o) Provisions (other than for employee benefits)

A provision is recognized 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. If the effect
of the time value of money is material, provisions
are determined by discounting the expected future
cash flows at a pre-tax rate that reflects current
market assessments of the time value of money and
the risks specific to the liability. Where discounting
is used, the increase in the provision due to the
passage of time is recognized as a finance cost.

The amount recognized as a provision is the best
estimate of the consideration required to settle the
present obligation at reporting date, taking into
account the risks and uncertainties surrounding
the obligation. When some or all of the economic
benefits required to settle a provision are expected
to be recovered from a third party, the receivable is
recognized as an asset if it is virtually certain that
reimbursement will be received and the amount
of the receivable can be measured reliably. The
reimbursement is treated as a separate asset.
Provisions are reviewed at each reporting date and
adjusted to reflect current best estimates.

p) Contingent liabilities and contingent assets

Contingent liability is a possible obligation
arising 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 or a
present obligation that arises from past events
but is not recognized because it is not probable
that an outflow of resources embodying economic
benefits will be required to settle the obligation or
the amount of the obligation cannot be measured
with sufficient reliability. The Company does not
recognize a contingent liability but discloses its
existence in the standalone financial statements.

Contingent assets usually arise from unplanned
or other unexpected events that give rise to the
possibility of an inflow of economic benefits to
the entity. Contingent assets are recognized when
the realization of income is virtually certain, then
the related asset is not a contingent asset and its

recognition is appropriate. A contingent asset is
disclosed where an inflow of economic benefits is
probable.

Contingent liabilities and contingent assets are
reviewed at each reporting date and adjusted to
reflect the current best estimates.

q) Commitments

Commitments include the amount of purchase
order (net of advances) issued to parties for
completion of assets. Commitments are reviewed
at each reporting date.

r) Operating segment

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. All operating segments'
operating results are reviewed regularly by the
Company's Chief Operating Decision Maker (CODM)
to make decisions about resources to be allocated
to the segments and assess their performance.

s) Cash and cash equivalents

For the purpose of presentation in the Statement of
Cash Flows, cash and cash equivalents include cash
in hand, demand deposits held with banks, other
short-term highly liquid investments with original
maturities of three months or less that are readily
convertible to known amounts of cash and which
are subject to an insignificant risk of changes in
value.

t) Statement of Cash Flows

Cash flows are reported using the indirect method,
whereby profit for the period is adjusted for the
effects of transactions of a non-cash nature, any
deferrals or accruals of past or future operating
cash receipts or payments and item of income or
expenses associated with investing or financing
cash flows. The cash flows from operating,
investing and financing activities of the Company
are segregated.

u) Earnings per share

Basic earnings/ (loss) per share are calculated
by dividing the net profit/ (loss) for the period
attributable to equity shareholders by the weighted
average number of equity shares outstanding

during the period. The weighted average number
of equity shares outstanding during the year is
adjusted for events of bonus issue and share split.
For the purpose of calculating diluted earnings/
(loss) per share, the net profit or loss for the
period attributable to equity shareholders and the
weighted average number of shares outstanding
during the period are adjusted for the effects of all
dilutive potential equity shares.

v) Corporate Social Responsibility ("CSR") expenditure

CSR expenditure incurred by the Company is
charged to the Statement of the Profit and Loss.

w) Share capital

Equity shares: Incremental costs directly attributable
to the issue of equity shares are recognized as
a deduction from equity. Income tax relating
to transaction costs of an equity transaction is
accounted for in accordance with Ind AS 12.

NOTE 4. RECENT ACCOUNTING PRONOUNCEMENTS

Ministry of Corporate Affairs ("MCA") notifies new
standard or amendments to the existing standards
under Companies (Indian Accounting Standards) Rules
as issued from time to time. The Company has reviewed
the new pronouncements and based on its evaluation
has determined that it does not have any significant
impact in its financial statements.

On 07 May 2025, the Ministry of Corporate Affairs
(MCA) notified amendments to Ind AS 21 - The Effects
of Changes in Foreign Exchange Rates, applicable
w.e.f. April 1, 2025. The Company has reviewed
the amendment and based on its evaluation has
determined that it does not have any significant impact
in its financial statements

On 13 August 2025, the Ministry of Corporate Affairs
(MCA) notified Companies (Indian Accounting
Standards) Amendment Rules, 2025 which amends
certain accounting standards, and are effective 1 April
2025.

