Transmission of Annual Report for the Year Ended 30 June 2025

Purpose Precision Progress

ANNUAL REPORT 2025

We at Aisha Steel, MEASURE every move,

not just in numbers but in impact we create. with purpose at our core, and progress

in our path, we calibrate for the future, delivering with precision, without pause.

Purpose in Every Decision

We align every move with long-term

value for us, and for Pakistan.

Built on a

Philosophy of Purpose

At Aisha Steel Mills Limited (ASML), our purpose is to be a cornerstone of strength and innovation in the steel industry. We aim to empower industries and communities by delivering high-quality steel products that meet the evolving needs of our customers. Our purpose is rooted in creating value through sustainable practices, fostering partnerships, and contributing to the growth of the economy while ensuring the well-being of our stakeholders. By aligning our operations with this purpose, we strive to build trust, drive growth, and make a meaningful impact in the markets we serve.

TABLE OF CONTENT

10 Vision and Mission Statement

12 Company Information

14 Company Profile and

Nature of Business

24 Business Model

26 Code of Business Conduct

and Ethical Principles

28 Organizational Chart

30 Core Values

22 Value Chain

34 Calendar of Notable Events

35 Salient Policies in Place

43 Health and Safety Statistics

44 Regional and Global Network

48 Directors' Profile

58 Directors' Report

66 Statement of Shares Bought and Sold

Attendance of Directors in Meetings

68 Pattern of Shareholding

72 Evaluation of Performance of Board of Directors Including Chairman

73 Review Report by the Chairman

75 CEO's Message

78 Forward Looking Statement

79 Board and Management Committees

84 Additional Information

1. Beneficial Ownership & Group Shareholding

2. Competitive Landscape & Marketing Position

1. Awards and Recognition

2. Stakeholders' Engagement

104 Corporate Strategy

105 Strategic Objectives, Strategies,

Resources and KPIs

109 Risk and Opportunity Report

117 Sustainability Strategy

124 SWOT Analysis

128 Analysis of Non-Financial and Financial Performance

134 Key Operational and Financial Data

135 Economic Value Added

136 Ratio Analysis

144 DuPont Analysis

146 Horizontal and Vertical Analysis

150 Summary of Cash Flow Statement

152 Results Reported in Interim Financial Statements and Final Accounts

154 Historical Sales & Production

Statement

156 Graphical Representation of ASML

159 Cash Flow Statement - Direct Method

160 Share Price Sensitivity

163 Statement of Value Addition and Distribution

250 Shareholders' Information

252 Notice of 20th Annual General Meeting 255 Ballot Paper For Voting

Through Post / Email 256 Ballot Paper For Voting

Through Post / Email-Urdu

257 Form of Proxy

258 Form of Proxy - Urdu

259 BCR Criteria Index

274 Glossary

284 Directors' Report - Urdu

285 CEO's Message - Urdu

Company Overview

We at ASML, ROLL raw steel, to a perfect shining sheet, incorporating bothstrength and resilience.

Unwavering support of our stakeholders, visionary leadership and hard work of our committed team is converting dreams into reality.

Vision

To be a global leader in the flat steel industry with the largest share of the local market while fostering the culture of responsible production and consumption to be eventually acknowledged by its customers for quality and service excellence.

Mission

To supply the highest quality products to our clients utilizing sustainable and environmentally responsible procedures. We believe in the power of human capital in accomplishing our goal of responsible production with sustained return to our shareholders and strive to be the supplier and employer of choice in the flat steel industry.

Company Information

BOARD OF DIRECTORS

Mr. Arif Habib, Chairman Mr. Abdus Samad Habib Mr. Kashif Habib

Mr. Nasim Beg

Dr. Munir Ahmed, Chief Executive Mr. Arslan Muhammad Iqbal

Mr. Rashid Ali Khan Mr. Abdul Majeed Ms. Saadia Umar

AUDIT COMMITTEE

Mr. Arslan Muhammad Iqbal - Chairman

Mr. Nasim Beg

Mr. Abdus Samad Habib Mr. Kashif Habib

HUMAN RESOURCE & REMUNERATION COMMITTEE

Mr. Rashid Ali Khan - Chairman Mr. Arif Habib

Mr. Kashif Habib Ms. Saadia Umar

Chief Financial Officer

Mr. Ali Hassan

COMPANY SECRETARY

Mr. Manzoor Raza

HEAD OF INTERNAL AUDIT

Mr. A. Mirza

REGISTERED OFFICE

1/F Arif Habib Centre, 23 - M.T. Khan Road, Karachi - Pakistan - 74000

Tel: (+92 21) 32468317

PLANT ADDRESS

DSU - 45, Pakistan Steel

Down Stream Industrial Estate, Bin Qasim Karachi - Pakistan

Tel: (+92 21) 34740160

AUDITORS

A. F. Ferguson & Co., Chartered Accountants, State Life Building No. 1-C,

I.I. Chundrigar Road, Karachi

SHARE REGISTRAR DEPARTMENT

CDC Share Registrar Services Limited CDC House, 99-B, Block B, SMCHS,

Main Shahrah-e-Faisal, Karachi - 74400 Phone: 0800 - 23275

Fax: (+92 21) 34326053

Email: info@cdcsrsl.com Website: https://www.cdcsrsl.com

LEGAL ADVISOR

Ahmed & Qazi Khalid Anwer & Co. Akhund Forbes

Mohsin TayebAly & Co. Lex Firma

Khalid Jawed & Co.

