matra kaushal enterprise ltd Management discussions

Pursuant to PARA B of Schedule V of the SEBI (listing Obligation and Disclosure Requirement) Regulation, 2015, a report on Management Discussion and Analysis Report is given below:

Industry Structure And Developments:

Your Company is engaged in Electrical Industry which is into voltage stabilizers under the brand "UNISTAB" and the products are having its different broad range.

The industry has seen growing trend in requirements in last few years with continued capacity expansions/newer investments in the user industries and the force placed by the Government on the sector and the increasing participation of private sector in electricity generation. The demand for the Companys products continues to improve considerably. The margins however, are low due to rising input costs and intense competition. We are however trying to reduce the impact by improving operational efficiencies. The actual performance may however differ as it is dependent on several factors beyond control of the Company.

In the coming year, your Company will continue to explore opportunities in Electrical Industry across the country, will further develop and grow its current Electrical Business, explore portfolio management services and deploy surplus funds in various other avenues. Your Company always looks for opportunities to exploit any advantages the market would offer to improve the shareholders wealth.

Opportunities and Threats

Opportunities

Threats: the change in customer requirements, customer preferences, and the vendor landscape of the overall market.

The GDP is projected at 7.2 % for the current year but the Governments finances might be under severe stress due to fall in GST collections, a downward trend in Direct tax collections, slackness in FDI inflows and lack of investment in infrastructure due to funds constraint. The Government has projected huge investments but the availability of resources is not clear. It remains to be seen if the Government would be able to reach its targets depending on which the spur in the Economy might happen.

Segment wise -or product wise performance

Future Outlook

The thrust placed on the power sector and the improved demand from the user industries, bodes well for us. The margins may however be lower due to increasing raw material costs and intense competition.

In the coming year, your Company will continue to explore opportunities in Electrical Industry across the country, will further develop and grow its investments in Electrical Business and deploy surplus funds in various other avenues. Your Company always looks for opportunities to exploit any advantages the market would offer to improve the Shareholders wealth.

Risks & Concerns

Risk Management has always been an integral part of the corporate strategy which complements organizational capabilities with business opportunities. A detailed exercise is being carried out to identify, evaluate, manage and monitor both business and non-business risks.

Rising input costs are a matter of concern as it may not be possible to pass them on fully to the customers. The industry is turning highly competitive. Timely availability of inputs is also uncertain.

The Company has a vigil mechanism to report concerns about unethical behaviour, actual/suspected frauds and violation of the Companys Code of Conduct. Protected disclosures can be made by a whistle blower through several channels with the surety that no discrimination will be meted out to any person for a genuinely raised concern.

Internal Control System

The Company has in place an adequate internal control system commensurate with the size of the Company and the nature of business to ensure efficacy of operations and also to ensure that assets are safeguarded against loss and for compliance with applicable legislation.

There exists an adequate management reporting system comprising managerial reporting and analysis on various performance indicators, for corrective action as necessary. Further, the Company has review systems of the performance against agreed financial parameters to assess the strengths and areas of improvement at all the place of Work.

Human Resources And Industrial Development

The Company believes that the quality of its employees is the key to its success in the long run and is committed to provide necessary human resource development.

The Company provide a workplace environment that is safe, hygienic, humane, and creates systems and practices to ensure a harassment free workplace.

Industrial Relations during the year were cordial and the Company is committed to maintain the same in future.

Discussion on financial performance with respect to operational performance Cautionary Statement

Statements in the Boards Report and the Management Discussion & Analysis describing the Companys objectives, expectations or forecasts may be forward-looking within the meaning of applicable securities laws and regulations. Actual results may differ materially from those expressed in the statement. Important factors that could influence the Companys operations include demand and supply conditions affecting selling prices of finished goods, input availability and prices, changes in government regulations, tax laws, economic developments within the country and other factors such as litigation and industrial relations.

COVID Effect in the Business:

The World Health Organization declared a global pandemic of the Novel Coronavirus disease (COVID- 19) on February 11^th, 2020. In enforcing social distancing to contain the spread of the disease, our offices and client offices all over the world have been operating with minimal or no staff for extended periods of time.

To effectively respond to and manage our operations through this crisis, the Company triggered its business continuity management program. In keeping with its employee-safety first approach, the Company quickly instituted measures to trace all employees and be assured of their well-being. Our teams reacted with speed and efficiency, and quickly leveraged technology to shift the workforce to an entirely new ‘work-from-home model. Proactive preparations were done in our work locations during this transition to ensure our offices and training centers were safe. Approximately 93% of the production workforce were enabled in a rapid manner to work remotely and securely, thus ensuring that client commitments were not materially compromised.

Policy changes related to working from home and IT infrastructure support were rolled out overnight to help our employees shift to this new work paradigm. Continuous communication on the latest updates played a key role in enabling our employees to stay on top of the evolving situation. Several initiatives were rolled out to make teams and managers effective while working from different locations. The Company would implement a phased and safe return-to-work plan as and when lockdown restrictions are relaxed.

	By the Order of the Board
	For MatraKaushal Enterprise Limited
	Sd/-	Sd/-
Date: 28.08.2020	Ramesh Chandra Parthani	Premlata Partani
Place: Secunderabad	Managing Director	Director
	DIN: 02260773	DIN: 02200569