VMS TMT Ltd Management Discussions

OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS

Our fiscal or financial year ends on March 31 of each calendar year. Accordingly, references to a "Fiscal" or "Financial Year" are to the 12-month period ended March 31 of the relevant year. Unless otherwise stated or the context otherwise requires, the financial information included in this section is as of three month period ended June 30, 2025 and March 31, 2025, March 31, 2024 and March 31, 2025 and Restated Financial Information for three month period ended June 30, 2025 and Fiscal 2025, Fiscal 2024 and Fiscal 2023 included in this Red Herring Prospectus has been derived from the Restated Financial Information on page 318.

Unless the context otherwise requires, references in this section to "our Company", "we", "us", or "our" are to VMS

TMT Limited.

We have also included various operational and financial performance indicators in this Red Herring Prospectus, some of which have not been derived from our Restated Financial Information. The manner of calculation and presentation of some of the operational and financial performance indicators and the assumptions and estimates used in such calculation, may vary from that used by other companies in India and other jurisdictions.

Unless otherwise indicated, the industry-related information contained in this section is derived from a report titled "TMT Bars Industry in India" dated September 08, 2025, prepared by D&B, which has been prepared exclusively for the purpose of understanding the industry in connection with the Issue and commissioned and paid for by our Company in connection with the Issue (the "Dun & Bradstreet Report"). The data included herein includes excerpts from the Dun & Bradstreet

Report and may have been re-arranged by us for the purposes of presentation. Unless otherwise indicated, all financial, operational, industry and other related information derived from the Dun & Bradstreet Report and included herein with respect to any particular year, refers to such information for the relevant calendar year. Copy of the Dun & Bradstreet Report is available on the website of our Company at www.vmstmt.com.

Overview

We are engaged in manufacturing of Thermo Mechanically Treated Bars ("TMT Bars") at our manufacturing facility situated at Bhayla Village, Ahmedabad, Gujarat, India. TMT Bars are high-strength reinforcement steel used widely in construction industry due to their exceptional strength, ductility, and corrosion resistance. (Dun & Bradstreet Report) We conduct our business predominantly in the State of Gujarat from where we derived 98.93%, 96.71%,, 98.75%, and 97.42% of our revenues from operations in the three months period ended June 30, 2025 and Fiscal 2025, Fiscal 2024 and Fiscal 2023 respectively. Our revenue from operations from sale of TMT Bars in the three months period ended June 30, 2025 and Fiscal 2025, Fiscal 2024 and Fiscal 2023 constituted approximately 95.99%, 91.63%, 94.06% and 96.85% of the revenue from operations. In the three months period ended June 30, 2025 and Fiscal 2025, retail sales constituted 86.93% and 78.66%, respectively and institutional sales constituted 12.60% and 20.33%, respectively of the total revenue from operations. Our revenue from operations also includes sale of scrap, binding wires and billets which constituted approximately 3.54%, 7.35%, 5.94% and 3.15% of the total revenue from operations in the three months period ended June 30, 2025, Fiscal 2025, Fiscal 2024 and Fiscal 2023 respectively. We have a diverse customer base of retail and institutional customers primarily based in the State of Gujarat (except Saurashtra and Kutch district of Gujarat). We have a retail licence agreement dated November 7, 2022, with Kamdhenu Limited which allows us to market our TMT Bars under the Kamdhenu Brand on mutually agreed terms within the State of Gujarat (except Saurashtra and Kutch district of Gujarat) on a non-exclusive basis. We sell our TMT Bars to customers through distribution network, on a non-exclusive basis, which comprise of 3 distributors and 227dealers as of July 31, 2025. Accordingly, we rely on our distributors and dealers with whom we do not have any formal arrangements. Our ability to expand and grow our brands reach significantly depends on the reach and effective management of our distributor and dealer network. We continuously seek to increase the penetration by appointing new distributors and dealers to ensure wide distribution network targeted at different consumers and areas. The table below shows our revenue from operations by sale of TMT Bars, scrap, binding wires and billets for the period / fiscal indicated:

Presently, we are manufacturing TMT Bars from scrap and billets at our manufacturing facility. TMT Bars are manufactured through thirty - ton induction furnace from scrap in our continuous casting machine ("CCM") and rolling mill and also from billets through our reheating furnace and rolling mill. Our total annual installed capacity of TMT Bars is 2,00,000 metric tonnes ("MT") per annum for Fiscal 2025 and our production of TMT Bars in the three months period ended June 30, 2025, Fiscal 2025, Fiscal 2024 and Fiscal 2023 was 35,741 MT, 1,26,065 MT, 1,60,321 MT, and 1,61,807 MT, respectively. For further details, see "Our Business - Manufacturing - Capacity, Production and Capacity Utilization" on page 204. In September 2024, our Company has completed the backward integration of its CCM division which have enabled us to manufacture TMT Bars from scrap, reducing our dependency on billets from suppliers. Prior to our backward integration, our main raw material for our TMT Bars used to be billets, which we used to primarily source domestically from, inter alia, Gujarat, Chhattisgarh, Maharashtra, Madhya Pradesh, Orisha and Rajasthan. Presently, our basic raw materials are scrap, manganese, non-coking coal dolomite, limestone and bentonite, which we source both domestically and from other countries such as Hongkong, UAE, Kuwait, Australia, Singapore among other countries and will continue to do so. In the three months period ended June 30, 2025 and Fiscal 2025, Fiscal 2024 and Fiscal 2023, approximately 69.63%, 69.99%, 64.04% and 77.65%, respectively, of our material purchases were from suppliers in Gujarat. Further, purchase of raw material locally saves us in transportation costs and time of delivery and keeping our raw material inventory level under check. Currently, apart from scrap, our major cost of production involves power expenses. We require 22MW of power for our uninterrupted operations, which we source from Uttar Gujarat Vij Company Limited. To reduce our electricity expenses, we have initiated the process of setting up of a 15 MW solar power plant in Gujarat for our captive consumption. In this regard, our Company have entered into a MOU dated August 22, 2024 and addendum to the MOU dated September 10, 2025 with Prozeal Green Energy Limited ("Prozeal") pursuant to which the Prozeal has arranged and Company has taken on lease certain parcel of land from third parties admeasuring 32.91 acres bearing account no. 118, Survey No. 489 and account no. 363, Survey No. 490 situated at Village Forna, Diyodar Taluka, District Banaskantha, Gujarat to set up a solar project at the said land. Our Company has already made an advance payment to Prozeal and have also received the provisional registration of renewable energy project under Gujarat Renewable Energy Policy, 2023 on October 25, 2024 from Gujarat Energy Transmission Corporation Limited. For further details, see "Our Business - Our Strategies Integration to Renewable Energy for Cost Optimization and Sustainability" on page 197. With the installation of the electric furnace, we are manufacturing TMT Bars from scrap, eliminating the re-heating furnace majorly which will allow us to reduce our cost of production significantly and eliminate our dependency on coal, however, currently our Company is manufacturing TMT Bars both from scrap and billets. We focus on sustainability by emphasizing quality, environment, health and safety. We believe that maintaining a high standard of quality for our products is critical to our continued growth. Our products meet the standards set by the Bureau of Indian Standards ("BIS"). We also maintain a number of quality management system certificates in line with industry standards, including ISO 9001:2015 for quality management standards, ISO 45001:2018 for occupational health and safety management system standards and ISO 14001:2015 for environmental management system standards.

