The Directors have pleasure in submitting their 31^st Annual Report together with the Company’s Audited Financial
Statements for the financial year ended March 31, 2024.

1. FINANCIAL SUMMARY

The Financial Performance Summary and the State of the Company’s Affairs for the current financial year ended March 31,
2024, along with the figures for the previous financial year, are as follows:

2. STATE OF THE COMPANY’S AFFAIRS

During the period under review, on the Standalone basis, the Company achieved Total Revenue of Rs. 8089.27 Lakh is
increased by 17.43% as against the Total Revenue of Rs. 6888.74 Lakhs in previous financial year 2022-23. The Company
has recorded a Net Profit after tax of Rs. 419.90 Lakhs is increased by 56.21% as against the Net Profit after tax of Rs.
286.80 Lakhs in previous financial year 2022-23.

During the period under review, on the Consolidated basis, the Company achieved Total Revenue of Rs. 8209.16 Lakh is
increased by 18.12% as against the Total Revenue of Rs. 6950.15 Lakhs in previous financial year 2022-23. The Company
has recorded a Net Profit after tax of Rs. 426.65 Lakhs is increased by 47.01% as against the Net Profit after tax of Rs.
290.21 Lakhs in previous financial year 2022-23.

3. IMPORTANT HIGHLIGHTS WITH RESPECT TO THE LISTING APPROVAL OF THE COMPANY IN
THE BSE LIMITED

In accordance with Order No. CP (IB) NO. 17/9/HDB/2022 issued by the Hon’ble National Company Law Tribunal (NCLT)
and the Resolution Plan approved by the Hon’ble NCLT, the Board of the Company has resolved to implement the following
measures:

1. Extinguishment of Promoters' Shareholding: The entire shareholding of the erstwhile promoters and promoter group
of the Company will be extinguished without any payout.

2. Cancellation of Public Shareholding: The public shareholding of the Company will be reduced by 98% as of the record
date.

3. Allotment of Equity Shares: A total of 20,00,000 (Twenty Lakhs) equity shares will be allotted to Mr. Vivek Kumar
Ratakonda and Mr. Ashok Kumar Buddharaju, who are the Resolution Applicants.

4. 5,39,80,094 Equity Shares of Rs. 10/- each allotted on preferential basis for scheme of merger of ACS Technologies
Ltd. With LN Industries Ltd (now known as ACS Technologies Ltd.)

5. 30,00,000 Equity Shares of Rs. 10/- each allotted on preferential basis bearing distinctive no. 57741949 to 60741948.

During the financial year 2023-24, the Company had applied to the BSE Limited for listing approval and the BSE has issued
its in-principle approval vide its letter dated 5^th April, 2024. The company is undergoing the process to take confirmation
from CDSL and NSDL which is a pre-requisite to obtain trading approval from BSE.

4. BOARD OF DIRECTORS AND OTHER INFORMATIONS

a) The Company’s Board of Directors have been constituted in compliance with the provisions of Companies Act
read with the SEBI (Listing Obligation and Disclosure Requirements) Regulations, 2015 (“SEBI (LODR)
Regulation”. The Composition of the Board is as under:

5. Mr. Ashok Kumar Buddharaju Chairman & Managing Director

6. Mrs. Anitha Alokam Whole-time Director

7. Mr. CV Satyanarayana Murthy Independent Director

8. Mr. Srinivasan Neti Independent Director

b) Details of Directors or KMPs resigned during and after the end of the financial year under review.

c) Details of Directors or KMPs appointed/re-appointed during and after the end of the financial year under review.

d) In accordance with the provisions of Companies Act, 2013, Sri. Ashok Kumar Buddharaju, Chairman & Managing
Director of the Company would retire by rotation and, being eligible, offer himself for re-appointment. The Board
of Directors recommends his re-appointment at the ensuing Annual General Meeting.

e) Details of Whole-Time Key Managerial Personal (KMP)

Pursuant to the provisions of Section 203 of the Act read with the Companies (Appointment and Remuneration of
Managerial Personnel) Rules, 2014, during the period under review, the Key Managerial Personnels of the Company were
Sri. Ashok Kumar Buddharaju, Chairman & Managing Director, Smt. Anitha Alokam, Whole-time Director, Sri. A.
Prabhakara Rao, Chief Financial Officer and Mr. Sridhar Pentela Company Secretary & Compliance Officer.

