Crysdale Industries Ltd Management Discussions

Industry Structure and Development

The services sector is not only the dominant sector in Indias GDP, but has also attracted significant foreign investment, has contributed significantly to export and has provided large-scale employment. Indias services sector covers a wide variety of activities such as trade, hotel and restaurants, transport, storage and communication, financing, insurance, real estate, business services, community, social and personal services, and services associated with construction. In order to enhance Indias commercial services exports, share in the global services market from 3.3% and permit a multi- fold expansion in the GDP, the government is also making significant efforts in this direction. The services sector is not only the dominant sector in Indias GDP, but has also attracted significant foreign investment, has contributed significantly to export and has provided large-scale employment. Indias services sector covers a wide variety of activities such as trade, hotel and restaurants, transport, storage and communication, financing, insurance, real estate, business services, community, social and personal services, and services associated with construction. In order to enhance Indias commercial services exports, share in the global services market from 3.3% and permit a multi-fold expansion in the GDP, the government is also making significant efforts in this direction. India is a unique emerging market in the globe due to its unique skills and competitive advantage created by knowledge-based services. The Indian services industry, which is supported by numerous government initiatives like smart Cities, clean India, digital India are fostering an environment that is strengthening the services sector. The sector has the potential to open up a multi-trillion-dollar opportunity that might stimulate symbiotic growth for all nations. (Source: https://www.ibef.org)

Opportunities and Threats

Both domestic and global factors influence the growth of the services sector. An extensive range of service industries have experienced double digit growth in recent years, supported by digital technologies and institutional frameworks made possible by the government. The ease of doing business in India has significantly increased for domestic and foreign firms due to considerable advancements in culture and the government outlook. Due to ongoing changes in the areas of lowering trade barriers, easing FDI regulations, and deregulation, Indias services sector is poised to grow at a healthy rate in the coming years. Increased competition. (Source: https://www.ibef.org)

One of the key sources of profit for services sector is their customers. With the ever-increasing competition in constantly changing markets, organizations find it challenging to acquire new clients and keep existing ones. Customer acquisition and retention challenges in the professional services industry arise from Increased competition, Lack of customer loyalty and trust, Problems related to capturing customers attention, new business models and changing market trends. (Source: https://birdviewpsa.com)

Outlook

According to the United Nations World Economic Situation and Prospects (WESP) 2025 report, the global economy is expected to remain on a subdued growth trajectory, with world output projected to grow by just 2.8% in 2025—the same as in 2024 and significantly below the pre-pandemic average of approximately 3.2%. The report highlights that a confluence of structural challenges, including high levels of public debt, weak investment, and low productivity growth, continues to weigh heavily on the global recovery. Furthermore, geopolitical tensions, ongoing supply chain disruptions, and tighter financial conditions are exacerbating macroeconomic uncertainty. A mid-year revision in June 2025 further downgraded the global growth forecast to 2.4%, reflecting deteriorating trade dynamics and policy uncertainties. The United States and European Union are projected to grow at modest rates of 1.9% and 1.3%, respectively, while growth in China is expected to slow to 4.6%. In contrast, South Asia remains the fastest-growing region, with India leading at an estimated 6.3% in 2025. The UN strongly cautions against premature fiscal austerity, emphasizing the need for targeted public investments, enhanced social protection systems, and policy interventions that can stimulate job creation and build long-term resilience. Strategic spending in sectors such as education, healthcare, digital infrastructure, and climate action is seen as essential not only for economic revitalization but also for strengthening global preparedness against future shocks.

Risks and concerns

In the digital transformation era, every organization needs to apply new technologies to stay ahead of the competition. The difficulty of adapting to new technology and keeping up with the trends is among the key challenges organizations face. Talent sourcing is also part of the challenges faced by the professional services sector. A constant challenge for HR departments is to find qualified candidates and retain confident, reliable employees. The grueling talent-sourcing and inadequacy of the requisite expertise can slow down processes and threaten the balance of your workforce. Another challenge facing professional services companies today is the lack of proper understanding of the available resources, their skills, and how to allocate them equally to keep everyone engaged and on pace with the projects. (Source: https://birdviewpsa.com)

Internal control systems and their adequacy

The Company has in place adequate internal control systems and procedures commensurate with the size and nature of its business. These systems and procedures provide reasonable assurance of maintenance of proper accounting records, reliability of financial information, protections of resources and safeguarding of assets against unauthorized use. The management regularly reviews the internal control systems and procedures.

Discussion on financial performance with respect to operational performance

The Company generated revenue of 4,29,581 from its operations and earned 26,441 as other income. This marks a significant improvement compared to the previous financial year, during which no operational revenue was recorded. However, the Company incurred a net loss of 19,08,984 in FY 2024–25, as against a loss of 10,21,659 in the previous year

However, the management is in the process of research and analysis of identifying the business activities which would cater the world and lead to massive success. In this regard, Board discussed the opportunity, highlighting the growth potential of the food truck industry and the strategic fit with our companys strengths in quality and innovation, the discussion covered various aspects, including market research indicating strong demand, differentiation strategies, financial projections, and considerations related to regulatory compliance and logistics.

Material developments in Human Resources / Industrial Relations front, including number of people employed

No material development occurred in Human Resources / Industrial Relations front during the year. The number of employees as on 31.03.2025 was 3. We like to thank our employees for their dedication, and their families for their unfailing support during this difficult time. Your hard work will carry the company through its present difficult time.

Disclosure of Accounting Treatment

In the preparation of the financial statements for the year ended March 31, 2025, the applicable Indian Accounting Standards (Ind AS) have been followed. Pursuant to the notification dated February 16, 2015 issued by the Ministry of Corporate Affairs, the Company has adopted the Indian Accounting Standards ("Ind AS") notified under the Companies (Indian Accounting Standards) Rules, 2015 with effect from April 1, 2017.

Cautionary Statement

Certain statements contained in this Managements Discussion and Analysis and Boards Report may be "forward- looking statements". These include statements about Managements expectations, beliefs, intentions or strategies for the future. All forward-looking statements reflect Managements current views with respect to future events, and are subject to numerous risks, uncertainties and assumptions that have been made. Actual results could differ materially from those expressed or implied, depending upon global and Indian demand-supply conditions, changes in Government regulations, tax regimes and economic developments within India and overseas.

For and on behalf of the Board of Directors	Sd/-	Sd/-
CRYSDALE INDUSTRIES LIMITED	Rajiv Gupta	Swati Sahukara
(Formerly known as Relson India Limited)	Director	Director
Date: September 03, 2025	DIN: 01116868	DIN: 06801137
Place: Mumbai