Riddhi Siddhi Gl

Riddhi Siddhi Gluco Biols Ltd Management Discussions

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Oct 21, 2025|12:00:00 AM

Riddhi Siddhi Gluco Biols Ltd Share Price Management Discussions

Management Discussion And Analysis

Economy:

India continues to retain its status as one of the fastest growing major economies globally, backed by its robust democratic institutions, digital transformation, and increasing global integration. The GDP is estimated to grow by 7.6% in FY 2024-25, compared to 8.2% in FY 2023-24. Policy continuity and infrastructure push have helped maintain the growth trajectory. [source: www.mospi.gov.in]

The Union Budget 2024-25 emphasized fiscal prudence, sustainable development, innovation, and investment in critical sectors such as green energy, digital infrastructure, and skilling. The increased tax rebates and government capital expenditure are expected to further stimulate demand and long-term growth. It also reinforces the vision of "Viksit Bharat" by 2047.

India is working towards becoming a US $5 trillion economy, driven by strategic reforms including the Production Linked Incentive (PLI) schemes, Digital India, Start-up India, and increasing foreign direct investment (FDI) flows.

On the energy front, India continues to prioritize renewable energy, targeting 500 GW of non-fossil fuel capacity by 2030, including an aggressive push toward solar, wind, and green hydrogen.

Industry Structure and developments:

Indias wind energy sector remains one of the key contributors to renewable energy. As of 31.03.2025, the installed wind capacity stands at approx. 50.04 GW, having generated around 80.27 Billion Units during F.Y. 2024-25. [Source: https:// mnre.gov.in/]

Wind energy accounts for over 40% of Indias renewable energy mix. With technological advancements, cost efficiencies, and supportive government policies, wind power is expected to play a critical role in achieving the national clean energy goals.

The Governments continued emphasis on grid stability, ease of doing business, and state-level policy support further strengthens the investment ecosystem.

Opportunities and Threats:

Opportunities

1. Technological innovations and hybrid systems

2. Fastest Growing Segment of renewable energy resources

3. Unlimited Resources Available

4. Government Support and Favorable Policies

5. Increasing Demand of Clean Energy

Risk, Concerns and Threats

1. Variability in Wind Patterns

2. Climatic uncertainties

3. Availability of grid from State Electricity Board during wind season

4. High Investment and Operating Costs

5. Lingering effects of global disruptions

Segment-wise Performance:

At the end of F.Y. 2024-25 the total capacity of wind mills stood at 31.65 MW located in Tamil Nadu (30.00 MW) and Gujarat (1.65 MW). Energy generated from the wind mills were sold to the respective state level distribution companies. Total energy generated during the year under review was 32.49 million units as against 40.57 million units in the previous year yielding revenue of 1,072.17 Lakhs against Rs. 1,332.11 Lakhs in the previous year. Revenue from trading business stood at Rs. 8,065.82 Lakhs during the year under review as against Rs. 20,761.91 Lakhs during the previous reporting period.

Outlook:

Indias commitment to green and clean energy remains strong. With the global shift towards decarbonization and Indias own net-zero ambitions, the outlook for renewable energy particularly wind is highly promising.

The Company is optimistic about leveraging its strengths and expanding its presence in the clean energy value chain.

Internal control systems and their adequacy:

The Company continues to maintain robust internal control mechanisms aligned with industry practices. Internal audits and periodic reviews by the Audit Committee ensure adherence to policies and regulatory compliance.

The Company remains committed to transparency, integrity, and operational efficiency.

Discussion on financial performance with respect to operational performance:

During F.Y. 2024-25, the Companys total revenue (including other income) stood at Rs. 21,194.16 Lakhs (Rs. 33,769.43 Lakhs in F.Y. 2023-24). Net profit improved to Rs. 9,411.91 Lakhs from Rs. 9,222.94 Lakhs in the previous year.

Material developments in Human Resources/Industrial Relations front, including number of people employed:

The Company recognizes human capital as strategic resource and believes empowerment of employees across the organization in order to achieve organizational effectiveness. There have been no material developments/significant changes in Human Resource during the year under review. The companys industrial relations remained cordial during the year. Your Directors acknowledge the support and cooperation from employees at all levels. As on 31.03.2025 there are 11 employees on the records of the Company.

Details of any change in return on net worth and key financial ratio as compared to the immediately previous financial year along with a detailed explanation thereof:

Return on Net worth for Financial Year 2024-25 stood at 5.65% as compared to 5.98% for Financial Year 2023-24. The same is decreased on account of lower revenue from operations during the F.Y. 2024-25.

Details of Significant Changes (i.e., Change of 25% or more as compared to the immediately previous financial year) in key financial ratios, along with detailed explanations therefore including:

Ratios	Current Period	Previous Period	% Variance	Reason for variance
Current Ratio	4.47	6.13	-27.04%	Ratio is improved on account of increase in profit.
Debt-equity Ratio	0.05	0.03	71.60%	Increase on borrowing due to higher inventory at the end of the year
Inventory Turnover	5	6,087	-99.92%	Decreased revenue from operations with a corresponding change in average inventory resulted in higher inventory at end of the year
Interest Coverage Ratio	12.88	14.80	-13.00%	The Interest Coverage Ratio declined during the year, primarily due to an increase in finance costs on account of higher shortterm borrowings.
Trade Receivables Turnover Ratio	6.92	8.23	-15.88%	Trade Receivable Turnover Ratio has reduced, primarily on account of a decline in revenue from operations. The lower level of sales has resulted in correspondingly lower outstanding trade receivables and net working capital, thereby leading to a reduction in this ratio.
Operating Profit Ratio	3.24%	2.45%	32.00%	The operating profit margin improved from 2.45% in the previous year to 3.24% in the current year. The improvement was primarily on account of a reduction in depreciation expense, coupled with a reduction in other operating expenses.
Net Profit Ratio	103.00%	41.74%	146.74%	This ratio is improved on account of Decrease in revenue without corresponding change in profit

Cautionary Statement:

The statements in this report on Management Discussion and Analysis describing the Companys objectives, projections, estimates, expectations or predictions may be "forward looking statements" within the meaning of applicable laws or regulations. These statements are based on certain assumptions and expectations of future events. Actual results could differ materially from those expressed or implied.

	For and on behalf of the Board of Directors of
	Riddhi Siddhi Gluco Biols Limited
	Ganpatraj L. Chowdhary	Siddharth Chowdhary
Date: 13/08/2025	Managing Director	Whole-time Director
Place: Ahmedabad	DIN:00344816	DIN:01798350

Riddhi Siddhi Gluco Biols Ltd Management Discussions

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