The key amendments are as follow:

1. Ind AS 1, Presentation of Financial Statements,
applicable w.e.f. 01 April 2025 - The amendment
relates to classification of liabilities as current
or non-current and non-current liabilities with
covenants. In the context of classifying a liability as
current, it removes the requirement of existence of
a right to defer settlement for at least 12 months
after the reporting date and instead requires
that the said right should exist on the reporting
from deferred tax accounting for top-up tax and
disclose that they have applied the relief. This relief
is immediate and applies retrospectively

Standards issued but not yet effective

1. Ind AS 1 - Presentation of Financial Statements: If a
covenant breach occurs on or before the reporting
date and the liability becomes payable on demand,
it must be classified as current, even if the lender
subsequently agrees not to demand repayment.
It is classified as current because, at the reporting
date, the entity does not have the right to defer
settlement for at least 12 months. However, if the
lender has already provided - by the reporting date -
a grace period extending at least 12 months beyond
that date, during which the breach can be rectified
and repayment cannot be demanded, the liability is
classified as non-current. This amendment is to be
applied retrospectively for annual reporting periods
beginning on or after 01 April 2026, in accordance
with Ind AS 8, Accounting Policies, Changes in
Accounting Estimates and Errors.

a) Rights, preferences and restrictions attached to equity shares

As per the memorandum of association, the Company's authorized share capital consist of equity shares. All
equity shares rank equally with regard to dividends and share in the Company's residual assets. The equity
shares are entitled to receive dividend as declared from time to time. Shareholders are entitled to one vote per

d) Details of shares reserved for issue under options and contracts/commitments for sale of shares/
disinvestment.

During the year ended 31 March 2026 and 31 March 2025 there are no shares reserved for issue under options
and contracts/commitments for sale of shares/disinvestment.

e) Bonus shares, shares buyback and issue of shares for consideration other than in cash during five years
immediately preceding 31 March 2026.

During the five years immediately preceding 31 March 2026 ('the year'), the Company have not issued any bonus
shares and nor any shares have been bought back except given below. Further, no shares have been issued for
consideration other than cash.

Nature of reserves:

A) Capital reserve: Capital reserve represents the accumulated excess of the fair value of net assets acquired under
business combination over the aggregate consideration transferred.

B) Retained earnings: Retained earnings are the profits that the Company has earned till date, less any dividends
or other distributions paid to shareholders.

C) Securities premium: Securities premium represents the excess consideration received by the Company over the
face value of the shares issued to shareholders less the share issue expenses.

Supplier finance arrangements

The Company entered into vendor finance scheme under which suppliers may receive early payment of their invoices
from a bank. Under the arrangement, the bank agrees to pay amounts due to suppliers in respect of invoices owed
by the Company and the Company repays the bank at a later date. The principal purpose of this arrangement is to
facilitate efficient payment processing and provide the early payment to supplier, compared with the related invoice
payment due date. The arrangement does not significantly extend payment terms beyond the normal terms agreed
with suppliers. The arrangement provide early payment to supplier. The Company therefore includes the amounts
subject to the arrangement within trade payables because the nature and function of these payables remains the
same as those of other trade payables.

The payments to the bank are included within operating cash flows because they continue to be part of the normal
operating cycle of the Company and their principal nature remains operating i.e. payments for the purchase of goods
and services.

Vendor finance scheme/facility has been obtained from State Bank of India which is secured by personal guarantee
of two directors of the Company namely Manoj Kumar Lohariwala and Vinay Lohariwala.

*The Ministry of Micro, Small and Medium Enterprises has issued an Office Memorandum dated 26 August 2008
which recommends that the Micro and Small Enterprises should mention in their correspondence with its customers
the Entrepreneurs Memorandum Number as allocated after filing of the Memorandum. The information regarding
Micro Enterprises and Small Enterprises has been determined to the extent such parties have been identified on the
basis of information available with the Company.

Refer note 41 for the disclosure in respect of amounts payable to such enterprises as at year end that has been
made in the Financial Statement based on information available with the Company.

includes dues to related parties. Refer note 40

Non-current assets

The Company has common non-current assets for business in domestic and overseas markets. Hence, separate
figures for non-current assets/ additions to property, plant and equipment have not been furnished. All non¬
current assets of the Company are located within India.

c. Information about major customers (from external customers)

For the year ended 31 March 2026, two customers of the Company constituted more than 10% of the total
revenue of Company amounting to ' 3,359.85 million (31 March 2025: one customer of the Company constituted
more than 10% of the total revenue of Company amounting to ' 1,501.58 million).

