Benchmark Computer Solutions Ltd Management Discussions

Benchmark Computer Solutions Limited is an IT infrastructure solutions and technology consulting company provides end-to-end technology and technology related services including:

i. IT Infrastructure Solutions

ii. Software and Web Based Application Development Services

iii. Annual Maintenance Contract (AMC) and Facility Management Services (FMS)

The Information Technology ("IT") hardware and solutions industry continue to play a significant role in supporting digital transformation across businesses, institutions and government organisations. The increasing adoption of digital technologies, cloud-based applications, data management systems, networking infrastructure, cybersecurity solutions and remote working platforms has contributed to sustained demand for IT hardware and related technology products and services.

Benchmark Computer Solutions Limited ("the Company") is engaged in the business of providing technology-related products and solutions to its customers. The Company operates in a competitive and rapidly evolving business environment where technological developments and changing customer expectations necessitate continuous adaptation.

During the financial year under review, the Company continued to focus on its core business activities while seeking opportunities to strengthen its operational capabilities and expand its customer base.

The management remains focused on maintaining a balanced approach towards growth, profitability, working capital management and operational efficiency. The Company continues to evaluate emerging opportunities in the technology sector and intends to leverage its experience, customer relationships and operational capabilities to achieve sustainable growth.

The Company provides all service models such as IaaS (Infrastructure as a Service), PaaS (Platform as a Service) and Saas (Software as a Service). The Service portfolio of the company comprises of IT Infrastructure and Solution Services, Software and web-based applications and Annual Maintenance Contract (AMC) and Facility Management Services (FMS). The Company has deep domain knowledge across industry sectors and technology expertise across traditional and new age technologies. Using its extensive understanding of its customers businesses and leveraging a combination of advanced technologies and expertise, company provides tailored solutions designed to deliver differentiated outcomes.

The Company believes that its ability to understand customer requirements, provide appropriate technology solutions and maintain service quality will remain important factors in strengthening its competitive position.

GLOBAL OUTLOOK

The global technology industry continues to evolve at a rapid pace, supported by increasing adoption of cloud computing, Artificial Intelligence ("AI"), Generative AI, automation, cybersecurity, data analytics, enterprise software and digital infrastructure.

Organisations globally are increasingly investing in technology to enhance operational efficiency, automate business processes, improve customer experience and support data-driven decision-making. The growing dependence on digital platforms and technology-enabled business processes is expected to continue supporting demand for computing devices, IT infrastructure, networking solutions and related technology products and services.

Artificial Intelligence and Generative AI have emerged as important drivers of technology investment. The increasing adoption of AI-enabled applications across business functions is expected to create new opportunities across the broader technology ecosystem.

At the same time, the industry continues to face challenges arising from rapid technological changes, product obsolescence, semiconductor availability, global supply-chain disruptions, cybersecurity threats, data privacy concerns and geopolitical developments. Foreign exchange fluctuations and changes in international trade policies may also affect the cost and availability of technology products and components.

The global technology ecosystem is also witnessing increasing emphasis on sustainable and energy-efficient technology infrastructure. Growing awareness regarding responsible resource utilisation, electronic waste management and environmental sustainability is expected to influence technology procurement and product development over the medium to long term.

Overall, the global technology industry outlook remains positive over the medium to long term, supported by continued digital transformation and technology adoption. However, businesses are expected to remain focused on operational resilience, cost efficiency, innovation, cybersecurity and adaptability.

INDIAN ECONOMIC AND INDUSTRY OUTLOOK:

India continues to remain one of the worlds major growing economies, supported by domestic consumption, infrastructure development, increasing digitalisation and continued investment in technology.

The Indian technology ecosystem is undergoing significant transformation, driven by increasing adoption of digital platforms, cloud-based solutions, Artificial Intelligence, cybersecurity, automation and data-driven business models.

The expansion of digital infrastructure and increasing technology adoption by enterprises, small and medium-sized businesses and institutions are expected to create sustained opportunities for companies operating in the IT and technology sector.

