The company is currently executing a fundamental strategic transformation. Historically a financial services entity, it has formally expanded its constitutional mandate to pivot toward **Logistics, Mining, and Material Handling**. This shift is being solidified through a comprehensive rebranding effort, with the Board deliberating a name change to either **Mikado Infra Logistics Limited** or **FRST Mining & Logistics Limited**, pending final regulatory approvals. To facilitate this new direction, the company is altering its **Memorandum of Association (MoA)** and has approved a **share swapping proposal** with **Peepal Mining & Logistics Private Limited**. This inorganic growth strategy is designed to immediately integrate specialized mining and logistics capabilities into the company’s portfolio. ### **Core Business Operations & Expanded Mandate** As of **April 2026**, the company’s authorized operational scope has been broadened to include: * **Mining & Minerals:** Prospecting, extracting, and processing a diverse range of minerals, including **Coal, Iron, Bauxite, Copper, Gold, and Diamonds**. * **Logistics & Transportation:** Engaging in material handling and fleet operations across **land, air, and water**. This includes the transport of bulk, containerized, and **over-dimensional cargo (ODC)**. * **Agency & Consultancy Services:** Acting as a broker, stockist, and consultant for freight forwarding, clearing and forwarding (C&F), steamer agency, and ship broking. * **Supply Chain Infrastructure:** Establishing and managing warehousing, distribution networks, and bunkering services. ### **Comparative Operational Evolution** The following table outlines the transition from the legacy financial services model to the new integrated infrastructure framework: | Feature | Status (2024-2025) | Status (Post-April 2026) | | :--- | :--- | :--- | | **Primary Activity** | Financial Services / General | Logistics, Mining & Allied Activities | | **Reportable Segments** | **Single Segment** (Ind AS-108) | **Single Segment** (Integrated Logistics/Mining) | | **Asset Ownership** | **Nil** (PPE & Intangibles) | Authorized to acquire/lease mining rights & vessels | | **Geographic Scope** | Domestic (India) | **India and International** (Import/Export) | | **Registered Office** | Previous Location | **Mithakhali, Navrangpura, Ahmedabad** (Shifted Nov 2025) | ### **Financial Performance & Capital Structure** The company has demonstrated a consistent upward trajectory in **Gross Income** over the last four fiscal years, successfully recovering from a significant net loss in **FY 2021-22** to achieve sustained profitability. #### **Standalone Financial Summary** *(All figures in **Rs. Lakhs**)* | Particulars | FY 2024-25 | FY 2023-24 | FY 2022-23 | FY 2021-22 | | :--- | :--- | :--- | :--- | :--- | | **Gross Income** | **161.79** | **111.93** | **71.65** | **26.36** | | **Total Expenses** | **129.35** | **73.10** | **40.83** | **365.76** | | **Net Profit After Tax** | **23.55** | **26.22** | **26.22** | **(345.77)** | #### **Leverage and Liquidity** To support its operational expansion, the company has significantly increased its leverage. The **Gearing Ratio** rose from **2.07** to **3.59** within one fiscal year, reflecting a strategic decision to utilize debt for growth. | Metric | March 31, 2025 | March 31, 2024 | | :--- | :--- | :--- | | **Total Debt** | **2,256.48** | **1,253.57** | | **Cash and Bank Balances** | **(5.74)** | **(7.05)** | | **Net Debt** | **2,250.74** | **1,246.51** | | **Equity** | **626.96** | **603.41** | ### **Asset Profile and Capital Management** Despite the expanded mandate, the company’s physical asset base remains lean as it transitions: * **Property, Plant & Equipment (PPE):** Reported **Nil** holdings in PPE and **Nil** intangible assets as of **August 2025**. * **Share Capital:** Equity consists of shares with a **par value of Rs. 10 per share**. The Board is currently increasing the **Authorised Share Capital** to facilitate a **preferential issue of shares**, providing liquidity for new vertical entries. * **Dividend Policy:** The Board has **not recommended any dividend** for **FY 2022-23, 2023-24, or 2024-25**, opting instead to reinvest earnings into the business pivot. ### **Governance, Compliance, and Risk Mitigation** The company’s risk management is overseen by the **Audit Committee**, focusing on market volatility and credit exposure. However, the company faces specific internal governance challenges. #### **Governance Vacancies & Audit Remarks** The **Secretarial Audit Report** for the year ended **March 31, 2025**, highlighted critical vacancies that the company is actively working to fill: * **Chief Financial Officer (CFO):** The position remains vacant; recruitment is underway to ensure statutory compliance. * **Internal Auditor:** The company is in the process of appointing a suitable candidate to strengthen internal controls. #### **Risk Management Framework** | Risk Category | Exposure & Mitigation Strategy | | :--- | :--- | | **Credit Risk** | Managed via credit approvals and the **Simplified Expected Credit Loss (ECL) Model**. Historical bad debt provision is **negligible**. | | **Interest Rate Risk** | Impacts **Long-term borrowings** with **floating rates**. Managed by the Treasury department through a balance of fixed and floating instruments. | | **Liquidity Risk** | Monitored through regular reviews of risk management controls and cash flow projections. | | **Market Risk** | Includes exposure to **foreign exchange rates** and **commodity prices** as the company enters international trade. | ### **Operational Integrity and Legal Standing** * **Litigation:** As of **March 31, 2025**, there are **no pending litigations** expected to have a material impact on financial stability. * **Contractual Obligations:** The company reported **no material foreseeable losses** on long-term or derivative contracts for **FY 2024-25**. * **Fund Integrity:** Management has confirmed that no funds have been advanced or loaned to **Intermediaries** for the benefit of **Ultimate Beneficiaries**, ensuring transparency in capital usage. * **Accounting Standards:** All financial results are strictly prepared in accordance with **Ind AS (Indian Accounting Standards)** under Section 133 of the Companies Act, 2013.