The Management of Zodiac Ventures Limited presents its Analysis report covering performance and outlook of the Company. The Report has been prepared in compliance with the requirements of Regulation 34(2) (e) of SEBI (LODR) Regulations, 2015. The Management accepts responsibility for the integrity and objectivity of the financial statements. However, certain statements made in this Report relating to outlook, expectations, etc., may constitute forward looking statements within the meaning of applicable laws and regulations and may differ from actuals. Several factors could make a significant difference to the Companys operations, including climatic conditions, economic conditions affecting demand and supply, government regulations, revision in government policies, taxation and natural calamities, over which the Company does not have any control.

1. Global Economy

The global economy remained resilient during FY 2025- 26 despite persistent geopolitical tensions, tradedelated uncertainties, elevated energy prices and divergent economic conditions across regions. According to the International Monetary Fund (IMF), global growth is projected at 3.0% 3.0% in 2026 and is expected to strengthen to 3.4% 3.4% in 2027. The global outlook, however, remains uneven, with geopolitical conflicts and energy- related disruptions weighing on several economies, while technology- led investment and the adoption of artificial intelligence (AI) are supporting growth in countries integrated into global technology value chains.

The global economic environment continues to be influenced by geopolitical developments, changes in trade policies, supply- chain disruptions and volatility in commodity and energy prices. These factors have increased uncertainty for businesses and investors and may continue to affect international trade, investment flows and overall economic activity. At the same time, the global economy has demonstrated considerable resilience, supported by improving financial conditions, technological investment and the adaptability of businesses and governments.

Global inflationary pressures, which had been moderating since 2024, have shown signs of renewed persistence. The IMF has projected global headline inflation at 4.7% 4.7% for 2026, before easing to 3.9% 3.9% in 2027. The increase in 2026 is largely attributable to higher energy and food prices and the continuing impact of geopolitical developments.

Going forward, the global economic outlook is expected to remain cautiously optimistic, although risks remain. Prolonged geopolitical conflicts, further trade fragmentation, commodity price volatility, financial market repricing and disruptions to global supply chains could adversely affect growth. Conversely, stronger technology- led investment, easing energy market pressures, structural reforms and greater international cooperation could provide support to global economic activity. Businesses are therefore expected to focus increasingly on operational resilience, prudent capital allocation, technological adoption and diversification of supply chains.

2. Indian Economy

The Indian economy continued to demonstrate strong resilience and sustained growth during FY 2025- 26 despite an uncertain global environment. As per the latest estimates released by the Ministry of Statistics and Programme Implementation (MoSPI), Indias real GDP is estimated to have grown by 7.6% 7.6% during FY 2025- 26, compared with 7.1% 7.1% during FY 2024- 25. Nominal GDP is estimated to have grown by 8.6% 8.6% during FY 2025- 26. The economic performance was supported by robust activity across manufacturing and the secondary and tertiary sectors, along with continued strength in private consumption and gross fixed capital formation.

The manufacturing sector remained an important contributor to economic growth, while the services sector continued to provide significant support to overall economic activity. The Trade, Repair, Hotels, Transport, Communication & Services related to Broadcasting and Storage segment recorded strong growth during FY 2025- 26. Private Final Consumption Expenditure and Gross Fixed Capital Formation also recorded growth of more than 7% 7% , reflecting continued domestic demand and investment momentum.

Indias monetary and financial environment also remained supportive of economic activity. As of 2026, the Reserve Bank of India (RBI) policy repo rate stood at 5.25% 5.25% , supporting credit conditions while maintaining focus on price stability.

The outlook for FY 2026- 27 remains positive, supported by strong domestic demand, infrastructure development, continued digitalisation, manufacturing expansion, increasing private investment and Indias growing integration with global supply chains. Indias large domestic market and improving physical and digital infrastructure are expected to continue providing a strong foundation for economic activity.

Nevertheless, external risks remain, including geopolitical tensions, fluctuations in energy and commodity prices, changes in global trade policies, exchange- rate movements and potential disruptions to international supply chains. The Indian economy is expected to remain relatively resilient against these challenges, supported by strong domestic fundamentals, policy stability and structural reforms. Continued emphasis on infrastructure development, manufacturing competitiveness, technological innovation, employment generation, private- sector investment and ease of doing business will be important for sustaining the countrys growth momentum.

