Goel Construction Company Ltd Management Discussions

OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

You should read the following discussion of our financial condition and results of operations together with our Restated Financial Information which have been included in this Red Herring Prospectus. The following discussion and analysis of our financial condition and results of operations is based on our Restated Financial Information for the financial years ended March 31, 2025, 2024 and 2023 including the related notes and reports, included in this Red Herring Prospectus prepared in accordance with requirements of the Companies Act and restated in accordance with the SEBI (ICDR) Regulations 2018, which differ in certain material respects from IFRS, U.S. GAAP and GAAP in other countries. Our Financial Statements, as restated have been derived from our audited financial statements for the respective years. Accordingly, the degree to which our Restated Financial Information will provide meaningful information to a prospective investor in countries other than India is entirely dependent on the reader‘s level of familiarity with Indian GAAP, Companies Act, SEBI Regulations and other relevant accounting practices in India.

This discussion contains forward-looking statements and reflects our current views with respect to future events and financial performance. Actual results may differ materially from those anticipated in these forward-looking statements as a result of certain factors such as those described under "Risk Factors" and "Forward Looking Statements" on pages 32 and 18 respectively, and elsewhere in this Red Herring Prospectus.

Our Financial Year ends on March 31 of each year. Accordingly, all references to a particular Financial Year are to the 12 months ended March 31 of that year.

Business Overview

We are a construction contractors having experience in construction of industrial plants and infrastructure projects. Our primary focus and strength has been deeply rooted in construction of Cement Plant, Power Plant and Dairy Plant and other industrial plants. Our focus is on delivering construction services, ensuring quality, timely execution and adherence to project specifications. Our understanding of industrial construction requirements of our clients, our commitment to safety, and the ability to manage complex projects, fosters long term relationship with our clients. In the last four years we have successfully executed and delivered 19 projects with an aggregate Contract Value of 1,13,499.37 lakhs, across various states in India. As on June 30, 2025, we have 14 ongoing projects across eight states in India, with an Order Book of 59,660.28 lakhs.

Our Company was incorporated as a Private Limited Company under the name of "Goel Construction Company Private Limited" as per the provisions of the Companies Act, 1956, and a certificate of incorporation was issued by Registrar of Companies, Jaipur, Rajasthan on June 24, 1997. Subsequently, our Company has been converted into a public limited company and the name of our

Company has been changed to "Goel Construction Company Limited" pursuant to a special resolution passed at the Extra-Ordinary General Meeting of our Company held on November 26, 2024, and a fresh certificate of incorporation dated December 20, 2024 has been issued by the Registrar of Companies, Jaipur. The Corporate Identity Number of our Company is U45201RJ1997PLC013937.

In 1997, we initiated our business operations in the state of Rajasthan, with an initial focus on institutional and infrastructure projects. In 2001, we broadened our scope by including construction of industrial plants. During the early stages, we primarily undertook smaller-scale projects or participated as sub-contractors in larger, more complex projects.

Over the years, we have strengthened our execution capabilities and developed managerial expertise in handling large-scale assignments, gradually shifting our focus toward executing complete construction projects. One of our initial projects undertaken in Rajasthan had a project value of 159 lakhs, whereas a project awarded to us in 2024 in Madhya Pradesh has a project value of 17,200.33 lakhs. This growth highlights our increasing capacity to undertake entire projects independently. Currently, we are executing six projects, each with a project value exceeding 10,000.00 lakhs.

We have successfully expanded our geographical footprint, with a presence in the states of Rajasthan, Andhra Pradesh, Haryana, Gujarat, Chhattisgarh, Jharkhand, Madhya Pradesh, Odisha, Punjab, Maharashtra, Karnataka and Uttar Pradesh.

Key Performance Indicators

In evaluating our business, we consider and use certain key performance indicators that are presented below as supplemental measures to review and assess our operating performance. The presentation of these key performance indicators is not intended to be considered in isolation or as a substitute for the Restated Financial Statements included in this Red Herring Prospectus. We present these key performance indicators because they are used by our management to evaluate our operating performance. Further, these key performance indicators may differ from the similar information used by other companies, including peer companies, and hence their comparability may be limited. Therefore, these matrices should not be considered in isolation or construed as an alternative to AS measures of performance or as an indicator of our operating performance, liquidity, profitability or results of operation. A list of our KPIs for the Financial Years ended March 31, 2025, 2024 and 2023 is set out below:

Particulars	Financial Year ended March 31, 2025*	Financial Year ended March 31, 2024*	Financial Year ended March 31, 2023*
Revenue From Operations (1)	58,998.45	38,605.99	27,073.21
EBITDA (2)	5,790.50	3629.43	2340.92
EBITDA Margin (in %) (3)	9.81%	9.40%	8.65%
Net Profit after Tax (4)	3,832.25	2,264.33	1,429.81
Net Profit Margin (in %) (5)	6.50%	5.87%	5.28%
Return on Net Worth (in %)(6)	34.09%	27.63%	22.53%
Return on Capital Employed (in %)(7)	33.69%	26.43%	20.96%
Debt Equity Ratio (in times)(8)	0.22	0.33	0.40
Net Worth (9)	13,158.82	9,326.57	7,062.24
Order Book (10)	43,848.81	54,730.89	45,320.92
Order Book to Revenue from Operation (in Times) (11)	0.74	1.42	1.67

* As certified by the M/s. Ravi Sharma & Co, Statutory Auditor, by certificate dated August 16, 2025 Notes:

1. Revenue from operations represents the revenue from sale of services and other operating revenue of our Company as recognized in the Restated financial information.

