Telge Projects Ltd Management Discussions

OPERATIONS

The following discussion and analysis of our financial condition and results of operations for the Fiscal Year 2025, Fiscal Year 2024 and Fiscal Year 2023 is based on, and should be read in conjunction with, our Restated Consolidated Financial Information, including the schedules, notes and significant accounting policies thereto, included in the chapter titled "Restated Consolidated Financial Information" beginning on page 186 of this Draft Red Heiring Prospectus. Our Restated Consolidated Financial Information have been derived from our audited financial statements and restated in accordance with the SEBI ICDR Regulations and the ICAI Guidance Note. Our financial statements are prepared in accordance with AS.

You should read the following discussion of our financial condition and results of operations together with our restated consolidated financial information included in this Draft Red Heiring Prospectus. You should also read the section titled "Risk Factors" beginning on page 31 of this Draft Red Heiring Prospectus, which discusses a number of factors, risks and contingencies that could affect our financial condition and results of operations. Our fiscal year ends on March 31 of each year, so all references to a particular fiscal year are to the twelve-month period ended March 31 of that year.

In this section, unless the context otherwise requires, any reference to "we", "us" or "our" refers to our Company and our Subsidiaries. Unless otherwise indicated, financial information included herein are based on our "Restated Consolidated Financial Information" for the Fiscal Year 2025, Fiscal Year 2024 and Fiscal Year 2023 included in this

Draft Red Heiring Prospectus beginning on page 186 of this Draft Red Heiring Prospectus.

Note: Statement in the Management Discussion and Analysis Report describing our objectives, outlook, estimates, expectations or prediction may be "Forward Looking Statements" within the meaning of applicable securities laws and regulations. Actual results could differ materially from those expressed or implied. Important factors that could make a difference to our operations include, among others, economic conditions affecting demand/supply and price conditions in domestic and overseas market in which we operate, changes in Government Regulations, Tax Laws and other Statutes and incidental factors.

BUSINESS OVERVIEW

Incorporated on January 16, 2018, we are presently engaged in comprehensive range of engineering design services, such as building information modeling (BIM), structural engineering design, material take-offs (MTO), 2D drafting and architectural design to ensure seamless project execution. Our services emphasize the use of modern methodologies over traditional approaches. Traditional approach in the AEC (Architecture, Engineering, and Construction) industry is based on manual process which is prone to the errors and potential for miscommunication. It relies on 2D model for visualization and designing of engineering projects. Hence this method is time consuming and results in delay in completion of projects with compromised quality which negatively impacts project outcome, while modern methodology is based on BIM (Building Information Modeling) digital process used in the architecture, engineering and construction (AEC) industries. BIM utilizes a 3D digital model with integrated data and collaborative workflows. Hence modern methodology is cost effective as it eliminates various layers which are used in traditional method which leads to competition of projects in timely manner. Further we serve to EPC (Engineering, Procurement, and Construction) firms, fabricators, and contractors by delivering accurate, cost-effective engineering services in a timely manner.

Our Company is certified with ISO 9001:2015 committed to 3D modelling & detailing of precast structure and steel structure for civil and construction industry. To deliver these services, our design layouts are based on following two frameworks:

Following is our revenue bifurcation on the basis of above-mentioned frameworks for the financial years ending March 31, 2025 and the preceding two fiscals:

( in lakhs)

Particulars	Fiscal 2025		Fiscal 2024		Fiscal 2023
	Consolidated		Consolidated		Standalone
	Revenue Operations	from %	Revenue Operations	from %	Revenue Operations	from %
Designing in Structural Steel Projects	2,052.04	81.81	1,053.93	84.92	596.63	80.19
Designing in Pre cast Concrete Projects	456.25	18.19	187.11	15.08	147.38	19.81
Total	2,508.29	100.00	1,241.05	100.00	744.01	100.00

As certified by M/s. A V H K and Associates, Chartered Accountants, by way of their certificate dated June 27, 2025.

Our projects include two types of contracts namely fixed-price contracts and time-and-material (T&M) contracts. Under fixed-price contracts, we determine the prices for our services based on various parameters, including market demand, supply and it varies for customer to customer based on various parameter such as size of projects, payment terms, supply schedule etc. In contrast, our time-and-material contracts are based on an agreed hourly or daily rate, where clients are billed for the actual time and resources expended on the project. Once the project is completed, we hand over the finalized designs without participating in the actual construction process. Our renowned project designs include Mangalwar Peth Metro Station in Pune India, Everton Stadium in United Kingdom, Richland Performing Art Centre in Columbia - South America.

