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The BSE Ltd. National Stock Exchange of India Limited BSE’s Corporate Relationship Department “Exchange Plaza” 1[st] Floor, New Trading Ring, Bandra-Kurla Complex Rotunda Building, P.J. Towers, Bandra (E) Dalal Street, Fort, Mumbai- 400 051 Mumbai 400 001

SRF/SEC/AGM-54/2025

10[th] June, 2025

Dear Sir,

Sub: Annual Report of 54[th] Annual General Meeting- SRF Limited

In Compliance with Regulation 34 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 please find attached 54[th] Annual Report of SRF Limited.

The Annual Report can also be accessed at the company’s website at: www.srf.com

Request to kindly take this intimation on record.

Thanking you,

Yours faithfully, For SRF LIMITED

RAJAT Digitally signed by RAJAT LAKHANPAL LAKHANPAL Date: 2025.06.10 11:06:41 +05'30'

Rajat Lakhanpal

Sr. VP (Corporate Compliance) & Company Secretary

Encl : A/a

SRF LIMITED Block-C Sector-45 Gurugram 122 003 Haryana India Tel: +91-124—4354400 Fax: +91-124—4354500 E-mail: [email protected] Website: www.srf.com Regd. Office: Unit No. 236 & 237, 2nd Floor DLF Galleria, Mayur Plate Noida Link Road Mayur Vihar Phase 1 Extension Delhi 110091

Corporate identity No. L181010L1970PLC005197

ANNUAL REPORT 2024-25

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Augmenting Capabilities. Strengthening the Future.

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Corporate Pg.2 Overview

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Statutory Pg.92 Reports

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2 Chairman’s Message

8 Global Footprint

10 Board of Directors
11 Corporate Information
12 Our Approach to ESG
14 About the ESG Report
16 Our Group Business Portfolio
20 ESG Performance for FY25
92 Business Responsibility & Sustainability Report

134 Notice

152 Board’s Report

222 Standalone Financial

Statements

337 Consolidated Financial Statements

21 Awards and Accolades: Celebrating Excellence
22 Corporate Governance
28 Strengthening Relationship with Stakeholders
32 Materiality Assessment
34 Risk Management
40 Value Creation Model
188 Management Discussion & Analysis
202 Corporate Governance Report

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See this Report online at www.srf.com

42 Capital-wise Performance
44 Financial Capital
48 Intellectual Capital
54 Manufactured Capital
62 Human Capital
74 Natural Capital
80 Social & Relationship Capital

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Statutory Reports

Financial Statements

Corporate Overview

Our Approach to ESG

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Chairman’s Message

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As we reflect on the fiscal year 2025, we are filled with a profound sense of pride and optimism. The year has been a testament to our resilience, innovation, and unwavering commitment to growth. Despite a challenging start, we have navigated through uncertainties and emerged stronger, achieving significant milestones along the way.

investments in the Chemicals Business over the past several years, along with an allocation of ` 700 Crores for de-bottlenecking and expansion projects in FY25, have laid the groundwork for increased capital expenditure intensity, aligning with our future goals and aspirations. These investments have also fuelled innovative advancements, such as the development of new specialty chemicals and the commissioning of the third AHF plant at Dahej, which have significantly enhanced our production capabilities and market competitiveness.

This year, our theme is:

Augmenting Capabilities.

Strengthening the Future.

Despite tough market conditions in the first half, our Specialty Chemicals Business (SCB) segment saw strong performance in the fourth quarter, driven by new product launches and a gradual pickup in demand for key agrochemical intermediates. Our cost-competitive pricing strategies and robust export market performance further supported revenue growth. SCB prioritised advancing customers’ new products and development projects. In FY25, we launched five agrochemical products and three pharmaceutical products. We focussed on fully utilising production capacities and optimising cost structures for efficiency. Both Bhiwadi and Dahej improved operational efficiency while managing a broader portfolio. SCB’s expertise in novel chemistries has grown, and progress in the pharmaceutical sector is encouraging.

Despite global geopolitical tensions, tariff uncertainties, and potential growth slowdowns, our enhanced capabilities have prepared us for success. We made remarkable achievements in FY25. We have successfully expanded our operations, introduced innovative, value-added solutions, and strengthened our market position. From technological advancements to becoming a partner of choice, every milestone achieved this year has contributed to our overall success and positioned us for a promising future.

Performance Highlights and Future Growth Pathway

In the Chemicals Business , we saw a 6% increase in revenue, reaching ` 6,691 Crores. Our strategic

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The Chemicals Technology Group (CTG ) at SRF has made remarkable strides in FY25, contributing significantly to the company’s innovation and growth. Equipped with state-of-the-art R&D facilities and an ingenious team of scientists and engineers, CTG has been committed to introducing novel chemistries and building cost-effective routes for existing and next-generation products in the Specialty Chemicals and Fluorochemicals Businesses. This has enabled the launch of new products and timely scale-ups, addressing technological challenges and improving output while reducing costs. In FY25, CTG worked on over 50 molecules, successfully scaled up many products, filed 38 patents, and had two patents granted, bringing the total to 151 granted patents.

Our Fluorochemicals Business segment also showed resilience, with positive developments such as strong domestic demand for refrigerants, especially in H2 FY25, and increased refrigerant gas prices in China. Additionally, inventory levels in the US have decreased following the implementation of the quota regime.

In our Fluoropolymers journey, we’ve seen good progress in bulk and domestic market growth. We are now focussing on ramping up new grades, such as free flow and fine cuts. The ongoing trials for free flow and fine cut grades are progressing according to plan. We are also preparing for commercial sales of fine cut products targeted at high-end application processors in export markets, with expected positive results beginning in FY26. This is a learning journey, and I believe that the knowledge we have attained will help us streamline our new fluoropolymer projects at a faster pace.

A major milestone was the commissioning of the third AHF plant at Dahej in the fourth quarter of FY25, facilitating maximised production and sales of refrigerant gases.

We are very optimistic about the prospects of this business, and we are investing heavily into it. We have recently announced an investment in new manufacturing facilities, including a project to develop fourth-generation refrigerants with an estimated investment of ` 1,100 Crores.

Additionally, in a testament to our commitment to excellence and innovation, I am pleased to announce

In line with our

commitment to innovation and growth, we are excited to announce that our Packaging Films Business will now be known as the Performance Films & Foil Business. This change reflects our expanded capabilities and the broader range of products and services we now offer. The new name underscores our focus on delivering high-performance films and foil that meet the evolving needs of our customers.

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that SRF has been honoured as the champion of innovation in chemicals and materials science at the DET Hurun India Manufacturing Excellence Awards 2025.

In line with our commitment to innovation and growth, we are excited to announce that our Packaging Films Business will now be known as the Performance Films & Foil Business . This change reflects our expanded capabilities and the broader range of products and services we now offer. The new name underscores our focus on delivering high-performance films and foil that meet the evolving needs of our customers. Our dedication to quality, sustainability, and customer satisfaction remains unwavering as we continue to lead the industry with cutting-edge solutions.

The Performance Films & Foil Business reported a revenue growth of 24%, reaching ` 5,554 Crores. We achieved the highest-ever packed production with improved margins in both BOPET and BOPP. The commercialisation of new VAPs and the

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significant increase in the sale of high-impact VAPs have further strengthened our position. Additionally, the approval of a new manufacturing facility for the BOPP-BOPE film line in Indore aligns seamlessly with our sustainability goals. This project will expand our existing BOPP substrate and VAP offerings and explore the innovative polyolefin BOPE substrate.

SRF Industries (Thailand) Ltd. was honoured with the Industrial Estate Authority of Thailand Green Star Award, which is a prestigious recognition for companies that demonstrate excellence in environmental management, transparency, and good governance.

In the future, SRF’s primary focus will be on significantly increasing sales of high-impact products across BOPP and BOPET by commissioning new downstream assets, including offline coating machines in India and metallisers in Thailand and India. Maximising profitability in the Aluminium Foil Business will be a key priority in the coming financial year. We will continue to drive sustainability initiatives with the ‘3R’ approach - Reduce, Reuse, and Recycle. The vertical ramp-up of the newly acquired CPP Line will enhance our sustainable product offerings due to the monofamily advantage. Additionally, ensuring smooth commissioning and ramping up of the Capacitor Grade BOPP Film Line will be a priority.

In the Technical Textiles Business , we recorded a revenue of ` 2,029 Crores, up 7% from the previous year. Despite facing margin pressure from low-cost imports and lactam price fluctuations, we expanded sales in N66 and PTCF products and successfully commissioned the full BF capacity expansion in Q4FY25.

In the future, we will continue to strive for a better performance by fully utilising capacities, implementing cost optimisation measures, and providing premium and value-added products.

Our Coated and Laminated Fabrics Businesses reported revenues of ` 428 Crores. In Coated Fabrics, we expanded textile capacity with new looms and a warper, set to boost profitability next financial year. Laminated Fabrics ramped up its new hot lamination machine and will begin producing its own knitted fabric.

In FY25, the Foundation touched the lives of 1,89,976 students across 493 Government schools. This remarkable achievement underscores our commitment to improving educational outcomes and providing better opportunities for students in underserved communities.

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ESG and Our Ongoing Strong Engagement for Our Communities

Sustainability remains a cornerstone of our strategy. Our facilities in Gummidipoondi and Viralimalai, Tamil Nadu, were awarded a Bronze medal by EcoVadis, reflecting our commitment to effective resource optimisation and meaningful contributions to the circular economy.

The SRF Foundation has continued to make significant strides in its mission to enhance education and community development. In FY25, the Foundation touched the lives of 1,89,976 students across 493 Government schools. This remarkable achievement underscores our commitment to improving educational outcomes and providing better opportunities for students in underserved communities.

One of the key highlights of the year was the laying of the foundation stone for the SRF School Bharuch. This new institution is set to become a beacon of quality education in the region, offering state-ofthe-art facilities and a nurturing environment for students to thrive.

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Concluding Remarks

I would also like to express my appreciation and thank our shareholders for your support and confidence in SRF. We look forward to your continued support as we drive growth and enhance stakeholder value in the upcoming fiscal year. We are committed to building a future where our augmented capabilities will position us as industry leaders.

Our balance sheet remains strong, and with global interest rates trending downward, we expect reduced borrowing costs in FY26. We are committed to strategic investments for long-term growth, with an expected Capex of approximately ` 2,500 crore this year.

Reflecting on FY25, we are proud of our team’s resilience and dedication. Despite uncertainties, we believe FY26 will surpass FY25 for the Chemicals business and the company overall.

Sincerely,

Ashish Bharat Ram

Chairman and Managing Director SRF Limited

Shared Vision: Empowering Our Future

Our team members and management played an integral role, generously contributing to the positive developments and achievements in FY25. I extend my heartfelt gratitude and offer a sincere thank you to every single one of our team members for their support and continued motivation.

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Global Footprint

Performance Films and Foil Business

National

Rampura, Ramnagar Road, Kashipur - 244 713, Uttarakhand

Special Economic Zone, Pithampur - 454 775, Madhya Pradesh

Industrial Area, Bagdoon, Pithampur - 454 775, Madhya Pradesh

Industrial Growth Centre, Pithampur - 454 775, Madhya Pradesh

SRF Altech Ltd. Jetapur-Palasia Industrial Area, Jetapur - 454 552, Madhya Pradesh

International

SRF Industries (Thailand) Ltd. D-20, Hemraj Eastern Seaboard Industrial Estate, Amphur Pluakdaeng, Rayong - 21140

SRF Flexipak (South Africa) Ltd. 5 Eddie Hagan Drive, Cato Ridge 3680, KwaZulu - Natal, Durban

SRF Europe Kft. SRF Ut 1, Jászfényszaru - 5126, Hungary

Technical Textiles Business

National

Plot No. K1, SIPCOT Industrial Complex, Gummidipoondi, Thiruvallur, District - Tamil Nadu, India - 601 201

Manali Industrial Area, Manali, Chennai,

Tamil Nadu, India - 600 068 Viralimalai, District - Pudukottai, Tamil Nadu, India - 621 316

Malanpur Industrial Area, Bhind, Madhya Pradesh, India - 477 116

Chemicals Business

Village - Jhiwana, PO - Khijuriwas, Tehsil - Tijara, District - Alwar, Rajasthan, India - 301 019 D - 2/1, GIDC Phase II, PCPIR, Village - Dahej, District - Bharuch, Gujarat, India - 392 130

Sales & Marketing Office

SRF MIDDLE EAST LLC

Office No. 4145, 41[st] Level, Emirates Towers, Sheikh Zayed Road, PO Box No. 71271, Dubai - United Arab Emirates (UAE) Ph:- +91 98200 54922 & +971 4313 2398

Laminated Fabrics Business

Unit No. 2, Plot No. 12, Rampura, Ramnagar Road, Kashipur, District - Udham Singh Nagar, Uttarakhand, India - 244 713

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Headquarters

Block - C, Sector - 45, Gurugram, Haryana, India - 122 003 Tel: +91-124-4354400 Fax: +91-124-4354500 Email: [email protected]

Coated Fabrics Business

Plot No. K1, SIPCOT Industrial Complex, Gummidipoondi, Thiruvallur District, Tamil Nadu, India - 601 201

Registered Office

Unit No. 236 & 237, 2nd Floor, DLF Galleria, Mayur Place, Noida Link Road, Mayur Vihar Phase I Extn., Delhi, India - 110 091 Tel: +91-11-49482870

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Financial Statements

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Chairman Emeritus

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Arun Bharat Ram

Board of Directors

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Pramod G. Gujarathi Vellayan Subbiah Director (Safety & Environment) Non-Executive, and Occupier Non-Independent Director

Kartik Bharat Ram Joint Managing Director

Ashish Bharat Ram Chairman & Managing Director

Corporate Information

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Registered Office

Auditors

M/s B S R & Co. LLP, Chartered Accountants

(CIN: L18101DL1970PLC005197) Unit Nos. 236 & 237, 2[nd] Floor, DLF Galleria, Mayur Place, Noida Link Road, Mayur Vihar Phase I Extension, Delhi, India - 110 091 Tel: +91-11-49482870

President & CFO

Rahul Jain

Sr. Vice President (Corporate Compliance) & Company Secretary Rajat Lakhanpal

Corporate Office

Block - C, Sector - 45, Gurugram - 122 003, Haryana, India Email: [email protected] www.srf.com

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Bankers

ICICI Bank State Bank of India Standard Chartered Bank Citibank, N.A. DBS Bank India Limited HDFC Bank Kotak Mahindra Bank The Hongkong and Shanghai Banking Corporation Limited Yes Bank

Sumitomo Mitsui Banking Corporation Raiffeisen Bank Zrt. TMB Bank Public Company Limited Rand Merchant Bank ABSA Bank Limited

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Bharti Gupta Ramola Puneet Yadu Dalmia Independent Director Independent Director

Yash Gupta Raj Kumar Jain Independent Director Independent Director

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Ira Gupta Independent Director

Vineet Agarwal Independent Director

ANNUAL REPORT 2024-25

Statutory Financial 222 Reports Statements

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Our Approach to ESG

Key ESG Performance Highlights

14 About the ESG Report
16 Our Group Business Portfolio
20 ESG Performance for FY25
21 Awards and Accolades: Celebrating Excellence
22 Corporate Governance
28 Strengthening Relationship with Stakeholders
32 Materiality Assessment
34 Risk Management
40 Value Creation Model
42 Capital-wise Performance
44 Financial Capital
48 Intellectual Capital
54 Manufactured Capital
62 Human Capital
74 Natural Capital
80 Social & Relationship Capital

12 ANNUAL REPORT 2024-25

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Corporate Our 12 Overview Approach to ESG

About the ESG Report

The ESG section in the Annual Report provides a comprehensive overview of our sustainability efforts, reflecting our dedication to generating long-term value for our stakeholders. The report showcases a holistic view of SRF Limited’s (We, Us, Our) financial and non-financial performance, highlighting the governance mechanism, systems, processes, initiatives, and outcomes achieved during the reporting period.

Scope and Boundary

This report presents the ESG performance of our Company for the period from April 1, 2024, to March 31, 2025. It encompasses key business segments including the –

Chemicals Business
Performance Films & Foil Business
Technical Textiles Business
Other Business - Laminated Fabrics and Coated Fabrics

The financial data included in this report is presented on a consolidated basis, while information related to environmental, social, and raw materials is provided on a standalone basis.

Reporting Framework

This report is aligned with ‘Guiding Principles’ and ‘Content Elements’ outlined in the International Integrated Reporting Council (IIRC) framework, now part of International Financial Reporting Standards (IFRS) Foundation. The document is also formulated in reference to the Global Reporting Initiative (GRI) standards.

We have disclosed the required information in accordance with the Business Responsibility and Sustainability Reporting (BRSR) disclosure principles wherever applicable. The financial and statutory information in this report is in accordance with the requirements of the Companies Act, 2013, and Indian Accounting Standards.

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Our Group Business Portfolio

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Chemicals Performance Technical Business Films & Foil Textiles Business Business

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Laminated Coated Fabrics Fabrics Business Business

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Our Chemicals Business includes two segments, namely Specialty Chemicals and Fluorochemicals.

Specialty Chemicals

Fluorochemicals

We have proficiency in fluorine chemistry and extensive understanding of various other organic chemistries
We are manufacturer of eco-friendly refrigerants
- in India with global-scale fully integrated facilities
We manufacture pharma propellants and
Our capability to produce active, and non-active industrial chemicals advanced intermediaries are used in agrochemical � and pharmaceutical industries, custom research & synthesis for major players in agrochemicals and pharma space
We develop new grades of Fluoropolymers

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Our state-of-the-art facilities have the capability to offer innovative solutions in aluminium foil, BOPET and BOPP Films

moving consumer goods, food & agro, confectionery, soaps & detergents, solar panels, EVs, etc.

To reflect business diversification and expansion beyond packaging films, we have renamed our Packaging Films Business to Performance Films & Foil Business
We have spectrum of product mix including transparent, metallised, coated, and other valueadded films finding diverse applications in fast

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We are India’s largest manufacturer of technical textiles

yarn and is used in varied applications, such as tyres, seatbelts, conveyor-belts and other industrial applications

Our product basket for technical textiles includes tyre cord fabrics, belting fabrics and industrial

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Our Geographical Presence

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Our laminated fabrics are used as flex in hoardings, billboards and signage. They are suitable for highquality screen and digital printing; and compatible
with all solvent-based printers such as Vutek, Nur and Scitex

With our manufacturing presence in India, Thailand, South Africa, and Hungary, we serve customers in over 100 countries globally.

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Trade Destinations
Map not to scale, for illustrative purposes only
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Industries We Serve

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Our coated fabrics are fire and weather-resistant as well as UV stabilised and abrasion and tearresistant. Made of high tenacity polyester yarn with a unique PVC formulation, these are waterproof and easy to fabricate, install and maintain
As a pioneer of PVC synthetic coated fabrics in India, we offer a diverse range of products for a number of applications in varied segments such as architecture, lifestyle, sports, advertising, defence, mines, food & agriculture, automobile, and transportation

Powering Key Industries

We empower a diverse range of industries with our innovative solutions. Our customer base consists of the following sectors:

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Automotive Pharmaceuticals Air Conditioning Other Manufacturing
Food & Agro Renewable Energy Lifestyle & Decor Agro-Chemicals
FMCG Refrigeration Tyres Advertising
Events & Exhibitions Mining Electronics Chemicals
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ESG Performance for FY25

Advancing Our ESG Commitment

We remain committed to long-term value creation. We see our ESG efforts as a collaborative journey that benefits the planet, our people, and our profitability. This section outlines our performance, and initiatives on ESG parameters.

More than

of electricity from renewable sources

reduction in

reduction in Scope II emissions from previous year

wastewater discharge from previous year

Awards and Accolades: Celebrating Excellence

At the 6[th] India Procurement Leadership Forum and Awards 2024, SRF received recognition from the Institute of Supply Chain Management (ISCM) in three categories:

Chairman Emeritus Mr Arun Bharat Ram was bestowed with the ‘Outstanding Contribution to Education and Skill Development’ recognition by HURUN INDIA at the Hurun India Philanthropy Awards 2024 on May 9, 2024, in Mumbai, India

India Procurement Champion 2024
Best Approach to Managing Global Risk in Procurement

SRF has been chosen by Frost & Sullivan Institute as the recipient of the 2024 Enlightened Growth Leadership Best Practices Recognition

Best End-to-End Alignment of Procurement with Supply Chain
SRF’s Technical Textiles Business facility in Malanpur, India becomes the first Indian Polyamide manufacturer to be awarded the ISCC PLUS (International Sustainability & Carbon Certification)

SRF has won the Gold Award for pioneering risk mitigation strategies at the ET NOW Supply Chain Management & Logistic Awards 2024

SRF received the DEI Power Award for Excellence in Women Inclusion at the 2024 Global Inclusion Summit & Awards

SRF campaign #InHerShoes, has been awarded:

increase in water recycled from previous year

CSR beneficiaries

ZLD facilities

training hours

patents granted

till date

increase in permanent female workforce from previous year

Gold Stevie in the category of Communications or PR Campaign of the SRF Industries (Thailand) Ltd. has been honoured Year - Low Budget with the prestigious Industrial Estate Authority of Thailand (IEAT) Green Star Award
Silver Stevie in the category of Communications or PR Campaign of the Year - social media focussed

SRF has been recognised in the 2024 Burgundy Private Hurun India 500 List

SRF has been recognised as the champion of innovation in chemicals & materials science at the DET Hurun India Manufacturing Excellence Awards 2025

SRF Limited Annual Report for FY24 has received outstanding recognition in the LACP’s (League of American Communications Professionals) Global Communications Competition, the 2024 Spotlight Awards. The highlights of our achievement:

Gold Award within its Competition Class
Worldwide Top 100 Ranking: 39

SRF Ltd. (Performance Films & Foil Business facility in Indore, SEZ) has been named one of the Top 25 leading industries for waste minimisation and management at the CII 4R Awards 2024

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Q1 FY25: HURUN INDIA
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Corporate

Governance

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Committed to Transparency and Accountability
Our corporate governance framework ensures our operations consistently
reflect our core values. Our Board actively shapes and monitors the
implementation of our governance practices, ensuring accountability and
protecting the interests of all stakeholders.
We have established robust processes and systems that strengthen
organisational capabilities, drive operational excellence, and support
long-term sustainable growth. This reaffirms our dedication in upholding
the highest standards of integrity, ethics, and openness, ensuring the trust
and confidence of our employees, customers, suppliers, communities, and
other key stakeholders.
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Our Board of Directors

Leading the Company’s Pursuit of Excellence

strategies. (Refer Corporate Governance Report for skills/expertise/competencies of the Board)

At the cornerstone of our governance structure are our Board of Directors. They offer strategic guidance to ensure the delivery of long-term value to all stakeholders. Our Board of Directors consists of Executive, Independent, and Non-Executive & Non-Independent Directors, appointed in compliance with the Companies Act, 2013 and SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Our Board constitutes 60% independent directors which includes two independent women directors, thereby reinforcing Board diversity, balanced leadership and independent oversight. The composition of the Board is guided by our Board Diversity Policy, which is part of our Nomination, Appointment and Remuneration Policy. Further, our Board brings together a broad spectrum of expertise and experience, enabling effective decision-making and the execution of long-term sustainable business

Majority of our Board-level Committees include Independent Directors contributing their strategic leadership to guide the Company forward. Moreover, our Audit Committee, Stakeholders Relationship Committee and Nomination and Remuneration Committee is Chaired by an Independent Director.

We have adopted a single-tiered approach to governance, undertaking comprehensive evaluations of critical business functions, addressing emerging risks, and advising on strategic opportunities to ensure that all business activities remain aligned with the Company’s long-term objectives.

Ashish Bharat Ram

Arun Bharat Ram

Vellayan Subbiah

Kartik Bharat Ram

Chairman Emeritus Chairman & Managing Joint Managing Non-Executive, Director Director Non-Independent M C M M C M M Director Vineet Aggarwal Ira Gupta Bharti Gupta Ramola Puneet Yadu Dalmia Independent Director Independent Director Independent Director Independent Director M M M C M C Yash Gupta Raj Kumar Jain Pramod G. Gujarathi Independent Director Independent Director Director (Safety & Environment) and Occupier M M M C M Risk Management Nomination & Stakeholders Relationship C Chairperson Committee Remuneration Committee Committee M Member Audit Committee Corporate Social Committee of Directors - Responsibility Committee Financial Resources

Puneet Yadu Dalmia

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Board Committees

Driving Effective Governance

At SRF, we uphold the highest standards of governance through six Board-level committees, each entrusted with distinct roles and responsibilities. These committees serve as essential pillars of oversight, ensuring transparency, accountability, and strategic guidance in all areas of corporate governance.

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Board of Directors
Audit CSR Risk Committee of Nomination & Stakeholders’
Committee Committee Management Directors s- Remuneration Relationship
Committee Financial Resources Committee Committee
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Code of Conduct

Our Code of Conduct embodies our commitment to conducting business with integrity, accountability, and ethical responsibility. It establishes clear guidelines for ethical behaviour and compliance with internal business standards, covering critical areas such as regulatory adherence, fair employment practices, environmental stewardship, health and safety, conflict of interest management, and the protection of Company assets. Strengthened by our Whistleblower Policy, the Code of Conduct reinforces our core values (RINEW) and nurtures a culture of ethical conduct, transparency, and openness across all business operations.

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Sustainability Governance Framework

Operationalising ESG

Our sustainability governance framework serves as the foundation for integrating environmental responsibility, social commitment, and ethics in our operations. We operate under a three-tier sustainability governance framework and remain guided by our ESG Committee. The Committee’s composition remains robust, led by our Joint Managing Director, along with members including our Chief Financial Officer (CFO), Chief Human Resources Officer (CHRO), Company Secretary (CS), Corporate Controller and Senior Business Representatives.

Structure of the ESG Committee

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Chairman
Kartik Bharat Ram,
Joint Managing Director
Core Committee
Members: Chief Financial Officer,
Chief Human Resources Officer,
Senior Business Representatives and
Corporate Team Representatives
Execution Team
Process Owners from respective departments of
Production, EHS, HR, Finance and other Processes
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The ESG Committee plays a vital role in supporting our Corporate Leadership Team (CLT) and Board in advancing our ESG aspirations. The key responsibilities of the ESG Committee include:

Developing strategies to drive ESG implementation.
Embedding ESG principles into our core business operations
Evaluating proposals related to ESG initiatives and overseeing their execution through a monitoring and evaluation (M&E) framework
Aligning key initiatives with our ESG objectives and targets

Ethics and Compliance

Our commitment to the highest standards of ethical practices remains firm as we navigate the complexities of the business landscape. We are dedicated towards ensuring full compliance with all applicable legal and regulatory requirements.

At the centre of our organisational values lies Integrity and Excellence. These values are embedded in every facet of our business interactions and activities. We believe that upholding them is paramount to fostering trust with our stakeholders and ensuring sustainable long-term success.

The salient features of our Code of Conduct includes:

Prevention of Insider Training

Prevention of Sexual Harassment

Invention/ Innovation

Equal Employment Opportunity

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Conduct with Conflict of Customers & Interest Suppliers

Gifts and Entertainment/ Anti-Bribery and Corruption

Company Policies and Records

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Prevention from Safety, Accuracy in Company Discrimination Health and Reporting Assets and and Environment Services Harassment

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Upholding the features of our code of conduct is a shared responsibility, with Board members and senior executives leading by example. Additionally, we have robust mechanisms in place for identifying, reporting and investigation of breaches of our code of conduct. The same are available on our website and as part of our Whistleblower Policy.

No cases of conflict of interest and disciplinary action was taken against our Company or any of our internal stakeholders, i.e. Directors / KMPs / Employees / Workers, by any law enforcement agency for the charges of bribery/corruption during the reporting period.

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SRF Policies and Codes

We prioritise the integration of Environmental, Social, and Governance (ESG) considerations into our decision-making by implementing robust policies and frameworks. Continuously refining our strategies allows us to stay ahead in a dynamic business landscape and respond effectively to evolving customer needs.

Our policies serve as a strong foundation for ethical conduct, outlining clear expectations to ensure that every employee upholds our core values and maintains the highest standards of integrity. While compliance with these policies is mandatory for all employees, we actively promote and support their adoption among our wider stakeholder community.

Policy to promote respect and well-being of employees and value chain partners

Policy to promote inclusive growth and equitable development

Environmental Equal opportunity Management policy as per the Policy Rights of Persons with Disabilities Act, 2016

Policy on provision of sustainable and safe provision of goods and services

Policy on responsible engagement with consumers

Human Rights Policy

Policy respecting the interests of stakeholders

Code of Supplier Code of Conduct Conduct

Board Diversity Policy

Information Security/ Cybersecurity Policy

Tax Policy & Governance

Ethical, Transparent and Accountable Policy

Anti-Corruption and Bribery Policy/ Whistle-blower Policy

POSH Policy

Occupational Health and Safety Policy

Policy on responsibility and transparency when engaging in influencing public and regulatory

Business Responsibility Policy

Regulatory Compliance

Regulatory compliance is a top priority for us. To ensure we meet all legal and regulatory requirements, we have implemented “Compliance Manager” – an internal compliance management tool. This tool helps us track and manage regulatory obligations, allowing us to maintain high compliance standards and promptly address any potential issues.

We remained fully compliant with environmental and social laws and regulations during the reporting period, ensuring zero penalties and sanctions.

Industry Associations

In order to contribute to the overall industry growth and ensure long-term sustainability in a rapidly evolving business environment, we engage with various trade and industry associations to participate in cross-sectoral discussions that shape the future of our industry. By collaborating with these esteemed associations, we gain valuable industry insights such as emerging trends, technological advancements, sustainable business practices and evolving regulatory frameworks.

Through these collective efforts, we drive best practices, address sector-specific challenges, and contribute to

projects that benefit both the industry and the broader community.

Confederation Refrigerant Gases Indian Chemical CHEMEXCIL of Indian Manufacture Council Industry Association National Safety Centre for Manmade and Indian Technical Council Chemical Technical Textiles Textile Association Process Safety Export Promotion (ITTA) Council (MATEXIL) Association of Indian Society Quality Circle Forum Association of Synthetic Fibre for Quality of India Chloromethanes Industry Manufacturers Petcore Polyester Polyester Textile Electronic Europe Film Industry Apparel Industry Industries Association Association (PTAIA) Association of India

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Strengthening Relationship with Stakeholders

Partnering for Progress

We value open and continuous interaction and engagement with our stakeholders. We maintain active communication with investors, employees, suppliers, regulators, communities, and customers to ensure transparency and mutual understanding. These interactions help us identify emerging and existing material issues, address key concerns, identify opportunities and mitigate potential risks. By fostering strong collaborations, we create opportunities for innovation and develop strategic initiatives that support long-term sustainable growth.

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Our Key Stakeholders
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Stakeholder Engagement Process

At SRF, we have a comprehensive Stakeholder Engagement Mechanism that enables us to identify and engage with stakeholders that are impacted by our operations and at the same time which are relevant for our business. Our stakeholder engagement process is outlined as follows:

Employees

Customers Regulatory Local Bodies Communities

Identify

Identify internal and external stakeholders relevant to SRF and identify and prioritise key issues critical to each of the identified stakeholder groups

Investors/ Suppliers Shareholders

Bankers

Plan

Establish objectives and scope of the stakeholder engagement. Allocate time, resources and responsibilities

Design engagement strategy and modes of communication for each stakeholder

Engage & Consult

Engage with each stakeholder group through interviews, etc. Share contextual information with stakeholders and follow-up sessions for feedback on identified material issues.

Monitor & Report

Ensure effective, timely documentation of consultation process and learning points, report back to stakeholders on commitments and peformance related to identified material issues and ensure transparency in the stakeholder engagement.

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Stakeholders’ Engagement and Outcome

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Stakeholder Channels of Purpose and Scope of Key Responsible
Expectations
Group Communication Engagement Groups
Compliance with Adherence to reporting Regulatory compliance Joint Managing
applicable laws and requirements Operational efficiency Director and
regulations Industry Development of Director –
Participation and representation on key communities Safety and
contribution to various matters Management of Environment
initiatives environmental impact Senior
Occupational Health and Management
Regulatory Safety and relevant
Bodies Emergency Preparedness functions
Air and GHG emissions
Biodiversity and resource
conservation
Waste management
Business plans, growth Company website Financial Performance Chairman and
feasibility and stability Quarterly publication Business Risk Managing
Better quarterly reports/ of results followed by Management Director (CMD),
performance ratios earning call Foray into new markets Chief Financial
Corporate reputation Periodic Analysts’ Optimising operational Officer (CFO)
Shareholders Transparent reporting briefing and individual costs and Investor
Prudent capital allocation discussions between Corporate governance Relations
Corporate governance fund managers and Ethics and value department
and risk management the management team Energy efficiency
Regular dividend pay-out Renewable energy
Fair and transparent Supplier evaluation Pricing, quality and safety Sourcing
dealing programme of raw materials
Consistent business and Periodic meetings Issues related with
economic growth Visits to supplier’s human rights
Joint exploration of facilities Local employment
Suppliers
potential opportunities Materials
Maintain confidentiality of
supplier data
Reputed brand, high Customer visits / audit Product innovation and Marketing
quality and reliable and meetings lifecycle efficiency Technical
products Customer recognition/ Service quality services
Product innovation awards programmes Resolution of Customer Customer
and environmentally Customer satisfaction Complaints Relationship
sustainable products surveys Quality and Safety of Management
Timely market / product Joint development & Products
updates product reengineering Pricing of Products
Honour contractual terms Branding
Customers and price
Timely resolution of
customer complaints
Ethical Practices
Maintain confidentiality of
customer data
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Stakeholder Channels of Purpose and Scope of Key Responsible
Expectations
Group Communication Engagement Groups
Safe and healthy work IT enablement & Career growth prospects Joint Managing
environment digitisation Learning and Director,
Favourable work culture Structured and development programmes Director –
Adherence to SRF’s focussed training Trainings Safety and
values programmes Rewards and recognition Environment,
Fair and equal Employee-oriented Occupational health and CHRO and
compensation work policies safety other members
Learning and Adequate grievance Work environment and from Human
development mechanism for policies Resources
opportunities reporting and redressal Grievance redressal Department
Fair, transparent, and Fair and transparent mechanism
regular rewards and performance Ethics and transparency
Employees recognition management systems TQM
Regular and constructive and 360-degree Emergency preparedness
performance feedback process Labour conditions
management and Periodic open house
feedback meetings with senior
Career development leadership teams
opportunities Regular employee
Appropriate grievance engagement and
redressal mechanisms feedback surveys
Job security
Local employment Social impact Social concerns in the SRF Foundation
Skill development and assessment region (Corporate
education Joint development and Minimising negative Social
Local infrastructure partnership with local environmental impact Responsibility
development agencies, network Local employment arm of SRF)
Conservation of natural partners for servicing Plant-level CSR
environment wider set of local champions
Ensuring health and communities External CSR
Local safety of nearby Local infrastructure implementing
Communities community development, partners
structured learning
by digital classrooms
training, providing
scholarships, and other
necessary support
Financial stability In-person banking Transactional banking – Chief Financial
Demonstrating channel deposits, withdrawals, Officer (CFO)
creditworthiness Digital interface transfers and Treasury
Ensuring compliance with Email Loans and credit lines
regulations Investments and related
Ethical business practices advisory services
Forex management
Bankers
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Materiality Assessment

Identifying What Matters Most

As part of our materiality assessment, we undertook a structured approach to identify sustainability topics most pertinent to our strategic priorities, investment considerations, and operational activities. This enabled us to focus on issues with the potential to create long-term value for the organisation and its stakeholders. The assessment was conducted using a four-step approach.

Our Approach to Materiality Assessment:

Final list of Identification of material topics material issues Shortlisting Businessof SRF within each material topics wise consultation post management business segment approval

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Social

Environment

Governance

Energy Management Employment Corporate Governance GHG Emission Reduction Occupational Health and Total Quality Management Air Emissions Safety (TQM) Water Conservation Community Relations and Innovation & Research and Engagement Development Waste Management Key Material Procurement and Management

Materiality assessment is a continuous process. Outcomes of the materiality assessment conducted earlier was discussed in this year’s ESG Committee meetings and no changes in material topics were noted. Further, we have well-defined monitoring and action plans, long-term objectives, and future aspirations for each identified material topic. Our performance in relation to these topics is systematically monitored in accordance with predetermined timelines. Progress is reviewed, and forward-looking action plans are evaluated during the quarterly meetings of the Committee.

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Risk Analysis

Risk

Management

Building Resilient Futures

As part of integrating risk management into our strategic planning, we have a enterprise-wide comprehensive risk governance framework. This framework assists us in informed decision-making and long-term business resilience.

By embedding risk considerations into our business processes, we have enhanced our ability to proactively manage risks and, where possible, turn them into opportunities. This framework is governed by a comprehensive Risk Management Policy that outlines our approach to identifying, assessing, and addressing risks across the organisation.

Risk Management Process

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Risk Identification

Identifying all the potential risks that could impact department and business continuity

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Risk Monitoring

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Analysis and evaluation of the operating risks to determine probability of occurrence and impact

Tracking the risks to determine the effectiveness and adjusting the risk management plan to further reduce the impact

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Risk Mitigation Strategies and tactics to ensure business survival

Risk Prioritisation

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Prioritising risks by level of severity to reduce any liability or loss

in the Risk Management Framework. This process ensures that strategic objectives are achieved, stakeholder interests are upheld, and the Company remains resilient. Additionally, we have implemented a comprehensive Control Self-Assessment (CSA) mechanism that regularly checks compliance with internal policies and operational procedures.

Our Board-level Risk Management Committee (RMC) plays a pivotal role in identifying a wide spectrum of risks, including ESG-related risks. The Committee is entrusted with responsibility of establishing control standards, compliance oversight, and monitoring the implementation of mitigation measures. It also recommends corrective or forward-looking actions as necessary to ensure business continuity, protect stakeholder interests, and support sustainable long-term growth.

To effectively manage existing and emerging risks, our Business Leadership Team and designated Risk Owners review and identify different type of risks and report mitigation strategies to the Corporate Leadership Team (CLT). The CLT further submits them to the Risk Management Committee for evaluation. Additionally, we provide focussed training and awareness sessions on risk management principles across all employee levels in the Company. The review of our risk exposure is done on regular basis.

The Committee also assists the Board in designing, executing, and reviewing the Risk Management Policy, while continuing to support the Audit Committee in evaluating the effectiveness of the overall risk management framework. The Committee meets bi-annually to discuss and review progress on emerging risks and further informs the Board on addition of new material elements.

Managing Risks

Additionally, the board of directors – including executive and non-executive – are given regular risk management trainings and updates.

As part of our risk management process, we regularly review our risk exposure and classify them as high, medium, or low, based on the parameters defined

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Key Risks Identified

Mitigation Strategies

Detailed policy guidelines to deal with key financial risks ` Robust processes & systems for ensuring timely reporting and compliance with applicable regulatory framework

Optimum cash flows through continuous new product development and innovation

Financial Risk

Continuous monitoring of the changing regulations, impact assessment, implementation of statutory compliance, internal audit and external legal review (including ESG)

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Liaisoning with regulatory bodies and industry associations to bring systemic changes for the benefit of industries

Regulatory Risk

Implementation of safety and quality management systems, TQM-driven processes to eliminate operational risks and contribute to the Company’s strategy for sustained operational success

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Adoption and deployment of resource efficiency initiatives (across energy, water, etc.), ensuring reduction in loss time injuries

Operational Risk

Development and retention of a skilled workforce that contributes to organisational goals by offering opportunities for learning and development, and career growth

Implementation of new perimeter security mechanisms such as dual firewalls, internet content filtering, mobile device management for users with critical data leak risk, etc.

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Training and awareness sessions on cybersecurity risks conducted for those in IT and Cyber possession of Company’s digital assets on regular basis Ensuring adequate update and maintenance of servers and network devices for Security Risk added security and data protection

Long-term strategic planning and regular management reviews with business teams, Audit Committees and Board meetings

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Strategic sourcing initiative ensuring uninterrupted supply of raw materials

Strategic Risk

Focussed implementation of various projects on key ESG initiatives including carbon emissions reduction, decarbonisation measures, optimising water debit/credit norms, improving diversity and inclusion, reducing LTIFR, setting up robust system and processes for waste management and recycling

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Sustainability Conducted Product Carbon Footprint (PCF) assessment of key products and working including ESG closely with the value chain partners to reduce the carbon footprint of the entire product life cycle

Our Strategy: Our Aspirations 2030

Our strategic objectives reflects in our “Aspirations 2030”, guiding our progressive journey with a clear vision. Driven by our aspiration, we aim for operational excellence through streamlined processes, ensuring quality, digitalisation and cost optimisation. We are committed to building a professional reputation founded on strong ethics and integrity. Prioritising customer advocacy, we strive to exceed expectations with exceptional value and service. Embracing innovation and technology leadership, we continuously seek cutting-edge growth solutions. Furthermore, we are dedicated to environmental stewardship and social responsibility, ensuring a sustainable impact on our communities.

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SDG’s Impacted
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Aspirations 2030

Material Aspects

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Creating new and differentiated offerings that deliver superior customer value through innovations and improvements in quality, cost, efficiency, or environmental benefits, supported by digital technologies for efficiency and reliability. In addition, nurturing a capable workforce that continues to develop new solutions and provide advanced technical support Implementation of various facets of the Total Quality Management (TQM) way to create new benchmarks across multiple dimensions of Quality, Cost, Delivery, Safety, Health & Environment and Morale (QCDSM)

Operational Excellence

In line with the core values, SRF strives to attract, retain and nurture talent that demonstrates high levels of ethics and integrity while delivering high quality products to its customers, thereby enhancing the brand value and reputation of the Company

Professional Reputation and Value System

Building a customer-focussed, agile and lean organisation, becoming a trusted, long-term partner of choice with the customers through innovative offerings and strong customer relationships

Customer Advocacy

The Company constantly focusses on developing and investing in new technologies and developing new-age products to lead the way in serving the emerging needs of customers and deliver value over the long run SRF’s focus on adequate allocation of resources to effectively implement systems and initiatives is helping in creating sustainable value on an ongoing basis. The Company will continue to focus on the key strategic areas that have contributed to driving improvements across the ESG material aspects

Innovation and Technology Leadership

Our Environment and Social Responsibility will focus on four main aspects: We will benefit the communities where we work We will embrace diversity, equality and inclusion in our workforce We will enhance our focus on the 3R’s - Recycle, Reuse and Reduce We will transition from traditional energy to renewable energy in the future

Environment & Social Responsibility

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Risks		Material Aspects	Strategic Focus Areas	Progress in FY25	Aspirations 2030
		Energy management GHG emissions	Focus on implementing cutting-edge technology and energy efciency initiatives to achieve energy savings	Implemented energy efciency initiatives, leading to energy savings of 17,395 MWh
Operational		management Air emissions Water conservation Waste management Key material procurement and management	Transition to cleaner energy sources to mitigate carbon emissions Drive eforts towards reducing water consumption with water-efcient technologies, recycling and reusing wastewater and storing rainwater to the maximum extent possible Emphasis on the principle of 3R – Reduce, Reuse and Recycle and strive to operate in a ‘closed-loop’ through circularity in operations Continuous eforts on local sourcing of raw materials and increasing the use of recycled materials in production	1,667 TJ of energy consumed from renewables and biomass 20,12,729 KL of water consumption met through recycled wastewater 21,87,990 KL of water recharged through rainwater harvesting Following 3R principle - recycled materials used as raw materials in production Utilisation of onsite generation of fy ash and other process waste as raw material in cement industries 74.38% input material sourced sustainably (including capital goods)	Operational Excellence
	`
Financial		Employment	Concentrated eforts on creating a favourable environment for	1,93,592 training manhours
		Occupational health and safety Local communities	employees to nurture and grow through structured learning and development, career advancement, and rewards and recognition programme to keep employees motivated and engaged Build a workplace that thrives on diversity, equity and inclusion, and supports human rights	Increase in female representation in management role by 8% compared to previous year 89% employee engagement survey 4.67 lakh+ benefciaries of CSR initiatives in local communities	Professional Reputation and Value System
			Endeavour to create a safe and secure work environment	`25.99 Crores of CSR expenditure
			by embedding health and safety in the company culture and	CSR projects: 37
IT & Cyber- security			implementing robust systems to ensure well-being of each employee Relentless eforts to empower local communities through community initiatives focussing on vocational skills, education, natural resource
			management, among others
		Total Quality	Emphasis on capitalising new opportunities, expand product portfolio	TQM-led supply chain improvements, enhancement of internal process efciency	Customer Advocacy
		Management	considering the evolving customer expectations and enhancing market	and building a skilled workforce
Strategic		Innovation and Research & Development	presence Implement diferentiated business strategies, prudent capital allocation, optimum utilisation of natural resources to lower operating costs, automate processes and strengthen business processes that aid in building a sustainable business model Deliver long-term sustainable returns to shareholders by increasing	Developed innovative products that are socially and environmentally responsible and have zero ozone depleting substances, low global warming potential (GWP), recyclability and low carbon footprint 151 patents granted till date Earnings per share`42.20
			market capitalisation and regular dividend pay-out
			Implementation of Total Quality Management (TQM) for meeting evolving customer aspirations and shifting market dynamics by		Innovation and
			bringing systemic changes to maximise plant efciency and deliver		Technology Leadership
Regulatory			diverse solutions
		Corporate Governance	Focus on creating an ecosystem which promotes efective decision-making, accountability and fnancial prudence	No fnes levied or non-compliance with respect to environmental and social aspects
			Encourages an ethics-driven culture of accountability and responsibility	Continued to collaborate with industry associations to beneft the industry and
			for all activities with the integration of sustainability into its	society at large
			decision-making processes to create value	Continued to identify and manage existing as well as emerging risks through the
Sustainability			Constant identifcation, assessment, monitoring and mitigation of risks to achieve business objectives Focus on robust internal control system and proactive response	robust risk management framework, integrated with the company strategy and planning	Environment and Social Responsibility
including ESG			strategy towards identifed risks

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Value Creation Model

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CAPITALS INPUT HOW WE CREATE VALUE OUTPUT LONG-TERM VALUE CREATION
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Net worth: 12,625.18 Crores **Our Values Our Aspirations 2030** Debt equity ratio: 0.37 Strong balance sheet Operating cost: 11,703.66 Crores Operational Excellence 1,250.78 Crores of Profit After Tax Increased shareholder value Net debt: 3,612.08 Crores Professional Reputation and Value Earnings per share: 42.20 Reaffirmed CRISIL AA+ /Stable/ CRISIL **Financial Capital** Revenue: 14,693.07 Crores Respect Integrity Non-discrimination Customer AdvocacySystem Paid two interim dividends of 3.60 per share each Research IND AA+/Stable /IND A1+ A1+ ratings and India Ratings and and IND AA+/Stable Innovation and Technology Leadership 1,095.68 Crores of Capex incurred Environment & Social Responsibility Launched 20 products Optimum manufacturing capacity Excellence Well-being 10 state-of-the-art Manufacturing We export to more than Diverse product portfolio locations 100 countries Zero product recall incidents Manufactured Investments in operational excellence Capital Robust TQM practices Chemicals Technical Textiles Industries We Serve Business Business Automotive 154.27 Crores of R&D spends 151 total patents granted till date Comprehensive product range Tyres 500+ dedicated R&D professionals Implementation of advanced Ability to handle complex chemistries Air Conditioning **Intellectual Capital** 481 patents filed up to FY25 **Our Businesses** Refrigeration Food & Agro digital technologies Developing products that benefit both with deep domain expertise society and the environment FMCG Performance Films Other Lifestyle & Decor & Foil Business Businesses Electronics Renewable Energy 14,811 strong workforce Average training hours: 13 Attraction & retention of top talent Chemicals 1,93,592 total training hours Pharmaceuticals 89% Employee engagement score Safe working environment Spending on employee wellbeing **Key Products** Agro-chemicals 100% return to work rate Productive workforce **Human Capital** Industry benchmark safety practices Specialty Chemicals Nylon Tyre Cord Fabric Events & Exhibitions High employee engagement & and Refrigerant Gases and Belting Fabrics Mining satisfaction levels Advertising Performance Films Coated and Other Manufacturing & Foil Laminated Fabrics 13,052 TJ energy consumed ~13% of energy from renewable Ecovadis Bronze certification for our Continued sourcing of green energy sources Gummidipoondi and Viralimalai 17,395 MWh of energy saved through facilities in Tamil Nadu 55,37,378 KL of water withdrawal **Our Key Enablers Natural** energy efficiency measures Committed to climate change mitigation **Capital** Differentiated Customer Centricity Operational 20,12,729 KL of water recycled Business Strategy Excellence Compliance with Environmental regulations 25.99 Crores of Community spends Digitisation & Innovation Stakeholder Engagement Corporate Governance 4.67 Lakh+ beneficiaries from Inclusive and robust supply chain 37 CSR projects community development projects Strong and lasting partnerships 18.41% input material sourced with stakeholders from MSMEs Making communities resilient Social and Benefiting Stakeholders More than 70% of input material Alignment with Make in India Relationship sourced from within India Employees Customers Regulatory Local Investors/ Suppliers Bankers Capital Bodies Communities Shareholders

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92
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Capital-wise Performance

Creating Value through Capitals

Financial Capital

Manufactured Capital

Our investments are directed towards expanding operations, improving efficiency and upgrading existing equipment and infrastructure

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We raise funds through debt and equity financing, and also from cash generated by our operations and investments

We allocate funds across the business to support various capital expenditure (CAPEX) projects

Intellectual Capital

We advance our investments in ESG initiatives and innovation to strengthen our competitive advantage

We assess the return on our investment to understand its contribution to overall business growth

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Social & Relationship Capital

Evaluating the required skills and expertise needed to achieve our objectives

We invest in recruiting the right talent for the right roles to uphold our reputation as ‘employer of choice’

Stakeholders play a vital role in shaping and maintaining a supportive external environment that enables our business to thrive

Human Capital

We consider all relevant factors while making investment decisions

In this section, we showcase our performance across the six capitals i.e. Financial Capital, Intellectual Capital, Manufactured Capital, Human Capital, Social & Relationship Capital and Natural Capital. Every capital plays a vital role in helping us create sustainable value for our stakeholders whilst equipping us to address the evolving challenges of our industry. This section highlights our performance against six capitals and how each one supports our strategic priorities.

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06
Natural
Capital
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Resources like raw materials, water, fuel, and renewable energy are essential for ensuring the efficient functioning of our operations

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Financial
Capital
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Our approach to long-term growth is built on a strategic balance of debt and equity. We consider financial capital a foundational element of our business. We have a strong cash flow monitoring system to identify growth opportunities and optimise costs across functions. This supports prudent capital deployment for future expansion, alongside maintaining a robust liquidity position to manage potential economic disruptions.

Key Highlights

C 14,419.41 Cr. of Capital Employed

0.37 Debt Equity Ratio

C 14,693.07 Cr. Revenue

CRISIL AA+

C 2,970.33 Cr. C 42.20 EBITDA Earnings Per Share

‘Stable/CRISIL A1+’ for our bank loan facilities and commercial paper

India Ratings and Research has rated our “Fund Based and Non-Fund Based Working Capital Limits” as IND AA+/Stable and IND A1+

UN SDG Linkages

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BRSR Linkage

Principle 1 -

Businesses should conduct and govern themselves with integrity, and in a manner that is Ethical, Transparent and Accountable

Growth and Expansion

At SRF, we balance our commitment to sustainable operations and expansion across our business verticals. We carefully allocate capital to sustain growth projects while preserving sufficient liquidity to navigate changing economic conditions. During the year, we have also strengthened our technical capabilities and deepened our expertise in chemical processes.

In FY25, we invested more than ` 1,095.68 Crores in brownfield projects across all business lines, including a sizeable amount of CAPEX in Chemical Business and Performance Films & Foil Business facilities. The expansions include construction of fourth generation refrigeration plant in our Dahej facility and BOPP – BOPE Film (including Metalliser) plant at our Indore facility. These strategic investments have enabled us to enter new markets, pursue innovative opportunities, and significantly enhance our value proposition. Concurrently, we undertook cost optimisation initiatives to ensure the seamless and efficient operation of our plants. These measures led to enhanced cost efficiency, improved resource utilisation, and contributed positively to our overall financial performance.

Key Stakeholders impacted

Investors/ Bankers Shareholders

Regulatory bodies

Material Issues addressed

Corporate Innovation, Governance Research & Development

Our Performance

In FY25, we delivered robust financial results, recording a total turnover of 14,693.07 Crores – an increase of over 11% compared to FY24. Our profitability remained strong, underpinned by operational excellence, with EBITDA of 2,970.33 Crores and Profit After Tax (PAT) standing at 1,250.78 Crores. Our Earnings per Share stood at 42.2 for the year, reinforcing the consistency of our returns and our commitment to create long-term shareholder value. During the year, we also issued two interim dividends of ` 3.60 per share each.

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Profit after Tax (Crores) Earnings Per Share (EPS) in Net Worth (` Crores)
FY21 FY22 FY23 FY24 FY25 FY21 FY22 FY23 FY24 FY25 FY21 FY22 FY23 FY24 FY25
2,162.34 72.95 12,625.18
11,478.00
1,888.92 63.75
10,326.03
8,564.34
1,197.94 1,335.71 1,250.78 41.11 45.06 42.20 6,855.40
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Business-wise Performance

Our growth journey has been shaped by consistent contributions of each of our businesses, all driven by focussed strategies and a sharp responsiveness to market needs. In recent years, the consistent performance across our three core businesses has underscored the resilience and strength of our diversified portfolio. The EBIT of our Performance Films & Foil Business increased by 76% in FY25 compared to the previous year. This strong performance underscores the effectiveness of our long-term strategy and highlights our continued commitment to creating sustainable value across economic cycles.

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Business-Wise EBIT (` Crores) for FY25
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Business-Wise EBIT (` Crores) for FY24

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93.02 68.83
274.22 238.05
206.50 364.53
1,627.38 1,664.80
CB PFB TTB Other Business (CF and LF)
Business-Wise Segment Revenue (Crores) for FY24 Crores) for FY24 Crores) for FY24 Business-Wise Segment Revenue (`` Crores) for FY25
465.30 427.54
1,898.01 2,029.05
6,297.02 6,690.75
4,489.34
5,553.80
CB PFB TTB Other Business (CF and LF)
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Business-Wise Segment Revenue (`Crores) for FY24` Crores) for FY24 Crores) for FY24

Business-Wise Segment Revenue (`` Crores) for FY25

Our Ratings: Credible, Confirmed, Strong

Our Tax Strategy and Governance

We have a group-wide Tax Policy which lays down our commitment towards being a responsible corporate citizen. This commitment reflects our core value - Integrity & Excellence. Moreover, we are committed to be compliant with the taxation laws of various countries, avail any potential allowances, relaxations, tax exemptions. We prefer to take a conservative approach, which ensures adherence to the tax laws of the relevant jurisdictions in which we operate. Our Tax Policy is applicable to both Direct & Indirect Tax for the Company and its subsidiaries. It is approved by the Board of Directors of the Company. Further details of our Tax Policy can be viewed at https://www.srf.com/ wp-content/uploads/2024/03/Tax-Policy.pdf

We continue to maintain a strong credit profile, as reflected in the ratings provided by leading agencies. CRISIL has assigned us a rating of ‘CRISIL AA+ / Stable/CRISIL A1+’ for our bank loan facilities and commercial paper. Similarly, India Ratings and Research has rated our “Fund Based and Non-Fund Based Working Capital Limits” as IND AA+/Stable and IND A1+, term loans as IND AA+/Stable and commercial paper as IND A1+.

These independent assessments signify the strength of our business fundamentals – our leadership position in key markets, a diversified revenue base, high operational efficiency, and strong financial health.

Our Contribution to Exchequer in FY25

We paid 308.84 Crores of Income taxes (net of refunds) and 113.59 Crores related to net GST payments during FY25 in India.

Impact of Financial Capital on other Capitals

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01 02
Manufactured Capital: Intellectual Capital:
Enables expansion and Fuel R&D initiatives and
strengthen operational modernisation
capabilities
03 04
Natural Capital: Adoption Social & Relationship
of renewable energy and Capital: Strengthen
enhancement of energy collaborations and foster
efficiency initiatives impactful partnerships
05 Human Capital: Facilitates
change management and help
attract and retain the best
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Intellectual
Capital
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We recognise the vital role of Research and Development (R&D) in driving progress and securing our future. We are dedicated to investing in R&D to develop cutting-edge solutions and create lasting value. In line with our core value “Excellence”, our research and innovation efforts are purposefully driven to offer the state-of-the-art customer-centric solutions. Our people at the R&D centres in Bhiwadi and Gurugram transform their efforts into meaningful innovations, thereby strengthening our position in the market.

Key Highlights

C 154.27 Cr. of R&D spends

500+ 151 strong R&D patents granted up to workforce FY25

Key Stakeholders impacted

UN SDG linkages

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Investors Customers

Regulatory Bodies

BRSR Linkage

Material Issues addressed

Innovation, Research Total Quality & Development Management

Principle 2 -

Businesses should provide goods and services in a manner that is sustainable and safe

Employment

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Strong in-house capabilities and focussed area for innovations

Highly skilled R&D professionals

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Strengthening Our R&D Capabilities

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State-of-the-art facilities

Robust product funnel

As part of our R&D initiatives, we partner with our clients to jointly develop customised products and processes. These joint efforts have consistently led to successful outcomes, reinforcing a culture of partnership with our customers.

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During the year, the CTG filed 38 patents, taking the total count to 481 filed so far. Two patents were granted during the year, taking the total count of patents granted till date to 151. By focussing on seamless scale-up and commercialisation, we are constantly building our capabilities to take ideas from the lab to market – strengthening our position as a leader in chemical innovation.

R&D in Chemicals Business: Chemicals Technology Group

At SRF, our Chemicals Technology Group (CTG) is leading our innovation journey to introduce novel chemistries and next-generation products for the Fluorochemicals and Specialty Chemicals business. We focus on developing cutting-edge product and process technologies, especially intermediates that meet the growing needs of Active and Non-Active Ingredients for agrochemical and pharmaceutical sector. We are also working on enabling continuous development of new-age products including refrigerants and maintaining our journey of excellence and sustainability.

R&D in Technical Textiles Business

Our Technical Textiles Business in Manali, near Chennai, is supported by a state-of-the-art R&D facility that serves as a hub for innovation and process advancement. Equipped with advanced infrastructure and a dedicated pilot plant, the centre facilitates polymerisation, spinning, twisting, and dipping activities – enabling the development of next-generation products and manufacturing processes.

For over two decades, the CTG group has been at the forefront of business growth in fluorinated molecules. They consistently introduce new chemistries, successfully scaling them for commercial use and create both complex and innovative products to satisfy customer demands and market trends.

R&D in Performance Films & Foil Business

Our advanced R&D centre at the Indore SEZ, is equipped with a full range of modern facilities, including a pilot polymerisation plant and pilot-scale equipment for printing, lamination, and coating. It also houses high-end analytical instruments, allowing us to simulate and optimise customer processes at a pilot scale. This well-integrated setup plays a vital role in accelerating phases of product development, enabling faster transition from concept to commercialisation.

With a strong team of over 500 professionals across our R&D sites and specialised centres, we bring deep technical expertise and collaborative strength to everything we do. Our R&D team worked on over 50 molecules and many products were successfully taken up for process development. Additionally, more than 35 molecules were taken up for the scale-up studies and ~50% have been commercially produced in multipurpose and dedicated plants.

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Customer Collaboration

Our R&D and business development teams regularly work in close partnership with customers to co-create products and processes tailored to their specific needs. This collaborative approach has enabled us to consistently deliver successful outcomes, strengthen mutual trust and foster long-term partnerships. Over the years, we have engaged with leading agrochemical innovators to develop solutions aimed at advancing the agriculture sector. Simultaneously, we are working with partners to bring more complex downstream products to market, expanding our technical capabilities and product portfolio.

Specialty Chemicals: Expertise in Chemistry

Our strong foundation in chemistry is a key driver of our innovation and product development journey. Backed by a team of seasoned professionals with expertise across multiple chemical disciplines, we are well-equipped to address complex challenges and create impactful solutions.

Halogen Exchange (Halex)
Nucleophillic
Diasotisation (AHF)
Balz-Schiemann Reactions
Vapour Phase Fluorination

This expertise of our professionals translates into a growing portfolio of patents and a consistent track record of successfully bringing new products to market, highlighting our ability to transform knowledge into tangible value.

Electrochemical Fluorination
Elemental Fluorine
Reaction with key Fluorinating Reagents (NFSI, SF4, TEA.HF, Pyridine.HF etc.)

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Organocatalysis Nitration Fluorination
Chiral Asymmetric Diazotization Chlorination
chemistry Synthesis
Sulphonation Hydrogenation Halogenation
Tosylation N-Butyl Isomerization Bromination
Lithium
Amination Grignard Iodination
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Other Chemistries

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New Product and Process Development

Across our diversified business segments, we have made significant strides in innovation and new product development.

Chemical Business:

We introduced five agro-products, and three pharma products tailored to the agrochemical and pharmaceutical industries. These offerings hold strong long-term potential and are positioned at various stages of market development, expected to become key growth drivers.

Performance Films & Foil Business:

We expanded our portfolio by launching 12 new products, aligning with evolving industry needs.

Technical Textiles Business:

We commissioned new types of belting fabrics during the year. Its higher tensile strength will be supporting multiple industrial applications.

Other Business:

Successfully stabilised and scaled up the new Hot Lamination (HL) machine which will help enhance our production of Laminated Fabrics.

Information Security: Protected, Resilient, Secured

Safeguarding the security and confidentiality of our information systems is critical to ensuring smooth and uninterrupted operations. At SRF, we have a well-defined cyber risk management policy in place, supported by robust systems designed to prevent and respond to cyber threats effectively. We have implemented a variety of systems to mitigate cybersecurity risks, including SentinelOne Antivirus and Endpoint Detection and Response (EDR), layered firewalls with critical zone segregation, and Netskope Secure Web Gateway. Our security framework also incorporates Zero Trust Network access, Cloud Access Security Broker (CASB), and secure identity management with Multi-Factor Authentication (MFA).

Additionally, we have robust controls such as secure data centres, encrypted protection of intellectual property using IRM solutions, and the use of secure VPNs to prevent unauthorised access or data exfiltration. Alongside technical measures, we regularly conduct employee awareness sessions to build cyber

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readiness across the organisation and foster a culture of digital responsibility.

During the year, we established a robust hybrid cloud infrastructure, successfully migrating all core applications to Oracle Cloud Infrastructure and Microsoft Azure. Network optimisation ensured shortest-path connectivity from all manufacturing sites to cloud data centres, enabling seamless application performance. This migration was executed with zero disruption and has resulted in improved efficiency and reliability across systems. We embedded advanced cloud security protocols within the infrastructure design, leading to stronger segregation, granular access controls, and enhanced protection against external threats and data exfiltration risks. The upgraded infrastructure now offers high scalability, supporting our long-term digital and business growth objectives.

To safeguard and manage personal and customer data breaches, we have implemented several measures. All laptops and PCs are encrypted, and USB access is restricted for users. Our Cloud Access Security Broker solution prevents access to public cloud storage. Additionally, Data Loss Prevention (DLP) tools monitor the movement of intellectual property and block unauthorised data transfers. Access to servers and databases is limited to privileged users and is subject to monitoring. Furthermore, we utilise the services of Cyble for Dark Web monitoring to detect any instances of our data being published.

Further, we strengthened our cybersecurity framework by deploying modern security solutions such as secure web gateways, zero trust network architecture, and cloud access security broker (CASB) capabilities. To mitigate email-based threats, we introduced AI-driven mail threat detection to proactively counter phishing attacks. In parallel, we conducted a comprehensive security assessment of our Manufacturing Operations Technology (OT) landscape and implemented enhancements to fortify its resilience.

Digitally Enhanced

To accelerate our enterprise-wide transformation, we have invested in advanced, scalable digital platforms focussed on process digitisation, digital workflows, analytics, automation, mobile applications, and cloud-based solutions. These initiatives have significantly enhanced our productivity, decision-making capabilities and modernised our IT infrastructure with cutting-edge technology.

During the year, we transitioned from manual processes to digital formats using Business Process Management software and Low Code/No Code solutions. This shift has allowed us to replace paper-based workflows with efficient digital alternatives thereby saving time and become less error-prone. The initiatives include the automation of Advance Requisition, Sanction Note approvals, Master Data management and processing of vendor bills by the Shared Services Centre (SSC). Additionally, we have implemented energy efficiency IoT shop floor digitisation projects across multiple plants, further enhancing our operational efficiency.

As part of our trainings and awareness on cyber security, we organised multiple training sessions to enhance employee awareness on IT infrastructure. The trainings included e-learning security awareness solution provided by Trend Micro i.e., the Phishing Insight program. This training is conducted periodically and covers a range of security threats, including phishing, identity theft, safe browsing practices, data protection, social engineering, malware protection, and business email compromise, among others.

For more details on mitigating cybersecurity risks,

please refer to Principle 9 of our BRSR Report.

Impact of Intellectual Capital on other Capitals

01 02 Manufactured Capital: Financial Capital: Improve process efficiency Brings competitive advantage, and drive innovation and enable cost efficiencies 03 04 Human Capital: Encourages Natural Capital: collaboration, internalise best Adopting of green practices, enhances employee technologies and processes performance to maximise resource efficiency 05 Social & Relationship Capital: Builds strong networks and partnerships to generate a positive societal impact

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Manufactured
Capital
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UN SDG linkages

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BRSR Linkage

Principle 2 - Businesses should provide goods and services in a manner that is sustainable and safe

Key Stakeholders impacted

Customers Employees Suppliers

Material Issues addressed

Occupational Key Material Health & Safety Procurement and Management

Total Quality Innovation, Management Research & Development Employment

By leveraging advanced technologies and practicing world-class production practices, we ensure consistent delivery of reliable, high-quality solutions. Our diverse product portfolio is thoughtfully designed to offer sustainability, versatility, and enhanced value to our customers.

We are committed to operational excellence and steady expansion as we pursue our growth objectives. Our guiding philosophy, ‘we always find a better way’, influences every aspect of our approach and is evident in the quality of products we deliver.

The innovative solutions developed across our Chemical Business, Performance Films & Foil Business, and Technical Textiles Business continue to drive our progress. Through consistent excellence and a strong customer focus, we are strengthening our leadership position in the industry.

Key Highlights

C 1,095.68 Cr. of Capital Expenditure

10 state-of-the-art manufacturing plants across five businesses

100+ countries 20 Exports new products added during the year

Higher sales volume

Our Manufacturing Excellence

Specialty Chemicals Business

We produce organic and inorganic intermediates that are used across multiple applications, including material sciences, surface chemistry, as well as in the agrochemical and pharmaceutical industries. Our manufacturing units are designed to efficiently support high production volumes for both the agrochemical and pharmaceutical sectors, ensuring consistent quality and to meet market demand.

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Strong Contract
technology play manufacturing with
tech participation
SCB’s Unique Value
Proposition
In-depth expertise in Cost
fluorine production effective
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Fluorochemicals

We manufacture a wide range of chemicals including refrigerant gases such as R22 and HFC blends, chloromethanes, specialty chemical intermediates, hydrofluoric acid, and PTFEs. Our production facilities in Dahej (Gujarat) and Bhiwadi (Rajasthan) are fully equipped to meet the market demand for these products. With robust backward integration for key inputs like refrigerant gases, industrial solvents, and PTFE, we have mastered operational efficiency and established a strong competitive edge in the fluorochemicals sector. Our Fluorochemicals Business reported strong performance during the year owing to higher volumes and realisations of HFCs across domestic and export markets and, record domestic sales of refrigerant gases, driven by highest-ever R32 production.

globe. The manufacturing setup includes BOPET and BOPP production, supported by value-added facilities such as coating, metallisation, and surface modification to meet evolving market needs. Performance Films & Foil Business has a state-of-the-art aluminium foil manufacturing plant in Indore, Madhya Pradesh. This facility, located in Jetapur, is part of a broader packaging solutions offering that includes BOPET and BOPP films. The plant is equipped with European technology and precise process controls, enabling the production of high-quality aluminium foil.

Our products are integral to our customers’ supply chains. We provide our customers with flexible packaging solutions for food items like confectionery, dairy, and spices, as well as non-food products such as perfumes, shampoos, and detergents. Recognising that our manufacturing processes directly impact individuals’ lives, we prioritise quality at every step. In addition, our industrial packaging is essential in sectors like air ducting, cables, solar panels, and electronics, contributing to both digitisation and sustainability for our customers. In foil business our product goes for Food and Non-Food Packaging, Pharmaceutical Packaging, Household/Kitchen Foil etc.

Performance Films & Foil Business

Since its inception, the Performance Films & Foil Business has steadily grown and strengthened its capabilities. Starting with the commissioning of its first PET line in 1995 and BOPP line in 2013, the business has significantly expanded its operations. Today, it operates six advanced PET lines and two backward integrated resin plants and four BOPP lines across

Value Chain of Performance Films & Foil Business

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Our Operations
Manufacturing of
- PET resin
- BOPP
Our Suppliers Our Customers
- BOPET
- Aluminium Foil
Value-added products
such as Coating,
Metallisation, Surface
Modification, etc.
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As one of the largest manufacturers of both standard and specialty Bi-axially Oriented Polyethylene Terephthalate (BOPET) and Bi-axially Oriented Polypropylene (BOPP) films, we proudly offer our products under the PETLAR[TM] and OPLAR[TM] brand names. This extensive portfolio positions us as a key player in the packaging film industry, providing innovative, high-quality solutions that cater to the diverse needs of our customers. PFB witnessed healthy growth in revenue and margins driven by higher volumes and realisations for both BOPP and BOPET, increased sales of high-impact VAPs and Aluminium foil.

Technical Textiles Business

We are the largest manufacturer of technical textiles in India and hold a global leadership position in most of our product categories. With four advanced manufacturing plants located in Madhya Pradesh and Tamil Nadu, we offer variety of products including Nylon-6 Tyre Cord Fabrics, Chips, Industrial Yarn, and Polyester Tyre Cord Fabric.

We provide end-to-end solutions ranging � We are the only Tyre Cord Fabric producer from polymerisation to fabric dipping. in India to have received the prestigious We use advanced technology from Toray Deming award. This recognition underscores Japan Inc. ensuring the highest standards our commitment to meeting global quality of quality standards and delivering reliable, highperformance products

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Owing to positive market demand, our TTB segment achieved highest-ever production and sales in the year for Tyre Cord Fabrics, Polyester Industrial Yarn and Belting Fabrics.

Coated Fabrics

Laminated Fabrics

Our Kashipur facility in Uttarakhand has the capacity to produce 75 lakh sqm of laminated products each month, including cold laminated front-lit, cold laminated back-lit, and hot laminated protective covers. The manufacturing process is equipped with advanced fabrication machines featuring automatic heat-sealing technology, enabling us to efficiently produce high-quality tarpaulins.

Our Gummidipoondi plant in Tamil Nadu boasts state-of-the-art facilities for yarn manufacturing, weaving, coating, printing, and lacquering. It is fully integrated to produce coated fabrics using PVC formulations. We offer a diverse range of fabrics, with weights ranging from 350 gsm to 1500 gsm and coating thicknesses from 0.3 mm to 1.5 mm, available in over 100 different shades.

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Building on these initiatives, the PSP Silver program continued to evolve, leveraging advanced data analytics and machine learning tools. This program saw the completion of 13 projects, and we continued to expand our certification pool as a recognition of solving high-impact problems. Overall annualised savings from problem solving projects was over ` 70 Crores.

Total Quality Management

At SRF, our management philosophy continues to be firmly anchored in the principles of Total Quality Management (TQM). This system is pivoted around three key aspects: addressing the evolving needs of our customers and stakeholders, utilising data-driven systematic methodologies, and fostering a culture that endeavours to evolve every employee in continuous improvement across all functions and levels of the organisation. TQM practices in our Company span the entire value chain – from product conceptualisation, development, projects, manufacturing operations, and sales, to the support and enabling functions to achieve superior outcomes across Quality, Cost, Delivery, Safety, and Morale (QCDSM).

As part of digital transformation, we established a common methodology for IT initiatives aligned with TQM principles. Internal processes have been simplified through the deployment of RPA and BI tools. Integration of process control, daily management analytics, and anomaly detection was implemented through Digital Twin solutions at two manufacturing sites. Additionally, the TQM knowledge base was strengthened by expanding internal platforms, making continuous improvement resources more accessible across the organisation.

In FY25, we focussed on capability building through flagship problem-solving programmes, broadening leadership engagement, and scaling up through digital interventions. The organisation has elevated its level of problem-solving initiatives in both manufacturing and non-manufacturing domains and encouraged broader workforce participation.

Leadership engagement remained a key priority. A renewed TQM program was conducted for all Top and

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the revised structured assessment approach to all other businesses in the coming year. These initiatives are a testament to our unwavering commitment to institutionalising a culture of excellence, innovation, and employee-driven improvements. We are focussed on continuously evolving our quality systems to meet emerging challenges and deliver long-term value to all stakeholders.

Senior Management, re-establishing the management way and practices for the future. Furthermore, a tailored “Sponsor as Facilitator” program was introduced for leaders to deepen their involvement in improvement initiatives.

To strengthen our shopfloor improvement and people participation, the Chemicals business significantly expanded their TIE groups – autonomous workmen-led teams – reaching over 373 groups. These groups carry out basic improvements daily, reducing small breakdowns with full workforce participation. The Company-wide improvement showcase, the 17[th] Annual Themes Convention, recorded the highest-ever participation, with over 530 employees presenting impactful improvement projects. In addition, more than 15,440 Kaizens were implemented, reflecting strong grassroots improvements. The businesses also won 92 external Quality Control Circle (QCC) competitions during the year.

Raw Material Efficiency

Ensuring raw material efficiency is a crucial element in our sustainability strategy. It helps in enabling us to reduce environmental impact, optimise costs, reduce emissions and waste generation. To foster resource efficiency, we place a strong emphasis on efficiently using virgin raw material and increasing our recycled input material from our total raw material consumption. We work on innovative applications to increase our recycled content in the production process through continuous product re-engineering, while also ensuring the highest quality. This approach minimises our environmental footprint and reduces waste through promotion of material recycling and repurposing.

In addition, a renewed business capability assessment was conducted for one business unit during the year, with improvement areas built into the annual plan for the coming year. The management plans to extend

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Chemicals Business

Major raw material used in Chemicals Business (in 000’ MT )

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Fluorspar Liquid Chlorine Methanol Sulphuric Acid Ethylene Dichloride
FY24 FY25
210
194
117
92 104 103
64
56
21 20
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Laminated Fabrics

Coated Fabrics

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Major raw material used in Coated Fabric Major raw material used in Laminated Business
(in 000’ MT) (in 000’ MT)
PET Yarn Process Chemicals PVC Resin Calcium Carbonate (Uncoated)
FY24 FY25 FY24 FY25
6.2 5.5
6.7
6.1
5.3
4.7
3.8
2.9
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Performance Films & Foil Business

Major raw material used in Performance Films & Foil Business (in 000’ MT)

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PET chips PP chips PTA MEG
FY24 FY25
Total recycled input material used ~3,450 MT (including PET chips & PP chips)
Technical Textiles Business
Major raw materials used in Technical Textiles Business (in 000’ MT)
Caprolactam Pet chips
FY24 FY25
100 103
80.6
69 73.5
59.6
28.8
23.4
43.7 43.8
20.7
15.3
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Impact of Manufactured Capital on other Capitals

01 02 Financial Capital: Increases Intellectual Capital: Helps in production efficiency, reduce providing data and insights that operational costs. further enhance intellectual capital through learnings and innovation 03 04 Human Capital: Equips Natural Capital: Adopting workforce with better resources sustainable manufacturing to perform their tasks, increasing practices and green their efficiency and productivity technologies leads to resource conservation 05 Social & Relationship Capital: Enhances stakeholder trust and reputation

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Human
Capital
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UN SDG linkages

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BRSR Linkage

Principle 3 - Businesses should respect and promote the well-being of all employees, including those in their value chains

Principle 5 - Businesses should respect and promote human rights

Key Stakeholders impacted

Employees

Material Issues addressed

Occupational Employment Health & Safety

We are deeply committed to the well-being of our workforce, recognising that our people are most valuable to us. Our focus goes beyond just professional development – we place equal importance on their health, safety, and overall welfare. To support this, we have established robust health and safety measures that create a secure and nurturing workplace, enabling our employees to grow and perform at their best.

We consider our people to be our greatest strength and are dedicated to creating a workplace that is inclusive, healthy, safe, and supportive of personal and professional growth. We believe that diversity and inclusion are essential in driving innovation and growth in the Company. Our approach to human capital is focussed on recognising people, rewarding careers, developing strong leaders, and delivering an exceptional employee experience aligned with our business aspirations.

Key Highlights

C 1.93 lakhs + training hours of workforce

31%

increase in the representation of women in our permanent workforce

Growing focus on areas including Diversity, Equity & Inclusion, Training and Employee Wellbeing

89%

satisfaction on our employee engagement survey

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Employee Engagement
and Retention
Occupational Health Employee Wellbeing
& Safety and Labour - Emotional, Mental
Relations and Maternal
Our Initiative for
Employees and
Performance & Learning and
Workers
Career Development Development
Human Rights and Diversity, Equity
Grievance Redressal Rewards and and Inclusion
Recognition
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Employee Engagement

At SRF, we believe in building a workplace where every individual feels valued, supported, and inspired to grow. Guided by our belief that people come first, we design meaningful roles and implement progressive, employee-focussed policies that promote a sense of

fulfilment and well-being. Our culture is rooted in accountability, inclusivity, and creativity, motivating our people to pursue both personal and professional growth.

The detailed breakup of our workforce by category is depicted below:

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FY24 FY25
S.
Total employees by category
No. Male Female Male Female
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		Male	Female	Male	Male
1.	Senior Management	71	4	72	5
2.	Middle Management	214	21	220	25
3.	Junior Management	702	131	732	138
4.	Non-Management Staf	6076	183	6173	275
5.	Temporary/Contractual Workers	7787	367	6659	512

We actively engage our workforce through a variety of initiatives like honouring the loyalty and dedication of our long-term employees through Long Service Awards and celebrate employee contributions with Protsahan events. To encourage team spirit and camaraderie, we organised annual sports tournaments to bring out the

energy and enthusiasm of our employees. Additionally, we hosted summer carnivals for employees’ children and family picnics to reinforce our belief in building a workplace that values not just the individual, but their families as well.

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Ensuring Mental and Emotional Wellbeing

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We maintain a strong focus on promoting emotional and mental wellbeing of our employees. Understanding the significance of emotional and mental wellbeing in creating a productive, resilient and happy workforce, we undertook a range of initiatives including regular webinars emphasising the eight pillars of wellness, which encompass Intellectual, Occupational, Spiritual, Financial, Mental, Physical, Emotional, and Social dimensions.

To enhance our understanding of employee needs, we leverage on predictive modelling in HR analytics to gain insights into employee behaviours and trends, enabling us to make informed decisions that helps boost their engagement and wellbeing. We also have an Employee Assistance Program (EAP) which offers psychological counselling, diet and nutrition advice, legal and financial counselling, and stress control programmes.

service to the spouses of our male employees, reflecting our values and belief that caring for our people also means supporting their families. We have also developed a structured crèche management model to ensure safe, nurturing, and well-equipped childcare support for working parents.

Our offering to employees includes variety of benefits, including select club memberships and reimbursement for physical well-being expenses. Additionally, employees also have access to online doctor consultations through DocOnline Health, a convenient teleconsultation platform that connects them with doctors via chat, audio, phone, or video. We also encourage preventive health check-ups as part of our commitment to proactive health management.

Retaining Talent

We implemented compensation benchmarking strategies to ensure market-linked remuneration that promotes employee retention and foster parity within the organisation. Additionally, our Employee Value Proposition (EVP) emphasise on ‘‘trust and fairness’, ‘empowerment’ and ‘learning and growth’, which helps us attract and retain top talent while fostering a positive environment.

Maternity and Wellbeing

During the year, we introduced maternity counselling program to offer essential prenatal and postnatal support to expecting mothers. The program offers necessary support and guidance to help them transition smoothly into parenthood. We have extended this

Our Employee Value Proposition

A fair and trustworthy organisation that empowers you to work freely, encourages learning and growth, while creating extraordinary experiences for all stakeholders

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Where Empowerment Where Trust and Fairness Where a Culture of Drives Excellence matter the most Learning and Growth awaits

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Learning and Development

At SRF, we believe that the growth of our employees is closely tied to the growth of the Company. We stand committed to keep them skilled, competitive, and aligned with evolving industry standards. To support their all-round professional development, we offer a wide range of trainings, from hands-on, on-the-job learning to structured classroom sessions. We also conduct learning programmes and skill-building workshops including digital transition aimed at enhancing employee performance, productivity, and capabilities.

We ensure right guidance to our employees in the form of mentorship, leadership development program, and career assistance program to ensure they are comfortable in their current position and position post promotion. This approach reflects our commitment to keeping our workforce skilled, competitive, and aligned with evolving industry standards. During the year, we undertook several initiatives on Learning & Development for our employees.

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FY24 FY25
S. Total training hours for permanent
No. and contractual employees Male Female Male Female
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S. No.	Total training hours for permanent and contractual employees	FY24	FY24	FY25	FY25
		Male	Female	Male	Female
1.	Senior Management	561	20	1310	65
2.	Middle Management	7503	413	6197	1434
3.	Junior Management	27105	4247	30644	4440
4.	Non-Management Staf	151809	3119	109747	11197
5.	Temporary/Contractual Workers	11427	506	25679	2879

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To facilitate communication, we deployed our Marvellous Manager mascot, along with a module that displayed contrast in the characteristics of good and bad managers. This approach was designed to help participants better understand and remember the essential qualities of effective management.

‘Step-up’ workshop for first-time managers for developing managerial skills. The initiative was designed to support Officers as they transitioned into people management roles. During the year, 142 officers were part of the workshop.

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Skill Enhancement

We continue to prioritise skill enhancement for our workforce through structured, inclusive, and technology-enabled learning initiatives. We foster continuous learning and development across all levels through diverse approaches. This includes competency-based development with varied methodologies like classroom sessions, gamification, and experiential exercises for some, alongside a structured Skill Matrix driving targeted capability building for others. To support self-paced growth for everyone, we provide access to a rich repository of online courses and offline materials, ensuring an engaging and comprehensive learning experience for all employees.

Learning Management System

Learning Management System (LMS) offers diverse learning content tailored to individual development needs. It helps in deepening technical, functional, and domain-specific knowledge across roles. Employees can choose from variety of modules ensuring an engaging and comprehensive learning experience.

Aspire to Inspire

For our women workforce, we introduced the ‘Aspire to Inspire’ developmental journey program to empower female officers by providing them with essential skills and insights to enhance their professional growth.

As part of the ‘Aspire to Inspire’ developmental journey program, multiple workshops were conducted to facilitate deep engagement and interaction among participants. Through a series of interactive activities, the participants explored critical topics related to leadership, communication, and personal development.

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Diversity, Equity and Inclusion

At SRF, we are committed to building a workplace where diversity, equity, and inclusion are part of our culture. We actively work to maintain an environment that welcomes people of all backgrounds, regardless of gender identity, age, ethnicity, sexual orientation, disability, faith, or marital status. We maintain a zero-tolerance policy towards all forms of harassment, addressing issues through strong and transparent mechanisms. We take pride not just in having a diverse workforce, but in ensuring every individual feels respected, valued, and able to thrive.

We have made significant strides in cultivating a more inclusive culture, primarily through impactful communication and targeted gender sensitivity training with an aim to address unconscious biases across our teams. Based on these initiatives, we saw 31% increase in the representation of women in our permanent workforce in FY25, demonstrating substantial progress towards our commitment for enhanced female participation.

Additionally, we ensure to maintain a strong support system for our people, including a robust Prevention of Sexual Harassment (POSH) framework with Internal Committees comprising trained and unbiased members. We have a 24x7 helpline number for registering complaints on POSH. In addition to this,

Building Accessibility, Support, Inclusivity

We have taken meaningful steps to ensure support for people with disabilities. We keep conducting audits at all our facilities on parameters such as physical barriers, slope of ramps, accessible restrooms, and signage to identify areas for improvement and create a more inclusive environment.

Skill Evaluation System

Our skill evaluation system plays a key role in supporting the continuous learning and growth of our employees. It follows a structured approach to assess current skill levels and identify development areas, helping our workforce stay aligned with changing role requirements and organisational goals.

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we carried out Company-wide campaign including street plays to promote awareness on POSH and women’s safety. During the year, we also organised workshops on prevention of sexual harassment in vernacular languages for our employees to bring awareness and deepen participants understanding on recognising, preventing and addressing instances of sexual harassment.

We assess skills using three parameters i.e. assignments, on-the-job observation, and interviews. Each parameter is designed to evaluate different aspects of employee performance, with appropriate weightage given to each method. These evaluations are conducted annually and cover a wide range of technical parameters such as job-specific skills, environmental and safety practices, chemical and energy management, emergency preparedness, logical reasoning, and aptitude.

This process enables us to identify skill gaps and provide targeted training and development opportunities. More than just a performance review, our skill evaluation system serves as a driver of continuous improvement, empowering employees to enhance their capabilities and grow their careers within the organisation.

Human Rights

At SRF, we are committed to respecting human rights and maintaining a workplace free from any form of discrimination or harassment. We follow a strict zero-tolerance on any violation of human rights and actively address grievances raised by our stakeholders. Our Human Rights Policy has been developed referring to internationally accepted standards such as International Labour Organisation (ILO). The Policy outlines our pledge to prevent child and forced labour, ensure equal opportunities, and comply with relevant labour laws.

formal or informal communication. We also have robust systems for reporting human rights concerns, supported by our Code of Conduct and Whistle-blower Policy. Moreover, we make it our priority to ensure that our suppliers and contractors uphold the same human rights standards that we follow. Additionally, we invest in continuous skill development, health & safety initiatives and prioritise the overall well-being of our workforce.

We are committed to providing fair and equal opportunities for career growth to all our employees, including those returning from maternity or paternity leaves to echo our broader belief in creating a workplace rooted in fairness, inclusion, and respect for every individual.

We maintain a safe, healthy, and respectful work environment where employees feel secure and supported. Simultaneously, we encourage our employees and workers representations to provide inputs on improving working conditions through

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Parameters FY24 FY25
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Parameters	FY24	FY25
Number of employees entitled to parental leaves during the reporting period	7402	7640
Number of employees who took parental leaves during the reporting period	491	466
Number of employees who re-joined back after parental leave and stayed with the organisation for 12 months	478	459*

*7 employees are continuing their parental leave. They will rejoin in FY26.

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Performance and Career Development

In addition to this, we conduct an annual performance mapping exercise that serves as the foundation for evaluating overall contribution and growth potential for our employees. While promotions take place each quarter based on business needs and individual performance, they are carefully guided by the outcomes of this annual appraisal process to ensure fairness and consistency.

Recognising the hard work of our employees and workers is imperative to our overall growth. We consider that regular performance and career development conversations are essential to nurturing talent and unlocking potential within our teams. Employee evaluations serve as structured opportunities for employees and managers to align on performance expectations, review progress, and discuss future aspirations. We follow a structured approach to performance management that combines quarterly feedback along with a comprehensive annual review. This helps the employees stay aligned with their goals, understand expectations, and continuously improve their performance.

We also encourage open dialogue about career interests, helping employees identify the skills they need to advance and create development plans accordingly. This advances our goal to foster a culture of learning, accountability, and continuous improvement at every level of the organisation.

Rewards and Recognition

At SRF, we have built a merit-based Rewards and Recognition program to encourage and retain a skilled and diverse team. This programme includes a mix of financial rewards, non-monetary appreciation, and both informal and formal recognition methods. Whether through informal appreciation or structured recognition programs, we aim to acknowledge and celebrate the contributions of our employees.

Semi-Formal & Formal Award Monetary Award Informal/Day to Non-Monetary � Special � Significant Day Award � Appreciation Achievement Contribution Award � Verbal and Awards Awards Written � Special � Team Celebration � Significant Achievement Awards Appreciation Contributions � Team � Work Anniversary � Long Service Awards Awards Appreciation � Happy Hours � Spot Awards � Protsahan Awards

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Online Rewards and Recognition

Recognition plays a vital role in our culture, and we bring this to life through our dedicated Rewards & Recognition Policy, PRAISE. This Policy is thoughtfully designed to offer a variety of formal and informal avenues to celebrate the efforts and achievements of our employees. Through this framework, we acknowledge contributions through spot awards, special achievement awards, and significant contribution awards. We also make space for everyday recognition with birthday vouchers, well done cards, thank you cards, and nice idea cards. One of the key highlights is our annual “Protsahan” awards, which acknowledges exceptional performances. To ensure that recognition feels meaningful and visible, our local HR teams regularly host individual or group events that publicly celebrate and appreciate the awardees.

Occupational Health and Safety

We remain committed in ensuring a safe, healthy, and supportive work environment for all our employees and workers, including the contractual workforce. Our primary objective is to reduce workplace injuries and fatalities; and to prepare for and respond to emergencies by fostering a culture of safety across our operations. To ensure this, we have implemented a robust health and safety management system at all our manufacturing facilities, aligned with the internationally recognised ISO 45001:2018 standards. Based on outcomes of internal assessments on health and safety parameters across our plants, our health and safety teams have robust action plans in place

Labour Relations

We believe in maintaining a respectful and collaborative workplace. We strive to uphold conducive labour relations by fostering fairness, trust, and open communication across all levels of our organisation. Extending our commitment beyond regulatory compliance, we align our practices with international labour standards, including those set by the International Labour Organisation (ILO), and routinely conduct assessments to ensure we are meeting expectations and identifying areas for improvement. We ensure our workforce welfare measures – such as maximum hours of work, payment to workers on earned leave, etc. are robust and consistently upheld across all operations. We are committed to providing equal remuneration to our male and female workforce.

We also believe that a thriving workforce requires active participation and shared dialogue. To support this, we have set up various committees that bring together both management and non-management representatives. These include employee associations and committees for canteen management and health and safety as well. They serve as important platforms for raising concerns, sharing feedback, and working collaboratively toward solutions. We encourage and support these efforts as they help build a more inclusive and responsive workplace.

to ensure a safe and healthy workplace. Additionally, our EHS teams regularly engage with workers and workers’ representatives on improvement of working conditions.

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S.
No. [Category] Unit FY24 FY25
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S. No.	Category	Unit	FY24	FY25
1	First Aid Injuries	No.	196	202 0.18
2	Lost Time Injury / Frequency Rate (per one million-person hours worked)	No.	0.19

Refer BRSR principle 3 for more details

Grievance Redressal

Maintaining trust and accountability is central to how we operate at SRF. That’s why we have built a culture that values open communication and encourages stakeholders – be it our employees, investors, partners, or shareholders – to voice their concerns, feedback, and suggestions.

We have implemented a structured grievance redressal system that includes individual feedback, surveys, and engagement through various associations. These mechanisms help us address a wide range of concerns, from policy-related matters and workplace conditions to health, safety, or employee conduct. This approach enables us to resolve issues efficiently while reinforcing our commitment to transparency, respect, and continuous improvement.

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Trainings on Safety

We are committed to managing a safe and secure work environment. To uphold this, we have robust health and safety training programmes and awareness sessions across our manufacturing units. These trainings are designed to proactively address potential risks, build a strong safety culture, and ensure adherence to all relevant regulatory standards. By equipping our workforce with essential safety knowledge, we ensure their well-being and operational excellence.

Our training programs cover critical areas like:

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Hazard Identification Machinery and Emergency and Risk Assessment Equipment Safety Preparedness Safe Work Chemical Handling Health & Practices and Safety Wellness

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Our efforts have translated into tangible benefits for us:

Cost Efficiency: By investing in preventive safety measures, we have effectively minimised expenses associated with workplace injuries, claims, and equipment damage.
Increased Productivity Levels: A safe and secure work environment fosters employee confidence and morale, which translates into better focus and overall efficiency.
Strong Regulatory Compliance: Our consistent alignment with health and safety regulations helps us avoid legal challenges and ensures smooth operations.

Impact of Human Capital on other Capitals

01 02 Financial Capital: Higher Intellectual Capital: Expand earnings for the workforce intellectual assets, strengthening and the Company competitive advantage 03 04 Natural Capital: Drive Manufactured Capital: resource efficiency and Optimal use and reduce environmental continuous improvement of footprints in operations Company assets, boosting productivity and asset longevity 05 Social & Relationship Capital: Form meaningful connections, collaboration, and the ability to build trust and rapport with stakeholders

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Corporate Our 02 12 92 Overview Approach to ESG

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Natural
Capital
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At SRF, our dedication lies in minimising our environmental footprint via the implementation of sustainable practices throughout all operational areas. We view environmental stewardship not just as an obligation, but as a fundamental enabler of our long-term growth. Our dedication and commitment towards environmental sustainability is aligned with one of the “Aspirations 2030” i.e. Environmental and Social Responsibility.

Key Highlights

32% reduction of freshwater withdrawal in FY25 as compared to previous year.

Utilised 1,667 TJ of green energy

More than 6% reduction in GHG emission intensity (tCO2e/ ` Lakhs of revenue) in FY25 as compared to previous year.

20,12,729 KL of water recycled

Key Stakeholders impacted

UN SDG linkages

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Suppliers Customers

Communities

Regulatory Investors/ Bodies Shareholders

BRSR Linkage

Material Issues addressed

Energy GHG Emission Management Reduction Air Water Emissions Conservation

Principle 2 -

Businesses should provide goods and services in a manner that is sustainable and safe

Principle 6 -

Businesses should respect and make efforts to protect and restore the environment

Waste Management

We view sustainability as a continuous journey – one that shapes how we grow, adapt, and lead responsibly. We aim to ensure continuous improvement of environmental performance. At SRF, we are driven by a deep-rooted culture of excellence that extends across our entire value chain. Our commitment on sustainability goes beyond compliance – we embed quality, environmental responsibility, occupational health and safety, and energy efficiency into the very fabric of our operations. Guided by a robust Integrated Management System built on globally recognised standards - ISO 14001:2015, and ISO 50001:2018, we ensure that our day-to-day actions consistently align with our aspirations. In line with our commitment on environmental management, we keep providing trainings and conduct awareness sessions for our workforce on energy management, water efficiency, waste management to help build practical knowledge and nurture a responsible workforce.

Our Technical Textiles Business manufacturing facilities in Gummidipoondi and Viralimalai have been rated Bronze by

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Ecovadis Sustainability Rating

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Energy Management

Given the nature of our operations, we acknowledge that we operate within an energy-intensive industry. At SRF, we adopt a proactive approach to energy management, driven by the commitment to reducing our energy footprint. We are committed to enhancing our energy efficiency by continuously exploring and adopting innovative technologies that reduce consumption and improve operational performance. At the same time, we are increasing the share of renewable energy in our overall energy mix.

In FY25, our total energy consumption stood at 13,052 TJ, with approximately 13% derived from renewable sources. Our primary fuel mix includes both renewable and non-renewable fuels, such as biomass, rice husk, natural gas, diesel, and coal. Notably, our electricity consumption from renewable sources increased by more than 35%, rising to 1,667 TJ from 1,236 TJ in the previous year.

Trend of Renewable Electricity share in Total Electricity

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----- Start of picture text -----

31.32%
19.83%
18.81%
15.61%
FY22 FY23 FY24 FY25
2,46,427
1,43,833
1,03,056
87,808
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Renewable Electricity (MWh) % of Renewable Electricity

In line with our commitment to source 30% of our electricity from renewable sources by 2030, we increased our renewable electricity consumption from 15.61% in FY22 to 31.32% in FY25. This accomplishment can be attributed to the increase in procurement of solar and wind electricity from 1,43,833 MWh in FY24 to 2,46,427 MWh in FY25. Majority of the renewable electricity procurement was done in our Chemical Business and Technical Textiles Business facilities through Power Purchase Agreements (PPA) with third parties. As a way forward, we are actively working to grow our renewable electricity portfolio by investing in hybrid power generation projects and procurement of renewable power from external sources.

During the year, we have implemented several energy efficiency initiatives at our facilities. These measures focussed on optimising equipment performance, replacement of higher energy consuming equipment, and enhancing process automation.

In the Chemical Business, our initiatives such as optimisation and improvement of chiller operation by doing common brine network circuit, replacement of cooling tower fan with energy-efficient fan and existing motors with energy-efficient motors resulted in savings of more than 25 lakh kWh
In the TTB, we were able to save more than two lakh kWh through the installation of a “Direct Evaporative Cooling Unit”, resulting in significant reductions in energy consumption and operational costs
In the PFB, we replaced chilled water with additional closed loop cooling tower line from Resin Plant, improving flow and cooling efficiency. Further, the frequency of our cooling water pump was brought down from 50Hz to 40Hz, saving around 360 kWh per day
Additionally, we also introduced Control-based energy saving to avoid unnecessary energy use during off-cycle

Our business-wise energy savings is depicted below:

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GHG Emissions

We track our greenhouse gas (GHG) emissions by following the GHG Protocol Corporate Accounting and Reporting Standard. We stand committed to reduce our GHG emissions and the adverse impacts of climate change. To achieve this, we have implemented various energy efficiency initiatives across our operations and are working to reduce our reliance on fossil fuels, while increasing the share of renewable energy in our energy mix. Based on our procurement of electricity from renewable resources, our Scope II emissions reduced from 4,16,445 MTCO2e to 3,93,064 MTCO2e in FY25, resulting in overall reduction in GHG emissions intensity by more than 6%.

Our Chemicals Business is certified with ISO 14064-1: 2006 (verification of our GHG emissions). In line with global standards, we have fully ceased production of halons and phased out Chlorofluorocarbons (CFCs)

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from our processes, investing instead in innovative and more sustainable technologies.

For Scope I & II GHG emissions, refer to Principle 6 of BRSR. For more details, please refer to the Annexure VII section of our Board’s Report: Conservation of Energy – Measures taken.

Air Emissions

We closely monitor the air pollutants generated by our operations. We have implemented systematic tracking mechanisms for key utilities, including boilers and diesel generators, across our facilities. Our thorough monitoring approach reflects our commitment to ensuring air emissions are well below the prescribed limits of respective State Pollution Control Boards. Refer to Principle 6 question 7 of our BRSR Report for air pollutant details.

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Water Management

We are committed to continually improving our water conservation practices to reduce our reliance on freshwater. We have implemented various water-saving technologies, such as using recycled and treated wastewater in our operations and have adopted rainwater harvesting techniques. We ensure awareness sessions and trainings on water efficiency management are provided to our workforce. These trainings include educating employees on water conservation practices and the importance of our water-saving initiatives.

In line with our commitment to water conservation, we have multiple installations in our facilities to enhance our water management practices. We have partnered with local authorities to establish a seawater desalination plant, further reducing our dependence on freshwater sources.

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FY23 FY24 FY25
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	FY23	FY24	FY25
Water Withdrawal (excluding seawater) (in kilolitres)	53,59,141	49,03,252	33,47,378
Water Discharge (excluding seawater) (in kilolitres)	12,634	12,018	-
Total Net Freshwater consumption (in kilolitres)	53,46,507	48,91,234	33,47,378

Waste Management

We have comprehensive waste management procedures that ensure all waste generated on-site is handled responsibly. Our focus is on actively monitoring, minimising, reusing, and recycling waste and effluents from our operations. We adhere to applicable laws and regulations while disposing of waste from our facilities.

We are focussed on implementing a sustainable approach on waste management through our 3R strategy – reducing, reusing, and recycling. We keep investing in programmes across our businesses which help in minimising all type of wastes. We minimise the disposal of industrial waste and reduce reliance on virgin chemical inputs. This not only helps in conserving natural resources but also decreases the environmental burden associated with raw material extraction and processing.

Our factories are equipped with state-of-the-art wastewater treatment systems, ensuring that the water we discharge meets the regulatory standards set by Pollution Control Boards. To maintain accountability, the quality of the treated water is regularly monitored by independent external agencies.

To minimise our water wastage, we have adopted a proactive approach towards Zero Liquid Discharge (ZLD). 11 of our facilities are ZLD plants, assuring our efforts towards responsible water management practices. In FY25, we reduced our total water discharge by 16% from the previous year.

In a move towards greater sustainability, our Chemical Business plant in Dahej is using desalination water treated by Gujarat Industrial Development Corporation (GIDC) Dahej as an input, thereby reducing our freshwater footprint. With this initiative, our freshwater withdrawal was reduced by 57% during the year in Dahej.

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We keep providing training and awareness on waste reduction training to our workforce engaged at our facilities. These trainings help the workforce with practical knowledge and skills to minimise waste generation at all levels. By fostering a collective effort, we aim to significantly reduce our environmental impact.

During the year, we implemented several initiatives such as

recycling paper tubes and shell rolls in our Technical Textiles Business. We were able to recycle 60% of paper tube and 89.8% of shell roll.

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Environmental Awareness

Biodiversity Management

We believe that care for environmental starts with awareness. We are committed in keeping our employees, workers, and vendors informed about key environmental topics and how we can all contribute to a more sustainable future.

We recognise the critical importance of preserving biodiversity around our business units and are fully committed to supporting these efforts. Through initiatives like partnering with external stakeholders, we actively contribute to biodiversity conservation, plantation with an aim to have a net positive impact on biodiversity.

We provide comprehensive trainings to our workforce. These trainings focus on educating them about our Company’s environmental footprint and the importance of sustainable practices. This initiative aims to foster a culture of environmental responsibility across the organisation.

We also prioritise raising awareness about the significance of biodiversity among all our stakeholders. By collaborating with local communities, schools, and NGOs, we promote environmental education and encourage employee participation in conservation activities, such as tree plantation drives and awareness campaigns. Through these efforts, we aim to foster a culture of environmental responsibility and make a lasting impact on biodiversity preservation.

Impact of Natural Capital on other Capitals

01 03

02 04

Financial Capital: Sustainable Intellectual Capital: Inspiring use of resources lowers costs, research and development into ensures supply chain resilience, manufacturing of sustainable materials and strengthens profitability

Manufactured Capital: Ensure a steady, quality supply of natural resources that optimise production efficiency

Human Capital: Supports in good health and well-being of our people, promote environmental sensitisation

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05 Social & Relationship

Capital: Foster trust and goodwill through environmental responsibility and sustainability efforts with stakeholders

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Social &
Relationship
Capital
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UN SDG linkages

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BRSR Linkage

Principle 4 - Businesses should respect the interests of and be responsive to all its stakeholders

Principle 7 - Businesses, when engaging in influencing public and regulatory policy, should do so in a manner that is responsible and transparent

Principle 8 - Businesses should promote inclusive growth and equitable development

Principle 9 - Businesses should engage with and provide value to their consumers in a responsible manner

Key Stakeholders impacted

Employees Communities

Customers

Local Communities

Suppliers

Material Issues addressed

Water Conservation

Employment

Community Relations and Engagement

During the year, our SRF Foundation received the following awards from government bodies, corporates, NGOs, etc. during the reporting year for the promising contribution to the identified CSR focus areas, reflecting our concerted efforts to societal welfare.

Driven by our commitment to creating lasting social value, we established the SRF Foundation in 1982 as the dedicated CSR arm of SRF Limited. Originally known as the Society for Education and Welfare Development, the Foundation reflects our belief that businesses must serve a greater purpose beyond profit. It embodies our vision to contribute meaningfully to society and build stronger, more inclusive communities.

Key Highlights

Continuous engagement with Stakeholders

`C` 25.99 Cr. spent on CSR projects

4.67 lakhs+ beneficiaries

Streamlined Business

18.41% material sourced from MSMEs

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NQAS Certification

Awarded by – Ministry of Wealth and Family Welfare Focus area – Healthcare

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Bhamashah Award

Awarded by – Govt of Rajasthan Focus area – Education (REP in Bhiwadi)

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Best CSR Partner in Employee Engagement 2024

Awarded by – Capgemini Technologies Pvt India Ltd Focus area – Employee Engagement

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Recognition for being among the top 5 CSR Companies

Awarded by – Ministry of State Government Uttar Pradesh Focus area – Education

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We are deeply committed to the holistic development of the communities where we operate, knowing that our identity and long-term success are closely tied to their well-being. This belief drives our approach to Corporate Social Responsibility (CSR), which is built around addressing the most pressing needs of our country. Our initiatives focus on areas that make a meaningful difference such as:

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Vocational Environmental
01 Education 02 03
Skills Program Sustainability
Promotion of Promotion of Art
04 Healthcare 05 and Culture
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Education

seven government schools across the Nuh District. With a strong focus on practical learning, we teach coding, robotics, AI, IoT, and 3D printing through weekly sessions. We also train teachers, reach out to the community through events, and showcase our students’ work. As part of the initiative, we gifted computers to outstanding performers, extending their access to technology and the internet.

