Dr Lal Pathlabs Ltd Directors Report

Dear Members,

Your Directors have pleasure in presenting the 30th Annual Report on the business and operations of your Company along with the audited statement of accounts for the financial year ended March 31, 2024.

FINANCIAL RESULTS

The Financial performance of your Company for the year ended March 31, 2024 is summarized below:

	Consolidated		Standalone
Particulars	Year ended March 31, 2024	Year ended March 31, 2023	Year ended March 31, 2024	Year ended March 31, 2023
Total Income	22,958.06	20,586.01	20,268.64	18,156.30
Total Expenses	17,903.55	17,147.74	15,108.93	14,248.03
Profit/(Loss) before Tax (PBT)	5,054.51	3,438.27	5,159.71	3,908.27
Profit/(Loss) after Tax (PAT)	3,622.93	2,410.77	3,843.70	2,923.58

FINANCIAL PERFORMANCE

I. C onsolidated Performance

During the FY 2023-24, the Company reported a Consolidated Total Income of H 22,958.06 Million compared to H 20,586.01 Million in the previous year.

The Consolidated Net Profit After Tax of the Company stood at H 3,622.93 Million compared to H 2,410.77 Million in the previous year.

II. Standalone Performance

During the FY 2023-24, the Company reported a Standalone Total Income of H 20,268.64 Million compared to H 18,156.30 Million in the previous year.

The Standalone Net Profit After Tax of the Company stood at H 3,843.70 Million compared to H 2,923.58 Million in the previous year.

CONSOLIDATED ACCOUNTS

The consolidated financial statements of your Company for the Financial Year 2023-24, are prepared in compliance with applicable provisions of the Companies Act, 2013 (‘the Act"), Indian Accounting Standards ("Ind-AS") and Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 ("Listing Regulations"). The consolidated financial statements have been prepared on the basis of audited financial statements of the Company and its Subsidiaries, as approved by their respective Board of Directors.

DIVIDEND

During the year under review, your Company paid dividends as under:

Date of Declaration	Dividend Type	Financial Year	Dividend Per Share (face value of J 10/- each)
July 27, 2023	1st Interim Dividend	2023-24	Rs 6/-
September 12, 2023	Final Dividend	2022-23	Rs 6/-
February 01, 2024	2nd Interim Dividend	2023-24	Rs 12/-

In addition to above, your Directors are pleased to recommend dividend of H 6/- per equity share of face value of H 10/- each as Final Dividend for the Financial Year 2023-24, for approval by the Members at the 30th Annual General Meeting ("AGM") of the Company.

The Dividend Distribution Policy of the Company is attached herewith as Annexure-1 and forms an integral part of this Annual Report. The said policy is also available on the website of the Company at: https://uat-cdn.drlallab.com/2023-06/Dividend-Distribution-Policy.pdf

TRANSFER TO RESERVES

During the year under review, no amount has been transferred to the General Reserve of the Company from current year profits.

CHANGE IN SHARE CAPITAL

Authorized Share Capital

During the year under review, there was no change in the authorized share capital of the Company. As on March 31, 2024 the Authorised Share Capital of the Company stood at H 1,07,96,00,000/- divided into 10,79,60,000 equity shares of H 10/-each.

Paid-up Share Capital

During the year under review, the paid-up equity share capital of the Company has been increased from H 83,36,78,770/- divided into 8,33,67,877 equity shares of H 10/- each to H 83,47,78,520/- divided into 8,34,77,852 equity shares of H 10/- each pursuant to allotment of Equity Shares under the Employee Stock Option Plan (s) of the Company as detailed below:

S. No Date of Allotment	Number of Equity Shares allotted
1. April 12, 2023	16,000
2. May 19, 2023	25,000
3. July 13, 2023	6,000
4. July 28, 2023	49,975
5. August 31, 2023	5,000
6. November 17, 2023	8,000
TOTAL	1,09,975

Further, after closing of financial Year 2023-24, the Paid-up equity share capital of the Company has been increased from H 83,47,78,520/- divided into 8,34,77,852 equity shares of H 10/- each to H 83,48,03,520/- divided into 8,34,80,352 equity shares of H 10/- each pursuant to allotment of 2,500 Equity Shares by the Board of Directors on May 10, 2024 under Employee Stock Option Plan of the Company.

