Dear Shareholders,

As I reflect on the past fiscal year, I am filled with immense pride regarding our collective journey. Innovation has been the cornerstone of our progress, and our commitment to this principle has propelled us forward, enabling sustained growth and success year after year.

As we close the fiscal year ending March 2024, our accomplishments stand as a testament to our dedication. We have continued to lead in delivering innovative and eco-friendly solutions, all while prioritizing sustainability and enhancing company performance. Despite the challenging global economic conditions, our resilience has shone through. I would like to acknowledge the exceptional leadership of our Joint Managing Director, Mr. Neil Patel, and his dynamic team, whose efforts have kept us on the right track toward our vision and mission. We have indeed had the best year till date, and we have just begun! Kudos to our KMPs, who have worked in a very focused manner, keeping an eye on the target, to deliver best results, now as well as going forward. This objective has also been fulfilled by every level of our team, due to the tenacity, loyalty, courage and focus on doing the right thing.

We are driven by a commitment to continuous innovation and market leadership. Our R&D team and IP Cell have made significant strides, resulting in valuable inventions and new processes that are likely to yield additional patents. Our intellectual property portfolio has been recognized with awards from the DPIIT and the Ministry of Commerce, positioning us at the forefront of India's global innovation efforts.

Our Water-Soluble Film segment has shown a consistent upward trend in revenue, underscoring the market’s growing confidence in our innovative solutions. Revenue from our Water-Soluble Film is rising, with promising field trials for new variants set to drive future success. We hope to add some bigger clients in this segment, with new variants of WSF having customer and product oriented controlled properties.

Our High-tech segment has experienced a significant increase in revenues and an expanded order book, particularly in the high-security products and intellectual property sectors. This year, our focus remains firmly on the development, indigenization, and export of anti-counterfeit products and other high-security products. We intend to foray into diverse fields like brand protection, as Indian Manufacture goes global, we see a good opportunity in this segment. We align with the Atma-Nirbhar India initiative to boost revenues, foreign exchange earnings, and national economic growth through our high-tech security products.

Moreover, our subsidiary, Avery Pharmaceuticals Private Limited, is making slow but notable strides with mouth dissolving strips (MDS), positioned as a Novel Drug Delivery System (NDDS). We have successfully completed our first CDMO contract and also got repeat order and working on getting more such contracts. We recognize the importance of sustainability in today’s world and thus, our efforts are directed towards developing products that not only excel in performance but also minimize environmental impact.

Our company is steadfast in aligning with the Hon. Prime Minister’s vision of Make in India and Atma Nirbhar Bharat. We are proactively engaging in various government procurement tenders and exploring opportunities in niche markets that serve as import substitutes, thereby expanding potential avenues for growth. We appreciate the Government of India’s recent amendments to procurement policies and MSME reforms, which support and benefit Indian enterprises. Additionally, we are focused on leveraging our state-of-the-art equipment and technology to explore related security product markets. We will keep you updated on our progress, while respecting the confidentiality agreements that govern these initiatives.

We have every reason to be enthusiastic about our future prospects and the path ahead. Our commitment in delivering high-tech value-added products, coupled with a strong focus on sustainability, has been a journey we all take pride in.

Before delving into the financial details, I would like to highlight about net zero debt status of the company and along with that improvements in key financial metrics, will enhance our Return on Capital Employed (ROCE) and Return on Equity (ROE).

This year, we achieved our highest-ever sales, driven by our exploration into new fields, which promises substantial future benefits. Our R&D Team and IP Cell have infused fresh thinking into their work, resulting in significant inventions and new processes. These advancements are expected to lead to additional patents and strengthen our long-standing customer relationships.

Our revenue has increased by 36% to Rs. 1,511 million and Profit After Tax (PAT) has more than doubled, showing an impressive year-on-year growth of 141%, rising from Rs. 123 million in FY2022-23 to Rs. 293 million in FY2023-24.

We are committed to investing in our people, processes, research and development, intellectual property, and technology. Our focus will remain on developing cutting-edge, high-tech products while exploring and integrating eco-friendly innovations from around the world into our operations in India, paving the way for future business transformation. We will continue to drive growth in our subsidiaries both domestically and internationally, seeking to enhance profitability across these ventures.

As we remain creative and dynamic, we are dedicated to balancing both top-line growth and bottom-line performance to maximize shareholder value. We are deeply grateful for the unwavering support of our stakeholders and team members, and we remain steadfast in upholding our moral and ethical values.