(n) Provisions and contingent liabilities

Provisions are recognised when the Company has
a present obligation (legal or constructive) as a
result of a past event, it is probable that an outflow
of resources embodying economic benefits will
be required to settle the obligation and a reliable
estimate can be made of the amount of the
obligation. 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.

i. Contingent liabilities

A disclosure for contingent liabilities is made
where there is a possible obligation or a
present obligation that may probably not
require an outflow of resources. When there
is a possible or a present obligation where
the likelihood of outflow of resources is
remote, no provision or disclosure is made.

(o) Employee benefits

i. Short-term employee benefits

Short-term employee benefits obligation
are measured on an undiscounted basis
and are expensed as the related service is
provided. A liability is recognised for the
amount expected to be paid e.g., 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 amount of
obligation can be estimated reliably.

ii. Share based payment transactions

The grant date fair value of equity settled
share based payment awards granted to
employees is recognised as an employee
expense, with a corresponding increase in
equity, over the period that the employees
unconditionally become entitled to the
awards. The amount recognised as expense
is based on the estimate of the number of
awards for which the related service and
non-market vesting conditions are expected
to be met, such that the amount ultimately
recognised as an expense is based on the

number of awards that do meet the related
service and non-market vesting conditions at
the vesting date.

iii. Defined contribution plans

A defined contribution plan is a post¬
employment benefit plan under which
an entity pays fixed contributions into
a separate entity and will have no legal
or constructive obligation to pay further
amounts. The Company makes specified
monthly contributions towards Government
administered provident fund scheme.
Obligations for contributions to defined
contribution plans are recognised as an
employee benefits expense in the statement
of profit and loss in the periods during
which the related services are rendered by
employees.

iv. Defined benefit plans

A defined benefit plan is a post-employment
benefit plan other than a defined contribution
plan. The Company’s net obligation in
respect of defined benefit plans is calculated
separately for each plan by estimating the
amount of future benefit that employees
have earned in the current and prior periods,
discounting that amount and deducting the
fair value of any plan assets.

The calculation of defined benefit plan is
performed annually by a qualified actuary
using the projected unit credit method. When
the calculation results in a potential asset
for the Company, the recognised asset is
limited to the present value of economic
benefits available in the form of any future
refunds from the plan or reductions in future
contributions to the plan ('the asset ceiling’).
In order to calculate the present value of
economic benefits, consideration is given to
any minimum funding requirements.

Remeasurements of the net defined benefit
liability, which comprise actuarial gains and
losses, the return on plan assets (excluding
interest) and the effect of the asset ceiling (if
any, excluding interest), are recognised in OCI.
The Company determines the net interest
expense (income) on the net defined benefit
liability (asset) for the period by applying the
discount rate used to measure the defined
benefit plan at the beginning of the annual

period to the then net defined benefit liability
(asset), taking into account any changes in
the net defined benefit liability (asset) during
the period as a result of contributions and
benefit payments. Net interest expense and
other expenses related to defined benefit
plans are recognised in profit or loss.

When the benefits of a plan are changed or
when a plan is curtailed, the resulting change
in benefit that relates to past service ('past
service cost’ or 'past service gain’) or the
gain or loss on curtailment is recognised
immediately in profit or loss. The Company
recognises gains and losses on the
settlement of a defined benefit plan when the
settlement occurs.

v. Other long-term benefits

The employees can carry-forward a portion
of the unutilised accrued compensated
absences and utilise it in future service periods
or receive cash compensation on termination
of employment. Since the compensated
absences do not fall due wholly within twelve
months after the end of the period in which
the employees render the related service and
are also not expected to be utilised wholly
within twelve months after the end of such
period, the benefit is classified as a long-term
employee benefit. The Company records an
obligation for such compensated absences
in the period in which the employee renders
the services that increases this entitlement.
The obligation is measured on the basis of
independent actuarial obligation using the
projected unit credit method.

vi. Other long-term employee benefits

The Company’s net obligation in respect
of long-term employee benefits other than
post-employment benefits is the amount of
future benefit that employees have earned
in return for their service in the current and
prior periods; that benefit is discounted to
determine its present value, and the fair
value of any related assets is deducted.
The obligation is measured on the basis of
an annual independent actuarial valuation
using the projected unit credit method.
Remeasurements gains or losses are
recognised in profit or loss in the period in
which they arise.

