Interiors & More Ltd Management Discussions

Global economic overview

The global economy grew marginally at a 3.4% in 2025 compared to 3.3% in the previous year, influenced by the US tariff shock of April 2025. Despite being partially unwound through subsequent trade deals, it left effective tariff rates well above pre-2025 levels and heightened trade policy uncertainty.

Advanced economies witnessed a marginal growth from 1.8% in 2024 to 1.9% in 2025, while emerging market and developing economies demonstrated relative resilience, expanding by 4.4% in 2025 compared to 4.3% in 2024.

Global inflation continued its multi-year downward trend in 2025, declining to an estimated 4.1% from 5.8% in 2024.

Regional growth (%)	2025	2024
World output	3.4	3.3
Advanced economies	1.9	1.8
Emerging and developing economies	4.4	4.3
(Source: IMF, un.org)

Performance of the major economies, 2025

United States: GDP growth of 2.1% in 2025 compared to 2.8% in 2024.

China: GDP growth was 5.0% in 2025 compared to 5.0% in 2024.

United Kingdom: GDP growth was 1.3% in 2025 compared to 1.1% in 2024.

Japan: GDP growth was 1.2% in 2025 compared to (0.2) % in 2024.

Germany: GDP growth was 0.2% in 2025 compared to a -0.5% in 2024.

(Source: IMF April 2026 Outlook, World Bank)

Outlook

Given the challenge of forming stable, real-time assumptions for projections, the IMF World Economic Outlook report adopted a ‘reference forecast instead of a conventional baseline, assuming the war remains contained in duration, intensity, and reach, with disruptions easing by mid-2026, in line with commodity futures as of March 10, 2026.

Under this reference view, global growth is projected at 3.1 percent in 2026 and 3.2 percent in 2027. Global inflation is expected to rise to 4.4 percent in 2026 before easing to 3.7 percent in 2027.

(Source: OECD Interim Economic Outlook, IMF, World Economic Forum, Federal Reserve, Bank of England, European Central Bank, Bank of Japan)

Indian economic overview

The Indian economys real GDP grew at 7.7% in FY 2025-26, compared to 7.1%

in FY 2024-25. This growth was driven by strong consumption and increasing investments, reaffirming Indias position as the fastest-growing major economy.

Indias Real GDP at Constant Prices was estimated at Rs.323.12 lakh crore in FY 2025-26, compared with Rs 299.89 lakh crore in FY 2024-25.

Growth of the Indian economy

	FY23	FY24	FY25	FY26
Real GDP growth (%)	7.0*	7.2	7.1	7.7

E: Estimated. Note: FY24 figure restated under new base year 2022-23. (Source: MoSPI)

* The FY23 figure (7.0%) is from the old base year series (2011-12) as the new series back-data for FY23 will only be available after December 2026.

Growth of the Indian economy quarter by quarter, FY 2025-26

	Q1FY26	Q2FY26	Q3FY26	Q4FY26
Real GDP growth (%)	6.7	8.4	7.8	7.8

Note: Q2 revised upward from 8.2% and Q3 from 7.35% under the new base year 2022-23 series released February 27,2026. Q4 remains an estimate. (Source: MoSPI)

Inflation, policy and currency dynamics

Inflation remained benign through much of FY 2025-26, with full-year CPI estimated at an exceptionally low 2.1%. This created room for 125 basis points of cumulative rate cuts, supporting consumption and investment.

However, macro stability was accompanied by currency volatility. The Indian rupee depreciated sharply by 9.88% during FY 2025-26 — its steepest fall since FY12 — touching Rs.94.83 against the US dollar. This reflected global capital flows, a strong dollar environment, and geopolitical uncertainties.

Capital flows and market behaviour

Foreign portfolio investors remained risk-averse, withdrawing a record Rs.1.8 trillion during FY 2025-26 - the largest outflow in 36 years. However, strong domestic institutional inflows of Rs.8.50 trillion provided a crucial counterbalance, highlighting the growing maturity and depth of Indias domestic capital markets.

