Sri KPR Industries Ltd Management Discussions

INDUSTRY STRUCTURE AND DEVELOPMENTS:

As informed during earlier years there is no revenue from sale of A.C. Pressure Pipes except a mere Rs. 9.25 lakhs. There is also no Government Drinking Water Supply Schemes on hand except Operation & Maintenance of one scheme. The payment towards supply of Wind Power located in Andhra Pradesh are being received on regular basis, including its 100% subsidiary of M/ s. Sri KPR Infra & Projects Ltd. Similarly, the payments of supply of wind power to Central Railways from M/ s. Sri Pavan Energy Pvt. Ltd, a 100% subsidiary of M/s. Sri KPR Infra & Projects Ltd are also coming on regular basis.

In regard to collapse of 2 MW Wind Mill of Madhya Pradesh, as informed during earlier year & as informed from time to time to BSE, the present status of case is pending before the Honble Arbitral Tribunal.

OPPORTUNITIES

As informed earlier, and as approved by the shareholders vide postal ballot dated.30.6.2022, the company now taking forward the construction of villa project by giving the factory land to development. The required resolution now being placed in this Annual General Meeting for the approval of the Members.

OUTLOOK, RISKS AND CONCERNS:

The outlook for the company, seems to be fair with small risks and concerns to be faced in real estate as faced by the industry in general.

INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY

The Company has adequate internal audit and control systems. Both internal auditors and statutory auditors independently evaluate the adequacy of internal control system. Based on the audit observations and suggestions, follow up, remedial measures are being taken including review and increase in the scope of coverage, if necessary. The Audit Committee of Directors, in its periodical meetings, reviews the adequacy of internal control systems and procedures and suggests areas of improvements.

Information technology base created by the Company over the period is providing a very useful helping hand in the process. Needless to mention, that ensuring maintenance of proper accounting records, safeguarding assets against loss and misappropriation, compliance of applicable laws, rules and regulations and providing reasonable assurance against fraud and errors will continue to remain central point of the entire control systems.

FINANCIAL PERFOMANCE WITH RESPECT TO OPERATIONAL PERFORMANCE Standalone:

During the year under review, the total revenue has decreased from Rs.5.96 Cr. to Rs.4.27 Cr. The reduction in revenue is mainly attributed to collapse of Madhya Pradesh 2 MW Wind Turbine.

Accordingly, the net profit for year has been decreased from Rs.1.72 Cr. to Rs.1.45 Cr. The earning per share for the year is Rs. 0.72/- as against Rs.0.85/- of the previous year EPS.

Consolidated:

Under the consolidated balance sheet during the year, the total revenue has decreased from Rs.20.99 Cr. to Rs.16.37 Cr. for the reason explained above. Similarly, the net profit has decreased from Rs.7.87 Cr. to Rs.4.61 Cr. The earning per share is Rs.2.29/- as against Rs.3.91/- of the previous year EPS.

Human Resource Development

Human resource is considered as key to the future growth strategy of the Company and looks upon to focus its efforts to further align human resource policies, processes and initiatives to meet its business needs. In order to focus on keeping employees abreast of technological and technical developments.

Cautionary Statement

Statements in the Management Discussion and Analysis describing the Companys objectives, expectations or predictions may be forward looking within the meaning of applicable securities, laws and regulations. Actual results may differ materially from those expressed in the statements. Important factors that would influence the Companys operations include tax laws, procedural hurdles of Government Agencies, delay in execution of Villa project, delay in release of wind Electric payments, economic developments and such other factors within the Country.

FOR SRI KPR INDUSTRIES LIMITED
Sd/- KISHAN REDDY NALLA MANAGING DIRECTOR	Sd/- SRINATH REDDY NALLA WHOLE TIME DIRECTOR
DIN: 00038966	DIN: 00052862
Place: Hyderabad
Date: 02.09.2025