Suyog Telematics Ltd Management Discussions

The Management Discussion and Analysis (MD&A) has been prepared in compliance with Regulation 34 of the SEBI (Listing Obligations and Disclosure Requirements) Regulations, 2015, read with Schedule V thereto. The discussion provides an overview of the Companys business environment, industry developments, operational and financial performance, key risks and opportunities, internal control systems and future outlook.

This report contains forward-looking statements based on managements current expectations and assumptions regarding future events. Actual results may differ materially due to various risks and uncertainties, including changes in economic conditions, government policies, regulatory developments, technological advancements, competitive intensity and other factors beyond the Companys control.

GLOBAL ECONOMIC OVERVIEW

The global economy demonstrated resilience during FY 2025-26 despite continued geopolitical tensions, evolving trade policies and varying monetary policy trajectories across major economies. The International Monetary Fund, in its January 2026 World Economic Outlook Update, projected global economic growth at approximately 3.3% for 2026, supported by technology-related investment, fiscal and monetary support, accommodative financial conditions and adaptability of the private sector. At the same time, geopolitical developments, trade- related uncertainties and disruptions in global supply chains continued to remain key risks to the global economic outlook.

The Indian economy continued to demonstrate strong and resilient growth during FY 2025-26. As per the latest estimates released by the Government of India, Indias real GDP is estimated to have grown by 7.6% during FY 2025-26, compared with 7.1% in FY 2024-25. The growth was supported by sustained domestic consumption, strong activity across the manufacturing and services sectors and continued investment in infrastructure. The communication and related services segment also recorded strong growth during the year, reflecting the increasing importance of digital connectivity in the Indian economy.

The telecommunications sector continued to remain a critical component of Indias digital infrastructure. The rapid expansion of 5G networks, increasing data consumption, Fiberization of telecom networks and continued network densification are creating sustained demand for telecom infrastructure. As of February 2026, more than 5.18 lakh 5G Base Transceiver Stations had been installed across the country, with 5G services available in 776 out of 777 districts, highlighting the scale and pace of Indias ongoing telecom network expansion.

The continued adoption of digital technologies, including cloud computing, artificial intelligence, Internet of Things (IoT), edge computing and data- intensive applications, is further increasing the requirement for reliable and high-capacity digital connectivity. These developments are expected to support long-term investments in telecom infrastructure, including towers, poles, optical fiber networks and other passive infrastructure.

Against this backdrop, the Indian telecom infrastructure industry remains well positioned for sustained growth, supported by increasing network requirements, 5G deploymentFiberization and rising demand for reliable connectivity. As a passive telecom infrastructure provider operating across across all telecom circles except Bihar & Jharkhand and serving all telecom operators, the Company remains strategically positioned to participate in the continuing expansion and densification of Indias telecommunications infrastructure.

INDIAN ECONOMIC OVERVIEW

India continued to remain among the fastest- growing major economies during FY 2025-26, supported by resilient domestic demand, sustained public capital expenditure, improving investment activity and continued structural reforms. The Indian economy demonstrated resilience despite global geopolitical uncertainties, evolving trade dynamics and volatility in international markets.

Government initiatives aimed at strengthening physical and digital infrastructure, including Digital India, PM Gati Shakti National Master Plan, BharatNet and the National Broadband Mission, continued to support connectivity, digital inclusion and technology-led economic development.

Increasing formalisation of the economy, sustained infrastructure spending and expanding digital adoption contributed positively to the overall economic environment.

Indias digital economy continued to expand, supported by increasing internet penetration, smartphone adoption, digital payments, e-commerce, cloud adoption and enterprise digitisation. The growing dependence on digital services has resulted in increasing demand for reliable, high-capacity and widely available telecommunications connectivity and supporting infrastructure.

The continued emphasis on universal broadband connectivity, rural digitisation, 5G deployment and technology-led governance is expected to provide sustained long-term opportunities for the telecommunications and digital infrastructure ecosystem.

