SAB Events & Governance Now Media Ltd Management Discussions

INDIAN MACROECONOMICS SCENARIO

(Source: Deloitte Global Economics Research Center)

Indias GDP grew 7.40% YoY over fiscal 2024 to 2025, with a sharp growth of 6.5% for the Whole Year, beating the governments second advanced estimate of 6.5% and Reserve Bank of Indias (RBI) estimate of 7.2%. Fourth-quarter economic activities pointed to three interesting trends: improvement in private consumption, exports, and manufacturing. For three consecutive years, Indias economy has exceeded growth expectations (averaging 6.70% annual growth over this period) despite global uncertainties, driven by strong domestic demand and continuous government efforts toward reforms and capital expenditure.

Accounting for the resilience in economic fundamentals, easing inflation levels, and bold policy stimuli aligned for expansion this year, Deloitte expects a baseline forecast of 6.4% to 6.7% GDP growth this fiscal year and stronger growth in the next fiscal year.

INDUSTRY OVERVIEW & GROWTH OUTLOOK:

In 2025, M&E is expected to be animated by three key patterns:

Ads, aggregators, and the new moats: Social platforms demonstrate the advantage of investing in technologies that can help reinforce engagement and advertising.

Scale and asymmetric competition: Traditional studios often vie for attention and revenues with much larger competitors reaching and modeling billions of global users.

AI empowerment: While generative AI can strengthen big studios, it can also erode their content moats, enabling smaller creators and a possible market rebalance.

Indias media & entertainment sector is innovating for the future. Indian M&E sector grew by 3.3% in 2024, reaching INR 2.5 trillion (US$ 29.4 billion), 30% above its pre-pandemic levels in 2019.

However, during the reporting period, the growth slowed down significantly to just INR81 billion, which was less than half the INR185 billion growth of the previous year. New media (comprising digital media and online gaming) grew INR113 billion (12%) and now comprise 41% of the M&E sectors revenues

Outside the home media (comprising filmed entertainment, live events and OOH media) grew at a combined 3% and now contribute 14% of the total M&E sector.

COMPANY OVERVIEW:

SAB Events & Governance Now Media Limited is carrying out the business of Digital Media Websites & MICE. ‘Governance Now started its journey as a multi-media initiative for participatory reportage and analyses related to governance of all institutions and processes that are vital to public life in India. Our editorial team comprises of highly experienced senior journalists and guest writers from diverse disciplines and professional background. Currently, Governance Now is available in the digital format as a portal www.governancenow.com and as a video channel on YouTube “SAB Group Governance Now” with approx. half million subscribers.

CURRENT SCENARIO:

During the reporting period the Company was highly successful in organising South Govtech Symposium & Awards 2024, 9th India PSU IT Forum & Awards 2024, 5th Digital Transformation Summit & Awards, Westech Symposium & Awards 2024, 11th PSU Awards & Conference. Our Company has managed to deliver good performance in such testing times through its on-ground conferences and webinars and is amongst very few companies to do so. Along with on ground seminars, our company intends to continue the Virtual Conferences, Technology Masterclasses, Visionary Talks as and when suitable.

KEY CONCLAVES

April 2024- March 2025:

24th July 2024 - Telangana

Theme: Embracing the Era of Digital Advancement & Forging New Frontiers

Today, technology has become a significant enabler for businesses across all sectors, including the public and private sectors. It plays a highly insightful role in driving optimization and efficiency. Progressive technologies such as block chain, artificial intelligence, robotics, machine learning, and augmented reality have contributed to sustained growth within the public sector. Automation and digitization of services have led to significant social, economic, technological, and environmental outcomes. The role of technology in government and the public sector is to enhance various processes and improve overall performance.

26th September 2024 New Delhi

Theme: Innovating Tomorrow: Harnessing Technology for a progressive Public Sector

Governance Now, a premier publication on public policy and governance from Sri Adhikari Brothers Group, is organizing the 9th India PSU IT Forum on 26th September 2024 at New Delhi. In the past eight editions of the PSU IT Forums Governance Now has been successful in actively engaging IT experts from Indias top PSUs, community, and technology solution providers for addressing the digital transformation needs. The platform is to witness deliberations from top-brass of the nations PSUs on the theme ‘Innovating Tomorrow: Harnessing Technology for a Progressive Public Sector.

14th November 2024 New Delhi

Theme: Building a Digital First Public Sector

The 5th Digital Transformation Summit is a premier platform uniting government leaders, public sector executives, technology innovators, and industry experts to explore strategies for digital transformation. This summit will focus on key themes such as emerging technologies, e-governance frameworks, cybersecurity, digital upskilling, and sustainable innovation, fostering dialogue around the future of public service delivery and governance. The summit aims to empower the public sector to embrace next-gen technologies for a more transparent, agile, and inclusive digital ecosystem, driving sustainable development and improving citizen engagement.

