Digikore Studios Ltd Management Discussions

At Digikore Studios, we fuse unparalleled artistic creativity with cutting-edge technological innovation to craft digital experiences that are both visually breathtaking and deeply emotive. Our mastery in visual effects (VFX) empowers us to redefine storytelling across films, web series, and commercials, seamlessly blending imagination with reality to captivate global audiences. With an unwavering commitment to precision, detail, and excellence, we deliver bespoke VFX solutions that elevate narratives and set new benchmarks in quality. Our proven ability to orchestrate intricate, high-stakes VFX projects ensures we consistently surpass client expectations, transforming visionary concepts into extraordinary realities that resonate profoundly and leave a lasting impact.

Economy Overview

Global Economic Overview

In FY 2024-25, the global economy navigated a complex landscape marked by profound uncertainty and transformative shifts. As outlined in the International Monetary Funds World Economic Outlook (April 2025, "A Critical Juncture amid Policy Shifts"), global growth is projected to slow to 2.8%, a notable decline from the 3.7% average observed between 2000 and 2019. This deceleration reflects escalating trade tensions, with new tariff measures in the United States and retaliatory actions from trading partners disrupting global trade and investment flows. These frictions, coupled with heightened policy uncertainty, have created a challenging environment for economic stability.

Advanced economies face restrained growth, with the United States projected to grow at 1 .8% and the euro area at a modest 0.8%, hampered by tighter financial conditions and softening demand. In contrast, emerging markets and developing economies are expected to achieve a more resilient 3.7% growth rate, though they grapple with capital outflows and constrained credit access.

Global inflation is moderating, with headline inflation forecasted at 4.3% for 2025, yet the path to disinflation

remains slower than anticipated. Downside risks loom large, driven by persistent geopolitical tensions, financial market volatility, and diminishing international development support, which disproportionately impact credit-reliant emerging economies.

In this dynamic global context, the IMF emphasizes the critical need for coordinated policy responses to bolster macroeconomic resilience. For India, this underscores

the imperative to fortify economic foundations through disciplined fiscal strategies, inclusive financial deepening, and agile policy frameworks. By prioritizing adaptability and resilience, India is well-positioned to navigate these global headwinds and sustain its growth trajectory.

Source: IMF World Economic Outlook, April 2025

Indian Economic Overview

In FY 2024-25, the Indian economy demonstrated remarkable resilience, navigating global uncertainties and geopolitical challenges with unwavering strength. Bolstered by robust domestic demand, forward-thinking policy interventions, and transformative structural reforms, India sustained a steady macroeconomic trajectory that continues to inspire confidence.

The economy achieved an estimated GDP growth of 6.5%, driven by a dynamic interplay of consumption, investment, and strategic government expenditure. Key sectors such as construction, trade, and financial services led the charge, fuelled by ambitious infrastructure development and robust credit expansion. Inflationary pressures moderated significantly, with headline CPI declining to 3.6% in February 2025, while core inflation, at 4.1%, signalled manageable cost dynamics. The Reserve Bank of Indias prudent monetary policy, complemented by agile fiscal measures, ensured a stable economic environment conducive to growth.

The external sector maintained its equilibrium, despite intermittent foreign portfolio investment outflows exerting pressure on the rupee. Strong domestic investor

participation provided a vital counterbalance, reinforcing market stability. The labor market emerged as a cornerstone of progress, with robust employment gains in manufacturing and services, and urban unemployment falling to an encouraging 6.4%.

By the close of FY 2024-25, Indias GDP reached an impressive USD 4.3 trillion, propelling the nation past Japan to claim its position as the worlds fourth-largest economy. Looking forward, the RBI projects sustained growth of 6.5% for FY 2025-26, with inflation expected to remain well within target. Anchored by strong fundamentals and proactive policymaking, Indias economic outlook remains exceptionally promising, poised to deliver sustained value to stakeholders and cement its role as a global economic powerhouse.

Source: Ministry of Statistics and Programme Implementation (MOSPI), RBI Issues April 2025 Policy Update

Global Animation and VFX Industry: A Visionary Leap Forward

The global Animation and VFX industry stand at the forefront of a creative and technological renaissance, poised for extraordinary growth. Projections indicate the market will surge from USD 179.78 billion in 2024 to an impressive USD 31 1 .46 billion by 2029, propelled by a dynamic CAGR of 9.43%. This remarkable trajectory is fuelled by the seamless integration of cutting-edge animation and VFX techniques across diverse sectors, with film and television leading the charge. As studios push the boundaries of visual storytelling, escalating production budgets reflect their commitment to delivering breathtaking, high- impact content that captivates global audiences.