INDUSTRY OVERVIEW - PASSIVE TELECOM INFRASTRUCTURE

Indias telecommunications sector continued to strengthen its position as one of the worlds fastest- growing digital infrastructure markets during FY 2025-26, driven by rising data consumption, expanding broadband connectivity, rapid 5G deployment and sustained investments by telecom service providers. As per the Telecom Regulatory Authority of India (TRAI), Indias total telephone subscriber base increased to 1,330.58 million as at March 31, 2026, compared with 1,200.80 million as at March 31, 2025. The total internet subscriber base increased to 1,092.79 million, including 1,065.88 million broadband subscribers, reflecting continued expansion of digital connectivity across the country.

The wireless subscriber base stood at 1,282.33 million, while overall tele-density increased to 93.26%. Monthly Average Revenue Per User (ARPU) for wireless services increased to 5196.04 in the quarter ended March 2026, representing a 7.15% year-on- year increase, indicating continued improvement in the revenue profile of telecom operators.

Data consumption also continued to increase, with total wireless data usage reaching 77,953 petabytes during the quarter ended March 2026, while average wireless data usage was approximately 26.70 GB per subscriber per month. The sustained growth in subscriber base and data consumption, together with continued 4G and 5G network expansion, is expected to drive requirements for greater network capacity, coverage, fiber connectivity and passive telecom infrastructure.

The rollout of fifth-generation (5G) services gathered significant momentum during FY 2025-26. According to the Department of Telecommunications, as of February 28, 2026, approximately 5.23 lakh 5G Base Transceiver Stations (BTSs) had been deployed across the country, with 5G services available in 99.9% of Indias districts. The continued expansion and densification of 5G networks is expected to drive demand for additional passive telecom infrastructure, including towers, poles, optical fiber cable (OFC) networks and associated infrastructure services. These developments are expected to provide sustained opportunities for passive telecom infrastructure providers, including Suyog Telematics Limited.

The continued expansion of telecom networks is driving increased Fiberization, with optical fiber playing a critical role in meeting the higher bandwidth, lower latency and capacity requirements of 5G and other data-intensive applications. The significant headroom for fiber deployment is expected to create sustained opportunities for companies engaged in the installation, commissioning, operation and maintenance of optical fiber and related telecom infrastructure. The Government of India continues to support the development of digital infrastructure through policy initiatives and public investment. Continued programmes for digital connectivity and the expansion of VIL 5G network, BSNLs 4G and 5G network are expected to support telecom infrastructure development across urban and rural markets.

Against this backdrop, Suyog Telematics Limited, with its experience in telecom infrastructure and operations across multiple telecom circles, is positioned to participate in the continued expansion of telecom networks. The Company provides infrastructure solutions including telecom poles, towers and optical fiber cable (OFC) networks and serves leading telecom operators including Bharti Airtel, Vodafone Idea, Reliance Jio and BSNL. The continued rollout of 5G, increasing Fiberization, network expansion and investments by telecom operators are expected to support long-term demand for passive telecom infrastructure. The Company intends to leverage its operational capabilities, customer relationships and existing infrastructure platform to pursue these opportunities while maintaining focus on service quality, asset utilisation and operational efficiency.

INDUSTRY STRUCTURE AND DEVELOPMENTS

Indias passive telecom infrastructure sector continued to evolve during FY 2025-26, supported by the expansion of digital connectivity, increasing mobile data consumption, the rollout of 5G services and sustained investments by telecom service providers. These developments have increased the requirement for reliable telecom infrastructure, including towers, poles and optical fiber cable (OFC) networks. During the year, telecom operators continued to expand and strengthen their network infrastructure to enhance coverage, capacity and service quality. The increasing adoption of infrastructure sharing also remained an important feature of the industry, enabling telecom operators to optimise capital expenditure, improve operational efficiency and accelerate network deployment through shared infrastructure. Fiberization of telecom networks continued to be a key structural driver, as optical fiber is critical to meeting the higher bandwidth, lower latency and capacity requirements of 5G and other data-intensive applications. Increasing network densification, together with rising data traffic and digital service adoption, is expected to support sustained demand for the deployment, operation and maintenance of passive telecom infrastructure. The Government of Indias continued focus on digital connectivity, together with investments by public and private telecom operators and ongoing expansion of 4G and 5G networks, is expected to provide a favourable long-term environment for the telecom infrastructure sector.

