To,

The Members

Birla Precision Technologies Limited

Your Directors take pleasure in presenting the 39^th Annual Report on the Audited Financial Statements of the Company for the financial year ended March 31, 2026.

The Company's Financial performance for the financial year ended March 31, 2026 as compared to the previous financial year ended March 31, 2025 is summarized below:

(INR in lakhs)

During the financial year under review, total revenue was INR 24,753.15 lakhs as against INR 20,951.04 lakhs in the corresponding previous financial year, registering a healthy growth of

18.14%.

EBITDA for the year under review stood at INR 2,603.74 Lakhs as against INR 2,102.76 Lakhs in the previous financial year. Profit Before Tax ("PBT") stood at INR 1,630.30 Lakhs as against INR 787.50

Lakhs in the previous financial year, while Profit After

Tax ("PAT") increased to INR 1,162.36 Lakhs from

INR 542.97 Lakhs in the previous financial year.

During the financial year under review, the Company's total revenue increased to INR 25,576.60 Lakhs from INR 21,601.95 Lakhs in the previous financial year, registering a healthy growth of 18.40%. The growth was primarily driven by improved sales volumes, better product realisations, and sustained operational performance across the Company's business segments.

The Company's operating performance remained strong during the year, with EBITDA increasing to INR 2,580.37 Lakhs from INR 2,075.31

Lakhs in the previous financial year, reflecting improved operational efficiencies and better cost management. Profit Before Tax (PBT) increased significantly to INR 1,605.00 Lakhs from INR 845.08 Lakhs, while ProfitAfter Tax (PAT) rose to INR 1,127.27 Lakhs as against INR 585.14 Lakhs in the previous financial year.

The Company's strong financialperformance demonstrates the effectiveness of its business strategy, disciplined cost control measures, and focus on operational excellence. The management remains committed to improving productivity, strengthening customer relationships, expanding market presence, and creating sustainable value for all stakeholders. With a healthy financial position and continued emphasis on operational efficiencies and strategic initiatives, the Company is well positioned to capitalize on future growth opportunities and deliver consistent long-term performance.

The detailed financial statements, together with the Management Discussion and Analysis Report forming part of this Annual Report, provide a comprehensive review of the operational and financial performance of the Company during the financial year under review.

The Board of Directors, at its meeting held on May 29, 2026, recommended a Final Dividend of INR 0.05 per equity share of face value of INR 2 each for the financial year ended March 31, 2026, subject to the approval of the members at the ensuing 39^th Annual General Meeting ("AGM").

Further, during the year under review, the Company declared and paid a Final Dividend for the financial year 2024-25 of INR 0.05 (Five paise only) per equity share of INR 2 each, which was subsequently approved by the shareholders at their meeting held on September 18, 2025. The dividend was duly distributed to the shareholders within the prescribed timeline.

The Board has not proposed to transfer any amount to the General Reserve Account for the financial year ended March 31, 2026.

During the financial year under review, the

Company allotted 24,00,000 Equity Shares on September 29, 2025 pursuant to the conversion of an equivalent number of Fully Convertible Warrants ("Warrants"). The Warrants were originally issued during the financial on a preferential basis to the Promoter Group and certain identified Non-Promoter at an issue price of INR 64 per warrant (face value of INR 2 and securities premium of INR 62).

As on March 31, 2026, the entire proceeds received upon conversion of the Fully Convertible Warrants had been fully utilised towards the objects stated in the Explanatory Statement and other offer documents relating to the preferential issue. The utilisation of proceeds was monitored in accordance with the applicable provisions of the SEBI ICDR Regulations and the details thereof were disclosed in the Statement of Utilisation of Funds submitted to the Stock Exchange.

Form AOC-1 forms part of the Consolidated Financial Statements included in this Annual Report.

Pursuant to Regulation 34(2)(e) read with Schedule V of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 ("SEBI Listing Regulations"), the Management Discussion and Analysis Report, forming part of this Annual Report in a separate section, provides a detailed review of the

Company's operations, financial performance, industry developments, business outlook and other matters.

As on March 31, 2026, the Board of Directors comprised nine (9) Directors, consisting of three (3) Executive Directors, including one Managing Director, and six (6) Independent Directors, of 2023 24 whom two (2) are Women Independent Directors.

During the financial year 2025 26, the following changestookplaceinthecompositionoftheBoard:

As on March 31, 2026, Mr. Vedant Birla, Chairman & Executive Director, Mr. Ravinder Chander Prem, Managing Director, Mr. Santhosh Kumar, Executive Director and Ms. Sweta Gupta, Company Secretary

& Compliance Officer, were the Key Managerial

Personnel ("KMP") of the Company in accordance with the provisions of Sections 2(51) and 203 of the Act read with the Companies (Appointment and Remuneration ofManagerialPersonnel)Rules, 2014.

