Management Discussion and Analysis Report
1. INDUSTRIAL STRUCTURE AND DEVELOPMENTS:
Delaplex Limited, a company listed on the NSE Emerge Platform (formerly known as Delaplex Private Limited), is a technology-driven enterprise engaged in software development, supply chain consultancy, and technology innovation services. The Company operates across key geographies including India, Europe, and North America, serving a diverse set of industries such as healthcare, retail, logistics, and finance.
The global software development industry continued its robust growth trajectory during FY 202425. This growth was fueled by the accelerating pace of digital transformation, widespread adoption of cloud computing, artificial intelligence (AI), machine learning (ML), and the Internet of Things (IoT). The proliferation of 5G networks has opened avenues for edge computing and real-time data processing. Additionally, the emphasis on cybersecurity solutions has intensified, given the increasing frequency and sophistication of cyber threats.
In India, the governments push for Digital India, along with incentives for technology startups and MSMEs, has fostered a conducive environment for software services companies. At the global level, clients focus on operational efficiencies and cost optimization through digital solutions has created significant business opportunities..
2. ORGANIZATIONAL STRUCTURE
Delaplex Limiteds organizational structure is designed to promote agility, innovation, and customer-centric delivery. The structure comprises:
Development Teams:
Organized into specialized units for front-end, back-end, full-stack development, and mobile app development. These teams are responsible for executing client projects, building scalable architectures, and ensuring technical excellence.
Project Management:
Our Project Managers, Product Owners, and Scrum Masters oversee the delivery lifecycle. They ensure alignment with client objectives, adherence to timelines, and risk management through agile methodologies.
Quality Assurance (QA):
The QA teams conduct comprehensive manual and automated testing, ensuring that all deliverables meet high standards of quality, security, and user experience.
DevOps:
The DevOps team bridges development and operations by implementing continuous integration, continuous deployment (CI/CD), and automated monitoring tools. This integration helps achieve faster time-to-market and improved operational stability.
Support and Maintenance:
Post-deployment, the support team provides 24/7 assistance, performs regular system updates, and ensures high availability of client applications.
The organizational model emphasizes cross-functional collaboration, innovation, and continuous improvement.
3. OPPORTUNITIES AND THREATS:
Opportunities
Adoption of Emerging Technologies:
The demand for AI, ML, blockchain, and IoT solutions has opened new growth areas. The company is focusing on building capabilities in automation, predictive analytics, smart contracts, and IoT-enabled supply chains
Expansion of Cloud Services:
Enterprises are increasingly moving towards cloud-first strategies. This presents opportunities for providing SaaS products, cloud migration services, and managed cloud solutions.
Digital Transformation in Traditional Sectors:
Sectors such as manufacturing, healthcare, and education are undergoing digital transformation. There is a significant opportunity to deliver customized software that enhances operational efficiency and user engagement in these domains.
Remote and Hybrid Work Solutions:
With the continued prevalence of hybrid work models, there is strong demand for collaboration, productivity, and security tools designed for distributed teams.
Cybersecurity and Data Privacy:
The rising incidence of cyber threats and evolving regulatory frameworks (e.g., GDPR, CCPA) have amplified demand for advanced cybersecurity solutions and compliance tools.
Big Data and Analytics:
Organizations increasingly rely on data-driven insights for decision-making. This provides a growth area for offering analytics platforms and business intelligence solutions.
Threats
Technological Obsolescence:
The rapid pace of technological change necessitates continuous learning and innovation. Failure to adopt new technologies in time can result in loss of competitiveness.
Intense Competition:
The software industry is highly competitive, with large global players and agile startups competing for market share. This puts pressure on pricing and margins.
Talent Acquisition and Retention Challenges:
The global demand for skilled software professionals has resulted in fierce competition for talent. High attrition rates can impact project continuity and increase costs.
Cybersecurity Risks:
Increased exposure to cyberattacks and data breaches can result in operational disruptions, regulatory penalties, and reputational damage.
Economic Uncertainty:
Global economic slowdowns or geopolitical tensions can impact clients IT budgets, delaying or cancelling planned projects.
Regulatory Compliance Complexity:
Adapting to evolving data protection laws and international compliance requirements demands significant resources and constant vigilance.
