1. The company Statutory Auditor has issued qualified opinion in respect of its audit report on consolidated financial statements for Fiscal 2022.
2. The company is dependent on and derive a substantial portion of its revenue from the GOI, State Government and government controlled entities and its relationship with GOI entities and State Government exposes it to risks inherent in doing business with them, which may adversely affect its business, results of operations and financial condition.
3. The company procure significant revenue from its engineering consultancy services and construction business through a bidding process and there can be no assurance that projects for which its bid will be awarded to us and recorded in the company Order Book or that it will actually realize revenues from such projects as a result of which our financial condition would be materially and adversely affected.
4. The company derive majority of its revenue from its construction business, where margins are lower compared to the engineering consultancy services.
5. A portion of its revenue and earnings are dependent on the award of large-scale projects which are not in the company control. In the event the company is not awarded any large - scale projects in future, its business, results of operation and financial conditions may get impacted.
6. Its may not be able to effectively implement the company strategies and achieve future growth.
7. The contracts in its Order Book may be adjusted or postponed or cancelled by the company clients and, therefore its Order Book is not necessarily indicative of its future revenues or profit. Additionally, even if fully performed, its Order Book may not be a reliable indicator of its future gross margins.
8. A portion of its revenue is derived from overseas clients and any decrease in revenue or loss of business from the overseas market may adversely affect its results of operation, financial condition and profitability.
9. There are outstanding litigations involving the Company and its Subsidiary which, if determined
adversely, may adversely affect its business and financial condition.
10. Projects where the company is provide its services are exposed to various implementations and other risks and uncertainties which may adversely affect its business, profits, results of operations and financial condition.