Kuberan Global Edu Solutions Ltd Management Discussions

INDUSTRY STRUCTURE

The Company has traditionally been engaged in the business of providing education, training and skill development services across various disciplines, including finance, marketing, information technology, engineering, human resources and other allied fields such as Accounting and Professional Courses like Chartered Accountant (CA), Certified Management Accountant (CMA), Company Secretary (CS).

Initially, the online platform providers served as enablers by connecting prospective students and content providers. In recent times, the platform providers have increasingly played the role of content providers and curators. The growing emphasis on employability, vocational training, digital learning, and capacity building has created new opportunities for educational institutions and training service providers across the country which generally consist of a mix of dedicated online only and offline players with an online presence.

OUTLOOK

During the year under review, the management undertook a strategic review of the Companys existing business activities and operations.

As part of this exercise, the Company has paused the operations of its legacy business, including the publishing and sale of educational books, with a view to evaluating the most appropriate way forward for the business.

The management is presently evaluating various strategic alternatives in relation to the Companys existing business and assets, which may, inter alia, include restructuring, divestment or other suitable strategic arrangements in respect of the publishing and sale of educational books segment. At present, no definitive decision or transaction in this regard has been concluded, and any such course of action will be undertaken only after due evaluation and in accordance with applicable laws and regulatory requirements.

STRATEGIC DIRECTION AND BUSINESS REPOSITIONING

The Company is at a stage of strategic transition, with management reassessing the business model in light of the changing operating environment and the evolving requirements of the education and publishing sector. The focus is to ensure that the Companys future direction is supported by a business model that is commercially viable, scalable and capable of delivering sustainable value over the longterm.

The current phase is centred on creating greater clarity around the Companys strategic priorities and determining how its available resources and assets can be deployed most effectively. Management is therefore adopting a disciplined approach to reviewing the existing portfolio, assessing opportunities and identifying areas that may offer stronger long-term potential.

The repositioning exercise is expected to provide a framework for the Company to move towards a more focused and sustainable business structure. In evaluating the way forward, management will consider factors such as market opportunity, operating feasibility, resource requirements, capital efficiency and the potential for long-term value creation and hold discussions with industry experts and advisors.

The Company intends to remain responsive to emerging opportunities while maintaining appropriate financial and operational discipline. Any future business initiatives or changes in strategic direction will be undertaken following detailed evaluation and, where applicable, the receipt of necessary approvals and in compliance with the prevailing regulatory framework.

FINANCIAL AND OPERATIONAL PREPAREDNESS

The Company enters this phase with a stable balance sheet, minimal debt, and adequate liquidity. No significant capital commitments exist under the current structure, which allows for flexibility in evaluating new ventures and deploying capital strategically once the direction is finalized.

Operationally, the Company is rationalizing its cost base and retaining only those capabilities essential for compliance, planning, and execution readiness. Internal processes are being updated to ensure smooth on boarding of new business activity when the time comes.

OPPORTUNITIES

In view of the structural decline in the educational publishing segment, the Company is actively exploring new industry verticals that a re future-ready, scalable, and aligned with emerging consumer and enterprise demands.

The Company sees significant opportunity in the following areas:

• Digital Services and Platforms: With increasing digitization across sectors, the Company is evaluating opportunities in technology-driven businesses including SaaS, edtech, digital content creation, and online learning ecosystems.

• Consumer and Subscription-based Models: There is growing interest in recurring-revenue models such as digital subscriptions, educational assessments, and curated content platforms.

• Partnerships and Acquisitions: The Company is open to collaborating with startups, domain experts, and strategic investors to co-develop or acquire viable ventures.

• Diversification: Feasibility assessments are underway to potentially pivot the business into sectors such as skill development, corporate training, and knowledge process outsourcing (KPO).

• Legacy Business Wind-down: The gradual exit from the educational publishing division may temporarily impact revenue and operational scale during the transition period.

• Regulatory and Compliance Risks: Entering new industries may require adherence to new regulatory frameworks, licensing norms, and compliance standards.

