Dove Soft Ltd Management Discussions

OF FINANCIAL POSITION AND RESULTS OF OPERATIONS

The following discussion is intended to convey managements perspective on our financial condition and results of operations for the Fiscal Year ended on March 31, 2026, 2025, and 2024. You should read the following discussion of our financial condition and results of operations together with our Restated Financial Statements included in the Red Herring Prospectus. You should also read the section entitled "Risk Factors" beginning on page no. 21 of this Red Herring Prospectus, which discusses several factors, risks and contingencies that could affect our financial condition and results of operations. The following discussion relates to our Company and is based on our Restated Consolidated Financial Statements, which have been prepared in accordance with Indian GAAP, the Companies Act and the SEBI Regulations. Portions of the following discussion are also based on internally prepared statistical information and on other sources. Our fiscal year ends on March 31 of each year, so all references to a particular fiscal year ("Fiscal Year") are to the twelve-month period ended March 31 of that year.

In this section, unless the context otherwise requires, any reference to "we", "us" or "our" refers to Dove Soft Limited, our Company. Unless otherwise indicated, financial information included herein are based on our "Restated Financial Statements" for the Fiscal year ended on March 31, 2026, 2025 and 2024, included in this Red Herring Prospectus beginning on page no. 213.

BUSINESS OVERVIEW

We are an integrated cloud-communications solutions providers offering services via SMS, RCS, Voice, WhatsApp, Email and other digital channels. We provide services to various enterprises and over-the-top (OTT) platforms through services such as transactional Short Message Service (SMS), WhatsApp, Voice, Interactive Voice Response (IVR), automated voice calls solution, E-mail and Digital Products. We cater to clients from various industries such as Telecom, Information Technology, Travel Tourism, Entertainment, Media, Advertising and Events, Retail, Real Estate, Healthcare & cosmetic, Banking, Financial Services & Insurance (BFSI), Automobile, E-commerce and Food & Beverages, enabling them to manage customer communication and streamline operations.

The table set forth below are certain key financial and Operational metrics on a consolidated basis for the periods indicated:

(Rs in Lakhs, unless otherwise specified)

Metric	As of and for the Fiscal
	2026	2025	2024
Revenue From operations	27,398.01	18,773.86	11,972.69
Total Revenue	27,474.18	18,825.79	11,979.02
EBITDA	3,277.87	2,413.42	1,477.14
EBITDA Margin (%)	11.96%	12.86%	12.34%
Profit after tax	2,340.41	1,654.00	1,027.18
PAT Margin (%)	8.54%	8.81%	8.58%
Return on Equity (ROE) (%)	29.89%	33.12%	36.71%
Return on Capital Employed (ROCE) (%)	33.81%	42.45%	45.51%
Debt To Equity Ratio	0.10	0.13	0.10
Current Ratio	2.01	2.57	1.34
Net Capital Turnover Ratio	4.28	5.14	10.04

*Not Annualised.

Notes:

a) As certified by Mathia & Co., Chartered Accountants pursuant to their certificate dated September 2, 2026. The Audit Committee in its resolution dated August 31, 2026 has confirmed that the Company has not disclosed any KPIs to any investors at any point of time during the three years preceding the date of this Red Herring Prospectus other than as disclosed in this section;

b) Revenue from Operations means the Revenue from Operations as appearing in the Restated Consolidated Financial Statements;

c) EBITDA is calculated as profit before tax plus depreciation & amortization expense and finance costs minus other income;

d) EBITDA Margin refers to EBITDA during a given period as a percentage of revenue from operations during that period;

e) Net Profit Ratio/Margin quantifies our efficiency in generating profits from our revenue and is calculated by dividing our net profit after taxes but before other comprehensive income by our revenue from operations;

f) Return on equity (RoE) is equal to profit after tax for the year divided by the average total equity during that period and is expressed as a percentage;

g) Debt to equity ratio is calculated by dividing the debt (excluding lease liabilities) by total equity (which includes issued capital and all other equity reserves);

h) RoCE (Return on Capital Employed) (%) is calculated as profit before tax plus interest expenses divided by Total Capital Employed;*

Total Capital Employed: Total Equity + Non-Current Borrowings + Current Borrowing + Deferred Tax Liabilities - Deferred Tax Assets.

i) Current Ratio is a liquidity ratio that measures our ability to pay short-term obligations (those which are due within one year) and is calculated by dividing the current assets by current liabilities;

j) Net Capital Turnover Ratio quantifies our effectiveness in utilizing our working capital and is calculated by dividing our revenue from operations by our average working capital (i.e., current assets less current liabilities).

SIGNIFICANT DEVELOPMENTS SUBSEQUENT TO THE LAST FINANCIAL YEAR:

In the opinion of the Board of Directors of our Company, there have not arisen, since the date of March 31, 2026 as disclosed in this Red Herring Prospectus, any significant developments or any circumstance that materially or adversely affect or are likely to affect the profitability of our Company or the value of its assets or its ability to pay its material liabilities within the next twelve months.

