Sodhani Academy of Fintech Enablers Ltd Management Discussions

The Management of SODHANI ACADEMY OF FINTECH ENABLERS LIMITED Presenting Management Discussion and Analysis Report covering the operational and financial performance of the company for the year 2024-25, the core business of the company is Providing education, training, and consultancy services in the fields of financial literacy, fintech, and skill development—especially focused on empowering students, professionals, women, and underserved communities with future-ready financial and digital skills.

INDUSTRY STRUCTURE AND DEVELOPMENTS

The Indian education and skill development industry is undergoing a paradigm shift, with increasing focus on vocational training, digital learning, and financial literacy. As India transitions into a digitally empowered and financially inclusive economy, the need for future-ready skills—particularly in the BFSI (Banking, Financial Services, and Insurance) sector—has become paramount. The National Education Policy (NEP), the Digital India and Skill India Missions, and growing public-private collaborations have provided a supportive policy ecosystem for edtech and fintech skill providers like SAFE. However, the persistent gap between academic training and employability continues to challenge the sector. In response, institutions are evolving their offerings to include more experiential and hybrid learning formats, addressing real-time industry requirements.

BUSINESS OVERVIEW

Sodhani Academy of Fintech Enablers Ltd. (SAFE) is a pioneering institution dedicated to advancing financial literacy, skill development, and inclusive education in India. With a mission to bridge the gap between academic knowledge and practical industry application, SAFE empowers individuals across age groups and social backgrounds to become financially aware, digitally equipped, and employment-ready. SAFE specializes in delivering structured, experiential, and outcome-driven learning programs in the fields of financial services, fintech education, and digital safety. Its programs are tailored for students, professionals, women, and underserved communities, with a focus on real-world competencies and future-ready skills. Over the years, the Company has trained more than 50,000 learners through its network of expert trainers and institutional partnerships.

The Companys business model is built on three strategic pillars:

1. Training and Education: Offering short-term and long-term courses in BFSI, digital finance, stock market basics, and cyber awareness.

2. Public-Private Collaborations: Partnering with government bodies, educational institutions, and regulatory agencies such as the Government of Rajasthan, BSE Institute Ltd., and BFSI Sector Skill Council to expand financial education nationwide.

3. Technology-Driven Learning: Deploying AI-based Learning Management Systems (LMS), gamified content, and paperless classrooms to deliver scalable and personalized education solutions.

In FY 2024–25, SAFE successfully expanded its physical footprint by launching new branches in Bangalore and Guwahati, and plans to add several more across India. It also achieved a significant milestone by launching its Initial Public Offering (IPO) on the BSE Emerge platform, signaling its strong institutional foundation and commitment to transparency and growth.

SAFEs unique programs like "Masti Ki Pathshala", its focus on women empowerment, and its inclusion of school-based financial education underscore its commitment to nation-building through education. Its continued investment in digital platforms, academic research, and strategic partnerships positions the Company as a key enabler of Indias financial and digital empowerment agenda.

OPPORTUNITIES

As a leading institution in financial education and fintech skill development, Sodhani Academy of Fintech Enablers Ltd. (SAFE) is strategically positioned to leverage a wide array of emerging opportunities in the rapidly evolving Indian and global education landscape. The convergence of government policy initiatives, digital transformation, and heightened awareness around financial literacy presents a strong foundation for sustainable and scalable growth.

? National Policy Alignment

The National Education Policy (NEP) 2020, along with flagship missions such as Digital India, Skill India, and Beti Bachao Beti Padhao, provides fertile ground for SAFE to expand its outreach through government-backed programs. The increasing emphasis on integrating vocational training and financial literacy into formal education frameworks opens doors for curriculum alignment and large-scale institutional partnerships.

? Digital Learning & AI Integration

The rise of digital learning platforms and the growing demand for personalized education offer SAFE a unique opportunity to scale through AI-powered Learning Management Systems (LMS), mobile-first platforms, and data-driven adaptive learning. These tools enhance learner engagement, accessibility, and outcomes—especially in remote and underserved regions.