2. EBITDA means Earnings before interest, taxes, depreciation and amortization expense, which has been arrived at by obtaining the profit before tax/ (loss) for the year and adding back finance costs, depreciation, and amortization expense less Other Income.

3. EBITDA margin is calculated as EBITDA as a percentage of revenue from operations.

4. Net Profit after tax represents the restated profits of our Company after deducting all expenses.

5. Net Profit margin is calculated as restated profit/ (loss) for the year divided by revenue from operations.

6. Return on net worth is calculated as Net profit after tax, as restated, attributable to the owners of the Company for the year divided by Average Net worth. Average net worth means the average of the aggregate value of the paid-up share capital and reserves and surplus of the current and previous financial year.

7. Return on capital employed calculated as Earnings before interest and taxes divided by closing capital employed (closing capital employed calculated as aggregate value of total equity, total debt and deferred tax liabilities of the respective financial year).

8. Debt- equity ratio is calculated by dividing total debt by total equity. Total debt represents long term and short-term borrowings. Total equity is the sum of equity share capital, reserves and surplus.

9. Net Worth is calculated as sum of Equity Share Capital and Free Reserve including Security Premium.

10. Order book is shown figure of the work order in hand with the company at the end of period.

11. Order Book to revenue from operation is calculated as Order book at the end of the period divided by Revenue from operations represents the net revenue from Construction contracts as recognized in the Restated financial information.

SIGNIFICANT DEVELOPMENTS SUBSEQUENT TO THE LAST FINANCIAL PERIOD

In the opinion of the Board of Directors of our Company, since the date of the last financial statements disclosed in this Red Herring Prospectus, there have not arisen any circumstance that materially or adversely affect or are likely to affect the business activities or profitability of our Company or the value of its assets or its ability to pay its material liabilities within the next twelve months.

FACTORS AFFECTING OUR RESULTS OF OPERATIONS

Our business is subjected to various risks and uncertainties, including those discussed in the section titled "RiskFactors" on page 32

Our results of operations and financial conditions are affected by numerous factors including the following:

1. Our ongoing projects are exposed to various implementation risks and uncertainties and may be delayed, modified or cancelled for reasons beyond our control, which may adversely affect our business, financial condition and results of operation.

2. Our Order Book may not be representative of our future results and our actual income may be significantly less than the estimates reflected in our Order Book, which could adversely affect our results of operations.

3. We may not be able to compete and secure work order for projects we bid for, which could adversely affect our business and results of operations.

4. We derive a significant portion of our revenues from a limited number of clients. The loss of any significant clients may have an adverse effect on our business, financial condition, results of operations, and prospects.

5. We own, and hire equipment and fleet and mobilize such equipment and fleet at the beginning of each project resulting in increased fixed and operating costs to our Company. In the event we are not able to generate adequate cash flows it may have a material adverse impact on our operation.

BASIS OF PREPARATION, MEASUREMENT AND SIGNIFICANT ACCOUNTING POLICIES

For Significant accounting policies, please refer Significant Accounting Policies and Notes to accounts, beginning under Chapter titled "Restated Financial Statements" beginning on page 211 of this Red Herring Prospectus.

PRINCIPAL COMPONENTS OF STATEMENT OF PROFIT AND LOSS

Set forth below are the principal components of statement of profit and loss from our continuing operations:

Total Income

Our total income comprises of (i) revenue from operations and (ii) other income.

Revenue from Operations

Revenue from operations comprises of: (i) Revenue from Construction Works and (ii) other operating revenue

Other Income

Other income includes (i) Interest Income; (ii)Rental Income; (iii)Misc. Receipts; (iv) Share of profit from Partnership firm;; (v) Other Non-Operating Income.

Expenses

Our expenses comprises of: (i) cost of materials consumed; (ii) changes in inventories; (iii) employee benefits expense; (iv) finance costs; (v) depreciation and amortization expense; and (vi) other expenses.

Cost of Materials Consumed

Cost of materials consumed denote the sum of opening stock and purchases of materials and Stores & Spares and Tools less closing stock of materials and Stores & Spares and Tools.

Changes in Inventories

Changes in inventories denote the difference between opening and closing balance of work in progress.