14th February 2025 - Mumbai

Theme: Driving Innovation and Growth through Technology Collaboration

The West Tech Symposium and Awards bring together thought leaders, policy makers, industry pioneers, and digital transformation advocates from state governments, and state public sector undertakings (PSUs) in the western region. This platform will showcase how innovative technologies are integrated into governance, and public services to shape a sustainable and digitally advanced future

28th February 2025 New Delhi

Governance Now, Indias premier publication on public policy and governance from Sri Adhikari Brothers Group is proudly announcing its 11th edition of PSU Awards. The Governance Now 11th PSU Awards is a prestigious platform that celebrates the exceptional contributions and achievements of Indias Public Sector Undertakings (PSUs). Over the years, Governance Now has recognized the pivotal role of PSUs in driving Indias economic growth, promoting social welfare, and fostering innovation.

This year, we are proud to continue this legacy by honoring PSUs that have demonstrated excellence, resilience, and a commitment to nation-building in various domains. Join us in celebrating the best of the best at the 11th PSU Awards Ceremony, where we acknowledge the efforts of individuals and organizations that are shaping the future of governance and public service in India.

Governance Now Special Editions

Theme: Governance Reimagined, Digital India, Empowered India

This special edition of “Digital India: Governance Reimagined” stands as a testament to that transformation, capturing the spirit of Digital India through real stories, data-driven insights, and replicable models from across the nation. It is both a celebration and a blueprint for the road ahead.

Initiation of Pre-Packaged Insolvency Resolution Process (PPIRP)

The Board of Directors in its meeting held on August 14, 2025 has approved the proposal for initiation of the Pre-Packaged Insolvency Resolution Process (PPIRP) under the provisions of the Insolvency and Bankruptcy Code, 2016 and has approved the appointment of Mr. Kedar Parshuram Mulye, Insolvency Professional, as the Resolution Professional for the purpose of the PPIRP of the Company.

OPPORTUNITIES AND THREAT:

Opportunities:

Learning Curve: The immense experience of the promoters in the media industry has proved to be an added advantage in understanding the taste of audience and providing differentiated contents.

Digitization: Internet penetration has grown exponentially now with 5G on the anvil. With the world becoming a Global Village and Digitization playing a vast role in it, the youth population has shifted to the digital media. The adoption of Digitalization/Webinar model of business has become an integral part of the success for the socio-political development of the Country and our Company.

Challenges and Threats:

Maintaining Brand Value The success of seminar business is highly dependent on our product maintaining its brand value.

Consumer Data- Access to customer data is getting harder with cookie degradation and the growth of walled content gardens. To overcome these barriers to personalisation, we must focus more on niche sectors where segmentation is easy.

Updated with Consumers changing Interest- Getting connected at right time with changing Consumers Interest is vital point.

Bringing Corporate Sponsorship Engaging corporates for seminars on a continuous basis.

Business Risks- Having a successful turn out at seminars is key to success of business model and thus revenue generation.

Competitive Era - In this extremely competitive era, maintaining the current position and looking for consistent growth is making company in becoming vital player in the market.

Revenue Risks

The Company earns revenue through advertising, sponsorship and on-ground or Virtual conferences. Any change in the quality of the content or the ratio of advertisements or sponsorship can affect the revenues of the Company.

Technological Risks

With broadband and smartphones penetrating the markets rapidly, there is an increase in usage of online availability of news and hence, the Company aims at improving the content displayed on its website www.governancenow.com and on digital course as such YouTube to compete with other publication houses.

FINANCIALS

Disclosure of Accounting Treatment:

The financial statements of the Company for the year ended March 31, 2025 have been prepared in accordance with the Indian Accounting Standards (IND AS) prescribed under Section 133 of the Companies Act, 2013 read with relevant rules issued thereunder and other accounting principles generally accepted in India and there is no change in the same.

Share Capital

As on March 31, 2025, the Authorized Share Capital of the Company stood at Rs.1,103 lakh divided into 109.9 lakh Equity Shares of Rs.10/- each and 0.4 lakh 0.01% Non-Convertible Non-Cumulative Redeemable Preference Shares of Rs.10/- each.

As on March 31, 2025, the Paid-up Share Capital of the Company stood at Rs.1,049.37 lakh divided into Rs.1,048.37 lakh comprising of 104.83 lakh Equity Shares of Rs.10/- each full paid-up and Rs.1 lakh comprising of 0.1 lakh 0.01% Non-Convertible Non-Cumulative Redeemable Preference Shares of Rs.10/- each fully paid-up.

