AND MANAGEMENT DISCUSSION AND ANALYSIS
TO THE MEMBERS
Your Directors have pleasure in presenting their Eighty-first
Report and the Audited Financial Statements of the Company for the financial year
2024-25.
FINANCIAL HIGHLIGHTS
( ` in Crores)
| Particulars |
For the year ended March 31, 2025 |
For the year ended March 31, 2024 |
| Revenue from |
6,409.15 |
5,848.91 |
| Operations |
|
|
| Other Income |
275.58 |
248.27 |
| Total Income |
6,684.73 |
6,097.18 |
| Profit Before Tax |
1,886.95 |
1,617.75 |
| Profit After Tax |
1,414.44 |
1,201.22 |
| Retained Earnings |
|
|
| and Other |
|
|
| Comprehensive |
|
|
| Income (OCI) |
|
|
| Balance brought |
2,815.82 |
2,425.30 |
| forward |
|
|
| Profit After Tax |
1,414.44 |
1,201.22 |
| OCI arising from |
(5.42) |
0.02 |
| remeasurement of |
|
|
| employee benefits |
|
|
| Dividend - FY 2023-24 |
(871.22) |
- |
| Dividend - FY 2022-23 |
- |
(690.60) |
| Transfer to Reserves |
(141.45) |
(120.12) |
| Balance carried |
3,212.17 |
2,815.82 |
| forward |
|
|
DIVIDEND
Your Directors have recommended a final dividend of ` 475/- per share for the year
ended March 31, 2025 on 2,12,49,302 fully paid-up Equity Shares of ` 10/- each for
approval of the Shareholders at the forthcoming Annual General Meeting
("AGM"). The said dividend, if declared, will absorb a sum of
` 1,009.34 Crores.
In terms of the provisions of the Income-tax Act, 1961, dividends paid or distributed
by the Company shall be taxable in the hands of the Shareholders. Your Company shall
accordingly make the payment of the proposed dividend for the year ended March 31, 2025
after deduction of tax at source.
DIVIDEND DISTRIBUTION POLICY
Dividend Distribution Policy adopted by the Company in terms of requirements under the
Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements)
Regulations, 2015, as amended from time to time ("SEBI Listing Regulations") is
available on the
Company's website at https://www.abbott.co.in/investor-relations.html. The said Policy
lays down various factors which are considered by the Board while recommending the
dividend for the year.
MATERIAL CHANGES AFFECTING THE COMPANY
There have been no material changes and commitments affecting the financial position of
the Company between the end of the financial year and date of this report. There has been
no change in the nature of business of the Company.
MANAGEMENT DISCUSSION AND ANALYSIS
India's Economy
According to data from the International Monetary Fund
(IMF), India is currently ranked as the fourth-largest economy in the world. The
country has doubled its Gross Domestic Product (GDP) over the past decade, growing at 105%
from USD 2.1 trillion in 2015 to USD 4.3 trillion in 2025. India's real GDP is estimated
to grow by 6.5% in FY 2024-25, while nominal GDP is expected to expand by 9.9% during the
same period (Data from Ministry of Statistics and Programme
Implementation (MoSPI)).
According to the Ministry of Finance, the Indian economy is projected to grow at 6.3%
in FY 2025-26. Rising domestic and foreign consumption, along with increased investment
activity, is expected to drive this growth trajectory and further elevate India's position
in global GDP Rankings.
Industry Review
India is globally recognised for the magnitude of its pharmaceutical industry. As per
India Brand Equity Foundation (IBEF) industrial report, India ranks third globally in
pharmaceutical production by volume and fourteenth by value. The country contributes
around 20% of the world's exports in generic medicines, reflecting its critical role in
making affordable healthcare accessible across the globe.
The India pharmaceutical market is projected to reach approximately USD 156.25 billion
by 2032, registering a CAGR of around 12.2% between 2024 and 2032. (Zion Market Research).
Government-led initiatives and regulatory reforms continue to bolster industry growth.
Supportive policies aimed at improving regulatory frameworks, expanding medical
infrastructure, and promoting affordability, have created a favourable ecosystem for
pharmaceutical businesses in India. Over the past few years, the industry has witnessed
significant expansion and is projected to account for around 13% of the global
pharmaceutical market - strengthening its position through enhanced quality,
affordability, and innovation.
The sector is positioned for sustainable growth, supported by multiple factors. Key
drivers include shifting lifestyles, a rising burden of non-communicable diseases (NCDs),
increasing health awareness, and improved affordability due to higher income levels.
Enhanced access to diagnostics, growth in point-of-care treatments, and an ageing
population, are further strengthening the industry. Infrastructure expansion, deeper
health insurance penetration, a favorable investment climate, and rapid adoption of
digital health technologies, continue to provide strong tailwinds for the sector.
The patient pool is expected to grow by over 20% in the next decade, spurred by
population growth and evolving lifestyle patterns. This will likely increase demand for
both pharmaceutical products and medical devices (India Invest
Report). According to a recent McKinsey & Company report, the healthcare sector
stands at a pivotal inflection point, with a wave of internal and external disruptions set
to redefine its growth trajectory. Emerging innovations such as next-generation digital
technologies, intelligent automation, and novel therapeutic modalities, are expected to
significantly transform traditional plant operations and reshape value chains across the
industry.
OPPORTUNITIES AND CHALLENGES
Factors impacting the Indian pharmaceutical industry and the Company
A range of structural, regulatory, and market-driven factors continue to shape the
trajectory of India's pharmaceutical industry and influence the operating environment for
the Company. Key developments include:
?€? Union Budget's focus on strengthening the healthcare ecosystem: The
Union Budget 2024-25, aligned with the four key pillars (poor, farmers, youth, and women's
empowerment) of the Viksit Bharat mission, placed comprehensive emphasis on enhancing
medical infrastructure, expanding medical education, and promoting medical tourism through
the 'Heal in
India' initiative. A provision of ` 20,000 Crores has been earmarked to stimulate
private sector-led research and innovation. The Government has also outlined ambitious
plans to further expand medical education, building on a 130% increase in capacity
achieved over the past decade. An additional 10,000 medical seats are proposed for the
upcoming year, with a long-term goal of reaching 75,000 new seats over the next five
years.
?€? Launch of new drugs following patent expiry: With the enforcement of
product patents, more multinational companies are expected to introduce patented drugs in
the Indian market. At the same time, around 120 drugs are projected to go off-patent over
the next decade; representing a global revenue potential estimated between USD 80 billion
and USD 250 billion. This creates significant growth potential for generic and biosimilar
manufacturers in India.
?€? Proposed Over-the-Counter (OTC) Product Distribution Policy: The
Union Government has proposed amendments to the Drugs and Cosmetics Rules to permit the
retail sale of over-the-counter
(OTC) drugs in India without a doctor's prescription. A draft notification from the
Ministry of Health suggests the inclusion of 16 drugs, covering categories such as common
antipyretic medicines (for fever), certain laxatives, nasal decongestants and topical
antifungal creams. Growing health awareness will also fuel the expansion of the OTC
market.
?€? Growing penetration of health insurance:
The demand for health insurance in India is rising steadily, driven by increasing
medical costs and a growing ageing population. To support broader access, the Government
of India has launched several initiatives aimed at expanding health coverage, particularly
for economically weaker sections. Key schemes include the Pradhan Mantri Jan Aarogya
Yojana, Ayushman Bharat, Pradhan Mantri Suraksha Bima Yojana, and Aam Aadmi Bima Yojana.
Additionally, the Central Government Health Scheme ensures comprehensive healthcare access
for government employees and pensioners. Together, these efforts are helping to improve
access to medicines and essential healthcare services across the country.
