i. Provisions (other than for employee benefits)

A provision is recognised if, as a result of a past event, the
Company has a present legal or constructive obligation

that can be estimated reliably, and it is probable that an
outflow of economic benefits will be required to settle the
obligation. Provisions are determined by discounting the
expected future cash flows (representing the best estimate
of the expenditure required to settle the present obligation
at the balance sheet date) at a pre-tax rate that reflects
current market assessments of the time value of money
and the risks specific to the liability. The unwinding of the
discount is recognised as finance cost. Expected future
operating losses are not provided for.

Contingent liabilities and contingent assets

A disclosure for a contingent liability is made when there is
a possible obligation or a present obligation that may, but
probably will not, require an outflow of resources. Where
there is a possible obligation or a present obligation in
respect of which the likelihood of outflow of resources is
remote, no provision or disclosure is made.

Contingent assets are not recognised in the standalone
financial statements. A contingent asset is disclosed where
an inflow of economic benefits is probable. Contingent
assets are assessed continually and, if it is virtually certain
that an inflow of economic benefits will arise, the asset
and related income are recognised in the period in which
the change occurs.

Onerous contracts

A contract is considered to be onerous when the expected
economic benefits to be derived by the Company from
the contract are lower than the unavoidable cost of
meeting its obligations under the contract. The provision
for an onerous contract is measured at the present value
of the lower of the expected cost of terminating the
contract and the expected net cost of continuing with the
contract. Before such a provision is made, the Company
recognises any impairment loss on the assets associated
with that contract.

j. Earnings per share (‘EPS’)

The earnings considered in ascertaining the Company’s
Earnings Per Share (EPS) comprise net profit after tax.
The number of shares used in computing basic EPS is the
weighted average number of shares outstanding during
the year. Dilutive potential equity shares are deemed to be
converted as of the beginning of the year, unless they have
been issued at a later date. The number of shares used for
computing the diluted EPS is the weighted average number
of shares outstanding during the year after considering the
dilutive potential equity shares.

k. Segment Reporting

An operating segment is a component of the Company
that engages in business activities from which it may
earn revenues and incur expenses, including revenues
and expenses that relate to transactions with any of the

Company’s other components, and for which discrete
financial information is available. Operating segments
are reported in a manner consistent with the internal
reporting provided to the chief operating decision maker.
The Chairperson and Managing Director of the Company
is responsible for allocating resources and assessing
performance of the operating segments and accordingly
is identified as the Chief Operating Decision Maker
(CODM). All operating segments’ operating results are
reviewed regularly by the CODM to make decisions about
resources to be allocated to the segments and assess
their performance.

The Company operates in one reportable business
segment i.e. “Pharmaceuticals”.

l. Revenue

i. Sale of goods

Revenue from sale of goods is recognised when
a promise in a customer contract(performance
obligation) has been satisfied by transferring control
over the promised goods to the customer. Control is
usually transferred upon shipment, delivery to, upon
receipt of goods by the customer, in accordance
with the delivery and acceptance terms agreed
with the customers. The amount of revenue to be
recognised is based on the consideration expected
to be received in exchange for goods, excluding
applicable discounts, sales returns and any taxes or
duties collected on behalf of the government which
are levied on sales such as GST where applicable.
Any additional amounts based on terms of agreement
entered into with customers, is recognised in the
period when the collectability becomes probable and
a reliable measure of the same is available.

ii. Sales return allowances

The Company accounts for sales return by recording
an allowance for sales return concurrent with the
recognition of revenue at the time of a product sale.
The allowance is based on Company’s estimate
of expected sales returns. The estimate of sales
return is determined primarily by the Company’s
historical experience in the markets in which the
Company operates.

iii. Export incentives

Export incentives are recognised as income when the
right to receive credit as per the terms of the scheme
is established in respect of the exports made and
where there is no significant uncertainty regarding the
ultimate collection of the relevant export proceeds.

iv. Interest income or expense

Interest income or expense is recognised using the
effective interest method on time proportion method.

v. Dividend income

Dividend income is recognised when the Company’s
right to receive dividend is established, which is
generally when shareholders approve the dividend.

m. Contract Balances

i. Contract assets

A contract asset is the right to consideration in
exchange for goods or services transferred to the
customer. If the Company performs by transferring
goods or services to a customer before the
customer pays consideration or before payment is
due, a contract asset is recognised for the earned
consideration that is conditional.

ii. Trade receivable

A receivable is recognised if an amount of
consideration that is unconditional (i.e., only the
passage of time is required before payment of the
consideration is due). Refer to accounting policies of
financial assets in section (a) Financial instruments -
initial recognition and subsequent measurement.

iii. Contract liabilities

A contract liability is the obligation to transfer
goods or services to a customer for which the
Company has received consideration (or an amount
of consideration 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).
Contract liabilities are recognised as revenue when
the Company performs under the contract.

n. Leases
Lessee

The Company’s lease asset classes primarily consist of
leases for buildings and plant and machinery.