Through our Mewat Rural Education Program (MREP), we have set up the Tinker Coding Program to change the STEM education paradigm in rural Haryana. The goal of this program is to create a centre of excellence in digital education that nurtures innovation and equips youth in rural areas with the present and future. Striving to close the gaps in innovation and technology, we established STEM and Tinker Labs in

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Location of initiative: Nuh (Mewat)

Objective of the initiative

As part of our Mewat Rural Education Program (MREP), we launched the Tinker Coding Program with the objective of bringing STEM and coding education to students in rural areas of Nuh, Haryana. Through this initiative, we aim to create meaningful learning opportunities that spark curiosity and build 21st-century skills among schoolchildren.

Activity

To support this goal, we integrated the program into the curriculum of seven government schools. Each school was equipped with a fully functional STEM lab featuring 3D printers, Arduino kits, robotics tools, and other digital learning resources. This hands-on infrastructure empowers students to explore science, technology, engineering, and mathematics in an engaging and practical way.

Implementation

Hiring of Specialised Technicians: Specialised Engineers and support staff were hired to develop learning materials, educate the instructors, and guide the students.
Capacity Building: Engineers and Instructional staff were recruited to fill the vacant positions after undergoing intensive training in coding, microcontroller and robotics children, as well as 3D printing, so that they would be able to conduct lab sessions.
Weekly Workshops: Structured training sessions for students and instructors were conducted on three days of the week with focus on Scratch, Blockly, Python, Arduino, as well as problem-solving and applying knowledge to real-life situations.
Student Projects & Competitions: Students showcased their understanding of the lessons taught by designing prototypes such as robot obstacle avoiders, smart dustbins, and solar powered chargers.
Grand Opening Ceremonies: Accompanied by members of the community & government, the labs were opened earmarking them to aid in the increase of awareness and for posterity purpose.

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Remote Access to Technology: 56 computers were refurbished and allocated to students who excelled.

Impact

Over 480 students were trained in coding, robotics, electronics, and problem-solving, equipping them with critical 21[st] -century skills.
Students developed impressive real-world prototypes, such as a smart dustbin, solar-powered charger, and obstacle-avoiding robot, reflecting increased creativity and innovation.
Several students went on to participate in districtand state-level competitions, gaining exposure, recognition, and confidence on broader platforms.
7 modern STEM labs were fully established in government schools, creating sustainable hubs for hands-on learning.
Teachers received ongoing training, enabling long-term program sustainability and improved classroom instruction.
56 personal computers were distributed to highperforming students to support home-based learning and digital access.
The program increased community awareness, student attendance, and engagement, while also inspiring other schools to adopt similar models.

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Vocational Skills Program

Location of initiative: Mewat, Dhar, Bhopal, Bharuch and Kashipur

Objective of the initiative

Reducing the digital divide in intervention school and villages
Promote the academic excellence in the school among students and teachers
Enhancing the digital skill among youth
Promoting the community development through linkage of government programme and initiatives

Activity

To bring awareness, we supported academic classes through Smart Shiksha Digital Bus and Basic Computer Literacy Classes to youth. These programmes aim to provide accessible learning opportunities and equip young individuals with essential digital skill. Additionally, we organised awareness sessions to educate the community on various social issues, programmes and local challenges.

Implementation

Throughout the year, we conducted 5013 curriculumbased classes
Held multiple awareness sessions across the region to engage with the community and educate on the local challenges
Conducted 66 batches of BCLC sessions for community and students to provide basic knowledge of computer skills
Extended doorstep services to simplify access to digital tools and facilities
Held 53 movie screening sessions across localities

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Impact

� 1,11,581 students and 2,455 teachers participated and benefited from interactive learning sessions through Smart Shiksha Digital Bus

42,604 community members took part in awareness sessions, increasing awareness and understanding
We trained 1201 individuals, equipping them with essential digital skills through our BCLC (Basic Computer Literacy Course) sessions
37,585 people benefited directly from doorstep digital services
700 community members participated in movie screenings, fostering interest in learning and child education

Driven by our belief that skilling is a powerful tool for transformation, we, at SRF Foundation, focus on delivering quality education and vocational training to underserved children and youth across India. We collaborate with like-minded partners to upgrade infrastructure in government schools, promote computer-aided learning, and ensure digital access for communities across the country.

Location of initiative: Mewat, Bhiwadi, Kamrup, Bharuch, Bhind, Bhopal, Dhar

Objective of the initiative

Our SRF Foundation aims to equip students with practical skills, help them explore different career options and ensure they are better prepared for the workforce in the future. This initiative also contributes to bridging the gap between academic education and real-world industry needs.

Activity

Our sessions are held regularly in schools, complemented by expert-led guest lectures on various trades and industrial exposure visits to help students better understand the dynamics of different sectors. In parallel, we have also focussed on building the capacity of our own team through dedicated training sessions and exposure visits to other project locations.

Implementation

Conducted employability skills sessions across schools, supported by 126 guest lectures from industry professionals
Facilitated 132 exposure visits for students to gain first-hand experience of workplace environments and industry expectations
Delivered specialised training for trainers on “The Skilling Ecosystem in India and Implementation of Vocational Education in Schools as per NEP 2020”

We have aligned our efforts with National Education Policy (NEP) 2020 by supporting vocational education initiatives for students from Classes VI to XII, helping them discover new career pathways and build practical skills for the future.

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Organised an exposure visit for our trainers to enhance their understanding of vocational project implementation
Held 97 meetings with government officials to ensure stronger collaboration and scalability of the initiative
Conducted 1 internal capacity-building workshop for our project team

Impact

Reached 113 government schools spread across 7 locations in 5 states and 7 districts
Benefited 25,007 students in total – comprising 13,004 boys and 12,003 girls

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We partnered with Schneider Electric India to implement a collaborative skill development initiative aimed at empowering youth. Under the joint effort, Schneider Electric brings in its technological expertise by setting up the training centre, equipping the labs, developing the curriculum, and providing necessary infrastructure. Meanwhile, we look after the on-ground implementation, including community mobilisation to deliver impactful training, facilitate placements, and ensure smooth operations. The partnership enables us to offer a well-rounded, high-impact program that benefits not just the youth, but also contributes meaningfully to the broader community.

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Location of initiative: Mewat - Haryana,

Bhiwadi - Rajasthan, Noida - Uttar Pradesh, Bhind - Madhya Pradesh, Gwalior - Madhya Pradesh, Dhar - Madhya Pradesh, Manali - Tamil Nadu, Gummidipoondi
Tamil Naidu, Bengaluru - Karnataka, Udham Singh Nagar - Uttarakhand, Bharuch - Gujarat

Centres:

BETP Mewat: Nuh (Mewat) Haryana,

BETP Bhiwadi: Bhiwadi, Rajasthan,

BETP Noida: Gautam Budh Nagar, Uttar Pradesh, BETP Bhind (Gohad): Bhind, Madhya Pradesh, BETP Sanjay Nagar: Gwalior, Madhya Pradesh, BETP Dhar: Dhar, Madhya Pradesh, BETP Nalcha: Dhar, Madhya Pradesh, BETP Manali 1: Manali, Tamil Naidu, BETP Manali 2: Manali, Tamil Naidu,

BETP Gummidipoondi: Gummidipoondi,Tamil Nadu, BETP Bengaluru: Bengaluru, Karnataka, BETP Kashipur: Udham Singh Nagar, Uttarakhand, BETP Bharuch: Bharuch, Gujarat

Activity

We offer a comprehensive four-month training programme focussed on electrician skills, household wiring, and basic electrical equipment repair. The curriculum also covers essential soft skills such as communication and problem-solving skills. Training is delivered through a mix of theoretical sessions, hands-on practical in a fully equipped lab, guest lectures, and exposure visits.

Objective of the initiative

Skill Enhancement and Empowerment: To enhance the technical and vocational skills of underprivileged youth, including school dropouts, enabling them to become competent in the electrician trade

Implementation

Employment and Livelihood Promotion: To increase employability and create sustainable livelihood opportunities through targeted skill development and industry-relevant training
Enrolment and placement – A total of 1,198 students enrolled in the programme, with 758 successfully placed in relevant employment opportunities
Industry Exposure – The programme conducted 246 guest lectures and 135 exposure visits, providing students with practical insights and industry experience
Socio Economic Upliftment: To support the economic advancement of marginalised families by empowering youth to achieve financial independence and stability
Workforce Development and Equity: To develop a technically-skilled workforce for local markets and industries, while contributing to reducing the income disparity between different socio-economic groups
Recognition of achievement – 35 convocation ceremonies were held to knowledge and celebrate the accomplishment of the trainees.

Environmental Sustainability

To promote environmental sustainability, the farmer livelihood enhancement initiative focusses on improving the overall well-being of farming communities by addressing the root causes of agricultural distress that directly impact livelihoods and food security. Recognising that plant health is integral to farmer health and economic stability, the initiative introduces tissue culture banana plants to replace virus-prone traditional planting methods. By enabling access

Location of initiative: Bharuch, Gujarat

Objective of the initiative

To promote income security and sustainable agriculture among marginal and economically vulnerable farmers by encouraging diversification into horticulture farming. This is achieved by providing access to high-quality, disease-resistant saplings at subsidised rates, thereby enabling improved crop yield, better market opportunities, and enhanced resilience to climate change and economic challenges.

Activity

We conduct regular farm surveys and deliver tailored training – both individual and group sessions – to all beneficiaries at key stages of plant growth. These sessions are designed to build farmers’ capacity, ensure healthy crop development, and equip them with best practices to achieve a productive and profitable harvest.

Implementation

Distributed more than 6 lakhs high-quality saplings at subsidised rates among 250 marginal and needy farmers to encourage diversification into horticulture
Conducted periodic farm surveys to monitor crop progress and identify support needs
Provided stage-wise individual and group training sessions to farmers to ensure healthy plant growth and improved cultivation practices
Offered continuous technical support throughout the plant lifecycle to enhance productivity
Documented impact and farmer success stories to showcase outcomes and demonstrate the effectiveness of the initiative

to disease-free, high-yielding planting material at subsidised rates, the initiative helps reduce crop losses, enhance productivity, and ease the financial and mental stress on farmers – ultimately contributing to healthier and more resilient rural communities. The initiative also mobilises farmers through Gram Panchayat and village-level meetings to raise awareness about the benefits of horticulture.

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Impact

Strengthened farmers’ understanding of modern horticulture techniques, leading to improved cultivation practices
Enhanced the quality and quantity of crop yield through timely technical guidance and monitoring
Increased farmer confidence in adopting high-value crops like tissue culture bananas
Promoted sustainable farming by reducing crop losses and dependency on traditional virusprone methods
Improved household income and livelihood security for marginal and smallholder farmers
Fostered a sense of community learning through group training sessions and shared experiences

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Healthcare

We are committed to providing essential financial support for the necessary upgrades to healthcare facilities . We aim to resolve the critical issue of select private hospital access in Nalchha. To achieve this, we are developing comprehensive systems and processes

in close collaboration with existing health centres. Ultimately, our overarching goal is to establish the finest possible healthcare infrastructure for the entire community of Nalchha.

Location of initiative: Nalchha (DHAR)

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Objective of the initiative

To establish optimal healthcare facilities in Nalchha by developing systems, coordinating with health centres, and providing financial support for facility upgrades, thereby addressing the lack of private hospital availability.

Activity

The initiative-Primary Health Centre focussed on both infrastructure development and staff capacity building to improve the quality of healthcare services in the Nalchha region.

Implementation

Conducted targeted training programmes to strengthen healthcare staff competencies and improve patient care delivery

Impact

Constructed new toilets to improve hygiene standards and enhance patient comfort
Reached a total population of 57,092 individuals through improved healthcare services
Installed proper seating arrangements and designated waiting areas for patients and their attendants
Covered 51 villages under the Primary Health Centre (PHC) with enhanced medical infrastructure and support
Set up Smart TVs in labour rooms and wards to �
disseminate health-related information to caregivers Strengthened community trust and confidence in and visitors private healthcare services through consistent and reliable interventions
Upgraded labour rooms and patient wards to strengthen maternal and child health services
Developed a garden space to offer a serene and calming environment for patients and visitors

Promotion of Art and Culture

In association with NDMC & SPIC MACAY, we organised “Music in the Park” event. The event showcased live performance of renowned classical singers. More than 8,000 people from all age groups, genders and generations, attended the show.

In collaboration with SPIC MACAY Virasat, we launched the “SRF Virasat” initiative to organise concerts on Indian classical music and dance activities in schools and colleges. The programme conducted cultural education workshops that focus on music and dance forms such as Bharatnatyam, Kathak, Kuchipudi, Mayurbhanj Chhau, Violin, Mridangam, Tabla, Hindustani Vocal, Carnatic Vocal, etc. to educate participants about the rich heritage of these art forms.

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Further, the initiative also offered intensive training programmes specifically designed for aspiring tabla artists, ensuring that the next generation of musicians receives high-quality instruction and mentorship. The initiative also created sustainable livelihood opportunities for traditional artists by offering them platforms to perform, teach, and engage with young learners. Under this programme, a dedicated Tabla Gurukul trained over 100 students, equipping them with classical music skills and preparing them to carry forward the heritage as future artists.

Customer Relationship

At SRF Limited, placing customers at the heart of everything we do is fundamental to how we operate. We focus on building strong, long-term relationships by understanding their evolving needs, consistently delivering quality products, and ensuring clear and honest communication. This approach allows us to create partnerships that are built on trust and contribute to shared success.

Enhancing our customer experience

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Swift Complaint Resolution

Inclusive Engagement

Customer Experience Insights

Foster meaningful connections Quickly address customer with customers from diverse concerns for enhanced segments satisfaction

Gain valuable customer insights through enhanced experience

Efficient Digital Access

Commitment to Quality Delivering excellence through quality products and services

Streamline access to informaton through digitisation for faster retrieval

To strengthen these relationships, we regularly collect and analyse customer feedback through satisfaction surveys. These insights guide us in improving our products and services, helping us maintain high standards of customer service. Through this continuous engagement, we demonstrate our commitment to responsible business practices and stakeholder satisfaction. We are also guided by international standards like ISO 9001:2015, maintaining robust quality control processes in place to demonstrate our commitment to quality and lead increased customer satisfaction.

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Product Labelling

As part of our commitment to responsible product stewardship, we ensure that critical product-related information is clearly communicated through accurate labelling. Each label includes key details such as usage instructions, product grade, dimensions, gross weight, and applicable regulatory requirements, enabling customers to use our products safely and effectively.

We also provide comprehensive support material where relevant – such as safety data sheets, Zero ODS compliance information, handling guidelines, and hazard classifications for substances classified as hazardous. Our Chemicals business adheres not only to domestic laws but also to globally recognised regulations, including the Globally Harmonised System (GHS), Classification, Labelling and Packaging (CLP) notification, and the International Maritime Dangerous Goods (IMDG) Code, ensuring full compliance with international safety and labelling standards.

Our history in fluorochemicals demonstrates our commitment to sustainability through our transition from CFCs to HCFCs and then to HFCs, empowering customers to use refrigerants with lower Global Warming Potential. We are one of the largest manufacturers of ozone-friendly refrigerants like F134a and F32, with

in-house developed technology. This makes us the go-to Company for the ozone-friendly refrigerants.

Sustainable Product Offerings

At SRF, we view sustainability as a core element of long-term business success. We are committed to offering products that are not just sustainable, but also affordable and widely accessible. As part of our commitment, we invest in design thinking, innovation, and new technologies to develop sustainable solutions that align with the needs of both our customers and the care for environment.

Our work in the fluorochemical segment highlights our commitment. We have transitioned from CFCs to HCFCs and now to HFCs, helping customers adopt refrigerants with lower global warming potential. As the only Indian manufacturer of ozone-friendly refrigerants like F134a and F32 with in-house technology and full backward integration – we ensure high quality and cost efficiency. Our integrated facilities and strong R&D foundation enable us to anticipate market needs and respond effectively. In specialty chemicals, we continue to expand our product portfolio and capabilities beyond fluorine chemistry, with a focus on complex custom synthesis and contract manufacturing.

Responsible Supply Chain

Our supply chain plays a vital role in shaping the sustainability and success of our operations. At SRF, we work closely with our suppliers, understanding that their practices have a direct impact on the environmental and ethical footprint of our products. We build long-term, trust-based relationships rooted in transparency, collaboration, and mutual respect, ensuring that integrity and compliance are upheld throughout our value chain.

We have a Supplier Code of Conduct which outlines the expectations for suppliers, manufacturers, and distributors to align with our Company’s values. Key components of the Supplier Code of Conduct include:

Compliance with Laws	Labour and Human	Ethical Business
and Regulations	Rights	Practices
Continuous Improvement	Environmental Responsibility	Data Privacy and Security
Quality and Product Safety	Supplier Diversity and Inclusion	Non Discrimination

To promote responsible sourcing, we conduct regular training and awareness sessions with our suppliers and buyers. The training and awareness sessions focus on abiding by our Code of Conduct, ensuring Human Rights, and broader sustainability expectations such as use of recycled and reused inputs.

For critical raw material procurement, we have established long-term vendor agreements supported by formula-based pricing and automated ordering systems – measures that not only secure uninterrupted supply but also promote efficiency and accountability in our procurement practices. Additionally, we are aligned with “Make in India” initiative by increasing local procurement of our raw material.

Impact of Social and Relationship Capital on other capitals

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01 02
Intellectual Capital: Facilitates Human Capital: Fostering
collaboration, effective sharing an environment that enhances
of knowledge and ideas. individual well-being and skill
development.
03 04
Manufactured Capital: Drive Natural Capital: Encourage
innovation in the design and adoption of sustainable practices in
application of products, leading own facilities and value chain.
to more efficient and effective
production processes.
05
Financial Capital: Strong
stakeholder relationships improve
brand reputation, market access,
and investment opportunities.
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Business Responsibility
& Sustainability Report
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SECTION A: GENERAL DISCLOSURES

I. Details of the entity

1 Corporate Identity Number (CIN) of the L18101DL1970PLC005197 Listed Entity
2 Name of the Listed Entity SRF Limited
3 Year of incorporation 1970 4 Registered office address The Galleria, DLF Mayur Vihar, Unit No. 236 & 237, Second Floor, Mayur Place, Noida Link Road, Mayur Vihar Phase I Extn, Delhi - 110 091
5 Corporate address

Block - C, Sector - 45, Gurugram, Haryana, India - 122 003

6 E-mail [email protected] 7 Telephone 91-124-4354400 8 Website www.srf.com
9 Financial year for which reporting is 1[st] April 2024 to 31[st] March 2025 being done
10 Name of the Stock Exchange(s) where 1. BSE Limited 2. The National Stock Exchange of India shares are listed Limited
11 Paid-up Capital ` 296.42 Crore
12 Name and contact details (telephone, Rajat Lakhanpal email address) of the person who may be Sr. Vice President contacted in case of any queries on the (Corporate Compliance) & Company Secretary BRSR report Email - [email protected] Contact - 0124-4354589
13 Reporting boundary - Are the disclosures Disclosures under this report are made on standalone under this report made on a standalone basis for SRF Limited basis (i.e., only for the entity) or on a consolidated basis (i.e., for the entity and all the entities which form a part of its consolidated financial statements, taken together):
14 Name of assurance provider BDO India LLP 15 Type of assurance Reasonable Assurance for BRSR Core parameters

II. Products/services

16. Details of business activities (accounting for 90% of the turnover):

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S. Description of Description of Business Activity % of
No. Main Activity Turnover of
the entity
1 Chemical Business Chemicals Business consists of two segments, namely 56.84
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1	Chemical Business	Chemicals Business consists of two segments, namely	the entity 56.84
		Specialty Chemicals and Fluorochemicals located in Dahej,
		Gujarat and Bhiwadi, Rajasthan.
2	Performance Films &	Performance Films & Foil Business (PFB) consists of	22.22
	Foil Business	Polyester Films. PFB manufacturing locations are based in
		Indore (3) in Madhya Pradesh and Kashipur in Uttarakhand.
3	Technical Textiles	Technical Textiles Business (TTB) consists of manufacturing	17.28
	Business	of Tyre Cord Fabrics, Belting Fabrics and Industrial Yarn. TTB
		has manufacturing locations in Manali, Gummidipoondi and
		Viralimalai in Tamil Nadu and Malanpur in Madhya Pradesh
4	Laminated Fabric	Manufactures PVC laminated polyester fabrics. Located at	1.53
	Business	Kashipur in Uttarakhand
5	Coated Fabric	Manufactures yarn, weaving, coating, printing and	2.12
	Business	lacquering. Located at Gummidipoondi in Tamil Nadu.

17. Products/Services sold by the entity (accounting for 90% of the entity’s Turnover):

S.	Product/Service	NIC	% of total Turnover
No.		Code	contributed
1	Specialty Chemicals	2029	33.34
2	Fluorochemicals, Refrigerant Gases and allied products	2011	19.41
3	Packaging Films	2220	22.52
4	Nylon Tyre Cord Fabric / Polyester Tyre Cord Fabric / Belting Fabric	1399	15.01
5	Industrial Chemicals	2011	3.61
6	Laminated Fabric, Coated Fabric and other ancilliary activities	1399	3.72
7	Synthetic Filament Yarn includingIndustrial Yarn/Twine	2220	2.33

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III. Operations

18. Number of locations where plants and/or operations/offices of the entity are situated:

Location	Number ofplants	Number of ofces	Total
National	10	7	17
International	0	0	0

S. No. Particulars Total (A)	Male Female
	No.(B) %(B / A) No.(C) %(C / A)
DIFFERENTLY ABLED WORKERS
4. Permanent (F) 8 8 100 0 0 5. Other than Permanent (G) 1 0 0 1 100 6. Total workers(F + G) 9 8 89 1 11

19. Markets served by the entity:

a. Number of locations

Locations Value(in numbers)
National (No. of States) 28 States and 8 Union Territories
International(No. of Countries) 89

b. What is the contribution of exports as a percentage of the total turnover of the entity?

The contribution of exports as a percentage of total turnover of the Company on standalone basis is 40.05%

c. A brief on types of customers:

Our customer base consists of organisations in the automotive, pharmaceuticals, air conditioning and refrigeration, manufacturing, chemicals, food and agriculture, renewable energy, lifestyle and decor, agrochemicals, mining, and FMCG sector

IV. Employees

20. Details as at the end of Financial Year (FY 2024-25):

a. Employees and workers (including differently abled):

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S. Particulars Total (A) Male Female
No. No. (B) % (B / A) No. (C) % (C / A)
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		EMPLOYEES	EMPLOYEES
1.	Permanent (D)	3,838	3,455	90	383	10
2.	Other than Permanent (E)	15	12	80	3	20
3.	Total employees(D + E)	3,853	3,467	90	386	10
		WORKERS
4.	Permanent (F)	3,787	3,730	98	57	2
5.	Other than Permanent (G)	7,171	6,659	93	512	7
6.	Total workers(F + G)	10,958	10,389	95	569	5

b. Differently abled Employees and workers (FY 2024-25):

S.	Particulars	Total (A)	Male	Male	Female	Female
No.			No.(B)	%(B / A)	No.(C)	%(C / A)
		DIFFERENTLY ABLED EMPLOYEES
1.	Permanent (D)	3	2	67	1	33
2.	Other than Permanent (E)	0	0	0	0	0
3.	Total employees(D + E)	3	2	67	1	33

21. Participation/Inclusion/Representation of women

Total (A)	No. andpercentage of Females
	No.(B) %(B / A)
Board of Directors 10 KeyManagement Personnel 8	2 20 0 0

22. Turnover rate for permanent employees and workers (Disclose trends for the past 3 years)

	FY 2024-25(%) FY 2023-24(%) FY 2022-23(%)
	Male Female Total Male Female Total Male Female Total
Permanent Employees Permanent Workers	12 16 13 10 16 10 13 18 13 7 2 7 7 2 7 7 10 7

V. Holding, Subsidiary and Associate Companies (including joint ventures)

23. (a) Names of holding / subsidiary / associate companies / joint ventures

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S. Name of the holding / Indicate whether % of shares Does the entity
No. subsidiary / associate holding/ held by listed indicated at column
companies / joint ventures (A) Subsidiary/ entity A, participate in the
Associate/ Joint Business Responsibility
Venture initiatives of the listed
entity? (Yes/No)
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1	KAMA Holdings Limited	Holding	50.21	No
2	SRF Holiday Home Limited	Subsidiary	100	No
3	SRF Global BV	Subsidiary	100	No
4	SRF Industries (Thailand) Limited	Subsidiary	100	No
5	SRF Industex Belting (Pty) Limited	Subsidiary	100	No
6	SRF Flexipak (South Africa) (Pty)	Subsidiary	100	No
	Limited
7	SRF Europe Kft	Subsidiary	100	No
8	SRF Employees Welfare Trust	Subsidiary	100	No
	(Controlled Trust) *
9	SRF Altech Limited	Subsidiary	100	No
10	Malanpur Captive Power Ltd.	Associate	22.60	No
11	Vaayu Renewable Energy (Tapti)	Associate	26.32	No
	Private Limited
12	SRF Middle East LLC	Subsidiary	100	No

as per the requirements of IND AS

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VI. CSR Details

24. i. Whether CSR is applicable as per section 135 of Companies Act, 2013: (Yes/No): Yes

ii. Turnover (in ` ) (FY 2024-25): 11,697.97 Crore

iii. Net worth (in ` (FY 2024-25): 11,288.72 Crore

VII. Transparency and Disclosures Compliances

25. Complaints/Grievances on any of the principles (Principles 1 to 9) under the National Guidelines on Responsible Business Conduct:

Stakeholder group from whom complaint is received Grievance Redressal Mechanism in Place (Yes/No) (If Yes, then provide web-link for grievance redress policy)	FY 2024-25 FY 2023-24
	Number of complaints fled during the year Number of complaints pending resolution at close of the year Remarks Number of complaints fled during the year Number of complaints pending resolution at close of the year Remarks
Communities Yes Investors (other than shareholders) Yes Shareholders Yes Employees and workers Yes Customers Yes Value Chain Partners Yes Other (please specify) -	0 0 None 0 0 None 0 0 None 0 0 None 183 0 None 316 0 None 4 0 None 2 0 None 555 13 None 520 5 None 0 0 None 0 0 None - - None - - -

26. Overview of the entity’s material responsible business conduct issues

Please indicate material responsible business conduct and sustainability issues pertaining to environmental and social matters that present a risk or an opportunity to your business, rationale for identifying the same, approach to adapt or mitigate the risk along-with its financial implications, as per the following format.

S. No.	Material identifed	Indicate whether risk or opportunity (R/O)	Rationale for identifying the risk opportunity	/	In case of risk, Approach to adapt or mitigate	Financial implications of the risk or opportunity (Indicate Positive or negative implications)
1	Energy Management	Opportunity	Implementing energy efciency initiatives at our		-	Positive
			manufacturing sites ofces contributes in eforts to decrease	and our the
			Company’s greenhouse	gas
			emissions.

S. Material Indicate Rationale for In case of risk, Financial No. identified whether risk identifying the risk / Approach to implications or opportunity opportunity adapt or mitigate of the risk or (R/O) opportunity (Indicate
Positive or negative
implications)
2 GHG Opportunity Implement initiatives to Positive emission reduce greenhouse gas reduction emissions by utilizing renewable fuel sources, -
increasing the share of renewable power in electricity mix, and adopting energy-efficient measures.
3 Air emissions Risk Exceeding the designated Ensure monitoring Negative limits set by the State of all sources of Pollution Control Board air pollutants in (SPCB) may result in fines our manufacturing and penalties. locations. Undertake measures to reduce SOx, NOx and PM emissions
4 Water Opportunity The practice of reuse, Positive conservation recycling, and rainwater harvesting decreases water withdrawals, thus reducing dependence on freshwater resources.
5 Waste Risk Ineffective waste Our waste Negative Management management practices management could potentially endanger strategy focuses the environment. on efficient management of waste based on 3R principle – Reduce, Reuse and Recycle and promotes circular economy
6 Key material Risk Failure to adhere to Increase awareness Negative procurement ESG practices and EHS among raw and compliance by suppliers material suppliers management could result in disruptions to implement ESG to the supply chain. practices.
7 Employment Opportunity Providing an inclusive Positive and safe workplace and contribute to well-being of - workforce

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S. Material Indicate Rationale for In case of risk, Financial
No. identified whether risk identifying the risk / Approach to implications
or opportunity opportunity adapt or mitigate of the risk or
(R/O) opportunity
(Indicate
Positive or
negative
implications)
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|||||||
|---|---|---|---|---|---|
|8|Occupational|Risk|Occupational health &|We maintain our|Negative|
|Health and|safety risks due to the|commitment to|
|Safety|nature of operations of the|implementing|
|Company|strong and efficient|
|occupational|
|health and safety|
|management|
|systems to minimize|
|industrial accidents.|
|9|Community|Opportunity|CSR initiatives contribute|-|Positive|
|relations and|to the empowerment of|
|engagement|communities by providing|
|them healthcare, education,|
|vocational training and,|
|generating employment|
|opportunities that would|
|foster the development of|
|both individuals and the|
|region.|
|10|Corporate|Opportunity|Code of Conduct of the|-|Positive|
|Governance|Company enshrines the|
|Practices|principles by which the|
|Company and its employees|
|are guided.|
|11|Total Quality|Opportunity|Implementation of TQM|-|Positive|
|Management|ensures meeting evolving|
|(TQM)|customer aspirations and|
|shifting market dynamics by|
|bringing systemic changes|
|to maximise operational|
|efficiency|
|12|Innovation &|Opportunity|Improve resource efficiency|-|Positive|
|Research and|and continuously develop|
|Development|new products for the market|

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SECTION B: MANAGEMENT AND PROCESS DISCLOSURES

This section is aimed at helping businesses demonstrate the structures, policies and processes put in place towards adopting the NGRBC Principles and Core Elements.

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|||||||||||
|---|---|---|---|---|---|---|---|---|---|
|Disclosure Questions|P1|P2|P3|P4|P5|P6|P7|P8|P9|
|Policy and management processes|

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a. Whether your entity’s policy/policies cover Yes Yes Yes Yes Yes Yes Yes Yes Yes each principle and its core elements of the NGRBCs. (Yes/No)
b. Has the policy been approved by the Board? Yes Yes Yes Yes Yes Yes Yes Yes Yes (Yes/No) -
c. Web Link of the Policies, if available https://www.srf.com/investors/corporate governance/
Whether the entity has translated the policy Yes Yes Yes Yes Yes Yes Yes Yes Yes into procedures. (Yes / No)
Do the enlisted policies extend to your value No No No No No No No No No chain partners? (Yes/No)
Name of the national and international codes/ Our plants are certified with ISO 14001, ISO 50001 and certifications/labels/ standards (e.g., Forest OHSAS 18001. Stewardship Council, Fairtrade, Rainforest Alliance, Trusts) standards (e.g., SA 8000, OHSAS, ISO, BIS) adopted by your entity and mapped to each principle.
Specific commitments, goals and targets set by the entity with defined timelines, if any.
Our values – Respect, Integrity, Non-discrimination, Excellence & Wellbeing– ensure our commitment towards sustainability across our plants and offices. In line with our identified material topics, we have taken the following targets and commitments
30% electricity sourced from RE by 2030
Improvement in water credit to debit ratio
Moving towards an Injury Free Workplace
Enhanced women participation across organization
Performance of the entity against the specific commitments, goals and targets along-with reasons in case the same are not met.
We have set up an internal mechanism to regularly track our targets and commitments as mentioned in (5). Yearly performance of identified targets and commitments are updated as part of our ESG disclosures. Refer ESG section for more details

Governance, leadership and oversight

Statement by director responsible for the We view our ESG journey as a dynamic, continuous pursuit business responsibility report, highlighting ESG of excellence. Driven by diligent effort and proactive related challenges, targets and achievements initiatives, we are committed to achieving our targets. (listed entity has flexibility regarding the Our ESG performance serves as a testament to our placement of this disclosure): dedication in driving a positive change and strengthening the resilience and sustainability of our business.
Details of the highest authority responsible for implementation and oversight of the Business Responsibility policy (ies).
We are guided by the Board of Directors comprising of industry experts having diverse and rich experiences which enable and facilitate effective decision-making and execution of sustainable and long-term strategies. The Board reviews key ESG imperatives and ensure ESG performance is aligned to our aspirations

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Disclosure Questions P1 P2 P3 P4 P5 P6 P7 P8 P9

The Board members periodically monitor the financial, environmental, and social performance of the Company while addressing key risks and opportunities. The Company also has a Risk Management Committee which reviews entity wide risks including ESG risks.

Does the entity have a specified Committee of the Board/ Director responsible for decision making on sustainability related issues? (Yes / No). If yes, provide details.

10. Details of Review of NGRBCs by the Company:

Subject for Review Indicate whether review was undertaken Frequency (Annually/ Half yearly/ by Director / Committee of the Board/Any Quarterly/ Any other – please specify) other Committee P1 P 2 P 3 P 4 P 5 P 6 P 7 P 8 P 9 P 1 P 2 P 3 P 4 P 5 P 6 P 7 P 8 P 9 Performance Y Y Y Y Y Y Y Y Y A A A A A A A A A against above policies and follow up action Compliance Y Y Y Y Y Y Y Y Y As and when required with statutory requirements of relevance to the principles, and rectification of any non-compliances

Has the entity carried out P1 P2 P3 P4 P5 P6 P7 P 8 P9 independent assessment/ No external assessment was conducted. However, we conduct periodic

evaluation of the working of its review of our policies internally.

policies by an external agency? (Yes/No). If yes, provide name of the agency.

*NA: Not applicable

12. If answer to question (1) above is “No” i.e., not all Principles are covered by a policy, reasons to be stated:

Questions P1 P2 P3 P4 P5 P6 P7 P8 P9 The entity does not consider the principles material to its business (Yes/No) The entity is not at a stage where it is in a position to formulate and implement the policies on specified principles (Yes/No) The entity does not have the financial or/ human and technical resources available for the task (Yes/No) It is planned to be done in the next financial year (Yes/No) Any other reason (please specify)

SECTION C: PRINCIPLE WISE PERFORMANCE DISCLOSURE

This section is aimed at helping entities demonstrate their performance in integrating the Principles and Core Elements with key processes and decisions. The information sought is categorized as “Essential” and “Leadership”. While the essential indicators are expected to be disclosed by every entity that is mandated to file this report, the leadership indicators may be voluntarily disclosed by entities which aspire to progress to a higher level in their quest to be socially, environmentally and ethically responsible.

PRINCIPLE 1: Businesses should conduct and govern themselves with integrity, and in a manner that is Ethical, Transparent and Accountable.

Essential Indicators

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1. Percentage coverage by training and awareness programmes on any of the principles during
the financial year:
Segment Total number Topics / principles covered under the %age of persons
of training and training and its impact in respective
awareness category covered
programmes by the awareness
held programmes
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Board of	4	Familiarization of business environment and	100%
Directors		related risks, Changes in regulatory framework,
		ESG and sustainability practices, Health &
		Safety, Values of SRF, Risk Management
Key Managerial	6	Familiarization of business environment and	100%
Personnel		related risks, Changes in regulatory framework, ESG and sustainability practices, Health &
		Safety, Values of SRF, Code of Conduct and Risk
		Management
Employees	3075	Employees received training in technical and	87%
other than BoD		analytical skills (Excel, data visualization, ASP.
and KMPs		NET Core), leadership and management,
		safety and compliance (incident management,
		chemical handling, GMP), workplace ethics and
		communication (POSH, etiquette), and personal
		development and innovation (LEAP, AI).
Workers	3795	Training provided to workers includes technical	81%
		operations and maintenance (handling agitators,
		pumps, servo motors, vibration analysis),
		safety and emergency preparedness (chemical handling, PPE, fre safety), health and wellness,
		environmental and compliance awareness, and
		leadershipand employee engagement.

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2. Details of fines / penalties /punishment/ award/ compounding fees/ settlement amount paid in proceedings (by the entity or by directors / KMPs) with regulators/ law enforcement agencies/ judicial institutions, in the financial year, in the following format (Note: the entity shall make disclosures on the basis of materiality as specified in Regulation 30 of SEBI (Listing Obligations and Disclosure Obligations) Regulations, 2015 and as disclosed on the entity’s website):

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Monetary
NGRBC Name of the Amount Brief of the Case Has an
Principle regulatory/ (In ) appeal enforcement been agencies/ judicial preferred? institutions (Yes/No) Penalty/ Fine Principle 1 - Office of the Deputy 4.63 Default in availing and utilizing Input Tax Credit during No
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Penalty/ Fine	Principle 1 -	Ofce of the Deputy	`4.63	Default in availing and utilizing Input Tax Credit during	No
	Businesses	Commissioner of	Lacs	the period April 2020 to March 2021. Demand of
	should conduct	Central Tax & Central		`44,33,929 under Section 73 (1) of the CGST/TNGST
	and govern	Excise		Act, 2017 read with Section 20 of the IGST Act, 2017.
	themselves with integrity, and			Penalty imposed for`4,63,394 under Section 73(9) of CGST/TNGST Act, 2017. An appeal will be fled in
	in a manner			due course
	that is Ethical,
	Transparent and
	Accountable.
Penalty/ Fine	Principle 1 -	Commissioner of CGST	`9.20\|CENVAT Credit wrongfully availed for`9,20,633 in	No
	Businesses	& Central Excise	Lacs	contravention of the provisions of Rule 2(l) of Cenvat
	should conduct			Credit Rules. Thus, a penalty of`9,20,633/- under
	and govern			Rule 15 of the CENVAT Credit Rules read with Section
	themselves with integrity, and in a manner			11AC of Central Excise Act was levied. An appeal will be fled in due course.
	that is Ethical,
	Transparent and
	Accountable.
Penalty/ Fine	Principle 1 - Businesses	Deputy Commissioner, Uttarakhand GST	`6.82 Lacs	GST audit was conducted for FY 2019-20 by State GST Ofcer, Uttarakhand. Department objected that	No
	should conduct and govern	(Audit)		:- a) ITC was availed on certain transactions for which supplier did not report while fling their GST returns.
	themselves with			b)Company has claimed ITC which is more than the
	integrity, and			amount auto-populated as per State GST records. c)
	in a manner			ITC was claimed by Company on certain reported
	that is Ethical,			transactions for which supplier did not pay the tax.
	Transparent and			On all the above three grounds, the department has
	Accountable.			raised a demand of`75.89 lacs (including interest and
				penalty) against which the Company has paid`13.70
				lacs under protest. Penalty imposed under Section
				73 of the Central Goods and Services Tax Act, 2017
				-`6.82 lacs.
Penalty/ Fine	Principle 1 -	Superintendent, Range	`18.62	During 2019-20, the Engineering Plastics Business of	Yes
	Businesses	– V, Division – I,	Lacs	the Company was sold on a slump sale basis. Business
	should conduct	CGST & C. Ex, Thane		Slump sale is not subject to tax under the GST law.
	and govern	Commissionerate		Department alleged that ITC credit to the tune of
	themselves with			`18,62,930 on stock of the said business is required
	integrity, and			to be reversed. The department has raised a demand
	in a manner			of`18,62,930 plus interest as may be determined in
	that is Ethical,			accordance with applicable provisions and penalty of
	Transparent and			`18,62,930.
	Accountable.

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Monetary
NGRBC Name of the Amount Brief of the Case Has an
Principle regulatory/ (In ` ) appeal
enforcement been
agencies/ judicial preferred?
institutions (Yes/No)
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Penalty/ Fine	Principle 1 -	Superintendent,	`75,000	Inspection was conducted by Superintendent on 04-	No
	Businesses	Prohibition and Excise		05-2024 and an amount of`75,000/- was paid for
	should conduct	Department, Bharuch		settlement of violation of certain provisions of Gujarat
	and govern			Prohibition Act, 1949. Inspection was conducted
	themselves with			by Superintendent on 04-05-2024 and an amount
	integrity, and			of`75,000/- was paid for settlement of violation of
	in a manner			certain provisions of Gujarat Prohibition Act, 1949.
	that is Ethical,
	Transparent and
	Accountable.
Penalty/ Fine	Principle 1 -	Madhya Pradesh	`35,000	Penalty imposed under Section 142 of the Electricity	No
	Businesses should conduct	Electricity Regulatory Commission, Bhopal		Act, 2003 by Madhya Pradesh Electricity Regulatory Commission, Bhopal. Default in fulflment of Renewable
	and govern			Purchase Obligation during the period from 10.11.2010
	themselves with			to 31.3.2024. Consequently, a penalty of`35000 has
	integrity, and			been imposed on the Company.
	in a manner
	that is Ethical,
	Transparent and
	Accountable.
Penalty/ Fine	Principle 1 -	Joint Commissioner,	`85.23	The Department in its order stated that the Company	Yes
	Businesses	CGST & Central Excise,	crores	has procured raw materials from EoU/SEZ suppliers
	should conduct	Vadodara-II		under Advance Authorization and was not eligible to
	and govern			claim refund of IGST on exports against such advance
	themselves with			authorisations between October 2017 to March, 2022.
	integrity, and			On the above grounds, the department has raised a
	in a manner			Demand order for Tax of`85.23 crores. In addition,
	that is Ethical,			demand for penalty equivalent to the tax amount and
	Transparent and			applicable interest was also made.
	Accountable.
Penalty/ Fine	Principle 1 - Businesses	Additional Commissioner, CGST	`7 crores	The Department has alleged that R&D Centre of the Bhiwadi plant has not raised cross charge invoices for	Yes
	should conduct	Alwar Commissionerate		the R&D services provided to its Dahej Plant for the
	and govern			period from July 2017 till March 2021 and accordingly
	themselves with			they did not pay the IGST of`7.71 Crores (approx.) on
	integrity, and			the said service of R&D Facilities. Demand of IGST of
	in a manner			`7 crores under Section 74 of the CGST Act, 2017 read
	that is Ethical,			with Section 20 of the IGST Act, 2017 with equivalent
	Transparent and			Penalty of`7 crore and applicable interest. -Above
	Accountable.			demand of`7 crores have already been deposited
				under protest by the Company between May, 2023
				till July, 2023. The Company has also submitted to
				the relevant authorities that the above demand is
				erroneous in light of Rule 28 (valuation of goods and
				services between distinct or related persons) of the
				CGST Act, 2017.
Settlement				NIL
Compounding				NIL
fee

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	Non-Monetary
	NGRBC Principle Name of the regulatory/ enforcement agencies/ judicial institutions Brief of the Case Has an appeal been preferred? (Yes/No)
Imprisonment	NIL
Punishment	NIL

3. Of the instances disclosed in Question 2 above, details of the Appeal/ Revision preferred in cases where monetary or non-monetary action has been appealed.

Case Details Name of the regulatory/ enforcement agencies/ judicial institutions

Appeal filed before the Joint/Additional Commissioner (Appeals) on 27.08.2024 with mandatory predeposit of ` 440578/-

GST audit was conducted for FY 2019-20 by State GST Officer, Uttarakhand. Department objected that:- a) ITC was availed on certain transactions for which supplier did not report while filing their GST returns. b) Company has claimed ITC which is more than the amount autopopulated as per State GST records. c) ITC was claimed by Company on certain reported transactions for which supplier did not pay the tax. On all the above three grounds, the department has raised a demand of 75.89 lacs (including interest and penalty) against which the Company has paid 13.70 lacs under protest. Penalty imposed under Section 73 of the Central Goods and Services Tax Act, 2017 - ` 6.82 lacs.

Appeal filed before The Joint/Additional Commissioner (Appeals) on 13.11.2024 alongwith mandatory pre-deposit of ` 186293/-

During 2019-20, the Engineering Plastics Business of the Company was sold on a slump sale basis. Business Slump sale is not subject to tax under the GST law. Department alleged that ITC credit to the tune of 18,62,930 on stock of the said business is required to be reversed. The department has raised a demand of 18,62,930 plus interest as may be determined in accordance with applicable provisions and penalty of ` 1,86,293

Appeal filed before the Commissioner (Appeals) on 03.04.2025 along with mandatory pre-deposit of ` 8,52,31,874/-

The Department in its order stated that the Company has procured raw materials from EoU/SEZ suppliers under Advance Authorization and was not eligible to claim refund of IGST on exports against such advance authorisations between October 2017 to March, 2022.

On the above grounds, the department has raised a Demand order for Tax of ` 85.23 crores. In addition, demand for penalty equivalent to the tax amount and applicable interest was also made

Name of the regulatory/ enforcement agencies/ judicial institutions

Case Details

Appeal filed before the Commissioner (Appeals) on 28.04.2025

The Department has alleged that R&D Centre of the Bhiwadi plant has not raised cross charge invoices for the R&D services provided to its Dahej Plant for the period from July 2017 till March 2021 and accordingly they did not pay the IGST of 7.71 Crores (approx.) on the said service of R&D Facilities. Demand of IGST of 7 crores under Section 74 of the CGST Act, 2017 read with Section 20 of the IGST Act, 2017 with equivalent Penalty of 7 crore and applicable interest. -Above demand of 7 crores has already been deposited under protest by the Company between May, 2023 till July, 2023. The Company has also submitted to the relevant authorities that the above demand is erroneous in light of Rule 28 (valuation of goods and services between distinct or related persons) of the CGST Act, 2017

4. Does the entity have an anti-corruption or anti-bribery policy? If yes, provide details in brief and if available, provide a web-link to the policy.

We strictly abide by our Code of Conduct and have robust Whistleblower Policy, demonstrating our dedication to ethics, anti-corruption, and upholding the highest standards of integrity. We have a well-defined vigil mechanism consisting of Code of Conduct for Directors and Senior Management Personnel, Code of Conduct for employees, Policy against sexual harassment, Whistleblower Policy, Code of Conduct for Prevention of Insider Trading. This mechanism enables our directors and employees to report any concerns related to unethical behaviour, bribery, corruption, or violations of our code of conduct. The policies and codes related to anti-corruption and anti-bribery can be accessed at https://www.srf.com/about-overview/working-at-srf/

5. Number of Directors/KMPs/employees/workers against whom disciplinary action was taken by any law enforcement agency for the charges of bribery/ corruption:

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FY 2024-25 FY 2023-24
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Directors	0	0
KMPs	0	0
Employees	0	0
Workers	0	0

6. Details of complaints with regard to conflict of interest:

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FY 2024-25 FY 2023-24
Number Remarks Number Remarks
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Number of complaints received in relation to issues of Confict of	0	Nil	0	Nil
Interest of the Directors
Number of complaints received in relation to issues of Confict of	0	Nil	0	Nil
Interest of the KMPs

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7. Provide details of any corrective action taken or underway on issues related to fines / penalties / action taken by regulators/ law enforcement agencies/ judicial institutions, on cases of corruption and conflicts of interest.

No fines/penalties were imposed by regulators/ law enforcement agencies/ judicial institutions, on account of bribery/corruption and conflict of interest.

8. Number of days of accounts payables ((Accounts payable *365) / Cost of goods/services procured) in the following format:

	FY 2024-25	FY	2023-24
Number of days of accountspayables	104.07		111.24

Note: Reasonable assurance has been carried out by BDO India LLP on above indicator

9. Open-ness of business

Provide details of concentration of purchases and sales with trading houses, dealers, and related parties along-with loans and advances & investments, with related parties, in the following format:

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Parameter Metrics FY 2024-25 FY 2023-24
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Parameter	Metrics	FY 2024-25	FY 2023-24
Concentration of Purchases	a. Purchases from trading houses (excluding of services Purchases) as % of total purchases	23.93%	31.84%
	b. Number of trading houses where purchases	2243	2184
	are made from
Concentration of Sales	c. Purchases from top 10 trading houses as % of total purchases from trading houses a. Sales to dealers/ distributors as % of total sales	46.96% 24.72%	44.31% 27.32%
	b. Number of dealers/ distributors to whom	650	689
	sales are made
	c. Sales to top 10 dealers /distributors as % of	30.64%	35.80%
	total sales to dealers/ distributors
Share of RPTs	a. Purchases (Purchases with related parties/	0.32%	0.08%
in	Total Purchases)
	b. Sales (Sales related parties/Total Sales)	0.02%	0.93%
	c. Loans & advances (Loans & advances given	66.32%	83.35%
	to related parties /Total loans & advances)
	d. Investments (Investments in related parties /	44.31%	49.13%
	Total Investments made)

Note: Reasonable assurance has been carried out by BDO India LLP on above indicator

PRINCIPLE 2: Businesses should provide goods and services in a manner that is sustainable and safe

Essential Indicators

1. Percentage of R&D and capital expenditure (capex) investments in specific technologies to improve the environmental and social impacts of product and processes to total R&D and capex investments made by the entity, respectively.

Current Financial Previous Financial Details of improvements in Environmental Year (FY 2024-25) Year (FY 2023-24) and social impacts R&D - - We have taken multiple initiatives and make significant investments in development of sustainable and green technologies. Capex 0.65% 13.98% Capex includes projects under renewable energy installations, emissions reduction with an aim to mitigate our environmental impacts. We undertake tangible initiatives to enhance health and safety of our workforce in our facilities.

2. a. Does the entity have procedures in place for sustainable sourcing? (Yes/No)

At SRF, we prioritise sourcing of our raw materials in a responsible and sustainable manner. We have internal systems in place that encourage the procurement of goods from suppliers who demonstrate strong ESG practices.

We carry out a ‘Supplier Quality System’ assessment to evaluate suppliers on key aspects such as resource management, environmental compliance, certifications, and storage practices. Our goal is to work in collaboration with our suppliers, continuously improving their capabilities and creating mutually beneficial outcomes. Simultaneously, we strive to build lasting relationships with our supply chain partners by fostering trust, ensuring fairness, and maintaining transparency in every procurement decision.

b. If yes, what percentage of inputs were sourced sustainably? 74.38%

3. Describe the processes in place to safely reclaim your products for reusing, recycling and disposing at the end of life, for (a) Plastics (including packaging) (b) E-waste (c) Hazardous waste and (d) other waste.

We have a unique demetallisation process that enables us to recycle non-usable metallised film generating out of our production process. This has helped us in reducing our reliance on virgin raw materials for manufacturing these films.

4. Whether Extended Producer Responsibility (EPR) is applicable to the entity’s activities (Yes / No). If yes, whether the waste collection plan is in line with the Extended Producer Responsibility (EPR) plan submitted to Pollution Control Boards? If not, provide steps taken to address the same.

EPR is applicable to our activities. We have secured necessary registrations wherever applicable and are in the process of establishing necessary systems to ensure compliance with Plastic Waste Management Rules across our facilities.

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PRINCIPLE 3: Businesses should respect and promote the well-being of all employees, including those in their value chains

Essential Indicators

1. a. Details of measures for the well-being of employees:

Category		% of employees covered by
	Total (A)	Health insurance Accident insurance Maternity benefts Paternity Benefts Day Care facilities
		Number (B) % (B/A) Number (C) % (C/A) Number (D) % (D/A) Number (E) % (E/A) Number (F) % (F/A)
Permanent employees
Male 3,455 3,455 100 3,455 100 0 0 3,455 100 3,366 97 Female 383 383 100 383 100 383 100 0 0 378 99 Total 3,838 3,838 100 3,838 100 383 10 3,455 90 3,744 98
Other than Permanent employees
Male 12 12 100 12 100 0 0 12 100 12 100 Female 3 3 100 3 100 3 100 0 0 3 100 Total 15 15 100 15 100 3 20 12 80 15 100

2. Details of retirement benefits, for Current FY and Previous Financial Year.

Benefts	FY 2024-25 FY 2023-24
	No. of employees covered as a % of total employees No. of workers covered as a % of total workers Deducted and deposited with the authority (Y/N/N.A.) No. of employees covered as a % of total employees No. of workers covered as a % of total workers Deducted and deposited with the authority (Y/N/N.A.)
PF Gratuity ESI Others- please specify	100 100 Y 100 100 Y 100 100 Not applicable 99 100 Not applicable 1 1 Y 1 3 Y - - - - - -

Benefts

FY 2024-25
FY 2023-24

No. of
employees
covered as
a % of total
employees
No. of
workers
covered as
a % of total
workers
Deducted
and
deposited
with the
authority
(Y/N/N.A.)
No. of
employees
covered as
a % of total
employees
No. of
workers
covered as
a % of total
workers
Deducted
and
deposited
with the
authority
(Y/N/N.A.)

PF
Gratuity
ESI
Others-
please
specify

100
100
Y
100
100
Y
100
100
Not applicable
99
100
Not applicable
1
1
Y
1
3
Y
-
-
-
-
-
-

3. Accessibility of workplaces

Are the premises / offices of the entity accessible to differently abled employees and workers, as per the requirements of the Rights of Persons with Disabilities Act, 2016? If not, whether any steps are being taken by the entity in this regard .

b. Details of measures for the well-being of workers:

Category		% of workers covered by
	Total (A)	Health insurance Accident insurance Maternity benefts Paternity Benefts Day Care facilities
		Number (B) % (B/A) Number (C) % (C/A) Number (D) % (D/A) Number (E) % (E/A) Number (F) % (F/A)
Permanent workers Male 3,730 3,730 100 3,730 100 0 0 3,730 100 3,514 94 Female 57 57 100 57 100 57 100 0 0 46 81 Total 3,787 3,787 100 3,787 100 57 2 3,730 98 3,560 94 Other than Permanent workers Male 6,659 6,591 99 6,659 100 7 0 1,468 22 6,524 98 Female 512 512 100 512 100 512 100 0 0 495 97 Total 7,171 7,103 99 7,171 100 519 7 1,469 20 7,019 98

c. Spending on measures towards well-being of employees and workers (including permanent and other than permanent) in the following format –

FY 2024-25	FY 2023-24
Cost incurred on well-being measures as a % of total revenue of 0.45	0.34
the company

Note: Reasonable assurance has been carried out by BDO India LLP on above indicator

We are committed to maintaining a work environment where every individual feels valued, respected, and empowered. Our commitment includes ensuring a safe and inclusive workspace for all. To support this, our facilities are equipped with accessible features such as elevators, ramps with appropriate incline angles, accessible restrooms, and thoughtfully designed seating arrangements to ensure movement and comfort for people with disabilities.

Our dedication to inclusivity is reflected in our ongoing efforts to ensure accessibility for people with disabilities (PwD). We have conducted comprehensive assessments at all our facilities to identify and eliminate any barriers to movement and accessibility, ensuring that all employees can thrive and contribute to their fullest potential.

4. Does the entity have an equal opportunity policy as per the Rights of Persons with Disabilities Act, 2016? If so, provide a web-link to the policy.

We recognise the value of having a diverse workforce in the Company. We stand committed to upholding human rights and ensuring equal opportunities for all. Our Human Rights Policy and Code of Conduct reflect this commitment, guaranteeing fair employment and growth opportunities for all, whether serving or those interested in employment with us.

We ensure there is no discrimination based on factors like religion, caste, language, region, gender (including male, female, or transgender), age, sexual orientation, or physical abilities in our hiring and appraisal process. For more details, you can refer to the Human Rights section and view our full Human Rights policy on https://www.srf.com/wp-content/uploads/2022/01/SRF-Human-Rights-Policy.pdf.

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5. Return to work and Retention rates of permanent employees and workers that took parental leave.

	Permanent employees Permanent workers
Gender	Return to work rate Retention rate Return to work rate Retention rate
Male Female Total	100% 86% 100% 92% 100% 75% 100% 100%
	100% 85% 100% 92%

6. Is there a mechanism available to receive and redress grievances for the following categories of employees and worker? If yes, give details of the mechanism in brief.

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----- Start of picture text -----

Yes/No (If Yes, then Details
give details of the
mechanism in brief)
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Permanent Workers	Yes	Yes, we have robust Grievance Redressal Mechanisms in
Other than Permanent	Yes	place for all employees and workers. Our People Redbook
Workers		Systems serves as platforms for employees and workers
Permanent Employees Other than Permanent Employees	Yes Yes	to express their grievances. Additionally, anyone can submit complaints and suggestions anonymously through designated boxes in ofces and plants. Our grievance redressal procedures ensure a fair and confdential
		resolutionprocess.

7. Membership of employees and worker in association(s) or Unions recognised by the listed entity:

		FY 2024-25			FY 2023-24
	Total employees / workers in respective category (A)	No. of employees / workers in respective category, who are part of association(s) or Union(B)	% (B / A)	Total employees / workers in respective category (C)	No. of employees / workers in respective category, who are part of association(s) or Union(D)	% (D / C)
Total Permanent Employees	3,838	74	2	3,580	0	0
Male Female	3,455 383	72 2	2 1	3,295 285	0 0	0 0
Total Permanent Workers	3,787	1,256	33	3,792	1,163	31
Male	3,730	1,209	32	3,738	1,115	30
Female	57	47	82	54	48	89

8. Details of training given to employees and workers:

Category	FY 2024-25 FY 2023-24
	Total (A) On Health and safety measures On Skill upgradation Total (D) On Health and safety measures On Skill upgradation
	No. (B) % (B / A) No. (C) % (C / A) No. (E) % (E / D) No. (F) % (F / D)
	Employees
Male Female Total	3,467 2,382 69 2,423 70 3,325 2,053 62 2,909 87 386 175 45 350 91 285 107 38 196 69 3,853 2,557 66 2,773 72 3,610 2,160 60 3,105 86
	Workers
Male Female Total	10,389 7,941 76 4,768 46 3,738 2,217 59 2,269 61 569 447 79 153 27 54 39 72 27 50 10,958 8,388 77 4,921 45 3,792 2,256 59 2,296 61

Note: Workers include other than permanent workers in FY 24-25

9. Details of performance and career development reviews of employees and worker:

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Category FY 2024-25 FY 2023-24
Total (A) No. (B) % (B / A) Total (C) No. (D) % (D / C)
----- End of picture text -----

Employees
Male Female	3,467 386	3,467 386	100 100	3,325 285	3,325 285	100 100
Total	3,853	3,853	100	3,610	3,610	100
Workers
Male	3,730	3,730	100	3,738	3,738	100
Female	57	57	100	54	54	100
Total	3,787	3,787	100	3,792	3,792	100

10. Health and safety management system:

a) Whether an occupational health and safety management system has been implemented by the entity? (Yes/ No). If yes, the coverage such system?
We recognise that health and safety is an integral part of our operations. Our Health & Safety Policy ensures safe and healthy working environment for all employees and workers. In line with this policy, we have a robust and comprehensive safety management systems based on guidelines of ISO 45001 across all our plants. Salient features of our health and safety management systems are:
Conducting regular safety assessments through designated in-house safety officers to identify workplace hazards.
Implementing corrective and preventive actions based on monitoring and audits.
Regular review of the health and safety management system by the Health & Safety committee to ensure its continuing suitability, adequacy, and effectiveness.
Organising awareness campaigns and conducting training sessions on topics such as safe operating procedures, chemical handling, and ergonomics.

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b) What are the processes used to identify work-related hazards and assess risks on a routine and non-routine basis by the entity?

We take proactive approach to manage workplace safety. It includes regularly conducting Hazard Identification and Risk Assessment (HIRA) as well as Hazard and Operability (HAZOP) studies at our facilities. These evaluations help us identify potential hazards in our operations. Based on the findings, our safety teams update operational control procedures and management plans to effectively mitigate identified risks. To strengthen our safety culture, our safety teams carry out periodic audits and inspections aimed at detecting risks, resolving safety concerns, and reducing the likelihood of workplace incidents.

For routine tasks, the process includes hazard identification, i.e. review of incident reports and near misses, employee reporting mechanisms, consultation with workers etc and risk assessment process, i.e. How risks are evaluated (e.g., likelihood and severity), scale, documentation and review. For non-routine tasks, such as maintenance or new project implementation, we conduct specific risk assessments before the commencement of work.

c) Whether you have processes for workers to report the work-related hazards and to remove themselves from such risks. (Y/N)

We have a well-defined approach for identifying and reporting work-related hazards. Specific trainings are given to our workforce to recognise and report potential risks and hazards, unsafe acts and unsafe conditions in their surroundings.

We encourage our employees and workers to report potential risks and hazards, unsafe acts and unsafe conditions without any fear of retaliation in our internal portal or directly to the facility based EHS SPOC. The reporting enables us to take corrective actions and maintain a safe working environment for all.

d) Do the employees/ worker of the entity have access to non-occupational medical and healthcare services? (Yes/ No)

We have Occupational Health Centres at all our facilities. The Occupational Health Centers (OHC) are managed by qualified doctors, trained paramedic staff. In addition to handling occupational injuries, the OHCs also cater to non-occupational medical and healthcare advice if needed.

11. Details of safety related incidents, in the following format:

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Safety Incident/Number Category FY 2024-25 FY 2023-24
Lost Time Injury Frequency Rate (LTIFR) Employees 0.48 0.18
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Safety Incident/Number Lost Time Injury Frequency Rate (LTIFR)	Category* Employees	FY 2024-25 0.48	FY 2023-24 0.18
(per one million-person hours worked)	Workers	0.09	0.19
Total recordable work-related injuries	Employees	3	1
	Workers	2	6
Number of fatalities	Employees	0	0
	Workers	0	0
High consequence work-related injury or ill-	Employees	2	0
health (excluding fatalities)	Workers	0	0

12. Describe the measures taken by the entity to ensure a safe and healthy workplace.

At SRF, we are fully committed to ensuring a workplace free from injuries. Our goal is to achieve zero incidents, whether injuries, fatalities, or accidents, across all our plants and manufacturing units. To support this, we have implemented comprehensive safety procedures, emergency response plans, and health and safety protocols throughout our operations. We have EHS Committees at each plant to actively promote a culture of safety across the organisation. Some of the measures taken by the entity to ensure safe and healthy workplace includes

Regular fire and emergency evacuation exercises are carried out.
Workspaces and equipment are designed following ergonomic guidelines.
Plan to prevent violence in the workplace is in effect.
Robust system for reporting incidents, near misses, and unsafe conditions is active, encouraging open reporting without fear of reprisal.
Proper use of Personal Protective Equipment (PPE), such as masks, gloves, gowns, and face shields, is enforced for all personnel.
Safety specialists routinely inspect the facilities to find and reduce potential safety hazards.
Initiatives promoting the physical and mental well-being of staff are offered.
Staff are given scheduled breaks to prevent exhaustion.

13. Number of Complaints on the following made by employees and workers:

	FY 2024-25 FY 2023-24
	Filed during the year Pending resolution at the end ofyear Remarks Filed during the year Pending resolution at the end ofyear Remarks
Working Conditions Health & Safety	0 0 None 0 0 None 0 0 None 0 0 None

14. Assessments for the year:

% of your plants and offices that were assessed (by entity or statutory authorities or third parties) Health and safety practices 100 Working Conditions

Including contract workforce

Note: Reasonable assurance has been carried out by BDO India LLP on above indicator

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15. Provide details of any corrective action taken or underway to address safety-related incidents (if any) and on significant risks / concerns arising from assessments of health & safety practices and working conditions.

Not applicable

PRINCIPLE 4: Businesses should respect the interests of and be responsive to all its stakeholders

Essential Indicators

1. Describe the processes for identifying key stakeholder groups of the entity.

We actively engage with both internal and external stakeholders to understand their viewpoints, gather feedback, and respond to the issues that matter to them regarding us. We envisage building meaningful relationships and keep engaging with them as per mutual requirements. Based on our Stakeholder Engagement and Materiality Assessment (SEMA) conducted earlier, our key stakeholder groups are employees, suppliers, dealers, customers, shareholders and investors, communities, regulatory bodies and bankers.

2. List of Stakeholder groups identified as key for your entity and the frequency of engagement with each stakeholder group.

Stakeholder Whether Channels of Frequency of Purpose and scope of Group identified as communication engagement engagement including Vulnerable & (Email, SMS, (Annually/ key topics and concerns Marginalized Newspaper, Pamphlets, Half yearly/ raised during such Group (Yes/ Advertisement, Quarterly/ Engagement No) Community Meetings, others Notice Board, Website), please Other specify)
Regulatory No • Adherence to reporting As per • Regulatory compliance Bodies requirements requirement • Operational efficiency • Industry representation • Development of on key matters communities
Management of environmental impact
Occupational Health and Safety
• Emergency Preparedness

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Stakeholder Whether Channels of Frequency of Purpose and scope of
Group identified as communication engagement engagement including
Vulnerable & (Email, SMS, (Annually/ key topics and concerns
Marginalized Newspaper, Pamphlets, Half yearly/ raised during such
Group (Yes/ Advertisement, Quarterly/ Engagement
No) Community Meetings, others
Notice Board, Website), please
Other specify)
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Shareholders	No	•	Company website	As per	•	Financial Performance
		•	Quarterly publication	requirement	•	Business Risk
			of results followed by			Management
		•	earning call Periodic Analysts’ briefng and individual discussions between		• • •	Foray into new markets Optimising operational costs Corporate governance
			fund managers and the management team		• •	Ethics and value Energy efciency
		•	Communication with		•	Renewable energy
			shareholders to provide service		•	Delivery of timely service
Suppliers	No	•	Supplier evaluation	As per	•	Pricing, quality and
			programme	requirement		safety of raw materials
		•	Periodic meetings Visits		•	Issues related with
			to supplier’s facilities			human rights
					•	Local employment
					•	Materials
Customers	No	•	Customer visits / audit and meetings	As per requirement	•	Product innovation and lifecycle efciency
		•	Customer recognition/		•	Service quality
			awards programmes		•	Resolution of Customer
		•	Customer satisfaction			Complaints
			surveys		•	Quality and Safety of
		•	Joint development &			Products
			product reengineering		•	Pricing of Products
					•	Branding

Air and GHG emissions
• Biodiversity and resource conservation
Waste management

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Employees	No	•	IT enablement &	As per	•	Career growth
			digitisation	requirement		prospects
		•	Structured and		•	Learning and
			focussed training			development programs
			programmes		•	Trainings
		•	Employee oriented		•	Rewards and
			work policies			Recognition
		•	Adequate grievance		•	Occupational Health
			mechanism for			and Safety
			reporting and redressal		•	Work environment and
		•	Fair and transparent			policies
			performance		•	Grievance redressal
			management systems			mechanism
			and 360-degree		•	Ethics and transparency
			feedback process		•	TQM
		•	Periodic open house		•	Emergency
			meetings with senior			preparedness
			leadership teams		•	Labour conditions
		•	Regular employee
			engagement and
			feedback surveys
Local	No	•	Social impact	As per	•	Social concerns in the
communities			assessment	requirement		region
		•	Joint development and		•	Minimising negative
			partnership with local			environmental impact
			agencies, network		•	Local employment
			partners for servicing
			wider set of local
			communities
		•	Local Infrastructure
			development,
			structured learning
			by digital classrooms
			training, providing
			scholarships, and other
			necessary support
Bankers	No	•	In-person meetings	As per	•	Transactional banking –
		•	Digital interface	requirement		deposits, withdrawals,
		•	Email			transfers
					•	Loans and credit lines
					•	Investments and related
						advisory services
					•	Forex management
					•	New banking products

PRINCIPLE 5: Businesses should respect and promote human rights

Essential Indicators

1. Employees and workers who have been provided training on human rights issues and policy (ies) of the entity, in the following format:

Category	FY 2024-25 FY 2023-24
	Total (A) No. of employees / workers covered(B) % (B / A) Total (C) No. of employees/ workers covered(D) % (D / C)
Employees
Permanent Other than permanent Total Employees	3,838 2,315 60 3,580 2,467 69 15 9 60 30 5 17 3,853 2,324 60 3,610 2,472 68
Workers
Permanent Other than permanent Total Workers	3,787 2,181 58 3,792 1,301 34 7,171 2,993 42 8,154 2,824 35 10,958 5,174 47 11,946 4,125 35

2. Details of minimum wages paid to employees and workers, in the following format:

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Category FY 2024-25 FY 2023-24
Total Equal to More than Total Equal to More than
(A) Minimum Wage Minimum Wage (D) Minimum Wage Minimum Wage
No. % No. % No. % No. %
(B) (B / A) (C) (C / A) (E) (E / D) (F) (F / D)
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					Employees
Permanent
Male	3,455	0	0	3,455	100	3,295	0	0	3,295	100
Female	383	0	0	383	100	285	0	0	285	100
Other than
Permanent
Male	12	0	0	12	100	30	0	0	30	100
Female	3	0	0	3	100	-	-	-	-	-
					Workers
Permanent
Male	3,730	0	0	3,730	100	3,738	0	0	3,738	100
Female	57	0	0	57	100	54	0	0	54	100
Other than
Permanent
Male	6,659	511	8	6,148	92	7,787	619	8	7,168	92
Female	512	230	45	282	55	367	199	54	168	46

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3. Details of remuneration/salary/wages

a. Median remuneration/wages:

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Male Female
Number Median remuneration/ Number Median remuneration/
salary / wages of salary/ wages of respective
respective category (in ) category (in )
Board of 08 23,50,000 02 23,50,000
Directors (BoD)
Key Managerial 08 9,75,71,310 0 -
Personnel
Employees 3459 8,78,700 386 6,35,450
other than BoD
and KMP
Workers 3730 5,08,488 57 3,47,656
Gross wages paid to females as % of total wages paid by the entity, in the following format:
FY 2024-25 FY 2023-24
Gross wages paid to females as % of total wages 5.73 5.04
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b. Gross wages paid to females as % of total wages paid by the entity, in the following format:

Note: Reasonable assurance has been carried out by BDO India LLP on above indicator

4. Do you have a focal point (Individual/ Committee) responsible for addressing human rights impacts or issues caused or contributed to by the business? (Yes/No)

We acknowledge, respect, and uphold human rights by creating a safe, secure, and healthy work environment for everyone in our workforce. To reinforce this commitment, we have a Values Steering Committee which consist of senior level employees and headed by our Joint Managing Director. The Committee is responsible for addressing any human rights concerns raised by our employees and workers, ensuring their voices are heard and their rights protected.

5. Describe the internal mechanisms in place to redress grievances related to human rights issues.

We have a robust mechanism in place to address any grievances related to human rights violations. We encourage our workers and employees to report any human rights concerns directly to the Values Steering Committee or any of its members. Basis the nature of the complaint, the Committee assigns appropriate resources which gathers, validates, and analyses the information to investigate the matter. Subsequently, the committee communicates its decision and recommendations in writing to the employee who filed the grievance in a defined timeline. The recommendations are implemented by the relevant departments upon acceptance.

In the entire process of grievance redressal, the Committee ensure fairness, confidentiality, timeliness and following of due process.

Number of Complaints on the following made by employees and workers:

6.

	FY 2024-25 FY 2023-24
	Filed during the year Pending resolution at the end ofyear Remarks Filed during the year Pending resolution at the end ofyear Remarks
Sexual Harassment Discrimination at workplace Child Labour Forced Labour/ Involuntary Labour Wages Other human rights related issues	4 0 None 0 0 None 0 0 None 0 0 None 0 0 None 0 0 None 0 0 None 0 0 None 0 0 None 0 0 None 0 0 None 2 0 None

7. Complaints filed under the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013, in the following format:

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FY 2024-25 FY 2023-24
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Total Complaints reported under Sexual Harassment on of	4	0
Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013 (POSH)
Complaints on POSH as a % of female employees/ workers	0.48%	0
Complaints on POSH upheld	4	0

Note: Reasonable assurance has been carried out by BDO India LLP on above indicator

8. Mechanisms to prevent adverse consequences to the complainant in discrimination and harassment cases.

We have strong mechanism in place to protect the complainant in discrimination and harassment cases. The mechanism includes safeguarding the complainant from any adverse action which includes discrimination, victimisation, retaliation, demotion, and/or adoption of any unfair employment practices.

Our aim is to create and maintain a safe, respectful, and inclusive environment where individuals feel empowered to report such incidents without fear and with the assurance that their concerns will be taken seriously and addressed effectively without having any adverse consequences on the complainant

9. Do human rights requirements form part of your business agreements and contracts?

We recognise, respect and uphold the importance of human rights and remain committed to protecting such rights. We actively encourage our suppliers to comply with all relevant laws and to align with Environment, Health, and Safety guidelines. Our focus remains on building strong partnerships with suppliers who demonstrate robust Environment, Health, and Safety practices

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10. Assessments for the year:

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% of your plants and offices that were assessed (by
entity or statutory authorities or third parties)
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Child labour	100
Forced/involuntary labour	100
Sexual harassment	100
Discrimination at workplace	100
Wages	100

11. Provide details of any corrective actions taken or underway to address significant risks / concerns arising from the assessments at Question 9 above. Not applicable

PRINCIPLE 6: Businesses should respect and make efforts to protect and restore the environment

Essential Indicators

1. Details of total energy consumption (in Joules or multiples) and energy intensity, in the following format:

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Parameter FY 2024-25 FY 2023-24
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From renewable sources
Total electricity consumption (A) (TJ)	888	518
Total fuel consumption (B) (TJ)	779	718
Energy consumption through other sources (C) (TJ)	-	-
Total energy consumed from renewable sources (A+B+C)	1667	1,236
From non-renewable sources
Total electricity consumption (D) (TJ)	1,947	2,094
Total fuel consumption (E) (TJ)	9,438	9,350
Energy consumption through other sources (F) (TJ)	-	-
Total energy consumed from non-renewable sources	11,385	11,444
(D+E+F)
Total energy consumed (A+B+C+D+E+F)	13,052	12,680
Energy intensity per rupee of turnover (Total energy consumed/	1.12	1.18
Revenue from operations) (TJ/`Cr)
Energy intensity per rupee of turnover adjusted for Purchasing	2.31	2.40*
Power Parity (PPP) (Total energy consumption/ Revenue from
operations adjusted for PPP) (TJ/ USD million)
Energy intensity in terms of physical output (TJ/MT)	0.029	0.029
Energy intensity (optional) – the relevant metric may be selected by	-	-
the entity

PPP intensity numbers has been recomputed basis the Industry Standards Note on Business Responsibility and Sustainability Report (BRSR) Core dated 20 Dec 2024

2. Does the entity have any sites / facilities identified as designated consumers (DCs) under the Performance, Achieve and Trade (PAT) Scheme of the Government of India? (Y/N) If yes, disclose whether targets set under the PAT scheme have been achieved. In case targets have not been achieved, provide the remedial action taken, if any.

Not Applicable

3. Provide details of the following disclosures related to water, in the following format:

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Parameter FY 2024-25 FY 2023-24
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Water withdrawal by source (in kilolitres)
(i) Surface water	-	-
(ii) Groundwater	10,39,863	8,41,756
(iii) Third party water	22,78,683	40,32,441*
(iv) Seawater / desalinated water	21,90,000	5,46,000*
(v) Others (Rainwater harvesting)	28,832	29,054
Total volume of water withdrawal (in kilolitres) (i + ii +	55,37,378	54,49,252
iii + iv + v)
Total volume of water consumption (in kilolitres)	50,55,698	48,69,028
Water intensity per rupee of turnover (Total Water consumed /	4.32	4.51
Revenue from operations) (KL/`Lakhs)
Water intensity per rupee of turnover adjusted for Purchasing	892.90	922.20
Power Parity (PPP) (Total water consumption/ Revenue from
operations adjusted for PPP) (KL/USD millions)
Water intensity in terms of physical output (KL/MT)	11.08	11.30
Water intensity (optional) – the relevant metric may be selected	-	-
bythe entity

*FY 2023-24 water withdrawal reported under third party category is segregated into desalinated water and thirdparty water. Total Water withdrawal figure remains same. In FY 2023-24, water withdrawal from Desalinated/seawater category started in last quarter.

PPP intensity numbers has been recomputed basis the Industry Standards Note on Business Responsibility and Sustainability Report (BRSR) Core dated 20 Dec 2024

Note: Reasonable assurance has been carried out by BDO India LLP on above indicator

4. Provided the following details related to water discharged:

Parameter	Parameter	FY 2024-25	FY 2023-24
Water	discharge by destination and level of treatment (in kilolitres)
(i) To	Surface water
-	No treatment	-	-
-	With treatment – please specify level of treatment	0	12,018 Tertiary
			Treatment
(ii) To	Groundwater		-
-	No treatment	-	-
-	With treatment – please specify level of treatment	-	-

Note: Reasonable assurance has been carried out by BDO India LLP on above indicator

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Parameter FY 2024-25 FY 2023-24
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Parameter	FY 2024-25 FY 2023-24
(iii) To Seawater - No treatment - With treatment – please specify level of treatment (iv) Sent to third parties - No treatment - With treatment – please specify level of treatment (v) Others - No treatment - With treatment – please specify level of treatment Total water discharged(in kilolitres)	- - 4,85,378 Tertiary Treatment 5,68,206 Tertiary Treatment - - - - - - - - - -
	4,85,378 5,80,224

Note: Reasonable assurance has been carried out by BDO India LLP on above indicator

5. Has the entity implemented a mechanism for Zero Liquid Discharge? If yes, provide details of its coverage and implementation.

Water conservation is a priority for us, and we are fully committed to using water in a responsible manner in our operations. We focus on optimising water use through the adoption of water-efficient technologies, implementing recommendation of periodic internal audits on water infrastructure in our facilities along with the recycling and reuse of treated wastewater.

Our Chemical Business facility in Bhiwadi, Technical Textiles facilities in Manali, Viralimalai, Gummidipoondi and Gwalior, as well as our Performance Films & Foil Business facilities, operate as Zero Liquid Discharge (ZLD) facilities. At other facilities, we have installed wastewater treatment plants that ensure both the quality and quantity of discharged water remain well within the limits prescribed by the respective Pollution Control Boards.

6. Please provide details of air emissions (other than GHG emissions) by the entity, in the following format:

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Parameter Please specify unit FY 2024-25 FY 2023-24
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NOx	MT/Annum	653.80	428.65
SOx	MT/ Annum	883.34	677.53
Particulate Matter (PM)	MT/ Annum	220.27	202.56
Persistent organic pollutants (POP)	-	Not measured	Not measured
Volatile organic compounds (VOC)	-	Not measured	Not measured
Hazardous air pollutants (HAP)	-	Not measured	Not measured
Others-please specify

7. Provide details of greenhouse gas emissions (Scope 1 and Scope 2 emissions) & its intensity, in the following format:

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Parameter Unit FY 2024-25 FY 2023-24
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Total Scope 1 emissions (Break-up of the	Metric tonnes of	9,88,667	9,45,442
GHG into CO2, CH4, N2O, HFCs, PFCs, SF6,	CO2equivalent
NF3, if available)
Total Scope 2 emissions (Break-up of the	Metric tonnes of	3,93,064	4,16,445
GHG into CO2, CH4, N2O, HFCs, PFCs, SF6,	CO2equivalent
NF3, if available)
Total Scope 1 and Scope 2 emissions intensity per rupee of turnover (Total Scope	tCO2e/`Lakhs	1.18	1.26
1 and Scope 2 GHG emissions / Revenue
from operations)
Total Scope 1 and Scope 2 emission	tCO2e/USD million	244.03	257.94
intensity per rupee of turnover adjusted for
Purchasing Power Parity (PPP) (Total Scope
1 and Scope 2 GHG emissions/ Revenue from operations adjusted for PPP)
Total Scope 1 and Scope 2 emission intensity in terms of physical output Total Scope 1 and Scope 2 emission intensity (optional) – the relevant metric	tCO2e/MT -	3.03 -	3.16 -
maybe selected bythe entity

PPP intensity numbers has been recomputed basis the Industry Standards Note on Business Responsibility and Sustainability Report (BRSR) Core dated 20 Dec 2024.

Note: Reasonable assurance has been carried out by BDO India LLP on above indicator

8. Does the entity have any project related to reducing Green House Gas emission? If Yes, then

provide details.

We are committed to reducing our Green House Gas (GHG) emissions and create a positive impact on the planet. During the year, we had undertaken multiple initiatives at our manufacturing locations to reduce GHG emissions. Selected initiative are

Our share of renewable electricity has increased to 31.52%. Higher procurement of wind and solar power from the PPA agreements by our Chemical Business led to the increase.
We continue to increase the use of biomass in our operations
Our energy efficiency measures include
In the Chemical Business, our initiatives such as optimisation and improvement of chiller operation by doing common brine network circuit, replacement of cooling tower fan with energy efficient fan and existing motors with energy efficient motors resulted in savings of more than 25 lakh kWh.
In the TTB, we were able to save more than two lakh kWh through the installation of a “Direct Evaporative cooling unit”, resulting in reductions in energy consumption and operational costs.
In the PFB, we replaced chilled water with additional closed loop cooling tower line from Resin Plant, improving flow and cooling efficiency. Further, the frequency of our cooling water pump was brought down from 50Hz to 40Hz, saving around 360 kWh per day.

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9. Provide details related to waste management by the entity, in the following format:

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----- Start of picture text -----

Parameter FY 2024-25 FY 2023-24
----- End of picture text -----

==> picture [424 x 285] intentionally omitted <==

----- Start of picture text -----

||||
|---|---|---|
|Total Waste generated (in metric tonnes)|
|Plastic waste (A)|4,315|2,996|
|E-waste (B)|7|5|
|Bio-medical waste (C)|0.0152|0.02|
|Construction and demolition waste (D)|123|0|
|Battery waste (E)|2|5|
|Radioactive waste (F)|0|0|
|Other Hazardous waste. (Primarily consists of Spent solvent and|6,00,859|5,40,189|
|process residue|
|generated in Co-processing/Pre-processing)|
|Other Non-hazardous waste generated (H). (Primarily consists of|74,880|75,649|
|fly ash and other miscellaneous scrap items)|
|Total (A+B + C + D + E + F + G + H)|6,80,186|6,18,845|
|Waste intensity per rupee of turnover (Total waste generated /|0.58|0.57|
|Revenue from operations) (MT/|`|Lakh)|
|Waste intensity per rupee of turnover adjusted for Purchasing|120.13|117.21|
|Power Parity (PPP) (Total waste generated / Revenue from|
|operations adjusted for PPP) (MT/ USD million)|
|Waste intensity in terms of physical output (Total waste|1.49|1.43|
|generated/Total production (in MT))|
|-|-|
|Waste intensity (optional) – the relevant metric may be selected|
|by the entity|

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For each category of waste generated, total waste recovered through recycling, re-using or other recovery operations (in metric tonnes)

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||||
|---|---|---|
|Category of waste|
|(i) Recycled|3,31,257|3,01,819|
|(ii) Re-used|1,18,373|1,01,881|
|(iii) Other recovery operations|1,72,519|1,75,365|
|Total|6,22,150|5,79,065|
|For each category of waste generated, total waste disposed by|
|nature of disposal method (in metric tonnes)|
|Category of waste|
|(i) Incineration|121|851|
|(ii) Landfilling|48,366|38,247|
|(iii) Other disposal operations|242|2|
|Total|48,729|39,100|

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PPP intensity numbers has been recomputed basis the Industry Standards Note on Business Responsibility and Sustainability Report (BRSR) Core dated 20 Dec 2024.

Note: Reasonable assurance has been carried out by BDO India LLP on above indicator

10. Briefly describe the waste management practices adopted in your establishments. Describe the strategy adopted by your company to reduce usage of hazardous and toxic chemicals in your products and processes and the practices adopted to manage such wastes.

At SRF, environmental and social responsibility are one of our Aspirations 2030. As part of the environmental and social responsibility, we are committed to manage our waste effectively through our 3R approach – Reduce, Reuse, and Recycle. Our efforts focus on minimizing waste generation at the source, promoting the reuse of materials wherever feasible, and maximising the recycling of remaining waste streams. Accordingly, we work towards integrating circularity across our operations and strive to function within a ‘closed loop’ in our operations.

We have significantly advanced our 3R capabilities by investing in the required infrastructure and processes, such as:

We place a strong emphasis on efficiently using virgin raw material and increasing our recycled input material from our total raw material consumption.
The total recycled input material used in PFB was approximately 3,450 MT (including PET chips & PP chips).
During the year, we implemented several initiatives such as recycling paper tubes and shell rolls in our Technical Textile Business. We were able to recycle 60% of paper tube and 89.8% of shell roll.

11. If the entity has operations/offices in/around ecologically sensitive areas (such as national parks, wildlife sanctuaries, biosphere reserves, wetlands, biodiversity hotspots, forests, coastal regulation zones etc.) where environmental approvals / clearances are required, please specify details in the following format:

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|||||
|---|---|---|---|
|S.|Location of|Type of|Whether the conditions of environmental approval /|
|No.|operations/offices|operations|clearance are being complied with? (Y/N) If no, the|
|reasons thereof and corrective action taken, if any.|
|None|

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12. Details of environmental impact assessments of projects undertaken by the entity based on applicable laws, in the current financial year:

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----- Start of picture text -----

Name and EIA Date Whether Results Relevant Web link
brief details Notification conducted by communicated
of project No. independent in public
external agency Domain (Yes /
(Yes / No) No)
None
13. Is the entity compliant with the applicable environmental law/ regulations/ guidelines in
India, such as the Water (Prevention and Control of Pollution) Act, Air (Prevention and Control
of Pollution) Act, Environment protection act and rules thereunder (Y/N). If not, provide
details of all such non-compliances, in the following format:
S. Specify the law / Provide Any fines / penalties / Corrective action
No. regulation / guidelines details of action taken by regulatory taken, if any
which was not the non- agencies such as pollution
complied with compliance control boards or by courts
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13. Is the entity compliant with the applicable environmental law/ regulations/ guidelines in India, such as the Water (Prevention and Control of Pollution) Act, Air (Prevention and Control of Pollution) Act, Environment protection act and rules thereunder (Y/N). If not, provide details of all such non-compliances, in the following format:

None

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PRINCIPLE 7: Businesses, when engaging in influencing public and regulatory policy, should do so in a manner that is responsible and transparent

Essential Indicators

1. a. Number of affiliations with trade and industry chambers/ associations.

10

b. List the top 10 trade and industry chambers/ associations (determined based on the total members of such body) the entity is a member of/ affiliated to.

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S. Name of the trade and industry chambers/ associations Reach of trade and
No. industry chambers/
associations (State/
National)
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----- Start of picture text -----

||||
|---|---|---|
|1|Confederation of Indian Industry|National|
|2|Refrigerant Gases Manufacture Association|National|
|3|Indian Chemical Council|National|
|4|CHEMEXCIL|National|
|5|Association of Chloromethanes Manufacturers|National|
|6|National Safety Council|National|
|7|Manmade and Technical Textiles Export Promotion Council (MATEXIL)|National|
|8|Polyester Textile Apparel Industry Association (PTAIA)|National|
|9|Indian Technical Textile Association (ITTA)|National|
|10|Quality Circle Forum of India|National|

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2. Provide details of corrective action taken or underway on any issues related to anticompetitive conduct by the entity, based on adverse orders from regulatory authorities.

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||||
|---|---|---|
|Name of authority|Brief of the case|Corrective action taken|
|None|

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PRINCIPLE 8: Businesses should promote inclusive growth and equitable development

Essential Indicators

2. Provide information on project(s) for which ongoing Rehabilitation and Resettlement (R&R) is being undertaken by your entity.

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||||||||
|---|---|---|---|---|---|---|
|S.|Name of Project|State|District|No. of Project|% of PAFs|Amounts paid to|
|No.|for which R&R is|Affected Families|covered by|PAFs in the FY|
|ongoing|(PAFs)|R&R|(In|`|)|
|None|

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3. Describe the mechanisms to receive and redress grievances of the community.

We are committed to having an accessible and effective grievance mechanism for our communities. This robust system allows us to receive and address any complaints or concerns raised. To ensure we understand and respond appropriately, we actively engage with local communities through various channels, including personal visits, surveys, meetings, and written correspondence. Community members can also easily reach us through the dedicated “Contact us” section on our website, ensuring multiple avenues for their voices to be heard and their concerns to be resolved through our established redressal process.

4. Percentage of input material (inputs to total inputs by value) sourced from suppliers.

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||||
|---|---|---|
|FY 2024-25|FY 2023-24|
|Directly sourced from MSMEs/ small producers|18.41%|25.54%|
|Sourced directly from within India|71.19%|72.93%|

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Note: Reasonable assurance has been carried out by BDO India LLP on above indicator

5. Job creation in smaller towns – Disclose wages paid to persons employed (including employees or workers employed on a permanent or non-permanent/ on contract basis) in the following locations, as % of total wage cost

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Location FY 2024-25 FY 2023-24
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----- Start of picture text -----

||||
|---|---|---|
|Rural|-|-|
|Semi-urban|50%|52%|
|Urban|15%|14%|
|Metropolitan|35%|34%|

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(Place to be categorized as per RBI Classification System – rural/ semi-urban/ urban/ metropolitan)

Note: Reasonable assurance has been carried out by BDO India LLP on above indicator

1. Details of Social Impact Assessments (SIA) of projects undertaken by the entity based on applicable laws, in the current financial year.

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----- Start of picture text -----

Name and SIA Date of Whether Results Relevant Web
brief details Notification notification conducted by communicated link
of project No. independent in public
external agency domain (Yes /
(Yes / No) No)
None
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PRINCIPLE 9: Businesses should engage with and provide value to their consumers in a responsible manner

Essential Indicators

1. Describe the mechanisms in place to receive and respond to consumer complaints and feedback.

Customer advocacy is central to our Aspirations 2030, and we aim to be a trusted and preferred business partner by fostering strong, responsive relationships. We have a structured complaint resolution system in place, accessible through the “Contact Us” section of our website, ensuring timely redressal.

Our marketing and customer relationship management team regularly engage with customers through discussion, surveys, and meetings to gather insights. We also float periodic satisfaction surveys for our customer. Their response helps us in improving our offerings reflecting our dedication to customer-centricity.

2. Turnover of products and/services as a percentage of turnover from all products/service that carry information about:

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----- Start of picture text -----

As a percentage to total turnover
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Environmental and social parameters relevant to the product	100%
Safe and responsible usage	100%
Recyclingand/or safe disposal	Not Applicable

3. Number of consumer complaints in respect of the following:

	FY 2024-25 FY 2023-24
	Received during the year Pending resolution at end of year Remarks Received during the year Pending resolution at end of year Remarks
Data privacy Advertising Cyber-security Delivery of essential services Restrictive Trade practices Unfair Trade Practices Others	0 0 None 0 0 None 0 0 None 0 0 None 0 0 None 0 0 None 0 0 None 0 0 None 0 0 None 0 0 None 0 0 None 0 0 None 555 13 None 520 5 None

4. Details of instances of product recalls on account of safety issues:

	Number	Reasons for recall
Voluntary recalls	0	Not applicable
Forced recalls	0	Not applicable

5. Does the entity have a framework/policy on cyber security and risks related to data privacy? (Yes/No) If available, provide a web-link of the policy.

Safeguarding the security and confidentiality of the Company’s information and data is essential for maintaining smooth operations and stakeholder trust. At SRF, we have established a comprehensive cybersecurity policy and implementation framework to uphold these standards. The policy can be found here https://www.srf.com/wp-content/uploads/2024/03/Cyber-Security-Policy.pdf

Some of our key strategies to mitigate Cybersecurity risks are mentioned below:

Strengthening network boundaries with technologies like dual firewalls, content filtering for internet and email, and secure VPNs.
Securing data centers and implementing robust identity and access control, including multi-factor authentication.
Managing and monitoring privileged IT user access through PIM/PAM systems.
Conducting regular cybersecurity awareness training for employees.
Managing mobile devices to mitigate data leak risks for specific users.
Protecting intellectual property through classification and encryption using IRM solutions to prevent data exfiltration.
Maintaining and upgrading infrastructure (servers, network, IT-OT) with proper segregation and micro-segmentation.
Utilizing additional security hardware and software for enhanced data protection.
- Operating a 24/7 Security Operations Centre (SOC) for security event management and monitoring.
Deploying advanced anti-malware and Endpoint Detection and Response (EDR) on all endpoints and servers.
Performing routine automated vulnerability scans and applying necessary patches.
Maintaining segregated backups to ensure data recovery after a security incident.

6. Provide details of any corrective actions taken or underway on issues relating to advertising, and delivery of essential services; cyber security and data privacy of customers; re-occurrence of instances of product recalls; penalty / action taken by regulatory authorities on safety of products / services.

Not Applicable

7. Provide the following information relating to data breaches:

a. Number of instances of data breaches along-with impact None
b. Percentage of data breaches involving personally identifiable information of customers None
c. Impact, if any, of the data breaches

None

Note: Reasonable assurance has been carried out by BDO India LLP on above indicator

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Independent Assurance Statement

To

SRF Limited, The Galleria, DLF Mayur Vihar, Unit No. 236 & 237, Second Floor, Mayur Place, Noida Link Road, Mayur Vihar Phase-1 Extn, Delhi 110 091

Independent Assurance Statement on Business Responsibility and Sustainability Report (BRSR) disclosures and Integrated Annual Report (IAR) for the financial year 2024-25.

Introduction and objective of engagement

SRF Limited (the 'Company') has developed its Business Responsibility and Sustainability Report (‘BRSR’) including the BRSR Core Indicators1, based on the BRSR reporting guidelines prescribed by SEBI for listed entities. The reporting criteria have been derived from the Principles of National Guidelines on Responsible Business Conduct, 2018 (NGRBC), and Greenhouse Gas (GHG) Protocol - A Corporate Accounting and Reporting Standard.

BDO India LLP (BDO) was engaged by the Company to provide independent assurance on select non-financial sustainability disclosures in the BRSR (the ‘Report’) for the period 1st April 2024 to 31st March 2025.

The Company’s responsibilities

The content of the Report and its presentation are the sole responsibilities of the Management of the Company. The Company’s Management is also responsible for the design, implementation, and maintenance of internal controls relevant to the preparation of the Report, so that it is free from material misstatement.

BDO’s responsibility

BDO’s responsibility, as agreed with the Management of the Company, is to provide assurance on the BRSR Core Indicators as described in the ‘Scope & boundary of assurance’ section below. We do not accept or assume any responsibility for any other purpose or to any other person or organization. Any reliance a third party may place on the Report is entirely at its own risk.

Assurance standard and criteria

We conducted our assurance engagement in accordance with International Standard on Assurance Engagements (ISAE) 3000 (Revised), “Assurance Engagements Other than Audits or Reviews of Historical Financial Information”, and ISAE 3410, “Assurance Engagements on Greenhouse Gas Statement”, issued by the International Auditing and Standards Board. We applied the criteria of ‘Reasonable’ Assurance for non-financial Core Indicators of BRSR (Business Responsibility & Sustainability Report).

Scope & boundary of assurance

We have assured the BRSR Core Indicators1, (as set out under Appendix 1 to this statement), pertaining to the Company’s non-financial performance for the period 1st April 2024 through 31st March 2025.

The reporting scope and boundary cover the Company’s operations.

Assurance methodology

Our assurance process entailed conducting procedures to gather evidence regarding the reliability of the disclosures covered in the assurance scope. The physical & virtual verification on sample basis was carried out at the following locations:

Corporate Office, Gurugram;
Chemical Business: Dahej Site & Bhiwadi Site;
Performance Films & Foil Business: Indore Site [Domestic Tariff Area 1 (DTA1), Domestic Tariff Area 2 (DTA2) & Special Economic Zone (SEZ)].

These manufacturing facilities, combined, represent approximately 80% of the revenue generated by the Company. We conducted a review and verification of data collection, collation, and calculation methodologies, and a general review of the logic of inclusion/ omission of relevant information/ data in the Report.

We used our professional judgement as Assurance Provider for selection of sample of the Company’s locations/facilities and non- financial information for the verifications.

We conducted a review and verification of data collection, collation, and calculation methodologies,

and a general review of the logic of inclusion/omission of relevant information/data in the Report.

Our review process included:

Evaluate and assess the appropriateness of the quantification methods used to arrive at the non-financial/sustainability information of the BRSR Core Indicators;
Review of consistency of data/information within the Report as well as between the Report and source;
Engagement through discussions with personnel at both corporate and plant/facility levels who are accountable for the data and information presented in the Report;
Execution of an audit trail of claims and data streams, to determine the level of accuracy in collection, transcription, and aggregation;
Review of data collection and management procedures, and related internal controls.

Limitations & exclusions

There are inherent limitations in assurance engagement, including, for example, the use of judgment and selective testing of data. Accordingly, there are possibilities that material misstatements in the sustainability information of the Report may remain undetected.

The assurance scope specifically excludes:

Data and information outside the defined reporting period (1st April 2024 to 31st March 2025);
Review of the ‘economic and/or financial performance indicators’ included in the Reports, specifically, the financial information based on which such indicators are reported; we have been informed by the Company that these are derived from the Company’s audited financial records;
The Company’s statements and claims related to any topics other than those listed in the ‘Scope and boundary of assurance’;
The Company's statements that describe qualitative/quantitative assertions, expression of opinion, belief, inference, aspiration, expectation, aim or future intention.

Our observations

Based on our review of the Report, we observed that the disclosures of the Company, covered under the ‘Scope and boundary of assurance’, are fairly reliable. Certain data collation and compilation discrepancies, which were noted during our review, were subsequently corrected.

Our above observations, however, do not affect our conclusion regarding the Report.

Our conclusions

Based on the scope of our review, we concluded that the non-financial sustainability disclosures of the BRSR Core indicators as mentioned in ‘Scope and boundary of assurance’ fairly fulfil the criteria of relevance, completeness, reliability, neutrality, and understandability as per ‘reasonable’ assurance criteria.

Our assurance team and independence

BDO India LLP is a professional services firm providing services in Advisory, Assurance, Tax, and Business Advisory Services, to both domestic and international organizations across industry sectors. Our non-financial assurance practitioners for this engagement are drawn from a dedicated Sustainability and ESG Team in the organization. This team is comprised of multidisciplinary professionals, with expertise across the domains of sustainability, global sustainability reporting standards and principles, and related assurance standards. This team has extensive experience in conducting independent assurance of sustainability data, systems, and processes across sectors and geographies. As an assurance provider, BDO India LLP is required to comply with the independence requirements set out in the International Federation of Accountants (IFAC) Code of Ethics for Professional Accountants. Our independence policies and procedures ensure compliance with the Code.

For BDO India LLP

Dipankar Ghosh

Partner & Lead

Sustainability & ESG

Business Advisory Services Gurugram, Haryana

30 May 2025

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Appendix 1

The sustainability non-financial indicators considered during the engagement are based on BRSR Framework are as follows:

A. BRSR Core Indicators

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Sr. Principle/ Attribute Parameter
No. Indicator/
Reference
1 Principle 6-E7 Green-house 1 . Total scope 1 emissions
----- End of picture text -----

1	Principle	6-E7	Green-house	1.Total scope 1 emissions
			gas (GHG) footprint	2.Total scope 2 emissions
				3.GHG emission Intensity (Scope 1 + 2):
				a) Total Scope 1 and Scope 2 emissions per rupee of turnover
				b) Total Scope 1 and Scope 2 emission per rupee of turnover
				adjusted for Purchasing Power Parity (PPP)
				c) Total Scope 1 and Scope 2 emission intensity in terms of
				physical output
2	Principle	6-E3	Water footprint	1.Total water withdrawn
	Principle	6-E4		2.Total volume of water consumption
				3.Water consumption intensity:
				a) Water consumption per rupee of turnover
				b) Water consumption per rupee of turnover adjusted for
				Purchasing Power Parity (PPP)
				c) Water intensity in terms of physical output
				4.Water Discharge by destination and levels of Treatment
3	Principle	6-E1	Energy footprint	1.Total energy consumed
				2.% of energy consumed from renewable sources
				3. Energy intensity:
				a) Energy consumed per rupee of turnover
				b) Energy consumed per rupee of turnover adjusted for
				Purchasing Power Parity (PPP)
				c) Energy intensity in terms of physical output
4	Principle	6 – E9	Embracing	1. Total waste generated
			circularity- details related	2. Waste generated intensity:
			to waste	a) Waste generated per rupee of turnover
			management by the entity	b) Waste generated per rupee of turnover adjusted for Purchasing Power Parity (PPP)
				c) Waste intensity in terms of physical output
				3.For each category of waste generated, total waste recovered
				through recycling, re-using or other recovery operations
				4.For each category of waste generated, total waste disposed by
				nature of disposal method

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Sr. Principle/ Attribute Parameter
No. Indicator/
Reference
----- End of picture text -----

5	Principle	3	– E1(C)	Enhancing	1.Spending on measures towards well- being of employees and
	Principle	3	– E11	employee	workers- cost incurred as a % of total revenue of the company.
				wellbeing and Safety	2.Details of safety related incidents for employees and workers
					a) Lost Time Injury Frequency Rate (LTIFR) (per one million-
					person hours worked)
					b) Total recordable work-related injuries
					c) No. of fatalities
					d) High consequence work-related injury or ill-health (excluding
					fatalities)
6	Principle	5	– E3(b)	Enabling	1.Gross wages paid to females as a % of total wages paid
	Principle	5	– E7	Gender Diversity in	2.Complaints on POSH
				Business	a) Total Complaints reported under Sexual Harassment on of
					Women at Workplace (Prevention, Prohibition and Redressal)
					Act, 2013 (POSH)
					b) Complaints on POSH as a % of female employees / workers
					c) Complaints on POSH upheld
7	Principle	8	– E4	Enabling	1.Input material sourced from following sources as % of total
	Principle	8	– E5	Inclusive	purchases Directly sourced from MSMEs/ small producers and
				Development	directly from within India
					2.Job creation in smaller towns- wages paid to people employed in
					smaller towns (permanent or non-permanent/on contract) as % of
					total wage cost
8	Principle	9	– E7	Fairness in	1.Instances involving loss/ breach of data of customers as a
	Principle	1	– E8	Engaging with	percentage of total data breaches or cyber security events
				Customers and Suppliers	2.Number of days of accounts payable
9	Principle	1	– E9	Open-ness of	1.Concentration of purchases & sales done with trading houses,
				business	dealers, and related parties
					a) Purchases from trading houses as % of total purchases
					b) Number of trading houses where purchases are made from
					c) Purchases from top 10 trading houses as % of total purchases
					from trading houses
					d) Sales to dealers / distributors as % of total sales
					e) Number of dealers / distributors to whom sales are made
					f) Sales to top 10 dealers / distributors as % of total sales to
					dealers / distributors
					2. Loans and advances & investments with related parties Share of
					RPTs (as respective %age) in:
					a) Purchases
					b) Sales
					c) Loans & advances
					d) Investments

Notes:

For BRSR indicators, “E” denotes Essential Indicators.

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Statutory Financial 222 Reports Statements

Corporate Our 12 Overview Approach to ESG

SRF Limited

(CIN: L18101DL1970PLC005197)

Regd. Office: The Galleria, DLF Mayur Vihar, Unit No. 236 & 237, 2nd Floor, Mayur Place, Mayur Vihar Phase I Extn, Delhi – 110091

Tel. No: (+91-11) 49482870, (+91-124) 4354400, Fax: (+91-11) 49482900, (+91-124) 4354500 Email: [email protected] website: www.srf.com

NOTICE

Notice is hereby given that the 54[th] Annual General Meeting of SRF Limited will be held on Thursday, July 03, 2025 at 11.00 a.m. through Video Conferencing (“VC”) / Other Audio Visual Means (“OAVM”) facility to transact the following businesses: -

the time being in force (“Rules”), Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 (“Listing Regulations”), as amended, articles of association of the Company and based on the recommendation of the Nomination and Remuneration Committee (“NRC”) and the Board of Directors of the Company (hereinafter referred to as the “Board”, which term shall be deemed to include any Committee of the Board constituted to exercise its powers, including the powers conferred by this resolution), and subject to such other sanctions/approvals, as may be necessary or required, consent of the members be and is hereby accorded to the re-appointment of Mr. Ashish Bharat Ram (DIN 00671567) as Chairman and Managing Director of the Company for further term commencing from May 23, 2025 till March 31, 2030 (both inclusive), liable to retire by rotation, on following terms and conditions including remuneration:

Ordinary Business

Adoption of Audited Standalone and Consolidated Financial Statements

To receive, consider and adopt the standalone and consolidated audited financial statements of the Company for the financial year ended March 31, 2025 along with the Reports of the Auditors’ and Board of Directors’ thereon.

Re-appointment of Director retiring by rotation

To appoint a Director in place of Mr. Ashish Bharat Ram (DIN 00671567), who retires by rotation and being eligible, offers himself for re-election.

Tenure

Special Business

The re-appointment of Mr. Ashish Bharat Ram (DIN 00671567) as Chairman and Managing Director is for a period with effect from May 23, 2025 to March 31, 2030 (both inclusive), liable to retire by rotation.

Re-Appointment of Mr. Ashish Bharat Ram (DIN 00671567) as Chairman & Managing Director

To consider and, if thought fit, to pass, with or without modification(s), the following resolution as an Ordinary Resolution :

Nature of Duties

The Chairman & Managing Director shall have the overall responsibility for looking after day to day management of the Company and devote his whole time and attention to the business of the Company and perform such duties as may be entrusted to him by the Board of SRF Limited from time to time and exercise such powers as may be assigned to him, subject to the superintendence, control and directions of the Board of Directors of SRF Limited in connection

“ RESOLVED THAT pursuant to the provisions of Sections 196, 197 and all other applicable provisions, if any, of the Companies Act, 2013 (hereinafter referred to as the ‘Act’) read along with Schedule V to the Act, the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 including any statutory modification(s) or re-enactment(s) thereof for

with and in the best interests of the business of the Company, including performing duties as assigned to the Chairman & Managing Director from time to time.