4. OUTLOOK:
1. Technological Drivers Shaping the Future:
The technology ecosystem continues to evolve, opening new avenues for Delaplex Limited to innovate and expand:
AI and ML-Powered Innovations:
AI and ML applications will further drive automation, predictive analytics, and customer personalization across sectors. delaPlex plans to broaden its AI-driven offerings in key industries such as healthcare, finance, and logistics.
Cloud-first Ecosystems:
The shift toward multi-cloud and hybrid cloud infrastructures presents a significant opportunity. delaPlex aims to enhance its service delivery across SaaS, IaaS, and PaaS platforms, offering clients cost-effective, scalable solutions.
Connected Networks and Edge Intelligence:
With 5G deployment, edge computing will become critical for enabling real-time data processing in IoT, automotive, and industrial applications. delaPlex is investing in solutions that leverage these technologies for speed and efficiency.
Cybersecurity as a Strategic Pillar:
The growing frequency and sophistication of cyberattacks require robust, proactive security frameworks. delaPlex is focused on integrating advanced security protocols and compliance- driven solutions into its service portfolio.
Distributed Ledger Technologies:
Blockchain adoption for supply chain visibility, smart contracts, and digital identity is gaining momentum. delaPlex will explore blockchain-based applications to support secure and transparent business operations.
2. Market Trends Fueling Growth:
Enterprise Digital Acceleration:
The pandemic-induced digital surge continues, with industries modernizing operations and customer interfaces. delaPlex is well-positioned to deliver tailored software that helps clients unlock efficiency and agility.
New Work Paradigms:
The normalization of remote and hybrid work fuels demand for secure collaboration tools and digital workplace solutions. delaPlex seeks to build and integrate technologies that support distributed teams and ensure business continuity.
Subscription Economy Evolution:
Clients increasingly prefer pay-as-you-go and subscription models for flexibility and value. delaPlex aims to expand its suite of subscription-based offerings to ensure long-term client engagement.
User-First Digital Experiences:
The importance of intuitive design and user-centric applications is rising. Delaplex will strengthen its UX/UI expertise to deliver software that enhances engagement and satisfaction.
3. Global Dynamics and Regulatory Landscape:
Navigating Economic Headwinds:
Delaplex operates in a highly competitive sector. Continued innovation, customer-centric development, and operational agility will be central to maintaining and growing market share.
Compliance-Ready Solutions:
With tightening data protection and privacy regulations worldwide, compliance-focused development is a differentiator. delaPlexs capabilities in GDPR, CCPA, and other regulatory frameworks add value for clients navigating complex environments..
Green Technology Commitments:
Sustainability is becoming integral to IT strategies. delaPlex is exploring opportunities to offer greener software solutions and adopt practices that reduce its environmental footprint.
4. Competitive Environment and Workforce Strategy:
Staying Ahead in a Crowded Marketplace:
Delaplex operates in a highly competitive sector. Continued innovation, customer-centric development, and operational agility will be central to maintaining and growing market share.
Building Future-Ready Talent:
In a tight labor market, attracting and retaining skilled professionals is critical. delaPlex plans to invest in talent development, foster a diverse and inclusive culture, and offer flexible work models to strengthen its employer brand.
5. Strategic Focus Areas for Sustainable Growth:
Innovation and Proprietary Development:
Strengthen R&D investments in AI, blockchain, and cybersecurity to develop cutting-edge, proprietary solutions.
Market and Customer Diversification:
Expand into new geographies and verticals to mitigate market concentration risk.
Collaborative Ecosystems:
Build partnerships with technology leaders, academic institutions, and niche players to accelerate solution development and market entry.
Excellence in Delivery:
Adopt automation, DevOps, and agile practices to enhance quality, speed, and cost- efficiency.
Embedding ESG Principles:
Integrate environmental, social, and governance considerations into operations, product strategies, and community initiatives.
5. RISK AND CONCERNS:
1. Technology Evolution and Adoption Risks:
Pace of Technological Change:
The software industry is marked by rapid innovation. Keeping pace with emerging technologies, frameworks, and tools is essential to avoid product obsolescence. Failure to adapt may lead to reduced competitiveness and missed business opportunities.
Complexity in System Integration:
Adopting and integrating next-generation technologies (e.g., AI, blockchain, IoT) with legacy systems can introduce compatibility challenges, increase project risks, and demand additional time and investment.
