MANAGEMENT DISCUSSION AND ANALYSIS

1. Discussion on financial performance with respect to operational performance

Your Company is yet to commence business in diversified objects such as solar energy, agriculture. For the financial year 2013-14 the Company operated only in one segment i.e. software business and recorded a turnover of Rs. 799.60 lakhs and net profit of Rs. 46.90 lakhs as against a turnover of Rs.586.55 lakhs and net profit of Rs.11.57 lakhs for the financial year 2012-13. Inspite of increase in revenue in comparison to brvious financial year, the Company is striving hard to diversify its business in other areas simultaneously with limited resources available for better prospects in the long run.

Future Outlook

The Company is planning to commence full-fledged operations in agriculture, solar energy since they are growth oriented and help to revive financial performance in the long run. Your Company has a prudent strategy and competent people with expertise to deliver planned results. The professional's in the Company have a defining role in significantly accelerating its growth and transformation, and enhancing its position as one of the most valuable Company. Your Company will continue to focus on driving underlying volume growth by improving its market positions in existing categories while also leading market development efforts to build categories and segments for the future.

Internal Control Systems

The management has decided to adopt even more prudential accounting norms as a matter of conservative accounting. This measure, which will definitely help the company in the future, has led to certain write offs.

The Company maintains a system of well established policies and procedures for internal control of operations and activities, and these are continually reviewed for effectiveness.

The internal control system is supported by qualified personnel and a continuous program of internal audit. The prime objective of such audits is to test the adequacy and effectiveness of all internal control systems laid down by the management and to suggest improvements. We believe that the company's overall system of internal control is adequate given the size and nature of operations and effective implementation of internal control self assessment procedures and ensure compliance to policies, plans and statutory requirements

The internal control system of the company is also reviewed by the Audit Committee periodically. The Management duly considers and takes appropriate action on the recommendations made by the statutory auditors, internal auditors and the independent Audit committee.

CAUTIONARY STATEMENT:

Statements in the Management Discussion and Analysis describing the Company's objectives, projections, estimates, expectations may be "forward-looking statements" within the meaning of applicable securities laws and regulations. Actual results could differ materially from those exbrssed or implied. Important factors that could make a difference to the Company's operations include economic conditions affecting demand/supply and price conditions in the domestic and international markets in which the Company operates, changes in the Government regulations, tax laws and other statues and other incidental factors.