Dhanvantri Jeevan Rekha Ltd Management Discussions.

Management discussion and analysis report as required under regulation 34 read with Schedule V of the SEBI (Listing Obligation and Disclosure Requirements) Regulations, 2015, is as under:

INDIAN HEALTHCARE SECTOR: AN OVERVIEW

In spite of being worlds fastest growing large economy, Indias world ranking in health outcomes remains quite low. Given Indias vast population and complex nature of healthcare delivery, there remains huga challenge in ensuring equitable and quality healthcare for the entire population. India continues to report a large incidence of communicable disease and higher Child and Maternal mortality rates.

OPPORTUNITIES

Poor nutrition, physical Inactivity, long working hours, increase In stress levels, and increase use of tobacco and alcohol are some of the rising negative trends and habits due to increased urbanization and problems related to modern-day livings in urban settings.

Today, India has successfully evolved into a leading destination for the international cost-conscious medical traveler. Apart from the inherent cost advantage, high clinical success rates, top quality medical professionals, rapid adoption of technology and an increased number of globally accredited facilities have strengthened Indias position as a preferred destination for medical tourism.

Continued growth in Indian economy coupled with rising prosperity is projected to lead to sustained growth in per capita income.

THREATS

Presently, the total expenditure on health is below 4 percent of the GDP while the government expenditure is below 1.3 percent of GDP- one of the lowest proportions in the world. China spends 5.6 times more, with the U.S. 125 times more.

With the higher spending power of consumers in towns and cities the majority of Indian healthcare professionals are concentrated around urban areas, leaving rural areas under served. While India meets the global average in number of physicians, nearly 75% of dispensaries, 60% of hospitals and 80% of doctors are located in urban areas.

There is is one government hospital bed for every 2,046 individuals, one government doctor for every 10,189 people, and one state-run hospital for every 90,343 citizens respectively, in comparison to these dismal numbers, the US has 24.5 doctors for every 10,000 people and one hospital bed for every 345 citizens.

Insurance Regulatory and Development Authority (IRDA) has stated that Indias per capita healthcare expenditure is one of the lowest levels of in the world. What makes this fact more dismal is governments contribution to insurance stands at roughly 32%, as opposed to 83.5% in the UK. 76% of Indians do not have health insurance, this results in the high out-of-pocket expenses incurred by the citizens of this country.

SEGMENT WISE/COMPANY WISE PERFORMANCE

The Company is engaged mainly in the segment of providing Medical & Health-care Services to the public at large OUTLOOK AND COMPANY OVERVIEW

At Dhanvantri, diagnostic and therapeutic services are being provided in the field of Urology, Cardiology, Neurology, Internal Medicine and Radiology. It has extended its scope of diagnostic and hospital services by providing a fully operational Cath Lab, catering to higher end needs of the cardiac patients inciuding Angiography, Angioplasty, Pacemaker Implantation, Valvuloplasty etc. The medical equipment and technology used are latest and are continuously upgraded. We have excellent senior medical teams who can ensure high class of medical care. The Company continues to have a high occupancy rate of beds during the year under review. Considering the same, the Board foresees a tremendous growth in receipts on increase in the bed capacity and expansion of other hospital facilities.

RISKS & CONCERNS

Given the mani-fold increase in scale and the expanded area of operations since inception, Our organization is automatically exposed to a wider range of risks and uncertainties. At Dhanvantri Hospital, we identify business sustainability risk and opportunities on an ongoing basis.

The Company has constituted a Risk Management policy, which provides to identify, assess, prioritize, manage, monitor and communicate suitable measures to manage such risks. The Management periodically carries out risk assessment exercises.

INTERNAL FINANCIAL CONTROL SYSTEM AND ITS ADEQUACY

The company has an Internal Control Systems, commensurate with the size, scale and complexity of its operations. An extensive budgetary control review mechanism is also put in place for timely review of comparison of actual performance with the forecasted performance. The Board has laid down internal Financial Controls to be followed by the Company and the policies and procedures to be adopted by the company for ensuring the orderly and efficient conduct of its business, including adherence to the companys policies, the safeguarding of its assets, the prevention and detection of frauds and errors, the completeness and accuracy of the accounting records, and the timely preparation of reliable financial information.

DISCUSSION ON FINANCIAL PERFORMANCE WITH RESPECT TO OPERATIONAL PERFORMANCE

At present we have only one class of shares i.e. Equity Shares of par value of Rs. 10/- each. The total Authorized Share Capital is Rs. 500 Lac divided into 50,00,000 Equity Shares of Rs. 10/- each. The Company is having Reserves & Surplus amounting to Rs 652.226 Lakh as at 31st March, 2018.

During the year, the Gross Block of the Company has increased by Rs. 131,35 Lacs. All fixed assets are stated at their original cost of acquisition less depreciation and impairment losses are recognized where necessary.

During the year under review the revenue of the company has increased to Rs 1395.92 Lakh from Rs. 1154.82 Lacs in the previous year registering impressive growth of 17.27%.

HUMAN RESOURCES / INDUSTRIAL RELATIONS

Our people from the nucleus of what we do at Dhanvantri Hospitals and we acknowledge the contribution of all our employees in our journey towards touching a large number of lives. We understand the value of diversity in culture, language, religious beliefs, genders and have been a key supporter to nurture the same in the company. Therefore, the group strives to build a conducive work environment which embraces diversity and fosters inclusion.

We believe that foundation of outstanding quality care is a highly skilled, caring workforce that is proficiently trained to provide personalized and evidence- based care. Therefore, our success largely depends on the high level of skills, commitment and professionalism of our people. Dhanvantri firmly believes that motivation, engagement and development of our people are the key factors behind our growth.

As always we continue to believe that rewarding and recognizing performance is essential to build a stronger Dhanvantri.

In a people driven service industry like healthcare, we ensure that we deliver care and attention to patients. Our Company comprises of medical staff like doctors and nurses, paramedical staff like laboratory technician, pathologists, radiologists, ECG operators, support staff for the housekeeping and non medical staff that cover the finance, materials, and marketing and administration functions.

The total number of employees of the Company as on 31" March, 2018 was 107.

CAUTIONARY NOTE

Statements in this Management Discussion Analysis Report describing the Companys objectives, projections, estimates and expectations may be toward looking statements within the meaning of applicable laws and regulations. Actual results may differ substantially or materialiy from those expressed or implied Important developments that could alter your Companys performance include increase in material costs, technology developments and significant changes in political and economic environment, tax laws and labor relations.