Ann: FY24 Q3 quarterly result briefing, page-17

The recentMSV buyback program raises questions about capital allocation priorities. Hereare some key considerations:

• Plant and Equipment Replacement: The plant and equipment rental industry requires ongoing upgrades and replacements as technology evolves and assets reach depreciation milestones. This is a necessary expense for MSV to maintain competitiveness.
• Debt Reduction: Debt reduction can improve a company's financial health and creditworthiness. This could benefit MSV in the long run. However, due to requirement to replace equipment at regular interval they will find it challenging to remain debt free prolong period of time.

Alternative Investment Strategies:

• Diversification: While debt reduction is important, exploring strategic diversification beyond the core business could strengthen MSV's long-term position.
• Cash Buffer: Building a cash buffer can provide stability during economic downturns and enable MSV to maintain dividends or invest in new opportunities.

Shareholder Concentration:

The highconcentration of ownership by the top 20 holders (56%) does influence theimpact of the buyback program. However, a buyback can still improve financialratios like earnings per share, potentially benefiting all shareholders.

Hence, I believe they should be using cash for evaluating opportunities for diversification and investment and maintaining sufficient cash buffer instead of doing buy-back.