gsb finance ltd Management discussions

Your directors are pleased to present the Management Discussion and Analysis Report for the year ended 31st March 2023.

Statements in this Management Discussion and Analysis of financial condition and results of operations of the Company describing the Companys objectives, expectations or predictions may be forward looking within the meaning of applicable securities laws and regulations. Forward-looking statements are based on certain assumptions and expectations of future events. The Company cannot guarantee that these assumptions and expectations are accurate or will be realized. The Company assumes no responsibility to publicly amend, modify or revise forward-looking statements on the basis of any subsequent developments, information or events. The statements involve risk and uncertainties including those risks which are inherent in the Companys growth and strategy.

The management of the company is presenting herein the overview, opportunities and threats, initiatives by the Company and overaII strategy of the Company and its outlook for the future. This outlook is based on managements own assessment and it may very due to future economic and other future developments inthe country.

Segment-wise Performance:

The Company operates in only one segment for trading and investment in shares and securities. The Business Segments has been identified in accordance with Accounting Standards.

Subsidiary Company:

As there are no subsidiaries of the Company, Investment made in Subsidiaries is NIL.

Risk & Concerns:

The challenge for the niche financial service provider companies today is the consideration of what they wish to keep from the changes they made due to the pandemic. There has been a paradigmatic shift of geopolitics, data governance, operational resilience and ever evolving technologies are key concerns for board room discussion. The company survives in a highly competitive environment. Timely and effective risk management is of prime importance to our continued success. The sustainability of the business is derived from the following Identification of the different dangers looked by the Company.

• Identification of the different threats looked by the Company.

• The development of effective risk management framework to measure and analyze them.

• Risk management through proper reduction methodologies inside the strategy system.

• A constant vigil upon the advancements and changes in the environment and frequent exposure to audits.

• Reporting these jeopardy reliefs of risk management results to the appropriate levels of authority.

• Your Board has taken major initiatives like focus on cost reduction through inventory management techniques, manufacturing process without compromising quality of products, retaining talented employees and promotional activities like advertising, participation on trade exhibition, strategic partnership, customer relations etc.

There always sustains the danger of misfortune from insufficient or bombed frameworks, cycles, or systems.

Opportunities and Threats:

In line with our mission, we strive to understand the needs of our customers and help them transform their systems with front to C-Back solutions and digital capabilities that enable them to deliver better financial services while managing the risks.

Some of the key trends of the industry that are favorable to the company to exploit these emerging opportunities are:

• There are good prospects for expanding further activities in this direction.

• The new technology provides an opportunity to enable the company to practice differentiated pricing strategies in the new market. It will enable the firm to maintain its loyal customers with great service and lure new customers through other value-oriented propositions.

• The market development will lead to the dilution of the competitors advantage and enable the company to increase its competitiveness compared to the other competitors.

• Liability laws in different countries are different and the company may be exposed to various liability claims given changes in policies in those markets.

There is no clear picture from the Government, hence for us to even guide our shareholders about the same would be very difficult.

Some of the key changes in the industry unfavorable to the company are:

• Rapid changes in technology.

• Manifold increase in competition from international players.

• Fall of the Indian rupee against the dollar is creating problems for the consumer durables industry as it increases the cost of product.

• Increasing compliances

Internal Control Systems and their Adequacy:

The Companys internal control systems are commensurate with the nature and size of its business. These systems ensure that all assets of the Company are safeguarded and protected against any loss or damage and that all transactions are properly authorized, recorded and accounted for.

Human Resources:

• In a business environment and marketplace that is continuously changing, the major competitive advantage for a leading organization hinge upon knowledge, skills, and experience of its employees.

• The Companys human resource is essential to attaining its goal of expansion. Initiatives that effectively engage employees help employees stay with the company longer.

• The Companys strong foundation of policies and processes ensures health, safety, and welfare of its employees.

• The Company maintained good Industrial / Business relation in marked which enhanced the Creditworthiness of the Company.

• It has a well-designed HR policy that promotes a conducive work environment, inclusive growth, equal opportunities, and competitiveness and aligns employees goals with the organizations growth vision.

• It is the Companys firm belief that its people constitute the primary source of its sustainable competitive advantage.

Cautionary Statement:

Statement in the management Discussion and Analysis describing within the Companys objectives exceptions or predictions may be forward looking within the meaning of applicable securities, laws and regulations. Actual results may offer materially from those expressed in the statement. Several factors could make sufficient difference to the Companys Operation. These include climatic conditions and economic conditions affecting demand and supply, government regulations and taxation, natural calamities etc. over which the company does not have any control.