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Auro Laboratories Ltd.

BSE: 530233 Sector: Health care
NSE: N.A. ISIN Code: INE292C01011
BSE 00:00 | 20 May 95.80 0.25
(0.26%)
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98.80

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NSE 05:30 | 01 Jan Auro Laboratories Ltd
OPEN 98.80
PREVIOUS CLOSE 95.55
VOLUME 3380
52-Week high 195.00
52-Week low 87.00
P/E 15.28
Mkt Cap.(Rs cr) 60
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00
OPEN 98.80
CLOSE 95.55
VOLUME 3380
52-Week high 195.00
52-Week low 87.00
P/E 15.28
Mkt Cap.(Rs cr) 60
Buy Price 0.00
Buy Qty 0.00
Sell Price 0.00
Sell Qty 0.00

Auro Laboratories Ltd. (AUROLABS) - Director Report

Company director report

To

The Shareholders

Your Directors have great pleasure in presenting the 32nd Annual Report together withthe Audited Financial Statements of the Company for the financial year ended March312021.

FINANCIAL HIGHLIGHTS:

[Amount in Lakhs except EPS]

Particulars For the Year ended March 31 2021 For the Year ended March 31 2020
Revenue from operation (Net of tax) 5425.18 4379.06
Other Income 75.79 97.26
Total Revenue 5500.97 4476.32
Profit before Finance Cost and Depreciation 1199.94 713.14
Less: Finance Cost 45.83 46.63
Less: Depreciation & Amortization expenses 103.56 102.33
Profit Before Tax 1050.55 564.18
Provision for -- Current Tax 320.09 152.48
-- Deferred Tax 12.49 6.25
Net Profit After Tax 717.97 405.45
Other Comprehensive Income (Net of tax) 1.76 11.22
Total Comprehensive Income After Tax 719.73 416.67
Earring Per Share (Basic & Diluted) 11.52 6.51

OVERVIEW OF COMPANY'S FINANCIAL PERFORMANCE:

During the year under review your Company has achieved total revenue of Rs.5500.97Lakhs as against Rs.4476.32 Lakhs in the previous year. The Profit after tax was Rs.717.97Lakhs as against Profit of Rs.405.45 Lakhs in the previous year.

Your Company is undertaking expansion plan in existing unit to increase productioncapacity and undertaking active efforts towards accelerating the growth speed and isoptimistic about better performance in the future.

IMPACT ON BUSINESS OPERATIONS OF YOUR COMPANY ON ACCOUNT OF COVID-19 PANDEMIC:

The Company continues to monitor the impact of Covid 19 on its business including itsimpact on customers supply chain employees and logistic. The Company has considered thepossible effects that may result from the pandemic but it is expected that being an partof the pharmaceutical industry and a manufacturer of essential products the effects wouldbe minimal. It is expected that the pharmaceutical industry would be largely insulatedfrom the effects of the pandemic and should sustain the growth rates globally. Thechallenge would be felt mainly in terms of rising costs of inputs and services especiallyshipping costs that will put a strain on margins and earnings.

DIVIDEND:

To consolidate the financial position of the Company the Board does not propose anydividend for the year ended March 312021.

TRANSFER TO RESERVES:

No amount is proposed to be transferred to Reserves out of the profits earned duringthe Financial Year 2020-2021.

PUBLIC DEPOSIT:

The Company has not accepted any deposits from the public within the meaning of Section73 of the Companies Act 2013 and the Companies (Acceptance of Deposits) Rules 2014.

CAPITAL STRUCTURE OF THE COMPANY:

> Authorized Share Capital:-

The Authorized Share Capital of the Company as at March 31 2021 was Rs.70000000/-(Rupees Seven Crores only) divided into 7000000 (Seventy Lakhs) Equity shares of 10/-each.

> Issued Subscribed & Paid-up share Capital:-

The Paid up Equity share Capital as at March 31 2021 was Rs.62325000/- (Rupees SixCrores Twenty-Three Lakhs Twenty-Five Thousand only) divided into 6232500 (Sixty-TwoLakhs Thirty-Two Thousand Five Hundred) Equity shares having face value of Rs.10/- eachfully paid up.