(p) Cash and cash equivalents

For the purpose of presentation in the statement
of cash flows, cash and cash equivalents includes
cash on hand, deposits held at call with financial
institutions, other short-term, highly liquid
investments with original maturities of three
months or less that are readily convertible to
known amounts of cash and which are subject to
an insignificant risk of changes in value.

(q) Cash flow statement

Cash flows are reported using indirect method,
whereby net profits before tax is adjusted for
the effects of transactions of a non-cash nature
and any deferrals or accruals of past or future
cash receipts or payments. The cash flows from
regular revenue generating (operating activities),
investing and financing activities of the Company
are segregated.

(r) New and amended standards

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.
During the year ended 31 March 2025, MCA has
notified the following standards or amendments
to the existing standards.

(i) Ind As 117 - Insurance Contracts

(i) Ind As 116 - Sale and leaseback

The amendments of the above standard are
not expected to have a material impact for the
Company.

(s) Standards notified but not yet effective

There are no standards that are notified and not
yet effective as on the date.

(t) Climate - related matters

The Company considers climate-related matters
in estimates and assumptions, where appropriate.
This assessment includes a wide range of possible
impacts on the Company due to both physical and
transition risks. Even though climate-related risks
might not currently have a significant impact on
measurement, the Company is closely monitoring
relevant changes and developments.

(i) Impairment

Refer accounting policy in note 3(d).

Impairment testing for cash generating unit containing goodwill

During the earlier years, the Company has acquired assets under a business transfer agreement from K C Dairy Products
Private Limited (""K C Dairy"") and allocated goodwill to K C Dairy which represents the lowest level within the Company at
which goodwill is monitored for internal management purposes. The carrying amount of goodwill as at 31 March 2025 is
INR 359.37 (31 March 2024: INR 359.37).

During the earlier years, the Company has acquired assets through slump purchase arrangement from Sri Krishna Milks
Private Limited (""SKM"") and allocated goodwill to SKM which represents the lowest level within the Company at which
goodwill is monitored for internal management purposes. The carrying amount of goodwill as at 31 March 2025 is
INR 74.00 (31 March 2024: INR 74.00).

As at 31 March 2025, Goodwill pertaining to both past business combinations were tested for impairment.

The key assumptions used in the estimation of the recoverable amount as set out below. The values assigned to the key
assumptions represent Management's assessment of future trends in the relevant industry and have been based on
historical data from both internal and external sources.

The cash flow projections include specific estimates for five years and a terminal growth rate thereafter. The terminal
growth rate has been determined based on the management's estimate of the long-term compound annual EBITDA
growth rate, consistent with the assumptions that a market participant would make.

Weighted average cost of capital % (WACC) = Risk free return (Market premium x Beta for the Company).

The Company has performed sensitivity analysis around the base assumptions and has concluded that no reasonable
change in key assumptions would result in the recoverable amount of the CGU to be less than the carrying value.
Accordingly, no impairment charges were recognised for the year ended 31 March 2025.

ii) The Company has not revalued any Intangible assets after initial recognition during the current and previous financial year.

iii) On transition to Ind AS (i.e. 01 April 2016), the Company has elected to continue with the carrying value of goodwill and all
other intangible assets measured as per the previous GAAP and use that carrying value as the deemed cost of Intangible
assets.

iv) There are no restrictions over the title of the Company's intangible assets, nor are any intangible assets pledged as security
for liabilities.