Against this backdrop, Suyog Telematics Limited, with its established industry experience, longstanding customer relationships and operational presence across multiple telecom circles, remains well positioned to participate in the growing demand for passive telecom infrastructure and support the continued expansion of Indias digital connectivity ecosystem.

BUSINESS OVERVIEW

Suyog Telematics Limited is a leading passive telecom infrastructure company engaged in the development, ownership, operation and maintenance of telecom infrastructure assets and the provision of infrastructure sharing solutions to telecom service providers across India. The Company holds an Infrastructure Provider Category-I (IP-I) licence issued by the Department of Telecommunications, Government of India, and has over three decades of experience in supporting the countrys evolving telecommunications ecosystem.

The Company provides passive telecom infrastructure comprising telecom towers, poles, optical fiber cable (OFC) networks and other associated infrastructure to leading telecom operators, including Bharti Airtel, Reliance Jio, Vodafone Idea and Bharat Sanchar Nigam Limited (BSNL). Through long-term contractual arrangements, the Company enables telecom operators to efficiently expand network coverage while optimising capital expenditure and operating costs.

The Companys business model is centred on developing and managing high-quality telecom infrastructure assets that generate stable and recurring revenues through long-term infrastructure sharing and lease arrangements. This annuity-based model, supported by longstanding customer relationships and efficient asset management practices, provides revenue visibility while enabling sustainable longterm growth.

During the year under review, the Company continued to strengthen its operational capabilities and infrastructure portfolio while focusing on enhancing service quality, improving operational efficiencies and expanding its presence in key telecom markets. The Company remains committed to supporting the ongoing rollout of 4G and 5G networks, increasing Fiberization and the growing demand for digital connectivity across the country. The Companys key competitive strengths include:

* Over three decades of experience in the passive telecom infrastructure sector;

* Long-standing relationships with leading telecom service providers;

* A scalable infrastructure platform supported by efficient asset management practices;

* Stable recurring revenue generated through long-term contractual arrangements;

* Strong execution capabilities and operational expertise;

* An experienced management team supported by sound corporate governance and robust compliance practices.

Execution excellence is at the heart of Suyog Telematics Limited. Our highly capable and agile field team combines deep onground expertise with speed, precision and adaptability, enabling us to execute complex deployments across challenging locations. This distinctive execution strength, anchored by our philosophy of "Speed First, Quality Always", gives us a meaningful competitive advantage and strengthens our ability to consistently deliver for our customers.

With the continued expansion of telecom networks, increasing demand for infrastructure sharing solutions and sustained investments in digital connectivity, Suyog Telematics Limited remains well positioned to leverage emerging opportunities in Indias rapidly evolving telecommunications infrastructure sector.

KEY DEVELOPMENTS DURING FY 2025-26

During FY 2025-26, the Company witnessed several significant developments that strengthened its operational platform, customer relationships and growth prospects:

Lotus Tele Infra - Full Consolidation and Strategic Expansion into Delhi Circle FY 2025-26 marked the first full year of consolidated operations following the acquisition of a 95% stake in Lotus Tele Infra Private Limited, completed on March 31, 2025. The subsidiary, with approximately 120 sites and 140 tenancies in the Delhi-NCR circle, was successfully integrated into the Companys operations. During Q1 FY 2025-26, an additional 40 sites were added in Delhi Circle. The higher site rental profile of the Delhi circle contributed meaningfully to the improvement in consolidated revenue per tower.

Government Tenancies Milestone

The Company crossed the significant milestone of 1,000 government infrastructure tenancies during Q1 FY 2025-26, strengthening its position in the specialised segment of public infrastructure colocations. These include infrastructure associated with MMRDA, NHAI, BEST, Mumbai Monorail, JNPT, MCGM and municipal corporation assets.

Airtel 5G Deployment on ULS Sites

Bharti Airtel commenced deployment of 5G equipment on approximately 2,500 ULS sites of the Company from Q2 FY 2025-26, generating incremental revenue of approximately 53,000

4,000 per site per month with minimal additional capital expenditure for the Company.

