S A Tech Software India Ltd Management Discussions

Fiscal Year 2024-25 Strategic Overview and Market Positioning

Executive Summary: A Year of Transformation and Strategic Execution

Fiscal Year 2024-25 represents a landmark period in the corporate journey of SA Tech Software India Limited (the Company). It was a year defined by the successful execution of key strategic initiatives, culminating in a robust financial performance that underscores the resilience and efficacy of our business model. The year was marked by three pivotal achievements: our successful Initial Public Offering (IPO) and subsequent listing, strong top- line and bottom-line growth despite a challenging global macroeconomic environment, and strategic expansion into new service verticals that fortify our long-term growth prospects.

The Companys financial results for the year reflect strong operational discipline and sustained demand for our specialized services. Revenue from Operations for the fiscal year ended March 31, 2025, stood at Rs9,950 lakhs (Rs99.50 Crores), a significant increase from the previous year. Net Profit for the same period reached Rs744 lakhs (Rs7.44 Crores) demonstrating enhanced profitability and operational efficiency. This performance is particularly noteworthy given the prevailing economic headwinds in key global markets.

A defining moment of the fiscal year was the Companys successful listing on the NSE EMERGE platform on August 2, 2024. This transition from a privately held entity to a publicly listed company not only strengthened our capital base but also significantly enhanced our corporate visibility and governance framework. The capital raised through the IPO has been strategically deployed to fortify our balance sheet and fund future growth, positioning the Company for its next phase of expansion. This MD&A provides a comprehensive overview of our performance, the industry landscape, and our strategic priorities as we continue to build sustainable value for our stakeholders.

Our Positioning: A Market-Driven Enabler of Global Capability Centers

SA Tech has carved a distinct and defensible market position as a specialized, end-to-end partner for global enterprises seeking to establish, scale, and optimize high-impact Global Capability Centers (GCCs) in India. Our value proposition is built on a deep understanding of the strategic imperatives driving the GCC movement—a shift from cost arbitrage to value creation, innovation, and global talent leverage. We differentiate ourselves through a business model founded on three strategic pillars:

1. AI-First Delivery: We embed Artificial Intelligence (AI) not merely as a service offering but as a foundational element of our operational and client delivery frameworks. This AI-first approach enables us to drive superior efficiency, predictability, and innovation for our clients, ensuring their GCCs are not just operational but are future-ready strategic assets. 3

2. Talent Leadership: Our strategy is intrinsically linked to Indias globally recognized technology talent ecosystem. We provide our clients with access to a deep pool of specialized, high-demand skills in critical domains such as AI, cloud computing, data science, and cybersecurity. By acting as a gateway to this world-class talent, we empower our clients to accelerate their digital transformation agendas.

3. Governance and Compliance: In an era of heightened regulatory scrutiny and data sensitivity, we have made trust and reliability the cornerstones of our service delivery. Our commitment to governance is evidenced by a robust framework of internationally recognized certifications and standards. This focus on compliance-driven operations provides our clients with the assurance needed to entrust us with their mission-critical functions, positioning SA Tech as a partner of choice for risk-averse global enterprises.

The Companys journey to the public markets was the result of a deliberate, multi-year strategy focused on strengthening its financial foundation. An analysis of historical financial data reveals a concerted effort to deleverage the balance sheet and enhance fiscal prudence. The Debt-Equity Ratio, a key indicator of financial leverage, was systematically reduced from a high of 2.95 in FY 2022 to 1.10 by the end of FY 2024. This preparatory deleveraging was a critical step in making the Company an attractive proposition for the public markets. Subsequently, the Objects of the Issue outlined in the IPO prospectus explicitly prioritized the Prepayment or repayment of all or a portion of certain outstanding borrowings. The full utilization of IPO proceeds for this purpose further solidified our balance sheet. This disciplined sequence—strengthening the financial health pre- IPO and then using public funds to further fortify it—demonstrates a clear and prudent financial management strategy, which is fundamental to building long-term investor confidence.