Indias market capitalisation declined 8 percent year on year in FY 2025-26 to USD 4.5 trillion from USD 4.83 trillion in FY 2024-25, marking the sharpest drop since FY23. The BSE Sensex declined 7 percent or 5,467 points in FY 2025-26, against a gain of 5.1 percent or 3,763 points, in FY 2024-25. Similarly, the Nifty 50 fell 5 percent, or 1,188 points, in FY 2025-26, compared to a gain of 5.3 percent or 1,192 points, in FY 2024-25. against a gain of 5.34 percent, or 1,192 points, in the corresponding period.

The downturn was largely driven by the ongoing West Asia conflict and concerns around potential tariff measures under Donald Trump, which weighed on global investor sentiment.

Gold prices surged 64.1% during FY 2025-26 reflecting global risk aversion and safe-haven demand.

Indias net direct tax collections rose 5.12% y-o-y to Rs.23.40 lakh crore in FY 2025-26, though this fell short of the Revised Estimate of Rs.24.21 lakh crore by approximately Rs.80,000 crore. Corporate tax collections came in at Rs.10.99 lakh crore against a target of Rs.11.09 lakh crore, while personal income tax (including STT) stood at Rs.12.41 lakh crore against a target of Rs.13.12 lakh crore — the larger of the two misses, partly reflecting the income tax relief extended to the middle class in the Union Budget 2025-26

Banking sector

Indias banking sector reflected improving financial health, with the gross non- performing asset ratio declining to a robust 2.1 percent as of September 2025, indicating stronger asset quality and disciplined lending practices. This stability was mirrored in profitability metrics, as scheduled commercial banks reported a return on assets of 1.3 percent and a return on equity of 12.5 percent during the first half of 2025-26, underscoring sustained operational efficiency and a healthier balance sheet trajectory.

Indias growth story

Real Gross Value Added (GVA), which measures economic output excluding taxes and subsidies, grew 7.9% in FY 2025-26, compared with 7.3% in FY 2024-25. At current prices, nominal GVA rose 9.1% to Rs 314.87 lakh crore from Rs 288.54 lakh crore a year earlier.

The tertiary services sector remained a key growth driver, expanding by 9.0 percent in FY 2025-26 and increasing its share in nominal gross value added to 54.3 percent from 52.8 percent in FY 2024-25, supported by broad-based momentum across segments.

During FY 2025-26, financial, real estate, IT and professional services grew by 9.9 percent, while trade, hotels, transport, communication and broadcasting recorded a strong 10.1 percent growth, and public administration and other services expanded by 5.8 percent.

The secondary sector grew 9.1 percent, accelerating from 8.0 percent in the previous year, driven by manufacturing alongside construction growth of 7.1 percent. This combination of services-led scale and manufacturing acceleration is shaping a more balanced and resilient economic structure.

Consumption and investment

During FY 2025-26, Private Final Consumption Expenditure (PFCE) and Gross Fixed Capital Formation (GFCF) maintained above-7% growth, reflecting a well-balanced demand composition across household spending and investment activity.

Growth catalysts

Policy-led consumption boost: The Union Budget FY27s tax relief measures— particularly income tax exemptions up to Rs.12 lakh—are expected to stimulate discretionary spending and reinforce consumption-led growth.

Anticipatory Pay Commission impact:

The 8th Pay Commission, though expected to be implemented from FY28, is already shaping consumer sentiment, creating a forward consumption impulse.

Monetary stability: The Reserve Bank of Indias calibrated stance, with the repo rate at 5.25%, balances inflation risks with growth support, ensuring macroeconomic stability.

Credit expansion: Improved banking health and liquidity conditions are expected to sustain strong credit growth across MSMEs, housing, and retail segments.

Fiscal prudence with growth focus: The Union Budget maintains fiscal discipline while prioritising infrastructure, MSME support, skilling, and innovation—key levers for long-term productivity.

Outlook

The year under review underscores a defining divergence: a world grappling with uncertainty, and an India navigating it with confidence.

In a global environment marked by fragmentation and caution, India stands out as a rare convergence of stability, scale and structural opportunity. The World Bank has revised its FY27 growth estimate upward to approximately 6.6%, reflecting resilient domestic momentum even as growth moderates from the previous year. India is expected to retain its position as the fastest-growing major economy.

