Your directors have immense pleasure in presenting the 9^th Annual Report of KENRIK INDUSTRIES
LIMITED along with the Audited Financial Statements for the year ended March 31, 2025.

BRIEF HISTORY:

The Company was originally incorporated as Kenrik Industries private limited as a privately held
company vide Certificate of Incorporation dated February 28, 2017, issued by the Registrar of
Companies, Gujarat, Dadra and Nagar Havelli. Later on, Kenrik Industries private limited was converted
from a private limited company to a public limited company pursuant to a resolution passed in the
Extra-Ordinary General Meeting of the company dated April 14,2018 and the name of the company was
changed to KENRIK INDUSTRIES LIMITED with a fresh certificate of incorporation dated April 27,2018
issued to the company by the Registrar of Companies, Ahmedabad.

The Company get listed on SME Platform of Bombay Stock Exchange of India Limited (BSE SME)
on May 09,2025.

FINANCIAL SUMMARY AND HIGHLIGHTS:

The Company's Audited Financial Statements as of March 31, 2025, have been meticulously prepared
in accordance with the applicable Ind AS, as well as Regulation 33 of the Securities and Exchange Board
of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 (SEBI Listing
Regulations), and the pertinent provisions outlined in the Companies Act, 2013 (the "Act").

For the year ended 31st March 2025, your Company has reported total revenue and net profit after taxation of Rs.
7478.58 (in Lakhs) and Rs 99.31 [in Lakhs) respectively. Last year total revenue and net profit after taxation was Rs.
7094.28/- (in Lakhs) and Rs. 107.04/- (in Lakhs).

REVIEW OF BUSINESS OPERATION

1. FINANCIAL PERFORMANCE:

• During the financial year, the revenue from operation for the financial year ended on
31.03.2025 was Rs.7474.24 (in lakhs) as on basis of Audited financial Statement

prepared as per Companies Act, 2013 with the applicable Ind AS for the financial year 2024¬
25.

• Furthermore, In Comparison to the Financial year 2023-24, the revenue from operation was Rs.
7077.05 (in lakhs) (Rupees Sixty-Four Lakhs Two Thousand) reported in the previous
financial year ended on 31.03.2024.

2. DIVIDEND

The Board of Directors of the Company has decided not to declare any dividend for the financial year
ended March 31, 2025. The retained earnings will be utilized to strengthen the financial position and
support ongoing and future business initiatives.

3. TRANSFER TO RESERVES

During the financial year ended March 31, 2025, KENRIK INDUSTRIES LIMITED has not
transferred an amount to the Securities Premium Reserve.

4. CHANGE IN THE NATURE OF BUSINESS:

As required to be reported pursuant to Section 134(3)(q) read with Rule 8(5) (ii) of Companies
(Accounts) Rules, 2014, There is no change in the nature of business carried on by company during the
financial year 2024-25.

5. LISTING OF SHARES ON SME PLATFORM OF BSE LIMITED

During the financial year 2025-26, KENRIK INDUSTRIES LIMITED has successfully listed its
34,98,000 equity shares on the SME Platform of BSE Limited on May 09, 2025. This significant
milestone marks a new chapter in the Company's growth journey, providing it with enhanced visibility
and access to a broader investor base.

6. SHARE CAPITAL

The company has only one class of shares i.e. Equity shares of Rs. 10/- each only and all Equity Shares
are ranked pari-passu in all respect. All Equity Shares issued are fully paid-up during the period under
review:

? The Authorized Share Capital of the Company is Rs. 13,00,00,000/- (Rupees Thirteen Crore Only)

? Issued, Subscribed, and Paid-up Equity Share Capital is Rs. 8, 99, 99,999 /- (Rupees Eight Crore
ninety-nine lakh ninety-nine thousand nine hundred ninety-nine Only).

6.1. CHANGES IN SHARE CAPITAL

During the period 2024-25 under review, The Authorised Equity Share Capital and Paid-up Equity
Capital has been changed in the manner set forth below:

1. Authorized Equity Share Capital:

2. Initial Public Offering (IPO):

On May 09, 2025, the Company successfully completed its IPO by way of issuing 34,98,000 Equity
Share. This IPO marks a significant milestone, enhancing the Company's capital base and providing
access to a broader investor base through the listing on the SME Platform of BSE Limited

Summary of Share Capital:

7. BOARD OF DIRECTORS AND KEY MANAGERIAL PERSONNEL

7.1. CONSTITUTION OF BOARD:

The following is the constitution of Board of Directors and KMPs of the company as on 314 March,
2025:

Mr. Nitin Dalpatlal Shah will retire at the forthcoming Annual General Meeting of the Company and
being eligible, offer himself for reappointment.

