Your Directors are pleased to present the 16^th Annual Report together with the Audited Standalone and Consolidated Financial
Statements for the financial year ended 31^st March, 2026.

1. Operations and State of Affairs of the Company: (H in Crores)

During the year, the Company delivered stable financial performance, supported by a diversified business mix across domestic
and international markets.

The break-up of consolidated revenue including export incentives is as follows: (H in Crores)

The International Business continues to contribute a significant share of revenues, driven by strong formulation and API
exports, supported by a stable domestic branded formulations business.

The Standalone and Consolidated Financial Statements have been prepared in accordance with the Companies (Indian
Accounting Standards) Rules, 2015 prescribed under Section 133 of the Companies Act, 2013 (the “Act").

2. Transfer to Reserve:

During the year under review, no amount was transferred to any reserves.

3. Dividend:

The Board of Directors at its meeting held on 15^th May, 2026 has recommended dividend of H12/- (600%) per equity share having face
value of H2/- each for the financial year 2025-26 as against the dividend of H11/- (550%) per equity share having face value of H2/-
each for the financial year 2024-25. The payment of dividend is subject to approval of the shareholders at the ensuing Annual General
Meeting (“AGM").

4. Share Capital:

During the year under review, there was no change in the
authorized and paid-up share capital of the Company.
The authorized share capital is H40.50 crore and paid-up
share capital is H39.31 crore.

5. Management Discussion and Analysis Report:

The Management Discussion and Analysis Report as
required under Regulation 34 read with Schedule V
of the Securities and Exchange Board of India (Listing
Obligations and Disclosure Requirements) Regulations,
2015 (“SEBI Listing Regulations, 2015") forms part of this
Annual Report. Certain Statements in the said report may
be forward-looking and actual results may differ due to
various factors.

6. USFDA Audit:

During the year under review, the Company's Injectable
Formulation Facility (F-3) was inspected by the USFDA and
received 2 observations. The Company has submitted its
response within the stipulated timelines and received EIR
for F-3. With this, the Establishment Inspection Reports
(EIRs) are in place for all our USFDA inspected facilities.
The Company continues to maintain a strong regulatory
compliance track record across its manufacturing facilities.

7. Financing:

During the year under review, the Company's financing
requirements were met through a mix of working
capital loans from banks and issuance of commercial
papers (CPs).

8. Subsidiaries, Associates and Joint Venture:

Pursuant to the provisions of Section 129, 134 and 136 of
the Act read with rules made thereunder and Regulation
33 of the SEBI Listing Regulations, 2015, the Company
has prepared consolidated financial statements and a
statement containing the salient features of financial
statement of subsidiaries, joint ventures and associates in
Form AOC-1, which forms part of this Annual Report.
During the year, the Company:

• converted its Dubai branch into a wholly owned
subsidiary, Alembic Pharmaceuticals Scientific Office
L.L.C.; and

• incorporated a subsidiary, Alembic Pharmaceuticals
(Thailand) Co. Ltd.

During the year, Alembic Pharmaceuticals Inc., a wholly
owned subsidiary of the Company, has acquired 100%
stake of Utility Therapeutics Ltd.

These initiatives strengthen the Company's international
footprint and support future growth in key markets.

The standalone and consolidated financial statements
of the Company and financial statements of
the subsidiaries are available on the Company's
website www.alembicpharmaceuticals.com.
Shareholders interested in obtaining a physical copy of
the audited annual accounts of the subsidiary companies
may write to the Company Secretary requesting for the
same.

9. Directors:

The Board of Directors at its meeting held on 5^th February,
2026, based on the recommendation of Nomination and
Remuneration Committee, approved the appointment
of Mr. R. K. Baheti (DIN: 00332079) as a Non-Executive
Non-Independent Director w.e.f. 1^st April, 2026 which was
subsequently approved by the members of the Company.

In accordance with the provisions of Section 152 and
other applicable provisions, if any, of the Act and the
Articles of Association of the Company, Mr. Pranav Amin
(DIN: 00245099), Managing Director, is liable to retire by
rotation at the ensuing 16^th AGM and being eligible, has
offered himself for re-appointment.

10. Key Managerial Personnel:

The Key Managerial Personnel of the Company are:

Mr. Chirayu Amin, Executive Chairman;

Mr. Pranav Amin, Managing Director;

Mr. Shaunak Amin, Managing Director;

Mr. G. Krishnan, Chief Financial Officer; and
Ms. Manisha Saraf, Company Secretary.

During the year under review, Mr. R. K. Baheti, relinquished
the position of Chief Financial Officer. The Board places on
record its appreciation for his contributions.

Subsequently, Mr. G. Krishnan was appointed by the Board
as the Chief Financial Officer with effect from 7^th July, 2025.

Further, Mr. Chirayu Amin relinquished the role of Chief
Executive Officer and was redesignated as Executive
Chairman effective from 1^st April 2026.

11. Meetings of the Board:

Four (4) Board Meetings were held during the financial
year ended 31^st March, 2026. Details of Board Meetings
and attendance are provided in the Corporate Governance
Report.

12. Independent Directors:

The Company has received declarations/confirmations
from all the Independent Directors confirming compliance

with independence criteria under Section 149(7) of the
Act read with Rule 6 of the Companies (Appointment and
Qualification of Directors) Rules, 2014 and Regulation
25(8) of the SEBI Listing Regulations, 2015 and continue
to comply with the Code of Conduct laid down under
Schedule IV of the Act.

13. Performance Evaluation:

Pursuant to the provisions of the Act, SEBI Listing
Regulations, 2015 and Nomination and Remuneration
Policy of the Company, the Nomination and Remuneration
Committee (NRC) & Board have carried out an annual
performance evaluation of the Board, its Committees
and individual Directors through a structured process
involving both individual and consolidated feedback from
the Directors.

Further, the Independent Directors separately evaluated
the performance of the Chairperson, Non-Independent
Directors and the Board as a whole.

The Directors expressed their satisfaction with the
evaluation process.

14. Audit Committee:

In compliance with Section 177 of the Act and Regulation
18 of the SEBI Listing Regulations 2015, the Company
has constituted an Audit Committee. The composition of
the Committee is provided in the Corporate Governance
Report. The Committee reviews internal controls, reports
of internal auditors, key audit matters presented by
the Statutory Auditors and compliance with applicable
regulations and reviews financial statements before
submission to the Board. During the financial year
2025-26, all recommendations of Audit Committee were
duly accepted by the Board.

15. Vigil Mechanism/Whistle Blower Policy:

Pursuant to Section 177(9) & (10) of the Act and Regulation
22 of the SEBI Listing Regulations, 2015, the Company has
established a Vigil Mechanism/Whistle Blower Policy for
directors, employees and other stakeholders to report
genuine concerns. The policy is available at:
https://alembicpharmaceuticals.com/policies-and-codes

16. Internal Control Systems:

The Company has adequate internal control system
including internal financial controls commensurate
with the size and nature of its operations, to ensure
compliance with its policies, procedures and applicable
laws. The internal audit team conducts audits throughout
the year across locations and functional areas and submits
reports to the Audit Committee. No material weaknesses

in internal financial controls were observed during
the year

During the year under review, the Company did not
experience any cyber security incidents, breaches or
data loss.

17. Corporate Social Responsibility:

Alembic Group has been proactively carrying out
CSR activities over fifty years and focuses primarily on
education, healthcare and rural development.

In compliance with Section 135 of the Act, the Company
has framed a CSR Policy and the same is available at:https://
alembicpharmaceuticals.com/sustainability-reports-
social. The annual report on CSR activities carried out
during the financial year ended 31^st March, 2026 in the
prescribed format under the Companies (Corporate
Social Responsibility Policy) Rules, 2014 consisting of the
composition of CSR Committee is annexed as Annexure A.

18. Policy on Nomination and Remuneration:

In compliance with Section 178 of the Act and Regulation
19 of the SEBI Listing Regulations, 2015, the Company has
a Nomination and Remuneration Policy hosted on the
Company's website. The web-link as required under the
Act is as under:

https://alembicpharmaceuticals.com/policies-and-codes

The salient features of the NRC Policy include, inter
alia, objectives of the policy; definitions; policy for
appointment/removal of Directors, KMP and senior
management; remuneration for managerial personnel,
KMP, senior management and other employees and
remuneration to Non-Executive/Independent Directors.

19. Dividend Distribution Policy:

Pursuant to Regulation 43A of the SEBI Listing Regulations,
2015, the Company has formulated Dividend Distribution
Policy and is hosted at the website of the Company at:
https://alembicpharmaceuticals.com/policies-and-codes

20. Related Party Transactions:

Related party transactions that were entered into during
the financial year were in the ordinary course of business
and on arm's length basis. The Company entered into
transactions with the related party(ies) as mentioned in
Note No. 27(7) of the Standalone Financial Statements.
There were no related party transactions entered into by
the Company, which may have potential conflict with the
interest of the Company.

