Directors Report of Hawkins Cookers Ltd.

Mar 31, 2025

We have the honour to present our Sixty-Fifth Annual
Report and Audited Statement of Accounts for the year ended
March 31, 2025.

2024-25 Operations: Main Results

We are pleased to report excellent results in
2024-25. Once again, sales are the highest ever. Revenue
from operations in 2024-25 is Rs.1,115.76 crores (up 8.9%
over the previous year).

This year, profits are also the highest ever. Profit before
tax is Rs.154.87 crores (5.0% higher than the previous year).
Net profit after tax is Rs.114.69 crores (4.4% higher than the
previous year).

Management Discussion and Analysis

We operate in the Kitchenware market consisting
of Pressure Cookers, Cookware and Kitchen Electricals. The
industry structure is quite competitive with both small-scale and
organized sector units. During the year, we have successfully
launched our first electrical kitchen product, the Smart
Electronic Kettle. We have also commenced commercial
operations at our fourth factory in India at A-3, Sathariya
Industrial Development Area, Jaunpur District, Uttar Pradesh,
in the month of June 2025.

The raw material costs were very high during the
year and importing was not economical. We expect the
competition to be intense, but your brand''s strength has
continued to improve in both pressure cookers and cookware.
We expect our products to continue to do well with the 58 new
product launches we have done during the year at a rate of
more than one launch per week. We have plans of further
increasing new product launches in the next year.

Our permanent employees as on April 1,2024, were
593 and as on March 31, 2025, were 572 through normal
attrition and recruitment. The morale of our employees at
all locations is high and industrial relations are normal. We
appreciate the contribution of our employees to the successful
working of your Company.

Net profit after tax as a percentage of net sales
in 2024-25 was 10.3% as against 10.7% in 2023-24. The
average shareholders'' funds/net worth grew to Rs.358.36 crores
vs. Rs.304.81 crores in 2023-24. The net return after tax on
shareholders'' funds/net worth was 32% (in 2023-24: 36%).

Control Systems

In our judgment, the Company has adequate
financial and administrative systems and controls and an
effective internal audit function.

Key Financial Ratios

The required details of significant changes (25%
or more) in the key financial ratios for the year 2024-25 as
compared to the year 2023-24 are as follows:

Ratio	FY 2024-25	FY 2023-24	Formula used	Reason for change
Debt Equity Ratio	0.06	0.09	Total debt/ Shareholder''s equity	The improvement in these two ratios is due to improved liquidity
Debt Service Coverage Ratio	7.82	5.68	Earnings available for debt service/ Debt service	and effective working capital management, which have led to a reduction in debt.

Cash flow during the year was good. Cash and
cash equivalents plus balances with banks on deposit
accounts as on March 31, 2025, were Rs.191.21 crores
(previous year: Rs.182.56 crores). We have plans to
utilise these funds appropriately, including for working
capital, improving quality and in further expanding
production capacity.

Risks and Concerns

Your Company has a Risk Management Committee
as required under the SEBI (Listing Obligations and Disclosure
Requirements) Regulations, 2015, the details of which are
provided in the Report on Corporate Governance.

Foreseeable risks that the Company may encounter
and concerns have been addressed in a documented Risk
Management Framework and Policy which is reviewed by
the Risk Management Committee and the Board from time
to time.

Our capital and financial resources, liquidity position,
supply chain and assets are healthier than ever.

Opportunities and Threats

The excellent demand for our brands augurs well for
the future of the Company.

The cost of Aluminium, our main raw material, has
increased substantially, though the price trend currently seems
to be downwards. Your Company is taking steps to deal with
the challenge including taking appropriate price increases in
our products from April 2025.

General inflation can impact the purchasing power
of our customers.

Management continues to diligently watch the cost
trends and pursues effective cost controls from time to time
to keep our products affordable.

Outlook

We believe the outlook for our business is excellent
under the circumstances. In this year, we have further
strengthened the good reputation we have amongst our
consumers and traders, associates and vendors. We expect
to continue to increase our sales and profits.

All forward-looking statements in our report are based
on our assessments and judgments exercised in good faith at
this time. Of course, actual developments and/or results may
differ from our present anticipation.

Directors

Prof. Leena Chatterjee was re-appointed by the
shareholders at the 64th Annual General Meeting (AGM) of
the Company on August 5, 2024, as an Independent Director
for a second consecutive term of five years with effect from
August 6, 2024, on the recommendation of the Board.

General V. N. Sharma (Retd.), Independent Director,
ceased to be a Director with effect from September 18, 2024,
consequent to the completion of his second consecutive five
years'' term as an Independent Director of the Company. The
Company has immensely benefitted from his experience,
insights and inputs on all aspects during his 25 year long
association with the Company. The Directors place on record
their deep appreciation for his contribution to the Company.

All the five Independent Directors, namely,
Mr. Ravi Kant, Prof. Leena Chatterjee, Mr. Murli Aildas
Teckchandani, Mr. Shyamak Ramyar Tata and Mr. Sanjay
Khatau Asher, have given written declarations that they meet
the criteria of independence as laid down under Section
149(6) of the Companies Act, 2013, and Regulation 16(1)(b)
of the SEBI (Listing Obligations and Disclosure Requirements)
Regulations, 2015.

Mr. Sudeep Yadav retires by rotation as a Director
at the 65th AGM of the Company and, being eligible, offers
himself for re-appointment for which the Board has resolved
to recommend to the shareholders a suitable resolution.

The present tenures of Mr. Subhadip Dutta Choudhury,
Chairman and Managing Director designated as the Chief
Executive Officer, and Mr. Sudeep Yadav, Vice-Chairman
and Chief Financial Officer, will end on September 30, 2025.
Pursuant to the recommendations of the Nomination and
Remuneration Committee and the Audit Committee, the Board
at its Meeting (Serial No.41) held on May 28, 2025, approved
and resolved to recommend to the shareholders suitable
resolutions for the re-appointments of Mr. Dutta Choudhury as
the Chairman and Managing Director designated as the Chief
Executive Officer and Mr. Yadav as the Vice-Chairman and
Chief Financial Officer for a further period of three years each
with effect from October 1,2025, on revised terms as stated in
the Notice to Shareholders for the 65th AGM of the Company.

All the Directors, including Independent Directors,
were extensively updated on the Company''s performance
and plans on May 27, 2025. The required details of the
Independent Directors'' Familiarization Programs are available
at https://www.hawkinscookers.com/idfp.

2024-25 Operations: Other Aspects

The value of exports at Rs.73.28 crores in 2024-25 was
up 30.2% over the previous year. Foreign Exchange used in
2024-25 was Rs.39.02 crores (Rs.19.81 crores in the previous
year). Your Company has been recognised as a two-star
export house.

Our Research & Development Unit is recognised by
the Department of Scientific and Industrial Research. The
expenditure on Research & Development in 2024-25 was
Rs.10.50 crores, 36.6% higher than the previous year. Required
details are given in Appendix I.

Efforts continue in our factories and offices to save
energy wherever possible.

The required details of Fixed Deposits taken under
Sections 73 and 76 of the Companies Act, 2013, are as follows:

(a) Additional Amount accepted during the year:
Rs.2.66 crores.

(b) Amount that remained unpaid or unclaimed as
at the end of the year: Nil.

(c) Default in repayment of deposits or payment of
interest thereon: Nil.

Dividend Distribution Policy

Your Company has a Dividend Distribution Policy in
terms of the requirements of the Listing Regulations. The Policy
is available on the website of the Company at https://www.
hawkinscookers.com/download/DividendDistributionPolicy.pdf.

Appropriations and Dividend

Out of the amount available for appropriation of
Rs.324.94 crores (previous year: Rs. 276.18 crores), we propose:

• Rs.1.00 crore transfer to General Reserve (previous
year: Rs.1.00 crore) and

• Rs.323.94 crores as surplus carried to the Balance
Sheet (previous year: Rs.275.18 crores).

In accordance with the Dividend Distribution Policy of
the Company we are pleased to recommend Rupees One
Hundred and Thirty as dividend per Equity Share of Rs.10 (previous
year: Rupees One Hundred and Twenty per Equity Share).

Directors’ Responsibility Statement

The Board confirms that:

1. The Directors have taken proper and sufficient
care for the maintenance of adequate accounting records
in accordance with the provisions of the Companies Act,
2013, for safeguarding the assets of the Company and for
preventing and detecting fraud and other irregularities.

2. In the preparation of the Annual Accounts, the
applicable accounting standards have been followed and
proper explanation given relating to material departures, if
any. The Directors have prepared the Annual Accounts on a
going-concern basis.

3. The Directors 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 as
at the end of the financial year and of the profit and loss of
the Company for that period.

4. Based on the framework of the internal financial
controls and compliance systems established and maintained
by the Company, the work performed by the Internal, Statutory
and Secretarial Auditors, including audit of the internal financial
controls over financial reporting by the Statutory Auditors,
and the reviews performed by the Management and the
relevant Board Committees, including the Audit and the Risk
Management Committees, the Board is of the opinion that
the Company''s internal financial controls were adequate and
effective during the financial year 2024-25.

5. The Directors have devised proper systems that
are, in our opinion, adequate and operating effectively to
ensure compliance with the provisions of all applicable laws.

Code of Conduct

The Board has a Corporate Governance Code of
Conduct for all the Directors of the Board and the Senior
Managers of the Company. This Code is available on the
website of the Company. All Directors and Senior Management
Personnel have affirmed compliance with the Code. A
declaration to this effect signed by the Chairman and Chief
Executive Officer of the Company appears elsewhere in this
Annual Report.

The Maternity Benefit Act, 1961

The Company has complied with the required
provisions of The Maternity Benefit Act, 1961.

Sexual Harassment of Women at Workplace
(Prevention, Prohibition and Redressal) Act, 2013

The Company has constituted Internal Complaints
Committees at each of the five locations of the Company
under the Sexual Harassment of Women at Workplace
(Prevention, Prohibition and Redressal) Act, 2013, to redress
complaints received regarding sexual harassment. In the
year 2024-25, no case of sexual harassment was filed under
the said Act.

Corporate Governance

A separate section on Corporate Governance forms
part of our Report. A certificate has been received from
the Auditors of the Company regarding compliance of the
conditions of Corporate Governance as stipulated under
the SEBI (Listing Obligations and Disclosure Requirements)
Regulations, 2015. Both appear elsewhere in the Annual Report.

Business Responsibility and Sustainability Report

A separate section on Business Responsibility and
Sustainability forms part of our Report describing the initiatives
taken by the Company from an environmental, social and
governance perspective. The Business Responsibility and
Sustainability Policy has been placed on the Company''s
website at https://www.hawkinscookers.com/download/
BRSPolicy.pdf.

Auditors

M/s. Kalyaniwalla & Mistry LLP (Firm Registration
No.104607W/W100166), Chartered Accountants, had been
re-appointed as the Statutory Auditors of the Company at the
62nd Annual General Meeting held on August 4, 2022, for a
second consecutive term of five years from the conclusion
of the 62nd Annual General Meeting till the conclusion of the
67th Annual General Meeting of the Company.

Secretarial Audit

Pursuant to the provisions of Section 204 of the
Companies Act, 2013, the Company had appointed
M/s. Jayshree Dagli and Associates, Company Secretaries in
Practice, to undertake the secretarial audit of the Company
for the year 2024-25. The Secretarial Audit Report is annexed
as Appendix II.

The Board of Directors of the Company at its Meeting
held on May 28, 2025, on the recommendation of the Audit
Committee, has decided to recommend to the shareholders
the appointment of M/s. Jayshree Dagli and Associates,
Company Secretaries in Practice, as the Secretarial Auditors
of the Company for a term of five consecutive years,
from April 1, 2025, to March 31, 2030.

Cost Records and Cost Audit

Maintenance of Cost Records and the requirement
of a Cost Audit under the provisions of Section 148(1) of the
Companies Act, 2013, are not applicable to our Company.

Annual Return

The Annual Return of the Company for the year
2024-25 shall be filed within 60 days of the ensuing 65th AGM.
The Return for the year 2023-24 duly filed with the Ministry
of Corporate Affairs after the 64th AGM held in the year
2024 is available on the Company''s website at https://www.
hawkinscookers.com/MGT-7.html.

Contracts or Arrangements with Related Parties

All related party transactions during the year were on
arm''s length basis and were not material as per the Related
Party Transactions Policy of the Company.

Corporate Social Responsibility

The Company has duly met its Corporate Social
Responsibility (CSR) obligation of Rs.258.23 lakhs required to
be spent in the year 2024-25, by spending on Skill Training of
youth and a public service campaign on saving fuel.

An excess amount of Rs.5.03 lakhs spent on CSR
in 2024-25 is being carried forward to the financial year
2025-26 for set off from the CSR spend target for 2025-26,
as duly approved by the Board.

The required Annual Report on CSR is given as
Appendix III.

