Emmvee Photovoltaic Power Ltd Management Discussions

FY2026 At a Glance

FY2026 marked a transformational year for Emmvee Photovoltaic Power Limited, characterised by significant capacity expansion, strong operational execution, robust profitability growth and a strengthened balance sheet following its successful public listing. The Company expanded its manufacturing footprint, enhanced utilisation levels across its integrated operations and nearly doubled its order book, positioning itself for the next phase of growth in Indias rapidly expanding solar manufacturing ecosystem.

Key Highlights of FY2026

Revenue more than doubled to INR 5,04,988 Lakhs, supported by capacity expansion and higher production volumes.

EBITDA increased by 140% YoY to INR 1,73,437 Lakhs, while EBITDA margin improved to 34%.

PAT grew by 193% YoY to INR 1,08,155 Lakhs.

Solar module capacity expanded to 10.3 GW following commissioning of two new manufacturing lines.

Solar cell production increased nearly 3x YoY to 1,520 MW, with utilisation improving to 70%.

Order book strengthened to 9.4 GW, providing strong revenue visibility.

Successfully completed IPO and utilised proceeds to prepay debt, resulting in a net cash position.

Advanced the next phase of growth through the 6 GW integrated expansion project and planned entry into ingot and wafer manufacturing.

Economy Overview

Indias economic and industrial growth continues to provide a favourable backdrop for the renewable energy sector. While the global economy remained resilient, growing by 3.5% in CY2025¹, the operating environment was characterised by heightened trade tensions, evolving tariff regimes and geopolitical uncertainties that affected global supply chains and commodity markets. These developments are particularly relevant for solar manufacturers, given the industrys dependence on international sourcing of raw materials, components and equipment. Volatility in crude oil prices and shipping costs, driven by disruptions in key trade routes and geopolitical developments in West Asia, also influenced logistics costs and supply chain planning.

India remained one of the fastest-growing major economies globally, with GDP growth estimated at 7.7%² in FY2026. Strong economic activity, expanding manufacturing output, infrastructure development, urbanisation and rising digitalisation continued to support growth in electricity consumption across industrial, commercial and residential segments. As power demand increases, renewable energy is expected to play an increasingly important role in meeting incremental capacity requirements, supported by Indias target of achieving 500 GW of non-fossil fuel capacity by FY2030.³

The countrys energy transition agenda, supported by initiatives such as ALMM, Production Linked Incentive (PLI) schemes, PM Surya Ghar and PM-KUSUM, continues to accelerate solar deployment while promoting domestic manufacturing. This creates a favourable operating environment for integrated solar manufacturers by supporting both renewable energy capacity additions and localisation across the solar value chain.

Indias growing power demand, increasing renewable energy penetration and policy-led manufacturing support collectively provide long-term demand visibility for solar modules, cells and related components.

Outlook

The near-term macroeconomic environment is expected to remain supportive, although global growth is projected to moderate to 3.0% in CY2026, reflecting ongoing trade frictions, geopolitical uncertainties and softer demand in certain regions. For the solar manufacturing industry, key external variables will include global tariff developments, foreign exchange movements, commodity prices and logistics costs.

India is expected to remain among the worlds fastest-growing major economies, with GDP growth projected at 6.6% in FY2027. Continued public capital expenditure, manufacturing-led growth, expanding power demand and supportive clean energy policies are expected to sustain investments across the renewable energy value chain. While periodic volatility in raw material prices, freight costs and currency movements may persist, the long-term outlook remains favourable, supported by increasing localisation, rising energy demand and Indias accelerating transition towards renewable energy.

Industry Overview

Indian Renewable Energy Sector

Indias renewable energy sector has emerged as a prominent force of its energy transition strategy, driven by rising power demand, energy security concerns and climate commitments. The country has achieved a significant milestone by crossing 50% of installed power capacity from non-fossil fuel sources ahead of its 2030 target, reflecting accelerated adoption of clean energy.

India currently ranks among the top global renewable energy markets, supported by strong policy frameworks, competitive tariff regimes and increasing private sector participation. The renewable energy mix is dominated by solar and wind, with solar emerging as the fastest-growing segment due to its scalability and declining costs. The sector is also witnessing increasing integration of storage solutions, hybrid projects and green hydrogen initiatives, further strengthening its long-term growth trajectory.

