On Door Concepts Ltd Management Discussions

Pursuant to regulation 34(2) (e) of the Securities Exchange Board of India (Listing Obligations & Disclosure requirements) Regulation,2015 the Board of Directors are pleased to present the Management Discussion and Analysis report for the financial year ended March 31, 2026.

1. BUSINESS OVERVIEW

On Door Concepts Limited is engaged in the business of retail trading of grocery, daily essentials, fresh produce and FMCG products through an omni-channel business model. The Companys operations comprise company-owned company-operated stores (COCO), franchise stores, e-commerce platform and B2B and B2C operations. The Company operates primarily in India and its business activities are principally concentrated in the retail trading segment.

The Companys franchise model enables franchise operators to operate stores using the Companys brand, systems and product range. Under the franchise arrangement, the Company supplies goods to franchise operators and retains primary inventory risk, while exercising control over pricing, product range, product quality and compliance. Revenue from franchise stores is recognized in accordance with the applicable revenue recognition principles.

During FY 2025-26, the Company continued to focus on strengthening its omni-channel retail model, improving product availability, maintaining an appropriate product mix and enhancing operational efficiency across its retail and distribution operations.

2. INDUSTRY STRUCTURE AND DEVELOPMENTS

The retail sector continues to evolve with changing consumer preferences, increasing adoption of digital commerce and growing demand for convenience, product availability and competitive pricing. The grocery and FMCG retail segment remains characterized by a combination of traditional retail, organized retail, e-commerce and hybrid/omni-channel models.

In this environment, the Companys omni-channel model provides an opportunity to serve customers through multiple channels, including company-owned stores, franchise stores, e-commerce and B2B and B2C operations. The Companys business model is therefore positioned to address varying customer preferences while enabling the Company to expand its market reach through multiple distribution formats.

The Company believes that continued focus on product availability, customer convenience, operational efficiency and appropriate use of its physical and digital retail channels will remain important factors in sustaining its growth.

3. EXPANSION AND FUTURE PROPOSAL

The Company remains focused on achieving sustainable and profitable growth by strengthening its presence in the retail sector and expanding its omni-channel business model. Going forward, the Company intends to expand its retail footprint through a balanced combination of company-owned stores, franchise stores and e-commerce channels, with emphasis on markets offering attractive growth potential.

The Company proposes to strengthen its existing operations by increasing product assortment, improving supply-chain and inventory management, enhancing customer experience and leveraging technology and digital platforms to improve operational efficiency and market reach.

The Company also intends to further develop its B2B and B2C business channels and strengthen its franchise network, thereby enabling wider geographical penetration with an efficient capital deployment model. Expansion plans will be undertaken in a phased and prudent manner, taking into consideration market conditions, customer demand, availability of suitable locations, working capital requirements and overall financial viability.

Management remains committed to improving operating efficiencies, strengthening the Companys brand presence and creating long-term value for all stakeholders. The Company will continue to evaluate new business opportunities and expansion avenues as and when they become commercially viable, while maintaining appropriate financial and operational discipline.

4. FINANCIAL PERFORMANCE WITH RESPECT TO OPERATIONAL PERFORMANCE

The financial performance of the Company for the year 2025-26 is described in the Directors Report under the head Financial Result.

The Company continued to operate its retail business through an integrated omni-channel model comprising company-owned stores, franchise stores and e-commerce operations.

The Companys principal business activity is retail trading of grocery, daily essentials, fresh produce and FMCG products. As all products and services belong to the same broad category, are sold through similar distribution channels and are subject to similar risks and returns, the Company has assessed its business as comprising a single primary reportable segment, i.e. Retail Trading. There is no separately reportable secondary geographical segment, as operations are primarily concentrated within India.

The Company maintained focus on product availability, customer service, operational efficiency and expansion of its retail and franchise network.

5. OPPORTUNITIES AND THREATS:

OPPORTUNITIES:

Opportunities highlight the key short, medium and long-term objectives of a brand, based on a review of a companys sales force, market research and performance. Industry insights, the relationships between us and our suppliers, and seasonal events are all powerful sales drivers and form the basis for growth. Major opportunities for the Company are as follows:

i. Expansion of the retail network through company-owned and franchise formats.

ii. Growth of e-commerce and digital retail, enabling wider customer reach.

iii. Expansion of the omni-channel model, integrating physical stores and digital platforms.

iv. Increasing demand for organized retail in grocery and daily essentials.

v. Improvement in product assortment and private-label opportunities, subject to managements business strategy.

vi. Improved utilization of technology and data analytics for inventory management, customer engagement and operational efficiency.

vii. Geographical expansion into new markets, subject to commercial viability.

THREATS:

Threats can be both internal and external, and are classified as anything that might have an adverse effect on the revenue growth in store. Major Threats/Challenges to the Company are as follows:

Technology dependency

Competition from local kirana stores and national retail chains

Dependence on supply chain reliability for fulfillment operations

Regulatory changes impacting SME compliance

6. RISKS AND CONCERNS

The Companys business is exposed to various operational, market and regulatory risks. The key risks and mitigation measures are as follows:

Competitive Risk: The retail sector is highly competitive, with organized retailers, e-commerce platforms and local retailers competing on pricing, product range, availability and customer service. The Company focuses on competitive pricing, customer service and operational efficiency to maintain its market position.

