Gujarat Peanut & Agri Products Ltd Management Discussions

MANAGEMENTS DISCUSSION AND ANALYSIS OF FINANCIAL CONDITIONS AND RESULTS OF OPERATIONS

You should read the following discussion of our financial condition and results of operations together with our restated financial statements for the financial year ended on 31st March 2025, 31st March 2024 and 31st March 2023 including the notes and significant accounting policies thereto and the reports thereon. These financial statements have been prepared in accordance with Ind GAAP, the Companies Act and the SEBI (ICDR) Regulations and restated as described in the report of our auditors dated July 26, 2025 which is included in this Draft prospectus under the section titled "Financial Information as Restated" beginning on page 169 of this Draft prospectus. The restated financial statements have been prepared on a basis that differs in certain material respects from generally accepted accounting principles in other jurisdictions, including US GAAP and IFRS. We do not provide a reconciliation of our restated financial statements to US GAAP or IFRS and we have not otherwise quantified or identified the impact of the differences between Indian GAAP and U.S. GAAP or IFRS as applied to our restated financial statements.

You should also see the section titled "Risk Factors" beginning on page 22 of this Draft prospectus, which discusses a number of factors and contingencies that could impact our financial condition and results of operations. The following discussion relates to our Company, unless otherwise stated, is based on restated audited financial statements.

This discussion contains forward-looking statements and reflects our current views with respect to future events and financial performance. Actual results may differ materially from those anticipated in these forward-looking statements as a result of certain factors such as those described under "Risk Factors" and "Forward Looking Statements" beginning on pages 22 and 15 respectively, and elsewhere in this Draft Prospectus.

Accordingly, the degree to which the financial statements in this Draft Prospectus will provide meaningful information depends entirely on such potential investors level of familiarity with Indian accounting practices. Our F.Y. ends on March 31 of each year; therefore, all references to a particular fiscal are to the twelve-month period ended March 31 of that year. Please also refer to section titled "Certain Conventions, Use of Financial, Industry and Market Data and Currency Presentation" beginning on page 13 of this Draft Prospectus

BUSINESS OVERVIEW

Our Company was originally incorporated as a Private Limited Company in the name of "Gujarat Peanut Products Private Limited" on October 14, 2005 under the provisions of Companies Act, 1956 bearing Corporate Identification Number U15490GJ2005PTC046918 issued by Registrar of Companies Gujarat, Dadra and Nagar Haveli. Subsequently, our company was converted into Public Limited Company under the Companies Act, 2013 and the name of our Company was changed to "Gujarat Peanut Products Limited" vide a fresh Certificate of Incorporation consequent upon conversion from Private Company to Public Company dated June 26, 2024 bearing Corporate Identification Number U15490GJ2005PLC046918 issued by Registrar of Companies Gujarat. The name of our Company was further changed to "Gujarat Peanut and Agri Products Limited" vide a fresh Certificate of Incorporation dated November 12, 2024 issued by the Registrar of Companies, Central Processing Centre.

Incorporated in the year 2005, Our Company is engaged into cleaning, grading, processing, sorting, buying, selling, trading and marketing of agricultural produce and commodities. Our product portfolio include products such as Peanut & Peanut products like Ground Nut Inshell, Ground Nut Oil, Ground Nut Seeds, Ground Nut Split, Groundnut Husk, Peanut Blanched, Peanut Rejection; seeds like Black Sesame Seed, Hulled Sesame Seeds, Sesame Seeds, Watermelon Seeds; spices like Coriander Seeds, Cumin Seeds, Fenugreek, Fennel Seed, Mustard Seed, Kalonji (Nigella Seeds); food grains and pulses like Brown Eye Beans, Chickpeas (Chana Dal), Green Moong, Kidney Eye Beans, Moong Dal, Pigeon Peas, Red Lentils, Urad (Urad Dal), Toor (Toor Dal), Yellow Peas, Soyabean.

Our Company has major presence in the states of Gujarat, West Bengal, Rajasthan, Maharashtra, Madhya Pradesh, etc. Further, we export our products to countries such as UAE, China, Thailand, Indonesia, Iraq, Iran, Poland, Kosovo, Lebanon, and others. Majority of our exports include Sesame Seeds, Hulled Sesame Seeds, Groundnut Seeds, Blanched Peanut, Cumin Seeds, Kalonji. We import Sesame Seeds, Chickpeas, Pigeon Peas, Brown Eye Beans, Cumin Seeds, Soyabeans & Watermelon Seeds in India in bulk quantities. We import majority of our raw material from Sudan, Tanzania, China, Brazil, etc. We sell our products in bulk quantities. We follow standard packing process to ensure that quality and authentic taste of commodities remains intact.

We currently operate from our Manufacturing Plant situated at Survey No. 155/1P1/ P1, Rajkot-Jamnagar Road, Taraghadi, Paddhari, Rajkot, Gujarat, 360001, India spreading over an area of approx. 6,373.80 square meter. This processing unit has two sections one section handles the post-harvest operations of peanuts, such as de-shelling, grading, sorting, roasting, blanching, packaging and quality control and another section handles cleaning grading and sorting of seeds, spices and pulses.

We are dedicated to constantly expanding and updating our product range in order to stay ahead in the market. Our range of products under our manufacturing capabilities is summarized as under:

Peanuts and Peanut Products: Groundnut In-shell, Groundnut Oil, Groundnut Seeds, Groundnut Split, Groundnut Husk, Peanut Blanched, and Peanut Rejection.

