Directors Report of Euro Pratik Sales Ltd.

Your directors are pleased to present the 17^th (Seventeenth) Annual Report together with the Standalone and Consolidated
Audited Financial Statements of the Company for the financial year ended 31^st March, 2026.

i. financial highlights

The Company''s financial performance for the financial year ended 31^st March, 2026 is summarized below:

2. operational performance and outlook

On a standalone basis, the Company could achieve
total revenue of H20,989.23 Lakh during the financial
year under review compared to H21,943.65 Lakh in the
previous financial year. On a consolidated basis, the
Company achieved higher total revenue of H33,496.18
Lakh during the financial year under review compared
to H28,422.57 Lakh in the previous year.

The gross profit of the Company on standalone basis
was at H6,906.51 Lakh as against H8,545.92 Lakh in the
previous financial year. After considering the interest of
H99.70 Lakh, depreciation of H397.67 Lakh, Profit before
tax was at H7,403.88 Lakh (previous year H7,969.22 Lakh).
With a tax provision of H1,507.51 Lakh (previous year
H1,980.04 Lakh) Profit after tax stood at H5,107.58 Lakh
as against H5,989.18 Lakh in the previous financial year.
Total comprehensive income was H5,129.39 Lakh (previous
financial year H6,021.98 Lakh).

The gross profit of the Company on consolidated basis
was at H12,118.93 Lakh as against H10,924.05 Lakh in the
previous financial year. After considering the interest

of H316.80 Lakh, depreciation of H621.12 Lakh, Profit
before tax was at H10,389.22 Lakh (previous year H9,978.21
Lakh). With a tax provision of H2,673.02 Lakh (previous
year H2,409.26 Lakh) Profit after tax stood at H7,716.20
Lakh as against H7,568.95 Lakh in the previous financial
year. Total comprehensive income was H7,781.20 Lakh
(previous financial year H7,604.38 Lakh).

It was another successful year on the journey of
excellence and growth and the Company posted
excellent results.

To accelerate growth momentum, the Company has
acquired 51% stake in Chawla Brothers, a partnership firm,
to have more presence in Punjab and nearby markets.

3. the change in the nature of business

There was no change in the nature of business of the
Company during the financial year under review.

4. initial public offer

During the financial year under review, the Company
completed its Initial Public Offer of 1,82,74,798 Equity

Shares of face value of Re, 1/- each at an issue price
of H247/- per share, The entire issue comprised of Offer
for Sale by Selling Shareholders, Pursuant to the IPO,
the equity shares of the Company are listed on National
Stock Exchange of India Limited and BSE Limited w,e,f,
23^rd September, 2025.

5. material changes and commitments
affecting financial position between
the end of the financial year and date
of the report

There were no material changes and commitments
affecting the financial position of the Company between
the end of the financial year to which the financial
statements relate and the date of this report,

6. share capital of the company

During the financial year under review, there was no
change in the share capital of the Company, The Paid-Up
Equity Share Capital of your Company as on 31^st March,
2026 was H10,22,00,000/- (Rupees Ten Crore Twenty Two
Lakh only) divided into 10,22,00,000 (Ten Crore Twenty
Two Lakh only) Equity Shares of Re, 1/- (Rupee One only)
each fully paid up,

During the financial year under review, the Company
has not issued shares with differential voting rights nor
granted stock options nor sweat equity,

7. dividend & dividend policy

The Board of Directors declared an interim dividend of
Re, 0,20 per share (20%) on 23^rd March, 2026,

With a view to conserve resources for expansion of
business, your Directors have thought it prudent not to
recommend any further dividend for the financial year
under review,

Pursuant to the provisions of Regulation 43A of the
SEBI (Listing Obligations and Disclosure Requirements)
Regulations, 2015 ("Listing Regulations"), the Company
has formulated the Dividend Distribution Policy, The
policy can be accessed on the Company''s website at:

https://cdn.europratik.com/pavload-media/

static/Dividend%20Distribution%20Policv,

pdf?2026-03-21T11:30:56,335Z,

8. RESERVES

During the financial year under review, no amount was
transferred to the General Reserve,

9. subsidiaries, joint ventures and
associate companies

During the financial year under review, the Company
acquired majority stake in Euro Pratik Star LLP on 22^nd
April, 2025, Euro Pratik Craft LLP on 8^th July, 2025 and URO
Veneer World, Partnership Firm on 1^st December, 2025,

