Lucent Industries Ltd Management Discussions

Management Discussion & Analysis Report

1. Global Economic Review (2024-2025)

The global economy in 2024-2025 has demonstrated a fragile yet persistent recovery from the shocks of the pandemic, supply chain disruptions, geopolitical tensions, and inflationary pressures. While the pace of growth has moderated compared to pre-pandemic levels, structural reforms, technological advancements, especially in AI and digital infrastructure, and resilience in consumer demand are underpinning economic stability in several regions.

Advanced economies, although experiencing slower growth due to tighter monetary policies and inflation control measures, are showing signs of stabilization. The United States remains resilient, driven by strong domestic consumption and a dynamic labor market. The Euro Area, however, faces slower momentum due to high energy prices and a weak manufacturing sector.

Emerging Markets and Developing Economies (EMDEs) have become key drivers of growth, particularly in Asia and Sub-Saharan Africa. Countries like India, Indonesia, and Vietnam are benefiting from increased foreign direct investment, demographic advantages, and rising digital adoption.

Global trade has witnessed a mixed trend. While protectionist policies and realignment of supply chains continue, services exports, especially technology services, have grown significantly. Inflation is gradually declining across regions due to monetary tightening and easing commodity prices, although food inflation remains a concern in low-income economies.

2. Global GDP Growth - Distribution by Economy Type

The IMFs World Economic Outlook indicates global GDP growth of 3.2% in 2024, with a modest rise to 3.3% in 2025 and 2026. However, as of April 2025, the forecast for 2025 was revised down sharply to 2.8%, a drop of 0.5 percentage points due to new US tariffs and policy uncertainty. Forecast revisions highlight global vulnerability: about two-thirds of developing economies are negatively affected by trade disruptions. Advanced economies are expected to grow at a subdued rate of

1.4% in 2025, with the U.S. projected to grow at 1.8%, Europe at 0.8%, and Japan at 0.8%. Chinas growth is expected to ease from 5.2% in 2024 to 4.6% and then to 4.1% in 2025, impacted by weaker investment and a cooling property sector. India remains robust, leading major economies with a growth rate of 6.8% in 2024, dipping slightly to 6.5% in 2025.

Across EMDEs, average growth is expected to stand at 4.2% in 2024 and 2025, although it has been downgraded to 3.7% for 2025 due to tighter financing and global uncertainty. Low-income countries are projected to grow from 4.0% in 2023 to 5.2% in 2025. Regional variation is wide: emerging and developing Asia leads at ~5%, Latin America around 2.5%, the Middle East and Central Asia near 4.2%, and Sub-Saharan Africa at 4.0% The global slowdown is expected to weigh on trade volumes and investor sentiment; trade growth forecasts have been slashed to 1.7% for 2025. Inflation, while trending downward, is projected at 4.3% in 2025, signaling lingering pressures. (Source- IMF World Economic Outlook, April 2025)

3. Emerging Market & Developing Economies

Emerging Markets and Developing Economies (EMDEs) have remained the primary driver of global growth, averaging 4.2% in 2024 and expected to maintain similar levels into 2025. In April 2025, the IMF reduced its 2025 EMDE forecast to 3.7%, reflecting tightening global credit markets and increasing debt servicing costs.

Low-income countries are projected to rebound, with growth rising from 4.7% in 2024 to 5.2% in 2025. Regional performance varies: Asia (excluding China) leads at 5.2% in 2024, easing to 4.9% in 2025. Emerging and developing Europe slows from 3.2% to 2.8%. Latin America & the Caribbean are expected to move from 2.0% in 2024 to 2.5% in 2025. The Middle East & Central Asia are expected to accelerate from 2.8% to 4.2%. Sub-Saharan Africas growth rate increases from 3.8% to 4.0%.

Country snapshots:

• India: growth remains robust at 6.8% in 2024, softening modestly to 6.5% in 2025.

• China: slowing to 4.6% in 2024 and 4.1% in 2025.

• Russia: expected to be near 2.6% down to 1.1% in 2025.

• Brazil and Mexico: growth around 1.7% to 2.4%, constrained by fiscal settings.

Specific country developments:

• Kenya delivered 4.9% growth in Q1 2025, with full- year forecasts at 5.3%.

• Nigeria shows 3.4% projected growth for 2025 but is urged to adjust policies due to weak oil prices.

