Kross Ltd

AGM notice and e-voting details

• 35th AGM scheduled for 16 September 2026 at 11:00 IST via VC/OVAM.
• Web-links to AGM Notice and Annual Report 2025-26 provided.
• Cut-off date for e-voting set to 9 September 2026.
• Remote e-voting from 13 September 2026 09:00 IST to 15 September 2026 17:00 IST.
• Date of AGM is 16 September 2026.
• Shareholders should update email and KYC with the Company or its RTA.

Financial highlights

• Revenue from operations: INR 6,732.01 Mn, up 8.5% YoY.
• EBITDA: INR 879 Mn, EBITDA margin 13.06%.
• PAT: INR 552.14 Mn, PAT margin 8.2%.
• EPS (basic and diluted): INR 8.56.
• Gross profit: INR 3,077 Mn; gross margin 45.7%.
• Exports contributed 3.55% of revenue; exports grew 24% in H1 FY26.
• IPO proceeds deployed 100%, lowering leverage.

Business mix and markets

• CV Components revenue share: 42.97% of total revenue.
• Trailer Axles & Suspension revenue share: 42.61%.
• Tractor Components revenue share: 9.48%.
• Domestic India revenue: INR 6,529.76 Mn; export revenue INR 202.25 Mn.
• Exports contributed 3.55% of revenue in FY26.
• Exports grew 24% YoY in H1 FY26.

Capex and capacity expansion

• Axle Beam Extrusion Plant commissioned; capacity up 50% to 7,500 units/month.
• Seamless Tube facility in Jharkhand: INR 167 Cr; commissioning by FY2027.
• Tipping Jacks line: 800 kits/month; production started.
• Robotic forging facility for axle shafts to start by Sept 2026.
• High-tonnage forging presses installed; capacity expansion underway.
• Capacity utilization: Forging 65%, Machining 72%, Casting 75%.

Capital structure and dividends

• IPO proceeds fully deployed; debt reduced; debt-to-equity ~0.12x.
• No dividend declared for FY2025-26.
• AGM scheduled Sep 16, 2026; VC/OAVM.
• Credit rating revised: IND A/Stable/IND A1.

Governance and risk management

• Board comprises 8 directors; 4 Independent; 1 Woman Independent.
• Sharat Chandra Kumar appointed Independent Director on 24 Jul 2026; Mukesh Agarwal resigned.
• Auditors: S.K. Naredi & Co LLP; MR-3 secretarial audit unmodified.
• Internal controls robust; ERP upgrade ongoing; ISO/IATF certifications held.

People and CSR

• Total employees: 2,441 (566 permanent, 1,875 contractual).
• CSR spend: INR 11.44 Mn; 3 MW solar PPA under installation.
• CSR programs spanning healthcare, education, environment, and community welfare.
• Educational initiatives include CNC machine donation and NEET/JEE coaching.
• BALA program implemented across 10 Anganwadis; road safety campaigns conducted.

Industry outlook and risks

• M&HCV market expected to grow 3-8% near term; infra drive supports long-term growth.
• GST rationalization and Parivartan scheme to boost CV replacement demand.
• Commodity price and FX volatility; hedging and pass-through mechanisms in place.
• Exports and domestic mix poised for further diversification.

AGM details

• Date/time/mode: Sept 16, 2026 at 11:00 IST via VC/OAVM.
• Cut-off date for voting/attendance: Sept 9, 2026.
• Remote e-voting window: Sept 13–15, 2026.

Key resolutions

• Adoption of audited standalone financial statements and reports for FY 2025-26.
• Re-appointment of Sumeet Rai as Director by rotation.
• Ratification of cost auditors' remuneration for FY 2026-27: INR 70,000 plus taxes and expenses.
• Re-appointment of Sanjiv Paul as Non-Executive Independent Director for 3 years (Oct 26, 2026–Oct 25, 2029).
• Re-appointment of Gurvinder Singh Ahuja as Independent Director for 3 years (Oct 2026–Oct 2029).
• Re-appointment of Deepa Verma as Independent Director for 3 years (Oct 2026–Oct 2029).
• Appointment of Sharat Chandra Kumar as Independent Director for 3 years (Jul 24, 2026–Jul 23, 2029).