Directors’ Performance Evaluation

The performance evaluation of each Director
of the Board was carried out by the Nomination and
Remuneration Committee at its Meeting (Serial No.19) held
on May 27, 2025, as per the criteria set by it earlier. The said
criteria are included in the Corporate Governance Report
enclosed herewith. The performance evaluation of the
non-Independent Directors, the Board as a whole and the
Chairman of the Board was carried out by the Independent
Directors at their separate meeting held on May 27, 2025.

The Board of Directors at its Meeting (Serial No.41)
held on May 28, 2025, reviewed the reports of evaluation
received from the Nomination and Remuneration
Committee and the Independent Directors and also the
functioning of the Committees of the Board and carried out
the evaluation of the Board as a whole, the Committees of
the Board and each Director and found the performance
of the Board, the Committees and all the individual Directors
to be satisfactory.

Remuneration Policy

On the recommendation of the Nomination
and Remuneration Committee, the Board has framed a
Remuneration Policy for all employees of the Company
including senior management and the Directors. The
Remuneration Policy of the Company is designed to attract,
motivate and retain suitable manpower in a competitive
market. The remuneration package for each person is
designed keeping a balance between fixed remuneration
and profit and performance-linked incentives in order to
achieve corporate performance targets. The Policy is aligned
with the Company''s mission, which states: "Our single-minded
determination to please customers drives the kind of people
we employ and promote, the investments we make and the
results we produce."

The Remuneration Policy is placed on the Company''s
website at https://www.hawkinscookers.com/download/
RemunerationPolicy.pdf. The Board affirms that all the
remunerations are as per the Remuneration Policy of the
Company. Information as per Section 197 of the Companies
Act, 2013, is given in Appendix IV.

Vigil Mechanism

The Company has an established Vigil Mechanism/
Whistle Blower Policy for stakeholders including Directors
and employees to report concerns or grievances including
unethical behaviour, fraud or violation of the Company''s
Corporate Governance Code of Conduct. The authority for
the implementation of the Policy rests with the Vice-Chairman
and Chief Financial Officer under the overall supervision of
the Audit Committee of the Board.

ON BEHALF OF THE BOARD OF DIRECTORS

Place : Mumbai SUBHADIP DUTTA CHOUDHURY

Date : July 2, 2025 CHAIRMAN

---

Mar 31, 2024

We have the honour to present our Sixty-Fourth Annual Report and Audited Statement of Accounts for the year ended March 31, 2024.

2023-24 Operations: Main Results

We are pleased to report excellent results in 2023-24. Once again, sales are the highest ever. Revenue from operations in 2023-24 is Rs.1,024.15 crores (up 1.8% over the previous year).

This year, profits are also the highest ever. Profit before tax is Rs.147.55 crores (16.3% higher than the previous year). Net profit after tax is Rs.109.84 crores (15.9% higher than the previous year).

Management Discussion and Analysis

We operate in the market consisting of Pressure Cookers and Cookware. The industry structure is quite competitive with both small-scale and organized sector units.

The raw material costs stayed moderate during the year. Along with more efficient operations this has helped improve our margins. We expect the competition to be intense, but your brand''s strength has continued to improve. We expect our products to continue to do well with the 55 new product launches we have done during the year at a rate of almost one launch per week. We have further plans of launches in the next year.

Our permanent employees as on April 1,2023, were 582 and as on March 31, 2024, were 593 through normal attrition and recruitment. The morale of our employees at all locations is high and industrial relations are normal. We appreciate the contribution of our employees to the successful working of your Company.

Net profit after tax as a percentage of net sales in 2023-24 was 10.7% as against 9.4% in 2022-23. The average shareholders'' funds/net worth grew to Rs.304.81 crores vs. Rs.244.66 crores in 2022-23. The net return after tax on shareholders'' funds/net worth was 36% (in 2022-23: 39%).

Control Systems

In our judgment, the Company has adequate financial and administrative systems and controls and an effective internal audit function.

Key Financial ratios

The required details of significant changes (25% or more) in the key financial ratios for the year 2023-24 as compared to the year 2022-23 are as follows:

ratio	FY 2023-24	FY 2022-23	formula used	reason for change
Debt Equity Ratio	0.09	0.15	Total debt/ Shareholder''s equity	Reduction in debt equity ratio is due to increase in other equity on account of increase in profits and reduction in debt due to repayment.
Debt Service Coverage Ratio	5.68	16.72	Earnings available for debt service/ Debt service	The debt service coverage ratio has decreased due to higher amount of fixed deposits taken by the Company maturing during the year.

Cash flow during the year was good. Cash and cash equivalents plus balances with banks on deposit accounts as on March 31, 2024, were Rs.182.56 crores (previous year: Rs.100.82 crores). We have plans to utilise these funds appropriately, including for managing working capital, improving quality and in further expanding production capacity.

risks and Concerns

Your Company has constituted a Risk Management Committee as required under the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the details of which are provided in the Report on Corporate Governance.

Foreseeable risks that the Company may encounter and concerns have been addressed in a documented Risk Management Framework and Policy which is reviewed by the Risk Management Committee and the Board from time to time.

Our capital and financial resources, liquidity position, supply chain and assets are healthier than ever.

opportunities and Threats

The excellent demand for our brands augurs well for the future of the Company.

While the cost of Aluminium, our main raw material, has moderated, the future outlook on the trend continues to be difficult to predict. Your Company is taking effective steps to deal with the challenge.

General inflation can impact the purchasing power of our customers.

Management continues to diligently watch the cost trends and pursues effective cost controls from time to time to keep our products affordable.

Outlook

We believe the outlook for our business is excellent under the circumstances. In this year, we have further strengthened the good reputation we have amongst our consumers and traders, associates and vendors. We expect to continue to increase our sales and profits.

All forward-looking statements in our report are based on our assessments and judgments exercised in good faith at this time. Of course, actual developments and/or results may differ from our present anticipation.

Directors

Mr. Tej Paul Sharma was re-appointed by the shareholders on the recommendations of the Board, the Nomination and Remuneration Committee and the Audit Committee as the Wholetime Director designated as the Executive Director - Sales for three years with effect from October 1,2023.

Mr. Neil Vasudeva was re-appointed by the shareholders on the recommendations of the Board, the Nomination and Remuneration Committee and the Audit Committee as the Wholetime Director designated as the Executive Director - Marketing for three years with effect from October 1,2023.

Mr. E. A. Kshirsagar, Independent Director, ceased to be a Director with effect from November 11, 2023, due to his sad demise. The Directors place on record their highest gratitude and deep appreciation for his valuable guidance received during his tenure of over 9 years with the Company.

Mr. Shyamak Ramyar Tata and Mr. Sanjay Khatau Asher have been appointed as Independent Directors with effect from February 1,2024, for a first term of five consecutive years each by the shareholders through Postal Ballot on the recommendations of the Board and the Nomination and Remuneration Committee. The Board is pleased to state that their experience, expertise and integrity will assist the Board in its functioning.

All the six Independent Directors, namely, General V. N. Sharma (Retd.), Mr. Ravi Kant, Prof. Leena Chatterjee, Mr. Murli Aildas Teckchandani, Mr. Shyamak Ramyar Tata and Mr. Sanjay Khatau Asher, have given written declarations that they meet the criteria of independence as laid down under Section 149(6) of the Companies Act, 2013, and Regulation 16(1)(b) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Mrs. Susan M. Vasudeva retires by rotation as a Director at the 64th AGM of the Company and, being eligible, offers herself for re-appointment for which the Board has resolved to recommend to the shareholders a suitable resolution.

The present tenure of Prof. Leena Chatterjee, Independent Director, will expire on August 5, 2024. Based on the recommendation of the Nomination and Remuneration Committee, the Board at its Meeting (Serial No. 37) held on May 29, 2024, has recommended to the shareholders a suitable resolution for her re-appointment for a second term of five consecutive years with effect from August 6, 2024. The Company has received a requisite notice from a Member in writing proposing the said re-appointment.

All the Directors, including Independent Directors were updated on the Company''s performance and plans in detail on May 28, 2024. The required details of the Independent Directors'' Familiarization Programs are available at https://www.hawkinscookers.com/idfp.

2023-24 Operations: Other Aspects

The value of exports at Rs.56.28 crores in 2023-24 was down by 8.82% over the previous year. Foreign Exchange used in 2023-24 was Rs.19.81 crores (Rs.10.46 crores in the previous year).

Our Research & Development Unit is recognised by the Department of Scientific and Industrial Research. The expenditure on Research & Development in 2023-24 was Rs.7.68 crores, 24.0% higher than the previous year. Required details are given in appendix I.

Efforts continue in our factories and offices to save energy wherever possible.

The required details of Fixed Deposits taken under Sections 73 and 76 of the Companies Act, 2013, are as follows:

(a) Additional Amount accepted during the year: Rs.4.04 crores.

(b) Amount that remained unpaid or unclaimed as at the end of the year is Nil.

(c) Default in repayment of deposits or payment of interest thereon: Nil.

dividend distribution policy

The Board of Directors has adopted the Dividend Distribution Policy in terms of the requirements of the Listing Regulations. The Policy is available on the website of the Company at https://www.hawkinscookers.com/download/ DividendDistributionPolicy.pdf.

appropriations and dividend

Out of the amount available for appropriation of Rs.276.18 crores (previous year: Rs.219.83 crores), we propose:

• Rs.1.00 crore transfer to General Reserve (previous year: Rs.1.00 crore) and

• Rs.275.18 crores as surplus carried to the Balance Sheet (previous year: Rs.218.83 crores).

In accordance with the Dividend Distribution Policy of the Company we are pleased to recommend Rupees One Hundred and Twenty as dividend per Equity Share of Rs.10 (previous year: Rupees One Hundred per Equity Share).

Directors’ Responsibility Statement

The Board confirms that:

1. The Directors have taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act, 2013, for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities.

2. In the preparation of the Annual Accounts, the applicable accounting standards have been followed and proper explanation given relating to material departures, if any. The Directors have prepared the Annual Accounts on a going-concern basis.

3. The Directors 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 as at the end of the financial year and of the profit and loss of the Company for that period.

4. Based on the framework of the internal financial controls and compliance systems established and maintained by the Company, the work performed by the Internal, Statutory and Secretarial Auditors, including audit of the internal financial controls over financial reporting by the Statutory Auditors, and the reviews performed by the Management and the relevant Board Committees, including the Audit and the Risk Management Committees, the Board is of the opinion that the Company''s internal financial controls were adequate and effective during the financial year 2023-24.

5. The Directors have devised proper systems that are, in our opinion, adequate and operating effectively to ensure compliance with the provisions of all applicable laws.

Code of Conduct

The Board has formulated a Corporate Governance Code of Conduct for all the Directors of the Board and the Senior Managers of the Company. This Code is available on the website of the Company. All Directors and Senior Management Personnel have affirmed compliance with the Code. A declaration to this effect signed by the Chairman and Chief Executive Officer of the Company appears elsewhere in this Annual Report.

Sexual Harassment of Women at Workplace (Prevention, prohibition and redressal) Act, 2013

The Company has constituted Internal Complaints Committees at each of the five locations of the Company under the Sexual Harassment of Women at Workplace

(Prevention, Prohibition and Redressal) Act, 2013, to redress complaints received regarding sexual harassment. In the year 2023-24, no case of sexual harassment was filed under the said Act.

Corporate Governance

A separate section on Corporate Governance forms part of our Report. A certificate has been received from the Auditors of the Company regarding compliance of the conditions of Corporate Governance as stipulated under the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Both appear elsewhere in the Annual Report.

Business responsibility and Sustainability report

A separate section on Business Responsibility and Sustainability forms part of our Report describing the initiatives taken by the Company from an environmental, social and governance perspective. The Business Responsibility and Sustainability Policy has also been placed on the Company''s website at https://www.hawkinscookers.com/download/ BRSPolicy.pdf.

Auditors

M/s. Kalyaniwalla & Mistry LLP (Firm Registration No.104607W/W100166), Chartered Accountants, had been re-appointed as the Statutory Auditors of the Company at the 62nd Annual General Meeting held on August 4, 2022, for a second term of five years from the conclusion of the 62nd Annual General Meeting till the conclusion of the 67th Annual General Meeting of the Company.

Secretarial Audit

Pursuant to the provisions of Section 204 of the Companies Act, 2013, the Company had appointed M/s. Jayshree Dagli and Associates, Company Secretaries in Practice, to undertake the secretarial audit of the Company for the year 2023-24. The Secretarial Audit Report is annexed as appendix ii.

Cost records and Cost Audit

Maintenance of Cost Records and the requirement of a Cost Audit under the provisions of Section 148(1) of the Companies Act, 2013, are not applicable to our Company.

annual return

The Annual Return of the Company for the year 2023-24 shall be filed within 60 days of the ensuing 64th AGM. The Return for the year 2022-23 duly filed with the Ministry of Corporate Affairs after the 63rd AGM held in the year 2023 is available on the Company''s website at https://www.hawkinscookers.com/MGT-7.html.

Contracts or Arrangements with Related Parties

All related party transactions during the year were on arm''s length basis and were not material as per the Related Party Transactions Policy of the Company.