KEY FACTORS AFFECTING THE RESULTS OF OPERATION:

Our Companys future results of operations could be affected potentially by the following factors:

1. Regulatory and Data Privacy Challenges;

2. Network Reliability and Downtime Risks;

3. Competitive Pressure from Established Players & New Entrants;

4. Technological Advancements & Integration Challenges;

5. Dependency on Mobile Network Operators (MNOs) and relationship with them;

6. Dependency on Telecom Carriers & Cloud Providers;

7. Cybersecurity Threats & Fraudulent Activities;

8. Evolving Customer Preferences & Market Demand;

9. Geopolitical Risks & Cross-Border Restrictions;

10. Lack of Long-Term Contracts & High Customer Churn.

OUR SIGNIFICANT ACCOUNTING POLICIES

For significant accounting policies please refer Significant Accounting Policies, "Annexure 1" beginning under Chapter titled "Restated Financial Statements" beginning on page no. 213 of the Red Herring Prospectus.

RESULTS OF KEY OPERATIONS

The following table sets forth select financial data from our restated financial statement of profit and loss for the financial years ended March 31, 2026, 2025, and 2024 the components of which are also expressed as a percentage of total revenue for such period and financial years.

(Rs in Lakhs)

Particulars	For the year ended on
	March 31, 2026	% of Total Income	March 31, 2025	% of Total Income	March 31, 2024	% of Total Income
Revenue from operation	27,398.01	99.72	18,773.86	99.72	11,972.69	99.95
Other income	76.18	0.28	51.93	0.28	6.33	0.05
Total Revenue	27,474.19	100.00	18,825.79	100.00	11,979.02	100.00
Purchase of Messaging services and Direct Expenses	22,357.02	81.37	15,223.00	80.86	9,631.90	80.41
Employee Benefits Expenses	898.19	3.27	638.72	3.39	488.05	4.07
Finance Cost	121.07	0.44	115.92	0.62	31.80	0.27
Depreciation and Amortisation Cost	209.52	0.76	130.31	0.69	78.68	0.66
Other Expenses	864.93	3.15	498.72	2.64	375.59	3.14
Total Expenses	24,450.73	89.00	16,606.67	88.21	10,606.03	88.54
Profit Before Tax	3,023.46	11.00	2,219.12	11.78	1,372.99	11.46
Tax Expenses	683.04	2.49	539.23	2.86	413.50	3.45
Profit (Loss) for the Year	2,340.42	8.52	1,654.00	8.78	1,027.18	8.57

Review of Restated Financials

Revenue from Operations: Revenue from operations mainly consists of sale of integrated cloud communications solutions services via SMS, Voice, WhatsApp, and Email to Telecom, Information Technology, Travel Tourism, Entertainment, Media, Advertising and Events, Retail, Real Estate, Healthcare and cosmetic, Banking, Financial Services, and Insurance, Automobile, E-commerce, Food and Beverages.

Other Income: Other income includes interest income on fixed deposits and other interest, profit from sale of shares and fixed asset, Discount received and other non-operating income.

Total Income: Our total income comprises of revenue from operations and other income.

Total Expenses: Companys total expenses consist of Purchase of Messaging services, employee benefit expenses, finance costs, depreciation and amortization expenses and other expenses.

Purchase of Messaging services and Direct Expenses: Purchase of Messaging services mainly consist of SMS, Email, Voice call, Digital marketing, International purchases and Commission Paid expenses.

Employee Benefits Expense: Employee benefit expense includes Salary, Wages and Bonus, Director Remuneration, Staff Welfare Expenses, Gratuity expenses and Contribution to provident fund and ESIC.

Finance Cost: Finance cost includes bank charges, processing charges and interest on loan/OD.

Other expenses: Other expenses mainly consist of Rent, rates and taxes, Legal and professional charges, Advertisement and business promotion, Travelling and Conveyances, etc.

COMPARISON OF F.Y. 2026 WITH F.Y. 2025

Revenue from Operations

The Companys revenue from operations for the financial year 2025-26 stood at Rs 27,398.01 Lakhs, marking an increase of Rs 8,624.15 Lakhs (45.94%) compared to the previous financial year 2024-25, where revenue was Rs 18,773.86 Lakhs.

The sales growth can be attributed to a surge in demand for the Companys extensive cloud communication solutions, including SMS, Digital marketing, WhatsApp, and RCS notifications, across various industries such as Telecom, IT, Travel & Tourism, Entertainment, Media, Advertising, and Events.

Key contributors to the revenue increase include:

The Companys revenue from operations for the financial year 2025-26 stood at Rs 27,398.01 Lakhs, marking an increase of Rs 8,624.15 Lakhs (45.94%) compared to the previous financial year 2024-25, where revenue was Rs 18,773.86 Lakhs.

