Thinkink Picturez Ltd Management Discussions.

INDIAN ECONOMY

India remains one of the fastest growing economies in the world and has been relatively less affected by the global turmoil given a strong domestic market. However, no country will remain completely immune to external factors in the global economy which has strong interlinks in modern times given globalisation. India will not be an exception and the Indian economy is in a period of unprecedented ambition and opportunity but bridled with challenges in its development.

The economic growth in India is projected to be between 7.2% and 7.5% for the fiscal year 201920. with progress being buttressed by dynamic reforms in the macroeconomic, fiscal, tax and business environments. The Government of India has taken various initiatives to strengthen the economic base and make it one of the strongest economies in the world. A sustained rise in consumption and a gradual revival in investments, especially with a greater focus on infrastructural developments from the Government could possibly be the contributing factors in providing further impetus to Indian economic growth. By 2030, India is expected to be the third largest economy in the world and aspires to become a high-middle level income country. India is projected to be the fifth largest by 2020 and Indias gross domestic product (GDP) is expected to reach US$ 6 trillion by FY27 with sharp movements in the Direct Tax, GST, Foreign Direct Investment (FDI), ease of doing business and regulated monetary policy.

As long-term GDP growth has become more stable, diversified, and resilient, there will be a greater focus on consumption and sectors that are dependent on discretionary spending. Private final consumption is estimated to grow as the economy is now set to be driven by rural demand due to rising income levels, changing lifestyle, habits, taste, increasing literacy level and increasing expectations of rural consumers. The consumption habits of the rural consumer are also gradually mirroring those of their urban counterparts. As incomes rise, the shape of the countrys income pyramid is also changing dramatically, and as large portion of the population is moving from desperate poverty to sustainable life their needs and spending patterns will also change.

MEDIA AND ENTERTAINMENT INDUSTRY

The Global Media and Entertainment market expected to grow to around $2.35 trillion by 2022 as against $2 trillion in 2018. The sector is witnessing a resurgence as convergence is taking place within the media segment itself, as providers and distributors link up with one another in unprecedented and unexpected ways. The distinctions among varieties of media are collapsing and Companies that once offered only technology and distribution are moving into content and vice versa.

The Media & Entertainment industry is in the business of providing creative content through the adoption of latest technology coupled with consumer demands. By its inherent nature, the industry is largely dependent on factors such as markets, cultures, languages, and consumer segments. Technological advancements and change in individuals outlook towards life have greatly affected content production, demand and consumption as it has evolved over the years.

INDIAN MEDIA AND ENTERTAINMENT SECTOR OVERVIEW

According to IBEF reports, Indian media and entertainment (M&E) industry grew at a CAGR of 10.90 % from the previous year; and is expected to grow at a CAGR of 13.10% to touch Rs.2,660.20 billion (US$ 39.68 billion) by FY23 from Rs.1,436.00 billion (US$ 22.28 billion) in FY18. Indias media consumption was higher than the US and China with the growth rate of CAGR of 9% during 2012-18, and Indias advertising revenue is projected to reach Rs 1,232.70 billion (US$ 18.39 billion) in FY23 from Rs 608.30 billion (US$ 9.44 billion) in FY18.

Similarly, EYs estimate that the sector grew 13% to reach INR1.67 trillion and is expected to grow to INR2.35 trillion by 2021 (US$33.6 billion). Indian M&E is going to witness a strong growth as technological disruptions are creating new opportunities for the sector. The rise of a billion screens in India provides a great opportunity for growth. With the help of technological advancements, the emergence of many platforms, marketing strategies and distribution, Indian M&E will reach the masses.

RISKS AND CONCERNS

> TV Broadcasters inability to continue to invest in new original programming

> Ability to attract and retain subscribers on the digital business are not successful

> Changes in consumer viewing habits and build strong brand identity and improve subscriber satisfaction and loyalty while continuing to attract new subscribers

> If government regulations relating to the Internet or other areas of our business change, we may need to alter the manner in which we conduct our business.

> Competition continues to price and offer compelling services for digital OTT apps

> Retaining key talent

HUMAN RESOURCES

Talent management and nurturing of our employees is critical to our strategy to ensure the smooth functioning of our organisation. Since we consider our people as our biggest resource, there is an enthusiastic spirit and efficiency in the company.

Thanks to our comprehensive and dependable talent management framework, scouting and encouraging employees for long-term success is one of the most well-executed responsibilities at TISL.

We motivate the development of employees so they can take up more important roles in the company. The focus is to build a pool of talent, which will be ready to take on any challenge in the coming future. Hence, they will ensure the bright future of the organization and maintain productivity and sustainable growth, which is synonymous with TISL.

The company sees to it that both moral and financial support is given to the employees, so as to assure them of a bright future in the industry.

INTERNAL CONTROL SYSTEMS AND ADEQUACY

Companys internal control systems is proportionate with the nature of the business and the size and complexity of its operations. We make sure to keep these internal controls routinely tested and certified by Statutory as well as Internal Auditors and cover key business areas. Our Audit committee will be reported with audit observations and follow up actions, so that they can review the adequacy and effectiveness of the companys internal control processes.

PERFORMANCE OF THE COMPANY

The Company has reported profits during the year under review. The operational performance of the Company is on the growth path. The Financial & operational details are mentioned in the financial statement.

KEY HIGHLIGHTS

During the year the Company has significantly enhanced its engagement with audiences across formats via its entertainment content and services. Your Company continued its journey to grow into a premier destination for exciting content across all its business verticals. It is our aspiration to be a leader in every business segment that we operate in and be acknowledged as one of the best mass entertainment providers in the country.

1. The Company had a tie-up with "Jio" for web series.

2. The companys production in collaboration with Balaji Motion Pictures, "Dream Girl" will be releasing soon. Also this movie is the Directorial Debut of our Managing Director, Mr. Rajesh Sharma, We are proud to be part of it. Our companys Logos are there in all promotional materials.

3. We are also in the process of collaboration with Big Studio for more films.

4. We are also approaching big channel like ZEE, SONY for Television series.

FUTURE PROSPECTS

Our Company is currently engaged in the following projects:

> "Dream Girl" which is being produced by Balaji Telefilms Limited is directed by our Managing Director i.e. Mr. Rajesh Sharma a.k.a. Mr. Raaj Shandilyaa.

> "Jabariya Jodi" which is also being produced by Balaji Telefilms Limited, for which our Managing Director has written the dialogues and completed the same in 30 days.

CAUTIONARY STA TEMENT

Statements in the Management Discussion and Analysis and the annual report describing the Companys objectives, projections, estimates, expectations may be "forward-looking statements" within the meaning of applicable securities laws and regulations in India and other countries. Actual results could defer materially from those expressed or implied. Important factors that could make a difference to the Companys operations include economic conditions affecting the domestic market, in which the Company operates, changes in the Government regulations, tax laws and other statutes and other incidental factors and unforeseen circumstances.