Kabra Jewels Ltd Auditor Reports

To,

The Board of Directors,

Kabra Jewels Limited

Ground Floor, Iscon center,

Besides Tanishq, Shivranjani Cross road,

Satellite, Ahmedabad -380015, India

Dear Sir,

1. We have examined the attached Restated Financial Statements of Kabra Jewels Limited (hereinafter referred to as "the Company"),comprising, the Restated Statement of Assets and Liabilities as at March 31, 2024,2023 and 2022,the Restated Statements of Profit and Loss and the Restated Cash Flow Statement for the years ended at March 31, 2024, 2023 and 2022, the Statement of Significant Accounting Policies, the Notes and Annexures as forming part of these Restated Financial Statements (collectively, the "Restated Financial Information"), as approved by the Board of Directors of the Company at their meeting held on 26th August,2024 for the purpose of inclusion in the DRHP, RHP and Prospectus prepared by the Company in connection with its proposed SME Initial Public Offer of equity shares ("SME IPO") prepared in terms of the requirements of:

a) Section 26 of Part I of Chapter III of the Companies Act, 2013 (the "Act");

b) The Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018, as amended ("ICDR Regulations"); and

c) The Guidance Note on Reports in Company Prospectuses (Revised 2019) issued by the Institute of Chartered Accountants of India ("ICAI"), as amended from time to time (the "Guidance Note").

2. The Companys Board of Directors is responsible for the preparation of the Restated Financial Information for the purpose of inclusion in the Draft Prospectus/Prospectus to be filed with Securities and Exchange Board of India, relevant stock exchange and Registrar of Companies, Ahmedabad in connection with the proposed SME IPO. The Restated Financial Information has been prepared by the management of the Company on the basis of preparation stated in Annexure IV of the Restated Financial Information. The Board of Directors responsibility includes designing, implementing and maintaining adequate internal control relevant to the preparation and presentation of the Restated Financial Information. The Board of Directors is also responsible for identifying and ensuring that the Company complies with the Companies Act, (ICDR) Regulations and the Guidance Note.

3. We, S. N. Shah & Associates, Chartered Accountants have been subjected to the peer review process of the Institute of Chartered Accountants of India ("ICAI") and holds the peer review certificate dated 29.10.2021 valid till 31.10.2024.

4. We have examined such Restated Financial Information taking into consideration:

a) The terms of reference and terms of our engagement agreed upon with you in accordance with our engagement letter dated 11th June,2024 in connection with the proposed IPO of the Company;

b) The Guidance Note also requires that we comply with the ethical requirements of the Code of Ethics issued by the ICAI;

c) Concepts of test checks and materiality to obtain reasonable assurance based on verification of evidence supporting the Restated Financial Information; and

d) The requirements of Section 26 of the Act and the ICDR Regulations. Our work was performed solely to assist you in meeting your responsibilities in relation to your compliance with the Act, the ICDR Regulations and the Guidance Note in connection with the IPO.

5. These Restated Financial Information have been compiled by the management from the Audited Financial Statements of the Group for the year ended, 31st March 2024, 31st March 2023 and 31st March 2022 which has been approved by the Board of Directors.

6. In accordance with the requirements of Part I of Chapter III of Act including rules made therein, ICDR Regulations, Guidance Note and Engagement Letter, we report that:

a) The "Statement of Assets & Liabilities, As Restated" as set out in Annexure I to this report, of the Company as at March 31, 2024, March 31, 2023 and March 31, 2022, are prepared by the Company and approved by the Board of Directors. This Statement of Assets and Liabilities, as restated have been arrived at after making such adjustments and regroupings to the individual financial statements of the Company, as in our opinion were appropriate.

b) The "Statement of Profit & Loss, As Restated" as set out in Annexure II to this report, of the Company for the year ended March 31, 2024, March 31, 2023 and March 31, 2022, are prepared by the Company and approved by the Board of Directors. This Statement of Profit and Loss, as restated have been arrived at after making such adjustments and regroupings to the individual financial statements of the Company, as in our opinion were appropriate.

c) The "Statement of Cash Flow, As Restated" as set out in Annexure III to this report, of the Company for the year March 31, 2024, March 31, 2023 and March 31, 2022, are prepared by the Company and approved by the Board of Directors. This Statement of Cash Flow, as restated have been arrived at after making such adjustments and regroupings to the individual financial statements of the Company, as in our opinion were appropriate.