The increasing penetration of digital services, growth of e-commerce, expansion of remote and hybrid working models and ongoing modernisation of IT infrastructure are contributing to demand for computing devices, networking equipment and related technology solutions.

The Government of Indias continued focus on digitalisation, digital public infrastructure, electronics manufacturing and technology-led economic development is also expected to support the growth of the broader technology ecosystem.

However, the Indian technology industry remains competitive and is subject to various challenges, including pricing pressures, rapid technological changes, product obsolescence, supply-chain dependencies, fluctuations in foreign exchange rates and changing customer preferences.

In this environment, companies with strong customer relationships, efficient supply-chain management, operational flexibility and the ability to adapt to emerging technologies are expected to be better positioned to benefit from future growth opportunities.

The management of Benchmark Computer Solutions Limited remains cautiously optimistic about the medium- to long-term prospects of the Indian IT and technology market. The Company intends to focus on strengthening its existing operations, expanding its customer base, improving operational efficiency and identifying emerging opportunities in line with market developments.

INDIAN OUTLOOK

The Indian Information Technology ("IT") industry continues to be a significant contributor to the countrys economic growth and remains an important pillar of Indias global services and digital economy. The sector continues to benefit from sustained demand from international markets, particularly across digital transformation, cloud migration, Artificial Intelligence ("AI"), cybersecurity, data analytics and other technology-led services.

According to the latest NASSCOM Strategic Review 2026, the Indian technology sector is expected to cross USD 315 billion in revenue in FY 2025-26, reflecting continued expansion of the industry and a shift from scale-led growth towards value creation and innovation. The sectors direct technology workforce is projected to reach approximately 6 million professionals, representing an estimated 2.3% year-on-year increase and a net addition of approximately 135,000 employees.

The Indian IT ecosystem is undergoing a significant transformation, driven by rapid technological advancements, increasing adoption of cloud-native technologies, growing investments in AI and automation, and the continued modernisation of enterprise IT infrastructure. At the domestic level, accelerating digital adoption across businesses, government institutions and consumers is creating additional opportunities for technology companies.

STRONG GROWTH OPPORTUNITIES:

According to recent industry reports and analyses, the Indian IT services sector continues to present significant growth opportunities, supported by increasing adoption of digital technologies, cloud computing, infrastructure management, digital engineering and technology-led business transformation. The sector is expected to witness moderate yet

sustainable growth, driven by increasing technology investments and the continued digitalisation of enterprises across industries.

OUTLOOK FOR OUR COMPANY:

Benchmark Computer Solutions Limited remains cautiously optimistic about its business prospects and the growth opportunities emerging from the continued digital transformation of the global and Indian economy. The increasing adoption of cloud computing, IT infrastructure modernisation, automation, Artificial Intelligence ("AI"), cybersecurity and other emerging technologies is expected to drive sustained demand for technology products and solutions.

The Company intends to leverage the favourable industry environment by strengthening its existing business operations, deepening customer relationships and exploring opportunities to expand its customer base and market presence. The Company will continue to focus on understanding evolving customer requirements and providing reliable, efficient and cost- effective technology solutions.

With its continued focus on business development, customer-centricity, operational discipline and adaptability, Benchmark Computer Solutions Limited aims to strengthen its market position and create sustainable value for its shareholders and other stakeholders in the years ahead.

ANALYSIS OF FINANCIAL PERFORMANCE Standalone performance for the year ended 31^st March, 2026:

The Companys revenues from operations in FY 2025-26 is Rs. 6601.13 Lakhs as compared to Rs. 4342.99 Lakhs in the FY 2024-25 Profit Before Tax is Rs. 462.54 Lakhs 2025-26 as compared 227.01 Lakhs in FY 2024-25. Profit After Tax is Rs. 338.71 Lakhs in FY 2025-26 as compared 170.05 Lakhs in FY 2024-2025.

