Vivo Collaboration Solutions Ltd Management Discussions

This Management Discussion and Analysis Report discusses and analyses the performance for the year ended 31^st March 2026.

FY 2025-26 was a year in which India reaffirmed its position as one of the worlds fastest-growing major economies, delivering real GDP growth of around 7.4%. This year was shaped by a combination of strengthening domestic demand, robust public investment and resilient macro-economic fundamentals, even as the global economy navigated persistent uncertainties.

Growth was supported by the continued strength of the services and industrial sectors. High-frequency indicators such as GST collections, power demand, mobility data, and cement and steel production, pointed to broadening activity. Rural and urban demand remained stable although signs of moderation persisted in select segments. Together, these trends reflected an economy expanding at a healthy pace, while still navigating pockets of variability across regions, income groups and sectors.

Policy support played a pivotal role in sustaining Indias growth trajectory during the year. The Governments fiscal stance remained growth-oriented yet disciplined, with capital expenditure rising year-on-year, reinforcing the multi-year push to build infrastructure, expand capacity and lift long-term competitiveness. Budget measures focused on strengthening manufacturing, promoting innovation, accelerating digital infrastructure and enabling clean-tech transitions, all of which continued to bolster the investment climate. On the consumption side, GST rate rationalisation across several essential and mass-consumption categories, combined with targeted reductions in personal income taxes, created conducive environment to improve disposable incomes and support household spending.

In 2025-2026, the global economy recorded resilient yet uneven expansion, with global GDP growth estimated at around 3.4%, reflecting a broadly stable outlook despite multiple divergent forces. Key advanced economies experienced moderate growth, while many emerging markets grew above 4%, keeping the world economy on a steady path. Fiscal policy remained generally measured across major economies, with governments balancing consolidation with targeted support to sustain investment and long-term competitiveness. Monetary conditions gradually eased as inflation moderated, although the pace of disinflation continued to vary across regions, prompting central banks to normalise rates cautiously. Private-sector investment strengthened, driven by surging investments in the technology domain. At the same time, earlier trade realignments and evolving industrial policies continued to reshape global production networks. Geopolitical tensions, tariff-linked trade realignments and supply chain vulnerabilities, remained the most significant watch-outs for the global outlook, with the potential to re-ignite volatility in energy markets, capital flows and global demand.

The Company was engaged in the business of providing platforms for enterprise voice and integration with video cloud to global telecom service providers which was shut down last year due to financial unviability.

Our R&D efforts in power electronics are progressing towards a proof of concept, with some Proof of Concept anticipated in second half of FY 2026-27.

The company has been investing in R&D for last few years in Power Electronics and shall be able to provide customised solutions in coming years to various OEMs.

Your company is now transforming into an original design house in power electronics as the industry is showing tremendous growth and has tremendous revenue potential under Make in India. Your company is in process of designing EV chargers and related products for EV charging ecosystem.

The risk landscape continuously changes, influenced by global economic shifts, regulatory changes, and technological advancement. We proactively refine our risk mitigation strategies through periodic risk reviews and internal audits to assess and update our principal risks. We invest in future-ready business models, focusing on sustainable innovations, resilient supply chains and digital-first consumer brands to navigate uncertainties effectively. Our robust crisis management and business continuity planning ensure swift response mechanisms to safeguard our people, operations, and financial stability. By embedding risk management at the core of our decision-making, we enhance our agility, maintain a forward-focused approach, and strengthen resilience, enabling us to unlock aspirations and create enduring value for our stakeholders.

The charging infrastructure landscape in India as of 2026 reflects a nation in transition from pilot-scale deployments to large-scale network rollouts, driven by both governmental policy mandates and private sector innovation. While the total EV penetration in India is still under 3 % of the overall vehicle stock, charging networks are expanding rapidly to meet the ambitious target of achieving 30% EV adoption by 2030.

The India electric vehicle charging market was valued at US$ 0.71 billion (Rs. 6,139 crore) in 2025 and is predicted to reach US$ 2.48 billion (Rs. 21,940 crore) by 2030, expanding at a CAGR of 28.50% from 2025 to 2030.

The EV charging industry/ecosystem and solar invertor industry offer a good opportunity to replace imported hardware with locally designed and developed technology.

This is an ongoing process and shall require further investments in resources to design the controllers and the capex associated with it. This also requires alliances and OEM tie-ups which is long duration process and revenues may not be generated in short term.

The Company has a proper and adequate internal control system to ensure that all assets are safeguarded and protected against loss from unauthorized use or disposition and those transactions are authorized, recorded and reported correctly. Internal control is exercised through documented policies, guidelines and procedures. It is supplemented by an extensive program of internal audits conducted by Internal Auditor appointed in pursuance of applicable Laws. The audit observations and corrective action taken thereon are periodically reviewed by the audit committee to ensure effectiveness of the internal control system. Internal control is designed to ensure that the financial and other records are reliable for preparing financial statements and other data, and for maintaining accountability of persons.

The financial statements have been prepared in compliance with the requirements of the Companies Act, 2013 and Generally Accepted Accounting Principles in India. Please refer to the Directors Report in this respect.

The Companys HR philosophy is to establish and build a high performing organization, where everyone is motivated to perform to the fullest capacity to contribute to developing and achieving individual excellence and departmental objectives and continuously improve performance to realize the full potential of our personnel.

Statements made herein describing the Companys expectations or predictions are "forward-looking statements". The actual results may differ from those expected or predicted. Prime factors that may make a difference to the Companys performance include market conditions, input costs, govt. regulations, economic development within/outside the country etc. including the churn of the employees working on the new projects.