Saffron Industries Ltd Auditor Reports

TOTI IE MEMBERS Of SAFFRON jNDj^TOH UMQB

Report on the audit of the financial statements

Opinion

We have audited the accompanying 5 ta odd lone fnd AS. financial statements o¹ saffron industries LIMITED, whicn comprise me Patrice sneer as at March 3i, 2Q25 and the Statement of Profit and Loss and statement of cash flows for the year then ended, and notes co the financial statements, hcludrnq a summary a* significant accounting poNcie; and other explanatory information.

Tn our opinion and to the best of our information and according to the explanations given to us, the aforesaid financial statements give tne information required oy the Companies Act. 20 13 in the manner so required and give a true and fair view rn conformity with the accounting print pies generally accepted in ndia, of the state of affairs of the Company as at March 3 I, 2QZ5, its Profit and cash flows for the year ended on that date.

Basis for opinion

We conducted our audit in accordance with the standards on auditing specified under section 143 f 10J of the Companies Act, 2UI3. Our responsibilities under those Standards are further described in the auditors respons.offitics for the audit of ihe financial statements section of our report. We are independent of the Company in accordance with the code of ethics issued Py the Institute of Chartered Accountants of India together with the ethical requirements that are relevant to our audit of rho financial statements under the provisions of the Act and the rules thereunder, and we have fulfilled our other ethical esponsrbilities in accordance with these requirements and the code of ethics.

We believe that the sudrt evidence we nave obtained is sufficient and appropriate to provide a basis for our opinron.

Key audit matters:

Key audit matters are those matters that, in our professional judgment, were of most significance in our aud* of the financial statements of the current period. These matters were addressed in the context of our audit of the financial statements as a whore, and rn forming our opinion thereon, and we do not provide a separate opinion on these matters.

We are of the opinion that there are no other key matters as per SA 701, to be reported for the ensuing year under audit

Information other than the financial statements and auditors report thereon:

The Companys board of directors is responsible for the preparation of the other information, The other information comprises the nfbrmation included in the Boards deport including Annexure to Boarcs Tcnort, Business Responsibility Report but does no! include the financial statements and our auditors report thereon.

Our opinion on the financial statements aoes net cover the other rnformation arrd wudu not express any form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information and, in doing so, consider whether tine other information is mater.aJfy inconsistent with the standalone financial statements or our knowledge obtained during the course of our audit or otherwise appears to be materially misstated.

If, based oh the work we have performed, we conclude that there is 3 material misstatement of this other Information, we are required to report that fact We have nothing to report in this regard

Managements responsibility for the finencraf statements:

The Companys board df directors are responsible for the matters stated (n section 134 {5of the Act with respect to rhe preparation oT these Financial siaiemenrs fhai give a true and fair view ot the flfjanci^f oositon. financial performance and cash flows of thfe Company In accordance with the accounting principles generally accepted m India, including the accounting standards specified under section 133 of rhe Acts This responsibility also includes maintenance of adequate accounting records In accordance with the provisions of the Act for safeguarding of the assets of the Company and for preventing and detecting frauds and other irregularities; screcdon and application of appropriate accounting policies; making judgments and estimates that are reasonable and crucent; and design, implementation and maintenance of adequate internal financial controls, that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the financial statement that give a true and fair view end arc free from material misstate merit whether due to Fraud or error

In preparing the financial statements, management is responsible for assessing the Companys ability to continue as a going concern, disclosing, as applicable, matters related to go.-ng concern and using the go,rig concern basis of accounting unless management either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

The boards oF directors are also responsible for overseeing jhe Companys financial reporting process.

Auditors responsibilities for the audit of the financial statements:

Our objectives are to obtain reasonable assurance about whether I he firtanciaf Statements as a whole are free from mater-ai misstatement whether due to fraud or error, and to issue an auditors report rbat includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee thatan audit torrduetcu in accordance with SAs will arways detect a material mrsstatement when it exists. Misstatements can arise from fraud or error and are considered material if, Individually or in the aggregate, they could reasonably be expected lo influence the economic decisions of users taken on the basis of these financial Statements.

As part of an audit in accordance with SAs. we exercise professional judgment and maintain nrofessionaJ skepticism throughout rhe audit

We also:

* identify and assess (he risks of material misstatement of the financial statements, whether due to fraud or error, design and perform audit procedures responsive to those nsics. and obtain aiadrt evidence that is sufficient and appropriate to provide a basis for our opinron. The risk of no1 detecting a material misstate mem resulting from fraud Is higher than for one resulting from error, as fraud may invoive collusion, forgery, irxentional omissions, misrepresentations, or the override of internal con trot.

