Rander Corporation Ltd Management Discussions

INDIAN ECONOMIC OVERVIEW

Indias Non-Banking Financial Companies (NBFCs) are poised for significant growth, driven by a robust economic landscape and increasing demand for credit. NBFCs are projected to be the primary drivers of Indias financial sector growth, with profits advancing faster than traditional banks. This expansion is fueled by their role in financial inclusion.

INDUSTRY STRUCTURE AND DEVELOPMENT

The Company is engaged in Financing and Infrastructure Development business. In a year marked by volatility in global financial markets, the investors confidence has seriously impacted. The Company now looks to exit all the real estate ventures that it has a stake in and liquidate the assets so that it can expand its NBFC business where there is huge potential.

FINANCIAL PERFORMANCE WITH RESPECT TO OPERATIONAL PERFORMANCE

Particulars	Year Ended 31-Mar-25	Year Ended 31-Mar-24
Total income	140.79	398.86
Expenditure (including depreciation)	123.06	153.67
Profit/ (Loss) before taxation	17.73	245.18
Tax Expenses:
Current Tax	71.99	59.67
Deferred Tax
Profit/ (Loss) after tax	-54.25	185.51
Earnings per equity share (Face Value Re. 10/- each)
Basic	-0.44	1.5
Diluted	-0.44	1.5

OUTLOOK

In light of steady increase in population & development of outside Mumbai area, the Company is Cautiously Optimistic. About increase in demand for residential and commercial places and therefore Plans to venture in New Business Segments and therefore would strive to meet its Performance Targets And Increase Shareholders value. The Company is on an accelerated growth path. With a solid foundation and sound business strategy, the Company has embarked on the second phase of growth. It will continue to focus on timely completion of its projects which will further strengthen its cash flows. The outlook for FY2026 suggests continued growth, albeit at a slightly moderated pace, with profitability potentially facing headwinds from increasing credit costs, Despite these challenges, the sector remains resilient with sound capital positions and a stable outlook.

INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY

The Company continues to maintain robust internal control systems to ensure the accuracy of financial reporting, operational and strategic objectives achievement, and compliance with laws and regulations. Leveraging an Enterprise Resource Planning (ERP) system, the company standardizes processes and automates operations. These internal control systems aim to ensure efficient asset acquisition, utilization, and protection. Additionally, the Company maintains a strong risk management system to assess and mitigate risks promptly, ensuring timely reporting of any potential issues.

Every quarter, the significant audit findings, the corrective steps recommended and their implementation status are presented to the Audit Committee.

OPPORTUNITIES, RISKS, CONCERNS AND THREATS

In view of the legalized operation of the Company and limited alternatives to which the Companys resources can be put to use, opportunities and threats cannot be quantified and enlisted in details. Since the Industry deals with the basic necessity of the people, the Company does not expect/foresee exceptional rise/fall in demand for residential and commercial places. Shortly, risk and concerns, if any, cannot be predicted with certainty. However, any adverse change in government policy and global economic changes can affect the performance of the Company.

MATERIAL DEVELOPMENT IN HUMAN RESOURCES / INDUSTRIAL RELATION FRONT

Human resource is considered as key to the future growth strategy of the Company and looks upon to focus its efforts to further align human resource policies, processes and initiatives to meet its business needs. The Company makes efforts that employees are abreast of technological and technical developments. Industrial relations at all the units and locations are cordial. All employees, from a new joiner to a tenured one, are provided tailored learning opportunities as per their role, level, and specific focus area. Employees are equally treated and provided opportunities irrespective of gender, marital status, religion, race/caste, colour, age, ancestry, nationality, language, ethnic origin, socio-economic status, physical appearance, disability, sexual orientation, gender and expression.

FORWARD LOOKING AND CAUTIONARY STATEMENT

Statements in this report pertaining to the Companys objectives, projections, estimates, exceptions and predictions are forward-looking statements subject to the applicable laws and regulations. These statements may be subject to certain risks and uncertainties. Important factors that could make a difference to the Companys operations include changes in

Government regulations and tax regime, economic developments within India and abroad, financial markets, etc. The Company assumes no responsibility in respect of forward-looking statements that may be revised or modified in future on the basis of subsequent developments, information or events.

The financial statements are prepared in accordance with the Indian Accounting Standards (Ind AS) notified under Section 133 of the Companies Act, 2013 read with Companies (Accounts) Rules, 2014. The management of the Company has used estimates and judgments relating to the financial statements on a prudent and reasonable basis, in order that the financial statements reflect a true and fair manner, the state of affairs and profit / loss for the year. The narrative on our financial condition and result of operations should be read together with the notes to the financial statements included in the annual report.

Key Financial Ratios

Ratios	2024-25	2023-24	Remarks
Debtors Turnover	2.70	3.22	Receivables have increased compared to last year
Interest Coverage Ratio	NA	NA	No corporate debt
Current Ratio	5.74	4.74	Increased as compared to last year
Debt Equity Ratio	0.01	0.01	Company is almost debt free
Operating Profit Margin (%)	12.6%	61.5%	Similar to last year
Net Profit Margin	-38.45%	46.51%	Due to last year tax expenses recorded this year
Return on Net Worth	0.78%	10.75%	NBFC had recovered a bad debt last year