• Saudi Arabia: growth at 1.3% in 2024, rising to 3.5% in 2025.

• Indonesia: steady at 5.0% in 2024, easing to 4.7% in 2025.

• Vietnam: strong 7.1% in 2024, moderating to 5.2% in 2025.

• Philippines: robust 5.7% in 2024, slightly softening to 5.5% in 2025.

• Malaysia: growth at 5.1% in 2024, marginally dipping to 5.0% in 2025.

• Argentina: contracting 3.4% in 2024, rebounding around 4 5.5% in 2025.

Major EMDE challenges include rising debt loads, with public debt in developing countries surging to nearly 62% of GDP in 2023, fiscal space pressures, and shrinking concessional finance. The World Bank warns that fragile and conflict-affected states may experience a decline in per-capita GDP, calling for increased aid and reform. Financial market trends show rising ESG and digital- finance engagement in EMDEs, but inflation and macro risks threaten stability. (Source- IMF WEO, April 2025, UNCTAD "A World of Debt" (2025), and UNCTAD & UN reports)

4. Indian Economic Review & Outlook

Global Leadership: With 6.5% growth in FY 2024-25, India stood out among major economies as the fastest grower. Press Information Bureau Strong Finish to FY 2024-25: The economy showed strength in Q4, with growth at 7.4%, led by a robust performance in services, construction, and consumption.

Ministry of Statistics Business Standard Momentum into FY 2025-26: India kicked off the new fiscal year strongly real GDP surged 7.8% in Q1 (April-June) FY 2025-26, up from 6.5% in the same quarter a year earlier In its June bulletin, the Reserve Bank of India (RBI) reported that high-frequency indicators such as e-way bills, GST collections, toll receipts, and digital payments point to robust activity in both industry and services, culminating in a sharp 7.4% GDP growth in Q4 FY 2024-25.

The IMF reaffirmed these robust figures following its February 2025 Article IV consultation, noting that India recorded 6% year-on-year growth in H1 of FY 2024-25 and forecasts 6.5% growth for both FY 2024-25 and FY 2025-26. The IMF emphasized that strong private consumption and macroeconomic stability underpin this resilience.

On the monetary front, the RBI has progressively eased policy: it cut the repo rate to 5.50%-6.0% in mid-2025, its first rate reduction since 2019, to support growth amid moderating inflation. Retail inflation has dipped to around 3.3% in March 2025, remaining comfortably within the RBIs target band. This policy posture is reinforced by low non-performing assets (around 2.3%) and robust capital buffers (CAR ~17.2%) in the banking system.

From a fiscal perspective, the current account balance has improved, with the first surplus in four quarters at 1.3% of GDP and a full-year deficit narrowing to approximately 0.6%, driven by strong services exports and remittances. External debt stands at 18.8% of GDP, with forex reserves providing a buffer equivalent to nearly the entire external debt.

Business sentiment remains positive. The PHDCCI highlights Indias position as the fastest-growing G7 peer, citing a 61% surge in trade activity. Similarly, RBI and Axis Bank leaders note a "Goldilocks" macroeconomic environment, characterized by moderate inflation and a neutral policy stance, and expect rate cuts to support credit growth without derailing stability.

However, headwinds persist. Global trade tensions and US tariffs could subtract ~0.3 percentage points from growth, prompting the RBI to lower its FY 2025-26 GDP forecast to 6.5%, down from its earlier estimate of 6.7%. The rupees depreciation also introduces potential inflationary pressures, given Indias reliance on oil imports.

Key growth drivers include strong government capital expenditure, recovering rural demand supported by a healthy monsoon and rising agricultural output, as well as surging private investment in infrastructure and clean energy. Structural reforms such as easing lending norms for infrastructure projects, digital public platforms (e.g., UPI, Aadhaar), and expansion in rare-earth mining are enhancing productivity and investment appeal.

Industry observers, such as S&P and Business Standard, expect resilient growth through FY 2025-26, supported by favorable demographics, strong service exports, and monetary accommodation. Nevertheless, challenges remain: global commodity shocks, weather volatility, fiscal pressures tied to energy subsidies, and structural unemployment require ongoing vigilance.

