Aurionpro Solutions Ltd Management Discussions

1. OVERVIEW

Aurionpro Solutions Limited ("Aurionpro") financial statements have been prepared in accordance with Indian Accounting Standards ("Ind AS"), as prescribed under section 133 of the Companies Act, 2013 ("the Act"), read with the Companies (Indian Accounting Standards) Rules, 2015, as amended from time to time, and other provisions of the Act to the extent notified and applicable. The management of Aurionpro accepts responsibility for the objectivity and integrity of these financial statements, as well as for the various estimates and judgments used therein. The estimates and judgments relating to the financial statements have been made on a prudent and reasonable basis to ensure that the financial statements reflect the state of affairs in a true and fair manner. The management of Aurionpro is committed to continuously improving the level of transparency and disclosure. Accordingly, an attempt has been made to fully and comprehensively disclose information about the company, its business, operations, outlook, risks, and financial condition. The forward-looking statements contained herein are subject to certain risks and uncertainties, including, but not limited to, the risks inherent in the companys growth strategy, dependency on strategic clients, and reliance on the availability of qualified technical personnel, among other factors discussed in this report. Readers are cautioned not to place undue reliance on these forward-looking statements, as they reflect Aurionpro managements analysis only as of the date hereof.

2. OPERATIONAL UPDATES

Despite the headwinds in external environment, Aurionpro delivered a healthy and resilient performance in FY26, with revenues growing 20% year-on-year to 1,411 crore. EBITDA for the year stood at 282 crore, while PAT grew to 215 crore. Our ability to sustain strong growth and healthy profitability amidst a volatile environment reflects the strength of our differentiated business model, deep customer relationships, and the strategic relevance of our offerings across key sectors.

Both our key business segments · Banking & Fintech and the Tech Innovation Group (TIG) · delivered healthy growth during the year. The Banking & Fintech segment recorded revenues of 751 crore, while TIG contributed 660 crore, reflecting year-on-year growth of 19% and 26% respectively. This balanced growth across our core businesses demonstrates the resilience of our diversified portfolio and the continued relevance of our offerings across sectors. The demand environment across our key segments remains encouraging. During the year, we secured several strategic wins associated with metro rail projects across major cities in India, further strengthening our leadership position in the transit and mobility space. We continue to witness a strong pipeline of similar opportunities emerging across the country, driven by sustained investments in public infrastructure and smart mobility initiatives. Our Data Centre business witnessed a significant inflection point during FY26 with the Company securing one of the largest mandates in India for the development of an AI-focused data centre for a leading hyperscaler. This landmark engagement not only reinforces our execution capabilities in this high-growth segment, but also positions us strongly in a market where demand for advanced data centre infrastructure continues to outpace available capacity.

I n the Banking & Fintech segment, we continue to deepen our engagements with leading PSU banks in India, while also expanding relationships with customers across international markets. Over the past year, we have systematically integrated AI-led capabilities across our product and service portfolio, enabling us to address the rapidly evolving technology and transformation requirements of our customers more effectively and at scale.

As we look ahead to FY27, we anticipate a year of accelerated execution driven by the scale and nature of the opportunities we have secured across our core businesses. Our approach remains clear · we would rather invest decisively behind long-term strategic opportunities than optimise for short-term financial optics at the cost of future growth.

Importantly, these investments are being made from a position of strength. We are entering FY27 with an order book exceeding 1,800 crore, providing strong revenue visibility for the coming years, along with a healthy and diversified pipeline across both Banking & Fintech and the Tech Innovation Group. The quality of opportunities we are seeing · particularly across transit modernization, AI-led data centre infrastructure, digital banking transformation, and enterprise technology solutions · reinforces our confidence in the medium- to long-term growth trajectory of the Company.

3. INDUSTRY STRUCTURE AND DEVELOPMENTS

Worldwide IT spending is expected to reach $6.37 trillion in 2026, up 14.2% from 2025, according to the latest forecast by Gartner, Inc.

Worldwide IT Spending Forecast (Billions of U.S. Dollars)

	2025 Spending	2025 Growth (%)	2026 Spending	2026 Growth (%)
Data Center Systems	506	51.6	822	62.5
Devices	790	9.7	868	9.8
Software	1,271	13.9	1,468	15.5
Services	1,492	3.8	1,570	5.3
Infrastructure as a Service (IaaS)	222	25.3	287	29.3
Communications Services	1,296	3.3	1,354	4.4
Overall IT	5,577	10.7	6,369	14.2

Source: Gartner (July 2026)

IT spending growth is being fuelled by rising investments in AI infrastructure and software. Organizations are spending more on AI optimized servers, cloud services, and Al-ready software as they expand their AI efforts, while hardware markets continue to adjust to semiconductor and memory supply constraints.