The rise of digital streaming platforms has transformed the industrys landscape, democratizing access to content and amplifying international distribution. This shift has sparked an unprecedented demand for visually rich narratives, driven by trends such as the growing appetite for 3D-UHD animated films and the meteoric rise of OTT services. Strategic outsourcing of VFX processes has further optimized costs, enabling studios to channel resources into innovation and quality. Meanwhile, advancements in Virtual Reality (VR) and Augmented Reality (AR) are redefining creative possibilities, delivering immersive experiences that resonate deeply with audiences and set new benchmarks for engagement.

Despite challenges posed by the COVID-19 pandemic, which temporarily disrupted production and post-production workflows, the industry demonstrated remarkable resilience. Swift adaptation and a relentless focus on innovation have not only facilitated recovery but also positioned the sector for sustained growth. Leading players, such as DIGIKORE, are seizing this moment to expand their service portfolios and invest strategically, aligning with the evolving needs of the media and entertainment landscape.

Looking to the horizon, the Animation and VFX industry is poised to redefine the art of storytelling. The convergence of technological innovation, rising global content consumption, and the proliferation of digital platforms will continue to drive exponential growth. As emerging markets embrace these advancements and audience expectations soar, the industry is set to deliver unparalleled visual experiences, pushing the boundaries of creativity across an ever-expanding array of platforms and media. The future of Animation and VFX is not just bright — it is transformative, promising a new era of storytelling that inspires and captivates the world.

Recent Developments

1. 1. Demand for High-Quality Content:

There is a significant increase in demand for visually engaging and immersive content across films, TV shows, advertisements, and digital media. This includes the use of VFX to create impressive visuals in movies and compelling advertising campaigns.

2. 2. Streaming Revolution and Digital Media Expansion

The meteoric rise of streaming platforms, fueled by ubiquitous high-speed internet and smart devices, has transformed content consumption. This digital renaissance has intensified the focus on producing high-quality, visually rich content. Content creators are increasingly harnessing advanced VFX techniques to elevate their storytelling, captivate global audiences, and stand out in a competitive digital ecosystem.

3.3. Technological Advancements Redefining VFX

Breakthroughs in VFX technology are revolutionizing the industry, enabling creators to push creative boundaries while streamlining production. Enhanced rendering capabilities, real-time VFX solutions, and seamless AI integration are driving unparalleled quality and efficiency. Innovations such as motion capture, facial recognition, and cloud-based workflows are unlocking new creative possibilities, empowering artists to deliver visually spectacular content with greater speed and precision.

4. 4. Immersive Frontiers: The Rise of VR and AR

The rapid ascent of virtual reality (VR) and augmented reality (AR) is reshaping the VFX landscape, as these technologies demand sophisticated visual effects to deliver immersive, lifelike experiences. The growing popularity of VR and AR applications across gaming, entertainment, and beyond is propelling the VFX market forward, positioning it at the forefront of the next wave of experiential innovation.

Industry Overview

Strategic Opportunities in Global Production Incentives

France and UK Bolster Support for International and Independent Productions

In a dynamic global production landscape, France and the United Kingdom have introduced robust tax incentives to attract international filmmakers and strengthen their domestic creative industries. These forward-thinking policies create significant opportunities for our company to optimize production strategies, enhance cost efficiencies, and deliver high-quality content to global audiences.

France: A Hub for Creative Excellence

France continues to solidify its position as a premier destination for international productions through the Tax Rebate for International Productions (TRIP), administered by the French National Centre for Cinema (CNC). This program offers a compelling 30% tax rebate on eligible expenditures incurred in France, with an enhanced 40% rebate for projects with visual effects (VFX) expenses exceeding €2 million. To qualify, projects must be fictional works, involve a minimum of five shooting days in France, and meet a €250,000 threshold for French expenditures while passing a cultural test. By partnering with French production services companies, we can leverage this rebate on costs such as salaries, technical services, travel, and depreciation, with a cap of €30 million per project. The ability to recover excess rebates through annual tax returns further enhances financial flexibility, positioning France as a strategic location for our VFX-intensive and high-impact projects.

