1. The Company is increasingly dependent on a domestic market for its sales and any a downturn
in it could dent its market share.
2. The company operates all its Manufacturing Facilities from concentrated geographic therefore, any localized social unrest, natural disaster or breakdown of services or any other natural disaster in and around or any disruption in production at, or shutdown of, all its manufacturing units could have material adverse effect on its business and financial condition.
3. Its business is dependent on the performance of certain other industries. Economic cyclicality
coupled with reduced demand in these other industries, in India or globally, could adversely
affect its business, results of operations and financial condition.
4. If there are delays in setting up the Proposed Facility or Proposed Expansion or if the costs of
setting up and the possible time or cost overruns related to the Proposed Facilities or the purchase
of plant and machinery for the Proposed Facilities are higher than expected, it could have a
material adverse effect on its financial condition, results of operations and growth prospects.
5. Its business and profitability is substantially dependent on the availability and cost of its raw materials and any disruption to the timely and adequate supply or volatility in the prices of raw materials may adversely impact its business, results of operations, cash flows and financial condition.
6. Its inability to collect receivables and default in payment from its customers could result in the
reduction of the company profits and affect its cash flows.
7. Its business is working capital intensive. Any insufficient cash flows from the company operations or inability to borrow to meet its working capital requirements, it may materially and adversely affect its business and results of operations.
8. The company does not have long-term agreements with its suppliers for raw materials and an inability to procure the desired quality, quantity of its raw materials in a timely manner and at reasonable costs, or at all, may have a negative impact on its business, results of operations, financial condition and cash flows.
9. Commercialization and market development of new products may take longer time than expected and / or may involve unforeseen business risks. Its inability to successfully diversify the company product offerings of engineering business may adversely affect its growth and negatively impact its profitability.
10. If the company fail to manage its growth effectively, its may be unable to execute its business plan or maintain high levels of service and satisfaction, and its business, results of operations, cash flows and financial condition could be adversely affected.