May 29, 2023

BSE Ltd., P J Towers, Dalal Street, Mumbai - 400 001. Scrip Code: 524735 National Stock Exchange of India Ltd., Exchange Plaza, Bandra-Kurla Complex, Bandra, Mumbai - 400 051. Symbol: HIKAL

Dear Sir/Madam,

Subject: Outcome of Board Meeting pursuant to Regulation 30 of the Securities and Exchange Board of India [Listing Obligations and Disclosure Requirements (LODR)] Regulations, 2015

With reference to the captioned subject, this is to inform you that, the Board of Directors of the Company at its meeting held today i.e., May 29, 2023, inter-alia:

A. Audited Financial Results and Auditor's Report [Regulation 30 & 33 of SEBI (LODR) Regulations, 2015]

approved and took on record the Standalone and Consolidated Audited Financial Results of the Company for the quarter and financial year ended March 31, 2023.

The Audited Financial Results (Standalone and Consolidated) of the Company for the quarter and financial year ended March 31, 2023, are enclosed herewith in terms of Regulation 33 of SEBI (LODR) Regulations, 2015 together with Auditor's Report and the declaration of unmodified opinion.

B. Dividend and Payment Date [Regulation 30, 42 and 43 of SEBI (LODR) Regulations]

recommendation of Final Dividend for the financial year 2022-23 on equity share capital @ 30% [Re.0.60/- per equity share, nominal value of Rs. 2/- each], aggregating to dividend of 60% (Rs.1.20/- per equity share) {including Interim Dividend of Re. 0.60/- per share (Sixty paise only) (30%) paid to the shareholders in the month of March, 2023}, subject to the approval of shareholders in the ensuing Annual General Meeting (AGM).

Final Dividend, if approved by the shareholders at the ensuing AGM, will be paid within 30 days of the AGM date.

Hikal Ltd.

Admin. Office: Great Eastern Chambers, 6th Floor, Sector 11, CBD Belapur, Navi Mumbai - 400 614, India. Tel. + 91–22–6277 0299, + 91–22–6866 0300

C. Trading Window Re-open [Regulation 9 of SEBI (PIT) Regulations]

The trading window, for trading in securities of the Company by Designated Persons, which remained closed w.e.f. April 1, 2023, will re-open on May 31, 2023.

The Meeting commenced at 11.30 a.m. and concluded at 04.05 p.m. We request you to kindly take above on your record.

Thank you,

Yours Sincerely, for HIKAL LIMITED,

Rajasekhar Reddy Chintakindi Digitally signed by Rajasekhar Reddy Chintakindi Date: 2023.05.29 16:07:57 +05'30'

Rajasekhar Reddy Company Secretary & Compliance Officer

Enclosure: as above

Hikal Ltd.

Admin. Office: Great Eastern Chambers, 6th Floor, Sector 11, CBD Belapur, Navi Mumbai - 400 614, India. Tel. + 91–22–6277 0299, + 91–22–6866 0300

Regd. Office: 717, Maker Chambers - 5, Nariman Point, Mumbai - 400 021, India. Tel. +91-22 6277 0477. Fax: + 91-22 6277 0500

12th Floor, The Ruby 29 Senapati Bapat Marg Dadar (West) Mumbai - 400 028, India Tel: +91 22 6819 8000

Independent Auditor's Report on the Quarterly and Year-to-Date Audited Standalone Financial Results of the Company Pursuant to the Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended

To The Board of Directors of Hikal Limited

Report on the audit of the Standalone Financial Results

Opinion

We have audited the accompanying statement of quarterly and year-to-date standalone financial results of Hikal Limited (the "Company") for the quarter ended March 31, 2023 and for the year then ended ("Statement"), attached herewith, being submitted by the Company pursuant to the requirement of Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended (the "Listing Regulations").

In our opinion and to the best of our information and according to the explanations given to us, the Statement:

i. is presented in accordance with the requirements of the Listing Regulations in this regard; and
ii. gives a true and fair view in conformity with the applicable accounting standards and other accounting principles generally accepted in India, of the net profit and other comprehensive loss and other financial information of the Company for the quarter ended March 31, 2023 and for the year ended on that date.

Basis for Opinion

We conducted our audit in accordance with the Standards on Auditing (SAs) specified under section 143(10) of the Companies Act, 2013, as amended ("the Act"). Our responsibilities under those Standards are further described in the "Auditor's Responsibilities for the Audit of the Standalone Financial Results" section of our report. We are independent of the Company in accordance with the Code of Ethics issued by the Institute of Chartered Accountants of India, together with the ethical requirements that are relevant to our audit of the financial statements under the provisions of the Act and the Rules thereunder, and we have fulfilled our other ethical responsibilities in accordance with these requirements and the Code of Ethics. We believe that the audit evidence obtained by us is sufficient and appropriate to provide a basis for our opinion.

