Game Changers Texfab Ltd Management Discussions

[Pursuant to Regulation 34(2)(e) and Schedule V of SEBI (Listing Obligations and Disclosure
Requirements) (LODR) Regulations, 2015]

1. INTRODUCTION

The Company was originally incorporated as Private Limited Company under the provisions of
Companies Act, 2013 in the name and style of M/s Game Changers Texfab Private Limited vide
Certificate of Incorporation issued by Registrar of Companies, Delhi on 06^th Day of April, 2015. Later
on, the Company was converted into a Public Company vide Certificate of Incorporation issued by
Central Processing Unit, Manesar, dated 2^nd Day of December, 2024 with the approval of Central
Government. Consequently, upon conversion to a public Company, the name of the Company was
changed into Game Changers Texfab Limited, bearing Corporate Identity Number -
U14101DL2015PLC278723. Thereafter, the Company had listed its securities by way of an Initial
Public offer (IPO) on Small and Medium Enterprise (SME) Platform of Bombay Stock Exchange
(BSE) on 4^th Day of November, 2025.

2. INDUSTRY STRUCTURE

The Company is operating under the Textile Sector which is one of the oldest and most vibrant
industries in the Indian Economy. It is a repository and carrier of traditional skills, heritage and culture.
It comprises of the unorganized and organized sectors of the textile industry, from the traditional
handloom, handicrafts and sericulture, to the modern spinning, weaving, knitting, processing and
garmenting. Change in preferences, rapid technology and competitive market environment led the
Company to focus even more on the revenue growth, profitability and supply - chain practices to bring
efficiency and effectiveness in its operations. Game Changers Texfab Limited, the Company behind
TradeUno, is redefining Indias retail fashion landscape with a tech-based, customer-first approach.
Founded by Mr. Sanjeev Goel and Mr. Ankur Aggarwal, the company evolved from yarn and fabric
trading into a full-fledged fabric solutions provider.

3. DEVELOPMENTS

The Company has established itself as a trusted player in the textile industry by creating an integrated
fabric ecosystem that caters to the needs of fashion businesses across the value chain. With over 11
years of industry experience the Company continues to strengthen Indias fabric ecosystem through
quality sourcing, reliable manufacturing, extensive product offerings, and customer-centric solutions.
Supported by 10+ sourcing offices, 600+ active suppliers, 6 deemed manufacturing units, and a
portfolio of over 15,000 SKUs, the Company serves 1,312+ B2B buyers, 60,000+ Active B2C
customers, and 2,000+ boutiques through a customer-first approach built on relationships driven by
trust, scalable, and future-ready business model.

4. OPPORTUNITIES AND THREATS

The Company continues to operate in an evolving business environment driven by technological
advancements, infrastructure development, and changing customer requirements. While these trends
present significant opportunities for growth, they also require the Company to remain agile in
addressing emerging challenges.

Key opportunities include:

- Sales Expansion

- Launching six new experience-led stores across Tier 1 and 2 cities to strengthen retail
footprint.

- Strengthening digital channels to build a PAN India presence.

- Expanding customer base and attracting global partnerships.

- Supply Chain

- Enhancing our ecosystem by providing more curated choices.

- Partnering with dyeing, printing, tailoring, and design experts to elevate capabilities.

- Building a resilient and agile supply chain for efficient operations.

- Technology

- Leveraging tech tools for AI-driven inventory management, fabric visualization, and
operational efficiency.

- Using Digital Marketing to Acquire/Engage Customers and Target repeat business.

- Driving lower ROAS and higher customer lifetime value.

- Technical Textiles

- Entering the high-growth technical textiles segment through global partnerships.

- Manufacturing in J&K/other suitable states to leverage cost and tax advantages.

- Positioned to benefit from rising demand across multiple industries in the coming years.

- Asset-Light Store Model

- We follow a supplier-owned inventory model.

- Supplier provides inventory and manpower; we provide showroom space.

- We earn on sales, charge display fees, and purchase only sold items.

- Unsold inventory remains with supplier - zero inventory risk for TradeUNO.