In summary, Indias macroeconomic outlook for 20242025 remains constructive, with real GDP growth projected in the 6.5%-7.0% range, inflation expected to be contained at around 3%-4%, a stabilizing banking sector, external sector resilience, and broad-based demand support. The main uncertainties involve external trade policies, currency movement, and weather- linked risks. Overall, with prudent fiscal and monetary coordination and a continued emphasis on investment and reforms, India is well-positioned to sustain its high- growth trajectory. (Source-RBI Bulletin, June 2025)

5. Economic Overview (Digital Area)

i. Global Economic Review (FY 2024-25)

The global economy in FY 2024-25 continued to exhibit a measured but resilient recovery despite the complex interplay of macroeconomic headwinds, including prolonged geopolitical instability, tightening financial conditions, and persistent inflation in key markets. Global GDP growth moderated to approximately 2.8%, reflecting the combined impact of monetary policy adjustments across major economies, weakening global trade, and subdued consumer demand in mature markets.

However, amidst this landscape of economic recalibration, the digital economy, especially the AI- powered marketing technology and cloud-based advertising segments, emerged as a counter-cyclical growth engine. As enterprises and brands recalibrated their cost structures and marketing strategies, they increasingly sought high-efficiency, data-driven platforms capable of delivering performance-based outcomes with precision. This strategic pivot has directly benefited intelligent advertising ecosystems such as those offered by Lucent Industries Limited, whose platforms leverage advanced machine learning models to optimize customer acquisition, personalization, and media spending.

The widespread proliferation of digital infrastructure, including 5G networks, cloud computing adoption, and the ongoing shift toward digital content consumption by consumers, has fundamentally altered the global marketing and media landscape. With smartphones, smart TVs, and connected screens becoming ubiquitous, the need for cross-device, hyper-personalized engagement solutions has never been greater. As a result, companies with scalable, AI-integrated advertising platforms have emerged as critical enablers of global digital commerce. (Source- IMF WEO update and news coverage)

ii. Industry Structure, Developments & Opportunities

The global advertising and consumer growth technology sector is undergoing a profound shift driven by digitization, particularly through AI-powered, cloud- based platforms. Modern marketers increasingly rely on platforms that integrate advanced consumer intelligence with machine learning to deliver hyper-personalized targeting and measure real-time performance.

One notable global player in this space ("Global Mega Trends") operates purpose-built cloud- based solutions to help brands identify high-intent users through AI-driven behavioral analysis. By aggregating and interpreting data from browsing patterns to engagement signatures, the platform enables more effective ad placements, tighter ROI attribution, and adaptive campaign optimization.

Opportunities here are vast: as mobile internet usage and data volumes surge worldwide, demand grows for scalable, privacy-compliant intelligence layers that connect consumers to brands with precision. This convergence opens avenues for partnerships across telecoms, e-commerce, fintech, and retail, particularly in markets where cloud infrastructure and regulatory frameworks are evolving rapidly. (Source- IAMAI & Kantar reports)

iii. Mobile Internet Users & Indias Digital Transformation

India now boasts ~900 million internet users, the second-largest global base, and ~950 million broadband (wireless) subscribers as of late 2024, with mobile consumption accounting for over 70% of all online activity. Average monthly mobile data usage reached an impressive ~19 GB per user in 2022 and continues to accelerate. (Source Ministry of Communications, India)

This mobile-first revolution is supported by key infrastructure and policy frameworks:

Digital India & India Stack (Aadhaar, UPI, e-governance platforms) have driven secure, interoperable digital public services and financial inclusion.

The Digital Transformation Market in India is projected to grow from ~USD 124 billion (2025) to USD 267 billion (2030), at a CAGR of ~16.5%. Cloud-edge computing, generative AI, and private 5G account for much of this expansion.

Public-private initiatives such as government digitization programs, hyperscale investments by AWS, Azure, and Google, plus domestic IT giants (HCL, NTT, TCS)-are accelerating enterprise cloud migration, AI adoption, and IoT rollout

iv. AI & Cloud in Digital Marketing, Growth & Consumer Intelligence

The adoption of AI & analytics has become a megatrend, underpinned by exponential data creation, which doubles every three years, reaching approximately 180 ZB globally by 2025. Within marketing, this brings:

• Hyper-personalized advertising: AI models analyze granular user behavior to deliver real-time, context- aware messaging e.g., offering relevant promotions based on intent signals.

