Atishay Ltd Management Discussions.

Global Economy

Global growth is moderating as the recovery in trade and manufacturing activity loses steam. Despite ongoing negotiations, trade tensions among major economies remain elevated. These tensions, combined with concerns about softening global growth prospects, have weighed on investor sentiment and contributed to declines in global equity prices. Energy prices have fluctuated markedly, mainly due to supply factors, with sharp falls toward the end of 2018. Other commodity prices—particularly metals—have also weakened, posing renewed headwinds for commodity exporters.

Economic activity in advanced economies has been diverging of late. Growth in the United States has remained solid, bolstered by fiscal stimulus. In contrast, activity in the Euro Area has been somewhat weaker than previously expected, owing to slowing net exports. While growth in advanced economies is estimated to have slightly decelerated to 2.2 per cent last year, it is still above potential and in line with previous forecasts.

(Emerging Market & Developing Economies) EMDE growth edged down to an estimated 4.2 per cent in 2018—0.3 percentage point slower than previously projected—as several countries with elevated current account deficits experienced substantial financial market pressures and appreciable slowdowns in the activity. More generally, as suggested by recent high-frequency indicators, the recovery amongcommodityexportershaslostmomentumsignificantly, largely owing to country-specific challenges within this group. Activity in commodity importers, while still robust, has slowed somewhat, reflecting capacity constraints and decelerating export growth. In low-income countries (LICs), growth is firming as infrastructure investment continues and easing drought conditions support a rebound in agricultural output. However, LIC metals exporters are struggling partly reflecting softer metals prices. Central banks in many EMDEs have tightened policy to varying degrees to confront currency and inflation pressures.

In all, global growth is projected to moderate from a downwardly revised 3 per cent in 2018 to 2.9 per cent in 2019 and 2.8 per cent in 2020-21, as economic slack dissipates, monetary policy accommodation in advanced economies is removed, and global trade gradually slows. Softening global trade and tighter financing conditions will result in a more challenging external environment for EMDE economic activity. EMDE growth is expected to stall at 4.2 per cent in

2019—0.5 percentage point below previous forecasts, partly reflecting the lingering effects of recent financial stress in some large economies (e.g., Argentina, Turkey), with a sharply weaker-than-expected pickup in commodity exporters accompanied by a deceleration in commodity importers. EMDE growth is projected to plateau at an average of 4.6 per cent in 2020-21, as the recovery in commodity exporters levels off. Per capita growth will remain anemic in several EMDE regions—most notably, in those with a large number of commodity exporters—likely impeding further poverty alleviation.

Indian Economy

The Indian economy started the fiscal year 2018–19 with a healthy 8.2 per cent growth in the first quarter on the back of domestic resilience. Growth eased to 7.3 per cent in the subsequent quarter due to rising global volatility, largely from financial volatility, normalized monetary policy in advanced economies, externalities from trade disputes, and investment rerouting. Further, the Indian rupee suffered because of the crude price shock, and conditions exacerbated as a recovery in some advanced economies caused faster investment outflows.

Despite softer growth, the Indian economy remains one of the fastest growing and possibly the least affected by global turmoil. In fact, the effects of the aforementioned external shocks were contained in part by India’s strong macroeconomic fundamentals and policy changes (including amendments to the policy/code related to insolvency and bankruptcy, bank recapitalization, and foreign direct investment).

The Indian economy is likely to sustain the rebound in FY2018–19—growth is projected to be in the 7.2 per cent to 7.5 per cent range and is estimated to remain upward of 7 per cent for the year ahead. These projections could be attributed to the sustained rise in consumption and a gradual revival in investments, especially with a greater focus on infrastructure development. The improving macroeconomic fundamentals have further been supported by the implementation of

Annual Report 2018-19 reform measures, which has helped foster an environment to boost investments and ease banking sector concerns. Together, these augur well for a healthy growth path for the economy. India has already surpassed France to become the sixth-largest economy. By 2019, it may become the fifth-largest economy, and possibly the third largest in 25 years.

(Source: Deloitte Insights)

Industry Overview

The system integration market is expected to reach USD 450 billion by the year 2024, owing to increased spending in big data analytics and cloud computing systems. according to the Global Market Insights Report. Several IT Companies are now resorting to using these developments to collect large amounts of consumer and financial data to grow at a global level and generate revenue. Companies in India are also rapidly modernizing their existing IT infrastructure to accommodate to latest IT trends in the technological landscape, according to Global Market Insights Report.