?€? Uniform Code for Pharmaceutical Marketing Practices (UCPMP): The
implementation of the UCPMP 2024 mandates all pharmaceutical companies to adhere to
ethical marketing practices. This regulatory shift provides an opportunity for healthcare
companies to revisit and strengthen their existing policies on promotional activities.
With strong compliance policy and processes in place, we have taken necessary steps to
comply with the requirements under the code.
?€? Growth in the biotechnology sector: India's pharmaceutical landscape
has diversified into advanced platforms including injectables, inhalation, peptides, and
biosimilars, with emerging efforts in antibody-drug conjugates, and oligonucleotides.
These developments have further integrated India into the global pharmaceutical
manufacturing ecosystem. The number of biosimilar approvals rose from 14 in 2005 to over
138 in 2023.
?€? Regulatory and pricing pressure: India's pharmaceutical sector is
navigating a transformative phase, with opportunities to strengthen its global
competitiveness. While regulatory processes can be complex and time-intensive, they also
reflect the country's commitment to ensuring safety and efficacy in drug approvals. As
highlighted by a Zion Market
Research report, small and medium-sized enterprises are increasingly investing in
quality upgrades to meet international standards, including those set by the US FDA and
EMA - paving the way for broader export potential. Domestically, the National
Pharmaceutical
Pricing Authority plays a vital role in making essential medicines more affordable and
accessible. Meanwhile, competition in the generic drug space continues to drive
operational pressures. These dynamics, though challenging, are encouraging the industry to
evolve, adapt, and build a more resilient and globally aligned ecosystem.
REVIEW OF OPERATIONS
The Company has consistently grown above market # in the last several years with a
clear focus on providing scientific, trusted products, backed by expert clinical support.
The Company's position has been enhanced through consistent scientific engagement with
doctors, increasing geographic penetration, strong customer insights, innovative products
and a comprehensive pill plus service approach.
Financial Performance
Revenue from Operations: Revenue from Operations for the year ended March 31,
2025, is ` 6,409.15 Crores in comparison to ` 5,848.91 Crores last year, recording a
growth of 9.6%. Profit Before Tax: Profit Before Tax for the year ended March 31,
2025, is ` 1,886.95 Crores, which grew by 16.6% over the previous year.
#Source: IQVIA
| Key Financial Ratios: |
|
|
|
| Particulars |
FY 2024-25 |
FY 2023-24 |
Change |
| Debtors Turnover (Days) |
19.91 |
19.90 |
0.05% |
| Inventory Turnover (Days) |
78.33 |
71.85 |
9.02% |
| Interest Coverage Ratio* |
166.09 |
130.94 |
26.84% |
| Current Ratio** |
3.37 |
2.42 |
38.26% |
| Debt Equity Ratio*** |
0.05 |
0.02 |
150.00% |
| Operating Profit Margin (%) |
29.60 |
27.90 |
6.09% |
| Net Profit Margin (%) |
22.07 |
20.54 |
7.45% |
| Return on Net Worth (%) |
35.66 |
34.88 |
2.24% |
*Interest Coverage Ratio has increased because of accounting impact of Ind AS
116-Leases.
**Current Ratio has increased due to reclassification of Non-Current Term deposits to
Current Assets.
***Debt Equity Ratio has increased due to renewal of Lease increasing Lease
liabilities.
There is no significant change except Interest Coverage Ratio, Current Ratio and Debt
Equity Ratio (i.e., change of 25% or more as compared to the immediately previous
financial year) in the Key Financial Ratios.
Detailed explanation of Ratios: (i) Debtors Turnover (Days)
The above ratio is used to quantify a Company's effectiveness in collecting its
receivables or money owed by customers. The ratio shows how well a Company uses and
manages the credit it extends to customers. It is calculated by dividing revenue from
operations by average trade receivables.
(ii) Inventory Turnover (Days)
Inventory Turnover is the number of times a Company sells and replaces its inventory
during a period. It is calculated by dividing cost of goods sold by average inventory.
(iii) Interest Coverage Ratio
The Interest Coverage Ratio measures how many times a
Company can cover its current interest payment with its available earnings. It is
calculated by dividing earnings before interest and taxes by finance cost.
(iv) Current Ratio
The Current Ratio is a liquidity ratio that measures a Company's ability to pay
short-term obligations or those due within one year. It is calculated by dividing the
current assets by current liabilities.
(v) Debt Equity Ratio
The Debt Equity Ratio is used to evaluate a Company's financial leverage. It is a
measure of the degree to which a Company is financing its operations through debt versus
wholly owned funds. It is calculated by dividing a Company's total lease liabilities by
its Shareholders' equity.
(vi) Operating Profit Margin (%)
Operating Profit Margin is a profitability or performance ratio used to calculate the
percentage of profit a Company produces from its operations. It is calculated by dividing
the earnings before interest and taxes by revenue from operations.
(vii) Net Profit Margin (%)
The Net Profit Margin is equal to how much net income or profit is generated as a
percentage of revenue. It is calculated by dividing the profit for the year by revenue
from operations.
(viii) Return on Net Worth (%)
Return on Net Worth is a measure of profitability of a Company, expressed in
percentage. It is calculated by dividing profit after tax for the year by average capital
employed during the year.
Business Performance
The Company operates in a single reportable business segment i.e.,
"Pharmaceuticals". The Company provides products and solutions across various
therapeutic areas including Gastroenterology, Women's Health, Metabolics, Central Nervous
System, Vaccines and Multi-Specialty. The performance for the year under review in these
therapeutic areas is highlighted below in brief:
?€? Gastroenterology (GI): The GI portfolio demonstrated a robust 15.9%
growth in FY 2024-25, further consolidating its market share. This strong acceleration was
driven by the continued success of flagship brands such as Udiliv, Duphalac, Cremaffin
Plus, Digene, and Creon. These brands sustained their leadership positions and market
share through differentiated medico-marketing strategies.
The top performing brands that outpaced market growth are Udiliv, Duphalac, Cremaffin
Plus, Digene, Creon, Ganaton, Heptral, Colospa and Digeraft.
*Source: IQVIA
Our strategic focus on launching new products and enhancing existing top brands
delivered tangible results, significantly accelerating portfolio momentum. Key launches in
FY 2024-25 included in Vonefi in June 2024, Digeraft Tablet in September 2024 and Digene
On The Go in March 2025.
Looking ahead, the Company remains committed to identifying unmet needs and introducing
innovative products to expand the GI portfolio and deliver comprehensive, differentiated
solutions to consumers. A key priority will be the integration of a sustainable and
profitable hybrid promotional model for consumer-facing legacy brands like Cremaffin and
Digene. This will be driven by enhanced consumer engagement and ethical promotion,
particularly in the laxatives and antacids segments.
Additionally, the Company has significantly scaled up its "beyond-the-pill"
initiatives, including the introduction of Electrogastrogram services to improve
dysmotility diagnosis in India. These efforts underscore our commitment to advancing
diagnostic support in core therapeutic areas.
?€? Women's Health: The Women's Health portfolio experienced headwinds in
FY 2024-25, primarily due to sustained competitive pressure from generics in the
dydrogesterone segment. Despite these challenges, we continued to deepen engagement with
healthcare professionals through targeted omnichannel campaigns and differentiated
medico-marketing initiatives, reinforcing advocacy and strengthening Duphaston's position.
Duphaston continues to be the #1* brand in the market.
A key strategic focus remains on shaping the evolving treatment landscape for Women's
Health in India.
In line with this vision, we are committed to building Femoston into a leading brand
over the coming years.
To further expand our Women's Health offerings, we launched Duphaston OD in March 2025.
?€? Metabolics: The Metabolics portfolio delivered a strong growth of
6.8%, primarily driven by the continued success of Abbott's flagship brand Thyronorm. The
brand grew faster than the represented market, gaining share and reinforcing its
leadership position. The brand's growth was driven by strategic digital interventions to
enhance scientific engagement, therapy-shaping initiatives and multi-channel awareness
campaigns.