The upgrade cycle remains ongoing and represents a meaningful medium-term opportunity for incremental revenue growth.

Vodafone Idea Network Restart

Following the Indian Governments equity conversion of Vodafone Ideas spectrum dues and the Supreme Courts clarification on Adjusted Gross Revenue (AGR), Vodafone Idea restarted active network rollout during FY 2025-26. More than 500 new Suyog sites received loading within the first week of the programme restart. The Company continues to be a preferred infrastructure partner for Vodafone Idea in all its major circles like Mumbai, Maharashtra, West Bengal, Punjab, Haryana, HP, UP and Delhi circles.

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BSNL Site Billing Commenced

During FY 2025-26, more than 1,000 BSNL 4G sites moved to active billing status, while an additional 558 sites were physically ready but pending equipment integration by TCS/Tejas Networks as at December 2025. The commencement of BSNL billing contributed to the recovery in consolidated revenue per tower, which reached 531,533 by Q3 FY 2025-26.

Promoter Warrant Conversion:

The Company received 560 crore in October 2025 through promoter warrant conversion, reflecting continued promoter commitment towards funding the Companys growth through equity participation alongside bank debt.

Appointment of Whole-Time Director:

Ms. Subhashita Lature was appointed as the WholeTime Director of the Company during FY 2025-26, strengthening the Companys senior management team ahead of its next phase of growth.

FINANCIAL PERFORMANCE

The Company delivered another year of satisfactory financial performance despite operating in a dynamic business environment. The improvement in financial performance was primarily driven by:

* Stable recurring revenues from existing telecom infrastructure assets;

* Improved operational efficiencies;

* Better cost optimization initiatives;

* Higher infrastructure utilization;

* Strong operating cash flows.

The Companys prudent financial management continues to support capital allocation towards future growth opportunities while maintaining a healthy balance sheet and financial flexibility. Detailed financial information is provided separately in the Financial Statements forming part of the Annual Report.

KEY BUSINESS STRENGTHS

Suyog Telematics Limited has built its presence in the passive telecom infrastructure sector over more than three decades, supported by its regulatory framework, established customer relationships, diversified infrastructure portfolio and operational capabilities. The Companys key business strengths include:

IP-I Licence and Infrastructure Sharing Model

The Companys Infrastructure Provider Category-I (IP-I) licence issued by the Department of

Telecommunications enables it to develop and provide eligible passive telecom infrastructure to telecom service providers. The Companys infrastructure sharing model allows multiple customers to utilise eligible infrastructure, supporting efficient asset utilisation and providing the potential for recurring revenues across a diversified customer base.

Established Presence Across Key Telecom Markets

The Company has established an operational presence across multiple telecom circles,. Its presence across all the major telecom circles enables the Company to participate in network expansion and capacity augmentation programmes of leading telecom operators and provides geographic diversification to its operations. The integration of Lotus Tele Infra Private Limited has further strengthened the Companys presence in the Delhi-NCR market.

Long-Standing Relationships with Leading Telecom Operators

The Company has developed long-standing relationships with leading telecom service providers, including Bharti Airtel, Reliance Jio, Vodafone Idea and BSNL. These relationships, supported by contractual arrangements and the Companys focus on service reliability and operational responsiveness, provide a foundation for recurring business and opportunities arising from network expansion and densification.

Diversified Customer Base

The Companys engagement with multiple telecom operators provides diversification across customers and reduces dependence on any single operator. The presence of both private and public-sector telecom customers also enables the Company to participate in a broad range of network deployment and infrastructure requirements.

Government and Public Infrastructure Colocations

The Company has developed a strong presence in the specialised segment of government and public infrastructure co-locations, with more than

1,000 government infrastructure tenancies across locations and assets associated with MMRDA, NHAI, BEST, Mumbai Monorail, JNPT, MCGM and municipal corporations, as well as foot-over bridges, flyovers and skywalks. This provides the Company with access to a differentiated segment of infrastructure opportunities and complements its telecom operator relationships.