This bodes well for all our businesses, particularly enterprise software offerings, AI and AI Led solutions and data center segment. According to a report, published by the leading research agency, the banking software market was valued at $11.7 billion in 2022, and is estimated to reach $69.9 billion by 2032, growing at a CAGR of 19.8% from 2023 to 2032. The report further states that the market also offers growth opportunities to the key players in the market. Increase in adoption of technologies such as the cloud, big data, and artificial intelligence (AI) is changing the landscape of banking industry. In addition, the integration of such technologies with the banking process assists in advancing their visualization capabilities, resolving customer queries, and making complicated data usable. Moreover, these technologies help in increasing connectivity and providing advanced security methods in banks & financial institutions.

LENDING SUITE

The below information is derived from the report titled "Credit Lending Operations, 2026". The market analysis for our key offerings is discussed hereinbelow:

Historically, lending technology solutions evolved alongside core banking systems as siloed platforms aligned to specific products and institutional structures (e.g., syndicated lending, small and medium enterprise [SME] lending and private credit). In 2026, however, the market is rapidly converging toward a unified, data-centric and intelligence-led credit ecosystem, in which firms technology strategies no longer focus on optimizing individual processes but rather on enabling end-to-end credit and lending-lifecycle orchestration. Chartis research confirms a decisive shift toward integrated, intelligence-driven lending platforms across commercial, SME, syndicated and alternate finance markets. While simpler lending products still require streamlined workflows, the growth of such complex structures as syndicated and leveraged lending is accelerating demand for highly configurable, end-to-end platforms that can manage increasingly complex deal lifecycles.

In Chartis report Credit Lending Operations, 2026: Quadrant Update, Aurionpro achieved Category Leader status across all five RiskTech Quadrants: Loan Origination Solutions, Loan Management Solutions, Limits Management Solutions, Collateral Management Solutions and Alternate Finance Solutions. Aurionpros consistent performance in all categories underscores its highly robust product strategy, industry-proven platform capabilities and comprehensive modular orchestration.

As covered by Chartis, Aurionpros market expansion strategy and technology framework are built on three key elements:

• Integration. A fully streamlined and integrated offering that can be separated into individual steps and folded into the broader lending lifecycle.

• Automation and architecture. With an application programming interface (API)- first, cloud-native design, Aurionpros solution offers robust business process configuration and integrated analytics.

• Advanced technology and intelligent capabilities, including embedded proactive risk frameworks, artificial intelligence (ai)/ machine learning (ml) tools, and advanced calculation engines to optimize the total cost of lending.

Chartis is seeing a shift toward integrated, data intelligence-driven lending platforms that serve all lending markets. In addition, as lending must increasingly contend with complex lifecycles, it requires configurable, end-to-end platforms that rely heavily on data. The need for adaptation is a defining characteristic. The market is pushing toward modular, flexible, scalable solutions with component-based architectures that support incremental transformations and multi-jurisdictional complexity. AI is top of mind with firms, and Chartis sees it playing an active role in the orchestration layer of lending solutions, enhancing underwriting, automating workflows and enabling proactive, real-time risk monitoring. Overall, the market is converging on the following four priorities:

• Flexibility in platforms.

• High-volume, real-time data.

• AI-based decisioning assistance and risk monitoring.

• Modular, integrated ecosystems.

Firms are choosing solutions that address these concerns, to make their processes more efficient, strengthen their risk management and align their lending operations with strategic and regulatory requirements.

i-CASH PRO

The transaction banking market size is expected to see rapid growth in the next few years. It will grow to $46.59 billion in 2030 at a compound annual growth rate (CAGR) of 11.1%. The growth in the forecast period can be attributed to growing adoption of cloud-based transaction platforms, rising demand for instant crossborder payments, expansion of fintech-bank collaborations, increasing focus on automation and straight-through processing, stronger regulatory emphasis on payment security. Major trends in the forecast period include increasing adoption of real-time payment solutions, rising demand for integrated cash and liquidity management, growing use of api-based banking platforms, expansion of cross-border transaction services, enhanced focus on fraud prevention and security.

The increasing adoption of digital banking is expected to drive growth in the transaction banking market. Digital banking allows customers to perform financial transactions via online platforms, mobile apps, and other digital channels anytime and anywhere. Adoption is rising due to convenience, enhanced security, and increased smartphone and internet usage. Digital banking supports financial inclusion by providing easy access to services, reducing branch dependency, and enabling real-time transactions. For example, in September 2025, Open Banking Limited reported 15.16 million individuals and businesses using digital banking services, with transactions hitting 2.04 billion, a 3.5% increase from June. Therefore, digital banking adoption is driving growth in transaction banking.

Aurionpro Transaction Banking powered by AurionAI Intelligence, is a superior, secure, and modular suite that helps banks streamline operations, drive growth, and strengthen their position as the principal banker. It streamlines processes, reduces errors, and enables high- value deals in minutes.

AUTOMATED FARE COLLECTION ("AFC")

The below information has been derived from the report titled "Global Transit Ticketing & Fare Collection Report" prepared and issued by Global Mass Transit Research.

