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According to World Economic Outlook Update, July 2023 - Global growth is projected to fall from an estimated 3.5 percent in 2022 to 3.0 percent in both 2023 and 2024. The rise in central bank policy rates to fight inflation continues to weigh on economic activity.

Global growth is slowing sharply in the face of elevated inflation, higher interest rates, reduced investment, and disruptions caused by Russias invasion of Ukraine, according to the World Banks latest Global Economic Prospects report. The global economy is projected to grow by 1.7% in 2023 and 2.7% in 2024. The sharp downturn in growth is expected to be widespread, with forecasts in 2023 revised down for 95% of advanced economies and nearly 70% of emerging market and developing economies.

The financial statements have been prepared in compliance with the requirements of the Companies Act 2013, and Indian Accounting Standards (IND AS). The Management of TechNVision accepts responsibility for the integrity and objectivity of these financial statements, as well as for various estimates and judgments used therein.

The estimates and judgments relating to the financial statements have been made on a prudent and reasonable basis, in order that the financial statements reelect in a true and fair manner the form and substance of transactions, and reasonably present the Companys state of affairs and profits for the year. The following discussion may include forward looking statements which may involve risks and uncertainties, including but not limited to the risks inherent to Companys growth strategy, dependency on certain clients, dependency on availability of qualified technical personnel and other factors discussed in this report.

1. Industry Structure, Developments and Outlook

We began by realigning our sales, services and engineering organizations in order to simplify our operating model, driven faster innovation and focus on the following three foundational priorities:

Cloud Transition Big Data & Governance

Enterprise Receivables Management – Digital Transformation

We believe that focusing on these priorities will best position us to grow. For 2023, IDC forecasts cloud infrastructure spending to grow 7.3% compared to 2022 to $96.4 billion a slight improvement from the prior outlook for the year of 6.9%. Non-cloud infrastructure is expected to decline 6.3% to $60.4 billion.

2. Economy Overview:

Global growth is projected to fall from an estimated 3.5 percent in 2022 to 3.0 percent in both 2023 and 2024.

The rise in central bank policy rates to fight inflation continues to weigh on economic activity. Global headline inflation is expected to fall from 8.7 percent in 2022 to 6.8 percent in 2023 and 5.2 percent in 2024. Underlying (core) inflation is projected to decline more gradually, and forecasts for inflation in 2024 have been revised upward as per IMF.

According to World Bank, Over the next two years, per-capita income growth in emerging market and developing economies is projected to average 2.8% a full percentage point lower than the 2010-2019 average.

In the United States, growth is forecast to fall to 0.5% in 2023 1.9 percentage points below previous forecasts and the weakest performance outside of official recessions since 1970. In 2023, euro-area growth is expected at zero percent a downward revision of 1.9 percentage points. In China, growth is projected at 4.3% in 2023 0.9 percentage point below previous forecasts.

Excluding China, growth in emerging market and developing economies is expected to decelerate from 3.8% in 2022 to 2.7% in 2023, reflecting significantly weaker external demand compounded by high inflation, currency depreciation, tighter financing conditions, and other domestic headwinds.

By the end of 2024, GDP levels in emerging and developing economies will be roughly 6% below levels expected before the pandemic.

IT Industry Outlook:

According to Gartner, Inc.s latest projection, global IT expenditure is set to reach a cumulative sum of $4.6 trillion in 2023. This represents a notable uptick of 5.1% compared to the preceding year, as revealed in their forecast. Anticipations for robust demand within the realm of IT for the upcoming year stem from enterprises resolute pursuit of digital business ventures, a response borne out of the economic uncertainties prevalent.

Deloitte, in its technology outlook, has highlighted the gathering of economic challenges looming over the business landscape at large, and particularly within the technology sector. However, amidst these challenges, a host of regulatory incentives exist that hold the potential to drive innovation and expansion not only for the year 2023 but also in the years ahead. To not only endure but thrive in this complex landscape, technology firms are advised to recommit their endeavors toward refining supply operations, modernizing infrastructure, and capitalizing on avenues for growth.

We hold the belief that our robust brand presence, well-established quality processes, and access to a pool of skilled talent position us uniquely to leverage the trend toward cost-effective technological solutions.

