The Directors present this Annual Report of Coastal Corporation Limited along with the audited financial statements for the
financial year ended March 31, 2025. The consolidated performance of the Company and its subsidiaries has been referred to
wherever required.

1. FINANCIAL SUMMARY

2. SUMMARY OF OPERATIONS & STATE OF COMPANY'S
AFFAIRS

On a consolidated basis, the Company's total revenue for
FY 2025 was Rs. 62821.87 Lakhs as compared to the
previous year revenue of Rs. 43555.70 Lakhs. The profit
after tax (PAT) attributable to shareholders and non¬
controlling interests for FY 2025 and FY 2023 was Rs. 465.05
Lakhs and Rs. 521.71 Lakhs, respectively.

On a Standalone basis, the Company's total revenue for
FY 2025 was Rs. 61299.88 Lakhs as compared to the
previous year revenue of Rs. 42336.06 Lakhs. The profit
after tax (PAT) attributable to shareholders and non¬
controlling interests for FY 2025 and FY 2024 was Rs. 769.49
Lakhs and Rs. 878.47 Lakhs, respectively.

The standalone and consolidated financial statements of
the Company for the financial year ended March 31, 2025,
have been prepared in accordance with the Indian
Accounting Standards (Ind AS) as notified by the Ministry
of Corporate Affairs and as amended from time to time.

3. SHARE CAPITAL

As on 31st March, 2025 the authorized capital of the
Company is Rs. 25,00,00,000/- (Rupees Twenty-Five crores
only) divided into 12,50,00,000 (Twelve crores fifty lakhs)
equity shares of Rs. 2/-each.

The paid-up capital of the Company as on 31^st March 2025
stands at Rs. 13,39,54,460/-divided into 6,69,77,230 fully
paid-up equity shares (Rs. 2/- per share).

During the year the Company had forfeited 1,13,154 equity

shares vide its Board Resolution dated 27.05.2024 on
account of non-payment of call monies.

During the reporting period, the sub-division/split of 1
equity share of face value Rs. 10/- each, fully paid-up, into
5 equity shares of face value Rs. 2/- each, fully paid-up,
was completed. The record date for this was 4^thMarch,
2025.

4. DIVIDEND

The Company has voluntarily formulated a Dividend
Distribution Policy which has been duly approved by the
Board of Directors and is available on the Company's
website at: www.coastalcorp.co.in

The Board of Directors of the Company at their meeting
held on the 29^th day of May, 2025 recommended a
Dividend of Rs.0.22/- i.e.,11% on the nominal value of
Equity Share of Rs. 2/- each which shall be declared subject
to the shareholders' approval at this Annual General
Meeting. The dividend will be paid to all the eligible
shareholders as on the record date. As per the amended
Income Tax Act, 1961, no dividend distribution tax is
payable by the Company. Hence the dividend was taxable
in the hands of the shareholders subject to tax deduction
at source at the applicable rates. The dividend
recommended is in accordance with the principles and
criteria as set out in the dividend distribution policy.

5. AMOUNT TO BE CARRIED TO RESERVES

The Company has not transferred any amount to the
reserves during the current financial year.

6. EMPLOYEE STOCK OPTION PLANS (ESOP)

There were no Options granted or vested or any shares
issued on vesting during the year under the CCL ESOP
Scheme - 2021("CCL Scheme - 2021").

7. SUBSIDIARIES/ASSOCIATES AND JOINT VENTURES

On March 31, 2025, the Company has the following three
wholly owned subsidiaries:

I) Continental Fisheries India Limited

II) Seacrest Seafoods Inc.

III) Coastal Biotech Private Limited

There has been no material change in the nature of the
business of the subsidiaries. There are no associates or
joint venture companies within the meaning of Section
2(6) of the Companies Act, 2013 ("Act").

Pursuant to Section 129(3) of the Companies Act, 2013, a
separate statement containing salient features of the
financial statement of both the subsidiaries of the
Company is annexed in the format of AOC-1 as Annexure
- 1 to the Financial Statements of the Company.