These Equity Shares rank pari-passu with the existing Equity Shares of the Company in all respects.

During the year under review, your Company has not issued any Equity Share with differential rights, Sweat Equity Shares or Bonus Shares.

EMPLOYEES STOCK OPTION PLAN / SCHEME

During the year under review, there has been no material change in the existing ESOP Plans of the Company and the same have been implemented in compliance with relevant/ applicable ESOP Regulations/ Guidelines. The disclosure(s) as required under the SEBI (Share Based Employee Benefits and Sweat Equity) Regulations, 2021 are available on the website of the Company at: https://media.lalpathlabs.com/2024-06/Information-asper-SEBI-(SBEB)-Regulations-FY24.pdf

SUBSIDIARIES

A report on the performance and financial position of each of the Subsidiaries and their contribution to the overall performance of the Company for the financial year ended March 31, 2024 in Form AOC -1 as per the provisions of Companies Act, 2013 is attached herewith as Annexure-2 and forms an integral part of this Annual Report.

The Annual Accounts of the each of the Subsidiaries shall also be made available to the Members of the Company/ Subsidiary Companies seeking such information at any point of time. The Annual Accounts of the Subsidiary Companies are also available under investors section on the website of the Company at www.lalpathlabs.com.

The Company has formulated a policy for determining material subsidiaries. The said policy is available on the website of the Company at: https://uat-cdn. drlallab.com/2023-06/Policy-for-determining-Material-Subsidiaries.pdf

TRANSFER OF UN-CLAIMED DIVIDEND AND SHARES TO INVESTOR EDUCATION AND PROTECTION FUND (IEPF)

During the year under review, pursuant to the provisions of Section 125 of the Companies Act, 2013 read with IEPF (Accounting, Audit, Transfer and Refund) Rules, 2016 ("IEPF Rules"), as amended from time to time, your Company has duly transferred Un-claimed Dividends and Un-claimed Shares to IEPF Authority as detailed below:

S. No Particulars	Un-claimed Dividend (In J)	No. of Equity Shares
1. Final Dividend FY 2015-16	19,424/-	256
2. Interim Dividend FY 2016-17	14,840/-	60*

(*) Out of 60 Equity Shares, 40 Equity Shares transferred to the demat account of IEPF Authority on April 03, 2024.

Further, dividend declared during the year pertaining to the equity shares transferred to demat account of the IEPF Authority, was also credited to the IEPF Account. The Claimant(s), whose un-claimed amount/ shares has been transferred by the Company to IEPF Account may claim their amount/ shares by complying with the procedure stipulated in the IEPF Rules.

MATERIAL CHANGES AND COMMITMENTS AFFECTING THE FINANCIAL POSITION

No material changes and commitments, other than disclosed as part of this report, affecting the financial position of the Company have occurred between March 31, 2024 and the date of the report.

PUBLIC DEPOSITS

During the year under review, your Company has not accepted any deposit within the meaning of Section 73 and 74 of the Companies Act, 2013 read with the Companies (Acceptance of Deposits) Rules, 2014.

PARTICULARS OF EMPLOYEES AND RELATED DISCLOSURES

Disclosures pertaining to remuneration and other details as required under Section 197(12) of the Companies Act, 2013 read with Rule 5(1) of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 are provided in the prescribed format and annexed herewith as Annexure-3 and forms an integral part of this Annual Report.

Particulars of employee remuneration, as required under Section 197 (12) of the Companies Act, 2013 read with Rule 5 (2) and 5(3) of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 forms an integral part of this Annual Report. In terms of the provisions of the first proviso to Section 136 (1) of the Companies Act, 2013, the Annual Report is being sent to Members, excluding the aforementioned information. Any Member interested in obtaining a copy of such statement may write to the Company Secretary of the Company at cs@lalpathlabs.com

AUDIT COMMITTEE

The composition of Audit Committee has been detailed in the Corporate Governance Report, forming part of this Annual Report. All recommendations made by the Audit Committee have been accepted by the Board of Directors.