United Kingdom: Empowering Independent Creativity

The UK government has taken bold steps to invigorate its independent film sector with the introduction of a transformative 40% tax relief for films budgeted up to ?15 million, effective April 2025. Announced by Chancellor Jeremy Hunt in the March 6 Spring Budget, this "indie tax credit" is designed to empower independent filmmakers and level the playing field against large- scale US studio productions. Additionally, a 39% tax credit for visual effects and a 40% business rates relief for studio facilities in England further enhance the UKs appeal as a production hub. These measures reflect a strategic response to industry advocacy, addressing the competitive challenges faced by UK independents. For our company, these incentives unlock opportunities to produce innovative, cost-effective content while tapping into the UKs world-class talent and infrastructure.

Strategic Implications

The enhanced incentives in France and the UK align seamlessly with our commitment to delivering cutting-edge, culturally resonant content while optimizing financial performance. By strategically allocating resources to these regions, we can maximize rebates, reduce production costs, and invest in high-value projects that captivate global audiences. These policies not only bolster our operational efficiency but also reinforce our role as a leader in the global entertainment industry, driving sustainable growth and creative excellence.

Indian VFX Industry

The Indian Visual Effects (VFX) industry is on the cusp of a remarkable ascent, fueled by a potent combination of burgeoning domestic demand, deepening global partnerships, and relentless technological innovation. This vibrant sector is rapidly carving out a pivotal role in the global entertainment ecosystem, capitalizing on Indias unique strengths in creative ingenuity, technical prowess, and cost efficiency.

Despite its promising trajectory, the industry faces challenges, notably its dependence on international markets and the gradual embrace of transformative technologies like virtual production. However, these hurdles are not insurmountable. Strategic investments in cutting-edge tools and talent development are poised to bridge these gaps, unlocking new avenues for growth and innovation.

The Indian governments proactive support, through policies fostering digital infrastructure and creative industries, serves as a powerful catalyst for the sectors expansion. Coupled with an increasing number of international collaborations, these efforts position Indias VFX industry to not only meet but exceed global expectations. As the worlds entertainment landscape evolves, Indias VFX sector is primed to lead, delivering captivating visual storytelling and immersive experiences that resonate on a global stage.

With a clear vision, robust partnerships, and an unwavering commitment to innovation, the Indian VFX industry is set to redefine the boundaries of visual creativity, establishing itself as a global powerhouse in the art and science of visual effects.

Source: E&Y Report and IBEF

Recent Trends and Performance:

In a year marked by resilience amid global headwinds, the Indian animation, VFX, and post-production sectors demonstrated adaptability and strategic foresight, laying a strong foundation for sustained growth.

Animation : Navigating a challenging landscape, the Indian animation industry experienced a 5% contraction in 2024, concluding at INR 36 billion. This downturn was primarily driven by subdued local demand, protracted delays from industry mergers, and disruptions from international strikes. Compounding these pressures were declining ad revenues for key broadcasters and reduced funding for innovative projects. Yet, visionary studios countered these obstacles by pivoting toward VFX integration and feature film development, while actively pursuing untapped global markets to ensure long-term viability.

VFX : In contrast, the VFX segment showcased robust momentum, expanding by 1 0% to reach INR 54 billion in 2024. While global demand softened and U.S. industry strikes curtailed outsourcing pipelines, domestic opportunities flourished. This growth was propelled by heightened VFX adoption in advertising campaigns and the nascent promise of virtual production technologies. Nonetheless, stakeholders remain vigilant about optimizing return-on-investment timelines and mitigating elevated costs to unlock even greater potential.

Post-Production : The post-production arena emerged as a standout performer, surging 20% in 2024, fuelled by the burgeoning need for content localization and the transformative integration of AI in dubbing processes. The proliferation of OTT platforms and escalating consumer appetite for regionally tailored narratives have been pivotal catalysts, positioning this segment as a cornerstone of the industrys evolution.

Key Drivers of Growth

Looking ahead, several strategic catalysts are poised to propel the sector forward:

ra Production Resumption:

With production rhythms expected to normalize by mid-2024, lingering delays from prior disruptions will dissipate, enabling a swift acceleration in project pipelines and output efficiency. -?

Government Incentives:

Generous policy measures, including up to 30% cost reimbursements, are set to magnetize international partnerships, enhancing Indias competitive edge on the global stage and fostering innovation.

? US Market Demand:

The rising appetite in the U.S. for adult-oriented animation unlocks fresh outsourcing avenues, offering Indian studios a gateway to high-value collaborations and revenue diversification.

Industry Partnerships:

Bolstered co-production alliances and financing frameworks, complemented by targeted educational initiatives to address talent shortages, will cultivate a more agile and skilled workforce, driving exponential future expansion.