Corporate Social Responsibility

The Company has duly met its Corporate Social Responsibility (CSR) obligation of Rs.231.91 lakhs required to be spent in the year 2023-24, by spending on promoting Healthcare, Skill Training and donations to appropriate organisations.

An excess amount of Rs.9.13 lakhs spent on CSR in 2023-24 is being carried forward to the financial year 2024-25 for set off from the CSR spend target for 2024-25, as duly approved by the Board.

The required Annual Report on CSR is given as Appendix iii.

Directors’ performance Evaluation

The performance evaluation of each Director of the Board was carried out by the Nomination and Remuneration Committee at its Meeting (Serial No.17) held on May 28, 2024, as per the criteria set by it earlier. The said criteria are included in the Corporate Governance Report enclosed herewith. The performance evaluation of the non-Independent Directors, the Board as a whole and the Chairman of the Board was carried out by the Independent Directors at their separate meeting held on May 28, 2024.

The Board of Directors at its Meeting (Serial No.37) held on May 29, 2024, reviewed the reports of evaluation received from the Nomination and Remuneration Committee and the Independent Directors and also the functioning of the Committees of the Board and carried out the evaluation of the Board as a whole, the Committees of the Board and each Director and found the performance of the Board, the Committees and all the individual Directors to be satisfactory.

Directors report (continued)

Remuneration policy

On the recommendation of the Nomination and Remuneration Committee, the Board has framed a Remuneration Policy for all employees of the Company including senior management and the Directors. The Remuneration Policy of the Company is designed to attract, motivate and retain suitable manpower in a competitive market. The remuneration package for each person is designed keeping a balance between fixed remuneration and profit and performance-linked incentives in order to achieve corporate performance targets. The Policy is aligned with the Company''s mission, which states: "Our single-minded determination to please customers drives the kind of people we employ and promote, the investments we make and the results we produce."

The Remuneration Policy is placed on the Company''s website at https://www.hawkinscookers.com/download/ RemunerationPolicy.pdf. The Board affirms that all the remunerations are as per the Remuneration Policy of the Company. Information as per Section 197 of the Companies Act, 2013, is given in Appendix iV.

Vigil Mechanism

The Company has an established Vigil Mechanism/ Whistle Blower Policy for stakeholders including Directors and employees to report concerns or grievances including unethical behaviour, fraud or violation of the Company''s Corporate Governance Code of Conduct. The authority for the implementation of the Policy rests with the Vice-Chairman and Chief Financial Officer under the overall supervision of the Audit Committee of the Board.

ON BEHALF OF THE BOARD OF DIRECTORS

Place : Mumbai SUBHADIP DUTTA CHOUDHURY

Date : July 1, 2024 CHAIRMAN

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Mar 31, 2023

We have the honour to present our Sixty-Third Annual Report and Audited Statement of Accounts for the year ended March 31, 2023.

2022-23 Operations: Main Results

We are pleased to report excellent results in 2022-23. Once again, sales are the highest ever. Revenue from operations in 2022-23 is Rs.1,005.79 crores (up 5.0% over the previous year). Your Company has crossed Rs.1,000 crore turnover for the first time ever.

This year, profits are also the highest ever. Profit before tax is Rs.126.91 crores (12.4% higher than the previous year). Net profit after tax is Rs.94.78 crores (13.0% higher than the previous year).

Management Discussion and Analysis

We operate in the market consisting of Pressure Cookers and Cookware. The industry structure is quite competitive with both small-scale and organized sector units.

The unprecedented inflation in raw material costs has moderated. Along with more efficient operations this has helped improve our margins. We expect the competition to be intense, but your brand has strengthened during the pandemic and is now stronger.

We expect our products to continue to do well with the 53 new product launches we have done during the year at a rate of almost one launch per week. We have further plans.

Our permanent employees as on April 1,2022, were 589 and as on March 31, 2023, were 582 through normal attrition and recruitment. The morale of our employees at all locations is high and industrial relations are normal. We appreciate the contribution of our employees to the successful working of your Company.

Net profit after tax as a percentage of net sales in 2022-23 was 9.4% as against 8.8% in 2021-22. The average shareholders'' funds/net worth grew to Rs.244.66 crores vs. Rs.195.40 crores in 2021-22. The net return after tax on shareholders'' funds/net worth was 39% (in 2021-22: 43%).

Control Systems

In our judgment, the Company has adequate financial and administrative systems and controls and an effective internal audit function.

Key Financial ratios

The required details of significant changes (25% or more) in the key financial ratios for the year 2022-23 as compared to the year 2021-22 are as follows:

ratio	FY 2022-23	FY 2021-22	formula used	reason for change
Debt Service Coverage Ratio	16.72	6.81	Earnings available for debt service/ Debt service	The debt service coverage ratio has improved due to better profits and reduced debt repayment obligations during the year.

Cash flow during the year was good. Cash and cash equivalents plus balances with banks on deposit accounts as on March 31, 2023, were Rs. 100.82 crores (previous year: Rs.59.88 crores). We have plans to utilise these funds appropriately, including for managing working capital, improving quality and in further expanding production capacity.

risks and Concerns

Your Company has constituted a Risk Management Committee as required under the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the details of which are provided in the Report on Corporate Governance.

Foreseeable risks that the Company may encounter and concerns have been addressed in a documented Risk Management Framework and Policy which is reviewed by the Risk Management Committee and the Board from time to time.

Our capital and financial resources, liquidity position, supply chain and assets remain healthy.

opportunities and Threats

The excellent demand for our brands augurs well for the future of the Company.

While the cost of Aluminium, our main raw material, has moderated, the future outlook on the trend continues to be difficult to predict. Your Company is taking effective steps to deal with the challenge.

General inflation can impact the purchasing power of our customers.

Management continues to diligently watch the cost trends and pursues effective cost controls from time to time to keep our products affordable.

Outlook

We believe the outlook for our business is excellent under the circumstances. In this year, we have further strengthened the good reputation we have amongst our consumers and traders, associates and vendors. We expect to continue to increase our sales and profits.

All forward-looking statements in our report are based on our assessments and judgments exercised in good faith at this time. Of course, actual developments and/or results may differ from our present anticipation.

Directors

Mr. Subhadip Dutta Choudhury was re-appointed by the shareholders on the recommendations of the Board, the Nomination and Remuneration Committee and the Audit Committee as the Chairman of the Board and Managing Director designated as the Chief Executive Officer for three years with effect from October 1, 2022.

Mr. Sudeep Yadav was re-appointed by the shareholders on the recommendations of the Board, the Nomination and Remuneration Committee and the Audit Committee as the Vice-Chairman and Chief Financial Officer for three years with effect from October 1, 2022.

All the five Independent Directors, namely, General V. N. Sharma (Retd.), Mr. E. A. Kshirsagar, Mr. Ravi Kant, Prof. Leena Chatterjee and Mr. Murli Aildas Teckchandani, have given written declarations that they meet the criteria of independence as laid down under Section 149(6) of the Companies Act, 2013, and Regulation 16(1 )(b) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Mr. Tej Paul Sharma retires by rotation as a Director at the 63rd AGM of the Company and, being eligible, offers himself for re-appointment for which the Board has resolved to recommend to the shareholders a suitable resolution.

As required by the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, a special resolution is proposed for your approval at the 63rd Annual General Meeting for the continuation of the directorship of Mrs. Susan M. Vasudeva, Non- Executive Director, who will attain the age of 75 years in August 2023.

The present tenures of Mr. Tej Paul Sharma and Mr. Neil Vasudeva as Wholetime Directors will end on September 30, 2023. Pursuant to the recommendations of the Nomination and Remuneration Committee and the Audit Committee, the Board at its Meeting (Serial No.32) held on May 24, 2023, approved and resolved to recommend to the shareholders suitable resolutions for the re-appointments of Mr. Sharma and Mr. Vasudeva as Wholetime Directors for a period of three years each with effect from October 1, 2023, on the revised terms as stated in the Notice to Shareholders for the 63rd AGM of the Company.

All the Directors, including Independent Directors were updated on the Company''s performance and plans in detail on May 23, 2023. The required details of the Independent Directors'' Familiarization Programs are available at https://www.hawkinscookers.com/idfp.

2022-23 Operations: Other Aspects

The value of exports at Rs.61.72 crores in 2022-23 was down 10.4% over the previous year. Foreign Exchange used in 2022-23 was Rs.10.46 crores (Rs.4.96 crores in the previous year).

Our Research & Development Unit is recognised by the Department of Scientific and Industrial Research. The expenditure on Research & Development in 2022-23 was Rs.6.20 crores, 17.6% higher than the previous year. Required details are given in Appendix I.

Efforts continue in our factories and offices to save energy wherever possible.

The required details of Fixed Deposits taken under Sections 73 and 76 of the Companies Act, 2013, are as follows:

(a) Additional Amount accepted during the year:

Rs.5.26 crores.

(b) Amount that remained unpaid or unclaimed as

at the end of the year is Nil.

(c) Default in repayment of deposits or payment of

interest thereon: Nil.

dividend distribution policy

The Board of Directors has adopted the Dividend Distribution Policy in terms of the requirements of the Listing Regulations. The Policy is available on the website of the Company at https://www.hawkinscookers.com/download/ DividendDistributionPolicy.pdf.

Appropriations and Dividend

Out of the amount available for appropriation of Rs.219.83 crores (previous year: Rs.157.88 crores), we propose:

• Rs.1.00 crore transfer to General Reserve (previous

year: Rs.1.00 crore) and

• Rs.218.83 crores as surplus carried to the Balance

Sheet (previous year: Rs.156.88 crores).

In accordance with the Dividend Distribution Policy of the Company we are pleased to recommend Rupees One Hundred as dividend per Equity Share of Rs.10 (previous year total of interim and final dividends: Rupees One Hundred and Fifty per Equity Share).

Directors’ Responsibility Statement

The Board confirms that:

1. The Directors have taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act, 2013, for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities.

2. In the preparation of the Annual Accounts, the applicable accounting standards have been followed and proper explanation given relating to material departures, if any. The Directors have prepared the Annual Accounts on a going-concern basis.

3. The Directors 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 as at the end of the financial year and of the profit and loss of the Company for that period.

4. Based on the framework of the internal financial controls and compliance systems established and maintained by the Company, the work performed by the Internal, Statutory and Secretarial Auditors, including audit of the internal financial controls over financial reporting by the Statutory Auditors, and the reviews performed by the Management and the relevant Board Committees, including the Audit and the Risk Management Committees, the Board is of the opinion that the Company''s internal financial controls were adequate and effective during the financial year 2022-23.

5. The Directors have devised proper systems that are, in our opinion, adequate and operating effectively to ensure compliance with the provisions of all applicable laws.

Code of Conduct

The Board has formulated a Corporate Governance Code of Conduct for all the Directors of the Board and the Senior Managers of the Company. This Code is available on the website of the Company. All Directors and Senior Management Personnel have affirmed compliance with the Code. A declaration to this effect signed by the Chairman and Chief Executive Officer of the Company appears elsewhere in this Annual Report.

Sexual Harassment of Women at Workplace (prevention, prohibition and redressal) act, 2013

The Company has constituted Internal Complaints Committees at each of the five locations of the Company under the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013, to redress complaints received regarding sexual harassment. In the year 2022-23, no case of sexual harassment was filed under the said Act.

Business responsibility and Sustainability report

A separate section on Business Responsibility and Sustainability forms part of our Report describing the initiatives taken by the Company from an environmental, social and governance perspective. The Business Responsibility and Sustainability Policy has also been placed on the Company''s website at https://www.hawkinscookers.com/download/ BusinessResponsibilityandSustainabilityPolicy.pdf.

Corporate Governance

A separate section on Corporate Governance forms part of our Report. A certificate has been received from the Auditors of the Company regarding compliance of the conditions of Corporate Governance as stipulated under the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Both appear elsewhere in the Annual Report.

auditors

M/s. Kalyaniwalla & Mistry LLP (Firm Registration No.104607W/W100166), Chartered Accountants, had been re-appointed as the Statutory Auditors of the Company at the 62nd Annual General Meeting held on August 4, 2022, for a second term of five years from the conclusion of the 62nd Annual General Meeting till the conclusion of the 67th Annual General Meeting of the Company.

Secretarial audit

Pursuant to the provisions of Section 204 of the Companies Act, 2013, the Company had appointed M/s. Jayshree Dagli and Associates, Company Secretaries in

Practice, to undertake the secretarial audit of the Company for the year 2022-23. The Secretarial Audit Report is annexed as Appendix ii.

Cost Records and Cost Audit

Maintenance of Cost Records and the requirement of a Cost Audit under the provisions of Section 148(1) of the Companies Act, 2013, are not applicable to our Company.

Annual Return

The Annual Return of the Company for the year 2022-23 shall be filed within 60 days of the ensuing 63rd AGM. The Return for the year 2021-22 duly filed with the Ministry of Corporate Affairs after the 62nd AGM held in the year 2022 is available on the Company''s website at https://www.hawkinscookers.com/MGT-7.html.

Contracts or Arrangements with Related Parties

All related party transactions during the year were on arm''s length basis and were not material as per the Related Party Transactions Policy of the Company.