Employee Benefits Expense

Employee benefits expenses include (i) Salaries and Wages; (ii) Contributions to Provident fund; (iii) Contributions to Employee State Insurance Fund, (iv) Gratuity Expenses and (v) Workers and Staff Welfare Expenses

Finance Cost

Finance cost includes (i) interest and (ii) other finance cost

Depreciation and Amortisation expenses

Depreciation and amortisation expenses primarily include depreciation expenses on office building, plant and machinery, furniture and fixtures, vehicles, Computer & Printers, office equipment, and other assets.

Other Expenses

Other expenses primarily include Construction Expenses, Car Expenses, Conveyance expenses, Donations, CSR Expenses, Electricity expenses, Increase in Share Capital Expenses, General expenses, Rent Rates and Taxes, Insurance expenses, Legal and professional expenses, Director Remuneration, Director sitting fees, News Papers and Periodicals, Postage and Courier Expenses, Printing and stationery, Business Promotion Expenses, Provision for bad and doubtful debt / Advances, Computers / Printers Repairs, Telephone expenses, Vehicle running expenses ( Other Than Car), Loss on sale of Fixed asset, Interest on TDS , Interest on Goods & service Tax, and Bad debts written off.

Our Results of Operations

The following table sets forth selective financial data from our restated statement of profit & loss for the financial years ended March 31, 2025, 2024 and 2023, the components of which are also expressed as a percentage of revenue from operations for such periods:

	For the Year ended March 31, 2025		For the Year ended March 31, 2024		For the Year ended March 31, 2023
Particulars	Amount	% of total income	Amount	% of total income	Amount	% of total income
Revenue from Operations	58,998.45	99.27%	38,605.99	99.30%	27,073.21	99.19%
Other income	435.90	0.73%	273.40	0.70%	220.75	0.81%
Total Income Expenses	59,434.35	100.00%	38,879.39	100.00%	27,293.96	100.00%
Cost of material Consumed	18,336.61	30.85%	10,611.91	27.29%	8,649.77	31.69%
Changes in inventories	319.69	0.54%	1,025.51	2.64%	(1,411.60)	-5.17%
Employee benefit expenses	5,813.20	9.78%	3,692.78	9.50%	2,818.86	10.33%
Finance costs	323.11	0.54%	283.25	0.73%	223.88	0.82%
Depreciation and amortization expenses	758.45	1.28%	586.96	1.51%	450.00	1.65%
Other expenses	28,738.45	48.35%	19,646.37	50.53%	14,675.26	53.77%
Total Expenses	54,289.51	91.34%	35,846.77	92.20%	25,406.17	93.08%
Profit / (Loss) before tax	5,144.84	8.66%	3,032.62	7.80%	1,887.79	6.92%
Less: Tax expense	1,312.59	2.21%	768.29	1.98%	457.98	1.68%
Profit / (Loss) for the year	3,832.25	6.45%	2,264.33	5.82%	1,429.81	5.24%

RESULTS OF OPERATIONS INFORMATION FOR THE FINANCIAL YEAR ENDED MARCH 31, 2025 COMPARED WITH FINANCIAL YEAR ENDED MARCH 31, 2024

Particulars	For the year ended March 31, 2025	For the ended March 31, 2024	Change in Lakhs	Change in %
Revenue from Operations	58,998.45	38,605.99	20,392.46	52.82%
Other income	435.90	273.40	162.50	59.44%
Total Income	59,434.35	38,879.39	20,554.96	52.87%
Expenses
Cost of material Consumed	18,336.61	10,611.91	7,724.70	72.79%
Changes in inventories	319.69	1,025.51	(705.82)	-68.83%
Employee benefit expenses	5,813.20	3,692.78	2,120.42	57.42%
Finance costs	323.11	283.25	39.86	14.07%
Depreciation and amortization expenses	758.45	586.96	171.49	29.22%
Other expenses	28,738.45	19,646.37	9,092.08	46.28%
Total Expenses	54,289.51	35,846.77	18,442.74	51.45%
Profit / (Loss) before tax	5,144.84	3,032.62	2,112.22	69.65%
Less:Tax expense	1,312.59	768.29	544.30	70.84%
Profit / (Loss) for the year	3,832.25	2,264.33	1,567.92	69.25%

Total Income

Our total income has increased by 52.87% to 59,434.35 Lakhs in Financial Year ended March 31, 2025 from 38,879.39 Lakhs in

Financial Year ended March 31, 2024 primarily due to overall increase in the net sales, other operating revenue and other income.

Revenue from Operations

Our Revenue from Operation consist of Revenue from Construction Works and Other operating revenue

Our Revenue from Construction Works increased by 52.72%, to 58,911.18 lakhs in Financial Year ended March 31, 2025 from 38,573.37 lakhs in Financial Year ended March 31, 2024. This growth was primarily driven by an increase in the number of projects awarded to us, which led to a corresponding rise in construction project receipt.