Cybersecurity Vulnerabilities:
As digital solutions become more critical to client operations, the potential impact of data breaches, ransomware attacks, and system vulnerabilities rises sharply. This not only poses operational risks but also legal and reputational damage.
Accumulation of Technical Debt:
Expedited development cycles and sub-optimal coding practices may lead to technical debt, impacting scalability, performance, and future maintainability.
2. Operational Excellence and Delivery Challenges:
Project Governance and Execution:
Risks of project scope creep, missed deadlines, or cost overruns may affect client relationships and profitability. Robust project governance, resource planning, and agile practices are key to mitigation.
Resource Deployment Risks:
Inefficient utilization of talent or technology resources could lead to delays, higher costs, and sub-par delivery outcomes..
Product and Service Quality:
Inadequate testing or oversight may result in software defects, security gaps, or a poor user experience all of which can damage brand reputation.
Dependence on Critical Talent:
Over-reliance on a few key personnel for technical expertise or leadership exposes the company to continuity risks in case of attrition or unavailability.
3. Market Dynamics and Client Concentration Risks:
Intensifying Industry Competition:
The software sector remains highly competitive, with new entrants, disruptive technologies, and price pressures challenging existing players. Differentiation through innovation and service excellence is vital.
Client Concentration:
Over-dependence on a limited number of large clients for revenue could pose risks if those clients reduce their IT spend, switch vendors, or face financial distress
Shifts in Customer Needs:
Changing client preferences, evolving business models, or new regulatory requirements may impact demand for existing solutions, requiring continuous innovation and adaptability.
4. Financial Management and Liquidity Risks:
Cash Flow Pressures:
Lengthy sales cycles, delayed client payments, or large upfront investments can create cash flow constraints, potentially impacting operations or growth initiatives.
Cost Overruns and Budgetary Strain:
Unexpected expenses-whether due to technology upgrades, talent costs, or compliance needscan affect profit margins.
Economic Slowdowns:
Macroeconomic challenges, including global slowdowns or client budget cuts during downturns, may lead to reduced demand for software services and delay in project commencements.
5. Legal, Regulatory and Compliance Exposures:
Intellectual Property Safeguards:
Protecting proprietary software, methodologies, and client data is increasingly challenging. Risks include IP theft, unauthorized use, and costly patent disputes.
Evolving Regulatory Landscape:
Software companies must continuously align with data protection laws (e.g., GDPR, CCPA) and other compliance requirements. Non-compliance could result in legal penalties and loss of client trust.
Contractual and Commercial Disputes:
Ambiguity in contract terms, scope disagreements, or failure to meet SLAs may lead to disputes, affecting client relationships and potentially leading to litigation.
6. People and Culture Risks:
Talent Acquisition and Retention:
The shortage of experienced software professionals globally makes it challenging to hire and retain top talent, potentially impacting project timelines and quality.
Employee Turnover:
High attrition rates can result in disruption of ongoing projects, increased hiring costs, and loss of critical organizational knowledge.
Emerging Skill Gaps:
As technology evolves, the need for continuous upskilling grows. Failure to keep pace may lead to capability gaps that hinder innovation and delivery.
7. Reputational and Brand Integrity Risks:
Market Perception and Customer Feedback:
Negative client reviews, failed implementations, or under performing products can impact the Companys brand image and its ability to secure future business.
Public Relations Challenges:
Inadequate management of crises whether related to security breaches, service failures, or employee grievances could result in lasting damage to stakeholder trust.
8. Scalability and Innovation Sustainability Risks:
Operational Scaling Complexities:
As Delaplex grows, it must invest in scalable technology infrastructure, governance structures, and processes. Failure to do so could impact service quality and profitability.
Pressure to Innovate Continuously:
Maintaining a competitive edge demands constant innovation. Balancing innovation with operational stability, cost controls, and timely delivery remains a key challenge.
Internal Financial Control Systems and Their Adequacy
Delaplex Limited recognizes that a robust internal financial control (IFC) framework is integral to ensuring the integrity of its financial reporting, safeguarding of assets, compliance with applicable laws and regulations, and overall operational efficiency. The Company has established and continues to strengthen a comprehensive system of internal controls, designed to provide reasonable assurance regarding the reliability of financial statements, prevention and detection of frauds and errors, and the timely preparation of accurate financial information.
Framework of Internal Controls
The Companys internal financial control system is aligned with:
The requirements of Section 134(5)(e) of the Companies Act, 2013.
