Jyoti Ltd Management Discussions

Industry Structure and Developments

Jyoti Limited is a leading engineering ISO-9001:2008 certi ed Company, serving the core sectors of Power and Water. It offers a wide range of reliable quality hydraulic and electrical products and services. From providing customized solutions to handle liquids, Jyoti, over the years has emerged as a Total Solution Provider by designing and manufacturing wide range of pumps and EPC Pumping Systems by undertaking turn-key projects from concept to commissioning.

The Company has taken several bold steps to remain competitive and to ensure survival by reducing cost and

streamlining the overall operations process.

Opportunities and Threats

As India is slowly but steadily moving towards development under the present Government, Power and Water sectors are prime movers for its economic and social development and growth. Considering the 80 year-old presence of the Company in the Power, Hydel and Lift Irrigation sectors, which are of National Importance, a huge business potential is anticipated. Since these sectors are the backbone of a developing nation, stable growth of the Company is expected.

The Company continues to be very selective in taking orders as the price realisation still remains very low. The challenge to manage the orders within the budgeted costs continues and high volatility in the prices of major raw materials is a matter of concern.

Barring unforeseen circumstances, the Company expects to increase its volume of business in the current year. The Company continues to strive to make all efforts to grasp the upcoming opportunities that the challenges are throwing up, with the rm belief that the trying circumstances bring out the best in us.

Outlook

Water and Power sectors are of National Importance, and for a developing country like India, the demand for energy and water is expected to grow at a steady rate. Due to continued electri cation of the global economy, a large portion of that demand growth will come from the power industry. Keeping in view the above, the long term outlook for these sectors appears to be bright. There is ample scope and opportunity for companies having businesses in these sectors not to mention the potential of your Company and its large presence in these sectors for many years.

Risk and Concerns

It must be clearly understood that each industry in particular and each industry segment in general has its own risk, from which it cannot be fully isolated but mitigated by means of proper risk management. Your Company foresees certain areas of risk, concerns and threats in its arena of operations.

The present challenge for the Company is to successfully execute low price orders, within the budgeted cost and to avoid signi cant time and expense overruns ensuring that timely project completion is possible. The availability and cost of the funds remain very important factors impacting on the plans of the Company and threatening the viability itself. Project execution is largely affected by non-availability of skilled and unskilled manpower. Competency-management and retention of employees is becoming increasingly critical. EPC Projects are generally exposed to risk of delay in execution due to factors like right of way, obtaining of various approvals in time, environmental factors and resistance from locals, etc.

Segment-wise Performance

This is not applicable to the Company as there is only one identi ed reportable segment.

Internal Control Systems

The Company maintains adequate and effective internal control systems commensurate with the size and complexity. It also ensures that they are recorded in all material respects to permit preparation of nancial statements in conformity with established accounting principles, along with the assets of the Company being adequately safeguarded against signi cant misuse or loss. In the opinion of the Management, the Company has adequate internal audit and control systems to ensure that all transactions are authorized, recorded and reported correctly. The internal control systems of the Company are monitored and evaluated by internal auditors and their audit reports are periodically reviewed by the management and Audit Committee. The observations and comments of the Audit Committee are placed before the Board.

Financial Performance and Operational Ef ciency

The Companys revenue from operations was 244.92 crores in the Financial Year 2024-25 as compared to 175.35 crores for the previous year. Company is continuing various corrective measures to reduce the material cost and other overheads. The Companys EBITDA was 17.17 crores in the Financial Year 2024-25 as compared to 11.83 crores during the previous year. The Net Pro t for the year was at 13.52 crores as compared to 8.31 crores for the previous year.

Details of Signi cant Changes in the Key Financial Ratios & Return on Net Worth

Pursuant to amendment made in Schedule V to the Listing Regulations, details of signi cant changes ( i.e. changes of 25% or more as compared to the immediately previous nancial year) in Key Financial Ratios and any changes in Return on Net Worth of the Company (on standalone basis ) including explanations therefore are given below:

Sr. Particulars	FY ended	FY ended	Explanations
No.	31st March, 2025	31st March, 2024
i Debtors Turnover Ratio	1.37	1.11	-
ii Inventory Turnover Ratio	11.23	12.61	-
iii Current Ratio	0.76	0.91	-
iv Debt Equity Ratio	-4.24	-3.69	-
v Operating Pro t Margin (%)	7.01%	6.74%	-
vi Net Pro t Margin (%)	5.52%	4.74%	-
vii Return on Net Worth (%)	-25.98%	-12.80%	There is overall improvement in
			operations.

Human Resource

At Jyoti Ltd., we truly believe people build the business. Our employees are not just resources - they are our key assets,

the driving force behind every achievement. We aim to create a workplace where talent can thrive, innovate, and grow.

As an equal opportunity employer, we stand for fairness and inclusivity. Our HR practices focus on attracting, developing, and retaining talent through a transparent, growth-driven culture, we encourage open dialogue, ownership, and empowerment at every level right down to our frontline staff.

We invest in careers across all stages:

Early stages building role readiness with skills and functional knowledge

Mid-levels enhancing managerial capabilities

Senior levels nurturing strong, future-ready leaders

Internal job postings allow employees to explore and expand their skills, developing themselves into well-rounded professionals while moving their careers forward. Employee well-being remains at the heart of our HR philosophy, shaping a positive and supportive environment.

As of 31st March 2025, Jyoti Ltd. Proudly counted 208 dedicated employees who help transform challenges into

opportunities every single day.

Cautionary Statement

The statements in the Boards Report and the Management Discussion and Analysis describing the Companys objectives, explanations and predictions, may be forward looking within the meaning of applicable securities laws and regulations. Actual results may differ materially from those expressed in the statements. Important factors that could in uence the Companys operations include global and domestic demand and supply conditions affecting selling prices, new capacity additions, availability of critical materials and their cost, changes in government policies and tax laws, economic development of the country, and other factors which are material to the business operations of the Company.

Annexure D to the Boards Report