Fractal Industries Ltd IPO

The company relies on a limited number of customers for its sales, and the loss of any major customer could adversely impact its revenue and profitability.

The company relies on a limited number of suppliers for product procurement, and the loss of any key supplier could impact its business operations.

The Company, Promoter, Directors, KMP, SMP and Group Company are involved in certain legal proceedings. Any adverse decision in such proceedings may render it/them liable to liabilities/penalties and may adversely affect its business and results of operations.

The Company has reported certain negative cash flows from its operating activity, investing activity and financing activity, details of which are given below. Sustained negative cash flows could impact its growth and business.

Dependence on online marketplaces and effective warehouse management for order fulfilment may adversely affect it business operations and financial performance.

Cybersecurity and data protection risks in its technology driven warehouse operations may adversely affect the company business and reputation.

Changing fashion trends on online marketplaces may adversely affect its business and financial performance.

Any mismanagement, loss, or damage of inventory may adversely affect the company operations, profitability, and financial condition.

Inefficiency in managing product returns through online marketplaces could materially affect its operations, profitability, financial condition, and growth prospects.

Its depends on a limited number of States for a significant portion of the company revenue from operations. The loss of any of its major customer in these States due to any adverse development or significant reduction in business from the company major customer may adversely affect its business, financial condition, results of operations and future prospects.