Inventory Risk: Maintaining adequate inventory across product categories is essential for business continuity. Slow-moving or obsolete inventory may impact margins and working capital. The Company monitors inventory levels and product movement to ensure efficient inventory management.

Supply Chain Risk: Disruptions in sourcing, transportation or logistics may affect product availability and operating costs. The Company monitors procurement and supply-chain processes to minimize such disruptions.

Margin Risk: Fluctuations in procurement costs, promotional expenses, discounts and competitive pricing may impact margins. The Company focuses on prudent procurement, cost control and margin monitoring.

Technology and Cybersecurity Risk: The Companys digital and omni-channel operations are dependent on technology systems. System disruptions and cybersecurity incidents may affect operations and customer confidence. Appropriate technology and information-security controls are maintained to mitigate these risks.

Regulatory Risk: Changes in taxation, labour, consumer protection, food, retail and other applicable regulations may impact operations. The Company monitors regulatory developments and ensures timely compliance.

Working Capital Risk: Adequate working capital is required to support inventory and day-to-day operations. The Company monitors inventory, receivables and cash flows to maintain efficient working capital management.

The Management continuously monitors these risks and takes appropriate measures to mitigate their potential impact on the Companys operations and financial performance.

7. INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY

The Company has instituted robust internal control mechanisms in place, commensurate with its size and nature of operations to ensure compliance with statutory obligations, reliability of financial reporting, and safeguarding of assets. These controls are periodically reviewed and tested by both internal and external auditors. The Audit Committee also supervises control effectiveness and ensures corrective actions where required.

8. CHANGES IN KEY FINANCIAL RATIOS:

Pursuant to provisions of Regulation 34 (3) of SEBI (LODR) Regulation, 2015 read with Schedule V part B (1) details of changes (i.e., change of 25% or more as compared to the immediately previous financial year) in Key Financial Ratios is given hereunder:

Ratio Analysis	F.Y 2025-26	F.Y 2024-25	Change %	Reason for change if +/- 25%
Return on Equity	10.24%	8.11%	26.26%	Improvement driven by higher PAT of INRs. 1077.59 Lakhs.
Inventory Turnover Ratio	5.82%	6.07%	-4.12%	NA
Trade Receivables Turnover Ratio	18.66%	16.87%	10.61%	NA
Trade Payables Turnover Ratio	32.02%	23.07%	38.79%	Increase due to higher pur- chases and faster payment cycle.
Current Ratio	3.13%	2.68%	16.79%	NA
Debt Equity Ratio	0.09	0.11	-18.18%	NA
Net Capital Turnover Ratio	5.41%	5.55%	-2.52%	NA
Net Profit Ratio	3.36%	2.85%	17.89%	NA
Return on capital Employed	10.44%	7.45%	40.13%	Significant improvement driven by higher EBIT.
Return on Investment	--	--	--	NA

9. MATERIAL DEVELOPMENT IN HUMAN RESOURCES AND INDUSTRIAL RELATION FRONT INCLUDING NUMBER OF PEOPLE EMPLOYED

Human resources continue to be an important component of the Companys operations, particularly considering the Companys retail stores, franchise operations, supply-chain activities and e-commerce business. The Company continues to focus on maintaining an efficient, capable and service-oriented workforce to support its business operations and future growth.

During FY 2025-26, the Company maintained cordial and harmonious relations with its employees. There was no material disruption on account of industrial relations during the year under review, and the management continued to maintain a positive working environment.

The Company places emphasis on employee capability, operational discipline, customer service, teamwork and development of skills required for its retail and digital operations. The Company also continues to take appropriate measures for employee welfare and compliance with applicable labour and employment-related laws.

During FY 2025-26, employee benefit expenses amounted to INRs. 5.73 crore, as compared to INRs. 5.88 crore in FY 2024-25.

As at 31 March 2026, the Company had 225 employees on its rolls.

The Company believes that its human resources are adequately aligned with its present scale of operations and remains committed to strengthening its workforce in line with its expansion plans and operational requirements.

10. DISCLOSURE OF ACCOUNTING TREATMENT

In the Preparation of Financial Statements, the Company has followed accounting principles generally accepted in India.

11. CAUTIONARY STATEMENT

Statements in this Management Discussion and Analysis describing the Companys objectives, expectations, estimates or future outlook may constitute forward-looking statements within the meaning of applicable securities laws and regulations. These statements are based on certain assumptions and expectations of future events and are subject to risks and uncertainties. Actual results may differ materially from those expressed or implied due to various factors, including changes in market conditions, consumer demand, competition, regulatory environment, economic conditions, supply-chain factors and other risks associated with the Companys business.

The Company assumes no obligation to publicly update or revise any forward-looking statements, except as may be required under applicable laws and regulations.

ON BEHALF OF BOARD OF DIRECTORS ON DOOR CONCEPTS LIMITED

Sd/-	Sd/-
MR. NARENDRA SINGH BAPNA	MR. PRAMOD RAMDAS INGLE
CHAIRMAN & MANAGING DIRECTOR	WHOLE TIME DIRECTOR
DIN:03201953	DIN:03201939
PLACE: BHOPAL
DATE: 01.09.2026