Corporate Social Responsibility

The Company has selected a project called Improving the Health of Women and Children and Saving Energy and Money by using Pressure Cookers. The Company continued its education effort through a public service campaign in newspapers about the dangers of Indoor Air Pollution and how to use a pressure cooker to mitigate it, and how to make a gas cylinder last double the time by using a pressure cooker thereby conserving the environment as well as precious fuel resources for India. Additionally, the Company donated to the Akhand Jyoti Eye Hospital and the Prime Minister''s National Relief Fund.

The Company has spent the entire amount of Rs.212.87 lakhs required to be spent on Corporate Social Responsibility (CSR) in the year 2022-23. The excess amount of Rs.2.57 lakhs spent on CSR in 2022-23 is carried forward to the financial year 2023-24 for set off from the CSR spend target for 2023-24, as duly approved by the Board.

The required Annual Report on CSR is given as appendix iii.

Directors’ performance Evaluation

The performance evaluation of each Director of the Board was carried out by the Nomination and Remuneration Committee at its Meeting (Serial No.15) held on May 23, 2023, as per the criteria set by it earlier. The said criteria are included in the Corporate Governance Report enclosed herewith. The performance evaluation of the non-Independent Directors, the Board as a whole and the Chairman of the Board was carried

out by the Independent Directors at their separate meeting held on May 23, 2023.

The Board of Directors at its Meeting (Serial No.32) held on May 24, 2023, reviewed the reports of evaluation received from the Nomination and Remuneration Committee and the Independent Directors and also the functioning of the Committees of the Board and carried out the evaluation of the Board as a whole, the Committees of the Board and each Director and found the performance of the Board, the Committees and all the individual Directors to be satisfactory.

Remuneration policy

On the recommendation of the Nomination and Remuneration Committee, the Board has framed a Remuneration Policy for all employees of the Company including senior management and the Directors. The Remuneration Policy of the Company is designed to attract, motivate and retain suitable manpower in a competitive market. The remuneration package for each person is designed keeping a balance between fixed remuneration and profit and performance-linked incentives in order to achieve corporate performance targets. The Policy is aligned with the Company''s mission, which states: "Our single-minded determination to please customers drives the kind of people we employ and promote, the investments we make and the results we produce."

The Remuneration Policy is placed on the Company''s website at https://www.hawkinscookers.com/download/ RemunerationPolicy.pdf. The Board affirms that all the remunerations are as per the Remuneration Policy of the Company. Information as per Section 197 of the Companies Act, 2013, is given in Appendix iV.

Vigil Mechanism

The Company has an established Vigil Mechanism/ Whistle Blower Policy for Directors and employees to report concerns or grievances including unethical behaviour, fraud or violation of the Company''s Corporate Governance Code of Conduct. The authority for the implementation of the Policy rests with the Vice-Chairman and Chief Financial Officer under the overall supervision of the Audit Committee of the Board.

Directors’ Report (Continued)

Appendix iResearch & Development

Specific areas in which R&D efforts have been carried out: R&D in materials, machines, processes and designs of components and products in order to improve the functioning and durability of products, to produce greater fuel economies and to improve the safety and convenience of the users of the products and introduce new products. Benefits derived as a result: launch of new products plus design and quality improvement/cost reduction in existing products. Future plan of action: we intend to support the R&D Centre and the Test Kitchen to meet corporate objectives for quality improvement, cost reduction, introduction of new products and consumer service and support. Capital expenditure on R&D: Rs.0.09 crores (previous year: Rs.0.05 crores). Recurring expenditure: Rs.6.11 crores, 0.6% of the total turnover (previous year: Rs.5.23 crores, 0.5%). Efforts made for technology absorption, adaptation and innovation: the Company continues to implement technology, made in India as well as developed inhouse, to improve and develop products and to reduce costs. No technology has been imported for the last three years. As on April 1,2023, there were 112 valid patents and design registrations in force. Benefits derived: as described above.

Appendix ii

Secretarial auditor’s report

To the Members of Hawkins Cookers Limited, Mumbai

Our report of even date is to be read along with this letter.

1. Maintenance of secretarial records is the responsibility of the management of the Company. Our responsibility is to express an opinion on these secretarial records based on our audit.

2. We have followed the audit practices and processes as were appropriate to obtain reasonable assurance about the correctness of the contents of the Secretarial records. The verification was done on test check basis to ensure that correct facts are reflected in secretarial records. We believe that the processes and practices, we followed provide a reasonable basis for our opinion.

3. We have not verified the correctness and appropriateness of financial records and Books of Accounts of the Company.

4. Wherever required, we have obtained the Management representation about the compliance of laws, rules and regulations and happening of events etc.

5. The compliance of provisions of corporate and other applicable laws, rules, regulations, standards is the responsibility of management. Our examination was limited to the verification of procedures on test check basis.

6. The Secretarial Audit Report is neither an assurance as to the future viability of the company nor of the efficacy or effectiveness with which the management has conducted the affairs of the Company.

For JAYSHREE DAGLI & ASSOCIATES Company Secretaries

Jayshree S. Joshi F.C.S.1451; C.P487 Peer Review Certi. No.: 1122/2021 May 24, 2023 UDIN:F001451E000362350

Form No. MR-3: Secretarial Audit Report for the Financial Year Ended 31st March, 2023

[Pursuant to Section 204(1) of the Companies Act, 2013 and Rule No.9 of the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014]

To the Members of Hawkins Cookers Limited, Mumbai

We have conducted the Secretarial Audit of the compliance of applicable statutory provisions and the adherence to good corporate practices by HAWKINS COOKERS LIMITED (hereinafter called "the Company"). Secretarial Audit was conducted in a manner that provided us a reasonable basis for evaluating the corporate conducts/ statutory compliances and expressing our opinion thereon.

Based on our verification of the Company''s books, papers, minutes books, forms and returns filed and other records maintained by the Company and also the information provided by the Company, its officers, agents and authorized representatives during the conduct of Secretarial Audit, we hereby report that in our opinion, the Company has, during the audit period covering the financial year ended on 31st March, 2023, complied with the statutory provisions listed hereunder and also that the Company has proper Board-processes and compliance-mechanism in place to the extent, in the manner and subject to the reporting made hereinafter:

(A) We have examined the books, papers, minutes books, forms and returns filed and other records maintained by HAWKINS COOKERS LIMITED ("the Company") for the financial year ended on 31st March, 2023 according to the provisions of:

1. The Companies Act, 2013 (the Act) & the Rules made there under to the extent applicable; and circulars, notifications, clarifications, Removal of Difficulties Orders or

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Mar 31, 2022

We have the honour to present our Sixty-Second Annual Report and Audited Statement of Accounts for the year ended March 31,2022.

2021-22 Operations: Main Results

We are pleased to report excellent results in 2021-22. Once again, sales are the highest ever. Revenue from operations in 2021-22 is Rs.958.01 crores (up 24.7% over the previous year).

This year, profits are also the highest ever. Profit before tax is Rs.112.91 crores (4.5% higher than the previous year). Net profit after tax is Rs.83.89 crores (4.0% higher than the previous year).

Management Discussion and Analysis

We operate in the market consisting of Pressure Cookers and Cookware. The industry structure is quite competitive with both small-scale and organized sector units.

The industry has been facing an unprecedented inflation in raw material costs for over a year. This has impacted our margins, though our full year profits are the highest ever. At the same time, this has helped us improve our position in the market as some low cost players are threatened by the high aluminium prices.

We expect our products to continue to do well with the 39 new launches we have done during the year and the further plans that we have.

Our permanent employees as on April 1,2021, were 609 and as on March 31, 2022, were 595 through normal attrition and recruitment. The morale of our employees at all locations is high and industrial relations are normal. We appreciate the contribution of our employees to the successful working of your Company.

Net profit after tax as a percentage of net sales in 2021-22 was 8.8% as against 10.5% in 2020-21. The average shareholders'' funds/net worth grew to Rs. 195.40 crores vs. Rs.158.64 crores in 2020-21. The net return after tax on shareholders'' funds/net worth was 43% (in 2020-21: 51%).

Control Systems

In our judgment, the Company has adequate financial and administrative systems and controls and an effective internal audit function.

Key Financial ratios

The details of significant changes (25% or more) in the key financial ratios for the year 2021-22 as compared to the year 2020-21 are as follows:

ratio	FY 2021-22	FY 2020-21	formula used	reason for change
Trade payables turnover ratio	17.48	12.80	Purchases/ Average trade payables	Increase in the ratio reflects the trend of increasing raw material prices during the year.

Cash flow during the year was good. Cash and cash equivalents plus balances with banks on deposit accounts as on March 31, 2022, were Rs.59.88 crores (previous year: Rs.161.29 crores). The inventory is higher this year as we have increased production substantially. We have plans to utilise these funds appropriately, in managing working capital and in further expanding production capacity.

risks and Concerns

Your Company has constituted a Risk Management Committee as required under the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, the details of which are provided in the Report on Corporate Governance.

All foreseeable risks that the Company may encounter and concerns have been addressed in a documented Risk Management Framework and Policy which is reviewed by the Risk Management Committee and the Board from time to time.

Raw material cost inflation has impacted our profitability. Our capital and financial resources, liquidity position, supply chain and assets remain healthy.

opportunities and Threats

The excellent demand for our brands augurs well for the future of the Company.

While the cost of Aluminium, our main raw material, has come down on the London Metal Exchange since March 31, 2022, the future outlook on the trend is difficult to predict. Your Company is taking effective steps to deal with the challenge.

General inflation can impact the purchasing power of our customers.

Raw material prices are a cause for concern - many items have increased sharply in the last year - we have taken

appropriate price increases in order to partially mitigate the impact. Management continues to diligently watch cost increase trends and seeks effective cost controls and necessary adjustment in prices as needed from time to time.

Outlook

We believe the outlook for our business is excellent under the circumstances. In this year, we have further strengthened the good reputation we have amongst our consumers and traders, associates and vendors. We expect to continue to increase our sales and profits.

All forward-looking statements in our report are based on our assessments and judgments exercised in good faith at this time. Of course, actual developments and/or results may differ from our present anticipation.

Directors

Mr. Tej Paul Sharma was appointed by the shareholders on the recommendation of the Board as the Executive Director - Sales with effect from August 1, 2021.

Mr. Neil Vasudeva was appointed by the shareholders on the recommendation of the Board as the Executive Director - Marketing with effect from August 1,2021.

Mr. Murli Aildas Teckchandani was appointed by the shareholders on the recommendation of the Board as an Independent Director for a first term of five consecutive years with effect from August 1,2021. The Board is pleased to state that his experience, expertise and integrity will assist the Board in its functioning.

Mr. Ravi Kant was re-appointed by the shareholders at the 61st AGM of the Company on July 29, 2021, as an Independent Director for a second term of five years with effect from August 4, 2021, on the recommendation of the Board.

Mr. Gerson da Cunha, Independent Director, ceased to be a Director with effect from January 7, 2022, due to his sad demise. The Company has immensely benefitted from his expertise and sagacious advice on all matters during his tenure of 29 years. The Directors place on record their highest gratitude and deep appreciation for his valuable guidance received during his tenure with the Company.

All the five Independent Directors, namely, General V. N. Sharma (Retd.), Mr. E. A. Kshirsagar, Mr. Ravi Kant, Prof. Leena Chatterjee and Mr. Murli Aildas Teckchandani, have given written declarations that they meet the criteria of independence as laid down under Section 149(6) of the Companies Act, 2013, and Regulation 16(1)(b) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015.

Mrs. Susan M. Vasudeva retires by rotation as a Director at the 62nd AGM of the Company and, being eligible, offers herself for re-appointment for which the Board has resolved to recommend to the shareholders a suitable resolution.

As required by the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, a special resolution is proposed for your approval at the 62nd Annual General Meeting for the continuation of the directorship of Mr. Murli Aildas Teckchandani, Non- Executive Independent Director, who will attain the age of 75 years during 2022-23.

The present tenures of Mr. Subhadip Dutta Choudhury, Chairman and Managing Director designated as the Chief Executive Officer, and Mr. Sudeep Yadav, Vice-Chairman and Chief Financial Officer, will end on September 30, 2022. The Board at its Meeting (Serial No. 28) held on May 26, 2022, approved and resolved to recommend to the shareholders suitable resolutions for the re-appointments of Mr. Dutta Choudhury as the Chairman and Managing Director designated as the Chief Executive Officer and Mr. Yadav as the Vice-Chairman and Chief Financial Officer for a further period of three years each with effect from October 1, 2022, on revised terms as stated in the Notice to Shareholders for the 62nd AGM of the Company.

A presentation was made on May 25, 2022, to all the Directors, including Independent Directors, to update them on the Company''s performance. The required details of the Independent Directors'' Familiarization Programs are available at https://www.hawkinscookers.com/idfp.

2021-22 Operations: Other Aspects

The value of exports at Rs.68.91 crores in 2021-22 was up 5.1% over the previous year. Foreign Exchange used in 2021-22 was Rs.4.96 crores (Rs.6.15 crores in the previous year).