Outlook

Indias renewable energy sector is expected to witness sustained and accelerated growth over the medium to long term, supported by strong policy backing, improving cost economics and rising electricity demand. The country is targeting 500 GW of non-fossil fuel capacity by 2030, implying significant annual capacity additions across solar, wind and hybrid segments.

Solar energy is expected to remain the primary growth driver, complemented by wind and emerging technologies such as energy storage and green hydrogen. Increasing electrification, corporate sustainability commitments and favourable regulatory frameworks are expected to further strengthen demand.

While challenges such as grid integration, land availability and discom health persist, ongoing investments in infrastructure and policy reforms are likely to address these issues progressively. Overall, the sector is well-positioned to play a central role in Indias energy transition, offering strong long-term growth visibility and investment opportunities.

Indian Solar Photovoltaic Industry

Indias solar photovoltaic (PV) industry has emerged as one of the fastest-growing segments within the renewable energy sector, supported by rising electricity demand, strong policy support, improving cost competitiveness and increasing focus on domestic manufacturing. The sector is witnessing rapid expansion across utility-scale, rooftop and open-access segments, while simultaneous investments in manufacturing capabilities are strengthening Indias position within the global solar value chain. According to the Central Electricity Authoritys National Generation Adequacy Plan, electricity demand is projected to reach 3,365 BU, while peak demand is expected to rise to 459 GW by FY2036. Solar power is expected to account for 509 GW of installed capacity by FY2036, reinforcing its role as the primary driver of Indias energy transition.⁴

In parallel with rising domestic installations, India is rapidly emerging as a global solar manufacturing hub, supported by localisation policies, capacity expansion across the value chain and increasing diversification of global supply chains.

Solar Installation Demand by End-use Segment

Module demand reached approximately 34 GW in FY2025, while cumulative solar PV demand stood at around 108 GW between FY2019 and FY2025. Looking ahead, annual demand is expected to increase to 38–43 GW between FY2026 and FY2030, supported by rising electricity demand, increasing renewable energy penetration and emerging applications such as electric vehicles, green hydrogen and data centres. Capacity additions of 170–180 GW are projected during FY2026–FY2030, representing a substantial acceleration compared to the previous five-year period.⁵

Market Share of Module Categories

Note:

The share of technology denotes the count of module batch enlistment per technology divided by total module batch enlistment in the respective month. MNRE has not released ALMM for March 2023 and thus ALMM for February 2023 has been used.

Source: MNRE, Crisil Intelligence

Solar power has also become increasingly cost competitive, with tariffs declining to approximately INR 2.6–2.8 per unit, making it among the most economical sources of new power generation and supporting wider adoption across customer segments.

Domestic Policy Environment

Government policy continues to play a pivotal role in shaping the growth trajectory of the solar industry. India has adopted a multi-pronged strategy aimed at accelerating solar deployment while simultaneously promoting domestic manufacturing and reducing import dependence.

Key policy initiatives include the Renewable Purchase Obligation (RPO) trajectory, which targets a renewable energy share of approximately 43% by FY2030, the governments annual 50 GW renewable energy tendering programme, and the Green Energy Open Access Rules, which facilitate renewable power procurement by commercial and industrial consumers.

On the manufacturing side, the Approved List of Models and Manufacturers (ALMM), the proposed ALMM-II domestic cell requirement, and the Production Linked Incentive (PLI) Scheme are encouraging localisation and investments across the solar value chain. In parallel, schemes such as PM Surya Ghar, PM-KUSUM and various government-led procurement programmes are creating sustained demand for domestically manufactured modules and cells. Together, these initiatives are strengthening domestic manufacturing capabilities while enhancing long-term demand visibility for industry participants.

Technology Transition

The Indian solar PV industry is undergoing a rapid technology transformation aimed at improving efficiency, reducing lifecycle costs and enhancing energy generation.

The sector has largely transitioned away from multi-crystalline technologies towards higher-efficiency module architectures. The share of Mono PERC technology increased from approximately 16% in FY2022 to 63% in FY2025, while TOPCon technology has gained significant momentum due to its superior efficiency, higher energy yield and improved long-term performance characteristics.

Over the medium term, TOPCon is expected to become the dominant technology platform across new manufacturing investments. Simultaneously, manufacturers are investing in automation, advanced quality control systems and next-generation cell architectures to improve yields and enhance competitiveness. These technological advancements are expected to support higher module efficiencies, lower balance-of-system costs and improved project economics across the solar ecosystem.