Our business is predominantly conducted in the State of Gujarat (except Saurashtra and Kutch district of Gujarat) and we derive our revenue from retail as well as institutional sales. We market and sell our TMT Bars in the State of Gujarat (except Saurashtra and Kutch district of Gujarat) under the Kamdhenu Brand. We also sell scrap and binding wires in the State of Gujarat and other states. Our focus on sales of TMT Bars has been Tier II and Tier III cities. As of July 31, 2025, we use fleet of over 50 trucks provided by a third-party transportation and logistics provider for delivery of our products to our customers. We believe that doorstep delivery to our retail customers entitle us to have a strategic advantage over our competitors. For the three months period ended June 30, 2025 and Fiscal 2025, Fiscal 2024 and Fiscal 2023, we generated 98.93%, 96.71%,98.75% and 97.42%, respectively, of our revenue from operations from customers in the State of Gujarat. We sell our TMT Bars to customers through distribution network on a non-exclusive basis which comprise of 3 distributors and 227 dealers as of July 31, 2025. We have divided the State of Gujarat into three zones namely central, north and south, respectively, with one distributor in each zone which helps us to optimize market penetration, service delivery and operational efficiency Our Company is led by our Individual Promoters: Varun Manojkumar Jain, Rishabh Sunil Singhi, Manojkumar Jain and Sangeeta Jain, who have a cumulative experience of more than three decades in steel industry. Our Company is supported by an experienced and professional management team and by a workforce of 230 permanent employees as of July 31, 2025. We believe that the collective experience and capabilities of our Promoters and management team and strong workforce enable us to understand and anticipate market trends and manage our business operations and growth. Our Company and Aditya Ultra Steel Limited, one of our Group Companies which is also engaged in the manufacturing of TMT Bars under the Kamdhenu brand in the State of Gujarat, have entered into a Memorandum of Understanding dated

May 16, 2024 ("MoU"). Pursuant to the said MoU, it has been agreed by Aditya Ultra Steel Limited to focus its business operations only in the Saurashtra and Kutch district of Gujarat and not to sell, deal, distribute, or supply TMT Bars and allied products outside these areas. Similarly, our Company has agreed to concentrate its business operations in districts other than Saurashtra and Kutch, Gujarat for selling, dealing, distributing, and supplying TMT Bars and allied products beyond Saurashtra and Kutch, Gujarat.

Key financial information

Set forth below is certain key financial information for the periods indicated:

Particulars	For the three months period		Fiscal
	ended June 30, 2025*	2025	2024	2023
Financial Measures
GAAP Measures
Total Income ( in lakh)	21,339.35	77,140.76	87,316.86	88,205.61
PAT ( in lakh)	857.64	1,473.70	1346.84	419.53
Net Worth ( in lakh)	8,177.47	7,319.00	4,651.27	3,083.77
PAT Margin (%)	4.02	1.91	1.54	0.48
Non - GAAP Measures
EBITDA( in lakh)	1,948.33	4,552.62	4,120.29	2,190.77
EBITDA Margin(%)	9.18	5.91	4.72	2.48
RoNW(%)	10.49	20.14	28.96	13.60
RoCE (%)	4.52	12.79	16.70	10.94
Debt to EBITDA Ratio	15.87	6.06	4.80	7.43

*Not Annualised Notes: i. All above figures are calculated from Restated Financial Statements ii. EBITDA = PBT + (finance Costs+ depreciation and amortization expenses) - other income. iii. EBITDA Margin is EBITDA as a percentage of Revenue from operation.. iv. PAT Margin is calculated as profit/ (loss) for the year/ period as a percentage of total income. v. Return on Net Worth is PAT after exceptional items, as a % of Net Worth. vi. ROCE (Return on Capital Employed) (%) is calculated as earnings before interest and taxes divided by average capital employed. Capital Employed includes Tangible Net Worth, Total Borrowings & Deferred Tax Liabilities. vii. Debt to EBITDA ratio is calculated by dividing a companys total debt (including both short-term and long-term debt) by its

Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA).

SIGNIFICANT FACTORS AFFECTING OUR RESULTS OF OPERATIONS AND FINANCIAL CONDITION

Our business and results of operations have been affected by a number of important factors that we believe will continue to affect our business and results of operations in the future. These factors include the following:

Loss of our suppliers or a failure by our suppliers to deliver some of our primary raw materials

Our ability to remain competitive, maintain competitive costs and profitability depend, in part, on our ability to source and maintain a stable and sufficient supply of raw materials at acceptable prices. We procure some of our primary raw materials, such as, (i) billets and coal on a purchase order basis; and (ii) we purchase coal on a purchase order basis, (iii) iron scrap imported and purchased locally and have not entered into long term contracts for the supply of such raw materials. The table below sets forth our cost of materials consumed for the three months period ended June 30, 2025 and Fiscal 2025, 2024 and 2023:

In respect of coal, we sourced our requirements from five (5) suppliers in the three months period ended June 30, 2025, eight (8) suppliers in Fiscal 2025, two (2) suppliers in Fiscal 2024 and six (6) suppliers in Fiscal 2023.