The sales growth can be attributed to a surge in demand for the Companys extensive cloud communication solutions, including SMS, Digital marketing, WhatsApp, and RCS notifications, across various industries such as Telecom, IT, Travel & Tourism, Entertainment, Media, Advertising, and Events.

Other Income

In the financial year 2025-26, the other income recorded an increase of 46.69%, amounting to Rs 76.18 Lakhs, as compared to Rs 51.93 Lakhs in financial year 2024-25. This increase was primarily due to unrealised foreign exchange fluctuation gain of Rs 72.89 Lakhs, partially offset by a decrease in other income of Rs 33.80 Lakhs and the absence of profit on sale of car of Rs 14.97 Lakhs recorded in the previous financial year.

Purchase of Messaging services and Direct Expenses

In the financial year 2025-26, the other income recorded an increase of 46.69%, amounting to Rs 76.18 Lakhs, as compared to Rs 51.93 Lakhs in financial year 2024-25. This increase was primarily due to unrealised foreign exchange fluctuation gain of Rs 72.89 Lakhs, partially offset by a decrease in other income of Rs 33.80 Lakhs and the absence of profit on sale of car of Rs 14.97 Lakhs recorded in the previous financial year.

Employee Benefits Expenses

Employee benefit expenses in the Financial Year 2025-26 increased by 40.62%, reaching Rs 898.19 Lakhs in comparison to the Rs 638.72 Lakhs incurred in the Financial Year 2024-25. This rise in employee expenses primarily stemmed from increases in salary, wages and bonus, which went up by Rs 218.08 Lakhs, staff welfare expenses which increased by Rs 23.66 Lakhs, director remuneration which increased by Rs 11.16 Lakhs, contribution to provident fund and ESIC which increased by Rs 5.22 Lakhs and gratuity expense which increased by Rs 1.35 Lakhs.

Finance Cost

The Finance cost increased by 4.45% to Rs 121.07 Lakhs in the Financial Year 2025-26 against that of Rs 115.92 Lakhs in Financial Year 2024-25. The increase in the Finance Charges is on account of increase in interest on Loan/OD charges by Rs 4.37 Lakhs and processing charges by Rs 0.78 Lakhs.

Depreciation and Amortisation Expenses

Depreciation and amortization expenses increased by Rs 79.21 Lakhs to reach Rs 209.52 Lakhs during the financial year 2025-26, compared to the Rs 130.31 Lakhs recorded in the financial year 2024-25. This increase in depreciation was a result of additions to property, plant and equipment and intangible assets during the year.

Other Expenses

Other expenses saw an increase of 73.43%, totalling Rs 864.93 Lakhs during the financial year 2025-26, as opposed to the Rs 498.72 Lakhs incurred in the financial year 2024-25. This increase in other expenses was primarily attributed to several factors, including Rs 265.27 Lakhs increase in legal and professional charges, Rs 26.85 Lakhs increase in loss on sale of shares, Rs 23.99 Lakhs increase in advertisement and business promotion, Rs 23.01 Lakhs increase in travelling and conveyance, Rs 21.30 Lakhs increase in foreign exchange fluctuation, Rs 19.50 Lakhs increase in CSR expenditure, Rs 17.58 Lakhs increase in interest on taxes, Rs 17.11 Lakhs increase in office expenses and Rs 7.57 Lakhs increase in provision for doubtful debt, partially offset by a Rs 34.39 Lakhs decrease in auditors remuneration, a Rs 23.87 Lakhs decrease in server and domain charges and a Rs 6.64 Lakhs decrease in rent, rates and taxes.

Tax Expenses

Tax expenses increased by 20.87%, reaching a total of Rs 683.04 Lakhs in the financial year 2025-26, in contrast to the Rs 565.12 Lakhs in the financial year 2024-25.

Profit after Tax (PAT)

As a result of the factors mentioned earlier, the profit showed an increase, primarily due to the growth in Total income. The Profit After Tax (PAT) for the financial year 2025-26 amounted to Rs 2,340.42 Lakhs, in contrast to Rs 1,654.00 Lakhs in the financial year 2024-25. In the financial year 2025-26, the PAT represented 8.52% of the total income, as opposed to 8.79% of the total income in the financial year 2024-25.

PAT Margin

As a result of the factors mentioned earlier, the profit showed an increase, primarily due to the growth in Total income. The Profit After Tax (PAT) for the financial year 2025-26 amounted to Rs 2,340.42 Lakhs, in contrast to Rs 1,654.00 Lakhs in the financial year 2024-25. In the financial year 2025-26, the PAT represented 8.52% of the total income, as opposed to 8.79% of the total income in the financial year 2024-25.

COMPARISON OF F.Y. 2025 WITH F.Y. 2024

Revenue from Operations

The Companys revenue from operations for the financial year 2024-25 stood at Rs18,773.86 Lakhs, marking an increase of Rs6,801.17 Lakhs (56.81%) compared to the previous financial year 2023-24, where revenue was Rs11,972.69 Lakhs.