These efforts reflect our commitment to advancing innovation, education, and sustained
engagement.
?€? Central Nervous System (CNS): The CNS portfolio recorded a steady
growth of 3.2% in FY 2024-25, supported by consistent therapy-shaping initiatives for
Vertin and effective product lifecycle management strategies. These efforts have
reinforced the brand's relevance and sustained its performance in a competitive market.
Further strengthening the portfolio, the Company launched Prothiaden Neu in January
2025.
?€? Vaccines: The Vaccines portfolio was impacted by market slowdown in
FY 2024-25. However, the portfolio continued to grow faster than the market. Key brands in
the portfolio include Influvac, Enteroshield, Havshield, and JE Shield SD.
To counter this challenge and drive uptake - particularly in pediatric influenza
vaccination - we implemented robust medico-marketing strategies and awareness initiatives.
These included targeted educational programs and engagement activities for mothers under
our flagship influenza campaign. We also launched multi-platform awareness campaigns
across print, social media, radio, and parenting platforms, aimed at increasing vaccine
literacy and encouraging timely immunization.
As part of our commitment to expanding access and coverage, the Company introduced
Pneumoshield 14 in November 2024, marking a significant step in broadening our offerings
for the pediatric segment.
?€? Multi-Specialty: Under Multi-Specialty, the Company offers products
targeting insomnia, vitamin D deficiency, pre-term labor, and pain management. This
segment achieved a growth of 5.8% in FY 2024-25. Zolfresh, Arachitol portfolio, Brufen,
and Duvadilan are the key contributors to this business. Differentiated public awareness
programs increased health knowledge through expert engagement. Scientific initiatives in
collaboration with India's leading scientific bodies were also launched during the year.
Looking ahead, our strategic priority is to scale our base brands and evolve them into
significant growth drivers for the Company. At the same time, we are committed to
strengthening our pipeline of innovative products to deliver a more comprehensive and
differentiated portfolio across our key therapeutic areas.
In May 2024, we launched Citrosoda UTI.
These initiatives reflect our ongoing commitment to innovation, portfolio
diversification, and delivering greater value to patients and healthcare providers alike.
MEDICAL RESEARCH AND KNOWLEDGE SHARING INITIATIVES
Evidence-based medicine is gaining importance in empowering Healthcare Professionals to
ensure better patient care. Research studies undertaken by the Company, ranging from
real-world evidence-based studies to registration studies, have been instrumental in
defining and driving organizational strategies and creating high-quality scientific
evidence, thus aiding the optimization of healthcare. During the year, the Company has
managed 15 clinical studies with 22 publications in scientific journals. All the studies
were conducted in compliance with Good Clinical
Practice and regulatory requirements.
OUTLOOK
The pharmaceutical industry is expected to sustain its growth momentum in the
foreseeable future. A global shift in consumer behaviour towards preventative healthcare
and overall wellness is contributing to this trend, which is anticipated to further
stimulate market growth in India. This evolving landscape presents compelling
opportunities for Abbott to introduce relevant products and integrated solutions tailored
to patient needs.
The Company remains committed to serving patients with excellence while expanding
volumes and market share.
Several strategic drivers will support our growth agenda:
?€? Therapy shaping to accelerate top brands: The
Company is undertaking focused efforts to accelerate the growth of its leading brands.
This involves the implementation of structured, insight-led strategies informed by
rigorous market analysis. By shaping therapy areas aligned with our core strengths, we aim
to drive category leadership and consistently outperform market growth.
?€? Beyond-the-pill patient support: Enhancing patient engagement through
education, counselling, and adherence programs remains a priority. Abbott continues to
lead in patient-centric initiatives, expanding efforts through new programs that address
emerging healthcare needs. For instance, our initiatives aimed at improving women's
quality of life - such as menopause-related support - have successfully encouraged
treatment adoption and adherence. Going forward, we intend to collaborate with industry
players and startups to scale these efforts further.
?€? Multi-channel doctor engagement: Expanding engagement with healthcare
professionals remains a core focus. Our approach combines in-person and digital platforms
to deepen reach and improve relevance.
Continuous upgrades to our knowledge-sharing tools ensure that doctors receive timely,
evidence-based information across therapeutic areas.
?€? Increase portfolio depth: We remain committed to strengthening our
portfolio by launching innovative products, particularly in strategic therapeutic areas.
Our robust pipeline is designed to ensure we maintain a strong presence in high-impact
segments. These efforts reinforce our long-term leadership and position us to address
evolving patient needs across a broad range of therapies.
RISKS AND CONCERNS
India's pharmaceutical sector operates within a highly regulated framework. While
tighter regulations concerning clinical trials and drug approvals may present short-term
headwinds, they are expected to strengthen the industry's foundation in the long term by
enhancing safety, transparency, and trust.
Nonetheless, the sector faces a range of challenges.
Intensifying competition in the generics market continues to exert pressure on pricing.
The industry's reliance on imports for Active Pharmaceutical Ingredients remains a
structural vulnerability, particularly in the context of global supply chain disruptions.
Additionally, geopolitical uncertainties and the global shift towards nearshoring may
compel companies to reconfigure existing operations and sourcing strategies.
A recent report by the Indian Pharmaceutical Alliance in collaboration with McKinsey
& Company highlights the need for a transformative agenda. It recommends the adoption
of zero-defect quality systems, advanced manufacturing technologies (including sentient
and miniaturised platforms), enhanced cost leadership, autonomous planning, and green
supply chain networks. Embracing these imperatives will be critical for the Indian
pharmaceutical industry to evolve into a benchmark for agility, reliability, operational
efficiency, and sustainability on the global stage.
INTERNAL CONTROL SYSTEM AND ITS ADEQUACY
The Company has an internal control mechanism commensurate with its size and nature of
business. These systems provide a reasonable assurance on achievement of its operational,
compliance and reporting objectives, including safeguarding the Company's assets,
prevention and detection of frauds, accuracy and completeness of accounting records and
ensuring compliance with corporate policies and are manual, semi-automated and automated
in nature.
This mechanism is sound in design and the framework is continuously evaluated for
effectiveness and adequacy. The mechanism operates through well-documented standard
operating procedures, policies and process guidelines and segregation of duties. Periodic
analysis and reviews are conducted by the senior management to assess its efficiency.
Also, the same is discussed with auditors on a regular basis. Change in control structure
is carried out to meet business needs along with control effectiveness.
The Internal audit is performed through an independent Chartered Accountants firm and
the audit plan is finalized based on current perception of internal control risk and
compliance requirement in consultation with the operating divisions. The Internal
Auditors, as a part of their audits, review the design of key processes to assess the
adequacy of controls and propose remedial measures, wherever required. The Internal Audit
Reports issued by the Internal Auditors are discussed with the Senior Management and
presented to the Audit Committee on a quarterly basis. An independent and empowered Audit
Committee reviews the significant observations and assesses the adequacy of the actions
proposed while monitoring their implementation.
The Internal Auditors conduct a quarterly follow up for implementation/ remediation of
all audit recommendations and the status report is presented to the Audit Committee on a
regular basis.
The Company has implemented both preventive and detection controls. Appropriate
corrective actions taken to reduce the risks include the following:
The Abbott Code of Business Conduct requires annual certification by all employees.
The Compliance Committee is formed with representatives from all the operating groups
and support functions.
?€? Senior Management has oversight of the compliance programs.
The Business Compliance Cell is assigned the responsibility of training, monitoring and
ensuring employees' compliance with the Company's policies and procedures.
The Company has a Whistle-Blower mechanism in place.
Internal Investigation reports are presented before the Audit Committee on a quarterly
basis.
Business divisions have periodic meetings with Office of Ethics and Compliance, to
monitor and discuss compliance with various business processes.
