A-One Steels India Ltd Auditor Reports

INDEPENDENT AUDITORS EXAMINATION REPORT ON THE RESTATED CONSOLIDATED FINANCIAL INFORMATION

To,
The Board of Directors
A-One Steels India Limited
(formerly known as "A-One Steels India Private Limited", "A-One Steel and Alloys Private Limited")
A One House, No. 326,
CQAL Layout Ward No. 08, Sahakar Nagar,
Bangalore, Karnataka – 560 092, India

Dear Sirs/Madam,

1. We Singh & Co. Chartered Accountants ("we" or "us" or "Singhi") have examined the attached Restated Consolidated Financial Information of A-One Steels India Limited (Formerly known as "A-One Steels India Private Limited" and "A-One Steel and Alloys Private Limited") (hereunder referred to as the "Company", or the "Issuer") and its subsidiaries (the Company and its subsidiaries together referred to as the "Group"), comprising the Restated Consolidated Statement of Assets and Liabilities as at March 31, 2026, March 31, 2025 and March 31, 2024, the Restated Consolidated Statement of Profit & Loss (including other comprehensive income), the Restated Consolidated Statement of Changes in Equity and the Restated Consolidated Statement of Cash Flows for the years ended March 31, 2026, March 31, 2025 and March 31, 2024, the Summary statement of Material Accounting Policies, Other explanatory Information and notes (Collectively, the "Restated Consolidated Financial Information"), as approved by the Board of Directors of the Company at their meeting held on July 22, 2026 for the purpose of inclusion in the Red Herring Prospectus and Prospectus ("RHP/Prospectus"), prepared by the Company in connection with its Proposed Initial Public Offer of Equity Shares ("IPO") and prepared in terms of the requirement of:

a. Section 26 of Part I of Chapter III of the Companies Act, 2013, as amended ("the Act");
b. The Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018, as amended (the "ICDR Regulations"); and
c. The Guidance Note on Reports in Company Prospectuses (Revised 2019) issued by the Institute of Chartered Accountants of India ("ICAI"), (the "Guidance Note").

2. The Companys Board of Directors is responsible for the preparation of the Restated Consolidated Financial Information which have been approved by the Board of Directors for the purpose of inclusion in the Red Herring Prospectus and Prospectus to be filed with Securities and Exchange Board of India, BSE Limited, National Stock Exchange of India Limited and Registrar of Companies, Karnataka at Bangalore in connection with the proposed IPO. The Restated Consolidated Financial Information have been prepared by the management of the Company on the basis of preparation stated in Note 2(ii)(A) to the Restated Consolidated Financial Information. The responsibility of respective Board of Directors of the companies included in the Group includes designing, implementing and maintaining adequate internal control relevant to the preparation and presentation of the Restated Consolidated Financial Information. The respective Board of Directors are also responsible for identifying and ensuring that the Company/Group complies with the Act, ICDR Regulations and the Guidance Note, as applicable.

3. We have examined such Restated Consolidated Financial Information taking into consideration:

a. The terms of reference and terms of our engagement agreed upon with you in accordance with our engagement letter dated May 20, 2026, in connection with the proposed IPO of equity shares of the Company;
b. The Guidance Note also requires that we comply with the ethical requirements of the Code of Ethics issued by the ICAI;
c. Concepts of test checks and materiality to obtain reasonable assurance based on verification of evidence supporting the Restated Consolidated Financial Information; and
d. The requirements of Section 26 of the Act and the ICDR Regulations.

Our work was performed solely to assist you in meeting your responsibilities in relation to your compliance with the Act, the ICDR Regulations and the Guidance Note in connection with the IPO.

