Destiny Logistics & Infra Ltd Management Discussions

Managements discussion and analysis of the financial condition and results of operations include forward looking statements based on certain assumptions and expectations of future events. The Company cannot assure that these assumptions and expectations are accurate. Although the Management has considered future risks as part of the discussions, future uncertainties are not limited to Management perceptions.

1. Review of Indian Economy:

India has solidified its position as the fastest-growing major economy in the world, supported by its resilient domestic demand, strategic policy reforms, and a robust democratic framework. In FY 2024-25, the Indian economy continued to perform strongly amidst global uncertainties, with real GDP growth estimated at 6.4%, reflecting steady expansion across sectors such as services, manufacturing, infrastructure, and digital economy.

Indias nominal GDP is estimated to have crossed USD 4 trillion in FY 2024-25, further consolidating its status as the fifth-largest economy globally. As per current projections, India remains on track to become one of the top three global economic powers over the next decade, powered by favorable demographics, increasing digital penetration, and structural reforms. India continues to foster a thriving startup ecosystem, retaining its position as the third-largest unicorn hub globally, with over 64 unicorns, contributing significantly to innovation, employment, and investment. The total valuation of Indian unicorns crossed USD 385 billion, demonstrating investor confidence and entrepreneurial momentum.

Indias foreign exchange reserves stood at approximately USD 654.27 billion as of March 2025, providing a strong buffer against external shocks. The Reserve Bank of India (RBI) has continued its calibrated interventions in the forex market through spot and forward positions to manage exchange rate volatility and maintain macroeconomic stability.

2. Industry Structure and developments:

Infrastructure sector is a key driver for the Indian economy. The sector is highly responsible for propelling Indias overall development and enjoys intense focus from Government for initiating policies that would ensure time-bound creation of world class infrastructure in the country. According to the Department for Promotion of Industry and Internal Trade (DPIIT), FDI equity inflow amount for infrastructure industries in India for the period 2016-2023 was not so good. In the financial year 2025, the infrastructure industries in India saw a foreign direct investment equity inflow of approximately 2.245 billion U.S. dollars. This was a decline compared to the previous years.

3. Strength, Opportunities, Threats Strength:

^ Established operations and proven track record

^ Smooth flow of operations and Business Model

^ Experienced Management Team

^ Satisfied customer with quality and service

Opportunities:

^ Potential to provide other value-added services

^ Expanding new geographical area

^ Enhancing functional efficiency

^ Opportunities in Indian Market

^ Government thrust for growth in Indian Economy will boost the logistics & Infrastructure Industry

Threats:

^ Increased Competition from Big Players

^ Change in Government Policies

^ Rising labour wages

^ Margins may be constrained in the future

^ There are no entry barriers in our industry which puts us to the threat of competition from new entrants

4. Segment Wise - Product wise performance:

During the year under review, the Company operated in two different segments which are Transport and Construction.

Details of Segment wise Revenue of the Company:

• Transport: The Total Revenue from Transport is Rs. 2,008.40/- Lakh

• Construction: The Total Revenue from Construction is Rs. 4,797.74/- Lakh

5. Outlook

The Continual growth in the Indian sector is necessary to give necessary support to the industry. The company is making all efforts to accelerate the growth of its business. It expects to improve its position in the market by focusing in the technologically advanced and more profitable and market segment and working aggressively in the area of productivity, efficiency and cost reduction.

6. Risks and Concerns

The Industry is exposed to the following risk and concerns:

• Political instability or a change in economic liberalization and deregulation policies could seriously harm business and economic conditions in India generally and our business in particular.

The Government of India has traditionally exercised and continues to exercise influence over many aspects of the economy. Our business and the market price and liquidity of our Equity Shares may be affected by interest rates, changes in Government policy, taxation, social and civil unrest and other political, economic or other developments in or affecting India. The rate of economic liberalization could change, and specific laws and policies affecting the information technology sector, foreign investment and other matters affecting investment in our securities could change as well. Any significant change in such liberalization and deregulation policies could adversely affect business and economic conditions in India, generally, and our business, prospects, financial condition and results of operations, in particular.

• Global economic, political and social conditions may harm our ability to do business, increase our costs and negatively affect our stock price.