NOTE 39 - EMPLOYEE BENEFITS

a. Defined contribution plans

The Company makes contributions, determined as a specified percentage of employee salaries, towards Provident
Fund and Employee State Insurance Scheme ('ESI') which are collectively defined as defined contribution plans.
The Company has no obligations other than to make the specified contributions. The contributions are charged
to the Statement of Profit and Loss as they accrue. The amount recognized as an expense towards contribution
to Provident Fund and ESI are as follows:

This is an unfunded benefit plan for qualifying employees. This scheme provides for a lump sum payment to
vested employees at retirement, death while in employment or on termination of employment. Vesting occurs
upon completion of five years of service.

The above defined benefit plan exposes the Company to following risks:

Interest rate risk: The defined benefit obligation calculated uses a discount rate based on government bonds. If
bond yields fall, the defined benefit obligation will tend to increase.

Salary inflation risk:The estimates of future salary increases, considered in actuarial valuation, takes into account
of inflation, seniority, promotion and other relevant factors, such as supply and demand in the employment
market.

Demographic risk: This is the risk of variability of results due to unsystematic nature of decrements that include
mortality, withdrawal, disability and retirement. The effect of these decrements on the defined benefit obligation
is not straight forward and depends upon the combination of salary increase, discount rate and vesting
criteria.

The following table sets out the status of the defined benefit plan as required under Ind AS 19 - Employee
Benefits:

b. Defined benefit plans
Gratuity

The gratuity plan is governed by the Payment of Gratuity Act, 1972 subsumed by The Code on Social Security,
2020 Under the act/code, employees who have completed five years of service are entitled to specific benefit. The
level of benefit provided depends on the member's length of service and salary retirement age. The employee
is entitled to a benefit equivalent to 15 days salary last drawn for each completed year of service. The same is
payable on termination of service or retirement or death whichever is earlier.

The present value of the obligation under such defined benefit plan is determined based on an actuarial valuation
as at the reporting date using the projected unit credit method, which recognizes each year of service as giving
rise to additional unit of employee benefit entitlement and measures each unit separately to build up the final
obligation. The obligations are measured at the present value of the estimated future cash flows. The discount
rate used for determining the present value of the obligation under defined benefit plans is based on the market
yields on government bonds as at the date of actuarial valuation. Actuarial gains and losses (net of tax) are
recognized immediately in the Other Comprehensive Income (OCI).

Notes:

a. The carrying value of investment in Shivalik Solid Waste Management Limited was ' 2,500/-. Fair value of this
investment is not considered to be material.

As per paragraph 10 of Ind AS 27, the Company has elected to measure its investment in Univentis Medicare
Limited (Subsidiary Company), at its cost and is not materially different from its carrying value

b. The fair value of non-current assets and non-current liabilities (except lease liabilities) are valued based upon
discounted cash flow valuation method. The valuation model considers the present value of expected payments,
discounted using risk adjusted discount rate. The own non-performance risk was assessed to be insignificant.

c. The fair valuation of financial assets and liabilities with short-term maturities is considered to be approximately
equal to their carrying amount, due to their short-term nature.

d. Level 1 - Fair value measurement at the end of the financial year. Quoted investments in mutual funds measured
at fair value through statement of profit and loss. The fair values of investments in mutual find units is based on
the net asset value ("NAV") as stated by the issuers of these mutual fund units in the published statements as at
balance sheet data. NAV represents the price at which the issuer will issue further units of mutual fund and the
price at which issuers will redeem such units from the investors.

e. The fair value of non-current borrowings are valued based upon Discounted cash flows valuation method. The
valuation model considers the present value of expected payments, discounted using a risk-adjusted discount
rate. The own non-performance risk was assessed to be insignificant.

There are no transfers between level 1, level 2 and level 3 during the year presented.

NOTE 43(a) - FINANCIAL RISK MANAGEMENT
Risk management framework

The Company is exposed to market risk, credit risk and liquidity risk. The Company's board of directors oversees the
management of these risks. The Company's board of directors is responsible to ensure that Company's financial risk
activities which are governed by appropriate policies and procedures and that financial risks are identified, measured
and managed in accordance with the Company's policies and risk objectives. The board of directors reviews and
agrees policies for managing each of these risks, which are summarized below.