For the year ended March 31, 2025, the Management has assessed the adequacy and
effectiveness of internal controls over financial reporting and basis the assessment,
believes that the processes are working efficiently and effectively. The Statutory
Auditors have confirmed adequacy of the internal controls over financial reporting and its
operating effectiveness.
DIRECTORS
During the year, Ms. Sabina Ewing (DIN: 09201770) and Mr. Mahadeo Karnik (DIN:
02606595) resigned as Directors of the Company effective June 12, 2024 and August 30,
2024, respectively. Mr. Sridhar Kadangode (DIN: 06715478) was appointed as an Additional
and Whole-time Director of the Company effective November 7, 2024 and he resigned
effective December 16, 2024. The Board places on record its appreciation for their
contribution during their tenure. The Board of Directors basis the recommendation of the
Nomination and Remuneration Committee, approved the appointment of Ms. Swati Dalal (DIN:
01513751), as Director and Managing Director of the Company for a period of
3 (three) years effective April 1, 2024, not liable to retire by rotation. The said
appointment was approved by the Shareholders through Postal Ballot on April 25, 2024.
Further, Ms. Swati Dalal has resigned as Director and Managing Director of the Company
effective June 13, 2025. The appointment of Ms. Alison Davies (DIN: 10658884) as Director
with effect from June 13, 2024, was approved by the Shareholders at the AGM held on August
8, 2024. The Board of Directors basis the recommendation of the Nomination and
Remuneration Committee, approved the appointment of Mr. Kartik Rajendran (DIN: 09527717),
as Director and Managing Director of the Company for a period of 5 (five) years effective
June 14, 2025, not liable to retire by rotation, subject to approval of the Shareholders
at the forthcoming Eighty-first AGM and the Central
Government.
In accordance with Section 152 of the Companies Act, 2013 ("the Act") Ms.
Alison Davies (DIN: 10658884) and Mr. Kaiyomarz Marfatia (DIN: 03449627), retire by
rotation at the ensuing AGM and being eligible, offer themselves for re-appointment.
Declaration of Independence
The Company has received declarations from all the Independent Directors confirming
that they meet the criteria of independence prescribed under Section 149(6) of the Act,
and the SEBI Listing Regulations and Code for Independent Directors prescribed under
Schedule IV to the Act. All the Independent Directors have registered themselves with the
Independent Director's Databank managed by the Indian Institute of Corporate Affairs.
Number of Board Meetings
Five Board Meetings were held during the financial year 2024-25 on May 9, 2024, August
7, 2024, November 7, 2024, February 5, 2025 and March 12, 2025. The intervening gap
between the Meetings was within the period prescribed under the Act, read with the
Secretarial Standards issued by the Institute of Company Secretaries of India on Meetings
of the Board of Directors and the Listing Regulations.
Policy on Nomination and Appointment of Directors/ Criteria for appointment of
Senior Management and Remuneration Policy
The Company has adopted the Policy on Nomination and Appointment of Directors/ Criteria
for appointment of Senior
Management and Remuneration Policy as per the provisions of Section 178(3) of the Act
and the Rules framed thereunder. The said Policies are available on the Company's website
at https://www.abbott.co.in/investor-relations.html.
Nomination Policy acts as a guideline for determining qualifications, positive
attributes, independence of Directors and matters related to the appointment and removal
of
Directors and Senior Management.
The Policy lays down:
i. criteria, terms and conditions with regard to identifying suitable candidates who
are qualified to become Directors and Senior Management; ii. appointment mechanism for
Managing Director, Executive and Non-Executive Directors, Independent Directors, Key
Managerial Personnel and Senior Management; iii. tenure of Managing Director, Executive
Directors and Independent Directors; iv. their removal process and succession planning.
Remuneration Policy lays down the Company's philosophy and criteria as well as manner
of determining the remuneration of Managing Director, Executive and Non-Executive
Directors, Independent Directors, Key Managerial Personnel, Senior Management and other
employees.
Performance Evaluation of the Board, Board Committees and Directors
The Company has adopted the Board Evaluation Framework and Policy based on the
recommendation of the Nomination and Remuneration Committee, which sets a mechanism and
criteria for performance evaluation of the Board, Board Committees and Directors,
including Independent Directors. The same is available at
https://www.abbott.co.in/investor-relations.html.
Every year, Directors evaluate the effectiveness of the
Board and its Committees in performing its governance and oversight responsibilities.
Directors assess the performance of their peers, as well as the entire Board of Directors
and each of the Committees on which they serve through online questionnaire.
Online Evaluations solicit feedback on various parameters described below:
For Board: Adequacy and timeliness of information provided for reviewing and
guiding corporate strategy, risk policy, annual budgets and business plans, setting
performance objectives, monitoring financial situation and corporate performance, and
overseeing capital expenditures; transparent environment for free flowing discussion and
healthy debate; challenging the assumptions underlying key areas such as strategic
initiatives, risk appetite, etc. and provide strategic guidance.
For Committees: Oversight by Committee on respective matters as per Committee
Charter, adequacy of information provided and how effectively the recommendations
contribute to Board decision-making.
For Directors: Communication of opinions and concerns, anticipation of new
issues, leveraging expertise to offer valuable insights and guidance, introduce best
industry practices and display adequate level of participation and engagement.
Review and discussions:
Results are presented in the form of anonymized reports.
The Nomination and Remuneration Committee reviews peer and Board Reports.
Reports are then shared with the Board for review and discussions.
Feedback incorporation:
Basis the feedback, enhancement opportunities are identified and implemented as
appropriate.
The Chairman of the Board discusses peer evaluation results with individual Directors
as needed.
During the year 2024-25, evaluation of the Board, Committees and Directors was
conducted as per the process described above. Also, the Independent Directors conducted
separate assessment of the Board, Non-Independent Directors and the Chairman basis the
feedback from the other Board Members.
KEY MANAGERIAL PERSONNEL
Mr. Sridhar Kadangode resigned as Chief Financial Officer of the Company effective
February 26, 2025 and Ms. Swati
Dalal has resigned as Director and Managing Director of the
Company effective June 13, 2025.
The Board upon recommendation of the Audit and Nomination and Remuneration Committees,
approved the appointment of Ms. Maithilee Mistry as the Chief Financial Officer of the
Company effective May 6, 2025.
The Board upon recommendation of the Nomination and
Remuneration Committee, approved the appointment of
Mr. Kartik Rajendran (DIN: 09527717), as Director and Managing Director of the Company
for a period of 5 (five) years effective June 14, 2025, not liable to retire by rotation,
subject to approval of Shareholders at the forthcoming Eighty-first AGM and Central
Government.
Ms. Swati Dalal, Managing Director and Ms. Sangeeta Shetty, Company Secretary, are the
Key Managerial Personnel of the Company as on March 31, 2025.
AUDIT COMMITTEE
The Audit Committee comprises of Ms. Anisha Motwani (Chairperson), Mr. Munir Shaikh,
Mr. Sudarshan Jain and Ms. Shalini Kamath. Role of the Committee is provided in the
Corporate Governance Report, forming part of this Report. The recommendations made by the
Audit Committee during the year were accepted by the Board.
VIGIL MECHANISM/ WHISTLE BLOWER POLICY
The Company has in place Vigil Mechanism/ Whistle-Blower Policy called "Abbott
India Limited - Procedure for Internal Investigations". It lays down a mechanism for
reporting and investigating unethical behavior, alleged or potential violations of laws,
regulations or Abbott Code of Business Conduct, policies, procedures or other standards.
A report indicating the number of cases reported, investigations conducted including
the status update is presented before the Audit Committee, on a quarterly basis. The said
Policy is available on the website of the Company at
https://www.abbott.co.in/investor-relations.html. Employees have numerous ways to voice
their concerns and are encouraged to report the same internally for resolution. The said
Policy provides for adequate safeguards against retaliation and access to the Chairperson
of the Audit
Committee.