With the increase in the number of SMEs, the system integration market in Asia is expected to grow at a steady pace. Economies such as China, Philippines and India are promoting the growth of SMEs to meet the constant demands of the system integration market and are also coming up with Government initiatives to promote the same. System integration services are essential as they help in decreasing data duplication and also in performing several security checks on different hardware and software systems.

Moreover, in South Asia, countries such as the Philippines and India are touted to be the hub of IT consulting and outsourcing activities. as a result of an enriched pool of highly skilled workforce and low hourly wages, thus, attracting foreign players to adapt their services.

Indian Industry

India’s IT industry contributed around 7.7 % to the country’s GDP and is expected to rise by 10% by FY2025. The Indian IT industry employs nearly 3.97 million IT professionals out of which 105,000 were welcomed in the industry in FY2018. Furthermore, for the FY2019, the industry is expected to offer over 250,000 new job opportunities. This has become possible due to the growing startup culture in India, with the existing 5,300 start-ups employing tech professionals to accelerate business growth. India is also the leading outsourcing destination across the world, accounting for approximately 55 per cent market share of the US$ 185-190 billion global services sourcing business in 2017-18, as per the IBEF Report.

Key Drivers for Growth:

Increased focus of technological deployment across all the industries

Increase in adoption of technology and telecom by consumers

Emerging geographies and verticals

For instance, the Government’s Digital India Campaign envisages a USD 20 billion investment covering mobile connectivity throughout the country, re-engineering of Government process via technology and enabling e-delivery of citizen services, according to the Make in India Website.


With the development of technology, countries all over the globe are going the digital way to offer quick and hassle-free services. Government of India is making use of IT services to offer efficient and effective governance services across all its domains by the way of e-Governance.

Subsequently, e-Governance is the application of information and communication technology to carry out various governance services including financial transactions, exchange of information and others. The primary objective of e-Governance is to simplify the Government processes at all levels i.e. national, state as well as local. It has helped Government officials take decisions expeditiously and judiciously, thereby increasing transparency and accountability. E-governance helps in increasing the reach of the Government – both geographically and demographically; it has also enabled Government departments and agencies automate its various processes and offer visibility of these processes to the citizens. E-governance has transformed the workings of the Government and helped them speed up their line of work, save costs, bring transparency and accuracy in all its processes. The Government also makes use of IT services to identify and resolve the problem areas by procuring, automating, resolving and analyzing the data generated.

Benefits of E-governance

Helps Government improve its work efficiency by replacing the paper-based system with an electronic one. Thus, helping in saving time and money.

Gives better accessibility of public services and information to citizens, thereby expanding the reach of the Government.

Ensures a smooth flow of information

Smooth management of back-office processes and interaction within the Government system.

National E-Governance Plan

The National E-Governance plan has come into being with an aim to offer speedy and accessible Government services to citizens and businesses. This initiative has steadily evolved from the computerization of Government departments to offering customer centric and transparent Government services. With this initiative, large-scale digitization of records is taking place and Government services have become accessible in the remotest of villages. The vision of the National E-Governance plan remains to make all public services accessible to the common man and ensure efficiency, transparency, and reliability of such services at an affordable cost. Implementation of e-Government services across various arms of the Government has enabled it to save huge costs through the sharing of core and support infrastructure, enabling interoperability through standards, and of presenting a seamless view of Government to citizens.

Government NeGP Mission Mode Projects

The National e-Governance Plan consisting of 27 mission mode projects and 10 components has been approved by the Union Government of India. With the NeGP initiative involving different agencies, the Government has decided to implement it as a programme with each agency being assigned with different roles and responsibilities. This has led to the creation of an appropriate programme management structure with various line ministers/departments responsible for the implementation of the assigned Mission Mode Projects (MMPs)/ Components.

Strategies for E-Governance in India

• To build technical hardware and software infrastructure

• To train Government employees and appoint experts to build institutional capacity

• To build a legal infrastructure that can adapt to the rapidly growing and changing technology

• To build judicial infrastructure by appointing new judges and set up courts dealing with matters related to ICT (information and communications technology)

• To popularize e-Governance by increasing people’s awareness towards the same

Details on E-Governance projects in India

Guiding principles for reforming Government through technology

Simplification of forms:

Forms should be designed in a simple and user-friendly manner and only the required information should be collected.

Tracking of online applications:

Online applications should be tracked to understand the number of people availing the service through the online mode.

