The company has been an authorised service partner of JSW Steel Coated Products Limited (JSWSCPL) since 2021. JSWSCPL accounted for 85.13%, 86.65%, 90.61%, and 84.58% of the company’s total steel coil purchases in the three months ended June 30, 2026, and FY26, FY25, and FY24, respectively.
The company serves original equipment manufacturers (OEMs) and original design manufacturers (ODMs), including Haier Appliances India, IFB Refrigeration, Amber Enterprises India, Dixon Electro Manufacturing and Western Refrigeration. Revenue from existing customers accounted for 98.05%, 96.08%, 93.76% and 87.88% of revenue from operations in the three months ended June 30, 2026, and FY26, FY25 and FY24, respectively.
The company operates manufacturing facilities in Wada and Bhiwandi in Maharashtra, Ghiloth in Rajasthan, and Sri City in Andhra Pradesh. Their locations near industrial clusters and customer manufacturing units support regional supply and reduce transportation time and costs.
The company claims to have processing infrastructure comprising slitting, cut-to-length, shearing, and embossing lines. As of June 30, 2026, its installed capacities included 123,153 MTPA for slitting, 50,481 MTPA for cut-to-length processing, 1,467 MTPA for shearing, and 11,700 MTPA for embossing.
The company’s manufacturing facilities are ISO 9001:2015 certified for quality management systems. The company also states that it follows quality control procedures established jointly with JSWSCPL to maintain product specifications and consistency.
As of June 30, 2026, the company served 178 customers across home and commercial appliances, automotive, electrical equipment, refrigeration, ventilation and other industrial sectors.
The company has shown a consistent increase in revenue from operations and profit after tax (PAT) in FY24, FY25, and FY26. Revenue from operations increased from Rs 752.26 crore in FY24 to Rs 1,055.71 crore in FY25 to Rs 1,266.82 crore in FY26, while PAT increased from Rs 21.14 crore to Rs 28.67 crore and Rs 30.54 crore over the same period.
The company depends substantially on JSW Steel Coated Products Ltd (JSWSCPL) for its steel coil requirements. JSWSCPL accounted for Rs 239.77 crore (85.13%) of total steel coil purchases in the three months ended June 30, 2026; Rs 1,034.21 crore (86.65%) in FY26; Rs 869.18 crore (90.61%) in FY25; and Rs 557.94 crore (84.58%) in FY24. Any disruption in supplies, adverse changes in commercial terms, or termination of the authorised service partner arrangement could affect the company’s production, customer deliveries, and profitability.
The company reported negative cash flows from investing activities of Rs 0.68 crore in the three months ended June 30, 2026, Rs 35.03 crore in FY26, Rs 41.76 crore in FY25, and Rs 52.85 crore in FY24. These outflows were primarily due to purchases of capital assets and increases in other non-current financial assets and other non-current assets, partly offset by changes in fixed or restricted bank deposits, proceeds from the sale of capital assets, and interest income. The company also reported negative cash flows from financing activities of Rs 73.34 crore in the three months ended June 30, 2026, compared with positive cash flows of Rs 33.71 crore in FY26, Rs 11.57 crore in FY25 and Rs 39.56 crore in FY24. Any continued negative cash flows could affect the company’s ability to meet working capital requirements, service its debt, fund capital expenditure and implement expansion plans without raising additional funds, which may adversely affect its business and financial condition.
The company derives a significant portion of its revenue from its top 10 customers, which contributed Rs 292.01 crore (73.54%) in the three months ended June 30, 2026, Rs 903.60 crore (71.33%) in FY26, Rs 712.01 crore (67.44%) in FY25, and Rs 509.28 crore (67.43%) in FY24. Any loss of key customers or reduction in orders due to commercial disputes, financial difficulties, lower demand or operational disruptions could adversely affect the company’s revenue, financial condition and cash flows.
The cost of raw materials and components consumed accounted for Rs 330.17 crore (87.60% of total expenses) in the three months ended June 30, 2026, Rs 1,112.37 crore (90.51%) in FY26, Rs 949.71 crore (92.97%) in FY25 and Rs 657.11 crore (89.14%) in FY24. The company is exposed to fluctuations in steel coil prices and supply disruptions, which could increase production costs, affect profit margins, and delay customer deliveries. Any inability to pass on higher costs to customers or procure sufficient steel coils at commercially acceptable prices could adversely affect the company’s business, financial condition, and cash flows.
The company had a debt-to-equity ratio of 2 times as of June 30, 2026, compared with 2.78 times in FY26, 3.33 times in FY25, and 4.31 times in FY24. Its debt obligations expose it to interest costs, reduced financial flexibility, and risks arising from changes in interest rates or non-compliance with loan covenants. Inability to service debt obligations or refinance borrowings on favourable terms could adversely affect the company’s liquidity, financial condition and ability to fund its growth plans.
The company, its promoters, directors, and certain members of the promoter group are involved in outstanding legal and regulatory proceedings. Any adverse outcome in these proceedings could hurt the company’s business, financial condition, results of operations, and cash flows. However, no criminal or regulatory proceedings are pending against its key managerial personnel or senior management as of the date of the red herring prospectus.
The company had consolidated outstanding borrowings of Rs 302.43 crore as of August 31, 2026. The company’s indebtedness and related financing obligations could increase its financial costs and affect its cash flows and financial condition.
As of June 30, 2026, Bombay Coated and Special Steels Limited had trade receivables amounting to Rs 165.41 crore. Any failure to collect these receivables on time or at all could adversely affect the company’s cash flows and financial condition.