Any concerns/ grievances can be communicated through various sources as provided under
the said Policy or online at https://speakup.abbott.com.
DIRECTORS' RESPONSIBILITY STATEMENT
Pursuant to Section 134(5) of the Act, your Directors state that: a) in the preparation
of the Annual Accounts for the year ended March 31, 2025, the applicable accounting
standards have been followed and there are no material departures from the same; b) they
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 as at March 31, 2025 and of the Profits of the Company for
that year; c) they have taken proper and sufficient care for the maintenance of adequate
accounting records in accordance with the provisions of the Act, for safeguarding the
assets of the Company and for preventing and detecting fraud and other irregularities; d)
they have prepared the Annual Accounts of the Company on a going concern basis; e) they
have laid down adequate internal financial controls to be followed by the Company and that
such internal financial controls are adequate and operating effectively; f) they have
devised proper systems to ensure compliance with the provisions of all applicable laws and
that such systems are adequate and operating effectively.
RELATED PARTY TRANSACTIONS
Policy on dealing with Related Party Transactions and Materiality
The Company has in place the Policy on dealing with Related Party Transactions and
Materiality in terms of requirements of the Act and the SEBI Listing Regulations. The said
Policy is available on the Company's website at https://www.abbott.
co.in/investor-relations.html.
As per the said Policy, all Related Party Transactions are pre-approved by the
Independent Directors, Audit Committee and Board, as and when required as per the
requirements under the Act and SEBI Listing Regulations. The details of actual
transactions are reviewed by the Audit Committee on a quarterly/ annual basis. Material
transactions, if any, with the Related Parties are pre-approved by the Shareholders.
Details of Related Party Transactions
The Company enters into business transactions with various Abbott affiliate companies
("Related Parties") in the normal course of business and at arm's length.
All the transactions with the Related Parties entered into during the financial year
2024-25 were pre-approved by the Independent Directors and Audit Committee. Actual
Transactions are placed before the Audit Committee on a quarterly basis. Material Related
Party Transactions, if any, are approved by the Shareholders. The details of the same are
provided in Note 39 to the Financial Statements.
Pursuant to Regulation 23(9) of the SEBI Listing Regulations, the Company has filed
half yearly reports on Related Party Transactions with BSE Limited.
INVESTOR EDUCATION AND PROTECTION FUND _IEPF_
Pursuant to Section 124 and other applicable provisions of the Act, read with the
Investor Education and Protection
Fund Authority (Accounting, Audit, Transfer and Refund) Rules, 2016 ("the IEPF
Rules"), all dividends which remain unpaid or unclaimed for a period of seven years,
are required to be transferred by the Company to the IEPF, established by the Government
of India. Further, according to the IEPF Rules, the shares on which dividend has not been
paid or claimed by the Shareholders for seven consecutive years or more shall also be
transferred to the demat account of the IEPF Authority. In accordance with the said
requirements, the Company has transferred the unpaid dividend and shares to IEPF.
The details of the same are provided in the Corporate Governance Report.
CORPORATE SOCIAL RESPONSIBILITY
Corporate Social Responsibility (CSR) Policy
The CSR Policy is available on the Company's website at
https://www.abbott.co.in/investor-relations.html.
CSR Programs/ Activities undertaken during the financial year 2024-25
The Company spent an amount of ` 25.75 Crores on various CSR programs during the
financial year 2024-25. The Annual Report of the CSR activities undertaken by the Company
is annexed as "Annexure I" and forms part of this Report.
RISK MANAGEMENT
The Company has formulated a "Risk Management Policy" which includes:
Risk identification framework (including Environment, Social and Governance related
risks (ESG)),
?€? Risk mitigation measures,
Business Continuity Plan (BCP).
The framework above covers Strategic, Operational, Compliance, Cyber Security,
Financial, Environmental and Human Resource.
1. Objective
Risk Management Policy is directed to enable
Management to effectively deal with uncertainty and associated risk and opportunity,
enhancing the capacity to build value. Broadly, the Policy Framework encompasses:
?€? Aligning risk appetite and strategy considering the risk appetite in
evaluating strategic alternatives, setting related objectives and developing mechanisms to
manage related risks;
?€? Enhancing risk response decisions and select among alternative risk
responses - risk avoidance, reduction, sharing and acceptance;
?€? Reducing operational surprises and losses by identifying potential events
and resultant responses, thus reducing surprises and associated costs or losses;
?€? Identifying and managing multiple and cross enterprise risks;
?€? Seizing opportunities by considering a full range of potential events and
thus identify and proactively realize opportunities;
?€? Improving deployment of capital through well-established risk information to
effectively assess overall capital needs and enhance capital allocation.
These capabilities inherent in this framework help in achieving the performance and
profitability targets and prevent loss of resources.
This Risk Management Framework is directed to help ensure effective reporting and
compliance with laws and regulations, avoid damage to the Company's reputation and
associated consequences. Risk Management Framework enables the Company to avoid pitfalls
and surprises along the way.
Risk involves many variables which are in a state of continuous change. Management in
its best effort has tried to design a Risk Management Framework to timely identify major
risks for necessary remediation.
2. Roles and Responsibilities
?€? Board of Directors
The Board provides oversight about Risk Management and is responsible for approving the
Risk Management Framework. The Board has constituted Risk Management Committee with
defined roles and responsibilities.
?€? Audit Committee
Audit Committee conducts evaluation of Risk Management systems and such other functions
as may be assigned by the Board from time to time.
?€? Risk Management Committee
Key roles and responsibilities are outlined below: i. Monitoring and implementing Risk
Management Plans; ii. Ensures that the adequacy of the Company's Risk Management Framework
is being assessed and that action is taken if it is inadequate; iii. Reports Risk
Management activities and information, including top risks and mitigation, to the Audit
Committee and Board; iv. Understands the significant or high risks affecting Company and
ensures that processes to mitigate them are effective; v. Reviewing and amending Risk
Management Framework from time to time; vi. Such other functions as may be delegated by
the Board from time to time.
?€? Risk Management Core Team
The Risk Management Core Team oversees the process by which business division/ function
and management identifies and assesses risks and determines appropriate responses. It
addresses organizational risks and sets performance, measure goals and key risk indicators
for those risks. It takes care of the following: i. Design, develop and periodically
update the Risk Management framework and procedure; ii. Ensure appropriateness of risk
culture and understanding across the Company at all levels; iii. Plan and organise risk
management programs; iv. Ensure adherence to Risk Management policies and procedures
within Abbott; v. Facilitate validators in preparation and execution of control validation
plan; vi. Conduct adequate awareness; vii. The Core Team along with the concerned
Division/ Function heads identifies risks faced/ perceived by the Company and mitigation
plans. The core team further evaluates whether the mitigation measures have helped bring
down the scale and magnitude of risk, from time to time.
STATUTORY AUDITORS
M/s. Walker Chandiok & Co LLP, Chartered Accountants (Firm Registration No.
001076N/ N500013), have been appointed as the Statutory Auditors at the Eightieth AGM of
the Company held on August 8, 2024, for a period of five years i.e., from financial year
2024-25 to financial year 2028-29, hold office till the conclusion of the Eighty-fifth AGM
of Company.
AUDITORS' REPORT
The Auditors' Report for the financial year 2024-25 does not contain any adverse
remarks, qualifications or reservations or disclaimers, which require explanations/
comments by the Board.
COST AUDITORS
M/s. Joshi Apte & Associates, Cost Accountants (Firm Registration No. 000240), are
the Cost Auditors of the Company for the financial year 2024-25.
