Sequent Scientific Ltd

Expanding horizons to broaden our impact

Our performance in FY25 reflects the positive outcomes of this strategy. The Company delivered consistent growth and profitability across key segments, supported by strong demand in core markets. Our Formulations business delivered broad- based double-digit growth, with most markets registering strong momentum.

The API business remained stable and improved profitability, continuing to benefit from the programs under Project Pragati. Overall, our margins continued to improve across all segments.

Dear Shareholders,

I am pleased to present the results of your Company for FY25. This year marks a significant acceleration in our performance and a step change in our growth trajectory. We have begun to realise the benefits of various strategic initiatives as we move towards building a future ready, global, animal health company.

While geopolitical tensions, trade disruptions, and uneven growth across major economies continue to pose risks, the animal health industry remains relatively resilient, offering opportunities for sustained long term growth. Valued at USD 63.0 billion in 2024, the global animal healthcare market is projected to grow at a robust CaGr of 9.0 - 10.0 % between 2025 and 2030, propelled by rising expenditure on animal health. Growth is being driven by increasing pet ownership, rising demand for animal-derived food products, and greater awareness of zoonotic diseases. Technological advancements in veterinary care, including the use of biotechnology and artificial intelligence, are transforming diagnostics and treatment.

Our performance in FY25 reflects the positive outcomes of this strategy. The Company delivered consistent growth and profitability across key segments, supported by strong demand in core markets. Our Formulations business delivered broad-based double-digit growth, with most markets registering strong momentum. The API business remained stable and improved profitability, continuing to benefit from the programs under Project Pragati. Overall, our margins improved across all segments.

Our commitment to quality and compliance was further reinforced by regulatory milestones achieved during the

year. Our API facility in Vizag received a positive Establishment Inspection Report (EIR) from the USFDA, affirming our capabilities in a high-compliance, competitive market. We were also granted the Accreditation Certificate of Foreign Animal Drug Manufacturer in Japan, opening new avenues in one of the most quality-conscious markets. Additionally, our Mahad factory received WHO approval for supplying Albendazole API, thus becoming one of the few manufacturing units in the world to secure this distinction.

We are focused on strengthening our Environmental, Social, and Governance (ESG) initiatives across all areas of our operations. We are reshaping our environmental footprint through efficient resource usage, pollution control, and GHG mitigation. Our plants are increasingly adopting energy-efficient technologies and circular approaches to water management. In all our operating units we promote a culture of safety, inclusiveness, and learning. We continue to hold the highest standards of Governance built on transparency, ethical conduct, and full regulatory compliance.

A significant development during the year was the announcement of our proposed strategic merger with Viyash Life Sciences Private Limited. This marks an important step in our long-term journey to build a differentiated global pharmaceuticals platform with end-to-end capabilities.

We have begun receiving key regulatory approvals and expect to complete the transaction during the financial year FY 26, subject to securing all statutory clearances. The merger will further enhance our ability to deliver differentiated products and services across an integrated pharmaceuticals platform.

I would like to express my gratitude to our employees across all locations for their unwavering commitment to the company's transformation journey. I am also grateful to our customers, business partners, and suppliers for their continued support. I also wish to acknowledge and appreciate my colleagues on the Board of Directors who have played a crucial role through their guidance and encouragement.

My sincere thanks to all our shareholders for your trust and belief in the company. We look forward to building on this momentum and creating long-term value for all our stakeholders, as we embark on the next phase of growth.