As on 31^st March, 2026, the Company had two wholly
owned subsidiaries viz, Gloirio Decor Private Limited
and Euro Pratik Trade - FZCO, Dubai, five subsidiaries
viz, Euro Pratik C Corp INC, USA, Europratik Intex LLP Euro
Pratik Star LLP, Euro Pratik Craft LLP and URO Veneer
World (partnership firm) and two step down subsidiaries
viz, Euro Pratik USA LLC and Euro Pratik EU D,O,O,

Pursuant to the provisions of Section 129(3) of the
Companies Act, 2013 ("the Act”), a statement containing
salient features of financial statements of the
subsidiaries in Form AOC-1 is attached to the financial
statements of the Company forming part of this
Annual Report,

No subsidiary, joint venture or associate Company was
formed, acquired or ceased during the financial year
under review except those mentioned hereinabove,

10. consolidated audited financial
statements

Pursuant to the provisions of Sections 129 and 133 of the
Act read with the Companies (Accounts) Rules, 2014 and as
required under Regulation 34 of the Listing Regulations,
the Company has prepared Consolidated Audited
Financial Statements consolidating financial statements
of its two wholly owned subsidiaries viz, Gloirio Decor
Private Limited and Euro Pratik Trade - FZCO, Dubai, five
subsidiaries viz, Euro Pratik C Corp INC, USA, Europratik
Intex LLP, Euro Pratik Star LLP, Euro Pratik Craft LLP and
URO Veneer World (partnership firm), and one step down
subsidiary viz, Euro Pratik USA LLC with its financial
statements in accordance with the applicable provisions
of Indian Accounting Standards ("Ind-AS”), As there were
no operations / transactions in Euro Pratik EU D,O,O,
during the financial year ended 31^st March, 2026, accounts
of this step down subsidiary are not consolidated,

The Consolidated Audited Financial Statements along
with the Independent Auditors'' Report thereon are
annexed and form part of this Annual Report,

The summarized consolidated financial position is
provided in point no, 1 above,

11. risk management and areas of concern

The Company has laid down a well-defined Risk
Management Policy covering risk mapping, trend
analysis, risk exposure, potential impact and risk
mitigation process, A detailed exercise is being carried
out from time to time to identify, evaluate, manage and
monitoring of both business and non-business risks,
The Board periodically reviews the risks and suggests
steps to be taken to control and mitigate the same
through a properly defined framework,

Pursuant to the provisions of Regulation 21 of the
Listing Regulations, the Company has constituted
Risk Management Committee, As on 31^st March,
2026, Risk Management Committee comprised of

Mr, Jai Gunvantraj Singhvi, Executive Director and
Mr, Manish Kaiiash Ramuka, Independent Director as its
members and Mr, Pratik Gunvantraj Singhvi, Managing
Director as its Chairman, The Company Secretary and
Compiiance Officer of the Company acts as Secretary of
the Committee,

The Committee assists the Board in fuifiiiing its
oversight responsibiiities with regard to enterprise
risk management, The Committee reviews the risk
management practices and actions depioyed by the
management with respect to identification, impact
assessment, monitoring, mitigation and reporting of
key risks whiie at the same time trying to achieve its
business objectives,

This Committee''s responsibiiities inciude achieving
the objective of deveioping a risk mitigated cuiture
that supports decision making and heips improving
the Company''s performance as stated in the Risk
Management Poiicy of the Company, The roie and terms
of reference of the Risk Management Committee are
in conformity with the requirements of the Act and
Reguiation 21 of the Listing Reguiations,

12. annual return

In accordance with the provisions of Section 92(3) read
with the Section 134(3)(a) of the Act, the Annuai Return
of the Company as on 31^st March, 2026 wiii be piaced on
the website of the Company and can be accessed at the
website of the Company viz, www.europratik.com,