As a result, the success of our business is significantly dependent on maintaining good relationships with our raw material suppliers. Absence of long-term supply contracts subject us to risks such as price volatility caused by various factors such as commodity market fluctuations, currency fluctuations, climatic and environmental conditions, production and transportation cost, changes in domestic as well as international government policies, and regulatory and trade sanctions. Additionally, our inability to predict the market conditions may result in us placing supply orders for inadequate quantities of such raw materials. Loss of any of our suppliers or a failure by our suppliers to deliver some of our primary raw materials such as billets and coal may have an adverse impact on our ability to continue our manufacturing process without interruption and our ability to manufacture and deliver the products to our customers without any delay. Further, restrictions on import of raw materials and an increase in shipment cost may adversely impact our business and results of operations.

Demand and pricing in the steel industry

Domestic demand for TMT bars is anticipated to rise significantly, driven by the governments focused efforts on enhancing the nations infrastructure. The construction industrys growth in India is on an upward trajectory, increasingly favoring TMT bars due to their superior qualities. These bars are known for their exceptional strength, durability, and ability to withstand seismic activities, making them indispensable in modern construction. As the government continues to prioritize the development of quality and sustainable infrastructure, TMT bars are set to play a crucial role. (Source: Dun & Bradstreet Report)

Further, the construction sector is a key component of the Indian economy with linkages across more than 250+ sub sectors. Construction, the second largest economic activity in India (after agriculture) contributes around ~9.1% to the national GDP. Further, India is poised to become the third largest construction market in the next 2-3 years on the back of stable economic growth as the real estate sector has emerged to be a critical engine in the countrys growth story (Source: Dun & Bradstreet Report)

Steel prices fluctuate based on a number of factors, such as, the availability and cost of raw material inputs, fluctuations in domestic and international demand and supply of steel and steel products, international production and capacity, fluctuation in the volume of steel imports, transportation costs, protective trade measures and various social and political factors, in the economies in which the steel producers sell their products and are sensitive to the trends of particular industries, such as, the construction and machinery industries. When downturns occur in these economies or sectors, we may experience decreased demand for our products, which may lead to a decrease in steel prices, which may, in turn, have a material adverse effect on our business, results of operations, financial condition and prospects.

Low steel prices adversely affect the businesses and results of operations of steel producers generally, including ours, resulting in lower revenue and margins and write-downs of finished steel products and raw material inventories.

Loss of our customers and dependence on our retail licence agreement with Kamdhenu Limited

We are dependent on our retail licence agreements with Kamdhenu Limited dated November 7, 2022 which allows us to market and sale our TMT Bars on a non-assignable and non-exclusive basis and on mutually agreed terms within the State of Gujarat for the period of five (5) years from the date of execution of the agreement unless terminated. Our revenues from sale of TMT Bars have been the pre-dominant revenue stream for our Company, and in three months period ended June 30, 2025 and Fiscal 2025, Fiscal 2024 and Fiscal 2023 we have generated revenues of 20,373.86 lakhs, 70,573.77 lakhs, 82,110.69 lakhs and 85,420.37 lakhs, respectively, representing 95.99 %, 91.63 %, 94.06% and 96.85% of our revenue from operations for the same respective periods. Our retail licence agreements are terminable by Kamdhenu Limited by giving one-month advance notice to us without any cost and reason and also immediately upon misuse or breach of the terms and conditions of the agreements. If the retail licence agreements are terminated, we could lose sales to our customers and also could consequently lose distributors and dealers that distribute our products, any of which materially and adversely impact our business, results of operations and financial condition.

Seasonality of business

Demand for our products is seasonal as climatic conditions, particularly the monsoon, affect the level of activity in the construction industry. As a result, we usually experience relatively weaker sales volume during the monsoon, and somewhat stronger sales in other seasons. We expect our results of operations will continue to be affected by seasonality in the future. Our results of operations for any quarter in a given year may not, therefore, be comparable with other quarters in that year.

Unexpected loss, shutdown or slowdown of operations at any of our manufacturing facility

Our manufacturing facility are subject to operating risks, such as the breakdown or failure of equipment, power supply interruptions, facility obsolescence or disrepair, labour disputes, natural disasters and industrial accidents. While we undertake precautions to minimize the risk of any significant operational problems at our facility, there can be no assurance that our business, financial position and operations will not be adversely affected by disruption caused by operational problems at our manufacturing facility. Any unscheduled, unplanned or prolonged disruption of our manufacturing operations, including, power failure, fire and unexpected mechanical failure of equipment, performance below expected levels of output or efficiency, obsolescence, labour disputes, strikes, lock-outs, earthquakes and other natural disasters, industrial accidents, any significant social, political or economic disturbances or infectious disease outbreaks such as the COVID-19 pandemic, which could lead to delayed or lost deliveries and adversely affect sales and revenues from operations in such period. The occurrence of any of these risks/events could affect our operations by causing production at one or more manufacturing plant to shut down or slowdown. We have in the past faced such instances.

Competition

TMT Bars is a capital intensive industry and there exists competition in our business which is based on pricing, extent and efficiency of the distribution network, relationships with customers particularly in the construction industry, product quality, and compliance with government regulation including environmental regulation. We face pricing pressures from companies, principally subsidiaries of large national steel companies and Indian TMT Bar companies that are able to produce TMT Bars at competitive costs and consequently, may supply their products at cheaper prices. Accordingly, to remain competitive in our market, our Company must continuously strive to reduce our operating costs and improve our operating efficiencies. Further, our Company believes that our well recognized brands also help us in competing effectively in the TMT Bars. For further details on our competition and the TMT Bar industry, see "Industry Overview" on page 139.

PRESENTATION OF FINANCIAL INFORMATION

Our restated statement of assets and liabilities as at the end of three months period ended June 30, 2025 and Fiscal 2025, Fiscal 2024 and Fiscal 2023, the restated statement of profit and loss (including other comprehensive income), the restated statement of changes in equity, the restated statement of cash flows for three months period ended June 30, 2025 and Fiscal 2025, Fiscal 2024 and Fiscal 2023, the summary statement of significant accounting policies, and other explanatory information, are collectively referred to as "Restated Financial Information".

The Restated Financial Information have been compiled by the management from the audited financial statements as at and three months period ended June 30, 2025 and Fiscal 2025, Fiscal 2024 and Fiscal 2023, prepared in accordance with Ind AS, as prescribed under Section 133 of the Companies Act read with Companies (Indian Accounting Standards) Rules 2015, as amended, and other accounting principles generally accepted in India.

