Ambitious Plastomac Company Ltd Management Discussions

Introduction:

This Management Discussion and Analysis Report has been prepared in accordance with Regulation 34 (2) (e) of the SEBI Listing Regulations and Schedule V (B) thereto. It provides an analysis of the business and financial performance of Ambitious Plastomac Company Limited for the financial year 2024-25 and should be read alongside the companys financial statements and notes thereto.

a) Economic Overview:

During FY 2024-25, the global economy continued to face challenges stemming from inflationary pressures, geopolitical uncertainties, and mixed growth patterns among advanced and emerging markets. Against this backdrop, the Indian economy showed resilience with steady growth driven by strong domestic demand, infrastructure investments, and ongoing reforms focused on sustainability and digitalization. The governments emphasis on fiscal prudence alongside infrastructure development initiatives provided a supportive environment for industrial and business growth.

b) Company Overview:

The Indian economy is currently experiencing a phase of recovery and growth, with an expected GDP expansion of 6-7% in the near term. This growth is driven by strong domestic demand, government-led infrastructure projects, and a revival in industrial activity. However, the growth projections, while robust, may fall slightly below expectations due to global economic uncertainties and inflationary pressures.

Ambitious Plastomac Company Limited, a public limited company listed on the Bombay Stock Exchange and incorporated on September 15, 1992, has recently commenced its business operations, generating revenue of Rs. 596.45 Lakhs. The company has turned a profit of Rs. 6.09 Lakhs during the period under review, a significant improvement from the previous loss of Rs. 48.21 Lakhs. Despite the broader economic challenges, the directors of Ambitious Plastomac remain confident and optimistic about achieving sustained upward growth and delivering even better financial results in the coming years. With a strategic focus on operational efficiency and market expansion, the company is well-positioned to capitalize on the favorable economic conditions in India

c) Opportunities and Threats.

The robust economic growth outlook for India presents significant opportunities for Ambitious Plastomac, particularly through increased government-led infrastructure spending and digital transformation. The companys ability to leverage technological advancements and expand into new projects and markets will be vital for future growth.

Conversely, persistent inflation, rising input costs, and supply chain disruptions continue to pose risks. Competitive pressures from established players and evolving regulatory frameworks require vigilance and adaptability. The company remains committed to addressing these challenges proactively. d) Segment wise or product-wise performance.:

Revenue growth was primarily driven by infrastructure-related activities including construction, project management, and jobwork services. The successful execution of new projects contributed to improved margins and enhanced operational capacity, positioning the company well for scaling its footprint in emerging markets.

e) Outlook:

Looking ahead, Ambitious Plastomac Company Limited aims to build on its positive trajectory by broadening its project portfolio, optimizing resource utilization, and embedding sustainability initiatives. The management is confident in navigating market uncertainties while delivering long-term value to stakeholders.

f) Risks and concerns:

Key risks include project delays due to regulatory and supply chain issues, cost overruns, and economic cyclicality impacting demand. Financial prudence and robust internal controls remain critical to mitigating these risks.

g) Internal control systems and their adequacy:

The company continually reviews and strengthens its internal control framework to ensure reliability of financial reporting, compliance with statutory requirements, and safeguarding of assets. The Audit Committee regularly monitors the effectiveness of these controls.

h) Discussion on Financial performance with respect to operational performance:

The financial performance with respect to the operational performance has already been given in notes to financial statements which forming parts of these Annual Report.

i) Material developments in Human Resources / Industrial Relation:

Your Companys industrial relations continued to be harmonious during the year under review. Your company conducts regular in-house training programs for employees at all levels. The focus is on maintaining employee motivation at a high level with stress on leadership development. The Company will be investing appropriately with focus on customer centricity, human resources will be focused on optimum employment engagement and the talent will be strengthened vis-a vis the performance.

j) Details of significant changes in key financial ratios are as follows:

Sr. No. Particulars	2024- 2025	2023- 2024	ratio by more than 25% as
Profitability Ratios			compared to the preceding year. Improvement due to better operational efficiency, cost rationalization
a) Operating Profit Margin	0.94%	0.58%	measures, or higher revenues with controlled operating costs.
b) Net Profit Margin	1.19%	1.02%
c) Return on Net Worth	(11.87)	(8.16)	Improvement due to increase in the

 

Sr. No. Particulars	2024- 2025	2023- 2024	Explanation for any change in the ratio by more than 25% as
Working Capital Ratios			compared to the preceding year. net profit.
d) Debtors Turnover	277	60	Improvement due to faster collection of receivables.
e) Inventory Turnover (days) Gearing Ratios	N.A.	N.A.
f) Interest Coverage	235.75	204.00
g) Debt / Equity	(1.18)	(1.00)
Liquidity Ratios
h) Current Ratio	1.03	1.03

k) Cautionary Statement

This report contains forward-looking statements that involve risks and uncertainties. Actual results may differ materially based on external economic, regulatory, and operational factors. The company undertakes no obligation to update these statements except as required by law.