Sambhaav Media Ltd Management Discussions

GLOBAL ECONOMIC SCENARIO:

The global economic landscape in FY2025 is marked by subdued growth, persistent inflationary pressures, and heightened geopolitical tensions. The International Monetary Fund (IMF) projects global GDP growth at 2.8% for 2025, a downward revision influenced by escalating trade disputes, notably the United States imposition of a 10% blanket tariff on all imports and a 145% tariff on Chinese goods.

These measures have disrupted global trade flows, dampened investor confidence, and businesses.

Inflation remains a pressing concern, with global headline inflation expected to decline to 4.5% in 2025 from 5.9% in 2024. Advanced economies are anticipated to return to near pre-pandemic inflation rates, averaging 2.0% in 2025, while emerging markets may experience higher rates, averaging around 5.0%. The uneven pace of disinflation poses challenges for monetary authorities, particularly in balancing the need for price stability with supporting economic growth.

Global debt levels have reached unprecedented heights, with total debt across governments, businesses, and households surpassing $305 trillion. This surge in debt, exacerbated by the COVID-19 pandemic and subsequent fiscal responses, raises concerns about debt sustainability and the potential for financial instability. Fiscal positions across countries are strained, with many governments facing the dual challenge of managing high debt levels while addressing the need for continued economic support. The IMF emphasizes the importance of fiscal consolidation to rebuild budgetary space and ensure long-term debt sustainability. Geopolitical tensions, particularly those stemming from trade disputes and regional conflicts,add layers of uncertainty to the global economic outlook. The IMF and World Bank have highlighted the risks these tensions pose to economic growth, market volatility, and financial stability. In summary, FY2025 presents a complex economic environment characterized by modest growth, persistent inflation, elevated debt levels, and geopolitical uncertainties. These factors necessitate vigilant monitoring and adaptive policy responses to navigate the evolving global economic landscape.

INDIAN ECONOMIC SCENARIO:

The Indian economy in FY2025 demonstrated remarkable resilience in a complex global environment marked by trade tensions, monetary tightening, and geopolitical uncertainties. Indias Gross Domestic Product (GDP) grew by 6.2% in FY2025, slightly lower than earlier forecasts due to weaker global demand and disruption in global trade patterns, notably from the United States imposition of high tariffs on Chinese goods and general protectionist trends. Despite these challenges, Indias growth remains the highest among major economies, driven by strong domestic consumption, a pickup in manufacturing activities, robust services growth, and government-led capital expenditure. The Nominal GDP for India in FY2025 crossed the 300 lakh crore mark, reflecting a resilient economic foundation. According to the International Monetary Fund (IMF) and World Bank estimates, India accounted for nearly 15% of global growth in the fiscal year.

Inflation remained contained within manageable levels throughout the year. The Consumer Price Index (CPI) inflation averaged around

4.2%, with March 2025 recording a six-year low of 3.34%. This moderation was aided by stable food prices, a normal monsoon season with rainfall approximately 5% above the long-term average, and proactive measures by the Reserve Bank of India (RBI) to manage supply-side bottlenecks. The Wholesale Price Index (WPI) also recorded easing trends, averaging 2.8% for the year, further boosting purchasing power and supporting private consumption growth. The RBI maintained an accommodative monetary policy stance for most of the year, reducing the repo rate to 6% and providing systemic liquidity through various instruments like government securities acquisitions and foreign exchange operations. Liquidity infusion of nearly $70 billion helped the financial system remain

The fiscal position remained within the Governments targeted parameters despite the global headwinds. The Union Budget aimed for a fiscal deficit target of 4.8% of GDP, and preliminary numbers indicate that the actual deficit stood close to 4.75%, supported by robust Goods and Services Tax (GST) collections averaging 1.65 lakh crore per month and buoyant direct tax receipts. As of March 2025, the Gross Fiscal Deficit was 13.47 trillion, meeting 85.8% of the annual target by February itself, highlighting prudent fiscal management. States fiscal positions also showed improvement, with most adhering to their targeted fiscal responsibility limits under the FRBM framework. Indias external sector faced moderate pressures due to volatile capital flows, though the overall position remained manageable. Foreign

Exchange Reserves, which stood at $642 billion at the beginning of FY2025, grew to $656 billion by March 2025, providing an import cover of over 11 months and strengthening macroeconomic stability. The Current Account Deficit (CAD) widened slightly to 1.1% of GDP in the October December quarter, reflecting higher merchandise trade deficits, although February 2025 recorded a rare trade surplus of $14.05 billion, indicating improvement. The overall Balance of Payments for the full year was marginally negative, with an expected deficit between $10 billion and $15 billion. Remittances, however, remained robust at over $100 billion, aiding in stabilizing the external account.

The employment landscape improved as economic recovery continued. The unemployment rate declined to 3.2% for the fiscal year, the lowest level in recent history. However, structural challenges persist, particularly in youth unemployment which remains elevated around 15%. Efforts to formalize the labor market through initiatives like the e-Shram portal and ongoing reforms in labor codes are expected to address some of these concerns in the medium term. The agriculture sector benefited from favorable monsoons and government support schemes, contributing around 16% to GDP and employing nearly 45% of the workforce. The agricultural growth rate for FY2025 was estimated at 3.8%, with record food grain production figures boosting rural income and consumption demand.

