Maestros Electronics & Telecommun. Systems Ltd Management Discussions

1) INDUSTRY STRUCTURE AND DEVELOPMENT:

The Companies growth considering the past few years performance has comparatively increased. As company has adopted necessary steps for increasing its profits from year to year. The total revenue from the operation for the year ended March 31, 2026, amounted to 3917.45 lakhs as against Rs. 2888.71 lakhs in previous financial year 2024-2025 and has increased by 1028.74 lakhs over the last year.

2) OPPORTUNITIES & THREATS OPPORTUNITIES:

1. Concentrating in one sector makes the company mature in the industry and gain efficiency in operations.

2. Growing preference for online platform 3 Rural development

THREATS:

1. Competition from low cost imported products.

2. Manpower costs are rising as many large companies are mopping, but the availability of talent pool supply is limited. Thus, for small and mid-range companies, retaining high quality manpower is a concern.

3) SEGMENT WISE OPERATIONAL PERFORMANCE:

Our Company has three main segments of business viz. Medical ,Electronics & Instrumentation and Telemedicine. The Company is constantly striving to increase the performance of its segments, particularly Medical.

4) OUTLOOK:

Our Company is keeping pace with the overall market scenario and has grown significantly in the past years. The Management expects further growth and improvement of the company within the years to come, subject to favourable market conditions, and stable economic policies.

5) RISKS AND CONCERNS:

All the promises which management is making, depends on the confidence and trust that the Shareholders bestow upon the management.

6) INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY:

Our Company has in place adequate system of internal control. It has documented procedures covering all financial and operating functions. These controls have been designed to provide a reasonable assurance about maintaining of proper accounting controls, monitoring of operations, protecting assets from unauthorized use or losses, compliances with regulations and for ensuring reliability of financial reporting. The Company has continued its efforts to align all its processes and controls with global best practices in these areas as well.

7) HUMAN RESOURCES & INDUSTRIAL RELATIONS:

Our Company have continuous endeavours to improve the working environment for its employees. Competitive compensation package, innovative and challenging environment to work, transportation facilities, etc., are some of the steps taken by the Company for the welfare of its employees. To keep the employees skill, knowledge and business facilities updated, in-house and external training is provided to the employees at all levels. The effort to rationalize and streamline the work force is a continuous process. The industrial relations scenario remained harmonious throughout the year.

As on year ended March 31, 2026, the Company has 91 number of employees.

8) DISCUSSION ON FINANCIAL PERFORMANCE WITH RESPECT TO OPERATIONAL PERFORMANCE RESULTS OF OPERATIONS:

The Companys revenue from operations has increased to Rs. 3917.45 lakhs as compared to the previous financial year ended March 31, 2025, for which it was Rs. 2888.71 lakhs.

A. Revenue from Operations:

Particulars	FY 2025- 2026 (In Lakhs)	FY 2024- 2025 (In Lakhs)	Change	% of Change
Sale of Products & Other Operating Revenue	3917.45	2888.71	1028.74	35.61%
B. Cost of materials consumed:
Particulars	FY 2025- 2026 (In Lakhs)	FY 2024- 2025 (In Lakhs)	Change	% of Change
Cost of material Consumed	2163.50	1594.57	568.93	35.68%
C. Employee benefits expense:
Particulars	FY 2025- 2026 (In Lakhs)	FY 2024- 2025 (In Lakhs)	Change	% of Change
Employee Benefit Expenses	500.23	441.60	58.63	13.27%
D. Depreciation and amortisation expense:
Particulars	FY 2025- 2026 (In Lakhs)	FY 2024- 2025 (In Lakhs)	Change	% of Change
Depreciation & Amortisation Expense	48.38	39.07	9.31	23.83%
E. Other expenses:
Particulars	FY 2025- 2026 (In Lakhs)	FY 2024- 2025 (In Lakhs)	Change	% of Change
Other Expenses	428.70	491.43	(62.73)	(12.76)%
F. Other Income:
Particulars	FY 2025- 2026 (In Lakhs)	FY 2024- 2025 (In Lakhs)	Change	% of Change
Other Income	262.15	244.65	17.50	7.15%
G. Gross Profit:
Particulars	FY 2025- 2026 (In Lakhs)	FY 2024- 2025 (In Lakhs)	Change	% of Change
Revenue from Operations	3917.45	2888.71	1028.74	35.61%
Less: Cost of Consumption	2163.50	1594.57	568.93	35.68%
Gross Profit	1753.95	1294.14	459.81	35.53%
Inventory	413.86	602.83	(188.96)	(31.34%)