Muhammad Ali Khan Associates

S.U. Khan Associates Fazle Ghani

Qazi Umair Ali / Hafeez Pirzada

Ahmed Hussain

V.N. Lakhani

BANKERS / LENDERS

Allied Bank Limited Askari Bank Limited Bank Al Habib Limited Bank Alfalah Limited

Bank Islami Pakistan Limited Dubai Islamic Bank

Faysal Bank Limited Habib Bank Limited

Habib Metropolitan Bank Limited Industrial and Commercial Bank of China JS Bank Limited

MCB Bank Limited

MCB Islamic Bank Limited Meezan Bank Limited

National Bank of Pakistan (Aitemad) National Bank of Pakistan

Pak China Investment Company Limited Saudi Pak Industrial and Agricultural Investment Company Limited

Silk Bank Limited Sindh Bank Limited

Standard Chartered Bank (Pakistan) Limited Bank Makramah Limited (formerly known as Summit Bank Limited)

The Bank of Khyber The Bank of Punjab United Bank Limited

Website

https://www.aishasteel.com

Company Droffilc and Nature of Business

Aisha Steel Mills Limited ("ASML") is a public limited company incorporated in Pakistan under the repealed Companies Ordinance, 1984 (now Companies Act, 2017). The shares of the Company are listed on Pakistan Stock Exchange. ASML is a part of Arif Habib group and is one of the largest private sector investments in the value added flat-rolled steel industry in Pakistan. The principal activity of the Company is manufacturing and selling cold rolled steel coils and hot dipped galvanized coils.

NATURE OF BUSINESS

ASML is one of the major producers of Flat Steel Products i.e. Cold Rolled steel coils and Hot Dipped Galvanized steel coils in Pakistan. It is a state-of-the-art steel rolling complex with the name-plate capacity of 700,000 tons per annum.

Products

Cold Rolled Coils (CRC)

CRC has wide applications in various sectors including auto, engineering, appliances and pipe manufacturing. These sheets and coils are further processed into a wide variety of value added products for domestic as well as industrial applications in different sectors. ASML uses Electrolytic Cleaning Line (ECL) for Auto Grade Sector. These coils are provided as coils or sheet, as per customer demand. Currently, ASML is producing CRC of the following specifica-tions:

Annual Capacity: 450,000 tons

Size (mm): 0.15mm - 3mm

Width (mm): 914, 1000, 1120, 1219

Manufacturing standard: JIS-G3141, ASTM CS 1008 and equivalent Grade: SPCC, SPCD, SPCE, SPCG Quality

Surface Finish: Matt / Bright

Hot Dipped Galvanized Coils (HDGC)

ASML started production of HDGC and sheets in SGCC, SGCH and SGCD grades from May 2019. HDGC is used in vast applications including HVAC, pipes, containers, ceilings, light gauge steel structures and canopies. HDGC is available in coils as well as steel sheets as per customer requirement. Currently, ASML is producing HDGC of the following specifications:

Annual Capacity: 250,000 tons

Size (mm): 0.15mm - 3mm

Width (mm): 914, 1000, 1219

Manufacturing standard: JIS-G3302, ASTM A653 / A653M and equivalent Spangle: Zero / Regular

Grade: SGCC, SGCH, SGCD Quality

Coating thickness Z06 - Z27 (Anti-finger coating is also available on customer demand).

16 Aisha Steel Limited

Markets

The local and international market of the Company products comprises of various applications of CRC & HDGC flat steel including manufacturing of various automobile parts, manufacturing of refrigerators, centralized air conditioner's ducts and manufacturing of pipes. Our products are sold to customers through a network of dealers whereas sales are also made directly to the end users manufacturing various engineering goods.

As per the Rating Report issued by VIS Credit Rating Company Limited on December 23, 2024, ASML's credit rating has been reaffirmed at BBB+, reflecting adequate credit quality with reasonable and sufficient protection factors. The outlook has also been maintained as Stable, consistent with the previous year.

Complete report can be accessed at: https://docs.vis.com.pk/RatingReports/OP_01018903009_00010189.pdf Machinery and Production Process

The production process of CRC from HRC is highly automated and can be divided into the following processes:

1. Push Pull Pickling Line

   This line cleans HRC by using acid solution to eliminate oxide scale and other deposits on the surface. After initiation of commercial operations of the new push pull pickling line from June 26, 2019 the total pickling capacity of ASML accounts to 850,000 tons per annum.

2. Cold Rolling Mill

   The Rolling Mill is an integral part of the cold rolling complex. In this equipment the cleaned HRC is rolled into thin gauges at room temperature by applying hydraulic force through set of roles. Cold rolled steel possesses better surface enhanced strength and better dimensional accuracy compared to HRC. The output from this mill can be sold as "Full Hard CRC" or further processed into "Annealed CRC".