(i) Market risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because
of changes in market prices. Market risk comprises interest rate risk and currency risk financial instruments
affected by market risk include trade receivables, trade payables and borrowings. The objective of market risk
management is to manage and control market risk exposures within acceptable parameters while optimizing the
return.

(a) Interest Rate Risk

Interest rate risk is the risk that the future cash flows of a financial instrument will fluctuate because of
changes in market interest rates. The Company's exposure to the risk of changes in market interest rates
relates primarily to the Company's borrowings with floating interest rates. The Company is exposed to
interest rate risk because funds are borrowed at floating interest rates. Interest rate risk is measured by using
the cash flow sensitivity for changes in variable interest rate. The exposure of the Company's borrowing to
interest rate changes as reported to the management at the end of the reporting year are as follows:

(b) Currency risk

Foreign currency risk is the risk that the future cash flows of a financial instrument will fluctuate because of
changes in foreign exchange rates. The Company is exposed to the effects of fluctuation in the prevailing
foreign currency exchange rates on its financial position and cash flows. Exposure arises primarily due

(ii) 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. The Company is exposed to credit risk from its operating activities (primarily
trade receivables, loans and investments) and from its financing activities, including deposits with banks.
Management has a credit policy in place and the exposure to credit risk is monitored on an ongoing basis.

(a) Trade receivables

Customer credit risk is managed as per the Company's established policy, procedures and control relating
to customer credit risk management. Credit quality of a customer is assessed based on an extensive credit
rating scorecard and individual credit limits are defined in accordance with this assessment.Outstanding
customer receivables are regularly monitored.

Based on internal assessment which is driven by the historical experience/current facts available in relation to
default and delays in collection thereof, the credit risk for trade receivables is considered low. The Company
estimates its allowance for trade receivable using lifetime expected credit loss. Individual receivables which
are known to be uncollectible are written off by reducing the carrying amount of trade receivable and the
amount of the loss is recognized in the Statement of Profit and Loss within other expenses.

(c) Security deposits

The Company furnished security deposits as margin money deposits to bank. The Company considers that its
deposits have low credit risk or negligible risk of default as the parties are well established entities and have
strong capacity to meet the obligations. Also, where the Company expects that there is an uncertainty in the
recovery of deposit, it provides for suitable impairment on the same.

(d) Investments in mutual funds

The Company limits its exposure to credit risk by generally investing in liquid securities and only with
counterparties that have a good credit rating. The Company does not expect any significant losses from
non-performance by these counterparties, and does not have any significant concentration of exposures to
specific industry sectors or specific country risks.

(iii) Liquidity risk

Liquidity risk is the risk that the Company may not be able to meet its present and future cash and collateral
obligations without incurring unacceptable losses. The Company's objective is to, at all times maintain optimum
levels of liquidity to meet its cash and collateral requirements. The Company closely monitors its liquidity position
and deploys a robust cash management system. It maintains adequate sources of financing including loans from
banks at an optimized cost.

(b) Cash and cash equivalents and deposits with banks

Cash and cash equivalents of the Company are held with banks which have high credit rating. The Company
considers that its cash and cash equivalents have low credit risk based on the external credit ratings of the
counterparties.

(iv) Excessive risk concentration

Concentrations arise when a number of counterparties are engaged in similar business activities, or activities
in the same geographical region, or have economic features that would cause their ability to meet contractual
obligations to be similarly affected by changes in economic, political or other conditions. Concentrations indicate
the relative sensitivity of the Company's performance to developments affecting a particular industry. In order
to avoid excessive concentrations of risk, the Company's policies and procedures include specific guidelines to
focus on the maintenance of a diversified portfolio. Identified concentrations of credit risks are controlled and
managed accordingly.

NOTE 43(b) - CAPITAL RISK MANAGEMENT

For the purpose of the Company's capital management, capital includes issued equity capital, and all other
equity reserves attributable to the equity holders of the Company. The primary objective of the Company's capital
management is to maximize the shareholder value.

The Company manages its capital structure and makes adjustments in light of changes in economic conditions,
business strategies and future commitments. To maintain or adjust the capital structure, the Company may adjust
the dividend payment to shareholders, return capital to shareholders or issue new shares. The Company monitors
capital using a gearing ratio, which is net debt divided by total capital plus net debt. The Company includes total
liabilities less cash and cash equivalents and other bank balances.

NOTE 44 (i) - CONTINGENT LIABILITIES

As on 31 March 2026 and 31 March 2025, there are no claims against the Company not acknowledged as debt that
require disclosure under contingent liabilities in the financial statements.