The sales growth can be attributed to a surge in demand for the Companys extensive cloud communication solutions, including SMS, Voice, WhatsApp, and Email services, across various industries such as Telecom, IT, Travel & Tourism, Entertainment, Media, Advertising, and Events.

Key contributors to the revenue increase include:

- SMS Revenue grew by Rs5,553.66 Lakhs (50.58%), from Rs10,979.24 Lakhs in FY 2023-24 to Rs16,532.90 Lakhs in FY 2024-25, accounting for 88.06% Revenue from operations;

- The Voice segment increased from Rs39.66 Lakhs in FY 2023-24 to Rs1,753.68 Lakhs in FY 2024-25, an increase of Rs1,714.02 Lakhs.

- The Email segment increased from Rs2.45 Lakhs in FY 2023-24 to Rs8.71 Lakhs in FY 2024-25, an increase of Rs6.26 Lakhs.

- The Company reported RCS Notification revenue of Rs72.79 Lakhs in FY 2024-25 compared to Nil in FY 2023-24 due to introduction of new and improved products;

- The above increase was offset to some extent by decline revenue from WhatsApp and Digital Marketing segments.

The increase in revenue during can be attributed to increase in volume of business from the existing customers due to growing demand of SMS services and also due to introduction of RCS services.

Other Income

In the financial year 2024-25, the other income recorded an increase of 720.38%, amounting to Rs 51.93 Lakhs, as compared to Rs 6.33 Lakhs in financial year 2023-24. This increase was primarily due to increase in other income and profit on sale of car amounting to Rs 36.77 Lakhs and Rs 14.97 Lakhs respectively.

Purchase of Messaging services and Direct Expenses

The Purchase of Messaging services rose from Rs 9,631.90 Lakhs during the financial year 2023-24 to Rs 15,223.00 Lakhs in the financial year 2024-25. This represents an increase of approximately Rs 5,591.09 Lakhs, which is equivalent to a 58.05% increase. This uptick can be attributed mainly to increase in costs related to SMS, email, and voice call expenses amounting to Rs 8,055.89 Lakhs, commission paid amounting to Rs 49.96 Lakhs and RCS purchases amounting to Rs 50.59 Lakhs. However, its important to note that this increase was partially offset by international purchases of Rs 1,919.03 Lakhs.

Employee Benefits Expenses

Employee benefit expenses in the Financial Year 2024-25 surged by 30.87%, reaching Rs 638.72 Lakhs in comparison to the Rs 488.05 Lakhs incurred in the Financial Year 2023-24. This rise in employee expenses primarily stemmed from increases in salary wages and bonuses, which went up by Rs 125.53 Lakhs, as well as director remunerations and gratuity expenses, which saw an increase of Rs 5.38 Lakhs and Rs 12.84 Lakhs respectively.

Finance Cost

The Finance cost increase by 264.50% to Rs 115.92 Lakhs in the Financial Year 2024-25 against that of Rs 31.80 Lakhs in Financial Year 2023-24. The increase of the Finance Charges is on account of substantial increase in interest on Loan/OD charges by Rs 68.01 Lakhs and processing charges by Rs 16.11 Lakhs.

Depreciation and Amortisation Expenses

Depreciation and amortization expenses increased by Rs 51.63 Lakhs to reach Rs 130.31 Lakhs during the financial year 2024-25, compared to the Rs 78.68 Lakhs recorded in the financial year 2023-24. This increase in depreciation was a result of purchase of motor vehicles and purchase of property.

Other Expenses

Other expenses saw an increase of 32.78%, totalling Rs 498.72 Lakhs during the financial year 2024-25, as opposed to the Rs 375.59 Lakhs incurred in the financial year 2023-24. This increase in other expenses was primarily attributed to several factors, including Rs 25.55 Lakhs increase in server & domain charges, Rs 10.67 Lakhs increase in legal and professional charges, Rs 22.96 Lakhs increase in Provision for Doubtful Debt, Rs 10.55 Lakhs increase in office expenses.

Tax Expenses

Current Tax expenses increased by 45.44%, reaching a total current tax of Rs552.17 Lakhs in the financial year 2024-25, in contrast to the Rs 379.65 Lakhs in the financial year 2023-24.

Profit after Tax (PAT)

As a result of the factors mentioned earlier, the profit showed an increase, primarily due to the growth in Total income. The Profit After Tax (PAT) for the financial year 2024-25 amounted to Rs1,654.00 Lakhs, in contrast to Rs 1,027.18 Lakhs in the financial year 2023-24. In the financial year 2024-25, the PAT represented 8.79% of the total income, as opposed to 8.57% of the total income in the financial year 2023-24.

PAT Margin

The PAT margin for FY24-25 remained consistent with FY 23-24, supported by strong revenue growth. This stability was primarily driven by business expansion-related costs, competitive pricing strategies to capture market share, increased spending on client acquisition and retention, higher investments in technology and manpower, and additional compliance expenses associated with scaling operations and international expansion. These are strategic, growth-focused initiatives that have supported margin stability and are expected to enhance the Companys long-term positioning and profitability.