Supply-Chain Economics

Indias solar manufacturing ecosystem has expanded significantly over the past few years. Module manufacturing capacity increased from approximately 21 GW in FY2022 to 82 GW by FY2025, while cell manufacturing capacity expanded from 3.2 GW to 23 GW during the same period.

Despite these additions, the industry continues to exhibit limited backward integration into upstream segments such as wafers and polysilicon, resulting in continued reliance on imports for critical components. Domestic cell integration remains relatively low at approximately 25–30%, contributing to imports of around INR 39,00,000 Lakhs between FY2023 and FY2025.

Industry economics remain sensitive to raw material prices, foreign exchange movements, freight costs and global trade dynamics, with raw materials accounting for approximately 80–85% of cell manufacturing costs. Consequently, backward integration is increasingly becoming a strategic priority for manufacturers seeking to improve supply security, enhance margins and reduce exposure to external volatility.

Value Chain	Indias Current Position
Polysilicon	Import dependent
Wafers	Limited domestic capacity
Cells	Rapid capacity expansion
Modules	Strong manufacturing base
EPC & Deployment	Mature ecosystem

Looking ahead, Indias manufacturing base is expected to strengthen considerably, with module manufacturing capacity projected to reach 175–185 GW by FY2030, accompanied by increasing investments in cells and upstream components. Supported by policy measures, localisation initiatives and strong domestic demand, India is expected to strengthen its position as a globally competitive solar manufacturing hub over the medium term.

Industry Implications for Emmvee

Strong domestic demand supports long-term capacity utilisation.

Localisation policies favour integrated manufacturers.

TOPCon adoption aligns with the Companys technology roadmap.

Backward integration strengthens supply-chain resilience.

Export diversification creates additional growth opportunities.

Company Overview

Emmvee Photovoltaic Power Limited (Emmvee) is a leading integrated solar PV module and solar cell manufacturing company in India and among the largest pure-play solar module and cell manufacturers, with a strong focus on advanced photovoltaic technologies. The Company has established a robust manufacturing ecosystem, with multiple facilities located in close proximity in Bengaluru, enabling operational efficiency and streamlined logistics.

Emmvee operates an integrated manufacturing model spanning solar PV modules and solar cells, supported by strong backward integration initiatives and strategic sourcing capabilities. Its manufacturing capacity has scaled significantly throughout the year, positioning the Company as a key participant in Indias renewable energy transition.

The Company benefits from early adoption of high-efficiency TOPCon technology, supported by its collaboration with Fraunhofer ISE, enhancing product performance and competitiveness. Its integrated operations, along with increasing utilisation of captive cells, support margin expansion and cost optimisation.

Emmvee serves a diversified customer base, including independent power producers (IPPs), commercial & industrial (C&I) customers and government entities with a strong order book providing medium-term revenue visibility. The Company continues to expand its domestic and international presence through capacity additions, increased backward integration and a focus on next-generation solar technologies.

Highlights During the Year

Capacity Expansion and Manufacturing Scale-Up

Commissioned two new 2.5 GW solar PV module manufacturing lines at Sulibele, increasing total module manufacturing capacity from 5.3 GW to 10.3 GW*.

Maintained solar cell manufacturing capacity at 2.94 GW, creating a stronger foundation for integrated operations.

Continued expansion of TOPCon-based manufacturing capabilities to support next-generation solar technologies.

Production Growth and Improved Capacity Utilisation

Module production increased to 2,999 MW, supported by capacity ramp-up and strong customer demand.

Cell production increased to 1,520 MW, reflecting improved operational efficiency and higher captive consumption.

Cell capacity utilisation improved to approximately 70%, demonstrating successful ramp-up of integrated manufacturing operations.

Strong Commercial Momentum

Order book increased from approximately 4.9 GW to 9.4 GW, providing strong medium-term revenue visibility.

Secured a 4.5 GW long-term TOPCon cell supply agreement, strengthening future demand visibility.

Recorded order inflows of approximately 7.74 GW during FY2026.

Robust Financial Performance

Revenue from operations increased to INR 5,04,988 Lakhs.

EBITDA grew to INR 1,73,437 Lakhs, with EBITDA margin remaining strong at 34%.

Profit after tax increased to INR 1,08,155 Lakhs, supported by operating leverage, higher utilisation and integrated operations.