The accounts of the above subsidiaries have been
considered in the consolidated financial results of the
Company. The Annual Audited Financial Statements of
each of the subsidiary companies are placed on the
Company's website.

8. PARTICULARS OF CONTRACTS OR ARRANGEMENTS
MADE WITH RELATED PARTIES

All contracts / arrangements / transactions entered by the
Company during FY 2024-25 with related parties were on
an arm's length basis and in the ordinary course of business
and approved by the Audit Committee. Certain
transactions, which were repetitive in nature, were
approved through omnibus route.

Particulars of contracts or arrangements with related
parties referred to in Section 188(1) of the Companies Act,
2013, in the prescribed Form AOC-2, is appended as
Annexure - 2 to this report.

These have been discussed in detail in the Notes to the
Financial Statements in this Annual Report.

9. DEPOSITS

The Company has not accepted any deposit from the
public falling within the ambit of Section 73 of the
Companies Act, 2013 and the Companies (Acceptance of
Deposits) Rules, 2014.

11. STATUTORY AUDITORS & AUDITOR'S REPORT

At the 43^rd Annual General Meeting held on September
27, 2024, the Members approved the appointment of
M/s. Brahmayya & Co., Chartered Accountants,
Visakhapatnam (Registration No. 000513S) to hold office
from the conclusion of the 43^rd Annual General Meeting
until the conclusion of the 48^th Annual General Meeting of
the Company to be held in the year 2029. The Statutory
Auditors were present in the last AGM.

There is a qualification made by the Statutory Auditors in
their report on the Financial Statements of the Company
for the Financial Year ended March 31, 2025.

Details of Audit Qualification:

Attention is invited to Note No. 39 to the accompanying
Ind AS financial statements, regarding non-provision of
impairment loss allowance on investment made in "M/s.
Seacrest Seafoods Inc.," a wholly owned foreign subsidiary
company, amounting to Rs 3023.13 lakhs as on 31.03.2025,
as in the opinion of the Board of Directors the said
investment does not suffer any impairment loss, as the
company has accepted a request for extension of time by
12 months as per letter dated 15th March 2025 written by
"M/s. Seacrest Seafoods Inc.," to "buy-back" its shares at
par. We are unable to express an opinion on the said
matter.

Boards / Management Explanation:

As per the Indian laws the company M/s Coastal
Corporation Limited has to create provision for impairment
for the loss on investment of shares when the value of the
investment had become negative in the investee co. The
present investment in wholly owned subsidiary M/s
Seacrest Seafood is negative thereby we have to provide
impairment loss in M/s Coastal Corporation Limited, but
in the present case the company has accepted the request
for extension of time by 12 months to buy back the shares
by subsidiary at par value. which is a matter of no loss for
M/s Coastal Corporation Limited. Hence, we were of the
opinion not to provide impairment loss in the books of
accounts as explained above.

The company has updated the statement of impact on
audit qualification as per the Regulation 33 of the SEBI
(LODR) Regulations, 2015. The same can be viewed at the
website of the company and the stock exchanges.

10. SECRETARIAL AUDITORS

Pursuant to the provisions of Section 204 of the Companies
Act, 2013 and The Companies (Appointment and
Remuneration of Managerial Personnel) Rules, 2014, the
Company has appointed Mr. A.V.V.S.S.Ch.B. Sekhar Babu
Sekhar Babu, Practicing Company Secretary,
Visakhapatnam to undertake the Secretarial Audit of the
Company. The Secretarial Audit Report is annexed herewith
as Annexure-3 to this report. The same does not contain
any adverse remarks. The Company has appointed Mr.
A.V.V.S.S.Ch.B. Sekhar Babu, Practicing Company Secretary,
Visakhapatnam as the Secretarial Auditor for the Financial
Year 2024-25.