• Behavioral insights: Cloud-native platforms aggregate vast data, enabling insights that drive user acquisition and retention across consumer segments-from top-tier cities to rural India.

Indian emerging e-commerce players, AI-first Adtech startups, and cloud-native analytics vendors are making strong inroads. They seamlessly combine machine learning-based targeting with scalable cloud infrastructure to serve Indias dynamic, vernacular-diverse market landscape.

v. Key Opportunities & Strategic Pillars

1. Tier M/III & vernacular growth:

• Nearly 60% of e-commerce originates from beyond metro areas.

• AI-enabled platforms tailored to regional language preferences can unlock vast new audiences.

2. SME digital acceleration:

• Cloud and AI investments among SMEs expected to grow ~21.9% CAGR to 2030.

• AI-powered Adtech lowers entry barriers and thus, small brands can now execute campaign strategies previously limited to large advertisers.

3. Privacy-ready AI architectures:

• Post-2025 data protection laws in India emphasize consent and security.

• Platforms offering privacy-engineered Tactics (e.g., federated learning, anonymization) can gain market trust and compliance.

4. Hybrid cloud + edge intelligence:

• With rising cloud-edge adoption, real-time ad adjustments and offline optimization become feasible in low-connectivity zones.

5. Unified commerce and media solutions:

• Integrating ad targeting with UPI commerce, analytics, and cross-platform measurement enhances conversion outcomes.

• The growing social + live commerce trend (estimated at $16-20 billion by FY 2025) offers new revenue channels.

vi. Industry Players & Ecosystem Outlook

• Global Mega Trends firms deploy AI-cloud stacks that automate user-intent detection and spend optimization best suited to digital-first economies like India. Their platforms scale across digital publishers, app ecosystems, and social networks.

• Indian SaaS/Adtech startups are building local stacks optimized for multilingual targeting, UPI integration, and affinity-based audience expansion, often faster to adapt than global incumbents.

• Telcos & hyperscalers (e.g., Jio, Airtel, AWS India, Google Cloud) enable edge capabilities, efficient AI targeting in 5G-enabled micro-markets.

vii. Collaborations Between These Players Can Deliver

• Localized creative platforms that tailor campaigns based on culture and context.

• AI SDKs for Indian developers that embed real-time intent detection inside apps and content portals.

• Regulatory-friendly measurement that analyzes reach and recall without compromising individual privacy.

6. Journey So Far:

• Lucent Industries Limited is a digital-first group specializing in AI-powered advertising, marketing, and consumer media platforms that drive meaningful growth for businesses worldwide. We believe technology should make digital growth simpler, which is why we have built our platforms from the ground up to help businesses reach their full potential in the digital economy. Our platforms harness the power of Deep Learning and Machine Learning to connect businesses with high- intent audiences across smartphones, smart TVs, and emerging connected screens. For agencies, we provide trusted, future-ready tools, and for businesses, we ensure that campaigns deliver clear and measurable outcomes.

• The Company was originally incorporated under the name and style of Sylph Education Solutions Limited. Pursuant to a Special Resolution passed by way of Postal Ballot dated February 18, 2022, the name of the Company was changed to Lucent Industries Limited. Accordingly, a fresh certificate of incorporation was issued by the Registrar of Companies, Gwalior, Madhya Pradesh, vide order dated March 29, 2022.

• Subsequently, the control and management of the Company were taken over by the promoters of Mobavenue through an open offer conducted in accordance with the provisions of the SEBI (SAST) Regulations, 2011. The open offer was made by the Company, subsequent to which the promoters of Mobavenue acquired a controlling interest of 67.61% in the Company.

• The Company is carrying on the business of an advertising and media agents consultants. Providing services in digital marketing, content creation, mobile advertising, and promotion across various platforms, including mobile phones and other Internet-enabled and connected devices. It offers customized computer applications, IT solutions, technical consulting, and support services related to software, data networks, and systems integration. The company also provides a wide range of advertising services, including audiovisual media, digital media, and mobile content. Additionally, it is involved in the development, upgrading, and support of technology in fields like mobile apps, games, and digital transformation, while promoting and managing various mobile- based products, services, and solutions. It operates in areas like outsourcing, mobile technology, IT-enabled services, e-commerce, and other technology-driven industries, providing consultancy, design, and execution services in these domains. The equity shares of the Company are listed on BSE Limited ("BSE" or the "Stock Exchange").