COMPARISON OF F.Y. 2024 WITH F.Y. 2023

Revenue from Operations

The Companys revenue from operations for the financial year 2023-24 stood at Rs 11,972.69 Lakhs, marking an increase of Rs 4,626.25 Lakhs (62.97%) compared to the previous financial year 2022-23, where revenue was Rs 7,346.44 Lakhs.

The sales growth can be attributed to a surge in demand for the Companys extensive cloud communication solutions, including SMS, Voice, WhatsApp, and Email services, across various industries such as Telecom, IT, Travel & Tourism, Entertainment, Media, Advertising, and Events.

Key contributors to the revenue increase include:

- SMS Revenue grew by Rs4,701.03 Lakhs (74.88%), from Rs 6,278.27 Lakhs in FY 2022-23 to Rs10,979.24 Lakhs in FY 2023-24, accounting for 91.70 % of Revenue from operations;

- WhatsApp Revenue grew by Rs 271.15 Lakhs (162.48%), increasing from Rs166.88 Lakhs in FY 2022-23 to Rs438.03 Lakhs in FY 2023-24;

- Digital Marketing Revenue saw a Rs 145.73 Lakhs (39.65%) increase, rising from Rs 367.58 Lakhs to Rs 513.31 Lakhs, driven by growth in Digital Sales;

- The above increase was offset to some extent by decline revenue from Voice call, Email services and RCS.

Other Income

In the financial year 2023-24, the other income recorded a decrease of 79.24%, amounting to Rs 6.33 Lakhs, as compared to Rs 30.49 Lakhs in financial year 2022-23. This decline was primarily due to decrease in profit from sale of shares amounting to Rs 24.95 Lakhs.

Purchase of Messaging services and Direct Expenses

The Purchase of Messaging services rose from Rs 5,797.22 Lakhs during the financial year 2022-23 to Rs 9,631.90 Lakhs in the financial year 2023-24. This represents an increase of approximately Rs 3,834.69 Lakhs, which is equivalent to a 66.15% increase. This uptick can be attributed mainly to increase in costs related to SMS, email, and voice call expenses amounting to Rs 3,304.68 Lakhs, Digital expenses amounting to Rs 517.63 Lakhs and WhatsApp purchases amounting to Rs 165.80 Lakhs. However, its important to note that this increase was partially offset by international purchases of Rs 187.99 Lakhs.

Employee Benefits Expenses

Employee benefit expenses in the Financial Year 2023-24 surged by 29.70%, reaching Rs 488.05 Lakhs in comparison to the Rs 376.29 Lakhs incurred in the Financial Year 2022-23. This rise in employee expenses primarily stemmed from increases in salary wages and bonuses, which went up by Rs 108.32 Lakhs, as well as direct remunerations, which saw an increase of Rs 9.25 Lakhs.

Finance Cost

The Finance cost decrease by 42.93% to Rs 31.80 Lakhs in the Financial Year 2023-24 against that of Rs 55.73 Lakhs in Financial Year 2022-23. The decrease of the Finance Charges is on account of substantial decrease in interest on Loan/OD charges by Rs 21.02 Lakhs and processing charges by Rs 2.91 Lakhs.

Depreciation and Amortisation Expenses

Depreciation and amortization expenses decreased by Rs 31.95 Lakhs to reach Rs 78.68 Lakhs during the financial year 2023-24, compared to the Rs 110.63 Lakhs recorded in the financial year 2022-23. This decrease in depreciation was a result of reduced WDV base for depreciation and amortization.

Other Expenses

Other expenses saw a decrease of 5.98%, totalling Rs 375.59 Lakhs during the financial year 2023-24, as opposed to the Rs 399.50 Lakhs incurred in the financial year 2022-23. This Decrease in other expenses was primarily attributed to several factors, including Rs 36.87 Lakhs decrease in legal and professional charges, Rs 31.6 Lakhs decrease in ROC fees, Rs 1.46 Lakhs decrease in Repair and maintenance expenses, Rs 8.10 Lakhs decrease in foreign exchange fluctuations, Rs 11.17 Lakhs Decrease in office expenses, Decrease in Provision for doubtful debts by Rs 0.83 Lakhs and decrease in interest on taxes by Rs 36.45 Lakhs.

Tax Expenses

Current Tax expenses has been increased by 200.06 lakhs, from 179.59 lakhs in financial year 2022-23 to 379.65 in financial year 2023-2024.

Profit after Tax (PAT)

As a result of the factors mentioned earlier, the profit showed an increase, primarily due to the growth in total income. The Profit after Tax (PAT) for the financial year 2023-24 amounted to Rs 1,027.18 Lakhs, in contrast to Rs 481.72 Lakhs in the financial year 2022-23. In the financial year 2023-24, the PAT represented 8.58% of the total income, as opposed to 6.56% of the total income in the financial year 2022-23.