The guidance and best practices outlined in the Guidance Note on Audit of Internal Financial Controls Over Financial Reporting issued by the Institute of Chartered Accountants of India (ICAI).
Globally accepted control frameworks such as COSO (Committee of Sponsoring Organizations of the Treadway Commission) where relevant.
The key components of the Companys IFC framework include:
Well-documented policies, standard operating procedures, and authority matrices.
Automated financial processes integrated with ERP and accounting systems to minimize manual intervention and ensure data accuracy.
Defined roles and responsibilities with appropriate segregation of duties across functions to mitigate risks of error or fraud.
Key Control Measures
Authorization and Approval Controls:
All financial transactions are subject to defined approval hierarchies. Delegation of authority is clearly mapped to ensure appropriate checks and balances.
Access and Security Controls:
Access to financial systems is restricted based on job roles. Critical transactions and reports are secured by authentication protocols and user access logs.
Budgetary and Performance Controls:
Annual budgets are prepared and approved by the Board. Actual performance is periodically reviewed against budget and variances are analyzed for corrective actions.
Reconciliations and Review:
Regular reconciliations are conducted for bank accounts, receivables, payables, fixed assets, and other critical accounts to ensure integrity of financial data.
Internal and External Audits:
The internal audit function, conducted by independent professional firms, evaluates the adequacy, design, and operating effectiveness of internal controls.
Findings and recommendations are reviewed by the Audit Committee, and corrective measures are implemented on a timely basis.
The statutory auditors independently assess the IFC over financial reporting and express an opinion in their audit report.
Monitoring and Governance
The Audit Committee of the Board plays a vital role in overseeing the Companys internal control environment. It reviews internal audit plans, significant audit findings, management responses, and the adequacy of controls at regular intervals.
Management conducts periodic risk assessments to identify control gaps and emerging risks, ensuring that controls are updated to address new business conditions or regulatory changes.
The Company promotes a culture of compliance, ethics, and accountability at all levels, supported by whistle-blower and fraud prevention policies.
Adequacy and Effectiveness
Based on assessments by management, internal auditors, and the review by the statutory auditors:
The Companys internal financial controls over financial reporting were found to be adequate and operating effectively during the financial year under review.
No material weaknesses in the design or operation of internal controls were identified that could impact the accuracy or reliability of financial statements.
The Company remains committed to continuous improvement of its internal controls framework through automation, analytics-driven monitoring, and adoption of industry best practices.
Segment-wise or product-wise performance:
The Company is presently engaged in single segment of software development and also provide supply chain consultancy services and technology innovation.
The performance of Company for the financial year 2024-25 is summarized below:
(Amount in Lakhs) |
|||
31/03/2025 | 31/03/2024 | 31/03/2025 | |
Standalone |
Consolidated | ||
Revenue from operations and Other Income |
5,906.70 | 5,640.10 | 7,010.15 |
Profit/Loss before Interest, Depreciation and Tax |
1,418.4 | 1,209.99 | 1,596.34 |
Less: Finance Cost |
2.45 | 0.67 | 3.64 |
Net Profit/Loss before Depreciation and Tax |
1,415.95 | 1,209.32 | 1592.70 |
Less: Depreciation and amortization for the year |
32.27 | 34.69 | 35.67 |
Net Profit/Loss before exceptional and extraordinary items |
1,383.68 | 1,174.63 | 1,557.03 |
and tax |
|||
Less: Exceptional Items |
0.00 | 0.00 | 0.00 |
Profit before extraordinary items and tax |
1,383.68 | 1,174.63 | 1,557.03 |
Less: Extraordinary Items |
0.00 | 0.00 | 0.00 |
Profit before tax |
1,383.68 | 1,174.63 | 1,557.03 |
Less: Tax Expenses |
|||
Current tax expense |
339.06 | 214.32 | 339.12 |
Deferred tax Charge/(Credit) |
10.98 | (47.59) | 3.90 |
Profit/Loss for the period from continuing operations |
1,033.64 | 1,007.89 | 1,214.02 |
Tax expense of discontinuing operations |
0.00 | 0.00 | 0.00 |
Profit/Loss from discontinuing operations (after tax) |
0.00 | 0.00 | 0.00 |
Profit/Loss transferred/adjusted to General Reserve |
1,033.64 | 1,007.89 | 1,214.02 |
Basic earnings per equity share |
11.35 | 13.26 | 13.33 |
Diluted earnings per equity share |
11.35 | 13.26 | 13.33 |
Key Observations
1. Revenue Growth
On a Standalone basis, revenue grew by 4.73% year-over-year from Rs.5,640.10 Lakhs to Rs.5,906.70 Lakhs, driven by stronger demand for digital solutions and enhanced client engagements.