Source: EY Report

Outlook

The Indian VFX industry is on the verge of a dynamic evolution, propelled by a surge in domestic demand, deepening

global partnerships, and rapid advancements in cutting-edge technologies. Positioned at the intersection of creativity and ^v

innovation, the sector is primed to capitalize on its unique strengths — unparalleled artistic talent, technological agility, and

cost competitiveness — to secure a commanding presence in the global entertainment market. Support from the Indian

government, combined with a growing network of international collaborations, further amplifies the industrys potential for

exponential growth.

Yet, challenges such as reliance on international markets and the gradual adoption of transformative technologies like virtual production must be addressed to sustain this momentum. As India strengthens its digital infrastructure and embraces next-generation tools, the VFX industry is poised to redefine visual storytelling, delivering immersive, world-class experiences that resonate globally. With strategic vision and continued innovation, the Indian VFX sector is not just participating in the global entertainment landscape — it is shaping its future.

Source: E&Y Report and IBEF

Review of Operations

Business Overview

Digikore Studios, headquartered in the vibrant innovation hub of Pune, India, with strategic subsidiary in Canada, stands as a global beacon of excellence in the visual effects (VFX) industry. Renowned for crafting breathtaking visual narratives, Digikore seamlessly blends artistry and cutting- edge technology to deliver unparalleled experiences across films, television, web series, and commercials. With an unwavering commitment to quality and innovation, the studio has carved a distinguished reputation as a trailblazer, consistently pushing the boundaries of whats possible in VFX.

At the heart of Digikores success lies its exceptional team of artists, whose creativity and precision captivate audiences worldwide. Serving a diverse global clientele, the studios meticulous attention to detail ensures every project resonates with brilliance, cementing its status as a trusted leader in the VFX landscape.

A landmark achievement in October 2023 underscored Digikores meteoric rise: its listing on the NSE Emerge platform, which saw an extraordinary subscription rate of 281.58 times. The overwhelming response from investors — retail investors subscribing 370.17 times, Non-Institutional Buyers (NII) at 362.65 times, and Qualified Institutional Buyers (QIB) at 65.63 times — reflects the markets resounding confidence in Digikores vision and growth potential.

Looking ahead, Digikore is poised for transformative expansion. The company is strategically scaling its global footprint, with plans to establish state-of-the-art facilities in Eastern North America and Europe. By investing in next- generation technologies such as artificial intelligence, machine learning, and real-time rendering, alongside robust infrastructure and world-class talent acquisition, Digikore is redefining industry standards. These initiatives not only enhance its service offerings but also solidify its competitive edge, positioning Digikore to lead the VFX industry into a dynamic and innovative future.

Financial Highlights:

Over the past few years, Digikore Studios Limited has shown strong revenue growth. However, the financial year 2024-25 was challenging due to the prolonged impact of Hollywood strikes, delayed project greenlights, and extended award cycles. These factors led to a net EBITDA loss of ? 9.96 Crore for the year.

Ratio	FY 25	FY 24
EBITDA(%)	(9.96)	30.88
Net Profit (%)	(19.47)	19.26
ROE (%)	(20.72)	22.71
ROCE (%)	(17.10)	27.72
Book Value (%)	54.91	66.28
Fixed Assets Turnover Ratio	2.30	4.14
Debt to Equity (Times)	1.14	0.21
Interest Coverage Ratio (Times)	(2.63)	8.28
Current Ratio (Times)	1.39	5.88

Ratio Analysis :

In FY25, our financial metrics experienced challenges due to external factors. The EBITDA margin shifted from 30.88% in FY24 to -9.96% in FY25, signalling temporary operational headwinds. Similarly, the Net Profit margin moved from 19.26% in FY24 to -19.47% in FY25, reflecting the impact of these extraordinary circumstances. The Interest Coverage Ratio and other liquidity metrics also faced pressure in FY25, highlighting a period of constrained financial flexibility. Despite these challenges, we are actively addressing these issues to restore our strong financial foundation.

Opportunities & Threats Opportunities

-Surging Global Demand for Premium Visual Effects: The escalating appetite for superior visual effects across cinematic masterpieces, television series, streaming content, and dynamic advertising campaigns presents a transformative growth avenue for Digikore. The proliferation of streaming platforms and digital media channels amplifies this momentum, positioning Digikore to capture a larger share of this vibrant market.

