Swastika Investmart Ltd Management Discussions

Economic Overview

A. Global Economy

The global economy during FY 2025-26 exhibited moderate resilience amid persistent geopolitical uncertainties, inflationary pressures, and evolving monetary policies across major economies. Growth remained steady, supported by easing supply chain disruptions, improving labor market conditions, and gradual stabilization in inflation. Despite these positive developments, regional performance was uneven. Advanced economies experienced modest recoveries, while others continued to grapple with structural challenges such as aging populations and subdued productivity growth.

Global trade dynamics were increasingly shaped by geopolitical realignments, as nations prioritized supply chain security over cost efficiency. This shift led to the reconfiguration of trade routes and a renewed focus on domestic production in strategic sectors such as technology, semiconductors, and energy.

Technological innovation-particularly the widespread adoption of Artificial Intelligence (AI)-emerged as a key driver of resilience. During FY 2025-26, AI transitioned from experimentation to measurable productivity gains, enhancing corporate efficiency and offsetting pressures from labor shortages and elevated energy costs. For capital market participants, this period marked a "new normal," where traditional economic cycles are increasingly influenced by digital transformation and cautious, fragmented global trade patterns.

Key Global Trends

Major central banks, including the U.S. Federal Reserve, European Central Bank, and Bank of England, maintained a cautious monetary stance, balancing inflation control with growth support. Interest rates stabilized but remained elevated, constraining investment and consumption.

Emerging markets continued to outperform advanced economies, buoyed by domestic demand, digital adoption, and structural reforms. However, commodity-price volatility, currency fluctuations, and geopolitical tensions persisted as key risks. Global financial markets remained sensitive to inflation trends and policy decisions, while technology driven innovation, sustainable investments, and digital financial infrastructure continued to reshape market dynamics.

Growth and Inflation Outlook

According to the IMF World Economic Outlook (April 2026), global GDP growth is projected at 3.1% in 2026, compared to 3.4% in 2025. Advanced economies are expected to grow at 1.8%, while emerging and developing economies are forecast at 3.9%, reflecting stronger domestic consumption and investment. Global inflation is projected to moderate from 4.1% in 2025 to 3.8% in 2026, aided by easing commodity prices and tighter monetary policies.

Risks and Uncertainties

The global outlook remains subject to significant downside risks. Ongoing geopolitical confli cts-particularly in energy sensitive regions-have disrupted supply chains and heightened oil price volatility, posing inflationary threats and weakening growth prospects. Financial market vulnerabilities, including volatile capital flows and increased reliance on non bank financial institutions, continue to challenge emerging economies.

Slower than expected growth in major economies such as the United States and China, coupled with declining global trade volumes, could further dampen momentum. Climate related shocks and policy uncertainty add additional layers of complexity to the global economic environment.

Outlook

Despite near term challenges, the global economy is on a path of gradual stabilization. Moderating inflation, technological progress, and improving macroeconomic fundamentals are expected to support growth in the medium term. For the capital market industry, continued digital transformation, sustainable finance initiatives, and evolving investor preferences are likely to create new opportunities amid a dynamic and rapidly changing global financial landscape.

B. Indian Economy

While much of the world struggled to stay steady, India continued to run fast. Our economy showed incredible strength, remaining the worlds fastest-growing major economy. This success wasnt just luck; it was built on a solid foundation of smart government spending, a massive push for better roads and digital networks, and a manufacturing sector that is finally finding its stride on the global stage.

Beyond just numbers, Indias "secret weapon" is its people. A young population, more people moving to cities, and rising income levels are creating a huge, long-term demand for goods and services. With the governments focus on green energy and modern infrastructure, India is setting itself up for a very bright future.

Growth Performance and Key Drivers

For FY 2025-26, Indias growth is projected at a strong 6.5%. This performance was fueled by major initiatives like "Make in India" and "Digital India," which encouraged businesses to produce more locally and adopt technology faster. These programs have created a "future-proof" framework for our country. From electronics to services, almost every sector contributed to this success.

