Asit C Mehta Financial Services ltd Management Discussions

Asit C Mehta Financial Services Limited (ACMFSL or the Company) was incorporated on January 25, 1984 with a vision to be a key facilitator in Indias financial and corporate ecosystem. The Company is primarily engaged in providing infrastructure facilities through leasing of vacant properties. The Company is a listed company on BSE Limited and operates with a firm commitment to transparency, long-term value creation and sustainable business practices.

The Company forms part of Pantomath Group - one of Indias fastest-growing capital market powerhouses, widely recognized for innovation, scale and execution excellence across financial services. The Group is redefining Indias capital markets through institutional excellence, entrepreneurial vision, and an unwavering commitment to sustainable value creation.

A material subsidiary of ACMFSL, Asit C. Mehta Investment Interrmediates Ltd. (ACMIIL), is a leading player in Indias financial services landscape and a member of both BSE and NSE, besides being registered as a Depository Participant (DP) with Central Depository Services (India) Ltd. (CDSL). Established in 1983, ACMIIL has evolved into a trusted household name in the Indian financial markets through its digital-first brand, serving over 2 lakh clients across India.

ACMIIL offers an integrated broking and investment platform with advisory services, multi-asset trading, and seamless digital on boarding, enabling investors to access equities, derivatives, mutual funds, bonds, and other investment products. ACMIIL provides a comprehensive range of services, including Equity Broking, Portfolio Management Services (PMS), Mutual Fund distribution, and research-driven investment advisory, backed by over four decades of legacy, robust research capabilities, cutting-edge technology, and a strong compliance-first culture.

Further complementing the Groups modern outlook is Edgytal, a fast-emerging digital marketing and web development entity, providing integrated digital solutions across pan-India. Through Edgytal, the Group actively embraces digital transformation both for itself and its clients ensuring its strategic edge in a tech-driven financial landscape.

Backed by deep industry expertise, a robust client franchise, and a forward-looking approach, the Group is well-positioned to drive sustainable long-term value for all stakeholders in an evolving business environment.

Global Economy

Overview:- The global economy demonstrated resilience during FY 2025-26 despite persistent geopolitical tensions, elevated trade uncertainties, evolving monetary policy dynamics, and growing concerns around the disruptive impact of rapid advancements in Artificial Intelligence (AI) on employment, cyber security and data governance. Advanced economies witnessed moderate growth supported by resilient labour markets and easing inflation, whereas emerging markets faced mixed trends amid currency volatility, trade disruptions, and fluctuating capital flows. For the greater part of the year, global financial markets absorbed these pressures reasonably well, with equity markets supported by resilient corporate earnings and improving liquidity conditions even as bond markets remained sensitive to shifting interest-rate expectations.

A year that changed character in its final quarter:- Unlike the relatively orderly conditions that prevailed through the first three quarters of the fiscal year, FY 2025-26 ended with a sharp deterioration in the external environment. The outbreak of full-scale conflict in West Asia in early March 2026 marked a genuine regime change for global markets the most consequential geopolitical shock to energy markets in several years. Strikes and precautionary shutdowns curtailed Gulf oil and gas production and export capacity, with estimated capacity losses exceeding 10 million barrels per day of oil and roughly 500 million cubic metres per day of natural gas. Disruption to shipping through the Strait of Hormuz, which under normal conditions carries around 35 per cent of the worlds seaborne crude oil trade, triggered the largest oil supply shock on record and sent war-risk insurance premiums for tankers operating in the Gulf surging by more than 400 per cent during March 2026 alone.

India continued to stand out:- Against this volatile backdrop, India continued to stand out as one of the fastest-growing major economies, supported by strong domestic consumption, sustained government capital expenditure, rapid digital adoption, and continued structural reforms. Various policy initiatives, including tax rationalisation measures and GST-related reliefs aimed at improving ease of doing business and supporting consumption, contributed positively to economic activity during the year. Rising investor confidence, increasing participation of retail investors in financial markets, and favourable policy initiatives strengthened economic momentum through the first half of the fiscal year, even as the second half brought renewed external headwinds.