At inception of a contract, the Company assesses whether
a contract is, or contains, a lease as per the requirement
of Ind AS 116. At inception or on reassessment of a
contract that contains a lease component, the Company
allocates the consideration in the contract to each lease
component on the basis of their relative stand-alone
prices. However, for the leases of buildings in which it is
a lessee, the Company has elected not to separate non¬
lease components and account for the lease and non¬
lease components as a single lease component.

The Company elected to use the following practical
expedients on initial application:

• Applied a single discount rate to a portfolio of leases
with similar characteristics.

• Applied the exemption not to recognise right-of-use
assets and liabilities for leases with less than 12 months
of lease term on the date of initial application.

Excluded the initial direct costs from the measurement of
the right-of-use asset at the date of initial application.

The Company recognises a right-of-use asset and a lease
liability at the lease commencement date. The right-of-use
asset is initially measured at cost, which comprises the
initial amount of the lease liability adjusted for any lease
payments made at or before the commencement date,
plus any initial direct costs incurred and an estimate of
costs to dismantle and remove the underlying asset or
to restore the underlying asset or the site on which it is
located, less any lease incentives received.

The right-of-use assets is subsequently measured at
cost less any accumulated depreciation, accumulated
impairment losses, if any and adjusted for any
remeasurement of the lease liability. The right-of-use
assets is depreciated using the straight-line method from
the commencement date over the useful life of right-of-
use asset. Right-of-use assets are tested for impairment
whenever there is any indication that their carrying
amounts may not be recoverable. Impairment loss, if any,
is recognised in the Statement of Profit and Loss.

The lease liability is initially measured at the present
value of the lease payments that are not paid at the
commencement date, discounted using the Company's
incremental borrowing rate. The lease liability is
subsequently remeasured by increasing the carrying
amount to reflect interest on the lease liability, reducing
the carrying amount to reflect the lease payments made
and remeasuring the carrying amount to reflect any
reassessment or lease modifications or to reflect revised
in-substance fixed lease payments. The Company
recognises the amount of the re-measurement of lease
liability due to modification as an adjustment to the right-
of-use asset and statement of profit and loss depending
upon the nature of modification. Where the carrying
amount of the right-of-use asset is reduced to zero and
there is a further reduction in the measurement of the lease
liability, the Company recognises any remaining amount of
the re-measurement in Statement of Profit and Loss.

Lease payments included in the measurement of the lease
liability comprise the following:

a. Fixed payments including in-substance fixed payments;

b. Variable lease payments that depend on an index or
a rate, initially measured using the index or rate as at
the commencement date;

c. Amounts expected to be payable under a residual
value guarantee; and

d. the exercise price under a purchase option that
the Company is reasonably certain to exercise,
lease payments in an optional renewal period if
the Company is reasonably certain to exercise an
extension option, and penalties for early termination
of a lease unless the Company is reasonably certain
not to terminate early.

The lease liability is measured at amortised cost using the
effective interest method. It is remeasured when there is
a change in future lease payments arising from a change
in an index or rate, if there is a change in the Company's
estimate of the amount expected to be payable under
a residual value guarantee, if the Company changes
its assessment of whether it will exercise a purchase,
extension or termination option or if there is a revised in¬
substance fixed lease payment.

When the lease liability is remeasured in this way, a
corresponding adjustment is made to the carrying amount
of the right-of-use asset, or is recorded in profit or loss
if the carrying amount of the right-of-use asset has been
reduced to zero. The Company presents right-of-use assets
that do not meet the definition of investment property
in ‘property, plant and equipment’ and lease liabilities in
‘financial liabilities’ in the statement of financial position.

o. Income tax

Income tax comprises current and deferred income tax.
Income tax expense is recognised in statement of profit
and loss or in other comprehensive income.

i. Current tax

Current tax comprises the expected tax payable
or receivable on the taxable income or loss for
the year and any adjustment to the tax payable or
receivable in respect of previous years. Current tax
for current year and prior periods is recognised at
the amount expected to be paid or recovered from
the tax authorities, using the tax rates and laws that
have been enacted or substantively enacted by the
balance sheet date.

Current tax assets and current tax liabilities are offset
only if there is a legally enforceable right to set off
the recognised amounts and it is intended to realise
the asset and settle the liability on a net basis or
simultaneously.

ii. Deferred tax

Deferred income tax assets and liabilities are
recognised for all temporary differences arising

between the tax bases of assets and liabilities
and their carrying amounts in the standalone
financial statements.

Deferred tax assets are reviewed at each reporting
date and are reduced to the extent that it is no longer
probable that the related tax benefit will be realised.

Deferred income tax assets and liabilities are
measured using the tax rates and laws that have
been enacted or substantively enacted by the
balance sheet date and are expected to apply to
taxable income in the years in which those temporary
differences are expected to be recovered or settled.

The effect of changes in tax rates on deferred income
tax assets and liabilities is recognised as income or
expense in the period that includes the enactment or
substantive enactment date. A deferred income tax
assets is recognised to the extent it is probable that
future taxable income will be available against which
the deductible temporary timing differences and tax
losses can be utilised.

Deferred tax assets and deferred tax liabilities are
offset only if there is a legally enforceable right to
set off the recognised amounts and it is intended to
realise the asset and settle the liability on a net basis
or simultaneously.

p. Borrowing cost

Borrowing costs are interest and other costs (including
exchange differences relating to foreign currency
borrowings to the extent that they are regarded as an
adjustment to interest costs) incurred in connection
with the borrowing of funds. Borrowing costs directly
attributable to acquisition or construction of an asset
which necessarily take a substantial period of time to get
ready for their intended use are capitalised as part of the
cost of that asset. Borrowing cost also includes exchange
differences to the extent regarded as an adjustment to the
borrowing costs. Other borrowing costs are recognised as
an expense in the period in which they are incurred.

q. Recent pronouncements

Ministry of Corporate Affairs (“MCA”) notifies new
standards or amendments to the existing standards
under Companies (Indian Accounting Standards) Rules as
issued from time to time. For the year ended March 31,
2025, MCA has notified Ind AS - 117 Insurance Contracts
and amendments to Ind AS 116 - Leases, relating to sale
and leaseback transactions, applicable to the Company
w.e.f. April 01, 2024. The Company has reviewed the
new pronouncements and based on its evaluation has

determined that it does not have any impact in Standalone
financial statements.

(i) Ind AS 117 Insurance Contracts

The Ministry of Corporate Affairs (MCA) notified the
Ind AS 117, Insurance Contracts, vide notification
dated 12 August 2024, under the Companies (Indian
Accounting Standards) Amendment Rules, 2024,
which is effective from annual reporting periods
beginning on or after April 01,2024.

Ind AS 117 Insurance Contracts is a comprehensive
new accounting standard for insurance contracts
covering recognition and measurement, presentation
and disclosure. Ind AS 117 replaces Ind AS 104
Insurance Contracts. Ind AS 117 applies to all types of
insurance contracts, regardless of the type of entities
that issue them as well as to certain guarantees and
financial instruments with discretionary participation
features; a few scope exceptions will apply. Ind AS
117 is based on a general model, supplemented by:

• A specific adaptation for contracts with direct
participation features (the variable fee approach)

• A simplified approach (the premium allocation
approach) mainly for short-duration contracts

The application of Ind AS 117 does not have material
impact on the Company’s Standalone financial
statements as the Company has not entered any
contracts in the nature of insurance contracts
covered under Ind AS 117.

(ii) Amendments to Ind AS 116 Leases - Lease
Liability in a Sale and Leaseback

The MCA notified the Companies (Indian Accounting
Standards) Second Amendment Rules, 2024, which
amend Ind AS 116, Leases, with respect to Lease
Liability in a Sale and Leaseback.

The amendment specifies the requirements that a
seller-lessee uses in measuring the lease liability
arising in a sale and leaseback transaction, to ensure
the seller-lessee does not recognise any amount of
the gain or loss that relates to the right of use it retains.

The amendment is effective for annual reporting
periods beginning on or after April 01,2024 and must
be applied retrospectively to sale and leaseback
transactions entered into after the date of initial
application of Ind AS 116.

The amendments do not have a material impact on
the Company’s Standalone financial statements.

8.5 Employee stock option plan

For details of shares reserved for issue under Employee stock option scheme (ESOS) of the Company, refer note 27.

8.6 There are no shares issued pursuant to contract without payment being received in cash or by way of bonus shares during the
period of five years immediately preceding the reporting date.

8.7 Buy back of Shares

During the year ended March 31,2023, the Company has bought back 6,250,000 equity shares of H 1 each, representing 2.52% of
total number of equity share fully paid-up for an aggregate amount of H. 2,500 millions (excluding taxes and transaction cost) at H.
400 per share. The equity shares bought back were extinguished on 19 October 2022. An amount corresponding to face value of the
shares bought back was transferred to Capital Redemption Reserve were adjusted against General reserve.

9. Other equity

(Refer disclosure of other equity in Statement of changes in equity)

Securities premium

Securities premium is used to record the premium received on issue of shares. It is utilised in accordance with the provisions of the
Companies Act, 2013.

Capital redemption reserve

As per Companies Act, 2013, capital redemption reserve is created when company purchases its own shares out of free reserves or
securities premium. A sum equal to the nominal value of the shares so purchased is transferred to capital redemption reserve. The
reserve is utilised in accordance with the provisions of section 69 of the Companies Act, 2013.

General reserve

It represents the portion of the net profit which the Company has transferred, before declaring dividend pursuant to the earlier
provision of Companies Act 1956. Mandatory transfer to general reserve is not required under the Companies Act 2013.

Retained earnings

The amount that can be distributed by the Company as dividends to its equity shareholders.

Share based payment reserve

The Company has established various equity settled share based payment plans for certain categories of employees of the Company.
Refer Note 27 for further details on these plans.

Capital reserve

Capital reserve arising pursuant to scheme of amalgamation.

Dividends

The following dividends were paid by the Company

27. Share based payments

Granules India Limited - Employee Stock Option Scheme 2009 & 2017 (ESOS-2009 & ESOS-2017)

Pursuant to the decision of the shareholders at their meeting held on 25th September, 2009, the Company has formulated an
Employee Stock Option Scheme 2009 to be administered by the Nomination & Remuneration Committee of the Board of Directors.
This scheme has been formulated in accordance with the Securities Exchange Board of India (Employee Stock Option Scheme and
Employee Stock Purchase Scheme) Guidelines, 1999.

Under the Plan, options not exceeding 10,048,070 have been reserved to be issued to the eligible directors and employees (Employees
under permanent employment of the Company and its subsidiary company(ies), including eligible Directors of the Company and its
subsidiary, whether whole time or not, whether working in India or abroad or otherwise, except the Promoter Directors and Promoter
group employees) with each option conferring a right upon the Optionee to apply for one equity share.

The exercise price of the options is the closing market price of the shares on that stock exchange where there is highest trading
volume prior to the date of the grant i.e. the date of the Compensation & Remuneration Committee / Board meeting at which the
grant of options is approved.

Under the above Scheme till date, options were granted in eight tranches. The options granted under the Plan shall start vesting
in tranches after one year from the date of grant and not more than four years under Grant VIII from the respective date of grant
of the options.

Pursuant to the decision of the shareholders at their meeting held on 28th September, 2017, the Company has formulated an
Employee Stock Option Scheme 2017 to be administered by the Nomination & Remuneration Committee of the Board of Directors.
This scheme has been formulated in accordance with the Securities and Exchange Board of India (Share Based Employee Benefits)
Regulations, 2014 (‘SEBI Regulations’) for the time being in force and as may be modified from time to time.

Under the Plan, options not exceeding 11,435,100 have been reserved to such person(s) who are in the permanent employment of
the Company, whether working in India or out of India and to the Directors of the Company and to such other persons as may from
time to time be allowed to be eligible for the benefits of the stock options under applicable laws and regulations prevailing from
time to time (all such persons are hereinafter collectively referred to as ‘Eligible Employees’), except persons who are promoters
or belong to the promoter group or a Director who either himself or through his relative or through any Body corporate, directly or
indirectly, holds more than ten per cent of the outstanding equity shares of the company and Independent Directors, at such price
or prices, in one or more tranches and on such terms and conditions, as may be fixed or determined by the Board in accordance
with the ESOS 2017.

Under the above Scheme till date, options were granted in one tranche viz. Grant I. The options granted under the Plan shall start
vesting in tranches after one year from the date of grant and not more than three years under Grant I from the respective date of
grant of the options.

The Black-Scholes-Merton model includes assumptions regarding dividend yields, expected volatility, expected terms and risk free
interest rates. In respect of exercise price of options granted, the expected term of an option (or “option life”) is estimated based on
the vesting term, contractual term, as well as expected exercise behavior of the employees receiving the option. In respect of fair
market value of the options granted, the option life is estimated based on the simplified method. Expected volatility of the option
is based on historical volatility, of the observed market prices of the Company’s publicly traded equity shares. Dividend yield of the
options is based on recent dividend activity. Risk-free interest rates are based on the government securities yield in effect at the time
of the grant. These assumptions reflect management’s best estimates, but these assumptions involve inherent market uncertainties
based on market conditions generally outside of the Company’s control.

33. Financial risk management

Framework

The Company is exposed primarily to Credit Risk, Liquidity Risk and Market risk (fluctuations in foreign currency exchange rates and
interest rate), which may adversely impact the fair value of its financial instruments. The Company assesses the unpredictability of
the financial environment and seeks to mitigate potential adverse effects on the financial performance of the Company.

Credit risk

Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer contract, leading to
a financial loss. Credit risk encompasses of both, the direct risk of default and the risk of deterioration of creditworthiness as well
as concentration of risks. Credit risk is controlled by analyzing credit limits and creditworthiness of customers on a continuous
basis to whom the credit has been granted after obtaining necessary approvals for credit. Financial instruments that are subject to
concentrations of credit risk principally consist of trade receivables, investments, loans, cash and cash equivalents, bank deposits
and other financial assets. None of the financial instruments of the Company result in material concentration of credit risk, except
for trade receivables.

Ind AS requires expected credit losses to be measured through a loss allowance. The Company assesses at each date of statements
of financial position whether a financial asset or a group of financial assets is impaired. Expected credit losses are measured at an
amount equal to the 12 month expected credit losses or at an amount equal to the life time expected credit losses if the credit risk
on the financial asset has increased significantly since initial recognition. The Company has used a practical expedient by computing
the expected credit loss allowance for trade receivables based on a provision matrix. The provision matrix takes into account
historical credit loss experience and adjusted for forward-looking information. Company’s exposure to customers is diversified
and major customer contributes around 59% and 62% of outstanding trade receivable as of March 31, 2025 and March 31,2024.
The maximum exposure to credit risk was H 12,988.14 millions and H 16,379.87 millions as of March 31, 2025 and March 31,2024
respectively, being the total of the carrying amount of balances with trade receivables, loans and other financial assets excluding
derivative assets.

Before accepting any new customer, the Company uses an external/internal credit scoring system to assess the potential customer's
credit quality and defines credit limits of customer. Limits and scoring attributed to customers are reviewed at periodic intervals.
The expected credit loss allowance is based on the ageing of the days the receivables are due and the rates as given in the
provision matrix.

Credit risk on financial assets, except trade receivables is limited as the Company generally transacts with banks and financial
institutions with high credit rating assigned by international and domestic credit rating agencies. Investment primarily include
investment in subsidiaries whose carrying value is evaluated by the management at the end of every reporting period for impairment.
As at the end of the reporting period, there are no indicators of impairment of investments.

Foreign Currency exchange rate risk

The fluctuation in foreign currency exchange rates may have potential impact on the statement of profit or loss and other comprehensive
income and equity, where any transaction references more than one currency or where assets / liabilities are denominated in a
currency other than the functional currency of the respective entities. Considering the countries and economic environment in which
the Company operates, its operations are subject to risks arising from fluctuations in exchange rates in those countries. The risks
primarily relate to fluctuations in USD/EURO against the functional currencies of the Company.

Commodity rate risk

Exposure to market risk with respect to commodity prices primarily arises from the Company’s purchases and sales of active
pharmaceutical ingredients, including the raw material components for such active pharmaceutical ingredients. These are commodity
products, whose prices may fluctuate significantly over short periods of time. The prices of the Company’s raw materials generally
actuate in line with commodity cycles, although the prices of raw materials used in the Company’s active pharmaceutical ingredients
business are generally more volatile. The cost of raw materials forms the largest portion of the Company’s operating expenses.
Commodity price risk exposure is evaluated and managed through operating procedures and sourcing policies. As of March 31,
2025, the Company had not entered into any material derivative contracts to hedge exposure to fluctuations in commodity prices.

Cash flow hedges
Foreign currency risk:

Foreign exchange forward contracts are designated as hedging instruments in cash flow hedges of forecast sales in US dollar.
Further, Euro denominated debt are designated as hedging instruments in cash flow hedges of forecast sales in Euro. These forecast
transactions are highly probable. The foreign exchange forward contract balances vary with the level of expected foreign currency
sales and changes in foreign exchange forward rates.

There is an economic relationship between the hedged items and the hedging instruments as the terms of the foreign exchange
forward contracts and loans match the terms of the expected highly probable forecast transactions (i.e., notional amount and
expected payment date). The Company has established a hedge ratio of 1:1 for the hedging relationships as the underlying risk of
the foreign exchange forward contracts and loans are identical to the hedged risk components. To test the hedge effectiveness, the
Company uses the hypothetical derivative method and compares the changes in the fair value of the hedging instruments against
the changes in fair value of the hedged items attributable to the hedged risks.

The hedge ineffectiveness can arise from:

• Differences in the timing of the cash flows of the hedged items and the hedging instruments

• The counterparties’ credit risk differently impacting the fair value movements of the hedging instruments and hedged items

Changes to the forecasted amount of cash flows of hedged items and hedging instruments

The Company is holding the following foreign exchange forward contracts

In order to achieve this overall objective, the Company’s capital management, amongst other things, aims to ensure that it meets
financial covenants attached to the interest-bearing loans and borrowings that define capital structure requirements. Breaches in
meeting the financial covenants would permit the bank to immediately call loans and borrowings. There have been no breaches in
the financial covenants of any interest-bearing loans and borrowing in the current year.

36. Subsequent event

No significant subsequent events have been observed till May 28, 2025 which may require any additional disclosure or an adjustment
to the standalone financial statements other than the items mentioned below

a) Proposed dividend

Refer note 9

b) Acquisition of Senn Chemicals AG

The Company has entered into a Share Purchase Agreement (“SPA”) for the acquisition of Senn Chemicals AG on February 21,2025. The
Company has incorporated Granules Peptides Private Limited (“GPPL”) (wholly owned subsidiary in India) for the purpose of this acquisition
on March 04, 2025. The closing of the acquisition was subject to certain conditions which were subsequently completed on April 10, 2025.

Senn Chemicals AG, founded in 1963 is headquartered in Dielsdorf, Switzerland. It is a privately held Peptide CDMO company that
specializes in custom peptide development and manufacturing, supporting global clients across Pharmaceuticals, Cosmetics and
Theragnostic industries, from early development to commercial production.

c) Merger of Granules USA Inc., with Granules Pharmaceuticals Inc.

Granules USA Inc., was merged with Granules Pharmaceuticals Inc., USA both being the wholly owned subsidiaries of the Company
with effect from April 01, 2025.

38. Other Statutory information

i) There are no proceedings initiated or pending against the Company as at March 31,2025, under Prohibition of Benami Property
Transaction Act, 1988 and rules made thereunder (As amended in 2016).

ii) The Company does not have any transactions with companies struck off as per Section 248 of the Companies Act, 2013 and
Section 560 of the Companies Act, 1956.

iii) The Company does not have any charges or satisfaction which is yet to be registered with ROC beyond the statutory period.

iv) The Company has not traded or invested in Crypto currency or Virtual Currency during the financial year.

v) The Company has not been declared wilful defaulter by any bank or financial institution or government or any government authority.

vi) The Company has not advanced or loaned or invested funds to any other person(s) or entity(ies), 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.

vii) The Company has not received any fund from any person(s) or entity(ies), 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.

viii) The Company does not have any such transaction which is not recorded in the books of accounts that has been surrendered
or disclosed as income during the year in the tax assessments under the Income Tax Act, 1961 (such as, search or survey or
any other relevant provisions of the Income Tax Act, 1961).

ix) The Company has complied with the relevant provisions of the Foreign Exchange Management Act, 1999 (42 of 1999) and the
Companies Act for the above transactions and the transactions are not violative of the Prevention of Money-Laundering Act,
2002 (15 of 2003).

x) Title deeds of all immovable properties were held in the name of the Company.

As per our report of even date attached

for S. R. Batliboi and Associates LLP for and on behalf of the Board of Directors of

Chartered Accountants Granules India Limited

Firm registration number: 101049W/E300004 CIN : L24110TG1991PLC012471

Navneet Kabra Dr. Krishna Prasad Chigurupati Dr. K.V.S Ram Rao

Partner Chairman and Managing Director Joint Managing Director and Chief Executive Officer

Membership No : 102328 DIN : 00020180 DIN : 08874100

Mukesh Surana Chaitanya Tummala

Chief Financial Officer Company Secretary

Place: Hyderabad Place: Hyderabad

Date: May 28, 2025 Date: May 28, 2025