Enfuse Solutions Ltd Management Discussions

The company made a profit of Rs. 324.54 Lakhs during current financial year as against a profit of Rs. 535.83 Lakhs during the previous year.

SEGMENT WISE PERFORMANCE

As there is no particular operational activity segment wise performance in not applicable.

RISK MANAGEMENT

All material Risks faced by the company are identified and assessed. For each of the risks identified corresponding controls are assesses, and policies and procedures are put in place for monitoring, mitigating and reporting risk on a periodic basis.

OUR BUSINESS, OUTLOOK AND STRATEGY

Enfuse Solutions, founded in 2017, is an industry-focused digital enterprise specializing in integrated digital transformation solutions, serving clients in India, Europe, and North America. With over 500 employees and more than 450 years of collective managerial experience, the company partners with Fortune 500 clients to deliver enterprise data management services, metrics-driven execution frameworks, and measurable cost savings typically reducing client OPEX by 45%+

Business Strategy

New business primarily originates from digital campaigns and referrals, with strong emphasis on client relationships and custom proposals including detailed requirement analysis and man-hour estimations. The engagement process progresses through negotiations to formal contract signing.

Enfuse fosters continuous upskilling through LinkedIn Learning and internal programs, with employees completing over 21,000 certifications and consuming 400,000+ learning videos in 2022. Culture initiatives like flattening hierarchy, open brainstorming, and supportive mentorship reinforce their values: Accountability, Service excellence, Passion, Integrity, Respect, Empathy (ASPIRE)

Their engagement framework enables quick ramp-up, flexibility, and resource scalability, supporting efficient delivery and client responsiveness

The company systematically identifies and monitors material risks, implements internal control policies, and maintains compliance with corporate governance practices, ensuring reliable financial reporting and operational integrity

Outlook

Growth Expectations: Management anticipates continued expansion, assuming a stable macroeconomic environment and favourable industry conditions.

Talent Strengthening: The company emphasizes enhancing its top and middle management bench and creating a performance-driven environment, with competitive compensation and employee welfare focus.

Sustainability of Internal Controls: No material changes reported in internal control processes during the reporting period, preserving continuity in financial oversight.

HUMAN RESOURCES

Your company has built significant talent pool in the form of top and middle management; the Company have also created a performance-oriented work culture with focus on building long term talent pool. Also, we continuously endeavor to improve and enhance the work environment for employees of the Company. Competitive compensation package, innovative and challenging environment to work etc.; are some of the steps taken by the company for the welfare of its employees.

INTERNAL CONTROLS

The Company has the internal control systems in place, adequate for the size of the Company and the nature of its business. The primary function of our internal control systems is to ensure efficiency in business operations, safeguarding of companys assets, adherence to policies and procedures, protecting and detecting errors and frauds, strict compliance with applicable laws and ensuring the reliability of financial statements and reporting.

The Company has in place the internal financial controls for the various processes of the Company such as Revenue reporting and recognition, Fixed assets, Finance and accounts, Taxation, Treasury, HR & Payroll and Procurement etc. The internal control systems adopted by the Company ensures that all transactions are executed with proper authorisation, are recorded and reported correctly, and assets are safeguarded and protected against loss from unauthorised use. In addition, the compliance of corporate policies is duly monitored.

The Company also has an Audit Committee to interact with the Statutory Auditors, Internal Auditors and Management in dealing with matters within its terms of reference including the matters relating to financial reporting and internal controls.

BOARD GOVERNANCE

The top leadership of Enfuse Solutions comprises of 10-member Board that provides guidance and supervision to the Company. The Board of Directors consists of individuals with diverse background, specific skills, and experience.

BASIS OF PREPARATION OF FINANCIAL STATEMENTS

The standalone financial statements have been prepared in compliance with Indian Accounting

Standards ("Ind AS"), the provisions of the Companies Act, 2013 ("the Companies Act"), as applicable and guidelines issued by the Securities and Exchange Board of India ("SEBI"). The Ind AS are prescribed under Section 133 of the Companies Act read with Rule 3 of the Companies (Indian Accounting Standards) Rules, 2015 and amendments issued thereafter. The Management accepts the responsibility for the integrity and objectivity of these financial statements, as well as for various estimates and judgements used therein. The estimates and judgements relating to the financial statements have been made on a prudent and reasonable basis, so that the financial statements reflect in a true and fair manner the form and substance of transactions, and reasonably present the state of affairs, profit/loss and cash flows for the year.

KEY FINANCIAL RATIOS:

Sr. No. Particulars 31.03.2025 31.03.2024