Our Research & Development Unit is recognised by the Department of Scientific and Industrial Research. The expenditure on Research & Development in 2021-22 was Rs.5.27 crores, 1.0% higher than the previous year. Required details are given in Appendix I.

Efforts continue in our factories and offices to save energy wherever possible.

The required details of Fixed Deposits taken under Sections 73 and 76 of the Companies Act, 2013, are as follows:

(a) Additional Amount accepted during the year: Rs.10.69 crores.

(b) Amount remained unpaid or unclaimed as at the end of the year is Nil.

(c) Default in repayment of deposits or payment of interest thereon: Nil.

Dividend Distribution Policy

The Board of Directors has adopted the Dividend Distribution Policy in terms of the requirements of the Listing Regulations. The Policy is available on the website of the Company at https://www.hawkinscookers.com/download/ DividendDistributionPolicy.pdf.

Appropriations and Dividend

Out of the amount available for appropriation of Rs.157.88 crores (previous year: Rs.123.32 crores), we propose:

• Rs.1.00 crore transfer to General Reserve (previous year: Rs.1.00 crore) and

• Rs.156.88 crores as surplus carried to the Balance Sheet (previous year: Rs.122.32 crores).

We are pleased to recommend Rupees Sixty as final dividend per Equity Share of Rs.10 (previous year: Nil). During the year under review an Interim Dividend of Rs. Ninety per Equity Share of the face value of Rs.10 per share (previous year: Rs. Eighty per share) was declared and paid by the Company. With the above recommendation, the total dividend for the FY 2021-22 aggregates to Rs.150 per Equity Share (previous year: Rs.80 per Equity Share). The dividend recommendation is in accordance with the Dividend Distribution Policy of the Company.

Directors’ Responsibility Statement

The Board confirms that:

1. The Directors have taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act, 2013, for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities.

2. In the preparation of the Annual Accounts, the applicable accounting standards have been followed and proper explanation given relating to material departures, if any. The Directors have prepared the Annual Accounts on a going-concern basis.

3. The Directors 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 as at the end of the financial year and of the profit and loss of the Company for that period.

4. Based on the framework of the internal financial controls and compliance systems established and maintained by the Company, the work performed by the Internal, Statutory and Secretarial Auditors, including audit of the internal financial controls over financial reporting by the Statutory Auditors, and the reviews performed by the Management and the relevant Board Committees, including the Audit Committee, the Board is of the opinion that the Company''s internal financial controls were adequate and effective during the financial year 2021-22.

5. The Directors have devised proper systems that are, in our opinion, adequate and operating effectively to ensure compliance with the provisions of all applicable laws.

Code of Conduct

The Board has formulated a Corporate Governance Code of Conduct for all the Directors of the Board and the Senior Managers of the Company. This Code is available on the website of the Company. All Directors and Senior Management Personnel have affirmed compliance with the Code. A declaration to this effect signed by the Chairman and Chief Executive Officer of the Company appears elsewhere in this Annual Report.

Sexual Harassment of Women at Workplace (prevention, prohibition and redressal) act, 2013

The Company has constituted Internal Complaints Committees at each of the five locations of the Company under the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013, to redress complaints received regarding sexual harassment. In the year 2021-22, no case of sexual harassment of women was filed under the said Act.

Business responsibility report

A separate section on Business Responsibility forms part of our Report describing the initiatives taken by the Company from an environmental, social and governance perspective. The Business Responsibility Policy has also been placed on the Company''s website at https://www.hawkinscookers.com/ download/BusinessResponsibilityPolicy.pdf.

Corporate Governance

A separate section on Corporate Governance forms part of our Report. A certificate has been received from the Auditors of the Company regarding compliance of the conditions of Corporate Governance as stipulated under the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Both appear elsewhere in the Annual Report.

Auditors

M/s. Kalyaniwalla & Mistry LLP Chartered Accountants, had been appointed as the Statutory Auditors of the Company at the 57th Annual General Meeting held on August 2, 2017, for an initial term of five years from the conclusion of the 57th Annual General Meeting till the conclusion of the 62nd Annual General Meeting of the Company. The Board of Directors of the Company at its Meeting held on May 26, 2022, on the recommendation of the Audit Committee, has decided to recommend to the shareholders the re-appointment of M/s. Kalyaniwalla & Mistry LLP (Firm Registration No.104607W/W100166), Chartered Accountants, as the Statutory Auditors of the Company for a second term of five years from the conclusion of the 62nd Annual General Meeting till the conclusion of the 67th Annual General Meeting of the Company.

Secretarial Audit

Pursuant to the provisions of Section 204 of the Companies Act, 2013, the Company has appointed M/s. Jayshree Dagli and Associates, Company Secretaries in Practice, to undertake the secretarial audit of the Company for the year 2021-22. The Secretarial Audit Report is annexed as Appendix ii.

Cost Records and Cost Audit

Maintenance of Cost Records and the requirement of a Cost Audit under the provisions of Section 148(1) of the Companies Act, 2013, are not applicable to our Company.

Annual Return

The Annual Return of the Company for the year 2021-22 shall be filed within 60 days of the ensuing 62nd AGM. The Return for the year 2020-21 filed with the Ministry of Corporate Affairs after the 61st AGM held in the year 2021 is available on the Company''s website at https://www. hawkinscookers.com/download/Form_MGT-7_2020-21.pdf.

Contracts or Arrangements with Related Parties

All related party transactions during the year were on arm''s length basis and were not material as per the Related Party Transactions Policy of the Company.

Corporate Social Responsibility

The Company has selected a project called Improving the Health of Women and Children and Saving Energy and Money by using Pressure Cookers. The Company continued its education campaign through a public service campaign in newspapers, about the dangers of Indoor Air Pollution and how to use the Pressure Cooker to mitigate it, and how to save 25% fuel cost using the Pressure Cooker, with the potential of conserving precious fuel resources for India. Additionally, the

Company donated to the Akhand Jyoti Eye Hospital; the Red Cross Society, Hoshiarpur and the Prime Minister''s National Relief Fund.

The Company has spent the entire amount of Rs. 192.47 lakhs required to be spent on Corporate Social Responsibility (CSR) in the year 2021-22 and the excess amount of Rs.1.30 lakhs spent on CSR in 2021-22 is carried forward to the financial year 2022-23 for setting off from the CSR spend target for 2022-23, as duly approved by the Board.

The required Annual Report on CSR is given as Appendix iii.

Directors’ performance Evaluation

The performance evaluation of each Director of the Board was carried out by the Nomination and Remuneration Committee at its Meeting (Serial No.14) held on May 25, 2022, as per the criteria set by it earlier. The said criteria are included in the Corporate Governance Report enclosed herewith. The performance evaluation of the non-Independent Directors, the Board as a whole and the Chairman of the Board was carried out by the Independent Directors at their separate meeting held on May 25, 2022.

The Board of Directors at its Meeting (Serial No.28) held on May 26, 2022, reviewed the reports of evaluation received from the Nomination and Remuneration Committee and the Independent Directors and also the functioning of the Committees of the Board and carried out the evaluation of the Board as a whole, the Committees of the Board and each Director and found the performance of the Board, the Committees and all the individual Directors to be satisfactory.

Remuneration policy

On the recommendation of the Nomination and Remuneration Committee, the Board has framed a Remuneration Policy for all employees of the Company including senior management and the Directors. The Remuneration Policy of the Company is designed to attract, motivate and retain suitable manpower in a competitive market. The remuneration package for each person is designed keeping a balance between fixed remuneration and profit and performance-linked incentives in order to achieve corporate performance targets. The Policy is aligned with the Company''s mission, which states: "Our single-minded determination to please customers drives the kind of people we employ and promote, the investments we make and the results we produce."

The Remuneration Policy is placed at the Company''s website at https://www.hawkinscookers.com/download/ RemunerationPolicy.pdf. The Board affirms that all the remunerations are as per the Remuneration Policy of the Company. Information as per Section 197 of the Companies Act, 2013, is given in Appendix IV.

Vigil Mechanism

The Company has an established Vigil Mechanism/ Whistle Blower Policy for Directors and employees to report concerns or grievances including unethical behaviour, fraud or violation of the Company''s Corporate Governance Code

of Conduct. The authority for the implementation of the Policy rests with the Vice-Chairman and Chief Financial Officer under the overall supervision of the Audit Committee of the Board.

ON BEHALF OF THE BOARD OF DIRECTORS

Mumbai SUBHADIP DUTTA CHOUDHURY

June 29, 2022 CHAIRMAN

---

Mar 31, 2018

The have the honour to present our Fifty-Eighth Annual Report and Audited Statement of Accounts for the year ended March 31, 2018.

2017-18 Operations: Main Results

We are pleased to report good results. Once again, sales are the highest ever. Revenue from operations including excise duty in 2017-18 was Rs. 556.61 crores (up 3.1% over the previous year). The revenues are not comparable since Revenues for the periods up to June 30, 2017, include Excise Duty while Revenues for the periods after June 30, 2017, are exclusive of Goods and Service Tax which subsumed Excise Duty. Therefore, the growth of Revenue from operations on a comparable basis for the year ended March 2018 over the year ended March 2017 is actually 7.9% (Rs. 552.56 crores in 2017-18 versus Rs. 512.28 crores in 2016-17).

This year, profits are also the highest ever. Profit before tax was Rs. 73.81 crores (4.0% higher than the previous year). Net profit after tax was Rs. 48.68 crores (2.6% higher than the previous year).

The net return after tax on the average of the year’s opening and closing shareholders’ funds/net worth (including the amount of the proposed dividend and the tax thereon) was 45% (previous year: 46%).

As required, the Company has reported its results for the first time under the new accounting standard Ind AS. Previous years’ figures have been re-stated as per Ind AS.

All forward-looking statements in our report are based on our assessments and judgments exercised in good faith at this time. Of course, actual developments and/or results may differ from our present anticipation.

2017-18 operations: other aspects

The value of exports at Rs. 34.76 crores in 2017-18 was up 2.4% over the previous year. Foreign Exchange used in 2017-18 was Rs. 1.30 crores (Rs. 6.39 crores in the previous year).

As our Research & Development Unit is recognised by the Department of Scientific and Industrial Research, our expenditure on R&D in 2017-18 is eligible for the benefit of deductibility of expenses at the rate of 150% for the purpose of the computation of income tax subject to the necessary approvals by the Department of Scientific and Industrial Research and the Income Tax Department (previous year the benefit of deductibility of R&D expenses was at the rate of 200%). The expenditure on Research & Development in 2017-18 was Rs. 3.70 crores, 9% lower than the previous year. Required details are given in Appendix I. Efforts continue in our factories and offices to save energy wherever possible.

The required details of Fixed Deposits taken under Sections 73 and 76 of the Companies Act, 2013, are as follows:

(a) Amount accepted during the year: Rs. 5.64 crores.

(b) Amount remained unpaid or unclaimed as at end of the year: Nil.

(c) Default in repayment of deposits or payment of interest thereon: Nil.

Dividend and Appropriations

We are pleased to recommend Rupees Seventy as dividend per Equity Share of Rs.10 (previous year: Rupees Seventy per Share). Our recommendation takes into account the profitability, the circumstances and the requirements of the business.

Out of the amount available for appropriation of Rs.60.52 crores (previous year: Rs. 58.38 crores), we propose:

- Rs. 2.00 crore transfer to General Reserve (previous year: Rs. 1.00 crore) and

- Rs. 58.52 crores as surplus carried to the Balance Sheet (previous year: Rs. 57.38 crores).

Directors’ Responsibility Statement

The Board confirms that:

1. The Directors have taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act, 2013, for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities.

2. In the preparation of the Annual Accounts, the applicable accounting standards have been followed and proper explanation given relating to material departures, if any. The Directors have prepared the Annual Accounts on a going-concern basis.

3. The Directors 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.

4. Based on the framework of the internal financial controls and compliance systems established and maintained by the Company, the work performed by the Internal, Statutory and Secretarial Auditors, including audit of the internal financial controls over financial reporting by the Statutory Auditors, and the reviews performed by Management and the relevant Board Committees, including the Audit Committee, the Board is of the opinion that the Company’s internal financial controls were adequate and effective during the financial year 2017-18.

5. The Directors have devised proper systems that are adequate and operating effectively to ensure compliance with the provisions of all applicable laws.

Code of Conduct

The Board has formulated a Corporate Governance Code of Conduct for all the Directors of the Board and the Senior Managers of the Company. This Code is available on the website of the Company. All Directors and Senior Management Personnel have affirmed compliance with the Code. A declaration to this effect signed by the Vice-Chairman and Chief Executive Officer of the Company appears elsewhere in this Annual Report.

Sexual Harassment of Women at Workplace (prevention, prohibition and redressal) act, 2013

As required under the abovementioned Act, we report that in the year 2017-18 no case of sexual harassment of women was filed under the said Act.

Corporate Governance

A separate section on Corporate Governance forms part of our Report. A certificate has been received from the Auditors of the Company regarding compliance of the conditions of Corporate Governance as stipulated under the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Both appear elsewhere in the Annual Report.