(i) Post retirement benefit - Defined contribution plans

The Company makes contributions, determined as a specified percentage of employee salaries, in respect of qualifying
employees towards provident fund and other funds which are defined contribution plans. The Company has no obligations
other than to make the specified contributions. The contributions of INR 88.47 (31 March 2024: INR 78.54) are charged to
the statement of profit and loss as they accrue (refer note 33).

(ii) Post retirement benefit - Defined benefit plans

The Company provides its employees with the benefits under a defined benefit plan, referred to as the "Gratuity Plan". The
Gratuity Plan entitles an employee, who has rendered at least five years of continuous service, to receive one-half month’s
salary for each year of completed service (service of six months and above is rounded off as one year) at the time of
retirement/exit, restricted to a sum of INR 2.00.

Sensitivity analysis above have been determined based on a method that extrapolates the impact on defined benefit plan
as a result of reasonable changes in key assumptions occurring at the end of the reporting period. The above sensitivity
analysis is based on a change in an assumption while holding all other assumptions constant. In practice, this is unlikely to
occur, and changes in some of the assumptions may be correlated. When calculating the sensitivity of the defined benefit
plan to significant actuarial assumptions the same method (present value of the defined benefit plan calculated with the
projected unit credit method at the end of the reporting year) has been applied as and when calculating the defined benefit
liability recognised in the balance sheet.

The methods and types of assumptions used in preparing the sensitivity analysis did not change compared to the prior
period.

Although the analysis does not take account of the full distribution of cash flows expected under the plan, it does provide
an approximation of the sensitivity of the assumptions shown.

The Company makes annual contribution to the Life Insurance Corporation of India (LIC) of an amount advised by LIC.
The Company was not informed by LIC of the investments made by them or the breakup of the plan assets into various
type of investments.

e) Risk exposure

Through its defined benefit plan, the Company is exposed to a number of risks, the most significant of which are detailed
below:

Asset volatility: The plan liabilities are calculated using a discount rate set with reference to bond yields; if plan assets
underperform this yield, this will create a deficit. The Company’s plan assets are insurer managed funds and are subject
to less material risk.

Changes in bond yields: A decrease in bond yields will increase plan liabilities and the Company ensures that it has
enough reserves to fund the liability.

g) The Company expects to contribute a sum of INR 41.03 to the plan for the next annual accounting period (31 March
2024: INR 22.23).

h) The weighted average duration of the defined benefit plan at the end of the year is 4 years (31 March 2024: 4 years).

(iii) Code on Social Security, 2020

The Code on Social Security, 2020 ('Code’) relating to employee benefits during employment and post employment
benefits received Presidential assent in September 2020. The Code has been published in the Gazette of India.
However, the date on which the Code will come into effect has not been notified and the final rules/interpretation
have not yet been issued. The Company will assess the impact of the Code when it comes into effect and will record
any related impact in the period the Code becomes effective.

* The Company has extended corporate guarantee to its wholly owned subsidiary, Orgafeed Private Limited amounting
to INR 300.00 for availing loan from banks for which balance outstanding as at year ended 31 March 2025 is INR 287.50
(31 March 2024: INR 300.00) in the books of the subsidiary.

Terms and conditions:

(i) Purchase of raw material/cattlefeed are made from related parties on arm’s length basis and in the ordinary course
of business. The Company mutually negotiates and agrees the prices and payment terms with the related parties
by benchmarking the same to transactions with non-related parties. These transactions generally include payment
terms of 30 to 120 days (31 March 2024: 30 to 120 days) from the date of invoice.

Trade payables outstanding balances are unsecured, interest free and require settlement in cash.

(ii) Sale of raw material are made to related parties on arm’s length basis and in the ordinary course of business. The
Company mutually negotiates and agrees the prices and payment terms with the related parties by benchmarking
the same to transactions with non-related parties. These transactions generally include payment terms of 30 to 120
days (31 March 2024: 30 to 120 days) from the date of invoice.