The Global Capability Center Landscape: An Industry Analysis Industry Structure: Indias Ascendancy as the Worlds GCC Hub

The Global Capability Center model has evolved into a cornerstone of global business strategy, and India stands at the epicenter of this transformation. The country has cemented its status as the worlds preeminent destination for GCCs, transitioning from a location for cost optimization to a global hub for technology, innovation, and high-value services. The scale of Indias GCC ecosystem is a testament to its strategic importance. The nation is currently home to over 1,800 GCCs, which collectively employ a highly skilled workforce of nearly 2 million professionals.

The economic contribution of this sector is substantial and growing. The market size of the Indian GCC industry was estimated at approximately $64.6 billion in 2024. Industry projections indicate a robust growth trajectory, with forecasts suggesting the market will expand to $110 billion by 2030. More ambitious long-term forecasts suggest the sectors contribution to Indias economy could reach between $470 billion and $600 billion by 2030. This expansive and growing addressable market provides a fertile ground for specialized enablers like SA Tech to thrive and capture significant value. The ecosystem is supported by a confluence of factors, including a vast and deep pool of STEM talent, competitive cost structures, a rapidly advancing digital infrastructure, and a stable and supportive regulatory framework.

Key Industry Developments: The Strategic Evolution of GCCs

The narrative surrounding GCCs has undergone a fundamental transformation over the past decade. Initially established as offshore captive centers focused on leveraging labor arbitrage for routine IT and business process services, GCCs in India have moved decisively up the value chain. Today, they are increasingly recognized as strategic hubs for innovation, Engineering Research & Development (ER&D), and digital engineering, playing a pivotal role in the global operations of multinational corporations.

This evolution is driven by the global imperative for digital transformation. Multinational corporations are no longer just offshoring back-office functions; they are insourcing complex, high-value work into their Indian GCCs. These centers are now at the forefront of developing and managing critical business functions, including global product engineering, advanced data analytics, AI-driven automation, and end-to-end customer experience design.

The adoption of next-generation technologies such as artificial intelligence, cloud computing, data science, and cybersecurity is the primary catalyst for this strategic shift, positioning Indian GCCs as indispensable partners in driving global business outcomes.

Emerging Trends Shaping the Future of GCCs

The GCC landscape is dynamic, shaped by several powerful trends that are redefining work, talent, and technology. SA Tech is strategically aligned to capitalize on these shifts.

• Hybrid and Remote Work Models: The global normalization of distributed workforces has compelled GCCs to adapt. This trend necessitates the implementation of robust digital infrastructure, seamless collaboration platforms, and security protocols that can support teams working across multiple geographies, a core competency for GCC enablers.

• AI and Automation Integration: Artificial Intelligence is no longer a futuristic concept but a present-day reality being embedded into the core of GCC operations. Enterprises are leveraging AI and automation to enhance productivity, strengthen compliance frameworks, improve the accuracy of decision-making, and unlock new efficiencies.

• Cybersecurity and Data Privacy: As GCCs assume responsibility for more sensitive and mission-critical global data, the focus on cybersecurity and data privacy has intensified. Adherence to stringent international standards and regulatory frameworks, such as SOC 2, ISO 27001, and GDPR, has become a non-negotiable requirement for operating in this high- stakes environment.

• The War for Talent: The global shortage of specialized digital talent is particularly acute in high-demand areas like AI, data science, and cybersecurity. This has made talent management a key strategic priority for GCCs. Consequently, there is a growing emphasis on structured upskilling and reskilling programs, continuous learning initiatives, and creating a compelling employee value proposition to attract and retain top professionals.

• Mid-Market Momentum: A significant and accelerating trend is the adoption of the GCC model by mid-sized enterprises, typically those with revenues between $100 million and $1 billion. This segment has emerged as a powerful new growth engine for the industry, accounting for approximately 35% of all new GCCs established in India over the last two years. This development substantially expands the total addressable market beyond the traditional Fortune 500 clientele.

The emergence of the mid-market segment as a key growth driver represents a strategic opportunity for specialized firms like SA Tech. While large, established IT and consulting majors, which represent a key competitive threat, typically focus on securing large-scale, multi-year contracts with Fortune 500 corporations, the mid-market segment often has different needs. These firms possess the ambition to innovate and scale globally but frequently lack the inhouse expertise, resources, and risk appetite to navigate the complexities of establishing a GCC in India independently. SA Techs flexible, zero-capex Build-Operate-Transfer (BOT) model is specifically designed to address these challenges, making it an ideal solution for both large global corporations and high-growth mid-market firms. This targeted approach allows SA Tech to capture a high-growth, underserved segment of the market, creating a defensible strategic niche. This is not merely participation in the GCC boom but a focused strategy to lead in a specific, high- potential market segment.