The Board of Directors recommended the appointment
of Mr. A.V.V.S.S.Ch.B. Sekhar Babu, Practicing Company
Secretary, Visakhapatnam as the Secretarial Auditor of the
Company pursuant to Section 204(1) of the Companies
Act 2013, Rule 9 of the Companies (Appointment and
Remuneration of Managerial Personnel) Rules 2014 and
as per the Securities and Exchange Board of India (Listing
Obligations and Disclosure Requirements) (Third
Amendment) Regulations, 2024;revised Regulation 24A,
for a term of 5 (five) years to hold office from the
conclusion of the ensuing AGM till the conclusion of 49^th
AGM of the Company to be held in the year 2030, subject
to approval by the Members at the ensuing AGM. The
Board recommends to seek consent of its members at the
ensuing AGM on appointment of Mr. A.V.V.S.S.Ch.B. Sekhar

Babu, Practicing Company Secretary, Visakhapatnam for
tenure of 5 (five) years, to examine and audit the Secretarial
records of the Company during the said period.

SECRETARIAL AUDIT REPORT OF MATERIAL
SUBSIDIARY:

As per regulation 24(1) of SEBI Listing Regulations, the
Company is required to annex the secretarial audit report
of its material unlisted subsidiary to its Annual Report.
Coastal Biotech Private Limited (CBPL) have been identified
as Material Unlisted Subsidiary of the Company for FY
2024-25 and accordingly the Company is annexing the
Secretarial Audit Report of CBPL as Annexure-3A.

COMPLIANCE WITH SECRETARIAL STANDARD:

The Company has Complied with the applicable Secretarial
Standards (as amended from time to time) on meetings
of the Board of Directors issued by The Institute of
Company Secretaries of India and approved by Central
Government under section 118(10) of the Companies Act,

2013.

11. INTERNAL AUDITORS

The Board of Directors based on the recommendations of
the Audit Committee have appointed M/s. Jaya & Lakshmi,
Chartered Accountants, Visakhapatnam for the financial
year 2025-26. who has to act in an independent manner
and also responsible for regulatory and legal requirements
relating to operational processes and internal systems.
They report directly to the Board of Directors.

12. CREDIT & GUARANTEE FACILITIES

The Company has been availing Packing Credit limits and
Term Loan and other facilities from Bank of India, Union
Bank of India, DBS Bank and HDFC Bank Visakhapatnam.

13. PARTICULARS REGARDING ENERGY CONSERVATION,
TECHNOLOGY ABSORPTIONAND FOREIGN EXCHANGE
EARNINGS AND OUTGO

The information on conservation of energy, technology
absorption and foreign exchange earnings and outgo
stipulated under Section 134(3)(m) of the Companies Act,
2013 read with Rule 8 of The Companies (Accounts) Rules,

2014, is annexed herewith as Annexure-4 to this report.

14. MANAGEMENT DISCUSSION ANALYSIS

Pursuant to the provisions of Regulation 34(2) of SEBI
(Listing Obligations and Disclosure Requirements)
Regulations, 2015 a report on Management Discussion &
Analysis is herewith annexed as Annexure-5 to this report.

15. CORPORATE GOVERNANCE

As per Regulation 34 of the Listing Regulations, a separate
Report on corporate governance practices followed by
your Company, along with a certificate from Practicing
Company Secretary, on compliance with corporate
governance norms under the Listing Regulations, forms
part of this Annual Report as Annexure - 6, 7 & 8.

16. CORPORATE SOCIAL RESPONSIBILITY (CSR)

The brief outline of the Corporate Social Responsibility
(CSR) Policy of the Company and the initiatives undertaken
by the Company on CSR activities during the year are set
out in Annexure-9 of this Report. The policy is available
on Company's website at www.coastalcorp.co.in.

17. ANNUAL RETURN

Pursuant to Section 92(3) of the Act and Rule 12 of the
Companies (Management and Administration) Rules, 2014,
the Annual Return for FY25 is uploaded on the website of
the Company and the same is available on
www.coastalcorp.co.in.