On a Consolidated basis, revenue stood at Rs.7,010.15 Lakhs, reflecting the positive contribution of subsidiaries and growth across geographies.
2. Profitability
Standalone profit before interest, depreciation, and tax rose by 17.24% from Rs.1,209.99 Lakhs to Rs.1,418.40 Lakhs, reflecting enhanced cost control and operational efficiency.
Consolidated profit before interest, depreciation, and tax reached Rs.1,596.34 Lakhs, highlighting stronger group-level performance and synergies.
3. Depreciation
Standalone depreciation and amortization expenses declined by 6.97% from Rs.34.69 Lakhs to Rs.32.27 Lakhs, contributing positively to net profit.
Consolidated depreciation and amortization expenses were Rs.35.67 Lakhs, showing stable capital expenditure and asset utilization across the group.
4. Tax Impact
The Standalone current tax expense increased from Rs.214.32 Lakhs to Rs.339.06 Lakhs, mainly due to higher taxable income.
The Consolidated current tax expense stood at Rs.339.12 Lakhs, reflecting similar trends across the consolidated operations.
5. Earnings Per Share
The Standalone basic and diluted earnings per share decreased from Rs.13.26 lakhs to Rs.11.35 lakhs primarily due to higher tax outgo, despite improved operational profit. The Consolidated basic and diluted earnings per share was Rs.13.33 lakhs, demonstrating consistent shareholder value from the combined entitys performance.
DISCUSSION ON FINANCIAL PERFORMANCE WITH RESPECT TO OPERATIONAL PERFORMANCE: (Amt in Lakhs)
1. Revenue Analysis
Revenue from Operations and Other Income:
- 31 March 2025: 5,906.70
- 31 March 2024: 5,640.10
Analysis: The revenue increased by 4.73% from 5,640.10 in 2024 to 5,906.70 in 2025. This growth reflects the companys ability to enhance its operational performance and achieve higher sales.
2. Operational Profitability
Profit/Loss before Interest, Depreciation, and Tax:
- 31 March 2025: 1,418.40
- 31 March 2024: 1,209.99
Analysis: The profit before interest, depreciation, and tax increased by 17.24%. This indicates improved operational efficiency and cost management, contributing positively to overall profitability.
Net Profit/Loss before Depreciation and Tax:
- 31 March 2025: 1,415.95
- 31 March 2024: 1,209.32
Analysis: The net profit before depreciation and tax improved by 17.09%. The slight increase in this metric suggests effective control over operational expenses.
3. Depreciation and Amortization Depreciation and Amortization for the Year:
- 31 March 2025: 32.27
- 31 March 2024: 34.69
Analysis: Standalone Depreciation and amortization expenses decreased by 6.97%. This reduction in non-cash expenses positively impacted net profit, reflecting more efficient use of assets or reduced capital expenditure.
Consolidated depreciation and amortization expenses were Rs.35.67 Lakhs, showing stable capital expenditure and asset utilization across the group.
4. Profitability After Depreciation
Net Profit/Loss before Exceptional and Extraordinary Items and Tax:
- 31 March 2025: 1,383.68
- 31 March 2024: 1,174.63
Analysis: This metric increased by 17.80%. The improvement highlights enhanced operational efficiency and effective cost management, even before considering exceptional or extraordinary items.
5. Tax Impact Current Tax Expense:
- 31 March 2025: 339.06
- 31 March 2024: 214.33
Analysis: The increase in current tax expense by 58.20%, indicates either higher taxable income or less effective tax planning.
Deferred Tax Charge/ (credit):
- 31 March 2025: 10.98
- 31 March 2024: (47.59)
Analysis: This shift reflects lower tax benefits from timing differences and possible reversals of previously recognized deferred tax assets, contributing to a higher overall tax expense for the year.