During the financial year 2025 26, the following changestookplaceintheKeyManagerialPersonnel of the Company:

02, 2025.

Company Secretary & Compliance Officer with effect from September 17, 2025.

After the close of the financial year, Mr. Daulat Jain was appointed as the Chief Financial Officer of the

In accordance with the provisions of Section 152 of the Act and the Articles of Association of the Company, Mr. Ravinder Chander Prem (DIN: 07771465), Managing Director, is liable to retire by rotation at the AGM and, being eligible, offers himself for re-appointment.

Based on the recommendation of the Nomination and Remuneration Committee, the Board of Directors at its meeting held on May 29, 2026, has recommended his re-appointment as a Director of the Company, liable to retire by rotation, subject to the approval of the members of the Company at the AGM.

None of the Directors are disqualified from being appointed as Directors as specified under Section

164(1) and 164(2) of the Act read with Rule 14(1) of the Companies (Appointment and Qualifications of Directors) Rules, 2014 or are debarred or disqualified by the Securities and Exchange Board of India ("SEBI"), Ministry of Corporate Affairs ("MCA") or such other statutory authority.

Further, the Company has received declarations from all the Independent Directors of the

Company confirming that they met the criteria of

Independence as prescribed under Section 149 (6) of the Act and Regulation 16(1)(b) of SEBI Listing Regulations.

TheBoardofDirectorsoftheCompanyisoftheview that all the Independent Directors fulfil the criteria of independence and they are independent from themanagementoftheCompany.TheIndependent

Directors have also the registration requirements prescribed under the Companies (Appointment and Qualification of

Directors) Rules, 2014 and, wherever applicable, have complied with the proficiency requirements, if applicable.

Pursuant to Regulation 25(7) of the SEBI Listing Regulations, the Company has in place a Familiarization Programme for its Independent Directors to familiarize them with the Company, its business and operations, the industry in which it operates, its business model, governance framework, and their roles, rights, and responsibilities. Further, at the time of appointment, each Independent Director is issued a formal letter of appointment setting out the terms and conditions of appointment, including their role, functions, duties, and responsibilities.

The details of the Familiarization Programme conducted during the year, including the web link to the Programme, are provided in the Report on Corporate Governance forming part of this Annual Report.

The Company has in place a Nomination and RemunerationPolicyformulatedbytheNomination and Remuneration Committee and approved by the Board.

The policy is available on the Company's website at: compliance with https://birlaprecision.com/investor-section-policies. php The policy contains, inter alia, principles governing Directors', KMPs, Senior Management Personnel appointment and remuneration, including criteria for determining qualifications, positive attributes, independence of Directors, etc.

During the financial year under review, ten (10) meetings of the Board of Directors were convened and held. The details of the Board Meetings, including attendance of the Directors, are provided in the Report on Corporate Governance forming part of this Annual Report.

The gap between any two consecutive Board Meetings did not exceed 120 days (One hundred and twenty), as prescribed under the Act and the SEBI Listing Regulations.

As on March 31, 2026, the Board had constituted four Committees, namely:

The composition, roles and responsibilities of these Committees are in compliance with the applicable provisions of the Act and the SEBI Listing Regulations.

During the financial year under review, all recommendations made by the Committees of the Board were accepted by the Board. Details of the composition of the Committees, their terms of reference, meetings held and attendance of members are provided in the Report on Corporate Governance forming part of this Annual Report.

Pursuant to Section 134(3)(c) read with Section 134(5) of the Act, as amended, the Directors confirm that: a. in the preparation of the annual accounts, the applicable accounting standards had 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. proper and sufficient care has been taken for the maintenance of adequate accounting records in accordance with the provisions of this Act for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities; d. the annual accounts had been prepared on a going concern basis; e. the internal financial controls laid down by them arefollowedbytheCompanyandthatsuchinternal financial controls are adequate and were operating effectively; and f. proper systems are devised to ensure compliance with the provisions of all applicable laws and by the appointment of Ms that such systems were adequate and operating effectively.

T.R. Chadha & Co. LLP, Chartered Accountants (Firm Registration No. 006711N/N500028), were appointed as the Statutory Auditors of the Company at the 38th Annual General Meeting held on September 18, 2025, to hold office the conclusion of the said AGM until the conclusion of the 43rd Annual General Meeting at such remuneration as may be determined by the Board of Directors in consultation with the Statutory Auditors.

The Statutory Auditors' Report for the financial year ended March 31, 2026 does notial information contain reservation, adverse remark or anyqualification, disclaimer. The notes to the financial statements referred to in the Auditors' Report are self-explanatory and, therefore, do not call for any further comments under Section 134(3)(f) of the Act.