We believe that, we have built significant expertise in an engineering design services and software capabilities. Our team of skilled engineers specializes in engineering design and Building Information Modeling (BIM).We have a workforce of 166 permanent employees out of which we have a delivery workforce of 148 trained and skilled engineers. Our team operates through a digital platform, leveraging industry-standard software tools such as Tekla Structures, Bluebeam, Enercalc, AutoCAD, SDS2, Autodesk Revit Structure, and Cads RC. To support seamless business operations across departments, we also utilize Zoho for accounting, GreytHR for HR and payroll, Mitroz for project management, and Whiz-Sales (CRM) for business development.

As on March 31, 2025 our sales and marketing team comprises of 5 personnel. We participate in global exhibition events to reach our international clients. We actively engage with global industry platforms to showcase our capabilities. Further we focus on fulfilling our customers needs based on their specific requirements in timely manner, which enables us to earn their satisfaction and trust. As a result, the strong relationships we maintain with our clients remain a key strength of our business.

Our clientele includes companies across the commercial, industrial, infrastructure, institutional and residential sectors in both domestic and international market. We render our services through our registered office situated at Pune along with other offices situated in Office No 304-2, Third Floor T 29-31, Om Chambers T Block Pune 411026 and 2nd Floor, Lokmanya Nagar, New Barshi Road, Latur- 413512. For further details, see "Our Business- Our Properties" on page 142. In India, we have developed our presences in Maharashtra and Odisha. Further, we have developed our presence in the global market, successfully exporting our services to over eleven (11) countries including Australia, Canada, Ireland, Latvia, Malaysia, New Zealand, Poland, Singapore, Sweden, UK (United Kingdom) and USA (United States of America).

A majority of our sales are derived from export. To ensure smooth coordination and establish our presence in the global market, we have acquired a subsidiary Company in the USA named "Telge Projects Inc" from our Promoter to engage with foreign clients and expand our worldwide business. To expand our operations, our subsidiary Company, Telge Projects Inc had acquired two USA based wholly owned subsidiary companies namely Midwest Detailing LLC and Draftco Inc. These acquisition has allowed us to strengthen our presence in the North American market and deliver our engineering solutions to a wider client base. For details relating to the above detailed acquisitions, see "History and Other Certain Corporate Matters" on page 160.

Our Corporate Group Structure:

Over the years, we have successfully delivered projects ranging from small-scale to large and complex projects across the global market. This track record reflects not only our capabilities and expertise but also our commitment to provide quality work, in a timely manner for our clients satisfaction. Our extensive portfolio, resulting in continuous business support and long-term relationship with our clients, serve as a testament to our ability to consistently meet the evolving needs of the AEC industry.

We are led by our promoter namely Ms. Shraddha Shailesh Telge, who serves as the guiding force behind our growth. With nine (09) years of experience in this industry and strategic vision, she has played a key role in the companys expansion and success leading to two offices in Pune and one in Latur. Our Promoter remains deeply involved in the day-to-day operations, bringing her business acumen and leadership to our Company, which has been instrumental in sustaining our business operations and growth. In recognition of her dedication and hard work, our promoter has received Promising Entrepreneur Award from Rotary Club of Pune Kothrud in 2020-21. Our Company is further strengthened by an experienced and diverse Board of Directors, each bringing expertise from their respective domains. This well-structured and technically competent workforce enable us to deliver consistent value addition, innovation, and quality work to our clients worldwide. For further details, see "Our Promoter and Promoter Group" and "Our Management" on page 180 and 166, respectively.

Key Performance Indicators of our Company.

As per Restated Consolidated Financial Information

( in Lakhs, otherwise mentioned)

Key Financial Performance	Fiscal 2025	Fiscal 2024	Fiscal 2023
	Consolidated	Consolidated	Standalone
Revenue from Operations (1)	2,508.29	1,241.05	744.01
EBITDA (2)	826.86	381.32	145.57
EBITDA Margin (3)	32.97%	30.73%	19.57%
Profit After Tax (PAT) (4)	538.07	265.63	89.96
PAT Margin (5)	21.45%	21.40%	12.09%
ROE (6)	67.29%	78.76%	54.87%
ROCE (7)	56.22%	89.50%	30.28%
Debt Equity Ratio (times) (8)	0.83	0.59	1.20
Net fixed asset turnover ratio (9)	1.77	2.55	4.54
Current Ratio (times) (10)	1.49	1.28	1.66

As certified by M/s. R. M. Rajapurkar & Co., Chartered Accountants, by way of their certificate dated June 27, 2025.