Financial markets and capital flows:- Indias financial markets demonstrated considerable resilience despite intermittent global volatility, thoughfinalquarter of the fiscal year proved more testing than the consensus expected at the start of FY 2025-26. Equity markets were supported for much of the year by strong domestic inflows, healthy corporate earnings, and continued expansion in the retail investor base, before the West Asia conflict, sustained Foreign Institutional Investor (FII) outflows, and renewed trade-tariff concerns weighed on sentiment in the closing months. The increasing penetration of digital financial services, growing awareness of investment products, and continued regulatory transparency, investor protection, and technology-driven compliance nonetheless continued to deepen the countrys financial ecosystem over the year as a whole.

Global trade and policy realignment:- More than 3,000 new trade and industrial policy measures were introduced globally in 2025 more than three times the annual level recorded a decade ago as economies increasingly prioritised supply-chain resilience over pure efficiency. India concluded a landmark free trade agreement with the European Union at the end of January 2026, creating one of the worlds largest free trade zones by population and GDP coverage, and separately reached an interim trade framework with the United States that reduced reciprocal tariffs on Indian exports to 18 per cent, easing a drag that had weighed on export sentiment through much of calendar 2025. Elsewhere, shifting bilateral relationships including a reset in Germany-China trade ties illustrated the extent to which global commerce continued to be reshaped by tariff policy, industrial strategy, and geopolitical realignment.

Commodities, gold and safe-haven demand.:- Gold and other precious metals witnessed sharp price movements during the year as investors increasingly turned to safe-haven assets amid heightened geopolitical and economic uncertainty; in calendar 2025, gold and silver outperformed most major equity benchmarks. The West Asia conflict added a further commodity dimension in its aftermath, with fertiliser prices projected to rise significantly in 2026 on higher urea costs, raising concerns for food affordability and agricultural input costs across import-dependent economies, India included.

Global GDP Growth Rate (%)

Economy	2024	2025E	2026P	2027P
World Output	3.3%	3.1%	3.2%	3.2%
United States	2.8%	1.9%	1.8%	1.9%
China	5.0%	4.5%	4.2%	4.1%
Japan	0.1%	0.7%	0.8%	0.9%
Germany	-0.2%	0.3%	1.0%	1.2%
India	6.5%	6.7%	6.5%	6.6%
United Kingdom	1.1%	1.2%	1.4%	1.5%
France	1.1%	0.8%	1.0%	1.1%
Italy	0.7%	0.6%	0.8%	0.9%
Canada	1.5%	1.4%	1.6%	1.7%
Russia	4.1%	1.8%	1.2%	1.0%

Source: IMF World Economic Outlook, April 2026. Figures for India are IMF calendar-year estimates; Indias own fiscal-year advance estimates, published separately by the National Statistics Office, have trended somewhat higher across successive revisions during FY 2025-26 see the Indian Economy section for detail.

Global Economic Outlook

A renewed test for growth and disinflation:- The global economy faces renewed tests as the war in the Middle East threatens to disrupt growth and disinflation. The global economic outlook remains cautiously optimistic, although it continues to face significant headwinds arising from geopolitical conflicts,evolving trade policies, volatile energy markets, and persistent inflationary concerns. Escalating tensions in West Asia have added considerable uncertainty to global markets, particularly through their impact on crude oil prices, supply chains, and overall investor sentiment.

The oil price shock in detail:- Following the onset of the war in early March 2026, Brent crude rose sharply above $100 per barrel and, at the peak of the disruption, benchmark prices spiked as high as $140-144 per barrel before moderating. Even after easing from these highs, prices remained elevated relative to the start of the calendar year, with commentary from the International Energy Agency describing benchmark oil prices swinging in an unprecedented range of nearly $50 per barrel within a single month as conflicting signals emerged over a potential ceasefire and reopening of the Strait of Hormuz. The IMFs Middle East and Central Asia Department has estimated that, on average, every 10 per cent rise in crude oil prices trims global GDP growth by around 0.5 percentage points while lifting inflation by roughly a full percentage point a relationship that, if the conflict proves protracted, could meaningfully alter the otherwised is inflationary trajectory the world economy had been on entering FY 2025-26.

