IDream Film Infrastructure Company Ltd Management Discussions

The following Management Discussion and Analysis Report has been prepared in accordance with the Regulations of the Securities and Exchange Board of India (Listing Obligations and Disclosure Requirements) Regulations, 2015 with a view to provide an analysis of the business and financial statements of the Company for the F.Y. 2024-25, hence it should be read in conjunction with the respective financial statements and notes thereon. The Companys management accepts responsibility for the integrity and objectivity of these financial statements, as well as for various estimates and judgments used therein. The estimates and judgments relating to the financial statements have been made on a prudent and reasonable basis, in order that the financial statements reflect in a true and fair manner the form and substance of transactions, and reasonably present the Companys state of affairs and profits for the year. Investors are cautioned that this discussion contains forward looking statements that involve risks and uncertainties. The Company undertakes no obligations to publicly update or revise any forwardlooking statements, whether as a result of new information, future events, or otherwise.

Business Overview:

IDream Film Infrastructure Company Limited was established in 1981 as a rental and leasing house primarily catering to the media industry.

Economic Outlook:

The Indian Media and Entertainment sector is expected to grow steadily at double-digit rates in FY 2024-25 and beyond. According to industry reports, the sector is projected to reach around Rs. 3.5 trillion by 2026 at a CAGR of 10 - 11%, driven by increased digital adoption, OTT penetration, and rising consumer spending on entertainment.

India continues to remain one of the fastest growing major economies with GDP growth projected at 6.5% - 7% in FY 2024-25, supported by domestic demand, infrastructure investments, and policy reforms. Recent Government initiatives such as “Digital India” and “Make in India” are expected to create long-term positive impact across industries, including the media and entertainment space.

Business Outlook:

During FY 2024-25, the Company reported a loss of INR 21.10 Lacs, as against a loss of INR 15.78 Lacs in FY 2023-24. The Company continues to focus on identifying avenues to re-commence its core business activities in the film infrastructure and media services segment.

Foreign Direct Investment (FDI) inflows in the Information and Broadcasting (I&B) sector, including Print Media, continue to remain strong, reflecting investor confidence in Indias long-term growth story.

Internal control system and their adequacy:

The Company has adequate internal control procedures commensurate with its size and nature of business. The business control procedures ensure efficient use and protection of Companys resources and compliance with policies, procedures and statutory requirements. Further, auditors are appointed to carry audit assignments and to periodically review the transactions across the divisions and evaluate effectiveness of internal control systems.

Risk Management:

The Board of Directors of the Company has designed a Risk Management Policy and Guidelines to avoid events, situations or circumstances which may lead to negative consequences on the Companys businesses, and define a structured approach to manage uncertainty and to make use of these in their decision making pertaining to all business divisions and corporate functions. Key business risks and their mitigation are considered in the annual / strategic business plans and in periodic management reviews.

Financial Performance:

The Companys financial performance is covered in Directors Report to the Members.

Opportunities and Threats:

Due to changing demographics and economic conditions in India, coupled with consumers willing to spend more on a variety of leisure and entertainment services, the filmed entertainment business is set to grow in the years to come. With a proliferation of television channels and new platforms of delivery available today, there is a significant demand for quality programming in a variety of genres, formats and languages, putting content providers in the television space in an extremely favorable position.

The Company is exposed to specific risks that are particular to its businesses and the environment within which it operates, including competition risk, interest rate volatility, human resource risk, execution risk and economic cycle.

Outlook:

Going forward, technology will also be one of the key differentiators for driving revenue & profitability. These discussions led to the development of our long-term strategy along with an action plan that would help us exploit the available opportunities and measure progress against key milestones and take corrective action when required.

For and on behalf of the Board