ADF Foods Ltd filed its Business Responsibility and Sustainability Report (BRSR) for the financial year 2025-26 with the National Stock Exchange of India and BSE Limited. The company reported that exports contributed 99.61% to its total turnover, with operations spanning over 60 countries. The report, submitted pursuant to Regulation 34(2)(f) of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, details the company's environmental, social, and governance performance.

The company’s manufacturing and distribution of processed foods, including sauces, pickles, and frozen foods, accounted for 100% of its turnover. ADF Foods Ltd disclosed a total workforce of 2,186 individuals, comprising 290 employees and 1,896 workers. Women represented 8.97% of the total employees and 53.74% of the total workers. The company reported that 100% of permanent employees and workers were covered by health and accident insurance schemes.

Environmental Performance

The report outlines the company's energy consumption and waste management metrics for the year. The total energy consumed from renewable sources was 31,09,80,64,000 KJ, while energy from non-renewable sources stood at 54,43,78,33,227 KJ. The total energy consumed during the year was 85,53,58,97,227 KJ. The company reported a total waste generation of 263.96 metric tonnes, of which 149.43 metric tonnes were recovered through recycling or other recovery operations.

Governance and Compliance

ADF Foods Ltd stated that it has policies covering all nine principles of the National Guidelines on Responsible Business Conduct (NGRBC). The company reported zero fines, penalties, or settlement amounts paid to regulators during the financial year. It confirmed that no instances of bribery or corruption were reported against its directors, key managerial personnel, employees, or workers. The company has an internal ESG committee chaired by Mr. Arjuun Guuha, Whole Time Director, to oversee sustainability initiatives.

Stakeholder Grievances

The company disclosed details of grievances received from various stakeholders during the year. It received 18 complaints from customers, all of which were resolved by the end of the year. Shareholders filed four complaints, with one pending resolution at the close of the financial year. No complaints were reported from communities, investors (other than shareholders), employees, workers, or value chain partners. The company confirmed that it has mechanisms in place to redress grievances related to human rights and workplace safety.

ADF Foods has fixed Wednesday, August 5, 2026, as the record date to determine shareholder entitlement for the final dividend of Rs 0.60 per share for the financial year ended March 31, 2026. The Board of Directors recommended this dividend at its meeting on May 13, 2026, pending approval by shareholders at the 36th Annual General Meeting scheduled for Wednesday, August 12, 2026. The dividend will be paid within 30 days of declaration to shareholders whose names appear in the Register of Members or the list of beneficial owners as on the record date. The company has mandated that dividend payments be made only through electronic mode, requiring shareholders to update KYC details such as PAN, bank account information, and contact details to receive the payout.

Pursuant to the provisions of the Income Tax Act, 2025, the company is required to deduct Tax Deducted at Source (TDS) at the time of payment. The deduction rates vary based on shareholder residency and documentation compliance. Shareholders must submit all necessary tax-related documents to the company or its Registrar and Transfer Agent, MUFG Intime India Private Limited, on or before August 5, 2026. Failure to provide valid documentation by this date will result in TDS deduction at the applicable rate based on available records, with no option for revision of the TDS return.

Tax Deduction for Resident Shareholders

For resident shareholders, TDS will be deducted at 10% on the dividend amount if PAN is registered. If PAN is not linked with Aadhaar, the TDS rate increases to 20% as per Section 397(2) of the Act. Resident individuals are exempt from TDS if the aggregate dividend distributed during the Tax Year 2026-27 does not exceed Rs 10,000. Additionally, individuals may submit Form 121 to declare non-applicability of TDS if eligibility conditions are met.

Certain non-individual resident shareholders are exempt from TDS upon submission of specific declarations and supporting documents.

Tax Deduction for Non-Resident Shareholders

Tax for non-resident shareholders will be withheld at 20% plus applicable surcharge and cess. These shareholders may opt for beneficial rates under the Double Tax Avoidance Agreement (DTAA) by submitting a Tax Residency Certificate (TRC), Electronic Form 41, and a self-declaration certifying tax residency and beneficial ownership. Foreign Institutional Investors and Foreign Portfolio Investors must also provide a self-attested copy of their SEBI registration certificate. Shareholders who are tax residents of Singapore must additionally furnish a letter demonstrating the non-applicability of Article 24 of the India-Singapore DTAA.

The company will email the TDS certificate to the registered email ID after filing the quarterly TDS returns. Shareholders will also be able to see the credit of TDS in Form 168, which can be downloaded from the income tax e-filing portal.