It is estimated that the AFC market size will increase from USD 11.19 billion in 2022 to nearly USD 17.87 billion in 2029.

Key Growth Drivers

• Simplifed fare systems: Simplifying and unifying the fare structure is a key prerequisite for implementing AFC. Complex fare structure such as network wise, zone wise, or area wise lead to complexity in revenue sharing.

• Political will: Political will is necessary to implement enabling policy environment. Integration and interoperability are essential in implementing a seamless ticketing system.

• Availability of support technology: Automated fare system need high speed internet to ensure minimum friction and fast transaction. Without the support infrastructure, the system cannot provide seamless service to the customer.

• Institutional integration: Existence of a city-wide or national transit authority aids in ease of implementation as fare structure, contracting model, risk sharing can be unified across all operato Rs

• Potential for national interoperability: The case of London and Korea highlight that a national policy and agency responsible for interoperability and nation-wide implementation of AFC system is critical in fast and wide-spread adoption of the technology. There needs to be a central body willing to own and drive the specification and oversee the implementation of the ticketing solution including leveraging economies of scale, for example in back office.

DATA CENTRE

Indias data centre market is witnessing rapid capacity expansion, driven by strong digital demand tailwinds and a surge in infrastructure investments. Its competitiveness is anchored in structural cost advantages and strengthening infrastructure, while demand continues to accelerate on the back of multiple converging digital and regulatory drivers. Large-scale investments, coupled with sustainability- led innovation, are accelerating the evolution towards high-density, Al-ready data centre infrastructure. At the same time, Al is fundamentally reshaping data centre architecture, driving a shift towards ultra-dense, high-performance, and more efficient infrastructure. Data centres are also emerging as critical national infrastructure, playing a central role in economic growth, digital sovereignty, and global competitiveness. This momentum is further reinforced by a strong and evolving policy framework that is enabling infrastructure development, Al adoption, and data governance. Targeted policy incentives and reforms are strengthening investment inflows while unlocking the next phase of ecosystem-led growth.

Indias data centre ecosystem is on a dual growth strategy, driven by surging demand from expanding digital economy, and scaling infrastructure to support GPU developments for Al training and inference workloads.

4. OUR OFFERINGS

Artificial Intelligence

Arya.ai is now a part of Aurionpro Solutions, a global leader in enterprise solutions specializing in banking and financial services. Together, we are shaping the future of enterprise AI. Our offerings include:

Arya.ai

Unlock AI-driven solutions that transform businesses, enabling data-driven decisions, automation, and high-performance outcomes across industries. Arya AI helps banks, insurance, and financial institutions simplify complex AI journeys and drive informed decisions at scale.

• Autonomous Finance

• Apex - AI API Library

• Nexus - AI API Gateway

• Generative AI

• AI Cashflow Forecasting

• AI Onboarding

• Intelligent Document Processing

AryaXAl

AryaXAl provides the most accurate explainability and alignment stack to deliver accurate, true-to-model explainability, monitoring, risk management, and alignment techniques essential for highly mission-critical or regulated Al solutions.

• Explainable AI

• ML Monitoring

• ML Audit

• Policy Control

AryaXAl AI Alignment Labs

The AryaXAI AI Alignment Lab in Paris and Mumbai accelerate research in the verticals of AI Explainability and Alignment.

Transaction Banking

Engineering the Backbone of Corporate Banking

Our solutions bring together automation, insight, and compliance across every layer of corporate banking.

iCashpro Suite

iCashpro is a next-generation transaction banking platform that provides a comprehensive solution for full-spectrum corporate banking, giving a superior and consistent client experience across customer segments in order to enhance time-to-market, acquire improved cash visibility, and cut expenses.

• Corporate Internet Banking

• Payments

• Collections

• Receivable Management

• Liquidity Management

• Financial Supply Chain

• Forex Services

Trade Finance - Fintra

Disruptive trade finance solutions the flagship solution is capable of handling the entire spectrum of trade finance processes while substantially reducing the inefficiencies and complexities that exist in legacy solutions

Digital Banking - AuroDigi

Digital banking platform for wholesale banking services a one-stop solution for banks to provide a single complete experience to corporate customers with seamless onboarding, intelligent analytics and scalable and secure technology.

Supply Chain - Aurobees

Integrated Supply Chain & Financing Platforms Streamline supply chains, enhance transparency, and optimize financing. This next gen supply chain is economical, secure with easy integration and reduced overhead costs.

Lending

Our SmartLender, is a platform that provides an end-to-end comprehensive credit risk management solution that boosts productivity, improves credit quality, and lowers operational risks. It has been built to scale with banks and FIs·empowering faster decisions, lower risk, and seamless customer journeys.

Integro Corporate Lending Solutions

A comprehensive platform that streamlines the full corporate credit lifecycle·from origination to monitoring·with AI-powered automation, smart workflows, and regulatory compliance.