PAT Margin

During the year, the Company witnessed a shift in its product mix, with increasing traction from its Omnichannel offerings such as WhatsApp, RCS, and Voice services, which contributed to improved margins. There was also a strategic shift in the Companys client focus from selling primarily through channel partners, which yield lower margins, to directly engaging with enterprise clients, thereby improving overall profitability.

CASH FLOW

The table below summaries our cash flows from our Restated Consolidated Financial Information for the financial years ended on 2026, 2025, and 2024:

(Rs in lakhs)

Particulars	FY 2026	FY 2025	FY 2024
Net cash (used in)/ Generated from operating activities	430.48	(1,747.90)	34.74
Net cash (used in)/ Generated from investing activities	(327.44)	(311.49)	49.48
Net cash (used in)/ Generated from finance activities	(85.01)	2,168.97	(79.21)
Net increase/ (decrease) in cash and cash equivalents	18.03	109.58	5.01
Cash and Cash Equivalents at the beginning of the period	130.90	21.30	16.28
Cash and Cash Equivalents at the end of period	174.16	130.90	21.30

Cash Flow from/ (used in) Operating Activities

Financial Year 2026

For the Financial year 2026, net cash generated from operating activities was Rs 430.48 Lakhs and the operating profit before working capital changes was Rs 3,389.76 Lakhs. The change in working capital amounted to Rs (2,261.45) Lakhs, primarily due to increase in Receivables and Other current assets of Rs 5,130.24 Lakhs and Rs 884.42 Lakhs respectively, partially offset by increase in Payables of Rs 2,817.97 Lakhs, provisions of Rs 726.65 Lakhs and Other current liabilities of Rs 129.87 Lakhs and decrease in Short-term loans and advances of Rs 78.71 Lakhs. Direct taxes paid during the year were Rs 697.83 Lakhs.

Financial Year 2025

For the Financial year 2025, net cash used in operating activities was Rs (1,747.90) Lakhs and the operating profit before working capital changes was Rs 2,472.42 Lakhs. The change in working capital amounted to Rs 3,668.48 Lakhs, primarily due to Increase in Receivables of Rs 1,893.59 Lakhs along with decrease in payables of Rs 1,544.04 Lakhs which was partially offset by an increase in other current liabilities of Rs 56.62 Lakhs.

Financial Year 2024

For the Financial year 2024, net cash used in operating activities was Rs 34.74 Lakhs and the operating profit before working capital changes was Rs 1,519.32 Lakhs. The change in working capital amounted to Rs (1,104.93) Lakhs, primarily due to increase in Receivables and Short-term provision of Rs 4,185.39 Lakhs and Rs 126.48 Lakhs respectively along with increase in Payables of Rs 2,817.02 Lakhs which was partially offset by a decrease in Other Liabilities of Rs 22.99 Lakhs.

Cash Flow from/ (used in) Investing Activities

Financial Year 2026

For the Financial year 2026, net cash used in investing activities was Rs 327.44 Lakhs, primarily on account of purchase of tangible/intangible assets of Rs 384.07 Lakhs, loss on sale of shares of Rs 44.51 Lakhs and increase in long term loans and advances of Rs 21.31 Lakhs, partially offset by unrealised foreign exchange gain of Rs 72.89 Lakhs and net sale of investments of Rs 46.28 Lakhs.

Financial Year 2025

For the Financial year 2025, net cash used in investing activities was Rs 311.94 Lakhs, primarily on account of Proceeds from sale/(purchase) of Tangible/Intangible assets and purchase of investment.

Financial Year 2024

For the Financial year 2024, net cash generated from investing activities was Rs 49.48 Lakhs, primarily on account of Proceeds from sale/(purchase) of Tangible/Intangible assets and Investments/Loans and advances during the period.

Cash Flow from/(used in) Financing Activities

Financial Year 2026

For the Financial year 2026, net cash used in financing activities was Rs 85.01 Lakhs. This was primarily due to Repayment of long term borrowings of Rs 456.58 Lakhs and Finance Costs of Rs 121.07 Lakhs, partially offset by Proceeds from short term borrowings of Rs 492.64 Lakhs.

Financial Year 2025

For the Financial year 2025, net cash from in financing activities was Rs 2,168.97 Lakhs due to Proceeds from issue of share capital of Rs 1,707.73 Lakhs, Increase in long term borrowing for of Rs 587.30 Lakhs and Repayment of Short-term borrowings of Rs 27.25 Lakhs and Finance Costs of Rs (98.81) Lakhs.

Financial Year 2024

For the Financial year 2024, net cash used in financing activities was Rs 79.21 Lakhs due to Proceeds from long-term borrowing of Rs 35.36 Lakhs, Repayment of Short-term borrowings of Rs 83.76 Lakhs and Finance Costs of Rs (30.80) Lakhs.