Remuneration

Salary: The NRC and Board, after taking into consideration the duties and responsibilities of Mr. Ashish Bharat Ram and considering the size and complexity of the business, approved salary of 90.00 lakhs per month for the financial year 2025-26 (Previous Year – 84.625 lakhs per month) in the grade of 90,00,000 (Rupees ninety lakhs only) per month to 1,50,00,000 (Rupees One Crore and Fifty lakhs only) per month. This includes Basic Pay and Personal Pay. Upon the recommendations of the NRC, the Board is authorized to determine the salary and grant such increase(s) in salary and/ or allowances by whatever name called from time-to time within the aforesaid limit.

Commission: Commission shall be based on the performance criteria laid down in the Nomination, Appointment & Remuneration Policy and the overall performance of the Company, subject to the overall ceiling stipulated in Section 197 of the Companies Act, 2013, related Rules and SEBI (Listing and Other Disclosures) Regulations, 2015. The same shall be decided by the Board upon recommendations of the NRC.

Perquisites: Perquisites are classified into three

categories ‘A’, ‘B’ and ‘C’ as follows:

Category ‘A’

a) Medical Reimbursement:

Expenses incurred, including Medical Insurance, for self and family subject to a ceiling of one month’s salary in a year.

Category ‘B’

a) Company’s contribution towards Provident
Fund as per applicable rules.
b) Gratuity payable shall not exceed 15 days of Basic Pay for each completed year of service or part thereof in excess of six months.

Category ‘C’

The Company shall provide a car with chauffeur and telephone at the residence. Provisions of the car for use in Company’s business and telephone at residence will not be considered as perquisites.

The Chairman & Managing Director shall be entitled to leave, in accordance with the Rules of the Company. Privilege Leave earned but not availed by him would be encashable at the time of his retirement.

Other allowances, benefits and perquisites admissible as per limits approved by the NRC of the Company.

General

(i) In the event of absence or inadequacy of profits in any financial year, Mr. Ashish Bharat Ram shall be entitled to such remuneration as may be determined by the Board upon recommendations of the NRC, which shall not, except with the approval of the Shareholders, exceed the limits prescribed under Schedule V of the Companies Act, 2013 and the Rules made thereunder or any statutory modification or re-enactment thereof.
(ii) Perquisites shall be valued in terms of income-tax rules or actual expenditure incurred by the Company in providing the benefit or generally accepted practice as is relevant.
(iii) The aggregate remuneration (including Salary, Allowances, Perquisites, commission and Retirement benefits) payable to Mr. Ashish Bharat Ram, Chairman & Managing Director for any financial year or part thereof shall be subject to an overall ceiling of ` 5 Crores or 2.5% of the net profits of the Company for that financial year, whichever is higher, as prescribed under the SEBI (Listing and Other Disclosures) Regulations, 2015, computed in the manner prescribed under Section 198 of the Companies Act, 2013 or such other percentage, as may be applicable,

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from to time, subject to such approvals as may be necessary.

(iv) Mr. Ashish Bharat Ram will not be entitled to any sitting fees for attending meetings of the Board or any Committee thereof.
(v) Mr. Ashish Bharat Ram will not be entitled for grant of stock options under Employee Stock Option Scheme(s), if any.
(vi) The appointment may be terminated earlier, without any cause, by either Party by giving to the other Party six months’ notice of such termination or the Company paying six months’ remuneration which shall be limited to the provision of Salary, Benefits, Perquisites, Allowances and any pro-rated commission (paid at the discretion of the Board), in lieu of such notice.
(vii) Mr. Ashish Bharat Ram will be subject to all other service conditions as applicable to any other employee of the Company. He will not be entitled to severance fee or any other compensation for any loss of office.

“RESOLVED FURTHER THAT the NRC be and is hereby authorised to recommend/ decide from time to time the salary, perquisites and commission payable to Mr. Ashish Bharat Ram (DIN: 00671567) during his tenure with effect from 23 May 2025 within the approved ceiling of remuneration in accordance with the Nomination and Remuneration Policy, as amended from time to time.”

“RESOLVED FURTHER THAT the powers and authorities delegated by the Board to Mr. Ashish Bharat Ram (DIN: 00671567), from time to time, including powers to sub-delegate shall remain valid upon his re-appointment.”

RESOLVED FURTHER THAT for the purposes of giving effect to the above resolution, the Board be and is hereby authorized to execute all such agreements, documents, instruments and writings, file requisite filings, settle all questions,

difficulties or doubts that may arise in this regard including for obtaining necessary approvals in relation thereto, and do such other acts, deeds, matters and things as may be considered necessary, desirable or expedient and delegate all or any of its powers herein conferred to any committee of directors or director(s) or officer(s) of the Company.”
Appointment of M/s. Sanjay Grover & Associates, Firm of Company Secretaries in Practice for a term of 5 years as Secretarial Auditor
To consider and, if thought fit, to pass, with or without modification(s), the following resolution as an Ordinary Resolution :

“RESOLVED THAT pursuant to the provisions of Section 204 and other applicable provisions of the Companies Act, 2013, if any and Rule 9 of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 and Regulation 24A and other applicable provisions of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 (including any statutory modification(s) or re-enactment(s) thereof, for the time being in force) and subject to receipt of such other approvals, consents and permissions as may be required, M/s. Sanjay Grover & Associates, Firm of Company Secretaries in Practice (Firm Registration Number P2001DE052900) be and are hereby appointed as Secretarial Auditors of the Company for a term of upto 5 (Five) consecutive years, to hold office from April 1, 2025 till March 31, 2030, at a remuneration to be fixed by the Board of Directors of the Company or any Committee of the Board of Directors (‘the Board’).

RESOLVED FURTHER THAT the Board be and is hereby authorized to do all such acts, deeds, things and to sign all such documents and writings as may be necessary to give effect to this resolution and for matters connected therewith or incidental thereto.”

5. Ratification of Remuneration of Cost Auditors for financial year 2025-26

and the Companies (Audit and Auditors) Rules, 2014 (including any statutory modification(s) or re-enactment thereof, for the time being in force), the remuneration payable to the Cost Auditors appointed by the Board of Directors of the Company, to conduct the audit of the cost records of the Company for the financial year ending March 31, 2026 as provided below, be and is hereby ratified:

To consider and if thought fit, to pass with or without modification(s), the following resolution as an Ordinary Resolution :

“ RESOLVED THAT pursuant to the provisions of Section 148 and all other applicable provisions, if any, of the Companies Act, 2013

==> picture [426 x 18] intentionally omitted <==

----- Start of picture text -----

Name of Cost Auditor Business Remuneration payable
----- End of picture text -----

H Tara & Co.	Technical Textiles Business	`3.25 lakhs plus applicable taxes and
(Membership No. 17321)	and Other Businesses	reimbursement of actual out of pocket expenses
Sanjay Gupta & Associates (Membership No. 18672)	Chemicals Business and Performance Films & Foil	`5.25 lakhs plus applicable taxes and reimbursement of actual out of pocket expenses
	Business

or invitation to subscribe to
6. Offer Redeemable Non-Convertible Debentures of the Company on private placement

and most beneficial to the Company including as to the timing of issue of such Debentures, the consideration for the issue, the utilisation of the issue proceeds and all other matters connected with or incidental thereto.

To consider and if thought fit, to pass with or without modification(s), the following resolution as a Special Resolution :

RESOLVED FURTHER THAT the Board of Directors of the Company be and is hereby authorised to do all acts and take all such steps including the power to sub-delegate the powers as may be necessary, proper or expedient to give effect to this resolution.”

“ RESOLVED THAT pursuant to the provisions of Sections 42 , 71, 179 and any other applicable provisions of the Companies Act, 2013 read with Companies (Prospectus and Allotment of Securities) Rules, 2014 (including any statutory modification(s) or re-enactment thereof, for the time being in force), the Board of Directors of the Company (which term shall be deemed to include any Committee of the Board duly authorized by it in this regard in accordance with the applicable provisions of the said Act) be and is hereby authorised to issue, offer or invite subscriptions for secured/unsecured redeemable non-convertible debentures, in one or more series/tranches, aggregating upto ` 1500 crores (Rupees fifteen hundred crores only), on private placement basis, and on such terms and conditions as the Board of Directors may, from time to time, determine and consider proper

By Order of the Board of Directors

Rajat Lakhanpal Date : May 12, 2025 Sr. VP (Corporate Compliance) & Company Secretary Place : Gurugram Membership No. ACS 12725

SRF Limited

(CIN: L18101DL1970PLC005197) Regd. Office: The Galleria, DLF Mayur Vihar, Unit No. 236 & 237, 2nd Floor, Mayur Place, Mayur Vihar Phase I Extn, Delhi – 110091

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NOTES

Explanatory Statement pursuant to Section 102 of the Companies Act, 2013, which sets out details of material facts relating to the Special businesses to be transacted at this AGM, is annexed hereto.
Ministry of Corporate Affairs (“MCA”), vide Circular No. 14/2020 dated April 8, 2020, Circular No.17/2020 dated April 13, 2020, Circular No. 20/2020 dated May 5, 2020 ,Circular No. 02/2021 dated January 13, 2021, Circular No. 2/2022 dated May 5, 2022 , Circular No. 10/2022 dated December 28, 2022, Circular No. 09/2023 dated September 25, 2023 and Circular No. 09/2024 dated September 19, 2024 (collectively referred to as ‘MCA Circulars’) and SEBI vide its circular dated May 12, 2020, January 15, 2021, May 13, 2022, January 5, 2023, October 07, 2023 and October 03, 2024 (collectively referred to as ‘SEBI Circulars’) has permitted to hold Annual General Meeting (AGM) through Video Conferencing (VC) or Other Audio Visual means (OAVM).
In compliance with the applicable provisions of the Companies Act, 2013 (“the Act”) read with the aforesaid MCA Circulars and SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 (“Listing Regulations”), the 54th AGM of the Company is being conducted through VC/OAVM. Deemed Venue for meeting will be Registered Office: The Galleria, DLF Mayur Vihar, Unit No. 236 & 237, 2nd Floor, Mayur Place, Mayur Vihar Phase I Extn, Delhi – 110091.
National Securities Depository Limited (NSDL), will be providing facility for voting through remote e-voting, for participation in the 54th AGM through VC/OAVM facility and e-voting during the AGM.
Since, the meeting is being conducted through VC/OAVM, facility of appointing proxies to attend and vote at the meeting on behalf of the members of the Company is not available and hence the proxy form is not annexed to this notice. However, Body Corporates are entitled to appoint authorized representatives to attend the

AGM through VC/OAVM and participate thereat and cast their votes through e-voting.

Body Corporates who intend to authorize representatives to participate and vote on their behalf in the meeting to be held through VC/ OAVM are requested to send, in advance, a duly certified copy of the relevant board resolution/ letter of authority/power of attorney to the Scrutinizer by e-mail to [email protected] and to the Company at [email protected] through its registered E-mail Address.

The attendance of members (members’ login) attending the AGM through VC/ OAVM shall be reckoned for the purpose of Quorum under Section 103 of the Companies Act, 2013 and hence no attendance slip is attached to the notice.
Pursuant to the applicable provisions of the Companies Act 2013, unpaid/unclaimed dividends up to the financial year 2017-18, were transferred to the Investor Education & Protection Fund (IEPF). Besides the dividend so transferred, Company has also transferred the relative share scrips in respect of dividends which remained unpaid for a continuous period of seven years to the demat account of IEPF Authority, in accordance with the applicable provisions of Companies Act, 2013 and Rules made thereunder. It may be noted that once the unclaimed / unpaid dividend and/or shares are so transferred; the same can only be reclaimed by a shareholder from the IEPF Authority in accordance with the applicable provisions of the Companies Act 2013 and relevant Rules made thereunder by following the prescribed procedure in this regard. The IEPF Rules and the application Form (Form IEPF-5), as prescribed by the Ministry of Corporate Affairs, are available on the website of the Ministry of Corporate Affairs at www.iepf.gov.in. Details of the unpaid/ unclaimed dividend and shares transferred to IEPF from time to time also have been uploaded on the “Investors Section” of the website of the Company viz. www.srf.com .

Members, who have not encashed their dividend pertaining to financial year 2018-19 onwards, are advised to write at [email protected]

to M/s. Kfin Technologies Limited, Registrar of the Company immediately for claiming the same.

Members desiring any information/ clarification on the financial statements or any of the resolutions as detailed in the Notice are requested to write to the Company on or before June 26, 2025 through an E-mail to cs@srf. com, specifying his/her name along with Demat account details. The same shall be replied by the Company suitably.
The Register of Directors and Key Managerial Personnel and their shareholding maintained under Section 170 of the Companies Act, 2013, the Register of contracts or arrangements in which directors are interested under Section 189 of the Companies Act, 2013, ESPS Certificate by Secretarial Auditor dated May 12, 2025 that SRF Limited Long term Share based Incentives Plan, 2018 has been implemented in accordance with SEBI (Share Based Employee Benefits and Sweat Equity) Regulations, 2021 and in accordance with the resolutions of the company passed through Postal Ballot on March 26, 2018. All documents referred to in the Notice will also be available for electronic inspection without any fee by the members from the date of circulation of this Notice up to the date of AGM, i.e. July 03, 2025. Members can inspect the same by sending an E-mail to [email protected].
Pursuant to the MCA Circulars and SEBI Circulars, the Notice of the 54th AGM and the Annual Report for the financial year 2024-25 are being sent only by email to the Members whose name appear in the register of members/depositories as at closing hours of business on May 30, 2025. Members may note that the Notice and Annual Report 2024-25 will also be available on the Company’s website www.srf.com, websites of the Stock Exchanges, that is, BSE Limited and National Stock Exchange of India Limited at www.bseindia.com and www.nseindia.com, respectively, and on the website of NSDL, the e-voting agency at www.evoting.nsdl.com. Further, in terms of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, as amended for those shareholders whose email id

is not registered, a letter providing the web-link, including the exact path where complete details of the Annual Report are available, will be sent at their registered address. The physical copy of the Notice along with Annual Report shall be made available to the Member(s) who may request the same in writing to the Company.

Those Members, whose email address is not registered with the Company or with their respective Depository Participant/s, and who wish to receive the Notice of the 54th AGM and the Annual Report for the year 2024-25 and all other communication sent by the Company, from time to time, can get their email address registered by following the steps as given below:-
a. For Members holding shares in physical form, please send scan copy of a signed request letter mentioning your folio number, complete address, email address to be registered along with scanned self-attested copy of the PAN and any document (such as Driving License, Passport, Bank Statement, AADHAR) supporting the registered address of the Member, by email to the Company’s email address at [email protected] or to Registrar & Transfer Agent email address at Einward. [email protected]
b. For the Members holding shares in demat form, please update your email address through your respective Depository Participant/s.
We request Members to support our commitment to environmental protection by choosing to receive the Company’s communication through email. Members holding shares in Demat mode, who have not registered their email addresses are requested to register their email addresses with their respective DP, and Members holding shares in physical mode are requested to update their email addresses with the Company’s RTA at [email protected]. Members may follow the process detailed below for availing other services from RTA :

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Type of Holder

Process to be followed

Physical For availing the following investor services, send a written request in the prescribed forms to the RTA of the Company, KFin Technologies Limited either by email to [email protected] or by post to Selenium Tower B, Plot 31 & 32, Financial District, Nanakramguda, Serilingampally Mandal, Hyderabad – 500032

Form for availing investor services to register PAN, email address, Form ISR - 1 bank details and other KYC details or changes / update thereof for securities held in physical mode

Update of signature of securities holder Form ISR - 2 For nomination as provided in the Rules 19 (1) of Companies (Share Form SH-13 capital and debenture) Rules, 2014

Form ISR - 2

Declaration Form for Opting-out of Nomination Form ISR-3 Cancellation of nomination by the holder(s) (along with ISR-3) / Form SH-14 Change of Nominee Form for requesting issue of Duplicate Certificate and other service ISR-4 requests for shares / debentures / bonds, etc., held in physical form

The forms for updating the above details are available at Company’s Website https:// www.srf.com/investors/investors-information/ and website of RTA at Investor Support Center | Kfntech Demat Please contact your DP and register your email address and bank account details in your demat account, as per the process advised by your DP.

member desires to opt out or cancel the earlier nomination and record a fresh nomination, he/ she may submit the same in Form ISR-3 or SH-14 as the case may be. The said forms can be downloaded from the website of the Company and RTA. Members holding shares in electronic form may approach their respective DPs for completing the nomination formalities.

Shareholders are requested to submit their PAN, KYC and nomination details to the Company’s RTA KFin Technologies Limited at https:// ris.kfintech.com/clientservices/isc/default. aspx. The forms for updating the same are available at https://www.srf.com/investors/ investors-information/ Members holding shares in electronic form are also requested to submit / update their KYC details and bank details with their depository participant(s) and link PAN with Aadhaar, if required.
To prevent fraudulent transactions, members are advised to exercise due diligence and notify to their Depositories Participants (DPs) in respect of their electronic share accounts and to the Company’s Registrar of any change in address or demise of any member as soon as possible. Members are also advised to not leave their demat account(s) dormant for long. Periodic statement of holdings should be obtained from the concerned DPs and holdings should be verified from time to time.
Nomination facility as per the provisions of Section 72 of the Act is available to individuals holding shares in the Company. Members can nominate a person in respect of all the shares held by him singly or jointly. Members holding shares in physical form and who have not yet registered their nomination are requested to register the same by submitting Form No. SH-13. If a
In case of joint holders attending the meeting, the members whose name appear as the first holder in the order of names as per the Register of Members of the Company will be entitled to vote.

Voting through electronic means

I. In compliance with provisions of Section 108 of the Companies Act, 2013, read with Rule 20 of the Companies (Management and Administration) Rules, 2014, as amended, Secretarial Standard on General Meetings (SS-2) issued by the Institute of Company Secretaries of India (“ICSI”) and the provisions of Regulation 44 of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015,read with MCA Circulars and SEBI Circulars, the Company is providing remote e-Voting facility to its Members in respect of the business to be transacted at the 54th AGM and facility for those Members participating in the 54th AGM to cast vote through e-Voting system during the 54th AGM.
II. The remote e-Voting period will commence on June 30, 2025 (9:00 am IST) and end on July 02, 2025 (5:00 pm IST). During this period, Members of the Company, holding shares either in physical form or in dematerialized form, as on the cut-off date of June 26, 2025 , may cast their vote by remote e-Voting. The remote e-Voting module shall be disabled by NSDL for voting thereafter. Once the vote on a resolution is cast by the Member, the Member shall not be allowed to change it subsequently.

Any person, who are other than individual shareholders holding securities in Demat mode and shareholders holding securities in physical mode, who acquires shares of the Company and become member of the Company after dispatch of the notice and holding shares as of

the Cut-off date may obtain the login ID and password by sending a request at evoting@ nsdl.com However, if you are already registered with NSDL for remote e-Voting then you can use your existing user ID and password for casting your vote. If you have forgotten your password, you could reset your password by using “Forgot User Details/Password” or “Physical User Reset Password” option available on www.evoting. nsdl.com. In case of Individual shareholders holding securities in Demat mode, who acquires shares of the Company and become member of the Company after dispatch of the Notice and holding shares as of the Cut-off date, are requested to follow the login method mentioned below in point (A) under e-Voting instructions.

The details of the process and manner for remote e-voting and voting during the AGM are explained here below:

Step 1 : Access to NSDL e-Voting system

Step 2 : Cast your vote electronically on NSDL e-Voting system

Details on Step 1 is mentioned below:

A) Login method for e-Voting and joining virtual meeting for Individual shareholders holding securities in Demat mode

In terms of SEBI circular dated December 9, 2020 on e-Voting facility provided by Listed Companies, Individual shareholders holding securities in Demat mode are allowed to vote through their Demat account maintained with Depositories and Depository Participants. Shareholders are advised to update their mobile number and email Id in their Demat accounts in order to access e-Voting facility.

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Type of shareholders Login Method

A. NSDL IDeAS facility

Individual Shareholders

holding securities in If you are already registered for NSDL IDeAS facility demat mode with NSDL. 1.

Please visit the e-Services website of NSDL. Open web browser by typing the following URL: https://eservices.nsdl.com/ either on a Personal Computer or on a mobile.
Once the home page of e-Services is launched, click on the “Beneficial Owner” icon under “Login” which is available under “IDeAS” section.
A new screen will open. You will have to enter your User ID and Password. After successful authentication, you will be able to see e-Voting services.
Click on “Access to e-Voting” under e-Voting services and you will be able to see e-Voting page.
Click on options available against company name or e-Voting service provider - NSDL and you will be re-directed to NSDL e-Voting website for casting your vote during the remote e-Voting period or joining virtual meeting & voting during the meeting.

If the user is not registered for IDeAS e-Services,

The option to register is available at https://eservices.nsdl.com.
Select “Register Online for IDeAS” Portal or click at https:// eservices.nsdl.com/SecureWeb/IdeasDirectReg.jsp
Upon successful registration, please follow steps given at Point 1 to 5 above.

B. e-Voting website of NSDL

Visit e-Voting website of NSDL. Open web browser by typing the following URL: https://www.evoting.nsdl.com/ either on a Personal Computer or on a mobile.
Once the home page of e-Voting system is launched, click on the icon “Login” which is available under Shareholder/Member’ section.
A new screen will open. You will have to enter your User ID (i.e. your sixteen digit demat account number held with NSDL), Password/OTP and a Verification Code as shown on the screen.
After successful authentication, you will be redirected to NSDL Depository site wherein you can see e-Voting page. Click on options available against company name or e-Voting service provider - NSDL and you will be redirected to e-Voting website of NSDL for casting your vote during the remote e-Voting period or joining virtual meeting & voting during the meeting.

Type of shareholders Login Method

Shareholders/Members can also download NSDL Mobile App “ NSDL Speede ” facility by scanning the QR code mentioned below for seamless voting experience.

==> picture [145 x 81] intentionally omitted <==

Individual Shareholders 1. Existing users who have opted for Easi / Easiest, they can login through holding securities in their user id and password. Option will be made available to reach e-Voting demat mode with CDSL page without any further authentication. The URL for users to login to Easi / Easiest are https://web.cdslindia.com/myeasi/home/login or www. cdslindia.com and click on New System Myeasi.

After successful login of Easi/Easiest the user will be also able to see the E Voting Menu. The Menu will have links of e-Voting service provider i.e. NSDL. Click on NSDL to cast your vote.
If the user is not registered for Easi/Easiest, option to register is available at https://web.cdslindia.com/myeasi/Registration/EasiRegistration
Alternatively, the user can directly access e-Voting page by providing demat Account Number and PAN No. from a link in www.cdslindia. com home page. The system will authenticate the user by sending OTP on registered Mobile & Email as recorded in the demat Account. After successful authentication, user will be provided links for the respective ESP i.e. NSDL where the e-Voting is in progress.
You can also login using the login credentials of your demat account through your Depository Participant registered with NSDL/CDSL for e-Voting facility.

Individual Shareholders (holding securities in demat mode) login through their depository participants

Once login, you will be able to see e-Voting option. Once you click on e-Voting option, you will be redirected to NSDL/CDSL Depository site after successful authentication, wherein you can see e-Voting feature.
Click on options available against company name or e-Voting service provider-NSDL and you will be redirected to e-Voting website of NSDL for casting your vote during the remote e-Voting period or joining virtual meeting & voting during the meeting.

Important note: Members who are unable to retrieve User ID/ Password are advised to use Forget User ID and Forget Password option available at abovementioned website.

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Helpdesk for Individual Shareholders holding securities in demat mode for any technical issues related to login through Depository i.e. NSDL and CDSL

Login type Helpdesk details Individual Shareholders holding Members facing any technical issue in login can contact NSDL securities in demat mode with NSDL helpdesk by sending a request at [email protected] or call at 02248867000 Individual Shareholders holding Members facing any technical issue in login can contact CDSL securities in demat mode with CDSL helpdesk by sending a request at helpdesk.evoting@cdslindia. com or contact at 1800225533

4.
B)Login
Method
for
e-Voting
and
joining virtual meeting, shareholders
other than Individual shareholders
holding securities in Demat mode and
shareholders holding securities in
physical mode.
How to Log-in to NSDL e-Voting website?
1.
Visit the e-Voting website of NSDL.
Open web browser by typing the following
URL:https://www.evoting.nsdl.com/either
on a Personal Computer or on a mobile.
2.
Once the home page of e-Voting system
is launched, click on the icon “Login”
which is available under ‘Shareholder/
Member’ section.
3.
A new screen will open. You will have to
enter your User ID, your Password/OTP and
a Verifcation Code as shown on the screen.
Alternatively, if you are registered for
NSDL eservices i.e. IDEAS, you can log-in
athttps://eservices.nsdl.com/with your
existing IDEAS login. Once you log-in to

Your User ID details are given below :

Manner of
holding shares
i.e. Demat
(NSDL or CDSL)
or Physical
Your User ID is:

a)
For
Members
who hold
shares
in demat
account with
NSDL.
8 Character DP ID followed
by 8 Digit Client ID
For example if your DP ID
is IN300 and Client ID
is 12 then your user
ID is IN30012*.
b)
For
Members
who hold
shares
in demat
account with
CDSL.
16 Digit Benefciary ID
For
example
if
your
Benefciary
ID
is
1 2 * * * * * * * * * * * * *
then your user ID is
12**
c)
For
Members
holding
shares in
Physical
Form.
EVEN Number followed by
Folio Number registered
with the company
For example if folio number
is 001 and EVEN is
123456 then user ID is
123456001**

Alternatively, if you are registered for NSDL eservices i.e. IDEAS, you can log-in at https://eservices.nsdl.com/ with your existing IDEAS login. Once you log-in to NSDL eservices after using your log-in credentials, click on e-Voting and you can proceed to Step 2 i.e. Cast your vote electronically.

Password details for shareholders other than Individual shareholders are given below:
a) If you are already registered for
- e-Voting, then you can use your existing password to login and cast your vote.
b) If you are using NSDL e-Voting system for the first time, you will need to retrieve the ‘initial password’ which was communicated to you. Once you retrieve your ‘initial password’, you need to enter the ‘initial password’ and the system will force you to change your password.
- c) If you are still unable to get the password by aforesaid two options, you can send a request at evoting@nsdl. com mentioning your demat account number/folio number, your PAN, your name and your registered address etc.
- d) Members can also use the OTP (One Time Password) based login for casting the votes on the e-Voting system of NSDL.
c) How to retrieve your ‘initial password’?
(i) If your email ID is registered in your demat account or with the company, your ‘initial password’ is communicated to you on your email ID. Trace the email sent to you from NSDL from your mailbox. Open the email and open the attachment i.e. a .pdf file. Open the .pdf file. The password to open the .pdf file is your 8 digit client ID for NSDL account, last 8 digits of client ID for CDSL account or folio number for shares held in physical form. The .pdf file contains your ‘User ID’ and your ‘initial password’.
After entering your password, tick on Agree to “Terms and Conditions” by selecting on the check box.
Now, you will have to click on “Login” button.
After you click on the “Login” button, Home page of e-Voting will open.

Step 2: Cast your vote electronically and join General Meeting on NSDL e-Voting system.

How to cast your vote electronically and join General Meeting on NSDL e-Voting system?

After successful login at Step 1, you will be able to see all the companies “EVEN” in which you are holding shares and whose voting cycle and General Meeting is in active status.
(ii) If your email ID is not registered, please follow steps mentioned below in process for those shareholders whose email ids are not registered
1. Select “EVEN” of company for which you wish to cast your vote during the remote e-Voting period and casting your vote during the General Meeting. For joining virtual meeting, you need to click on “VC/OAVM” link placed under “Join General Meeting”.
If you are unable to retrieve or have not received the “Initial password” or have forgotten your password:
a) Click on “ Forgot User Details/ General Meeting”. Password? ”(If you are holding shares in your demat account with 3. Now you are ready for e-Voting as the NSDL or CDSL) option available on Voting page opens. www.evoting.nsdl.com.
Cast your vote by selecting appropriate

b) Physical User Reset Password? ” options i.e. assent or dissent, verify/modify (If you are holding shares in the number of shares for which you wish to physical mode) option available on cast your vote and click on “Submit” and also www.evoting.nsdl.com. “Confirm” when prompted.

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Upon confirmation, the message “Vote cast successfully” will be displayed.
- Resolution / Authority Letter” displayed under “e-Voting” tab in their login
It is strongly recommended not to share your password with any other person and take utmost care to keep your password confidential. Login to the e-voting website will be disabled upon five unsuccessful attempts to key in the correct password. In such an event, you will need to go through the “ Forgot User Details/ Password? ” or “ Physical User Reset Password? ” option available on www.evoting. nsdl.com to reset the password.
You can also take the printout of the votes cast by you by clicking on the print option on the confirmation page.
Once you confirm your vote on the resolution, you will not be allowed to modify your vote.

THE INSTRUCTIONS FOR MEMBERS FOR e-VOTING ON THE DAY OF THE AGM ARE AS UNDER:-

The procedure for e-Voting on the day of the AGM is same as the instructions mentioned above for remote e-voting.
In case of any queries, you may refer the

AGM is same as the instructions mentioned Frequently Asked Questions (FAQs) for above for remote e-voting. Shareholders and e-voting user manual for Shareholders available at the download section

Only those Members/ shareholders, who will be of www.evoting.nsdl.com or call on toll free no.: present in the AGM through VC/OAVM facility and 1800 1020 990 and 1800 22 44 30 or send a have not casted their vote on the Resolutions request to Pallavi Mhatre at [email protected] through remote e-Voting and are otherwise not barred from doing so, shall be eligible to vote 4. Process for those shareholders whose email through e-Voting system in the AGM. ids are not registered with the depositories for
Process for those shareholders whose email ids are not registered with the depositories for procuring user id and password and registration of e mail ids for e-voting for the resolutions set out in this notice:
Members who have voted through Remote e-Voting will be eligible to attend the AGM. However, they will not be eligible to vote at the AGM.
a) In case shares are held in physical mode please provide Folio No., Name of shareholder, scanned copy of the share certificate (front and back), PAN (self attested scanned copy of PAN card), AADHAR (self attested scanned copy of Aadhar Card) by email to evoting@nsdl. com or [email protected].
The details of the person who may be contacted for any grievances connected with the facility for e-Voting on the day of the AGM shall be the same person mentioned for Remote e-voting.

General Guidelines for shareholders

Institutional shareholders (i.e. other than individuals, HUF, NRI etc.) are required to send scanned copy (PDF/JPG Format) of the relevant Board Resolution/ Authority letter etc. with attested specimen signature of the duly authorized signatory(ies) who are authorized to vote, to the Scrutinizer by e-mail to arvindkohli@ gmail.com with a copy marked to evoting@nsdl. com and [email protected]
b) In case shares are held in demat mode, please provide DPID-CLID (16 digit DPID + CLID or 16 digit beneficiary ID), Name, client master or copy of Consolidated Account statement, PAN (self attested scanned copy of PAN card), AADHAR (self attested scanned copy of Aadhar Card) to evoting@ nsdl.com or [email protected]. If you are an Individual shareholders holding securities in demat mode, you are requested to refer to the login method explained at step 1 (A) i.e. Login method for e-Voting and joining virtual meeting for Individual shareholders holding securities in demat mode.
Institutional shareholders (i.e. other than individuals, HUF, NRI etc.) can also upload their Board Resolution / Power of Attorney / Authority Letter etc. by clicking on “Upload Board
The Members can join the AGM through VC/ OAVM mode 30 minutes before and after the scheduled time of the commencement of the Meeting by following the procedure mentioned in the Notice. The facility of participation in the AGM through VC/OAVM will be made available for 1000 members on first come first served basis. This will not include large Shareholders (Shareholders holding 2% or more shareholding), Promoters, Institutional Investors, Directors, Key Managerial Personnel, the Chairpersons of the Audit Committee, Nomination and Remuneration Committee and Stakeholders Relationship Committee, Auditors etc., who are allowed to attend the AGM without restriction on account of first come first served basis.

INSTRUCTIONS FOR MEMBERS FOR ATTENDING THE AGM THROUGH VC/ OAVM ARE AS UNDER:

Member will be provided with a facility to attend the AGM through VC/OAVM through the NSDL e-Voting system. Members may access by following the steps mentioned above for Access to NSDL e-Voting system . After successful login, you can see link of “VC/OAVM link” placed under “Join General meeting” menu against company name. You are requested to click on VC/OAVM link placed under Join General Meeting menu. The link for VC/OAVM will be available in Shareholder/Member login where the EVEN of Company will be displayed. Please note that the members who do not have the User ID and Password for e-Voting or have forgotten the User ID and Password may retrieve the same by following the remote e-Voting instructions mentioned in the notice to avoid last minute rush.
Any person who acquires shares of the Company and becomes member of the Company post-dispatch of Notice of AGM along with the Annual Report before the Cut-Off Date may obtain the login ID and password by sending a request to NSDL at [email protected] or at Company’s email address at [email protected]. However if they are already registered with NSDL for remote e-Voting then they can use their existing user ID and password for casting their vote. If they forgot their password, they can reset their password by using “Forgot User Details/Password? ” or “ Physical User Reset Password? ” option available on www.evoting.nsdl.com
Members are encouraged to join the Meeting through Laptops for better experience.
Further Members will be required to allow Camera and use Internet with a good speed to avoid any disturbance during the meeting.
Please note that Participants Connecting from Mobile Devices or Tablets or through Laptop connecting via Mobile Hotspot may experience Audio/Video loss due to Fluctuation in their respective network. It is therefore recommended to use Stable Wi-Fi or LAN Connection to mitigate any kind of aforesaid glitches.
The voting rights of the members shall be in proportion to the paid-up value of their shares in the equity capital of the Company as on the Cut-off Date.
Members who would like to express their views 9. A person, whose name is recorded in the Register

or ask questions during the AGM may register of Members or in the Register of Beneficial

themselves as a speaker by sending their request Owners maintained by the depositories, as

from their registered email address mentioning on the cut-off date, only shall be entitled to

their name, DP ID and Client ID/folio number, avail the facility of remote e-voting or e-voting

PAN, mobile number at [email protected] from June 26, during the AGM.

2025 (9:00 am IST) to June 28, 2025 (5:00 pm IST). Those Members who have registered 10. Mr. Arvind Kohli, (Membership No. FCS 4434, CP

themselves as a speaker will only be allowed 2818) Practicing Company Secretary, Proprietor

to express their views/ask questions during of M/s Arvind Kohli & Associates, Company

the AGM. The Company reserves the right to Secretaries has been appointed as the Scrutinizer

restrict the number of speakers depending on to scrutinize the entire e-voting process in a fair

the availability of time for the AGM. and transparent manner.

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The results declared along with the report of the Scrutinizer shall be placed on the Company’s website https://www.srf.com and on the website of NSDL www.evoting.nsdl.com immediately after the declaration of results by the Chairman or a person authorized by him in writing. The results shall also be immediately forwarded to the concerned Stock Exchanges i.e. BSE and NSE.
Since the AGM will be held through VC/OAVM, the Route Map is not annexed to this Notice.

EXPLANATORY STATEMENT PURSUANT TO SECTION 102(1) OF THE COMPANIES ACT, 2013 & DETAILS OF DIRECTORS SEEKING APPOINTMENT/ RE-APPOINTMENT AS REQUIRED UNDER LISTING REGULATIONS AND SECRETARIAL STANDARDS ON GENERAL MEETINGS

Item No. 2 & 3

Mr. Ashish Bharat Ram (DIN: 00671567)

Shareholders had appointed Mr. Ashish Bharat Ram (DIN: 00671567) as Managing Director for a term of 5 years with effect from May 23, 2020 in the Annual General Meeting held on August 17, 2020. Further, he was re-designated as Chairman & Managing Director with effect from April 1, 2022 for his remaining term, on the same terms and conditions by the shareholders in their Annual General Meeting held on July 21, 2022.

The Board of Directors based on the recommendation of Nomination & Remuneration Committee (“NRC”) at its meeting held on January 29, 2025, reviewed the contributions of Mr. Ashish Bharat Ram over a period of his tenure and considered several other parameters such as his leadership capabilities, his industry experience for providing strategic and operational direction, familiarity with Company’s current challenges and opportunities, etc. and recommended to the Shareholders for his re-appointment as Chairman & Managing Director for a term starting from May 23, 2025 till March 31, 2030.

The Company has received a notice under Section 160 from a member signifying his intention to propose the candidature of Mr. Ashish Bharat Ram at the forthcoming Annual General Meeting, copy of which is available on the website of the Company at www.srf.com and declaration pursuant to BSE Circular No. LIST/COMP/14/2018-19 dated June 20, 2018 and NSE Circular No. NSE/CML/2018/24 dated June 20, 2018, that he has not been debarred from holding office of a Director by virtue of any Order passed by the Securities and Exchange Board of India or any other such authority.

The NRC and Board have recommended the remuneration as detailed in the resolution for Mr. Ashish Bharat Ram having regards to the industry standards and keeping in mind profitability and growth aspirations of the Company.

The overall remuneration of Mr. Ashish Bharat Ram has been structured having regards to responsibilities entrusted on him and contributions made by him in terms of achievement of revenue growth and profitability, long term growth of the Company guided by him and his key contributions to further improve the Company operations and productivity.

Below are the details of total remuneration paid to Mr. Ashish Bharat Ram in relation to profits and revenue growth of the Company in the past three years:

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` Crores
Particulars 2022-2023 2023-2024 2024-2025
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Standalone	12,073.84	10,786.67	11,697.97
Revenue Net Proft as per Section 198 of the Companies Act, 2013 Mr. Ashish	2,661.82 21.37	1,747.45 20.02	1,732.17 20.39
Bharat Ram’s
Remuneration

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` Crores
Particulars 2022-2023 2023-2024 2024-2025
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Maximum Remuneration as	66.55	43.69	43.30
per Section 197 of the Companies Act read with
SEBI LODR i.e. 2.5% of Net
Proft as per
Section 198 of the Companies Act,
2013
%age of Net Proft calculated	0.80%	1.15%	1.18%
as per Section 198
of the Companies
Act, 2013 paid as
remuneration to
Mr. Ashish Bharat Ram, Chairman &
ManagingDirector

With decades of experience Mr. Ashish Bharat Ram has played an instrumental role in expanding businesses and leading the profitable growth of the Company. Given the above factors, the NRC and Board believes that his continued association and experience would be of immense benefit to the Company. Taking into consideration the size of the Company, the complex nature of its operations, and keeping in mind the attributes of Mr. Ashish Bharat Ram, the Board of Directors recommend the Ordinary resolutions set out at Item No 2 & 3 of the Notice for approval by the Members.

Details of Mr. Ashish Bharat Ram pursuant to the provisions of (i) Listing Regulations and (ii) Secretarial Standard of General Meetings (“SS-2”) issued by Institute of Company Secretaries of India (‘ICSI’) are given below:

Mr. Ashish Bharat Ram (56) has done his schooling from Doon School and graduation in Economics from the Hindu College, Delhi University with an emphasis on mathematics. He holds a Masters’ degree in Business Administration on Corporate Strategy with an emphasis on finance and strategy from The Johnson Graduate School of Management, Cornell University, Ithaca, NY, USA and has 30 years’ working experience in senior positions including in the Company’s international subsidiaries. He was first appointed on the Board of SRF Limited on May 23, 2005.

Mr. Ashish Bharat Ram has 25,000 Shares in the Company. He is a member of Stakeholders Relationship Committee and Committee of Directors- Financial Resources and Chairman of Risk Management Committee of the Company. Mr. Ashish Bharat Ram has not resigned from any listed entity in the past three years. He has attended all four Board meetings conducted by SRF Limited during the financial year.

Directorship in other Committee Membership Indian Companies (other than SRF Limited) KAMA Holdings Limited - Stakeholders Relationship Committee (C) - Committee of DirectorsFinancial Resources (M) - Nomination & Remuneration Committee (M) - Risk Management Committee (C) - CSR Committee (M) Havells India Limited - Nomination & Remuneration Committee (C) Bharat Forge Limited - Nomination & Remuneration

Risk Management Committee (C)
Nomination & Remuneration Committee (M)
CSR Committee (M)

SRF Altech Limited Nil SRF Holiday Home Limited Nil TVS Capital Funds Pvt. Ltd. Nil Orange Farms Pvt. Ltd. Nil Lotus Estates Pvt. Ltd. Nil KAI India Mental Health Nil Forum (Section 8 Company)

M- Member

C- Chairman

Further details such as nature of expertise, details of remunerations, terms and conditions of re-appointment, last remuneration forms part of the above resolution and explanatory statement.

None of the Directors or Key Managerial Personnel or their relatives except Mr. Ashish Bharat Ram himself and Mr. Kartik Bharat Ram, Joint Managing Director, being relative, are in any way concerned or interested, financially or otherwise, in the Resolution.

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Item No. 4

Pursuant to the amended provisions of Regulation 24A of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 (‘SEBI LODR Regulations’) vide SEBI Notification dated December 12, 2024 and provisions of Section 204 of the Companies Act, 2013 (‘Act’) and Rule 9 of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, the Audit Committee and the Board of Directors at their meeting held on May 12, 2025 have recommended and approved the appointment of M/s. Sanjay Grover & Associates, Peer Reviewed Firm of Company Secretaries in Practice (Firm Registration Number: P2001DE052900) as Secretarial Auditors of the Company for a term of upto 5(Five) consecutive years to hold office from April 1, 2025 till March 31, 2030 on following terms and conditions:

A. Terms of appointment: Upto 5 (Five) consecutive years to hold office from April 1, 2025 till March 31, 2030.
B. Proposed Fees: Upto ` 2,50,000/- (Rupees Two Lakh Fifty Thousand only) plus applicable taxes and other out-of-pocket expenses in connection with the secretarial audit for Financial Year ending March 31, 2026 and for subsequent year(s) of their term, or such other fees as determined by the Board upon recommendations of the Audit Committee.
The proposed fee is based on knowledge, expertise, industry experience, time and efforts required to be put in by the Secretarial auditor, which is in line with the industry benchmark. The payment for services in the nature of certifications and other professional work will be in addition to the Secretarial audit fee and shall be determined by the Audit Committee and/or the Board of Directors.
C. Basis of recommendations: The Audit Committee and the Board of Directors have approved & recommended the aforementioned proposal for approval of Members taking into account the eligibility of the firm, on the fulfilment of the

eligibility criteria & qualification prescribed under the Act & Rules made thereunder and SEBI LODR Regulations, qualification, experience, independent assessment & expertise of the Partners in providing Secretarial audit related services, competency of the staff and Company’s previous experience based on the evaluation of the quality of audit work done by them in the past.

Rules, 2014, the remuneration payable to the Cost Auditors has to be ratified by the shareholders of the Company.

None of the Directors or Key Managerial Personnel or their relatives are, in any way, concerned or interested, financially or otherwise, in the Resolution.

Both the cost auditors had rendered satisfactory service during their last tenure, therefore the Board of Directors recommend Ordinary Resolution set out at Item No. 5 of the Notice for approval by the members.

D. Credentials: M/s. Sanjay Grover & Associates (Firm Registration Number: P2001DE052900) (‘Secretarial Audit Firm’), established in the year 2001, is a reputed firm of Company Secretaries in Practice specialized in Secretarial Audit and other corporate law matters. The firm is registered with the Institute of Company Secretaries of India and has an experience of more than 24 years in providing various corporate law services. The Firm also holds a valid Peer Review Certificate.

Item No. 6

As per the provisions of Section 42 of the Companies Act, 2013 read with Companies (Prospectus and allotment of Securities) Rules, 2014, private placement of redeemable, non-convertible debentures requires approval of shareholders by way of special resolution. However, the Company may pass a special resolution once in a year for all the offers or invitation for such debentures during the year.

M/s. Sanjay Grover & Associates have given their consent to act as Secretarial Auditors of debentures during the year. the Company and confirmed that their aforesaid appointment (if made) would be within the In order to provide for resources for financing of prescribed limits under the Act & Rules made capital expenditure requirements, re-financing of thereunder and SEBI LODR Regulations. existing debt, general corporate purposes and such They have also confirmed that they are not other purposes of the Company as are allowed by disqualified to be appointed as Secretarial the applicable laws, the Company may be required Auditors in terms of provisions of the Act & Rules to offer or invite subscription for secured/ unsecured redeemable non-convertible debentures, in one or made thereunder and SEBI LODR Regulations. more series/tranches on private placement.

None of the Directors / Key Managerial Personnel of the Company / their relatives are, in any way, concerned or interested, financially or otherwise, in the resolution.

In view of the above, the Board of Directors recommend the resolution set out at Item No. 4 for approval of the Members as an Ordinary Resolution.

Item No. 5

The Board, on the recommendation of the Audit Committee, has approved the appointment of the Cost Auditors to conduct audit of the cost records of the Company for the financial year ending March 31, 2026 at the remuneration as provided in the resolution.

In accordance with the provisions of Section 148 of the Act read with the Companies (Audit and Auditors)

Pricing of debentures is determined and impacted by general economic conditions and monetary policy, Company specific rating and outlook of the investor on the Company.

None of the Directors/Key Managerial Personnel of the Company/their relatives are, in any way, concerned or interested, financially or otherwise, in the Resolution.

In view of the above, the Board of Directors recommend the Special Resolution set out at Item No. 6 of the Notice for approval of the members authorising the Board or any duly constituted committee thereof to issue redeemable, non-convertible Debentures by private placement for an aggregate amount not exceeding ` 1500 crores, in one or more tranches, during the period of one year from the date of this Annual General Meeting.

By Order of the Board of Directors

Rajat Lakhanpal

Sr. VP (Corporate Compliance) Date : May 12, 2025 & Company Secretary Place : Gurugram Membership No. ACS 12725

SRF Limited

(CIN: L18101DL1970PLC005197) Regd. Office: The Galleria, DLF Mayur Vihar, Unit No. 236 & 237, 2nd Floor, Mayur Place, Mayur Vihar Phase I Extn, Delhi – 110091

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Board’s
Report
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Dear Members,

Your Directors are pleased to present the 54[th] Annual Report for the year ended March 31, 2025.

Financial Results

( ` in Crores)

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Particulars Standalone Consolidated
2024-25 2023-24 2024-25 2023-24
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Revenue from operations Other income Total Income Proft Before Interest, Depreciation & Tax (PBIDT) Less: Interest & Finance Charge Less: Depreciation and amortisation charge Proft Before Tax (PBT) Less: Provision For Taxation including Deferred Tax Charge Proft After Taxation (PAT) Add: Proft Brought Forward Total	11,697.97 10,786.67 14,693.07 13,138.52 174.97 119.42 132.72 83.02 11,872.94 10,906.09 14,825.79 13,221.54 2,630.69 2,509.33 2,851.16 2,667.13 296.35 235.60 375.96 302.29 629.96 555.85 771.50 672.62 1,704.38 1,717.88 1,703.70 1,692.22 436.31 343.85 452.92 356.51 1,268.07 1,374.03 1,250.78 1,335.71 8,801.15 7,643.98 9,844.52 8,726.97
	10,069.22 9,018.01 11,095.30 10,062.68

Appropriation

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( ` in Crores)
Particulars Standalone Consolidated
2024-25 2023-24 2024-25 2023-24
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Interim dividend on Equity Shares	213.43	213.43	213.43	213.43
Other comprehensive income arising from re-measurement of defned beneft	(0.21)	(3.43)	(0.66)	4.73
obligation
Amount transferred to Debenture	-	-	-	-
Redemption Reserve
Proft carried to Balance Sheet	9855.58	8,801.15	10881.21	9,844.52

Change in the Name of Packaging Films Business

Operations Review

Total revenue from operations of the Company on standalone basis increased by 8.45 per cent from 10,786.67 Crores in 2023-24 to 11,697.97 Crores in 2024-25. The profit before interest, depreciation and tax (PBIDT) including ‘other income’ on a standalone basis increased from 2,509.33 Crores in 2023-24 to 2,630.69 Crores in 2024-25.

With effect from April 1, 2025, the name of the Packaging films Business has been changed to Performance Films & Foil Business to reflect our growth and commitment to innovation. This change symbolizes our dedication to excellence and expansion into new areas like Aluminium Foil and Capacitor Grade BOPP films.

Profit before tax (PBT) from continuing operations on a standalone basis decreased by 0.79 per cent from 1,717.88 Crores in 2023-24 to 1,704.38 Crores in 2024-25. After accounting for the provision for tax of 436.31 Crores, profit after tax (PAT) on continuing operations on a standalone basis decreased by 7.71 per cent from 1,374.03 Crores in 2023-24 to ` 1,268.07 Crores in 2024-25

Equity Dividend

During the year, your Company has paid two interim dividends of 3.60 per share each amounting to 213.43 Crores. The Board of Directors of the Company has not recommended any final dividend.

Transfer to Reserves

In view of the statutory provisions of the Companies Act, 2013 the Board of Directors has decided not to transfer any amount to the reserves consequent to declaration of above Interim dividends.

Total revenue from operations of the Company on consolidated basis increased by 11.83 per cent from 13,138.52 Crores in 2023-24 to 14,693.07 Crores in 2024-25. The profit before interest, depreciation and tax (PBIDT) including ‘other income’ on a consolidated basis increased from 2,667.13 Crores in 2023-24 to 2,851.16 Crores in 2024-25.

Share Capital

During the year, there was no change in the paid-up share capital of the Company. The paid-up share capital of the Company stood at 296,42,48,250 divided into 29,64,24,825 equity shares of 10/- each.

Profit before tax (PBT) from continuing operations on a consolidated basis increased by 0.68 per cent from 1,692.22 Crores in 2023-24 to 1,703.70 Crores in 2024-25. After accounting for the provision for tax of 452.92 Crores, profit after tax (PAT) on continuing operations on a consolidated basis decreased by 6.36 per cent from 1,335.71 Crores in 2023-24 to 1,250.78 Crores in 2024-25.

Non-Convertible Debentures

During the year, the Company has not issued any Non-Convertible Debentures.

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Management Discussion and Analysis

SRF Industex Belting (Pty) Ltd. (a wholly owned subsidiary of SRF Global BV) is incorporated in South Africa presently in the business of trading in performance films in South Africa and other neighbouring countries.

A detailed section on the Management Discussion and Analysis forms part of the Annual Report. A review of the Businesses is also given in that section.

Business Responsibility and Sustainability Report

SRF Europe Kft (a wholly owned subsidiary of SRF Global BV) is incorporated in Hungary to undertake the manufacture of performance films in Hungary.

ESG Report for FY 2024-25 containing the Environment, Social and Governance Initiatives taken by the Company during the year forms part of the Annual Report. As stipulated under the Securities and Exchange Board of India (LODR) Regulations, 2015 (“Listing Regulations”), the Business Responsibility Sustainability Report has been prepared for 2024-25 and is presented along with the above ESG Report. The Core Indicators of Business Responsibility and Sustainability Report has been reasonably assured by BDO India LLP.

SRF Middle East LLC (a wholly owned subsidiary of SRF Global BV) incorporated in UAE to undertake business of trading in refrigerant gases in Middle East.
SRF Holiday Home Ltd. is a wholly owned subsidiary of the Company incorporated in India. This company is engaged in the business of acquisition and renting of real estate properties.
SRF Altech Limited is a wholly owned subsidiary of the Company incorporated in India. It is engaged in the business of manufacture of Aluminium foil.

Subsidiaries, Joint Ventures and Associate companies

As on March 31, 2025, your Company had 8 (eight) wholly owned subsidiary companies out of which 2 (two) wholly owned subsidiary companies are registered in India and remaining 6 (six) are registered outside India. 3 (three) of these are direct wholly owned subsidiaries and rest 5 (five) are step-down wholly owned subsidiaries. The consolidated profit and loss account for the period ended March 31, 2025 includes the profit and loss account for these 8 (eight) wholly owned subsidiaries for the Financial Year ended March 31, 2025.

The consolidated financial statements of the Company prepared in compliance with applicable Accounting Standards and other applicable laws including all the above subsidiaries duly audited by the statutory auditors are presented in the Annual Report.

No subsidiaries were divested during the year. No company has become/ceased to be a joint venture or associate during the year. A report on performance and financial position of each of the subsidiaries and associates is presented in a separate section in this Annual Report. Please refer (AOC-1) annexed to the financial statements in the Annual Report at page no. 445. The Policy for determining material subsidiaries as approved may be accessed on the Company’s website at the link:

These subsidiaries are: -

SRF Global B.V. is a wholly owned subsidiary of the Company incorporated in the Netherlands. This entity is an SPV formed for the purpose of holding investments and mobilizing funds for the 5 (five) step-down subsidiaries of the Company.
1. SRF Industries (Thailand) Ltd. (a wholly owned h t t p s : / / w w w . s r f . c o m / w p c o n t e n t / subsidiary of SRF Global BV) is incorporated uploads/2021/04/2019-02-04-SRF-Limited-Policyin Thailand engaged in the manufacture & on-Material-Subsidiary-Companies.pdf distribution of performance films and distribution of refrigerant gases. The annual accounts of the subsidiary companies will
The annual accounts of the subsidiary companies will also be kept open for inspection at the registered office of the Company and of respective subsidiary companies. Further, the annual accounts of the subsidiaries are also available on the website of the Company viz. www.srf.com
SRF Flexipak (South Africa) (Pty) Ltd. (a wholly owned subsidiary of SRF Global BV) is incorporated in South Africa engaged in manufacture and distribution of performance films.

Directors & Key Managerial Personnel

During the year, the Members of the Company at the 53[rd] Annual General Meeting held on June 28 2024, had appointed Mr. Vineet Agarwal and Ms. Ira Gupta as Independent Directors of the Company for a period of 5 years each w.e.f. April 1, 2024.

In accordance with the provisions of Section 152 of the Act and the Articles of Association of the Company, Mr. Ashish Bharat Ram, Chairman & Managing Director retires by rotation at the ensuing AGM and being eligible, has offered himself for re-appointment.

The Board on the recommendation of Nomination and Remuneration Committee has recommended the proposals for re-appointment of Mr. Ashish Bharat Ram, Chairman & Managing Director for a period effective from 23.05.2025 to 31.03.2030 for approval by the shareholders through ordinary resolution(s) at the forthcoming Annual General Meeting.

Brief resume of the Director who is proposed to be appointed/ re-appointed is furnished in the explanatory statement to the notice of the ensuing Annual General Meeting.

The Board confirms that independent directors appointed during the year possess the desired integrity, expertise and experience. They are also Independent of the management. The Independent Directors of the Company have confirmed that they have enrolled themselves in the Independent Directors’ Databank maintained with the Indian Institute of Corporate Affairs (‘IICA’) in terms of Section 150 of the Act read with Rule 6 of the Companies (Appointment & Qualification of Directors) Rules, 2014. Some of the Directors are exempt from the requirement to undertake the online proficiency self-assessment test conducted by IICA and the remaining have cleared the Online Proficiency Test as prescribed under Companies (Appointment and Qualifications of Directors) Rules, 2014 as amended.

All the Independent Director(s) have submitted the declaration of meeting the criteria for independence as provided in Section 149(6) of the Companies Act, 2013 and rules applicable thereunder and as per the SEBI Regulations.

In accordance with the requirements of the Companies Act and the Listing Regulations, the Company has formulated a Nomination, Appointment and Remuneration Policy. A copy of the Policy is enclosed as Annexure I and on the website of the Company

at the link: https://www.srf.com/wp-content/ - uploads/2025/03/NRC Policy.pdf

In accordance with the aforesaid Policy, the Nomination and Remuneration Committee evaluates the performance of the Executive Directors, NonIndependent non- executive Director and Independent Directors based on the criteria more particularly described in the enclosed Nomination, Appointment and Remuneration policy. Board evaluates, its own performance, performance of the Chairman, Independent Director, Non-Independent & Non-executive Director and the performance of its Committees on the criteria more particularly described in the said policy.

The details of programmes for familiarisation of Independent Directors with the Company, their roles, rights, responsibilities in the Company, nature of the industry in which the Company operates, business model of the Company and related matters are put up on the website of the Company at the link - https://www.srf.com/wp content/uploads/2025/05/ Familarisation-programme-2025.pdf

During the year 2024-25, Four meetings of the Board of Directors were held. For further details, please refer to report on Corporate Governance on page no. 202 of this Annual Report.

Directors’ Responsibility Statement

Pursuant to the requirements of Section 134(3)(c) of the Companies Act, 2013, it is hereby confirmed that:

(a) in the preparation of the annual accounts, the applicable accounting standards had been followed along with proper explanation relating to material departures;
(b) the directors had 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 the company at the end of the financial year and of the profit and loss of the company for that period;
(c) the directors had taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of this Act for safeguarding the assets of the company and for preventing and detecting fraud and other irregularities;

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(d) the directors had prepared the annual accounts on a going concern basis;
(e) the directors had laid down internal financial controls to be followed by the company and that such internal financial controls are adequate and were operating effectively ; and
(f) the directors had devised proper systems to ensure compliance with the provisions of all applicable laws and that such systems were adequate and operating effectively.

Contracts and Arrangements with Related Parties

All contracts/ arrangements/ transactions entered by the Company during the financial year with related parties were in the ordinary course of business and on an arms’ length basis or as approved by the Audit Committee /Board in accordance with the requirements of the Companies Act and Listing regulations. These contracts/ arrangements/ transactions were entered in accordance with the Transfer Pricing Policy/ basis approved by the Audit Committee and/or in accordance with the Omnibus approval of the Audit Committee. During the year, the Company had not entered into any contract/ arrangement/ transaction with related parties which could be considered material in accordance with the Policy on Materiality of Related Party Transactions. Accordingly, the disclosure of related party transactions as required under Section 134(3)(h) of the Companies Act, 2013 (‘the Act’) in Form No. AOC-2 is not applicable to the Company for FY 2024-25 and hence the same is not provided.

Your Directors draw attention of the members to Note 32 to the notes to accounts forming part of the financial statements which sets out related party transaction disclosures.

Particulars of Loans given, Investments made, Guarantees given and Securities provided

Particulars of loans given, investments made, guarantees given and securities provided alongwith the purpose for which the loan or guarantee or security was proposed to be utilised by the recipient are provided in the standalone financial statement (Please refer to Note 40(d) of Additional Disclosures forming part of the standalone financial statement).

Corporate Social Responsibility (CSR)

As per the requirements of the Companies Act, 2013, the Company has a Corporate Social Responsibility Committee comprising of Mr. Kartik Bharat Ram, Joint Managing Director (Chairman of the Committee), Mr. Yash Gupta, Independent Director, and Ms. Ira Gupta, Independent Director as other members.

The Corporate Social Responsibility Committee has formulated and recommended to the Board, a Corporate Social Responsibility Policy (CSR Policy) indicating the projects to be undertaken by the Company, which has been approved by the Board.

The CSR Policy may be accessed on the Company’s website at the link https:// - www.srf.com/wp content/uploads/2023/05/ S R F - C o r p o r a t e - S o c i a l - R e s p o n s i b i l i t y - policy-08-05-2023.pdf

As per the requirements of section 135 (5) of the Companies Act 2013, the CSR Obligation for FY 2024-25 was 43.37 Crores. The Board upon recommendations of CSR Committee approved the Annual CSR budget of 43.37 Crores for the financial year 2024-25 to be spent in accordance with the Annual Plan, as amended, recommended by the CSR Committee and approved by the Board. Out of the said budget, an amount of 25.99 Crores was spent during the year and an amount of 17.38 Crores which has been allocated to ongoing projects has been transferred to SRF Limited-Unspent CSR Account- 2024-25 within a period of 30 days from the end of financial year which will be spent on those projects during the next three financial years.

Annual Report on CSR activities for financial year

2024-25 is annexed herewith as Annexure II.

Risk Management

The company has a well-established risk management framework to identify, assess and frame a response to threats that can affect its business objectives and stakeholder The risk management process consists of risk identification, risk assessment, risk prioritization, risk treatment or mitigation, risk monitoring and documenting the new risks.

The risks identified by the company are broadly fall into the following categories viz. strategic risks, operational risks, regulatory risks, financial and reporting risks, IT & Cyber risks, sectoral risks, and sustainability including ESG Risk.

Further, to oversee key risks and assist in efficient management of risk management process, the Board has constituted a Risk Management Committee consisting of Mr. Ashish Bharat Ram as Chairman, Mr. Kartik Bharat Ram and Ms. Bharti Gupta Ramola as members of the Committee. In the opinion of your Board, none of the risks which have been identified may threaten the existence of the Company.

Internal Financial Controls

The Company believes that Internal Control is a necessary concomitant of the principle of Governance and remains committed to ensuring an effective Internal Control environment that provides assurance to the Board of Directors, Audit Committee, and the management that there is a structured system of:

close and active supervision by the Audit Committee
business planning and review of goals achieved
evaluating & managing risks
policies and procedures adopted for ensuring orderly Financial Reporting
timely preparation of reliable Financial Information
accuracy and completeness of the Accounting Records
ensuring legal and regulatory compliance
protecting company’s assets
prevention and detection of fraud and error
validation of IT Security Controls

Interrelated control systems, covering all financial and operating functions, assure fulfilment of these objectives.

Significant features of these control systems include:

the planning system that ensures drawing up of challenging goals and formulation of detailed strategies and action plans for achieving these goals.
the risk assessment system that accounts for all likely threats to the achievement of the plans and draws up contingency plans to mitigate them.
the review systems track the progress of the plan and ensure that timely remedial measures are taken, to minimise deviations from the plan.

The Company uses Enterprise Resource Planning (ERP) supported by in-built controls that ensures reliable and timely financial reporting. Well-established & robust internal audit processes both at the Corporate and Business levels continuously monitor the adequacy and effectiveness of the Internal Controls and status of compliance with operating systems, internal policies, and regulatory requirements. All Internal Audit findings and control systems are periodically reviewed by the Audit Committee of the Board of Directors, which provides strategic guidance on Internal Controls.

The Company also has a robust & comprehensive framework of Control Self-Assessment (CSA) which continuously verifies compliance with laid down policies & procedures and help plug control gaps, CSA comprises Automated and Manual Controls. CSA Assurance Testing completes the control compliance loop. In addition to this, Compliance Manager (CM) a facilitating tool sends pre-emptive alert to meet specific calendared regulatory deadlines in the company.

Listing of Equity Shares

SRF’s equity shares are listed at the BSE Ltd. and the National Stock Exchange of India Ltd.

SRF Limited Long term Share based Incentives Plan, 2018

During the year, no equity shares were allotted under Part B- SRF ESPS, 2018 of the SRF Long Term Share Incentive Plan, 2018 to an eligible employee. There has been no change in the said Plan which was approved by the shareholders through postal ballot February 26, 2018. The said Plan is in compliance with the Securities and Exchange Board of India (Share Based Employee Benefits and Sweat Equity) Regulations, 2021. The disclosures prescribed under the said Regulations are given below:

a. In terms of the “Guidance Note on accounting for employee share based payments” issued by

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In compliance with the requirements of the regulation 17(8) of the aforesaid regulations, a certificate from Chairman and Managing Director and President & CFO was placed before the Board.

ICAI and Ind AS 102, note no. 34 on Employee Share Based Payments forms part of the notes to standalone annual accounts appearing on page no. 310 of the Annual Report 2024-25. Note No. 1.B.16 forming part of the Accounting Policies which refers to this is also appearing on page no. 254 of the Annual Report 2024-25.The same are also reproduced in the “Investors Section” of the website (www.srf.com). The weblink for www.srf.com). The weblink for ). The weblink for the same is https://www.srf.com/investors/ - corporate governance/

All Board members and Corporate Leadership Team which refers to this is also appearing on page (CLT) have affirmed compliance with the Code no. 254 of the Annual Report 2024-25.The same of Conduct for Board and Senior Management are also reproduced in the “Investors Section” Personnel. A declaration to this effect duly signed of the website (www.srf.com). The weblink for www.srf.com). The weblink for ). The weblink for by the Chairman and Managing Director is enclosed the same is https://www.srf.com/investors/ - as a part of the Corporate Governance Report. corporate governance/ A copy of the Code is also placed at the website of b. During financial year 2018-19, 2021-22 and the Company at https://www.srf.com/wp-content/ 2022-23 shares under Part B- SRF ESPS, uploads/2020/11/Code-of-Conduct-for-Directors-and2018 of the SRF Long Term Share Incentive Senior-Management-Personnel.pdf Plan, 2018 were issued directly to the eligible Consolidated Financial Statement employees as decided by the Board/Nomination and Remuneration Committee of the Company. The consolidated financial statements of the Company Basic and diluted EPS for 2024-25 was have been prepared in accordance with the Indian ` 42.78 per Share. Accounting Standards (Ind AS) to comply with the

The consolidated financial statements of the Company have been prepared in accordance with the Indian Accounting Standards (Ind AS) to comply with the Accounting Standards specified under Section 133 of the Companies Act, 2013, read with Companies (Indian Accounting Standards) Rules, 2015 and other relevant amendments issued thereafter of the Act.

c. Other Disclosures mandated by the said circular are given in Annexure III.

Certificate from the Sanjay Grover & Associates, Company Secretaries, Secretarial Auditors of the Company dated May 12, 2025 that SRF Limited Employees Long term Share Based Incentive Plan, 2018 has been implemented in accordance with these regulations and in accordance with the special resolution approved by the shareholders through postal ballot, result of which was declared on March 26, 2018 shall be placed in the forthcoming Annual general meeting.

Audit Committee

As on date, the Audit Committee comprises of Independent Directors namely, Ms. Bharti Gupta Ramola (Chairperson of the Committee), Mr. Raj Kumar Jain and Mr. Yash Gupta as other members. All the recommendations made by the Audit Committee were accepted by the Board.

Accounts and Audit

M/s B S R & Co. LLP, Chartered Accountants (Registration No. 101248W/W-100022) were re-appointed as Statutory Auditors for 5 years in 52nd annual general meeting to hold office from the conclusion of 52[nd] Annual General Meeting until the conclusion of 57[th] annual general meeting.

Dividend Distribution Policy

In compliance with the Listing Regulations, your Board had formulated a Dividend Distribution Policy. A copy of the said policy is available on the website - of the Company at https://www.srf.com/wp content/ uploads/2020/11/Dividend-Distribution-Policy.pdf

The observations of the auditors are explained wherever necessary in appropriate notes to the accounts. The Auditors Report does not contain any qualification, reservation, adverse remark or disclaimer.

Corporate Governance

Certificate of the auditors of your Company regarding compliance of the conditions of corporate governance as stipulated in regulation 34(3) of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 is attached to the report as Annexure IV.

Vigil Mechanism

In compliance with the provisions of the Companies Act, 2013 and Listing Regulations, the company has established a vigil mechanism for directors,

employees and other stakeholders to report concerns about unethical behaviour, actual or suspected fraud or violation of the company’s code of conduct.

The Vigil Mechanism of the Company consists of Code of Conduct for employees, Policy against sexual harassment, Whistleblower Policy, Code of Conduct to Regulate, Monitor and Report Trading by Insiders and Code of Conduct for Directors and Sr. Management Personnel. These taken together constitute the vigil mechanism through which Directors, employees and other stakeholders can voice their concerns. The Whistle blower Policy, Code of Conduct to Regulate, Monitor and Report Trading by Insiders and Code of Conduct for Directors and Sr. Management Personnel can be accessed on the Company’s website at the link: https://www.srf.com/ - investors/corporate governance/

Cost Audit

Pursuant to various circulars issued by Ministry of Corporate Affairs, the Company is required to maintain cost records for all the products being manufactured by it and get the same audited by a cost auditor.

M/s. H. Tara & Co., Cost Accountants, was appointed to conduct cost audit of the accounts maintained by the Company for the financial year 2024-25 in respect of all the relevant product groups of Technical Textiles Business and other Businesses of the Company.

M/s. Sanjay Gupta & Associates, Cost Accountant, was appointed to conduct cost audit of the accounts maintained by the Company for the financial year 2024-25 in respect of all the relevant product groups of Chemicals Business and Performance Films & Foil Business (formerly known as Packaging Films Business) of the Company.

M/s. Sanjay Gupta & Associates, Cost Accountant was nominated as the Company’s Lead Cost Auditor.

The remuneration of the cost auditors for financial year 2025-26 is subject to ratification by the shareholders. Accordingly a suitable item has been included in the notice of the ensuing annual general meeting.

The Cost Audit reports for audit of the said products for the financial year 2023-24, conducted by M/s. H. Tara, Cost Accountants (M. No. 17321) and M/s Sanjay Gupta & Associates, Cost Accountants (M. No. 18672), have been filed with the Ministry of

Corporate Affairs on August 20, 2024. The due date for filing was August 22, 2024.

Secretarial Auditor

Pursuant to the amended provisions of Regulation 24A of the SEBI (LODR) Regulations and Section 204 of the Act read with Rule 9 of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, the Audit Committee and the Board of Directors have approved and recommended the appointment of M/s. Sanjay Grover & Associates, Peer Reviewed Firm of Company Secretaries in Practice (Firm Registration Number: P2001DE052900) as Secretarial Auditors of the Company for a term of 5(Five) consecutive years to hold office from financial year 2025-26 to financial year 2029-30, for approval of the Members at ensuing AGM of the Company. Brief resume and other details of M/s. Sanjay Grover & Associates, Company Secretaries in Practice, are separately disclosed in the Notice of ensuing AGM.

M/s. Sanjay Grover & Associates have given their consent to act as Secretarial Auditors of the Company and confirmed that their aforesaid appointment (if made) would be within the prescribed limits under the Act & Rules made thereunder and SEBI (LODR) Regulations. They have also confirmed that they are not disqualified to be appointed as Secretarial Auditors in terms of provisions of the Act & Rules made thereunder and SEBI (LODR) Regulations.

The Secretarial Audit Report for the financial year ended March 31, 2025 is annexed herewith as Annexure V to this Report. The Secretarial Audit Report does not contain any qualification, reservation or adverse remark.

Further, Secretarial Compliance Report dated May 12, 2025 issued as per regulation 24A of SEBI (Listing Obligation and Disclosure Requirements) Regulations 2015 was given by M/s Sanjay Grover & Associates, Practising Company Secretary which was submitted to Stock Exchanges.

Reporting of Fraud

During the year under review, the Statutory Auditors, Cost Auditors and Secretarial Auditors have not reported any instances of frauds committed in the Company by its officers or employees, to the Audit Committee under Section 143(12) of the Act details of which need to be mentioned in this Report.

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Personnel

The statement containing names of top ten employees in terms of remuneration drawn and the particulars of employees as required under section 197 (12) of the Act read with Rule 5(2) of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, is provided in a separate annexure forming part of this report. Further, the report and the accounts are being sent to the members excluding the aforesaid annexure. In terms of Section 136 of the Act, the said Annexure is open for inspection at the registered office of the Company during business hours on working days upto the date of ensuing Annual general meeting. Any shareholder interested in obtaining a copy of the same may write to the Company Secretary at [email protected]

Disclosures pertaining to remuneration and other details as required under Section 197(12) of the Act read with Rule 5(1) of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014 are provided in Annexure VI.

Conservation of Energy, Technology Absorption, Foreign Exchange Earnings & Outgo

The details as required under the Companies (Accounts) Rules, 2014 are given as Annexure VII to the Directors’ report.

Annual Return

The Annual Return (MGT-7) of the Company as on 31.03.2025 is available on the following web link: https://www.srf.com/investors/ - corporate governance/

Industrial Relations

The Company continued to generally maintain harmonious and cordial relations with its workers in all its businesses.

Secretarial Standards

Applicable Secretarial Standards, i.e. SS-1, SS-2 and SS-3, relating to ‘Meeting of the Board of Directors’ ‘General Meetings’ and ‘Dividend’ respectively, have been duly followed by the Company.

General

Your Directors state that no disclosure or reporting is required in respect of the following items as there was no transactions on these items during the year under review :-

Details relating to deposits covered under Chapter V of the Companies Act, 2013.
Neither the Chairman and Managing Director/ Joint Managing Director nor Whole-time Director received any remuneration or commission from any of the Company’s subsidiaries.
No significant or material orders were passed by the Regulators or Courts or Tribunals which impact the going concern status and Company’s operations in future.

As per the requirement of The Sexual Harassment of Women at Workplace (Prevention, Prohibition & Redressal) Act, 2013 (‘Act’) and Rules made thereunder, your Company has constituted Internal Complaints Committees (ICC). During the year, four complaints were received which were duly disposed off.

Acknowledgements

Your Directors acknowledge with gratitude the co-operation and assistance received from various agencies of the Central Government and the Governments of Madhya Pradesh, Rajasthan, Tamil Nadu, Gujarat and Uttarakhand, financial institutions and banks. Your Directors thank the shareholders for their continued support. Your Directors also place on record their appreciation of the contribution made by employees at all levels.

For and on Behalf of the Board

Ashish Bharat Ram

Chairman & Managing Director (DIN – 00671567)

Date: May 12, 2025 Place: Gurugram

Annexure I to Board’s Report

Nomination, Appointment and Remuneration Policy

A. Introduction

This Policy on Nomination, Appointment and Remuneration of Directors, Key Managerial Personnel, Senior Management and Other Employees has been formulated and amended from time to time in accordance with the provisions of Section 178 of the Companies Act, 2013 (the Act) and the Listing Regulations by the Nomination and Remuneration Committee of the Directors of the Company.

B. Definitions

Directors (other than Managing Director(s) and Whole-time Director(s)) appointed under the provisions of the Companies Act, 2013 and rules made thereunder.

Directors: Directors (other than Managing Director(s) and Whole-time Director(s)) appointed under the provisions of the Companies Act, 2013 and rules made thereunder. Key Managerial Managing Director(s), Whole-time Director(s), Chief Executive Officers of the Personnel businesses of the Company reporting to the Managing Director, Chief Financial Officer and Company Secretary. Senior Management The officers and personnel who are members of the core management team, excluding the Board of Directors, and also comprise all the members of the management one level below the Managing Director and shall specifically include the functional heads, by whatever name called and the persons identified and designated as key managerial personnel, other than the board of directors, by the listed entity Other Employees Employees other than Key Managerial Personnel and Senior Management.

The terms “He” or “his” as mentioned in this Policy includes any gender.

Identification and recommendation to Board of persons who are qualified to become Directors, Key Managerial Personnel and Sr. Management in accordance with the criteria laid down.

C. Terms of Reference

The Board of Directors of the Company at its meeting held on 9th May, 2014 reconstituted the existing Remuneration Committee of Directors as “Nomination and Remuneration Committee” of Directors (the Committee). The terms of reference the Committee are as follows :-

Recommend to the Board on appointment and removal of Directors, Key Managerial Personnel and Sr. Management.
Formulation of the criteria for determining qualifications, positive attributes and independence of a director.
Evaluation of the performance of Directors (other than independent directors).
Formulation of criteria for evaluation of performance of Independent Directors and the Board.
Evaluation of the performance of independent directors and make recommendations to Board.
Devising a policy on Board diversity.
To oversee succession planning for Board of Directors, Key Managerial Personnel and Senior Management.
Formulation of policies for remuneration to Directors, Key Managerial Personnel, Sr. Management and Other Employees.

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D. Criteria for recommending a person to become Director

Formulation of criteria for making payment to non-executive Directors.
The Committee shall take into consideration
• Recommend to the board, all the following criteria of qualification, positive
remuneration, in whatever form, payable to attributes and independence for recommending
senior management. to the Board for appointment of a Director:-

1. Qualification & Experience

The incumbent shall possess appropriate skills, experience and knowledge in one or more fields of finance, law, management, sales & marketing, operations, research, corporate governance, education, community service or other disciplines.

2. Attributes/Qualities

The incumbent Director shall possess one or more of the following attributes/qualities :-

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----- Start of picture text -----

Industry knowledge/ Technical skills/ Behavioural Competencies
experience experience
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a)	Consulting Experience	a) Accounting and fnance	a) Integrity and ethical standards
b)	Manufacturing Industry	b) Industrial Engineers	b) Mentoring abilities
	experience
c)	Understanding of relevant laws,	c) Talent Management	c) Critical thinking
	rules, regulation and policy
d)	Analyzing Business Problems	d) Compliance and risk	d) Strategic Planning
e)	Adapting to changing Business	e) Devising plans for	e) Entrepreneurial & Commercial
	Conditions	New Business	Acumen
f)	Recommending cost-cutting	f) Proposing solutions	f) Analytical Decision Making
	measures	to Business
		Problems
g)	Recommending Process	g) Innovation	g) Customer Centricity
	Improvements		h) Leading Change i)LeadingPeople

the provisions of the Act, Listing Regulations and other applicable laws & regulations. Commission to the Executive Directors, if any, will be recommended by the Committee to the Board for approval. The Committee/Board shall periodically review the remuneration of such Directors in relation to other comparable companies and other factors like performance of the Company etc. as deemed appropriate.

In case the proposed appointee is an Independent Director, he should fulfill the criteria for appointment as Independent Director as per the provisions of the Act, Listing Regulations and other applicable laws and regulations.
The incumbent should not be disqualified for appointment as a Director pursuant to the provisions of the Act or other applicable laws & regulations.

The Committee will recommend to the Board appropriate fees / commission to the non-executive directors for its approval. The Committee / Board shall inter alia, consider level of remuneration /commission payable by

E. Directors’ Remuneration

The Committee will approve the fixed remuneration to Executive Directors subject to

other comparable companies, time devoted, experience, providing guidance on strategic matters and such other factors as it may deem fit.

F. Evaluation

Performance evaluation of Executive Directors, Non-executive & Non Independent Directors, Independent Directors, Board as a whole, Board Committees and their members and Chairman shall be carried out in following manner:

a) Performance evaluation of all individual Directors:

It shall be done annually by the Nomination and Remuneration Committee (NRC) as per the structure of performance evaluation (as per Annexure I & II & III). The outcome of the evaluation shall be shared by the Chairman of NRC with the Board.

b) Performance evaluation of Independent Directors:

It shall be done, annually and at the time of their re-appointment, by NRC for recommending to the Board whether to extend or continue the term of appointment of independent directors. Based upon the recommendations of the NRC, the Board of Directors shall decide to continue their appointment or consider them for reappointment.

The performance evaluation of independent directors, in addition to feedback received from NRC, shall be done by the entire Board of Directors, excluding the director being evaluated as per the structure of performance evaluation (as per Annexure II).

c) Performance evaluation of NonExecutive & Non- Independent Directors:

It shall be done annually by NRC for recommending to the Board whether to extend or continue the term of appointment of non-executive & non-independent Directors.

The performance evaluation of Non-Executive & Non- Independent directors, in addition to feedback received from NRC, shall be done by the entire Board of Directors, excluding the director being evaluated as per the structure of performance evaluation (as per Annexure III).

d) Performance evaluation of the Board of Directors:

Board shall evaluate its own performance on criteria as specified in annexure IV.

e) Performance evaluation of Board Committees:

The Board shall review the performance of all its committees annually on criteria for evaluation as specified in annexure V.

f) Performance evaluation of Chairman:

The Board shall review the performance of Chairman annually on criteria for evaluation as specified in annexure VI.

g) Performance evaluation by independent directors at their separate meeting:

The Independent Directors in their separate meeting shall review performance of non-independent directors, Board as a whole, the Chairman of the company, taking into account the views of executive directors and non-executive directors.

The Chairman of meeting of Independent Directors or one selected by independent Directors shall share outcome of their abovementioned evaluations with the Chairman of the Board.

Chairman of the Board shall be responsible for giving feedback as and when required as a result of performance evaluation above and guide on preparation of a suitable action plan, if required.

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G. Board Diversity

The Committee will review from time to time Board diversity to bring in professional experience in different areas of operations, transparency, corporate governance, financial management, risk assessment & mitigation strategy, education, community service and human resource management in the Company. The Committee will keep succession planning and Board diversity in mind in recommending any new name of Director for appointment to the Board.

H. Eligibility criteria & Remuneration of Key Managerial Personnel, Senior Management and Other Employees

The eligibility criteria for appointment of Key Managerial Personnel, Senior Management and Other Employees shall be in accordance with the job description of the relevant position.

In particular, the position of Key Managerial Personnel should be filled by senior having relevant qualifications and experience.

Remuneration Structure

i) Key Managerial Personnel and Senior Management,

The remuneration structure for Key Managerial Personnel and Senior Management shall be decided taking into account factors such as level of experience, qualification, performance and suitability which shall be reasonable and sufficient to attract, retain and motivate them.

Nomination and Remuneration Committee shall recommend to the Board the remuneration/remuneration structure for senior management every year.

professional experience, responsibility, job complexity and market conditions and his/her last drawn remuneration in the previous organization.

The various remuneration components, basic salary, allowances, perquisites etc. may be combined to ensure an appropriate and balanced remuneration package.

The annual increments to the remuneration paid to the employees shall be determined based on the appraisal carried out by the respective reporting managers/HODs of various departments as ratified by Business Leadership Teams/Corporate Leadership Team (as applicable). Decision on Annual Increments shall be made on the basis of this appraisal. The remuneration would be benchmarked intermittently with a basket of identified companies comparable to SRF.

At the same time, the increments are largely fixed for Bands. In case, a specific correction is to be brought about for a particular employee or group of employees, rationalization on a one time basis may also be carried out.

The remuneration may consist of fixed and incentive pay/retention bonus reflecting short and long-term performance objectives appropriate to the working of the Company and its goals.

The aforesaid Key Managerial Personnel, Senior Management and Other Employees may also be provided any facility, perquisites, commission, accommodation, interest free loans or loans at concessional rate in accordance with the policies framed for them or any category thereof.

Annexure - I

Performance Evaluation of Executive Directors

Name of Director :

Type of Directorship : Executive Director

Assessment of the following Roles/Attributes as performed by or observed in the Director whose performance is under evaluation:

Please rate each criteria on the scale of 1 (poor) - 5 (Excellent)

	(1 – Poor) (2-Fair)	(3-Good)	(4-VeryGood)	(5-Excellent)

	S. No. Particulars/Role/Attribute			Rating (1,2, 3,4,5)
	1. Attendance and participation in meetings of the Board of Directors and of the Board
	Committees

Advises Board on implementation of good corporate governance practices
Exercised his/her duties with integrity, due care, skill and diligence
Acted in good faith and in the best interests of the Company towards promotion of interest of the stakeholders
Conduct in compliance with the policies of the Company viz. Code of Conduct, Code of Conduct for Prevention of Insider Trading, Whistle blower Policy etc.)
Ensures compliance with applicable laws/ statutory obligations in the functioning of the Company
Enhances Brand Equity
Encourages new initiatives/expansion/innovation
Encourages adherence to the principles of Quality, Cost, Delivery and safety (QCDS)
Resolves Investor complaints
Ensures talent retention
Encourages awards & recognitions
Overall Performance (Remarks)

Name of Director : ……………………….. Signature : ………………………… Date & Place : …………………………

ii) Other Employees

The remuneration for the Other Employees is determined on the basis of the role and position of the individual employee, including

However loan to the Directors who are KMPs shall be governed by such approvals as may be required by the Companies Act, 2013.

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Annexure - II

Performance Evaluation of Independent Directors

Name of Director :

Type of Directorship : Independent Director

Assessment of the following Roles/Attributes as performed by or observed in the Director whose performance is under evaluation:

Please rate each criteria on the scale of 1 (poor) - 5 (Excellent)

(1 – Poor)	(2-Fair)	(3-Good)	(4-VeryGood)	(5-Excellent)

S. No. Particulars/Role/Attribute				Rating (1,2, 3,4,5)

Attendance and participation in meetings of the Board of Directors and of the Board Committees
Independent Directors have sufficient knowledge of Company strategy and objective and can monitor performance.
Advises on implementation of good corporate governance practices.
Whether knowledge and experience of the Independent Directors have been adequately and productively used for the functioning of Board.
Independent Directors make efforts for professional development to enable better fulfilment of their responsibilities.
Independent in judgement and actions
Exercised his/her duties with integrity, due care, skill and diligence
Acted in good faith and in the best interests of the Company towards promotion of interest of the stakeholders
Conduct in compliance with the policies of the Company viz. Code of Conduct, Code of Conduct for Prevention of Insider Trading, Whistle blower Policy etc.)
Fulfilment of the independence criteria as specified in Listing Regulations and other applicable laws and their independence from the management
Overall Performance (Remarks)

Name of Director : ……………………….

Annexure - III

Performance Evaluation of Non-executive & Non-Independent Directors

Name of Director :

Type of Directorship : Non- Executive & Non-Independent Director

Assessment of the following Roles/Attributes as performed by or observed in the Director whose performance is under evaluation:

Please rate each criteria on the scale of 1 (poor) - 5 (Excellent)

	(1 – Poor) (2-Fair) (3-Good)	(4-VeryGood)	(5-Excellent)

S. No.	Particulars/Role/Attribute		Rating (1,2, 3,4,5)
1.	Attendance and participation in meetings of the Board of	Directors and of the Board
	Committees
2.	Non-Executive & Non-Independent Directors have sufcient knowledge of Company
	strategy and objective and can monitor performance.

Advises on implementation of good corporate governance practices.
Whether knowledge and experience of the Non-Executive & Non-Independent Directors have been adequately and productively used for the functioning of Board.
Non-Executive & Non-Independent Directors make efforts for professional development to enable better fulfilment of their responsibilities.
Exercised his/her duties with integrity, due care, skill and diligence
Acted in good faith and in the best interests of the Company towards promotion of interest of the stakeholders
Conduct in compliance with the policies of the Company viz. Code of Conduct, Code of Conduct for Prevention of Insider Trading, Whistle blower Policy etc.)
Overall Performance (Remarks)

Name of Director : ……………………….

Signature : ………………………….

Date & Place : …………………………..

Signature : ………………………….

Date & Place : …………………………..

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Annexure - IV

PERFORMANCE EVALUATION OF THE BOARD

Assessment of the following Roles/Attributes as observed in the Board as a whole:

Please rate each criteria on the scale of 1 (poor) - 5 (Excellent)

(1 – Poor)	(2-Fair)	(3-Good)	(4-VeryGood)	(5-Excellent)

S. No. Particulars/Role/Attribute				Rating (1,2, 3,4,5)

Composition and Quality

The Company has Diverse Board.
The Board monitors compliance with corporate governance norms and other laws applicable to the Company.

Understanding Business including Risks

The Company’s management and internal control system is periodically reviewed for appropriateness and relevance.

Process and Procedure

The structure and content of the Board meeting agendas are appropriate.
Board meetings are conducted effectively, with sufficient time spent on significant or emerging points.
The agenda and related information are circulated in advance of the meetings to allow Board members sufficient time to study and understand the information.

Oversight of Financial Reporting process including Internal Controls and Audit Functions

The Board considers the quality and appropriateness of financial accounting and reporting including transparency of disclosures.

Annexure - V

PERFORMANCE EVALUATION OF THE COMMITTEES

Assessment of the following Roles/Attributes as observed in the Committees:

Please rate each criteria on the scale of 1 (poor) - 5 (Excellent)

(1 – Poor)	(2-Fair)	(5-Excellent)

S. No. Particulars/Role/Attribute		Rating (1,2, 3,4,5)
1. The Committee(s)	composition is/ are appropriate

The Committee(s) has/ have a defined agenda.
Members of the Committee(s) receive agenda in sufficient time which permits them to effectively consider issues to be dealt with.
The mandate of the Board to the Committee(s) of all matters are clear and adequate.
The Committee(s) allocate(s) the right amount of time for its discussions.
The minutes of the Committee(s) are placed before the Board on a regular basis.
Appropriate internal and external support or resources are available to the Committee(s).
Overall Performance (Remarks)

Name of Director : ……………………….

Signature : …………………………. Date & Place : …………………………..

The Board appropriately considers the suggestions from the Audit Committee, internal audit reports, management’s responses, risk framework and steps toward improvement.
The Board through Audit Committee reviews material related party transactions.

Ethics and Compliance

The Board is fully aware of the Company’s code of conduct and has a well‐developed sense of ethics.

Monitoring Activities

An annual performance evaluation of the Board is conducted and any matters that require follow‐up are resolved and presented to the Board.
Overall Performance (Remarks)

Name of Director : ……………………….

Signature : ………………………….

Date & Place : …………………………..

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Annexure - VI

PERFORMANCE EVALUATION OF CHAIRMAN

Assessment of the following Roles/Attributes as observed in the Chairman:

Please rate each criteria on the scale of 1 (poor) - 5 (Excellent)

(1 – Poor)	(2-Fair)	(3-Good)	(4-VeryGood)	(5-Excellent)

S. No. Roles/Attributes				Rating (1,2, 3,4,5)
1. Chairman demonstrates efective leadership qualities and skills

Implementation of observations/recommendations of Board Members
Effective and timely resolution of grievances of Board Members
Ability to bring convergence in case of divergent views and conflict of interest situation tabled at Board meetings
Overall Performance (Remarks)

Name of Director : ……………………….

Signature : ………………………….

Date & Place : …………………………..

For and on Behalf of the Board

Ashish Bharat Ram

Chairman & Managing Director (DIN – 00671567)

Date: May 12, 2025 Place: Gurugram

Annexure - II to the Board’s Report

Annual Report on CSR Projects as on March 31, 2025

1. Brief outline on CSR Policy of the Company:

trained to be gainfully self-employed or linking them with potential employers to increase their employability and livelihood.

As per the requirement of Section 135 of the Companies Act, 2013, the Company had laid down a CSR Policy under which the Company had identified projects as per the Schedule VII of the Act in the following areas for the year 2024-25: -

• Ensure Environmental Sustainability (iv):

Plantation, Awareness Creation – Water Conservation, Ground Water Recharge, Research, Waste Recycling

• Promotion of Health Care (i):

Focusing on prevention and curative health care and to improving the quality of health facilities of Government health center. Empowering Government Anganwadi centers to reduce the incidence of mortality, morbidity, malnutrition.

Promotion of Art and Culture (v):
Lecture cum demonstration session on classical music, dance, folk form, etc.
Promotion of Sports (vii):
Training to promote rural sports, nationally recognized sports, paralympic and Olympic sports.

• Promotion of Quality Education & Vocational Skills (ii):

Improving Quality of Education and Developing School infrastructure of Govt. Schools. Focusing on imparting appropriate skills as per the market and industry needs and providing a platform to the youth

• Disaster Management (xii):

Relief and rehabilitation, livelihoods support, R&D

2. Composition of CSR Committee:

Sl. No.	Name of Director	Designation / Nature of Directorship	Number of meetings of CSR Committee held during theyear	Number of meetings of CSR Committee attended during theyear
1.	Mr. Kartik Bharat Ram	Chairman	2	2
2.	Mr. Ira Gupta	Member	2	2
3.	Mr. Yash Gupta	Member	2	1

3. Provide the web-link(s) where Composition of CSR Committee, CSR Policy and CSR Projects approved by the board are disclosed on the website of the company.

3.1. CSR Committee & CSR Policy: https://srf.com/investors/corporate governance/ -
3.2. CSR Projects: https://srf.com/investors/corporate governance/

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4. Provide the executive summary along with web-link(s) of Impact Assessment of CSR Projects carried out in pursuance of sub-rule (3) of rule 8, if applicable.

During FY 2022-23, SRF contributed in the following projects:
Rural Education Program in Mewat, Bhiwadi, Bhind, Dhar, Bhopal, Bharuch- ` 9.78 Crores
SRF Vidyalaya – Manali- ` 7.67 Crores
SRF Vidyalaya – Gurugram- ` 3.75 Crores
Rural Education Program- Mewat - A decade of Impact- ` 1.62 Crores

In accordance with the Companies (Corporate Social Responsibility Policy) Rules, 2014, Potli Productions has conducted impact assessment for Rural Education Program- Mewat - A decade of Impact and Aspire Impact has conducted impact assessments for the remaining projects.

Impact Assessment report can be accessed at: https://srf.com/investors/corporate governance/

5. (a) Average net profit of the company as per sub-section (5) of section 135.

` 2168.05 Crores

(b) Two percent of average net profit of the company as per sub-section (5) of section 135.

` 43.37 Crores

(c) Surplus arising out of the CSR Projects or programmes or activities of the previous financial years.

(d) Amount required to be set-off for the financial year, if any.

(e) Total CSR obligation for the financial year [(b)+(c)-(d)].

` 43.37 Crores

6. (a) Amount spent on CSR Projects (both Ongoing Project and other than Ongoing Project).

` 25.44 Crores

(b) Amount spent in Administrative Overheads.

` 0.30 Crores

(c) Amount spent on Impact Assessment, if applicable.

` 0.25 Crores

(e) CSR amount spent or unspent for the Financial Year:

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Total Amount Amount Unspent (in ) Spent for the Total Amount transferred to Amount transferred to any fund specified Financial Year. Unspent CSR Account as per under Schedule VII as per second proviso (in ) sub- section (6) of section 135. to sub-section (5) of section 135.
Amount. Date of Name of the Amount. Date of transfer.
transfer. Fund
25.99 Crores 17.38 Crores 30/04/2025 XX XX XX
----- End of picture text -----

(b) Excess amount for set-off, if any:

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Sl. Particular Amount (in ` )
No.
(1) (2) (3)
(i) Two percent of average net profit of the company as per sub-section (5) of 43.37 Crores
----- End of picture text -----

	section 135
(ii)	Total amount spent for the Financial Year	25.99 Crores
(iii)	Excess amount spent for the Financial Year [(ii)-(i)]	NA
(iv)	Surplus arising out of the CSR projects or programmes or activities of the	NA
	previous Financial Years, if any
(v)	Amount available for set of in succeedingFinancial Years [(iii)-(iv)]	NA

7. Details of Unspent Corporate Social Responsibility amount for the preceding three Financial Years:

1
2
3
4
5 6
7
8

Sl.
Preceding
Financial
Year(s)
Amount
transferred
to Unspent
CSR
Account
under sub-
section (6)
of section
135 (in**)** **Balance** **Amount in** **Unspent** **CSR** **Account** **under sub-** **section (6)** **of section** **135 (in**)
Amount
Spent
in the
Financial
Year (in
**)**| **Amount** **transferred to a** **Fund as specifed** **under Schedule** **VII as per second** **proviso to sub-** **section (5) of** **section 135, if any** **Amount** **remaining** **to be** **spent in** **succeeding** **Financial** **Years (in**)
Defcie
ncy, if
any
Amount
(in`)
Date of
Transfer

1
FY-21-22
2
FY-22-23
3
FY 23-24
09.51
Crores
07.01 Crores 1.74
Crores -
-
7.77
Crores*
NA

7.77 Crores includes 0.76 Crores with Implementing Agency as on 31st March 2025.

(d) Total amount spent for the Financial Year [(a)+(b)+(c)].

` 25.99 Crores

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8. Whether any capital assets have been created or acquired through Corporate Social Responsibility amount spent in the Financial Year:

Yes No

If Yes, enter the number of Capital assets created/ acquired

Furnish the details relating to such asset(s) so created or acquired through Corporate Social Responsibility amount spent in the Financial Year:

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Sl. Short particulars Pincode Date of Amount Details of entity/ Authority/
No. of the property or of the creation of CSR beneficiary of the registered owner
asset(s) [including property amount CSR Name Registered
complete address or asset(s) spent Registration address
and location of the Number, if
property] applicable
(1) (2) (3) (4) (5) (6)
Not Applicable
----- End of picture text -----

9. Specify the reason(s), if the company has failed to spend two per cent of the average net profit as per sub- section (5) of section 135.

Sd/- Ashish Bharat Ram Date: May 12, 2025 Chairman & Managing Director Place: Gurugram

Sd/- Kartik Bharat Ram Joint Managing Director & Chairman CSR Committee

Annexure III to the Board’s Report

ESPS Disclosures

Details related to ESPS

(i) Details of allotments made under Part-B of SRF ESPS 2018 of SRF Limited (SRF) Employees Long Term Share Based Incentive Plan – 2018 during the financial year 2024-25: NIL
(a) Date of shareholders’ approval: NA
(b) Number of shares issued: NA
(c) The price at which such shares are issued: NA
(d) Lock-in period: NA
(ii) Details regarding allotment made under Part-B of SRF ESPS 2018 of SRF Limited (SRF) Employees Long Term Share Based Incentive Plan – 2018 , as at the end the financial year 2024-25

==> picture [422 x 49] intentionally omitted <==

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Particulars Details of Details of Details of
Allotment Allotment Allotment
during FY during FY during FY
2018-19 2021-22 2022-23
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The details of the number of shares issued under ESPS	60,000#	1,95,000	3800
The price at which such shares are issued	₹ 10/-	₹ 10/-	₹ 10/-
Employee-wise details of the shares issued to
i) senior management” as defned under regulation
16(1)(d) of the Securities and Exchange Board
of India (Listing Obligations and Disclosure
Requirements) Regulations, 2015
Mr. Prashant Yadav, President & CEO (FCB & TTB)	20,000 Shares	55,000 shares	-
Mr. Prashant Mehra, President & CEO (PFB, LF & CF)	20,000 Shares	55,000 shares	-
Mr. Anurag Jain, President & CEO (SCB & CTG)	20,000 Shares	55,000 shares	-
Mr. Rahul Jain, President & CFO	-	15,000 shares	3800 shares
Mr. Sanjay Rao, President & CIO	-	12,500 shares	-
Mr. Ajay Chowdhury, President & CHRO*	-	2,500 shares	-
ii) any other employee who is issued shares in any one	None	None	None
year amounting to 5% or more shares issued during
that year;
(iii) identifed employees who were issued shares during	None	None	None
any one year equal to or exceeding 1% of the issued
capital of the company at the time of issuance
Consideration received against the issuance of	₹ 6,00,000	₹ 19,50,000	₹ 38,000
shares, if scheme is implemented directly by the
company
Loan repaid by the Trust during the year from	NA	NA	NA
exerciseprice received

Bonus shares in the ratio of 4 equity shares for every 1 equity shares were issued in respect of these shares on 15th October 2021

*Superannuated on 30th November 2024.

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Details related to Trust

Details, inter alia, in connection with transactions made by the Trust meant for the purpose of administering the schemes under the Regulations :-

(i) General information on all schemes:
S. Particulars Details No 1 Name of the Trust SRF Employees Welfare Trust 2 Details of the Trustee(s) SRF Employees Benefit Scheme LLP 3 Amount of loan disbursed by company / any company in NIL the group, during the year
4 Amount of loan outstanding (repayable to company / any NIL company in the group) as at the end of the year
5 Amount of loan, if any, taken from any other source for NIL which company / any company in the group has provided any security or guarantee
6 Any other contribution made to the Trust during the year Nil
(ii) Brief details of transactions in shares by the Trust
(a) Number of shares held at the beginning of the year; : NIL
(b) Number of shares acquired during the year through (i) primary issuance (ii) secondary acquisition, also as a percentage of paid up equity capital as at the end of the previous financial year, along with information on weighted average cost of acquisition per share;: NIL

Annexure IV to the Board’s Report

INDEPENDENT AUDITORS’ CERTIFICATE ON COMPLIANCE WITH THE CORPORATE GOVERNANCE REQUIREMENTS UNDER SEBI (LISTING OBLIGATIONS AND DISCLOSURE REQUIREMENTS) REGULATIONS, 2015

TO

THE MEMBERS OF SRF LIMITED

This certificate is issued in accordance with the terms of our engagement letter dated 07 May 2025.
We have examined the compliance of conditions of Corporate Governance by SRF Limited (“the Company”), for the year ended 31 March 2025, as stipulated in regulations 17 to 27, clauses (b) to (i) of regulation 46(2) and paragraphs C, D and E of Schedule V of the Securities Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 as amended from time to time (“Listing Regulations”) pursuant to the Listing Agreement of the Company with Stock Exchanges.

Management’s Responsibility

  3. The compliance of conditions of Corporate Governance as stipulated under the listing regulations is the responsibility of the Company’s Management including the preparation and maintenance of all the relevant records and documents. This responsibility includes the design, implementation and maintenance of internal control and procedures to ensure compliance with the conditions of Corporate Governance stipulated in the Listing Regulations.

(c) Number of shares transferred to the employees / sold along with the purpose thereof : NIL
(d) Number of shares held at the end of the year.: NIL
(iii) In case of secondary acquisition of shares by the Trust

Number of shares Held at the beginning of the year	As a percentage of paid-up equity capital as at the end of the year immediately preceding the year in which shareholders’ approval was obtained NIL
Acquired during the year	NIL
Sold during the year	NIL
Transferred to the employee during the year Held at the end of theyear	NIL NIL

For and on Behalf of the Board

Ashish Bharat Ram

Auditors’ Responsibility

Our examination was limited to procedures and implementation thereof, adopted by the Company for ensuring the compliance of the conditions of the Corporate Governance. It is neither an audit nor an expression of opinion on the financial statements of the Company.
Pursuant to the requirements of the Listing Regulations, it is our responsibility to provide a reasonable assurance whether the Company has complied with the conditions of Corporate Governance as stipulated in Listing Regulations for the year ended 31 March 2025.
We conducted our examination of the above corporate governance compliance by the Company in accordance with the Guidance Note on Reports or Certificates for Special Purposes (Revised 2016) and Guidance Note on Certification of Corporate Governance both issued by the Institute of the Chartered Accountants of India (the “ICAI”), in so far as applicable for the purpose of this certificate. The Guidance Note requires that we comply with the ethical requirements of the Code of Ethics issued by the ICAI.
We have complied with the relevant applicable requirements of the Standard on Quality Control (SQC) 1, Quality Control for Firms that Perform Audits and Reviews of Historical Financial Information, and Other Assurance and Related Services Engagements.

Chairman & Managing Director (DIN – 00671567)

Date: May 12, 2025 Place: Gurugram

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Opinion

In our opinion and to the best of our information and according to the explanations given to us, we certify that the Company has complied with the conditions of Corporate Governance as stipulated in the above-mentioned Listing Regulations.
We state that such compliance is neither an assurance as to the future viability of the Company nor the efficiency or effectiveness with which the management has conducted the affairs of the Company.

Restriction on use

The certificate is addressed and provided to the Members of the Company solely for the purpose of enabling the Company to comply with the requirement of the Listing Regulations and should not be used by any other person or for any other purpose. Accordingly, we do not accept or assume any liability or any duty of care for any other purpose or to any other person to whom this certificate is shown or into whose hands it may come without our prior consent in writing.

For B S R & Co. LLP Chartered Accountants Firm’s Registration Number: - 101248W/W-1000222

Ashish Bansal

Partner

Membership Number: - 077569 UDIN: 25077569BMOVUY4111

Place: Gurugram Date: 12 May 2025

Annexure V to the Board’s Report

SECRETARIAL AUDIT REPORT

FOR THE FINANCIAL YEAR ENDED 31st MARCH, 2025

[Pursuant to section 204(1) of the Companies Act, 2013 and Rule No. 9 of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014]
d) Wherever required, we have obtained the management representation about the compliances of laws, rules and regulations and happening of events etc.

To,

The Members SRF Limited (CIN: L18101DL1970PLC005197) The Galleria, DLF Mayur Vihar,

e) The compliance of the provisions of the corporate and other applicable laws, rules, regulation, standards is the responsibility of the management. Our examination was limited to the verification of procedures on test basis.

Unit No. 236 & 237, 2nd Floor, Mayur Place, Mayur Vihar Phase I Extension, New Delhi-110091

We have conducted the Secretarial Audit of the compliance of applicable statutory provisions and the adherence to good corporate practices by SRF Limited (hereinafter called “the Company”) for the financial year ended 31st March, 2025. Secretarial Audit was conducted in a manner that provided us a reasonable basis for evaluating the corporate conducts/statutory compliances and expressing our opinion thereon.

f) The Secretarial Audit Report is neither an assurance as to the future viability of the Company nor of the efficacy or effectiveness with which the management has conducted the affairs of the Company.

Based on our verification of the Company’s books, papers, minute books, forms and returns filed and other records maintained by the Company and also the information provided by the Company, its officers, agents and authorized representatives during the conduct of Secretarial Audit, we hereby report that in our opinion, the Company has, during the audit period covering the financial year ended on 31st March, 2025 (“Audit Period”) complied with the statutory provisions listed hereunder and also that the Company has proper Board processes and compliance mechanism in place to the extent, in the manner and subject to the reporting made hereinafter:

We report that-

a) Maintenance of secretarial records are the responsibility of the management of the Company. Our responsibility is to express an opinion on these secretarial records based on our audit and we adhered to best professional standards and practices as could be possible while carrying out audit.
b) We have followed the audit practices and processes as were appropriate to obtain reasonable assurance about the correctness of the contents of the secretarial records. The verification was done on test basis to ensure that correct facts are reflected in secretarial records. We believe that the processes and practices, we followed, provide a reasonable basis for our opinion.

We have examined the books, papers, minute books, forms and returns filed and other records maintained by the Company for the financial year ended 31st March, 2025 according to the provisions of:

(i) The Companies Act, 2013 (“the Act”) and the rules made thereunder;
c) We have not verified the correctness and appropriateness of the financial statements of the Company.
(ii) The Securities Contracts (Regulation) Act, 1956 (‘SCRA’) and the rules made thereunder;

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We have also examined compliance with the applicable clauses of the Secretarial Standard on Meetings of the Board of Directors and on General Meetings issued by the Institute of Company Secretaries of India which has been generally complied with.

(iii) The Depositories Act, 1996 and the Regulations and Bye-laws framed thereunder;
(iv) Foreign Exchange Management Act, 1999 and the rules and regulations made thereunder to the extent of Foreign Direct Investment, Overseas Direct Investment and External Commercial Borrowings, wherever applicable;

During the audit period, the Company has generally complied with the provisions of the Act, Rules, Regulations and Guidelines, to the extent applicable.