Industrial and manufacturing sectors posted mixed performance. While core sectors like steel, cement, and electricity showed healthy growth rates of 6% to 8%, manufacturing faced some margin pressures from input costs and global supply chain disruptions. The Production Linked Incentive (PLI) schemes across sectors such as electronics, pharma, and automotive helped attract incremental investment, with FDI inflows crossing $70 billion for FY2025, despite global headwinds. Services remained the backbone of the economy, contributing over 53% to GDP, with IT, financial services, tourism, and healthcare sectors driving growth.

Geopolitical developments influenced Indias economic strategy significantly. The ongoing Russia-Ukraine conflict, U.S.-China trade tensions, and Middle East instability affected global commodity prices and logistics. India tactically diversified its energy sources, increased oil imports from Russia at discounted rates, and accelerated strategic petroleum reserve building. At the same time, India maintained an active engagement with global forums like G20, BRICS, and Quad to secure trade and investment partnerships, enhancing its geopolitical standing. The governments focus on Atmanirbhar Bharat (self-reliant India) further strengthened domestic manufacturing capabilities and reduced supply chain vulnerabilities.

Infrastructure investment emerged as a key growth driver, with the Government allocating nearly 11 lakh crore towards capital expenditure in FY2025. Major highways, railways, airports, and green energy projects witnessed accelerated execution. The National Infrastructure Pipeline (NIP) and PM Gati Shakti initiatives remained central to the countrys medium-term growth vision, improving connectivity, logistics efficiency, and overall productivity. Digital infrastructure expanded rapidly, with 5G rollouts reaching over 500 cities and digital payment transactions exceeding 800 lakh crore in value terms during the year.

Indias banking sector displayed strong resilience. Gross Non-Performing Assets (GNPA) of scheduled commercial banks fell below 3.2%, the lowest level in over a decade, supported by improved asset quality, robust provisioning, and credit growth of around 14% year-on-year.

Financial inclusion measures continued with over 52 crore Jan Dhan accounts and growth in microfinance and MSME credit.

Looking ahead, the outlook for Indias economy remains positive but cautious. Growth is expected to stay in the 6.3%–6.5% range in

FY2026, depending on global recovery patterns and domestic policy continuity. Risks from global financial volatility, climate change events, and further geopolitical escalations will require vigilant macroeconomic management. The focus on green growth, digital innovation, manufacturing competitiveness, and human capital development will be critical in sustaining high growth over the coming decade.

In conclusion, FY2025 has reaffirmedIndias standing as one of the fastest-growing major macroeconomic fundamentals, proactive policy frameworks, and a dynamic private sector. While external uncertainties continue to pose challenges, Indias diversifiedeconomic base, demographic advantages, and reform momentum are expected to provide the necessary strength to navigate the evolving global environment.

INDUSTRY OVERVIEW:

The Indian Media and Entertainment (M&E) industry in FY2025 continued to evolve dynamically, adapting to technological disruptions, changing consumer preferences, and regulatory reforms. Estimated at approximately 2.6 lakh crore in value, the M&E industry grew by around 10% over the previous year, recovering from global economic uncertainties and the after-effects of the pandemic. Digital media continued its rapid ascent, but traditional segments like television, print, radio, and out-of-home media demonstrated resilience, supported by rising urban and semi-urban consumption and increased advertising expenditure. Indias media sector is characterized by its diversity, linguistic richness, and regional depth, with over 850 television channels, 17,000 newspapers, and over 400 FM radio stations operating across the country, serving a population of more than 1.4 billion people.

The news media segment remained one of the most crucial pillars of the Indian M&E industry, both from a social and business standpoint.

Television news channels commanded a significant share of total viewership, with regional news channels continuing to outperform national channels in terms of audience engagement. According to Broadcast Audience Research Council (BARC) data, news viewership grew by nearly 8% year-on-year, driven largely by high-voltage political events, state elections, major judicial verdicts, and ongoing global conflicts that influenced domestic narratives. Print news media, especially regional and vernacular newspapers, retained loyal readership bases, even as English dailies experienced marginal circulation declines. According to the Audit Bureau of Circulations (ABC), Gujarati, Hindi, Tamil, and Marathi newspapers saw sustained demand, with readership growth rates between 2% to 4% in their respective markets, largely driven by tier-2 and tier-3 cities where digital penetration is still maturing.