Seeds: Black Sesame Seeds, Hulled Sesame Seeds, Sesame Seeds, Watermelon Seeds.

Spices: Coriander Seeds, Cumin Seeds, Fenugreek, Fennel Seeds, Mustard Seeds, and Kalonji (Nigella Seeds).

Food Grains and Pulses: Brown Eye Beans, Chickpeas (Chana Dal), Green Moong, Kidney Beans, Moong Dal, Pigeon Peas, Red Lentils, Urad (Urad Dal), Toor (Toor Dal), Yellow Peas, and Soybean.

Our extensive network of quality buyers reaches across numerous countries and spans multiple continents. We are recognized as a One Star Export House by the Directorate General of Foreign Trade and have received an Exporter Registration Certificate from the Spices Board of India. Additionally, we are registered with APEDA, IOPEPC and the Federation of Indian Export Organizations. Our company also boasts Food Safety System Certification 22000 certification by ISOQAR consisting the elements i.e. ISO 22000:2018, ISO/TS 22002-1:2009 and Additional FSSC 22000 requirements for Processing (Cleaning, Shelling, Grading, Sortex, roasting, blanching) of Groundnut kernels / peanuts and packing in Paper bags & HDPE bag. Processing (Cleaning, Grading, Colour Sortex) of Spices and Sesame seeds (Hulled / Natural / Black) and packing in Paper bags & HDPE bag.

We believe role of management is equally important as to that of our employees for growth of our business, and accordingly we have placed an experienced management team to look after various facets of operations. Our company is led by Mr. Arunkumar Natvarlal Chag, who has over 45 years of experience in the manufacturing and processing of Groundnut seeds and other agricultural products industry. His leadership, along with the support of our key management team and dedicated staff, has contributed to the positive growth of our business. Further, our management team comprises of individuals having adequate experience in their respective fields. The team has helped us to professionally manage our business operations.

We prioritize customer satisfaction by consistently meeting commitments and building strong relationships with our clients. Our focus is on providing cost-effective solutions while adhering to high-quality standards, and we strive to collaborate closely with clients to deliver the best possible results.

The combined experience of our promoters makes us a trusted and seasoned expert in our field. We have streamlined and installed high-tech processing plant that enable us to serve quickly and effectively to our clients needs. We are able to differentiate our service by offering on-time shipment, assured quality and the most competitive pricing.

At our company, we pride ourselves on delivering high-quality agricultural commodities through a diverse range of products tailored to meet our customers needs. By sourcing directly from trusted suppliers, we ensure that the quality of our raw materials is upheld, which is vital for maintaining the excellence of our finished products. To further enhance our operational efficiency and adapt to market demands, we continuously invest in upgrading our facilities and machinery. This commitment to quality and innovation positions us as a reliable partner in the agricultural sector.

OUR OPERATIONAL PRESENCE

Registered Office: D - 402, Imperial Heights, Opp. Big Bazar, 150 Feet Ring Road, Rajkot, Gujarat, India, 360005

Manufacturing Facility: Survey No. 155/1P1/ P1, Rajkot-Jamnagar Road, Taraghadi, Paddhari, Rajkot, Gujarat, 360001, India.

SIGNIFICANT DEVELOPMENTS SUBSEQUENT TO THE LAST AUDITED PERIOD

In the opinion of the Board of Directors of our Company, since the date of the last audited period i.e. March 31, 2025 as disclosed in this Draft Prospectus, there have not arisen any circumstance that materially or adversely affect or are likely to affect the trading or 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 OUR RESULTS OF OPERATION

1. Our dependence on limited number of customers/suppliers/brands for a significant portion of our revenues;

2. Any failure to comply with the financial and restrictive covenants under our financing arrangements;

3. Our ability to retain and hire key employees or maintain good relations with our workforce;

4. Impact of any reduction in sales of our services/products;

5. Rapid Technological advancement and inability to keep pace with the change;

6. Increased competition in industries/sector in which we operate;

7. General economic and business conditions in India and in the markets in which we operate and in the local, regional and national economies;

8. Changes in laws and regulations relating to the Sectors in which we operate;

9. Political instability or changes in the Government in India or in the government of the states where we operate could cause us significant adverse effects; 10. Failure to obtain any applicable approvals, licenses, registrations and permits in a timely manner; 11. Occurrence of natural or man-made disasters could adversely affect our results of operations and financial condition and 12. Our inability to successfully diversify our product offerings may adversely affect our growth and negatively impact our profitability.

SIGNIFICANT ACCOUNTING POLICIES:

Our significant accounting policies are described in the section entitled "Financial Statements as Restated" beginning from page 169 of the Draft Prospectus.