High Asset Utilisation and Demand-Led Deployment

The Companys infrastructure sharing model enables additional customer deployments on eligible existing assets, subject to technical feasibility and customer requirements. The Company follows a demand-led "first order, then build" approach, aligning capital deployment with identified customer requirements and supporting efficient asset utilisation while reducing the risk of speculative infrastructure creation and idle assets.

Operational and Maintenance Capabilities

With experience across the lifecycle of passive telecom infrastructure, including site development, installation, commissioning, operations, maintenance and asset management, the Company focuses on infrastructure availability, preventive maintenance and timely resolution of operational requirements. Its track record of approximately 99.95% SLA compliance supports service reliability and strengthens customer relationships.

Recurring and Visible Revenue Model

The Companys business is supported by long-term contractual arrangements, including long-term service agreements with applicable escalation and other contractual provisions. These arrangements provide a degree of revenue visibility and support the recurring and annuity-oriented nature of the Companys business, subject to customer requirements and prevailing market conditions.

Experienced Management and Governance Framework

The Company is supported by an experienced management team with knowledge of the telecom infrastructure sector and its operating environment. A continued focus on operational execution, financial discipline, regulatory compliance and corporate governance provides a foundation for sustainable growth and responsible management of stakeholder interests.

Positioned to Benefit from Telecom Infrastructure Growth

The continued rollout of 4G and 5G networks, network densification, Fiberization, increasing data consumption and expansion of digital connectivity are expected to drive sustained demand for passive telecom infrastructure. Leveraging its IP-I licence, neutral-host model, diversified customer base, government infrastructure co-locations, established asset platform and operational capabilities, Suyog Telematics Limited is well positioned to participate in the continuing expansion of Indias digital infrastructure ecosystem while pursuing disciplined and sustainable growth.

OPPORTUNITIES

The Indian telecom infrastructure sector continues to offer significant long-term growth opportunities, supported byfavourablestructuraltrends,increasing digital adoption, continued network investments and the evolving requirements of next-generation connectivity. The Companys established presence in passive telecom infrastructure positions it to participate in these emerging opportunities.

5G Densification and ULS Site Upgrades

Indias 5G rollout is increasingly transitioning from initial network coverage to network densification and capacity expansion, particularly across high-density urban and semi-urban markets. During Q2 FY 2025-26, Bharti Airtel commenced deployment of 5G equipment on more than 2,500 ULS sites of Suyog Telematics Limited, resulting in an incremental revenue uplift of approximately 53,000-4,000 per site per month with negligible additional capital expenditure for the Company. As the major telecom operators continue to expand and densify their 5G networks, the Companys existing tower portfolio is expected to benefit from additional multi-operator tenancies and higher asset utilisation without proportionate capital deployment. With Indias 5G subscriber base projected to reach approximately 980 million by 2030 (Source: GSMA/DoT), the continued expansion and densification of 5G networks is expected to support sustained demand for passive telecom infrastructure over the medium and long term.

Vodafone Idea Network Reinvestment

Vodafone Ideas return to active network investment, supported by the conversion of 536,950 crore of spectrum dues into government equity and a planned 545,000 crore capex programme over three years, presents a significant growth opportunity for Suyog Telematics Limited. Vodafone Idea, which contributes approximately 26% of the Companys revenue, had experienced a prolonged period of limited capital expenditure prior to FY 2025-26. The resumption of network rollouts, with more than 1000 Suyog sites loaded within the first seven days of the programme restart and Vodafone Ideas stated target of 13,000-15,000 new sites in Q1 FY27, indicates a potential accelerated network expansion cycle.

As a preferred infrastructure partner for Vodafone Idea, cross all its major telecom circles, Suyog is strategically positioned to participate in this network expansion. The Company has set a target of adding approximately 3,000-3,500 Vodafone Idea sites during FY27, which is expected to provide an additional opportunity for growth in tenancy and recurring revenues.