• Lucent Industries is Indias emerging performance marketing platform, driving sustainable growth for brands at every stage of the customer journey with impactful, data-driven insights to achieve global success. At Lucent Industries, we are more than just a performance marketing agency; were your growth partner. We specialize in delivering strategies that yield measurable outcomes aligned with your business goals, ensuring clear, scalable, and sustainable success. With a data-driven approach, an eye for emerging trends, and a passion for excellence, we help brands overcome challenges in todays dynamic digital world. From strategizing to execution, every move we make is centered on performance and creating lasting value.

• Your Company does not believe in a one-size-fits-all approach; instead, it is committed to building and investing in purpose-built platforms. We design personalized campaign strategies that connect businesses with their target audiences, driving engagement and maximizing outcomes. Wherever a high-intent audience may be, our extensive media network and partnerships across diverse markets ensure that the business reaches and engages with them effectively.

• Lucent is set to evolve into Indias leading platform for driving digital growth, empowering brands to thrive in a rapidly transforming economy. Guided by the new managements vision, we are building the foundation for the future of outcome-based marketing, where innovation, data intelligence, and technology converge to create unmatched opportunities for businesses.

• At Lucent, we are shaping more than campaigns; were shaping the future of digital growth. Our mission is to transform into a trusted partner for brands not just in outcome-based marketing, but as the ecosystem that enables them to achieve scale, sustainability, and global impact. By embracing next-generation tools, predictive analytics, and evolving market trends, we aim to unlock limitless possibilities for our partners.

• From redefining strategies to pioneering execution models, every initiative we take is future-focused, outcome-driven, and centered on delivering longterm value. With this transformative approach, Lucent Industries is on the path to becoming the growth platform that powers Indias digital-first future.

• Wherever the high-intent audience may be, our extensive network across diverse markets ensures that the business reaches and engages with them effectively. Our team of experts brings deep industry knowledge in digital growth and an unparalleled commitment to businesses, delivering outcomes in their advertising and marketing.

Our Core Purpose

Our purpose is to help businesses harness the power of digital to grow, compete, and succeed together. We aim to empower and support enterprises worldwide to thrive in a smarter, more connected digital ecosystem, driven by technology, data, and outcomes.

Key Strengths

Tailored Strategies

Leverage our expansive network of high-performing media partners to expand consumer reach, drive conversions, and achieve sustainable revenue growth for businesses.

Branding

Move beyond standard campaigns with personalized branding strategies and position your brand miles ahead of the competition to ensure long-term customer loyalty.

Media Buying

Optimize your ad spending and boost campaign performance with expert media buying solutions to enhance your brands visibility across multiple platforms.

Platform: OrbitX

OrbitX is an AI-powered search and contextual advertising platform built for the next generation of performance marketing teams. It helps you find, engage, and monetize high-value users across search, native, and social networks - intelligently. By predicting each customers true value and automating the right actions at the right time, OrbitX makes your campaigns smarter, more efficient, and more impactful.

Key Strengths of OrbitX

• Proprietary AI & Machine Learning engine

• Platform works across search, native & social ads

• Precision targeting & enhanced user intent mapping

Emerged Markets

We are looking to expand into emerging markets for this product, beginning with operations in the United Kingdom and the United States, followed by expansion into Europe, with the goal of driving growth within this financial year.

Strategic Impact

• Turns undervalued ad inventory into growth opportunities

• Boosts campaign ROI & brand performance

• Expands global footprint in AI-powered growth platforms.

7. Strategic Acquisition:

Mobavenue Media Private Limited

Your Company has proposed the acquisition of 100% equity shares of Mobavenue Media Private Limited ("Mobavenue"), a promoter group company, for a consideration of up to Rs.59.68 crores, subject to the approval of shareholders & other applicable authorities. This acquisition forms part of the Companys longterm strategy to streamline operations, enhance business synergies, and integrate advanced AI-powered advertising capabilities within its existing framework.

i. Mobavenue Media Private Limited

Mobavenue Media Private Limited is an AI-powered, cloud-based advertising and consumer growth platform built to help marketers connect with consumers through advanced intelligence. By identifying valuable, high- intent audiences with powerful machine learning algorithms, Mobavenue drives measurable outcomes and performance for brands.

