Shree Krishna Infrastructure Ltd Management Discussions

(Pursuant to Regulation 34(2)(e) of SEBI (LODR) Regulations, 2015 and Section 134 of the Companies Act, 2013)

1. INDUSTRY STRUCTURE AND DEVELOPMENTS

The Indian infrastructure and construction sector continues to remain an important driver of economic growth, supported by sustained government expenditure, urbanisation, infrastructure development and increasing private sector participation. Government initiatives relating to infrastructure development, connectivity, housing and urban development continue to provide opportunities for companies operating in the infrastructure and construction space.

The sector is also witnessing increasing emphasis on sustainable development, efficient project execution, technology adoption and cost optimisation. Demand for residential and commercial infrastructure continues to be supported by urbanisation, improving economic activity and the development of Tier-II and Tier-III cities.

During the financial year 2025 26, the sector continued to operate in an environment characterised by opportunities arising from infrastructure spending as well as challenges relating to input costs, regulatory requirements, financing conditions and competitive pressures.

2. COMPANY OVERVIEW

Shree Krishna Infrastructure Limited operates in the infrastructure and construction segment, with a focus on development of residential and commercial projects. The Company continues to pursue sustainable growth through prudent financial management, operational efficiency and effective utilisation of available resources.

During the financial year 2025 26, the Company recorded total revenue of 65.37 lakhs, as compared to 84.13 lakhs in the previous financial year. Revenue from operations stood at 3.44 lakhs, while other income amounted to 61.93 lakhs.

Despite the decline in total revenue, the Company recorded a significant improvement in profitability. Profit before tax increased to 11.17 lakhs from 4.61 lakhs in the previous year, while profit after tax increased to 9.32 lakhs from 3.45 lakhs. The improvement in profitability was supported by effective cost management, lower depreciation and improved contribution from other income.

3. OPPORTUNITIES AND THREATS

Opportunities

Continued government focus on infrastructure development, connectivity and urban infrastructure.

Opportunities arising from initiatives relating to affordable housing and development of residential and commercial projects. Growing infrastructure requirements in Tier-II and Tier-III cities. Increasing focus on sustainable, energy-efficient and environmentally responsible construction. Opportunities to improve operational efficiency through technology and better project management .

Threats

Fluctuation in the prices of construction materials and other input costs. Changes in interest rates and financing conditions. Delays in regulatory approvals and project execution. Increasing competition in the infrastructure and construction sector. Changes in government policies, regulations and economic conditions .

The Company continues to monitor these factors and take appropriate measures to mitigate their potential impact on its operations and financial performance.

4. SEGMENT-WISE OR PRODUCT-WISE PERFORMANCE

The Company primarily operates in a single business segment, namely infrastructure and construction development. Accordingly, separate segment-wise reporting is not considered necessary.

During the financial year 2025 26, the Company continued to focus on efficient utilisation of resources, cost control and maintaining appropriate quality standards in its activities.

5. OUTLOOK

The long-term outlook for the Indian infrastructure and construction sector remains encouraging, supported by continued public investment, urbanisation, infrastructure development and private sector participation.

The Company intends to leverage available opportunities by exploring suitable business opportunities, strengthening its operational capabilities, improving resource utilisation and maintaining financial discipline. The Company will continue to evaluate projects and opportunities based on their commercial viability and alignment with its overall business objectives.

6. RISKS AND CONCERNS

The Companys operations are exposed to various business and operational risks, including changes in government policies and regulations, fluctuations in interest rates and input costs, project execution risks, regulatory approvals, competition and general economic conditions.

The Company has established appropriate processes for identifying and monitoring material risks associated with its business. The management periodically reviews such risks and takes suitable measures to minimise their potential adverse impact.

The Audit Committee periodically reviews the adequacy and effectiveness of internal controls and risk management systems in accordance with applicable requirements..

7. INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY

The Company has adequate internal financial controls commensurate with its size, scale and nature of business. The internal control framework is designed to ensure reasonable assurance regarding the reliability of financial reporting, safeguarding of assets, compliance with applicable laws and regulations, and effective and efficient operations.

Periodic reviews and internal audits are undertaken, wherever applicable, and significant observations are reviewed by the management and the Audit Committee. Corrective measures are taken wherever considered necessary to strengthen the internal control environment.

The management believes that the Companys internal control systems are adequate and effective for its present scale and nature of operations.

8. FINANCIAL PERFORMANCE WITH RESPECT TO OPERATIONAL PERFORMANCE

Particulars	FY 2025 26 ( in Lakhs)	FY 2024 25 ( in Lakhs)
Total Revenue	3.44	7 9.55
Total Expenses	5 4.07	74.29
Profit Before Tax	11.17	4.61
Profit After Tax	9.32	3.45

The improvement in profitability was primarily driven by cost optimization and effective utilization of resources.

9. HUMAN RESOURCES / INDUSTRIAL RELATIONS

The Company recognises its employees as an important asset for sustainable business growth. The Company continues to endeavour to maintain a positive work environment and promote employee development through appropriate training, performance evaluation and professional development initiatives.

The relationship between management and employees remained cordial during the year under review. The Company continues to focus on employee engagement, productivity and development in line with its business requirements.

10. ENVIRONMENT, HEALTH & SAFETY (EHS)

The Company is committed to maintaining appropriate standards of health, safety and environmental responsibility in its operations. Wherever applicable, necessary safety measures and compliance procedures are followed to promote a safe working environment.

The Company seeks to comply with applicable environmental, health and safety requirements and remains committed to responsible and sustainable business practices.

11. CAUTIONARY STATEMENT

This Management Discussion and Analysis contains statements concerning the Companys objectives, expectations, estimates and future prospects, which may constitute forward-looking statements. These statements are based on certain assumptions and expectations regarding future events and are subject to various risks and uncertainties.

Actual results and performance may differ materially from those expressed or implied in such statements due to factors including changes in economic conditions, government policies and regulations, market conditions, competition, interest rates, project execution, availability and cost of resources, natural calamities and other unforeseen circumstances.

The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of future events, changes in assumptions or otherwise, except as may be required under applicable laws and regulations.

For & on behalf of the Board of Directors
SHREE KRISHNA INFRASTRUCTURE LIMITED
ANIL SHIV CHARAN SINGH
Director
DIN: 09338444

Date: 02/09/2026
Place: Gujarat