Richa Info Systems Ltd Management Discussions

Your directors have pleasure in presenting the Management Discussion and Analysis Report for the year ended on 31st March, 2026.

The Information Technology (IT), Electronics and Digital Solutions industry continued to remain an important contributor to economic growth and digital transformation during FY 2025-26. The industry witnessed sustained demand for technology-enabled products and services across Government, Education, Defence, Public Sector Undertakings (PSUs) and private enterprises.

The increasing adoption of digital technologies, automation, cloud computing, artificial intelligence, data analytics, cybersecurity and smart infrastructure continued to drive technology spending. Organisations increasingly focused on improving operational efficiency, enhancing customer experience, strengthening security and developing scalable digital infrastructure.

The electronics manufacturing ecosystem in India also continued to expand, supported by increasing domestic demand, government initiatives promoting electronics manufacturing and growing emphasis on localisation and domestic value addition. The growing adoption of digital classrooms, smart displays, surveillance systems, digital kiosks and technology-enabled infrastructure is expected to create opportunities for manufacturers and technology solution providers.

The IT services industry continued to evolve towards higher-value services, including software development, cloud and IT infrastructure, cybersecurity, enterprise applications, digital transformation and technology-enabled business solutions. Customers increasingly preferred technology partners capable of providing integrated solutions and measurable business outcomes.

The industry remained highly competitive, with established manufacturers, IT service providers, system integrators, specialist technology companies and emerging digital businesses competing across various product and service categories. Pricing pressure, technological changes, availability of skilled resources and the need for continuous innovation remained key characteristics of the industry.

Our Company was incorporated as "Richa Info Systems Private Limited" at Gandhinagar on October 1, 2010, under the provisions of the Companies Act, 1956 vide certificate of incorporation issued by the Assistant Registrar of Companies, Gujarat, Dadra and Nagar Havelli. Subsequent to the conversion of our Company into public limited company, the name of our Company was changed to "Richa Info Systems Limited" and fresh certificate of incorporation dated September 14, 2021 was issued by the Registrar of Companies, Ahmedabad.

We began our journey with office automation products and have now evolved into a leading assembler and manufacturer of innovative solutions. Today, our core focus lies in Interactive Flat Panels and Smart Televisions, which form the main products of our company. Alongside these, we also provide a wide range of advanced offerings such as Mobile Accessories, Interactive Boards, Digital Podiums, Digital Kiosks, and CCTV Cameras, catering to esteemed customers across Government, PSUs, Education, and Defence sectors. We are providing various products through the Government e-Marketplace (GeM). We extend our expertise to IT infrastructure services, web designing, software development, ERP and app solutions, and IT security, thereby offering end-to-end technology support.

The Companys strategy is focused on building a diversified technology business by combining its product manufacturing and assembly capabilities with its IT services expertise.

The key areas of focus include:

Strengthening the Companys position in Interactive Flat Panels and Smart Televisions.
Expanding the range of technology-enabled products and solutions.
Enhancing manufacturing and assembly capabilities.
Increasing participation in Government, PSU, Education and Defence opportunities.
Expanding the Companys presence on GeM and other institutional procurement channels.
Developing integrated hardware, software and IT infrastructure solutions.
Strengthening capabilities in software development, ERP, applications and IT security.
Improving product quality, operational efficiency and customer service.
Exploring opportunities arising from digitalisation, smart technologies and increasing technology adoption.

1. Growing Technology Adoption - Increasing reliance on technology as a key enabler of business growth across industries.
2. Expansion of Online Education - Rapid acceptance and accelerated adoption of digital learning platforms creating new growth avenues.
3. Shift to Remote Work - The pandemic has transformed work models, driving demand for remote working solutions, collaboration tools, and secure IT infrastructure.

The Companys business is exposed to various risks associated with the electronics, technology and IT services sectors.

Technological Risk: Rapid technological developments can result in shorter product life cycles and require continuous product upgrades and innovation.

Competitive Risk: The Company operates in competitive markets with the presence of domestic and international manufacturers, assemblers, IT companies and system integrators.

Supply Chain Risk: Availability, pricing and timely supply of electronic components and other raw materials may affect production costs and delivery schedules.

Pricing Pressure: Competitive tendering and institutional procurement may result in pricing pressure and may impact operating margins.

Procurement and Tender Risk: A significant portion of opportunities in Government and institutional markets may depend on tender processes, procurement cycles and applicable eligibility requirements.

Cybersecurity Risk: The Companys IT services and digital solutions are exposed to evolving cybersecurity threats, requiring continuous attention to information security and data protection.

Working Capital Risk: Government and institutional orders may involve longer collection cycles and therefore require effective working-capital management.

The Company seeks to mitigate these risks through diversification of its product and customer portfolio, strengthening supplier relationships, maintaining quality standards, monitoring market developments and improving operational and financial controls.

Your Company maintains a system of internal controls designed to provide reasonable assurance regarding the following:

Effectiveness and efficiency of operations
Prevention and detection of frauds and errors
Effective use of resources
Adherence to applicable Accounting Standards and policies
Timely preparation of reliable financial information

Internal controls and governance process are duly reviewed for their adequacy and effectiveness on periodical basis.

Going forward, the Company intends to pursue a balanced growth strategy focused on product expansion, customer diversification, manufacturing capabilities, technology adoption and service enhancement.

The Company will continue to strengthen its presence in Interactive Flat Panels and Smart Televisions while expanding its portfolio of digital products, surveillance solutions, digital infrastructure and related technology offerings.

The Company also intends to strengthen its participation in Government and institutional procurement through GeM and other appropriate channels. At the same time, the Company will continue to develop its IT infrastructure, web designing, software development, ERP, application and IT security capabilities.

The Companys objective is to establish itself as an integrated technology solutions provider capable of offering both hardware products and supporting software and IT services.

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

During the year under review, your Company has achieved a gross turnover of 14,283.72 Lakhs as against 12,772.89 Lakhs in the previous financial year, representing an increase of 1,510.83 Lakhs. The Company has earned a net profit of 748.09 Lakhs compared to 523.80 Lakhs in the previous year, marking an increase of 224.29 Lakhs. Key aspects of the financial performance of your Company for the current financial year 2025-26 along with the previous financial year 2024-25 are tabulated below in the Financial Results.

Statements in this Management Discussion and Analysis describing the Companys objectives, projections, estimates, expectations or future plans may constitute forward-looking statements. These statements are based on the Companys current expectations and assumptions and are subject to various risks, uncertainties and other factors that may cause actual results, performance or achievements to differ materially from those anticipated. The Company undertakes no obligation to publicly update or revise any forward-looking statements, except as may be required under applicable laws and regulations.