Looking ahead, India is expected to lead the pack again with a growth projection of 6.5% to 7.0%. This is significantly higher than the global average of around 3%. While we must stay mindful of "external headwinds"-like global conflicts or changing oil prices-lndias internal engine is running strong.

Prices and Interest Rates (Inflation & Monetary Policy)

The "cost of living" in India became much more stable this year. Retail inflation dropped significantly-from 6.7% a few years ago to just 1.7% by late 2025. This was the lowest in recent years, thanks to cheaper food and fuel prices. Because prices stayed under control, the Reserve Bank of India (RBI) was able to help the economy grow. To make it cheaper for people and businesses to borrow money, the RBI reduced interest rates (the Repo Rate) throughout the year, bringing it down to 5.25% by March 2026. These lower rates have helped boost investments and made it easier for people to buy homes and cars, supporting the overall economy.

Challenges and Risks

Even with this positive momentum, we are watching a few "bumps in the road." Tensions in other parts of the world can suddenly change oil prices or disrupt trade routes, making things more expensive. Also, switching to green energy and new technologies can be unpredictable. However, Indias strong national savings and careful financial planning act as a sturdy shield against these global uncertainties.

Outlook

In conclusion, the Indian economy in 2025-26 is in a very healthy position. We have strong growth, stable prices, and a financial system that can handle global shocks. While challenges like a global slowdown remain, Indias focus on creating jobs and encouraging private investment is paying off. India remains a key contributor to the worlds economy and a land of immense opportunity.

Key Highlights for the Year (At a Glance)

Feature	What Happened?	Why it Matters
Interest Rates	Came down (to 5.25%)	Makes it cheaper for people to borrow and businesses to grow.
Indias GDP	Estimated at 6.5%	Confirms India is the worlds fastest-growing major economy.
Inflation	Dropped to 1.7%	Your money goes further as prices stay stable.
Domestic Demand	Stayed very strong	Shows that Indian consumers are confident about the future.

Capital Market Overview

During FY 2025-26, the capital market industry operated in an environment influenced by global market volatility and strong domestic economic resilience. While global financial markets remained impacted by inflationary pressures, changing monetary policies, and geopolitical uncertainties, Indias capital markets continued to witness strong growth.

This growth was supported by stable economic fundamentals, increasing participation from domestic investors, and continuous regulatory reforms aimed at strengthening market efficiency and investor confidence.

Global Capital Market Landscape

During FY 2025-26, global capital markets remained volatile due to changing interest rate expectations, inflationary pressures, and overall economic uncertainty.

Debt markets witnessed increased activity as companies explored diversified funding options, while sustainable finance, digital investment platforms, and technology-based financial solutions continued to shape investor preferences.

The growing adoption of Artificial Intelligence (AI), automation, advanced analytics, and digital financial infrastructure has significantly transformed capital market operations globally.

Indian Capital Market Performance

Indias capital markets witnessed strong momentum during FY 2025-26, supported by resilient economic growth, improving corporate earnings, robust liquidity, and sustained domestic investor participation.

The benchmark indices recorded positive performance during the financial year, driven by strong growth across banking, financial services, capital goods, and technology sectors.

The primary market remained active throughout the year, reflecting strong investor confidence and healthy fundraising activity across sectors. At the same time, the corporate bond market continued to expand steadily, supported by regulatory reforms, higher institutional participation, and increasing preference among companies for diversified funding sources.

Strength of Indias Financial Ecosystem

The Indian capital market ecosystem continued to strengthen during FY 2025-26. The Nifty 50 and BSE Sensex registered gains of approximately 11.1% and 10.1%, respectively, during April-December 2025. However, heightened market volatility and global geopolitical uncertainties led to a sharp correction in the later part of the fiscal year, resulting in the Nifty 50 declining by over 5% and the BSE Sensex by over 7% for FY 2025-26 as a whole by 31 March 2026.

The primary market remained resilient and vibrant, with India emerging as one of the leading global markets for IPO issuances. IPO volumes during FY 2025-26 were approximately 20% higher than FY 2024-25, while the amount mobilised increased by around 10% over the corresponding previous period.

A notable trend during the year was the significant contribution of Offer for Sale (OFS) components, reflecting active participation by existing shareholders in capital market transactions.

