MANAGEMENT DISCUSSION AND ANALYSIS REPORT

Management Discussion and Analysis Report for the year under review, as stipulated under Clause 49 of the Listing Agreement with the Stock Exchanges in India, is brsented here under which forms part of the Annual Report.

i) Economic Overview, Opportunities and Threats:

Financial Year 2013 - 14 was a challenging year for India's Economy with a second successive year of less than 5% growth in gross domestic product (GDP). The global events and political uncertainties complicated the business environment. Though the governmental efforts were focused towards fight against inflation, none the less the inflation continued to scale high. The economy continues to be constrained by high interest rates and sticky inflation. Global economic uncertainties have affected India's economy including the Real Estate Sector.

The outlook for the Indian economy is now looking significantly better than in 2013 when the economy was struggling with current account and fiscal deficit, falling rupee and high and stubborn inflation. Rising exports, swift policy as well as project clearance actions expected from the new Government have improved business sentiments. The government has introduced many progressive reform measures to unlock the potential of the real estate sector and also to meet the increasing demand levels. The stimulus package announced by the government, coupled with the Reserve Bank of India's move allowing banks to provide special treatment to the real estate sector is likely to impact the Indian real estate sector in a positive way.

ii) Segment-wise analysis

Revenue of the Company is generated from providing Architectural and Consultancy Services in Real Estate Sector. The Company achieved a Consolidated Turnover of Rs. 1.21 Crores during the current year.

iii) Outlook

The scope of Affordable Housing in India is simply unlimited. A Number of real estate companies now have access to organized financing through primary and secondary markets, financial institutions and alternative financing routes such as private equity. The Indian construction market is expected to be the world's third largest by 2020. It is currently the fourth largest sector in the country in terms of FDI inflows.

The Government on India has shown support for the real estate industry. It has allowed foreign direct investment (FDI) of up to 100 per cent in development projects for townships and settlements, as well as formally approved 577 special economic zones (SEZs). Thus, recent policy-based efforts and progressive reforms initiated in mid-2013 in the form of Real Estate Regulatory (RER) Bill and new Land Acquisition Act will collectively make the real estate sector more transparent and appealing for developers, investors and buyers.

IV) Risks & Concerns

This sector faces various degrees of uncertainty both at the macro and micro levels. The company being in the same sector is not an exception. Right from the time of acquisition of land for construction to the time of sale of finished properties the company faces various regulatory requirements. Some of these requirements such as land acquisition, permitted land use, approval from multiple government authorities, development of land and construction thereon, stringent environmental and safety standards etc. increase cost as well as affects timeliness of a project.

V) 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.

VI) Financial performance

In spite of a rebrssed economic development, your Company performed reasonably well.

The financial performance based on the consolidated financial results for the year ended March 31, 2014 is as under:

• Company's gross turnover including other incomes for the year ended 31 st March, 2014 is Rs. 1.21 Crores.

• Earnings before tax for the year ended 31st March, 2014 were Rs. 92 Lakhs.

VII) Material Developments in Human Resources/Industrial Relations

The Company firmly believes that highly motivated and empowered employees are its best assets to maintain a competitive edge in the market. The management is committed to continuously upgrading skills and competency at all levels with the aid of extensive training. The Company maintains healthy and motivating work environment through various measures. This has helped the Company to retain and recruit skilled work force which would results into the timely completion of the projects.

VIII) Cautionary Statement

Statements in this Report, particularly those which relate to Management Discussion and Analysis, describing the Company's 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 exbrssed or implied.