Divergent and cautious central bank responses:- Aggressive trade measures and protectionist policies adopted by major economies, including tariff-related actions by the United States, weighed on global trade and investment sentiment through much of the year. While supportive fiscal measures such as tax rationalisation, deregulation, and infrastructure spending in certain economies provided some offsetting support to growth, concerns around slowing global demand and renewed stagflationary pressures reintroduced by the oil shock persisted into the final the world therefore adopted a cautious and calibrated approach towards monetary policy, balancing inflation management against the. As economic conditions vary financialstability need to support economic growth and considerably across regions, monetary policy responses are expected to remain largely divergent and data-driven through FY 2026-27, with several major central banks signalling a pause in easing cycles pending greater clarity on the durability of the West Asia conflict.

Financial highly sensitive market to geopolitical developments, central posture:- Globalfinancial bank actions, commodity price movements, and currency fluctuations. Equity markets displayed resilience for much of the year, supported by strong corporate earnings and improving liquidity conditions, while bond markets continued to experience volatility due to uncertainty around inflation and interest-rate trajectories. Investors portfolio diversification, safe-haven assets such as gold, and defensive investment strategies to navigate the evolving macroeconomic environment, a posture that intensified markedly following the outbreak of hostilities in West Asia

Indias position amid external risk:- Against this backdrop, India continued to demonstrate resilience, supported by strong domestic demand, sustained infrastructure spending, robust financial markets, and improving digital and manufacturing ecosystems. However, the Indian economy also remained exposed to external risks arising from higher crude oil prices, volatility in the US dollar, imported inflation, and global geopolitical uncertainties. India imports close to 88 89 per cent of its crude oil requirement and consumes roughly 5 million barrels per day, making it acutely sensitive to precisely the kind of supply-side shock the West Asia war has produced; industry estimates suggest that a sustained $10 per barrel increase in oil prices could add approximately $17 18 billion to the countrys annual import bill and widen the current account deficit by a further $12-15 billion. Nevertheless, strong macroeconomic fundamentals, healthy foreign exchange reserves, policy support, and rising domestic investor participation helped India maintain relative stability and remain one of the fastest-growing major economies globally through the balance of FY 2025-26.

Indian Economy

Sustained growth leadership:- India continued to remain one of the fastest-growing major economies during

FY2025-26, supported by strong domestic consumption, sustained infrastructure spending, rapid digital adoption, and continued structural reforms. Despite global uncertainties arising from geopolitical tensions, volatile crude oil prices, currency fluctuations, and trade disruptions, India maintained strong macroeconomic stability. Estimates of the exact pace of growth for the fiscal year vary depending on the reporting agency and vintage of the estimate: the IMFs April 2026 World Economic Outlook places Indias calendar-year growth at approximately 6.5 per cent, while successive revisions to Indias own National Statistics Office advance estimates trended notably higher over the course of the year, with strong

Q3 FY 2025-26 (October-December 2025) growth reported at close to 7.8 per cent on the back of resilient services output, sustained government capital expenditure, and robust household consumption.

Monetary policy: an aggressive easing cycle, then a pause:- The Reserve Bank of Indias Monetary Policy Committee, under Governor Sanjay Malhotra, cut the benchmark repo rate by a cumulative 125 basis points over the course of the easing cycle that began in February 2025, taking the rate from 6.50 per cent down to 5.25 per cent by August 2025 the first sustained easing cycle in nearly five years. This transmission of lower policy rates supported credit growth, private consumption and the housing and consumer-durables sectors through much of FY 2025-26. However, as the West Asia conflict escalated and crude oil prices rose sharply from March 2026 onward, the MPC shifted to a neutral, wait-and-watch stance, holding the repo rate steady at 5.25 per cent through its subsequent meetings into the first half of FY 2026-27, citing risks from elevated crude prices, geopolitical tensions, supply disruptions, and uncertain monsoon conditions.

