ఆడిటర్ నివేదిక Swasth Foodtech India Ltd.

Mar 31, 2025

We have audited the accompanying financial statements of M/s SWASTH FOOD TECH INDIA
LIMITED {“the Company”) which comprises the Balance Sheet as at March 31, 2025, the Statement of
Profit and Loss, and statement of cash flows for the year then ended, and notes to the financial statements,
including a summary of 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
financial statements give the information required by the Companies Act, 2013 (The 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 March 31, 2025, and its Profit, and its cash flows for the
year ended on that date.

Basis for Opinion

We conducted our audit in accordance with the Standards on Auditing (SAs) specified under section
143(10) of the Companies Act, 2013, Our responsibilities under those Standards are further described in
the Auditor’s Responsibilities for the Audit ofthe 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 financial
statements under the provisions of the Companies Act, 2013 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 we have obtained is sufficient and appropriate to provide a basis tor our
opinion on the financial statements.

Key Audit matters

Key audit matters arc those matters that, in our professional judgment, were of most significance in our
audit of the financial statements for the financial year ended 31 March 2025. These matters were addressed
in the context of our audit of the financial statements as a whole, and in forming our opinion thereon, and
we do not provide a separate opinion on these matters. For each matter below, our description of how our
audit addressed the matter is provided in that context:

Key Audit Matters

Auditor’s Response

Valuation of Inventories refer to note 13 to the financial statements. The Company is having Inventory of Rs. 2,775.35 lakhs as on 31 March 2025. As described in the accounting policies Note No 1.4 to the financial statements, inventories are carried at the lower of cost and net realisable value. The management applies judgment in determining the appropriate provisions against inventories of Store. Raw Material. Finished goods and Work in progress based upon a detailed analysis of old inventory, net realisable value below cost based upon future plans for sale of inventory. To ensure that all inventories owned by the entity are recorded and recorded inventories exist as at the year-end and valuation has been done correctly, inventory valuation has been considered as Key audit matters.

We have obtained assurance over the appropriateness of the management''s assumptions applied in calculating the value of the inventories and related provisions and management assertion regarding existence and ownership by Completed a walkthrough of the inventory valuation process and assessed the design and implementation of the key controls addressing the risk. Verily that the adequate cut off procedure has been applied to ensure that purchased inventory and sold inventory are correctly accounted. Reviewing the document and other record related to physical verification of inventories done by the management during the year,. Verifying for a sample of individual products that costs have been correctly recorded. We also analysed the level of slow-moving inventory and the associated provision. We have reviewed the historical accuracy of inventory provisioning and the level of inventory write-offs during the financial year. Comparing the net realisable value lo the cost price of inventories to check for completeness of the associated provision. Performing substantive analytical procedures to test the correctness of inventory existence and valuation. The procedures performed gave us a sufficient evidence to conclude about the inventory existence and valuation.

Revenue Recognition	Our audit procedures included:
Refer to note 18 to the financial statements. Revenue is one of the key profit drivers and is therefore susceptible to misstatement. Cut-off is the key assertion in so far as revenue recognition is concerned, since an inappropriate cut off can result in material misstatement of results for the year. Revenue is recognized when the control of the underlying products has been transferred to customer along with the satisfaction of the Company''s performance obligation under a contract with customer. Terms of sales arrangements, including the timing of transfer of control, delivery specifications including Incoterms , timing of recognition of sales require significant judgment in determining revenues. The risk is, therefore, that revenue may not get recognised in the correct period.	We assessed the appropriateness of the revenue recognition accounting policies by comparing with applicable accounting standards. We evaluated the design, tested the implementation and operating effectiveness of key internal controls over recognition of revenue. We performed substantive testing by selecting samples of revenue transactions recorded during the year by testing the underlying documents which Included invoices, good dispatch notes and customer acceptances (as applicable).
	We carried out analytical procedures on revenue recognised during the year to identify unusual variances.
	We tested, on a sample basis, specific revenue transactions recorded before and after the financial year-end date to determine whether the revenue had been recognised in the appropriate financial period.
	We tested manual journal entries posted to revenue to identify unusual items.

Information Other than the Financial Statements and Auditor’s Report Thereon

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 including Management
Discussion and Analysis, Board''s Report including Annexures to Board’s Report, Business Responsibility
and Sustainability Report, Corporate Governance and Shareholder’s Information but docs not include the
financial statements and our auditor’s report thereon. The Company’s annual report is expected to be made
available to us after the date of this auditor’s report.

Our opinion on the financial statements does not cover the other information and we will not express any
form of assurance conclusion thereon.

In connection with our audit of the financial statements, our responsibility is to read the other information
identified above when it becomes available and, in doing so, consider whether the other information is
materially inconsistent with the financial statements or our knowledge obtained in the audit, or otherwise
appears to be materially misstated.

When we read the Company’s annual report, if we conclude that there is a material misstatement therein,
we are required to communicate the matter to those charged with governance and take necessary actions,
as applicable under the relevant laws and regulations.