Our competitive advantages encompass the following:

Commitment to superior quality and process execution

Strong brand and long standing client relationships

Ability to scale Innovation and leadership

The increased confidence exhibited by business leaders in their companies performance and the enhanced optimism of consumers have propelled technology spending. Investment in technology remains a focal point for companies worldwide. Our interactions with global business leaders underscore the pivotal role of technology in making the most significant impact on their enterprises.

A growing acknowledgment that digital technologies will reshape business models, processes, introduce new products and services, facilitate access to untapped markets, broaden customer bases, and unearth entirely new opportunities is a prevalent theme cutting across diverse industries and markets.

Cloud Transition

Gartner, Inc. forecasts that in 2023, worldwide public cloud spending will grow 20.7% to total $591.8 billion, up from $490.3 billion in 2022. Moving to the cloud is no longer optional, as its benefits and new capabilities prove vital for moving forward, especially in an uncertain economy.

According Mordor Intelligence Analysis the Cloud Migration market is valued at 181.29 billion in the current year. It is expected to register a CAGR of 28.24% during the forecast period to become 628.83 Billion by the next five years. Over the past decade, cloud computing adoption has risen owing to increasing investments from small and medium enterprises. Globally, many organizations have already switched to cloud platforms to take advantage of its benefits. In recent years, cloud adoption stands to be a significant consideration for IT cost reduction strategies.

The transition to cloud technology presents substantial prospects for enhanced efficiency, convenience, and opportunities. The continuous widespread embrace of cloud computing has served as a pivotal catalyst for numerous profoundly transformative technological shifts. These encompass artificial intelligence (AI) and the internet of things (IoT).

Data Governance Market

The data governance market industry is projected to grow from USD 2..88 Billion in 2023 to USD 6.81 billion by 2030, exhibiting a compound annual growth rate (CAGR) of 15.4% during the forecast period (2022 - 2030). The rising volume of data generated is a significant market drivers in the growth of the data governance

"Data governance refers to a set of policies, processes, standards, and metrics that enable organizations to use information effectively and efficiently for achieving their goals. It provides reliable data, reduces administrative costs, improves customer service, and enhances regulatory, legal, and industry compliance. It can be integrated with a data catalog to help organizations find, curate, analyze, prepare, and share data while supporting their artificial intelligence (AI) initiatives. As a result, enterprises across the globe are relying on data governance to simplify day-to-day operations, make strategic business decisions, minimize manufacturing costs, and understand customer buying behavior patterns."

"As organizations are currently digitally transforming their businesses, they accumulate more data sources and assets. This represents one of the key factors encouraging the adoption of data governance practices to manage data sources and make them available throughout an organization.

Moreover, an increasingly complex regulatory environment is driving the need for establishing robust data governance practices to avoid risks associated with non-compliance while proactively anticipating new regulations. Apart from this, data governance in the banking, financial services, and insurance (BFSI) sector helps improve performance, alleviate internal issues concerning data, and prevent potential data breaches. This, in confluence with the rising use of online banking services, is contributing to the market growth. Besides this, data governance is employed in the healthcare industry to reduce the per capita cost of healthcare and manage medical information like treatment, payment, research, and outcomes improvement. Furthermore, due to the growing emphasis of hospitals and medical assistants on improving the safety and quality of patient care, there is a rise in the demand for data governance worldwide."

Digital Financial Transformations

As per FMI, the digital transformation market is expected to reach US$ 10401.77 billion by 2033. In the first half of 2022, the global market recorded a CAGR of 25.8%, with a market share of US$ 824.91 billion. The market value attributed to the digital transformation sector is forecasted to escalate from US$ 930.73 billion in 2023 to surpass US$ 10,401.77 billion by 2033. This market is poised to demonstrate a compounded annual growth rate (CAGR) of 27.3% spanning the period between 2023 and 2033.

This remarkable growth trajectory is underpinned by the swift adoption of cutting-edge technologies like artificial intelligence, the Internet of Things, cloud computing, and various others. Enterprises are transitioning away from conventional business models toward technologically sophisticated solutions aimed at bolstering the global economy.