FINANCIAL KPIs OF THE COMPANY:

( in lakhs except percentage and ratios)

Particulars	31-03-2025	31-03-2024	31-03-2023
Total Income	36,632.27	30,043.42	14,937.85
Growth (%)	21.93	101.12	19.37
Revenue from Operation	36,304.49	29,679.34	14,798.43
EBITDA (Operating Profit)	953.40	425.93	161.10
EBITDA Margin (%)	2.63%	1.44%	1.09%
PAT	649.53	394.64	82.22
Growth (%)	64.59%	379.97%	256.13%
PAT Margin (%)	1.79%	1.33%	0.56%
EPS (Basic & Diluted) - (As per end of Restated period)	9.07	5.73	9.56
EPS (Basic & Diluted) - (Post Bonus with retrospective effect)	9.07	5.73	1.20
Total Borrowings	3,889.40	4,433.84	1,672.47
Total Net Worth (TNW)	1,930.22	1,080.71	561.27
RONW (%)	33.65%	36.52%	14.65%
ROCE (%)	62.69%	32.35%	18.52%
Debt Equity Ratio (Total Borrowing/TNW)	2.02	4.10	2.98

SUMMARY OF THE RESULTS OF OPERATION:

The following table sets forth select financial data from restated profit and loss accounts for the financial years ended on 31st March 2025, 31st March 2024 and 31st March 2023 and the components of which are also expressed as a percentage of total income for such periods.

( in lakhs except as otherwise mention)

	For the year ended
Particulars	31-03-2025	% of Total Turnover	31-03-2024	% of Total Turnover	31-03-2023	% of Total Turnover
Income
Revenue from Operations	36,304.49	99.11%	29,679.34	98.79%	14,798.43	99.07%
Other Income	327.78	0.89%	364.08	1.21%	139.41	0.93%
Total Income	36,632.27	100.00%	30,043.42	100.00%	14,937.85	100.00%
Expenditure
Cost of Material Consumed	3,039.60	8.30%	2,896.38	9.64%	2,420.09	16.20%
Purchases of Goods	32,824.19	89.60%	26,668.58	88.77%	12,216.46	81.78%
Changes in inventories of finished goods work-in-progress and Stock-in-Trade	(2,931.54)	-8.00%	(1,264.25)	-4.21%	(548.31)	-3.67%
Direct Expense	2,029.62	5.54%	603.23	2.01%	322.90	2.16%
Employee Benefit Expenses	84.42	0.23%	51.00	0.17%	45.90	0.31%
Administrative Expenses & Selling Expenses	286.82	0.78%	280.46	0.93%	179.08	1.20%
Total Expenses	35,333.12	96.45%	29,235.40	97.31%	14,636.12	97.98%
Profit before Interest, Depreciation & Amortisation Expenses, exceptional, extraordinary and prior period items and tax	1,299.15	3.55%	808.02	2.69%	301.73	2.02%
Depreciation & Amortisation Expenses	61.73	0.17%	69.42	0.23%	66.08	0.44%
Profit before Interest, exceptional, extraordinary and prior period items and tax	1,237.42	3.38%	738.60	2.46%	235.64	1.58%
Financial Charges	351.61	0.96%	202.65	0.67%	121.67	0.81%
Profit before exceptional, extraordinary and prior period items and tax	885.80	2.42%	535.95	1.78%	113.98	0.76%
Exceptional items	-	-	-	-	-	-
Extraordinary items	-	-	-	-	-	-
Prior Period items	-	-	-	-	-	-
Profit before Taxation	885.80	2.42%	535.95	1.78%	113.98	0.76%
Provision for Taxation	237.06	0.65%	143.87	0.48%	29.99	0.20%
Provision for Deferred Tax	(0.79)	0.00%	(2.56)	-0.01%	1.77	0.01%
Total	236.27	0.64%	141.31	0.47%	31.75	0.21%
Profit After Tax	649.53	1.77%	394.64	1.31%	82.22	0.55%
Net Profit Transferred to Balance Sheet	649.53	1.77%	394.64	1.31%	82.22	0.55%

For the financial year ended March 31, 2025 we generated a total income of INR 36,632.27 Lakhs, EBITDA (operating profit) of INR 953.40 Lakhs and net profit after tax of INR 649.53 Lakhs. In the Fiscal 2024 and Fiscal 2023 we generated total income of 30,043.42 Lakhs and 14,937.85 Lakhs respectively, EBITDA (operating profit) of 425.93 Lakhs and 161.10 Lakhs respectively and net profit after tax of 394.64 Lakhs and 82.22 lakhs respectively. We have reported Return on Net Worth of 33.65%, 36.52% and 14.65% for the Fiscal 2025, Fiscal 2024 and Fiscal 2023 respectively.

Revenue from operations grew from 14,798.43 Lakhs in FY 2022-23 to 36,304.49 Lakhs in FY 2024-25, marking an increase of 21,506.06 Lakhs (145.33% for the said period). Correspondingly, Profit After Tax (PAT) surged from 82.22 Lakhs to 649.53 Lakhs, as per the restated financial statements. This strong performance highlights the growing demand for our products in the domestic market, with revenue from domestic sales seeing a notable increase, which has been a key factor driving the overall growth in both revenue and profitability. These factors are discussed in detail in this chapter.