Global economic and political factors that are beyond our control, influence forecasts and directly affect performance. Factors include interest rates, rates of economic growth, fiscal and monetary policies of governments, inflation, deflation, foreign exchange fluctuations, consumer credit availability, fluctuations in commodities markets, consumer debt levels, unemployment trends and other matters that influence consumer confidence, spending and tourism. Increasing volatility in financial markets may cause these factors to change with a greater degree of frequency and magnitude, which may negatively affect our stock prices.

• The extent and reliability of Indian infrastructure could adversely affect our Companys results of operations and financial condition.

Indias physical infrastructure is in developing phase compared to that of many developed nations. Any congestion or disruption in its port, rail and road networks, electricity grid, communication systems or any other public facility could disrupt our Companys normal business activity. Any deterioration of Indias physical infrastructure would harm the national economy, disrupt the transportation of goods and supplies, and add costs to doing business in India. These problems could interrupt our Companys business operations, which could have an adverse effect on its results of operations and financial condition.

• Any downgrading of Indias sovereign rating by an independent agency may harm our ability to raise financing.

Any adverse revisions to Indias credit ratings for domestic and international debt by international rating agencies may adversely impact our ability to raise additional financing, and the interest rates and other commercial terms at which such additional financing may be available. This could have an adverse effect on our business and future financial performance, our ability to obtain financing for capital expenditures and the trading price of our Equity Shares.

7. Internal Control systems and its adequacy

The Company has an effective and reliable internal control system commensurate with the size of its operations. At the same time, it adheres to local statutory requirements for orderly and efficient conduct of business, safeguarding of assets, the detection and prevention of frauds and errors, adequacy and completeness of accounting records and timely preparation of reliable financial information. The efficacy of the internal checks and control systems is validated by self-audits and internal as well as Statutory Auditors.

8. Discussion on financial performance of the Company with respect to operational performance

Share Capital

The Paid-up Share Capital of the Company as on 31^st March, 2025 is Rs. 15,38,80,000/- (Rupees Fifteen Crore Thirty-Eight Lakhs Eighty Thousand Only) divided into 1,53,88,000 (One Crore Fifty-Three Lakhs Eighty-Eight Thousand) Equity Shares of Rs. 10/- (Rupees Ten only).

• Reserves and Surplus

The reserves and surplus is Rs. 1,576.99 Lakhs as on the end of the current financial year.

• Total Income

During the year under consideration, the total income was Rs. 6,817.35 Lakhs as against Rs. 5,789.09 Lakhs during the previous year.

9. Material developments in Human resources / industrial Relations front, including number of people employed

Human Resources and an effective and efficient human resource are a key to the success of any organization and our company has been well focused in adopting the best standards in the Industry which not only gives us the benefit of attracting good talent but gives us an edge towards providing best qualitative services to our customers. Our manpower is a mix of experienced and young talent pool of resources which gives us the dual advantage of stability and growth. Our work processes and skilled resources together with our strong management team have enabled us to successfully implement our growth plans.

The total strength of manpower as on 31/03/2025 is 83 employees. The no of employees is depended on no. of projects in hand as our work is labour intensive for supplying of Manpower for Transportation and Logistics and other related projects.

10. Key Financial Ratios:

Ratios	2025	2024	Change
Debtors Turnover	2.71	2.22	0.49
Inventory Turnover	18.49	24.63	-6.14
Interest Coverage Ratio	3.50	5.56	-2.06
Current Ratio	1.69	1.51	0.18
Debt Equity Ratio	0.55	0.46	0.09
Operating Profit Margin %	7.68	6.89	0.79
Net Profit Margin %	3.80	3.67	0.13
Return on Net Worth %	10.46	9.26	-1.2

Explanation for Change in Return on Net worth: There has been no change in the return on Net Worth in the financial year under review from the previous year.

11. Cautionary Statement

This report contains forward- looking statements based on the perceptions of the Company and the data and information available with the company. The company does not and cannot guarantee the accuracy of various assumptions underlying such statements and they reflect Companys current views of the future events and are subject to risks and uncertainties. Many factors like change in general economic conditions, amongst others, could cause actual results to be materially different.

Place: Kolkata	For and on behalf of the Board of Directors of
Date: 02.09.2025	DESTINY LOGISTICS & INFRA LIMITED
	Sd/-	Sd/-
	Rekha Bhagat	Jugal Kishore Bhagat
	(Managing Director)	(Director)
	DIN: 03564763	DIN:02218545