Union Budget 2026-27 and fiscal policy:- The Union Budget 2026-27, presented by Finance Minister Nirmala Sitharaman on 1 February 2026, maintained its focus on infrastructure development, manufacturing growth, MSME support, tax rationalisation, and fiscal discipline to strengthen long-term economic resilience. The government proposed total expenditure of approximately 53.47 lakh crore for 2026-27, an increase of 7.7 per cent over the revised estimate for 2025-26, while targeting a fiscal deficit of 4.3 per cent of GDP, an improvement from the 4.4 per cent revised estimate for the preceding year. Tax rates for individuals and corporates were largely held unchanged, though a notable new tax holiday through 2047 was extended to foreign companies providing global cloud services from Indian data centres, and the Securities Transaction Tax was raised on options and futures trading a signal of policymakers continuing focus on moderating speculative activity in the derivatives market. The Budget also announced a new High-Level Committee on

Banking for Viksit Bharat to align the banking sector with Indias long-term growth roadmap.

Trade policy tailwinds:-India and the United States announced a framework for an interim trade agreement during the year, under which India agreed to eliminate or reduce tariffs on US industrial goods and a wide range of food and agricultural products, while reciprocal US tariffs on Indian exports were brought down to 18 per cent from the steeper levels imposed earlier in the tariff cycle. Separately, Indias free trade agreement with the European Union concluded after twenty years of negotiation came into effect, creating one of the worlds largest free trade zones and providing

Indian exporters with materially improved access to a market spanning roughly two billion people and nearly a quarter of global GDP.

Digital transformation and structural drivers:- Indias economic momentum was further supported by rapid digital transformation, growing financial inclusion, and increasing adoption of technology-driven digital payments, fintech platforms, AI-led innovation, and digital public infrastructure enhanced productivity, improved financial services, and accelerated the formalisation of the economy. The services sector, particularly information technology and to growth, even as IT-services exporters navigated a period of currency volatility and financial softer discretionary technology spending among some Western clients.

Indian Economy: Outlook

Structural growth intact:-India is expected to remain one of the fastest-growing major economies, supported by strong domestic demand, favourable demographics, policy reforms, infrastructure development, and rapid digital adoption.

Growth continues to be driven by the expanding services sector, rising manufacturing activity, fintech innovation, and increasing participation in the digital economy. Government initiatives focused on infrastructure creation, ease of doing business, tax rationalisation, and financial inclusion are expected to further strengthen economic momentum and investor confidence into FY2026-27. Indias long-term structural growth story remains robust, aided by a young workforce, rising urbanisation, growing household incomes, and an increasing shift towards financial investment products.

Watchpoints for the year ahead:- While global geopolitical tensions, volatile crude oil prices, currency fluctuations, inflationary pressures, and climate-related risks continue to pose challenges, India remains relatively resilient due to strong macroeconomic fundamentals and stable policy support. The key swing factor for FY 2026-27 will be the duration and intensity of the West Asia conflict: a prolonged disruption to Gulf energy supply would widen the current account deficit, pressure the rupee, and constrain the room available to the RBI for further rate cuts, whereas a swifter consistent with the IMFs reference scenario of disruptions fading by mid-2026 would allow Indias disinflationary and easing trajectory to resume. With continued reforms and sustained investment, India remains well-positioned to strengthen its role as a leading global economy in the years ahead.

Capital Markets - Industry Overview

Structural growth continued, even as benchmarks fell:- Indias capital markets continued to witness strong structural growth during FY 2025-26, driven by rising retail participation, rapid digital adoption, fintech innovation, and a stable regulatory framework. Growing financial literacy, an increasing shift towards financial savings, and wider access to digital investment platforms further deepened investor participation across equity and investment products. India continued to rank among the worlds largest equity markets by market capitalisation, and the National Stock Exchange occupied one of the top positions globally in terms of funds raised through new listings even as, notably, the benchmark indices themselves ended the fiscal year lower.