Performance of BSE Sensex

Growth in Retail Participation

Retail participation remained one of the strongest drivers of capital market growth during FY 2025-26. During the year, over 3.2 crore demat accounts were added, taking the total number beyond 22.5 crore.

A key milestone was the crossing of the 12-crore mark for unique investors, with nearly one-fourth of investors being women. The mutual fund industry also witnessed significant expansion, with 5.9 crore unique investors as of December 2025, of which a substantial share originated from non- tier-I and tier-II cities.

This reflects growing financial awareness, improved digital accessibility, and increasing participation from emerging markets.

The Economic Survey also highlights that equity investments have become an increasingly significant component of household financial wealth, supported by broader participation and diversified access channels.

Wealth Management Overview

Indias wealth management industry continued to witness steady growth during FY 2025-26, driven by rising affluence, increasing financial awareness, and growing participation in market-linked investment products.

The industry benefited from a steady increase in high-net-worth individuals (HNIs), growing retail investor participation, and rising preference for professional financial advisory services. Investors continued to shift from traditional savings instruments toward equities, mutual funds, portfolio management services, and other diversified investment products.

Technology adoption, customized portfolio solutions, and deeper penetration into Tier-II and Tier-III cities are expected to further accelerate industry growth.

Technology and Digital Transformation

Technology-driven innovation continued to reshape the capital market landscape during the FY 25-26. The industry witnessed increasing adoption of Artificial Intelligence (AI), machine learning, automation, advanced analytics, and algorithmic trading systems to enhance operational efficiency, customer experience, and risk management capabilities.

Digital trading platforms, paperless onboarding, mobile-based investment solutions, and real-time execution capabilities significantly improved accessibility and convenience for investors. Financial service providers increasingly focused on leveraging technology to offer personalized advisory services, data-driven investment insights, and seamless customer engagement models.

At the same time, growing digitalization increased the importance of cybersecurity, data privacy, and technology governance. Market participants invested heavily in robust infrastructure to safeguard customer information and ensure business continuity.

Industry Outlook

Looking ahead to FY 2026-27, the capital market industry is expected to remain dynamic, shaped by both global uncertainties and domestic opportunities. Elevated crude oil prices and potential monsoon disruptions may create short term volatility, but Indias strong growth trajectory and fiscal discipline provide a supportive backdrop for continued fund raising activity.

Key trends likely to define the outlook include:

• Equity Market Expansion: Continued IPO activity and secondary fund raising, driven by infrastructure, manufacturing, and technology sectors.

• Debt Market Growth: Rising corporate bond issuance as companies diversify funding sources and investors seek stable returns.

• ESG and Sustainable Finance: Growing demand for green bonds and sustainability linked instruments aligned with global mandates.

• Digital Transformation: Broader adoption of fintech solutions, AI driven analytics, and blockchain based settlement systems.

• Risk Management: Greater emphasis on hedging strategies, liquidity buffers, and compliance frameworks to withstand global shocks.

Outlook Summary

The global economy is stabilizing but remains vulnerable to geopolitical and inflationary risks. India continues to outperform peers, offering a robust environment for capital market activity. For industry participants, FY 2026-27 will demand a balance of innovation, diversification, and disciplined risk management to capture opportunities in equity issuance, debt markets, ESG instruments, and digital finance.

Company Overview and Outlook

Incorporated in 1992, Swastika Investmart Limited ("hereinafter referred as "Swastika" or "Company") is a one-stop platform providing a diverse range of products and services to customers, helping them identify the right investment opportunities, given domain expertise and knowledge base. We are providing the entire bouquet of financial services to the clients under one roof such as stock broking across equity, commodity and currency segments, Depository Participant, research services, investment advisory, margin funding, mutual fund, third party financial product distribution, Investment Banking and, Portfolio management Services etc. With over 34 years of experience, we have established a strong brand presence through our broking business, consistently delivering value and expertise to our clients.