Growth will be shaped by a combination of strong domestic demand and resilient private consumption, supported by low inflation and GST rationalisation, alongside stable export performance with improved access to key markets.

This momentum is further reinforced by sustained policy support, ongoing economic reforms, and a favourable demographic advantage.

While risks persist, particularly from elevated energy prices, subsidy pressures on government spending, and uncertainty in global demand, Indias macroeconomic fundamentals remain strong.

Over the medium term, sustained consumption, gradual investment recovery, and expanding global trade linkages are expected to reinforce Indias position as a key driver of global economic growth.

(Source: Upstox, Economic Times, India Today, 5paisa, Livemint, The Logical Indian)

Indian wedding industry overview

The Indian wedding industry is estimated to be valued at approximately Rs.6.5 lakh crore (USD 78 billion), making it the fourth-largest industry in India. When wedding-related spending across travel, hospitality and gifting is included, the broader wedding ecosystem is estimated at nearly USD 130 billion.

India hosts around 10 million weddings annually, making it the second-largest wedding market globally after China. This growth is underpinned by the countrys tradition of large, multi-day wedding celebrations, which drive significant spending on venues, apparel, catering, decor, photography and entertainment. Rising disposable incomes, a growing middle-class population, and increasing urbanisation are encouraging families to invest more in lavish and personalised celebrations. The influence of social media and celebrity weddings has further elevated consumer expectations, driving demand for professionally managed events, luxury decor, destination weddings and specialised wedding planning services.

The average wedding budget increased by 8% year-on-year to Rs.39.5 lakh in 2025, with nearly 10-15% of the overall expenditure, or approximately Rs.4-6 lakh per wedding, allocated to apparel and fashion. Local weddings continued to dominate the market with an 87% share in 2025, although destination weddings are expected to witness steady growth over the coming years. Offline bookings remained the preferred mode with a 77.35% market share, while online bookings are expected to expand at a significantly faster pace as digital adoption accelerates. Catering and venue services accounted for the largest share of the market at 37.32% in 2025, whereas event planning services are expected to emerge as the fastest- growing segment. Domestic destinations continued to account for more than 80% of destination weddings, although demand for international wedding locations is anticipated to grow rapidly. During the peak wedding season alone, wedding-related expenditure accounts for approximately 1.91% of Indias annual GDP.

(Source: Custom Market Insights, First Resort.in)

Global artificial flower market overview

Artificial flowers, often referred to as permanent botanicals, have evolved from simple craft products into sophisticated decorative elements widely used across weddings, commercial spaces and interior decor. Designed to replicate natural blooms, they are manufactured using advanced technologies such as 3D printing, hand-painted colour gradients and “real touch” coatings, delivering remarkable realism in both appearance and texture. Their year-round availability, allergen-free properties, durability and low maintenance make them an attractive and cost-effective alternative to fresh flowers.

The market comprises several product categories. Traditional silk flowers, now primarily made from high-grade polyester or nylon, remain the most widely used. Real Touch flowers, manufactured using latex or polyurethane (PU) coatings, represent the premium segment due to their lifelike appearance, while dried flowers, preserved through dehydration or glycerin treatment, offer a natural, rustic aesthetic and are also considered permanent floral products.

The global artificial flowers market was valued at USD 3.47 billion in 2025 and is expected to grow at a CAGR of 6.91% during 2026-2034. Growth is being driven by increasing demand for durable, low- maintenance decorative solutions across residential and commercial applications. Artificial flowers significantly reduce long-term replacement and maintenance costs, making them particularly suitable for hotels, offices, retail outlets and large- scale decor installations. Continuous improvements in polyurethane, premium synthetic fabrics and manufacturing techniques have further enhanced product quality and realism.

The market is also benefiting from rising disposable incomes, rapid urbanisation and the expanding home decor industry, as consumers increasingly view permanent floral arrangements as a long- term investment in interior aesthetics. A 2025 survey found that 65% of consumers preferred artificial plants for their durability and minimal upkeep. With 60% of the global population projected to live in urban areas by 2025, demand for artificial garden plants, ivy and vines continues to rise, contributing to approximately 20% growth in commercial decor plants and floral installations.

