Bombay Coated and Special Steels Ltd Management Discussions

AThe overall annual capacity of our manufacturing facilities has been computed at 50%, representing its operational capacity for half of the fiscal year.

c) Location of Our Manufacturing Facilities

Our manufacturing facilities are located near major industrial clusters across western, northern and southern India. The location of our facilities enables us to supply products to customers on a timely basis and manage logistics costs. Our ability to effectively operate and utilise these facilities influences our operating costs and results of operations.

d) Seasonality in Demand

A portion of our processed steel products is supplied to customers in the Home and Commercial Appliances sector. Demand in this sector is subject to seasonal variations, with higher demand generally observed during the second half of the fiscal year. Seasonal variations may result in differences in revenue, capacity utilisation and profitability across quarters. Accordingly, results for any particular quarter may not be indicative of results for the full fiscal year.

e) Working Capital Requirements and Inventory Management

Our operations require working capital for procurement of raw materials, processing activities, inventory management and extension of credit to customers. We generally extend credit to customers in the Home and Commercial Appliances and General Engineering sectors, which affects our working capital cycle. Any increase in customer credit periods or reduction in supplier credit periods may increase our working capital requirements. Further, we maintain inventory and provide justin-time deliveries based on customer demand forecasts. Delays by customers in taking delivery of processed products may result in higher inventory levels, increased holding costs and delays in receipt of payments, which may adversely affect our liquidity and results of operations.

f) Dependence on Demand from Home and Commercial Appliances and General Engineering Sectors

A substantial portion of our revenue is derived from customers operating in the Home and Commercial Appliances and General Engineering sectors. Demand for our products depends on factors affecting these sectors, including macroeconomic conditions, consumer demand and industry growth trends. Any reduction in demand from these sectors may lead to lower sales volumes, higher inventory levels and increased holding costs, which may adversely affect our results of operations and financial condition.

g)

Substantially dependent on a single supplier, JSW Steel Coated Products Limited and/or its holding Company (“JSWSCPL ”)

We source a significant portion of our steel coil requirements from JSW Coated Products Limited (“JSWSCPL”), with whom we have an authorised service partner arrangement. Any disruption in supply, adverse developments affecting JSWSCPL or inability to continue this arrangement on commercially acceptable terms may affect our raw material procurement, disrupt our operations and adversely affect our results of operations.

The details of our raw material purchases are set out below:

(in Rs million except for percentages)

h) Government Policies and Regulatory Environment

The steel processing industry in India is subject to government policies and regulations relating to import and export duties, trade measures and other regulatory requirements. Changes in these policies may affect the cost of raw materials, pricing of products and overall competitiveness. Any adverse changes in government policies or regulations may affect our results of operations.

i) Operational Risks at Manufacturing Facilities

Our manufacturing facilities are subject to operational risks, including equipment breakdowns, power supply interruptions, labour-related issues, natural disasters and industrial accidents. Any unplanned or prolonged disruption of operations at our facilities may result in delays in deliveries, loss of production and increased costs, which may adversely affect our results of operations and financial condition.

j) Competition

We operate in a competitive environment and face competition from other steel processing companies. Competition is based on factors such as pricing, quality, delivery timelines and credit terms. Increased competition or our inability to compete effectively may adversely affect our sales, margins and results of operations.

Significant Accounting Policies

The significant accounting policies adopted in the preparation of our Financial Statements are set forth below. These policies have been consistently applied to all the years presented, unless otherwise stated. To review all our accounting policies, please see “Restated Financial Information · Annexure IV · “Significant Accounting Policies and Explanatory notes on Financial Statements ” on page 312.

1. CORPORATE INFORMATION

Bombay Coated And Special Steels Limited is a public Company domiciled in India originally incorporated as Bombay Coated And Special Steels Private Limited and the name of our Company was subsequently changed to “Bombay Coated And Special Steels Limited”, upon conversion of the Company from a private limited to a public limited company, pursuant to a board resolution dated January 21, 2025, and a shareholders resolution dated January 22, 2025, and a fresh certificate of incorporation was issued on February 14, 2025 by the Registrar of Companies, Central Processing Centre, being corporate identification number CIN: U27209MH2019PLC335077. The Company is a limited Company incorporated under the provisions of the Companies Act, 2013.

2. SIGNIFICANT ACCOUNTING POLICIES & NOTES ON FINANCIAL STATEMENT:

2.1 Statement of Compliance and Basis of Preparation

The Restated Financial Information of the Company comprises of the Restated Statement of Assets and Liabilities as at June 30, 2026, March 31, 2026, March 31, 2025 and March 31, 2024, the Restated Statement of Profit and Loss (including Other Comprehensive Income), the Restated Statement of Changes in Equity for the period ended June 30, 2026, March 31,2026, March 31,2025 and March 31,2024 and the Material Accounting Policies and other explanatory information relating to such financial periods (referred to collectively as “Restated financial Information”).

These Restated Financial Information have been prepared by the Management of the Company as required under the Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018, as amended (“ICDR Regulations”) issued by the Securities and Exchange Board of India (“SEBI”), in pursuance of the Securities and Exchange Board of India Act, 1992, for the purpose of inclusion in the Red Herring Prospectus (“DRHP”) in connection with the proposed Initial Public Offering of equity shares of face value of Rs 10 each of the Company comprising a fresh issue, prepared by the Company in terms of the requirements of:

a) Section 26 of Part I of Chapter III of the Companies Act, 2013 (“the Act”);

b) ICDR Regulations;

c) The Guidance Note on Reports in Company Prospectuses (Revised 2019) issued by the Institute of Chartered Accountants of India (ICAI) (the “Guidance Note”); and

The Restated Financial Information of the Company have been prepared to comply in all material respects with the Indian Accounting Standards (“Ind AS”) as prescribed under Section 133 of the Act read with the Companies (Indian Accounting Standards) Rules, 2015 (as amended from time to time), presentation requirements of Division II of Schedule III of the Act, as applicable to the financial statements and other relevant provisions of the Act.

The Restated Financial Information of the Company were authorized for issue by the Board of Directors at their meeting held on September 23, 2026.

These Restated Financial Information of the Company have been compiled from:

Audited Ind AS Financial Statements of the Company as at and for Period/year ended 30th June 2026, 31st March 2026 and 31st March 2025 are prepared in accordance with recognition and measurement principles under Ind AS as specified under section 133 of the Act and other accounting principles generally accepted in India and presentation requirements of Division II of Schedule III of the Act which have been approved by the Board of Directors at their meeting held on September 23, 2026, May 28, 2026 and September 03, 2025 previously on which the Auditors have expressed an unmodified opinion.

(a) Audited Special Purpose Ind AS Financial Statements of the Company as at and for the years ended 31st March 2024 which were prepared by the Company after taking into consideration the requirements of the ICDR Regulations in accordance with Ind 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 and which have been approved by the Board of Directors of the Company at their meeting held on 3rd January, 2026 on which the Auditors have expressed an unmodified opinion.

(b) The financial information for the years ended March 31, 2024 included in the special purpose Ind AS financial statements are based on the previously issued statutory financial statements prepared for the years ended March 31, 2026, March 31, 2025 and March 31, 2024 in accordance with the Companies (Accounting Standard) Rules, 2006 & audited and reported by statutory auditor, M/s. Shah, Shah & Shah, Chartered Accountants having Firm Registration Number - 116457W, has issued an unmodified audit opinion vide audit report dated September 02, 2024, respectively, and which has been translated into figures as per Ind AS after incorporating Ind AS adjustments to align accounting policies, exemptions and disclosures as adopted by the Company.

The Company has prepared its financial statements in accordance with accounting standards notified under Section 133 of the Act, read together with paragraph 7 of the Companies (Accounts) Rules, 2014 (“Indian GAAP” or “Previous GAAP”) due to which the Special purpose Ind AS financial statements were prepared for the purpose of Initial Public Offer (IPO).

The financial statement for the year ended March 31, 2025 is the first set of Financial Statements prepared in accordance with the requirements of IND AS 101 - First time adoption of Indian Accounting Standards. Accordingly, the transition date to IND AS is April 01, 2023. Up to the Financial year ended March 31, 2024 the Company prepared its financial statements in accordance with accounting standards notified under the Section 133 of the Act, read together with paragraph 7 of the Companies (Accounts) Rules, 2014 (“Indian GAAP” or “Previous GAAP”) due to which the Special purpose Ind AS financial statements were prepared for the purpose of Initial Public Offer (IPO).

The Audited Special Purpose Ind AS Financial Statements for the year ended March 31, 2024 have been prepared after making suitable adjustments to the accounting heads from their Indian GAAP values following the accounting policy choices (both mandatory exceptions and optional exemptions availed as per Ind AS 101 as at the transition date and as per the presentation, accounting policies and grouping/classifications followed as at and for the year ended on March 31, 2025. Adjustments made to the previously issued Indian GAAP Financial Statements to comply with Ind AS have been audited by existing statutory auditors, M/s. Shah, Shah & Shah, Chartered Accountants. The basis of preparation for specific items where exemptions have been applied and reconciliation between Indian GAAP and Ind AS has been disclosed in Note 47 of the Restated Financial Information.

These Audited Special Purpose Ind AS Financial Statements as at and for the year ended March 31, 2024 and March 2023 are not the statutory financial statements under the Companies Act, 2013.

The accounting policies have been consistently applied by the Company in preparation of the Restated Financial Information and are consistent with those adopted in the preparation of Audited Ind AS Financial Statements as at and for the period ended 30th June, 2026.

These Restated Financial Information have been prepared on a going concern basis.

These Restated Financial Information does not reflect the effects of events that occurred subsequent to the respective dates of the board meeting held for the approval of the Financial Statements as at and for the period ended June 30, 2026 and years ended March 31, 2026, March 31, 2025 and March 31, 2024 as mentioned above.

The Restated Financial Information:

a) Have been prepared after incorporating adjustments for the changes in accounting policies, material errors and regrouping/reclassifications retrospectively in the period ended/ financial years ended June 30, 2026, March 31, 2026, 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.

b) Do not require any adjustment for modification as there is no modification in the underlying audit reports; and

c) Have been prepared in accordance with the Act, ICDR Regulations and the Guidance Note.

All amounts included in the Restated Financial Information are presented in Indian Rupees (“INR” or “Rs ”), which is also the Companys functional currency and all values are stated as INR or Rs million rounded of up to two decimals, except when otherwise indicated.

2.2 Basis of preparation and presentation: Historical cost convention:

The Restated Financial Information of the Company have been prepared on a historical cost basis, except for the following assets and liabilities which have been measured at fair value:

a) Certain financial assets and liabilities measured at fair value (refer accounting policy regarding financial instruments) and

b) Defined benefits plan- plan assets are measured at fair value.

Current versus non-current classification:

The Company presents assets and liabilities in the balance sheet based on current/ non-current classification.

• An asset is treated as current when it is:

• Expected to be realized or intended to be sold or consumed in normal operating cycle; or

• Held primarily for the purpose of trading; or

• Expected to be realized within twelve months after the reporting period; or

• Cash or cash equivalent unless restricted from being exchanged or used to settle a liability for at least twelve months after the reporting period All other assets are classified as non-current.

A liability is current when:

• It is expected to be settled in normal operating cycle; or

• It is held primarily for the purpose of trading; or

• It is due to be settled within twelve months after the reporting period; or

• There is no unconditional right to defer the settlement of the liability for at least twelve months after the reporting period.

All other liabilities are classified as non-current.

Deferred tax assets and liabilities are classified as non-current assets and liabilities respectively.

The operating cycle is the time between the acquisition of assets for processing and their realization in cash and cash equivalents. The Company has identified twelve months as its operating cycle.

2.3 Key accounting judgments, estimates and assumptions:

The preparation of the Restated Financial Information in conformity with Ind AS requires management to make estimates, judgements and assumptions. These estimates, judgements and assumptions affect the application of accounting policies and the reported amounts of assets and liabilities, the disclosures of contingent assets and liabilities at the date of the Restated Financial Information and the reported amounts of revenues and expenses during the period. Application of accounting policies that require critical accounting estimates involving complex and subjective judgements and the use of assumptions in these Restated Financial Information have been disclosed in the notes below:

A. Judgments:

In the process of applying Companys accounting policies, management has made the following judgments, which have the most significant effect on the amounts recognised in the Restated Financial Information.

(a) Leases:

The Company determines the lease term as the non-cancellable term of the lease, together with any periods covered by an option to extend the lease if it is reasonably certain to be exercised, or any periods covered by an option to terminate the lease, if it is reasonably certain not to be exercised.

The Company applies judgment in evaluating whether it is reasonably certain whether to exercise the option to renew or terminate the lease. That is, it considers all relevant factors that create an economic incentive for it to exercise either the renewal or termination. After the commencement date, the Company reassesses the lease term if there is a significant event or change in circumstances that is within its control and affects its ability to exercise or not to exercise the option to renew or to terminate (e.g., construction of significant leasehold improvements or significant customisation to the leased asset).

B. Estimates and assumptions:

Key sources of estimation

The preparation of financial statements in conformity with Ind AS requires that the management of the Company makes estimates and assumptions that affect the reported amounts of income and expenses of the period, the reported balances of assets and liabilities and the disclosures relating to contingent liabilities as of the date of the financial statements. The estimates and underlying assumptions made by management are explained under respective policies. Revisions to accounting estimates include useful lives of property, plant and equipment & intangible assets, allowance for expected credit loss, future obligations in respect of retirement benefit plans, expected cost of completion of contracts, fair value/recoverable amount measurement, etc. Difference, if any, between the actual results and estimates is recognised in the period in which the results are known.

