United Interactive Ltd Management Discussions.

INDUSTRY STRUCTURE AND DEVELOPMENTS , COMPANYS BUSINESS

At present ,your company does not have any business under information technology segment , and is dependent on business of its sole strategic subsidiary , which are in to the business of trading and investment in securities.

Hence , here we will discuss capital market industry rather than Information technology industry. The COVID-19 pandemic has disrupted demand and supply chains across industries, negatively impacting the business of companies and driving the global economy towards a recession. Governments in several countries have imposed stringent lockdown in a bid to contain the spread of the disease.

We have seen the biggest market fall since the global financial crisis of 2007-08. Most equity investors have seen their portfolio lose a significant chunk of gains. This is not a situation being faced just by Indian investors but almost in every market that has a stock exchange. On demand aspects of the trade , Several sectors are also seeking technology-based solutions immediately to tackle the health and economic crises – notably in healthcare, life sciences, banking, telecommunications and essential retail.

OPPORTUNITIES & THREATS

The challenges and opportunities arising from the COVID-19 pandemic and its resulting impact on the economy is uncertain in both macro and micro terms. We believe the investments we have made, and continue to make, in our strategy will help us as to tackle these market conditions. For fiscal 2021, we will continue to execute our strategy along the same lines.

We have a debt free balance sheet and the focus is on preserving cash flows and cost optimization measures. We believe that we are well-positioned for the principal competitive factors in our business.

SEGMENT-WISE PERFORMANCE

The income of the Company comprises of dividend received on investment in the subsidiary. On a consolidated basis income further comprises of dividend, interest, profits in securities trading. During the current year income from core activities was NIL, whereas the income on consolidated basis was relatively low.

OUTLOOK

The outlook for the current financial year predominantly depends upon capital markets as major revenue is generated by its subsidiary, which is engaged in capital markets operations.

RISKS & CONCERNS

The size of operation of your Company has always been a concern as IT & ITes player, as the industry is moving towards institutionalization. Primary market is dominated by few large players and it is increasingly difficult for small & mid cap entities to penetrate.

INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY

Your Company has developed formal and well-structured internal control systems to conduct the business within the framework of Regulations. The present structure & systems are adequate and commensurate to the size of operations of your company.

DISCUSSION ON FINANCIAL PERFORMANCE WITH RESPECT TO OPERATIONAL PERFORMANCE

The financial year 2019-20, your company was unable procure any business in IT & ITes business, the only income it had was in form of dividend received from subsidiary. On consolidated front revenue is at Rs 2312.60 lakh against the previous year of Rs 1057.76 lakh, whereas consolidated profits stood at Rs 143.49 lakh as against Rs 121.51 lakh in the previous year.

MATERIAL DEVELOPMENTS IN HUMAN RESOURCES/INDUSTRIAL RELATIONS FRONT :

There are no material developments in human resources /industrial relations front.

DISCLOSURE OF ACCOUNTING TREATMENT

In accordance with the Companies (Indian Accounting Standards), Rules, 2015 of the Companies Act, 2013, read with Section 133 of the Companies Act, 2013, your Company has adopted the Indian Accounting Standards (Ind AS) for preparation of its financial statements.

FORWARD-LOOKING STATEMENTS:

This report contains forward-looking statements based on certain assumptions and expectations of future events. The Company, therefore, cannot guarantee that these assumptions and expectations are accurate or will be realized. The Companys actual results, performance or achievements can thus differ materially from those projected in any such forward-looking statements.