(Source: Polaris Market Research, Lumin Flora, LinkedIn, Business Research Insights)

Indian artificial flower market overview

Indias artificial flowers market is expanding at a healthy clip, underpinned by rapid urbanisation, rising disposable incomes, and a cultural landscape where flowers, real or artificial, are central to weddings, festivals, religious rituals, and home decor. Increasing preference for low-maintenance, reusable, and cost-effective decor solutions over fresh flowers, especially in commercial establishments such as hotels, offices, and event venues, continues to underpin demand.

Market expansion is being supported by rapid urbanisation, rising disposable incomes and evolving consumer preferences for practical yet visually attractive interior decor. As urban households increasingly seek decorative products that combine convenience with elegance, artificial flowers continue to emerge as a preferred alternative to natural blooms. The Indian artificial flowers market is projected to grow at a CAGR of 6.5% during 2025-2031.

(Source: 6WResearch)

Global home decor market overview

The global home decor market was valued at USD 810.5 billion in 2025 and is expected to reach USD 1,128.1 billion by 2034, registering a CAGR of 3.70% during 2026-2034. Growth is being driven by rising consumer spending on personalised interiors, home renovation, sustainable living spaces and smart home technologies, alongside the growing influence of social media on decor trends. Homeowners are increasingly investing in furniture, lighting, textiles and decorative accessories as homes evolve into multifunctional spaces for work, leisure and personal expression.

Demand for eco-friendly materials, including FSC-certified wood, recycled metals and organic textiles, continues to rise, while biophilic design and customised decor solutions are gaining popularity as consumers seek healthier and more functional living environments. Smart home products such as intelligent lighting, connected furniture and automated window treatments are further enhancing convenience, energy efficiency and user experience.

Digital commerce continues to reshape the industry through Al-powered recommendations, augmented reality visualisation tools and social commerce, making premium decor products more accessible across emerging markets. China and India are expected to remain among the fastest-growing markets, registering CAGRs of 8.4% and 8.1%, respectively.

Rising urbanisation, home office adoption and demand for modular, space-saving furniture continue to support long-term growth.

Sustainability remains a key industry focus. According to the U.S. EPA, furniture and furnishings generated nearly 12 million tonnes of municipal solid waste in 2025, accelerating the adoption of recycling, circular economy practices and longer product lifecycles. Supporting this momentum, U.S. furniture and related product exports reached USD 384 million in January 2026, while continued growth in global furniture imports highlights the resilience of international supply chains.

(Source: Research Nester, IMARC, Future Market Insights, Data Intelo)

Indian home decor market overview

Indias home decor industry is emerging as one of the fastest-growing segments of the consumer market, supported by rising disposable incomes, rapid urbanisation, evolving lifestyles and increasing demand for premium, personalised living spaces. The highly fragmented industry caters to diverse consumer preferences, ranging from traditional handicrafts to contemporary and smart home decor, creating opportunities for artisans, manufacturers, organised retailers and digital platforms alike.

The Indian home decor market was valued at Rs.2,26,415 crore (USD 25.50 billion) in 2024 and is expected to reach Rs.3,62,263 crore (USD 40.80 billion) by 2033, registering a CAGR of 5.40% during 2025-2033. As of 2025, India accounted for 3.02% of the global home decor market.

India has also strengthened its position as the worlds second-largest exporter of home decor products by volume, with approximately 20,940 shipments exported by July 14, 2025. The countrys strong handicraft heritage, regional specialisations, including Rajasthans blue pottery and textiles, Bihars Madhubani paintings and Keralas woodcraft, and its ability to blend traditional craftsmanship with contemporary designs continue to support global demand.

Consumer demand is shifting towards personalised, premium and sustainable home decor, driving the adoption of modular furniture, customised furnishings, artisanal products and AI- and IoT-enabled smart home solutions.

At the same time, digital commerce, augmented reality shopping tools and omnichannel retail are transforming the buying experience, while stronger supply chains and logistics are improving product availability, quality and delivery efficiency across the market.