Strategic Opportunities and Growth Levers

Our strategy is focused on capitalizing on the most significant growth drivers within the GCC ecosystem. By aligning our capabilities with key market trends, we are building a resilient and future-focused platform for sustained growth.

AI-Driven Delivery Models

The demand for intelligent, automated operations is a defining feature of the modern GCC. Our AI-first strategy directly addresses this market need. We have developed proprietary AI-enabled delivery frameworks that are designed to provide our clients with measurable gains in productivity, efficiency, and compliance. A tangible manifestation of this strategy is the launch of our new subsidiary, SAT Leasing. Positioned as Indias first AI-enabled IT asset leasing platform, this venture redefines infrastructure lifecycle management through intelligent automation and capital efficiency, showcasing our commitment to leveraging AI not just in service delivery but also in creating innovative business models.

The Build-Operate-Transfer (BOT) Advantage

The Build-Operate-Transfer (BOT) model is a cornerstone of our service offering and a significant competitive differentiator. This model provides a structured, de-risked pathway for clients to establish a presence in India. The process unfolds in three distinct phases:

• Build: We leverage our local expertise to manage the entire setup process, including legal entity formation, real estate acquisition, infrastructure setup, and talentacquisition.

• Operate: We manage the day-to-day operations of the center, implementing our best- in-class processes and governance frameworks to ensure it runs efficiently and meets the clients strategic objectives.

• Transfer: After a pre-agreed period, once the center has achieved operational maturity and stability, we facilitate a seamless transfer of the entire operation, including assets and employees, to the client.

A key attraction of our BOT model is its zero-capex, pay-as-you-go financial structure. 8 This eliminates the need for significant upfront capital investment from the client, substantially lowering the financial risk and barriers to entry. This flexibility is particularly compelling for the rapidly growing mid-market segment, which seeks to access the benefits of a GCC without the associated capital burden. The BOT model allows clients to leverage our deep local expertise in navigating Indias complex regulatory, real estate, and talent landscapes, enabling them to accelerate their market entry and focus on their core business, before ultimately taking full ownership of a mature and fully integrated operational center.

Sectoral Diversification and Expansion

To ensure sustainable growth and mitigate concentration risk, we are actively pursuing a strategy of sectoral diversification. We have identified several high-potential industry verticals where the adoption of GCCs for specialized, high-value functions is accelerating. Our primary focus is on Healthcare, FinTech, and Manufacturing. In these sectors, GCCs are being leveraged for critical functions such as ensuring regulatory compliance, conducting advanced data analytics for drug discovery or risk management, and driving product engineering and supply chain innovation. Our active pursuit of opportunities in these verticals is a core component of our strategy to broaden our revenue base and deepen our domain expertise.

Talent as a Strategic Differentiator

In a knowledge-based industry, talent is the ultimate currency. Our ability to attract, develop, and deploy top-tier Indian technology professionals is a core competitive advantage. We provide our clients with access to a rich pool of specialized skills that are critical for their digital transformation journeys. This includes deep expertise in high-demand areas such as artificial intelligence, cloud architecture, data engineering, and cybersecurity. By serving as a strategic talent partner, we enable our clients to build the world-class teams they need to compete and win in the global digital economy.

Performance and Financial Review: FY 2024-25 Financial Performance Overview

Fiscal Year 2024-25 was a year of strong financial performance for SA Tech, characterized by robust top-line growth, significant margin expansion, and a strengthened balance sheet. The Company delivered these results against a backdrop of global economic uncertainty, demonstrating the resilience of our business model and the effectiveness of our operational execution.