Subsequent to the year under review, Mr. Sridhar Pentela, Company Secretary & Compliance Officer has resigned w.e.f.
15^th June, 2024 and Ms. Shilpi Gunjan was appointed as Company Secretary & Compliance Officer w.e.f. 17^th June, 2024.

f) Other Disclosure
Board Evaluation

Pursuant to Section 178 (2) of the Companies Act, 2013, the Nomination and Remuneration Committee has
evaluated the performance of individual Directors in its duly convened meeting. Pursuant to Section 134 (3) (p) of
the Companies Act, 2013 and Regulation 4 (2) (f) (ii) (9) of the (“SEBI (LODR) Regulation, 2015, the Board has
carried out an evaluation of its own performance, as well as the evaluation of the Committees of the Board. The
manner in which the evaluation has been carried out has been explained in the Corporate Governance Report.

Remuneration Policy

The Board has, on the recommendation of the Nomination & Remuneration Committee framed a policy for
selection and appointment of Directors, Senior Management and their remuneration. Remuneration Policy is stated
in the Corporate Governance Report.

Familiarization Programmes for Independent Directors

The Independent Directors of the Company are eminent professionals with several decades of experience in banking
and financial services, technology, finance, governance and management areas, and fully conversant and familiar
with the business of the Company. The Company has an ongoing familiarization programme for all Independent
Directors with regard to their roles, duties, rights, responsibilities in the Company, nature of the industry in which
the Company operates, the business model of the Company, etc.

Meetings

During the year Thirteen (13) Board Meetings and Five (5) Audit Committee Meetings were convened and held.
The details of which are given in the Corporate Governance Report. The intervening gap between the Meetings
was within the period prescribed under the Companies Act, 2013.

5. DIVIDEND

The Directors have not recommended any dividend for the current financial year.

6. RESERVE AND SURPLUS

During the financial year 2023-24, the Company has not transferred any amount to amount to general reserve.

7. SHARE CAPITAL

(a) No Change in Authorized Capital:

During the year under review, there was no change in the Authorized Capital of the Company. The Authorized Capital
of the Company is Rs. 172,00,00,000/- (Rupees One Hundred Seventy-Two Crore only) divided into 17,20,00,000 Equity
shares of Rs. 10/- each.

(b) Change in Issued/Subscribed/Paid-up Capital:

During the period under review, the Issued/Subscribed/Paid-up Capital of the Company is increased from Rs.

55,94,19,480/- (Rupees Fifty Five Crore Ninety-Four Lakh Nineteen Thousand Four Hundred Eighty only) divided into
5,59,41,948 Equity shares of Rs. 10/- each to Rs. 60,74,19,480/- (Rupees Sixty Crore Seventy-Four Lakh Nineteen
Thousand Four Hundred Eighty) divided into 6,07,41,948 Equity shares of Rs. 10/- (Rupees Ten only) each.

Company has not issued any Equity shares with differential rights, Sweat Equity Shares and also no Employee Stock
Options were granted during the year under review. Therefore, no disclosures pursuant to Rule 4(4), Rule 8(13) and Rule
12 (9) of the Companies (Share Capital and Debenture Rules), 2014 are required to be given.

