Padmanabh Industries Ltd Management Discussions

I.ndustry Structure and Development

The fabricsndustry occupies anmportant positionn thendian Economy forts extended role of earlyndustrialization and social sector development. Strong growthn end user segments coupled with thenitiatives from the government andndustry to enhance the growth has brought the focus on the fabrics segment. Simultaneously,mproved competitivenesss likely to resultn significant growth of the diverse but fragmented fabrics segment

II. Opportunities and Threats

A future of opportunities existsn the form ofncreasing user andncreasing demand. Growthnndian economy leads to creation ofmmense opportunities to the Company for future growth and development

Your Company perceives risks or concerns common tondustry such as concerns related to the Global Economic fallout, Regulatory risks, Foreign Exchange volatilities, Highernterest rates, and other commercial &business-related risks. Fabrics businesses are generally working capitalntensive and hence the working capital requirements are also higher.

III.nternal Control system and their adequacy

The Company has adequate system ofnternal control commensurate withts size and operations to ensure orderly and efficient conduct of the business. These controls ensure safeguard of assets, reduction and detection of frauds and error, adequacy and completeness of the accounting record and timely preparation of reliable financialnformation.

KEY RATIOS

There have been no significant changes (i.e., change of 25% or more as compared to themmediately previous financial year)n key financial ratios of the Company.

IV. Financial performance with respect to operational performance

The financial performance of the Company for the year 2022-23s describedn the Directors Report

I. Risk and Concerns

Your Company perceives risks or concerns common tondustry such as concerns related to the Global Economic fallout, Regulatory risks, Foreign Exchange volatilities, Highernterest

rates, and other commercial &business-related risks. Fabrics businesses are generally working capitalntensive and hence the working capital requirements are also higher.

II. Material developmentsn Human Resources/Industrial Relations front,ncluding the number of people employed.

During the year under review, no suchnitiatives and/or developments

in Human Resources/Industrial Relations front has been taken by the Company.

III. Segment wise Performance:

The business of the companys operatingn Single segments.

IV. Recent Trend and Future Outlook:

The sectorn which the Company has been operatings developing faster and provides ample growth opportunities.

Further due to risen foreign directnvestmentn the sector, Company will be able to develop projects at fast pace and looking forward for better development and highnvestment returns.

V. Cautionary Statement: -

Statementn this Management Discussion and Analysis describing the companys objectives, projections, estimated and expectations are "forward looking statements" Actual results might differ, materially from those anticipated because of changing ground realities.