Directors

Mr. Sudeep Yadav retires by rotation as a Director at the 58th AGM of the Company and, being eligible, offers himself for re-appointment for which the Board has resolved to recommend to the shareholders a suitable resolution.

As required by the SEBI (Listing Obligations & Disclosure Requirements) (Amendment) Regulations, 2018, notified on May 9, 2018, Special Resolutions are proposed for your approval at the 58th Annual General Meeting for the continuing from April 1, 2019, of the existing directorships of the following seven Non-Executive Directors who have attained or will attain the age of 75 years during 2019-20: Mr. Brahm Vasudeva, Mr. J. M. Mukhi, Mr. Shishir K. Diwanji, Mr. Gerson da Cunha, General V. N. Sharma (Retd.), Mr. E. A. Kshirsagar and Mr. Ravi Kant.

All the six Independent Directors, namely, Mr. J. M. Mukhi, Mr. Shishir K. Diwanji, Mr. Gerson da Cunha, General V. N. Sharma (Retd.), Mr. E. A. Kshirsagar and Mr. Ravi Kant have given written declarations that they meet the criteria of independence as laid down under Section 149(6) of the Companies Act, 2013.

The Chief Executive Officer made presentations to the Independent Directors to update them on the Company’s operations, products and marketing policies, the challenges faced by the Company in 2017-18, how the Company has managed them and the challenges before the Company in 2018-19. Further, all the six Independent Directors also attended a 6-hour Familiarization Program at the Hawkins Thane factory. The required details of the Independent Directors’ Familiarization Programs are available at http://www.hawkinscookers.com/idfp.pdf,

Auditors

M/s. Kalyaniwalla & Mistry LLP (Firm Registration No.104607W/W100166), Chartered Accountants, have been appointed as the Statutory Auditors of the Company for an initial term of five years from the conclusion of the 57th Annual General Meeting till the conclusion of the 62nd Annual General Meeting of the Company,

Secretarial Audit

Pursuant to the provisions of Section 204 of the Companies Act, 2013, the Company had appointed M/s. Jayshree Dagli & Associates, Company Secretaries in Practice, to undertake the secretarial audit of the Company for the year 2017-18. The Secretarial Audit Report is annexed as Appendix II.

Extract of Annual Return in Form MGT-9 (Section 92(3) of the Companies Act, 2013)

Given in Appendix iii are the details required as per the following seven sections:

I. Registration and Other Details

II. Principal Business Activities of the Company

III. Particulars of Holding, Subsidiary and Associate

Companies

IV. Shareholding Pattern

V. Indebtedness

VI. Remuneration of Directors and Key Managerial

Personnel

VII. Penalties/Punishment/Compounding of Offences

Contracts or Arrangements with related parties

All related party transactions during the year were on an arm’s length basis and were not material as per the Related Party Transactions Policy of the Company.

Corporate Social responsibility

The Company has selected an appropriate project called Improving the Health of Women and Children by Cutting Indoor Air Pollution with Pressure Cooking. After the successful pilot project conducted by the Company itself in a few villages in Jalna and Ahmednagar districts of Maharashtra in 2016-17, we have decided to implement the said project appropriately scaled up with suitable Implementation Partner(s). The Company has initiated this approach by partnering with Bhagirath Gramvikas Pratishthan (BGP) in implementing the said project in the Sindhudurg district of Maharashtra. The village women were explained how they could reduce their and their children’s exposure to Indoor Air Pollution by the use of Pressure Cookers - with live demonstrations and pressure cookers being offered to the villagers by BGP at a 50% discount on the MRP

However, because of the time taken to identify and implement the said project with a suitable Implementation Partner, we could not spend all of the Rs. 1.17 crores on activities under Corporate Social Responsibility in the year ended March 31, 2018.

We plan to scale up the implementation of the said project in 2018-19 in partnership with the suitably identified and selected Implementation Partner(s) in one or more States of India. The required Annual Report on CSR is given as Appendix iV.

Directors’ performance evaluation

The performance evaluation of each Director of the Board was carried out by the Nomination and Remuneration Committee at its Meeting held on May 30, 2018, as per the criteria set by it earlier. The said criteria are included in the Corporate Governance Report enclosed herewith. The performance evaluation of the non-Independent Directors, the Board as a whole and the Chairman of the Board was carried out by the Independent Directors at their separate meeting held on May 30, 2018. The Board of Directors at its meeting held on May 30, 2018, reviewed the reports of evaluation received from the Nomination and Remuneration Committee and the Independent Directors and also the functioning of the Committees of the Board and carried out the evaluation of the Board as a whole, the Committees of the Board and each Director and found the performance of the Board, the Committees and all the individual Directors to be satisfactory.

Remuneration policy

On the recommendation of the Nomination and Remuneration Committee, the Board has framed a remuneration policy for all employees of the Company including senior management and the Directors. The remuneration policy of the Company is designed to attract, motivate and retain suitable manpower in a competitive market. The remuneration package for each person is designed keeping a balance between fixed remuneration and profit and performance-linked incentives in order to achieve corporate performance targets. The policy is aligned with the Company’s mission, which states: “Our single-minded determination to please customers drives the kind of people we employ and promote, the investments we make and the results we produce.” The Remuneration Policy is placed at the Company’s website at http://www.hawkinscookers.com/ download/RemunerationPolicy.pdf. The Board affirms that the remuneration is as per the Remuneration Policy of the Company, Information as per Section 197 of the Companies Act, 2013, is given in Appendix V.

Vigil Mechanism

The Company has established a Vigil Mechanism/Whistle Blower Policy for Directors and employees to report genuine concerns or grievances including unethical behaviour, fraud or violation of the Company’s Corporate Governance Code of Conduct. The authority for the implementation of the policy rests with the Executive Director-Finance & Administration under the overall supervision of the Audit Committee of the Board.

ON BEHALF OF THE BOARD OF DIRECTORS

Mumbai BRAHM VASUDEVA

June 25, 2018 CHAIRMAN

---

Mar 31, 2017

We have the honour to present our Fifty-Seventh Annual Report and Audited Statement of Accounts for the year ended March 31, 2017.

2016-17 Operations: Main Results

We are pleased to report excellent results.

Once again, sales are the highest ever. Revenue from operations including excise duty in 2016-17 was Rs. 606.16 crores (up 6.1% over the previous year) and, net of excise duty, it was Rs. 578.61 crores (up 6.3% over the previous year).

This year, profits are also the highest ever. Profit before tax was Rs. 68.20 crores (13.2% higher than the previous year). Net profit after tax was Rs. 45.61 crores (13.1% higher than the previous year).

The net return after tax on shareholders'' funds/net worth (after reducing the amount of the proposed dividend and the tax thereon - to make the net worth comparable to the previous year) was 74% (previous year: 67%).

Management Discussion and Analysis

We operate in the Kitchenware segment consisting of Pressure Cookers and Cookware. The industry structure is quite competitive with both small scale and organized sector units.

In 2016-17, we did not take a price increase. This, along with our now extremely effective advertising, has led to a growth in demand for our pressure cookers and cookware. Our improved distribution has also helped sales. Our efforts at more efficient procurement and production have produced a good impact on our profits.

We have undertaken projects to renovate and increase the production capacity of our plants. The required investment is generated from internal resources. The new products launched during the year have done well.

The number of permanent employees as on April 1, 2016, was 789 and as on March 31, 2017, was 728. The morale of our employees at all locations is high. A three-year settlement with our workers in Hoshiarpur has been signed. Industrial relations at all our locations were and are normal. We appreciate very much the contribution of our employees to the successful working of your Company,

Profit before tax as a percentage of net sales in 2016-17 was 11.8% as against 11.1% in the previous year. Net profit after tax as a percentage of net sales in 2016-17 was 7.9% as against 7.4% in the previous year.

Cash flow during the year was comfortable. Cash and cash equivalents as on March 31, 2017, were Rs. 64.29 crores (previous year: Rs. 48.92 crores). We have plans to utilize these funds appropriately.

Control Systems

In our judgment, the Company has adequate financial and administrative systems and controls and an effective internal audit function.

Risks and Concerns

All foreseeable risks that the Company may encounter and concerns have been addressed in a documented Risk Management Framework which is reviewed by the Board from time to time.

Threats and Opportunities

Management continues to diligently watch cost increase trends and seeks effective cost controls and necessary adjustment in prices as needed from time to time. We are prepared for the impact of the Goods and Services Tax and believe we are well equipped to deal with it.

The current and long-term vitality of the demand for our brands augur well for the future of your Company.

Outlook

We believe the outlook for our business is excellent. In this year, we have further strengthened the good reputation we have amongst our consumers, customers and associates and vendors. We expect to continue to increase our sales and profits,

All forward-looking statements in our report are based on our assessments and judgments exercised in good faith at this time. Of course, actual developments and/or results may differ from our present anticipation.

2016-17 Operations: Other Aspects

The value of exports at Rs. 32.83 crores in 2016-17 was up 18.4% over the previous year. Foreign Exchange used in 2016-17 was Rs. 6.39 crores (Rs. 1.33 crores in the previous year).

As our Research & Development Unit is recognized by the Department of Scientific and Industrial Research, our expenditure on R&D in 2016-17 is eligible for the benefit of deductibility of expenses at the rate of 200% for the purpose of the computation of income tax subject to the necessary approvals by the Department of Scientific and Industrial Research and the Income Tax Department. The expenditure on Research & Development in 2016-17 was Rs. 4.06 crores, up 20% over previous year. Required details are given in Appendix I. Efforts continue in our factories and offices to save energy wherever possible.

The details of Fixed Deposits under Sections 73 and 76 of the Companies Act, 2013, are as follows:

(a) Amount accepted during the year: Rs. 1.33 crores.

(b) Amount remained unpaid or unclaimed as at end of the year: Nil.

(c) Default in repayment of deposits or payment of interest thereon: Nil.

Dividend and Appropriations

We are pleased to recommend Rupees Seventy as dividend per Equity Share of Rs.10 (previous year: Rupees Sixty per Share). Our recommendation takes into account the profitability, circumstances and requirements of the business.

Out of the amount available for appropriation of Rs. 58.38 crores (previous year: Rs. 51.95 crores), we propose:

-Rs. 1.00 crore transfer to General Reserve (previous year: Rs. 1.00 crore) and

-Rs. 57.38 crores as surplus carried to the Balance Sheet (previous year: Rs. 12.77 crores). The much larger said amount this year is because the entire proposed dividend and the tax thereon which is Rs. 44.55 crores is carried as surplus to the balance sheet as is required by the Accounting Standard 4 in the year under report.

Directors'' Responsibility Statement

The Board confirms that:

1. The Directors have taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act, 2013, for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities.

2. In the preparation of the Annual Accounts, the applicable accounting standards have been followed and proper explanation given relating to material departures. The Directors have prepared the Annual Accounts on a going-concern basis.

3. The Directors 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.

4. Based on the framework of the internal financial controls and compliance systems established and maintained by the Company, the work performed by the Internal, Statutory and Secretarial Auditors, including audit of the internal financial controls over financial reporting by the Statutory Auditors, and the reviews performed by Management and the relevant Board Committees, including the Audit Committee, the Board is of the opinion that the Company''s internal financial controls were adequate and effective during the financial year 2016-17.

5. The Directors have devised proper systems that are adequate and operating effectively to ensure compliance with the provisions of all applicable laws.

Code of Conduct

The Board has formulated a Corporate Governance Code of Conduct for all Directors of the Board and Senior Managers of the Company. This Code is available on the website of the Company. All Directors and Senior Management Personnel have affirmed compliance with the Code. A declaration to this effect signed by the Vice-Chairman and Chief Executive Officer of the Company appears elsewhere in this Annual Report.

Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013

As required under the abovementioned Act, we report that in the year 2016-17 no case of sexual harassment of women was filed under the said Act.

Corporate Governance

A separate section on Corporate Governance forms part of our Report. A certificate has been received from the Auditors of the Company regarding compliance of conditions of Corporate Governance as stipulated under the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015. Both appear elsewhere in the Annual Report.

Directors

Mr. Ravi Kant was appointed as an Additional Director of the Company with effect from June 1, 2016. At the Annual General Meeting (AGM) of the Company held on August 4, 2016, the shareholders appointed him as an Independent Director for a period of five years.

Mrs. Susan M. Vasudeva retires by rotation as a Director at the 57^th AGM of the Company and, being eligible, offers herself for re-appointment for which the Board has resolved to recommend to the shareholders a suitable resolution.

All the six Independent Directors, namely, Mr. J. M. Mukhi, Mr. Shishir K. Diwanji, Mr. Gerson da Cunha, General V, N. Sharma (Retd.), Mr. E. A. Kshirsagar and Mr. Ravi Kant have given written declarations that they meet the criteria of independence as laid down under Section 149(6) of the Companies Act, 2013.

The Chief Executive Officer made presentations to the Independent Directors to update them on the Company''s operations, products and marketing policies, and the main challenges faced by the Company in 2016-17 and how the Company has managed them. The required details of the Familiarization Program presentations made to the Independent Directors are available at www.hawkinscookers.com/idfp.