During the year under review the Company has not issued any shares with differentialvoting rights nor granted any stock neither options nor sweat equity.

SUBSIDIARIES JOINT VENTURES & ASSOCIATE COMPANIES:

The Company does not have any subsidiaries joint ventures & associate companies.

CHANGE IN THE NATURE OF BUSINESS:

There was no change in the nature of business activities during the financial year2020-21.

PARTICULARS OF LOANS GUARANTEES OR INVESTMENTS:

The Company has not given any loans or made investments or provided guarantees orsecurities hence provisions of 186 of the Companies Act 2013 does not apply to theCompany.

BOARD OF DIRECTORS & KEY MANAGERIAL PERSONNEL:

DIRECTORS

> Composition:

The Board of Directors includes the Executive Non-Executive and Independent Directorsso as to ensure proper governance and management. Besides the Chairman & ManagingDirector who is an Executive Director the Board comprises of One (1) Executive DirectorTwo (2) Independent Directors and One (1) Independent Woman Director as on March 31 2021.

> Re-appointments:

In accordance with the provisions of Section 152 (6) of the Companies Act 2013 and theArticles of Association of the Company Mr. Siddhartha Deorah Director of the Companyretires by rotation and being eligible has offered himself for re-appointment.

The Board of Directors at their meeting held on May 24 2021 appointed Mr. KiranKulkarni (DIN: 09175595) as a Whole Time Director of the Company subject to the approvalof shareholders for a period of 3 (Three) Years w.e.f. May 24 2021. The Company hasappointed Ms. Kavita Sharma as an Independent Director of the Company for a term of 5years w.e.f. February 112021 by Postal Ballot process.

The Board of Directors on the recommendation of the Nomination and RemunerationCommittee seek approval of the shareholders for re-appointment of Mr. Sharat Deorah asChairman & Managing Director and Mr. Siddhartha Deorah as Whole Time Director of theCompany for a period of 3(Three) Years w.e.f. April 1 2022.

KEY MANAGERIAL PERSONNEL:

The Company is having the following persons as the Key Managerial Personnel.

Sr. No. Name of Personnel Designation
1. Mr. Sharat Deorah Chairman and Managing Director
2. Mr. Siddhartha Deorah Whole-time Director
3. Mr. Amit Shah Chief Financial Officer
4. Ms. Shanu Nag Company Secretary

During the Financial Year under review there was no change in the Key ManagerialPersonnel of the Company.

DECLARATION BY INDEPENDENT DIRECTORS:

All Independent Directors of the Company have given declarations that they meet thecriteria of independence as laid down under Section 149(6) of the Act and Regulation 16(1)(b) of the SEBI (LODR) Regulations 2015 ("Listing Regulations"). In the opinionof the Board the Independent Directors fulfill the conditions of independence specifiedin Section 149(6) of the Act and Regulation 16(1) (b) of the Listing Regulations. TheIndependent Directors have also confirmed that they have complied with the Company's Codeof Conduct.

EXTRACT OF ANNUAL RETURN:

In accordance with the Companies Act 2013 read with the applicable Rules the AnnualReturn in the prescribed format can be accessed at www.aurolabs.com.

NUMBER OF MEETINGS OF THE BOARD OF DIRECTORS:

The Board met 4 (Four) times during the financial year 2020-21. The meeting details areprovided in the Corporate Governance Report that forms a part of this Annual Report.