Its purpose-built platforms turn digital advertising into personalized recommendations, boosting engagement and conversions. With seamless reach across smartphones, smart TVs, and connected screens, Mobavenue ensures brands maximize consumer connections and business growth.

ii. Market Synergy

The integration with Mobavenue marks a transformative milestone for Lucent, bringing together our established industry strengths and Mobavenues proven expertise in Adtech and digital growth. Now, as part of the Lucent family, Mobavenue accelerates our evolution into a diverse, future-ready advertising and consumer growth platform, built to empower businesses at every stage of their journey. Together, we unite capabilities in advertising, technology, monetization, and growth solutions into one ecosystem. This integration fills us with confidence as it unlocks greater value, broadens our global presence, and opens doors to new client segments across geographies.

iii. Value Creation

The integration is set to unlock significant operational efficiencies by eliminating duplicate functions and leveraging shared resources. Through better utilization of cutting-edge technology and data analytics, the combined entity will drive stronger marketing ROI, enhance liquidity, and strengthen financial stability, thereby creating long-term value for all stakeholders.

iv. Future Outlook

The acquisition will accelerate Lucents ability to bring innovative, tech-driven advertising solutions to market, while unlocking opportunities for stronger margins through improved efficiency. It will further strengthen our position in the global digital marketing and Adtech space, enabling sustained growth, resilience, and leadership in an evolving industry landscape.

Established in 2017 by tech enthusiasts and business leaders, our team has a combined professional experience of over 100+ years

Company name	Mobavenue Media Private Limited
Founded	2017
Industry	Marketing & Advertising Platforms
No. of Employees	150+

Delivering Value Through Connected Consumer Journeys

Our AI-Powered, Purpose-Built Platforms align with new journey and evolution

FINANCIAL PERFORMANCE OF THE COMPANY FOR FY 2024-2025

Revenues

The income from Operations for the Company has increased to INR 452 Lakhs in 2024-25 from INR Nil Lakhs in 2023-24.

Other Income

The Other income for the Company has increased to INR 19 Lakhs in 2024-25 from INR Nil Lakhs in 2023-24.

Operating Margin

The Operating Margin for the Company has increased to INR 112.33 Lakhs in 2024-25 from INR (12.42) Lakhs in 2023-24.

Costs & Expenses

• Employee Costs

The Employee costs for the Company have increased to INR 11.72 Lakhs in 2024-25 from INR 2.22 Lakhs in 2023-24.

• Other Expenses

Other expenses for the Company have increased to INR 80.77 Lakhs in 2024-25 from INR 10.20 Lakhs in 2023-24.

• Finance Costs

Finance costs for the Company have increased to INR 3.21 Lakhs in 2024-25 from INR Nil Lakhs in 2023-24.

• Taxes on Income and Deferred Tax Provision

The Companys Deferred Tax Asset (net) has increased from INR (10.57) Lakhs in 2024-25 from INR Nil 2023-24. The Company has made a current Tax provision of INR 45.80 Lakhs.

• Profit before Tax

Profit before tax for the Company has increased to INR 112.33 Lakhs in 2024-25 from INR (12.42) Lakhs in 2023-24.

• Net Worth

The net worth of the Company has increased from INR 1512.73 Lakhs as on March 31, 2025 to INR 1435.63 Lakhs as on March 31, 2024. The increase in the amount of net worth is on account of new business operations for the current year.

• Income Tax Expense

Income tax expense was INR 45.80 Lakhs for 2024-25 and INR Nil Lakhs for 2023-24.

• Profit for the Year

As a result of the foregoing factors, profit after tax increased from INR 77.10 Lakhs in 2024-25 to INR (12.42) Lakhs in 2023-24.

• Earnings Per Share (EPS)

Basic and Diluted EPS was INR 0.51 for 2024-25 and INR (0.08) for 2023-24.

• Borrowings

The total standalone outstanding borrowing was INR Nil as on March 31, 2025 and INR 500 Lakhs on March 31, 2024.

• Cash and Bank Balance.

Cash and Bank balance increased to INR 385.74 Lakhs as of March 2025 from INR 0.41 Lakhs as of March 2024.

• Investments

Total Investment of the Company was INR 100.82 Lakhs as of March 2025 and INR 1836.33 Lakhs as of March 2024.