7. Based on our examination and according to the information and explanations given to us and also as per the reliance placed on the audit report submitted by the Previous Auditors for the respective year, we report that the Restated Financial Information have been made after incorporating:

a) Adjustments for the changes in accounting policies, material errors and regrouping/reclassifications retrospectively in the financial year ended March 31, 2024, March 31, 2023 and March 31, 2022, to reflect the same accounting treatment as per the accounting policies and grouping /classifications followed as at and for the period ended March 31,2024;

b) Adjustments for prior period and other material amounts in the respective financial years to which they relate.

c) There are no extra-ordinary items that need to be disclosed separately in the accounts and requiring adjustments;

d) There are no audit qualifications in the Audit Reports issued by the Statutory Auditors for the financial year ended on March 31, 2024, 2023 and 2022 which would require adjustments in this Restated Financial Statements of the Company.

e) These Profits and Losses have been arrived at after charging all expenses including depreciation and after making such adjustments/restatements and regroupings as in our opinion are appropriate and are to be read in accordance with the Significant Accounting Polices and Notes to Restated Summary Statements as set out in Annexure IV to this report.

f) There are no revaluation reserves, which needed to be disclosed separately in the Restated Financial Statements in the respective financial years.

8. We have also examined the following Notes to the Restated financial information of the Company set out in the Annexure V, prepared by the management and approved by the Board of Directors for the year ended on March 31, 2024, 2023, and 2022.

Annexure V - Notes to the Restated Financial Information:

a) Restated Statement of Share Capital, as appearing in Note A to this report;

b) Restated Statement of Reserves & Surplus, as appearing in Note B;

c) Restated Statement of Long Term Borrowings as appearing in Note C;

d) Restated Statement of Deferred Tax (Assets) / Liabilities as appearing in Note D;

e) Restated Statement of Other Long Term Provisions as appearing in Note E;

f) Restated Statement of Short term borrowings as appearing in Note F;

g) Restated Statement of Trade Payables as appearing in Note G;

h) Restated Statement of Other Current Liabilities as appearing in Note H;

i) Restated Statement of Short Term Provisions as appearing in Note I;

j) Restated Statement of Property, Plant & Equipment and Intangible Assets as appearing in Note J;

k) Restated Statement of Non-Current Assets as appearing in Note K;

l) Restated Statement of Inventories as appearing in Note L;

m) Restated Statement of Trade Receivables as appearing in Note M;

n) Restated Statement of Cash and Cash Equivalents as appearing in Note N;

o) Restated Statement of Short Term Loans and Advances as restated as appearing in Note O;

p) Restated Statement of Other Current Assets as appearing in Note P;

q) Restated Statement of Revenue from Operations as appearing in Note Q;

r) Restated Statement of Purchase of stock in trade as appearing in Note R;

s) Restated Statement of Change in Inventories as appearing in Note S;

t) Restated Statement of Direct Expenses as appearing in Note T;

u) Restated Statement of Employee Benefit Expenses as appearing in Note U;

v) Restated Statement of Finance Cost as appearing in Note V;

w) Restated Statement of Depreciation and amortisation expense as appearing in Note W;

x) Restated Statement of Administrative, Selling and Other Expenses as appearing in Note X;

y) Restated Statement of Tax Shelter as appearing in Note Y;

z) Restated Statement of Deferred Tax Expenses as appearing in Note Z;

aa) Restated Statement of Mandatory Accounting Ratios as appearing in Note AA; bb) Ratio Analysis as appearing in note AA (1).

cc) Restated Statement of Related Party Transactions as appearing in Note AB; dd) Capitalization Statement as appearing in Note AC;

9. The report should not in any way be construed as a re-issuance or re-dating of any of the previous audit reports issued by any other Firm of Chartered Accountants nor should this report be construed as a new opinion on any of the financial statements referred to therein.

10. We have no responsibility to update our report for events and circumstances occurring after the date of the report.

11. In our opinion, the above financial information contained in Annexure I to V of this report read with the respective Significant Accounting Polices and Notes to Restated Financial Statements as set out in Annexure IV are prepared after making adjustments and regrouping as considered appropriate and have been prepared in accordance with the Act, SEBI ICDR Regulations and Guidance Note.

12. Our report is intended solely for use of the management and for inclusion in the Offer Document in connection with the SME IPO. Our report should not be used, referred to or adjusted for any other purpose except with our consent in writing.

For S. N. Shah & Associates

Chartered Accountants

Firm Registration No.:109782W

CA Priyam Shah

Partner

Membership No. 144892

Place: Ahmedabad

Date: 26-08-2024

UDIN: 24144892BKAVPC6695