- Obta.^:n an understanding of interna,¹ cortro; re Want to the audit in order to design audit procedures chat are appropriate rn the circumstances, under section I43[3:[ij of the Companies Act. 20J3. we are also responsible for expressing our opinion on whether the company has adequate internal financinf controls system in piaCe and rbe operating effectiveness of such controls

* Evaluate the appropriateness of accounting policies used and the feasgnabteness of accounting estimates and related disclosures made by management

* Eoncfude qh the appropriateness of managements use of the going concern basis of accountng and. based on the audit evidence obtained, wheLher a material uncertainty exists related to events or conditions that may cast significant doubt pfl the Eorrmanys a hi Hr/ to continue as a going concern. Rs.f we conclude that a material uncertainty exits, we are requrred to draw attention fn our auditors report ro rhe related disclosures in the financial statements or, if such disclosures ,v Rs. inadequate to modify olt opinion. Our conclusions are based on the audit evidence obtarned up to the date of our aud^:tohs report. However, future events or conditions may cause The Company to cease to continue as a going concern

? Evaluate the overall presentation, structure and content of the financial statements, including the disclosures, and whether the financial statements represent the underlying transact ons and events in a manner that achieve: fair presentation.

* We communicate with those charged with governance regarding, among

other matters, the planned scope a^_c tfm no -of the audt and sign Meant audit findings, including any srgmficant de+ic encies in internal control that we Kfentify d uring our audH. y

* We afso provide those charged with governance with -a statement that we have complied with relevant ethical requirements regard lag independence, and to communicate with them all relationships and other matters that may reasonably he thaughr to hear or ol independence, and where a upheave, related safeguards, Fitim the matters communicated with Ihose charged Wifh governance, we determine those mailers that were of most significance in the audit of the financial Statements OF the current period and are therefore the key audit matters. We describe these matters in our auditors report uniess law or regulation preludes public disclosure about the matter or when, ,n extremely rare circumstances, we determine that a matter should .not be communicated in our report because the adverse consequences of doing so would reasonably be expected to outweigh the pubNc interest benefits of such communicattori-

Report on other legal and regulatory requirements

As required by the Companies Auditors Report; Order, 2020 fthe Order j. issued by the Central Government of India in terms of sub-section (llj of section M3 of the Companrcs Act, 2C13, we give in the Aoncxure TV, a statement on the mailers specified in paragraphs 3 and 4 of the Order, to the extent applicable.

As required by Section 143(3) of the Act, we reoort that

fa] Wc have sough! and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audrt.

(b) in our opinion, proper books of account as required by law haw been kept by the Company so far as it appears from our examination of those book;.

:c) The balance sheet, the statement of profit and loss, and I he cash flow statement dealt win by this report are in agreement witn the books of account.

[d] In ou: uprnion, the aforesaid Standalone ind AS financial statements comply with the actounring standards specified under section 1 33 of the Act, read with rule 7 of the Companies :Accounts: Rules, 20E4

fe: On ihe basis of the written representations received from the directors as on March 31. 2d25taken on record by the boaa or directors, none of the directors is disqualified as on March 31, 2025 from being appointed as a director in terms of Section 164 :2] of the Act.

f) With respect to the adequacy of internal financial controls over financial reporting of the company and the operating effectiveness of such controls refer our separate report in Anncxurc R. Our report expresses an unmodified opinion or Rs. the adequacy and operating effectiveness of che Companys internal financial controls Over financial reporting.

gi Jn respect to the other matter to be included in the Auditors Report in accordance with Rule 11 of the Companies : Audit and Auditors! Rules. 20 14. in our opinion and to the best of our information and accordnq to the explanations given to us;

a. The company does not have any pending litigations which would impact its finanoal position. . ,

ij Th:- Company did not have aihy lo.ig-term contracts including der.wttive contranaf for which there v.-ere any material foreseeable losses; and

c There has been no defay in transferring amounts, required to be transferred, ro the nvestor Fduu>Mon Rs.nd Protection Fund by the Company.

h: On the .basis of our examination or the books OF aaount Of tne company and on the hasis oj information and explanation provide to us. we report that the Company has used software for maintaining res books or accounts* which do have features of audrt trail jedii fngj. put no report (h this respect wasavaifabie ftff verification.