8. DIRECTORS' RESPONSIBILITY STATEMENT:

In pursuance of Section 134(5) of the Companies Act, 2013, your directors confirm:

a) That the directors in the preparation of the annual accounts the applicable accounting standards have been followed
along with proper explanations relating to material departures.

b) That the directors had selected such accounting policies and applied them consistently and made judgments and
estimates that are reasonable and prudent so as to give a true and fair view of the state of affairs of the company at
the end of the financial year and of the profit and loss of the Company for that period.

c) That the directors had taken proper and sufficient care for the maintenance of adequate accounting records in
accordance with the provisions of this Act for safe guarding the assets of the company and for preventing and
deleting fraud and other irregularities.

d) That the directors had prepared the annual accounts on the going concern basis.

e) That the directors had laid down internal financial controls to be followed by the Company and that such internal
financial controls are adequate and were operating effectively.

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

9. POLICY ON PREVENTION, PROHIBITION AND REDRESSAL OF SEXUAL HARASSMENT AT
WORKPLACE

The Company has put in place the Prevention of Sexual Harassment Policy (POSH) in line with the requirements of the
Sexual Harassment of Women at Workplace (Prevention, Prohibition and Redressal) Act, 2013. An Internal Compliance
Committee (ICC) has been constituted in compliance with the requirements of said Act to redress complaints received
regarding sexual harassment. All employees are covered under this Policy. Employees at all levels are being sensitized about
the Policy and the remedies available thereunder. During the Financial year 2023-24, Nil complaints were received by ICC.

10. RESEARCH AND DEVELOPMENT, CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION,
FOREIGN EXCHANGE EARNINGS AND OUTGO

A. CONSERVATION OF ENERGY

i. Company ensures that the Operations are conducted in the manner whereby optimum utilization and maximum
possible savings of energy is achieved.

ii. No specific investment has been made in reduction in energy consumption

iii. As the impact of measures taken for conservation and optimum utilization of energy are not quantitative, its
impact on cost cannot be stated accurately.

B. TECHNOLOGY ABSORPTION

There is no technology absorption involved in the operations of the Company.

C. EXPENDITURE INCURRED ON RESEARCH AND DEVELOPMENT

No expenditure was incurred on Research and Development by the Company during the period under review.

11. AUDITORS

A. STATUTORY AUDITORS

M/s. GORANTLA & Co., Chartered Accountants, (Firm Registration No: 16943S) have been re-appointed at the 30^th
AGM held on September 30, 2023 as the Statutory Auditors of the Company for a second term of Five (5) consecutive
years to audit the financial statements of the Company from FY 2023-24 to FY 2027-28 and to hold office from the
conclusion of 30^th AGM till the conclusion of 35^th AGM. The Independent Auditors’ Report and Annexure referred to
this Report are self-explanatory and do not call for any further comments. The Auditors’ Report does not contain any
qualification, reservation, adverse remark or disclaimer.

B. SECRETARIAL AUDITORS AND SECRETARIAL AUDIT REPORT

Pursuant to the provisions of Section 204 of the Companies Act, 2013 and the Companies (Appointment and
Remuneration of Managerial Personnel) Rules, 2014, the Board has appointed M/s VCSR & Associates, Company
Secretaries in Whole-time Practice, to carry out Secretarial Audit for the financial year 2024-2025. The report of the
Secretarial Auditor in Form MR-3 for the FY 2023-24 is enclosed as Annexure 1 and forms part of this report. The
Secretarial Auditors have, in their report, given observation that the Nomination and Remuneration Committee of the
Company is not properly constituting with required no of non-executive Directors.

Reason for delay: The reconstitution of Nomination and Remuneration Committee with proper combination of Non¬
Executive Directors is in progress. The process got delayed because the Company is in transition period of
implementation of the Merger order of Hon’ble NCLT.

C. CORPORATE SOCIAL RESPONSIBILITY (CSR) INITIATIVES

During the period under review, the Corporate Social Responsibility (CSR) provisions are not applicable to the
Company.

12. PARTICULARS OF EMPLOYEES

The information required pursuant to Section 197(12) read with Rule 5(1) of The Companies (Appointment and
Remuneration of Managerial Personnel) Rules, 2014 and Companies (Particulars of Employees) Rules, 1975 in respect
of employees of the Company and Directors is annexed herewith as Annexure 2.