Maintenance of online repository:

To ensure citizens submit all their documents online and do not have to visit an office or send it via speed post, it is important that they are able to upload all the required documents online.

Services and platforms should be integrated:

Various platforms and services should be integrated online to provide hassle-free services to the citizens. This includes the integration of platforms and services such as Aadhaar platform for Unique Identity Authority of India (UIDAI), payment application for doing financial transactions online, sharing of data through open Application Programming Interfaces (API) and middleware such as National and State

Service Delivery Gateways (NSDG/SSDG)

Evolution of Election Commission in India

The Election Commission of India is an autonomous body that is responsible for administering the election processes in India.

Constituted as a permanent, autonomous, constitutional body in the year 1950, the ECI administers the elections of the Lok Sabha, Rajya Sabha, legislative council, the office of the vice president and president of India. The constitution has granted power to the ECI to take certain measures when the enacted laws make insufficient provisions to deal with a given situation in the conduct of an election. The ECI is entrusted with a number of responsibilities including the announcement of the elections as well as the winners, conducting election processes, division of constituencies and others, despite the number of political, economic and logistical challenges they face.

Responsibilities of Election Commission of India

• Declare the election results

• Notify dates and schedule of the election to the citizens

• Prepare the voter’s list

• Division of constituencies

• Fix and limit the election expenses

• Settle disputes referred by the president

Recent Initiatives of ECI

• Check criminalization of politics

• Issue election cards to voters

• Simply the voting process for voters

• Computerization of electoral rolls

Enrolment of Aadhar

Unique Identification Authority of India is responsible for providing a unique identification (UIDAI) number to all citizens of India. This unique number is known as Aadhar number and is accepted both as a proof of address and identity. Under the 2016 Aadhar Act, the UIDAI is responsible for enrolment and identification of Aadhar by collection biometric and demographic information of the citizens. The data generated is stored in a centralized database that is maintained by Unique Identification Authority of India. The UIDAI is responsible for both operation and management of Aadhar number at all stages including its issuance, authentication, and security. The Aadhaar enrolment process includes visiting Enrolment Centre, filling the enrolment form, getting demographic and biometric data captured, submitting proof of Identity and address documents, before collecting acknowledgment slip containing the Enrolment ID.

Information technology and software development

Due to the growth of the IT industry, businesses are heavily relying on third-party IT firms to drive their businesses. There is an increasing need for highly skilled technology professionals as the companies are heavily dependent on outsourcing service providers who help them excel in the growth of the business. key factors that are responsible for the growth of IT and IT-enabled services are: cost benefits, timely-high quality delivery and the availability of a large and growing skilled and English-speaking IT professionals.

About US

Atishay Limited is a leading Information Technology driven Company. Our focus is on creating India’s largest network of last-mile retail point-of-sale. Our aim is to potentially enable Indian to Seamlessly benefit from Government programs and avail wider access to basic goods and services.

It is a Company recognized for its comprehensive portfolio of services and practitioner’s approach in delivering innovation. Atishay delivers winning business outcomes through its profound industry experience. We are all about pushing the limits of current possibilities and also exploring completely new areas.

Atishay is emerging as a leading provider of business and knowledge process services. Atishay has evolved a unique framework for identifying a deploying IT applications, which can create a high socio-economic impact by enabling, better planning and management. We believe our responsibilities also extend beyond the boundaries of business. For over three decades, we have been a Company focused on bringing to life grate ideas and enterprise solutions that drive progress for our clients. We recognize the importance of nurturing relationship that reflect firm ethics and mutual respect.

Our Project Basket

Election Commission of India

We are proud to be associated with the Chief Electoral Officer of Maharashtra and Madhya Pradesh state, handling the electoral process in both the states. Having successfully handled election data of citizens at our data centers in Bhopal and Mumbai, our key project deliverables included the following:

• PVC Voter Card printing

• PVC EPIC Printing.

• Transliteration of Electoral rolls in English, Marathi, Hindi, Urdu, and Kannada.

IT Enablement of Circuit Houses

Developing the software and IT systems for State Guest Houses for General Administrative Department of the Government of Rajasthan, we curated a software that helped in tracking the occupancy of each guest house by different classes of officers. This thus helped in the maintenance of records and billing that resulted in efficiency and cost optimization. Currently, we are providing support & Maintenance activities for state guest Houses.

