AccelerateBS India Ltd Management Discussions

1. Industry Structure and Key Trends

The global technology landscape has experienced a monumental paradigm shift. Enterprise clients are rapidly consolidating their vendor ecosystems. Instead of outsourcing strategy to specialized consultancies and execution to remote offshore IT boutiques, companies are aggressively prioritizing Full-Service Digital Agencies. These unified agencies own the entire value chain - from upstream brand strategy and experience design to downstream core technology engineering.

Key secular trends shaping our marketplace include:

• The Full-Service Consolidation Trend: Mid-market and enterprise brands are demanding single-point accountability. Agencies that seamlessly combine high-end creative, interface design (UI-UX), and complex back-end architectures are capturing disproportionate market share.

• Next-Gen Digital Experience Platforms (DXPs): Modern web infrastructure has shifted away from standalone Content Management Systems (CMS) toward omni-channel DXPs. These platforms blend content, commerce, and advanced analytics to optimize customer journeys across every digital touchpoint.

• AI-Enabled Agency Delivery: Artificial Intelligence is no longer an isolated software feature; it is being infused into agency workflows. This includes building custom cognitive systems (automated content personalization, predictive search layouts) that maximize client engagement.

Through the strategic formation of our North American network and the 100% acquisition of Beanstalk Web Solutions, your Company has completed its transformation into a front-to-back, full-service digital agency. We blend elite onshore strategic design with a certified, cost-efficient Global Capability Center (GCC) execution engine.

2. Opportunities and Threats Opportunities

• Full-Lifecycle Up-Selling & Cross-Selling: With a live portfolio of over 250 active mid-market clients in the US, we have an immediate runway to transition historically transactional design accounts into large-scale, long-term enterprise DXP implementations and custom AI engine deployments.

• End-to-End Deal Controls: Transitioning to a full-service corporate agency framework enables us to bid directly for comprehensive enterprise projects, elevating our market positioning out of low-margin subcontracting pools into premium billing brackets.

• Proprietary IP Integration: By embedding continuous digital compliance tools (Beanstalks Governance Studio) and time tracking SaaS (Getivity) directly into our agency delivery model, we intend to build a predictable, compounding stream of high-margin software revenue.

Threats

• Talent Synchronization Across Diverse Practices: Operating a full-service agency requires harmonizing vastly different professional skill sets - ranging from creative brand designers and

UI-UX consultants in the US to highly technical DXP and AI software engineers at our GCC in India.

• Global Competitive Incursions: The full-service digital agency market features intense competition from global consulting firms and legacy network agencies, requiring us to continuously sharpen our niche in highly regulated verticals (such as Insurance and Financial Services).

• Macro Decision Stretches: General macroeconomic caution can cause clients to split large- scale digital initiatives into smaller, phased rollouts, requiring an agile agency model that can deliver immediate, high-ROI milestones.

3. Outlook

The strategic outlook for our consolidated agency network is exceptionally promising. Our structural realignment has successfully removed the growth caps typically imposed on pure offshore technical providers.

The immediate forward objective is driving our onshore-offshore flywheel at peak velocity. By feeding high-value digital transformation mandates sourced by our US front-end agency into our specialized, ISO 27001-certified global delivery backend, we simultaneously lower execution costs and maximize gross margins.

Simultaneously, the continuous rollout of our compliance-as-a-service SaaS platforms ensures that our digital builds naturally feed into multi-year managed services contracts. Backed by a strong balance sheet and direct North American market access, the Group is uniquely positioned to achieve compounding, sustainable value for all stakeholders.

4. Risks and Concerns Operational Delivery Risks

Scaling a full-service multi-national agency risks delivery misalignment or communication lag between upstream strategy teams and downstream technical execution lines.

• Mitigation: Global client deliveries are rigorously structured through a single, unified project template governed by our ISO 27001-Certified Information Security Management System (ISMS). This institutional certification ensures absolute security of client data assets, smooth cross-border asset handoffs, and uniform engineering excellence across all global teams.

Strategic Portfolio Risks

Vulnerability to economic shifts or cost rationalization within a specific industry could disrupt near-term agency billing streams.

• Mitigation: We have deliberately hedged our portfolio exposure across two axes. Strategically, we focus heavily on defensive, highly resilient enterprise sectors (such as Insurance, Healthcare, and Financial Services). Financially, we are actively shifting our revenue mix away from purely linear, time-and-material hours toward high-margin, sticky recurring SaaS revenues through Beanstalks Governance Studio and Getivity.