? Fintech Sector Growth

Indias fintech sector is projected to be increased . This exponential growth demands a skilled, future-ready workforce, creating demand for specialized programs in digital banking, cybersecurity, blockchain, and AI in finance—all of which align with SAFEs training capabilities.

? School & Youth-Centric Financial Literacy

With low financial literacy levels among school-aged youth, there is a significant opportunity to expand initiatives like "Masti Ki Pathshala" through formal collaborations with state education boards and CSR-funded school interventions. SAFEs partnership with the Government of Rajasthan serves as a replicable model for nationwide adoption.

? Women Empowerment and Gender-Inclusive Programs

Rising awareness around womens financial inclusion and digital participation provides scope to expand SAFEs women-centric training programs. By building confidence, financial independence, and entrepreneurship among women, SAFE can contribute to socioeconomic inclusion while tapping into a high-impact, socially aligned market.

? International Collaboration & Globalization

As India strengthens its position in global education and fintech innovation, SAFE is well-positioned to explore international partnerships with universities, development agencies, and global platforms to export its training models and contribute to the UN Sustainable Development Goals (SDGs), particularly in quality education, gender equality, and economic empowerment.

? Expansion into Tier-2 and Tier-3 Markets

Rapid urbanization and rising aspirations in tier-2 and tier-3 cities present an underserved yet high-potential market for skill development and employment-oriented education. SAFEs proven training model and scalable infrastructure make it well-suited to lead this next wave of inclusive growth.

Threats and Mitigation Strategies

Sodhani Academy of Fintech Enablers Ltd. (SAFE) operates in a dynamic and highly regulated environment. While the Company is well-positioned for long-term growth, it remains exposed to various operational, strategic, and external threats. SAFE adopts a proactive and structured approach to risk management through continuous monitoring, policy alignment, and agile decision-making.

Threat	Description	Mitigation Strategy
Low Public Awareness Skill-Based Education	of Preference for conventional - Conduct nationwide awareness academic degrees participation in vocational fintech education programs.	limits campaigns and community and outreach programs. - Leverage partnerships with schools and governments to integrate financial literacy into formal education.
		- Promote success stories and learner outcomes through targeted communication.
Technological Obsolescence	Rapid advancements in fintech and - Establish a Research & digital learning tools may existing offerings outdated.	render Innovation Cell to track emerging trends.
		- Invest in regular curriculum
		upgrades and modular, adaptive learning frameworks.
		- Adopt scalable and cloud-based digital infrastructure that allows real-time updates.
Market Competition	Increasing competition from global edtech players and new entrants in the fintech skilling space.	- Focus on differentiated offerings such as vernacular content, localized delivery, and public sector integration.
		- Continue to build exclusive strategic partnerships (e.g., with BSE Institute, BFSI SSC, government bodies).
		- Enhance learner experience through personalized and AI- enabled learning platforms.
Regulatory and Policy Risk	Dependence on government-backed initiatives and policy support may lead to disruption due to policy shifts or delays.	- Diversify offerings through institutional, private, and B2C models. - Build long-term, multi-year MoUs with government entities.
		- Regularly engage with policymakers and maintain a strong compliance function.
Digital Infrastructure Gaps in Rural Areas	Internet access limitations and low digital literacy hinder program access in remote locations.	- Develop offline-accessible and hybrid learning modules. - Work with local institutions to establish community learning centers.
		- Promote mobile-first and low- bandwidth content formats.
Data Privacy & Cyber security	Exposure to cyber threats due to the expansion of digital platforms and collection of learner data.	- Implement enterprise-grade security protocols and encryption standards.
		- Conduct regular cyber security audits and risk assessments.
		- Comply with applicable data privacy regulations (e.g., DPDP Act, GDPR where relevant).
Talent Dependency	Dependence on key trainers and experts may impact delivery and innovation if not retained.	- Build a robust talent pipeline through continuous hiring and trainer development programs.
		- Implement employee retention strategies including performance incentives and career advancement pathways.
		- Establish a scalable network of affiliate trainers and guest faculty.

