Simca Advertising Ltd Management Discussions

The Management of Simca Advertising Limited ("the Company") is pleased to present the Management Discussion and Analysis Report for the financial year ended March 31, 2026.

1.INDUSTRY OVERVIEW:

The advertising industry in India continues to evolve with changing consumer behaviour, increasing urbanisation, growing mobility and rapid adoption of technology- driven media platforms. The Out- of- Home ("OOH") advertising segment remains an important medium for brands seeking large- scale visibility and consumer engagement across high- traffic locations.

The increasing adoption of Digital Out- of- Home ("DOOH") advertising is further transforming the industry by offering greater flexibility, dynamic content delivery, improved inventory utilisation and enhanced opportunities for advertisers. The growing focus of brands on targeted, technology- enabled and measurable advertising solutions is expected to support the long- term growth of the OOH and DOOH segments.

2.BUSINESS OVERVIEW:

Simca Advertising Limited is engaged in providing comprehensive advertising and communication solutions across Outdoor Advertising, Digital Out- of- Home advertising, BTL activations, exhibitions, signage, retail branding and turnkey marketing solutions.

The Company operates a portfolio of media assets and has established its presence across multiple locations through its network and business relationships. Its business is supported by long- standing relationships with clients and advertising agencies across various sectors.

During the year under review, the Company continued its focus on strengthening its media asset portfolio, expanding its presence, improving operational efficiency and increasing the contribution from digital media assets. The Company remains focused on leveraging its experience in the advertising industry and strengthening its position in the evolving OOH and DOOH ecosystem.

3.FINANCIAL PERFORMANCE:

The financial year 2025- 26 was a significant year for the Company, marked by strong operational and financial performance.

During the year under review, the Company reported Revenue from Operations of 12,722 lakh, as compared to the previous financial year, reflecting a growth of approximately 74.7%. The Companys EBITDA increased to 2,355 lakh, registering growth of approximately 129.6%, while the Profit After Tax stood at 1,662 lakh, reflecting growth of approximately 125.3% over the previous financial year.

The improvement in financial performance was supported by business growth, operational efficiencies, improved operating leverage and increasing contribution from the Companys digital and media asset portfolio.

The key financial highlights are summarised below:

Particulars	FY 2025–26	Growth
Revenue from Operations	?12,722 lakh	74.7%
EBITDA	?2,355 lakh	129.6%
Profit After Tax	?1,662 lakh	125.3%

4.OPPORTUNITIESAND OUTLOOK

The Company believes that the continued growth in urban infrastructure, consumer mobility, retail activity and brand expenditure presents significant opportunities for the OOH advertising industry.

The increasing adoption of digital advertising infrastructure, particularly DOOH media, provides an opportunity to improve asset utilisation and offer advertisers greater flexibility in campaign execution. Digital media assets have the potential to enable dynamic advertising content and multiple advertising slots, thereby enhancing the commercial potential of advertising locations.

The Company intends to continue focusing on:

Expansion and optimisation of its media asset portfolio; Increasing the presence and contribution of digital and DOOH media assets; Strengthening relationships with existing and new clients; Expanding its geographical reach and market presence; Improving operational efficiencies and asset utilisation; and Exploring opportunities arising from evolving advertising technologies and consumer behaviour.

The Companys successful completion of its Initial Public Offering and listing on NSE Emerge during the subsequent period has further strengthened its capital base and provides a platform to pursue its growth and expansion plans.

5.RISKSAND CONCERNS

The Company operates in a dynamic and competitive advertising industry and is exposed to various risks that may affect its business and financial performance.

Competition

The advertising industry is highly competitive, with competition arising from other OOH and DOOH operators as well as alternative advertising platforms. Changes in advertising preferences and increasing competition from digital and other media platforms may impact the demand for the Companys services.

Dependence on Advertising Spend

The Companys business is dependent on advertising expenditure by its clients. Any slowdown in economic activity, reduction in marketing budgets or changes in customer preferences may adversely affect demand for advertising services.

Media Asset and Location Risk

The Companys business depends significantly on the availability and continued operation of strategically located media assets. Changes in lease arrangements, permissions, regulations or access to suitable locations may impact the Companys operations.

Regulatory Risk

The advertising and outdoor media industry is subject to various central, state and local laws, regulations, permissions and municipal requirements. Any adverse change in the regulatory environment may affect the Companys business operations.

Technology Risk

The advertising industry is evolving rapidly with increasing use of digital and technology- enabled media. The Companys ability to adopt and effectively utilise evolving technologies will remain important to its long- term competitiveness.

Client and Market Risk

Changes in client requirements, concentration of business, loss of significant customers or changes in industry trends may affect the Companys revenue and profitability.

The Company continuously monitors these risks and undertakes appropriate measures to mitigate their potential impact on its operations.

6.INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY

The Company has established internal control systems commensurate with the size, nature and complexity of its business operations. The internal control framework is designed to ensure the orderly and efficient conduct of business, safeguarding of assets, prevention and detection of fraud and errors, accuracy and completeness of accounting records and timely preparation of reliable financial information.

The Companys internal controls are periodically reviewed to ensure their adequacy and effectiveness. The Audit Committee reviews the adequacy of the internal financial control systems and other matters relating to internal controls from time to time.

7.HUMAN RESOURCES

The Company recognises that its employees are an important driver of its growth and success. The Company continues to focus on creating a professional and performance- oriented work environment and strengthening its human resource capabilities.

The Companys people contribute across various functions, including business development, marketing, operations, finance and administration. The management continues to focus on employee development, operational efficiency and building capabilities required to support the Companys growth plans.

The Company remains committed to maintaining a positive, inclusive and professional work environment and fostering a culture of accountability, collaboration and continuous improvement.

8.SEGMENT-WISE PERFORMANCE

The Company is primarily engaged in the business of providing Outdoor Advertising Solutions and operates as a single reportable business segment. Accordingly, separate segmentwise financial information is not applicable.

9.MATERIAL DEVELOPMENTS

The financial year 2025- 26 marked an important milestone in the Companys corporate journey. Subsequent to the end of the financial year, the Companys equity shares were listed on the NSE Emerge platform on May 15, 2026.

The listing has enhanced the Companys corporate profile and strengthened its capital base, providing a platform to support its growth and expansion plans.

10.KEY FINANCIAL RATIOS

The details of significant changes in key financial ratios, wherever applicable, along with explanations for such changes, are provided in the notes forming part of the financial statements and/or elsewhere in the Annual Report, as applicable.

11.CAUTIONARY STATEMENT

Statements in this Management Discussion and Analysis Report describing the Companys objectives, expectations, projections, estimates or predictions may be considered as forward- looking statements. Such statements are based on the current expectations and assumptions of the management and are subject to various risks, uncertainties and other factors, including changes in economic conditions, market dynamics, regulatory requirements, technological developments and other factors beyond the Companys control.

Actual results may differ materially from those expressed or implied in such forward- looking statements. The Company undertakes no obligation to publicly update or revise such statements except as may be required under applicable law.

For and on behalf of the Board of Directors

Simca Advertising Limited

Fahim Batliwala Zameer Mistry Managing Director Director DIN - 07559537 DIN - 09642620

Date: August 22, 2026 Place: Bungalow No. C- 6, Swami Samarth Nagar, Roshanlal Nagar, 3rd Cross Lane, Andheri West, Mumbai City, Maharashtra, India - 400 053