Advertising revenues in the news sector remained steady, with political advertising witnessing a sharp spike during election seasons and government-backed public awareness campaigns contributing a significant portion of revenue streams. Corporate advertising in news media saw a mild revival, particularly from sectors like real estate, consumer durables, automobiles, BFSI, and healthcare. However, cost pressures persisted as news organizations had to invest heavily in hybrid distribution models combining television, print, web portals, and mobile applications. News consumption on mobile platforms increased sharply, with around 55% of total digital news consumption happening via smartphones, underlining the need for digital-first strategies even for traditional players. Many leading news organizations diversified revenue models beyond advertising, focusing on subscription models, events, branded content, and partnerships. In the FM radio sector, the landscape witnessed consolidation, innovation, and diversification. FM Radio, often termed the "theater of the mind," remained a trusted and intimate medium of communication, particularly in tier-2, tier-3 towns, and rural India. As of March 2025, India had over 400 operational FM stations across 110+ cities, catering to audiences across languages and demographics. FM listenership stood at an estimated 52% of the urban population, according to the latest IRS (Indian Readership Survey), with average daily listening time around 1 hour 20 minutes per listener. Radios hyper-local nature made it highly relevant for advertisers targeting specific regional markets, especially for retail brands, FMCG companies, government campaigns, and local businesses.

Revenue recovery in the FM radio industry was notable, with an estimated 14% year-on-year growth, reaching approximately 3,000 crore in

FY2025. Advertising remained the primary revenue source, though there was a growing contribution from non-traditional revenue streams such as radio concerts, branded content, influencer-led radio shows, and collaborations with music apps and OTT audio platforms.

Government advertising, led by campaigns under Swachh Bharat Abhiyan, Beti Bachao Beti Padhao, and public health initiatives, provided a substantial and stable revenue stream for FM players, especially in smaller towns.

Innovation in content formats became essential to maintain listener engagement. FM stations increasingly adopted a hybrid model, blending traditional broadcasting with digital simulcasts through apps and YouTube live streams. Morning shows, celebrity interviews, localized news capsules, citizen journalism initiatives, and interactive contests continued to be the mainstay of programming strategies. The emergence of podcasts and digital audio streaming platforms offered both a challenge and an opportunity for FM stations. Several FM networks launched their own podcast divisions, creating original content to tap into the growing audio streaming audience, particularly among younger demographics aged 18–34 years.

Regulatory developments also influenced the FM radio landscape. The Ministry of Information and Broadcasting (MIB) initiated consultations for Phase IV of FM radio licensing, aiming to bring more private players into smaller towns and border areas to deepen reach and create fresh revenue opportunities. Policy revisions around content flexibility, advertising time limits, and ease of compliance were actively under discussion, expected to make the sector more agile and investment-friendly. The Radio industry has also been actively engaging with the Government for support measures such as reduced license fees and rationalization of spectrum charges to enhance industry viability.

On the technology front, both news media and FM radio sectors embraced digital transformation more aggressively during FY2025. Investments in AI-driven news aggregation, personalized content curation, automated news production, voice assistants for radio apps, and smart speaker integrations expanded rapidly. News channels and radio stations actively deployed social media and WhatsApp-based distribution mechanisms to maintain direct connect with their audiences, creating a strong second-screen experience.

Geopolitical tensions, particularly the Russia-Ukraine war and Middle East disturbances, had an indirect impact on media operations, sentiment,andoverallconsumerbehavior. commodity prices influencing during parts of the year impacted advertisers media budgets marginally, although the media sector showed resilience through diversified offerings. The 2024 general elections had a massive positive impact on news media and radio advertising, leading to a sharp surge in short-term revenues and higher audience engagement across platforms.

Looking ahead, the Indian news media and FM radio sectors are poised for steady growth, anchored by the twin engines of regionalization and digitization. The expected expansion of 5G networks, growth of smart devices, and increasing internet penetration will create further opportunities for personalized, real-time content delivery. Industry analysts project a compound annual growth rate (CAGR) of around 8%-

9% for the news sector and around 10%-12% for the FM radio sector over the next five years, provided regulatory support and monetization models adapt effectively to the evolving ecosystem.

In conclusion, the Indian M&E industry, particularly the news and FM radio segments, showcased commendable resilience, innovation, and adaptability in FY2025. Despite technological disruptions and market challenges, the sector continued to hold a central position in Indias social, cultural, and democratic fabric. The focus going forward will remain on content excellence, technological innovation, regional expansion, and building sustainable, diversified revenue streams to unlock the next phase of growth.

Future Outlook of Industry:

Artificial Intelligence and Automation:

The role of Artificial Intelligence (AI) and automation in the media industry continues to evolve, dramatically reshaping content creation, curation, and delivery. In news media, AI technologies are increasingly used for automated article generation, sentiment analysis, and personalized content recommendations. These innovations not only assist in the efficient curation of news but also help in real-time fact-checking and optimizing content delivery based on user preferences. AI is expected to enhance customer satisfaction by streamlining processes, offering more personalized experiences, and driving the creation of tailored content. One of the most impactful applications of AI in the media sector is content generation, where AI algorithms are capable of analyzing vast datasets to create content that resonates with specific audience segments.