Benchmark index performance: a volatile year that reversed in the second half:- The BSE Sensex and NSE Nifty 50 had a strong first half of FY 2025-26, rising by roughly 3.7 per cent and 4.6 per cent respectively by the end of September 2025, buoyed by GST reform, RBI rate cuts and improving corporate earnings sentiment. This momentum, however, reversed sharply in the second half of the year: sustained Foreign Institutional Investor (FII) outflows, renewed concerns over US tariff policy, and decisively the outbreak of the West Asia war from early March 2026 triggered a series of sharp sell-offs. By the close of the financial year on March 31, 2026, the Nifty 50 had lost more than 5 per cent for the full year to close at 22,331.40, while the BSE Sensex ended the year down by more than 7 per cent the first negative full-year close for the benchmark indices since the broadly flat performance recorded in FY 2022-23. Sectoral performance diverged considerably over the year: information technology and pharmaceutical stocks were relative outperformers, aided by rupee weakness and defensive positioning, while energy-sensitive sectors, aviation, and select consumer names lagged as crude oil costs rose. Domestic institutional investor (DII) flows, including sustained mutual fund and insurance company buying, continued to partially absorb foreign selling and cushioned the extent of the drawdown.

Benchmark Index Returns, FY 2021-22 to FY 2025-26

Fiscal Year	Sensex (Full-Year Return)	Nifty 50 (Full-Year Return)
FY 2021-22	+18.3%	+18.9%
FY 2022-23	+0.7%	+0.6%
FY 2023-24	+24.9%	+28.6%
FY 2024-25	+4.0%	+4.4%
FY 2025-26	7.0%	5.0%

Source: NSE, BSE, Business Standard, Upstox market data.

A record year for primary market activity.:- The IPO market continued to witness exceptionally healthy activity across both Mainboard and SME segments during the year, reflecting strong capital-raising momentum and sustained investor interest in Indian businesses even as secondary-market indices softened. FY 2025-26 marked a historic milestone for Indias primary equity markets, with 108 mainboard companies collectively raising approximately 1.76 lakh crore an all-time high for a single fiscal year while a further pipeline of nearly 2 lakh crore of prospective issuance remained in various stages of SEBI approval at year-end. Retail participation accounted for more than 36 per cent of IPO subscriptions during the year, and rights issues reached a multi-year high of 46,168 crore, underscoring the depth and breadth of capital formation activity across issuer types. Landmark listings during the year helped anchor this momentum, alongside continued steady growth in SME listings via the Emerge platform, which supported smaller and emerging companies in accessing growth capital.

Mainboard IPO Capital Raised, FY 2022-23 to FY 2025-26

Fiscal Year	Mainboard IPOs (No.)	Capital Raised ( Crore)
FY 2022-23	37	52,116 (approx.)
FY 2023-24	76	62,862 (approx.)
FY 2024-25	80	1,63,000 (approx.)
FY 2025-26	108	1,76,000 (approx.)

Source: KPMG, Pantomath Group, NSE, SEBI Monthly Bulletin. FY 22-23 and FY 24-25 figures are rounded approximations drawn from industry estimates.

The Securities Markets Code, 2025 - a landmark regulatory reform:- The Indian financial services industry continued to evolve rapidly during the year, with increasing focus on digitalisation, technology-led investing, AI-driven advisory solutions, investor protection, and regulatory transparency. The most significant regulatory development of the year was the introduction of the Securities Markets Code, 2025, in December 2025, which consolidates legacy laws governing SEBI, securities contracts, and depositories into a single, unified statutory framework. Key features of the new code include the expansion of SEBIs board to 15 members with greater independent representation, a cap limiting interim regulatory orders to 180 days, mandatory consultations and enhanced disclosures ahead of new rule-making, and a clearer statutory definition of the role of market infrastructure institutions. SEBI also continued to introduce measures during the year to strengthen settlement efficiency and risk management in the derivatives markets, which experienced record trading volumes, alongside streamlined migration criteria for SME companies moving from the Emerge platform to the mainboard and sharper scrutiny of IPO pricing and the use of issue proceeds.