Key Threats includes:

1. Macroeconomic & Geopolitical Risks

- War Impact & Geopolitical Instability: Global conflicts and regional tensions
continue to create macroeconomic uncertainty, affecting trade routes, raw material
availability, and global market sentiment.

- US Tariff & Regulatory Impact: Changes in trade policies, tariff structures, and
international cross-border regulations affect pricing strategies and export-import
margins.

2. Operational & Market Risks

- B2B Dependency: High reliance on B2B clients or major corporate counterparties
creates concentration risk and revenue volatility.

- Inventory Management Challenges: Holding excess inventory increases carrying
costs, whereas inventory shortages lead to lost revenue and customer dissatisfaction.

3. Industry & Supply Chain Dynamics

- Intense Market Competition: Rapid industry shifts, aggressive pricing by competitors,
and new entrants pose continuous pressure on market share and margins.

- Supply Chain Disruptions: Global freight delays, port congestion, and logistics cost
fluctuations can impact operational timelines and cost structures.

The Indian textile industry continues to present significant growth opportunities, supported by rising
domestic consumption, expanding export potential, increasing penetration of e-commerce, and
favorable government initiatives. Furthermore, the expanding demand for technical textiles and
diversification of global sourcing strategies provide the Company with opportunities to strengthen its
market presence, broaden its customer base, and achieve sustainable long-term growth. However the
textile industry operates in a highly competitive environment but we aim to achieve a long term
sustainable growth and profitability.

5. SEGMENT WISE OR PRODUCT WISE PERFORMANCE

The Company is operating in various segments. The business model of the Company is multi-segment
Textile Operations.

a) B2B Segment: The Company caters to garment manufacturers, brands, and exporters by
consolidating fabric orders to efficiently meet minimum order quantity (MOQ) requirements. It
has established a sourcing network across 22 textile hubs in India, offering more than 300 fabric
categories through its own brand as well as white-label solutions. The Company also maintains
exclusive partnerships for outdoor and PVC-coated fabrics.

b) B2C & Online Sales The Company offers a curated range of fabrics under its TradeUNO brand,
with a focus on trend-driven and customized fabric solutions. It serves designers, tailors, and
individual customers through its retail stores and e-commerce platform, tradeuno.com, catering to
both B2B and B2C markets. The Company markets its products under the TradeUNO (fabrics)
and Fall in Love (apparel) brands.

c) Technical Textiles: The Company has expanded its presence in the rapidly growing technical
textiles segment by transitioning from high-volume, low-margin products to high-margin
offerings. It has entered into exclusive partnerships with Suzhou Pinzheng and Haining Hongliang
and primarily focuses on manufacturing and supplying outdoor fabrics and PVC fabrics.

d) Made to Measure (Fall in Love) Brand: Under its Fall in Love brand, the Company offers
semi-stitched garments with customized designs, embroidery, handwork, and embellishments. Its
in-house design team ensures superior quality and finishing, while also offering a range of ready-
to-wear apparel to meet diverse customer preferences.

6. OUTLOOK

Due to the outrage growth in all Indian Sector, Textile Industry also paves its way. In the same manner,
our Company is making all efforts to accelerate the growth of its business. It is expected to improve its
position in the market by focusing in the technologically advanced and more profitable product and
market segment and working aggressively in the area of productivity, cost reduction and efficiency.

7. RISK AND CONCERNS

The industry is exposed to following risk and concerns mentioned below:

a) Complex Supply-chain Practices-

The Company faces intense competition from both organized and unorganized market participants,
as well as domestic and international suppliers. Additionally, supply chain disruptions, logistics
challenges can create Complex Supply-chain practices.

b) Uncertain Demand-

Fluctuations in consumer preference, rapid changes in fashion trends, seasonal variation in retail,
and macroeconomic uncertainties can impact demand. Additionally, geopolitical conflicts and trade
policies in export markets can lead to demand fluctuations in the B2B segment.

8. INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY

The Company has an effective and reliable internal control system commensurate with the size of its
operations. At the same time, it adheres to local statutory requirements for orderly and efficient conduct
of business, safeguarding of assets, the detection and prevention of frauds and errors, adequacy and
completeness of accounting records and timely preparation of reliable financial information. The
efficacy of the internal checks and control systems is validated by self-audits and internal as well as
statutory auditors.

