B C C Fuba India Ltd Management Discussions

Dear Stakeholders,

Company Overview

Established in 1985, B C C Fuba India Limited was among the first professional-grade PCB manufacturers in India. The company originated as a joint venture with Fuba Hans Kolbe & Co., Germany, Europes largest PCB manufacturer, and DEG, a leading European financial institution.

From the outset, the facility was equipped with advanced machinery sourced from Germany, Italy, France, the UK, and the USA. This technological foundation, combined with proprietary processes from Fuba Hans Kolbe & Co., enabled the company to deliver world-class quality. Over the years, B C C Fuba India Limited has consistently upgraded its capabilities to align with evolving technologies and customer requirements.

Today, the company stands as a trusted name in the PCB industry, backed by cutting-edge equipment, a highly skilled workforce, and an unwavering commitment to excellence.

In alignment with its long-term strategic vision, BCC Fuba India Limited has recently undertaken a significant step in forward integration by acquiring ioGems Technologies Private Limited. This acquisition marks the groups expansion beyond traditional PCB manufacturing into the domain of Electronic Manufacturing Services (EMS).

Through this forward integration, the group now offers end-to-end solutions · from raw PCB production to fully assembled boards ready for integration into electronic devices. This strategic move strengthens the companys position across the electronics value chain, enhances customer engagement, and creates new opportunities in high- growth sectors such as automotive electronics, e-mobility, telecom, and consumer electronics.

Indias PCB industry is entering a transformative phase, supported by strong government initiatives and global supply chain realignments.

• Policy Support:

The Electronics Components Manufacturing Scheme (ECMS), expanded to Rs.40,000 crore in Union Budget 2026-27, has already attracted investments exceeding Rs.1.15 lakh crore.

These initiatives are expected to generate 25 lakh jobs and significantly reduce import dependency.

• Recent Developments:

Approvals for new copper-clad laminate facilities, and advanced HDI PCB manufacturing units mark a decisive step toward self-reliance.

These projects will strengthen Indias capabilities in next-generation PCB technologies critical for EVs, 5G, telecom, and consumer electronics.

• Market Expansion:

Electronics production has grown six-fold, from Rs.1.9 lakh crore in 2014-15 to Rs.11.3 lakh crore in 2024-25.

Electronics exports reached USD 22.2 billion in the first half of FY 2025-26, making electronics Indias third- largest export category.

With the governments target of USD 500 billion electronics manufacturing by 2030-31, PCB and PCBA segments are expected to sustain double-digit CAGR growth.

India is now positioned to evolve from an import-dependent market into a globally competitive hub for PCB and PCBA manufacturing by 2030.

Building on the strong momentum of the previous year, FY 2025-26 marked another breakthrough for the company. Revenue surged to Rs. 72,65,42,289 from Rs. 47,06,85,780 achieved in the previous year, representing a 54.4% increase. Earnings Before Interest, Depreciation and Tax (EBITDA) followed a similar trajectory, climbing to Rs.10,78,92,895, a 55.80% rise from Rs. 6,92,52,586 achieved in the previous year. This consistent upward trend underscores the companys strong market positioning, operational resilience, and ability to capture opportunities across high-growth sectors such as automotive electronics, e-mobility, and industrial electronics.

The strength of the "FUBA" brand continues to attract new customers while deepening relationships with existing clients. A sustained focus on product excellence, customer satisfaction, and cost efficiency has reinforced the companys competitive position both domestically and internationally.

The increasing digitization of industries and the proliferation of smart devices are driving demand for PCBs. Emerging technologies in consumer electronics, automotive, healthcare, and industrial automation are creating new opportunities. With advanced manufacturing capabilities, B C C Fuba India Limited is well-positioned to capitalize on these trends.

The company maintains a comprehensive internal control framework designed to safeguard assets, ensure accuracy in financial reporting, and promote operational efficiency. This system is reinforced by:

• Regular internal audits

• Management reviews

• Documented policies and procedures

Industrial relations remain cordial, fostering a positive organizational culture. The company invests in continuous training and skill development programs to empower employees and align them with industry advancements. This commitment enhances employee satisfaction, drives innovation, and strengthens competitiveness, particularly in high-growth sectors such as e-mobility.

The details of significant changes (25% or more) in the key financial ratios in FY26 compared to FY25 is as follows:

The statements in this Management Discussion and Analysis are based on projections and estimates. Actual results may differ materially due to economic conditions, market dynamics, and other external factors.