M/s. Joshi Apte & Associates, Cost Accountants, have been appointed as Cost
Auditors of the Company for the financial year 2025-26 at a remuneration of ` 0.09 Crores
plus taxes as applicable and reimbursement of out-of-pocket expenses. The said
remuneration to the Cost Auditors shall be subject to ratification by the Members at the
ensuing AGM.
COST AUDIT REPORT
As per the provisions of Section 148(1) of the Companies Act, 2013, the Company has
maintained the cost records, as specified by the Central Government.
Cost Audit Report along with the Compliance Report for the financial year 2023-24,
issued by M/s. Kishore Bhatia & Associates, Cost Auditors, was filed with the Ministry
of Corporate Affairs on August 21, 2024 (due date of filing was September 5, 2024).
INTERNAL AUDITORS
M/s. Deloitte Touche Tohmatsu India LLP, Chartered Accountants (LLP Identification
Number AAE-8458) are the Internal Auditors of the Company. Internal Audit Report, their
significant observations and follow up actions taken by the Management is reviewed by the
Audit Committee on a quarterly basis.
SECRETARIAL AUDITORS
M/s. BNP & Associates, Company Secretaries (Firm Registration No. P2014MH037400),
are the Secretarial Auditors of the Company for the financial year 2024-25. The Board upon
recommendation of the Audit Committee, has approved and recommended the appointment of
M/s. BNP & Associates, Company Secretaries (Firm Registration No. P2014MH037400),
as Secretarial Auditors of the Company, for a period of five (5) years from the conclusion
of the ensuing AGM till the conclusion of the
Eighty-sixth AGM of the Company. M/s. BNP & Associates have confirmed their
eligibility and qualification required under the Act for holding the office as Secretarial
Auditors of the Company.
SECRETARIAL AUDIT REPORT
The Secretarial Audit Report issued by M/s. BNP & Associates, Company Secretaries
for the financial year ended March 31, 2025, does not contain any adverse remark,
qualifications, reservations or declaimer except the observation that the name of the
Company is appearing in the breach list displayed on the website of the Depositories and
BSE Limited for having foreign investment in excess of prescribed sectoral cap.
In this connection, the Company has received post-facto approval from the Department of
Pharmaceuticals permitting foreign shareholding in excess of the sectoral cap, upto 80% of
the paid-up share capital of the Company, subject to compounding with the Reserve Bank of
India ("RBI"). The Company had filed a compounding application with the RBI in
this regard. However, the RBI vide its letter dated March 19, 2024, had informed the
Company that the compounding application required further examination in consultation with
the Government. RBI further informed the Company that since compounding was a time-bound
process, the application was being returned for the time being along with the compounding
fee.
Subsequently, as per direction received from RBI vide its email dated December 19,
2024, Company has refiled the compounding application with the RBI on January 22, 2025,
and awaits further communication/ advice from RBI in this regard.
The Secretarial Audit Report is annexed as "Annexure II" and forms part of
this Report.
REPORTING OF FRAUD BY AUDITORS
During the year under review, the Statutory Auditors, Cost Auditors, Internal Auditors
and Secretarial Auditors have not reported any instances of frauds committed in the
Company by its Officers or Employees or reported to the Audit Committee under Section
143(12) of the Act.
HUMAN RESOURCES
At Abbott, we believe that a sustainable future starts with health. We want to
incorporate sustainability in everything we do. People are the foundation for us to be
able to achieve this goal. That's why our 2030 sustainability plan includes targeted
actions to create a workforce of tomorrow. Abbott is an innovative great place to work. We
care about and value our employees. Our common purpose and mission provide our workforce
with the opportunity to change people's lives for the better, while living their own best
lives personally and professionally.
Our HR philosophy is in line with our Company's purpose and mission. At Abbott our
employees can leverage differentiated opportunities and benefits to build their career in
the organization, while ensuring they can be themselves, take care of their family's
wellbeing, and live a fuller life.
Our employees are the pillars of the Company's growth and success. The Company has
3,659 employees as on March 31, 2025. We want to build a diverse, innovative workforce of
tomorrow. New ideas come from different places and points of view. To achieve our
ambitions, we're actively shaping our organization for the future by prioritizing
diversity, equity and inclusion.
Talent is a key priority for us, and all of our initiatives are based on ensuring that
we help our employees grow within the organization. At Abbott, fostering a culture of
diversity, equity, and inclusion (DE&I) is a core commitment. We have implemented
impactful programs and initiatives to create a workplace where everyone feels valued and
empowered. Employee well-being is a key priority, and the Company is committed to it with
strong focus on employee's physical, mental, social and financial wellbeing. The Company
offers career development programs for employees from all levels of the organization to
empower our teams with skills to meet the health needs of tomorrow.
Talent Strategy
A strong talent strategy has been developed to help attract and retain the right talent
and emerge as the employer of choice in the Indian Healthcare Industry. The Company
believes in motivating and engaging employees through shared goals, capability building
initiatives, career growth opportunities and providing an environment of transparency,
accountability and positive reinforcement. The India Talent Strategy has been our key
strategic pillar which helps us deliver on our business goals and our leadership team is
fully invested in the same. Our work culture here is driven by passion and the constant
drive to think ahead and grow as an individual. That is what makes Abbott a great place to
work.
Training and Capability Building initiatives
Abbott has a well-defined development process aligned with our talent strategy. We
offer development opportunities for employees to equip themselves with new skills. They
have access to appropriate training to help them develop and prosper in their career,
while meeting the organizational strategic plan.
1. Leadership Pipeline Building Programs
Talent Management Reviews: These programs focus on the identification and
development of key personnel who are part of the succession pipeline at various levels.
They focus on building internal talent across divisions and geographies for the next level
roles.
Transition Programs: These training programs are very specific to the employees
who are getting into their new roles. As an employee transitions from being an individual
contributor to a manager, this program provides the necessary support in navigating the
complexity of being a manager.
The program focuses on building people manager leadership competencies and comes with
three levels:
Individual Contributor to People Manager;
Manager to Director;
Director to General Manager.
Key talent programs like In-Stride and Future Leaders
Development Program aim at developing future leaders and accelerate their readiness
into critical roles. The 12-month development journey consists of cross- functional
mentoring, classroom trainings, digital learning, leadership and business simulations,
campus immersion at top class academic institutes and exposure to senior leaders to review
development progress. These programs have successfully developed over 140 employees so far
in the Company with many of them experiencing role rotations and promotions.
2. Executive Coaching and Mentoring
Executive coaching and mentoring are used as development interventions for senior
leaders. They are based on the needs identified for senior leaders and a 6-12 months'
engagement with an external senior coach is established. The goals are set up and agreed
to by the coachee, coach and the manager. Success is measured by the achievement of
milestones and development goals achieved by the coachee.
3. Mentoring Programs
Leaders like the Vice Presidents, General Managers,
Commercial Directors and functional leaders actively engage in mentoring talent across
the organization.
Mentoring develops employees to drive new, cross functional expertise and perspectives.
Mentors are identified and a panel is created with expertise in a variety of areas of
development to address the needs of our talent with respect to business and professional
growth. The mentor-mentee pairs and groups are assigned based on need, expertise and
personal attributes. Tools and guidelines to maximize learning are provided. Our
Wo-Mentoring program provides an accelerated development experience through a mentoring
opportunity for identified key women talent over a nine-month mentoring program. This
program has successfully developed more than 75 women employees so far in the Company with
many of them experiencing role rotations and promotions.
4. Leading with Impact - Integrated Managerial Capability Program
The Company helps managers accelerate their development through skill building,
experiences and learnings from current leaders. The "Leading With Impact"
program is being offered to all people managers in the Company since 2021 to help them
effectively lead people and continues in the form of refresher programs. The 12-week
module consisting of online learning and simulations, on the job experiences, discussion
with peers on the learnings, coaching from certified global coaches and pre and post
program leadership effectiveness surveys, outlined modules such as See, Hear, Speak, Coach
and Develop is considered to be highly effective. Leading with Impact efforts are
sustained through various initiatives like Pop Up quiz on Intranet portal, quarterly
mailers related to employee life cycle processes, leader panel sessions, etc.