The key assumptions concerning the future and other key sources of estimation uncertainty at the reporting date, that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities, are described below. Accounting estimates could change from period to period. Actual results could differ from these estimates. Appropriate changes in estimates are made as management becomes aware of changes in circumstances surrounding the estimates. Changes in estimates are reflected in the Restated Financial Information in the period in which changes are made and if material, then effects are disclosed in the notes to the Restated Financial Information.

(a) Taxes:

Uncertainties exist with respect to the interpretation of tax regulations, changes in tax laws, and the amount and timing of future taxable income. Given the wide range of business relationships differences arising between the actual results and the assumptions made, or future changes to such assumptions, could necessitate future adjustments to tax income and expense already recorded. The Company establishes provisions, based on reasonable estimates. The amount of such provisions is based on various factors, such as experience of previous tax audits and differing interpretations of tax regulations by the taxable entity and the responsible tax authority.

(b) Defined benefit plans:

The cost of defined benefit plans (i.e. gratuity benefit) is determined using actuarial valuations. An actuarial valuation involves making various assumptions which may differ from actual developments in the future. These include the determination of the discount rate, future salary increases, mortality rates and future pension increases. Due to the complexity of the valuation, the underlying assumptions and its long-term nature, a defined benefit obligation is highly sensitive to changes in these assumptions. All assumptions are reviewed at each reporting date. The same is disclosed in Note 29 “Employee Benefit Expenses”.

(a) Fair value measurement of financial instruments:

When the fair values of financial assets and financial liabilities recorded in the balance sheet cannot be measured based on quoted prices in active markets, their fair value is measured using valuation techniques, including the discounted cash flow (DCF) model, which involve various judgements and assumptions.

(b) Property, plant and equipment:

Property, plant and equipment represents significant portion of the asset base of the Company. The charge in respect of periodic depreciation is derived after determining an estimate of assets expected useful life and expected value at the end of its useful life. The useful life and residual value of Companys assets are determined by management at the time asset is acquired and reviewed periodically including at the end of each reporting period. The useful life is based on historical experience with similar assets, in anticipation of future events, which may have impact on their life such as change in technology or commercial obsolescence arising from changes or improvements in production or from a change in market demand of the product or service output of the asset.

2.4 Material Accounting Policies:

(A) Property, Plant and Equipment

(i) Recognition and Measurement:

An item of property, plant and equipment that qualifies as an asset is measured on initial recognition at its cost. Following the initial recognition, all items of property, plant and equipment are measured at cost, less accumulated depreciation, and accumulated impairment losses, if any. The cost of an item of property, plant and equipment comprises its purchase price, including import duties and non-refundable purchase taxes or levies, directly attributable cost of bringing the item to its working condition for its intended use and the initial estimate of decommissioning, restoration and similar liabilities, if any. Such cost also includes the cost of replacing part of the property, plant and equipment and borrowing costs for long-term construction projects if the recognition criteria are met. Other Indirect expenses incurred relating to project, net of income earned during the project development stage prior to its intended use, are considered as pre-operative expenses and disclosed under Capital Work-in- Progress. Items such as spare parts, stand-by equipment and servicing equipment that meet the definition of property, plant and equipment are capitalised at cost and depreciated over their useful life.

If significant parts of an item of property, plant and equipment have different useful lives, then they are accounted for as separate items (major components) of property, plant and equipment. The Management of respective companies have carried out the technical review for identification of significant components with different useful life with that of useful life of the original assets to which it belongs. However, based on technical analysis, it has been noticed that the useful life of the significant components is more or less remain the same with that of the original assets to which it belongs so no separate useful life are assigned to significant components. All the significant components are depreciated based on the same useful life with that of original assets to which it belongs.

(ii) Subsequent Expenditure:

Subsequent expenditure is capitalised only if it is probable that the future economic benefits associated with the expenditure will flow to the Company and cost of the item can be measured reliably.

(iii) Depreciation:

Depreciation on items of property, plant and equipment is provided to the extent of depreciable amount on the Streight Line Method (SLM) Method. Depreciation is provided by the Company based on useful life of the assets as prescribed in Schedule II of the Act. Freehold land is not depreciated. Useful Life considered for calculation of depreciation for various class of assets are as under:

The useful lives, residual values of each part of an item of property, plant and equipment and the depreciation methods are reviewed at the end of each reporting period. If any of these expectations differs from previous estimates, such change is accounted for as a change in an accounting estimate and adjusted prospectively.

(iv) De-recognition:

The carrying amount of an item of property, plant and equipment is derecognised on disposal or when no future economic benefits are expected from its use or disposal.

Gains or losses arising from de-recognition of property, plant and equipment are measured as the difference between the net disposal proceeds and the carrying amount of the asset and are recognised in the statement of profit and loss when the asset is derecognised.

(v) Capital Work-in-Progress (CWIP)

Projects under which tangible assets are not yet ready for their intended use and other capital work-in-progress are carried at cost, comprising direct cost, related incidental expenses and attributable borrowing costs. Advances given towards acquisition of fixed assets outstanding at each balance sheet date are disclosed as other non-current assets and not included as a part of capital work-in-progress. Costs incurred during the period of implementation of a project, till it is commissioned, is accounted as capital work-in-progress and after commissioning the same is transferred/allocated to the respective item of property, plant and equipment.

(B) Intangible Assets

(i) Recognition and Measurement

Intangible assets are recognised when it is probable that the future economic benefits that are attributable to the assets will flow to the Company and the cost of the asset can be measured reliably. Intangible assets are initially measured at cost. Such intangible assets are subsequently measured at cost less accumulated amortisation and any accumulated impairment losses.

(ii) Subsequent Expenditure

Subsequent expenditure is capitalised only when it increases the future economic benefits embodied in the specific asset to which it relates. All other expenditure is recognised in statement of profit and loss in the period in which expenditure is incurred.

(iii) Amortization

Intangible assets with finite lives are amortised over the estimated useful economic life using the Streight Line Method (SLM) Method. The amortisation expense on intangible assets with finite lives is recognised in the statement of profit and loss. The estimated useful life of intangible assets as determined by the Company as per Schedule II of the Act.

(C) Leases

The Company evaluates if an arrangement qualifies to be a lease as per the requirements of Ind AS 116. Identification of a lease requires significant judgment.

The Company uses judgment in assessing whether a contract (or part of contract) include a lease, the lease term (including anticipated renewals), the applicable discount rate, variable lease payments whether are in-substance fixed. The judgment involves assessment of whether the asset included in the contract is a fully or partly identified asset based on the facts and circumstances, whether the contract include a lease and non-lease component and if so, separation thereof for the purpose of recognition and measurement, determination of lease term basis, inter alia the non-cancellable period of lease and whether the lessee intends to opt for continuing with the use of the asset upon the expiry thereof, and whether the lease payments are fixed are variable or a combination of both.

The determination of whether an arrangement is (or contains) a lease is based on the substance of the arrangement at the inception of the lease. The arrangement is, or contains, a lease if fulfilment of the arrangement is dependent on the use of a specific asset or assets and the arrangement conveys a right to use the asset or assets, even if that right is not explicitly specified in an arrangement.

For arrangements entered prior to transition date, the Company has determined whether the arrangement contain lease on the basis of facts and circumstances existing on the date of transition.

(i) Right of Use Assets

The Company recognises right-of-use assets at the commencement date of the lease (i.e., the date the underlying asset is available for use). Right-of-use assets are measured at cost, less any accumulated depreciation and accumulated impairment losses, and adjusted for any re- measurement of lease liabilities. The cost of right-of-use assets includes the amount of lease liabilities recognised, initial direct costs incurred, and lease payments made at or before the commencement date less any lease incentives received. Right-of-use assets are depreciated on a straight-line basis over the unexpired period of lease.

(ii) Lease Liabilities

At the commencement date of the lease, the Company recognises lease liabilities measured at the present value of lease payments to be made over the lease term. The lease payments include fixed payments (including in substance fixed payments) less any lease incentives receivable, variable lease payments that depend on an index or a rate, and amounts expected to be paid under residual value guarantees. In calculating the present value of lease payments, the Company uses its incremental borrowing rate at the lease commencement date because the interest rate implicit in the lease is not readily determinable. After the commencement date, the amount of lease liabilities is increased to reflect the accretion of interest and reduced for the lease payments made. In addition, the carrying amount of lease liabilities is re-measured if there is a modification, a change in the lease term, or a change in the lease payment

(iii) Short-term leases and leases of low-value assets

The Company applies the short-term lease recognition exemption to its short-term leases (i.e., those leases that have a lease term of 12 months or less from the commencement date and do not contain a purchase option). Further the above lease also qualifies for low-value assets recognition exemption as they are of low-value. Lease payments on short-term leases and leases of low-value assets are recognised as expense on a straight-line basis over the lease term.

2.5 Financial Assets

(i) Initial Recognition and Measurement

All financial assets are initially recognised at fair value. Transaction costs that are directly attributable to the acquisition or issue of financial assets, which are not at Fair Value Through Profit or Loss (FVTPL), are adjusted to the fair value on initial recognition. Purchase and sale of financial assets are recognised using trade date accounting.

(ii) Subsequent Measurement

(a) Financial Assets measured at Amortised Cost (AC)

A Financial asset is subsequently measured at amortised cost if it meets the following criteria:

i. the asset is held within a business model whose objective is to hold the asset in order to collect contractual cash flows, and

ii. the contractual terms of the financial asset give rise on a specified date to cash flows that are solely payments of principal and interest on the principal outstanding.

(b) Financial Assets measured at Fair Value Through Other Comprehensive Income (FVTOCI)

A Financial Asset is measured at FVTOCI, if it meets the following criteria:

i. the asset is held within a business model whose objective is achieved by both collecting contractual cash flows and selling financial assets, and

ii. the contractual terms of the financial asset give rise on specified dates to cash flows that represents solely payments of principal and interest on the principal amount outstanding.

The Company has made an irrevocable election for its investments which are classified as equity instruments to present the subsequent changes in fair value in other comprehensive income based on its business model.

On de-recognition of such financial assets, cumulative gain or loss previously recognised in other comprehensive income is not reclassified from the equity to statement of profit and loss.

(c) Financial Assets measured at Fair Value through Profit or Loss (FVTPL)

A financial asset which is not classified in any of the above categories are measured at FVTPL. These assets are subsequently measured at fair value. Net gains and losses, including any interest or divided income, are recognised in profit or loss.

Financial assets are reclassified subsequent to their recognition, if the Company changes its business model for managing those financial assets. Changes in business model are made and applied prospectively from the reclassification date which is the first day of immediately next reporting period following the changes in business model in accordance with principles laid down under Ind AS 109 Financial Instruments.

(d) Other Equity Investments

All other equity investments are measured at fair value, with value changes recognised in statement of profit and loss, except for those equity investments for which the Company has elected to present the value changes in other comprehensive income. However, dividend on such equity investments is recognised in statement of profit and loss when the Company right to receive payment is established.

(e) Impairment of Financial Assets

In accordance with Ind AS 109, the Company (ECL) model, for evaluating impairment of financial assets other than those measured at Fair Value Through Profit and Loss (FVTPL). Expected credit losses are measured through a loss allowance at an amount equal to:

The 12-months expected credit losses (expected credit losses that result from those default events on the financial instrument that are possible within 12 months after the reporting date); or Full lifetime expected credit losses (expected credit losses that result from all possible default events over the life of the financial instrument).

For trade receivables the Company applies "simplified approach" which requires expected lifetime losses to be recognised from initial recognition of the receivables. The Company uses historical default rates to determine impairment loss on the portfolio of trade receivables. At every reporting date these historical default rates are reviewed and changes in the forward looking estimates are analysed.

For other assets, the Company uses 12-month ECL to provide for impairment loss where there is no significant increase in credit risk. If there is significant increase in credit risk, full lifetime ECL is used.

2.6 Financial Liabilities

(i) Initial Recognition and Measurement

All financial liabilities are recognised at fair value and in case of borrowings, net of directly attributable cost. Fees of recurring nature are directly recognised in the statement of profit and loss as finance cost.

(ii) Subsequent Measurement

Financial liabilities are carried at amortised cost using the effective interest method. For trade and other payables maturing within one year from the balance sheet date, the carrying amounts approximate fair value due to the short maturity of these instruments.

(iii) De-recognition of Financial Instruments

The Company derecognises a financial asset when the contractual rights to the cash flows from the financial asset expire or it transfers the financial asset and the transfer qualifies for de- recognition under Ind AS 109. If the Company retains substantially all the risks and rewards of ownership of a transferred financial asset, the Company continues to recognize the financial asset and also recognizes a borrowing for the proceeds received.

A financial liability (or a part of a financial liability) is derecognised from the balance sheet when the obligation specified in the contract is discharged or cancelled or expired.

(iv) Offsetting

Financial assets and financial liabilities are offset and the net amount is presented in the balance sheet when, and only when, the Company has a legally enforceable right to set off the amount and it intends, either to settle them on a net basis or to realise the asset and settle the liability simultaneously.

