Epack Durable Ltd

Leading with vision, Driving Excellence

Dear Shareholders,

EPACK Durable's journey has been marked by a relentless pursuit of operational excellence and innovation. Our unwavering commitment to efficiency and quality has established us as the second-largest player in RAC ODM, driving our growth and success.

The year 2023-24 was anticipated to mark the beginning of a sustained global economic recovery following the COVID-19 pandemic. However, geopolitical unrest, notably in Eastern Europe and West Asia, coupled with persistently high inflation, has weighed heavily on the global economic landscape. While the Indian economy has not been entirely shielded from these economic disruptions, proactive measures by the Reserve Bank of India (RBI) and the government have successfully kept inflation in check and maintained economic growth. India is at a critical juncture in its growth trajectory, on track to become a USD 5 trillion economy by 2027-28, driven by ambitious reforms and a robust digital foundation. The estimated GDP growth of 8.20% in FY 2023-24 has surpassed expectations, highlighting India's resilience in a still uncertain global economic environment. The government has strongly emphasised balanced and sustainable growth through enhanced infrastructure development, financial inclusion, and bridging the rural-urban divide.

India's economic outlook remains positive, supported by its demographic dividend, improvements in physical and digital infrastructure, increased capital expenditure, and proactive government policies such as the Production Linked Incentive (PLI) Schemes. The 11.11% increase in capital expenditure outlay to Rs. 11.11 trillion for FY 2024-25 sets the stage for realising the vision of a developed India by 2047.

EPACK Durable's journey has been marked by a relentless pursuit of operational excellence and innovation. Our unwavering commitment to efficiency and quality has established us as the second-largest player in RAC ODM, driving our growth and success. Our state-of-the-art integrated manufacturing facilities enable us to manage operational costs and logistics with remarkable efficiency. Embracing automation within our operations reduces the margin of error and minimises manual inefficiencies, reinforcing our commitment to operational excellence. Strategically located, our facilities ensure seamless transportation of products to customers across India, enhancing our logistical effectiveness.

In the financial year 2024, we successfully commissioned our new manufacturing facility at Sri City in Andhra Pradesh.

Our robust R&D activities are the foundation of our innovation, focussing on developing new products, optimising existing ones, and improving manufacturing methods. We are dedicated to process improvement, environmental protection, and energy efficiency. This dedication has led to the registration of three patent, the filing of two others, and ten design registrations in India. Our strong operational capabilities position EPACK Durable as a key ODM for major brands in the country.

In our pursuit of growth and innovation, we continuously expand our product offerings in RACs and

SDA. We have ventured into the Large Domestic Appliances (LDA) segment with the introduction of Air Cooler. Furthermore, we plan to expand our product line by launching several new products within this segment. Our investments in expanding our capacities and capabilities enable us to meet the increasing demand, solidifying our standing as an industry leader.

As we look back on the past financial year, one of our most significant milestones was the strategic expansion of our manufacturing capacity. Understanding the growing demand for our products and the necessity to stay ahead in a competitive market, we undertook a comprehensive plan to enhance our production capabilities.

In the financial year 2024, we successfully commissioned our new manufacturing facility at Sri City in Andhra Pradesh. This state-of-the-art facility has increased our manufacturing capacity by approximately 50%, a critical enhancement that equips us to better serve our clients and meet the rising demand for our products. The new facility not only amplifies our production volume but also incorporates advanced automation technologies, ensuring superior efficiency and precision in our operations.

Our existing plants in Dehradun and Bhiwadi also saw significant upgrades. We invested in advanced machinery and streamlined processes, which have collectively contributed to a substantial reduction in operational costs and enhanced our overall productivity. These improvements reflect our commitment to maintaining a competitive edge through operational excellence and innovation.

This expansion aligns with our strategic goal to diversify our product portfolio and strengthen our market position.

As we move forward, EPACK Durable Limited is focussed on optimising our newly expanded manufacturing capacity, diversifying our product portfolio with new offerings like air coolers and fully automatic washing machines, and maintaining our commitment to innovation and operational excellence. These strategic initiatives will ensure we continue to meet market demands, drive sustained growth, and deliver exceptional value to our customers and shareholders.

I extend my heartfelt gratitude to all our stakeholders – investors, distributors, employees, partners, and customers – for their unwavering support and trust in EPACK Durable Limited. Your belief in our vision and commitment to our journey has been instrumental in our growth. I would also like to thank our dedicated employees for their hard work and perseverance and our management team for their strategic guidance. Together, we will continue to strive for excellence and achieve new milestones.

Warm regards,

Chairman and Whole-time Director