• Loan Origination System

• Financial Analysis

• Limits Management System

• Collateral Management System

• Trade Limit

• Early Warning System

• Smart Rules

• Smart View

• Smart Capture

• Smart Collect

• Smart Data Connect

• Connect Risk Analytics

• Intelligence

• ESG

• Digital Form

Integro Retail Lending Solutions

Designed for high-volume, customer-centric lending, this suite simplifies retail credit with AI-enabled workflows, real-time insights, and flexible repayment structures.

• Customer onboarding

• Credit processing

• Loan fulfilment

• Credit decisioning

• Debt management

• GL & Fixed Assets

• Admin Module

Fintech

Aurionpro Fintech provides high quality and secure payment platforms, embedded payments and modern stack applications. In addition, our Professional Services teams deliver custom software solutions.

Aurionpro Payment

Simplify and scale your payment operations with a secure, omni-channel, cloud-native solution. From fast integration to real-time reporting, we enable seamless, compliant, and insightful payment experiences.

• Business Payments - Auropaybiz Future-proof accounts payable with digital workflow automation and create efficiencies across the invoice-to-pay lifecycle.

• Payment Aggregator & Gateway - Auropay A technology-driven payment platform that enables businesses to receive payments securely and transparently.

• Risk and Security

Premier risk management solution that enables real-time fraud checks, smart authentication, and reduced transaction laundering.

• Value Added Services Customer-centric payment innovations with payment tokenisation, split payments for better conversions and customer stickiness, and customer and business insights with analytical insights.

Aurionpro Fintech

Aurionpro Fintech provides high quality and secure payment platforms, embedded payments and modern stack applications. In addition, our Professional Services teams deliver custom software solutions.

• Application Development

We offer a full lifecycle approach, ensuring your applications are built for future growth and scalability.

• Cloud & DevOps

Seamlessly integrate the power and security of cloud technology into your development stack.

• Captive Services

We can find the right talent, manage projects, and help you keep your full stack up-to-date.

• Digital Transformation

Our comprehensive approach creates a foundation for an optimized, and future- proof, organization.

• Conversational Commerce

A powerful, customizable, AI-driven chatbot solution for financial technology and beyond. Seamlessly integrate scheduling, financial services, and customer support into intelligent conversations.

Capital Markets

Powering the New Digital Order in Capital Markets

From installation to upgrade, our end-to-end services drive transformation across the capital markets ecosystem.

Murex Services - our Murex managed services provide specialized capital markets solutions.

Advisory Solutions

Murex Advisory Solutions deliver deeper expertise, front-to-back integration, and strategic alignment·outperforming

typical service providers focused only on implementation or support.

Project Management Solutions

Murex Project Management Solutions ensure end- to-end delivery with domain-rich leadership, outperforming others who lack product depth and strategic execution capability.

Delivery Solutions

Murex Delivery Solutions offers certified teams with extensive knowledge, ensuring quicker go- lives and greater efficiency in implementation, upgrades, and support.

Fenixys

Fenixys strengthens Aurionpros capital markets capabilities with domain-rich Murex consultants, accelerated implementation frameworks, and a reputation for delivering complex front-to- back transformations across leading global banks. Together, they offer a compelling value proposition in treasury modernization and risk transformation.

FX Connect

Bridging the Gap Between FX Treasury and Core Banking

Retail Services

FXConnects retail services platform enables real-time branch transactions for buying, selling, reissuing, and transferring currency notes, demand drafts, telegraphic transfers, travellers cheques, and FX cards

Corporate Services

FXConnects corporate services support FCY cheque collection/purchase, inward remittances with real-time updates, and seamless cross border fund transfers for corporate clients.

Data Centre & Hybrid Cloud Data Center Solutions & Services

Were your end-to-end data center partner, delivering agile, cost-efficient solutions· from site assessment to prefab and edge infrastructure·built for scalability, sustainability, and real-world impact.

Engineering

We offer end-to-end engineering services from concept to detailed design tailored for mission- critical data center environments.

Construction

We deliver turnkey data center solutions covering design, planning, procurement, construction, and commissioning. We ensure seamless execution while meeting strict Environment, Health, Safety (EHS) and quality standards.

Products & Solutions

Our data center product line offers modular, scalable solutions·including containerized systems, edge infrastructure, and advanced liquid cooling·designed for efficient, high- performance deployment.

Services

We provide comprehensive support to ensure data centers achieve strategic, environmental, and operational excellence, from site selection to sustainability and ongoing maintenance, ensuring consistent, high- performance functionality.

Hybrid Cloud Services

Seamless Practice of Smarter Hybrid Cloud Management

• Devops Automation

DevOps and Automation Services deliver automation for build, continuous integration, continuous delivery & deployment, configuration management, orchestration, infrastructure as code, roadmap preparation.

• Cloud & Hosting

Cloud & Hosting Services deliver secure, scalable solutions for application, website, email, load balancing, backup, auto scaling, and database management.

• Managed Cloud

Managed Cloud Services deliver expert guidance and support across the full spectrum of cloud adoption, management, optimization, on-premises, and resiliency, empowering organizations to leverage cloud technology securely and efficiently.