Rs. in Lakhs

Particulars	FY 2025-2026	FY 2024-2025
Revenue from operations	6601.13	4342.99
Other Income	92.55	96.06
Total Income	6693.68	4,439.05
Profit Before Tax	462.54	227.01
Profit After Tax	338.71	170.05

Segment Wise revenue

Rs. in Lakhs

Particulars	FY 2025-2026	FY 2024-2025
IT infrastructure solutions	5462.89	3543.33
Software and web- based Application development services	808.13	480.00
Application management service (AMS)	330.10	310.16
Leasing of Services	0.00	9.50
Total Revenue	6601.13	4342.99
Particulars	FY 2025-2026	FY 2024-2025
Services	1558.44	1428.82
Product	5042.69	2914.17
Total Revenue	6601.13	4342.99

Financial Ratios

Sr. No. Ratio	31.03.26	31.03.25	% Variance	Remarks
1 Current Ratio	2.32	2.54	-8.66%	-
2 Debt - Equity Ratio	0.10	0.22	-57.40%	The reduction in the Debt-Equity Ratio is on account of increased profits and prepayment of term loans by the Company.
3 Debt - Service Coverage Ratio	4.15	2.56	62.25%	-
4 Return on Equity Ratio	11.77%	6.48%	81.58%	-
6 Trade Receivables Turnover Ratio	8.41	5.95	41.26%	The Increase in Trade receivable turnover ratio is primarily due to increase in Turnover during the current financial year.
7 Trade Payables Turnover Ratio	6.02	4.62	30.50%	The increase in Trade Payables Turnover Ratio is attributable to increase in cost of goods sold and an increase in trade payables during the year.
8 Net Capital Turnover Ratio 3.37	2.38	41.63%	-
9 Net Profit Ratio 5.13%	3.92%	31.05%	-
10 Return on Capital Employed 15.30%	8.17%	87.17%	-

HUMAN RESOURCES AND INDUSTRIAL RELATIONS

Human resources continue to be a key enabler of the Companys sustainable growth and longterm success. In an increasingly technology-driven and competitive business environment, the knowledge, skills, commitment and adaptability of employees play an important role in strengthening organisational capabilities and delivering value to customers.

During FY 2025-26, the Company continued to focus on maintaining a conducive, inclusive and professional work environment that encourages employee engagement, teamwork, accountability and continuous learning. The Company recognises that attracting, developing and retaining capable talent is essential to support its business objectives and respond effectively to evolving market and technological requirements.

INTERNAL CONTROL SYSTEM AND THEIR ADEQUACY

Our internal control framework comprises appropriate policies, procedures, processes and monitoring mechanisms that are implemented across relevant operational and financial functions. The controls are designed to ensure that transactions are authorised, recorded and reported in accordance with established policies and applicable statutory and regulatory requirements.

The management periodically reviews the adequacy and effectiveness of the internal control systems and takes appropriate corrective measures, wherever required. The internal control framework is also supported by appropriate segregation of duties, defined levels of authority and regular review of financial and operational performance.

The Company remains committed to continuously strengthening its internal control environment in line with evolving business requirements, regulatory expectations and best practices

RISKS AND CONCERNS

The Company is exposed to normal industry risk factors. The management believes that the Companys existing risk management practices and internal control systems are adequate to identify and address material risks associated with its operations. However, the Company

remains vigilant and continues to review and strengthen its risk management framework in line with evolving business conditions and emerging risks.

CAUTIONARY STATEMENT

Statements in this Management Discussion and Analysis describing the Companys objectives, expectations, estimates or predictions may constitute "forward-looking statements" within the meaning of applicable securities laws and regulations.

Actual results may differ materially from those expressed or implied in such statements due to various factors, including changes in economic conditions, market demand, competition, technological developments, government policies, regulatory changes, availability of resources, supply-chain conditions, foreign exchange fluctuations and other risks and uncertainties affecting the Companys operations.

The Company assumes no responsibility for updating or revising any forward-looking statements in light of subsequent developments, events or circumstances.