-Pioneering Technological Innovation: Breakthroughs in visual effects technology—spanning artificial intelligence, real-time rendering, and immersive VR/AR experiences — empower Digikore to redefine industry standards. By embracing these cutting-edge advancements, Digikore can elevate its service portfolio, attract marquee clients, and secure high-profile projects that solidify its competitive leadership.

-Strategic Global Expansion: Digikores bold foray into international markets, including Eastern Europe and South

" Korea, unlocks a wealth of untapped potential. These strategic moves open doors to diverse client bases and dynamic K markets. Furthermore, forging synergistic partnerships with global VFX studios, technology innovators, and content creators amplifies Digikores influence, fostering access to novel technologies and collaborative opportunities that drive project innovation and market reach.

-Capitalizing on UK Market Momentum: Digikores recent

acquisition in the UK strategically positions the company to seize emerging project opportunities and strengthen its foothold in this key market. Coupled with favorable tax rebate incentives, this expansion creates a fertile landscape for operational growth and enhanced profitability, reinforcing Digikores trajectory as a global VFX powerhouse.

Threats

-In a dynamic and ever-evolving VFX industry, Digikore navigates a landscape marked by both opportunity and challenge. The following threats underscore the complexities we face, yet they also fuel our commitment to resilience, innovation, and strategic foresight.

1 . Industry-Wide Disruptions: The global VFX sector is susceptible to disruptions, such as labour strikes and unforeseen industry challenges, which can ripple across project timelines, inflate costs, and introduce revenue uncertainty. Recent Hollywood strikes exemplify how such events can reverberate, testing the adaptability of studios like ours. Digikore remains vigilant, leveraging proactive planning and diversified operations to mitigate these impacts and ensure continuity.

2. Fierce Competitive Landscape: The VFX industry thrives on intense competition, with established studios and agile newcomers vying for dominance. This dynamic environment challenges Digikore to consistently differentiate itself through unparalleled creativity, technical excellence, and client-centric innovation. By fostering deep client relationships and delivering exceptional value, we aim to solidify our market position and capture new opportunities.

3. Rapid Technological Evolution: The pace of technological advancement in the VFX industry is relentless, demanding continuous investment in cutting-edge tools, workflows, and talent development. Staying ahead of these shifts is critical to maintaining our competitive edge. Digikore embraces this challenge as an opportunity, committing to ongoing innovation and skill enhancement to deliver state-of-the-art solutions that anticipate and shape industry trends.

4. Market Demand Volatility: Fluctuations in demand for VFX services, particularly in key markets like North America and Europe, pose risks to revenue stability. Shifting client preferences and evolving market dynamics require a nimble approach. Digikore counters this by diversifying its client portfolio, expanding into emerging markets, and aligning our offerings with the evolving needs of global storytellers.

These challenges, while formidable, inspire Digikore to push boundaries and redefine excellence. By embracing adaptability, fostering innovation, and maintaining a client-first mindset, we are poised to transform potential threats into opportunities for growth and leadership in the VFX industry.

Risks and Concerns

Risk Management

At DIGIKORE, our robust risk management framework is the cornerstone of our resilience, ensuring sustained operational excellence and financial stability in a dynamic global landscape. We proactively address multifaceted risks—ranging from industry disruptions like strikes and geopolitical uncertainties to rapid technological advancements in the VFX sector. By strategically diversifying our project portfolio and geographic footprint, DIGIKORE minimizes dependency on any single market or client, fortifying our ability to navigate volatility with agility. Our commitment to continuous investment in cutting-edge technology and comprehensive employee training empowers us to stay ahead of industry shifts, ensuring seamless adaptability and innovation.

In a competitive and ever-evolving market, DIGIKORE distinguishes itself through an unwavering dedication to quality, creativity, and strategic foresight. We forge impactful partnerships and collaborations that amplify our market presence and enhance operational capabilities. Our proactive stance includes meticulously crafted contingency plans and agile operational frameworks, enabling us to respond swiftly to fluctuating demand and evolving client needs. This strategic agility not only mitigates risks but also reinforces our competitive edge, positioning DIGIKORE as a trusted leader in the VFX industry.

Guided by the Risk Management Committee, comprising Independent Directors and Senior Management, DIGIKOREs risk management strategy is both rigorous and forward-thinking. The Committee diligently oversees risk mitigation efforts, providing strategic insights to ensure resilience across all operations. In alignment with Listing Regulations, we have integrated cybersecurity into our risk management framework, safeguarding our digital infrastructure against emerging threats.