6. Final Profitability
Profit/Loss for the Period from Continuing Operations:
- 31 March 2025: 1,033.64
- 31 March 2024: 1,007.89
Analysis: The profit from continuing operations increased by 2.55%. This significant improvement reflects a stronger operational performance and effective management of expenses and taxes.
7. Earnings Per Share
Basic and Diluted Earnings Per Equity Share:
- 31 March 2025: 13.26
- 31 March 2024: 11.35
Analysis: The Standalone basic and diluted earnings per share decreased from Rs.13.26 lakhs to Rs.11.35 lakhs primarily due to higher tax outgo, despite improved operational profit. The Consolidated basic and diluted earnings per share was Rs.13.33 lakhs, demonstrating consistent shareholder value from the combined entitys performance
SUMMARY AND CONCLUSIONS
1. Consistent Revenue Growth:
The Company recorded a year-over-year revenue growth of 4.73%, reflecting a stable performance and sustained demand in its core business segments.
2. Enhanced Operational Efficiency:
An improvement in profit before interest, depreciation, and tax, as well as in net profit before depreciation and tax, signifies strengthened operational efficiency and effective cost management strategies implemented during the year.
3. Prudent Depreciation Management:
The decline in depreciation and amortization expenses suggests optimized asset utilization and/or reduced capital investment during the year, which has contributed positively to overall profitability.
4. Tax Expense Dynamics:
The increase in current tax liability, alongside a reversal of deferred tax credit compared to the previous year, highlights a shift in the Companys tax profile. While this reflects higher taxable income, it also underscores the need for more effective tax planning.
5. Sustainable Profitability:
A 2.55% increase in net profit from continuing operations underlines the Companys robust financial performance, despite challenges in the external environment, and points to sound strategic and operational execution.
6. Earnings Per Share Movement:
A decline in both basic and diluted earnings per share indicates a slight reduction in shareholder value, primarily due to higher tax outgo. This metric will be a key area of focus in the upcoming financial year.
Overall, the financial performance for the year ending 31st March 2025 reflects strong operational performance, effective cost management, and enhanced profitability compared to the previous year. The company has demonstrated resilience and growth in its core operations, benefiting from strategic management of expenses and taxes.
MATERIAL DEVELOPMENT IN HUMAN & OTHER RESOURCES / INDUSTRIAL RELATIONS FRONT:
1. Workforce Acquisition and Capability Building
1.1 Talent Sourcing and Employer Branding Initiatives:
- Deployed an advanced recruitment framework utilizing AI-powered platforms to optimize talent identification and selection processes.
- Broadened hiring channels through strategic alliances with niche job boards, academic institutions, and professional networks.
- Enhanced the recruitment budget by 15%, focusing on strengthening employer brand visibility to attract top-tier talent.
Outcomes:
- Achieved a marked reduction in time-to-hire through improved screening and automation tools.
- Elevated the quality of new hires, aligning talent profiles with the companys strategic requirements.
1.2 Capability Development and Learning Culture Initiatives:
- Rolled out a holistic employee development program emphasizing leadership, technical expertise, and interpersonal skills.
- Launched a Learning Management System (LMS) to monitor training progress and provide seamless access to curated learning resources.
- Instituted quarterly performance appraisals aimed at identifying upskilling needs and mapping career growth pathways..
Outcomes:
- A majority of employees successfully engaged in at least one structured learning module, with encouraging feedback on relevance and delivery.
- Observable improvement in employee performance metrics, contributing to enhanced productivity across teams.
1.3 Workforce Engagement and Retention Strategies Initiatives:
Conducted comprehensive employee engagement surveys to gather actionable insights and identify focus areas.
Introduced a recognition and reward program celebrating exceptional contributions and service milestones.
Strengthened employee value proposition through enriched health, wellness programs, and flexible work models.
Outcomes:
Notable rise in engagement scores, reflecting a positive shift in job satisfaction and organizational morale.
Decrease in voluntary attrition, underlining the success of targeted retention initiatives.
1.4 Fostering Diversity, Equity, and Inclusion (DEI)
Initiatives:
- Formulated a DEI roadmap with well-defined objectives, action plans, and performance metrics.
- Implemented mandatory DEI sensitization workshops across all levels of the organization.
- Established Employee Resource Groups (ERGs) to promote inclusivity and provide a platform for diverse voices..
Outcomes:
- Increased diversity in recruitment outcomes, with improved representation of historically underrepresented groups.