Trade receivables outstanding balances are unsecured, interest free and require settlement in cash. No guarantee or
other security has been received against these receivables. For the year ended 31 March 2025, the Company has not
recorded any impairment on receivables due from related parties (31 March 2024: Nil).

(iii) Rent paid to/received from related parties on arm’s length basis and in the ordinary course of business. The Company
mutually negotiates and agrees the prices and payment terms with the related parties by benchmarking the same to
transactions with non-related parties.

(iv) Consultancy fee paid to/received from related parties on arm’s length basis and in the ordinary course of business.

The Company mutually negotiates and agrees the prices and payment terms with the related parties by benchmarking
the same to transactions with non-related parties.

Accrued income outstanding balances are unsecured, interest free and require settlement in cash. No guarantee or
other security has been received against these receivables. For the year ended 31 March 2025, the Company has not
recorded any impairment on receivables due from related parties (31 March 2024: Nil).

(v) Sitting fees paid to related parties on arm’s length basis and in the ordinary course of business and is approved by
the Board of Directors.

(vi) Purchase of property, plant and equipment from related parties are on arm’s length basis and in the ordinary course
of business.

(vii) The Company has given loan to its subsidiary for general business purposes. The loan has been utilised by the
subsidiary for the purpose it was obtained. The loan is unsecured, repayable in 32 equal quarterly instalments from
the date of disbursement and carries interest rates at the rate of 9% per annum. For the year ended 31 March 2025,
the Company has not recorded any impairment on loans due from the subsidiary (31 March 2024: Nil).

(viii) The Company has issued shares to its employees at fair value as on grant date as per the Plan.

(ix) The Company has made donations to its related party in line with the requirements of Section 135 of Companies Act, ²
2013. The expenditure has been approved by the CSR committee of the Company.

(x) The amounts disclosed in the table are the amounts recognised as an expense during the financial year related to
KMP The amounts do not include expense, if any, recognised toward post-employment benefits and other long¬
term benefits of key managerial personnel. Such expenses are measured based on an actuarial valuation done for
the Group as a whole. Hence, amounts attributable to KMPs are not separately determinable. Further, the amounts
disclosed above exclude interim dividend paid of INR. 3 per share held by KMP as at the record date.

NOTE 431 SEGMENT REPORTING

Segment information has been presented in the Consolidated Financial Statements in accordance with Ind AS 108 notified

under the Companies (Indian Accounting Standards) Rules, 2015.

NOTE 441 LOANS OR ADVANCES TO SPECIFIED PERSONS

There are no Loans or Advances in the nature of loans are granted to promoters, directors, KMPs and the related parties (as

defined under the Companies Act, 2013,) either severally or jointly with any other person, that are:

(a) repayable on demand; or

(b) without specifying any terms or period of repayment

Measurement of fair values

The carrying amount of the current financial assets and current financial liabilities are considered to be same as their fair

values, due to their short term nature.

(a) The fair valuation of investments in mutual funds is classified as level 1 in the fair value hierarchy as they are determined

based on their quoted prices in active markets.

(b) The fair valuation of investments in debentures, bonds and commercial papers is INR 706.95.

Fair value method

The fair value of the financial assets and liabilities is included at the amount at which the instrument could be exchanged in a

current transaction between willing parties, other than in a forced or liquidation sale. The following methods and assumptions

were used to estimate the fair values:

A. Financial assets

1. The Company has not disclosed the fair values for trade receivables, cash and cash equivalents including other bank
balances, loans receivable, and other financial assets because the carrying amounts are a reasonable approximation
of the fair values.

2. Investment in mutual funds: Fair value of quoted mutual funds units is based on quoted market price at the reporting
date.