13. directors and key managerial personnel
(kmp)

a) Composition

As on 31^st March, 2026, the Board comprised of 6 (six)
Directors inciuding one Independent Women Director,
The Board has an appropriate mix of Executive Directors
and Independent Directors, which is in compiiance
with the requirements of the Act and the Listing
Reguiations, and is aiso aiigned with the best practices
of Corporate Governance,

b) Retirement by rotation

In accordance with the provisions of Section 152(6)
of the Act read with the Companies (Management
and Administration) Ruies, 2014 and the Articies of
Association of the Company, Mr, Jai Gunvantraj Singhvi
(DIN: 00408876), Director of the Company, retires by
rotation at the ensuing Annuai Generai Meeting and
being eiigibie, has offered himseif for re-appointment,
The Board of Directors, on the recommendation of
Nomination and Remuneration Committee, recommends
his re-appointment as such to the members of
the Company,

c) Appointment and Re-appointment

Upon the recommendation of Nomination and
Remuneration Committee and the Board of Directors

of the Company, the members of the Company re¬
appointed Mr, Pratik Gunvantraj Singhvi (DIN: 00371660)
as Director of the Company, who retired by rotation
at 16^th AGM in terms of provisions of Section 152(6) of
the Act,

Upon recommendation of the Nomination and
Remuneration Committee, the Board of Directors of
the Company appointed Mrs, Priya Abhishek Jain as
Additionai Independent Director of the Company w,e,f.
17^th November, 2025; and the members of the Company
through postai baiiot, resuit of which was deciared on 30^th
January, 2026 appointed her as an Independent Director
of the Company for a period of 5 (five) consecutive years,

Apart from above, no other Director was appointed / re¬
appointed during the financiai year under review,

d) Changes in Key Managerial Personnel of
the Company:

There were no changes in the Key Manageriai Personnei
of the Company during the financiai year under review,

e) Cessation

Mrs, Dhruti Apurv Bhagaiia (DIN: 10818872) resigned
from the post of Independent Director of the Company
w,e,f. ciose of business hours of 22^nd December, 2025,
The Board of Directors of the Company piaces on
record its appreciation for the invaiuabie contribution
and guidance provided by her during her stint with
the Company,

Apart from above, no other Director or KMP retired or
resigned during the financiai year under review,

f) Declaration from Independent Directors

The Company has received deciarations from aii the
Independent Directors of the Company confirming that
they meet the criteria of independence as prescribed
under Section 149(6) of the Act read with Reguiation
16(1)(b) and Reguiation 25 of the Listing Reguiations and
deciaring that they are not aware of any circumstance or
situation, which exist or may be reasonabiy anticipated,
that couid impair or impact their abiiity to discharge
their duties with an objective independent judgment
and without any externai influence, The Independent
Directors have aiso confirmed that they have compiled
with the provisions of Scheduie IV of the Act and the
Company''s Code of Conduct,

Further, the Independent Directors have aiso submitted
their deciarations in compiiance with the provisions
of Ruie 6(3) of the Companies (Appointment and
Quaiification of Directors) Ruies, 2014, which mandates
the inciusion of their names in the data bank of Indian
Institute of Corporate Affairs ("IICA”) tiii they continue to
hoid the office of an independent director,

None of the directors of your Company are disqualified
under the provisions of Section 164(2) of the Act,
Your directors have made necessary disclosures as

required under various provisions of the Act and the
Listing Regulations,

In the opinion of the Board, all the independent directors
of the Company are person of integrity and possess
relevant expertise and experience and are independent
of the management,

g) Annual Performance and Board Evaluation

The Board has devised a policy pursuant to the provisions
of the Act and the Listing Regulations for performance
evaluation of the chairman, board, individual directors
(including independent directors) and committees
which includes criteria for performance evaluation of
non-executive directors and executive directors,

The Nomination and Remuneration Committee of
the Company has specified the manner of effective
evaluation of the performance of the Board, its
committees and individual directors of the Company and
has authorized the Board to carry out the evaluation,
Based on the manner specified by the Committee,
the Board has devised a questionnaire to evaluate its
performance and that of its committees and individual
directors, Such questions are prepared considering the
business of the Company and the expectations that the
Board has from each of the directors, The performance
of each committee was evaluated by the Board, The
reports on performance evaluation of the individual
directors were reviewed by the Board,

The evaluation framework for assessing the performance
of directors comprises of the following key areas:

i, Attendance at Board and Committee meetings;

ii, Quality of contribution to Board deliberations;

iii, Strategic perspective or inputs regarding future
growth of the Company and its performance; and

iv, Providing perspective and feedback going beyond
information provided by the management,

The details of the programmes for familiarization
of Independent Directors with the Company, their
roles, rights, responsibilities in the Company, nature
of the industry in which the Company operates,
business model of the Company and related matters
are put up on the website of the Company at the
link: https://cdn.europratik.com/payload-media/

static/Familiarization%20programme%20for%20
Independent%20Director,pdf?2026-03-21T11:30:56,334Z

h) Key Managerial Personnel (KMP)