Notes:

(1) Revenue from operation means revenue from sales and other operating revenues

(2) EBITDA is calculated as Profit before tax + Depreciation + Interest Expenses - Other Income

(3) ‘EBITDA Margin is calculated as EBITDA divided by Revenue from Operations

(4 PAT is calculated as Profit before tax Tax Expenses

(5) ‘PAT Margin is calculated as PAT for the year divided by revenue from operations

(6) Return on Equity is ratio of Profit after Tax and Average Shareholder Equity

(7) Return on Capital Employed is ratio of EBIT and Capital Employed, where Capital Employed = Tangible Net Worth + Total Debt + Deferred Tax Liability ⁽⁸⁾ Debt to Equity ratio is calculated as Long Term Debt + Short Term Debt divided by equity ⁽⁹⁾ Net Fixed asset turnover is calculated as revenue from operations divided by the sum of tangible and intangible assets. ¹⁰⁾ Current Ratio is calculated by dividing Current Assets to Current Liabilities

SIGNIFICANT DEVELOPMENTS AFTER MARCH 31, 2025

Except as discussed below and elsewhere in this Draft Red Herring Prospectus, in the opinion of the Board of Directors of our Company, since March 31, 2025 as disclosed in this Draft Red Herring Prospectus, there have not arisen any circumstance that materially or adversely affect or are likely to affect the profitability of our Company or the value of its assets or its ability to pay its material liabilities within the next twelve months.

Our Company has approved the Consolidated Audited Financial Statements for the financial years ended on March 31, 2025 pursuant to a resolution passed by the Board of Directors at their meeting held on April 29, 2025 and through ordinary resolution passed by the Shareholders of our Company at their Annual General Meeting dated June 20, 2025.

Our Company has approved the Consolidated Restated Financial Information for the financial years ended on March 31, 2025, March 31, 2024 and March 31, 2023, respectively, by the Board of Directors pursuant to a resolution passed at their meeting held on June 25, 2025 and by our Shareholders pursuant to a Special Resolution passed at the Extra Ordinary General meeting held on June 26, 2025.

The Board of our Company has approved to allotment of Bonus Issue in the board meeting held on June 26, 2025.

The Board of our Company has approved to raise funds through Initial Public Offering in the board meeting held on June 25, 2025.

The members of our Company approved proposal of Board of Directors to raise funds through initial public offering in the EOGM held on June 26, 2025.

STATEMENT OF SIGNIFICANT ACCOUNTING POLICIES

For details in respect of Statement of Significant Accounting Policies, please refer to the chapter titled "Restated Consolidated Financial Information" beginning on page 186 of this Draft Red Heiring Prospectus.

KEY COMPONENTS OF COMPANYS BALANCE SHEET

The following table sets forth select financial data derived from our restated statement of Balance Sheet as at Fiscal 2025, 2024 and 2023:

Particulars	Fiscal 2025	Fiscal 2024	Fiscal 2023
	Consolidated	Consolidated	Standalone
Liabilities
Long Term Borrowings	581.09	93.96	119.99
Short Term Borrowings	356.55	181.84	129.91
Trade Payables	212.73	73.69	51.54
Assets
Property, Plant & Equipment and Intangible Assets	1,417.87	487.28	163.76
Trade receivables	502.20	294.27	230.15
Other Current Assets	406.62	108.22	80.21

FISCAL 2025 COMPARED WITH FISCAL 2024

Borrowings:

Companys borrowings have increased in Fiscal 2025 to finance the growing operations of the company, following are details of Long- & Short-Term borrowings of the company:

( in lakhs)

Particulars	Fiscal 2025	Fiscal 2024
	Consolidated	Consolidated
Long Term Borrowings	581.09	93.96
Short Term Borrowings	356.55	181.84
Total	937.64	275.80

Trade Payables:

Trade payables include dues payables to expense creditors, Companys payables in Fiscal 2025 have increased in line with growing expenses of the company, following are details of Trade Payables of the company:

( in lakhs)

Particulars	Fiscal 2025	Fiscal 2024
	Consolidated	Consolidated
Total outstanding dues of micro enterprises and small enterprises	4.54	-
Total outstanding dues of creditors other than micro enterprises and small enterprises	208.19	73.69
Total	212.73	73.69

Property, Plant & Equipment and Intangible Assets:

Following are the details of "Property, Plant & Equipment and Intangible Assets":

( in lakhs)

Particulars	Fiscal 2025	Fiscal 2024
	Consolidated	Consolidated
Property, Plant & Equipment	836.91	161.47
Intangible Assets	578.15	325.82
Intangible Assets Under Development	2.81	-
Total	1,417.87	487.28

Company has purchased office premises of 788.85 lakhs in Fiscal 2025, which has contributed to overall increase in

Property, Plant & Equipment and Intangible Assets in Fiscal 2025.