	Ft:r Jag dish Khatrl & Associates
	Chartered Accountants
	Fiirn Reg. No. 01 5625 IW
NAGPUR	JagtJish Khain
May 30r 2025	Proprietor
	Membership No 035495
	UDIN :25fl3?&S6MUJL9745

Annexure "A¹ to tfic Independent Auditors Report:

{ReFerred to in paragraph 1 under Report on other : eg ail and regulatory requirements seclion of our report to the members of SAFFRON INDUSTRIES LEMITED (of May 30. 2025) for the financial statement for Ihe year ended on March 31, ?025

1 In reaped of Ihe Companys fixed assets.

{a} (A) The Company has maintained proper records shearing full particular, including quantitative details and situation of Property, Plant and Equipment.

(B) The Company does not have any Intangible Assets Accordingly, paragraph 3(1)(a)(A) of the Order is not apolicasle to the Company.

(b) The Property, Plant and Equipmantof the Company were physically verified in full by the managnme nr during the year. According to the informal ion and explanations given to us and records as examined by us. nc material discrepancies were noticed on such vernation.

(c) According K> tha information and explanations given to us, or the basis of the records examined by us. based on conveyance deeds provided to us, we report that the title ceecs n respect of all immovable precedes are held in the name of (tie Company as at the balance sheet date In respect of immovable properties that -ave been taken on lease and disclosed as fixed assets in the firancia! statements, the lease agreements are in the name of the Company.

(d) According to the information and explanations given Ee us and on the basis of records as examined by us, the Company has rot revalued its Property Planl and Equipment (including Right of Usessftete) or intangible assets or both, during the year.

(e) To the best of our knowledge ar.d according to ihe informs lion and explanations given so us.no proceedings have been rmt.alsd or are pending against the company tor holding anybenami property ureter Ihe Etenami Transactions (Prohibiten) Ad, 1988 (45 of 1938) and rules madethereunder.

2. ia) As explained to us, the inve-tcry has been physically verified by the management during the year, in our opinion, -he coverage and procedure of such verification a reasonable. According 1o sha information snd explanations given to us and as examined by us. no material d.screpanc Rs.es -were noticed on such verification.

b) According to the information ano explanations given to us and the records examined by ud, the Company has not been sanctioned working eapdai limits in excess of five crore rupees h aggregate, from banks or financial institutions on the basis of security of current assets, at any point of time In the year Hence, no quarterly returns or statements are required to be filed by the Company with any bank or financial institution,

3 Accc-rc ng to information u"d exp or ation given to js, tre company has net granted any loan, secured or unsecured nor has made any investment, nor provided any guarantee or security to companies, firms, limited 3iability partnerships or other parties. Accordingly, paragraph 3 (lit) of the order is not applicable to thE Company

4. In our opinion and according to information and explanation given to U3, (tie company has not granted any loans cr provided any guarantees or given any security or made any investments to which the provision of section 165 and 1E36 of the Companies Act, ?013. Accordingly. paragraph 3 (iv) of the order is not applicable.

5. In our opinion and according to the information and exptanations given to us, the company has not acceptedaoy deposits as pe the provisions of Section 73 to 76 of tha Companies Act, 2D 13 and accordingly, paragraph 3(v) is no! applicable to the Company,

6. As per information and explanations given to us ,ttie Central Govern mens of India has not prescribed the maintenance of cost records under sub-section (1) of section 143 of the Act for any of the activ :ies of the company and accordingly paragraph 3 (vl) of the order Is not applicable

7. In respect Of statutory dues:

(a) According to the nformation and explanations given to us and on the basis of our examination of the records of ine Company, amounts deducted/ accrued in the books Of acCOUnl in respect of undisputed statutory dues including provident fund employees state insurance, income-tax sales- tax, service tax, goods and service tax duty of customs, duty of excise, value added lax. cess and D-Ilrer materia: statutory dues have been generally regularfy deposited during the year by the company with the appropriate surtbcfotieSj

" According to the information and explanations given to us, no undisputed amounts payable in respect of provident fund, employees state insurance, income-tax, sales tax, service tax goods and service lax, duty of customs, duty of exese, vafoe addec tax, cess anc ether mate rial statutory dues were in arrears as at Watch 31, 2026 for a period oFmore than six months from the date they became payable

{b) According to the information and explanations given to us arid be records of the company examined by us, rhere are no dues of income tax, sales- fax, service tax, goods and service tax, duty of customs, duty of excise and value added tax which have not seen deposited on account of any dispute &. According fo the information and explanations given to us and the records of the company examined by us. there are no transactions that were not recorded n the books of accoiintand rave been surrendered or disclosed as income during the year In the tax assessments uncar the income Tax Act, 1961 Accordingly, paragraph 3(vlii} is not applicable to the Company.