Outlook for capital markets:- Continued growth in digital financial services, fintech platforms, mutual fund participation, and technology adoption is expected to further strengthen Indias capital markets ecosystem and create long-term opportunities for the financial services industry. Looking into FY 2026-27, the central question for Indias capital markets is whether the record momentum in primary-market issuance and the underlying resilience of domestic retail and

-market sentiment, once the West Asia conflict and its institutional flows associated energy-price and currency pressures are resolved or absorbed into the macroeconomic base case. A pipeline of nearly 2 lakh crore in prospective mainboard issuance, sustained retail participation, and the structural tailwinds of rising financial literacy and digital adoption all provide grounds for cautious optimism, provided external shocks do not intensify further.

Company Business Segments Overview;

During the year, ACMFSL continued its core activities of property leasing and advisory with consistent performance. Revenue from infrastructure leasing remained stable and advisory engagements were taken up selectively, focusing on restructuring and capital mobilization for mid-market corporates.

ACMIIL, the material subsidiary, contributed significantly to the Groups financial performance. It reported steady growth in brokerage revenue, PMS inflows and Mutual Fund distribution.Thewww.investmentz.com platform further expanded its retail client base, reflecting the growing shift toward digital investing.

- Broking and Depository Operations

- Equity Trading and Support Services

- Client Funding

- IPOs

- Bonds

- PMS

- I Baskets

- Mutual Fund Distribution

SWOT Analysis

Strengths

- Technology edge: investmentz.com platform leverages advanced technology, AI-driven analytics and personalised investment tools to deliver seamless trading experiences. Our App integrates cutting-edge solutions, ensuring scalability, optimisation and industry-leading performance. Backed by a robust team, we continue to innovate, solidifying our position as a leader in Indias digital financial services landscape.

- Strong brand recognition: with a legacy of close to four decades, ACMIIL has established a strong brand name in the Indian broking industry. Further, our association and with smart engagement initiatives resonated deeply with the younger audience, resulting in higher brand recall.

Challenges

- Increasing competition: The Indian broking industry remains intensely competitive, with established firms and emerging fintech platforms strategically positioning themselves to capture and expand their market share. The moat for us is the multidecadal experience, a large client base and our technology prowess.

- Changing client behavior: Shifts in client preferences, could reduce demand for brokerage services. In order to have long term engagement with clients, we have expanded our abilities to offer services beyond broking. Through this, we are ensuring that we build an annuity business from every cohort.

- Changing Compliance Requirements: Continuously changing compliance requirements and undergoing technology transformations.

Opportunities

Growing demand for financial advisory and restructuring services due to increasing corporate consolidation and capital expansion.

- Rising investor participation in capital markets presents immense scope for digital trading platforms and Mutual Fund distribution.

- Government initiatives like Digital India, Financial Inclusion, and tax incentives for capital market participation are tailwinds.

- Expanding awareness of alternative investment products like PMS and AIFs among HNIs and UHNIs.

Increase in per capita income will lead to higher prosperity to save a big opportunity for investors to buy financial products.

Threats

- Regulatory changes and compliance burdens may increase operational overhead.

Intense competition from agile fintech startups and discount brokerages.

- Market volatility due to global macroeconomic uncertainties may affect investor sentiment and asset valuations.

- Cyber security risks in digital platforms require continuous investment and vigilance.

Group Outlook

The outlook for FY 2026-27 remains positive, supported by Indias strong economic fundamentals, growing retail participation in financial markets, increasing digital adoption, and continued policy support for infrastructure and financial sector growth. The Company expects sustained opportunities across broking, wealth management, investment advisory, digital financial services, and capital market-related activities. Continued expansion in financial savings, rising investor awareness, and increasing adoption of technology-led investment platforms are expected to support long-term business growth.

The Group remains focused on expansion, digital transformation, operational efficiency, and client-centric innovation.