Other operating revenue increased by 167.54% to 87.27 lakhs in Financial Year ended March 31, 2025 from 32.62 lakhs in

Financial Year ended March 31, 2024.

Other Income

Our other income increased by 59.44% to 435.90 lakhs in Financial Year ended March 31, 2025 as compared to 273.40 lakhs in

Financial Year ended March 31, 2024, which is primarily because of increase in interest income by 229.94 lakhs, increase in rental income by 8.85 lakhs and offset by decrease in Misc. Receipts by 48.51, decrease in Share of profit from Partnership firm by 0.09 lakhs and other non-operating income of 27.69 lakhs.

Total Expenses

Our total expenses have increased by 51.45% to 54,289.51 lakhs in Financial Year ended March 31, 2025 from 35,846.77 lakhs in Financial Year ended March 31, 2024. This increase was principally due to 7,724.70 lakhs increase in cost of material consumed,

705.82 lakhs decrease in changes in inventories, 2,120.42 lakhs increase in employee benefit expenses, 39.86 lakhs increase in finance costs, 171.49 increase in depreciation and amortization expenses and 9,092.08 lakhs increase in other expenses.

Cost of material consumed

Cost of material consumed increased by 72.79% from 10,611.91 lakhs in Financial Year ended March 31, 2024 to 18,336.61 lakhs in Financial Year ended March 31, 2025. This was mainly due to increase in sales volume. As a percentage of turnover, it has gone up from 27.29% in Financial Year 2024 to 30.85% in Financial Year 2025 due to higher input material prices

Changes in Inventories

The change in inventories of Work-In-Progress was at 319.69 lakhs as at the end of March 31, 2025 as compared to 1,025.51 lakhs as at the end of March 31, 2024, a decrease of 68.83% was primarily because of utilisation of inventory at the close of Financial Year ended March 31, 2025.

Employee Benefits Expenses

Employee Benefits Expenses increased by 57.42% from 3,692.78 lakhs in Financial Year ended March 31, 2024 to 5,813.20 lakhs in Financial Year ended March 31, 2025. This increase was primarily attributable to increase in salaries and wages of employees; Contribution to provident and other fund; Workers and Staff Welfare Expenses.

Finance Cost

Finance cost has increased by 14.07% to 323.11 lakhs in Financial Year ended March 31, 2025 from 283.25 lakhs in Financial Year ended March 31, 2024. This increase was due to increase in Machineries and Vehicles Loan.

Depreciation and Amortization Expenses

Depreciation and amortisation expense increased by 29.22 % to 758.45 lakhs in Financial Year ended March 31, 2025 from 586.96 lakhs in Financial Year ended March 31, 2024. This increase was primarily attributable to addition in fixed asset.

Other Expenses

Other expenses increased by 46.28% to 28,738.45 lakhs in Financial Year ended March 31, 2025 from 19,646.37 lakhs in Financial Year ended March 31, 2024. This was primarily due to increase in construction expense, Car Expenses, Conveyance expenses, Rent Rates and Taxes, General expenses and CSR.

Construction expense increased by 47.04% to 27,849.75 lakhs in Financial Year ended March 31, 2025 from 18,940.28 lakhs in Financial Year ended March 31, 2024. This was primarily due increase in Carriage and Transportation and Hire Charges by

316.26 lakhs; increase in Power and Fuel and Water Charges by 884.33 lakhs; increase in Repair and maintenance : Plant and machinery by 89.02 lakhs; increase in Work Expenses by 7,724.88 lakhs; decrease in Shuttering and Scaffolding Consumed by 198.03 lakhs and increase in Misc. Construction Expenses by 93.02 lakhs.

Profit Before Tax

Profit before tax increased by 69.65% to 5,144.84 lakhs in Financial Year ended March 31, 2025 from 3,032.62 lakhs in Financial Year ended March 31, 2024. This is mainly because of above reasons.

Tax Expenses

Due to an increase in our profit before tax, our tax expense increased by 70.84% to 1,312.59 lakhs in Financial Year ended March 31, 2025 from 768.29 lakhs in Financial Year ended March 31, 2024

Profit after Tax

For the various reasons discussed above, we recorded an increase of 69.25% in profit after tax from 2,264.33 lakhs in Financial Year ended March 31, 2024 to 3,832.25 lakhs in Financial Year ended March 31, 2025.