Our Revenue from Operations for the fiscal year ended March 31, 2025, grew to Rs9,950 lakhs, compared to Rs7,188.22 lakhs in the previous fiscal year, marking a year-over-year growth of 38.4%. This growth was driven by the acquisition of new clients and the successful expansion of service engagements with our existing client base. Our focus on operational efficiency and value-added services translated into a significant improvement in profitability. Net Profit for the year stood at Rs744 lakhs, a 101.6% increase from the Rs368.86 lakhs recorded in FY 2023-24. This performance highlights our ability to scale our operations profitably while continuing to invest in strategic growth initiatives.

Key Financial Data and Ratios

The following tables provide a summary of our financial performance and key ratios over the past four fiscal years, offering a clear perspective on our growth trajectory and financial health.

Table 1: Financial Highlights (FY 2022-2025)

This table illustrates the Companys consistent revenue growth and its successful turnaround from a net loss position to sustained and accelerating profitability, providing essential historical context for evaluating the performance in FY 2024-25.

Particulars	FY 202122	FY 202223	FY 202324	FY 202425
Revenue from Operations	4,106.11	5,639.31	7,188.22	9,950.00
EBITDA	(399.00)	520.10	875.32	1,204.00
Profit Before Tax	(690.00)	174.00	525.00	953.00
Net Profit / (Loss)	(548.25)	108.59	368.86	744.00
(Allfigures in f Lakhs)
(Sources:)

Table 2: Key Financial and Operational Ratios (%)

This table provides insights into the Companys operational efficiency, profitability, and capital structure. The trends in these ratios reflect a business that is becoming more profitable, efficient in its use of capital, and financially robust.

Ratio	FY 2022-23	FY 2023-24	FY 2024-25
EBITDA Margin (%)	9.22	12.18	12.10
Net Profit Margin (%)	1.93	5.13	7.48
Return on Equity (RoE) (%)	14.06	31.63	18.76
Return on Capital Employed (RoCE) (%)	19.66	32.24	29.74
Debt-Equity Ratio (x)	1.89	1.10	0.29
(Sources: )

Analysis of Financial Performance

The financial results for FY 2024-25 reflect the successful execution of our growth strategy. The 38.4% increase in revenue was broad-based, stemming from both the onboarding of new clients in our target markets and the deepening of our relationships with existing clients through the crossselling of new services.

Profitability metrics showed significant improvement. The Net Profit Margin expanded to 7.48% from 5.13% in the prior year, a direct result of operational leverage, disciplined cost management, and a favorable shift in our service mix towards higher-value offerings. Key efficiency ratios such as Return on Equity (RoE) and Return on Capital Employed (RoCE) remained strong at 18.76% and 29.74%, respectively. While the RoE percentage is lower than the previous year, this is primarily due to the significant expansion of the equity base following the successful IPO. The absolute profit growth demonstrates our continued ability to generate strong returns for our shareholders.

A standout feature of our financial performance this year is the dramatic strengthening of our balance sheet. The Debt-Equity Ratio saw a sharp decline to 0.29 from 1.10 in the previous year. This substantial deleveraging was a direct and planned outcome of our IPO, as a significant portion of the proceeds was strategically utilized for the prepayment of outstanding borrowings. This has resulted in a more robust capital structure, reduced interest costs, and enhanced financial flexibility to support our future growth ambitions.

Key Corporate Developments and Strategic Initiatives

Fiscal Year 2024-25 was marked by several strategic initiatives that have fundamentally reshaped our corporate structure, expanded our business capabilities, and strengthened our governance framework.

Initial Public Offering and Capital Structure

The most significant corporate development of the year was our Initial Public Offering (IPO) and subsequent listing on the NSE EMERGE platform on August 2, 2024. This was a transformative event that provided us with the capital to fuel our growth and elevated our profile in the investment community.

Issue Details: The IPO was a book-built issue of 3,900,000 equity shares of face value Rs10 each. The issue was priced at Rs59 per share.

Capital Raised: The total issue size aggregated to Rs23.01 crores. After accounting for shares reserved for the market maker, the net proceeds to the Company amounted to Rs21.33 crores.

The proceeds from the IPO were utilized in strict accordance with the objectives stated in the prospectus, with no deviations. This disciplined allocation of capital underscores our commitment to transparency and good corporate governance.

Table 3: Utilization of IPO Proceeds

This table provides a transparent account of the deployment of IPO funds, demonstrating our adherence to the commitments made to our shareholders.

