Chartered Speed Limited IPO

The company's business is substantially dependent on the projects awarded by State Transport Undertakings ("STUs") and other government owned or government backed entities, with Rs. 4,427.01 million, Rs.1,433.40 million and Rs.1,016.67 million which constituted 66.39%, 41.27%, and 30.62% of its revenue from operations in Fiscals 2025, 2024 and 2023, respectively, was derived from such entities. Any cancellation, delay, or reduction in the scope of projects awarded by STUs or other government owned or government backed entities and overall prospects and operational challenges may affect the company's ability to meet high service expectations under such contracts which may adversely affect its business operations, financial performance and cash flows.

The company generated a significant portion of our revenues from its operations in Odisha, Madhya Pradesh and Gujarat. Any adverse development that affects the performance of the company's operations in these states may have a material adverse effect on its business, cash flows, results of operations and financial condition.

The company's contracts with the Odisha State Road Transport Company ("OSRTC") represented 61.68% and 18.15% of its revenue in Fiscals 2025 and 2024. Any loss or significant reduction in the company's revenue from the provision of its services under the contracts with OSRTC may lead to a decrease in the company'srevenue from operations and may adversely affect its business, results of operations, financial condition and cash flows.

The company generates a majority of its revenues from the company's inter-city services, which is highly dependent on the Government policies and travel and tourism industry in India. Changes in Government policies or factors that negatively impact travel and tourism industry in India could have an adverse effect on the company's business, prospects, results of operations and financial condition

The Company has experienced loss of Rs. 54.94 million and Rs. 83.16 million during Fiscals 2024 and 2023, respectively and had negative total equity of Rs. 167.22 million and Rs. 209.06 million in Fiscals 2024 and 2023, respectively. Any loss or negative total equity in future periods could adversely affect its operations, financial conditions, and the trading price of the company's Equity Shares.

The company's Subsidiary, Chartered Buses Private Limited and our Associate (which is its erstwhile subsidiary), Chartered Bike Private Limited, have incurred losses in recent years, as a result of which the net worth of the Group has been substantially eroded, and there have been delays in repayment of borrowings, which may affect the company's ability to meet financial obligations and continue as a going concern.

Certain of its Promoter who are also Directors, may be interested in the company other than in terms of remuneration and reimbursement of expenses, and this may result in conflict of interest with the company.

Any anticipated fluctuations in fuel costs may adversely affect its business and profitability.

The company depends on a limited number of third-party vendors for the uninterrupted supply of key inputs and resources required to deliver its services. The loss of any critical vendor, or delays in the availability of these inputs, could adversely impact the company's business operations, financial performance, results of operations, and cash flows.

The relies on a limited number of OEMs for supply of its buses, in particular for the company's EV Buses. Loss of these OEMs may have an adverse effect on the company's business, results of operations and financial conditions.