Media Matrix Worldwide Ltd Management Discussions

Media Matrix Worldwide Limited (the Company or MMWL ) is a B2B focused next-generation technology and services provider, specializing in Value Added Services (VAS) across the mobile and digital ecosystem. Beyond its core VAS offerings, MMWL is also engaged in the distribution of wide range of innovative products in mobility, audio, Consumer Electronics and IT segment across India through one of its subsidiaries.

The Companys revenue on standalone basis during the FY25 stood at R 305.95 Lakhs as against the revenue of R 305.30 Lakhs in the previous FY24.

During the year under review, the Company has earned net profit of R 215.76 Lakhs as compared to the net profit of R 128.53 Lakhs in the previous FY24 on standalone basis .

The Consolidated revenue during the FY25 stood at R 1,88,702.39 Lakhs as against the Consolidated revenue of R 1,41,530.01 Lakhs in the previous FY24.

During the year under review, the Company has net earned profit of R 444.95 Lakhs as compared to the net profit of R 704.10 Lakhs in the previous FY25 on Consolidated basis .

OUR SUBSIDIARIES

NEXG DEVICES PRIVATE LIMITED (nexG)

Our Subsidiary, nexG, has rich experience in procurement and distribution of Mobile Handsets of various brands. nexG has distribution arrangement with various brands for distribution and marketing of handsets in the Indian markets. nexG has marketing offices and warehouses located at various cities in India and over a period of time it has established a nationwide network to handle the distribution business all over India. nexG is currently doing business with VIVO, Xiaomi, Realme, TECNO and ITEL mobile brands to distribute mobile handsets to LFRs (Large Format Retail outlets) across the Country. nexG has also entered in Audio segment and is doing business with HARMAN for distribution of their brand "JBL" in modern trade. nexG has also ventured into the segment of consumer electronics market through brand AKAI and AIWA. Apart from the LFRs, nexG has also leveraged online channels by entering into distribution agreements with E-commerce partners, Amazon, Flipkart etc and has also entered into the agreement with Quick Commerce partners like Blinkit, Zepto and Swiggy Instamart for supplying Audio products and mobile accessories. nexG is in the process of further tie-ups with renowned brands by leveraging its logistics, warehousing & distribution expertise across the country

MEDIA MATRIX ENTERPRISES PRIVATE LIMITED (MMEPL)

Media Matrix Enterprises Private Limited is engaged in business of making investments in existing/new projects to be undertaken by us jointly or severally.

INDUSTRY OVERVIEW FOR THE COMPANY & ITS SUBSIDIARIES MOBILE HANDSETS MARKET IN INDIA

One of the subsidiaries of the Company, nexG Devices Private Limited (nexG), is engaged into trading of mobile handsets business in India.

Mobile Handset Market Overview

According to the International Data Corporation (IDC) Worldwide Quarterly Mobile Phone Tracker, Indias smartphone market grew by 4% year-over-year (YoY) from calendar year 2023 to 2024, with total shipments reaching 151 million units. A strong performance in the first half of CY2024, with 7% growth, helped offset the slower 2% growth in the second half. However, after five consecutive quarters of expansion, the market experienced a cyclical dip in Q4 CY2024, with shipments declining by 3% to 36 million units.

India became the fourth largest market for Apple in 2024, after USA, China, and Japan, as shipments reached a record 12 million units in the country, with 35% YoY growth. In the fourth quarter of CY2024, Apple entered the Top 5 brands in India for the first time with a 10% share. iPhone 15 and iPhone 13 were the highest shipped models, accounting for 6% of overall shipments during the quarter.

In spite of the overall growth (4%) in the smartphone market in the CY2024, nexG with its robust distribution and logistics network had achieved growth of 33% in its turnover in the financial year 2024-25 as compared to financial year 2023-24.

Key Highlights

Market Share of top 10 brands (source IDC)

Brands	CY2023 Market Share	CY2024 Market Share	Year-over-Year unit change
VIVO	15.2%	16.6%	13.9%
Samsung	17.0%	13.2%	-19.4%
OPPO	10.4%	12.0%	21.0%
Xiaomi	12.5%	12.0%	0.2%
Realme	12.5%	11.0%	-8.5%
Apple	6.4%	8.2%	34.6%
Motorola	2.7%	6.0%	135.9%
Poco	4.9%	5.6%	18.9%
Oneplus	6.1%	3.9%	-32.6%
IQOO	2.3%	3.3%	50.9%
Others	10.0%	8.2%	-18.1%
Total	100.0%	100.0%	4.1%

Feature Phone Segment

54 million feature phones were shipped annually, declining by 11% YoY. Transsion continued to lead with a 30% share, followed by Nokia and Lava.