5. Training and Development Resources
The Abbott Global Training site provides variety of materials and resources to meet the
development and functional training needs of employees including role-based trainings,
in-person trainings, E-Learning (online training) and articles, accessible on real-time
basis. Calendarized and localized programs are additionally designed basis need
identification. The Learning and Development team caters to customized training requests
from business in parallel to the open enrollments. E-Learning and virtual learning play an
integral role in learning offerings and provides employees the flexibility they need. The
Career Connect Platform helps employees to engage in new experiences, discover innovative
ways to connect with colleagues globally and take advantage of personalized resources to
create a high-impact development plan. Employees also have opportunities to work on
Learning Gigs - an innovative concept facilitating voluntary project-based learnings with
teams across any country within Abbott.
6. Excellence Academy
Abbott is dedicated to building the best-in-class field force to foster market-beating
growth. This is reflected through robust onboarding and career development programs for
employees across all levels. Excellence Academy, the training team, has been instrumental
in strengthening the field force's capabilities to effectively navigate through current
and future challenges.
Diversity, Equity and Inclusion (DE&I):
Diversity is fundamental at Abbott - in people, mindsets and business models. It's core
to fulfilling the purpose and is embedded in values and is driven across leadership
levels. Diversity is built into Abbott's worldview, workplaces and customer bases. The
Company strives to create and provide the work environment where every employee feels
welcome and able to bring their whole self to work. This means integrating diversity,
equity and inclusion in all areas of business and building teams reflective of the
communities the Company serves.
Our India DE&I vision for Abbott is "Building strength through diversity and
celebrating our differences to become better together." This vision beautifully
captures how DE&I is a strategic enabler for us and will continue to be a pivotal part
of our growth journey in India.
The DE&I vision is brought to life through five focus areas, i.e. Inclusive
Workplace Policies and Practices, Capability and Mindset Development, Hiring Practices,
Communication and Awareness and Forums and Networks.
Inclusive Workplace Policies and Practices
Abbott is committed to ensuring that our organizational policies and practices are
inclusive and equitable. This includes creating gender-neutral policies and regularly
reviewing our practices to remove any unconscious biases.
We are focused on reviewing compensation, promotion, and career progression policies to
guarantee fairness and eliminate disparities across different employee groups.
Capability and Mindset Development
Building inclusive leadership and managerial capability is essential for fostering a
culture where diversity can thrive. Abbott invests heavily in training and development
programs that focus on building awareness around unconscious bias, inclusive leadership,
and cultural competence. These programs are designed to equip managers with the tools they
need to lead high-performing, diverse teams.
Hiring Practices
We continuously evaluate and strengthen our hiring practices to ensure effective
recruitment of diverse talent across various functions. By monitoring our practices and
approaches, we aim to attract and retain a diverse workforce that is reflective of the
communities we serve and will help us shape the future of healthcare.
Communication and Awareness
At Abbott, communication and awareness are foundational to our DE&I efforts. We
recognize that to drive meaningful change, employees need to be continuously educated
about DE&I, from understanding unconscious bias to learning about the importance of
allyship and advocacy. We achieve this through internal campaigns, workshops, and regular
DE&I updates, ensuring that our messaging reaches all employees.
Forums and Networks
Abbott's Employee Networks play a critical role in driving DE&I across the
organization. These groups, including Women Leaders of Abbott (WLA), Working Mothers of
Abbott (WMA), Pride Network, Early Career Network (ECN) and the Abbott disABILITY Network,
provide platforms for employees to connect, share experiences, and advocate for inclusive
policies and practices.
Women Leaders of Abbott (WLA): WLA is an employee resource group that connects,
inspires and helps women grow within our organization. It has been helping women across
through various programs to help them realize greater career achievements through
connections, dynamic programs, development opportunities and enhanced leadership
experiences.
Working Mothers of Abbott (WMA): Launched in India in 2022, WMA is an employee
forum that provides working mothers with a platform to connect, support, share and learn
from one another as they navigate the challenges of balancing work and motherhood. PRIDE
Network India: PRIDE Network India was launched in 2023, aiming to educate, encourage,
and create a community for LQBTQ+ and Allies at the workplace through its pillars of
Education and
Awareness, Policy, and Engagement.
Early Career Network (ECN) India: This employee resource group aims to help our
early career professionals explore and engage with the vast opportunities and diverse
talent within Abbott.
ECN India was launched in 2021 to foster generational diversity at Abbott. In 2023, ECN
launched its Reverse Mentoring program - MentUp - to help mentor our senior leaders with
young talent across the organization.
?€? Abbott disABILITY Network India: We strive to empower people with
disabilities to achieve their full career potential by fostering understanding, awareness,
advancement and advocacy. Abbott disABILITY Network India was launched in 2023, with the
vision of "Access for All" for creating an inclusive environment to ensure
accessibility at the workplace.
Enhancing Collaboration, Innovation and Employee Experience through Technology
At Abbott, we recognize the power of technology to enhance collaboration, innovation
and employee experience. Last year, we launched the Benefits & Wellness (B&W)
Metaverse, a scalable virtual platform that revolutionizes team connection, collaboration,
learning, and engagement.
Employees create digital avatars, chat with colleagues, explore compensation and
benefits induction, learn about Abbott leaders, and access policies, wellness resources,
and more. We also leverage technology to administer our Flexible Benefits Program which
offers voluntary insurances such as Top Up Mediclaim, Critical Illness and
Parental Insurance, health and wellness vouchers and discounted health check-up
packages.
Abbott India also enhances the employee experience through an Artificial Intelligence
enabled Chatbot "SmaHRty" which is available 24x7 for employees for providing
real-time and error-free query resolution and has been able to resolve more than 3,00,000+
employee queries since it has been launched.
External Recognition of Efforts
During the year, the Company has been:
recognized as Best Companies to Work for in India in Business Today for the 10th time
in a row in 2024, reflects our continuous efforts. recognized as the "Best Place of
Work" at the Business World's People HR Excellence Awards 2024. ranked by Avtar &
Seramount - 2024 as "100 Best Companies for Women in India" for the 5 th
consecutive year placing Abbott in their "Hall of Fame".
recognized as "Exemplars" in the Most Inclusive Companies Index by Avtar
& Seramount in 2024. received a Special Jury Recommendation for FICCI
Women Empowerment Awards under the Health & Wellbeing category.
achieved the Gold Level recognition in the 2024 Healthy Workplace Awards by Arogya
World
recognized as a WOW Workplace 2025 in the Pharmaceutical and Healthcare segment by
Jombay.
Prevention of Sexual Harassment (POSH) at Workplace
The Company has complied with the provisions of Sexual Harassment of Women at Workplace
(Prevention, Prohibition and Redressal) Act, 2013 and has an Internal Complaints Committee
(ICC) in place.
Appropriate training under POSH is imparted to employees regularly.
No complaints were received by the Company/ ICC during the year, under the aforesaid
Act.
HEALTH, SAFETY AND ENVIRONMENT
The Company is committed to the protection of human health, safety and the environment.
This commitment forms the basis for our environment, health and safety (EHS) management
systems and governance. Attainment of our long-range targets to reduce worker injuries and
the environmental impacts of our business across our value chain is a priority. Meeting
our targets, along with our EHS objectives, is the continuation of a long legacy of
responsible business practices at Abbott that reflect our core values: Pioneering,
Achieving, Caring and Enduring.
Health and Safety:
Site Safety Committee is formed at the Plant having representation from both
supervisory and non-supervisory staff. Committee meets at regular frequency to discuss and
resolve EHS issues.