H. Profit before Tax:

Particulars	FY 2025- 2026 (In Lakhs)	FY 2024- 2025 (In Lakhs)	Change	% of Change
Profit Before Tax	884.06	569.79	314.27	55.15%
I. Total Comprehensive Income (After Taxation):
Particulars	FY 2025- 2026 (In Lakhs)	FY 2024- 2025 (In Lakhs)	Change	% of Change
Total Comprehensive Income (After Taxation)	715.80	435.62	280.18	64.31%
J. Finance costs and net finance costs:
Particulars	FY 2025- 2026 (In Lakhs)	FY 2024- 2025 (In Lakhs)	Change	% of Change
Finance Cost	39.31	47.60	(8.29)	(17.41%)
K. Exceptional items:
Particulars	FY 2025- 2026 (In Lakhs)	FY 2024- 2025 (In Lakhs)	Change	% of Change
Exceptional items	41.20	0	41.20	100%

L. Details of significant changes (i.e. change of 25% or more as compared to the immediately preceding financial year) in key financial ratios, along with detailed explanations thereof:

Sr. No. Particulars of Ratio	FY 20252026	FY 20242025	% Change	Explanation for >25% change
01. Current Ratio	3.28 times	2.72	21%	Ratio increased due to decrease in current liabilities and increase in current assets
02. Debt Equity ratio	0.04 times	0.10 times	63%	Increase in Total Equity & reduction in Borrowings
03. Debt Service Coverage Ratio	12.54 times	9.75	29%	Debt service coverage ratio has been increased due to use of CC/ OD facility
04. Return on equity ratio	18.53%	13.40%	38%	Increase in revenue
05. Trade Receivable Turnover ratio	6.76 times	3.00 times	125%	Increase due to better credit control
06. Trade Payable Turnover ratio	6.61 times	4.39 times	51%	Credit standing improved due to increase in revenue
07. Inventory Turnover ratio	4.26 times	2.76 times	54%	Due to increase in Sales and reduction in Average Inventory
08. Net Capital turnover ratio	1.31 times	1.23 times	7%	High Sales, Low Inventory and Controlled accounts Receivable
09. Net profit ratio	18.19%	15.17%	20%	Due to Increase in Revenue
10. Return on capital Employed	19.28%	14.81%	30%	Ratio increased due to decrease in current liabilities and increase in current assets

M. Details pertaining to Net-worth of the Company:

Particulars	FY 2025-2026 (In Lakhs)	FY 2024-2025 (In Lakhs)
Net-worth	4203.99	3488.20

9) CAUTIONARY STATEMENT:

Statements in the Management Discussion & Analysis Report describing the Companys expectations, opinion, and predictions may please be considered as forward looking statements only.

Actual results could differ from those expressed or implied. A companys operations should be viewed in light of changes in market conditions, prices of raw materials, economic developments in the country and such other factors.

For and on behalf of the Board of Directors

For Maestros Electronics & Telecommunications Systems Limited Sd/-

Balkrishna Tendulkar Chairman & Managing Director DIN:02448116

Address: Plot No. EL/66, TTC Industrial Area,

Electronic Zone, Mahape Navi Mumbai Thane-400710 Maharashtra India.

Place: Navi Mumbai Date: August 12, 2026