Auditors

As per Section 139 of the Companies Act, 2013, read with the Companies (Audit and Auditors) Rules, 2014, the term of M/s. Deloitte Haskins & Sells LLP (Firm Registration No. 1 17366W/W-100018), Chartered Accountants, as the Statutory Auditors of the Company expires at the conclusion of the 57^th Annual General Meeting of the Company. The Board of Directors of the Company at its meeting held on May 25, 2017, on the recommendation of the Audit Committee, has decided to recommend to the shareholders the appointment of M/s. Kalyaniwalla & Mistry LLP (Firm Registration No.104607W/W100166), Chartered Accountants, as the Statutory Auditors of the Company for an initial term of five years from the conclusion of the 57^th Annual General Meeting till the conclusion of the 62^nd Annual General Meeting of the Company. The Board places on record its appreciation for the services rendered admirably by M/s. Deloitte Haskins & Sells LLP as the Statutory Auditors of the Company.

Secretarial Audit

Pursuant to the provisions of Section 204 of the Companies Act, 2013, the Company had appointed M/s. Jayshree Dagli & Associates, Company Secretaries in Practice, to undertake the secretarial audit of the Company for the year 2016-17. The Secretarial Audit Report is annexed as Appendix II.

Extract of Annual Return in Form MGT-9 (Section 92(3) of the Companies Act, 2013)

Given in Appendix III are the details required as per the following seven sections:

I. Registration and Other Details

II. Principal Business Activities of the Company

III. Particulars of Holding, Subsidiary and Associate

Companies

IV. Shareholding Pattern

V. Indebtedness

VI. Remuneration of Directors and Key Managerial

Personnel

VII. Penalties/Punishment/Compounding of Offences

Contracts or Arrangements with Related Parties

All related party transactions during the year were on an arm''s length basis and were not material as per the Related Party Transactions Policy of the Company,

Corporate Social Responsibility

The Company has selected an appropriate project called Improving the Health of Women and Children by Cutting Indoor Air Pollution with Pressure Cooking. A pilot project was conducted in a few villages in Jalna and Ahmednagar districts of Maharashtra in 2016-17. The village women were explained how they can reduce the exposure to Indoor Air Pollution by the use of Pressure Cookers with live demonstrations and pressure cookers were offered to the villagers at a 50% discount on the MRP

After evaluating the results of the pilot project, we concluded that it was a success and decided to pursue the project on a suitably enlarged scale. However, because of the time taken to conduct the pilot, we could not spend the Rs.1.10 crores on activities under Corporate Social Responsibility in the year ended March 31, 2017, as required by Section 135 of the Companies Act, 2013.

We plan to scale up this project in 2017-18 by recruiting, training and deploying demonstrators in one or more States of India. The required Annual Report on CSR is given as Appendix IV.

Directors’ Performance Evaluation

The performance evaluation of each Director of the Board was carried out by the Nomination and Remuneration Committee at its Meeting held on May 25, 2017, as per the criteria set by it earlier. The said criteria are included in the Corporate Governance Report enclosed herewith. The performance evaluation of the non-Independent Directors, the Board as a whole and the Chairman of the Board was carried out by the Independent Directors at their separate meeting held on May 25, 2017. The Board of Directors at its meeting held on May 25, 2017, reviewed the reports of evaluation received from the Nomination and Remuneration Committee and the Independent Directors and also the functioning of the Committees of the Board and carried out the evaluation of the Board as a whole, the Committees of the Board and each Director and found the performance of the Board, the Committees and all the individual Directors to be satisfactory.

Remuneration Policy

On the recommendation of the Nomination and Remuneration Committee, the Board has framed a remuneration policy for all employees of the Company including senior management and the Directors. The remuneration policy of the Company is designed to attract, motivate and retain suitable manpower in a competitive market. The remuneration package for each person is designed keeping a balance between fixed remuneration and profit and performance-linked incentives in order to achieve corporate performance targets. The policy is aligned with the Company''s mission, which states: "Our single-minded determination to please customers drives the kind of people we employ and promote, the investments we make and the results we produce." The Board affirms that the remuneration is as per the Remuneration Policy of the Company. Information as per Section 197 of the Companies Act, 2013, is given in Appendix V.

Vigil Mechanism

The Company has established a Vigil Mechanism/ Whistle Blower Policy for Directors and employees to report genuine concerns or grievances including unethical behaviour, fraud or violation of the Company''s Corporate Governance Code of Conduct. The authority for the implementation of the policy rests with the Executive Director-Finance & Administration under the overall supervision of the Audit Committee of the Board.

ON BEHALF OF THE BOARD OF DIRECTORS

Mumbai BRAHM VASUDEVA

June 28, 2017 CHAIRMAN

---

Mar 31, 2014

Dear Members,

We have the honour to present our fifty-fourth Annual Report and Audited Statement of Accounts for the year ended March 31, 2014, 2013-14 Operations: Main Results

Once again, sales are the highest ever. Revenue from operations including excise duty in 2013-14 was Rs.4,805.5 million (up 7.5% over previous year) and, net of excise duly, it was Rs.4,570.8 million (up 7.6% over the previous year),

Profit before tax was Rs.570.6 million (14.0% more than the previous year). Net profit after tax was Rs.382.8 million (12.3% more than the previous year), The net return on shareholders funds (net worth) was 69%.

Management Discussion and Analysis

With the end of the shortage of the supply of our products in the year 2012-13, 2013-14 was a year in which the main challenge was increasing demand. Your Company has met this challenge mainly by the introduction of new products, In Pressure Cookers, it has launched Hawkins Hevibase which is a range of Induction Compatible Pressure Cookers in aluminium, In Cookware, it has introduced a range of Induction Compatible Cookware, both hard anodized and non-stick. These products have been very well received in the market by dealers and consumers alike,

We continue our efforts in developing and launching new products. To this end, we have significantly increased our human resources in Research and Development,

The number of employees as on March 31, 2014, is 811. In May and June 2014, we have successfully completed Ihe negotiation of three-year wage agreements with our Workers and Staff in Hoshiarpur. The morale of our employees at all locations is high. We appreciate very much the contribution of our employees to the successful working of your Company,

Profit before tax as a percentage of net sales in 2013-14 was 12.5% as against 11.8% in the previous year, Profit after tax as a percentage of net sales in 2013-14 was 8.4% as against 8.0% in the previous year. Consequent to the increase in input costs, we have taken a price increase of about 6% in Pressure Cookers and 4.5% in Cookware on April 1,2014,

Cash flow during the year was comfortable. Cash and cash equivalents as on March 31, 2014, were ^503.9 million (previous year: Rs.499.7 million). We have plans to utilise these funds appropriately,

Control Systems

In our judgment, the Company has adequate financial and administrative systems and controls and an effective internal audit function,

Risks and Concerns

All foreseeable risks that the Company may encounter and concerns have been addressed in a documented Risk-Management framework which is reviewed by the Board from time to time,

Threats and Opportunities

The general inflationary trend in the Indian economy is a cause for concern. Management continues to diligently watch cost trends and seeks effective cost controls and necessary adjustment in prices as needed from time to time,

The current and long-term vitality in the demand for our brands - Hawkins, Contura, Hevibase, Futura and Miss Mary - augur well for the future of your Company,

Outlook

We believe the outlook for our business is excellent, The supply shortage has been overcome and we are now considerably better poised to take advantage of the opportunities in the marketplace to increase our sales and profits handsomely,

At our meeting held on July 31, 2014, we considered and declared the results for the quarter ended June 30,2014, In the said quarter, compared with the corresponding quarter in the previous year, sales were 29.1 % up and profit after tax was 44.6% up. The high magnitude of first quarter increases in the current financial year is partially because of the low base effect of the corresponding quarter in the previous year and are unlikely to be sustained through the coming quarters of the current year. Nevertheless, we believe that the good start in the first quarter of the current year augurs well for the results that we expect in the year 2014-15,

All forward-looking statements in our report are based on our assessments and judgments exercised in good faith at this time. Of course, actual developments and/or results may differ from our anticipation,

2013-14 Operations: Other Aspects

The value of exports at Rs.268.2 million in 2013-14 was 10.2% up over the previous year. Foreign Exchange used in 2013-14 was Rs.12.7 million (Rs.41.7 million in the previous year),

Information as per Section 217(2A) of the Companies Act, 1956, is given in Appendix I,

As our Research & Development unit is recognised by the Department of Scientific and Industrial Research, our expenditure on R&D in 2013-14 shall be eligible for the benefit of deductibility of expenses at the rate of 200% for the purpose of the computation of income tax, subject to the necessary approvals by the Department of Scientific and Industrial

Research and the Income Tax Department. The expenditure on Research & Development in 2013-14 was Rs.19.7 million, up 81.8% over previous year. Required details are given in Appendix II. Efforts continue in our factories and offices to save energy wherever possible,

None of the fixed deposits maturing for payment prior to March 31, 2014, remained unclaimed as on that date,

Dividend and Appropriations

We are pleased to recommend Rupees Sixty per Share as dividend at the rate of 600% (previous year: Rupees Fifty per share). Our recommendation takes into account the profitability, circumstances and requirements of the business,

Out of the amount available for appropriation of Rs.552.5 million (previous year: Rs.529.0 million), we propose:

- Rs.317.3 million as provision for dividend (previous year: Rs.264.4 million)

- tax on proposed dividend Rs.53.9 million (previous year: Rs.44.9 million)

- Rs.50.0 million transfer to General Reserve (previous year: Rs.50.0 million) and

- Rs.131.3 million as surplus carried to the Balance Sheet (previous year: Rs.169.7 million),

Directors'' Responsibility Statement

The Board confirms that:

1. The directors have taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the applicable provisions of the Companies Act, 1956, for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities,

2. In the preparation of the Annual Accounts, the applicable accounting standards have been followed and proper explanation given relating to material departures, The directors have prepared the Annual Accounts on a going-concern basis,

3. The directors 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 of the Company for that period,

Code of Conduct

The Board has formulated The Corporate Governance Code of Conduct for all Directors of the Board and Senior Managers of 1he Company. This Code has been posted on the website of the Company. All Directors and Senior Management Personnel have affirmed compliance with the Code. A declaration to this effect signed by the vIce-Chairman and Chief Executive Officer of the Company appears elsewhere in this Annual Report,

Corporate Governance

A separate section on Corporate Governance forms part of our Report. A certificate has been received from the Auditors of the Company regarding compliance of conditions of Corporate Governance as stipulated under Clause 49 of the Listing Agreement with the Stock Exchange. Both appear elsewhere in the Annual Report,

Directors

Mr. K. K. Kaul, Executive Director-Operations, retired at the end of his contract on May 31, 2013. The Directors have recorded their appreciation for the many contributions made by Mr. Kaul during his 28 years in your Company,

Mr. M. A. Teckchandani, Executive Director-Finance & Administration, retired at the end of his contract on November 11, 2013. The Directors wish to place on record their appreciation for the many contributions made by Mr. Teckchandani during his 29 years in your Company,

Mr. Sudeep Yadav was appointed as Executive Director-Finance & Administration (Designate) with effect from July 22,2013, and has taken over from Mr. M. A. Teckchandani as Executive Director-Finance & Administration with effect from November 12, 2013,

At the Board Meeting held on May 27, 2014, Mr. E. A. Kshirsagar has been appointed as an Additional Director of the Company with effect from June 1, 2014, to hold office up to the 54th Annual General Meeting. A resolution is proposed for his appointment as an Independent Director,

Following the changes made by the Companies Act, 2013, at the Board Meeting held on July 31, 2014, the Board resolved:

- To recommend to shareholders resolutions to appoint the following existing Directors, Messrs. Gerson da Cunha, S. K. Diwanji, J. M. Mukhi and General V. N. Sharma (Retd.) as Independent Directors from the date of the 54th Annual General Meeting for a period of five years each,

- To appoint Mrs. Susan Vasudeva as an Additional Director with effect from August 1, 2014, and to recommend to shareholders a resolution to appoint her as a woman Director from the date of the 54th Annual General Meeting,

Auditors

Messrs. Deloitte Haskins & Sells LLP retire and, being eligible, offer themselves for reappointment,

ON BEHALF OF THE BOARD OF DIRECTORS

Mumbai BRAHM VASUDEVA August 11, 2014 CHAIRMAN

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Mar 31, 2012

The have the honour to present our fifty-second Annual Report and Audited Statement of Accounts for the year ended March 31, 2012.

2011-12 Operations: Main Results

Sales are the highest ever. Revenue from operations including excise duty in 2011-12 was Rs.3,837.2 million (up 10.9% over previous year) and, net of excise duty, it was Rs.3,675.4 million (up 10.1% over the previous year).

Profit before tax was Rs.445.6 million (6.3% less than the previous year). Net profit after tax was Rs.300.8 million (5.3% less than the previous year).

The net return on shareholders funds (net worth) was 62%.