A. Significant Accounting Policies

1 Corporate information

VMS TMT Limited (formerly known as VMS TMT Private Limited) is a Public Limited Company, incorporated in India under the provisions of the Companies Act, 1956, having its registered office at Survey No. 214, Near Water Tank, Bhayla, Ahmedabad, Bavla, Gujarat, India, 382220. The Company is engaged in the business of manufacturing of TMT Bars and dealing into other Steel Items.

A Material accounting policies: 1.1 Basis of preparation (i) Statement of compliance

We have examined the attached Restated Financial Statement of VMS TMT Limited, (the "Company" or the

"Issuer"), comprising the Restated Statement of Assets and Liabilities as at June 30, 2025 , March 31, 2025, March 31, 2024, and March 31, 2023, the Restated Statement of Profit and Loss (including Other Comprehensive Income), Restated Statement of Changes in Equity and Restated Statement of Cash Flows for the period ended June 30, 2025 , March 31, 2025, March 31, 2024, and March 31, 2023, and the Summary of Significant Accounting Policies and other explanatory information (collectively, the ‘Restated Financial Information), as approved by the Board of

Directors of the Company at their meeting held on August 21, 2025 for the purpose of inclusion in this Red Herring Prospectus ("RHP") and Prospectus prepared by the Company in connection with its proposed Initial Public Offer of equity shares ("IPO") prepared in terms of the requirements of: a) Section 26 of Part I of Chapter III of the Companies Act 2013 (the "Act"); b) The Securities and Exchange Board of India (Issue of Capital and Disclosure Requirements) Regulations, 2018, as amended ("ICDR Regulations"); and c) The Guidance Note on Reports in Company Prospectuses (Revised 2019) (as amended) issued by the Institute of Chartered Accountants of India ("ICAI") (the "Guidance Note").

(ii) Basis of Measurement

These financial statements prepared and presented under the historical cost convention with the exception of certain assets and liabilities that are required to be carried at fair value by IND AS. The fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between the market participants at the measurement date. The Financial Statements have been presented in Indian Rupees (INR), which is also the Companys functional currency. All values are rounded off to the nearest rupees, unless otherwise indicated.

1.2 Classification of Assets, current and non-current.

The assets or liability is classified as current, if it satisfies the any of the following condition. (i) The assets / Liability expected to be realised or paid in the companys normal operating cycle. (ii) The assets are intended for sales or consumption. (iii) The assets / liability held for the purpose of trade or business (iv) The Assets / liability is expected to be realised/ settled within 12 months after reporting period.

(v) The assets are cash or cash equivalent unless it is restricted from being exchanged or used to settle a liability for at least 12 months after reporting date. (vi) In case of liability, the company does not have an unconditional right to deter settlement of the liability for at least 12 months after the reporting date.

All other assets or liabilities are classified as non-current. Deferred Assets and Deferred Liability are classified as current assets or liability respectively. For the purpose of current / non-current classification of assets and liabilities, the company has ascertained its normal operating cycle as 12 months. This is based on nature of the business and the time between the acquisition of assets or inventories for processing and their realisation in cash or cash equivalents.

1.3 Summary of significant accounting policies

1. Property, Plant and Equipment.

Recognition and measurement:

Freehold land is carried at cost.

Property, plant and equipment held for use in the production or/and supply of goods are stated in the balance sheet at cost, less any accumulated depreciation and sale or disposal (if any). Cost of an item of Property, plant and equipment acquired comprises its purchase price after deducting any trade discounts and rebates and further includes any directly attributable costs of bringing the assets to its working condition and location for its intended use and present value of any estimated cost of dismantling and removing the item and restoring the site on which it is located. In case of self-constructed assets, cost includes the costs of all materials used in construction, direct labour, allocation of directly attributable overheads, directly attributable borrowing costs incurred in bringing the item to working condition for its intended use, and estimated cost of dismantling and removing the item and restoring the site on which it is located. The costs of testing whether the asset is functioning properly, after deducting the net proceeds from selling items produced while bringing the asset to that location and condition are also added to the cost of self-constructed assets. 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. Profit or loss arising on the disposal of property, plant and equipment are recognised in the Statements of Profit and Loss.

Subsequent measurement:

Subsequent costs are included in the assets carrying amount or recognised as a separate asset, as appropriate, only when it is probable that future economic benefits associated with the item will flow to the Company and the cost of the item can be measured reliably. The carrying amount of any component accounted for as a separate asset is derecognised when replaced. All other repairs and maintenance are charged to the Statement of Profit and Loss during the reporting period in which they are incurred.

Intangible Assets

Recognition and measurement:

Intangible asset purchased are measured at cost less accumulated amortization and accumulated impairment, if any and are amortized as per the useful life on written down value basis, as per the rates specified in the Companies Act, 2013.

Subsequent measurement:

Subsequent expenditure is capitalised only if it is probable that the future economic benefit associated with the expenditure will flow to the company.

Depreciation methods, estimated useful lives and residual value

Depreciation is provided using straight line method (SLM) as specified schedule II of the companies Act 2013. Depreciation on assets acquired / disposed-off during the year if any, is provided on pro-rata basis with reference to the date of addition / disposal. The estimated useful lives of assets are as under:

Class of assets	Useful Life
Freehold Land	Non Depreciable
Building	30 Years
Plant & Machinery	20 Years
Electrification	10 Years
Furniture & Fixtures	10 Years
Office Equipment	5 Years
Vehicles	8 Years
Computers	3 Years
Intangible Asset	6 Years

The residual values are not more than 5% of the original cost of the asset. The assets residual values and useful lives are reviewed, and adjusted if appropriate, at the end of each reporting period.

Capital Advances

Advances paid towards the acquisition of property, plant and equipment, outstanding at each balance sheet date is classified as capital advances under "other non-current assets"

Capital work in process

Unallocated expenditures in Capital Work in Progress (CWIP) refer to costs incurred during the construction or development of an asset that are not yet assigned to a specific asset. Such expenditures may include overheads, related expenses, or preliminary project costs.

Unallocated expenditures in CWIP are treated as part of the cost of an asset until it is ready for intended use. Costs that cannot be directly attributed to specific assets are accumulated in CWIP and allocated when the assets are completed and become operational.