Other Equity:

The total Reserves and Surplus as of March 31, 2025, amounted to Rs. (1247.64) lakh as per statement of Profit and Loss including Rs. (73.60) lakh as retained earnings and Rs. (1.13) lakh as other comprehensive income as per statement of Profit and Loss.

Long Term Borrowing:

There is no long-term borrowing as on March 31, 2025

Short Term Borrowing:

The total short-term borrowings as on March 31, 2024, is 199.71 lakh.

Fixed Assets:

Depreciation of Rs. 79.81 lakh was charged for the statement of Profit and Loss. The Net Block of Tangible Fixed Assets as of March 31, 2025, is Rs.4.76 lakh. The goodwill on demerger as on March 31, 2025, amounted to Rs. 62.23 lakh.

Investments:

There is Rs. 0.01 Lakhs investments as on March 31, 2025.

Revenues:

The Company earned total revenues of Rs. 173.88 lakh during the year ended March 31, 2025, through business activities.

Expenses:

The operating expenses of the Company for the year ended March 31, 2025, is Rs. 288.62 lakhs.

Critical accounting policies

The principles of revenue recognition are as under:

The Company earns its revenue in the form of advertising and sponsorship which gets recognized upon receipt of release order. Other revenues are recognized when related events occur up to the reporting date.

Segment wise Performance

The Company operates in a single primary business segment i.e. Digital Media Websites & MICE. Accordingly, no segment reporting as per Accounting Standard 17 has been reported.

Internal Controls and Adequacy of those controls

Adequate systems of internal controls that commensurate with the size of operation and the nature of business of the Company have been implemented. Risks and controls are regularly viewed by senior and responsible officers of the company that assure strict adherence to budgets and effective use of resources. The internal control systems are implemented to safeguard Companys assets from unauthorized use or disposition, to provide constant check on cost structure, to provide financial and accounting controls and implement accounting standards.

Human Resources

Human capital is a very important asset in a media Company. The Company has built up a human resource structure, which has enabled the Company to grow and take up challenges. The Company has a qualified team of professionals.

As on March 31, 2025, the Company had 11 (Eleven) permanent employees on its payroll.

Outlook

With the growing importance of digital media, e-magazines, smart phones and the convergence of media and technology, we are aiming at monetizing the Companys content through induction of emerging technology platforms and improvements, so as to offer next generation features on multiple-media including the digital media, web, smart phones, tablets, and other digital devices and e-commerce business. The Company is proactively planning to place its readers and advertisers at the cutting edge of technology.

The industry is undergoing transformation, driven by digital technologies, opportunities for further penetration of the billion strong markets, and an enabling regulatory framework. At the same time, it remains sensitive to the economic situation, and a lot will depend on its ability to manage the risks of continued shortage of skilled manpower, and ability to spur end user pricing across segments.

Details of significant changes in key financial ratios:

Ratios	Formula Used	FY 24-25	FY 23-24
Debtors Turnover	Turnover / Trade Receivables	2.41	3.48
Inventory	COGS / Average Inventory Turnover	NA	NA
Interest Coverage Ratio	Earnings before Interest and Tax / Interest Expense	2670.17	(21.94)
Current Ratio	Current Assets / Current Liabilities	0.20	0.28
Debt Equity Ratio	Debt / Equity	(1.01)	(1.59)
Operating Profit Margin (%)	EBITDA / Revenue from operations	0.03	(0.11)
Net Profit Margin (%)	PAT without exceptional items / Revenue from operations	(0.26)	(0.54)
Return on Net worth (%)	PAT without exceptional items /Total Equity	(0.37)	(0.88)

Interest Coverage Ratio: Loss for this financial year has been reduced which has resulted in the change of interest coverage ratio.

Debt Equity Ratio: During the F.Y 2024-25 the borrowings have increased which has resulted in change in Debt Equity Raio.

Operating Profit Margin: The loss of the Company during the year has been reduced as compared to the previous year due to which there is a change in operating profit margin.

Net Profit Margin: The sales of the Company have reduced and the negative net worth has increased as compared to the previous year due to which there is a change in ratio.

Return on Net worth: The change in return on net worth is due to loss in the current year and previous year.

Note: Debt Equity Ratios has only long/short term loan from institutional/others as a debts.

CAUTIONARY STATEMENT

Statements in the Management Discussion and Analysis Report describing the Companys objectives, projections, estimates, expectations may be “forward- looking statement” within the meaning of applicable securities laws and regulations. Actual results could differ materially from those expressed or implied. Important factors that could make a difference to the Companys operations include economic conditions affecting demand/ supply and price conditions in the domestic and overseas markets in which the Company operates, changes in the Government regulations, tax laws and other statutes and other incidental factors.