Shree Global Tradefin Ltd Management Discussions.

The core business of the Company is trading in Iron & Steel products. The Management discussions and analysis is given hereunder:-

a) Industry structure and development: Company is engaged in trading activity primarily having vast potential & now being getting attention of the organised sector.

b) Opportunities and threats: Sustained economic growth in the country may affect the business of the Company and sector overall. However, the Company is taking proper steps to mitigate the business risk.

c) Segment-wise performance: The Company is operating on only one broad segment and hence separate segmental reporting is not applicable. The Company has no activity outside India.

d) Outlook: The outlook for 2019-2020 has to be viewed in the context of overall economic scenario etc.

e) Risk and concerns: The Company is exposed to general market risk and is initiating adequate step.

f) Internal control system: The Company maintains adequate internal control systems, which provide adequate safeguards and proper monitoring of the transactions.

g) Discussion on financial performance with respect to operating performance: The operating performance of the Company has been discussed in Directors Report under the head "Financial Performance and the state of the Companys Affairs" in the current year.

h) Human resources and industrial relations: During the year under review the Employee/Industrial relations remained cordial.

i) Key Financial Ratios

In accordance with the SEBI (Listing Obligations and Disclosure Requirements 2018) (Amendment) Regulations, 2018, the Company is required to give details of significant changes (change of 25% or more as compared to the immediately previous financial year) in key financial ratios.

The Company has identified the following ratios as key financial ratios:

Particulars 2018-19 2017-18
Debtor Turnover Ratio (times) 3.26 27.15
Current Ratio 1.22 34.40

Ratios where there has been a significant change as compared to immediately preceding financial year.

The Debt to Equity Ratio has decreased significantly due to reduction in sales and the Current ratio has decreased significantly due to the reduction in current assets.

Return on Networth

The details of return on net worth are given below :

Particulars 2018-19 2017-18
Return on networth (%) (0.07) (0.05)

The return on networth has decreased due to the increase in the loss of the Company from Rs. 594.11 Lakhs in the previous Financial Year 2017-18 to Rs. 803.63 Lakhs in the Current Financial Year 2018-19.

j) Cautionary Statement: The Management Discussion and Analysis describe Companys projections, expectations or predictions and are forward looking statements within the meaning of applicable 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 and supply and price conditions in domestic and international market, changes in Government regulations, tax regimes, economic developments and other related and incidental factors.