Indias accelerating smart city, metro rail, and national highway programmes continue to generate demand for specialised passive infrastructure co-locations on government-owned assets. Suyogs unique leadership in this segment - with tenancies on MMRDA structures, NHAI corridors, BEST depots, Mumbai Monorail, JNPT, MCGM buildings, foot-over bridges, flyovers, and skywalks is protected by long-term concession structures and creates a differentiated revenue stream that is structurally insulated from the private operator capex cycle. With over 1,000+ government tenancies crossed in FY 2025-26, the Company is poised to benefit further as Digital India and National Broadband Mission targets drive deeper co-location demand on public infrastructure.

Fiber Connectivity

Fiberization of telecom towers in India stood at approximately 36% against the Governments target of 70%, representing a substantial multiyear opportunity for optical fiber cable (OFC) deployment. With an existing fiber footprint of over 6,000 km, Suyog Telematics Limited is well positioned to participate in the continued expansion of fiber infrastructure.

Inorganic Growth in Underpenetrated Circles

The evolving passive telecom infrastructure landscape, together with accelerating network rollouts across key geographies, presents opportunities for selective inorganic expansion

The Company has identified potential acquisition opportunities in the Delhi-NCR and many other critical circles that could further strengthen its geographic presence and infrastructure portfolio. The acquisition and integration of Lotus Tele Infra Private Limited provides a strategic reference point for the Companys inorganic growth approach, demonstrating the potential to acquire assets at capital-efficient valuations and integrate them into Suyogs existing managed infrastructure platform.

Company continues to maintain a disciplined approach to capital allocation and may evaluate suitable acquisition opportunities alongside its organic expansion programme, subject to strategic fit, valuation, funding requirements and prevailing market conditions.

Growth in Data Consumption

India continues to witness substantial growth in mobile data consumption, driven by increasing smartphone penetration, video streaming, digital payments, social media, online commerce, cloud- based applications and enterprise digitalization. The sustained increase in data traffic is expected to require continuous augmentation of network capacity and coverage, thereby creating recurring opportunities for additional telecom infrastructure deployment and network densification.

Digital India and Rural Connectivity

Government-led digital connectivity initiatives, including Digital India, BharatNet and programmes aimed at strengthening broadband connectivity in rural and semi-urban areas, are expected to support long-term expansion of Indias digital infrastructure. The increasing penetration of broadband and mobile connectivity beyond major urban centres provides opportunities for telecom infrastructure providers to expand their geographical footprint and participate in the development of digital connectivity across underserved markets.

Artificial Intelligence and Emerging Technologies

Rapid adoption of Artificial Intelligence, machine learning, IoT, automation and other emerging technologies is expected to significantly increase data generation and connectivity requirements.

These developments may create additional demand for network capacity, edge connectivity and distributed telecom infrastructure while also enabling the Company to adopt technology-led solutions for predictive maintenance, asset monitoring and operational optimization.

RISKS, THREATS AND CONCERNS

Suyog Telematics Limited operates in a dynamic and regulated telecom infrastructure environment and is exposed to regulatory risks in limited manner. The Company follows a structured approach to identify, assess and monitor material risks, supported by appropriate internal controls, management oversight and Board-level governance.

Customer Concentration and Operator Dependence

BSNLs ongoing 4G rollout and Vodafone Ideas network reinvestment programme are significant demand drivers for FY 2025-26 and FY 2026-27. Delays in equipment delivery, including supply- chain dependencies for BSNL, or delays in funding and network rollout by Vodafone Idea could result in timing mismatches between site readiness and revenue commencement. The Company mitigates this risk through geographic and operator diversification and follows a disciplined "first order, then build" approach, ensuring that incremental capital expenditure is aligned with confirmed customer requirements and purchase orders.

Capital and Liquidity Risk

The Companys FY27 growth pipeline, involving estimated capex of approximately 5700-800 crore for 7,000-8,000 new tower rollouts, requires disciplined capital planning and timely availability of funds. The Companys funding strategy includes internal accruals, existing bank facilities, and promoter contributions. Any material delay in customer payment cycles or tightening of credit conditions could impact rollout timelines. The Company seeks to mitigate this risk through prudent capital allocation and its annuity-based revenue model, supported by long-term contractual arrangements and MSA-backed cash flows, which provide greater revenue visibility and support debt servicing capacity.

