Winny Immigration & Education Services Ltd Management Discussions

1. INDUSTRY STRUCTURE AND DEVELOPMENT

The immigration and overseas education consultancy industry in India continues to demonstrate steady growth, propelled by the aspirations of the Indian populace to pursue higher education abroad and to secure lawful permanent residency or employment opportunities in foreign jurisdictions. The industry is materially influenced by immigration policies of destination countries, bilateral agreements, changes in visa norms, and global geopolitical developments. During FY 2024-25, the sector experienced regulatory uncertainty and adverse policy modifications across major destination countries. Tighter visa norms and a contraction in student, Immigration, and work visa volumes directly impacted the addressable market. Overall, the industry witnessed a slowdown in top-line growth, with increased competitive intensity and margin pressure.

2. BUSINESS OPERATIONS

Winny Immigration & Education Services Limited ("the Company"), is engaged in the business of providing consultancy and advisory services in the domain of immigration and overseas education. The principal activities include, but are not limited to:

• Advising and assisting clients in matters pertaining to Permanent Residency and Work Permits;

• Facilitating student admissions to reputed foreign educational institutions;

• Providing coaching services for language proficiency and related examinations;

• Offering documentation support, visa filing assistance, pre-departure briefings, and postlanding services through authorized partners.

3. Summary of Key Financial Indicators (f Lakhs)

Particulars	FY 2024-25	FY 2023-24	Variance (%)
Revenue from Operations	818.63	1,080.69	(24.2)
Other Income	29.31	21.43	36.7
Total Income	847.94	1,102.12	(23.1)
Total Expenses	1,467.61	1,049.61	39.9
Profit/(Loss) Before Tax	(619.68)	52.51	-
Profit/(Loss) After Tax	(463.13)	39.27	-
eps (Rs)	(22.97)	2.59	-

The Company posted a total income of ^847.94 lakhs for FY 2024-25, representing a decline of approximately 23% over the previous year. Revenue from operations contracted mainly due to reduced processing volumes and price pressures, while other income increased, backed by interest income from IPO proceeds.

Operating expenses and employee costs increased, reflecting inflationary wage hikes and provisions, notably a substantial provision for gratuity in alignment with actuarial valuation standards

Financial Position & Liquidity

• Net Worth: Stood at ^590.15 lakhs as of 31st March 2025.

• Reserves and Surplus: Increased due to receipt of securities premium from IPO, partially offset by accumulated losses and provisioning for gratuity.

• Cash and Bank Balances: Significant increase to ^451.21 lakhs as of year-end, mainly due to unutilized IPO proceeds placed in fixed deposits

• Current Ratio: Improved to 3.54 (previous year: 1.51), reflecting higher liquidity from IPO proceeds.

• Debt-Equity Ratio: Improved to 0.05 (previous year: 0.90), on account of significant repayment of debt using IPO funds.

The Company continues to uphold its reputation for ethical and transparent practices, thereby maintaining its status as a trusted service provider in this sector.

4. Capital Expenditure and Assets

Investments were made in software development (Rs18.30 lakhs capitalized) with additional ^8.22 lakhs carried as "Intangible Assets Under Development."

Tangible assets additions pertain to office equipment and IT infrastructure supporting future growth and compliance.

5. Key Financial Ratios

Ratio Name	2024-25	2023-24	Change	Remarks
Current Ratio	3.54	1.51	Increased	Improved due to IPO funds invested in FDs
Debt-Equity Ratio	0.05	0.9	Decreased	Repayment of borrowings using IPO proceeds
Debt Service Coverage Ratio	(3.41)	2.61	Deteriorated	On account of negative earnings
Ratio Name	2024-25	2023-24	Change	Remarks
Return on Equity (%)	(112.84)	18.61	Deteriorated	Due to substantial net loss
Net Profit Ratio (%)	(56.57)	3.63	Deteriorated	Loss due to revenue fall and rising costs
Return on Capital Employed (%)	(139.04)	15.74	Deteriorated	Losses and higher capital employed post-IPO
Net Capital Turnover Ratio				Lower turnover; working
	3.47	9.27	Decreased	capital base expanded from ipo

Detailed working of ratios is as per the financial statements and applicable regulatory requirements.

6. OPPORTUNITIES AND THREATS Opportunities:

• Expansion of the office network in India from IPO proceeds.

• New service models and digital transformation (software projects under development).

• Ability to leverage brand post-listing and enhance market presence.

Threats:

• Adverse changes in global immigration regimes and policies.

• Heightened regulatory scrutiny and compliance requirements for listed entities.

• Exposure to macroeconomic volatility, foreign exchange movements, and geopolitical risks

7. AREA OF ACTIVITIES

The Company is operating under a single segment:

Activities:

(i) Immigration Consultancy Services; and

(ii) Overseas Education Advisory Services.

Both activities have contributed positively to the revenue streams during the period under review, with immigration consulting continuing as the major revenue driver.

8. FUTURE OUTLOOK

• The Company plans to deploy unutilized IPO funds judiciously to achieve objected expansion, software capabilities, and working capital optimization.

• Management initiatives focus on improving operational efficiencies, cost controls, leveraging digital infrastructure, and adapting to sector trends.

• The Board, based on comprehensive going concern assessments, remains committed to restoring profitability and shareholder value in subsequent periods, contingent on improvements in market conditions.

9. RISKS AND CONCERNS

The principal risks facing the Company are inherent to the nature of its business, including but not limited to:

• Unanticipated modifications in immigration rules and policy frameworks by the host countries;

• Any resurgence of global health crises or unforeseen emergencies;

• Dependency on third-party associates and vendors for certain ancillary services.

The Company has instituted an adequate risk management policy to monitor and mitigate identified risks on a continuous basis.

10. INTERNAL CONTROL SYSTEMS AND THEIR ADEQUACY

The Company has in place adequate internal financial controls commensurate with its size and scale of operations. These controls ensure that all assets are safeguarded and transactions are authorized, recorded, and reported correctly. The internal control systems are reviewed at regular intervals by the Internal Auditor and the Audit Committee to ensure operating effectiveness.

11. HUMAN RESOURCES AND INDUSTRIAL RELATIONS

The Company considers its human resources as a valuable asset and remains focused on training, upskilling, and retaining a competent workforce. The relations between the management and employees continued to be cordial and harmonious during the year under review.

12. CAUTIONARY STATEMENT

Statements in this report describing the Companys objectives, projections, estimates, expectations, or predictions may constitute "forward-looking statements" within the meaning of applicable laws and regulations. Actual results may differ materially from those expressed or implied due to economic, regulatory, market risks and future events beyond the Companys control.

The above Management Discussion and Analysis should be read in conjunction with the Companys audited financial statements for the year ended 31st March, 2025 and notes thereon, and is prepared in compliance with applicable regulatory requirements, including Listing Regulations..