(Source: Deep Market Insights, IBEF, IMARC)

Government initiatives

The Government of India has introduced several initiatives to strengthen the tourism, hospitality and wedding ecosystem while promoting skill development, employment generation and sustainable industry growth. Some of the key initiatives are:

Skill India Mission (SIM): The Government of Indias Skill India Mission, implemented by the Ministry of Skill Development and Entrepreneurship (MSDE), delivers industry-oriented skill development through programmes such as the Pradhan Mantri Kaushal Vikas Yojana (PMKVY), Jan Shikshan Sansthan (JSS), National Apprenticeship Promotion Scheme (NAPS) and the Craftsman Training Scheme (CTS). According to the Tourism and Hospitality Skill Council (THSC) Skill Gap Study 2024, the hospitality sector is expected to require nearly 3 million additional skilled professionals by 2028. To address this demand, THSC has developed over 25 Qualification Packs and short-term training programmes for wedding tourism and MICE-related roles, helping build an industry-ready workforce through structured training, apprenticeships and Recognition of Prior Learning (RPL).

Bharat Tex 2025: Enabled artisans from across India to showcase traditional crafts across home decor, fashion, textiles, gifts and furniture, strengthening domestic and international market access, promoting cultural preservation, encouraging youth and women participation, and enhancing the global competitiveness of Indian handicrafts.

(Source: PIB)

Growth drivers

For artificial flower

Commercial adoption: Artificial plants and flowers are witnessing growing adoption across commercial spaces, including offices, hotels, restaurants and retail establishments, owing to their durability, year-round aesthetic appeal and minimal maintenance requirements. Their ability to enhance interiors without recurring upkeep costs has made them a preferred decor solution across the hospitality and corporate sectors.

Changing consumer preferences:

Demand is shifting towards convenient, long-lasting and aesthetically appealing decor solutions, particularly among millennials seeking hassle-free home decor. Advances in manufacturing have enabled highly realistic replicas of rare and exotic plant species, while allergen- free artificial botanicals provide an attractive alternative for consumers with plant allergies. The expanding home decor market and rising investments in interior aesthetics continue to support this trend.

Urbanisation and retail expansion:

Rapid urbanisation is increasing demand for compact, low-maintenance decor products, with 68% of the global population projected to live in urban areas by 2050. At the same time, the expansion of e-commerce and omnichannel retail has improved product accessibility, with online home decor sales expected to grow by over 20% in the coming years, enabling wider consumer adoption.

Technological innovation: Continuous advancements in manufacturing, including the use of advanced polymers, UV- resistant materials and realistic finishing techniques, have significantly improved the durability, texture and visual appeal of artificial plants and flowers, broadening their application across residential and commercial environments.

Sustainability and event industry demand: Sustainability is emerging as a key market trend, with demand for eco- friendly artificial plants manufactured from recyclable polyester and latex increasing by 18%. The growing global events industry is also creating significant opportunities, with 50% of event planners incorporating artificial flowers, decorative greenery and artificial trees into weddings and event decor, reinforcing their expanding role in hospitality and celebration-related applications.

(Source: Market Research and Future, Research and Markets, Persistence Market Research)

For home decor Premium housing demand: Rising demand for premium housing is driving investments in larger, well-designed living spaces featuring smart layouts, superior finishes, better lighting, spacious balconies and lifestyle amenities, making interior design a key differentiator in property selection.

E-commerce and digital discovery:

The rapid growth of e-commerce has transformed home decor purchasing by offering wider product choices, price comparison and customised solutions. Demand is rising for modular furniture, decorative lighting, wall decor, furnishings, smart home accessories and sustainable decor products.

Personalised luxury interiors:

Luxury home decor is shifting towards understated elegance, with growing preference for warm minimalism, natural materials, handcrafted furnishings, muted colour palettes and timeless designs that emphasise comfort, craftsmanship and personal expression.

Smart home integration: Smart home technologies, including app-controlled lighting, automated curtains, smart locks, climate control and connected security systems, are becoming integral to modern interior planning, enhancing convenience, energy efficiency and user experience.

Sustainability-led design: Growing environmental awareness is driving demand for eco-friendly decor solutions, including low-VOC paints, reclaimed wood, organic fabrics, energy-efficient lighting and durable furniture, alongside homes designed with better ventilation, green spaces and sustainable building practices.