RESULTS OF OPERATIONS INFORMATION FOR THE FINANCIAL YEAR ENDED MARCH 31, 2024 COMPARED WITH FINANCIAL YEAR ENDED MARCH 31, 2023

Particulars	For the year ended March 31, 2024	For the year ended March 31, 2023	Change in Lakhs	Change in %
Revenue from Operations	38,605.99	27,073.21	11,582.89	42.60%
Other income	273.40	220.75	52.65	23.85%
Total Income	38,879.39	27,293.96	11,585.43	42.45%
Expenses
Cost of material Consumed	10,611.91	8,649.77	1,962.14	22.68%
Changes in inventories	1,025.51	(1,411.60)	2,437.11	-172.65%
Employee benefit expenses	3,692.78	2,818.86	873.92	31.00%
Finance costs	283.25	223.88	59.37	26.52%
Depreciation and amortization expenses	586.96	450.00	136.96	30.44%
Other expenses	19,646.37	14,675.26	4,971.10	33.87%
Total Expenses	35,846.77	25,406.17	10,440.60	41.09%
Profit / (Loss) before tax	3,032.62	1,887.79	1,144.83	60.64%
Less: Tax expense	768.29	457.98	310.31	67.76%
Profit / (Loss) for the year	2,264.33	1,429.81	834.52	58.37%

Total Income

Our total income has increased by 42.45% to 38,879.39 Lakhs in Financial Year ended March 31, 2024 from 27,293.96 Lakhs in

Financial Year ended March 31, 2023 primarily due to overall increase in the net sales, other operating revenue and other income.

Revenue from Operations

Our Revenue from Operation consist of Revenue from Construction Works and Other operating revenue

Our Revenue from Construction Works increased by 42.91%, to 38,573.37 lakhs in Financial Year ended March 31, 2024 from

26,990.48 Lakhs in Financial Year ended March 31, 2023. This growth was primarily driven by an increase in the number of projects awarded to us, which led to a corresponding rise in construction project receipt.

Other operating revenue decreased by 60.57% from 82.73 lakhs in Financial Year ended March 31, 2023 from 32.62 lakhs in

Financial Year ended March 31, 2024.

Other Income

Our other income increased by 23.85% to 273.40 lakhs in Financial Year ended March 31, 2024 as compared to 220.75 lakhs in Financial Year ended March 31, 2023, which is primarily because of increase in interest income by 27.63 lakhs, increase in Other

Non Operating Income by 25.91 lakhs, increase in Miscellaneous Receipts by 68.84 lakhs and offset by decrease in Share of profit from Partnership firm by 68.57 lakhs and rental income of 1.17 lakhs.

Total Expenses

Our total expenses have increased by 41.09% to 35,846.77 lakhs in Financial Year ended March 31, 2024 from 25,406.17 lakhs in Financial Year ended March 31, 2023. This increase was principally due to 1,962.14 lakhs increase in cost of material consumed,

2,437.11 lakhs increase in changes in inventories, 873.92 lakhs increase in employee benefit expenses, 59.37 lakhs increase in finance costs, 136.96 increase in depreciation and amortization expenses and 4,971.11 lakhs increase in other expenses.

Cost of material consumed

Cost of material consumed increased by 22.68% from 8,649.77 lakhs in Financial Year ended March 31, 2023 to 10,611.91 lakhs in Financial Year ended March 31, 2024. This was mainly due to increase in sales volume. However, as a percentage of turnover, it has gone down from 31.69% in Financial Year 2023 to 27.29% in Financial Year 2024 due to rationalization in material pricing

Changes in Inventories

The change in inventories of Work-In-Progress was at 1,025.51 lakhs as at the end of March 31, 2024 as compared to (1,411.60) lakhs as at the end of March 31, 2023, an increase of 224.98 % was primarily because of utilisation of inventory at the close of Financial Year ended March 31, 2024.

Employee Benefits Expenses

Employee Benefits Expenses increased by 31.00% from 2,818.86 lakhs in Financial Year ended March 31, 2023 to 3,692.78 lakhs in Financial Year ended March 31, 2024. This increase was primarily attributable to increase in salaries and wages of employees; Contribution to provident and other fund; Gratuity Expenses and Workers and Staff Welfare Expenses.

Finance Cost

Finance cost has increased by 26.52% to 283.25 lakhs in Financial Year ended March 31, 2024 from 223.88 lakhs in Financial Year ended March 31, 2023. This increase was due to increase in Machineries and Vehicles Loan and Bank charges.

Depreciation and Amortization Expenses

Depreciation and amortisation expense increased by 30.44 % to 586.96 lakhs in Financial Year ended March 31, 2024 from 450.00 lakhs in Financial Year ended March 31, 2023. This increase was primarily attributable to addition in fixed asset.

Other Expenses

Other expenses increased by 33.87% to 19,646.37 lakhs in Financial Year ended March 31, 2024 from 14,675.26 lakhs in Financial Year ended March 31, 2023. This was primarily due to increase in construction expense, Car Expenses, Conveyance expenses Rent Rates and Taxes, General expenses and Provision for bad and doubtful debt / Advances.