2. Inventories

Inventories of Raw Materials and Stores and spares parts are stated at Cost. Work-in-Progress, Finished Goods, and Purchase in stock - Traded Goods Stock-in-trade and Coal are stated ‘at cost or net realisable value, whichever is lower. Mill Scale /Waste / Scrap are valued at net realisable value. Cost comprises all cost of purchase, cost of conversion and other costs incurred in bringing the inventories to their present location and condition. Cost formulae used are ‘First-in-First-out. ‘Specific identification, as applicable. Due allowance is estimated and made for defective and obsolete items, wherever necessary.

3. Segment Reporting

Based on the "Management Approach" as defined in Ind AS 108, the Chief Operating Decision Maker (CODM) evaluates the performance and allocates resources based on an analysis of various performance indicators by business segments. The Managing Director (MD) has been identified as CODM.

The Company has evaluated the requirements of Ind AS 108 and determined that it does not have any distinct segments that meet the criteria for separate disclosure. As a result, segment reporting is not applicable.

4. Borrowings

Borrowings are initially recognised at net of transaction costs incurred and measured at amortised cost. Any difference between the proceeds (net of transaction costs) and the redemption amount is recognised in the Statement of Profit and Loss over the period of the borrowings using the effective interest method.

5. Borrowing costs

Borrowing cost directly attributable to the acquisition, construction of qualifying asset that necessarily takes a substantial period of time to get ready for its intended use, capitalised as part of cost of asset. The borrowing costs includes interest and transaction cost that a company incurs in connection with the borrowing of the funds. Other interest and borrowing costs are charged to Statement of Profit and Loss.

6. Provisions and contingent liabilities

Provisions are recognised when the Company has a present legal or constructive obligation as a result of past events, it is probable that an outflow of resources will be required to settle the obligation and the amount can be reliably estimated. Provisions are not recognised for future operating losses.

Provisions are measured at the present value of managements best estimate of the expenditure required to settle the present obligation at the end of the reporting period. Contingent liability is disclosed in the case of:

1. A present obligation arising from the past events, when it is not probable that an outflow of resources will be required to settle the obligation;

2. A present obligation arising from the past events, when no reliable estimate is possible;

3. A possible obligation arising from the past events, unless the probability of outflow of resources is remote.

Provisions and contingent liabilities are reviewed at each balance sheet date.

7. Revenue recognition (i) Revenue From Operations

The specific recognition criteria from various steam of revenue are described as under:

Sales of Goods:

The five step model of Ind AS 115 - Revenue from Contracts from Customers is used to determine whether revenue should be recognised at a point in time or over time, and at what amount is as below:

Step 1: Identify the contract with the customer

Step 2: Identify the performance obligations in the contract Step 3: Determine the transaction price

Step 4: Allocate the transaction price to the performance obligations

Step 5: Recognise revenue when (or as) the entity satisfies a performance obligation.

Revenue from sale of goods is recognised upon transfer of control of promised goods to customers in an amount that reflects the consideration which the company expects to receive in exchange for those products and which coincides with the dispatch of goods. Revenue is measured based on the transaction price, which is the consideration, adjusted for discounts, price concessions and incentives, if any. Revenue also excludes goods and service tax (GST) collected from customers, since GST not received by the company on its own account. Rather, it is collected tax on value added to the commodity/services by the seller, on behalf of the government and, therefore, these are not economic benefits flowing to the company. Accordingly, it is excluded from revenue. Revenue from the sale of goods is net of returns. The contracts related to product sales include only one performance obligation, which is to deliver products to customers based on purchase orders received. This is determined basis when physical possession, legal title and risks and rewards of ownership of the products transfer to the customer and the company is entitled to payment.

(ii) Other Income:

Interest income is accrued on a time basis, by reference to the principal outstanding amount and at the effective interest rate applicable, the future cash receipt through the expected life of the financial asset to that assets carrying amount on initial recognition.

8. Employee benefits a) Defined Contribution Plans

Payments made to a defined contribution plan such as Provident Fund and Family Pension maintained with Regional Provident Fund Office are charged as an expense in the Statement of Profit and Loss as they fall due.

b) Defined Benefit Plans

Defined benefit plan

The companys liability towards gratuity to past employees is determined using the Projected Unit Credit Method which considers each period of service as giving rise to an additional unit of benefit entitlement and measures each unit separately to build up the final obligation. Past services are recognized on a straight-line basis over the period. Actuarial gain and losses are recognized immediately in the Statement of Profit and Loss as income or expense. Obligation is measured at the present value of estimated future cash flows using a discounted rate that is determined by reference to market yields at the Balance Sheet date on Government Securities.

Defined Contribution Plan

A defined contribution plan is a post-employment benefit plan under which an entity pays fixed contributions into a separate entity and will have no legal or constructive obligation to pay further amounts. The Company makes specified monthly contributions towards Government administered provident fund scheme. Obligations for contributions to defined contribution plans are recognised as an employee benefit expense in statement of profit or loss in the periods during which the related services are rendered by employees.

9. Income tax Current Tax

The income tax expense or credit for the period is the tax payable on the current periods taxable income based on the applicable income tax rate adjusted by changes in deferred tax assets and liabilities attributable to temporary differences and to unused tax losses.

Deferred Tax

Deferred income tax is provided in full, using the liability method on temporary differences arising between the tax bases of assets and liabilities and their carrying amount in the financial statement. Deferred income 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 assets is realised or the deferred income tax liability is settled.

Deferred tax assets are recognised for all deductible temporary differences and unused tax losses, only if, it is probable that future taxable amounts will be available to utilise those temporary differences and losses.

Deferred tax assets and liabilities are offset when there is a legally enforceable right to offset current tax assets and liabilities and when the deferred tax balances relate to the same taxation authority. Current tax assets and tax liabilities are off set where the Company has a legally enforceable right to offset and intends either to settle on a net basis, or to realize the asset and settle the liability simultaneously.

Current and deferred tax is recognised in the Statement of Profit and Loss, except to the extent that it relates to items recognised in other comprehensive income or directly in equity. In this case, the tax is also recognised in other comprehensive income or directly in equity, respectively.