Return on Capital Employed (ROCE) improved to 38%.

Balance Sheet Strengthening and Leverage Reduction

Successfully completed the Initial Public Offering (IPO), raising approximately INR 2,90,000 Lakhs.

Utilised IPO proceeds to prepay INR 1,62,129 Lakhs of borrowings.

Transitioned to a net cash position, with Net Debt-to-Equity improving to (0.06)x.

ICRA upgraded the Companys long-term and short-term credit ratings to A/A2+, reflecting its improved financial strength.

Working Capital and Operational Efficiency

Improved inventory planning and production scheduling supported efficient execution of the expanding order book.

Continued optimisation of material consumption through process improvements and reduction in silver paste usage.

Focused on enhancing operational productivity and manufacturing yields across facilities.

Strategic Capex and Backward Integration Pipeline

Commenced development of the 6 GW integrated cell and module manufacturing facility at Devanahalli.

Completed land acquisition and secured funding support, including a sanction from IREDA.

Announced plans to expand module and cell capacities to 16.3 GW and 8.94 GW, respectively, by FY2028.

Initiated evaluation of a 9 GW ingot and wafer manufacturing programme to strengthen backward integration and supply-chain security.

Business Vertical Performance

Emmvee Photovoltaic Power Limited operates as an integrated solar manufacturer, with revenue primarily derived from the sale of solar PV modules and solar cells. The Companys performance is driven by capacity expansion, improving utilisation levels and an optimised product mix, particularly with increased use of captive cell production.

During the period, the Company reported strong revenue growth, driven by higher dispatch volumes and the ramp-up of newly commissioned capacities. The module segment remains the primary revenue contributor, while the cell segment plays a strategic role in enhancing integration and supporting margin improvement.

Segment Performance Highlights

Solar PV Modules	Solar Cells
Core revenue driver of the business	Strategic integration segment, not purely revenue-driven
Growth supported by:	Key role in:
Capacity expansion	Supporting captive consumption
Strong order book and execution	Improving EBITDA margins through cost optimisation
Demand from DCR and domestic segments	Limited external sales, with selective third-party orders (e.g., long-term contracts)
Increasing focus on:
High-efficiency modules (TOPCon-based)
Export opportunities and large-scale projects

Manufacturing

Emmvee Photovoltaic Power Limited operates an integrated solar manufacturing platform encompassing both solar PV modules and solar cells. Its manufacturing facilities are strategically clustered in Karnataka, enabling operational synergies, efficient logistics and enhanced control over production processes. The Company continues to expand its manufacturing footprint while focusing on technology upgradation, process efficiency and backward integration to strengthen competitiveness.

Operational Strengths

Integrated Manufacturing Model

Captive cell consumption improving margin profile

Technology-Led Production

Advanced TOPCon technology driving higher efficiency

Cluster-Based Facilities

Enables cost optimisation, faster coordination and scalability

Scalable Infrastructure

Designed for rapid capacity expansion and future technologies

Manufacturing Efficiency Drivers	Strategic Manufacturing Focus
Increasing backward integration into key components	Expansion of integrated cell and module capacity
Continuous process optimisation and yield improvement	Strengthening of the domestic sourcing ecosystem
Reduction in material consumption, including optimisation of silver usage	Enhancement of automation and production efficiency
Improved capacity utilisation through ramp-up of new lines	Transition towards next-generation solar technologies

Opportunities Landscape

Opportunity Area	Industry Opportunity	Strategic Relevance for Emmvee
DCR-Led Demand	Government schemes such as PM Surya	Integrated cell and module manufacturing positions the
Growth	Ghar, PM-KUSUM and CPSU are expected to generate over 40 GW of DCR-linked demand.	Company to benefit from increasing domestic-content requirements.
Solar Capacity Expansion	India is expected to add 170–180 GW of solar capacity during FY2026–FY2030.	Supports long-term demand visibility for modules and cells while enabling capacity utilisation growth.
Localisation & Policy Support	ALMM, PLI and localisation initiatives are driving domestic manufacturing across the solar value chain.	Supports the Companys expansion strategy and strengthens competitiveness against imports.
Technology Transition	Demand is shifting towards high-efficiency technologies such as TOPCon and advanced module formats.	Emmvees 100% TOPCon platform and G12R capabilities support evolving customer requirements.
Backward Integration	Increasing localisation is creating opportunities in cells, wafers and ingots.	Planned upstream integration can improve supply security, cost efficiency and value capture.
Export Opportunities	Global supply-chain diversification is creating alternative sourcing opportunities beyond traditional manufacturing hubs.	Growing scale and integrated manufacturing capabilities provide a platform for export expansion.
Industry Consolidation	Rising technology, capital and execution requirements may favour established manufacturers.	Strong balance sheet, profitability and operational scale position the Company to strengthen market share.

