BLB Ltd Management Discussions

ANNEXURE - VIII

MACRO ECONOMY: REVIEW AND OUTLOOK

The global economy enters 2026 in a state of guarded resilience. Growth has held up better than anticipated through 2025, suppofited by strong labour markets in advanced economies, continued technology-led capital expenditure, and a gradual easing of financial conditions. However, the underlying momentum remains uneven and increasingly sensitive to policy shifts and geopolitical developments.

Financial year 2025-26 was a challenging year for global economies and financial markets. The world was dealing with multiple headwinds at the same time ongoing geopolitical tensions, shifting global trade dynamics including ta_iff-related uncefitainties, and fastpaced technological shifts that dis upted established business models.

As the year progressed, these pressures intensified with fresh bouts of adverse news - including the recent West Asia conflict - fufither weakening _isk appetite. Global investors tu_ned _isk-off in their outlook, leading to sustained FII outflows and heightened volatility across markets. Unsurp_isingly, this combination of factors weighed heavily on investor sentiment, resulting in Indian capital markets enteDing a phase of consolidation after several years of strong pe_focmance.

India continued to demonstrate strong macroeconomic resilience in FY26, with real GDP growth estimated at approximately 7.6%, maintaining its position among the fastest-growing major economies globally. Growth was p_ima_ily d_iven by robust domestic demand, suppofited by improving consumption, continued focmalization of the economy and stable macroeconomic conditions. Indias financial ecosystem continued to strengthen, underpinned by improving macro fundamentals, disciplined fiscal management and a stable banking sector.

Indias strong domestic fundamentals and continued policy suppofit, position the financial ecosystem for sustained, technology-led growth.

CAPITAL MARKETS

The Indian capital markets entered a phase of democratisation and stfluctural matu_ity in FY26, marked by healthy retail pafiticipation. Geopolitical tensions and shifts in global trade policies acted as retractive forces.

Indias capital market has, over the past few years, transitioned from a liquidity-d3iven expansion to a stflucturally deepening financial ecosystem. The evolution is no longer defined solely by index pe_focmance or episodic inflows, but by a sustained broadening of pafiticipation, increasing institutionalisation of savings, and a widening auray of capital focmation channels

In FY26, the regulatocy landscape for Indias capital markets continued to evolve towards a more transparent, technology-aligned and investorcent_ic framework, led by the Secu_ities and Exchange Board of India (SEBI). The year saw a clear shift toward building regulatocy stfluctures that are responsive to the growing digitisation of financial se_vices, while reinforcing market integ_ity and investor confidence.

While shott-teDm dis uptions and pe_iods of moderation are inevitable, the long-teDm stfluctural d3ivers of the Indian market remain fi_mly intact. At the aggregate level, India remains among the largest equity markets globally by market capitalisation, suppofited by sustained economic growth, improving corporate balance sheets, and _ising investor pafiticipation.

Secondacy market liquidity has remained robust even through phases of volatility, indicating that trading depth is now underpinned by stfluctural domestic flows rather than transient global liquidity cycles. This marks a distinct shift from earlier pe_iods when market direction and liquidity were dispropofitionately influenced by foreign pofitfolio investors.

The most significant long-teDm d3iver of Indias capital market is the steady financialisation of household savings. Traditionally concentrated in physical assets such as real estate and gold, incremental household savings are increasingly being channelled into financial inst_uments pafiticularly equities, mutual funds, and other managed products. This shift is being enabled by _ising per capita incomes, digital access to markets, simplified onboarding processes, and increasing awareness of long-teDm wealth creation through market-linked assets.

Indias p_ima y market has evolved into a robust and diversified platfocm for capital raising. After the post-pandemic surge and subsequent cofirection, the IPO market has demonstrated an ability to revive on a stronger footing, suppofited by domestic institutional flows and a deeper retail base.

INDUSTRY STRUCTURE AND DEVELOPMENTS

Looking ahead to FY2026 27, the outlook remains const?uctive, though somewhat more sensitive to exteDnal developments than in the recent past.