Regulatory and Statutory Risks

The telecom infrastructure sector is subject to DoT regulations, IP-I licensing requirements, spectrum policies and Right of Way (ROW) regulations. Changes in applicable regulations, licensing conditions or Government policies may impact the Companys operations and project execution. The Company monitors regulatory developments and maintains compliance with applicable requirements, supported by its established government relationships and long-term contractual arrangements.

RESEARCH, DEVELOPMENT AND INNOVATION

Suyog Telematics Limited continues to focus on technology upgrades, research initiatives and operational innovation aimed at improving network performance, reducing operating costs, enhancing energy efficiency and strengthening the Companys position in telecom infrastructure innovation. During FY 2025-26, the Companys key research and development initiatives included:

FTTH R&D Initiatives

The Company is developing vertical wiring solutions for Fiber-to-the-Home (FTTH) installations within ducts, with the objective of oaptimising space utilisation, improving installation efficiency and reducing deployment time, thereby supporting faster and more efficient service delivery.

Zinc Bromide Battery Technology

The Company is evaluating Zinc Bromide batteries as a cost-efficient power backup solution for telecom infrastructure, offering comparable utility to lithium-based battery solutions. Given the relative abundance of zinc compared with lithium, the technology has the potential to offer advantages in terms of cost efficiency and supply sustainability.

The trial, initiated in Q4 FY25, was continued and subsequently completed during FY 2025-26 in association with GGB Battery India Pvt. Ltd. The solution has been evaluated for its suitability to telecom operating conditions, with a focus on safety, cycle life, cost efficiency and sustainability. Following successful completion of the trial, commercial deliveries are expected to commence from September 2026, subject to commercialisation and customer requirements. The Company continues to evaluate alternative energy storage technologies with the objective of improving power management, reducing operating costs and enhancing the sustainability of its telecom infrastructure.

The Company has deployed advanced loT-based monitoring across its tower sites in Punjab and few other circles on trial basis,enabling real-time visibility of site health, power consumption and uptime. The system supports proactive monitoring and timely identification of operational issues and contributes to the Companys 99.95% SLA commitment.

Integrated Network Operations Centre (NOC)

The Company operates a centralised Network Operations Centre (NOC) with proactive fault detection and predictive maintenance capabilities. The NOC facilitates timely identification and resolution of infrastructure-related issues, supports reduction in mean time to repair (MTTR) and enables efficient deployment of field engineering resources across the Companys tower estate.

5G-Ready Site Upgrades

The Company continues to undertake structural and power augmentation of existing tower assets to support 5G equipment installation. These upgrades include higher wind-load ratings, increased power capacity and enhanced coaxial cable pathways, enabling faster deployment of 5G equipment by telecom operators without requiring extensive structural reconstruction of existing sites.

HUMAN RESOURCES

Suyog Telematics Limited recognises its employees as an integral part of its sustainable growth and operational success. The Company focuses on attracting, developing and retaining competent talent through continuous learning, performance management and employee engagement. Our people remain central to the Companys operational excellence and service delivery. As at March 31, 2026, Suyog Telematics Limited employed over 409 employees on its rolls. The Companys focus on technical capability, service quality and operational responsiveness supports its 99.95% SLA performance across its telecom infrastructure portfolio. During FY 2025-26, the Company continued to strengthen the capabilities of its field engineering and network operations teams through training and skill development initiatives, with a focus on supporting the Companys planned expansion and increased operational requirements during FY 2026-27.

OUTLOOK

The outlook for lndias telecom infrastructure sector remains positive, supported by the continued expansion of 4G and 5G networks, increasing network densification, fibreisation, rising data consumption and sustained investments by telecom operators and the Government of lndia. For Suyog Telematics Limited, these industry developments are expected to support continued demand for its passive telecom infrastructure, including telecom towers, poles and optical fiber infrastructure. The ongoing network expansion and technology upgrades by leading telecom operators, together with increasing infrastructure sharing and public infrastructure connectivity requirements, are expected to provide opportunities for additional site deployments, tenancies and improved utilisation of the Companys existing infrastructure platform.