Expanding our reach beyond broking, we also offer loan facilities, further broadening our financial services through our subsidiary Swastika Fin-mart Private Limited, an RBI-licensed Non-Banking Financial Company (NBFC). Additionally, we have also registered an Alternate Investment Fund named as "Bharat Growth Fund" with SEBI through another subsidiary Avisa Wealth Manager Private Limited. This strategic expansion has enabled us to diversify our service offerings and cater to the evolving needs of our clients. These diversified services support our overall growth strategy and align with our mission to help clients create and protect wealth while achieving their long-term financial goals.

We continued to strengthen our Margin Trading Facility, enabling clients to unlock enhanced investment opportunities by leveraging their portfolios for potentially higher returns at competitive interest rates. As we continue to grow, we remain committed to further enhancing our margin trading offerings through the integration of advanced technologies and the expansion of our product suite. Backed by competitive pricing, dedicated client support, and investor education initiatives, we aim to deliver greater value and an improved trading experience to our clients. We believe these strategic initiatives will support sustained growth and reinforce our position as a leading provider of margin trading services.

Wealth Creation Through Technology

The Company continues to focus on wealth creation through holistic financial offerings, personalized investment solutions, and technology-driven operational excellence.

With wealth creation increasingly centered on long-term value and financial well-being rather than short-term returns, the Company is committed to offering diversified investment solutions that cater to the evolving needs of investors.

Under our wealth management brand "Avisa Wealth", we are focused on offering a diversified suite of investment products including Mutual Funds, Portfolio Management Services (PMS), Corporate Fixed Deposits (FDs), Bonds, Non-Convertible Debentures (NCDs), Alternative Investment Funds (AIFs), Wealth Bags, and other investment products designed to support clients in achieving their financial goals.

By leveraging AI-driven insights and smarter digital systems, the Company aims to deliver personalized investment recommendations and an enhanced client experience. The Company continues to position itself as a trusted wealth partner by providing curated financial solutions and expert guidance.

This approach not only helps clients build long-term wealth but also enables the Company to diversify its revenue streams and drive sustainable growth through innovation, technology, and stronger client relationships.

Our Mutual Fund business continued to witness steady momentum during the year, driven by increasing investor participation and a growing preference for disciplined financial planning. By offering curated investment options across equity, debt, and hybrid categories, along with simplified digital onboarding and personalized assistance, we enhanced the overall client experience. We remain focused on broadening our reach, strengthening investor awareness, and delivering accessible wealth creation opportunities through a robust and technology-enabled platform.

Sarthi Trade Ideas

During FY 2025-26, the Company introduced a new feature in its mobile trading application, branded as "Sarthi", to further strengthen client engagement and enhance the overall service experience. This innovative feature has been developed to provide clients with timely and actionable research updates in a seamless manner.

Through instant phone call notifications, tailored to client-selected preferences and subscribed research recommendations, Sarthi ensures that investors remain continuously informed about significant market developments and emerging investment opportunities in real time. This personalized communication approach enhances accessibility and responsiveness, enabling clients to act swiftly in dynamic market conditions.

The launch of Sarthi underscores the Companys commitment to innovation and client-centricity. By combining convenience with tailored insights, the feature empowers investors to make well-informed and timely investment decisions with greater confidence. This initiative reflects the Companys ongoing focus on delivering superior service experiences and reinforcing trust within its growing investor base.

Regulatory Milestones: Registration as Research Analyst and Alternate Investment Fund (AIF)

During FY 2025-26, the Company achieved significant regulatory milestones that further strengthen its position as a diversified financial services platform.

The Company has been granted registration as a Research Analyst by the Securities and Exchange Board of India, enabling it to further enhance its research and advisory capabilities and offer research-driven insights and investment solutions to clients. This registration reflects the Companys continued focus on expanding its service offerings in line with evolving market opportunities and client requirements.

Further, SEBI has granted registration for Bharat Growth Fund as an Alternative Investment Fund (AIF). Under this structure, Avisa Wealth Manager Private Limited, the wholly owned subsidiary of Swastika Investmart Limited, will act as the Investment Manager, while Swastika Investmart Limited will act as the Sponsor of the Fund. This marks the Groups entry into the alternative investment segment and will enable it to broaden its product offerings, cater to a wider investor base, and explore new growth opportunities within the financial services sector.