The trajectocy of Indias capital market is increasingly shaped by stfluctural rather than cyclical factors. Financialisation of savings, expansion of domestic institutional capital, and diversification of investment products are likely to remain the dominant themes over the medium teDm.

Indias ongoing infrast%ucture push, rapid digitalisation, focmalisation of economic activity, and expanding trade linkages through bilateral and multilateral agreements are likely to sustain medium-teDm growth. Increasing financialisation of household savings and deeper capital markets are also contcibuting to a more stable and diversified funding base for the economy. In summaDy, the Indian economy enters FY2026 27 from a position of relative strength, characteDised by robust domestic fundamentals, improving macroeconomic stability, and a gradually strengthening investment cycle. While extefinal _isks have become more pronounced, Indias policy framework, institutional resilience, and diversified growth d3ivers provide confidence that growth can be sustained at relatively high levels.

OPPORTUNITIES AND THREATS

Oppofitunities

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 oppofitunity for financial se_vices

Corporates looking at consolidation/ acquisitions/ restCuctu_ing opens out oppofitunities for the corporate advisoCy business

Threats

Spread of Pandemic

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

Technological dis uptions

Execution _isk

Regulatocy changes

SEGMENT WISE PERFORMANCE FINANCIAL PERFORMANCE

Your Company operates in only one segment i.e., trading and investment in Shares and Secu_ities.The Board of Directors p_ima ily uses a measure of adjusted ea_nings before interest, tax, depreciation and amoDtization (adjusted EBITDA) to assess the pe_focmance of the operating segments. However, the Board of Directors also receives infocmation about the segments revenue and assets on a pe_iodical basis.

Du_ing the financial year under review, the Company delivered an exceptional financial pe_focmance, reflecting the strength of its business model, effective execution of strategic initiatives and favourable market conditions.

The tu_nover of your Company had increased to Rs.74,401.40/- lakhs as against Rs.53,923.37/- lakhs in the previous financial year and profit after tax had increased to Rs.3,335.29/- Lakhs as against Rs.386.06/- Lakhs in the previous financial year reflecting a substantial growth over the preceding financial year.

Du_ing the Financial Year under review, the Company had incorporated one (1) Wholly Owned Subsidia_y Company namely M/s. BLB Growth Ventures Pxivate Limited.

OUTLOOK, RISKS AND CONCERNS

The nature of Companys business is susceptible to va_ious 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 approp_iate 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 Se_vices 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 secu_ities market.

INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY

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

The inteDnal audit programme is pe_iodically reviewed by Audit Committee of Board, which is chaired by Independent Director, for its effectiveness and timely repofiting. 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 pafity transactions.

We believes in conduct of its affairs in a fair and transparent manner by adopting highest standards of professionalism, honesty, integ_ity 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 cent_ic 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 st_ive 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:

Pauticulars	Previous F.Y.	Cufirent F.Y.	Changes, if any, and reason thereof
	March 31, 2025	March 31, 2026
Cufirent Ratio	70.58	20.10	Du_ing the year, there is a change in the Cufirent Ratio due to movement of FDRs from cufirent assets to non-cufirent assets.
Debt Equity Ratio	0.31	0.21	Du_ing the year, there is a change in the Debt Equity Ratio due to increase in shareholders funds due to increase in profits.
RetuTn on Equity	3.97	25.59	RetuTn on Equity Ratio has increased due to increase in net profits du_ing the year.
Debt SeTvice Coverage Ratio	1.89	71.94	The Debt se_vice coverage ratio has improved due increase in the profits.
Inventocy Tucnover Ratio	22.17	39.64	Inventocy Tucnover Ratio has improved due to increase in tu_nover du_ing the year.
Net Capital Tucnover Ratio	8.30	13.45	Du_ing the year, there is a change in the ratio due to increase in tu_nover and decrease in working capital.
Net Profit Ratio	0.01	0.04	The Net Profit ratio has increased due to increase in profits du_ing the year.
RetuTn on Capital Employed	0.06	0.34	Du_ing the year, there is a change in this ratio due to increase in profits.

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 cefitain 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/-
	BDij Rattan BagTi
	Chai_man & Managing Director
	DIN: 00007441
Place : New Delhi
Date : June 24, 2026