9. DISCUSSION ON FINANCIAL PERFORMANCE WITH RESPECT TO OPERATIONAL
PERFORMANCE

The financial performance of the Company for the period ending 31st March, 2026 was as under:
Consolidated & Standalone Financials:

Amounts in (lakhs)

PARTICULARS	Standalone Financials		Consolidated Financials
	2024-25	2025-26	2024-25	2025-26
Revenue from Operations	11,556.31	13,874.65	11,556.31	13,874.65
Other Income	2.49	55.55	2.49	55.55
Total Income	11,558.79	13,930.20	11,558.79	13,930.20
Cost of materials consumed	9,292.61	10,708.75	9292.61	10,708.75
Employee benefits expense	98.63	90.76	98.63	90.76
Finance Costs	144.34	162.56	144.34	162.56
Depreciation and	102.09	136.67	102.09	136.67
Amortization
Other expenses	305.90	370.83	305.90	371.27
Total Expenses	9,943.57	11,469.57	9,943.57	11,470.01
Profit Before Tax	1,615.23	2,460.63	1,615.23	2,460.19
Current T ax	434.57	635.06	434.57	634.95
Deferred T ax	(25.85)	2.00	(25.85)	2.00
Total tax expense	408.71	637.06	408.71	636.94
Profit after tax for the year	1,206.51	1,823.58	1,206.51	1,823.25

10. MATERIAL DEVELOPMENTS IN HUMAN RESOURCES / INDUSTRIAL RELATIONS
FRONT, INCLUDING NUMBER OF PEOPLE EMPLOYED

Your Company follows a policy of building strong teams of talented professionals. People remain the
most valuable asset of your Company. The Company recognizes people as its most valuable asset and
the Company has kept a sharp focus on Employee Engagement. The Companys Human Resources is
commensurate with the size, nature and operations of the Company.

11. DETAILS OF SIGNIFICANT CHANGES (I.E. CHANGE OF 25% OR MORE AS COMPARED
TO THE IMMEDIATELY PREVIOUS FINANCIAL YEAR) IN KEY FINANCIAL RATIOS,
ALONG WITH DETAILED EXPLANATIONS THEREFOR, INCLUDING

S. No. Key Financial Ratio	FY 2025-26	FY 2024-25	Change (%)	Change > 25%
1. Debtors Turnover Ratio (Days)	99	69	43%	Increase in collection period reflects extended credit terms due to War Impact.
2. Inventory Turnover Ratio (Days)	61	56	8.9%
3. Interest Coverage Ratio	16.14x	12.19x	32.40%	Improvement on account of increase in profitability
4. Current Ratio	5.52	1.68	228%	Significant improvement due to increase in current assets, primarily higher cash balances and short-term trade receivable, along with reduction in current liabilities
5. Debt-Equity Ratio	0.10	0.27	63%	Decrease attributable to repayment/reduction of borrowings and strengthening of equity base due to retained earnings during the year
6. Net Profit Margin (%)	13.14	10.44	25.86%	Improvement driven by better cost control, operational efficiency, or
				higher-margin revenue mix.
7. Operating Profit Margin (EBITDA) %	19.89%	16.11%	23.46%

12. DETAILS OF ANY CHANGE IN RETURN ON NET WORTH AS COMPARED TO THE
IMMEDIATELY PREVIOUS FINANCIAL YEAR ALONG WITH A DETAILED
EXPLANATION THEREOF:

The Net Worth for F.Y. 2025-26 was 8780.44 Cr and for F.Y. 2024-25 was 2100.77 Cr. The reason for
change is significant expansion of Equity base on account of capital infusion and profit retention in
F.Y. 2025-26.

13. CAUTIONARY STATEMENT:

This report contains forward- looking statements based on the perceptions of the Company and the data
and information available with the company. The company cannot guarantee the accuracy of various
assumptions underlying such statements and they reflect Companys current views of the future events
and are subject to risks and uncertainties. Many factors like change in general economic conditions,
amongst others, could cause actual results to be materially different.