3. Batch Annealing Furnace

   Batch Annealing Furnace (BAF) transforms "Full Hard CRC" into "Annealed CRC" in controlled atmosphere furnaces. Currently the Company is equipped with 14 heating bells and 14 cooling bells with an annealing capacity of approximately 350,000 tons of CRC every year.

4. Skin Passing and Recoiling Mills

Skin passing is done to improve mechanical properties and achieve specified surface finish, hardness and flatness. After skin passing the finished product is passed through a recoiling line and coated with corrosion protection oil. The coil size is also adjusted according to the customer speci-fications.

Production process of HDGC from CRC is as follows:

1. Surface Preparation

   The Full Hard CRC coils are degreased, pickled and then rinsed to remove impurities, scales and to prepare surface for application of zinc coating.

2. Galvanizing

Hot dip galvanizing is the process of coating steel with a layer of zinc by immersing the metal in a bath of molten zinc at a temperature of around 400-45

Annual Report 2025 17

Geographical Location We are located at:

1. Registered Office Address: 1/F Arif Habib Centre, 23 M.T. Khan Road, Karachi, Pakistan

2. Factory Address: DSU-45, Pakistan Steel, Down Stream Industrial Estate, Bin Qasim, Karachi, Paki-

   stan

3. Lahore Liaison Office: 601-B, 6th Floor. City Tower, Main Boulevard, Gulberg II, Lahore, Pakistan

4. Multan Liaison Office: 606-A, 6th Floor. United Mall, Abdali Road, Multan, Pakistan

5. Rawalpindi Liaison Office: 514, 5th Floor, Kohistan Tower, Saddar, Rawalpindi

SIGNIFICANT FACTORS AFFECTING EXTERNAL ENVIRONMENT

Macro-Economic Factors Affecting Business Global Overview

The global economy experienced a mixed trajectory, marked by slowing growth momentum amid persistent geopolitical tensions, elevated interest rates, and ongoing supply chain realignments. Advanced economies, particularly the U.S. and the Eurozone, maintained moderate growth supported by resilient labor markets and government spending, but tighter monetary policy and high borrowing costs constrained private investment and consumer demand. In contrast, emerging markets, especially in Asia, continued to drive global output, though challenges such as currency depreciation, rising external debt servicing costs, and volatile capital flows posed risks to financial stability. Trade volumes remained subdued compared to pre-pandemic trends, with protectionist policies and shifting energy dynamics influencing global commerce.

Global inflation, though moderating from its post-pandemic peaks, remained above long-term targets in most economies. Declines in energy and commodity prices helped ease cost pressures, but core inflation was sticky due to elevated service sector costs and wage growth. Central banks, particularly the U.S. Federal Reserve and the European Central Bank, adopted a cautious stance, balancing inflation control with concerns of slowing growth. Overall, the year reflected a transition phase-marked by efforts to stabilize inflation without derailing growth-while structural challenges such as climate change, technological shifts, and geopolitical fragmentation continued to define the outlook.

Local Economic Environment

Pakistan's economy in fiscal year 2024-25 remained under considerable stress, navigating a fragile recovery amid high inflation, tight monetary conditions, and fiscal consolidation measures tied to IMF program requirements. Economic growth stayed modest, supported mainly by improvements in agriculture and a partial rebound in the services sector, while industrial activity continued to face pressures from high energy costs, weak demand, and import restrictions. The external sector showed some stability as exports and remittances provided critical support, though the trade deficit remained wide due to reliance on essential imports. Despite these challenges, foreign exchange reserves saw some improvement with IMF disbursements and bilateral inflows, helping reduce immediate default risks.

Inflation remained elevated through much of the year, driven by high food and energy prices, though gradual easing was observed in the later months as global commodity prices softened and domestic supply improved. The State Bank of Pakistan maintained a cautious monetary stance to anchor infla-tion expectations, while fiscal authorities struggled to expand revenue mobilization and contain expenditure pressures. Persistent structural weaknesses-including a narrow tax base, energy sector inefficiencies, and governance challenges-continued to weigh on the country's economic resilience. Overall, FY 2024-25 reflected a year of stabilization rather than strong growth, with Pakistan striving to maintain macroeconomic discipline under external support while facing the need for deeper structural reforms to achieve sustainable recovery.

18 Aisha Steel Limited

During FY 2025, inflationary pressures experienced a substantial decline, indicative of significant stability within the economy. The Consumer Price Index (CPI) inflation rate, which recorded 11.1 percent year-on year in July 2024, represented a notable decrease from 28.3 percent in July 2023. This downward trajectory continued, with inflation dropping as low as 1.5 percent in February, followed by

0.7 percent in March and 0.3 percent in April, marking a multidecade low.

The government has effectively stabilized prices and enhanced the affordability of food and energy products for the general population by implementing a strategic combination of administrative measures, relief initiatives, and policy adjustments. This coordinated policy approach in Pakistan led to a significant drop in inflation, falling to 4.7 percent in April 2025 from 26.0 percent during the correspondence period in last year.