Financial Threats:

1. Financial Currency rate fluctuation:Our exchange rate threat primarily arises from our foreign currency revenues and receivables. The Company derives its revenue from foreign countries around the world. While a large portion of our expenses are in Indian Rupees, at the same time, the operating profit is subject to rate fluctuations. The exchange rate between the Indian Rupee and the US Dollar has been changing substantially and the Company faces the risks associated with rate fluctuations translation effect.

2. Credit Risks: The business of the Company involves extending credit to international customers. This has the inherent risk of delayed payments and defaults. The Companys credit policy addresses this risk.

3. Liquidity: The major cost components of any export oriented software industry are personnel, travelling and marketing costs. Apart from this, capital expenditure to upgrade technology is another regular feature of the cash flow.

Human Resource Management

The human resource philosophy and strategy of your Company has been designed to attract and retain the best talent, creating workplace environment that keeps employees engaged, motivated and encourages innovation. This talent has, through strong alignment with your Companys vision, successfully built and sustained your Companys standing as one of Indias most admired and valuable corporations despite unrelenting competitive pressures. Your Company has fostered a culture that rewards continuous learning, collaboration and development, making it future ready with respect to the challenges posed by ever-changing market realities as also technologies. Employees are your Companys most valuable assets and your Companys processes are designed to empower employees and support creative approaches in order to create enduring value. Your Companys unflagging commitment to investing in talent development ensures performance and achievement of the highest order.

Internal Control System

Internal controls and checks are indispensable to achieve higher productivity and hence increase profitability. Major focus is imparted to achieve operational efficiency in the Company through adherence to defined procedures and policies, to achieve targets.

The internal controls cover operations, financial reporting, compliance with applicable laws and regulations, safeguarding assets from unauthorized use and ensure compliance of corporate policies.

The Company has appointed internal auditors to check on the validity and correctness of internal reporting, which would in turn validate financial reporting. TechNVision has always been on a look out for implementing best practices of Corporate Governance. The Internal Control systems at TechNVision consist of a set of Rules, procedures & organizational structures which aim to:

ensure implementation of corporate strategy,

ensure reliability and integrity of accounting and management data, ensure process compliance, efficient achieve effective and corporate processes, safeguard value of corporate assets,

Statutory Compliance

The Company has a Compliance Officer to advise the Company on compliance issues with respect to the laws of various jurisdictions in which the Company has its business activities and to ensure that the Company is not in violation of the laws of any jurisdiction where the Company has operations. The Compliance Officer, who is also the Company Secretary, reports from time to time on the compliance or otherwise of the laws of various jurisdictions to the Board of Directors.

Generally, the Company takes appropriate business decisions after ascertaining from the Compliance Officer and, if necessary, from independent legal counsels, that the business operation of the Company is not in contravention of any law in the jurisdiction in which it is undertaken. Legal compliance issues are an important factor in assessing all new business proposals.

Risks and Concerns

The risk management process is continuously improved and adapted to the changing global risk scenario. The agility of the risk management process is monitored and reviewed for Appropriateness with the changing risk landscape. The process of continuous evaluation of risks includes taking stock of the risk landscape on an event-driven as well as periodical basis. The risk categories covered under the risk management program includes strategic, operational and financial as well as compliance-related risks across various levels of the organization.

This includes risk assessment and mitigation at the Company level, business / functional unit level, relationship level and project level. Some of the key strategic risks the Company faces, their impact and corresponding risk mitigation actions undertaken by the Company are discussed in the table:

We are subject to Government and regulatory activity

That affects how we design and market our products. Regulatory actions may at times hinder our ability to provide the benefits of our software to consumers and businesses, thereby reducing the attractiveness of our products and the revenues that come from them. The outcome of such actions, or steps taken to avoid them, could adversely affect us in a variety of ways, including:

We may have to choose between withdrawing products from certain geographies to avoid fines or designing and developing alternative versions of those products to comply with government rulings, which may entail a delay in a product release and removing functionality that customers want or on which developers rely.

The rulings described above may be cited as a precedent in other competition law proceedings.

We face intense competition

The entry of large players will result in fierce competition and raising the bar for eligibility. This will impact the business of the Company.

In response to competition, we rely on the following to compete effectively:

a successful service delivery model;

a well-developed recruiting, training and retention model; a broad referral base;

continuing investments in process improvement and knowledge capture;

Our business depends on our ability to attract and retain talented employees.