The Board remains confident that no risks currently identified pose an existential threat to DIGIKOREs operations, reflecting the strength and foresight embedded in our risk management approach. By blending strategic vision with disciplined execution, DIGIKORE is well-positioned to sustain its growth trajectory and deliver enduring value to stakeholders.

Outlook

DIGIKORE stands at the forefront of the visual effects (VFX) industry, poised to harness transformative trends and drive sustained growth. With a bold vision to redefine storytelling in the digital age, the company is strategically expanding its footprint in digital streaming platforms and gaming, while pioneering advancements in cutting-edge technologies like artificial intelligence and virtual production. These initiatives position DIGIKORE to meet the surging global demand for immersive, high-quality visual experiences with unmatched precision and creativity.

The global VFX industry is on an upward trajectory, fueled by an insatiable appetite for captivating content across "dWe^se^imedia. DIGIKORE is uniquely equipped to seize this opportunity, leveraging its innovative spirit and strategic foresight. By deepening its technological capabilities and expanding into high-growth international markets, the company is well-positioned to exceed client expectations and set new industry benchmarks. The burgeoning gaming sector, alongside rising demand for premium visual effects, further amplifies DIGIKOREs growth potential, offering a dynamic platform for sustained success.

In an era of rapidly evolving content consumption, DIGIKOREs agility and forward-thinking approach are critical to navigating market complexities. Through strategic partnerships and a diversified service portfolio, the company is building resilience against economic uncertainties and regulatory shifts. By proactively addressing challenges and embracing innovation, DIGIKORE is not only sustaining its growth momentum but also cementing its leadership in the global VFX landscape. With a clear vision and unwavering commitment to excellence, DIGIKORE is set to shape the future of visual storytelling, delivering unparalleled value to stakeholders and redefining industry standards.

Internal Control Systems & their Adequacy

Digikore Studios maintains a robust internal control system designed to safeguard assets, ensure accurate and timely authorization, recording, and reporting of all transactions, and comply with local statutory requirements while adhering to the highest global standards. This framework enables the company to remain agile and competitive in a dynamic business environment.

The internal control system comprehensively monitors and evaluates risks associated with the companys operations and corporate profile, including scientific and development risks, partner interest risks, and commercial and financial risks. It ensures seamless execution of accounting and financial processes by regularly reviewing both manual and automated transaction approval procedures.

The Audit Committee oversees the internal audit plan, evaluates the effectiveness of the control system, documents audit observations, and ensures the implementation and sustainability of corrective measures.

Human Resource Development

At Digikore Studios, our people are the cornerstone of our success. We are deeply committed to fostering an environment where talent thrives, innovation flourishes, and every employee is empowered to reach their full potential. Through strategic initiatives such as robust performance appraisals, cutting-edge learning management systems, and tailored talent development programs, we cultivate a culture of continuous growth and excellence. Our comprehensive training programs equip our workforce with the skills to excel in a rapidly evolving technological landscape.

Our HR philosophy is rooted in fostering engagement, motivation, and loyalty. By embracing an open-door policy, flexible work arrangements, and transparent communication, we create a workplace that inspires trust and collaboration. We proactively identify and nurture future leaders, building a dynamic talent pipeline that ensures resilience and adaptability in the face of industry shifts. This harmonious alignment of our human capital with our strategic vision positions Digikore Studios for sustained growth and innovation.

As of March 2025, our workforce has grown to over 377 dedicated professionals, a testament to our commitment to attracting and retaining top talent. With an unwavering focus on empowering our employees, Digikore Studios is poised to lead with creativity, agility, and purpose in the years ahead.

Cautionary Statement

This Management Discussion and Analysis contains forward-looking statements regarding Digikore Studios Limiteds (DIGIKORE, or the Company) objectives, projections, outlook, expectations, and estimates, as permitted under applicable securities laws. These statements reflect our strategic vision and are grounded in assumptions about future market conditions, operational performance, and industry trends. However, they are inherently subject to risks and uncertainties, including factors beyond the Companys control, such as economic shifts, regulatory changes, or unforeseen global events. While we are confident in our growth strategy, actual outcomes may differ from these projections due to the dynamic nature of our operating environment. Digikore Studios Limited undertakes no obligation to publicly update or revise these forward-looking statements, except as required by law, to reflect subsequent developments or events after March 31, 2025.

The management is pleased to present a comprehensive analysis of the Companys performance for the fiscal year ended March 31, 2025 (covering April 1, 2024, to March 31, 2025), highlighting our achievements, challenges, and strategic initiatives that position Digikore for sustained growth and industry leadership.