Citichem India Ltd Management Discussions

OVERVIEW:

The operating and financial review in this discussion pertains to the management s perspective on the financial condition as well as the operating performance of the Company for the FY 2024-25. The following discussion of the Company s financial performance result and operating results should be read in conjunction with the

Company s Financial Statements and Notes thereto and other information included elsewhere in the Annual Report. The Company s Financial Statements were prepared in compliance with the requirements of the Companies Act, 2013.

INDUSTRY STRUCTURE AND DEVELOPMENTS

The Company will be able to use much potential available now in the domestic market. Also, Promoters rich experience in the said Industry and higher demand of goods in which the company deals in, is the best opportunity for the company to increase its market.

COMPANY S FINANCIAL PERFORMANCE AND DEVELOPMENTS

The Company s overall performance during the Financial Year 2024-25 was robust resulting in improvement in all operational and financial parameters.

OPPORTUNITIES

Due to expansion of the trading base of the company, there will be substantial increase in demand of Company s products.

THREATS

Due to highly competitive pressure in the market, the Company has to operate in this competitive scenario and acquire a grip in the market to hold its foot firmly and upkeep the brand name. Also, adverse change in the Government Policies may affect the business operations of the Company.

INTERNAL CONTROL SYSTEMS

The Company has professional & adequate internal control systems which ensure protection against misuse or loss of the Company s assets. The Company deploys a robust system of internal control that facilitates the accurate and timely compilation of financial statements and management reports; ensures regulatory and statutory compliance and safeguards investor s interests by ensuring the highest level of governance and periodical communication with investors.

The Companies Act, 2013 requires the Board of Directors and statutory auditors of the Company to comment on sufficiency and effectiveness of internal controls. The Company has appointed internal auditor to conduct internal audit and to ensure that all transactions are correctly authorized and reported. The reports are reviewed by the

Audit Committee of the Board. The Audit Committee also reviews the effectiveness of the Company s internal control system which provides adequate safeguards & effective monitoring of its transactions.

HUMAN RESOURCE DEVELOPMENT

Human Resource Development is paramount in every organization. The management continues to lay emphasis on identifying, developing the talent in the organization with a view to retain them and further training those who are capable of handling additional responsibilities. This works to increase employee satisfaction. Developing people and harnessing their ideas is high priority for the Company.

OUTLOOK

The Company is exploring various business opportunities but nothing concrete has been derived. Barring unforeseen circumstances directors hope to find some concrete business opportunity to expand the business of the Company.

RISK AND CONCERN

Company at present is exposed to the normal industry risk factor of volatility in interest rate, economic cycle and credit risk. It has not yet decided its future course of activities. The impact of new activity, as and when decided, will be known in the future.

CAUTIONARY STATEMENT

Statements in the Management Discussion and Analysis Report describing the Company s objectives, projections, estimates, expectations or predictions may be forward looking statements within the meaning of the applicable securities laws and regulations. Actual results could differ materially from those expressed or implied.

For and on behalf of the Board of Directors For Citichem India Limited

	Sd/-	Sd/-
	Arif Esmail Merchant	Hashim Arif Merchant
	Managing Director	Director
	DIN: 00500363	DIN: 03015945
Date: 06/09/2025
Place: Mumbai