Vivo Collaboration Solutions Ltd Management Discussions

This Management Discussion and Analysis Report discusses and analyses the performance for the year ended 31^st March 2025.

Indias real GDP is projected to grow at 6.5% in financial year 2024-25, following a steady recovery to pre-COVID levels. While this growth was slower than expected, it continues to be one of the fastest growing major economies. Retail headline inflation has softened in line with global deflation trends, decreasing from 5.4% in financial year 2023-24 to 4.6% in financial year 2024-25, exhibiting increased deceleration towards the latter part of the year. The Government allocated over 11 lakh crores to capital expenditure during the fiscal, contributing to 3.4% of the GDP. The agriculture sector received a boost through several schemes and incentives, driving a gradual recovery in financial year 2024-25. Increased grassroots-level structural reforms and a focus on deregulation are expected.

India is at the forefront of digital infrastructure developments. In the year, India not only expanded its digital infrastructure but also focused on ensuring its accessibility, security, and impact on various sectors of the economy. This should set the stage for continued digital transformation and economic growth.

Looking ahead, India is expected to maintain its position as one of the fastest-growing major economies. The momentum is anticipated to be driven by sustained government investments in infrastructure, a growing middle class, and increasing digital adoption.

In 2024-25 the global economy navigated moderate growth amidst persistent inflationary pressures and geopolitical instability. A year marked by significant global elections, the immediate impact of which is evident, while long term effects remain to be seen, added another layer of complexity. Monetary policy, particularly interest rate adjustments in major economies, remained a central focus. Emerging markets exhibited diverse performance, influenced by commodity markets and debt vulnerabilities. Trade tensions and supply chain disruptions continued to strain global commerce and investment, while geopolitical volatility persisted. Concurrently, technological advancements, especially in AI and renewable energy, presented both, significant opportunities for productivity gains and challenges related to workforce adaptation. This confluence of factors created a dynamic and uncertain economic landscape for businesses and policymakers worldwide.

The Company was engaged in the business of providing platforms for enterprise voice and integration with video cloud to global telecom service providers.

Further the company has also discontinued its voice platform as business had become financially unviable.

Additionally, 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 2025-26.

INDUSTRY ECOSYSTEM

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. In addition, the solar invertors offer good market opportunity to replace imported hardware with originally designed invertor hardware. Your company may also resource to design products for renewable power to replace imports.

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 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.