4. These Restated Consolidated Financial Information have been compiled by the management from:

a. Audited Consolidated Financial Statements of the Group as at and for the year ended March 31, 2026 prepared in accordance with Indian Accounting Standards (referred to as "Ind AS") as prescribed under Section 133 of the Act read with Companies (Indian Accounting Standards) Rules, 2015, as amended, and other accounting principles generally accepted in India, which have been approved by the Board of Directors at their meeting held on July 22, 2026.
b. Audited Consolidated Financial Statements of the Group as at and for the year ended March 31, 2025 prepared in accordance with the Indian Accounting Standards (referred to as "Ind AS") as prescribed under Section 133 of the Act read with Companies (Indian Accounting Standards) Rules, 2015, as amended, and other accounting principles generally accepted in India, which have been approved by the Board of Directors at their meeting held on August 01, 2025.
c. Audited Consolidated Financial Statements of the Group as at and for the year ended March 31, 2024 prepared in accordance with the Indian Accounting Standards (referred to as "Ind AS") as prescribed under Section 133 of the Act read with Companies (Indian Accounting Standards) Rules, 2015, as amended, and other accounting principles generally accepted in India, which have been approved by the Board of Directors at their meeting held on

5. For the purpose of our examination, we have relied on:

a. Auditors report issued by us dated July 22, 2026 on the consolidated financial statements of the Group as at and for the year ended March 31, 2026 as referred in Paragraph 4(a) above. The auditors report on the Consolidated Financial Statements of the Group as at and for the year ended March 31, 2026 included the following Other Matter paragraph;

(i) We did not audit the financial statements and other financial information, in respect of 2 subsidiaries as mentioned in Annexure A, whose financial statements include total assets of ? 16,675.07 Lakhs as on March 31, 2026, total revenues of ? 25,556.04 Lakhs, total comprehensive income of ? 754.45 Lakhs and net cash inflows of ? 1,229.51 Lakhs for the year ended on that date. These financial statements and other financial information have been audited by other auditors, which have been furnished to us by the management along with the Auditors Report thereon. Our opinion on the Consolidated Financial Statements, in so far as it relates to the amounts and disclosures included in respect of these subsidiaries, and our report in terms of sub-section (3) of Section 143 of the Act, in so far as it relates to the aforesaid subsidiaries is based solely on the report(s) of such other auditors.

(ii) Further, of these subsidiaries, 1 subsidiary is located outside India whose financial statements and other financial information have been prepared in accordance with accounting principles generally accepted in their country and which have been audited by other auditor under generally accepted auditing standards applicable in their country. The Parents management has converted the financial statements of such subsidiary located outside India from accounting principles generally accepted in its country to accounting principles generally accepted in India. We have audited these conversion adjustments made by the Parents management. Our opinion in so far as it relates to the balances and affairs of such subsidiary located outside India is based on the report of other auditor and the conversion adjustments prepared by the management of the Parent and audited by us.

Further, the auditors report on the consolidated financial statements of the Group as at and for the year ended March 31, 2026 included under the Report on Other Legal and Regulatory Requirements (as referred to Note 76 of Part B(A) of the Restated Consolidated Financial Information) as follows:

In our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books, except for the matters stated in the paragraph 2(j) below of the Companies (Audit and Auditors) Rules, 2014.

Based on our examination, which included test checks, and based on the consideration of the reports of the other auditors referred to in the Other Matter paragraph, the parent and its subsidiaries, which are companies incorporated in India have used accounting software systems for maintaining their respective books of account, which have a feature of recording audit trail (edit log) facility, and the same has operated throughout the year for all relevant transactions recorded in the respective software, except that:

In respect of the Parent and 2 subsidiary companies, the audit trail feature was operated at the application level throughout the year. However, the audit trail at the database level is not enabled.

Further, during the course of our audit and based on the reports of the other auditors, we / the other auditors did not come across any instance of the audit trail feature being tampered with on accounting software where this feature is enabled.

b. Auditors reports issued by us dated August 01, 2025 on the consolidated financial statements of the Group as at and for the year ended March 31, 2025 as referred in Paragraph 4(b) above. The auditors report on the Consolidated Financial Statements of the Group as at and for the year ended March 31, 2025 included the following Other Matter paragraph:

(i) We did not audit the financial statements and other financial information, in respect of 2 subsidiaries as mentioned in Annexure A, whose financial statements include total assets of ? 15,870.16 Lakhs as on March 31, 2025, total revenues of ? 12,524.74 Lakhs, total comprehensive loss of ? 382.56 Lakhs and net cash outflows of ? 810.26 Lakhs for the year ended on that date. These financial statements and other financial information have been audited by other auditors, which have been furnished to us by the management along with the Auditors Report thereon. Our opinion on the Consolidated Financial Statements, in so far as it relates to the amounts and disclosures included in respect of these subsidiaries, and our report in terms of sub-section (3) of Section 143 of the Act, in so far as it relates to the aforesaid subsidiaries is based solely on the report(s) of such other auditors.

Further, the auditors report on the consolidated financial statements of the Group as at and for the year ended March 31, 2025 included under the Report on Other Legal and Regulatory Requirements (as referred to Note 76 of Part B(A) of the Restated Consolidated Financial Information) as follows:

In our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books, except that the backup of the books of account and other relevant books and papers in electronic mode has been kept on servers physically located in India on a periodical/incremental basis and for the matters stated in the paragraph 2(j) below of the Companies (Audit and Auditors) Rules, 2014.

Based on our examination, which included test checks and that performed by the respective auditors of the subsidiaries, which are companies incorporated in India whose financial statements have been audited under the Act, the Group, have used accounting software for maintaining their books of account which have a feature of recording audit trail (edit log) facility and that has operated throughout the year for all relevant transactions recorded in the software, except for the following instances:

I) In two subsidiaries, at the database level, in case of certain accounting software, the audit trail is editable.
II) In one of the subsidiaries audit trail feature was only enabled and operated from September 26, 2024, to March 31, 2025.

During the course of performing our procedures and that performed by the respective auditors of the subsidiary, except for the aforesaid instances of audit trail not maintained where the question of our commenting on whether the audit trail feature has been tampered with does not arise. We and the respective auditors of the above referred subsidiary did not notice any instance of the audit trail feature being tampered with.

Furthermore, the audit trail has been preserved by the group as per the statutory requirements for record retention for the entire period from April 1, 2023 except that:

a) In case of three entities, the audit trail retention at the database level is available only from April 12, 2023, and at the application level only from October 2023.
b) In one of the entities, the audit trail has not been preserved by the company as per the statutory requirements for record retention for the period from April 01, 2024, to September 25, 2024.

c. Auditors reports issued by us dated September 04, 2024 on the consolidated financial statements of the Group as at and for the year ended March 31, 2024 as referred in Paragraph 4(c) above. The auditors report on the Consolidated Financial Statements of the Group as at and for the year ended March 31, 2024 included the following Other Matter paragraph:

(i) We did not audit the financial statements and other financial information, in respect of 3 subsidiaries as mentioned in Annexure A, whose financial statements include total assets of ? 26,702.37 Lakhs as on March 31, 2024, total revenues of ? 59,651.79 Lakhs, total comprehensive loss of ? 660.13 Lakhs and net cash inflows of ? 828.89 Lakhs for the year ended on that date. These financial statements and other financial information have been audited by other auditors, which have been furnished to us by the management along with the Auditors Report thereon. Our opinion on the Consolidated Financial Statements, in so far as it relates to the amounts and disclosures included in respect of these subsidiaries, and our report in terms of sub-section (3) of Section 143 of the Act, in so far as it relates to the aforesaid subsidiaries is based solely on the report(s) of such other auditors.