These milestones are aligned with the Groups long-term strategy of building a diversified, integrated, and client-focused financial services platform.

Employee Stock Option Scheme

During FY 2025-26, the Company introduced the "Swastika Investmart Limited - Employee Stock Option Scheme 2025" (ESOS 2025) as part of its long-term human capital and growth strategy.

The Scheme has been formulated with the objective of attracting, retaining, and motivating high-performing talent by fostering a greater sense of ownership and alignment with the Companys long-term vision. It seeks to reward employees for their contribution to the Companys growth while encouraging sustained performance and commitment.

By enabling eligible employees to participate in the Companys future value creation, this Scheme is expected to strengthen employee engagement, enhance retention of key talent, and support the Companys continued growth and competitiveness in an evolving business environment.

Warrant Conversion

During the year, the Company facilitated warrant holders in exercising their right to convert warrants into equity shares in accordance with the agreed terms and applicable regulatory provisions, thereby enabling their participation in the ownership of the Company. This initiative underscores the Companys commitment to enhancing shareholder value, maintaining transparency in its corporate actions, and fostering long-term trust and confidence among stakeholders.

Overview - Merchant Banking Division

Swastika continues to strengthen its position in the Merchant Banking segment by supporting businesses in their growth journey through primary market fundraising, startup capital facilitation, and strategic venture investment support. Through its focused approach and client-centric solutions, the Company remains committed to contributing towards the growth and development of the entrepreneurial ecosystem.

During the financial year 2025-26, the Company successfully launched and listed 2 SME IPOs and filed 3 SME IPO mandates, out of which 2 received in-principle approval from the Exchange, reflecting the Companys continued ability to identify and execute quality opportunities in the capital markets. The Company also continued to extend a wide range of advisory and capital market services to Small and Medium Enterprises (SMEs), including pre-IPO placement, equity transaction and private equity advisory.

The Merchant Banking division maintained healthy engagement levels across multiple transactions and continued to build a strong pipeline of prospective mandates. During FY 2025-26, the Company also advised on private equity transaction, further reinforcing its capabilities in transaction advisory and capital facilitation. In addition, the Companys growing network with domestic and international investors, including fund houses, HNIs, family offices, and institutional investors, continues to enhance its reach and long-term growth potential in the Merchant Banking space.

Strong Human Capital and Leadership

Swastikas sustained growth and market presence are driven by its robust capital base and a committed team of over 397 employees. The Company is supported by a pool of highly qualified professionals, including IITians, Chartered Accountants (CAs), Company Secretaries (CS), MBAs, and experienced domain experts, who bring deep industry knowledge and functional expertise across various business verticals. Their professional competence, strategic insight, and customer-centric approach contribute significantly to enhancing operational effectiveness, strengthening client engagement, and reinforcing the Companys position in the financial services industry.

The Company remains focused on nurturing a dynamic and future-ready workforce by promoting a culture of continuous learning, innovation, and performance excellence. By leveraging the capabilities of its talented human capital, Swastika continues to strengthen its ability to adapt to evolving market dynamics, deliver value-driven solutions, and achieve sustainable long-term growth.

Strengthening Market Presence and Customer Reach

The Swastika Group continues to strengthen its market presence by expanding into new business opportunities and enhancing its integrated range of financial products and services to deliver greater value to customers. Guided by its core values of integrity, innovation, and customer-centricity, the Group remains focused on offering seamless and technology-enabled financial solutions that help clients invest, save, and manage their finances with greater ease and confidence. Through continuous investments in talent, digital transformation, infrastructure, and advanced technologies, Swastika is building a resilient and future-ready organization capable of adapting to evolving market dynamics and customer expectations while driving sustainable growth and long-term value creation for all stakeholders.

Our Business Strategies

Enhancing Customer Engagement

Swastika continues to focus on broadening its customer network while strengthening long-term relationships with existing clients through a service- oriented and growth-driven approach. The Company is working towards integrating customer support functions into a more unified and efficient framework, enabling seamless service delivery and improved responsiveness. Simultaneously, continuous enhancement of products and service capabilities remains a key priority to address evolving customer requirements and market trends. These efforts are expected to contribute meaningfully towards strengthening the Companys overall enterprise value and market positioning.