RESPONSIBILITY OF MANAGEMENT FOR THE FINANCIAL STATEMENTS

The Company’s Board of Directors is responsible for the matters stated in section 134(5) of the Companies
Act, 2013 ("the Act”) with respect to the preparation of these financial statements that give a true and fair
view of the financial position, financial performance, and cash flows of the Company in accordance with
the accounting principles generally accepted in India, including the accounting Standards specified under
section 133 of the Act. This responsibility also includes maintenance of adequate accounting records in
accordance with the provisions of the Act for safeguarding of the assets of the Company and for preventing
and detecting frauds and other irregularities; 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
financial statement that give a true and fair view and are free from material misstatement, whether due to
fraud or error.

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

Those Board of Directors are also responsible for overseeing the company s financial reporting process.

AUDITOR’S RESPONSIBILITY FOR THE AUDIT OF THE FINANCIAL STATEMENTS

Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are tree
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 financial statements.

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

1. Identify and assess the risks of material misstatement of the 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.

2. 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 Companies Act, 2013, we
are also responsible for expressing our opinion on whether the company has adequate internal
financial controls system in place and the operating effectiveness of such controls.

3. Evaluate the appropriateness of accounting policies used and the reasonableness of accounting
estimates and related disclosures made by management.

4. Conclude on the appropriateness of management’s use of the going concern basis of accounting
and, based on the audit evidence obtained, whether a material uncertainty exists related to events
or conditions that may cast significant doubt on the Company’s ability to continue as a going
concern. If we conclude that a material uncertainty exists, we are required to draw attention in our
auditor’s report to the related disclosures in the financial 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.

5. Evaluate the overall presentation, structure and content of the financial statements, including the
disclosures, and whether the financial statements represent the underlying transactions and events
in a manner that achieves fair presentation.

Materiality is the magnitude of misstatements in the financial statements that, individually or in aggregate,
makes it probable that the economic decisions of a reasonably knowledgeable user of the financial
statements may be influenced. We consider quantitative materiality and qualitative factors in (i) planning
the scope of our audit work and in evaluating the results of our work; and (ii) to evaluate the effect of any
identified misstatements in the financial statements.

We communicate with those charged with governance regarding, among other matters, the planned scope
and liming 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 financial statements of the current period and arc 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

1. As required by the Companies (Auditor’s Report) Order, 2020 (’The Order") issued by the Central
Government of India in terms of sub-section(l 1) of section 143 of the Act, we give in the Annexure
’A’ a statement on the matters specified in the paragraph 3 and 4 of the Order, to the extent
applicable.

2. 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.

c. The Balance Sheet, the Statement of Profit and Loss and the Cash Flow Statement dealt
with by this Report are in agreement with the books of account;

d. In our opinion, the aforesaid financial statements comply with the Accounting Standards
specified under section 133 of the Act, read with Rule 7 of the Companies (Accounts)
Rules, 2014;

e. On the basis of the written representations received from the directors as on 31 “March
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. With respect to the adequacy of the internal financial controls with reference to the
financial statement of the Company and the operating effectiveness of such controls, refer
to our separate report in Annexure ‘B’.

g. With respect to the other matters to be included in the Auditor’s Report under Section

’ 197(16) of the Act

In our opinion and to the best of our information and according to the explanations given
to us, the remuneration paid/provided by the Company to its directors during the year is in
accordance with the provisions of 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.

h. 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 (as amended) in our opinion
and to the best of our information and according to the explanations given to us:

I. The Company does not have any pending litigations which would impact its
financial position

II. The Company did not have any long-term contracts including derivative contracts
for which there were any material foreseeable losses.

III. There were no amounts which were required to be transferred to the Investor
Education and Protection Fund by the company.

IV. a) The management has represented that, to the best of its knowledge and belief,
no funds (which are material either individually or in the aggregate) 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
entity(ies), including foreign entities (“Intermediaries”) with the understanding,
whether recorded in writing or otherwise, that the Intermediary shall, whether,
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.

b) The management has represented, that, to the best of its knowledge and belief,
no funds (which are material either individually or in the aggregate) have been
received by the Company from any person(s) or entity(ies), including foreign
entities (“Funding Parties"), with the understanding, whether recorded in writing
or otherwise, that the Company shall, whether, 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 provide any guarantee, security or
the like on behalf of the ultimate Beneficiaries; and

c) Based on such audit procedures as considered reasonable and appropriate in the
circumstances, 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 (IV)
(a) and (IV) (b) above contain any material mis-statement.

V. The Company did not declare or pay dividend during the year and therefore the
compliance under section 123 of Companies Act is not applicable to the company.

VI. Based on our examination, which included test checks, the company has used
accounting software for maintaining its books of accounts for the financial year
ended 31 March 2025 which has a feature of recording audit trial (edit log) facility
and the same has operated throughout the year for all relevant transactions recorded
in the software. Further during the course of our audit, we did not come across any
instance of audit trail feature being tampered with and the audit trail has been
preserved by the Company as per statutory requirements for record retention.

For

BAID AGARWAL SINGHI & CO.

Chartered Accountants
Firm Registration No. 328671E

CA SOURABH AGARWAL

(Partner)

Membership No; 301075

Place: Kolkata
Dated:

UDIN: