M P K Steels (I) Ltd IPO

Our factory is located at Rajasthan. Any delay in production at, or shutdown of, or any interruption for a significant period of time, in these facilities may in turn adversely affect our business, financial condition and results of operations.

Our Company is dependent on a few suppliers for purchases of raw materials and consumables. The loss of any of these large suppliers may affect our business operations.

We derive a majority portion of our revenue from operations from our top 10 customers, contributing towards our total gross sales.

The Company have made One Time Settlement (OTS) of Loan in the past which may affect its credibility in future to access funds from Banks and Financial Institutions.

The loss of or shutdown of operations of our Factory may have a material adverse effect on our business, financial condition and results of operations.

We rely heavily on the availability of key raw materials to procure them. As we have not established long-term arrangement with these suppliers, any inability to secure sufficient raw materials at competitive prices could adversely impact our business, financial condition, and operational results. Any fluctuations in prices, availability of raw material or storage in supply of raw material for manufacturing of our products would adversely impact our business.

We have experienced significant working capital requirements in past and may continue to experience in future also. If we experience insufficient cash flows from our operations or are unable to borrow to meet our working capital requirements, it may materially and adversely affect our business, cash flows and results of operations.

We have not entered into long-term contracts with our major dealers and typically operate on the basis of purchase orders, which could adversely impact our revenues and profitability.

Our Registered and Factory/ Corporate Office are not owned by us. In the event that we lose such rights or are required to renegotiate arrangements for such rights, our business results of operations, profitability and margins, cash flows and financial condition could be adversely affected.

Our Company has negative cash flows from its Operating activities for the half year ended on September 30, 2024 and For the FY 2023, investing activities for FY 2023 and financing activities for FY 2024 and 2022, details of which are given below. Sustained negative cash flow could impact our growth and business.