Regulatory and Intellectual Property Risks

Managing a global corporate perimeter requires ongoing compliance across distinct legal geographies, cross-border corporate taxation laws, data sovereignty rules, and proprietary tool protections.

• Mitigation: The Group relies on dedicated internal regulatory cells alongside top-tier international corporate advisors. Comprehensive compliance structures, rigid IP ring-fencing protocols, and continuous global training initiatives are institutionalized to eliminate cross-border legal or governance friction.

5. Internal Control Systems and their Adequacy

The Company maintains an advanced and highly dependable internal control framework designed to safeguard operational continuity across our expanding full-service global agency network. These mechanisms ensure complete financial reporting accuracy, strict asset protection, proactive fraud prevention protocols, and seamless accounting consolidation across our international corporate structures.

The robustness and adequacy of our internal control environments are systematically validated through management self-assessments, rigorous internal audit tracks, and thorough annual examinations executed by our statutory auditors to ensure strict alignment with global governance expectations.

AccelerateBSis Financial Performance

Analysis of Statement of Profit and Loss (Amount in INR Lakhs)

Particulars	Standalone March 31, 2026	Standalone March 31, 2025	Consolidated March 31, 2026
Total Income	668.04	682.15	715.72
Revenue from Operations	643.75	677.10	691.84
Depreciation	10.23	13.68	10.23
Finance Cost	47.88	0.22	47.98
Other Income	24.29	5.05	23.88
Net Profit	85.76	73.30	64.58

Analysis of Balance Sheet (Amount in INR Lakhs)

Particulars	Standalone as at March 31, 2026	Standalone as at March 31, 2026	Consolidated as at March 31, 2026
Net Worth	508.51	436.51	400.41
Long Term Borrowing	883.78	173.44	883.78
Short Term Borrowing	Nil	Nil	Nil
T otal Assets	1757.55	704.97	1661.30
Inventories	Nil	Nil	Nil
Other Current Liabilities	259.69	56.58	271.54
Non-Current Liabilities	929.11	211.87	929.11

Discussion on Financial Performance with Respect to Operational Performance

Financial Results and performance for the 4th financial period are elaborated in the Boards Report under Financial Summary.

Human Resources

The Companys philosophy is to establish and build a high-performing organization, where each individual is motivated to perform to the fullest capacity, to contribute to developing and achieving individual excellence and departmental objectives and to continuously improve performance to realize the full potential of our personnel. Industrial relations are cordial and satisfactory.

The employee strength as of March 31, 2026 was 47 (Forty-Seven).

Details of Significant Changes (i.e. change of 25% or more as compared to the immediately previous financial year) in Key Financial Ratios, along with detailed explanations therefore

Particulars	Standalone March 31, 2026	Standalone March 31, 2025	Consolidated March 31, 2026
Debtors T urnover	2.63	3.48	1.82
Inventory Turnover	NA	NA	NA
Current ratio	1.70	10.62	2.11
Debt Equity	182.71	48.54	232.04
Net Profit Margin (%)	13.32	10.83	9.34
Debt service coverage	95.64	99.87	95.63
Return on Equity	16.86	16.79	16.13
Net Capital Turnover ratio	2.89	1.24	1.87
Return on capital employed	12.62	17.19	12.06

Disclosure of Accounting Treatment

The Company has followed the same accounting treatment as prescribed in the relevant Accounting Standards while preparing the Financial Statements.

Cautionary Statement

The Statements in this Management Discussion and Analysis Report describing the Companys objectives, projections, estimates, plans, industry, conditions, and events are “forward-looking” statements within the meaning of the applicable laws or regulations. The 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 Companys actual results, performance, or achievements could thus differ materially from those projected in any such forward-looking statements.

The Company assumes no responsibility to publicly amend, modify or revise any forward-looking statements, on the basis of any subsequent developments, information or events.

Unless the context otherwise requires reference in this document to “the Company”, “AccelerateBSi” or “Our” refers to ACCELERATEBS INDIA LIMITED.

By the Orders of the Board of Directors
For AccelerateBS India Limited
Sd/-	Sd/-
Kunal Arvind Shah	Keyur Dipakkumar Shah
Chairman and Managing Director	Whole-time Director
DIN: 06982652	DIN: 06982704
Place: Mumbai	Place: Mumbai
Date: May 28, 2026	Date: May 28, 2026