• Competitive Landscape: Sectors under consideration, particularly digital services and consumer platforms, are highly competitive and require agility, technological competence, and brand trust to scale effectively.

• Execution Risks: Identifying the right opportunity and successfully executing a pivot requires clear strategic vision, sustained capital investment, and cultural transformation within the organization.

• Evolving Consumer preferences: Constantly shifting consumer tastes make it difficult to predict commercial success.

The management is fully committed to navigating these challenges responsibly and is taking a calibrated approach to ensure that any transition undertaken is both sustainable and value-accretive in the long run.

During the year under review, the Company was engaged in the business of providing education, training and skill development services across various disciplines, including finance, marketing, information technology, engineering, human resources and other allied fields under single segment. The financial details are given in notes to accounts forming part of the Annual Report.

The Management is committed to high standards of governance, transparency, and accountability. All decisions relating to diversification, business entry, or restructuring will be guided by careful diligence, Board oversight, and adherence to applicable laws and listing requirements.

The management will continue to engage with stakeholders at each step and ensure timely updates as the Company moves through this transition period.

The Company has continued to give special attention to Human Resources/industrial Relations development. Industrial relations remained cordial throughout the year and there was no incidence of strike, lock-out etc. Functional training and employee engagement were given adequate weight age during the year to enhance employee productivity and morale.

The Company values and understands the need for continuous growth and development of its people to have greater productivity and provide job satisfaction and also equip them to meet growing organizational challenges. Your Company has genuine concern and top priority for the safety and welfare of its employees.

Adequate internal control systems commensurate with the nature of the Companys business, size and complexity of its operations are in place and have been operating satisfactorily. Internal control systems comprising of policies and procedures are designed to ensure reliability of financial reporting, timely feedback on achievement of operational and strategic goals, compliance with policies, procedure, applicable laws and regulations. Internal control systems are designed to ensure that all assets and resources are acquired economically, used efficiently and adequately protected.

The Company has assigned an Audit committee. Regular internal checks are carried out to ensure that the responsibilities are discharged effectively. All major findings and suggestions arising out of the audit committee are reported and reviewed by the Audit Committee. The Management ensures implementation of these suggestions and reviews them periodically.

Research and Development (R&D) plays a pivotal role in innovation and invention of new courses. New courses development is always a priority for the Company as the needs of students/consumers are constantly changing globally. Apart from new Courses development, its paramount for Education company to develop and upgrade existing Courses. Investment in research and development (R&D) is never wasted as the right kind of product and breakthrough can help the company tc have an edge over competitors. Your Company emboldens R&D to cater to the needs of our student customers.

The Company is constantly engaged in upgrading our processes by adapting the best available technology, which is environmentally sustainable and safe to operate. The primary focus of the Company has been clean environment solutions. Our aim is to have processes that have ‘zero impact on employees and the environment. We follow efficient processes by using minimum energy and systems.

FINANCIAL PERFORMANCE WITH RESPECT TO OPERATION PERFORMANCE

The Company has all the plans for tight budgetary control on key operational performance indication with judicious deployment of funds without resorting to any kind of borrowing wherever possible.

LOOKING AHEAD

This is a foundational phase. While the immediate focus is on winding down legacy operations, the broader objective is to transform the Company into a future-ready enterprise with a clear, sustainable, and growth-oriented business model.

The new management sees this not as a pause, but as an opportunity to reposition the Company from the ground up. With a clean slate, strategic patience, and commitment to value creation, the Company is well-placed to pursue a new beginning in the coming year.

CAUTIONARY STATEMENT

Statement in this report on Management Discussion and Analysis may be forward looking statement within the meaning of applicable security laws or regulations. These statements are based on certain assumptions and expectations of future events. Actual results could, however, differ materially from those expressed or implied. Important factors that could make a difference to the companys operations include global and domestic demand supply conditions, finished goods prices, raw material cost and availability and changes in government regulations and tax structure, economic development within India and the countries with which the company has business contacts and other factors such as litigation and industrial relations. The Company assumes no responsibility in respect of forward-looking statements, which may be amended or modified in future on the basis of subsequent developments, information or events.