• Monitoring

Monitoring Service provides oversight for server and network infrastructure, application services, logs, alerts, vendor coordination, and antivirus· ensuring proactive management of your IT environment.

• Network Security

Network and Security Services provide comprehensive solutions for designing, securing, and managing IT networks, ensuring reliable connectivity and protection against evolving threats.

• Server Management

Server Management Services provide essential solutions like server setup, patching, backups, antivirus, Exchange Server management, IAM, and migration for secure and efficient operations.

• Helpdesk Services

Helpdesk Services offer holistic support and management across IT systems, ensuring users have secure, efficient, and uninterrupted access to technology resources.

Smart Governance

• G to G Solutions

Government to Government transfer of technology is one of our key focus areas. We aim to implement government products & solutions across the world as a part of the governments initiative to help other countries.

• E-governance Public Services

Delivering citizen-centric digital public services through robust system integration, rollout, and operationalization of government platforms.

• Smart City

Transforming urban infrastructure with integrated digital ecosystems that enhance livability, safety, and mobility.

Transit & Smart Mobility

Innovative Solutions Powering Seamless Transit

From open-loop fare collection to intelligent transport management, our modular solutions are engineered to enhance passenger experience.

Transit & Smart Mobility Automatic Fare Collection

Our automated solutions streamline fare collection are platformed on open-loop and closed-loop EMV ticketing architecture. These are aligned as per global payment compliances, and in India, as per the NCMC norms.

Intelligent Transport Management System

Experience the benefits of better visibility and advanced fleet tracking from any location 24/7, supported with depot management and optimized route planning.

Hardware Device

Automatic Gates - Hardware Components for AFC Validators, Ticket Readers, Ticket Vending Machines, Ticket Office Machines, EMV/Rupay Card Readers, Automatic Gates Turnstile.

Ticket Vending Machines - AuroToshi

Ticket Vending Machines are cashless dispensers that integrate multiple functions, including cash collection, coin module, token ticket dispensing, bankcard acceptance, module monitoring, and ticket and voucher printer.

Transit Gates - AuroToshi

Transit Gates are essentially Flap Barriers that undergo design alteration to make them suitable for automatic fare collection at BRTS and Metro Stations. They integrate multiple identification access control functions, including Quick Pass, mobile phone QR code, bus cards, and tokens.

Transit Payment Solutions

• Transit Card Issuance and Acquiring Services.

• Mobile Wallet.

5. OPPORTUNITIES AND THREATS

Aurionpro has built a diversified portfolio of offerings across carefully chosen, high-growth segments, each supported by strong structural demand and a long-term growth runway. This diversity has emerged as a natural mitigant against short-term business disruptions, whether cyclical or structural, that may affect individual segments from time to time. The breadth of our portfolio, therefore, remains a unique strength of Aurionpro, providing resilience while enabling us to participate in multiple emerging growth opportunities simultaneously.

The opportunity landscape remains particularly compelling, with all our key segments witnessing strong demand traction, driven by rapid digital adoption, increasing investments in automation and technology modernisation, the accelerating adoption of Artificial Intelligence, and the emergence of AI-enabled technologies and solutions. We believe our businesses are at an inflection point, with several of our key segments at the cusp of significant scale-up and breakout. This creates a substantial and unprecedented opportunity for Aurionpro to deepen its market presence, expand its addressable market and build sustained, long-term value. At the same time, the Company remains mindful of potential macroeconomic, geopolitical, regulatory and technology-related disruptions, as well as changes in customer spending cycles and competitive intensity. Our diversified business model, continued investment in technology and capabilities, and focus on execution provide a strong foundation to navigate these uncertainties while capitalising on the opportunities ahead.

6. RISKS AND CONCERNS

The corporate risk landscape is evolving rapidly, shaped by technological advancements, geopolitical developments, macroeconomic uncertainties and other emerging challenges. A companys risk profile encompasses the internal and external factors that could adversely impact its business operations, financial performance, stability and long-term growth, as well as the measures undertaken to manage and mitigate such risks. In this dynamic environment, organisations must continuously monitor the evolving risk landscape and build resilience to anticipate, respond to and manage potential risks effectively. At Aurionpro, risk management is an integral part of our governance and decision-making framework. The Audit Committee and Risk Management Committee oversee a structured and disciplined risk management process to identify, assess, evaluate and monitor key risks across the organisation. The Company has established appropriate controls, mitigation measures and contingency plans to address identified risks and minimise their potential impact. The Management periodically reviews the risk environment and the effectiveness of existing mitigation measures and takes appropriate corrective or preventive actions, wherever required. This proactive and continuous approach enables Aurionpro to remain resilient while pursuing its strategic objectives and sustainable long-term growth. The key risks and uncertainties are noted hereinbelow:

- Our business depends on our ability to remain updated with new technologies and continue to develop solutions to address the needs of our customers, failing which our business and results of operations could suffer. Our new offerings may fail to attain sufficient market acceptance for many reasons, including: defects, errors, or failures or our inability to satisfy customer service level requirements; negative publicity or negative private statements about the security, performance, or effectiveness of our offerings. We mitigate this risk through several strategies. We invest a significant amount in R&D and plan to maintain this level of spending in the coming year. Additionally, we conduct thorough market research and intelligence gathering, and utilize customer feedback mechanisms to guide our R&D efforts.