Overall, India is well positioned to maintain its position among the worlds fastest- growing major economies. Continued domestic consumption, investment- led growth, technological advancement, infrastructure development and structural reforms are expected to support economic expansion and create opportunities across various sectors during FY 2026- 27 and beyond.

3. Real Estate Sector

The Indian real estate sector continued to demonstrate resilience during FY 2025- 26, supported by sustained demand for residential and commercial spaces, rapid urbanization, rising household incomes and improving infrastructure. The office segment witnessed strong leasing activity, supported by the expansion of Global Capability Centres (GCCs), while the retail segment continued to benefit from healthy consumer demand. The residential sector remained resilient, with continued demand for quality and premium housing. Overall, the sector is expected to maintain its growth momentum, supported by infrastructure development, institutional investment and evolving consumer preferences.

4. Residential Real Estate Market

The residential segment exhibited a strong performance and sustained momentum during the last fiscal despite several headwinds. The offices segment exhibited resiliency and has started to witness gradual recovery resulting in improvement in occupancy levels across quality assets. This recovery was primarily led by the return to normalcy and back- to- office policies for the majority; however, certain occupiers continue to operate on a flexible and hybrid approach. The retail segment delivered robust growth as a result of increase in consumption and footfalls.

5. Customer Experience

We keep our customers at the forefront in policy- making decisions including designing and changing needs and preferences of customers in evolving environment. This enables us to build trust, create happy experiences and provide them with the best- in- class products. By understanding our customers needs, we aim to make the customers home- buying experience a simple and joyous one, thereby enhancing brand advocacy.

6. Strategic Developments and Future Outlook

Having shifted its focus toward sustained growth, your Company has undertaken two redevelopment projects with residential societies at prime locations in Vile Parle (East), Mumbai viz. Zodiac Anjaneshwar and Zodiac Guruchhaya.

Zodiac Anjaneshwar Project: The Companys redevelopment project Zodiac - Anjaneshwar has been delayed due to pending clarifications from the Municipal Corporation regarding the applicability of Regulation 33(12) policy. The Company expects to receive the further Commencement Certificate (CC) from the department by the end of September 2026. Meanwhile, finishing work of the constructed floors is in progress. Project is expected to be completed by December 2027

Zodiac Guruchhaya Project: The construction work for the Zodiac Guruchhaya Project has been delayed due to pending negotiations with tenants of Gajanan Niwas. The Company expects to finalize agreements with the tenants by this year end. Project is expected to be completed by December 2029.

Looking ahead to the financial year 2026- 27, your Company intends to continue focusing on both redevelopment and slum rehabilitation models, aiming to build upon its substantial foothold in these sectors.

SRA Project Indira Nagar, Vile Parle (West), Mumbai, in the vicinity of Juhu and Mithibai College in Associate Company Zodiac Capital Pvt. Ltd. is submitted for approval before the SRA a planning authority and expect to receive approval in due course of time.

7. Opportunities

The Indian real estate sector continues to offer significant growth opportunities, driven by rapid urbanisation, rising household incomes, changing consumer preferences and improving infrastructure. Demand for residential, commercial and premium housing is expected to remain strong, while emerging segments such as warehousing, data centres and other new- age real estate assets are creating additional opportunities. The sector is expected to continue its growth trajectory towards the US$1 trillion mark by 2030. The Company remains focused on leveraging these opportunities through prudent project selection, efficient execution and sustainable development.

8. Challenges and threats

The management of your Company is confident of creating and exploiting the opportunities it is faced with, keeping in mind any unfavorable changes in the government policies and the regulatory environment that can adversely impact the performance of the sector. Retrospective policy changes and regulatory bottlenecks may impact profitability and affect the attractiveness of the sector and companies operating within the sector.

9. Internal Control Systems

The Company has an adequate Internal Control System commensurate with size and nature of its business to safeguard all assets and to ensure their efficient productivity. The Company has continued to keep focus on processes and controls. The Company has a suitable internal control system for the business processes, operations, financial reporting, compliance with applicable laws and regulations. Wherever deemed necessary, internal control systems are also reassessed and corrective action is taken, if required.

10. Financial and operational performance

Despite unpredictable economic development, your Company performed reasonably well upon financial parameters.

11. Cautionary Statement

Statements in this Report, particularly those which relate to Management Discussion and Analysis, describing the Companys objectives, projections, estimates and expectations, may constitute forward looking statements within the meaning of applicable laws and regulations. Actual results might differ materially from those either expressed or implied.