Titan Securities Ltd Management Discussions

The Management Discussion and Analysis Report has been prepared in accordance with the requirements of Regulation 34(2)(e) read with Schedule V (Part B) of the SEBI (Listing Obligations and Disclosure Requirements) Regulation, 2015, as amended from time to time.

1. OVERVIEW OF THE ECONOMY

Global Economy FY 2025 26

The global economy demonstrated resilience during FY 2025 26 amid a challenging environment characterised by geopolitical uncertainties, evolving trade dynamics, restrictive monetary conditions, and uneven recovery across regions. While inflationary pressures moderated across several economies, economic growth remained below long-term averages, reflecting subdued investment activity, high public debt levels, and continued uncertainty in global markets.

According to the International Monetary Fund (IMF), World Economic Outlook (April 2026), global growth remained steady at around 3.3% in 2025, supported by easing inflation,gradual improve -ment in financial conditions,and resilience in domestic demand across several economies. However, the pace of recovery remained uneven, with advanced economies experiencing moderate growth while emerging market and developing economies continued to contribute significantly to global expansion.

The United States economy maintained relative resilience, supported by strong labour market conditions and consumer spending, although growth moderated due to tighter financial conditions and policy uncertainties. European economies continued to face challenges from weak industrial activity, subdued external demand, and elevated energy-related concerns. Chinas economic recovery remained measured, impacted by structural issues in the property sector, demographic pressures, and softer external demand.

Inflation continued its gradual moderation during and the impact of restrictive monetary policies adopted by major central banks. Several central banks began reassessing their monetary policy stance as inflation moved closer to target levels, although policy decisions remained dependent on evolving economic indicators.

Global financial markets remained stable but continued to face risks arising from geopolitical-flicts, trade fragmentation, elevated sovereign debt levels, and fluctuations in commodity and currency markets. The banking and financial system remained resilient, supported by strong capital positions, effective regulatory frameworks, and Emerging markets and developing economies continued to demonstrate resilience, supported by domestic demand, infrastructure investments, digital transformation, and structural -ever, these economies remained exposed to external risks, including global interest rate movements, capital flow volatility, and geopolitical developments.

Looking ahead, the global economic outlook remains cautiously positive, supported by easing in-flation,improving financial conditions, and gradual recovery in investment activity. However, risks from geopolitical tensions, protectionist trade measures, climate-related challenges, and financial market volatility may continue to influence the pace of Source:

International Monetary Fund World Economic Outlook, April 2026

World Bank Global Economic Prospects, 2026

Indian Economy FY 2025 26

The Indian economy continued to demonstrate resilience during FY 2025 26, maintaining its position as one of the fastest-growing major economies despite an uncertain global environment characterised by geopolitical tensions, trade According to the Economic Survey 2025 26, Indias real Gross Domestic to have grown by 7.4% during FY 2025 26, compared with 6.5% in the previous year. The growth was primarily driven by robust domestic demand, supported by healthy household consumption, sustained public capital expenditure, resilient services activity, and improving private investment. Private Final Consumption Expenditure increased to 61.5% of GDP, the highest level since 2011

12, reflecting improving Inflationary pressures moderated significantly during the year. Headline Consumer Price Index (CPI) inflation averaged 1.7% during April December 2025, aided by favourable agricultural output, easing food prices, and effective supply-side interventions. The benign inflation environment improved real incomes and supported domestic consumption.

The external sector remained resilient, with the current account deficit (CAD) contained at 0.8% of GDP during the first half of FY 2025 26. Strong services exports, steady remittance inflows, and foreign direct investment of approximately USD 81 billion continued to support Indias external position despite global trade uncertainties.

The Government continued its focus on fiscal consolidation while sustaining capital expenditure on infrastructure and development. Strong macroeconomic fundamentals, a stable financial system, healthy banking sector performance, and ongoing structural reforms further reinforced Indias growth trajectory during the year.

Looking ahead, the Economic Survey 2025 26 projects Indias real GDP growth for FY 2026 27 in the range of 6.8% to 7.2%, supported by resilient domestic demand, improving private investment, continued infrastructure development, and favourable macroeconomic fundamentals. While global geopolitical developments and trade-related strong economic fundamentals are expected to sustain its long-term growth momentum.

2. INDUSTRY STRUCTURE AND DEVELOPMENT

The Non-Banking Financial Company (NBFC) sector continues toplay finan pivotalrole Indias -cial system by complementing the banking sector and facilitating access to credit across diverse segments of the economy. NBFCs have significantly contributed to financial inclusion by catering to customers and businesses through specialized financial products and services, thereby supporting economic growth and capital formation.

While larger NBFCs cater to retail and MSME segments, smaller or captive NBFCs have focused operations and are not engaged in public deposit The NBFC sector has evolved into a well-regulated and resilient component of Indias financial -tem. The Reserve Bank of Indias Scale-Based Regulatory (SBR) Framework, coupled with continued governance, risk management, digital resilience, and customer protection, regulatory has strengthened the sectors stability and aligned the regulatory framework with the size and risk profile of NBFCs. These reforms continue to enhance transparency, operational resilience, and investor confidence across the industry.

Key highlights of the NBFC sector as reported in the RBI Financial Stability Report, June 2026 include:

NBFC credit continued to expand, supported by sustained demand across retail and priority sectors.

The sector maintained strong capital adequacy well above the regulatory minimum, providing sufficient buffers to absorb potential stress.

Asset quality remained stable with continued improvement in stressed assets, reflecting pru-effectivriskmanagement dentunderwritingstandardsand

Profitability remained healthy, supported by improved operational efficiency and stable earnings.

Stress tests conducted by the Reserve Bank indicate that the NBFC sector remains resilient under both baseline and adverse macroeconomic scenarios, although capital -erate under severe stress conditions.

The regulatory environment continued to evolve with the implementation of the Scale-Based Regulatory (SBR) Framework, which aims to strengthen governance, enhance risk management improve transparency, and align regulatory requirements with the size and risk profile Company continues to be classified under the Base Layer of the SBR Framework and remains fully compliant with all applicable regulatory requirements.

3. COMPANY OVERVIEW

Titan Securities Limited is aNon-Deposit Taking, Non-Systemically Important Non-Banking Finan-cial Company (NBFC-NSI-ND), registered with the Reserve Bank of India (RBI). Pursuant to the RBI

Master Direction Scale Based Regulation (SBR), 2023, the Company is categorized under the Base Layer.

The Company does not accept public deposits and operates with a prudent investment philosophy, focused on making profitable and secure investment decisions. Since its listing on the BSE Ltd. on May 09, 1995, Titan Securities Limited has accumulated deep experience in thecapital markets and financial services industry, enabling it to navigatethedynamicfinancial .effectively environment

4. SEGMENT-WISE OR PRODUCT-WISE PERFORMANCE

The Company is primarily engaged in a single reportable segment Non-Banking Financial Company (NBFC) activities. All operations of the Company revolve around investment services falling within this business segment.

Accordingly, no separate segment reporting is required, and the financial performance is reflected as a whole under this single business activity.

5. FINANCIAL PERFORMANCE WITH RESPECT TO OPERATIONAL PERFORMANCE

During the financial year ended March 31, 2026, the Company remained focused on maintaining operational efficiency and financial discipline in a dynamic business environment.

Profit The After Tax (PAT) for the year stood at 83.55 lakhs, as compared to 113.25 lakhs in the previous financial year, reflecting the Companys continued emphasis on sustaining through prudent financial management.

The operational income for the year amounted to 596.32 lakhs, as against 1,042.23 lakhs in the previous financial year. The Companys operational prudent investment strategies, efficient allocation of resources, and disciplined financial -ment.

The Company remains committed to strengthening its operational capabilities, optimizing resource utilization, and pursuing sustainable long-term growth while maintaining a prudent and resilient financial approach.

6. OUTLOOK FOR FY 2026-27

The outlook for FY 2026-27 remains positive, supported by the Companys strong financial -tion, prudent investment approach, and continued The management believes that the experience gained and insights developed over the years have enhanced the Companys ability to effectively respond to evolving financial, regulatory, and market conditions. With a strong capital base, disciplined operational practices, and a sound understanding of capital market dynamics, the Company is well-positioned to identify emerging opportunities, adapt to changing market scenarios, and pursue sustainable growth.

Titan Securities Limited remains committed to creatinglong-term value for shareholders, maintaining the highest standards of regulatory compliance, and strengthening its position in an increasingly competitive and evolving financial services landscape.

7. RISK MANAGEMENT

The Company recognizes that effective risk management is fundamental to achieving its strategic objectives and sustaining long-term growth. Risk is an integral part of business operations; however, with a structured framework and robust internal controls, risks can be identified, assessed, monitored, and managed in a timely and efficient manner.

Titan Securities Limited has implemented a comprehensive Risk Management Framework that enables the identification, evaluation, mitigation, and continuous monitoring of key business risks. The framework is designed to support informed decision-making, safeguard the Companys assets, ensure regulatory compliance, and enhance operational resilience. The Board of Directors oversees the Companys risk management practices and periodically reviews the effectiveness of the framework The Companys risk management process focuses on the following key areas:

Identification and assessment of strategic, financial, operational, regulatory, and market risks.

Periodic review of the Companys risk profile and implementation of appropriate mitigation measures.

Maintenance of an effective internal control system to safeguard assets and ensure the integrity of financial reporting.

Continuous monitoring of regulatory developments and compliance requirements.

Regular reporting and oversight by the Board and senior management to ensure effective governance and timely risk The Company remains committed to strengthening its risk management practices through continuous evaluation of its business environment, regulatory developments, and emerging risks. By fostering a proactive risk-aware culture and maintaining sound governance standards, the Company seeks to protect stakeholder interests while supporting sustainable business growth and long-term value creation.

8. INTERNAL CONTROL SYSTEM AND THEIR ADEQUACY

The Company has established and maintains an adequate and effective system of internal controls commensurate with the nature, size, and complexity of its business operations. The internal control framework is designed to provide reasonable assurance regarding the efficiency and effectiveness of operations, reliability of financial reporting, safeguarding of assets, and compliance with applicable laws, regulations, and internal policies.

The Companys internal control systems are aimed at ensuring:

Efficient and orderly conduct of business operations.

Compliance with established policies, procedures, and statutory requirements.

Safeguarding of the Companys assets against unauthorized use, loss, or disposition.

Prevention and timely detection of frauds, errors, and irregularities.

Accuracy, completeness, and reliability of accounting records and financial information. all business transactions Appropriateauthorization, . The internal control framework is supported by well-defined policies, standard operating procedures, delegation of authority, and an effective system of checks and balances. Management continuously reviews the effectiveness of these controls and undertakes necessary measures to strengthen the control environment in response to evolving business and regulatory requirements.

The Company has an independent internal audit mechanism to evaluate the adequacy and effectiveness of its internal controls, risk management processes, and governance practices. During the financial year 2025 26, the internal audit was carried out by PGM & Associates, Chartered Accountants. The internal audit reports, along with the observations and recommendations of the auditors, were periodically reviewed by the Audit Committee of the Board. Appropriate corrective and preventive actionswere implemented by the management to address the observations and further strengthen the Companys internal control framework.

Based on the reviews undertaken during the year, the Board is of the opinion that the Companys internal control systems are adequate and operating effectively. The Company remains committed to continuously enhancing its internal control environment and governance practices to support sustainable growth, operational excellence, and long-term value creation for all stakeholders.

9. HUMAN RESOURCES AND EMPLOYEE RELATIONS

The Company recognizes that its employees are its most valuable asset and continues to foster a work environment that promotes professionalism, integrity, collaboration, and continuous learning. Titan Securities Limited remains committed to attracting, developing, and retaining talent by provid- a performance ingopportunities -oriented culture.

The Company is committed to maintaining an inclusive, equitable, and respectful workplace that provides equal opportunities to all employees irrespective of gender, age, religion, nationality, or other protected characteristics. It believes that a diverse and motivated workforce contributes sig-xcellence.nificantlytosustainablebusinesssuccessandorganizational The Company continues to emphasize employee development through continuous learning, clearly ethical conduct. Efforts definedresponsibilities, are also directed towards ensuring employee well-being and maintaining a positive work environment that supports productivity and engagement.

As on March 31, 2026, the Company had 4 (four) employees on its rolls.

Employee relations remained cordial and harmonious throughout the financial year 2025 26. The Company places significant value on the dedication, commitment, and contributions of its employees and acknowledges their continued support in achieving the Companys business objectives and creating long-term value for its stakeholders.

10. KEY RATIO ANALYSIS

The key financial ratios for the financial year ended March 31, 2026, along with the comparison for the previous year, are as follows:

	Standalone			Consolidated
Particulars	FY 2025 26	FY 2024 25	Variance	FY 2025 26	FY 2024 25	Variance
Current Ratio	121.68	196.05	-37.93%	121.68	196.05	-37.93%
Debt-Equity Ratio (in times)	-	-	-	-	-	-
Debt Turnover Ratio (in times)	-	-	-	-	-	-
Inventory Turnover Ratio (in times)	0.33	0.64	-48.44%	0.33	0.64	-48.44%
Interest Coverage Ratio (in times)	-	-	-	-	-	-
Return on Net Worth (%)	2.52%	2.81%	-0.29%	11.72%	10.28%	1.44%
Net Profit Margin (%)	14.01%	10.89%	3.12%	14.01%	10.89%	3.12%
Operating Profit Margin (%)	19.04%	14.10%	4.94%	19.04%	14.10%	4.94%
Capital to Risk-Weighted
Assets Ratio (CRAR) (%)	82.16%	72.58%	13.20%	88.18%	82.85%	6.44%
Tier I CRAR (%)	82.16%	72.58%	13.20%	88.18%	82.85%	6.44%

11. RATIOS WHERE THERE HAS BEEN SIGNIFICANT CHANGE (i.e. CHANGE OF 25% OR MORE AS COMPARED TO THE IMMEDIATELY PREVIOUS FINANCIAL YEAR) FROM FY 2024-25 TO FY 2025-26: a) Current Ratio:

On both a standalone and consolidated basis, the Current Ratio stood at 121.68 as on March 31, 2026, as compared to 196.05 as on March 31, 2025, representing a decrease of more than 25%. The decline is primarily attributable to a current assets during the year. b) Inventory Turnover Ratio:

On both a standalone and consolidated basis, the Inventory Turnover Ratio for the year ended March 31, 2026 was 0.33, as against 0.64 for the year ended March 31, 2025, representing a decrease of more than 25%. The reduction in the ratio is mainly due to lower sale of during the year as compared to the previous financial year, resulting in lower inventory turnover.

12. CAUTIONARY STATEMENT

This report contains forward-looking statements based on certain assumptions and expectations of future events. Actual results may differ materially due to changes in regulations, market conditions, or economic developments.

		For M/s. Titan Securities Limited
	Manju Singla	Naresh Kumar Singla
	(Managing Director)	(Director)
	DIN: 00027790	DIN: 00027448
Date: 03/09/2026
Place: Delhi