Development of Direct-to-Consumer (D2C) Communities:

Radio stations are set to continue expanding their role in community building, leveraging interactive formats such as gaming, quizzes, and other engagement-driven content to foster loyalty and deepen connections with their audiences. These efforts not only generate valuable audience data but also allow radio to serve targeted segments with highly relevant content, increasing the potential for monetization. By building niche communities, radio broadcasters can create opportunities for transaction-based revenue streams. Additionally, news and community podcasts are gaining prominence as key tools for strengthening D2C connections, enabling personalized and community-centric content delivery.

The Rising Importance of Content Production:

With smartphone penetration set to surpass TV screen penetration by 2025, content production is expected to become even more critical for media companies. Radio broadcasters, harnessing the inherent entertainment potential of their programming teams, are increasingly exploring short-form and episodic content as new revenue-generating avenues. The boom in mobile usage is opening up vast opportunities, particularly with voice-based products on smart speakers and smartphones, offering further avenues for growth. Radio stations are positioning themselves to capitalize on this growing demand by diversifying their content offerings and expanding into new formats.

The Growing Popularity of Internet Radio:

As the demand for personalized listening experiences rises, internet radio is becoming an increasingly significant component of the media landscape. By offering music search capabilities, curated playlists, and improved sound quality, internet radio provides listeners with an enhanced experience that goes beyond traditional broadcast radio. Many radio stations are establishing partnerships with online streaming platforms to offer a combined service that includes both internet radio and curated music streaming, creating a seamless listening experience for users.

Shift of Advertisers Towards Digital Audio:

The transition of radio advertising towards digital audio continues to gain momentum in 2025. Marketers are leveraging digital platforms to more precisely target audiences based on location, demographics, and listening habits, tailoring their messaging and creative content accordingly. Radio stations, both traditional AM/FM and digital-first platforms, are offering a complete digital ad package to advertisers.

The use of programmatic advertising tools is becoming widespread, enabling radio stations to enhance their revenue streams while automating their workflow. For ad buyers, programmatic advertising offers greater efficiency and effectiveness, allowing for more targeted campaigns and improved return on investment. This shift is contributing to the growing convergence between radio broadcasters and other media and technology companies, with collaborations designed to reduce production costs and offer a wider range of services to advertisers and listeners alike.

Adoption of Radio Automation Software:

Automation software is playing a pivotal role in the transformation of radio broadcasting. By enabling 24/7 operations and streamlining workflowsacross multiple markets, radio stations are reducing operational costs while allowing their creative teams to focus on content creation. This shift towards automation not only efficiency but also opens up more opportunities for content ensures operational innovation. As the radio industry continues to evolve, the widespread adoption of automation technologies will be key to maintaining competitiveness in a fast-changing media landscape.

THE COMPANY:

Business Area

Your Company operates in M&E industry with newspaper, magazine in print media, News Channel in electronic media; and GPS, Web application in digital media. Your Company is a complete media house having presencein Print to Electronic Media. The product portfolio of your Company (as mentioned in detail in the initial part of this report) comprises innovative, technology based and established products that have top-of-mind recall and are leaders in their respective categories. Your Company has successfully started all permitted FM frequency in Late 2022 and have presence at Gujarat i.e. Bhavnagar, Jamnagar, Junagadh, Porbandar, Veraval, Mehsana, Bharuch, Baderwah, Kathua, Poonch, Godhra, Kargil, Leh. This strategically puts your Company to advantage in saturating the Gujarat market, while diversifying the geographical presence.

The Company has developed a unique business model of print to electronic media. Your Company has successfully leveraged the newspaper expertise to grow into other associated businesses like TV channels and such innovative products/solutions for readers, advertisers, viewers, and now listeners of FM and unique techno-based communication projects. An integrated well-balanced print-to-electronic presence provides hedging. This diversified model of business has shown great challenging business environment. While Vehicle Tracking System contract of GSRTC assure timely and confirmed recovery of dues, whereas the advertisements ensure better profitabilitymargins.

Project Selection and Execution

Your Companys comprehensive evaluation of opportunities in media projects includes the following parameters: strength, bureaucratic structure, track record with others/ us, contract management strength, Advertiser: Constitution, financial appropriateness of advertisement for local market, etc.

Pre-development: Financing flexibility to fund the content generation, community/ political over the life of the project, regulatory approval delays, etc. Finance: Commercial viability of the project, capacity of the lender to evaluate and speed in providing the credit lines, repayment mechanism, credit availability on viable terms, etc. Publishing/ broadcasting: Viability of the design/technology, availability of artists and content, outlook of content cost, contentprovider failure, etc.

Market: Local economic conditions, demand-supply outlook, interest/ inflation rate scenario, etc.

Your Company has developed fundamental understanding of the process and its many facets. To be successful, your Company must manage not only its own performance, but also the collaboration of numerous professionals representing multiple disciplines. Throughout this process, your Company has to identify and mitigate inherent risks that can threaten the viability of the project. It is broadly evaluated in three parts: 1) preliminary considerations, market analysis, financial analysis, and strategic marketing; 2) content selection and due diligence, royalties, entitlements, permissions, etc.; and 3) publishing and broadcasting management. Hence, with sufficient due-diligence the project is selected and execution is carried-out accordingly by your Company. Your Companys Quality Management System is ISO 9001:2015 accredited by QSA International, UK that include Planning, Design & Development, Execution and Operations Activities for Media Products.

