Looks Health Services Ltd

FOR THE FINANCIAL YEAR ENDED 31ST MARCH, 2024

Dear Shareholders,

Your Directors have great pleasure in presenting the 13^th Board's Report together with the Audited Balance Sheet as at 31st March, 2024 and Profit & Loss Account for the year ended on that date.

Highlights of Financial Results:

The Company's performance during the year ended 31st March, 2024 as compared to the previous financial year, is summarized below:

(Amount in Lacs except EPS)

The total income of the Company for the year under review stood at Rs. 45.76 lacs (previous year Rs. 46.22 lacs). During the year the Company incurred a loss of Rs.1.77 lacs (previous year loss of Rs. 15.96 lacs).

In order to conserve the resources for future business requirements, your Directors do not recommend dividend for the year under review

As on March 31, 2024, the paid up equity share capital of the company was INR 10,50,00,000/- i.e. 10500000 equity shares of INR 10 each. There was no change in Paid-up Share Capital of the Company during the Financial Year 2023-24.

As on March 31, 2024, the Board comprised of one Executive Director- Mr. Pritesh Doshi- Managing Director and two Non-Executive Independent Directors. The Company has received necessary declarations from the Independent Directors stating that they meet the prescribed criteria for independence. Based on the confirmations/disclosures received from the Directors under Section 149(7) of the Companies Act 2013 and on evaluation of the relationships disclosed, the following Non-Executive Directors are considered as Independent Directors:

a) Ms. Krishna Sangani

b) Ms. Sejal Jain

The Company has received necessary declaration from all the Independent Directors of the Company under sub- section (7) of Section 149 of the Companies Act, 2013 confirming that they meet the criteria of independence as prescribed under sub-section (6) of Section 149 of the Companies Act, 2013 and Regulation 25 of the SEBI (Listing and Obligation Disclosure Requirements) Regulations 2015.

SEBI (Listing and Obligation Disclosure Requirements) Regulations 2015, mandates that the Board shall monitor and review the Board evaluation framework. The framework includes the evaluation of directors on various parameters such as:

i. Board dynamics and relationships

ii. Information flows

iii. Decision-making

iv. Relationship with stakeholders

v. Company performance and strategy

vi. Tracking Board and committee's effectiveness

vii. Peer evaluation

Pursuant to the provisions of the Companies Act, 2013 a formal annual evaluation needs to be made by the Board of its own performance and that of its committees and individual directors. Schedule IV of the Companies Act, 2013 states that the performance evaluation of the independent directors shall be done by the entire Board of Directors, excluding the director being evaluated. The Board works with the nomination and remuneration committee to lay down the evaluation criteria.

The Board has carried out an evaluation of its own performance, the directors individually as well as the evaluation of the working of its Audit Committee, Nomination & Remuneration Committee and Stakeholders Relationship Committees of the Company. The Board has devised questionnaire to evaluate the performances of each of executive, non-executive and Independent Directors. Such questions are prepared considering the business of the Company and the expectations that the Board have from each of the Directors. The evaluation framework for assessing the performance of Directors comprises of the following key areas:

i. Attendance of Board Meetings and Board Committee Meetings;

ii. Quality of contribution to Board deliberations;

iii. Strategic perspectives or inputs regarding future growth of Company and its performance;

iv. Providing perspectives and feedback going beyond information provided by the management;

v. Ability to contribute to and monitor our corporate governance practices.

Your Company's Board is duly constituted and is in compliance with the requirements of the Companies Act, 2013, the Listing Regulations and provisions of the Articles of Association of the Company. Your Board has been constituted with requisite diversity, wisdom and experience commensurate to the scale of operations of your Company.

Pursuant to the provisions of Section 152 of the Companies Act, 2013 read with Companies (Management & Administration) Rules, 2014 and Articles of Association of the Company, Mr. Pritesh Doshi (DIN: 05155318), who retires by rotation and being eligible, has offered himself for re-appointment.

Your Board recommends re-appointment of the above Director. The following changes occurred in the Company:

The Board of Directors in their meeting held on 10^th August, 2023 approved the appointment of Ms. Krishna Sangani as the Additional Director and her designation was regularized to Non-Executive Independent Director in the 12^th AGM held on 29^th September, 2023.

The Board of Directors in their Meeting held on 05^th September, 2024 approved the following appointments/ re-designation:

1. Appointed Mrs. Monika Joshi as Additional Director and her designation is due to be regularized to Chairperson & Whole-time Director in this AGM. Details of her appointment are mentioned in the Notice.

2. Mr. Pritesh Doshi resigned as Chairperson w.e.f. closing hours of 05^th September, 2024

3. Appointed Mr. Mihir Ganappa as Additional Director and his designation is due to be regularized to NonExecutive Non-Independent Director in this AGM. Details of his appointment are mentioned in the Notice.