Emphasis of Matter

We draw attention to note 5 of the Statement, as regards the ongoing investigations / actions by statutory authorities in relation to alleged non-compliance with certain environmental laws and regulations, and the litigation in respect thereof, the outcome of which is presently uncertain. Our opinion is not modified in respect of aforesaid matter.

Management's Responsibilities for the Standalone Financial Results

The Statement has been prepared on the basis of the standalone annual financial statements. The Board of Directors of the Company is responsible for the preparation and presentation of the Statement that gives a true and fair view of the net profit and other comprehensive loss of the Company and other financial information in accordance with the applicable accounting standards prescribed under Section 133 of the Act, read with relevant rules issued thereunder and other accounting principles generally accepted in India, and in compliance with Regulation 33 of the Listing Regulations. This responsibility also includes maintenance of adequate accounting records in

Chartered Accountants

accordance with the provisions of the Act for safeguarding of the assets of the Company and for preventing and detecting frauds and other irregularities; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; and the 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 Statement that gives a true and fair view and is free from material misstatement, whether due to fraud or error.

In preparing the Statement, the Board of Directors is responsible for assessing the Company's ability to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting, unless the Board of Directors either intends to liquidate the Company or to cease operations, or has no realistic alternative but to do so.

The Board of Directors is also responsible for overseeing the Company's financial reporting process.

Auditor's Responsibilities for the Audit of the Standalone Financial Results

Our objectives are to obtain reasonable assurance about whether the Statement as a whole, is free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not a guarantee that an audit conducted in accordance with SAs will always detect a material misstatement 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 to influence the economic decisions of users taken on the basis of the Statement.

As part of an audit in accordance with SAs, we exercise professional judgment and maintain professional skepticism throughout the audit. We also:

x Identify and assess the risks of material misstatement of the Statement, whether due to fraud or error, design and perform audit procedures responsive to those risks, and obtain audit evidence that is sufficient and appropriate to provide a basis for our opinion. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control.
x Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances. Under Section 143(3)(i) of the Act, we are also responsible for expressing our opinion on whether the company has adequate internal financial controls with reference to financial statements in place and the operating effectiveness of such controls.
x Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Board of Directors.
x Conclude on the appropriateness of the Board of Directors' use of the going concern basis of accounting and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the Company's ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to draw attention in our auditor's report to the related disclosures in the financial results or, if such disclosures are inadequate, to modify our opinion. Our conclusions are based on the audit evidence obtained up to the date of our auditor's report. However, future events or conditions may cause the Company to cease to continue as a going concern.
x Evaluate the overall presentation, structure and content of the Statement, including the disclosures, and whether the Statement represents the underlying transactions and events in a manner that achieves fair presentation.

We communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit and significant audit findings, including any significant deficiencies in internal control that we identify during our audit.

We also provide those charged with governance with a statement that we have complied with relevant ethical requirements regarding independence, and to communicate with them all relationships and other matters that may reasonably be thought to bear on our independence, and where applicable, related safeguards.

Other Matter

The Statement includes the results for the quarter ended March 31, 2023 being the balancing figures between the audited figures in respect of the full financial year ended March 31, 2023 and the published unaudited year-to-date figures up to the third quarter of the current financial year, which were subjected to a limited review by us, as required under the Listing Regulations.

For S R B C & CO LLP Chartered Accountants ICAI Firm Registration Number: 324982E/E300003

Digitally signed by VINAYAK SHRIRAM PUJARE DN: cn=VINAYAK SHRIRAM PUJARE, c=IN, o=Personal, email =[email protected] Date: 2023.05.29 15:25:41 +05'30' VINAYAK SHRIRAM PUJARE

per Vinayak Pujare Partner Membership No.: 101143

UDIN: 23101143BGYWNA1265

Place of Signature: Mumbai Date: May 29, 2023

Statement of audited standalone financial results for the quarter and year ended 31 March 2023