ACMIIL aims to further strengthen its technology platform through AI-driven investment solutions, enhanced digital on boarding, robust research capabilities, customised wealth management offerings, and a sharper strategic focus on its core business operations. The Group also expects to continue benefit from operational synergies within the Pantomath ecosystem, particularly in the areas of investment banking, mutual funds, and Alternative Investment Funds (AIFs), creating opportunities for integrated financial solutions and business expansion.

While the long-term outlook remains encouraging, the business continues to remain exposed to risks arising from market volatility, geopolitical developments, regulatory changes, cyber security threats, technology disruptions, liquidity pressures, and evolving client expectations. Volatility in capital markets, fluctuations in crude oil prices, currency movements, and changing global economic conditions may impact investor sentiment and business performance. The Company continues to strengthen its risk management framework through robust internal controls, technology upgrades, cyber security measures, compliance monitoring, and business continuity planning to effectively manage operational and regulatory risks.

Internal Control Systems and Their Adequacy

The Company has a robust internal control system in place to ensure operational efficiency, accuracy of financial reporting and compliance with applicable laws and regulations. Periodic audits both internal and statutory are conducted to assess the effectiveness of processes and controls.

These controls are continuously reviewed and strengthened in line with the evolving business landscape. The Audit

Committee, in conjunction with senior management, oversees the control environment and ensures prompt mitigation of identified risks.

Human Resources Development

People are at the heart of the Companys growth journey. The Group emphasizes a performance-driven culture, continuous learning and employee well-being. As of March 31, 2026, the Group has a balanced team of 115 experienced professionals and young talent across financial, technical and support functions.

Ongoing training programs, leadership development and technology enablement continue to build a resilient and agile workforce. The Group promotes diversity, collaboration and an entrepreneurial spirit aligned with its vision.

Performance Review

Overview Consolidated Financial Statements

Results of operations Extract of Profit and Loss Statement

( in Lakhs)

Particular	2026	% of Total Income % of	2025	% of Total Income (%)
INCOME
Revenue from Operations	6,123	93%	7,264	93%
Other Income	466	7%	522	7%
Total Income (A)	6,589	100%	7,786	100%
EXPENDITURE
Employee benefit expenses	1,826	28%	1,996	26%
Finance costs	953	14%	1,002	13%

Particular	2026	% of Total Income	2025	% of Total Income
Net Loss on Fair Value Change	-	0%	-	0%
Depreciation and amortisation expense	243	4%	209	3%
Other Expenses	3,719	56%	4,883	63%
Total Expenses (B)	6,741	102%	8,060	104%
Profit Before exceptional items	(152)	-2.31%	(274)	-4%
Exceptional Item	-	0%	-	0%
Profit before tax	(152)	-2.31%	(274)	-4%
Tax expense:
(i) Current tax	-	0%	-	0%
(ii) Deferred tax	7	0.11%	2	0%
(iii) MAT Credit Entitlement Written off / Utilised	-	0%	-	0%
(iv) Prior Tax Adjustment	1	0.01%	0	0%
Total Tax Expense	8	0.12%	2	0%
Profit /(loss)for the year	(160)	-2.43%	(276)	-4%
Other Comprehensive Income
a) Re-measurement gains/ (losses) on defined benefit plans	(20)	-0.30%	(8)	0%
b) Effect of measuring Equity Instruments on Fair Value	(94)	-1.43%	165	2%
c) Income Tax on (a) and (b)	21	0.31%	(38)	0%
Other comprehensive income for the year, net of tax	93	-1.42%	119	2%
Total comprehensive income for the year	253	-3.85%	(157)	-2%

Balance Sheet position ( in Lakhs)

Particulars	As at March 31, 2026	As at March 31, 2025
I. ASSETS
(1) Non-current assets
(a) Property, Plant and Equipment	605	619
(b) Right of Use Assets	21	29
(c) Intangible Assets under development	4,306	1,028
(d) Investment Property & Right of Use Assets	31.5	4,419
(e) Goodwill	601	315
(f) Other Intangible assets	819	447
(g) Financial Assets
(i) Investments	659	1,716
(ii) Trade Receivables	196	250
(iii) Loans	-	-
(iv) Others	132	163
(h) Non-Current Tax Assets (net)	436	537
(i) Deferred tax assets (net)	143	130
(j) Other non-current assets	6	9
Total Non-Current Assets	8,234	9,662
(2) Current assets