DIRECTORS

I. Retirement by rotation and subsequent reappointment

Dr. Om Prakash Manchanda (DIN: 02099404), Managing Director of the Company is liable to retire by rotation at the ensuing Annual General Meeting ("AGM") pursuant to the provisions of Section 152 of the Companies Act, 2013 read with the Companies (Appointment and Qualification of Directors) Rules, 2014 and being eligible offers himself for re-appointment. Appropriate resolution for his reappointment is being placed for the approval by the Members of the Company at the ensuing AGM. A brief profile of Dr. Om Prakash Manchanda and other related information is detailed in the Notice convening the 30th AGM of your Company.

The Board considered the said re-appointment in the interest of the Company and hence recommends the same to the Members for approval.

II. Appointment/ Re-appointment

During the year under review, the Board of Directors appointed, Mr. Gurinder Singh Kalra (DIN: 10197218) and Mr. Rajit Mehta (DIN: 01604819) as Additional Director(s) of the Company in the category of Independent Director(s), not liable to retire by rotation for a term of three (3) consecutive years beginning from July 27, 2023. Further, the Members of the Company in their 29th Annual General Meeting (AGM) on September 12, 2023 approved their appointment as Independent Directors of the Company.

Further, the Members of the Company in their 26th AGM on July 30, 2020 re-appointed Dr. Vandana Lal (DIN: 00472955) as Whole - Time Director of the Company for a period of five (5) years commencing from April 01, 2020 on such terms and conditions including remuneration as mentioned in Notice of 26th AGM. The present tenure of Dr. Vandana Lal as Whole - Time Director accordingly will expire on March 31, 2025.

Considering Dr. Vandana Lals background, experience & contribution made towards the growth/ success of the Company and basis the performance evaluation exercise, the Board of Directors in their meeting on May 10, 2024 recommended her re-appointment (including remuneration structure) effective from April 1, 2025 as Whole-Time Director of the Company for a further period of five (5) years to the Members for approval.

III. C ompletion of Tenure

During the year under review, Mr. Sunil Varma (DIN: 01020611), Dr. Saurabh Srivastava (DIN: 00380453), Mr. Anoop Mahendra Singh (DIN: 01963056) and Mr. Harneet Singh Chandhoke (DIN: 02758084), ceased to be Non-Executive Independent Directors of the Company upon completion of their second consecutive term w.e.f. August 20, 2023 (closing of business hours).

IV. Declaration of Independence from Independent Directors

Y our Company has received declarations from all the

Independent Directors confirming that they meet the criteria of independence as prescribed under Section 149 of the Companies Act, 2013 and Rules made thereunder read with Schedule IV as well as Regulation 25 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

In the opinion of the Board, all the Independent Directors fulfil the criteria of independence as specified in Companies Act, 2013 and Rules made thereunder read with Schedule IV as well as Regulation 25 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 and they are independent from the Management.

Further, all the Directors including Independent Directors of the Company possess appropriate skills, experience & knowledge in one or more fields viz. Board & Governance, Finance, Accounting & Finance Reporting, Information Technology and Specialized Industry & environmental knowledge or other disciplines related to Companys business.

KEY MANAGERIAL PERSONNEL

In accordance with the provisions of Section 2(51) and 203 of the Companies Act, 2013 read with Rules made thereunder, the following were the Key Managerial Personnel (KMPs) of the Company as on March 31, 2024: i. (Hony) Brig. Dr. Arvind Lal – Executive Chairman ii. Dr. Om Prakash Manchanda – Managing Director iii. Dr. Vandana Lal – Whole Time Director iv. Mr. Bharath U – Chief Executive Officer v. Mr. V ed Prakash Goel – Group Chief Financial vi. Mr. Vinay Gujral – Company Secretary & Compliance Officer Mr. Bharath U, resigned as Chief Executive Officer (KMP) of the Company w.e.f. May 9, 2024 (closing of business hours). Further, basis the recommendation of Nomination

& Remuneration Committee, the Board of Directors re-designated Mr. Shankha Banerjee by appointing him as Cheif Executive Officer (KMP) of the Company w.e.f May 21, 2024.