2.7 Fair Value Measurement

The Company measures financial instruments, such as, investments, derivatives at fair value at each balance sheet date.

Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. The fair value measurement is based on the presumption that the transaction to sell the asset or transfer the liability takes place either:

• In the principal market for the asset or liability,

• In the absence of a principal market, in the most advantageous market for the asset or liability. The principal or the most advantageous market must be accessible by the Company.

The fair value of an asset or a liability is measured using the assumptions that market participants would use when pricing the asset or liability, assuming that market participants act in their best economic interest. The Company uses valuation techniques that are appropriate in the circumstances and for which sufficient data are available to measure fair value, maximizing the use of relevant observable inputs and minimizing the use of unobservable inputs. All assets and liabilities for which fair value is measured or disclosed in the consolidated financial statements are categorized within the fair value hierarchy, described as follows, which gives highest priority to quoted prices in active markets and the lowest priority to unobservable inputs.

Level 1: Quoted (unadjusted) market prices in active markets for identical assets or liabilities.

Level 2: Valuation techniques for inputs other than quoted prices included within Level 1 that are observable for the asset or Liability either directly or indirectly.

Level 3: Valuation techniques for inputs that are unobservable for the asset or liability.

For the purpose of fair value disclosures, the Company has determined classes of assets and liabilities on the basis of the nature, characteristics and risks of the asset or liability and the level of the fair value hierarchy as explained above.

2.8 Impairment of Non-Financial Assets

The company non-financial assets, other than inventories and deferred tax assets, are reviewed at each reporting date to determine whether there is any indication of impairment. If any such indication exists, then the assets recoverable amount is estimated.

For impairment testing, assets that do not generate independent cash inflows are grouped together into cash generating units (CGUs). Each CGU represents the smallest group of assets that generates cash inflows that are largely independent of the cash inflows of other assets or CGUs.

The recoverable amount of a CGU (or an individual asset) is the higher of its value in use and its fair value less costs to sell. Value in use is based on the estimated future cash flows, discounted to their present value using a pre-tax discount rate that reflects current market assessments of the time value of money and the risks specific to the CGU (or the asset).

The Company corporate assets (e.g., central office building for providing support to various CGUs) do not generate independent cash inflows. To determine impairment of a corporate asset, recoverable amount is determined for the CGUs to which the corporate asset belongs.

An impairment loss is recognised if the carrying amount of an asset or CGU exceeds its estimated recoverable amount. Impairment losses are recognised in the statement of profit and loss except for properties previously revalued with the revaluation surplus taken to other comprehensive income. For such properties, the impairment is recognised in other comprehensive income up to the amount of any previous revaluation surplus. An impairment loss in respect of assets for which impairment loss has been recognised in prior periods, the Company reviews at each reporting date whether there is any indication that the loss has decreased or no longer exists. An impairment loss is reversed if there has been a change in the estimates used to determine the recoverable amount. Such a reversal is made only to the extent that the assets carrying amount does not exceed the carrying amount that would have been determined, net of depreciation or amortisation, if no impairment loss had been recognised.

2.9 Foreign Currencies Transactions and Translation

(i) Functional and Presentation Currency:

Items included in the financial statements are measured using the currency of the primary economic environment in which the entity operates (the functional currency). The Company Restated Financial Information are presented in Indian Rupee (INR) which is also the Companys Functional Currency.

(ii) Transactions and Balances:

On initial recognition, transactions in foreign currencies entered by the Company are recorded in the functional currencies, by applying to the foreign currency rate, the spot exchange rate between the functional currency and the foreign currency at the date of the transaction. Exchange differences arising on foreign exchange transactions settled during the period are recognised in the statement of profit and loss.

Foreign currency monetary items (Monetary assets and liabilities) outstanding of the Company as at the reporting date are translated using the exchange rates prevailing at such reporting dates. Non-monetary items that are measured at historical cost in a foreign currency, are translated using the exchange rate at the date of the transaction. Non-monetary items that are measured at fair value in a foreign currency, are translated using the exchange rates at the date when the fair value is measured.

In case of an asset, expense or income where a non-monetary advance is paid/received, the date of transaction is the date on which the advance was initially recognised. If there were multiple payments or receipts in advance, multiple dates of transactions are determined for each payment or receipt of advance consideration.

(iii) Exchange Differences:

Exchange differences arising out of these translations are recognised in the statement of profit and loss in the period in which they arise with exception of exchange differences arising on translation of non-monetary items measured at fair value is treated in line with the recognition of the gain or loss on the change in fair value of the item (i.e. translation differences on items whose fair value gain or loss is recognised in other comprehensive income or statement of profit and loss are also recognised in other comprehensive income or statement of profit and loss, respectively).

2.10 Cash and cash Equivalents

The Company considers all highly liquid financial instruments, which are readily convertible into known amounts of cash that are subject to an insignificant risk of change in value and having original maturities of three months or less from the date of purchase, to be cash equivalents. Cash and cash equivalents consist of balances with banks which are unrestricted for withdrawal and usage.

2.11 Provisions, Contingent Liabilities and Contingent Assets

Provisions are recognised when the Company has a present obligation (legal or constructive) as a result of a past event, it is probable that an outflow of resources embodying economic benefits will be required to settle the obligation and a reliable estimate can be made of the amount of the obligation. If the effect of the time value of money is material, provisions are discounted using a current pre-tax rate that reflects, when appropriate, the risks specific to the liability. When discounting is used, the increase in the provision due to the passage of time is recognised as a finance cost.

I. Contingent liability is:

a) a possible obligation that arises from past events and whose existence will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the entity or;

b) a present obligation that arises from past events but is not recognised because;

i. it is not probable that an outflow of resources embodying economic benefits will be required to settle the obligation or

ii. the amount of the obligation cannot be measured with sufficient reliability.

Disclosure of contingent liability is made when there is a possible obligation arising from past events, the existence of which will be confirmed only by the occurrence or non-occurrence of one or more uncertain future events not wholly within the control of the Company or a present obligation that arises from past events where it is either not probable that an outflow of resources embodying economic benefits will be required to settle or a reliable estimate of amount cannot be made.

A contingent asset is a possible asset that arises from the past events and whose existence will be confirmed only by the occurrence or non- occurrence of one or more of uncertain future events not wholly within the control of the entity. Contingent assets are disclosed in the Restated Financial Information by way of notes to accounts when an inflow of economic benefits is probable.

Refer note no. 35 for additional details of Contingent liabilities

2.12 Discontinued operations and non-current assets held for sale

Discontinued operation is a component of the Company that has been disposed of or classified as held for sale and represents a major line of business.

Non-current assets and disposal groups are classified as held for sale if their carrying amount is intended to be recovered principally through a sale (rather than through continuing use) when the asset (or disposal group) is available for immediate sale in its present condition subject only to terms that are usual and customary for sale of such asset (or disposal group) and the sale is highly probable and is expected to qualify for recognition as a completed sale within one year from the date of classification.

Non-current assets and disposal groups classified as held for sale are measured at lower of their carrying amount and fair value less costs to sell.

2.13 Revenue Recognition (Revenue from Contracts with Customers)

The Company derives revenue primarily from processing of Steel Coils.

(i) Sale of Goods & Services:

Revenue from contracts with customers is recognised when a performance obligation is satisfied by transfer of promised goods or services to a customer.

For performance obligation satisfied over time, the revenue recognition is done using input method by measuring the progress towards complete satisfaction of performance obligation. The progress is measured in terms of a proportion of actual cost incurred to- date, to the total estimated cost attributable to the performance obligation as it best depicts the transfer of control that occurs as costs are incurred.

The Company transfers control of a good or service over time and, accordingly, satisfies a performance obligation and recognises revenue over a period of time if any one of the following criteria is met:

(a) the customer simultaneously receives and consumes the benefits provided by the Companys performance as the Company performs; or

(b) the Companys performance creates or enhances an asset that the customer controls as the asset is created or enhanced; or

(c) the Companys performance does not create an asset with an alternative use to the Company, and the Company has an enforceable right to payment for performance completed to date, considering applicable legal precedents.

In all other cases, performance obligation is considered as satisfied at a point in time.

The revenue is recognised to the extent of transaction price allocated to the performance obligation satisfied. Transaction price is the amount of consideration to which the Company expects to be entitled in exchange for transferring goods or services to a customer excluding amounts collected on behalf of a third party.

(ii) Significant judgments are used in:

a) Determining the revenue to be recognised in case of performance obligation satisfied over a period of time; revenue recognition is done by measuring the progress towards complete satisfaction of performance obligation.

b) Determining the expected losses, which are recognised in the period in which such losses become probable based on the expected total contract cost as at the reporting date.

(iii) Revenue from operations:

Revenue includes adjustments made towards liquidated damages and variation wherever applicable. Escalation and other claims, which are not ascertainable/acknowledged by customers are not taken into account.

The Company does not expect to have any contracts where the period between the transfer of the promised goods or services to the customer and payment by the customer exceeds one year. As a consequence, it does not adjust any of the transaction prices for the time value of money.

(iv) Dividend and Interest Income:

Dividend income from investments is recognized when the Companys right to receive the payment has been established, which is generally when shareholders approve the dividend.

Interest income from a financial asset is recognised when it is probable that the economic benefits will flow to the Company and the amount of income can be measured reliably. Interest income is accrued on time basis, by reference to the principal outstanding and at the effective interest rate applicable.

For all debt instruments measured either at amortised cost or at fair value through other comprehensive income, interest income is recorded using the Effective Interest Rate (EIR), which is the rate that exactly discounts the estimated future cash payments or receipts over the expected life of the financial instrument or a shorter period, where appropriate, to the gross carrying amount of the financial asset or to the amortised cost of a financial liability. Interest income is included in other income in the statement of profit and loss.

(v) Government grants, subsidies and export incentives:

Government grants are recognised where there is reasonable assurance that the grant will be received and all attached conditions will be complied with.

Government grants relating to income are deferred and recognised in the profit or loss over the period necessary to match them with the costs that they are intended to compensate and presented within other income.

Government grants/subsidies relating to the purchase of property, plant and equipment are deducted from the Carrying amount of the Assets. The grant is recognised in the Statement of Profit and Loss over the useful life of the depreciable assets.

2.14 Inventories

Inventories have been valued on the following basis:

2.15 Provision for Current and Deferred Tax

(i) Current Tax: Current income-tax is measured at the amount expected to be paid to the tax authorities in accordance with the Income-tax Act, 1961 enacted in India and tax laws prevailing in the respective tax jurisdictions where the Company operates. The tax rates and tax laws used to compute the amount are those that are enacted or substantively enacted, at the reporting date.

(ii) Deferred tax: is provided in full, using the liability method, on temporary differences arising between the tax bases of assets and liabilities and their carrying amounts in the financial statements. However, deferred tax liabilities are not recognized if they arise from the initial recognition of goodwill. Deferred tax is determined using tax rates (and laws) that have been enacted or substantially enacted by the end of the reporting period and are expected to apply when the related deferred income tax asset is realized or the deferred income tax liability is settled.

(iii) Minimum Alternate Tax (MAT): Minimum Alternate Tax (MAT) is not applicable to the company as opted for Lower Taxation u/s 115BAA.

(iv) Presentation of Current and Deferred Tax:

Current and deferred tax are recognised as income or an expense in the statement of profit and loss, except when they relate to items that are recognised in other comprehensive income, in which case, the current and deferred tax income/expense are recognised in other comprehensive income.

The Company offsets current tax assets and current tax liabilities, where it has a legally enforceable right to set off the recognised amounts and where it intends either to settle on a net basis, or to realize the asset and settle the liability simultaneously. In case of deferred tax assets and deferred tax liabilities, the same are offset if the Company has a legally enforceable right to set off corresponding current tax assets against current tax liabilities and the deferred tax assets and deferred tax liabilities relate to income taxes levied by the same tax authority on the Company.

2.16 Borrowing Costs

Borrowing costs includes interest & exchange differences arising from foreign currency borrowings to the extent they are regarded as an adjustment to the interest cost.

Borrowing costs directly attributable to the acquisition, construction or production of an asset which necessarily take a substantial period of time to get ready for their intended use or sale are capitalized as part of the cost of that asset. All other borrowing costs are recognised as an expensed in the period in which they occur.

2.17 Segment Reporting

The Company identifies operating segments based on the dominant source, nature of risks and return and the internal organisation and management structure and for which discrete financial information is available. The CODM monitors the operating results of the segments for the purpose of making decisions about resource allocation and performance assessment.

The operating segment has been identified and reported taking into account its internal financial reporting, performance evaluation and organizational structure of its operations. Operating segment is reported in the manner evaluated by board, considered as chief operating decision maker under Ind AS 108 “Operating Segments”.

The Company has only one segment namely “processing of Steel Coils” under Indian Accounting Standards (Ind AS) 108 on operating segments.

2.18 Cash Flow Statement

Cash flows are reported using the indirect method, whereby profit/(loss) before extraordinary items and tax is adjusted for the effects of transactions of non-cash nature and any deferrals or accruals of past or future cash receipts or payments. The cash flows from operating, investing and financing activities of the Company are segregated based on the available information.

2.19 Event Occurring after the reporting period:

Where events occurring after the balance sheet date provide evidence of conditions that existed at the end of the reporting period, the impact of such events is adjusted within the financial statements. Otherwise, events after the balance sheet date of material size or nature are only disclosed.