• Current Assets & Liabilities

The Companys current assets primarily consist of debtors, investment in liquid fund, inventories, cash and bank balances, loans and advances and other current Assets. Total current assets as on March 31, 2025 are INR 1521.60 Lakhs as against INR 0.41 Lakhs as on March 31, 2024.

The Companys current liabilities primarily consist of short term borrowings, trade payables, short term provisions and other current liabilities. Total current liabilities as on March 31, 2025 was INR 233.06 Lakhs as against INR 1.11 Lakhs as on March 31, 2024.

INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY

The Company has well-established Internal Control Systems, commensurate with the size, scale, and nature of its operations. Stringent controls and processes are in place to monitor and control our operations across all the markets in which we operate. These controls have been designed to provide reasonable assurance regarding the maintenance of proper accounting controls, ensuring the reliability of financial reporting, monitoring operations, protecting assets from unauthorized use or loss, and compliance with applicable regulations. The Company has appointed N G Jain & Co as its Internal Auditors, an outside, independent agency, to conduct an internal audit. This audit aims to ensure the adequacy of the internal control system, compliance with applicable rules and regulations, and adherence to management policies. To maintain its independence, the Internal Auditor reports directly to the Audit Committee, which is chaired by an Independent Director of the Board.

The Internal Audit team conducts quarterly audits, which include a review of the operating effectiveness of internal controls. Based on the report of the Internal Auditor, reviewed quarterly by the Audit Committee, process owners undertake corrective action in their respective areas, thereby strengthening the controls.

HUMAN RESOURCES REVIEW

We continue to push the boundaries of our technology, products, and services, with a steadfast commitment to achieving greater milestones. We are deeply committed to fostering an environment that champions inclusive growth, encourages thought leadership, and nurtures talent. Our human resource strategy is comprehensive and carefully structured to support this goal, focusing on several key pillars:

i. Adopting Fair and Ethical Business Practices: We will ensure that our operations adhere to the highest standards of integrity and responsibility for ethical conduct.

ii. Promoting Workforce Diversity and Inclusiveness: We will build a diverse, safe, and growth-oriented workplace that values every individual, driving innovation and creativity through varied perspectives and experiences.

iii. Performance-Based Compensation: By offering competitive and merit-based compensation packages, we are committed to attracting, retaining, and rewarding top talent that contributes to our ongoing success.

iv. Rewards and Recognition Programs: Our culture of excellence is sustained by recognizing and rewarding outstanding performance, fostering continuous improvement, and motivation across the organization.

v. Continuous Learning and Development: We aim to offer comprehensive training programs designed to enhance the technical, functional, and managerial skills of our employees, while also raising awareness about the Prevention of Sexual Harassment, Human Rights, AntiCorruption, and Anti-Bribery.

THREATS, RISKS AND CONCERNS

Your Company considers risk management as a fundamental component of its strategic planning and decision-making processes. Given the global scope of our operations, we face a diverse array of external and internal risks, including geopolitical and economic shifts, technological disruptions, and evolving regulatory landscapes. These risks, if not effectively managed, could have significant implications for our performance and long-term sustainability.

To address these challenges, our plan is to build a robust risk management framework that systematically identifies potential risks, assesses their potential impact, and outlines clear mitigation strategies. This comprehensive approach enables us not only to protect our assets, reputation, and financial health but also to ensure compliance with global regulatory standards. By doing so, we are better equipped to enhance stakeholder confidence and navigate both current and future challenges.

KEY RATIOS

Please refer point no. 41.12 from the notes of standalone financial statements.

CAUTIONARY STATEMENT

Certain statements in this Management Discussion and Analysis Report concerning the future growth prospects are forward-looking statements, which involve a number of risks and uncertainties that could cause actual results to differ materially from those in such forward-looking statements. The risks and uncertainties relating to these statements include but are not limited to, risks and uncertainties regarding fluctuations in earnings, ability to manage growth, intense competition in our industry including those factors which may affect the Companys cost advantage, seasonality of the business, wage increases, Companys ability to attract and retain highly skilled professionals, time and cost overruns on fixed-price, client concentration, Companys ability to manage its international operations, Companys ability to successfully complete and integrate potential acquisitions, liability for damages on Companys contracts, the success of the companies in which Company has made strategic investments, political instability, legal restrictions on raising capital or acquiring companies outside India and unauthorized use of our intellectual property and general economic conditions affecting our industry or the global economy.