Project Management and Monitoring:

Your Company has adopted an integrated system for planning, scheduling, monitoring and control of the approved project under implementation. To co-ordinate and synchronize all the support function of Project Management it relies on an Integrated Project Management Control System which integrates its project management, contract management and control function addressing all stages of project implementation from concept to commissioning. Various features for information delivery of ERP facilitate project tracking, issues resolution and management interventions on a regular basis. Integrated ERP platform for monitoring and controlling of critical project activities spread across various functions projects, contracts, finance and execution. This will help in decision support through timely identification of critical input and provide a holistic approach towards project implementation and major project milestones.

Financial Resources

The foremost source of finance of your Company has traditionally been internal accruals and borrowings from banks. Your Company has made financial arrangement with banks by availing credit facilities and reclassification of existing credit facilities and financial institutions for its various long-term and working capital requirements.

OPPORTUNITIES

The M&E industry presents significant growth potential, driven by the accelerating pace of urbanization. As cities expand and new digital avenues emerge, there will be increased demand for content and services that support local economies and enrich the lives of citizens. Various government initiatives, such as the introduction of integrated vehicle tracking systems and Smart TV platforms, are further expected to create new growth avenues for media companies, allowing them to expand their reach and influence.These shifts represent a unique opportunity for players in the M&E space, and our company is strategically positioned to leverage these developments in its home state, which remains a key growth hub for India.

The governments push to include radio functionality in mobile handsets is expected to drive up listener engagement, enabling radio stations to reach broader audiences across regions. As the digital medium continues to capture the publics attention, radio is increasingly adopting innovative approaches to remain a central player in content creation. Whether through on-the-ground events, branded content, or podcasts, radio stations are diversifying their revenue streams and offering holistic solutions to advertisers. This transformation is creating exciting opportunities for companies to enhance their earnings and strengthen their market position in the ever-evolving media landscape.

THREATS – RISKS & CHALLENGES:

Fast Changing Technology: The biggest threat being faced by the Media and Entertainment Industry is about fast changing technology. Only a few percentages of players in the media industry are welcoming new technologies to their area of work, while the majority are hesitant and are concerned about the backfire or the trouble these new "uncommon" solutions will cause. This results in dependency on outdated methodologies making it difficult for the players to communicate business between themselves. Use of terms like "big data", "artificial intelligence", "automation" etc.

Cyber Attack: The other most important threat presently being faced is increasing Cyber Attack instances. Attackers frequently use surface, deep and dark web chatrooms and forums to plan attacks, choose targets and sell hacking services. This chatter can become useful intelligence for media and entertainment agencies looking to thwart attacks on talent, fans and brand before they occur. Early warning of stolen credentials, account hacking attempts and impersonations is necessary to protect media brands and talent alike. Within the media and entertainment industry, ZeroFox identified 450,000 incidents related to cyber attack chatter within the specified time period.

Scale of audience: Understanding the scale of change of online audiences and digital media in India is constraints affecting growth and smooth functioning of your Company. The industry in which your Company operates is highly evolving and is becoming techno driven. The change is trend in society impacts substantially to the business of your Company.

Macroeconomic environment: Macroeconomic environment can be a potential source of risk. Moderating growth, along with high inflation, can adversely impact advertising revenues of your Company, which forms the largest component of your Companys revenues. Changing Trend: It may not be possible to consistently predict audience tastes. Peoples tastes vary quite rapidly along with the trends and environment they live in. In such markets it is virtually impossible to make prediction. Competitive environment: Your Company operates in highly competitive environment that is subject to innovations, changes and varying levels of resources available to each player in each segment of business. Your Company has been able to maintain its business volumes in circulations and/ or advertisements despite of the major affecting factors e.g. changes in technology, social trends, lifestyle of the people, competition with the other local/regional media houses.

Apart that your Company has identified various risks associated with the business and its mitigating steps as under.

