BLB Ltd Management Discussions

MACRO ECONOMY: REVIEW AND OUTLOOK

In 2024, the global economy navigated moderate growth amidst persistent inflationay pressures and geopolitical instability. A year marked by significant global elections, the immediate impact of which is evident, while long-teDm effects remain to be seen, added another layer of complexity.

Monetay policy, paticularly interest rate adjustments in major economies, remained a central focus. Emerging markets exhibited diverse pefocmance, influenced by commodity markets and debt vulnerabilities. Trade tensions and supply chain dis uptions continued to strain global commerce and investment, while geopolitical volatility persisted.

Looking ahead, the global economy in 2025 is projected to grow at a low but steady rate. Geopolitical tensions and trade uncetainties remain significant isks to the global economy.

A balanced policy approach is essential to manage these isks, enhancing medium-teDm growth prospects through stuctural refocms and stronger multilateral cooperation.

CAPITAL MARKETS

Capital markets are central to Indias growth stocy, catalysing capital focmation for the real economy, enhancing the financialisation of domestic savings, and enabling wealth creation.

The Indian stock market has achieved new highs, with inteDmittent corections, in the midst of geopolitical uncetainties, curency depreciation and domestic market volatility challenges. This growth, combined with active listing activity and recent measures by the regulator, viz. Secuities and Exchange Board of India (SEBI), to temper excesses, is expected to foster sustainable market expansion.

The Indian stock market ended FY 2025 with modest gains, despite substantial FPI outflows in the second half. The Nifty delivered positive retuTns for its investors in FY 2024-25, outpeTfocming cetain Asian indices.

The NSE and BSE midcap and smallcap indices closed the FY 2024-25 on a strong note, d3iven by market rebound, increased retail investor paticipation, and attractive valuations. Despite earlier conce?ns over valuations and volatility, renewed optimism in the broader market suppoted gains in these segments.

Post-COVID, one of the most stiking developments has been the surge in retail investor paticipation, reflected in the sharp increase in new demat accounts opened over the years. The peiod since the pandemic has seen a surge in individual and household paticipation as capital market investors through direct (trading in markets through their accounts) and indirect (through mutual funds) channels.

Healthy corporate eanings, stable macro fundamentals, efficient and robust technology architecture facilitating efficient trading, cleaing, and depositocy systems, and tTust ganered by mutual fund ecosystem and online digital investment platfocms have encouraged greater paticipation in capital markets.

Higher investor paticipation has engendered a self-reinforcing cycle of strong market retuTns, b inging in even more investors. This, in tun, will eventually transfocm the secuities market into a more diverse, inclusive, and robust platfocm for wealth creation. The mutual fund industy has also grown well in the last few years and is now cucial in channeling financial savings towards isk capital focmation and leveraging technology and innovation.

INDUSTRY STRUCTURE AND DEVELOPMENTS

India to remain relatively insulated against the global shocks in the near future and continue to grow strongly. The stuctural long-teDm growth stocy for India remains intact d3iven by favourable demographics and stable goveDnance.

Indias growth outlook for FY 2025-26 is likely to be suppoted by resilient domestic d3ivers, even though the overhang of global headwinds remains.

The Indian goveDnments push towards digitization, energy transition, and development of key sectors like manufactuing and sevices is expected to provide futher impetus to economic activity.

OPPORTUNITIES AND THREATS

Oppotunities

Favourable demographics

Growing demand for financial products in semi-urban and ural areas

Increase in financial savings to d3ive capital market investment

Technology advancement

Long-teDm economic outlook positive, will lead to oppotunity for financial sevices

Corporates looking at consolidation / acquisitions / restCuctuing opens out oppotunities for the corporate advisoCy business

Threats

Spread of Pandemic

Indias lower sovereign rating

Increase in interest rates making debt more attractive, impacting flows into equity market

Technological dis uptions

Execution isk

Regulatocy changes

Threats to cyber secuity, regulatocy overhauls and data pivacy are potential threats to the financial sevices sector.

SEGMENT WISE PERFORMANCE FINANCIAL PERFORMANCE

Your Company operates in only one segment i.e., trading and investment in Shares and Secuities.

The Board of Directors pima ily uses a measure of adjusted eanings before interest, tax, depreciation and amoDtization (adjusted EBITDA) to assess the pefocmance of the operating segments. However, the Board of Directors also receives infocmation about the segments revenue and assets on a peiodical basis.