Our business is based on successfully attracting and retaining talented employees. The market for highly skilled workers and leaders in our industry is extremely competitive. Post-recession, the attrition rate in the IT industry has risen again and is one of the major challenges being faced by the industry. As the industry is on the path of recovery from the economic downturn, lateral hiring has reached its peak which in turn has resulted in widespread attrition.

If we are less successful in our recruiting efforts, or if we are unable to retain key employees, our ability to develop and deliver successful products and services may be adversely affected. Effective succession planning is also important to our long-term success. Failure to ensure effective transfer of knowledge and smooth transitions involving key employees could hinder our strategic planning and execution.

The Company is constantly exposed to the risk of exchange rate fluctuations.

With operations spanning world-wide and revenues earned in major currencies of the world, a majority of

Companys expenses are incurred in Indian Rupees. This exposes the Company to a constant risk of foreign fluctuation, exchange fluctuations adverse of exchange rate poses a threat to the profitability of the business. Fluctuations in foreign currency exchange rates can have a number of adverse effects on us. Changes in the value of the Indian Rupee against other major currencies will affect our revenues and thereby our profit margins as well.

Service Model Redundancy

Newer models which change the manner of consumption of IT services could result in demand compression / pricing pressure on the existing model.

The Company is continually scanning the market environment and communicating with clients to identify emerging market trends at a nascent stage and come out with innovative service delivery model.

Reputational Threat

Reputation is built continuously in a timely and quality delivery with integrity. Any damage to this reputation and image of TechNVision could lead to decrease in market share.

The Company is focusing on quality and processes, and has developed efficient service models to mitigate this risk. Strict adherence to Companys Quality Management System, Code of Conduct and Corporate Governance framework have helped Company evolve as one of the best Company in the market.

Regulatory non-compliance

Many laws apply to TechNVision and its Group of Companies. Any failure to comply with any of the relevant regulations could result in financial penalties and reputational damage.

The company is assuming consultation of local managers as well as Auditors, Company Secretary, consultants, lawyers, specialists and experts for effective and efficient regulatory compliance. TechNVision is also implementing a security policy that complies with information security and data privacy laws, backed by rigorous processes and a robust infrastructure, which assures physical and virtual security.

Analysis of our Financial Statements

Accounting Policy

The Companys financial statements are abided by the general accepted accounting principles and the Accounting Standards as per Section 133 of the Companies Act, 2013.

The financial statements were prepared under the historical cost convention basis and disclosures were made in accordance with the revised Schedule III to the Companies Act, 2013 and the Indian Accounting Standards.

The Company has followed the mercantile system and recognized income and expenditure on an accrual basis.

The Company has made all relevant provisions as were applicable as on 31st March, 2023.

Over the years, TechNVision has built itself into an organization that not only partners with its customers, but also provides value addition, through a repertoire of innovative solutions and superior quality of services. Today, TechNVision has risen to eminence, as a leading company in the IT / ITES space in the globe.

Financial Performance

TechNVision is a public Company listed on "The Bombay Stock Exchange Limited (BSE)". The financial statements of TechNVision are prepared in compliance with the Companies Act, 2013 (to the extent notified) and generally accepted accounting principles in India (Indian GAAP). TechNVision has two subsidiary companies along with their subsidiary companies (including step down subsidiary companies). TechNVision publishes audited standalone and consolidated financial results on annual basis as well as quarterly basis.

The Standalone Financial Results of TechNVision as per Ind AS are discussed hereunder:



2022-2023 2021-2022
Total Income 1,411.02 1,927.41
Operating Profit (PBIDT) 79.75 117.72
Profit Before Tax 34.23 62.20
Profit After Tax 20.89 5.71
Earnings Per Share ( ) 0.33 0.09

Segment Result



2022-2023 2021-2022


Overseas 1,398.25 1,917.66
Domestic 9.35 9.32


1,407.60 1,926.98


Profit / (Loss) before tax and interest from each Segment
Overseas 325.72 436.43
Domestic 0.79 0.79


326.52 437.22


(i) Interest 1.35 12.42
(ii) Other Un-allocable expenditure net off 288.93 363.04
(iii) Un-allocable income (2.03) 0.43