7.2. CHANGES IN THE BOARD OF DIRECTORS DURING FINANCIAL YEAR 2024-25

7.3. BOARD MEETINGS

During the year under review, 11 (Eleven) Board Meetings were convened as and when required.
The gap between two consecutive meetings was not more than one hundred and twenty days as
provided in section 173 of the Act. The details of attendance of each Director at the Board Meeting
are given below;

Furthermore, during the year under review, 2 (Two) Audit Committee Meetings, 1 (One)
Stakeholders Relationship Committee Meeting, 1 (One) Nomination and Remuneration Committee
Meeting, 1 (One) Independent Directors Meeting were convened and held:

7.4. GENERAL MEETINGS:

During the year under review, the following General Meetings were held, the details of which are
given as under:

Disclosure by Directors:

The Directors on the Board have submitted notice of interest under Section 184(1) of the Companies
Act, 2013 i.e. in Form MBP-1, intimation under Section 164(2) of the Companies Act, 2013 i.e. in Form
DIR 8 and declaration as to compliance with the Code of Conduct of the Company.

8. PERFORMANCE EVALUATION:

The Board of Directors has carried out an annual evaluation of its own performance, board
committees and individual directors pursuant to the provisions of the Companies Act, 2013 in the
following manners;

• The performance of the board was evaluated by the board, after seeking inputs from all the
directors, on the basis of the criteria such as the board composition and structure, effectiveness
of board processes, information and functioning etc.

• The performance of the committees was evaluated by the board after seeking inputs from the
committee members on the basis of the criteria such as the composition of committees,
effectiveness of committee meetings, etc.

• The board and the nomination and remuneration committee reviewed the performance of the
individual directors on the basis of the criteria such as the contribution of the individual director
to the board and committee meetings like preparedness on the issues to be discussed,
meaningful and constructive contribution and inputs in meetings, etc.

9. DECLARATION BY INDEPENDENT DIRECTORS

The Independent Directors have submitted their declarations of independence confirming that he/she
met with the criteria of independence as laid out in section149(7) of the Companies Act, 2013 and
under Regulation 16(1)(b) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations,
2015.

10. MANAGEMENT DISCUSSION AND ANALYSIS REPORT

Management Discussion and Analysis Report for the year under review as stipulated under the SEBI
(Listing Obligations and Disclosure Requirements) Regulations, 2015 with the Stock Exchanges in
India is enclosed as per “ANNEXURE - A” and forms the part of this Report.

11. CORPORATE GOVERNANCE REPORT

The Corporate Governance Report as per Regulation 15(2) is not applicable on the Company. Please
find enclosed Non applicability Certificate as “ANNEXURE - B”.

12. PARTICULARS OF LOANS, GUARANTEES AND INVESTMENTS:

Details of Loans, Guarantees and Investments covered under the provisions of Section 186 of the
Companies Act, 2013 are given in the notes to the Financial Statement for the year ended on
March 31, 2024. Furthermore, The Company has duly taken the approval of board of directors and
shareholders to comply with limits prescribed under the provisions of Section 186.

13. COMPANY'S POLICY ON DIRECTORS' APPOINTMENT AND REMUNERATION INCLUDING
CRITERIA FOR DETERMINING QUALIFICATIONS, POSITIVE ATTRIBUTES, INDEPENDENCE
OF A DIRECTOR AND OTHER MATTERS PROVIDED UNDER SUB SECTION (3) OF
SECTION 178:

The Nomination and Remuneration Committee of the Board consist of:

• Ms. Sweta Rasikbhai Panchal (DIN:10298714)

• Mr. Akshay Hiteshkumar Soni (DIN: 08202654)

• Mr. Nishit Dushyant Shah (DIN: 10070221)

With terms of Section 178 of the Companies Act 2013 read with rule 6 of the Companies (Meeting of
Board and its Power) Rules 2014.

Salient Features of the Nomination and Remuneration Policy are;

a. Policy on Appointment of Directors, Key Managerial Personnel and Senior Management Personnel:

• The policy is formulated to identify and ascertain the integrity, qualification, expertise and
experience of the person for appointment as Director, Key Managerial Personnel and Senior
Management personnel and recommend to the Board for his / her appointment.

• A person should possess adequate qualification, expertise and experience for the position he/
she is considered for appointment.

• In case of appointment of Independent Director, the Committee shall satisfy itself with regard to
the independent nature of the Director vis-a-vis the Company so as to enable the Board to
discharge its function and duties effectively.

b. Policy on remuneration of Director, KM P and Senior Management Personnel:

The Company's remuneration policy is driven by the success and performance of Director, KMP and
Senior Management Personnel vis-a-vis the Company. The Company's philosophy is to align them with
adequate compensation so that the compensation is used as a strategic tool that helps us to attract,
retain and motivate highly talented individuals who are committed to the core value of the Company.
The Company follows mixed of fixed pay, benefits and performance based variable pay. The Company
pays remuneration by way of salary, benefits, perquisites and allowance. The remuneration and sitting
fees paid by the Company are within the salary scale approved by the Board and Shareholders.

The Nomination and Remuneration Policy, as adopted by the Board of Directors, is annexed as
“ANNEXURE - C’’

14. WEB ADDRESS OF ANNUAL RETURN:

In pursuance to Section 92 and 134 (3) (a) of the Companies Act, 2013 read with Rule 12 of Companies
(Management and Administration) Rules, 2014, the Annual Return in Form MGT-7 for the financial
year ended March 31, 2024 is placed on the Company's website and can be accessed
at www.kenrikindustries.net.

15. SECRETARIAL STANDARDS

During the year under review, your company has complied with the applicable Secretarial Standards.

16. DIRECTORS' RESPONSIBILITY STATEMENT:

Pursuant to the requirement under section 134(3) (C) of the Companies Act, 2013 with respect to
Directors' Responsibility Statement, it is hereby confirmed that:

(i) In the preparation of the annual accounts for the financial year ended 31^st. March, 2025, the
applicable accounting standards had been followed along with proper explanation relating to
material departures;

(ii) The directors had selected such accounting policies and applied them 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 as at 31^st. March, 2025 and of the profit and loss of the
company for that period;

(iii) The directors had taken proper and sufficient care for the maintenance of adequate
accounting records in accordance with the provisions of the Companies Act, 2013 for
safeguarding the assets of the company and for preventing and detecting fraud and other
irregularities;

(iv) The directors had prepared the annual accounts on a going concern basis;

(v) The directors have laid down internal financial controls to be followed by the company and
that such internal financial controls are adequate and are operating effectively; and

(vi) The directors had devised proper systems to ensure compliance with the provisions of all
applicable laws and that such systems were adequate and operating effectively.

17. DETAILS OF THE ASSOCIATES/ JOINT VENTURE / SUBSIDIARIES COMPANIES:

During the financial year 2024-25, KENRIK INDUSTRIES LIMITED did not have any associates, joint
ventures, or subsidiary companies. The Company continues to focus on its core operations and
strategic initiatives to drive growth and enhance shareholder value.

18. PARTICULARS OF CONTRACTS OR ARRANGEMENTS WITH RELATED PARTIES:

During the year under review, all the related party transactions are entered on arm's length basis, in
the ordinary course of business and are in compliance with the applicable provisions of the Companies
Act, 2013 and the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. There
are not any materially significant related party transactions made by the Company with Entities in
which Promoters, Directors are interested, which may have potential conflict with the interest of the
Company at large or which requires the approval of the shareholders.

19. ENERGY CONSERVATION, TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE EARNINGS
AND OUTGO:

Information on conservation of energy, technology absorption, foreign exchange earnings and outgo,
as required to be disclosed under section 134(3)(m) of the Act read with the Companies (Accounts)
Rules, 2014, are provided as an “ANNEXURE - D”.

20. AUDITORS OF THE COMPANY:

? STATUTORY AUDITOR

M/s. VSSB & Associates, Chartered Accountants (Firm Registration No. 121356W) as Statutory
Auditor of the Company, were re-appointed at 5^th. Annual G eneral Meeting held in the calendar
year 2022, for the period of five consecutive years from the conclusion this ensuing AGM till
the conclusion of 10^th Annual General Meeting of the Company to be held in the calendar
year 2026.

The Notes to the financial statements referred in the Auditors Report are self-explanatory. The
Auditors' Report does not contain any qualification, reservation or adverse remark. The
Auditors' Report is enclosed with the financial statements in this Annual Report.

? SECRETARIAL AUDITOR

Pursuant to provisions of sub-section (1) of Section 204 of the Companies Act 2013, the
Company is required to annex with its Board's Report a secretarial audit report, given by the
Company Secretary in practice.