Financial Performance (Segment–wise or product-wise performance)

Sodhani Academy of Fintech Enablers Ltd. ("SAFE") delivered a strong financial performance for the year ended 31st March 2025, reflecting the Companys sustained growth trajectory, strategic execution, and operational excellence. The results for the year demonstrate robust revenue growth, disciplined cost management, and a sharp improvement in profitability, further consolidating SAFEs leadership position in the education and fintech training ecosystem.

Revenue from Operations

Revenue from operations grew by 73.03%, increasing from 205.08 crore in FY 2023–24 to 354.84 crore in FY 2024–25. This significant rise was driven by the expansion of training programs, scaling up of digital learning platforms, and the increasing adoption of financial literacy initiatives across India.

Other Income

Other income recorded an exceptional increase of 193.78%, rising from 101.87 crore in FY 2023–24 to 299.17 crore in FY 2024–25. This growth was primarily attributable to higher investment returns and enhanced treasury management, reflecting prudent and effective financial stewardship.

Total Income

As a result, the Companys total income almost doubled, registering a 113.04% increase from 306.95 crore in FY 2023–24 to 654.01 crore in FY 2024–25. This underscores SAFEs ability to generate consistent value through both operational and non-operational revenue streams.

Total Expenses

Total expenses increased from 65.68 crore in FY 2023–24 to 168.86 crore in FY 2024–25, in line with the scaling of operations and investment in future growth. Key contributors were:

? Employee benefit expenses: 39.83 crore (up from 25.32 crore) due to capacity expansion and strengthening of talent pool.

? Other expenses: 119.42 crore (up from 39.22 crore) driven by infrastructure enhancement and operational scale-up.

? Depreciation and amortization: 9.61 crore (up from 1.14 crore) reflecting significant investments in technology, infrastructure, and learning platforms.

Profit Before Tax (PBT)

Despite the higher expenditure, Profit Before Tax grew by 101.08% to 485.15 crore in FY 2024–25, compared to 241.27 crore in FY 2023–24. This performance reflects strong cost efficiencies, operational scalability, and effective execution of the Companys strategic priorities.

Profit After Tax (PAT)

Profit After Tax surged by 110%, reaching 384.64 crore in FY 2024–25 as against 183.17 crore in FY 2023–24, demonstrating robust operating leverage and efficient tax planning.

Earnings Per Share (EPS)

The Basic and Diluted EPS increased to 7.34 in FY 2024–25 from 3.88 in FY 2023–24, representing a growth of 89.18%. This significant improvement highlights SAFEs commitment to delivering enhanced shareholder value.

Outlook

Sodhani Academy of Fintech Enablers Ltd. ("SAFE") enters the next phase of its growth with a clear vision—to establish itself as a national leader in financial education, digital skilling, and inclusive learning. Built on a foundation of innovation, strategic partnerships, and a mission-driven approach, the Company remains committed to creating measurable social impact while delivering sustainable value to its stakeholders.

SAFEs growth strategy is closely aligned with Indias national priorities, including the Digital India Mission, Skill India Mission, and the National Education Policy (NEP). With its proven expertise in delivering structured, outcome-driven programs, the Company is well-positioned to contribute to Indias ambition of becoming a knowledge-based, financially literate economy.

Key strategic focus areas for the coming years include:

? Geographic Expansion

Expanding SAFEs footprint through the opening of 4–5 new branch offices in underserved regions, leveraging the success of existing centers in Bangalore and Guwahati, to make high-quality fintech and skill development education accessible nationwide.

? Digital Innovation and AI Integration

Launching an advanced, AI-powered Learning Management System (LMS) to deliver personalized, adaptive learning experiences. Enhancements in mobile-first platforms, gamification, and cloud-based content delivery will enable SAFE to scale its reach, especially in remote and rural areas.

