hit kit global solutions ltd Management discussions

1. GLOBAL ECONOMY:

In the current situation the world is facing high agricultural prices across the segments and most of itis linked to the high demand post covid and ongoing conflict in the eastern Europe. The Indian agro market has witnessed a major restructuring because of the implementation of some progressive policies by the government. This includes launching initiatives to promote the use of hybrid seeds among the farmers who had earlier used outmoded open pollinated varieties.

Some other growth-inducing forces, such as growth in income levels, commercialization of agriculture, patent protection systems and intellectual rights over plant varieties, have given an impetus to the market. Owing to these factors, the Indian agro market is expected to exhibit strong growth in future. After COVID there are positive sentiments that are building owing to good commodity prices for vegetables.

2. INDIAN ECONOMY:

There was an unprecedented uncertainty regarding the impact of the pandemic and most sectors other than those providing essential services saw extremely limited activity. Given its discretionary nature, the leisure travel and tourism industry were severely impacted. Even as the economy started to open-up, revival in demand for leisure travel and hospitality was slow to pick-up — primarily due to the perceived health risks and also because of varied movement restrictions and Covid protocols both within the States and across States.

3. RETAIL INDUSTRY OVERVIEW:

Retailing in India is one of the important pillars of its economy and accounts for about 15 percent of its Gross Domestic Product. The Indian retail industry is the fifth largest in the world. Globally, the retail industry was among the most severely impacted sectors by the pandemic and the subsequent lockdowns.

Your Company was also affected by the demand compression and supply challenges during the period. However, companies used these conditions to improve its overall competitive position in the market. This was done by driving comprehensive cost effectiveness, aligning the product with changing consumer needs and accelerating the digital transformation journey. However, essential products have various categories and the consumption of these is not uniform. Some of them might even see a spurt in sales while many categories might witness muted sales.

4. OPPORTUNITY & THREATS:

An increasing number of Indian consumers are ascending the economic pyramid to form an emerging customer base. A large young working population with median age of 24 years, nuclear families in urban areas, along with increasing workingwomen population and emerging opportunities in the services sector are going to be the key factors in the growth of the organized Retail sector in India. The growth pattern in organized retailing and in the consumption made by the Indian population will follow a rising graph helping the newer businessmen to enter the India Retail Industry.

5. CHALLENGES, RISK AND CONCERN:

The decline in consumer spending is the greatest danger facing retail stores, as it has a material impact on cash flows, which in turn affects the day-to-day operations. any shortcomings in consumer satisfaction may quickly impact reputation and hence its revenue. Retail business is known for intense competition due to limited barriers to entry. An increase in competition may hinder revenue growth. Lack of goods to display is a sensitive issue for day-to-day operations and can result from a failure in the supply chain.

6. HUMAN RESOURCES:

Intellectual capital is one of the key resources of the Company to ensure business sustainability and growth. Your company believes in investing in people to develop and expand their capability. The Company has been able to create favorable work environment that motivates performance ,customer focus and innovation and its strategies are based, inter alia, on processes of continuous learning and improvement.

The business leaders and employees in the Company are encouraged to think like entrepreneurs and create value for all stakeholders. The Company endeavors to provide a safe, conducive andproductive work environment.

7. COMPANYS FINANCIALS:

Revenue From Operations:

During the FY 2022-23, the company earned Gross Revenue from operations of Rs. 26.67 lakhs as against Rs. 28.73 lakhs in previous FY 2021-22, with an effective decrease of 7.17%.

Other income:

During the FY 2022-23, Other income mainly comprising of ancillary income from resort project site of the Company was Rs. 26.42 lakhs as compared to Other Income of Rs. 11.74 lakhs in the previous FY 2021-22.

Total Comprehensive Income:

During the FY 2022-23, the Total Comprehensive Income of the company was Rs. 0.39 Lakhs as compared to Rs. (9.37) In the previous FY 2021-22.

8. BUSINESS PLAN:

1. BUSINESS PLAN:

In the financial year ended 31.03.2023, the company is making continuous efforts to maintain its competitive position in the market with regular supply for its Retailing of vegetable & fruits business by driving comprehensive cost effectiveness, aligning the product mix with changing consumer needs and accelerating the digital transformation journey. It further endeavors to explore new opportunities rising in the sector of retailing business.

During the FY 2022-23, the company has paid Annual Lease Rent for the Monsoon Lake taken on lease and endeavors to generate income from the use of the said monsoon lake.

During the FY 2022-23, the companys Joint Venture were making pursuit to obtain required permissions from forest department and Land Use approval for the resort project. Due to Covid19Pandemic restrictions and limitations, the process to obtain the required approvals from the said authorities has been time consuming and the Joint Venture are making pursuit to obtain the same within minimum time. In the forthcoming years it is expected to obtain all requisite permissions and commence the development.

The Company further endeavors to explore the revenue stream generated from putting the land assets to use on as is where is basis for leisure tourism, till the time development permission are received.

9. KEY FINANCIAL RATIOS:

Sr. No Particulars of Ratio	F.Y. 31.3.2023	F.Y. 31.3.2022	Change in Ratios	Explanation for change in Ratios
1 Current Ratio,	0.34	0.40	-16%	Not required
2 Debt-Equity Ratio,	0.01	0.02	-65%	Decrease in liabilities
3 Return on Equity Ratio,	0.00	-0.01	-104%	Decline in profit
4 Trade Receivables turnover ratio,	1.44	2.61	-45%	Decrease in recovery

10. DETAILS PERTAINING TO NET-WORTH OF THE COMPANY;

Particulars	31.03.2023 (In Lacs)	31.03.2022 (In Lacs)
Net-worth	960.37	Rs. 959.98

11. CAUTIONARY NOTE:

Statements in the Management Discussion and Analysis outlining the Companys This report and other statements - written and oral - that we periodically make contain forward-looking statements that set out anticipated results based on the managements plans and assumptions. We have tried, wherever possible, to identify such statements by using words such as anticipate, estimate, expects, projects, intends, plans, believes and words of similar substance in connection with any discussion of future performance. Estimates, perceptions and expectations may be forward looking statements within the meaning of applicable laws and regulations. The actual results may differ materially from those expressed herein above due to certain factors which may be beyond the control of the Company.

Important factors that could influence the Companys operations include the impact of Covid- 19Pandemic, global and domestic demand and supply, input costs, availability, changes in government regulations, tax laws, economic developments within the country and other factors

We cannot guarantee that these forward-looking statements will be realized, although we believe we have been prudent in our assumptions. Reader should keep this in mind. We undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future events or otherwise.

	By order of board of directors,
	Hit Kit Global Solutions Limited
	sd/-	sd/-
	Kamal Mohanlal Agrawal	Ramamurthy Guravai Shetty
Date: 28.08.2023	Managing Director	Director
Place: Mumbai	DIN:07646000	DIN: 08429776