Particulars	As at March 31, 2026	As at March 31, 2025
(a) Financial Assets
(i) Inventory	-	-
(ii) Trade receivables	120	829
(iii) Cash and cash equivalents	722	1,727
(iv) Bank balance other than (iii) above	2,959	2,982
(v) Loans	110	123
(vi) Other Financial Assets	5,643	4,256
(b) Current Tax assets (Net)	-	-
(c) Other current assets	95	224
Total Current Assets	10,736	10,141
Total Assets	18,976	19,803
II. EQUITY AND LIABILITIES
Equity
(a) Equity Share capital	825	825
(b) Other Equity	1,473	1,729
Equity attributable to owners	2,298	2,554
(c) Non-Controlling Interest	179	177
Total Equity	2,477	2,731
Liabilities
(1) Non-current liabilities
(a) Financial Liabilities
(i) Borrowings	2,296	4,054
(ii) Lease Liabilities	17	28
(iii) Other financial liabilities	96	87
(b) Provisions	16	63
(c) Deferred tax liabilities (net)	-	-
(d) Other non-current liabilities	-	-
Total Non- Current Liabilities	2,426	4,232
(2) Current liabilities
(a) Financial Liabilities
(i) Borrowings	8,315	7,717
(ia) Lease Liabilities	7	3
(ii) Trade payables
- dues to micro enterprises and small enterprises; and	-	-
- dues to creditors other than micro enterprises and small enterprises	4,904	4,567
(iii) Other financial liabilities	632	394
(b) Other current liabilities	189	131
(c) Provisions	25	28

Particulars	As at March 31, 2026	As at March 31, 2025
(d) Current tax liability	-	-
Total Current Liabilities	14,072	12,840
Total Liabilities	16,499	17,072
Total Equity and Liabilities	18,977	19,803

Key Financial Ratios

S No. Ratio	Ratio as on 31 March 2026	Ratio as on 31 March 2025	Variation	Reason (If variation is more than 25%)
(a) Current Ratio	0.76 Times	0.79 Times	-4%	NA
(b) Debt-Equity Ratio	4.28 Times	4.31 Times	-1%	NA
(c ) Debt Service Coverage Ratio	0.38 Times	0.51 Times	-26%	The Debt Service Coverage Ratio decreased primarily due to higher debt servicing obligations during the current year, particularly finance costs and scheduled repayments, which increased at a higher rate than the growth in earnings available for debt servicing.
(d) Return on Equity Ratio	(0.06)	(0.09)	-35%	The Return on Equity Ratio improved due to a reduction in the net loss during the year compared to the previous year.
(e) Trade Receivables Turnover Ratio	3.76 Times	4.26 Times	-12%	NA
(f) Net Capital Turnover Ratio	(1.84)	(2.69)	33%	The Net Capital Turnover Ratio changed primarily due to higher reduction in working capital in comparison to reduction in Revenue from Operations during the current year than previous year.
(g) Net Profit Ratio	(0.03)	(0.04)	-31%	The Net Profit Ratio improved due to a reduction in the Companys net loss during the year as compared to the previous year even though Revenue from Operations has reduced in comparison to Previous Year, reflecting improved operating performance and better cost management.
(h) Return on Capital Employed	0.06	0.05	26%	The Return on Capital Employed improved due to higher operating earnings (EBIT) during the year along with a reduction in average capital employed, resulting in a higher return on capital employed.
(i) Return on Investment	0.04	0.04	13%	NA

Note:

The Ratios i.e. Debtors Turnover, Inventory Turnover, Interest Coverage and Operating Profit Margin are not applicable to the Company.

For and on behalf of the Board of Directors

Deena A. Mehta	Madhu Lunawat
Director	Director
(DIN: 00168992)	(DIN: 06670573)

Mumbai, August 07, 2026