(Source: Realty Assistant)

Risk management

Raw material price volatility

Dependence on synthetic fabrics and plastic-based raw materials sourced primarily from China and Southeast Asia exposes the Company to fluctuations in crude oil prices, changes in import duties and global supply chain disruptions.

Mitigation: The Company maintains buffer inventories of critical raw materials, enters into fixed-price procurement contracts wherever feasible, and continues to evaluate alternative sourcing and localisation strategies to mitigate supply and pricing risks.

Supply chain disruptions

Global shipping delays, container shortages and geopolitical uncertainties may increase procurement lead times and transportation costs, particularly for imported raw materials.

Mitigation: The Company has broadened its supplier network, strengthened regional warehousing capabilities, and implemented real-time logistics monitoring to enhance supply chain resilience and minimise delivery disruptions.

Product quality risk

Variations in quality across production batches, particularly from overseas suppliers, may result in higher rejection rates and adversely impact customer satisfaction.

Mitigation: The Company follows stringent quality control procedures across the sampling, in-process, and pre- shipment stages, supported by regular supplier evaluations, quality audits and third-party inspections, wherever required

SWOT analysis of our company

Strengths

Integrated manufacturing facilities, enabling greater control over quality and production.

Broad and diversified product portfolio catering to multiple customer requirements.

Strong and long-standing customer relationships built on trust and reliability.

Well-established distribution network supporting extensive market reach.

%

Weaknesses

Business growth remains closely linked to the wedding industry, limiting diversification.

Scaling operations across India requires additional capital investment.

Market presence is concentrated in select product segments.

Limited pan-India direct-to-customer presence.

Competitors can introduce comparable products with relative ease.

Opportunities

Rising consumer acceptance of decorative products 4 and home furnishings.

Increasing demand from weddings, events, offices and residential decor applications.

Rapid expansion of e-commerce and online retail provides access to a wider customer base.

Growing demand from emerging domestic and regional markets offers significant expansion potential.

Threats

Changes in government regulations and policies may affect business operations.

Volatility in raw material prices can impact production costs and margins.

Rising labour costs may increase operating expenses.

Changing consumer preferences and decor trends may influence product demand.

Higher input costs may necessitate price revisions, affecting competitiveness.

Intensifying competition due to frequent entry of new market participants.

Company overview

Incorporated on July 30, 2012, Interiors & More Limited is a leading Indian manufacturer and trader of premium artificial flowers, plants and decorative materials. In 2023, the Company was converted into a public limited entity, strengthening its market position and creating a platform for future growth. Over the years, it has built a diversified customer base comprising individual consumers, retailers and large-scale event planners, with a strong presence in the wedding decor segment. Supported by a robust distribution network, a customer- centric approach, and dedicated sales and marketing teams, the Company delivers customised decor solutions efficiently across India, strengthening its brand presence and expanding its market reach.

Financial capital analysis

Balance Sheet

Borrowings increased to Rs.5,635 lakh in FY 2025-26 from Rs.3041.10 lakh in FY 2024-25, due to Capex and working capital requirements.

Total non-current assets rose to Rs.6,064 lakh in FY 2025-26, compared to Rs.3068.53 lakh in FY 2024-25.

Profit and loss statement

Revenue increased by 41.95% to Rs.8,360 lakh in FY 2025-26 from Rs.5,889.19 lakh in FY 2024-25.

EBITDA grew by 20.93% to Rs.2,123 lakh in FY 2025-26, compared to Rs.1755.73 lakh in FY 2024-25.

Profit after tax increased by 13.12% to Rs.1,354 lakh in FY 2025-26 from Rs.1196.96 lakh in FY 2024-25.

Total expenses stood at Rs.6,648 lakh in FY 2025-26, compared to Rs.4330.68 lakh in FY 2024-25.

Depreciation and amortisation increased to Rs.181 lakh in FY 2025-26 from Rs.110.01 lakh in FY 2024-25.