B. Financial liabilities

1. Lease liabilities: The fair values of the Company’s lease liabilities are determined by discounting the future cashflows
at discount rate that reflects the incremental borrowing rate of the Company. The Company has not disclosed the fair
value because its carrying amount is a reasonable approximation of its fair value.

2. Trade payables and other financial liabilities: Fair values of trade payables and other financial liabilities are measured
at carrying value, as most of them are settled within a short period and so their fair value are assumed to be almost
equal to the carrying values.

Financial risk management

The Company’s financial risk management is an integral part of how to plan and execute its business strategies. The Company’s
activities expose it to a variety of financial risks: credit risk, liquidity risk and market risk. The Company’s primary focus is to
foresee the unpredictability of financial markets and seek to minimise potential adverse effects on its financial performance. A
summary of the risks have been given below.

Credit risk

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its
contractual obligations and arises principally from the Company’s receivables from customers and loans given. Credit risk
arises from cash held with banks and financial institutions, as well as credit exposure to counterparties, including outstanding
accounts receivables. The maximum exposure to credit risk is equal to the carrying value of the financial assets. The objective
of managing counterparty credit risk is to prevent losses in financial assets. The Company assesses the credit quality of the
counterparties, taking into account their financial position, past experience and other factors.

Trade and other receivables

Credit risk is managed by Head of Sales of the Company. Usually, the business is carried on cash and carry basis. Credit is
provided after a background check and credit analysis.

The accounts receivable team along with sales team will evaluate all new customers to determine payment terms and methods
to be required, and what level of credit will be established. The accounts receivable team and sales team will also periodically
review and re-evaluate payment terms and credit lines of existing customers and to support new customer requirements, and
do manage risk as financial and business conditions change.

Majority of milk customers are un-registered and multi brand sellers. Billing transaction takes place on all of the 365 days in a
year. The credit allowed is monitored as per the approved limits.

The Company establishes an allowance for impairment that represents its estimate of expected losses in respect of trade and
other receivables. The default in collection as a percentage to total receivable is low. Refer below for the expected credit loss
for trade receivables.

Cash and cash equivalents

Credit risk on cash and cash equivalents is limited as the Company generally invest in deposits with banks and financial
institutions with high credit ratings assigned by domestic credit rating agencies.

Financial guarantee

The Company’s maximum exposure relating to financial guarantees is noted in Note 20 and the liquidity table below.

Liquidity risk

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial
liabilities that are settled by delivering cash or another financial asset. The Company’s approach to managing liquidity
is to ensure, as far as possible, that it will have sufficient liquidity to meet its liabilities when they are due, under both
normal and stressed conditions, without incurring unacceptable losses or risking damage to the Company’s reputation.

The Company’s corporate treasury department is responsible for liquidity, funding as well as settlement management. In
addition, process and policies related to such risks are overseen by the senior management.

As of 31 March 2025 and 31 March 2024, the Company had unutilised credit limits from banks of INR 1,225.00 and INR 1,225.00
respectively. The returns/statements filed by the Company with such banks are in agreement with the books of accounts of the
Company for the year ended 31 March 2025.

The table below provides details regarding the contractual maturities of significant financial liabilities as at 31 March 2025 and
31 March 2024. The amounts are gross and undiscounted, and include contractual interest payments and exclude the impact
of netting agreements.

NOTE 461 CAPITAL MANAGEMENT

For the purpose of the Company’s capital management, capital includes issued equity capital, securities premium and all
other equity reserves. The primary objective of the Company’s capital management is to maintain a strong capital base to
ensure sustained growth in business and to maximise the shareholders value. The capital management focuses to maintain
an optimal structure that balances growth and maximises shareholder value.

The Company manages its capital to ensure that it maximises the return to stakeholders through the optimisation of the capital
structure. The Company monitors the return on capital as well as the level of dividends on its equity shares. The Company is
predominantly equity financed which is evident from the capital structure. Further the Company has always been positive on its
net cash position with cash and bank balances along with other treasury investments.