DIRECTORS RESPONSIBILITY STATEMENT:

Pursuant to Section 134 (3)(c) of the Companies Act 2013 the Directors confirm that:

(a) In the preparation of the Annual Accounts the applicable accounting standards hadbeen followed along with proper explanation relating to material departure if any;

(b) The Directors had selected such accounting policies and applied them consistentlyand made judgments and estimates that are reasonable and prudent so as to give a true andfair view of the state of affairs of the company at the end of the financial year and ofthe profit and loss of the company for that period;

(c) The Directors had taken proper and sufficient care for the maintenance of adequateaccounting records in accordance with the provisions of this Act for safeguarding theassets of the company and for preventing and detecting fraud and other irregularities;

(d) The Directors had prepared the annual accounts on a going concern basis;

(e) The Directors had laid down internal financial controls to be followed by thecompany and that such internal financial controls are adequate and were operatingeffectively;

(f) The Directors had devised proper systems to ensure compliance with the provisionsof all applicable laws and that such systems were adequate and operating effectively.

COMMITTEES OF THE BOARD:

Currently the Board has 4 (Four) Committees: Audit Committee Nomination &Remuneration Committee Stakeholders Relationship Committee and Corporate SocialResponsibility Committee. The Composition of various committees and compliances as perthe applicable provisions of the Companies Act 2013 and the Rules there under and SEBI(Listing Obligations & Disclosure Requirements) Regulations 2015 are as follows:

> AUDIT COMMITTEE:

The details pertaining to the composition of the Audit Committee are included in theCorporate Governance Report which is a part of this report.

> NOMINATION & REMUNERATION COMMITTEE:

The details pertaining to the composition of the Nomination and Remuneration Committeeare included in the Corporate Governance Report which is a part of this report.

> STAKEHOLDERS RELATIONSHIP COMMITTEE:

The details pertaining to the composition of the Stakeholders Relationship Committeeare included in the Corporate Governance Report which is a part of this report.

> CORPORATE SOCIAL RESPONSIBILITY COMMITTEE:

The brief outline of the Corporate Social Responsibility (CSR) policy of the Companyand the initiatives undertaken by the Company on CSR activities during the year underreview are set out in Annexure ‘A' of this report. For other details regardingthe CSR Committee please refer to the Corporate Governance Report which is a part ofthis report. The Corporate Social Responsibility Policy can be accessed from the Company'swebsite www.aurolabs.com.

> INDEPENDENT DIRECTORS MEETING:

As stipulated by the Code of Independent Directors under Schedule IV of the CompaniesAct 2013 and the SEBI (Listing Obligations and Disclosure Requirements) Regulations2015 the Independent Directors of the Company shall hold at least one meeting in a yearwithout the presence of Non Independent Directors and members of the management. All theindependent Directors shall strive to be present at such meeting.

The independent Directors in their meeting shall inter alia-

(a) review the performance of non-independent Directors and the board of Directors as awhole;

(b) review the performance of the Chairman of the listed entity taking into accountthe views of executive Directors and non-executive Directors;

(c) assess the quality quantity and timeliness of flow of information between themanagement of the listed entity and the Board of Directors that is necessary for the Boardof Directors to effectively and reasonably perform their duties.

Independent Directors met 1 (one) time during the year on February 11 2021 and themeeting was attended by all Independent Directors.

ANNUAL PERFORMANCE EVALUATION:

Pursuant to the provisions of the Companies Act 2013 and SEBI (LODR) Regulations 2015the company has implemented a system of evaluating performance of the Board of Directorsand of its Committees and individual directors on the basis of evaluation criteriasuggested by the Nomination and Remuneration Committee and the SEBI (LODR) Regulations2015. Accordingly the Board has carried out an evaluation of its performance after takinginto consideration various performance related aspects of the Board's functioningcomposition of the Board and its Committees culture execution and performance ofspecific duties remuneration obligations and governance. The performance evaluation ofthe Board as a whole Chairperson and Non-Independent Directors was also carried out bythe Independent Directors in their meeting held on February 112021.

Similarly the performance of various committees individual Independent and NonIndependent Directors was evaluated by the entire Board of Directors (excluding theDirector being evaluated) on various parameters like engagement analysis decisionmaking communication and interest of stakeholders.

The Board of Directors expressed its satisfaction with the performance of the Boardits committees and individual directors.