(ii) The Consolidated comparative financial information of the group for the year ended March 31, 2023 prepared prior to effective date of the business combination of amalgamating entities under common control referred to in Note 58 of the financial statements were audited by the predecessor auditor (The reports of A-One Steels India Private Limited and Aaryan Hitech Steels Private Limited were dated September 29, 2023 and September 27, 2023 respectively, expressed an unmodified opinion). The previously issued financial information have been restated to comply with Ind AS 103 Appendix C for Business combinations of entities under common control and included in these financial statements as comparative financial information. The management has provided approved and adopted consolidated financial statements of amalgamated entity for the financial year 2022-23. The adjustments made to the previously issued financial information to comply with the said Ind AS have been audited by us.

Further, the auditors report on the consolidated financial statements of the Group as at and for the year ended March 31, 2024 included under the Report on Other Legal and Regulatory Requirements (as referred to Note 76 of Part B(A) of the Restated Consolidated Financial Information) as follows:

In our opinion, proper books of account as required by law have been kept by the Company so far as it appears from our examination of those books, except that the backup of the books of account and other relevant books and papers in electronic mode has been kept on servers physically located in India on a periodical/incremental basis and for the matters stated in the paragraph 1(h) below of the Companies (Audit and Auditors) Rules, 2014 as below:

Based on our examination, which included test checks and that performed by the respective auditors of the subsidiaries, which are companies incorporated in India whose financial statements have been audited under the Act, the Parent Company, its subsidiaries, incorporated in India have used accounting software for maintaining books of account which have a feature of recording audit trail facility and that have operated throughout the year for all relevant transactions recorded in the software, except, where the accounting software did not have audit trail feature enabled throughout the year, in case of 3 units in parent company and in one subsidiary company.

6. The audit of the Companys subsidiary as at and for the financial years ended March 31, 2026 and March 31, 2025 was conducted by another auditor and accordingly reliance has been placed on the restated statement of assets and liabilities, the restated statement of profit and loss (including other comprehensive income), restated statement of changes in equity and cash flow statement, the statement of significant accounting policies, and other explanatory information (the "Subsidiary Restated Statements") examined by the said auditor for the said periods. The examination report included for the said period is based solely on the examination report submitted by the other auditor. The other auditor has also confirmed that the Subsidiary Restated Statements:

a) Have been prepared after incorporating adjustments for the changes in accounting policies, material errors and regrouping/reclassifications retrospectively in the financial years ended March 31, 2025 to reflect the same accounting treatment as per the accounting policies and grouping/classifications followed as at and for the year ended March 31, 2026.
b) Does not contain any qualifications requiring adjustments; and
c) Have been prepared in accordance with the Act, ICDR Regulations and the Guidance Note.

7. Based on our examination and according to the information and explanations given to us as at and for the years ended March 31, 2026, March 31, 2025 and March 31, 2024 and also as per the reliance placed on the examination report submitted by another auditor as at and for the years ended March 31, 2026 and March 31, 2025 in respect of the Companys subsidiary, we report that the Restated Consolidated Financial Information of the group:

a) Have been prepared after incorporating adjustments for the changes in accounting policies, material errors and regrouping/reclassifications retrospectively in the financial years ended March 31, 2025 and March 31, 2024, to reflect the same accounting treatment as per the accounting policies and grouping/classifications followed as at and for the year ended March 31, 2026, as more fully described in Note 76 to the restated consolidated financial information.

9. The Restated Consolidated Financial Information do not reflect the effects of events that occurred subsequent to the respective dates of the reports on the audited consolidated financial statements mentioned in Paragraph 4 above.
10. We have no responsibility to update our report for events and circumstances occurring after the date of the report.

12. Our report is intended solely for use of the Board of Directors for inclusion in the RHP/Prospectus to be filed with Securities and Exchange Board of India, BSE Limited, National Stock Exchange of India Limited and Registrar of Companies, Karnataka at Bangalore in connection with the proposed IPO. Our report should not be used, referred to, or distributed for any other purpose except with our prior consent in writing. Accordingly, we do not accept or assume any liability or any duty of care for any other purpose or to any other person to whom this report is shown or into whose hands it may come without our prior consent in writing.

Details of subsidiaries which are audited by other auditors for the respective years as referred to in the audit report