On-job, Classroom and Online EHS trainings are regularly arranged for employees.
Training topics cover applicable EHS regulations, Abbott's EHS technical standards,
firefighting, hazardous chemical and waste handling, Slip/ Trip/ Fall, Machine Guarding,
Material handling and emergency preparedness.
A participant from Company's Goa plant attended a four-week supervisory course for
employees working in hazardous process areas. Conducted by the Inspectorate of Factories
& Boilers, the course included classroom sessions, a factory visit, and a project.
Upon successful evaluation through written and oral examinations, the participant was
awarded a certificate. Another training program was conducted by Inspectorate of Factories
and Boilers for employees on Occupational Health and Safety. The 2-day program conducted
at site focused on safety at workplace, machine guarding, chemical safety, permit to work
system, fire safety etc.
The project to upgrade the fire alarm system at our site has been successfully
completed. The new system includes an increased number of detectors and manual call
points, enabling precise identification of fire locations. It integrated with an advanced
control panel that is highly sensitive and accurately displays the location when
triggered. Remarkably, the entire project was completed without any interruption to
business operations.
Mass awareness programs such as celebration of National Safety Week and Abbott EHS week
were conducted to help build a sustainable EHS culture.
To enhance our EHS culture, we are implementing a Behavior-Based Safety (BBS) program
that focuses on observing and correcting unsafe acts. Additionally, we have established a
system for reporting unsafe conditions and near misses. These initiatives have
significantly contributed to fostering a positive EHS culture.
Road Safety:
Various Road Safety programs were conducted for field employees during the year:
97.56% of the sales employees completed the online defensive riding refresher training
module.
?€? All the new sales employees were trained on defensive riding skills and
behaviors.
100% of the new sales employees were provided with 2 helmets (one for self and one for
the pillion rider) as a part of the joining kit. In addition to 2 helmets, they were
provided with full finger motorcycle riding gloves, to protect fingers while riding a
2-wheeler vehicle. To further enhance employee engagement in road safety, Road Safety Week
was organized from 3rd - 7 th March 2025. Through the safety week, a series of initiatives
like various training programs, quizzes and creative competitions were rolled out with
good participation from employees.
Environment:
A responsibility towards the environment is part of Abbott's mandate. We continuously
endeavor to minimize the use of renewable resources and cut down on carbon emission.
Site have successfully implemented the water stewardship practices. This initiative is
part of site's commitment to ensuring the availability of quality water both now and in
the future. It aims to benefit not only our site but also the surrounding community at
large.
The Company has a state-of-the-art effluent treatment plant with parameters of treated
effluent well within the limit set by the local State Pollution Control Board. The
rainwater isharvesting project continues to save water by reducing the intake of purchased
water.
Furthermore, gas emissions from the boiler and generator stacks as well as the ambient
air quality are monitored regularly, and they are well within the limits set by the State
Pollution Control Board. Vermi-composting unit is in place to convert canteen food waste
into organic manure, which is used in the lawns and in the plantation inside the Goa
factory premises.
Out of total non-hazardous waste generated at site, 65% of the waste is used for
beneficial purpose without undergoing any recycling process. Remaining 35% of waste is
sent for recycling.
Out of total hazardous waste generated at site, 0.7% of the waste is incinerated
without energy recovery, 0.3% is sent for recycling (used oil and e-waste). Rest 99 % of
hazardous waste is disposed off through co-processing (in cement industries).
During the year, World Environment Day was celebrated as EHS mass awareness program.
Goa plant is certified as Zero Waste to Landfill facility which means no waste is
disposed off through landfill.
Plastic Waste Management:
The Company is adhering to the requirements of Plastic Waste Management Rules as laid
down by the Ministry of Environment, Forests and Climate change. We entered into agreement
with waste management agency for this purpose and collected and processed our
post-consumer plastic packaging waste, from the States and Union Territories of India
where we operate.
CONSERVATION OF ENERGY, TECHNOLOGY ABSORPTION AND FOREIGN EXCHANGE EARNINGS AND
OUTGO
The required information under the provisions of Section 134(3)(m) of the Act read with
Rule 8 of the Companies (Accounts) Rules, 2014 in respect of Conservation of Energy,
Technology Absorption, Foreign Exchange Earnings and Outgo, etc. are annexed as
"Annexure III" and forms part of this Report.
ANNUAL RETURN
The Annual Return of the Company as on March 31, 2025 has been placed on the website of
the Company at https://www.abbott.co.in/investor-relations.html.
TOGETHER TOWARDS WELLNESS __
DISCLOSURE UNDER SECTION 197_12_ OF THE COMPANIES ACT, 2013 AND OTHER DISCLOSURES AS
PER RULE 5 OF THE COMPANIES _APPOINTMENT AND REMUNERATION OF MANAGERIAL PERSONNEL_ RULES,
2014
Disclosures required in accordance with the provisions of Section 197(12) of the Act,
read with Rule 5(1) of the
Companies (Appointment and Remuneration of Managerial
Personnel) Rules, 2014 is annexed as "Annexure IV" and forms part of this
Report. However, as per the provisions of Sections 134 and 136 of the Companies Act, 2013,
the Report and Financial Statements are being sent to the Members and others entitled
thereto, excluding the
Statement containing Particulars of Employees, which is available for inspection by the
Members up to the date of ensuing Annual General Meeting. Any Member interested in
obtaining a copy of such Statement may write to the Company Secretary at
investorrelations.india@abbott.com.
BUSINESS RESPONSIBILITY AND SUSTAINABILITY REPORT _BRSR_
Business Responsibility and Sustainability Report and Independent Assurance Statement
on BRSR Core as required under Regulation 34 of the SEBI Listing Regulations forms part of
this Report.
CORPORATE GOVERNANCE REPORT
Corporate Governance Report and Certificate issued by Ms. Neena Bhatia on compliance of
the conditions of Corporate Governance as required under Regulation 34 of the SEBI Listing
Regulations, form part of this Report.
COMPLIANCE WITH SECRETARIAL STANDARDS
The Board of Directors affirms that the Company has complied with the applicable
Secretarial Standards issued by the Institute of Company Secretaries of India (SS1 and
SS2) relating to Meetings of Board, its Committees and General Meetings, respectively.
DISCLOSURES OF ORDERS PASSED BY REGULATORS OR COURTS OR TRIBUNAL
No orders have been passed by any Regulator or Court or Tribunal which can have impact
on the going concern status and the Company's operations in future.
INDUSTRIAL RELATIONS
The Company has overall cordial industrial relations. The Company continues to receive
strong support from distributors, suppliers, vendors, stockists and other partners.
FIXED DEPOSITS
No fixed deposits were accepted during the year.
PARTICULARS OF LOANS, INVESTMENTS AND GUARANTEES
The Company has not granted any loan or provided any guarantees to or invested in
securities of any other body corporate during the year.
GENERAL
No disclosure or reporting is required in respect of the following items as there were
no transactions relating to these items during the year under review:
1. Issue of equity shares with differential rights as to dividend, voting or otherwise.
2. Issue of shares (including sweat equity shares) to employees of the Company under
any scheme.
3. The Company does not have any joint venture or subsidiaries.
4. There are no applications made or any proceeding pending against the Company under
Insolvency and
Bankruptcy Code, 2016 (31 of 2016) during the financial year.
5. There are no instances of one-time settlement during the financial year.
ACKNOWLEDGEMENT
Your Board expresses gratitude towards all the employees, business partners,
institutions, banks and the Members, for their continued trust and support to the Company.
|
For and on behalf of the Board of Directors |
| Colombo |
Swati Dalal |
Sudarshan Jain |
| May 15, 2025 |
Managing Director |
Director |
|
DIN: 01513751 |
DIN: 00927487 |