Strengthening Digital and Technology Capabilities

In an increasingly technology-driven financial services environment, where cybersecurity and digital compliance have become critical priorities, Swastika remains focused on strengthening its technology framework and digital capabilities. The Company is continuously modernizing its platforms, systems, and IT infrastructure to enhance operational reliability, data security, scalability, and overall efficiency. The Company has developed a suite of innovative technology products, including Trading App, Trading Pre-login, Control Panel, IPO Panel, Swastika & Trading Go Websites, RM Panel, KYC Panel, Research Panel, and Jarvis.

Focus on Research-Led Advisory and Market Insights

The Company recognizes that strong research capabilities are critical for delivering value-driven financial solutions and maintaining a competitive edge in the capital markets industry. Swastika remains committed to undertaking independent and comprehensive market research to generate meaningful insights into market movements, investment opportunities, and emerging trends. This research-oriented approach supports informed decision-making, strengthens advisory services, and enhances the Companys ability to offer credible and insight-driven investment solutions to clients.

Expanding Presence Across Geographies

Swastika is focused on increasing its geographical reach and strengthening brand visibility across existing and emerging markets. The Company continues to adopt targeted marketing and brand-building initiatives through digital platforms, social media engagement, strategic campaigns, and localized outreach programs to improve market penetration and customer acquisition. By leveraging its strong brand identity and differentiated service offerings, Swastika aims to expand its footprint and reinforce its position in the financial services landscape.

Financial Performance

During the year, we further strengthened our position among the emerging broking platforms while continuing to enhance innovation, accessibility, and customer-centric financial solutions. Our consistent focus on service excellence, technology adoption, and operational efficiency has reinforced the trust and confidence placed in us by our valued clients. Driven by our strategic emphasis on expanding and deepening our client base, the Company successfully added new customers during the year, taking the total client base to approximately 4.53 lakhs as on year end.

On a standalone basis, the Company reported revenue of 10,872.31 Lakhs during the year as against 13,522.11 Lakhs in the previous year, reflecting a moderation of 19.60%. Profit after Tax ("PAT") stood at 1,453.39 Lakhs as compared to 2,212.91 Lakhs in the previous year, amounting to a moderation of 34.32%. The performance during the year was influenced by prevailing market volatility and evolving business conditions.

Despite this, the Company remained focused on operational efficiency, strengthening client relationships, and enhancing its service offerings. The results underscore the Companys agility in adapting to changing market dynamics while maintaining a clear focus on long-term, sustainable value creation.

On a consolidated basis, the Company reported revenue of 10,965.65 Lakhs during the year as against 14,058.47 Lakhs in the previous year, reflecting a 22% year-on-year variation. Profit After Tax (PAT) stood at 1,303.06 Lakhs as against 1,989.19 Lakhs in the previous year, reflecting a 34.49% year-on-year variation. The consolidated financial results reflect the combined performance of Swastika Investmart Limited and its subsidiaries & associate. A detailed description of the businesses undertaken is provided in this Management Discussion and Analysis report.

Key Ratio Analysis

Details of significant changes, if any, in key financial ratios, along with detailed explanations:

Ratios	2025-26 (%)	2024-25 (%)	Variance (%)
1 Interest Coverage Ratio1	3.60	5.52	-34.80
2 Current Ratio	1.32	1.39	-5.38
3 Debt Equity Ratio2	0.07	Nil	100%
4 Operating Profit Margin	18.16	22.76	-20.22
5 Net Profit Margin	13.29	16.35	-18.70
6 Return on Net Worth3	11.17	21.05	-46.92
7 Debtors Turnover Ratio	NA	NA	NA
8 Inventory Turnover Ratio	NA	NA	NA

Notes:

1. Interest Coverage Ratio decreased from 5.52 times in FY 2024-25 to 3.60 times in FY 2025-26 due to decrease in Profit before Interest and Tax from 3593.84 in FY 2024-25 to 2745.46 in FY 2025-26.