(v) The following Regulations prescribed under the Securities and Exchange Board of India Act, 1992 (‘SEBI Act’):-
(vi) The Company is engaged in manufacturing
(a) The Securities and Exchange Board of of Chemicals & Other Businesses plants
India (Substantial Acquisition of Shares and located at Alwar, Rajasthan; Bharuch,
Takeovers) Regulations, 2011; Gujarat; Thiruvallur, Tamil Nadu and Kashipur,
(b) The Securities and Exchange Board of Uttarakhand; Technical Textiles plants at India (Prohibition of Insider Trading) Thiruvallur, Tamil Nadu; Manali, Tamil Nadu; Regulations, 2015; Pudukottai, Tamil Nadu and Bhind, Madhya Pradesh; and Packaging Films plants at
(c) The Securities and Exchange Board of Kashipur, Uttarakhand and Pithampur, Madhya
India (Issue of Capital and Disclosure Pradesh. As informed by the management,
Requirements) Regulations, 2018; {Not following are some of the laws specifically
applicable during the audit period} applicable to the Company: -
(a) The Securities and Exchange Board of India (Substantial Acquisition of Shares and Takeovers) Regulations, 2011;
(d) The Securities and Exchange Board of India (Share Based Employee Benefits and Sweat Equity) Regulations, 2021;
Narcotics Drugs and Psychotropic substance Act, 1985;
Legal Metrology Act, 2009;
(e) The Securities and Exchange Board of India (Issue and Listing of Non-Convertible Securities) Regulations, 2021;
SEZ Act, 2005 and SEZ Rules, 2006; &
The Chemical Weapons Convention Act, 2000.
(f) The Securities and Exchange Board of India (Registrars to an Issue and Share Transfer Agents) Regulations, 1993 regarding the Act and dealing with client;
On the basis of management representation, recording in the minutes of Board of Directors and our check on test basis, we are on the view that the Company has ensured the compliance of laws specifically applicable on it.
(g) The Securities and Exchange Board of India (Delisting of Equity Shares) Regulations, 2021; {Not applicable to the Company during the audit period}
We further report that the Board of Directors of
during the audit period} the Company is duly constituted with proper balance
(h) The Securities and Exchange Board of India of Executive Directors, Non-Executive Directors and (Buyback of Securities) Regulations, 2018; Independent Directors including woman director. {Not applicable to the Company during the The changes in the composition of the Board of audit period}; and Directors that took place during the audit period were carried out in compliance with the provisions of the Act.
(i) The Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015;
Adequate notice was given to all directors to schedule the Board Meetings, agenda and detailed notes on

offer or invitation to subscribe to Redeemable Non-Convertible Debentures of the Company, in one or more series/tranches, aggregating upto ` 1500 Crores (Rupees Fifteen Hundred Crores only), on private placement basis, in terms of Sections 42, 71, 179 and other applicable provisions of the Companies Act, 2013 including rules made thereunder.

agenda were sent in advance of the meetings and there exists a system for seeking and obtaining further information and clarifications on the agenda items before the meeting for the meaningful participation at the meetings.

As per minutes, board decisions were carried out with requisite majority. There were no dissenting views which were required to be captured and recorded in the minutes.

For Sanjay Grover & Associates Company Secretaries Firm Registration No.: P2001DE052900 Peer Review Certificate No.: 6311/2024

We further report that there are adequate systems and processes in the Company commensurate with the size and operations of the Company to monitor and ensure compliance with applicable laws, rules, regulations and guidelines.

Kapil Dev Taneja

We further report that during the audit period, the members of the Company at their 53rd Annual New Delhi General Meeting held on June 28, 2024, accorded May 12, 2025 their approval for the following(s):

Partner CP No.: 22944 / Mem. No. F4019 UDIN: F004019G000317453

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Annexure VI to the Board‘s Report

DETAILS PERTAINING TO REMUNERATION 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

(i) The percentage increase in remuneration of each Director, Chief Financial Officer, Company Secretary and CEO during the financial year 2024-25 and ratio of the remuneration of each Director to the median remuneration of the employees of the Company for the financial year 2024-25 are as under:

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S. Name of Director/KMP and Designation % Increase in Ratio of remuneration
No. Remuneration of each Director to
in the Financial median remuneration of
Year 2024-25 employees
----- End of picture text -----

1	Ashish Bharat Ram	2%	345.51
	Chairman and Managing Director
2	Kartik Bharat Ram	2%	348.38
	Joint Managing Director
3	Pramod G. Gujarathi	6%	4.58
4	Director (Safety and Environment) Vellayan Subbiah	7%	3.56
	Non-Executive Director
5	Bharti Gupta Ramola	16%	4.14
	Non-Executive Director
6	Puneet Dalmia	9%	3.53
	Non-Executive Director
7	Yash Gupta	-1%	3.82
	Non-Executive Director
8	Raj Kumar Jain Non-Executive Director	14%	4.03
9	Vineet Agarwal	Not Applicable	3.31
	Non-Executive Director
10	Ira Gupta	Not Applicable	3.83
	Non-Executive Director
11	Prashant Mehra	4%	Not Applicable
	President & CEO
	(Performance Films and Foil Business, CF &
	LF)
12	Anurag Jain	3%	Not Applicable
	President & CEO
	(Speciality Chemicals Business and CTG)

02	Our Approach to ESG 12 Corporate Overview Statutory Reports 92 Financial Statements 222
	S. No. Name of Director/KMP and Designation % Increase in Remuneration in the Financial Year 2024-25 Ratio of remuneration of each Director to median remuneration of employees
	13 Prashant Yadav 2% Not Applicable President & CEO (Fluorochemicals Business and Technical Textile Business) 14 Rahul Jain 8% Not Applicable President & CFO 15 Rajat Lakhanpal 7% Not Applicable Senior Vice President - Corporate Compliance and CompanySecretary

(ii) The median remuneration of employees of the Company as on March 31, 2025 was 0.059 Crores as compared to 0.057 Crores as on March 31, 2024. The increase in median remuneration was 2.71% as compared to 2023-24.
(iii) There were 8425 permanent employees on the rolls of the Company as on March 31, 2025.

(iv)

Average percentage increase already made in the salaries of employees other than the managerial personnel
in the last fnancial year i.e. 2024-25 and its comparison with the percentage increase in the managerial
remuneration and justifcation thereof and point out if there are any exceptional circumstances for increase
in the managerial remuneration.
Category
Average Increase
Employees’ remuneration (other than Directors)
8.74%
Managerial remuneration(Directors)
1.91%

The increase in managerial remuneration and remuneration of other employees is a function of many factors such as company performance, compensation philosophy, market competitiveness, local agreements with unions and the total number of employees.

v) It is hereby affirmed that the remuneration paid is as per the Nomination, Appointment and Remuneration Policy of the Company.

For and on Behalf of the Board Ashish Bharat Ram Chairman & Managing Director (DIN – 00671567)

Date: May 12, 2025 Place: Gurugram

Notes:

For the purposes of calculation of remuneration, the Gratuity amount calculated has been taken as per actuarial data. i.e., the difference between the gratuity provision of March 2025 and March 2024.

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Annexure VII to the Board’s Report

Conservation of Energy – Measures taken: 3. FCB Bhiwadi

Saved 4.8 lacs units of electricity by installing a Pressure Reducing Turbine in CMS Plant

1. SCB Bhiwadi

Savings of 57.42 MWH by Heat recovery in Pre-mix vessel
Saved 1.5 lacs units of electricity by installing variable frequency drives in C1 compressors in CMS plant
Savings of 45.25 MWH by optimizing utility from brine to cooling water
Savings of 8750 KL water by using • Saved 2.0 lacs units of electricity by ETP treated water installing energy efficient air dryer system in CMS utilities
Savings of ~660 TPA of steam by improving steam trap design
Saved 6480 units of electricity by installing a variable frequency drive in drag chain of husk boiler in Captive Power Plant and Circulation Fan in AHF Plant

2. SCB Dahej

Savings of 1547 MWH by operating UPS in Eco-mode

4. FCB Dahej

Savings of 357 MWH by effective • Saved 11.80 lacs units of electricity utilization of VFD by installing energy efficient fans
• Savings of 214 MWH by Power in cooling towers Factor improvement
Saved 0.12 lac units of electricity through
• Savings of 119 MWH by timer installing LDR switch/timer in plant automation in the plant lighting and replacing conventional light with LED light
Savings of 879 MWH by improving power consumption of chilled water
consumption of chilled water • Saved 2.15 lacs units of electricity by installing VFD in process gas
• Savings of 1117 MWH by flow balancing compressor in CMS2 plant in brine system
Saved 6.57 lacs units of electricity by use of energy efficient motors in R22, CMS-2, TFE/ PTFE and F32-2 Plant
Savings of 984 MWH by expanding the chilled water network
Savings of 43 MWH by improving pump utilization by impeller trimming
Saved 0.29 lac units of electricity by running Lighting UPS Lighting UPS on ‘ECO Mode’
Savings of 1434 MWH by cooling tower optimization
Saved 4.41 lacs units of electricity by Optimize brine chiller performance by reducing pulley diameter of drive side in TCE-PCE plants
Savings of 500 MWH by optimizing secondary filter operations
Saved 5.8 lacs units of electricity by interconnecting F32/125 & PX-2 air compressor with common network
Savings of 595 MWH by eliminating one circuit in chilled water system
Savings of 907 MWH by optimizing chiller set point
Saved 8.3 lacs units of electricity by optimizing performance of pumps by

smaller diameter impeller and reduced speed through VFD

8. Technical Textile Business – Gwalior

Savings of 23.40 MWH by installation of Energy efficient chiller.
Saved 768641 KL fresh water by utilizing RO permeate water for cooling towers make up
Savings of 105 MWH by installation of Energy efficient pumps in textile air washer and DM water plant

5. Performance Films & Foil Business, Indore (SEZ)

Savings of 61 MWH by installation of Chilled water coils of Quench Air washer
Saving of 4500 m3 water through waste reduction / efficiency improvement

9. Technical Textile Business – Manali

Saving of 1380 MWH in Resin plant by converting Closed Loop Cooling Tower from series to parallel
Savings of 75.62 MWH by installation of “Electronically commuted fan” in AHU-4 and 3A A/W

6. Performance Films & Foil Business, Indore (DTA-1)

Savings of 229.40 MWH by installation of “Direct Evaporative cooling unit” in the textile AHU-3B
Saving of 1800 m3 water through waste reduction / efficiency improvement
Savings of 387.78 MWH by installation of “energy efficient pump” in N2 plant cooling tower
Saving of 21.60 MWH through reduction in line 2 TDO power consumption
Saving of 264 MWH through various energy conservation initiatives in castline

10. Technical Textile Business –

Gummidipoondi

7. Performance Films & Foil Business, Indore (DTA-2)

Savings of 157 MWH by direct power reduction in TO-4 by modifying pulley and belt design.
Saved 9000 m3 water through waste reduction / efficiency improvement
Savings of 253.04MT by reduction in LPG consumption in DNTCF by 4 zone processing and improving burner efficiency.
Saving of 12 MWH through replacement of chill roll circulation pump with drive
Saving of 12.96 MWH by using drive • Savings of 12.16 MT by reduction in LPG in APFC (Automatic Power Factor consumption in DPTCF by optimizing Correction) Panel room temperatures in Zone-5 and Zone-6
Saving of 81 MWH by replacing chilled water with Closed Loop Cooling Tower in Pull Roll Station

11. Technical Textile Business – Viralimalai

Savings of 38.48 MWH by Weft Twister Motor capacity optimization.
Saving of 207.36 MWH by optimization of Closed Loop Cooling Tower
Savings of 12.22 MWH by Installation of Energy efficient Air compressor.
Saving of 180 MWH through VFD in chilled water & cooling water pumps
Savings of 16.84 MWH by Installation of Energy efficient Chiller installation
Saving of 180 MWH through reduction in Erema machine and cutter running

Capital Investment on Energy Conservation Equipment:

Saving of 29.28 MWH through various energy conservation initiatives in castline

SCB Bhiwadi:

Installation of dry vacuum pump: ` 19.58 Lacs

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Replacement of PSD condenser: ` 11.35 Lacs
Replacement of PSD condenser: ` 11.35 Lacs and to remain relevant in the market. The in-house Research and Development (R&D) team remains
• Cooling tower efficiency improvement: ` 29 Lacs dedicated to developing novel and innovative products for the Pharma and Agrochemicals segments,
SCB Dahej: aligning with the evolving needs of our esteemed
• Installation of timer automation in customers. R&D efforts are concentrated on advanced plant: ` 3.70 Lacs intermediates, and sustainable technologies, aiming
• Installation of APFC Panel: ` 10 Lacs to enhance product quality, lower costs, and increase competitiveness. These efforts have not only
• Utility flow optimization system: 82 Lacs enhanced the product portfolio but also improved • SSF work: 4.50 Lacs efficiency while reducing the environmental footprint.
TTBM: The company maintains its focus on state-of• Installation of 660 TR Trane chiller – ₹ 116 Lakh the-art manufacturing technologies and systems to support production processes and intensify
• Installation of Energy efficient pumps for textile efficiency. This includes the adoption of automation chiller – ₹ 20 Lakh and digitization measures to streamline operations, along with investments in relevant equipment and
TTBG: infrastructure, to sustain the growth trajectory.
Installation of energy efficient chiller – ` 175 lacs
Throughout the year, investments were made
• Installation of energy efficient pumps in textile in technologies that facilitated waste reduction,
air washers, DM water – ` 28 lacs decreased energy consumption, and enhanced
• Installation of energy efficient pumps in sustainability of the products. Despite the challenges Refrigeration plant-2 – ` 41 lacs in demand of some products, the Technology team continued to work on new products of the future.
TTBT: Additionally, the Business implemented cost reduction • Modification of pulley and belt design for initiatives for established products, to enhance their reduction in direct power – ` 19.80 lacs competitiveness. This was supported by investment in advanced technologies in both dedicated and
CFT: flexible manufacturing facilities at its Bhiwadi and Dahej locations.
1150 KW (DC) roof top Solar power project – ` 321 lacs
Some of the areas where technology has been absorbed in this period are:

Technology Absorption

Finding solutions for complex chemistry and exploring novel routes to introduce cost efficient processes

SCB:

The Business is actively engaged in development of new molecules and serving the customers through a range of products. Despite a tough environment, the Business continued its journey during the year by introducing new technologies and processes, which are essential for fostering future growth. The Business leveraged its technological base to navigate challenges to address ongoing needs as well as the emerging needs of the market.

Strengthening of systems to secure the Intellectual Property of the Business
Process enhancements aimed at resource reduction, recycling, and reuse
Achieving cost-effectiveness in new products and reducing costs of existing products
Strengthening the value chain by backward integrating some critical raw materials

The Business has strategically invested in technology absorption initiatives to capitalize on opportunities

Capacity augmentation and (a) the details of technology imported - Technology debottlenecking in some plants imported for making Anhydrous Hydrogen Floride
• Focus on automation to improve process (b) the year of import - November 2021 to Feb 2025
Focus on automation to improve process robustness, cost and safety
(c) whether the technology been fully absorbed – Yes, fully absorbed
Reducing waste generation and solvent usage as well as enhancing process safety

Foreign exchange earnings and outgo

Technology absorption enables the Business to deliver long term value to the stakeholders along with making the Business sustainable. The absorption of new technologies is designed to ensure the product pipeline captures new opportunities and incorporates learnings from previously implemented technologies, thereby reducing the time to market for new opportunities. The Business remains committed to the journey of continuous technological innovation and advancement to meet the evolving needs of the customers and contribute to a sustainable future. This journey is also vital to ensure the company remains ahead on the technology curve to maintain its leadership position.

(₹ in Crores)

Particulars	Year ended March 31, 2024	Year ended March 31, 2025
Foreign Exchange	4,845.64	4,570.83
Earnings
Foreign Exchange outgo	2,712.75	2,883.03
Net Foreign Exchange Earnings	2,132.89	1,687.80

For and on Behalf of the Board

Ashish Bharat Ram Chairman & Managing Director (DIN – 00671567)

FCB:

In case of imported technology (imported during the last three years reckoned from the beginning of the financial year)-

Date: May 12, 2025 Place: Gurugram

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Management Discussion & Analysis

In the following pages, the Management will present an overview of the company’s operating and financial performance during FY25 and provide an outlook for business performance in the coming years.

Chemicals Business

Businesses

The Chemicals Business comprises two different product segments, namely Fluorochemicals and Specialty Chemicals.

SRF Limited is a chemical-based, multi-business conglomerate engaged in the manufacturing of industrial and specialty intermediates. The company is widely recognised and well respected for its R&D capabilities globally, especially in the niche domain of Chemicals. SRF Limited is a market leader in most of its business segments in India and overseas. The company has operations in four countries namely India, Thailand, South Africa, and Hungary. SRF has commercial interests in over a hundred countries and categorises its operations into Chemicals Business (CB), Packaging Films Business [renamed Performance Films & Foil Business, effective April 1, 2025] (PFB), Technical Textiles Business (TTB), and Other Businesses.

Fluorochemicals (FCB) Refrigerants & Propellants and Industrial Chemicals

FY25 was a mixed year for the Fluorochemicals Business. At the beginning of the year, we witnessed a strong season in the domestic market primarily driven by robust room AC demand but moderate pull from export markets. There was stress on refrigerants’ prices due to Chinese dumping in India and the international markets in the first three quarters. In addition, the refrigerants segment saw an increase in competition

from the additional capacities that were put into use in India and the Middle East. US continued to destock HFC inventory. On the positive side, our Middle East local operations stabilised, and we have started ramp up of local sales in Middle East from our Dubai operations. Overall, the Ref Gas business did well in domestic market and remained under pressure in the international markets.

During FY25, both the sites reported safe and stable operations. With a number of operational excellence measures in place, several plants achieved the highest-ever production in FY25. The focus of the business will be to optimise raw material sourcing, cost-saving initiatives, strengthening capabilities in new product portfolio with sustainability as the priority. Overall, the business performance was stable with a better second half.

The Industrial Chemicals segment also witnessed increased competition due to new capacity addition from few domestic players as a forward integration strategy. Due to the capacity addition and subdued demand from the Agrochemical and Pharma industries, our margins were under pressure. On a different note, the Business continues to increase its market share in the Dymel[®] / propellant segment in the domestic and international markets, entering new geographies and broadening its customer base.

Outlook

In FY26, the global and Indian economy is expected to perform better than FY25. We expect the quarter four momentum to continue. The Indian Air Conditioning industry is expected to witness growth, as a result, we expect to see an increase in the demand for refrigerants. US market is expected to remain subdued, however, the Middle East economy is expected to do well over FY25, thereby supporting demand. It is expected that pricing sanity will prevail in the coming year thereby improving margins in RG.

On a positive note, the Business successfully added two new variants in PTFE, Fine cut and Free Flow grades. Approvals for various grades of the product are currently underway with major domestic and international customers. The Business also commissioned the AHF plant and our expansion into specialty polymer is progressing well.

Industrial Chemicals segment is expected to remain stable with an improvement in demand from the Agrochemicals and Pharma industries.

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In our Fluoropolymers journey, while we have done good work on adding new grades and ramping those up will be our focus area along with commissioning of new specialty polymer plant. We will continue to strengthen our application development capabilities in the coming year.

The Business ramped up the production in some newly commissioned facilities, as the demand for some new products grew amid lower demand for some flagship products. SCB focussed on advancing customers’ new products and their developmental projects. Continuous efforts were made to optimally utilise the production capacities for existing products.

Overall, the business is expected to do better in FY26 with maximum utilisation of capacities and commissioning of new specialty fluoropolymers plants.

Specialty Chemicals Business (SCB)

The Specialty Chemicals Business encountered market challenges during FY25. Nevertheless, despite the issues of excess inventory and heightened competition from new capacities in China, the Business has successfully made considerable progress in fortifying its position.

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and Dahej facilities have enhanced their operational efficiency, effectively managing an expanded portfolio of innovative products. SCB’s expertise in novel chemistries has grown, and progress in the pharmaceutical sector has been promising. To capitalise on future market

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core values, purpose, innovation, and firm dedication to excellence.

opportunities, one dedicated facility at the Dahej site in FY25 was commissioned.

Chemicals Technology Group

During the year, the SCB secured the Board’s approval to build structure for a new intermediates plant to cater to a new product in future.

The Chemicals Technology Group (CTG) remains committed to introducing novel chemistries, using innovative technologies and building cost-effective routes for existing and next-generation products in the Specialty Chemicals and Fluorochemicals Businesses.

The Business continues to make investments toward safer, cleaner, and leaner operations, and further strengthen its sustainability initiatives. The Business also took several initiatives towards decarbonisation, including energy optimisation and carbon footprint reduction.

The CTG continued to enhance its capabilities and added new technologies and processes, to address the growing needs of both Businesses. CTG excelled in addressing technological challenges, facilitating scale-ups, improving output and reducing costs through innovative solutions. The Businesses derive a part of their success in launching new products and timely scale-ups to the dedicated team of researchers and scientists in CTG. CTG remains steadfast in enhancing its capabilities and support systems amid rising complexity and reduced time-to-market requirements.

Outlook

SCB values its customers at the core of its strategic intent and aligns itself with their business strategies. The Business will continue to focus on Agrochemicals and Pharmaceuticals segments, collaborating with global innovators to drive process development, commercialisation, and the production of complex, innovative molecules. While SCB invests in cutting-edge technologies and next-generation systems, operational excellence remains our pillar of strength, driving the Business towards sustainable growth and market leadership. The journey continues to be driven by our

For over two decades, CTG has enabled the Business growth in Fluorinated molecules and continues to introduce new chemistries and develop complex as well as innovative products to meet customers and market needs. CTG leads continuous process

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improvements, developing more efficient processes using innovative processes and scaling them up for successful commercialisation. Efforts will be made to further enhance CTG’s capabilities and systems, enabling continuous development of new age products and maintaining the journey of excellence.

In FY25, CTG filed thirtyeight patents, taking the total count to four hundred and eighty-one patents filed so far. Two patents were granted in FY25, taking the total count of patents granted to the company to one hundred and fifty-one.

The dedicated R&D facilities, developmental labs, and pilot plant facilities, having many scientists and engineers are working together to achieve innovation and technology leadership at SRF. SRF continues to invest in R&D to create propositions for the future and Capital and Revenue expenditures of ` 150 crore was spent during FY25.

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R&D worked on over 50 molecules and many products were successfully taken up for process development. More than 35 molecules were taken up for the scale-up studies and ~50% were commercially produced in multipurpose and dedicated plants.

Packaging Films Business (PFB)

[renamed Performance Films & Foil Business, effective April 1, 2025]

FY25 has been a year of recovery for the Packaging Films Business (PFB). While market conditions remained challenging, margins witnessed improvement in both BOPET and BOPP as capacity utilisation improved with growing demand and limited supply addition during the year.

In FY25, CTG filed thirty-eight patents, taking the total count to four hundred and eighty-one patents filed so far. Two patents were granted in FY25, taking the total count of patents granted to the company to one hundred and fifty-one.

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Overall, the Business achieved its highest-ever packed production. With unwavering focus on enhancing profitability, Business not only commercialised new VAPs in both BOPET and BOPP but also achieved significant increase in sale of high-impact VAPs. Work on the upcoming Capacitor Grade BOPP Film, BOPP-BOPE Film and CPP Film projects in India are also progressing as per schedule.

After a detailed strategic planning process, the Business has been renamed as ‘Performance Films and Foil Business’, effective April 1, 2025. This new name signifies Business’ diversification and expansion beyond Packaging Films. It is now present in Aluminium Foil, venturing into Capacitor Grade BOPP films, and actively exploring growth opportunities in both existing and new areas within the Films and Foil sector. This name change is not just a rebranding; it symbolises our unwavering commitment to innovation, growth, and excellence.

The Business is driven by its philosophy of – Easy To Do Business With (ETDBW) and the Team remains focussed on serving Customers well every day. Sustainability continues to be amongst the top priorities for the Business and lies at the core of everything we do. We are strengthening our portfolio of sustainable product offerings including products for monofamily structures, BILAM structures and PCR-based films. Reaffirming our commitment towards sustainability, SRF successfully completed its registration process for SEZ and DTA units under relevant categories to comply with Plastic Waste Management rules. There is a constant endeavour to reduce our carbon footprint by increasingly using solar power and adopting various energy-efficient initiatives in our manufacturing plants globally.

Outlook

BOPET capacity utilisation in India is expected to be better going forward while BOPP capacity utilisation may witness some pressure due to addition of new lines during the year.

In FY26, SRF’s primary focus will be on significantly increasing sales of high-impact products across BOPP and BOPET with the commissioning of new downstream assets including new offline coating machines in India and metallisers in Thailand and India.

Maximising profitability of Aluminium Foil Business will be an important focus area for the Business in the coming Financial Year. We will continue our work on various sustainability initiatives driven by the ‘3R’

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approach – Reduce, Reuse and Recycle. Vertical ramp up of the newly acquired CPP Line during the year will further strengthen our sustainable product offering to the Customers due to monofamily advantage. Ensuring smooth commissioning and ramping up of Capacitor Grade BOPP Film Line will also be a priority for us during the year.

Technical Textiles Business (TTB)

Throughout the year, TTB expanded its sales in non-N6 TCF products and strengthened its customer base in Belting Fabric and Polyester Industrial Yarn. Regarding sustainability, the business has expanded its use of renewable energy sources and has successfully developed an innovative product made from recycled N6 material.

Tyre Cord Fabrics (TCF)

The Business expanded its presence in N66 Tyre Cord Fabric & Polyester Tyre Cord Fabric segments compared to last year by increasing its customer base and product portfolio.

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Other Businesses

Despite experiencing margin pressure from low-cost imports and fluctuations in lactam prices, the company has maintained its market share in the flat N6 TCF segment.

Coated and Laminated Fabrics Businesses

SRF continued to maintain domestic market leadership in Coated Fabrics. However, weak demand for food-grade liners posed challenges during the year, which were mitigated by growing sales of other value-added products. The Business is in the process of expanding textile capacity with addition of new looms and warper, which will be commissioned in the beginning of next financial year and enhance its profitability.

Belting Fabrics (BF)

The demand for Belting Fabrics decreased compared to last year due to delays in Government spending and reduced conveyor belt exports. Segment margins were affected by lower-cost imports from China throughout the year. In FY25, the segment successfully completed the capacity expansion.

Laminated Fabrics Business fully ramped up its newly installed hot lamination machine during the year. However, it faced headwinds due to imposition of minimum import price on Chinese import of knitted fabric, a critical raw material. The Business acted promptly and decided to backward integrate to become self-sufficient in producing knitted fabric. Commissioning of fabric knitting machines is underway and likely to be completed during the first quarter of next financial year.

Polyester Industrial Yarn (PIY)

This year, PIY demand was strong, driven by Geotextile and Seat Belts, resulting in full capacity utilisation and improved performance over last year.

Outlook

In FY26, market conditions are anticipated to remain moderate, with margins continuing to experience pressure due to inexpensive imports from China. Overall, TTB is projected to achieve better performance compared to FY25 by fully utilising capacities, implementing cost optimisation measures, and providing premium and value-added products.

Outlook

In FY26, we expect demand to remain strong for both Coated Fabrics and Laminated Fabrics.

One of the key focus areas for Coated Fabrics will be vertical ramp up of newly installed looms and warper.

We continued to have bestin-industry people policies that are not just progressive but also aped by many organisations operating in the manufacturing space. Even so, we too benchmarked ourselves against some ‘aspirational’ organisations, covering areas such as compensation philosophy and positioning, practices around job rotations, etc.

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Strengthening our VAPs portfolio, commercialisation of high tensile strength coated fabric and increasing overall sales during the year will be important areas. In Laminated Fabrics, focus will be on vertical ramp up of the fabric knitting machines to fully meet our fabric requirement and full capacity utilisation of our Lamination machines.

Both the Businesses will continue to work on various cost reduction initiatives.

Human Resources

For SRF, people are at the heart of all actions and decisions. The organisation has always nurtured people, empowering them to grow both personally and professionally. Being focussed on helping people thrive, HR has been playing a transformative role. It has always gone beyond traditional administrative tasks to focus on creating a supportive culture, fostering learning opportunities, and ensuring everyone feels valued.

While building ‘inclusivity’ in the organisation remained at the forefront of the HR strategy for the year, development of all forms of diversity witnessed a greater focus. From a diversity standpoint, 2025 was a milestone year as we achieved a high demographic shift in this area.

Our HR analytics function made a major headway as we were able to indigenously develop a predictive tool using statistics-based modelling that helps us predict the success of potential employees even before we hire them. With this, people decision-making has further become more scientific.

We continued to have best-in-industry people policies that are not just progressive but also aped by many organisations operating in the manufacturing space. Even so, we too benchmarked ourselves against some ‘aspirational’ organisations, covering areas such as compensation philosophy and positioning, practices around job rotations, etc.

When socialised with people, our Employee Value Proposition, which pivots around ‘fairness and transparency’, ‘empowerment’, and ‘growth and learning’, found immediate resonance amongst our internal customers. With the help of this, we are hopeful that our potential talent pool will be able to know about our much-revered culture and value system and be more excited to join us on this journey to greatness.

Developing and continuously preparing our people to achieve great goals requires a special kind of commitment.

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This was displayed in the various flagship programmes and customised developmental journeys that our people went through. Who does not value the right kind of guidance offered at the right time? Internally developed coaches across the organisation have been developed so that help is available whenever needed.

Being better prepared for the future is a key skill that the organisation masters. This was exemplified through our efforts in the area of succession planning. Identification of critical positions, and identification of potential successors in some areas was completed with dexterity. While this is a more long-term agenda and major progression will be made once we start development of these successors in the year ahead, the organisation is all geared-up for some promising results in this area.

As we continue our journey of growth at SRF, we remain committed to strengthening a performance-driven, fair and transparent culture.

Industrial Environment

The organisation’s overall employee relations remained positive throughout the year. Understanding them and keeping employees’ need ahead in all major decisions resulted in a more engaged, motivated, involved and committed workforce. Various initiatives were implemented at the plant locations that encouraged collaboration and participation of not just employees but also of their families. We maintained a pleasant and cordial working environment across all manufacturing locations.

The total number of permanent employees at SRF and its subsidiaries/parent company stood at 9,339 at the close of business on March 31, 2025. Of these, 8,558 were based at our Indian locations.

Information Technology

SRF set up a hybrid cloud infrastructure and migrated all core applications to Oracle Cloud Infrastructure and Microsoft Azure cloud. The networks were also optimised for shortest path connectivity from all manufacturing locations to the cloud datacentres. The migration was seamless and all applications are performing exceptionally well in the new setup. Advanced cloud security was incorporated in the new design leading to much higher levels of segregation, access controls and resilience against external threats

and exfiltration attempts. The infrastructure and applications now have very high scalability to cater to the future growth aspirations of the company.

Modern security solutions were deployed incorporating secure web gateway, zero trust network architecture and cloud access security broker capabilities. The E-mail threats were also mitigated with AI-based mail threat analysis to mitigate phishing attempts. Manufacturing Operations Technology (OT) security was also assessed and improved.

The foundation is now ready for utilising additional services on the cloud like data warehousing, data lakes, AI/ML for digital transformation. We have started experimenting with Generative AI and other AI tools, which will help us improve productivity and business outcomes. We also continue to expand our Industry 4.0 initiatives to improve manufacturing capabilities.

Community Partnerships

In alignment with its enduring dedication to sustainable and inclusive community development, the SRF Foundation, the Corporate Social Responsibility wing of SRF Limited, has broadened its initiatives and implemented tangible measures in accordance with Section 135 of the Companies Act 2013 for FY25. This strategic expansion underscores the Foundation’s unwavering commitment to fostering positive social impact and upholding corporate responsibility standards within the community.

The Foundation is now ready for utilising additional services on the cloud like data warehousing, data lakes, AI/ML for digital transformation. We have started experimenting with Generative AI and other AI tools, which will help us improve productivity and business outcomes.

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The Foundation continued to focus on Education, Vocational Skills, Health Promotion, Environment, and the Promotion of Arts and Culture. It also strengthened its Public Private Community Partnership (PPCP) model to positively impact people’s lives.

and education to underserved communities. Future skills programmes such as the Tinker Coding Program, Atal Community Innovation Centres, and ATAL Tinkering Labs equip students with necessary skills for the digital age. The Foundation expanded its programmes to Coimbatore and Bhubaneswar and partnered with GKN Automotive for the GKN Future Talent Program. A new program with Capgemini, BIES (Building Innovation Ecosystem), was introduced for grassroots innovators.

Education Programmes

In FY25, the Foundation’s Education Programmes experienced significant growth. SRF Foundation revitalised Government schools, transforming them into “Model Schools” through initiatives in infrastructure development, digital integration, academic enrichment, and effective school leadership. Our impact extends to 493 Government schools across 34 regions within 13 states and 1 UT, providing quality education to 1,89,976 students. Additionally, 2,705 teachers and 493 headmasters were equipped with skills to foster a conducive learning environment. A key milestone in FY25 was the laying of the foundation stone for the SRF School in Bharuch, aimed at addressing the educational needs of children in the surrounding community.

Capgemini Digital Literacy Program (CGDLP)

In collaboration with Aadhaar, CGDLP certified 5,970 participants aged 16 to 70 under Phase 2, which commenced in December 2024. This year, an additional 10,000 students will benefit from this initiative, ensuring every household in intervention areas has at least one digitally literate individual.

IBM SkillBuild

SRF Foundation partnered with IBM India to launch ‘IBM SkillBuild,’ a free ed-tech platform for youths aged 18+, covering AI, Cybersecurity, Java, and employability skills. It reached 33,246 learners and created 2,504 opportunities. For FY26, the goal is to double learner engagement, expand to 28 districts in 6 states, and quadruple ‘I am Job Ready’ opportunities.

Digital Inclusion

To promote digital inclusion, SRF Foundation implemented initiatives like World on Wheels & Smart Shiksha Mobile Digital Labs, Common Services Lab, and Digital Smart TV Classroom Programmes. These programmes provide access to digital technology

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Anganwadi Development Program

This program aimed at improving Early Childhood Care and Education in line with the National Education Policy (NEP) 2020, impacting 9,836 children from 309 Anganwadis across 7 locations.

Vocational Skills

The Foundation integrated school dropouts, unemployed youth, and women into the workforce by equipping them with skills to meet supply chain demands. In FY25, the Vocational Education Program (VEP) was introduced in schools under the Rural Education Program (REP). Other vocational skills programmes trained 61,309 unemployed youth across 21 locations in 8 states, with approximately 70% placed in national and multinational companies.

Community Initiatives

SRF Foundation introduced ‘Smart Shiksha’ mobile digital labs in Mewat, Bharuch, Kamrup (M), Dhar, and Kashipur to bridge the digital divide in rural locations. Partnering with Shell, ‘Skills4future’ expanded from 16 centres in FY24 to 125 centres in FY25, benefiting 1,25,000 students in ITIs over three years. A new program with SBI Foundation, ‘Skilling for Future’, aims to benefit 30,000 students in three years.

Health Programmes

The ‘Rural Health Program (RHP)’ and ‘SRF Swasthya Seva’ focus on improving medical practices and providing health awareness, diagnosis, and treatment in the community.

Natural Resource Management (NRM)

The NRM program supports economically weaker families near the SRF Bhiwadi plant by adopting a watershed-based livelihood and environmental conservation approach, benefiting over 8,000 farmers since 2010.

Plantation Project

SRF partnered with Global Vikas Trust to plant 6,00,000 banana saplings, impacting 250 farmer families in Bharuch district, Gujarat.

Awards

SRF Foundation was honoured with four prestigious awards, including Best CSR Partner in Employee

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Engagement 2024 by Capgemini, Bhamashah Award from Government of Rajasthan in Education under REP, Recognition for being among top 5 CSR by Government of Uttar Pradesh, and Hurun India Philanthropy Award for outstanding contribution to Education and Skill Development.

Internal Control System and Internal Audit

The company has a well-documented system of internal financial controls in place commensurate with its size, scale, and complexity of operations. These controls have been designed to provide reasonable assurance with respect to recording and providing reliable financial and operational information, complying with applicable laws, safeguarding assets, executing transactions with proper authorisation, and ensuring compliance with corporate policies.

The company has a well-established independent Internal Audit & Risk Management function which drives and coordinates for the Internal Audits, Internal Financial Controls and Enterprise Risk Management System. These frameworks are supported by a well-defined organisation structure, roles and responsibilities, documented policies and procedures, financial delegation of authority, ERP controls, among others.

The Internal Audit team monitors and evaluates the efficacy and adequacy of internal control systems in the company, the ERP solutions, the accounting procedures, and policies at all locations.

through IT-enabled platform such as CSA tool and Compliance Manager.

Risk Management

The company has developed and implemented a Risk Management Framework, which is approved by the Board. Further, Board has constituted a Risk Management Committee (RMC) to oversee key risks and assist the Board in efficient management of risk management process.

Internal Audit reviews are conducted on an ongoing basis, based on a comprehensive risk-based audit plan commensurate with the size and nature of business activities of the company. The Internal Audit plan is approved by the Audit Committee, which also reviews compliance to the said plan. Any significant audit observations and corrective actions thereon are presented to the Audit Committee which reviews the reports submitted by the Internal Auditors (both internal and external) in each of its meetings. Based on the gaps reported in the internal audit report, process owners undertake corrective actions in their respective areas and thereby strengthen the internal control framework. In addition, the statutory auditors also obtain reasonable assurance on the adequacy and operating effectiveness over the company’s internal financial controls with reference to financial statements as a part of their annual audit exercise.

The Risk Management Policy, inter alia, includes identification therein of elements of risk, including those, which in the opinion of the Board/RMC may threaten the existence of the company or may have a significant material impact. Risk management process has been an integral part of the company strategy and planning process. The company has established a risk management framework to identify, assess and frame a response to threats that can affect its business objectives and stakeholders. Further, it is embedded across all the major functions and revolves around the goals and objectives of the organisation. The responsibility of tracking and monitoring the key risks of the business/function periodically and implementing suitable mitigation plans proactively is with the senior executives of various business/ functional units.

A robust Control Self-assessment (CSA) process enables process owners to perform self-assessment and promote self-compliance in accordance with laid down policies and procedures, regulatory environment

Risk Management Process

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Risk Risk Risk Monitoring
Identification Prioritisation & Reporting
Risk Risk
Assessment Treatment
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Risk Governance Structure

Risk Classification

All risks have been broadly classified into the following categories:

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Board of Directors (BOD) /
Audit Committee
Risk Management
Committee (RMC)
Corporate Leadership
Team (CLT)
Business Leadership Team (BLT) &
Risk Owners
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The key roles and responsibilities regarding risk management in the company are summarised as follows:

management, and update the Board & Audit Committee on the same

1. Board of Directors (BOD) & the Audit Committee:

Assist the Board/Audit Committee in evaluating the effectiveness of Risk Management System
The Board of Directors hold the overall responsibility for an effective risk management system. The Audit Committee of the Board examines the appropriateness and effectiveness of the risk management system at least once a year and reports to the Board

3. Corporate Leadership Team (CLT):

  - D e v e l o p r i s k m a n a g e m e n t framework and policy

  - Review key risks and mitigation action plan

Review the risks that may threaten the existence of the company
Review effectiveness of risk mitigation strategies, develop counter measures if any and update the same to RMC
Consider the recommendation of Risk Management Committee on Risk Management Plan/Policy

4. Business Leadership Team (BLT) & Risk Owners:

Identification, classification, and prioritisation of risks into high, medium, and low as per risk management framework

2. Risk Management Committee (RMC):

Overview company’s risk management framework and its compliance
Identify and implement risk mitigation measures
Identifications of key risks which may significantly impact the performance of the company
Periodically review mitigation measures status, develop counter measures, if any
Review of policy, key risks as identified by the management, provide guidance to the
Provide status update of key risks to the CLT

Strategic Risk

Operational Risk

Risks arising out of macro-Economics and other external conditions (including change in customer preferences) which can significantly impact company’s strategic business decision, future aspiration, and financial performance

Risks of loss due to inadequate manufacturing process, loss of market share due to technological disruptions, insufficient resources, inadequate safety processes or failure thereof, insufficient skill or people, loss of market due to trade remedial measures by various countries (including revocation of antidumping duties in India, Anti-Dumping by other countries), risk of supply chain disruptions due to geopolitical conflicts

Regulatory Risk

The risks arising out of regulatory non-compliances due to changes in laws, regulations, or government policies adversely impacting organisation’s operations

Financial & Reporting Risk

Financial reporting risk arises from the evolving accounting and financial reporting requirement, increasingly complex business model, etc.

IT and Cyber Risk

Potential loss due to non-availability of technical infrastructure or appropriate software technology, impact on data integrity, data theft or loss of Intellectual Property Right (IPR) due to compromised network security

Sectoral

These are the risks arising out of uncertainty with respect to changes in the economic and financial scenarios that are unique to a sector or industry

Sustainability including ESG Risk

Risks arising due to inability to address unfavourable environmental, social or governance events or conditions including ESG-related non-compliances that, if it occurs, could cause an actual or a potential material negative impact on the operations, reputation or value of the investment of the company

Financial Performance

During FY25, significant changes in the key financial ratios as per listing regulations were as follows:

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Ratio FY25 FY24 % change Reason
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Return on Net	Lower PAT in	FY25	when	compared
Worth = PAT /	to FY24 and	higher	net worth	as on
Net Worth	March 31, 2025,	due to accretion to		reserves,
	resulted in a lower return on		net worth for the year

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Corporate Governance Report

Philosophy of the Company on Corporate Governance

For SRF Limited (SRF), good corporate governance means adoption of best practices to ensure that the Company operates not only within the regulatory framework but is also guided by broader business ethics. The adoption of such corporate practices — based on transparency and proper disclosures — ensures accountability of the persons in charge of the Company and brings benefits to investors, customers, creditors, employees and the society at large.

Board of Directors

Composition of the Board

As on March 31, 2025, SRF’s Board consisted of 10 Directors, of which three are executives of the Company (including the Chairman, who is an Executive Chairman), and six are independent and one is non independent and non-executive. Table 1 gives the details of the Board as on March 31, 2025.

Table 1: Composition of the Board of Directors of SRF

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Name of Director Category of No. of other No. of Committees where Name of Listed Entities &
Director Directorships of Chairperson or Member Category of Directorship
Indian Public Ltd (including SRF Limited) #
Co. (other than
SRF Limited) * Chairperson Member
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Mr. Ashish Bharat Ram	Executive,	5	1	1	1.	KAMA Holdings Limited – Non-
	Chairman,					Executive Director
	Promoter				2.	Havells India Limited -
						Independent Director
					3.	Bharat Forge Limited – Non-
						Independent & Non-Executive
						Director
Mr. Kartik Bharat Ram	Executive,	4	-	2	1.	KAMA Holdings Limited – Non-
	Promoter					Executive Director
					2.	Kalyani Steels Limited – Non-
						Independent & Non-Executive
						Director
Mr. Vellayan Subbiah	Non-Executive,	6	1	2	1.	Tube Investments of India Ltd –
	Non-					Executive Vice Chairman
	Independent				2.	Cholamandalam Investment and
						Finance Company Limited - Non-
						Executive Director
					3.	Cholamandalam Financial
						Holdings Limited - Non-Executive
						Director
					4.	CG Power and Industrial Solutions
						Limited - Non-Executive Director
Mr. Pramod Gopaldas	Executive	1	-	1	1.	Chemiesynth (Vapi) Limited –
Gujarathi						Independent Director
Ms. Bharti Gupta Ramola	Non-Executive,	2	1	1	1.	HDFC Life Insurance Company
	Independent					Ltd – Independent Director,
					2.	Tata Steels Limited - Independent
						Director

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Mr. Yash Gupta	Non-Executive,	2	-	3	1.	Restaurant Brands Asia Limited -
	Independent					Independent Director
Mr. Puneet Yadu Dalmia	Non-Executive,	4	-	2	1.	Dalmia Bharat Ltd - Managing
	Independent				2.	Director Piramal Enterprises Ltd - Independent Director
					3.	Piramal Capital & Housing Finance
						Ltd - Independent Director
Mr Raj Kumar Jain	Non-Executive,	3	2	4	1.	JK Agri Genetics Limited -
	Independent					Independent Director
					2.	Relaxo Footwears Limited -
						Independent Director
Mr. Vineet Agarwal	Non-Executive,	5	-	5	1.	Transport Corporation of India Ltd
	Independent					- Managing Director
					2.	Somany Ceramics Ltd -
						Independent Director
					3.	TCI Express Limited - Non-
						Executive - Non Independent
						Director
Ms. Ira Gupta	Non-Executive,	2	1	-	1.	Eicher Motors Ltd - Independent
	Independent					Director
					2.	Max Estates Limited - Independent
						Director

Mr. Ashish Bharat Ram and Mr. Kartik Bharat Ram are related to each other.

*Other directorships do not include directorships of private limited companies, foreign companies and companies registered under Section 8 of the Act.

Membership & Chairmanship of Stakeholder Relationship Committee & Audit Committee of Indian Public Limited Companies (whether listed or not) have been considered.

The Board has identified the following skills/expertise/ competencies fundamental for the effective functioning of the Company which are currently available with the Board :

Industry knowledge/experience	Technical skills/ experience	Behavioural Competencies
a) Consulting Experience	a) Accounting and fnance	a) Integrity and ethical standards
b) Manufacturing Industry experience	b) Industrial Engineers	b) Mentoring abilities
c) Understanding of relevant laws,	c) Talent Management	c) Critical thinking
rules, regulation and policy
d) Analyzing Business Problems	d) Compliance and risk	d) Strategic Planning
e) Adapting to changing Business	e) Devising plans for New	e) Entrepreneurial & Commercial
Conditions	Business	Acumen
f) Recommending cost-cutting	f) Proposing solutions to	f) Analytical Decision Making
measures	Business Problems
g) Recommending Process	g) Innovation	g) Customer Centricity
Improvements		h) Leading Change
		i)LeadingPeople

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Skills available with Board as per skill matrix -

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S. Name of Director Industry knowledge/ Technical skills/ Behavioural
No. experience experience Competencies
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1.	Mr. Ashish Bharat Ram	b,c,d,e,f,g	a,d,e,f,g	a,c,d,e,f,g,h,i
2.	Mr. Kartik Bharat Ram	b,d,e,f,g	c,d,e,f,g	a,b,c,d,e,f,h,i
3.	Mr. Vellayan Subbiah	a,b,c,d,e,f,g	a,b,e,f	a,c,d,e,f,g,h
4.	Mr. Pramod G. Gujarathi	b,c,f,g	b,d	a,b,c,f,g
5.	Ms. Bharti Gupta Ramola	a,c,d,e,g	a,d,f,g	a,c,d,f,g,h
6.	Mr. Puneet Yadu Dalmia	b,c,d,e,f,g	a,b,e,f	a,b,c,d,e,f,i
7.	Mr. Yash Gupta	a,d,e,f,g	a,c,e,f,g	a,b,c,d,e,f,h
8.	Mr. Raj Kumar Jain	a, b,c,d,e,g	a,b,c,e,f,g	a,b,c,d,e,f, g,h,i
9.	Mr. Vineet Agrawal	c,d,e,f,g	a,c,d,e,f,g	a,b,c,d,e,f,g,h,i
10.	Ms. Ira Gupta	a,c,d,e,g	a,d	a,b,c,d,f,g,h,i

Certificate from M/s. Rohit Parmar & Associates, Practising Company Secretary (Registration No. 22137) dated April 25, 2025, confirming that none of the Directors on the Board of the Company have been debarred or disqualified from being appointed or continuing as directors of the Company by the SEBI/ Ministry of Corporate Affairs or any such Statutory Authority as stipulated under Regulation 34(3) of the Listing Regulations, is attached to this Report.

Regulation 16(1)(b) of the SEBI Listing Regulations and that they are independent of the management.

None of the Directors on the Board holds directorships in more than ten public companies. None of our Directors serve as a director/ independent director on more than seven listed entities. None of our Directors who is serving as whole time Director/ Managing Director in any listed entity is holding position of independent director in more than three listed entities. None of the Directors is a member of more than ten Board level committees nor are they Chairperson(s) of more than five committees in which they are members.

Independent Directors on the Board are Non-Executive Directors

Our definition of ‘Independence’ of Directors is derived from Regulation 16 of Listing Regulations, and Section 149(6) of the Companies Act, 2013. Based on the confirmation / disclosures received from the Directors and on evaluation of the relationships disclosed, all Independent Directors are Non-Executive Directors and are Independent in terms of Regulation 16 of Listing Regulations and Section 149(6) of the Companies Act, 2013.

Independent Directors’ Meeting

In accordance with the applicable provisions of Companies Act, 2013 and Listing Regulations, a meeting of the Independent Directors of the Company was held on January 29, 2025, without the attendance of Non-Independent Directors and members of the management.

The Company has received declarations from all the Independent Directors confirming that they meet the criteria of independence as prescribed both under the Companies Act and Listing Regulations. In terms of Regulation 25(8) of SEBI Listing Regulations, they have confirmed that they are not aware of any circumstance or situation which exists or may be reasonably anticipated that could impair or impact their ability to discharge their duties. Based on the declarations received from the Independent Directors, the Board of Directors has confirmed that they meet the criteria of independence as mentioned under

Familiarisation Programme

Your Company has put in place familiarisation programme for all its Directors including the Independent Directors with regard to their roles, rights, responsibilities in the Company, nature of the industry in which the Company operates, the business models of the Company etc and the familiarisation programme for the Independent Directors is available on the website of the Company at the link https:// - www.srf.com/investors/corporate governance/

Number of Board Meetings

During 2024-25, the Board of Directors met five times on the dates as referred below in Table 2.

Table 2: Attendance of directors in Board Meetings and Annual General Meeting (AGM) held during the year in 2024-25

Name of the Director	Date of Board Meeting and Attendance of Directors Date of AGM and Attendance of Directors
	May 07, 2024 July 23, 2024 October 22,2024 January 29, 2025 June 28, 2024
Mr. Ashish Bharat Ram Mr. Kartik Bharat Ram Mr. Pramod G Gujarathi Mr. Vellayan Subbiah Ms. Bharti Gupta Ramola Mr. Puneet Yadu Dalmia Mr. Yash Gupta Mr. Raj Kumar Jain Mr. Vineet Agarwal Ms. Ira Gupta	Yes Yes Yes Yes Yes Yes Yes No Yes Yes No Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes Yes No Yes Yes Yes Yes No Yes Yes Yes Yes Yes Yes No Yes Yes Yes Yes No No No Yes Yes Yes Yes Yes

Remuneration of Directors

Table 3 gives the remuneration paid or payable to the Directors of SRF Limited for financial year 2024-25 and table 4 gives details of Service Contracts

Table 3: Remuneration Paid or Payable

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S. Name Salary & Sitting Perquisites Retiral Commission Total
No Allowances Fees Benefits (Provided)/ ( ` In
Professional Crores)
Fees
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S. No Name	Salary & Allowances Sitting Fees Perquisites Retiral Benefts Commission (Provided)/ Professional Fees Total (`In Crores)
1 Mr. Ashish Bharat Ram 2 Mr. Kartik Bharat Ram 3 Mr. Pramod G Gujarathi 4 Mr. Raj Kumar Jain 5 Mr Vellayan Subbiah 6 Ms. Bharti Gupta Ramola 7 Mr. Puneet Dalmia 8 Mr. Yash Gupta 9 Mr. Vineet Agarwal 10 Ms. Ira Gupta Total	10.16 - 1.06 1.17 8.00 20.39 10.16 - 1.07 1.32 8.00 20.55 0.26 - - 0.01 - 0.27 - 0.06 - - 0.18 0.24 - 0.03 - - 0.18 0.21 - 0.06 - - 0.18 0.24 - 0.03 - - 0.18 0.21 - 0.05 - - 0.18 0.23 - 0.01 - - 0.18 0.19 - 0.05 - - 0.18 0.23
	20.58 0.29 2.13 2.50 17.26 42.76

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The Nomination and Remuneration Committee has laid down criteria for making payments to non-executive directors, which inter alia, includes level of remuneration /commission payable by other comparable companies, time devoted, experience, providing guidance on strategic matters and such other factors as it may deem fit.

The non-executive directors are entitled to remuneration up to an aggregate limit of one percent per annum of the net profits of the Company. Within the aforesaid limit, the commission payable is determined by the Board and equal amount of commission is payable to all the Non-Executive Directors in accordance with the NRC Policy. For the year under review, remuneration to non-executive directors was approved by the Board of Directors with the interested non-executive directors, not participating or voting in the resolution.

Table 4: Details of Service Contracts

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Name of Director Tenure Notice Period Severance Fee
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Mr.	Ashish Bharat Ram	5 years w.e.f. May 23, 2020.	6 months by	Nil
		Reappointment: 5 Years	either party
		w.e.f. May 23, 2025 subject
		to shareholders approval at
		the upcoming Annual General
Mr. Mr.	Kartik Bharat Ram Pramod Gopaldas Gujarathi	Meeting 5 years w.e.f June 01, 2021. 3 years w.e.f. April 01, 2023.	3 months by either party 1 month by	Nil Nil
			eitherparty

Shareholding of Non-Executive Directors

Table 5 gives details of the shares held by the non-executive Directors as on March 31, 2025.

Table 5: Equity Shares held by Non-Executive Directors as on March 31, 2025

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Name of Director Category Number of Equity Shares Held
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Mr. Ms. Mr.	Vellayan Subbiah Bharti Gupta Ramola Puneet Yadu Dalmia	Non-Executive and Non-Independent Independent Independent	37,035 - -
Mr.	Yash Gupta	Independent	3,200
Mr.	Raj Kumar Jain	Independent	1,723
Mr.	Vineet Agarwal	Independent	-
Ms.	Ira Gupta	Independent	-

The Company has not issued any convertible securities to any Director

Information Supplied to the Board

Transactions that involve substantial payment towards goodwill, brand equity or intellectual property

The Board has complete access to all information with the Company. Inter-alia, the following information is regularly provided to the Board as a part of the agenda papers well in advance of the Board meetings or is tabled in the course of the Board meeting:

Significant labour problems and their proposed solutions. Any significant development in human resources / industrial relations front like signing of wage agreement, implementation of voluntary retirement scheme, etc
Annual operating plans and budgets and any update thereof
Capital budgets and any updates thereof
Sale of material nature of investments, subsidiaries, assets, which is not in the normal course of business
Quarterly results of the Company and operating divisions and business segments
Quarterly details of foreign exchange exposures and the steps taken by management to limit the risks of adverse exchange rate movement, if material
Minutes of the meetings of the audit committee and other committees of the Board
Information on recruitment and exchange rate movement, if material remuneration of senior officers just • Non-compliance of any regulatory,
below the level of Board, including the statutory nature or listing requirements and
appointment or removal of Chief Financial Officer and Company Secretary shareholders service such as non-payment of dividend, delay in share transfer, etc
Materially important show cause, demand, prosecution notices and penalty notices
The Board periodically reviews compliance reports of all laws applicable to the Company, prepared by the Company as well as steps taken by the Company to rectify instances of non-compliances.
Fatal or serious accidents, dangerous occurrences, any material effluent or pollution problems
Any material default in financial obligations In addition to the above, pursuant to the Listing to and by the Company, or substantial Regulations the minutes of the Board meetings non-payment for goods sold by the Company of your Company’s unlisted subsidiary companies
• Any issue, which involves possible public or and a statement of all significant transactions and arrangements entered into by the unlisted subsidiary
product liability claims of substantial nature, companies are also placed before the Board.
Any issue, which involves possible public or product liability claims of substantial nature, including any judgement or order, which may have passed strictures on the conduct of the Company or taken an adverse view regarding another enterprise that can have negative implications on the Company

Code of Conduct

The Company’s Board has laid down a Code of Conduct for all Board members and senior management of the Company. The Code of Conduct is available on the website of the Company, https://www.srf.com/ investors/corporate-governance/. All Board members

Details of any joint venture or collaboration agreement

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and designated senior management personnel have affirmed compliance with the Code of Conduct. A declaration signed by the Chairman & Managing Director to this effect is enclosed at the end of this report.

Risk Management

The Company has laid down procedures to inform the Board members about the risk assessment and minimisation procedures. These procedures are being periodically reviewed to ensure that management controls risk through means of a properly defined framework.

Statutory Committees of the Board

a) Audit Committee

i) Terms of Reference

The terms of reference of the Audit Committee are wide enough covering the matters as per the guidelines set out in the Listing Regulations read with Section 177 of the Companies Act, 2013. These broadly includes approval of annual internal audit plan, review of financial reporting systems, ensuring compliance with regulatory guidelines, discussions on quarterly, half yearly and annual financial results, interaction with statutory, internal and cost auditors, recommendation for appointment, remuneration and term of auditors, examination of financial statements and auditors’ report thereon, review the functioning of the Whistle Blower Mechanism, review and monitor the auditor’s independence and performance and effectiveness of audit process, approval or any subsequent modification of transactions of the Company with related parties, scrutiny of inter-corporate loans and investments, valuation of undertakings or assets of the company, wherever it is necessary, evaluation of internal financial controls and risk management systems,

reviewing with the management adequacy of internal control system and reviewing the utilization of loan and/ or advances from/ investment by the holding company in the subsidiary company exceeding prescribed limit.

In addition, the Committee also mandatorily reviews:
Management discussion and analysis of financial condition and results of operations;
Statement of significant related party transactions (as defined by the Audit Committee), submitted by management;
Management letters / letters of internal control weaknesses issued by the statutory auditors;
Internal audit reports relating to internal control weaknesses;
The appointment, removal and terms of remuneration of the Chief internal auditor shall be subject to review by the Audit Committee, and
Statement of deviations:
(a) Quarterly statement of deviation(s) including report of monitoring agency, if applicable, submitted to stock exchange(s) in terms of Regulation 32(1).
(b) Annual statement of funds utilized for purposes other than those stated in the offer document/prospectus/notice in terms of Regulation 32(7).
(c) Integrated filing (Financial) which also includes Statement of Deviation submitted to stock exchange(s) in terms of Regulation 10(A).
ii) Composition of Audit Committee and Attendance of members in Audit Committee Meeting held during the year

All the members of the Audit Committee are financially literate. Chairman & Managing Director, Joint Managing Director, CFO, Internal Auditors and Statutory Auditors are invitees to the Committee. Company Secretary of the Company acts as Secretary to the Committee.

As on March 31, 2025, the Audit Committee of SRF comprised of three Directors all of whom are independent, namely Ms. Bharti Gupta Ramola as Chairperson, Mr. Raj Kumar Jain and Mr. Yash Gupta as members. The constitution of the Committee meets the requirements of Section 177 of the Companies Act, 2013, as well as Regulation 18 of Listing Regulations.
Table 6 provides details of the Audit Committee meetings held during the year 2024-25 and attendance of its members.

Table 6: Attendance Record of Audit Committee Meetings during 2024-25

Name of Members Category	Date of Audit Committee Meeting and Attendance of Members
	May 07, 2024 July 23, 2024 October 22, 2024 January 29, 2025
Ms. Bharti Gupta Ramola Independent Mr. Raj Kumar Jain Independent Mr. Yash Gupta Independent	Yes Yes Yes Yes Yes Yes No Yes No Yes Yes Yes

Identification and recommendation to Board of persons who are qualified to become Directors, Key Managerial Personnel and Senior Management Personnel and in accordance with the criteria laid down.

b) Nomination and Remuneration Committee

i) Terms of Reference:

The terms of reference of the Committee are wide enough covering the matters specified in Listing Regulations and the Companies Act, 2013 and Terms of reference of the Committee briefly are as under:
Recommend to the Board on appointment and removal of Directors, Key Managerial Personnel and Senior Management Personnel
Formulation of the criteria for determining qualifications, positive attributes and independence of a director.
Evaluation of the performance of Directors (other than independent directors).
• Evaluation of the performance of independent directors and make recommendations to Board.
Formulation of criteria for evaluation of Independent Directors and the Board
Devising a policy on Board diversity.
Formulation of policies for remuneration to Directors, Key Managerial Personnel, Senior Management Personnel and other Employees.
To oversee succession planning for Board of Directors, Key Managerial Personnel and Senior Management Personnel

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----- Start of picture text -----

Corporate Our Statutory Financial
02 12 92 222
Overview Approach to ESG Reports Statements
----- End of picture text -----

Formulation of criteria for making payment to Non-Executive Directors
Formulation of criteria for making are independent. Mr. Puneet Yadu Dalmia payment to Non-Executive Directors is Chairman, Mr. Vineet Agarwal and Ms. Ira Gupta are members of the Committee.
• Recommend to the board, all The constitution of the Committee meets
remuneration, in whatever form, the requirements of Section 178 of the
payable to senior management. Companies Act, 2013.
ii) Composition of Nomination and Remuneration Committee
Table 7 provides details of the Nomination and Remuneration Committee meetings held during the year 2024-25 and attendance of its members.
As on March 31, 2025, this Committee comprised of three Directors, all of whom

Table 7: Attendance Record of Nomination and Remuneration Committee Meetings during 2024-25

Name of Members Category	Date of NRC Meeting and Attendance of Members
	January 29, 2025
Mr. Puneet Yadu Dalmia Independent Mr. Vineet Agarwal Independent Ms. Ira Gupta Independent	Yes No Yes

Table 8: Attendance Record of Stakeholders Relationship Committee Meetings during 2024-25

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Name of Members Mr. Raj Kumar Mr. Ashish Mr. Kartik
Jain (Chairman) Bharat Ram Bharat Ram
Category Independent Executive Executive
----- End of picture text -----

Date of Stakeholders	April 10, 2024	Yes	Yes	No
Relationship Committee Meetings during 2024-25	April 24, 2024 May 14, 2024 August 28, 2024	Yes Yes Yes	Yes Yes Yes	Yes Yes Yes
	September 26,2024	No	Yes	Yes
	October 21, 2024	No	Yes	Yes
	November 18, 2024	Yes	Yes	Yes
	November 28, 2024	Yes	Yes	Yes
	December 30, 2024	Yes	Yes	Yes

Mr. Rajat Lakhanpal, Sr. VP (Corporate Compliance) & Company Secretary is Compliance Officer under Listing Regulations.

As on March 31, 2025, no investor complaint was pending with the Registrar and Share Transfer Agent.

Table 9 gives data on the shareholder/investor complaints received and redressed during the year 2024-25.

iii) Annual Evaluation of Board, Committees and Individual Directors

Pursuant to the provisions of the Companies Act, 2013, Listing Regulations and as per the Nomination, Appointment and Remuneration Policy, the Board of Directors/ Independent Directors/ Nomination & Remuneration Committee (“NRC”) (as applicable) had undertaken an evaluation of the Board’s own performance, the performance of its Committees and of all the individual Directors including the Chairman of the Board of Directors based on various parameters relating to roles, responsibilities and obligations of the Board, effectiveness of its functioning, contribution of Directors at meetings and the functioning of its Committees.

Performance evaluation of independent directors is done by the Nomination and Remuneration Committee on criteria more particularly described in the Nomination, Appointment and Remuneration Policy, a copy of which is attached as Annexure I to the Board Report.

c)

Based on the recommendations of the NRC, the Board of Directors decide to continue their appointment or consider them for reappointment, as applicable.

iv) Nomination, Appointment and Remuneration Policy
The Company’s Nomination, Appointment and Remuneration Policy for Directors, Key Managerial Personnel and Senior Management Personnel forms part of the Board’s Report and is also accessible on Company’s website www.srf.com.

Stakeholders Relationship Committee

As on March 31, 2025, this Committee comprised three Directors—two executive Directors and one non-executive Director. Mr. Raj Kumar Jain, (Independent Director) is Chairman, Mr. Ashish Bharat Ram and Mr. Kartik Bharat Ram (Executive Directors) are members of the Committee.

Table 8 provides details of the Stakeholders Relationship Committee meetings held during the year 2024-25 and attendance of its members.

Table 9: Shareholder and Investor Complaints received and redressed during 2024-25

	Total Complaints Received Total Complaints Redressed Complaints not solved to the satisfaction of Shareholders Pending as on March 31, 2025
	183 183 Nil Nil

d) Corporate Social Responsibility Committee

As on March 31, 2025, this Committee comprised of three Directors —Mr. Kartik Bharat Ram (Chairman), Ms. Ira Gupta and Mr. Yash Gupta as members. The constitution of the Committee meets the requirements of Section 135 of the Companies Act, 2013.

The terms of reference of the Committee in line with the requirements of the Section 135 of the Companies Act, 2013 and the rules framed thereunder. Table 10 provides details of the Corporate Social Responsibility Committee meetings held during the year 2024-25 and attendance of its members:

Table 10: Attendance Record of Corporate Social Responsibility Committee Meetings during 2024-25

Name of the Member Category	Date of Corporate Social Responsibility Meeting and Attendance of Member
	May 07, 2024 January 29, 2025
Mr. Kartik Bharat Ram (Chairman) Executive Ms. Ira Gupta Independent Mr. Yash Gupta Independent	Yes Yes Yes Yes No Yes

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(2) To ensure that appropriate methodology, processes and systems are in place to monitor and evaluate risks associated with the business of the Company;

The details of CSR initiatives undertaken by the Company during financial year 2024-25 are provided in the CSR Annual Report annexed to the Directors Report.

e) Risk Management Committee

(3) To monitor and oversee implementation of the risk management policy, including evaluating the adequacy of risk management systems;

As on March 31, 2025, this Committee comprised of three Directors— Mr. Ashish Bharat Ram as Chairman, Mr. Kartik Bharat Ram and Ms. Bharti Gupta Ramola as Members. The composition of the Committee is in conformity with Regulation 21 of the Listing Regulations.

(4) To periodically review the risk management policy, at least once in two years, including by considering the changing industry dynamics and evolving complexity;

As on March 31, 2025, brief description of terms of reference of Risk Management Committee interalia includes the following:

  - (5)  To keep the board of directors informed about the nature and content of its discussions, recommendations and actions to be taken;

(1) To formulate a detailed risk management policy which shall include:
(a) A framework for identification of internal and external risks specifically faced by the listed entity, in particular including financial, operational, sectoral, sustainability (particularly, ESG related risks), information, cyber security risks or any other risk as may be determined by the Committee.
(6) The appointment, removal and terms of remuneration of the Chief Risk Officer (if any) shall be subject to review by the Risk Management Committee.

Table 11 provides details of the Risk Management Committee meetings held during the year 2024-25 and attendance of its members.

(b) Measures for risk mitigation including systems and processes for internal control of identified risks.
(c) Business continuity plan.

Table 11: Attendance Record of Risk Management Committee Meeting during 2024-25

Name of Members Category	Date of meeting and Attendance of Director
	May 16, 2024 December 10, 2024
Mr. Ashish Bharat Ram (Chairman) Executive Mr. Kartik Bharat Ram Executive Ms. Bharti Gupta Ramola Independent	Yes Yes Yes Yes Yes Yes

f) Committee of Directors – Financial Resources

As on March 31, 2025, this Committee comprised of three Directors - Mr. Ashish Bharat Ram, Mr. Kartik Bharat Ram and Mr. Pramod Gopaldas Gujarathi all of whom are executive directors.

Table 12 provides details of the Committee of Directors- Financial Resources meetings held during the year 2024-25 and attendance of its members.

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Name of Members Mr. Ashish Mr. Kartik Mr. Pramod
Bharat Ram Bharat Ram Gopaldas
Gujarathi
Category Executive Executive Executive
----- End of picture text -----

Date of Meetings	April 29, 2024	Yes	Yes	No
of Committee of Directors-	June 11, 2024	Yes	Yes	No
Financial	July 23, 2024	Yes	Yes	Yes
Resources during	August 06, 2024	Yes	Yes	No
2024-25	September 17, 2024	Yes	Yes	No
	October 07, 2024	Yes	Yes	No
	October 22, 2024	Yes	No	Yes
	November 05, 2024	Yes	Yes	No
	November 21, 2024	Yes	Yes	No
	December 10, 2024	Yes	Yes	No
	January 29, 2025	Yes	Yes	Yes
	February 11, 2025	Yes	Yes	No
	March 18, 2025	Yes	Yes	No

Recommendations made by any of the above Committees which were not accepted by the Board

During the year under review, there were no instances where the Board has not accepted any recommendation(s) made by any of the Committee of the Board.

Senior Management- Particulars of Senior Management Personnel as defined under Regulation 16(1)(d) of SEBI (LODR) as on March 31,2025 Including the changes therein since the close of the previous financial year are as follows:

S. Name of Senior Management Designation No. 1 Mr. Ashish Bharat Ram Chairman & Managing Director 2 Mr. Kartik Bharat Ram Joint Managing Director 3 Mr. Pramod Gopaldas Gujarathi Occupier & Director (Safety & Environment) 4 Mr. Prashant Mehra President & CEO (Performance Films and Foil Business, Coated Fabric & Laminated Fabric Business) 5 Mr. Anurag Jain President & CEO (Specialty Chemicals Business & CTG) 6 Mr. Prashant Yadav President & CEO (Fluoro Chemicals Business & Technical Textiles Business) 7. Mr. Ajay Chowdhury[#] President & CHRO 8. Ms. Geeta Shamrao Jadhav* President & CHRO 9. Mr. Sanjay Rao President & CIO

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S. Name of Senior Management Designation
No.
----- End of picture text -----

10. 11.	Mr. Mr.	Rahul Jain Rajat Lakhanpal	President & CFO Sr. VP (Corporate Compliance) & Company Secretary
12.	Mr.	Ravikant J	Sr. VP – CTQM
13.	Mr.	Varun Kapoor	VP – Strategy & New Initiatives
14.	Ms.	Nitika Dhawan	AVP & Head – Corporate Communications

Superannuated on November 30, 2024

Appointed as President & CHRO w.e.f. January 30, 2025

Disclosure of certain types of agreements binding listed entities - Information disclosed under clause 5A of Para A of Part A of Schedule III of SEBI (LODR), 2015

Vigil Mechanism Policy: Section 177 (9) of the Companies Act, 2013 and Regulation 22 of Listing Regulations requires that a Company shall have a vigil mechanism for directors and employees for reporting concerns about unethical behaviour, actual or suspected fraud or violation of the Company’s code of conduct or ethics policy. Vigil Mechanism Policy of the Company includes Code of Conduct for Directors and Senior Management Personnel, Code of Conduct for employees, Policy against sexual harassment, Whistle blower Policy and Code of Conduct for Prevention of Insider Trading. The Company is following such a policy and details of which are disclosed by the Company on its website at https://www.srf.com/investors/ corporate-governance/. No personnel has been denied access to the Audit Committee for raising his/her concern under this policy during financial year 2024-25.

There is no such agreement.

Management

Management Discussion and Analysis

This is given as a separate chapter in this Annual Report.

Disclosure Requirements

During the year 2024-25, the Company had no materially significant related party transactions. Transactions with related parties are disclosed in Note No 32 to the Financial Statements. The Company has policies on materiality of Related Party Transactions and on dealing with Related Party Transactions. The said policies are available on the website of the Company at https://www.srf.com/investors/ -
corporate governance/. Policy of determining ‘material subsidiaries’ is available on the website of the Company at https://www.srf.com/ -
investors/corporate governance/
The Company has complied with all the mandatory requirements specified in Regulations 17 to 27 (as applicable) and clauses (b) to (i) of sub – regulation (2) of Regulation 46 of the Listing Regulations
The equity shares of the Company are listed on BSE Limited and National Stock Exchange of India Limited. The Company has complied with all the applicable requirements of capital markets and no penalties or strictures have been imposed on the Company by Stock Exchange(s), SEBI or any other statutory authority, on any matter relating to the capital markets, during the last three years.
This Corporate Governance Report of the Company for the year 2024-25 is in compliance with the requirements of Listing Regulations, as applicable.

Non-Mandatory Requirement

The status of adoption of the non-mandatory requirements as specified in sub – regulation 1 of Regulation 27 of the SEBI (Listing Obligations

The members of the Company at the 49[th] Annual General Meeting held on August 17, 2020 had appointed Mr. Ashish Bharat Ram, Chairman & Managing Director for a term of five years upto May 22, 2025 Subject to approval of shareholders, the Board at its meeting held on January 29, 2025, reappointed Mr. Ashish Bharat Ram as Chairman and Managing Director for a period w.e.f. May 23, 2025 to March 31, 2030.

and Disclosure Requirements) Regulations, 2015 are as follows:

(a) The Board : The Chairman of the Company is Executive Chairman;
(b) Shareholder Rights : Half-yearly and other quarterly financial statements are published in newspapers and uploaded on Company’s website www.srf.com.
(c) Modified opinion(s) in audit report : The Company already has in place a regime of un-qualified financial statements. Auditors have raised no qualification on the financial statements; and

Brief resume of Mr. Ashish Bharat Ram proposed to be appointed/re-appointed is given in the Notice of the 54th Annual General Meeting.

Means of Communication with Shareholders

Quarterly and annual results of SRF are published in two major national dailies, generally Business Standard / Financial Express (in English) and Jansatta (in Hindi). In addition, these results are posted on the website of the Company, www.srf.com. The website also contains other information regarding SRF available in the public domain.

(d) Reporting of Internal Auditor : The Internal Auditor of the Company reports to the President & CFO of the Company and has direct access to the Audit Committee.

CEO/CFO certification

The Certificate in compliance with Regulation 17(8) of Listing Regulations was placed before the Board of Directors.

SRF communicates with its institutional shareholders through analysts briefing and individual discussions between the fund managers and the management team. The presentations made to analysts and funds managers are posted on the Company’s website.

Appointment/ Reappointment/Resignation of Directors

Mr. Ashish Bharat Ram, Chairman and Managing Director is retiring by rotation and being eligible offers himself for reappointment.

General body meetings

Last three Annual General Body Meetings

The details of the last three AGMs are given in Table 13.

Table 13 : Last three AGMs of the Company

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Year Location Date Time No. of Special
Resolutions Passed
----- End of picture text -----

2021-22	Video Conferencing. Deemed Venue- The Galleria, DLF Mayur Vihar, Unit No. 236 & 237,	July 21, 2022	11.00 A.M	2
	2ndFloor, Mayur Place, Mayur Vihar Phase I
	Extn, Delhi – 110091
2022-23	Video Conferencing. Deemed Venue- The Galleria, DLF Mayur Vihar, Unit No. 236 & 237, 2ndFloor, Mayur Place, Mayur Vihar Phase I	June 30, 2023	10.00 A.M	6
	Extn, Delhi – 110091
2023-24	Video Conferencing. Deemed Venue- The	June 28, 2024	11.00 A.M	3
	Galleria, DLF Mayur Vihar, Unit No. 236 & 237, 2ndFloor, Mayur Place, Mayur Vihar Phase I Extn, Delhi – 110091

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Place, Mayur Vihar Phase I Extn, Delhi – 110091 For details please refer to the Notice of this AGM.

Postal Ballot

During the year no resolutions was passed through Postal Ballot.

Financial Year

1 April 2025 to 31 March 2026

Additional Shareholder Information

54[th] Annual General Meeting

Tentative Financial Calendar for Results, 2025-26

Day: Thursday Date: July 3, 2025

First Quarter Third week of July 2025 Second Quarter Last week of October 2025 Third Quarter Last week of January 2026 Fourth Quarter and Second week of May 2026 Annual

Time: 11.00 A.M.

Mode: Video Conferencing

Venue: The Company is conducting meeting through VC / OAVM pursuant to the Ministry of Corporate Affairs (“MCA”), vide Circular No. 14/2020 dated April 8 2020, Circular No.17/2020 dated April 13, 2020 read with Circular No. 20/2020 dated May 5, 2020 read together Circular No. 02/2021 dated January 13, 2021 read together with Circular No. 2/2022 dated May 5, 2022 Circular No. 10/2022 dated December 28, 2022 and Circular 09/2024 dated September 19, 2024 (collectively referred to as ‘MCA Circulars’) and SEBI vide its circular dated May 12, 2020, January 15, 2021, May 13, 2022 and January 5, 2023 (collectively referred to as ‘SEBI Circulars’) and deemed venue for meeting will be Registered Office: The Galleria, DLF Mayur Vihar, Unit No. 236 & 237, 2nd Floor, Mayur

Interim Dividend Payment Date

During the financial year 2024-25, Two interim dividends of 3.60/- per share (36%) each on the paid up capital of the Company absorbing 213.43 Crores approx. were paid on August 21, 2024, and February 27, 2025 respectively.

Equity Shares in Unclaimed Shares Suspense Account

In terms of Regulation 39 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 details of the equity shares lying in the Unclaimed Suspense Account are as follows:

Particulars	No. of shareholders	No. of Equity Shares
Aggregate Number of shareholders and the Outstanding shares in the	697	2,10,855
Unclaimed Suspense Account lying as on April 1, 2024
Less : Number of shareholders to whom shares were transferred from	(21)	(9,112)
suspense account during the year
Less : Number of shares transferred to IEPF Authority during the year	(175)	(39,700)
Aggregate number of shareholders and the outstanding shares in the	501	1,62,043
suspense account lyingon March 31, 2025

The Voting rights on these shares shall remain frozen till the rightful owner of such shares claims the shares.

The rightful owner can still claim his/ her shares from the suspense account after complying with the procedure laid down in the statute regarding the same.

Details of Total fees paid to Statutory Auditors and all entities in the network firm/network entity of which the statutory auditor is a part

B S R & Co. LLP, Chartered Accountant who are the Statutory Auditors of the Company are a part of B S R & Affiliates network. During financial year 2024-25, total fees paid by the Company and its subsidiaries on a consolidated basis to B S R & Co. LLP, Chartered Accountant and all entities forming part of B S R & Affiliates network is ` 2.30 Crores (including out of pocket expenses).

Details of utilisation of funds raised through preferential allotment or qualified institutions placement as specified under Regulation 32(7A)

The Company did not raise any funds through preferential allotment or qualified institutions placement during the year.

Disclosure by Company and its subsidiaries of ‘Loans and advances in the nature of loans to firms/companies in which directors are interested by name and amount –

Below are the details of Loans and advances made by the Company and its subsidiaries to firms/companies in which directors are interested -

Lender	Borrower	Nature of Relationship	Currency	Opening Balance as on 01.04.2024*	Loan granted during theyear	Loan repaid during theyear	Closing Balance as on 31.03.2025
SRF Limited	SRF Altech	Wholly owned	INR	60.00	125.00	56.00	129.00
(Company)	Limited	subsidiary
SRF Global	SRF	Wholly owned	USD	49.58	-	49.58	-
BV (wholly	Industex	subsidiary
owned	Belting (Pty)
subsidiary of Company)	Limited SRF Europe	Wholly owned	EURO	206.78	55.26	33.16	228.88
	Kft.	subsidiary

*Opening Balance, Loan granted & Loan repaid during the year have been computed using the exchange rate as on March 31, 2025, wherever applicable. Exchange rate used USD - 84.48 & EURO - 92.11.

Details of material subsidiaries of the listed entity

In compliance with the Listing Regulations, the Board has formulated the Policy for determining Material Subsidiaries, which is available on its website. Details of Incorporation and Statutory Auditors of Material Subsidiaries as on 31.03.2025 are as follows -

Name of Material Subsidiary Company	Details of Incorporation Details of Statutory Auditors
	Place Date Name Date of Appointment
SRF Industries (Thailand) Limited	Thailand 30-Oct-1990 KPMG Phoomchai Audit Ltd 18-Jun-2018

Disclosures in relation to the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013 for the year 2024-25

No. of complaints filed during the financial year 4 No. of complaints disposed off during the financial year 4 No. of complaints pending as on the end of the financial year Nil

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List of Credit Ratings

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Instrument Rating Agency Rating Outlook
----- End of picture text -----

Fund Based and Non-Fund Based Limits	India Ratings	IND AA+/Stable/IND A1+	Stable
Fund Based and Non-Fund Based Limits	CRISIL	CRISIL AA+/Stable/ CRISIL A1+	Stable
Long Term Loans	India Ratings	IND AA+/Stable	Stable
Long Term Loans	CRISIL	CRISIL AA+/Stable	Stable
Commercial Papers	India Ratings	IND A1+	Stable
Commercial Papers	CRISIL	CRISIL A1+	Stable

During the year under review there is no revision in Credit Rating.

Listing on Stock Exchanges in India

As on March 31, 2025, SRF’s shares are listed on the BSE and the NSE. The Company has paid the listing fee to both BSE and NSE for the year 2025-26. The Stock Codes are:

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----- Start of picture text -----

Stock Exchanges Equity Shares
----- End of picture text -----

BSE Limited 25thFloor, P.J. Towers Dalal Street, Mumbai 400 001	503806
National Stock Exchange of India Limited “Exchange Plaza” Bandra-Kurla Complex	SRF
Bandra(E), Mumbai 400 051

Registrar and Share Transfer Agents

M/s KFin Technologies Limited (Formerly known as KFin Technologies Private Limited), Hyderabad are the Registrar and Share Transfer Agent of the Company for handling both electronic and physical shares.

Share Transfer System

As mandated by SEBI, securities of the Company can be transferred / traded only in dematerialised form. Shareholders who have the shares in physical form are advised to get their shares dematerialised.

Dematerialisation of Shares & Liquidity

As on March 31, 2025, out of 29,64,24,825 Equity Shares of ` 10/- each 29,46,41,304 shares (99.40%) were held in electronic form by 2,00,643 shareholders and balance 1,78,3521 shares (0.60%) were held by 4,749 shareholders in physical form.

Distribution of Shareholding as on March 31, 2025@

Table 14 gives the distribution of shares according to shareholding class, while Table 15 gives the distribution of shareholding by ownership.

Table 14: Pattern of Shareholding by Share Class as on March 31, 2025

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No. of Equity Shares held No. of % of No. of shares % of
shareholders Shareholders Shareholding
----- End of picture text -----

No. of Equity Shares held	No. of shareholders % of Shareholders No. of shares % of Shareholding
1-500 501- 1000 1001- 2000 2001- 3000 3001- 4000 4001- 5000 5001- 10000 10001 & Above Total	1,94,027 94.47 83,34,826 2.81 4,855 2.36 37,07,490 1.25 3,210 1.56 46,41,828 1.57 1,218 0.59 30,37,750 1.02 454 0.22 15,93,843 0.54 333 0.16 15,53,918 0.52 521 0.25 36,76,607 1.24 774 0.38 26,98,78,563 91.04
	2,05,392 100.00 29,64,24,825 100.00

Table 15: Pattern of Shareholding by Ownership as on March 31, 2025

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S. Category Total Shares % To Equity
No
----- End of picture text -----

S.
No
Category

Total Shares
% To Equity

1
PROMOTER COMPANIES
2
FOREIGN PORTFOLIO - CORP
3
RESIDENT INDIVIDUALS
4
MUTUAL FUNDS
5
QUALIFIED INSTITUTIONAL BUYER
6
NON RESIDENT INDIAN NON REPATRIABLE
7
BODIES CORPORATES
8
I E P F
9
ALTERNATIVE INVESTMENT FUND
10
H U F
11
INSURANCE COMPANIES
12
NON RESIDENT INDIANS
13
EMPLOYEES
14
CLEARING MEMBERS
15
PROMOTERS
16
DIRECTORS
17
NBFC
18
BANKS
19
UNIT TRUST OF INDIA
20
TRUSTS
21
FOREIGN NATIONALS
Total

14,88,45,000
50.21
5,40,96,644
18.25
2,81,93,698
9.51
2,68,52,581
9.06
2,59,99,855
8.77
37,15,170
1.25
27,52,389
0.93
21,82,700
0.74
12,48,637
0.42
8,21,749
0.28
4,74,193
0.16
4,59,875
0.16
3,51,229
0.12
1,79,049
0.06
1,37,500
0.05
41,958
0.01
27,413
0.01
17,841
0.01
16,765
0.01
10,446
0.00
133
0.00

29,64,24,825
100.00

@Including holdings in NSDL and CDSL

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Outstanding GDRs/ ADRs/ Warrants or Any Convertible Instruments, their conversion dates and Likely Impact on Equity

As on March 31, 2025, there were no outstanding GDRs/ ADRs/ Warrants or any convertible instruments.

Commodity price risk or foreign exchange risk and hedging activities

During the year 2024-25, the Company had managed the foreign exchange risk and hedged to the extent considered necessary. The Company enters into forward contracts and options for hedging foreign exchange exposures against exports and imports. There is no direct hedgeable commodity risk that the Company has on any of raw materials or finished products. Thus, the Foreign Exchange Risk Management Policy covers only net forex exposure on account of its imports and exports.

The details of foreign currency exposure are disclosed in the Note No. 38 to the Financial Statements.

Plant Locations

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Business Plant Locations
----- End of picture text -----

Technical Textiles	•	Manali Industrial Area, Manali, Chennai-600068, Tamil Nadu
Business	•	Industrial Area, Malanpur, Distt. Bhind-477116, MP
	•	Plot No. 1, SIPCOT Industrial Area Complex, Gummidipoondi, Dist. Thiruvallur– 601
		201, Tamil Nadu*
	•	Viralimalai, Distt. Pudukottai - 621 316, Tamil Nadu
	•	Plot No. 12, Rampura, Ramnagar Road, Kashipur, Dist. Udham Singh Nagar-244713,
		Uttarakhand
Chemicals Business	•	Village & P.O. Jhiwana, Tehsil Tijara, Distt. Alwar - 301 018, Rajasthan
	•	DII / I GIDC. PCPIR, GIDC Phase II, Tal Vagra, Vill. Dahej, Dist Bharuch-392130,
		Gujarat
Performance Films	•	Plot No. 12, Rampura, Ramnagar Road, Kashipur, Dist. Udham Singh Nagar-244713,
and Foil Business		Uttarakhand*
(Formerly known as Packaging Films Business)	•	Plot No. C 1-8, C 21-30, Sector 3, Indore Special Economic Zone, Pithampur, Dist. Dhar-454775, Indore, MP
	•	Plot No. 675, Industrial Area, Sector 3, Village Bagdoon, Pithampur, Dist. Dhar –
		454775, Indore MP
	•	Plot No 3-A, Industrial Growth Sector Kheda, Kheda, Dist-Dhar, Madhya Pradesh,
		454775

Address for Correspondence

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SRF Limited- Registered SRF Limited- Corporate Registrar & Share Transfer Agent
Office Office Corporate Office
----- End of picture text -----

	The Galleria, DLF Mayur	Block – C, Sector –45	KFin Technologies Limited
	Vihar, Unit No.236 & 237, Second Floor, Mayur Place, Mayur Vihar, Phase-I Extn., Delhi - 110091 Tel No.: (+ 91-11) 49482870 Fax No.:(+ 91-11) 49482900 E-mail :[email protected]	Gurugram 122 003 Tel No.:(+ 91-124) 4354400 Fax No.: (+ 91-124) 4354500 E-mail : [email protected]	Karvy Selenium Tower B, Plot No 31 & 32 Gachibowli, Financial District, Nanakramguda, Serilingampally Hyderabad – 500032 E-mail:[email protected] Website:https://www.kfntech.com
			Toll Free No. 1- 800-309-4001

Declaration Regarding Code of Conduct

I, Ashish Bharat Ram, Chairman & Managing Director of SRF Limited hereby declare that all Board Members and Senior Management personnel have affirmed compliance with the Code of Conduct for Board and Senior Management Personnel for the year ended March 31, 2025

Ashish Bharat Ram

Chairman & Managing Director

Date: May 12, 2025 Place: Gurugram

including other Businesses

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Independent Auditor’s Report

Basis for Opinion

To the Members of SRF Limited

We conducted our audit in accordance with the Standards on Auditing (SAs) specified under Section 143(10) of the Act. Our responsibilities under those SAs are further described in the Auditor’s Responsibilities for the Audit of the Standalone Financial Statements 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 standalone 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 on the standalone financial statements.

Report on the Audit of the Standalone Financial Statements

Opinion

We have audited the standalone financial statements of SRF Limited (the “Company”) which comprise the standalone balance sheet as at 31 March 2025, and the standalone statement of profit and loss (including other comprehensive income), standalone statement of changes in equity and standalone statement of cash flows for the year then ended, and notes to the standalone financial statements, including material accounting policies and other explanatory information.

In our opinion and to the best of our information and according to the explanations given to us, the aforesaid standalone financial statements give the information required by the Companies Act, 2013 (“Act”) in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India, of the state of affairs of the Company as at 31 March 2025, and its profit and other comprehensive loss, changes in equity and its cash flows for the year ended on that date.

Key Audit Matters

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

1. Accounting for derivatives

See Note 38 to standalone financial statements Key audit matter

How the matter was addressed in our audit

In view of the significance of the matter, we applied the following audit procedures in this area, among others, to obtain sufficient appropriate audit evidence:

The Company uses derivative financial instruments to mitigate foreign currency risk primarily through foreign currency forward exchange contracts. Further, the Company uses hedge relationship designation as per criteria set out in relevant Indian accounting standards. Accounting thereof, including assessment of hedge effectiveness, and related presentation and disclosures of these transactions require significant judgement.

a. Tested the design, implementation and operating effectiveness of controls over the Company’s treasury and other related functions which directly impact the relevant account balances and transactions, including hedge accounting.

1. Accounting for derivatives

See Note 38 to standalone financial statements

Key audit matter

How the matter was addressed in our audit

Given the significant level of judgement and estimation involved and the quantitative significance, we have determined this to be a key audit matter.

b. For selected samples via statistical sampling, obtained external confirmations from counterparties of the year end positions as well as agreed to original agreements analyzing critical terms, such as nominal amount, maturity, and underlying, of the hedging instrument and the hedged item to assess they are closely aligned.
c. Performed sample tests of valuation and accounting of these transactions. In doing so we have involved valuation specialists to assist us in carrying out aforesaid procedure, as considered necessary.
d. Assessed the adequacy of disclosures in the financial statements in respect of both nonderivative and derivative financial instruments.

2. Assessment of uncertain tax position on taxability of income from sale of Carbon emission reduction (“CER”) certificates

See Note 29 to standalone financial statements Key audit matter

How the matter was addressed in our audit

In view of the significance of the matter, we applied the following audit procedures, among others, to obtain sufficient appropriate audit evidence:

The Company has an uncertain tax position with regard to taxability of income from sale of Carbon Emission Reduction (CER) certificates related to certain past years. Assessment of such positions involves significant judgement based on a number of factors, including, interpretation of tax laws, status of assessment of each year by income-tax authorities, evaluation of company- specific orders, and judicial precedents.

a. Tested the design, implementation and operating effectiveness of controls over analysis of uncertain tax position and measuring tax benefits.
b. Obtained status of litigations for relevant assessment years where this uncertain tax position has been identified and management assessment on such tax positions.

As explained in note 29 of the standalone financial statements, in the previous year, the Company had decided to reverse a significant amount of provision for tax recognized in earlier years, in respect of two assessment years. Pending judicial finality on the matter, taxability of CER involves uncertainties and is a matter of continuous assessment, including those pertaining to outcome for other assessment years and related interest income.

Evaluated, with the assistance of specialists, Company’s uncertain tax position by performing the following:

c.
(i) Identifying key judgements underlying uncertain tax position
(ii) Evaluating relevant factors taken into consideration by the Company in its assessment of uncertain tax position, including status of different assessment years, position taken by tax authorities in company-specific tax assessments and industry precedents.

Given the significant level of continuing judgement and amounts involved, we have determined this to be a key audit matter.

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2. Assessment of uncertain tax position on taxability of income from sale of Carbon emission reduction (“CER”) certificates

See Note 29 to standalone financial statements Key audit matter How the matter was addressed in our audit d. Based on the above, evaluating whether Company’s assessment of tax uncertainties and resulting conclusions are consistent with our assessment, after taking into consideration current facts and circumstances.

Other Information

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; selection and application of appropriate accounting policies; making judgments and estimates that are reasonable and prudent; 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 standalone financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error.

The Company’s Management and Board of Directors are responsible for the other information. The other information comprises the information included in the Company’s annual report, but does not include the financial statements and auditor’s report thereon.

Our opinion on the standalone financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.

In connection with our audit of the standalone financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the standalone financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If, based on the work we have performed, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

In preparing the standalone financial statements, the Management and Board of Directors are 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.

Management’s and Board of Directors’ Responsibilities for the Standalone Financial Statements

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 Statements

The Company’s Management and Board of Directors are responsible for the matters stated in Section 134(5) of the Act with respect to the preparation of these standalone financial statements that give a true and fair view of the state of affairs, profit and other comprehensive loss, changes in equity and cash flows of the Company in accordance with the accounting principles generally accepted in India, including the Indian Accounting Standards (Ind AS) specified under Section 133 of the Act. This responsibility also includes maintenance of adequate accounting

Our objectives are to obtain reasonable assurance about whether the standalone financial statements as a whole are 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 these standalone financial statements.

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

Identify and assess the risks of material misstatement of the standalone financial statements, 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.
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.
Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Management and Board of Directors.
Conclude on the appropriateness of the Management and Board of Directors use of the going concern basis of accounting in preparation of standalone financial statements 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 standalone financial statements 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.

Evaluate the overall presentation, structure and content of the standalone financial statements, including the disclosures, and whether the standalone financial statements represent 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.

From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the standalone financial statements of the current period and are therefore the key audit matters. We describe these matters in our auditor’s report unless law or regulation precludes public disclosure about the matter or when, in 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 public interest benefits of such communication.

Report on Other Legal and Regulatory Requirements

As required by the Companies (Auditor’s Report) Order, 2020 (“the Order”) issued by the Central Government of India in terms of Section 143(11) of the Act, we give in the “Annexure A” a statement on the matters specified in paragraphs 3 and 4 of the Order, to the extent applicable.

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Financial Statements

2 A. As required by Section 143(3) of the Act, we report that:

a. We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit.
b. In our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books except for the matter stated in the paragraph 2(B)(f) below on reporting under Rule 11(g) of the Companies (Audit and Auditors) Rules, 2014.
c. The standalone balance sheet, the standalone statement of profit and loss (including other comprehensive income), the standalone statement of changes in equity and the standalone statement of cash flows dealt with by this Report are in agreement with the books of account.
d. In our opinion, the aforesaid standalone financial statements comply with the Ind AS specified under Section 133 of the Act.
e. On the basis of the written representations received from the directors between 1 April 2025 and 25 April 2025, taken on record by the Board of Directors, none of the directors is disqualified as on 31 March 2025 from being appointed as a director in terms of Section 164(2) of the Act.
f. the modification relating to the maintenance of accounts and other matters connected therewith are as stated in the paragraph 2A(b) above on reporting under Section 143(3)(b) of the Act and paragraph 2B(f) below on reporting under Rule 11(g) of the Companies (Audit and Auditors) Rules, 2014.
g. with respect to the adequacy of the internal financial controls with reference to financial statements of the Company and the operating effectiveness of such controls, refer to our separate Report in “Annexure B”.
B. With respect to the other matters to be included in the Auditor’s Report in accordance with Rule 11 of the Companies (Audit and Auditors) Rules, 2014, in our opinion and to the best of our information and according to the explanations given to us:
a. The Company has disclosed the impact of pending litigations as at 31 March 2025 on its financial position in its standalone financial statements - Refer Note 31 to the standalone financial statements.
b. The Company has made provision, as required under the applicable law or accounting standards, for material foreseeable losses, if any, on long-term contracts including derivative contracts – Refer Note 38 to the standalone financial statements.
c. There has been no delay in transferring amounts, required to be transferred, to the Investor Education and Protection Fund by the Company.
d (i) The management has represented that, to the best of its knowledge and belief, as disclosed in the Note 40(h)(viii) to the standalone financial statements, no funds have been advanced or loaned or invested (either from borrowed funds or share premium or any other sources or kind of funds) by the Company to or in any other person(s) or entity(ies), including foreign entities (“Intermediaries”), with the understanding, whether recorded in writing or otherwise, that the Intermediary shall directly or

indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Company (“Ultimate Beneficiaries”) or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

has used accounting softwares for maintaining its books of account, which have a feature of recording audit trail (edit log) facility and, except for the instances mentioned below in respect of accounting softwares used for maintaining general ledger and related records, the same has operated throughout the year for all relevant transactions recorded in the respective softwares:

(ii) The management has represented relevant transactions recorded in the that, to the best of its knowledge respective softwares:
and belief, as disclosed in the Note 40(h)(ix) to the standalone (a) for certain tables of (i) goods and
financial statements, no funds service tax (GST) rate master, have been received by the and (ii) approval records for
Company from any person(s) changes to vendors and inventory
or entity(ies), including foreign masters, the feature of audit trail
entities (“Funding Parties”), with (edit log) facility was not enabled
the understanding, whether throughout the year.
recorded in writing or otherwise, that the Company shall directly or (b) for (i) inventory tables and certain
indirectly, lend or invest in other master tables, for the period from
persons or entities identified in 1 April 2024 to 2 April 2024, any manner whatsoever by or and (ii) certain purchase and
on behalf of the Funding Parties payables tables for different
(“Ultimate Beneficiaries”) or periods between 1 April 2024 to
provide any guarantee, security 15 January 2025, the feature of
or the like on behalf of the recording audit trail (edit log)
Ultimate Beneficiaries. facility was not enabled.
(iii) Based on the audit procedures that have been considered reasonable and appropriate in the circumstances performed, nothing has come to our notice that has caused us to believe that the representations under sub-clause (i) and (ii) of Rule 11(e), as provided under (i) and (ii) above, contain any material misstatement.
(c) for edit logs generated by these accounting softwares, only an authorized privileged user had rights to make direct changes to the edit log. However, the feature of audit trail (edit log) facility for recording any such changes was not enabled throughout the year, and hence, we are unable to determine whether any direct changes to the edit logs were made during the year.
e. The interim dividend declared and paid by the Company during the year and until the date of this audit report is in accordance with Section 123 of the Act.

For the periods where audit trail (edit log) facility was enabled and operated for the respective accounting softwares, we did not come across, subject to our comment in sub-paragraph (c) above,

f. Based on our examination which included test checks, the Company

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any instance of the audit trail feature being tampered with.

Additionally, except to the extent audit trail was not enabled for the previous year, the audit trail has been preserved by the Company as per the statutory requirements for record retention.

C. With respect to the matter to be included in the Auditor’s Report under Section 197(16) of the Act:

Place: Gurugram Date: 12 May 2025

In our opinion and according to the information and explanations given to us, the remuneration paid by the Company to its directors during the current year is in accordance with the provisions of Section 197 of the Act. The remuneration paid/ payable to any director is not in excess of the limit laid down under Section 197 of the Act. The Ministry of Corporate Affairs has not prescribed other details under Section 197(16) of the Act which are required to be commented upon by us.

For B S R & Co. LLP Chartered Accountants Firm’s Registration No.:101248W/W-100022

Ashish Bansal

Partner

Membership No.: 077569 ICAI UDIN:25077569BMOVUW3759

Annexure A to the Independent Auditor’s Report on the Standalone Financial Statements of SRF Limited for the year ended 31 March 2025

(Referred to in paragraph 1 under ‘Report on Other Legal and Regulatory Requirements’ section of our report of even date)

(i) (a) (A) The Company has maintained Right of Use assets) or intangible assets or proper records showing full both during the year. particulars, including quantitative details and situation of Property, (e) According to the information and Plant and Equipment. explanations given to us and on the basis
- (e) According to the information and explanations given to us and on the basis of our examination of the records of the Company, there are no proceedings initiated or pending against the Company for holding any benami property under the Prohibition of Benami Property Transactions Act, 1988 and rules made thereunder.
(B) The Company has maintained proper records showing full particulars of intangible assets.
(i) (b) According to the information and explanations given to us and on the basis of our examination of the records of the Company, the Company has a regular programme of physical verification of its Property, Plant and Equipment by which all property, plant and equipment are verified in a phased manner over a period of three years. In accordance with this programme, certain property, plant and equipment were verified during the year. In our opinion, this periodicity of physical verification is reasonable having regard to the size of the Company and the nature of its assets. As informed to us, no material discrepancies were noticed on such verification.
(ii) (a) The inventory, except goods-in-transit and stocks lying with third parties, has been physically verified by the management during the year. For stocks lying with third parties at the year-end, written confirmations have been obtained, and for goods-in-transit, subsequent evidence of receipts till date of the report has been linked with inventory records. In our opinion, the frequency of such verification is reasonable and procedures and coverage as followed by management were appropriate. No discrepancies were noticed on verification between the physical stocks and the book records that were more than 10% in the aggregate of each class of inventory
(c) According to the information and explanations given to us and on the basis of our examination of the records of the Company, the title deeds of immovable properties (other than immovable properties where the Company is the lessee and the lease agreements are duly executed in favour of the lessee) disclosed in the standalone financial statements are held in the name of the Company.
(b) According to the information and explanations given to us and on the basis of our examination of the records of the Company, the Company has been sanctioned working capital limits in excess of five crore rupees, in aggregate, from banks or financial institutions on the basis of security of current assets. In our opinion, the quarterly returns or statements filed by the Company with such banks or financial institutions are in agreement with the books of account of the Company.
(d) According to the information and explanations given to us and on the basis of our examination of the records of the Company, the Company has not revalued its Property, Plant and Equipment (including
(iii) According to the information and explanations given to us and on the basis of our examination

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of the records of the Company, the Company has not provided any security nor granted any advances in the nature of loans, secured or unsecured, to companies, firms, limited liability partnership or any other parties during the year. The Company has made investments in, provided

guarantees and granted loans to companies and other parties, in respect of which the requisite information is as below. The Company has not made any investments in, provided guarantees and granted loans to firms or limited liability partnership.

(a) Based on the audit procedures carried out by us and as per the information and explanations given to us the Company has provided loans or stood guarantee, to entities as below:

==> picture [403 x 29] intentionally omitted <==

----- Start of picture text -----

Particulars Guarantees Loans
( in Crores) ( in Crores)
----- End of picture text -----

Aggregate amounts during the year
(i) Subsidiaries*	64.48	125.00
(ii)Others(Ofcers* and employees)	-	28.30
Balance outstanding as at balance sheet date
(i) Subsidiaries*	2,444.67	129.00
(ii)Others(Ofcers* and employees)	-	65.53

*As per the Companies Act, 2013

(b) According to the information and (d) According to the information and explanations given to us and based on explanations given to us and on the basis the audit procedures conducted by us, in of our examination of the records of the our opinion, the investments made and Company, there is no overdue amount for guarantees provided during the year, and more than ninety days in respect of loans the terms and conditions of the grant of given. Further, the Company has not given loans and guarantees provided during the any advances in the nature of loans to any year are, prima facie, not prejudicial to the party during the year. interest of the Company.
(e) According to the information and
(c) According to the information and explanations given to us and on the basis explanations given to us and on the basis of our examination of the records of the of our examination of the records of the Company, there is no loan or advance in the Company, in the case of loans given, in our nature of loan granted falling due during the opinion, the repayment of principal and year, which has been renewed or extended payment of interest have been stipulated, or fresh loans granted to settle the overdues and the repayments or receipts have been of existing loans given to same parties. regular, except for the loan of ` 125.00 crores given to SRF Altech Limited (a wholly (f) According to the information and owned subsidiary), which is repayable on explanations given to us and on the basis demand, including interest thereon and of our examination of the records of the has been received to the extent demanded Company, in our opinion the Company has during the year. Thus, there has been no not granted any loans or advances in the default on the part of the party to whom the nature of loans either repayable on demand money has been lent. Further, the Company or without specifying any terms or period of has not given any advances in the nature of repayment except for the following loans or loan to any party during the year. advances in the nature of loans to its related
(f) According to the information and explanations given to us and on the basis of our examination of the records of the Company, in our opinion the Company has not granted any loans or advances in the nature of loans either repayable on demand or without specifying any terms or period of repayment except for the following loans or advances in the nature of loans to its related

parties as defined in Clause (76) of Section 2 of the Companies Act, 2013 (“the Act”):.

	Particulars Aggregate of loan - Repayable on demand (A)	Related Parties (Amount in crores) 125.00
	- Agreement does not specify any terms or	-
	period of Repayment(B)
	Total(A+B)	125.00
	Percentage of loan to the	81.54%
	total loans

(iv) According to the information and explanations given to us and on the basis of our examination of records of the Company, in respect of investments made and loans, guarantees and security given by the Company, in our opinion the provisions of Section 185 and 186 of the Companies Act, 2013 (“the Act”) have been complied with.
(v) The Company has not accepted any deposits or amounts which are deemed to be deposits from the public. Accordingly, clause 3(v) of the Order is not applicable.
(vi) We have broadly reviewed the books of accounts maintained by the Company pursuant to the rules prescribed by the Central Government for maintenance of cost records under Section 148(1) of the Act in respect of its manufactured goods and are of the opinion that prima facie,

the prescribed accounts and records have been made and maintained. However, we have not carried out a detailed examination of the records with a view to determine whether these are accurate or complete.

(vii) (a) The Company does not have liability in respect of Service tax, Duty of excise, Sales tax and Value added tax during the year since effective 1 July 2017, these statutory dues has been subsumed into GST.

According to the information and explanations given to us and on the basis of our examination of the records of the Company, in our opinion, the undisputed statutory dues including Goods and Service Tax, Provident Fund, Employees State Insurance, Income-Tax, Duty of Customs or Cess or other statutory dues have been regularly deposited by the Company with the appropriate authorities.

