Auditor Report of Senores Pharmaceuticals Ltd.

Mar 31, 2025

Key Audit Matter:

1. Revenue Recognition

Refer Note 29 to the standalone Ind AS financial statements

Description of Key audit Matter

Our response and results

Revenue of the company comprises of development and manufacturing of wide range of pharmaceutical products predominantly for the Regulated Markets across major therapeutic areas and dosage forms including critical care injectables and APIs. Revenue recognition is a significant audit risk across the company. Specifically there is a risk that revenue is recognized on sale of goods before the control in the goods is transferred.

Our key audit procedures to assess the recognition of revenue on sale of goods included the following: • We assessed the appropriateness of the Company''s revenue recognition policies, including those related to discounts and incentives; • We obtained an understanding of process and assessed the design, implementation and operating effectiveness of management''s key internal controls in relation to revenue recognition from sale of goods. We also tested the Company''s controls over timing of revenue recognition; • We also tested, on a sample basis, whether specific revenue transactions around the year end had been recognized in the appropriate period on the basis of the terms of sale of the contract, particularly with reference to the transfer of control in the goods in question with regard to the year end transactions.

Description of Key audit Matter	Our response and results
	• We inspected key customer contracts/ purchase orders to identify terms and conditions related to acceptance of goods and the right to return and assessing the Company''s revenue recognition policies with reference to the requirements of the prevailing accounting standards;

We have audited the accompanying standalone Ind AS
financial statements of M/s Senores Pharmaceuticals
Limited (formerly known as Senores Pharmaceuticals
Private Limited) (''''the Company"), which comprise the
standalone balance sheet as at March 31, 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 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
standalone Ind AS 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 Indian Accounting Standards
prescribed under section 133 of the Act read with the
Companies [Indian Accounting Standards] Rules, 2015
as amended ("Ind AS" and other accounting principles
generally accepted in India, of the state of affairs
(financial Position )of the Company as at March 31, 2025,
and its Profits (financial performance including other

comprehensive income), its Cash flows and changes in
equity for the year ended on that date.

BASIS FOR OPINION

We conducted our audit in accordance with the Standards
on Auditing specified under section 143(10) of the Act.
Our responsibilities under those Standards are further
described in the Auditor''s Responsibilities for the Audit
of the standalone Ind AS 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 (ICAI) together with
the ethical requirements that are relevant to our audit
of the financial statements under the provisions of the
Act, and the Rules thereunder, and we have fulfilled our
other ethical responsibilities in accordance with these
requirements and the Code of Ethics. We believe that
the audit evidence we have obtained is sufficient and
appropriate to provide a basis for our opinion on the
standalone financial statements.

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 financial statements as a
whole, and in forming our opinion thereon, and we do
not provide a separate opinion on these matters. We
have determined the matter described below to be the
key audit matter to be communicated in our report.

INFORMATION OTHER THAN THE FINANCIAL
STATEMENTS AND AUDITOR''S REPORT THEREON

The Company''s Board of Directors is responsible for the
other information. The other

information comprises the information included in the
Annual report, but does not include the standalone Ind
AS financial statements and our auditor''s report thereon.
Our opinion on the Standalone Ind AS 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 Ind AS
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 Ind AS 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.

RESPONSIBILITIES OF MANAGEMENT AND THOSE
CHARGED WITH GOVERNANCE FOR THE STANDALONE
IND AS FINANCIAL STATEMENTS

The Company''s Board of Directors is responsible for
the matters stated in section 134(5) of the Act with
respect to the preparation of these standalone Ind AS
financial statements that give a true and fair view of the
state of affairs (financial position),Profit or loss(financial
performance including other comprehensive income),
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 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 Ind AS financial
statements that give a true and fair view and are free
from material misstatement, whether due. to fraud or
error.

In preparing the standalone Ind AS 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 RESPONSIBILITIES FOR THE AUDIT OF THE
STANDALONE IND AS FINANCIAL STATEMENTS

Our objectives are to obtain reasonable assurance about
whether the standalone Ind AS 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 Standards on Auditing
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 Ind AS financial statements
As part of an audit in accordance with Standards on
Auditing, we exercise professional judgment and
maintain professional skepticism throughout the audit.
We also:

• Identify and assess the risks of material
misstatement of the standalone Ind AS 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.

the operating effectiveness of such controls,
refer to our separate Report in "Annexure B".
Our report expresses an unmodified opinion
on the adequacy and operating effectiveness
of the company''s internal financial control
with reference to Standalone Ind AS financial
Statement.

g. 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 has disclosed the impact
of pending litigations as on 31.03.2025
on its financial position in the standalone
Ind AS Financial Statements (Refer Note
No 41 to the Standalone Ind AS Financial
Statements.)

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
person or entity, including foreign
entity ("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

• 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 system
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
management.

• 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 standalone
Ind AS financial statement 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 Ind AS financial
statements, including the disclosures, and whether
the standalone Ind AS 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
Ind AS 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

1. As required by section 197(16) of the Act, we report
that the company has paid remuneration to its
directors during the year in accordance with the
provisions of and limits laid down under section 197
read with schedule V to the Act. The remuneration
paid to the executive directors is in excess of the
limits laid down under section 197 of the Act. The
Ministry of Corporate Affairs has not prescribed
other details under Section 197(16) which are
required to be commented upon by us.

2. As required by the Companies (Auditor''s Report)
Order, 2020 (''''the Order"), issued by the Central
Government of India in terms of sub-section (11) of
section 143 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

3. As required by Section 143(3) of the Act, based on
our audit 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 standalone Balance Sheet, the standalone
Statement of Profit and Loss including other
Comprehensive Income, standalone Statement
of Changes in Equity and the standalone
Statement of Cash Flow dealt with by this
Report are in agreement with the books of
account.

d. In our opinion, the aforesaid standalone Ind
AS financial statements comply with the Indian
Accounting Standards specified under section
133 of the Act.

e. On the basis of written representations,
received from the directors as on March 31,
2025 taken on record by the Board of Directors,
none of the Directors is disqualified as on
March 31, 2025 from being appointed as a
director in terms of Section 164(2) of the Act.

f. With respect to the adequacy of the internal
financial controls with reference to Standalone
Ind AS financial Statement of the Company and

aggregate) have been received by the
Company from any person or entity,
including foreign entity ("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;
(c) Based on the audit procedures that
have been 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 (a) and (b) above, contain any
material misstatement.

V. The company has neither declared
and paid any Interim divided nor has
proposed any final dividend during the
previous year, and hence the question of
Compliance and applicability of Section
123 of the Companies Act does not arise.

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

For Pankaj R Shah & Associates
Chartered Accountant
(Firm Regn.No.107361W)

CA Nilesh Shah

PARTNER

Place: Ahmedabad Membership No. 107414

Date: 15th May, 2025 UDIN: 25107414BMGISZ2366