Inani Marbles & Industries Ltd Management Discussions

forming part of Directors Report

The Management of Inani Marbles & Industries Limited is pleased to present the following Management Discussion and Analysis Report which contains a brief write-up on the industry structure, opportunities and concerns, performance of the company with respect to the operations other information. This chapter on Management Discussion and Analysis forms a part of the compliance report on Corporate Governance.

Economic Overview:

Global Economy

During the financial year 2025 26, the global economy continued to operate in a challenging and evolving environment marked by on going geopolitical tensions, regional conflicts, inflationary pressures and volatility in international financial markets. Global trade and investment activities were impacted by supply chain disruptions, fluctuating energy prices and cautious monetary policies adopted by major economies to contain inflationary trends.

Despite these challenges, the global economy demonstrated resilience supported by gradual moderation in inflation, stabilization in commodity prices and improving business confidence across several developed and emerging economies. Central banks across various regions continued to adopt balanced policy measures aimed at sustaining economic growth while maintaining financial stability.

While geopolitical uncertainties and market volatility continued to influence investor sentiment during the year, the medium to long-term out look for the global economy remains cautiously optimistic, supported by improving economic activity, technological advancements and expected recovery in global trade and infrastructure investments.

Indian Economy and Industry Overview

The Indian economy continued to demonstrate strong resilience and stability during the financial year 2025 26 despite uncertain global economic conditions. Supported by robust domestic demand, sustained government focus on infrastructure development, policy reforms and improving investment climate, India maintained its position as one of the fastest growing major economies in the world.

Growth across sectors such as infrastructure, real estate, manufacturing, services and urban development contributed positively to economic momentum during the year under review.

Although external factors such as geopolitical tensions, fluctuations in commodity prices and global market volatility posed certain challenges, the Indian economy remained well positioned due to strong macroeconomic fundamentals, stable financial systems and continued policy support from the Government.

The long-term outlook for the Indian economy remains positive and encouraging, driven by growing domestic consumption, infrastructure expansion, digital transformation and favorable demographic advantages, which are expected to create sustained growth opportunities across sectors.

Industry Structure and Development

The marble and natural stone industry witnessed dynamic market conditions during the financial year 2025-26. Demand for premium imported marble and decorative stones remained steady, particularly from luxury residential projects, commercial establishments, hospitality infrastructure and high-end interior applications. Increasing urbanization, evolving customer preferences towards premium interiors and continued growth in the real estate and infrastructure sectors continued to support demand for imported marble products in India.

The industry, however, also witnessed challenges arising from fluctuations in freight costs, foreign exchange volatility and disruptions in global supply chains due to ongoing geopolitical developments across certain regions. Despite such challenges, the long-term outlook for the marble and granite industry continues to remain positive.

The Company continued to maintain its reputation as one of the reputed importers and suppliers of premium marble and natural stones through its emphasis on quality products, customer satisfaction and long-standing business relationships.

Financial and Operational Performance

The table below gives the Companys financial performance for 2025-26 compared with 2024-25.

The Financial Results of the company for the year under review are summarized below:

Financial Results	For the Year Ended 31-03-2026	For the Year Ended 31-03-2025
	(Rs. In Lacs)	(Rs. In Lacs)
I Income
Revenue from operations	4676.03	4279.56
Other Income	80.02	128.08
Total	4756.05	4407.64
II Expenditure
Cost of Raw material consumed	1444.16	1817.25
Purchase of traded goods	776.52	411.15
Changes in inventories of finished goods, work-in-progress and Stock-in-Trade	68.27	(350.74)
Employees Benefit Expenses	523.83	520.95
Finance Cost	166.95	198.29
Depreciation and amortization expense	266.70	264.47
Other expenses	1491.06	1440.41
Total	4737.49	4301.78
Profit before Exceptional Items & taxes	18.56	105.86
Exceptional Iteams	0.00	0.00
Profit for the year before taxes	18.56	105.86
Tax expenses :
Current Tax	0.00	28.99
Deferred Tax (Net)	0.29	6.24
Previous Years Income Tax	0	0
Profit for the Year after taxes	18.27	70.63
Add : Profit brought forward	4460.92	4409.72
Profit available for appropriation :	4479.19	4480.35
Adjustment Related to Transitopnal provision contained in schedule II	-	-
Dividend Paid	7.44	7.43
Corporate Dividend Tax	0.00	0.00
Transferred to General Reserve	12.00	12.00
Total	19.44	19.43
Surplus carried to balance sheet	4459.75	4460.92

Segment-wise or product-wise performance:

The company manufactures and deals in Marble/Granites/Stone Blocks, Slabs Tiles, quartz slab and allied

products. The Company deals in single Segment of Granite, Marble, stone and Quartz products.

Opportunities

There are excellent opportunities in Marble & Granite and Quartz slab industry due to large scale investment in Infrastructure and construction activity. The constant growth in construction sector has escalated the demand for marbles and granites substantially both in domestic and international markets and Quartz Slab which are having huge demand in international Market. Your company has capabilities to quickly adopt to the changing market condition and sustain the projected growth in sales and profits.

Business Outlook

The company is proactively responding to the changing business environment and is confident of sustaining its market share by improving competitive positioning in the market. The overall business outlook for the company is promising with improvement in overall economic environment. Efforts towards higher operational efficiencies shall continue. The company continues to examine the possibilities of expansion and shall make the necessary investments when attractive opportunities arise.

Threats and Risk Management

The nature of companys business is such that various risks have to be confronted with not only to successfully exist in the said business but even to grow at a respectable pace. However, these risks are no different than the ones faced by the industry as a whole. A comprehensive and integrated risk management framework forms the basis of all the de-risking efforts of the company. Formal reporting and control mechanisms ensure timely information availability and facilitate proactive risk management. These mechanisms are designed to cascade down to the level of the managers so that risks at the transactional level are identified and steps are taken towards mitigation in a decentralized fashion.

Internal Control Systems and their adequacy

The company strongly believes that Internal Control Systems are necessary for good Corporate Governance and that the freedom of management should be implemented through the framework of proper checks and balances.

The Company has in place an effective system of internal controls to ensure that all assets are properly safeguarded and protected and used optimally and financial transactions are reported accurately. The Audit committee and the Board of Directors review the adequacy and the effectiveness of the internal controls at periodic intervals. For better governance the company is in the process of introducing internal audit system.

Human Resources

The Company considers the quality of its human resources to be its most important asset and places great emphasis on training and development of employees at all levels. Communication exercises are treated as continues process to keep the employees informed of the challenges being faced by the Company and also motivate them to take up higher responsibilities, in tune with the requirements of the Company.

In order to sustain the competitive edge, the Company has been taking various initiatives for improving the

human resources strength and creating a conducive work atmosphere.

Cautionary Statement

Statements in this management discussion and Analysis describing the Companys objectives, projections, estimates and expectations may be forward looking statements within the meaning of applicable laws and regulations. Actual results may differ substantially or materially from those expressed or implied. Important developments that could affect the Companys operations include a downtrend in the industry global or domestic or both, significant changes in political and economic environment in India, applicable statues, litigations, labour relations and interest costs.

	For and on behalf of the Board of Directors
Place: Chittorgarh	Capt. Suresh Kumar Inani	Mahesh Kumar Inani
Date : 11.08.2026	(Managing Director)	(Jt. Managing Director)
	DIN NO.00219702	DIN NO.00322735