GEE Ltd

Book Closure & Voting Details

• Book closure for AGM from Sep 1, 2026 to Sep 7, 2026 (inclusive).
• Purpose: 65th Annual General Meeting.
• E-voting cut-off date: Aug 31, 2026.
• E-voting window: Sep 4, 2026 09:00 IST to Sep 6, 2026 17:00 IST.
• AGM date and time: Sep 7, 2026 at 11:30 IST via VC/OAVM.
• Security: Equity shares.

Financial performance

• Revenue: Rs 37,033.63 Lakhs in FY2025-26.
• EBITDA: Rs 3,125.68 Lakhs; margin improved.
• PAT: Rs 1,299.86 Lakhs; profit from loss prior year.
• EPS (basic): Rs 2.50; diluted Rs 2.47.
• Net worth: Rs 14,515.50 Lakhs.
• Revenue growth YoY: 10.84%.
• Dividend: no dividend declared for FY2025-26.
• Total borrowings: Rs 6,677.97 Lakhs.
• Current ratio: 2.26x; liquidity improved.
• ROE: 6.36%; ROCE: 11.31%.
• Bonus issue 1:1 completed in Oct 2025.
• NCDs: Rs 2,000 Lakhs; 11% coupon; matures 2029.
• Warrants: 51 lakh issued at Rs 80; 25% upfront paid.
• Equity capital increased to Rs 1,039.54 Lakhs.

Capital structure & divisional actions

• Bonus issue completed 1:1 in Oct 2025.
• Preferential issue: 51 lakh warrants; Rs 80 per warrant.
• Total warrants value: Rs 40.80 Crores; 25% upfront received.
• Warrants convertible into equity within 18 months of allotment.
• NCDs: Rs 20 Crores; 36-month tenor; secured.
• Equity share capital increased to Rs 1,039.54 Lakhs.

Debt and liquidity

• Total borrowings: Rs 6,677.97 Lakhs.
• Current borrowings: Rs 3,894.52 Lakhs; non-current Rs 2,201.60 Lakhs.
• Cash and cash equivalents: Rs 73.11 Lakhs.
• Debt service coverage ratio: 3.33x.
• Net debt to equity: 0.31x.

Operations and strategy

• Single segment: welding consumables and related products.
• FY25-26 revenue growth driven by core welding products.
• Capex: CWIP closing balance Rs 161.14 Lakhs.
• Subsidiaries/associates/joint ventures: none.
• Management focused on core operations, agility, cash flow.

Governance and board changes

• Vineeta Agrawal appointed Independent Director w.e.f 02-06-2025.
• Umesh Agarwal and Om Prakash Agarwal named Joint Managing Directors from 01-06-2025.
• Seema Vyas appointed Company Secretary from 18-06-2025.
• Audit Committee reconstituted 02-06-2025; chair Vineeta Agrawal.
• Nomination & Remuneration Committee reconstituted 02-06-2025.

Audit, risk & controls

• Statutory auditors: SAPD & Associates; Secretarial auditors: Deep Shukla & Associates.
• Auditors’ report: no qualifications; no fraud reported.
• Internal controls: adequate; no material weaknesses reported.

CSR & ESG

• CSR expenditure for FY2025-26: NIL; surplus carried forward Rs 1,38,327.
• CSR committee reconstituted 02-06-2025; members: Om Prakash Agarwal, Milind Parekh, Vineeta Agrawal.
• CSR policy available on company website.

Outlook & risks

• Outlook positive on infrastructure and manufacturing growth.
• Risks: raw material volatility, forex, supply chain, competition, regulatory changes.

Financial Performance

• Turnover 103 crores in Q1 FY27, up 30% YoY.
• EBITDA 8 crores, up 77% YoY; margin 7.8%.
• PBT 5.5 crores; PBT margin 5.3%.
• Adjusted PAT 3.2 crores; margin 3.1%.

Operations and Market Trends

• NPCIL strategic approval received, unlocking nuclear-sector growth.
• Empanelled with L&T, Tata Projects, Afcons, NCC, KEC, BHEL, Thermax, railways.
• Defence/naval orders: welding consumables for INS Dunagiri, Agray, Sanshodhak.
• Defence exports rising; India moving toward self-sufficiency; potential market growth.
• Monetization plan for Thane land; expected INR 400 crores over five years.
• Infrastructure boom and 1.4 trillion infra pipeline to drive welding demand.

Capex and Capacity

• Capacity: 71,000 MT base; plan to 91,000 MT by FY29.
• Incremental capacity: 20,000 MT focused on wires expansion.
• Flux-cored wire capacity ~300 MT; target 1,000 MT.
• First SAW wire line; production expected by Sep-Oct.
• FY27 capex guidance: INR 5–10 crores; total incremental capex ~INR 30–40 crores.

Outlook and Guidance

• North Star revenue target INR 1,000 crores by FY29-30.
• EBITDA margins targeted at 10–11%, rising to 12–13% sustainably.
• No debt raise; comfortable working-capital headroom; debt-cost down to ~1.8%.
• Exports and NPCIL-related growth underpin double-digit expansion.

