Bloom Industries Ltd Management Discussions

In compliance with Regulation 34 of SLBI (Listing Obligation and Disclosure Requirements), Regulations, 2015 a detailed Management Discussion and Analysis Report form part of the Annual Report.

1. BACKGROUND

The Management Discussion and Analysis Report sets out the developments in the business, the Companys performance since last Report and the future outlook. This Report is a part of the Directors Report and the Audited Financial Statements, forming part of the Annual Report. However, certain statements made in this Report relating to the projections, outlook, expectations, estimates etc., may constitute forward looking statements within the meaning of applicable laws and regulations and may differ from actual. Several factors could make a significant difference to the Companys operations, including climatic conditions, economic conditions affecting demand and supply, government regulations, revision in government policies, taxation and natural calamities, over which the Company does not have any control.

2. INDUSTRY STRUCTURE AND DEVELOPMENTS

The Company is engaged in Trading of Iron & Steel and other items. No Research and development Work has been carried out by the Company and therefore, there is no expenditure on this head, nor has any benefit accrued from it to the Company.

3. OPPORTUNITIES

Since the Company earns income mainly from trading in Iron & Steels and other items. There are ample opportunities in the business of the Company.

4. THREATS

Like any other Business, this business also has a limited exposure to risks and uncertainties including risk inherent in the Companys growth strategy, future plans, and dependence on certain businesss, government policies, dependence on availability of qualified and trained manpower and other factors.

RISKS AND CONCERNS

The company is subject to following broad risks:

Operational Risk-

The Companys business is largely dependent upon people and processes. Any shortcomings in internal processes and system shall result into material adverse impacts on the operation and financial position of the Company.

Market Risk-

The Company is exposed to potential changes in value of financial instruments. Any decline in the price of investment in quoted securities may affect the financial performance and position. Market Risks may pertain to interest bearing securities (interest rate risk). Equities (equity price risk) and foreign exchange ratio risk (currency risk).

The Company continually monitors its portfolio and securities and the usage of derivatives to minimize such risks.

Liquidity Risk-

Severe liquidity crunch in the market and associated market disruptions shall withhold the clients from honoring their commitment towards the Company which would indirectly lead to the Companys inability to perform its financial obligations.

Regulatory and Compliance Risk-

New laws or regulations or changes in the enforcement of existing laws and regulations could invite inadvertent non compliances with the regulations leading to strictures/penalties and even punitive action from the Regulators.

Reputation Risk-

Companys reputation is a vital ingredient to business success, whether in regards to customer trust or employee loyalty. Reputation Risk is a very high risk factor and cause long term or irreparable loss to the business or profitability.

Outlook

Almost all major central banks have pledged to continue an accommodative monetary stance to reinforce the economic green shoots. Economic growth is expected to bounce back strongly in FY 2026-27 on the global as well as the domestic front. However, a lot would hinge on how the pandemic plays out.

5. INTERNAL CONTROL SYSTEM & ADEQUACY

Bloom Industries Limited has an adequate system of internal controls to ensure that the assets are safeguarded, and protected against loss from unauthorized use of disposition, and that transactions are authorized, recorded and reported correctly. The Company engages a detailed process of internal audits, reviews by management, and documented policies, guidelines and procedures to ensure that the financial records are relevant and reliable.

The Companys internal audit systems independently oversee the operations of the organization regularly. The Company management assessed the effectiveness of the Companys internal control over financial reporting as of March 31, 2026.

The Companys internal audit systems independently oversee the operations of the organization regularly. M/s. Tibrewal Chand & Co., the statutory auditors of the Company has audited the financial statements included in this annual report and has issued a report on our internal control over financial reporting (as defined in section 143 of Companies Act 2013.

6. FINANCIAL PERFORMANCE

(Rs. In Lakhs)

PARTICULARS	2025-2026	2024-2025
Income from Operating	1412.23	2356.26
Other Income	135.49	17.65
Profit before Depreciation and Exceptional Items	125.45	60.88
Less: Depreciation	2.81	0.70
Add/(Less): Exceptional items	?	?
Profit/ (Loss) before fax	122.64	60.18
Less: Provision for Taxation	7.32	10.77
Profit/ (Loss) after Tax	115.32	49.41

7. HUMAN RESOURCES MANAGEMENT

1IR at Bloom Industries Limited is focused towards building & reinforcing a foundation for long term sustainability and taking engagement with its employees to a superior level of trust and enduring partnership.

Bloom Industries Limiteds HR policies & practices are in sync with its organizational strategy to drive company values and culture. The policies and practices are continuously monitored, evaluated & fine-tuned to keep them abreast and aligned with changing business dynamics, statutory requirements and in relevance to the jurisdiction. Special efforts and initiatives are undertaken to attract, recruit & select best of the talents to reinforce the skilled resource pool for the Company.

Material Development in Human Resources/ Industrial relation front has been dealt with in the Directors Report, under the head Human Resources, which should be treated as forming part of this management and discussion analysis as at 31st March 2026.

8. KEY FINANCIAL RATIOS:

DETAILS OF SIGNIFICANT CHANGES IN KEY FINANCIAL RATIOS, ALONG WITH DETAILED EXPLANATIONS THEREFORE:

RATIO ANALYSIS	2026	2025	REMARKS
Debtor Turnover	0.26	0.13	Increase by 1.00 (*)
Inventor} Turnover	NA	NA	?
Operating Profit Ratio %	-0.91%	1.81%	Decrease by 50.27%(**)
Net Profit Ratio%	8.17%	2.10%	Increase by 389.05% (***)
Debts Equity Ratio%	0.48	0.53	Decrease by 0.09 (****)
Debt Service Coverage Ratio	30.02	0.19	Increase by 158.00 (*****)
Interest Coverage Ratio%	3.38	1.75	Increase by 1.93 (******)
Current Ratio	1.04	0.70	Increase by 1.49 (*******)
Return on Net-worth %	10.83%	9.55%	Increase by 13.40%(********)

NOTE:

(*) Majorly due to decrease in turnover in FY 2025-26.

(**) Majorly due to Business conditions in the market in FY 2025-26.

(***) Majorly due to Favorable Business condition & other income during FY 2025-26. (****) Due to repayment of Long term Loans in FY 2025-26.

(*****) Due to repayment of Term loans during FY 2025-26.

(******) Due to decrease in Interest paid & increase in Profits during FY 2025-26. (******) Majorly due to increase in Current Assets in FY 2025-26. .

(********^ Details of change in return on Net Worth as compared to the immediately previous financial year along with a detailed explanation there of :

There has been positive return on Net-worth in the Current year due to profits earned as compared with increase in Net Worth due to lower profits in previous year.

9. CAUTIONARY STATEMENT

Statements in this Management Discussion and Analysis describing the Companys objectives, projections, estimates, expectations or predictions may be forward-looking statements within the meaning of applicable securities laws and regulations. Actual results could differ materially from those expressed or implied. The Company undertakes no obligation to publicly update or revise any forward looking statements, whether as a result of new information, future events or otherwise. Readers are cautioned not to place undue reliance on these forward-looking statements that speak only as of their dates.

	By Order of the Board of Directors
Place: Rourkela
Date: 08/09/2026	Sd/-	Sd/-
	Akash Gupta	Vikash Gupta
	Whole time Director	Non-Executive Director
	(DIN: 01326005)	(DIN:01326705)