Financial Performance Summary (FY 2025-26)

  • Total Income: ₹8,739.41 lakhs (Previous year: ₹5,250.82 lakhs)
  • Total Expenses: ₹8,955.42 lakhs (Previous year: ₹5,083.17 lakhs)
  • Loss before tax and exceptional items: ₹216.01 lakhs (Previous year profit: ₹167.65 lakhs)
  • Exceptional Items: Gain of ₹202.71 lakhs from sale of warehouse at Ustane, Thane and factory in Gujarat
  • Tax Expenses: ₹53.92 lakhs
  • Net Loss: ₹67.21 lakhs (Previous year profit: ₹167.65 lakhs)
  • EPS: -₹0.75 (Previous year: ₹1.86)

Operational Highlights

  • Revenue from Operations: ₹8,689.06 lakhs (67.19% growth from previous year ₹5,197.09 lakhs)
  • Steel and Iron Ore Trading: ₹8,608.62 lakhs
  • Steel Manufacturing: ₹79.84 lakhs
  • Foreign Exchange Earnings: ₹1,630.22 lakhs
  • Discontinued Operations: Factory in Gujarat disposed of in March 2026 (sale approved by shareholders on March 28, 2025)
  • Installed Production Capacity: Approximately 1,000 tonnes per month at Ahmedabad, Gujarat plant

Capital Structure

  • Paid-up Share Capital: ₹900.88 lakhs (90,08,824 equity shares of ₹10 each)
  • Promoter Holding: Virat S Shah (40.41%, 36,40,412 shares), Alok V Shah (30.25%, 27,25,512 shares)
  • IEPF Holding: 2.99% (2,69,600 shares transferred during year)

Key Ratios (Significant Changes)

  • Debtors Turnover Ratio: 4.36 (from 3.80)
  • Inventory Turnover Ratio: 4.66 (from 2.28)
  • Interest Coverage Ratio: 0.95 (from 1.50)
  • Current Ratio: 1.28 (from 1.08)
  • Debt Equity Ratio: 1.57 (from 1.00)
  • Operating Profit Margin: 2.82% (from 9.08%)
  • Net Profit Margin: -0.77% (from 3.23%)
  • Return on Net Worth: 0.02% (from 0.18%)

AGM Details

  • 31st Annual General Meeting: August 7, 2026 at 11:30 AM IST through Video Conferencing
  • Ordinary Business: Adoption of financial statements and re-appointment of Mr. Virat Shah who retires by rotation
  • Special Business: Re-appointment of Mr. Samir Patil as Independent Director for second term (July 12, 2027 to July 11, 2032)

Board and Management Changes

  • Mr. Navin Madhavji Mehta resigned as Whole-time Director due to ill health effective August 12, 2025
  • Mr. Vishal Mehta appointed as Additional Director (Non-Executive Non-Independent) from August 12, 2025
  • Current Board Composition: 6 Directors (2 Independent, 1 Executive Woman Director, 3 Non-Independent Non-executive)

Auditor Reports

Statutory Auditors (M.A. Chavan & Co.) - Qualified Opinion

Qualification: Revenue recognition of ₹1,630.22 lakhs (₹1,354.70 lakhs from Samaira International Limited and ₹275.52 lakhs from Grandmark Global PTE Ltd) on export sales where goods were not transferred to customers as per IND AS 115. Auditors unable to comment on consequential effects.

Company's Explanation: DMG portal for monitoring iron ore movement not operational and ship availability scarce due to Iran-Israel war. GST invoices generated under LUT, company doesn't foresee issues in consummating transactions.

Secretarial Auditors (Hemanshu Kapadia & Associates) - Unqualified

No observations or qualifications in Secretarial Audit Report for FY 2025-26.

Related Party Transactions

  • RKB Global Limited: Purchases ₹224.91 lakhs, Sales ₹6,940.41 lakhs
  • Transactions conducted at arm's length basis in ordinary course of business
  • Outstanding receivable from RKB Global Limited: ₹587.66 lakhs

Borrowings and Facilities

  • Total Borrowings: ₹1,313.38 lakhs (Previous year: ₹925.82 lakhs)
  • Non-current: ₹735.96 lakhs
  • Current: ₹577.42 lakhs
  • Working Capital Facilities: From Union Bank of India and Central Bank of India
  • Security: Hypothecation of stock and book debts, pledge of fixed deposits, mortgage of company's fixed assets, personal guarantees of directors
  • Rating: CARE B (Stable) for Long Term Bank Facilities, CARE A4 for Short Term Bank Facilities (Issuer not cooperating)

Employee and Remuneration Details

  • Total Employees: 5 (including KMPs)
  • Median Remuneration: ₹3,96,651
  • Key Managerial Personnel Remuneration:
  • Ms. Reena Parmar (Whole-time Director): ₹3,96,651
  • Mr. Dhiren Shah (CFO): ₹3,33,355
  • Ms. Harshika Kothari (Company Secretary): ₹2,35,092
  • No employees received remuneration exceeding ₹1.02 crore per annum

Contingent Liabilities

  • Bank Guarantee: ₹0.05 lakhs (issued to Government of Maharashtra)
  • Letters of Credit Outstanding: ₹370.28 lakhs
  • Disputed Dues: GST ₹128.03 lakhs, Income Tax ₹5.00 lakhs

Other Disclosures

  • Internal Financial Controls: Adequate and operating effectively as per auditor report
  • Vigil Mechanism: Whistle Blower Policy established with direct access to Audit Committee Chairman
  • Corporate Governance: Exempt from detailed reporting under Regulation 15(2) of SEBI LODR
  • Sexual Harassment: No complaints received during the year
  • IEPF Transfer: Unclaimed dividend for 2017-18 and underlying shares transferred to IEPF

Forward-looking Statements

Management remains optimistic about future despite current year loss, citing strategic initiatives and aggressive approach. Plans to expand product portfolio and improve operational efficiencies.