2.20 Recent Indian Accounting Standards (Ind AS)

There are no new or amended standards issued but not effective as at the end of reporting period which may have a significant impact on the financials statements of the Company

2.21 First-Time Adoption of Ind AS

The Company has volunlarily adopted Indian Accounting Standards as notified by the Ministry of Corporate Affairs and the financial statement for the year ended 31st March 2025 is the first set of Financial Statements prepared in accordance with the requirements of IND AS 101- First time adoption of Indian Accounting Standards. Accordingly, the transition date to IND AS is 01st April 2023.

For all the periods up to and including the year ended 31st March 2024, the Company has prepared its annual financial statements in accordance with accounting standards notified under section 133 of the Companies Act 2013, read together with paragraph 7 of the Companies (Accounts) Rules, 2014 (Indian GAAP), due to which the Company has prepared its Special Purpose Ind AS Financial Statements for the purpose of Initial Public Offer (IPO) for the year ended March 31, 2024, March 31, 2023 having transition date 01st April 2022.

The Special purpose Ind AS Financial Statements as at and for the year ended 31 March 2024 and 31 March 2023 have been prepared after making suitable adjustments to the accounting heads from their Indian GAAP values following accounting policies and accounting policy choices (both mandatory exceptions and optional exemptions availed as per Ind AS 101) consistent with that used at the date of transition to Ind AS (1st April 2023) and as per the presentation, accounting policies and grouping/classifications including revised Schedule Ill disclosures followed as at and for the year ended 31st March 2025.

Ind AS 101 First Time adoption to Ind AS prescribes the accounting principles for first time adoption of Ind AS. It Jays downs various transition requirements when a Company adopts Ind AS for the first lime. The accounting under Ind AS should be applied retrospectively at the time of transition to Ind AS. However, Ind AS 101 grants limited exemptions from these requirements. The Mandatory and Optional exemptions opted by the Company are mentioned below.

The impact I effects of above transition to the equity as at 31 March 2024, 31 March 2023 and 1 April 2022 (Opening balance sheet date for Special purpose financial statements) and on total comprehensive income for the years ended 31 March 2024 and 31 March 2023 has been explained as under.

Given below are the mandatory exceptions and optional exemptions applied in transition from previous GAAP to Ind AS:

(a) Ind AS 101 allows first-time adopters certain exemptions from the retrospective application of certain requirements under Ind AS. The Company has applied the following exemptions:

I. Mandatory Exceptions

The Company has applied the following exceptions to the retrospective application of Ind AS as mandatorily required under Ind AS 101.

(b) Estimates:

As per Ind AS 101 an entitys estimates In accordance with Ind AS at the date of transition to Ind AS shall be consistent with estimates made for the same date in accordance with previous GAAP (after adjustments to reflect any difference in accounting policies), unless there is objective evidence that those estimates were In error. Companys Ind AS estimates as at the transition date are consistent with the estimates as at the same date made in conformity with the Indian GAAP.

Companys Ind AS estimates as at April 01, 2022, are consistent with the estimates as at the same date made in conformity with the previous GAAP

(c) Classification and Measurement of Financial assets and Financial Liabilities:

In accordance with Ind AS 101, the Company has assessed the classification and measurement of financial assets on the basis of facts and circumstances that exist at the date of transition to Ind AS.

II. Optional Exemptions

(a) Property Plant and Equipment and Intangible Assets:

In accordance with Para D7AA, the Company has opted to continue with the carrying amount of all its Property Plant and Equipment and Intangible assets measured in accordance with the previous GAAP as deemed cost on the date of transition to Ind AS.

(b) Lease:

The Company has recognised Lease Liability and Right of Use asset, as required by Ind AS 116, on date of transition to Ind AS. In accordance with Para D9B of Ind AS 101, the Company has recognised lease liability at the present value of the lease payments, discounted using the lessees Incremental borrowing rate at the date of transition to Ind AS and right-of-use asset at its carrying amount as if Ind AS 116 had been applied since the commencement date of the lease, but discounted using the lessees incremental borrowing rate at the date of transition to Ind AS measure a right-of-use asset at the date of transition to Ind AS.

(c) Investments in Subsidiaries, Associates and Joint Venture:

On the date of transition to Ind AS, a Company has recognised investments in certain equity shares/mutual funds i.e. other than subsidiaries, associates and Joint arrangements, as instruments Fair value through Profit and loss (FVTPL). Accordingly, the Company has opted to designate such equity investments as FVTPL.

III. Explanatory notes to the transition from Indian GAAP to IndAS:

(a) Lease Liability and Right of Use Asset:

In accordance with Para D9B of Ind AS 101, the Company has recognised right of use assets and lease liability pertaining to Property taken on Rent, at the present value of the lease payments made as at lease commencement date, discounted using the lessees incremental borrowing rate at the date of transition to Ind AS and right-of-use asset at its carrying amount as if Ind AS 116 had been applied since the commencement date of the lease, but discounted using the lessees incremental borrowing rate at the date of transition to Ind AS measure a right-Of-use asset at the date of transition to Ind AS.

The Company applies the short-term lease recognition exemption to its short-term leases /rent (i.e. those leases that have a lease term of 12 months or less from the commencement date and do not contain a purchase option).

(b) Non-Adjusting Events

Audit Qualifications Not Requiring Adjustments In the Restated Financial Information

i) There are no audit qualifications in the Auditors Report for the period ended June 30, 2026 and years ended March 31, 2026, March 31, 2025 and March 31, 2024.

There were no qualifications reported in the annexure to the Auditors Report under the Companies (Auditors Report) Order, 2016 & Companies (Auditors Report) Order, 2020 for the financial year ended March 31, 2023 and March 31, 2024 respectively.

Dividend on Equity Shares

2.22 Financial Instruments

A financial instrument is any contract that gives rise to a financial asset of one entity and a financial liability or equity instrument of another entity.

(i) Financial Assets:

The Company classifies its financial assets at Fair value through Other Comprehensive Income (FVOCI) or Fair value through Profit & Loss (FVTPL). The classification is based upon two tests namely Business Model Test (BMT) and Contractual Cash Flow Test (CCFT).

BMT: where entitys objective is to hold assets for collecting contractual cash flows.

CCFT: Where contractual cash flows are solely payment of principal and interest on a specified due dates.

2.23 Loans & Advances

The Company extended loans and advances to both related and unrelated parties. To ensure proper classification of these financial assets, the Business Model and Contractual Cash Flow tests must be met. However, the loans and advances did not pass the Contractual Cash Flow test (CCFT), leading the Company to classify them at Fair Value Through Profit & Loss (FVTPL).

The Company has adopted Ind AS with a transition date April 01, 2023 for statutory filing, According to IndAS-101 “First time Adoption of Indian Accounting Standard” the company has option to carry loans & advance at its fair value or it may continue to carry at its historical cost which is known as deemed cost. The Company has opted to carry the loans at deemed cost in pursuance of IndAS-101.

(i) Derecognition

Financial assets are derecognized (removed from the Companys statement of financial position) primarily when:

1. The rights to receive cash flows from the asset have expired, or

2. The Company has transferred its rights to receive cash flows to a third party under a "pass through" arrangement and either:

a) The Company transferred the rights to receive cash flows from the financial asset, or

b) The Company retained the contractual right to receive the cash flows but assumes the obligation to pay them to one or more recipients.

If the Company has transferred substantially all the risks and rewards of ownership of the financial assets, the asset is derecognized. If not, the asset is not derecognized. If the Company neither transferred a financial asset nor retains substantially all risks and rewards of ownership, the financial asset is derecognized if the Company has not retained control of it. If the Company retains control, the asset continues to be recognized to the extent of its continuing involvement in the financial asset.

(ii) Impairment

In compliance with Ind AS 109, the Company has evaluated and measured its Expected Credit Loss for impairment loss on financial assets. As of the review period, no such expected loss has been recognized.

2.24 Related Party Transactions

According to IndAS-24 the Company has presented disclosures in Note no. 40.

2.25 Loans and Advances in the nature of loan repayable on demand or without specifying the terms or period of repayment:

During the year, the Company has not granted any Loans or Advances in the nature of loans to the related parties (as defined under Companies Act, 2013), accordingly the above clause is not applicable.

2.26 Benami Property held:

There is no proceeding have been initiated or pending against the Company for holding any benami property under the Benami Transaction (prohibition) Act, 1988 (45 of 1988) and the rules made thereunder.

2.27 Working capital limits from Banks/FIs on the basis of security of Current Assets

The Company has no borrowings from the banks or financial institutions on the basis of current assets.

2.28 Wilful defaulter

The Company is not declared wilful defaulter by any bank or financial Institution or other lender.

2.29 Relationship with struck off Companies

The Company has no transaction with companies struck off under section 248 of the Companies Act, 2013 or section 560 of Companies Act, 1956.

2.30 Registration of charge or satisfaction with Registrar of Companies

The Company has no charge or satisfaction yet to be registered with Registrar of Companies.

2.31 Compliance with number of layers of Companies

The Company has no Subsidiary and provisions prescribed under clause (87) of section 2 of the Act read with Companies (Restriction on numbers of Layers) Rules, 2017 are complied.

2.32 Compliance with Approved Scheme(s) of Arrangements

During the year under review, the company has not made any application for Scheme of Arrangement. Accordingly, no approval from the Competent Authority in terms of Section 230 to 237 of the Companies Act, 2013 is required to be obtained by the Company.

2.33 Undisclosed Income

The Company has no such transaction not recorded in the books of account that has been surrendered or disclosed as income during the year in the tax assessment under the Income Tax Act 1961

2.34 Details of Crypto Currency or Virtual Currency

The Company has not traded or invested in Crypto currency or Virtual Currency during the financial year.

2.35 Provision

Provisions involving substantial degree of estimation in measurement are recognised when there is a present obligation as a result of past events and it is probable that there will be an outflow of resources.

2.36 Earning Per Share

The Company reports Basic and Diluted earnings per equity share in accordance with the Indian Accounting Standard -33 Earning Per Share. In determining earning per share, the Company considers the net profit after tax and includes the post tax effect of any extraordinary/exceptional items. The number of shares used in computing basic earning per share is the weighted average number of equity shares outstanding during the period. The number of shares used in computing diluted earning per share comprises the weighted average number of equity shares that would have been issued on the conversion of all potential equity shares. Dilutive potential equity shares have been deemed converted as of the beginning of the period, unless issued at a later date.

2.37 Previous Year Figures

The Company has reclassified, rearranged and regrouped the previous year figures in accordance with the requirements applicable in the current year.

2.38 Right to Use - Ind As 116, Leases Impact

The Company has recognized a lease liability measured at the present value of the remaining lease payments, and right- of-use (ROU) asset at an amount equal to lease liability (adjusted for any related prepayments). The Company has taken office spaces on lease. management has exercised judgement in determining whether extension and termination options are reasonably certain to be exercised. The Company has used discounting rate of 10% to arrive at the present value of its future cash flows towards lease liabilities.

A. Lease Liabilities- Maturity Analysis

(Rs in millions)

B. Movement of Lease Liabilities

(Rs in millions)

C. Rental Expenses recorded for Long Term Leases are as follows

(Rs in millions)

Note: The Company does not face a significant liquidity risk with regard to its lease liabilities as the current assets are sufficient to meet the obligations related to lease liabilities as and when they fall due.

The details of the right-of-use assets held by the Company are as follows:

(Rs in millions)

Right of use Assets

(Rs in millions)

2.39 Financial Risk Management

The Companys board of directors has overall responsibility for the establishment and oversight of the Companys risk management framework. The board of directors is responsible for developing and monitoring the Companys risk management policies. The board regularly meets to decide its risk management activities.

The Companys risk management policies are established to identify and analyse the risks faced by the Company, to set appropriate risk limits and controls to monitor risks and adherence to limits. Risk management policies and systems are reviewed regularly to reflect changes in market conditions and the Companys activities. The Company, through its training and management standards and procedures, aims to maintain a disciplined and constructive control environment in which all employees understand their roles and obligations.

The Companys management monitors compliance with the Companys risk management policies and procedures and reviews the adequacy of the risk management framework in relation to the risks faced by the Company. The Board is also assisted by internal audit. Internal audit undertakes both regular and ad hoc reviews of risk management controls and procedures, the results of which are reported to the Board of directors.

The Company is exposed to various financial risks. These risks are categorised into market risk, credit risk and liquidity risk.

(a) Market Risk:

Market risk is the risk that changes with market prices - such as market prices of financial instruments and interest rates, will affect the Companys income or the value of its holdings of financial instruments. The objective of market risk management is to manage and control market risk exposures within acceptable parameters, while optimising the return.

(b) Credit Risk:

Credit risk is the risk that the Company will incur a loss because its customers or counterparties to a financial instrument fail to discharge their contractual obligation. The Company manages and controls credit risk by setting limits on the amount of risk it is willing to accept for individual counterparties, and by monitoring exposures in relations to such limits.

The maximum exposure to credit risk for each class of financial instruments is the carrying amount of that class of financial instruments presented in the financial statements. The Companys major classes of financial assets are cash and cash equivalents, Investments, Inventories of shares, loans, term deposits, trade receivables and security deposits.