Key performance indicators of our company

(Rs. in lakh)

Key financial performance	FY 2022-23	FY 2023-24	FY 2024-25	FY 2025-26
Revenue from operations	2,485.66	3,242.24	5,889.19	8,360.00
EBITDA	946.47	1,209.07	1,755.73	2,123.00
EBITDA Margin (%)	38.08	37.30	29.80	25.40
Profit after tax (PAT)	592.84	704.65	1,196.96	1,354.00
Interest coverage ratio	6.56	8.20	19.15	8.82
Current ratio	1.38	4.73	3.20	2.10
Debt-equity ratio	1.45	0.02	0.45	0.70
PAT Margin (%)	23.85	21.70	20.33	16.19
Net worth	995.21	5,521.28	6,718.24	8,002.00
Return on Equity (RoE) (%)	60.73	12.76	17.82	16.92
Net profit margin (%)	24.32	21.73	20.32	16.20
Operating profit margin (%)	35.53	35.92	27.94	24.26
Inventory turnover ratio	0.63	0.37	0.58	0.69
Return on Net Worth (RoNW) (%)	60.73	12.76	17.82	16.92
Debtors turnover ratio	3.51	3.09	3.68	4.45
Return on Capital Employed (RoCE) (%)	83.24	20.96	20.14	18.73

Notes

Revenue from operations represents revenue from operations as reported in the Restated Financial Statements.

EBITDA is calculated as profit before tax, plus depreciation and interest expense, less other income.

EBITDA margin is computed by dividing EBITDA by revenue from operations.

PAT margin represents profit after tax as a percentage of revenue from operations.

Interest coverage ratio is calculated by dividing Earnings Before Interest and Taxes (EBIT) by interest expense.

Operating profit margin is calculated by dividing operating profit by revenue and multiplying the result by 100.

Inventory turnover ratio measures inventory efficiency and is calculated by dividing the cost of goods sold (COGS) by average inventory.

Return on Net Worth (RoNW) is calculated by dividing net profit by shareholders equity and multiplying the result by 100.

Debtors turnover ratio is calculated by dividing revenue by average trade receivables and reflects the efficiency of receivables collection.

Current ratio is calculated by dividing current assets by current liabilities and indicates the Companys ability to meet its short-term obligations.

Debt-equity ratio is calculated by dividing total debt by shareholders equity and reflects the proportion of debt used to finance the business.

Net profit margin is calculated by dividing net profit by revenue and multiplying the result by 100.

Net worth comprises the aggregate value of paid-up share capital and reserves & surplus, net of deferred tax assets.

Return on Equity (RoE) is calculated by dividing profit after tax by shareholders equity. As the average shareholders equity for the stub period is not comparable with the previous year, the ratio has been computed on a standalone basis.

Return on Capital Employed (RoCE) is calculated by dividing EBIT by capital employed, where capital employed comprises shareholders equity and long-term borrowings.

Human resources

Our human capital remains at the core of our growth strategy and operational excellence. At Interiors & More Limited, we are committed to attracting, developing and retaining talented professionals who bring deep industry expertise and play a vital role in delivering sustained business performance. As of March 31, 2026, the Company employed 151 permanent employees.

Our corporate headquarters in Fort, Mumbai, serves as the central hub for administration, reporting and factory support functions, enabling efficient coordination across the organisation.

We foster a collaborative, inclusive and performance-driven work environment, underpinned by strong employee engagement and mutual respect. During the year, the Company witnessed

no significant labour disputes, work stoppages, strikes or other disruptions. Guided by integrity, professionalism and a shared commitment to excellence, our employees continue to support seamless operations and contribute meaningfully to the achievement of the Companys strategic and operational objectives.

Internal control systems and their adequacy

The Company has established an internal financial control framework that is commensurate with the size and nature of its business operations and supports the integrity of its financial reporting. Internal audits are conducted across various locations by an independent team of chartered accountants, with their observations and recommendations presented to the Audit Committee

for review and guidance. The Audit Committee also engages regularly with the Companys statutory auditors to review the financial statements, evaluate the effectiveness of financial reporting systems and internal controls, and ensure compliance with established accounting policies, standards and procedures.

Cautionary statement

The management discussion and analysis report containing your companys objectives, projections, estimates, and expectations may constitute certain statements, which are forward-looking within the meaning of applicable laws and regulations. The statements in this management discussion and analysis report could differ materially from those expressed or implied.