IT Enablement of Legal Metrology Department

We have also developed e-Tulman, an efficient online system for the Legal Metrology Department, Rajasthan. This software accelerated the day-to-day working process of the Department of Consumer Affairs, Government of Rajasthan. For them, we created the IT mechanism and infrastructure that enabled state-of-the-art workflow automation system. Currently, we are providing support & Maintenance activities.

Aadhaar-enabled Biometric Attendance System

We have developed software and hardware of the Biometric Attendance System to enable the Government to track the real-time in and out timings of their employees. For this, we made use of the employees Aadhar card number. The system tracks real-time attendance of employees and offers other features such as salary generation, leave application and remarks, holiday information, loan applications and approvals, daily work analysis and feedback. Currently, we are providing support & Maintenance activities.

Document Verification and Authentication Engine

We are working with the Rajasthan Government intended to automate manual activities of document verification and authentication so that there is seamless integration and transfer of data between various Government departmental application. The main goal of the project is to develop an Authentication and Verification application and further develop a set of procedures that will allow the integration and transfer of data between multiple Government departmental application solely for the purpose of Document Verification and Authentication. As a result, the intention is to develop an "Engine" for document verification and authentication for use of various Government departments. Atishay Limited is the selected agency for design, development and maintenance of the Document Verification and Authentication Engine. Some of the activities undertaken are:

• Design and development of the Document Verification and Authentication Engine

• Operation and Maintenance for the period of 3 years

Technical Support Services for Rajasthan UID Project

The widespread implementation of the UID project needs the reach and flexibility to enrol residents across the country and on-board service delivery through secured biometric authentication. The UID project of Rajasthan state presently provides authentication services to various State Departments in order to enable these departments to provide secured Aadhaar based service delivery. Rajasthan UID cell is dealing with various projects on digital payments, implementation of security measures, development of various Aadhaar based service delivery applications and constant implementation of guidelines and compliance matters issued by UIDAI. Atishay Limited has partnered with Government of Rajasthan for providing Technical Support services for Rajasthan UID Project. Some of the activities undertaken are:

• Technical Support


We are a pioneer in providing turnkey hardware and software solutions that cater to the ongoing trend of artificial intelligence. We are capitalizing on projects undertaken by the Government, such as surveillance, Wi-Fi hotspots, Smart Cities, and such other prestigious projects. We are also associated with 2 PSUs (Bharat Sanchar Nigam Limited and ITI) to provide back-end operations as a Systems Integrator. Additionally, we are also working towards providing large-scale IT-based infrastructure projects to the Government.

Hotel Enterprise Resource Planning

We have successfully developed Maxidoo, an all-in-one Hotel Enterprise Resource Planning software that enables hotel management to successfully run their business. It is a cloud-based solution that enables hotel staff to handle its internal operations-all on a single platform. It has an easy-to-use interface that automates hotel operations, helps in improving their efficiency, manages inventory and also maintains staff control and optimize costs.


The Company has worked hard on Cash out Services, which is in alignment with the Govt. Of India’s Cash less India Push. For Micro-ATM payments and Aadhaar Enables Payment System (AePS), the Company’s two important initiatives, the relevant testing and proof of concept have been completed successfully. Both the services will be ready to be launched in the market, in the first quarter of the next financial year.

Focus has also been on offering two new services, namely flight ticket booking and insurance. By the beginning of the Q2 of the next financial year (FY 2019-20), the Go To Market for both these services will be ready.

Regarding the G2C (Govt. to Citizen) platform, the Company has offered services like Mobile & DTH services and money transfer with the Govt. of Rajasthan on e-Mitra, which is their G2C platform. The Company has also launched Cash to Cash and Cash to Bank Indo-Nepal money transfer services by partnering with Nepal’s largest player in this segment. The Company is now in the advanced stage of closure for the appointment of Business Correspondents for at least two reputed banks.

Key Highlights

Our Financial Performance

Our Revenue from operations, EBITDA (including other income) and PAT for the year ending March 31, 2019, stood at 2,603.20 Lakhs, 746.14 Lakhs and 419.82 Lakhs, respectively, against the corresponding amount for the year ending March 31, 2018, being 2,264.06 Lakhs, 583.11 Lakhs and 302.92 Lakhs respectively.

Key Highlights:

• Revenue from Operations: Revenue from Operations increased from 2,264.06 lakhs in FY2018 to 2,603.20 lakhs in FY2019, an increase of 14.98%.