Details of Geographical-wise Turnover

( in Lakhs)

	% of Total		% of Total		% of Total
Particular	31-03-2025	Turnover	31-03-2024	Turnover	31-03-2023	Turnover
Domestic	33,671.67	92.75%	25,876.33	87.19%	12,247.59	82.76%
SEZ	495.53	1.36%	30.15	0.10%	-	0.00%
Exports other than SEZ	2,137.30	5.89%	3,772.86	12.71%	2,550.84	17.24%
Total	36,304.49	100.00%	29,679.34	100.00%	14,798.43	100.00%

Details of Domestic Turnover (including SEZ)

( in Lakhs)

	March 31, 2025		March 31, 2024		March 31, 2023
State	Amount	% of Total Turnover	Amount	% of Total Turnover	Amount	% of Total Turnover
Andhra Pradesh	-	0.00%	-	0.00%	0.50	0.00%
Delhi	994.00	2.74%	72.72	0.25%	135.68	0.92%
Gujarat	28,037.69	77.23%	17,292.51	58.26%	10,733.85	72.53%
Haryana	184.50	0.51%	831.62	2.80%	126.00	0.85%
Himachal Pradesh	-	0.00%	299.25	1.01%	-	0.00%
Karnataka	-	0.00%	4.05	0.01%	-	0.00%
Madhya Pradesh	37.80	0.10%	1,004.02	3.38%	260.28	1.76%
Maharashtra	695.71	1.92%	510.14	1.72%	603.85	4.08%
Punjab	-	0.00%	-	0.00%	6.60	0.04%
Rajasthan	1,372.76	3.78%	316.58	1.07%	263.49	1.78%
Tamil Nadu	6.35	0.02%	-	0.00%	-	0.00%
Telangana	47.66	0.13%	-	0.00%	-	0.00%
Uttar Pradesh	616.80	1.70%	14.06	0.05%	117.35	0.79%
West Bengal	1,678.41	4.62%	5,531.38	18.64%	-	0.00%
Total	33,671.67	92.75%	25,876.33	87.19%	12,247.59	82.76%
Tamil Nadu (SEZ)	495.53	1.36%	30.15	0.10%	-	0.00%
Total (Including SEZ)	34,167.20	94.11%	25,906.48	87.29%	12,247.59	82.76%

Details of Total Country-wise Turnover

( in Lakhs)

	March 31, 2025		March 31, 2024		March 31, 2023
Country	Amount	% of Total Turnover	Amount	% of Total Turnover	Amount	% of Total Turnover
China	-	0.00%	448.76	1.51%	1,288.13	8.70%
Egypt	-	0.00%	32.23	0.11%	-	0.00%
Greece	76.28	0.21%	73.32	0.25%	32.52	0.22%
Korea	-	0.00%	-	0.00%	54.94	0.37%
Kosovo	136.57	0.38%	115.82	0.39%	-	0.00%
Lebanon	262.08	0.72%	207.22	0.70%	196.52	1.33%
Russia	-	0.00%	-	0.00%	109.21	0.74%
UAE	760.57	2.09%	1,586.17	5.34%	277.31	1.87%
United Kingdom	-	0.00%	0.33	0.00%	-	0.00%
Indonesia	63.85	0.18%	103.38	0.35%	149.34	1.01%
Nepal	-	0.00%	-	0.00%	21.92	0.15%
Albania	-	0.00%	-	0.00%	25.55	0.17%
Philippines	168.97	0.47%	-	0.00%	35.43	0.24%
Thailand	-	0.00%	161.62	0.54%	138.55	0.94%
Oman	-	0.00%	23.42	0.08%	-	0.00%
Lithuania	-	0.00%	-	0.00%	81.04	0.55%
Jordan	-	0.00%	50.15	0.17%	-	0.00%
Taiwan	-	0.00%	132.21	0.45%	33.39	0.23%
Iraq	502.40	1.38%	115.80	0.39%	-	0.00%
Poland	73.27	0.20%	69.86	0.24%	-	0.00%
Vietnam	-	0.00%	-	0.00%	28.73	0.19%
Dominican Republic	-	0.00%	69.46	0.23%	-	0.00%
Turkey	-	0.00%	269.70	0.91%	-	0.00%
USA	41.65	0.11%	232.88	0.78%	40.19	0.27%
Yemen	-	0.00%	47.86	0.16%	-	0.00%
Saudi Arabia	25.72	0.07%	32.67	0.11%	38.09	0.26%
Spain	25.94	0.07%	-	0.00%	-	0.00%
Total of Export Revenue	2,137.30	5.89%	3,772.86	12.71%	2,550.84	17.24%
India (including SEZ)	34,167.19	94.11%	25,906.48	87.29%	12,247.59	82.76%
Total Revenue	36,304.49	100.00%	29,679.34	100.00%	14,798.43	100.00%

Details of Sector-wise Turnover

( in Lakhs)

	March 31, 2025		March 31, 2024		March 31, 2023
Particulars	Amount	% of Total Turnover	Amount	% of Total Turnover	Amount	% of Total Turnover
Government	-	-	-	-	-	-
Private	36,304.49	100.00%	29,679.34	100.00%	14,798.43	100.00%
Total of Revenue	36,304.49	100.00%	29,679.34	100.00%	14,798.43	100.00%

Details of Product-wise Turnover

( in Lakhs)