Meeting Details

• Date: 13 August 2026
• Time: 10:00 am–05:00 pm
• Event: Equirus Institutional Investor Conference
• Format/Mode: Group & one-to-one meetings; In-person

Participants

• Company management to interact with investors/analysts

Purpose

• Investor/analyst interaction at the conference
• Discussions based on publicly available information

Additional Notes

• No unpublished price-sensitive information will be discussed
• Meeting may be cancelled, rescheduled, or postponed

Meeting details

• Date: July 27, 2026; time not disclosed.
• Event: Earnings conference call with investors and analysts.
• Organiser: Kross Limited.

Participants

• Key participants: Senior Management (no personal names disclosed).

Purpose

• Discuss quarter ended June 30, 2026 performance; Q&A session.

Availability

• Audio recording uploaded on the company website.

Business overview

• Indian manufacturer of trailer axles, suspensions, and M&HCV components with domestic and export exposure.
• Strategic shift from fabricated to extruded axle technology; backward integration underway.
• Publicly listed on BSE/NSE since Sep 2024; IPO proceeds deployed to fund capex.

Operational highlights

• Q1 FY27 revenue ₹184.3 crore; 32% YoY growth; strong M&HCV demand and GST benefits.
• Axle beam extrusion plant commissioned; commercial production to start Aug 2026; capacity 7,500 units/month.
• 34% YoY axle volumes growth; tipping jacks launched with 220 kits produced in Q1.
• Seamless tube facility construction underway; piercing mill and mills progressing; tubes 115–220 mm.
• Foundry high‑pressure moulding line to double casting capacity by Sep 2026.
• Robotic forging facility to be operational by Sep 2026; quality/margins to improve.
• Export share ~4.5% in Q1; full-year export target 8%; Sweden/EU orders secured.
• Tipping Jacks capacity ~800 kits/month; margin potential ~15% on these products.

Financial performance

• Q1 FY27 EBITDA ₹22.6 crore; PAT ₹13.3 crore; gross margin 44.8%; PAT margin 7.2%.
• Q1 FY27 revenue ₹184.3 crore; gross profit ₹82.6 crore; EBITDA margin 12.2%; PAT margin 7.2%.
• Q1 YoY: revenue +32.3%; EBITDA +39.5%; PAT +24.4%.

Capital structure & liquidity

• Long-term borrowings ₹29.1 crore; short-term borrowings ₹23.2 crore; total ₹52.3 crore.
• Cash and cash equivalents ₹4.4 crore; IPO proceeds fully deployed; deleveraging via internal accruals.
• Equity ₹489.8 crore; equity share capital ₹32.3 crore.

Strategic priorities & outlook

• Extruded technology adoption to drive market share gains and export revenue.
• Export target 8% of revenue; agriculture segment 15% over two years.
• Backwards integration, cost optimization; capex funded by internal accruals.
• Axle beam extrusion project enhances backward integration; improving profitability.
• Capex includes 7,500 unit axle capacity; 60 kWp solar panels; 3 MW power purchase agreement.
• India’s first axle beam extrusion commissioned; production to start August 2026.

Risks & mitigation

• Demand slowed in May–June 2026 due to monsoon; outlook remains positive for OEM demand.
• Monsoon volatility; mitigated by diversified product mix and export exposure.

Governance & leadership

• Public listing on BSE/NSE in Sep 2024; governance structures in place with independent directors.

Resignation of Head (Accounts and Finance)

• Mr. Dhirendra Jana resigns as Head (Accounts and Finance), effective 31 July 2026, to pursue alternative career.
• No other material reasons for resignation stated.