Midland Polymers Ltd Management Discussions

INDUSTRY STRUCTURE AND DEVELOPMENTS

Indias logistics sector is booming with tech-driven express delivery and government-backed infrastructure like PM Gati Shakti. Import-export trading is expanding through digitized platforms and new trade policies, with the US and China as key partners. The software industry is thriving, especially in SaaS and AI, with India emerging as a global tech hub. Meanwhile, agriculture remains vital, supporting over half the population, with record horticulture output and rising exports. Government schemes and digital tools are modernizing farming. Across all sectors, innovation, policy support, and global integration are driving growth.

OPPORTUNITIES AND THREATS

Indias logistics sector is growing fast with tech upgrades and infrastructure support, though high costs and fragmentation remain challenges. Import-export trading benefits from digital platforms and global demand, but faces risks from geopolitical tensions and currency swings. The software industry thrives on AI and SaaS innovation, yet talent gaps and cybersecurity threats loom. Agriculture sees rising exports and agri-tech adoption, but climate change and small landholdings hinder progress. Across all sectors, opportunities are driven by digitization, policy reforms, and global integration. Threats include regulatory hurdles, environmental stress, and competitive pressure.

SEGMENT–WISE OR PRODUCT-WISE PERFORMANCE

Since, the Company operates its business under one segment only, the report on segment wise performance is not applicable.

OUTLOOK

Indias logistics sector is set for major transformation, driven by government initiatives like the National Logistics Policy and rapid tech adoption, aiming to reduce costs and boost efficiency. Import-export trading remains resilient despite global uncertainties, with digitization and trade diversification supporting growth. The software industry continues to thrive, with AI, SaaS, and cloud services fueling innovation and global competitiveness. In agriculture , rising foodgrain output and agri-tech adoption offer promise, though climate

risks and structural challenges persist. Overall, these sectors are poised for robust growth, anchored by policy reforms, digital infrastructure, and rising domestic demand.

RISK & CONCERN

Post revival from IBC, the Company has placed an enterprise risk management framework for identifying risks and opportunities that may have a bearing on the organizations objectives, assessing them in terms of likelihood and magnitude of impact and determining a response strategy.

INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY

Pursuant to the taking over of the operations of the Company by the new management, the Company would comply with Internal Financial Controls, commensurate with the size, scale and complexity of the Companys operations.

MATERIAL DEVELOPMENTS IN HUMAN RESOURCES / INDUSTRIAL RELATIONS FRONT, INCLUDING NUMBER OF PEOPLE EMPLOYED.

The company is in process of recruiting experienced personnel at senior level apart from strengthening other departments with competent people as a part of revival of the Company in terms of Orders of Honble NCLT.

DISCUSSION ON FINANCIAL PERFORMANCE WITH RESPECT TO OPERATIONAL PERFORMANCE:

The Financial performance of the company is already discussed elsewhere in the Annual Report.

MATERIAL DEVELOPMENTS IN HUMAN RESOURCES / INDUSTRIAL RELATIONS FRONT, INCLUDING NUMBER OF PEOPLE EMPLOYED:

During the year under review the company has taken HR initiatives to train and develop talent pool. The company has also taken up a root cause analysis on bringing down the attrition rates. In order to improve the performance of management and to scale up the business operations, the company has recruited experienced personnel at senior level apart from strengthening other departments with competent people.

DETAILS OF SIGNIFICANT CHANGES (I.E. CHANGE OF 25% OR MORE AS COMPARED TO THE IMMEDIATELY PREVIOUS FINANCIAL YEAR) IN KEY FINANCIAL RATIOS, ALONG WITH DETAILED EXPLANATIONS THEREFOR, INCLUDING FINANCIAL RATIOS :

Particulars	2024- 25	2023- 24	Remarks
Debtors Turnover	-	0.12	Improvement in recovery
Inventory Turnover	-	-	-
Interest Coverage Ratio	-	-	-
Current Ratio	0.17	0.21	-
Debt Equity Ratio	(1.21)	(1.26)	-
Operating Profit Margin (%)	-	-	-
Net Profit Margin (%)	-	(8.31)	There were no Operating activities during the year

DETAILS OF ANY CHANGE IN RETURN ON NET WORTH AS COMPARED TO THE IMMEDIATELY PREVIOUS FINANCIAL YEAR ALONG WITH A DETAILED EXPLANATION THERE OF

There is a change in the Return on Net Worth which is at -0.22% for the Financial Year 2024-25 as compared to immediately previous year 2023-24 which was at -0.68%. Reasons for change is no operating activities during the year.

DISCLOSURE OF ACCOUNTING TREATMENT:

The Company has not carried out any treatment different from that prescribed in Accounting Standards.

CAUTIONARY STATEMENTS:

Certain statements in the Management Discussion and Analysis describing the Companys objectives, predictions may be forward-looking statements within the meaning of applicable laws and regulations. Actual results may vary significantly from the forward looking statements contained in this document due to various risks and uncertainties. These risks and uncertainties include the effect of economic and political conditions in India, volatility in interest rates, new regulations and Government policies that may impact the Companys business as well as its ability to implement the strategy. The Company does not undertake to update these statements.

For and on behalf of the Board of Directors Midland Polymers Limited

	Vanaja Veeramreddy	Praneeth Thota
Date: 03.09.2025	Managing Director	Whole-time Director and CFO
Place: Hyderabad	DIN: 07019245	DIN: 10127258