Construction expense increased by 33.93% to 18,940.28 lakhs in Financial Year ended March 31, 2024 from 14,142.29 lakhs in Financial Year ended March 31, 2023. This was primarily due increase in Carriage and Transportation and Hire Charges by

349.15 lakhs; increase in Power and Fuel and Water Charges by 152.31 lakhs; decrease in Repair to Machinery by 6.78 lakhs; increase in Work Expenses by 4,222.64 lakhs; decrease in Shuttering and Scaffolding Consumed by 395.53 lakhs and increase in Misc. Construction Expenses by 476.20 lakhs.

Profit Before Tax

Profit before tax increased by 60.64% to 3,032.62 lakhs in Financial Year ended March 31, 2024 from 1,887.79 lakhs in Financial Year ended March 31, 2023. This is mainly because of above reasons.

Tax Expenses

Due to an increase in our profit before tax, our tax expense increased by 67.76% to 768.29 lakhs in Financial Year ended March 31, 2024 from 457.98 lakhs in Financial Year ended March 31, 2023

Profit after Tax

For the various reasons discussed above, we recorded an increase of 58.37% in profit after tax from 1,429.81 lakhs in Financial Year ended March 31, 2023 to 2,264.33 lakhs in Financial Year ended March 31, 2024.

Cash Flow

The table below summaries our cash flows from our Restated Financial Information for the the financial years ended March 31, 2025, 2024 and 2023: ( in lakhs)

Particulars		For year ended March 31,
	2025	2024	2023
Net Cash flow from Operating Activities(A)	3,843.72	4,824.81	2,419.84
Net Cash used in Investing Activities(B)	(3,320.28)	(3,609.31)	(3,746.81)
Net cash flow generated from/ (utilized in) financing activities (C)	(503.08)	(83.79)	675.70
Net (decrease)/ increase in cash & cash equivalents (A+B+C)	20.36	1,131.71	(651.27)
Cash and cash equivalents at the beginning of the period	1,306.28	174.57	825.84
Cash and cash equivalents at the end of the period	1,326.63	1,306.28	174.57

Cash flow from Operating Activities

For the Financial year ended March 31, 2025

Net cash flow from our operating activities was 3,843.72 lakhs for the financial year ended March 31, 2025. Our operating profit before working capital changes was 5,843.40 lakhs in the financial year ended March 31, 2025, which was the result of the profit before tax for the year of 5,144.84 lakhs adjusted primarily for depreciation and amortization of 758.45 lakhs, finance costs of 323.11 lakhs, Loss on Sale of Assets of 7.09 Lakhs, and interest received of 390.09 lakhs. Our movements in working capital primarily consisted of an increase in trade receivables of 414.87 lakhs, an increase in trade payables of 1,466.08 lakhs, a decrease in inventories of 840.34 lakhs, a decrease in other current liabilities of 616.57 lakhs, an increase in Short Term Loans & Advances of 244.07 lakhs, an increase in other current assets of 1,774.25 lakhs, an increase in provision of 24.13 lakhs and income tax paid of 1,280.46 lakhs.

For the Financial year ended March 31, 2024

Net cash flow from our operating activities was 4,824.81 lakhs for the financial year ended March 31, 2024. Our operating profit before working capital changes was 3,743.82 lakhs in the financial year ended March 31, 2024, which was the result of the profit before tax for the year of 3,032.62 lakhs adjusted primarily for depreciation and amortization of 586.96 lakhs, finance costs of 283.25 lakhs, Loss on Sale Of Assets of 1.13 Lakhs, and interest received of 160.15 lakhs. Our movements in working capital primarily consisted of an increase in trade receivables of 45.00 lakhs, a decrease in trade payables of 1,212.96 lakhs, a decrease in inventories of 4,118.55 lakhs, an increase in other current liabilities of 151.44 lakhs, a decrease in Short Term Loans & Advances of 192.09 lakhs, an increase in other current assets of 1,399.63 lakhs, an increase in provision of 38.87 lakhs and income tax paid of 762.37 lakhs.

For the Financial year ended March 31, 2023

Net cash flow generated from our operating activities was 2,419.84 lakhs for the financial year ended March 31, 2023. Our operating profit before working capital changes was 2,434.93 lakhs in the financial year ended March 31, 2023, which was the result of the profit before tax for the year of 1,887.79 lakhs adjusted primarily for depreciation and amortization of 450.00 lakhs, finance costs of 223.88 lakhs, Loss on Sale Of Assets of 5.78 Lakhs, and interest received of 132.52 lakhs. Our movements in working capital primarily consisted of an increase in trade receivables of 729.45 lakhs, an increase in trade payables of 1,935.78 lakhs, an increase in inventories of 4,244.26 lakhs, an increase in other current liabilities of 4,228.06 lakhs, an increase in Short Term Loans & Advances of 480.26 lakhs, an increase in other current assets of 327.34 lakhs, an increase in provision of 33.96 lakhs and income tax paid of 431.58 lakhs.