RELATED PARTY TRANSACTIONS:

Your Company has formulated a policy on related party transactions which is alsoavailable on Company's website www. aurolabs.com. This policy deals with the review andapproval of related party transactions. The Board of Directors of the Company has approvedthe criteria for making the omnibus approval by the Audit Committee within the overallframework of the policy on related party transactions. Prior omnibus approval is obtainedfor related party transactions which are of repetitive nature and entered in the ordinarycourse of business and on an arm's length basis. All related party transactions are placedbefore the Audit Committee for review and approval.

All related party transactions entered during the Financial Year were in ordinarycourse of the business and on an arm's length basis. No material related partytransactions were entered during the Financial Year by your Company. Accordingly nodisclosure is made in respect of related party transactions as required under Section134(3)(h) of the Act in Form AOC-2. Members may refer to note no. 22 of the financialstatements which sets out related party disclosures pursuant to INDAS-24.

AUDITORS:

> Statutory Auditor

M/s. Khurdia Jain & Co. Chartered Accountants Mumbai were appointed as theStatutory Auditors of the Company at the 28th Annual General Meeting (AGM) held onSeptember 29 2017 and will hold office until the conclusion of the 33rd AGM to be held in2022.

The first proviso to section 139(1) of the Companies Act 2013 has been omitted videsection 40 of the Companies (Amendment) Act 2017 notified on 7th May 2018. Therefore itis not mandatory for the Company to place the matter relating to appointment of statutoryauditor for ratification by members at every Annual General Meeting. Hence the Company hasnot included the ratification of statutory auditors in the Notice of AGM.

The Report given by M/s. Khurdia Jain & Co. Chartered Accountants on thefinancial statements of the Company for the financial year 2020-2021 is a part of theAnnual Report. There has been no qualification reservation or adverse remark ordisclaimer in their Report.

During the year under review the Auditors have not reported any matter under Section143 (12) of the Act therefore no detail is required to be disclosed under Section 134(3)(ca) of the Act.

> Internal Auditor

Pursuant to the provisions of Section 138 of the Companies Act 2013 read withCompanies (Accounts) Rules 2014 the Board on recommendation of the Audit Committee hasappointed M/s. Pokharna and Associates Chartered Accountants as internal auditors of theCompany for the financial year 2021-22.

> Secretarial Auditor

The Secretarial Audit was carried out by M/s. GMJ & Associates Company Secretariesfor the Financial Year 20202021. The Report given by the Secretarial Auditors is annexedas Annexure ‘B' and forms an integral part of this Board's Report. There hasbeen no qualification reservation or adverse remark or disclaimer in their Report.

In addition to Secretarial Audit Report M/s GMJ & Associates Company Secretarieshas issued the Secretarial Compliance Report under Regulation 24A of SEBI LODRRegulations 2015 for the financial year 2020-21.

The Board of Directors reply to the comments of the Secretarial Auditor in the AnnualSecretarial Compliance Report is that the Board has maintained the requisite informationrequired under Regulation 3(5) of the SEBI Insider Trading Regulations 2015 in MicrosoftExcel during the financial year. The Company is in process of purchasing the requisitesoftware.

During the year under review the Secretarial Auditors had not reported any matterunder Section 143(12) of the Act therefore no detail is required to be disclosed underSection 134 (3)(ca) of the Act.

In terms of Section 204 of the Act read with the Companies (Appointment andRemuneration of Managerial Personnel) Rules 2014 the Audit Committee recommended and theBoard of Directors have reappointed M/s. GMJ & Associates Company Secretaries as theSecretarial Auditors of the Company in relation to the financial year ending March312022. The Company has received their written consent that the appointment is inaccordance with the applicable provisions of the Act and rules framed there under.

> Cost auditor:

Pursuant to the provisions of Section 148 of the Companies Act 2013 read with theCompanies (Cost Records and Audit) Rules 2014 as amended from time to time Cost Auditwas not applicable to the Company for the financial year 2020-2021.

