at fair value through profit or loss. Financial liabilities are classified as held for trading if they are incurred principally for the purpose of repurchasing in the near term or on initial recognition it is part of a portfolio of identified financial instruments that the Company manages together and has a recent actual pattern of short-term profit-taking. This category also includes derivative financial instruments that are not designated as hedging instruments in hedge relationships as defined by Ind AS 109. Gains or losses on liabilities held for trading are recognised in the statement of profit and loss.

Financial liabilities subsequently measured at amortised cost

Financial liabilities that are not held-for-trading and are not designated as at FVTPL are measured at amortised cost in subsequent accounting periods. The carrying amounts of financial liabilities that are subsequently measured at amortised cost are determined based on the effective interest rate (EIR) method. Interest expense that is not capitalised as part of costs of an asset is included in the 'Finance costs' line item in the statement of profit and loss.

(iv) Derecognition:

A financial liability is derecognised when the obligation under the liability is discharged or cancelled or expires. When an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as the de-recognition of the original liability and the recognition of a new liability. The difference between the carrying amount of the financial liability derecognised and the consideration paid and payable is recognised in the statement of profit and loss.

Note 16: Revenue from operations Accounting policy :

(i) Revenue from Sale of Goods:

Revenue is recognised at a point in time or over time based on satisfaction of the performance obligations agreed in the customer contract.

Revenue in respect of sale of products is generally recognised when control of the Company's products is transferred to the customer, which occurs at a point in time. Control is usually transferred upon shipment, delivery to, upon receipt of goods by the customer, in accordance with the shipment, delivery and acceptance terms agreed with the customers.

In certain cases, revenue is recognised over time where the Company's performance does not create an asset with an alternative use for the Company and it has an enforceable right to payment for performance completed to date, which is measured based on the progress towards satisfaction of each identified performance obligation in the contract with customers.

For performance obligation satisfied over time, revenue is recognised by measuring the progress towards complete satisfaction of that performance obligation. The Company has used output method to measure the progress which include methods such as milestones reached and units produced. Output method selected faithfully depicts the entity's

performance towards satisfaction of performance obligations as the output generated are directly observable and the information required to apply them are readily available to the Company.

When a performance obligation is satisfied, the revenue is measured at the transaction price which is consideration received or receivable as per the contract, net of returns and allowances, taxes or duties collected on behalf of the government and estimated volume rebates. Accumulated experience is used to estimate and provide for the discounts, using the expected value method, and revenue is only recognized to the extent that it is highly probable that a significant reversal will not occur.

For contracts with multiple performance obligations, the Company allocates the transaction price to each performance obligations based on the relative standalone selling price.

The Company does not expect to have any contracts where the period between the invoicing to the customer and payment by the customer exceeds one year. The payment terms typically ranges from 60 to 180 days after invoicing. As a consequence, the Company does not adjust any of the transaction prices for the time value of money.

Materials procured from suppliers identified by the customer

The Company entered into a contract with its customer to manufacture goods using certain specialised materials procured from suppliers identified by the customer which does not have alternative use to the Company. The Company recognises revenue, net of such materials consumed. Unused materials at the end of the period is measured at cost and presented under other current assets (refer note 10).

Contract assets

A contract asset represents the Company's right to consideration in exchange for goods or services that the Company has transferred to the customer when that right is conditional, other than the passage of time.

Contract assets are initially recognized when revenue is recognized in accordance with Ind AS 115, but invoicing is contingent upon fulfillment of additional performance obligations or other contractual conditions. Contract assets are reclassified to trade receivables when the right to consideration becomes unconditional. Contract assets disclosed under note 10 represents unbilled revenue. The impairment of contract assets is measured, presented and disclosed on the same basis as trade receivables. The Company does not present both contract asset and contract liability for the same contract.

Contract liabilities

A contract liability is the obligation to transfer goods or services to a customer for which the Company has received consideration (or the amount is due) from the customer. If a customer pays consideration before the Company transfers goods or services to the customer, a contract liability is recognised when the payment is made, or the payment is due (whichever is earlier). In certain cases, the Company receive interest free refundable advances from customers and the difference between the fair value and the gross advance received is recognised as a contract liability on initial recognition. Contract liabilities are recognised as revenue when the Company performs under the contract.

Contribution received from customer towards capacity reservation of a facility are recorded as contract liabilities and recognised as revenue over the estimated period of the contract.