Q&A Highlights

• NPCIL certification currently includes D&H Secheron and Ador; 7–8 potential vendors visiting.
• FY29–30 revenue target relies on capacity gains and 10–12% market share.
• Electrode capacity not planned for near term; wires utilization near 100%.
• Flux-cored/S AW lines to start commercial production by Sep-Oct; capacity to scale later.
• Nuclear revenue share targeted at least 10%; shipbuilding 3–5% of revenue.
• Promoter pledge of INR 40 crores; expected release over 3–4 years.

Meeting Details

• Date: 08.08.2026
• Event: Q1 FY27 Earnings Conference Call
• Mode: Virtual group call

Participants

• Key participants: management roles not disclosed

Purpose

• Purpose: earnings results discussion

Additional Notes

• Recording: audio/video recording available on company website

Business overview

• Welding consumables manufacturer with ~59,000 MT capacity across Kalyan and Kolkata plants.
• Pan-India distribution via 500+ dealers and exports to 20+ countries.
• 65+ years of engineering heritage; diversified product portfolio across defense and infrastructure.
• Promoter-led management realigned in 2025 with renewed operational focus.

Operational highlights

• Exclusive supplier of welding consumables for three Indian Navy platforms commissioned on 21-Jun-2026.
• Defence-grade capabilities demonstrated in high-specification shipbuilding and hydrographic applications.
• Strengthened relationships with defence shipyards, including GRSE.
• Expanding product range into specialty alloys and flux-cored wires.
• Two facilities with ~59,000 MT capacity enabling scale.

Financial performance

• Revenue from operations: ₹1,028.6 mn in Q1 FY27, up 29.9% YoY.
• EBITDA ₹80.0 mn; EBITDA margin 7.8%.
• PBT ₹54.5 mn; PBT margin 5.3%; Tax ₹23.0 mn.
• Reported PAT ₹68.5 mn; PAT margin 6.7%; Adjusted PAT ₹31.5 mn.
• Reported EPS ₹1.32; Adjusted EPS ₹0.61.
• Gross margin 22.9%; down 37 bps YoY.
• Interest ₹18.5 mn; Depreciation ₹10.1 mn; PBIT ₹73.0 mn.
• Exceptional items ₹37.0 mn in the quarter.

Capital structure & liquidity

• FY26: Share capital up to ₹104 mn from ₹52 mn.
• Long-term borrowings ₹220.2 mn; short-term borrowings ₹416.5 mn.
• Cash and cash equivalents ₹7.3 mn; bank balance ₹0.7 mn.
• Monetization: Thane land bank potential ₹400+ cr over 5 years; Wagle Estate deal completed.

Strategic priorities & outlook

• Target 25-30% revenue CAGR to FY29; EBITDA margins 13%+.
• Capacity ramp to 71,339 MTPA; utilization ~91% by FY29.
• Monetize Thane land bank for capex and deleveraging (~₹400 cr potential).
• Organic expansion: stainless steel wires, flux-core wires; inorganic growth: 50-100 cr acquisitions.
• Expand into Africa, Middle East and SE Asia via distributors and OEM partnerships.
• PSU/infrastructure revenue 30-40% on secured approvals.

Governance & leadership

• Promoter-led management realigned in 2025; renewed focus on execution.
• Leadership team: Om Prakash Agarwal and Umesh Agarwal as Joint Managing Directors; Payal Agarwal CFO.

NPCIL approval

• NPCIL approval received enabling entry into India's nuclear power supply chain.
• Expands Gee's addressable market and long-term growth outlook.
• Aligns with government plans to expand nuclear capacity, creating a long-term pipeline.

Strategic impact and market opportunity

• Exclusive entry reduces exposure to low-cost competition due to strict NPCIL standards.
• Enhances Gee's ESG credentials as an authorised nuclear supplier.
• Long-term revenue visibility via multi-year project cycles and milestone-based payments.

Board approvals & AGM

• Board approved standalone unaudited Q1 FY2026 results for quarter ended 30 Jun 2026.
• Adopted Board Report and Corporate Governance Report for FY2025-26.
• Notice of 65th AGM scheduled for Sept 7, 2026.
• Book closure from Sept 1 to Sept 7, 2026.
• Scrutinizer appointed for e-voting: Deep Shukla.

Financials & KPIs

• Revenue from operations: Rs 10,285.66 lakh for quarter ended 30 Jun 2026.
• Total income: Rs 10,316.55 lakh; expenses: Rs 9,771.31 lakh.
• Exceptional item: profit on sale of two immovable properties Rs 369.55 lakh.
• PBT before exceptional items: Rs 545.25 lakh.
• PBT after exceptional items: Rs 914.79 lakh.
• Tax expense: Rs 230.24 lakh.
• Profit after tax: Rs 684.55 lakh.
• Total Comprehensive Income: Rs 685.40 lakh.
• Basic EPS: Rs 1.32; Diluted EPS: Rs 1.30.
• YoY revenue growth: ~30% to Rs 10,285.66 lakh.
• YoY PAT growth: from Rs 97.59 lakh to Rs 684.55 lakh.
• Single segment: welding consumables.
• Unaudited results reviewed by Audit Committee; subject to Limited Review.

Meeting Details

• Date and time: 20 July 2026, 4:00–5:00 PM.
• Type and mode: one-on-one, virtual.
• Organizer: Kaptify (investor relations firm).
• Participants: company management; Company Secretary & Compliance Officer.
• Purpose: one-on-one interaction with analysts/investors.