Information required as per Item 11 (II) (C) (iv) of Part A of Schedule VI to the SEBI Regulations:

1. Unusual or infrequent events or transactions

To our knowledge there have been no unusual or infrequent events or transactions that have taken place during the last three years.

2. Significant economic changes that materially affected or are likely to affect income from continuing operations

Our business has been subject, and we expect it to continue to be subject to significant economic changes arising from the trends identified above in ‘Factors Affecting our Results of Operations and the uncertainties described in the section entitled "Risk Factors" beginning on page no. 21 of this Red Herring Prospectus. To our knowledge, except as we have described in this Red Herring Prospectus, there are no known factors which we expect to bring about significant economic changes.

3. Income and Sales on account of major product/main activities

Income and sales of our Company on account of major activities derives from sale of various cloud communication services to Banking, Financial Services, and Insurance (BFSI), Media and Entertainment, Tourism, Retail, Fast-Moving Consumer Goods (FMCG), E-commerce, Logistics, Healthcare, Hospitality, and pharmaceuticals companies.

4. Whether the company has followed any unorthodox procedure for recording sales and revenues

Our Company has not followed any unorthodox procedure for recording sales and revenues.

5. Known trends or uncertainties that have had or are expected to have a material adverse impact on sales, revenue or income from continuing operations

Apart from the risks as disclosed under Section titled "Risk Factors" beginning on page no. 21 in this Red Herring Prospectus, in our opinion there are no other known trends or uncertainties that have had or are expected to have a material adverse impact on revenue or income of our company from continuing operations.

6. Extent to which material increases in net sales or revenue are due to increased sales volume, introduction of new products or services or increased sales prices

Increases in revenues are largely linked to increases in volume of business activity carried out by the company.

7. Total turnover of each major industry services in which the issuer company operated

The Company is in the business of providing integrated cloud communications solutions giving services via SMS, RCS, Voice, WhatsApp, Email and other digital channels. We provide services to various enterprises and over-the-top (OTT) platforms through services such as transactional Short Message Service (SMS), WhatsApp, Voice, Interactive Voice Response (IVR), automated voice calls solution, E-mail and Digital Products, the relevant industry data, as available, has been included in the chapter titled "Industry Overview" beginning on page no. 112 of this Red Herring Prospectus.

8. Status of any publicly announced new products or business services

Our Company has not announced any new services or business services, except as specified in this Red Herring Prospectus.

9. The extent to which business is seasonal

Our Companys business is not seasonal in nature.

10. Any significant dependence on a single or few service providers or customers

The % of contribution of our Companys service providers vis-?-vis the total purchases respectively for the financial year 2026, 2025, and 2024 is as follows:

Particulars	Top Service Providers as a percentage (%) of Total Purchases
	Financial year 2025-26	Financial year 2024-25	Financial year 2023-24
Top 5	86.66%	84.89%	80.13%
Top 10	92.88%	90.91%	91.61%

The % of contribution of our Companys customers vis-?-vis the total revenue from operations respectively for the financial year 2026, 2025, and 2024 is as follows:

Particulars	Top Customers as a percentage (%) of Revenue from Operations
	Financial year 2025-26	Financial year 2024-25	Financial year 2023-24
Top 5	69.82%	68.20%	76.77%
Top 10	79.94%	85.08%	84.62%

11. Competitive conditions

Competitive conditions are as described under the Chapters titled "Industry Overview" and "Our Business" beginning on page nos. 112 and 145, respectively of this Red Herring Prospectus.

FINANCIAL INDEBTEDNESS

Company utilizes various credit facilities from various banks for conducting its business.

Set forth below is a brief summary of all the borrowings of our Company as on July 31, 2026 together with a brief description of certain significant terms of such financing arrangements.

(Rs. in Lakhs)

Nature of Borrowings	Amount
Secured borrowings
• From Banks	1,249.57
• From Others	-
Unsecured borrowings
• From Banks	330.69
• From Others	-
Total	1,580.26

1. SECURED BORROWINGS

(Rs. in Lakhs)

Sr. No	Name of the Lender	Date of Sanction letter	Loan Account Number	Purpose	Amount sanctioned (Rs in lakhs)	Amount O/s as on 31/01/2026 (Rs in lakhs)	Interest Rate	Tenure (In Month)	Remaining Tenure as on 31/01/2026
1.	Mercedes Benz Financial Services India Pvt Ltd	24/09/2024	-	Vehicle Loan	144.25	118.42	9.99%	36	15
2.	ICICI Bank Ltd	20/10/2023	3605008608	Working Capital (Overdraft)	500.00	333.28	8.35% (Repo Rate (5.25%) + Spread (3.1%))	Repayable on Demand	Repayable on Demand
3.	Axis Bank	25/06/2026	92603002285 5297	Working Capital (Overdraft)	800.00	797.87	8.20% (Repo Rate (5.25%) + Spread (2.95%))	Repayable on Demand	Repayable on Demand
	Total				1,444.25	1,249.57

Primary & Collateral Security

Vehicle Loan - The Vehicle loans are secured by hypothecation of the financed vehicle, which acts as the sole security and constitutes both the primary and secondary collateral.