Stated Objective	Amount Allocated (as per Prospectus)	Actual Amount Utilized	Deviation
Prepayment/Repayment of Borrowings	As per Prospectus	As per Actuals	Nil
Funding Working Capital Requirements	As per Prospectus	As per Actuals	Nil
General Corporate Purposes	As per Prospectus	As per Actuals	Nil
Total	As per Prospectus	2,135.95	Nil
(All figures in f Lakhs)
(Sources:)

Business Diversification: Launch of SAT Leasing (India)

In line with our strategy to innovate and diversify our revenue streams, we launched a new wholly-owned subsidiary, SAT Leasing. This new venture is positioned as Indias first AI- enabled IT asset leasing platform. SAT Leasing leverages our deep expertise in artificial intelligence to offer intelligent, flexible, and capital-efficient solutions for infrastructure lifecycle management. This initiative represents a strategic move into a new, technology-led business vertical that is synergistic with our core GCC offerings and reinforces our identity as an innovation-driven organization.

Strengthening Delivery Excellence and Governance

We continue to make significant investments in strengthening our delivery capabilities and governance frameworks. Our commitment to quality, security, and process maturity is validated by our portfolio of internationally recognized certifications. These are not just accolades but are integral to our operational DNA and a key reason why clients entrust us with their critical business functions.

SOC 2 Type II: This certification provides assurance regarding the operational effectiveness of our security controls over an extended period. For our clients, particularly those in highly regulated industries, this demonstrates that we have robust systems in place to protect their sensitive data, a critical requirement in the GCC model.

ISO 27001: As the global benchmark for Information Security Management Systems (ISMS), our ISO 27001 compliance provides a systematic and comprehensive framework for managing sensitive company and client information. It assures our stakeholders that our security practices are aligned with the highest international standards.

CMMI Level 5 (Optimizing): Achieving the highest maturity level of the Capability Maturity Model Integration framework is a significant competitive differentiator. CMMI Level 5 signifies that our organization is focused on continuous, data-driven process improvement and innovation. It provides our clients with the confidence that our service delivery is predictable, consistent, and of the highest quality.

This triad of certifications—SOC 2, ISO 27001, and CMMI Level 5—represents a strategic and deliberate investment in building what can be termed a trust infrastructure. As the GCC industry continues to evolve from handling back-office tasks to managing strategic, sensitive, and mission- critical global functions, the demands for security and process excellence have become paramount. For clients in sectors like FinTech and Healthcare, adherence to these globally recognized standards is often a non-negotiable prerequisite for partnership. By proactively achieving and maintaining these high-level certifications, SA Tech is not merely refining its internal processes; it is strategically positioning itself to compete for and win higher-value, more complex contracts from large, risk- averse global enterprises. This trust infrastructure is a foundational enabler of our strategic ambition to move up the value chain and solidify our leadership in the premium segment of the GCC market.

Risk Management and Mitigation Framework Comprehensive Risk Management Policy

SA Tech has instituted a comprehensive and proactive Risk Management Policy. This framework is designed to systematically identify, assess, monitor, and mitigate the various risks that could impact our business. The policy covers all key areas of risk, including strategic, operational, financial, compliance, and reputational, ensuring a holistic approach to safeguarding the Companys assets and stakeholder interests.

Analysis of Key Risks

Our business is subject to a variety of internal and external risks. The key risks that we actively monitor are:

• Macroeconomic Pressures: A significant portion of our revenue is derived from clients in the United States and European markets. Economic slowdowns, high inflation, or shifts in monetary policy in these regions can lead to reduced or delayed discretionary spending on technology services by our clients. Furthermore, the rise of protectionist trade policies, such as the imposition of tariffs by the US, presents a potential risk. While our services are not currently subject to direct tariffs, we are mindful of potential second-order effects, where cost pressures on our clients could indirectly impact their technology budgets. The current concentration of our revenue from the US market is a risk factor that we are actively working to mitigate.

• Competitive Intensity: The GCC market is highly competitive. We face competition on two fronts: from large, established IT services and consulting majors who are increasingly targeting the GCC enablement space, and from other specialized, niche players who offer similar services. 11 This intense competition can exert pressure on pricing and market share.