Cash and cash equivalents and term deposits with banks are considered to have negligible risk or nil risk, as they are maintained with high rated banks/financial institutions as approved by the Board of directors. Security deposits are kept with stock exchanges for meeting minimum base capital requirements. These deposits do not have any credit risk.

The management has established accounts receivable policy under which customer accounts are regularly monitored. The Company has a dedicated risk management team, which monitors the positions, exposures and margins on a continuous basis. The Company has not made any provision on expected credit loss on trade receivables and other financial assets, based on the management estimates.

(c) Liquidity Risk:

Liquidity risk is the risk that the Company will encounter difficulty in meeting the obligations associated with its financial liabilities that are settled by delivering cash or another financial asset. The Companys approach to managing liquidity is to ensure, that it will have sufficient liquidity to meet its liabilities when they are due, under both normal and stressed conditions, without incurring unacceptable losses or risking damage to the Companys reputation.

The Companys treasury department within the Finance Department is responsible for liquidity and funding. In addition, policies and procedures relating to such risks are overseen by the management. The Companys principal sources of liquidity are cash and cash equivalents and the cash flow that is generated from the operations.

(Rs in millions, unless otherwise stated)

Following is the Companys exposure to financial liabilities:

(Rs in millions, unless otherwise stated)

(Rs in millions, unless otherwise stated)

(Rs in millions, unless otherwise stated)

(Rs in millions, unless otherwise stated)

The Company manages its capital structure and makes necessary adjustments in light of changes in economic conditions and the requirement of financial covenants. To maintain or adjust the capital structure, the Company may adjust the dividend payment to shareholders, return on capital to shareholders, issue new shares or arise/repay debt.

For the purpose of the Companys capital management, capital includes issued equity capital and all other equity reserves attributable to the equity holders. The primary objective of the Companys capital management is to maximise the shareholder value and to ensure the Companys ability to continue as a going concern. There is no non-compliance with any covenants of borrowings.

(Rs in millions, unless otherwise stated)

2.40 Employee Benefits Expense Short term employee benefits:

All employee benefits payable wholly within twelve months of rendering the services are classified as short-term employee benefits and they are recognised in the period in which the employee renders the related services. The undiscounted amount of short-term employee benefits expected to be paid in exchange for the services rendered by employees are recognised as an expense during the period when the employees render the services.

Long term employee benefits:

Defined Contribution Plans

The Companys contribution paid/payable during the period to Provident Fund, Pension Scheme and Employee State Insurance Scheme are considered as defined contribution plans.

Recognition and Measurements of Defined Contribution Plan

The contribution paid/payable under those plans are recognised as an expense, in the statement of profit and loss during the period in which the employee renders the services.

If the contribution payable to the scheme for service received before the balance sheet date exceeds the contribution already paid, the deficit payable to the scheme is recognised as a liability. If the contribution already paid exceeds the contribution due for services received before the balance sheet date, then excess is recognised as an asset to the extent that the prepayment will lead to a reduction in future payment or a cash refund.

Defined Benefit Plans

The Company pays gratuity to the employees who have completed five years of service with the Company at the time of resignation superannuation. The gratuity is paid @15 days basic salary for every completed year of service as per the Payment of Gratuity Act, 1972.

Recognition and Measurements of Defined Benefit Plan

The liability in respect of gratuity and other post-employment benefits is calculated using the Projected Unit Credit Method and spread over the period during which the benefit is expected to be derived from employees services.

Actuarial gains and losses are recognised immediately in the statement of profit and loss and other comprehensive income in the period which they occur.

Termination benefits:

Termination benefits are charged to the Statement of Profit and Loss in the year of accrual when the Company is committed without any possibility of withdrawal of an offer made to either terminate employment before the normal retirement date or as a result of an offer made to encourage voluntary retirement.

Leave Encashment:

During the year ended March 31, 2026, the Company modified its methodology regarding leave encashment. Previously, leave was accumulating in nature and classified as Other Long-term Employee Benefits, for which the liability was determined based on an actuarial valuation using the Projected Unit Credit Method.

Effective October 2025, the Company amended the terms of the plan to settle all outstanding leave balances through a one-time payment in April 2026. Consequently, leave encashment is now classified as a Short-term Employee Benefit under Ind AS 19, Employee Benefits as the employees are/will be paid their accumulated at the year end or shortly thereafter without allowing the accumulation.

In accordance with this change, the Company has discontinued actuarial valuations for this benefit. The liability as of March 31, 2026, has been measured at the undiscounted amount expected to be paid. This has resulted in the reclassification of Rs 3.36 millions from Non-Current Provisions to Current Provisions.

2.41 CSR Expenses

As per Section 135 of the Companies Act, 2013, a Company, meeting the applicability threshold, needs to spend at least 2% of its average net profit for the immediately preceding three financials years on Corporate Social Responsibility (CSR) activities. The areas for CSR activities are promoting gender equality by empowering women, healthcare, environment sustainability, art and culture, destitute care and rehabilitation, disaster relief, COVID-19 Relief and rural development projects. The Company is required to express on CSR activities during F.Y 2024-2025.

Refer note no. 39 for additional details regarding CSR activities conducted by the Company.

2.42 Tax Regime

The Company has adopted new tax regime U/s 115BAA from the financial year 2022-2023, as it is view of the management that the same is more beneficial to the Company.

principal components of statement of profit and loss

The following descriptions set forth information with respect to the key components of our statement of profit and loss. Total Income

Our income comprises revenue from operations and other income. We generate majority of our revenue from the sale of products in India.

Revenue from operations

Our revenue from operations primarily includes revenue from sale of products processed at our Manufacturing Facilities. Other income

Our other income primarily includes (a) Interest Income; (b) Interest income on deposits; (c) Other Incomes; (d) Discount Received; (e) Foreign Exchange gain; (f) Duty Drawback; (g) Gratuity Expense reverse back; (h) Subsidy Received and (i) Insurance claim received.

Expenses

Our expenses include a) Cost of Material Consumed; b) Changes in inventories of Finished goods and Work-in-Progress; c) Employee benefits expense; d) Finance costs; e) Depreciation and amortisation expense and f) Other expenses:

Cost of material consumed

Our Cost of Material Consumed comprises of change in stock of Raw Materials and Purchase of Raw Materials (Net off Inter Branch Purchase). Our raw material comprises of Steel Coils.

Changes in inventories of Finished goods and Work-in-Progress

Our changes in inventories of finished goods and work-in-progress represents increase/decrease in inventories of finished goods and semi-finished goods and work-in-progress between opening and closing dates of a reporting period.

Employee benefits expense

Our employee benefits expense primarily include (i) Directors Remuneration; (ii) Salaries and wages; (iii) Contribution to provident and other funds and (iv) Staff welfare expenses.

Finance costs

Our finance costs primarily include (i) Interest expenses on borrowing; (ii) Interest expense on lease and (iii) Other borrowing costs.

Depreciation and Amortisation expense

Our depreciation expenses primarily include depreciation on Land, Buildings, Plant & Machinery, Furniture & Fixtures, Vehicles, Office equipment and computers. Whereas our amortisation expenses includes amortisations of Right-of-Use (RoU) assets.

Other expenses

Our other expenses primarily include (i) Auditors Remuneration, (ii) Conveyance, (iii) Discount, Rebates, And Write-Off, (iv) Housekeeping Services, (v) Insurance Charges, (vi) Office Expenses, (vii) Others, (viii) Loss on sale of motor car, (ix) Motor Car Expenses, (x) Printing & Stationery, (xi) Professional Fees, (xii) Rent, Rates and Taxes, (xiii) Repairs And Maintenance, (xiv) Fuel & electricity Expenses, (xv) Freight and handling charges, (xvi) Labour Charges, (xvii) Tools & Consumables, (xviii) Slitting / Processing Charges, (xix) Transportation, (xx) Weighment Charges, (xxi) Travelling Expenses, (xxii) Stamp Duty and Legal Expenses, (xxiii) Business Promotion Expenses, (xxiv) CSR Expenses, (xxv) Provision for /Reversal of Expected Credit Losses and (xxvi) Gain/Loss on Recognition of ROU Asset.

Tax expense

Tax expense primarily includes current tax, Tax impact for earlier years/ period and deferred tax.

Results of Operations Based on our Financial Statements

The following table sets forth select financial data from our Restated Statement of Profit and Loss for the period ended June 30, 2026 and for the Fiscals 2026, Fiscal 2025 and Fiscal 2024, the components of which are also expressed as a percentage of total income for such periods.

(Rs in million unless otherwise stated)

THREE MONTHS PERIOD ENDED JUNE 30, 2026

For the three months period ended June 30, 2026, the Company recorded steady operational performance, reflecting managements ongoing focus on core business activities and cost management initiatives. The following discussion and analysis describe the principal factors that impacted the Companys financial results for the period.

Total Income

Our total income for the period ended June 30, 2026 was Rs 3975.47 million, primarily due to the factors discussed below. Revenue from operations

Our revenue from operations comprises of sale of products amounting Rs 3970.80 million for period ended June 30, 2026 which was 99.88% to our total income. Such revenue from operations comprised of revenue from Rs 3,975.47 Million.

Other income

Our other income was Rs 4.66 million for period ended June 30, 2026. It includes interest income from bank of Rs 0.22 million, interest on security deposits of Rs 0.34 million and subsidy received of Rs 3.96 million.

Expenses

Our total expenses were Rs 3769.00 million for period ended June 30, 2026. These expenses include cost of materials consumed, changes in inventories of finished goods and work in progress, employee benefits expenses, finance costs, depreciation and amortisation expense; all the factors discussed below:

Cost of Material Consumed

For the period ended June 30, 2026, our Companys cost of materials consumed totalled Rs 3301.74 million, accounting for 83.05% of our total revenue. Material consumption mainly consisted of steel coils and packing materials. The increase in material costs was commensurate with the higher level of operations during the period, indicating stable cost absorption alongside revenue growth.

Changes in inventories of finished goods and Work-in-Progress

For the period ended June 30, 2026, Change in inventories of finished goods and work-in-progress decreased by Rs 153.57 million, primarily due to a decrease in work-in-progress from Rs 215.73 million as at March 31, 2026 to Rs 69.27 million as at June 30, 2026, and a decrease in finished and semi-finished goods from Rs 226.28 million to Rs 219.17 million during the period.

Employee benefits expense

Our employee benefits expenses were Rs 50.14 million for period ended June 30, 2026. This includes director remuneration of Rs 7.35 million, salaries and wages of Rs 39.91 million, contribution to provident and other funds of Rs 1.55 million and staff welfare expenses of Rs 1.33 million.

Finance costs

Our finance costs were Rs 86.25 million for period ended June 30, 2026. This includes interest expenses on borrowings of Rs 81.71 million, interest expenses on lease of Rs 3.50 million and other borrowing cost of Rs 0.98 million.

Depreciation and Amortisation expense

Our depreciation and amortisation expenses were Rs 33.69 million for period ended June 30, 2026. This includes depreciation on Property, Plant and Equipment (PPE) of Rs 23.42 million and amortization of ROU assets of Rs 10.26 million.

Other Expenses

Our other expenses were Rs 143.62 million for period ended June 30, 2026. This majorly includes freight and handling charges of Rs 64.86 million, labour charges of Rs 23.35 million, slitting/ processing charges of Rs 14.17 million, repairs and maintenance of Rs 7.69 million, fuel & electricity expenses of Rs 3.98 million, rent rates and taxes of Rs 7.03 million, motor car expenses of Rs 2.94 million, other expenses of Rs 3.38 million, office expenses of Rs 0.93 million, insurance charges of Rs 2.42 million, travelling expenses of Rs 3.28 million etc.

Profit before tax

As a result of the foregoing, our profit before tax was Rs Rs 206.46 million for period ended June 30, 2026.

Tax Expenses

Our total tax expenses were Rs 55.71 million for period ended June 30, 2026.

Profit after tax for the period

For the period ended June 30, 2026, our Companys profit after tax amounted to Rs 150.75 million, representing a profit margin of 3.80%.

FISCAL 2026 COMPARED TO FISCAL 2025 Total Income

Our total income 19.95% to Rs 12,698.25 million for Fiscal 2026 from Rs 10,586.45 million for Fiscal 2025, on account of the factors discussed below:

Revenue from operations

Our revenue from operations comprises of sale of products which 20.00% to Rs 12,668.18 million for Fiscal 2026 from Rs 10,557.07 million for Fiscal 2025, primarily due to increase in sales volumes and overall business activity:

a. Higher capacity utilization leading to increased production and sales volumes;

During Fiscal 2026, actual production increased for Slitting, Cut to Length and Embossing operations, which increased from 1,18,566 MT, 96,169 MT and 13,759 MT in Fiscal 2025 to 1,44,258 MT, 1,08,276 MT and 15,965 MT, respectively, in Fiscal 2026. Although capacity utilisation decreased across the key processes, the increase in installed capacity enabled higher production volumes. Capacity utilisation for Slitting decreased from 63.40% in Fiscal 2025 to 60.61% in Fiscal 2026, Cut to Length decreased from 70.75% to 58.74%, Shearing decreased from 73.41% to 59.86% and Embossing decreased from 63.70% to 46.68%.

b. Expansion of facilities, resulting in enhanced production capabilities.

c. The Company commissioned a new facility at Sricity in April 2023, which has contributed to the topline growth during fiscal 2025.

d. Expansion in demand from both existing and new customers, resulting in higher supply; and

e. Introduction of niche processing activities such as embossing, enabling value-added offerings and improved margins. Other income

Our other income increased by 2.35% from Rs 29.38 million for Fiscal 2025 to Rs 30.07 million for Fiscal 2026, primarily due to an increase in subsidy received from Rs 9.98 million for Fiscal 2025 to Rs 16.46 million for Fiscal 2026 and interest income on security deposits from Rs 0.44 million to Rs 1.29 million. This increase was partially offset by a decrease in interest income on bank deposits from Rs 13.43 million for Fiscal 2025 to Rs 11.08 million for Fiscal 2026 and a decrease in insurance claim received from Rs 5.53 million to Nil during the same period. Further, other income increased from Nil in Fiscal 2025 to Rs 0.28 million in Fiscal 2026.