18. DIRECTORS AND KEY MANAGERIAL PERSONNEL

The below mentioned Directors will be appointed/re-
appointed in terms of applicable provisions of Companies
Act, 2013 and SEBI (Listing Obligations and Disclosure
Requirements) Regulations, 2015 at the 44^th Annual General
Meeting to be held on September 26^th 2025:

(i) Mrs. Jeeja Valsaraj who was liable to retire by rotation
shall be re-appointed.

(ii) Mr. Thottoli Valsaraj, will be re-appointed subject to
the approval of shareholders at this Annual General
Meeting.

(iii) Mr. Vasantharao Satya Venkatarao, who was
appointed as an Additional Director at the Board
Meeting held on 14^th August 2025, is being appointed
as a Director with the consent of the shareholders at
this Annual General Meeting.

Mr M. V.Suryanarayana (DIN:00372812), a Non-Executive
Independent Director, will cease to be a Director of the
Company with effect from 28^th September, 2025, upon
completion of his two consecutive terms of 5 years each
as per the applicable provisions under the Companies Act,
2013 and SEBI Regulations.

The Board places on record its sincere appreciation for
his contributions and extends gratitude to Mr. M. V.
Suryanarayana for his invaluable service as a Director on
the Board. His insightful contributions have played a
pivotal role in steering the Company's strategic direction
and fostering growth.

Appointments/Re-appointments at this Annual
General Meeting

In accordance with the provisions of Section 152 of the
Companies Act, 2013, Mrs. Jeeja Valsaraj, Director of the
Company retires by rotation and being eligible, has offered
herself for re appointment.

As per the requirements of Regulation 36(3) of SEBI (Listing
Obligations and Disclosure Requirements) Regulations,
2015 (as amended) and Clause 1.2.5 of the Secretarial
Standard 2 (Revised) as issued by the Institute of Company
Secretaries of India, a statement containing the requisite
details of re-appointment is given below:

(i) Mrs. Jeeja Valsaraj (01064411) and Mr. Valsaraj Thottoli (00057558):

Mr. K. Venkateswara Rao (DIN: 01678973), a Non¬
Executive Independent Director, ceased to be a
Director of the Company with effect from 30th August,
2024, upon completion of his two consecutive terms
as per the applicable provisions under the Companies
Act, 2013 and SEBI Regulations.

Key Managerial Personnel

In terms of Section 203 of the Act, the Key Managerial
Personnel (KMPs) of the Company during FY 2024¬
25 are:

• Mr. Valsaraj Thottli, Managing Director

• Mr. G.V.V. Satyanarayana, Chief Financial Officer,
Whole time Director designated as Director-
Finance

• Ms. Swaroopa Meruva, Company Secretary

There was no resignation and removal of any Key
Managerial Personnel during the year.

A brief profile of the Directors of the Company is
annexed herewith as Annexure-10 to this report

19. PARTICULARS OF EMPLOYEES AS PER SECTION
197(12) UNDER RULE 5(2) OF THE COMPANIES
(APPOINTMENT AND REMUNERATION OF
MANAGERIAL PERSONNEL) RULES, 2014

Disclosure 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 is
annexed to the Report as Annexure-11

Statement containing particulars of top 10 employees and
the employees drawing remuneration in excess of limits
prescribed under Section 197 (12) of the Act read with
Rule 5(2) and (3) of the Companies (Appointment and
Remuneration of Managerial Personnel) Rules, 2014 is
provided in the Annexure forming part of this report.

20. DIRECTORS' RESPONSIBILITY STATEMENT AS
REQUIRED UNDER SECTION 134 (3) (c) OF THE
COMPANIES ACT, 2013

Pursuant to Section 134 (5) of the Companies Act, 2013,
your Directors confirm that to the best of their knowledge
and ability confirm that:

(a) In the preparation of the annual accounts, the
applicable accounting standards have been followed
along with proper explanation relating to material
departures;

(b) They have 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) They have taken proper and sufficient care towards
the maintenance of adequate accounting records in
accordance with the provisions of the Companies Act,
2013 for safe guarding the assets of the company and
for preventing and detecting fraud and other
irregularities;

(d) They have prepared the annual accounts for the
financial year 2024-25 on a going concern basis;

(e) They have laid down internal financial controls to be
followed by the Company and such internal financial
controls are adequate and are operating effectively;
and

(f) They have devised proper systems to ensure
compliance with the provisions of all applicable laws
and that such systems were adequate and operating
effectively.