The details of Key Managerial Personnel of the Company
are as follows:

14. particulars of employees and
managerial personnel

a. details pursuant to the provisions of
section 197 of THE ACT READ WITH RULE 5 OF THE
companies (appointment and remuneration
OF MANAGERIAL personnel) rules, 2014

Disclosure pertaining to remuneration and other details
as required under Section 197 of the Act read with Rule
5(1) of the Companies (Appointment and Remuneration
of Managerial Personnel) Rules, 2014 are provided in
"Annexure -A”, which forms part of this Report,

The statement containing particulars of employees
as required under Section 197(12) of the Act read with
Rules 5(2) and 5(3) of the Companies (Appointment and
Remuneration of Managerial Personnel) Rules, 2014 is
provided in a separate annexure forming part of this
Report, However, in terms of Section 136 of the Act, the
reports and financial statements are being sent to the
members excluding the aforesaid annexure, The said
annexure is available for inspection at the registered
office of the Company during the working hours and
any member interested in obtaining copy of the same
may write to the Company Secretary and Compliance
Officer of the Company and the same will be furnished
on request,

B. MATERNITY BENEFIT act, 1961.

During the financial year under review, the Company
has complied with and adhered to provisions relating
to the Maternity Benefit Act, 1961, as part of inclusive
HR practices, The Company remains dedicated to
supporting the health, dignity and work-life balance of
all women employees and reaffirms its commitment to
upholding the rights and welfare of women employees
by ensuring strict compliance with the provisions of the
said Act,

The Company believes in and practices no discrimination
or no termination of employment on the grounds of
maternity, promoting gender equity and facilitating a safe

and supportive working environment, facilitating safe
and hygienic working conditions in all office locations
including godowns, thus supporting the holistic well¬
being of all employees including women employees.

c. information under the sexual harassment
of women at workplace (prevention,
prohibition and redressal) act, 2013

The Company has complied with the provisions relating to
the constitution of the Internal Committee(s) as required
under Section 4 of the Sexual Harassment of Women at
Workplace (Prevention, Prohibition and Redressal) Act,

2013. The details as required under Section 134(3) of the
Act read with Rule 8 of the Companies (Accounts) Rules,

2014, are as follows:

(a) number of complaints of sexual harassment
received in the year : Nil

(b) number of complaints disposed off during the
year : Nil

(c) number of cases pending for more than ninety
days : Nil

d. number of employees as on the closure of
financial year ended 31^st march, 2026:

Female : 10

Male : 47

Transgender : Nil

15. remuneration policy

Pursuant to the provisions of Section 178 of the Act and
Regulation 19 of the Listing Regulations and on the
recommendation of the Nomination and Remuneration
Committee, the Board of Directors of the Company
has adopted a policy for selection and appointment
of Directors, Key Managerial Personnel (KMP), Senior
Management Personnel (SMP), other employees and
their remuneration including criteria for determining
qualifications, positive attributes, independence of a
director and other related matters.

The Remuneration Policy is placed on the website of the
Company viz. www.europratik.com.

16. meetings of the board

The Board met 15 (fifteen) times during the financial year under review, the details of which are given in the Corporate
Governance Report, forming part of this Annual Report and are also given herein below:

The intervening gap between the two consecutive meetings was within the period prescribed under the Act and
Listing Regulations.

17. committees of the board

In accordance with the applicable provisions of the Act and the Listing Regulations, the Company has constituted 5 (five)
committees of the Board, namely:

1. Audit Committee,

2. Stakeholders'' Relationship Committee,

3. Nomination and Remuneration Committee,

4. Risk Management Committee, and

5. Corporate Social Responsibility (CSR) Committee.

Details of the Committees constituted by the Board under the Act and Listing Regulations, along with their composition
and changes thereof, if any, terms of reference and meetings during the financial year under review are provided in the
Corporate Governance Report, which forms part of this Annual Report.