Particular	31-03-2025	% of total turnover	31-03-2024	% of total turnover	31-03-2023	% of total turnover
Hulled Sesame Seeds	1,616.01	4.45%	1,189.14	4.01%	1,873.69	12.66%
Sesame Seeds	3,726.01	10.26%	8,783.81	29.60%	4,522.09	30.56%
Watermelon Seeds	12,640.71	34.82%	317.60	1.07%	-	-
Cumin Seeds	407.56	1.12%	1,927.90	6.50%	162.77	1.10%
Fennel Seed	14.08	0.04%	-	-	144.37	0.98%
Coriander Seeds	-	-	161.89	0.55%	659.26	4.45%
Red Lentils	1,307.13	3.60%	6,041.38	20.36%	-	-
Brown Eye Beans	-	-	88.21	0.30%	-	-
Chickpeas	2,007.69	5.53%	800.17	2.70%	752.02	5.08%
Green Moong & Moong dal	-	-	-	-	196.26	1.33%
Kidney Eye Beans	-	-	-	-	-	-
Pigeon Peas	335.44	0.92%	2,630.60	8.86%	2,227.27	15.05%
Yellow Peas	371.28	1.02%	-	-	-	-
Wheat	-	-	15.93	0.05%	495.70	3.35%
Turmeric Fingers	354.72	0.98%	-	-	-	-
Soyabean	-	-	69.12	0.23%	146.01	0.99%
Kalonji	7.05	0.02%	6.13	0.02%	-	-
Ground Nut Inshell	-	-	33.58	0.11%	113.75	0.77%
Ground Nut Oil	-	-	-	0.00%	347.63	2.35%
Ground Nut Seeds	1,751.29	4.82%	2,806.97	9.46%	2,115.38	14.29%
Ground Nut Split	-	-	46.30	0.16%	69.31	0.47%
Groundnut Husk	71.84	0.20%	18.12	0.06%	8.33	0.06%
Peanut Blanched	1,538.85	4.24%	2,041.01	6.88%	932.93	6.30%
Peanut Rejection	6.49	0.02%	65.51	0.22%	31.68	0.21%
RBD Palm Olein (Edible Grade) In Bulk	840.00	2.31%	1,090.50	3.67%	-	-
Crude Degummed Soyabean Oil	9,308.37	25.64%	1,545.48	5.21%	-	-
Total	36,304.49	100.00%	29,679.34	100.00%	14,798.43	100.00%

MAIN COMPONENTS OF PROFIT AND LOSS ACCOUNT

Total Income

Our total income comprises of Revenue from Operations and Other Income.

Revenue from Operations

Our operational revenue is primarily generated from the cleaning, grading, sorting and marketing of agricultural produce, commodities, food grains & pulses like Hulled Sesame Seeds, Sesame Seeds, Watermelon Seeds, Cumin Seeds, Fennel Seed, Coriander Seeds, Red Lentils, Brown Eye Beans, Chickpeas, Green Moong & Moong dal, Kidney Eye Beans, Pigeon Peas, Yellow Peas, Wheat, Turmeric Fingers, Soyabean, Kalonji, Peanut Inshell, Peanut Oil, Peanut Seeds, Peanut Split, Peanut Husk, Peanut Blanched, Peanut Rejection and from trading of Refined Bleached and Deodorized Palm Olein & Crude Degummed Soyabean Oil.

Other Income

Our other income comprises of FD Interest Income, Interest on PGVCL Deposit, Discount Income, Exchange Rate Difference Income, Loading Charges Income, Duty Drawback Income, Job work Income, Insurance Income (Import and Export), Kasar Income, CHA charges, Ocean Freight Income, TMA Scheme Incentive Income, Roadtep Income, Rate Difference and Quality Income, Profit on Sale of Assets and Other Income.

Expenditure

Our total expenditure primarily consists of Cost of Material Consumed, Purchases of Goods, Changes in inventories of finished goods work-in-progress and Stock-in-Trade, Direct Expense, Employee Benefit Expenses, Finance costs, Depreciation and amortization expense, Administrative Expenses & Selling Expenses.

Cost of Material Consumed and Purchases of Goods

Cost of Material Consumed and Purchases of Goods consists of purchases of raw materials.

Changes in inventories of finished goods work-in-progress and Stock-in-Trade

Changes in inventories of finished goods work-in-progress and Stock-in-Trade comprises of difference in opening and closing balance of Finished Goods.

Direct Expense

Direct Expense consists of Admin Charges, Advance Cargo charges, Agency Charges, Arrival Notification Charges, BL Charges, BL Surrender Charges, B/L Surrender Charges, BL Switch Charges, Bond Procedure, Custom Expense for Shipping Bill Amendment, Calibration Exp., Cargo Handling Charges, Cartage and Crain Charges, Certificate & Documentation Charges, CFS Charges, CHA Charges, CMC Charges, CO Form A1 Expense, Container Gate In/ gate out Charges, Container Grounding Expense, Container Handling Charges, Container Inspection Fees, Container Lift on Charges, Container Protect Essential, Container Seal Expense, Container Service Fees, Container Maintenance Charges, Cancellation Charges, Container Yard charges, Conveyance Charges, Custom Duty, D O Fees, DFIA License Purchase, DOC Handling Fees, Demurrage and Detention Imports Charges, Delivery Order Extending Fee, Documentation Charges, Detention Charges, EDI Charges, Electricity Expense, Facilitation Processing Fees, GAS Cylinder Expense, High Seas Sales Admin Charges, Export Service, Import Documentation Fees, Import Permission Fees, Incidental Expense, Interest On late Filling BE , International Ship/Port facility Services, ISPS Charges, Jobwork Expense, Laboratory Expense, Labour Expense, Line Charges, Loading/Unloading Charges, Packing Design, Packing Material, Phyto Certificate Expense, Quality Claim, Quality Rate Difference-Peanut Blanch QU., Shipping Line Expense, Transportation Expense.

Employee Benefit Expenses

Employee benefit expenses comprise of Directors Remuneration, HR Allowance, Provident Fund Expenses, Bonus Expense, Gratuity Expense, Salary Expense.

