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Colab Cloud Platforms Ltd Management Discussions

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Oct 20, 2025|03:46:00 PM

Colab Cloud Platforms Ltd Share Price Management Discussions

Indian Technology Sector Overview

India is emerging as a global technology powerhouse, poised to become the worlds third-largest economy by FY 2030-31. This growth is underpinned by rapid digital adoption, a demographic dividend of over 370 million youth, and a digitally connected population exceeding 900 million. The countrys digital economy is expected to contribute nearly one-fifth of GDP by 2030, driven by advancements in AI, cloud, fintech, and automation. Strategic government initiatives such as the IndiaAI Mission, Production-Linked Incentive (PLI) schemes for electronics and semiconductors, and nationwide connectivity programs like BharatNet are further strengthening the technology ecosystem. Coupled with cost-efficient, high-quality talent and over 1,700 global capability centres serving international markets, India offers an unparalleled environment for innovation-led businesses. For Colab Platforms, this macroeconomic backdrop presents significant opportunities to scale operations, expand product offerings, and leverage emerging technologies to capture a larger share of the digital gaming markets, both domestically and globally.

Indian Sports Market Overview

Indias sports market is currently valued at around USD 52 billion, with core subsectors—such as sporting goods and apparel, broadcasting and promotions, fantasy sports and esports, sports technology, infrastructure, and facilitator services — contributing USD 31 billion, while allied sub-sectors account for USD 21 billion. The market is poised to grow to USD 130 billion by 2030, at a compound annual growth rate (CAGR) of 14% through 2030. This momentum is being driven by increased government spending, the widespread adoption of digital technologies, and a growing supply of high-quality sports content across multiple channels. These trends are further supported by shifting lifestyle preferences toward health and fitness, as well as rising disposable incomes.

Currently, the sports sector accounts for approximately 0.9% of Indias GDP, comparable to that of many top sporting countries. Indias sports industry is now larger than the more established sectors, such as telecom. Once considered a niche segment, sports are now emerging as a substantial contributor to the Indian economy. With an expected compound annual growth rate of approximately 14%, the industry is poised to outpace even established domains such as automotive and tourism.

Since the rise of leagues like the IPL around 15 years ago, the sports ecosystem has been steadily gaining momentum. Although still developing compared to global counterparts like the US and UK, Indias sports landscape holds immense potential across multiple verticals, signaling long-term opportunities for stakeholders and investors alike.

HOW INDIAS SPORTS LANDSCAPE IS EVOLVING

THE RISE OF EMERGING SPORTS IN INDIA: A MULTI-SPORT REVOLUTION

India is no longer a one-sport nation. While cricket remains central, kabaddi, football, badminton, combat sports, and esports are powering the next wave, driven by urbanization, digital reach, and brand interest.

In 2024, emerging sports generated ?2,559 crore -14% of Indias sports industry revenue - with 24% annual growth. Cricket, meanwhile, saw its market share dip and growth slow to 14%. Leagues like the Pro Kabaddi League (PKL) and Indian Super League (ISL) have carved out loyal followings and attracted major sponsors like Dream11, Tata, Hero MotoCorp, Puma, JSW, and Adidas. The Paris Olympics further boosted visibility, drawing big-ticket sponsors including Reliance and Adani Group.

Key Growth Drivers of Indias Evolving Sports Market

Colab Platforms: Tapping into Indias Evolving Sports Landscape

As Indias sports ecosystem experiences a structural shift from traditional formats to technology- driven, immersive experiences, Colab Platforms has strategically positioned itself at the intersection of youth engagement, digital transformation, and monetized gamification.

Indias sports landscape is no longer confined to physical stadiums or passive viewership. The rise of fantasy leagues, online sports streaming, esports, and predictive gaming has opened up new frontiers of participation and monetization. Colab leverages this momentum by building a digital-first, inclusive platform that democratizes sports access, fosters community-based competition, and creates value for players, viewers, brands, and emerging innovators alike.

Colab Platforms Limited is taking bold, future-ready steps to become a central player in the sports- tech ecosystem. The companys recent strategic moves underscore its commitment to innovation, integration, and impact across multiple verticals.

Recent Strategic Developments:

1. Entered Mainstream Cricket via Northern Challengers Acquisition:

Recognizing crickets continued cultural dominance, Colab acquired the Shikhar Dhawan-led Northern Challengers in the Big Cricket League. With BCL offering a unique blend of global appeal and grassroots focus, COLAB anticipates strong audience traction and revenue opportunities through enhanced sponsorships, merchandising, and fan-centric offerings by aligning with a marquee league like BCL, COLAB is poised to achieve:

• Opportunities for scalable fan engagement solutions, translating into robust revenue growth.

• Stronger brand presence in Indias most-watched sport.

• Scalable sponsorship, merchandising, and content IP opportunities.

2. Unveiled Sports and Fitness Marketplace www.colabsports.in:

With a young, fitness-aware population and over 750 million internet users, the company has launched its Sports and Fitness Marketplace to cater to the needs of the fast-growing sports community in India, while providing a powerful digital platform for manufacturers and dealers of Sports Equipment, products, and apparel.

