New Swan Multitech Ltd Management Discussions

INDUSTRY STRUCTURE AND DEVELOPMENT

The companys business predominantly comprises of only one segment i.e. Auto Components &Equipments. Indias auto components industrys market share has significantly expanded, led by increasing demand for automobiles by the growing middle class and exports globally. The automobile industry emerged as a shining light to catalyze Indias Gross Domestic Product (GDP) and the economy as a whole.

OPPORTUNITIES AND THREATS

There are ample opportunities for growth, particularly in the electric vehicle segment, where the government is offering incentives and subsidies to promote adoption. Over the next decade, this will lead to newer verticals and opportunities for auto component manufacturers. The development of autonomous vehicles presents an opportunity for the industry to tap into a new market segment and improve safety.

Despite advancements in electric vehicles, the majority of the industry still relies on gasoline, which is subject to price volatility. Economic downturns can impact demand for vehicles, leading to decreased sales and profitability.

COMPANY OVERVIEW & ROLE

NEW SWAN MULTITECH LIMITED established in year 2009 is part of NEW SWAN GROUP. New Swan Group since 3 decades has grown steadily under stable leadership, sound business practices and corporate culture that strive to be best in the industry.

New Swan has very strong business relations with companies from Europe, Middle East, Asia and some African countries. New Swan Multitech Limited is one of the leading& reputed manufacturer-exporter of high quality farm machineries in India. Our company established on the working of farm machinery part and then with specialized in production of farm machinery in our state of art plant with brand name SWAN AGRO. Our company is accredited by ISO, QS & TS certification for following world class management system and manufacturing world class products.

NSML under brand SWAN AGRO has diverse range of products which include Rotary Tiller, Disc Plough, Disc Harrow, Potato Planter, Potato Digger, Potato Harvester, Roto Seeder, Seed Drill, Zero Till, Mulcher, Reaper & Binder, Straw Reaper, Sub Soiler, Post Hole Digger, Trailers, Fertilizer spreader, Rotary Slasher, Baler, Combine Harvester, etc.

Since the company started the production, the sales, spare parts, and after sales service are continue to support our valued customers. Our transport network is very strong and always ready for all the continents of the world.Swan Agro is proud of being leader in quality and confidence in India.

FINANCIAL ANALYSIS (ON STANDALONE BASIS):

Revenue Break ?€“ up: (INR. in lakhs)

The net turnover of the Company has increased from 15252.16 lakhs in the 2023-24 to INR 15974.93 lakhs in the 2024-25.

Profitability/Losses:

(INR. in lakhs)

OUTLOOK

The Company continues to maintain its relatively stable and progressive growth outlook. The initiative taken by your Company for technology up gradation, reducing overheads and finance costs, improving operating parameters and optimizing operating costs will enable the company to face challenges in coming times.

RISK AND CONCERNS

The Company is exposed to external and internal risks associated with the business.

ADEQUACY OF INTERNAL CONTROL SYSTEMS

The Company has an adequate system of internal controls to ensure that transactions are properly authorized, recorded, and reported, apart from safeguarding its assets. The internal control system is supplemented by well-documented policies, guidelines and procedures and reviews carried out by the Companys internal audit function, which submits reports periodically to the Management and the Audit Committee of the Board.

SIGNIFICANT KEY FINANCIAL RATIOS

MATERIAL DEVELOPMENTS IN HUMAN RESOURCES/INDUSTRIAL RELATIONSFRONT, INCLUDINGNUMBER OF PEOPLE EMPLOYED:

The Company believes in establishing and building a strong performance and competency driven culture amongst its employees with greater sense of accountability and responsibility. The Company has taken various steps for strengthening organizational competency through the involvement and development of employees as well as installing effective systems for improving their productivity and accountability at functional levels. The Company acknowledges that its principal asset is its employees. Ongoing in-house and external training is provided to the employees at all levels to update their knowledge and upgrade their skills and abilities.

CAUTIONARY STATEMENT

Statement in this Management Discussion and Analysis report, describing the Companys objectives projections, estimates, expectations or predictions may be "Forward looking Statements" within the meaning of applicable securities laws or regulations. Actual results could differ materially from those expressed or implied. Important factors that could make a difference to the companys operations include global and Indian demand-supply conditions, cyclical demand and pricing in the Companys principal markets raw material cost and availability, changes in the Government regulations tax regimes, economic development within India and the countries within which the Company conducts business and other factors such as litigation and industrial relations.