During FY 2026-27, the Company intends to focus on strengthening its relationships with existing customers, increasing asset utilisation, expanding its telecom and fiber infrastructure portfolio and pursuing selective growth opportunities. The Company will continue to align its infrastructure deployment and capital allocation with customer demand and commercial viability. With its established industry experience, diversified customer relationships, operational capabilities and presence across multiple telecom circles, the Company remains focused on sustainable growth while maintaining financial discipline, service quality, operational efficiency and high standards of corporate governance.

OPERATIONAL PERFORMANCE

During FY 2025-26, Suyog Telematics Limited continued to strengthen its passive telecom infrastructure platform and operational capabilities, with a focus on supporting the evolving requirements of telecom operators while maintaining high standards of infrastructure availability, service quality and operational efficiency. Key operational priorities during the year included:

• Supporting the deployment and augmentation of 4G and 5G infrastructure across eligible telecom sites;

• Improving asset utilisation and tenancy potential across the Companys existing infrastructure portfolio;

• Strengthening preventive maintenance and infrastructure monitoring to enhance site availability and service reliability;

• Maintaining and optimising the Companys optical fiber infrastructure to support growing connectivity and backhaul requirements;

• Leveraging technology-enabled monitoring and centralised network management to improve operational visibility and response times;

• Supporting government and public infrastructure co-location requirements across the Companys operating markets; and

• Maintaining focus on timely execution, customer service, safety, regulatory compliance and cost efficiency.

The Company continued to align its operational activities and infrastructure deployment with customer requirements and emerging market opportunities, while maintaining a disciplined approach to asset utilisation, operating costs, infrastructure reliability and service quality.

KEY PERFORMANCE INDICATORS (KPIs)

During FY 2025-26, Suyog Telematics Limited continued to focus on strengthening its operating performance while maintaining financial discipline and efficient utilisation of its infrastructure assets. The Companys financial performance reflects the underlying annuity-oriented nature of its passive telecom infrastructure business and the continued demand from its telecom operator customers. The Company recorded a total revenue of 5209.19 crore for FY 2025-26, compared to 5192.57 crore in FY 202425. EBITDA margins were sustained in the range of 70-76% through the year, reflecting the Companys capital-light annuity model and disciplined cost management. Finance costs moved to 521.40 crore. PBT for the year was 582.24 crore. Net profit margin normalised to approximately 28-30%, compared to 21.06% in FY 2024-25, with the prior year figure having been suppressed by significant non-cash ESOP charges which were a one-time accounting event and are not expected to recur at the same scale.

The Company continues to maintain a disciplined approach towards capital expenditure, working capital management and financial leverage, while investing selectively in infrastructure to support customer requirements and future growth.

Key Financial Ratios:

Ratio	FY 2024-25	FY 2025-26	Reason for Variance
Debtors Turnover (times)	3.53	3.37	BSNL/Vi receivable movement
Inventory Turnover (times)	n/a	n/a	Services business · no inventory
Current Ratio	1.52	1.87
Debt-Equity Ratio	0.31	0.28	Growth capex partially bank-funded
Operating Profit Margin (%)	71.50%	71-75%	Sustained annuity margin discipline
Net Profit Margin (%)	21.06%	29.77%	Normalisation as ESOP charges reduce
Return on Net Worth (%)	11.61%	14.01%	Expected improvement as PAT normalises
Return on Capital Employed (%)	0.1	0.12	Expected improvement with revenue growth
Debt Service Coverage Ratio	2.76	2.76
Price-Earnings Ratio	23.17	11.37	Market determined
Earnings Per Share (5)	34.55	54.05

CAUTIONARY STATEMENT

Statements made in this Management Discussion and Analysis describing the Companys objectives, expectations, projections, estimates or forecasts may constitute forward-looking statements within the meaning of applicable securities laws and regulations. These statements are based on assumptions and expectations of future events that are considered reasonable at the time of preparation. Actual results may differ materially from those expressed or implied due to various factors including changes in economic conditions, regulatory developments, industry dynamics, technological changes, competitive pressures and other risks beyond the Companys control. The Company undertakes no obligation to publicly revise or update any forward-looking statements except as required under applicable law.