Trade receivables:

Trade receivables include dues from customers remaining unpaid, Companys receivables have increased in Fiscal 2025 in line with growing operations of the company, following are details of Trade receivables of the company:

( in lakhs)

Particulars	Fiscal 2025	Fiscal 2024
	Consolidated	Consolidated
Trade receivables	502.20	294.27

Other Current Assets:

Other current assets include Prepaid Expenses, Unbilled Revenue, Cost of Orders in Process and they have increased primarily due to increase in unbilled revenue at year end and other items have increased in line with increase in operations of the company, details of which are as follows:

( in lakhs)

Particulars	Fiscal 2025	Fiscal 2024
	Consolidated	Consolidated
Prepaid Expenses	176.05	57.47
Accrued Interest	0.19	-
Unbilled Revenue	230.38	-
Cost of Orders in Process	-	50.75
Total	406.62	108.22

FISCAL 2024 COMPARED WITH FISCAL 2023

Borrowings:

Companys borrowings have increased in Fiscal 2024 in line with growing operations of the company, following are details of Long- & Short-Term borrowings of the company:

( in lakhs)

Particulars	Fiscal 2024	Fiscal 2023
	Consolidated	Standalone
Long Term Borrowings	93.96	119.99
Short Term Borrowings	181.84	129.91
Total	275.80	249.90

Trade Payables:

Trade payables include dues payables to expense creditors, Companys payables have increased in Fiscal 2024 in line with growing expenses of the company, following are the details of Trade Payables of the company:

( in lakhs)

Particulars	Fiscal 2024	Fiscal 2023
	Consolidated	Standalone
Total outstanding dues of micro enterprises and small enterprises	-	-
Total outstanding dues of creditors other than micro enterprises and small enterprises	73.69	51.54
Total	73.69	51.54

Property, Plant & Equipment and Intangible Assets:

Following are the details of "Property, Plant & Equipment and Intangible Assets":

( in lakhs)

Particulars	Fiscal 2024	Fiscal 2023
	Consolidated	Standalone
Property, Plant & Equipment	161.47	152.71
Intangible Assets	325.82	11.05
Total	487.28	163.76

Companys Intangible Assets has increased due to Goodwill generated of 317.97 lakhs on account of 100% stake acquired in M/s Midwest Detailing LLC on January 24, 2024, through M/s Telge Projects Inc., which has contributed to overall increase in Property, Plant & Equipment and Intangible Assets in Fiscal 2025.

Trade receivables:

Trade receivables include dues from customers remaining unpaid, Companys receivables have increased in Fiscal 2024 in line with growing operations of the company, following are details of Trade receivables of the company:

( in lakhs)

Particulars	Fiscal 2024	Fiscal 2023
	Consolidated	Standalone
Trade receivables	294.27	230.15

Other Current Assets:

Other current assets include Prepaid Expenses, Unbilled Revenue, Cost of Orders in Process and they have increased in Fiscal 2024 in line with increase in operations of the company, details of which are as follows:

( in lakhs)

Particulars	Fiscal 2024	Fiscal 2023
	Consolidated	Standalone
Prepaid Expenses	57.47	49.70
Cost of Orders in Process	50.75	30.50
Total	108.22	80.21

RESULTS OF OUR OPERATION

The following discussion on results of operations should be read in conjunction with the Restated Consolidated Financial Information of our Company the Fiscal Year 2025, Fiscal Year 2024 and Fiscal Year 2023:

Particulars	Fiscal	% of Total	Fiscal	% of	Fiscal	% of
	2025 Consolidated	Income Consolidated	2024 Standalone	Total Income	2023	Total Income
Revenue From Operations	2,508.29	97.77%	1,241.05	99.24%	744.01	99.02%
Other Income	57.09	2.23%	9.45	0.76%	7.39	0.98%
Total Income	2,565.39	100.00%	1,250.49	100.00%	751.40	100.00%
Expenditure
Cost of Material Consumed	-	-	-	-	-	-
Purchases of Stock in Trade	-	-	-	-	-	-
Changes in Inventories of Finished Goods, WIP & Stock-in-trade	-	-	-	-	-	-
Employee Benefits Expense	893.45	34.83%	524.62	41.95%	386.19	51.40%
Finance Cost	128.13	4.99%	11.43	0.91%	11.16	1.49%
Depreciation and Amortisation Expenses	44.52	1.74%	18.81	1.50%	17.37	2.31%
Other Expenses	787.98	30.72%	335.10	26.80%	212.25	28.25%
Total Expenditure	1,854.09	72.27%	889.97	71.17%	626.97	83.44%
Profit/(Loss) Before Tax	711.30	27.73%	360.52	28.83%	124.43	16.56%
Tax Expense:
Tax Expense for Current Year	167.34	6.52%	95.60	7.64%	30.34	4.04%
Deferred Tax	5.89	0.23%	-0.70	-0.06%	4.13	0.55%
Net Current Tax Expenses	173.23	6.75%	94.89	7.59%	34.47	4.59%
Less: Minority Interest	17.45	0.68%	5.52	0.44%	-	0.00%
Profit After Expense	520.62	20.29%	260.11	20.80%	89.96	11.97%