2. Debt Equity Ratio increased from 0 times to 0.07 times as the borrowing increased to 873.12 lakhs as on 31st March, 2026.

3. Return on Net Worth decreased from 21.05% to 11.17% mainly on account of decrease in revenue from 13536.34 lakhs in FY 2024-25 to 10,934.80 lakhs in FY 2025-26 and decrease in profits to 1,453.39 lakhs in FY 2025-26 as compared to profit of 2212.91 lakhs in FY 2024-25.

Segmental Reporting

The Company is primarily focused on providing services of Stock Broking across equity, derivatives, currency, and commodity segments, along with Depository Participant, Investment Banking, Research Analyst and its related business activities.

As on 31st March, 2026, on a standalone basis, the Company has identified two reportable segments, namely Stock Broking and Merchant Banking, in accordance with the applicable accounting standards. The segment-wise performance and related disclosures have been presented in Note No. 48 of the Consolidated Financial Statements forming part of this Annual Report.

Further, the Company, through its wholly owned subsidiaries, is also engaged in business of NBFC and Alternate Investment Fund (AIF), thereby extending the Groups presence in diversified financial services. These subsidiaries contribute to the overall consolidated performance of the Group and complement the Companys core business operations.

Details of segment wise performance on consolidated basis are as follows:

Segments	Revenue for the year ended	Revenue for the year ended	Change in %
	31st March, 2026 ( in lakhs)	31st March, 2025 ( in lakhs)
Stock Broking and related activities	10287.74	11911.19	-13.63%
Merchant banking activities	584.57	1610.92	-63.71
Other Activities	151.36	570.56	-73.47

Strengths of your company

Established Brand and Strong Legacy

Established in 1992, Swastika Investmart Limited has over three decades of experience in the Indian capital markets. This long-standing presence has enabled the Company to build strong client relationships, deep market expertise, and a trusted brand identity, particularly across Tier-II and Tier- III cities in Central India.

Diversified Business Model

The Company operates through a diversified business model across multiple financial services verticals, reducing dependence on any single revenue stream and enabling sustainable growth.

Key business segments include:

• Equity, commodity, and currency broking

• Depository Participant Services

• Investment banking, including IPO management, valuation, and corporate advisory services

• Research and advisory services

• Margin Trading Facility (MTF)

• Distribution of mutual funds, portfolio management products, and other financial products

• Loan and Insurance products through group entities

• Alternative investment offerings through Bharat Growth Fund

This diversified presence enables the Company to cater to a broad customer base while capturing opportunities across multiple segments of the financial services ecosystem.

Strong Technology and Digital Capabilities

The Company has built a strong technology-driven platform through its proprietary mobile application "Swastika" offering seamless investment and trading experiences.

Its focus on digital innovation, algorithmic trading capabilities, AI-driven solutions, and automated systems enables the Company to serve evolving investor needs efficiently.

Strong Operational and Financial Performance

The Company maintained a stable financial performance during FY 2025-26 despite prevailing market volatility and changing business conditions. The healthy growth in revenue and profitability reflects improved operating leverage, efficient cost management, and the strength of the Companys diversified business model. The robust financial position provides a strong foundation for future growth, business expansion, and long-term value creation.

SME IPO Expertise & Merchant Banking

Swastika has developed a strong niche in SME IPO management and merchant banking, earning recognition among small and mid-sized businesses seeking capital market access. Client testimonials specifically highlight IPO management as a differentiating service offering, particularly relevant given the India SME IPO boom.

Broad Geographic Presence

The company operates through a pan-India branch network with offices in major cities including Delhi, Ahmedabad, Pune, Mumbai, Kota, Chennai, Hyderabad, Bengaluru, Prayagraj and others, enabling it to serve clients across diverse geographies and demographic segments.

Opportunities

Growing Retail Participation in Capital Markets

India is witnessing a significant increase in retail investor participation, driven by rising financial awareness, expanding demat account penetration, and growing adoption of digital investment platforms. This presents substantial opportunities for the Company to expand its client base and strengthen market presence.

