CIAN Agro Industries & Infrastructure Ltd Management Discussions

GLOBAL ECONOMY:

At the start of the year under review, the global economy was expected to sustain a modest recovery. The macroeconomic outlook turned volatile in the recent months amidst the ongoing geopolitical developments, particularly in the Middle East, leading to some variability in global energy markets and operating environment. In 2026, global growth is expected to moderate to 3.1%, largely reflecting the impact of the ongoing West Asia conflict, with the effects likely to be more pronounced for commodity-importing Emerging Market & Developing Economies - particularly in low-income developing countries with pre-existing economic vulnerabilities and limited buffers.

The duration and intensity of the West Asia conflict will remain a key monitorable for global growth, while renewed inflationary pressures from energy prices and volatility in financial markets could further cloud the global macroeconomic outlook. Near-term global economic conditions are being influenced by geopolitical developments, energy market dynamics and fiscal conditions, alongside accelerating investments in digital and AI, collectively shaping demand patterns and cost structures.

INDIAN ECONOMY : -

Indias economic growth remained robust during the year, supported by strong domestic demand and sustained public investment. Growth was driven by resilient private consumption and investment momentum. India continued to be one of the fastest growing major economies in FY 2025-26, with Real GDP growth of 7.6% (vs 7.1% in FY 2024-25) as per RBI estimates. Domestic economic activity remained resilient, particularly in the second half of the year, supported by private consumption, improving rural and urban demand conditions, income tax rate cuts, GST rate rationalisation and monetary easing.

Services and manufacturing sectors are expected to continue to drive economic activity, supported by domestic demand, policy initiatives, and improving business sentiment. Public investment is likely to remain a key anchor for infrastructure development and overall economic momentum, while agricultural performance will remain dependent on weather conditions.

According to the estimates from the Asian Development Bank, GDP growth is expected to moderate mildly in the near term before strengthening over the medium term, supported by consumption, investment, and ongoing structural reforms. Inflation is expected to remain within a manageable range, although subject to fluctuations due to food and energy prices and currency movements. Key downside risks to the outlook include heightened global uncertainties arising from geopolitical tensions, evolving trade policies, and volatility in energy prices.

India continued to demonstrate strong macroeconomic resilience during the financial year ended March 31, 2026, supported by robust domestic demand, sustained public and private investment, healthy financial sector conditions, and continued strength in the services sector.

BUSINESS OUTLOOK : -

We have remained resilient amidst ongoing geopolitical developments in the Middle East and have been able to effectively contain the near-term impact through strategic positioning. Your Company continues to fortify its portfolio through focused acquisitions in high-growth, future facing categories. These acquisitions form a core pillar of your Companys strategy of your Companys scale, accelerate growth, and create sustained long-term value.

Conclusion

Strong domestic consumption, sustained investment, continued infrastructure development, and robust performance of the services sector reinforced the countrys position among the fastest-growing major economies. While external uncertainties are expected to persist, Indias sound macroeconomic fundamentals, ongoing policy reforms, and focus on inclusive and sustainable growth are expected to support continued economic expansion over the medium term. The Company remains optimistic about the opportunities arising from Indias growth trajectory and will continue to align its business strategy to capitalize on the evolving economic landscape while maintaining a prudent approach to risk management.

References

Ministry of Statistics and Programme Implementation (MoSPI) - National Accounts Statistics and GDP Press Releases. Economic Survey 2025-26, Government of India.

Union Budget 2026-27, Government of India.

International Monetary Fund (IMF) - World Economic Outlook.

Reserve Bank of India - Annual Report and Monetary Policy Statements.

Fitch Ratings and Fitch Solutions (BMI) - India Economic Outlook.

Deloitte India Economic Outlook.

Reuters, The Economic Times, and The Times of India (economic updates and GDP releases).

• Industry structure and developments

A) Agro industry -

The year 2025-26 was characterised by broad-based growth across businesses, continued expansion of distribution reach, accelerating alternate channels, strengthening exports and improving profitability in the Agro Industry. While edible oil remains the foundation of the business, CIAN continues to strategically expand its presence across agro based consumption categories. The Companys long-term strategy remains centered around leveraging its leadership in edible oils to build one of most trusted and scalable food platforms.

Growth during the year was supported by strong momentum in export of various food products. The Company continued to gain scale in its packaged staples portfolio while strengthening its position across everyday food categories including sugar, spices. These developments aimed to enhance productivity, sustainability, and market access for farmers while boosting the agro-processing sector.

B) Infrastructure Sector -

The outlook for the infrastructure sector remains positive with continued premiumisation and further consolidation towards credible brands, offering high quality products. Infrastructure growth continues to be supported by urbanisation, infrastructure creation, rising household aspirations and an increasing preference for trusted developers with proven execution capability. For large and credible real estate players, the sector is seeing clear consolidation in favour of scale, brand and delivery track record.