Key Highlights for Calendar Year 2024:

While the ASPs (average selling price) reached a new high of US$259 in 2024, the 2% YoY growth was significantly lower than the double-digit growth seen the previous three years. The entry-premium (US$200

120 million 5G smartphones were shipped in the year. The share of 5G smartphone shipments increased to 79%, up from 55% in 2023, while 5G smartphone ASPs declined by 19% YoY to US$303. Within 5G, shipments of the mass budget (US$100

Shipments to offline and online channels grew almost at par by 4% YoY, and shares remained similar at 51% and 49%, respectively, in 2024. Samsung continued to lead in the online channel, while Apple climbed to the fourth position, with iPhone 15 as the highest shipped smartphone online. Within the offline channel, vivo maintained its dominance, while OPPO and Xiaomi climbed to the second and third spots, respectively.

Overall, vivo surpassed Samsung for the leadership position in 2024, with its consistent omnichannel play, diversified portfolio across price segments and channel support. Nothing registered the highest growth overall, followed by Motorola and iQOO annually. The long tail of brands collectively gained ground in 2024, as the share of the above listed top five Brands depleted from 76%, 68%, and 65% in 2022, 2023, and 2024 respectively.

Future Market Outlook

With a low single-digit growth in CY2024, growth in CY2025 hinges on a stronger performance in the mass segment (US$100

OPPORTUNITIES AND OUTLOOK

The strategy of Company and/or its subsidiaries has been towards investing in the new technologies, Media Businesses and other Business investments. It is also into Distribution of various products including imports related to Mobile, Audio segment, Consumer Electronics in both Offline and Online channels. The Company is expecting to have substantial growth over the next few years on account of rising demand of digital technology from offline and e-commerce businesses. The Company would be working either directly or through its subsidiaries to take up existing and/or new projects to achieve the above.

THREAT, RISKS & CONCERN

The Company and/or its subsidiaries operates in a competitive environment and faces competition from both the international as well as domestic players and within domestic industry from both the organized and unorganized players. However, no player in the industry is an integrated player.

INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY

The Companys internal financial controls are commensurate with the nature of its business, the size, and complexity of its operations and such internal financial controls with reference to the Financial Statements are adequate.

The Company has appointed S. Sunder Sharma & Company, Chartered Accountants to oversee and carry out internal audit of activities of the Company.

The Audit Committee also reviews reports submitted by internal auditors on periodic basis. The Audit Committee also meets Companys statutory auditors to ascertain, inter alia, their views on the adequacy of internal control systems and keeps the board of directors informed of its major observations, if any, periodically.

Your Board is of the opinion that the Internal Financial Controls, affecting the Financial Statements of your Company are adequate and are operating effectively.

MATERIAL DEVELOPMENTS IN HUMAN RESOURCES / INDUSTRIAL RELATIONS

MMWL considers employees as the most valued asset, who are at the core of the business. The Company has 05 (Five) personnel on its payroll as on March 31, 2025.

Key Financial Ratio

Particulars	Standalone		Reason for variation more than 25% during FY25
Ratios	FY 2024-25	FY 2023-24
Debtors Turnover	NA	NA	-
Inventory Turnover	NA	NA	-
Interest Coverage Ratio	NA	NA	-
Current Ratio	0.32	0.26	-
Debt Equity Ratio	NA	NA	-
Operating Profit Margin (%)	45.22	45.32	-
Net Profit Margin (%)	70.52	42.10	The variation is primarily due to increase in the income of Company during the FY25
Net Worth (In R )	15101.08 Lakhs	14886.19 Lakhs	-

CAUTIONARY NOTE

Statements in the Management Discussion & Analysis report describing the Companys objectives, estimates or projections may be forward looking statements within the meaning of applicable securities law and regulations. Actual results may materially differ from those expressed or implied. Important factors that can make a difference to the Companys operations include change in the main clients purchase procedures, changes in Government regulations, tax regimes, economic outlook in India and outside india and other incidental factors.