4. Appointed Mr. Dhruv Pravinbhai Rajgor as Additional Director and his designation is due to be regularized to Non-Executive Independent Director in this AGM. Details of his appointment are mentioned in the Notice

5. Appointed Mr. Bhavin Mahendrakumar Hirpara as Additional Director and his designation is due to be regularized to Non-Executive Independent Director in this AGM. Details of his appointment are mentioned in the Notice

The Company has formulated code of conduct on appointment of directors and senior management. This code of conduct can be accessed on the website of the Company at the link https://looksclinic.in/wp- content/uploads/2021/05/Code-of-Conduct-for-Board-of-Directors-Senior-Management.pdf

Six meetings of the Board of Directors were held during the year. The details of number of meetings of the Board held during the financial year 2023-24 are provided in Corporate Governance Report which forms an integral part of this Report. The gap between any two meetings never exceeded 120 days.

There are currently three Committees of the Board, as follows:

1. Audit Committee

2. Stakeholders Relationship Committee

3. Nomination and Remuneration Committee

Details of all the Committees along with their charters, composition and meetings held during the year, are provided in Corporate Governance Report which forms an integral part of this Report.

As required under Section 134(3)(c) of the Companies Act, 2013 and according to the information and explanations received by the Board, your Directors state that:

a) in the preparation of the annual accounts, the applicable accounting standards have been followed along with proper explanation relating to material departures;

b) 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;

c) the directors have taken proper and sufficient care for the maintenance of adequate accounting records in accordance with the provisions of this Act for safeguarding the assets of the company and for preventing and detecting fraud and other irregularities;

d) the directors have prepared the annual accounts on a going concern basis;

e) the directors have laid down internal financial controls to be followed by the company and that such internal financial controls are adequate and were operating effectively; and

f) the directors have devised proper systems to ensure compliance with the provisions of all applicable laws and that such systems were adequate and operating effectively.

The Annual Return of the Company as on March 31, 2024 is available on the Company's website and can be accessed viz. www.looksclinic.in.

During the financial year under review, the provisions related to CSR were not applicable to the Company.

Corporate Governance is about maximizing shareholders value legally, ethically and sustainably. At Looks Health Services Limited, the goal of Corporate Governance is to ensure fairness for every stakeholder. We believe Corporate Governance is critical to enhance and retain investor trust. Our Board exercises its judiciary responsibilities in the widest sense of the term. We also endeavor to enhance long-term shareholder value and respect minority rights in all our business decisions. As per regulation 34 of the Listing Regulations, a separate section on corporate governance practices followed by your Company, together with a certificate from M/s. VKM & Associates, Practicing Company Secretary, on compliance

with corporate governance norms under the Listing Regulations, is provided as Annexure- I to this Annual Report.

In terms of Regulation 34 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 the Management Discussion and Analysis Report, which gives a detailed account of state of affairs of the Company's operations forms part of this Annual Report as Annexure- II.

The Equity Shares of the Company are listed at BSE Limited. The Company has paid the requisite Annual listing fees to the aforesaid Stock Exchange.

During the year under review, the Company has not accepted deposits within the meaning of Section 73 and 76 of the Companies Act, 2013 read with Companies (Acceptance of Deposits) Rules, 2014.

Pursuant to Section 186 of Companies Act, 2013 and Schedule V of the Listing Regulations, disclosure on particulars relating to loans, advances, guarantees and investments are provided as part of the financial statements.

All Related Party Transactions entered during the year were in Ordinary Course of the Business and on Arm's Length basis. No Material Related Party Transactions, entered during the year by your Company as per Section 188 of the Companies Act, 2013 which require approval of the member. Accordingly, the disclosure of Related Party Transactions as required under Section 134(3) of the Companies Act, 2013 in Form AOC-2 is not applicable. Further disclosure of transactions with related parties is set out as part of the financial statements.

The Policy on materiality of related party transactions and also on dealing with related party transactions as approved by the Board may be accessed on the website of the Company at the link- https://looksclinic.in/wp-content/uploads/2021/07/related-party-transaction-policy.pdf

Pursuant to Section 197 of the Companies Act, 2013 read with Rule 5(1) of the Companies (Appointment and Remuneration of Managerial Personnel Rules, 2014, details of the ratio of remuneration of each Director to the median employee's remuneration are appended to this report as Annexure -III.

During the year under review, no employee was in receipt of remuneration exceeding the limits as prescribed under provisions of Section 197 of the Companies Act, 2013 and Rule 5(2) and 5(3) of Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014.

The Company has adopted a Vigil mechanism / Whistle blower Policy to deal with instance of fraud and mismanagement, if any. The Company has established a mechanism for directors and employees to report concerns about unethical behavior, actual or suspected fraud, or violation of our Code of Conduct and Ethics. The mechanism also provides for adequate safeguards against victimization of directors and employees who avail of the mechanism and also provide for direct access to the Chairman of the Audit Committee in the exceptional cases. The details of the Vigil Mechanism Policy are explained in the report of Corporate Governance and also posted on the website of the Company- https://looksclinic.in/wp-content/uploads/2021/05/Whistle-Blower-Policy.pdf. We affirm that during the financial year 2023-2024, no employee or director was denied access to the Audit Committee.

Pursuant to provisions of Section 178 of the Companies Act, 2013 and SEBI (Listing and Obligation Disclosure Requirements) Regulations 2015 and on the recommendation of the Nomination and Remuneration Committee, the Board has adopted a Policy on criteria for appointment of Directors, Key Managerial Personnel, Senior Management and their remuneration. The salient features of the Remuneration Policy are stated in the Report on Corporate Governance which forms part of this Annual Report.