9 {a) fn our opinion and according to the information and explanations given to us. the company has not defaulted inrepayment of loans or other borrowings or in the payment of Interest thereon to any lenoer curing the year.

(b) As per information and explanations gtvwi to u$_ftha company has not bash declared willful defaulter by any ban* or financial institution orothar lender.

(c) As per our examination of records the Company has net availed any term loans Nonce no instance of term loan applied for the purpose oiherthan purpose for which the loans obtained were noticed.

(d) As per our exam In ado nof records, iunds raised on short term basis have not been utiized for long term purposes.

(e} According to the information and explanations given to us and the records examined by us, the company does not rave any subsidiaries, associates or joint ventures. Hence, para 3{l^(e> is not applicable to the company

(f) According to the Information and explanations given to us and the records examined by us. the company dees cot have any subs diaries, associates or Joint ventures. Henoe, paragraph 3(ix)ft i& not applicable to the company

ID. According to the informatjeo and explanations given to us and the records examined by usthe Company tea not raised any money by way of amtia! public offer or further public offer (including cebt insirumertsj.rortho company has made any preferential allotment or private placement of shares or convertible debentures (fully, partially or options ly ) during the year. Ha nee paragraph 3(x) is not applicable to the Company.

11. To the best of our knowledge and according to the Information and explanations given to US, no fraud by the Company or nq material fraud on the Company by >!s officers or employees has beer, nofioed or reported during the year Accordingly, paragraph 3(xi) is rot applicable to the Company.

12, The Company is not a Nidhi Company ar>d accordingly, paragraph 3 <xii> of the order I Rs. not applicable to the Company

13. According to the in formation and explanations given to us and based on our examination oT the records of the company* Iransacliooa with the related parties are in compliance with section 177 and 158 of the Act. Where applicable, the details of such ha reactions have cee" disclosed in the financial statements as required hy the applicable a-ccour^ ng standards.

14. According to Ehe information ar.d explanations given to us and based on our examination of the records cf 1 he company, the company does not have an interna; audit system commensurate witr the size and nature of its business and fiance the reports of the Internal Auditors for the period under audit were unavailable to beconsidered by the statutory auditor.

15. According to the Information and explanations given to us and based on our examination of the records of the company, the company has not entered into non-cash transactions with doctors or persons connected with them. Accordingly, paragraph 3(xv) of taa order is not applicable.

16. According to the information and explanations given to us and based on our examination of the records of the company, the company is not required to be registered under section 45-IA of ihe Reserve Bank of India Act, 1934. Accordingly, paragraph 3(xvi) is not applicable to tne Company.

17 As pe r our examination of records of the company. the company has not incurred cash losses in the financial year and in immediately preceding financial year.

16 According to the information and explanations given to us. there has bean no resignation of the st^uloiy auditors ouung Hie year. Earlier auditor resigned and new auditor is duly appointed n the Annual Gene rat meeting of lha Company. Accordingly, paragraph. 3{xix} is not appI cable to tao Company.

19 On the basis of the financial ratios ageing and expected dates of realization of financial assets and payment of financial liabilities. other information accompanying ‘he financial sratemerite_H the auditors knowledge of the Board cf ?factors and management plans, we are gf the option that no material uncertainty exists as on tae date of the audit report that company is capable of meeting its liabilities ex-stmg at the oatp of oalance sheet as and when they Fai due within e period of one year from the balance sheet dare-

20 Provisions of section 135 of :he Companies Act, 2013 are not applicable to the Company and accordingly paragraph ${x)t) is not applicable to the company

21 The company Is not required to present consolidated financial statements and hence, paragraph 3{xsi) is net applicable to the company.

	For Jag dish Khatrj& Associates
	Chartered Accc Lrn ta nts
	Firm Reg. No. 15625IW
NAGPUR	Jagdisb Khatrr
May 30.2025	Proprietor
	Membership NO. 035495
	JJDJN : 2503 5495 BM LIJL9745

Annasura ^,JB³¹ to the Indepandant Auditors Report

(Referred to in paragraph 2 (f) under Rupert on Other legal and raguSatory requirements section Of our report Co the Members o¹ SAFFRON INDUSTRIES LlMFTED of Way 30,2025)

Report an the Internal financial controls over financial reporting under clause (J) of 3lib- Emotion 3 of section 143 of the Companies Act. 2D13.

