In terms of the provisions of Regulation 34(2) (e) of the Listing Regulations, the Managements discussion and analysis are as follows.

GLOBAL ECONOMY OVERVIEW:

According to the IMFs World Economic Outlook Update (July 2026), the global economy continues to remain resilient amid geopolitical tensions, trade uncertainties, energy- price volatility and changing financial conditions. Global growth is projected at 3.0% in 2026 and 3.4% in 2027, although the outlook remains subject to significant risks. Global inflationary pressures have also increased due to higher energy prices, with headline inflation projected at approximately 4.7% in 2026.

Against this backdrop, India continues to remain one of the fastest- growing major economies globally, with the IMF projecting growth of approximately 6.4% in 2026. Indias economic outlook remains supported by strong domestic demand, investment, infrastructure development, technological advancement and increasing integration with global markets.

While geopolitical developments, energy prices, global trade conditions and financial- market volatility remain key challenges, Indias strong domestic fundamentals and resilient economic activity provide a favourable foundation for sustained growth.

OUTLOOK:

The Indian economy has demonstrated strong resilience and sustained growth during FY 2025- 26. As per the latest estimates released by the National Statistical Office (NSO), real GDP is estimated to have grown by 7.6% in FY 2025- 26, supported by robust domestic consumption, investment activity, manufacturing and services. The Indian economy continues to benefit from improving infrastructure, technological advancement and strengthening domestic demand.

Looking ahead, the economic outlook remains positive, although global uncertainties, geopolitical developments, trade disruptions, energy- price volatility and changing financial conditions may continue to pose challenges. Nevertheless, Indias strong domestic fundamentals, resilient consumption, sustained investment and expanding business opportunities are expected to support economic activity.

The Company remains optimistic about its future prospects and will continue to focus on prudent business strategies, efficient resource utilisation and sustainable growth while closely monitoring developments in the domestic and global economic environment.

INDIAN ECONOMY OVERVIEW:

India continued to demonstrate strong economic resilience during FY 2025-26 despite global uncertainties and geopolitical challenges. As per the National Statistical Office (NSO), real GDP is estimated to have grown by 7.7% during FY 2025-26, supported by robust domestic consumption, investment activity and strong performance across the manufacturing and services sectors.

Government initiatives promoting digitalisation, entrepreneurship, infrastructure development, skill enhancement and financial inclusion have further strengthened Indias economic fundamentals. While global trade conditions, geopolitical tensions and energy-price volatility remain key challenges, Indias strong domestic demand and resilient financial sector are expected to support sustained economic growth.

OUTLOOK: Real GDP growth showed resilience during FY2025-26 and gained momentum during the year. According to the latest estimates of the National Statistical Office (NSO), real GDP growth for FY2025-26 is estimated at 7.7%. Quarterly GDP growth for Q1 FY2026 was 7.8%, followed by 8.2% in Q2 and 7.8% in Q3, reflecting sustained economic activity across key sectors. As before, Private Final Consumption Expenditure (PFCE) remained a major contributor to GDP, supported by resilient domestic demand and consumption.

Indias external sector also remained resilient during FY2025-26, with robust growth in services exports and steady remittance inflows providing support to the external balance. These factors helped cushion the impact of merchandise trade pressures on the current account. Overall, strong domestic consumption, investment activity, services exports and resilient economic fundamentals supported Indias growth during FY2025-26.

INDIAN FINANCIAL SERVICE SECTOR SCENARIO:

Indias financial services sector continued to expand during FY 2025-26, supported by strong credit growth, increasing financial inclusion, digitalisation and technological advancement. The sector comprises banks, NBFCs, insurance companies, mutual funds, pension funds and fintech institutions, with the banking sector continuing to play a central role in the financial system.

The sector has been strengthened by initiatives such as Pradhan Mantri Jan Dhan Yojana, MUDRA, MSME credit guarantee schemes and digital payment infrastructure. The rapid adoption of digital payments and fintech services, together with improving access to formal financial services, continues to support the growth and resilience of Indias financial ecosystem.

Overall, Indias financial services sector remains well positioned for sustained growth, supported by increasing digitalisation, rising credit demand, financial inclusion and continued regulatory and policy support.

INDUSTRY SECENARIO:

Financial institutions continue to play a crucial role in supporting economic growth and financial stability by providing credit and financial services to households, businesses and underserved segments of the economy. During FY 2025-26, the Indian financial sector remained resilient amid global economic and geopolitical uncertainties.

Non-Banking Financial Companies (NBFCs) continued to play an important role in meeting the diverse credit requirements of individuals, MSMEs and other underserved segments, supported by their wide geographical reach, customer-focused approach and faster delivery of financial services. The sector also witnessed increasing adoption of digital technologies to improve operational efficiency, enhance customer experience, strengthen risk management and ensure regulatory compliance.