The secretarial audit of the Company has been conducted by M/s Dharti Patel & Associates,
Company Secretaries in Practice and their report on the secretarial audit for the year under
review attached and marked as “ANNEXURE -E”.

? COST AUDITOR

During the year under review, The Company is not required to appoint cost auditor to conduct
cost audit of the company for the financial year 2024-25.

21. DISCLOSURE OF MAINTENANCE OF COST RECORDS:

In terms of Section 148 of the Companies Act, 2013 read with Companies (Cost records and audits)

Rules, 2014, the company is not required to maintain the Cost Records pursuant to rules made by the
Central Government under sub-section (1) of Section 148 of the Act, in respect of the activities carried
on by the company for the financial year 2024-25.

22. BOARD'S COMMENTS ON QUALIFICATION, RESERVATION & ADVERSE REMARKS OR
DISCLAIMER MADE BY:

? Statutory Auditors - Audit Report given by the Statutory Auditor is self-explanatory in nature
thus no explanation or comments required from the board of director.

? Cost Auditors: - N.A.

? Secretarial Auditors - Secretarial Audit Report given by the Secretarial Auditor is self-explanatory in
nature thus no explanation or comments required from the board of director.

23. DEPOSITS

The Company has neither invited nor accepted any deposits from the public during the year. There is
no unclaimed or unpaid deposit lying with the Company as on the financial year end date. (In Rupees)

24. CORPORATE SOCIAL RESPONSIBILITY

The disclosures as per Rule 9 of Companies (Corporate Social Responsibility Policy) Rules, 2014 is not
applicable as Company is not covered under the criteria mentioned in Section 135(1) of Companies
Act, 2013.

25. STATEMENT IN RESPECT OF ADEQUACY OF INTERNAL FINANCIAL CONTROL WITH
REFERENCE TO THE FINANCIAL STATEMENTS

Pursuant to Section 134 (3)(q) read with Rule 8(5) (viii) of Companies (Accounts) Rules, 2014, and
ICAI guidance note on adequacy on internal financial controls with reference to financial statements,
it is stated that there is adequate internal control system in the Company.

26. INTERNAL FINANCIAL CONTROL

The Board has adopted the policies and procedures for ensuring the orderly and efficient conduct of
its business, including adherence to the Company's policies, the safeguarding of its assets, the
prevention and detection of frauds and errors, the accuracy and completeness of the accounting
records, and the timely preparation of reliable financial disclosures.

27. CORPORATE POLICY

We seek to promote and follow the highest level of ethical standards in our business transactions. The
Companies Act, 2013, SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, SEBI
(Prohibition of Insider Trading) Regulations, 2018 and Sexual Harassment of Women at Workplace
(Prevention, Prohibition and Redressal) Act, 2013 mandated the formulation of certain policies for all
listed companies.

The Policies are reviewed periodically by the Board and updated on the basis of need and new
compliance.

The Key Policies are as follows:

28. MATERIAL CHANGES BETWEEN THE DATE OF THE BOARD REPORT AND END OF FINANCIAL
YEAR.

Your Company under goes to listing procedure on BSE SME Platform after the closure of financial year
2024-25. The Draft red herring prospectus of the company has been filed on May 09, 2025. Looking
thereafter the BSE issued the in-principal letter dated March 08, 2025 for proposed issue of 51,
84,000 equity shares.

> After all due compliances and diligence, BSE has issued Listing & Trading Approval letter vide
number LO\SME-IPO\PJ\TP\42\2025-26 dated May 08, 2025. The equity share of the
company was listed on Exchange effective from May 09, 2025.

> Thus, it was have been material changes and commitments affecting the financial position of
the Company which have occurred between the end of the financial year of the Company to
which the financial statements relate and the date of the report.

29. GENERAL DISCLOSURE:

Your Directors state that the Company has made disclosures in this report for the items prescribed in
section 134 (3) of the Act and Rule 8 of The Companies (Accounts) Rules, 2014 and other applicable
provisions of the act and listing regulations, to the extent the transactions took place on those items
during the year.

29.1. Voluntary Revision of Financial Statements or Board's Report

The Company is complying with the provisions of Section 129 or 134 of Companies Act, 2013
so there is no voluntary revision done by the company during financial year 2024- 25.

29.2. INSURANCE:

The movable and immovable properties of the Company including plant and Machinery and
stocks wherever necessary and to the extent required have been adequately insured against the
risks of fire, riot, strike, malicious damage etc. as per the consistent policy of the Company.