Risk	Explanation	Mitigation Approach
Pandemic risk	Any epidemic/pandemic can cause interruption/disruption in the execution and business	Your Company Operates in media sector which includes both kind of employees such as field work and non field work. Media sector is accountable for latest updates/impact/effect in economy and there actual status. Therefore strict adherence to the government/HSE guidelines in place and in addition to that your Company focuses to ensure the health and safety of all employees, labourers, suppliers and channel partners, while initiating stringent measures to control costs and strengthen cash flows.
Interest rate risk	Your Companys interest costs are impacted by market rates.	Your Companys liquidity and borrowing are managed by professional at Senior management level. The interest rate exposure of your Company is reduced by matching the duration of investments and borrowings.
Credit risk	Your Companys Principals ability to pay can have an impact on the financial result.	As per your Companys policy only well-established institutions/corporate are approved as counter parties. Exposure per counter party is continuously monitored.
Liquidity risk	Acceptable liquidity levels are required in order to achieve desired financial results.	In addition to its own liquidity, your Company enjoys credit facilities with the largest Bank of the country as well as other banks/financial institutions of high-standing and good repute. Processes and policies related to such risks are overseen by senior management. Management monitors the groups net liquidity position through rolling forecast on the basis of expected cash flows.
Competitor risk	Competitors find ways to operate with better functioning/latest technologies.	Your Company aims to be the cost and value leader, meaning striving to innovate and bring new and increased value through the innovation to our customers while at the same time working to assure that your Companys operations are world class in terms of efficiency, cost and popularity.
Economic down turn	Your Companys customers could be impacted by a major economic down turn resulting in lower demand for their respective marketing.	Your Company has a highly diversified and well balanced customer base. The risk is therefore spread very widely on customer, regional and industrial sector/ segment perspective. Your Companys flexible business model is set operational priorities in the face of changing economic scenario. Your Company uses market data intelligence to follow and anticipate developments allowing proactive management of changing market conditions.
Execution risk	It depends on various factors e.g. labour availability, raw material prices, receipt of approvals and regulatory clearances, access to utilities, weather conditions, and absence of contingencies such as litigation.	Your Company manages the adversities with cautious approach, meticulous planning and by engaging established and repute printers, dedicated employees and well established compliance Framework.
Input cost	Significant changes in raw material	Your Company has established a proficient supply chain and well equipped
fluctuations costs and maintenance cost can with technical support which assures to play in a highly competitive manner.
	impact the profitability.	Raw material cost indexes could also be included in contractor/supplier agreements.
Labour disputes	Industrial disputes lead to industrial action with impacts your Companys ability to meet principal/ client demands.	Your Company maintains an open and positive relationship with all the employees, sub-contractors, workers, etc.; as exemplified by not a single instance of any such dispute so far.
Corrupt or fraudulent actions carried out by your Companys representatives	Your Companys employee or employees fail to adhere to your Companys Code of Conduct and related policies and requirements and act in a fraudulent or corrupt manner leading to financial penalties and reputation damage.	Your Company takes a proactive approach to assure awareness of demanded ethical standards by education, compliance programmes including anti- corruption, anti fraud and antitrust. The work to follow up adherence is facilitated by the whistle blower function and a risk-and incident based audit system.
Non- compliance with applicable laws	The diverse nature of your Companys business and operations means that your Company is required to adhere to numerous laws and regulations related to all aspects of its activities. Failure to meet these requirements could lead to legal and financial consequences as well as damage to your Companys reputation.	Your Company has put in place comprehensive and robust compliance programme which is based on your Companys Code of Conduct. The compliance programme is put in place to ensure that applicable laws and regulations are identified, understood and adhered to.
Legal risks relating to our business activities	In connection with the revenue of your Company and in the purchase of materials and services from our suppliers, consultants, etc. large potential liabilities may occur in case of e.g. late delivery, delivery of defective products, unfulfilled service commitments and in correct advice. Therefore, it is important that all such risks are identified, that risk decisions are taken on the appropriate level and that carefully worded contractual provisions aiming at reducing your Companys liabilities are included in contracts.	Your Company has put in place policies, procedures and training programs in order to make sure that legal risk relating to our business activities are identifiedand that risk decisions are taken on the appropriate level. In addition, independent professional legal counsels support your Company indentifying and handling legal risks. The legal counsels work closely with the Senior management and provide contract drafting and negotiation support, claim and litigation management, support, training and general advice.

RISK MANAGEMENT POLICY:

Your Company believes that Risk management is a holistic, integrated, structured and disciplined approach to managing risks with the objective of maximizing shareholders value. It aligns strategy, processes, people & culture, technology and governance with the purpose of evaluating and managing the uncertainties faced by the organization while creating value.With this vision to integrate risk management with the overall strategic and operational practices, an Enterprise Risk Management Framework has been established by the Company; as a comprehensive set of components that provide the foundations and organizational arrangements for designing, implementing, monitoring, reviewing and continually improving risk management throughout the organization. As explained herein above, the core team of the management continuously access and ascertain various risks and also work on mitigating factors. The risk management policy of the Company therefore includes two fundamental tasks to identify the risks at very nascent stages of processes and immediate thoughtful actions to minimize or mitigate the risks.

CORPORATE GOVERNANCE:

Your Companys Corporate Governance philosophy is based on conscience, openness, fairness, professionalism and accountability.