10. Lease

At inception of a contract, the Company assesses whether a contract is, or contains, a lease. A contract is, or contains, a lease if the contract conveys the right to control the use of an identified asset for a period of time in exchange for consideration.

The Company recognises a right-of-use asset and a lease liability at the lease commencement date except for leases with a term of twelve months or less (short-term leases) and low value leases. For these short-term and low value leases, the lease payments associated with these leases as an expense in the statement of Profit and Loss on a straight-line basis over the lease term.

(i) Right-of Use Assets

The right-of-use asset is initially measured at cost, which comprises the initial amount of the lease liability adjusted for any lease payments made at or before the commencement date, plus any initial direct costs incurred and an estimate of costs to dismantle and remove the underlying asset or to restore the underlying asset or the site on which it is located, less any lease incentives received. The right-of-use asset is subsequently depreciated using the straight-line method from the commencement date to the end of the lease term, unless the lease transfers ownership of the underlying asset to the Company by the end of the lease term or the cost of the right-of-use asset reflects that the Company will exercise a purchase option. In that case the right-of-use asset will be depreciated over the useful life of the underlying asset. In addition, the right-of-use asset is periodically reduced by impairment losses, if any, and adjusted for certain remeasurements of the lease liability.

(ii) Lease Liabilities

The lease liability is initially measured at the present value of the lease payments to be paid over the lease term at the commencement date, discounted using the interest rate implicit in the lease or, if that rate cannot be readily determined, the Companys incremental borrowing rate. Generally, the Company uses its incremental borrowing rate as the discount rate. Subsequently, the lease liability is measured at amortised cost using the effective interest method. Modifications to a lease agreement beyond the original terms and conditions are generally accounted for as a remeasurement of the lease liability with a corresponding adjustment to the ROU asset. Any gain or loss on modification is recognized in the Statement of Profit & Loss. However, the modifications that increase the scope of the lease by adding the right to use one or more underlying assets at a price commensurate with the stand-alone selling price are accounted for as a separate new lease. In case of lease modifications, discounting rates used for measurement of lease liability and ROU assets is also suitably adjusted.

11. Fair value measurement

A fair value measurement of a non-financial asset takes into account a market participants ability to generate economic benefits by using the asset in its highest and best use or by selling it to another market participant that would use the asset in its highest and best use.

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 financial statements are categorised within the fair value hierarchy, described as follows, based on the lowest level input that is significant to the fair value measurement as a whole:

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

(ii) Level 2 Valuation techniques for which the lowest level input that is significant to the fair value measurement is directly or indirectly observable; (iii) Level 3 Valuation techniques for which the lowest level input that is significant to the fair value measurement is unobservable

At each reporting date, the Management analyses the movements in the values of assets and liabilities which are required to be remeasured or re- assessed as per The Companies accounting policies. 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.

Financial Instruments

Financial assets (except for trade receivables) and financial liabilities are initially measured at fair value. Transaction costs that are directly attributable to the acquisition or issue of financial assets and financial liabilities (other than financial assets and financial liabilities at fair value through profit or loss) are added to or deducted from the fair value of the financial assets or financial liabilities, as appropriate, on initial recognition. Transaction costs directly attributable to the acquisition of financial assets or financial liabilities measured at fair value through profit or loss are recognised immediately in the Statement of Profit and Loss.

(A) Financial assets

Initial Recognition and measurement:

Purchases or sales of financial assets that require delivery of assets within a time frame established by regulation or convention in the marketplace (regular way trades) are recognised on the trade date, i.e., the date that the Company commits to purchase or sell the asset.

Subsequent measurement:

All recognised financial assets are subsequently measured in their entirety at either amortised cost or fair value, depending on the classification of the financial assets.

(i) Classification and measurement of financial assets

a) Financial assets at amortised cost

Financial assets are subsequently measured at amortised cost using the effective interest rate method if these financial assets are held within a business whose objective is to hold these assets in order to collect contractual cash flows and the contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

b) Financial assets at fair value through other comprehensive income (FVTOCI)

A financial asset is subsequently measured at fair value through other comprehensive income if both of the following criteria are met - it is held within a business model whose objective is achieved by both collecting contractual cash flows and selling financial assets and - the contractual terms of the financial asset give rise on specified dates to cash flows that are solely payments of principal and interest on the principal amount outstanding.

c) Financial assets at fair value through profit & loss (FVTPL)

All financial assets that do not meet the criteria for amortised cost or FVTOCI are measured at FVTPL. Financial assets at FVTPL are measured at fair value at the end of each reporting period, with any gains or losses arising on remeasurement recognised in profit or loss. The net gain or loss recognised in profit or loss incorporates any dividend or interest earned on the financial asset.

(ii) Impairment of financial assets

The Company assesses at each date of balance sheet whether a financial asset or a company of financial assets is impaired. Ind AS 109 requires expected credit losses to be measured through a loss allowance.

In determining the allowances for doubtful trade receivables, the Company has used a practical expedient by computing the expected credit loss allowance for trade receivables based on a provision matrix. The provision matrix takes into account historical credit loss experience and is adjusted for forward looking information. The expected credit loss allowance is based on the ageing of the receivables that are due and rates used in the provision matrix.

The application of simplified approach does not require the Company to track changes in credit risk. Rather, it recognises impairment loss allowance based on lifetime ECLs at each reporting date, right from its initial recognition.

For all other financial assets, expected credit losses are measured at an amount equal to the 12-month expected credit losses on a forward looking basis. However, if the credit risk on the financial instruments has increased significantly since the initial recognition, then the Company measures lifetime ECL.

ECL impairment loss allowance (or reversal) recognized during the period is recognized under the head ‘Other Expenses in the statement of Profit and Loss. The Balance Sheet presentation for various financial instruments is described below:

Financial assets measured as at amortised cost:

ECL is presented as an allowance, i.e., as an integral part of the measurement of those assets in the Balance Sheet. This allowance reduces the net carrying amount.

Debt instruments measured at FVTPL:

Since financial assets are already reflected at fair value, impairment allowance is not further reduced from its value. Change in fair value is taken to the statement of Profit and Loss.

Debt instruments measured at FVTOCI:

Since financial assets are already reflected at Fair Value, impairment allowance is not further reduced from its value. Company does not have any Purchased or Originated Credit Impaired (POCI) financial assets, i.e., financial assets which are credit impaired on purchase/origination.