The ongoing efforts towards fiscal consolidation continue to reinforce fiscal discipline throughout the current fiscal year, underpinned by a substantial increase in revenues attributed to various tax policy and administrative measures and effective expenditure management. Thus, the fiscal deficit decreased to 2.6 percent of GDP during July-March FY 2025 from 3.7 percent the previous year. Additionally, the primary surplus 3.0 percent of GDP compared to 1.5 percent the previous year, facilitated by restrained non-markup expenditures.

Pakistan moved from a substantial current account deficit to a surplus in FY 2024-25. The current account recorded a surplus of US$2.105 billion, compared to a deficit of US$2.072 billion in FY 2023-24. Consequently, foreign exchange reserves also improved, with reserves rising to around US$16.6 billion by May 2025, up from about US$14.3 billion a year earlier. This turnaround was driven largely by strong remittance inflows (US$38.3 billion), modest export growth, and efforts to restrain import growth.

Annual Report 2025 19

Economic data has been collected from "Pakistan Economic Survey 2023-24".

The government continues to prioritize economic stability by strengthening exports, attracting investment, and ensuring fiscal discipline. Sustained implementation of reforms and sound macroeconomic management are expected to reinforce growth momentum, keeping the economy on track to achieve the medium-term target of 5.5 percent by FY2027. Ongoing efforts to manage the foreign exchange market have contributed to stability in the external sector and improved investor confidence. Inflation is projected to remain moderate in FY2026, aided by better agricultural performance, a resilient exchange rate, and relatively favorable global market trends

Micro-Economic Factors Affecting Business

ASML is focused on customer satisfaction and aims to provide them with best quality of CRC and HDGC. We target for long-term mutually beneficial relationship which adds value for both customers and ASML. In order to meet our mutual objectives, we aim to achieve optimization of all processes from procurement to sales and capitalize on synchronization of entire value chain.

Competition

ASML is one of the largest producers of CRC and HDGC in Pakistan. Due to state-of-the-art technology, our quality gives us competitive edge over other producers and importers of CRC and HDGC. ASML, after coordinated team work and able guidance has increased its rolling capacity to 700,000 tons including 250,000 tons of HDGC. This already has and will further strengthen us against the competitors.

Raw Material

The raw material mainly consists of Hot Rolled Coils (HRC) which is imported by ASML from seven different countries across the globe. Prices of HRC are linked with its international demand and supply. Timing of HRC procurement and its pricing decision are critical to the profitability of the Company. For production of HDGC, Zinc and its various alloys are also imported.

Significant changes from prior year

There are no major changes in the organizational overview. The Company remains well poised to capture market opportunities and meet expectations of its local and foreign customers.

ASML stays vigilant to changes in economic environment and the Board meets regularly to discuss the significant developments and set appropriate action plans to ensure achievements of the Companies objectives.

The Flat Steel Sector

The Flat Steel industry in Pakistan comprises of three local producers Aisha Steel Mills Limited (ASL), International Steels Limited (ISL) and Hadeed Pakistan (Private) Limted (HPL). Flat steel producers import Hot Rolled Coil (HRC) and convert it into Cold Rolled Coil (CRC), Galvanized and Color Coated sheets.

HRC prices gradually declined from around US$ 530 FOB China in July 2024 to US$ 450 by June 2025. The prices since have stabilized and showing sign of recovery following China policy changes restricting production to control environment pollution. The international steel market also witnessed radical tariff policy changes implemented by the current American administration, followed by reciprocal steps from the affected countries. The market is now readjusting as per the new norms and signs of stability are emerging. Demand is expected to gradually improve both in America, Europe and other countries.

Political Factors

Political instability in the country also led to a huge increase in economic uncertainty. Uncertainty at individual, firm, and government levels negatively affected the economy. The Board closely monitor the political climate of the country and stays vigilant to the ever developing situation and its implications on ASML.

Legal Factors

ASML was incorporated under the repealed Companies Ordinance, 1984 (now Companies Act, 2017) and is listed in Pakistan Stock Exchange (PSX) since 2012. The Company prepares its financial statements in accordance with the accounting and reporting standards as applicable in Pakistan. The accounting and reporting standards applicable in Pakistan comprise of:

• International Financial Reporting Standards (IFRS) issued by the International Accounting Standards Board (IASB) as notified under the Companies Act, 2017;

• Islamic Financial Accounting Standards (IFAS) issued by the Institute of Chartered Accountants of Pakistan as notified under the Companies Act, 2017; and

• Provisions of and directives issued under the Companies Act, 2017.

Where provisions of and directives issued under the Companies Act, 2017 differ from the IFRS, the provisions of and directives issued under the Companies Act, 2017 have been followed.

The board promotes a culture of compliance with the applicable framework and with the help of professional legal counsels ensure adherence to the applicable laws, regulation and standards.

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Annual Report 2025 21

Technological Factors

ASML is a major player in Pakistan's flat steel market and a growing contributor to Pakistan's export. In recent years, the Company, foreseeing prospective market demand trends, has upgraded the state-of-the-art steel rolling complex to a name plate capacity of 700,000 tons per annum. The Company now stands at an advantageous position to meet the rising local and foreign demand.