Financial Performance

Particulars	FY2026	FY2025	YoY Change (%)
Revenue from Operations	5,04,988	2,33,561	116.2%
EBITDA	1,73,437	72,194	140.2%
Profit Before Tax	1,33,760	48,282	177%
Profit for the Year (PAT)	1,08,155	36,901	193.1%
EBITDA Margin (%)	34.34%	30.91%	+343 bps

Key Financial Ratios

Particulars	FY2026	FY2025	Change	Reason for major change (if variation is 25% or more)
ROCE (in %)1	38.0	23.3	63%	ROCE improved due to higher EBIT, scale benefits, improved cell utilisation and operating leverage from higher production volumes.
ROE (in %)2	51.0	104.6	-51%	ROE moderated from an unusually high FY25 base due to the expansion of equity following the IPO, despite strong PAT growth.
Current ratio (in times)3	2.1	1.3	62%	Current Ratio improved due to a stronger liquidity position post IPO and higher current assets supporting the expanded operating scale. Inventory and receivables rose in line with the higher Q4 production and sales run-rate.
Debt equity ratio (in times)4	0.05	3.6	-99%	Debt-equity reduced sharply due to fresh equity infusion and prepayment of borrowings using IPO proceeds.
Net Profit margin (in %)5	21.4	15.8	35%	Net profit margin improved due to operating leverage, higher integrated operations, improved EBITDA margin and lower finance cost intensity after deleveraging.
Trade Receivables Turnover Ratio (in times)6	11.41	16.31	-30%	Trade Receivables Turnover Ratio reduced due to increase in trade receivables resulting in relatively slower collection cycle during the year.
Inventory Turnover Ratio (in times)7	2.25	2.63	-15%	The Inventory Turnover Ratio decreased, and the reduction is primarily attributable to higher inventory levels.
Interest Coverage Ratio (in times)8	7.65	3.48	120%	The Interest Coverage Ratio improved significantly, which is the result of the infusion of funds through IPO proceeds and repayment of debt during the year.

Notes

1. Return on Capital Employed (ROCE) = Earnings Before Interest and Taxes (EBIT) divided by Capital Employed. Capital Employed is calculated as the sum of total equity, total debt and deferred tax liability, net of deferred tax assets.

2. Return on Equity (ROE) = Profit after tax attributable to owners of the Company divided by Average Equity. Average Equity is calculated as the average of opening and closing total equity attributable to owners.

3. Current Ratio = Current Assets divided by Current Liabilities.

4. Debt-Equity Ratio = Total Borrowings (current and non-current) divided by Total Equity attributable to owners of the Company.

5. Net Profit Margin = Profit after Tax divided by Revenue from Operations.

6. Trade Receivables Turnover Ratio = Revenue From Operations divided by Average Trade Receivables

7. Inventory Turnover Ratio = Cost of Goods Sold (COGS) divided by Average Inventory

8. Interest Coverage Ratio = Earnings Before Interest and Tax (EBIT) divided by Finance Costs (Interest Expense)

Risk Management

Risk Area	Potential Business Impact	Mitigation Strategy
Technology Transition Risk	Rapid evolution of cell technologies may impact competitiveness and product relevance	Continuous investment in TOPCon technology, product development and process optimisation
Raw Material & Supply Chain Risk	Volatility in availability and pricing of key inputs may affect costs and margins	Supplier diversification, increased localisation and planned backward integration
Capacity Expansion Execution Risk	Delays in commissioning may impact growth plans and return metrics	Structured project management, phased execution and regular monitoring mechanisms
Industry Competition Risk	Increased domestic manufacturing capacity may lead to pricing pressure	Focus on integration, operational efficiency, technology leadership and customer relationships
Regulatory & Policy Risk	Changes in solar manufacturing incentives or trade policies may impact market dynamics	Continuous engagement with industry developments and diversified customer portfolio
Foreign Exchange Risk	Currency fluctuations may affect imported input costs and capital expenditure	Natural hedging, procurement planning and prudent treasury management
Customer Concentration & Demand Risk	Changes in customer ordering patterns could affect capacity utilisation	Diversified customer base across IPPs, C&I and government segments
Working Capital Risk	Growth and expansion may increase funding requirements	Strong balance sheet, disciplined cash-flow management and access to long-term funding