(iii) Derecognition of financial assets

A financial asset (or, where applicable, a part of a financial asset or part of a company of similar financial assets) is primarily derecognised (i.e. removed from the Companys balance sheet) when:

the right to receive cash flows from the asset have expired, or

the Company has transferred its right to receive cash flows from the asset or has assumed an obligation to pay the received cash flows in full without material delay to a third party under a ‘pass-through arrangement; and either

(a) the Company has transferred substantially all the risks and rewards of the asset, or (b) the Company has neither transferred nor retained substantially all the risks and rewards of the asset, but has transferred control of the asset.

When the Company has transferred its right to receive cash flows from an asset or has entered into a pass-through arrangement, it evaluates if and to what extent it has retained the risks and rewards of ownership. When it has neither transferred nor retained substantially all of the risks and rewards of the asset, nor transferred control of the asset, the

Company continues to recognise the transferred asset to the extent of the Companys continuing involvement. In that case, the Company also recognises an associated liability. The transferred asset and the associated liability are measured on a basis that reflects the rights and obligations that the Company has retained.

On derecognition of a financial asset in its entirety, the difference between the assets carrying amount and the sum of the consideration received and receivable and the cumulative gain or loss that had been recognised in other comprehensive income and accumulated in equity is recognised in the Statement of Profit and Loss if such gain or loss would have otherwise been recognised in the Statement of Profit and Loss on disposal of that financial asset.

(B) Financial liabilities and equity instruments

1. Classification as debt or equity

Debt and equity instruments issued by the Company are classified as either financial liabilities or as equity in accordance with the substance of the contractual arrangements and the definitions of a financial liability and an equity instrument.

Financial liabilities

Initial recognition and measurement

Financial liabilities are classified, at initial recognition, as financial liabilities at fair value through profit or loss, loans and borrowings, payables, or as derivatives designated as hedging instruments in an effective hedge, as appropriate.

All financial liabilities are recognised initially at fair value and, in the case of loans and borrowings and payables, net of directly attributable transaction costs.

Subsequent measurement

For purposes of subsequent measurement, financial liabilities are classified in two categories:

Financial liabilities at fair value through profit or loss

Financial liabilities at amortised cost (loans and borrowings)

All financial liabilities are subsequently measured at amortised cost using the effective interest rate method. Gains and losses are recognised in Statement of Profit and Loss when the liabilities are derecognised as well as through the effective interest rate (EIR) amortisation process. Amortised cost is calculated by taking into account any discount or premium on acquisition and fees or costs that are an integral part of the EIR. The EIR amortisation is included as finance costs in the Statement of Profit and Loss.

Trade and other payables are recognised at the transaction cost, which is its fair value, and subsequently measured at amortised cost. Similarly, interest bearing loans, trade credits and borrowings (including bonds) are subsequently measured at amortised cost using effective interest rate method.

Financial liabilities measured at FVTPL include financial liabilities held for trading and financial liabilities designated upon initial recognition as FVTPL. Financial liabilities are classified as held for trading if these are incurred for the purpose of repurchasing in the near term. Financial liabilities at FVTPL are stated at fair value, with any gains or losses arising on remeasurement recognised in the Statement of Profit and Loss.

2. Derecognition of Financial Liability

The Company derecognises financial liabilities when, and only when, the Companys obligations are discharged, cancelled or have expired. An exchange with a lender of debt instruments with substantially different terms is accounted for as an extinguishment of the original financial liability and the recognition of a new financial liability. Similarly, a substantial modification of the terms of an existing financial liability is accounted for as an extinguishment of the original financial liability and the recognition of a new financial liability. The difference between the carrying amount of the financial liability derecognised and the consideration paid and payable is recognised in Statement of Profit and Loss.

12. Use of estimates & Judgments

The preparation of these financial statements in conformity with the recognition and measurement principles of Ind AS requires management of the Company to make informed judgments, reasonable assumptions and estimates that affect the amounts reported balances of Assets and Liabilities, disclosures of contingent Liabilities as at the date of the financial statements and the reported amounts of income and expense for the periods presented. Uncertainty about these could result in outcomes that require a material adjustment to the carrying amount of assets or liabilities affected in the future periods. These assumptions and estimates are reviewed periodically based on the most recently available information. Revisions to accounting estimates are recognized prospectively in the Statement of Profit & Loss in the period in which the estimates are revised and in any future periods affected.

In the assessment of the Company, the most significant effects of use of judgments and/or estimates on the amounts recognized in the financial statements are in respect of the following:

Useful lives of property, plant & equipment; Valuation of inventories;

Evaluation of recoverability of deferred tax assets / liability (Net); and Provisions and Contingencies

13. Earnings per share

Basic earnings per share are calculated by dividing the net profit (PAT) for the period attributable to equity shareholders by the weighted average number of equity shares outstanding during the period. Earnings considered in ascertaining the companys earnings per share is the net profit for the period after deducting preference dividends and any attributable tax (if any) thereto for the period. The weighted average number of equity shares outstanding during the period and for all periods presented is adjusted for events, such as bonus shares, Right Shares, other than the conversion of potential equity shares that have changed the number of equity shares outstanding, without a corresponding change in resources.

14. Foreign Currencies

Initial recognition

Foreign currency transactions are recorded in the reporting currency by applying to the foreign currency amount the exchange rate between the reporting currency and the foreign currency at the date of the transaction.

Conversion

Foreign currency monetary items are reported using the closing rate. Non-monetary items which are carried in terms of historical cost denominated in a foreign currency are reported using the exchange rate at the date of the transaction. Non-monetary items, which are measured at fair value or other similar valuation denominated in a foreign currency, are translated using the exchange rate at the date when such value was determined.

Exchange difference

Exchange differences arising on the settlement of monetary items or on reporting monetary items of Company at rates different from those at which they were initially recorded during the year, or reported in previous Restated summary statements, are recognized as income or as expenses in the year in which they arise except those arising from investments in non-integral operations.

The Companys Restated summary statements are presented in Indian Rupee. The Company determines the functional currency as Indian Rupee on the basis of primary economic environment in which the entity operates.