Working Capital Loan – ICICI Bank Ltd. (Sanction letter Ref No: BLGLPCAL414065 Dated 18.02.2026)

Security Details	Description of Property	Security Provider	Facility Secured	Nature of Charge
Immovable Fixed Assets	3003 30 C Wing Kanakia Le, Kathiawadi Chowk, Rani Sati Marg, Malad East, Mumbai, MUMBAI, MAHARASHTRA, India, 400097	Chirag Shah	Overdraft	Pari Passu basis with Axis Bank
Current Assets	-	Dove Soft Limited	Overdraft	Pari Passu basis with Axis Bank
Fixed Deposit (Others)	-	Dove Soft Limited	Overdraft	Pari Passu basis with Axis Bank
Guarantors (Personal Guarantee)	1) Chirag Shah, 2) Shaipa Shah, 3) Rahul Bhanushali

Working Capital Loan – Axis Bank Limited. (Sanction letter Ref No: AXIS-00000234451 Dated 25.05.2026)

Security Details	Description of Property	Security Provider	Facility Secured	Nature of Charge
Moveable Fixed Assets	-	Dove Soft Limited	Overdraft	Pari Passu basis with ICICI Bank
Current Assets	-	Dove Soft Limited	Overdraft	Pari Passu basis with ICICI Bank
Fixed Deposit (Others)	-	Dove Soft Limited	Overdraft	Pari Passu basis with ICICI Bank
Guarantors (Personal Guarantee)	1) Rahul Bhanushali and 2) Kurjibhai Rupareliya

2. UNSECURED BORROWINGS

The Company have also availed certain Unsecured Borrowings. Set forth below is a brief summary of Unsecured Borrowings as on July 31, 2026:

Sr. No	Name of the Lender	Date of Sanction letter	Loan Account Number	Purpose	Amount sanctioned (Rs in lakhs)	Amount O/s as on 31/07/2026 (Rs in lakhs)	Interest Rate	Tenure (In Month)	Remaining Tenure as on 31/07/2026 (In Month)
1.	Aditya Birla	31/07/2024	ABMUMBIL00000 0841720	Business Loan	50.00	2.41	15.75%	24	1
2.	Axis Bank	31/07/2024	BPR064711506581	Business Loan	40.00	15.26	16.00%	36	12
3.	Bajaj Finserv Ltd	17/08/2024	P405PPS13833529	Business Loan	41.06	3.97	16.95%	24	2
4.	Clix Capital	30/07/2024	SMUBUSI0006303 87	Business Loan	50.20	21.07	16.75%	30	13
5.	Deutsche Bank	31/07/2024	350038877580028	Business Loan	75.00	31.55	16.25%	36	13
6.	Fedbank Financial Services Limited	07/08/2024	FEDMUM0BL0543 621	Business Loan	30.00	2.89	16.50%	24	2
7.	ICICI Bank	30/11/2023	UPMUM000491031 08	Personal LOAN	100.00	16.74	15.00%	36	5
8.	IDFC Bank	31/07/2024	157305049	Business Loan	51.00	2.45	15.50%	24	1
9.	IIFL Finance Ltd	31/07/2024	SL5435960	Working Capital	50.29	20.98	16.00%	36	13
10.	Indusind Bank	27/08/2024	756000084945	Business Loan	50.00	22.29	16.00%	36	14
11.	Kotak Mahindra Bank Ltd	30/08/2024	CSG-155234068	Business Loan	75.00	-	15.75%	18	-
12.	L&T Finance Holdings Limited	20/08/2024	BL24080604010038 5	Term Loan	50.00	20.70	16.00%	36	13
13.	Poonawalla Fincorp Limited	05/08/2024	BLU0027DSC0000 18931549	Business Loan	50.05	-	16.00%	18	-
14.	Standard Chartered Bank	31/07/2024	55000568	Working Capital	75.00	31.24	16.00%	36	13
15.	Tata Capital Limited	06/08/2024	TCFBL0632000013 103033	Business Loan	50.00	20.72	15.75%	36	13
	Total				837.6	330.69

3. BORROWINGS PAYABLE ON DEMAND AS A PERCENTAGE OF TOTAL BORROWINGS:

Sr. No.	Particulars	Amount (Rs in Lakhs)
1.	Total Borrowings as on July 31, 2026	1,580.26
2.	Borrowing payable on demand
	? Unsecured loans from Directors and Relatives	-
	? Working Capital Loan	1,131.15
	Total	1,131.15
	Percentage of borrowings payable on demand	71.58%

As certified by our Peer Review Auditors, M/s Mathia & Co., pursuant to a certificate dated September 02, 2026.