Infronics Systems Ltd Management Discussions

Annexure - II

Overview:

We always want to look ahead and push ourselves to reinvent and re-innovate. We took this opportunity to be introspective and realised our core strengths. We do not see these restrictions as a hurdle but an opportunity to explore new markets and new fields. We believe that with over 30 years of combined management experience in the capital markets and corporate space in India enable us to be competent in this field.

Opportunities and Threats:

Any adverse change in the policies of the Government, Recession etc. may further adversely affect the profitability. The product is at once subjected to local, national and international competition.

Segment -wise or product wise performance: 100% of company revenue is being generated by providing services.

Internal Control & Adequacy:

The company has an adequate internal control system to ensure that all assets are safeguarded and protected against loss from unauthorized use or disposition.

Risk Management System:

The company manages our business risk through strict compliance and internal control systems.

Risk and Concerns:

Any adverse change in the financial services business or negative policy of the Government will affect the companys sector adversely.

Outlook:

Company is focusing on service-based activities. The rapid increase in the volume of enterprise data and growing automation of business processes across several end-use industries such as retail, manufacturing, healthcare, and transportation are expected to drive the demand for business software and services over the forecast period. Significant rise in deployment of enterprise software and services across IT infrastructure for enabling better strategic decision-making, reducing inventory cost, enhancing profitability, and enabling organizations to improve their market position is estimated to drive the market growth over the forecast period.

Details of significant changes in ratio as compared to the immediately previous financial year:

Human Resource:

Your Company considers the quality of its human resources to be the most important asset and constantly endeavors to attract and recruit best possible talent. Our training programs emphasize a general management perspective to business. The Company continues to empower its people and provide a stimulating professional environment to its officers to excel in their respective functional disciplines.

The industrial relations of the Company continue to remain harmonious and cordial with focus on improving productivity and quality.

Details of any change in Return or Net Worth as compared to the immediately previous financial year:

The net worth of the company for FY 2022-23 is (29,80,896) and the net worth for FY 2021-22 is (81,61,458). Cautionary Statement:

The statements made in this report describe the Companys objectives and projections that may be forward looking statements within the meaning of applicable laws and regulations. The actual results might differ materially from those expressed or implied depending on the economic conditions, government policies and other incidental factors, which are beyond the control of the Company.

Accounting Treatment:

The Company has complied with the appropriate accounting policies and has ensured that they have been applied consistently.

There have been no deviations from the treatment prescribed in the Accounting Standards notified under Section 133 of the Companies Act, 2013.