Based on the framework of internal financial controls and
compliance systems established and maintained by the
Company, the work performed by the internal, statutory
and secretarial auditors and external consultants, including
the audit of internal financial controls over financial
reporting by the statutory auditors and the reviews
performed by management and the relevant board
committees, including the audit committee, the Board is
of the opinion that the Company's internal financial
controls were adequate and effective during FY 2024-25.

21. SIGNIFICANT AND MATERIAL ORDERS PASSED BY THE
REGULATORS/COURTS OR TRIBUNALS:

There are no significant material orders passed by the
Regulators or Courts or Tribunal, which would impact the
going concern status of the Company and its future
operation.

22. CHANGE IN THE NATURE OF BUSINESS, MATERIAL
CHANGES AND COMMITMENT:

During the year under review, there is no change in nature
of the business of the Company. There were no material
changes and commitments affecting the financial position
of the Company that have occurred between the end of
the financial year to which the financial statements relate
and the date of this report unless otherwise stated in the
report.

23. VIGIL MECHANISM / WHISTLE BLOWER POLICY:

The Company believes in the conduct of the affairs of its
constituents in a fair and transparent manner by adopting
the highest standards of professionalism, honesty, integrity
and ethical behaviour. Pursuant to Section 177(9) of the
Act, a vigil mechanism was established for directors and
employees to report concerns about unethical behavior,
actual or suspected fraud, or violation of the Company's
Code of Conduct and Ethics. The policy is posted on the
website of the Company www.coastalcorp.co.in

24. RISK MANAGEMENT:

The Board oversees Company's processes for determining
risk tolerance and review management's action and
comparison of overall risk tolerance to established levels.
The framework is designed to enable risks to be identified,
assessed and mitigated appropriately. Major risks
identified by the businesses and functions are
systematically addressed through appropriate actions on
a continuous basis.

25. POLICY ON DIRECTORS APPOINTMENTS AND
REMUNERATION, INCLUDING CRITERIA FOR
DETERMINING QUALIFICATIONS, POSITIVE
ATTRIBUTES, ETC.

The Company's policy (salient features) on Directors
remuneration and other matters provided in Section 178(3)
of the Companies Act, 2013 has been briefly disclosed
hereunder and in the Report on Corporate Governance,
which is a part of this Report.

Selection and procedure for nomination and
appointment of Directors

The NRC is responsible for developing competency
requirements for the Board based on the industry and
strategy of the Company. The Board composition analysis
reflects in-depth understanding of the Company, including
its strategies, environment, operations, financial condition
and compliance requirements.

The NRC conducts a gap analysis to refresh the Board on
a periodic basis, including each time a Director's
appointment or re- appointment is required. The NRC
reviews and vets the profiles of potential candidates vis¬
a-vis the required competencies, undertakes due diligence
and meeting potential candidates, prior to making
recommendations of their nomination to the Board.

Criteria for determining qualifications, positive
attributes and independence of a Director

In terms of the provisions of Section 178(3) of the Act,
and Regulation 19 of the SEBI Listing Regulations, the NRC
has formulated the criteria for determining qualifications,
positive attributes and independence of Directors, the key
features of which are as follows:

• Qualifications - The Board nomination process
encourages diversity of thought, experience,
knowledge, age and gender. It also ensures that the
Board has an appropriate blend of functional and
industry expertise.

• Positive Attributes - Apart from the duties of Directors
as prescribed in the Act the Directors are expected to
demonstrate high standards of ethical behaviour,
communication skills and independent judgment. The
Directors are also expected to abide by the respective
Code of Conduct as applicable to them.

