mudunuru ltd share price Management discussions

Overview:

The board with a combined management experience of many decades, propelling towards making an impact in the industries we are growing into Building upon the core teams strengths and with a plan to recruit/onboard experienced new talent, we believe we will make inroads not only in India but also in overseas markets as well.

We are continuing to focus on the above business segments to strengthen our overall revenues both building some of these segments organically and some through in-organically and/or through subsidiaries. In addition company is planning to work on partnerships with some of the worlds leading providers in each of these segments.

A brief about each of the business segments:

The company is planning to venture into organically and through partnerships and through acquisitions of other startups / companies in the field.

Building enterprise grade and leading edge Blockchain and Crypto based platforms is the core focus in this business segment. Building niche platforms for financial requirements for both inhouse and for various customers and delivering feature rich products and solutions.

IDTech

Identity management and technologies have evolved and are being used in every walk of life from biometric based time attendance to large scale national ID programs. Our expertise and wealth of industry backed products and solutions both inhouse and in partnership with world leading biometric companies gives us edge in building products and solutions for the next generation requirements. Multi biometrics combined with our large scale platform building and deployment expertise allows us to the deliver next level of customer centric products and solutions

EdTech

Education is the core building block of any individual that catapults them to grow and explore new opportunities. EdTech market landscape has gone through a tremendous change in the last few years paving way for newer technologies and products to bring the difference in education delivery. Our EdTech teams and subsidiaries have years of on ground expertise tremendous technology edge making us a deep tech company ushering in radically new products and services in EdTech domain.

SmartCityTech

ure of many of the leading cities worldwide is based on how they transform into a SmartCity leveraging all of the Information and communication technologies. And we along with our strong partners in this domain are leveraging the best of Video Analytics, mobile technologies, IoT and combining them on industry leading platforms to deliver true value to many of the Smart cities and municipalities.

Research & Development

continuous investment in R&D keeps us ahead of the curve in delivering cutting edge products and solutions. We are consistently working towards creating unique products, solutions and generating new ideas that cut across business segments and create value for our customers and our business overall.

Opportunities and Threats:

Any adverse change in the policies of the Government, Recession and other factors out of our control may further adversely affect the profitability.

The product is at once subjected to local, national and international competition.

Segment -wise or product wise performance:

Software development plays major role in companys performance. 100% of revenue is being generated out of this.

Internal Control & Adequacy:

The company has an adequate internal control system to ensure that all assets are safeguarded and protected against loss from unauthorized use or disposition. As part of continuous improvement, we have also got our company certified for ISO 9001:2015 and ISO/IEC 27001:2013 Certified.

Risk Management System:

The company manages our business risk through a strict compliance and internal control system. To ensure stringent Information security management we have ensured ISO/IEC 27001:2013 certification along with strict adherence to the policies and procedures as per the requirement.

Risk and Concerns:

Any adverse change in the financial services business or negative policy of Government will affect the companys sector adversely.

Outlook:

Building upon the core teams strengths and with a combined management experience of over 300+ Years we are propelling towards making an impact in the industries we are growing into. We believe we will make inroads not only in India but also in overseas markets as well. We are focusing on the above business segments to strengthen our overall revenues both building some of these segments organically and some through subsidiaries and also building upon years of partnerships with some of the worlds leading providers in each of these segments.

Details of significant changes in ratio as compared to the immediately previous financial year:

Description	2022-23	2021-22	Variation	Remarks
Operating Profit Margin	-0.53	-1.88	-2.16	With increased sales the losses have been reduced resulting in improvement in the ratio
Net Profit Margin	-0.63	-2.03	-2.34	With increased sales the losses have been reduced resulting in improvement in the ratio
Inventory Turnover ratio	5.43	7,049.13	100	The stock of the previous year was very miniscule and negligible. As the current year stock is significant there is a huge difference in the ratio
Interest Coverage Ratio	-6.70	-14.18	-14.65	Due to reduced losses, there is an improvement in the ratio
Current Ratio	0.50	0.48	-0.58	Not Applicable
Debt Equity ratio	-6.95	-9.30	-10.05	Sharp increase in short term debt has resulted in significant increase in Net debt, leading to worsening of the ratio
Debt Service Coverage Ratio	-0.08	-0.06	-1.48	Reduced losses have resulted in improvement in the ratio
Return on Equity Ratio	2.18	10.05	9.83	Reduced losses have resulted in improvement in the ratio
Trade Receivables turnover ratio	6.55	2.01	-1.24	More credit period was offered to push up the sales and therefore the ratio has relatively worsened
Trade payables turnover ratio	1.96	1.08	-0.73	Increased payments to suppliers had resulted in improved ratio
Net capital turnover ratio	0.19	0.12	-1.51	Not Applicable
Return on Capital employed	-1.63	-13.41	-13.54	Reduced losses have resulted in the improvement in the ratio
Return on investment	2.18	10.05	9.83	Reduced losses have resulted in the improvement in the ratio

Human Resource:

Company has adequately trained and well experienced personnel. Our employees are highly motivated and work in line of the organizational goal.

Details of any change in Return or Net Worth as compared to the immediately previous financial year:

The net worth of the company for FY 2022-23 is (63.18) Lakh and the net worth of for FY 202122 is 20.23 Lakh

Cautionary Statement:

The statements made in this report describe the Companys objectives and projections that may be forward looking statements within the meaning of applicable laws and regulations. The actual results might differ materially from those expressed or implied depending on the economic conditions, government policies and other incidental factors, which are beyond the control of the Company.