ANNUAL EVALUATION OF BOARDS PERFORMANCE

Pursuant to the provisions of the Companies Act, 2013 and SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the Board have carried out annual evaluation of (i) its own performance; (ii) Performance of Individual Directors; (iii) Performance of Chairman of the Board; and (iv) Performance of all the Committees of the Board for the Financial Year 2023-24.

A structured questionnaire was prepared covering various aspects of the Boards functioning such as adequacy of the composition of the Board and its Committees, Board culture, execution and performance of specific duties, obligations and governance. A separate exercise was carried out to evaluate the performance of individual Directors, who were evaluated on parameters such as level of engagement and contribution, independence of judgment, safeguarding the interest of the Company and its minority shareholders etc. The performance evaluation of the Independent Directors was carried out by the entire Board. The performance evaluation of the Non-Independent Directors and Chairman of the Board was carried out by the Independent Directors taking into account the views of Executive Directors and Non-Executive Directors.

The Directors expressed their satisfaction with the evaluation process.

Further, the evaluation process confirms that the Board and its Committees continue to operate effectively and the performance of the Directors and the Chair is satisfactory.

NOMINATION & REMUNERATION POLICY

In compliance with the provisions of Section 178 of the Companies Act, 2013 and Rules made thereunder, the Board on the recommendation of the Nomination & Remuneration Committee of the Company has framed a policy for selection and appointment of Directors, Key Managerial Personnel, Senior Management Personnel and their remuneration. The Nomination and Remuneration Policy as amended from time to time is attached herewith as Annexure - 4 and forms an integral part of this Annual Report and the same can also be accessed on the website of the Company Officerat: https://uat-cdn.drlallab.com/2023-06/Nomination-and-Remuneration-Policy.pdf

NUMBER OF MEETINGS OF THE BOARD AND ITS COMMITTEES

The Board met Five (5) times during the Financial Year 2023-24. The details of the meeting of the Board and its Committees thereof are given in the Corporate Governance Report, which forms an integral part of this Annual Report.

DIRECTORS RESPONSIBILITY STATEMENT

Pursuant to Section 134(3)(c) of the Companies Act, 2013, the Directors confirm that: a) in the preparation of the annual accounts for the Financial Year ended March 31, 2024, the applicable accounting standards and Schedule III of the Companies Act, 2013, have been followed and there are no material departures from the same; 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 your Company as at March 31, 2024 and of the profit/ loss of the Company for the Financial Year ended March 31, 2024; c) proper and sufficient care has been taken by the Directors 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; d) the annual accounts have been prepared on a ‘going concern basis by the Directors; e) proper internal financial controls laid down by the Directors were 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.

AUDITORS AND AUDITORS REPORT

I. Statutory Auditors

T he Members of the Company in their th Annual28 General Meeting (AGM) on June 30, 2022, reappointed M/s. Deloitte Haskins & Sells LLP, Chartered Accountants, (Firm Registration No. 117366W/W100018) as the Statutory Auditors of the Company to hold office for their second term of five (5) years i.e. from the conclusion of 28th AGM till the conclusion of 33rd AGM of the Company, to be held in calendar year 2027.

M/s. Deloitte Haskins & Sells LLP, Chartered Accountants, Statutory Auditors have confirmed that they have not been disqualified to act as Statutory Auditors of the Company and that their continuation is within the ceiling limit as prescribed under section 141 of the Companies Act, 2013 and/ or other relevant statue.

Further, the Statutory Auditors of the Company have not reported any fraud as specified under the second proviso of Section 143(12) of the Companies Act, 2013 (including any statutory modification(s) or re-enactment(s) for the time being in force).

The Auditors Report for the Financial Year ended March 31, 2024, does not contain any qualification or reservation.

The Auditors Report being self-explanatory does not call for any further comments from the Board of Directors.