FACTORS AFFECTING OUR RESULTS OF OPERATIONS

Our financial performance and results of operations are influenced by a number of important factors, some of which are beyond our control, including without limitation, intense domestic competition, general economic conditions, changes in conditions in the regional markets in which we operate and evolving government regulations and policies. Some of the more important factors are discussed below, as well as in the section titled "Risk Factors" beginning on page 31 of this Draft Red Herring Prospectus. Our Companys future results of operations could be affected potentially by the following factors:

We are highly dependent on certain key customers for a substantial portion of our revenues. Loss of relationship with any of these clients/customers may have a material adverse effect on our profitability and results of operations;

Our Company has not entered into any long-term contracts with our clients/customers and we typically operate on the basis of projects received on hand. Inability to maintain regular project flow would adversely impact our revenues and profitability;

We are dependent on our empanelled vendors for various software which we provide to our clients/ customers. The failure of our empanelled vendors to deliver that software in the necessary quantities, on time or to meet specified quality standards or technical specifications, could adversely affect our business and our ability to deliver orders on time;

We are subject to project execution risks where delays arising from design changes, unanticipated site conditions, or client-related factors such as late approvals or frequent scope modifications can disrupt project timelines, increase operational costs and significantly impact our profitability;

We generate our major portion of sales from our operations from a particular geographical region, USA and Australia. Any adverse developments affecting our operations in this country could have an adverse impact on our revenue and results of operations;

Our reliance on overseas exposes us to risks such as geographical concentration and foreign currency exchange fluctuations, which could adversely impact our business, results of operations, and financial condition;

Our software products owing to certain issues such as coding, configuration or any other technical error or defects could lead to Company bearing exponential costs, delay in revenues and consequently expose us to litigation;

General economic and business conditions in the markets in which we operate and in the local, regional, national and international economies;

Changes in government policies and regulatory actions that apply to or affect our business;

Changes in political and social conditions in India, the monetary and interest rate policies of India and other countries;

The occurrence of natural disasters or calamities;

Our inability to maintain or enhance our brand recognition;

Other factors beyond our control; and

Our ability to manage risks that arise from these factors;

For further discussions of factors that could cause our actual results to differ, please refer the section titled "Risk Factors" and chapter titled "Our Business" and "Managements Discussion and Analysis of Financial Condition and Results of

Operations" beginning on page 31, 121 and 245 of this Draft Red Herring Prospectus, respectively. By their nature, certain market risk disclosures are only estimating and could be materially different from what actually occurs in the future. As a result, actual gains or losses could materially differ from those that have been estimated.

There can be no assurance to applicants that the expectations reflected in these forward-looking statements will prove to be correct. Given these uncertainties, applicants are cautioned not to place undue reliance on such forward-looking statements and not to regard such statements to be a guarantee of our future performance.

Forward-looking statements reflect the current views as of the date of this Draft Red Herring Prospectus and are not a guarantee of future performance. These statements are based on our managements beliefs and assumptions, which in turn are based on currently available information. Although we believe the assumptions upon which these forward-looking statements are based are reasonable, any of these assumptions could prove to be inaccurate, and the forward-looking statements based on these assumptions could be incorrect. Neither our Company, our directors, nor any of their respective affiliates have any obligation to update or otherwise revise any statements reflecting circumstances arising after the date hereof or to reflect the occurrence of underlying events, even if the underlying assumptions do not come to fruition

In accordance with the SEBI ICDR Regulations, our Company, will ensure that the applicants in India are informed of material developments until the time of the grant of listing and trading permission by the Stock Exchange for the Equity Shares pursuant to the Issue.

KEY COMPONENTS OF COMPANYS PROFIT AND LOSS STATEMENT

Revenue from operations: Revenue from operations mainly consists of Engineering design services.

Other Income: Other Income includes Interest income, Actuarial Gain on Gratuity, Foreign Exchange Gain, Profit on Sale of Assets and Sundry Balance Written off.

Expenses: Companys expenses consist of Employee Benefit Expenses, Finance Cost, Depreciation and Amortization

Expense, Other Expenses and tax expenses.

Employee Benefits Expense: Employee benefit expenses include Salaries, Wages & Bonus, Directors Remuneration & Contribution to Provident Fund & Other Fund & Staff Welfare Expenses.

Finance Cost: Finance Cost includes Interest Expense and Foreign Exchange Loss on Borrowings.

Depreciation and Amortization Expense: We recognize Depreciation and Amortization expense on a WDV basis as per the rates set forth in the Companies Act, 2013.