The Board of Directors on the recommendation of the Audit Committee have appointedM/s. Poddar & Co. Cost Accountants as the Cost Auditors to audit the cost accounts ofthe Company for the Financial Year 2021-22 at a remuneration of Rs. 50000/- plus GST asapplicable and reimbursement of out of pocket expenses.

The Company had received his written consent that the appointment will be in accordancewith the applicable provisions of the Companies Act 2013 and rules framed thereunder. Asrequired under the Companies Act 2013 a resolution seeking member's approval forremuneration payable to the Cost Auditor forms part of the Notice convening the AnnualGeneral Meeting.

> POLICY ON DIRECTORS' APPOINTMENT AND REMUNERATION AND OTHER DETAILS:

The Company's policy on directors' appointment and remuneration and other mattersprovided in Section 178(3) of the Companies Act 2013 has been disclosed in the CorporateGovernance Report which is a part of this report and is also available onwww.aurolabs.com.

CODE OF CONDUCT:

Your Company is committed to conducting its business in accordance with the applicablelaws rules and regulations and highest standards of business ethics. In recognitionthereof the Board of Directors has implemented a Code of Conduct for adherence by theDirectors (including Independent Directors) Senior Management Personnel and Employees ofthe Company. This will help in dealing with ethical issues and also foster a culture ofaccountability and integrity. The Code has been posted on the Company's www.aurolabs.com.

All the Board Members and Senior Management Personnel have confirmed compliance withthe Code.

PARTICULARS OF EMPLOYEES:

The disclosures relating to remuneration and other details as required under Section197 (12) of the Act read with Rule 5 (1) of the Companies (Appointment and Remuneration ofManagerial Personnel) Rules 2014 forms part of this Report. Having regard to theprovisions of the second proviso to Section 136(1) of the Act and as advised the AnnualReport excluding the aforesaid information is being sent to the members of the Company.The said information is available for inspection by the members at the registered officeof the Company during working hours on working days up to the date of the Annual GeneralMeeting and if any member is interested in obtaining as copy thereof such member maywrite to the Company Secretary/ Compliance Officer.

Further Pursuant to Section 197 of the Companies Act 2013 read with Rule 5(2) and (3)of the Companies (Appointment and Remuneration of Managerial Personnel) Rules 2014 wasnot applicable to the Company during the Financial Year 20202021.

INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY:

The Company has an Internal Control System commensurate with the size scale andcomplexity of its operations. The scope and authority of the Internal Audit function isdefined by the Audit Committee. To maintain its objectivity and independence the InternalAudit function reports to the Chairperson of the Audit Committee of the Board & to theManaging Director.

The Internal Audit monitors and evaluates the efficacy and adequacy of internal controlsystem in the Company its compliance with operating systems accounting procedures andpolicies of the Company.

Based on the report of internal auditor the Company undertakes corrective action intheir respective areas and thereby strengthens the controls. Significant auditobservations and recommendations along with corrective actions thereon are presented tothe Audit Committee of the Board.

RISK MANAGEMENT:

Your Company recognizes that risk is an integral part of business and is committed tomanaging the risks in a proactive and efficient manner; your Company periodically assessesrisks in the internal and external environment along with the cost of treating risks andincorporates risk treatment plans in the strategy business and operational plans.

The Company has in place a Risk Management Policy

(a) to ensure that all the current and future material risk exposures of the Companyare identified assessed quantified appropriately mitigated minimized and managed i.e.to ensure adequate systems for risk management.

(b) to establish a framework for the company's risk management process and to ensureits implementation.

(c) to enable compliance with appropriate regulations wherever applicable through theadoption of best practices

(d) to assure business growth with financial stability.

There are no risks which threaten the existence of the Company.

VIGIL MECHANISM / WHISTLE BLOWER POLICY:

The Company has adopted a Whistle Blower Policy to provide a formal mechanism to theDirectors and Employees to report their concerns about unethical behaviour actual orsuspected fraud or violation of the Company's Code of Conduct or Ethics Policy. The policyprovides for adequate safeguards against victimization of employees who avail of themechanism and also provides for direct access to the Chairperson of the Audit Committee.It is affirmed that no personnel of the Company has been denied access to the AuditCommittee. The Whistle Blower Policy has been posted on the website of the Companywww.aurolabs.com.