II. C ost Auditors

In t erms of the Section 148 of the Companies 2013 read with Companies (Cost Records and Audit) Rules, 2014, the Company is required to maintain cost accounting records and get them audited every year. Accordingly, such accounts and records were made and maintained for the Financial Year 2023-24. The Board of Directors on the recommendation of the Audit Committee has re-appointed M/s A.G. Agarwal & Associates, Cost and Management Accountants, as Cost Auditors of the Company for the Financial Year 2024-25 at a fee of H 1,10,000/- (Rupees One Lakh

Ten Thousand Only) plus applicable taxes and out of pocket expenses subject to the ratification of the said fees by the Members at the ensuing AGM.

III. Secretarial Auditors

Pursuant to the provisions of Section 204 of the Companies Act, 2013 read with the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, your Company had appointed M/s Chandrasekaran Associates, Company Secretaries ("Secretarial Auditors") to conduct the Secretarial Audit of the Company for the Financial Year 2023-24. The Secretarial Audit Report for the Financial

Year ended March 31, 2024 is attached herewith as Annexure-5 and forms an integral part of this Annual Report. The Secretarial Audit Report is self explanatory and does not contain any qualification, reservation or adverse remark.

ANNUAL RETURN

The draft of Annual Return of the Company in Form MGT- 7 in accordance with Section 92(3) of the Companies Act, 2013 is available on the website of the Company at https://media.lalpathlabs.com/2024-06/Draft-MGT-7-Annual-Return-2023-24.pdf

RELATED PARTY TRANSACTIONS

In compliance with the requirements of the Companies Act, 2013 and SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, your Company has formulated a Policy on Related Party Transactions which is available on Companys website at https://uat-cdn.drlallab. com/2023-06/Policy-on-Related-Party-Transactions.pdf The Policy intends to ensure that proper reporting, approval and disclosure processes are in place for all transactions between the Company and its Related Parties. All Related Party Transactions are placed before the Audit Committee for review and approval. Prior omnibus approval is obtained for Related Party Transactions, which are of repetitive nature and / or entered in the Ordinary Course of Business and are at Arms Length. All related party transaction entered during the year were in Ordinary Course of the Business and on Arms Length basis. No Material Related Party Transaction as per the limits specified under Companies Act, 2013 and/ orAct, SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, was entered during the year under review by your Company. Accordingly, the disclosure of Related Party Transactions as required under Section 134(3)(h) of the Companies Act, 2013 in Form AOC-2 is not applicable.

LOANS, GUARANTEES AND INVESTMENTS

In terms of the provisions of Section 186 of the Companies Act, 2013 read with Companies (Meeting of Board and its Powers) Rules, 2014 and Schedule V of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, details of Investments are set out at Note No. 6 to the Standalone Financial Statements of the Company.

During the year under review, the Company has not given any loan or provided any guarantees pursuant to Section 186 of the Companies Act, 2013.

RISK MANAGEMENT

Your Company recognizes that risk is an integral part of business and is committed to manage the risks in a proactive and efficient manner. Your Company periodically assesses risk elements in the internal and external environment and incorporates risk treatment plans in its strategy, business and operational plans. Your Company, through its Risk Management Policy, strives to contain impact and likelihood of the risks within the risk appetite as agreed from time to time with the Board of Directors. The Company has a Risk Management Committee to identify elements of risk in different areas of operations; the details of the Risk Management Committee are given in the Corporate Governance Report.

WHISTLE BLOWER MECHANISM

Your Company has a Whistle Blower Mechanism in place as required under Section 177 of the Companies Act, 2013 and Regulation 22 of the SEBI (Listing Obligations and DisclosureRequirements)Regulation,2015.Moredetailsin thisregardhavebeenoutlinedintheCorporateGovernance Report annexed to this report and are also available under Investors Section on the Companys website at: www.lalpathlabs.com

CORPORATE SOCIAL RESPONSIBILITY

For your Company, Corporate Social Responsibility (CSR) means the integration of social, environmental and economic concerns in its business operations. CSR involves operating Companys business in a manner that meets or exceeds the ethical, legal, commercial and public expectations. In alignment with vision of the Company, through its CSR initiative, your Company will enhance value creation in the society through its services, conduct and initiatives, so as to promote sustained growth for the society.