? Curriculum Leadership in Cyber security and AI in Finance

Building on the MOU with BSE Institute Ltd., SAFE will introduce certification programs in cybercrime awareness, financial fraud prevention, and ethical AI usage in finance—addressing critical skill gaps in the evolving digital financial ecosystem.

? School-Level Financial Literacy Initiatives

Leveraging its pioneering partnership with the Government of Rajasthan to integrate financial literacy into school curricula as a model for replication across India. SAFE aims to collaborate with other state governments and educational boards to promote early-stage financial awareness.

? Women in Finance Leadership Program

Designing and launching a flagship program to nurture women leaders in finance, with a special focus on rural and semi-urban regions. The initiative will combine mentorship, leadership training, and entrepreneurial skill development to enhance gender inclusivity in the financial sector.

? Global Partnerships and Research Excellence

Establishing a Research and Innovation Cell to foster thought leadership in fintech education, behavioural economics, responsible investing, and digital inclusion. SAFE will actively pursue collaborations with global academic institutions, industry leaders, and multilateral agencies to align with the UN Sustainable Development Goals (SDGs).

Through these initiatives, SAFE will continue to position itself at the forefront of Indias financial education landscape, combining social responsibility with technological innovation to drive long-term, sustainable growth.

RISK & CONCERNS

Sodhani Academy of Fintech Enablers Ltd. (SAFE) operates in a dynamic environment influenced by rapid technological advancements, evolving regulatory frameworks, and changing learner expectations. The Company recognises key risks such as limited public awareness of skill-based education, the fast pace of technological change, dependence on government and institutional collaborations, and vulnerabilities related to cyber security and data privacy.

Operational challenges also include ensuring scalability, retaining specialised talent in niche domains, and maintaining consistent quality standards across an expanding geographical footprint.

To address these challenges, SAFE has adopted robust risk mitigation strategies, including continuous curriculum innovation, strategic diversification of offerings, investment in advanced digital infrastructure, and strengthening corporate governance practices. The Company remains committed to proactively identifying emerging risks, implementing preventive measures, and safeguarding stakeholder interests to ensure sustainable, long-term growth.

INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY

Company has established a robust and well-structured internal control framework that is commensurate with the size, scale, and complexity of its operations. These systems are designed to provide reasonable assurance that all transactions are executed with proper management authorization, recorded accurately, and comply with applicable statutory and regulatory requirements.

The Companys internal controls encompass both financial and operational processes, ensuring reliability in the preparation and presentation of financial statements in accordance with generally accepted accounting principles. In addition, adequate safeguards are in place to protect the Companys assets against significant loss, unauthorized use, or misappropriation.

The internal control framework is periodically reviewed and strengthened through regular audits, management reviews, and the adoption of best practices, thereby enabling SAFE to respond effectively to evolving business requirements and maintain operational excellence.

Discussion on financial performance with respect to operational performance

The summarized financial performance of the Company as compared to last year is shown as under:

Particulars	2024-25	2023-24	Reason of Movement
Revenue from Operations	354.84	205.08	Significant growth driven by expansion of training programs, scaling of digital platforms, and increased adoption of financial literacy initiatives across India.
Other Income	299.17	101.87	Increase due to higher investment returns and enhanced non-operating income from prudent financial management and treasury operations.
Profit Before Tax	485.15	241.27	Rise attributable to strong cost efficiencies and operational scalability.
Net Profit After Tax	384.64	183.17	Growth reflects strong operating leverage and effective tax planning strategies.
Payment of Dividend (including Interim and DDT)	-	-	No dividend declared during both years.
Earnings Per Share (EPS)	7.34	3.88	Increase indicates higher profitability and enhanced shareholder value.
Current Ratio	4.40	33.87	Decline due to a significant rise in current liabilities, though current assets also increased.
Debt-Equity Ratio	-	-	Not applicable as the Company has no outstanding debt in both years.
Debt Service Coverage Ratio	-	-	Not applicable.
Return on Equity (ROE)	0.28	0.28	Stable ROE as both net income and equity grew proportionally, indicating efficient capital utilization.
Trade Receivables	1.42	0.03	Sharp increase due to higher net credit sales and substantial reduction in average receivables, reflecting
Turnover Ratio			improved collection efficiency.
Trade Payables	1.67	0.59	Increase driven by higher net credit purchases and improved management of payables, indicating stronger
Turnover Ratio Net Capital Turnover			cash flow performance. Improved efficiency in utilizing working capital,
Ratio	3.73	1.63	supported by higher sales and a larger net working

