Pursuant to Regulation 34(1) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, we hereby submit the Annual Report of the Company for the Financial Year ended March 31, 2026.

BUILDING THE NEXT CURVE Investing in Scale. Building Toward Profit. ANNUAL REPORT 2025 - 26 THE FOUNDATION OF FUTURE GROWTH Every phase of growth begins with the foundations laid today. During FY2025-26, Clara Industries continued to strengthen its manufacturing capabilities, enhance operational readiness and build the platform for sustainable long-term value creation. These investments today are building a stronger, more resilient and future-ready organization, positioning us for profitable growth in the years ahead. TABLE OF STATUTORY REPORTS 27 Notice CONTENTS 39 Director’s Report 53 Secretarial Audit Report ANNUAL REPORT 2025-26 58 Corporate Social Responsibility Report 60 Management Discussion & Analysis STRATEGIC REVIEW 01 Message from the Managing Director FINANCIAL STATEMENTS 05 Message from the Chief Financial Officer 08 FY25-26 At a Glance 86 Independent Auditor’s Report 09 Business Overview 99 Balance Sheet 19 Operational Highlights 100 Statement of Profit & Loss 20 Financial Review 103 Notes to Accounts 21 ESG & Sustainability 23 Board of Directors Corporate Governance Committees 25 Corporate Directory STRATEGIC REVIEW STATUTORY REPORTS FINANCIAL STATEMENTS Dear Shareholders, MESSAGE FROM THE MANAGING FY2025-26 was a year of continued progress and purposeful investment for Clara Industries Limited. In an operating environment characterized by evolving customer requirements, changing market dynamics and cost pressures across the manufacturing sector, your Company remained focused on strengthening its DIRECTOR capabilities and building a stronger foundation for sustainable growth. Our theme for this year, “Building the Next Curve – Investing in Scale. Building Toward Profit.”, reflects the stage of our journey. We believe that meaningful and lasting growth is not created through short-term decisions, but through investments that strengthen the business and prepare it for future opportunities. Throughout the year, we remained committed to this philosophy while continuing to serve our customers with quality, reliability and operational excellence. I am pleased to share that Clara Industries delivered growth in revenue during FY2025-26. This growth reflects the trust placed in us by our customers, the The foundations dedication of our employees and the strength of the relationships we have built we build today across our value chain. While revenue performance remained encouraging, profitability did not increase at the same pace. This was primarily due to ongoing will shape the investments in capacity enhancement, operational readiness and business development initiatives that we believe will support future growth and value creation. opportunities we During the year, we continued to strengthen our manufacturing ecosystem and create invested in additional capabilities that align with our long-term vision. These tomorrow. investments are not intended merely to increase scale, but to improve flexibility, efficiency and our ability to serve evolving customer requirements. As with any growth-oriented organization, we recognize that investments often precede financial returns. We remain confident that the foundations being built today will contribute positively to the Company's performance in the years ahead. Parry Kukreja Our approach to growth continues to be guided by discipline and prudence. While pursuing expansion opportunities, we remain focused on maintaining operational Managing Director efficiency, managing resources responsibly and creating sustainable value for all stakeholders. We believe that long-term success is achieved when growth is balanced with financial discipline, strong governance and a clear strategic direction. 01 ANNUAL REPORT 2025-26 CLARA INDUSTRIES LIMITED 02 STRATEGIC REVIEW STATUTORY REPORTS FINANCIAL STATEMENTS At Clara Industries, manufacturing excellence remains at the core of our operations. FROM We continue to focus on improving productivity, strengthening quality systems and enhancing operational processes across our facilities. These efforts are aimed at VISION TO VALUE improving competitiveness, delivering consistent value to customers and creating a platform for profitable growth. Equally important is our commitment to responsible business practices. We recognize The strategic direction outlined by our leadership is translated into measurable that sustainable growth must be supported by sound governance, ethical conduct outcomes through disciplined execution, operational excellence and prudent capital and a culture of accountability. We remain committed to operating with allocation. transparency and integrity while continuously strengthening our governance framework and stakeholder engagement practices. The following section highlights the initiatives, capabilities and financial performance that demonstrate how Clara Industries is converting long-term vision into sustainable None of our achievements would have been possible without the efforts of our value for its customers, shareholders and all stakeholders. employees. Their dedication, adaptability and commitment continue to drive our progress. I would also like to express my sincere appreciation to our customers, suppliers, business partners, shareholders, lenders and all other stakeholders for their STRATEGIC GROWTH continued trust and support. Expanding capabilities to support future opportunities. As we look ahead, our priorities remain clear. We will continue to focus on strengthening capabilities, improving efficiencies and leveraging the investments made over the past few years. While we remain mindful of external uncertainties, we are optimistic about the opportunities that lie ahead and confident in our ability to OPERATIONAL EXCELLENCE create long-term value. Building efficiency through disciplined execution. The progress achieved during FY2025-26 represents another important step in our journey. We have continued to build, strengthen and prepare. As the foundations become stronger, we believe the benefits of these efforts will increasingly translate into improved performance and profitability. SUSTAINABLE PROFITABILITY Creating long-term value through With your continued support, we look forward to shaping the next phase of growth prudent investments. for Clara Industries. Warm Regards, Turning strategic intent into Parry Kukreja measurable outcomes. Managing Director 03 ANNUAL REPORT 2025-26 CLARA INDUSTRIES LIMITED 04 STRATEGIC REVIEW STATUTORY REPORTS FINANCIAL STATEMENTS Dear Shareholders, MESSAGE FROM THE CHIEF The financial year 2025–26 marked another significant milestone in Clara Industries Limited's growth journey. Against a backdrop of evolving market dynamics, fluctuating input costs and an increasingly competitive business environment, the Company remained steadfast in its commitment to strengthening its financial FINANCIAL foundation while investing in capabilities that will support sustainable long-term value creation. Our financial philosophy has always been guided by discipline, prudence and a long- OFFICER term perspective. We believe that enduring value is created not merely through short-term financial performance, but through thoughtful investments that strengthen the organisation, improve operational resilience and position the business for future “ opportunities. Financial discipline I am pleased to share that Revenue from Operations increased to ₹1,433.63 lakhs today builds the during FY2025–26 from ₹1,103.78 lakhs in the previous financial year, strength to create representing a healthy growth of nearly 30%. This performance reflects the continued trust of our customers, the dedication of our employees and the strength sustainable value NIKHIL KUKREJA of our manufacturing capabilities. It also demonstrates the Company's ability to expand its market presence while maintaining its commitment to quality, reliability tomorrow. Chief Finacial Officer and customer service. While our top-line growth remained encouraging, Pro [Showing first 8,000 characters — download PDF for full document]