1. The company does not have long-term agreements with suppliers for its products and an increase in the cost of, or a shortfall in the availability or quality of such products could have an adverse effect on its business, financial condition and results of operations.
2. The company depends on the success of its relationships with its customers. The company derives a significant part of its revenue from the company major customers and the company does not have long term contracts with these customers. If one or more of such customers choose not to source their requirements from it, its business, financial condition and results of operations may be adversely affected.
3. The company is exposed to counterparty credit risk and any delay in receiving payments or non-receipt of payments may adversely impact its results of operations.
4. The company is subject to quality requirements and any product defect issues or failures by it or its suppliers to comply with quality standards may lead to the cancellation of existing and future orders, recalls and exposure to potential product liability claims.
5. The company may not be able to accurately manage its inventory, this may adversely affect its goodwill and business, financial condition and results of operations.
6. The Company's failures to maintain the quality standards of the products or keep pace with the technological developments could adversely impact its business, results of operations and financial condition.
7. In case of its inability to obtain, renew or maintain the statutory and regulatory licenses, permits and approvals required to operate its business it may have a material adverse effect on the company's business.
8. There are certain discrepancies and non- compliances noticed in some of its financial reporting and/or records relating to filing of returns with the taxation and other statutory authorities.
9. The company has certain outstanding litigation against it, an adverse outcome of which may adversely affect its business, reputation and results of operations.
10. The orders placed by customers may be delayed, modified or cancelled, which may have an adverse effect on its business, financial condition and results of operations.