The Board of Directors of your Company has formulated and adopted a policy on CSR which can be accessed at: https://uat-cdn.drlallab.com/2023-06/CSR-Policy.pdf The CSR Policy of your Company outlines the Companys philosophy for undertaking socially useful programs through the creation of a CSR Trust for welfare and sustainable development of the community at large as part of its CSR Obligation.

The composition of CSR committee and the disclosures as per Rule 8 of the Companies (Corporate Social Responsibility Policy) Rules, 2014 as amended are provided in the "Annual Report on CSR Activities" attached herewith as Annexure-6 and forms an integral part of this Annual Report.

MANAGEMENT DISCUSSION AND ANALYSIS REPORT

The Management Discussion and Analysis (‘MDA) Report gives details of the overall industry structure, developments, performance and state of affairs of the Companys business and other material developments during the Financial Year. The MDA report for the Financial Year 2023-24 is attached herewith as Annexure- 7 and forms an integral part of this Annual Report.

BUSINESS RESPONSIBILITY AND SUSTAINABILITY REPORT

In compliance with the provisions of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the Business Responsibility and Sustainability Report (‘BRSR) for Financial Year 2023-24 is attached herewith as Annexure-8 and forms an integral part of this Annual Report.

CORPORATE GOVERNANCE REPORT

In compliance with the provisions of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, a separate report on Corporate Governance for the Financial Year 2023-24 along with a certificate from the Practicing Company Secretary on its compliance, is attached herewith as Annexure-9 and forms an integral part of this Annual Report.

DISCLOSURE UNDER THE SEXUAL HARASSMENT OF WOMEN AT WORKPLACE (PREVENTION, PROHIBITION AND REDRESSAL) ACT, 2013

The Company has in place an Anti-Sexual Harassment Policy in compliance with the requirements of the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013 ("the POSH Act"). The Company has complied with the provisions relating to the constitution of Internal Complaints Committee (ICC) as specified under the POSH Act.

The Company conducts sessions for employees to build awareness amongst employees about the Policy and the provisions of the POSH Act.

Status of Complaints under the POSH Act during the Financial Year 2023-24 is detailed below:

Particulars	No. of Complaint*
Complaint pending at beginning of Financial Year	0
Complaint received during Financial Year	3
Complaint resolved during Financial Year	2
Complaint pending at end of Financial Year	1

(*) Out of the 3 cases reported, in 2 cases no harassment proven and 1 case was under investigation as on March 31, 2024.

CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE EARNINGS AND OUTGO

The information on conservation of energy, technology absorption, expenditure on R&D, and foreign exchange earnings and outgo as stipulated under Section 134 of the Companies Act, 2013 read with the Companies (Accounts) Rules, 2014, is set out hereunder:

(A) C ONSERVATION OF ENERGY

St eps taken or impact on conservation energy, Step taken by the Company for utilising alternate source of energy and Capital Investment on energy Conservation equipments:

I. Maintaining Power Factor (PF) upto 0.99 (unity). Maintaining upto- 0.9994 at majority of the locations where the consumption is high. II. Labs/ PSC locations are equipped with LED Lights for saving energy in past years and all new labs are equipped with LED only.

III. InstalledR32refrigerantoperatedairconditioning systems across the operations of the Company, which helps in conserving Ozone layer.

IV. Automatic phase sequence corrector panel installed in all locations for saving the Diesel consumption.

V. Current installed capacity of solar power Plant(s) is 162 KW.

VI. De-scaling of Chillers is being done semi-annual for better efficiency & saving the energy VII. RO waste water recycling has helped in saving approx. 26.3KL of water per day in FY 2023-24, VIII. ETP (Effluent Treatment Plant) installed in all satellite labs for waste water treatment through out the year to treat the liquid waste of labs, for of keeping the environment clean.

IX. Equipped all locations with Advance Autoclave by which Temp, Pressure and time are recorded automatically in graph and data. Its as per BMW guidelines.