The Statutory Auditors have confirmed that they continue to satisfy the criteria of independence prescribed under the Act and the Code of Ethics issued by the Institute of Chartered Accountants of India.

Pursuant to the provisions of Section 204 of the Act and the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, the members had appointed AVS & Associates, Practicing Company Secretaries (Peer Reviewed Firm) to undertake the Secretarial Audit of the Company for a term of five consecutive years from the conclusion of the 38th Annual General Meeting until the conclusion of the 43rd Annual

General Meeting to be held in the financial year 2030 31, covering the audit period of five financial years from FY 2025-26 to FY 2029-30.

Pursuant to Section 134(3)(f) of the Act, the Board provides the following explanations on the observations made by the Secretarial Auditor in the Secretarial Audit Report. The vacancy in the office of the Company Secretary & Compliance Officerarising from the resignation of the erstwhile incumbent was filled

Sweta Gupta with effect from September 17, 2025. The delay of two days in the allotment of equity shares pursuant to the conversion of warrants was procedural in nature without causing any prejudice to the warrant holders or shareholders. Following the resignation of the erstwhile Chief

Financial Officer, the Company appointed Mr. Daulat Jain as Chief Financial Officer with effect from May 29, 2026. The equity shares held by from one of the Promoters of the Company were dematerialised on March 9, 2026, resulting in the entire promoter and promoter group shareholding being held in dematerialised form. Further, the Annual Performance Report (APR) in respect of the Company's foreign Subsidiaries could not be filed within the prescribed timeline due to delays from obtainingtherequisite the overseas subsidiaries. The Company is taking necessary steps to complete the pending filing at the earliest.

The Board remains committed to strengthening the Company's compliance framework and will continue to monitor its compliance processes to ensure sustained adherence to applicable laws and regulatory requirements.

The Company has appointed M/s. Samp & Co. Chartered Accountants bearing Firm Registration Number: 023782N, as Internal Auditors of the

The Company is required to maintain cost records for certain products as specified by the Central

Government under sub-section (1) of Section 148 of the Act, and accordingly such accounts and records are prepared and maintained in the prescribed manner.

The Board of Directors, on the recommendation of the Audit Committee, appointed Mr. Jayant Galande, Cost Accountant (Membership No: 5255) as Cost Auditors for conducting the audit of Cost Records maintained by the Company for the financial year 2025-26 on a remuneration of INR

75,000 (Rupees Seventy-Five Thousand Only), which was ratified by the Shareholders at the 38^th Annual General Meeting.

The Cost Audit Report for the financial year 2025

26 is due to be submitted by the Cost Auditor within 180 days from the close of the financial year. Upon receipt of the Cost Audit Report, the

Company shall file the same with the Registrar of

Companies within the prescribed time limit under the applicable provisions of the Act and the rules made thereunder.

Further, the Board has based on the recommendation of the Audit Committee, appointed Mr. Jayant Galande, Cost Accountant (Membership No: 5255) as Cost Auditors for conducting the audit of Cost Records maintained by the Company for the financial year 2026-27 on a remuneration of INR 75,000 (Rupees Seventy-

During the financial year under review, none of the aforementioned Auditors of the Company reported any fraud under Section 143(12) of the Act.

Transactions ("RPTs") entered into by the Company were in the ordinary course of business and on an arm's length basis. The Audit Committee reviewed and approved all Related Party Transactions in accordance with the applicable provisions of the Act and the SEBI Listing Regulations and granted omnibus approvals for repetitive transactions meeting the prescribed criteria. The Audit Committee also reviewed such transactions on a quarterly basis.

All related party transactions entered into by the Company during FY 2025-26, as approved by the Board of Directors, were in the ordinary course of business, on an arm's length basis, and in accordance with the Company's Related Party Transactions Policy. None of these transactions were material in nature. Accordingly, the provisions of Section 188(1) of the Act were not attracted, and disclosure in Form AOC-2 is not required.

The Policy on Related Party Transactions is available on the Company's website at: https://birlaprecision. com/investor-section-policies.php

The Company has in place adequate internal financial controls commensurate with its size and the nature of its operations, designed to ensure orderly and efficient conductofbusiness,safeguardingofassets,prevention and detection of fraud, accuracy and completeness of accounting records and timely preparation of reliable financial information.

The Company has an established internal financial controls framework including internal controls over financial reporting, operating controls and anti-fraud framework. The Internal Financial Controls framework is reviewed periodically by the Management and the Audit Committee and is strengthened, wherever necessary, to address evolving business requirements, regulatory developments and emerging risks.