Human Resource

Emmvee Photovoltaic Power Limited recognises its employees as a key enabler of operational excellence, innovation and sustainable growth. As of 31 March 2026, the Company employed over 3,800 personnel, including 587 engineers, supporting operations across manufacturing, research & development, supply chain and commercial functions. The workforce continues to expand in line with the Companys capacity additions and integrated manufacturing strategy.

The Company focuses on attracting and retaining skilled technical talent to support advanced manufacturing technologies, including TOPCon-based cell and module production. Continuous training and capability-building initiatives are undertaken to enhance technical competencies, productivity and operational effectiveness across functions. Emmvee also promotes a performance-oriented work culture, supported by employee engagement initiatives and career development opportunities.

Health, safety and workplace well-being remain integral to the Companys operating philosophy. The Company continues to strengthen safety practices across its manufacturing facilities while fostering a collaborative and inclusive work environment. Through continued investments in talent development and workforce capability enhancement, Emmvee remains committed to building a future-ready organisation aligned with its long-term growth ambitions.

3,800+

Total Employees as of March 31, 2026

Outlook

Emmvee Photovoltaic Power Limited is well positioned to capitalise on the structural growth opportunities arising from Indias accelerating renewable energy transition, supported by rising solar installations, increasing localisation and favourable policy support for domestic manufacturing. The Company remains focused on strengthening its position as an integrated solar manufacturing platform through capacity expansion, technology advancement and value-chain integration.

As part of its next phase of growth, Emmvee is progressing with the development of its 6 GW integrated cell and module manufacturing facility at Devanahalli, which is expected to increase total installed capacities to 16.3 GW of modules and 8.94 GW of cells. The project is being executed in line with planned timelines, with land acquisition completed and IREDA having sanctioned a term loan of INR 3,30,600 Lakhs to support the expansion.

The Company has outlined a capital expenditure programme of approximately INR 5,50,000 Lakhs, including hard costs of around INR 4,60,000 Lakhs towards the integrated manufacturing facility, reflecting its commitment to scaling operations while strengthening its integrated manufacturing capabilities. In parallel, Emmvee is evaluating phased expansion into upstream manufacturing through the development of up to 9 GW of ingot and wafer capacity, which is expected to enhance supply-chain resilience, reduce import dependence and improve value capture across the solar value chain. Management has indicated that ingot and wafer manufacturing would require capital expenditure of approximately INR 60,000–70,000 Lakhs per GW of capacity.

Operationally, the Company will continue to focus on improving utilisation across existing capacities, increasing captive cell consumption, enhancing process efficiencies and expanding adoption of advanced technologies such as TOPCon and G12R. A strong order book of approximately 9.4 GW, including multi-year cell supply contracts, provides revenue visibility and supports future capacity ramp-up.

Overall, Emmvees strategy remains centred on building a fully integrated, technology-driven and globally competitive solar manufacturing platform, supported by disciplined capital allocation, balance-sheet strength and sustained investments in scale, efficiency and backward integration.

Internal Control and Its Adequacy

The Company has established robust internal control systems commensurate with the scale and complexity of its operations, covering key areas such as procurement, manufacturing, inventory, finance and compliance, supported by defined policies and standard operating procedures. An independent internal audit function periodically reviews the effectiveness of these controls, with findings placed before the Audit Committee for oversight and corrective action. The Company also leverages IT systems to enhance process efficiency, data integrity and monitoring of operations. Based on periodic reviews, the internal control framework is considered adequate and effective, with no material weaknesses observed during the year.

Cautionary statement

The Management Discussion and Analysis (MDA) section may contain forward-looking statements about potential future developments. These estimates include both known and unknown risks and uncertainties, which could have a significant impact on actual results. Changes in the macroenvironment might provide unexpected, unpredictable and changing risks to the organisation and its working environment. The predictions conclusions are based on both internal and external data, which form the basis for some of the facts and figures presented. Similar uncertainties exist in the estimates behind these projections.