The continued focus of the Reserve Bank of India on strengthening the regulatory framework, financial inclusion, responsible lending and digitalisation is expected to further enhance the resilience and sustainable growth of the NBFC sector. The outlook for NBFCs remains positive, supported by Indias strong domestic demand, increasing formalisation of credit and continued expansion of digital financial services.

COMPANY OVERVIEW:

Mahan Industries Limited is a listed Non-Banking Financial Company (NBFC) engaged in financial and investment activities, including investment in equity and debt instruments and trading in shares and securities. During FY 2025-26, the Company witnessed a significant improvement in its financial performance, with sales increasing by approximately 165% to ? 5.72 crore, compared with ? 2.16 crore in FY 2024-25. The Company also reported a net profit of ? 0.05 crore, as against a net loss of ? 0.14 crore in the previous year.

The Companys equity continued to witness market activity during FY 2025-26 and subsequently reached a 52-week high of ? 11.63 in July 2026, reflecting increased market participation in the Companys securities. The Company continues to focus on its investment and financial activities and remains committed to strengthening its operations and creating sustainable value for its stakeholders.

DISCUSSION ON FINANCIAL PERFORMANCE WITH RESPECT TO OPERATIONAL PERFORMANCE:

The Financial and operational performance forms part of the Annual Report and is presented in the report.

HUMAN RESOURCES MANAGEMENT:

The Company considers its human resources to be a key pillar in achieving its business aspirations and objectives. It recognizes its people as an important source of sustainable competitive advantage and is committed to fostering a performance-driven and merit-based work culture. Accordingly, the Company adopts a prudent and structured approach to the

selection and development of its employees, with due emphasis on their capabilities, integrity, cultural alignment and adherence to the Companys values and principles.

The Company places strong emphasis on good governance, ethical business practices and accountability. The promoters remain actively involved in the management and strategic direction of the Company, supported by a well-diversified and competent Board of Directors. This combination of experienced leadership, sound governance practices and a capable workforce enables the Company to build a strong organizational foundation and pursue its long-term objectives effectively.

INTERNAL CONTROL SYSTEM:

The Company has an adequate internal control system covering its operations, designed to safeguard assets, ensure operational efficiency, maintain reliable financial and operational information, and ensure compliance with applicable laws and regulations.Key features of the internal control framework include:

- Finance and Commercial functions are structured to provide effective oversight and control.

- A Risk Management Policy is in place to identify and mitigate key business risks.

- An Internal Audit function conducts periodic reviews based on a risk-based audit plan.

- Standard Operating Procedures, policies and guidelines are reviewed periodically and strengthened wherever required.

- Identified control gaps are addressed through corrective actions, process improvements and technology upgrades.

Internal audit findings are reviewed by the Management and placed before the Audit Committee for consideration and monitoring of corrective actions. The Company remains committed to continuously strengthening its internal control, corporate governance and risk management framework.

OPPORTUNITIES AND THREATS:

Opportunities The financial services sector presents several growth opportunities arising from market volatility, technological advancements and evolving regulatory frameworks. Key opportunities include:

- Market Volatility: Volatility-driven investment and trading activities can provide significant opportunities for generating returns when managed prudently and strategically.

- Technology Adoption: Technology is expected to play a key role in expanding financial services by overcoming geographical constraints and enabling wider access to customers without the need for extensive physical infrastructure.

- Co-lending Opportunities: The co-lending framework enables NBFCs to leverage the balance sheets and funding capabilities of partner institutions, thereby facilitating access to a larger customer base at competitive costs.

- Account Aggregator Framework: The Account Aggregator ecosystem has the potential to transform lending and investment by enabling secure and consent-based sharing of financial information, improving customer access to financial services and creating new opportunities for lenders and fintech businesses.

Threats:

The Company operates in an evolving financial services environment and faces various external and industry-related challenges. Key threats include:

- Funding Constraints: Timely access to funds at competitive costs remains a challenge, particularly for small and mid-sized NBFCs amid elevated interest rates.

- Credit Rating Risk: The Companys borrowing costs and access to debt capital markets are influenced by Indias sovereign credit ratings. Any adverse rating revisions may increase financing costs or restrict access to additional funding.

- Macroeconomic Volatility: Adverse economic developments in emerging markets, including fiscal or trade imbalances and sovereign debt concerns, may impact investor confidence, increase volatility in Indian financial markets and indirectly affect the broader economy.

- Increasing Competition: The growing use of alternate data and the shift towards cash-flow-based financing have enabled banks and other NBFCs to increasingly enter the MSME financing segment, intensifying competition.

- Regulatory Changes: Unanticipated changes in laws, regulations or government policies may increase compliance costs, affect the viability of existing businesses or constrain the Companys future growth opportunities.

RISKS MANAGEMENT AND CONCERNS:

The Company operates in a highly competitive financial sector, which puts pressure on margins. However, through continuous efforts, prudent business practices and quality services, the Company strives to maintain sustainable margins. The Company follows a structured approach to identify, assess and mitigate strategic, financial and operational risks.

a) Interest Rate Risk:

Fluctuations in interest rates may affect the Companys borrowing costs, lending rates and investment returns.

Mitigation: The Company regularly monitors interest rate movements and considers factors such as customer profile, market conditions, competition and business objectives while determining interest rates. Appropriate measures are taken to minimise the impact of interest rate fluctuations.

b) Asset Liability Management Risk:

This risk arises from a mismatch between the maturity of the Companys assets and liabilities, particularly between the tenure of loans granted and the Companys funding arrangements.

Mitigation: The Asset Liability Management Committee (ALCO) regularly reviews the Companys asset and liability position, liquidity requirements and market trends. The Company maintains adequate liquidity and reserves and ensures access to sufficient funds to meet its business requirements and financial obligations.

c) Credit Risk:

Credit risk arises when borrowers are unable to meet their repayment obligations due to financial difficulties, economic conditions or other adverse circumstances.

Mitigation: The Company follows appropriate credit assessment and approval procedures before extending loans. Borrowers financial position and repayment capacity are evaluated, while the loan portfolio is regularly monitored. Necessary recovery and corrective measures are undertaken to minimise potential credit losses.

d) Operational Risk:

Operational risk may arise from failures in internal processes, systems or controls, potentially affecting business continuity, reputation and profitability.

Mitigation: The Company has established a strong internal control and audit framework, supported by well- defined processes, Standard Operating Procedures and an effective reporting mechanism to minimise operational risks.

e) Regulatory Risk:

The financial sector is subject to extensive regulatory requirements, and non- compliance may result in financial penalties and reputational damage.

Mitigation: The Company maintains a robust compliance and internal control framework to ensure adherence to applicable laws and regulations. It regularly monitors regulatory developments and takes timely measures to address changes in regulatory requirements and government policies.

f) Fraud Risk:

Fraud risk includes potential loan fraud, identity theft, internal fraud and cyber fraud, which may result in financial and reputational losses.

Mitigation: The Company has established appropriate controls for prevention, detection and investigation of fraud. A dedicated Risk Control Unit (RCU) monitors and takes necessary measures to identify and mitigate potential instances of fraud.

g) Information Security Risk:

Information security risks may arise from data breaches, cyberattacks and unauthorised access, potentially resulting in loss or compromise of sensitive information and reputational damage.

Mitigation: The Company has implemented appropriate information security controls, including data protection and leak prevention measures, security monitoring, vulnerability assessments, email and network security controls, and Business Continuity and Disaster Recovery mechanisms. The Company also continuously monitors emerging cyber threats and maintains appropriate risk parameters for its IT systems.

SEGMENT-WISE OR PRODUCT WISE PERFORMANCE

The Company operates in single business segment i.e. NBFC, it has witnessed considerable growth in the last few years and is now being recognised as complementary to the banking sector due to implementation of innovative marketing strategies, customer- oriented services, attractive rates of return on deposits and simplified procedures, etc.

SIGNIFICANT CHANGES IN KEY FINANCIAL RATIOS:

Your Company is a Non- Banking Financial Company (NBFC), therefore, disclosure of significant changes in key financial ratios is not applicable to our Company as our Company.

DISCLOSURE OF ACCOUNTING TREATMENT:

The financial statements of Mahan Industries Limited (the Company) for the financial year ended March 31, 2026 have been prepared in accordance with the Indian Accounting Standards (Ind AS) prescribed under Section 133 of the Companies Act, 2013, read with the Companies (Indian Accounting Standards) Rules, 2015, as amended from time to time, and other applicable provisions of the Act

CAUTINARY AND FORWARD-LOOKING STATEMENTS:

This Management Discussion and Analysis Report may contain certain forward- looking statements based on the Companys current expectations, assumptions, business strategies and the prevailing business environment. Such statements are subject to various risks, uncertainties and other factors that may cause actual results, performance or developments to differ materially from those expressed or implied.

These factors may include changes in economic and political conditions in India and abroad, fluctuations in interest rates and financial markets, changes in government policies and regulations, competitive conditions and the Companys ability to effectively implement its business strategies.

The information contained herein is based on information available as on the date of this Report. The Company assumes no obligation to update or revise any forward- looking statements to reflect subsequent events or developments. Market data and other information contained herein have been obtained from sources considered reliable by the Company or are based on internal estimates; however, no representation or assurance is given regarding their accuracy or completeness.

PLACE: Ahmedabad		By Order of the Board
DATE: 05.09.2026		For, MAHAN INDUSTRIES LIMITED
	Sd/-	Sd/-
	Niranjankumar Navratanmal Jain	Nishil Shah
	Director	Director
	DIN: 00282842	DIN: 09165405

Regd. Office: -B-107, Sankalp Iconic Tower, Opposite Vikram Nagar
Iskcon Temple Cross Road, S.G. Highway, Bodakdev, Ahmedabad, Gujarat-380054
Website: www.mahan.co.in
CIN: L91110GJ1995PLC024053