According to the information and explanations given to us and on the basis of our examination of the records of the Company, no undisputed amounts payable in respect of Goods and Service Tax, Provident Fund, Employees State Insurance, Income-Tax, Duty of Customs or Cess or other statutory dues were in arrears as at 31 March 2025 for a period of more than six months from the date they became payable.

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(b) According to the information and explanations given to us and on the basis of our examination of the records of the Company, statutory dues relating to Goods and Service Tax, Provident Fund, Employees State Insurance, Income-Tax, Duty of Customs or Cess or other statutory dues which have not been deposited on account of any dispute are as follows:

==> picture [383 x 45] intentionally omitted <==

----- Start of picture text -----

Name of the Nature of Amount Period to Forum where dispute Remarks,
statute the dues ( ` in which the is pending if any
Crores) amount
relates
----- End of picture text -----*

Central Excise Laws Excise Duty	2.64 1993-02 Upto Commissioner (Appeals) None 3.15 2006-15 Upto Commissioner (Appeals) 0.19 2016-18 Customs Excise and Service Tax Appellate Tribunal 1.27 2012-13 Supreme Court 0.17 2002 Upto Commissioner (Appeals) 4.41 2014-17 Sales tax Appellate Tribunal 3.61 1988-2017 Upto Commissioner (Appeals) 1.13 AY 1989-90 Supreme Court 12.35 AY 2018-19 Upto Income tax Appellate Tribunal 4.30 AY 2007-08 Upto Commissioner of Income Tax (Appeal) 68.76 AY 2022-23 226.55 2019-22 Upto Commissioner (Appeals) 19.34 2017-21 Upto Commissioner (Appeals) 2.47 2017-18 High Court 0.21 2011-16 EPF Appellate Tribunal 0.30 2011-13 Central Government Industrial Tribunal
Service Tax Laws Service Tax
Customs Law Customs Duty
Sales Tax Laws Sales Tax
Income Tax Laws Income Tax
Goods & Service tax Laws Goods & Service Tax
Employees Provident Fund & Miscellaneous Provisions Act, 1952 Provident Fund

The following matters, which have been excluded from the above table, have been decided in favour of the Company but the concerned department has preferred appeals at higher levels:

Name of the statute Nature of the dues	Amount (`in Crores) Period to which the amount relates Forum where dispute is pending Remarks, if any*
Income Tax Laws Income Tax	2.64 AY 2000-01 High Court None 1.08 AY 2001-02 1.18 1994-95 High Court 2.24 1989-95 Upto Commissioner (Appeals) 0.01 2012-13 Upto Commissioner (Appeals)
Central Excise Laws Excise Duty
Customs Law Customs Duty

*The amounts disclosed are net of payments made under protest and include interest and penalties, wherever determined.

(viii) According to the information and explanations given to us and on the basis of our examination of the records of the Company, the Company has not surrendered or disclosed any transactions, previously unrecorded as income in the books of account, in the tax assessments under the Income Tax Act, 1961 as income during the year.

overall examination of the standalone financial statements of the Company, we report that the Company has not taken any funds from any entity or person on account of or to meet the obligations of its subsidiaries as defined under the Act.

(f) According to the information and explanations given to us and procedures performed by us, we report that the Company has not raised loans during the year on the pledge of securities held in its subsidiaries (as defined under the Act).
(ix) (a) According to the information and explanations given to us and on the basis of our examination of the records of the Company, the Company has not defaulted in repayment of loans and borrowing or in the payment of interest thereon to any lender.
(x) (a) The Company has not raised any moneys by way of initial public offer or further public offer (including debt instruments) during the year. Accordingly, clause 3(x)(a) of the Order is not applicable.
(b) According to the information and explanations given to us and on the basis of our examination of the records of the Company, the Company has not been declared a wilful defaulter by any bank or financial institution or government or government authority.
(b) According to the information and explanations given to us and on the basis of our examination of the records of the Company, the Company has not made any preferential allotment or private placement of shares or fully or partly convertible debentures during the year. Accordingly, clause 3(x)(b) of the Order is not applicable.
(c) In our opinion and according to the information and explanations given to us by the management, term loans were applied for the purpose for which the loans were obtained, other than ` 60.50 crores which remain unutilised as at 31 March 2025 pending application towards ongoing capital expenditure. The Company has temporarily invested such unutilised balance in fixed deposits with a bank as at 31 March 2025.
(xi) (a) During the course of our examination of the books and records of the Company and according to the information and explanations given to us, no fraud by the Company or on the Company has been noticed or reported during the year.
(d) According to the information and during the year. explanations given to us and on an overall examination of the standalone (b) According to the information and financial statements of the Company, explanations given to us, no report we report that no funds raised on under sub-section (12) of Section short-term basis have been used for 143 of the Act has been filed by the
long-term purposes by the Company. auditors in Form ADT-4 as prescribed under Rule 13 of the Companies (Audit
(e) According to the information and and Auditors) Rules, 2014 with the explanations given to us and on an Central Government.
(e) According to the information and explanations given to us and on an

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(c) We have taken into consideration the whistle blower complaints received by the Company during the year while determining the nature, timing and extent of our audit procedures.
(xii) According to the information and explanations given to us, the Company is not a Nidhi Company. Accordingly, clause 3(xii) of the Order is not applicable.
(xiii) In our opinion and according to the information and explanations given to us, the transactions with related parties are in compliance with Section 177 and 188 of the Act, where applicable, and the details of the related party transactions have been disclosed in the standalone financial statements as required by the applicable accounting standards.
(xiv) (a) Based on information and explanations provided to us and our audit procedures, in our opinion, the Company has an internal audit system commensurate with the size and nature of its business.
(b) We have considered the internal audit reports of the Company issued till date for the period under audit.
(xv) In our opinion and according to the information and explanations given to us, the Company has not entered into any non-cash transactions with its directors or persons connected to its directors and hence, provisions of Section 192 of the Act are not applicable to the Company.
(xvi) (a) The Company is not required to be registered under Section 45-IA of the Reserve Bank of India Act, 1934. Accordingly, clause 3(xvi)(a) of the Order is not applicable.
(b) The Company is not required to be registered under Section 45-IA of the Reserve Bank of India Act, 1934.

Accordingly, clause 3(xvi)(b) of the Order is not applicable.

(c) The Company is not a Core Investment Company (CIC) as defined in the regulations made by the Reserve Bank of India. Accordingly, clause 3(xvi)(c) of the Order is not applicable.
(d) According to the information and explanations provided to us, the Group (as per the provisions of the Core Investment Companies (Reserve Bank) Directions, 2016) does not have more than one CIC.
(xvii) The Company has not incurred cash losses in the current and in the immediately preceding financial year.
(xviii) There has been no resignation of the statutory auditors during the year. Accordingly, clause 3(xviii) of the Order is not applicable.
(xix) According to the information and explanations given to us and on the basis of the financial ratios, ageing and expected dates of realisation of financial assets and payment of financial liabilities, other information accompanying the standalone financial statements, our knowledge of the Board of Directors and management plans and based on our examination of the evidence supporting the assumptions, nothing has come to our attention, which causes us to believe that any material uncertainty exists as on the date of the audit report that the Company is not capable of meeting its liabilities existing at the date of balance sheet as and when they fall due within a period of one year from the balance sheet date. We, however, state that this is not an assurance as to the future viability of the Company. We further state that our reporting is based on the facts up to the date of the audit report and we neither give any guarantee nor any assurance that all liabilities falling due within a period of one year from the balance sheet date, will

get discharged by the Company as and when they fall due.

(xx) (a) In our opinion and according to the information and explanations given to us, there is no unspent amount under sub-section (5) of Section 135 of the Act pursuant to any project other than ongoing projects. Accordingly, clause 3(xx)(a) of the Order is not applicable.

Place: Gurugram Date: 12 May 2025

(b) According to the information and explanations given to us, in respect of ongoing projects, the Company has transferred the unspent amount to a Special Account within a period of 30 days from the end of the financial year in compliance with Section 135(6) of the said Act.

For B S R & Co. LLP

Chartered Accountants Firm’s Registration No.:101248W/W-100022

Ashish Bansal

Partner

Membership No.: 077569 ICAI UDIN:25077569BMOVUW3759

234

ANNUAL REPORT 2024-25 235

ANNUAL REPORT 2024-25

Corporate Our Statutory Financial 02 12 92 222 Overview Approach to ESG Reports Statements

Annexure B to the Independent Auditor’s Report on the standalone financial

statements of SRF Limited for the year ended 31 March 2025

Report on the internal financial controls with reference to the aforesaid standalone financial statements under Clause (i) of Sub-section 3 of Section 143 of the Act

(Referred to in paragraph 2(A)(g) under ‘Report on Other Legal and Regulatory Requirements’ section of our report of even date)

records, and the timely preparation of reliable financial information, as required under the Act.

Opinion

We have audited the internal financial controls with reference to financial statements of SRF Limited (“the Company”) as of 31 March 2025 in conjunction with our audit of the standalone financial statements of the Company for the year ended on that date.

Auditor’s Responsibility

Our responsibility is to express an opinion on the Company’s internal financial controls with reference to financial statements based on our audit. We conducted our audit in accordance with the Guidance Note and the Standards on Auditing, prescribed under Section 143(10) of the Act, to the extent applicable to an audit of internal financial controls with reference to financial statements. Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls with reference to financial statements were established and maintained and if such controls operated effectively in all material respects.

In our opinion, the Company has, in all material respects, adequate internal financial controls with reference to financial statements and such internal financial controls were operating effectively as at 31 March 2025, based on the internal financial controls with reference to financial statements criteria established by the Company considering the essential components of internal control stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India (the “Guidance Note”).

Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls with reference to financial statements and their operating effectiveness. Our audit of internal financial controls with reference to financial statements included obtaining an understanding of internal financial controls with reference to financial statements, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. The procedures selected depend on the auditor’s judgement, including the assessment of the risks of material misstatement of the standalone financial statements, whether due to fraud or error.

Management’s and Board of Directors’ Responsibilities for Internal Financial Controls

The Company’s Management and the Board of Directors are responsible for establishing and maintaining internal financial controls based on the internal financial controls with reference to financial statements criteria established by the Company considering the essential components of internal control stated in the Guidance Note. These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to company’s policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting

We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion on the Company’s internal financial controls with reference to financial statements.

Meaning of Internal Financial Controls with Reference to Financial Statements

A company’s internal financial controls with reference to financial statements is a process designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. A company’s internal financial controls with reference to financial statements include those policies and procedures that (1) pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the company; (2) provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the company are being made only in accordance with authorisations of management and directors of the company; and (3) provide reasonable assurance regarding prevention or

Place: Gurugram Date: 12 May 2025

timely detection of unauthorised acquisition, use, or disposition of the company’s assets that could have a material effect on the financial statements.

Inherent Limitations of Internal Financial Controls with Reference to Financial Statements

Because of the inherent limitations of internal financial controls with reference to financial statements, including the possibility of collusion or improper management override of controls, material misstatements due to error or fraud may occur and not be detected. Also, projections of any evaluation of the internal financial controls with reference to financial statements to future periods are subject to the risk that the internal financial controls with reference to financial statements may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

For B S R & Co. LLP Chartered Accountants Firm’s Registration No.:101248W/W-100022

Ashish Bansal

Partner Membership No.: 077569 ICAI UDIN:25077569BMOVUW3759

236

ANNUAL REPORT 2024-25 237

ANNUAL REPORT 2024-25

Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Standalone Balance Sheet

as at March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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Particulars Note As at As at
No. March 31, 2025 March 31, 2024
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ASSETS
Non-current assets
Property, plant and equipment	2	10,483.00	10,078.20
Right-of-use assets	37	221.22	248.59
Capital work-in-progress	3	701.91	744.79
Other intangible assets	4	105.09	111.76
Financial assets
(i) Investments	5	782.54	629.77
(ii) Loans	6	52.06	50.04
(iii) Other fnancial assets	7	137.87	190.48
Other tax assets (net)	20	202.96	206.85
Other non-current assets	8	185.73	114.23
Total non-current assets		12,872.38	12,374.71
Current assets
Inventories	9	1,804.88	1,901.01
Financial assets
(i) Investments	5	704.53	405.58
(ii) Trade receivables	10	1,765.14	1,538.00
(iii) Cash and cash equivalents	11	313.85	361.77
(iv) Bank balances other than above	12	15.25	8.21
(v) Loans	6	142.47	322.05
(vi) Other fnancial assets	7	158.63	201.48
Other current assets	8	253.29	251.83
Total current assets		5,158.04	4,989.93
TOTAL ASSETS		18,030.42	17,364.64
EQUITY AND LIABILITIES
Equity
Equity share capital	13	297.44	297.44
Other equity	14	11,271.21	10,216.27
Total equity		11,568.65	10,513.71
LIABILITIES
Non-current liabilities
Financial liabilities
(i) Borrowings	15	1,566.60	1,662.06
(ii) Lease liabilities	37	55.01	81.75
(iii) Other fnancial liabilities	19	18.45	0.80
Provisions	16	67.63	60.96
Deferred tax liabilities (net)	17	993.20	880.28
Other non-current liabilities	21	127.33	122.75
Total non-current liabilities		2,828.22	2,808.60

Standalone Balance Sheet (Contd.)

as at March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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Particulars Note As at As at
No. March 31, 2025 March 31, 2024
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Current liabilities
Financial liabilities
(i) Borrowings	15	1,686.87	1,949.45
(ii) Lease liabilities	37	28.74	27.51
(iii) Trade payables	18
(a) Total outstanding dues of micro enterprises and		93.24	84.28
small enterprises
(b) Total outstanding dues of creditors other than		1,477.01	1,483.53
micro enterprises and small enterprises
(iv) Other fnancial liabilities	19	248.01	404.56
Other current liabilities	21	75.33	73.97
Provisions	16	7.75	7.27
Current tax liabilities(net)	20	16.60	11.76
Total current liabilities		3,633.55	4,042.33
TOTAL LIABILITIES		6,461.77	6,850.93
TOTAL EQUITY AND LIABILITIES		18,030.42	17,364.64
Summary of material accounting policies	1B
See accompanying notes to the standalone fnancial	2 to 40
statements

As per our report of even date attached

For B S R & Co. LLP For and on behalf of the Board of Directors

Chartered Accountants ICAI Firm registration no: 101248W/W-100022

Ashish Bansal Partner Membership No.: 077569

Ashish Bharat Ram

Kartik Bharat Ram

Ashish Bharat Ram Kartik Bharat Ram Raj Kumar Jain Chairman and Managing Joint Managing Director Director Director DIN - 00008557 DIN - 01741527 DIN - 00671567

Place : Gurugram Date : May 12, 2025

Rahul Jain President & CFO

Rajat Lakhanpal

Senior Vice President (Corporate Compliance) and Company Secretary

Place : Gurugram Date : May 12, 2025

238

239

ANNUAL REPORT 2024-25

Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Standalone Statement of Profit and Loss

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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Particulars Note No. Year ended Year ended
March 31, 2025 March 31, 2024
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I	Revenue from operations	22	11,697.97	10,786.67
II	Other income	23	174.97	119.42
III	Total Income(I + II)		11,872.94	10,906.09
IV	Expenses
	Cost of materials consumed	24.1	5,602.99	5,196.28
	Purchases of stock-in-trade	24.2	95.89	83.61
	Changes in inventories of fnished goods, work-in-	24.3	23.27	(114.32)
	progress and stock-in-trade
	Employee benefts expense	25	869.11	790.33
	Finance costs	26	296.35	235.60
	Depreciation and amortisation expense	27	629.96	555.85
	Other expenses	28	2,650.99	2,440.86
	Total Expenses		10,168.56	9,188.21
V	Proft before tax(III - IV)		1,704.38	1,717.88
VI	Tax expense	29
	Current tax		320.72	244.67
	Deferred tax
	Others		115.59	99.18
	Total tax expense		436.31	343.85
VII	Proft for theyear(V - VI)		1,268.07	1,374.03
VIII	Other comprehensive income
A	Items that will not be reclassifed to proft or loss
	(i)(a) Gain / (loss) on remeasurement of defned beneft obligation	14.2, 33.2	(0.28)	(4.59)
	(i)(b) Income tax on item (i)(a) above	14.2, 30	0.07	1.16
B	Items that will be reclassifed to proft or loss
	(i)(a) Efective portion of gain / (loss) on hedging instruments in a cash fow hedge	14.3	(6.08)	127.90
	(i)(b) Income tax on item (i)(a) above	14.3, 30	1.53	(32.19)
	(ii)(a) Cost of Hedging Reserve	14.9	(4.54)	(1.70)
	(ii)(b)Income tax on item(ii)(a)above	14.9,30	1.14	0.43
	Total other comprehensive income / (loss)		(8.16)	91.01
	for theyear, net of taxes(A + B)

(Contd.) Standalone Statement of Profit and Loss

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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Particulars Note No. Year ended Year ended
March 31, 2025 March 31, 2024
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IX	Total comprehensive income for the year		1,259.91	1,465.04
	(VII + VIII)
	Basic and Diluted Earnings per equity share (in`)	36	42.78	46.35
Summary of material accounting policies		1B
See	accompanying notes to the standalone fnancial	2 to 40
statements

As per our report of even date attached

For and on behalf of the Board of Directors

For B S R & Co. LLP

Chartered Accountants ICAI Firm registration no: 101248W/W-100022

Ashish Bansal

Ashish Bharat Ram

Kartik Bharat Ram

Raj Kumar Jain

Chairman and Managing Joint Managing Director Director Director DIN - 00008557 DIN - 01741527 DIN - 00671567

Partner Membership No.: 077569

Place : Gurugram Date : May 12, 2025

Rahul Jain

Rajat Lakhanpal

President & CFO

Senior Vice President (Corporate Compliance) and Company Secretary

Place : Gurugram Date : May 12, 2025

240 ANNUAL REPORT 2024-25

ANNUAL REPORT 2024-25 241

Corporate Our Statutory Financial 02 12 92 222 Overview Approach to ESG Reports Statements

Standalone Statement of Cash Flow

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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Particulars Year ended Year ended
March 31, 2025 March 31, 2024
A CASH FLOW FROM OPERATING ACTIVITIES
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	Proft before tax Adjustments for:	1,704.38	1,717.88
	Finance costs Interest income	296.35 (67.06)	235.60 (44.95)
	Net gain on sale of property, plant and equipment Net gain on fnancial assets measured at fair value through proft and loss Credit impaired assets provided / written of / (written back) Amortisation of grant income	(1.62) (32.44) 1.25 (9.54)	(4.77) (22.87) (0.17) (18.77)
	Depreciation and amortisation expense	629.96	555.85
	Property, plant and equipment and inventory discarded / provided /	8.49	11.17
	(written back)
	Insurance income against Property, plant and equipment	(33.11)	-
	Provision / liabilities no longer required written back Net exchange currency fuctuation (gain) / loss Employee share based payment expense	(10.70) 104.85 8.45	(12.54) (38.62) 8.54
	Stamp duty on purchase of investments	0.10	0.13
	Adjustments for (increase) / decrease in operating assets :-
	Trade receivables	(230.49)	(101.30)
	Inventories	94.88	(59.23)
	Loans	(3.58)	(7.60)
	Other assets	82.75	38.74
	Adjustments for increase / (decrease) in operating liabilities :-
	Trade payables	28.04	(81.84)
	Provisions	7.15	10.11
	Other liabilities	(5.05)	82.17
	Cash generated from operations	2,573.06	2,267.53
	Income taxes paid (net of refunds)	(308.84)	(364.69)
	Net cash generated from operating activities	2,264.22	1,902.84
B	CASH FLOW FROM INVESTING ACTIVITIES
	Net sale / (purchases) of current investments	(267.11)	107.34
	Stamp duty on purchase of investments	(0.10)	(0.13)
	Purchase of non-current investments	(152.29)	(555.28)
	Sale of non-current investments	-	4.11
	Interest received	62.14	47.54
	Bank balances not considered as cash and cash equivalents	(6.92)	0.07
	Deposit made with Non Banking Financial Company (NBFC)	(50.00)	(25.00)
	Payment for purchase of property, plant and equipment, capital work-	(1,128.82)	(1,865.39)
	in-progress and other intangible assets
	Proceeds from disposal of property, plant and equipment	9.26	14.97
	Government grant received	35.59	-
	Loans given to subsidiaries	(125.00)	(365.04)
	Repayment of loans by subsidiaries	309.31	562.77
	Net cash used in investing activities	(1,313.94)	(2,074.04)
C	CASH FLOW FROM FINANCING ACTIVITIES
	Proceeds from long term borrowings	406.94	814.67
	Repayment of long term borrowings	(931.24)	(369.70)
	Net proceeds from short term borrowings	83.85	86.47
	Dividends on equity share capital paid	(213.18)	(213.71)
	Payment towards lease liability	(35.09)	(37.11)
	Finance costs paid Net cash generated from / (used in) fnancing activities Net increase / (decrease) in cash and cash equivalents	(309.48) (998.20) (47.92)	(274.90) 5.72 (165.48)
	Cash and cash equivalents at the beginning of the year	361.77	527.25
	Cash and cash equivalents at the end of the year (Refer to note 11)	313.85	361.77

Standalone Statement of Cash Flow (Contd.) for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

Notes:

(i) The cash flow statement has been prepared under indirect method as set out in Indian Accounting Standard-7 (Ind AS) on ‘Statement of Cash Flows’.
(ii) During the year, the Company paid 28.49 crores (Previous year: 31.51 crores) towards corporate social responsibility (CSR) expenditure.
(iii) The following table discloses changes in liabilities arising from financing activities, including both cash and non-cash changes:

Particulars As at April 1, 2024 Cash fow from fnancing activities	Non-cash changes As at March 31, 2025 Upfront fees amortised Exchange fuctuation changes# Finance cost# Interim dividend declared Lease liability recognised
Non-current borrowings* 2,569.00 (524.30) Current borrowings^ 1,042.51 83.85 Interest accrued 19.51 (309.48) Lease liability 109.26 (35.09) Dividend 6.55 (213.18)	3.53 64.34 - - - 2,112.57 - 14.54 - - - 1,140.90 - - 308.29 - - 18.32 - - 7.51 - 2.07 83.75 - - - 213.43 - 6.80
Total 3,746.83 (998.20)	3.53 78.88 315.80 213.43 2.07 3,362.34

Particulars As at April 1, 2023 Cash fow from fnancing activities	Non-cash changes As at March 31, 2024 Upfront fees amortised Exchange fuctuation changes# Finance cost# Interim dividend declared Lease liability recognised
Non-current borrowings * 2,092.08 444.97 Current borrowings ^ 947.18 86.47 Interest accrued 13.25 (274.90) Lease liability 122.43 (37.11) Dividend 6.83 (213.71)	3.35 28.60 - - - 2,569.00 - 8.86 - - - 1,042.51 - - 281.16 - - 19.51 - - 8.99 - 14.95 109.26 - - - 213.43 - 6.55
Total 3,181.77 5.72	3.35 37.46 290.15 213.43 14.95 3,746.83

including current maturities of long term borrowings
^ excluding current maturities of long term borrowings

including amount capitalised

Summary of material accounting policies See accompanying notes to the standalone financial statements

1B 2 to 40

As per our report of even date attached

For and on behalf of the Board of Directors

For B S R & Co. LLP

Chartered Accountants

ICAI Firm registration no: 101248W/W-100022

Ashish Bansal

Ashish Bharat Ram

Kartik Bharat Ram

Raj Kumar Jain

Chairman and Managing Joint Managing Director Director Director DIN - 00008557 DIN - 01741527 DIN - 00671567

Partner Membership No.: 077569

Place : Gurugram Date : May 12, 2025

Rahul Jain

Rajat Lakhanpal

President & CFO Senior Vice President (Corporate Compliance) and Company Secretary

Place : Gurugram Date : May 12, 2025

242

243

ANNUAL REPORT 2024-25

Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Standalone Statement of Changes in Equity

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

(a) Equity share capital

		Amount
Balance	at April 1, 2023	297.44
Changes Balance Changes	in equity share capital during the year at March 31, 2024 in equity share capital during the year	- 297.44 -
Balance	at March 31, 2025	297.44

(b) Other Equity

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Items of other
Reserves and Surplus [#] comprehensive income [#]
Particulars Capital reserve General reserve redemption reserveCapital Securities premium Employee payment based share Retained earnings portion of cash flow Effective comprehensive through other instrument Equity hedging reserveCost of equityTotal
reserve hedge income
Balance at April 1, 2023 219.19 711.04 10.48 509.56 11.63 7,643.98 (150.22) (4.22) 4.67 8,956.11
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Balance at April 1, 2023	219.19	711.04	10.48	509.56	11.63	7,643.98	(150.22)	(4.22)	4.67	8,956.11
Proft for the year	-	-	-	-	-	1,374.03	-	-	-	1,374.03
Other comprehensive income for the year, net	-	-	-	-	-	(3.43)	95.71	-	(1.27)	91.01
of income tax
Total comprehensive income for theyear Dividend ^	- -	- -	- -	- -	- -	1,370.60 (213.43)	95.71 -	- -	(1.27) -	1,465.04 (213.43)
Employee share basedpayment expense Balance at March 31, 2024 Proft for the year Other comprehensive income for the year, net	- 219.19 - -	- 711.04 - -	- 10.48 - -	- 509.56 - -	8.55 20.18 - -	- 8,801.15 1,268.07 (0.21)	- (54.51) - (4.55)	- (4.22) - -	- 3.40 - (3.40)	8.55 10,216.27 1,268.07 (8.16)
of income tax Total comprehensive income for theyear Dividend ^	- -	- -	- -	- -	- -	1,267.86 (213.43)	(4.55) -	- -	(3.40) -	1,259.91 (213.43)
Employee share based payment expense	-	-	-	-	8.46	-	-	-	-	8.46
Recognised / (released) on vesting of shares	-	-	-	0.53	(0.53)	-	-	-	-	-
issued under employee sharepurchase scheme
Balance at March 31, 2025	219.19	711.04	10.48	510.09	28.11	9,855.58	(59.06)	(4.22)	-	11,271.21

Refer note 14 ^ Refer note 13.1

Summary of material accounting policies See accompanying notes to the standalone financial statements

1B 2 to 40

As per our report of even date attached

For and on behalf of the Board of Directors

For B S R & Co. LLP

Chartered Accountants

ICAI Firm registration no: 101248W/W-100022

Ashish Bansal

Ashish Bharat Ram Kartik Bharat Ram Raj Kumar Jain Chairman and Managing Joint Managing Director Director Director DIN - 00008557 DIN - 01741527 DIN - 00671567

Partner Membership No.: 077569

Place : Gurugram Date : May 12, 2025

Rahul Jain Rajat Lakhanpal President & CFO Senior Vice President (Corporate Compliance) and Company Secretary

Place : Gurugram

Date : May 12, 2025

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

Certain financial assets and liabilities measured at fair value (refer accounting policy regarding financial instruments)

1 CORPORATE INFORMATION, MATERIAL ACCOUNTING POLICIES AND SIGNIFICANT ACCOUNTING JUDGEMENTS, ESTIMATES AND ASSUMPTIONS

Defined benefit plans - plan assets measured at fair value less present value of defined benefit obligation

A CORPORATE INFORMATION

SRF Limited (“the Company”) is a public limited company domiciled in India and incorporated under the provisions of the Companies Act, 1956. The Company’s equity shares are listed at the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE). The registered office of the Company is situated at The Galleria, DLF Mayur Vihar, Unit No. 236 and 237, Second Floor, Mayur Vihar Place, Noida Link Road, Mayur Vihar Phase I Extn, Delhi - 110091. The Company’s parent company is KAMA Holdings Limited.

The standalone financial statements are presented in Indian Rupees (INR) which is also the Company’s functional currency and all values are rounded to the nearest crores, except when otherwise indicated.

The principal accounting policies are set out below.

2 Current versus non-current classification

Based on the nature of products and the time between acquisition of assets for processing and their realisation in cash and cash equivalents, the Company has identified twelve months as its operating cycle for the purpose of current / non current classification of assets and liabilities.

The principal activities of the Company are manufacturing, purchase and sale of technical textiles, chemicals, packaging films and other polymers.

The standalone financial statements were authorised for issue in accordance with a resolution of the directors on May 12, 2025.

3 Property, plant and equipment (PPE)

B MATERIAL ACCOUNTING POLICIES

The cost of an item of property, plant and equipment shall be recognised as an asset if, and only if it is probable that future economic benefits associated with the item will flow to the Company and the cost of the item can be measured reliably.

1 Basis of Preparation

These standalone financial statements are prepared in accordance with Indian Accounting Standards (Ind AS), under the Companies (Indian Accounting Standards) Rules, 2015 notified under section 133 of the Companies Act 2013 (“the Act”) as amended thereafter and other relevant provisions of the Act.

Property, plant and equipment are stated at cost of acquisition or construction less accumulated depreciation and accumulated impairment losses, if any.

The standalone financial statements have been prepared on an accrual basis and under the historical cost convention, except for the following assets and liabilities which have been measured at fair value:

All items of property, plant and equipment were measured at fair value at the date of transition to Ind AS. The Company had opted such fair valuation as deemed cost at the transition date i.e. April 1, 2015.

Derivative financial instruments

244

245

ANNUAL REPORT 2024-25

Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Standalone Financial Statements

for the year ended March 31, 2025 (All amounts in ` Crores, unless otherwise stated)

Cost of an item of property, plant and equipment comprises its purchase price, including import duties and non-refundable purchase taxes, after deducting trade discounts and rebates, any directly attributable cost of bringing the item to its working condition for its intended use and estimated costs of dismantling and removing the item and restoring the site on which it is located. The cost of a self-constructed item of property, plant and equipment comprises the cost of materials and direct labour, any other costs directly attributable to bringing the item to working condition for its intended use, and estimated costs of dismantling and removing the item and restoring the site on which it is located.

of labour and material, related incidental expenses and attributable interest.

Spare parts are capitalized when they meet the definition of PPE, i.e., when the Company intends to use these for a period of more than 12 months.

4 Depreciation

Depreciable amount for assets is the cost of an asset, or other amount substituted for cost, less its estimated residual value.

Depreciation has been provided on the cost of assets less their residual values on straight line method on the basis of estimated useful life of assets determined by the Company which are different from the useful life as prescribed in Schedule II of the 2013 Act. The estimated useful life of the assets have been assessed based on technical advice, taking into account the nature of the asset, the estimated usage of the asset, the operating conditions of the asset, past history of replacement, anticipated technological changes, manufacturers warranties and maintenance support, etc. and are as under:

Subsequent expenditure is capitalised only if it is probable that the future economic benefits associated with the expenditure will flow to the Company and the cost of the item can be measured reliably.

Excess of net sale proceeds of items produced during the test run over the cost of testing, if any, are not recognised in the profit or loss but deducted from the directly attributable costs of property, plant, and equipment.

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Management’s
estimate of
useful life
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If significant parts of an item of property, plant and equipment have different useful lives, then they are accounted for as separate items of property, plant and equipment and depreciated accordingly.

Roads Buildings (including temporary structures) Plant and equipment Furniture and fxtures	40-50 years 5-60 years 2-40 years 3-20 years
Ofce equipment	3-20 years
Vehicles	4-5years

Assets are classified to the appropriate categories of property, plant and equipment when completed and ready for intended use.

Capital Work in Progress: Project under which assets are not yet ready for their intended use are carried at cost of comprising of cost of asset, direct cost

Freehold land is not depreciated.

Depreciation is calculated on a pro rata basis.

Notes to the Standalone Financial Statements

for the year ended March 31, 2025 (All amounts in ` Crores, unless otherwise stated)

be impaired. The useful lives considered are as follows:

An item of property, plant and equipment or any significant part initially recognised of such item of property plant and equipment is derecognised upon disposal or when no future economic benefits are expected from its use or disposal. Any gain or loss arising on derecognition of the asset (calculated as the difference between the net disposal proceeds and the carrying amount of the asset) is included in the statement of profit and loss.

Trademarks / Brand 10-30 years Technical Knowhow 30-40 years Software 3-5 years Other intangibles 2.5-8 years

The Company has elected to continue with the carrying value of all of its intangibles assets recognised as on April 1, 2015 measured as per the previous GAAP and use that carrying value as its deemed cost as of transition date.

The estimated useful lives and methods of depreciation of property, plant and equipment are reviewed at each financial year end and adjusted prospectively, if appropriate.

The amortisation period and the amortisation method for an intangible asset with a finite useful life are reviewed at least at the end of each reporting period. Changes in the expected useful life or the expected pattern of consumption of future economic benefits embodied in the asset are considered to modify the amortisation period or method, as appropriate, and are treated as changes in accounting estimates. The amortisation expense on intangible assets with finite lives is recognised in the statement of profit and loss unless such expenditure forms part of carrying value of another asset.

5 Other Intangible Assets

Intangible assets acquired separately are measured on initial recognition at cost.

Following initial recognition, intangible assets are carried at cost less any accumulated amortisation and accumulated impairment losses, if any.

Internally generated intangibles, excluding capitalised development costs, are not capitalised and the related expenditure is reflected in profit or loss in the period in which the expenditure is incurred.

An intangible asset is derecognised on disposal or when no future economic benefits are expected from use or disposal. Gains or losses arising from derecognition of an intangible asset are measured as the difference between the net disposal proceeds and the carrying amount of the asset and are recognised in the statement of profit or loss when the asset is derecognised.

Subsequent expenditure is capitalised only when it increases the future economic benefits embodied in the specific asset to which it relates and the cost of the asset can be measured reliably

Intangible assets with finite lives are amortised using the straight line method over the useful economic life and assessed for impairment whenever there is an indication that the intangible asset may

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Notes to the Standalone Financial Statements

for the year ended March 31, 2025 (All amounts in ` Crores, unless otherwise stated)

6 Research and development expenditure

Recoverable amount is determined for an individual asset, unless the asset does not generate cash inflows that are largely independent of those from other assets or groups of assets.

Expenditure on research and development of products is included under the natural heads of expenditure in the year in which it is incurred except which relate to development activities whereby research findings are applied to a plan or design for the production of new or substantially improved products and processes.

Impairment loss is recognised when the carrying amount of an asset or CGU exceeds its recoverable amount. In such cases, the asset is considered impaired and is written down to its recoverable amount.

Such development costs are capitalised if they can be reliably measured, the product or process is technically and commercially feasible and the Company has sufficient resources to complete the development and to use or sell the asset.

In assessing value in use, the estimated future cash flows are discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the asset. In determining fair value less costs of disposal, recent market transactions are taken into account. If no such transactions can be identified, an appropriate valuation model is used. These calculations are corroborated by valuation multiples or other available fair value indicators.

Following initial recognition of the development expenditure as an asset, the asset is carried at cost less any accumulated amortisation and accumulated impairment losses, if any. Amortisation of the asset begins when development is complete and the asset is available for use. It is amortised over the period of expected future benefit. Amortisation expense is recognised in the statement of profit and loss unless such expenditure forms part of carrying value of another asset. During the period of development, the asset is tested for impairment annually.

For assets excluding goodwill, an assessment is made at each reporting date to determine whether there is an indication that previously recognised impairment losses no longer exist or have decreased. If such indication exists, the Company estimates the asset’s or CGU’s recoverable amount. A previously recognised impairment loss is reversed only if there has been a change in the assumptions used to determine the asset’s recoverable amount since the last impairment loss was recognised. The reversal is limited so that the carrying amount of the asset does not exceed its recoverable amount, nor exceed the carrying amount that would have been determined, net of depreciation, had no impairment loss been recognised for the asset in prior years.

7 Impairment of tangible and intangible assets other than goodwill

The Company assesses, at each reporting date, whether there is an indication that an asset may be impaired. If any indication exists, or when annual impairment testing for an asset is required, the Company estimates the asset’s recoverable amount. An asset’s recoverable amount is the higher of an asset’s or cash-generating unit’s (CGU) fair value less costs of disposal and its value in use.

Notes to the Standalone Financial Statements

for the year ended March 31, 2025 (All amounts in ` Crores, unless otherwise stated)

At inception or on reassessment of a contract that contains a lease component, the Company allocates the consideration in the contract to each lease component on the basis of their relative stand-alone prices.

8 Leasing

At inception of a contract, the Company assesses whether a contract is, or contains, a lease. A contract is, or contains, a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration. To assess whether a contract conveys the right to control the use of an identified asset, the Company assesses whether:

Company as lessee

The Company accounts for assets taken under lease arrangements in the following manner:
The Company recognises a right-of-use asset and a lease liability at the lease commencement date. The right of use asset is initially measured at cost, which comprises the initial amount of the lease liability adjusted for any lease payments made at or before the commencement date, plus any initial direct costs incurred and an estimate of costs to dismantle and remove the underlying asset or to restore the underlying asset or the site on which it is located, less any lease incentive received.
the contract involves the use of an identified asset – this may be specified explicitly or implicitly and should be physically distinct or represent substantially all of the capacity of a physically distinct asset. If the supplier has a substantive substitution right, then the asset is not identified;
the Company has the right to obtain substantially all of the economic benefits from use of the asset through the period of use; and
The right of use asset is subsequently depreciated using the straight line method from the commencement date to the end of the lease term. The estimated useful lives of right-of-use assets are determined on the basis of remaining lease term. In addition, the right-of-use asset is periodically reduced by impairment losses, if any, and adjusted for certain remeasurements of the lease liability.
the Company has the right to direct the use of the asset. The Company has this right when it has the decisionmaking rights that are most relevant to changing how and for what purpose the asset is used. In rare cases, where the decision about how and for what purpose the asset is used is predetermined, the Company has the right to direct the use of the asset if either:
The lease liability is initially measured at the present value of the lease payments that are not paid at the commencement date, discounted using the interest rate implicit in the lease or, if that rate cannot be readily determined, the Company’s incremental borrowing rate. Generally, the Company uses its incremental borrowing rate as the discount rate. The Company determines its incremental borrowing rate by obtaining
the Company has the right to operate the asset; or
the Company designed the asset in a way that predetermines how and for what purpose it will be used.

The Company reassesses whether a contract is, or contains, a lease only if the terms and conditions of the contract are changed.

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for the year ended March 31, 2025 (All amounts in ` Crores, unless otherwise stated)

interest rates from various external financing sources and makes certain adjustments to reflect the terms of the lease and type of the asset leased.

with the borrowing of funds. Borrowing cost also includes exchange differences to the extent regarded as an adjustment to the borrowing costs.

Lease payments included in the measurement of the lease liability comprise the fixed payments, including in-substance fixed payments and variable lease payments that depend on an index or a rate, initially measured using the index or rate as at the commencement date

Borrowing costs directly attributable to the acquisition, construction or production of an asset that necessarily takes a substantial period of time to get ready for its intended use or sale are capitalised as part of the cost of the asset. Borrowing costs incurred for the period from commencement of activities relating to construction/ development of the qualifying asset upto the date of capitalisation of such asset are added to the cost of the asset. All other borrowing costs are expensed in the period in which they occur.

The lease liability is measured at amortised cost using the effective interest method. It is remeasured when there is a change in future lease payments arising from a change in an index or rate, if there is a change in Company’s estimate of the amount expected to be payable under a residual value guarantee, or if the Company changes its assessment of whether it will exercise a purchase, extension or termination option.

In case of a specific borrowing taken for the purpose of acquisition, construction or production of a qualifying asset, the borrowing costs capitalised shall be the actual borrowing costs incurred during the period less any interest income earned on temporary investment of specific borrowing pending expenditure on qualifying asset.

When the lease liability is remeasured in this way, a corresponding adjustment is made to the carrying amount of the right-of-use asset, or is recorded in profit or loss if the carrying amount of the right-of-use asset has been reduced to zero.

In case funds are borrowed generally and such funds are used for the purpose of acquisition, construction or production of a qualifying asset, the borrowing costs capitalised are calculated by applying the weighted average capitalisation rate on general borrowings outstanding during the period, to the expenditures incurred on the qualifying asset.

Short-term leases and leases of low-value assets

The Company has elected not to recognise right-of use assets and lease liabilities for short term leases that have a lease term of 12 months or less and leases of low value assets. The Company recognises the lease payments associated with these leases as an expense on a straight- line basis over the lease term.

If any specific borrowing remains outstanding after the related asset is ready for its intended use, that borrowing is considered part of the funds that are borrowed generally for calculating the capitalisation rate.

9 Borrowing costs

Borrowing costs consist of interest and other costs that an entity incurs in connection

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

obtained or re-financed on or after April 1, 2016 are treated in accordance with Ind AS 21/ Ind AS 109. Refer point (i) above.

10 Foreign Currencies

Transactions in foreign currencies are recorded on initial recognition at the exchange rate prevailing on the date of the transaction.

11 Inventories

Inventories are valued at cost or net realisable value, whichever is lower. The basis of determining the cost for various categories of inventories are as follows:
(i) Monetary assets and liabilities denominated in foreign currency remaining unsettled at the end of the year, are translated at the closing rates prevailing on the Balance Sheet date. Non-monetary items which are carried in terms of historical cost denominated in foreign currency are reported using the exchange rate at the date of transaction. Any gains or losses arising due to differences in exchange rates at the time of translation or settlement are accounted for in the Statement of Profit and Loss either under the head foreign exchange fluctuation or interest cost, as the case may be, except those relating to exchange differences arising from cash flow hedges to the extent that the hedges are effective and those covered below.
(a) Raw materials, packing materials and stores and spares (including fuel) - Cost includes cost of purchase and other costs incurred in bringing the inventories to their present location and condition. Cost is determined on weighted average basis. The aforesaid items are valued at Net Realisable Value if the finished products in which they are to be incorporated are expected to be sold at a loss.
(b) Traded goods, Stock in progress and finished goods- Direct cost plus appropriate share of overheads based on normal operating capacity.
(ii) Exchange differences pertaining to long term foreign currency loans (c) By products - At estimated obtained or re-financed on or before realisable value. March 31, 2016:

Net realisable value is the estimated selling price in the ordinary course of business, less estimated costs of completion and the estimated costs necessary to make the sale.

Exchange differences on long-term foreign currency monetary items relating to acquisition of depreciable assets are adjusted to the carrying cost of the assets and depreciated over the balance useful life of the assets.

The net realisable value of work-inprogress is determined with reference to the selling prices of related finished goods. Raw materials, components and other supplies held for use in the production of finished products are not written down below cost except in cases when a decline in the price of

(iii) Exchange differences pertaining to long term foreign currency loans obtained or re-financed on or after April 1, 2016:
The exchange differences pertaining to long term foreign currency loans

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materials indicates that the cost of the finished products shall exceed the net realisable value.

Company or a present obligation that is not recognised because it is not probable that an outflow of resources will be required to settle the obligation. A contingent liability also arises in extremely rare cases where there is a liability that cannot be recognised because it cannot be measured reliably. The Company does not recognize a contingent liability but discloses its existence in the financial statements unless the possibility of an outflow of resources embodying economic benefits is remote. Contingent liabilities and commitments are reviewed by the management at each balance sheet date.

The comparison of cost and net realisable value is made on an item-by-Item basis.

12 Provisions, contingent liabilities and contingent assets

Provisions

The Company recognises a provision when there is a present obligation (legal or constructive) as a result of past events and it is more likely than not that an outflow of resources would be required to settle the obligation and a reliable estimate can be made.

Contingent assets

Contingent assets are not recognised in the financial statements. However, contingent assets are assessed continually and if it is virtually certain that an inflow of economic benefits will arise, the asset and related income are recognised in the period in which the change occurs.

When the Company expects some or all of a provision to be reimbursed, for example, under an insurance contract, the reimbursement is recognised as a separate asset, but only when the reimbursement is virtually certain.

13 Revenue recognition

Revenue from sale of products is recognised upon transfer of control of products to customers at the time of shipment to or receipt of goods by the customers, as per agreed terms.

The expense relating to a provision is presented in the statement of profit and loss net of any reimbursement.

If the effect of the time value of money is material, provisions are discounted using a current pre-tax rate that reflects, when appropriate, the risks specific to the liability. When discounting is used, the increase in the provision due to the passage of time is recognised as a finance cost.

Revenues towards satisfaction of a performance obligation are measured based on the transaction price (net of variable consideration), which is the consideration, net of tax collected from customers and remitted to government authorities such as goods and services tax and applicable discounts and allowances.

Contingent liabilities

Excess of revenue earned over billings on contracts is recognised as unbilled revenue. Unbilled revenue is classified as Trade receivables when there is unconditional

Notes to the Standalone Financial Statements

for the year ended March 31, 2025 (All amounts in ` Crores, unless otherwise stated)

right to receive cash, and only passage of time is required, as per contractual terms. Advance from customers (“contract liability”) is recognised when the Company has received consideration from the customer before it delivers the goods.

tax rates expected to apply to taxable income in the years in which the temporary differences are expected to be received or settled.

Deferred tax assets and liabilities are offset if such items relate to taxes on income levied by the same governing tax laws and the Company has a legally enforceable right for such set off.

Other operating revenue includes revenue from various ancillary revenue generating activities like Scrap sales and Material handling income which are recognised at a point in time, in accordance with the terms of the relevant agreements, as and when material is shipped, or services are performed.

Deferred tax assets are recognised for all deductible temporary differences and unused tax losses only if it is probable that future taxable amounts will be available to utilise those temporary differences and losses. The carrying amount of deferred tax assets is reviewed at each reporting date and reduced to the extent that it is no longer probable that sufficient taxable profit will be available to allow all or part of the deferred tax asset to be utilised. Unrecognised deferred tax assets are re-assessed at each reporting date and are recognised to the extent that it has become probable that future taxable profits will allow the deferred tax asset to be recovered.

14 Taxation

Income tax expense represents the sum of current tax and deferred tax.

a) Current tax

Current income tax assets and liabilities are measured at the best estimate of amount expected to be recovered from or paid to the taxation authorities. The tax rates and tax laws used to compute the amount are those that are enacted or substantively enacted, at the reporting date.

Deferred tax relating to items recognised outside profit or loss is recognised outside profit or loss i.e. in other comprehensive income or in equity.

Current income tax relating to items recognised outside profit or loss is recognised outside profit or loss i.e. in other comprehensive income or in equity.

Deferred tax assets/liabilities are not recognised for below mentioned temporary differences:

b) Deferred tax

Deferred tax is provided on temporary differences between the tax bases of assets and liabilities and their carrying amounts at the reporting date.

(i) At the time of initial recognition of goodwill;

Deferred tax assets and liabilities are measured using substantively enacted

(ii) Initial recognition of assets or liabilities (other than in a business combination)

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for the year ended March 31, 2025 (All amounts in ` Crores, unless otherwise stated)

Government grants related to assets are presented in the balance sheet at fair value as deferred income and are recognised in profit or loss on a systematic basis over the expected useful life of the related assets.

at the time of the transaction, (a) affects neither the accounting profit nor taxable profit or loss and (b) does not give rise to equal taxable and deductible temporary differences

Revenue from export benefits arising from duty drawback scheme, remission of duties and taxes on exported product scheme are recognized on export of goods in accordance with their respective underlying scheme at fair value of consideration received or receivable.

The Company considers whether it is probable that a taxation authority will accept an uncertain tax treatment. If the Company concludes that it is probable that the taxation authority will accept an uncertain tax treatment, the Company determines the taxable profit (tax loss), tax bases, unused tax losses, unused tax credits or tax rates consistently with the tax treatment used or planned to be used in its income tax filings. However, if the Company concludes that it is not probable that the taxation authority will accept an uncertain tax treatment, the Company reflects the effect of uncertainty in determining the related taxable profit (tax loss), tax bases, unused tax losses, unused tax credits or tax rates.

The benefit accrued under the above grants is included under the head “Revenue from Operations” under ‘Export and other incentives’.

16 Employee benefits

Short-term employee benefits

Wages and salaries including non monetary benefits that are expected to be settled within the operating cycle after the end of the period in which the related services are rendered, are measured at the undiscounted amount expected to be paid. A liability is recognised for the amount expected to be paid under short-term cash bonus, if the Company has a present legal or constructive obligation to pay this amount as a result of past service provided by the employee and the obligation can be estimated reliably.

15 Government grants

Government grants are recognised where there is reasonable assurance that the grant will be received and all attached conditions will be complied with.

A government grant that becomes receivable as compensation for expenses or losses incurred is recognised in profit or loss on a systematic basis over the periods in which the Company recognises as expenses the related costs for which the grants are intended to compensate, unless the conditions for receiving the grant are met after the related expenses have been recognised. In this case, the grant is recognised when it becomes receivable.

Defined contribution plans

Provident fund administered through Regional Provident Fund Commissioner, Superannuation Fund and Employees’ State Insurance Corporation are defined contribution schemes. Contributions to such schemes are charged to the statement of profit and loss in the year when employees

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

have rendered services entitling them to contributions. The Company has no obligation, other than the contribution payable to such schemes.

Share based payments

Equity settled share based payments to employees under SRF Long Term Share Based Incentive Plan (SRF LTIP) are measured at the fair value (which is the market price less exercise price) of the equity instruments on the grant date. This compensation expense is amortised over the remaining tenure over which the employees renders their service on a straight line basis.

Defined benefit plans

The Company has defined benefit gratuity plan and provident fund for certain category of employees administered through a recognised provident fund trust. Provision for gratuity and provident fund for certain category of employees administered through a recognised provident fund trust are determined on an actuarial basis at the end of the year and charged to Statement of Profit and Loss, other than remeasurements. The cost of providing these benefits is determined using the projected unit credit method.

17 Earnings per share

Basic earnings per share is calculated by dividing the net profit or loss for the year attributable to equity shareholders by the weighted average number of equity shares outstanding during the year.

For the purpose of calculating diluted earnings per share, the net profit or loss for the period attributable to equity shareholders and the weighted average number of shares outstanding during the period is adjusted for the effects of all dilutive potential equity shares.

Remeasurements, comprising of actuarial gains and losses and the effect of the asset ceiling, (excluding amounts included in net interest on the net defined benefit liability and return on plan assets), are recognised immediately in the balance sheet with a corresponding debit or credit to retained earnings through other comprehensive income in the period in which they occur. Remeasurements are not reclassified to statement of profit and loss in subsequent periods.

18 Cash and cash equivalents

Cash and cash equivalent in the balance sheet comprise cash at banks and on hand and short-term deposits with an original maturity of three months or less, which are subject to an insignificant risk of changes in value.

Other long-term employee benefits

19 Financial instruments

The Company also has other long-term employee benefits in the nature of compensated absences. Provision for compensated absences are determined on an actuarial basis at the end of the year and charged to Statement of Profit and Loss. The cost of providing these benefits is determined using the projected unit credit method.

A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of another entity.

Initial Recognition and measurement

Trade receivables and debt securities issued are initially recognised when they are

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Notes to the Standalone Financial Statements

for the year ended March 31, 2025 (All amounts in ` Crores, unless otherwise stated)

originated. All other financial assets and financial liabilities are initially recognised when the Company becomes a party to the contractual provisions of the instrument.

b) Contractual terms of the asset give rise on specified dates to cash flows that are solely payments of principal and interest (SPPI) on the principal amount outstanding.

A financial asset (unless it is a trade receivable without a significant financing component) or financial liability is initially measured at fair value plus or minus, for an item not at FVTPL, transaction costs that are directly attributable to its acquisition or issue. A trade receivable without a significant financing component is initially measured at the transaction price.

After initial measurement, such financial assets are subsequently measured at amortised cost using the effective interest rate (EIR) method. Amortised cost is calculated by taking into account any discount or premium on acquisition and fees or costs that are an integral part of the EIR. The EIR amortisation is included in other income in the statement of profit and loss. The losses arising from impairment are recognised in the standalone statement of profit and loss. This category generally applies to trade and other receivables.

A) Financial Assets

Classification and Subsequent measurement

For purposes of subsequent measurement, financial assets of the Company are classified in three categories:

A debt investment is measured at FVTOCI if it meets both of the following conditions and is not designated at FVTPL:

a) At amortised cost

b) At fair value through profit and loss (FVTPL)
it is held within a business model whose objective is achieved by both collecting contractual cash flows and selling financial assets; and
c) At fair value through other comprehensive income (FVTOCI)
its contractual terms give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

Financial assets are not reclassified subsequent to their initial recognition unless the Company changes its business model for managing financial assets, in which case all affected financial assets are reclassified on the first day of the first reporting period following the change in the business model.

Financial assets not classified as measured at amortised cost or FVTOCI are measured at FVTPL. Financial assets included within the FVTPL category are measured at fair value with all changes recognised in the statement of profit and loss.

Financial asset is measured at amortised cost if both the following conditions are met:

a) The asset is held within a business model whose objective is to hold assets for collecting contractual cash flows, and

Equity Instruments

All equity instruments in the scope of Ind AS 109 are measured at fair value.

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

is recognised as an additional investment (deemed contribution) by the Company.

Equity instruments which are held for trading are measured at fair value through profit and loss.

Derecognition

For all other equity instruments, the Company may make an irrevocable election to present subsequent changes in the fair value in other comprehensive income.

A financial asset (or, where applicable, a part of a financial asset) is primarily derecognised (i.e. removed from the balance sheet) when:

The Company makes such election on an instrument by instrument basis. The classification is made on initial recognition and is irrevocable.

a) The rights to receive cash flows from the asset have expired, or
b) The Company has transferred its rights to receive cash flows from the asset or has assumed an obligation to pay the received cash flows in full without material delay to a third party under a ‘pass-through’ arrangement; and either (i) the Company has transferred substantially all the risks and rewards of the asset, or (ii) the Company has neither transferred nor retained substantially all the risks and rewards of the asset, but has transferred control of the asset.

If the Company decides to classify an equity instrument as at FVTOCI, then all fair value changes on the instrument, excluding dividends, are recognised in other comprehensive income. This cumulative gain or loss is not reclassified to statement of profit and loss on disposal of such instruments.

Investments in Subsidiaries which meet the definition of an equity instrument or provide access to returns associated with an underlying ownership interest are carried at cost less accumulated impairment losses. Where an indication of impairment exists, the carrying amount of the investment is assessed and written down immediately to its recoverable amount. On disposal of investments in subsidiaries, the difference between net disposal proceeds and the carrying amounts are recognized in the Standalone Statement of Profit and Loss.

When the Company has transferred its rights to receive cash flows from an asset or has entered into a pass-through arrangement, it evaluates if and to what extent it has retained the risks and rewards of ownership. When it has neither transferred nor retained substantially all of the risks and rewards of the asset, nor transferred control of the asset, the Company continues to recognise the transferred asset to the extent of the Company’s continuing involvement. In that case, the Company also recognises an associated liability. The transferred asset and the associated liability are measured on a basis that reflects the rights and obligations that the Company has retained.

Investments in Subsidiaries which do not meet the definition of an equity instrument or provide access to returns associated with an underlying ownership interest in subsidiaries are accounted as financials instruments and initially recognised at its fair value. The difference, if any, between the fair value and the consideration given

Continuing involvement that takes the form of a guarantee over the transferred

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for the year ended March 31, 2025 (All amounts in ` Crores, unless otherwise stated)

and informed credit assessment, that includes forward-looking information. The Company considers a financial asset to be in default when the asset is unlikely to be realised in full.

asset is measured at the lower of the original carrying amount of the asset and the maximum amount of consideration that the Company could be required to repay. Any gain or loss on derecognition is recognised in profit or loss.

Credit Impaired Financial Assets

When the Company has retained substantially all the risks and rewards of ownership of the transferred asset, the Company continues to recognise the transferred asset in its entirety and recognises a financial liability for the consideration received.

At each reporting date, the Company assesses whether financial assets carried at amortised cost and debt securities at FVTOCI are credit-impaired. A financial asset is ‘credit-impaired’ when one or more events that have a detrimental impact on the estimated future cash flows of the financial asset have occurred.

Impairment of financial assets

Evidence that a financial asset is credit-impaired includes the following observable data:

The Company recognizes loss allowance using the expected credit loss (ECL) model for the financial assets which are not fair valued through profit or loss. Loss allowance for trade receivables and contract assets with no significant financing component is measured at an amount equal to lifetime ECL. For all financial assets with contractual cash flows other than trade receivable and contract assets, ECLs are measured at an amount equal to the 12-month ECL, unless there has been a significant increase in credit risk from initial recognition in which case those are measured at lifetime ECL. The amount of ECL (or reversal) that is required to adjust the loss allowance at the reporting date is recognised as an impairment gain or loss in the Statement of Profit and Loss.

significant financial difficulty of the debtor;
a breach of contract such as a default; or
it is probable that the debtor will enter bankruptcy or other financial reorganisation
Presentation of allowance for ECL in the balance sheet

Loss allowances for financial assets measured at amortised cost are deducted from the gross carrying amount of the assets.

Write Off

The gross carrying amount of a financial asset is written off when the Company has no reasonable expectations of recovering a financial asset in its entirety or a portion thereof. However, financial assets that are written off could still be subject to enforcement activities in order to comply with the Company’s procedures for recovery of amounts due.

When determining whether the credit risk of a financial asset has increased significantly since initial recognition and when estimating ECLs, the Company considers reasonable and supportable information that is relevant and available without undue cost or effort. This includes both quantitative and qualitative information and analysis, based on the Company’s historical experience

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

specified entity fails to make a payment when due in accordance with the terms of a debt instrument. Financial guarantee contracts are recognised initially as a liability at fair value, adjusted for transaction costs that are directly attributable to the issuance of the guarantee. Where premiums are received on initial recognition, liability is recognized on a net basis.

B) Financial liabilities and Equity instruments

Initial recognition and measurement

All financial liabilities are recognised initially at fair value, net of directly attributable transaction costs, if any.

The Company’s financial liabilities includes borrowings, trade and other payables including financial guarantee contracts and derivative financial instruments.

Derecognition

A financial liability is derecognised when the obligation under the liability is discharged or cancelled or expires. When an existing financial liability is replaced by another from the same lender on substantially different terms, or the terms of an existing liability are substantially modified, such an exchange or modification is treated as the derecognition of the original liability and the recognition of a new liability. The difference in the respective carrying amounts is recognised in the statement of profit and loss.

Subsequent measurement

(i) Borrowings

Borrowings are subsequently measured at amortised cost. Any differences between the proceeds (net of transaction costs) and the redemption/repayment amount is recognised in profit and loss over the period of the borrowings using the effective interest rate method.

(ii) Trade and other payables

Trade and other payables represent liabilities for goods and services provided to the Company prior to the end of the financial year and which are unpaid.

Equity instrument

Equity instruments are any contract that evidences a residual interest in the assets of an entity after deducting all of its liabilities.

Debt or equity instruments issued by the Company are classified as either financial liabilities or as equity in accordance with the substance of the contractual arrangements and the definitions of a financial liability and an equity instrument.

Offsetting of financial instruments

Financial assets and financial liabilities are offset and the net amount is reported in the balance sheet if there is a currently enforceable legal right to offset the recognised amounts and there is an intention to settle on a net basis, to realise the assets and settle the liabilities simultaneously.

20 Derivative and non derivative financial instruments and hedge accounting

Initial recognition and subsequent measurement

Financial guarantee contracts

Financial guarantee contracts issued by the Company are those contracts that require a payment to be made to reimburse the holder for a loss it incurs because the

The Company uses derivative financial instruments (such as forward currency contracts, interest rate swaps and full currency swaps) or non derivative

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Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

financial assets / liabilities to hedge its foreign currency risks and interest rate risks. The Company has opted for “Hedge Accounting” for all its derivative as well as non-derivative financial instrument used for hedging. Accordingly, at the inception of the hedge the Company formally designates a hedge relationship between the ‘hedging instrument’ and ‘hedged item’ which determine the initial recognition of the financial instrument as Fair Value Hedge or Cashflow hedge. The documentation includes the Company’s risk management objective and strategy for undertaking hedge, the hedging/ economic relationship, the hedged item or transaction, the nature of the risk being hedged and how the entity will assess the effectiveness of changes in the hedging instrument’s fair value in offsetting the exposure to changes in the hedged item’s fair value or cash flows attributable to the hedged risk. The Company determines the existence of an economic relationship between the hedging instrument and hedged item based on the currency/reference interest rates, contract amount and timing of their respective cash flows. The Company assesses whether the derivative designated in each hedging relationship is expected to be and has been effective in offsetting changes in cash flows of the hedged item using the hypothetical derivative method. In these hedge relationships, the main expected sources of ineffectiveness are:

the effect of the counterparties’ and the Company’s own credit risk on the fair value of the forward foreign exchange contracts or swaps, which is not reflected in the change in the fair value of the hedged cash flows attributable to the change in exchange rates or interest rates and
changes in the timing of the hedged transactions

Hedges that meet the strict criteria for hedge accounting are accounted for, as described below:

Hedges entered into by the Company are expected to be highly effective in achieving offsetting changes in fair value or cash flows and are assessed on an ongoing basis to determine that they actually have been highly effective throughout the financial reporting periods for which they were designated. These financial instruments are initially recognised at fair value on the date on which a derivative contract is entered into and are subsequently re-measured at fair value. Derivatives are carried as financial assets when the fair value is positive and as financial liabilities when the fair value is negative.

Fair value hedges

The change in the fair value of a hedging instrument is recognised in the statement of profit and loss. The change in the fair value of the hedged item attributable to the risk hedged is recorded as part of the carrying value of the hedged item and is also recognised in the statement of profit and loss.

If the hedged item is derecognised, the unamortised fair value is recognised immediately in profit or loss. When an unrecognised firm commitment is designated as a hedged item, the subsequent cumulative change in the fair value of the firm commitment attributable to the hedged risk is recognised as an asset or liability with a corresponding gain or loss recognised in statement of profit and loss.

Any gains or losses arising from changes in the fair value of derivatives are taken directly to profit or loss, except for the effective portion of cash flow hedges, which is recognised in OCI and later reclassified to profit and loss when the hedge item affects profit or loss.

Cash flow hedges

The effective portion of the gain or loss on the hedging instrument is recognised in other comprehensive income in the cash flow hedge reserve, while any ineffective portion is recognised immediately in the statement of profit and loss.

For the purpose of hedge accounting,

hedges are classified as:

a) Fair value hedges when hedging the exposure to changes in the fair value of a recognised asset or liability.

exposure to changes in the fair value The Company uses forward currency contracts as hedges of its exposure to of a recognised asset or liability. foreign currency risk in forecast transactions b) Cash flow hedges when hedging the and firm commitments. The ineffective exposure to variability in cash flows portion relating to foreign currency contracts is recognised in the statement that is either attributable to a particular of profit and loss. In some cases, the risk associated with a recognised asset Company separates the premium element or liability or a highly probable forecast and the spot element of a forward contract transaction or the foreign currency risk and designates only the change in fair value in an unrecognised firm commitment. of the spot element of forward exchange contracts as the hedging instrument in

cash flow hedging relationships. In such cases, the changes in the fair value of the premium element of the forward contract or the foreign currency basis spread of the financial instrument is accumulated in a separate component of equity as ‘cost of hedging’. The changes in the fair value of such premium element or foreign currency basis spread are reclassified to profit or loss as a reclassification adjustment on a straight-line basis over the period of the forward contract or the financial instrument.

The Company also designates non derivative financial liabilities, such as foreign currency borrowings from banks, as hedging instruments for the hedge of foreign currency risk associated with highly probable forecasted transactions and, accordingly, applies cash flow hedge accounting for such relationships.

Amounts recognised as other comprehensive income are transferred to profit or loss when the hedged transaction affects profit or loss, such as when the hedged financial income or financial expense is recognised or when a forecast transaction occurs.

If the hedging instrument expires or is sold, terminated or exercised without replacement or rollover (as part of the hedging strategy), or if its designation as a hedge is revoked, or when the hedge no longer meets the criteria for hedge accounting, the hedge accounting will be discontinued prospectively. Any cumulative gain or loss previously recognised in other comprehensive income remains separately in other equity if the forecast transaction or the foreign currency firm commitment is expected to occur else the amount shall be immediately reclassified from the cash flow hedge reserve to profit or loss as a reclassification adjustment.

260

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ANNUAL REPORT 2024-25

Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

statements are categorised within the fair value hierarchy, described as follows, based on the lowest level input that is significant to the fair value measurement as a whole:

21 Fair value measurement

The Company measures some of its financial instruments at fair value at each balance sheet date.

a) Level 1 — Quoted (unadjusted) market prices in active markets for identical assets or liabilities.

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value measurement is based on the presumption that the transaction to sell the asset or transfer the liability takes place either:

b) Level 2 — Inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices).
a) In the principal market for the asset or liability, or
c) Level 3 — Inputs for the asset or liability that are not based on observable market data (unobservable inputs).
b) In the absence of a principal market, in the most advantageous market for the asset or liability.

For assets and liabilities that are recognised in the financial statements on a recurring basis, the Company determines whether transfers have occurred between levels in the hierarchy by re-assessing categorisation (based on the lowest level input that is significant to the fair value measurement as a whole) at the end of each reporting period.

The principal or the most advantageous market must be accessible by the Company. The fair value of an asset or a liability is measured using the assumptions that market participants would use when pricing the asset or liability, assuming that market participants act in their economic best interest. A fair value measurement of a non-financial asset takes into account a market participant’s ability to generate economic benefits by using the asset in its highest and best use or by selling it to another market participant that would use the asset in its highest and best use. The Company uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, maximising the use of relevant observable inputs and minimising the use of unobservable inputs. All assets and liabilities for which fair value is measured or disclosed in the financial

For the purpose of fair value disclosures, the Company has determined classes of assets and liabilities on the basis of the nature, characteristics and risks of the asset or liability and the level of the fair value hierarchy as explained above.

22 Segment Reporting

Based on “Management Approach” as defined in Ind AS 108 - Operating Segments, the Chief Operating Decision Maker evaluates the Company’s performance and allocates the resources based on an analysis of various performance indicators by business segments. Inter segment sales and transfers are reflected at market prices.

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

sheet. Property, plant and equipment and intangible assets once classified as held for sale are not depreciated or amortised.

Unallocable items includes general corporate income and expense items which are not allocated to any business segment.

Segment Policies:

A discontinued operation is a component of the Company that either has been disposed of, or is classified as held for sale, and:

The Company prepares its segment information in conformity with the accounting policies adopted for preparing and presenting the standalone financial statements of the Company as a whole. Common allocable costs are allocated to each segment on an appropriate basis.

a) Represents a separate major line of business or geographical area of operations,
b) Is part of a single co-ordinated plan to dispose of a separate major line of business or geographical area of operations, or

23 Dividend

The Company recognises a liability to make cash distributions to equity holders when the distribution is authorised and the distribution is no longer at the discretion of the Company. As per the corporate laws in India, a distribution is authorised when it is approved by the shareholders. A corresponding amount is recognised directly in equity.

c) Is a subsidiary acquired exclusively with a view to resale.

Discontinued operations are excluded from the results of continuing operations and are presented separately in the statement of profit and loss.

24 Non-current assets held for sale and discontinued operations

25 Interest and dividend income

Interest income is recognised when it is probable that the economic benefits will flow to the Company using the effective interest rate method. The ‘effective interest rate’ is the rate that exactly discounts estimated future cash payments or receipts through the expected life of the financial instrument to the gross amount of the financial asset or the amortised cost of the financial liability. The effective interest income is accrued on a time basis, by reference to the principal outstanding.

Non-current assets (or disposal groups) are classified as held for sale if their carrying amounts will be recovered principally through a sale transaction rather than through continuing use. The appropriate level of management must be committed to a plan to sell, an active programme to locate a buyer and complete the plan has been initiated, the sale is considered highly probable and is expected within one year from the date of classification.

Non-current assets (or disposal groups) held for sale are measured at the lower of their carrying amount and fair value less costs to sell. Assets and liabilities classified as held for sale are presented separately from other assets and liabilities in the balance

Dividend income from investments is recognised when the shareholder’s right to receive payment has been established (provided that it is probable that the economic benefits will flow to the Company

262 ANNUAL REPORT 2024-25

263

ANNUAL REPORT 2024-25

Corporate Our Statutory Financial 02 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

and the amount of income can be measured reliably).

A) Judgements

Classification and lease term determination of leasing arrangement – Note 1.B.8
26 Ministry of Corporate Affairs (“MCA”) notifies new standards or amendments to the existing standards under Companies (Indian Accounting Standards) Rules as issued from time to time. On 7 May 2025, MCA issued the Companies (Indian Accounting Standards) Amendment Rules, 2025, which made certain amendments to Ind AS 21 The Effects of Changes in Foreign Exchange Rates, effective from 1 April 2025. These amendments define currency exchangeability, provide guidance on estimating spot exchange rates when a currency is not exchangeable and include related disclosure requirements. The Company does not expect this amendment to have any significant impact in its financial statements.
Derecognition of trade receivables and hedge effectiveness - Note 1.B.19 and Note 1.B.20
Reverse factoring: presentation of amounts related to supply chain financing arrangements in the balance sheet and in the statement of cash flows - Note 18
Assessment of Uncertain Tax Treatements - Note 1.B.14
Assessment of classification and recognition of government grants - Note 1.B.15
B) Assumptions and Estimation uncertainties
Fair value measurement of derivative instruments – Note 1.B.21

C SIGNIFICANT ACCOUNTING JUDGEMENTS,

ESTIMATES AND ASSUMPTIONS

Assessment of useful life of property, plant and equipment and intangible asset – Note 1.B.4 and Note 1.B.5

The preparation of financial statements requires management to make judgments, estimates and assumptions that affect the application of accounting policies and the reported amounts of assets, liabilities, income and expenses. Actual results may differ from these estimates.

Recognition and estimation of tax expense including determination of applicable tax rate for measuring deferred tax balances – Note 1.B.14
Estimation of assets and obligations relating to employee benefits (including actuarial assumptions) – Note 1.B.16

Judgements, estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimates are revised and in any future periods affected. In particular, information about significant areas of estimation, uncertainty and critical judgments in applying accounting policies that have the most significant effect on the amounts recognised in the financial statements is included in the following notes.

Assessment of impairment of financial assets and non-financial assets – Note 1.B.19 and Note 1.B.7
Recognition and measurement of contingencies: key assumptions about the likelihood and magnitude of an outflow of resources – Note 1.B.12

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

2 PROPERTY, PLANT AND EQUIPMENT

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----- Start of picture text -----

Particulars Freehold Roads Buildings Plant and Furniture Office Vehicles Total
land equipment and fixtures equipment
Cost
----- End of picture text -----

Cost
Balance at April 1, 2023	321.87	89.19	902.55	8,219.93	31.72	83.54	67.91	9,716.71
Additions / adjustments	6.25	32.96	140.26	3,047.89	8.00	37.43	26.91	3,299.70
Disposals / adjustments Balance at March 31, 2024	(2.01) 326.11	(0.99) 121.16	(1.99) 1,040.82	(19.73) 11,248.09	(0.62) 39.10	(3.63) 117.34	(14.15) 80.67	(43.12) 12,973.29
Additions / adjustments	0.47	2.02	25.08	940.02	1.36	24.32	21.95	1,015.22
Disposals / adjustments	-	-	(1.18)	(23.95)	(0.48)	(5.75)	(13.19)	(44.55)
Balance at March 31, 2025 Accumulated depreciation Balance at April 1, 2023 Depreciation expenses	326.58 - -	123.18 11.44 2.32	1,064.72 151.50 27.33	12,164.16 2,152.12 460.59	39.98 14.70 3.13	135.91 46.75 10.19	89.43 30.95 12.43	13,943.96 2,407.46 515.99
Disposals / adjustments	-	(0.21)	(0.23)	(12.76)	(0.54)	(3.16)	(11.46)	(28.36)
Balance at March 31, 2024 Depreciation expenses	- -	13.55 2.74	178.60 28.71	2,599.95 527.20	17.29 3.50	53.78 13.86	31.92 16.26	2,895.09 592.27
Disposals / adjustments	-	-	(0.19)	(11.34)	(0.33)	(5.47)	(9.07)	(26.40)
Balance at March 31, 2025 Net block	-	16.29	207.12	3,115.81	20.46	62.17	39.11	3,460.96
Balance at March 31, 2024	326.11	107.61	862.22	8,648.14	21.81	63.56	48.75	10,078.20
Balance at March 31, 2025	326.58	106.89	857.60	9,048.35	19.52	73.74	50.32	10,483.00

Notes:

(i) Borrowing cost capitalised during the year (net of interest income) is 33.19 crores (Previous year: 59.52 crores) with a capitalisation rate ranging from 4.33% to 6.39% (Previous year: 3.09% to 6.71%).
(ii) The industrial freehold land measuring 32.41 acres at the Company’s plant in Gummudipoondi, Tamil Nadu had been acquired by the Company w.e.f. January 01, 2001 pursuant to a scheme of amalgamation sanctioned by the Hon’ble High court of Judicature at Madras and the Hon’ble High court of Delhi. Out of the said land, there is a dispute on a land parcel of 2.74 acres. Based on the legal documentation available, the Company is of the view that it has an acceptable title, and the said dispute is not tenable.
(iii) Capital expenditure incurred during the year includes 19.68 crores (Previous year: 20.46 crores) on account of research and development. Depreciation for the year includes depreciation of 17.06 crores (previous year: 14.56 crores), on assets deployed in research and development as per note 40 (a) below.
(iv) Refer to note 15.1 for information on PPE pledged as security by the Company.
(v) Refer to note 40(c) for additions / adjustments on account of exchange differences during the year.
(vi) During the previous year, certain items of property, plant and equipment with written down value of ` 1.34 crores have been charged to the standalone statement of profit and loss on account of damages due to cyclone / flood in the state of Tamil Nadu. Refer to note 40 (g)
(vii) Capital Work in Progress

	Particulars	As at March 31, 2025	As at March 31, 2024
	Opening Balance Additions during the year Less: Amounts capitalised duringtheyear Closing Balance*	744.79 972.34 1,015.22 701.91	2,128.95 1,915.54 3,299.70 744.79

The Company accounts for all capitalisation of property, plant and equipment through Capital Work in Progress and therefore the movement in Capital Work in Progress is the difference between closing and opening balance of Capital Work in Progress as adjusted for additions in property, plant and equipment.

264

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ANNUAL REPORT 2024-25

Corporate Our Statutory Financial 02 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Standalone Financial Statements for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

3 CAPITAL WORK-IN-PROGRESS (CWIP)

(i) Ageing of capital work-in-progress :

Projects in progress As at March 31, 2025 As at March 31,2024	Amount in CWIP for aperiod of
	Less than 1year 1 - 2 years 2 - 3 years More than 3years Total
	590.62 80.52 22.51 8.26 701.91 616.57 118.97 5.14 4.11 744.79

(ii) CWIP completion schedule for capital work-in-progress whose completion is overdue or has exceeded its cost compared to its original plan :

Projects in progress New facility to produce agrochemical intermediate product Project for electrical Line Connection Others *	As at March 31, 2025
	To be completed in
	Less than 1year 1 - 2 years 2 - 3 years More than 3years
	48.06 - - - 19.09 - - - 37.14 - - -
	104.29 - - -

Projects in progress Backward Integration plant for fuorocarbon refrigerant gases Project for electrical Line Connection Others *	As at March 31, 2024
	To be completed in
	Less than 1year 1 - 2 years 2 - 3 years More than 3years
	341.19 - - - 36.00 - - - 76.17 - - -
	453.36 - - -

Comprise projects not considered material at an individual level. Also refer note no. 2 (vii)

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

4 OTHER INTANGIBLE ASSETS

Particulars	Trade Marks/ Brands	Technical Knowhow	Software	Others	Total
Cost
Balance at April 1, 2023	73.25	55.19	35.62	19.39	183.45
Additions / adjustments	-	5.38	8.45	-	13.83
Disposals	-	-	(2.37)	-	(2.37)
Balance at March 31, 2024	73.25	60.57	41.70	19.39	194.91
Additions / adjustments	-	-	1.58	-	1.58
Disposals	-	-	-	-	-
Balance at March 31, 2025	73.25	60.57	43.28	19.39	196.49
Accumulated amortisation
Balance at April 1, 2023	19.83	11.05	27.84	18.65	77.37
Amortisation expenses	2.45	1.76	3.89	0.05	8.15
Disposals	-	-	(2.37)	-	(2.37)
Balance at March 31, 2024	22.28	12.81	29.36	18.70	83.15
Amortisation expenses	2.45	1.84	3.91	0.05	8.25
Disposals	-	-	-	-	-
Balance at March 31, 2025	24.73	14.65	33.27	18.75	91.40
Net Block
Balance at March 31, 2024	50.97	47.76	12.34	0.69	111.76
Balance at March 31, 2025	48.52	45.92	10.01	0.64	105.09
INVESTMENTS
			As at March 31, 2025 As at March 31, 2024
Non-current
Investment in subsidiary companies (at cost)				626.78	508.66
Investment designated at fair value through other comprehensive
income
(i) Investment in equity instruments				0.05	0.05
Investments at amortised cost
(i) Investment in equity instruments				6.09	2.50
(ii) Investment in optionally convertible debentures				-	2.56
(iii) Investment in bonds				50.11	50.11
Investment mandatory at fair value through proft and loss
(i) Investment in bonds				66.50	65.89
(ii)Investment in subsidiary				33.01	-
				782.54	629.77

5 INVESTMENTS

266 ANNUAL REPORT 2024-25

ANNUAL REPORT 2024-25 267

Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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As at As at
March 31, 2025 March 31, 2024
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Aggregate book value of unquoted investments	665.93	513.77
Aggregate amount of impairment in value of investments	4.34	4.34
Aggregate book value of quoted investments	116.61	116.00
Aggregate market value of quoted investments	117.29	116.18
Current
Investment mandatory at fair value through proft and loss
(i) Investment in mutual funds	704.53	321.14
(ii)Investment in bonds	-	84.44
	704.53	405.58
Aggregate book value and market value of quoted investments	-	84.44
Aggregate book value and market value of unquoted investments	704.53	321.14

A Non-current investments

5.1 Investment in subsidiaries (at cost)

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As at March 31, 2025 As at March 31, 2024
Number Amount Number Amount
----- End of picture text -----

Unquoted investments (Non-current)
Equity shares of`10 each fully paid up of SRF	4,300,000	4.30	4,000,000	4.00
Holiday Home Limited (A wholly owned subsidiary)
Equity shares of Euro 100 each fully paid up of SRF	128,920	79.60	128,920	79.60
Global BV (A wholly owned subsidiary)
Equity shares of`10 each fully paid up of SRF	425,000,000	542.82	425,000,000	425.00
Altech Limited (A wholly owned subsidiary), including
deemed contribution (Also refer Note 5.4(ii) & Note
32)
Contribution in SRF Employees Welfare Trust	-	0.06	-	0.06
(Controlled trust)
		626.78		508.66

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

5.2 Investment designated at fair value through other comprehensive income

(i) Investments in equity instruments

	As at March 31, 2025 As at March 31, 2024
	Number Amount Number Amount
Unquoted investments Equity shares of`10 each fully paid up of<br>Malanpur Captive Power Limited<br>Less: impairment in value of investments<br>Equity shares of`10 each fully paid of Vaayu Renewable Energy (Tapti) Private Limited Equity shares of`10 each fully paid up of Sanghi Spinners India Limited Less: impairment in value of investment	4,221,535 4.22 4,221,535 4.22 (4.22) (4.22) 50,000 0.05 50,000 0.05 670,000 0.12 670,000 0.12 - (0.12) - (0.12)
	0.05 0.05

5.3 Investments at amortised cost

(i) Investment in equity instruments*

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As at March 31, 2025 As at March 31, 2024
Number Amount Number Amount
----- End of picture text -----

Unquoted investments
Equity shares of`10 each fully paid up of	600,000	0.17	600,000	0.16
Watsun Infrabuild Private Limited #
Equity shares of`10 each fully paid up of	6,809,261	1.94	5,515,661	1.44
Dalavaipuram Renewables Private Limited #
Equity shares of`10 each fully paid up of	13,915,200	3.98	3,437,917	0.90
Continuum MP Windfarm Development Private
Limited #
		6.09		2.50

Based on terms of the arrangement, investments in these parties have been considered as debt instruments and measured at amortised cost

Measured at fair value on intial transaction date with interest being accreted at each reporting date

(ii) Investment in optionally convertible debentures

	As at March 31, 2025 As at March 31, 2024
	Number Amount Number Amount
Unquoted investments 0% Optionally Convertible Debentures of`10 each fully paid up of Continuum MP Windfarm Development Private Limited #	- - 9,780,283 2.56
	- 2.56

Measured at fair value on intial transaction date. The debentures have been converted to equity shares during the current year.

268 ANNUAL REPORT 2024-25

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Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

(iii) Investment in bonds

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As at March 31, 2025 As at March 31, 2024
Number Amount Number Amount
----- End of picture text -----

Quoted investments
8.40% HDB Financial Services Limited 2033 of	3,500	35.07	3,500	35.07
`100,000 each
8.60% Cholamandalam Investment and	150,000	15.04	150,000	15.04
Finance Company Limited 2029 of`1,000
each
		50.11		50.11

5.4 Investment mandatory at fair value through profit and loss

(i) Investment in bonds

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As at March 31, 2025 As at March 31, 2024
Number Amount Number Amount
----- End of picture text -----

Quoted investments
8.34% State Bank of India Perpetual Bonds of	46	47.22	46	46.83
`10,000,000 each
8.55% Punjab National Bank Perpetual Bonds	19	19.28	19	19.06
of`10,000,000 each
		66.50		65.89

(i) Investment in Debt Instrument of subsidiary

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As at March 31, 2025 As at March 31, 2024
Number Amount Number Amount
----- End of picture text -----

Unquoted investments
8% Non-convertible Non-cumulative	150,000,000	150.83	-	-
Redeemable Preference shares of`10 each
fully paid up of SRF Altech Limited (A wholly
owned subsidiary)*
Less: Equity component of Investment (Also		(117.82)		-
refer Note 5.1 & Note 32)
		33.01		-

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

B Current investments

5.5 Investment mandatory at fair value through profit and loss

(i) Investment in mutual funds

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As at March 31, 2025 As at March 31, 2024
Number Amount Number Amount
----- End of picture text -----

Unquoted investments
ICICI Prudential P1543 Floating Interest Fund-	3,612,365	149.98	3,612,365	138.95
Growth Plan
ICICI Prudential Liquid Fund- Growth Plan	1,580,334	60.10	-	-
Axis Liquid Fund - Regular Growth Plan	703,510	201.20	457,111	121.79
UTI Liquid Fund - Regular Growth Plan	357,101	150.48	25,664	10.08
HDFC Liquid Fund - Regular Growth Plan	-	-	107,121	50.32
HDFC Gilt Fund - Growth- Plan	2,005,085	10.96	-	-
Kotak Dynamic Bond - Regular Growth Plan	7,379,008	27.21	-	-
Kotak Liquid Fund - Regular Growth Plan	96,490	50.09	-	-
SBI Magnum Gilt Fund - Regular Growth Plan	4,187,964	27.36	-	-
SBI Dynamic Bond Fund - Regular Growth Plan	7,730,791	27.15	-	-
		704.53		321.14

(ii) Investment in bonds

	As at March 31, 2025 As at March 31, 2024
	Number Amount Number Amount
Quoted investments 8.99% Bank of Baroda Perpetual Bonds 2024 of`10,00,000 each<br>8.50% State Bank of India Perpetual Bonds<br>2024 of`10,00,000 each 8.50% State Bank of India Perpetual Bonds 2025 of`10,00,000 each	- - 550 54.82 - - 248 24.65 - - 50 4.97
	- 84.44

Closing amounts include interest accreted

270 ANNUAL REPORT 2024-25

ANNUAL REPORT 2024-25 271

Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Standalone Financial Statements for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

6 LOANS

(unsecured and considered good, unless otherwise stated)

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As at As at
March 31, 2025 March 31, 2024
----- End of picture text -----

Non- current
Loans to ofcers *	29.34	29.61
Loans to employees	22.72	20.43
	52.06	50.04
Current
Loans to subsidiaries (Refer note 40(d)(iii))	129.00	310.15
Loans to ofcers *	0.84	1.08
Loans to employees	12.63	10.82
Others (other than related parties)
Credit impaired	2.74	2.74
Less : Loss Allowance	(2.74)	(2.74)
	142.47	322.05

Officers as defined under sec 2 (59) of the Companies Act 2013

7 OTHER FINANCIAL ASSETS

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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As at As at
March 31, 2025 March 31, 2024
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Cu	rrent
Derivatives carried at fair value through proft and loss
-	Forward exchange contracts used for hedging	1.64	0.25
Derivatives carried at fair value through other comprehensive
income
-	Forward exchange contracts used for hedging	6.13	20.29
Other fnancial assets carried at amortised cost
-	Government grants and duty rebate recoverable *	27.74	104.09
-	Claims recoverable
	Insurance claim recoverable	20.15	27.66
	Vendor claim recoverable	17.66	9.42
-	Deposit with Non Banking Financial Company (NBFC)	75.00	25.00
-	Security deposits
	Other than related parties	1.11	1.08
-	Interest receivable from related parties	2.23	5.69
-	Others	6.97	8.00
		158.63	201.48

Also refer footnotes to note 21

(unsecured and considered good, unless otherwise stated)

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As at As at
March 31, 2025 March 31, 2024
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Non-Current	Non-Current
Derivatives carried at fair value through other comprehensive
income
-	Forward exchange contracts used for hedging	5.17	27.74
Other fnancial assets carried at amortised cost
-	Government grants recoverable *	85.34	110.01
-	Deposit accounts with maturity beyond twelve months	0.07	0.20
-	Security deposits
	Related parties (Refer note 32)	4.58	4.48
	Other than relatedparties	42.71	48.05
		137.87	190.48

8 OTHER ASSETS

(unsecured and considered good, unless otherwise stated)

	As at March 31, 2025	As at March 31, 2024
Non-Current
Capital advances	132.32	58.32
Prepaid expenses	14.63	17.09
Goods and services tax and other taxes/duties paid under protest	38.67	38.50
Others	0.11	0.32
	185.73	114.23
Current
Prepaid expenses	31.47	26.39
Goods and services tax recoverable	87.78	94.95
Export incentives recoverable	24.04	19.56
Deposits with customs and excise authorities	16.38	19.01
Advance to suppliers	92.68	75.50
Others	0.94	16.42
	253.29	251.83

272 ANNUAL REPORT 2024-25

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Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Standalone Financial Statements for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

9 INVENTORIES

(Valued at lower of cost and net realisable value)

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As at As at
March 31, 2025 March 31, 2024
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Raw material (including packing material)	745.75	841.22
Stock in progress	270.15	233.47
Finished goods	391.14	456.53
Stores and spares (including fuel)	385.06	362.44
Tradedgoods	12.78	7.35
	1,804.88	1,901.01
Goods-in-transit included above :
Raw material (including packing material)	206.78	256.40
Stock in progress	2.44	-
Finished goods	64.68	52.72
Stores and spares (including fuel)	2.68	2.02
Tradedgoods	7.36	3.74
	283.94	314.88

Notes

(i) The cost of inventories recognised as an expense includes 5.37 crores (Previous year: 19.46 crores) in respect of write-downs of inventory to net realisable value. The write downs is included in “Changes in inventories of finished goods, work-in-progress and stock-in-trade”.
(ii) Refer Note 15.1 for information on inventories pledged as security by the Company.
(iii) The method of valuation of inventories has been stated in note 1.B.11
(iv) Inventories amounting to 2.48 crores (Previous year: 37.50 crores) have been charged to the standalone statement of profit and loss on account of damage due to cyclone / flood in the state of Tamil Nadu (Refer to note 40(g)).

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

(ii) Ageing of receivables :

Outstanding for following periods from due date of payment	As at March 31, 2025
	Undisputed trade receivables - considered good Undisputed trade receivables - credit impaired Undisputed trade receivables - which have signifcant increase in credit risk Disputed trade receivables - considered good Disputed trade receivables - credit impaired Disputed trade receivables - which have signifcant increase in credit risk Total
Unbilled revenue Not due Less than 6 months 6 months - 1 year 1 - 2 years 2 - 3 years More than 3 years	17.60 17.60 1,480.15 - - - - - 1,480.15 265.82 - - - - - 265.82 1.57 0.35 - - - - 1.92 - 0.94 - - - - 0.94 - 0.40 - - - - 0.40 - 0.94 - - - - 0.94
	1,765.14 2.63 - - - - 1,767.77

Outstanding for following periods from due date of payment	As at March 31, 2024
	Undisputed trade receivables - considered good Undisputed trade receivables - credit impaired Undisputed trade receivables - which have signifcant increase in credit risk Disputed trade receivables - considered good Disputed trade receivables - credit impaired Disputed trade receivables - which have signifcant increase in credit risk Total
Not due Less than 6 months 6 months - 1 year 1 - 2 years 2 - 3 years More than 3 years	1,384.42 - - - - - 1,384.42 153.58 - - - - - 153.58 - 0.03 - - - - 0.03 - 0.18 - - - - 0.18 - 0.06 - - - - 0.06 - 1.52 - - - - 1.52
	1,538.00 1.79 - - - - 1,539.79

10 TRADE RECEIVABLES

	As at March 31, 2025	As at March 31, 2024
Unsecured, considered good	1,765.14	1,538.00
Unsecured, credit impaired	2.63	1.79
Less: Loss allowance	(2.63)	(1.79)
	1,765.14	1,538.00

Notes

(i) The credit period generally allowed on sales varies, on a case to case basis, and from business to business and is based on market conditions. Generally credit period allowed is upto 120 days.
(iii) The Company has entered into receivables purchase agreements with banks to unconditionally and irrevocably sell, transfer, assign and convey all the rights, titles and interest of the Company in the receivables as identified. Discounted receivables as on March 31, 2025 are of 1143.07 crores (Previous year: 790.27 crores). The Company has derecognized these receivables as it has transferred its contractual rights to the banks with substantially all the risks and rewards of ownership and retains no control over these receivables as the banks have the right to further sell and transfer these receivables with notice to the Company.
(iv) At March 31, 2025, the carrying amount of the receivable from the Company’s most significant customer was 104.96 crores (Previous year: 124.92 crores )
(v) Refer Note 15.1 for information on trade receivables pledged as security by the Company.
(vi) Refer Note 32.3 for trade receivables from related parties.

274

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Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

11 CASH AND CASH EQUIVALENTS

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As at As at
March 31, 2025 March 31, 2024
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Balances with banks
Current accounts	221.94	163.89
Exchange earners foreign currency (EEFC) accounts	30.78	34.11
Deposit accounts with original maturity of three months or less	60.50	163.14
Cash on hand	0.63	0.63
	313.85	361.77

12 BANK BALANCES OTHER THAN ABOVE

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As at As at
March 31, 2025 March 31, 2024
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Earmarked balances
- Margin money	1.01	1.44
- Unclaimed dividend accounts	6.80	6.55
- Unspent CSR account (refer Note 40(f)) Other deposit accounts - Deposit accounts with original maturity beyond three months upto twelve months	7.01 0.43	- 0.22
	15.25	8.21

13 SHARE CAPITAL

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As at As at
March 31, 2025 March 31, 2024
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Authorised share capital:
320,000,000 (Previous Year - 320,000,000) Equity shares of`10	320.00	320.00
each
1,000,000 (Previous Year - 1,000,000) Preference shares of`100	10.00	10.00
each
1,200,000 (Previous Year - 1,200,000) Cumulative Preference	6.00	6.00
shares of`50 each
	336.00	336.00
Issued share capital:
300,481,580 (Previous Year - 300,481,580 ) Equity Shares of`10	300.48	300.48
each
Subscribed capital:
296,424,825 (Previous Year - 296,424,825) Equity Shares of`10	296.42	296.42
each fully paid up
Add: Forfeited shares - Amount originally paid up	1.02	1.02
	297.44	297.44

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

13.1 Fully paid equity shares

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Number of shares Amount
----- End of picture text -----

Balance at April 1, 2023	296,424,825	296.42
Add : Movement duringtheyear	-	-
Balance at March 31, 2024	296,424,825	296.42
Add : Movement duringtheyear	-	-
Balance at March 31, 2025	296,424,825	296.42

There are no buy back of equity shares during the period of five years immediately preceding the reporting date.

Bonus shares issued during the five years preceding the reporting date

During the year ended March 31, 2022, the Company had issued and allotted 236,980,820 fully paid up Bonus Equity shares of ` 10 each in the ratio of 4:1 (i.e. 4 Bonus Equity shares for every 1 existing equity share of the Company).

Terms/ rights attached to equity shares :

The Company has only one class of equity shares having a par value of ` 10 per share. Each holder of equity shares is entitled to one vote per share. The Company declares and pays dividends in Indian rupees. The final dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting. The Board may from time to time pay to the members such interim dividends as appear to it to be justified by the profits of the Company.

During the year ended March 31, 2025, first interim dividend of 3.60 per share and second interim dividend of 3.60 per share were recognised as distributions to equity shareholders, aggregating 213.43 crores (Previous year: first interim dividend of 3.60 per share and second interim dividend of 3.60 per share were recognised as distributions to equity shareholders, aggregating 213.43 crores).

In the event of liquidation of the Company, the holders of equity shares will be entitled to receive remaining assets of the Company, after distribution of all preferential amounts. The distribution will be in proportion to the number of equity shares held by the shareholders.

13.2 Details of equity shares held by the holding company

	Number of fully paid ordinary shares
As at March 31, 2025
KAMA Holdings Limited, the Holding Company	148,845,000
As at March 31, 2024
KAMA Holdings Limited,the HoldingCompany	148,845,000

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Corporate Our Statutory Financial 02 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

13.3 Details of equity shares held by promoters:

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Promoter name Number of fully % holding in that % change during
paid equity shares class of shares the year
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As	at March 31, 2025
1.	Arun Bharat Ram	87,500	0.03%	0.00%
2.	Ashish Bharat Ram	25,000	0.01%	0.00%
3.	Kartik Bharat Ram	25,000	0.01%	0.00%
4.	KAMA Holdings Limited	148,845,000	50.21%	0.00%
As	at March 31, 2024
1.	Arun Bharat Ram	87,500	0.03%	(36.36)%
2.	Ashish Bharat Ram	25,000	0.01%	100.00%
3.	Kartik Bharat Ram	25,000	0.01%	100.00%
4.	KAMA Holdings Limited	148,845,000	50.21%	(0.53)%

13.4 Details of equity shares held by each shareholder holding more than 5% shares:

Class of shares / Name of shareholder	As at March 31, 2025 As at March 31, 2024
	Number of shares held % holding in that class of shares Number of shares held % holding in that class of shares
Fully paid equity shares KAMA Holdings Limited	148,845,000 50.21% 148,845,000 50.21%

14 OTHER EQUITY

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As at As at
March 31, 2025 March 31, 2024
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General reserve	711.04	711.04
Retained earnings	9,855.58	8,801.15
Cash fow hedging reserve	(59.06)	(54.51)
Capital redemption reserve	10.48	10.48
Capital reserve	219.19	219.19
Employee share based payment reserve	28.11	20.18
Reserve for equity instruments through other comprehensive	(4.22)	(4.22)
income
Securities premium	510.09	509.56
Cost of hedgingreserve	- 11,271.21	3.40 10,216.27

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

14.1 General reserve

	As at March 31, 2025	As at March 31, 2024
Balance at beginning of year	711.04	711.04
Increase /(decrease)duringtheyear	-	-
Balance at end ofyear	711.04	711.04

The general reserve is created from time to time on transfer of profits from retained earnings. General reserve is created by transfer from one component of equity to another and is not an item of other comprehensive income. Items included in general reserve will not be reclassified subsequently to profit and loss.

14.2 Retained earnings

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As at As at
March 31, 2025 March 31, 2024
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Balance at beginning of year	8,801.15	7,643.98
Proft for the year	1,268.07	1,374.03
Other comprehensive income arising from remeasurement of	(0.21)	(3.43)
defned beneft obligation * (Refer note 33.2 (iv))
Payment of dividend on equityshares	(213.43)	(213.43)
Balance at end ofyear	9,855.58	8,801.15

The amount that can be distributed as dividend by the Company to its equity shareholders is determined based on the financial position of the Company and also considering the requirements of the Companies Act, 2013.

net of income tax of 0.07 crores (Previous year: 1.16 crore)

14.3 Cash flow hedging reserve

(Refer note 38.3.1 (C))

	As at March 31, 2025	As at March 31, 2024
Balance at beginning of year	(54.51)	(150.22)
Recognised / (released) during the year	(6.08)	127.90
Income tax related to above	1.53	(32.19)
Net balance at end ofyear	(59.06)	(54.51)

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Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

instruments that are recognised and accumulated under the heading of cash flow hedging reserve will be reclassified to profit or loss only when the hedged transaction affects the profit or loss, or included as a basis adjustment to the non-financial hedged item.

14.4 Capital redemption reserve

	As at March 31, 2025	As at March 31, 2024
Balance at beginning of year Increase /(decrease)duringtheyear Balance at end ofyear	10.48 - 10.48	10.48 - 10.48

Capital Redemption Reserve is a statutory, non-distributable reserve into which amounts are transferred following the redemption or purchase of a company’s own shares. The reserve is utilised in accordance with the provisions of the Act.

14.5 Capital reserve

	As at March 31, 2025	As at March 31, 2024
Balance at beginning of year	219.19	219.19
Increase /(decrease)duringtheyear Balance at end ofyear	- 219.19	- 219.19

Capital reserve represents amounts received pursuant to Montreal Protocol Phaseout Programme of refrigerant gases.

14.6 Employee share based payment reserve

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As at As at
March 31, 2025 March 31, 2024
----- End of picture text -----

Balance at beginning of year	20.18	11.63
Increase / (decrease) during the year	8.46	8.55
Released on vesting of shares issued under employee share	(0.53)	-
purchase scheme
Balance at end ofyear	28.11	20.18

The Company has allotted equity shares to certain employees and officers under an employee share purchase scheme. The employee share based payment reserve is used to recognise the value of equity settled share based payments provided to such employees and officers as part of their remuneration. Refer note 34 for further details of the scheme.

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

14.7 Reserve for equity instruments through other comprehensive income

	As at March 31, 2025	As at March 31, 2024
Balance at beginning of year	(4.22)	(4.22)
Net fair valuegain on investment in equityinstruments at FVTOCI	-	-
Balance at end ofyear	(4.22)	(4.22)

This reserves represents the cumulative gains and losses arising on the revaluation of equity instruments measured at fair value through other comprehensive income, net of amount reclassified to retained earnings when those assets have been disposed of.

14.8 Securities premium

	As at March 31, 2025	As at March 31, 2024
Balance at beginning of year	509.56	509.56
Recognised on vesting of shares issued under employee share	0.53	-
purchase scheme
Balance at end ofyear	510.09	509.56

Securities premium represents the amount received in excess of the face value upon issue of equity shares. The same may be, inter-alia, utilised for issue of fully paid bonus shares or for buy-back of equity shares by the Company, in accordance with the provisions of the Act.

14.9 Cost of hedging reserve

(Refer note 38.3.1 (C))

	As at March 31, 2025	As at March 31, 2024
Balance at beginning of year	3.40	4.67
Recognised / (released) during the year	(4.54)	(1.70)
Income tax related to above	1.14	0.43
Balance at end ofyear	-	3.40

The cost of hedging reserve reflects gain or loss on the portion excluded from the designated hedging instrument that relates to the forward element of forward contracts. It is initially recognised in other comprehensive income and accounted for similarly to gains or losses in the cash flow hedging reserve.

280 ANNUAL REPORT 2024-25

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Corporate Our Statutory Financial 02 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

15 BORROWINGS

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As at As at
March 31, 2025 March 31, 2024
----- End of picture text -----

Non-current
Secured
Term Loans from banks* ^ (Refer note 15.1.1)	1,453.01	1,882.68
Term Loans from others* (Refer note 15.1.2)	659.56	686.32
Less: Current maturities of long-term borrowings*
Term loan from banks	(473.12)	(863.88)
Term loan from others	(72.85)	(43.06)
	1,566.60	1,662.06

Above amount of borrowings are net of upfront fees paid 7.01 crores (Previous year: 9.56 crores).

^ Out of a term loan of 414.51 crores obtained during the current year, unutilised balance of 60.50 crores as on March 31, 2025 has been temporarily invested in fixed deposit with a bank. (Previous Year: Out of a term loan of 625.37 crores obtained during the year, unutilised balance of 50.00 crores as on March 31, 2024 was temporarily invested in fixed deposit with a bank).

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As at As at
March 31, 2025 March 31, 2024
----- End of picture text -----

Current
Secured
Loans repayable on demand from banks (Refer note 15.1.3)	637.68	588.18
Current maturities of long-term borrowings	545.97	906.94
	1,183.65	1,495.12
Unsecured
Loans repayable on demand from banks	103.22	254.33
Commercialpapers from banks and others #	400.00	200.00
	503.22	454.33
	1,686.87	1,949.45

The maximum amount due during the year is `600.00 Crores (Previous year :` 200.00 Crores)

The quarterly returns or statements of current assets filed by the Company with the banks are in agreement with the books of account of the Company.

There have been no defaults in repayment of principal and interest on borrowings during the reporting periods.

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

15.1 Details of security against the secured loans:

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Details of Loan As at As at Security
March 31, March 31,
2025 [#] 2024 [#]
----- End of picture text -----

1 (i) Term loan 1,455.60 1,886.41 Moveable property from Banks *

(a) (i) Out of the loans in 1 (i), loans aggregating to 1,041.09 crores (Previous Year – 1,686.41 crores) are secured by hypothecation of Company’s moveable properties, both present and future, situated at Manali, Viralimalai and Gummidipoondi (other than moveable assets of Coated Fabrics Business) in the State of Tamil Nadu, Jhiwana in the State of Rajasthan, Malanpur and Special Economic Zone - Indore in the State of Madhya Pradesh and Kashipur (other than moveable assets of Laminated Fabrics Business) in the State of Uttarakhand and Dahej in the State of Gujarat (save and except certain assets). Additionaly, a loan amounting to ` 414.51 crores taken during the year is in the process of being secured by hypothication on the same assets.

(a) (ii) Out of the loans in 1 (i), loans aggregating to Nil (Previous year - ` 200 crores) are secured by hypothecation of Company’s plant and machinery which consist of all movable properties, both present and future, situated at Manali, Viralimalai and Gummidipoondi in the State of Tamil Nadu, Jhiwana in the State of Rajasthan, Malanpur, Special Economic Zone - Indore and Pithampur in the State of Madhya Pradesh, Kashipur in the State of Uttarakhand and Dahej in the State of Gujarat.

Immoveable property

2 Term loans 663.98 from others *

692.15 Moveable Property

(a)(i) Out of the loans in 2, loans aggregating to 641.10 crores (Previous Year – 625.38 crores) are secured by hypothecation of Company’s moveable properties, both present and future, situated at Manali, Viralimalai and Gummidipoondi (other than moveable assets of Coated Fabrics Business) in the State of Tamil Nadu, Jhiwana in the State of Rajasthan, Malanpur, Special Economic Zone - Indore and at Plot no. 675 at Industrial Area Pithampur in the State of Madhya Pradesh, Kashipur (other than moveable assets of Laminated Fabrics Business) in the State of Uttarakhand and Dahej in the State of Gujarat (save and except certain assets).

(a)(ii) Out of loans in 2, loan of 22.87 crores (Previous Year – 66.77 crores ) is secured by hypothecation of Company’s moveable and immovable properties, both present and future, situated at Plot no. 675 at Industrial Area Pithampur in the State of Madhya Pradesh.

282 ANNUAL REPORT 2024-25

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Corporate Our Statutory Financial 02 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

Details of Loan As at As at Security March 31, March 31, 2025[#] 2024[#] Immoveable Properties (b) Loans in 2(a)(i), is further secured by the mortgage on the Company's all immoveable properties, both present and future, situated at Dahej in the State of Gujarat.
3 (i) Loans 637.68 588.18 Secured by hypothecation of stocks, semi finished and finished repayable on goods, stores and spares not relating to plant and machinery, bill demand from receivables, book debts and other Companies' moveable assets, banks both present and future, at Manali, Viralimalai and Gummidipoondi in the State of Tamil Nadu, Jhiwana in the State of Rajasthan, Malanpur, Special Economic Zone - Indore and Pithampur in the State of Madhya Pradesh, Kashipur in the State of Uttarakhand and Dahej in the State of Gujarat.

Gross of upfront fees paid `7.01 crores (Previous year -` 9.56 Crores)

Such hypothecation and mortgage mentioned in point 1 (a)(i) and 2(a)(i) above, rank pari-passu between term loans from banks and others.

15.2 Terms of loans

As at March 31, 2025

NON CURRENT BORROWINGS

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Loan Frequency Interest rate Up to For For From
Category of principal March 31, 2026-27 2027-28 2028-29 to
repayments 2026 2030-31
----- End of picture text -----

Term loan from banks	Quarterly payments Ranging from 3.58% to 5.75% 462.68 496.34 137.71 170.87
	Half yearly payments Floating rate; 7.50% as at March 31,2025 12.00 12.00 12.00 152.00
Term loan from others	Half yearly payments Floating rate; 5.65% as at March 31,2025 22.87 - - -
	Quarterly payments Floating rate; 5.25% as at March 31,2025 51.30 102.58 102.58 384.65
	548.85 610.92 252.29 707.52

Amounts mentioned above are gross of upfront fees paid of ` 7.01 crores.