 

Particulars	2024-25	2023-24	Reason of Movement
			capital base.
Net Profit Ratio	1.08	0.89	Increase due to significant rise in net profit alongside sales growth, indicating improved operational efficiency.
Return on Capital Employed (ROCE)	0.35	0.37	Slight decline despite higher EBIT, owing to a proportionally greater increase in capital employed from business expansion.
Return on Investment (ROI)	43.37	13.87	Increase due to substantial rise in investment profits despite higher cost of investments, indicating improved return on a larger investment base.

Human Resources

The Human Resources (HR) function in the advisory sector faces a significant challenge in acquiring talent with the right skill sets, aptitude, and cultural fit, as well as in ensuring retention of high-performing employees. The Company has established a scalable recruitment and human resource management framework designed to attract, develop, and retain top talent. This framework ensures that the organization remains competitive by adopting best practices, innovative methods, and progressive policies in talent acquisition, performance management, and employee engagement.

Health, Safety, and Environment Protection

The Company is committed to maintaining the highest standards of occupational health, safety, and environmental protection across all its operations. Our Health and Safety Policy is aligned with applicable legal requirements and other relevant regulations, ensuring a safe and healthy work environment for all employees. The Company undertakes regular monitoring, training, and awareness programs to enhance workplace safety and promote sustainable environmental practices.

Forward-Looking Statement

The Companys growth strategy is focused on effective implementation of its business expansion plans. We aim to strengthen our presence in the market by appointing a robust network of dealers across India. Additionally, the Company is exploring strategic acquisitions of businesses operating in similar lines of activity to enhance our market share. These initiatives are expected to contribute significantly to increased turnover and profitability over the medium to long term.

This Management Discussion and Analysis contains forward-looking statements reflecting the aspirations, strategies, and anticipated developments of Sodhani Academy of Fintech Enablers Ltd. ("SAFE"). These statements, which include projections of future growth, planned initiatives, strategic priorities, and potential market opportunities, are based on the Companys current expectations, business plans, and market assessments.

Such statements are inherently subject to risks, uncertainties, and assumptions that are difficult to predict, and which are beyond the Companys control. Factors such as economic conditions, regulatory changes, competitive dynamics, technological disruptions, and unforeseen events could cause actual results, performance, or achievements to differ materially from those expressed or implied herein.

SAFE undertakes no obligation to publicly update or revise any forward-looking statements in this report, whether due to future developments, new information, or otherwise, unless required under applicable law. Readers are advised to consider these statements in the context of the inherent risks and opportunities within the financial education and digital skilling sector.

Through its continued focus on innovation, partnerships, and mission-driven execution, SAFE remains committed to advancing financial literacy, enhancing digital capabilities, and delivering sustainable value for all stakeholders.

Occupational Health, Safety, and Environment

Occupational health, safety, and environmental stewardship remain a priority across all our operations nationwide. The Company continuously strives to adhere to industry-leading safety standards and proactively monitors related matters to safeguard the well-being of its employees, contractors, and stakeholders.

Cautionary Statement

Certain statements contained in the Management Discussion and Analysis report describing the Companys objectives, estimates, projections, expectations, or predictions may constitute ‘forward-looking statements within the meaning of applicable securities laws and regulations. Actual results may differ materially from those expressed or implied. Factors that could cause such differences include changes in domestic and international economic conditions affecting demand and supply, fluctuations in pricing in both domestic and overseas markets, regulatory changes, alterations in tax policies, and other economic developments in India and in the countries where the Company operates, as well as other incidental factors.