The Company has not entered into any other arrangement
/ transaction with related parties which could be

considered material in accordance with the Act, the
Company's Policy on Related Party Transactions, read with
the SEBI Listing Regulations, 2015, during the year under
review.

Pursuant to the provisions of Regulation 23 of the SEBI
Listing Regulations, 2015, your Company has filed half
yearly reports with the stock exchanges, for the related
party transactions.

The Board has approved a policy for related party
transactions which has been hosted on the Company's
website at:

https://alembicpharmaceuticals.com/policies-and-codes

21. Corporate Governance Report:

The Report on Corporate Governance as required under
Regulation 34 read with Schedule V of the SEBI Listing
Regulations, 2015, forms part of this Annual Report.

The certificate from M/s. Samdani Shah & Kabra, Practicing
Company Secretaries required as per the aforesaid
Schedule V, confirming compliance with the conditions of
Corporate Governance as stipulated under the SEBI Listing
Regulations, 2015 is attached to the Report on Corporate
Governance.

22. Business Responsibility & Sustainability Report:

In accordance with Regulation 34 of the SEBI Listing
Regulations, 2015, the Business Responsibility &
Sustainability Report for FY 2025-26, describing the
initiatives taken by the Company from an environment,
social and governance (“ESG") perspective, forms part of
this Annual Report.

23. Listing of securities:

The equity shares of the Company are listed on BSE and
NSE with Stock Code 533573 and security ID/symbol of
APLLTD. The ISIN for equity shares is INE901L01018.

The Company confirms that the annual listing fees to both
the stock exchanges for the financial year 2026-27 have
been paid.

24. Loans, Guarantees or Investments:

During the year under review, the Company has not
granted any Loans or given any guarantees falling within
the purview of the provisions of Section 186 of the Act
read with the Companies (Meetings of Board and its
Powers) Rules, 2014. The Details of Investments made are
provided in Note No. 4 of Notes to Standalone Financial
Statements of the Company.

25. Auditors:

a) Statutory Auditors:

Pursuant to Section 139 of the Act read with the
Companies (Audit and Auditors) Rules, 2014,
M/s. KKC & Associates LLP, Chartered Accountants
having Firm Registration No. 105146W/ W100621
were appointed as Statutory Auditors of the
Company by the members at the 15^th AGM held
on 5^th August, 2025 to hold office for a term of five
(5) years i.e. till the conclusion of the AGM for the
financial year 2029-30.

The Auditors' Report does not contain any
qualification, reservation, adverse remark or
disclaimer. The Notes on financial statement referred
to in the Auditors' Report are self-explanatory and do
not call for any further comments.

b) Secretarial Auditors:

Pursuant to the Section 204 of the Act read with
the rules framed thereunder and Regulation 24A
of SEBI Regulations, 2015, M/s. Samdani Shah &
Kabra, Practicing Company Secretaries having Firm
Registration No. P2008GJ016300 were appointed
as Secretarial Auditors of the Company by the
members at the 15^th Annual General Meeting held
on 5^th August, 2025 to hold office for a term of five (5)
years till the conclusion of Annual General Meeting
for the financial year 2029-30.

The Secretarial Audit Report of M/s. Samdani Shah &
Kabra, Practicing Company Secretaries for the financial
year 2025-26, is annexed herewith as Annexure B.
The Secretarial Audit Report does not contain any
qualification, reservation or adverse remark.

During the year under review, the Company has
complied with the applicable provisions of the
Secretarial Standards as prescribed by the Institute
of Company Secretaries of India.

c) Cost Auditors:

The provisions of Section 148(1) of the Act with
regard to maintenance of cost records are applicable
to the Company and the Company has made and
maintained the cost records as specified therein.

The Board of Directors appointed M/s. Diwanji & Co.,
Cost & Management Accountants as Cost Auditors
for conducting audit of the cost records maintained
by the Company relating to Bulk Drugs and
Formulations for the financial year 2026-27.

d) Internal Auditors:

The Board of Directors appointed M/s. Sharp &
Tannan Associates, Chartered Accountants as Internal
Auditors of the Company for the financial year
2026-27.