No changes were made in the objectives, policies or processes for managing capital during the years ended 31 March 2025
and 31 March 2024.

NOTE 47 No material foreseeable losses was incurred for any long-term contract including derivative contracts during the
current and previous financial year.

Market risk

Market risk is the risk that changes in market prices - such as foreign exchange rates and interest rates - will affect the
Company’s income or the value of its holdings of financial instruments. The objective of market risk management is to manage
and control market risk exposures within acceptable parameters, while optimising the return.

Interest risk

Interest rate risk is the risk that the fair value or future cash flow of a financial instrument will fluctuate because of changes in
market interest rates. There are no borrowings in the financial statements. Hence, there is no concentration of interest rate risk.

Currency risk

The following tables demonstrate the sensitivity to a reasonably possible change in USD exchange rates, with all other variables
held constant. The impact on the Company’s profit before tax is due to changes in the fair value of monetary assets and
liabilities.

NOTE 501 AUDIT TRAIL

The Company has used accounting software for maintaining its books of account which has a feature of recording audit trail
(edit log) facility and the same has operated throughout the year for all relevant transactions recorded in the software, except
for direct changes to data made using certain access rights in the accounting software, where the audit trail feature is only
enabled from 03 March 2025 to 31 March 2025. Further no instance of audit trail feature being tampered with was noted in
respect of accounting software(s) where the audit trail has been enabled at the database level.

Additionally, the audit trail of prior years has been preserved by the Company as per the statutory requirements for record
retention to the extent it was enabled and recorded in the respective years.

NOTE 531 OTHER STATUTORY INFORMATION 12

A. Benami property

There are no proceeding initiated or pending against the Company as at 31 March 2025 and 31 March 2024, under
Prohibition of Benami Property Transactions Act, 1988 (as amended in 2016) during the current and previous financial
year.

B. Struck off companies

The Company does not have any transactions with companies struck off during current and previous financial year.

C. Registration of charges

The Company does not have any charges or satisfaction which is yet to be registered with Registrar of Companies (ROC)
beyond the statutory period.

D. Crypto or virtual currency:

The Company has not traded in or invested in crypto or virtual currency during the current and previous financial year.

E. The Company has not advanced or loaned or invested funds to any other person or entity, 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 to or on behalf of the Ultimate Beneficiaries

F. The Company has not received any fund from any person or entity, including foreign entities (Funding Party) with the
understanding, whether recorded in writing or otherwise, that the Company 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

The Company has complied with the relevant provisions of the Foreign Exchange Management Act, 1999 (42 of 1999)
and the Companies Act, 2013 for the above transactions and the transactions are not violative of the Prevention of
Money-Laundering Act, 2002 (15 of 2003).

G. Undisclosed incomes

The Company does not have any such transaction which is not recorded in the books of account 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).

H. Wilful defaulter

The Company is not declared a wilful defaulter by any bank or financial Institution or other lender.

NOTE 541 EVENTS AFTER THE REPORTING PERIOD

There are no events after the reporting period till 19 May 2025 which require any adjustment or additional disclosure in the
financial statements.

As per our report of even date

For S.R. Batliboi & Associates LLP For and on behalf of the Board of Directors of

Chartered Accountants Dodla Dairy Limited

ICAI Firm registration number: 101049W/E300004 CIN: L15209TG1995PLC020324

per Mitesh K Parikh D. Sesha Reddy D. Sunil Reddy B.V.K. Reddy

Partner Chairman Managing Director Chief Executive Officer

Membership number: 225333 DIN: 00520448 DIN: 00794889 Place: Hyderabad

Place: Hyderabad Place: Hyderabad

R. Murali Mohan Raju Surya Prakash Mungelkar

Chief Financial Officer Company Secretary

Place: Hyderabad Date: 19 May 2025 M. No. 213494 M. No. A31877

Date: 19 May 2025 Place: Hyderabad Place: Hyderabad