Kross Ltd

- Current axle order book stands at around 4,000 axles per month, with plans to maintain this run rate in February and March. - In Q3, approximately 8,300 axles were completed. - H1 axle revenues were down ~12% compared to FY '25 H1, but 9-month revenues are just 1.5% lower, showing improvement. - Volume from Q2 to Q3 increased by 26%; Q3 vs Q3 showed a 21% business improvement. - Export orders (notably to Europe) are progressing, with sampling and validation ongoing; meaningful revenues expected from Q1 FY '27. - Trailer segment volume plans indicate utilization of full extrusion capacity (~7,500 axles/month) by end of next financial year. - Seamless tube capex related to expansion is still pending but outside IPO proceeds; IPO proceeds for capex expected to be fully utilized by Q4 FY '26.

- There is no mention of any current or future new fundraising through debt or equity in the transcript. - The company states that approximately 90% of the IPO proceeds have already been spent, with the remaining 10% to be fully deployed within FY '26 as previously guided. - There is no indication of plans for additional capital raising via debt or equity beyond the utilization of IPO proceeds. - Management did not discuss any new financing arrangements or fundraising intentions during the call.

- Capex related to the seamless pipe expansion is partly completed; IPO proceeds have been mostly utilized with remaining capex outside IPO scope (Page 16). - Around INR60 crores capex incurred in H1 FY26, expected to reach INR80-90 crores by year-end; next year’s capex expected at INR60-70 crores, mainly for balance payments and incremental expenses for seamless tube project (Page 16). - Major additions such as new casting line, extrusion line, and three forging presses mostly completed (Page 16). - Ongoing installation and expansion of new product lines, e.g., extrusion line to support exports (Page 14). - New equipment installation for Tipping Jack product started in FY26; production ramp-up planned over FY27 to reach peak capacity of 800 units/month within a year (Page 6). - Plans to fully deploy remaining IPO proceeds within FY26 (Page 5).

- CV component business expected to grow faster than industry due to diversified product range including axle shafts, coupling flanges, anti-roll bars, planet carriers, differential spiders, bevel gears, and suspension parts. - Anti-roll bar business growing rapidly with usage rising from ~40% to ~80-85% in vehicles due to AC cabin mandate. - Tractor business to increase from current 11% to about 15-16% of revenue in 1.5 years, with quarterly revenue run rate around INR 20 crores. - CV components grew ~16% YoY in Q3; tractor components grew ~29% YoY. - Export revenue expected to reach double digits by FY '28, growing gradually from ~4% to 5% in FY '26, 7-7.5% next year, driven mostly by existing customers and new product additions. - Extruded axle volumes targeted to increase from current 4,000 to full capacity of 7,500 units/month within 1.5 years. - Tipping Jack product targets INR 45-50 crores revenue in FY '27.

- Q3 FY26 revenue grew 18.1% YoY to INR177.5 crores; EBITDA grew 18.9% to INR23.5 crores with margins at 13.2%. - PAT for Q3 increased by ~3% YoY to INR14 crores; 9-month PAT rose 6.1% YoY to INR32.8 crores with margins of 7.3%. - Export revenues expected to grow from ~4% to double digits by FY28; ~5% export revenue targeted in FY27. - Tractor business expected to grow over 20% by Q4 FY26 and increase revenue share from 11% to 15–16% over 1.5 years. - CV component business aims to outgrow industry, with some product lines (e.g., anti-roll bars) growing faster. - Capex for seamless tube project expected to be around INR60–90 crores this year; major expansions mostly completed. - Additional revenue expected from new product lines like Tipping Jack (~INR45–50 crores targeted in FY27). - EBITDA margin target around 14–15% in Q4 FY26 with better cost absorption expected. - Overall, growth driven by product diversification, exports, and increased capacity utilization.