Rs. In Lakhs (Except for earning per share)
	Standalone
	Quarter ended			Year ended
Particulars	31-Mar-2331-Dec-22		31-Mar-22	31-Mar-23	31-Mar-22
	Audited(Refer note 4)	Unaudited	Audited(Refer note 4)	Audited	Audited
Income
Revenue from operations
Sale of products and services	53,790	53,845	50,095	200,470	192,603
Other operating revenue	739	175	140	1,833	1,669
Total revenue from operations	54,529	54,020	50,235	202,303	194,272
Other income	38	251	27	541	489
Total income	54,567	54,271	50,262	202,844	194,761
Expenses
Cost of materials consumed	27,769	29,320	27,345	112,159	103,221
Changes in inventories of finished goods and work-in-progress	205	(995)	412	(1,456)	(3,582)
Employee benefits expense	5,715	6,300	5,315	22,040	20,135
Finance costs	1,298	1,303	808	4,810	3,121
Depreciation and amortisation expenses	2,683	2,827	2,423	10,901	9,567
Other expenses	12,032	11,937	11,059	43,854	40,442
Total expenses	49,702	50,692	47,362	192,308	172,904
Profit before tax	4,865	3,579	2,900	10,536	21,857
Tax expense:
-Current tax	1,470	1,043	780	3,048	5,965
-Deferred tax	(212)	(105)	44	(350)	(159)
Total tax expense	1,258	938	824	2,698	5,806
Profit for the period	3,607	2,641	2,076	7,838	16,051
Other comprehensive income (OCI)
Items that will not be reclassified to statement of profit and loss	(200)	44	305	(76)	162
	52	(12)	(79)	20	(42)
Income tax relating to item that will not be reclassified to statement of profit and loss
Other comprehensive income/(loss) for the period (net of income tax)	(148)	32	226	(56)	120
Total comprehensive income	3,459	2,673	2,302	7,782	16,171
Paid-up equity share capital (Face value of Rs 2/- each)	2,466	2,466	2,466	2,466	2,466
Other equity				110,881	104,335
Earnings per share (Face Value of Rs 2/- each) (Not annualised for quarters)
- Basic	2.93	2.14	1.68	6.36	13.02
- Diluted	2.93	2.14	1.68	6.36	13.02

The Board of Directors has recommended Final Dividend @ 30% of the paid up capital (i.e. Rs. 0.60 per equity share) for the Financial Year 2022-23 which is subject to the approval of shareholders in the ensuing Annual General Meeting (AGM). Total dividend for the year is 60% of the paid up capital (i.e. Rs. 1.20 per equity share) { Previous year: 80% of the paid up capital (i.e. Rs. 1.60 per equity share)} comprising Interim dividend of @ 30% of the paid up capital (Rs. 0.60 per share) paid to the share-holders on 27 February 2023 and aforesaid recommended final dividend.
The above results were reviewed by the Audit Committee and approved by the Board of Directors at their meeting held on 29 May 2023.
The financial results for the year ended on 31 March 2023 have been audited by the statutory auditors of the Company. The statutory auditors have expressed an unmodified opinion.
The figures for the quarter ended 31 March 2023 and 31 March 2022 as reported in these financial results are the balancing figures between audited figures in respect of the full financial year upto 31 March 2023 and 31 March 2022 and the unaudited published year-to-date figures up to 31 December 2022 and 31 December 2021, being the date of the end of the third quarter of the respective financial years which were subjected to limited review.
In connection with the alleged improper disposal of by-products by the Company in January 2022, statutory authorities have conducted investigations in relation to alleged non-compliance with certain environmental laws and regulations, and the matter is pending before the Courts and relevant statutory authorities.

In an earlier quarter, Maharashtra Pollution Control Board (MPCB) had directed the Company to stop manufacturing activities at its Taloja plant on grounds of not adhering to conditions stipulated in the relevant Consent to Operate. Subsequently, pursuant to an order of the Honourable Bombay High Court, MPCB granted permission on 29 June 2022 to re-start manufacturing activities at the plant.

Separately, the National Green Tribunal ('NGT') had constituted a committee to make recommendations in this regard. The Committee submitted its reports to NGT, after which the company filed a writ petition in the Hon'ble Bombay High Court, inter alia, seeking to set aside the NGT order. Despite being informed about the pendency of the aforesaid writ before the Hon'ble Bombay High Court, in March 2023, NGT passed an order accepting the committee's reports , which, includes recovery of compensation of Rs. 17.45 Crores from the Company for non-compliance with environmental laws and regulations. The Hon'ble Bombay High Court, has stayed the said order passed by NGT.

Based on the advice of external legal counsel, the Company believes it has a good case on merits in these matters, and the Company is taking necessary steps, including legal measures, to defend itself. Accordingly, no provision is required in the financial results in this respect.

The figures for the previous periods have been regrouped wherever necessary to conform to the current period presentation.