The number and dates of meetings of various Committees held during the financial year under review and attendance
thereat are also provided herein below:

is. audit committee and its composition

The Audit Committee is duly constituted as per the
provisions of Section 177 of the Act and Regulation 18
of Listing Regulations. As on 31^st March, 2026, the Audit
Committee comprised of Mr. Manish Kailash Ramuka,
Mr. Jai Gunvantraj Singhvi and Mr. Mahendra Kachhara.
Mr. Manish Kailash Ramuka is Chairman of the Audit
Committee. The Company Secretary and Compliance
Officer of the Company acts as Secretary of the Audit
Committee. All the recommendations made by the Audit
Committee were accepted by the Board of Directors
of the Company. Other details with respect to Audit
Committee are given in Corporate Governance Report,
which forms part of this Annual Report.

The Audit Committee reviews the reports to be submitted
to the Board of Directors with respect to auditing
and accounting matters, etc. It also supervises the

Company''s internal control, financial reporting process
and vigil mechanism.

19. directors'' responsibility statement

Your Directors, to the best of their knowledge and belief
and according to the information and explanations
obtained by them and as required under Section 134(3)
(c) read with Section 134(5) of the Act, state that:

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

(b) the directors have 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 at the end of the financial year and
of the profit of the Company for that period;

(c) the directors have taken proper and sufficient
care for the maintenance of adequate accounting
records in accordance with the provisions of this
Act for safeguarding the assets of the company
and for preventing and detecting fraud and
other irregularities;

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

(e) the directors have laid down internal financial
controls to be followed by the Company and that
such internal financial controls are adequate and
were operating effectively; and

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

20. public deposits

During the financial year under review, the Company
has not accepted or renewed any public deposit within
the meaning of Sections 73 to 76 of the Act read with
Companies (Acceptance of Deposits) Rules, 2014. As on
31^st March 2026, there were no deposits which remained
unclaimed / unpaid and due for repayment nor payment
of interest thereon.

21. particulars of contracts or
arrangements with related parties
referred to in section 188(1) of the act

All contracts / arrangements / transactions entered by
the Company during the financial year under review with
related parties were in ordinary course of business and
on arm''s length basis and are entered into based on
considerations of various business exigencies, such as
synergy in operations, their specializations etc. and to
further the Company''s interests.

The details of material related party transactions as
referred to in Section 188(1) of the Act in the prescribed
Form AOC-2 under the Companies (Accounts) Rules,
2014 are given in “Annexure - B" which forms part of
this report.

In accordance with the provisions of Regulation 23 of the
Listing Regulations, the Company has adopted the policy
on related party transactions and the same is available
on the Company''s website athttps://cdn.europratik.
com/pavload-media/static/Related%20Partv%20
Transaction%20Policy.pdf?2026-03-21T11:30:56.328Z.

22. PARTICULARS OF LOANS, GUARANTEES OR
INVESTMENTS UNDER SECTION 186 OF the
COMPANIES ACT, 2013

The details of loans, guarantees or investments made
by the Company as required under Section 186 of the

Act are given under Notes to Accounts on financial
statements forming part of this Annual Report.

23. CORPORATE SOCIAL RESPONSIBILITY
INITIATIVES

Pursuant to the provisions of Section 135 of the Act read
with the Companies (Corporate Social Responsibility)
Rules, 2014, the Company has formed Corporate
Social Responsibility Committee and the Corporate
Social Responsibility (‘CSR'') Policy. The CSR Policy has
been placed on the website of the Company viz. www.
europratik.com.

As required under the provisions of Rule 8 of the
Companies (Corporate Social Responsibility) Rules,
2014, a brief outline/salient features of the Company''s
CSR Policy and the Annual Report on CSR activities
undertaken by the Company during the financial year
under review are given in “Annexure - C", which forms
part of this Report.

24. WHISTLE BLOWER / VIGIL MECHANISM POLICY

The Company has a Vigil Mechanism / Whistle
Blower Policy to deal with instances of fraud and
mismanagement, if any. The mechanism also provides
for adequate safeguards against victimization of
directors and employees who avail of the mechanism
and also provide for direct access to the Chairman of the
Audit Committee in appropriate and exceptional cases.
The details of the Vigil Mechanism Policy are explained
in the Corporate Governance Report and the policy has
been placed on the website of the Company viz. www.
europratik.com.

We affirm that during the financial year under review, no
employee or director was denied access to the Chairman
of the Audit Committee.