Financial Charges

Financial Charges comprises of Interest to banks and Bank processing charges.

Depreciation and Amortization Expenses

Depreciation and Amortization Expenses comprises of depreciation on the Tangible/Intangible assets of our company.

Administrative Expenses & Selling Expenses

Administrative Expenses & Selling Expenses comprises of Advertisement Expenses, Audit fees, Bank Charges, Cargo Data Services, Cash Discount, Commission & Brokerage Expense, Computer and Printer Maintenance Charges, Consultancy Charges, Container Cleaning and Washing Charges, Container Detention Charges, Income Tax Expense (For Demand), Courier & Post Expense, Custom Examination & Documentation Charges, Custom Late Fees, Container Handling Charges, Dollar Shortfall , Domain charges, Endorsement Charges, Equipment Surcharge, EVENT Expense, Examination Expense, Foreign Currency Buy Expenses, Factory Expense, Factory License EXP, Factory Land Tax Expense, Farma Expense, Flexi Tank Expense, FSSAI Charges, Fumigation Charges, Godown Rent, GST Expense, GST Late Fees, Health Certificate Expense, IGM Manifestation Charges, Imbalance Surcharge, Installing and Maintaining Expense, Insurance Expense, Insurance Expense (Export), Interest on TDS, Interest on TCS, Interest on Income Tax, Interest Expense, Interest on Late Payment of Professional Tax, Interest on custom Duty, Kasar, Laboratory Testing Expense, Late Do Pickup, Legal & Professional Fees , Licence Expense, Machinery Repairing , Mandatory User Charges, Membership Fees Expense, Manifestation Charges, Miscellaneous Expense, Ocean Freight Other Expense, Off Dock Charges, Office & Factory Expense, Operational Cost Recovery , Other Expense, Petrol and Diesel Expense, POD, Processing Fees (Container), Preclosure Charges, Printing & Stationary Expense, Professional Tax, Prior Period Expense, Property Tax Expense, Plant Quarantine Charges, Repairing & Maintenance Expense, ROC Fees, Safe fright Charges , Security Service Expense, Service & Maintenance Charges, Stamp Duty, SME Listing Fees, Stereo Expense, Subscription, Software Update Charges, Survey Expense, Telephone and Internet Expense, Telex Charges, Terminal Handling Charges, THC at POD, Toll Charges, Trade Fair Expense, Travelling Expense, Vehicle Repairing Expense, Vessel Tracking Surcharge, VGM Charges, VTS Charges, War Risk Surcharge, Warehouse Charges, Weighment Charges, Amendment Expense, Marchant Bankers Fees, Penalty Expense (Import Related, TDS Expense (Demand), Valuation Professional Fees, VISA Service Chagres, DIN Activation Fee, Interest on GST, DSC Fees, Electric Expense, Yard Charges.

Provision for Taxation

The provision for current tax is computed in accordance with relevant tax regulation. Deferred tax is recognized on timing differences between the accounting and the taxable income for the year and quantified using the tax rates and laws enacted or subsequently enacted as on balance sheet date. Deferred tax assets are recognized and carried forward to the extent that there is a virtual certainly that sufficient future taxable income will be available against which such deferred tax assets can be realized in future.

COMPARISON OF THE FINANCIAL PERFORMANCE OF FISCAL 2025 WITH FISCAL 2024

Total Revenue: The total revenue, comprising both revenue from operations and other income, has risen to 36,632.27 in FY 2024-25, up from 30,043.42 lakhs in FY 2023-24. This represents an increase of 6,588.85 lakhs, or 21.93% for the said period, mainly driven by a growth in domestic revenue from the companys operations.

Revenue from Operations: The revenue from operations has increased to 36,304.49 lakhs (99.11% of the total revenue) in FY 2024-25, up from 29,679.34 lakhs (98.79% of the total revenue) in FY 2023-24. This represents an increase of 6,625.15 lakhs, or 22.32% for the said period. The domestic sales (including sales to SEZ) have increased to 34,167.19 Lakhs in FY 24-25 from 25,906.48 Lakhs in FY 23-24. This growth is primarily driven by a significant change in product portfolio which were more in demand and resulted into higher turnover.

Other Income: The other income of the company for FY 2024-25 decreased to 327.78 Lakhs (0.89% of the total revenue) as against 364.08 Lakhs (1.21% of the total revenue) in FY 2023-24 i.e. Other Income decreased by 36.30 Lakhs. This decrease was mainly due to decrease in rate difference & quality income.

Total Expenses

The total expenses (excluding Depreciation & Amortization Expenses, Financial Charges and provision for tax) for the FY 2024-25 were increased to 35,333.12 Lakhs (96.45% of total revenue) from 29,235.40 Lakhs (97.31% of total revenue) in FY 2023-24 i.e., total expenses increased by 6,097.72 lakhs. The total expenses increased in absolute figures due to increase in operational volume during the fiscal year, as highlighted in the revenue from operations above but we are able to save profit by 0.86% by optimising our resources and better bargaining power with high volume order.

Cost of Material Consumed and Purchases of Goods: The total cost of material consumed and Purchases of Goods have increased to 32,932.26 lakhs (89.90% of total revenue) in FY 2024-25 from 28,300.71 lakhs (94.20% of total revenue) in FY 2023-24 i.e. the above expenses increased by 4,631.54 lakhs. The total expenses in material consumed increased in absolute figures due to increase in operational volume during the fiscal year, as highlighted in the revenue from operations above but we are able to save profit by 4.30% by optimising our resources and better bargaining power with high volume order.