Cash flow from Investing Activities

For the Financial year ended March 31, 2025

Net cash used in investing activities was 3,320.28 lakhs for the financial year ended March 31, 2025. This reflected the capital expenditure made towards Tangible assets for 2,310.60 lakhs, Purchase of Non-Current Investments of 62.83 lakhs, Purchase of Current Investments of 468.76 lakhs, Advances For Capital Goods of 12.01 lakhs and Cash advances and loans made to other parties of 896.28 lakhs offset by Sale of Tangible assets of 40.11 lakhs and interest received of 390.09 lakhs.

For the Financial year ended March 31, 2024

Net cash used in investing activities was 3,609.31 lakhs for the financial year ended March 31, 2024. This reflected the capital expenditure made towards Tangible assets for 1639.75 lakhs, Purchase of Current Investments of 1,609.18 lakhs, Cash advances and loans made to other parties of 815.06 lakhs offset by Sale of Tangible assets of 10.50 lakhs, Sale of Non-Current Investments of 191.70 lakhs, Advances For Capital Goods of 92.34 lakhs and interest received of 160.15 lakhs.

For the Financial year ended March 31, 2023

Net cash used in investing activities was 3,746.81 lakhs for the financial year ended March 31, 2023. This reflected the capital expenditure made towards Tangible assets for 2,223.83 lakhs, Purchase of Non-Current Investments of 571.04 lakhs, Purchase of Current Investments of 992.39 lakhs, Advances For Capital Goods of 100 lakhs, Cash advances and loans made to other parties of 0.47 lakhs offset by Sale of Tangible assets of 18.40 lakhs, and interest received of 132.52 lakhs.

Cash flow from Financing Activities

For the Financial year ended March 31, 2025

Net cash used in financing activities was 503.08 lakhs for the financial year ended March 31, 2025 consisting of increase in short-term borrowings of 77.61 lakhs, repayment of long-term borrowings of 257.58 lakhs and decrease in finance cost of 323.11 lakhs.

For the Financial year ended March 31, 2024

Net cash used in financing activities was 8 3 .79 lakhs for the financial year ended March 31, 2024 consisting of increase in short-term borrowings of 154.34 lakhs, increase in long-term borrowings of 45.12 lakhs and decrease in finance cost of 283.25 lakhs.

For the Financial year ended March 31, 2023

Net cash generated from financing activities was 675.70 lakhs for the financial year ended March 31, 2023 consisting of increase in short-term borrowings of 171.34 lakhs, increase in long-term borrowings of 728.24 lakhs and decrease in finance cost of 223.88 lakhs.

Financial Indebtedness

As on July 31, 2025 the total outstanding borrowings of our Company was 2,714.01 Lakhs. The following table sets out the details of the total borrowings outstanding as on July 31, 2025.

Particulars	Amount
1. Secured Loan	2,644.58
(a) Term Loan	278.10
(b) Construction Equipment	2,305.25
(c) Vehicle Loan	61.23
(d) Working Capital Loan	-
2. Unsecured Loan	69.43
(a) From Directors	37.82
(b) From Related parties and others	31.61
Total	2,714.01

* As certified by the M/s. Ravi Sharma & Co, Statutory Auditor, by certificate dated August 16, 2025

In the event, any of our lenders declare an event of default, such current and any future defaults could lead to acceleration of our repayment obligations, termination of one or more of our financing agreements or force us to sell our assets, any of which could adversely affect our business, results of operations and financial condition.

Contingent Liabilities

The following table sets forth our contingent liabilities as on March 31, 2025, March 31, 2024 and March 31, 2023 as per the Restated Financial Information:

			( In Lakhs)
Particulars	As on March 31, 2025#	As on March 31, 2024#	As on March 31, 2023#
Counter Guarantee given to companies banker for Guarantee issued 1 by them to the companys constituents against fulfilment of certain commitments.	5286.54	6289.72	4897.97
2 Goods and service related: -
(a) GST related matter for which company preferred appeal (Refer Note 1)	-	5.87	-
(b) GST related matter for which company has submitted its reply, awaiting for reply from Department (Refer Note 2)	-	1.04	1.04
(c) GST related matter for which company has submitted its reply, awaiting for reply from Department (Refer Note- 3)	1.46	28.4	28.4
(d) GST related matter for which company has submitted its reply, awaiting for reply from Department (Refer Note- 4)	2.69	-	-
(e) Demand as per UPVAT act	1.46	1.46	1.46
(f) Excess ITC claim in the April 2019-June 2019	1.92	1.92	1.92
3 TDS Demand as per Traces Portal (Refer Note-5)	0.06	22.75	22.75
4 Wages & Overtime Dispute (Refer Note- 6)	-	55.27	-

# As certified by the M/s. Ravi Sharma & Co, Statutory Auditor, by certificate dated August 16, 2025

Note 1: Central Goods and Service Tax (CGST) Department, Jabalpur, Madhya Pradesh issued a penalty of INR 5.87 lakh for expired E-way Bill in FY 2023-24. The order has been quashed in F.Y. 2024-25 and the assessment has been in favour of company, so no liability is provided.