- Our ability to maintain and renew existing engagements and obtain new business will depend, in large part, on our ability to attract, train and retain IT professionals. If

we are unable to attract and retain the IT professionals we need, we may have to forgo projects for lack of resources or be unable to staff projects optimally. Our failure to attract, train and retain IT professionals with the qualifications necessary to fulfil the needs of our existing and future customers or to assimilate new IT professionals successfully could adversely affect our business, cash flows, financial condition and results of operations. The company has implemented various initiatives focused on employee motivation and retention, actively taking measures to support these goals. We have an attrition rate lower than the industry average. We are committed to fostering a positive and engaging work environment.

- The market that we operate in is highly competitive, and we expect competition to persist and intensify. We believe that the principal competitive factors in our markets are reputation and track record, industry expertise, breadth and depth of service offerings, quality of the services offered, language, marketing and selling skills, scalability of infrastructure, ability to address customers timing requirements and price. We face competition from offshore IT services providers in emerging outsourcing destinations with low wage costs as well as competition from large, global consulting and outsourcing firms.

- As part of our growth strategy, we may invest in or collaborate with and acquire stake in companies that are complementary to our business and offerings. In line with this strategy, we have completed certain acquisitions in the past. We cannot assure you that such investments and acquisitions will achieve their anticipated benefits. We may not be able to integrate acquired operations, personnel and technologies successfully or effectively manage our combined business following such acquisitions. Acquisitions, investments, and strategic partnerships typically involve uncertainties and risks, which are applicable to and would impact our ability to grow through acquisitions and/or consolidation of businesses and entities.

- The increasing frequency, sophistication and evolving nature of cyberattacks and data breaches represent a significant and growing risk for organisations globally. Cyber threats, including unauthorised access, malware, ransomware, phishing, data theft and other forms of cyber intrusion, may target critical systems, applications, networks and information assets. A successful cyberattack or security breach could result in disruption of business operations, loss or compromise of sensitive information, financial losses, reputational damage, regulatory consequences and increased costs associated with investigation, remediation and recovery. The Company recognises cybersecurity and data protection as a critical business risk and continues to strengthen its systems, processes and controls to address this evolving threat landscape. Our in-house technology and cybersecurity teams continuously monitor the Companys IT environment, identify potential vulnerabilities and implement appropriate preventive, detective and corrective measures.

- The global geopolitical environment remains subject to heightened uncertainty arising from conflicts, trade restrictions, regional tensions and other geopolitical developments. Such developments may disrupt global supply chains, logistics and availability of critical components and materials, resulting in extended procurement and delivery timelines and increased input, freight and other operating costs. Sustained or unexpected cost escalation could exert pressure on project margins and, in certain cases, may affect the Companys ability to adhere to planned delivery schedules and execution timelines. The Company continues to monitor geopolitical developments closely, diversify sourcing wherever feasible and proactively manage procurement and project execution to minimise potential disruptions and their impact on operations.

- The evolving global trade environment, including the imposition or revision of tariffs, duties, import restrictions and other trade- related measures, may impact sourcing costs, market access and the economics of certain business opportunities. Frequent changes in trade policies could require the Company to continuously recalibrate its sourcing strategies, supply chains, pricing models and broader business models. The Company remains agile in responding to such changes and evaluates its operating and commercial strategies on an ongoing basis to manage their potential impact.

- The Company has exposure to foreign currency movements arising from its international operations, cross-border transactions and foreign currency denominated receivables and payables. Volatility in exchange rates may impact revenues, costs, margins and the reported value of overseas operations. The Company monitors currency exposures on an ongoing basis and undertakes appropriate measures, including natural hedging and other risk-management mechanisms where considered appropriate, to mitigate the potential impact of adverse currency movements.

- Our success largely depends on our ability to use and develop our technological solutions without infringing the intellectual property rights of third parties, including patents, copyrights, trade secrets and trademarks. We may be subject to litigation involving claims of patent infringement or violation of other intellectual property rights of third parties. We typically indemnify customers who purchase our services and solutions against potential infringement of intellectual property rights, which subjects us to the risk of indemnification claims. These claims may require us to initiate or defend protracted and costly litigation on behalf of our customers, regardless of the merits of these claims and are often not subject to liability limits or exclusion of consequential, indirect or punitive damages. If any of these claims succeed, we may be forced to pay damages on behalf of our customers, redesign or cease offering our infringing services or solutions, or obtain licenses for the intellectual property such services or solutions infringe. If we cannot obtain all necessary licenses on commercially reasonable terms, our customers may be forced to stop using our services or solutions. The company has a robust mechanism in place to protect its intellectual property and has established policies and procedures to ensure that it does not infringe on any third-party intellectual property rights.

