Pan Electronics (India) Ltd Management Discussions

ANNEXURE - I TO BOARDS REPORT

Pursuant to Regulation 34(3) and Para B of Schedule V of SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015 and the amendments thereof, details of the Management discussion and analysis are given below:

Industry Structure & Development

In a world of technological innovation, the electronic components industry is vital. In order to manufacture a readily available supply of electronic products that consumers now expect, it is important that the industry continues to grow and be supported by effective supply chains.

The global and domestic economic environment during the financial year 2024-25 was marked by resilience, influenced by factors such as inflationary pressures, interest rate movements, geopolitical developments, and supply chain dynamics.

In this context, the industry in which the company operates witnessed stable demand, with trends indicating innovation. Government reforms and policy support continued to play a pivotal role in shaping sectoral growth.

Opportunities and Threats:

• Emerging customer segments and digital transformation

• Government incentives and sector-specific reforms

• Global expansion and export potential

Threats:

• Economic uncertainties and inflation

• Regulatory and compliance risks

• Volatility in raw material prices

Product-wise performance

During the year under review, the Company generated revenue through selling capacitors and MMP films.

Outlook

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Electronic Components Market 2022 delivers a comprehensive overview of the crucial elements of the industry and elements such as drivers, restraints, current trends of the past and present times, supervisory scenarios, and technological growth.

The management has initiated steps to revive the company with various other business opportunities with positive economic outlook and improvement in industrial growth in forthcoming years.

Internal Control Systems

Internal control systems continued to function as effectively as in the past. Top management and the Board of Directors and the Committees thereof continue to be actively involved in ensuring that all controls work as intended.

Risks and Mitigation

The company regularly assesses risks across its operations, including financial, operational, environmental, and strategic risks.

Key risks include:

• Market Risk: Mitigated through diversification and flexible pricing.

• Credit Risk: Addressed through stringent credit appraisal systems.

• Operational Risk: Managed via robust internal controls and business continuity plans.

Human Resource Development

There have been no material developments in the Human Resource.

Outlook

The company remains cautiously optimistic for the upcoming financial year, supported by:

• Economic revival and increased consumer spending

• Strategic investments in growth areas

• Strengthening of digital and operational capabilities

The focus remains on sustainable and profitable growth in an evolving macroeconomic environment.

Cautionary Statement

This report contains forward-looking statements that involve risks and uncertainties. Actual results, performance, or achievements could differ materially from those expressed or implied due to various economic, regulatory, and operational factors.

	By Order of the Board
	PAN Electronics (India) Limited
Bangalore	SD/-
28/08/2025	GULLU GELLARAM TALREJA
	Chairman and Managing Director
	DIN 01740145