Other Expenses: Other expenses include Software Subscription and AMC Charges, Electricity charges, Rent, Rates & Taxes, Audit Fees, Consultancy charges & Professional fees, Bad debts, Repairs & Maintenance etc.

FISCAL 2025 COMPARED WITH FISCAL 2024

Revenue from Operation

Revenue from operations has increased by 102.11% from 1,241.05 lakhs in Fiscal 2024 to 2,508.21 lakhs in Fiscal 2025.

Revenue from operations included following:

(Rs. in Lakhs)

Particulars	Fiscal 2025		Fiscal 2024		Absolute change
	Revenue from % Operations		Revenue from % Operations
Architectural Services	35.80	1.43%	9.72	0.78%	26.08
Structural Engineering Services	177.69	7.08%	31.03	2.50%	146.66
BIM Modelling	2,104.62	83.91%	1,031.14	83.09%	1073.48
2D Drafting Services	27.52	1.10%	56.11	4.52%	-28.59
Material Take Off	162.66	6.48%	113.05	9.11%	49.61
Total	2,508.29	100.00%	1,241.05	100.00%	1267.24

Revenue from operations increased significantly in Fiscal 2025, primarily due to a sharp rise in revenue from "BIM Modelling" services, which grew from 1,031.14 lakhs in Fiscal 2024 to 2,104.62 lakhs. This growth was further supported by an expansion in the Companys customer base from 54 in Fiscal 2024 to 73 in Fiscal 2025 driven by increased hiring and a corresponding rise in Employee Benefit Expenses. Additionally, the acquisition of a 100% stake in M/s Draftco Inc. on 27 December, 2024 through the Companys subsidiary, M/s Telge Projects Inc., also contributed to the overall increase in revenue.

Other Income

Other income had increased by 47.65 lakhs from 9.45 lakhs in Fiscal 2024 to 57.09 lakhs in Fiscal 2025 due to Profit on Sale of Asset in Fiscal 2025 of 42.22 lakhs.

Employee Benefit Expenses

Employee benefit expenses had increased by 70.30% from 524.62 lakhs in Fiscal 2024 to 893.45 lakhs in Fiscal 2025. This was primarily due to increase in Salary, Wages & Bonus from 419.28 lakhs in Fiscal 2024 to 733.48 lakhs in Fiscal

2025 as Companies head count has increased from 125 in Fiscal 2024 to 172 in Fiscal 2025. Employee Benefit expenses had increased relatively less than increase in Revenue from operations resulting in increased operational efficiency of the company.

Finance Cost

Finance Cost had increased by 116.70 lakhs from 11.43 lakhs in Fiscal 2024 to 128.13 lakhs in Fiscal 2025. This was primarily due to increase in Interest expenses from 11.38 lakhs in Fiscal 2024 to 69.44 lakhs in Fiscal 2025 & increase in Foreign Exchange Loss on Borrowings from 0.06 lakhs in Fiscal 2024 to 58.70 lakhs in Fiscal 2025. These expenses increased primarily due to increase in Total Borrowings from 275.80 lakhs in Fiscal 2024 to 937.65 lakhs in Fiscal 2025.

Depreciation and Amortization Expenses

Depreciation had increased by 136.71% from 18.81 lakhs in Fiscal 2024 to 44.52 lakhs in Fiscal 2025. This was primarily due to addition of fixed assets of 854.62 lakhs by company during Fiscal 2025.

Other Expenses

Other expenses had increased by 135.15% from 335.10 lakhs in Fiscal 2024 to 787.98 lakhs in Fiscal 2025. The increase was primarily due to increase in Consultancy charges & Professional fees by 277.50 lakhs, Software Subscription and AMC Charges by 80.18 lakhs, Rent, Rates & Taxes by 23.36 lakhs, etc.in Fiscal 2025.

Tax Expenses

The Companys tax expenses had increased by 78.34 lakhs from 94.89 lakhs in the Fiscal 2024 to 173.23 lakhs in Fiscal 2025. This was primarily due to increase in current tax expenses during the year which got increased from 95.60 Lakhs in the Fiscal 2024 to 167.34 lakhs in the Fiscal 2025.

Minority Interest

The minority has share of 17.45 lakhs in the profit after tax for Fiscal 2025.

Profit after Tax

In Fiscal 2025, the Company reported a net profit of 520.62 lakhs attributable to owners, marking a significant increase from 260.11 lakhs in Fiscal 2024. This growth was primarily driven by an increase in Total Income, which rose from 1,250.49 lakhs in Fiscal 2024 to 2,565.39 lakhs in Fiscal 2025. The profit has increased in line with the rise in Total

Income, as it remained nearly constant as a proportion of Total Income - 20.80% in Fiscal 2024 and 20.29% in Fiscal 2025.