7. RESEARCH AND DEVELOPMENTS

Innovation and intellectual property remain key pillars of Aurionpros long-term growth strategy. The Company has consistently maintained a strong R&D investment intensity, allocating approximately 7-8% of revenue towards research and development over the years. These investments are focused on building differentiated and superior intellectual property across our key business segments and strengthening the depth and maturity of our technology offerings.

Our R&D efforts are directed towards developing scalable, high-value solutions that address complex customer requirements, enhance customer experience and create sustainable competitive differentiation. As our businesses scale, continued investment in proprietary technology and domain-led innovation is expected to further strengthen our market positioning, expand our addressable opportunities and support long-term profitable growth. Our R&D investments are increasingly focused on building differentiated technology platforms and intellectual property across our key growth businesses.

In Banking and AI Software, we are rebuilding the banking technology stack around AurionAI, with a focus on Al-native products and agentic architectures. During the year, we launched a fully AI-native trade finance platform built from the ground up on an agentic architecture, rather than as an AI layer over a legacy product. The platform is designed around agent-led workflows, foundation models that can reason over banking data, and real-time decisionmaking. A pipeline of additional AI-native applications, including offerings in emerging use cases, is under accelerated development and is expected to be introduced over the coming quarters. Through Arya and Lexsi Labs, we are also investing in proprietary AI research, including foundation models tuned specifically for banking workflows. We believe that domain- specific intelligence, developed with a deep understanding of banking data, workflows and regulatory requirements, will be an important source of sustainable differentiation as AI adoption accelerates across financial services.

In Transit and Automated Fare Collection, our R&D investments span the entire technology stack, including software, systems and hardware. We believe that end-to-end ownership of the technology stack provides greater control over product innovation, integration, deployment and customer experience, while creating stronger differentiation as the global transit technology market expands. Our investments are therefore aimed at strengthening our capabilities across the stack and enabling us to participate in larger and more complex opportunities.

In the Data Centre segment, as we deepen our engagements with hyperscalers and strengthen our position as an emerging player in the rapidly evolving data centre market, R&D is focused on developing differentiated solutions and capabilities aligned with emerging industry requirements. We have already launched solutions across Edge Data Centres, Containerised Data Centres and AI Data Centres, and continue to invest in technologies that can enhance our competitive positioning and expand our addressable market as data centre infrastructure evolves towards higher levels of modularity, efficiency and Al-readiness.

Overall, these investments reflect our strategy of using R&D not only to enhance existing offerings, but also to build new intellectual property, enter emerging technology categories and create scalable platforms that can support the Companys next phase of growth.

These investments have translated into a series of breakthrough product launches across all our business segments. Notably, the year witnessed pioneering developments in the transit space as well as the launch of arya.xai, our cutting-edge explainable enterprise AI solution, which marks a significant milestone in our innovation journey.

Looking ahead, we will continue to step up R&D spending and foster a culture of innovation across the organization. This focus will ensure that Aurionpro remains at the forefront of technological advancements while strengthening our portfolio of IP-driven offerings.

8. FUTURE OUTLOOK

We began FY 27 with an order book exceeding 1800 crore and a healthy pipeline across all business segments, providing strong revenue visibility and a solid foundation for the year ahead. The Company remains well positioned to leverage the structural growth opportunities emerging across its key markets, supported by increasing digital adoption, technology-led transformation and growing demand for its differentiated solutions.

At the same time, the Company remains cognisant of the evolving macroeconomic and geopolitical environment, which could impact the pace of deal closures and project execution. Despite these near-term uncertainties, the Company remains confident in its medium- term growth trajectory. The strength of the order book, healthy opportunity pipeline, increasing scale across its businesses and continued investments in technology and intellectual property provide a strong platform for sustainable growth. The Companys conviction in its Vision 2030 strategy remains firmly intact, with continued focus on scaling its core businesses, expanding its addressable markets, strengthening its competitive positioning and building differentiated technology capabilities.

Going forward, Aurionpro will remain focused on disciplined execution, prudent capital allocation and sustained investments in innovation, while remaining agile in responding to changing market conditions. The Company believes that the opportunities across its businesses remain substantial and that its investments and strategic initiatives position it well to participate in the next phase of technology-led growth.

DISCUSSION ON CONSOLIDATED FINANCIAL PERFORMANCE WITH RESPECT TO OPERATIONAL PERFORMANCE

• Revenue from operations

Our revenues are derived from Sale of Software Services & Sale of equipment and product license. During the year, the total revenue from operations was 1,41,108.51 lakhs against 1,17,296.71 Lakhs for the previous year.

• Operating and other expense

The operating and other expenses comprise of Software licenses and material costs, Administration and other general functions, travelling, communication, legal and professional charges, rent, repairs and maintenance, recruitment and training and other allocated infrastructure expenses.

