Jeet Machine Tools Ltd Management Discussions

The following Management Discussion and Analysis Report has been prepared in
accordance with the Regulations of SEBI (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 forward-
looking statements, whether as a result of new information, future events, or
otherwise.

Business Overview:

Jeet Machine Tools Limited was established in 1984 and is engaged in the activities
pertaining to dealing in Work Shop Machinery for Tool Room.

Economic Outlook:

Industry is moving forward into high-end manufacturing sectors like railways, defence
and aerospace. Automotive will become bigger, while medical electronics is also
expected to grow. All these would require machine tools playing an important role in
productivity. There is also the need to deal with larger-sized components and higher
accuracy.

Business Outlook:

The Company has incurred a Loss of Rs. 52.30 Lakh in the financial year 2024-25. This
is on account of the increase in expenses i.e. company has paid various fines to
Exchange to revoke delisting of its shares. The Company has commenced the business
activity during the year. And is focusing on its core business activities.

Internal control system and their adequacy:

Your Company maintains an adequate and effective Internal Control System
commensurate with its size, nature of business and complexity. 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. The Audit
Committee also meets the Companys Statutory Auditors to ascertain their views on
the financial statements, financial reporting system, internal control system and
compliance to accounting policies and procedures.

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. The Companys success hinges on
effectively navigating significant risk areas, including input cost pressures, rising
wages, skilled manpower shortages, potential contract execution delays, and the
cascading impact on cash flows

Key business risks and their mitigation are considered in the annual / strategic
business plans and in periodic management reviews.

Material developments in Human Resources / Industrial Relations front,
including number of people employed:

The Company places a strong emphasis on training and skill development initiatives to
enhance employee capabilities and consistently engage its workforce. The Company
regards its human resources as its most valuable asset and acknowledges their pivotal
role in the Companys growth journey. The Company advocates for equal opportunities
and encourages competitiveness to unlock the full potential of its workforce. The HR
department responds to varied human resources needs of the Companys business to
enable the human strategic advantage.

Discussion on financial performance with respect to operational performance:

- Total net sales for the year were Rs. 8.50 Lakhs as compared to Rs. 3.65 Lakhs
in 2023-24.

- Total Loss incurred for the year was Rs. 52.30 Lakhs as compared to Profit Rs.
31.85 Lakhs in 2023-24.

Opportunities and Threats:

Growing Domestic Market: Indias large and expanding domestic market provides
ample opportunities. Also, due to changing demographics and economic conditions in
India, coupled with rigorous competition, the machinery business is set to grow in the
years to come. Global trade tensions and a sluggish global economic outlook pose
potential headwinds for Indias growth. 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.

Key Financial Ratios:

In accordance with the SEBI (Listing Obligations and Disclosure Requirements)
(Amendment) Regulations 2018, the Company is required to give details of significant
changes (changes of 25% or more as compared to the immediately previous financial
year) in key sector-specific financial ratios.

The Company has identified the following ratios as key financial ratios:

Sr Ratio No.	Numerator	Denominator	FY 2024- 25	FY 2023- 24	Reason for Variance
1. Current Ratio	Current Assets	Current Liabilities	0.57	0.87
2. Debt Equity Ratio	Total Liabilities	Shareholders Equity	NA	NA	NA
3. Debt Service Coverage Ratio	Net Operating Income	Debt Service	NA	NA	NA
4. Return on Equity Ratio	Profit for the period	Avg. Shareholders Equity	(0.21)	(0.12)
5. Inventory Turnover Ratio	Cost of Goods sold	Average Inventory	NA	NA	NA
6. Trade Receivables Turnover Ratio	Net Credit Sales	Average Trade Receivables	NA	NA	NA
7. Trade Payables Turnover Ratio	Total Purchases	Average Trade Payables	NA	NA	NA
8. Net Capital Turnover Ratio	Net Sales	Average Working Capital	(0.10)	(0.16)
9. Net Profit Ratio	Net Profit	Net Sales	-507%	-691%	-
10. Return on Capital employed	Profit before	Capital Employed	-22%	-11%
	Interest and Taxes
11. Return on Investment	Net Profit after Tax	Total Equity	NA	NA

For JEET MACHINE TOOLS LIMITED

KAWALJIT SINGH CHAWLA

MANAGING DIRECTOR

DIN: 00222203

 

Place: Mumbai

Date: 13th August, 2025.