• Earnings Before Interest Tax Depreciation and Amortization (EBITDA including Other Income): EBITDA has increased from 583.11 lakhs in FY2018 to 746.14 lakhs in FY2019.

• Profit/(Loss) after Tax: Profit/(Loss) after Tax increased from profit 302.92 lakhs in FY2018 to 419.82 in FY2019.

• Finance cost and Depreciation: Finance cost declined from 41.58 lakhs in FY2018 to 32.73 lakhs in FY2019, and depreciation and amortization expenses declined from 134.11 lakhs in FY2018 to 133.91 lakhs in FY2019

Risk mitigation strategies

A risk mitigation strategy is the process of having effective planning in place to reduce adverse effects; it can be developed keeping in mind the Company’s line of business and profile. This process includes tracking identified risks, identifying new risks and evaluating the risk processes.

At Atishay, below four types of risk mitigation practices are adapted:

Avoid: Risks, especially the ones that have a huge financial impact on the business are avoided.

Transfer: Risks that are of low profitability but have a huge impact on the business should be mitigated by being shared or transferred.

Accept: When mitigating the risk, the expenses involved are higher i.e. more than the cost of the risk. In such situations, risks are accepted to avoid further financial damage.

Limit: This is the most common strategy that any business undertakes. To regulate exposure towards risk, risk limitation is employed to avoid and accept risk.

Monitor: Monitor the changes in the environment or other factors that can have an impact on the risk.

On the basis of the above risk mitigation strategies, Atishay is committed to achieving high levels of operating performance and cost competitiveness. This has also made it possible for the Company to enhance its overall productive asset, resource base, and overall corporate reputation.

The Company is also committed to creating value for its stakeholders by ensuring the positive impact of the socioeconomic and environmental decisions undertaken by them. The Company’s operations team is fully committed to achieving high levels of operating performance and cost competitiveness. Consolidating and building growth along with enhancing its productive asset and resource base to nurture the overall corporate reputation is its main goal.

Quality and compliance

Atishay is committed to offering high quality, defect-free services to its clients. We have a dedicated quality control department and effective quality assurance policy that helps in maintaining consistent quality of all our processes. Our main focus lies on areas critical to our process and quality.


As a part of technological advancement, we have invested in state-of-the-art infrastructure for handling our data and server processes. We have joined hands with leading technology companies for ensuring a high-quality supply of hardware and high-end workstations for enhanced system performance at an operational level. We deliver our technology services by using cutting edge technology. We have designed our hardware infrastructure for handling large volumes of transactions. We have an in-house system of over 60 software and hardware technicians that focus on system integration and support facilities. Our complete IT infrastructure supports hybrid platforms and can be configured and scaled up to match up to our client requirements. The hardware is specially designed to handle large scale transactions.

Human Resources

Our employees play a crucial role in our development and help us in creating a dynamic culture and drive innovation and results. Being an employee-oriented Company, we believe in strengthening our employee’s growth and remain committed to attracting and retaining talent. We do this by maximizing our human capital potential and enabling employees to balance their personal and professional lives. We strive hard to reward our employees with satisfying career paths that leverage their individual talent and reward them reasonably. Our main objective lies in helping our employees reach their maximum potential in the rapidly changing and growing business environment.

Internal control systems

We ensure the complete working of all our internal control systems by monitoring and checking if the financial statements issued are reliable and appropriate. We have a proper and adequate flow or internal controls that ensure all our assets are safeguarded and protected against loss from unauthorized use. We also record and report transactions accordingly. We have an extensive risk-based management system or internal audits and management reviews that enable us to conduct internal audits and management reviews. They further help us in providing documented policies, guidelines and procedures. The overall internal control system has been curated to ensure that all our financial transactions and records are reliable for preparing financial and other statements for maintaining accountability of assets.

Cautionary statement

This document contains statements about expected future events, financial and operating results of Atishay Limited, which are forward-looking. By their nature, forward-looking statements require the Company to make assumptions and are subject to inherent risks and uncertainties. There is a significant risk that the assumptions, predictions and other forward-looking statements will not prove to be accurate. Readers are cautioned not to place undue reliance on forward-looking statements as several factors could cause assumptions, actual future results and events to differ materially from those expressed in the forward-looking statements. Accordingly, this document is subject to the disclaimer and qualified in its entirety by the assumptions, qualifications and risk factors referred to in the management’s discussion and analysis of Atishay Limited’s Annual Report, FY2019.