DISCLOSURE UNDER THE SEXUAL HARASSMENT OF WOMEN AT WORK PLACE (PREVENTION PROHIBITIONAND REDRESSAL) ACT 2013:

The Company has a Policy on prohibition prevention and redressal of sexual harassmentof women at workplace and matters connected therewith or incidental thereto covering allthe aspects as contained under "The Sexual Harassment of Women at Work Place(Prevention Prohibition and Redressal) Act 2013".

During the financial year 2020-2021 no complaint was received under the policy.

PARTICULARS REGARDING CONSERVATION OF ENERGY TECHNOLOGY ABSORPTION AND FOREIGNEXCHANGE EARNING AND OUTGO:

The information on conservation of energy technology absorption and foreign exchangeearnings and outgo pursuant to Section 134(3)(m) of the Companies Act 2013 read with theRule 8(3) of the Companies (Accounts) Rules 2014 is given as under:

A. CONSERVATION OF ENERGY:

1. the steps taken or impact on conservation of energy:

During the year Company continued to focus on minimizing the energy consumption andthe measures taken are summarised below:

a] Due consideration has been given to energy consumption while procuring equipment's.

• As a responsible Corporate Citizen and in adherence to our climate changestrategy the Company is continuously taking effective steps to conserve energy and toreduce methane and other Green Houses Gases (GHG) emissions wherever feasible.

• Except the emergency lights all lights and electrical gadgets are turned offafter working hours and on holidays at office premises of the Company to help inminimising the energy consumption.

Total energy consumption and under energy consumption per unit of the production as

Particulars March 312021 March 312020
I. ELECTRICITY
a. Purchase Unit (in lakhs) 16.17 15.02
i. Total Amount (Rs. In lakhs) 145.90 148.69
ii. Rate / Unit (Rs.) 9.02 9.89
b. Own generation (through diesel Generator) NIL NIL
Particulars March 312021 March 312020
II. LIGHT DIESEL OIL LDO/ FURNACE OIL / BRIQUETTE
(For Production) Quantity (Ltr./kg. In Lakhs)
a. LDO Ltr. 0.07 0.19
b. FURNACE OIL Ltr. 0.74 0.37
c. BRIQUETTES Kg. 18.36 17.88
Total Amount (Rs. In lakhs)
a. LDO 5.69 14.16
b. FURNACE OIL 23.12 12.03
c. BRIQUETTES 123.68 125.18
Average rate per Ltr. /Kg. (Rs.)
a. LDO Ltr. 81.28 74.47
b. FURNACE OIL Ltr. 32.51 32.51
c. BRIQUETTES Kg. 6.73 7.01
III. CONSUMPTION PER KG. OF PRODUCTION
a. Products (Kg.) 1624000 1520000
b. Electricity (Rs.) 8.98 9.78
c. Diesel / FO / Briquette (Rs.) 9.38 9.96

b) The steps taken by the Company for utilising alternate sources of energy: NotApplicable

c) The capital investment on energy conservation equipment's: Not Applicable

B. TECHNOLOGY ABSORPTION

Technology absorption adaptation and innovation: Not Applicable

(i) the efforts made towards technology absorption during the year under review are:

(ii) the benefits derived like product improvement cost reduction product developmentor import substitution:

(iii) in case of imported technology (imported during the last three years reckonedfrom the beginning of the financial year):

(a) the details of technology imported

(b) the Year of import

(c) whether the technology been fully absorbed;

(iv) During the year Company has not incurred any R&D Expenditure

C. FOREIGN EXCHANGE EARNINGS AND OUTGO:

The Foreign Exchange earned in terms of actual inflows during the year and the ForeignExchange outgo during the year in terms of actual outflows:

Particulars March 312021 (Amount in Lakhs) March 312020 (Amount in Lakhs)
Foreign Exchange outgo
-CIF Value of Import: 1132.35 1158.76
-Foreign travelling expenses: 5.28 40.53
Foreign Exchange earned
-FOB/CIF / CNF Value of export: 4549.78 2853.85

ENVIRONMENT AND SAFETY:

The Company is committed to:

• Maintain an organizational culture of Health Safety & Environmentalexcellence by conducting its business in a manner that will promote consistentdevelopment.