Talent Acquisition and Retention: Our success is fundamentally dependent on our ability to attract and retain highly skilled technology professionals. The Indian market for specialized digital talent is extremely competitive, with intense demand for skills in AI, data analytics, and cloud computing. The war for talent poses a continuous challenge to our ability to scale our workforce effectively and manage attrition.

Cybersecurity and Data Privacy: As a trusted partner to global enterprises, we handle sensitive and confidential client information. Any breach of our cybersecurity defenses could result in significant operational disruption, financial liability, regulatory penalties, and severe reputational damage. The evolving sophistication of cyber threats requires continuous investment in advanced security measures.

Proactive Mitigation Strategies

We have implemented a range of proactive strategies to mitigate these identified risks:

Client Diversification: To reduce our dependence on any single geography or industry vertical, we are pursuing a deliberate strategy of diversification. This involves actively expanding our client base in new sectors such as Healthcare and FinTech, and exploring opportunities in new geographic markets, including the Middle East and the Asia-Pacific region. This approach mirrors a broader strategic trend within the Indian IT industry to de-risk from over-concentration in North American markets.

Investment in Governance: Our significant investments in achieving and maintaining SOC 2, ISO 27001, and CMMI Level 5 certifications serve as a key risk mitigant. These credentials provide a strong assurance of our process maturity and security posture, building client confidence and creating a competitive barrier.

Talent Management: We have implemented a multi-pronged talent management strategy focused on enhancing employee engagement, developing future leaders, and providing continuous opportunities for upskilling and reskilling. These programs are designed to improve employee retention, foster a high-performance culture, and ensure our workforce remains at the cutting edge of technology.

Advanced Cybersecurity: We maintain a robust cybersecurity framework that includes advanced security protocols, regular internal and third-party audits, and continuous monitoring of our IT infrastructure. Our internal control systems are designed to safeguard client data and ensure compliance with global data privacy regulations.

Human Capital: Our Core Asset

Fostering a High-Performance Culture

At SA Tech, we firmly believe that our people are our most valuable asset and the primary driver of our success. Our growth story is a testament to the dedication, expertise, and innovative spirit of our workforce, which now comprises over 400 professionals. We are committed to fostering a culture of excellence, collaboration, and continuous learning.

A significant validation of our employee-centric approach came during the fiscal year when SA Tech was proudly recognized as a Great Place to Work® Certified organization. This prestigious certification, based on direct feedback from our employees, is considered the Gold Standard for workplace culture globally. It affirms our commitment to creating an environment where employees feel valued, respected, and empowered to do their best work. Throughout the year, we maintained cordial and constructive industrial relations, with high levels of employee engagement and retention.

Employee Development and Engagement Initiatives

We have institutionalized several programs aimed at the professional development and personal well-being of our employees.

• AI Enablement: In alignment with our AI-first corporate strategy, we conducted targeted training programs across all business functions to make our employees AI-enabled. This initiative ensures that our entire workforce is equipped with the skills and understanding necessary to leverage AI in their respective roles, driving innovation from within.

• Leadership Development: We are committed to nurturing the next generation of leaders. During the year, we conducted nine structured learning sessions where senior leaders shared their strategic insights and experiences with emerging managers, preparing them to take on greater responsibilities and navigate future challenges.

• Engagement and Well-being: Our HR team curated a diverse range of engagement initiatives to foster a sense of community and promote work-life balance. These included team lunches, indoor and outdoor games, trekking events, and sports sessions, with a special focus on encouraging participation among our female employees. These engagement programs were extended to our employees working from home, ensuring a culture of inclusivity across our distributed workforce.

• Recognition Programs: To acknowledge and celebrate outstanding contributions, we enhanced our employee recognition programs. In addition to our existing appreciation initiatives, we introduced new awards such as Best Recruiter and Best Account Manager to honor top performers in key functional areas.

Commitment to ESG (Environment, Social, and Governance)

Our ESG Philosophy

SA Tech is deeply committed to the principles of sustainable and responsible business. We believe that long-term value creation for our stakeholders is intrinsically linked to our performance on Environmental, Social, and Governance (ESG) parameters. Our ESG philosophy is integrated into our core business strategy and guides our daily operations. We are dedicated to minimizing our environmental impact, making a positive contribution to society, and upholding the highest standards of corporate governance and ethical conduct.