- Enhanced organizational culture as validated by positive employee feedback on inclusivity.
2. Strengthening Industrial Relations and Legal Compliance
2.1 Employee Relations and Internal Communication
Initiatives:
- Organized regular interactive sessions, including town halls and feedback forums, to strengthen communication and trust.
- Set up a dedicated HR Helpdesk to address queries and grievances in a timely manner.
- Revamped internal communication tools such as newsletters and the company intranet to ensure transparency..
Outcomes:
- Improved satisfaction with internal communication mechanisms as evidenced by survey findings.
- Efficient resolution of grievances, with over 95% closed within 30 days, contributing to harmonious industrial relations..
2.2 Legal Compliance and Governance
Initiatives:
- Conducted periodic audits of HR policies and procedures to ensure adherence to statutory and regulatory frameworks.
- Delivered continuous training programs to HR teams on evolving legal and compliance requirements.
- Updated employee policies and manuals in line with legislative developments and best practices.
Outcomes:
- Achieved 100% compliance with applicable labor laws and regulations.
- Reduced legal exposure and safeguarded company interests through proactive compliance management
3. Summary
The Companys human resource and industrial relations initiatives during the financial year ended 31 March 2025 have been marked by strategic progress and meaningful impact. Noteworthy gains have been made in talent acquisition, employee development, engagement, diversity, and compliance. These efforts reflect a sustained commitment to cultivating a dynamic, inclusive, and compliant work environment, thereby strengthening the Companys foundation for future growth.
Details of significant changes (i.e., change of 25% or more as compared to the immediately previous financial year) in key financial ratios, along with detailed explanations therefore:
Sr. No. Ratios |
Numerator |
Denominator |
31- Mar-25 | 31- Mar-24 | % Change | Reason for Variance |
1 Current Ratio |
Current Assets |
Current Liabilities |
50.93 | 40.07 | 27.10% | Sub-note (i) |
2 Return on Equity Ratio |
PAT |
Equity Share Capital + Reserves & Surplus |
0.14 | 0.16 | (12.5)% | Sub-note (ii) |
3 Trade Receivables Turnover Ratio |
Total Sales |
Average Accounts Receivable |
2.31 | 2.67 | (13.48)% | Sub-note (iii) |
4 Net Capital Turnover Ratio |
Total Sales |
Average Working Capital |
1.00 | 1.29 | (22.48)% | Sub-note (iv) |
5 Net Profit Ratio |
PAT |
Total Sales |
0.19 | 0.18 | 5.56% | Sub-note (v) |
6 Return on Capital Employed |
EBIT |
Capital Employed |
0.19 | 0.18 | 5.56% | Sub-note (vi) |
7 Return on Investment |
PAT |
Total Assets |
0.14 | 0.15 | (6.67)% | Sub-note (vii) |
Sub-note (i): Improvement in Working Capital and Current Position of Business Sub-note (ii): Increase in Capital Base
Sub-note (iii) : Better Collection in Standalone level
Sub-note (iv): Increase in Working Capital as it was one of the reasons for IPO
Sub-note (v): Cost optimizations & better deals
Sub-note (vi): Cost optimizations & better deals
Sub-note (vii): Increase in Asset Base Disclosure of Accounting Treatment:
The company prepares financial statements in accordance with the Generally Accepted Accounting Principles in India (Indian GAAP) including the Accounting Standards notified under Section 133 of the Companies Act, 2013, read with Rule 7 of the Companies (Accounts) Rules, 2014 and the relevant provisions of the Companies Act, 2013.
The financial statements have been prepared under the historical cost convention on accrual basis. The accounting policies are applied consistently to all the periods presented in the standalone financial statements
The standalone financial statements are presented in Indian Rupee (INR), the functional currency of the Company. Items included in the standalone financial statements of the Company are recorded using the currency of the primary economic environment in which the Company operates (the functional currency). Foreign currency transactions are translated into the functional currency using exchange rates at the date of the transaction.
FOR & ON BEHALF OF THE BOARD OF DIRECTORS |
|||
Date: 02.08.2025 |
|||
Sd/- |
Sd/- |
||
Name |
Nitin Sachdeva |
Preeti Nitin Sachdeva |
|
Designation |
Managing Director |
Whole-time Director |
|
DIN |
01627153 |
05354561 |
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