• Safe work resource conservation waste management and emergency responsemeasures for continual improvement in performance.

• Design construct operate & maintain its facilities while assuring the bestmaterial and service quality and operate in a way that mitigates and minimizes risks andhazards.

• Prevention of ill-health injuries and pollution by adopting best practicescarrying out periodic risk assessments audits reviews inspections and providingawareness to employees and concerned stakeholders.

DEPOSITORY SERVICES:

The Company's Equity Shares have been admitted to the depository mechanism of theNational Securities Depository Limited (NSDL) and also the Central Depository Services(India) Limited (CDSL). As a result the investors have an option to hold the shares of theCompany in a dematerialized form in either of the two Depositories. The Company has beenallotted ISIN No. INE292C01011.

Shareholders therefore are requested to take full benefit of the same and lodge theirholdings with Depository Participants [DPs] with whom they have their Demat Accounts forgetting their holdings in electronic form.

CORPORATE GOVERNANCE AND MANAGEMENT DISCUSSION & ANALYSIS REPORTS:

The Company adheres to the requirements set out by the Securities and Exchange Board ofIndia's Corporate Governance practices and has implemented all the stipulationsprescribed. The Company has implemented several best corporate governance practices.

The Corporate Governance and Management Discussion & Analysis Report which form anintegral part of this Report are set out as separate Annexures together with theCertificate from the Secretarial Auditors of the Company regarding compliance with therequirements of Corporate Governance as stipulated in Listing Regulations.

BUSINESS RESPONSIBILITY REPORTING:

The Business Responsibility Reporting as required by Regulation 34(2) of the SEBI(Listing Obligations & Disclosure Requirements) Regulations 2015 is not applicableto the Company for the financial year ending March 312021.

THE DETAILS OF SIGNIFICANT AND MATERIAL ORDERS PASSED BY THE REGULATORS OR COURTS ORTRIBUNALS IMPACTING THE GOING CONCERN STATUS AND COMPANY'S OPERATIONS IN FUTURE:

There are no significant / material orders passed by the Regulators or courts orTribunals impacting the going concern status of your Company and its operations in future.

MATERIAL CHANGES AND COMMITMENT IF ANY AFFECTING THE FINANCIAL POSITION OF THE COMPANYOCCURRED BETWEEN THE END OF THE FINANCIAL YEAR TO WHICH THE FINANCIAL STATEMENTS RELATESAND THE DATE OF THE REPORT:

There were no material changes and commitments affecting the financial position of theCompany which have occurred between the end of the Financial Year of the Company to whichthe Financial Statements related i.e. March 312021.

LISTING:

The Company's Shares are listed on BSE Limited Mumbai. The Company has paid ListingFees for the year 2021-22.

AFFIRMATION ON COMPLIANCE OF SECRETARIAL STANDARDS:

The Board of Directors of the Company has affirmed with the compliances of SecretarialStandards issued by Institute of Company Secretaries of India.

APPRECIATION:

Your Directors would like to express their sincere appreciation to the company'sShareholders Vendors and Stakeholders including Banks Government authorities otherbusiness associates who have extended their valuable sustained support and encouragementduring the year under review. Your Directors also wish to place on record theirappreciation for the hard work solidarity cooperation and support of employees at alllevels.

For and on behalf of the Board of Directors

AURO LABORATORIES LIMITED

Sharat Deorah
(DIN:00230784)
Date : August 5 2021. Chairman & Managing Director
Place : Mumbai

.