ESG Initiatives in Action

Our commitment to ESG is translated into concrete actions across all three pillars:

Environment: We are conscious of our environmental footprint and have implemented several initiatives to promote sustainability. Our operations are housed in energy-efficient campuses, and we actively promote a digital-first work culture to reduce paper consumption. We have also instituted responsible waste management and recycling programs across our facilities to minimize our impact on the environment.

Social: Our Corporate Social Responsibility (CSR) initiatives are focused on creating a meaningful and lasting impact on the communities in which we operate. Our programs are centered on key areas such as promoting education for underprivileged children, conducting community skill development workshops to enhance employability, and championing diversity and inclusion in our hiring practices. We are committed to building an equitable and inclusive workforce that reflects the diversity of our society.

Governance: Strong corporate governance is the bedrock of stakeholder trust. We are committed to the highest standards of transparency, accountability, and ethical conduct. This is reflected in our timely and transparent disclosures, the active oversight provided by our Board of Directors, and our robust internal control systems. Our adherence to internationally recognized standards like SOC 2 and ISO 27001 further reinforces our commitment to best-in-class governance practices.

Outlook and Strategic Priorities

Forward-Looking Statement

Looking ahead, SA Tech is well-positioned to capitalize on the sustained momentum in the Global Capability Center ecosystem. The structural shift of GCCs towards higher-value functions, coupled with the increasing adoption by mid-market enterprises, presents a significant and long-term growth opportunity. Our specialized focus, proven delivery frameworks, compliance-driven culture, and deep talent pool provide us with a strong competitive advantage. We are confident in our ability to navigate the evolving market landscape and continue our trajectory of profitable growth.

Key Strategic Priorities for the Future

To drive our next phase of growth, we will focus on the following strategic priorities:

• Expansion of the BOT GCC Model: We will continue to champion our Build-Operate-Transfer model as a key growth engine. Our strategic focus will be on driving its adoption in our target high-potential sectors, namely Healthcare, FinTech, and Manufacturing, where the demand for specialized, compliant, and de-risked entry strategies is particularly strong.

• Tapping New Talent Pools: To broaden our access to talent and support our growth, we will execute a strategic initiative to establish new delivery hubs in Tier II cities across India. This move is designed to unlock fresh talent pools, provide us with greater operational scalability, and potentially optimize our cost structure, a strategy being increasingly adopted across the industry.

• Deepening AI Integration: We will intensify our efforts to embed artificial intelligence and automation deeper into every facet of our business. This includes leveraging AI to enhance our internal operations and governance, as well as developing new AI-powered solutions to drive greater value and efficiency for our clients.

• Strategic Partnerships: We will actively pursue strategic partnerships and explore co-investment models, particularly with mid-market enterprises. These collaborations will be designed to accelerate our market penetration, expand our service capabilities, and create synergistic growth opportunities.

Concluding Remarks

With a successful public listing behind us and a clear strategic roadmap ahead, SA Tech is poised for a promising future. Our proven frameworks, our unwavering commitment to compliance and governance, and our relentless focus on nurturing talent and driving innovation form the foundation of our long-term strategy. We are confident that by executing on these priorities, we will continue to deliver sustained growth and create enduring value for our clients, employees, shareholders, and the broader community.

Disclosure of Accounting Treatment

The financial statements accompanying this report have been prepared in accordance with the Indian Accounting Standards (Ind AS) notified under the Companies (Indian Accounting Standards) Rules, 2015, as amended, and other relevant provisions of the Companies Act, 2013.

Cautionary Statement

This Management Discussion and Analysis report contains forward-looking statements that reflect the Companys current intentions, beliefs, or expectations regarding future events and business performance. These statements are based on certain assumptions and are subject to various risks, uncertainties, and external factors that are beyond the Companys control. Actual results may differ materially from those projected in any forward-looking statements. Factors that could cause actual results to differ include, but are not limited to, changes in general economic conditions, global events, regulatory changes, technological advancements, and competitive pressures. Readers are cautioned not to place undue reliance on these forward-looking statements.