Directors' Responsibility Statement

The Board confirms that:

1. The directors have taken proper and sufficient care for the maintenance of adequate accounting records in

accordance with the provisions of the Companies Act, 1956, for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities.

2. In the preparation of the Annual Accounts, the applicable accounting standards have been followed and proper explanation given relating to material departures. The directors have prepared the Annual Accounts on a going-concern basis.

3. The directors 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 of the Company for that period.

Code of Conduct

The Board has formulated a Code of Conduct for all Directors of the Board and Senior Managers of the Company. This Code has been posted on the website of the Company. All Directors and Senior Management Personnel have affirmed compliance with the Code. A declaration to this effect signed by the Vice-Chairman and Chief Executive Officer of the Company appears elsewhere in this Annual Report.

Corporate governance

A separate section on Corporate Governance forms part of our Report. A Certificate has been received from the Auditors of the Company regarding compliance of conditions of Corporate Governance as stipulated under Clause 49 of the Listing Agreement with the Stock Exchange. Both appear elsewhere in the Annual Report.

Directors

Mr. Gerson da Cunha, Director, retires by rotation and, being eligible, offers himself for reappointment for which a suitable resolution is proposed for your approval. Mr. B. K. Khare, Director, retires by rotation and, being eligible, offers himself for reappointment for which a suitable resolution is proposed for your approval.

Auditors

Messrs. Deloitte Haskins & Sells retire and, being eligible, offer themselves for reappointment.

ON BEHALF OF THE BOARD OF DIRECTORS

Mumbai BRAHM VASUDEVA

July 2, 2012 CHAIRMAN

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Mar 31, 2011

We have the honour to present our fifty-first Annual Report and Audited Statement of Accounts for the year ended March 31, 2011.

2010-11 OPERATIONS: MAIN RESULTS

We are happy to report that sales are the highest ever: sales (including excise duty) in 2010-11 were Rs.3436 million; sales net of excise duty were Rs.3315 million, up 16% over the previous year. Profit before tax was Rs.475.5 million, 15% less than the previous year. Net profit after tax for the year was Rs.317.7 million, 14% less than the previous year. It should be remembered that in the previous year, 2009-10, profit before tax was up 90% and profit after tax was up 93% over its previous year, 2008-09. In the year under report, 2010-11, notwithstanding the lesser profits before and after tax than in 2009-10, the Return on Capital Employed was 53% and the Return on Net Worth was 75%.

Information as per Section 217(2A) of the Companies Act, 1956, is given in Appendix I.

We have obtained Recognition from the Department of Science and Industrial Research for our in-house Research & Development unit. The expenditure on Research & Development was Rs.9.5 million, (previous year: Rs.10.2 million) – down by 7%. Required details are given in Appendix II. Efforts continue in our factories and offices to save energy wherever possible.

None of the fixed deposits maturing for payment prior to March 31, 2011, remained unclaimed as on that date.

DIVIDEND AND APPROPRIATIONS

We are pleased to recommend Rupees Forty per Share as dividend at the rate of 400% (previous year: Rupees Forty per share). Our recommendation takes into account the profitability, circumstances and requirements of the business.

Out of the amount available for appropriation of Rs.478.9 million (previous year: Rs.457.8 million), we propose

- Rs.211.5 million as provision for dividend (previous year: Rs.211.5 million)

- tax on proposed dividend Rs.34.3 million (previous year: Rs.35.1 million)

- Rs.50.0 million transfer to General Reserve (previous year: Rs.50.0 million) and

- Rs.183.0 million as surplus carried to the Balance Sheet (previous year: Rs.161.2 million).

DIRECTORS RESPONSIBILITy STATEMENT

The Board confirms that:

1. The directors have taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act, 1956, for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities.

2. In the preparation of the Annual Accounts, the applicable accounting standards have been followed and proper explanation given relating to material departures. The directors have prepared the Annual Accounts on a going- concern basis.

3. The directors 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 of the Company for that period.

Code of Conduct

The Board has formulated a Code of Conduct for all Directors of the Board and Senior Managers of the Company. This Code has been posted on the website of the Company. All Directors and Senior Management Personnel have affirmed compliance with the Code. A declaration to this effect signed by the Vice-Chairman and Chief Executive Officer of the Company appears elsewhere in this Annual Report.

Corporate governance

A separate section on Corporate Governance forms part of our Report. A Certificate has been received from the Auditors of the Company regarding compliance of conditions of Corporate Governance as stipulated under Clause 49 of the Listing Agreement with the Stock Exchange. Both appear elsewhere in the Annual Report.

DIRECTORS

Mr. J. M. Mukhi, Director retires by rotation and, being eligible, offers himself for reappointment for which a suitable resolution is proposed for your approval. General V.N. Sharma (Retired) retires by rotation and, being eligible, offers himself for reappointment for which a suitable resolution is proposed for your approval.

AUDITORS

Messrs. Deloitte Haskins & Sells retire and, being eligible, offer themselves for reappointment.

ON BEHALF OF THE BOARD OF DIRECTORS

Mumbai BRAHM VASUDEVA

June 21, 2011 CHAIRMAN

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Mar 31, 2010

We have the honour to present our fiftieth Annual Report and Audited Statement of Accounts for the year ended March 31, 2010. As mentioned in our report last year, 2008-09 was in fact our Golden Jubilee Year, In 2009-10, we celebrated our Golden Jubilee appropriately by holding functions at our plants and in Mumbai to which our associates, vendors, employees and their families were invited. We feel that these functions have significantly enhanced the understanding and enthusiasm of our associates, vendors and employees about your Company and its character.

2009-10 OPERATIONS: MAIN RESULTS

We are happy to report that both sales and profits are the highest ever in the history of your Company. Sales (including excise duty) in 2009-10 were Rs.2954 million; sales net of excise duty were Rs.2856 million, up 18% over the previous year. Profit before tax was Rs.558.8 million, up 90% over the previous year, Net profit after tax for the year was Rs.368.4 million, up 93% over the previous year.

MANAGEMENT DISCUSSION AND ANALYSIS

Profit before tax as a percentage of sales in 2009-10 was 18.9% as against 11.5% in the previous year. Profit after tax as a percentage of sales in 2009-10 was 12.5% as against 7.5% in the previous year, The improvement in margins is the result of higher sales and moderation in material costs.

Two new pressure cooker models were introduced in 2009-10 and were very well received in the market - sales of these models in the aggregate were 89 thousand units in the launch year. Four new cookware items were similarly launched for a total sale of 27 thousand units,

Pressure Cooker sales volume increased by 19% and sales value by 1 7% over the previous year, The number of directly transacting dealers has gone up to 4,815, an increase of 29% on the previous year. Despite our pressure cooker production increasing from 22.9 lakh units to 28.0 lakh units, we were not able to supply fully the demand for our pressure cookers. Similarly, in cookware our demand has been substantially more than our ability to supply. Management is working to implement plans to further increase supply of all our products significantly in 2010-11.

Although material costs in 2009-10 as a whole were significantly lower than the previous year, the trend of costs during the year was upwards. At present, the materials cost situation is uncertain and difficult to forecast.

Cash flow during the year, taking into account operating, investing and financing activities, was very

comfortable, The increase in cash and bank deposits at the end of the year is Rs.250 million over the opening balance of Rs.144 million. The cash and bank deposits as on March 31, 2010, is Rs.394 million. We have plans to utilise these funds appropriately.

The number of employees as on March 31, 2010, is 900. Morale of employees is high. Industrial relations are normal. We have long-term settlements with our workers and staff in place in all our plants and offices. We appreciate very much the contribution of all our employees.

Control Systems

In our judgment, the company has adequate financial and administrative systems and controls and an effective internal audit function.

Risks and Concerns

All foreseeable risks that the Company may encounter and concerns have been addressed in a documented risk management framework which is reviewed by the Board from time to time.

Threats and Opportunities

The general inflationary trend in the indian economy is a cause for concern. While the cost of raw materials had moderated, they may once again move up irrationally and pose a threat. The Company continues to diligently watch these trends and seeks effective cost controls and necessary adjustment in prices as needed from time to time.

The continuing vitality of our brands - Hawkins, Futura and Miss Mary - and the general, buoyant growth rate of the Indian economy augur well for your Company.

Outlook

In our judgement, the outlook for our business is excellent. We are well-positioned to take advantage of the growth of demand in our markets competitively and to continue to increase our sales and profits handsomely.

All forward-looking statements in our report are based on our assessments and judgments exercised in good faith at this time. Of course, actual developments and/or results may differ from our anticipation.

2009-10 OPERATIONS: OTHER ASPECTS

FOB value of exports was Rs. 114.8 million, down 10% over the previous year mainly owing to delayed shipments because of product scarcity. Foreign Exchange used in

the year under report was Rs.6.9 million (previous year: Rs.l 0.4 million).

Information as per Section 217(2A) of the Companies Act, 1956, is given in Appendix I. The expenditure on Research and Development was Rs.l0.2 million, (previous year: Rs.l l.T million) - down by 8%. Required details are given in Appendix II. Efforts continue in our factories and offices to save energy wherever possible. None of the fixed deposits maturing for payment prior to March 31, 2010, remained unclaimed as on that date.

DIVIDEND AND APPROPRIATIONS

We are pleased to recommend Rupees Forty per Share as dividend at the rate of 400% (previous year: Rupees Twenty per share). Our recommendation takes into account the profitability, circumstances and requirements of the business.

Out of the amount available for appropriation of Rs.457.8 million (previous year: Rs.258.2 million), we propose

- Rs.211.5 million as provision for dividend (previous year: Rs.l05.8 million)

- tax on proposed dividend Rs.35.1 million (previous year: Rs.l8.0 million)

- Rs.50.0 million transfer to General Reserve (previous year: Rs.45.0 million) and

- Rs.l61.2 million as surplus carried to the Balance Sheet (previous year: Rs.89.5 million).

DIRECTORS RESPONSIBILITY STATEMENT

The Board confirms that:

1. The directors have taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of the Companies Act, 1956, for safeguarding the assets of the Company and for preventing and detecting fraud and other irregularities.

2. In the preparation of the Annual Accounts, the applicable accounting standards have been followed and proper explanation given relating to material departures. The directors have prepared the Annual Accounts on a going concern basis.

3. The directors 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 of the Company for that period.

Code of Conduct

The Board has formulated a Code of Conduct for all Directors of the Board and Senior Managers of the

Company. This Code has been posted on the website of the Company. All Directors and Senior Management Personnel have affirmed compliance with the Code. A declaration to this effect signed by the Vice-Chairman and Chief Executive Officer of the Company appears elsewhere in this Annual Report.

Corporate Governance

A separate section on Corporate Governance forms part of our Report. A Certificate has been received from the Auditors of the Company regarding compliance of conditions of Corporate Governance as stipulated under Clause 49 of the Listing Agreement with the Stock Exchange. Both appear elsewhere in the Annual Report.

DIRECTORS

The Company has received notices under section 257 of the Companies Act, 1956 for reappointment of Mr. Brahm Vasudeva as a non-executive Director with effect from April 26, 2011, for which a suitable resolution is proposed for your approval. Subject to his being elected as non-executive Director, the Board has resolved at its meeting held on May 29, 2010 to reappoint Mr. Vasudeva as the non-executive Chairman of the Board of the Company for a further period of five years with effect from April 26, 2011, At its meeting held on May 29, 2010, the Board has also reappointed Mr. Vasudeva as an Advisor to your Company for a further period of five years subject to your approval for which a suitable resolution is also proposed.

The Board at its meeting held on May 29, 2010, has reappointed Mr. Subhadip Dutta Choudhury as Vice Chairman & Chief Executive Officer for a further period of three years with effect from August 1, 2010, on revised terms subject to your approval for which a suitable resolution is proposed.

At its meeting held on May 29, 2010, the Board decided to change, the responsibilities and designation of Mr. M, A. Teckchandani from Executive Director - Operations to Executive Director - Finance & Administration with effect from June 1, 2010, with all other terms of his appointment remaining unchanged. Mr. Teckchandani retires by rotation and, being eligible, offers himself for reappointment for which a suitable resolution is proposed for your approval. The Board also reappointed Mr. M. A, Teckchandani as Executive Director - Finance & Administration for a further period of three years with effect from November 12, 2010, on revised terms subject to your approval for which a suitable resolution is also proposed.

The Board at its meeting held on May 29, 2010, appointed Mr. K. K. Kaul as a Wholetime Director of the Company designated as Executive Director - Operations

for a term of three years with effect from June 1, 2010, subject to your approval for which a suitable resolution is proposed. Mr. Kaul has served in your Company as an executive for the last 25 years at growing levels of seniority and was Executive Vice President - Technical prior to being appointed as Executive Director - Operations.

Mr. Shishir K. Diwanji, Director retires by rotation and, being eligible, offers himself for reappointment for which a suitable resolution is proposed for your approval.

AUDITORS

Messrs, Deloitte Haskins & Sells retire and, being eligible, offer themselves for reappointment.

ON BEHALF OF THE BOARD OF DIRECTORS Mumbai BRAHM VASUDEVA June 21, 2010 CHAIRMAN