Karbonsteel Engineering claims to have undertaken the fabrication and supply of 10,000 metric tonnes (MT) of steel bridge structures for the Mumbai-Ahmedabad High-Speed Rail project, India’s first bullet train corridor, as a subcontractor. The company’s track record also includes projects in steel plants, refineries, chemical plants, high-rise buildings, and industrial units, which require strict dimensional accuracy and compliance with safety standards.
The company’s order book increased from Rs 64.88 crore in FY23 to Rs 166.33 crore in FY24 and Rs 198.92 crore in FY25. As of July 31, 2025, it stood at Rs 329.82 crore. This growth has been accompanied by rising revenues and EBITDA, reflecting improved financial strength and the ability to secure additional financing for new projects.
Karbonsteel Engineering claims to have two manufacturing facilities in Gujarat and Maharashtra with a combined installed capacity of 36,000 MT per annum. These facilities are equipped with computer numerical control (CNC) cutting and drilling machines, welding systems, cranes, and quality testing equipment such as ultrasonic and magnetic particle testing machines, enabling the company to handle both large-scale and customised fabrication work.
The company claims to have worked with several large industrial and infrastructure clients, including Arcelor Mittal Nippon Steel India Limited, Tata Projects Limited, and JSW Severfield Structures Limited. Karbonsteel Engineering further states that it has been able to retain key customers over the years, which has contributed to consistent business engagement and recurring project opportunities.
The company is ISO 9001:2015 certified for its quality management systems and ISO 14001:2015 certified for its environmental management systems.
The company has witnessed a consistent increase in revenue from operations and profit after tax (PAT). Revenue from operations increased from Rs 155.58 crore in FY23 to Rs 218.34 crore in FY24 and Rs 273.05 crore in FY25. PAT increased from Rs 5.11 crore in FY23 to Rs 9.42 crore in FY24 and Rs 14.16 crore in FY25.
The top 10 customers accounted for Rs 271.13 crore (99.30 percent) of the company’s revenue in FY25, Rs 196.86 crore (90.16 percent) in FY24, and Rs 146.80 crore (94.36 percent) in FY23. Any failure to retain these key customers or a loss of business from them could adversely affect the company’s business and financial standing.
The company derives a significant portion of its revenue from repeat customers. They accounted for Rs 263.86 crore (96.63 percent) of the company’s revenue in FY25, Rs 182.39 crore (83.54 percent) in FY24, and Rs 112.93 crore (72.59 percent) in FY23. Any reduction in demand from these customers or a total discontinuation of business from them could materially impact the company’s overall business performance and cash flows.
Karbonsteel Engineering operates its business through two manufacturing facilities located in Gujarat and Maharashtra. Any disruption in these regions could hurt its manufacturing activities and materially affect the company’s business operations, financial condition, and cash flows.
The company is involved in certain ongoing legal proceedings, including criminal and tax-related cases. Any adverse judgments in any of these cases could be detrimental to the company’s business prospects.
The company generates a substantial portion of its revenue from customers situated in Gujarat. It accounted for Rs 267.49 crore (97.96 percent) of the company’s revenue in FY25. This heavy reliance on a single region exposes the company to risks associated with economic fluctuations, competitive pressures, or demographic changes in Gujarat, any of which could significantly impact its revenue and overall financial performance.
The top 10 suppliers accounted for Rs 145.73 crore (66.72 percent) of the company’s total purchases in FY25, Rs 105.51 crore (68.07 percent) in FY24, and Rs 101.78 crore (70.71 percent) in FY23. Any disruption in supplies from one or more of these suppliers could adversely affect the company’s business and finances.
As of FY25, the company had trade receivables of Rs 60.50 crore. For the company’s operations to remain smooth, these trade receivables must be collected on time.
The company has experienced consistently high employee attrition rates, particularly at its Khopoli and Umbergaon manufacturing facilities. The employee attrition rate at the Umbergaon facility stood at 54.60 percent in FY25, 60.17 percent in FY24, and 95.96 percent in FY23. The employee attrition rate in the Khopoli facility stood at 103.39 percent in FY25, 83.81 percent in FY24, and 48.19 percent in FY23. This elevated turnover, largely driven by seasonal migration of workers, disrupts workforce stability, increases training costs, and hampers productivity. Sustained attrition at this scale could adversely affect operational efficiency and the company’s ability to execute its business strategy effectively.
As of FY25, the company had financial indebtedness of Rs 62.76 crore. Any failure to service or repay these loans can hurt the company’s operations and financial position.