X. E-bikes taken on rent for sample transportation during the FY 2023-24 for home collection and logistics. E-bikes offer a considerable opportunity to cut travel emissions. XI. Commissioned Solar Power of 1.5MVA during April 2024 and another 1.5MVA to be commissioned in June, 2024 for Alternate Power in National Reference Lab Rohini. XII. Introduced 24 New CPCB IV Compliant DG in Delhi/NCR and 750KVA X3 DG with Duel Fuel Kit in National Reference Lab, Rohini.

(B) TECHNOLOGY ABSORPTION

(i) Imported Technologies:

S. No. Processes / Technologies	Description	Date of Import	Absorption	Benefits
(i) NLP (Natural Language processing Software)	Fully featured Voice to Text software, to transcribe notes into the reports in Histopathology. The software was extensively validated to understand the complex medical terminology using our own cases before being put in use for routine transcription.	April, 2023	Fully	- Time Efficiency & Producitivty
				- Accuracy & Error Reduction
				- Improved turn around time
(ii) Digitization and AI for Hematology	An in-vitro diagnostic device designed to automate manual microscopy	April, 2023	Fully	The device can digitise and analyse hematology slides , remote review from anywhere / anytime , faster TAT , remote collaboration , reduce eye strain / fatigue for pathologist
(iii) 12 colour and 13 colour Flow cytometry	The tecnique has improved resolution and linearity for all clinical specimens and Next-generation flow cytometer improved. Simplified system settings, data acquisition, and result exporting functions enables automation to ease workflow and improve productivity and standardization through consistent results and unique assay portability capabilities. Less sample carryover and higher acquisition speed is an advantage for MRD analysis.	August, 2023	Fully	- T and B cell FCXM, Leukemia/Lymphoma, MRD, Stem cell enumeration, all tests pertaining to Lymphocyte subsets and PID are acquired and analyzed.
				- First in India to install BACKLinks LIST software for Bi-directional LIS connectivity for Lymphocyte subset assays and Stem cell enumeration assays.
(iv) Clinical Microbiology Reporting (CMR) reporting software	The CMR (Clinical Microbiology Reporting) solution is an information technology (IT) based healthcare solution which integrates with equipment used for antibiotic senstivity such for positive cultures: - System uses Restful APIs with JSON payload to give antibiotic specific BMQ Index (Breakpoint to MIC Quotient) for decision making on choice of antibiotic for the patient	September, 2023	Fully	Empowering clinicians with informed decisions for optimal antimicrobial therapy decisions:
				- Intuitiv e MIC guiding
				- Optimal medication dosage
				- Minimiz e Antibiotic Resistance
				- Antibiotic Policy with Antibiotic Tiers marked with color codes.
				- BMQ Index (Breakpoint to MIC Quotient) Among the same antibiotic tier/ line, higher the BMQ better is the efficacy of the drug
				- Intrinsic Resistance Guidance
	- Report specific to culture sample and updated based on latest guidelines for antibiotic usage			- Antibiotic Specific Comments
				- Organism Specific Comments
				- Multi Drug Resistance MDR/XDR/PDR labelling
				- Guidance of additional testing for XDR Organisms
				- Updated with latest guidelines such as CLSI, EUCAST
				- Provision for antibiogram generation
(v) Component Resolved Diagnostics	The Component Resolved Diagnostic based in vitro multiplex	February, 2024	Partial*	- Dif ferentiates between genuine & cross-reactive sensitizations
(CRD) for Allergy testing	allergy testing system simultaneously analyses total IgE and specific IgE antibodies against nearly 300 allergens in a single sample run. The test utilizes microarray & recombinant DNA technology, nanotechnology & Artificial Intelligence in order to comprehensively analyze the allergic status based on specific components of allergens.			- Analyzes molecular spreading to monitor disease progression & guide timing of therapeutic intervention
				- Ability to analyze the persistence or remission of food allergy
				- Protein family identification enables risk stratification
				- Ability to provide prognostic information about sensitization
				- Individualized guidance for allergen avoidance
				- Assists selection of patients for allergen immunotherapy
				- Reduces the need for oral food challenges
				- Effectively analyzes complex allergic syndromes (OAS, Latex- fruit syndrome, Cat-pork syndrome, etc.)
				- CCD inhibition to reduce false positives due to CCD binding

*As on March 31, 2024, this technology was partially absorbed as the test methodology was under validation and launch of this test would be in May 2024.

