1. Our Company had negative cash flows in the past years, details of which are given below. Sustained negative cash flow could impact our growth and business.
2. Any delays, interruptions or reduction in the supply of raw materials to manufacture our products and any abrupt fluctuations in the prices of our raw materials may adversely affect the pricing of our products and may have an impact on our Business, Results of Operation, Financial Condition and Cash Flows.
3. We derive a significant portion of our revenues from a limited number of customers. The loss of, or a significant reduction in the revenues we receive from, one or more of these customers, may adversely affect our business.
4. We have certain outstanding litigation against us, an adverse outcome of which may affect our results of operations.
5. We derive a significant portion of our revenue from Ball Valves, Gate Valves, Globe Valves, Butterfly Valves and Check valves, any reduction in demand or in the production of such products could have an adverse effect on our business, results of operations and financial condition.
6. Our Company sells its products for specific use by certain Industries. Any reduction in the demand or requirement of our products in such Industries may result in loss of Business and may affect our Financial Performance and Financial Condition.
7. We source our 100 % raw materials from domestic market i.e. Gujarat and Maharashtra. Any adverse developments affecting our procurement in these regions could have an adverse impact on our revenue and results of operations.
8. We generate our major portion of sales from our operations in certain geographical regions especially, Maharashtra, New Delhi and Gujarat. Any adverse developments affecting our operations in these regions could have an adverse impact on our revenue and results of operations.
9. The Restated Financial Statements have been provided by Peer Reviewed Chartered Accountants who is not Statutory Auditor of our Company.
10. Any disruption, breakdown or shutdown of our Manufacturing operations at our Manufacturing Facility could have an adverse effect on our Business, Financial Condition and Results of Operations.