(ii) Revenue from sale of services:

Revenue from sale of services is recognised as per the terms of the contracts with customers when the related services are performed, or the agreed milestones are achieved.

Valuation technique used to determine fair value:

Specific valuation techniques used to value financial instruments include:

- the use of quoted market prices or dealer quotes for similar instruments.

- the fair value of remaining financial instruments is determined using discounted cash flow analysis.

Valuation Process:

The Level 3 inputs for investment in equity shares and OCDs are derived using the discounted cash flow analysis.

Fair value of financial assets and liabilities measured at amortised cost:

The carrying amounts of financial assets and liabilities measured at amortised cost are considered to be the same as their fair values, due to their short term nature.

Note 27: Financial Risk Management

The Company's activities expose it to credit risk, market risk, price risk and liquidity risk. The Company emphasizes on risk management and has an enterprise wide approach to risk management. The Company's risk management and control procedures involve prioritization and continuing assessment of these risks and devise appropriate controls, evaluating and reviewing the control mechanism.

(A) Credit Risk:

Credit risk management

I. Credit risk on cash and cash equivalents and other bank balances is limited as the Company generally invests in deposits with banks that are majorly owned by the Government of India thereby minimising its risk.

II. Credit risk on trade receivables, contract assets and other financial assets are evaluated as follows:

Note 26: Fair value hierarchy

Fair value of the financial instruments is classified in various fair value hierarchies based on the following three levels:

Level 1: Quoted prices (unadjusted) in active market for identical assets or liabilities.

Level 2: Inputs other than quoted price included within level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices). The fair value of financial instruments that are not traded in an active market is determined using valuation techniques which maximize the use of observable market data and rely as little as possible on entity-specific estimates. If significant inputs required to fair value an instrument are observable, the instrument is included in Level 2.

Level 3: Inputs for the assets or liabilities that are not based on observable market data (unobservable inputs). If one or more of the significant inputs is not based on observable market data, the instrument is included in level 3. This is the case with listed instruments where market is not liquid and for unlisted instruments.

The credit risk related to trade receivables and contract assets is influenced mainly by the individual characteristics of each customer. The credit risk is managed by the Company by establishing credit limits and continuously monitoring the credit worthiness of the customer. The Company also provides for expected credit losses, based on the risk and payment patterns over a period of 36 months before the reporting date and the corresponding historical credit losses experienced within this period. The historical loss rates are adjusted to reflect current and forward-looking information on macroeconomic factors affecting the ability of the customers to settle the receivables where it believes that there is high probability of default. The Company has considered possible effect on credit risks including forward looking information to develop expected credit losses.

Given that customers of the Company are large pharma players the instances of defaults with respect to the receivables from customers including contract assets have been negligible in the past three years, hence, provision matrix has not been disclosed.

Note 28: Capital Management

(a) The Company's financial strategy aims to provide adequate capital for its growth plans for sustained stakeholder value. The Company's objective is to safeguard its ability to continue as a going concern, so that it can continue to provide returns for shareholders and benefits for other stakeholders. Depending on the financial market scenario, nature of the funding requirements and cost of such funding, the Company decides the optimum capital structure. The Company aims at maintaining a strong capital base so as to maintain adequate supply of funds towards future growth plans as a going concern.

Note 29: Segment Information

Refer note 39(p) for the other accounting policies relevant to segment reporting.

Description of segments and principal activities

The Managing Director has been identified as Chief Operating Decision Maker (CODM). Operating segments are defined as components of an enterprise for which discrete financial information is available. This is evaluated regularly by the CODM, in deciding how to allocate resources and assessing the Company's performance. The Company is engaged in the manufacture of Active Pharmaceutical Ingredients (API's), Intermediates and Nutraceutical Ingredients and operates in a single operating segment.

The other reportable segment has been provided in the consolidated financial statements of the Company and therefore no separate disclosure on segment information is given in this standalone financial statements.

Note 30: Short term lease

Refer note 39(o) for the other accounting policies relevant to leases.

The Company has lease for office and other premise, which is renewable on a periodical basis and cancellable at the option of the lessee and lessor. Rental expenses for short term lease recognised in statement of profit and loss for the year is '14 (March 31,2025: '13).

(j) Terms and Conditions

Transactions relating to dividends were on the same terms and conditions that applied to other equity shareholders.