Expenses

Our expenses increased by 20.32% from Rs 10,214.80 million for Fiscal 2025 to Rs 12,290.37 million for Fiscal 2026, on account of the factors discussed below:

Cost of Material Consumed

Our Cost of Material Consumed increased by 17.32% from Rs 9,497.07 million for Fiscal 2025 to Rs 11,123.75 million for Fiscal 2026. Purchase of raw material consist of purchase of steel coil and packing materials. The increase in the cost of materials consumed is Rs 1,626.68 million.

Changes in inventories of finished goods and Work-in-Progress

In Fiscal 2026, inventories of finished goods and work-in-progress decreased by Rs 75.95 million, primarily due to a decrease in work-in-progress from Rs 267.53 million as at March 31, 2025 to Rs 215.73 million as at March 31, 2026, and adecrease in finished goods from Rs 250.43 million to Rs 226.28 million during the same period.

Employee benefits expense

Our employee benefits expense increased by 48.31% from Rs 84.25 million for Fiscal 2025 to Rs 124.96 million for Fiscal 2026. This increase was primarily on account of increase in salaries and wages by Rs 39.70 million, and increase in contribution to provident and other funds by Rs 1.11 million in Fiscal 2026 as compared to Fiscal 2025.

Finance costs

Our finance costs increased by 14.32%, from Rs 312.35 million in Fiscal 2025 to Rs 357.08 million in Fiscal 2026. The increase was primarily due to interest expenses on borrowings and interest expenses on leases. Interest expenses on borrowings increased from Rs 296.73 million in Fiscal 2025 to Rs 333.79 million in Fiscal 2026, mainly due to increase in short-term borrowings by Rs 484.30 million during Fiscal 2026. Similarly, interest expenses on leases increased from Rs 8.43 million in Fiscal 2025 to Rs 15.96 million in Fiscal 2026, on account of increase in short-term and decrease in long-term lease liabilities by Rs 1.09 million & Rs 39.02 million during Fiscal 2026.

Depreciation and Amortisation expense

Our depreciation and amortisation expenses increased by 46.02% from Rs 86.29 million for Fiscal 2025 to Rs 126.01 million for Fiscal 2026. This increase is primarily attributable to the addition of Rs 547.89 million in Property, Plant and Equipment (PPE).

Other Expenses

Our other expenses increased by 6.49% from Rs 453.22 million Fiscal 2025 to Rs 482.63 million for Fiscal 2026, primarily due to the increase in:

(Rs in million)

Profit before tax

As a result of the foregoing, our profit before tax increased by 9.75% from Rs 371.65 million for Fiscal 2025 to Rs 407.88 million for Fiscal 2026.

Tax Expenses

As a result of the foregoing, our profit before tax increased by 20.66% from Rs 84.93 million for Fiscal 2025 to Rs 102.48 million for Fiscal 2026.

Profit after tax for the period

Our profit after tax increased by 6.51% from Rs 286.72 million for Fiscal 2025 to Rs 305.39 million for Fiscal 2026, primarily due to the increase in revenue from operations during the period. The Companys profit margin decreased from 2.72% in Fiscal 2025 to 2.41% in Fiscal 2026, primarily due to an increase in expenses during the period.

FISCAL 2025 COMPARED TO FISCAL 2024

Total Income

Our total income increased by 38.31% to Rs 10,586.45 million for Fiscal 2025 from Rs 7,654.12 million for Fiscal 2024, on account of the factors discussed below:

Revenue from operations

Our revenue from operations comprises of sale of products which is increased by 39.78% to Rs 10,557.07 million for Fiscal 2025 from Rs 7,552.59 million for Fiscal 2024, primarily due to:

f. Higher capacity utilization leading to increased production and sales volumes;

During the year ended March 31, 2025, we witnessed improvement in capacity utilization across all key processes, reflecting enhanced operational efficiencies and improved demand for our services. Notably, embossing operations recorded the increase in capacity utilization, rising from 26.06% in Fiscal 2024 to 63.70% in Fiscal 2025, primarily due to higher customer off-take and better asset utilization. Slitting, Cut to Length, and Shearing also demonstrated consistent growth in utilization, improving by 16.74, 15.00, and 25.81 percentage points respectively year-on-year.

g. Expansion of facilities, resulting in enhanced production capabilities.

h. The Company commissioned a new facility at Sricity in April 2023, which has contributed to the topline growth during fiscal 2025.

i. Expansion in demand from both existing and new customers, resulting in higher supply; and

j. Introduction of niche processing activities such as embossing, enabling value-added offerings and improved margins. Other income

Our other income decreased by 71.06% from t101.53 million for Fiscal 2024 to t29.38 million for Fiscal 2025, primarily due to decrease in (i) interest income from bank from Rs 16.78 million for Fiscal 2024 to t13.43 million for Fiscal 2025; (ii) other income from Rs 19.52 million for Fiscal 2024 to t nil for Fiscal 2025; and (iii) subsidy received from t63.94 million for Fiscal 2024 to t9.98 million for Fiscal 2025. Whereas interest income on deposits increased from t 0.04 million for Fiscal 2024 to t0.44 million for Fiscal 2025 and insurance claim received increased from t 1.08 million for Fiscal 2024 to t5.53 million for Fiscal 2025.

Expenses

Our expenses increased by 38.56% from t7,372.06 million for Fiscal 2024 to t10,214.80 million for Fiscal 2025, on account of the factors discussed below:

Cost of Material Consumed

Our Cost of Material Consumed increased by 44.53% from Rs 6,571.11 million for Fiscal 2024 to t 9,497.07 million for Fiscal 2025. Purchase of raw material consist of purchase of steel coil and packing materials. The increase in the cost of materials consumed is in line with the increase in the level of operations.

Changes in inventories of finished goods and Work-in-Progress

The inventory of finished goods and work-in-progress has increased by t218.38 million, from t299.58 million in FY 2024 to t517.96 million in FY 2025. This variation in Fiscal 2025 is primarily attributable to an increase in finished, semi - finished goods, and work-in-progress, which stood at t517.96 million at the end of the year as compared to t299.58 million at the beginning of the year. In contrast, during Fiscal 2024, the value of finished, semi-finished goods, and work-inprogress was t299.58 million at the end of the year as against t352.01 million at the beginning of the year.

Employee benefits expense

Our employee benefits expense increased by 15.11% from t73.19 million for Fiscal 2024 to t84.25 million for Fiscal 2025. This increase was primarily on account of increasing Directors remuneration by t1.20 million, an increase in salaries and wages by t8.18 million, and a rise in contribution to provident and other funds by t1.63 million in Fiscal 2025 as compared to Fiscal 2024.

Finance costs

Our finance costs increased by 20.31%, from Rs 259.63 million in Fiscal 2024 to Rs 312.35 million in Fiscal 2025. The increase was primarily due to increase in interest expenses on borrowings and interest expenses on leases. Interest expenses on borrowings increased from Rs 251.40 million in Fiscal 2024 to Rs 296.50 million in Fiscal 2025, mainly due to an increase in short-term borrowings by Rs 442.67 million during Fiscal 2025. Similarly, interest expenses on leases increased from Rs 1.00 million in Fiscal 2024 to Rs 8.66 million in Fiscal 2025, on account of an increase in both long-term and short-term lease liabilities by Rs 167.79 million during Fiscal 2025.

Depreciation and Amortisation expense

Our depreciation and amortisation expenses increased by 67.60% from Rs 51.49 million for Fiscal 2024 to Rs 86.29 million for Fiscal 2025. This increase is primarily attributable to the addition of Rs 88.84 million in Property, Plant and Equipment (PPE) and Rs 202.59 million in Right-of-Use (ROU) assets by the Company.

Other Expenses

Our other expenses increased by 24.44% from Rs 364.21 million Fiscal 2024 to Rs 453.22 million for Fiscal 2025, primarily due to the increase in:

(Rs in million)

Profit before tax

As a result of the foregoing, our profit before tax increased by 31.76 % from Rs 282.06 million for Fiscal 2024 to Rs 371.65 million for Fiscal 2025.

Tax Expenses

Our total tax expenses increased by 20.15% from Rs 70.68 million in Fiscal 2024 to Rs 84.93 million in Fiscal 2025 in line with the increase in our profit before tax during the same years.

Profit after tax for the period

Our profit after tax for the period increased by 35.65% from Rs 211.38 million for Fiscal 2024 to Rs 286.72 million for Fiscal 2025. The increase in profit after tax can primarily be attributed to higher revenue from operations. The Company maintained a profit margin of 2.80% in Fiscal 2024, which slightly decreased to 2.72% in Fiscal 2025, indicating stability in profitability despite the revenue growth.

CERTAIN ITEMS IN THE RESTATED STATEMENT OF ASSETS AND LIABILITIES

ASSETS

The following table sets forth the principal components of our assets as of the dates indicated:

(Rs in million, except as otherwise state)

For period ended June 30, 2026, we had total assets of t5,261.08 million. As of March 31, 2026, we had total assets of t5,714.66 million compared to t4,582.05 million as of March 31, 2025 and t3,502.08 million as of March 31, 2024. The increase in our total assets was primarily on account of growth in our Capital WIP, Right-of-Use Assets, Other Non-Current Financial Assets Inventories, Trade Receivable, Other Current Assets and in line with the increase in our overall business operations and establishment of our new facilities at Sricity and Ghiloth.

Non-current assets

Our total non-current assets are of t1,883.10 million for period ended June 30, 2026. This basically include PPE of t1,664.72 million, Capital WIP of t69.94 million, right of use assets of t133.81 million, other financial assets of t14.47 million and other non-current assets of t0.15 million.

Our total non-current assets increased to t1,855.74 million in Fiscal 2026 from Rs 1,582.35 million in Fiscal 2025 primarily as a result of increase in (i) Property, Plant and Equipment from Rs 1,183.24 million in Fiscal 2025 to Rs 1,641.98 million in Fiscal 2026; (ii) Capital WIP decreased by 0.31% from t54.71 million in Fiscal 2025 to t54.54 million in Fiscal 2026; (iii) our right of use assets decreased by 24.47% from t190.72 million in Fiscal 2025 to t144.07 million in Fiscal 2026; (iv) our other financial assets decreased by 84.93% from Rs 91.67 million in Fiscal 2025 to t13.82 million in Fiscal 2026; and (v) other non-current assets decreased from t62.01 million in Fiscal 2025 to Rs 1.32 million in Fiscal 2026.

Our total non-current assets increased to Rs 1,582.35 million in Fiscal 2025 from t1,169.29 million in Fiscal 2024 primarily as a result of increase in (i) Capital WIP by 100% from t nil in Fiscal 2024 to t 54.71 million in Fiscal 2025 (ii) Our right of use assets by 2265.55% from t8.06 million in Fiscal 2024 to t 190.72 million in Fiscal 2025, due to inclusion of new assets taken on lease during the year. (iii) Our other financial assets by 19524.95% from t0.47 million in Fiscal 2024 to t91.67 million in Fiscal 2025. This increase in other financial assets was primarily due to bank Fixed deposits with original maturity of more than 12 months of t79.18 million during the year and increase in security deposit on lease as t12.49 million during the year, which was Rs 0.47 million in Fiscal 2024. And (iv) Other non-current assets from nil in Fiscal 2024 to Rs 62.01 million in Fiscal 2025 representing increase of 100%.

Current assets

Our total current assets are of Rs 3,377.99 million for period ended June 30, 2026. This basically include inventories of Rs 1,254.60 million, trade receivables of Rs 1,654.10 million, cash and cash equivalents of Rs 91.69 million, bank balance of Rs 29.04 million, other financial assets of Rs 17.54 million, other current assets of Rs 331.03 million and current tax assets of Rs nil.

Our total current assets increased to Rs 3,858.92 million in Fiscal 2026 from Rs 2,999.70 million in Fiscal 2025 primarily as a result of (i) increase in inventories which amounted to Rs 1,893.27 million in Fiscal 2026 from Rs 1,157.27 million in Fiscal 2025, primarily due to increase in inventory requirements for business operations; (ii) our trade receivables decreased to Rs 1,289.22 million in Fiscal 2026 from Rs 1,367.29 million in Fiscal 2025; (iii) our cash and cash equivalents were Rs 109.31 million in Fiscal 2026 and Rs 20.35 million in Fiscal 2025. This increase in cash and cash equivalents was primarily due to an increase in balance with current accounts to Rs 106.48 million as of March 31, 2026 from Rs 19.94 million in Fiscal 2025. These variations were attributable to the funds which are kept in current accounts for utilization towards business operations; (iv) our other current assets were Rs 464.30 million in Fiscal 2026 and Rs 296.84 million in Fiscal 2025. This increase in other current assets was primarily due to an increase in short-term advances; and (v) our current tax assets (net) were Rs 1.91 million in Fiscal 2026, compared to Rs 15.88 million in Fiscal 2025.