Direct Expense: The direct expenses for the FY 2024-25 was increased to 2,029.62 Lakhs (5.54% of the total revenue) as against 603.23 Lakhs (2.01% of the total revenue) in FY 2023-24 i.e., direct expenses increased by 1,426.40 lakhs due to higher custom duty paid for increase in Import purchase.

Employee Benefit Expenses: The Employee Benefit Expenses for the FY 2024-25 was increased to 84.42 Lakhs (0.23% of the total revenue) from 51.00 Lakhs (0.17% of the total revenue) for the FY 2023-24 i.e., employee benefit expenses increased by 33.42 lakhs. This increase was mainly due to increase in overall Salaries paid during the fiscal year due to higher volume of operation.

Administrative Expenses & Selling Expenses: The Administrative Expenses & Selling Expenses for the FY 2024-25 was increased to 286.82 Lakhs (0.78% of the total revenue) from 280.46 Lakhs (0.93% of the total revenue) for the FY 2023-24 i.e., expenses increased by 6.36 lakhs due to higher volume of operation.

Depreciation and Amortisation Expenses: The Depreciation and Amortisation expenses for FY 2024-25 decreased to 6 1.73 Lakhs (0.17% of the total revenue) from 69.42 Lakhs (0.23% of the total revenue) for FY 2023-24.

Financial Charges: The Financial Charges for the FY 2024-25 increased to 351.61 Lakhs (0.96% of the total revenue), up from 202.65 Lakhs (0.67% of the total revenue) for the FY 2023-24 i.e., financial charges increased by 148.96 lakhs (73.50% for the said period). This increase was mainly due to increase in interest on loan as per their utilization due to higher volume of operation.

Profit/ (Loss) Before Tax: The restated Profit before Tax for FY 2024-25 was increased to 885.80 Lakhs (2.42% of total income) as against 535.95 Lakhs (1.78% of total income) in FY 2023-24 i.e., profit before tax increased by 349.86 Lakhs (0.63% of total income). While sales revenue has risen significantly, the corresponding expenses also increased in proportion to total income, reflecting a trend similar to that of the previous year. Despite this, the company ability to successfully manage costs effectively led to enhanced profitability.

Total Tax Expenses: The total tax expense for FY 2024-25 increased to 236.27 Lakhs (0.64% of total income) as against 141.31 (0.47% of total income) Lakhs in the FY 2023-24. This increase was mainly due to increase in Profit before Tax as mentioned above.

Profit/ (Loss) After Tax: The restated Profit after Tax for FY 2024-25 increased to 649.53 Lakhs (1.77% of total income) as against 394.64 Lakhs (1.31% of total income) in the FY 2023-24. This increase was mainly due to increase in Profit before Tax as explained above.

COMPARISON OF THE FINANCIAL PERFORMANCE OF FISCAL 2024 WITH FISCAL 2023

Total Revenue: The total revenue, comprising both revenue from operations and other income, has risen to 30,043.42 lakhs in FY 2023-24, up from 14,937.85 lakhs in FY 2022-23. This represents an increase of 15,105.58 lakhs, or 101.12% for the said period, mainly driven by a growth in domestic as well as export revenue from the companys operations.

Revenue from Operations: The revenue from operations has increased to 29,679.34 lakhs (98.79% of the total revenue) in FY 2023-24, up from 14,798.43 lakhs (99.07% of the total revenue) in FY 2022-23. This represents an increase of 14,880.90 lakhs, or 100.56% for the said period. The domestic sales (including sales to SEZ) have increased to 25,906.48 Lakhs in FY 23-24 from 12,247.59 Lakhs in FY 22-23. This growth is primarily driven by a significant change in product portfolio which were more in demand and resulted into higher turnover. This growth further attributed to the successful sale of a variety of seeds and pulses, which were not offered in the previous year. Additionally, the company attracted new customers across multiple states, further expanding its market reach. There has also been an increase in export sales to 3,772.86 Lakhs in the current fiscal from 2,550.84 Lakhs in the previous year i.e. an increase of 1,222.01 Lakhs, contributing positively to the overall revenue growth.

Other Income: The other income of the company for FY 2023-24 increased to 364.08 Lakhs (1.21% of the total revenue) as against 139.41 Lakhs (0.93% of the total revenue) in the FY 2022-23 i.e. Other Income increased by 224.67 Lakhs (161.16% for the said period). This increase was mainly due to increase in income from foreign exchange fluctuation and rate difference & quality income.

Total Expenses

The total expenses (excluding Depreciation & Amortization Expenses, Financial Charges and provision for tax) for the FY 2023-24 were increased to 29,235.40 Lakhs (97.31% of total revenue) as against 14,636.12 Lakhs (97.98% of total revenue) in the FY 2022-23 i.e., total expenses increased by 14,599.28 lakhs. The total expenses increased in absolute figures due to increase in operational volume during the fiscal year, as highlighted in the revenue from operations above but we are able to save profit by 0.67% by optimising our resources and better bargaining power with high volume order.