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

As at March 31, 2024

NON CURRENT BORROWINGS

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Loan Frequency Interest rate Up to For For From
Category of principal March 31, 2025-26 2026-27 2027-28 to
repayments 2025 2028-29
----- End of picture text -----

Term loan from banks	Quarterly payments Ranging from 0.94% to 6.32% 338.56 404.54 388.92 39.09
	Half yearly payments Floating rate; 8.10% as at March 31,2024 12.00 12.00 12.00 164.00
	Monthly At 1.12% 265.16 - - -
	Bullet Floating rate; 6.22% as at March 31,2024 250.15 - - -
Term loan from others	Half yearly payments Floating rate; 6.62% as at March 31,2024 44.46 22.31 - -
	Quarterly payments Floating rate; 6.22% as at March 31,2024 - 50.03 100.06 475.28
	910.33 488.88 500.98 678.37

Amounts mentioned above are gross of upfront fees paid of ` 9.56 crores.

CURRENT BORROWINGS

Short term borrowings are either payable in installments within one year or repayable on demand. For short term borrowings, interest rate ranges from 5.45% to 9.50%.

Terms of repayment

1 Rupee term loan of 15.63 Crores is repayable in final instalment in April 2025 (Previous year: 78.13 Crores are repayable in 5 quarterly instalments from April 2024)
2 Rupee term loan of 84.60 Crores are repayable in 10 half-yearly instalments from September 2025 (Previous year: 90.00 Crores are repayable in 12 half-yearly instalments from September 2024)
3 Rupee term loan of 103.40 Crores are repayable in 10 half-yearly instalments from September 2025 (Previous year: 110.00 Crores are repayable in 12 half-yearly instalments from September 2024)
4 Foreign currency term loan of 22.87 Crores is repayable in final instalment in April 2025 (Previous year: 66.77 Crores are repayable in 3 half-yearly instalments from April 2024).

CURRENT BORROWINGS

Short term borrowings are either payable in installments within one year or repayable on demand. For short term borrowings, interest rate ranges from 3.01% to 8.00%.

5 Foreign currency term loan of 120.68 Crores are repayable in 8 quarterly instalments from June 2025 (Previous year: 176.58 Crores are repayable in 12 quarterly instalments from June 2024)
6 Foreign currency term loan of 146.92 Crores are repayable in 11 quarterly instalments from May 2025 (Previous year: 195.43 Crores are repayable in 15 quarterly instalments from May 2024)

284 ANNUAL REPORT 2024-25

285

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Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

7 Foreign currency term loan of 569.87 Crores are repayable in 8 quarterly instalments from May 2025 (Previous year: 625.37 Crores are repayable in 9 quarterly instalments from February 2025)
8 Foreign currency term loan of 641.10 Crores are repayable in 21 quarterly instalments from July 2025 (Previous year: 625.37 Crores are repayable in 21 quarterly instalments from July 2025)
9 Foreign currency term loan of ` 414.51 Crores are repayable in 17 quarterly instalments from October 2025 (Previous year: Nil)
10 Foreign currency term loan from Bank of 265.16 Crores was repaid in the current year (Previous year: 265.16 Crores are repayable in 12 monthly instalments from April 2024)
11 Foreign currency term loan from Bank of 95.60 Crores was repaid in the current year (Previous year: 95.60 Crores are repayable in 4 quarterly instalments from May 2024)
12 Foreign currency term loan from Bank of 250.15 Crores was repaid in the current year (Previous year: 250.15 Crores is repayable in one bullet instalment in March 2025)

16 PROVISIONS

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As at As at
March 31, 2025 March 31, 2024
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Non-Current
Provision for employee benefts
Provision for compensated absences (Refer note 33.3)	67.46	60.79
Provision for retentionpay	0.17	0.17
	67.63	60.96
Current
Provision for employee benefts
Provision for compensated absences(Refer note 33.3)	7.75	7.27
	7.75	7.27

17 DEFERRED TAX (NET)

The following is the analysis of deferred tax assets / (liabilities) presented in balance sheet

	As at March 31, 2025	As at March 31, 2024
Deferred tax assets	50.10	43.84
Deferred tax liabilities	(1,043.30)	(924.12)
Deferred tax liabilities, net	(993.20)	(880.28)

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

The major components of deferred tax assets / (liabilities) arising on account of temporary differences are as follows:

2024-25	Opening balance	Recognised in statement of proft and loss	Recognised in other comprehensive income	Closing balance
Deferred tax assets
Expenses deductible in future	21.83	(1.86)	-	19.97
years
Provision for credit impaired loans	0.46	0.25	-	0.71
/ receivables
Cash fow hedges / Cost of	17.28	-	2.67	19.95
hedging reserve
Others	4.27	5.20	-	9.47
	43.84	3.59	2.67	50.10
Deferred tax liabilities
Property, plant and equipment	(902.62)	(119.57)	-	(1,022.19)
and intangible assets
Investment in mutual funds	(15.68)	(5.43)	-	(21.11)
Others	(5.82)	5.82	-	-
	(924.12)	(119.18)	-	(1,043.30)
Total	(880.28)	(115.59)	2.67	(993.20)

2023-24	Opening balance	Recognised in statement of proft and loss	Recognised in other comprehensive income	Closing balance
Deferred tax assets
Expenses deductible in future	14.54	7.29	-	21.83
years
Provision for credit impaired loans	0.66	(0.20)	-	0.46
/ receivables
Cash fow hedges / Cost of	49.04	-	(31.76)	17.28
hedging reserve
Others	5.89	(1.62)	-	4.27
	70.13	5.47	(31.76)	43.84
Deferred tax liabilities
Property, plant and equipment	(797.37)	(105.25)	-	(902.62)
and intangible assets
Investment in mutual funds	(12.90)	(2.78)	-	(15.68)
Others	(9.20)	3.38	-	(5.82)
	(819.47)	(104.65)	-	(924.12)
Total	(749.34)	(99.18)	(31.76)	(880.28)

286

287

ANNUAL REPORT 2024-25

Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

18 TRADE PAYABLES

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As at As at
March 31, 2025 March 31, 2024
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Total outstanding dues of micro enterprises and small
enterprises#
-Otherthanacceptances	93.24	84.28
	93.24	84.28
Total outstanding dues of creditors other than micro enterprises
and small enterprises
- Acceptances*	306.79	335.82
-Otherthanacceptances	1,170.22	1,147.71
	1,477.01	1,483.53
	1,570.25	1,567.81

Refer to note 18.1

The Company participates in a supply chain financing arrangement (SCF) which is disclosed under trade payables / other financial liabilities enabling suppliers to take early payment by selling their receivables from the Company. The Company has not derecognised the original liabilities to which the arrangement applies because neither a legal release was obtained nor the original liability and the payment terms are modified on entering into the arrangement. The Company therefore discloses such amounts within trade payables / other financial liabilities because the nature and function of the financial liability remains same.

Ageing of trade payables :

Outstanding for following periods from due date of payment	As at March 31, 2025
	Dues of micro enterprises and small enterprises Dues of creditors other than micro enterprises and small enterprises Disputed dues of micro enterprises and small enterprises Disputed dues of creditors other than micro enterprises and small enterprises Total
Unbilled dues Not due Less than 1 year 1 - 2 years 2 - 3 years More than 3years	- 303.99 - - 303.99 90.73 1,126.11 - - 1,216.84 2.46 45.89 - - 48.35 0.05 1.02 - - 1.07 - - - - - - - - - -
	93.24 1,477.01 - - 1,570.25

Outstanding for following periods from due date of payment	As at March 31, 2024
	Dues of micro enterprises and small enterprises Dues of creditors other than micro enterprises and small enterprises Disputed dues of micro enterprises and small enterprises Disputed dues of creditors other than micro enterprises and small enterprises Total
Unbilled dues Not due Less than 1 year 1 - 2 years 2 - 3 years More than 3years	- 367.74 - - 367.74 82.88 1,042.91 - - 1,125.79 1.40 72.39 - - 73.79 - - - - - - - - - - - 0.49 - - 0.49
	84.28 1,483.53 - - 1,567.81

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

18.1 Total outstanding dues of micro enterprises and small enterprises

Trade payables include the following dues to micro and small enterprises covered under “The Micro, Small and Medium Enterprises Development Act, 2006” (MSMED) to the extent such parties have been identified from the available information.

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As at As at
March 31, 2025 March 31, 2024
Amount remaining unpaid to suppliers under MSMED (suppliers)
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as at the end of year
- Principal amount**	110.74	118.49
- Interest due thereon	0.02	0.04
Amount of payments made to suppliers beyond the appointed
day during the year
- Principal amount	104.14	-
- Interest actually paid under section 16 of MSMED/ settled	0.04	0.01
Amount of interest due and payable for delay in payment (which	0.39	-
has been paid but beyond the appointed day during the year) but
without adding interest under MSMED Interest accrued and remaining unpaid at the end of the year
- Interest accrued during the year - Interest remaining unpaid as at the end of the year Interest remaining due and payable even in the succeeding years,	0.41 0.41 0.41	0.04 0.04 0.04
until such date when the interest dues are actually paid, for the
purpose of disallowance of a deductible expenditure

** including payable to micro enterprises and small enterprises included in other financial liabilities (refer note 19).

19 OTHER FINANCIAL LIABILITIES

	As at March 31, 2025	As at March 31, 2024
Non-Current
Derivatives carried at fair value through other comprehensive income
Forward exchange contracts used for hedging	16.46	0.80
Security deposits received	1.99	-
	18.45	0.80
Current
Interest accrued but not due on borrowings and others	18.32	19.51
Unpaid dividends^	6.80	6.55
Security deposits received	7.88	7.83
Payables to capital creditors
Total outstanding dues of micro enterprises and small
enterprises#
- Other than acceptances	17.92	34.26
Total outstanding dues of creditors other than micro
enterprises and small enterprises
- Acceptances*	-	134.11
- Other than acceptances Derivatives carried at fair value through proft and loss Forward exchange contracts used for hedging	48.05 0.18	56.49 0.79
Derivatives carried at fair value through other comprehensive
income
Forward exchange contracts used for hedging	8.53	4.93

288

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Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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As at As at
March 31, 2025 March 31, 2024
Payable to banks for discounted receivables 94.74 129.58
Employee benefits payable *** 19.11 -
Liability towards unspent expenditure on corporate social 24.39 9.51
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responsibility**
Others	2.09	1.00
	248.01	404.56

Refer footnote to note 18

** Refer note 40 (f)

*** Comparative amount of ` 17.93 crores was included under Trade payables, not regrouped on materiality consideration.

^ Amount will be credited to investor education and protection fund if not claimed within seven years from the date of declaration of dividend.

Also refer to note 18.1

20 TAX ASSETS AND LIABILITIES

	As at March 31, 2025	As at March 31, 2024
Other tax assets
Advance tax(net ofprovision fortax)	202.96	206.85
Current tax liabilities
Provision fortax(net ofadvance tax)	16.60	11.76

21 OTHER LIABILITIES

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As at As at
March 31, 2025 March 31, 2024
Non-current
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Non-current
Deferred government grants*	127.33	122.75
	127.33	122.75
Current
Contract liability (Refer note 39)	21.13	23.21
Deferred government grants*	3.97	3.79
Statutory liabilities	32.40	24.44
Payable to gratuity trust (Refer note 33.2)	6.55	4.00
Other payables	11.28	18.53
	75.33	73.97

Deferred government grants include capital grants for promoting investment, setting up of property, plant and equipment and job creation under various government programmes/ schemes. These grants are being amortised over the useful life of the related property, plant and equipment in proportion to the related depreciation expense recognised. The related unamortised grant amount as on March 31, 2025 is 96.58 crores (Previous year: 95.76 crores)

Deferred government grant also includes grant related to duty saved on import of capital goods under the Exports Promotion Capital Goods (EPCG) scheme. This is being amortised in profit and loss as and when the criteria of meeting export obligation as mentioned in EPCG license is fulfilled. Under such scheme, the Company is committed to export an amount equivalent to prescribed times of the duty saved on import of capital goods over a specified period of time. The related unamortised grant amount as on March 31, 2025 is 34.72 crores (Previous year: 30.78 crores)

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

22 REVENUE FROM OPERATIONS

	Year ended March 31, 2025	Year ended March 31, 2024
Revenue from contracts with customers
Sale of products
Manufactured goods	11,270.22	10,469.17
Tradedgoods	107.05	96.75
	11,377.27	10,565.92
Other operating revenues
Export and other incentives	71.46	83.89
Scrap sales	56.76	37.51
Provision/ liabilities no longer required written back	10.70	12.54
Material handling income	160.77	80.47
Other operatingincome	21.01	6.34
	320.70	220.75
	11,697.97	10,786.67

Reconciliation of revenue from sale of products with the contracted price

	Year ended March 31, 2025	Year ended March 31, 2024
Contracted price	11,584.78	10,835.57
Less: Discounts,allowances and claims	(207.51)	(269.65)
Sale ofproducts	11,377.27	10,565.92

23 OTHER INCOME

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Year ended Year ended
March 31, 2025 March 31, 2024
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Interest income
i. On fnancial assets carried at amortised cost
- from customers	-	0.01
- from loans, deposits and investments	46.77	29.65
ii. On fnancial assets carried at fair value through proft and loss
- from investments iii On others *	10.60 9.68	10.85 4.45
Net gain on sale/ discarding of property, plant and equipment	1.62	4.77
Net gain on fnancial assets measured at fair value through proft	32.44	22.87
and loss Income from business support services Insurance Claims Other non-operatingincome	17.87 34.87 21.12 174.97	15.10 4.92 26.80 119.42

Refer note no 29 (i)

290 ANNUAL REPORT 2024-25

ANNUAL REPORT 2024-25 291

Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

24.1 COST OF MATERIALS CONSUMED

Year ended March 31, 2025 Year ended March 31, 2024
Opening stock of raw materials 841.22 893.08
Add: Purchases of raw materials 5,507.52 5,144.42
Less: Closingstock of raw materials 745.75 841.22
Cost of materials consumed 5,602.99 5,196.28*

including packing material

24.2 PURCHASES OF STOCK IN TRADE

Year ended March 31, 2025	Year ended March 31, 2024
Purchase of stock in trade 95.89	83.61
95.89	83.61

24.3 CHANGES IN INVENTORIES OF FINISHED GOODS, WORK IN PROGRESS AND STOCK IN TRADE

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Year ended Year ended
March 31, 2025 March 31, 2024
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Inventories at the end of the year :
Stock-in-Process	270.15	233.47
Finished goods	391.14	456.52
Traded goods	12.78	7.35
	674.07	697.34
Inventories at the beginning of the year :
Stock-in-Process	233.47	198.74
Finished goods	456.52	391.52
Traded goods	7.35	15.75
	697.34	606.01
Total (increase) / decrease	23.27	(91.33)
Less: Inventory damaged due to cyclone / food (refer to note	-	(22.99)
40(g))
Net (increase) / decrease	23.27	(114.32)

25 EMPLOYEE BENEFITS EXPENSE

Year ended March 31, 2025 Year ended March 31, 2024	Year ended March 31, 2025 Year ended March 31, 2024	Year ended March 31, 2025 Year ended March 31, 2024
Salaries and wages, including bonus	721.12	655.75
Contribution to provident and other funds	51.07	45.47
Workmen and staf welfare expenses	88.46	80.56
Employee share basedpayment expense(Refer note 34)	8.46	8.55
	869.11	790.33

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

26 FINANCE COST

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Year ended Year ended
March 31, 2025 March 31, 2024
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Interest cost ^
- Term loans and others	266.60	206.05
- Lease liabilities	7.51	8.99
Other borrowing costs	11.83	13.57
Exchange diferences regarded as an adjustment to borrowingcosts	10.41	6.99
	296.35	235.60

^ pertains to liabilities measured at amortised cost. The amount disclosed is net of interest capitalised during the year. Also refer note 2(i)

27 DEPRECIATION AND AMORTISATION EXPENSE

	Year ended March 31, 2025	Year ended March 31, 2024
Depreciation of property, plant and equipment	592.27	515.99
Depreciation of right-of-use assets	29.44	31.71
Amortisation of intangible assets	8.25	8.15
	629.96	555.85

28 OTHER EXPENSE

	Year ended March 31, 2025	Year ended March 31, 2024
Stores and spares consumed	74.34	71.54
Power and fuel	1,127.06	1,134.90
Labour production	68.57	63.26
Rent*	38.11	36.52
Repairs and maintenance
- Buildings	10.77	10.37
- Plant and machinery	246.58	230.74
- Others	55.60	56.41
Insurance	74.66	60.86
Rates and taxes	14.43	8.04
Freight charges	426.75	331.50
Expenditure on corporate social responsibility**	43.37	41.02
Legal and professional charges	51.91	51.11
Travelling and conveyance	21.09	20.05

292

ANNUAL REPORT 2024-25 293

ANNUAL REPORT 2024-25

Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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Year ended Year ended
March 31, 2025 March 31, 2024
----- End of picture text -----

Directors' sitting fees	0.29	0.21
Selling commission	12.75	10.48
Property, plant and equipment provided/ written of	7.24	4.27
Auditor remuneration
- Audit fees	0.90	0.90
- For limited review of unaudited fnancial results	0.63	0.63
- For Corporate governance and other certifcates	0.27	0.07
- For tax audit	0.12	0.12
- Reimbursement of out of pocket expenses	0.18	0.18
Efuent disposal expenses	173.77	157.16
Net foreign currency exchange fuctuation loss	113.43	78.93
Miscellaneous expenses	88.17	71.59
	2,650.99	2,440.86

Refer to note 37
** Refer to note 40(f)
Also refer to note 40(g) for adjustments on account of damage due to cyclone / flood.

29 INCOME TAX RECOGNISED IN PROFIT AND LOSS

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Year ended Year ended
March 31, 2025 March 31, 2024
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Current tax
In relation to current year Adjustment in relation to earlieryears(Refer note(i)below)	323.08 (2.36)	342.73 (98.06)
	320.72	244.67
Deferred tax
In relation to current year	116.49	101.70
Adjustment in relation to earlieryears	(0.90)	(2.52)
	115.59	99.18
Total tax expense	436.31	343.85

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

The income tax expenses for the year can be reconciled to the accounting profits as follows:

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----- Start of picture text -----

Year ended Year ended
March 31, 2025 March 31, 2024
Profit before tax 1,704.38 1,717.88
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Proft before tax	1,704.38	1,717.88
Income Tax Expenses @ 25.168% (Previous year: 25.168%)	428.96	432.36
Efect of deductions (research and development, share issue	(0.50)	(0.25)
expenses and deductions under chapter VI A of Income Tax Act)
Efect of expenses that are not deductible in determining taxable proft	11.42	11.32
Others	(0.31)	1.00
Income tax expenses recognised in statement of proft	439.57	444.43
and loss in relation to current year
Income tax credit recognised in statement of proft and loss in	(3.26)	(100.58)
relation to earlieryears
Total Income tax expenses recognised inproft and loss	436.31	343.85

Notes:

(i) During the year ended March 31, 2024, the Company had reassessed its uncertain tax position in relation to past years on taxability of income from sale of Carbon Emission Reduction Certificates (CER’s) and had written back ` 98.06 crores in respect of assessment years 2008-09 and 2009-10 as ‘Tax adjustments in relation to earlier years’ after taking into consideration favourable orders received from Income Tax Appellate tribunal (“ITAT”) in relation to the above assessment years, elapse of statutory time for further appeal by tax authorities and favourable judicial precedents.

During the year ended March 31, 2025, interest income of ` 3.08 crores has been recognised based on the appeal effect received from income tax Assessing Officer in respect of order of ITAT for the Assessment year 2008-09. However, since the interest income for the complete relevant period was not granted by the assessing officer, a writ petition has been filed by the Company before Hon’ble Delhi High Court for grant of additional interest from the begining of the relevant assessment year.

Related remaining interest income in respect of assessment years 2008-09 and 2009-10 will be considered in the period in which a requisite level of certainty is achieved.

Considering that the in-principle matter of taxability of CERs is yet to attain a finality, the Company will continue to re-assess its tax position, including in relation to other assessment years, and will consider their impact in the relevant period.

294 ANNUAL REPORT 2024-25

ANNUAL REPORT 2024-25 295

Corporate Our Statutory Financial 02 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

30 INCOME TAX RECOGNISED IN OTHER COMPREHENSIVE INCOME

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Year ended Year ended
March 31, 2025 March 31, 2024
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Arising on income and expense recognised in other
comprehensive income
Net (gain)/ loss on designated portion of hedging instruments in	1.53	(32.19)
cash fow hedges
Cost of Hedging Reserve	1.14	0.43
Remeasurement of defned beneft obligation	0.07	1.16
	2.74	(30.60)
Bifurcation of the income tax recognised in other
comprehensive income into:
Items that will be reclassifed to proft or loss	2.67	(31.76)
Items that will not be reclassifed toproft or loss	0.07	1.16
	2.74	(30.60)

31 CONTINGENT LIABILITIES AND COMMITMENTS

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As at As at
March 31, 2025 March 31, 2024
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Claims against the Company not acknowledged as debts
Sales tax and entry tax *	14.01	14.01
Goods and services tax, excise duty, custom duty and	278.27	17.92
service tax **
Income tax ***	238.78	300.22
Others ****	10.16	10.16

Amount deposited against contingent liability 6.54 crores (Previous year: 6.54 crores)
** Amount deposited against contingent liability 22.66 crores (Previous year: 6.77 crores). Contingent liabilities includes the following matters:
(i) Order received in the current year under Goods and Service tax (GST) law for the period from December 2019 to March 2022 of 235.07 crores (including penalty and applicable interest of 149.84 crores) on account of refund of IGST claimed on exports made using duty free raw materials procured from SEZ / EOU suppliers against Advance Authorisations. The Company has subsequently filed an appeal before Commissioner (Appeals) against this demand and an amount of ` 8.52 crores has been deposited under protest.
(ii) Order received in the current year under Goods and Service tax (GST) law for the period from July 2017 to March 2021 of 21.03 crores (including penalty and applicable interest of 14.03 crores), on account of non payment of GST on research and development services between internal units of the Company. The Company has subsequently filed an appeal before Commissioner (Appeals) against this demand and an amount of ` 7.00 crores has been deposited under protest.
*** Amount deposited against contingent liability 60.69 crores (Previous year: 63.42 crores). Contingent liabilities includes the following matters:
(i) Demand/ rectification Orders received in earlier years in respect of assessment years 2017-18 and 2018-

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

  - 19 having a tax implication of ` 19.96 crores (Previous year ` 19.96 crores) and ` 57.94 crores (Previous year ` 57.94 crores) respectively on account of transfer pricing adjustments, disallowance of research and development expenditure, etc.  The Company has filed an appeal before Income Tax Appellate Tribunal against the said orders.

(ii) Final Assessment Order for assessment year 2020-21 received in the current year having adjustment of 48.39 Crores with tax implication of 16.91 crores (Previous year draft assessment order received with tax adjustments of ` 178.50 crores) on account of transfer pricing adjustments, disallowance u/s 14A and for generation of power from captive power plants, etc. The Company has filed an appeal before Income Tax Appellate Tribunal against the said order.
(iii) Final Assessment Order for assessment year 2021-22 received in the current year having adjustment of 98.27 Crores with tax implication of 54.19 crores (Previous year draft assessment order received with tax adjustments of 258.55 crores and order under section 143(1) with a demand of 130.74 crores) on account of transfer pricing adjustments, disallowance for research and development expenditure and for generation of power from captive power plants, etc. The Company has filed an appeal before Income Tax Appellate Tribunal against the said order. Also, refund aggregating to 57.33 crores (previous year 57.33 crores) for different assessment years have been adjusted against the said demand.
(iv) Intimation order under section 143(1) received in the previous year for assessment year 2022-23 with a demand of ` 68.76 crores for which the Company has filed rectification application before Assessing Officer and an appeal before CIT(Appeals).
**** Amount deposited against contingent liability 9.05 crore (Previous year: 9.05 crore). Contingent liability includes demand by Madhya Pradesh Paschim Kshetra Vidyut Vitaran Company Ltd. (MPPKVV Ltd) of 8.73 Crores (Previous year: 8.73 crores).

All the above matters are subject to legal proceedings in the ordinary course of business. Based on the facts of the above cases and the management’s assessment, the legal proceedings, when ultimately concluded, are not likely to have a material effect on the results of the operations or financial position of the Company.

b. (i) The Company has been served with show cause notices regarding certain transactions as to why additional customs / excise duty / service tax / goods and service tax amounting to 24.22 crores (Previous year: 43.00 crores) should not be levied. An amount of 0.15 crores (Previous year: 7.15 crores) has been deposited against such show cause notices. The Company is of the view that the contention of the respective departments is not tenable and hence the show cause notices may not be sustainable.
(ii) The Company has received a draft Assessment Order for assessment year 2022-23 in which adjustments amounting to ` 197.13 crores are proposed on account of adjustments while passing order under section 143(1), transfer pricing adjustments, disallowance u/s 80G and for generation of power from captive power plants, etc. which are pending before Dispute Resolution Panel as on March 31, 2025. Based on the facts of the case and the management’s assessment, the Company is of the view that the proposed adjustments are not likely to sustain.
c. The amounts shown above represent the best possible estimates arrived at on the basis of available information. The uncertainties and possible reimbursements are dependent on the outcome of different legal processes which have been invoked by the Company or by the claimant as the case may be, and therefore, cannot be predicted accurately or relate to a present obligations that arise from past events where it is either not probable that an outflow of resources will be required to settle or a reliable estimate cannot be made.

296

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Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

d. Guarantees given to banks and others to secure the financial facilities sanctioned to subsidiaries by banks and other companies are as below:

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|||||||||||||
|---|---|---|---|---|---|---|---|---|---|---|---|
|Name of the|Currency|Guarantee amount as at|Loan / payable outstanding against|
|subsidiary|the guarantee as at|
|March 31, 2025|March 31, 2024|March 31, 2025|March 31, 2024|
|In|In||In|In||In|In||In|In||
|Millions|Crores^|Millions|Crores^^|Millions|Crores^|Millions|Crores^^|
|SRF Global BV|USD|44.00|376.11|44.00|366.89|10.52|89.89|3.20|26.66|
|USD *|50.00|427.40|50.00|416.92|40.66|347.54|21.10|175.97|
|SRF Industries|EUR|-|-|12.76|114.81|-|-|1.50|13.54|
|(Thailand) Limited|
|USD|17.20|147.03|17.20|143.42|5.52|47.16|8.56|71.41|
|USD|24.00|205.15|24.00|200.12|12.36|105.63|19.18|159.95|
|THB|840.00|211.26|840.00|191.93|800.00|201.20|600.00|137.10|
|SRF Europe Kft|EUR|33.00|303.97|33.00|296.93|6.50|59.87|6.50|58.49|
|(Hungry)|
|EUR|77.00|709.27|77.00|692.83|52.44|483.03|60.80|547.04|
|EUR|7.00|64.48|-|-|2.98|27.47|

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Existing guarantee enhanced from 33 millions to 50 millions USD during the FY 2023-24
^ Converted using closing exchange rate - USD 85.48 and Euro 92.11
^^ Converted using closing exchange rate - USD 83.38 and Euro 89.98
e. Capital and other commitments

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||||
|---|---|---|
|As at|As at|
|March 31, 2025|March 31, 2024|
|(i) Estimated amount of contracts remaining to be|649.47|297.01|
|executed on capital account (Property, Plant and|
|Equipment) and not provided for (net of advances).|

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(ii) The Company has other commitments, for purchases / sales orders which are issued after considering requirements per operating cycle for purchase / sale of goods and services, employee benefits including union agreements in normal course of business. The Company does not have any long term contracts including derivative contracts for which there will be any material foreseeable losses which have not been provided for.
(iii) Export obligation under advance license scheme on duty free import of specific raw materials and EPCG scheme on import of capital items, remaining outstanding is 1,007.38 crores (Previous year: 1,003.14 crores).

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

32 RELATED PARTY TRANSACTIONS

32.1 Description of related parties under Ind AS - 24 “Related Party Disclosures”

Ultimate Holding

Key management personnel (KMP) Ashish Bharat Ram Kartik Bharat Ram Vineet Agarwal * Ira Gupta * Vellayan Subbiah Pramod Gopaldas Gujarathi Bharti Gupta Ramola Yash Gupta Puneet Yadu Dalmia Raj Kumar Jain

ABR Family Trust Holding Company KAMA Holdings Limited

Subsidiaries

SRF Holiday Home Limited SRF Global BV SRF Industries (Thailand) Limited SRF Industex Belting (Pty) Limited SRF Flexipak (South Africa) (Pty) Limited SRF Europe Kft

Enterprises over which KMP have control or joint control #

SRF Employees Welfare Trust (Controlled Trust) SRF Altech Limited SRF Middle East LLC ^

SRF Foundation

SRF Welfare Trust BLP Industry AI Private Limited Parry Enterprises India Limited Rose Farms (Delhi) LLP Carborundum Universal Limited Dalmia Cement (Bharat) Limited* CG Power and Industrial Solutions Limited Transport Corporation of India Limited TCI Express Limited

Fellow subsidiaries #

KAMA Realty (Delhi) Limited Shri Educare Limited SRF Transnational Holding Limited

Post Employment Benefit Plans Trust SRF Limited Officers Provident Fund Trust SRF Employees Gratuity Trust SRF Officers Gratuity Trust

TCI Chemlog Private Limited ****

Enterprises over which KMP have significant influence #

KMP of Holding Company # Ekta Maheshwari Jagdeep Singh Rikhy

Havells India Limited Indian Chemical Council Bharat Forge Limited***

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Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

Enterprises over which relative of KMP has control or joint control #

Relative of KMP #

Arun Bharat Ram Sushil Ramola Murugappan Vellayan Subbiah Deeksha Amit Kalyani Salil Gupta Apoorvi Bharat Ram

Murugappa & Sons

Relative of KMP of Holding Company #

Nirmala Kothari Meher Kaur Rikhy Palak Maheshwari

^From March 12, 2024

From April 1, 2024
** From October 31, 2023

*** From December 08, 2023

**** From September 04, 2024

* From September 01, 2023

Only with whom the Company had transactions during the year

32.2 Transactions with related parties

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Year ended Year ended
March 31, 2025 March 31, 2024
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Sale of goods to:
Subsidiaries
SRF Industries (Thailand) Limited	71.31	28.97
Others	79.28	53.37
Enterprises over which KMP have signifcant infuence	40.37	16.02
	190.96	98.36
Purchase of goods from:
Subsidiaries	18.11	0.53
Enterprises over which KMP have signifcant infuence	0.02	3.41
	18.13	3.94
Purchase of property, plant & equipment from:
Subsidiaries	0.63	0.22
Key management personnel	-	1.90
Enterprises over which KMP have control orjoint control	0.04	1.51
	0.67	3.63

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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Year ended Year ended
March 31, 2025 March 31, 2024
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Sale of property, plant & equipment to:
Subsidiaries	0.07	0.01
Enterprises over which KMP have control orjoint control	-	7.00
	0.07	7.01
Services rendered to:
Subsidiaries	18.60	16.42
Enterprises over which KMP have control orjoint control	1.50	-
	20.10	16.42
Receiving of Services from :
Relative of KMP	0.60	0.60
Enterprises over which KMP have control or joint control	9.92	0.95
Enterprises over which KMP have signifcant infuence	0.44	0.05
	10.96	1.60
Rent paid to:
Fellow Subsidiaries	6.54	6.54
Subsidiaries	0.06	0.06
Relative of KMP	0.21	0.21
Key management personnel	-	0.01
Enterprises over which KMP have control orjoint control	2.40	1.36
	9.21	8.18
Reimbursement of expenses from
Holding Company *	0.02	-
Subsidiaries	2.27	1.72
Fellow Subsidiaries	-	0.02
	2.29	1.74
* Amount in absolute :`1,85,000 (Previous year :`35,000)
Reimbursement of expenses paid
Subsidiaries	0.28	-
Key management personnel *	-	-
Enterprises over which KMP have control orjoint control	0.02	0.03
	0.30	0.03

Amount in absolute : 27,900 (Previous year : 28,000)

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Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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Year ended Year ended
March 31, 2025 March 31, 2024
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Loan given to
Subsidiary
SRF Altech Limited	125.00	365.04
	125.00	365.04
Loan received back from
Subsidiaries
SRF Global BV	253.31	202.77
SRF Altech Limited	56.00	360.00
	309.31	562.77
Interest received from
Subsidiaries	24.82	24.11
	24.82	24.11
Security deposits given to
Enterprises over which KMP have control orjoint control	0.09	0.98
	0.09	0.98
Security deposits received back from
Keymanagementpersonnel	-	0.01
	-	0.01
Contribution for expenditure on corporate social
responsibility
Enterprises over which KMP have control orjoint control	15.31	25.70
	15.31	25.70
Investments made in
Subsidiaries
SRF Altech Limited (refer note below)	150.00	420.00
Others	0.30	-
	150.30	420.00
Remuneration
Relative of KMP	0.04	-
	0.04	-
Contribution to post employment beneft plans (Net of
claims) Post Employment Beneft Plans Trust	28.30	31.50
	28.30	31.50

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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Year ended Year ended
March 31, 2025 March 31, 2024
Employee benefit obligations/assets transferred to
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Employee beneft obligations/assets transferred to
Subsidiaries	0.02	-
Fellow Subsidiaries	-	0.01
	0.02	0.01
Equity dividend paid
Holding Company	107.17	107.74
Key management personnel	0.08	0.07
Relative of KMP	0.20	0.22
KMP of Holding Company	*	*
Relative of KMP of Holding Company	^	^
Enterprises over which KMP have control orjoint control	#	#
	107.45	108.03
* Amount in absolute`1,202 (Previous year :`1,786)
^ Amount in absolute`461 (Previous year :`720)
# Amount in absolute`37,224 (Previous year :`37,224)
Guarantees issued / renewed
Subsidiaries*
SRF Europe Kft	64.48	98.98
SRF Global BV	-	141.75
SRF Industries(Thailand)Limited	-	392.06
	64.48	632.79
Guarantees run-down / released
Subsidiaries*
SRF Industries(Thailand)Limited	117.54	161.96
	117.54	161.96

Converted using closing exchange rate - USD 85.48 and Euro 92.11 (Prev year USD 83.38 and Euro 89.98)

Note:- During the current year, the Company subscribed to redeemable preference shares issued by its subsidiary, SRF Altech Limited, amounting to ` 150.00 crores. These shares are redeemable at the subsidiary’s discretion within a 20-year period from the issuance date. The holders of these shares are entitled to a non-cumulative dividend of 8%, payable at the subsidiary’s discretion.

In accordance with relevant accounting standards, the instrument was initially recognized at fair value through profit or loss (FVTPL). The differential between the fair value and the consideration provided has been recorded as an additional investment (deemed contribution) by the Company. Consequently, 32.18 crores has been recognized as an investment in a debt instrument, while the remaining 117.82 crores has been recognized as an additional equity investment. Further, an interest income of ` 0.83 crores has been accrued on the debt investment during the current year. Also refer to note 5.1 and 5.4(ii)

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Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

32.3 Outstanding balances:

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As at As at
March 31, 2025 March 31, 2024
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Receivables
Subsidiaries
SRF Industries (Thailand) Limited	65.69	15.42
Others	37.26	17.14
Post Employment Beneft Plans Trust	0.51	0.99
Enterprises over which KMP have signifcant infuence	7.25	2.30
Enterprises over which KMP have control orjoint control	0.02	-
	110.73	35.85
Payables
Subsidiaries	13.12	0.60
Enterprises over which KMP have signifcant infuence	-	0.02
Post Employment Beneft Plans Trust	8.39	5.69
Enterprises over which KMP have control orjoint control	2.63	0.51
	24.14	6.82
Interest receivable
Subsidiaries	2.23	5.69
	2.23	5.69
Commission payable
Keymanagementpersonnel	17.26	17.26
	17.26	17.26
Security deposits outstanding
Subsidiaries	0.02	0.02
Fellow Subsidiaries	3.24	3.24
Relative of KMP	0.11	0.11
Key management personnel	-	-
Enterprises over which KMP have control orjoint control	1.21	1.12
	4.58	4.49
Equity Investment outstanding
Subsidiaries
SRF Altech Limited	425.00	425.00
SRF Global BV	79.60	79.60
Others	4.36	4.06
	508.96	508.66
Redeemable Preference shares outstanding
Subsidiaries SRF Altech Limited(refer footnote to note 32.2)	150.00	-
	150.00	-

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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As at As at
March 31, 2025 March 31, 2024
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Loans outstanding
Subsidiaries
SRF Altech Limited	129.00	60.00
SRF Global BV	-	250.15
	129.00	310.15
Guarantees outstanding
Subsidiaries*(Refer to note 31(d))	2,444.67	2,423.85
	2,444.67	2,423.85

Converted using closing exchange rate - USD 85.48 and Euro 92.11 (Prev year USD- 83.38, Euro 89.98)

32.4 Key management personnel compensation

	Year ended March 31, 2025	Year ended March 31, 2024
Short-term benefts*	40.24	39.05
Post-employment benefts	2.52	2.91
Other long-term benefts	0.80	1.07
	43.56	43.03

Includes sitting fees and commission paid/ payable to non executive directors

The above transactions with related parties are made on terms equivalent to those that prevail in arm's length transactions

33 EMPLOYEE BENEFITS

33.1 Defined contribution plans:

Amounts recognized in the statement of profit and loss are as under:

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Year ended Year ended
March 31, 2025 March 31, 2024
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Superannuation fund (Refer to note (i) below)	0.46	0.48
Provident fund administered through Regional Provident Fund	21.44	19.33
Commissioner (Refer to note (ii) below)
Employees’ State Insurance Corporation	0.13	0.15
National Pension Scheme	3.46	2.75
	25.49	22.71

The expenses incurred on account of the above defined contribution plans have been included in Note 25 “Employee Benefits Expenses” under the head “Contribution to provident and other funds”.

(i) Superannuation fund

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Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

Company. The Company has no further obligations under the plan except making annual contributions based on a specified percentage of each covered employee’s salary. From November 1, 2006, the Company provided an option to the employees to receive the said benefit as cash compensation along with salary in lieu of the superannuation benefit. Thus, no contribution is required to be made for the category of employees who opted to receive the benefit in cash.

(ii) Provident fund administered through Regional Provident Fund Commissioner

All employees are entitled to Provident Fund benefits as per the law. For certain category of employees the Company administers the benefits through a recognised Provident Fund Trust. For other employees contributions are made to the Regional Provident Fund Commissioners. The Government mandates the annual yield to be provided to the employees on their corpus. This plan is considered as a Defined Contribution Plan. For the first category of employees (covered by the Trust), the Company has an obligation to make good the shortfall, if any, between the yield on the investments of the trust and the yield mandated by the Government and these are considered as Defined Benefit Plans and are accounted for on the basis of an actuarial valuation.

33.2 Defined benefit plans

The Company sponsors funded defined benefit plans for qualifying employees. The defined benefit plans are administered by separate funds which are legally separate from the Company. These plans are:

(a) Gratuity

(b) Provident fund for certain category of employees administered through a recognised provident fund trust

(i) These plans typically expose the company to actuarial risks such as investment risk, interest rate risk, longevity risk and salary risk.

Investment Risk

The probability or likelihood of occurrence of losses relative to the expected return on any particular investment.

Salary Risk

The present value of defined benefit plan is calculated with the assumption of salary increase rate of plan participants in future. Deviation in rate of increase in salary in future for plan participants from the rate of increase in salary used to determine the present value of obligation will have a bearing on the plan’s liability.

Interest Risk

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

(ii) The principal assumptions used for the purpose of the actuarial valuation are as follows:

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----- Start of picture text -----

As at March 31, 2025 As at March 31, 2024
Gratuity Provident Fund Gratuity Provident Fund
----- End of picture text -----

Discount Rate	6.68%	6.68%	7.13%	7.13%
Expected statutory interest rate	-	8.25%	-	8.25%
Salary increase Retirement Age (years) Mortality Rates	8.50% 58 IALM	- 58 IALM	8.50% 58 IALM	- 58 IALM
Withdrawal rate	(2012-14)	(2012-14)	(2012-14)	(2012-14)
Upto 30 years 31 to 44 years	15.00% 7.00%	15.00% 7.00%	15.00% 7.00%	15.00% 7.00%
Above 44years	8.00%	8.00%	8.00%	8.00%

The cost of the defined benefit plans and other long term benefits are determined using actuarial valuations. Actuarial valuations involve making various assumptions that may differ from actual developments in the future. These includes the determination of the discount rate, future salary increases and mortality rate. Due to these complexities involved in the valuation probability are highly sensitive to the changes in these assumptions. All assumptions are reviewed at each reporting date. The present value of the defined benefit obligation and the related current service cost and planned service cost have been measured using the projected unit cost method.

(iii) Amounts recognised in statement of profit and loss in respect of these benefit plans are as follows:

	Year ended March 31, 2025 Year ended March 31, 2024
	Gratuity Provident Fund Gratuity Provident Fund
Current Service cost Interest expenses (net of expected return onplan assets)	13.94 10.47 12.43 7.73 0.26 - 0.62 -
	14.20 10.47 13.05 7.73

The current service cost and the net interest expenses for the year are included in Note 25 “Employee Benefits Expenses” under the head “Contribution to provident and other funds”.

The plan exposes the Company to the risk of fall in interest rates. A fall in interest rates will result in an increase in the ultimate cost of providing the above benefit and will thus result in an increase in value of the liability.

Longevity Risk

The present value of defined benefit plan liability is calculated by reference to the best estimate of the mortality of plan participants both during and after employment. An increase in the life expectancy of the plan participants will increase the plans liability.

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Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Standalone Financial Statements for the year ended March 31, 2025 (All amounts in ` Crores, unless otherwise stated)

(iv) Amounts recognised in Other Comprehensive Income:

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Year ended March 31, 2025 Year ended March 31, 2024
Gratuity Provident Fund Gratuity Provident Fund
Remeasurements (gain)/losses:
----- End of picture text -----

Remeasurements (gain)/losses:
Return on plan assets excluding	(3.51)	-	(5.59)	-
interest income
Actuarial (gain)/ losses arising from	4.96	-	6.82	-
changes in fnancial assumptions
Actuarial (gain)/ losses arising from	(1.17)	-	3.25	-
changes in experience adjustments
Actuarial (gain)/ losses arising	-	-	0.11	-
from changes in demographic
adjustments
	0.28	-	4.59	-

(v) The amounts included in balance sheet arising from the entity’s obligation in respect of its defined benefit plans are as follows:

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As at March 31, 2025 As at March 31, 2024
Gratuity Provident Fund Gratuity Provident Fund
Present value of funded defined 175.31 220.59 154.18 200.48
benefit obligation
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Fair value ofplanassets	168.76	220.60	150.17	203.36
Surplus/ (Defcit) Efect ofasset ceiling,ifany	(6.55) -	0.01 (0.01)	(4.01) -	2.88 (2.88)
Net assets / (liability)	(6.55)	-	(4.01)	-

(vi) Movements in the present value of defined benefit obligation are as follows:

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Year ended March 31, 2025 Year ended March 31, 2024
Gratuity Provident Fund Gratuity Provident Fund
Opening defined benefit obligation 154.18 200.48 127.68 178.17
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Opening defned beneft obligation	154.18	200.48	127.68	178.17
Current service cost	13.94	10.47	12.43	7.73
Interest cost	10.99	16.34	9.39	14.66
Actuarial (gain)/ losses arising from	4.96	-	6.82	-
changes in fnancial assumptions
Actuarial (gain)/ losses arising from	(1.17)	-	3.25	-
changes in experience adjustments
Actuarial (gain)/losses arising	-	-	0.11	-
from changes in demographic
assumptions
Benefts paid	(7.59)	(20.71)	(5.50)	(15.51)
Contribution by plan participants/ employees	-	12.32	-	11.20
Settlement/ transfer in	-	1.69	-	4.23
Closing defned beneft	175.31	220.59	154.18	200.48
obligation

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

(vii) Movements in the fair value of plan assets are as follows:

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----- Start of picture text -----

Year ended March 31, 2025 Year ended March 31, 2024
Gratuity Provident Fund Gratuity Provident Fund
----- End of picture text -----

Opening fair value of plan	150.17	203.36	119.30	179.86
assets
Return on plan assets	14.22	14.78	14.36	15.85
(excluding amounts included in
net interest expenses)
Contributions from employer	11.96	9.16	22.01	7.73
Contributions from plan	-	12.32	-	11.20
participants
Benefts paid	(7.59)	(20.71)	(5.50)	(15.51)
Settlement/ transfer in	-	1.69	-	4.23
Closing fair value of plan	168.76	220.60	150.17	203.36
assets

Gratuity:

Plan assets comprises primarily of investments in HDFC Group Unit Linked Plan Fund and ICICI Prudential Life Fund. The average duration of the defined benefit obligation is 9.14 years (Previous year: 9.29 years). The Company expects to make a contribution of 15.69 crores (Previous year: 13.77 crores) to the defined benefit plans during the next financial year.

The plan assets comprise of the following securities:

	As at March 31, 2025	As at March 31, 2024
Government and Corporate Bonds	82.27%	85.69%
Others	17.73%	14.31%

Provident Fund:

The plan assets comprise of the following securities:

	As at March 31, 2025	As at March 31, 2024
Government Bonds	48.37%	49.57%
Public Sector Bonds	39.70%	35.38%
Other equityand Mutual Funds	11.93%	15.05%

(viii) Sensitivity Analysis

Significant actuarial assumptions for the determination of the defined obligations are discount rate and expected salary increase. The sensitivity analysis below have been determined based on reasonably possible changes of the respective assumptions occurring at the end of reporting period, while holding all other assumptions constant.

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Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Standalone Financial Statements

for the year ended March 31, 2025 (All amounts in ` Crores, unless otherwise stated)

	Year ended March 31, 2025 Year ended March 31, 2024
	0.50% increase 0.50% decrease 0.50% increase 0.50% decrease
Sensitivity analysis of Gratuity Discount rate Expected salary growth Attrition rate Sensitivity analysis of Provident Fund Discount rate	(5.52) 5.88 (4.87) 5.18 5.75 (5.46) 5.09 (4.83) (0.56) 0.58 (0.49) 0.51 (0.02) 0.02 (0.02) 0.02

33.3 Other long-term employee benefit

Amounts recognized in the statement of profit and loss in note 25 “ Employee Benefits expense” under the head “Salaries and wages, including bonus” are as under:

Year ended March 31, 2025	Year ended March 31, 2024
Compensated absences 14.18	15.87
14.18	15.87

Long Term Retention Pay

The Company has a Long Term Retention Pay Plan which covers employees selected on the basis of their current band and their long term value to the Company. The incentive is payable in three year blocks subject to achievement of certain performance ratings. The Company also has a scheme for talent retention of certain identified employees under which an incentive is payable over a period of three years.

34 EMPLOYEE SHARE BASED PAYMENTS

The Company has an Employee Share Purchase Scheme (SRF Long Term Share Based Incentive Plan) to provide equity settled share based payments to eligible employees. Under the said Scheme, the Company has issued equity shares to the eligible employees by entering into a Share Grant Agreement and executing a Share Grant Acceptance Letter and paying the exercise price, if any, as prescribed by the Nomination and Remuneration Committee at the time of grant. Subscribed shares have complete voting and dividend rights. Employees who have been granted equity share are required to pledge their shares as part of the Share Grant Agreement between the Company, Eligible Employee and the SRF Employees Welfare Trust (‘Trust’). In case of exit/ termination of employees before their retirement or such other period as may be decided by the Nomination and Remuneration Committee, the shares shall get transferred to the Trust. Such shares will then be issued to another set of eligible employees as and when the Nomination and Remuneration Committee decides subject to the applicable rules and regulations.

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

The movement of number of equity shares granted, their fair value and the share based payment expense recognised during the year are as under:

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Year ended Year ended
March 31, 2025 March 31, 2024
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Number of equity shares:
(i) At the beginning of the year	198,800	198,800
(ii) Granted during the year	-	-
(iii)Released duringtheyear	(2,500)	-
(iv)At the end of theyear *	196,300	198,800
Market price on the grant date (`per equity share)	-	-
Exercise price (`per equity share)	-	-
Fair value of share based payment (`per equity share) Share basedpayment expense recognised duringtheyear	- 8.46	- 8.55

The shares outstanding as on March 31, 2025 are pledged for a period upto October 31, 2026.

35 SEGMENT REPORTING

Based on the guiding principles laid down in Indian Accounting Standard (Ind AS) - 108 “Segment Reporting”, the Chairman & Managing Director of the Company is the Chief Operating Decision Maker (CODM) and for the purposes of resource allocation and assessment of segment performance the business of the Company is segregated in the segments below:

Technical Textiles business: includes nylon tyre cord fabric, belting fabric, polyester tyre cord fabric and industrial yarns and its research and development
Chemicals business: includes refrigerant gases, industrial chemicals, speciality chemicals, fluorochemicals & allied products and its research and development.
Performance Films and Foil Business (earlier named as Packaging Film Business): includes polyester films and polypropylene films.
Others: includes coated fabric, laminated fabric and other ancillary activities.

Segment revenue, results and capital employed include the respective amounts identifiable to each of the segments. Other unallocable expenditure includes expenses incurred on common services provided to the segments, which are not directly identifiable.

In addition to the significant accounting policies applicable to the business segments as set out in note 1B above, the accounting policies in relation to segment accounting are as under:

a) Segment revenue and expenses

The expenses related to the grant of shares under the Scheme are accounted for on the basis of fair value of the share on the grant date (which is the market price of the Company’s share on the date of grant less exercise price). The fair value so determined is expensed on a straight line basis over the term of the grant.

Joint revenue and expenses of segments are allocated amongst them on a reasonable basis. All other segment revenue and expenses are directly attributable to the segments. These amounts relate to continuing operations, unless otherwise stated.

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Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

b) Segment assets and liabilities

Segment assets include all operating assets used by a segment and consist principally of operating cash, trade receivables, inventories and property plant and equipment and intangible assets, net of allowances and provisions, which are reported as direct offsets in the balance sheet. Segment liabilities include all operating liabilities and consist principally of creditors and accrued liabilities and do not include deferred income taxes. While most of the assets / liabilities can be directly attributed to individual segments, the carrying amount of certain assets / liabilities pertaining to two or more segments are allocated to the segments on a reasonable basis.

A. Information about operating business segments

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Year ended Year ended
March 31, 2025 March 31, 2024
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Segment revenue
a) Technical textiles business (TTB)
- External sales	2,021.00	1,886.99
- Inter-segment sales	8.05	11.02
Total	2,029.05	1,898.01
b) Chemicals business (CB)
- External sales	6,649.59	6,237.32
- Inter-segment sales	-	0.01
Total	6,649.59	6,237.33
c) Performance Films and Foil business (PFB)
- External sales	2,599.84	2,197.07
- Inter-segment sales	0.02	0.11
Total	2,599.86	2,197.18
d) Others
- External sales	427.54	465.29
- Inter-segment sales	-	0.01
Total	427.54	465.30
Total segment revenue	11,706.04	10,797.82
Less: Inter segment revenue	8.07	11.15
Revenue from operations	11,697.97	10,786.67
Add: Unallocable income	174.97	119.42
Total revenue	11,872.94	10,906.09
Segment profts
(Proft before interest and tax from each segment)
a) Technical textiles business (TTB)	237.51	273.68
b) Chemicals business (CB)	1,659.50	1,628.48
c) Perfomance Films and Foil business (PFB)	254.85	122.55
d) Others	68.83	93.02
Total segment results	2,220.69	2,117.73

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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Year ended Year ended
March 31, 2025 March 31, 2024
Less: i) Interest and finance charges 296.35 235.60
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Less: ii)Other unallocable expenses net of income Proft before tax Capital expenditure a) Technical textiles business (TTB)	219.96 1,704.38 216.94	164.25 1,717.88 215.59
b) Chemicals business (CB)	675.80	1,650.43
c) Performance Films and Foil business (PFB)	50.81	44.58
d) Others	22.43	16.52
e)Unallocated	7.94	8.74
Total	973.92	1,935.86
Depreciation and amortisation
a) Technical textiles business (TTB)	54.33	45.26
b) Chemicals business (CB)	468.05	403.36
c) Perfomance Films and Foil business (PFB)	84.78	84.14
d) Others	7.80	8.38
e)Unallocated	15.00	14.71
Total	629.96	555.85

Segment assets and liabilities

	As at March 31, 2025	As at March 31, 2024
Segment assets
a) Technical textiles business (TTB)	2,210.05	2,041.96
b) Chemicals business (CB)	10,858.57	10,689.28
c) Perfomance Films and Foil business (PFB)	2,374.07	2,321.37
d)Others	217.12	178.30
Total	15,659.81	15,230.91
Unallocable assets	2,370.61	2,133.73
Total assets	18,030.42	17,364.64
Segment liabilities
a) Technical textiles business (TTB)	410.91	525.38
b) Chemicals business (CB)	1,109.55	1,033.67
c) Perfomance Films and Foil business (PFB)	480.95	622.43
d)Others	43.77	41.60
Total	2,045.18	2,223.08
Unallocable liabilities	4,416.59	4,627.85
Total liabilities	6,461.77	6,850.93

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Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

B. Information about geographical business segments

	Year ended March 31, 2025	Year ended March 31, 2024
Revenue from operations
- India	7,012.39	5,917.29
- Germany	301.11	353.05
- USA	1,021.43	1,288.48
- Belgium	596.34	767.81
- Switzerland	746.16	659.98
- Others	2,020.54	1,800.06
	11,697.97	10,786.67

	As at March 31, 2025	As at March 31, 2024
Non current segment assets
- Within India	11,696.97	11,297.57
- Outside India	-	-
	11,696.97	11,297.57

Non-current segment assets includes property, plant and equipments, right-of-use assets, capital work in progress, intangible assets and other non current assets.

No single customer contributed 10% or more to the Company’s revenue for both financial years 2024-25 and 2023-24.

Revenue from major products

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Year ended Year ended
March 31, 2025 March 31, 2024
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a)	Technical textiles business (TTB)
	Nylon tyre cord fabric/ Polyester tyre cord fabric/ Belting fabric	1,707.93	1,652.37
	Synthetic flament yarn including industrial yarn	265.12	207.05
	Others	3.56	5.52
b)	Chemicals business (CB)
	Speciality chemicals	3,793.19	3,666.07
	Fluorochemicals, Refrigerant gases and Allied products	2,208.81	2,072.82
	Industrial chemicals	411.26	343.39
	Others	2.70	9.24
c)	Perfomance Films and Foil Business (PFB)
	Packaging flms	2,561.72	2,148.95
d)	Others
	Laminated fabric,Coated fabric and other ancillaryactivities	422.98 11,377.27	460.51 10,565.92

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

36 EARNINGS PER SHARE (EPS)

	Year ended March 31, 2025	Year ended March 31, 2024
Proft attributable to the equity holders of the Company used in	1,268.07	1,374.03
calculating basic earning per share and diluted earning per share
Weighted average number of equity shares for the purpose of	296,424,825	296,424,825
calculating basic and diluted earnings per share (numbers)
Basic and diluted earningsper share of face value`10 each	42.78	46.35

37 RIGHT-OF-USE ASSETS

The Company leases various types of assets including land, buildings and plant and equipment. Information about leases for which the Company is a lessee is presented below.

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Particulars Land Buildings Plant and Total
equipment
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Cost
Balance at April 1, 2023	156.07	45.43	125.87	327.37
Additions / adjustments	6.49	5.21	9.73	21.43
Derecognition	-	(6.66)	(4.71)	(11.37)
Balance at March 31, 2024	162.56	43.98	130.89	337.43
Additions / adjustments	-	-	2.07	2.07
Derecognition	-	-	(6.25)	(6.25)
Balance at March 31, 2025 Accumulated amortisation	162.56	43.98	126.71	333.25
Balance at April 1, 2023	6.07	26.39	36.04	68.50
Depreciation expenses	1.89	6.68	23.14	31.71
Derecognition	-	(6.66)	(4.71)	(11.37)
Balance at March 31, 2024	7.96	26.41	54.47	88.84
Depreciation expenses	1.83	6.88	20.73	29.44
Derecognition	-	-	(6.25)	(6.25)
Balance at March 31, 2025	9.79	33.29	68.95	112.03
Net Block
Balance at March 31, 2024	154.60	17.57	76.42	248.59
Balance at March 31, 2025	152.77	10.69	57.76	221.22

Lease liabilities included in the Balance Sheet

	As at March 31, 2025	As at March 31, 2024
Current	28.74	27.51
Non-current	55.01	81.75

The average incremental borrowing rate applied to lease liabilities during the year ranges from 6.75% to 7.89% (Previous year: ranges from 8.03% to 8.41%).

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Notes to the Standalone Financial Statements for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

Amounts recognised in Statement of Profit and Loss

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||||
|---|---|---|
|Year ended|Year ended|
|March 31, 2025|March 31, 2024|
|Interest on lease liabilities (Refer note 26)|7.51|8.99|
|Depreciation expense (Refer note 27)|29.44|31.71|
|Expenses relating to short-term leases (Refer note 28)|5.87|10.62|
|Expenses relating to low-value assets (Refer note 28)|32.24|25.90|

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Amounts recognised in Cash Flow Statement

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||||
|---|---|---|
|Year ended|Year ended|
|March 31, 2025|March 31, 2024|
|Total cash outflow for leases|35.09|37.11|

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38 FINANCIAL INSTRUMENTS AND RISK MANAGEMENT

38.1 Capital Management

The Company manages its capital to ensure that it will be able to continue as a going concern and provide reasonable return to the shareholders by maintaining a reasonable balance between debt and equity. The capital structure of the Company consists of net debt (borrowings net of cash and cash equivalents, deposit accounts with maturity beyond three months upto twelve months and current investments) and total equity of the Company. The Company is not subject to any externally imposed capital requirements. The Company’s management reviews the capital structure of the Company on periodic basis. As part of its review, the management considers the cost of capital and risk associated with each class of capital. The Company also evaluates its gearing measures using Debt Equity Ratio to arrive at an appropriate level of debt and accordingly evolves its capital structure.

The following table provides the details of the debt and equity at the end of the reporting periods :

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As at As at
March 31, 2025 March 31, 2024
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||||
|---|---|---|
|Debt and lease liabilities|3,337.22|3,720.78|
|Less:|
|Cash and cash equivalents|313.85|361.77|
|Deposit accounts with maturity beyond three months upto twelve|0.43|0.22|
|months|
|Deposit with Non Banking Financial Company (NBFC)|75.00|25.00|
|Current investments|704.53|405.58|
|Net debt|2,243.41|2,928.21|
|Total equity|11,568.65|10,513.71|
|Net debt to equity ratio|0.19|0.28|

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Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

38.2 Financial instruments by category

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||||||||
|---|---|---|---|---|---|---|
|Financial assets|Carrying value|Fair value|
|Level of|Notes|As at|As at|As at|As at|
|hierarchy|March 31,|March 31,|March 31,|March 31,|
|2025|2024|2025|2024|
|Measured at amortised cost|
|Investments in bonds|1|d|50.11|50.11|50.79|50.28|
|Investments in equity instruments|3|d|6.09|2.50|6.09|2.50|
|Investment in optionally convertible|3|d|-|2.56|-|2.56|
|debentures|
|Trade Receivables|a|1,765.14|1,538.00|1,765.14|1,538.00|
|Cash and cash equivalents|a|313.85|361.77|313.85|361.77|
|Bank balances other than above|a|15.25|8.21|15.25|8.21|
|Loans|a,b|194.52|372.09|194.52|372.09|
|Other fnancial assets|a,b|283.56|343.68|283.56|343.68|
|2,628.52|2,678.92|2,629.20|2,679.09|
|Measured at Fair value through|
|profit and loss|
|Investments in bonds|1|d|66.50|150.33|66.50|150.33|
|Investments in debt instrument of|3|d|33.01|-|33.01|-|
|subsidiary|
|Investments in mutual funds|2|d|704.53|321.14|704.53|321.14|
|Derivative instruments|2|d|1.64|0.25|1.64|0.25|
|805.68|471.72|805.68|471.72|
|Measured at Fair value through|
|Other comprehensive income|
|Investments in unquoted equity|3|d|0.05|0.05|0.05|0.05|
|instruments|
|Derivative instruments|2|d|11.30|48.03|11.30|48.03|
|11.35|48.08|11.35|48.08|
|Financial liabilities|Carrying value|Fair value|
|Level of|Notes|As at|As at|As at|As at|
|hierarchy|March 31,|March 31,|March 31,|March 31,|
|2025|2024|2025|2024|
|Measured at amortised cost|
|Borrowings|3|a,c|3,253.47|3,611.51|3,216.12|3,602.42|
|Trade payables|a|1,570.25|1,567.81|1,570.25|1,567.81|
|Other fnancial liabilities|a,b|241.29|398.84|241.29|398.84|
|5,065.01|5,578.16|5,027.66|5,569.07|
|Measured at Fair value through|
|profit and loss|
|Derivative instruments|2|d|0.18|0.79|0.18|0.79|
|0.18|0.79|0.18|0.79|
|Measured at Fair value through|
|Other comprehensive income|
|Derivative instruments|2|d|24.99|5.73|24.99|5.73|
|24.99|5.73|24.99|5.73|

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316 ANNUAL REPORT 2024-25

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Corporate Our Statutory Financial 02 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

The following methods/ assumptions are used to estimate the fair values:

(a) Fair valuation of financial assets and liabilities with short term maturities is considered as approximate to respective carrying amount due to the short term maturities of these instruments.
(b) Fair valuation of non-current financial assets and financial liabilities has been disclosed to be same as
carrying value as there is no significant difference between carrying value and fair value.
(c) Fair value of other long-term borrowings is estimated by discounting future cash flows using current rates (applicable to instruments with similar terms, currency, credit risk and remaining maturities) to discount the future payouts.
(d) The fair value is determined by using the valuation model/ technique with observable/ non-observable
inputs and assumptions.
(e) Investment value excludes equity investment in subsidiaries which are shown at cost in balance sheet
as per Ind AS 27 “Separate financial statements”.

There are no transfers between Level 1, Level 2 and Level 3 during the year ended March 31, 2025 and March 31, 2024.

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

(iii) Unquoted equity investments: Fair value is determined based on the recoverable value as per agreement with the investee.
(iv) Investment in debt instruments: Fair value is determined as present value of amount receivable at end of term.

Reconciliation of Level 3 fair value measurements As at March 31, 2023	Unlisted equity instruments 4.16	Investment in Debt Instrument of Subsidiary -
Sale of investment As at March 31, 2024	(4.11) 0.05	- -
Purchase of investment	-	32.18
Interest accreted	-	0.83
As at March 31, 2025	0.05	33.01

Sensitivity of the fair value measurement to changes in unobservable inputs for financial instruments in Level 3 level of hierarchy is insignificant.

Level 1:

Quoted prices in the active market: This level of hierarchy includes financial assets that are measured by reference to quoted prices in the active market.

Level 2:

Valuation techniques with significant observable inputs: This level of hierarchy includes items measured using inputs other than quoted prices included within Level 1 that are observable for such items, either directly or indirectly. This level of hierarchy consists of over the counter (OTC) derivative contracts, open ended mutual funds and bonds.

Level 3:

Valuation techniques with significant unobservable inputs: This level of hierarchy includes items measured using inputs that are not based on observable market data (unobservable inputs). Fair value is determined in whole or in part, using a valuation model based on assumptions that are neither supported by prices from observable current market transactions in the same instruments nor based on available market data. The main item in this category are unquoted equity instruments and investment in debt investment in a Subsidiary.

The fair value of the financial instruments are determined at the amount that would be received to sell an asset in an orderly transaction between market participants. The following methods and assumptions are used to estimate the fair values:

(i) Investments in mutual funds and bonds : Fair value is determined by reference to quotes from the financial institutions.
(ii) Derivative contracts: The Company has entered into various foreign currency contracts and interest rate swaps contracts to manage its exposure to fluctuations in foreign exchange rates and interest rate respectively. These financial exposures are managed in accordance with the Company’s risk management policies and procedures. Fair value of derivative financial instruments are determined using valuation techniques based on information derived from observable market data, i.e., mark to market values determined by the authorized dealers banks and quoted forward exchange rates at the balance sheet date.

38.3 Financial Risk Management

The Company is exposed to various financial risks arising from its underlying operations and finance activities. The Company is primarily exposed to market risk (i.e. interest rate and foreign currency risk) and to credit risk and liquidity risk. The Company’s Corporate Treasury function plays the role of monitoring financial risk arising from business operations and financing activities.

Financial risk management within the Company is governed by policies and guidelines approved by the senior management and the Board of Directors. These policies and guidelines cover interest rate risk, foreign currency risk, credit risk and liquidity risk. Company policies and guidelines also cover areas such as cash management, investment of excess funds and the raising of short and long-term debt. Compliance with the policies and guidelines is managed by the Corporate Treasury function within the Company. Review of the financial risk is done on a monthly basis by the Chairman and Managing Director and on a quarterly basis by the Board of Directors. The objective of financial risk management is to contain, where deemed appropriate, exposures on net basis to the various types of financial risks mentioned above in order to limit any negative impact on the Company’s results and financial position.

In accordance with its financial risk management policies, the Company manages its market risk exposures by using specific type of financial instruments duly approved by the Board of Directors as and when deemed appropriate. It is the Company’s policy and practice neither to enter into derivative transactions for speculative purpose, nor for any purpose unrelated to the underlying business. The Board of Directors / Chairman and Managing Director reviews and approves policies for managing each of the above risks.

38.3.1 Market Risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises of interest rate risk and foreign currency risk. Financial instruments affected by market risk includes loans and borrowings, deposits, investments and derivative financial instruments. The Company enters into derivative contracts as approved by the Board to manage its exposure to interest rate risk and foreign currency risk.

318

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Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

A. Foreign Currency Risk Management

Foreign currency risk also known as Exchange Currency Risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of changes in foreign exchange rates. Foreign currency risk in the Company is attributable to Company’s operating activities, investing activities and financing activities.

In the operating activities, the Company’s exchange rate risk primarily arises when revenue / costs are generated in a currency that is different from the reporting currency (transaction risk). In compliance with the Board approved policy, the Company manages the net exposure on a rolling period of 12 month basis and for exposures between a period of 12 to 36 months, hedging is done based on specific exposure. The information is monitored by the Board of Directors on a quarterly basis. This foreign currency risk exposure of the Company are mainly in U.S. Dollar (USD), Euro (EUR), Japanese Yen (JPY) and British Pound Sterling (GBP). The Company’s exposure to foreign currency changes for all other currencies is not material.

The summary quantitative data about the Company’s exposure to currency risk at the end of the reporting periods expressed in ` are as follows:

	Assets Liabilities Net Assets/ (Liabilities)
	As at March 31, 2025 As at March 31, 2024 As at March 31, 2025 As at March 31, 2024 As at March 31, 2025 As at March 31, 2024
USD EUR JPY GBP	647.92 798.65 2,919.24 3,670.38 (2,271.32) (2,871.73) 84.76 90.91 444.29 428.44 (359.53) (337.53) - - 12.90 10.65 (12.90) (10.65) 2.51 2.18 0.06 0.30 2.45 1.88

Foreign currency sensitivity analysis

The Company is mainly exposed to changes in USD, EUR, JPY and GBP exchange rates.

The following table details the Company’s sensitivity to a 1% increase and decrease in the ` against the relevant foreign currency. The sensitivity analysis includes only outstanding foreign currency denominated monetary items as tabulated above and adjusts their translation at the period end for 1% change in foreign currency rates. This analysis assumes that all other variables, in particular interest rates, remain constant. A positive number below indicates an increase in profit before tax or vice-versa.

	Year ended March 31, 2025 Year ended March 31, 2024
	`strengthens<br>by 1%<br>`weakens by 1% `strengthens<br>by 1%<br>`weakens by 1%
Impact on proft / (loss) * USD EUR JPY GBP	7.92 (7.92) 7.33 (7.33) (0.55) 0.55 1.09 (1.09) 0.13 (0.13) 0.11 (0.11) (0.02) 0.02 (0.02) 0.02

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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Year ended March 31, 2025 Year ended March 31, 2024
strengthens weakens by strengthens weakens by
by 1% 1% by 1% 1%
Impact on equity (Other
Comprehensive Income)
USD 14.79 (14.79) 21.38 (21.38)
EUR 4.15 (4.15) 2.30 (2.30)
Foreign exchange derivative and non-derivative financial instruments
The Company uses derivative as well as non-derivative financial instruments for hedging financial risks
that arise from its commercial business or financing activities. The Company’s Corporate Treasury team
manages its foreign currency risk by hedging transactions that are expected to occur within a period of
1 to 36 months for hedges of forecasted sales, purchases, loans and liabilities and capital expenditures.
When a derivative is entered into for the purpose of being a hedge, the Company negotiates the terms
of those derivatives to match the terms of the hedged exposure. For hedges of forecast transactions the
derivatives cover the period of exposure from the point the cash flows of the transactions are forecasted up
to the point of settlement of the resulting receivable or payable that is denominated in the foreign currency.
All identified exposures are managed as per the policy duly approved by the Board of Directors.
The following table details the foreign currency derivative contracts outstanding at the end of the
reporting period:
Maturity
Outstanding No of Deals Contract Value of Up to 12 months More than 12
Contracts Foreign Currency Nominal Amount months Nominal
(In Millions) ( Crores) Amount* ( Crores)
As at As at As at As at As at As at As at As at
March March March March March March March March
31, 2025 31, 2024 31, 2025 31, 2024 31, 2025 31, 2024 31, 2025 31, 2024
USD / INR Sell 235 234 720.20 668.20 3,239.12 2,517.66 3,044.25 3,204.48
forward
EUR / USD Buy 2 - 7.20 - 67.58 - - -
forward
----- End of picture text -----

The Company uses derivative as well as non-derivative financial instruments for hedging financial risks that arise from its commercial business or financing activities. The Company’s Corporate Treasury team manages its foreign currency risk by hedging transactions that are expected to occur within a period of 1 to 36 months for hedges of forecasted sales, purchases, loans and liabilities and capital expenditures. When a derivative is entered into for the purpose of being a hedge, the Company negotiates the terms of those derivatives to match the terms of the hedged exposure. For hedges of forecast transactions the derivatives cover the period of exposure from the point the cash flows of the transactions are forecasted up to the point of settlement of the resulting receivable or payable that is denominated in the foreign currency. All identified exposures are managed as per the policy duly approved by the Board of Directors.

The following table details the foreign currency derivative contracts outstanding at the end of the reporting period:

Computed using average forward contract rates

The following table details the Company’s sensitivity to a 1% increase and decrease in the ` against the relevant foreign currency. The sensitivity analysis includes only outstanding forward exchange contracts as tabulated above and adjusts their translation at the period end for 1% change in forward rates. A positive number below indicates an increase in profit before tax or vice-versa.

Includes sensitivity on long-term foreign currency monetary items on which Para D13 AA of Ind AS 101 has been applied. Accordingly, the exchange loss/ (gain) arising on long term foreign currency monetary items relating to acquisition of depreciable assets will be added to/ deleted from the cost of such assets/ capital work in progress and will be depreciated over the balance useful life of assets.

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Corporate Our Statutory Financial 02 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Standalone Financial Statements

for the year ended March 31, 2025 (All amounts in ` Crores, unless otherwise stated)

==> picture [424 x 54] intentionally omitted <==

----- Start of picture text -----

Year ended March 31, 2025 Year ended March 31, 2024
strengthens weakens by strengthens weakens by
by 1% 1% by 1% 1%
Impact on profit / (loss) for the
----- End of picture text -----

Impact on proft / (loss) for the
year
USD	1.98	(1.98)	1.84	(1.84)
EUR	-	-	-	-
Impact on equity (Other
Comprehensive Income)
USD	61.03	(61.03)	54.97	(54.97)
EUR	(0.67)	0.67	-	-

B. Interest Rate Risk Management

Interest rate risk arises from movements in interest rates which could have effects on the Company’s net income or financial position. Changes in interest rates may cause variations in interest income and expenses resulting from interest-bearing assets and liabilities. The Company’s exposure to the risk of changes in market interest rates relates primarily to the Company’s long-term debt obligations with floating interest rates.

The Company manages its interest rate risk by having a portfolio of fixed and variable rate loans and borrowings. The Company enters into interest rate swaps, in which it agrees to exchange, at specified intervals, the difference between fixed and variable rate interest amounts, calculated by reference to an agreed principal amount outstanding at the time of inception of the swap. Out of the total long term borrowings, the amount of fixed interest loan aggregates to 15.63 crores and floating interest loan aggregates to 2,103.95 crores (Previous year: Fixed interest loan 438.88 crores and Floating interest loan 2,139.67 crores).

The following table demonstrates the sensitivity to a reasonably possible change in interest rates on that portion of loans and borrowings affected. With all other variables held constant, the Company’s profit before tax is affected through the impact on floating rate long term borrowings, as follows:

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

C. Hedge accounting

Cash flow hedges

The amounts at the reporting date relating to the item designed as hedge items are as follows:

Hedging instruments	As at March 31, 2025 Year ended March 31, 2025 As at March 31, 2024 Year ended March 31, 2024
	Nominal amount Carrying amount Assets / (liabilities) Line item where the hedging instrument is included Change in the value of the hedging instrument recognised in OCI Nominal amount Carrying amount Assets / (liabilities) Line item where the hedging instrument is included Change in the value of the hedging instrument recognised in OCI
Foreign exchange contracts	6,151.76 11.30 Other fnancial assets (current and non - current) (56.00) 5,539.00 48.03 Other fnancial assets (current and non - current) 103.01 (24.99) Other fnancial liabilites (current and non - current) (5.73) Other fnancial liabilites (current and non - current)
Foreign currency denominated creditors	- - 15.69 134.11 (134.11) Other fnancial liabilities (current) 4.58
Foreign currency denominated loans	1,893.07 (1,893.07) Borrowings (current and non - current) 34.82 2,233.66 (2,233.66) Borrowings (current and non - current) 3.29
Interest rate swap contacts	- - - - - - - (0.89)

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----- Start of picture text -----

Year ended March 31, 2025 Year ended March 31, 2024
loans Foreign loans Foreign
interest rate currency interest rate currency
increases by loans increases by loans
0.50 % interest rate 0.50 % interest rate
increases by increases by
0.15 % 0.15 %
Decrease in profit before tax by (0.94) (2.87) (1.00) (2.91)
----- End of picture text -----

In case of decrease in interest rate by above mentioned percentage, there would be a comparable positive impact on the profit before tax as mentioned above.

322 ANNUAL REPORT 2024-25

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Corporate Our Statutory Financial 02 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Standalone Financial Statements for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

Fair Value hedges

The amounts at the reporting date relating to the item designed as hedge items are as follows:

Hedging
instruments

As at March 31, 2025
Year ended
March 31,
2025
As at March 31, 2024
Year ended
March 31,
2024

Nominal
amount
Carrying
amount
Assets /
(liabilities)
Line item
where the
hedging
instrument is
included
Change in
the value of
the hedging
instrument
recognised
in statement
of proft and
loss
Nominal
amount
Carrying
amount
Assets /
(liabilities)
Line item
where the
hedging
instrument is
included
Change in
the value of
the hedging
instrument
recognised
in statement
of proft and
loss

Foreign
exchange
contracts

199.20
1.64
Other fnancial
assets
(current)
2.01
183.14
0.25
Other fnancial
assets
(current)
6.45
(0.18)
Other fnancial
libilities
(current)
(0.79)
Other fnancial
libilities
(current)

Movement of cash flow hedging reserve and cost of hedging reserve

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----- Start of picture text -----

Particulars Cash flow hedging Cost of hedging
reserve reserve
As at As at As at As at
March 31, March 31, March 31, March 31,
2025 2024 2025 2024
----- End of picture text -----

Opening Balance	(54.51)	(150.22)	3.40	4.67
Changes in the spot element of the forward contracts which	(3.16)	(2.38)	-	-
is designated as hedging instruments for time period related
hedge
Changes in the forward element of the forward contracts where changes in spot element of forward contract is designated as hedging instruments for time period related hedges (including contract settled during the year)	-	-	-	(15.52)
Changes in fair value of forward contracts designated as	(56.58)	120.92	-	-
hedging instruments recognised in OCI
Changes in fair value of interest rate swaps	-	(0.89)	-	-
Amount reclassifed to Proft or Loss	115.08	39.02	(3.40)	13.82
(Foreign exchange (gain) / loss)
Amount arising from remeasurement of fnancial liability	(61.42)	(28.77)	-	-
Taxes related to above	1.53	(32.19)	-	0.43
Closing Balance	(59.06)	(54.51)	-	3.40

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

D Investment Risk

The primary goal of the Company’s investment is to maintain liquidity along with meeting Company’s strategic purposes. Depending upon the investment strategy at inception, management classifies certain investments as FVTPL. The following table details the Company’s sensitivity to a 1% increase and decrease in the price of instruments.

	Year ended March 31, 2025 Year ended March 31, 2024
	Market price increase by 1% Market price decrease by 1% Market price increase by 1% Market price decrease by 1%
Impact onproft/ (loss)for theyear	7.71 (7.71) 4.71 (4.71)

38.3.2 Credit Risk Management

Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer contract, leading to a financial loss. The Company is exposed to credit risk from its operating activities (primarily trade receivables, loans and other financial assets) and from its financing activities, including deposits with banks and financial institutions, foreign exchange transactions and other financial instruments. The Company does not require collateral in respect of trade receivables, loans and contract assets.

Credit risk from balances with banks and financial institutions is managed by the Company’s treasury department in accordance with the Company’s policy. Investments of surplus funds are made only with counterparties who meet the parameters specified in Investment Policy of the Company. The investment policy specifies the limits of investment in various categories of products so as to minimize the concentration of risks and therefore mitigate financial loss due to counterparty’s potential failure.

The derivatives are entered into with reputed and well established bank and financial institution.

The cash and cash equivalents and other bank balances are held with banks, financial institution and other counterparties, which are rated AA or above. The Company considers that its cash and cash equivalents have low credit risk based on the external credit ratings of the counterparties.

The Company limits its exposure to credit risk by investing in liquid debt securities and only with counterparties that have a credit rating of at least AA or above. The Company permits exposure in corporate bonds only upto the specified amount as per its Board policy. Also, mutual fund investments are permitted only in those funds where the corpus size is more than ` 2,000 crores. The Company monitors its investment portfolio on continuous basis to assess whether there has been a significant increase in credit risk whether or not reflected in the published ratings.

Expected credit loss on financial assets:

To manage credit risk for trade receivables, the Company establishes credit approvals and credit limits, periodically assesses the financial reliability of customers, taking into account the financial conditions, economic trends, analysis of historical bad debts and aging of such receivables.

With regard to all financial assets with contractual cash flows other than trade receivable, management believes these to be high quality assets with negligible credit risk. The management believes that the parties, from which these financial assets are recoverable, have strong capacity to meet the obligations

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Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

and where the risk of default is negligible and accordingly no provision for excepted credit loss has been provided on these financial assets other than as detailed below.

Loss allowance for the following financial assets have been recognised by the Company:

Loans - current	Note No. 6	As at March 31, 2025 2.74	As at March 31, 2024 2.74
Trade receivables	10	2.63	1.79
		5.37	4.53

Movement of loss allowance :

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----- Start of picture text -----

Loans (current Trade
and non current) receivables
----- End of picture text -----

As at April 1, 2023	2.74	2.64
Provided during the year	-	-
Reversed / utilised during the year	-	(0.85)
As at March 31, 2024	2.74	1.79
Provided during the year	-	1.07
Reversed/utilised duringtheyear	-	(0.23)
As at March 31, 2025	2.74	2.63

Other than financial assets mentioned above, none of the Company’s financial assets are impaired, as there are no indications that defaults in payments obligation would occur.

38.3.3 Liquidity Risk Management

Liquidity risk is the risk of non-availability of financial facilities available to the Company to meet its financial obligations. The Company’s objective is to maintain a balance between continuity of funding and flexibility through the use of money market instruments, bank overdrafts, bank loans, debentures and other types of facilities. The liquidity management is governed by the Board approved liquidity management policy. Any deviation from the policy has to be approved by the Treasury Management comprising of Chairman and Managing Director, Chief Financial Officer and Treasury Head. The Company assesses the concentration of risk with respect to refinancing its debt, guarantee given and funding of its capital expenditure according to needs of the future. The Company manages its liquidity by holding appropriate volumes of liquid assets which are available for its disposal on T +1 basis and by maintaining open credit lines with banks.

The Company has secured bank loans that contain loan covenants. A future breach of any covenants may require the Company to repay the loans earlier than their original payment date.These covenants are monitored by the treasury department and regularly reported to management to ensure compliance with the agreement.

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

The Company also participates in a supply chain financing arrangement (SCF) with the principal purpose of facilitating efficient payment processing of supplier invoices. The SCF allows the Company to centralise payments of trade payables to the bank rather than paying each supplier individually. While the SCF does not extend payment terms beyond the normal terms agreed with other suppliers that are not participating, the programme assists in making cash outflows more predictable. Also refer note 18.

Also refer note 10 for receivables purchase agreements entered into by the Company as a part of its liquidity risk management policy.

The table below analyze the Company’s financial liabilities into relevant maturity profiles based on their contractual maturities:

As at March 31, 2025	Less than 1 year	More than 1 year and upto 5years	More than 5 years	Total
Borrowings*	1,783.35	1,627.02	103.47	3,513.84
Lease Liabilities**	34.10	54.51	30.63	119.24
Trade payables	1,570.25	-	-	1,570.25
Derivative Liabilities	8.71	16.46	-	25.17
Other fnancial liabilities	239.30	-	1.99	241.29
	3,635.71	1,697.99	136.09	5,469.79

As at March 31, 2024	Less than 1 year	More than 1 year and upto 5years	More than 5 years	Total
Borrowings*	2,087.18	1,475.89	437.88	4,000.95
Lease Liabilities** Trade payables	34.96 1,567.81	81.42 -	35.32 -	151.70 1,567.81
Derivative Liabilities	5.72	0.80	-	6.52
Other fnancial liabilities	398.84	-	-	398.84
	4,094.51	1,558.11	473.20	6,125.82

Includes current maturity of non-current borrowings and future cash outflow towards estimated interest on noncurrent borrowings

** Includes future cash outflow towards estimated interest on lease liabilities.

39 Contract balances

The following table provides information about contract liabilities from contracts with customers:

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----- Start of picture text -----

Contract liability Year ended Year ended
March 31, 2025 March 31, 2024
----- End of picture text -----

	Opening balance Revenue recognised that was included in the contract liability balance at the beginning of the period Increase due to cash received, excluding the amount recognised	23.21 (23.21) 21.13	40.37 (40.37) 23.21
	as revenue duringtheperiod
	Closing balance	21.13	23.21

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Corporate Our Statutory Financial 02 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

40 ADDITIONAL DISCLOSURES

(a) RESEARCH AND DEVELOPMENT EXPENDITURE

The details of research and development expenditure of 154.27 Crores (Previous year: 146.41 Crores) included in these financial statements are as under:

	Year ended March 31, 2025	Year ended March 31, 2024
Capital expenditure	19.68	20.46
Revenue expenditure	134.59	125.95
	154.27	146.41

The details of revenue expenditure incurred on research and development is as below:

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----- Start of picture text -----

Year ended Year ended
March 31, 2025 March 31, 2024
----- End of picture text -----

Cost of material consumed	0.08	0.74
Salaries and wages, including bonus	63.69	56.21
Contribution to provident and other funds	4.34	3.74
Workmen and staf welfare expenses	4.62	4.60
Stores and spares consumed	6.54	5.61
Power and fuel	8.96	10.41
Rent	0.58	1.32
Repairs and maintenance
- Buildings	0.04	0.08
- Plant and machinery	12.66	12.39
- Others	1.49	2.05
Insurance	1.38	1.10
Rates and taxes	0.06	0.04
Travelling and conveyance	2.01	2.36
Legal and professional charges	4.95	5.34
Depreciation and amortisation expense	17.06	14.56
Interest cost	^	^
Miscellaneous expenses	6.13	5.40
	134.59	125.95

^ Absolute amount 177 (Previous Year: 19,704)

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

(b) MANAGERIAL REMUNERATION

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----- Start of picture text -----

Year ended Year ended
March 31, 2025 March 31, 2024
----- End of picture text -----

(a) Remuneration to Chairman & Managing Director/
Joint Managing Director/ Whole time Directors
Salary and contribution to provident and other funds	23.08	22.40
Value of perquisites	2.13	2.08
Commission	16.00	16.00
SUB-TOTAL	41.21	40.48
(b) Remuneration to Non Executive Directors
Commission	1.26	1.26
Directors’ sittingfees	0.29	0.21
SUB-TOTAL	1.55	1.47
TOTAL	42.76	41.95

ii) Computation of managerial remuneration in accordance with section 197 of the Companies Act, 2013

	Year ended March 31, 2025	Year ended March 31, 2024
Proft before taxation	1,704.38	1,717.88
Add: Managerial remuneration including commission	42.76	41.95
Add: Amounts specifed under section 198(2)	8.28	3.42
Sub Total	1,755.42	1,763.25
Less: Amounts specifed under section 198(5) Proft as per section 197 of the Companies Act, 2013	23.25 1,732.17	15.80 1,747.45
Maximum remuneration as commission and/ or salary including	173.23	174.75
perquisites @ 10% of net proft of`1,732.17 crores (Previous
year:`1,747.45 crores) which can be paid to Managing Directors/
Whole time Directors under section 197 of the 2013 Act
Remuneration paid/ payable to Managing Directors /	41.21	40.48
Whole Time Directors
Maximum remuneration payable to Non-Executive Directors @	17.32	17.47
1% of net proft of`1,732.17 crores (Previous year:`1,747.45
crores) under section 197 of the 2013 Act
Remunerationpaid/ payable to Non-Executive Directors	1.55	1.47

(c) The Company has elected to continue the policy adopted for accounting for exchange differences arising from translation of long-term foreign currency monetary items as described in Para D13 AA of Ind AS 101. Accordingly, exchange loss/ (gain) arising on all long term monetary items financed or re-financed on or before March 31, 2016 relating to acquisition of following depreciable assets are added to/ adjusted from the cost of such assets/ capital work in progress and will be depreciated over the balance useful life of such assets.

328 ANNUAL REPORT 2024-25

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Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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----- Start of picture text -----

|||||
|---|---|---|---|
|Exchange loss/ (gain) added/ (adjusted)|Year ended|Year ended|
|March 31, 2025|March 31, 2024|
|Property, plant and equipment|
|-|Plant and equipment|0.75|1.15|
|0.75|1.15|

----- End of picture text -----

The cumulative exchange loss/ (gain) added/ (adjusted) and remaining unamortised as at March 31, 2025 is 101.60 Crores (Previous year: 110.84 Crores).

(d) Disclosures pursuant to section 186(4) of the Companies Act, 2013 and regulations 34(3) and 53(f) of SEBI (Listing Obligations and Disclosure Requirements) Regulations 2015, as applicable:

(i) Details of guarantees:

Nature of Guarantees Purpose Refer note 31 (d) above To secure the financial facilities sanctioned to subsidiaries by banks and other companies.

(ii) Details of investments:

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|||
|---|---|
|Nature of Investments|Purpose|
|Refer note 5 above|Investment in wholly owned subsidiaries.|

----- End of picture text -----

(iii) Details of unsecured loans given:

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----- Start of picture text -----

Particulars of loans Terms As at As at
March 31, 2025 March 31, 2024
----- End of picture text -----

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----- Start of picture text -----

||||||
|---|---|---|---|---|
|SRF Global BV|Principal|amount|repaid|in|
|(denominated in USD) -|March 2025 (Previous year:|
|given for repayment of|Principal amount repayable in|
|existing borrowings and|March 2025).|
|general corporate purpose|
|Interest on a floating rate basis|
|payable quarterly. The effective|
|yield is in compliance with|
|Section 186 of the Companies|
|Act, 2013.|
|As at the beginning of the year|250.15|246.63|
|Given during the year|-|-|
|Received back during the year|(253.31)|-|
|Foreign currency exchange|3.16|3.52|
|fluctuation gain / (loss)|
|As at end of the year|-|250.15|
|Maximum balance outstanding|(253.31)|250.15|

----- End of picture text -----

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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----- Start of picture text -----

Particulars of loans Terms As at As at
March 31, 2025 March 31, 2024
----- End of picture text -----

==> picture [422 x 324] intentionally omitted <==

----- Start of picture text -----

|||||||
|---|---|---|---|---|---|
|SRF Global BV|Previous year: Principal amount|
|(denominated in EUR) -|was repaid in June 2023.|
|given for repayment of|
|existing borrowings|Interest on a fixed rate basis,|
|payable annually. The effective|
|yield is in compliance with|
|Section 186 of the Companies|
|Act, 2013.|
|As at the beginning of the year|-|178.77|
|Given during the year|-|-|
|Received back during the year|-|(202.77)|
|Foreign currency exchange|-|24.00|
|fluctuation gain / (loss)|
|As at end of the year|-|-|
|Maximum balance outstanding|-|202.77|
|SRF Altech Limited|Principal|and|interest|is|
|(denominated in INR) -|repayable on demand. Interest|
|given for general purpose|rate|is|7.79%|to|8.27%|
|and capital expenditure|(Previous year: Interest rate is|
|7.48% to 8.05%)|
|As at the beginning of the year|60.00|54.96|
|Given during the year|125.00|365.04|
|Received back during the year|(56.00)|(360.00)|
|As at end of the year|129.00|60.00|
|Maximum balance outstanding|154.00|195.00|

----- End of picture text -----

(e) The Company has established a comprehensive system of maintenance of information and documents as required by transfer pricing legislation under section 92D for its international transactions as well as specified domestic transactions. Based on the transfer pricing regulations/ policy, the transfer pricing study for the year ended March 31, 2025 is to be conducted on or before due date of the filing of return and the Company will further update above information and records based on the same and expects these to be in existence latest by that date. Management believes that all the above transactions are at arm’s length price and the aforesaid legislations will not have material impact on the financial statements, particularly on the amount of tax expense and provision for taxation.

330

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Corporate Our Statutory Financial 02 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

(f) Disclosure on corporate social responsibility expense:

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----- Start of picture text -----

Year ended Year ended
March 31, 2025 March 31, 2024
(i) Prescribed CSR expenditure as per Section 135 of the 43.37 41.04
----- End of picture text -----

	Companies Act, 2013
(ii)	Amount approved by the Board to be spent during the year
	a) in respect of ongoing projects		17.38	21.69
	b) in respect of other than ongoing projects		25.99	19.35
(iii)	Actual amount spent during the year :
	a) in respect of ongoing projects		2.50***	12.18
	b) in respect of other than ongoing projects		25.99	19.33 ^
(iv)	Amount unspent during the year out of (ii) above (in respect		17.38	9.51
	of ongoing projects)
(v)	Amount spent during the year on :
	a) construction /acquistion of an assets		2.50***	13.24
	b) On purpose other than (a) above		25.99	18.27
(vi)	Detail of related party transactions (refer note no. 32.2)		15.31	25.70
(vii)	Nature of CSR activities	School	education,	promotion of
		healthcare, art and		cultural projects,
		apprenticeship programme, vocational
		skills and	livelihood	projects, disaster
		management, environment project
		and other CSRprojects etc.

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

(g) In December 2023, the operations of Technical Textile Business plant, located in Manali Industrial Area, Chennai, Tamil Nadu, were disrupted due to cyclone with flooding and waterlogging in the plant premises. This incident led to damage of certain items of Property, Plant and Equipment and Inventory. Plant operations were resumed in a phased manner by February 2024. The Company is covered under its insurance policy on a ‘Reinstatement Value basis’ against the estimated losses. Based on the current best estimates of the management, expected loss has been considered in these standalone financial statements under the respective heads (net of claim recoverable):

	Year ended March 31, 2025	Year ended March 31, 2024
Loss of inventories and property, plant and equipment recognised	2.48	38.84
Repair and restoration expenses incurred during the year	8.12	16.56
Related insurance claim(net of adjustment of deductible)	9.26	51.40

Additionally, during the current year, certain related items of Property, plant and equipment (written off in the previous year) have been reinstated at a cost of ` 30.49 crores and the related insurance claim recognised as income in the standalone statement of profit and loss.

Further, the Company has recognised an income for claim against Business Interruption loss of ` 10.00 Crores during the current year. Any additional cost towards further repair and maintenance, replacement of items of property, plant and equipment, other incidental costs and adjustment from change in estimates (including for insurance claim receivable from insurer) would be considered in the period of incurrence / change.

(h) OTHER STATUTORY INFORMATION

(i) Analytical ratios:

(viii) Details of ongoing CSR projects under Section 135(6) of the Act:

Financial Year	Opening balance Amount required to be spent With Company's bank account In separate CSR Unspent account	Amount spent during the year	Closing balance
		From Company's bank account From separate CSR Unspent account	With Company's bank account In separate CSR Unspent account
For the year ended March 31, 2025 FY 2024-25 FY 2023-24 For the year ended March 31, 2024 FY 2023-24	- - 17.38 - - 9.51 - 9.51 - 2.50** - - 21.69 12.18 -		17.38* - - 7.01 9.51 -

The amount was transferred to Unspent CSR Bank account on April 30, 2024.

** The amount was transferred to Unspent CSR Bank account on April 30, 2025.

*** Includes an amount of ` 0.76 crores disbursed to CSR implementation agency, which is yet to be spent.

^ Out of 0.07 crore excess CSR spent during the year ended March 31, 2023, an amount of 0.02 crore have been utilised in previous financial year.

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----- Start of picture text -----

Particulars Year ended Year ended % Reason for
March 31, 2025 March 31, 2024 change change,
wherever
more than 25%
----- End of picture text -----

(i)	Current ratio (Total current	1.42	1.23	15.00% Not applicable
	assets / Total current
	liabilities)
(ii)	Debt-equity ratio (Total debt	0.29	0.35	(18.49%) Not applicable
	including lease liabilities /
	Total equity)
(iii)	Debt service coverage	1.82	3.34	(45.41%) Ratio is lower
	ratio [(Earnings before			due to higher
	depreciation, interest and			scheduled
	tax - current tax) / (Gross			repayments
	interest and lease payments +			of long term
	scheduled principal repayment			borrowings in the
	of long term debts)]			current year
(iv)	Return on equity ratio (Proft after tax / Average equity)	11.48%	13.90%	(17.39%) Not applicable

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Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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----- Start of picture text -----

Particulars Year ended Year ended % Reason for
March 31, 2025 March 31, 2024 change change,
wherever
more than 25%
----- End of picture text -----

(v)	Inventory turnover ratio	6.14	5.64	8.95% Not applicable
	(Sale of products / Average
	inventory)
(vi)	Trade receivables turnover	6.89	7.10	(3.04%) Not applicable
	ratio (Sale of products /
	Average trade receivables)
(vii)	Trade payables turnover ratio	3.51	3.20	9.75% Not applicable
	(Purchases of raw materials /
	Average trade payables)
(viii)	Net capital turnover ratio (Sale	7.46	11.15	(33.07%) This is primarily
	of products / Working capital)			due to repayment
				of certain
				current liabilities
				(including current
				portion of long
				term borrowings
				and payables to capital creditors)
				during the current
				year leading to a
				higher working
				capital as on March 31, 2025,
				impacting the
				overall ratio
(ix)	Net proft ratio (Proft after	10.84%	12.74%	(14.90%) Not applicable
	tax / Total revenue from
(x)	operations including other operating income) Return on capital employed [Earnings before interest and	12.67%	13.02%	(2.71%) Not applicable
	tax / (Total equity - other
	intangible assets - goodwill + total debt + deferred tax
	liability)]
(xi)	Return on investment *	8.27%	7.45%	11.11% Not applicable
	(Income generated from
	investments / Weighted
	average investments)

Mutual funds, bonds and debentures are considered for the purpose of computing return on investment.

Notes to the Standalone Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

(iii) The Company does not have any transactions with companies which are struck off, except the following:

==> picture [422 x 54] intentionally omitted <==

----- Start of picture text -----

Name of the struck off Nature of Balance Balance Relationship
company transactions outstanding outstanding with the struck
with struck off as at March as at March off company, if
company 31, 2025 31, 2024 any
----- End of picture text -----

Jyotsna Engineers &	Advance given	^	^ Vendor
Consultants Private
Limited
Krishna Freeze Private	Advance received	-	0.02 Customer
Limited
Perfect Refcon & Tools	Advance received	-	0.01 Customer
Private Limited
Crownstar Industries	Payables	0.01	0.01 Vendor
Private Limited
Vaishak Shares Limited	Dividendpaid	^^	- Shareholder

^ Amount in absolute 2,000 (Previous year: 2,000)

^^ Amount in absolute ` 36 (Previous year: Nil)

(iv) The Company does not have any benami property, where any proceeding has been initiated or pending against the Company for holding any benami property.
(v) The Company is not declared a wilful defaulter by any bank or financial institution or any other lender.
(vi) The Company does not have any charges or satisfaction which is yet to be registered with ROC beyond the statutory period.
(vii) The Company has complied with the number of layers prescribed under section 2(87) of the Companies Act, 2013 read with Companies (Restriction on number of Layers) Rules, 2017.
(viii) There are no funds which have been advanced or loaned or invested (either from borrowed funds or share premium or any other sources or kind of funds) by the Company to or in any other persons or entities, including foreign entities (“Intermediaries”), with the understanding, whether recorded in writing or otherwise, that the Intermediary shall:
- a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Company (“Ultimate Beneficiaries”) or
- b) provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.
(ix) There are no funds which have been received by the Company from any persons or entities, including foreign entities (“Funding Parties”), with the understanding, whether recorded in writing or otherwise, that the Company shall:
(ii) There are no title deeds of immovable property which are not held in name of the Company.

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Notes to the Standalone Financial Statements

for the year ended March 31, 2025

Independent Auditor’s Report

(All amounts in ` Crores, unless otherwise stated)

a) directly or indirectly, lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party (“Ultimate Beneficiaries”) or
b) provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.
(x) The Company does not have any such transaction which is not recorded in the books of accounts that has been surrendered or disclosed as income during the year in the tax assessments under the Income Tax Act, 1961 (such as, search or survey or any other relevant provisions of the Income Tax Act, 1961).
(xi) The Company has not traded or invested in crypto currency or virtual currency during the financial year.
(xii) The Company has not entered into any scheme of arrangement which has an accounting impact on current or previous financial year.

As per our report of even date attached

For B S R & Co. LLP For and on behalf of the Board of Directors

Chartered Accountants

ICAI Firm registration no: 101248W/W-100022

Ashish Bansal

Ashish Bharat Ram Kartik Bharat Ram Raj Kumar Jain Chairman and Managing Joint Managing Director Director Director DIN - 00008557 DIN - 01741527 DIN - 00671567

Partner Membership No.: 077569

Place : Gurugram Date : May 12, 2025

Rahul Jain President & CFO

Rajat Lakhanpal Senior Vice President (Corporate Compliance) and Company Secretary

Place : Gurugram Date : May 12, 2025

To the Members of SRF Limited

Report on the Audit of the Consolidated Financial Statements

Opinion

We have audited the consolidated financial statements of SRF Limited (hereinafter referred to as the “Holding Company”) and its subsidiaries (Holding Company and its subsidiaries together referred to as “the Group”), which comprise the consolidated balance sheet as at 31 March 2025, and the consolidated statement of profit and loss (including other comprehensive income), consolidated statement of changes in equity and consolidated statement of cash flows for the year then ended, and notes to the consolidated financial statements, including material accounting policies and other explanatory information (hereinafter referred to as “the consolidated financial statements”).

In our opinion and to the best of our information and according to the explanations given to us, and based on the consideration of reports of other auditors on separate financial statements of such subsidiaries as were audited by the other auditors, the aforesaid consolidated financial statements give the information required by the Companies Act, 2013 (“Act”) in the manner so required and give a true and fair view in conformity with the accounting principles generally accepted in India, of the consolidated state of affairs of the Group as at 31 March 2025, of its consolidated profit and other comprehensive income, consolidated changes in equity and consolidated cash flows for the year then ended.

Basis for Opinion

We conducted our audit in accordance with the Standards on Auditing (SAs) specified under Section 143(10) of the Act. Our responsibilities under those SAs are further described in the Auditor’s Responsibilities for the Audit of the Consolidated Financial Statements section of our report. We are independent of the Group in accordance with the ethical requirements that are relevant to our audit of the consolidated financial statements in terms of the Code of Ethics issued by the Institute of Chartered Accountants of India and the relevant provisions of the Act, and we have fulfilled our other ethical responsibilities in accordance with these requirements. We believe that the audit evidence obtained by us along with the consideration of reports of the other auditors referred to in paragraph (a) of the “Other Matter” section below, is sufficient and appropriate to provide a basis for our opinion on the consolidated financial statements.

Key Audit Matters

Key audit matters are those matters that, in our professional judgment and based on the consideration of reports of other auditors on separate financial statements of components audited by them, were of most significance in our audit of the consolidated financial statements of the current period. These matters were addressed in the context of our audit of the consolidated financial statements as a whole, and in forming our opinion thereon, and we do not provide a separate opinion on these matters.

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1. Accounting for derivatives

See Note 39 to consolidated financial statements Key audit matter

How the matter was addressed in our audit

In view of the significance of the matter, we applied the following audit procedures in this area, among others, to obtain sufficient appropriate audit evidence:

The Group uses derivative financial instruments to mitigate foreign currency risk primarily through foreign currency forward exchange contracts. Further, the Group uses hedge relationship designation as per criteria set out in relevant Indian accounting standards. Accounting thereof, including assessment of hedge effectiveness, and related presentation and disclosures of these transactions require significant judgement.

a. Tested the design, implementation and operating effectiveness of controls over the Group’s treasury and other related functions which directly impact the relevant account balances and transactions, including hedge accounting.

Given the significant level of judgement and estimation involved and the quantitative significance, we have determined this to be a key audit matter.

b. For selected samples via statistical sampling, obtained external confirmations from counterparties of the year end positions as well as agreed to original agreements analyzing critical terms, such as nominal amount, maturity, and underlying, of the hedging instrument and the hedged item to assess they are closely aligned.
c. Performed sample tests of valuation and accounting of these transactions. In doing so we have involved valuation specialists to assist us in carrying out aforesaid procedure, as considered necessary.
d. Assessed the adequacy of disclosures in the financial statements in respect of both nonderivative and derivative financial instruments.

2. Assessment of uncertain tax position on taxability of income from sale of Carbon emission reduction (“CER”) certificates

See Note 30 to consolidated financial statements

Key audit matter

How the matter was addressed in our audit

In view of the significance of the matter, we applied the following audit procedures, among others, to obtain sufficient appropriate audit evidence:

The Holding Company has an uncertain tax position with regard to taxability of income from sale of Carbon Emission Reduction (CER) certificates related to certain past years. Assessment of such positions involves significant judgement based on a number of factors, including, interpretation of tax laws, status of assessment of each year by income-tax authorities, evaluation of company- specific orders, and judicial precedents.

a. Tested the design, implementation and operating effectiveness of controls over analysis of uncertain tax position and measuring tax benefits.

b. Obtained status of litigations for relevant assessment years where this uncertain tax position has been identified and management assessment on such tax positions.

As explained in note 30 of the consolidated financial statements, in the previous year, the Holding Company had decided to reverse a significant amount of provision for tax recognized in earlier years, in respect of two

c. Evaluated, with the assistance of specialists, Holding Company’s uncertain tax position by performing the following:

2. Assessment of uncertain tax position on taxability of income from sale of Carbon emission reduction (“CER”) certificates

See Note 30 to consolidated financial statements Key audit matter

How the matter was addressed in our audit

assessment years. Pending judicial finality on the matter, taxability of CER involves uncertainties and is a matter of continuous assessment, including those pertaining to outcome for other assessment years and related interest income.

(i) Identifying key judgements underlying uncertain tax position
(ii) Evaluating relevant factors taken into consideration by the Holding Company in its assessment of uncertain tax position, including status of different assessment years, position taken by tax authorities in company-specific tax assessments and industry precedents

Considering the significant level of continuing judgement and amounts involved, we have determined this to be a key audit matter.

d. Based on the above, evaluating whether Holding Company’s assessment of tax uncertainties and resulting conclusions are consistent with our assessment, after taking into consideration current facts and circumstances.

Other Information

Management’s and Board of Directors’ Responsibilities for the Consolidated Financial Statements

The Holding Company’s Management and Board of Directors are responsible for the other information. The other information comprises the information included in the Holding Company’s annual report, but does not include the financial statements and auditor’s report thereon.

The Holding Company’s Management and Board of Directors are responsible for the preparation and presentation of these consolidated financial statements in term of the requirements of the Act that give a true and fair view of the consolidated state of affairs, consolidated profit/loss and other comprehensive income/loss, consolidated statement of changes in equity and consolidated cash flows of the Group in accordance with the accounting principles generally accepted in India, including the Indian Accounting Standards (Ind AS) specified under Section 133 of the Act. The respective Management and Board of Directors of the companies/ entity included in the Group are responsible for maintenance of adequate accounting records in accordance with the provisions of the Act for safeguarding the assets of each company/entity and for preventing and detecting frauds and other irregularities; the 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,

Our opinion on the consolidated financial statements does not cover the other information and we do not express any form of assurance conclusion thereon.