Note 2: Central Goods and Service Tax (CGST) Department, Jajpur, Odisha issued a penalty of INR 1.04 lakh for E-way Bill mismatch. The order has been quashed in F.Y. 2024-25 and the assessment has been in favour of company, so no liability is provided. Note 3: The company received a State Goods and Service Tax (SGST) order for wrong ITC availment of INR 20.08 lakh, plus INR 8.32 lakh interest. The Company have received the rectification order under the appeal on July 10, 2025, where the demand is modified from Rs 28.4 lakhs to Rs 1.46 lakhs.

Note 4: The company received a Goods and Service Tax order for Rs. 2.69 lakh due to mismatch in GSTR-1 and GSTR-3B

Note 5: The company received an TDS demand of Rs 22.75 lakhs in the preceding financial years, out of which 22.71 lakhs have been paid in the F.Y 2024-25. For the F.Y. 2024-25 & 2025-26 TDS demand payable amounts to Rs 0.02 Lakhs.

Note 6: The company is facing legal proceedings under the Labour law for Rs 55.27 Lakhs for which order has been passed by lower court, against which the company has filled the appeal in court, also company issued DD under protest. The same has been paid during the current year & debited to profit and loss account pending disposal of appeal.

Off-Balance Sheet Items

We do not have any other off-balance sheet arrangements, derivative instruments or other relationships with any entity that have been established for the purposes of facilitating off-balance sheet arrangements except Claims against the Company not acknowledged as debts and not provided for, in respect of which the Company is in appeal remaining to be completed amounts to Rs. 76.87 lakhs.

Effect of Inflation

We are affected by inflation as it has an impact on the material cost, wages, etc. in line with changing inflation rates; we rework our margins so as to absorb the inflationary impact.

Reservations, Qualifications and Adverse Remarks

Except as disclosed in chapter titled "Restated Financial Statements" on page 211 there have been no reservations, qualifications and adverse remarks.

Material Frauds

There are no material frauds, as reported by our statutory auditor, committed against our Company, in the last three Financial Years.

Unusual or Infrequent Events or Transactions

As on date, there have been no unusual or infrequent events or transactions including unusual trends on account ofbusiness activity, unusual items of income, change of accounting policies and discretionary reduction of expenses.

Significant Economic Changes that Materially Affected or are Likely to Affect Income from Continuing Operations

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 ‘Factors Affecting our Results of Operations and the uncertainties described in the section entitled "Risk Factors" beginning on page no. 32 of the Red Herring Prospectus. To our knowledge, except as we have described in the Red Herring Prospectus, there are no known factors which we expect to bring about significant economic changes.

Known Trends or Uncertainties that have had or are expected to have a Material Adverse Impact on Sales, Revenue or Income from Continuing Operation

Other than as described in the section titled "Risk Factors" on page 32 and in this chapter, to our knowledge there areno known trends or uncertainties that are expected to have a material adverse impact on revenues or income of our Company from continuing operations.

Future Changes in Relationship between Costs and Revenues, in Case of Events Such as Future Increase in Labour or Material Costs or Prices that will Cause a Material Change are known

Other than as described in chapter titled "Risk Factors" on page no 32 and in this section, to our knowledge there are no known factors that might affect the future relationship between cost and revenue.

Status of any Publicly Announced New Services or Business Segments

As on the date of the Red Herring Prospectus, there are no new services or business segments that have or are expected to have a material impact on our business prospects, results of operations or financial condition.

Significant Dependence on a Single or Few Suppliers

The percentage of purchases derived from our top suppliers is given below:

	FY 2024-25#		FY 2023-24#		FY 2022-23#
Particulars	Amount	%*	Amount	%*	Amount	% *
1. Purchase from top 1 Supplier	2,310.46	12.60	1,352.29	12.75	2,852.28	32.98
2. Purchase from top 5 Suppliers	6,979.59	38.06	3,755.94	35.39	6,325.85	73.13
3. Purchase from top 10 Suppliers	10833.70	59.08	5,805.32	54.71	8,256.89	95.46

*% here represents the % of cost of material consumed.

#As certified by M/s. Ravi Sharma & Co., Statutory Auditor, by certificate dated August 16, 2025

Significant Dependence on a Single or Few Customers

The percentage of revenue from operations derived from our top customers is given below:

		FY 2024-25*		FY 2023-24*		FY 2022-23*
	Particulars	Amount	% of Revenue from Operations	Amount	% of Revenue from Operations	Amount	% of Revenue from Operations
Revenue	from top 1 customer	25,149.12	42.69	17,080.32	44.28	12,479.40	46.24
Revenue	from top 5 customer	49,525.64	84.07	31,443.88	81.52	23,585.51	87.38
Revenue	from top 10 customer	56,373.21	95.69	37,504.49	97.23	26,899.49	99.66