Raymed Labs Ltd Management Discussions

OVERVIEW OF GLOBAL IMPACT:

According to industry estimates, the global flexible packaging market was valued at around USD 276.65 billion in FY 2023 24 and is projected to surpass USD 485.99 billion by FY 2033 34, expanding at a CAGR of 5.8% during the forecast period 2024 25 to 2033 34. Flexible packaging refers to solutions made from easily yielding materials such as plastics, films, aluminum foil, and paper, which can be shaped into pouches, bags, wraps, and sachets. The sector is a vital part of the global packaging industry, catering to diverse end-use segments such as food and beverages, pharmaceuticals, personal care, household products, and industrial applications. Its importance lies in offering lightweight, cost-effective, and sustainable alternatives to traditional rigid packaging.

Several factors are driving the growth of the flexible packaging market in FY 2024 25 and beyond. Changing consumer lifestyles and rising demand for convenient, portable, and portion-controlled packaging in the food and beverage sector remain key growth enablers. The global focus on sustainability is encouraging adoption of recyclable, biodegradable, and eco-friendly materials, with companies investing heavily in green innovations. The rapid growth of e-commerce and organized retail is further fueling the need for durable, lightweight packaging that ensures product safety while reducing logistics costs. In addition, advancements in barrier films, digital printing, and smart packaging technologies are enhancing product shelf life, consumer engagement, and brand visibility.

The flexible packaging sector also benefits from the expansion of the healthcare and pharmaceutical industries, where demand for blister packs, pouches, and sterile packaging is steadily increasing. Emerging markets in Asia-Pacific, Latin America, and Africa are witnessing higher consumption of packaged goods, supported by urbanization, rising disposable incomes, and growing retail infrastructure.

In light of these strong industry prospects and growth opportunities, the new management of the Company has decided to shift its business activities from pharmaceuticals to flexible packaging and trading, aligning its operations with one of the fastest-growing and most sustainable sectors of the global economy.

OPPORTUNITIES, CHALLENGES AND OUTLOOK

Opportunities

The flexible packaging sector offers strong growth potential driven by:

a. Rising demand for lightweight, portable, and cost-effective packaging in food & beverages and

FMCG.

b. Increasing adoption of eco-friendly, recyclable, and biodegradable materials aligned with global sustainability trends.

c. Rapid expansion of e-commerce and organized retail, boosting the need for durable and efficient packaging.

d. Growing applications in pharmaceuticals and healthcare, particularly in sterile and safe packaging solutions.

e. Emerging markets such as Asia-Pacific, Latin America, and Africa witnessing higher consumption of packaged goods.

Challenges

a. Despite its prospects, the industry faces certain challenges: b. Fluctuating raw material prices of plastics, films, and aluminum. c. Environmental concerns and regulatory pressures around single-use plastics. d. High competition and pricing pressures from both domestic and international players. e. Need for continuous investment in R&D and technology to meet evolving consumer and sustainability demands.

Outlook

The flexible packaging industry is expected to sustain robust growth, with a projected CAGR of 5.8% from FY 2024 25 to FY 2033 34. With its inherent advantages of flexibility, cost-efficiency, and sustainability, it is set to remain one of the fastest-growing segments in the global packaging market.

In line with this positive trajectory, the Companys strategic shift from pharmaceuticals to flexible packaging and trading is expected to position it strongly in a high-potential industry, aligning operations with long-term growth and value creation opportunities.

DISSCUSSION ON FINANCIAL PERFORMANCE WITH RESPECT TO OPERATIONAL PERFORMANCE

The financial statements have been prepared in accordance with the requirements of the Companies Act, 2013 and applicable accounting standards issued by the Institute of Chartered Accountants of India. The details of the financial performance of the Company are appearing in the Balance Sheet, Profit & Loss Accounts and other financial statements forming part of this annual report.

INTERNAL FINANCIAL CONTROL SYSTEM

Given the magnitude and nature of its business, the Company has maintained sound and commercial practice with an effective internal control system. The system ensures that all transactions are authorized, recorded and reported correctly to safeguard the assets of the Company and protect them from any loss due to unauthorized use or disposition. The adequate internal information system is in place to ensure proper information flow for the decision- making process. The Company also has well-established processes and clearly defined roles and responsibilities for people at various levels. The control mechanism also involves well documented policies, authorization guidelines commensurate with the level of responsibility and standard operating procedures specific to the respective businesses, adherence to which is strictly ensured. Internal audit is carried out frequently to create awareness and to take corrective actions on the respective units or areas, which need rectification. These reports are then reviewed by the "Management Team" and the "Audit Committee" for follow-up action.

HUMAN RESOURCE DEVELOPMENT

The Company regards its human resources as amongst its most valuable assets and proactively reviews policies and processes by creating a work environment that encourages initiative, provides challenges and opportunities and recognizes the performance and potential of its employees attracting and retaining the best manpower available by providing high degree of motivation. Your Company believes in trust, transparency & teamwork to improve employees productivity at all levels.

DISCLOSURE OF ACCOUNTING TREATMENT

While preparation of financial statements, a relevant Accounting Standard treatment has been

followed.

CAUTIONARY STATEMENT

The Management Discussion and Analysis Report containing your Companys objectives, projections, estimates and expectation may constitute certain statements, which are forward looking within the meaning of applicable laws and regulations. The statements in this management discussion and analysis report could differ materially from those expressed or implied. Important factors that could make a difference to the Companys operation include raw material availability and prices, cyclical demand and pricing in the Companys principal markets, changes in the governmental regulations, tax regimes, forex markets, economic developments within India and the countries with which the Company conducts business and other incidental factors.

On Behalf of the Board of Directors

FOR CRESANTO GLOBAL LIMITED

(formerly known as Raymed Labs Limited)

Sd/-

(Prashant Nathmal Bajaj) Managing Director DIN: 06634046 Date: 01 st August, 2025 Place: Mumbai