15. Cash and cash equivalents

Cash and cash equivalents for the purposes of cash flow statement comprise cash at bank and in hand and short-term investments with an original maturity of three months or less (that are readily convertible to known amounts of cash and cash equivalents and subject to an insignificant risk of changes in value). However, for the purpose of Statement of Cash Flows, in addition to above items, any bank overdrafts / cash credits that are integral part of the companys cash management, are also included as a component of cash and cash equivalents.

16. Cash flow Statements

Statement of Cash flows is being prepared in accordance with the indirect method prescribed in Indian Accounting Standard 7 on ‘Statement of Cash flow, whereby profit for the period is adjusted for the effects of transactions of a non-cash nature, any deferrals, or accruals of past or future operating cash receipts or payments and item of income or expenses associated with investing or financing cash flows. The cash from operating, investing, and financing activities of the Company are segregated.

17. Rounding Off

All amounts disclosed in the financial statements and notes have been rounded off to the nearest lakh as per the requirements of Schedule III, unless otherwise stated. .

Our total income comprises (i) Revenue from Operations and (ii) Other Income

Revenue from Operations

Revenue from operations comprise income from domestic sales and Export sales (Special Economic sale).

Other Income

Other Income mainly consist of Interest income from bank, Interest Income from Others and Share in Profit from firm etc.

Expenses

Our expenses include the below mentioned following expenses

Cost of materials consumed

Cost of material consumed primarily comprises of inventory at the beginning of the year, purchases during the year, excluding the inventories written off and the inventory at the end of the year. Our major raw material is scrap and billets.

Purchase of traded goods :

This expense comprises purchase of traded goods.

Changes in inventories denotes increase/decrease in inventories which comprise of mill scale / waste and scrap of finished goods, purchase of traded goods between opening and closing dates of a reporting period.

Employee Benefits Expense

Employee benefit expenses primarily include salaries and wages, gratuity expense, contribution to provident and other funds and staff welfare expenses.

Depreciation and Amortization Expense

Depreciation and amortization expense primarily include Depreciation of Tangible assets and amortization expenses arising out of Intangible and Right of use assets.

Finance Costs

Finance costs include interest expenses on bank loans and unsecured loans, lease obligation, trade credit and others and other borrowing costs.

Other Expenses

Other expenses primarily comprise of coal consumption, store and spares consumables, repairs others, repairs - plant & machinery, factory expenses, oxygen and LPG expenses, repairs - factory shed & building, testing expenses, water charges, power and fuel expenses, insurance expenses, computer, internet & software expenses, postage & telegram/communications, fees & subscription expenses, stationery & printing, conveyance expenses, traveling, conveyance & vehicle expenses, office expenses, legal & professional charges, rates & taxes, rent, CSR expense, statutory audit fees, insurance expenses, Kasar & Vatav expenses, advertisement expenses, commission on sales, loading charge, freight & cartage on sales, distribution expense, travelling expenses. Total Tax Expenses

Our total income tax expense was 290.22 lakhs in the three months period ended June 30, 2025.

Profit for the Year

Profit for the year represents profit after tax.

Results of Operations

Our employee benefits expense for three months period ended June 30, 2025 was 447.98 lakhs. The expenses on salaries, wages and bonus was 426.12 lakhs, contribution to provident and other funds was 1.02 lakhs, gratuity expenses amounted to 3.91 lakhs and the staff welfare expenses was 16.94 lakhs.

Finance Costs

During three months period ended June 30, 2025, our Companys finance costs was 670.63 lakhs. The interest expenses on bank loan was 428.79 lakhs, interest expense on the unsecured loans was 179.97 lakhs, interest expense on buyers credit was 56.24 lakhs, interest on lease obligations was 0.73 lakhs and interest on trade credits and others was 4.90 lakhs.

Depreciation and Amortization Expense

Our depreciation and amortization expense for three months period ended June 30, 2025 was 243.27 lakhs. The depreciation on property, plant and equipment was 242.12 lakhs, amortisation on right of use assets was 1.09 lakhs and amortisation on intangible assets was 0.06 lakhs.

Other Expenses

Other expenses for three months period ended June 30, 2025 was 3,591.14 lakhs. The manufacturing expenses amounted to 2,881.74 lakhs, administration, selling and distribution expenses amounted to 709.40 lakhs.

Total Tax Expense

Our total income tax expense for three months period ended June 30, 2025 was 290.22 lakhs.

Profit for the Year

As a result of the foregoing factors, our profit for three months period ended June 30, 2025 was 857.64 lakhs. In comparison of total income, Profit for the Year amounted to 4.02% of total income in the three months period ended June 30, 2025 which is primarily attributable to the effective utilization of the Continuous Casting Machine (CCM) Division, commissioned in September 2024 as part of our backward integration strategy. This has enabled the Company to produce billets in-house from scrap, thereby reducing dependence on external billet suppliers, improving operational efficiency, and strengthening margins. In June 2025, the Company produced 42,023 MT of TMT bars, of which 34,696 MT (about 83%) came from in-house billets manufactured in the CCM Division. By contrast, in FY2025, 49,501 MT of billets from CCM contributed to around 65% of the total production of 75,712 MT. Backward integration allows us to reduce losses due to reheating and cutting wastage and lowers dependency on outside suppliers, giving better control over costs and raw material availability.

Fiscal 2025 compared to Fiscal 2024

Total Income

Our total income reduced by 11.65% from 87,316.86 lakhs in Fiscal 2024 to 77,140.76 lakhs in Fiscal 2025, primarily due to decrease in our revenue from operations and offset by an increase in other income as discussed below:

Revenue from operations

During Fiscal 2025, our revenue from operations declined by 11.77%, from 87,295.77 lakhs in Fiscal 2024 to 77,019.10 lakhs in Fiscal 2025. The revenue from operations for Fiscal 2025 also include a subsidy of 782.25 lakhs. Our Company was eligible for a subsidy from state government for setting up a TMT division in August 2021.

This decline is primarily attributed to a reduction in the sale quantity of TMT bars from 1,61,902 MT in Fiscal 2024 to 1,44,409.52 MT in Fiscal 2025, and a decline in average TMT prices by 3.64%, which further contributed to the reduction in our revenue from operations. During Fiscal 2025, the Company undertook a backward integration initiative at its plant by installing an electric furnace, enabling the production of TMT bars directly from scrap, as opposed to the earlier method of using outsourced billets.

The table below sets forth the geographic state-wise split of our revenue from operations for the periods indicated: