(i) The Company’s investment properties consist of six properties in the nature of freehold land in India and therefore no depreciation is chargeable. As at 31 March 2026 and 31 March 2025, the fair value of the properties is ' 1,334.70 million and ' 1,334.70 million respectively. These are based on valuations performed by independent valuers for the purposes of bank financing at the time availing/renewing such financing facility. These valuers are registered valuers as defined under rule 2 of Companies (Registered Valuers and Valuation) Rules, 2017. The fair value hierarchy is at level 2, which is derived using the market comparable approach based on recent market prices without any significant adjustments being made to the market observable data. (Refer Note 37(b) for note on fair value hierarchy).

(ii) The Company has not advanced or loaned or invested funds (either borrowed funds or share premium or any other sources or kind of funds) to any other persons or entities, including foreign entities (Intermediaries) with the understanding (whether recorded in writing or otherwise) that the Intermediary shall 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 provide any guarantee, security or the like to or on behalf of the Ultimate Beneficiaries other than the loans given to its subsidiary Kalyan Jewellers FZE, UAE (intermediary) which has in turn advanced the funds to another subsidiary Kalyan Jewellers LLC, UAE (ultimate beneficiary) where the same was utilised for working capital purpose as under:

(ii) Details of trade receivables pledged as security: Refer Note 15.

(iii) Presumption that there have been significant increases in credit risk since initial recognition when financial assets are more than 30 days past due, has been rebutted based on the past experience of realisation of the debtors.

(iv) There are no significant increase in credit risk as at the reporting date.

(v) There are no unbilled receivables as at the current and previous balance sheet dates.

(vi) There are no outstanding debts due from directors or other officers of the Company.

(v) Nature and purpose of other reserve

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.

Retained earnings: Retained earnings are the profits/loss that the Company has earned/incurred till date, less any transfers to other reserves, dividends or other distributions paid to its equity shareholders.

Employee stock option reserve represents the reserve created towards equity-settled employee stock options.

Items of other comprehensive income consists of effective portion of gain and loss on designated portion of hedging instruments in a cash flow hedge and remeasurement of net defined benefit liability/asset.

(i) Details of interest rate and securities provided for loans repayable to various banks

(a) Charge on the entire current assets of the Company viz. raw materials, stocks in process, finished goods, trade stocks, receivables and other current assets (excluding deposits kept as cash margins towards specific facilities sanctioned by banks on paripassu basis with the member bank(s) in the working capital consortium.

(b) Personal guarantees by Promoter Directors - T.S. Kalyanaraman, T.K Seetharam, T.K Ramesh and their relatives N.V.Ramadevi and T.K.Radhika

(c) Certain land and buildings belonging to the Company and Promoter Directors - T.S. Kalyanaraman, T.K Seetharam, T.K Ramesh and their relatives N.V.Ramadevi and T.K.Radhika are offered as collateral security to the working capital consortium.

(d) Rate of interest for short-term borrowings is variable and is depending on the prevailing MCLR/T Bill rates plus spread as per the sanction letter with respective banks and the interest charged by the banks in the consortium starts from 7.85 % per annum (previous year 8.05% per annum) payable on monthly intervals.

(ii) There are no defaults in the repayment of principal or interest to lenders as at 31 March 2026 and 31 March 2025.

(iii) The Company has utilised the borrowings from banks and financial institutions for the specific purpose for which it was taken at the balance sheet date and previous year end.

(iv) There are no creation of charges or satisfaction of charges yet to be registered with ROC beyond the statutory period for current year and previous year.

(v) The Company has not been declared as a ‘wilful defaulter’ by any bank or financial institution.

(vi) The Company has working capital limit exceeding ' 50 million during the year and the Company has submitted quarterly statement of identified current assets to the bankers, and there are no differences between the amounts as per books and amounts reflected in the statements.

(vii) Also Refer Note 20 with respect to metal gold loan

(ii) The average credit period on purchases (other than from micro enterprises and small enterprises) is normally 90-120 days. No interest is charged on the trade payables. The Company has financial risk management policies in place to ensure that payables are paid within the pre-agreed credit terms.

(iii) Supplier finance arrangements

The Company enters into supplier finance arrangements with various finance providers to facilitate the early payment of dues on its behalf to the Company’s vendors who may elect to factor their invoice through such financial institutions. The finance providers pay the amounts to a participating vendor in respect of invoices owed by the Company and receive settlement from the Company at a later date. By virtue of commercial agreements with the vendors, the Company remains obligated to settle invoices at the contractually agreed payment terms and is not impacted by the decision of vendor to obtain early financing from the finance providers. In this arrangement, no material extension of payment terms beyond those agreed with suppliers is offered to the Company by the finance providers. Further, the Company is not required to pledge any collateral

The above unspent amount pertains to ongoing project undertaken by the Company through Kalyan Jewellers Foundation. This has been transferred to ‘Unspent CSR account’ within 30 days from the end of the financial year, in accordance with CSR rules.

Notes:

(a) The Company successfully completed the construction of the dialysis centre, a multi-year ongoing infrastructure project, through its implementing agency, Kalyan Jewellers Foundation as on 31 March 2026 and has transferred an amount of ' 8.30 million (31 March 2025: ' 67.50 million) as current year allocation to the project.

(b) Apart from the multi-year ongoing project, the CSR activities undertaken by the Company consists of numerous projects and contributions towards promoting health care, promoting education, eradication of poverty, rural development projects and women empowerment.

(a) Effective 21 November 2025, The Government of India has consolidated multiple existing labour legislations into a unified framework comprising four Labour Codes collectively referred to as the ‘New Labour Codes’. Under Ind AS 19, changes to employee benefit plans arising from legislative amendments constitute a plan amendment, requiring recognition of past service cost immediately in the statement of profit and Loss. The New Labour Codes has resulted in estimated one time increase in provision for employee benefits of the Company amounting to ' 415.02 million and the same has been recognised in the current year and reported as an exceptional item in these financial statements. The Government is in the process of notifying related rules to the New Labour Codes and impact of these will be evaluated and accounted for in accordance with applicable accounting standards in the period in which they are notified.

32 SEGMENT INFORMATION

The Chief Operating Decision Maker (CODM) of the Company examines the performance from the perspective of the Company as a whole viz. ‘jewellery business’ and hence there are no separate reportable segments as per Ind AS 108.

There are no material individual markets outside India and hence the same is not disclosed for geographical segments for the segment revenues or results or assets. During the year ended 31 March 2026 and 31 March 2025 respectively, revenue from transactions with a single external customer did not amount to 10 % or more of the Company’s revenues from the external customers.

35 EMPLOYEE BENEFIT PLANS (a) Defined contribution plans

The Company makes contributions to provident fund and employee state insurance schemes which are defined contribution plans, for qualifying employees. Under the schemes, the Company is required to contribute a specified percentage of the payroll cost to fund the benefits. The contributions payable to these plans by the Company are at rates specified in the rules of the schemes and the Company has no obligations beyond its contributions. The contributions recognised in the statement of profit and loss during the year are as under.

(b) Defined benefit plans

The Company offers gratuity benefits, a defined employee benefit scheme to its employees. The said benefit plan is exposed to actuarial risks such as longevity risk and salary risk. The Company has not funded its gratuity obligations. The following table sets out the status of the defined benefit schemes and the amount recognised in the standalone financial statements as per the actuarial valuation done by an independent actuary.

(i) The Company has issued a letter of financial support to its subsidiary company, Candere Lifestyle Jewellery Private Limited, India (Formerly Enovate Lifestyles Private Limited), assuring to provide financial assistance, as required, to enable the subsidiary company to continue as a going concern.

(ii) Future cash flows in respect of the above matters are determinable only on receipt of judgements/ decisions pending at various forums/authorities. Management is hopeful of successful outcome in the appellate proceedings. Disputed tax dues are appealed before concerned appellate authorities. The Company is advised that the cases are likely to be disposed off in favour of the Company and hence no provision is considered necessary thereof.

The estimates of rate of escalation in salary considered in actuarial valuation, take into account inflation, seniority, promotion and other relevant factors including supply and demand in the employment market. The above information is certified by the actuary. The mortality rates considered are as per the published rates in the Indian Assured Lives Mortality (2012-14) Ult table.

(e) Valuation are based on certain assumptions, which are dynamic in nature and may vary over time. As such

valuations of the Company is exposed to follow risks:

a) Salary increase: higher than expected increases in salary will increase the defined benefit obligation

b) Discount rate: the defined benefit obligation calculated use a discount rate based on government bonds: if bond yields fall the defined benefit increase.

c) Mortality and disability: if the actual deaths and disability cases are lower or higher than assumed in the valuation, and can impact the defined benefit obligation

d) Withdrawals: if the actual withdrawals are higher or lower than the assumed withdrawals or there is a change in withdrawal races at subsequent valuations, it can impact defined benefit obligation.

37 FINANCIAL INSTRUMENTS

Categories of financial instruments

This section gives an overview of the significance of financial instruments for the Company and provides additional information on balance sheet items that contain financial instruments. The details of material accounting policies, including the criteria for recognition, the basis of measurement and the basis on which income and expenses are recognised in respect of each class of financial asset, and financial liability are disclosed in Note 2(xviii).

The above figures do not include provisions for encashable leave, gratuity and pension, as separate

actuarial valuation are not available.

(iii) The Company has issued a letter of financial support to its subsidiary company, Candere Lifestyle Jewellery Private Limited, assuring to provide financial assistance, as required, to enable the subsidiary company to continue as a going concern.

(iv) Transactions with related parties are on terms equivalent to those that prevail in arm’s length transactions.

(v) The balance with related parties are unsecured and are to be settled in cash with no other commitments.

The management assessed that fair values of cash and cash equivalents, trade receivables, other financial assets, trade payables and other financial liabilities recorded at amortised cost is considered to be a reasonable approximation of fair value.

Following methods and assumptions were used to estimate fair values:

Fair values of the Company’s interest-bearing borrowings are determined by using EIR method using discount rate that reflects the issuer’s borrowing rate as at the end of the reporting period. The own nonperformance risk as at reporting date was assessed to be insignificant.

(b) Fair value hierarchy

The Company uses the following hierarchy for determining and/or disclosing the fair value of financial instruments by valuation techniques. The three levels are defined based on the observability of significant inputs to the measurement, as follows:

Level 1: quoted prices (unadjusted) in active markets for identical assets or liabilities.

Level 2: inputs other than quoted prices 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).

Level 3: inputs for the asset or liability that are not based on observable market data (unobservable inputs). Quantitative disclosures fair value measurement hierarchy

The derivative instruments in designated hedge accounting relationships is measured at fair value at level 2, with valuation technique being use of market available inputs such as gold prices and foreign exchange rates.

38 FINANCIAL RISK MANAGEMENT OBJECTIVE

The Company’s activities expose it to a variety of financial risks. The Company’s primary focus is to foresee the unpredictability of such risks and seek to minimise potential adverse effects on its financial performance.

The Company has a robust risk management process and framework in place. The Company’s board of directors has overall responsibility for the establishment and oversight of the risk management framework.

The Company’s board of directors oversee how management monitors compliance with the risk management policies and procedures, and reviews the adequacy of the risk management framework in relation to the risks faced by the Company. The committee is assisted in its oversight role by internal audit. Internal audit undertakes both regular and ad hoc reviews of risk management controls and procedures, the results of which are reported to the audit and risk management committee.

The risk management process aims to:

improve financial risk awareness and risk transparency

identify, control and monitor key risks identify risk accumulations

provide management with reliable information on the Company’s risk situation improve financial returns

Market risk - price risk

The Company is exposed to fluctuations in gold price (including fluctuations in foreign currency) arising on purchase/sale of gold. The Company’s business objective includes safe-guarding its earnings against adverse price movements of gold as well as foreign exchange risks.

The Company has adopted a structured risk management process to hedge these risks within an acceptable risk limit and an approved hedge accounting framework which allows for fair value hedges/ cash flow hedges, as designated at the inception of the hedge. The forward/futures contracts which are not designated as above are marked to market at each balance sheet date and corresponding gain/ loss is recognised in the Statement of Profit and Loss. Further the ineffective portion of fair value gain/ loss on forward/futures contracts which are designated as cash flow hedges are also recognised in the Statement of Profit and Loss. The risk management strategy against gold price fluctuation also includes procuring gold on loan basis, with a flexibility to fix price of gold at any time during the tenor of the loan. The Company does not enter into or trade financial instruments including derivative financial instruments, for speculative purposes.

Market risk - Foreign exchange

The Company is exposed to foreign exchange risk arising from foreign currency transactions with subsidiaries and other parties. Foreign exchange risk arises from recognised assets and liabilities denominated in a currency that is not the Company’s functional currency. Exposures to foreign currency balances are periodically reviewed to ensure that the results from fluctuating currency exchange rates are appropriately managed.

(ii) Assets

The Company’s financial assets are carried at amortised cost and are at fixed rate only. They are, therefore, not subject to interest rate risk since neither the carrying amount nor the future cash flows will fluctuate because of a change in market interest rates.

Credit Risk

Credit risk is the risk that a customer or counterparty to a financial instrument will fail to perform or pay amounts due to the Company causing financial loss. It arises from cash and cash equivalents, deposits with banks and financial institutions, security deposits, loans given and principally from credit exposures to customers relating to outstanding receivables. The Company’s maximum exposure to credit risk is limited to the carrying amount of financial assets recognised at reporting date.

In respect of trade and other receivables, the Company is not exposed to any significant credit risk exposure to any single counterparty or any company of counterparties having similar characteristics. Credit risk on receivables is limited as the nature of the business is cash and carry except for franchisee partners where there is adequate controls in place. The Company has very limited history of customer default, and considers the credit quality of trade receivables that are not past due or impaired to be good.

The Company’s exposure to credit risk is influenced mainly by the individual characteristics of each customer. However, management also considers the factors that may influence the credit risk of its customer base, including the default risk of the industry.

Credit risk has always been managed by the Company through credit approvals, establishing credit limits and continuously monitoring the creditworthiness of customers based on which the Company agrees on the credit terms with customers in the normal course of business. On account of adoption of Ind AS 109, the Company uses expected credit loss model to assess the impairment loss or gain. The Company uses a provision matrix to compute the expected credit loss allowance for trade receivables and contract assets. The provision matrix takes into account available external and internal credit risk factors and the Company’s historical experience for customers. The movement of provision for expected credit loss during the year is given below:

The credit risk for cash and cash equivalents, bank deposits, security deposits and loans is considered negligible, since the counterparties are reputable organisations with high quality external credit ratings.

No significant changes in estimation techniques or assumptions were made during the reporting period. Liquidity risk

The Company requires funds both for short-term operational needs as well as for long-term expansion programmes. The Company remains committed to maintaining a healthy liquidity ratio, deleveraging and strengthening the balance sheet. The Company manages liquidity risk by maintaining adequate support of facilities from its holding company, and by continuously monitoring forecast and actual cash flows and by matching the maturity profiles of financial assets and liabilities.

The Company’s treasury department is responsible for liquidity, funding as well as settlement management. In addition, processes and policies related to such risks are overseen by senior management.

The Company’s financial liability is represented significantly by long-term and short-term borrowings from banks and trade payables. The maturity profile of the Company’s short-term and long-term borrowings and trade payables based on the remaining period from the date of balance sheet to the contractual maturity date is given in the table below.

(iii) Capital management

The Company’s capital management objectives are

- to ensure the Company’s ability to continue as a going concern

- to create value for shareholders by facilitating the meeting of long-term and short-term goals of the Company

The Company determines the amount of capital required on the basis of annual business plan coupled with long-term and short-term strategic expansion plans. The funding needs are met through equity, cash generated from operations, long-term and short-term bank borrowings.

The Company monitors the capital structure on the basis of net debt to equity ratio and maturity profile of the overall debt portfolio of the Company. Net debt includes interest bearing borrowings less cash and cash equivalents and other bank balances (including non-current earmarked balances).

Note (iii) - The Return on Equity has improved by 53.15% primarily due to significant increase in profitability during the year. The Profit after Tax increased from ' 6,886.82 million to ' 12,851.26 million (an increase of 86.62%) while the average shareholders’ equity increased by 28.12% from ' 44,721.04 million to ' 54,489.04 million, resulting in improved returns to shareholders.

Note (iv) - The Trade Receivables Turnover Ratio has decreased by 32.00% primarily due to the increase in average trade receivables at a rate higher than the growth in revenue from sale of goods. While revenue increased by 43.32% (from ' 2,15,772.23 million to ' 3,09,241.09 million), the average trade receivables increased significantly due to expanded franchisee business operations and credit terms extended to some franchisees during the year.

Note (v) - The Net Profit Ratio has improved by 30.14% in FY2025-26 compared to FY2024-25. This is primarily driven by a sharp increase in profitability: Profit after tax grew from ' 6,886.82 million to ' 12,851.26 million (an increase of 86.61%), while Revenue from sale of goods grew at a relatively lower rate from ' 2,16,385.95 million to ' 3,10,270.92 million (an increase of 43.39%).

Note (vi) - The Return on Capital Employed (ROCE) has improved by 40.42% increasing from 17.03% in FY2024-25 to 23.91% in FY2025-26. The improvement is driven by a substantial increase in EBIT (Profit before exceptional items and tax Finance costs - Other income): EBIT rose from ' 10,334.00 million to ' 18,278.96 million, an increase of 76.88%. Specifically, Profit before exceptional items and tax grew by 90.28% (from ' 9,322.65 million to ' 17,739.14 million) and Finance costs increased by 15.92%. Capital employed (Total equity Total non-current liabilities) grew at a comparatively lower rate from ' 60,690.90 million to ' 76,452.45 million (25.97%).

Note (vii) - The variance is due to significant change in average fixed deposit value due to timing of redemption and fresh deposits.

Note (i) - The Debt-Equity ratio of the Company improved from 0.40 times as at 31 March 2025 to 0.26 times as at 31 March 2026. The improvement was primarily driven by a significant increase in total equity on account of higher retained earnings during the year, coupled with reduction in overall borrowings, particularly current borrowings. Consequently, despite increase in metal gold loans in line with business requirements, the overall debt position reduced, resulting in a lower gearing ratio as at the reporting date.

Note (ii) - The Debt Service Coverage Ratio (DSCR) has improved from 5.12 times in FY 2024-25 to 7.34 times in FY 2025-26, representing an increase of approximately 43%. The key reasons for this improvement is increase in EBITDA (Earnings Before Interest, Tax, Depreciation & Amortisation) from ' 12,795.45 million to ' 21,242.43 million, representing a growth of 66.02%. This substantial improvement in operating earnings is the primary driver of the enhanced DSCR, though there has been a moderate increase in total debt service obligations (which only includes finance costs, as there are no non-current borrowings outstanding as at 31 March 2025 and hence no principal repayments during the period ended 31 March 2026) from ' 2,496.81 million to ' 2,894.19 million (15.92% increase) due to addition of new lease arrangements during the year and increase in interest on sublease deposits and interest on shortfall in advance tax payment.

(iii) There are no leases which are yet to commence as at the balance sheet date.

(iv) The Company has treated the other leases with lease term of less than 12 months as if they were “short-term leases”. Expense relating to such short-term leases recognised in the statement of profit and loss amounts to ' 558.91 million (31 March 2025: ' 427.11 million).

(v) As detailed 40(i), the Company has taken building premises on long-term lease from various parties for operating its showrooms. Some of these showrooms are operated by Company’s franchisees as such the Company has entered into back to back sub lease arrangements with the franchisees for these show rooms. These sub leases are for a period of 7 years to 9 years. The accounting for subleases is governed by Ind AS 116 where by the sub lease receivable is recognised on the date of entering into the agreement by derecognising the underlying ROU. Refer Notes 8 for the carrying value of sub lease receivables as at the year end and the undiscounted value of sub lease receivables amounted to ' 8,116.26 million as at the year end (Previous year: ' 6,732.63 million)

41 D isclosure pursuant to Securities (Listing Obligations and Disclosure Requirements) Regulations, 2015 and Section 186 of the Companies Act, 2013:

i) Details of investments - Refer Note 6

ii) Details of loans given- Refer Note 7

iii) Details of guarantees given - Refer Note 36

Note (i)

(i) ‘ESOP expense amounting to ' 4.40 million (previous year - ' 778 million) has been cross-charged to subsidiary company, and the total ESOP expense for the year as per Note 27 is net of this crosscharge.

(ii) Volatility is based on historical share price information available in stock exchanges.

44 OTHER STATUTORY INFORMATION:

i) The Company does not have any Benami property and there are no proceeding initiated or pending against the Company for holding any benami property under the Benami Transactions (Prohibition) Act, 1988 (45 of 1988) and the rules made thereunder.

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

iii) The Company does not have any transactions which are not recorded in the books of accounts that have been surrendered or disclosed as income in the tax assessments under the Income Tax Act, 1961 during the current year and previous year.

iv) There are no Schemes of Arrangements which are either pending or have been approved by the Competent Authority in terms of sections 230 to 237 of the Companies Act, 2013 during the current year and previous year.

v) No funds have been received by the Company from any persons or entities, including foreign entities ("Funding Parties”), with the understanding, whether recorded in writing or otherwise, that the Company shall, 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 provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

45 The Ministry of Corporate Affairs (MCA) has prescribed a requirement for companies under the proviso to Rule 3(1) of the Companies (Accounts) Rules, 2014 inserted by the Companies (Accounts) Amendment Rules 2021 requiring companies which uses accounting software for maintaining its books of account, shall use only such accounting software which has a feature of recording audit trail of each and every transaction, creating an edit log of each change made in the books of account along with the date when such changes were made and ensuring that the audit trail cannot be disabled. Further, the provision also specifies a statutory requirement for record retention.

With respect to the accounting software used for maintaining the Company’s accounting records, once a transaction is posted, it cannot be edited. The application logs of the transaction at the time of posting, and any subsequent edits, deletions, or insertions of transactional data are also logged. There is no functionality to enable or disable logging for specific activities. Once posted, a transaction cannot be edited by any user, and the edit log captures all relevant information and the same has been operating throughout the year for all relevant transactions recorded in the software. However, audit trail functionality in accounting software was enabled at application level from 28 October 2024 and at database level from 06 January 2025.

The audit trail feature was not enabled at both application level and database level for accounting software used for maintenance of the day-to-day operations, payroll records and records in connection with gold purchase scheme due to operational challenges.

46 Approval of financial statements: The standalone financial statements were approved for issue by the board of directors on 08 May 2026.

47 Prior year comparatives have been regrouped/reclassified where necessary to conform with the current year classification. The impact of such regroupings/reclassifications is not material to these standalone financial statements.