13. WEB-ADDRESS OF ANNUAL RETURN

Web-address of the draft Annual Return pursuant to sub-section (3) of Section 92 is updated in the website of the Company.
Link for the Annual Return is as under https://www.acstechnologies.co.in/

14. RELATED PARTY TRANSACTIONS

All related party transactions were placed before the Audit Committee for approval. Prior omnibus approval of the Audit
Committee was obtained for the transactions which are foreseen and are repetitive in nature. All the related party transactions
entered into by the Company were in the ordinary course of business and on an arm’s length basis. Form AOC-2 will not
form part of Board’s report, as all the transactions with related parties are in arm’s length basis or in ordinary course of
business. There are no materially significant related party transactions during the year which may have a potential conflict
with the interest of the Company at large. Related party transactions as required under the Indian Accounting Standards are
disclosed in Notes to the financial statements of the Company for the financial year ended March 31, 2024.

15. HOLDING, SUBSIDIARY/ ASSOCIATE COMPANIES

As on 31^st March, 2024, the Company does not have any Holding Company, one (1) Subsidiary Company the details of
which is tabulated hereunder.

16. CORPORATE GOVERNANCE

The Corporate Governance Report together with the Certificate from the Practicing Company Secretary of the Company
regarding compliance with the requirements of Corporate Governance as stipulated SEBI (LODR) Regulations, 2015 is
appended as Annexure 3 to this Report.

17. MANAGEMENT DISCUSSION & ANALYSIS REPORT

The Management Discussion and Analysis Report highlighting the industry structure and developments, opportunities and
threats, future outlook, risks and concerns, etc., is provided separately in the Annual Report and forms part of this Directors’
Report.

18. VIGIL MECHANISM / WHISTLEBLOWER POLICY

The Company promotes ethical behavior in all its business activities and has put in place a mechanism for reporting illegal
or unethical behavior. The Company has established a robust Vigil Mechanism and a whistle-blower policy in accordance
with provisions of the Act and Listing Regulations. Under the whistle-blower policy, employees are free to report any
improper activity resulting in violation of laws, rules, regulations, or code of conduct by any of the employees to the
Competent Authority or Chairman of the Audit Committee, as the case may be. Any complaint received is reviewed by the
Competent Authority or Chairman of the Audit Committee as the case may be. No employee has been denied access to the
Audit Committee. The policy on Vigil Mechanism/Whistle-Blower can be accessed on the Company’s website at:
https://www.acstechnologies.co.in/

19. INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY

The Company has an Internal Control System, commensurate with the size, scale and complexity of its operations. To
maintain its objectivity and independence, the Internal Auditor reports to the Chairman of the Audit Committee of the Board
& to the Chairperson & Managing Director of the Company. The Internal Auditor monitors and evaluates the efficacy and
adequacy of internal control system in the Company, its compliance with operating systems, accounting procedures and
policies at all locations of the Company. Based on the report of internal audit function, process owners undertake corrective
action in their respective areas and thereby strengthen the controls. Significant audit observations and recommendations
along with corrective actions thereon are presented to the Audit Committee of the Board.

20. INTERNAL FINANCIAL CONTROL

The Company has in place adequate internal financial control commensurate with the size, scale and complexity of its
operations. During the year, such controls were tested and no reportable material weakness in the design or operations were
observed. The Company has policies and procedures in place for ensuring proper and efficient conduct of its business, 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 information. The Company has adopted accounting policies which
are in line with the Accounting Standards and the Act. These are in accordance with generally accepted accounting principles
in India. The Company has a robust financial closure, certification mechanism for certifying adherence to various accounting
policies, accuracy of provisions and other estimates.

21. HEALTH AND SAFETY/ INDUSTRIAL RELATIONS

The company continues to accord high priority to health and safety of employees at manufacturing locations. During the
year under review, the company conducted safety training programmes for increasing disaster preparedness and awareness
among all employees at the Head office and the cement plants. Training programmes and mock drills for safety awareness
were also conducted for all employees. Safety Day was observed with safety competition programmes with aim to imbibe
safety awareness among the employees at the Head office and the cement plants. During the year under review, your
Company enjoyed cordial relationship with workers and employees at all levels.