25. STATUTORY AUDITORS

Pursuant to the provisions of Section 139 of the Act read
with the Companies (Audit and Auditors) Rules, 2014, the
members of the Company at their 13^th Annual General
Meeting held on 30^th September, 2022, re-appointed
M/s. Monika Jain and Co., Chartered Accountants (Firm
Registration No. 130708W), as Statutory Auditors of the
Company to hold office till the conclusion of the 18^th
Annual General Meeting, to be held for the financial year
ending 31^st March, 2027.

Further, the member of the Company at their 15^th Annual
General Meeting held on 11^th September, 2024, appointed
M/s. CNK & Associates LLP, Chartered Accountants,
Mumbai (having FRN: 101961W / W-100036) as Joint
Statutory Auditors of the Company, for a term of 5 (five)
consecutive years to hold office from the conclusion of
15^th Annual General Meeting till the conclusion of 20^th
Annual General Meeting to be held for the financial year
ending on 31^st March, 2029.

M/s. Monika Jain and Co. and M/s. CNK & Associates
LLP have furnished written confirmation to the effect
that they are not disqualified from acting as Statutory
Auditors of the Company in terms of the provisions
of Sections 139 and 141 of the Act and the Companies
(Audit and Auditors) Rules 2014.

26. SECRETARIAL AUDITORS

Pursuant to the provisions of Section 204 of the Act read
with the Companies (Appointment and Remuneration of
Managerial Personnel) Rules, 2014 and Regulation 24A
of the Listing Regulations, the Company appointed M/s.
M Baldeva Associates, Company Secretaries, Mumbai
as Secretarial Auditors of the Company to undertake
Secretarial Audit for the financial year ended 31^st
March, 2026.

The Secretarial Audit Report is annexed as “Annexure - D"
which forms part of this Report.

With respect to the observations made by the Secretarial
Auditors in their report your directors would like to state
that (a) short notice to stock exchanges w.r.t. record
date was inadvertent; and (b) the delay in filing of some
eforms with the Registrar of Companies was inadvertent.

Pursuant to the provisions of Section 204 of the Act read
with the Companies (Appointment and Remuneration of
Managerial Personnel) Rules, 2014 and Regulation 24A of
the Listing Regulations, the Board, at its meeting held on
10^th August, 2026, based on the recommendation of the
Audit Committee, has recommended appointment of
M/s. M Baldeva Associates (Peer Review No. 1436/2021),
Company Secretaries, Mumbai as Secretarial Auditors
of the Company for a term of 5 (five) consecutive years
w.e.f. financial year 2026-27 to financial year 2030-31, on
payment of such fees, basis the recommendation of the
Audit Committee, as may be mutually agreed between
the Board and the Secretarial Auditors from time to time,
to the members of the Company at the ensuing AGM.
Your Directors seek members'' approval for appointment
of M/s. M Baldeva Associates as Secretarial Auditors of
the Company, as aforesaid.

M/s. M Baldeva Associates have confirmed they are
not disqualified from being appointed as Secretarial
Auditors of the Company and satisfy the prescribed
eligibility criteria.

As per Regulation 24A of the Listing Regulations, the
Company is required to annex the Secretarial Audit
Report of its material subsidiary to its Annual Report.
Accordingly, the Secretarial Audit Report of the material
subsidiary is attached as “Annexure - E" which forms
part of this Report.

27. INTERNAL AUDITORS

Pursuant to the provisions of Section 138 of the Act read
with the Companies (Accounts) Rules, 2014, the Board,

on recommendation of the Audit Committee, appointed
M/s. D N A & Associates, Chartered Accountants, Mumbai,
as Company''s Internal Auditors for the financial year
2025-26.

The Internal Auditors monitor and evaluate the
efficacy and adequacy of internal control systems in
the Company, its compliances with operating systems,
accounting procedures and policies at all locations of
the Company and reports are presented to the Audit
Committee periodically.

28. COST RECORDS AND COST AUDITORS

The provisions of Section 148 of Act regarding
maintenance of cost records and appointment of Cost
Auditors were not applicable to the Company during the
financial year under review.

29. COMMENTS ON QUALIFICATION BY STATUTORY
AUDITORS AND SECRETARIAL AUDITORS

There are no qualifications, observations, adverse
remarks or disclaimers by the Statutory Auditors in
their reports. With respect to observations made by
Secretarial Auditors in their report, your directors would
like to clarify that:

1. As required under Regulation 42 of the SEBI
(Listing Obligations and Disclosure Requirements)
Regulations, 2015, the Company gave intimation of
record date 2 (two) days advance instead of at least
3 (three) days advance for fixation of 27^th March,
2026 as record date for payment of interim dividend
for the financial year ended 31^st March, 2026.