In connection with our audit of the consolidated financial statements, our responsibility is to read the other information and, in doing so, consider whether the other information is materially inconsistent with the consolidated financial statements or our knowledge obtained in the audit or otherwise appears to be materially misstated. If, based on the work we have performed and based on the audit reports of other auditors, we conclude that there is a material misstatement of this other information, we are required to report that fact. We have nothing to report in this regard.

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that were operating effectively for ensuring the accuracy and completeness of the accounting records, relevant to the preparation and presentation of the consolidated financial statements that give a true and fair view and are free from material misstatement, whether due to fraud or error, which have been used for the purpose of preparation of the consolidated financial statements by the Management and Board of Directors of the Holding Company, as aforesaid.

In preparing the consolidated financial statements, the respective Management and Board of Directors of the companies/entity included in the Group are responsible for assessing the ability of each company/ entity to continue as a going concern, disclosing, as applicable, matters related to going concern and using the going concern basis of accounting unless the respective Board of Directors/Trustees either intends to liquidate the Company/Entity or to cease operations, or has no realistic alternative but to do so.

The respective Board of Directors of the companies/ entity included in the Group are responsible for overseeing the financial reporting process of each company/entity.

Auditor’s Responsibilities for the Audit of the Consolidated Financial Statements

Our objectives are to obtain reasonable assurance about whether the consolidated financial statements as a whole are 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 these consolidated financial statements.

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

Identify and assess the risks of material misstatement of the consolidated financial statements, 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.

• 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.

Evaluate the appropriateness of accounting policies used and the reasonableness of accounting estimates and related disclosures made by the Management and Board of Directors.

• Conclude on the appropriateness of the Management and Board of Directors use of the going concern basis of accounting in preparation of consolidated financial statements and, based on the audit evidence obtained, whether a material uncertainty exists related to events or conditions that may cast significant doubt on the appropriateness of this assumption. 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 consolidated financial statements 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 Group to cease to continue as a going concern.

Evaluate the overall presentation, structure and content of the consolidated financial statements, including the disclosures, and whether the consolidated financial statements represent the underlying transactions and events in a manner that achieves fair presentation.

Obtain sufficient appropriate audit evidence regarding the financial statements of such entities or business activities within the Group to express an opinion on the consolidated financial statements. We are responsible for the direction, supervision and performance of the audit of the financial statements of such entities included in the consolidated financial statements of which we are the independent auditors. For the other entities included in the consolidated financial statements, which have been audited by other auditors, such other auditors remain responsible for the direction, supervision and performance of the audits carried out by them. We remain solely responsible for our audit opinion. Our responsibilities in this regard are further described in paragraph (a) of the section titled “Other Matter” in this audit report.

We communicate with those charged with governance of the Holding Company and such other entities included in the consolidated financial statements of which we are the independent auditors 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.

From the matters communicated with those charged with governance, we determine those matters that were of most significance in the audit of the consolidated financial statements of the current period and are therefore the key audit matters. We describe these matters in our auditor’s report unless law or regulation precludes public disclosure about the matter or when, in 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 public interest benefits of such communication.

Other Matter

a. We did not audit the financial statements of eight subsidiaries, whose financial statements reflects total assets (before consolidation adjustments) of 4,091.62 crores as at 31 March 2025, total revenues (before consolidation adjustments) of 2,941.08 crores and net cash outflows (before consolidation adjustments) amounting to ` 18.92 crores for the year ended on that date, as considered in the consolidated financial statements. These financial statements have been audited by other auditors whose reports have been furnished to us by the Management and our opinion on the consolidated financial statements, in so far as it relates to the amounts and disclosures included in respect of these subsidiaries, and our report in terms of sub-section (3) of Section 143 of the Act, in so far as it relates to the aforesaid subsidiaries is based solely on the reports of the other auditors.

Certain of these subsidiaries are located outside India whose financial statements and other financial information have been prepared in accordance with accounting principles generally accepted in their respective countries and which have been audited by other auditors under generally accepted auditing standards applicable in their respective countries. The Holding Company’s management has converted the financial statements of such subsidiaries located outside India from accounting principles generally accepted in their respective countries to accounting principles generally accepted in India. We have audited these conversion adjustments made by the Holding Company’s management. Our opinion in so far as it relates to the balances and affairs of such subsidiaries located outside India is based on the reports of other auditors and the conversion adjustments prepared by the management of the Holding Company and audited by us.

Our opinion on the consolidated financial statements, and our report on Other Legal and Regulatory Requirements below, is not modified in respect of the above matters with respect to our reliance on the work done and the reports of the other auditors.

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Company between 1 April 2025 to 25 April 2025 taken on record by the Board of Directors of the Holding Company and the reports of the statutory auditors of its subsidiary companies incorporated in India, none of the directors of the Group companies incorporated in India is disqualified as on 31 March 2025 from being appointed as a director in terms of Section 164(2) of the Act.

Report on Other Legal and Regulatory Requirements

As required by the Companies (Auditor’s Report) Order, 2020 (“the Order”) issued by the Central Government of India in terms of Section 143(11) of the Act, we give in the “Annexure A” a statement on the matters specified in paragraphs 3 and 4 of the Order, to the extent applicable.
2 A. As required by Section 143(3) of the Act, based on our audit and on the consideration of reports of other auditors on separate financial statements of such subsidiaries, as were audited by other auditors, as noted in “Other Matter” paragraph, we report, to the extent applicable, that:
f. The modification relating to the maintenance of accounts and other matters connected therewith are as stated in the paragraph 2A(b) above on reporting under Section 143(3)(b) of the Act and paragraph 2B(f) below on reporting under Rule 11(g) of the Companies (Audit and Auditors) Rules, 2014.
a. We have sought and obtained all the information and explanations which to the best of our knowledge and belief were necessary for the purposes of our audit of the aforesaid consolidated financial statements.
g. With respect to the adequacy of the internal financial controls with reference to financial statements of the Holding Company and its subsidiary companies incorporated in India and the operating effectiveness of such controls, refer to our separate Report in “Annexure B”.
b. In our opinion, proper books of account as required by law relating to preparation of the aforesaid consolidated financial statements have been kept so far as it appears from our examination of those books and the reports of the other auditors except for the matter stated in the paragraph 2(B)(f) below on reporting under Rule 11(g) of the Companies (Audit and Auditors) Rules, 2014.
of the other auditors except for the matter B. With respect to the other matters to be included stated in the paragraph 2(B)(f) below on in the Auditor’s Report in accordance with Rule reporting under Rule 11(g) of the Companies 11 of the Companies (Audit and Auditors) Rules, (Audit and Auditors) Rules, 2014. 2014, in our opinion and to the best of our information and according to the explanations
c. The consolidated balance sheet, the given to us and based on the consideration of consolidated statement of profit and loss the reports of the other auditors on separate (including other comprehensive income), financial statements of the subsidiaries, as noted the consolidated statement of changes in the “Other Matter” paragraph: in equity and the consolidated statement of cash flows dealt with by this Report a. The consolidated financial statements are in agreement with the relevant books disclose the impact of pending litigations of account maintained for the purpose as at 31 March 2025 on the consolidated of preparation of the consolidated financial position of the Group. Refer Note financial statements. 32 to the consolidated financial statements.
b. Provision has been made in the consolidated financial statements, as required under the applicable law or Ind AS, for material foreseeable losses, on long-term contracts including derivative contracts. Refer Note 39 to the consolidated financial
d. In our opinion, the aforesaid consolidated financial statements comply with the Ind AS specified under Section 133 of the Act.
e. On the basis of the written representations received from the directors of the Holding

as disclosed in the Note 44(g)(ii) to the consolidated financial statements, no funds have been received by the Holding Company or any of such subsidiaries from any person(s) or entity(ies), including foreign entities (“Funding Parties”), with the understanding, whether recorded in writing or otherwise, that the Holding Company or any of such subsidiaries shall directly or indirectly, lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Parties (“Ultimate Beneficiaries”) or provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.

statements in respect of such items as it relates to the Group.

c. There has been no delay in transferring amounts to the Investor Education and Protection Fund by the Holding Company during the year ended 31 March 2025. There are no amounts which are required to be transferred to the Investor Education and Protection Fund by subsidiary companies incorporated in India during the year ended 31 March 2025.
d (i) The respective management of the by or on behalf of the Funding Parties Holding Company and its subsidiary (“Ultimate Beneficiaries”) or provide companies incorporated in India any guarantee, security or the like on whose financial statements have been behalf of the Ultimate Beneficiaries. audited under the Act have represented to us and the other auditor of such (iii) Based on the audit procedures that subsidiary company that, to the best of have been considered reasonable its knowledge and belief, as disclosed and appropriate in the circumstances in the Note 44(g)(i) to the consolidated performed by us and that performed by financial statements, no funds have the auditor of the subsidiary company been advanced or loaned or invested incorporated in India whose financial (either from borrowed funds or share statements have been audited under premium or any other sources or kind the Act, nothing has come to our or of funds) by the Holding Company or other auditor’s notice that has caused any of such subsidiaries to or in any us or the other auditor to believe that other person(s) or entity(ies), including the representations under sub-clause foreign entities (“Intermediaries”), (i) and (ii) of Rule 11(e), as provided with the understanding, whether under (i) and (ii) above, contain any recorded in writing or otherwise, material misstatement. that the Intermediary shall directly or indirectly lend or invest in other e. The interim dividend declared and paid persons or entities identified in any by the Holding Company during the year manner whatsoever by or on behalf of and until the date of this audit report is in the Holding Company or any of such accordance with Section 123 of the Act. subsidiaries (“Ultimate Beneficiaries”) or provide any guarantee, security f. Based on our examination which included or the like on behalf of the test checks and that performed by the Ultimate Beneficiaries. respective auditor of a subsidiary company
- e. The interim dividend declared and paid by the Holding Company during the year and until the date of this audit report is in accordance with Section 123 of the Act.
- f. Based on our examination which included test checks and that performed by the respective auditor of a subsidiary company which is a Company incorporated in India whose financial statements have been audited under the Act by other auditor, the Holding Company and its Indian subsidiary companies have used accounting softwares for maintaining its books of account, which have a feature of recording audit trail (edit log) facility and, except for the instances mentioned below in respect of
(ii) The respective management of the Holding Company and its subsidiary companies incorporated in India whose financial statements have been audited under the Act have represented to us and the other auditor of such subsidiary company that, to the best of its knowledge and belief,

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accounting softwares used for maintaining general ledger and related records, the same has operated throughout the year for all relevant transactions recorded in the respective softwares:

(a) for certain tables of (i) goods and service tax (GST) rate master, and (ii) approval records for changes to vendors and inventory masters, the feature of audit trail (edit log) facility was not enabled throughout the year.
(b) for (i) inventory tables and certain master tables, for the period from 1 April 2024 to 2 April 2024, and (ii) certain purchase and payables tables for different periods between 1 April 2024 to 15 January 2025, the feature of recording audit trail (edit log) facility was not enabled.
(c) for edit logs generated by these accounting softwares, only an authorized privileged user had rights to make direct changes to the edit log. However, the feature of audit trail (edit log) facility for recording any such changes was not enabled throughout the year, and hence, we are unable to determine whether any direct changes to the edit logs were made during the year.

For the periods where audit trail (edit log) facility was enabled and operated for the respective accounting softwares, we did not come across, subject to our comment in sub-paragraph (c) above, any instance of the audit trail feature being tampered with.

Additionally, except to the extent audit trail was not enabled for the previous year, the audit trail has been preserved by the Holding Company and its Indian subsidiary companies as per the statutory requirements for record retention.

C. With respect to the matter to be included in the Auditor’s Report under Section 197(16) of the Act:
In our opinion and according to the information and explanations given to us and based on the report of the statutory auditor of such subsidiary company incorporated in India which was not audited by us, the remuneration paid during the current year by the Holding Company and its subsidiary companies to its directors is in accordance with the provisions of Section 197 of the Act. The remuneration paid/payable to any director by the Holding Company and its subsidiary companies is not in excess of the limit laid down under Section 197 of the Act. The Ministry of Corporate Affairs has not prescribed other details under Section 197(16) of the Act which are required to be commented upon by us.

Annexure A to the Independent Auditor’s Report on the Consolidated Financial Statements of SRF Limited for the year ended 31 March 2025

(Referred to in paragraph 1 under ‘Report on Other Legal and Regulatory Requirements’ section of our report of even date)

In our opinion and according to the information and explanations given to us, there are no qualifications or adverse remarks by the respective auditors in the Companies (Auditor’s Report) Order, 2020 reports of the companies incorporated in India and included in the consolidated financial statements.

For B S R & Co. LLP

Chartered Accountants Firm’s Registration No.:101248W/W-100022

Ashish Bansal

Partner Membership No.: 077569 ICAI UDIN:25077569BMOVUX9288

Place: Gurugram Date: 12 May 2025

For B S R & Co. LLP Chartered Accountants Firm’s Registration No.:101248W/W-100022

Ashish Bansal

Partner

Place: Gurugram Date: 12 May 2025

Membership No.: 077569 ICAI UDIN:25077569BMOVUX9288

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Annexure B to the Independent Auditor’s Report on the consolidated financial statements of SRF Limited for the year ended 31 March 2025

Report on the internal financial controls with reference to the aforesaid consolidated financial statements under Clause (i) of Sub-section 3 of Section 143 of the Act

to financial statements criteria established by the respective Company considering the essential components of internal control stated in the Guidance Note. These responsibilities include the design, implementation and maintenance of adequate internal financial controls that were operating effectively for ensuring the orderly and efficient conduct of its business, including adherence to the respective company’s policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial information, as required under the Act.

(Referred to in paragraph 2(A)(g) under ‘Report on Other Legal and Regulatory Requirements’ section of our report of even date)

Opinion

In conjunction with our audit of the consolidated financial statements of SRF Limited (hereinafter referred to as “the Holding Company”) as of and for the year ended 31 March 2025, we have audited the internal financial controls with reference to financial statements of the Holding Company and such companies incorporated in India under the Act which are its subsidiary companies, as of that date.

Auditor’s Responsibility

Our responsibility is to express an opinion on the internal financial controls with reference to financial statements based on our audit. We conducted our audit in accordance with the Guidance Note and the Standards on Auditing, prescribed under Section 143(10) of the Act, to the extent applicable to an audit of internal financial controls with reference to financial statements. Those Standards and the Guidance Note require that we comply with ethical requirements and plan and perform the audit to obtain reasonable assurance about whether adequate internal financial controls with reference to financial statements were established and maintained and if such controls operated effectively in all material respects.

In our opinion and based on the consideration of report of the other auditor on internal financial controls with reference to financial statements of subsidiary company, as was audited by the other auditor, the Holding Company and such companies incorporated in India which are its subsidiary companies, have, in all material respects, adequate internal financial controls with reference to financial statements and such internal financial controls were operating effectively as at 31 March 2025, based on the internal financial controls with reference to financial statements criteria established by such companies considering the essential components of such internal controls stated in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India (the “Guidance Note”).

Our audit involves performing procedures to obtain audit evidence about the adequacy of the internal financial controls with reference to financial statements and their operating effectiveness. Our audit of internal financial controls with reference to financial statements included obtaining an understanding of internal financial controls with reference to financial statements, assessing the risk that a material weakness exists, and testing and evaluating the design and operating effectiveness of internal control based on the assessed risk. The procedures selected depend on the auditor’s judgement, including the assessment of the risks of material misstatement of the consolidated financial statements, whether due to fraud or error.

Management’s and Board of Directors’ Responsibilities for Internal Financial Controls

The respective Company’s Management and the Board of Directors are responsible for establishing and maintaining internal financial controls based on the internal financial controls with reference

We believe that the audit evidence we have obtained and the audit evidence obtained by the other auditor of the relevant subsidiary company in terms of their report referred to in the Other Matter paragraph below, is sufficient and appropriate to provide a basis for our audit opinion on the internal financial controls with reference to financial statements.

Meaning of Internal Financial Controls with Reference to Financial Statements

Place: Gurugram Date: 12 May 2025

disposition of the company’s assets that could have a material effect on the financial statements.

Inherent Limitations of Internal Financial Controls with Reference to Financial Statements

Other Matter

Our aforesaid report under Section 143(3)(i) of the Act on the adequacy and operating effectiveness of the internal financial controls with reference to financial statements insofar as it relates to one subsidiary company, which is a company incorporated in India, is based on the corresponding report of the auditor of such company incorporated in India.

Our opinion is not modified in respect of above matter.

For B S R & Co. LLP Chartered Accountants Firm’s Registration No.:101248W/W-100022

Ashish Bansal

Partner

Membership No.: 077569 ICAI UDIN:25077569BMOVUX9288

346 ANNUAL REPORT 2024-25

ANNUAL REPORT 2024-25 347

Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Consolidated Balance Sheet

as at March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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Particulars Note As at As at
No. March 31, 2025 March 31, 2024
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ASSETS
Non-current assets
Property, plant and equipment	4	13,358.36	12,845.46
Right-of-use assets	41	248.98	276.64
Capital work-in-progress	4.1	811.02	805.33
Other intangible assets	5	112.45	119.52
Financial assets
(i) Investments	6	122.76	121.12
(ii) Loans	7	52.40	50.04
(iii) Other fnancial assets	9	283.78	197.60
Deferred tax assets (net)	8	35.73	27.56
Other tax assets (net)	21	203.60	210.96
Other non-current assets	10	198.49	178.42
Total non-current assets		15,427.57	14,832.65
Current assets
Inventories	11	2,348.97	2,326.47
Financial assets
(i) Investments	6	704.53	405.58
(ii) Trade receivables	12	2,169.46	1,942.82
(iii) Cash and cash equivalents	13	333.99	399.33
(iv) Bank balances other than above	14	19.76	8.21
(v) Loans	7	17.13	13.09
(vi) Other fnancial assets	9	168.14	198.03
Other current assets	10	367.57	355.76
Total current assets		6,129.55	5,649.29
TOTAL ASSETS		21,557.12	20,481.94
EQUITY AND LIABILITIES
Equity
Equity share capital	15	297.44	297.44
Other equity	16	12,328.76	11,181.58
Total equity		12,626.20	11,479.02
Liabilities
Non-current liabilities
Financial liabilities
(i) Borrowings	17	1,981.33	2,251.14
(ii) Lease liabilities	41	56.05	82.79
(iii) Other fnancial liabilities	20	18.45	0.80
Provisions	18	82.60	71.39
Deferred tax liabilities (net)	8	1,055.29	938.72
Other non-current liabilities	22	307.27	177.31
Total non-current liabilities		3,500.99	3,522.15

Consolidated Balance Sheet (Contd.)

as at March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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Particulars Note As at As at
No. March 31, 2025 March 31, 2024
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Current liabilities
Financial liabilities
(i) Borrowings	17	2,659.91	2,669.10
(ii) Lease liabilities	41	28.74	27.51
(iii) Trade payables	19
(a) Total outstanding dues of micro enterprises and		94.86	84.57
small enterprises
(b) Total outstanding dues of creditors other than		2,236.73	2,113.19
micro enterprises and small enterprises
(iv) Other fnancial liabilities	20	284.44	467.42
Other current liabilities	22	98.73	93.61
Provisions	18	9.81	8.77
Current tax liabilities(net)	21	16.71	16.60
Total current liabilities		5,429.93	5,480.77
Total Liabilities		8,930.92	9,002.92
TOTAL EQUITY AND LIABILITIES		21,557.12	20,481.94
Summary of material accounting policies	2-3
See accompanying notes to the consolidated fnancial	4 to 44
statements

As per our report of even date attached

For B S R & Co. LLP For and on behalf of the Board of Directors Chartered Accountants ICAI Firm registration no: 101248W/W-100022

Ashish Bansal Ashish Bharat Ram Kartik Bharat Ram Raj Kumar Jain Partner Chairman and Managing Joint Managing Director Director Membership No.: 077569 Director DIN - 00008557 DIN - 01741527 DIN - 00671567

Place : Gurugram Rahul Jain Rajat Lakhanpal Date : May 12, 2025 President & CFO Senior Vice President (Corporate Compliance) and Company Secretary

Place : Gurugram Date : May 12, 2025

348

ANNUAL REPORT 2024-25 349

ANNUAL REPORT 2024-25

Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Consolidated Statement of Profit and Loss

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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Particulars Note Year ended Year ended
No. March 31, 2025 March 31, 2024
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I	Revenue from operations	23	14,693.07	13,138.52
II	Other income	24	132.72	83.02
III	Total Income(I + II)		14,825.79	13,221.54
IV	Expenses
	Cost of materials consumed	25.1	7,574.20	6,695.60
	Purchases of stock-in-trade	25.2	124.86	118.56
	Changes in inventories of fnished goods, work-in-	25.3	0.10	(105.38)
	progress and stock-in-trade
	Employee benefts expense	26	1,042.47	935.03
	Finance costs	27	375.96	302.29
	Depreciation and amortisation expense	28	771.50	672.62
	Other expenses	29	3,233.00	2,910.60
	Total Expenses(IV)		13,122.09	11,529.32
V	Proft before tax(III - IV)		1,703.70	1,692.22
VI	Tax expense	30
	Current tax		344.16	265.58
	Deferred tax		108.76	90.93
	Total tax expense		452.92	356.51
VII	Proft for theyear(V - VI)		1,250.78	1,335.71
VIII	Other comprehensive income
A	Items that will not be reclassifed to proft or loss
	(i) Gain /(loss) on remeasurements of the defned beneft obligation	16.2, 35.2	(0.73)	(5.92)
	Income tax on item (i) above	16.2, 31	0.07	1.19
B	Items that will be reclassifed to proft or loss
	(i) Exchange diferences on translating fnancial	16.8	111.07	(69.08)
	statements of foreign operations
	(ii) Efective portion of gains / (losses) on designated portion of hedging instruments in a cash fow	16.3	(7.16)	128.47
	hedge
	Income tax on item (ii) above	31	1.53	(32.19)
	(iii) Cost of hedging reserve	16.4	(4.54)	(1.77)
	Income tax on item(iii)above	31	1.14	0.43
	Total other comprehensive income / (loss) for		101.38	21.13
	theyear, net of taxes(A)+(B)

(Contd.) Consolidated Statement of Profit and Loss

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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Particulars Note Year ended Year ended
No. March 31, 2025 March 31, 2024
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IX	Total comprehensive income for the year		1,352.16	1,356.84
	(VII + VIII)
	Basic and Diluted earning per equity share (in`)	38	42.20	45.06
Summary of material accounting policies		2-3
See	accompanying notes to the consolidated fnancial	4 to 44
statements

As per our report of even date attached

For and on behalf of the Board of Directors

For B S R & Co. LLP

Chartered Accountants ICAI Firm registration no: 101248W/W-100022

Ashish Bansal

Ashish Bharat Ram

Kartik Bharat Ram

Raj Kumar Jain

Chairman and Managing Joint Managing Director Director Director DIN - 00008557 DIN - 01741527 DIN - 00671567

Partner Membership No.: 077569

Place : Gurugram Date : May 12, 2025

Rahul Jain

Rajat Lakhanpal

President & CFO

Senior Vice President (Corporate Compliance) and Company Secretary

Place : Gurugram Date : May 12, 2025

350 ANNUAL REPORT 2024-25

ANNUAL REPORT 2024-25 351

Corporate Our Statutory Financial 02 12 92 222 Overview Approach to ESG Reports Statements

Consolidated Statement of Cash Flows

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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Particulars Year ended Year ended
March 31, 2025 March 31, 2024
A CASH FLOW FROM OPERATING ACTIVITIES
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	Proft before tax Adjustments for:	1,703.70	1,692.22
	Finance costs	375.96	302.29
	Interest income	(44.44)	(26.24)
	Net gain on sale of property, plant and equipment Net gain on fnancial assets measured at fair value through proft and loss Credit impaired assets provided / (written back)	(1.51) (32.44) 1.60	(4.74) (22.88) 4.22
	Amortisation of grant income	(16.54)	(20.49)
	Depreciation and amortisation expense	771.50	672.62
	Property, plant and equipment /inventory and other assets provided / written of /(written back) Provision / liabilities no longer required written back Net exchange currency fuctuations (gain) / loss Employee share based payment expense	8.52 (11.74) 108.97 8.45	12.01 (12.54) (14.25) 8.54
	Stamp duty on purchase of investments	0.10	0.13
	Insurance income against Property, plant and equipment	(33.11)	-
	Changes in working capital :
	Adjustments for (increase) / decrease in operating assets :-
	Trade receivables	(204.26)	(168.71)
	Inventories	5.92	(74.18)
	Loans	(6.39)	(7.28)
	Other assets	67.61	56.78
	Adjustments for increase / (decrease) in operating liabilities :-
	Trade payables	109.48	(14.24)
	Provisions	10.63	10.70
	Other liabilities	(0.62)	82.46
	Cash generated from operations	2,821.39	2,476.42
	Income taxes paid (net of refunds)	(333.90)	(382.56)
	Net cash generated from operating activities	2,487.49	2,093.86
B	CASH FLOW FROM INVESTING ACTIVITIES
	Purchase of non-current investments	(1.99)	(135.27)
	Sale of non-current investments	-	4.11
	Net (purchase) / sale of mutual funds	(267.11)	107.34
	Stamp duty on purchase of investments	(0.10)	(0.13)
	Interest received	35.49	26.51
	Bank balances not considered as cash and cash equivalents	(13.59)	(3.15)
	Payment for purchase of property, plant, equipment, capital work-in-	(1,231.45)	(2,216.93)
	progress and intangible assets
	Deposits made with Non Banking Financial Company	(50.00)	(25.00)
	Government grant received	35.59	-
	Proceeds from disposal of property, plant and equipment	9.20	15.19
	Net cash used in investing activities	(1,483.96)	(2,227.33)
C	CASH FLOW FROM FINANCING ACTIVITIES
	Proceeds from long term borrowings	455.74	1,002.67
	Repayment of long term borrowings	(1,109.27)	(497.16)
	Net proceeds of short term borrowings	224.45	34.92
	Dividends on equity share capital paid	(213.18)	(213.71)
	Payment towards lease liability	(35.16)	(37.18)
D	Finance costs paid Net cash generated from / (used in) fnancing activities EFFECT OF EXCHANGE RATE MOVEMENTS	(393.10) (1,070.52) 1.65	(361.24) (71.70) (3.48)
	Net increase / (decrease) in cash and cash equivalents	(65.34)	(208.65)
	Cash and cash equivalents at the beginning of the year	399.33	607.98
	Cash and cash equivalents at the end of the year (Refer to note 13)	333.99	399.33

Consolidated Statement of Cash Flows (Contd.)

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

Notes:

(i) The statement of cash flows has been prepared under the indirect method as set out in Indian Accounting Standard (Ind AS) -7 on “Statement of Cash Flows”.
(ii) During the year, the Company paid 28.49 crores (Previous year: 31.51 crores) towards corporate social responsibility (CSR) expenditure.
(iii) The following table discloses changes in liabilities arising from historical activities including both cash and non cash changes.

Particulars As at April 1, 2024 Cash fow from fnancing activities	Non-cash changes As at March 31, 2025 Upfront fees amortised Exchange fuctuation changes# Finance cost# Interim dividend declared Recognised on vesting of shares Lease liability recognised
Non-current borrowings^ 3,327.67 (653.53) Current borrowings* 1,592.57 224.45 Interest accrued 23.41 (393.10) Lease liability 110.30 (35.16) Dividend 6.55 (213.18)	3.84 110.70 - - - - 2,788.68 - 35.54 - - - - 1,852.56 - (7.82) 397.93 - - - 20.42 - - 7.57 - - 2.08 84.79 - - - 213.43 - - 6.80
Total 5,060.50 (1,070.52)	3.84 138.42 405.50 213.43 - 2.08 4,753.25

Particulars As at April 1, 2023 Cash fow from fnancing activities	Non-cash changes As at March 31, 2024 Upfront fees amortised Exchange fuctuation changes# Finance cost# Interim dividend declared Recognised on vesting of shares Lease liability recognised
Non-current borrowings^ 2,802.78 505.51 Current borrowings* 1,551.28 34.92 Interest accrued 14.80 (361.24) Lease liability 123.47 (37.18) Dividend 6.83 (213.71)	3.72 15.66 - - - - 3,327.67 - 6.37 - - - - 1,592.57 - (2.59) 372.44 - - - 23.41 - - 9.07 - - 14.94 110.30 - - - 213.43 - - 6.55
Total 4,499.17 (71.70)	3.72 19.44 381.51 213.43 - 14.94 5,060.50

including current maturities of long term borrowings
^ excluding current maturities of long term borrowings
including amount capitalized

Summary of material accounting policies 2-3 4 to 44 See accompanying notes to the consolidated financial statements

As per our report of even date attached

For and on behalf of the Board of Directors

For B S R & Co. LLP

Chartered Accountants

ICAI Firm registration no: 101248W/W-100022

Ashish Bansal

Ashish Bharat Ram

Ashish Bharat Ram Kartik Bharat Ram Raj Kumar Jain Chairman and Managing Joint Managing Director Director Director DIN - 00008557 DIN - 01741527 DIN - 00671567

Partner Membership No.: 077569

Place : Gurugram Rahul Jain Date : May 12, 2025

Rajat Lakhanpal

President & CFO

Senior Vice President (Corporate Compliance) and Company Secretary

Place : Gurugram Date : May 12, 2025

352

353

ANNUAL REPORT 2024-25

Our Statutory Financial 12 92 222 Approach to ESG Reports Statements

Corporate Overview

Consolidated Statement of Changes in Equity for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

(a) Equity share capital

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Amount
Balance at April 1, 2023 297.44
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Balance	at April 1, 2023	Amount 297.44
Changes	in equity share capital during the year	-
Balance	at March 31, 2024	297.44
Changes Balance	in equity share capital during the year at March 31, 2025	- 297.44

(b) Other Equity

Particulars	Reserves and Surplus# Items of other comprehensive income# Total equity Capital reserve General reserve Capital redemption reserve Securities premium Employee share based payment reserve Retained earnings Exchange diferences on translating fnancial statements of foreign operations Equity instrument through other comprehensive income Efective portion of cash fow hedge Cost of hedging reserve*
Balance at April 1, 2023 Proft for the year Other comprehensive income for the year, net of income tax	193.77 711.27 10.48 509.56 11.63 8,726.97 15.75 (4.22) (150.34) 4.74 10,029.61 - - - - - 1,335.71 - - - 1,335.71 - - - - - (4.73) (69.08) - 96.28 (1.34) 21.13
Total comprehensive income for theyear	- - - - - 1,330.98 (69.08) - 96.28 (1.34) 1,356.84
Dividend ^ Employee share basedpayment expense	- - - - - (213.43) - - - - (213.43) - - - - 8.56 - - - - - 8.56
Balance at March 31, 2024	193.77 711.27 10.48 509.56 20.19 9,844.52 (53.33) (4.22) (54.06) 3.40 11,181.58
Proft for the year Other comprehensive income / (loss) for the year, net of income tax	- - - - 1,250.78 - - - 1,250.78 - - - - (0.66) 111.07 - (5.63) (3.40) 101.38
Total comprehensive income for theyear	- - - - 1,250.12 111.07 - (5.63) (3.40) 1,352.16
Dividend ^ Employee share based payment expense Recognised / (released) on vesting of shares issued under employee sharepurchase scheme	- - - - - (213.43) - - - - (213.43) - - - - 8.45 - - - - - 8.45 - - 0.53 (0.53) - - - - - -
Balance at March 31, 2025	193.77 711.27 10.48 510.09 28.11 10,881.21 57.74 (4.22) (59.69) - 12,328.76

Refer note 16

^ Refer note 15.1

Summary of material accounting policies 2-3 4 to 44 See accompanying notes to the consolidated financial statements

As per our report of even date attached

For and on behalf of the Board of Directors

For B S R & Co. LLP

Chartered Accountants ICAI Firm registration no: 101248W/W-100022

Ashish Bansal

Ashish Bharat Ram Kartik Bharat Ram Raj Kumar Jain Chairman and Managing Joint Managing Director Director Director DIN - 00008557 DIN - 01741527 DIN - 00671567

Partner Membership No.: 077569

Place : Gurugram Date : May 12, 2025

Rahul Jain Rajat Lakhanpal President & CFO Senior Vice President (Corporate Compliance) and Company Secretary

Place : Gurugram Date : May 12, 2025

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

Defined benefit plans - plan assets measured at fair value less present value of defined benefit obligation

1 CORPORATE INFORMATION

SRF Limited (“the Company”) is a public limited Company domiciled in India and incorporated under the provisions of the Companies Act, 1956. The Company’s equity shares are listed at the Bombay Stock Exchange (BSE) and the National Stock Exchange (NSE). The registered office of the Company is situated at The Galleria, DLF Mayur Vihar, Unit No. 236 and 237, Second Floor, Mayur Vihar Place, Noida Link Road, Mayur Vihar Phase I Extn, Delhi - 110091. The Company’s parent company is KAMA Holdings Limited.

The functional currency of the Company is ‘INR’. The functional currencies of Group companies are INR, USD, THB, ZAR, AED and EURO. The financial statements are presented in INR and all values are rounded to the nearest crores, except when otherwise indicated.

The consolidated financial statements incorporate the financial statements of the holding group and its subsidiaries. Control is achieved when the group :

The principal activities of the Company and its subsidiaries (together the Group) are manufacturing, purchase and sale of technical textiles, chemicals, packaging films, aluminium foils and other polymers.

has power over the investee;
is exposed, or has rights, to variable returns from its involvement with the investee; and

The consolidated financial statements were authorised for issue in accordance with a resolution of the directors on May 12, 2025.

has the ability to use its power to affect its returns.

Consolidation of a subsidiary begins when the group obtains control over the subsidiary and ceases when the group loses control of the subsidiary. Specifically, income and expenses of a subsidiary acquired or disposed of during the year are included in the consolidated statement of profit and loss from the date the group gains control until the date when the group ceases to control the subsidiary.

2 Material accounting policies

2.1 Basis of Preparation

These consolidated financial statements are prepared in accordance with Indian Accounting Standards (Ind AS), under the Companies (Indian Accounting Standards) Rules, 2015 notified under section 133 of the Companies Act 2013 (“the Act”) as amended thereafter and other relevant provisions of the Act.

Profit or loss and each component of other comprehensive income are attributed to the owners of the group and to the non-controlling interests. Total comprehensive income of subsidiaries is attributed to the owners of the group and to the non-controlling interests even if this results in the non-controlling interests having a deficit balance.

The consolidated financial statements have been prepared on an accrual basis and under the historical cost convention, except for the following assets and liabilities which have been measured at fair value:

Derivative financial instruments

Necessary adjustments are made in the consolidated financial statements of subsidiaries to bring their accounting policies in line with the Company’s accounting policies if any.

Certain financial assets and liabilities measured at fair value (refer accounting policy regarding financial instruments)

354

355

ANNUAL REPORT 2024-25

Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

All intragroup assets and liabilities, equity, income, expenses, unrealised profits or losses and cash flows relating to transactions between members of the Group are eliminated in full on consolidation.

The subsidiaries considered in the preparation of these consolidated financial statements are: -

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Name of subsidiary Country of Proportion of Proportion of
incorporation ownership as at ownership as at
March 31, 2025 March 31, 2024
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Indian Subsidiaries
SRF Holiday Home Limited	India	100%	100%
SRF Altech Limited	India	100%	100%
SRF Employees Welfare Trust (Controlled Trust)	India	*	*
Foreign Subsidiaries SRF Global BV	Netherlands	100%	100%
SRF Europe Kft	Hungary	100%	100%
(100% subsidiary of SRF Global BV)
SRF Industries (Thailand) Limited	Thailand	100%	100%
(100% subsidiary of SRF Global BV)
SRF Industex Belting (Pty) Limited	Republic of	100%	100%
(100% subsidiary of SRF Global BV)	South Africa
SRF Middle East LLC	Dubai	100%	**
(100% subsidiary of SRF Global BV) SRF Flexipak (South Africa) (Pty) Limited	Republic of	100%	100%
(100% subsidiaryof SRF Global BV)	South Africa

By virtue of management control

** SRF Middle East LLC was established on March 12, 2024 as a subsidiary of SRF Global BV. In terms of the Memorandum of Association of SRF Middle East LLC, SRF Global BV shall subscribe to 365 equity shares of AED 1,000 each aggregating to AED 3,65,000, which was under process as at March 31, 2024. These shares have been subcribed during the current financial year.

since the group does not exercise significant influence over Vaayu Renewable Energy (Tapti) Private Limited.

The group owns 22.60% (Previous year – 22.60%) in Malanpur Captive Power Limited and the same has not been considered for the purposes of consolidation, since the group does not exercise significant influence over Malanpur Captive Power Limited.

The principal accounting policies are set out below.

2.2 Current versus non-current classification

The group owns 26.32% (Previous year – 26.32%) in Vaayu Renewable Energy (Tapti) Private Limited and the same has not been considered for the purposes of consolidation,

Based on the nature of products and the time between acquisition of assets for processing and their realisation in cash and cash equivalents,

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

the group has identified twelve months as its operating cycle for the purpose of current / non current classification of assets and liabilities.

2.3 Property, plant and equipment (PPE)

The cost of an item of property, plant and equipment shall be recognised as an asset if, and only if it is probable that future economic benefits associated with the item will flow to the Group and the cost of the item can be measured reliably.

Assets are classified to the appropriate categories of property, plant and equipment when completed and ready for intended use.

Property, plant and equipment are stated at cost of acquisition or construction less accumulated depreciation and accumulated impairment losses, if any.

Capital Work in Progress: Project under which assets are not yet ready for their intended use are carried at cost comprising cost of asset, direct cost of material and labour, related incidental expenses and attributable interest.

All items of property plant and equipment were measured at fair value at the date of transition to Ind AS. The Group had opted such fair valuation as deemed cost at the transition date i.e. April 1, 2015.

Spare parts are capitalized when they meet the definition of PPE, i.e., when the group intends to use these for more than a period of 12 months.

2.4 Depreciation

Depreciable amount for assets is the cost of an asset, or other amount substituted for cost, less its estimated residual value.

Depreciation has been provided on the cost of assets less their residual values on straight line method on the basis of estimated useful life of assets determined by the Group which are different from the useful life as prescribed in Schedule II of the 2013 Act. The estimated useful life of the assets have been assessed based on technical advice, taking into account the nature of the asset, the estimated usage of the asset, the operating conditions of the asset, past history of replacement, anticipated technological changes, manufacturers warranties and maintenance support, etc. and are as under:

Subsequent expenditure is capitalised only if it is probable that the future economic benefits associated with the expenditure will flow to the Group and the cost of the item can be measured reliably.

356 ANNUAL REPORT 2024-25

357

ANNUAL REPORT 2024-25

Corporate Our Statutory Financial 02 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025 (All amounts in ` Crores, unless otherwise stated)

Management’s estimate of useful life

Subsequent expenditure is capitalised only when it increases the future economic benefits embodied in the specific asset to which it relates and the cost of the asset can be measured reliably.

Roads Buildings	40-50 years 5-60 years
(including temporary structures)
Plant and equipment Furniture and fxtures	2-40 years 3-20 years
Ofce equipment	3-20 years
Vehicles	4-5years

Freehold land is not depreciated.

Trademarks / Brand Technical Knowhow Software Other intangibles	10-30 years 30-40 years 3-5 years 2.5-12years

Depreciation is calculated on a pro rata basis.

The group has elected to continue with the carrying value of all of its intangibles assets recognised as on April 1, 2015 measured as per the previous GAAP and use that carrying value as its deemed cost as of transition date.

The estimated useful lives and methods of depreciation of property, plant and equipment are reviewed at each financial year end and adjusted prospectively, if appropriate.

2.5 Other Intangible Assets

Intangible assets acquired separately are measured on initial recognition at cost.

Following initial recognition, intangible assets are carried at cost less any accumulated amortisation and accumulated impairment losses, if any.

An intangible asset is derecognised on disposal or when no future economic benefit are expected from use or disposal. Gains or losses arising from derecognition of an intangible asset are measured as the difference between the net disposal proceeds and the carrying amount of

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

not generate cash inflows that are largely independent of those from other assets or groups of assets.

the asset and are recognised in the statement of profit or loss when the asset is derecognised.

2.6 Research and development expenditure

Such development costs are capitalised if they can be reliably measured, the product or process is technically and commercially feasible and the Group has sufficient resources to complete the development and to use or sell the asset.

For assets excluding goodwill, an assessment is made at each reporting date to determine whether there is an indication that previously recognised impairment losses no longer exist or have decreased. If such indication exists, the group estimates the asset’s or CGU’s recoverable amount. A previously recognised impairment loss is reversed only if there has been a change in the assumptions used to determine the asset’s recoverable amount since the last impairment loss was recognised. The reversal is limited so that the carrying amount of the asset does not exceed its recoverable amount, nor exceed the carrying amount that would have been determined, net of depreciation, had no impairment loss been recognised for the asset in prior years.

2.7 Impairment of tangible and intangible assets other than goodwill

The Group assesses, at each reporting date, whether there is an indication that an asset may be impaired. If any indication exists, or when annual impairment testing for an asset is required, the group estimates the asset’s recoverable amount. An asset’s recoverable amount is the higher of an asset’s or cash-generating unit’s (CGU) fair value less costs of disposal and its value in use.

2.8 Leasing

At inception of a contract, the Group assesses whether a contract is, or contains, a lease. A contract is, or contains, a lease if the contract conveys the right to control the use of an

Recoverable amount is determined for an individual asset, unless the asset does

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for the year ended March 31, 2025 (All amounts in ` Crores, unless otherwise stated)

identified asset for a period of time in exchange for consideration. To assess whether a contract conveys the right to control the use of an identified asset, the Group assesess whether:

The Group recognises a right-of-use asset and a lease liability at the lease commencement date. The right of use asset is initially measured at cost, which comprises the initial amount of the lease liability adjusted for any lease payments made at or before the commencement date, plus any initial direct costs incurred and an estimate of costs to dismantle and remove the underlying asset or to restore the underlying asset or the site on which it is located, less any lease incentive received.

the contract involves the use of an identified asset – this may be specified explicitly or implicitly and should be physically distinct or represent substantially all of the capacity of a physically distinct asset. If the supplier has a substantive substitution right, then the asset is not identified;

The right of use asset is subsequently depreciated using the straight line method from the commencement date to the end of the lease term. The estimated useful lives of right-of-use assets are determined on the basis of remaining lease term. In addition, the right-of-use asset is periodically reduced by impairment losses, if any, and adjusted for certain remeasurements of the lease liability.

the Group has the right to obtain substantially all of the economic benefits from use of the asset through the period of use; and
the Group has the right to direct the use of the asset. The Group has this right when it has the decision- making rights that are most relevant to changing how and for what purpose the asset is used. In rare cases, where the decision about how and for what purpose the asset is used is predetermined, the Group has the right to direct the use of the asset if either:

The lease liability is initially measured at the present value of the lease payments that are not paid at the commencement date, discounted using the interest rate implicit in the lease or, if that rate cannot be readily determined, the Group’s incremental borrowing rate. Generally, the Group uses its incremental borrowing rate as the discount rate. The Group determines its incremental borrowing rate by obtaining interest rates from various external financing sources and makes certain adjustments to reflect the terms of the lease and type of the asset leased.

the Group has the right to operate the asset; or
the Group designed the asset in a way that predetermines how and for what purpose it will be used.

The group reassesses whether a contract is, or contains, a lease only if the terms and conditions of the contract are changed.

At inception or on reassessment of a contract that contains a lease component, the Group allocates the consideration in the contract to each lease component on the basis of their relative stand-alone prices.

Group as lessee

The Group accounts for assets taken under lease arrangements in the following manner:

The lease liability is measured at amortised cost using the effective interest method. It is

Notes to the Consolidated Financial Statements for the year ended March 31, 2025 (All amounts in ` Crores, unless otherwise stated)

remeasured when there is a change in future lease payments arising from a change in an index or rate, if there is a change in Group’s estimate of the amount expected to be payable under a residual value guarantee, or if the Group changes its assessment of whether it will exercise a purchase, extension or termination option.

Short-term leases and leases of low-value assets

The Group has elected not to recognise right-of use assets and lease liabilities for short term leases that have a lease term of 12 months or less and leases of low value assets. The Group recognises the lease payments associated with these leases as an expense on a straight- line basis over the lease term.

2.10 Foreign Currencies

Transaction and balances

2.9 Borrowing costs

Transactions in foreign currencies are recorded on initial recognition at the exchange rate prevailing on the date of the transaction.

Borrowing costs consist of interest and other costs that an entity incurs in connection with the borrowing of funds. Borrowing cost also includes exchange differences to the extent regarded as an adjustment to the borrowing costs.

(i) Monetary assets and liabilities denominated in foreign currency remaining unsettled at the end of the year, are translated at the closing rates prevailing on the Balance Sheet date. Non-monetary items which are carried in terms of historical cost denominated in foreign currency are reported using the exchange rate at the date of transaction. Any gains or losses arising due to differences in exchange rates at the time of translation or settlement are accounted for in the Statement of Profit and Loss either under the head foreign exchange fluctuation or interest cost, as the case may be, except those relating to

Borrowing costs directly attributable to the acquisition, construction or production of an asset that necessarily takes a substantial period of time to get ready for its intended use or sale are capitalised as part of the cost of the asset. Borrowing costs incurred for the period from commencement of activities relating to construction/development of the qualifying asset up to the date of capitalisation of such asset are added to the cost of the asset. All other borrowing costs are expensed in the period in which they occur.

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exchange differences arising from cash flow hedges to the extent that the hedges are effective and those covered below.

2.11 Inventories

Inventories are valued at cost or net realisable value, whichever is lower. The basis of determining the cost for various categories of inventories are as follows:
(ii) Exchange differences pertaining to long term foreign currency loans obtained or re-financed on or before March 31, 2016
(a) Raw materials, packing material and stores and spares including fuel - Cost includes cost of purchase and other costs incurred in bringing the inventories to their present location and condition. Cost is determined on weighted average basis. The aforesaid items are valued below cost if the finished products in which they are to be incorporated are expected to be sold at a loss.

(iii) Exchange differences pertaining to long term foreign currency loans obtained or re-financed on or after April 1, 2016
(b) Traded goods, Stock in progress and finished goods- Direct cost plus appropriate share of overheads based on normal operating capacity.

The exchange differences pertaining to long term foreign currency loans obtained or re-financed on or after April 1, 2016 are treated in accordance with Ind AS 21/ Ind AS 109. Refer point (i) above.

Net realisable value is the estimated selling price in the ordinary course of business, less estimated costs of completion and the estimated costs necessary to make the sale.

Exchange differences on translating financial statements of foreign operations

On consolidation, the assets and liabilities of foreign operations are translated into Rupees at the rate of exchange prevailing at the reporting date and their statements of profit or loss are translated at exchange rates prevailing at the dates of the transactions. For practical reasons, the group uses an average rate to translate income and expense items, if the average rate approximates the exchange rates at the dates of the transactions. The exchange differences arising on translation for consolidation are recognised in OCI. On disposal of a foreign operation, the component of OCI relating to that particular foreign operation is recognised in profit or loss.

The comparison of cost and net realisable value is made on an item by item basis.

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

2.12 Provisions, contingent liabilities and contingent assets

Contingent assets

Contingent assets are not recognised in the consolidated financial statements. However, contingent assets are assessed continually and if it is virtually certain that an inflow of economic benefits will arise, the asset and related income are recognised in the period in which the change occurs.

Provisions

The group recognised a provision when there is a present obligation (legal or constructive) as a result of past events and it is more likely than not that an outflow of resources would be required to settle the obligation and a reliable estimate can be made.

2.13 Revenue recognition

Revenue from sale of products is recognised upon transfer of control of products to customers at the time of shipment to or receipt of goods by the customers as per agreed terms.

When the group expects some or all of a provision to be reimbursed, for example, under an insurance contract, the reimbursement is recognised as a separate asset, but only when the reimbursement is virtually certain.

Revenues towards satisfaction of a performance obligation are measured based on the transaction price (net of variable consideration), which is the consideration, net of tax collected from customers and remitted to government authorities such as sales tax/value added tax and goods and services tax and applicable discounts and allowances.

The expense relating to a provision is presented in the statement of profit and loss net of any reimbursement.

Excess of revenue earned over billings on contracts is recognised as unbilled revenue. Unbilled revenue is classified as Trade receivables when there is unconditional right to receive cash, and only passage of time is required, as per contractual terms. Advance from customers (“contract liability”) is recognised when the group has received consideration from the customer before it delivers the goods.

Contingent liabilities

A contingent liability is a possible obligation that arises from past events whose existence will be confirmed by the occurrence or non-occurrence of one or more uncertain future events beyond the control of the group or a present obligation that is not recognised because it is not probable that an outflow of resources will be required to settle the obligation. A contingent liability also arises in extremely rare cases where there is a liability that cannot be recognised because it cannot be measured reliably. The group does not recognize a contingent liability but discloses its existence in the financial statements unless the possibility of an outflow of resources embodying economic benefits is remote. Contingent liabilities and commitments are reviewed by the management at each balance sheet date.

2.14 Taxation

Income tax expense represents the sum of the current tax and deferred tax.

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assets are re-assessed at each reporting date and are recognised to the extent that it has become probable that future taxable profits will allow the deferred tax asset to be recovered. Deferred tax assets are recognised for all deductible temporary differences and unused tax losses only if it is probable that future taxable amounts will be available to utilise those temporary differences and losses.

a) Current tax

Current income tax relating to items recognised outside profit or loss is recognised outside profit or loss account i.e. in Other comprehensive income or equity.

Deferred tax relating to items recognised outside profit or loss is recognised in other comprehensive income or in equity.

Current tax assets and liabilities are offset only if there is a legally enforceable right to set off the recognised amounts, and it is intended to realise the asset and settle the liability on a net basis or simultaneously.

Deferred tax assets/liabilities are not recognised for below mentioned temporary differences:

(i) At the time of initial recognition of goodwill;

b) Deferred tax

Deferred tax is provided on temporary differences between the tax bases of assets and liabilities and their carrying amounts at the reporting date.

(ii) Initial recognition of assets or liabilities (other than in a business combination) at the time of the transaction, (a) affects neither the accounting profit nor taxable profit or loss and (b) does not give rise to equal taxable and deductible temporary differences;

Deferred tax assets and liabilities are measured using substantively enacted tax rates expected to apply to taxable income in the years in which the temporary differences are expected to be received or settled.

(iii) In respect of taxable temporary differences associated with investments in subsidiaries, associates and interests in joint ventures, when the timing of the reversal of the temporary differences can be controlled and it is probable that the temporary differences will not reverse in the foreseeable future.

Deferred tax assets and liabilities are offset if such items relate to taxes on income levied by the same governing tax laws and the group has a legally enforceable right for such set off.

The carrying amount of deferred tax assets is reviewed at each reporting date and reduced to the extent that it is no longer probable that sufficient taxable profit will be available to allow all or part of the deferred tax asset to be utilised. Unrecognised deferred tax

The group considers whether it is probable that a taxation authority will accept an uncertain tax treatment. If the group concludes that it is probable that the

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

The benefit accrued under the above grants is included under the head “Revenue from Operations” under ‘Export and other incentives’.

taxation authority will accept an uncertain tax treatment, the group determines the taxable profit (tax loss), tax bases, unused tax losses, unused tax credits or tax rates consistently with the tax treatment used or planned to be used in its income tax filings. However, if the group concludes that it is not probable that the taxation authority will accept an uncertain tax treatment, the group reflects the effect of uncertainty in determining the related taxable profit (tax loss), tax bases, unused tax losses, unused tax credits or tax rates.

2.16 Employee benefits

Short term employee benefits

Wages and salaries including non monetary benefits that are expected to be settled within the operating cycle after the end of the period in which the related services are rendered are measured at the undiscounted amount expected to be paid. A liability is recognised for the amount expected to be paid under short-term cash bonus, if the Group has a present legal or constructive obligation to pay this amount as a result of past service provided by the employee and the obligation can be estimated reliably.

2.15 Government grants

Government grants are recognised where there is reasonable assurance that the grant will be received and all attached conditions will be complied with.

Defined contribution plans

Provident fund administered through Regional Provident Fund Commissioner, Superannuation Fund, National pension scheme and Employees’ State Insurance Corporation are defined contribution schemes. Contributions to such schemes are charged to the statement of profit and loss in the year when employees have rendered services entitling them to the contributions. The group has no obligation, other than the contribution payable to such schemes.

A government grant that becomes receivable as compensation for expenses or losses is recognised in profit or loss on a systematic basis over the periods in which the group recognizes as expenses the related costs for which the grants are intended to compensate, unless the conditions for receiving the grant are met after the related expenses have been recognised. In this case the grant is recognised when it becomes receivable.

Defined benefit plans

The group has defined benefit plan such as gratuity, provident fund for certain category of employees administered through a recognised provident fund trust and legal severance plans.

Government grants related to assets are presented in the consolidated balance sheet at fair value as deferred income and are recognised in profit or loss on a systematic basis over the expected useful life of the related assets.

Provision for gratuity, provident fund for certain category of employees administered through a recognised provident fund trust and legal severance plans are determined on an actuarial basis at the end of the year and charged to consolidated statement of profit and loss, other than remeasurements. The cost of providing

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these benefits is determined using the projected unit credit method.

Remeasurements, comprising of actuarial gains and losses and the effect of the asset ceiling, (excluding amounts included in net interest on the net defined benefit liability and return on plan assets), are recognised immediately in the balance sheet with a corresponding debit or credit to retained earnings through other comprehensive income in the period in which they occur. Re-measurements are not reclassified to consolidated statement of profit and loss in subsequent periods.

2.18 Cash and cash equivalents

2.19 Financial instruments

A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of another entity.

Other long term employee benefits

The group also has other long term benefits plan such as compensated absences. Provision for compensated absences are determined on an actuarial basis at the end of the year and charged to consolidated Statement of Profit and Loss. The cost of providing these benefits is determined using the projected unit credit method.

Initial recognition and measurement

Trade receivables and debt securities issued are initially recognised when they are originated. All other financial assets and financial liabilities are initially recognised when the Group becomes a party to the contractual provisions of the instrument.

Share based payments

Equity settled share based payments to employees under SRF Long Term Share Based Incentive Plan (SRF LTIP) are measured at the fair value (which is the market price less exercise price) of the equity instruments on the grant date. This compensation cost relating to employee stock purchase scheme is amortised over the remaining tenure over which the employees renders their service on a straight line basis.

A financial asset (unless it is a trade receivable without a significant financing component) or financial liability is initially measured at fair value plus or minus, for an item not at FVTPL,transaction costs that are directly attributable to its acquisition or issue. A trade receivable without a significant financing component is initially measured at the transaction price.

2.17 Earnings per share

A) Financial Assets

Basic earnings per share is calculated by dividing the net profit or loss for the year attributable to equity shareholders by the weighted average number of equity shares outstanding during the year.

Classification and Subsequent measurement For purposes of subsequent measurement, financial assets of the group are classified in three categories:

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

A debt investment is measured at FVOCI if it meets both of the following conditions and is not designated as at FVTPL:

a) At amortised cost

b) At fair value through profit and loss (FVTPL)
it is held within a business model whose objective is achieved by both collecting contractual cash flows and selling financial assets; and
c) At fair value through other comprehensive income (FVTOCI)

Financial assets are not reclassified subsequent to their initial recognition unless the Group changes its business model for managing financial assets, in which case all affected financial assets are reclassified on the first day of the first reporting period following the change in the business model.

its contractual terms give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

Financial assets not classified as measured at amortised cost or FVOCI are measured at FVTPL. Financial assets included within the FVTPL category are measured at fair value with all changes recognised in the statement of profit and loss.

Financial asset is measured at amortised cost if both the following conditions are met:

a) The asset is held within a business model whose objective is to hold assets for collecting contractual cash flows, and

Equity investments

All equity investments in the scope of Ind AS 109 are measured at fair value. Equity instruments which are held for trading are measured at fair value through profit and loss.
b) Contractual terms of the asset give rise on specified dates to cash flows that are solely payments of principal and interest (SPPI) on the principal amount outstanding.
For all other equity instruments, the group may make an irrevocable election to present subsequent changes in the fair value in other comprehensive income.

After initial measurement, such financial assets are subsequently measured at amortised cost using the effective interest rate (EIR) method. Amortised cost is calculated by taking into account any discount or premium on acquisition and fees or costs that are an integral part of the EIR. The EIR amortisation is included in other income in the consolidated statement of profit and loss. The losses arising from impairment are recognised in the statement of profit and loss. This category generally applies to trade and other receivables.

The group makes such election on an instrument by instrument basis. The classification is made on initial recognition and is irrevocable.

If the group decides to classify an equity instrument as at FVTOCI, then all fair value changes on the instrument, excluding dividends, are recognised in other comprehensive income. This cumulative

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gain or loss is not reclassified to statement of profit and loss on disposal of such instruments.

Continuing involvement that takes the form of a guarantee over the transferred asset is measured at the lower of the original carrying amount of the asset and the maximum amount of consideration that the group could be required to repay.

Derecognition

A financial asset (or, where applicable, a part of a financial asset) is primarily derecognised (i.e. removed from the balance sheet) when:

When the group has retained substantially all the risks and rewards of ownership of the transferred asset, the group continue to recognise the transferred asset in its entirety and recognise a financial liability for the consideration received.

a) The rights to receive cash flows from the asset have expired, or
b) The group has transferred its rights to receive cash flows from the asset or has assumed an obligation to pay the received cash flows in full without material delay to a third party under a ‘pass-through’ arrangement; and either (i) the group has transferred substantially all the risks and rewards of the asset, or (ii) the group has neither transferred nor retained substantially all the risks and rewards of the asset, but has transferred control of the asset.

Impairment of financial assets

The group recognizes loss allowance using the expected credit loss (ECL) model for the financial assets which are not fair valued through profit or loss. Loss allowance for trade receivables and contract assets with no significant financing component is measured at an amount equal to lifetime ECL. For all financial assets with contractual cash flows other than trade receivable and contract assets, ECLs are measured at an amount equal to the 12-month ECL, unless there has been a significant increase in credit risk from initial recognition in which case those are measured at lifetime ECL. The amount of ECL (or reversal) that is required to adjust the loss allowance at the reporting date is recognised as an impairment gain or loss in the Statement of Profit and Loss.

When the group has transferred its rights to receive cash flows from an asset or has entered into a pass-through arrangement, it evaluates if and to what extent it has retained the risks and rewards of ownership. When it has neither transferred nor retained substantially all of the risks and rewards of the asset, nor transferred control of the asset, the group continues to recognise the transferred asset to the extent of the group’s continuing involvement. In that case, the group also recognizes an associated liability. The transferred asset and the associated liability are measured on a basis that reflects the rights and obligations that the group has retained. Any gain or loss on derecognition is recognised in profit or loss.

When determining whether the credit risk of a financial asset has increased significantly since initial recognition and when estimating ECLs, the Group considers reasonable and supportable information that is relevant and available without undue cost or effort. This includes both quantitative and qualitative information and analysis, based on the Group’s historical experience and

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

informed credit assessment, that includes forward-looking information.

enforcement activities in order to comply with the Group’s procedures for recovery of amounts due.

The Group considers a financial asset to be in default when the asset is unlikely to be realised in full.

B) Financial liabilities and Equity instruments

Initial recognition and measurement

At Credit-impaired financial assets: each reporting date, the Group assesses whether financial assets carried at amortised cost and debt securities at FVOCI are credit-impaired. A financial asset is ‘credit-impaired’ when one or more events that have a detrimental impact on the estimated future cash flows of the financial asset have occurred.

All financial liabilities are recognised initially at fair value, net of directly attributable transaction costs, if any.

The group’s financial liabilities includes borrowings and trade and other payables including derivative financial instruments.

Subsequent measurement

Evidence that a financial asset is credit-impaired includes the following observable data:

(i). Borrowings

Borrowings are subsequently measured at amortised cost. Any differences between the proceeds(net of transaction cost) and the redemption/ repayment amount is recognised in profit and loss over the period of the borrowings using the effective interest rate method.

significant financial difficulty of the debtor;
a breach of contract such as a default ;
it is probable that the debtor will enter bankruptcy or other financial reorganisation.

(ii). Trade and other payables

Trade and other payables represent the liabilities for goods and services provided to the group prior to the end of the financial year and which are unpaid.

Presentation of allowance for ECL in the balance sheet:

Loss allowances for financial assets measured at amortised cost are deducted from the gross carrying amount of the assets.

Offsetting of financial instruments

Financial assets and financial liabilities are offset and the net amount is reported in the consolidated balance sheet if there is a currently enforceable legal right to offset the recognised amounts and there is an intention to settle on a net basis, to realise the assets and settle the liabilities simultaneously.

Write-off

The gross carrying amount of a financial asset is written off when the Group has no reasonable expectations of recovering a financial asset in its entirety or a portion thereof. However financial assets that are written off could still be subject to

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Derecognition

hedge. The documentation includes the group’s risk management objective and strategy for undertaking hedge, the hedging/ economic relationship, the hedged item or transaction, the nature of the risk being hedged and how the entity will assess the effectiveness of changes in the hedging instrument’s fair value in offsetting the exposure to changes in the hedged item’s fair value or cash flows attributable to the hedged risk. The Group determines the existence of an economic relationship between the hedging instrument and hedged item based on the currency/reference interest rates, contract amount and timing of their respective cash flows. The Group assesses whether the derivative designated in each hedging relationship is expected to be and has been effective in offsetting changes in cash flows of the hedged item using the hypothetical derivative method. In these hedge relationships, the main expected sources of ineffectiveness are :

Equity Instruments

Equity Instruments are any contract that evidences a residual interest in the assets of an entity after deducting all of its liabilities.

Debt or equity instruments issued by the group are classified as either financial liability or as equity in accordance with the substance of contractual arrangements and the definitions of a financial liabilities and an equity instruments.

a) the effect of the counterparties’ and the Group’s own credit risk on the fair value of the forward foreign exchange contracts or swaps, which is not reflected in the change in the fair value of the hedged cash flows attributable to the change in exchange rates or interest rates and

2.20 Derivative and Non Derivative financial instruments and hedge accounting

Initial recognition and subsequent measurement

b) changes in the timing of the hedged transactions.

The group uses derivative financial instruments (such as forward currency contracts, interest rate swaps and full currency swaps) or non derivative financial assets/liabilities to hedge its foreign currency risks and interest rate risks. The group has opted for “Hedge Accounting” for all its derivative as well as non-derivative financial instrument used for hedging. Accordingly, at the inception of the hedge the group formally designates a hedge relationship between the ‘hedging instrument’ and ‘hedged item’ which determine the initial recognition of the financial instrument as Fair Value Hedge or Cashflow

Hedges entered into by group are expected to be highly effective in achieving offsetting changes in fair value or cash flows and are assessed on an ongoing basis to determine that they actually have been highly effective throughout the financial reporting periods for which they were designated. These financial instruments are initially recognised at fair value on the date on which a derivative contract is entered into and are subsequently re-measured at fair value. Derivatives are carried as financial

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

as a hedged item, the subsequent cumulative change in the fair value of the firm commitment attributable to the hedged risk is recognised as an asset or liability with a corresponding gain or loss recognised in consolidated profit and loss.

assets when the fair value is positive and as financial liabilities when the fair value is negative.

Cash flow hedges

For the purpose of hedge accounting, hedges are classified as:

a) Fair value hedges when hedging the The Group uses forward currency contracts exposure to changes in the fair value as hedges of its exposure to foreign of a recognised asset or liability. currency risk in forecast transactions and firm commitments. The ineffective portion
b) Cash flow hedges when hedging the relating to foreign currency contracts is exposure to variability in cash flows recognised in the consolidated statement of that is either attributable to a particular profit and loss. In some cases, the group risk associated with a recognised asset separates the premium element and the or liability or a highly probable forecast spot element of a forward contract and transaction or the foreign currency risk designates only the change in fair value in an unrecognised firm commitment. of the spot element of forward exchange contracts as the hedging instrument in
Hedges that meet the strict criteria for cash flow hedging relationships. In such hedge accounting are accounted for, as cases, the changes in the fair value of the
described below: premium element of the forward contract or the foreign currency basis spread of the
Fair value hedges financial instrument is accumulated in a The change in the fair value of a hedging separate component of equity as ‘cost of instrument is recognised in the consolidated hedging’. The changes in the fair value of statement of profit and loss. The change such premium element or foreign currency in the fair value of the hedged item basis spread are reclassified to profit or attributable to the risk hedged is recorded loss as a reclassification adjustment on a as part of the carrying value of the hedged straight-line basis over the period of the item and is also recognised in the statement forward contract or the financial instrument.

The change in the fair value of a hedging instrument is recognised in the consolidated statement of profit and loss. The change in the fair value of the hedged item attributable to the risk hedged is recorded as part of the carrying value of the hedged item and is also recognised in the statement of profit and loss.

The Group also designates certain non derivative financial liabilities, such as foreign currency borrowings from banks, as hedging instruments for the hedge of foreign currency risk associated with highly

If the hedged item is derecognised, the unamortised fair value is recognised immediately in profit or loss. When an unrecognised firm commitment is designated

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b) In the absence of a principal market, in the most advantageous market for the asset or liability

probable transactions and, accordingly, applies cash flow hedge accounting for such relationships.

The principal or the most advantageous market must be accessible by the group. The fair value of an asset or a liability is measured using the assumptions that market participants would use when pricing the asset or liability, assuming that market participants act in their economic best interest. A fair value measurement of a non-financial asset takes into account a market participant’s ability to generate economic benefits by using the asset in its highest and best use or by selling it to another market participant that would use the asset in its highest and best use. The group uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, maximising the use of relevant observable inputs and minimising the use of unobservable inputs. All assets and liabilities for which fair value is measured or disclosed in the consolidated financial statements are categorised within the fair value hierarchy, described as follows, based on the lowest level input that is significant to the fair value measurement as a whole:

a) Level 1 — Quoted (unadjusted) market prices in active markets for identical assets or liabilities.

2.21 Fair value measurement

The group measures some of its financial instruments at fair value at each balance sheet date.

b) Level 2 — inputs other than quoted prices included in Level 1 that are observable for the asset or liability, either directly (i.e. as prices) or indirectly (i.e. derived from prices).

c) Level 3 — inputs for the asset or liability that are not based on observable market data (unobservable inputs).
a) In the principal market for the asset or liability, or
For assets and liabilities that are recognised in the consolidated financial statements on a

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

2.24 Interest and dividend income

recurring basis, the group determines whether transfers have occurred between levels in the hierarchy by re-assessing categorisation (based on the lowest level input that is significant to the fair value measurement as a whole) at the end of each reporting period.

Interest income is recognised when it is probable that the economic benefits will flow to the group using the effective interest method.

The ‘effective interest rate’ is the rate that exactly discounts estimated future cash payments or receipts through the expected life of the financial instrument to the gross carrying amount of the financial asset; or the amortised cost of the financial liability. Interest income is accrued on time basis, by reference to the principal outstanding.

For the purpose of fair value disclosures, the group has determined classes of assets and liabilities on the basis of the nature, characteristics and risks of the asset or liability and the level of the fair value hierarchy as explained above.

2.22 Segment reporting

Dividend income from investments is recognised when the shareholder’s right to receive payment has been established(provided that it is probable that the economic benefits will flow to the group and the amount of income can be measured reliably).

Based on “Management Approach” as defined in Ind AS 108 -Operating Segments, the Chief Operating Decision Maker evaluates the group’s performance and allocates the resources based on an analysis of various performance indicators by business segments. Inter segment sales and transfers are reflected at market prices.

2.25 Ministry of Corporate Affairs (“MCA”) notifies new standards or amendments to the existing standards under Companies (Indian Accounting Standards) Rules as issued from time to time. On May 7, 2025, MCA issued the Companies (Indian Accounting Standards) Amendment Rules, 2025, which made certain amendments to Ind AS 21 The Effects of Changes in Foreign Exchange Rates, effective from 1 April 2025. These amendments define currency exchangeability, provide guidance on estimating spot exchange rates when a currency is not exchangeable and include related disclosure requirements. The Company does not expect this amendment to have any significant impact in its financial statements.

Unallocable items includes general corporate income and expense items which are not allocated to any business segment.

Segment Policies:

The group prepares its segment information in conformity with the accounting policies adopted for preparing and presenting the consolidated financial statements of the group as a whole. Common allocable costs are allocated to each segment on an appropriate basis.

2.23 Dividend

The group recognises a liability to make cash distributions to equity holders when the distribution is authorised and the distribution is no longer at the discretion of the group. As per the corporate laws in India, a distribution is authorised when it is approved by the shareholders. A corresponding amount is recognised directly in equity.

3 SIGNIFICANT ACCOUNTING JUDGEMENTS, ESTIMATES AND ASSUMPTIONS

The preparation of consolidated financial statements requires management to make judgments, estimates and assumptions that

372

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Notes to the Consolidated Financial Statements

for the year ended March 31, 2025 (All amounts in ` Crores, unless otherwise stated)

affect the application of accounting policies and the reported amounts of assets, liabilities, income and expenses. Actual results may differ from these estimates.

Consolidation: whether the Group has de facto control over an investee. Note- 2.1
Assesment of uncertain tax treatments. Note- 2.14

Judgements, estimates and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimates are revised and in any future periods affected. In particular, information about significant areas of estimation, uncertainty and critical judgments in applying accounting policies that have the most significant effect on the amounts recognised in the consolidated financial statements is included in the following notes.

Assesment of classification and recognition of government grants- Note 2.15

B) Assumptions and estimation uncertainties:

Fair value measurement of derivative instruments – Note 2.21
Assessment of useful life of property, plant and equipment and intangible asset – Note 2.4 and Note 2.5

A) Judgements:

Estimation of assets and obligations relating to employee benefits (including actuarial assumptions) – Note 2.16
Derecognition of trade receivables and hedge effectivenessNote 2.19 and Note 2.20
Assessment of impairment of financial assets and non-financial assets – Note 2.19 and Note 2.7.
Classification and lease term determination of leasing arrangement – Note 2.8
Recognition and measurement of contingencies: key assumptions about the likelihood and magnitude of an outflow of resources – Note 2.12
Reverse factoring: presentation of amounts related to supply chain financing arrangements in the balance sheet and in the statement of cash flows Note- 19
Recognition and estimation of tax expense including determination of applicable tax rate for measuring deferred tax balances– Note 2.14
Investments accounted for using the equity method: whether the Group has significant influence over an investee. Note- 2.1

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

4 PROPERTY, PLANT AND EQUIPMENT

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Particulars Freehold Roads Buildings Plant and Furniture and Office Vehicles Total
land equipment fixtures equipment
Cost
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Cost
Balance at April 1,2023	418.26	118.36	1,501.27	10,271.24	38.94	93.85	68.90	12,510.82
Additions/adjustments	6.25	40.86	213.63	3,580.66	10.31	40.03	29.03	3,920.77
Disposals/adjustments Efect of foreign currency exchange diferences	(2.01) (3.16)	(0.99) (0.66)	(1.99) (15.80)	(19.98) (76.94)	(0.87) (0.29)	(3.68) (0.41)	(14.15) (0.05)	(43.67) (97.31)
Balance at March 31,2024	419.34	157.57	1,697.11	13,754.98	48.09	129.79	83.73	16,290.61
Additions/adjustments	0.47	2.24	35.36	1,010.80	1.39	24.94	22.83	1,098.03
Disposals/adjustments	-	-	(1.18)	(25.74)	(0.48)	(6.25)	(13.19)	(46.84)
Efect of foreign currency exchange diferences Balance at March 31,2025	6.79 426.60	1.62 161.43	37.21 1,768.50	165.05 14,905.09	0.55 49.55	0.79 149.27	0.30 93.67	212.31 17,554.11
Accumulated depreciation
Balance at April 1,2023 Depreciation expenses	- -	15.24 3.27	208.71 42.59	2,535.01 557.20	18.38 3.93	54.08 11.56	31.54 12.74	2,862.96 631.29
Disposals/adjustments Efect of foreign currency exchange diferences Balance at March 31, 2024	- - -	(0.21) (0.13) 18.17	(0.23) (2.16) 248.91	(12.99) (17.60) 3,061.62	(0.55) (0.18) 21.58	(3.21) (0.34) 62.09	(11.46) (0.04) 32.78	(28.65) (20.45) 3,445.15
Depreciation expenses Disposals/adjustments	- -	3.90 -	46.32 (0.19)	645.47 (12.93)	4.45 (0.33)	15.54 (5.97)	16.75 (9.07)	732.43 (28.49)
Efect of foreign currency exchange diferences Balance at March 31, 2025 Net block	- -	0.31 22.38	5.20 300.24	40.00 3,734.16	0.38 26.08	0.67 72.33	0.10 40.56	46.66 4,195.75
Balance at March 31, 2024	419.34	139.40	1,448.20	10,693.36	26.51	67.70	50.95	12,845.46
Balance at March 31,2025	426.60	139.05	1,468.26	11,170.93	23.47	76.94	53.11	13,358.36

Notes:

(i) Borrowing cost capitalised during the year (net of interest income) is 33.39 crores (Previous year: 84.57 crores) with a capitalisation rate ranging from 4.33% to 6.39% (Previous year:3.09% to 8.12 %).
(ii) The industrial freehold land measuring 32.41 acres at the group’s plant in Gummudipoondi, Tamil Nadu had been acquired by the Company w.e.f. January 1, 2001 pursuant to a scheme of amalgamation sanctioned by the Hon’ble High court of Judicature at Madras and the Hon’ble High court of Delhi. Out of the said land, there is a dispute on a land parcel of 2.74 acres. Based on the legal documentation available, the management is of the view that it has an acceptable title, and the said dispute is not tenable.
(iii) Capital expenditure incurred during the year includes 19.68 crores (Previous year: 20.46 crores) on account of research and development. Depreciation for the year includes depreciation of 17.06 crores ( previous year : 14.56 crores) on assets deployed in research and development as per note 44 (a) below.
(iv) Refer to note 44 (c) for additions/adjustments on account of exchange differences during the year .
(v) During the previous year, certain items of property, plant and equipment with written down value of ` 1.34 crores have been charged to the consolidated statement of profit and loss on account of damages due to cyclone / flood in the state of Tamil Nadu. Refer to note 44 (f)
(vi) Refer to note 17.1 for information on PPE pledged as security by the group.

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Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

(vii) Capital work-in-progress

Particulars	As at March 31, 2025	As at March 31, 2024
Opening Balance	805.33	2,405.54
Additions during the year *	1,103.72	2,320.56
Less : Amount capitalised duringtheyear	1,098.03	3,920.77
Closing balance	811.02	805.33

The group accounts for all capitalizations of property, plant and equipment through capital work in progress, and, therefore, the movement in capital work in progress is the difference between closing and opening balance of capital work in progress as adjusted by additions in property, plant and equipment.

4.1 CAPITAL WORK-IN-PROGRESS (CWIP)

(i) Ageing of capital work-in-progress :

Projects in progress As at March 31, 2025 As at March 31,2024	Amount in CWIP for aperiod of
	Less than 1 year 1 - 2 years 2 - 3 years More than 3 years Total
	698.71 81.08 22.60 8.63 811.02 642.59 148.04 8.16 6.54 805.33

(ii) CWIP completion schedule for capital work-in-progress whose completion is overdue or has exceeded its cost compared to its original plan :

Projects in progress New facility to produce agrochemical intermediate product Project for electrical Line Connection Aluminium Foil Slitter Others Projects in progress* Backward Integration plant for fuorocarbon refrigerant gases Project for electrical Line Connection Others *	As at March 31, 2025
	To be completed in
	Less than 1 year 1 - 2 years 2 - 3 years More than 3 years
	48.06 - - - 19.09 21.84 65.98 - - -
	154.97 - - -

	As at March 31, 2024
	To be completed in
	Less than 1 year 1 - 2 years 2 - 3 years More than 3 years
	341.19 - - - 36.00 - - - 131.54 - - -
	508.73 - - -

Comprise projects not considered material at an individual level. Also refer note no 4 (vii)

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

5 OTHER INTANGIBLE ASSETS

Particulars	Trade Marks/ Brands	Technical Knowhow	Software	Others	Total
Cost
Balance at April 1,2023	73.25	55.19	39.29	28.09	195.82
Additions / adjustments Efect of foreign currency exchange diference Disposals/adjustments	- - -	5.38 - -	9.18 (0.07) (2.37)	- (0.45) -	14.56 (0.52) (2.37)
Balance at March 31, 2024	73.25	60.57	46.03	27.64	207.49
Additions / adjustments Efect of foreign currency exchange diference	- -	- -	1.71 0.22	- 0.63	1.71 0.85
Disposals/adjustments	-	-	(0.03)	-	(0.03)
Balance at March 31, 2025	73.25	60.57	47.93	28.27	210.02
Accumulated amortisation
Balance at April 1,2023	19.83	11.05	30.76	19.45	81.09
Amortisation expenses	2.45	1.76	4.38	0.74	9.33
Efect of foreign currency exchange diferences	-	-	(0.03)	(0.05)	(0.08)
Disposals/adjustments	-	-	(2.37)	-	(2.37)
Balance at March 31, 2024	22.28	12.81	32.74	20.14	87.97
Amortisation expenses	2.27	1.73	4.61	0.73	9.34
Efect of foreign currency exchange diferences	-	-	0.16	0.12	0.28
Disposals/adjustments	-	-	(0.02)	-	(0.02)
Balance at March 31, 2025	24.55	14.54	37.49	20.99	97.57
Net Block
Balance at March 31, 2024	50.97	47.76	13.29	7.50	119.52
Balance at March 31, 2025	48.70	46.03	10.44	7.28	112.45

6 INVESTMENTS

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As at As at
March 31, 2025 March 31, 2024
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Non-current
Investment designated at fair value through other comprehensive
income
(i) Investment in equity instruments	0.05	0.05
Investments at amortised cost
(i) Investment in equity instruments	6.09	2.50
(ii) Investment in optionally convertible debentures	-	2.56
(iii) Investment in bonds	50.12	50.12
Investment mandatory at fair value through proft and loss
(i) Investment in bonds	66.50	65.89
	122.76	121.12

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Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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As at As at
March 31, 2025 March 31, 2024
Aggregate book value of unquoted investments 6.14 5.11
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Aggregate	amount of impairment in value of investments	4.34	4.34
Aggregate	book value of quoted investments	116.62	116.01
Aggregate	market value of quoted investments	117.29	116.18
Current
Investment mandatory at fair value through proft and loss
(i)	Investment in mutual funds	704.53	321.14
(ii)	Investment in bonds	-	84.44
		704.53	405.58
Aggregate	book value and market value of quoted investments	-	84.44
Aggregate	book value and market value of unquoted investments	704.53	321.14

A Non-current investments

6.1 Investment designated at fair value through other comprehensive income

Investments in equity instruments

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As at March 31, 2025 As at March 31, 2024
Number Amount Number Amount
Unquoted investments
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Unquoted investments
Equity shares of`10 each fully paid up of Malanpur	42,21,535	4.22	42,21,535	4.22
Captive Power Limited
Less: impairment in value of investments		(4.22)		(4.22)
Equity share of`10 each fully paid of Vaayu Renewable	50,000	0.05	50,000	0.05
Energy (Tapti) Private Limited
Equity shares of`10 each fully paid up of Sanghi Spinners	6,70,000	0.12	6,70,000	0.12
India Limited
Less: impairment in value of investment	-	(0.12)	-	(0.12)
		0.05		0.05

6.2 Investments at amortised cost

(i) Investment in equity instruments*

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As at March 31, 2025 As at March 31, 2024
Number Amount Number Amount
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Unquoted investments
Equity shares of`10 each fully paid up of Watsun	6,00,000	0.17	6,00,000	0.16
Infrabuild Private Limited #
Equity shares of`10 each fully paid up of Dalavaipuram	68,09,261	1.94	55,15,661	1.44
Renewables Private Limited #
Equity shares of`10 each fully paid up of Continuum MP	1,39,15,200	3.98	34,37,917	0.90
Windfarm Development Private Limited #
		6.09		2.50

Based on terms of the arrangement, investments in these parties have been considered as debt instruments and measured at amortised cost

Measured at fair value on intial transaction date with interest being accreted at each reporting date.

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

(ii) Investment in optionally convertible debentures

	As at March 31, 2025 As at March 31, 2024
	Number Amount Number Amount
Unquoted investments 0% Optionally Convertible Debentures of`10 each fully paid up of Continuum MP Windfarm Development Private Limited #	- - 97,80,283 2.56
	- 2.56

Measured at fair value on initial transaction date. The debentures have been converted to equity shares during the current year.

(iii) Investment in bonds

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As at March 31, 2025 As at March 31, 2024
Number Amount Number Amount
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Quoted investments
8.40% HDB Financial Services Limited 2033 of`	3,500	35.08	3,500	35.08
1,00,000 each
8.60% Cholamandalam Investment and Finance	1,50,000	15.04	1,50,000	15.04
CompanyLimited 2029 of`1,000 each
		50.12		50.12

6.3 Investment mandatory at fair value through profit and loss

(i) Investment in bonds

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As at March 31, 2025 As at March 31, 2024
Number Amount Number Amount
Quoted investments
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Quoted investments
8.34% State Bank of India Perpetual Bonds of	46	47.22	46	46.83
`10,000,000 each
8.55% Punjab National Bank Perpetual Bonds of	19	19.28	19	19.06
`10,000,000 each
		66.50		65.89

B Current investments

6.4 Investment mandatory at fair value through profit and loss

(i) Investment in mutual funds

	As at March 31, 2025 As at March 31, 2024
	Number Amount Number Amount
Unquoted investments ICICI Prudential P1543 Floating Interest Fund- Growth Plan Axis Liquid Fund- Regular Growth Plan UTI Liquid Fund - Regular Growth Plan HDFC Liquid Fund - Regular Growth Plan ICICI Prudential Liquid Fund- Growth Plan	36,12,365 149.97 36,12,365 138.95 7,03,510 201.20 4,57,111 121.79 3,57,101 150.48 25,664 10.08 - - 1,07,121 50.32 15,80,334 60.10 - -

378

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Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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As at March 31, 2025 As at March 31, 2024
Number Amount Number Amount
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HDFC Gilt Fund - Growth Plan	20,05,085	10.96	-	-
Kotak Dynamic Bond - Regular Growth Plan	73,79,008	27.21	-	-
Kotak Liquid Fund - Regular Growth Plan	96,490	50.09	-	-
SBI Magnum Gilt Fund - Regular Growth Plan	41,87,964	27.36	-	-
SBI Dynamic Bond Fund - Regular Growth Plan	77,30,791	27.16	-	-
		704.53		321.14

(ii) Investment in bonds

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As at March 31, 2025 As at March 31, 2024
Number Amount Number Amount
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Quoted investments
8.99% Bank of Baroda Perpetual Bonds 2024	-	-	550	54.83
of`10,00,000 each
8.50% State Bank of India Perpetual Bonds	-	-	248	24.65
2024 of`10,00,000 each
8.50% State Bank of India Perpetual Bonds	-	-	50	4.96
2025 of`10,00,000 each
		-		84.44

7 LOANS

(unsecured and considered good, unless otherwise stated)

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As at As at
March 31, 2025 March 31, 2024
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Non- current
Loans to ofcers *	29.34	29.61
Loans to employees	23.06	20.43
	52.40	50.04
Current
Loans to ofcers *	0.84	1.08
Loans to employees	14.08	12.01
Others (other than related party)
Unsecured, considered good	2.21	-
Unsecured, credit impaired
- Credit impaired	2.74	2.74
Less : Loss allowance	(2.74)	(2.74)
	17.13	13.09

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

8 DEFERRED TAX (NET)

The following is the analysis of deferred tax assets / (liabilities) presented in balance sheet.

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As at As at
March 31, 2025 March 31, 2024
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Deferred tax assets	111.46	88.47
Deferred tax liabilities	(1,131.02)	(999.63)
Deferred tax liabilities, net	(1,019.56)	(911.16)
Net Deferred tax assets after set of	35.73	27.56
Net Deferred tax liabilities after set of	1,055.29	938.72

The major components of deferred tax assets / (liabilities) arising on account of temporary differences are as follows:

2024-25	Opening balance	Recognised in statement of proft and loss	Recognised in other comprehensive income	Foreign currency translation reserve for the year	Closing Balance
Deferred tax assets
Expenses deductible in future	22.61	(1.81)	-	0.01	20.81
years
Provision for credit impaired loans	0.86	0.13	-	(0.01)	0.98
/ receivables
Cash fow hedges / Cost of	17.28	-	2.67	-	19.95
hedging reserve
Unabsorbed depreciation and	39.52	15.26	-	2.96	57.74
carried forward losses
Others	8.20	3.78	-	-	11.98
	88.47	17.36	2.67	2.96	111.46
Deferred tax liabilities
Property plant and equipment and	(978.16)	(126.48)	-	(5.27)	(1,109.91)
intangible assets
Investment in mutual funds	(15.68)	(5.43)	-	-	(21.11)
Others	(5.79)	5.79	-	-	-
	(999.63)	(126.12)	-	(5.27)	(1,131.02)
Total	(911.16)	(108.76)	2.67	(2.31)	(1,019.56)

Officers as defined under Section 2(59) of the Companies Act 2013.

380

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Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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2023-24 Opening Recognised in Recognised Foreign Closing
balance statement of in other currency Balance
profit and loss comprehensive translation
income reserve for the
year
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Deferred tax assets
Expenses deductible in future	15.37	7.27	-	(0.03)	22.61
years
Provision for credit impaired loans	0.88	(0.01)	-	(0.01)	0.86
/ receivables
Cash fow hedges / Cost of	49.04	-	(31.76)	-	17.28
hedging reserve
Unabsorbed depreciation and	26.05	14.90	-	(1.43)	39.52
carried forward losses
Others	9.66	(1.49)	0.03	-	8.20
	101.00	20.67	(31.73)	(1.47)	88.47
Deferred tax liabilities
Property plant and equipment and	(869.50)	(112.20)	-	3.54	(978.16)
intangible assets
Investment in mutual funds	(12.90)	(2.78)	-	-	(15.68)
Others	(9.17)	3.38	-	-	(5.79)
	(891.57)	(111.60)	-	3.54	(999.63)
Total	(790.57)	(90.93)	(31.73)	2.07	(911.16)

Notes:

(i) At March 31, 2025, there are no recognised deferred tax liability (Previous year : Nil) for taxes that would be payable on the unremitted earnings of certain of the Company’s subsidiaries. This liability was not recognised because the Company controls the dividend policy of its subsidiaries i.e., the Company controls the timing of reversal of the related taxable temporary differences and it is probable that they will not reverse in the near future.
(ii) Deferred tax asset has been recognised on unabsorbed carried forward losses of subsidiaries to the extent to which management considered it probable that future taxable profits would be available against which such losses can be used.

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

9 OTHER FINANCIAL ASSETS

(unsecured and considered good, unless otherwise stated)

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As at As at
March 31, 2025 March 31, 2024
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Non Current
Derivatives carried at fair value through other comprehensive
income
- Forward exchange contracts used for hedging	5.17	27.74
Other fnancial assets carried at amortised cost
- Security deposits
Related parties (Refer note 34)	4.56	4.47
Other than related parties	43.92	49.05
- Government grant recoverable *	221.77	110.02
- Deposit accounts with maturity beyond twelve months	0.04	0.20
- Earmarked bank deposits -Margin money	8.32	6.12
	283.78	197.60
Current
Derivatives carried at fair value through proft and loss
- Forward exchange contracts used for hedging	1.64	0.25
Derivatives carried at fair value through other comprehensive
income
- Forward exchange contracts used for hedging	6.13	20.74
Other fnancial assets carried at amortised cost - Security deposits	2.59	2.41
- Government grant and duty rebate recoverable *	37.16	104.09
- Claim recoverable
Insurance claim recoverable	20.15	27.66
Vendor claim recoverable	17.66	9.41
- Deposit with Non Banking Financial Company (NBFC)	75.00	25.00
- Others	7.81	8.47
	168.14	198.03

Also refer footnote to note no 22

382 ANNUAL REPORT 2024-25

ANNUAL REPORT 2024-25 383

Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

10 OTHER ASSETS

(unsecured and considered good, unless otherwise stated)

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As at As at
March 31, 2025 March 31, 2024
Non-Current
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Non-Current
Capital advances
(a) Unsecured, considered good	145.07	122.51
(b) Doubtful	1.23	1.23
Less: Allowance for doubtful advances	(1.23)	(1.23)
Prepaid expenses Goods and services tax and other taxes/duties paid under protest	14.63 38.67	17.10 38.50
Others	0.12	0.31
Total other non-current assets	198.49	178.42
Current
Prepaid expenses	37.04	31.45
Value added tax / Goods and services tax recoverable	171.99	154.90
Export incentives recoverable	25.32	19.56
Deposits with customs and excise authorities	21.44	22.36
Advance to suppliers	110.43	110.77
Others	1.35	16.72
Total other current assets	367.57	355.76

11 INVENTORIES

(Valued at lower of cost and net realisable value)

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As at As at
March 31, 2025 March 31, 2024
Raw materials (including packing material) 1,045.84 1,067.59
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Raw materials (including packing material)	1,045.84	1,067.59
Stock in progress	332.61	269.36
Finished goods	513.71	575.43
Stores and spares (including fuel)	403.48	373.23
Traded goods	53.33	40.86
	2,348.97	2,326.47
Goods-in-transit, included above :
Raw material (including packing material)	303.34	349.63
Finished goods	117.22	105.34
Stores and spares (including fuel)	2.68	2.02
Stock in progress	2.44	-
Traded goods	21.05	6.45
	446.72	463.44

Notes

(i) The cost of inventories recognised as an expense includes 8.24 crores (Previous year : 25.72 crores) in respect of write-downs of inventory to net realisable value. The write downs is included in “Changes in inventories of finished goods, work-in-progress and stock-in-trade”.

(ii) Refer Note 17.1 for information on inventories pledged as security by the group.
(iii) The method of valuation of inventory has been stated in note 2.11
(iv) Inventories amounting to 2.48 crores (previous year: 37.50 crores) have been charged to the consolidated statement of profit and loss on account of damage due to cyclone / flood in the state of Tamil Nadu. Refer to note 44 (f)

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

12 TRADE RECEIVABLES

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Current As at As at
March 31, 2025 March 31, 2024
Unsecured, considered good 2,169.46 1,942.82
Unsecured, credit impaired 4.62 7.56
Less: Loss allowance (4.62) (7.56)
2,169.46 1,942.82
(i) The credit period generally allowed on sales varies, on a case to case basis, business to business and
based on market conditions. Generally credit period allowed is upto 120 days.
(ii) Ageing of receivables :
Outstanding for As at March 31, 2025
following periods Undisputed Undisputed Undisputed Disputed Disputed Disputed Total
from due date of Trade Trade Trade Trade Trade Trade
payment Receivables- Receivables- Receivables- Receivables- Receivables- Receivables-
considered credit having considered credit having
good impaired significant good impaired significant
increase in increase in
credit risk credit risk
Unbilled revenue 17.60 - - - - - 17.60
Not due 1,855.66 - - - - - 1,855.66
Less than 6 months 289.89 - - - - - 289.89
6 months- 1 year 4.65 0.42 - - - - 5.07
1-2 Years 0.07 0.95 - - - - 1.02
2-3 Years 1.59 0.62 - - - - 2.21
More than 3 years - 2.63 - - - - 2.63
2,169.46 4.62 - - - - 2,174.08
Outstanding for As at March 31, 2024
following periods Undisputed Undisputed Undisputed Disputed Disputed Disputed Total
from due date of Trade Trade Trade Trade Trade Trade
payment Receivables- Receivables- Receivables- Receivables- Receivables- Receivables-
considered credit having considered credit having
good impaired significant good impaired significant
increase in increase in
credit risk credit risk
Not due 1,727.00 - - - - - 1,727.00
Less than 6 months 212.24 0.90 - - - - 213.14
6 months- 1 year 0.97 1.93 - - - - 2.90
1-2 Years 2.61 0.63 - - - - 3.24
2-3 Years - 1.75 - - - - 1.75
More than 3 years - 1.72 - - 0.63 - 2.35
1,942.82 6.93 - - 0.63 - 1,950.38
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(i) The credit period generally allowed on sales varies, on a case to case basis, business to business and based on market conditions. Generally credit period allowed is upto 120 days.

384

385

ANNUAL REPORT 2024-25

Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

(iii) The group has entered into receivables purchase agreements with banks to unconditionally and irrevocably sell, transfer, assign and convey all the rights, titles and interest of the group in the receivables as identified. Receivables sold as on March 31, 2025 are of 1,274.67 crores (Previous year: 883.65 crores). The group has derecognized these receivables as it has transferred its contractual rights to the banks with substantially all the risks and rewards of ownership and retains no control over these receivables as the banks have the right to further sell and transfer these receivables with notice to the group.
(iv) At March 31, 2025, the carrying amount of the receivable from the Group’s most significant customer is 104.96 crores (Previous year: 124.92 crores )
(v) Refer Note 17.1 for information on trade receivables pledged as security by the group.
(vi) Refer Note 34.3 for trade receivables from related parties.

13 CASH AND CASH EQUIVALENTS

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As at As at
March 31,2025 March 31, 2024
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Balances with Banks
Current accounts	240.91	198.28
Exchange earners foreign currency (EEFC) accounts	31.91	37.25
Deposit accounts with original maturity of three months or less ^	60.50	163.14
Cash in hand	0.67	0.66
	333.99	399.33

^ Refer note 17

14 BANK BALANCES OTHER THAN ABOVE

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As at As at
March 31, 2025 March 31, 2024
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Earmarked balances
- Margin money	5.52	1.44
- Unclaimed dividend accounts	6.80	6.55
- Unspent CSR account {refer note 44 (d)}	7.01	-
Other deposit accounts
- Deposit accounts with original maturity beyond three	0.43	0.22
months upto twelve months
	19.76	8.21

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

15 SHARE CAPITAL

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As at As at
March 31, 2025 March 31, 2024
----- End of picture text -----

Authorised share capital: 32,00,00,000 (Previous Year - 32,00,00,000) Equity shares of`10 each	320.00	320.00
10,00,000 (Previous Year - 10,00,000) Preference shares of`100 each	10.00	10.00
12,00,000 (Previous Year - 12,00,000)	6.00	6.00
CumulativePreference shares of` 50 each
	336.00	336.00
Issued share capital:
30,04,81,580 (Previous Year - 30,04,81,580)	300.48	300.48
Equity Shares of`10 each
Subscribed capital:
29,64,24,825 (Previous Year - 29,64,24,825)	296.42	296.42
Equity Shares of`10 each fully paid up
Add: Forfeited shares-Amount originally paid up	1.02	1.02
	297.44	297.44

15.1 Fully paid equity shares

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Number of shares Amount
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Balance at April 1, 2023	29,64,24,825	296.42
Add : Movement duringtheyear	-	-
Balance at March 31, 2024	29,64,24,825	296.42
Add : Movement duringtheyear	-	-
Balance at March 31, 2025	29,64,24,825	296.42

There are no buy back of equity shares during the period of five years immediately preceding the reporting date.

Bonus shares issued during the five years preceding the reporting date

During the financial year ended March 31, 2022, the Company had issued and allotted 23,69,80,820 fully paid up Bonus Equity shares of ` 10 each in the ratio of 4:1 (i.e. 4 Bonus Equity shares for every 1 existing equity share of the Company).

Terms/ rights attached to equity shares :

The parent has only one class of equity shares having a par value of ` 10 per share. Each holder of equity shares is entitled to one vote per share. The Company declares and pays dividends in Indian rupees. The final dividend proposed by the Board of Directors is subject to the approval of the shareholders in the ensuing Annual General Meeting. The Board may from time to time pay to the members, such interim dividends as appear to it to be justified by the profits of the Company.

386 ANNUAL REPORT 2024-25

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Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

15.2 Details of equity shares held by the holding company

Number of fully paid ordinary shares
As at March 31, 2025
KAMA Holdings Limited, the Holding Company 14,88,45,000
As at March 31, 2024
KAMA Holdings Limited,the HoldingCompany 14,88,45,000

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

16 OTHER EQUITY

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As at As at
March 31, 2025 March 31, 2024
----- End of picture text -----

General reserve	711.27	711.27
Retained earnings	10,881.21	9,844.52
Cash fow hedging reserve	(59.69)	(54.06)
Cost of hedging reserve	-	3.40
Capital redemption reserve	10.48	10.48
Capital reserve	193.77	193.77
Foreign currency translation reserve	57.74	(53.33)
Reserve for equity instruments through other comprehensive	(4.22)	(4.22)
income
Employee share based payment reserve	28.11	20.19
Securitiespremium	510.09	509.56
	12,328.76	11,181.58

15.3 Details of equity shares held by each shareholder holding more than 5% shares:

Class of shares / Name of shareholder	As at March 31, 2025 As at March 31, 2024
	Number of shares held % holding in that class of shares Number of shares held % holding in that class of shares
Fully paid equity shares KAMA Holdings Limited	14,88,45,000 50.21% 14,88,45,000 50.21%

16.1 General reserve

	As at March 31, 2025	As at March 31, 2024
Balance at beginning of year	711.27	711.27
Increase/(decrease)duringtheyear	-	-
Balance at end ofyear	711.27	711.27

15.4 Details of equity shares held by promoters:

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Promoter name Number of fully % holding in that % change during
paid equity shares class of shares the year
held
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As	at March 31, 2025
1.	KAMA Holdings Limited	14,88,45,000	50.21%	-
2.	Mr. Arun Bharat Ram	87,500	0.03%	-
3.	Mr. Ashish Bharat Ram	25,000	0.01%	-
4.	Mr. Kartik Bharat Ram	25,000	0.01%	-
As	at March 31, 2024
1.	KAMA Holdings Limited	14,88,45,000	50.21%	(0.53)%
2.	Mr. Arun Bharat Ram	87,500	0.03%	(36.36)%
3.	Mr. Ashish Bharat Ram	25,000	0.01%	100.00%
4.	Mr. Kartik Bharat Ram	25,000	0.01%	100.00%

16.2 Retained earnings

	As at March 31, 2025	As at March 31, 2024
Balance at beginning of year	9,844.52	8,726.97
Proft for the year	1,250.78	1,335.71
Other comprehensive income arising from measurement of	(0.66)	(4.73)
defned beneft obligation* (Refer note 35.2 (iv))
Payments of dividend on equityshares	(213.43)	(213.43)
Balance at end ofyear	10,881.21	9,844.52

388 ANNUAL REPORT 2024-25

ANNUAL REPORT 2024-25 389

Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

The amount that can be distributed as dividend by the parent to its equity shareholders is determined based on the financial position of the parent company and also considering the requirements of the Companies Act, 2013.

net of income tax of 0.07 crores (Previous year: 1.19 crore)

16.3 Cash flow hedging reserve

(Refer note 39.3.1 (C))

	As at March 31, 2025	As at March 31, 2024
Balance at beginning of year	(54.06)	(150.34)
Recognized/(released) during the year	(7.16)	128.47
Income tax related to above	1.53	(32.19)
Balance at end of year	(59.69)	(54.06)

The Cash flow hedge reserve represents the cumulative effective portion of gains or losses arising on changes in fair value of designated portion of hedging instruments entered into for cash flow hedges. The cumulative gain or loss arising on changes in the fair value of the designated portion of the hedging instruments that are recognised and accumulated under the heading of cash flow hedging reserve will be reclassified to profit or loss only when the hedged transaction affects the profit or loss, or included as a basis adjustment to the non-financial hedged item.

16.4 Cost of hedging reserve

(Refer note 39.3.1 (C))

	As at March 31, 2025	As at March 31, 2024
Balance at beginning of year	3.40	4.74
Recognized/(released) during the year	(4.54)	(1.77)
Income tax related to above	1.14	0.43
Balance at end of year	-	3.40

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

16.5 Capital redemption reserve

	As at March 31, 2025 As at March 31, 2024
Balance at beginning of year Increase/(decrease) during the year Balance at end of year	10.48 10.48 - -
	10.48 10.48

Capital Redemption Reserve is a statutory, non-distributable reserve into which amounts are transferred following the redemption or purchase of a Company’s own shares. The reserve is utilised in accordance with the provision of the Act.

16.6 Capital reserve

	As at March 31, 2025 As at March 31, 2024
Balance at beginning of year Increase/(decrease) during the year Balance at end of year	193.77 193.77 - -
	193.77 193.77

Capital reserve represents amounts received pursuant to Montreal Protocol Phase-out Programme of refrigerant gases.

16.7 Reserve for equity instruments through other comprehensive income

	As at March 31, 2025	As at March 31, 2024
Balance at beginning of year	(4.22)	(4.22)
Increase/(decrease)duringtheyear	-	-
Balance at end ofyear	(4.22)	(4.22)

16.8 Exchange differences on translating financial statements of foreign operations

	As at March 31, 2025	As at March 31, 2024
Balance at beginning of year	(53.33)	15.75
Exchange diferences arisingon translation of foreign operations	111.07	(69.08)
Balance at end ofyear	57.74	(53.33)

390 ANNUAL REPORT 2024-25

391

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Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

Exchange differences relating to translation of the results and net assets of the group’s foreign operations from their functional currency in to group presentation currency (i.e. ` ) are recognized in Other Comprehensive Income and accumulated in foreign currency translation reserve. Exchange differences previously accumulated in foreign currency translation reserve in respect of foreign operations are reclassified to statement of profit and loss on disposal of foreign operation.

16.9 Employee share based payment reserve

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As at As at
March 31, 2025 March 31, 2024
----- End of picture text -----

Balance at beginning of year	20.19	11.63
Increase/(decrease) during the year	8.45	8.56
Recognised on vesting of shares issued under employee share	(0.53)
purchase scheme
Balance at end of year	28.11	20.19

The Company has allotted equity shares to certain employees and officers under an employee share purchase scheme. The share based payment reserve is used to recognise the value of equity-settled share based payments provided to the such employees and officers as part of their remuneration. Refer note 36 for further details of the scheme.

16.10 Securities premium

	As at March 31, 2025	As at March 31, 2024
Balance at beginning of year	509.56	509.56
Recognised on vesting of shares issued under employee share	0.53	-
purchase scheme
Balance at end ofyear	510.09	509.56

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

17 BORROWINGS

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As at As at
March 31, 2025 March 31, 2024
----- End of picture text -----

Non-current
Secured
Term Loans from banks*^ (Refer note 17.1.1)	1,775.14	2,272.89
Term Loans from others *(Refer note 17.1.2)	659.56	686.32
Less: Current maturities of long term borrowings
Term loan from banks	(565.58)	(940.93)
Term loan from others	(72.85)	(43.05)
	1,796.27	1,975.23
Unsecured
Term Loans from banks	353.98	368.46
Less: Current maturities of longterm borrowings Current	(168.92) 185.06 1,981.33	(92.55) 275.91 2,251.14
Secured
Cash credits from banks (Refer note 17.1.3.(iii))	6.63	13.27
Term loan from Banks ^^ (Refer note 17.1.3.(ii))	-	150.00
Loans repayable on demand from banks (Refer note 17.1.3.(i))	854.98	700.03
Current maturities of longterm borrowings	638.43	983.98
	1,500.04	1,847.28
Unsecured
Loans repayable on demand from banks	590.95	529.27
Commercial papers from banks and others #	400.00	200.00
Current maturities of longterm borrowings	168.92	92.55
	1,159.87	821.82
	2,659.91	2,669.10

Above amount of borrowings are net of upfront fees paid 7.40 crores (Previous year : 10.25 crores)

^ Out of a term loan of 414.51 crores obtained during the current year, unutilised balance of 60.50 crores as on March 31, 2025 has been temporarily invested in fixed deposit with a bank. (Previous Year: Out of a term loan of 625.38 crores obtained during the year, unutilised balance of 50.00 crores as on March 31, 2024 was temporarily invested in fixed deposit with a bank).

^^ Represents long term loan taken from a bank which was repayable in 18 quarterly instalments starting from June 2024. It was entirely classified as current due to certain terms/conditions specified in agreement with the bank allowing pre-closure of the loan at the option of the Company/bank. The loan has been fully repaid during the current year.

The maximum amount due during the year was `600 crores (Previous year :` 200.00 crores)

There have been no defaults in repayment of principal and interest on borrowings during the reporting periods.

The quarterly returns or statements of current assets filed by the Company with the banks are in agreement with the books of account of the Company.

392 ANNUAL REPORT 2024-25

393

ANNUAL REPORT 2024-25

Corporate Our Statutory Financial 02 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

17.1 Details of security against the secured loans:

As at As at Details of Loan March 31, March 31, Security 2025[#] 2024[#] 1 (i) Term loan from Banks * 1,455.60 1,886.41 Moveable property (a) (i) Out of the loans in 1 (i), loans aggregating to 1,041.09 crores (Previous Year – 1,686.41 crores) are secured by hypothecation of Company’s moveable properties, both present and future, situated at Manali, Viralimalai and Gummidipoondi (other than moveable assets of Coated Fabrics Business) in the State of Tamil Nadu, Jhiwana in the State of Rajasthan, Malanpur and Special Economic Zone - Indore in the State of Madhya Pradesh and Kashipur (other than moveable assets of Laminated Fabrics Business) in the State of Uttarakhand and Dahej in the State of Gujarat (save and except certain assets). Additionaly, a loan amounting to ` 414.51 crores taken during the year is in the process of being secured by hypothication on the same assets.