26. Risk Management:

The Company has constituted a Risk Management
Committee and adopted a Risk Management Policy
which guides identification and mitigation of key risks.
The Company has a robust enterprise risk management
framework with major risks identified by businesses and
functions addressed through mitigating actions on a
continuing basis and these are discussed at the meetings
of the Risk Management Committee, Audit Committee
and the Board.

27. Material Changes:

There have been no material changes and commitments
affecting the financial position of the Company since
the close of financial year i.e. since 31^st March, 2026.
Further, there has been no change in the nature of
business of the Company.

28. Annual Return:

A copy of the Annual Return as required under Section
92(3) of the Act has been placed on the Company's
website at:

https://alembicpharmaceuticals.com/sharehol

der-information#annual-return

29. Conservation of Energy, Technology Absorption,
Foreign Exchange Earnings and Outgo:

The information required under Section 134(3)(m) of the
Act read with Rule 8(3) of the Companies (Accounts) Rules,
2014, is annexed as Annexure C.

30. Particulars of employees and related disclosures:

Disclosures as required under Section 197(12) of the Act
read with Rule 5(1) of the Companies (Appointment and
Remuneration of Managerial Personnel) Rules, 2014, are
annexed as Annexure D.

A statement showing the names and particulars of the
employees falling under Rule 5(2) of the aforesaid is
available for inspection at the Registered Office of the
Company during working hours and the same will be
provided upon request by the members.

31. Other Disclosures:

a) The Company has not accepted/renewed any
deposits during the year. Further, there has been

no default in repayment of deposits or payment of
interest thereon. No deposits remained unpaid or
unclaimed as at the end of the year.

b) The Company does not have any scheme of
provision of money for the purchase of its own
shares by employees or by trustees for the benefit
of employees.

c) Neither the Managing Directors nor the Whole-time
Director of the Company have received any
remuneration or commission from any of the
Company's subsidiaries.

d) No significant or material orders were passed by the
regulators or courts or tribunals impacting the going
concern status and future operations.

e) No fraud has been reported by the Auditors under
Section 143(12) of the Act to the Audit Committee
or the Board.

f) The Company has a Policy on prevention of sexual
harassment in line with the requirements of The
Sexual Harassment of Women at the Workplace
(Prevention, Prohibition & Redressal) Act, 2013 and
has constituted an Internal Complaints Committee.
During the year, no complaint was received.

g) Neither any application was made nor any
proceeding is pending under the Insolvency and
Bankruptcy Code, 2016.

h) No settlements have been made with banks or
financial institutions.

i) The Company has complied with the provisions of
the Maternity Benefit Act, 1961 and the rules made
thereunder, including all applicable obligations
relating to maternity benefits for eligible employees.

2. Directors' Responsibility Statement:

Pursuant to Section 134(5) of the Act, the Board

of Directors, to the best of its knowledge and ability,

confirm that:

a) in preparation of the annual accounts, the applicable
accounting standards have been followed along with
proper explanation relating to material departures, if any;

b) Accounting policies have been selected and applied
consistently and made judgments and estimates
that are reasonable and prudent so as to give a true
and fair view of the state of affairs of the Company at
the end of the financial year and of the profit of the
Company for that period;

c) proper and sufficient care has been taken for
maintenance of adequate accounting records
in accordance with the provisions of the Act for
safeguarding the assets of the Company and
for preventing and detecting fraud and other
irregularities;

d) the annual accounts have been prepared on a going
concern basis;

e) internal financial controls have been laid down to be
followed by the Company and financial controls are
adequate and operating effectively; and

f) proper systems have been devised to ensure
compliance with all applicable laws and that such
systems are adequate and operating effectively.

33. Acknowledgement

Your Directors express their sincere appreciation to
shareholders, customers, suppliers and business partners
for their trust, support and confidence reposed in your
Company.

Your Directors wish to place on record their sincere
appreciation for the dedicated efforts and consistent
contribution made by the employees at all levels, to
ensure that your Company continues to grow and excel.

On behalf of the Board of Directors,

Chirayu Amin

Chairman
(DIN: 00242549)

Alembic Pharmaceuticals Limited

CIN: L24230GJ2010PLC061123

Regd. Office: Alembic Road, Vadodara - 390 003

Tel: 91 265 6637000

Website: www.alembicpharmaceuticals.com
E-mail: apl.investors@alembic.co.in

Date: 15^th May, 2026
Place: Vadodara