SKM Egg Products Export India Ltd Management Discussions

Key factors which affect the performance of the Company:

Key factors which affect the performance of the Company:

01. The Company recorded revenue of Rs.78,590 lakhs (including other income of Rs.1,910 lakhs) for the year ended 31st March, 2026 as against Rs.50,740 lakhs (including other income of Rs.1,404 lakhs) in the previous year ended 31st March, 2025.

02. The Profit before tax was at Rs.13,581 lakhs for the year ended 31st March, 2026 as compared to Rs.4,694 lakhs during the corresponding in the last year.

03. The Net Profit was at Rs.10,094 lakhs as on 31st March, 2026 as against Rs.3,299 lakhs in the previous year.

04. The quantity sold during the year 2025- 26, of both egg powder and egg liquid stood at 13,987 Tons in aggregate, when compared to 9,620 Tons during the previous year ended 31st March, 2025.

CAPITAL EXPENDITURE AND FUNDING

CAPITAL EXPENDITURE AND FUNDING

01. The capital expenditure incurred and funded for the year is Rs.1,424 lakhs of which Rs.202 lakhs pertain to plant and machinery.

02. During the year and review, your company has sold/deleted/adjusted assets worth Rs.538 lakhs.

SALES AND MARKETING

SALES AND MARKETINGSKM Egg Products Export (India) Limited has successfully completed 29 years as one of Indias leading manufacturers and exporters of value- added egg products. The Company continued to strengthen its presence across key international markets including Russia, Europe, Japan, Southeast Asia, the Middle East and Africa through its continued focus on quality, customer relationships and reliable supply.

During the year, the global egg products market experienced strong demand, particularly for Egg Yolk Powder, due to supply constraints in several producing countries affected by Avian Influenza. Despite increasing global competition and market challenges, SKM successfully maintained uninterrupted supplies to its customers and continued to strengthen its position in key export markets, including Russia.

The Company intensified its focus on the South Korean market, where recent changes in import duty have created new opportunities for Indian egg products. Participation in an international food exhibition in Seoul generated encouraging responses for Whole Egg Powder and Frozen Liquid Egg Products. SKM also expanded its activities in the African market, supplying industrial customers through established business partners.

As part of its market diversification strategy, the Company continued to strengthen its network of non- exclusive distributors across Southeast Asia, with particular emphasis on Indonesia, which offers significant long- term growth potential. Customer visits, technical discussions and participation in international exhibitions continued to play an important role in developing new business opportunities and strengthening existing customer relationships.

Going forward, the Company will continue to focus on expanding its global presence through value- added products, strategic distribution partnerships and entry into new international markets while maintaining its commitment to quality and customer satisfaction.

SUBSIDIARY COMPANY-SKM EUROPE:

Our subsidiary has played a significant role in identifying new customers across Europe and enhancing customer confidence by providing timely and quality services. As a result, the Company has acquired a number of new customers in the European Union (EU) countries and has commenced shipments of Whole Egg Powder and Egg Yolk Powder to these customers, who continue to place repeat orders with the Company.

HUMAN RESOURCES:

The Company considers its human resources as its most valuable asset and remains committed to fostering a productive, inclusive, and performance- driven work environment. The Human Resources (HR) Division is responsible for talent acquisition, employee development, compensation and benefits, performance management, and ensuring compliance with applicable labour and employment laws.

The Company provides various employee welfare measures, including Mediclaim insurance, transportation, uniforms, accommodation, and statutory social security benefits such as Employees Provident Fund (EPF), Employees State Insurance (ESI), and Gratuity, as applicable. The Board places on record its sincere appreciation for the dedication and valuable contributions of all employees towards the Companys continued growth and success.