Jesons Industries Limited IPO

The company's business and the demand for the company products is heavily reliant on the demand for certain end-use industries, and any decline in the demand for the end-products in such industries could have an adverse impact on its business, results of operations, cash flows and financial condition.

The company is significantly dependant on its suppliers for supply of raw materials (Top 10 suppliers contribute 73.85% for the six-month period ended September 30, 2024, 61.58% for the Financial Year 2024, 75.51% for the Financial Year 2023 and 66.30% for the Financial Year 2022 of total raw materials purchased of respective year/period). Any failures to maintain the company relationship with these suppliers or any adverse changes affecting their financial condition will have an adverse effect on its business, results of operations, financial condition and cash flows.

Its business is dependent on the company manufacturing facilities, and its subject to certain related risks. Unplanned slowdowns, unscheduled shutdowns or prolonged disruptions in the company manufacturing operations or under-utilization of its manufacturing capacities could have an adverse effect on the company business, results of operations, cash flows and financial condition.

The company export its products to various countries including Asia-Pacific, Middle East, and Africa. Any adverse events affecting these countries could have an adverse effect on its business, results of operations, financial condition and cash flows.

Its inability to accurately forecast demand for the company products and manage its inventory or working capital balances may have an adverse effect on the company business, results of operations, cash flows and financial condition.

Its intellectual property rights may not be adequately protected against third party infringement.

The company operates in a competitive business environment. Competition from existing players and new entrants and consequent pricing pressures could have a material adverse effect on its business growth and prospects, financial condition and results of operations.

The company is subject to quality requirements and strict technical specifications by its customers. The company failures to comply with the quality standards and technical specifications prescribed by such customers may lead to loss of business from such customers and could negatively impact its reputation, which would have an adverse impact on the company business prospects and results of operations.

Non-compliance with increasingly stringent safety, health, environmental and labour laws and other applicable regulations, may adversely affect its business, results of operations, cash flows and financial condition. Further, its may not be able to renew or maintain the company statutory and regulatory permits and approvals required to operate its business.

If the company is unable to obtain or maintain regulatory approvals for the company manufacturing facilities and products, its may be unable to operate the company manufacturing facilities or sell its products, which could adversely affect the company business, cash flows and results of operations.