Our total current assets increased to Rs 2,999.70 million in Fiscal 2025 from Rs 2,332.79 million in Fiscal 2024 primarily as a result of (i) increase in inventories which amounted to Rs 1,157.27 million in Fiscal 2025 from Rs 843.20 million in Fiscal 2024, due to increased inventory of Raw material and Work-in-progress used in manufacturing process (ii) Our trade receivables increased to Rs 1,367.29 million in Fiscal 2025 from Rs 1,061.51 million in Fiscal 2024. These variations in trade receivables were largely attributable to customer with outstanding balance as of March 31, 2025, which was subsequently cleared in the following month and the increased in credit sale. (iii) Our cash and cash equivalents were Rs 20.35 million in Fiscal 2025 and Rs 1.41 million in Fiscal 2024. This increase in cash and cash equivalents was primarily due to a increase in balance with current accounts to Rs 19.94 million as of March 31, 2025 from Rs 0.95 million from Fiscal 2024. These variations were attributable to the funds which are kept in current account for utilization towards business operations. (iv) Our other current assets were Rs 296.84 million in Fiscal 2025 and Rs 215.45 million in Fiscal 2024. This increase in other current assets was primarily due to an increase in short-term advances of Rs 168.08 million in Fiscal 2025, which were Rs 98.00 million as of March 31, 2024. (v) Our current tax assets (net) were Rs 15.88 million in Fiscal 2025, however, there were no such corresponding figures for in Fiscal 2024.

Equity and Liabilities

The following table sets forth the principal components of our equity and liabilities as of the dates indicated:

(Rs in million, except as otherwise stated)

450

For period ended June 30, 2026, we had total equity & liabilities of of Rs 5,261.08 million. As of March 31, 2026, we had total equity and liabilities of Rs 5,714.66 million compared to Rs 4,582.05 million as of March 31, 2025 and Rs 3,502.08 million as of March 31, 2024. The increase in our total equity and liabilities was primarily on account of other equity, Lease liabilities, Short-term borrowings, Trade Payable and other current liabilities during these years.

Equity

Our total equity was Rs 1,366. 16 million, representing 25.97% of our total assets, as of June 30, 2026.

Our total equity was Rs 1,215.81 million, representing 21.28% of our total assets, as of March 31, 2026, Rs 830.47 million, representing 18.12% of our total assets, as of March 31, 2025 and Rs 543.59 million, representing 15.52% of our total assets, as of March 31, 2024. The increase is primarily due to retention of earnings for the years.

Non-current liabilities

Our total non-current liabilities stood at Rs 816.68 million for the period ended June 30, 2026. This includes long-term borrowings of Rs 641.68 million, lease liabilities of Rs 94.58 million, provisions of Rs 9.62 million and deferred tax liabilities of Rs 70.80 million.

Our total non-current liabilities increased to Rs 698.28 million in Fiscal 2026 from Rs 585.23 million in Fiscal 2025. The primary constituents for such variations include (i) our long-term borrowings were at Rs 522.89 million in Fiscal 2026 and Rs 392.25 million in Fiscal 2025; (ii) there was a decrease in our lease liabilities from Rs 142.86 million in Fiscal 2025 to Rs 103.84 million in Fiscal 2026; and (iii) our deferred tax liabilities (net) increased from Rs 41.30 million in Fiscal 2025 to Rs 63.80 million in Fiscal 2026 due to adjustments of deferred tax liabilities during the year.

Our total non-current liabilities stood at Rs 585.23 million in Fiscal 2025 and Rs 445.61 million in fiscal 2024. The primary constituents for such variations include (i) Our long-term borrowings were at Rs 392.25 million in Fiscal 2025 and Rs 406.91 million in Fiscal 2024 (ii) however, there was increase in our lease liabilities from Rs 6.46 million in Fiscal 2024 to Rs 142.86 million in Fiscal 2025. The variations in lease liabilities were attributable to inclusion of liabilities towards new assets procured on lease. (iii) Our deferred tax liabilities (net) increase from Rs 27.56 million in Fiscal 2024 to Rs 41.30 million in Fiscal 2025 due to the adjustments of deferred tax liabilities during the year.

Current liabilities

Our total current liabilities stood at Rs 3,078.24 million for the period ended June 30, 2026. This includes short-term borrowings of Rs 2,095.22 million, lease liabilities of Rs 35.68 million, trade payables of Rs 859.66 million, provisions of Rs 9.18 million, current tax liabilities of Rs 20.37 million and other current liabilities of Rs 58.12 million.

Our total current liabilities stood at Rs 3,800.57 million in Fiscal 2026 compared to Rs 3,166.35 million in Fiscal 2025. The primary constituents for such variations include (i) our borrowings increased to Rs 2,861.65 million in Fiscal 2026 from Rs 2,377.36 million in Fiscal 2025, primarily due to an increase in borrowings for working capital requirements; (ii) our lease liabilities increased to Rs 34.80 million in Fiscal 2026 from Rs 33.70 million in Fiscal 2025, representing a 3.26% increase, primarily attributable to fresh procurement of assets on lease rentals; and (iii) our total trade payable liabilities increased to Rs 860.49 million in Fiscal 2026 from Rs 729.66 million in Fiscal 2025, mainly due to an increase in purchases from suppliers during the year.

Our total current liabilities stood at Rs 3,166.35 million in Fiscal 2025 from Rs 2,512.88 million in Fiscal 2024. The primary constituents for such variations include (i) Our borrowings were increased to Rs 2,377.36 million in Fiscal 2025 from Rs 1,934.69 million in Fiscal 2024. These increases were primarily attributable to an increase in working capital term loans from banks, which accounted Rs 2,072.51 million in Fiscal 2025 and Rs 1,709.28 million in Fiscal 2024. Further, our unsecured loans from related increased to Rs 201.92 million in Fiscal 2025 from Rs 132.09 million in Fiscal 2024. (ii) Our lease liabilities were increased to Rs 33.70 million in Fiscal 2025 from Rs 2.31 million in Fiscal 2024 representing 1,358.87% increase from FY 2024. The variations in lease liabilities were attributable to fresh procurement of assets on lease rentals. (iii) Our total trade payable liabilities were increased to Rs 729.66 million Fiscal 2025 from Rs 560.64 million in Fiscal 2024 mainly due increase in purchase from suppliers during the year.

CASH FLOWS

The following table sets forth our cash flows for the years indicated:

(Rs in million, except as otherwise stated)

Net cash (used in) / generated from operating activities For period ended June 30, 2026

Net cash generated from operating activities was Rs 723.05 million. Our profit before tax was Rs 206.46 million, which was primarily adjusted for depreciation and amortisation expense, loss on sale of property, plant and equipment including intangible assets, interest income and finance cost, in each case amounting to Rs 33.69 million, Rs 0.14 million, Rs 0.22 million and Rs 86.25 million, respectively. Our operating profit before working capital changes was Rs 326.33 million. Working capital adjustments and income taxes paid (net of refunds) for the period are Rs 443.38 million and Rs 46.66 million, respectively.

Fiscal 2026

Net cash generated from operating activities was Rs 102.17 million in Fiscal 2026. Our profit before tax was Rs 407.88 million in Fiscal 2026, which was primarily adjusted for depreciation and amortisation expense, loss on sale of property, plant and equipment including intangible assets, asset written off, interest income and finance cost, in each case amounting to Rs 126.01 million, Rs 0.30 million, Rs 4.68 million, Rs 11.08 million and Rs 357.08 million, respectively. Our operating profit before working capital changes was Rs 884.87 million. Working capital adjustments primarily comprised increase in inventories by Rs 736.00 million, decrease in trade receivables by Rs 78.07 million, increase in other financial assets and other assets by Rs 169.32 million, increase in trade payables by Rs 130.82 million and decrease in non-current/ current financial and other liabilities/ provisions by Rs 20.00 million. Income taxes paid (net of refunds) was Rs 66.27 million in Fiscal 2026.

Fiscal 2025

Net cash generated from operating activities was Rs 320.90 million in Fiscal 2025. Our profit before tax was Rs 371.65 million in Fiscal 2025, which was primarily adjusted for depreciation and amortisation expense amounting to Rs 86.29 million, Expected Credit Loss amounting to Rs 0.01 million, interest income of Rs 13.43 million and finance cost of Rs 312.35 million. Our operating profit before working capital changes was Rs 756.87 million. Working capital adjustments primarily comprised increase in inventories by Rs 314.08 million, increase in trade receivables by Rs 305.79, increase in other financial assets and other assets by Rs 80.56 million, increase in trade payables by Rs 169.02 million and increase in non-current/ current financial and other liabilities/ provisions by Rs 183.61 million. Income taxes paid (net of refunds) was Rs 88.17 million in Fiscal 2025.

Fiscal 2024

Net cash generated from operating activities was Rs 114.87 million in Fiscal 2024. Our profit before tax was Rs 282.06 million in Fiscal 2024, which was primarily adjusted for depreciation and amortisation expense amounting to Rs 51.49 million, expected credit loss amounting to Rs 1.16 million, interest income of Rs 16.78 million, and finance cost of Rs 259.63 million. Our operating profit before working capital changes was Rs 577.56 million. Working capital adjustments primarily comprised decrease in inventories by Rs 26.77 million, increase in trade receivables by Rs 259.33, increase in other financial assets and other assets by Rs 87.41, decrease in trade payables by Rs 96.63 million and increase in non-current/ current financial and other liabilities/ provisions amounting by Rs 10.90 million. Income taxes paid (net of refunds) was Rs 56.99 million in Fiscal 2024.

Investing activities

For period ended June 30, 2026

Net cash used in investing activities was Rs 6.80 million, the primary constituents of which are purchase of capital assets by Rs 62.03 million, increase in other non-current financial assets by Rs 0.65 million, offset by proceeds from sale of capital assets by Rs 0.32 million, increase in other non-current assets by Rs 1.17 million, decrease in fixed/restricted deposits with banks by Rs 54.17 million and receipt of interest of Rs 0.22 million.

Fiscal 2026

Net cash outflow from investing activities was Rs 350.27 million in Fiscal 2026 primarily on account of purchase of capital assets by Rs 548.02 million, increase in other non-current financial assets by Rs 77.85 million, increase in other non-current assets by Rs 60.69 million, offset by decrease in fixed/restricted deposits with banks by Rs 43.02 million, proceeds from sale of capital assets by Rs 5.12 million and receipt of interest of Rs 11.08 million.

Fiscal 2025

Net cash outflow from investing activities was Rs 417.62 million in Fiscal 2025 primarily on account of purchase of capital assets by Rs 346.14 million, increase in other non-current financial assets by Rs 91.20 million, increase in other non-current assets by Rs 62.01 million, offset by decrease in fixed/restricted deposits with banks by Rs 68.30 million and receipt of interest of Rs 13.43 million.

Fiscal 2024

Net cash outflow from investing activities was Rs 528.50 million in Fiscal 2024 primarily on account of purchase of capital assets of Rs 493.14 million, increase in fixed/restricted deposits with banks by Rs 52.14 million offset by receipt of interest of Rs 16.78 million.

Financing activities

For period ended June 30, 2026

Net cash used in financing activities was Rs 733.88 million, the primary constituents of which are repayment of short-term borrowings of Rs 766.43 million, partially offset by proceeds from long term borrowings of Rs 166.30 million and interest paid amounting Rs 86.25 million.

Fiscal 2026

Net cash inflow generated from financing activities was Rs 337.06 million in Fiscal 2026 primarily on account of proceeds from issue of equity shares (net of issue expenses) of Rs 79.21 million, proceeds from long term borrowings of Rs 571.67 million and proceeds from short term borrowings of Rs 484.30 million which were offset by repayment of long-term borrowings of Rs 441.04 million and interest paid amounting Rs 357.08 million.

Fiscal 2025

Net cash inflow generated from financing activities was Rs 115.65 million in Fiscal 2025 primarily on account of proceeds from long term borrowings of Rs 154.89 million and proceeds from short term borrowings of Rs 442.68 million which were offset by repayment of long-term borrowings of Rs 169.56 million and interest paid amounting Rs 312.35 million.

Fiscal 2024

Net cash inflow generated from financing activities was Rs 395.63 million in Fiscal 2024 primarily on account of proceeds from long term borrowings of Rs 323.84 million and proceeds from short term borrowings of Rs 1,204.68 million which were offset by repayment of long-term borrowings of Rs 873.26 million and interest paid amounting Rs 259.63 million.

Commitments and Contingent Liabilities

The following sets forth the principal components of our contingent liabilities and commitments as of June 30, 2026:

For further information, see “Restated Financial Information · Note 35 ·Commitments & Contingent Liabilities " on page 312.