Directors'' comments: The short notice was
inadvertent, and the Company has paid fines
imposed by the NSE and BSE.

2. Delay in filing of some e-forms with the Registrar of
Companies, Mumbai.

Directors'' comments: The delay in filing of
e-forms with the Registrar of Companies, Mumbai
was inadvertent.

Further, none of the Auditors of the Company have
reported any fraud as specified under Section 143(12)
of the Act, and therefore disclosure of details under
Section 134(3)(ca) of the Act is not applicable.

30. management discussion and analysis

AND CORPORATE GOVERNANCE REPORT

Pursuant to the provisions of Regulations 34(2) & (3) and
Schedule V of the Listing Regulations, the following have
been made part of the Annual Report and are attached
to this Annual Report:

¦ Management Discussion and Analysis Report,

¦ Corporate Governance Report,

¦ Declaration on compliance with Code of Conduct,

¦ Certificate from Practicing Company Secretary that
none of the directors on the Board of the Company
has been debarred or disqualified from being
appointed or continuing as director of Company, and

¦ Practicing Company Secretary regarding compliance
of conditions of Corporate Governance.

31. details of significant and material
orders passed by the regulators or
courts or tribunals impacting the
going concern status and company''s
operations in future

There was no significant or material order passed by
any regulator or court or tribunal, which may impact
the going concern status of the Company or will have a
bearing on Company''s operations in future.

32. internal financial control with
reference to the financial statements

The Company has in place proper and adequate internal
control systems commensurate with the nature of its
business, size and complexity of its business operations.
Internal control systems comprising of policies and
procedures are designed to ensure reliability of financial
reporting, compliance with policies, procedures,
applicable laws and regulations and that all assets and
resources are acquired economically, used efficiently
and protected adequately.

33. TRANSFER OF UNCLAIMED SHARES TO

unclaimed suspense account of

THE COMPANY AND (DEMAT) SUSPENSE

escrow account

During the financial year under review, the Company was
not required to transfer any shares to the unclaimed
suspense accounts as specified in Schedule VI of the
Listing Regulations.

34. INVESTORS EDUCATION AND PROTECTION
FUND (“IEPF”)

The Company was not required to transfer any amount
in the account of IEPF during the financial year
under review.

35. CONSERVATION OF ENERGY, TECHNOLOGY
ABSORPTION, FOREIGN exchange EARNINGS
AND OUTGO

Pursuant to the provisions of Section 134(3)(m) of
the Act read with Rule 8 of the Companies (Accounts)
Rules, 2014, details regarding Conservation of Energy,
Technology Absorption, Foreign Exchange earnings and
outgo are given in “Annexure - F", which forms part of
this Report.

36. CREDIT RATINGS:

During the financial year under review, the Company
had not taken any credit rating.

37. COMPLIANCE WITH SECRETARIAL STANDARDS

The Company has devised proper systems to ensure
compliance with the provisions of all applicable
Secretarial Standards issued by the Institute of
Company Secretaries of India and your directors confirm
compliance of the same during the financial year
under review.

38. DETAILS OF PROCEEDINGS UNDER THE
INSOLVENCY AND BANKRUPTCY CODE, 2016

During the financial year under review, no application
was made or proceedings initiated against the Company
under the Insolvency and Bankruptcy Code, 2016 nor any
such proceeding was pending at the end of the financial
year under review.

39. VALUATION OF ASSETS

During the financial year under review, there was no
instance of one-time settlement of loans / financial
assistance taken from Banks or Financial Institutions,
hence, the Company was not required to carry out
valuation of its assets for the said purpose.

40. APPRECIATION

Your directors would like to place on record their sincere
appreciation for the continued co-operation, guidance,
support and assistance extended during the financial
year under review by our bankers, customers, suppliers,
shareholders, distributors, retailers, other business
partners, Government and Regulatory Authorities and
stock exchanges. The Board also wishes to express its
appreciation for the valuable contribution made by
the employees at all levels during the financial year
under review.

For and on behalf of the Board of Directors
of Euro Pratik Sales Limited

Pratik Singhvi

Place: Mumbai Chairman & Managing Director

Date: 10^th August, 2026 DIN: 00371660