29.3. Share Capital and Provision of Money by Company for Purchase of its Own Shares by
Trustees or Employees For The Benefit of Employees

Your Company has not issued any equity shares with differential rights, sweat equity shares,
employee stock options and neither made any provision of money for purchase of its own shares
by trustees or employees for the benefit of employees for the financial year ended 31.03.2025.

29.4. Equity Shares with Differential Rights.

The company under the provision of Section 43 of the Companies Act, 2013, read with Rule 4(4)
of the Companies (Share Capital and Debentures) Rules, 2014 has not issued any equity shares
with differential rights.

29.5. Sweat Equity Shares

The company under the provision of Section 54 of the Companies Act, 2013 read with
Rule 8(13) of the Companies (Share Capital and Debentures) Rules, 2014 has not issued any
sweat equity shares.

29.6. Employees Stock Option Scheme (ESOS)

There is no issue of employee stock option during the year under review. The Board of directors,
shall, inter alia, disclose in the Directors' Report for the year, the details as provided in Rule 12
(9) of Companies (Share Capital and Debentures) Rules, 2014.

30. SEXUAL HARASSMENT OF WOMEN AT WORKPLACE:

To foster a positive workplace environment, free from harassment of any nature, we have adopted
policy on prevention, prohibition and Redressal of Sexual harassment at workplace and has duly
constituted an Internal Complaints Committee in line with the provisions of the Sexual Harassment of
Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013 and the Rules thereunder.
Further the company has complied with provisions relating to the constitution of Internal Complaints
Committee under the Sexual Harassment of Women at Workplace
During the year under review, there were no incidences of sexual harassment reported.

31. RISK MANAGEMENT

A well-defined risk management mechanism covering the risk mapping and trend analysis, risk
exposure, potential impact and risk mitigation process is in place. The objective of the mechanism is
to minimize the impact of risks identified and taking advance actions to mitigate it. The mechanism
works on the principles of probability of occurrence and impact, if triggered. A detailed exercise is
being carried out to identify, evaluate, monitor and manage both business and non-business risks.

32. DETAILS IN RESPECT OF FRAUDS REPORTED BY AUDITORS UNDER SECTION 143 (12)
OTHER THAN THOSE WHICH ARE REPORTABLE TO CENTRAL GOVERNMENT:

M/s. VSSB & Associates, Chartered Accountants were Statutory Auditors of the Company for the
period of Financial Year 2024-25. They have not reported any instances of fraud committed by the
Company's officers or employees to the Audit Committee under Section 143(12) of the Act, as
required for disclosure in this report.

33. DETAILS OF APPLICATION MADE OR PROCEEDINGS PENDING UNDER INSOLVENCY AND
BANKRUPTCY CODE 2016

During the year under review, the Company has not made any application before the National
Company Law Tribunal under Insolvency and Bankruptcy Code, 2016 for recovery of outstanding
loans against customer and there is no pending proceeding against the Company under Insolvency and
Bankruptcy Code, 2016.

34. SIGNIFICANT AND MATERIAL ORDERS

There were no significant and material orders passed by the regulators or courts or tribunals
impacting the going concern status and Company's operations in future.

35. THE DETAILS OF DIFFERENCE BETWEEN AMOUNT OF THE VALUATION DONE AT THE TIME
OF ONE TIME SETTLEMENT AND THE VALUATION DONE WHILE TAKING LOAN FROM THE
BANKS OR FINANCIAL INSTITUTIONS ALONG WITH REASONS THEREOF: Not Applicable

36. APPRECIATIONS AND ACKNOWLEDGEMENT

Your directors wish to place on record their sincere appreciation for significant contributions made
by the employees at all levels through their dedication, hard work and commitment during the year
under review.

The Board places on record its appreciation for the support and co-operation your Company has been
receiving from its suppliers, distributors, retailers, business partners and others associated with it as
its trading partners. Your Company looks upon them as partners in its progress and has shared with
them the rewards of growth. It will be your Company's endeavour to build and nurture strong links
with the trade based on mutuality of benefits, respect for and co-operation with each other, consistent
with consumer interests.

Your directors also take this opportunity to thank all Shareholders, Clients, Vendors, Banks,
Government and Regulatory Authorities and Stock Exchanges, for their continued support.

For and on behalf of Board of Directors,
KENRIK INDUSTRIES LIMITED

Sd/-

Nitin Dalpatlal Shah

Place: Ahmedabad Chairman and Managing Director

Date : September 02, 2025 DIN: 07715360