The tunover of your Company had increased to Rs. 53,923.37 lakhs as against Rs. 31,438.27 lakhs in the previous financial year and profit after tax had increased to Rs. 386.06 Lakhs as against Rs. 261.11 Lakhs in the previous financial year

OUTLOOK, RISKS AND CONCERNS

The nature of Companys business is susceptible to vaious kinds of isks. The Company encounters isks like Market Risk, Credit Risk, Technology Risk, Reputation Risk, Regulatocy & Compliance Risk, Operational Risks on daily business operations.

For overcoming such isks Company has framed comprehensive isk management techniques and safeguards, to ensure that major isks are properly assessed, analyzed and appropiate mitigation tools are applied.

These techniques remain dynamic and align with the continuing requirements and demands of the market.

Our Outlook, isks and conce?ns are as follows:

Spending on technology products and Sevices including both the economic and regulatocy requirement in the market.

We have reduced debt on the balance sheet to nearly zero and as we have auticulated in the past, we do not expect to leverage the balance sheet. Our focus will be on generating income from trading and investment in secuities market.

INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY

BLB Limited has an adequate inteDnal audit and control system. Risk based inteDnal audit, through exteDnal audit fims, are being conducted peiodically to independently evaluate adequacy of inteDnal controls, adherence of processes and procedures and compliance of regulatocy and legal requirements.

The inteDnal audit programme is peiodically reviewed by Audit Committee of Board, which is chaired by Independent Director, for its effectiveness and timely repoting. The inteDnal control procedures include segregation of roles and responsibilities, independent confi?mations, physical veDifications and preventive checks on compliance isk.

Statutocy and standard auditing practices employed include, interalia, compliance to accounting and auditing standards, compliance of all relevant ules & regulations, tax laws and review of related paty transactions.

We believes in conduct of its affairs in a fair and transparent manner by adopting highest standards of professionalism, honesty, integity and ethical behavior.

MATERIAL DEVELOPMENTS IN HUMAN RESOUCE/ INDUSTRIAL RELATIONS FRONT, INCLUDING NUMBER OF PEOPLE EMPLOYED

At BLB, it is our endeavour to create an employee centic culture. The knowledge, skill, competencies of the employees are being continuously developed by way of proper training programs. Company emphasizes in improving the efficiency and skills of employees by adopting Total Quality Management (TQM) Technique, this helps employees to resolve problems through a pro active approach. We believe in growing with the growth of employees.

The company has also organized motivational activities for its employees. We have always stive to act as a catalyst in achieving the goals of the organization by developing the capabilities of the employees.

DETAILS OF SIGNIFICANT CHANGES

As per the amendment made under Schedule V to the Listing Regulations read with Regulation 34(3) of the Listing Regulations, details of significant changes (i.e. change of 25% or more as compared to the immediately previous financial year) in Key Financial Ratios and any changes in RetuTn on Net Wocth of the Company including explanations therefor are given below:

No.	March 31, 2024	March 31, 2025	reason thereof
1. Curent Ratio	40.54	73.02	Improved due to reduction in the Curent
			liabilities as compared to previous year.
2. Debt Equity Ratio	0.00	0.00	-
3. RetuTn on Equity	2.75	3.99	Increased due to increase in net profits of the
			Company.
4. Debt SeTvice	1.51	87.44	Improved due to decrease in pincipal
Coverage Ratio			repayment of borowings as compared to
			previous years.
5. Inventocy Tucnover	12.40	22.17	Improved due to increase in tunover duing
Ratio			the year
6. Net Capital Tucnover	3.80	8.01	Improved due to increase in tunover duing
Ratio			the year
7. Net Profit Ratio	0.83	0.72	Decreased due to low profitability duing the
			year.
8. RetuTn on Capital	4.20	5.74	Increased due to increase in operating
Employed			profits as compared to previous years.

DISCLOSURE OF ACCOUNTING TREATMENT

The financial statements of the Company have been prepared in accordance with the Section 133 of the Companies Act, 2013 and Indian Accounting Standard Rules, 2015, which became applicable on the Company w.e.f. 01.04.2017. The significant accounting policies which are consistently applied are set out in the Notes to the Financial Statements.

CAUTIONARY NOTE

All statements that address expectations or projections about future, but not limited to the companys/ groups strategy for growth, product development, market position, expenditures and financial results may be focward looking statements within the meaning of applicable ules and regulations. Since these are based on cetain assumptions and expectations of future events, the company cannot guarantee that these are accurate or will be realized.

The company assumes no responsibility to publicly amend, modify or revise any such statements on the basis of subsequent developments, infocmation or events.

For and on behalf of the Board of Directors of BLB Limited

Sd/- B ij Rattan Bag i Chaiman & Managing Director DIN: 00007441 Place : New Delhi Date : July 22 2025