Non-Generally Accepted Accounting Principles Financial Measures

Certain non-generally accepted accounting principle (“Non-GAAP”) measures, such as Net Asset Value Per Equity Share, EBITDA, Adjusted EBITDA, Total Cash and cash equivalents and Bank Balance (including fixed deposits and current investments), Capital Employed, Adjusted Capital Employed, Return on Adjusted Capital Employed, Net Debt, Net Worth and Total Revenue (“Non-GAAP Measures”) presented in this Red Herring Prospectus are a supplemental measure of our performance and liquidity that are not required by, or presented in accordance with Ind AS or any other generally accepted accounting. Further, these Non-GAAP Measures are not a measurement of our financial performance or liquidity under Ind AS or any other accepted accounting principles and should not be considered in isolation or construed as an alternative to cash flows, profit/(loss) for the year/period or any other measure of financial performance or as an indicator of our operating performance, liquidity, profitability or cash flows generated by operating, investing or financing activities derived in accordance with Ind AS. In addition, the Non-GAAP Measures, as used by our Company and their definition as set out herein, are not a standardised term, hence a direct comparison of similarly titled Non-GAAP Measures between companies may not be possible. Other companies may calculate the Non-GAAP Measures differently from us, limiting their usefulness as a comparative measure. Although the Non-GAAP Measures are not a measure of performance calculated in accordance with applicable accounting standards, our Companys management believes that they are useful to an investor in evaluating us because they are widely used measures by securities analysts, investors and others to evaluate a companys operating performance. For further details, see “Risk Factors - Certain non-GAAP financial measures and certain other statistical information relating to our operations and financial performance like Gross Profit, Gross Margin, EBITDA, EBITDA Margin, PAT Margin, Return on Net Worth, Return on Capital Employed, Net Debt to Equity Ratio and Fixed Asset Turnover Ratio have been included in this Red Herring Prospectus. These non-GAAP financial measures are not measures of operating performance or liquidity defined by Ind AS and may not be comparable. ” on page 69.

Reconciliation of Net Asset Value per equity share

(Rs in million, except as otherwise stated)

* Figures for period ended June 30, 2026 are not annualised

Reconciliation of Return on Equity

(Rs in million, except as otherwise stated)

* Figures for period ended June 30, 2026 are not annualised

Reconciliation of Return on Assets

(Rs in million, except as otherwise stated)

* Figures for period ended June 30, 2026 are not annualised

Reconciliation of Debt-to-Equity Ratio

(Rs in million, except as otherwise stated)

Quantitative and Qualitative Analysis of Market Risks

We are exposed to market risks that are related to the normal course of our operations such as:

Capital risk management

The Company being in a capital-intensive industry, its objective is to maintain a strong credit rating, healthy capital ratios and establish a capital structure that would maximise the return to stakeholders through optimum mix of debt and equity.

The Companys capital requirement is mainly to fund its capacity expansion, repayment of principal and interest on its borrowings and strategic acquisitions. The principal source of funding of the Company has been, and is expected to continue to be, cash generated from its operations supplemented by funding from bank borrowings and the capital markets. The Company is not subject to any externally imposed capital requirements.

The Company regularly considers other financing and refinancing opportunities to diversify its debt profile, reduce interest cost and elongate the maturity of its debt portfolio, and closely monitors its judicious allocation amongst competing capital expansion projects and strategic acquisitions, to capture market opportunities at minimum risk.

The Company monitors its capital using gearing ratio, which is net debt, divided to total equity. Net debt includes, interest bearing loans and borrowings less cash and cash equivalents, bank balances other than cash and cash equivalents and current investments.

(Rs in millions, unless otherwise stated)

Market risk

Market risk is the risk that the fair value of future cash flows of a financial instrument will fluctuate because of changes in market prices. Market risk comprises two types of risk: interest rate risk and currency risk. Financial instruments affected by market risk include loans and borrowings, deposits and derivative financial instruments.

The objective of market risk management is to avoid exposure in our foreign currency transactions and interest rate risk. Interest rate risk management

Interest rate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market interest rates. The Companys exposure to the risk of changes in market interest rates relates primarily to the Companys debt obligations with floating interest rates. The Company manages its interest rate risk by having a balanced portfolio of fixed and variable rate loans and borrowings.

Interest rate sensitivity analysis

The sensitivity analyses below have been determined based on the exposure to interest rates for both fixed and floating rate borrowings at the end of the reporting period. For floating rate liabilities, the analysis is prepared assuming the amount of the liability outstanding at the end of the reporting period was outstanding for the whole year. A 50 basis point increase or decrease is used when reporting interest rate risk internally to key management personnel and represents managements assessment of the reasonably possible change in interest rates.

The following table provides a break-up of the Companys fixed and floating rate borrowings and interest rate sensitivity analysis.

(Rs in millions, unless otherwise stated)

(Rs in millions, unless otherwise stated)

(Rs in millions, unless otherwise stated)

(Rs in millions, unless otherwise stated)

Credit risk management

Credit risk is the risk of financial loss to the Company if a customer or counterparty to a financial instrument fails to meet its contractual obligations, and arises principally from the Companys receivables from customers, counterparties to the derivative contract, bank balances, investment securities and other receivables. Credit risk is managed through credit approvals and continuous monitoring in the normal course of business. The Company establishes an allowance for doubtful debts and impairment that represents its estimate of expected credit losses in respect of trade and other receivables. The maximum exposure to credit risk in case of all the financial instruments covered below is restricted to their respective carrying amount.

Trade receivables

The credit period ranges from 30 days to 180 days. Before accepting any new customer, the Company assesses the potential customer credibility and define credit limits for each customer, such limits are reviewed annually.

Cash and bank balances

The credit risk on liquid funds and other bank deposits is limited because the counterparties are banks with high credit- ratings assigned by international credit-rating agencies.

Loans, deposits and advances

The Companys corporate treasury function manages the financial risks related to the business. The treasury function focuses on capital protection, liquidity and yield maximisation.

Loans, deposits and advances are extended to counterparties after assessing their financial capabilities. Counterparty credit limits are reviewed and approved by Board/Audit Committee of the Company. These limits are set to minimise the concentration of risks and therefore mitigates the financial loss through counterpartys potential failure to make payments. Expected credit losses are provided based on the credit risk of the counter parties.

Deposits and advances

The Companys Corporate treasury function manages the financial risks related to the business. The Treasury function focuses on capital protection, liquidity and yield maximisation. Deposits and Advances are extended to counterparties after assessing their financial capabilities. Counterparty credit limits are reviewed and approved by Board/Audit Committee of the Company. These limits are set to minimise the concentration of risks and therefore mitigates the financial loss through counterpartys potential failure to make payments.

Liquidity risk management

Liquidity risk refers to the risk of financial distress or extraordinary high financing costs arising due to shortage of liquid funds in a situation where business conditions unexpectedly deteriorate and requiring financing. Ultimate responsibility for liquidity risk management rests with the board of directors. The Company manages liquidity risk by maintaining reserves and banking facilities, by continuously monitoring forecast and actual cash flows, and by matching the maturity profiles of financial assets and liabilities.

The following tables detail the Companys remaining contractual maturity for its financial liabilities with agreed repayment periods and its financial assets. The tables have been drawn up based on the undiscounted cash flows of financial liabilities based on the earliest date on which the Company can be required to pay. The tables include both interest and principal cash flows. To the extent that interest flows are floating rate, the undiscounted amount is derived from interest rate existing at the end of the reporting period.

(Rs in millions, unless otherwise stated)

(Rs in millions, unless otherwise stated)

(Rs in millions, unless otherwise stated)

(Rs in millions, unless otherwise stated)

Related Party Transactions

We have engaged in the past, and may engage in the future, in transactions with related parties. For details of our related party transactions, see “Restated Financial Information - Related Party Disclosures - Note 40” on page 406.

Reservations, Qualifications and Adverse Remarks Included in Financial Statements

There are no qualifications by the Statutory Auditors which have not been given effect to in the Restated Financial Information.

Unusual or Infrequent Events or Transactions

Except as described in this Red Herring Prospectus, there have been no other events or transactions, including unusual trends on account of business activity, unusual items of income, change of accounting policies and discretionary reduction of expenses etc., that, to our knowledge, may be described as “unusual” or “infrequent”.

Known Trends or Uncertainties

Our business has been subject, and we expect it to continue to be subject, to significant economic changes arising from the trends identified above in “Principal Factors Affecting our Results of Operations ” above and the uncertainties described in “RiskFactors ” on page 418 and 30, respectively. To our knowledge, except as disclosed in this Red Herring Prospectus, there are no known trends or uncertainties that have had, or are expected to have, a material impact on our business or results of operations.

Change in accounting policies

Other than as disclosed in the Restated Financial Information, there have been no changes in accounting policies in period ended June 30, 2026, Fiscals 2026, 2025 and 2024.

Segment Reporting

Our business activity primarily falls within a single reportable segment “processing of Steel Coils”.

Significant Economic Changes

Other than as described above under the heading titled “Principal Factors Affecting Our Financial Condition and Results of Operations, ” in page 418, to the knowledge of our management, there are no other significant economic changes that materially affect or are likely to affect income from continuing operations.

Future Relationship Between Cost and Income

Other than as described in this Red Herring Prospectus, to the knowledge of our management, there are no known factors that might affect the future relationship between costs and revenues.

New products, Services or Business Segments

Other than as described in “Our Business ” on page 239, and products that we announce in the ordinary course of business, we have not announced and do not expect to announce in the near future any new products or business segments.

Seasonality of Business

Our orders are influenced by seasonality, in line with the fluctuating demand for Home and Commercial Appliances. We derived 89.93%, 86.54%, 81.80% and 77.41% of our revenue from sale of Processed Steel Products used in the Home & Commercial Appliances sector for period ended June 30, 2026, Fiscals 2026, 2025 and 2024, respectively. As our business exhibits seasonality, with higher order volumes typically observed in the second half of the fiscal year in Home & Commercial Appliances sector, coinciding with peak consumer demand in the Indian summer and festive seasons, this seasonality may lead to uneven revenue recognition and capacity utilization across fiscal quarters. For further details, see “Risk Factors · Internal Risks · Our business is significantly dependent on the performance of certain end-use sectors, particularly the Home & Commercial Appliances sector, which contributed 89.93%, 86.54%, 81.80% and 77.41% of our revenue from sale of products for the three months period ended June 30, 2026, and for Fiscals 2026, 2025 and 2024, respectively. Any adverse developments, slowdown, reduced demand, or cyclicality affecting this sector could have a material adverse effect on our business, results ofoperations, financial condition and cash flows, on page 37.

Customer Concentration

We have historically derived, and may continue to derive, a significant portion of our revenue from our top 10 customers. The details of contribution by our top 10 customers to our revenue from operations for three months period ended June 30, 2026, Fiscals 2026, 2025 and 2024, is set out below:

*The names of the customers have not been disclosed in this Red Herring Prospectus due to the non-receipt of consent from such customers

460

*The names of the customers have not been disclosed in this Red Herring Prospectus due to the non-receipt of consent from such customers

*The names of the customers have not been disclosed in this Red Herring Prospectus due to the non-receipt of consent from such customers

*The names of the customers have not been disclosed in this Red Herring Prospectus due to the non-receipt of consent from such customers

For further details, see “Risk Factors - Internal Risks - We derived 73.54% and 71.33%, 67.44% and 67.43% of our revenue from our top ten customers for three months period ended June 30, 2026, and for the Fiscals 2026, 2025 and 2024, respectively. The loss of any of these customers or reduction in business from such will have a material adverse effect on our business, financial condition, results of operations and cash flows, on page 34.

Significant dependence on a single supplier

Our results of operations are significantly influenced by our dependence on a limited number of suppliers for the procurement of raw materials, particularly JSWSCPL. As an authorised service partner of JSWSCPL, we source a substantial portion of our key raw materials, including galvanised plain coils, colour-coated coils, and other coated steel products, from JSWSCPL.

This reliance on a single supplier exposes us to supply chain concentration risks, including potential disruptions in the event of changes to commercial terms, supply delays, or termination of our arrangement with JSWSCPL. While our association with JSWSCPL ensures consistent quality and supply, any adverse developments affecting this relationship may materially impact our production capabilities and financial performance.

Set out below is the bifurcation of the total Steel Coils sourced from JSWSCPL and other suppliers for the three months period ended June 30, 2026 and for the Fiscals 2026, 2025 and 2024:

(in Rs million except for percentages)

For further details, see “Risk Factors · Internal Risks · We are substantially dependent on a single supplier, JSW Steel Coated Products Limited and/or its holding Company (“JSWSCPL ”), for the supply of steel coils, which constitute a key raw material for our operations. For the three months period ended June 30, 2026, and for the Fiscal 2026, Fiscal 2025 and Fiscal 2024, we sourced approximately 85.13% and 86.65%, 90.61% and 84.58%, respectively, of our total steel coil requirements from JSWSCPL. This high level of supplier concentration exposes us to significant risks, and any disruption in the supply of steel coils from JSWSCPL could materially and adversely affect our business, results of operations and financial condition, on page 30.

Competitive Conditions

We expect to continue to compete with existing and potential competitors. For details, please refer to the discussions of our competition in “Risk Factors ” and “Our Business ” on pages 30 and 239, respectively.

Significant Developments after June 30, 2026

Except as disclosed below and elsewhere in this Red Herring Prospectus,

1. There is increase in authorized share capital of our Company from t60,00,00,000 consisting of 6,00,00,000 Equity Shares of face value of t10 each to t 65,00,00,000 consisting of 65,000,000 Equity Shares of face value of t10 each.