(ii) Other locally sourced Technologies:

Enhancing customer convenience – Test now pay later:

In its ongoing thrust to improve customer experience The Company has added another important tool for its customers where we have provisioned payment through EMI and Test Now Pay Later option for customers on our website and Point of Sale. The program has been riding on the new age digital transactions and taking a cue from big players of e-commerce & online payment platforms. The said program has a seamless process integration with Companys ERP system. The initiative mainly revolves around supporting high value tests in order to empower customers to access essential health services without immediate financial strain. It promotes customer retention and long term loyalty for the brand as it enables financial well-being along with their health needs with accessible quality services.

ABDM Adoption:

One of the biggest healthcare initiatives taken by National Heath Authority (NHA), an apex body directly reporting to Government of India (GoI) is Ayushman Bharat Digital Mission (ABDM). ABDM is devised to improve the access, efficiency, effectiveness & transparency of the healthcare delivery system in the country. The Company has been at the forefront of partnering the said initiative with the NHA & executing the same at Company. The program is divided into 3 Milestones: M1, M2 and M3. The Company being one of the few institutions which are fully compliant with the ABDM program & has received certification by NHA for accomplishment of all the 3 Milestones.

The ABDM platform is (first of its kind) is able to create a national level Information exchange platform for all healthcare providers. The platform enables the end customer to have real time & free access to his/her healthcare information across all the healthcare providers thus creating a personal digital Electronic Medical record (EMR).

Business insights over Tech:

Intodaysdata-drivenworld,businessesrecognize the importance of making informed decisions based on accurate and timely information. To achieve this, organizations need powerful tools that can analyze and visualize data effectively. One such decision was done by the Company to implement Power BI for creation of business dashboards. In addition to the Power BI, there have been a substantial use of AI driven Data Modelling to bring in flare of predictive analysis. The dashboards carry great business insights & help business leaders to forecast & plan the strategies much ahead in time. The Dashboards are created on the basis of real time information from the business applications using seamless integration frameworks.

(C) Expenditure incurred on Research and Development: H 38.79 Million

(D) Foreign exchange earnings and outgo

Particulars	Amount
	(In Rs Million)
Foreign Exchange Earnings	258.93
Foreign Exchange Outgo	56.94

INTERNAL FINANCIAL CONTROLS

Your Company has in place an adequate internal financial control framework with reference to financial and operating controls thereby ensuring orderly and efficient conduct of its business, including adherence to the Companys policies, safeguarding of its assets, prevention and detection of frauds and errors, accuracy and completeness of accounting records, and timely preparation of reliable financial information.

During Financial Year 2023-24, such controls were tested and no reportable material weakness in the design or operation was observed.

The Directors have in the Directors Responsibility Statement confirmed the same to this effect.

SIGNIFICANT/ MATERIAL ORDERS PASSED BY THE REGULATORS

There are no significant/ material orders passed by the Regulators or Courts or Tribunals impacting the going concernstatusofyourCompanyanditsoperationsinfuture.

CHANGE IN NATURE OF BUSINESS

There was no change in the nature of business of the Company during the Financial Year 2023-24.

COMPLIANCE OF SECRETARIAL STANDARDS

The Company has duly complied with Secretarial Standards issued by the Institute of Company Secretaries of India on Meetings of the Board of Directors (SS-1) and Members (SS-2).

GENERAL DISCLOSURE

During the year under review, there is no application made and/ or no proceeding pending under the Insolvency and Bankruptcy Code, 2016.

During the year under review, requirement of disclosing details of difference between amount of the valuation done at the time of onetime settlement and the valuation done while taking loan from the Banks or Financial Institutions along with the reasons thereof is not applicable on the Company.

APPRECIATION

Your Directors wish to convey their gratitude and place on record their appreciation for all the employees at all levels for their hard work, solidarity, cooperation and dedication during the year. Your Directors sincerely convey their appreciation to customers, shareholders, vendors, bankers, business associates, regulatory and government authorities for their continued support.