These qualities are ingrained in its value system and are reflectedin its policies, procedures and systems. Your Company not only believes in adopting the best corporate governance system but also in proactive inclusion of public interest in its corporate priorities. The Company has its mission, vision, goals and core values. The Company is being governed in accordance with the policies, code of conducts, charters and various committees are formed in accordance with the law to ensure governance. The Companies Act, 2013 and SEBI Listing Regulations have strengthened the governance regime in the country. Your Company is in compliance with the governance requirements provided under the law and listing regulations. The Company has adopted the policies in line with new governance requirements including the Policy on Related Party Transactions, Policy on Material Subsidiariesand Whistle Blower Policy. These policies are available on the website of the Company at www.sambhaav.com. The Company has established a vigil mechanism for Directors and employees to report their genuine concerns, details of which have been given in the Corporate Governance Report annexed to this Report. Pursuant to Section 134(3) (a) and Section 92(3) of the Companies Act, 2013 read with rule 12(1) of the Companies (Management and Administration) Rules, 2014, a copy of the Annual Return is placed on the website of the Company and can be accessed at www. sambhaav.com. A separate report on Corporate Governance is provided together with a Certificate from the Statutory Auditors of the Company regarding compliance of conditions of Corporate Governance as stipulated under Listing Regulations. A Certificate of the CEO and CFO of the Company in terms of Listing Regulations, inter alia, confirming the correctness of the financial statements and cash flow statements, adequacy of the internal control measures and reporting of matters to the Audit Committee, is also annexed.

WORK CULTURE AND HUMAN RESOURCES:

SAMBHAAV believes that its people are the biggest driver of success and the Company has a strong focus on attracting, developing and retaining talent. The people strategy of the Company is founded on three pillars – improving the employer brand, creating an organizational context that inspires employees to do their best and being futureready through capability building and talent pipelining. All current and future interventions are focused on driving one or more of these outcomes. The management believes in team work and a corporate environment which is self-motivating. Your Company has successfully developed a work force of people over a period of time. The top management is acting as the governing force in creating and maintaining the corporate work culture. Our Vision is to raise our own benchmarks with every successive endeavour and it is possible only by making every employee a fully engaged and aligned team member. There were 57 employees in the Company as on 31 March, 2025.

INTERNAL CONTROL SYSTEM:

Companys internal control systems are commensurate with the nature of its business and the size and complexity of its operations. These are routinely tested and certified by Statutory as well as Internal Auditors and cover key business areas. Significant and follow up actions thereon are reported to the Audit Committee. The Audit Committee reviews adequacy and effectiveness of the Companys internal control processes and monitors the implementation of audit recommendations, including those relating to strengthening of the Companys risk management policies and systems. The Accounting Policies are reviewed and updated from time to time. Your Company has put in place comprehensive systems and procedural guidelines concerning other areas of business, too, like budgeting, execution, content management, quality, safety, procurement, asset management, human resources etc., which are adequate and necessary considering the size and level of operations of the Company.

The management has been making constant efforts to review and upgrade existing systems and processes to gear up and meet the changing needs of the business.

FINANCIAL PERFORMANCE:

Our Company has registered financial figures which has shown slight downward trend when compare to previous year. The overall financial performance of your Company on various parameters is as under.

Total Income:

Total Income has decreased by 6.90 % from 4,226.02 Lakhs for FY-2023-24 to 3934.60 Lakhs for FY-2024-25, it is noted that income in year 2025 has been slightly decreased compared to the previous year.

Revenue from Operations:

Operating revenue is decreased by 4.98 % from 3,941.66 Lakhs for FY-2023-24 to 3,745.25 Lakhs for FY-2024-25 due to market slow down as prime reason. Moreover, it is observed economic conditions, market trends, changes in consumer behaviour, and other external factors have also played a significant role in decrease in income.

Expenditure other than Finance and Depreciation & Amortization:

Total Operational expenditure other than Finance and Depreciation & Amortization has been decreased by slightly from 3391.47 Lakhs for FY-2023-24 to 3250.11 Lakhs for FY-2024-25. In year operational expenses are almost equal when compared to last year in view of fact that Administration and accounts efforts were minimise the expenses.

Profitability:

At EBITDA level, it has also decreased by 10.01 % from 550.19 Lakhs for FY 2024 to 495.14 Lakhs for FY 2025 mainly due to Revenue from operation is less this year compared to last year.

Net Worth:

The total net worth of the Company at March 31, 2024 was 8249.31 Lakhs which has increased to 8363.57 Lakhs at March 31, 2025 because of 114.26 Lakhss profit earned by the company at the end of financial year.

FINANCIAL POSITION:

Financial Position at March 31, 2025 as compared to March 31, 2024 is furnished further.

SOURCES OF FUNDS:

Share Capital, Reserves & Surplus:

The Paid-up Equity Share Capital of the Company at March 31, 2025 stands at 1,911.11 Lakhs and there is no change in the paid share capital of the Company during the year. On the other hand, Reserves & Surplus at March 31, 2025 stands at 6,452.46 Lakhs as compared to 6,338.20 Lakhs at March 31, 2024. Since the company has incurred a profit, the Reserve & Surplus for the year increased the retained earnings.

Debt:

Total debt of company decreased by 137.02 Lakhs and now the same is stood at 620.73 Lakhs at March 31, 2025 as compared to 757.75 lakhs as on March 31, 2024. The company has utilized less working capital compared to last year. Our Company expanded its operations, or entered new markets, which required additional working capital to support these initiatives, however, recovery of payments timely from customers can have a significant impact on a companys working capital and cash flow Especially when customers made timely to pay their outstanding.