Independence - A Director will be considered independent
if he/she meets the criteria laid down in Section 149(6) of
the Act, the Rules framed thereunder and Regulation
16(1)(b) of the SEBI Listing Regulations.

The Directors affirm that the remuneration paid to
Directors, KMPs and employees is as per the Remuneration
Policy of the Company.

26. PARTICULARS OF LOANS, GUARANTEES AND
INVESTMENTS PURSUANT TO SECTION 186 OF THE
COMPANIES ACT, 2013

Pursuant to Section 186 of the Companies Act, 2013 and
Schedule V of the Listing Regulations, disclosure on
particulars relating to Loans, Advances, Guarantees and
Investments are provided as part of the financial
statements.

27. ANNUAL EVALUATION OF BOARD PERFORMANCE
AND PERFORMANCE OF ITS COMMITTEES AND OF
DIRECTORS

The annual evaluation process of the Board of Directors,
Individual Directors and Committees was conducted in
accordance with the provisions of the Act and the SEBI
Listing Regulations.

28. PREVENTION, PROHIBITION AND REDRESSAL OF
SEXUAL HARASSMENT AT WORK PLACE:

Your Company strongly supports the rights of all its
employees to work in an environment free from all forms
of harassment. The Company has zero tolerance for sexual
harassment at Workplace. Internal Complaints Committee
('ICC') is in place for all works and offices of the Company
to redress complaints received regarding sexual
harassment. During the year there were no cases filed
pursuant to the Sexual Harassment of Women at
Workplace (Prevention, Prohibition and Redressal) Act,
2013.

29. INTERNAL CONTROL SYSTEMS & THEIR ADEQUACY:

The details in respect of internal financial control and their
adequacy are included in the Management Discussion and
Analysis, which is a part of this report.

30. NUMBER OF MEETINGS OF THE BOARD &
COMMITTEES

Six (6) meetings of the board were held during the year.
Details of composition, terms of reference and number of
meetings held in FY2024-25 for the aforementioned
Committees are given in the Report on Corporate
Governance, which forms a part of this Report. Further,
during the year under review, all recommendations made
by the various Committees have been accepted by the
Board.

31. COMMITTEES:

The details pertaining to the composition of the
Committees and its Meetings are included in the Corporate
Governance Report, which is a part of this report.

32. STATEMENT ON DECLARATION FROM INDEPENDENT
DIRECTORS:

The Company has received necessary declarations from
all Independent Directors of the Company in accordance
with the provisions of Section 149(7) of the Companies
Act, 2013 confirming that they meet the criteria of
independence as prescribed under Section 149(6) of the
Companies Act, 2013.

33. PROCEEDINGS PENDING UNDER THE INSOLVENCY
AND BANKRUPTCY CODE,2016:

There was no application made or proceeding pending
against the Company under the Insolvency and Bankruptcy
Code, 2016 (31 of 2016) during the year under review.

34. DIFFERENCE IN VALUATION:

The Company has not made any one-time settlement for
loans taken from the Banks or Financial Institutions, and
hence the details of difference between amount of the
valuation done at the time of one-time settlement and

the valuation done while taking loan from the Banks or Financial Institutions along with the reasons thereof is not applicable.

35. MATERNITY BENEFIT:

The Company affirms that it has duly complied with all provisions of the Maternity Benefit Act, 1961, and has extended all
statutory benefits to eligible women employees during the year.

36. ACKNOWLEDGEMENTS:

The Directors wish to convey their appreciation to all of the Company's employees for their contribution towards
theCompany's performance. The Directors would also like to thank the members, employee unions, customers, dealers,
suppliers, bankers, governments and all other business associates for their continuous support to the Company andtheir
confidence in its management.

For and of behalf of the Board of

COASTAL CORPORATION LIMITED

Sd/- Sd/-

T. VALSARAJ G.V.V. SATYANARAYANA

Place : Visakhapatnam Managing Director Director - Finance

Date : 14.08.2025 DIN: 00057558 DIN: 00187006