With the rising focus on health, fitness, and professional sports, the demand for affordable, high- quality sports equipment is surging. www.colabsports.in is poised to become the go-to destination for athletes and sports enthusiasts, further solidifying its position in the rapidly growing sports industry.

3. Colab Platforms Launches Accelerator Program:

Colab Platforms has launched ?250 million Sports-Tech Growth Accelerator Program. This initiative aims to support early-stage startups, accelerate high-potential ventures, and create breakthrough technologies or organizations that will redefine how India plays, performs, and connects with sports.

4. Launch of Competitive E-sports Platform:

India, with over 594 million online gamers and one of the worlds youngest digital populations, is rapidly emerging as a global e-sports hub. With esports now part of the Asian Games and discussions underway for Olympic recognition, the industry is expected to contribute over ?1,100 crore to the Indian economy by 2025, backed by more than 1.5 million esports athletes. In response to this momentum, Colab Platforms Limited is launching a transparent, skill-based esports infrastructure that supports both casual and professional gamers. This platform aims to nurture the complete player journey — from discovery and training to competition and global representation-positioning Colab as a key force in shaping Indias next generation of digital athletes.

SWOT Analysis:

STRENGHTS

• Scaling across sports teams, Gaming Platforms, and E-commerce requires significant upfront investment.

• Still building visibility and trust among users compared to established sports tech or E- commerce platforms.

• Managing multiple verticals (Team, Marketplace, Gaming, accelerator) may stretch resources and dilute focus if not well co-ordinated.

OPPORTUNITIES

• Competing with established e-commerce platforms, predictive gaming platforms and sports league may limit growth speed.

• Balancing user engagement with monetization, especially in early stages of platform adoption can be complex.

• Heavy reliance on brand partnerships and sponsor funding could pose risks during economic slowdowns.

• Entry into mainstream cricket through the Northen Challenger and an upcoming Esports Platform positions Colab across traditional and emerging sports.

• Leverages Indias massive internet and OTT penetration to deliver sports engagement, commerce and gaming experiences online.

• Multi-platform model (Sports Team, Marketplace, Gaming, Accelerator) may stretch resources and dilute focus if not well coordinated.

WEAKNESS

• With sports beyond cricket contributing Rs. 2,559 crore and growing at 24% Annually, Colab is well positioned to capture new audiences.

• Indias 594 million online gamers and rising recognition of E-sports as a professional sport presents a vast untapped market.

• Growing Appetite for regional, creator driven sports content can be monetized via Colabs platforms.

• Government Programs and aspirational youth from smaller towns offer demand for affordable sports products and digital first participation.

THREATS

Financial Performance:

For the financial year 2024-25, the company reported consolidated Total Revenue of ^70.05 Crores, up from ?2.25 Crores in FY 2023-24 — a massive 3006.18% increase. Net profit stood at ?2.86 Crores from ?1.78 Crores last year, a growth of 60.4%. Earnings Per Share (EPS) stood at ?0.281, rising 160.57% from ?0.175 in the previous year.

These outstanding financial Performance reflect the successful execution of Colabs long-term strategy to enter and lead high-growth sectors such as sports-tech and digital commerce.

By seamlessly integrating sports technology, digital commerce, and immersive fan engagement, Colab Platforms has laid a strong foundation for sustained innovation and long-term shareholder value. The companys strong financial performance with sharp focus on tech-driven scalability, monetizable platforms, and high-growth verticals positions it to capture significant upside in Indias expanding sports ecosystem.

Key Ratios:

Particulars

FY2025 FY2024

Price to Earnings ratio (P/E)

593x 116.1x

Profitability Ratios

EBIT Margin 5% 79%
Net Profit Margin 4% 79%
EBITDA Margin 5% 89%

Return Ratio

Return on Equity 12% 8%
Return on Capital Employed 13.6% 8.5%

Adequacy of Internal Controls:

Colab Platforms Limited has established a robust and adequate system of internal controls to ensure the security of its digital assets, data, and operational infrastructure. The internal control framework ensures that transactions are properly authorized, accurately recorded, and appropriately reported. Periodic audits are conducted by an independent internal auditor based on a structured annual audit plan. Key findings and corresponding Action Taken Reports are submitted to the Audit Committee at regular intervals. Feedback from statutory auditors is also taken into account to continuously assess and improve the internal control systems.

Human Resources:

Colab Platforms Limited values its workforce as a key asset in driving innovation and operational excellence. The Company fosters a collaborative and inclusive work environment, emphasizing mutual respect and growth across all levels of employees. Regular training programs and knowledgesharing initiatives are conducted to upskill employees and align them with evolving industry practices, particularly in technology, gaming, and sports management. The low attrition rate is a reflection of the Companys commitment to employee satisfaction and development. A harmonious relationship is maintained among the teams, reinforcing a culture of performance and ownership.

Cautionary Statement:

The Management Discussion and Analysis includes certain forward-looking statements based on current expectations of Colab Platforms Limited. These may include projections, plans, and anticipated future developments. Actual results may differ materially due to several factors, including but not limited to, changes in macroeconomic conditions, regulatory shifts, competitive dynamics, technological disruptions, and market demand in the sports, gaming, and digital engagement sectors. The Company disclaims any obligation to publicly update such statements except as required by law.

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