The claims against the Company not acknowledged as debts comprise mainly pending lawsuits/claims against the
Company, proceedings pending with Tax and other Authorities. The Company has reviewed all its pending litigations
and proceedings and does not reasonably expect the outcome of these to have a material impact on its financial
statements as the management has assessed that there is a remote probability that the outflow of economic
resources will be required.

Further,the Company had received a Show Cause Notice issued on 15 October 2025 by the Additional Commissioner,
CGST Commissionerate, Shimla. The said notices proposed a demand of ' 158.14 million towards alleged Goods and
Services Tax (GST) liability for the period May 2020 to March 2024, along with applicable interest under Section 50(1)
of the CGST Act, 2017. Notice is issued for excess refund of accumulated ITC under rule 89(4) of CGST Rules, 2017.
The Company had duly submitted its detailed replies and made representations before the adjudicating authority.
Subsequent to the year end, after considering the facts and submissions made by the Company, the Department has
dropped the entire proceedings vide Order No. 01/ADC-JC/ADJ/GST/SML/2026-27 dated 14 April 2026.

NOTE 47 - OTHER STATUTORY INFORMATION

(i) The Company does not have any Benami property, where any proceeding has been initiated or pending against
the Company for holding any Benami property.

(ii) The Company does not have any transactions/outstanding balances with companies struck off under section 248
of the Companies Act, 2013 or section 560 of the Companies Act, 1956.

(iii) The Company has not revalued its property, plant and equipment (including right-of-use assets) or intangible
assets or both during the current or previous year.

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

(v) No funds have been advanced or loaned or invested (either from borrowed funds or share premium or any other
sources or kind of funds) by the company to or in any other person(s) or entity(ies), including foreign entities
("Intermediaries"), with the understanding, whether recorded in writing or otherwise, that the Intermediary shall,
whether, 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 on behalf of
the Ultimate Beneficiaries. Further the relevant provisions of the Foreign Exchange Management Act, 1999 (42 of

1999) and Companies Act has been complied with for such transactions and the transactions are not violative of
the Prevention of Money-Laundering Act, 2002 (15 of 2003).

(vi) 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

(vii) The Company has not 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

(viii) The Company have not been declared wilful defaulter by any bank or financial institution or government or any
government authority.

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

(x) The Company has not entered into any scheme of arrangement which has an accounting impact on current or
previous financial year.

(xi) The Company including the "Companies in the Group" (as per the provisions of the Core Investment Companies
(Reserve Bank) Directions, 2016) do not have any Core Investment Company ("CIC").

(xii) The Company has used borrowing for the purpose for which they have been obtained.

NOTE 48

The Company has completed its IPO on 29 December 2023. IPO related expenditure initially projected in connection
with the Company's Initial Public Offering (IPO) amounted to ' 478.39 million. Subsequently, the actual costs incurred
were ' 451.72 million, thereby resulting in a net reduction in cost of ' 26.67 million. Out of this, a sum of ' 11.70
million, attributable to the selling shareholders, was remitted to them during the financial year. The residual balance
of ' 14.97 million, pertaining to the Company, have been recognised as a deduction from securities premium under
"other equity".

NOTE 49

The Government of India has consolidated 29 existing labour legislations into a united framework comprising four
Labour Codes viz Code on Wages 2019, Code on Social Security 2020, Industrial Relation Code 2020 and Occupational
Safety, Health and Working Condition Code 2020 (collectively referred to as the New Labour Codes). These Codes
have been made effective from 21 November, 2025.

The Company has estimated and accounted liability related to gratuity and leave encashment in the standalone
financial statement and expense for which is included in employee benefits expense.

The Company continues to monitor developments on the rules to be notified by regulatory authorities, including
clarifications / additional guidance from authorities and will continue to assess the accounting implications, basis
such developments/ guidance.

Reason for change more than 25%: Not applicable

As per our report of even date attached.

For B S R & Co. LLP For and on behalf of Board of Directors of

Chartered Accountants Innova Captab Limited

Firm registration number: 101248W/W-100022

Gaurav Mahajan Manoj Kumar Lohariwala Vinay Lohariwala

Partner Chairman and Managing Director

Membership Number: 507857 Whole-Time Director DIN: 00144700

DIN:00144656

Lokesh Bhasin Neeharika Shukla

Chief Financial Officer Company Secretary and

Compliance Officer

Place: Panchkula Place: Panchkula

Date: 07 May 2026 Date: 07 May 2026