Cost of Material Consumed and Purchases of Goods: The total cost of material consumed and Purchases of Goods have increased to 28,300.71 lakhs (94.20% of total revenue) in FY 2023-24 from 14,088.24 lakhs (94.31% of total revenue) in FY 2022-23 i.e. the above expenses increased by 14,928.42 lakhs. The total expenses in material consumed increased in absolute figures due to increase in operational volume during the fiscal year, as highlighted in the revenue from operations above but we are able to save profit by 0.11% by optimising our resources and better bargaining power with high volume order.

Direct Expense: The direct expenses for the FY 2023-24 was increased to 603.23 Lakhs (2.01% of the total revenue) as against 322.90 Lakhs (2.16% of the total revenue) in the FY 2022-23 i.e., direct expenses increased by 280.33 lakhs. This was primarily due to the higher operational volume in the current fiscal year but we are able to save profit by 0.15% by optimising our resources and better bargaining power with high volume order

Employee Benefit Expenses: The Employee Benefit Expenses for the FY 2023-24 was increased to 51.00 Lakhs (0.17% of the total revenue) as against 45.90 Lakhs (0.31% of the total revenue) in the FY 2022-23 i.e., employee benefit expenses increased by 5.09 lakhs. This increase was mainly due to increase in overall Salaries paid during the fiscal year due to higher volume of operation.

Administrative Expenses & Selling Expenses: The Administrative Expenses & Selling Expenses for the FY 2023-24 was increased to 280.46 Lakhs (0.93% of the total revenue) Lakhs as against 179.08 Lakhs (1.20% of the total revenue) in the FY 2022-23 i.e., employee benefit expenses increased by 101.39 lakhs. The expenses in material consumed increased in absolute figures due to increase in operational volume during the fiscal year, as highlighted in the revenue from operations above but we are able to save profit by 0.27% by optimising our resources and better bargaining power with high volume order.

Depreciation and Amortisation Expenses: The Depreciation and Amortisation expenses for FY 2023-24 increased to 69.42 Lakhs (0.23% of the total revenue) as against 66.08 Lakhs (0.44% of the total revenue) in the FY 2022-23 i.e., depreciation increased by 3.34 lakhs (5.05% for the said period). This rise was primarily due to the capital expenditure incurred during the fiscal year.

Financial Charges: The Financial Charges for the FY 2023-24 increased to 202.65 (0.67% of the total revenue) Lakhs as against 121.67 Lakhs (0.81% of the total revenue) in the FY 2022-23 i.e., financial charges increased by 80.99 lakhs (66.57% for the said period). This increase was mainly due to increase in interest on loan as per their utilization due to higher volume of operation.

Profit/ (Loss) Before Tax: The restated Profit before Tax for FY 2023-24 was increased to 535.95 Lakhs (1.78% of total income) as against 113.98 Lakhs (0.76% of total income) in the FY 2022-23 i.e., profit before tax increased by 421.97 Lakhs (1.02% of total income). While sales revenue has risen significantly, the corresponding expenses also increased in proportion to total income, reflecting a trend similar to that of the previous year. Despite this, the company ability to successfully manage costs effectively led to enhanced profitability.

Total Tax Expenses: The total tax expense for FY 2023-24 increased to 141.31 Lakhs (0.47% of total income) as against 31.75 (0.21% of total income) Lakhs in the FY 2022-23. This increase was mainly due to increase in Profit before Tax as mentioned above.

Profit/ (Loss) After Tax: The restated Profit after Tax for FY 2023-24 increased to 394.64 Lakhs (1.31% of total income) as against 82.22 Lakhs (0.55% of total income) in the FY 2022-23. This increase was mainly due to increase in Profit before Tax as explained above.

AN ANALYSIS OF REASONS FOR THE CHANGES IN SIGNIFICANT ITEMS OF INCOME AND EXPENDITURE IS GIVEN HEREUNDER:

1. Unusual or infrequent events or transactions

Except as described in this Draft Prospectus during the periods under review there have been no transactions or events, which in our best judgment, would be considered unusual or infrequent.

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

There are no significant economic changes that may materially affect or likely to affect income from continuing operations. However, Government policies governing the sector in which we operate as well as the overall growth of the Indian economy has a significant bearing on our operations. Major changes in these factors can significantly impact income from continuing operations.

3. 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 "Risk Factors" beginning on page 22 in the Draft 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 from continuing operations.

4. Expected Future changes in relationship between costs and revenues

Our Companys future costs and revenues will be determined by demand/supply situation, inflation, Government Policies and Taxation and Currency fluctuations.

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

Changes in revenue in the last financial years are as explained in the part "Comparison of the Financial Performance" of above.

6. Total turnover of each major industry segment in which our Company operates

The Company is mainly engaged in processing of agri products and all the activities of the business revolve around this main business. Therefore, there are no separate reportable segments.

7. Status of any publicly announced New Products or Business Segment

Our Company has not announced any new product other than disclosed in this Draft Prospectus.

8. Seasonality of business

Our business is seasonal in nature as per the type of agri products we process.

9. Competitive conditions

Competitive conditions are as described under the Chapters "Industry Overview" and "Our Business" beginning on page 94 and 105 respectively of the Draft Prospectus.

10. Details of material developments after the date of last balance sheet i.e. March 31, 2025

Except as mentioned in this Draft Prospectus, no circumstances have arisen since the date of last financial statement until the date of filing the Draft Prospectus, which materially and adversely affect or are likely to affect the operations or profitability of our Company, or value of its assets, or its ability to pay its liability within next twelve months.