Current Liabilities and Provisions: -

Current Liabilities and Provisions mainly representing Trade Payables, Secured Loans, Statutory Dues, Advances received from Customers, short term provisions for Employee Benefits and other payables, Tax Liability etc. The same has been decreased by 3.95 Lakhs and stood at 242.48 Lakhs as on March 31, 2025 as compared to 246.43 Lakhs at March 31, 2024.

APPLICATION OF FUNDS: Non-Current Assets

Fixed Assets:

Our Companys Fixed Assets has been decreased by 146.72 Lakhs and the same was stood at 4483.61 Lakhs as on March 31, 2025 compare to it was standing at 4,630.33 Lakhs as on March 31, 2024. The same is mainly due to Depreciation and Amortisation element.

As Fixed Assets are used or consumed in the companys operations, their values are systematically reduced on the balance sheet through depreciation and amortization expenses.

Non-current Investments:

Non-current Investments have increased by 1120.51 Lakhs and the same was standing at 2,096.90 Lakhs as on March 31, 2025, as compared to previous year, it was standing at 976.39 Lakhs as on March 31, 2024. The same has been effected as our company has increased investment to others company.

Long term loans and advances:

The decrease in the long-term loans and advances from 341.20 Lakhs at March 31, 2024 to 330.00 Lakhs as on March 31, 2025 is mainly on account of business operations.

Other non-Current Assets

The decrease in the other current asset and other financial asset from 797.66 lakhs at March 31,2024 to 133.44 lakhs as on March 31,

2025 is mainly on account of business operations.

Current Assets:

Current Assets mainly represent Inventories, Trade Receivables, Cash & Bank Balances, Short term loans and advances and Other Current

Assets. The decrease in current assets has been reported by 296.57 Lakhs. The same was standing at 3,136.47 Lakhs as on March 31, 2024 to 2,839.90 Lakhs as on March 31, 2025, is mainly attributable to decrease in other current assets.

Inventories:

Raw Material and Components valued at Cost used by the Company increased by 20.74 Lakhs i.e. from 2.96 Lakhs at March 31, 2024 to 23.70 Lakhs at March 31, 2025.

Trade Receivables:

Trade receivables stood at 1,305.08 Lakhs at March 31, 2025 as against 1,585.01 Lakhs at March 31, 2024. Major reason in decrease of trade receivable due government business and company is collecting its outstandingcustomerpaymentsmoreefficiently. Improved collection process and Stringent Credit Policies of the company.

Cash and Bank Balances:

The cash and bank balances lying with the Company, at March 31, 2025 are 22.13 Lakhs as against 31.49 Lakhs at March 31, 2024.

Short Term Loans and Advances:

There was increase of 424.38 Lakhs in current portion of Inter corporate loan, other advances and Advance tax i.e. from 500.30 Lakhs at March 31, 2024 to 924.68 Lakhs at March 31, 2025.

Key Financial Ratios:

Ratio	FY 2025	FY 2024	Changes & Explanation
Days Sales Outstanding (in Days)	127	147	Days Sales Outstanding represents average number of days within which payments are received from the clients. During the year several revenues from Government departments and several from private. We focused on private advertisement collection therefore the ratio is decreased in FY 2025 as compared to FY2024.
Debtors Turnover (in times)	2.59	2.56	There is no significant change in Debtors Turnover Ratio.
Inventory Turnover (in times)	26.52	35.04	Change in inventory turnover due to decrease in revenue from operations of the company during the current financial year.
Interest Coverage Ratio (in Times)	3.02	1.49	Debt service coverage ratio improved during the year on account of profit during the years
Current Ratio (in Times)	3.38	3.23	Current Asset Ratio has improved on account of reduction in Trade Payables i.e. current liability during the year
Debt Equity Ratio (in Times)	0.07	0.09	Debt reduced during the year resulting into lower debt equity ratio.
Operating Profit Margin 18.28 21.17 There is insignificant change in Operating Profit Margin during the year as (%)			compared to the previous financial year and remain almost unchanged.
Net Profit Margin (%)	2.93	0.89	The Company has earned profit during the year resulting into increase in Net Profit Ratio
Return on Net Worth (%)	1.31	0.43	Return on Net worth position improved as compared to the previous financial year because of increase in profitability reduction in high interest bearing debt and operational efficiencies.

Forward Looking Statement

This Annual Report contains forward-looking statements, which may be identified by their use of words like ‘plans, ‘expects, ‘will, ‘anticipates, ‘intends, ‘projects, ‘estimates, or other words of similar import. All statements that address expectations or projections about the future, including but not limited to statements about the Companys strategy for growth, product development, market position, expenditure, and financial results, forward-looking statements. Forward-looking statements are based on certain assumptions and expectations of future events. The Company cannot guarantee that these assumptions and expectations are accurate or will be realized. The Companys actual results, performance or achievements could thus differ materially from those projected in any such forward-looking statements. The Company assumes no responsibility to publicly amend, modify or revise any forward- looking statements, on the basis of any subsequent developments, information or events.