SAP S/4 HANA

ERP systems integrate core business functions like finance, HR, supply chain, and inventory management into a centralized platform. They streamline processes, ensure data accuracy, and provide real-time insights. By automating tasks and enabling seamless communication, ERPs enhance efficiency, reduce costs, and support data-driven decision-making, ultimately improving overall organizational performance.

The Company implemented SAP S/4 HANA (ERP software) in financial year 2022 for streamlining the Company's overall operations, which resulted in efficient reporting and informed decision making. The transition from Sidat Hyder to SAP S/4 HANA was challenging but tremendous efforts were put in by the business and IT team together to achieve a smooth transition with zero business disruption. The implementation of SAP S/4 HANA has enabled the management in efficient data management, quicker decision making and accurate forecasting.

Management support is crucial for employees to engage effectively, ensuring successful ERP implementation. The Company has an organized system for providing training to users.

Management of Risks

To control risk factors in ERP, the Company:

• Thoroughly Planned and Identified Risks Early

• Engaged Stakeholders and Clarified Requirements

• Assembled an Experienced Project Team

• Implemented Robust Change Management

• Fostered Regular Communication

• Ensured Accurate Data Migration and Integration

• Limited Excessive Customization

• Developed Contingency Plans

• Established Post-Implementation Support

System Security Assessment and Segregation of Duties

Companies ensured system security through audits, role-based access, encryption, and employee training. Compliance with regulations, data backups, incident response plans, and continuous monitoring were vital. Authentication methods like multi-factor authentication were employed. Access to sensitive data was limited based on roles. Regular security audits were conducted to identify vulnerabilities. Encryption was used for data at rest and in transit. Employees were trained on security best practices, including recognizing phishing attempts. Incident response plans were in place for swift actions in case of breaches. Compliance with industry regulations was maintained, and systems were regularly updated to adapt to emerging threats, ensuring a proactive security approach.

Imported versus Local Material and Foreign Currency Sensitivity

The cost of HRC constitutes around 85% of total cost of CRC and HDGC. HRC is imported from seven different countries across the globe and transactions are denominated in foreign currency. Bills payable and foreign creditors, included under trade and other payables, are exposed to foreign currency risk. Other than HRC and zinc, all other raw materials are procured locally. Further, the Company has exports sales and therefore is exposed to foreign currency risk on receivables.

As at June 30, 2025, if the Pakistani Rupee had weakened / strengthened by 5% against US Dollar with all other variables held constant, loss before tax for the year would have been higher / lower by Rs. 22.6 million (2024: Rs. 98.01 million) mainly as a result of foreign exchange losses / gains on translation of US Dollar denominated financial assets or liabilities.

Effect of seasonality

Sales remain mostly stable throughout the year and there is no major seasonal push or pull, however, some slowdown is witnessed from beginning of Ramadan until a week after Eid-ul-Fitr, a week before Eid-ul-Azha till a week after Eid-ul-Azha, and occasionally during monsoon season. The lower pace of sales relates to slowdown in operations of customers due to Ramadan and lack of availability of intercity transport.

Productivity of the Company is independent from seasonal fluctuations. However, same is managed by adjusting stock levels and annual maintenance schedules.

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Annual Report 2025 23

Busincss Modcl

Natural Resources

To produce, we use hard rolled coils, zinc, various chemicals, water and energy. We seek to preserve the resources we use by using them efficiently.

Manufactured and Intellectual CapitalState of the art flat steel manufacturing complex with a name plate capacity of 700,000 MT along with the processes perfected over time are prime contributors to produce superior quality products. We have further taken initiatives of implementing SAP S/4 Hana to streamline reporting.

Human

Our success is dependent on the commitment and focus of our talented people. We invest in their potential and empower them to leverage opportunities for growth, both for themselves and for our Company. Our family is 560 permanent and 70 contractual employees strong. We take pride in our commitment to promote employees' wellbeing and have taken various initiatives that include:

• 343 training hours invested

• Employee appreciation day

Financial Capital

Our business requires financial capital and we pride ourselves with the efficiency with which we allocate it to meet our strategic objectives. This capital consists of Rs. 20.62 bn equity and Rs. 594 mn debt.

Social

Our relationship with suppliers, as well as distributors and customers has led us to create impact beyond what we could have achieved on our own. We value our local and international networks, enabling us to produce superior quality products.

What we depend upon (Input)

How we do it (Process)

Procurement

What we do (Product)

Value Generated and Added (Output)

Human Capital

• Talent nourishment, growth and

  retention

• Diversity at workplace

• Safe and Healthy work environment

Financial Capital

- For Share Holders:

• LAT - Rs. 1.35 bn

• LPS - Rs. 1.55

• Market Value: (ASL: Rs. 11.23 ASLPS: Rs. 17.08)

- For Wider Stake Holders:

• Contribution to National Exchequer- Rs. 7.45 bn

• Return to providers of finance - Rs. 2.63 bn

• Sales to our local and export customers - Rs. 33.75 bn

• Paid to suppliers, service providers and employees - Rs. 28.62 bn

Procurement of HRC

Manufacturing**

Manufactured and Intellectual Capital

• Producing superior quality product

• Increased market share

• Contributing to national economy by substituting imports

• Reduced operating cycle and cost

  optimization

• Timely and effective reporting

Social Capital

• Growing network of vendors, dealers and customers

• Highly satisfied customers

• Trust of Vendors

Packing

Pickling & Rolling

Annealing & Skin Passing

Galvanizing

Dealer Network

Shipping

Annealed

CRC

FH CRC HDGC

Natural Capital

• Better utilization of natural resources

• Re-use of water treated from waste water treatment plant

• Conversion to solar energy

** Manufacturing process has been explained in detail on page no. 18 of the Company Information Section.

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Annual Report 2025 25

Codc of Busincss Conduct and Ethical Drinciplcs

Codc of Busincss Conduct and Ethical Drinciplcs

At ASML, we conduct our business with integrity, honesty and fairness. We respect views and the interests of all stakeholders and strive to fulfill them while remaining compliant with the legal framework. In order to ensure compliance with best practices, Code of conduct is in place which is required to be acted upon by all employees including Chief Executive and Directors. Our Code of Conduct contains the following principles:

1. Human Resource

   ASML believes that a strong and capable team leads to results. ASML is an equal opportunity employer and discrimination on any ground is completely unacceptable. Therefore, employees shall be recruited and promoted only on merit based on qualification and experience.

2. Compliancc with Laws and Rcgulations

   Every director and employee of ASML shall adhere to all applicable laws and regulations, including those related to corporate governance.

3. Conflict of Intcrcst

   No director or employee of the Company shall engage in any activity, relationship or business which conflicts with the interest of the Company, unless the same has been approved by the Company. Any interest which may affect or might reasonably be deemed by others to affect the employee's impartiality, should be declared in writing to the Company.

4. Books and Rccords

   Every employee must act in good faith and shall not misrepresent material facts in their internal or external communications and books or records.

5. Fair and Ethical Conduct

   Every director and employee of the Company shall deal fairly with each other, customers, suppliers and other stake holders. Information transmitted and dealings done in official capacity must be honest and shall never be made to mislead, take unfair advantage, manipulate, conceal or abuse information, or to misrepresent facts.

6. Work Place Harassment

   Every director and employee shall maintain an environment that is free from harassment and all employees shall be equally respected. Harassment includes, but is not limited to, sexual harassment and disparaging comments based on gender, religion, race or ethnicity.

7. Conffidcntiality

   The Directors and employees must respect the information received in the due course of business and never use the same for personal gain. Further, all the affairs of the Company are to be treated as confidential and never be disclosed to third parties, unless the same is required by the applicable laws.

8. Dolitical Contributions and Activitics

   Directors and employees are restricted from engaging in political activities or making political contributions.

9. Hcalth and Safcty

   Every employee is encouraged to take reasonable care to ensure his health and safety and others who may be affected by his acts. Health and safety guidelines should be strictly followed, especially in the production area.

10. Wcapons and Drugs

    ASML does not allow any employee to carry firearms or weapons. Further, the employees must not

    possess, use, or distribute drugs or alcohol.

11. Drotccting Company's Asscts

    Every employee shall safeguard assets of the Company and their fair and efficient use. All assets of the Company, including utilities and official time of employee, shall be used efficiently and for legitimate business purposes only.

12. Non-Retaliation Policy

The Company prohibits any retaliation against anyone who reports the misconduct in good faith. Any employee observing any violation may bring the same to the notice of the management in writing.

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Annual Report 2025 27

ORGANIZATION CHART

Share

Holder

CEO CFO GM

Direct Reporting Line Administrative Reporting Line Chief Executive Officer

Chief Financial Officer General Manager

CSO S SC P QA

Business Strategy & Planning Sales and Marketing

Supply Chain

Prodution

Quality Assurance

CS Company Secretary

Board of Directors

Audit

Committee

CEO

Nomination Committee

Risk Management Committee

HR& R

Committee

Internal Audit GM - IA

Engr. & Project GM - M / GM -E

Sales & Marketing Director - S

Accounts & Finance CFO

IT

Senior Manager

Business Strategy

& Planning

CSO

Compliance CS

Production GM - P

QA & EHS

DGM - QA

Supply Chain DGM - SC

Human Resources GM - HR

& R

Admin DGM - A

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Annual Report 2025 29

Core Values

At ASML we act, work and prosper in accordance with our values. We strive to contribute towards the society and conduct our business in abidance by the law. We aim to serve the interests of all stakeholders, including the society at large.

1. Intcgrity and Trust

   We trust, respect and support each other. Thus, strive to earn the trust of all our stakeholders by maintaining transparent environment based on ethical values and ensuring openness and honesty in all our dealings at all times.

2. Divcrsity and Fairncss

   We are an equal opportunity employer and provide equal playing field to all our employees without

   bias against gender, age, race, ethnicity and religion.

3. Excellence

   We strive for quality and excellence in all our actions and make sure we do what we say.

4. Tcamwork and Tcam Dcvclopmcnt

   We aim for building teams where members respect and support each other, regard each other's views, coordinate, collaborate and foster an environment of harmonized efforts towards collective goal of growth and prosperity. We invest in human resource and ensure continuous behavioral and technical trainings are provided.

5. Rcgulatory Compliancc and Corporatc Govcrnancc

   The Company remains committed to high standards of corporate governance, while adhering to applicable laws and regulations, in full letter and spirit.

6. Sharcholdcrs

   We are committed to maximize the value of investments of shareholders by achieving superior returns, enhancing our capacities and improving our process efficiencies. We are also committed to ensuring that all material information is communicated to shareholders on a timely basis.

7. Customers

   Our conviction for excellence emerges with the passion to satisfy our customer and to provide them with a product of international standards.

8. Ingcnuity

We seek new opportunities and out-of-the-box solutions. We use our creativity to find ways to solve problems. Our experience and technology enables us to overcome challenges and deliver value to all stakeholders.

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Annual Report 2025 31

UPSTREAM

Pickling

Annealed CRC

Skin Passing

Annealing

Rolling

Packing

Full Hard CRC

Galvanizing

Transport

Dealers

HDGC

Port

Export Sales

End User

Hot Rolled Coils

Port

Transport

Droduction Droccss of HRC Sintcring

Value Chain

The iron ore is agglomerated with other fine materials at high temperature, to create a product called Sinter that can be used in a blast furnace.

Blasting

A mixture of iron ore (Sinter) and coke is then heated in a blast furnace to produce molten iron (pig iron) from which steel is made.

Casting

Steel from the furnace is passed through continuous casters and is formed into slabs, blooms and billets.

Hcating Droccss

DOWNSTREAM

Steel slabs are then heated in a furnace to approximately 2,300 degree Fahrenheit. The mills scales / flaky surface generated on the surface of hot iron are cleansed through scale breaker.

Finishing and Rolling

The cleansed material is sent through a rolling mill for producing transfer bars. The process consists of rollers that decrease the thickness and increase the length. The transfer bar is further rolled to reduce thickness to form sheets of desired thickness.

Cooling Stagc

The flat rolled steel is cooled via cooling sprays. After cooling the hot rolled sheets enter coilers and the coils are ready for delivery.

Droduction Droccss of CRC and HDGC

Production Process of CRC and HDGC has been mentioned in "Company Profile and Nature of Business". Please refer page no. 18

32 Aisha Steel Limited

Annual Report 2025 33

14

th

30

th

28

th

29

th

15

th

August

77

th

September

97

rd

October

20

th

October

98

th

February

2024

2024

2024

2024

2025

Calendar of Notable Events

Salient Policies In Place

IT Governance Policy

ASML recognizes IT as key resource for business progression and growth and has a well-documented, communicated and implemented IT Governance Framework and Policy that warrants that IT is aligned with the overall organizational goals and strategies. The policy aims to create IT governance structure establishing modus-operandi, roles and responsibility and guidance for overall IT Management Framework including management, implementation and monitoring of IT investments.

The IT Governance Policy consists of:

Independence Day Celebrations

1. Providing an organized decision making process around IT investment decisions.

2. Reducing system down times and disruptions, including planning of system upgradations without affecting operations.

3. Ensuring availability, integrity, security, consistency and accuracy of data and communications.

   Board of Directors Meeting

4. Ensuring sufficiency of IT Infrastructure and investment in IT hardware and software in line with the

   organization's objectives.

5. Creating a culture of paperless environment.

6. Determining the distribution of responsibility between the IT department and User department.

7. Assisting in backup and recovery of information.

   Annual General Meeting

8. Ensuring effective IT inventory asset management.

   Whistle Blowing Policy

   Board of Directors Meeting

   ASML is committed to conduct its business and work with all stakeholders in a manner that is lawful and ethically responsible. Our Whistle Blowing Policy formalizes the Company's commitment to enable its employees, shareholders and business associates to make fair and prompt disclosure of circumstances where they discover information that shows serious malpractices. The Whistle Blowing Unit comprises of Chief Executive Officer and Head of Internal Audit.

   ASML Annual Cricket Tournament

   Fundamental elements of our Whistle Blowing Policy are highlighted below:

   Board of Directors Meeting

   • The complainants are ensured that he / she will not be subjected to any form of detrimental treatment as a result of any disclosure, where the disclosure is made in good faith. However, it should be noted that unfounded allegations made recklessly, maliciously or knowing that they were false can expose the complainant to disciplinary action.

   • All disclosures are required to be made in writing.

   • All whistle blowing disclosures made are treated as confidential and the identity of the whistle blower

     is protected at all stages in any internal matter or investigation.

     Recreational Activities and fun

   • Disclosures made anonymously will also be accepted however, the decision to take them up lies with the Whistleblowing unit depending on their nature and urgency.

     games for ASML employees

   • For cases which are directly impacting the goodwill of the Company both in financial and non-financial terms, CEO will submit the report to the Audit Committee and Board of Directors. Both shall receive information on each report of concern and can ask for follow-up information on actions taken from CEO.

     Board of Directors Meeting

     During the year there were no whistle blowing incident reported under the mentioned procedure.

     Corporate Social & Sustainability Responsibility Corporate Social Responsibility

     The objective of this policy is to serve as useful guiding principle to take initiative to contribute to harmonious and sustainable development of society and the earth through all business activities that ASML carry out and in the evaluation of proposals received from our various stakeholders for CSR projects, programs and activities.

     24

     th

     09

     th

     29

     th

     19

     th

     February

     99

     th

     April

     April

     100

     th

     June

     Blood donation Drive

     2025

     2025

     2025

     2025

     Annual Report 2025 35

     Arif Habib Group has continuously strived to contribute to the sustainable development of society through the business activities of its components, by actively discharging its Corporate Social Responsibilities in numerous areas of community development in the relevant spheres of the component Companies.

     Policy

     ASML shall promote its corporate social responsibility (CSR) activities based on the conviction that all business activities must take CSR into consideration. We shall remain vigilant in enforcement of corporate ethics and compliance and constantly work to improve educational and community development programs and strengthen our internal control systems. At the same time, we pursue initiatives related to quality management, environmental preservation, philanthropy and improved communication with all stakeholders.

     CSR Policy Guidelines

     ASML shall undertake social, philanthropic or community development programs which are in line with

     its business strategies or that which will benefit the broader interests of the community that includes:

   • Education

   • Health

   • Community Building

However before committing to any CSR activity, credibility and reputation of the donee seeking

assistance must be considered.

(Details of CSR Activities carried during the year have been covered in Directors' Report.)

Sustainability

ASML actively strives to achieve the desired sustainability outcomes of being an active and welcomed member of the community and of having our contributions to society. We understand sustaining the environment, preservation of energy, careful use of utilities, prevention of atmosphere and eco-friendly contributions are necessary for every responsible citizen. At ASML, under the direction of management we continuously make continuous sustainability efforts by educating and counseling our employees regarding importance of environment preservation and inculcating top-down approach and culture towards generating sustainability. We understand that sustainability is not performed periodically, but it is inspired and spread via regular actions in daily life.

HR Management and Succession Planning

The HR Management (HRM) is one of the key pillars of the Company it includes recruiting, developing, motivating and retaining the personnel having exceptional ability and dedication by providing them good working conditions, performance based compensation, attractive benefit program and opportunity for growth.

The main objectives of Company's HRM policy are as follows:

1. Achieving an effective utilization of human resources in the achievement of goals of the Company.

2. Establishing and maintaining an adequate organizational structure and a desirable working relationship among all the members of ASML by dividing of organization tasks into functions, positions, jobs and by defining clearly the responsibility, accountability, authority for each job and its relation with other jobs / personnel in the organization.

3. Securing the integration of the individuals and groups with an organization, by reconciling individual

   / team with those of an organization in such a manner that the employees feel a sense of involvement, commitment and loyalty towards it.

   36 Aisha Steel Limited

4. Generating maximum individual / team development within ASML by offering opportunities for advancement to employees through training and on-job education, effective job rotation and by retraining them.

5. Recognizing and satisfying individual needs and group goals by offering an adequate and equitable remuneration, economic and social security in the form of monetary compensation, and protection against unfortunate situations such as illness, old age, disability, death, unemployment etc. so that the employees may work willingly and contribute to achieve goals of ASML.

6. Maintaining high morale and better human relations inside the Company by sustaining and improving the conditions which have been established so that employees are retained for longer period.

7. Protecting the environment and contributing towards the economic strength of the country and function as good co-operate citizen.

   Succession Planning

   Effective succession planning warrants availability of competent internal resource ready to fill-in-the-shoes of predecessors, whenever required. When searching future leaders, we search for people who strive for continuous improvement and demonstrate commitment.

   The objectives of succession planning are as follows:

   • Identifying competent resources capable of acquiring, adapting, and fulfilling higher responsibilities.

   • Ensuring systematic and rhythmic transition of key positions as and when needed in the long term.

   • Providing continuous flow of talented people to meet the organization's need and objectives.

Social and Environmental Responsibility Policy

Social and Environmental Responsibility Policy directs active commitment towards social work initiatives to contribute to the Company's corporate social responsibility. Being a responsible corporate citizen, the Company actively contributes to various social causes.

ASML is fully committed to grow and achieve its mission, while acting in environmentally responsible manner. To achieve this objective, we:

1. Ensure our product and operations comply with relevant environmental legislation and regulations.

2. Maintain and continually improve our environmental management systems as dictated by specific

   markets or local regulations.

3. Operate in a manner that is committed to continuous improvement in environmental sustainability through conservation of resources, prevention of pollution, discouraging wastage of food, and promotion of environmental responsibility amongst our employees.

4. Ensure emissions of hazardous materials from our Factory are within tolerable limits.

   Quality Management

   ASML is committed to produce prime quality cold rolled and galvanized steel sheets and coils. We assure quality at each stage of the production process by focusing on customers' satisfaction which is our utmost priority.

   Quality management system leads us for the approach of continuous improvement by meeting customers' requirements. Aiming the consistency and accuracy in our finished products, flat rolled sheets and coils are produced from superior quality imported hot-rolled coils.

   Our Quality Management system includes:

   • Analysis of imported HRC by using testing methodology of visual dimensional, chemical and

mechanical properties.

Annual Report 2025 37