Increasing Financialization of Household Savings

The continued shift of household savings from traditional investment avenues toward market-linked financial products such as equities, mutual funds, bonds, and portfolio management solutions creates significant growth opportunities across broking, distribution, and wealth management businesses.

Expansion in Wealth Management and Advisory Services

Rising affluence, growing financial literacy, and increasing demand for customized investment solutions provide strong growth opportunities in wealth management, research advisory, and financial planning services.

Growth in Alternative Investment Segment

The registration of Bharat Growth Fund as an Alternative Investment Fund creates new opportunities for the Company to cater to sophisticated investors seeking diversified investment avenues and higher-value financial products.

Technology-Driven Growth

Increasing adoption of digital trading platforms, AI-driven advisory solutions, automation, and data analytics presents opportunities to enhance customer experience, improve operational efficiency, and scale business operations effectively.

Growing SME and Capital Raising Ecosystem

The strong growth in Indias SME and primary market ecosystem provides significant opportunities for the Company to expand its investment banking, IPO management, and merchant banking services.

Expansion into Emerging Markets

Rising investor participation in Tier-II and Tier-III cities offers significant untapped potential for expanding the Companys distribution network, client acquisition, and wealth management offerings.

Favorable Regulatory and Economic Environment

Indias strong economic growth outlook, supportive regulatory framework, and continued reforms in financial markets are expected to create a conducive environment for long-term growth across the Companys business segments.

Threats & Challenges

Intense Industry Competition

The Company operates in a highly competitive market with increasing competition from discount broking platforms and large financial service providers. These players often have stronger technology capabilities, wider brand visibility, and aggressive pricing strategies, which may impact client acquisition and retention.

Increasing Regulatory Compliance Requirements

As a regulated market intermediary, the Company is required to comply with evolving regulations and statutory requirements prescribed by the Securities and Exchange Board of India and other regulatory authorities. Frequent regulatory changes may require continuous process upgrades, enhanced compliance mechanisms, and additional operational costs.

Technology and Cybersecurity Risks

The Companys operations are significantly dependent on technology platforms and digital infrastructure. Any cyber attack, system failure, technical disruption, or data security breach may impact operational efficiency, customer experience, and business continuity. Continuous investment in robust technology systems and cybersecurity measures is essential to mitigate such risks.

Macroeconomic and Market Volatility

The Companys performance is influenced by overall economic conditions and market sentiment at both domestic and global levels. Geopolitical tensions, inflationary pressures, interest rate fluctuations, economic slowdown, and global financial instability may adversely affect investor confidence, market participation, and business growth.

Talent Retention in Competitive Markets

The financial services industry continues to witness intense competition for skilled professionals, particularly in technology, research, advisory, and investment banking functions. The ability to attract, retain, and develop quality talent remains critical for sustaining growth and maintaining service excellence.

Rapid Technological Changes

The fast-paced evolution of financial technology requires continuous innovation and regular upgradation of systems and platforms. Failure to adapt to changing technological trends and customer expectations may impact the Companys competitive position.

Risk Management and Mitigation Strategies

The Company recognizes that effective risk management is essential for sustainable growth and long-term value creation. Operating in a dynamic and highly regulated financial services environment, the Company has established a comprehensive risk management framework to identify, assess, monitor, and mitigate various business risks.

The Companys risk management approach is focused on maintaining operational stability, ensuring regulatory compliance, safeguarding client interests, and strengthening business resilience.

Business Diversification

The Company closely tracks economic and market developments to proactively respond to changing business conditions. By maintaining a diversified client base, strengthening digital capabilities, and focusing on operational efficiency, the Company aims to minimize the impact of market volatility and economic uncertainties. Conservative financial management and continuous assessment of market risks further support business stability during adverse economic conditions.

Geographic & Client Base Expansion

The Company continues to expand its presence across different geographic regions and customer segments to reduce concentration risk and strengthen business stability. By enhancing digital outreach, broadening distribution networks, and offering diversified financial products and services, the Company aims to increase its customer base and improve revenue diversification. This strategy helps mitigate risks arising from dependence on specific markets or client categories while supporting long-term sustainable growth.