22. OTHER INFORMATION

A. PARTICULARS OF LOANS, GUARANTEES OR INVESTMENTS

The company has not given any loans or guarantees covered under the provisions of Section 186 of the Companies Act,
2013.

B. REPORTING OF FRAUDS

There have been no instances of fraud reported by the Statutory Auditors of the Company under Section 143(12) of the
Companies Act, 2013 and the Rules framed there under either to the Company or to the Central Government.

C. PUBLIC DEPOSITS

Your Company has not accepted any deposits within the meaning of Section 73 or 74 of the Companies Act, 2013 and
Companies (Acceptance of Deposits) Rules, 2014.

D. DEMATERIALIZATION OF SHARES

The Equity Shares of your Company have been admitted by CDSL/ NSDL for dematerialization. In response to the
compliance with SEBI Circular SEBI/ HO/ MIRSD/ DOP1/ CIR/ P/ 2018/73 dated April 20, 2018, your company had
issued 4 (four) reminders to all the Shareholders whose shares are in physical mode and requested them to dematerialize
their shares.

E. RISK MANAGEMENT

Pursuant to section 134 (3) (n) of the Companies Act, 2013 & Regulation 21 of the Listing Regulation, risk management
committee is non-mandatory committee in the Company as per the market capitalization. However, the Board of
Directors has voluntarily constituted the Committee. At present the company has not identified any element of risk.

F. SIGNIFICANT & MATERIAL ORDERS PASSED BY THE REGULATORS OR COURTS OR
TRIBUNALS IMPACTING THE GOING CONCERN STATUS OF THE COMPANY

During the period under review, there are no significant and material orders passed by the Regulators or Courts or
Tribunals which would impact the going concern status and the Company’s future operations.

Please note that During the previous financial year 2022-23, ACS Technologies Limited which was formerly known as
LN Industries India Limited has filed a scheme of arrangement in Hon’ble National Company Law Tribunal (NCLT).
Hyderabad and the Hon’ble NCLT passed order no. CP(IB) No. 17/9/HDB/2022 Dated 24^th March 2023 approving the
scheme.

G. CHANGE IN THE NATURE OF BUSINESS

During the Financial Year under review, there was no change in the nature of business of the Company.

H. COMPLIANCE WITH SECRETARIAL STANDARD

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

I. APPLICATION MADE OR ANY PROCEEDING PENDING UNDER THE INSOLVENCY AND
BANKRUPTCY CODE, 2016 (31 OF 2016)

During the period under review, there were no application made or any proceeding pending under the Insolvency and
Bankruptcy Code, 2016 (31 of 2016).

J. COST AUDIT

The provisions of Section 148 of the Companies Act, 2013 w.r.t. cost audit is not application to the Company.

K. CHANGE OF REGISTERED OFFICE OF THE COMPANY WITHIN THE LOCAL LIMIT OF THE
CITY

The registered office of the Company is changed from Plot No. 424/A, Road No. 18, Jubilee Hills, Hyderabad,
Telangana, to the new address at Pardha Picasa, Level 7, Durgam Cheruvu Road, Madhapur, Hyderabad, Shaikpet,
Telangana, India, 500081 in the local limits from its current address w.e.f. May 6, 2024.

23. ACKNOWLEDGEMENT

The Directors take this opportunity to place on record their sincere thanks to the Banks and Financial Institutions, Insurance
Companies, Central and State Government Departments and the shareholders for their support and Co-operation extended
to the Company from time to time. Directors are pleased to record their appreciation of the sincere and dedicated services
of the employees and workmen at all levels.

By order of the Board
For ACS Technologies Limited

Date: 30/05/2024

Place: Hyderabad Ashok Kumar Buddharaju

Chairman and Managing Director
(DIN: 03389822)