C) Healthcare Sector -

Driven by bio medical waste management solutions, CIAN broadened its reach across key various healthcare units including pathology Labs etc. with proper technical and quality standards. During the year, the Company intensified its focus on enhancing the revenue mix of its healthcare and FMCG segment and further strengthening its transformation into a diversified FMCG business. The year also marked a milestone, with the Company achieving its highest ever standalone revenue from healthcare sector and record profitability metrics. The Company continued to place strong emphasis on several strategic initiatives to expand its healthcare business, laying a solid foundation for long-term growth.

(Rs. in Lacs)

Divisionwise revenue	HT>Agro Division	Healthcare Division	Infrastructure Division
FY 2024-25	21,085.06	651.83	3,884.44
FY 2025-26	25,639.92	12,826.56	3,008.57

Business performance

During the Financial year 2025-26 under review, revenue from Agro Division of the Company is Rs. 25,639.92 Lakhs as compared to previous financial year of Rs. 21,085.06 Lakhs.

During the Financial Year 2025-26 under review, Infrastructure Division has turnover of Rs. 3,008.57 Lakhs as compared to the previous year of Rs. 3,884.44 Lakhs.

During financial Year 2025-26 under review, Revenue from operation of Healthcare division of the Company boost to Rs. 12,826.56 Lakhs as compared to previous year of financial year of Rs. 651.83 Lakhs.

Significant Changes In Key Financial Ratios:

Particulars	FY 2025-26	FY 2024-25	Explanation for change in the ratio by more than 25%
Current Ratio	0.66	0.66	-
Debt Equity Ratio	1.29	1.53	-
Net Profit Margin (%)	0.17%	0.37%	The decline is primarily due to an increase in operating and finance costs, which impacted the profit after tax despite the sales achieved during the year.
Operating Profit Margin (%)	4%	7%	The decrease in the ratio indicates that the company incurred higher operating expenses to support business growth and expansion
Interest Coverage Ratio	1.14	1.14	-
Debtor Turnover Ratio	7.74	7.67	-
Debt Service Coverage Ratio	1.47%	0.38%	Additional borrowing caused the change in ratio.
Inventory turnover ratio	2.42	1.56	The ratio improved due to better inventory management and faster stock movement
Trade Receivables turnover ratio	7.74	7.67	-
Return on Equity Ratio (%)	0.76%	1.04%	The ratio declined primarily due to a decrease
Cons shareholders func previous year.	i n equentl s was lower comp	Profit A y , t h e ared to	fter Tax during the year. return generated on t h e
Return on Capital employed (%)	8%	7.39%	-
Return on Investment (%)	7%	6.54%	-
Trade payables turnover ratio	1.68	2.31	The decline is due to higher credit period availed from suppliers
Net capital turnover ratio sales	(2.70)	(1.92)	The change is mainly attributable to higher achieved during the year coupled with changes in working capital requirements during the year.

Audit and Internal Controls -

CIAN has well-established processes and clearly-defined roles and responsibilities for people at various levels. This, coupled with adequate internal information systems embedded in business automation software, ensures proper information flow for the decision-making process. Adherence to these processes is ensured through frequent internal audits. The Executive Committees monitors business operations through regular reviews of performance vis-a-vis budgets. An extensive program of internal audit conducted by the internal audit team, reviewed by the Audit Committee, and requisite guidelines and procedures augment the internal controls. The internal control system is designed to ensure that financial and other records are reliable for preparing financial statements and other information. These procedures ensure that all transactions are properly reported and classified in the financial records.

Risk Management -

Risk management is an essential practice for organizations to identify, assess and mitigate potential risks that can impact the operations, objectives of a firm. We have a comprehensive risk management framework where we have integrated the risk management, both through external environment and internal processes, with our strategy formulation and decision making process.

Human Assets-

We empower our employees to unleash their full potential, fostering collaboration and inclusive growth, guided by the distinctive —a fusion of purpose, ethos, and values. Our commitment to cultivating a people-first culture, championing inclusion and diversity, s streamlining digital processes and future proofing our organization remains unwavering. The Company organizes various Seminars for the upgradation of Employees working skills and management of workload. Throughout the past year, we have diligently pursued initiatives, fostering a culture where talent thrives and contributes to our growth journey.

Forward Looking StatementCautionary Statement Forward-looking statements in the ‘Management Discussion and Analysis section are based on certain assumptions/ expectations of future events and are stated as required by applicable laws and regulations. Actual results could differ materially from those expressed or implied. Major factors that could make the difference to the Companys operations could be agro-climatic conditions, government policy, domestic & international market conditions and such other factors, which are beyond control of the management.

	For and on behalf of the Board of Directors
	CIAN Agro Industries & Infrastructure Limited
	Jaykumar Varma
Place: Nagpur	Chairperson
Date: 3rd September, 2026	DIN: 00489792