The policy can be accessed at the Link- https://looksclinic.in/wp-content/uploads/2021/05/criteria-of- making-payment-to-non-executive-directors.pdf

The Company has zero tolerance for sexual harassment at workplace and adopted a Policy on prevention, prohibition and redressal of sexual harassment at workplace in line with the provisions of the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013 and the Rules thereunder. There was no complaint on sexual harassment during the year under review.

The following is reported pursuant to Section 22 of the Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013:

The policy can be accessed on the website of the Company at the link: https://looksclinic.in/wp-content/uploads/2021/05/Policy-on-Sexual-Harassment.pdf

The Company has laid down a well-defined Risk Management Policy to identify the risk, analyze and to undertake risk mitigation actions. The Board of Directors regularly undertakes the detailed exercise for identification and steps to control them through a well-defined procedure.

M/s. Parekh Shah & Lodha, Chartered Accountants, bearing (Firm Registration Number: 107487W) who are the statutory auditors of the Company, were appointed at the 10^th Annual General Meeting to hold office till the conclusion of 15^th Annual General Meeting.

The report issued by M/s. Parekh Shah & Lodha, Chartered Accountants, bearing (Firm Registration Number: 107487W), Statutory Auditor for FY 2023-24 forms part of this report.

Further, M/s. Parekh Shah & Lodha, Chartered Accountants, bearing (Firm Registration Number: 107487W) resigned as Statutory Auditors w.e.f. 14^th August, 2024 as the validity of their Peer review had expired on 31-07-2024 and to fill their casual vacancy M/S KPSJ & ASSOCIATES LLP, Chartered Accountants, bearing (Firm Registration Number: 124845W/W100209) appointed w.e.f. 05^th September, 2024.

The Auditor's Report for the year ended 31st March, 2024 does not contain any qualification, reservation or adverse remark. Pursuant to provisions of Section 143(12) of the Companies Act, 2013, the Statutory Auditors have not reported any incident of fraud to the Audit Committee during the year under review. The Auditor's Report is enclosed with Financial Statements in this Annual Report.

The Company has re-appointed M/s. Dhruvaprakash & Co, Chartered Accountants (FRN.: 117674W) as its Internal Auditor. The Internal Auditor has given his reports on quarterly basis to the Audit Committee.

Based on the report of internal audit, management undertakes corrective action in the respective areas and strengthens the levels of Internal Financial and other operational controls.

Pursuant to the provisions of Section 204 of the Companies Act, 2013 and the Companies (Appointment and Remuneration of Managerial Personnel) Rules, 2014, the Company has re-appointed M/s. VKM & Associates, Practicing Company Secretaries, to conduct Secretarial Audit of the Company. The Report of the Secretarial Audit in Form MR-3 for the financial year ended March 31, 2024 is enclosed as Annexure- IV to this Report.

There are no qualifications, reservations or adverse remarks made by the Secretarial Auditor in the report.

The Board of your Company has laid down internal financial controls to be followed by the Company and that such internal financial controls are adequate and operating effectively. Your Company has adopted policies and procedures for ensuring the orderly and efficient conduct of its business, including adherence to the Company's policies, the safeguarding of its assets, the prevention and

detection of frauds and errors, the accuracy and completeness of the accounting records, and the timely preparation of reliable financial disclosures.

Pursuant to Section 134(3)(m) of the Companies act, 2013 read with Rule 8 of the Companies (Accounts)

Rules, 2014, details regarding the Conservation of Energy, Technology Absorption and Foreign Exchange

Earnings and Outgo for the year under review are as follows:

a. Steps taken or impact on conservation of energy - The Operations of the Company do not consume energy intensively. However, the Company continues to implement prudent practices for saving electricity and other energy resources in day-to-day activities.

b. Steps taken by the Company for utilizing alternate sources of energy - Though the activities undertaken by the Company are not energy intensive, the Company shall explore alternative sources of energy, as and when the necessity arises.

c. The capital investment on energy conservation equipment - Nil

a. The efforts made towards technology absorption - The Company continues to take prudential measures in respect of technology absorption, adaptation and take innovative steps to use the scarce resources effectively.

b. The benefits derived like product improvement, cost reduction, product development or import substitution- Not Applicable

c. In case of imported technology (imported during the last three years reckoned from the beginning of the financial year) - Not Applicable

d. The expenditure incurred on Research and Development - Not Applicable

The Particulars of Foreign Exchange and Outgo for the year under review are as follows:

There is no change in the nature of business carried on by the Company.

There have been no material changes and commitments, affecting the financial position of the Company which occurred between the end of the financial year to which the financial statements relate and the date of this report.

There was no significant or material order passed by any regulator or court or tribunal, which impacts the going concern status of the Company or will have bearing on company's operations in future.

Your Directors wish to place on record their gratitude and deep appreciation for the continued support and co - operation received by the Company from the shareholders, company's clients, suppliers, bankers and employees and look forward for their continued support in the future as well.