FISCAL 2024 COMPARED WITH FISCAL 2023

Revenue from Operation

Revenue from operations has increased by 66.81% from 744.01 lakhs in Fiscal 2023 to 1,241.05 lakhs in Fiscal 2024.

Revenue from operations included following:

( in lakhs)

Particulars	Fiscal 2024		Fiscal 2023		Absolute
	Revenue Operations	from %	Revenue Operations	from %	change
Architectural Services	9.72	0.78%	-	0.00%	9.72
Structural Engineering Services	31.03	2.50%	-	0.00%	31.03
BIM Modelling	1,031.14	83.09%	593.49	79.77%	437.65
2D Drafting Services	56.11	4.52%	103.40	13.90%	(47.29)
Material Take Off	113.05	9.11%	47.12	6.33%	65.93
Total	1,241.05	100.00%	744.01	100.00%	497.04

Revenue from operations increased significantly in Fiscal 2024, primarily driven by strong growth in revenue from "BIM Modeling" services, which rose from 593.49 lakhs in Fiscal 2023 to 1,031.14 lakhs. This growth was further supported by an expansion in the Companys customer base from 36 in Fiscal 2023 to 54 in Fiscal 2024 facilitated by increased hiring and a corresponding rise in Employee Benefit Expenses. In addition, the acquisition of M/s Telge Projects Inc. on November 07, 2023, followed by the acquisition of a 100% stake in M/s Midwest Detailing LLC on January 24, 2024 through M/s Telge Projects Inc., contributed to the overall revenue growth. Revenue from the U.S. market also saw a notable increase of 482.71 lakhs, further boosting the Companys total revenue for the year.

Other Income

Other income had increased by 27.78% from 7.39 lakhs in Fiscal 2023 to 9.45 lakhs in Fiscal 2024 due to other income in Fiscal 2024 of 8.77 lakhs.

Employee Benefit Expenses

Employee benefit expenses had increased by 35.85% from 386.19 lakhs in Fiscal 2023 to 524.62 lakhs in Fiscal 2024. This was primarily due to increase in Salary, Wages & Bonus from 353.00 lakhs in Fiscal 2023 to 419.28 lakhs in Fiscal

2024 as Companies head count has increased from 111 in Fiscal 2023 to 125 in Fiscal 2025. Employee Benefit expenses had increased relatively less than increase in Revenue from operations resulting in increased operational efficiency of the company.

Finance Cost

Finance Cost had increased by 2.42% from 11.16 lakhs in Fiscal 2023 to 11.43 lakhs in Fiscal 2024. This was primarily due to increase in Interest expenses from 11.16 lakhs in Fiscal 2023 to 11.38 lakhs in Fiscal 2024. These expenses increased primarily due to increase in Total Borrowings from 249.90 lakhs in Fiscal 2023 to 275.80 lakhs in Fiscal 2024.

Depreciation and Amortization Expenses

Depreciation had increased by 8.28% from 17.37 lakhs in Fiscal 2023 to 18.81 lakhs in Fiscal 2024. This was primarily due to addition of fixed assets of 3.39 lakhs by company during Fiscal 2024.

Other Expenses

Other expenses had increased by 57.88% from 212.25 lakhs in Fiscal 2023 to 335.10 lakhs in Fiscal 2024. The increase was primarily due to increase in Consultancy charges & Professional fees by 58.04 lakhs, Software Subscription and AMC Charges by 46.75 lakhs, Rent, Rates & Taxes by 29.51 lakhs, etc.in Fiscal 2024.

Tax Expenses

The Companys tax expenses had increased by 60.43 lakhs from 34.47 lakhs in the Fiscal 2023 to 94.89 lakhs in Fiscal 2024. This was primarily due to increase in current tax expenses during the year which got increased from 30.34 Lakhs in the Fiscal 2023 to 95.60 lakhs in the Fiscal 2024.

Minority Interest

The minority has share of 5.52 lakhs in the profit after tax for Fiscal 2024.

Profit after Tax

In Fiscal 2024, the Company reported a net profit of 260.11 lakhs attributable to owners, marking a significant increase from 89.96 lakhs in Fiscal 2023. This growth was primarily driven by an increase in Total Income, which rose from 751.40 lakhs in Fiscal 2023 to 1,250.49 lakhs in Fiscal 2024. The profit margin of the company has also increased due to proportionate decrease in Employee Benefit Expense from 51.40% in Fiscal 2023 to 41.95% in Fiscal 2024 in relation to Total Income.