34.23 62.20

Revenue & Expenditure

The total revenues earned by the Company has decreased by 26.79% over last year, from 1,927.41 Lakhs to 1,411.02 Lakhs in FY 2022-23. The total Operating Costs have decreased by 26.19%, from last years 1,865.21 Lakhs to 1,376.79 Lakhs this year due to decrease in cost of sales and administrative expenses. Operating cost as a proportion of Total Income has marginally increased from 96.77% to 97.57%. With the decreased level of revenues, the EBITDA has decreased to 79.75 Lakhs in FY 2022-23 as against 117.72 Lakhs in the FY 2021-22. The Company has registered PBT of 34.23 Lakhs as compared to 62.20 Lakhs last year.

Balance Sheet Analysis

Capital employed

The capital employed is increased by 0.21 Crore from 15.17 Crores as of 31st March 2022 to 15.38 Crores as of 31st March 2023. We have ensured judicious use of every rupee invested in the business.

Equity capital

During the year 2022-23, the Company has not issued any equity shares or convertible warrants.

Reserves and surplus

Free reserves of TechNVision stood at 9.10 Crores as on 31st March 2023 which is higher than the free reserves of 8.89 Crores as on 31st March 2022. The increase reflects internal accruals to the tune of 0.21 Crore.

External debt

The company has outstanding external debt of 1.98 Crores as on 31st March, 2023.

Fixed assets

During the year, the company has invested 43.99 Lakhs in fixed assets.

1. Trade Receivables

Trade Receivables amounted to 3.17 Crores as at 31st March, 2023 compared to 1.34 Crores as at 31st March, 2022. These debts are considered good and realizable

2. Cash and Cash Equivalent

The bank balances include both rupees accounts and foreign currency accounts.

3. Current liabilities and provisions

The position of current liabilities is 3.56 Crore as on 31st March, 2023 as against the last year Amount of 3.97 Crore as at 31st March, 2022.

Revenue analysis

The Companys revenue (net sales) stood at 14.11 Crores in 2022-23 as against 19.27 Crores in last year.


There was a divergence between the EBIDTA and PAT margins for the year under review.

EBITDA margin stood at 5.65% in 2022-23 compared with 6.11% in last year.

PAT margin stood at 1.48% in 2022-23 compared with 0.30% in last year.


The Companys corporate tax burden is decreased from 56.49 Lakhs in last year to 13.34 Lakhs this year.

Our end-to-end solutions

We complement our industry expertise with specialized support for our clients. We also leverage the expertise of our various Center of Excellence and our software engineering group and technology lab to create customized solutions for our clients through our network of partners. In addition, we continually evaluate and train our professionals in new technologies and methodologies. Finally, we ensure the integrity of our service delivery by utilizing a scalable and secure infrastructure. Expanding partner network enabling us to reach out to newer geographies resulting in broader client base.

Forward Looking Statements

This report contains forward looking statements, which may be identified by their use of words like ‘plans, ‘expects, ‘will, ‘anticipates, ‘believes, ‘intends, ‘projects, ‘estimates or other words of similar meaning. All statements that address expectations or projections about the future, including but not limited to statements about the Companys strategy for growth, product development, market position, expenditures and financial results, are forward looking statements. Forward Looking statements are based on certain assumptions and expectation of future events. The Company cannot guarantee that these assumption and expectations are accurate or will be realized. The Companys actual results, performance or achievements could thus differ materially from those projected in any such forward looking statements. The Company assumes no responsibility to publicly amend, modify or revise any forward looking statements on the basis of any subsequent developments, information or events.


This is to confirm that the Company has adopted a Code of Conduct for its employees including the Managing Director and Executive Directors. In addition, the Company has adopted a Code of Conduct for its Non-Executive Directors and Independent Directors. These Codes are available on the Companys website.

I confirm that the Company has in respect of the year ended on 31st March, 2023, received from the Senior

Management Team of the Company and the Members of the Board a declaration of compliance with the Code of Conduct as applicable to them.

For the purpose of this declaration, Senior Management Team means the Chief Financial Officer, employees in the Executive Vice President cadre and the Company Secretary as on 31st March, 2023.

Place: Secunderabad Veena Gundavelli
Date: 4th September, 2023 Managing Director
DIN: 00197010