Elixir Capital Ltd Management Discussions

Forward Looking Statements:

This section contains forward-looking statements, which may be identified by their use of words, like ‘plans, ‘expects, ‘wills, ‘anticipates, ‘believes, ‘intends, ‘projects, ‘estimates, or other words of similar meaning. All statements that address expectations or projections about the future, including but not limited to statements about the companys strategy for growth, product development, market position, expenditures and financial results are forward-looking statements. Forward-Looking statements are based on certain assumptions and expectations of future events. The Company cannot guarantee that these assumptions are accurate or will be realized. The Companys actual results, performance or achievements could thus differ materially from those projected in any such forward looking statements. The company assumes no responsibility to publicly amend, modify or revise any forward looking statements, on the basis of any subsequent developments, information or events.

The company is the Holding Company of Elixir Equities Pvt. Ltd. (EEPL) (formerly known as Axis Equities Private Pvt. Ltd.). EEPL is a SEBI registered Stock Broker, Portfolio Manager, Research Analyst and Depository Participant of the CDSL. It is also engaged in Investing in Securities, Arbitrage and Proprietary Trading. Although the company can carry out broking, investment, arbitrage and trading in shares, for the year under review, none of these activities were carried out. The only activity done in the company was securities trading.

Industry Structure and Development

The company and its subsidiaries is engaged in the business of broking, portfolio management, demat services, investments, arbitrage and trading in shares. This is a highly fragmented and intensely competitive industry.

Business Prospects and Future Plans

The prospects of the company and its subsidiary are linked to the performance of the stock market. The endeavor shall be to scale up the operations of this company to add value to all the stakeholders and derisk the business model.

Opportunities and Threats

A prolonged bear phase in the stock markets is the main threat for the company. A bull market provides opportunities to earn profits from investment and trading activity.

Segment-Wise or Product-Wise Performance

Not Applicable

Outlook

The prospects of the company will depend upon how it is able to scale up the operations of its subsidiary EEPL. The trends in the stock market will also determine its performance.

Risk and Concerns

A prolonged bear market and poor choice of investment and trading positions are the major risk factors.

Internal Control Systems and their Adequacy

The company has adequate internal control systems and is well capitalized for its scale of operations.

Discussions on Financial Performance with respect to Operational Performance

The Company is a holding company of subsidiary companies engaged in stock broking, portfolio management, depository services, trading, and investment in securities. The consolidated revenue increased manifold to Rs. 3,466.47 Lakhs from Rs. 450.07 Lakhs from the previous year due to very strong stock market conditions. There was a net profit of Rs. 2,095.75 Lakhs against a net loss of Rs. 342.59 Lakhs due to sharply higher trading profits and stock held for trading.

Material Development on Human Resources Front

During the year there were no material developments on the Human Resources front.

Material Financial and Commercial Transactions

During the year there were no material financial or commercial transactions.

Key Financial Ratios:

In accordance with the SEBI (Listing Obligations and Disclosures Requirements) Regulations 2018 (Amendment) Regulations, 2018, the Company is required to give details of significant changes (change of 25% or more as compared to the immediately previous financial year) in Key sector-specific financial ratios. These are presented as under:

Ratios	Current year	Previous year	Change %	Explanation for Change being> 25%
Current ratio (in times)	10.99	8.28	32.80%	Increase due to steep increase in Loans & Advances given
Debt-Equity ratio (in times)	0.00	0.00	0.00%	-
Debt service coverage ratio (in times)	NA	NA	NA	-
Return on equity ratio (in %)	0.06	0.06	2.47%	-
Inventory Turnover Ratio	NA	NA	NA	-
Trade receivables turnover ratio (in times	NA	NA	NA	-
Trade payables turnover ratio (in times)	NA	NA	NA	-
Net capital turnover ratio (in times)	0.51	1.09	52.92%	Decline due to reduced total revenue and steep increase in working capital.
Net profit ratio (in %)	1.23	0.81	50.91%	Increase is due to inclusive of profit on sale of Office Premises in the current year.
Return on capital employed (in %)	0.07	0.07	2.28%	-
Return on investment (in %)	0.06	0.06	2.43%	-
Operating Profit Margin (%)	0.80	0.91	11.45%	-‘

Cautionary Statement

The statement in the Management Discussion and Analysis Report cannot be construed as holding out any forecasts, projections, expectations, invitations, offers, etc. within the meaning of applicable securities, laws and regulations. This Report basically seeks to furnish information, as laid down within the different headings to meet the requirements of Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements), 2015.

For and on behalf of the Board of Directors	Dipan Mehta	Radhika Mehta
Of Elixir Capital Limited	Chairman	Whole Time Director & CFO
Place: Mumbai	DIN:00115154	DIN: 00112269
Date: 16th May, 2024