Note 32:

(a) Contingent Liabilities:

Contingent liability is disclosed in the case of:

- a present obligation arising from past events, when it is not probable that an outflow of resources will be required to settle the obligation;

- a present obligation arising from past events, when no reliable estimate possible;

- a possible obligation that arises from past events and whose existence will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the entity.

(b) Other Matters

(i) The Company received a show cause notice dated December 20, 2021 wherein it was alleged that they have erroneously claimed refund of IGST amounting to '82 during the period February 21, 2018 to October 8, 2018 on the ground that the Company has incorrectly availed double benefit i.e., exemption on the input materials imported under the Advance Authorization (AA) [Notification No. 79/2017-Cus dated October 13, 2017] and simultaneously filed refund of IGST paid on the goods exported. The Company received a demand order dated October 31,2023 of '82 along with 100% penalty under Section 122(2)(b) of the CGST Act, 2017 and interest under section 50 aggregating to the total of '249. The Company has filed a writ petition with High court of Telangana and obtained stay order from collection of demand until final decision has been awarded. Based on the clarification issued by Central Board of Indirect Tax and Customs, revised judgement of Gujarat High Court on a similar matter during the year and legal counsel view, the Company believes that any liability in this regard is remote.

(ii) During the year, Company received a draft order dated March 20, 2026 under section 144C(1), passed by the assessing officer on reference made by the transfer pricing officer in its order issued under section 92CA, proposing a transfer pricing adjustment on " Purchase of raw materials and allocation of inter unit expenses" for specified domestic transactions amounting to '571 for the assessment year 2023-24. The Company has filed its objections with Dispute Resolution Panel (DRP), Bengaluru on April 16, 2026 and is awaiting hearing. The Company based on the documentation maintained believes that any liability in this respect is remote.

(v) Utilisation of borrowed funds and share premium

A The Company has not advanced or loaned or invested funds to any other person or entity, including foreign entities (Intermediaries) with the understanding that the Intermediary shall:

a. directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the company (Ultimate Beneficiaries) or

b. provide any guarantee, security or the like to or on behalf of the ultimate beneficiaries

B The Company has not received any fund from any person or entity, including foreign entities (Funding Party) with the understanding (whether recorded in writing or otherwise) that the Company shall:

a. directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the funding party (Ultimate Beneficiaries) or

b. provide any guarantee, security or the like on behalf of the ultimate beneficiaries

(vi) Undisclosed income

There is no income surrendered or disclosed as income during the current or previous year in the tax assessments under the Income Tax Act, 1961.

(vii) Loans or advances to specified persons

The Company has not granted any loans or advances in the nature of loans to promoters, directors, KMP's and the related parties as defined under Companies Act, 2013.

(viii) Details of crypto currency or virtual currency

The Company has not traded or invested in crypto currency or virtual currency during the current or previous year.

Note 34: Additional regulatory information required under Schedule III of Companies Act 2013:

(i) Details of Benami Property held

No proceedings have been initiated on or are pending against the Company for holding benami property under the Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and rules made thereunder.

(ii) Relationship with struck off companies

The Company has no transactions with the companies struck off under Companies Act, 2013 or Companies Act, 1956.

(iii) Compliance with number of layers of companies

The Company has complied with the number of layers prescribed under the Companies Act, 2013.

(iv) Compliance with approved scheme of arrangements

The Company has not entered into any scheme of arrangements which has an accounting impact on current and previous financial year.

Note 37: Impact of new labour code

On November 21,2025, the Government of India notified the four labour codes viz., the Code on Wages, 2019, the Industrial Relations Code, 2020, the Code on Social Security, 2020 and the Occupational Safety, Health and Working Conditions Code, 2020, ('Labour Codes') consolidating twenty-nine existing labour laws. The Ministry of Labour and Employment notified central rules and issued FAQs to enable assessment of the financial impact due to changes in regulations. The Company has assessed the impact based on the best available information and recognised the incremental impact of employee benefits expense of '74 crores. The said incremental impact primarily arises due to change in the definition of wages and the same has been accounted in accordance with applicable accounting standards. Considering its non-recurring nature and amount involved, such incremental impact is presented under "Exceptional items" in the Standalone Statement of profit and loss. The Company continues to monitor the developments pertaining to implementation of the Labour Codes and will provide appropriate impact in accordance with applicable accounting standards, if any.