CASH FLOWS

Cash Flows

( in lakhs)

Particulars	Fiscal 2025	Fiscal 2024	Fiscal 2023
	Consolidated	Consolidated	Standalone
Net Cash from Operating Activities	330.50	309.58	60.06
Net Cash from Investing Activities	(931.65)	(343.72)	(10.01)
Net Cash from Financing Activities	705.36	32.52	(25.25)

Cash Flows from Operating Activities

For the financial year ended March 31, 2025

Our net cash generated from operating activities for period ended March 31, 2025 was at 330.50 lakhs as compared to the Profit Before Tax at 711.30 Lakhs. Our operating profit before working capital changes was 864.26 Lakhs for the financial year ended March 31, 2025 which was primarily adjusted against increase in trade receivables by (245.34) Lakhs, decrease in short term loans and advances by 16.42 Lakhs, increase in Other Current Assets by (298.40) Lakhs, (Other current asset has increased due to unbilled revenue at year end) increase in trade payables by 139.04 Lakhs and increase in other current liabilities by 28.17 Lakhs and Net income taxes paid of (173.66) Lakhs (Income taxes paid increased in line with increased Profit Before Tax of the company).

For the financial year ended March 31, 2024

Our net cash generated from operating activities for period ended March 31, 2024 was at 309.58 Lakhs as compared to the Profit Before Tax at 360.52 Lakhs. Our operating profit before working capital changes was 411.62 Lakhs for the period ended March 31, 2024 on account of non-cash expense of 25.33 Lakhs of Provision of Gratuity which was primarily adjusted against increase in trade receivables by (64.12) Lakhs, increase in short term loans and advances by (32.56) Lakhs, increase in Other Current Assets by (28.02) Lakhs, increase in trade payables by 22.15 Lakhs and increase in other current liabilities by 21.52 Lakhs and Net income taxes paid of (21.01) Lakhs.

For the financial year ended March 31, 2023

Our net cash generated from operating activities for period ended March 31, 2023 was at 60.06 lakhs as compared to the Profit Before Tax at 124.43 Lakhs. Our operating profit before working capital changes was 150.55 Lakhs for the financial year ended March 31, 2023 which was primarily adjusted against increase in trade receivables by (90.95) Lakhs, increase in short term loans and advances by (12.44) Lakhs, increase in Other Current Assets by (8.91) Lakhs, increase in trade payables by 15.89 Lakhs and increase in other current liabilities by 21.10 Lakhs and Net income taxes paid of

(15.17) Lakhs.

Cash Flows from Investment Activities

For the financial year ended March 31, 2025

For the financial year ended March 31, 2025, the net cash used in Investing Activities was (931.65) Lakhs. This was mainly on account of Purchase of Property, Plant and Equipment, Intangible Assets, CWIP & IAUD of (854.62) Lakhs, Sale of Property, Plant & Equipment of 175.00 Lakhs, Payment for Godwill ( 253.28) Lakhs and Interest received 1.28

Lakhs.

For the financial year ended March 31, 2024

For the financial year ended March 31, 2024, the net cash used in Investing Activities was ( 343.72) Lakhs. This was mainly on account of Purchase of Property, Plant and Equipment, Intangible Assets, CWIP & IAUD of (24.35) Lakhs, Payment for Godwill on acquisition of Step-down subsidiary of ( 317.97) Lakhs and Interest received 0.68 Lakhs.

For the financial year ended March 31, 2023

For the financial year ended March 31, 2023, the net cash used in Investing Activities was ( 10.01) Lakhs. This was mainly on account of Purchase of Property, Plant and Equipment, Intangible Assets, CWIP & IAUD of (11.94) Lakhs and decrease in other non-current asset by ( 6.88) Lakhs.

Cash Flows from Financing Activities

For the financial year ended March 31, 2025

For the financial year ended March 31, 2025, the net cash generated from financing activities was 705.36 Lakhs. This was mainly on account of Proceeds from Issue of Share Capital of 150.01 Lakhs, proceeds from Long Term Borrowings of 697.99 Lakhs, repayment of Long-Term Borrowings of (131.34) Lakhs, Increase in Short-Term Borrowings of 95.19 Lakhs and Finance Cost of (128.13) Lakhs.

For the financial year ended March 31, 2024

For the financial year ended March 31, 2024, the net cash generated from financing activities was 32.52 Lakhs. This was mainly on account of proceeds from Long Term Borrowings of 119.72 Lakhs, repayment of Long-Term Borrowings of (136.14) Lakhs, Increase in Short-Term Borrowings of 42.31 Lakhs and Finance Cost of (11.43) Lakhs.

For the financial year ended March 31, 2023

For the financial year ended March 31, 2023, the net cash used in financing activities was (25.25) Lakhs. This was mainly on account of proceeds from Long Term Borrowings of 24.80 Lakhs, repayment of Long-Term Borrowings of (49.81) Lakhs, Increase in Short-Term Borrowings of 10.93 Lakhs and Finance Cost of (11.16) Lakhs.