During the year, the operating and other expenses were 53,980.97 lakhs as against 48,918.93 lakhs in the previous year

• Employee Benefit Expenses

During the year, the Employee Cost was 58,892.96 lakhs as against 44,204.34 lakhs in the previous year.

• Earnings before interest, taxes, depreciation and amortization (EBITDA) excluding other income.

During the year, our operating Profit was 28,270.04 lakhs as against 24,173.44 Lakhs for the previous year.

• Depreciation and amortisation expense

The depreciation and amortisation on Property Plant & Equipment (PPE), Other Intangible Assets and Right to Use Assets was 3,927.68 lakhs for the year as against 2,642.83 lakhs during the previous year. As percentage of revenue, it was 3% and 2% for the year and previous year respectively.

• Other Income

Other Income primarily consists of interest income, dividend income, Foreign exchange fluctuation gain, Rental income and other miscellaneous income. Other income for the year was 2,932.94 lakhs compared to 2,016.64 Lakhs for the previous year.

• Profit before tax (PBT)

Net Profit before tax from Operations for the year was 25,247.42 lakhs i.e. 18% of revenue, vis -a-vis 22,520.94 Lakhs, i.e. 19 % of revenue for the previous year.

• Tax expense

Current tax expense from Continuing Operations was 5,222.47 lakhs as against 3,817.69 Lakhs for the previous year and Deferred tax (credit)/charge was (1,108.95) lakhs as against Deferred tax (credit)/ charge of (95.33) lakhs for the previous year from Continuing Operations.

• Profit after tax (PAT)

Net Profit after tax for the year was 21,178.50 lakhs i.e. 15% of revenue, vis-a-vis 18,842.80 Lakhs, i.e. 16 % of revenue for the previous year.

• Other Equity

Other Equity as at 31 March 2026 Increased to 1,68,374.39 lakhs as compared with 1,44,954.81 Lakhs as at 31 March 2025.

• Short-term and long-term borrowing

The total short-term and long-term borrowing as at 31 March 2026 was 5,135.95 lakhs as against 1,744.22 Lakhs as at 31 March 2025.

• Trade Payable and other current liabilities

The total trade payable and other current liabilities (financial and Non-Financials) increased by 14,508.48 lakhs from 37,601.09 lakhs on 31 March 2025 to 52,109.57 Lakhs on 31 March 2026.

• PPE, Other Intangible Assets and capital work in progress

The Net Block of PPE, Other Intangible Assets and capital work in progress Increased by 5,901.77 Lakhs from 22,201.19 Lakhs as on 31 March 2025 to 28,102.96 Lakhs on 31 March 2026.

• Other Non-Current Assets (Financials and Non-Financials)

There was an increase in Long-term loans and advances from 5,008.75 Lakhs on 31 March 2025 to 12,887.95 Lakhs on 31 March 2026.

• Trade receivables

Trade receivables as on 31 March 2026 were 37,694.25 Lakhs against 30,590.24 Lakhs on 31 March 2025. In the opinion of management, all the Trade receivables are good, recoverable and necessary provision has been made for debts considered to be bad and doubtful. The level of receivables is normal and is in tune with business requirements and trends.

• Cash and cash equivalents

The cash and bank balances lying with the company as on 31 March 2026 were 13,187.09 lakhs as against 26,864.88 lakhs in the previous year.

Key Financial Ratio:

Sr. No. Ratio	FY2026	FY2025
1 Debtors Turnover Ratio	3.74	3.83
2 Current Ratio	2.41	2.95
3 Debt Equity Ratio*	0.03	0.01
4 Interest Coverage Ratio	76.21	70.28
5 Operating profit margin	27.7%	27.9%
6 EBITDA Margin	20.0%	20.6%
7 Net Profit Margin	15.0%	16.1%
8 Inventory Turnover Ratio	8.19	8.83
9 Return on Net Worth (RONW)	12.1%	12.5%

* Due to increase in borrowings.

9. INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY:

The Directors Report section in the Annual Report discusses the adequacy of our internal control system and procedures.

10. MATERIAL DEVELOPMENTS IN HUMAN RESOURCES / INDUSTRIAL RELATIONS FRONT, INCLUDING NUMBER OF PEOPLE EMPLOYED:

The Employees are critical assets for the company, over a period Aurionpro has built a strong team consisting if domain experts. Our personnel policies are focused on creating an environment which will derive best returns for the organisation as well as the concerned employees. The company has strengthened its workforce by employing more than 2706+ employees at group level.

11. CONCLUSION:

Digital will continue to drive the IT industry agenda for 2026. Companies must holistically assess their weaknesses and strengthen their digital and governance capabilities. Cloud, Artificial intelligence, Platform Engineering, Automation, and Cybersecurity will drive the agenda for many CXOs globally. Strategic execution becomes very critical in an uncertain environment where attrition, inflation, skill shortages, higher wages, and shrinking demand are inevitable.