(b)(i) Out of the loans in 1(a), loans aggregating to Nil (Previous Year – ` 95.60 crores) are secured by equitable Mortgage of Company’s immoveable properties, both present and future, situated at Viralimalai, Gummidipoondi (freehold land) in the State of Tamil Nadu, Kashipur in the State of Uttarakhand and Jhiwana in the State of Rajasthan. (ii) Term loans from banks 300.52 350.91 Term loan is secured by pledge of 85% of the share capital of SRF Europe Kft held by SRF Global BV, mortgage of land and building of SRF Europe Kft and exclusive charge over the fixed assets of SRF Europe Kft. (iii) Term loans from banks 22.01 39.99 Secured by mortgage of existing plant and machinery, land and building and/or any construction in future of Packaging film Factory (SRF Industries (Thailand) Ltd) and charged against certain specific Plant and machinery of Packaging film Factory (SRF Industries (Thailand) Ltd).

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

Details of Loan	As at March 31, 2025#	As at March 31, 2024#	Security
2 Term loans from others *	663.97	692.15	Moveable Property

(b) Loans in 2(a)(i), is further secured by the mortgage on the Company's all immoveable properties, both present and future, situated at Dahej in the State of Gujarat.

3 (i) Loans repayable on 637.68 588.18 Secured by hypothecation of stocks, semi finished and demand from banks finished goods, stores and spares not relating to plant and machinery, bill receivables, book debts and other Companies’ moveable assets, both present and future, at Manali, Viralimalai and Gummidipoondi in the State of Tamil Nadu, Jhiwana in the State of Rajasthan, Malanpur, Special Economic Zone - Indore and Pithampur in the State of Madhya Pradesh, Kashipur in the State of Uttarakhand and Dahej in the State of Gujarat.
37.68 21.88 Working capital facilities availed by SRF Flexipak (South Africa) (Pty) Ltd. are secured by cession of debtors and limited cession and pledge of credit balances
179.62 89.97 Working capital facility is secured by pledge of 85% of the share capital of SRF Europe Kft held by SRF Global BV and pledge over receivables arising out of trade agreements
(ii) Term loan from bank - 150.00 Nil (Previous year : ` 150 crores) secured by a first pari passu charge over all the moveable fixed assets both present and future of SRF Altech Limited. Also refer footnote to note no.17.
(iii) Cash credit / Working 6.63 13.27 Working capital facilities availed by SRF Flexipak (South facilities from banks Africa) (Pty) Ltd. are secured by cession of debtors and limited cession and pledge of credit balances

Gross of upfront fees paid `7.40 crores (Previous year -` 10.25 Crores)

Such hypothecation and mortgage mentioned in point 1 (a)(i) and 2(a)(i) above, rank pari-passu between term loans from banks and others.

394 ANNUAL REPORT 2024-25

395

ANNUAL REPORT 2024-25

Corporate Our Statutory Financial 02 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

17.2 Terms of loans

As at March 31, 2025

NON CURRENT BORROWINGS

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Loan Frequency of Interest rate Up to For For From
Category principal repayments March 31, 2026-27 2027-28 2028-29 to
2026 2030-31
----- End of picture text -----

Term loan	Half yearly instalment	Floating rate : Ranging	104.43	47.21	12.00	152.00
from banks		from 3.45 % to 7.50 %
	Quarterly Instalment	Ranging from 3.09% to 5.75%	631.88	876.00	137.71	170.87
Term loan	Half year payments	Floating rate: 5.65 %	22.87	-	-	-
from others	Quarterly Instalment	as at March 31, 2025 Floating rate: 5.25 %	51.29	102.58	102.58	384.66
		as at March 31,2025
			810.47	1,025.79	252.29	707.53

Amounts mentioned above are gross of upfront fees paid of ` 7.40 crores.

CURRENT BORROWINGS

Short term borrowings are either payable in instalments within one year or repayable on demand. For short term borrowings, interest rates ranges from 3.01% to 8.00 % . Also refer footnote to note no .17

As at March 31, 2024

NON CURRENT BORROWINGS

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----- Start of picture text -----

Loan Frequency of Interest rate Up to For For From
Category principal repayments March 31, 2025-26 2026-27 2027-28 to
2025 2029-30
----- End of picture text -----

Term loan	Half yearly instalment	Floating rate : Ranging	95.97	95.97	43.99	164.00
from banks		from 3.70 % to 8.10 %
	Quarterly Instalment	Ranging from 0.94% to	424.48	547.82	719.15	39.09
		8.02%
	Monthly Instalment Bullet payments	At 1.12% Floating rate: 6.22% as at March 31, 2024	265.16 250.15	- -	- -	- -
Term loan	Half year payments	Floating rate: 6.62 %	44.46	22.31	-	-
from others	Quarterly Instalment	as at March 31, 2024 Floating rate: 6.22 % as at March 31,2024	-	50.03	100.06	475.28
			1,080.22	716.13	863.20	678.37

Amounts mentioned above are gross of upfront fees paid of ` 10.25 crores.

CURRENT BORROWINGS

Short term borrowings are either payable in instalments within one year or repayable on demand. For short term borrowings, interest rates ranges from 2.65% to 11.75% . Also refer footnote to note no .17

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

Terms of repayment

1 Rupee term loan of 15.63 crores is repayable in final installment in April 2025 (Previous year: 78.13 crores are repayable in 5 quarterly instalments from April 2024).
2 Rupee term loan of 84.60 crores are repayable in 10 half-yearly instalments from September 2025 (Previous year: 90.00 crores are repayable in 12 half-yearly instalments from September 2024)
3 Rupee term loan of 103.40 crores are repayable in 10 half-yearly instalments from September 2025 (Previous year: 110.00 crores are repayable in 12 half-yearly instalments from September 2024)
4 Foreign currency term loan of 22.87 crores is repayable in final installment in April 2025 (Previous year: 66.77 crores are repayable in 3 half-yearly instalments from April 2024).
5 Foreign currency term loan of 120.68 crores are repayable in 8 quarterly instalments from June 2025 (Previous year: 176.58 crores are repayable in 12 quarterly instalments from June 2024)
6 Foreign currency term loan of 146.92 crores are repayable in 11 quarterly instalments from May 2025 (Previous year: 195.43 crores are repayable in 15 quarterly instalments from May 2024)
7 Foreign currency term loan of 569.87 crores are repayable in 8 quarterly instalments from May 2025 (Previous year: 625.37 crores are repayable in 9 quarterly instalments from February 2025)
8 Foreign currency term loan of 641.10 crores are repayable in 21 quarterly instalments from July 2025 (Previous year: 625.37 crores are repayable in 21 quarterly instalments from July 2025)
9 Foreign currency term loan of ` 414.51 crores are repayable in 17 quarterly instalments from October 2025 (Previous year: Nil)
10 Foreign currency term loan from a Bank of 265.16 crores was repaid in the current year (Previous year: 265.16 crores are repayable in 12 monthly instalments from April 2024)
11 Foreign currency term loan from a Bank of 95.60 crores was repaid in the current year (Previous year: 95.60 Crores are repayable in 4 quarterly instalments from May 2024)
12 Foreign currency term loan from Bank of 250.15 crores was repaid in the current year (Previous year: 250.15 crores are repayable in one bullet instalment in March 2025)
13 Foreign currency term loan of 300.52 crores are repayable in 5 quarterly instalments from June 2025 and final installment in January 2027 (Previous year : 350.91 crores are repayable in 9 quarterly instalments from June 2024 and final installment in January 2027).
14 Foreign currency term loan of 22.01 crores is repayable in final installment in September 2025 (Previous year: 39.99 crores are repayable in 1 half yearly instalment in September 2024 and final installment in September 2025)
15 Foreign currency term loan of 47.16 crores are repayable in 6 quarterly instalments from April 2025 (Previous year: 71.41 crores are repayable in 10 quarterly instalments from April 2024)
16 Foreign currency term loan of 105.63 crores are repayable in 3 half yearly instalments from June 2025 (Previous year : 159.95 crores are repayable in 5 half yearly instalments from June 2024).
17 Foreign currency term loan of 201.18 crores are repayable in 6 quarterly instalments from December 2025 (Previous year: 137.10 crores are repayable in 6 quarterly instalments from December 2025)

396

397

ANNUAL REPORT 2024-25

Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

18 PROVISIONS

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As at As at
March 31, 2025 March 31, 2024
Non-Current
----- End of picture text -----

Provision for employee benefts * Provision for compensated absence	69.94	62.53
Provision for retention pay Other employee benefts	0.17 12.49 82.60	0.17 8.69 71.39
Current
Provision for employee benefts * Provision for compensated absence Other employee benefts	9.78 0.03 9.81	8.74 0.03 8.77

Refer Note no 35

19 TRADE PAYABLES

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As at As at
March 31, 2025 March 31, 2024
Total outstanding dues of micro enterprises and small enterprises#
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-Other than acceptances	94.86	84.57
	94.86	84.57
Total outstanding dues of creditors other than micro enterprises
and small enterprises
- Acceptances*	697.97	591.27
-Other than acceptances	1,538.76	1,521.92
	2,236.73	2,113.19
	2,331.59	2,197.76

Refer to note 19.1

The Group participates in a supply chain financing arrangement (SCF) which is disclosed under trade payables / other financial liabilities enabling suppliers to take early payment by selling their receivables from the group. The Group has not derecognised the original liabilities to which the arrangement applies because neither a legal release was obtained nor the original liability and the payment terms are modified on entering into the arrangement. The Group therefore discloses such amounts within trade payables / other financial liabilities because the nature and function of the financial liability remains same.

Ageing of trade payables :

Outstanding for following periods from due date of payment	As at March 31, 2025
	Dues of micro enterprises and small enterprises Dues of creditors other than micro enterprises and small enterprises Disputed dues of micro enterprises and small enterprises Disputed dues of creditors other than micro enterprises and small enterprises Total
Not due Less than one year 1-2 Years 2-3 Years More than 3 years Unbilled dues	92.33 1,641.10 - - 1,733.43 2.48 157.25 - - 159.73 0.05 2.05 - - 2.10 - - - - - - - - - - - 436.33 - - 436.33
	94.86 2,236.73 - - 2,331.59

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

Outstanding for following periods from due date of payment	As at March 31, 2024
	Dues of micro enterprises and small enterprises Dues of creditors other than micro enterprises and small enterprises Disputed dues of micro enterprises and small enterprises Disputed dues of creditors other than micro enterprises and small enterprises Total
Not due Less than one year 1-2 Years 2-3 Years More than 3 years Unbilled dues	83.17 1,406.07 - - 1,489.24 1.40 208.60 - - 210.00 - - - - - - - - - - - 0.54 - - 0.54 - 497.98 - - 497.98
	84.57 2,113.19 - - 2,197.76
Total outstanding dues of micro enterprises and small enterprises Trade Payables include the following dues to micro and small enterprises covered under “The Micro, Small and Medium Enterprises Development Act, 2006” (MSMED) to the extent such parties have been identifed from the available information.
As at March 31, 2025 As at March 31, 2024
Amount remaining unpaid to suppliers under MSMED (suppliers) as at the end of year - Principal amount** 112.70 124.77 - Interest due thereon 0.02 0.04 Amount of payments made to suppliers beyond the appointed day during the year - Principal amount 109.09 - - Interest actually paid under section 16 of MSMED /settled 0.04 0.01 Amount of interest due and payable for delay in payment (which has been paid but beyond the appointed day during the year) but without adding interest under MSMED 0.39 - Interest accrued and remaining unpaid at the end of the year - Interest accrued during the year 0.41 0.04 - Interest remaining unpaid as at the end of the year 0.41 0.04 Interest remaining due and payable even in the succeeding years, until such date when the interest dues are actually paid, for the purpose of disallowance of a deductible expenditure 0.41 0.04

19.1 Total outstanding dues of micro enterprises and small enterprises

Trade Payables include the following dues to micro and small enterprises covered under “The Micro, Small and Medium Enterprises Development Act, 2006” (MSMED) to the extent such parties have been identified from the available information.

** including payable to micro enterprise and small enterprise included in other financial liabilities (refer note 20).

398

ANNUAL REPORT 2024-25 399

ANNUAL REPORT 2024-25

Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

20 OTHER FINANCIAL LIABILITIES

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As at As at
March 31, 2025 March 31, 2024
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Non-Current
Derivatives carried at fair value through other comprehensive income
- Forward exchange contracts used for hedging	16.46	0.80
Securitydeposits	1.99	-
	18.45	0.80
Current
Interest accrued but not due on borrowings	20.42	23.41
Unpaid dividends^	6.80	6.55
Security deposits received	7.90	7.84
Payables to capital creditors
- Total outstanding dues of micro enterprises and small
enterprises #
Other than acceptances	18.25	40.24
- Total outstanding dues of creditors other than micro enterprises
and small enterprises
Acceptances*	-	147.65
Other than acceptances	79.46	94.24
Derivatives carried at fair value through proft and loss
- Forward exchange contracts used for hedging	0.18	0.79
- Other Forward exchange contracts	-	0.04
Derivatives carried at fair value through other comprehensive income
- Forward exchange contracts used for hedging	9.17	4.93
Payable to banks for discounted receivables	94.74	131.23
Liability towards unspent expenditure on corporate social	24.39	9.51
responsibility **
Employee benefts payable	21.02	***
Others	2.11	0.99
	284.44	467.42

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

21 TAX ASSETS AND LIABILITIES

	As at March 31, 2025	As at March 31, 2024
Other tax assets
Advance tax (net of provision for tax)	203.60	210.96
Current tax liabilities
Provision for tax (net of advance tax)	16.71	16.60

22 OTHER LIABILITIES

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As at As at
March 31, 2025 March 31, 2024
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Non-current
Deferred government grants*	307.27	177.31
	307.27	177.31
Current
Contract liability (Refer note 40)	28.68	33.05
Statutory liabilities	42.49	32.51
Payable to gratuity trust (Refer note 35.2)	6.55	4.00
Deferred government grants*	9.71	5.50
Other payables	11.30	18.55
	98.73	93.61

Deferred government grants include capital grants for promoting investment, setting up of property, plant and equipment and job creation under various government programmes/ schemes. These grants are being amortised over the useful life of the related property, plant and equipment in proportion to the related depreciation expense recognised. The related unamortised grant amount as on March 31, 2025 is 263.90 crores (Previous year: 132.92 crores)

^ Amount will be credited to investor education and protection fund if not claimed within seven years from the date of declaration of dividend.

Refer note 19.1

Refer footnote to note no. 19

** Refer note 44 (d)

*** Comparative amount of ` 19.22 crores was included under Trade payables, not regrouped on materiality consideration.

400 ANNUAL REPORT 2024-25

ANNUAL REPORT 2024-25 401

Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

23 REVENUE FROM OPERATIONS

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Year ended Year ended
March 31, 2025 March 31, 2024
Revenue from contracts with customers
----- End of picture text -----

Revenue from contracts with customers
Sale of products
Manufactured goods	13,996.77	12,608.82
Tradedgoods	361.38	301.53
	14,358.15	12,910.35
Other operating revenues
Export and other incentives	80.45	87.17
Scrap sales	60.81	41.20
Provision/ liabilities no longer required written back	11.74	12.54
Material handling income	160.77	80.47
Other operatingincome	21.15	6.79
	334.92	228.17
	14,693.07	13,138.52

Reconciliation of revenue from sale of products with the contracted price

	Year ended March 31, 2025	Year ended March 31, 2024
Contracted price	14,596.79	13,203.15
Less: Discounts,allowances and claims	(238.64)	(292.80)
Sale ofproducts	14,358.15	12,910.35

24 OTHER INCOME

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Year ended Year ended
March 31, 2025 March 31, 2024
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Int	erest income
i.	On fnancial assets carried at amortised cost
	- from customers	3.62	2.77
	- on loans, deposits and investments	18.37	7.85
ii.	On fnancial assets carried at fair value through proft and loss
	- on loans, deposits and investments	10.60	10.85
iii.	Others *
	- on others	11.85	4.77
Net	gain on sale/discarding of property, plant and equipment	1.51	4.74
Net	gain on fnancial assets measured at fair value through proft	32.44	22.88
and	loss
Insurance claim		35.21	4.92
Other non-operatingincome		19.12	24.24
		132.72	83.02

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

25.1 COST OF MATERIALS CONSUMED*

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Year ended Year ended
March 31, 2025 March 31, 2024
----- End of picture text -----

Opening stock of raw materials	1,067.59	1,102.59
Add: Purchases of raw materials	7,552.45	6,660.60
	8,620.04	7,763.19
Less: Closingstock of raw materials	1,045.84	1,067.59
Cost of materials consumed	7,574.20	6,695.60

including packing material

25.2 PURCHASES OF STOCK IN TRADE

	Year ended March 31, 2025	Year ended March 31, 2024
Purchase of stock in trade	124.86	118.56
	124.86	118.56

25.3 CHANGES IN INVENTORIES OF FINISHED GOODS, WORK IN PROGRESS AND STOCK IN TRADE

	Year ended March 31, 2025	Year ended March 31, 2024
Inventories at the end of the year :
Stock-in-Process	332.61	269.36
Finished goods	513.71	575.43
Tradedgoods	53.33	40.86
	899.65	885.65
Efect of changes in exchange currency rates
Stock-in-Process	2.48	(1.20)
Finished goods	10.53	(5.63)
Tradedgoods	1.09	(1.37)
	14.10	(8.20)
Inventories at the beginning of the year:
Stock-in-Process	269.36	239.56
Finished goods	575.43	476.19
Tradedgoods	40.86	95.71
	885.65	811.46
Total (increase) / decrease	0.10	(82.39)
Less: Inventory damaged due to cyclone / food (refer to note	-	(22.99)
44(f))
Net(increase) / decrease	0.10	(105.38)

402 ANNUAL REPORT 2024-25

403

ANNUAL REPORT 2024-25

Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

26 EMPLOYEE BENEFITS EXPENSE

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Year ended Year ended
March 31, 2025 March 31, 2024
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Salaries and wages, including bonus	863.20	776.13
Contribution to provident and other funds	63.81	55.86
Workmen and staf welfare expenses	107.01	94.48
Share basedpayment expense(Refer note 36)	8.45	8.56
	1,042.47	935.03

27 FINANCE COST

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Year ended Year ended
March 31, 2025 March 31, 2024
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Interest cost ^
- Term loans and others	339.58	266.25
- Lease liabilities	7.57	9.07
Other borrowing costs	18.40	19.98
Exchange diferences regarded as an adjustment to borrowingcosts	10.41	6.99
	375.96	302.29

^ pertains to liabilities measured at amortised cost. The amount disclosed is net of interest capitalised during the year. Also, Refer note no. 4 (i)

28 DEPRECIATION AND AMORTISATION EXPENSE

	Year ended March 31, 2025	Year ended March 31, 2024
Depreciation of property, plant and equipment	732.43	631.29
Amortisation of intangible assets	9.34	9.33
Depreciation of Right of use assets	29.73	32.00
	771.50	672.62

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

29 OTHER EXPENSES

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----- Start of picture text -----

Year ended Year ended
March 31, 2025 March 31, 2024
----- End of picture text -----

Power and fuel	1,351.87	1,344.81
Credit impaired assets provided / written of	1.60	4.22
Labour production	91.23	83.08
Directors' sitting fees	0.44	0.24
Expenditure on corporate social responsibility**	43.37	41.02
Property, plant and equipment provided/ written of	7.27	4.28
Freight charges	596.52	433.82
Insurance	88.42	73.07
Legal and professional charges	63.09	60.73
Rates and taxes	20.68	20.09
Rent***	43.41	41.77
Repairs and maintenance
- Buildings	11.76	10.95
- Plant and machinery	275.71	251.80
- Other maintenance	66.91	66.15
Selling commission	43.27	35.24
Stores and spares consumed	102.84	94.16
Travelling and conveyance	24.92	23.37
Auditor remuneration #
- Audit Fees	2.49	2.29
- For limited review of unaudited fnancial results	1.10	1.09
- For Corporate governance and other certifcates	0.31	0.11
- For tax audit	0.17	0.17
- Reimbursement of out of pocket expenses	0.25	0.21
Exchange currency fuctuation (net)	119.17	76.71
Efuent disposal expenses	175.42	158.91
Miscellaneous expenses	100.78	82.31
	3,233.00	2,910.60

** Refer to note no. 44(d)
*** Refer to note no. 41
including fees paid to auditors of subsidiary companies

Also refer note no. 44 (f) for adjustment on account of damage due to cyclone / flood.

404 ANNUAL REPORT 2024-25

ANNUAL REPORT 2024-25 405

Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Consolidated Financial Statements for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

30 INCOME TAX RECOGNISED IN PROFIT AND LOSS

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Year ended Year ended
March 31, 2025 March 31, 2024
----- End of picture text -----

Tax expense	452.92	356.51
Current tax	452.92	356.51
In relation to current year	346.52	363.64
Adjustment in relation to earlier years ( Refer note (i) below)	(2.36)	(98.06)
	344.16	265.58
Deferred tax
In relation to current year	109.66	96.13
Adjustment in relation to earlier years	(0.90)	(5.20)
Total tax expense	108.76	90.93

The income tax expenses for the year can be reconciled to the accounting profits as follows:

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Year ended Year ended
March 31, 2025 March 31, 2024
Profit before tax 1,703.70 1,692.22
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Proft before tax	1,703.70	1,692.22
Income Tax Expenses @ 25.168% (Previous year @ 25.168%)	428.79	425.90
Efect of deductions (research and development, share issue	(0.50)	(0.25)
expenses and deductions under Chapter - VIA of Income Tax Act)
Efect of expenses that are not deductible in determining taxable profts	11.56	11.53
No tax on losses due to uncertainty of recoverability	5.59	7.97
Efect of Nil tax/exemption of overseas subsidiaries	(1.81)	(3.26)
Efect of diferential tax rates in overseas subsidiaries	12.65	17.34
Others	(0.10)	0.54
Income tax expenses recognised in statement of proft	456.18	459.77
and loss in relation to current year
Income tax credit recognised in statement of proft and loss in	(3.26)	(103.26)
relation to earlier years
Total Income tax expenses recognised in proft and loss	452.92	356.51

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

from Income Tax Appellate tribunal (“ITAT”) in relation to the above assessment years, elapse of statutory time for further appeal by tax authorities and favourable judicial precedents.

Related remaining interest income in respect of assessment years 2008-09 and 2009-10 will be considered in the period in which a requisite level of certainty is achieved.

Considering that the in-principle matter of taxability of CER is yet to attain a finality, the Company will continue to re-assess its tax position, including in relation to other assessment years, and will consider their impact in the relevant period.

31 INCOME TAX RECOGNISED IN OTHER COMPREHENSIVE INCOME

	Year ended March 31, 2025	Year ended March 31, 2024
Arising on income and expense recognised in other
comprehensive income
Net (gain)/ loss on designated portion of hedging instruments in	1.53	(32.19)
cash fow hedges
Cost of hedging reserve	1.14	0.43
Remeasurement of defned beneft obligation	0.07	1.19
	2.74	(30.57)
Bifurcation of the income tax recognised in other
comprehensive income into:
Items that will be reclassifed to proft or loss	2.67	(31.76)
Items that will not be reclassifed to proft or loss	0.07	1.19
	2.74	(30.57)

Notes:

(i) During the year ended March 31, 2024, the Company had reassessed its uncertain tax position in relation to past years on taxability of income from sale of Carbon Emission Reduction Certificates (CER’s) and had written back ` 98.06 crores in respect of assessment years 2008-09 and 2009-10 as ‘Tax adjustments in relation to earlier years’ after taking into consideration favourable orders received

406

ANNUAL REPORT 2024-25 407

ANNUAL REPORT 2024-25

Corporate Our Statutory Financial 02 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Consolidated Financial Statements for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

32 CONTINGENT LIABILITIES

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As at As at
March 31, 2025 March 31, 2024
----- End of picture text -----

Claims against the group not acknowledged as debts :
Sales tax and entry tax *	14.01	14.01
Goods and services tax, excise duty, custom duty and	278.27	17.92
service tax **
Income Tax ***	238.78	300.22
Others****	10.16	10.16

Amount deposited against contingent liability 6.54 crores (Previous year: 6.54 crores)
** Amount deposited against contingent liability 22.66 crores (Previous year: 6.77 crores). Contingent liabilities includes the following matters:
(i) Order received in the current year under Goods and Service tax (GST) law for the period from December 2019 to March 2022 of 235.07 crores (including penalty and applicable interest of 149.84 crores) on account of refund of IGST claimed on exports made using duty free raw materials procured from SEZ / EOU suppliers against Advance Authorisations. The Company has subsequently filed an appeal before Commissioner (Appeals) against this demand and an amount of ` 8.52 crores has been deposited under protest.
(ii) Order received in the current year under Goods and Service tax (GST) law for the period from July 2017 to March 2021 of 21.03 crores (including penalty and applicable interest of 14.03 crores), on account of non payment of GST on research and development services between internal units of the Company. The Company has subsequently filed an appeal before Commissioner (Appeals) against this demand and an amount of ` 7.00 crores has been deposited under protest.
*** Amount deposited against contingent liability 60.69 crores (Previous year: 63.42 crores). Contingent liabilities includes the following matters:
(i) Demand/ rectification Orders received in earlier years in respect of assessment years 2017-18 and 2018-19 having a tax implication of 19.96 crores (Previous year 19.96 crores) and 57.94 crores (Previous year 57.94 crores) respectively on account of transfer pricing adjustments, disallowance of research and development expenditure, etc. The Company has filed an appeal before Income Tax Appellate Tribunal against the said orders.
(ii) Final Assessment Order for assessment year 2020-21 received in the current year having adjustment of 48.39 Crores with tax implication of 16.91 crores (Previous year draft assessment order received with tax adjustments of ` 178.50 crores) on account of transfer pricing adjustments, disallowance u/s 14A and for generation of power from captive power plants, etc. The Company has filed an appeal before Income Tax Appellate Tribunal against the said order.
(iii) Final Assessment Order for assessment year 2021-22 received in the current year having adjustment of 98.27 Crores with tax implication of 54.19 crores (Previous year draft assessment order received with tax adjustments of 258.55 crores and order under section 143(1) with a demand of 130.74 crores) on account of transfer pricing adjustments, disallowance for research and development expenditure and for generation of power from captive power plants, etc. The Company has filed an appeal before Income Tax Appellate Tribunal against the said order. Also, refund aggregating to 57.33 crores (previous year 57.33 crores) for different assessment years have been adjusted against the said demand.
(iv) Intimation order under section 143(1) received in the previous year for assessment year 2022-23 with a demand of ` 68.76 crores for which the Company has filed rectification application before Assessing Officer and an appeal before CIT(Appeals).

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

All the above matters are subject to legal proceedings in the ordinary course of business. In the opinion of the management, the legal proceedings, when ultimately concluded, are not likely to have a material effect on the results of the operations or financial position of the group.

b. (i) The Company has been served with show cause notices regarding certain transactions as to why additional customs / excise duty / service tax / goods and service tax amounting to 24.22 crores (Previous year: 43.00 crores) should not be levied. An amount of 0.15 crores (Previous year: 7.15 crores) has been deposited against such show cause notices. The Company is of the view that the contention of the respective departments is not tenable and hence the show cause notices may not be sustainable.
(ii) The Company has received a draft Assessment Order for assessment year 2022-23 in which adjustments amounting to ` 197.13 crores are proposed on account of adjustments while passing order under section 143(1), transfer pricing adjustments, disallowance u/s 80G and for generation of power from captive power plants, etc. which are pending before Dispute Resolution Panel as on March 31, 2025. Based on the facts of the case and the management’s assessment, the Company is of the view that the proposed adjustments are not likely to sustain.
c. The amounts shown above represent the best possible estimates arrived at on the basis of available information. The uncertainties and possible reimbursements are dependent on the outcome of different legal processes which have been invoked by the Company, or by the claimant, as the case may be, and therefore, cannot be predicted accurately or relate to a present obligations that arise from past events where it is either not probable that an outflow of resources will be required to settle or a reliable estimate cannot be made.

33 CAPITAL AND OTHER COMMITMENTS

		As at March 31, 2025 As at March 31, 2024
	(i)	Estimated amount of contracts remaining to be executed on capital account ( property plant and equipment) and not provided for (net of advances). 672.61 318.82

(ii) The group has other commitments, for purchases / sales orders which are issued after considering requirements per operating cycle for purchase / sale of goods and services, employee benefits including union agreements in normal course of business. The group does not have any long term contracts including derivative contracts for which there will be any material foreseeable losses which have not been provided for.
iii) Export obligation under advance license scheme on duty free import of specific raw materials, and EPCG scheme on import of capital items remaining outstanding is 1,409.15 crores (Previous year: 1,388.16 crores).
**** Amount deposited against contingent liability 9.05 crore (Previous year: 9.05 crore). Contingent liability includes demand by Madhya Pradesh Paschim Kshetra Vidyut Vitaran Company Ltd. (MPPKVV Ltd) of 8.73 Crores (Previous year: 8.73 crores).

408

ANNUAL REPORT 2024-25 409

ANNUAL REPORT 2024-25

Corporate Our Statutory Financial 02 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

34 RELATED PARTY TRANSACTIONS

34.1 Description of related parties under Ind AS - 24 “Related Party Disclosures”

Ultimate Holding Key management personnel (KMP) # ABR Family Trust Ashish Bharat Ram Kartik Bharat Ram Holding Company Vineet Agarwal ^ KAMA Holdings Limited Ira Gupta ^ Vellayan Subbiah Fellow subsidiaries # Pramod Gopaldas Gujarathi KAMA Realty (Delhi) Limited Bharti Gupta Ramola Shri Educare Limited Yash Gupta SRF Transnational Holding Limited Puneet Yadu Dalmia Raj Kumar Jain Post employment benefit plans trust # SRF Limited Officers Provident Fund Trust Enterprises over which KMP have control or SRF Employees Gratuity Trust joint control # SRF Officers Gratuity Trust BLP Industry AI Private Limited Parry Enterprises India Limited Enterprises over which KMP have SRF Foundation significant influence # SRF Welfare Trust Havells India Limited Carborandum Universal Limited Indian Chemical Council * Rose Farms (Delhi) LLP Bharat Forge Limited *** Dalmia Cement (Bharat) Limited ** CG Power and Industrial Solutions Limited Relatives of KMP # Transport Corporation of India Limited* Arun Bharat Ram TCI Express Limited Sushil Ramola TCI Chemlog Private Limited* Murugappan Vellayan Subbiah Deeksha Amit Kalyani *Relatives of KMP of Holding Company # Salil Gupta Nirmala Kothari Apoorvi Bharat Ram Meher Kaur Rikhy Palak Maheshwari KMP of Holding Company # Ekta Maheshwari Enterprises over which relative of KMP has control Jagdeep Singh Rikhy or joint control # Murugappa & Sons

^ From April 01, 2024

From October 31, 2023
** From December 08, 2023
*** From September 01, 2023
**** From April 01, 2024
* From September 04, 2024

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

34.2 Transactions with related parties

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Year ended Year ended
March 31, 2025 March 31, 2024
Purchase of property, plant & equipment from:
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Purchase of property, plant & equipment from:
Key management personnel	-	1.90
Enterprises over which KMP have control orjoint control	0.04	1.51
	0.04	3.41
Sale of property, plant & equipment to
Enterprises over which KMP have control orjoint control	-	7.00
	-	7.00
Sale of goods to
Enterprises over which KMP have signifcant infuence	40.37	16.02
	40.37	16.02
Purchase of goods from
Enterprises over which KMP have signifcant infuence	0.02	3.41
	0.02	3.41
Rent paid to:
Fellow Subsidiaries	6.54	6.54
Key management personnel	0.21	0.01
Relative of KMP	-	0.21
Enterprises over which KMP have control orjoint control	2.40	1.36
	9.15	8.12
Reimbursement of expenses from
Holding Company	0.02	*
Fellow Subsidiaries	-	0.02
	0.02	0.02
* Amount in absolute :`35,000
Reimbursement of expenses to
Enterprises over which KMP have control or joint control	0.02	0.03
Keymanagementpersonnel	**	**
	0.02	0.03
* Amount in absolute :`.27,900 ( previous year:`28,000)
Received Services from :
Relative of KMP	0.60	0.60
Enterprises over which KMP have control or joint control	9.92	0.95
Enterprises over which KMP have signifcant infuence	0.44	0.05
	10.96	1.60
Services rendered to :
Enterprises over which KMP have control orjoint control	1.50	-
	1.50	-
Security deposits given to
Enterprises over which KMP have control orjoint control	0.09	0.98
	0.09	0.98

Only with whom the Company had transactions during the year

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Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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Year ended Year ended
March 31, 2025 March 31, 2024
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Security deposits received back from
Keymanagementpersonnel	-	0.01
	-	0.01
Contribution for expenditure on corporate social
responsibility
Enterprises over which KMP have control orjoint control	15.31	25.70
	15.31	25.70
Contribution to post employment beneft plans
(Net of claims)
Post Employment Beneft Plans Trust	28.30	31.50
	28.30	31.50
Employee beneft obligations/assets transferred to
Fellow Subsidiaries	-	0.01
	-	0.01
Remuneration paid to
Relative of KMP	0.04	-
	0.04	-
Equity dividend paid
Holding Company	107.17	107.74
Key management personnel	0.08	0.07
Relatives of KMP	0.20	0.22
KMP of Holding Company	^^	^^
Relatives of KMP of Holding Company	^	^
Enterprises over which relative of KMP have control or joint	^^^	^^^
control
	107.45	108.03

^ Amount in absolute 461 (Previous year : 720)

^^ Amount in absolute 1,202 (Previous year : 1,786)

^^^ Amount in absolute 37,224 (Previous year : 37,224)

34.3 Outstanding balances:

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March 31, 2025 March 31, 2024
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Commission payable
Keymanagementpersonnel	17.26	17.26
	17.26	17.26
Receivable
Enterprises over which KMP have signifcant infuence Post employment beneft plans trust	7.25 0.51	2.30 0.99
Enterprises over which KMP have control orjoint control	0.02	-
	7.78	3.29

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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March 31, 2025 March 31, 2024
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Payable
Enterprises over which KMP have signifcant infuence Post employment beneft plans trust	- 8.39	0.02 5.69
Enterprises over which KMP have control orjoint control	2.63	0.51
	11.02	6.22
Security deposits outstanding
Fellow Subsidiaries	3.24	3.24
Relatives of KMP	0.11	0.11
Enterprises over which KMP have control orjoint control	1.21	1.12
	4.56	4.47

34.4 Key management personnel compensation

Short-term benefts * Post-employment benefts Other long-termbenefts	Year ended March 31, 2025 40.24 2.52 0.80	Year ended March 31, 2024 39.05 2.91 1.07
	43.56	43.03

Include sitting fees and commission paid/ payable to non executive directors

The above transactions with related parties are made on terms equivalent to those that prevail in arm’s length transactions.

35 EMPLOYEE BENEFITS

33.1 Defined contribution plans:

Amounts recognized in the statement of profit and loss are as under:

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Indian entities Year ended Year ended
March 31, 2025 March 31, 2024
Superannuation fund {Refer to note (i) below} 0.46 0.48
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Superannuation fund {Refer to note (i) below}	0.46	0.48
Provident fund administered through Regional Provident Fund	21.81	19.48
Commissioner {Refer to note (ii) below}
Employees’ State Insurance Corporation	0.13	0.16
National Pension Scheme	3.50	2.76
	25.90	22.88

Foreign subsidiaries	Year ended March 31, 2025	Year ended March 31, 2024
Contribution to provident fund	1.87	1.82
Skill, development and Social Security Fund	6.21	5.24
Pension fund	1.64	1.55
	9.72	8.61

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Notes to the Consolidated Financial Statements

for the year ended March 31, 2025 (All amounts in ` Crores, unless otherwise stated)

The expenses incurred on account of the above defined contribution plans have been included in Note 26 “Employee Benefits Expenses” under the head “Contribution to provident and other funds”

(i) Superannuation fund

The Company makes contributions to a Trust which in turn contributes to ICICI Prudential Life Insurance Company Limited. Apart from being covered under the Gratuity Plan described below, the employees of the Company also participate in a defined contribution superannuation plan maintained by the Company. The Company has no further obligations under the plan except making annual contributions based on a specified percentage of each covered employee’s salary. From November 1, 2006, the Company provided an option to the employees to receive the said benefit as cash compensation along with salary in lieu of the superannuation benefit. Thus, no contribution is required to be made for the category of employees who opted to receive the benefit in cash.

(ii) Provident fund administered through Regional Provident Fund Commissioner

All employees are entitled to Provident Fund benefits as per the law. For certain category of employees, the group administers the benefits through a recognized Provident Fund Trust. For other employees contributions are made to the Regional Provident Fund Commissioners . The Government mandates the annual yield to be provided to the employees on their corpus. This plan is considered as a Defined Contribution Plan. For the first category of employees (covered by the Trust), the group has an obligation to make good for the shortfall, if any, between the yield on the investments of the trust and the yield mandated by the Government and these are considered as Defined Benefit Plans and are accounted for on the basis of an actuarial valuation.

35.2 Defined benefit plans

The group sponsors funded defined benefit plans for qualifying employees. The defined benefit plans are administered by separate funds which are legally separate from the group. These plans are:

(a) Gratuity

(b) Provident fund for certain category of employees administered through a recognized provident fund trust.
(c) Legal Severance pay & Health care (Unfunded) as applicable with respect to foreign entities

(i) These plans typically expose the group to actuarial risks such as investment risk, interest rate risk, longevity risk and salary risk.

Investment Risk

The probability or likelihood of occurrence of losses relative to the expected return on any particular investment.

Salary Risk

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

Interest Risk

The plan exposes the group to the risk of fall in interest rates. A fall in interest rates will result in an increase in the ultimate cost of the providing the above benefits and will thus result an increase in value of the liability.

Longevity Risk

The present value of defined benefit plan liability is calculated by reference to the best estimate of the mortality of the plan participants both during and after the employment. An increase in the life expectancy of plan participants will increase the plan’s liability.

(ii) The principal assumptions used for the purposes of the actuarial valuation are as follows:

Indian entities	As at March 31, 2025 As at March 31, 2024
	Gratuity Provident Fund Gratuity Provident Fund
Discount Rate Expected statutory interest rate Salary increase Retirement Age (years) Mortality Rates Withdrawal Rate Upto 30 years 31 to 44 years Above 44 years	6.68% 6.68% 7.13% 7.13% - 8.25% - 8.25% 8.50% - 8.50% - 58.00 58.00 58.00 58.00 IALM (2012-14) IALM (2012-14) IALM (2012-14) IALM (2012-14) 15.00% 15.00% 15.00% 15.00% 7.00% 7.00% 7.00% 7.00% 8.00% 8.00% 8.00% 8.00%

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Foreign subsidiaries Legal Severance Pay
(unfunded)
As at As at
March 31, 2025 March 31, 2024
Discount Rate 2.32% 2.99%
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Discount Rate	Discount Rate	2.32%	2.99%
Salary increase		7.00%	7.00%
In	service mortality	TMO	TMO
Retirement Age		2017	2017
Withdrawal Rate		55	55
-	up to 20 years	16.0%	16.5%
-	21-30	16.0%	16.5%
-	31-40	7.0%	7.0%
-	41-50	4.5%	4.0%
-	51 onwards	1.5%	1.5%

The cost of the defined benefit plans and other long term benefits are determined using actuarial valuations. An actuarial valuations involves making various assumptions that may differ from actual developments in the future. These includes the determination of the discount rate, future salary increases and mortality rate. Due to these complexities involved in the valuation, the probability are highly sensitive to the changes in these assumptions. All assumptions are reviewed at each reporting date. The present value of defined benefit obligation and the related current service cost and past service cost have been measured using projected unit credit method.

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Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

(iii) Amounts recognized in statement of profit an loss in respect of these benefit plans are as follows:

Indian entities Current Service cost Interest expenses (net of expected return onplan assets) Foreign subsidiaries Current/past Service cost Net interest expenses	Year ended March 31, 2025 Year ended March 31, 2024	Year ended March 31, 2025 Year ended March 31, 2024
	Gratuity Provident Fund Gratuity Provident Fund
	14.13 10.64 12.58 7.81 0.30 - 0.63 -
	14.43 10.64 13.21 7.81

		Legal Severance Pay (unfunded)
		Year ended March 31, 2025 Year ended March 31, 2024
		2.20 0.91 0.29 0.21
		2.49 1.12

The current service cost and the net interest expenses for the year are included in Note 26 “Employee Benefits Expenses” under the head Contribution to provident and other funds”.

(iv) Amounts recognised in other comprehensive income:

Indian entities Remeasurment (gain) / loss : Return on plan assets excluding interest income Actuarial (gain)/losses arising from changes in fnancial assumptions Actuarial (gain)/losses arising from changes in experience adjustments Actuarial (gain)/ losses arising from changes in demographic adjustments Foreign subsidiaries Remeasurment (gain) / loss : Actuarial (gain)/losses arising from changes in fnancial assumptions Actuarial (gain)/losses arising from changes in experience adjustments and demographic assumption	Gratuity
	Year ended March 31, 2025 Year ended March 31, 2024
	(3.51) (5.59) 4.99 6.85 (1.18) 3.41 - 0.10
	0.30 4.77

	Legal Severance Pay (unfunded)
	Year ended March 31, 2025 Year ended March 31, 2024
	0.86 0.71 (0.43) 0.44
	0.43 1.15

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

(v) The amounts included in consolidated balance sheet arising from the entity’s obligation in respect of its defined benefit plans are as follows:

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Indian entities As at March 31, 2025 As at March 31, 2024
Gratuity Provident Fund Gratuity Provident Fund
(Funded) (Funded)
Present value of funded defined 175.31 221.36 154.17 200.94
benefit obligation
Fair value of plan assets 168.76 221.37 150.17 203.85
Surplus / (deficit) (6.55) 0.01 (4.00) 2.91
Effect of asset ceiling, if any - (0.01) - (2.91)
Net assets / (liability) (6.55) - (4.00) -
Gratuity (Unfunded)
As at As at
March 31, 2025 March 31, 2024
Present value of funded defined benefit obligation 0.75 0.52
Foreign subsidiaries Legal Severance Pay
(unfunded)
As at As at
March 31, 2025 March 31, 2024
Present value of defined benefit obligation 11.77 8.20
Fair value of plan assets - -
Net asset / (liability) (11.77) (8.20)
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(vi) Movements in the present value of defined benefit obligation are as follows:

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As at March 31, 2025 As at March 31, 2024
Gratuity Provident Gratuity Provident
(Funded and Fund (Funded and Fund
Unfunded) Unfunded)
Opening defined benefit obligation 154.69 200.94 127.85 178.30
Current Service Cost 14.13 10.64 12.58 7.82
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Interest Cost	11.03	16.36	9.42	14.67
Actuarial (gain)/losses arising from changes in fnancial assumptions Actuarial (gain)/losses arising from	4.99 (1.18)	- -	6.85 3.41	- -
changes in experience adjustments
Actuarial (gain)/losses arising from	-	-	0.10	-
changes in demographic assumptions Benefts paid Contribution by plan participants /	(7.60) -	(20.73) 12.46	(5.52) -	(15.51) 11.31
employees
Settlement / transfer in /out Closing defned beneft obligation	- 176.06	1.69 221.36	- 154.69	4.35 200.94

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Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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Foreign subsidiaries Legal Severance Pay (unfunded)
As at As at
March 31, 2025 March 31, 2024
Opening defined benefit obligation 8.20 6.97
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Opening defned beneft obligation	8.20	6.97
Current Service Cost	2.20	0.91
Interest Cost	0.29	0.21
Actuarial (gain)/losses arising from changes in fnancial	0.86	0.71
assumptions
Actuarial (gain)/losses arising from changes in experience	(0.43)	0.44
adjustments and demographic assumption Exchange diference on foreign plans Benefts paid/Settled Closing defned beneft obligation	0.91 (0.26) 11.77	(0.42) (0.62) 8.20

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

Provident Fund:

The plan assets comprise of the following securities:

	As at March 31, 2025	As at March 31, 2024
Government Bonds	48.37%	49.57%
Public Sector Bonds	39.70%	35.38%
Other equityand Mutual Funds	11.93%	15.05%

(viii) Sensitivity Analysis

(vii) Movements in the fair value of plan assets are as follows:

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Year ended Year ended
March 31, 2025 March 31, 2024
Gratuity Provident Fund Gratuity Provident Fund
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Opening fair value of plan	150.17	203.85	119.30	180.00
assets
Return on plan assets	14.23	14.82	14.36	15.89
(excluding amounts included in
net interest expenses)
Contributions from employer	11.96	9.29	22.01	7.81
Contributions from plan	-	12.45	-	11.31
participants
Benefts paid	(7.60)	(20.73)	(5.50)	(15.51)
Settlement/ transfer in	-	1.69	-	4.35
Closing fair value of plan	168.76	221.37	150.17	203.85
assets

Gratuity:

The plan assets comprise of the following securities:

	As at March 31, 2025	As at March 31, 2024
Government	and Corporate Bonds 82.27%	85.69%
Others	17.73%	14.31%

Indian entities	Year ended March 31, 2025 Year ended March 31, 2024
	0.50% increase 0.50% decrease 0.50% increase 0.50% decrease
Sensitivity analysis of Gratuity Discount rate Expected salary growth Attrition rate Sensitivity analysis of Provident Fund Discount rate	(5.55) 5.92 (4.89) 5.21 5.79 (5.49) 5.12 (4.85) (0.56) 0.58 (0.49) 0.51 (0.02) 0.02 (0.02) 0.02

Foreign subsidiaries	Year ended March 31, 2025 Year ended March 31, 2024
	1% increase 1% increase 1% increase 1% increase
Sensitivity analysis of Legal Severance Pay Discount rate Expected salary growth	(1.27) 1.49 (0.95) 1.12 1.37 (1.19) 1.03 (0.90)

Sensitivity due to mortality and withdrawals are insignificant and hence ignored

35.3 Other long-term employee benefit

Other long-term employee beneft	Other long-term employee beneft
Amounts recognised in the statement of proft and loss in note 26 “Employee benefts		expenses” under the
head “Salaries and wages, including bonus”.
	Year ended March 31, 2025	Year ended March 31, 2024
Compensated absences	14.18	15.87
	14.18	15.87

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Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

Long Term Retention Pay

The group has a Long Term Retention Pay Plan which covers employees selected on the basis of their current band and their long term value to the Company. The incentive is payable in three year blocks subject to achievement of certain performance ratings. The Company also has a scheme for talent retention of certain identified employees under which an incentive is payable over a period of three years.

36 EMPLOYEE SHARE BASED PAYMENTS

The movement of number of equity shares granted, their fair value and the share based payment expense recognised during the year are as under:

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

37 SEGMENT REPORTING

Based on the guiding principles laid down in Indian Accounting Standard (Ind AS) - 108 “Segment Reporting”, the Chairman and Managing Director of the Company is the Chief Operating Decision Maker (CODM) and for the purposes of resource allocation and assessment of segment performance, the business of the Group is segregated in the segments below:

Technical Textiles business: includes nylon tyre cord fabric, belting fabric, and polyester tyre cord fabric and its research and development
Chemicals business: includes refrigerant gases, industrial chemicals, speciality chemicals, fluorochemicals & allied products and its research and development.
Performance Films & Foil Business (earlier named as Packaging Film business) : includes polyester films, polypropylene films and aluminium foil.
Others: include coated fabric, laminated fabric and other ancillary activities.

In addition to the material accounting policies applicable to the business segments as set out in note 2 above, the accounting policies in relation to segment accounting are as under:

a) Segment revenue and expenses

b) Segment assets and liabilities

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Year ended Year ended
March 31, 2025 March 31, 2024
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Number of equity shares:
(i) At the beginning of the year (ii) Granted during the year	1,98,800 -	1,98,800 -
(iv)Released duringtheyear	(2,500)	-
(iii)At the end of theyear	1,96,300	1,98,800
Market price on the grant date (`per equity share)	-	-
Exercise price (`per equity share)	-	-
Fair value of share based payment (`per equity share)	-	-
Share basedpayment expense recognised duringtheyear	8.45	8.56

The shares outstanding as on March 31st, 2025 are pledged for a period upto October 31, 2026.

Segment assets include all operating assets used by a segment and consist principally of operating cash, trade receivables, inventories and property plant and equipment and intangible assets, net of allowances and provisions, which are reported as direct offsets in the consolidated balance sheet. Segment liabilities include all operating liabilities and consist principally of creditors and accrued liabilities and do not include deferred income taxes. While most of the assets / liabilities can be directly attributed to individual segments, the carrying amount of certain assets / liabilities pertaining to two or more segments are allocated to the segments on a reasonable basis.

A. Information about operating business segments

		Year ended March 31, 2025	Year ended March 31, 2024
Segment revenue
a)	Technical textiles business (TTB)
	- External sales	2,021.00	1,886.99
	- Inter-segment sales	8.05	11.02
Total		2,029.05	1,898.01
b)	Chemicals business (CB)
	- External sales	6,690.75	6,297.01
	- Inter-segment sales	-	0.01
Total		6,690.75	6,297.02

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for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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Year ended Year ended
March 31, 2025 March 31, 2024
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c) Performance Films and Foil business (PFB)
- External sales	5,553.78	4,489.23
- Inter-segment sales	0.02	0.11
Total	5,553.80	4,489.34
d) Others
- External sales	427.54	465.29
- Inter-segment sales	-	0.01
Total	427.54	465.30
Total segment revenue	14,701.14	13,149.67
Less: Inter Segment revenue	8.07	11.15
Revenue from operations	14,693.07	13,138.52
Add: unallocable income	132.72	83.02
Total revenue	14,825.79	13,221.54
Segment profts
Proft before interest and tax from each segment
a) Technical textiles business (TTB)	238.05	274.22
b) Chemicals business (CB)	1,664.80	1,627.38
c) Performance Films & Foil Business (PFB)	364.53	206.50
d) Others	68.83	93.02
Total segment results	2,336.21	2,201.12
Less: i) Interest and fnance Charges	375.96	302.29
Less: ii)Other unallocable expenses net of income	256.55	206.61
Proft before tax	1,703.70	1,692.22
Capital expenditure
a) Technical textiles business (TTB)	217.23	215.59
b) Chemicals business (CB)	675.80	1,650.43
c) Performance Films & Foil Business (PFB)	172.28	456.17
d) Others	22.43	16.52
e) Unallocated	7.94	8.74
Total	1,095.68	2,347.45
Depreciation and amortisation
a) Technical textiles business (TTB)	53.79	44.72
b) Chemicals business (CB)	468.61	403.76
c) Performance Films & Foil Business (PFB)	226.26	201.05
d) Others	7.80	8.38
e) Unallocated	15.04	14.71
Total	771.50	672.62

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

Segment assets and liabilities

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Segment assets As at As at
March 31, 2025 March 31, 2024
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Segment assets
a) Technical textiles business (TTB)	2,199.07	2,030.45
b) Chemicals business (CB)	10,875.20	10,745.87
c) Performance Films & Foil Business (PFB)	6,645.73	6,181.15
d) Others	217.12	178.30
Total	19,937.12	19,135.77
Unallocable assets	1,620.00	1,346.17
Total assets	21,557.12	20,481.94
Segment liabilities
a) Technical textiles business (TTB)	410.91	525.38
b) Chemicals business (CB)	1,114.53	1,042.58
c) Performance Films & Foil Business (PFB)	1,494.26	1,392.08
d) Others	43.77	41.60
Total	3,063.47	3,001.64
Unallocable liabilities	5,867.45	6,001.28
Total liabilities	8,930.92	9,002.92

B. Information about geographical business segments

Year ended March 31, 2025 Year ended March 31, 2024	Year ended March 31, 2025 Year ended March 31, 2024	Year ended March 31, 2025 Year ended March 31, 2024
Revenue from operations
- India	7,324.05	5,964.76
- USA	1,219.74	1,412.42
- South Africa	628.66	552.76
- United Kingdom	229.35	262.70
- Italy	262.60	211.33
- Indonesia	133.27	117.22
- UAE	187.03	158.97
- South Korea	182.65	121.95
- Germany	363.25	414.21
- Thailand	530.69	477.30
- Hungary	36.29	28.44
- Switzerland	746.93	659.98
- Belgium	596.34	767.81
- Others	2,252.22	1,988.67
	14,693.07	13,138.52

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Corporate Our Statutory Financial 02 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Consolidated Financial Statements for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

		Year ended March 31, 2025	Year ended March 31, 2024
Non	current segment assets
-	Within India	12,256.50	11,857.70
-	Outside India	2,472.80	2,367.67
		14,729.30	14,225.37

Non current segment assets includes property, plant and equipment, right of use assets, capital work in progress, intangible assets and other non current assets.

No single customer contributed 10% or more to the Group’s revenue for both financial years 2024-25 and 2023-24.

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----- Start of picture text -----

Revenue from major products Year ended Year ended
March 31, 2025 March 31, 2024
----- End of picture text -----

a)	Technical textiles business (TTB)
	Nylon tyre cord fabric/ Polyester tyre cord fabric / Belting fabric	1,707.93	1,652.37
	Synthetic flament yarn including Industrial yarn /Twine	265.12	207.05
	Waste/others	3.56	5.52
b)	Chemicals business (CB)
	Speciality chemicals	3,793.19	3,666.07
	Fluorochemicals, Refrigerant Gases and allied products	2,249.96	2,132.52
	Industrial chemicals	411.26	343.39
	Waste/others	2.70	9.24
c)	Perfomance Films and Foil Business (PFB)
	Packaging Films	5,192.30	4,421.73
	Aluminium Foils	309.15	11.95
d)	Others
	Coated fabric,laminated fabric and other ancillaryactivities	422.98	460.51
		14,358.15	12,910.35

38 EARNINGS PER SHARE (EPS)

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----- Start of picture text -----

Year ended Year ended
March 31, 2025 March 31, 2024
Profit attributable to equity holders of the group used in calculating 1,250.78 1,335.71
----- End of picture text -----

basic earning per share and diluted earning per share:
Weighted average number of equity shares of the company used in	29,64,24,825	29,64,24,825
calculating basic earning per share and diluted earning per share
(nos.)
Basic and diluted earningsper share of face value`10 each	42.20	45.06

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

39 FINANCIAL INSTRUMENTS AND RISK MANAGEMENT

39.1 Capital Management

The group manages its capital to ensure that it will be able to continue as a going concern and provide reasonable return to the shareholders by maintaining a reasonable balance between debt and equity. The capital structure of the group consists of net debt (borrowings net of cash and cash equivalents, deposits accounts with maturity beyond three months up to twelve months and current investments) and total equity of the group. The group is not subject to any externally imposed capital requirements. The group’s management reviews the capital structure of the group on periodic basis. As part of its review, the management considers the cost of capital and risk associated with each class of capital. The group also evaluates its gearing measures using Net Debt Equity Ratio to arrive at an appropriate level of debt and accordingly evolves its capital structure.

The following table provides the details of the debt and equity at the end of the reporting periods :

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----- Start of picture text -----

As at As at
March 31, 2025 March 31, 2024
----- End of picture text -----

Debt and lease liabilities	4,726.03	5,030.54
Less:
Cash and cash equivalents	333.99	399.33
Deposits accounts with maturity beyond three months up to	0.43	0.22
twelve months
Deposit with Non Banking Financial Company (NBFC)	75.00	25.00
Current investments	704.53	405.58
Net debt	3,612.08	4,200.41
Total equity	12,626.20	11,479.02
Net debt to equity ratio	0.29	0.37

39.2 Financial instruments by category

Financial assets		Carryin	g value Fair value
	Level of hierarchy Notes	As at March 31, 2025	As at March 31, 2024 As at March 31, 2025 As at March 31, 2024
Measured at amortised cost Investments in bonds Investment in equity instruments Investment in optionally convertible debentures Trade Receivables Cash and cash equivalents Bank balances other than above Loans Other fnancial assets	1 d 3 d 3 d a a a a,b a,b	50.12 6.09 - 2,169.46 333.99 19.76 69.53 438.98	50.12 50.79 50.29 2.50 6.09 2.50 2.56 - 2.56 1,942.82 2,169.46 1,942.82 399.33 333.99 399.33 8.21 19.76 8.21 63.13 69.53 63.13 346.90 438.98 346.90
		3,087.93	2,815.57 3,088.60 2,815.74

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Notes to the Consolidated Financial Statements for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

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Carrying value Fair value
Level of Notes As at As at As at As at
Financial assets
hierarchy March 31, March 31, March 31, March 31,
2025 2024 2025 2024
Measured at Fair value through
----- End of picture text -----

proft and loss
Investments in mutual funds	2	d	704.53	321.14	704.53	321.14
Investments in bonds	1	d	66.50	150.33	66.50	150.33
Derivative instruments Measured at Fair value through Other comprehensive income	2	d	1.64 772.67	0.25 471.72	1.64 772.67	0.25 471.72
Investments in unquoted equity	3	d	0.05	0.05	0.05	0.05
instruments
Derivative instruments	2	d	11.30 11.35	48.48 48.53	11.30 11.35	48.48 48.53

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Carrying value Fair value
Level of Notes As at As at As at As at
Financial liabilities
hierarchy March 31, March 31, March 31, March 31,
2025 2024 2025 2024
Measured at amortised cost
----- End of picture text -----

Measured at amortised cost			2025	2024	2025	2024
Borrowings	3	a,c	4,641.24	4,920.24	4,603.89	4,911.15
Trade payables Other fnancial liabilities		a a,b	2,331.59 277.08	2,197.76 461.66	2,331.59 277.08	2,197.76 461.66
Measured at Fair value through proft and loss Derivative instruments Measured at Fair value through	2	d	7,249.91 0.18 0.18	7,579.66 0.83 0.83	7,212.56 0.18 0.18	7,570.57 0.83 0.83
other comprehensive income
Derivative instruments	2	d	25.63	5.73	25.63	5.73
			25.63	5.73	25.63	5.73

The following methods/ assumptions are used to estimate the fair values:

(a) Fair valuation of financial assets and liabilities with short term maturities is considered as approximate to respective carrying amount due to the short term maturities of these instruments.
(b) Fair valuation of non-current financial assets and financial liabilities has been disclosed to be same as
carrying value as there is no significant difference between carrying value and fair value.
(c) Fair value of other long-term borrowings is estimated by discounting future cash flows using current rates (applicable to instruments with similar terms, currency, credit risk and remaining maturities) to discount the future payouts.
(d) The fair value is determined by using the valuation model/technique with observable/non-observable inputs and assumptions.

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

There are no transfers between Level 1, Level 2 and Level 3 during the Year ended March 31, 2025 and March 31, 2024

Hierarchy levels :

Level 1:

Quoted prices in the active market: This level of hierarchy includes financial assets that are measured by reference to quoted prices in the active market.

Level 2:

Level 3:

(i) Investments in mutual funds and bonds : Fair value is determined by reference to quotes from the financial institutions.
(ii) Derivative contracts: The group has entered into various foreign currency contracts and interest rate swaps contracts to manage its exposure to fluctuations in foreign exchange rates and interest rate respectively. These financial exposures are managed in accordance with the group’s risk management policies and procedures. Fair value of derivative financial instruments are determined using valuation techniques based on information derived from observable market data, i.e., mark to market values determined by the authorized dealers banks and quoted forward exchange rates at the balance sheet date.
(iii) Unquoted equity investments : Fair value is determined based of the recoverable value as per agreement with the investee

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Reconciliation of Level 3 fair value measurements Unlisted equity
instruments
----- End of picture text -----

	As at March 31, 2023	4.16
	Sale of investment As at March 31, 2024	(4.11) 0.05
	Sale of investment	-
	As at March 31, 2025	0.05

Sensitivity of the fair value measurement to changes in unobservable inputs for financial instruments in Level 3 level of hierarchy is insignificant.

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Notes to the Consolidated Financial Statements

for the year ended March 31, 2025 (All amounts in ` Crores, unless otherwise stated)

39.3 Financial Risk Management

The group is exposed to various financial risks arising from its underlying operations and finance activities. The group is primarily exposed to market risk (i.e. interest rate and foreign currency risk) and to credit risk and liquidity risk. The Group’s Corporate Treasury function plays the role of monitoring financial risk arising from business operations and financing activities.

Financial risk management within the group is governed by policies and guidelines approved by the senior management and the Board of Directors. These policies and guidelines cover interest rate risk, foreign currency risk, credit risk and liquidity risk. Group policies and guidelines also cover areas such as cash management, investment of excess funds and the raising of short and long-term debt. Compliance with the policies and guidelines is managed by the Corporate Treasury function within the group. Review of the financial risk is done on a monthly basis by the Managing Director and on a quarterly basis by the Board of Directors. The objective of financial risk management is to contain, where deemed appropriate, exposures on net basis to the various types of financial risks mentioned above in order to limit any negative impact on the group’s results and financial position.

In accordance with its financial risk management policies, the group manages its market risk exposures by using specific type of financial instruments duly approved by the Board of Directors as and when deemed appropriate. It is the group’s policy and practice neither to enter into derivative transactions for speculative purpose, nor for any purpose unrelated to the underlying business. The Board of Directors / Managing Director reviews and approves policies for managing each of the above risks.

39.3.1 Market Risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises of interest rate risk and foreign currency risk. Financial instruments affected by market risk includes loans and borrowings, deposits, investments and derivative financial instruments. The group enters into derivative contracts as approved by the Board to manage its exposure to interest rate risk and foreign currency risk.

A. Foreign Currency Risk Management

Foreign currency risk also known as Exchange Currency Risk is the risk that the fair value or future cash flows of an exposure will fluctuate because of changes in foreign exchange rates. Foreign currency risk in the group is attributable to group’s operating activities, investing activities and financing activities.

In the operating activities, the group’s exchange rate risk primarily arises when revenue / costs are generated in a currency that is different from the reporting currency (transaction risk). In compliance with the Board approved policy, the Group manages the net exposure on a rolling 12 month basis and for exposures between a period of 12 to 36 months, hedging is done based on specific exposure. The information is monitored by the Board of Directors on a quarterly basis. This foreign currency risk exposure of the group are mainly in U.S. Dollar (USD), Euro (EUR), Japanese Yen (JPY) and British pound sterling (GBP). The group’s exposure to foreign currency changes for all other currencies is not material.

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

	Assets Liabilities Net Assets/ (Liabilities)
	As at March 31, 2025 As at March 31, 2024 As at March 31, 2025 As at March 31, 2024 As at March 31, 2025 As at March 31, 2024
USD EUR JPY GBP	788.06 941.37 3,163.00 3,966.07 (2,374.94) (3,024.70) 382.67 339.83 767.28 654.19 (384.62) (314.36) - - 12.90 10.65 (12.90) (10.65) 11.13 15.57 0.08 0.30 11.06 15.27

Foreign currency sensitivity analysis

The group is mainly exposed to changes in USD, EURO, JPY and GBP exchange rates.

The following table details the group’s sensitivity to a 1% increase and decrease in the ` against the relevant foreign currency. The sensitivity analysis includes only outstanding foreign currency denominated monetary items as tabulated above and adjusts their translation at the period end for 1% change in foreign currency rates. This analysis assumes that all other variables, in particular interest rates, remain constant. A positive number below indicates an increase in profit before tax or vice-versa.

	Year ended March 31, 2025 Year ended March 31, 2024
	`strengthens<br>by 1%<br>`weakens by 1% `strengthens<br>by 1%<br>`weakens by 1%
Impact on proft / (loss) * USD EUR JPY GBP	8.74 (8.74) 8.86 (8.86) (0.29) 0.29 0.85 (0.85) 0.13 (0.13) 0.11 (0.11) (0.11) 0.11 (0.15) 0.15

Includes sensitivity on long-term foreign currency monetary items on which Para D13 AA of Ind AS 101 has been applied. Accordingly, the exchange loss/ (gain) arising on long term foreign currency monetary items relating to acquisition of depreciable assets will be added to/deducted from the cost of such assets/capital work-in-progress and will be depreciated over the balance useful life of assets.

	Year ended March 31, 2025 Year ended March 31, 2024
	`strengthens<br>by 1%<br>`weakens by 1% `strengthens<br>by 1%<br>`weakens by 1%
Impact on equity (Other Comprehensive Income) USD EUR	14.42 (14.42) 21.38 (21.38) 4.05 (4.05) 2.30 (2.30)

The summary quantitative data about the group’s exposure to currecny risk at the end of reporting periods expressed in ` are as follows:

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Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

Foreign exchange derivative and non-derivative financial instruments

The group uses derivative as well as non derivative financial instruments for hedging financial risks that arise from its commercial business or financing activities. The group’s Corporate Treasury team manages its foreign currency risk by hedging transactions that are expected to occur within a period of 1 to 36 months for hedges of forecasted sales, purchases, loans and liabilities and capital expenditures. When a derivative is entered into for the purpose of being a hedge, the group negotiates the terms of those derivatives to match the terms of the hedged exposure. For hedges of forecast transactions the derivatives cover the period of exposure from the point the cash flows of the transactions are forecasted up to the point of settlement of the resulting receivable or payable that is denominated in the foreign currency. All identified exposures are managed as per the policy duly approved by the Board of Directors.

The following table details the foreign currency derivative contracts outstanding at the end of the reporting period:

		Maturity
Outstanding Contracts*	No of Deals Contract Value of Foreign Currency (In Millions)	Up to 12 months Nominal Amount (`Crores)<br>More than 12 months<br>Nominal Amount<br>(`Crores)
	As at March 31, 2025 As at March 31, 2024 As at March 31, 2025 As at March 31, 2024	As at March 31, 2025 As at March 31, 2024 As at March 31, 2025 As at March 31, 2024
USD/INR Sell forward EUR/USD Sell forward EUR/USD Buy forward	235 234 720.20 668.20 9 8 4.72 6.95 2 1 7.20 0.73	3,239.12 2,517.66 3,044.25 3,204.48 40.75 63.12 - - 67.58 6.57 - -

Computed using average forward contract rates

The following table details the group’s sensitivity to a 1% increase and decrease in the ` against the relevant foreign currency. The sensitivity analysis includes only outstanding forward exchange contracts as tabulated above and adjusts their translation at the period end for 1% change in forward rates. A positive number below indicates an increase in profit before tax or vice-versa.

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

B. Interest Rate Risk Management

Interest rate risk arises from movements in interest rates which could have effects the group’s net income or financial position. Changes in interest rates may cause variations in interest income and expenses resulting from interest-bearing assets and liabilities. The group’s exposure to the risk of changes in market interest rates relates primarily to the group’s long-term debt obligations with floating interest rates.

The group manages its interest rate risk by having a portfolio of fixed and variable rate loans and borrowings. The group enters into interest rate swaps, in which it agrees to exchange, at specified intervals, the difference between fixed and variable rate interest amounts calculated by reference to an agreed principal amount outstanding at the time of inception of the swap. Out of the total long term borrowings, the amount of fixed interest loan aggregate 15.63 crores and floating interest loan aggregates 2,780.46 crores (Previous year : Fixed interest loan 438.88 crores and Floating interest loan 2,899.03 crores)

The following table demonstrates the sensitivity to a reasonably possible change in interest rates on that portion of loans and borrowings affected. With all other variables held constant, the group’s profit before tax is affected through the impact on floating rate long term borrowings, as follows:

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----- Start of picture text -----

Year ended March 31, 2025 Year ended March 31, 2024
loans Foreign loans Foreign
interest rate currency interest rate currency
increases by loans increases by loans
0.50 % interest rate 0.50 % interest rate
increases by increases by
0.15 % 0.15 %
Decrease in profit before tax by (0.94) (3.89) (1.75) (4.05)
----- End of picture text -----

In case of decrease in interest rate by above mentioned percentage, there would be a comparable positive impact on the profit before tax as mentioned above.

	Year ended March 31, 2025 Year ended March 31, 2024
	Functional currency strengthens by 1% Functional currency weakens by 1% Functional currency strengthens by 1% Functional currency weakens by 1%
Impact on proft / (loss) for the year USD EUR Impact on equity (Other Comprehensive Income) USD EUR	1.98 (1.98) 1.84 (1.84) - - (0.07) 0.07 61.03 (61.03) 54.97 (54.97) (1.07) 1.07 0.63 (0.63)

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Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

C. Hedge accounting

Cash flow hedges

The amounts at the reporting date relating to the item designed as hedge items are as follows:

Hedging
instruments As at March 31, 2025
Year ended
March 31,
2025
As at March 31, 2024
Year ended
March 31,
2024

Nominal
amount
(**Crores)** **Carrying** **amount** **Assets /** **(liabilities)** **(**Crores)
Line item
where the
hedging
instrument is
included
Change in
the value of
the hedging
instrument
recognised in
OCI
Nominal
amount
(**Crores)** **Carrying** **amount** **Assets /** **(liabilities)** **(**Crores)
Line item
where the
hedging
instrument is
included
Change in
the value of
the hedging
instrument
recognised
in OCI
(`Crores)

Foreign
exchange
contracts *
Foreign currency
denominated
creditors
Foreign currency
denominated
loans
Interest rate
swapcontacts 6,192.50
11.30
Other fnancial
assets (current
and non -
current)
(57.07)
5,602.12
48.48
Other fnancial
assets (current
and non -
current)
104.04
(25.63)
Other fnancial
liabilities
(current and
non - current)
(5.73)
Other fnancial
liabilities
(current and
non - current)

-
-
Other fnancial
liabilities
(current and
non - current)
15.69
134.11
(134.11)
Other fnancial
liabilities
(current and
non - current)
4.58

1,893.07
(1,893.07)
Non-current/
current
borrowings
34.82
2,233.66
(2,233.66)
Non-current/
current
borrowings
3.29
-
-
-
-
-
-
-
(0.89)

Fair Value hedges

The amounts at the reporting date relating to the item designed as hedge items are as follows:

Hedging
instruments As at March 31, 2025
Year ended
March 31,
2025
As at March 31, 2024
Year ended
March 31,
2024

Nominal
amount
(**Crores)** **Carrying** **amount** **Assets /** **(liabilities)** **(**Crores)
Line item
where the
hedging
instrument is
included
Change in
the value of
the hedging
instrument
recognised
in statement
of proft and
loss
Nominal
amount
( **Crores)** **Carrying** **amount** **Assets /** **(liabilities)** **(**Crores)
Line item
where the
hedging
instrument is
included
Change in
the value of
the hedging
instrument
recognised
in statement
of proft and
loss
(`Crores)

Foreign
exchange
contracts* 199.20
(0.18)
Other fnancial
liabilities
(current)
2.00
183.14
(0.79)
Other fnancial
liabilities
(current)
6.55
1.64
Other fnancial
assets(current)
0.25
Other fnancial
assets(current)

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

Movement of cash flow hedging reserve and cost of hedging reserve

==> picture [423 x 64] intentionally omitted <==

Opening Balance	(54.06)	(150.34)	3.40	4.74
Changes in the spot element of the forward contracts	(3.16)	(2.38)	-	-
which is designated as hedging instruments for time
period related hedge
Changes in the forward element of the forward contracts	-	-	-	(15.06)
where changes in spot element of forward contract
is designated as hedging instruments for time period
related hedges (including contracts settled during the
year)
Changes in fair value of forward contracts designated as	(57.67)	121.48	-	-
hedging instruments recognised in OCI
Changes in fair value of interest rate swaps	-	(0.89)	-	-
Amount reclassifed to proft or loss (Foreign exchange	115.09	39.03	(3.40)	13.29
(gain) / loss)
Amount arising from remeasurement of fnancial liability	(61.42)	(28.77)	-	-
Taxes related to above	1.53	(32.19)	-	0.43
Closing Balance	(59.69)	(54.06)	-	3.40

Investment Risk

The primary goal of the Group’s investment is to maintain liquidity along with meeting group’s strategic purposes. Depending upon the investment strategy at inception, management classifies certain investments as FVTPL.The following table details the group’s sensitivity to a 1% increase and decrease in the price of instruments.

	Year ended March 31, 2025 Year ended March 31, 2024
	Market price increase by 1% Market price decrease by 1% Market price increase by 1% Market price decrease by 1%
Impact onproft/ (loss)for theyear	7.71 (7.71) 4.71 (4.71)

39.3.2 Credit Risk Management

Credit risk is the risk that counterparty will not meet its obligations under a financial instrument or customer contract, leading to a financial loss. The group is exposed to credit risk from its operating activities (primarily trade receivables, loans and other financial assets) and from its financing activities, including deposits with banks and financial institutions, foreign exchange transactions and other financial instruments. The group does not require collaterals in respect of trade receivables, loans and contract assets.

Excluding forward contracts not designated as hedging instruments

432 ANNUAL REPORT 2024-25

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Notes to the Consolidated Financial Statements

for the year ended March 31, 2025 (All amounts in ` Crores, unless otherwise stated)

Credit risk from balances with banks and financial institutions is managed by the group’s treasury department in accordance with the group’s policy. Investments of surplus funds are made only with counterparties who meet the parameters specified in Investment Policy of the group. The investment policy specifies the limits of investment in various categories of products so as to minimize the concentration of risks and therefore mitigate financial loss due to counterparty’s potential failure.

The derivatives are entered into with reputed and well established banks and financial institutions.

The cash and cash equivalents and other banks balances are held with banks, financial institutions and other counterparties, which are rated AA or above. The Group considers that its cash and cash equivalents have low credit risk based on the external credit ratings of the counterparties.

The Group limits its exposure to credit risk by investing in liquid debt securities and only with counterparties that have a credit rating of at least AA or above. The group permits exposure in corporate bonds only up to the specified amount as per its Board policy. Also, mutual fund investments are permitted only in those funds where the corpus size is more than ` 2,000 crores. The Group monitors its investment portfolio on continues basis to assess whether there has been a significant increase in credit risk whether or not reflected in the published ratings.

Expected credit loss on financial assets:

To manage credit risk for trade receivables, the group establishes credit approvals and credit limits, periodically assesses the financial reliability of customers, taking into account the financial conditions, economic trends, analysis of historical bad debts and aging of such receivables.

With regard to all financial assets with contractual cash flows other than trade receivables, management believes these to be high quality assets with negligible credit risk. The management believes that the parties, from which these financial assets are recoverable, have strong capacity to meet the obligations and where the risk of default is negligible and accordingly no provision for excepted credit loss has been provided on these financial assets other than as detailed below.

Loss allowance for the following financial assets have been recognised by the group:

	Note No.	As at March 31, 2025	As at March 31, 2024
Loans - current Trade receivables	7 12	2.74 4.62	2.74 7.56
		7.36	10.30

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

Movement of loss allowance :

==> picture [422 x 29] intentionally omitted <==

----- Start of picture text -----

Loans (current Trade
and non current) receivables
----- End of picture text -----

As at April 1, 2023	2.74	5.30
Provided during the year	-	4.22
Reversed/ utilised during the year	-	(1.96)
As at March 31, 2024 Provided during the year	2.74 -	7.56 1.60
Reversed/utilised duringtheyear	-	(4.54)
As at March 31, 2025	2.74	4.62

Other than financial assets mentioned above, none of the group’s financial assets are impaired, as there are no indications that defaults in payments obligation would occur.

39.3.3 Liquidity Risk Management

Liquidity risk is the risk of non-availability of financial facilities available to the group to meet its financial obligations. The group’s objective is to maintain a balance between continuity of funding and flexibility through the use of money market instruments, bank overdrafts, bank loans, debentures and other types of facilities. The liquidity management is governed by the Board approved liquidity management policy. Any deviation from the policy has to be approved by the Treasury Management comprising of Chairman and Managing Director, Chief Financial Officer and Treasury Head. The group assesses the concentration of risk with respect to refinancing its debt, guarantee given and funding of its capital expenditure according to needs of the future. The group manages its liquidity by holding appropriate volumes of liquid assets which are available for its disposal on T +1 basis and by maintaining open credit lines with banks.

The Group has a secured bank loans which contain loan covenants. A future breach of any covenant may require the Group to repay the loans earlier than their original payment date. These covenants are monitored by the treasury department and regularly reported to management to ensure compliance with the agreement.

The Group also participates in a supply chain financing arrangement (SCF) with the principal purpose of facilitating efficient payment processing of supplier invoices. The SCF allows the Group to centralise payments of trade payables to the bank rather than paying each supplier individually. While the SCF does not extend payment terms beyond the normal terms agreed with other suppliers that are not participating, the programme assists in making cash outflows more predictable. Also refer note 19

Also refer note 12 for receivables purchase agreements entered into by the group as a part of its liquidity risk management policy.

The table below analyse the group’s financial liabilities into relevant maturity profiles based on their contractual maturities:

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Corporate Our Statutory Financial 02 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

As at March 31, 2025	Less than 1 year	More than 1 year and upto 5 years	More than 5 years	Total
Borrowings*	2,776.08	2,050.42	103.47	4,929.97
Lease Liabilities **	34.17	54.80	37.17	126.14
Trade payables	2,331.59	-	-	2,331.59
Derivative liabilities	9.35	16.46	-	25.81
Other fnancial liabilities	275.09	-	1.99	277.08
	5,426.28	2,121.68	142.63	7,690.60

As at March 31, 2024	Less than 1 year	More than 1 year and upto 5 years	More than 5 years	Total
Borrowings*	2,848.43	2,123.16	437.88	5,409.47
Lease Liabilities **	35.04	81.71	41.93	158.68
Trade payables	2,197.76	-	-	2,197.76
Derivative liabilities	5.76	0.80	-	6.56
Other fnancial liabilities	461.66	-	-	461.66
	5,548.64	2,205.67	479.81	8,234.13

includes currrent maturity of non current borrowings and future cash outflow towards estimated interest on non -current borrowings.

** including future cash outflow towards estimated interest on lease liabilities.

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

41 Right-of-use assets

The group leases various types of assets including land, buildings and plant & machinery. Information about leases for which the group is a lessee is presented below.

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----- Start of picture text -----

Particulars Land Buildings Plant & Total
equipment
----- End of picture text -----

Cost
Balances at April 1, 2023	184.65	45.43	125.89	355.97
Additions/adjustments	6.49	5.21	9.73	21.43
Derecognition	-	(6.66)	(4.71)	(11.37)
Balance at March 31,2024	191.14	43.98	130.91	366.03
Additions/adjustments	-	-	2.07	2.07
Derecognition	-	-	(6.25)	(6.25)
Balance at March 31,2025	191.14	43.98	126.73	361.85
Accumulated depreciation
Balances at April 1, 2023	6.33	26.39	36.04	68.76
Depreciation expenses	2.18	6.68	23.14	32.00
Disposals	-	(6.66)	(4.71)	(11.37)
Balances at March 31, 2024	8.51	26.41	54.47	89.39
Depreciation expenses	2.12	6.88	20.73	29.73
Disposals	-	-	(6.25)	(6.25)
Balance at March 31,2025 Net block	10.63	33.29	68.95	112.87
Balances at March 31, 2024	182.63	17.57	76.44	276.64
Balances at March 31, 2025	180.51	10.69	57.78	248.98

40 Contract balances

The following table provides information about contract liabilities from contracts with customers

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----- Start of picture text -----

Contract liability Year ended Year ended
March 31, 2025 March 31, 2024
----- End of picture text -----

Opening balance	33.05	45.90
Revenue recognised that was included in the contract liability	(33.05)	(45.90)
balance at the beginning of the period
Increase due to cash received, excluding the amount recognised	28.68	33.05
as revenue during the period
Closing balance	28.68	33.05

Lease liabilities included in the Balance Sheet	As at March 31, 2025	As at March 31, 2024
Current	28.74	27.51
Non-current	56.05	82.79

The average incremental borrowing rate applied to lease liabilities during the year ranges from 6.75% to 7.89% (Previous year: ranges from 8.03% to 8.41%).

Amounts recognised in Statement of Proft and Loss	Year ended March 31, 2025	Year ended March 31, 2024
Interest on lease liabilities (refer note 27)	7.57	9.07
Depreciation expense (refer note 28)	29.73	32.00
Expenses relating to short-term leases (refer note 29)	5.87	10.62
Expenses relatingto low value leases(refer note 29)	37.54	31.15

Amounts recognised in Cash Flow Statement	Year ended March 31, 2025	Year ended March 31, 2024
Total cash outfow for leases	35.16	37.18

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Corporate Our Statutory Financial 02 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

42 Group Information

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----- Start of picture text -----

Name Principal activities Country of % equity interest
incorporation March 31, March 31,
2025 2024
----- End of picture text -----

SRF Holiday Home Limited	Development and lease of	India	100%	100%
	Industrial, commercial and
	residential complexes
SRF Altech Limited	Manufacture of aluminium foil	India	100%	100%
SRF Employees Welfare Trust	Implementation and	India	*	*
(Controlled Trust)	operationalisation of long
	term incentive plans of the
	Company
SRF Global BV	Investment company	Netherlands	100%	100%
SRF Flexipak (South Africa)	Manufacture of BOPP and	Republic of	100%	100%
(Pty) Limited	metallized BOPP flms	South Africa
(subsidiary of SRF Global BV)
SRF EUROPE Kft (subsidiary of SRF Global BV)	Manufacture of Polyester flm and metallized Polyester flm	Hungary	100%	100%
SRF Industries (Thailand) Limited	Manufacture of Polyester flm and metallized Polyester flm	Thailand	100%	100%
(subsidiary of SRF Global BV)	& trading of chemical products
SRF Industex Belting (Pty)	Trading of packaging flms and	Republic of	100%	100%
Limited	chemical products	South
(subsidiary of SRF Global BV)		Africa
SRF Middle East LLC (subsidiaryof SRF Global BV)	Trading of chemical products	Dubai	100%	**

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

43 Additional information as required by Paragraph 2 of General Instructions for preparation of consolidated financial statements of Division II of Schedule III to the Companies Act, 2013

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----- Start of picture text -----

Name of the entity in the Net Assets, i.e., total assets Share in profit or loss Share in other Share in total
Group minus total liabilities comprehensive income comprehensive income
As % of Amount As % of Amount As % of Amount As % of total Amount
consolidated ( Crores) consolidated ( Crores) consolidated ( Crores) consolidated ( Crores)
net assets Share in other comprehensive
profit or loss comprehensive income
income
----- End of picture text -----

I	Parent - SRF Limited	91.62%	11,568.65	101.38%	1,268.07	(8.05)%	(8.16)	93.18%	1,259.91
II	Subsidiaries:
A	Indian
(1)	SRF Holiday Home Limited	0.03%	4.05	-	(0.04)	-	-	-	(0.04)
(2)	SRF Altech Limited	3.82%	482.29	(3.22)%	(40.34)	(0.01)%	(0.01)	(2.98)%	(40.35)
(3)	SRF Employees Welfare	-	0.04	-	-		-		-
	Trust (Controlled Trust)
B.	Foreign
(1)	SRF Global BV	9.58%	1,209.97	1.80%	22.55	108.00%	109.48	9.76%	132.03
	(Consolidated)
	Adjustments arising out of	(5.05)%	(638.80)	0.04%	0.54	0.06%	0.07	0.04%	0.61
	consolidation
Total		100%	12,626.20	100%	1,250.78	100%	101.38	100%	1,352.16
Non-controlling Interests in		Nil	Nil	Nil	Nil	Nil	Nil	Nil	Nil
all subsidiaries

44 ADDITIONAL DISCLOSURES

(a) RESEARCH AND DEVELOPMENT EXPENDITURE

The details of research and development expenditure of 154.27 crores (Previous Year - 146.41 crores) included in these financials statements are as under:

* By virtue of management control.

** SRF Middle East LLC was established on March 12, 2024 as a subsidiary of SRF Global BV. In terms of the Memorandum of Association of SRF Middle East LLC, SRF Global BV shall subscribe to 365 equity shares of AED 1,000 each aggregating to AED 3,65,000, which was under process as at March 31, 2024. The same has been subscribed during the current financial year.

	Capital expenditure	Year ended March 31, 2025 19.68	Year ended March 31, 2024 20.46
	Revenue expenditure	134.59	125.95
		154.27	146.41

438 ANNUAL REPORT 2024-25

ANNUAL REPORT 2024-25 439

Corporate Our Statutory Financial 02 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

The details of revenue expenditure incurred on research and development is as below:

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----- Start of picture text -----

Year ended Year ended
March 31, 2025 March 31, 2024
----- End of picture text -----

Cost of material consumed	0.08	0.74
Salaries and wages, including Bonus	63.69	56.21
Contribution to provident and other funds	4.34	3.74
Workmen and staf welfare expenses	4.62	4.60
Stores and spares consumed	6.54	5.61
Power and fuel	8.96	10.41
Rent	0.58	1.32
Repairs and maintenance
- Buildings	0.04	0.08
- Plant and machinery	12.66	12.39
- Others	1.49	2.05
Insurance	1.38	1.10
Rates and taxes	0.06	0.04
Travelling and conveyance	2.01	2.36
Legal and professional charges	4.95	5.34
Depreciation and amortisation expense	17.06	14.56
Interest cost	^	^
Miscellaneous expenses	6.13	5.40
	134.59	125.95

^ Absolute amount 177 (Previous Year: 19,704)

(b) MANAGERIAL REMUNERATION

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----- Start of picture text -----

Year ended Year ended
March 31, 2025 March 31, 2024
----- End of picture text -----

(a) Remuneration to Chairman & Managing Director/
Joint Managing Director/ Whole time Directors
Salary and contribution to provident and other funds	23.08	22.40
Value of perquisites	2.13	2.08
Commission	16.00	16.00
SUB-TOTAL	41.21	40.48
(b) Remuneration to Non Executive Directors
Commission	1.26	1.26
Directors’ sittingfees	0.29	0.21
SUB-TOTAL	1.55	1.47
TOTAL	42.76	41.95

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

(c) The Group has elected to continue the policy adopted for accounting for exchange differences arising from translation of long-term foreign currency monetary items as described in Para D13 AA of Ind AS 101. Accordingly, exchange loss/ (gain) arising on all long term monetary items financed or re-financed on or before March 31, 2016 relating to acquisition of following depreciable assets are added to/ adjusted from the cost of such assets/ capital work in progress and will be depreciated over the balance useful life of such assets.

Exchange loss/ (gain) added/ (adjusted) Year ended March 31, 2025 Year ended March 31, 2024	Exchange loss/ (gain) added/ (adjusted) Year ended March 31, 2025 Year ended March 31, 2024	Exchange loss/ (gain) added/ (adjusted) Year ended March 31, 2025 Year ended March 31, 2024	Exchange loss/ (gain) added/ (adjusted) Year ended March 31, 2025 Year ended March 31, 2024
Property, plant and equipment
-	Roads	-	-
-	Buildings	-	0.03
-	Plant and equipment	0.75	1.23
		0.75	1.26

The cumulative exchange loss/ (gain) added/ (adjusted) and remaining unamortised as at March 31, 2025 is 216.46 crores (Previous year: 224.95 crores).

(d) Disclosure on corporate social responsibility expense:

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----- Start of picture text -----

Year ended Year ended
March 31, 2025 March 31, 2024
----- End of picture text -----

(i)	Prescribed CSR expenditure as per Section 135 of the		43.37	41.04
	Companies Act, 2013
(ii)	Amount approved by the Board to be spent during the year
	a) in respect of ongoing projects		17.38	21.69
	b) in respect of other than ongoing projects		25.99	19.35
(iii)	Actual amount spent during the year :
	a) in respect of ongoing projects		2.50 ***	12.18
	b) in respect of other than ongoing projects		25.99	19.33 ^
(iv)	Amount unspent during the year out of (ii) above		17.38	9.51
	(in respect of ongoing projects)
(v) Amount spent during the year on :
	a) construction /acquistion of an assets		2.50 ***	13.24
	b) On purpose other than (a) above		25.99	18.27
(vi)	Detail of related party transactions (refer note no. 34.2)		15.31	25.70
(vii)	Nature of CSR activities:	School	education,	promotion of
		healthcare, art and		cultural projects,
		apprenticeship programme, vocational
		skills and livelihood		projects, disaster
		management, environment project
		and other CSRprojects etc.

440 ANNUAL REPORT 2024-25

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ANNUAL REPORT 2024-25

Corporate Our Statutory Financial 02 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

(viii) Details of ongoing CSR projects under Section 135(6) of the Act:

Financial Year	Opening balance Amount required to be spent With Company's bank account In separate CSR Unspent account	Amount spent during the year Closing balance
		From Company's bank account From separate CSR Unspent account With Company's bank account In separate CSR Unspent account
For the year ended March 31, 2025 FY 2024-25 FY 2023-24 For the year ended March 31, 2024 FY 2023-24	- - 17.38 - - 17.38 - 9.51 - 9.51 - 2.50 - 7.01 - - 21.69 12.18 - 9.51* -

The amount was transferred to Unspent CSR Bank account on April 30, 2024.
** The amount was transferred to Unspent CSR Bank account on April 30, 2025.
*** Includes an amount of ` 0.76 crores disbursed to CSR implementation agency, which is yet to be spent.
^ Out of 0.07 crore excess CSR spent during the year ended March 31, 2023, an amount of 0.02 crore have been utilised in previous financial year.
( e ) The Company has established a comprehensive system of maintenance of information and documents as required by transfer pricing legislation under section 92D for its international transactions as well as specified domestic transactions. Based on the transfer pricing regulations/ policy, the transfer pricing study for the year ended March 31, 2025 is to be conducted on or before due date of the filing of return and the Company will further update above information and records based on the same and expects these to be in existence latest by that date. Management believes that all the above transactions are at arm’s length price and the aforesaid legislations will not have material impact on the financial statement, particularly on the amount of tax expense and provision for taxation.
( g ) In December 2023, the operations of Technical Textile Business plant, located in Manali Industrial Area, Chennai, Tamil Nadu, were disrupted due to cyclone with flooding and waterlogging in the plant premises. This incident led to damage of certain items of Property, Plant and Equipment and Inventory. Plant operations were resumed in a phased manner by February 2024. The Company is covered under its insurance policy on a ‘Reinstatement Value basis’ against the estimated losses. Based on the current best estimates of the management, expected loss has been considered in these consolidated financial statements under the respective heads (net of claim recoverable) as below:

	Year ended March 31, 2025	Year ended March 31, 2024
Loss of inventories and property, plant and equipment recognised	2.48	38.84
Repair and restoration expenses incurred during the year	8.12	16.56
Related insurance claim(net of adjustment of deductible)	9.26	51.50

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

(g) OTHER STATUTORY INFORMATION

(i) There are no funds which have been advanced or loaned or invested (either from borrowed funds or share premium or any other sources or kind of funds) by the Holding Company or any of subsidiaries which are incorporated in India, to or in any other persons or entities, including foreign entities (“Intermediaries”), with the understanding, whether recorded in writing or otherwise, that the Intermediary shall:
a) directly or indirectly lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Holding Company or any of such subsidiaries (“Ultimate Beneficiaries”) or
b) provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.
(ii) There are no funds which have been received by the Holding Company or any of subsidiaries which are incorporated in India, from any persons or entities, including foreign entities (“Funding Parties”), with the understanding, whether recorded in writing or otherwise, that the Holding Company or any of such subsidiaries shall:
a) directly or indirectly, lend or invest in other persons or entities identified in any manner whatsoever by or on behalf of the Funding Party (“Ultimate Beneficiaries”) or
b) provide any guarantee, security or the like on behalf of the Ultimate Beneficiaries.
(iii) The group does not have any transactions with companies which are struck off, except the following:

Name of the struck of company Jyotsna Engineers & Consultants	Nature of transactions with struck of company Advance given	Balance outstanding as at March 31, 2025 ^	Balance outstanding as at March 31, 2024 ^	Relationship with the struck of company, if any Vendor
Private Limited
Krishna Freeze Private Limited	Advance received	-	0.02	Customer
Perfect Refcon & Tools Private	Advance received	-	0.01	Customer
Limited
Crownstar Industries Private	Payables	0.01	0.01	Vendor
Limited
Vaishak Shares Limited	Dividendpaid	^^	-	Shareholder

^ Amount in absolute 2,000 (Previous year: 2,000)

^^ Amount in absolute ` 36 (Previous year: Nil)

442

443

ANNUAL REPORT 2024-25

Corporate Our Statutory Financial 02 12 92 222 Overview Approach to ESG Reports Statements

Notes to the Consolidated Financial Statements

for the year ended March 31, 2025

(All amounts in ` Crores, unless otherwise stated)

(iv) The group does not have any benami property, where any proceeding has been initiated or pending against the group for holding any Benami property.
(v) The group is not declared a wilful defaulter by any bank or financial institution or any other lender.
(vi) The Company has complied with the number of layers prescribed under section 2(87) of the Companies Act, 2013 read with Companies (Restriction on number of Layers) Rules, 2017.
(vii) The group does not have any such transaction which is not recorded in the books of accounts that has been surrendered or disclosed as income during the year in the tax assessments under the Income Tax Act, 1961 (such as, search or survey or any other relevant provisions of the Income Tax Act, 1961).
(viii) The group has not traded or invested in Crypto currency or Virtual Currency during the financial year.
(ix) The group has not entered into any scheme of arrangement which has an accounting impact on current or previous financial year.

As per our report of even date attached

For B S R & Co. LLP For and on behalf of the Board of Directors Chartered Accountants ICAI Firm registration no: 101248W/W-100022

Ashish Bansal

Ashish Bharat Ram Kartik Bharat Ram Raj Kumar Jain Chairman and Managing Joint Managing Director Director Director DIN - 00008557 DIN - 01741527 DIN - 00671567

Partner Membership No.: 077569

Place : Gurugram Rahul Jain Date : May 12, 2025 President & CFO

Rajat Lakhanpal Senior Vice President (Corporate Compliance) and Company Secretary

Place : Gurugram Date : May 12, 2025

Statement pursuant to first proviso to sub section(3) of section 129 of Companies Act 2013,read with rule 5 of Companies (Accounts) Rules, 2014 in prescribed form AOC-1 relating to subsidiaries/associates companies/joint ventures

A Statement showing salient features of the financial statements of subsidiaries Indian Subsidiaries

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----- Start of picture text -----

S. Name of the subsidiary SRF Holiday Home Limited SRF Altech Limited
No. (subsidiary of SRF Limited) (subsidiary of SRF Limited)
( Crores) ( Crores)
----- End of picture text -----

(a)	Reporting Period	April 1, 2024 to March	31, 2025 April 1,	2024 to March 31, 2025
(b)	Date since when subsidiary was	30.01.2008		15.03.2022
	acquired/formed
(c)	Reporting Currency		INR	INR
(d)	Exchange Rate		-	-
(e)	Share Capital		4.30	425.00
(f)	Reserves and Surplus		(0.25)	57.29
(g)	Total Assets		4.07	940.13
(h)	Total Liabilities		0.02	457.84
(i)	Investment		-	-
(j)	Turnover		-	315.12
(k)	Proft/(Loss) Before Taxation		(0.05)	(48.46)
(l)	Tax expense / (income)		(0.01)	(8.12)
(m)	Proft/(Loss) After Taxation		(0.04)	(40.34)
(n)	Proposed Dividend		-	-
(o)	% of shareholding		100%	100%

	SRF	Employees Welfare	Trust
		Controlled Trust
		(`Crores)
(a)	Reporting Period	April 1, 2024 to March	31, 2025
(b)	Date since when Trust was	27.06.2018
	acquired/formed
(c)	Reporting Currency		INR
(d)	Exchange Rate		-
(e)	Share Capital		-
(f)	Reserves and Surplus		0.04
(g)	Total Assets		0.04
(h)	Total Liabilities		-
(i)	Investment		-
(j)	Turnover		-
(k)	Proft/(Loss) Before Taxation		(0.00)
(l)	Tax expense / (income)		-
(m)	Proft/(Loss) After Taxation		(0.00)
(n)	Proposed Dividend		-
(o)	% of shareholding		100%

444

445

ANNUAL REPORT 2024-25

Corporate Our Statutory Financial 12 92 222 Overview Approach to ESG Reports Statements

Foreign Subsidiaries

S. No. Name of the subsidiary	SRF Global BV # (subsidiary of SRF Limited) SRF Flexipak (South Africa) (Pty) Limited # (subsidiary of SRF Global BV)
	USD `Crores<br>Rand<br>`Crores
(a) Reporting Period (b) Date since when subsidiary was acquired/ formed (c) Reporting Currency (d) Exchange Rate (e) Share Capital (f) Reserves and Surplus (g) Total Assets (h) Total Liabilities (i) Investment (j) Turnover (k) Proft/(Loss) Before Taxation (l) Tax expense / (income) (m) Proft/(Loss) After Taxation (n) Proposed / paid Dividend (o) % of shareholding	April 1, 2024 to March 31, 2025 April 1, 2024 to March 31, 2025 20.10.2008 26.10.2011 USD `Crores<br>Rand<br>`Crores 85.48 4.71 13,942,698 119.18 100 0.00 (2,431,411) (20.78) 625,730,317 294.72 62,743,857 536.33 1,078,658,355 508.05 51,232,570 437.94 452,927,938 213.33 29,136,449.00 249.06 - - - - 1,374,244,840 647.27 1,063,373 9.09 190,733,652 89.84 - - 51,498,086 24.26 1,063,373 9.09 139,235,566 65.58 - - 60,000,000 28.26 100% 100%

S. No. Name of the subsidiary	SRF Industries (Thailand) Limited # (subsidiary of SRF Global BV) SRF Industex Belting (Pty) Limited # (subsidiary of SRF Global BV)
	THB `Crores<br>Rand<br>`Crores
(a) Reporting Period (b) Date since when subsidiary was acquired/ formed (c) Reporting Currency (d) Exchange Rate (e) Share Capital (f) Reserves and Surplus (g) Total Assets (h) Total Liabilities (i) Investment (j) Turnover (k) Proft/(Loss) Before Taxation (l) Tax expense / (income) (m) Proft/(Loss) After Taxation (n) Proposed Dividend (o) % of shareholding	April 1, 2024 to March 31, 2025 April 1, 2024 to March 31, 2025 08.09.2008 13.06.2008 THB `Crores<br>Rand<br>`Crores 2.52 4.71 200,000,300 50.40 13,320,202 6.27 3,666,656,466 924.00 (20,892,935) (9.84) 7,603,027,263 1,915.96 138,220,648 65.10 3,736,370,497 941.57 145,793,381 68.67 - - - - 6,405,766,931 1,614.25 316,909,027 149.26 10,043,818 2.53 30,533,140 14.38 (5,137,735) (1.29) 8,243,947 3.88 15,181,553 3.83 22,289,193 10.50 - - - - 100% 100%

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----- Start of picture text -----

S. Name of the subsidiary SRF Europe Kft # SRF Middle East LLC #
No. (subsidiary of SRF Global BV) (subsidiary of SRF Global BV)
EURO Crores EURO Crores
----- End of picture text -----

(a)	Reporting Period	April 1, 2024 to March	31, 2025	April 1, 2024 to March	31, 2025
(b)	Date since when	25.04.2018		12.03.2024
	subsidiary was acquired/
	formed
(c)	Reporting Currency	EURO	`Crores\|AED\|`Crores
(d)	Exchange Rate	92.11		23.27
(e)	Share Capital	1,010,000	9.30	365,245.00	0.85
(f)	Reserves and Surplus	(78,760)	(0.73)	462,700.00	1.08
(g)	Total Assets	101,404,179	934.03	3,426,539.00	7.97
(h)	Total Liabilities(external	100,472,939	925.46	2,598,595	6.05
	liabilities)
(i)	Investment	-	-	-	-
(j)	Turnover	63,057,089	580.82	5,326,653.00	12.40
(k)	Proft/(Loss) Before	(3,523,529)	(32.46)	471,373.00	1.10
	Taxation
(l)	Tax expense / (income)	-	-	8,674.00	0.02
(m)	Proft/(Loss) After Taxation	(3,523,529)	(32.46)	462,699	1.08
(n)	Proposed Dividend	-	-	-	-
(o)	% of shareholding	100%		100%

(k) (l) (m) (n) (o)	Proft/(Loss) Before Taxation (3,523,529) (32.46) 471,373.00 1.10 Tax expense / (income) - - 8,674.00 0.02 Proft/(Loss) After Taxation (3,523,529) (32.46) 462,699 1.08 Proposed Dividend - - - - % of shareholding 100% 100%
#	The fnancial statements of these foreign subsidiaries have been converted into Indian Rupees on the basis of
	following exchange rates:
(i)	1 USD =`85.48
(ii)	1 Baht =`2.52
(iii)	1 Rand =`4.71
(iv)	1 Euro =`92.11
(v)	1 AED =`23.27

B Statement containing salient features of the financial statements of associates companies/ joint ventures

Name of Associate Companies/Joint Ventures #	Malanpur Captive Power Ltd. Vaayu Renewable Energy(Tapti) Pvt. Ltd.**
Latest audited Balance Sheet date	31.03.2023 31.03.2024
Date on which the Associate was associated or acquired	09.01.2007 29.05.2013
Shares of associate held by the company on the year end
Number of shares :	4,221,535 50,000
Amount of investment in Associate Companies	4.22 0.05
Extent of holding (%)	22.60% 26.32%

446 ANNUAL REPORT 2024-25

ANNUAL REPORT 2024-25 447

Description of how there is signifcant infuence	Due to control of at least 20% of total share capital as envisaged in Sec. 2(6) of the Companies Act, 2013	Due to control of at least 20% of total share capital as envisaged in Sec. 2(6) of the Companies Act, 2013
Reason why the associate company is not	*	*
consolidated
Net worth attributable to shareholding as per latest	(8.75)	9.90
Audited Balance Sheet
Proft & loss for the year
(i) Considered in Consolidation	Nil	Nil
(ii)Not considered in Consolidation	(0.05)	(1.34)

The company has no joint venture

Investment in both these captive power companies are held by the company as a consumer in accordance with the requirements of the Electricity Act, 2005. The company does not exercise significant influence as defined under IND AS over these companies and therefore their annual accounts are not consolidated with the annual accounts of the company.

** The financial statements for the period ended March 31, 2024 are not avilable with the Company, hence the disclousre have been given for the period ended March 31, 2023.

For and on behalf of the Board of Directors

Ashish Bharat Ram

Chairman and Managing Director DIN - 00671567

Kartik Bharat Ram

Joint Managing Director

DIN - 00008557

Raj Kumar Jain Director DIN - 01741527

Rahul Jain President & CFO

Rajat Lakhanpal

Senior Vice President (Corporate Compliance) and Company Secretary

Place : Gurugram Date : May 12, 2025

448 ANNUAL REPORT 2024-25

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Registered Office

Unit No. 236 & 237, 2nd Floor, DLF Galleria, Mayur Place, Noida Link Road, Mayur Vihar Phase - I Extn., Delhi, India - 110 091 Tel.: +91-11- 49482870

Corporate Office

Block - C, Sector - 45, Gurugram, Haryana, India - 122 003 Tel.: +91-124-4354400

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AI assistant

SRF Ltd. — Annual Report 2025

61903_rns_2025-06-10_a4682d3a-180f-4107-96ce-c6897191247d.pdf

Sub: Annual Report of 54[th] Annual General Meeting- SRF Limited

Sr. VP (Corporate Compliance) & Company Secretary

Contents

Chairman’s Message

This year, our theme is:

Augmenting Capabilities.

Strengthening the Future.

Performance Highlights and Future Growth Pathway

In line with our

ESG and Our Ongoing Strong Engagement for Our Communities

Concluding Remarks

Ashish Bharat Ram

Shared Vision: Empowering Our Future

Global Footprint

Performance Films and Foil Business

National

Technical Textiles Business

National

Chemicals Business

Sales & Marketing Office

Laminated Fabrics Business

Headquarters

Coated Fabrics Business

Registered Office

Chairman Emeritus

Board of Directors

Corporate Information

Registered Office

Auditors

President & CFO

Corporate Office

Bankers

Our Approach to ESG

Key ESG Performance Highlights

About the ESG Report

Scope and Boundary

Reporting Framework

Our Group Business Portfolio

Specialty Chemicals

Fluorochemicals

Our Geographical Presence

Industries We Serve

Powering Key Industries

ESG Performance for FY25

Advancing Our ESG Commitment

More than

Awards and Accolades: Celebrating Excellence

till date

Corporate

Governance

Our Board of Directors

Leading the Company’s Pursuit of Excellence

Ashish Bharat Ram

Arun Bharat Ram

Vellayan Subbiah

Kartik Bharat Ram

Puneet Yadu Dalmia

Board Committees

Driving Effective Governance

Code of Conduct

Sustainability Governance Framework

Operationalising ESG

Structure of the ESG Committee

Ethics and Compliance

The salient features of our Code of Conduct includes:

SRF Policies and Codes

Regulatory Compliance

Industry Associations

Strengthening Relationship with Stakeholders

Partnering for Progress

Stakeholder Engagement Process

Identify

Plan

Engage & Consult

Monitor & Report

Stakeholders’ Engagement and Outcome

Materiality Assessment

SRF Ltd. Annual Report 2025

Business-Wise Segment Revenue (`Crores) for FY24` Crores) for FY24 Crores) for FY24