Jai Hiremath Executive Chairman DIN: 00062203 Jai Vishwanat h Hiremath Digitally signed by Jai Vishwanath Hiremath Date: 2023.05.29 14:39:31 +05'30'

For HIKAL LTD

Place : Mumbai Date : 29 May 2023

HIKAL LTD

Regd. Office : 717/718, Maker Chamber V, Nariman Point, Mumbai - 400 021. Phone : +91-22-30973100 , Fax : +91-22-30973281 CIN : L24200MH1988PTC048028, E Mail : [email protected] , Website : www.hikal.com

(Rs. In Lakhs)

Standalone segment wise revenue, results, assets and liabilities for the quarter and year ended 31 March 2023

31-Mar-23 31-Dec-22 31-Mar-22 31-Mar-23 31-Mar-22 Audited (Refer note 4) Unaudited Audited (Refer note 4) Audited Audited 1. Segment revenue a) Pharmaceuticals 30,882 29,218 30,794 111,518 112,974 b) Crop protection 23,647 24,802 19,441 90,785 81,298 Total 54,529 54,020 50,235 202,303 194,272 Less: Inter segment revenue - - - - - Revenue from operations 54,529 54,020 50,235 202,303 194,272 2. Segment results a) Pharmaceuticals 3,621 2,636 2,971 6,495 15,102 b) Crop protection 3,049 2,719 1,162 10,325 11,514 Total 6,670 5,355 4,133 16,820 26,616 Less : i) Finance cost 1,298 1,303 808 4,810 3,121 ii) Other un-allocable expenditure 556 518 453 1,670 1,814 Add: i) Other un-allocable income 49 45 28 196 176 Profit before tax 4,865 3,579 2,900 10,536 21,857 3. Segment assets a) Pharmaceuticals 124,353 127,630 118,937 124,353 118,937 b) Crop protection 97,629 98,082 85,456 97,629 85,456 c) Unallocable 16,564 17,026 16,920 16,564 16,920 Total assets 238,546 242,738 221,313 238,546 221,313 4. Segment liabilities a) Pharmaceuticals 21,653 21,428 17,529 21,653 17,529 b) Crop protection 18,776 22,341 19,934 18,776 19,934 c) Unallocable 84,770 88,338 77,049 84,770 77,049 Total liabilities 125,199 132,107 114,512 125,199 114,512 Standalone Year ended Quarter ended Particulars

For HIKAL LTD

Jai Vishwanat h Hiremath Digitally signed by Jai Vishwanath Hiremath Date: 2023.05.29 14:39:57 +05'30'

Jai Hiremath Place : Mumbai Executive Chairman DIN: 00062203

Date : 29 May 2023

HIKAL LTD

Regd. Office : 717/718, Maker Chamber V, Nariman Point, Mumbai - 400 021.

Phone : +91-22-30973100 , Fax : +91-22-30973281

CIN : L24200MH1988PTC048028, E Mail : [email protected] , Website : www.hikal.com

Standalone Balance sheet as at 31 March 2023

		(Rs in lakhs)
Particulars	As at31 March 2023	As at31 March 2022
	Audited	Audited
ASSETS
Non-current assets
Property, plant and equipment	88,531	81,475
Capital work-in-progress	40,208	28,519
Right of use assets	6,288	6,403
Other intangible assetsIntangible assets under development	12	69
	1,008	960
Financial assets:	136,047	117,426
Investments	531	65
Loans	30	17
Others	1,867	1,468
Income tax assets (net)	202	202
Other non-current assets	5,970	5,707
Total non-current assets	144,647	124,885
Current assets
Current Investments	-	1,027
Inventories	31,674	32,898
Financial assets:
Trade receivables	44,178	43,772
Cash and cash equivalents	2,671	1,144
Bank balances other than cash and cash equivalents	3,282	3,765
Loans	24	31
Others	1,671	1,748
Other current assets	10,399	12,043
Total current assets	93,899	96,428
Total assets	238,546	221,313
EQUITY AND LIABILITIES
Equity
Equity share capital	2,466	2,466
Other equity	110,881	104,335
Total equity	113,347	106,801
Liabilities
Non-current liabilities
Financial Liabilities
Borrowings	48,988	28,668
Lease liability	-	22
Provisions	2,422	2,363
Deferred tax liabilities (net)	3,271	3,641
Other non current liabilities	4,364	2,900
Total non-current liabilities	59,045	37,594
Current liabilities
Financial liabilities
Borrowings	25,808	38,776
Lease liability	23	36
Trade payables- Total outstanding dues of Micro Enterprises and Small	5,047	4,500
Enterprises
- Total outstanding dues of creditors other than Micro	26,278	20,405
Enterprises and Small EnterprisesOther financial liabilities	4,881	6,839
Other current liabilities	2,369	4,819
Provisions	351	314
Current tax liabilities (net)	1,397	1,229
Total current liabilities	66,154	76,918