The adequacy and effectiveness of the internal financial control system and the internal audit findings are periodically reviewed by the Audit Committee. The Statutory Auditors have also evaluated the adequacy and operating effectiveness of the internal financial controls over financial reporting in accordance with the Act and their report forms part of the Independent Auditors' Report as required under Companies (Auditors Report), Order 2020.

As per the provisions of the Act, the Company has established a framework for identifying, evaluating, monitoring and mitigating risks and has laid down procedures to periodically apprise the Board of risks and mitigation measures.significant

The main objective is to ensure sustainable business growth with stability and to promote a pro-active approach in reporting, evaluating and resolving risks associated with the business. The Audit Committee of the Company has periodically reviewed the various risks associated with the business of the Company.

Such review includes risk identification, evaluation and mitigation of the risk.

Your Company is committed to maintaining the highest standards of ethics and governance, resulting in enhanced transparency of allfor the benefit stakeholders. The Report on Corporate Governance as stipulated under Regulation 34(3) read with Schedule V of the SEBI Listing Regulations forms part of this Annual Report.

The requisitecertificate from AVS & Associates,

Practicing Company Secretaries, confirming compliance with the conditions of Corporate Governance as stipulated under the SEBI Listing Regulations forms part of the Report on Corporate Governance.

The Company's Corporate Social Responsibility philosophy is guided by its commitment towards sustainable development and creating long-term value for society and its stakeholders. In compliance with Section 135 of the Act, your Company has constituted a CSR Committee. The Corporate Social Responsibility ('CSR') Committee of the Board is responsible for evaluation and implementation of CSR Projects. Salient features of the CSR Policy are as follows: o It lays down CSR Philosophy, Vision and Commitment of the Company. o It specifies guidelines for implementation of CSR

Projects through CSR Partners, including eligibility criteria for CSR Partners. o It also lays down roles and responsibilities of the CSR Committee.

The Company is committed to utilising the unspent amount towards the ongoing projects in accordance with the Annual Action Plan approved by the Board of Directors.

The CSR Policy is available on the Company's website at: https://birlaprecision.com/investor-section-policies. php

Your Company has established a Vigil Mechanism to enable its directors and employees to report genuine concerns relating to unethical behaviour, actual or suspectedfraud,orviolationsoftheCompany'sCodeof Conduct. In accordance with Regulation 22 of the SEBI Listing Regulations, the Vigil Mechanism incorporates a Whistle Blower Policy, under which protected disclosures may be made to the Compliance Officer or directly to the Chairman of the Audit Committee through the prescribed reporting channels.

The Company has instituted adequate safeguards against victimization of whistle blowers and ensures that no person who avails of the Vigil Mechanism is subjected to any unfair treatment. The Policy also provides direct access to the Chairman of the Audit Committee in appropriate or exceptional cases.

TheWhistleBlowerPolicyisavailableontheCompany's websiteat:https://birlaprecision.com/investor-section-policies.php

The Company has in place a Policy on Prevention, Prohibition and Redressal of Sexual Harassment at the Workplace in accordance with the provisions of the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013 and the Rules made thereunder. An Internal Complaints Committee ("ICC") has been constituted to redress complaints relating to sexual harassment at the workplace.

The details of complaints received and disposed of during the financial year 2025 26 are as under:

The Company confirms that it has duly complied with all applicable provisions of the Maternity

Benefit Act, 1961, which governs the employment conditions and rights of women employees during the period of maternity. The Company ensures that eligible women employees are granted maternity benefits, including paid leave, protection of employment, and other entitlements as prescribed under the Act. The necessary policies and procedures have been implemented and communicated within the organization to safeguard the welfare and rights of women employees in accordance with the said legislation.

Particularsofloans,guaranteesandinvestmentsasper Section 186 of the Act are disclosed in the standalone financial statements of the Company which forms part of this Annual Report.

The Company has complied with the applicable Secretarial Standards, namely SS-1 (Meetings of the Board of Directors) and SS-2 (General Meetings), issued by the Institute of Company Secretaries of India and notified under the Act.

Report.

Pursuant to Section 92(3) of the Act read with Rule 12 of the Companies (Management and Administration) Rules, 2014, the Annual Return of the Company as on March 31, 2026 in Form MGT-7 is available on the Company's website at: https://birlaprecision.com/ investor-section-financial-result.php

By virtue of an amendment to Section 92(3) of the Act, the Company is not required to provide an extract of the Annual Return (form MGT- 9) as part of the Board's Report.

There has been no change in the nature of business of the Company.

YourDirectorsplaceonrecordtheirsincereappreciation for the continued support and co-operation received from the members, customers, suppliers, bankers, financial institutions, business associates, regulatory authorities and Government authorities during the financial year. The Directors also place on record their appreciation for the dedication, commitment and valuable contribution of all employees, whose continued efforts have contributed significantly to the

Company's performance and growth.