We have audited the internal ftrumdal controls over financial reporting of SAFFRON INDUSTRIES LIMITED as al March 31, 2025. in conjunction with our audit o^r the finaroal statement of ihe Company tor the year ended on that date.

Managements responsibility for Internal financial controls:

The board of directors o- the Company is responsible for establishing and maintaining internal (inarc al controls based on the Internal conteol over financial reporting criteria established by the Company considering the essential components of internal cortrol stated ih (tie Gu dance Note on Audit of Internal Fmar-t ai Controls Over Financial Reporting issued by the Institute of Chartered Accountants of Inbi^. These responsibilities include tne design, implementation and maintenance of adequate Internal financial controls that woro operating effectively for ensuring (he orderly and efficient conduct of its business the safeguarding of its assets, Ihe prevention and detection of frauds and errors, Ihe accuracy and completeness pf the accounting records, and the timely preparation gf reliable financial information, as required under ;he Companies Act 2013

Auditors responsibility:

Our responsibility is to express an opinion cn ihe internal financial controls over financial reporting of the Company based on cur audit We conducted our audit in accordance with the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting (the "GdirfsnM Note") issued by ihe Institute of Chartered Accountant of India and the standards on auditing prescribed under Sect on 143 (10) of the Companies Ad 20U. to the extent acplicabte to an audit of internal financial controls. Those standards and the guidance note require that we compiy with ethCa! requirements and plan and perform the audit to Cblain reasonable! assurance about whether adequate internal financial contrcis over financial reporting were established and maintained and if such controls up-tcalad eFtechvely in all materia: res pacts

Our audh Involves performing procedures <c obtain audit evidence about the adequacy of the internal finarcial control system over financial reporting and their operating effectiveness Our audit of internal financial controls over f.rancial reporting included obtaining an understanding of internal financial controls over f nancie report ng. assessing the nst 1nat a material weakness exists, and testing and evaiuat ng :ie design and operating effectiveness of internal control based on the assessed risk The procedures selected depend on the auditors Judgment, including the assessment gf the risks of material misstatement in the financial statement. whether due lo fraud or eror.

We believe that the audit evidence we have obtained. Is suffcient and appropriate to provide a bas-s for our audit opln on on Lhe Companys ntsmal financial control system ove^r financial reporting.

Meaning of internal financial control Rs. ovsr financial reporting

A company"* internat financial control over financial reporting 15 a proce&s designed to provide reasonable assurance regarding the reliability Of financial reporting anc ft* preparation or finarrcai statements Tor external purposes in accordance with gsnpra ly accepted accounting principles. A company s .ntarnai financial control over financial! reporting induces those policies and procedures the; (i) pertsm to the maintenance cf records that, m reasonable daia.l, accurately and fairly reflect the transactions and dispositions of the assets of the company; (:j) provide ressonabl* assurance that transactions are recorded as necassary ip ;re-mir preparation of financial statements m accordance with generally accepted accounting prnc/ples. and that receipts and expenditures of we comoan/ are being made only In accordance wrth authorizations of management and directors of the company, and p) pravide reasonable assurance regarding prevention or Smety detection of unauthorized acquisition, use, or disposition of the companys assets that could have a materia effect on the -nancial slatemenls

Limitations of internal financial controls over financial reporting

Because of lha inherent imitations of interna- finaicia controls over financial reporting including the possibility of collusion or mcrocer mana^em-e-it of override of controls mBtengl misstatements due to error or fra^c may occur and not be detected. Also, projections of any e-vsluaLon of the internal financial control ove^r finance- reporting to future periods are subject to the risk that me internal financia¹ control over financ al ns porting may become inadequate because of changes In corcitions, or tret the degree of compliance with the policies or procedures may deteriorate

Opinion

In our Opinion and according to the information and oxpi a rations given to us, the Company has, in ail material respects, an adequate nterrtfll r"nancial control system over financial report.ng and such internal fmenciaf controls ove^r financial reporting were operating effectively sc at March 11,2025 based or the I.ierral control over financial reporting criteria established by the Company considering is essent al components of internal control stated in the Guidance Ncte on Aud t of Internal l- r.ancia Controls Over Financial Reporting issued by the Institute cf Chartered Accountants oi Inddfl

	For Jagdish Khahrii Associates
	Chartered Atcomitan[3
	Firm Reg. No. 156251W
NAGPUR	Jagdish KhcltrJ
May 30,2025	Proprietor
	Membership No. 035495
	LiDIN: 25035495BMLITL9745