Total liabilities	125,199	114,512
Total equity and liabilities	238,546	221,313
Place : MumbaiDate : 29 May 2023HIKAL LTDRegd. Office : 717/718, Maker Chamber V, Nariman Point, Mumbai - 400 021.Phone : +91-22-30973100 , Fax : +91-22-30973281	For HIKAL LTDJaiVishwanathHiremathJai HiremathExecutive ChairmanDIN: 00062203	Digitally signed byJai VishwanathHiremathDate: 2023.05.2914:40:25 +05'30'
CIN : L24200MH1988PTC048028, E Mail : [email protected] , Website : www.hikal.com
Just the right chemistry

	Standalone Cash flow statement for the year ended 31 March 2023		(Rs in lakhs)
	Particulars	Year ended 31 March2023	Year ended 31 March2022
		Audited	Audited
	A. Cash flow from operating activities
	Profit before tax	10,536	21,857
	Adjustments:
	Depreciation and amortisation expenses	10,901	9,567
	Finance costsInterest income	4,810(196)	3,121(175)
	Loss/(gain) on sale of property, plant and equipment	70	(5)
	Sundry balances written off/(back)	17	(36)
	Provision for doubtful debts/advances	448	153
	Provision / write off of inventoriesChange in fair value of current investment	400-	114(23)
	Profit on sale of investment	(132)	(14)
	Unrealised foreign exchange gain	(5)	(75)
		16,313	12,627
	Operating cash flow before working capital changes	26,849	34,484
	(Increase)/decrease in trade receivables	(668)	4,691
	Decrease/(Increase) in loans and advances and other assets	2,089	(5,647)
	Decrease/(Increase) in inventories	823	(6,342)
	Increase in trade payables	6,494	1,935
	(Decrease)/Increase in provisions and other liabilities	(1,178)7,560	7,2321,869
	Cash generated from operations	34,409	36,353
	Income tax paid	(2,880)	(6,980)
	Net cash flows generated from operating activities	31,529	29,373
	B. Cash flow from investing activities
	Purchase of property, plant and equipment and intangible assetsProceeds from sale of property, plant and equipment	(30,262)57	(27,331)27
	Purchase of current investments	-	(1,804)
	Purchase of non current investment	(462)	-
	Proceeds from sale of investment	1,159	814
	Interest received	190	169
	Decrease/(Increase)in other bank balances (includes margin money account)Net cash flows (used in) investing activities	85(29,233)	(312)(28,437)
	C. Cash flow from financing activities
	Proceeds from long-term borrowings	29,000	13,500
	Repayment of long-term borrowings	(12,123)	(8,871)
	Repayments/proceeds of short-term borrowings (net)	(9,928)	2,046
	Finance costs paid (including interest on lease liability )Payment of lease liability	(6,449)(35)	(4,488)(30)
	Dividend paid on equity shares	(1,234)	(2,713)
	Net cash flows (used in) financing activities	(769)	(556)
	Net increase in cash and cash equivalents	1,527	380
	Cash and cash equivalents at the beginning of the year	1,144	764

	Cash and cash equivalents at the end of the year	2,671	1,144
	Cash on handBalances with banks	20	24
	- Current accounts	2,602	968
	- Exchange Earners Foreign Currency accounts	-	72
	- Deposits accounts (demand deposits and deposits having original maturity of 3months or less)	49	80
	Balance as per statement of cash flows	2,671	1,144
			For HIKAL LTD
		JaiVishwanath	Digitally signed by JaiVishwanath HiremathDate: 2023.05.29
Hiremath14:40:44 +05'30'Place : MumbaiJai Hiremath
Date : 29 May 2023Executive Chairman
			DIN: 00062203
	HIKAL LTD
	Regd. Office : 717/718, Maker Chamber V, Nariman Point, Mumbai - 400 021.Phone : +91-22-30973100 , Fax : +91-22-30973281
	CIN : L24200MH1988PTC048028, E Mail : [email protected] , Website : www.hikal.com
	Just the right chemistry

12th Floor, The Ruby 29 Senapati Bapat Marg Dadar (West) Mumbai - 400 028, India Tel: +91 22 6819 8000

Independent Auditor's Report on the Quarterly and Year-to-Date Consolidated Financial Results of the Company Pursuant to the Regulation 33 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended.

To The Board of Directors of Hikal Limited

Report on the audit of the Consolidated Financial Results